Full text of Monthly Labor Review : June 1943, Vol. 56, No. 6

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In this Issue .

. . Unannounced quits and absenteeism • •
Foremen as union members • • Labor
conditions in Hungary

UNITED STATES DEPARTMENT OF LABOR • BUREAU OF LABOR STATISTICS


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U N IT E D STATES D E P A R T M E N T OF LABOR
F r a n c e s P e r k i n s , Secretary
+
BUREAU OF LABOR STATISTICS
I sador L ubin , Commissioner (on leave)
A. F. H inrichs, Acting Commissioner
D onald D avenport, Chief, Employ
ment and Occupational Outlook
Branch

Aryness Joy, Chief, Prices and Cost
of Living Branch

H enry J. F itzgerald, Chief, Business
* Management Branch

N. Arnold T ollés, Chief, Working
Conditions and Industrial Relations
Branch

H ugh S. H anna , Chief, Editorial and
Research

S idney W. Wilcox, 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

Occupational Outlook, Charles Stewart
(acting chief)

Industrial Relations, Florence Peter
son
Labor Information Service, Boris Stern
Machine Tabulation, Joseph Drager

Retail Prices, Ethel D. Hoover

Post-War Labor Problems, John H. G.
Pierson
Price Analysis, Walter G. Keim
Productivity and Technological De
velopment, W. Duane Evans

Wage Analysis, Robert J. Myers
Wholesale Prices, J. M, Cutts

The M onthly L abor R eview is for sale by the Superintendent of Documents,
U. S. Government Printing Office, Washington, D. C. Price, SO cents a copy.
Subscription price per year in the United States, Canada, and Mexico, $8.50; other
countries, $4.75.


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

+

HUGH

S. H A N N A ,

C O N T E N T S

EDITOR

+

*4 *444 *44444 *

JU N E 1943, Vol. 56, No. 6

Special articles:
Effect of unannoun ced q u its on absenteeism in sh ip b u ild in g ___ _____
U nion m em bership an d collective b argaining by fo rem en ____________
E arnings in airc ra ft-p a rts p lan ts, N ovem ber 1942___________________
L abor conditions in H u n g a ry _______________________________________

Page
1047
1049
1054
1069

W artime policies:
E stab lish m en t of Office of W ar M ob ilizatio n_______________________
Stabilization of wages an d p rices___________________________________
M easures for m aintain in g em p lo y m en t in essential a c tiv itie s________
G overnm ent control of coal m in es____ ______________________________
C reation of Solid Fuels A d m in istratio n for W a r_____________________
C om pulsory tra n sfe r of m anpow er in C anada.. ____________________
Pool of engineers for B ritish m ilitary u se ___________________________

1089
1090
1092
1093
1094
1095
1096

Employment and labor conditions:
M unicipal em ploym en t an d p ay rolls in large cities, 1929-38________
In d u stria l canteens in G reat B rita in __________________________ _____

1097
1108

Productivity of labor and industry:
P ro d u ctio n in q u iry by B ritish engineering u n io n ____________________

1110

Social security:
U nem ploym ent-com pensation operations, 1942______________________
Increased d ep en d en ts’ allowances for C an ad a’s arm ed forces________
R etirem en t benefits for dom estic serv an ts in U ru g u ay _______________

1113
1114
1116

Placement:
P lacem ent w ork of U n ited S tates E m p lo y m en t Service, 1942________

1118

Women in industry:
S tan d ard s for w om en’s em plo y m en t in w a rtim e_____________________
W om en’s wages in laundries in New Y ork S tate, 1942______________

1120
1121

Youth in industry:
Conclusions based on 5,000 job p lacem ents of M aine y o u th _________

1122

Labor laws and court decisions:
R ecent decisions of in terest to labor:
A pplicability of F a ir L ab o r S tan d ard s A c t_____________________
M aritim e e m p lo y m e n t_________________________________________
A n titru st law s_________________________________________________
A pplicability of N atio n al L abor R elations A c t__________________
S tate m axim um -hour la w ______________________________________
A pplicability of Social Security A c t____________________________

1124
1126
1127
1128
1128
1129

Cooperation:
C ooperative m ovem en t in G erm an y ________________________________
O perations of cooperatives in N o rth D ak o ta, 1941-42_______________

1131
1147

Housing conditions:
N ew dwelling u n its in n onfarm areas, first q u a rte r of 1943__________
P osition of B ritish building societies in 1942________________________


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1149
1155

Contents

II

Page

Legal aid:
Legal-aid w ork in th e U n ited S tates, 1941___________________________

1158

Health and industrial accidents:
In d u stria l injuries, F e b ru a ry 1943__________________________________
In d u stria l h e a lth a n d hours of w ork in G reat B rita in _______________

1161
1163

J ndustrial relation s:
U nion agreem ents w ith m u n icip alities__ _________ ,_________________
N atio n al conciliation m achinery for B ritish coal-m ining in d u s try ------

1165
1170

industrial disputes:
Strikes in A pril 1943_______________________________________________
A ctivities of U n ited S tates C onciliation Service, A pril 1943_________

1175
1175

Cost and standards of living:
C ost of living in large cities, A pril 15, 1943_________________________
C hanges in cost of living, M arch 15, 1943__________________________
Food situ atio n in C h in a ____________ _______________________________

1178
1182
1184

ft age and hour statistics:
W age stab ilizatio n in C alifornia airfram e in d u stry , 1943____________
Salaries of school em ployees, 1942-43_______________________________
N ew Y ork— W eekly salaries of clerical em ployees in N ew Y ork C ity,
D ecem ber 1942________________
G reat B ritain — A verage w orkw eek in m etal tra d e s __________________

1188
1198
1200
1201

Wage and hour regulation:
R eview ing role of N a tio n a l W ar L abor B o a rd ______________________
O vertim e p ay of G o v ern m en t em ployees____________________________
W age-stabilization m easures in A u stra lia ___________________________

1203
1203
1204

Labor turn-over:
L abor tu rn -o v e r in m a n u factu rin g , M arch 1943_____________________

1206

Building operations:
B uilding co nstru ctio n in u rb a n areas of th e U n ited S tates, A pril 1943_ _

1211

Retail prices:
C hanges in B u reau ’s food-cost in d ex ________ _______________________
Food prices in M arch 1943_________________________________________
Coal prices in M arch 1943___________________________________ -

1214
1215
1223

W holesale prices:
W holesale prices in A pril 1943______________________________

1225

Trend of employment and unemployment:
S um m ary of rep o rts for A pril 1943_________________________________
D etailed rep o rts for in d u stria l a n d business em p lo y m en t, M arch 1943_
C ivilian lab o r force, A pril 1943___________ ________________

1230
1233
1246

Labor conditions in Latin A m erica ___________________________________
Recent publications of labor interest___________________________________

1116


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1248

This Issue in B rief

Earnings in aircraft-parts plants , November 1942.
D ay -sh ift w orkers in p la n ts m aking airc ra ft p a rts were earning, on th e average,
91.1 cents per h our in N ovem ber 1942, as indicated by a stu d y m ade by th e
B ureau of L abor S tatistics. M ale w orkers averaged 96.1 cents; w om en (com
prising nearly a fifth of th e to ta l force) averaged 68.9 cents. Page 1054.

Labor conditions in Hungary.
In d u strializatio n of H u n g ary increased betw een th e la st a n d p resen t w ars, b u t
th e co u n try has rem ained prim arily ag ricu ltu ral in ch aracter. As th e em ploy
m en t position of farm lab o r has been p ersisten tly adverse th e wage level rem ained
low and, w ith th e exception of th e skilled crafts, in d u stria l em ploym ent has n o t
afforded th e w orking force m ark ed o p p o rtu n ity for financial im provem ent.
Before th e presen t w ar, m inim um wages a n d th e 8-hour day a n d 48-hour week
were being in tro d u ced grad u ally , tim e an d o n e-q u arter was th e official ra te of p ay
for overtim e hours of w ork, vacatio n s w ith p ay were g ran ted , a n d an extensive
system of social insurance was in effect. Now H u n g arian lab o r is being req u i
sitioned, in p a rt for lab o r in G erm any, an d m any of th e social gains h av e been
w aived. Page 1069.

Unannounced quits as factor in absenteeism.
W orkers who q u it th e ir jobs w ith o u t giving notice, a n d are therefore carried
tem p o rarily on th e p ay rolls m erely as “ a b se n t,” co n trib u te m aterially to th e re 
p o rted ra te of absenteeism . T his is in d icated by rep o rts received by th e B ureau of
L ab o r S tatistics from com m ercial shipyards, covering a week in Ja n u a ry 1943.
In th e rep o rtin g yards, un an n o u n ced quits form ed up to 23 p ercen t of the_absen
teeism . T he p ro p o rtio n a ttrib u ta b le to th is cause n a tu ra lly v aried w ith th e
len g th of tim e th e em ployee was carried on th e books (this tim e being charged as
absence) before being d ro p p ed ; in th e rep o rtin g y ard s th is ran g ed from 2 days to
a m o n th . T he com bined absence ra te for all th e com panies was 9.0 p ercen t;
w hen ad ju sted for u n ann o u n ced q u its it fell to 8.1 p ercen t. Page 1047.

Industrial canteens in Great Britain.
T he im portance of provision of p roper a n d n u tritio u s food for w orkers has been
recognized in G reat B ritain , w here th e G o vernm ent has been activ e in p rom oting
com m unal feeding centers an d in d u strial canteens. P a rtic u la r a tte n tio n has been
given to m eals for persons doing h eavy w ork. A new o rd er gives th e _Chief
In sp ecto r of F actories th e a u th o rity to require a n y en terp rise engaged in th e
p ro d u ctio n of m unitions of w ar or re la te d pro d u cts, em ploying m ore th a n 250
w orkers, to establish a can teen w here th e w orkers m ay b u y h o t m eals. By April
1943 a b o u t 7,500 in d u stria l canteens h a d been established. Page 1108.

Union membership and collective bargaining by foremen.
F orem en are com m only excluded from m em bership in lab o r organizations in
th e m ass-production in d u stries, b u t are generally a d m itte d by unions in th e
p rin tin g a n d building tra d e s, m an y of th e railro a d a n d m e ta l tra d e s, etc. In
th e P o stal S ervice, an d in sections of th e railro a d an d m aritim e industries, th e y
h ave th e ir own unions. Pag 3 1049.

Compulsory transfer of manpower in Canada.
T he first use of th e C an ad ian G o v ern m en t’s com pulsory pow er over th e civilian
u tilizatio n of m anpow er was m ade in A pril 1943. In t h a t m o n th th e G overn m en t
ad o p ted tw o m easures by w hich m en u nfit for m ilita ry service can be ordered to
specified jobs deem ed su itab le for them . These m easures are relied upon to alle
v iate shortages of lab o r in essential industries. Page 1095.


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Ill

IV

This Issue in Brief

H age stabilization in southern California, airframe industryr.
W age ra te s uniform th ro u g h o u t th e airfram e p la n ts in so u th ern C alifornia
were established by a decision of th e N atio n al W ar L ab o r B oard, issued on
M arch 3, 1943. t h e occupations are classified into 10 lab o r grades a n d m inim um
hourly rates are set for each. T hese rates range from 75 cents p er h o u r for
grade X occupations to $1.45 in grade I; for exceptional w orkers in grades I to
IV specialist rate s are set, ranging respectively from $1.30 to $1.60. Secondfn • j
u ftTWOrkerf are to receive differentials of 6 cents p er hour, an d th e
th ird -sh ift em ployees also receive 8 h o u rs’ p ay for 6j4 h o u rs’ work. T he revisions
in ho u rly p ay necessitated by th e B o a rd ’s order will, it is e stim ated resu lt in
w age increases averaging 3.6 p ercent. Page 1188.

New dwelling units in nonfarm areas, first quarter of 1943.
.
pas been il .,®c!rit *nii ed dow nw ard tre n d in p riv a te ly financed building
since th e sum m er of 1941. Less th a n 30 p ercen t of th e dw elling u n its s ta rte d in
th e first q u a rte r of 1943 were p riv a te ly financed, as ag a in st 80 percent du rin g th e
sam e period of 1942 (before c u rta ilm e n t of nonessential construction)
In
m ark ed c o n tra st is th e increase in publicly financed building. D u rin g th e first
3 m o n th s of 1943 alm ost th ree tim es as m an y dw elling u n its were p u t un d er constru c tio n as during th e corresponding period in 1942, or m ore th a n 40 p ercen t of
th e to ta l for th e en tire y ear 1942. T here has been, how ever, a definite shift in
u n its e p a g e 1149nC6d W&1 h ° USmg Pro Sram to co n stru ctio n of te m p o ra ry -ty p e

M unicipal employment and p a y rolls, 1929-38.
A W PA stu d y sponsored by th e B ureau of L ab o r S tatistics (covering em plovm en t an d p ay rolls in S tate, cou n ty , a n d m unicipal governm ents) revealed th a t in
cities w ith a p o pulatio n of 100,000 or over, from 30 to 55 p ercen t of th e em plovees were engaged m edu catio n al w ork in 1938.
P ro tectiv e services (police
firem en etc.) form ed th e n ex t larg est group. A lthough th ere were some excepP

1097 ^


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°ltieS USUal 7 h3d thG high6St PCT Capita Pav' ro11 expenditures

r

MONTHLY LABOR REVIEW
FOR JUNE 1943

E F F E C T O F U N A N N O U N C E D Q U IT S O N A B S E N T E E IS M
I N S H IP B U IL D IN G 1
IN ORDER, to evaluate the significance of unannounced quits on
absenteeism rates, the Bureau of Labor Statistics requested all com
mercial shipyards to report the am ount of time lost during the mid
week of January 1943 by workers who were subsequently dropped
from the rolls as having quit w ithout giving notice. D ata were sub
m itted by 44 shipyards, with labor forces ranging in size from less than
500 to more than 30,000 wage earners.
The proportion of time lost because of unannounced quits varied
greatly from yard to yard, some yards reporting th a t no time was lost
for this reason and other yards reporting th a t more than 20 percent
of the time lost was due to carrying on the rolls those persons who had
quit work without giving notice to the company. One shipyard
reported th a t more than 23 percent of its absenteeism was due to these
quits and th at an additional 9 percent was due to “announced” quits.
In this yard, persons who gave notice to the company were carried
an average of 2.7 days before their names were dropped from the rolls.
The absenteeism rate of 13.2 percent for this shipyard was reduced to
9.3 percent when adjusted for both announced and unannounced
quits.
The length of time the persons who had left without giving notice
were carried on the rolls also varied greatly from shipyard to shipyard.
Some yards term inated such employees after 2 days’ absence, whereas
m any yards carried them for 2 to 3 weeks and one yard carried them
for as long as a m onth. Generally, small yards carried their absen
tees on the rolls for a shorter period than did large yards. This was
undoubtedly due to the fact th a t the foremen in small yards were
better acquainted with their men and consequently knew when an
individual who did not report for work had actually “ quit.” None
of the yards with fewer than 1,000 workers reported th a t they carried
absentees more than 7 clays. On the other hand, large companies
usually carried absentees at least 7 days and m ost of the companies
with employment of 10,000 or more carried them for a t least 2 weeks.
The time lost in 44 yards as a result of unannounced quits amounted
to 10.2 percent of all time lost because of absenteeism. The over-all
rate of absenteeism for the yards—before adjusting for quits—was
9.0 percent and the rates for individual yards ranged from 0.7 percent
1 Prepared in the B ureau’s Division of C onstruction and Public Em ploym ent. For a more detailed
discussion on absenteeism in shipyards, see M onthly Labor Review for February 1943 (reprinted, w ith
additional data, as B ulletin No. 734).


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1047

Monthly Labor Review— June 1943

1048

to 15.6 percent. After adjusting for quits the over-all rate was
reduced to 8.1 percent and the rates for individual yards ranged from
0.7 percent to 15.2 percent.
Absenteeism Rates in 44 Commercial Shipyards, Adjusted for Unannounced Quits,
January 1943

Shipyard

A b
Absentee
sentee ism rates
ism
(adjusted
rates 1 for qu its)2

Shipyard

Ab
sentee
ism
rates 1

A bsentee
ism rates
(adjusted
for q u its)2

All yards (44) _

9.0

8.1

Y ard N o. 15__

4.3

3.9

Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard

0.7
1.2
1.3
1.8
2.0
2.9
3.2
3.2
3.2
3.3
3.8
3.8
3.9
4.0

0.7
1.2
1.3
1.8
1.5
2.8
3.2
3.0
3.1
3.3
3.8
3.6
3.8
3.4

Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard

5. 1
6.0
6.1
6.4
6.6
7.4
7.5
7.8
8.0
8.4
8.7
9.2
9.5

4.1
5.8
4.7
5.2
6.0
6.9
7.5
6.3
7.8
7.7
8.6
7.6
8.4

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

1- 2___
3__.
4__.
5_-_
6_._
7 —
8___
9..
10...
11..
12..
13...
14..

Shipyard

Y ard N o. 30..

4 4

N o. 17_.
No. 18_.
N o. 19..
No. 20._
N o. 21_.
No. 22..
No. 23 _
No. 24 .
No. 25_.
No. 26..
No. 27_.
No. 28..
No. 29..

Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard
Y ard

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

32__
33__
34..
35..
36..
37__
38..
39..
40_.
41__
42..
43..
44..

Ab
sentee
ism
rates 1

A bsentee
ism rates
(adjusted
for quits)2

10.0
10 0
10.4
10.7
10.8
11.2
11.2
11.2
11.9
11.9
12.0
12.7
13.2
13.5
15.6

8.7
8. 3
10.2
9.9
9.3
11.0
11.1
11.1
10.7
10.4
11.7
11.9
10.4
13.4
15.2

1 Ratios, expressed in percent, of total tim e lost from absenteeism to tim e lost plus tim e worked.
2 Absenteeism rates com puted after the exclusion of tim e lost by workers subsequently dropped from pay
rolls as unannounced quits.


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U N IO N M E M B E R S H IP A N D C O L L E C T IV E
B A R G A IN IN G B Y F O R E M E N 1
T H E membership of supervisory personnel in labor organizations and
their inclusion under collective-bargaining agreements are not new
developments. Practice differs widely as between industries and
unions, and in m any cases within industries and among the various
locals of international unions. The general outlines are clear, how
ever, and can be summarized as follows:
1. Exclusion of foremen and supervisors from membership in
unions which include the production workers is the general rule in the
mass-production industries, such as the m anufacture of steel, auto
mobiles, electrical products, rubber, and clothing. Some of the
agreements, however, cover “working” foremen and supervisors such
as gang leaders.
2. Separate organization by supervisory groups has long been the
practice in the m aritim e industry, in parts of the railroad industry,
and in the Postal Service.
3. Forem an membership in unions and the inclusion of foremen
under agreements covering production workers are general in the
printing and building trades, in the metal trades insofar as they
operate on a craft basis, in many of the railroad trades, and to a
greater or lesser extent, among the teamsters, longshoremen, and
others.

Industries

Where Foremen are Customarily Excluded From
Production Workers' Unions

In a m ajority of the mass-production industries, foremen and super
visory officials do not belong to the unions to which the men who
work under them belong, although some are members of unions of
their own. Also, foremen are specifically excluded from coverage
under most of the collective agreements which cover production and
m aintenance workers. The line of distinction, however, is not always
clearly defined and m ay not be uniform from plant to plant even in
the same industry. For instance, in some cases the term “m ana
gerial position” or “supervisor” m ay be interpreted to exclude some
foremen or section leaders. In other plants these persons m ay be
considered as a p art of the supervisory staff“. Usually, if there is a
dispute between the employer and union over the question of inter
pretation, the m atter is taken up through the grievance machinery as
provided in the agreement, and thus an arbitrator makes the final
determination.
Typical agreement clauses relating to the status of foremen are—
T he em ployer agrees to em ploy none b u t m em bers of th e union, excepting
office w orkers and em ployees engaged in an y kind of m anagerial position.
T he com pany recognizes th e union as th e sole collective-bargaining agency for
all its production an d m ain ten an ce employees, excluding su p erin ten d e n ts, fore
m en , and technicians.
i Prepared in the B ureau’s In d u strial Kelations Division.


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1050

Monthly Labor Review— June 1943

W here foremen are excluded from coverage in the employer-union
contract it is by decision jointly arrived at through collective bar
gaining. In such cases a union in one plant m ay include certain
groups of employees which might he excluded in another plant with
winch the same union has an agreement. Where a union’s constitu
tion excludes certain types of workers, the practice throughout the
union s jurisdiction would tend to be uniform, b u t there is the possi
bility ot varying interpretations from plant to plant. *
1he constitutions of at least 37 international and national unions
specifically exclude supervisors and foremen, although some of them
perm it sub foremen, assistant foremen, and gang or section bosses to
be members. The constitutions of 120 unions "do not mention foremcii. Presum ably most of these exclude foremen from membership
although some of their locals m ay include foremen in the absence of a
constitutional provision debarring them.

Unions Composed Solely of Foremen and Supervisors
Nine long-established unions are composed solely of persons of fore
man and supervisory rank. Some of these unions are unaffiliated
and otiieis aie affiliated with either the American Federation of
Labor or the Congress of Industrial Organizations. Three are organ
izations of licensed m aritime personnel, two include yardm asters and
supervisors in the railroad industry, one is composed of m aster me
chanics and foremen of navy yards, and three are composed of supervisory personnel in the Postal and Railway M ail service.
In addition to the long-established unions are several independent
foremen s unions which have recently been organized. One of these,
in ^ <?l emon f Association of America, signed an agreement with the
fo rd M otor Co. in M arch 1943, which covers six classifications of
foremen, ranging from shop foremen supervising 30 men to general
ioiemen supervising 150 men. This union has also recently won a
consent election a t the Packard M otor Car Co.

Industries Where Foremen Customarily Belong to Unions
There are at present 29 unions which perm it, and in some cases, requiie membership oi foremen in the same union as production workers.
In most of these unions the inclusion of foremen has been a long-stand
ing practice. One union, the United Mine Workers of America, has
only recently adopted the necessary rules for the acceptance of superwsois into membership. M ost of the unions which include foremen
under the same agreements covering production workers are in the
punting and building trades, in the m etal trades insofar as they
operate on a craft basis, and in m any of the railroad trades.
P R IN T IN G T R A D E S

In both newspaper and book and job printing, union membership
of foremen, under the closed-shop agreements, has been required
since 1889. The practice is so thoroughly established th a t it now
appears to be accepted as a m atter of course. Contracts provide
wage scales for foremen, and include foremen under other provisions.


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Foremen as Union Members

1051

Foremen continue to have a voice and vote in the union, although
they tend to become inacti ve members. A recent study2notes th a t—
In early years, m an y publishers were stro n g ly opposed to h av in g th e ir rep re
sen tativ es owe allegiance to th e union. As c o n tracts becam e m ore inclusive,
how ever, an d rights of b o th em ployers an d unions m ore clearly defined, publishers
in general ceased to object. T hey are now chiefly concerned lest forem en should
be su b ject to union discipline for differing w ith th e local union in th e in te rp re ta 
tio n of th e term s of a c o n tract. T he in tern atio n als generally recognize th e
justice of th e publishers’ position an d a m ethod is p ro v id ed for th e jo in t se ttle 
m en t of such disputes. T he unions do n ot, how ever, forego th e ir rig h t to disci
pline forem en for disobeying laws relating to in tern al union m a tte rs, or for
deliberately disregarding union rules. A lthough th ere is still occasional co m plaint
th a t som e locals a tte m p t, by disciplining forem en, to enforce conditions n o t p ro 
vided for in contracts, th e p ractice is n o t so com m on as to co n stitu te a m ajo r
issue. * * *
T he forem an represen ts th e em ployer in dealing w ith grievances arising in
his d ep artm en t. H e settles m any day -to -d ay grievances an d com plaints w ith
th e chapel (local) chairm an, w ith o u t recourse to th e jo in t stan d in g com m ittee or
to a rb itra tio n . * * *
In book and job p rin tin g th e union m em bership of forem en is so th o ro u g h ly
established th a t it does n o t becom e an issue except occasionally in a new ly org an 
ized p lan t. I t is clearly recognized th a t th e fo rem an ’s first responsibility is to
m anagem ent. H is d u ty to th e union is to ad m in ister th e ag reem ent fairly in th e
p lan t. T here are ad v an ta g es in this system in th a t th e forem an, necessarily a
skilled m an himself, is th o roughly acq u ain ted w ith th e problem s of th e men an d
w ith th e union agreem ent an d rules. H e is in good position, therefore, to in te r
p re t th e u n ion’s position to m anagem ent, an d vice versa. H ow ever, th e fact
th a t he m ay be disciplined by th e union, if th e union considers th a t he has violated
th e agreem ent or a union rule, is a source of difficulty in som e cases. F e a r of
union discipline som etim es interferes w ith a fo rem an ’s efficiency, alth o u g h th e
stro n g forem an is little affected. T here is in some cases a need for m ore th o ro u g h
p rotection of forem en from union discipline for carrying o u t office orders, pending
d e term in atio n of an issue th ro u g h th e negotiatio n or a rb itra tio n m achinery.
B U IL D IN G T R A D E S

Nearly all the building-trades unions require foremen to be union
members. Foremen usually work with tools along with the men they
supervise. Union contracts therefore often regulate their wages,
hours, ratio to journeymen, and the conditions under which they may
use tools. Foremen are considered agents of the employer, with
power to hire and fire under the terms of the contract. They are
under the control of the union, however, to the extent th a t foremen
who violate union rules are suspended and this autom atically ends
their foremanship. The following statem ent, w ritten in 1929,3 is in
all probability largely true today:
T he em ployer objects to such rules (regulating forem en’s w ork) chiefly because
th e union reserves th e rig h t to discipline th e forem an for his con d u ct on th e job.
A forem an convicted of “ ru sh in g ” is su b ject to stric te r discipline th a n a w orker
guilty of th e sam e offense. H is activ ities on th e job are often subject to review
by th e union; w orkers m ay file com plaints ag ain st him . C onviction results in
suspension from forem an ’s d uties for a period of tim e, a fine, a n d freq u en tly even
suspension from th e union. T hese lim itatio n s on th e fo rem an ’s pow er re stric t his
supervisory in itiativ e and deprive th e em ployer of m uch of th e value of his services.
R ecently, by giving th e rig h t of review ing a fo rem an ’s activ ities to a jo in t tra d e
b oard, this objection has been p a rtly m et.
2 How Collective Bargaining W orks. New Y ork, Tw entieth C entury F und, 1942, pp. 67, 68, 147.
2 Industrial Relations in the B uilding In d u stry , by William H aber. Cam bridge, H arvard U niversity
Press, 1930, p. 218.


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Federal Reserve Bank of St. Louis

1052

Monthly Labor Review— June 1943
M ET A L T R A D E S

Although the practice is less uniform in the m etal trades than in
punting and building, the tradition among the m etal-trades unions is
to require foremen to be union members, and to establish wage rates
lor them. Thus, in shipyards under agreements signed by A. F. of L.
m etal-trades councils, foremen as well as working foremen are usually
required to be union members. M achinists generally expect foremen
to be members until they become “general foremen,” or superintend
ents.^ Some agreements require membership only of “working fore
m en,” however. Foremen m ay attend meetings and have a vote in
t ^ u m o n , although there are sometimes restrictions upon holding
Y\ lien the A. F. of L. m etal-trades unions, especially the machinists
y'i'i elect rical workers, organize on an industrial basis, they gener
ally follow the usual practice in the mass-production industries'’ th at
is, they exclude foremen from agreements which cover production
and m aintenance employees. The point at which the break is made,
between minor supervisors who are covered and supervisors who are
excluded, depends upon local conditions.
m a r it im e

in d u s t r y

f lu general practice in the m aritim e industry is for the unlicensed
seamen to make up one unit, and for officers to be separately organ
ized and to constitute separate bargaining units. The N ational Organ
ization of M asters, M ates and Pilots (A. F. of L.), United Licensed
Officeis (independent), and N ational M arine Engineers’ Beneficial
Association (C. I. O.) are all unions of supervisory groups which
bargain separately. Practice is not uniform, however, and there are
cases where agreements of the above officers’ organizations cover un
licensed personnel. For example, an agreement of the M arine D i
vision, International Longshoremen’s Association, covering tugboats
in the Port of New York, covers all personnel from captain to deck
hand.
R A IL R O A D IN D U S T R Y

There is extensive organization of supervisory personnel in the
railroad industry. The practice varies, however, as to type of organi
zation. Some foremen and supervisors are organized into unions of
then own; m some crafts they belong to the same unions as the men
whom they supervise. The National M ediation Board has not con
sidered this a problem. It normally accepts the “class” or “craft” as
a bargaining unit with whatever inclusions or exclusions have become
the general practice in the industry or by agreement of the contesting
unions.
In engine service the engineers and firemen are usually, but not
always, m separate unions. The engineers, of course, are in a super
visory position to the firemen; likewise, the conductors are in a
supeivisory position to brakemen. They are in separate bargaining
units although not always in separate unions.
In yard service some of the yardm asters belong to the yardm asters’
unions, although others are members of the train-service and the
switchmen’s unions. The yard foremen, together with the helpers


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Federal Reserve Bank of St. Louis

Foremen as Union Members

1053

and switch tenders, are normally affiliated with either the trainm en’s
or switchmen’s union.
The agreements of the railway clerks, telegraphers, and signalmen
cover both the supervisors and the men under them, although these
agreements (like others on the railroads) often have a supplem entary
list of “ excepted positions” including higher supervisory jobs. In the
maintenance-of-way service, foremen are included in the same union
and bargaining unit as the laborers. These latter agreements,
however, exclude supervisors in the track departm ent and general
foremen in the bridge and building departm ent.
The seven craft unions in railroad shops include “leader m en” as
well as stationary engineers who act in p art as supervisors. The
foremen in the railroad shops are organizing in increasing numbers
into a union of their own—the American Hallway Supervisors’
Association. Some supervisors and mechanics belong to a separate
unit under the A. F. of L. Hailway Employees’ D epartm ent.

Foremen and Supervisors in British Trade-Unions
Recent information received by the Bureau of Labor Statistics
contains the following statem ent as to the situation of foremen and
supervisors in British trade-unions: 4
T he o rganization of supervisory grades of w orkers in o rd in ary unions has
increased in recen t years. T he T rad es U nion Congress recognizes n o n m an u al
w orkers as a sep arate group am ong its affiliates a n d gives th e m se p arate re p re se n ta 
tio n on th e G eneral Council. T he group com prises 12 unions, w ith a to ta l
m em bership of 140,000 w orkers in b an k in g an d insurance, clerk s’, a c to rs’, film
a rtis ts ’, m usicians’, an d th e a tric a l w orkers’ unions, a n d includes m edical p ra c ti
tioners, cinetechnicians, a n d scientific w orkers.
U nions in o th er groups of th e T. U. C. c a te r fo r su pervisory grades, swelling
th e to ta l num bers. T he m ining group includes union colliery dep u ties (foremen
underg round). S up erin ten d en ts an d a d m in istra tiv e w orkers are free to join th e
railw ay unions, an d m a n y do. T he tra n sp o rt group, besides th e railw ays, in
cludes th e N av ig ato rs a n d E ngineer Officers U nion, a n d th e R ad io Officers
U nion, while th e tra n s p o rt w orkers h av e a n a d m in istra tiv e section. T he
engineering group includes th e E lectrical Pow er E ngineers, th e A ssociation of
E ngineering an d S hipbuilding D rau g h tsm en , th e E ngineer Surveyors A ssociation,
an d th e A ssociation of S upervisory Staffs an d E ngineering T echnicians. O ther
c ra ft unions a d m it forem en as m em bers, union m em bers som etim es declining to
w ork u n d er nonunion forem en. In p rin tin g an d com posing, room heads, cor
rectors, etc., are em braced by th e unions. T h e Jo u rn a lists U nion is open to
editors b u t n o t to owners. M any c raft unions in o th e r in d u stries include forem en
a n d supervisory grades.
T he A ssociation of Supervisory Staffs a n d E ngineering T echnicians w as form erly
a sm all association of forem en, b u t changed its title a n d b ro ad en ed its basis lastyear. Its m em bership has since q u ad ru p led a n d is now 10,000. I t covers
supervisory grades, tech n ician s, p lan n in g a n d p ro d u ctio n engineers, a n d personnel
m anagers in engineering, shipbuilding, a n d tra n sp o rt. I t m ain ta in s th a t these
are w orkers a n d n o t ow ners, a n d have th e sam e rig h t to unionize as th e em ployees
th e y supervise; an d i t has won recognition from v aried ty p e s of em ployers. I t
feels th a t a new drive is needed to unionize m anagers in m ass in d u stry who have
h ith e rto n o t been very “ union conscious,” as well as a rtisa n forem en an d sem iprofessional technicians.
4 Copy of a letter dated M arch 25, 1943, from B ritish Inform ation Services (an agency of the] B ritish
G overnm ent), Inform ation Division.


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Federal Reserve Bank of St. Louis

E A R N IN G S I N A IR C R A F T -P A R T S P L A N T S ,
N O V E M B E R 1942 1

Summary
T H E straight-tim e average hourly earnings of day-shift workers,
who constituted 55 percent of the labor force of 149 aircraft-parts
plants studied by the Bureau of Labor Statistics, amounted to 91.1
cents per hour in November 1942. Women, who comprised nearly
one-fifth of the workers studied in detail, earned an average of 68.9
cents per hour as compared with 96.1 cents for men. Plants in the
N orth Central States showed the highest straight-tim e earnings.
Wide ranges were found in the average rates paid by different plants
for similar work. There appeared to be no m arked relationship
between earnings and size of plant, and incentive systems of wage
paym ent were not common. Estim ated straight-tim e average hourly
earnings in a group of 94 plants for which comparable data were
available rose from 78.7 to 98.3 cents per hour between January 1941
and November 1942.

Nature of the Industry
The aircraft-parts industry is made up of numerous establishments
acting prim arily as subcontractors for the producers of m ilitary
planes. These aircraft-parts establishments vary greatly with
respect to size and productive processes, and the parts they m anu
facture range from m inute fittings to m ajor subassemblies. Although
m ost of the plants m anufacture m any different kinds of parts, a few
are highly specialized and produce only one or a small num ber of
items.
The industry has developed largely as a result of the expanded
aircraft-production program since the outbreak of the war. In 1939,
the num ber of establishments engaged exclusively in the production
of parts for aircraft was relatively small. The rapid growth of the
industry since early 1940 m ay be attributed mainly to two factors:
(1) The heavy demand upon the aircraft m anufacturers to meet
ever-increasing production schedules necessitated the subcontracting
to outside plants of much of the work on small parts and subassem
blies in order to release critical floor space in the airplane assembly
factories. (2) Thousands of m anufacturers in other industries,
whose usual lines of production had been curtailed because of short
ages of materials, were forced to turn to defense •production or shut
down their plants; many of them consequently converted all or part
of their plant facilities to the production of aircraft parts, thereby
utilizing valuable machine tools and skilled labor forces in an essential
war industry.
Of the 149 plants included in the present survey of wages in the
aircraft-parts industry, more than half have either converted from
other industries or have been established for the production of air
craft parts since 1940. M any of these plants are still m anufacturing
other products in addition to aircraft parts. This is especially notice1 Prepared in the B ureau’s Division of Wage Analysis by E d ith M . Olsen under the supervision of H . M.
D outy.

1054

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Federal Reserve Bank of St. Louis

Earnings in Aircraft-Parts Plants

1055

able in the N orth Central States where nearly all of the plants included
in this study have converted from the m anufacture of other products.
Also, many of the plants in this region are comparatively large and
have contracts for the m anufacture of other types of war products.
Consequently, some of the plants in the N orth Central area employ
appreciable numbers of workers for these other operations despite
the fact th a t their principal products are aircraft parts. However,
at the time of the Bureau’s survey, in October and November of 1942,
more than 85 percent of all the workers employed in the 149 plants
studied were actually engaged in the production of aircraft parts.
Although the establishments are widely scattered geographically,
there are marked concentrations of parts plants around the centers of
greatest importance in the airframe-assembly industry. In the Los
Angeles area, for instance, the spectacular growth of the airframe
industry has been accompanied by the development of a subsidiary
parts industry. In the East, where the aircraft industry was first
established, there has been a similar development; however, parts
plants in this area are more widely distributed geographically than in
California, as the eastern airframe industry is scattered from M aryland
to Connecticut.

Scope and Method of Survey
This report on wages in the aircraft-parts industry is one of a series
of studies of the aircraft industry made by the Bureau of Labor
Statistics. Earlier reports analyzed the earnings of workers em
ployed in the airframe, engine, and propeller branches of the industry,
and a separate article on the aircraft-parts industry in California was
recently published.2
In order to insure comparability of the wage data obtained, it was
obviously necessary to lim it the scope of the survey to plants per
forming the same general types of operations. Therefore, only those
establishments engaged primarily in metalworking operations were
included. Despite a general similarity in the types of operations per
formed in these plants, however, there is a very great diversity in the
types of aircraft parts they produce. Some of the typical products
which are currently being m anufactured in the plants studied are
wing, tail, and fuselage parts, hydraulic assemblies, undercarriage
parts, struts, wheels, cowlings, fuel tanks, and innumerable smaller
parts. Excluded from the scope of the present study are plants
engaged primarily in the m anufacture of aircraft parts in the follow
ing categories: Electrical equipment and accessories, aircraft armor
plate, engine and flight instruments, and parts made entirely of
rubber, wood or plastics.
Because of the heterogeneous nature of this branch of the aircraft
industry, even within the limits described above, it is unusually dif
ficult to select any group of establishments to represent adequately the
entire parts industry. Nevertheless, the 149 plants included are
believed to constitute a representative sample of the aircraft-parts
2 Reports on various branches of the aircraft industry now available are Bureau of Labor Statistics B ul
letins No. 704 (Wage R ates in the California Airframe Industry. 1941) and No. 728 (Wage R ates in the E ast
ern and M idw estern Airframe In d u stry , 1942). An article, Earnings in A ircraft-Engine P lants, M ay 1942,
appeared in the M onthly Labor Review for December 1942 and is available separately as Serial No. R. 1505.
T he M onthly Labor Review for A pril 1943 contained two articles on airplane m anufacture—Wages in the
A ircraft-Propeller In d u stry , October 1942, and Earnings in California A ircraft-Parts Plants. Novem ber
1942.


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Federal Reserve Bank of St. Louis

1056

Monthly Labor Review— June 1943

industry as it lias been defined for the purpose of this study. The
iactors of location, size of plant, unionization, and corporate affiliatluTsample && tyP6 ° f product’ were taken into account in selecting
As noted above, most of the plants m anufacture several different
lands of parts ; as a result the wage data cannot be analyzed according
, ’■
v,)<‘ oi Product. In spite of the variation in products m anufactured,
however, all of the plants studied were found to have very similar
occupational patterns. Standard job descriptions were used by the
held representatives of the Bureau in order to assure the greatest
p h n tc 6 um orm py ih tp e classification of occupations in the various
+ Tihe^ 49A antS C01v1e red
the survey are scattered from the East,
o ie VYest C oast, although, as already noted, there is a concentration
o plants in certain sections of the country. The distribution of the
plants and workers studied, by region and State, is indicated in table 1.
T able

l.— Number of Aircraft-Parts Plants and Percent of Workers Covered by Survey
by Region, November 1942
'
Region

N um ber of
plants

Percent of—
P lan ts

All regions
—

N orth C entral States 2
California 3___
Southw estern States 4

36
57

W orkers

100.0

100.0

24.2
38.2
.5
10.1

16.4
57.1
20.0
6. 5

19; Peam sydlv a n n U4ed 3S follows: Conneeticut> 3; M aryland, 2; M assachusetts, 3; N ew Jersey, 5; N ew York,
4; Öhio. lSaV iTconTnTl
’ 1 m um cag0; : ln d iana, 6; M ichigan, 19 (13 in Detroit
4 h,lanl s Î l s!;ri l u î 04 âs follows: Los Angeles area, 35; San Diego, 5; San Francisco 1
I lants d istrib u ted as follows: Kansas, 4; Colorado, 2; M issouri, 2; Oklahoma, 4; Texas, 3.

Nearly three-fifths (57.1 percent) of the workers for whom detailed
occupational wage data were compiled were employed in the 57 plants
in the N orth Central States. California accounted for 41 plants the
greatest num ber in any one State, and for 20 percent of all the workers
lh e Eastern region was represented by 36 plants employing 16.4
percent of the workers The remaining 15 plants were Scattered
throughout Kansas, Colorado, Missouri, Oklahoma, and Texas and
employed only 6.5 percent of the workers.
Detailed occupational data were obtained in the 149 plants for all
first- or daylight-shift workers engaged in the production of air
craft parts at the time of the survey. These first-shift workers con
stituted over 55 percent of the total number of aircraft employees in
the plants studied. Separate occupational data were obtained for
male and female workers. Various kinds of general plant information
such as overtim e-paym ent policies, shift differentials, entrance rate s’
recent wage-rate changes, and unionization, were obtained for each
plant m order to facilitate the analysis of the wage data. The informa
tion lor the present survey was collected by experienced field represent
atives oi the Bureau from pay-roll and other plant records. M ost of
t ie wage data relate to representative pay-roll periods in November
1942. In some plants, however, wage data were obtained for a
representative week shortly before or shortly after November.

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Earnings in Aircraft-Parts Plants

1057

Characteristics of the Labor Force
There was considerable variation, among the plants studied, in the
proportions of skilled workers employed. In some of the larger plants,
where m any of the operations have been divided into relatively routine
tasks, a large percentage of the workers were doing simple machine
and assembly work. In some of the smaller plants, on the other hand,
the labor force was made up almost entirely of highly skilled mechanics.
Women were employed in production work by 113 of the 149 plants
included in the survey. These women constituted 20.7 percent of the
total working force employed on aircraft-parts production, and 18.3
percent of all the first-shift workers for whom occupational wage rates
were obtained. Over 19 percent of the workers studied in California
as well as in the N orth Central States were women; in the Eastern
area, they accounted for 16.2 percent of the workers and in the rem ain
ing States for only 12.4 percent. Women were employed in a great
num ber of different occupations, as table 4 will indicate, although
relatively few were working in the highly skilled occupations.
Negroes were employed in 57 of the 149 plants, b u t comprised only
2.6 percent of the total labor force engaged in the production of air
craft parts. M ost of the Negroes were working as janitors, helpers,
laborers, and truck drivers, but a considerable num ber were employed
as assemblers, anodizers, and machine operators. W ith minor excep
tions, the few Negro women found in these plants were engaged as
jani tresses.
Forty-eight of the 149 plants studied were operating under agree
m ents w ith nationally affiliated labor unions. In 24 cases the unions
were affiliated with the Congress of Industrial Organizations, and in
an equal num ber with the American Federation of Labor. In two
other plants, both in California, negotiations with nationally affiliated
unions were in progress at the time of the survey. Fourteen com
panies reported agreements with independent unions, and the rem ain
ing 85 plants reported no union agreements.
The extent to which the aircraft-parts industry was organized by
labor unions varied greatly in the different sections of the country.
Union agreements were in effect in 35 of the 57 plants in the North
Central region. Nineteen of these 35 plants were organized by
C. I. O. unions, 9 by A. F. of L. organizations, and the remaining 7 by
unaffiliated unions. Ten of the 19 M ichigan plants, most of which
had been converted to aircraft-parts production from the automobile
industry, were organized by the United Automobile Workers, Congress
of Industrial Organizations. In the E ast, 12 of the 24 plants studied
were organized by labor unions—-6 by A. F. of L., 4 by C. I. O., and
2 by unaffiliated unions. Five of the 9 labor unions found in the
California plants were affiliated with the American Federation of
Labor, and the other 4 were independent. In the Southwestern
States, only 6 of the 15 plants were organized—4 by A. F. of L., 1 by
C. I. O., and 1 by an independent union.
M ost of the companies were training some new and inexperienced
workers in the plants. Approximately 9 percent of all the first-shift
workers covered were classified as trainees in various occupations.
Slightly more than half of these trainees were women, most of whom
were learning to be assemblers, inspectors, or machine operators.


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Federal Reserve Bank of St. Louis

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Monthly Labor Review— June 1943

Nearly 50 percent of the male trainees were employed as machine
operators. The plants in California and in the N orth Central States
employed a much larger percentage of trainees than did those in the
other areas.

Wage-Payment Practices
Employees in all of the plants studied were paid time and a half
for all work above 40 hours a week, and 108 of the plants also applied
the overtime rate to all work above 8 hours a day. One plant paid
time and a half for all work after 7% hours a day, and another paid
double time for all work fafter 11 hours in 1 day. Twenty-six
plants paid time and a half and 111 paid double time for work on the
seventh consecutive day. Holiday work was compensated for at the
rate of time and a half in 94 plants and at double time in 12 plants.
Fifty-six of the 149 plants were operating on a 3-sliift basis, but
only 16.6 percent of all the aircraft-parts employees were working on
the third shift. Nearly 19 percent of the workers employed in the
plants in the N orth Central region were on the third shift, whereas in
the California plants third-shift workers constituted only 7.9 percent
of the labor force. Sixty-nine plants were operating 2 shifts; 28
percent of all workers were employed on the second shift. The
remaining 24 plants had only 1 shift. Somewhat more than half
(55.4 percent) of the total working force employed on aircraft-parts
production was scheduled on the first shift.
Among the 125 plants operating more than one shift, there was
little uniformity with respect to the paym ent of wage differentials to
workers on evening and/or night shifts. In 29 of these plants, no
differential was paid to second-shift workers, and in \7 ¡plants no
differential was paid for work on either the second or third shifts
(table 2). Although m any of the companies paid a higher premium,
the m ost common rate, an additional 5 cents per hour above the base
rate, was paid to second-shift workers in 43 plants. Twenty-two of
the companies operating three shifts paid greater differentials to
workers on the third or night shift than to those on the second or
evening shift.
Nineteen of the companies reported no established uniform hiring
rates for new workers. Among the companies which reported stand
ard entrance-rate schedules, new workers were m ost commonly paid
starting rates between 50 and 60 cents an hour. In several cases the
entrance rates for new female employees were lower than those for
men. There was no uniform ity among the plants in the provisions
made for autom atic increases in rates after specified periods of service.
In m any of the plants, workers were granted wage increases only on
the basis of individual merit. In the plants where autom atic raises
based on length of service were reported, the usual am ount of the
increase was 5 cents an hour, a t intervals ranging from 4 to 6 weeks
until basic job rates were attained.


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Federal Reserve Bank of St. Louis

Earnings in Aircraft-Parts Plants
T a b l e 2 . — Wage Differentials

1059

for Second and Third Shifts in 149 Aircraft-Parts Plants,
November 1942
D ifferentials paid for—

N um ber of shifts worked

N um ber
of plants
Second shift

P lants w ith 1 shift only- _
P lants w ith 2 shifts

*

P lants w ith 3 sh ifts. ____

24
17
2
25
4
1
3
1
2
2
1
1
2
5
1
1
1
7
1
1
1
1
1
2
1
1
11
1
3
2
1
1
1
2

No differential
3 cents per hour. ____ _____
5 cents per hour-- ____________
6 cents per hour. - __ ________
8 cents per h o u r_____ ________
10 cents per h o u r_____________
10 cents per hour, plus pay for
20-minute lunch period.
10 hours’ pay for 9.5 hours’ work5 percent over base ra te ____
5 percent of weekly wage______
5 percent of gross earnings - _
10 percent over daily ra te __
10 percent over weekly ra te ____
15 percent over base rate. ____
Paid for 30-minute lunch period9.5 hours’ pay for 9 hours’ workNo differential
___ do ___ _________________
____do__________________
___ do________________________
___ do________________________
___ do_______________________
2.5 cents per h o u r____ - _
3.5 cents per h o u r - .. ........
4 cents per hour _ __ ___ - _
5 cents per hour - - - ____do_____ __________ _______
___ do___________ ______ _____
___ do____
__ ___________
____do____ _________________
5.5 cents per hour plus 8 hours’
pay for 7.5 hours’ work.
6 cents per h o u r--- ____
____
___ do_______ ____________ _

1 6.5 cents per h o u r- -.
__ _ 1 7.5 cents per h o u r__
1 8 cents per h o u r__________ - -_
1 ___ d o ________________________
1 10 cents per h o u r. _ ____ _
_
1 One-fifteenth of first-shift ra te .-4 5 percent over base ra te . - - ____
___
1 ____do ____________ ____ _
1 ____do ____ _____________ - -3 10 percent over base ra te __ ____
1 10 percent over weekly r a t e ___
1 50 cents per d a y ..
1 8 hours’ pay for 7 hours’ w o rk --.

T h ird shift

No differential.
5 cents per hour.
10 percent of hourly rate.
8 hours’ pay for 7 hours’ work.
8 hours’ pay for 7.5 hours’ work.
14.5 percent over base rate.
5 cents per hour.
3.5 cents per hour.
4 cents per hour.
5 cents per hour.
7 cents per hour.
10 cents per hour.
8 hours’ pay for 6 hours’ w ork.
8 hours’ pay for 6.5 hours’ work.
11 cents per hour, plus 8 hours’
pay for 7 hours’ work.
6 cents per hour.
6 cents per hour, plus 8 hours’
pay for 6.5 hours’ work.
6.5 cents per hour.
7.5 cents per hour.
8 cents per hour.
12 cents per hour.
10 cents per hour.
One-seventh of first-shift rate.
5 percent over base rate.
7.5 percent over base rate.
10 percent over base rate.
Do.
10 percent over weekly rate.
50 cents per day.
8 hours’ pay for 7.5 hours’ work.

Incentive methods of wage paym ent were not typical in these air
craft-parts plants in November 1942. Virtually nine-tenths (88.7
percent) of all the workers for whom occupational wage rates were
compiled were paid on a time basis. Piece-work or production-bonus
systems were in effect in only 26 of the 149 plants studied, and ap
proximately 42 percent of the workers in these 26 plants were paid
under such systems. Eighteen of the 26 plants making use of incentive
systems are in the N orth Central States, 7 in the E ast, and 1 in Cali
fornia. Incentive wage systems are not confined to the larger plants
in the industry; over half of the companies operating such systems
employed fewer workers than the average for the 149 establishments
included in the survey.
529085—43------ 2


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Federal Reserve Bank of St. Louis

1060

Monthly Labor Review— June 1943

,

Hours and Earnings 1941-42
. For the purpose of showing the general trend in the level of earn
ings of the plants currently producing aircraft parts, data on average
Fours and earnings, including premium pay for overtime work and
shift-differential paym ents, were obtained for all wage earners em
ployed in the plants for pay-roll periods in January 1941, May 1942,
and for the November 1942 pay-roll period on which the occupational
wage data are based. These hours and earnings data are shown by
region m table 3. I t m ust be emphasized th a t this m aterial relates
to the total employment of the plants in the respective regions and
th a t these workers include some who were employed on products
other than aircraft parts. As was indicated earlier, a larger percentage
of the workers in the N orth Central States was employed on other
products than was the case in any of the other regions. The num ber
of workers employed on other operations in each region was, of course
greater lor the two earlier periods than for November, since prior to
th a t time m any of the companies had not completed the conversion
of their facilities to aircraft-parts production.
I t will be recalled
th a t during November 1942, more than 85 percent of all the workers
m the 149 plants studied were employed on aircraft-parts m anufacture.
In each of the regions, these data were not available for some of the
plants during the January 1941 and the M ay 1942 pay-roll periods;
m the N orth Central region, information on 1 of the 57 plants was
not available for November 1942. For all the States combined
comparable data were reported for 94 plants during the January 1941
pay-roll period, and for 131 plants during the M ay 1942 period
During the week shown for November 1942, wage earners in the
148 plants represented worked an average of 47.1 hours and received
an average of $50.06. Gross average hourly earnings thus amounted
to $1,063.
Average hours and earnings for a group of 94 identical plants for
which tlie data weie a\ ailable during all three of the periods
under consideration are also shown in table 3. In these 94 plants
gross average hourly earnings increased from 81.9 cents in January
1941 to $1.07 m November 1942, or a rise of 25.1 cents an hour
Gross average weekly earnings increased from $33.93 to $50.46 during
the same period. This change in the gross earnings, however, was
accompanied by a rise of 5.8 hours in the average workweek, an in
crease which resulted in greater premium overtime payments. I t is
estimated th a t elimination of these extra overtime paym ents would
reduce the increase in average hourly rates between January 1941
and November 1942 from 25.1 to 19.events.
A t least one general wage increase since January 1941 was reported
approxim ately one-third oi the 149 plants studied, and several
companies reported two or three such raises. M ost of these general
wage changes were from 5 to 10 cents per hour, although in a few cases
the increase was much greater. In m ost of the plants which reported
no general wage changes, increases in hourly rates had been granted
to individual workers.
These over-all earnings data are presented only to indicate very
trends. Changes in the composition of the labor force in many
oi the plants, and the increase in late-shift premiums have undoubtedly
combined to emphasize the apparent rise in earnings between January

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Federal Reserve Bank of St. Louis

1061

Earnings in Aircraft-Parts Plants

1941 and N ovem ber 1942. In making regional comparisons on the
basis of these data, it should be remembered th a t variations in the
num ber of employees receiving premium paym ents for work on late
shifts tend to obscure the amount of the regional wage differences.
T a b l e 3 . — Average Hours’and

Earnings oj It orkers in Aircraft-Parts Plants, by Region,
for Specified Periods, 1941—42

Year and m onth

All States:
All plants:
Jan u ary 1941
M ay 1942
___
N ovem ber 1942
Identical plants:
Jan u ary 1941 _
M ay 1942
_
__
N ovem ber 1942_---- .
E astern States:
Jan u ary 1941
__ _
M ay 1942
_____ _ _
N ovem ber 1942 __ _ _____
N orth .Central S tates:4
Jan u ary 1941___
__
M ay 1942
_
N ovember 1942 _
__ ____
California:
Jan u ary 1941
_
. __ __
M ay 1942
. _____
N ovem ber 1942
Southw estern S tates:6
Jan u ary 1941
.. _ __
M ay 1942_______ ------------- -N ovem ber 1942 ---- ---- --------

N um ber'of
p lants

Average
weekly
earnings 1

Average
weekly
hours

Average
hourly
earnings 1

E stim ated
average
hourly
earnings,
excluding
prem ium
overtime
paym ents 2

94
131
3 148

$33.93
48.13
50. 06

41.4
47.8
47.1

$0. 819
1.006
1.063

$0. 787
.920
.977

94
94
94

33. 93
48. 71
50. 46

41.4
48.2
47.2

.819
1.011
1.070

.787
.922
.983

24
33
36

29. 94
42. 94
44. 83

42.9
49.1
48.8

.698
.875
.919

.662
.793
.835

43
52
56

34. 26
49. 58
51.69

40.7
47. 2
46. 6

.841
1.051
1.110

.814
.966
1.025

23
35
41

37.69
49.44
50. 92

45.3
49.4
48.1

.832
1.001
1.059

.774
. 905
.967

4
11
15

27. 62
40. 75
41.80

39.0
47.9
46.2

.708
.851
.904

.694
.778
.836

1 Including overtime prem ium p ay and shift-differential paym ents.
2 Includes shift-differential paym ents.
3 D ata for 1 p la n t no t available.
.,
,
4 D ata for 1 large p lan t used w ith reduced w eight in order to avoid overrepresentation of this plant.
3 Includes th e 2 p lants in Colorado.

Variations in Plant A verage Hourly Earnings
In Novem ber 1942, average hourly earnings, including premium
overtime and shift-differential payments for the workers employed on
aircraft-parts production, amounted to $1,045 as compared with the
gross average of $1,063 shown above for total plant employment dur
ing the same pay-roll period. This slight difference in earnings (l.S
cents an hour) is presum ably due, a t least in part, to the fact th a t
m ost of the trainees in these plants were employed on aircraft parts.
A distribution of the plants, according to the gross average hourly
earnings of workers m aking aircraft parts in November 1942, and
the percentage of workers employed by the plants in each earnings
interval appear in table 4.
Twenty of the establishments studied
showed plant average hourly earnings of $1.20 or more an hour, and
employed 22 percent of the workers; 15 of these establishments were
in the N orth C entral States, and 5 in California, The 58 plants with
averages between 90 cents and $1.05 an hour employed 47 percent
of all the aircraft workers in the 148 plants for which plant averages
were available.


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

1062
i

able

Monthly Lahor Review— June 1943
4.

Distribution of Aircraft-Parts Plants and W orkers, by Plant Average Hourly
Earnings,1 November 1942
N um ber of
plants

P la n t average hourly earnings 2
U nder 80 cents
80 and under 85 cents
85 and under 90 cents
90 and under 95 cen ts..
95 cents and under $1
$1 and under $1.05.
$1.05 and u nder $1.10
$1.10 and un d er $1.20
$1.20 and under $1.30
$1.30 and o v e r...

23
10
17
20
20
18
7
13
8
12

T o tal_____

3 148

Average for all p la n ts..

Percent
of workers
5 9,
70
5 7
10 0
15 6
21 2
4 0
9 3
12 8
9.2
100.0
$1.045

1 Includes only workers employed on aircraft-parts production.
, w m lig! shoYn ln.cilli (Je overtim e prem ium pay and shift-differential paym ents.
3 Wage d ata not available for 1 plant.

Differences in the levels of earnings among these plants reflect
several factors m addition to differences in basic wage rates. Included
ate legional differentials, variations in the amounts of extra pavments
lor work on late shifts, and differences in the length of the average
workweek and, therefore, in the relative amounts of premium pay for
o\ ei time. i here was no uniform relationship between earnings levels
and size of plant. Plants with 100 workers or less, as well as plants
w ith over 900 workers, were found in each interval shown in table 4.

,

Earnings by Occupation November 1942
The occupational wage data given in table 5 are based on the earn
ings oi \ irtually all first- or daylight-sliift workers engaged in aircraftpaits production.3 I t will be recalled th at more than 55 percent of
the total num ber of aircraft employees in the 149 plants studied were
working on the first shift. The occupational earnings data are shown
separately for male and female workers. Although m any of the
female occupations contained too few workers to justifv the com puta
tion of average earnings for all regions, the occupations were included
in the table to give a complete picture of the range of occupations in
which women were employed at the time of the survey.
As a gioup, the first-shift wage earners in the 149 plants surveyed
received average straight-tim e earnings of 91.1 cents an hour in
November 1942. The difference between this average and the gross
average of $1.045 shown above for aircraft workers reflects the effect
upon earnings of premium overtime rates and shift-differential pay
ments. I t is estimated th at elimination of overtime premium pay
m ents alone would reduce gross earnings from $1.045 to 95.8 cents an
hour. hirst-shift male workers were paid an average hourly rate of
96.1 cents, or 5 cents more than the combined average of 91.1 cents for
all workers. Women, who constituted 18.3 percent of all first-shift
wage earners, received an average of 68.9 cents an hour.
Straight-tim e average hourly earnings for all plants combined
ranged from $1.622 an hour for class A male drop-ham mer operators,
3 A few first-shift occupations have been o m itted because they were represented in too few plants or by too
few workers. D ata for one large p lan t were used w ith reduced w eight in order to avoid overrepresentation
of th is plant.


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Federal Reserve Bank of St. Louis

1063

Earnings in Aircraft-Parts Plants

to 54.1 cents an hour for female journeym en’s helpers. Nearly onetliird of the employees were in occupations in which the average wage
was $1.00 or more an hour. Workers in 25 of the occupational groups,
excluding trainees and apprentices, showed average earnings of less
th an 70 cents an hour; 8 percent of the workers were employed in
these groups.
Among male workers, 42 occupational groups showed straight-tim e
averages of $1.00 or more an hour and included 3/.8 percent of the
male workers for whom detailed wage data were compiled; slightly
more than 5 percent of the male workers were classified in the 6 occu
pational groups in which earnings averaged $1.25 or more an hour.
Approximately 15 percent of the male employees, excluding trainees
and apprentices, were classified in the 17 occupational groups in which
the combined averages' for all plants were 80 cents an hour or less.
Class B bench assemblers, who constituted the largest male group,
averaged 90.5 cents an hour and represented 3.3 percent of the total
num ber of first-shift workers.
M ore than two-thirds of the female workers, excluding trainees and
apprentices, were employed in the 46 occupational, groups having
average hourly earnings of 80 cents or less, and well over one-half of
this num ber averaged 70 cents or less. In only one occupation, class
A welders, were female workers paid over $1.00 an hour. Inspectors,
class C (female), the largest single occupational group, accounted
for 2.1 percent of all workers and averaged 63.4 cents an hour.
T able

5.— Straight-Time Average Hourly Earnings 1 of First-Shift Workers in AircraftParts Plants, by Occupation, Sex, and Region, November 1942
All States

O ccupation a n d class

P er
cent
of
w ork
ers

E astern
States

Aver P er
age
hour cent
of
ly
ork
earn wers
ings

N o rth Cen
tral States

California

Southw est
ern States

Aver Per A ver P er Aver P er
age
age
age
hour cent
hour cent
hour cent
of
of
of
ly w ork ly work ly w ork
earn ers earn ers earn ers
ings
ings
ings

A ver
age
hour
ly
earn
ings

100.0 $0. 911 100.0 $0.819 100.0 $0.948 100.0 $0. 914 100.0 $0.811
81.7 .961 83.8 .858 80.7 1.008 80.8 .962 87.6 .828
18.3 .689 16.2 .617 19.3 .698 19.2 .711 12.4 .695

All w orkers.
M ales. ...
Females.

Males
A cetylene-burner operators--------------Acid d ip p e rs .------------------------------Anodizers, class A .. . -----------------------Anodiz'’’’«. class B . . . ----------------------A pprentices --------------A ssem burs, bench, class A -------------Assemblers, bench, class B --------------Assemblers, bench, class C --------------Assemblers, floor, class A .----- ---------Assemblers, floor, class B ----- ----------Assemblers, floor, class C ----------------B lacksm ith s----------------------------------Boring-mill operators, class A ----------Boring-mill operators, class B -----------

992
.4 .814
. 1 1. 032
812
.5 .748
1.2 1.019
3.3 .905
1.4 .748
2.3 1.226
1737

,i

.3 ll 219
. i .948

.i
.i

B u ffe rs ___________________________
B urrers, class B ------- ------ - ------ ------Burrers, class C ----------------------------C arpenters, m aintenance, class A ----C arpenters, m aintenance, class B ----C lerks, production. ----- ---------------Clerks, shipping and receiving--------C lerks, stocks and stores----------------C raters, class A ...... .................................
C raters, class B -----------------------------

.9 .963
1.2 .931
.6 .714
.3 1.069
.3 .882
4
849
.8 .828
2.9 .826
. 1 1. 020
. 1 .826

2.0
1.6
.8
.3
.4

Broaching-machine operators-----------

See footnotes a t end of table.


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Federal Reserve Bank of St. Louis

.2

.5

.901

.6
1.3
3.9
1.6
1.3
9

.901
.865
.715
.654
.698
542
.700
(3)

3.0
(2)

f3)
. 908
074
.909
.823
. 649
.857
.710
.735
(3)

(2)
.3
.1
.1
.5
1.0
3.4
1.5
3. 5
1. 7
.2
(2)
.4
.1
.1
.7
1.2
.3
.2

1.050
.819
1.010
.829
.712
1.029
.991
.795
1. 297
897
.783
1.141
1. 252
.978
1. 075
1.075
1.027
.745
1.113
.E
.964
. 82C
A
.9 . 83(
2.9 .873
. 1 1.017
.1 .834

(2)
.3
(2))
(2)
.4
.750
1.077
.879
2.5
.755
2.0
.973
.1
.803
.1
.678

.5 .729
. 1 1.082
.4
2.3
3.4
1.1
.5
1.6
.3

(*)
.772
(3)
(A
.573
.783
.617
(3)
(3)

.2 1.086
. 1 (3)
. 1 (3)
(2)
(3)
.4 .764
.6 .800
.1 (3)
1.3 .797
4 .633
1.3 .732
.1 (3)
.5 1.123
. 2 .792
.3 .871
.7 . 88C
.6 .717
1.2 .841
2.7 .739
3.4 .801
. 1 1.075 (2)
(3)
. 1 (3)
(2)
(3)

1064

Monthly Labor Review— June 1943

T able 5.— Straight-Time Average Hourly Earnings 1 of First-Shift Workers in AircraftParts Plants, by Occupation, Sex, and Region, November 1942—Continued
All States

O ccupation a n d class

P er
cent
of
w ork
ers

Eastern
States

N o rth Cen
tral States

Aver
Aver
age Per age P er
hour cent
hour cent
of
of
ly work
ly w ork
earn
ers earn
ers
ings
ings

California

Aver P er
age
hour cent
of
ly
earn w ork
ers
ings

Southw est
ern States

Aver
A ver
age Per age
hour cent hour
of
ly
ly
earn work earn
ers
ings
ings

Males—C ontinued
Die setters_________________________
Drill-press operators, class A _______
Drill-press operators, class B ________
Drill-press operators, class C ________
D rop-ham m er operators, class A _____
D rop-ham m er operators, class B _____
Electricians, class A ________________
Electricians, class B ________________
Electricians, class C_________________
E xpediters_________________________
Firem en, stationary boiler___________
Foremen, working, class A _________
Foremen, working, class B ___
Foremen, working, class C __________
Gear cutters, class B ________________
G rinding-machine operators, class A___
G rinding-machine operators, class B-_
Grinding-machine operators, class C ._
H eat treaters, class A _______________
H eat treaters, class B _______________
H elpers, journeym en’s ______________
Helpers, m achine operators’_________
Helpers, other______________________
Inspectors, class A __________________
Inspectors, class B __________________
Inspectors, class C __________________
Inspectors, receiving________________
Jan ito rs___________________________
Job setters_________________________
Laborers___________________________
Lathe operators, engine, class A _____
L athe operators, engine, class B _____
L athe operators, engine, class O _____
Lathe operators, tu rret, class A ______
L athe operators, tu rret, class B ______
Lathe operators, tu rret, class C ______
Lay-out m en. class A _______________
Lay-out men, class B __ _____________
Loaders and unloaders; racks and con
veyors___________________________
M achine operators, all-round, class A
M achine operators, all-round, class B __
M achinists, general_________________
M aintenance men, general__________
M etal-saw operators_________________
M illing-machine operators, class A ___
M illing-machine operators, class B __
M illing-machine operators, class C ___
M illw rights, class A _________________
M illw rights, class B _________________
Oilers, m aintenance_________________
Packers____________________________
Painters, production______________
Painters, m aintenance_______________
P atternm akers, w ood________________
Pipefitters, m aintenance_____________
Planer operators____________________
Platers _____________________________
Power-brake operators, class A _______
Power-shear operators_______________
Punch-press operators, class A _______
Punch-press operators, class B__ ___
Punch-press operators, class O ________
R epairm en, m achine_______________
R epairm en, p ro d u ct_________________
Riveters, p n e u m a tic..-_______________
Riveting-m achine operators__________
R outer operators____________________
Salvagers___________________________

See footnotes a t end of table.


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Federal Reserve Bank of St. Louis

0.2 $0. 962
1.4 1.069
1.3 . 896
l.C . 740
. 5 1.622
.4 1.041
.4 1. 162
. 2 .969
. 1 .846
.2 .937
. 2 .838
1.8 1.303
1.4 1.035
.2 .860
.911
(2)
1.0 1.160
. 7 .953
. 1 .856
.2 1.135
. 3 .875
.8 .844
.9 .767
. 5 .801
2.1 1.106
2.6 .925
1.2 .819
. 1 .836
1. 5 .729
1.2 1.167
1.8 .732
.9 1.205
.7 .986
. 2 .809
1.9 1.190
1. 2 .973
.3 . 908
. 1 1.273
. 947
(2)
.3
.7
.8
1.0
.2
.3
.9
1.1
.2
.3
.4
.2
.4
.7
( 2)

( 2)
( 2)

.2
.3
.3

.2
.2
1.0
.3
.8
.3
1.2
.3
.1
.1

0)

0.3 $0. 958
2.0 1.095
1.2 .965
.7 .807
. £ 1.82f
. 1 .940
.4 1.204
.2 .994
. 1 .886
( 3)
. 1 1.05C
. 762
.2 .871
1.204
1. 5 1. 311
.902
1. 4 1. 054
. 1 .811
(2)
.911
1.057
1.2 1.209
.801
.7 1.032
. 1 .941
.966
.2 1.178
.772
.3 .940
.985
.4 .765
.691
.6 .861
.5 .911
(3)
.979
2.3 1.105
.789
2.6 .984
.686
1. 1 . 873
(3)
(2)
.635
1. 5 .773
1.032
1.6 1. 207
.681
2.0 .772
1.084
. 6 1. 281
.823
. 6 1.047
. 2 .816
(3)
1.061
2.0 1. 225
.834
1. 2 1. 033
(3)
.3 1.025
. 1 1.347
(*)
1.083
(3)
(2)

(=*)
0.5 $1. 005
1.8 .785
1.
.627
1.8 1. 664
1. 2 1. 214
. 1 .953
. 1 .915

( 2)

.3
1.0
.9
( 2)

1.1
.9
.1
.1
.4
1.9
1.3
(2)
1.1
3.9
1.1
1.7
1.1
2.1
.8
.8
.1
1.7
1.8
.2
.1
( 2)

.701
1.015
3.2 1.006
.728
3.1 .670
1.080
.9 1.096
.867
.2 .778
.841
.3 .634
1.175
.4 1.046
.972
1.4 .748
.836 (2)
(3)
1.118
.4 1.001
.871
.8 .771
.836 ( 2)
(3)
.829
.7 .745
. 955
.6 .747
.961
1.272
1. 061
.2 8. 55
1.046 ( 2)
(3)
.972
.4 .918
1.000
.930
. 1 .842
.993 _____ ____
.887
.8 .861
.721
. 1 .696
1.031
.8 .942
1. 083
.2 .786
.990
.3 .624
.973
. 1 .664
. 850
,933| ___

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

.721
1.084
.866
1.162
.911
.916
1.210
1.062
.907
1.142
.920
.862
.872
1. 033
. 955
( 2)
.2 1.247
.4 1.091
1.124
( 2)
.3 .989
.3 .971
. 1 .998
1.2 .906
.5 .721
.7 1.136
.5 1.120
2.0 1.012
. 1 .830
.1 .859
.2 .912

0.1 $0. 996
1.2 .962
1.8 .858
1.6 . 758
.2 1.110
.3 .885
.4 1.151
. 1 .986
(3)
(2)
.2 .881
(3)
( 2)
3.4 1.318
1.6 1.042
.4 .918
.9
.5
.i
.2
.1
.8
.7
.8
2.9
1.8
1.1
.3
1. 5
.5
1.2
2.0
1.0
.4
2.0
1.3
.4
.1

1.113
.909
.840
1.078
.802
.830
.747
.716
1.160
.959
.858
.854
.730
1. 126
.638
1. 197
1.017
.848
1.231
.976
.788
1.143

.1 .763
.2 .993
.3 .866
.8 1.178
.2 .824
1.7 1.147
1.1 .960
. 5 .802
. 1 1.191
( 2)

.1

( 2)

( 2)

.4 (3)
.3 .821
.4 . 667
. 1 ( 3)
.8 .811
2.1 . 669
2. 5 . 668
1.4 . 621
. 7 .977
1.7 .818
1.9 .663
(3)
(2)
1.3 .572
.4 .851
.7 .631
.6 1.017
.5 .809
.1 (3)
1.6 .996
.2
(2)
(2)

.710
(3)
(3)

.6
.4
2.3
6.0
.8
.4
(2)
.8
.1

.563
.906
.801
.970
805
.761
(3)
.891
(3)

.3

. 719
(3)
.839

.817
( 2)

(3)

.9 1.072

,1
.2

.7

(3)

.2 1.030
1
.2 .829
.3 1.020
.6 .825

( 2)
( 2)

1.2 1. 287
2.8 1.051
1.4 .857

( 3)

( 3)

.6 .893
(2)
( 3)
. 1 1. 431
( 2)
(3)
( 2)

0.1 (3)
.4 $0. 622
.4 . 926
1. I .784
.4 1.017
.3 .833
. 1 ( 3)
.8 .815

(3)
(3)
(S')

.995

.3

.883

.2
.3
.2

.860
.883
(3)

.4

(3)
. 850

.2
4.1

.580
.794

( 2)

1065

Earnings in Aircraft-Parts Plants
T a b l e 5 . —Straight-Time

Average Hourly Earnings 1 of First-Shift II orkers in AircraftParts Plants, by Occupation, Sex, and Region, November 1942—Continued
All States

Occupation and class

P er
cent
of
w ork
ers

Eastern
States

Aver P er
age
hour cent
of
ly
earn work
ers
ings

N o rth Cen
tral States

Aver P er
age
hour cent
of
ly
ork
earn wers
ings

California

Aver P e r
age
hour cent
of
ly
earn work
ers
ings

Southw est
ern States

Aver P er
age
hour- cent
of
iy
ork
earn wers
ings

A ver
age
hour
ly
earn
ings

Males—Continued
Sandblast operators-------------------------Screw-machine operators, class A -------Screw-machine operators, class
---Screw-machine operators, class C -------Shaper operators____________________
Sheet-metal workers, class A — ---------Sheet-metal workers, class B _________
Solderers, class B ____________________
Solderers, class C ____________________
Straightencrs__„-------------------------------T em plate makers, class A -----------------Tem plate makers, class B -----------------Tem plate m akers, class C -----------------Testers, class A ------ ------------------------Testers, class B ._ . --------------------------Testers, class C _____________________
Thread-m illing-m achine operators____
T im ekeepers________________________
Toggle-press operators_______________
Tool and die makers, class A -------------Tool and die makers, class B -------------Tool and die makers, class C -------------Tool-crib atten d an ts, class A -----------Tool-crib atten d an ts, class B -------------Tool grinders_______________________
Trainees, journeym an-----------------------Trainees, m achine operators__________
Trainees, other___----------------------------T ruck drivers_______________________
Truckers, h a n d _____________________
T ruckers, power, inside______________
T ube benders, class A _______________
T ube bonders, class B _______________
W atchm en_________________________
W elders, hand, class A ______________
W elders, hand, class B ______________
W elders, hand, class O ______________
W elders, m achine-----------------------------

0.3 $0.882
7 1 912
J5 1 027
.4 .862
.2 .977
7 1.119
.7 .820
1 100
.840
(2)
.1 .910
. 1 1.251
J
954
756
. 1 1.059
.2 .853
.3 .773
.2 1.085
.3 .839
.900
0
2. 5 1. 346
.9 1.030
. 2 .833
.3 .924
. 2 .707
.6 1.072
814
1.5 .700
2.5 .700
.4 .838
.8 .771
940
(2)
1. 066
(2)
. 912
1.2 .733
2.2 1.171
.8 .939
.3 .732
.3 .903

0.3 $0. 775
5
967
781
_2
.2 .682
.3 .923
.7 1.180
1.8 .815
.1
0
.2
.5
.2
.2
.4

.700
0
.886
.842
.703
.862
.717

3.3 1.320
. 1 1.010
(2)

(3)

.4
.3
2.0
.6
.4
1.1

.947
752
.628
.615
.733
.755

1.8
1.3
1.3
.1
.2

.657
.946
.942
0

.773

0.2 $1. 002
. 9 1 255
8 1. 069
.6 .879
. 1 1.195
.7 1.132
.3 .887
. 1 1.101
(2)
.906
1.103
(2)
.1 1.253
, 1 .960
. 2 . 764
, i 1.174
.2 .848
.3 .845
.3 1. 150
.3 .915
(3)
0
2.3 1.376
1.0 1.035
. 1 .833
.3 .930
. 1 .690
.7 1.071
. 3 . 826
1.0 .744
3.5 .716
.3 .955
.9 .781
. 3 .940
1.185
(2)
. i .962
.9 .764
1.8 1.186
.3 .973
.775
(2)
.2 .919

$.2 $.873
. 5 1. 192
. 3 .956
.1 .831
(9
(2)
.6 1.117
.6 .823
.5 (3)
.2
(2)

.880
0

.1
.2
.4
.2
.2
.1
3. 1
l.l
.3
.4
.5
.7
.3
2.9
1.9
.6
.4

1.106
.912
.715
.950
.838
1.042
1.330
1.050
. 960
.955
.731
1.135
. 835
.706
.703
.787
.755

(2)
0
0
(2)
1.2 .797
1.8 1.407
.4 1.013
.4 .815
.4 .988

1.0 $. 753

1.0
.8
1.7

.778
0
.709

.1
.2

0
0
0
0
0
.940
0
.646
_____
.734

0

.1
.2
.2
.2
.6
.7

1.0 1.113
1.3 .948
.9 .713
. 7 .841
.8 .691
.4
1.3
.7
0

.469
.448
.695
0

-2 0
.i 0
2.1 .662
8.7 1.079
5.1 .902
2.1 .694
.5 .755

Females
Assemblers, bench, class A ---------------Assemblers, bench, class B ---------------Assemblers, bench, class O------- -------Assemblers, floor, class A ____________
Assemblers, floor, class B ----- ------------Assemblers, floor, class O____________
Buffers_____________________________
B urrers, class B ------------------------------Burrers, class C ------------------------------Clerks, p ro d u c tio n .-------------------------Clerks, shipping and receiving----------Clerks, stocks and stores_____________
Drill-press operators, class A ------------Drill-press operators, class B ________
D rill-press operators, class C -------------Forewomen, working, class C . . --------Grinding-machine operators, class B__
Grinding-machine operators, class C . _
Helpers, journeym en’s______________
Helpers, machine operators’-------------Helpers, o th e r______________________
Inspectors, class A --------------------------Inspectors, class B --------------------------Inspectors, class C __________________
Jan i tresses_________________________
Laborers___________________________
L athe operators, engine, class B ---- .
L athe operators, engine, class C --------L athe operators, tu rret, class B ---------

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

1.1
1.7

(2)

.i
.2
1.0
.1
.3
1.1
(2)
0

m

772
.837
.678
855
800
656
.592
.729
.679
689
. 623
.672
756
.725
.736
. 817
.769

1.3
3.8

.747
.648

.2
.3
.8

.568
. 637
.524

.4

.647

.4
.3

.783
.558

.1

.730

.1
.1

(3)
i3)

691

.l
,i
.

.541
.606
. 65*

.5
2.
.2

.713
.631
.639

\)
(2)
(2)
0

! 841
.61«
.841

(2)

1.1
2.5
.]

.713
,5ft
(3)
(3)

0

.1

. 85C

.2
1.3
1.4
(2)
.3
(2)
(2)
.2
.6
.2
,i
.5
.1
.3
1.1
(2)
f2)
(2)
.1
0

(2)
.4
2.5
.2

(2)

.707
.865
. 69C
. 855
.803
. 741
.640
.819
.769
. 647
. 545
.649
. 756
.656
.790
(3)
0

. 695
.499
0
(3)
791
.676
.626
.635

.2
1.1
1.2
.2
1.1
.1
.5
2.9
.3
.1
.7
.3
l.C
.1
(2)
(2)
.1
.4
W
.3

1.4

.1
.]

(2)
(2)

.843
. 65C _____

0

(3)

......

.919
.838
.712

.1

0

.785
. 647
0

. 693
.662
.755
.744
.717
.871
.660
.811

0
0
0
0

0

9843
.773
.752
.683

.6

.1
1.4
.1

0
0

.675
.696

0
0
0

.4
.6

0

.731

0

.496

0

.617
.600
0

0

.2
.9
.1

0

.:

0

.661

0

1066

Monthly Lahor Review— June 1943

T a b l e 5 .—Straight-Time

Average Hourly Earnings 1of First-Shift Workers in AircraftParts Plants, by Occupation, Sex, and Region, November 1942—Continued
All States

O ccupation and class

Eastern
States

P er
cent
of
w ork
ers

Aver
age
hour
ly
earn
ings

P er
cent
of
work
ers

A ver
age
hour
ly
earn
ings

(2)

$0. 712

(2)

(3)

N orth Cen
tral States
P er
cent
of
w ork
ers

A ver
age
hour
ly
earn
ings

California

Southw est
ern States
Aver
age
hour
ly
earn
ings

A ver
age
hour
ly
earn
ings

P er
cent
of
work
ers

0 2 in 76i

0.1

(3)

J2

43)

.i

(3)

Per
cent
of
w ork
ers

Females—C ontinued
Lathe operators, tu rret, class C _______
Loaders and unloaders; racks an d'con
veyors ______________________ I ____
M etal-saw operators_________________
M illing-machine operators, class B ___
M illing-machine operators, class C ___
Packers____________________________
P ain ters____________________________
Punch-press operators, class B _______
Punch-press operators, class C ________
R iveters, p n eu m atic_________________
R iveting-m achine operators__________
Salvagers___________________________
Screw-machine operators, class C _____
Sheet-metal workers, class B _________
Solderers, class C ____________________
S traighteners_______________________
Testers, class C ______________________
Tim ekeepers________________________
Tool-crib atten d an ts, class B _________
Tool grinders ______________________
Trainees, m achine operators__________
Trainees, oth er______________________
Welders, hand, class A _______________
Welders, hand, class B _______________
Welders, hand, class C _______________
Welders, m achine___________________

0.2
(2)
.1
.1
.4
.2
(2)
.4
.4
.4
.1
(2)
.1
0)

(2)

.1
.1
.1
.1
.9
3.9
(2)
.1
.1
.1

.562
.716
.790
.768
.605
.592
.786
.633
. 726
.710
.602
.652
.720
.721
.790
.581
.612
.647
.565
.601
. 695
1. 180
.808
.701
.702

0.1 $0. 698
1. 1
.2

.597
.544

.1

.550

.2
.1

.554
.611

1.0
1.5

.545
.509

.1

(3)

.1

(3)

0.3 $0.556
(2)
. 741
. 1 .838
. 1 . 772
.4 .603
.2 .604
(2)
790
.6 . 625
.6 .726
.2 .543
. 1 .602
. 1 .649
.1
777
.721
(2)
. 1 .790
.616
(2)
. 1 .586
. 1 . 600
. 1 .565
.4 .559
5.4 .710
(2)

.1

cn

.619

1
(2)
(2)

(2)

.i
.2

(3)
(3)
(3)

.740
.763

3.9 •?0. 796

(2)

(3)

(2)
(2)

(3)

(2)
.1
.2

(3)
.636
.697

.1

(3)

2.4 .641
3.0 .697
. 1 1.180

.1
.2

(3)
.470

.8
1.2

.819
.691

.1
.4

(3)

.741
.753

1.1

.665

paym ent J erage hoUrly earnin2s shown in this table are exclusive of prem ium overtime and shift-differential
2 Less than a te n th of 1 percent.
ih r ! ^ 0CC?]Pa tl™ a* P attern in the
female workers separatelySS haV6
4 Too few workers and/or plants

These occupations are included in the table to indicate fully the nature
industry. A lthough average earnings by occupation are not shown for
be°D mcluded m the averaSe earnings for all workers, and for male and
to w arrant com putation of an average.
R E G IO N A L D IF F E R E N C E S

The m agnitude of regional wage differentials is apparent from the
weighted averages, shown in table 5, for each geographical region.
The highest straight-tim e average hourly rate for all workers was
found in the N orth Central region; the average for this region was
94.8 cents an hour, or nearly 4 cents an hour more than the combined
average for the four regions. The average for California was 91.4
cents an hour, while averages of 81.9 and 81.1 cents are shown for
the E astern States and the Southwestern States, respectively. In
most of the occupations for which regional comparisons are possible,
the highest hourly averages are found in the N orth Central region.
There is substantial evidence to indicate th a t earnings in the Michigan
plants studied tended to be somewhat above those in the other five
States in the N orth Central region. The proportion of Michigan
plants studied, however, is not adequate to w arrant the presentation
of separate data for th a t State.


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Federal Reserve Bank of St. Louis

Earnings in A ir craft-Parts Plants

1067

SIZE OF P L A N T

A tabulation of occupational earnings by size of plant, in terms of
num bers of wage earners employed, yielded no conclusive evidence
th a t workers in large plants received higher earnings generally than
those in small plants. In many of the occupations, the average
earnings for workers in the smaller plants exceeded the averages for
workers employed for similar work in the large plants.
M ETH O D OF W A G E P A Y M E N T

The effect of incentive methods of wage paym ent upon average
hourly earnings in the industry appears to be significant, although
the num bers of workers paid under such systems are not adequate to
perm it a detailed analysis of this factor. The averages for plants
in which workers were paid under a production-bonus or piece-work
system were consistently higher than the average rates paid to time
workers in the same occupations. As stated earlier, incentive systems
were found to a greater extent in the N orth Central area than in the
plants in any other region; this was one factor contributing to the
com paratively higher average rates for this region. The apparent
inconsistency in the averages for some occupations is due entirely
to the fact th a t some of the workers were paid under incentive systems.
Class B female bench assemblers, for instance, showed an average of
83.7 cents an hour, whereas the class A workers in the same occupation
averaged only 77.3 cents an hour; the average for the class B workers
was raised by incentive payments in some plants, whereas virtually
all of the class A assemblers were paid on a straight hourly basis. A
similar situation is found in the case of female drill-press operators,
where the class C operators averaged 73.6 cents an hour as compared
with 72.5 cents an hour for class B operators.
P L A N T R A N G E S IN O C C U PA T IO N A L E A R N IN G S

For m ost of the occupations studied there was a very wide range
in earnings between the highest and the lowest averages for individual
plants. The occupations for which individual plant ranges are shown
in table 6 were selected for their numerical importance in term s of the
num bers of workers included. This tabulation has been confined to
plants in the N orth Central States in order to eliminate, as far as
possible, any regional wage difference. The occupations included
represent approxim ately 77 percent of all the first-shift employees
studied in the N orth Central States.
The greatest spread in average straight-tim e earnings was found
for class A working foremen who averaged $2.25 in the plant with the
highest rate for this occupation and $1,095 in the plant with the
lowest average. The range for class A welders was from 81.3 cents to
$1,867 an hour. These ranges are limited in their significance because
they show the extremes in plant earnings by occupation and do not
indicate the range for individual workers. They do, however, reveal
the extent of the variations from the general averages for all plants
combined, for each occupation.


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Federal Reserve Bank of St. Louis

Monthly Labor Review— June 1943

1068

T a b l e 6 . —Straight-Time

Average Hourly Earnings of First-Shift Workers in Selected
Occupations in Aircraft-Parts Plants, North Central States, November 1942

O ccupation and class

M ale workers:
Assemblers, bench, class A ______________________
Assemblers, bench, class B _______________ _____
Assemblers, bench, class C . . . _________________
Assemblers, floor, class A _______________________
Assemblers, floor, class B ---- ---------- ------------- B uffers_______ _ __________ ___________________
Burrers, class B ___________ ___________ ______
Clerks, shipping and receiving____
-Clerks, stocks and stores- _ ______________ . .
Drill-press operators, class A ____________________
Drill-press operators, class B ____________________
Drill-press operators, class C ________________ ___
Foremen, working, class A . . .
.
... _ _
Foremen, working, class B .
.
. . . ___ .
G rinding-machine operators, class A . ________ .
Grinding-machine operators, class B_ ___________
H elpers, m achine operators__ _ ____
_______
Inspectors, class A . . . . . .
.
. . . . . .............
Inspectors, class B ------------------------- ----------Inspectors, class C __
. ____ . .
. . .
..
Janitors. __________ . . _ _. ----------------- ---Job s e tte rs.------ -----------------------------------------------Laborers.
____________ . . . . . ____________ .
Lathe operators, engine, class A _________________
Lathe operators, engine, class B . . _
. .
...
Lathe operators, tu rret, class A ______________ . . .
L athe operators, turret, class B __ . . . _ ________
M illing-machine operators, class A .. _ . . . _ __ . . .
M illing-machine operators class B ___ . . . . -------P ain ters__
. . . . . ________________________ . .
Punch-press operators, class A . ___ __ . ____ ..
R epairm en, m achine____ . _____ ______ _____
Riveters, p n eu m atic. . . . _ . _ ______ _ ______
Screw-machine operators, class A ________________
Screw-machine operators, class B ________ _ _____
Screw-machine operator«, class C __ ____________
Sheet-metal workers, class A ___________ . _ ___
Tool and die makers, class A . _________ . ______
Tool and die makers, class B _______ . . . . . . _____
Tool grinders. . . .
.
___
.
. .
Trainees, machine operators .. . . .
Trainees, other . . . . . . . . . .
....
Truckers, hand ...... .....................
......_
W atch m en ..
.
. . . .
. _ _.
. .. ...
Welders, hand, class A .
_______ ____ ______
Female workers:
Assemblers, bench, class B ______________ _____ .
Assemblers, bench, class O ______________________
Burrers, class C ___________________ __ _ _ ___
Drill-press operators, class C ___________
______
Inspectors, class C ____ ________ . . . _____ . . . . . .
Punch-press operators, class 0 ________ ______
Riveters, pneum atic . . . . _______ _ . . . . . . ___
Trainees, machine operators____________ ____ . .
Trainees, other________ _ . . . . . . . . _________


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Federal Reserve Bank of St. Louis

N um ber
of
plants

Average
hourly
earnings

Individual plant
averages
High

Low

21
33
20
9
8
25
15
29
42
19
27
20
34
23
23
23
15
33
36
18
45
22
26
19
17
20
15
16
21
29
23
25
6
19
20
12
12
42
21
18
19
12
19
29
26

$1,029
.991
. 795
1. 297
.897
1.075
1.027
.830
.873
1.095
.965
.807
1.311
1. 054
1. 209
1.032
.861
1.105
.984
.873
.773
1. 207
.772
1.281
1.047
1.225
1.033
1.210
1.062
1.033
.906
1.136
1.012
1.255
1.069
.879
1.132
1.376
1.035
1.071
.744
.716
.781
.764
1.186

$1. 250
1.323
1.260
1.426
1. 296
1.531
1. 250
1.150
1.213
1.326
1.150
1.100
2.250
1.387
1.415
1.292
1. 220
1.400
1.450
.954
1. 000
1.675
1.016
1.775
1.375
1.450
1.174
1.950
1.200
1.650
1.219
1.650
1.119
1.503
1.300
1.078
1.599
2.014
1.350
1.500
1.000
1.000
.952
.975
1.867

$0. 743
.675
.500
.780
.586
.500
.717
.618
.578
.775
.705
.542
1.095
.887
.700
.500
.650
.900
.714
.600
. 500
.683
. 500
.900
.838
.800
.692
.983
.550
.700
.875
.725
.844
.950
. 670
.600
.850
1.103
.914
.600
.500
.450
.530
.500
.813

9
18
8
12
23
12
2
9
12

.865
.690
.769
.790
.626
.625
.726
.559
.710

1.117
.830
.890
„890
.837
.890
.825
.750

.650
.480
.480
.500
.387
.482
.686
.400
.400

1.000

L A B O R C O N D IT IO N S I N H U N G A R Y
IN C R EA SED industrialization in H ungary was an outgrowth of the
T reaty of Trianon, signed in 1920 after the country’s defeat in the
war of 1914-18. Although nearly one-fourth of the working popu
lation was engaged in industry at the time of the 1930 census, H un
gary’s economy remained essentially agricultural. The predominance
of a low-wage, underemployed agricultural labor force acted as a
brake on the industrial wage level. Skilled crafts were the single
exception and, owing to scarcity of trained workers, the skilled workers
in H ungary have even been paid a t higher rates than employees ol
comparable skill in certain neighboring countries.
M ilitary defeat cost the country approximately two-thirds of its
pre-war territory. The land area was reduced from 325,411 square
kilometers 1 in 1910 to 93,073 square kilometers. As a result of the
boundary settlem ent, the population declined to 7,990,000 in 1920
from 20,890,000 in 1910. The population density was 86 per square
kilometer in 1920 as compared with 65 in 1910, and by 1930 had
reached 93 per square kilometer. Losses in resources were also con
siderable, and included productive farm land, forests, and minerals,
such as salt, gold, silver, copper, zinc, antimony, manganese, and iron
ore, bu t commercially valuable bauxite deposits and coal mines were
retained. Rich agricultural land also remained within the new
boundaries, and a variety of grains and fruits, including grapes for the
im portant winemaking industry, continued in production. However,
with the agricultural resources left to Hungary, it would have been
difficult to m aintain the population by agriculture alone. # '
There remained in post-war Hungary a homogeneous population
predom inantly of M agyar speech and origin. Classified by m other
tongue, the people were 92.1 percent M agyar, 5.5 percent German, 1.2
percent Slovak, and 1.2 percent other natioi alities; 98 percent of the
total knew the native Hungarian or M agyar language.
H ungary did not become an active belligerent in the present war
until m id-1941, b u t from the time of the M unich settlem ent in the
autum n of 1938, from which she benefited in the partition of Czecho
slovakia, it was apparent th a t her allegiance was to the Axis Powers.
Like other countries—especially those of Europe—her internal econ
omy was affected by the war from its sta rt in September 1939. In
addition to the land acquired from Czechoslovakia under the Vienna
award (November 1938), Sub-Carpathia was reincorporated into
H ungary in M arch 1939, and when, on NovemberpO, 1940, H ungary
signed a pact to unite with Germany, Italy, and Japan in bringing
about the “new order,” she annexed half of R um ania’s Transylvanian
territory. Thus, the present H ungary has much the same boundaries
as before 1920.

Employment and Unemployment
The geography of Hungary has had an effect on the types of em
ployment. The country is landlocked between the Alps and C ar
pathian M ountains in Central Europe and is cut into two contrasting
regions by the Danube River. Budapest, the political and cultural
« P rep aied in th e B u reau ’s E ditorial and Research Division b y M argaret H . Schoenfeld.
i Square kilometer=0.3861 square.inile.


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1069

1070

M onthly Labor Review— June 1943

center, lies on the Danube. In Transdanubia, which is west of the
river, conditions have long been stabilized, and a prosperous agriculture
exists. On the great plains to the east of the Danube periodic inva
sions retarded development of intensive agriculture, arid both customs
and costumes retain much of their earlier stamp.
Transdanubia has three regions: Kisalfold, a denuded plain.with an
advanced agriculture, ol which the chief crops are wheat, rye, and
cattle fodder; the central highland belt, including the Lake Balaton
district, where forestry, fishing, mining, and tourist traffic are supple
mented by intensive agriculture; and the D anube-D rava angle which
i esembles the central region but has more advanced mining and agricultural activities, \illa g e life predominates in all three regions.
On the Nagy-Alfold (great plain on the east) there are two regions*
known as the Danube-Tisa and the Tisa, consisting of cereal-growing
land and pastures. Large groups of people, mainly agricultural, have
stayed m settlem ents which are the result of earlier grouping for
defense. These settlem ents are gradually developing the characteris
tics of urban centers. Workers raise their crops and live a semino madic life miles away on the plain, where they herd their cattle.
Housing erected for use in the agricultural season has gradually been
put to all-year use. Both regions in the east sweep up to rich vineclad and forested slopes and northern highlands where there are
mines and tourist traffic.
Before the partition of Hungary, the large estates had a dispro
portionate am ount ol land. Four thousand proprietors owned nearly
one-third of the land area and 2,400,000 small holders lived on little
more than one-half of it. After the T reaty of Trianon, less than 47
peicent ol the land belonged to small holders and 36 percent was in
large estates. Arable land belonging to small holders declined from
69 percent before the war of 1914-18 to 59 percent afterwards; inde
pendent farmers dropped from 35 to 25 percent of the population in
the same period, and the dependent laborers and servants rose from
37 to 46 percent of the total.
Land reform therefore became a necessity, and in 1920 a measure for
tins purpose was introduced. The plan was amplified and extended
several times. The State was empowered to expropriate in precisely
defined cases, and some 575,000 hectares 2 were distributed to new
owners. Previous owners were compensated. Able-bodied but prop
ertyless agricultural workers dropped from 754,000 in 1920 to 562,528
in 1930; ip the same period, the land in small holdings rose from
4,420,000 to 4,800,000 hectares between 1920 and 1935, and th at in
large estates decreased from 3,340,000 to 2,767,000 hectares. Socalled “dwarf ” holdings of 1 or 1 hectares were created in the process,
and their existence necessitated further reforms. Progress was made
in 1936 by the laws regarding entailed estates, the promotion of land
settlem ent, and the establishment of a N ational Land Credit Institute.
In recent years the Government has announced the policy of creating
new small holdings on 700,000 hectares of land belonging to the large
estates.
W hen the latest census was taken (1930), the concentration of the
population was greatest on the G reat Plain which accounted for
4,866,934 persons, or over half of the 8,688,319 inhabitants. Budapest
the only large city (and which is included in the G reat Plain) had
2 100 hectares=1 square kilometer.


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Labor Conditions in Hungary

1071

1,006,184 residents. Transdanubia had a population of 2,685,509 and
the N orth 1,135,876. Population density in Budapest was 4,860.8
persons per square kilometer. One area in the north had a density
of 1,161.5 and two dense areas in Transdanubia averaged 942.2 and
868.5, respectively. Independent and other cities accounted for
2,881,251 persons, or one-third of the total. As of January 31, 1941,
B udapest had 1,162,800 of the total (13,643,600)inhabitantsinHungary.
The two next largest cities of Szeged and Debrecen had fewer than
150,000 inhabitants each, according to the latest estimates.
T R E N D OF E M PL O Y M E N T

Of H ungary’s 8,688,319 inhabitants in 1930, 44.1 percent were
gainfully employed; 66.7 percent of the males and 22.4 percent of the
females were classed in the gainful population.
Em ploym ent in mining, industry, transportation, and commerce
declined steadily from an index of 100 in 1929 to 81.2 in 1933, the
lowest index for any year during the depression. Beginning in 1934
the index of employment rose and by 1937 it was 104. The index
increased steadily from th at time and for 1940 was 125.6. Em ploy
m ent in agriculture is not measured in a regular statistical series.
B oth agricultural and industrial production began to decline in 1929
Agriculture suffered acutely in the following years, owing to short
crops and the inferior quality of the grain in some parts of the country.
Because of the exceptionally good 1933 crops, the outlook was better
in 1934; prices were also higher and the export m arket improved.
In 1935, the situation was less favorable. Crop yields improved in
1936 b u t the agricultural workers were not appreciably better off, as
world agricultural m arkets had fallen and domestic consumption was
hampered by the low wage level. Political developments in 1938,
namely the Anschluss with Germany and Austria, gave H ungary a
continuing “ m arket” for her products and since then she has been
drained of her produce by her allies.
Once H ungary was drawn into the Axis camp by a series of con
cessions of land, instead of through force, her agricultural and indus
trial population were working to capacity for Germany. Im ports
lagged and therefore this economic collaboration favored industriali
zation in Hungary. According to recent information, a num ber of
new factories came into operation during 1942 b u t the crops in th a t
year were far below expectations.
O C C U PA T IO N S OF L A BO R FO RCE

After the T reaty of Trianon (1920), industrial production was about
40 percent of the pre-war total. Less-close trade relations w ith other
countries and internal currency difficulties led to an increase in
domestically produced goods. Industrialization was approved by the.
League of Nations and had for its purpose reduction in the adverse
trade balance. As a result of this increased industrialization, the
economic life of Hungary was altered and the proportion of industrial
workers increased. Before the present war, nearly one-fourtli of the
total population, comprising workers and their families, secured their
living from industrial production, including small trades. Of the
goods sold, 52 percent by value represented industrially produced

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1072

Monthly Labor Review— June 1943

articles. Industry, handicrafts, and building construction accounted
lor 34 percent of the national income, and 30 percent of the tax burden
was borne by industry.
Although the p art of the population attached to agriculture declined
from 64.5 percent in 1910 for G reater Hungary (56 percent for the
portion left after 1920) to 55.7 percent in 1920 and to 51.8 percent in
1930, agriculture was still the m ain pursuit. The flow away from
the land no doubt continued after 1930. In th a t year, however, 4.5
million persons were still classified as agricultural as compared with
2.8 million in industry, trade, and transportation—a 60-percent excess
m favor of agriculture. Adm inistration, the professions, and other
occupations accounted for the remaining 1.4 million persons in the
population.
D istribution ol th a t p a rt of the population classified as gainful
workers in the 1930 census is shown in table 1.
Fa b l e

1— Distribution of Gainful Workers in Hungary, by Industrial or Occupational
Group, 1930
N um ber of—
Group

Em ployers
and inde
Salaried
pendent
employees
workers

T otal gainful workers
A griculture, forestry
M ines and blast furnaces
In d u stry _.
Commerce, banking.
T ransport and comm unication
Public adm inistration, national defense,
professional services
Domestic service..
D ay la b o re rs.. . .
O ther occupations

"Wage
earners

Total

U npaid
fam ily
workers

1,055, 953

253,035

1, 965, 793

554, 971

3, 829, 752

700, 466
30
216, 516
83, 995
9, 335

5,611
1,165
43, 372
57, 865
21, 124

788, 386
33, 987
619, 214
74, 391
82, 262

536, 988
7, 574
9,832
568

2, 031, 451
35,182
886, 676
226, 083
113, 289

19, 735

123, 603

25, 876

295

93,496
176, 987
61, 046
36,024

9

236, 834
176, 987
61, 046
62, 204

SK IL L S OF T H E LA BO R FO RCE

The chief occupational skills of the people are, of course agricultnra1 and horticultural. Of 2,031,451 persons in these pursuits in
1930, general agriculture employed 2,004,948. The clothing trades
accounted for 206,228 of the 874,005 persons in industry: iron and
inetallurgy, for 103,170; machinery, for 98,112; food and drink trades,
<* 96,093; and textiles, for 53,242. Home industries employed
11,322 persons. Development of the preparation of foodstuffs and
pio\ lsions was natural in an agricultural country. Development of
other types of m anufacture, particularly of|textiles, was fostered by
Government subsidy.
SP E C IA L G R O U PS OF W O R K E R S

A special problem, th a t of refugees, was brought on by the present
war. In spite of H ungary’s link with the Axis before her active
belligerency, she gave protection to refugees from the Nazis. The
loles were m a special category, as they sought only a tem porary
haven and wanted to return to Poland eventually. M aintenance of
the l efugees was a considerable problem for both governmental and
private relief agencies.

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Labor Conditions in Hungary

1073

Seasonal m igration is common in agricultural countries, and in
H ungary there is normally a movement of labor to industry, during
seasons th a t farm work is slack, and back again to the land during the
crop-year. In addition, during the peacetime years, 1935-38, it was
estim ated th a t 40,000 residents of agricultural districts moved each
summer from the densely populated rural districts of eastern and
southern H ungary to other regions of the country in search of work.
A special type of m igration has developed since the present war
began and even before, resulting from Germ any’s attem pts to obtain
labor from Hungary. In the case of the conquered countries such
importations into Germany were forced, but in the case of the satellite
countries (including Hungary) were reputedly under voluntary
agreement. An order of June 27, 1939, prohibited placement of
H ungarian industrial workers in employment in foreign countries,
except through public employment agencies.
UNEM PLOYM ENT

W o rk ap p lic a tio n s, m a d e a t th e p u b lic e m p lo y m e n t offices an d th e
n o n -fee-c h arg in g p riv a te agencies, in cre ased fro m 43,592 in 1930 to
66,235 in 1932. R e g is tra n ts b eg a n to d ecline in n u m b e r in 1933 a n d
re ach e d a low of 43,684 in 1940. A fte r H u n g a ry e n te re d th e w a r on
J u n e 27, 1941, re g is tra tio n rose (a v era g in g 48,892 for th e y e a r), ow ing
e ith e r to d islo catio n s re su ltin g from w a rfare o r to a g re a te r eagerness
to w ork. B y J u n e 1942, re g is tra tio n h a d d ro p p e d to 38,443.
B o th th e Social D e m o c ra tic a n d C h ris tia n tra d e -u n io n s aid ed th e ir
u n e m p lo y e d m em b ers. S ta tis tic s of u n io n u n e m p lo y m e n t show ed
in creases in th e n u m b e r u n em p lo y ed in th e e a rly 1930’s, a reco v ery ,
a n d th e n a recession before th e w a r (w hich recession e x ten d e d in to
1940 for th e Social D e m o c ra tic affiliates).

A study of conditions in agriculture, covering the period 1935-38,
disclosed more acute unemployment for women and children than for
men. Surplus agricultural labor was found chiefly in certain densely
populated eastern and southern districts. The percentage un
employed varied from 1.8 to 30.8 percent in the different districts.
Among over 700,000 workers covered in the survey, including laborers
and domestic farm servants but excluding small landholders, the
percent unemployed declined from 22.4 in 1935 to 12.5 in 1938.
This reduction was attributed to emigration to Germany and transfers
from agriculture to other work.
Governmental measures to lessen the suffering entailed by the
economic crisis th a t began in 1929 were directed prim arily toward
alleviating the condition of the agricultural population, on whose
prosperity Hungarian welfare so largely depends. Between 1932 and
1934 numerous orders were promulgated whereby the farm ers’ debt
burden was reduced, either by forgiveness or postponem ent of pay
ments. Aid to nonagricultural labor was afforded on a limited scale
by means of public wrorks and subsidy to the union unemploymentrelief funds.
Legislation of 1938 had for its purpose insuring greater stability
in social and economic life, and combating unemployment among
salaried employees. Provision w'as made for establishing trade
chambers for the press, theater, and cinema industries. The chambers
were to include all persons in these trades and to regulate Jewish

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1074

Monthly Labor Jieview— June 1943

e m p lo y m e n t in th e se an d o th e r p rofessions. O nly H u n g a ria n
n a tio n a ls co u ld belo n g to th e c h a m b e rs; th e Jew ish m em b ersh ip w as
to be lim ite d to 20 p e rc e n t of th e to ta l, excluding w a r v e te ra n s a n d
o th e r special classes. L ikew ise th e n u m b e r of Jew s em p lo y ed in th e
press, professions, etc., w as to be lim ite d to 20 p ercen t.
L A BO R R E Q U IS IT IO N IN G

In 1938, in o rd e r to in su re t h a t th e re q u ire m e n ts of th e a rm y
w o u ld b e m e t, p ro v isio n w as m a d e fo r re q u isitio n in g la b o r for ag ri
c u ltu re if th e re w as no o th e r w a y of in su rin g c o n tin u ity of em p lo y 
m en t. T h e follow ing y e a r th e lia b ility to re q u isitio n in g was declared
ap p lica b le to th e g e n e ra l p o p u la tio n b etw een th e ages of 14 a n d 70
y ea rs, n o t o n ly in case of w a r o r im p e n d in g w a r c o n s titu tin g an
im m e d ia te d a n g e r to th e c o u n try b u t also in tim e of peace. C o rp o ra te
bodies as w ell as in d iv id u a ls w ere s u b je c t to th e o rd er. E v e n in m a te s
of p riso n s could be re q u isitio n e d , w ith th e a u th o riz a tio n of th e
M in iste r of J u stic e .
In requisitioning workers their physical fitness was to be taken
into account; men were to be called before women; young persons
before old persons; and unm arried before m arried persons.
As regards women, voluntary enrollment was to be depended upon
in the first instance. In time of peace the minimum age of liability
for women was 16 years. Pregnant women caring for children aged
12 and under and for old people, etc., were exempted except in their
regular employment on work t h at could be performed a t home. They
were not liable for work 6 weeks before and after childbirth. Women
were to be placed near their homes, if possible; children were to be so
placed in all cases.
Work might take varied forms. For example, a person m ight stay
on the job in which he was already engaged, might enroll in training,
do collective and tem porary work, or be assigned to industrial work.
The person assigned to industrial work was to have the same condi
tions of employment and rate of rem uneration th a t were custom ary
for similar work. He would also be subject to the same penalties,
social-insurance contributions, etc. Special provision was made for
the State to bear the expenses of travel incurred by requisitioned per
sons to and from work more than 15 kilometers away from their homes;
for allowances to members of families of those called; and for relief in
cases of invalidity or death resulting from requisitioned labor for
national defense.

If ages, Hours, and If orbing Conditions
TREND

OF W AGES

1 9 2 9 -4 0

In spite oi; the growing industrialization in H ungary since the
first World W ar, the wage level has remained relatively low. Per
sistent underemployment kept the pay of agricultural labor at a bare
subsistence level and since there was always more than enough idle
labor to m an industrial enterprises, impetus was lacking to force up
the scale of pay. A measure of the short-time employment afforded
to the agricultural working force is given in an International Labor
Office study which stated th a t in the middle 1930’s agricultural


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Labor Conditions in Hungary

L075

workers in H ungary were fortunate if they obtained an average of 180
days of work a year, as compared with an earlier average of 220 days.
Such instances of rising wages as occurred were in scattered localities
where the demand tem porarily exceeded the labor supply. Generally,
the pay scale was higher in Budapest than in other parts of the country,
and urban workers had higher earnings than rural labor. W ith the
exception of the skilled trades, however, wages were low, regardless
of locality. Skilled workers were scarce and for this reason employers
paid extra wages to obtain their services.
Industrial wages.—Hourly earnings in industry declined between
1929 and 1935 from an average of 0.57 pengo to 0.44 pengo.3 The
daily averages were 5.15 and 3.89 pengos, respectively. Wages
commenced to increase in 1936, and by 1940 the hourly average was
0.58 pengo; the daily earnings were only 4.79 pengos, no doubt as a
result of shorter working hours than in 1929. Although money
earnings declined beginning in 1930, real wages exceeded those of
1929 between 1930 and 1934, as the prices of items entering into the
cost of living dropped more than wages. In 1940, real hourly earnings
were higher than in 1929 but real daily earnings were lower. Table
2 gives the hourly and daily earnings of industrial workers, as well as
index numbers of money and real wages, for the years 1929 through
1940.
T able 2 .

Hourly and Daily Earnings of Industrial Workers in Hungary, 1929-40
H ourly earnings

D aily earnings

Indexes (1929=100) of—

Year
A m ount

M oney
wages

Pengos

Real
wages 1

Indexes (1929 = 100) of—
A m ount

M oney
wages

Real
wages 1

Pengos

_ ______ __________
____________________
____________________
________________
_ ________________
_ ________________

0.57
.52
.55
.51
.48
.46

100
91
96
89
84
81

100
101
112
107
108
106

5.15
5.02
4.71
4.34
4.13
4.03

100
97
91
84
80
78

100
108
106
101
103
103

1935
____________________
1930
_______________
1937
__________________
1938
____________________
1939
_______________
1940______________________ -

.44
.45
.46
.49
2 .53
3.58

77
79
81
86
2 93
3 102

99
.96
92
98
2 107
3 108

3.89
3. 90
3.97
4. 27
2 4. 38
3 4.79

76
76
77
83
2 85
3 93

97
92
88
94
2 98
3 99

1929
1930
1931
1932
1933
1934

1 C om puted b y In tern atio n al L abor Office on basis of a restricted sample.
2 Including th e northern territories and Sub-C arpathian Russia,
s Excluding eastern territories and Transylvania.

Earnings have varied considerably among the industries. The
textile industry has had the lowest wages; the average hourly earnings
in th a t industry amounted to 0.47 pengo in 1929 and 0.51 pengo in
1940. In the printing trades, the outstanding example of a skilled
and high-wage industry, average hourly earnings were 1.18 pengos in
1929 and 1.08 pengos in 1940.
Agricultural wages.—Agricultural wages dropped considerably in
the 1930’s. Paym ent in cash usually forms only about 12 to 15 pers In 1929 the pengo was w orth 17.5 cents in U nited States currency. A lthough its value on the in ter
national exchange has varied considerably since then, th e pengo was w orth 19.8 cents in the first 6 m onths
of 1941.
5 2 9 0 8 5 — 4 3 --------3


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1076

Monthly Labor Review— June 1943

cent of the total farm laborer’s income, and the rest consists of pay
ments in kind. A first-class laborer in C ounty Vas, in the crop season
of 1935, received 12 pengos in cash, 75 kilograms each of wheat and
rye, 50 kilograms each of barley and flour, 15 kilograms of potatoes
0 kilograms ol other vegetables, 1 liter of vinegar, and 1.5 kilograms
each of fat and meat. These payments in kind were valued at 60.67
pengos, in addition, Jt’ee lodging and fuel for heating were furnished
by the employer.
Daily agricultural wages rose between 1933 and 1939, as follows:
1933
(pengtis)

(pengds)

1939

M en------------------ per d a y -2 1. 36
W om en----------- -d o ___ 1. 01
C h ild ren--------------- d o ___ .7 2

1. 96
1. 45
1. 02

FA C TO R S A F F E C T IN G W A G E S

Cost of living— Th e co sts of clo th in g , food, fuel, sh elter, an d th e
o th e r co m m o d ities e n te rin g in to th e w o rk e r’s co st of liv in g are th e
chief d e te r m in a n ts as to w h e th e r a g iv en w age is a d e q u a te
L iv in g
co sts m H u n g a ry re m a in e d below th e 1929 level fro m 1930 th ro u g h
1940, b u t m 1941 th e in d ex (based on 1929 as 100) w as 111. F ood
co sts show ed a sim ila r m o v e m e n t, re a c h in g an ind ex of 106 in 1941
A fu r th e r s u b s ta n tia l in crease o cc u rre d in 1942, w hen th e cost-ofliv m g in d ex rose from 124 in J a n u a r y to 134 in D e cem b er a n d th e
food in d ex in cre ased fro m 118 in J a n u a r y to 130 in O c to b e r in sp ite
of a tte m p ts a t p rice co n tro l in s titu te d in 1939.
Family allowances.— A n a d d itio n to e a rn in g s w as m a d e in th e form
of fa m ily allow ances to w o rk e rs en gaged in in d u s try , com m erce and
m in in g b y lawr of 1938, effective o n J a n u a r y 1, 1939. E m p lo y ers
h av in g o v e r 20 w o rk ers w ere re q u ire d to m e e t th e costs of fam ily
allow ances a n d a d m in is tra tio n , except th o se costs in c u rre d for th e
a d m in is tra tio n of th e c e n tra l fu n d . C o n trib u tio n s wrere to be fixed
a n n u a lly in sufficient a m o u n t to cover expenses a n d to m a in ta in a
reserve. T h e a n n u a l ra te s w ere 48 p en g o s for m ales a n d 32 for
fem ales, d u rin g th e first y e a r, a n d o rg a n iz atio n a n d a d m in is tra tiv e
costs w ere lim ite d to 5 p e rc e n t of th e in co m e re su ltin g fro m th e assess
m e n t on em ployers.
Legitimate, adopted, or recognized illegitimate children under 14
years of age who were dependent on a m anual worker were eligible for
family allowances. The benefit was 5 pengos a m onth, and in case
the worker died the family allowance was continued for 6 months. If
he was unemployed, sick, injured in an accident, or was called for
m ilitary service, the benefit was payable for 3 months.
sy stcm
family allowances for agricultural workers was
established by the N ational I nion of Agricultural Employers in the
County of Pejer. Each employer contributed 5 pengos a year for each
family m his employ, the sum collected being divided, at the end of
the year among the families having children under 12 years of age.
th e family-allowance system became compulsory in 1939 and at the
end of th a t year each large family received an allowance of 70 to 80
pengos.
Vacations with pay. By a law' of 1937, wage earners in industry,
commerce, and mines became entitled to vacations with pay, ranging
from 6 days after 1 year of service to 12 days after 17 vears of service

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for wage earners; for overseers and salaried employees in commerce
the range was from 12 days after 5 years of service to 18 days after 17
years; and for office workers, from 12 days after 3 years to 24 days
after 15 years of service. W hen the present war started, provision
was made for extra pay in lieu of the vacation period, if the time off
could not be granted within the allotted time, but the restriction as
to time limits was later removed.
Social-insurance benefits.—Contributions for social-insurance sys
tems are discussed in a later section of this article. Under most of the
schemes the workers help to pav the cost of such plans but their bene
fits in time of sickness and old age more than compensate for the charge
against wages.
W A G E LA W S A N D R E G U L A T IO N S

B o th b efo re th e p re s e n t w a r a n d since it s ta rte d th e H u n g a ria n
G o v e rn m e n t h a s m a d e som e p ro v isio n to p re v e n t th e p a y m e n t of
u n d u ly low w ages in e ith e r a g ric u ltu re o r in d u s try .

Agriculture.— Free agreement between employers and agricultural
workers was sanctioned as a means of establishing wages in cash and
kind for agricultural workers under an order of 1921. Where neces
sary the chief local government authority was empowered to regulate
wages for the current year, after hearing both parties. His decisions
were final and penalties were established for infringement.
In M ay 1940, provision was made for fixing minimum wages of
agricultural workers, taking into account living conditions, cost o!
production, and m arket possibilities. An agricultural wages board
was to be established in the chief town of each county, and a national
board was to hear appeals.
In February 1941, a formula was devised for fixing maximum wages
as well. The minimum daily wages of day laborers and seasonal
workers before M arch 20, 1941, were deemed to be the maximum
unless declared otherwise by the national board. For workers whose
output was above the average, the employer m ight grant a bonus of
10 percent. Paym ent of wages above the maximum was deemed to
be an offense for which a fine was provided. In June 1941, agricul
tural employers were perm itted to pay a bonus of 20 percent, in addi
tion to the authorized maximum wage, to any agricultural worker
whose output exceeded the average.
Refusal of estate owners to make the required food allowances
(under agreement) to perm anent employees led to employee com
plaints. The workers held th at money in lieu of food was ot no use,
as food supplies were not available for purchase. Therefore, the
Government determined th a t the food allowances should be made as
long as the work lasted. If the allowance was greater than the food
ration to which a worker and his family were entitled, lie was required
to offer the surplus for sale.
On December 5, 1941, the same minimum and maximum lim its on
wages of agricultural workers were ordered continued for 1942. If
maximum rates had not been established, the 1941 minimum was
applicable.
Industry, commerce, and home wor'k.—Pending a perm anent law
regulating wages in industry generally, an order was issued in 1935
empowering the M inister of Commerce to fix minimum wage stand
ards. Wage boards were to hear cases and determine the rates ol pay

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in pursuits where wages were unduly low, either for a whole industry
or a branch, in the whole country or in a single region.
W hen th e C o n d itio n s of E m p lo y m e n t A ct w as passed , on J u ly 29,
1937, it p ro v id e d a c o n tin u in g p la n for p ro te c tin g th e w ages of m a n u a l
o r in te lle c tu a l w o rk ers chiefly in in d u s try , com m erce, a n d m ining.
R a te s could be fixed fo r a n e n tire in d u s try , a b ran ch , or for hom e
\\ ork, th ro u g h o u t th e c o u n try o r reg io n ally, if ra te s of p a y w ere u n 
d u ly low. S u ita b le m a c h in e ry w as to be estab lish ed . T h e w age
co m m itte e s fo rm e d fo r th is p u rp o se w ere to ta k e in to ac c o u n t wages
p aid for w o rk ol th e sam e k in d , th e g en eral w age level, a n d o th e r
p e r tin e n t facto rs.
W h e n d e te rm in e d , th e m in im u m -w ag e ra te s b ecam e b in d in g on
b o th p a rtie s. A p p eals a g a in s t decisions could be m ad e to th e com pe
te n t a u th o r ity w ith in 8 clays. T h e M in iste r could ap p ro v e or dis
a p p ro v e th e decision o r re fe r i t b a c k to th e co m m ittee.

The order providing for the requisitioning of labor for national
defense, in 1939, stated th a t persons requisitioned for industrial and
home work should be paid a t the ordinary rate for work of a similar
nature.
Because of m ounting living costs, wage increases totaling 15 percent
were authorized in a series of orders during 1940 and 1941, covering
both wage earners and salaried workers. At first, a 7-percent advance
was granted for the respective groups and the 8-percent increase was
added later. The am ount of increase in wages was just about suffi
cient- to offset the rise in food costs only, as it was the Governm ent’s
policy th a t civilian workers should make a sacrifice, by doing without
certain other items entering into the cost of living, in order to share in
the creation oi a modern arm y for Hungary. Decreased consumption
was also necessitated by the shortage of goods.
A t the end of 1941, wages in nonagricultural employments (industry,
commerce, mines, and blast furnaces) were ordered stabilized at the
minimum rates paid on October 5, 1940, or fixed in the collective
agreements in force. Employers were required to pay special sup
plements of 30 percent of wages (15 percent for piece workers).
Similar provisions were made for governing salaries. The maximum
supplement was 30 percent of the annual salary in the lowest salary
class, with smaller percentage supplements for the higher salaries.
G E N E R A L T R E N D OF H O U R S, 1929- 40

U ie average workday in H ungarian industry was nearly 9 hours in
1929.. By 1939 it had dropped to 8.24 hours, but rose slightly to
8.33 m 1940. In the latter year the average hours worked were as
follows for the chief industrial groups:
Average daily
hours

T ex tiles_____________________________ g. 16
C lo th in g---------------------------------------- " 8 .0 0
L eath er, hair, fe a th e rs______________ 8. 00
C hem icals___________________________ 8. 42
F o o d -----------------------------------------I I I I I ¿ 65
E lectricity , public service____________ 8. 80
R E G U L A T IO N O F H O U R S

I owers granted to the M inister of Commerce in 1935 authorized
to fix working hours for commerce and industry, subject to a 48
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hour weekly maximum. Tolerances were provided in issuing the
orders to cover industries, or branches of industry, as for example, to
perm it m aintenance men to work longer hours and to meet cases of
necessity. Under the 1937 legislation on conditions of employment,
the 8-hour day and 48-liour week were given statutory recognition as the
ordinary standards. Restrictions were to be placed on the hours
worked in different pursuits, by means of ministerial orders issued
after consultation with representatives of employer and employee
organizations and taking into account the national interest and the
economic conditions of the branch of industry or occupation.
Between 1937 and the outbreak of war considerable progress was
made in introducing the shorter workday and workweek. However,
in September 1939, wartim e necessity led to suspension of the various
maximum-hours orders th a t had been promulgated. In October 1940,
the Government tem porarily restored the 8-hour day, but the order
was rescinded again in April 1941.
O V E R TIM E H O U R S A N D R A T E S OF P A Y

From the time th a t hours were regulated under Government order
(in 1935) time and a quarter was fixed as the overtime rate, and this
remained unchanged even after the Government waived the limitations
on regular hours of work.

Labor and Employer Organization
I n gen eral, th e H u n g a ria n G o v e rn m e n t a u th o ritie s h a v e d iscouraged
a n d h a m p e re d th e d ev e lo p m e n t of tra d e -u n io n s, b u t h a v e en couraged
th e g ro w th of tra d e asso c ia tio n b y em ployers.
LARO R O R G A N IZ A T IO N S

Freedom of association, assembly, and combination by workers was
limited during the war of 1914-18. Provision was made for stricter
supervision of the activities of labor organizations than had existed
earlier and the founding of new bodies was prohibited. Once the war
ended, political changes drastically affected the rights of tradeunionists. From a monarchy the country passed, in rapid succession,
to a democratic form of Government, to a Communist régime, and
then to a monarchy under a regent appointed for life. Legislation
enacted in 1919 under the republic gave legal recognition to the
complete freedom of organization by workers. To acquire legal
personality the union had to subm it its rules to the Government for
approval, elect a committee, and register the association. No legal
change was made when the Communist Government came into power,
later in 1919; although workers were then required to join the unions,
their activities were restricted and subject to direction.
W ith the restoration of the monarchy, which took place in 1919, but
was given formal status the following year when the perm anent regent
was named, the liberalized legislation governing trade-unions was
repealed and the wartim e regulations were restored by official order.
The effect was to perm it continued existence of associations with
regularly approved rules, but those which had not yet obtained such
approval had to submit their rules to the M inister of Interior for

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approval within 30 days and to suspend activities pending his action,
in d o rsem en t of the associations was optional w ith the M inister and
to the extent to which he acted favorably the trade-unions were in a
setter position than they had been during the w ar period, when new
associations could not be formed under any circumstances. In 1922,
t îe M inister consolidated the regulations and made the statem ent th at
he would perm it trade-union organization only in cases deserving
special consideration in the public interest. The chief municipal
authorities were instructed not to allow the establishment of branches
of duly authorized associations, except where it appeared to be in the
public interest.
The growing discontent of the laboring classes and the enlistment of
public support to their cause brought about some improvement in
the situation In 1923, the M inister provided th a t branch unions
could be established unless there was reason to withhold the right of
association. Even after the regulations were liberalized to this
extent the trade-union movement was considerably hampered. For
example, a trade-union meeting could not be held unless it was
announced to the police 3 days in advance. The authorities could
torbid the meeting, attend it, or dissolve it, and not even educational
lectures were held w ithout police attendance.
In tin 1 comparatively peaceful interval preceding the present war
there was nothing notable in the controls placed on labor unions.
However, on September 1, 1939, the Government ordered th a t until
further notice no new organization of the nature of an association
could be cieated and th a t those already carrying on their activities
ilnder Government-approved rules would be subject to stricter super
vision by the police authorities. If the occasion arose, the police
authorities could recommend to the M inister of the Interior th a t the
activities of the union should be restricted or suspended.
The trade-unionists had two chief confederations—the Central
federation of H ungarian 1 rade Unions (Social Democratic in tendency) and the N ational Federation of H ungarian National Christian
Social Unions. The membership of the Social Democratic federation
lose to 1,422,400 in the second quarter of 1919 and dropped to 212 400
in the last quarter of th a t year, owing to the political changes involvîng hiss in trade-union rights. The Christian federation had fewer
than 200,000 members in 1920.
As industrial development has been highly concentrated in B uda
pest, labor organization was naturally stronger there than in other
parts of the country. Statistics covering 1928 show th a t tliree-fourths
oi tire members of Social Democratic unions were in Budapest alone
and the rest were scattered through the country. On January 1
1940, the H ungarian Social Democratic membership affiliated with thé
110 000tlOnal Federatl0n of Trade Unions in Paris was little more than
E M P L O Y E R O R G A N IZ A T IO N S

While labor struggled to m aintain its rights of association th a t were
originally granted in the nineteenth century, employers organized
freely. In fact, by law of 1868 they were required to form chambers
ol commerce and industry on a regional basis and to establish industrial corporations m cities, communes, and other local subdivisions in
which there were a t least 100 artisans and in which two-thirds of them
demanded such action (by law of 1884).

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Development of the industrial-guild system was the purpose of
legislation enacted on June 10, 1932. The law required th a t within
5 years every qualified occupier of an industrial establishment should
belong to a guild. If no suitable organization existed, the M inister
of Commerce was to decide where and in w hat fields guilds were to
be formed. Among the duties of the guilds were the improvement of
economic, educational, and hum anitarian interests; and the m ain
tenance of industrial peace, while a t the same time enforcing a whole
some employment relation, acting as conciliator in disputes between
members of the guild and their employees arising out of the employ
m ent relation, and settling such disputes in accordance w ith existing
provisions.
O R G A N IZ A T IO N S IN A G R IC U L T U R E

Joint employer-employee bodies operated in agricultural pursuits.
Legislation of 1920, dealing w ith representation of agricultural
interests, provided for the formation of communal agricultural com
m ittees in communes; district agricultural committees in districts and
towns w ith m agistrates; county agricultural committees in counties
and municipalities; agricultural chambers for groups of counties; and,
finally, a national agricultural chamber for the entire country.

Industrial Relations
CO LLEC TIV E A G R E E M E N T S

Arrangem ent of working conditions under collective agreements
between m anagem ent and labor was common before and during the
first W orld War. The first industries to settle disputed questions by
agreement of employer associations and trade-unions were the metal,
leather, printing, and flour-exporting industries. On account of the
pressure brought by labor and its strong bargaining position, before
the close of the war, working conditions of almost all Hungarian in
dustry were subject to joint control. A radical change in this situa
tion occurred in the early years of the regency, when the Government
was in fear of a resurgence of Communist strength. In place of em
ployer-employee arrangement of wages, hours, and working con
ditions, the employers by joint action determined the standards to be
observed and imposed them on the labor force. The workers were
powerless to protest, not only because of the restrictions on their
right to organize but also because of the fear of dismissal if they ex
pressed dissatisfaction. Loss of their current jobs m eant unemploy
m ent, as the economic situation was critical.
In spite of the abandonm ent of collective bargaining by employers,
certain of their num ber freely adm itted th a t the renewal of the
previous system of collective agreements was inevitable. The return
to an orderly m ethod of arranging conditions of employment was
foreshadowed in a Government order of February 24, 1921, which
dealt w ith the establishment of agricultural workers’ wages and
endorsed the negotiation, of collective agreements.
When a public conciliation system was provided for by order of
September 3, 1923, to settle industrial disputes, certain industries
had already resumed collective bargaining and had provided for con
ciliation m achinery under the terms of their collective agreements.

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Such progress had been made by the time the Conditions of Em ploy
m ent Act (governing the establishment of minimum wages, maxi
mum hours, vacations with pay, etc.) was passed in 1937, th a t the
new law gave employers and workers equal rights in the bodies to be
organized in connection with the adm inistration of th a t law.
IN D U S T R IA L D IS P U T E S

Statistics of industrial disputes are available for the years 1929
through 1938 and are given in table 3. In th a t period the num ber
of days of idleness resulting from disputes varied from 32,914 in 1932—the lowest annual average of the depression—4o 232,622 in 1936.
During the following 2 years the trend was downward, and in 1938
the days of idleness totaled less than half of those in 1936.
T a b l e 3 . — Industrial

Disputes in Hungary, 1929-38
N u m b er of
disputes

Year

1929________________
1930_______________________
1931___________________________
1932________________________
_______
1933____________________
1934________________
1935. ______________
1936________ 1937_______
1938______________________________________________

63
35
38
20
31
49
50
122
89
64

N um ber of
workers
involved
15, 065
5, 770
11,195
4, 925
10,367
12,762
16, 674
20, 747
25,853
. 9,392

N um ber of
m an-days of
idleness
149, 204
79, 596
189, 781
32, 914
125,178
92,156
110, 967
232, 622
160, 554
104, 645

C O N C IL IA T IO N M A C H IN E R Y

Under the order of September 3, 1923, m achinery was to be estab
lished for the peaceful settlem ent of industrial wage disputes. Power
was granted to the M inister of Commerce to nom inate three concil
iators for the chief industrial inspector, and also for every industrial
inspector, Budapest excepted. If conciliation was necessary, th a t is,
in cases of a serious character endangering the peaceful continuance
of work, employers and workers were entitled to nom inate not over
five representatives each, who were to form a conciliation committee,
with the Government conciliator as chairman. Proceedings could be
instituted if one of the parties to the dispute notified the competent
industrial inspector (chief inspector) and demanded conciliation.
As a peaceful settlem ent was the purpose of the negotiations, any
agreement reached became binding on both parties. Failing an
agreement, a record of the fact was required to be made and the
m inutes of the committee were to be kept. Final judgm ent as to
whether a dispute in an establishment, an institution, etc., was
covered by the order was left to the m inister concerned, bu t the order
did not apply in wage disputes arising in State, municipal, or com
m unal public utilities, on railways, and in navigation where machine
power was utilized and the facilities were intended for purposes of
public transport.
In addition to the public conciliation machinery, some such pro
vision was included in the collective agreements in almost all indus
tries w ith such agreements. In some cases the joint bodies were of

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tem porary tenure and in others they were perm anent. Appeal to the
committee was compulsory in all cases. Generally, a decision by a
simple m ajority was sufficient to settle a dispute. A complex unoffi
cial system for settling disputes developed because by 1930 public
machinery bad been provided only in Budapest.

Cooperative Movement
Consumers’ cooperation was strongly developed in H ungary before
the present war and almost every commune had a society. In a
country where the scale of wages was so low, the savings possible
through cooperative activities naturally had a wide appeal. Besides,
the Government encouraged the movement. Of the 4,502 societies
on which information was collected in 1935 by the Statistical Office of
Budapest, 1,800 were consumers’ cooperative societies, 1,402 coopera
tive credit associations, 806 agricultural marketing, productive, and
purchasing societies, and the remaining 494 were of other types,
including housing.
M ore than three-fourths of the associations were federated into
central associations in their particular field, and most of these central
bodies were members of the Union of H ungarian Cooperative Socie
ties. Several of the chief cooperative organizations were formed in
the nineteenth century and all but one before 1931. The main
cooperative organizations had 3,444 affiliated associations, with
1,318,689 members. Their business before the present war aggre
gated 375,522,000 pengos a year, of which 39,372,000 pengos repre
sented their own production. I t is estimated th a t before hostilities
15 percent of the population were cooperative society members and
probably twice as m any persons were served by the societies.
Politically, the movement was neutral, except for a small section
of the consumers’ cooperatives which were connected with the SocialDemocratic P arty. In Hungary, as in Bulgaria, the Government
assumed considerable power over the cooperatives, assisting the
movement in various ways, making use of its services, and sometimes
intervening in its internal affairs—a situation which was responsible
to a great extent for the high degree of centralization in the movement.
Control was more or less from the top down, whereas in a really
democratic organization the retail associations are in control, and
the wholesale bodies serve them.
In 1920, the H ungarian Government advanced funds for the central
organization and was assuming a good deal of control over its policies.
A law was passed in th a t year requiring new local credit associations
to affiliate with the Central Institute of Cooperative Credit Societies.
In 1935, the Government forced a reorganization of the consumers’
cooperative movement, dividing the country into rural and urban
classes for this purpose. Although the result of the reorganization
was to decrease the num ber of affiliated associations, the total cooper
ative business more than doubled from 1934 to 1937.
By 1937 Hangya (the largest wholesale federation) was doing oneeighth of the trade of the country; in 1941 its total volume of busi
ness was 359,500,000 pengos of which 28,600,000 pengos represented
the value of its own production. The territorial losses of H ungary in
1920 involved a serious loss to the consumers’ cooperative movement.
On the other hand, when certain parts of Czechoslovakia were re
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Monthly Labor Review— June 1943

gained in 1938, nearly 300 new cooperatives were added to Ilan g y a’s
membership and 7 new wholesale warehouses were opened to supply
these associations. With the accession of additional territory in
1939, H angva established a new retail association with 50 stores in
the newly acquired territory.

Social Insurance
Compulsory sickness insurance for all wage-earning employees of
registered commercial and industrial enterprises, railway, postal, and
telegraph services, and shipping and forwarding companies was first
introduced in 1891. W orkm en’s compensation was added in 1907.
Legislation in 1927 served to centralize the social-insurance organiza
tion of Hungary and at the same time the scope of sickness and acci
dent insurance was widened, the benefit situation wras improved, and
all funds were merged under the N ational W orkers’ Insurance Institute
(later changed to Hungarian National Social Insurance Institute).
Under a 1928 law', effective on January 1, 1929, the compulsory insur
ance system was supplemented by invalidity, old-age, and death insur
ance for all employed persons, irrespective of age, sex, or nationality.
Private sickness, accident, and invalidity and old-age insurance was
perm itted in certain branches of industry, provided the benefit pay
ments were at least equal to those under the Government system.
The accident, and invalidity and old age branches of social' insur
ance were incorporated in one unit under the H ungarian National
Social Insurance Institute, but funds received from wage earners and
salaried workers were to be kept separate and managed independently.
The basic laws governing social insurance have been amended from
time to time and special legislation has dealt with insurance of special
classes of labor, such as those in the coal-mining industry, and seamen.
In 1938, the compulsorily insured persons totaled 930,465 wrage
earners in industry and commerce and 55,423 miners, covered by
workmen’s compensation; 702,512 wage earners in industry and
commerce and 147,927 domestic servants, covered by the sickness
and m aternity insurance plan; and 612,025 wage earners in industry
and commerce and 52,934 miners, insured for invalidity, old-age, and
survivorship claims.
H ungary has not adopted an unemployment-insurance plan. Pres
sure brought by labor in the past to have such protection w'as unsuc
cessful, as the authorities m aintained th a t the cost could not be
supported from public funds. However, certain trade-unions have
m aintained systems of unemployment relief, which the Government
has subsidized in periods of extreme need.
S IC K N E S S A N D M A T E R N IT Y

General system.—Compulsory sickness (and accident) insurance
applied to persons engaged in industry (including mining), commerce,
and to domestic servants. Persons were covered regardless of sex,
age, or nationality, if they earned less than 3,600 pengos a year or
300 pengos a m onth, but the M inister of Social Welfare and Labor
could fix different wage limits. Certain other groups, including per
sons engaged in home industry, could insure voluntarily.
E q u a l em p lo y er a n d em ployee c o n trib u tio n s w ere to be m a d e to
cover sickness in su ran c e, a n d th e to ta l a m o u n t c o n trib u te d m ig h t n o t

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exceed 7 percent of the insured person’s pay when the contribution
was made on actual earnings and 6 percent of the average daily wage
where the employee was paid according to daily wage classes. For
domestic employees the contributions were 3.5 and 3.0, respectively,
for these groups.
An insured person who was sick was entitled to medical attendance
for not over 1 year from the first day of sickness and for any further
period for which pecuniary sick benefit was due. He received
medicines, therapeutic appliances, and treatm ents for the same
period or periods, and hospital treatm ent where necessary. For
incapacity lasting over 3 days, sick benefits were received from the
fourth day, not to exceed 60 percent of pay reckoned from the first
day and continuing to the end of incapacity but not to exceed 1 year.
Members of the insured person’s family were entitled to medical a t
tention, medicines, therapeutic appliances, and treatm ents for not
over 1 year from the first day of sickness.
M aternity benefits included necessary services, cash benefits before
and after childbirth, and nursing benefits. The rates of benefit
paym ent were higher for an insured woman than for the wife of an
insured person and were increased substantially in 1938.
If the insured person died, a funeral benefit was paid at the rate ol
30 times the daily earnings or daily wage.
Seamen's system.—The Seamen’s Code of 1934 provided lor com
pulsory sickness (and accident) insurance for seamen. Coverage
extended to every crew member employed by H ungarian shipowners.
All costs were to be borne by the employers.
For sickness occurring during the seam an’s contract, the employer
was responsible for medical attendance and care on board ship or
treatm ent in a hospital ashore, if needed. The normal rate of wages
was payable during sickness aboard ship and for not over 6 weeks
ashore, if the employee was under treatm ent. Limits on the period
of medical attendance and care were not over 1 m onth if the sickness
began after a work agreement was signed b u t before work com
menced, and 4 m onths if the person had entered on such duties.
IN V A L ID IT Y , OLD A G E , A N D D E AT H

General system — Coverage of the compulsory invalidity, old-age,
and death insurance system was the same as for sickness insurance,
b u t covered as well certain other classes, including home workers and
salaried workers who were paid less than 500 pengos a m onth and
6,000 pengos a year. The M inistry of Social Welfare and Labor
could extend the occupational coverage to include those exempted
from sickness insurance, unless specifically excepted by the term s of
the law.
E qual contributions were made by employers and employed, not
to exceed 4 percent of actual wages or 5 percent of actual salaries, or
3.5 and 4.3 percent, respectively, of daily pay. Such contributions
were payable in a lump sum with the sickness-insurance contributions,
and were suspended during sickness disability (provided full wages
were not being paid to the insured). Governmental subsidies were
made to the fund also. Im portant changes in the procedure for fixing
contributions and for the remission of contributions in arrears were
made by decree in 1935.

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The age for old-age benefits was 65 years. Invalidity was deemed
to exist when earning capacity was reduced to less than one-third of
normal for wage earners and one-half for salaried persons. After 400
weekly contributions the insured was eligible for old-age benefit; 200
contributions were necessary for invalidity or widow’s or orphan’s
annuities. Benefits were payable if an average of 10 weekly contribu
tions a year had been made, under a decree issued in 1935.
Cash benefits consisted of the basic benefit of 120 pengos a year
and a supplem ent in proportion to the additional weekly payments
made by the insured, not to exceed 19 percent for salaried employees
and 24 percent for wage earners of the accrued annual payments.
For each dependent child 5 percent of the basic and supplem entary
benefits was authorized up to 20 percent of the total.
A widow (of a salaried employee or wage earner) over 65 years old
or perm anently disabled received one-half of the benefit of the
deceased. An orphan received 15 percent of the deceased person’s
benefit. Limits on benefits were 50 percent of the deceased person’s
benefit for widows, 15 percent for orphans with one parent dead, and
30 percent for orphans with both parents dead.
M in e rs— Compulsory invalidity, old-age, and death benefits for
wage-earning employees and subordinate officials in enterprises
covered by the mining laws were established under a law of 1925
and an order in the following year—in other words, before the general
system. In 1942, the compulsory scheme was codified and amended.
At age 65 years after 400 contributions (formerly 10 years) or at
age 60 years after 2,000 contribution weeks, or at age 60 years after
1,250 contributions in underground work, the worker was entitled to
old-age benefits. To qualify for invalidity and survivors’ pensions
200 weekly contributions were required.
By the 1942 order, the benefit was to consist of a basic sum am ount
ing to 120 pengos a year, a supplement of 30 pengôs, and an increment
proportionate to the num ber of weekly contributions. The widow’s
pension was one-half of the am ount to which the insured would have
been entitled if he had lived. A new allowance amounting to 10
percent of the pension was provided for each dependent child or
grandchild.
Salaried employees in agriculture.—A system of compulsory in
validity, old-age, and death insurance for salaried employees in
agriculture was established in 1936.
Contributions were fixed for 9 salary classes, including those
employees earning not over 1,500 pengos a year. The range of
annual contributions was from 72 to 360 pengos. Except in the
first and last salary class the rate of contribution was 6 percent of
salary and was paid in equal parts by the employer and the insured.
To receive benefits the insured m ust have made 20 half-yearly
contributions. A t age 65 years the old-age and invalidity pension
was 120 pengos, plus amounts varying according to contributions up
to 19 percent of the total, and supplements for children. The mini
mum yearly pension was 393.60 to 1,488 pengos, according to wage
class. An insured person w ith three or more dependent children re
ceived an extra allowance of 5 percent of the pension for each child.
The widow was entitled to one-half of the deceased husband’s pension,
plus an allowance for each child under 18 years of age equal to 30
percent of the widow’s own pension. The total pension of the widow

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Labor Conditions in Hungary

1087

could not exceed the original pension of the deceased. Each orphan
under age 18, having neither parent, was entitled to 60 percent of the
pension the widow would have received, but the sum of the orphans’
pensions could not exceed twice th a t of the widow.
Wage earners in agriculture.—The compulsory old-age, invalidity,
and death insurance plan for wage earners in agriculture was based
on legislation of 1938 and 1939. About 625,000 farm workers and
farm servants were covered. The pensionable age was 65 years in
general and 63 years for those who had served in the armed forces.
W orkers’ contributions amounted to 0.20 pengô a week for both
insured men and women. Such contributions were collected by the
National Agricultural Insurance Institute, as were the levies against
landed proprietors in the form of additional land taxes to help cover
the cost of the insurance. In addition, a subsidy was granted by the
Government amounting to 5,375,000 pengôs annually.[
No information is available as to the scale of benefits payable to
the insured agricultural wage earner. The widow’s, pension a t age
60 years equaled one-half of the insured person’s benefit, but in no
case could be less than 60 pengôs a year, if the husband had completed
the qualifying period of 15 years and had complied with the conditions
necessary to qualify under the transitional scheme.
w o r k m e n ’s

c o m p e n s a t io n

General system.—'As stated under the section on compulsory sick
ness insurance, the compulsory accident-insurance plan covered the
same groups. The list of compensable industrial diseases has been
extended periodically. Voluntary insurance was permissible.
Employers paid the entire cost of accident insurance. The annual
premium was calculated by multiplying the total assessable pay for
the year by the coefficient of risk and the premium unit fixed for the
year. In making the calculation, the pay of any insured individual
in excess of 3,600 pengôs a year was excluded. Domestic employers
and others not having over 5 employees were required to make weekly
contributions for workmen’s compensation.
Medical and related benefits in case of accident were the same as
under the sickness-insurance plan. The m onetary benefit was the
same also during the first 10 weeks (60 percent of pay); after th a t
time the benefit for sickness caused by accident was to be raised to
75 percent of the daily average earnings or daily wage. Between
the time when pecuniary sick benefit lapsed and the end of the inca
pacity for work, or the decreased incapacity for work, a pension was
payable up to a maximum of two-tliirds of the assessable benefit for
total incapacity. If a person was made helpless by the accident an
amount up to the assessable rem uneration m ight be paid. The asses
sable rem uneration was defined as the earnings of the injured person
during the 52 weeks before the accident.
If the insured died, death benefits were payable a t the same rate
as for death from sickness. The widow received an annual pension
of 20 percent of the assessable rem uneration of her husband up to
her death or remarriage. A like sum was payable to a widower with
dependent children. Dependent children of the deceased, whether
legitim ate, illegitimate, stepchildren, or grandchildren, were granted
15 percent of the assessable rem uneration up to the age of 16 years.
The percentage was doubled, if the child had neither parent.

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D e p e n d e n t p a r e n ts an d g ra n d p a re n ts of th e deceased could receive
a jo in t p e n sio n eq u a l to 20 p e rc e n t of th e assessable re m u n e ra tio n of
th e d eceased.
The jo in t fa m ily p en sio n w as lim ite d to tw o -tliird s
of th e d eceased p e rs o n ’s assessable re m u n e ra tio n a n d th e claim s of
w ife o r h u s b a n d a n d ch ild re n w ere to be m e t before th o se of p a re n ts
a n d g ra n d p a re n ts .

Seamen. Every shipowner of a seagoing vessel was liable for
workmen’s compensation by the terms of the Seamen’s Code (1934).
The shipowner paid all the costs; and the benefits were the same as
under the compulsory sickness-insurance system for seamen. In
addition, cash benefits for invalidity or death resulting from accident
to the crew member were to be insured with either a H ungarian or
foreign company (1935 order). The cash benefits ranged from 2,000
pengos for an apprentice to 16,000 pengos for a m aster of a vessel and
chief engineer. No liability existed for damages beyond these amounts
compulsorily insured by the shipowner.


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Federal Reserve Bank of St. Louis

Wartime Policies

ESTABLISHMENT OF OFFICE OF WAR MOBILIZATION 1
T H E President, in an order of M ay 28, 1943, created an Office of W ar
Mobilization. In this body, the President established the W ar
M obilization Committee whose chairman is to be the Director of the
new office. In addition to the Director, the Committee is composed of
the Secretaries of W ar and of the Navy, the Chairmen of the M unitions
Assignments Board and of the W ar Production Board, and the Eco
nomic Stabilization Director.
T h e p u rp o se of th e Office of W a r M o b iliz a tio n is to u n ify m ore
clea rly th e w o rk of th e w a r agencies co n cern ed w ith th e p ro d u c tio n ,
p ro c u re m e n t, tra n s p o r ta tio n , a n d d is trib u tio n of m ilita ry a n d civ ilian
supplies, m a te ria ls, a n d p ro d u c ts.
U n d e r th e ch a irm a n sh ip of th e D ire c to r of W a r M o b iliz atio n , th e
C o m m itte e of W a r M o b iliz a tio n will la y do w n unified policies a n d
develop in te g ra te d p ro g ra m s a n d will see t h a t th e policies estab lish ed
a n d p ro g ra m s d ev elo p ed a re ex p ed ited .
T h e te x t of th e P re s id e n t’s o rd e r esta b lish in g th e new office follows:
B y v irtu e of th e a u th o rity vested in me by th e C o n stitu tio n a n d th e s ta tu te s
of th e U nited S tates, p a rtic u la rly by th e F irst W ar Pow ers A ct, 1941, as
P resid en t of th e U nited S tates a n d as C om m ander in Chief of th e A rm y an d
N av y , an d in order to provide for th e m ore effective coordination of th e m obili
zation of th e N atio n for w ar, it is h ereby ordered as follows:
I.

T h ere is established in th e Office for E m ergency M an ag em en t of th e E xecutive
Office of th e P resident an Office of W ar M obilization w hich shall be u n d e, th e
direction of a D irecto r of W ar M obilization (h erein after referred to as D irecto r),
to be ap p o in ted by th e P resident.
II.
T here is established in th e Office of W ar M obilization th e W ar M obilization
C om m ittee (hereinafter referred to as th e C o m m ittee), of w hich th e D irecto r
shall be th e C hairm an a n d w ith w hich he shall advise a n d consult. T he Com 
m ittee shall consist, in ad d itio n to th e D irector, of th e S ecretary of W ar, th e
S ecretary of th e N avy, th e C hairm an of th e M unitions A ssignm ents B oard, th e
C hairm an of th e W ar P ro d u ctio n B oard, a n d th e D irecto r of E conom ic S tab ili
zation. T he C hairm an shall req u est th e heads of o th er agencies or d e p a rtm e n ts
to p a rtic ip a te in th e deliberations of th e C om m ittee w henever m a tte rs specially
affecting such agencies or d e p a rtm e n ts are u n d er consideration. I t shall be th e
d u ty of th e heads of th e agencies a n d d e p a rtm e n ts to supply necessary d a ta to
th e D irector an d th e C om m ittee.
I I I.
I t shall be th e functio n of th e Office of W ar M obilization, actin g in con su ltatio n
w ith th e C om m ittee an d su b ject to th e direction a n d co ntrol of th e P re sid e n t:
f e d e r a l R egister, June 1, 1943.


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(a) To develop unified program s and to estab lish policies for th e m axim um
use of th e .Nation’s n a tu ra l a n d in d u stria l resources for m ilitary an d civilian needs,
for th e effective use of th e n a tio n a l m anpow er n o t in th e arm ed forces, for th e
m aintenance an d stab ilizatio n of th e civilian econom y, a n d for th e a d ju s tm e n t
of such econom y to w ar needs a n d conditions;
(b) To unify th e a ctiv ities of F ed eral agencies an d d e p a rtm e n ts engaged in or
concerned w ith p ro d u ctio n , p ro cu rem en t, d istrib u tio n or tra n sp o rta tio n of
m ilitary or civilian supplies, m aterials an d p ro d u cts, a n d to resolve a n d determ ine
controversies betw een such agencies or d ep artm en ts, except those to be resolved
by th e D irector of E conom ic S tab ilizatio n u n d er section 3, T itle IV of E x ecutive
O rder 9250; and
(c) To issue such d irectives on policy o r o p eratio n s to th e F ed eral agencies
and d e p artm en ts as m ay be necessary to c arry o u t th e pro g ram s developed, th e
policies established, a n d th e decisions m ade u n d er th is order. I t shall be th e d u ty
of all such agencies an d d e p a rtm e n ts to execute th ese directives, an d to m ake
to th e Office of W ar M obilization such progress rep o rts as m ay be required.
IV.
T he Office of W ar M obilization m ay perform th e functions, exercise th e pow ers,
au th o rity , and discretion conferred on it by th is o rd er th ro u g h such officials a n d
such agencies a n d in such m anner, as th e D irector, su b ject to th e provisions
of th is order, m ay d eterm ine. T he D irecto r shall receive such com pensation as
th e P resid en t shall provide, an d w ithin th e lim its of funds w hich m ay be m ade
available, m ay em ploy necessary personnel a n d m ake provision for supplies,
facilities, an d services necessary to discharge his responsibilities.
All p rio r executive orders insofar as th e y are in conflict herew ith are am ended
accordingly.

STABILIZATION OF WAGES AND PRICES
T H E stabilization order of April 8, 1943 (Executive Order No. 9328),
was supplemented by a directive issued on May 12, 1943, by the
Economic Stabilization Director.1 The original order of April 8
limited the discretionary power of the W ar Labor Board in making wage
and salary adjustm ents and contained no provision for wage increases
to overcome “gross inequities and inequalities.” 2 The War Labor
Board was authorized, however, to make increases in wages or salaries
to correct substandards of living and to make wage and salary readjust-,
ments to compensate for the 15-percent rise in cost of living between
January 1, 1941, and M ay 1, 1942, as provided by the “Little Steel”
formula.
Statistics released by the Board show th a t during the period Octo
ber 3, 1942—M arch 19, 1943, more than half of the wage increases
were granted on the basis of “gross inequities and inequalities.” Of
the total of 8,971 increases, 5,572 or 62 percent, were granted to
eliminate or reduce inequalities, 18 percent were granted to com
pensate for the rise in cost of living, and less than 1 percent to raise
substandard wages.3
As soon as the Executive order was issued, the W ar Labor Board
notified all regional war labor boards to authorize no further increases
except those in accordance with the “Little Steel” formula, and to
correct substandards of living. In its instructions, the Board stated
th at decisions made by the boards prior to 7:30 p. m. on April 8,
1 Federal Register, M ay 18, 1943.
2 Idem , A pril 10, 1943.
s N ational W ar Labor Board, R eport of A ctiv ity on Applications for V oluntary W age or Salary R ata
A djustm ents, week ending M arch 19, 1943 (table 8)._ W ashington, 1943. (M im eographed.)


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when the order was made public, could be issued and made effective.
A t the same time the Board requested the return of p art oi its former
power to grant wage increases for the correction of inequalities. On
M ay 12, 1943, the Economic Stabilization Director returned to the
W ar Labor Board most of the authority which it had lost through
the issuance of the Executive order. In addition, the Stabilization
D irector’s order reaffirmed the “Little Steel’ formula, llie new
directive did not, however, restore the authority which the Board
held, prior to April 1, to make wage adjustm ents for “inequalities.’
The text of the directive order follows:
E xecutive O rder No. 9328, d ated A pril 8, 1943, is hereby su p p lem en ted u n d er
section 5 as follows:
.
. .
1 In order to provide clear-cut guides an d definite lim its as a basis lo r cor
recting su b stan d ard s of living, an d as a basis for p e rm ittin g th e B oard to m ake
w ithin th e existing price stru c tu re and w ithin existing levels of p ro d u ctio n costs,
m inim um a n d noninflatio n ary a d ju stm e n ts w hich are deem ed necessary to ‘aid
in th e effective prosecution of th e w ar or to correct gross inequities w ith in th e
m eaning of section 1 of th e a c t of Oct. 2, 1942, th e B oard is au th o rized to e sta b 
lish as rap id ly as possible, b y occupational groups an d lab o r-m a rk e t areas, th e
w age-rate brack ets em bracing all those various ra te s found to be sound an d
tested going rates.
.
All th e rates w ithin th ese b rack ets are to be regarded as stabilized rates, n o t
subject to change save as p e rm itte d by th e L ittle Steel form ula.
E xcept in rare and u n u su al cases in w hich th e critical needs of w ar p ro d u ctio n
require th e settin g of a wage a t some p o in t above th e m inim um of th e going
w age bracket, th e m inim um of th e going rates w ithin th e b rack ets will be th e
p o in t beyond w hich th e a d ju stm e n ts m entioned above m ay n o t be m ade.
T he careful applicatio n of these w age-rate b rack ets to concrete cases w ith in th e
inform ed ju d g m en t of th e W ar L abor B oard will stren g th en a n d reinforce th e
stabilization line to be held.
M alad ju stm en ts betw een wages an d th e cost of living will be considered by tn e
B oard only for th e purpose of correcting su b sta n d a rd conditions of living or d e te r
m ining ad ju stm e n ts w ithin th e 15-percent lim it of th e L ittle Steel form ula.
In connection w ith th e ap p ro v al of w age a d ju stm e n ts necessary to elim inate
su b stan d ard s of living or to give effect to th e L ittle Steel form ula or in connection
w ith th e adoption of a longer workweek, th e B oard m ay approve wage or salary
ad ju stm e n ts for w orkers in im m ediately in te rre la te d job classifications to th e
e x te n t required to keep th e m inim um differentials betw een im m ediately in te r
related job classifications necessary for th e m ain ten an ce of p ro d u ctiv e efficiency.
2.
All wage a d ju stm e n ts m ade by th e B oard w hich m ay fu rnish th e basis eith er
to increase price ceilings or to resist otherw ise justifiable reductions in price cenings or if no price ceilings are involved w hich m ay increase th e p ro d u ctio n costs
above th e level prevailing in com parable p la n ts or establishm ents, shall become
effective only if also ap p ro v ed by th e Econom ic S tabilization D irector.
T he B oard shall cooperate w ith th e Office of Price A d m in istratio n or such other
agency as th e E conom ic S tabilization D irector m ay designate w ith a view to
supplying th e E conom ic S tabilization D irecto r w ith th e d a ta necessary to judge
th e effect of any proposed wage a d ju stm e n t on price ceilings a n d th e levels ot
prod u ctio n costs.

First Decision Under Executive Order
In its first wage decision under the order of April 8, 1943, the War
Labor Board held th a t many inequalities and inequities still existed m
the American wage structure, but th at under the order it had no
authority to correct them, since according to the Executive order,
only the D irector of Economic Stabilization has such power. Ih e
case referred to involved workers employed by the Atlas Cement Co.,
whose employees had requested an increase of 5% cents per hour bei W age and H o u r R eporter, W ashington, April 12, 1943; T he U nited States Law W eek, W ashington,
A pril 20, 1943.
5 2 9 0 8 5 — 4 8 ------- 4


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cause a similar raise had been granted to workers in two other units of
the company. A report filed by a Board referee, before April 8,
recommended th at the increase be granted, although under the “Little
Steel” 15-percent rule the employees were entitled to a raise of only
1.8 cents per hour. Staying within the limits of the order, the Board
allowed an increase of 1.8 cents and an additional 0.2 cent for costs of
bookkeeping.5

MEASURES FOR M AINTAINING EMPLOYMENT IN
ESSENTIAL ACTIVITIES
ON A P R IL 17, 1943, the W ar M anpower Commission issued a
revised list of 35 essential industries and activities. It differs from the
original list of December 9, 1942; in only four particulars: In the later
edition the subject of agriculture has been divided into agriculture,
and agricultural services and commercial fishing; the classification
“production of chemicals and allied products” has been expanded by
adding the words “and essential derivatives thereof” ; the term “heating, power, and illuminating services” has been expanded to “heating,
power, water supply, and illuminating services;” and the fourth change
has deleted the parenthetical phrase “other than Federal” after
“Governmental services. ’’
This list is one p art of a 4-part plan by which the W ar Manpower
Commission intends to keep disruption of vital production at a mini
m um .1 The other parts are—
1. M a n n in g ta b le s w hich offer a m e th o d of e v a lu a tin g th e personnel
arid p ro d u c tio n p ro b lem s of each p la n t an d th e b e st m e th o d of m e e t
ing th em . T h ese ta b le s p ro v id e a n in v e n to ry of th e personnel an d job
classifications in each p la n t in w hich a t le a st 75 p e rc e n t of th e a c tiv i
ties are p ro d u c tio n for w a r o r th e p erfo rm an ce of essential services.
I rom su ch ta b le s th e em p lo y er ca n d e te rm in e th e n u m b e r of em ployees
s u b je c t to in d u ctio n .
2. L ists of essen tial jo b s w ith in each of th e 35 essen tial activ ities
or services. T h e jo b s so d e sig n a te d are (1) th o se re q u irin g a tra in in g
perio d of a t le a s t 6 m o n th s before a n u n tra in e d w o rk er can a tta in
reaso n ab le efficiency, (2) th o se essential to th e in d u stry , (3) an d those
in w h ich th e w o rk e r is irrep laceab le.
3. T h e p re p a ra tio n of w ith d ra w a l a n d re p la c e m e n t schedules based
up o n in fo rm a tio n co m piled in th e m a n n in g tab les. T h ese schedules
m a y be used, p en d in g th e co m p letio n of th e m a n n in g tab les, in p lan ts
w h ich are facing a c ritica l m a n p o w e r s itu a tio n re q u irin g im m e d ia te
a tte n tio n . W h e n su ch a sch ed u le h a s b een a p p ro v ed b y th e S ta te
S electiv e S ervice D ire c to r, it shall, unless revised, co n tin u e in o p e ra 
tio n for 6 m o n th s.

In addition to enabling the employers to have necessary informa
tion about their manpower problems, "the list of essential activities also
provides the basis for restricting the transfer of workers. On April
16, 1943, the W ar M anpower Commission prescribed regulations
relating to the transfer of workers. These regulations state th a t—
1.
Any em ployer engaged in an essential a c tiv ity m ay hire for w ork in such
a c tiv ity an y new em ployee who for th e preceding 30 davs was n o t engaged in an
essential activ ity .
5 Wage and H our Reporter, W ashington, April 19, 1943.
1 W ar M anpow er Commission, press releases of December 9, 1942, and A pril 17, 1943.


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2. N o em ployer shall hire for w ork in a nonessential a c tiv ity an y new em 
ployee who, during th e preceding 30-day period, was engaged in an essential
a c tiv ity , if th e wage or salary ra te to be p aid w ould exceed th e ra te m ost recently
earned.
3. N o em ployer shall hire for w ork in an essential a c tiv ity a n y new em ployee
who, during th e preceding 30-day period, was engaged in an essential a c tiv ity , if
th e w age or salary ra te to be p aid would exceed th e ra te m ost recen tly received,
except as such hiring is “ su b ject to, and p erm itte d u n d er an em plo y m en t-stab iliza
tio n program approved by th e W ar M anpow er C om m ission.”

“Essential activity” is defined as any activity in the following list,
or any activity approved by a regional manpower director as a locally
needed activity.
The following is the revised list of essential industries and occupa
tions as of April 17, 1943.2
1.
2.
3.
4.
5.

P ro d u ctio n of a irc ra ft an d p arts.
P roduction of ships, boats, an d p arts.
P roduction of ordnance a n d accessories.
P roduction of am m unition.
A griculture an d com m ercial fishing:
а. A griculture.
б. A gricultural services a n d com m ercial fishing.
6. Processing of food.
7. F o restry , logging, a n d lum bering.
8. C onstruction.
9. Coal m ining.
10. M etal m ining.
11. N onm etallic m ining an d processing an d quarrying.
12. Sm elting, refining, and rolling of m etal.
13. P ro d u ctio n of m etal shapes a n d forgings.
14. F inishing of m etal products.
15. Production of in d u strial an d a g ricu ltu ral eq uipm ent.
16. P ro d u ctio n of m achinery.
17. P roduction of chemicals a n d allied p ro d u cts a n d essential d eriv ativ es
thereof.
18. P roduction of ru b b e r products.
19. P roduction of lea th e r products.
20. P roduction of textiles.
21. P roduction of apparel.
22. P roduction of stone, clay, and glass products.
23. P roduction of petroleum , n a tu ra l gas, an d petroleum a n d coal pro d u cts.
24. P roduction of finished lum ber products.
25. P roduction of tra n sp o rta tio n equipm ent.
26. T ra n sp o rta tio n services.
27. P roduction of m aterials for packing an d shipping products.
28. P roduction of com m unication eq uipm ent.
29. C om m unication services.
30. H eating, power, w ater supply, an d illu m in atin g services.
31. R ep air services.
32. H ealth an d w elfare services.
33. E d u catio n al services.
34. G overnm ental services.
35. T echnical, scientific, an d m an ag em en t services.

►#####.#

GOVERNMENT CONTROL OF COAL M IN E S 3
T H E Secretary of the Interior was ordered by the President, on M ay
1, 1943,4 to take immediate possession of all coal mines in which a
strike or stoppage had occurred or was threatened. The Secretary
2 Federal Register, April 20,1943.
3D a ta are from Federal Register, M ay 4,1943; and U nited States D epartm ent of the Interior, press release,
M ay 4, 1943.
4 Executive Order No. 9340.


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Federal Reserve Bank of St. Louis

1094

Monthly Labor Review— June 1943

was authorized to operate such properties for the successful prosecu
tion of the war and “to do all things necessary for or incidental to the
production, sale, and distribution of coal.” The President stated th a t
the action was taken because “widespread stoppages have occurred in
the coal industry and strikes are threatened which wall obstruct the
effective prosecution of the war by curtailing vitally needed production
m the coal mines directly affecting the countless war industries and
transportation systems dependent upon such mines.”
E m p lo y m e n t w as to be p ro v id e d fo r all em ployees w ho re tu rn e d to
w ork. U p o n t h e re q u e s t of tlm S e c re ta ry of t h e l n t e r i o r , th e S e c re ta ry
of ^ a r w as a u th o riz e d to ta k e su ita b le a c tio n to p ro v id e p ro te c tio n
for w o rk e rs an d m ines.

The Secretary of the Interior w'as directed to m aintain customary
w01 king conditions in the mines and custom ary procedure for the
adjustm ent of workers’ grievances, and to recognize the right of the
workers to continue their union membership, to bargain collectively,
and to engage in concerted action for m utual aid or protection, “pro
vided th at such concerted activities do not interfere with the operations
of the mines.” Provision was made for the term ination of Govern
m ent operation of any mine at the discretion of the Secretary.
F o llo w in g th e issu an ce of th e E x e c u tiv e o rd er, th e S e c re ta ry of th e
In te r io r to o k possession of th o se m in es in w hich a s trik e o r sto p p ag e
h a d o cc u rre d o r w as th re a te n e d , a n d d ire c te d m in e officials an d
em ployees to p erfo rm th e ir u su a l fu n c tio n s s u b je c t to his supervision.
I lie p re s id e n t of each c o m p a n y , o r its chief ex ecu tiv e officer, w as
d esig n a te d “ o p e ra tin g m a n a g e r fo r th e U n ite d S ta te s ” for th e m in e
m u s o p e ra te d u n d e r F e d e ra l su p erv isio n . O n M a y 4, 1943, th e
S e c re ta ry o rd e re d th e e s ta b lis h m e n t of th e 6 -d ay w eek in all m ines
u n d e r h is co n tro l.
T h e a u th o r ity v e ste d in th e S e c re ta ry of th e In te r io r b y th e E x ec u 
tiv e o rd e r w as d e le g a te d b y him to th e Solid F u els A d m in is tra to r for
W a r a n d to th e D e p u ty Solid F u e ls A d m in is tra to r for W a r created
b y E x e c u tiv e o rd e r of A p ril 19, 1943.

CREATION OF SOLID FUELS ADMINISTRATION FOR
WAR
EX E C U T IV E Order No. 9332 of April 19, 1943, established within
the D epartm ent of the Interior a Solid Fuels Adm inistration for W ar 1
This agency replaced the Office of the Solid Fuels Coordinator for
National Defense, which had been established November 5, 1941.2
Order No. 9332 designated the Secretary of the Interior to serve,
ex officio, as the head of the agency, with the title of Solid Fuels
Adm inistrator.
The President defined the duties of the Adm inistrator. T hat
official is called upon to establish the policies, plans, and programs
which w ill “assure for the prosecution of the war the conservation and
most effective development and utilization of solid fuels in the United
States and its Territories and possessions.” These policies and programs are to regulate the operation of all branches of the solid-fuels
1 Federal Register, W ashington, D . C., A pril 24,1943.
2 Idem , M arch 10, 1943.


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Wartime Policies

1095

in d u strie s in o rd e r to m e e t m ilita ry re q u ire m e n ts as well as th e re 
q u ire m e n ts of essen tial in d u s trie s a n d civilians. T o m ak e c e rta in
t h a t th e se policies are c a rrie d o u t, th e A d m in is tra to r is a u th o riz e d to
issue all n ec essary d irec tiv e s to th o se engaged in th e solid-fuels in 
d u strie s, an d to a p p o in t su ch g en eral, regional, local, or fu n ctio n al
solid-fuels in d u strie s c o m m itte es or councils as h e finds necessary.
*# # # # # # #

COMPULSORY TRANSFER OF MANPOWER IN
CANADA 1
U N D ER measures adopted by the Canadian Government during
April 1943, men called for m ilitary service and found unfit m ay be
directed into other employment, and others m ay be directed from
less-essential to more-essential work. This is the first time th a t the
compulsory powers for the wartime utilization of manpower have been
invoked except for the m ilitary services, and the Governm ent’s action
is regarded in Canada as an im portant stage in the movement toward
more drastic regulation of manpower. The exercise of the compul
sory powers is being looked to as a means of alleviating the labor short
ages in essential industries, such as agriculture, base-metal mining,
coal mining, and lumbering and logging. Experience will show the
effectiveness of the measures; but it is believed necessary to try this
method of manning the essential industries, which has operated success 
fully in G reat Britain.

Transfer Between Civilian Employments
The M inister of Labor reported th at it was expedient to simplify
the procedure for directing employees of designated age classes to
more-essential employment. On April 2, 1943, the Governor General
in council authorized (by P. C. 2665) the M inister of Labor to forbid
any employer or group or class of employers to retain in employment,
w ithout a permit, persons or groups or classes of persons to whom the
Selective Service Mobilization Regulations apply and who are in an
age class designated for the purpose of the regulations. A date is
to be specified beyond which the affected employees m ay not be re
tained. N ot only m ay the employer be required to obtain from a
selective service officer a perm it to retain an employee, but he m ay be
obliged to term inate the employment of an employee in such manner
as the officer m ay specify.
A selectiv e service officer is em p o w ered to c a rry o u t th e in s tru c tio n s
of th e M in iste r of L a b o r b y d ire c tin g (in w ritin g ) a n y p erso n covered
to a p p ly a t once for specified em p lo y m e n t w hich, in th e officer’s
o pinion , is su ita b le . T h e person m u s t a c cep t th e w o rk if it is offered
to h im a n d e n te r th e em p lo y m e n t a t once. H o w ev er, an officer m ay
n o t d ire c t a p erso n to a p p ly for em p lo y m e n t t h a t is a v a ila b le ow ing
to a sto p p a g e of w o rk cau sed b y a la b o r d isp u te.
1 D a ta are from orders-in-council P. C. 2665 and 2907, and W innipeg Free Press for A pril 28, 1943.


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Federal Reserve Bank of St. Louis

1096

Monthly Labor Review— June 1943

Assignment to Essential If orb in Place of Alilitary Service
In the judgm ent of the M inister of Labor it was expedient to pro
vide for designating employees of m ilitary age to alternate (essential)
employment and therefore P. C. 2907 was adopted on April 12. The
order amends the National Selective Service Civilian Regulations.
Employees subject to the Selective Service M obilization Regulations
may be required to perform alternate rather than m ilitary service
m the event th a t they refuse to transfer to more-essential employ
m ent when required to do so under the existing regulations. If any
person refuses to comply with an order of a selective service officer
to transfer to essential work, the officer is required to send liis name
and address to the alternative service officer and such person will
then be deemed to be one for whom alternate essential work m av be
prescribed.
J
*###***

POOL OF ENGINEERS FOR BRITISH MILITARY USE
C E R T A IN types of engineers in Great Britain, between the ages of
20 and 45 years were required to register with the employment ex( umges late in M arch 1943, in order th a t a pool of technical officers
might be available to the m ilitary services on short notice.1 The
. mist i \ of Labor foresaw the possibility that, at a certain stage in the
war the Government m ight find it expedient to provide substantial
ten not cements of men qualified to become technical officers, with the
tin! knowledge th a t the effect upon production would be serious. A
situation m ight arise in which the servicing and repair of the machines
aireaay m use for war purposes would be of more immediate impor
tance than the production of additional equipment.
The main groups covered by the special registration of persons
having engineering skills were those who had had a general apprentice
ship in mechanical or electrical engineering; those who had served an
apprenticeship m a particular engineering craft, if they held an exec
utive position above the rank of foreman or were employed in one of a
number of specialized jobs; and members of the professional institutions and holders of the higher national certificate.
‘D ata are from report prepared by E . M abel Hodgkinson. U nited States Em bassy, London (No. 221).


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Employment and Labor Conditions

M U N IC IP A L E M P L O Y M E N T A N D PA Y
L A R G E C I T I E S , 1 9 2 9 -3 8 1

ROLLS

IN

Summary
M U N IC IPA L employment in 84 cities with populations of 100,000
or more in 1930 was 6K percent higher in 1938 than in 1929, and pay
rolls were about 8 percent higher. The population of these cities rose
4% percent from 1930 to 1940. The upward trend in employment and
pay rolls was to a great extent caused by increases in New York C ity.
In 1938, educational work required from about 30 percent of all
municipal employment in some cities to 55 percent or more in others.
Protection of the public accounted for the next largest group. These
two functions absorbed a somewhat larger share of all pay-roll expend
itures than of employment, as the rates of pay for teachers, policemen,
and firemen were higher than for most other city employees.
Per capita m onthly pay-roll expenditures were generally highest in
the largest cities, but there were some striking exceptions. The per
capita average of $4.48 per m onth for New York City in 1938 was
exceeded by th a t of Yonkers, N. Y. (a city of less than 143,000)
and was nearly equaled by Boston, Mass. In contrast the Phila
delphia per capita pay rolls were only about half, and those for
Chicago less than two-thirds, as high as for New York. The range
in per capita pay-roll expenditures was from $1.29 for Memphis,
Tenn., to $4.58 for Yonkers. The variation reflects differences both
in the extent of services rendered and in levels of pay. Memphis
had 139 municipal employees per 10,000 inhabitants and Yonkers
had 244; the average m onthly paym ents per employee were $93 and
$188, respectively.
Changes in per capita pay-roll expenditures from 1929 to 1938
were generally small. New York City showed an increase from $3.78
to $4.48; decreases were more common, however, particularly in areas
in which population increased rapidly and staff and salary adjust
m ents did not keep pace with population growth.

Scope of Study
This article summarizes information on municipal employment and
pay rolls from 1929 through 1938 in cities w ith populations of 100,000
or more in 1930. D ata were obtained from the State, County, and
M unicipal Survey conducted by the Division of Construction and
i Prepared in th e B u re au ’s Division of C onstruction and Public E m ploym ent by M . F . T hurston.


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Federal Reserve Bank of St. Louis

1097

1098

Monthly Labor Review— June 1943

P u b lic E m p lo y m e n t of th e B u re a u of L a b o r S ta tis tic s in co o p e ratio n
w ith th e W o rk P ro je c ts A d m in is tra tio n .2
D a ta w ere o b ta in e d d ire c tly from th e p ay -ro ll reco rd s of th e
m u n ic ip a litie s, a n d co v er b o th fu ll-tim e a n d p a rt-tim e w o rk e rs.3
T h e figures p re se n te d do n o t in clu d e th e v a lu e of a n y p a y m e n ts in
k in d , su ch as food, h ousing, a n d u n ifo rm s. W h e re city a n d co u n ty
g o v e rn m e n ts w ere co m b in ed a n d it w as im possible to o b ta in c ity a n d
c o u n ty d a ta se p a ra te ly , em p lo y m e n t a n d p a y rolls for th e en tire
g o v e rn m e n ta l u n it w ere in clu d ed in th e tab les.

Factors Affecting Employment and Pay Rolls
The contraction and expansion of services rendered by municipal
governments, and therefore the volume of employment and pay
roll expenditures, are affected by a num ber of factors. The effects
of some are Nation-wide, as, for example, changes attributable to the
present war or to the dislocations of economic and social relation
ships which occurred between 1929 and the middle thirties.
T h e effect of su ch d istu rb a n c e s, how ever, v aries w ith local factors,
som e of w h ich are th e c ity ’s size an d r a te of p o p u la tio n g ro w th , th e in 
d u s tria l c h a ra c te ris tic s of th e c ity a n d its tr ib u ta r y area, lo c a l’cu sto m
an d tra d itio n , a n d c o n s titu tio n a l a n d s t a tu to r y p rovisions. Illu s tra 
tio n s of th e la s t are th e co m b in ed c ity -c o u n ty g o v e rn m e n ts in 10 of th e
cities stu d ie d , a n d o th e r differences in th e d is trib u tio n of fu n ctio n s
am o n g S ta te , co u n ty , a n d c ity g o v e rn m e n ts w hich will be n o te d la te r.

Trends in 84 Cities
b or the group of 84 cities for which a 10-year comparison could be
made, there was an upward trend in both municipal employment and
pay rolls from 1929 to 1931, followed by a decrease through 1934 and
a gradual recovery to a little above the 1931 level in 1938. Since
retrenchm ents in the early thirties more commonly were made by
cutting salaries and putting employees on p a rt time rather than
dispensing with their services altogether, downward adjustm ents in
salaries were more severe than those in personnel. In 1934 employ
m ent was only 9 percent below the 1938 peak, but the difference m
pay roll levels was 18 percent. The extent of the changes in both dif
fered from city to city.
In 1938, a m onthly average of more th an 683,000 persons was
employed m the 84 cities and m onthly pay rolls averaged over $110.000,000 Almost 48 percent of the employment and 54 percent of the
pay rolls were attributable to the 5 cities with populations of over
1,000,000 in 1930, which are shown separately in table 1.
2
survey covered all S tate governm ents, all cities w ith populations of 50,000 or more in 1930 the related
an d a £a“ pl e A smaller cities and counties, townships, and special districts
U sable d a ta w e re
U/rnn,nen iA efac 1
93 cities w ith populations of 100,000 or more except W ashington, D C and Flint
for onlyb84 cR fe™ ^1011 COmplete enouSh for tren d analysis of all years from 1929 through 1938 was available
hr^ f0I L d fA nf A A form ation for individual cities is available in a series of separate publications. For a
brief account of th e purposes and m ethods of th e survey, see E m ploym ent and P a y Rolls of the C itv of
i S
S t a t o ® SC M U
PennSylvania- 1929 th ro u Sh 1938 <U - S- d e p a rtm e n t of Labor, Bureau of

oftR esch o o i ^ar1 n ^in d iv id u ab citiesgUlar tea°llerS a§ employed 011 a 12™


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Federal Reserve Bank of St. Louis

th basis regardless of the length

1099

Employment and Labor Conditions
T able

I.— Trends of Municipal Employment and Pay Rolls in 84 Cities With
Populations of 100,000 or More, 1929—38 1

Item

Index num bers [1938=100]
Average
m onthly
employm ent
or pay rolls
1929 1930 1931 1932 1933 1934 1935 1936 1937 1938
in 1938

Total, 84 c itie s:2
683,102
E m ploym ent________________
$110,531,746
P a y rolls. _ ________ ____
Cities w ith populations of 1,000,000
or m o re:2
E m ploym ent_________
.
P a y ro lls ______________ ..
C ity-county u n its :3
N ew York:
E m ploym ent----------- .
P a y ro lls __
.. .
Philadelphia:
E m ploym ent-------------P ay rolls. _________ .
C ity units:
Chicago:
E m ploym ent . . .
P ay rolls__________ .
D etroit:
E m ploym ent________
P a y ro lls __
Los A ngeles:2
Em ploym ent. .
P a y ro lls .. _____ . ..
Cities w ith populations of 500,000 to
1,000,000:
E m ploym ent________ .
P ay rolls_______________ .
C ity-county u n its (4 cities):3
E m p lo y m en t..
P a y ro lls _______ . . . . ___
C ity un its (3 cities):
E m p lo y m e n t____ ..
P a y ro lls ________ . . . .
Cities w ith populations of 100,000 to
500, 000:2
E m ploym ent_____________
P ay rolls_________________
C ity-county u n its (4 cities):3
E m ploym ent.
P ay rolls
.
___
C ity un its (68 cities): 2
E m p lo y m en t-....... . .
P ay rolls. __ _______ .

94
93

96
97

99
99

95
91

91
83

91
82

92
86

96
91

98
95

100
100

325, 374
$59,850,657

91
88

92
92

96
94

91
86

88
80

87
80

89
83

95
90

98
94

100
100

172, 577
$33, 365,890

80
79

82
85

86
89

86
90

84
82

81
78

83
82

92
88

97
94

100
100

32,177
$4,913,766

116
108

119
114

120
114

110
99

104
91

104
98

103
98

105
104

100
100

100
100

50,820
$9,771,103

97
97

96
97

100
97

94
79

92
74

91
76

94
80

98
86

97
88

100
100

34, 619
$5,968,897

112
109

115
110

106
99

92
74

87
69

90
79

93
83

96
92

100
99

100
100

35,181
$5,831,001

90
87

89
90

106
96

88
82

87
76

90
80

92
84

98
92

99
98

100
100

101.472
$15,614, 714

99
97

102
102

107
106

104
99

98
89

96
88

97
93

98
95

99
98

100
100

67,191
$10, 097,027

96
96

100
101

105
105

103
99

96
89

94
88

95
93

96
95

98
98

100
100

34,281
$5, 517,687

104
99

106
104

110
107

106
99

101
89

98
89

100
93

101
95

100
98

100
100

256, 256
$35, 066, 375

96
99

99
102

101
104

97
95

93
85

93
84

95
87

97
91

98
96

100
100

21,211
$2, 644,182

96
100

99
103

98
103

95
96

93
87

92
83

93
85

98
92

99
97

100
100

235,045
$32,422,193

96
98

99
102

101
104

97
95

93
84

93
84

95
87

97
91

98
98

100
100

1 Covers all cities w ith populations of 100,000 or more in 1930 except Akron, Cleveland, and Toledo, Ohio;
F lint, M ich.; H ouston, Tex.; Knoxville, Tenn.; Oklahoma C ity, Okla.; Peoria, 111.; and W ashington,
D . C. Satisfactory d ata were no t obtained for F lin t and W ashington; for the other 7 cities listed, figures
were incomplete.
„ . ...
„„„„
,
,
2 E ducation d ata have been estim ated for H artford, Conn., 1929-33; for Louisville, K y., 1929-30 ana p art
of 1931; for Los Angeles, Calif., 1929-33; and for Reading, Pa., 1929-31. For information on m inor omissions
and d ata estim ated, see published releases for individual cities. E m ploym ent d ata for schools nave been
adjusted to show regular teachers as employed in all 12 m onths, regardless of the length of the school year.
2
10 of th e 84 cities are city-county u n its in which th e city corporation exercises functions ordinarily per
formed by county governments. T hey are: New York and Philadelphia (over 1,000,000 population); Baltimore, St. Louis, Boston, and San Francisco (500,000 to 1,000,000 population); New Orleans, D enver, Rich
m ond, and Norfolk (100,000 to 500,000 population).

Smaller cities in which the municipal corporations exercise county
as well as city functions have been segregated in table 1 from those
which perform only municipal functions. For cities in the population
class 100,000 to 500,000, there were only minor differences in the
indexes for the city-county units and the city units. Both had slightly
higher employment indexes in 1938 than in 1929. In the group with
populations of 500,000 to 1,000,000 the city units had fewer employees
in 1938 than at the beginning of the period while city-county units
had more. N either type of governmental unit, however, had as high
employmentjor pay rolls in 1938 as a t the peak in 1931.

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Federal Reserve Bank of St. Louis

1100

M onthly Labor Review— June 1943

E m p lo y m e n t a n d p a y rolls for th e five la rg e s t cities show ed
d iv e rg e n t tre n d s o v er th e decade: N ew Y o rk C ity a n d L os A ngeles
h a d sizab le in creases a n d th e re w as a slig h t u p w a rd te n d e n c v in
C hicago, b u t d eclines o ccu rred in P h ila d e lp h ia a n d D e tro it. Since
N ew Y o rk C ity h a d la rg e r e m p lo y m e n t a n d p a y rolls in 1938 th a n th e
o th e r fom cities co m b in ed a n d also show ed th e g re a te s t increases o v er
1929, i t d o m in a te d th e c o m p ariso n fo r th e five cities.

Specific local conditions in large part determined the year-to-year
changes for individual cities. Several such factors contributed to the
increases in New ^ ork City, one of which was the city’s population
growth. D uring 1938 the fire departm ent was changed from a 2-platoon to a 3-platoon system of rotating tours of duty, thereby shortening
hours of work of the m ajority of the firemen and increasing the force.
Furtherm ore, the municipal government of New York City performed
county as well as city functions and a large part of the increase was in
typically county functions such as public assistance and health.
Los A ngeles h a d a g re a te r in crease in p o p u la tio n b etw e en 1930 and
1940 th a n a n y o th e r c ity w ith o v e r a m illion in h a b ita n ts , w ith th e
a tte n d a n t n eed for e x p a n sio n of m u n ic ip a l services. A n a d d itio n al
fuotoi m th e g ro w th of em p lo y m e n t a n d p a y rolls in L os A ngeles
b e tw e e n 1929 a n d 1938 w as th e p u rc h a se b y th e c ity of a gas an d
electric sy ste m fo rm e rly o p e ra te d b y a p riv a te c o rp o ra tio n . T h e city
of L os A ngeles e x p a n d e d its h e a lth a n d w elfare a c tiv itie s little d u rin g
th e decad e, as su ch w o rk w as p rim a rily a fu n c tio n of th e L os A ngeles
C o u n ty g o v e rn m e n t.
C h ic a g o ’s p o p u la tio n w as a b o u t th e sam e in 1940 as in 1930, an d
m u n ic ip a l e m p lo y m e n t flu c tu a te d c o m p a ra tiv e ly little betw een 1929
and 1938 a lth o u g h th e re w as a slig h t rise d u rin g th e decade. P a y
rolls follow ed th e sam e g en e ral tre n d as em p lo y m en t, b u t flu c tu a te d
m o re becau se of p a y cu ts. T h e s h a rp rise in p a y rolls from 1937 to
1938 re s u lte d fro m g en eral p a y increases, co u p led w ith h ig h er em ploy
m e n t in m o st d e p a rtm e n ts . T h e m o st im p o rta n t sa la ry a d ju s tm e n ts
cov ered te a c h e rs a n d policem en. S u m m er-school sessions w ere also
held for th e first tim e in sev eral y ears.
A lth o u g h c o u n ty a n d c ity a c tiv itie s w ere co m b in ed in P h ila d elp h ia ,
em p lo y m e n t a n d p a y rolls w ere low er in 1938 th a n in 1929. T his
decline w as in p a r t a ttr ib u ta b le to a sh ift of p o p u la tio n in to su rro u n d 
ing areas, b u t w as ca u sed m o re b y fin an c ial co n d itio n s u n fa v o ra b le to
re p la c e m e n t ol personnel. R e s to ra tio n of sa la ry ra te s in effect a t
th e b e g in n in g of th e d ecad e w as also d elay ed , especially in th e case
of school teac h ers.
M u n ic ip a l em p lo y m e n t a n d p a y rolls in D e tro it w ere low er in 1938
th a n in 1929, d e sp ite a slig h t in cre ase in p o p u la tio n from 1930 to
1940. T h e c o n tra c tio n o cc u rre d chiefly in m u n icip ally o p e ra te d
p u b lic services, s a n ita tio n , a n d p u b lic w orks, in clu d in g s tre e t m a in 
ten an c e. T h e n u m b e r em p lo y ed in th e c ity ’s h e a lth an d w elfare ac
tiv itie s in cre ased from 1929 to 1938.

The relative importance of the m ajor governmental functions in
these five largest cities, and the intercity differences in 1938, are
shown in some detail in table 2.4
1 For similar information for each of the 91 cities, see Serial No. B 1540.


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Federal Reserve Bank of St. Louis

1101

Employment and Labor Conditions
T a b l e 2 . — Municipal

Employment and Pay Rolls of 5 Largest Cities, by Function, 19381

Functional division
1940 population________________ _____

New
Y ork 2
7,455, 000

Los
Angeles 5

Chicago 3

Philadel
phia 4

D e tro it4

3, 397, 000

1, 931,000

1, 623, 000

1,504,000

34, 619
11,697
6,319
lö, 6U3

35,181
15, 358
7, 069
12, 754

1
Employment

N um ber of employees, all divisions------------------E ducation,
Public-service enterprises _ ---------O ther divisions___________________

2 172, 577
« 52,164
210, 564
109,849

50,820
19,680
1,479
29, 661

32,177
11, 945
808
19, 424

Percentage distribution
All divisions ,_
--------E d u c a tio n ,.,-------------------------------Public-service enterprises-------- --O ther divisions____
--- ----- --All divisions, except education and public-service enterprises------ -- ---------General governm ent, _,-----------------Pro tectio n _______________________
P ublic works and san itatio n ,---------H e a lth ,,
- - Services and in sp ectio n s,,, -----H ospitals-------- ------ ---------W elfare, ,_, _ _ ,_
R ecreatio n ., ---- ---------------- - - -L ibraries, , , ------- ----------- ------

2 100. 0
6 30.2
7 6.1
63.7

100.0
38.7
3 2.9
58.4

100. 0
37.1
2.5
60. 4

100.0
33.8
18.2
48.0

100.0
43. 7
20.1
36. 2

100.0
7 10.1
28.2
7 21. 2
19.6
2.4
17.2
12.4
6.4
1.6
.5

100.0
8.4
36.3
8 33.3
6.3
2.4
3.9
8 1.0
8 10.9
3.1
.7

100.0
2 15.4
«40.3
20.3
14.6
3.5
11.1
2.0
4.8
2.6

100.0
6. 7
36. 7
23.0
14.6
4. 8
18 9. 8
i° 8. 3
6.7
3.9
.1

100. 0
6. 5
39.4
35. 2
4. 0
2.7
1. 3
.1
8. 5
5.9
.4

$5,969, 000
2,122, 000
996,000
2,851, 000

$5, 831,000
2, 580,000
1,121, 000
2,130, 000

Pay rolls
All divisions____ _ , ,
-Education
___ _ _ ,
Public-service enterprises-----------O ther divisions, _ ------- ------

2 $33, 366, 000
12,371,000
2 1,808,000
19,189, 000

$9, 771,000
3,686,000
320,000
5, 765, 000

$4, 914, 000
2, 040, 000
95,000
2, 779, 000

Percentage distribution
All divisions---- ------------- -------- --- - E ducation, _ ___
, ,
----Public-service enterprises,. . , . , , ,
O ther divisions___________________
Ail divisions, except education and public-service e n te rp ris e s ___
General governm ent______________
P ublic works and san itatio n ,-, -----H ealth
Services and inspections
H ospitals ,
Welfare
__
Recreation
Libraries

2 100.0
37.1
7 5.4
57.5

100.0
37.7
8 3.3
59.0

100.0
41.5
1.9
56. 6

100.0
35. 5
16. 7
47.8

100.0
44.2
19. 2
36. 6

100.0
7 13.3
38.9
7 22.1
9.8
2.1
7.7
9.2
5.0
1.1
.6

100.0
9.7
40.2
3 33.2
5.2
2.6
2.6
8.9
8 8.1
1.8
.9

100.0
« 19.1
9 50.4
15.5
8.4
3.2
5.2
2. 1
2.9
1.6

100. 0
8.2
47. 1
18.2
10. 7
4.6
io 6.1
io 7.4
5.2
3.1
.1

100. 0
6.5
47.1
33.4
3.8
2. 5
1. 3
.[
5.6
3.1
.4

1 Includes schools and colleges; em ploym ent d ata adjusted,to show regular teachers as em ployed in all
12 m onths regardless of length of school year.
2 H ousing au th o rity no t included.
3 Includes housing au th o rity and park district.
4 Includes housing authority.
3 Includes housing a u th o rity and junior college district.
3 N u m b er of evening-school teachers not also employed as day-school teachers estim ated.
7 P a rt of public-service enterprises included w ith general government and part w ith public works and
sanitation.
* Docks and term inals included w ith public works and sanitation; airport and some public works con
struction included w ith recreation and some w ith welfare.
9 Some general-government-building m aintenance included w ith protection.
10 P a rt of hospitals included w ith welfare.


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Federal Reserve Bank of St. Louis

1102

Monthly Labor Review— June 1943

Regional Variations in Trends and Functions
In all geographic divisions, municipal employment in cities with
populations of 100,000 to 500,000 was greater in 1938 th an in 1929
(table 3).5 However, the course of employment in the intervening
years varied in different parts of the country. In cities in the New
England, Middle Atlantic, and Pacific divisions, municipal employ
m ent was higher in 1930 or 1931 than in 1938, whereas in the other
divisions shown in table 3 the peak occurred in 1938. In all but one
division the lowest point in the employment indexes was reached in
1933 or 1934. Failure of municipal employment in New England
and M iddle A tlantic cities to recover to the level of the early thirties
m ay be attributed in p a rt to the slight decrease in population in these
cities from 1930} to 1940. In all areas fluctuations in pay rolls were
much wider th an in employment because of pay cuts and part-tim e
work, but indexes for both followed about the same timing patterns.
Regional comparisons of the distribution of employment and pay
rolls in these cities among three m ajor functional groups 6 are given
in table 4 (p. 1104). Education accounted for approxim ately half of the
municipal employees and a slightly higher proportion of the pay rolls
in some sections of the country and in all sections for at least 35 per
cent of the respective totals. In general, the relative size of employ
m ent and pay rolls for this function was m aintained or increased
throughout the decade.
Em ploym ent on public-service enterprises (e. g., the operation of
waterworks, transit systems, housing authorities, and so forth) varied
from approxim ately 4 percent of total municipal employment in New
England to 16 or 18 percent in the Pacific States. However, both
employment and pay rolls for public-service enterprises in Pacific
cities were lower in 1938 than in 1929, chiefly because of reductions in
employees of the Port of Portland Commission and in those of the
waterworks and street-railway system of Seattle. In the E ast and
W est N orth C entral and E ast South Central cities there was a definite
upward trend in employment and pay rolls for public-service enter
prises.
5 Excluding city-county units. See footnotes to table 3.
6 Education, public-service enterprises, and other divisions (i. e., general city activities),
elude the specific functions of general government, protection, etc. (See table 2.)


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Federal Reserve Bank of St. Louis

T he latter in'

1103

Employment and Labor Conditions
T a b l e 3 .—

Indexes of Municipal Employment and Pay Rolls in Cities It ith Populations
of 100,000 to 500,000 by Geographic Division, 1929-38 1
[M onthly average for 1938=100]

Year

12 New E ng
land cities

14 M iddle A t
lantic cities

11 E ast N orth
C entral cities 2

8 W est N orth
C entral cities

Em
ploy
m ent

Em
ploy
m ent

Em
ploy
m ent

Em 
ploy
m ent

P ay
rolls

Pay
rolls

P ay
rolls

P ay
rolls

5 South A t
lantic cities (I) 3
Em
ploy
m ent

Pay
rolls

1929 ___________
1930 ___________
1931 ________ ____
1932 ____________
1933______________

99
101
106
100
96

99
102
105
96
87

96
99
104
99
95

97
102
107
99
90

96
98
99
95
93

100
104
104
93
84

93
96
97
96
91

98
101
101
95
80

96
95
95
92
91

95
95
94
82
78

1934
_ _____
1935
1Q3fi
1937
1938______________

98
98
100
97
100

88
92
94
95
100

95
97
98
99
100

88
90
93
97
100

92
93
93
98
100

83
85
87
94
100

92
93
96
97
100

82
86
91
93
100

91
97
97
99
100

81
84
89
94
100

5 E ast South
5 South A t
lantic cities (II)4 C entral cities 3

5 W est South
C entral cities 6

1’ M ountain
city 7

7 Pacific cities

1929
- --1930
_____
_________
1931
1932
__ - ____
1933______________

92
91
92
90
88

92
92
92
81
74

92
97
98
95
93

98
103
102
92
84

90
96
98
90
87

99
106
107
88
75

95
96
100
96
96

95
97
99
90
85

99
102
101
96
92

101
104
103
93
81

1934
____
1935
1936
1937
1938______________

90
95
96
98
100

78
83
89
94
100

92
94
96
99
100

84
88
92
98
100

86
92
96
99
100

77
87
92
98
100

96
95
94
98
100

85
88
90
96
100

91
92
96
100
100

78
81
88
96
100

1 Covers 68 of th e 80 cities having populations between 100,000 and 500,000 in 1930; 4 were excluded be
cause th ey had combined city-county governm ents, 6 because of incompleteness of data m one or more years,
and 2 because satisfactory d ata were not obtained. For information on m inor omissions and on d ata esti
m ated, see published releases for individual cities. E m ploym ent d ata for schools have been a-.justed^ to
show regular teachers as em ployed in all 12 m onths, regardless of length of school year.
2 D ata not included for A kron or Toledo, Ohio; Peoria, 111.; or F lin t, M içh.,
. . .
n r
3 D ata not included for city-county governm ents of Richm ond and Norfolk, Va., or for W ashington, D C .
No d ata for education are included for M iam i, Jacksonville, and Tam pa, Fla., w hich have county-operated
SCi1Dat'a are no t included for city-county governm ents of Richm ond and Norfolk, Va., or for W ashington,
D . O. E stim ated d ata for education in M iam i, Jacksonville, and T am pa are included here for comparability w ith other regions.
s D ata not included for Knoxville, T enn.
. , T„
6 D ata not included for th e combined governm ent of N ew Orleans and Orleans Parish, La. n r f n r O lr lflhoma C ity, Okla., and H ouston. Tex.
? Salt Lake C ity ; d ata no t included for city-county governm ent of Denver.


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Federal Reserve Bank of St. Louis

1104

Monthly Labor Review— June 1943

T a b l e 4 .— Functional

Distribution of Municipal Employment and Pay Rolls in Cities
W ith Populations of 100,000 to 500,000, by Geographic Division, 1929-38 1
M o n th ly average
for all functions

Percent of m onthly average for all functions
Em ploym ent

P a y rolls

Geographic division and year

N ew England (12 cities):
1929
......
1930______ _ .
1931_______
1932______ _
1933____
1934_______________
1935 _
1936_____
. . . . ___
1937_____________
1938___________
M iddle A tlantic (14 cities):
1929,
1930_______
__
1931_______
1932____________
1933___________
1934_______ ___
1935_______
_
1936_________ . . . .
1937______
1938_______________
E ast N o rth C entral (11 cities):2
1929____________ .
1930_____________
1931_____________
1932_____________
1933____
1934________ . . .
1935__________
1936____ . .
1937_______
1938______________
W est N o rth C entral (8 cities):
1929____
1930____
1931___
1932______________
1933____________
1934___________
1935 . .
1936______ .
1937________
1938 __ . . .
South A tlantic (I) (5 cities): 3
1929____
1930____
1931 . .
1932______________
1933__________
1934______ _ .
1935. . ,
r
1936___ _
1937._
1938____
South A tlantic (II) (5 cities): 4
1929.„
1930______ . ..
1931 .
1932____
1933_____
1934____________
1935. . .
1936_______ _
1937___________
1938_________

See footnotes a t end of tabl(


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Federal Reserve Bank of St. Louis

Edu
cation

Publicservice
enter
prises

All
other

Edu
cation

Publicservice
enter
prises

$5,106, 772
5, 271, 285
5, 396, 209
4, 980, 706
4,488,334
4, 509, 336
4, 722,147
4,834,939
4, 901,292
5,147,213

38.7
38.5
37.1
38.6
39.4
37.9
38.3
38. 1
38.6
37.2

4.2
4.3
4. 1
4. 1
3.9
3.9
4.2
4.7
4. 1
4.3

57.1
57.2
58.8
57.3
56.7
58.2
57.5
57.2
57.3
58.5

40.6
40.7
40.3
41.5
42.5
39.6
41.7
41.6
42.0
41.0

4. 2
4. 2
4.1
4.0
3.9
3.9
4.1
4.1
4.1
4.0

55. 2
55.1
55 6
54. 5
53.6
56. 5
54.2
54. 3
53 9
55.0

49,289
50,827
53, 363
50, 590
48, 678
48, 387
49, 452
50, 224
50, 779
51,157

7, 766,690
8,188,857
8,590, 669
7,967,259
7, 254, 517
7,068,414
7,221, 776
7,470, 357
7,821,877
8,035,221

42.7
42.7
41.6
43.3
43.6
43.7
43. 2
43.0
42.7
42.8

5.5
5.6
5.6
5.4
5.5
5.4
5.4
5.4
5.2
5.5

51.8
51.7
52.8
51.3
50.9
50.9
51.4
51.6
52.1
51.7

44.8
44.9
44.8
46.5
47.5
46.7
46.4
46.0
45.7
45.9

5. 3
5. 3
5. 2
4. 8
4. 6
4.7
4.8
4. 9
4.8
4.9

49 9
49. 8
50 0
48. 7
47. 9
48. 6
48 8
49 1
49. 5
49.2

34,457
35, 368
35, 710
34. 256
33, 522
33,000
33, 294
33, 421
35,138
35, 919

4, 957, 768
5,125,026
5,109, 330
4, 587,475
4,162,572
4,090, 980
4,188,713
4,296,228
4, 646. 289
4, 934,078

48.4
48.4
48.0
47.7
47. 1
47.9
47.7
48.4
48.6
46.8

6.6
7.0
7.1
6.5
6.7
6.5
7.3
8.8
8.8
8.8

45.0
44.6
44.9
45.8
46.2
45.6
45.0
42.8
42.6
44.4

52.9
53.2
52.8
53.0
52.6
52.6
52.5
52.4
51.5
50.5

5. 9
6. 1
6. 2
5.6
5.9
6.0
6. 7
7.9
8. 2
8.0

41. 2
40. 7
41.0
41. 4
41. 5
41 4
40. 8
39 7
40. 3
41.5

31,916
32, 946
33, 242
33,008
30,989
31, 599
31,915
32, 836
33,079
34,192

4, 342,489
4, 515,882
4, 516,022
4, 232, 382
3, 560, 946
3,657,876
3,835, 748
4,052,151
4,130,427
4,454,290

46.1
45.3
45.3
45.3
46.2
45.4
45.7
45. 1
44.9
45.3

8.1
8.4
8.9
9.4
9.8
10. 1
9.4
9.4
9.6
9.4

45.8
46.3
45.8
45.3
44.0
44.5
44.9
45.5
45. 5
45.3

48.9
48.3
48.9
49.7
50.1
48.8
48.9
48.2
48.2
46.0

7. 7
7.9
8. 2
8. 7
9.0
9. 4
9.1
9. 2
9.2
9.3

43 4
43. 8
42. 9
41. 6
40. 9
41. 8
42.0
42. 6
42.6
44.7

11,274
11, 154
11,117
10, 825
10, 665
10,686
11,365
11,368
11, 554
11, 698

1,356, 410
1, 352, 516
1, 339,163
1,176,200
i, il2 ,489
1,155,003
1, 202, 327
1,274, 857
1,347,812
1,429,937

21.3
22.1
23.4
24.0
24.4
25.2
24.4
24.8
24.4
24.4

13.1
13.3
12.9
12.2
12.2
12.0
12.4
12.2
12.3
12.2

65.6
64.6
63.7
63.8
63.4
62.8
63.2
63.0
63.3
63.4

25.0
25.9
26.4
28.1
29.0
27.6
26.5
26.5
26.7
27.8

11.8
12.2
12. 2
12.0
11. 4

11.5

11.8
11.7
11.7
11.4

63.2
61. 9
61.4
59.9
59. 6
60. 9
61. 7
61.8
61. 6
60.8

13, 642
13, 549
13, 619
13, 352
13.069
13, 268
14,108
14,311
14, 606
14, 829

1, 579,443
1, 581,402
1,579, 173
1, 404, 706
1, 279,138
1,347,040
1, 428, 242
1,530, 968
1, 628,905
1, 726,164

35.0
35.9
37.5
38.4
38.4
39.8
39. 1
40.3
40.2
40.4

10.8
10.9
10.5
9.9
9.9
9.7

54.2
53.2
52.0
51.7
51.7
50.5
50.9
50.0
50.1
50.0

35.6
36.7
37.6
39.8
38.2
38.0
38.1
38.8
39.4
40.2

10.1
10.4
10.3
10.0
9.9
9.8
10.0
9.8
9.7

54.3
52.9
52.1
50. 2
51.9
52. 2
51.9
51.4
50.9

Em
ploy
m ent

P a y rolls

35, 798
36,623
38, 395
36,283
34, 739
35, 561
35,326
36,015
35,032
36,167

10.0
9.7
9.7
9.6

9,5

All
other

50.3

1105

Employment and Labor Conditions
T a b l e 4 . — Functional

Distribution of Municipal Employment and Pay Rolls in Cities
With Populations of 100,000 to 500,000, by Geographic Division, 1929-38 1—Con.
Percent of m onthly average for all functions
M onthly average
for all functions

E m ploym ent

P ay rolls

Geographic division and year

E ast South C entral (5 cities);3
1929______________________
1930______________________
1931______________________
1932______________________
1933
1934______________________
1935______________________
1936______________________
1937______________________
1938________________ . . . . _
W est South C entral (5 cities):9
1929______________________
1930______________________
1931__________ ____ _______
1932______________________
1933______________________
1934______________________
1935______________________
1936______________________
1937______________________
1938_______ ______________
M ountain (1 c ity );7
1929______________________
1930______________________
1931 . .. ____ . . .
. . .
1932______________________
1933______________________
1934______________________
1935______________________
1936______________________
1937______________________
1938______________________
Pacific (7 cities);
1929______________________
1930______________________
1931______________________
1932______________________
1933_____________________
1934______________________
1935______________________
1936_____________________
1937______________________
1938______________________

Publicservice
enter
prises

Edu
cation

Publicservice
enter
prises

51.6
50.6
50. 6
50.3
50.3
50.3
49.7
50.2
51. 1
50.7

44.1
44.5
44.9
44.6
45.9
45.2
44.4
44.0
44. 1
43.9

4.8
5.2
5. 1
5.4
5.6
5.7
6.0
5.9
5.7
6.4

51.1
50.3
50.0
50.0
48. 5
49.1
49.6
50.1
50.2
49.7

7.6
7.1
6.7
6.8
6.3
6.1
5.8
5.6
5.8
6. 1

45.0
46. 5
46.3
42.2
41. 0
40.9
41.9
42.1
43.1
43.1

49.4
48.9
49. 3
53.0
51.4
53.6
54.4
53.9
52. 6
51.5

6.7
6.6
6.3
6.1
6.6
6.0
5.5
5.4
5.5
5.9

43.9
44.5
44.4
40.9
42.0
40.4
40.1
40.7
41.9
42. 6

50.3
50.3
49.4
53. 1
52.4
51. 6
51.7
52.4
50.0
50.6

6.3
6.3
6.6
6.6
6. 0
7.1
6.2
6. 1
6.5
6.3

43.4
43. 4
44.0
40.3
41. 0
41.3
42. 1
41. 5
43. 5
43. 1

52.4
52.8
52.0
57.4
55. 1
52. 7
52. 1
52. 3
50.4
51.3

5.6
5.8
6.0
5. 2
5. 0
6.3
5.7
5.9
6.2
6. 1

42. 0
41.4
42.0
37.4
39.9
41.0
42.2
41.8
43.4
42. 6

41.9
42. 5
43.3
43. 7
45.3
46. 1
47.2
47.0
46.3
46.8

18.7
18.3
17.4
16.8
15.9
16.1
16. 2
16. 6
16.8
16.1

39.4
39. 2
39.3
39.5
38.8
37. 8
36.6
36.4
36.9
37.1

42.4
42.8
43. 5
45. 1
46.3
45. 9
46.6
46.8
45. 3
46.4

17.3
17.3
16. 5
14.7
15. 1
15.9
15. 9
16. 2
16. 7
16.0

40. 3
39.9
40. 0
40.2
38.6
38. 2
37.5
37.0
38.0
37.6

Em 
ploy
m ent

P a y rolls

16, 293
17,092
17,291
16, 726
16,414
16,296
16,676
16.955
17, 504
17, 681

$1,806,055
1, 901,173
1, 878,705
1, 702,417
1, 555, 718
1, 555, 570
1,621,081
1, 694,442
1, 815, 756
1,847,492

43.6
44.0
44.4
44.3
44. 3
44.3
44.6
44.2
43.4
43.3

4.8
5.4
5.0
5.4
5.4
5.4
5.7
5.6
5.5
6.0

14,192
15,144
15,450
14, 219
13, 615
13, 510
14, 482
15,132
15, 489
15,711

1, 733, 602
1,851, 378
1, 874,122
1, 555, 235
1,311,319
1, 343,886
1, 515,401
1, 609, 781
1, 705,107
1,747,619

47.4
46. 4
47.0
51.0
52.7
53.0
52.3
52.3
51.1
50.8

2, 454
2, 474
2, 579
2, 474
2, 459
2, 466
2, 441
2, 423
2, 529
2, 575

302, 210
306,404
315, 549
284, 717
269,142
268, 597
279, 388
286, 339
306,167
317,309

29, 754
30, 600
30, 323
28, 857
27, 424
27, 277
27, 706
28.833
29, 971
29, 945

4, 551, 382
4, 709, 593
4, 658, 768
4,183. 713
3, 641, 234
3, 538, 249
3, 671,303
3, 958, 673
4, 339, 651
4,509, 034

Edu
cation

All
other

All
other

1 Covers 68 of the 80 cities having populations between 100,000 and 500,000 in 1930; 4 were excluded because
th e y had combined city-county governments, 6 because of incompleteness of d a ta in one or more years, and
2 because satisfactory d a ta were not obtained. For information on minor omissions and on d ata estim ated,
see published releases for individual cities. E m ploym ent d ata for schools have been adjusted to show regular
teachers as employed in all 12 m onths, regardless of length of school year.
2 D ata not included for A kron or Toledo, Ohio; Peoria, 111.; or F lin t, M ich.
3 D a ta no t included for city-county governm ents of Richmond and Norfolk, Va., or for W ashington, D . C.
N o data for education are included for M iam i, Jacksonville, and T am pa, Fla., which have county-operated
schools.
4 D ata no t included for city-county governments of Richm ond and Norfolk, Va., or for W ashington, D .C .
E stim ated d ata for education in M iam i, Jacksonville, and T am pa, Fla., are included here for com parability
w ith other regions.
3 D ata not included for Knoxville, Tenn.
9 D ata not included for the combined governm ent of N ew Orleans and Orleans Parish, La.; or for Okla
hom a C ity, Okla., and H ouston, Tex.
7 Salt Lake C ity; d a ta not included for city-county governm ent of D enver.

Employees in the remaining municipal functions, were combined in
table 4. In most cities police and fire protection and public works
and sanitation were the largest of the specific functions grouped under
“other divisions/’ but health activities accounted for a substantial
proportion of the employees in cities m aintaining hospitals. The pro-


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Monthly Labor Review—June 1943

1106

portion of employees engaged on all such functions varied from a little
less than two-fifths of the total in the Pacific Division to almost threefifths in New England. Although the corresponding proportions of
total pay rolls were slightly lower, pay rolls were high in relation to
employment for several types of work in this broad group, e. g., for
general governm ent7 and police and fire protection. The ratio of
pay rolls to employment was low for public works and sanitation,
on which a large proportion of relatively unskilled labor is used, and
for health and welfare activities, in which some of the workers receive
complete or partial subsistence in addition to their salaries or wages.
Cities with combined city-county activities were excluded from
the geographic comparison, but the p attern of municipal activities
in the remaining cities was affected to some extent by other differences
in the governmental framework. In New England, for example,
it is custom ary for cities to provide institutional care and perform
welfare work which elsewhere are more commonly functions of the
county or State. This accounts for the disproportionately large
fraction of municipal employees in New England engaged on functions
other than education and public-service enterprises. However, the
relative importance of health and welfare activities varied consider
ably among New England cities, accounting in 1938 for more than a
third of all employment other than th a t for education and publicservice in Fall River and Worcester, Mass., and a fourth in Hartford,
Conn., but only 10 percent in Lynn, Mass.
The South Atlantic Division contained the least homogeneous
group of cities with respect to governmental organization. Education
is a county function in Florida and the inclusion of Jacksonville, Miami,
and Tam pa in the South Atlantic comparison resulted in this division’s
having a smaller proportion of municipal employees engaged in educa
tional activities than any other section of the country. However, when
the figures were adjusted for county school personnel employed in
these three Florida cities (see tables 3 and 4), the South Atlantic
cities as a group had about the same proportion of their employees
engaged in educational activities as the New England cities.

Employment and Pay Rolls in Relation to Population
To facilitate intercity comparisons of the size of the staffs and pay
rolls required for municipal services, the employment and pay-roll
series are shown in table 5 in terms of the population served. Because
it was impossible to separate county from municipal services in 6 of
the 13 cities w ith populations of half a million or more, data for the
remaining 7 were made roughly comparable by adding to the per
capita figures for ordinary municipal purposes the corresponding per
capita figures for the counties in which the cities are situated.
Per capita pay-roll expenditures tended to be highest in the large
cities, but there were exceptions to this generalization-—notably
Philadelphia and Baltimore. The comparatively small expenditures
in Baltimore and Philadelphia reflected both low ratios of municipal
employees to population and low m onthly paym ents per employee.
Chicago’s per capita expenditures were small, despite a high salary
jevel, because of the comparatively small num ber of employees.
. 7 T he function of general governm ent included a variety of divisions such as legislative, judicial, execu
tive, finance, purchasing, recording, and building m aintenance.


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1107

Employment and Labor Conditions
T a b l e 5. — Municipal

Employment and Pay Rolls in Relation to Population, 1929 and
1938 1
Population, 1940

C ity or city group
N um ber

Percent
of in
crease
■ from
1930

Average m o n th  Average m onth Average m onth
ly em ploym ent ly pay-roll ex ly paym ent per
penditure per
per 10,000 of
employee
population 2
capita 2

1929

1938

1929

1938

1929

1938

C ity and county activities combined
15,910,866
Population over 1,000,000____
N ew Y o r k - - _____ - — _ _ 7,454, 995
Chicago 3_______ ________
3, 396,808
P hiladelphia ____
1, 931, 334
1, 623, 452
D e tro it3---------- ---------Los Angeles 3
-- ---- 1, 504, 277
P opulation 500,000 and under
1,000.000 5___ _______________
4, 915,532
Cleveland A _______
878, 336
B altim o re .. . .
859,100
St. Louis .
816, 048
Boston
.
. 770, 816
P ittsburg h 3_______________
671,659
San Francisco
_ .
634, 536
M ilw au k e e 3
. . .
587, 472
575, 901
Buffalo 3____ - - ------------Population 250,000 and under
816, 949
500,000— ___________________
New Orleans____ . . . . . . .
494, 537
D enver —
- .
— 322, 412
Population 100,000 and under
337, 374
250,000— -- ________________
193, 042
Richm ond _
. . .
Norfolk__ . _________ ____
144, 332

6, 524, 537
Population over 1,000,000______
Chicago
. ____ - 3, 396, 808
1, 623, 452
D etroit. ---------------------------1, 504, 277
Los Angeles___ P opulation 500,000 and under
1,835, 032
1,000,000 «___________________
878, 336
C leveland____________ ___
671,659
P ittsb u rg h ________________
587, 472
M ilw aukee _ ----Buffalo________
.
-----575, 901
Population 250,000 and under
6, 089, 848
500,000 i . . . _________________
P opulation 100,000 and under
6, 976,843
250,000 9____________________
P opulation 100,000 and under
500,000 1____________________ 13, 066, 691
1, 709, 082
New E n g la n d .. - _____ —
M iddle A tlan tic..----------------- 2, 495, 296
2, 228, 259
E ast N o rth C entral L - W est N o rth C en tra l.____
1, 900, 436
South A tlantic 10__ . . _
868, 420
E ast South C e n tra l1_- . ____ 1,175, 167
965, 217
W est South C e n tra l1____ 149, 934
M ountain - . . . - ______
Pacific-------------- ----------1, 574, 880

5.6
7.6
.6
4 1.0
3.5
21. 5

207
200
165
191
266
309

218
231
172
167
237
298

$3. 66
3. 78
3.14
2. 73
4.46
4. 79

$3.95
4. 48
3. 26
2. 54
4.06
4. 63

$177
189
190
143
168
155

$181
194
190
152
171
155

1.1
4 2.5
6.7
4 #7
4 1.3
.3
(7)
1.6
.5

215
(6)
180
198
259
208
215
217
237

222
231
191
201
270
202
214
244
243

3.23
(•)
2. 34
2. 89
4.06
3.21
3. 49
3. 15
3. 68

3.38
3. 47
2.43
2.92
4.28
3. 30
3. 66
3. 68
3. 73

150
(6)
130
146
157
154
162
145
155

152
150
127
145
159
163
171
151
153

9.4
7.8
12.0

194
184
209

185
177
198

2.54
2.31
2. 92

2. 34
2.14
2. 66

131
126
140

127
121
134

7.9
5.5
11.3

186
180
188
194
184
161
C ity activities

2.36
2. 44
2. 26
only 8

2.16
2.47
1.74

127
130
123

120
127
108

5.5
.6
3. 5
21.5

194
146
248
254

185
150
213
234

$3.40
2.80
4.15
4.11

$3.31
2.88
3.68
3.88

$175
192
167
162

$179
192
173
166

.8
4 2. 5
.3
1.6
.5

195
(6)
180
189
219

187
207
168
188
207

2.99
(•)
2. 76
2. 82
3. 43

3.01
3.12
2. 79
2. 97
3.30

153
(6)
153
149
157

161
151
166
158
159

3. 5

183

187

2. 63

2. 61

144

140

4. 5

180

178

2. 49

2.41

138

135

4.0
4 .6
4 1.2
2.6
4.0
20.9
7. 4
7.3
6.9
7.6

181
208
195
159
175
190
149
158
175
203

182
212
205
161
180
171
150
163
172
190

2. 56
2. 97
3.07
2.28
2. 38
2. 20
1.65
1.93
2.15
3. 11

2.50
3.01
3.22
2.21
2. 34
1.99
1.57

141
143
157
144
136
116
111
122
123
153

137
142
157
138
130
116
105

1.81

2.12
2. 86

111

123
151

1 Covers all except 8 of the 93 cities w ith populations of 100,000 or more in 1930. D ata are not included for
the following because figures for 1929 were incomplete: cities of 250,000 to 500,000—Toledo and Houston;
100,000 to 250,000—Akron, Peoria, Knoxville, and O klahoma C ity. Satisfactory data were not obtained for
W ashington, D . C., or F lin t. For notes on estim ated figures and additional d ata on individual cities see
table 1, appendix table B, of Serial No. R. 1540 and published releases.
2 Figures for 1929 and 1938 are com puted on the basis of the population censuses of 1930 and 1940, respectively.
2 P er capita figures for the related county have been added to the city figures to m ake them comparable
w ith d ata for cities in w hich city and county functions are not separable.
4 Decrease.
* Cleveland no t included in a n y totals or averages for this group.
6 D ata incomplete.
1 1ncrease less th a n a te n th of 1 percent.
8 Excluding cities in which d ata for city and county are not separable.
9 See footnote 1. E stim ated d ata for the schools of Jacksonville, M iam i, and T am pa have been included
although the schools are actually county operated. See table 4.
id E stim ated d ata for the schools of Jacksonville, M iam i, and T am p a have been included, although the
schools are actually county operated. See table 4.
5 2 9 0 8 5 — 43------- 5


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Federal Reserve Bank of St. Louis

1108

M onthly Labor Review— June 1943

A regional comparison of city units w ith populations of 100,000 to
500,000 in 1930 8 shows th a t per capita expenditures for municipal
activities were noticeably higher in cities in the Middle Atlantic, New
England, and Pacific States than in other parts of the country in 1938.
These three sections also had the greatest num ber of municipal em
ployees per 10,000 of population and the highest average paym ents per
employee. Population declined slightly in the New England and
Middle A tlantic cities during the thirties, and municipal employment
and pay rolls increased in relation to population. In the Pacific cities,
however, employment and pay rolls increased less than population,
reflecting a tendency for the expansion of such municipal functions as
education and protection to lag somewhat behind population changes.
M unicipal pay-roll levels in 1938 were lower in Southern cities than
in other sections and per capita pay-roll expenditures also were lowest
in the South.

INDUSTRIAL CANTEENS IN GREAT BRITAIN
AN O R D ER of the British M inistry of Labor and N ational Service of
April 7, 1943,9 provided th a t the occupier of any factory in which more
than 250 workers are employed in the performance of services or
engaged in services or operations which are essential for the defense of
the realm or the efficient prosecution of the war, or are engaged in
dangerous or injurious occupations m ust, if directed in writing by the
Chief Inspector of Factories, provide suitable canteen facilities where
hot meals m ay be purchased by the workers. The order, effective
April 19, 1943, revoked a previous order of November 11, 1940,10
which provided th a t employers engaged in m unitions work or work on
behalf of the Crown m ight be required to provide such facilities.
The new order stipulates th a t the canteen m ust be in or in the
immediate vicinity of a factory or a group of factories. Regardless of
whether or not the canteen was established in accordance w ith this
order, if the canteen arrangem ents are not satisfactory as regards
construction, size, equipment, meals supplied, services rendered, etc.,
the factory inspector m ay serve notice upon the occupier of the
factory, whose duty it shall be to make arrangem ents to remedy such
defects. The revocation of the previous order did not affect anything
which had been done or any direction which had been given under the
original order.
Since early in 1940 the Government has actively promoted the
establishm ent of communal feeding centers both for the general
population and for workers in factories. The progress made, up to
the spring of 1942, was indicated in a statem ent by the M inister of
Labor and N ational Service in a House of Commons debate on factory
welfare in July 1942.11 He reported that, of the factories engaged on
Government work and employing more than 250 people each, 3,540
had established canteens by April 1942, and 803 additional canteens
were in course of being established a t th a t time. This number, which
did not include factories w ith mess rooms only, represented 96 percent
8 For per capita figures for each of the 91 cities, see Serial No. E . 1540.
6 G reat B ritain, S ta tu to ry Kules and Orders 1913, No. 573, Em ergency Powers (Defense), Factories
(Canteens) Order, 1943, made by the M inister of Labor and N ational Service, under K egulation 60 of the
Defense (General) Kegulations, 1939.
10 See M o n th ly Labor Eeview, December 1941 (p. 1401).
11 In d u strial Welfare and Personnel M anagem ent (London), Septem ber-O ctober 1942.


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1109

Employment and Labor Conditions

of the factories engaged in w ar work which employed more than 250
persons. Of the smaller factories, 3,000 had canteens. A recent
report (April 1943) from the United States Em bassy at L ondon4
gives the total num ber of canteens as about 7,500; and it points out
th a t the Chief Inspector of Factories, in his 1941 report, stated th a t
the canteens in which workers are themselves associated w ith the
m anagem ent are more successful than those run by outside caterers.
The provision of nourishing food for persons doing heavy work
(steel workers, dock workers, miners, etc.) has required special
attention, particularly in view of the lim itations imposed by food
shortages. One of the industries presenting the greatest difficulties in
the provision of hot meals is coal mining. The necessity for providing
miners with nourishing food if they are to he able to produce the coal
required has been the subject of several debates in the House of
Commons.5 The progress which has been made in providing full-meal
canteens for mines is shown by the fact th a t in the fall of 1941 only 751
mines had communal feeding arrangements of any kind and of these
only 16 were providing hot meals, whereas on M arch 1, 1943, there
were 239 which had full-meal canteens in operation. Because of
the difficulty of serving hot meals to miners while at work, since the
men m ay be employed in narrow workings and often at considerable
distances from the pit bottom , the canteens for the miners have had
to be placed a t the pit heads, where the men have the opportunity to
wash up and have a hot meal after leaving work. The canteens in
service and in process of construction or preparation on February 1,
1943, are shown in the accompanying table.
Full-Meal Colliery Canteens in Great Britain and Number of Men Catered for, January
1942 to February 1943
Full-meal canteens
In operation

U nder construction

In preparation

D ate
N um ber
of
collieries
Jan. 1. 1942- ____________________
A pr 1, 1942
_____ _______
Ju ly 1, 1942 ___________________ _
Oct 1, 1942
_ _________ ____
Jan. 1, 1943 ____________________
Feb. Î, 1943______________________

49
61
90
132
207
226

N um ber N um ber of N um ber N um ber of
N um ber
m en to be
of
m en to be
of
of m en
catered for collieries catered for collieries catered for
55,396
69,611
102,099
135, 312
195,157
215,205

69
108
154
176
155
151

72, 532
104, 839
137,919
145.657
128,553
124, 601

243
235
187
144
121
107

222,021
203, 253
163. 766
137.107
112,877
99,009

i R eport No. 290 from E. M abel Hodefkinson, American Em bassy, London.
s G reat B ritain, House of Commons, Parliam entary Debates. October 2, 1941, F ebruary 23, and M arch
16. 1943.


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Federal Reserve Bank of St. Louis

Productivity o f Labor and Industry

PRODUCTION INQUIRY BY BRITISH ENGINEERING
UNION
A R E PO R T analyzing the factors contributing to improvement in
production and those impeding it, made by the B ritish Amalgamated
Engineering Union, shows very definite improvements in output in a
num ber of factories and reveals a greatly increased interest in produc
tion among the British workers as a whole.1 This is the third such
report made by the union and covers the period from April to Sep
tem ber 1942. D ata were collected from 1,000 establishments, repre
senting 1,268,010 workers in 881 firms. Inform ation was obtained
only from shop stewards and trade-unionists, but although employer
opinions are not included, the report is well documented and the
union points out th a t nothing was included which cannot be sub
stantiated. Bad workshop organization was the most frequent com
plaint, but there were other criticisms, such as shortage of equipment,
misuse of manpower, idle machines, shortage of raw m aterial, and
uneven flow of orders. M ost of the deficiencies were claimed to be
caused by lack of organization and lack of coordination at the top,
which individual managements and workshops were not in a position
to set right. The same defects and drawbacks in the organization
of production were found at the time of the latest union survey as
existed when the previous studies were made.
Nearly half of the establishments for which information was received
showed higher production at the time of the A pril-Septem ber 1942
study. In a few cases the increase was 300 to 400 percent, and only
4 percent of the total showed actual decreases. There was a rise in
the percentage of firms having joint production committees, from 21
percent of the firms in M arch 1941 to 55 percent in the latest period
surveyed. Only 2 percent of the committees formed had broken down.
In the opinion of the A. E. U., the chief reason for improved produc
tion was the establishm ent of better employer-worker relations. For
67 percent of the firms with production committees, “ improved
cooperation” was named by the union representatives as the main
reason for increased production. The reasons given for increased
production are shown in table 1, in the order of importance, expressed
in percentages of the total num ber of establishments covered in each
ca_se. G reater production was reported by 55 percent of those with
joint production committees and by 42 percent w ithout such com
mittees. Improved cooperation and adoption of workers’ suggestions
had less weight in establishments w ithout production committees
than in the others.
1 D ata are from The Econom ist (London), issue of April 17,1943 (pp. 501, 507).

1110


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Federal Reserve Bank of St. Louis

1111

Productivity of Labor and Industry
T a b l e 1.—

Reasons for Increased Production in British Engineering Plants, AprilSeptember, 1942

Cause

B etter cooperation betw een m anagem ent and w orkers, _
w orkers suggtbiiuub d u u p u u
. _ ,. ,
,
Im proved tim ekeeping and less avoidable absenteeism ,_
B etter workshop org8.niz<ition---------------------D euei ubt; ui tp u ip m o u i -------------------------im proveu PIUUU.C/U1U.LI mctnuuvj--------------.Better use 01 iLmdic iauui
t-v-i/\nr\ idifb
r*ofoe ui
nr uAlii
ur~\u.,a^ra^n te e aA -piece
u tpTint
u t norms
Dn
+tnv ucu
nf piuuu.Liiuu
nrAHnptlAn tilTlft ------------- _
- B etter
ubt? ui
B e t t e r Wclldlc I/Uiiumuuo------------- -------JDettCI LlbtJ ui oJLiucu Tarrrrn
- Propaganda for more o u tp u t
T)
A
na ritro r*t O emu
o n rl Hpli
B etter IlOW
Ol tOllllaClo
uluVPTlftS
vLiiLiJ ---- _______
T
Ann line
A /\ limi
VttoTi xAj-iiuxi
finish -------- --- - ---juess
l in n +
bbo onrl
cmci iiig.il
Im proved canteen facilitice
m creasea s t a n u a iu iA d tio ii 01 u m w
Im proved tian sp o rt facilities
im proveu no iibing, id u u u o o —

E stablish
m ents w ith
production
committees

E stablish
m ents w ith 
out production
committees

Total

Percent

Percent

Percent

37.6
30.0
38. 8
28.8
32. 3
37.6
42. 3
25. 3
23. 5
15. 2
20.0
14.1
23. 5
18. 2
8. 2
13. 5
1.1
.6

67.7
58.1
53.1
51.1
50.0
48.5
47.4
41.8
40.3
31.5
30. 7
28.1
28. 1
22.2
17.0
16. 3
13.0
1.8

52.6
44.0
45. 9
40.0
41. 2

<Ht. O
0
31.9

o<5.

Zo. o
Zo. o
Zi.

i
25. 8
20.2
12. 6
14. 9
7.0
1.2

1

Factors th a t retarded production are listed m table 2. m the order
of their importance, expressed in percentages of the total num ber ol
establishments with or without the committees, th at reported de
creased production. The returns, of course re fle c t the attitudes ol
the workers which cannot be measured with precision by statistics.
T \ ble 2.— Factors Retarding Production in British Engineering Plants, April September
1942

Cause

E stablish
E stablish
m ents
m ents
w ithout
w ith joint
joint
production production
com
com
m ittees
m ittees

Percent
B ad workshop organization,
Shortage of, or obsolete, eq u ip m en t—
Lack or misuse of m anpow er---------R aw -m aterial shortages--------U neven flow of orders---------------------------------------------C om ponent shortages-----------O bstructive m anagem ent--------Too fine lim its and high finish-----Shortage of work,_, _---------B ad welfare conditions------Bad canteen facilities,,----------------------------Grievances about earnings-----------------------------B ad tran sp o rt facilities-----------------B ad tim ekeeping and avoidable absenteeism .,.

43.6
41.8
36.5
31.0
29.8
28.2
27.8
19.2
2.4
32.6
12.0
9.8
9.4
7.0
«

Percent

39.0
31.75
32.5
28.75
21. 5
13.75
15.0
27.25
2. 75
16. 75
14. 5
5.5
12. 5
3.0
3. 75

Total

Previous
inquiry
(total)

Percent

Percent

41.3
36.75
34. 5
29.9
25.6
21.0
21.4
23.25
2.5
24. 75
13.2
7.6
11.0
5.0
4.0

16.7
38.3
26.4
17.0
18.7
9.2
11.6
26.6
5.8
15.8
4.6
3.2
10.6
4.6
6.4

The production committees which the Amalgamated Engineering
Union found to be so im portant in forming a basis for m anagementlabor cooperation are exclusively concerned with m atters directly
relating to production.2 They deal w ith the use ol machinery,
2 For a discussion of these committees, see the M o n th ly Labor Review for M ay 1942 (p. 1088) and M ay
1943 (p. 900).


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1112

Monthly Labor Review— June 1943

machine-tool capacity, the organization of supplies, the shift system
progress, and inspection. A great deal of the comm ittees’ time is
also devoted to canteens, transportation, ventilation, lighting and
related m atters contributing to the welfare of labor and thus to
productivity. Agreements for organizing joint production com
mittees m engineering and Royal ordnance factories were signed
between the engineering employers and unions and the M inistry of
Supply more than a year ago. On February 17, 1943, the M inister
<>i 1 induction stated th a t 2,096 factories, employing 150 or more
workers each, had established production committees, and th a t these
had on the whole been a success.”


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Federal Reserve Bank of St. Louis

ICTORY
BUY
UNITED
STATES

W AR
ONDS
AND

STAMPS

Social Security

UNEM PLOYMENT-COMPENSATION OPERATIONS,
1942 1
U P TO the end of 1942 the sum of $2,032,335,476 had been paid out
in compensation to unemployed workers in the United States, under
the system established by the Social Security Act of 1935.
During 1942 a weekly average of nearly 544,000 persons received
unemployment allowances, which totaled for the year more than
$345,500,000. As compared with 1941, these figures represented a
drop of oyer 12 percent in beneficiaries and a slight (0.06 percent)
reduction in benefits.
P lant conversions to war production, after the attack on Pearl
H arbor, caused widespread unemployment and a sharp rise in initial
claims for benefit in January 1942. Demands for workers, however,
resulted in an abrupt decline in these claims as early as February.
This decline continued (with two minor interruptions in April and
June) through the summer and fall and to the end of November,
falling to a point far below the lowest reached a t any time in 1941.
The m onth of December showed a slight seasonal upturn, resulting
from reductions of force in such seasonal industries as construction,
garm ent m anufacture, etc.
About the same general trend occurred during the year in continued
claims, persons receiving benefit, and amounts disbursed in benefits.
All of these showed a practically continuous decline from M ay
through November. The high point in benefits paid was reached in
M arch, in which m onth the sums disbursed aggregated $43,034,821,
or 9.6 percent above the 1941 peak of $39,270,163 (January). The
decline in benefits paid, th a t began in April, continued precipitously,
as more and more demands for workers drew off the available labor
supply. This tightening labor m arket and the elimination of the
usual seasonal lay-offs in m any industries were responsible for a
decline in benefits from September to October, characterized by the
Bureau of Em ploym ent Security as the “sharpest on record.”
The factors th a t contributed to the increase in benefit paym ents in
December 1941—conversions to war production, shortages resulting
from priorities, and curtailm ent of certain civilian goods (notably
automobiles)—had become relatively unim portant by the end of
1942. The increase in continued claims th a t occurred in December
1942 was due entirely to a sharp increase in waiting-period claims
filed by newly unemployed, largely in seasonal industries; compensable
claims decreased 2.5 percent in th a t m onth. As a result, the am ount
of benefits paid out in December reached the all-time low of
$11,539,000.2
1 Based on d ata compiled from reports of the Bureau of E m ploym ent Security, Social Security Board.
* Excludes $19,000 paid during D ecember in Oregon, resulting from a review of 1938-41 seasonal claims.


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Federal Reserve Bank of St. Louis

1113

1114

Monthly Labor Review— Jane 1943

The steeply falling curves of unemployment benefits and of average
num ber of persons drawing benefit reflected the greatly reduced
num ber of unemployed and the unusual and increasing demand for
all kinds of labor. As the accompanying table shows, there were
drastic reductions in unemployment-compensation operations in the
last half of the year, as compared with the first half. Compensable
claims and gross benefits paid fell nearly 45 percent, and the num ber
of weeks for which compensation was paid, as well as the average
weekly num ber of persons receiving allowances, was cut nearly in
half.
Summary of Unemployment-Compensation Operations, 1941 and 1942
1942
Item

Initial claims (local office) .
C ontinued claim s______
W aiting-period c la im s .___
Com pensable claims ___
W eeks com pensated____ _
T otal u n em p lo y m en t. _ ... . . .
Part-to tal unem ploym ent . . .
P artial U nem ploym ent..
Gross benefits p a id ___
___
Average weekly num ber of beneficiaries.-

1941

F irst 6
m onths

L ast 6
m onths

E ntire
year

4,304,614
22, 204,836
3, 644, 676
18, 560,160
18, 276, 581
16,779,330
539, 656
942,740
$222, 215,652
711,351

2, 018,767
11,556,926
1, 479,121
10,077,805
9,881,149
9,103,197
228, 994
529,030
$123, 299, 257
377,537

6, 323, 381
33,761,762
5,123, 797
28,637,965
28,157,730
25,882, 527
i 768, 650
1 1, 471,770
$345, 514,909
544, 444

8, 526, 993
42,341,845
8, 853, 569
33,488, 276
32, 295, 377
29, 359,117
(2)
2 2,936, 260
$345,707, 731
618, 867

1 Excludes N ew York and R hode Island (data no t reported) and M ontana and Pennsylvania which have
no provision for partial and part-total unem ploym ent.
2 D a ta for p art-to tal unem ploym ent included w ith d ata for partial.

Unem ploym ent has largely been concentrated in a few of the large
industrial States. Illinois and New York have been particularly
hard hit, reporting unemployment even above the level of 1941.
Consequently the num ber of beneficiaries and amounts paid in benefits
in such States have both been high. In December one-fourth of all
the weeks of unemployment for which compensation was paid were in
New York. This State, together with California, Illinois, Michigan,
New Jersey, and Pennsylvania, accounted for 58 percent of the total,
whereas these States contained only 44 percent of all workers with
wage credits.

INCREASED D EPE N D E N T S’ ALLOWANCES FOR
CANADA’S ARMED FORCES
ON January 1, 1943, various improvements in the provisions for
dependents’ allowances to Canadian men and women in active mili
tary service became effective. Among these revisions were increases
in the allowance rate and additional grants for large families.1
Coverage.—Allowances are granted to the following dependents of
men and women on active duty in Dominion Armed forces, irrespec
tive of rank.
(a) A wife, or, in h er absence, a w om an relativ e who has th e care of his depend
e n t c h ild re n ;
(b) A dep en d en t son u n d e r 16 or d a u g h te r u n d er 17; th e age lim its are raised to
19 if th e child is undergoing ap p ro v ed in stru ctio n , an d are w aived a lto g e th e r if
th e child is infirm ;
1 In tern atio n al L abor Review (M ontreal), M arch 1943.


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Federal Reserve Bank of St. Louis

1115

Social Security

(c) O ther d ependent relatives, including th e following: W idow ed m other,
in c a p a c ita te d fath er, b ro th e r u n d er 16, or sister u n d er 17 if th e service m an is
th e re la tiv e ’s sole or p a rtia l su p p o rt, an d divorced wife if th e service m an is liable
for her su p p o rt; no d epen d en t m ay receive m ore th a n one allowance.

A maximum of 3 dependents may receive allowances except th at
in case the dependents include more than 2 children,, allowances m ay
be paid for as m any as 6 children (previously 4) and also to a wife.
I n general only “ one other dependent relative” is eligible lor an allow
ance even when there is no wife or child to be provided lor.
The cost of these grants for the m aintenance of dependents is m et
in part by the Government and in p art by assignments from pay.

Amount o) Allowance
Assigned 'pay.—I t is provided th a t soldiers (including wan ant and
noncommissioned officers) shall assign p art of their pay to then de
pendents receiving allowances. The assignment of pay by officers
is voluntary. M arried officers are eligible for marriage allowances as
well as allowances for dependents. Fifteen days’ pay is the minimum
assignment, even if a grant is made for one dependent only.
In case allowance is paid for a wife or child or both, and also to
another relative, 5 days’ pay m ust also be assigned to the latter. 1 he
maximum assignment is 20 days’ pay. A private’s pay is $1.30 per
day and his minimum assignment is $20 per m onth. Fuective hebruary 1, 1943, the pay of a private who has been in the service for 6
m onths and is efficient is increased to $1.50, and Ins minimum monthly
assignment is raised to $23.
.
Basic allowance rates.—The basic rates for children s allowances
are the same for all rates of service men, but the grants for wives and
other relatives vary according to the service m en’s rank.
Up to December 31, 1942, the m onthly allowances were for 4 chil
dren only and am ounted to $12, $12, $9 and $6 for the first, second,
third and fourth children respectively. From the beginning of 1943,
as m any as 6 children have been made eligible for allowances, the
respective m onthly rate for the third being raised to $10, and $8 each
being allowed fo r'th e fourth, the fifth, and the sixth children.
The allowance rates per m onth for wives and for dependent
relatives other than children arc:
Wife

Officer above ran k of m ajor.
M a jo r_____________________
C a p ta in ___________________
L ie u te n a n t-----------------------W a rra n t officer, class I ------All o th er ra n k s____________

$60
55
50
45
40
35

dependent
relative

$30
25
25
25
20
20

In case the “ other dependent relative” is a noncommissioned service
m an’s mother, the allowance is $25 instead of $20.
All grants to “ other dependent relatives” are subject to a means
test. Up to December 31, 1942, the dependent’s total mcome
(excluding a son’s assigned pay) could not be more than double tne
basic allowance rate. From the beginning of 1943 such relative may
earn as much as $40 a m onth without necessitating a decrease ot ins
or her allowance.


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Federal Reserve Bank of St. Louis

1116

Monthly Labor Review— June 1943

Cost-of-living bonus.—From the beginning of 1943, the allowances
ior wives and children and the assigned pay are supplemented bv a
cost-of-living bonus. For childless wives the bonus is in proportion
to the rise in the cost of living after October 1941. For wives and
children the bonus is 25 cents for each 1 percent rise.
The total paym ents per m onth, including assigned pay, dependents’
allowances and cost-of-living bonuses, as of the time the report was
prepared, are given below:
Wife
Wife
Wife
Wife

o n ly -----------------------------an d 1 c h ild __________ __
an d 2 ch ild ren __________
an d 3 ch ild ren _________

$59.
72.
84."
94 '

49
60
60
60

Wife an d 4 ch ild ren _________ $102. 60
Wife a n d 5 ch ild ren _________
110. 60
Wife an d 6 ch ild ren _________
118. 60
M o th e r o n ly _________________
4 g qo

A dm i nistrati on
The D ependents’ Allowance Board administers the allowance
system . This agency has 7 members—two each from the Army and
Air Porce, one each from the N avy and the. Treasury, and a civilian
chairm an appointed by the M inister of N ational Defense.
H ritten applications for allowances m ust be subm itted to the Board •
and for all dependents w ith the exception of wives and children the
Board s decisions on claims are also based on the reports of district
investigators. No appeal may be made from the B oard’s decisions
but district interviewers are charged w ith the responsibility of hearing
grievances and, when it is thought advisable, reporting them to the
Board.
In January 1942, the D ependents’ Board of Trustees was established
by the Government to afford additional aid out of a special fund in
cert mn pressing cases in which the regular dependents’ allowances seem
insufficient. _Phis body is assisted by regional advisory committees
and is studying the possibility of helping the families of service men
to move from high-rent to low-rent sections.

RETIREMENT BENEFITS FOR DOMESTIC SERVANTS
IN URUGUAY 1
D O M ESTIC servants of both sexes, 14 years of age or over, were
brought within the coverage of the Retirem ent Fund for Industry
IBld ]1>ubllc Services of Uruguay 2 by a decree law of July
2 2 , 1942.
I he classes of domestic employees specified are servants
janitors, cooks, caretakers, cleaners, nurses, and others who perform
Bus kind ot work; doorkeepers of apartm ent houses are included, also.
lose covered by this law are given 1 year in which to make the
appropriate affiliation.
Pile system is to be financed through the paym ent of contributions
by employers and domestic servants. The employer is to contribute
f 0 percent ol the wages guaranteed to his employees, and those who
employ more than one servant pay an additional 1 peso m onthly for
each, th e worker makes a contribution of 5 percent of his wage.
P or the purpose oi calculating the benefit, the minimum m onthly
wage is fixed a t 25 pesos.
1 D ata are from Diario Oficial (M ontevideo), Ju ly 27, 1942.
2 T his system h ad previously been extended and readjusted b y a law of J an u a ry 11 1934.


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Federal Reserve Bank of St. Louis

Social Security

m ‘

Benefits provided for under the law are payable after completion of
a qualifying period of 5 years. Exceptions to this provision are th a t
the benefit for perm anent total disability, and the survivors’ pension
in either instance amounting to 10 pesos a m onth, m ay be claimed
after paym ent of contributions for 1 year.
.
Domestic servants are not eligible to dismissal benefit under existing
legislation. They are to be covered however, by an unemployment
insurance, which the R etirem ent Fund will administer, and which will
provide a maximum of 6 m onths’ benefit after contributions hav e been
made for at least 5 years.


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Federal Reserve Bank of St. Louis

Placement

PLACEMENT WORK OF U N ITED STATES EMPLOY
M ENT SERVICE, 1942 1
M O R E than 10% million placements in gainful employment were
made by the United States Em ploym ent Service in 1942. This was
more than a third larger than the num ber placed in the previous year.
In 1942 about 68 percent of the placements were in nonagricnltural
pursuits, as against about 73 percent in 1941.
• } V]lr u tlie excePtion °f a slight recession in February, the num ber of
jobs filled rose continuously during the first 7 m onths of the year
decreased slightly m August, and then rose steeply in September and
October. I he 1% million placements made in October were the
highest for any m onth since 1933. Both agricultural and non
agricultural placements increased, the latter attaining the highest
num ber of any m onth since 1935. Seasonal declines in demand for
workers resulted in considerably smaller numbers of placements in
November and December. Nevertheless total placements in De
cember were almost half again as large in December 1942 as in the
same month of the previous year.
Agiicultural and nonagricultural placements followed trends similar
to th a t of total placements, but the fluctuations were less pronounced
iii the case of nonagricultural workers than as regards farm workers.
V\ heieas the num ber of farm jobs filled in July was 10 times as great
as m January, nonagricultural placements in the same time had in
creased about 62 percent. However, nonagricultural placements,
which usually decline in July, in 1942 continued to increase in th at
m onth. Both types oi placements declined slightly more than 2
percent in August, after which agricultural placements rose sharply
m September and October, reaching a point 143 percent above the
July level. Nonagricultural jobs filled showed an increase of about
1.5 percent m September as compared with August, most of which
occurred in the m anufacturing industries; a further increase of 5.0
percent occurred between September and October. The nonagricultural placements made in September were 22 percent above the
num ber m the same m onth of 1941. The last 2 m onths of the year
showed the usual precipitate decline in farm jobs filled, the December
num ber being only about one-ninth of the num ber filled in October
(which was the peak m onth). Nonagricultural placements, on the
o Hi oi hand, though they fell slightly more than 10 percent from
October to November, rose contraseasonally by 1.4 percent in D e
cember.
Placements of women in the last quarter of 1942 were at a higher
rate than those of men. Whereas, during the 3-month period, total
„„ T r A U f - I f ^ ase<^ °Tr,l d ata supplied b y the B ureau of E m ploym ent Security, Social Security Board
a n d B ureau of Program Planning and Beview, W ar M anpow er Commission.

1118

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Federal Reserve Bank of St. Louis

J119

Placement

placements declined 1.5 percent, those of women showed an inciease
of 14.4 percent. Women accounted for almost a third of all place
ments in the quarter, for more than two-thirds of the clerical and sales
iobs filled, and for almost two-thirds of the service placements.
Beginning with July, applications for work, which had fluctuated,
during the period January-June, fell more or less steadily (with the
exception of a slight rise in October) through November. -lob appli
cations usually fall from August to September, but in 1942 the drop
during this period was unusually sharp. A slight seasonal u pturn
was noted in December.
.
Even as early as June, labor turn-over had become a m ajor prob
lem ” of the nonagricultural labor m arket, being accentuated by “shop
ping” for jobs and pirating of workers. By the fall oi 1942 the
Federal Government had begun to take steps to check excessive tin nover, stabilize employment, and obtain the full utilization of existing
labor forces. The fact th a t growing labor stringencies and a high
rate of placements were reported m onth after m onth in war produc
tion areas at the same time th a t other, often adjacent, areas weie
reporting large reservoirs of unemployed, indicated the problem oi
m aldistribution of needed workers. In New York, for example, in
the single m onth of June, the gain (44,000) in the active file oi job
applicants was almost double the increase for the N ation as a whole.
The active file of applicants had fallen w ithout break during the
first 5 m onths of the year, rising somewhat in June. Thereafter a new
policy was adopted under which a registration for work is valid only
for 60 days. The mid-September figure of 2,400,417 was therefore
not strictly comparable with the figure of 3,254,/98 as of the end o
July About one-third of all the active registrations in September
were in the three States of Illinois, New York and Pennsylvania.
By mid-November the num ber in the active file had fallen to 1,895,371.
The accompanying table shows the m onthly trend in placements m
1941, as well as in applications for work and in the active file oi regis
trants.
Summary of Placement Activities, 1941 and 1942, by Months
Placem ents
Period
T otal

1941.
1942.
Ja n u a ry ------F e b ru a ry ___
M arch ______
A pril----------M a y ________
Ju n e ________
J u ly .----------A ugust--------Septem ber__
O ctober_____
N ovem ber—
D ecem ber___

7, 451,472
10, 251, 068
' 438, 604
426,881
511,001
606,281
783,910
924, 847
1, 005,882
981, 567
1,397,617
1, 530, 522
'931,445
712, 511

A gricultural
2, 024, 395
3,311,448
32, 040
23,164
35, 639
50, 787
182, 049
280,411
349,065
341,817
747,962
848, 593
323, 753
96,168

N onagri
cu ltu ral
5,427, 077
6, 939, 620
406, 564
403, 717
475, 362
555,494
601,861
644,436
656, 817
639, 750
649, 655
681, 929
607, 692
616, 343

new and
renewed

18, 640,168
17,867,908
1,956, 371
1, 531, 757
1, 567,194
1, 575, 685
1, 564, 988
1,840, 854
1, 655, 500
1,403,168
1,212,714
1, 266, 553
1,139, 224
1,153, 900

Active file,
end of
m onth 1

4, 412,628
4, 898, 675
4,888, 000
4, 559,135
4,397, 651
4,253, 573
4, 279,825
3, 254, 798
2 2,400,417
31,895,371

1 Beeinning September 1942, d ata represent persons who indicated availability tor w ork w ithm 60 d a y s
before date to which d ata relate. Through Ju ly 1942, clearance of inactive applications from file varied
am ong and w ith in States, and related to end of m onth.
2 As of Septem ber 12.
3 As of N ovem ber 14.


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Federal Reserve Bank of St. Louis

Women in Industry

STANDARDS FOR WOMEN’S EMPLOYMENT IN
WARTIME
ESSEN TIA L work standards for the protection of woman wage earners
are being alarmingly disregarded in some quarters, according to the
Chief of the U. S. \\ om en’s Bureau, and in others the overriding of
these necessary provisions is being advocated. A t a conference on
Em ployment of Women in W artime, called by the Secretary of Labor
and held in W ashington, M arch 11 and 12, 1943, these facts were
pointed out. This conference adopted two resolutions pointing out
the danger of the situation and emphasizing the standards th a t should
be observed. The first resolution dealt w ith women’s work under
wartime conditions, as follows:
W herea s m illions of w om en are being em ployed in in d u stry to d a y an d millions
m ore m u st be em ployed in th e com ing y ear if ad e q u a te m aterials to m e e t th e
needs of our arm ed forces are to be p roduced; an d
\ \ he rea s th e m axim um o u tp u t of w om en w orkers depends upon th e m a in te 
nance of th e ir efficiency a n d h e a lth ; an d
W h e rea s sta tistic s show t h a t sickness rate s are m u ch higher for women
w orkers th a n for m en ; a n d
W he rea s experience h as p roved th a t long hours an d unw holesom e w orking
conditions c o n stitu te th e m ain cause of sickness a n d absenteeism ; an d
W herea s th is conference of com m issioners a n d officials of S tate lab o r d e p a rt
m en ts an d the D istric t of C olum bia m eeting to g e th e r in W ashington for tw o
days, M arch 11 a n d 12, 1943, has considered m eans by w hich th e em ploym ent in
w ar an d civilian in d u stries m ay m ost effectively be u tilized; a n d
W he rea s rep resen tativ es of th e W ar a n d N a v y D e p a rtm e n ts a tte n d in g these
m eetings have testified to th e necessity of m ain tain in g reasonable h o u r sta n d a rd s
incorporated m existing S ta te legislation a n d have asked only th a t exceptions be
m ade m em ergencies created by th e urgency of th e w ar effort; T herefore be it
Resolved, T h a t th is conference go on record as continuing to endorse th e sta n d 
ards of hours of em ploym ent w hich have been consistently ad o p ted by conferences
during th e p a st year betw een S ta te lab o r com m issioners a n d rep resen tativ es of
th e U. S. D ep artm e n ts of L abor, W ar, N avy, a n d o th er F ed eral agencies, nam ely:
1 he S tate laws a n d regu latio n s em bracing th e following basic principles should
be preserved except w here m odification m ay be necessary du rin g th e w ar period
to insure m axim um p ro duction:
1. A m axim um 48-hour week.
2. An 8-hour day.
3. One day of re st in seven.
4. A dequate re st an d m eal periods.
5. A d ap tatio n of hours of work an d w orking conditions to th e age a n d sex
of th e w orker, except th a t th ere m u st be no relax atio n or m odification
of stan d a rd s governing th e em ploym ent of m inors u n d er 16.
6. P roper safeguards for h e a lth a n d safety.
7. T he sam e wage ra te s for w om en as for m en.

The second resolution related to civilian-goods industries only:
A herea s th e h e a lth a n d well-being of women em ployed in civilian in d u stries
is as essential to o u r N a tio n a l w artim e econom y as is th a t of w orkers engaged in
w ar industries; an d
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1121

W h e r e a s long hours a n d poor w orking conditions in civilian in d u stries lead to
sickness an d absenteeism : T herefore be it
Resolved, T h a t peacetim e sta n d a rd s of hours an d conditions of w ork be n o t
relaxed in these in d u stries in o rd er to p rovide conveniences^ goods, an d services
for w ar w orkers an d civilians w hich in peacetim e m ay be desirable b u t in tim e of
w ar are n o t tru ly necessary to our w ell-being; a n d be it
Resolved further, T h a t if! in order to provide for th e basic subsistence needs o i
w ar w orkers a n d civilians, a relaxation of S ta te lab o r law s m ay be necessary
such relaxation be g ran te d oidy in those areas in w hich critical lab o r sh o rtag es
exist; m oreover, be it
Resolved further, T h a t in such areas of extrem e lab o r shortages relax atio n s be
p e rm itte d only for th e pro d u ctio n of goods a n d services necessary to provide for
th e basic m inim um subsistence needs of w ar w orkers a n d th e civilian p o p u latio n ,
an d t h a t definite sta n d a rd s be established for determ in in g th e need for such
relaxation.
***###<

WOMEN’S WAGES IN LAUNDRIES IN NEW YORK
STATE, 1942 1
T H E average woman working in a laundry in New York State was
earning $3.56 more a week in 1942 than she did in 1937, before the
laundry minimum-wage order went into effect. In 1937, the median
wage for women and minors in laundries was $14.30; in 1942 the
median weekly wage was $17.86. Every year the wages have been
better, but the increase from 1941 to 1942 was greatest, when the
median wage rose 13.4 percent, or $2.11, per week. These figures
are revealed in the fifth annual analysis of sworn pay rolls in the
laundry industry made by the Division of Women in Industry and
M inim um Wage of the New York State Labor D epartm ent.
As in the four preceding analyses, the fifth report shows th a t wages,
both by the hour and by the week, have gone up for all types oi workers
and in all parts of the State. The num ber of women and minors
getting $20.00 or more a week was 2% times as great in 1942 as in
1941. " There was also an increase in the proportion earning between
$15.00 and $20.00 a week, while the num ber of workers receiving
between $12.00 and $15.00 weekly dropped from 26.7 percent in 1941
to 10.3 percent in 1942. Prior to the establishment of a minimum
wage, less than two-fifths of the women and minors in the laundry
industry in the State earned as much as $15.00 a week; in 1942 more
than four-fifths of them were receiving $15.00 or more.
The same upward movement was shown by hourly earnings.
Nearly four-fifths of the women and minors were receiving 40 cents or
more an hour in 1942, whereas a year before only one-third and in 1937
less than one-fifth of the workers were in th at category.
The average num ber of hours worked per week increased a little in
1942, the average workweek being 42.4 hours as against 41.7 in the
previous year. The proportion of employees working 45 hours or
more rose considerably, more than one-fourth working these hours
in 1942 as compared with less than 16 percent a year before.
Two percent of the laundries paid less than the minimum rates to
one or more of their women and to male minor employees. In laun
dries where the guaranteed weekly wage of $14.00 lor 40 hours or less is
not required, and where the minimum hourly rate is only 30 cents, there
were 423 women and minors earning less than 35 cents an hour. In
the State as a whole, 91 percent were paid above the minimum rates in
1942, whereas in 1941 only 77 percent were in th at class.
1 D a ta are from New Y ork, State D ep artm en t of Labor, press release, M ay 11,1943.


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Youth in industry

CONCLUSIONS BASED ON 5,000 JOB PLACEMENTS OF
MAINE YOUTH
T H E following conclusions were reached after a study of 5,000 job
placements of M aine boys and girls in 1940 and 1941.1
1. Opportunities for education and the selective process accompany
ing additional education often determine the occupation a young person
will enter. This fact is in line with the finding of the American Youth
Commission th a t additional education too frequently depends on fam 
ily income and not on the intelligence or ambition of the individual
young person concerned.
2. Work experience is imperative in the education of boys and girls
and in their adjustm ent to life. School classes, particularly in which
articles are produced for actual use, give highly im portant work ex
perience, as do also N Y A projects or resident centers, part-tim e em
ployment or summer jobs, and work about the family shop, store, or
farm. Such experience helps youth to explore different kinds of work,
to develop constructive and cooperative habits, and to earn money
for possible additional training.
3. The statistics on domestic employment seem to contradict the
reiterated statem ent th a t young persons are not willing to enter such
service. Only 5 out of the 13 employment offices reported on such
placements, bu t the study shows th a t 662 youth, among them a few
young men, went into some kind of domestic work. Among liighschool graduates, 45 girls entered this reportedly unpopular employ
m ent, a t a period when commercial and factory jobs were increasing.
4. A t the time the study was made, the tourist business seemed to
be well worth considering from the viewpoint of vocational guidance.
Work which normally brings into M aine $100,000,000 undoubtedly
demands attention. In 1940, personal service ranked first in the
5,242 employment opportunities for young persons in the State. N ot
all of these jobs stemmed from recreation- and vacation-business activ
ities. However, the NYA for several years thought it useful to carry
on waitress-training classes in cooperation w ith the M aine Hotel Asso
ciation. Among the jobs in which placements were made were those
in hotels and cafes, a t lake and shore resorts, a t lobster pounds, and
at summer camps, in repairing summer homes and hotels, in gardening,
food raising, transportation, beauty shops, dentists’ offices, overnight
camps, and roadside stands.
5. A study of the kind here reviewed gives emphasis to the impor
tance of accurate data concerning occupations in general and job pros
pects in particular. Such information is of great value to all agencies
i W here 5,030 M aine Bays a n i Girls Fou n d Jobs, by Clarence. C. Robinson. Q uoddy Village, Maine»
State D e p artm en t of Education, V ocational division, and N ational Y outh A dm inistration of M aine, 1942

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interested in tlie placement of boys and girls, b u t also should be made
available to the young people themselves through parent-teacher
associations and career conferences.
,,
6. The boys and the girls and also their grown-up counselors should
be well informed regarding the trends in occupations in M aine and m
New England. For example, trends of a seasonal character like those
in pulp peeling and lum ber work; geographical trends like those m the
summ er-vacation business, influencing Portland in one way and Bar
H arbor in another. In Aroostook the demand for labor m ay bo heavy
in M ay and September, bu t young people m ight find it difficult to
find iobs there from November to April. Strictly industrial trends
also show great variations—textile mills a t one time m ay be running
2 or 3 shifts when inventories are low but later may be shut down
when the m arkets are glutted with their products. As an illustration
of climatic trends, road building in M aine is cited as a 6-month activity.
7. Studies of the type under review should be made constantly m
order th a t the vocational guidance of youth m ay be efficient both in
and out of the schools. These investigations, if they are properly
conducted, will disclose w hat industrial-arts courses and w hat specific
vocational courses should be given.
Careful study should determine the kinds of cooperation requisite
between Federal and State agencies, and also the p a rt the local com
m unities should play to insure the advantageous utilization of young
workers.

5 2 9 0 8 5 -4 3 -

-6


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Federal Reserve Bank of St. Louis

Labor Laws and Court Decisions

RECENT DECISIONS OF INTEREST TO LABOR 1
Applicability of Fair Labor Standards Act
D E D U C TIO N S from wages under the Fair Labor Standards A d .— An
opinion of considerable interest was handed down by the United
States District ( ourt of the W estern D istrict of Louisiana in Wallinq
v. I eavy-\\ ilson Lumber Co., Inc., on April 13, 1943.2 The Adminis
tra to r of the Wage and H our Division sought to enjoin a lumber m an
ufacturer from further violations of the Fair Labor Standards Act.
M ost of the employees lived in company-owned tenant houses
traded a t a large company-owned store, subscribed to medical services
mrmsh.ed by the company, etc. The company made numerous
deductions from the wages of employees including deductions for
si np oi coupons, store purchases, rents, medical attention, tools,
oaiis, milk and ice, and w ater coolers, The injunction suit concerned
the validity of all of these deductions, as well as the question whether
the time spent by the wood employees in traveling on a company train
irom the village to the woods at the place of work constituted “hours
worked” for which compensation was due under the act. The com
pany questioned the validity and constitutionality of the Adm inistra
to r’s interpretation in Part 531 of his regulations relating to section
3 (m) of the act.3
In a lengthy opinion, the C ourt sustained the validity of the Adminis
trator s regulations and ruled in the Adm inistrator’s ‘f avor on most of
t he factual issues. The Court, among other things, ruled as follows:
1.
Deductions from the wages prescribed by sections 6 and 7 of the
act are permissible only upon the conditions imposed by section 3 (m)
of the act.
J
v ’
-b llie actual cost’ test prescribed by the A dm inistrator’s
regulations is valid, as against the company’s contention th a t it is
entitled to fix prices based upon “fair value.”
. 3- The restrictions of section 3 (m) of the A dm inistrator’s regula
tions are applicable irrespective of whether the deductions from wages
<u (' voluntary on the p art ol tho^employec. A voluntary agreement
to perm it excessive deductions is no more valid than a direct agreement
by the employee to accept less than the wages required to be paid
by statute.
,
-n A e
°i t le Solicitor, D epartm ent of Labor. The cases covered in this article represent a
selection of significant decisions believed to be of especial interest. N o a tte m p t has been m ade to reflect
all p c e n t judicial developm ents in the field of labor.law nor to indicate the effect of particular decisions in
1unsd ictw n s m w hich contrary results m ay be reached based upon local statu to ry provisions the existence of
local precedents, or a different approach b y the courts to the issue presented
’
exlstence of
™LS(W ° ni ( ^ p r o v i d e s as follows: “ ‘W age’ paid to any employee includes the reasonable cost as d e te r
m m ed b y the A dm inistrator, to the employer of furnishing such employee w ith board lodging’ or other
employees! ’ SUC^ board’ lodgmg’ or other C i t i e s are custom arily furnished b y such S f f i t o h i s

1124

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1125

4. The company violated the minimum-wage provisions of the act
by discounting at less than face value coupons issued in lieu of wages,
and by discounting such coupons through a third party under an
arrangem ent whereby the company shared the profits and benefits.
5. Previous to the discontinuance of the issuance of scrip, the
company violated the act by making deductions from employees
wages for merchandise, groceries, and|other goods sold to the employ
ees by the company store in return for scrip, which “articles were not
furnished at the actual cost to the defendant within the meaning of
section 3 (m) of the act and the A dm inistrator’s Regulations, Part 531. ’
6. The company violated the act by requiring employees to furnish
and pay for their own tools. The fact th a t it was a custom of the
trade for log cutters to furnish their tools “m ay not prevail against nor
supersede the requirem ents of regulatory law .” The regulation of
the A dm inistrator stating th a t the cost of furnishing tools of trade and
other m aterials and services [required of the employee] incidental to
carrying on the employer’s business will not be recognized as reason
able, is a valid regulation.
t
.
7. The company violated the act by making deductions for the
paym ent of loans made to employees by an association of persons
affiliated with it, by making deductions for milk and ice purchased by
employees from third parties through transactions from which the
company secured profits and benefits, and by making charges and
deductions from wages for ice and mechanical water coolers used by
employees while a t work.
The Court held against the Adm inistrator on the issue of deductions
for rent and medical services, holding th a t the evidence w as not
sufficient to prove th a t the company made a profit on the rental of
houses to its employees nor the furnishing of medical services to them.
The C ourt also held th a t the tim e spent in traveling on the companyowned train from the village into the woods was not working time
for which compensation was due under the Pair Labor Standards
Act. The statem ent on this issue is of particular interest in view of
the contrary holding of the Fifth Circuit Court of Appeals in Tennessee
Coal, Iron & R. R. Co. v. Muscoda Local 123,4 based upon facts
which the D istrict Judge believed distinguishable. The C ourt in
the present case stated th a t the lumber employees “had a definite
work place, well known to all of them , situated at or near the point
where tim ber was being felled.’
* * * T hey w ere and are req u ired to rep o rt for w ork a t th a t place, a n d a t
no o th er. ^ ^ * T h e m eans of tra v e l to a n d from th e tim b erlan d s are
en tirely op tio n al w ith th e em ployees. T hey m ay use such m eans of conveyance
th e y elect. A t tim es some of th e m h av e tra v e le d to an d from w ork b y m eans of
th e ir autom obiles. * * * T he tra in is o p erated by th e d efen d an t as an
accom m odation a n d convenience to th e em ployees. * * * l ^ie d efen d an t
did n o t an d does n o t require an y em ployee to use th e conveyance; th e y m ay use
anv o th er conveyance or m eans of tra v e l th e y choose. * * * N o supervision
w h atev er is exercised over th em , n o r do th e em ployees of th e com pany do an y
w ork before reaching th e place of ta k in g up th e ir a c tu a l lab o r or a fte r th e cessation
of w ork a t th e p o in t of a c tu a l labor.

The D istrict Court also held th a t an injunction should be issued,
notw ithstanding the discontinuance by the company of some of the
violations prior to suit and of others prior to trial.5
4 Discussed in M o n th ly L abor Review, M ay 1943 (p. 944).
,
„
rn
5 Compare Willing v. Shenandoah-Dives Mining Co., 134 Fed. (2d) 395 (C. C. A . 10), and Walling v . T.
Buettner & Co., 133 Fed. (2d) 306 (C. C. A. 7), discussed m M o n th ly L abor Review A pril 1943 (p. 727).
C ertiorari has since been granted b y th e Supreme C ourt in th e B u ettn er case.


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1126

Monthly Labor Review— June 1943

Employees entitled to'benefits of both'Federal 8-hour 'law and Fair
Labor Standards Act.—The Adm inistrator of the Wage and Hour
Division sought an injunction restraining further violations of the
F air Labor Standards Act by an employer in respect of its employees
who were constructing and repairing dikes and revetm ents in the
Mississippi and Missouri Livers. The company pointed out th at it
was subject to the 8-hour law amendm ent of 1940 6 and was obliged
to pay the employees time and a half for work performed in excess of
8 hours in a day. I t was urged th a t Congress never intended subj ecting
a Government contractor to’,t he necessity of paying daily and hourly
overtime and th a t it was subject only to the daily overtime called
for by the later law.
T h e C irc u it C o u rt of A p p eals for th e S ix th ' C irc u it in Walling v.
Patton Fully Transp. Cor fo u n d no d ifficu lty in reconciling th e tw o
s ta tu te s n o r in re q u irin g co m p lian ce w ith b o th . R ep eals b y im p lica
tio n a re n o t fa v o re d b y th e law , it w as o b serv ed , u nless th e tw o law s
are p la in ly re p u g n a n t to each o th e r, w h ich w as n o t tru e in th e case
before it.
I t w as also h eld , on th e b asis of p re v io u s cases 8 t h a t th e w ork
of th e em p lo y ees a b o v e d escrib ed w as w ith in th e scope a n d coverage
of th e F a ir L a b o r S ta n d a rd s A ct.

Employer may not compel arbitration of controversy involving over
time compensation.—A coal company, sued by its employees under
section 16 (b) of the F air Labor Standards Act, sought an order of the
United States D istrict C ourt for the M iddle District of Pennsylvania
staying the action and compelling arbitration of the controversy
involving overtime compensation (In re Susquehanna Collieries Cod).
The court noted that the collective contract provided for arbitration
of disputes, b u t held th at, inasmuch as the contract did not evidence
“a transaction involving commerce” within the meaning of section 2
of the United States A rbitration Act, the employer was not entitled
to an order compelling arbitration.

Ma ritime Employment
I n Pedro Aguilar v. Standard Oil Co. of New Jersey a n d Waterman
Steamship Corporation v. Jones 10 th e S u p rem e C o u rt for th e first
tim e reco g n ized th e lia b ility of a sh ip o w n er fo r w ages, m a in te n a n c e ,
an d cu re to a se a m a n in ju re d d u rin g a u th o riz e d shore leave. I n
each case th e se a m a n w as tra v e rs in g th e o n ly a v a ila b le ro u te b etw e en
th e m o o red sh ip a n d a p u b lic s tre e t.
T h e C o u r t p o in te d o u t t h a t th e o b lig a tio n of m a in te n a n c e a n d cure
of sea m e n w ho b ec am e ill o r w ere in ju re d d u rin g th e p e rio d of th e ir
serv ice lias long b een reco g n ized as a n im p lied p ro v isio n in c o n tra c ts
of m a ritim e em p lo y m e n t. T h is lia b ility w as b ased u p o n th e fa c t
th a t u n iq u e o c c u p a tio n a l h a z a rd s a tte n d m a ritim e em p lo y m en t, t h a t
su ch em p lo y m e n t in v o lv es u n u s u a l re stric tio n s an d lim ita tio n s w hich
re q u ire sp ecial co m p e n sa tio n a n d tr e a tm e n t, a n d t h a t th e p u b lic
6 Section 303 of the Second Defense A ppropriation Act of 1941, enacted Septem ber 9, 1940.
7 — Fed. (2d) — (Apr. 8, 1943). C itation no t available as this issue w ent to press.
8 Overstreet v. North Shore Corp., 63 Sup. C t. 494, and Pederson v. J. F. Fitzgerald Const. Co., 63 Sup.
C t. 658.
9 — Fed. Supp. — (Apr. 13, 1943). C itation no t available as this issue w ent to press.
63 Sup. C t. 930 (Apr. 19, 1943).


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Labor Laws and Court Decisions

1127

policy of encouraging m aritim e commerce justifies special considera
tion of the health and well-being of seamen. I t was observed th a t the
liability for m aintenance and cure, unlike th a t for indem nity or th a t
created by the Jones Act, is not predicated upon the fault or negligence
of the shipowner, but it is a normal incident of the marine employeremployee relationship. Conceptions of contributory negligence, the
fellow-servant doctrine, and assumption of risk are not defenses to an
action to enforce the liability ; the only defenses are willful misconduct
by a seaman or the commission of a deliberate act of indiscretion.
The Court stated th a t the employer’s responsibility is broader than
th a t under modern workmen’s compensation acts, as it extends
beyond injuries sustained because of, or while engaged in, activities
required by the employment. In view of the necessity of affording
seamen relaxation from the unusually confining nature of their em
ployment,' the court denied th a t shore leave is “exclusively personal”
to the seaman and has no relation to the vessel’s business. “No
m aster would take a crew to sea if he could not grant shore leave, and
no crew would be taken if it could never obtain it.” By separating
the seaman from normal life and “his usual places of association” the
shipowner, in the C ourt’s opinion, assumes the obligation of m ainte
nance and cure when injuries are suffered by a seaman, regardless of
fault, in the course of shore leave, which is so essential to the smooth
and efficient operation of the ship.

Antitrust Laws
In United States v. Bay Area Painters & Decorators Joint Committee11
it was charged th a t representatives of various painters’ unions and
contractors’ associations had agreed to restrict the use of painting
by spray equipment, and th a t the agreement and the activities of the
parties were intended to and had the effect of substantially affecting,
restraining and diminishing interstate commerce in spray equipment,
paints and painting m aterials in violation of the Sherman Act. How
ever, in its decision, the United States D istrict C ourt for the N orthern
D istrict of California sustained demurrers to the indictm ent and
dismissed it as to all defendants.
The C ourt pointed out th a t the restriction agreed to by the parties
related to the use of equipment and paints by themselves, and th at
although this would reduce the sales of such equipm ent and reduce
the am ount shipped into the State, the effect upon commerce was
indirect and remote, and therefore, not unlawful unless it was the
clear intent and purpose of the agreement to bring about such a
result. The C ourt found th a t there were two “ legitim ate purposes”
underlying the action of the unions, namely, the effort to eliminate
the hazard to health involved in the use of spray equipm ent and the
unemployment resulting from its use. Two previous cases 12 were
referred to by the C ourt as perm itting combinations of laborers to
seek and obtain more employment through demands against the use
of labor-saving devices where the restraint of trade or commerce
resulting from their action is only indirect and incidental.
11 — Fed. Supp. — (Apr. 19, 1943): C itation n o t available as this issue w en t to press.,
12 United States v. American Federation of Musicians 48 Fed. Supp. 304 (affirmed by the Suprem e C ourt
w ithout opinion, Feb. 15, 1943) , and United States v. Carrozzo, 37 Fed. Supp. 191, 196 (affirmed, United
States v. International Hod Carriers, etc,, 313 IT. S. 539).


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1128

Monthly Labor Review—June 1943

The C ourt refused to accept the Governm ent’s theory th a t the
conspiracy was within the prohibition of the an titru st laws because
participated in by both labor and nonlabor groups, taking the position
th a t if the demands of the labor groups, separately considered, were
lawful and their acts not within the ban of the statute, an acceptance
thereof by the employers and their embodiment in an agreement should
not change their status.

Applicability of National Labor Relations Act
National Labor Relations Act applicable to retail department stores.—
The N ational Labor Relations Act was held by the Sixth Circuit
C ourt of Appeals m\Na,tional Labor Relations Board v. J . L. Hudson 13
to apply to a large?departm entfstore selling,lfgoods a t retail. I t
appeared th a t the com pany|w as'r a*'Michigan,fcorporation, with its
store in D etroit, and was not licensed to do business elsewhere.
Over 80 percent of the merchandise it purchased was shipped to the
store from points outside the State, b u t only 1.6 percent of its total
sales were to customers in other States.
The C ourt held th a t the status of the company as a retailer does
not establish its exemption from the scope of the National Labor
Relations Act, as strife w ith its employees, causing cessation or curtail
m ent of its operations, could burden or obstruct interstate commerce
as clearly as could industrial strife in enterprises repeatedly held
subject to the N ational Labor Relations Act.
Employees not affected by delay in filing pay complaint where charges
were filed promptly.—-The Seventh Circuit C ourt of Appeals in a case
in which it upheld, as supported by substantial evidence, findings by
the National Relations Board th a t the employer was guilty of unfair
labor practices, refused to accept the employer’s argum ent th a t the
B oard’s back-pay order should be effective from the time the complaint
was filed, and not from the time the charges wore filed.
The C ourt pointed out in National Labor Relations Board v. Williams
Davies Co., Lnc.u th a t the employer did not complain th a t the em
ployees or the union had failed to file the charges prom ptly. The
delay in filing the complaint, if any, was th at of the Board, and it was
held th a t the employees should not be penalized therefor.15

State Maximum-Hour Law
Act No. 49 of Puerto Rico, approved August 7, 1935, provides in
section 1, th a t “ no person shall be employed or shall be perm itted to
work in industrial or other establishments more than 8 hours in a day
except in cases of emergency declared by the Governor of Puerto
Rico on recommendation of the Commissioner of Labor,” provided th at
the 8-hour lim it “ m ay be extended to a period th a t shall not exceed
nine (9) hours during any natural day, on condition th a t every person
so employed for wages, by the day, or otherwise, for more than eight
(8) hours during any natural day, shall be paid for the work th a t he
does during such extra time a t a rate double th a t of the wages being
paid him by the hour for the preceding w ork.” Section 8 of the act
13 — Fed. (2d) —■(Apr. 15, 1943). C itation no t available as this issue w ent to press.
14 — Fed. (2d) — (Apr. 21, 1943). C itation n o t available as this issue w ent to press.
15 Compare National Labor Relations Board v. Electric Cleaner Co., 315 U. S. 685, 698; National Labor
Relations Board v. Mall Tool Co., 119 Fed. (2d) 700.


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L a b o r L a w s ^ a n d C o u rt D e c is io n s

1129

provides th a t employers violating its provisions shall he deemed
guilty of a misdemeanor and punished by fine, imprisonment, or both.
The plaintiff in Domenechy. Pan American Standard Brands, Inc.,™
alleged th a t he worked in excess of 8 hours per day during various
periods from November 7, 1935, to September 30, 1942, and sued to
recover overtime compensation therefor a t the rate of double time
under Act No. 49.
The D istrict C ourt Judge held for the defendant, sustaining its
dem urrer which alleged th a t the complaint did not state a cause of
action. In his opinion he took the position th a t Act No. 49 is a regu
lation of hours and not of overtime wages, the provision for doubletime paym ents for the ninth hour worked in a day being “merely a
means of enforcing the hour lim itation” ; th a t the act is a police m easure intended to benefit the public through a “flat prohibition” of work
beyond the ninth hour, and th a t the double-time provision is an
“ appropriate means of discouraging work of more than 8 hours in any
one day.” 17 The D istrict Court Judge further held, quoting from the
M artinez case, th a t the statute could not have been violated w ithout
the employee’s cooperation and to perm it him to recover under such
circumstances would allow him “to take advantage of her [his] own
wrong in encouraging a crime which tended to thw art a benevolent
legislative design.”
I t w as also d ecid ed t h a t a c o n tra c t to p a y for th e e x tra h o u rs ov er
8 in a d a y a t a specified r a te w ould be void an d u n en fo rceab le as
a g a in st p u b lic policy, a n d t h a t th e law of th e T e r rito ry does n o t
p e rm it re c o v e ry for services on a n im p lie d -c o n tra c t or q u a n tu m
m e ru it b asis as a t th e com m on law .

Applicability of Social Security Act
The owner of a dance hall in the State of California paid, under
protest, the taxes levied by section 901 of the Social Security Act, and
sued for their recovery. The taxes paid were based on wages paid
to so-called “ taxi-dancers” in his establishment. The D istrict Court
held for the Collector of Internal Revenue, and the Circuit Court of
Appeals affirmed th at decision in Matcovich v. Anglim, as Collector,
etc.18
T h e d an ce h a ll w as o p e ra te d u n d e r p e rm it o r license re q u ire d b y
c ity o rd in an c e. All fem ale d an c ers wrere re q u ire d to h a v e th e a p 
p ro v a l of th e c ity police. T h e d an c e-h a ll o p e ra to r an d th e d an cers
su b scrib e d to a fo rm c o n tra c t w h ich p ro v id e d t h a t th e d an c ers w ere
“ licen sees,” t h a t th e y sh o u ld n o t becom e em ployees of th e o p e ra to r
n o r s u b je c t to h is co n tro l, a n d t h a t th e licensees ag reed to a b id e b y all
re g u la tio n s esta b lish e d b y th e o p e ra to r. D a n c e rs w ere co m p en sa ted
b y p a y m e n t of a specified a m o u n t p e r d an ce, u p on su rre n d e rin g tic k 
e ts co llected fro m m ale p a tro n s of th e e sta b lish m e n t, a n d w ere also
p a id com m issions o n re fre sh m e n ts p u rc h a se d b y su ch p a tro n s. T h ere
w as te s tim o n y t h a t som e d an c ers w ere re g u la te d as to th e k in d of
clo th es th e y m ig h t w ear. T h e h o u rs of w o rk were co n tro lled b y
police re g u la tio n . T h e o p e ra to r clea rly h a d th e pow er to h ire d an cers
(su b je c t to police a p p ro v a l) and to te rm in a te th e re la tio n sh ip a t will.
16_ Fed. Supp. — (D istrict C ourt of the U nited States for the D istrict of Puerto Rico, M ar. 22,1943).
C itation no t available as this issue w ent to press.
.
17 Compare, Martinez v. Johnson, 119 Pac. (2d) 880 (Nev. Sup. C t., 1941); Lewis v. Ferrari, 34 Calif. App.
(2d) 767, 90 Pac. (2d) 384; Short v. Bullion-Beck Co., 20 U tah 20, 67 Pac. 720.
is _ Fed. (2d) — (M ar. 30, 1943). C itation no t available as this issue w ent to press.


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M o n t h ly L a b o r R e v ie w — J u n e 1 9 4 3

T h e o p e ra to r c o n te n d e d t h a t th e d a n c e rs w ere licensees a n d n o t
em p lo y ee s.19

The C ourt of Appeals held th a t the question as to whether an
individual is an employee is to be determined by “ the familiar princi
ples of the common law .” N otw ithstanding th a t a State court had
held th a t the operator was not an employer within the meaning of the
California Unem ploym ent Reserves Act, the C ourt held th a t the facts
above set forth contained sufficient elements of the employer-employee
relation to w arrant the conclusion th a t the dancers were in “ employ
m ent.” I t observed th a t all of the usual controls of th at relationship
could be exercised through the licensing arrangem ent. I t refused to
consider the characterization of the relationship in the contract as
conclusive, and quoted the following pertinent passage from Griffiths
v. Commissioner, 308 U. S. 355, 358, on the meaning of such legislative
words as “employment” :
* * * L egislative w ords are n o t in e rt a n d derive v ita lity from th e obvious
purposes a t w hich th e y are aim ed. * * * T axes c an n o t be escaped “ by
an tic ip a to ry arran g em en ts a n d c o n tracts, how ever skillfully devised * * *
by w hich fru its are a ttrib u te d to a different tre e from t h a t on w hich th e y grew!
Lucas v. Earl, 281 U. S. I l l , 115.
19 “ E m ploym ent is defined in section 907 of the Social Security Act, as amended, as “ any service of w hat
ever nature, performed w ithin the U nited States by an employee for his em ployer.”


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Cooperation

COOPERATIVE MOVEMENT IN G ER M A N Y 1
T H E consumers’ cooperative movement in Germany had become
such an integral p art of the lives of the workers th at, in spite of Nazi
antagonism, it was not until 1942—about 9 years after the advent of
the H itler régime—th a t the latter was able entirely to destroy it.
The cooperative movement in Germany started in 1849, when
H erm ann Schulze, a local judge in the town of Delitzsch, started an
association to purchase raw m aterials for a group of joiners. It was
not until 1867, however, th a t legal status was achieved by the co
operatives in Prussia, w ith the passage of a cooperative law for th at
State. In the succeeding years similar laws were passed in other parts
of Germany, and finally, in 1873, a national statu te was enacted.
W ith th a t encouragement all forms of cooperative associations
developed, until by the time of the first World W ar the German co
operative movement was one of the most successful in Europe.
Although a working-class movement whose members had little
m argin of economic safety, its inherent soundness enabled it to w ith
stand not only the hardships of World W ar 1 b u t also the series of
crises th a t occurred in the next 15 years—depression, inflation,
deflation, and then partial recovery toward the end of the twenties.
The great depression beginning in 1929, the bank shut-down, and
the prevailing unemployment (with drastically decreased purchasing
power of its members) presented almost insuperable difficulties.
Nevertheless, the movement had not only survived bu t was showing
unm istakable signs of recovery when the Nazis came to power.
The consumers’ cooperatives immediately felt the weight of the
oppressor. As champions of the small private retailers, the Nazis
quickly took steps for the control and eventually the extinction of the
cooperative distributive movement. However, its very great hold
upon the masses of the people who looked upon it not only as a source
of supply b u t as a creation of their own, built upon their hard-won
savings, forced the N ational Socialists to slow their rate of advance
upon it. Therefore, over 8 years went by before they were able to
achieve their goal of final suppression, under the decree of February
28, 1941. Even then more th an a year was required before the
m ovement was finally absorbed into the Labor I ro n t.
T h e G e rm a n c o o p e ra tiv e m o v e m e n t a p p e a rs to h a v e ap p ealed
p a rtic u la rly to th re e sectio n s of th e p o p u la tio n : (1) T h e fa rm ers,
w ho o rg a n iz ed c re d it asso c ia tio n s as well as m a rk e tin g a n d processing
asso c ia tio n s; (2) w o rk m e n , w ho s ta r te d n o t o n ly sto re asso ciatio n s
to su p p ly th e ir h o u seh o ld n eed s b u t v a rio u s k in d s oi p ro d u c tiv e
a sso c ia tio n s; a n d (3) b u sin essm en , w ho saw in jo in t u n d e rta k in g s
of a co o p e ra tiv e c h a ra c te r a n o p p o rtu n ity to pool th e ir b u y in g po w er
i P rep ared in th e B u reau ’s E d ito rial and R esearch Division by Florence E . P arker.


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1131

1132

M o n th ly L a b o r R e v ie w — J u n e 1943

and therefore organized associations for the purchase of their stock
in trade as well as those to m anufacture articles needed in their
business. Enterprises of private business are not usually regarded
as p a rt of the cooperative movement of a country, but in Germany the
official statistics have always included them. These numbered
about 1,300.
Among the genuinely cooperative types were some 20,000 savings
and loan associations (table 1), m any of which carried on purchasing
of supplies for members, between 3,500 and 4,000 cooperative building
associations, about 1,600 retail store associations, less than 200
workers’ productive and labor associations and about 1,600 supply
associations buying raw m aterials and doing warehousing and m arket
ing for associations of workers (journeymen). Among the crafts in
which such cooperatives existed at the beginning of 1932 were bakers,
confectioners, millers, tailors, weavers, furriers, locksmiths, plumbers’
pipefitters, gunsmiths, ropemakers, saddlers, shoemakers, upholsterers’
bookbinders, butchers, workers in hides and skins, painters, cabinet
makers, wood turners and other woodworkers, building-trades workers,
hairdressers, basketmakers, potters, glaziers, stove fitters, roof tilers,
and gardeners.
T h e “ m isc e lla n e o u s” g ro u p of asso c ia tio n s c o n ta in e d p ro b a b ly as
v a rie d a lo t of asso c ia tio n s as could be fo u n d in th e co o p erativ e
m o v e m e n t of a n y c o u n try . I n one y e a r alo n e new societies w ere
fo rm e d to c a rry on th e follow ing fu n c tio n s: W a te r su p p ly , b reed in g
of fu r-b e a rin g an im als, ra d io su p p ly a n d o p eratio n , assistan ce to th e
b lin d , c u ltiv a tio n of m ed icin al h erb s, b o u se re p a ir, ro a d co n stru c tio n ,
sale of G e rm a n books a n d w ritin g s, g iv in g of a p p re n tic e tra in in g for
th e m e ta l in d u s try , o p e ra tio n of s a n a to riu m s, co n v a le scen t hom es,
a n d old p e o p le ’s hom es, m o to r tr a n s p o r ta tio n of goods, p u b lish in g ’
silk w o rm c u ltu re , h irin g o u t of b e a c h ch a irs, th e a tric a l p ro d u c tio n ’
a n d p ro v isio n of in fo rm a tio n on m a tte r s re la te d to “ tra n s p o rta tio n ,
a m u se m e n t, a n d in te lle c tu a l life.”
I h e n u m b e r of a sso c ia tio n s of each ty p e , as show n b y official
s ta tis tic s , fo r specified y e a rs p rio r to th e N a tio n a l-S o c ia list régim e,
is g iv en in ta b le 1.
I able

1.— Number of Cooperatives 1 in Germany in Specified Years, by Type
N u m ber of associations, Jan u ary 1—
T ype of association
1922

1923

1932

1933

Alltypes___ _ ___ ___

46, 615

49, 052

52, 328

51, 795

C redit (savings and loan), u rb an and rural--.Consum ers’ retail associations _
H ousing (building) associations. __ _
Supply, etc., cooperatives of craft groups
Labor cooperatives ______
Farm ers’ m arketing, processing, etc., associations___
Private dealers’ purchasing associations2
Joint productive enterprises of private business2
M iscellan eo u s_______

20, 566
2,411
3, 064
3,503
317
14, 818
1,333
603
(3)

20, 931
2,475
3, 265
3,493
296
16, 580
1,424
588
(3)

21,880
1,695
3, 939
1,726
164
18, 800
1, 296
558
2, 270

21, 607
1,674
3,813
1,670
158
18,821
1,295
559
2,198

1Includes ty p es no t usually regarded as cooperative.
2N ot usually regarded as p a rt of the cooperative movement,
3No data,


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1133

C o o p e ra tio n

Cooperative Housing (Building ) Associations
There appear to be very little data regarding the housing associa
tions. In 1914 these associations had a combined membership of
292,389. By 1928, the 2,706 associations affiliated to the Union of
Housing Federations had 633,629 members. E ight years later 3,490
associations were members of the Union and had 673,285 members.
T h at these associations formed an im portant source of housing in
Germany is indicated by the fact th a t in 1927, of 281,090 dwellings
constructed, 78,426 (27.9 percent) were erected by the cooperatives,
60.3 percent by private builders, and 11.8 percent by the public
authorities. Tabulation of the proportions built by cooperatives in
th a t year, by size of community, indicated th a t these organizations
were relatively most im portant in the cities, having built over half of
the total housing in large cities. In Berlin, 68.3 percent of the dwell
ings erected in 1927 were built by cooperatives.
Cooperative construction
as percent of total
dwellings

P op u latio n of—
Less th a n 2,000
: ___ __________________________
2.000 an d u n d er 5,000____________________________
5.000 an d u n d er 10,000___________________________
10.000 an d u n d er 20,000__________________________
20.000 a n d u n d e r 50,000__________________________
50.000 a n d u n d e r 100,000________________________
100.000 an d o v e r________ ________________________
All g ro u p s_____________________________________

5.
12.
18.
26.
33.
34.
51.

1
7
0
4
8
4
1

27. 9

In 1929 cooperative housing associations constructed 109,121
dwellings-. 18,300 more than in 1928. No later data on this point
are available.

Credit a n d Agricultural Associations
Germany lias the distinction of being the initiator of cooperative
credit. H erm ann Schulze, who had been the first person to organize
a purchasing association, was also the first to sta rt a credit coopera
tive in 1853. The subsequent spread of this type of association in
Germany was largely the result of his unrem itting advocacy through
brochures, speeches, and organizing ability.
The Schulze-Delitzsch credit cooperatives were intended mainly for
artisans and small tradesm en in the urban districts, but larger busi
nesses also found them useful. An adaptation of the Schulze-Delitzsch
idea was worked out a few years later for the benefit of rural and farm
classes of the population, by Friederich Wilhelm Raiffeisen, burgo
m aster of a small town in a poor farming region. The associations
promoted by Raiffeisen were combinations of lending of money and
purchasing of farm supplies. The Raiffeisen associations spread
much more quickly than the Schulze associations and by the end of the
century outnum bered the latter by 3 or 4 to 1. By 1932, of 21,880
credit cooperatives, 19,910 (about 91 percent) were farm ers’ organiza
tions of the Raiffeisen type.
M ost of the urban credit associations are members of the German
Cooperative Union (Deutscher Genossenschaftsverband). The Raiffei
sen associations were, until 1930, affiliated to the General Raiffeisen
Union. In th a t year, however, this organization merged w ith the

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Federal Reserve Bank of St. Louis

1134

M o n th ly L a b o r R e v ie w — J u n e 1 9 4 3

u n io n of a g ric u ltu ra l co o p e rativ es to fo rm th e N a tio n a l U n io n of
A g ric u ltu ra l-R a iffe ise n C o o p era tiv e s.

Agricultural producing, processing, and m arketing associations have
always formed one of the largest groups of cooperatives in Germany.
The credit associations have long led in numbers but, as noted, m ost
of these were farm ers’ organizations. In 1932, counting the rural
credit associations, the agricultural cooperatives formed about 75
percent of all the cooperative associations in Germany.
T h e fa rm e rs ’ c o o p e rativ es h a v e ta k e n v a rie d form s. In 1932 th e
la rg e s t g ro u p of a g ric u ltu ra l co o p e rativ es (aside fro m th e savings a n d
lo a n asso ciatio n s) co n sisted of 6,677 o rg a n iz atio n s specializing in th e
sale of one o r m o re fa rm com m odities. E le c tric ity associations,
n u m b e rin g 5,863, co m p rised th e n e x t la rg e s t g ro u p .
N e a rly 90 p e rc e n t of th e se a g ric u ltu ra l c o o p e rativ es w ere m em b ers
of th e N a tio n a l U n io n of A g ric u ltu ra l-R aiffe ise n C o o p era tiv e s.
A t th e en d of 1931 th e asso ciatio n s belonging to th e N a tio n a l U n io n
h a d a co m b in ed m e m b e rsh ip of 3,800,000.

The farm ers’ cooperatives had had a good deal of Government assist
ance in the form of credits. In June 1931, just before the banking
crisis, loans to agricultural cooperatives formed 82 percent of all
outstanding loans of the Preussen-Kasse.1 The general economic
situation of the country was reflected in the condition of the farm ers’
cooperatives, their credit associations being particularly affected.
Nevertheless, in spite of the fact th a t in the last 6 m onths of 1931
these small credit associations had withdrawals am ounting to 10.5
percent of their total deposits, they suffered less in this respect than
did the savings-deposit departm ents of the consumers’ cooperatives.
A sm all p e rc e n ta g e of th e a g ric u ltu ra l c re d it co o p e rativ es w ere
u n a b le to m e e t th e se w ith d ra w a ls a n d h a d to close th e ir doors, b u t th e
v a s t m a jo rity w e a th e re d th e sto rm . T h e ir success in m eetin g th e
s itu a tio n w as d u e m a in ly to th e fa c t t h a t th e b a n k in g crisis o ccu rred
ju s t a t th e tim e th e crops w ere b ein g sold a n d th e b o rro w ers w ere
re p a y in g th e ir loans.

The farm ers’ purchase and supply associations also suffered severely,
for they had made the m istake of allowing considerable credit. When
m any of the accounts could not be paid, the associations also had no
money with which to pay the wholesale for their own supplies.
In spite of these difficulties m ost of the agricultural cooperatives
were able to continue and the cooperative m arketing associations in
1931 handled about 7 percent of all the wheat, rye, oats, and barley;
in certain States, however, the proportion was m uch greater (over 50
percent in Saxony, 60 percent in E ast Prussia, and 70 percent in
Pomerania). In 1929, about 30 percent of the slaughtering of cattle
in 38 cattle m arkets was handled by cooperative slaughterhouses.
In 1930, more than a quarter of the total German production of butter
came from cooperative dairies. The egg-marketing associations
handled 12 percent of all the eggs m arketed at wholesale, and in
the first 5 m onths of 1931 this proportion rose to between 35 and 40
percent.
The associations affiliated to the N ational Union of Agricultural
Cooperatives had 27 regional wholesales which m arketed their mem
bers’ products and purchased their farm and household needs for them.
1A b an k controlled b y the Federal G overnm ent and the S tate of Prussia.


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Federal Reserve Bank of St. Louis

C o o p e ra tio n

1135

In 1931 their purchases of supplies amounted to 448,389,996 reichs
marks and their sales of farm products to 327,088,460 reichsmarks.

Distribulive Cooperatives
Before World W ar I, German distributive cooperatives were pro
hibited by the law of 1889 from selling to nonmembers, and Govern
m ent employees and officials were liable to dismissal if they joined
cooperatives (nevertheless, num bers of employees’ associations were
in operation as joint-stock enterprises). In recognition of the asso
ciations’ m aintenance of food prices during the war-period food panic,
the Government lifted the restriction on public-employee member
ship. This resulted in a considerable increase in the total co
operative membership, but most of these new members joined separate
new associations formed by Government workers.
According to a report to the United States Secretary of State, in
1920, from the United States Commissioner at Berlin, cooperative
associations were “one form of economic activity th a t stood the great
test and even increased” during the period 1913-20. He noted that, of
all types of cooperative organizations, the consumers’ cooperatives
were the only ones th a t showed any increase in membership from 1915
to 1917.
By the beginning of 1923 there were 2,475 retail cooperative
associations, about 65 percent of which (including practically all of
the larger ones) were affiliated to one or the other of two central
organizations—the Central Union of Consumers’ Cooperatives
(Zentralverband deutscher Konsumvereine) and the N ational Union of
Consumers’ Cooperatives (Reichsverband deutscher Konsumvereine).
Reports from United States consuls in Germany, w ritten at th a t
time, commented th a t the consumers’ cooperative m ovement had
“thoroughly established itself as a perm anent and substantial element
in the national economy” and th a t the associations had successfully
survived the “business crises” of the post-war years. They had,
however, lost the controlling influence on prices which they had
possessed before the war.
O ne of th e se re p o rts p o in te d o u t t h a t , b ecau se of th e d e p re c ia tio n of
th e c u rre n c y , “ a b u sin ess e n te rp rise [in G erm any] c a n be m a in ta in e d
a t a g iv en level o n ly b y c o n s ta n t e n la rg e m e n t of its n o m in al c a p ita l.”
T o m e e t th is s itu a tio n c o o p e ra tiv e asso ciatio n s w ere doing th e ir u tm o s t
to a t t r a c t a d d itio n a l fu n d s. T h e y issu ed b o n d s, in cre ased th e a m o u n t
of sh ares re q u ire d fro m each m em b er, a n d u rg e d th e m em b ers to
d ep o sit th e ir sav in g s w ith th e c o o p e ra tiv e asso ciations.

However, the economic and m onetary situation rapidly went from
bad to worse. M oney had less and less value. Before ordered goods
could be delivered, the amount of money required for its purchase
would be multiplied m any times. Cooperatives, like other businesses,
suffered greatly from these conditions. A report by the International
Labor Office pointed out th a t by the beginning of 1924, “ after 10 years
of war and inflation, the distributive societies were practically in
ruins,” although externally the movement was still “imposing.”
The currency was stabilized in November 1923. The effect was
th a t the am ount of money outstanding was reduced from 1,955,001,736,412,000 (paper) marks in October 1923 to 589,841 (gold) reichs
m arks in November.

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Federal Reserve Bank of St. Louis

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M o n t h ly L a h o r R e v ie w — J u n e 1 9 4 3

T h e c o o p e ra tiv e asso c ia tio n s w ere am o n g th e first to re v alu e th e ir
ac c o u n ts. S av in g s d ep o sits of m em b ers w ere re v a lu e d a t a ra te v e ry
fa v o ra b le to th e m em b ers, b u t of course th is in creased th e difficulties of
th e asso ciatio n s, fo r it m a d e th e ir b u rd e n of liab ilities h eav ier. As a
re su lt of th e in flatio n a n d th e s u b se q u e n t re v a lo riz a tio n th e ir w orking
c a p ita l w as p ra c tic a lly d e s tro y e d an d reserv es w ere w iped o u t alm o st
co m p letely . “ I n d e e d ,” th e In te rn a tio n a l L a b o r Office co m m en ted ,
“ w hen s ta b iliz a tio n w as in tro d u c e d th e d is trib u tiv e m o v e m e n t h ad to
b e b u ilt u p ag a in fro m th e b e g in n in g .”
S ince 1903 th e G e rm a n c o n su m ers’ c o o p e rativ es h a d h a d savings
d e p a rtm e n ts a n d h a d relied u p o n th e m to a larg e e x te n t fo r th e
finan cin g of th e b u sin ess en terp rises. S av in g s d ep o sited w ith th e
asso c ia tio n s affiliated to th e Z e n tra lv e rb a n d a m o u n te d to 80,200,000
m a rk s in 1913 a n d rose to 146,694,000 m a rk s a t th e end of 1918. T h e
loss in c id e n t to th e in fla tio n a n d su b se q u e n t re v a lu a tio n is in d ic a te d
b y th e fa c t t h a t th e sav in g s d ep o sits (in te rm s of th e new gold c u r
ren cy ) a m o u n te d to o n ly 49,500,000 re ic h sm a rk s in 1924. So success
ful w ere th e a sso c ia tio n s in a ttr a c tin g new loan c a p ita l, h ow ever, t h a t
b y 1926 th e a m o u n t h a d in creased to 138,000,000 re ic h sm a rk s and b v
1928 to 292,500,000 reich sm ark s.
D u rin g th is w hole difficult p erio d th e co n su m ers’ co o p erativ es
p u rs u e d a p o licy d esigned to s tre n g th e n a n d stab ilize th e m o v em en t.
N o n p u rc h a sin g m em b ers w ere re m o v e d fro m th e ro ste r, sm all associa
tio n s w ere m erg e d in to la rg e r a n d so u n d e r o rg an izatio n s, an d a policy
of “ scientific m a n a g e m e n t,” o r “ ra tio n a liz a tio n ,” w as in tro d u c e d
w h ich re su lte d in im p ro v e d efficiency a n d re d u c tio n of o p e ra tin g
expenses. T h e se m easu res w ere larg e ly re sp o n sib le for th e su rv iv al of
th e m o v e m e n t, a lth o u g h a g re a t m a n y local asso ciatio n s (as also an
even g re a te r n u m b e r of p riv a te b u sinesses) w e n t in to b a n k ru p tc y or
v o lu n ta ry d isso lu tio n .

The rem arkable recuperative powers of the consumers’ cooperatives
and the loyalty of their members were dem onstrated by the fact th at
by 1928 this branch of the cooperative movement had reached and
exceeded its pre-war level.
B y 1930 th e sav in g s d ep o sits in th e c o n su m ers’ co o p e rativ es reached
th e su m of 446,900,000 re ic h sm a rk s, 95.5 p e rc e n t of w hich w as d e
p o sited in th e la rg e r asso c ia tio n s w ith m em b ersh ip s exceeding 400.
These fu n d s, as one of th e G e rm a n c o o p e rativ e p a p e rs p o in te d o u t,
re p re s e n te d th e sav in g s of th e le a st-p ro sp e ro u s classes of th e p o p u 
latio n . T h e to ta l sav in g s d ep o sits in all ty p e s of co o p e rativ es in 1930
form ed a b o u t 23 p e rc e n t of all sav in g s d ep o sits in G erm an y .
H o w e v er, forces w ere a t w o rk t h a t w ere b e y o n d th e co n tro l of th e
co o p e ra to rs a n d th e ir lead ers. S h o rtly a f te r th e sta b iliz a tio n of th e
c u rre n c y in 1923, a d o w n w a rd tre n d in b u sin ess a c tiv ity a n d em p lo y 
m e n t se t in w h ich c o n tin u e d , w ith in cre asin g v elo city , th ro u g h 1931
an d cam e to a h e a d in a n u m b e r of econom ic d istu rb a n c e s n o t th e le a st
of w h ich w as th e sh u t-d o w n of all th e b a n k s in G e rm an y fro m J u ly 13
to A u g u st 4, 1931. T h e n u m b e r of u n e m p lo y ed d u rin g th e w in te r of
1931-32 exceeded 6,000,000 in a p o p u la tio n of a b o u t 65,300,000.
V a rio u s a tte m p ts w ere m a d e b y th e G o v e rn m en t to deal w ith th e
s itu a tio n . W ith a v iew to ra isin g fu n d s fo r relief, a n d a t th e sam e tim e
fav o rin g th e sm all re ta ile r, o n J a n u a r y 1, 1932, it lev ied a tu rn -o v e r
tax of 2— pe r c e nt o n all r e ta il tr a d e ; in a d d itio n m a n y S ta te s and
m u n ic ip a litie s lev ied sp ecial tr a d e ta x e s on th e co o p erativ es. T his

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1137

C o o p e ra tio n

naturally reduced tlic cooperative earnings (and consequently their
patronage refunds), and this in turn reduced the purchasing power of
the members.
C o n d itio n s in G e rm a n y grew so b a d t h a t th e d ire c to r of one of th e
co o p e ra tiv e w holesales (G E G ) re m a rk e d , p ro p h e tic ally :
E conom ic conditions in G erm any have reached such a low level th a t any
fu rth e r deterio ratio n is likely to shake th e whole political a n d econom ic life of
th e co u n try to its very foundations. In view of th is fa c t it is necessary th a t
m eans should be devised, n o t only in G erm any b u t th ro u g h o u t th e w hole w orld
econom y, of w hich G erm any is an in teg ral p a rt, to effect a re tu rn of confidence
in in te rn a tio n a l credit an d th e re b y in itia te a b e tte r tra d e outlook.

The extreme need of the workers who, as noted, formed the greater
p a rt of the cooperative membership forced them to withdraw their
savings, in order to tide themselves over, and in 1931 the savings
deposits of the associations affiliated to the Zentralverband decreased
from 406,000,000 reichsmarks to 319,000,000 reichsmarks.
In September emergency decrees were issued which provided Gov
ernm ent credit for business organizations, in an attem pt to bolster
the economic structure of the country. Only a very small p art of
this was earmarked for cooperatives and th a t on such onerous terms
th a t only a p a rt of the credit was ever applied for by the associations.
In an attem p t to assist its local associations and enable them to
tide over, the Zentralverband in 1931 established an “ aid society,”
capitalized at 14,000,000 reichsmarks, and w ith supplem entary capital
guaranteed by the Union. In spite of this the num ber of affiliated
associations fell from 988 to 985 during the year. The num ber of
individual members of the local associations fell by about 60,000,
but to some extent this was caused by striking from the roster the
names of nonpurchasing members. (In the 8 years ending w ith 1931
more than 1,600,000 names had been removed for this reason.)

Condition of Consumers Cooperatives Immediately Preceding
National-Socialist Regime
As already noted, m ost of the consumers’ cooperatives were feder
ated into two central organizations—the Zentralverband and the
Reichsverband. The Zentralverband was overwhelmingly a workingclass organization, over 70 percent of its membership being workers
either on farms or in industry, and it was strongly supported by the
trade-unions. In the Reichsverband (the more conservative of the two
federations), professional people and Government officials and em
ployees formed 31 percent of the membership. The farm and in
dustrial workers (slightly less than 50 percent of the total) were largely
connected w ith the Christian trade-unions.
The following statem ent shows the occupational distribution of the
membership of the associations affiliated to the two federations in 1931:
Zentralverband

(percent)

W orkers a n d em ployees in in d u s try ______________ 69.
F arm w orkers__________________________________
2.
Professional m en a n d G overnm ent em ployees an d
officials_______________________________________ 9.
In d e p en d en t businessm en_______________________
4.
In d ep en d en t fa rm e rs____________________________ 2.
R etired a n d oth er persons w ith o u t o ccu p atio n ____ 12.

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Reichs
verband

(percent)

2
4

49.7
.7

3
8
5
0

31.0
o.0
3.2
10.4

Monthly Labor Review— June 1943

1138

E a c h of th e fe d e ra tio n s h a d its ow n w holesale association, to
su p p ly goods to th e local asso ciatio n s. T h ese w ere know n, from th e
in itia ls of th e ir n a m e s as “ G E G ” (Z e n tralv erb a n d ) a n d “ G E P A G ”
(R e ic h s v e rb a n d ).
T a b le 2 show s th e d ev e lo p m e n t of th e Z e n tra lv e rb a n d from 1903
(th e y e a r of its fo rm a tio n ) th ro u g h 1932. T h e ta b le also show s such
d a ta as a re a v a ila b le fo r th e R e ic h sv e rb a n d . It w ill be n o te d t h a t
ev en d u rin g th e dep ressio n , w h ich re a c h e d its lo w est p o in t in 1932,
b o th G E G a n d th e local asso ciatio n s affiliated to th e Z e n tra lv e rb a n d
m a d e s u b s ta n tia l earn in g s, a lth o u g h a c o n tin u o u s decrease in b o th
ea rn in g s a n d th e m o n e y v o lu m e of sales o ccu rred from 1930 to 1932
T a b l e 2 . — Membership

and Business of Two Main German Consumers'’ Cooperative
Federations and Their Members in Specified Years
ZENTRALVERBAND

Year

1903__________________
1914__________________
1920__________________
1922__________________
1925__________________
1928__________________
1929__________________
1930__________________
1931 „
........................
1932__________________

N um ber
of member as
socia
tions

666
1,109
1,291
1, 350
1,110
1,024
988
974
968
949

G E G (wholesale)
Their
members

573, 000
1, 718, 000
2, 714, 000
3,161,000
3, 382, Oil
2, 803, 232
2,859, 516
2, 940, 308
2, 979, 210
2,895, 985

Their sales
A m ount of
business

Rm 1
131, 786,107
486, 419, 059
(■)
(2)
616,188, 362
1, 045, 962, 404
1,176, 294, 809
1, 240, 327, 868
1,160,156, 341
944,198, 074

Rm 1
26, 445, 889
157, 524,041
91, 549, 934
99, 118, 624
228,169, 471
444, 371, 664
501, 378, 122
495, 257, 404
428, 419, 904
339,831, 261

N et earn Value of own
ings
production

Rm 1
115,816
2,174, 358
253, 761
136,841
2, 460, 583
4, 361, 350
4, 946, 369
4, 360, 812
2, 232, 468
1,095,448

Rm 1
10, 493, 615
11, 720, 857
9, 635, 572
35, 339, 389
104, 720, 506
123, 879, 470
137, 619, 670
145, 326, 693
129,428, 293

REICH SV ERBA N D

Year

1928______
1929__________________
1930____ .
1931__

N um ber
of m em 
ber as
socia
tions

276
(2)
277
263

G E P A G (wholesale)
Their
members

786, 758
764, 960
792, 551
786, 709

Their sales

Rm 1
(2)
195, 500, 000
204, 600. 000
180, 384,179

A m ount of
business

N et earn
ings

Value of own
production

Rm i

Rm 1

Rm 1

(2)
(2)
74, 000, 000
70, 323, 220

(2)
(2)
(2)
(2)

(2)
(2)
11, 000, 000
10, 000, 000

1 Reichsm ark a t par=40.3 cents.
2 No data.

In 1931 (as shown by table 2) the two national federations of con
sumers’ cooperatives had in affiliation 1,231 local associations with a
combined membership of 3,765,919 persons, or about 6 percent of the
total population. Counting their families, the movem ent was there
fore serving about 24 percent of the German people. However,
because their business was largely restricted to groceries, m eat, and
certain household supplies, the cooperative associations accounted
for only about 5 percent of the retail trade of Germany. They em
ployed 65,310 persons in 13,575 retail stores.
GEG was a large im porter of foreign goods, m ostly purchased from
cooperative sources. Its imports in 1931 am ounted to 11,200,000
reichsmarks, and represented commodities from 22 European countries
and Asia.

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Cooperation

1139

In 1932, GEG was producing about 40 percent of the goods it sold
to the retail associations. Its productive departm ents included 2 hsn
canneries, 8 m eat-products plants, 4 flour mills, 2 macaroni factories
2 mills making m alt coffee, 7 tobacco factories, 2 soap factories, 2
m atch factories, 2 clothing factories (and was p a rt owner of a third;,
and one plant each making vegetable and fruit preserves, cocoa and
chocolate, chemicals, cheese, textiles and lumber. In addition it
onerated a large farm, a weaving and dyeing shed for cloth, and a
stationery and printing plant. I t started construction of a m argarine
factory in 1931 b u t the depression and subsequent events prevented
^ ^ n 0the1same' year G E P A G , the wholesale of the Reiclis verb and was
operating a printing plant, a coffee-roasting plant, and one establish
m ent each making sausages, macaroni, soap, and cigars.
.
The local associations were also substantial producers, mainly ol
perishable commodities. In 1931 the retail associations of the Zentralverband group produced goods valued at317,5o9,10o reichsmarks.
The oreater p art of these goods consisted of m eat products (such as
sausaW) and bakery goods. In 1930, Reichsverband associations
m anufactured goods valued a t 2 8 ,000,000 reichsmarks Here again,
bakery and m eat products were the most im portant items, but the
output also included such commodities as macaroni, coff ee, sauerkraut,
chocolate, distilled liquors, carbonated water, flour, and clothing.
In 1930 and 1931 tlie Zentralverband associations had net earnings
on their business, amounting to 120,900,000 reichsmarks. Of this
sum 12 340,604 reichsmarks were returned to members m patronage
refunds' on their purchases, 56,014 reichsmarks were paid to members
in interest on their shares, and 99,035,915 were paid m rebates pay
able in merchandise. Thus, even in th a t 2-year depression period
the members of these associations directly benefited by the operations
of their cooperatives to the am ount of 111,432,533 reichsmarks
^ I n 1931 ^a special Committee of Inquiry was appointed by the
Government to investigate ‘‘conditions of production and sale m
German industry. In the course of its study this Com™ tte ®2
ined the consumers’ cooperative movement. It found th a t although
rates of pay were often lower in cooperatives than m private business,
special allowances (such as commissions on sales, wage bonuses out
of associations’ earnings), paid vacations, etc., combined to make the
actual earnings of rank-and-file workers 10-15 percent above those m
private establishments. However, as has been typically the case m
!dl countries, the rem uneration of managers and directors of coopera
tives was “nowhere on a level” with those of similar officials m private
bUS o tin g th a t a large proportion of the cooperatives’ net earnings
was returned in patronage refunds, the Committee called attention
to the fact th a t the associations affiliated to the Zentralvei band had
created a pension fund to which association and employees contrib
uted equally and th a t m ost of the consumers’ cooperatives devoted
p a rt of their surplus to welfare purposes (burial funds, convalescent
and holiday homes, unemployment relief, etc.). As early as 1918
the Cooperative Association of H am burg had purchased a mansion
on the shores of the Baltic Sea, m which 100 children could be accom5 2 9 0 8 5 — 4 3 --------7


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1140

Monthly Labor Review— June 1943

moclated at a time. The home was m aintained from a special fund
ol the cooperative association and each child enjoyed a 4-week stay
fr®0 of charge. In 1929 the wholesale GEG paid 1,000,000 reichs
marks lor a large holiday home in the Thüringer Wald, with accom
modations for 110 vacationers at a time. At Jena there was a special
cooperative association, whose duty was the operation of vacation
resorts. I t had 5,043 members in 1929 and was running 12 holiday
lomes. this association received support not only from the coopera
tives and trade-unions, but also from several of the States and munic
ipalities and sickness-insurance funds. A t its 1929 meeting the
association voted to organize a central body (in collaboration w ith all
ot the supporting organizations) for operating holiday homes.

Cooperatives Under the Nazis
w ! ¡^ N a tio n a l Socialists, under Adolf Hitler, came to power in 1933
ta b le 3 shows the num ber of associations of each type in each of the
5 years thereafter. For comparative purposes the num ber at the
beginning of 1933 is also shown.
J able

3.

ISumber of Cooperatives1in Germany, 1933 to J938, by Type
N um ber of associations, January 1—

T ype of association
1933
All ty p e s____________________________
C redit (savings and loan), u rb an and rural
C onsum ers’ retail associations_________
Housing (building) associations_______ ’ " [
Supply, etc., cooperatives of craft groups
-Labor cooperatives__________
Farm ers’ m arketing, processing',‘etc.( associations ’
-Private dealers purchasing associations 2_
Join t productive enterprises of p rivate business 2
M iscellaneous______
9

1934

1935

51, 795

51,820

53, 631

53,499

52,878

51, 988

21,607
1,674
3,813
1,670
158
18,821
1, 295
559
2,198

21, 323
1.606
3, 698
1. 667
153
19, 518
1, 293
557
2,005

20,866
1,634
3, 616
1,751
147
22,001
1,315
554
1,747

20,552
1,582
3, 507
1,890
144
22,429
1,284
550
1,561

20, 283
1,512
3, 452
1, 948

20,005
1,488
3, 372
1,917

22, 403
1,241
542
1,497

22, 239

1938

1,201

533
1,233

Jr™
uau»n,y cunsiuereu as cooperative.
-Not usually regarded as p a rt of the cooperative m ovem ent.

I t is a p p a re n t t h a t c ra ft a n d a g ric u ltu ra l co o p e rativ es in creased in
n u m b e r d u rin g th e p erio d co v ered in ta b le 3. T h e in crease in th e
ia tte i case a p p e a rs to h a v e b een cau sed b y th e fo rm a tio n of a larg e
n u m b e r of d a iry co o p e rativ es. I n th e case of all o th e r ty p e s of asso
ciatio n s, th e re w as a d im in u tio n in n u m b e r d u rin g th e 6 -y ear period
a n d th e asso c ia tio n s of w o rk ers c o n tra c tin g th e ir la b o r d isap p ea red
a lto g e th e r. I n m o st cases th e decrease re p re se n te d n o t a c o n tra c tio n
ol co o p e ra tiv e a c tiv ity b u t a n a c tu a l s tre n g th e n in g of th e m o v e m e n t
>v a m a lg a m a tio n s ol sm all asso ciatio n s. S u ch was n o t th e case
iiow ever, m re sp e c t to th e co n su m e rs’ co o p e rativ es. T h e decline of
th ese asso c ia tio n s fro m 1,582 m 1936 to 1,488 in 1938 re p re se n te d th e
oss ot th e la rg e s t c o o p e rativ es in th is b ra n c h of th e m o v e m e n t
T hat
b ra n c h of th e m o v e m e n t a p p e a rs to h a v e b ee n singled o u t, am o n g all
ty p e s of co o p e rativ es, fo r th e a d v e rse a tte n tio n of th e N azis because
of th e d e te rm in a tio n of th e la t t e r to d e s tro y all form s of business com 
p e tin g w ith th e sm all p riv a te re ta ile rs. A ccordingly, th e large
p iiy a te lj ow ned d e p a rtm e n t sto re s a n d c h a in sy stem s also cam e u n d e r
ion d isp leasu re, b u t m o s t esp ecially th e co n su m ers’ co o p erativ es

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' 14 '

Cooperation

which had large organizations in all the cities and a network of smaller
ones throughout Germany.
A G R IC U L T U R A L C O O P E R A T IV E S

The Review of International Cooperation for November 1938 carried
an article summarizing the condition of the agricultural cooperatives
after about 4 years under the National-Socialist government. The
following is summarized from th a t account.
. . .
The German agricultural associations had confined their activities
strictly to the economic sphere. They regarded themselves as p art of
the capitalist system and, although they had business competitors,
“ they had no real opponents.” The agricultural associations showed
no opposition to the “ adjustm ents” made by the Nazis and the latte r
apparently had no fundam ental objections to the associations. 1 he
farm ers’ cooperatives were incorporated into the Nazi Agricultural
Estate and the im portant adm inistrative posts in the associations
were filled by members of the National-Socialist Party.
Com parative data on the distribution of the agricultural coopera
tives at the beginning of 1933 (just before the Nazis came into power)
and at the beginning of 1938 are shown in the accompanying statement:
Number of associations
1933

Savings an d loan (credit) associations _
P u rch asin g and m ark etin g associations
Specialized m ark etin g asso ciatio n s----Service associations:
E lec tricity association s---------------O th e r___________________________
M iscellaneous asso ciatio n s----------------T o ta l_________________________

1938

19,565
4, 142
6, 944

17,890
3, 251
10, 904

5, 743
1, 806
2, 025

4, 802
2, 805
701

40, 225

40, 353

The total num ber of agricultural credit associations had shrunk, but
this was due to the merger of small associations with larger and more
stable ones; the total membership of the credit associations had
remained practically unchanged at about 2,000,000. The improved
purchasing power in agriculture, “ effected largely at the expense ol
other sections of the population,” resulted in increasing the deposits ol
the credit associations from 1,723,700,000 reichsmarks at the beginning
of 1932 to 2,599,900,000 reichsmarks at the beginning of 1938. _ M ost
of these associations also did purchasing of farm supplies; their pur
chasing business had increased from 275,000,000 Rm. in 1932 to
408,500,000 Rm. in 1935.
.
,
The m arketing and purchasing associations, although they had
only “very limited freedom of action," as the delivery of grain, milk,
etc., bv farmers was very strictly regulated, nevertheless increased
their business and sales. About 45 percent of the cereal crops and
about 70 percent of the milk was handled by cooperative m arketing
associations.
In 1935 the cooperative electricity associations formed about onethird of all organizations supplying electric power. _ A law ot 1935
placed all electric-power organizations under the M inistry of Economy
and provided for the merger of all enterprises in a given region into
one. It also provided th a t an enterprise m ight be dissolved if it was
unable to supply the needs of the region. As the electricity coopera
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Federal Reserve Bank of St. Louis

1142

Monthly Lahor Review— June 1943

liv e s w ere g e n e ra lly sm all, a n u m b e r of th e m “ w hich fo r m a n y y e a rs
h a d d o n e p io n eer w o rk in th e v illa g es” w ere dissolved u n d e r th is
p ro v isio n .
On th e whole it can be said th a t th e ag ricu ltu ral cooperative societies un lik e
th e consum ers’ societies, have, w ith a few exceptions, developed fav o rab ly from
th e p urely econom ic p o in t of view since 1933.
As regai ds freedom of a c tiv ity an d action, all cooperative societies, th ro u g h
th e ir inco rp o ratio n in th e “ R e ic h sn ä h rsta n d ,” h av e been re stricted to such an
e x te n t th a t th e y to d a y form m ore or less a p a rt of th e m achinery for th e d irection
of N ational-S ocialist econom y.
C O N SU M E R S'

C O O P E R A T IV E S

A m o n g th e firs t a c ts of th e N a tio n a l S ocialists w as th e m erg e r (in

August 1933) of five central consumers’ cooperative organizations__
th e Z e n tra lv e rb a n d , th e R e ic h sv e rb a n d , th e ir tw o w holesales (G E G
a t H a m b u r g a n d G E P A G a t C ologne), a n d th e P rin tin g A sso ciatio n
of th e Z e n tra l v e rb a n d . All of th e five o rg a n iz a tio n s w ere dissolved
a n d a n ew o rg a n iz a tio n , R eic h sb u n d d e r d eu tsc h e n V e rb ra u c h e r
g e n o sse n sc h afte n , w as fo rm ed . A lth o u g h th e a u th o ritie s s ta te d t h a t
th ey h a d n o t seized th ese c e n tra l o rg a n iz a tio n s, b u t h a d m ere ly ta k e n
th e m in to “ p ro te c tiv e c u s to d y ,” th e y ab o lish ed th e r ig h t of m e m b e r
ship v o tin g , p laced th e m a n a g e m e n t in th e h a n d s of G o v e rn m e n t
a p p o in te e s, a n d g av e o rd e rs to in c o rp o ra te th e w hole c o n su m ers’
co o p e ra tiv e sy ste m in to th e L a b o r F ro n t, C o o p era tiv e s w ere even
fo rb id d e n to receiv e th e R ev iew of In te r n a tio n a l C o o p eratio n , p u b lish ed
b y th e In te r n a tio n a l C o o p e ra tiv e A lliance of w hich th e G e rm an
co o p e ra tiv e m o v e m e n t w as a m em b er.
A t th e sam e tim e , th e w hole c o n su m e rs’ co o p e ra tiv e m o v e m e n t
w as d iv id e d in to 11 re g io n a l u n io n s, ea ch h e a d e d b y a com m issioner
w ho w as g iv e n th e a u th o r ity to s it w ith th e b o a rd of d ire c to rs of th e
c o o p e ra tiv e a sso c ia tio n s a n d to “ d ire c t decisio n s.” C o o p era tiv e
sources s ta te d t h a t m a n y of th ese com m issioners w ere d ra w n from
th e ra n k s of th e p riv a te tra d e rs , a n d t h a t som e of th e m la te r o b ta in e d
fu ll-tim e jo b s as d ire c to rs of c o o p e ra tiv e e n te rp rise s w h ich th e y th e n
p ro c eed e d to r u n lik e p riv a te businesses.
L ess t h a n a y e a r a f te r th e m e rg e r t h a t fo rm ed th e R e ic h sb u n d , th e
o rg a n iz a tio n was^ ag a in d iv id ed , th e R e ic h sb u n d re ta in in g only
p ro p a g a n d a fu n c tio n s a n d a new G e rm a n W holesale S ociety (w ith o u t
ev en th e n a m e “ c o o p e ra tiv e ” ) b ein g fo rm ed for p u re ly tra d in g p u r
poses. T h e l a t t e r im m e d ia te ly issu ed a s ta te m e n t t h a t it w ould
o p e ra te as a “ p riv a te econom ic e n te rp ris e ,” a n d t h a t its services
w o u ld n o t be re s tric te d to c o o p e rativ es b u t it w ould sell to a n y b o d y .
D u rin g th e n e x t few y e a rs th e a ttitu d e of th e S ta te p u b lic a u th o ri
ties to w a rd th e c o n su m e rs’ co o p e ra tiv e m o v e m e n t v arie d from th e
a lm o st co rd ial (as in W iirtte m b u rg ) to e x tre m e su p p re ssio n (as in
(xau). T h e m easu res ta k e n b y th e c e n tra l G o v e rn m e n t show ed th e
sam e v ac illatio n .
T h e fa c t t h a t th e c o o p e ra tiv e m o v e m e n t re p re se n te d su ch a large
se c tio n of th e p o p u la tio n a n d w as so in tim a te ly b o u n d u p w ith G e r
m a n econom ic life m a d e it o n ly p r u d e n t fo r th e G o v e rn m e n t to m ove
up o n it slow ly. R ealizin g t h a t th e c o n su m ers’ co o p e rativ es w ere
m a d e ^up of th e m o st s u b s ta n tia l elem en ts am o n g th e w o rk in g
classes’ w h o m th e N a zis d esired to b rin g in to th e ir fold, th e G o v e rn 
m e n t re siste d th e d e m a n d s of th e re ta ile rs for th e im m e d ia te extinc
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C o o p e ra tio n

1143

tion of the cooperative movement. The Nazi director of consumers
cooperatives (Karl Meuller) stated in November 1933 th a t he was
endeavoring to “ solve the consumer cooperative problem m the inter
ests of the entire people.”
_ T .
_
,
, „
Shortly thereafter D r. Ley, Leader of the Labor F ront proposed a
plan whereby all the cooperative stores would be turned into inde
pendent private retail stores. This was im practical and also was
opposed by the existing retailers who feared th a t it would result m
an additional source of competition. R eichswirtsch af t-M ims ter
Schm itt pointed out th a t the cooperatives had become purified by
incorporation in the Labor Front, and th a t no measure should be
taken which would cause a run upon or endanger the savings ol the
workers deposited w ith the cooperatives. H e was ol the opinion
th at the “ unfortunate situation” of those cooperatives which needed
help had arisen out of the struggle with the private dealers. Me
pointed out that-—■
C onsum ers’ cooperatives as such have p roven them selves to be financially
an d econom ically sound a n d have d e m o n strated stro n g pow ers of resistance to
flic crisis
* * * F u n d a m e n ta lly th e consum ers cooperatives as well as th e
p riv a te retailers h ave as th e ir p rim e o b ject th e serving of th e in te re sts of th e
neople as a whole an d it is th e function of b o th to m ake it, possible for th e con
sum ers, especially those w ith th e least purch asin g pow er, to . ^ s f y ' th e ir purchases
of th e necessaries of life a t reasonable an d b earable pnces. In fulfilling tl s
function it is preciselv th e consum ers’ cooperatives w hich have earn ed g reat
m erit in th e d istrib u tio n of goods
T hey have, fu rth erm o re .p ro v e n M o be a
necessary price regulating facto r m th e business w orld, w hich in the fu tu re c a n n o t
be dispensed w ith.

He enjoined the officials of the various States to be on the watch
to prevent attacks on cooperatives. About the same time Director
Meuller issued a circular to his 11 regional cooperative commissioners
calling attention to Dr. Schm itt’s statem ent of policy and recom
mending th at they issue a similar statem ent for their district,
W orkers’ incomes and employment had improved m 1935, largely
as a result of the rapid development of arm aments, but this improve
m ent in buying power found no reflection in the consumers cooper
ative movement whose total business continued to dechne and whose
share of the total retail trade fell to 2 percent m 1935 The W hole
sale Society, no longer depending upon business with cooperatives
only, fared better than the retail associations.
For nearly 2 years, during which the wavering 1 arty policy re
sulted in a do-nothing attitude, the cooperatives were able to continue,
although under strict supervision. However, both membership and
business dwindled steadily, largely as a result of the panic induced
by the early Nazi acts.
.
Then, ostensibly to protect the movement, a law regulating coop
eratives was passed on M ay 21, 1935 The purpose of this law
(which was signed by Hitler, D r. Schacht, and Graf yon Ivrosigk)
was to bring about the extinction of the consumers cooperative
m ovement—painlessly if possible. Under the law no new cooper
atives could be formed without express permission ol the Federal
M inister of E c o n o m y -a provision which effectively prevented any
expansion As an inducement to voluntary liquidation by tlie
Associations, the law made an appropriation of 60 000,000 reichs
m arks to be used as a guaranty to the savings depositors ol the assotions, if dissolution was undertaken within a specified time. I ie


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Federal Reserve Bank of St. Louis

1144

M onthly Lahor Review— June 1943

usual provision of cooperative bylaws, requiring a three-fourths vote
by a special meeting of the membership before an association could
be dissolved was changed to allow an association to be term inated bv
unanimous vote of the directors or a simple m ajority vote at a m em 
bership meeting, convened at the request of one-tentli of the members
oi their representatives.” No cooperative association was allowed,
after the passage of the law, to accept any additional deposits and
all savings departm ents were to be closed by December 31 1940.
(In is, oi course, prevented the workers from investing in their own
enteipuses and wiped out w hat had always been one of the main
sources oi capital for the movement, besides placing a very great
burden upon the associations, which had the greater p art of the funds
tied up in plant, stocks equipment, etc. To refund all these savings
meant the liquidation of a large p a rt of cooperative holdings.) Finally
tiie law placed all the remaining cooperatives under the “ strict regu
lation of the Federal M inister of .Economy. This, according to a
rep o u of the l m ted States vice consul at Berlin, “ will enable it
[the Government! legally to do w hat it wishes with the cooperatives
and eventually call for their final dissolution if it so desires.7’
11l e law w as ex p ressly lim ite d to th e m e m b e r asso ciatio n s of th e
K e ic n sb u n d , b u t th is o rg a n iz a tio n c o n ta in e d p ra c tic a lly all th e
co n su m ers c o o p e rativ es in G e rm a n y .

. The International Cooperative Alliance pointed out th a t “ nothing
is more typical of the lack of freedom of the German cooperative
m ovem ent than the fact th a t the German consumers’ cooperative
press does not dare to offer one word of serious criticism of this bill'”
ie Affiance had, early in 1934, deprived the German cooperative
m ovem ent oi its membership in the Affiance on the ground th a t it
was no longer free.) I t noted th a t “ propaganda for the ideals” of
consumers cooperation had been forbidden for some time and vision
as to the final goal of cooperation has long since disappeared from
the German consumers’ m ovem ent.”
A Nazi piofessor named R u th had previously delivered the opinion
that no cooperative association should be larger than 200 members
He expressed himself as being concerned with the lack of democracv
m large associations. The same view as to the undesirability of
aige cooperatives “ as aberrations, even from the cooperative point
oi view, was later voiced by the Nazi head of the Reichsbund
in view of the express purpose of this 1935 law to induce the liquidation
oi the consumers cooperatives as fast as possible, it is significant th at
the 82 cooperatives (of about 1,200 affiliated to the Reichsbund)
th a t were singled out as being “ unsound” financially 2 included all
the largest associations m Germany, which together accounted for
00 percent of the total capital of the m ovement and about half of the
business. 1 he two Berlin associations alone had 284,000 members.
borne of the larger associations were closed, others were turned
over to former managers as private enterprises. The latte r was the
H rw°m
i n ^ f gf r d H th(i larger of tlie two Berlin associations,
ctobei 1935, M m isterialrat Dr. Zee-IIeraeus, reporting on the
process oi liquidation of the cooperative associations, rem arked th at
111 tr-vmg to broaden the scope of the independent retailer the
the ^e^iM ^cO T su^ere^sodetiel^^a^chO T ge^w W r^ra^H p/r)11131^ 6^ ’ d ™ ? alle^ed fin£mcial ^ s ta b ility of
G erm an c o o p e r a t i v e S n t o S ™ 410“ t0
who has kno™ « *


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Cooperation

1145

Government is trying to transfer cooperative premises to inde
pendent traders.” He noted th at of the 72 associations all or partially
liquidated, 10 percent of their 3,000 stores had been closed, 35 percent
had been turned over to independent dealers, and 55 percent liad
been or would shortly be transferred to private companies. The
so-called “ privatization” m ethod resulted in a hybrid, th at was neither
private nor cooperative. Some of the organizations were under
individual m anagement and some were managed as subsidiaries by
the wholesale society.
The severity of reduction in the movement varied greatly from
region to region. The International Cooperative Alliance, reviewing
the situation as it existed at the end of 1936, stated:
T he effects of th e D ecree of 21st M ay, 1935, in th e various d istricts are clearly
show n in th e an n u al rep o rts of th e au d itin g unions. T he A uditing U nion for
E a st G erm any has suffered m ost, as a resu lt of th e liq u id atio n of th e B erlin
society. In its presen t sphere of a c tiv ity th ere rem ain 65 societies w ith 118,000
m em bers, a p a rt from 12 societies w ith 295,000 m em bers w hich are to be liq u id ated .
T he strongly cooperatively organized R h in elan d was only able to save 237,000
m em bers o u t of th e 525,000 m em bers w hich it h ad before th e liq u id atio n of
societies. T he in d u stria l d istric t of Saxony has lost n early half of its m em bers,
an d o u t of 305,000 m em bers before th e liqu id atio n s th e re only rem ain 171,000.
N o rth w est G erm any has also suffered very severely, th e m em bership being reduced
from 349,000 to 208,000, while th e largest society in th e d istrict, w ith over 80,000
m em bers, is still in danger. In W ü rttem b erg , on th e o th er hand, w here th e
cooperative societies have alw ays w orked on a ra th e r b ro ad social basis, th e
m ovem ent has suffered least a n d th is a u d itin g union is, in reality , th e only one
w hich has n o t suffered directly from th e effects of th e decree.

Altogether the consumers’ cooperative m ovement lost about
million members as a direct result of the law of M ay 1935. At the
beginning of 1938 not quite two-thirds (1,294,000) of the members
were wage earners, 221,000 were public employees, 91,000 were
independent traders and artisans, 64,000 were farmers, and 283,000
were persons w ithout stated occupation.
In addition to the contraction incident to the dissolution of the
individual associations, w ith the consequent loss to the movement ol
their membership and facilities, the central organizations had had
losses of productive plant. Under a law passed on January 10,
1936, the two m atch factories belonging to the former GEG were
turned over to the M atch Monopoly (a private cartel), w ith the
proviso th a t tlieir earnings were to be handed over to the Government.
Some of the other productive departm ents were either closed or
liquidated.
The year 1937 was m arked by what, in comparison w ith preceding
years, m ight be regarded as a certain degree of tranquillity. Cooper
ative business showed a slight improvement, the rate of membership
decrease slackened, and interference by the Nazis was not so great.
The total num ber of workers employed had declined to 39,411, ol
whom 9,084 were employed by the wholesale and 30,327 by the
retail associations. (In 1932 more than 65,000 had been employed
in the associations affiliated to the two national federations alone.)
D ata showing the effects of all the foregoing events upon the mem
bership and business of the local and central organizations are shown
in table 4. I t gives the combined data for the Zentralverband and
Reichsverband for 1932 and 1933 and for the Reichsbund (formed in
1933) for 1934-37, the latest year for which data are available.


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1146

Monthly Lahor Review— June 1943
T a b l e 4 . — Membership

Year

1932 3___
1933 3________
1934_______
1935______
1936___________
1937_________

and Business of Reichsbund,1 in Specified Years
W holesale

N um ber
of mem ber
associa
tions

Their mem 
bers

1,208
1,154
(«)
1,113
(4)
1,162

3, 654,402
3, 334,400
3, 210, 000
2,130,000
2,094,500
2,010,900

T heir sales
A m ount of
business

Rm 2
Rm 2
1,095,095, 769
339,831, 261
818, 488,609
279, 940,844
660,100,000
295, 266,000
502.000.
000289, 419,000
510.000.
000309,999,304
532,069, 098
330,009, 321

Value of own
production

Rm 2
137.000.
000
108.000.
000
(4)
w
w
120,608,663

1 Form ed in 1933 b y merger of Z entralverband and Reichsverband and th eir wholesales.
2 R eichsm ark a t p a r=40.3 cents.
3 D ata represent combined figures for Zentralverband and R eichsverband.
* No d ata.

The war broke out in 1939, after which time no statistical data
regarding the German consumers’ cooperative movement were
obtainable. Evidently, however, the cooperatives continued to oper
ate in some fashion until early in 1941. Then on February 28, Dr.
W alter Funk, Federal M inister of Economy, issued a decree putting
an end to the consumers’ cooperative movement not only in Germany
proper but also in the former Austria and the Sudetenland. This
decree provided for the transfer to the Labor F ront of all property and
funds of both wholesale and retail associations in all these territories,
with the proviso th at all the retail associations wore to be “con
verted into model retail shops and turned over to private owner
ship.
However, this la tte r transform ation will, apparently, have
to be postponed until after the war, for it is intended th a t the shops
shall be given to veterans who fought at the front, as a reward for their
services. It remains to be seen how this can be done and at the same
time fulfill the Nazis’ promise to refund to the cooperative members
their equity in deposits, shares, and social capital, so th a t they “will
not suffer any m aterial loss.”
I n a n n o u n c in g th e new decree, D r. L ey , h e a d of th e L a b o r F ro n t,
m a d e th e follow ing co m m en ts:
C onsum ers’ cooperative societies have alw ays been one of our stro n g est oppo
nents. * * * I t m ay be read ily un d ersto o d th a t th e p roblem of th e co
o p e ra te es w as difficult for N ational Socialism to solve w hen it cam e in to power,
th e w orker saw in th e co operative m o v em en t som ething he h a d created an d in
w hich he had invested m an y millions of cap ital, as well as m illions of savings. F o r
th is reason, we could n o t have liq u id ated th e cooperatives w ith o u t causing g re a t
d isq u iet am ong th e b ro ad m asses. Besides, we saw th a t im p o rta n t in d u strial
centers, and even e n tire regions, were d e p en d en t on th e cooperative d istrib u tiv e
system . T he in d u stria l regions of th e R hineland, and p a rtic u la rly of O stm ark
[A ustria], could not be pro v id ed w ith food an d o th e r household goods w ith o u t th e
d istrib u tiv e m achin ery of consum ers’ cooperatives. M oreover, th e re were a
g reat n u m b er of p ro d u c tiv e u n its w hich could n o t be suppressed w ith o u t causing
serious econom ic d istu rb an ce . On th e o th e r h an d , to let th e m co ntinue m ean t
undeniable political danger, for th e ir te n million m em bers w ere all enem ies of
N ational Socialism an d elem ents of th e C en tre p a rty (C atholic) a n d M arxism .

A t th e sam e tim e h e s ta te d t h a t th e ta k in g o v er of th e co o p e rativ e
asso c ia tio n s w ould en ab le th e G o v e rn m e n t to use co o p e rativ e personnel
to m a n th e m a c h in e ry fo r re ta il d is trib u tio n in th e n ew ly acq u ired
te rrito rie s in th e E a s t a n d to o p e ra te th e businesses seized from th e
P o lish a n d Je w ish c o m m u n itie s th ere .


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C o o p e ra tio n

1147

U n d e r th e re o rg a n iz a tio n tlie s e p a ra te b ra n c h es of th e m o v e m e n t w holesaling, p ro d u c tiv e , a n d re ta ilin g —-were to be m a d e su b sid ia ry
e n terp rise s of th e P u b lic YVo rk s M a n a g e m e n t (th e o p e ra tin g m a c h in e ry
of th e L a b o r F ro n t). T h e a n n o u n c e m e n t of th e decree w as accom 
p a n ie d b y a n a p p e a l to th e c o o p e rativ e em ployees to do th e ir u tm o s t
to “ ex p lain a w ay a n d elim in a te a n y cause for u n re s t am ong th e
m e m b e rs.”

By the middle of 1942, the “reorganization” had been to a large
extent completed. Although the size of the individual cooperatives
had been one of the main points of criticism by the Nazis, under the
reorganization a large-scale regional concentration was effected, far
beyond th a t ever achieved by the cooperatives. At the same time
the capital of the organizations was much enlarged—a circumstance
th a t led the International Cooperative Alliance to wonder whether
this m ight not represent another m anifestation of the expansionist
tendencies of the Labor Front, whose Labor B ank is now one of the
largest in Germany and which has practically taken control of the
banking machinery in the conquered territories.
The cooperative press (which had long ago lost its freedom ol
expression) ceased publication on January 1, 1942. In view of the
other developments, this was a logical step, since (in the words of the
International Cooperative Alliance) “it had no longer a cause to defend
nor a public to serve.”
Thus, after 9 years under Nazi rule, the German consumers
cooperative movement came to an end. However, there still rem ain
thousands of workers—cooperators—and their families to whom the
cooperative is a tradition and a necessary way of life and it is upon
them th a t the task of rebuilding the movement after the close ol the
war will depend.
Sources: T his section is based on data from the following publications: R eport from U nited States
Commissioner a t Berlin, A ugust 11, 1920; U nited States consular reports, Ju ly 1922; F ebruary 21, M ay 25,
and I line 14 1923 (No 335)' N ovem ber 20,1924 (No. 34); Septem ber 28,1925 (No. 424); M ay 24 (No. 724) and
December M 1926Ma'nuary 4 ,° ^ ^ ; Ju n e 30 (N o. 516) and October 11, 1932 (No. 605); June 13 (No. 897) and
A ugust 1, 1935 (No. 274); and August 4 1941 (No. 28132); ■
C ooperative In 
form ation (International Labor Office), 114/A, No. 62, 1927, N f
\ U q ’rJku, 4 jq A ’
Nos 3, 4, and 13, 1930, Nos. 11 and 14, 1931, No. 5, 1932, No. 2, 1933,_ No. 2, 1934, No. 5,1935, No. 3, 1936,
No 3 1937 Nos 3 and 11 1938, and No. 4, 1941; Review of In tern atio n al Cooperation (International CoS,era3tive^Alliance1 London), issues of F ebruary M ay, September, and December 1932 February 933,
F ebruary 1934 Ju ly and A ugust 1935, February, September, and D ecember 1936, Ju ly 1937, A ugust 1938,
June and Ju ly 1941, and June 1942; People’s Yearbooks (English Cooperative W holesale, M anchester,
England), for 1933, 1934, and 1935; International D irectory of Cooperative Organizations (International
L abor Office), 1929, 1933, and 1939; Cooperative News Service (Cooperative League, N ew Y ork), M arch
25,1927; Consum ers’ Cooperation (Cooperative League, N ew Y ork) Ju ly 1933; C o o p e r a t i v e ^
Cooirerative Wholesale, Superior, W is.), A ugust 15, 1936; Fascism (International Federation of tra d e
U nions A m sterdam ), June 29, 1933; and A ugust 22, 1936; Konsumgenossenschaftliche R undschau (H am 
burg) April 21, 1923; W irtschaftdienst (H am burg), October 2, 1925; and Jahrbuch des Z entralverbandes
deutscher Konsum vereine (H am burg), 1933.

OPERATIONS OF COOPERATIVES IN NORTH
DAKOTA, 1941-42
SOME 500 cooperative associations of various types, out of a total
of about 700 in N orth Dakota, reported a combined business ol
$57,121,413 for 1941-42. On this business they made net earnings
amounting to $2,554,057, and returned to members on their patronage
the sum of $1,854,347. These associations had a combined membeiship of 70,469, b u t more than twice th a t num ber of persons (183,293)
were using their services. The above findings are the result ol a


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Federal Reserve Bank of St. Louis

1148

Monthly Labor Review— June 1943

s tu d y m a d e b y th e D iv isio n of C o o p e ra tiv e s of th e N o rth D a k o ta
D e p a r tm e n t of A g ric u ltu re a n d L a b o r .1
Operations of Cooperatives in North Dakota, 1941-42 1

T ype of association

All ty p e s___
Store associations.
Exchange associations
Petroleum associations
Cream ery associations
Grain-elevator associations__
Cream -shipping associations - .
Livestock-shipping associa
tio n s -. .
C redit unions
Insurance associations
Miscellaneous associations___

N um 
b e r of N u m 
associ b e r of N u m 
ations m e m  ber of
report bers patrons
ing

Share
capital

Total
assets

A m ount of
N et
Patronage
business earnings refunds

502 70, 469 183,293 $4, 339, 992 $19, 000, 714 $57,121,413 $2, 554, 057 $1, 854, 347
10
866 4,016
28,068
93,661
278,641
12,245
7,803
7 1,640 2, 750
234, 525
616,614 1, 700,036
165,499
142, 291
100 20, 500 40,136 1,017,183 2,287,695 6, 500, 502
548,239
445,429
27 8,939 17, 718
309,423
980, 663 5,195,608
185,275
146,248
190 24, 502 40,488 2,254, 644 10,974,878 31,877,040 1, 522,131 1,076,805
11 1,404 1,965
10, 503
28, 399
444, 227
16, 560
10,431
56
992 7,904
6,737
69,668 1, 789, 656
8,804
2,284
54 5,183 2 7,890
327, 305
362, 348
389, 810
14, 985
9, 476
29
347, 547
686,842 8,101, 774
45,013
18 6, 443 12, 879
151,604 2, 899, 946
844,119
35,306
13, 580

1 D ata are for fiscal year of each association, ending some tim e w ithin 1941-42
2 N um ber of loans made.
3 Policyholders.

D ata for the different kinds of associations, taken from 'the report
ane shown in the accompanying table. The “exchange” associations
shown aie associations which not only m arket gram for their members
but also carry on a distributive business; generally they handle
petroleum products and some farm supplies, but a t least one of them
handles groceries as well. Of the rest of the grain-elevator associa
tions m any (as their reports to the U. S. Bureau of Labor Statistics
show) handle coal, or petroleum products, or farm supplies, or all of
these. A few of the creameries have a cold-storage departm ent
which rents locker space to members for m eats and other provisions,
th e “miscellaneous’' associations shown in the table include 13
consumers cooperatives of various kinds (4 electricity associations
4 telephone associations, 2 cold-storage associations, 1 cooperative
wholesale, 1 newspaper, and 1 association operating a cafe) as well as
a trucking association and 4 associations doing m arketing or processing
° agricultural products. I t is evident, therefore, th at a substantial
Part oi the business, even of the m arketing associations, was in consumer
goods or services.
L á b ^ ÍD m s tó n of¿oopem fvesVei9S43a.tÍStÍCS'


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B ism arck’ N orth D akota D epartm ent of Agriculture and

Housing Conditions

NEW DWELLING UNITS IN NONFARM AREAS, FIRST
QUA RTER OF 1943 1
Summary
T H E continued downward trend in private building reduced to
114,700 the num ber of nonfarm family dwelling units on which con
struction was begun during the first 3 m onths of 1943. D uring the
same period in the previous year 138,300 units were started. Less
than 30 percent of the units started in the first quarter of 1943 were
privately financed, as compared with over 80 percent during the same
m onths of 1942 before construction not absolutely essential to the
war effort was halted.
Publicly financed housing projects put under construction during
the first quarter of 1943 will contain 80,523 family dwelling units.
This total was exceeded only during the second quarter of 1942, when
85,420 units were p u t under contract, and was almost 3 times the
27,388 units started during the first quarter of 1942. (Since the sum 
mer of 1942 practically all of the public units started have been tem po
rary structures and have been reserved for families of war workers or
m ilitary personnel.) During the first quarter of 1943, construction
was also begun on public projects containing dormitory accommoda
tions for 8,733 persons and utilities for 12,086 trailers.
Units in one- and two-family houses declined 20 and 63 percent,
respectively, from the totals for the first 3 m onths of 1942, as compared
to an increase of 16 percent in the num ber of m ultifamily units. Onefamily dwellings comprised approxim ately 78 percent of all new units
started during the first 3 m onths of 1943; 2-family units accounted for
2 percent; and multifamily units, for 20 percent. The corresponding
distribution during the first quarter of 1942 was as follows: 1-family,
81 percent; 2-family, 5 percent; and multifamily, 14 percent.

Scope of Report
These estimates cover the construction of all new family-dwelling
units in the “nonfarm area” of the United States, which consists of all
urban and rural nonfarm places. The urban designation is applied to
all incorporated places with a population of 2,500 or more in 1940, and,
by special rule, to a small num ber of unincorporated civil divisions.
Rural nonfarm construction includes all construction for nonagricultural use in unincorporated areas and incorporated places of less than
2,500 population. Hence, urban construction is classified by location,
whereas rural nonfarm construction is classified according to the
intended use of individual buildings.
i Prepared in th e B ureau’s Division of C onstruction and Public E m ploym ent by George Schumtn.


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Federal Reserve Bank of St. Louis

1149

1150

Monthly Labor Review— June 1943

B u ild in g -p e rm it re p o rts co llected b y th e B u re a u of L a b o r S ta tis tic s
h av e p ro v id e d th e b asic in fo rm a tio n fo r c u rre n t e stim a te s of re sid e n 
tia l c o n stru c tio n . T h e B u re a u b e g a n th e re g u la r collection of th ese
d a ta in 1920, a t firs t in clu d in g o n ly th e la rg e r cities. Since t h a t tim e
co v erag e h a s b e e n ste a d ily e x p a n d ed u n til it now includes m o re th a n
2,400 cities a n d 1,000 ru r a l in c o rp o ra te d places. I n ad d itio n , since
1939 a sm all n u m b e r of co u n ties h a v e re p o rte d b u ild in g p e rm its issued
fo r th e ir u n in c o rp o ra te d areas. V a lu a b le s u p p le m e n ta ry d a ta , p a rtic 
u la rly w ith re s p e c t to ru r a l c o n stru c tio n , w ere m a d e av ailab le for th e
p erio d J a n u a r y 1940 th ro u g h A u g u st 1942 b y th e D efense H o u sin g
S u rv ey , a jo in t e n te rp rise of th e B u re a u of L a b o r S ta tistic s, th e N a 
tio n a l H o u sin g A gency, a n d th e W o rk P ro je c ts A d m in istra tio n .
S ince b u ild in g p e rm its are issu ed w h e n c o n stru c tio n w o rk is a b o u t
to s ta r t, e stim a te s d eriv e d fro m p e rm its re p re se n t th e fu tu re dw ellingu n it c a p a c ity of b u ild in g s u p o n w hich c o n stru c tio n w as s ta rte d in th e
perio d specified. N o a tte m p t is m a d e h ere to e stim a te th e n u m b e r of
fa m ily ac c o m m o d a tio n s g ain ed b y a lte ra tio n s an d conversions or th o se
lo st b y d em o litio n s.

I olume of New Residential Construction
Building perm its issued in nonfarm areas and contracts awarded for
public housing projects indicate th a t construction was started on
approxim ately 114,700 new nonfarm family-dwelling units during the
first 3 m onths of 1943, or 17 percent less than during the first quarter
of 1942. Of these new units, 34,177 were privately financed and
80.523 w ere in p u b licly fin an ced h o u sin g p ro jec ts.
P riv a te ly fin an c ed h o u sin g a c tiv ity , w h ich h as been declining since
th e s u m m e r of 1941 w h en sh o rta g e s of m a te ria ls first b eg a n to a p p e ar,
c o n tin u e d to d im in ish in th e first 3 m o n th s of 1943. T h e 34,177
p riv a te ly financed u n its s ta r te d w ere 69 p e rc e n t less th a n w ere
s ta r te d a y e a r ea rlier a n d 23 p e rc e n t less th a n d u rin g th e la s t q u a rte r
of 1942. O n th e basis of th e N a tio n a l H o u sin g A g e n cy ’s w a r housing
p ro g ra m , som e a d d itio n a l c u rta ilm e n t of p riv a te re sid e n tia l c o n stru c 
tio n m a y b e ex p ected . H o w ev er, a fte r m a k in g allow ance for seasonal
fa c to rs, i t seem s p ro b a b le t h a t p riv a te a c tiv ity will re m a in a t a p p ro x i
m a te ly its p re s e n t level for th e re m a in d e r of 1943.

Between September 1941 andM arch 1943 applications for priorities
covering 391,347 new dwelling units were approved by W PB field
offices, including 40,000 started before September 1941, which required
priorities assistance for completion. Of these units, 203,772 had been
completed by the end of M arch 1943, and 74,686 more were under
construction. In addition, priorities were approved for the conversion
of existing structures, to provide accommodations for 42,856 families.
A cco rd in g to th e F e d e ra l H o u sin g A d m in istra tio n , 30,735 p riv a te ly
fin an c ed u n its w ere s ta r te d w ith p rio ritie s assistan ce d u rin g th e first
q u a r te r of 1943. S ince th e F H A re p o rts co v er o nly dw elling u n its
a c tu a lly s ta r te d w ith p rio ritie s assistan ce, th ese d a ta are n o t stric tly
c o m p a ra b le w ith e stim a te s b ase d on b u ild in g p e rm its issued, an d care
sh o u ld be ta k e n w h e n m a k in g co m p ariso n s.
I n m a rk e d c o n tra s t to th e d ecline in p riv a te ly fin an ced housing, th e
80.523 p u b licly fin an ced dw elling u n its p u t u n d e r c o n stru c tio n co n 
tr a c t d u rin g th e first 3 m o n th s of 1943 w ere a lm o st 3 tim es as g re a t as
th e co rresp o n d in g 1942 v olum e an d o v e r 40 p e rc e n t of th e to ta l for th e

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Federal Reserve Bank of St. Louis

U51

Housing Conditions

entire year 1942. The Federally financed war housing program, how
ever, is now devoted almost exclusively to the construction of tem po
rary-type units, while private builders supply those units for which
there appears to be a perm anent need. In addition to the family
dwelling units, Federal contracts were awarded for the construction of
dormitories to accommodate 8,733 persons and trailer parks to contain
12,086 trailers.

Comparison by Population Groups
The num ber of rural nonfarm dwelling units started during the
first 3 m onths of 1943 increased 14 percent over the corresponding
total for 1942, but this o ffse ts o n ly partially the 34-percent decrease in
the num ber of new units in urban areas. This shift reflects the in
creasing proportion of Federally financed units being located in rural
nonfarm areas, partly to serve isolated war activities and partly be
cause of insufficient suitable sites within urban areas.
U nits started in cities having populations of 500,000 and over
declined 61 percent—the largest percentage decline from the corre
sponding total for the first quarter of 1942 for any city-size group
Cities having 10,000 to 25,000 population declined the least of all
urban-size groups—8 percent. The privately financed units fell
off sharply in all groups, the decreases ranging from 62 percent for
cities of 100,000 to 500,000 population to 77 percent for cities of
50.000 to 100,000 population. All groups of cities shared m the
increased volume of publicly financed units except those of over
500.000 population, where the num ber of such new units declined 27
percent. Details are shown in table 1.
T able

1.— New Dwelling Units in Nonfarm Areas, First 3 Months of 1942 and 1943,
by Population Group and Source of Funds
Source of funds
Total
Public

Private
Population group (1940 census)
First 3 m onths of—

1942

1942

1943

34,177
-6 9 .2

110, 912

80, 523
+194.0

27, 388

89.800
23, 500
18.800
14, 400
8, 300
11, 800
8,100
4,900

21, 305
3,933
5, 831
1, 735
1,791
3, 821
2, 494
1,700

67, 565
16, 320
15, 267
7, 452
6, 096
10, 412
7, 268
4, 750

37,895
5, 267
9,869
9,165
2, 709
6, 979
2, 206
1,700

22, 235
7,180
3, 533
6, 948
2, 204
1,388
832
150

48, 500

12,872

43, 347

42, 628

5,153

1943

1942

T otal nonfarm a re as-- __ ----------- --- -Percent of change--------------------------

114, 700
-1 7 .1

138, 300

U rban areas, all population groups---------500.000 population and over-------- - - 100.000 to 500,000 p o pulation------------50.000 to 100,000 p o pulation---------25.000 to 50,000 population_______ --10.000 to 25,000 p o pulation____ ______
5.000 to 10,000 population----------- -2,500 to 5,000 popu latio n--------- — --

59, 200
9,200
15, 700
10, 900
4,500
10, 800
4, 700
3,400

R ural nonfarm areas________ ____ ______

55, 500

1943

i One-family dwellings comprised 78 percent of all units started during
the first 3 m onths of 1943; 2-family dwellings, 2 percent; and multifamily units, 20 percent. During the same period of 1942, 81^ percent
of the units were of the single family type; 5 percent were m 2-family
houses - and 14 percent were in multifamily structures. The increased

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Federal Reserve Bank of St. Louis

1152

Monthly Labor Review—Jane 1943

proportion of m ultifam ily units was the result principally of the
increase from 8,430 to 17,903 in Federally financed units of this type.
Restrictions on building m aterials wore prim arily responsible for the
fact th a t 2-family and multifamily units increased from 15 percent
of all privately financed units started during the first 3 m onths of 1942
to 21 percent during the same period in 1943. Details on the dis
tribution ot the new dwelling units by type and population group are
given in table 2.
T ab le 2 . — New

Dwelling Units in Nonfarm Areas, First 3 Months of 1942 and 1943,
by Population Group and Type of Dwelling
All types

1-family
dwellings

Population group (1940 census)

M ultifam ily
dwellings 2

F irst 3 m onths of—
1943

Total nonfarm areas.
Percent of change

2-family
dwellings 1

1942

114, 700 138, 300
-1 7 . 1

1943

1942

89, 600 111,800
-1 9 .8

1943

1942

1943

2,700
-6 3 .0

7,200

22, 400
+16.1

19 300

1942

U rban areas, all population groups. .
500,000 population and over___
100,000 to 500,000 population
50,000 to 100,000 population
25,000 to 50,000 population
10,000 to 25,000 population
5,000 to 10,000 population.
2,500 to 5,000 population.

59, 200
9,200
15, 700
10, 900
4,500
10, 800
4,700
3,400

89,800
23, 500
18,800
14,400
8, 300
11,800
8,100
4,900

43, 600
7, 000
11,800
7, 400
2,800
8,100
3, 700
2, 800

64, 500
10, 700
14,900
9,000
7,300
10, 700
7, 300
4, 600

2,600
500
900
200
200
500
300
0

6, 500
2,000
2,100
' 700
600
500
400
200

13, 000
1, 700
3 000
3, 300
1, 500
2, 200
700
600

IS 800
10 800
l ’ 800
4 700
7400
000
400
100

R ural nonfarm areas

55, 500

48, 590

46, 000

47, 300

100

700

9, 409

500

1 Includes 1- and 2-family dwellings w ith stores.
2 Includes m ultifam ily dwellings w ith stores.

Comparison by Geographic Division
The increased concentration of both privately and publicly financed
residential construction in areas of greatly expanded industrial and
other war activity is shown in table 3. New units in the M ountain
States increased 81 percent over the num ber started during the first
quarter of 1942, whereas there was little change in the num ber started
in the Pacific and South Atlantic States. On the other hand the
units started in the Middle Atlantic, W est N orth Central, and E ast
South Central States showed declines of 43, 38, and 56 percent,
respectively, from the corresponding total for 1942. Over half of the
increase during the fourth quarter of 1942 was concentrated in the
South Atlantic States, although all regions except the New England
and E ast South Central States shared in the increase.
Privately financed housing activity, when compared to the first
quarter of 1942, declined in all regions, the decreases in number of
new units ranging from 59 percent for the South Atlantic States to 78
percent for the E ast South Central States. More privately financed
units were started in the South Atlantic States during the first 3
m onths of 1943 than in any other region. This region was also the
onH one showing a substantial increase in this type of construction
as compared with the fourth quarter of 1942.
All g eo g rap h ic d ivisions sh a re d in th e g re a tly e x p a n d ed p u b lic w ar
hou sin g p ro g ram , alth o u g h in v a ry in g degrees. T h e n u m b e r of new
u n its in th e M id d le A tla n tic a n d E a s t S o u th C e n tra l S ta te s increased

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Federal Reserve Bank of St. Louis

1153

Housing Conditions

fa r less, p ro p o rtio n a te ly , th a n did th e to ta ls for regions of g re a te r w a r
ex p an sio n su ch as th e E a s t N o rth C e n tra l, M o u n ta in , a n d P acific
S ta tes.
T a b l e 3 . — New

Dwelling Units in Nonfarm Areas, First and Fourth Quarters of 1942
and First Quarter of 1943, by Geographic Division and Source of Funds
T otal units

Geographic division

N ew dwelling units financed by—

Public funds
P riv ate funds
First Fourth First
quarter quarter quarter First Fo u rth First
F irst F ourth First
1942
1942 quarter quarter quarter quarter
1943
quarter quarter
1942
1942
1942
1942
1943
1943

All divisions______________ 114, 700

89, 200 138, 300

N ew E ngland____________
M iddle A tla n tic -,- . _____
E ast N o rth C e n tra ls _ _
W est N o rth C en tral_____ .
South A tlantic- . ____ . _
E ast South C entral _ .
W est South C entral _ _
M ou n tain ___________ ____
Pacific - _ -

4,600
9, 200
16, 300
2,700
12,800
6,800
9,400
2, 700
24, 700

4, 300
11, 600
16, 900
4,500
26, 200
4,600
11, 500
8,700
26, 400

5, 300
20, 200
21, 800
7,300
27,100
10,400
15, 500
4,800
25, 900

34,177
1,150
3,698
6, 084
1,981
8, 035
1, 760
4,077
1,143
6, 249

44,198 110,912 80, 523
2,089
6, 395
10, 596
1,950
6, 906
1,491
4,802
975
8,994

3,877
15, 270
20,109
7,100
19, 442
8, 028
13, 572
3,238
20, 276

3,150
7,902
10,816
2,519
18,165
2, 840
7,423
7, 557
20,151

45,002

27, 388

2, 511
2,805
5,704
750
5, 894
5, 309
4,598
1, 725
15, 706

1,423
4, 930
1,691
200
7, 658
2,372
1,928
1,562
5, 624

T a b l e 4 . — New

Dwelling Units in Nonfarm Areas, First and Fourth Quarters of 1942
and First Quarter of 1943, by Geographic Division and Type of Dwelling
1-family

All types
Geographic division

All divisions- . .
N ew E ng lan d_________________________
M iddle A tlan tic____
_
E ast N o rth C entral______________
...
W est N o rth C entral . .
.
. _ .
South A tlantic. .
E ast South C entral - ________________
W est South C en tral____________________
M o u n tain ____________ - __________ .
Pacific._ .
.. . _

First
quarter
1943

F o u rth
quarter
1942

First
quarter
1942

F irst
quarter
1943

F o u rth
quarter
1942

114, 700

89, 200

138, 300

89, 600

66, 200

111,700

4,300
11, 600
16,900
4,500
26, 200
4,600
11, 500
8,700
26, 400

4, 600
9, 200
16, 300
2.700
12,800
6,800
9,400
2.700
24, 700

5, 300
20, 200
21,800
7, 300
27,100
10, 400
15,500
4,800
25, 900

3.100
9,700
14, 300
3, 400
18, 200
4,000
9.100
5,800
22, 000

2.900
6.900
14,100
2.400
8.700
2.400
8.700
2,500
17, 600

4.800
15,000
19, 800
6,400
18, 700
8.800
14, 300
4, 400
19, 500

M ultifam ily 2

2-family 1
Geographic division

All divisions

...

_ __

-

N ew England _ ____________________
M iddle A tlan tic_______________________
E ast N o rth C entral .
. ___
_ ___
W est N o rth C en tral. ____
- - - - - - __
South A tlan tic________________________
E ast South C entral
_ _____
W est South C entral - __ _____ - - - - - M o u n tain _____________________________
Pacific____________________________ ___

First
quarter
1943

Fo u rth
quarter
1942

First
quarter
1942

First
quarter
1943

Fourth
quarter
1942

2,700

3, 700

7, 300

22,400

19, 300

19,300

0
700
600
400
400
100
100
200
200

0
1, 300
1,100
100
300
0
600
100
200

300
1,400
1, 200
200
1,000
1, 300
700
200
1,000

1,200
1, 200
2,000
700
7,600
500
2, 300
2, 700
4, 200

1,700
1,000
1,100
200
3, 800
4,400
100
100
6, 900

200
3,800
800
700
7, 400
300
500
200
5,400

1 Includes 1- and 2-family dwellings w ith stores.
2 Includes m ultifam ily dwellings w ith stores.


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Federal Reserve Bank of St. Louis

First
quarter
1942

F irst
quarter
1942

1154

Monthly Labor Review

June 1943

M ultifamily units continued to be concentrated largely in the South
Atlantic and Pacific States. The num ber of such units put under
construction in the Middle Atlantic States in the first quarter of 1943
was less than a third of the corresponding total for 1942, thus showing
a continuation of a downward trend which has been evident since
1940. All other regions except the E ast South Central had substan
tial increases in the volume of this type of unit, principally as a result
of the large num ber of such units in war housing projects. The
num ber of 2-family units decreased in all regions except the W est
N orth Central and M ountain States.

Estimated Permit I aluation
The perm it valuations of the 114,700 new nonfarm family dwelling
units started during the first 3 m onths of 1943 were estimated to
aggregate $263,594,000, a decrease of 53 percent from the $464,047,000
estimated total for the same period in 1942. This disproportionate
decrease in valuations when compared to the 17-percent decrease in
the num ber of dwelling units is due in p art to the increased proportion
of publicly financed units and in p art to substantially lower average
valuations of both publicly and privately financed units. The 17percent drop th a t occurred in the average perm it valuation of privately
financed units was caused primarily by construction-cost limitations,
imposed by W PB ’s Conservation Order L-41 on April 9, 1942. The
shift in the Federal war housing program from perm anent- to tempo
rary-type units is reflected in the 43-percent decrease in the average
cost of these units. Care should be exercised when comparing the
public and private aggregates shown in table 5, since the figures for
public housing are construction-contract values rather than perm it
valuations (which latter understate construction costs by about
15.5 percent). W hen allowance is made for this understatem ent of
privately financed housing costs, it is estimated th a t construction of
the units started during the first quarter of 1943 will involve expendi
tures of approximately $280,000,000.
T a b l e 5 . — Estimated

Permit Valuation of New Dwellings in Nonfarm Areas, First 3
Months of 1942 and 1943, by Geographic Division and Source of Funds
[In thousands of dollars]
Total

P rivate

Geographic division

All divisions.

______________ . .

N ew E n g lan d ..
_ _
M iddle A tlantic - E ast N o rth C entral-_ _ _
W est N o rth C entral _. .
South A tlantic--.
- _
E ast South C entralW est South C en tral____________ ______
M o u n ta in .- __ _ _ ___ ±_____ . .
Pacific.
- - . ___
.
.
1 C ontract values.


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Federal Reserve Bank of St. Louis

Public 1

F irst 3 m onths of —
1943

1942

263, 594

464, 047

10, 239
30, 827
47, 951
9,287
60, 403
7, 517
21,483
20, 094
55, 793

21, 485
79,130
90, 266
22, 291
85, 401
26, 946
41, 402
15, 124
82, 002

1942

1943

96, 290

364, 916

167, 304

99,131

4, 465
11, 918
23, 214
4, 693
21,065
2, 964
7, 790
2, 895
17, 286

16, 326
60, 379
83, 577
21,991
54, 461
17,841
36,849
9, 295
64,197

5, 774
18, 909
24, 737
4, 594
39, 338
4, 553
13, 693
17,199
38, 507

5,159
18, 751
6,689
300
30, 940
9,105
4, 553
5, 829
17, 805

1943

1942

IIousing Con ditions

1155

POSITION OF BRITISH BUILDING SOCIETIES IN 1942
T H E financial position of British building societies showed an improve
m ent in 1942 for the first time since the outset of the present war. In
an article published in the Federal Home Loan Bank Review, it is
stated th a t 3 years of operation under a policy of “prudent retrench
m ent” appear to have brought the societies which are counteipai ts of
building and loan associations in the United States and are im portant
to the wage earner in financing low-cost housing—through the worst of
the difficulties created by the war. As the rate of air-raid damage has
remained low in recent months, the article here reviewed states, the
low point in the financial strain on building societies m ay have been
Dassed.
In 1941, assets declined, fractionally, owing to heavy mortgage
repaym ent, curtailed lending opportunities, and substantial but not
serious withdrawals of share capital and deposits. _A few institutions
in the N orth of England were able to improve their position in 1941,
but in the South, particularly in and near London, where air-raid
damage was heavy, share accounts and assets contracted considerably.
However, the 1942 reports for a roughly similar group of institutions
show th a t assets of the greater num ber of them increased m th a t year
for the first time since war was declared. W ithdrawals were a t a
3-year low level; new investments and deposits were received m large
volume; and m any institutions made a substantial num ber of new
loans. The improvement appeared to be general, affecting institu
tions in sections as widely separated as Scotland and the South of
England.

Changes in Assets

At the end of 1939, the assets of 950 operating building societies
in G reat B ritain were a t a peak of $3,093,000,000,2 and they declined at
the rates of 2 and 1 percent, respectively, in the following 2 years.
From these statistics it is obvious th a t the basic resources of the
societies were never seriously impaired by the damage done in the
Battle of Britain. The gains which appear to have taken place m
1942 probably brought total assets above the $3,000,000,000 mark
agW ithdrawals of share capital dropped to a wartime low in 1942.
One institution reported th a t the aggregate withdrawals were $4,000,000 below those of 1941. Others reported th a t share repurchases were
smaller than a t any time in the past decade. The societies were more
concerned over stemming the flow of funds into the societies than
over the withdrawals. Almost without exception, the records showed
a substantial volume of new investments and deposits, and near y
every institution had a net increase in share investments during 1942.
In the earlier war years, deposit accounts tended to contract more
rapidly than shares. L ast year, the trends in the movement of deposit
accounts varied as between societies. Such decreases as occuiiea
were the result of restrictions placed on new deposits and of planned
retirem ent of accounts accepted on special terms.
M ortgage repaym ents during 1942 were equal to or greater than
those of previous war years. Some records were established in mort1 Federal Home Loan B ank Review (W ashington, D . C.), April 1943 (pp. 201 203).
2 T he pound was converted to U nited States currency at the rate of $4,
5 2 9 0 S5 —

43-----S


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Federal Reserve Bank of St. Louis

1156

Monthly Labor- Review— June 1943

gage re p a y m e n ts as, fo r exam ple, in one so ciety in w h ich p a y m e n ts in
full o n m o rtg a g e ac c o u n ts rose b y 40 p e rc e n t. ' N ew lo an s h a v e offset
re p a y m e n ts m v a ry in g degree. Som e societies a d o p te d th e p olicy of
m a k in g lo an s o n ly w h ere n ec essary to refin an ce existing o b lig atio n s;
o th e rs m ad e a s u b s ta n tia l n u m b e r of lo an s for th e p u rc h ase of existing
housing. F ro m th e fa c ts av a ila b le , th e F e d e ra l H om e L o an B a n k
B o a rd a rtic le con clu d es t h a t th e to ta l m o rtg ag e hold in g s of th e
B ritis h b u ild in g societies re g istered a n o th e r s u b s ta n tia l p ercen tag e
decline m 1942. S ince th ese a sse ts w ere 10 p e rc e n t below p re -w ar
levels a t th e end of 1941, th e y w ere p ro b a b ly as m u ch as o n e-eig h th
below th e 1939 level, a t th e end of 1942.

Liquidity of Funds
Liquid l esources gained in 1942 as a result of the reduction m m ort
gage assets, the gain in share capital, and the heavy mortgage repay
ments. Cash holdings increased moderately, b u t the Governmentinvestm ent account grew a t a more rapid rate. Deposits in postal
savings weie also large. 1 he liquidity ratios of four representative
societies, showing the gain in liquidity over the past 3 years, are pre
sented m the following table. These societies have combined assets
ol several hundred million dollars.
Liquidity Position of Four British Building Societies
R atio of cash and invest
m ents to total assets

Cash and investm ents i
In stitu tio n

B u rn ley ___
Leeds P erm an en t_____
N ational
W oolwich E q u itab le _

1942

1941

$13,878, 000
28.170.000
11.109.000
19, 000, 000

$10, 577, 000
17, 788, 000
7, 082, 000
14, 059, 000

1940
$6, 597, 000
10, 580, 000
4,105, 000
11, 229, 000

1942
22.0
17.0
8.0
13.0

1941
17.1
10. 9
5.4
9. 4

1940
■
10.8
6.5
3.0
7.3

1 C onverted a t the rate of $4 to £1.

Earnings and Dividends
T he re c e n t sh ift in th e co m p o sitio n of a ssets, a n d th e la rg e r p ro p o r
tio n ol in v e stm e n ts y ield in g a sm aller re tu rn , h a v e com bined to
re d u c e th e earn in g s still m ore. O p e ra tin g costs, p a rtic u la rly fo r in 
com e tax es, a m o u n te d in som e in sta n c e s to as m u ch as 1.5 p e rc e n t of
to ta l sh a re c a p ita l a n d d ep o sits. N o re d u c tio n is foreseen in such costs
a n d th e y m a y be g re a te r in com ing y ea rs. A n o th e r h e a v y d ra in on
earn in g s is th e co st of co m p u lso ry w a r-d a m a g e in su ran c e. " A lth o u g h
su ch in su ra n c e p a y m e n ts are in th e n a tu re of a c a p ita l ta x som e
societies h a v e p re fe rre d to m e e t th e m o u t of reserv es b u ilt from
c u r re n t incom e.
D iv id e n d ra te s w ere g en e rally re d u c e d in 1942 to a tax -free r e tu r n
m 2.5 p e rc e n t lo r sh a re a c c o u n ts a n d 2.25 p e rc e n t fo r deposits. F u r 
th e r re d u c tio n s w ere m a d e d u rin g 1942 in som e in stan ce s. W h en
tlie p re s id e n t of one so ciety a n n o u n c ed th e re d u c tio n of d iv id en d s to
-.2 n p e rc e n t o n sh a re ac c o u n ts a n d to from 1.75 to 2 p e rc e n t on
dep o sits, h e s ta te d t h a t th e ch a n g e w as in line w ith actio n ta k e n bv
m an y o th e r in s titu tio n s . E v e n a fte r th e d iv id en d s w ere low ered he
p o in te d o u t, th e y w ere h ig h e r th a n co u ld be o b ta in e d fro m o th e r tv p es


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Federal Reserve Bank of St. Louis

Housing Conditions

1157

of in v e s tm e n t. I n som e societies o ld er sh areh o ld ers w ere re w ard e d ,
as for exam ple, b y p a y m e n t of a bo n u s on old-series sh ares w hich w ere
no lon g er o p en to new in v e s tm e n t, o r b y m a k in g th e d iv id en d r a te on
re c e n t in v e s tm e n ts a n d d ep o sits low er th a n on lo n g -sta n d in g a c co u n ts.

Resumption of Mortgage Lending
The danger of lending when prices are high was recognized in 1942
as well as in 1941. Some buildings were priced 40 to 50 percent higher
than in 1939. Since the war began the societies have been reluctant
to enter into new mortgage commitments, and some still take the
position th a t existing conditions do not w arrant resum ption of m ort
gage lending. Among this group are certain smaller societies which
m ade no loans during 1942. However, other societies, including the
larger ones, resumed “normal mortgage business on a m oderate scale.”
A single organization made 1,000 loans totaling over $2,000,000.
To some extent the new lending involved the rewriting of existing con
tracts, bu t some societies financed a considerable num ber of home
purchases.


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Federal Reserve Bank of St. Louis

Legal Aid

LEGAL-AID WORK IN THE UNITED STATES, 19411
IN 1941 there were 143 legal-aid organizations of the service type in
the United States. This figure does not include 11 law-school clinics
which render legal aid by help extended to local legal-aid organizations.
In addition there were 18 State bar-association committees and 102
local bar-association committees, whose functions, as far as was
known by the secretary of the N ational Association of Legal Aid
Organizations, did not cover the actual representation of clients;
nor did the total of 143 include the State and regional aid associations
developed for case referrals.
The 143 service organizations included the following: Independent
legal-aid societies, 32; departm ents of public or private social agencies,
16; bar-association committees with offices and paid staff, 8; public
bureaus, 4; volunteer committees, 51; law-school clinics, 8; public
defenders, 18; and voluntary defenders, 6. Although these figures
are considered encouraging, the secretary of the association reported
to the 1942 conference of the organization th a t of 91 cities in the
United States, each of which had a population of more than 100,000,
there were 24 with no legal-aid facilities of any type,2 19 had the
services of a volunteer committee only, and 1 other had only the help
of a public defender.
Die reported legal-aid work in the United States in the year 1941
included in round numbers the handling of 295,200 new and reopened
cases and the collection of $339,000 for clients.3 The gross cost of
operation was approxim ately $698,000 and the fees and commissions
received amounted to about $36,800.
' D ata are from com m ittee reports and proceedings of N ational Association of Legal A id Organizations,
1942 (mimeographed), Rochester, 25 Exchange Street, [1942?].
2 Akron, Ohio; Birm ingham , Ala.; C harlotte, N . C.; Chattanooga, Tenn.; D u lu th , M inn.; Elizabeth,
N . L ; F all River, M ass.; F o rt W ayne, Ind.; F o rt W orth, Tex.; Gary, Ind.; H ouston, Tex.; Jersey C ity,
N . J.; Lowell, M ass.; M em phis, Tenn.; Norfolk, Va.; Paterson, N . J.; Somerville, M ass.; Spokane, W ash.;
Syracuse, N . Y.; Tacoma, W ash.; T renton, N . J.; U tica, N . Y .; W ichita, Kans.; and W ilmington, Del.
3 Includes only collections passing through books of organizations. (See footnote 2 to table 1.)

1158


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Federal Reserve Bank of St. Louis

Legal A id
T able

1159

1.— Statistics of Legal-Aid Work in the United States in 1941

C ity

Y ear as
cost
sociation Population N ew cases Collected Gross
opera
estab
handled 1 for clien ts2 of tion
served
5
lished

Fees and
commis
sions 4

Reporting members of National
Association
A lbany, N . Y ________________
A tlanta, G a_________________
Baltim ore, M d _______________
Boston, M ass________________
B ridgeport, C onn_________ _
Buffalo, N . Y ________________
C am bridge, M ass____________
Chicago, 111.5_________________
Chicago, 111.6_________________
C incinnati, Ohio_____________

1923
1924
1929
1900
1918
1912
1914
1886
1895
1908

135, 000
302,000
1, 000,000
2,000,000
146, 716
719,195
200,000
4, 853, 363
300,000
789, 309

830
3,044
4,780
9,311
1,178
4, 965
730
14, 295
1,005
6, 362

$4, 361
6,753
4, 929
4, 744
2, 891
3,218
270
57,652
3, 235
3, 244

$3, 774
8, 733
18,550
45, 737
2, 820
31,015
1,546
52, 167
(7)
9, 809

Cleveland, O hio_____________
C olum bus, Ohio-------------------Dallas, T ex --------------------------D enver, Colo________________
Des M oines, Io w a____________
D etroit, M ich ________________
D urham , N . C _______________
Erie, P a _____________________
G rand R apids, M ich -------------H arrisburg, P a ----------------------

1905
1935
1915
1925
1935
1909
1931
1939
1921
1940

1, 250,000
300, 000
360,212
320,000
190, 000
2,000,000
80, 244
175,000
209, 873
165,000

5, 666
416
1,544
2, 552
257
20, 320
399
309
1, 290
75

5, 239
(s)
1, 623

13, 769
(9)
1,544
6, 183
500
36, 779
(«)
1,248
5,000
557

H artford, C onn______________
Indianapolis, I n d ------------------Jacksonville, F la_____________
K ansas C ity, M o ------------------Los Angeles, C alif____________
Louisville, K y _______________
M adison, W is ---------------------M ilw aukee, W is--------------------M inneapolis, M in n ---------------N ew Bedford, M ass__________

1927
1941
1931
1910
1929
1921
1931
1916
1912
1923

177, 348
456, 669
210,000
500, 000
2,000,000
385; 000
130, 660
766, 885
485,000
110,000

966
660
694
6,976
3, 792
9, 561
298
2, 896
2, 068
(10)

(8)
1, 957
216
2,021

N ew H aven, C onn___________
N ew Orleans, L a _____________
N ew Y ork, N . Y .n ___________
New Y ork, N . Y .12___________
O akland, Calif_______________
Philadelphia, P a _____________
P ittsburgh , P a _______________
Portland, Oreg________
---Providence, R. I _____________
R ichm ond, V a_______

1927
1932
1876
1910
1929
1901
1901
1935
1921
1935

168,000
523, 000
6,054', 000
(13)
446,000
2,000,000
1, 411, 539
350,000
300, 000
247, 000

2,954
398
28, 637
I, 733
2,233
9, 598
4,420
1,239
851
81

1,357
1,178
58, 318

Rochester, N . Y --------------------Salt Lake C ity, U ta h _________
San Francisco, Calif__________
Springfield, M ass------------------St. Louis, M o ------------------------St. Paul, M in n _______________
T am pa, F la __________________
W ashington, D. C ____________
Y onkers, N . Y _______________

1910
1921
1916
1925
1912
1913
1938
1932
1916

350,000
150, 000
575,000
149, 554
900,000
288, 737
181, 000
1, 000, 000
142, 642

3,206
483
3, 210
3, 251
1, 147
684
19
2,165
89

A ustin, T e x .. ---------------------B ay C ity, M ich --------------------B ay Shore, N . Y _____________
Cam den, N . J ________________
Carlisle, P a __________________
D ecatur, 111__________________
Greensboro, N . C _____________
Greenville, S. C --------------------H ackensack, N . J _____________
H artford, C onn_____________

1940
1940
1940
1940
1936
1938
1939
1941
1938

100, 000
70, 000
10, 000
255, 700
75; 000
75, 000
80,000
74, 767
400, 000
20, 000

118
6
67
40
20
35
15
34
88
14

Ithaca, N . Y _ ------ ----------------Lansing, M ich _______________
Long Beach, C aljL ___________
N ashville, Tenn„_____________
N ew ark, N . J ________________
N orristow n, P a ---------------------Pasadena, Calif_______________
P e rth Amboy, N . J ___________

1940
1940
1930
1921
1920
1937
1935
1939

0«)
100, 000
250,000
257| 411
600, 000
290, 000
80. 000
90,000

50
96
380
125
3, 731
30
39
16

51, 374
5,055
12

(8)

75
4, 935
3,174

2, 704
4, 195
3, 524
8, 279
9, 496
11,100
786
7, 257
8,779

$426
523
9,819
884
144
1, 145
1,348
903

1,840
298

37
85

2, 480
121, 924
22, 589
4, 844
26, 747
10, 900
(1°)
7,405
1,432

13, 876

11, 971
120
4,418
(8)
5, 770
( 8)

13, 829
1,400
12, 500
6, 592
8,105
6, 621

328

11,632
(8)

6, 305
(7)

48, 493
5, 431
6,623
972

3,387
296

308

Reporting nonmembers

See fo o tn o te s a t e n d o f ta b le .


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Federal Reserve Bank of St. Louis

(9)
540

M 40

(s)

(7)
(•)
(8)

129

720

63
915

750
4,151
H 15

3
1, 001
1

1160
T able

M o n th ly L a b o r R e v ie w — J u n e 1943

1.— Statistics of Legal-Aid Work in the United States in 1941— C o n tin u e d
Y ear as
sociation
estab
lished

C ity

Population N ew cases Collected Gross cost
served
handled 1 for clie n ts2 of opera
tion 3

Reporting nonmembers—Con.
Plainfield, N . J_
San Antonio, Tex
Schenectady, N . Y ___
South Bend, Ind_ _
Toledo, O hkn . _
Tulsa, O k la ,.
___ _

1940
1917
1938
1940
1925
1939

70,000
306, 225
122, 000
105,000
500, 000
142, 000

()

4
551
27
4
14
29
951

W ashington, D . C.^_ _
W aukegan, 111_________
Wellsboro, P a ________
W illiam sport, P a ____ ____
Worcester, M ass _ .

1938
1930
1941
1941

104,000
10, 000
100,000
193, 402

212
28
28
32

15

$2, 515

(8)

Fees and
commis
sions 4

$2, 093

$142

1.300

(8)

,“
es cases reNcted a t first interview and cases rejected after an investigation as to means
2 Where no am ount is reported and no note reference given, no collections were shown on the books of the
organization. T h e sums reported include only moneys collected a t the office and passing through the books
of the .organizations. N o t included are moneys reported to have been paid direct to clients as a result of
the service, as follows:
A ustin, T ex---------------------------------- $2, 741.93 Philadelphia, P a _____ ______________$55,924.74
Baltim ore, M d ___________________ 42,292.11 Providence, R . I __________________
1,000.00
Buffalo, N . Y ------------------------------- 129, 797. 61 Rochester, N . Y __________________
3, 503.64
Chicago, 111---------------------------------- 25,376.61 W ashington, D . C ________________ 10,188.36
1,378.00
Cleveland, Ohio__________________
Erie, P a ------------------------------469.67
T o tal----------------------------------- 274,096.44
Jacksonville, E ia__________________
1,423.77
! w u 6re no am ount is reported and no note reference given the staff is entirely voluntary.
4 \\ here no am ount is reported and no note reference given no fee or commission was paid
5 Legal Aid Bureau.
8 Jew ish Social Service Bureau.
7 Cost cannot be com puted as legal aid is one of several services
8 No record.
8 Law school clinic—applicable cost cannot be com puted.
10 N o t reported.
11 Legal Aid Society.
12 N ational D esertion Bureau.
13 Serves Jewish population of the U nited States.
14 Staff entirely voluntary.
18 B ar Association com m ittee giving legal-aid service supplem entary to m em ber organization previously

The statistics shown in table 1 represent only a partial coverage—
th at furnished by reporting organizations (48 out of 49 member
organizations in the United States, 29 out of 98 nonm em ber organi
zations, and 14 out of 24fpublic and voluntary defenders).
1

able

2 . — II

ork of Public and Voluntary Defenders, 1941

C ity

Year
agency
was
estab
lished

T ype of
agency

New
Population
cases
served
handled

Boston, M ass__________
C incinnati, Ohio 1 ____
C olum bus, O hio_______
Fairfield C ounty, Conn..
H artford, C onn. ___
Los Angeles, Calif, (city)
N ew Orleans, La 4____.1.

1935
1928
1914
1917
1917
1915
1940

V o lu n ta ry .
____do.2 . _
P u b li c ___
____do _____
____d o ___ _
------d o . ____
V oluntary A

2, 000, 000
789, 309
306, 087
400, 000
450, 000
1, 625, 000
523,000

466
1,026
4.152
107
115
96. 276
640

New Y ork, N . Y.»_____
Oakland, C alif_______
O maha, N e b r________
Pittsb u rg h , P a .1_______
Philadelphia, P a ______
San Francisco, Calif____
Tulsa, O kla____________

1917 ____do.2___
1926 P u b lic_____
1913 ------d o _____
1901 V oluntary A
1934 V o lu n tary. _
1921 P u b lic____
1937 ____d o _____

1, 639, 000
506,190
250, 000
1,411, 539
2, 000,000
700, 000
222, 000

3, 999
582
2, 750
767
2,157
6 1, 433
360

1 Legal Aid Society.

2D epartm ent of te g a ] Aid Society.
? N ot reported.


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Federal Reserve Bank of St. Louis

4Legal Aid Bureau.
5C rim inal courts defender,
8Staff entirely voluntary.

Gross
cost of
operation

$5. 789
1,500
4, 787
2, 448
( 3)

37, 766
4, 589

30.476
14, 266
7.000
8.000

21,083
1,800

Health and Industrial Accidents

IN D U S T R IA L IN JU R IE S , F E B R U A R Y

1943

R E PO R TS from 8,952 m anufacturing plants listed a total of 18,083
disabling injuries as having occurred during February 1943. The
reporting plants employed 4,740,492 workers, or about 30 percent
of the num ber estim ated by the Bureau of Labor Statistics as being
employed in m anufacturing in th a t m onth. The total num ber of
disabling injuries suffered by workers in all m anufacturing plants
of the United States during February may reasonably be estim ated
therefore, as about 60,000, or approximately the same as in the
previous month.
Serious injuries, however, were considerably more prevalent m
February than in January. Proportionately, the num ber of fatal
cases doubled, rising from 0.3 percent of all reported injuries in
January to 0.6 percent in February. The proportionate num ber of
cases resulting in perm anent physical im pairm ent also rose substan
tially, although less spectacularly. In February 5.2 percent of all
reported injuries produced some perm anent impairm ent, in compari
son w ith 3.3 percent in January. Correspondingly, the proportion
of cases resulting in lost time but not causing any perm anent impair
ments, fell from 96.4 percent in January to 94.2 percent in February.
Com parative injury-frequency rates representing the combined
experience of the plants reporting in each industry classification for
which a representative sample was obtained, are shown in table 1. As
would be expected, there were wide variations between the January
and February frequency rates for m any of the industry groups. In
8 of the 54 listed industries these variations resulted in an increase
of more than 5 points in the frequency rate, as compared with the
previous m onth. On the other hand, 6 industries had I ebruary
frequency rates th a t were more than 5 points lower than the corre
sponding rates for January.
Fluctuations of this type in the m onthly frequency rates are largely
due to the comparatively small num ber of injuries and employeehours used in the com putation of the rates. A relatively small
change either in the actual num ber of injuries or in the num ber of
employee-hours worked will produce a large difference in the frequency
rate when the period covered by the rate is short. Greater stability
is achieved in the cumulative frequency rates, which absorb and dis
tribute the chance fluctuations of particular m onths and reflect
average conditions over a longer period. M onthly frequency rates
and the m onth-to-m onth changes in those rates are of considerable
value, however, as indicators of the current volume of accidents and
of the immediate trend in accident occurrence. The evaluation of
a rate for any m onth should be made only w ith due consideration of
the general level m aintained in the rates for previous months.

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Federal Reserve Bank of St. Louis

1161

1162

M o n th ly L a h o r R e v ie w — J u n e 1943

The highest industry frequency rate for the 2-month period of
January and February was in the slaughtering and m eat-packing
plants, which had an average of 43.7 disabling injuries for every
million employee-hours worked during the period. The group of
foundry plants, however, had an only slightly lower (43.6) cumulative
frequency rate for the 2-month period. A t the other end of the
scale there were seven industry groups which had cumulative fre
quency rates of less than 10. It is particularly interesting to note
th a t three of the seven industries in the low-frequency-rate range are
composed of plants directly engaged in producing ordnance material.
The comparatively low frequency rates for the aircraft industry, the
m anufacture of sighting and fire-control equipment, and the smallaim s industry, serve to indicate th a t safety can be practiced even
under extreme pressure for production.
Industrial Injury-Frequency1 Rates for Selected Manufacturing Industries, January
and February 1943, With Cumulative Rates
F ebruary
In d u stry 2

N um ber
of estab
lishm ents

Frequency
rate 3

Jan u ary
frequency
rate 3

A gricultural m achinery and tractors
A ircraft________
A ircraft parts
A m m unition, except small arms
Boots and shoes, other th a n rubber
C anning and preserving
C arpets and rugs___
C em ent-. _
Chemicals, industrial -

38

15.2

80
216
292
33
11
90
101

17.8
30.1
12.6
20. 1
24. 7

Clothing, m en’s____
Clothing, wom en’s
Construction and m ining m achinery
Corrugated boxes. __
C otton goods___
C utlery and edge tools
D ruggist preparations _
D yeing and finishing
Electrical equipm ent and supplies.

450
342
71
84
96
18
41
33
445

6.6
5.4
26.8
43.8

F abricated stru ctu ral steel
Fiber boxes.
Forgings, iron and steel .
Foundries, iron and steel
F urniture, except metal
General industrial m achinery
G lass.__ _
G uns and related equipm ent
H a rd w are.._

87
30
115
534
44
612
19
92
35

27.5
27.1
33.5
46.9
23.8
25. 1
14.1
18.9

26. 5
23.0
14.2
17.1

Iron and steel __
K n it goods.
M etal-working m achinery
M otor vehicles.
M otor-vehicle parts
Nonferrous-metal products
P a p e r____
Paper and pulp (integrated)
Radios and phonographs

258
51
485
102
39
289
216
67
123

12.0
20.3

20. 2

26.7
22. 9

22. 7
26.1

23.0
8 8

23.7
9.0

R ailroad equipm ent
R ayon and allied products .
R ubber tires
Set-up boxes. _
S hipbuilding.. _
Sighting and fire-control equipm ent
Slaughtering and m eat packing
Small arm s .
Smelting and refining (nonferrous m etals)

29
9
25
253
123
24
170
31
131

See fo o tn o te s a t en d o f ta b le .


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12.2
9.5
14.2
29.3
12. 9
20.8

13.3

12.3
19.6
23.1
12. 3

5.1
30.3
?•>' l'" 8
12.0
35.6
29. 4

J an u a ry February
cum ulative
frequency
rate
13.7
9.5
16.4
29.7
12.7
20.5
17.8
10.5
12.7
8. 1
5.2
28.5
37. 1
13.8
18.4
16.8
19. 1
12.1
31.2
28.4
35.9
43.6
25.2
23.9
14. 1
18. 1
20.1
12.5

24.6
30.7
23.4
8.9

25.3
9.5

3.8

9.3
45.6

m r
^9 ^
9.9
42.1

9.5
43.7

25.1

27! 9

26.6

1163

H e a lth a n d I n d u s tr ia l A c c id e n ts

Industrial Injury-Frequency 1 Rates for Selected Manufacturing Industries, January
and February 1943, With Cumulative Rates—Continued
F ebruary
In d u stry 2

N um ber
of estab
lishm ents

Frequency
rate 3

253
76
48
21
32
30
40
117
127

39.6
33.4
35. 7
5.1
17.5
15.8
21.9
20. 2
17.9

Stam ped and pressed m etal products--- Steam fitting and apparatus- _
-- Stoves and furnaces, not electric__________ _________
Tanks, m ilitary
_ _
T a n k parts, m ilitary - - T in cans and other tinw are.
- _
Tools, except edge tools
____
W ire and wire products
__ _
Woolen goods.- _ _

January
frequency
rate 3

J an u a ry F ebruary
cum ulative
frequency
rate

31.7
31.1
32.1
19. 5
18.1
20.7
23. 1
24.8
17.8

35.3
32.1
34.2
10.4
17.8
17.9
22. 4
22.3
17.8

1 T he frequency rate represents the average num ber of disabling industrial injuries for each million em
ployee-hours worked.
2 A few industries included in th e B ureau’s survey have been om itted from this table because the cover
age for the m onth did not am ount to 2,000,000 or more employee-hours worked.
3 C om puted from all reports received for each m onth. N ot based upon identical plants in the 2 m onths.
+*+**+•

IN D U S T R IA L H E A L T H A N D H O U R S O F W O R K
G R E A T B R IT A IN

IN

IN G reat B ritain the effect of long working hours on the health and
efficiency of the workers lias been a m atter of concern to the Govern
m ent since the period after the fall of France, when excessive hours
were worked in the effort to make up the loss of m aterial suffered in
the withdrawal of the Expeditionary Force from France and the
losses resulting from the system atic bombing of England. Although
much has been accomplished in reducing excessive working hours,
the Chief Inspector of Factories stated in his latest annual report
th a t a good deal of time had been spent by his departm ent in trying
to convince even the supply departm ents th a t overlong hours of work
lead to decreased output.
A recent report issued by the British Association for Labor Legisla
tio n 1 emphasizes the effect of long hours on sickness and absenteeism
rates and on efficiency of production, with particular reference to
woman workers. In the introduction to the report it is pointed out
th a t there is a persistent delusion th a t long hours result in increased
production. Although women are usually employed on lighter work
than men, and work shorter hours, evidence presented in the report
shows th a t they are more easily fatigued than men. Aside from the
weaker physique of women, their duties outside factory hours are
much heavier in wartim e than in peacetime. F ar more time has to
be spent shopping and in travel between home and factory; in addition,
overcrowded and uncomfortable lodgings m ay prevent their getting
proper rest at night. An increasing num ber of women being drafted
into industry are m arried women, who for patriotic reasons have taken
up war work, though they may have the care of one or more children.
In different factories engaged on the same type of work the ratio of
women in the total employed varies greatly, but in royal ordnance
factories women now constitute no less than 60 percent of the total
1 H ours of work and th eir influence on health and efficiency, b y H . M . Vernon, w ith introduction by
M egan Lloyd George. London, B ritish Association for Labor Legislation, 1943.


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1164

M o n th ly L a b o r R e v ie w — J u n e 1943

force. In spite of the increased demands on women, those women
between the ages of 20 and 45 are now required to do fireguard duty
if they do not work for 55 hours a week. The author of the report
under review considers th a t the fatigue arising from the long hours
combined w ith fireguard duty, if continued over long periods, is
likely to reduce efficiency, increase liability to sickness, and induce
absenteeism. In the interests of production he considers th a t the
provisions of the Factories Act, which in general fix a 48-hour week
for women, should be followed, with a tem porary 54-hour week in
times of special need. Young women of 16 and 17 years of age should
seldom be called on to work more than 48 hours a week, and young
men of the same ages not more than 54 hours. Boys and girls of
14 and 15 should be limited to 44 hours a week as a rule and only very
exceptionally work 48 hours. For men a working week in excess of
60 hours, it is said, does not lead to an increase in production, and for
heavy work shorter hours are advisable.


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Indus tria 1 Relati ons

U N IO N A G R E E M E N T S

W IT H M U N I C I P A L IT IE S 1

T H E phraseology and m atters covered in union agreements with
municipalities are very similar to those in agreements with private
employers. All of such agreements are bilateral and signed by the
public party and the union representatives. All cover such employ
m ent relationship issues as union recognition, seniority rules, wages,
and grievance adjustm ents.
The Bureau of Labor Statistics has 32 agreements in its files which
have been negotiated with municipalities by either the American
Federation of State, County and M unicipal Employees (A. F. of L.)
or the State, County and M unicipal Workers of America (C. I. O.).
In addition, there are a number of unilateral statem ents and memo
randa affecting the labor relations of municipalities. There are also
agreements with municipalities which have been negotiated by
unions (Team sters’ Union, Brotherhood of Electrical Workers, and
the Street and Electric Railway Employees, etc.) whose jurisdiction
only incidentally takes in municipalities. Agreements with unions
have been entered into by other governmental units, such as counties,
States, Tennessee Valley Authority, etc.; this analysis, however, is
confined to municipal agreements with the two unions of government
employees, mentioned above, whose jurisdiction is limited to public
employees not in the service of the Federal Government.
In some cases, an agreement with a m unicipality has been formally
adopted by the city council which has authorized the mayor and the
city clerk to affix their signatures. Where a departm ent or municipal
board enters into an agreement, the signatures of the departm ent head
or of the board members and board chairman are affixed. An agree
m ent covering employees in all or several departm ents of the city
government m ay bear the signatures of the mayor, the departm ent
heads, the city attorney, the comptroller, the city clerk, and the
president of the board of estimate or equivalent appropriationsmaking body.
Introductory or preamble statem ents in the agreements with munici
palities commonly touch on the desirability of improving employment
relations through the operation of the agreement. One agreement
contains the statem ent: “The employees of our city suffer from the
same economic ills as do workers in private industries and are there
fore entitled to a measure of protection th a t a labor union agreement
m ay afford.” In some cases there is a qualifying statem ent to the
effect th a t local ordinances or the city charter shall be the controlling
factor in the event of conflict over any terms of the agreement. A
considerable num ber of the agreements specifically state th a t em1 Prepared in th e B ureau’s Industrial Relations D ivision b y Jonas Silver.


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1165

1166

M o n th ly L a b o r R eview — J u n e 1943

ployees shall not be discriminated against because of union member
ship; in one the nondiscrimination provision includes the clause,
“of race, religion, because of membership in or activity in any group
or organization, except membership in any organization which is
detrim ental to our form of government. ”
W ith the exception of Philadelphia, the cities which have reached
bilateral signed union agreements through collective bargaining with
these two unions, are places of 100,000 population or less. Most of
these cities are in M ichigan, Wisconsin, and Pennsylvania. Generally
the workers covered by these agreements are mechanics, street
cleaners, janitors, laborers, truck drivers, attendants, etc., b u t whitecollar groups (clerks, stenographers, teachers) and superintendents and
foremen are included in some agreements.

Union Organizations Involved
As noted, the American Federation of State, County and M unicipal
Employees (A. F. of L.) and the State, County and Municipal
Workers of America (C. 1. O.) include within their jurisdictions only
government workers other than those employed by the Federal Govern
ment. Elective and appointive officials, police, and firemen are
generally regarded as ineligible for membership. N either of these
two unions imposes any restrictions on membership because of color,
race, or creed.
The A. F. of L. union was chartered in October 1936 as the successor
to several federal labor unions that had existed from some years prior
to th a t date. The C. I. O. union received its charter in July 1937.
Both organizations seek to improve the wages, hours, and working
conditions of public employees, to promote efficiency in public service,
and to extend the m erit and civil-service systems.

Provisions of Standard Union Agreements
U N IO N

R E C O G N IT IO N

Some municipal agreements include clauses to the effect that, “in
accordance with the law ,” hiring is the sole responsibility of the public
party. However, 11 of the 32 agreements provide for the union shop,
i. e., th a t all persons employed in the departm ent concerned m ust
be or become members of the union within a period of 30 or 60 days
after employment and remain members in good standing thereafter.
A few of these union-shop agreements specifically state th a t an em
ployee is to be discharged upon failure to remain a member in good
standing. Three agreements provide a modified union shop, by
specifying th a t all new employees shall become union members, but
make no reference to the obligation of present employees to join the
union. If all employees were members of the union when the agree
ment was signed, the modified union-shop plan naturally produces the
same result as the ordinary union-shop arrangement.
In one case the municipality has encouraged union membership
by a specific statem ent in the agreement to th a t effect. Nine agree
ments provide for recognition of the union as sole bargaining repre
sentative of the employees covered, but make no statem ent concerning
the requirem ent and desirability th at the employees shall become

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1167

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

union members. In some instances, where the union has a solebargaining status or has attained more complete recognition, the
public party agrees to permit a union representative to visit the
departm ent to investigate working conditions and to adjust disputes.
The remaining agreements merely state th a t the city “ treats and
recognizes” the union or th at the union is recognized as the agent of
its members only. Several agreements provide for periodic con
ferences between a committee of the union and the heads of municipal
departm ents for the purpose of establishing “ju st” working rules, or
discussion of other m atters of m utual interest.
C H E C K -O F F O F U N IO N

DUES

Six of the 32 agreements provide for the check-off of union dues
upon individual authorization of the members. One agreement makes
the check-off of union dues compulsory. M ost of these also perm it
deductions of initiation fees and other union assessments.
A D JU S T M E N T O F D IS P U T E S

Five agreements make no mention of grievance or arbitration pro
cedures. Nine of the 32 agreements provide procedures for the ad
justm ent of grievances beginning with discussions between the union
representative and the complaining employee’s immediate superior
and extending to the highest law-making authority of the city, but
w ithout referral to arbitration. Among the m atters which m ight be
considered as causes for grievances are reduction of pay or position,
suspension, lay-off, promotions, and dismissals. The m ajority of the
agreements require a w ritten notice of discharge or demotion, accom
panied by a statem ent of the reasons therefor. This step is to be
followed by a hearing within a specified time to ascertain whether or
not the discharge or demotion was for “just cause.” Cases involving
dismissals, demotions, and changes in job classification are quite often
allowed to go directly to the highest representatives of both the union
and the municipal agency concerned, and then, in some instances, to
arbitration.
Arbitration.—Eighteen of the 32 agreements provide for the final
settlem ent of disputes by im partial arbitration, either initially or follow
ing unsuccessful use of grievance procedures. M ost of them specifiy
an arbitration board composed of members appointed by the union
and the highest lawmaking authority of the city, these two to appoint
a third im partial chairman. Six of the agreements provide th a t the
U. S. D epartm ent of Labor or the State labor agency shall select the
neutral member if the partisan members are unable to agree on a third.
Some of these agreements qualify the jurisdiction of the board of arbi
tration by a clause prohibiting it from infringing upon civil-service
or other State and local laws.
S T R IK E S A N D

L O C K -O U T S

In 8 of the 32 agreements, strikes and lock-outs are expressly for
bidden either by a direct statem ent to th a t effect or by an affirmation
of the union’s no-strike policy. The other agreements contain no
reference to strikes and lock-outs, leaving the question an open one

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1168

M o n th ly L a b o r R e v ie w — J u n e 1943

between the parties, except insofar as the constitutions of the unions
themselves m ay renounce the strike weapon.
The constitution of the State, County and M unicipal Workers of
America (C. I. O.) states: “I t shall not be the policy of this organiza
tion to engage in strikes as a means of achieving its objectives.” When
a local union contemplates strike action, it m ust first advise the na
tional officers of its intention and then “be guided by the advice and
decisions of the national officers.” The constitution of the American
Federation of State, County and M unicipal Employees (A. F. of L.)
states: “ The methods of obtaining the objects of this federation shall
be by petitioning, by creating and fostering sentim ent favorable to
proposed reforms, by cooperating w ith the State and local officials,
by promoting legislation, and by other lawful m eans.”
W AGES AND HOURS

Wage provisions contained in union agreements w ith municipalities
vary from those which provide detailed job classifications and rates
to those which state th a t the union m ay make suggestions to the
head of the departm ent when the latter is preparing his budget
estimate. Where wage-rate classifications are stipulated, they usually
cover such occupations as mechanics, attendants, truck drivers, park
helpers, street cleaners, and common laborers. Eleven agreements
simply refer to wage changes as a subject for negotiation between the
immediate parties, as for example, the departm ent head or board
chairman and the union representatives. Several other agreements
state flatly th a t “all wages will be the wage rate as provided by the
budget.”
Length of workweek and workday and overtime rates are set forth
in all the agreements studied. The hours range from 40 to 48 hours
Per week, 8 hours per day. Time and a half is provided for overtime.
Some agreements specifically deny overtime premium pay to m onthly
or salaried employees.
S E N IO R IT Y

The principle of seniority, generally on a department-wide basis,
is recognized to a varying degree in all of the agreements studied.
Most commonly, seniority does not begin until after a probationary
period of from 2 to 6 m onths’ service, when it is made retroactive to
the date of hiring. Agreements which recognize length of continuous
service or seniority sometimes add th a t ability, previous record, and
family status shall be given equal consideration in determining pro
motion and increase and decrease in the num ber of employees. How
ever, problems of lay-off, rehiring, and transfer are generally treated
on a straight seniority basis. Seniority is not broken by tem porary
lay-od or sick leave. Quite often the agreements contain a clause
perm itting the union to request a seniority roster. Provision is usu
ally made for return of the worker to his job following m ilitary service
or similar war work w ithout loss of seniority.2
P A ID V A C A T IO N S , H O L ID A Y S , A N D

S IC K L E A V E

^ Of the 32 agreements, 26 specifically grant vacations w ith pay.
The m ost common arrangem ent is a maximum of 2 weeks’ vacation
8 See M o n th ly Labor Review, December 1942 (p. 1147).


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Ind ustrial Relation s

1169

after 12 m onths of service and a minimum of 1 week’s vacation after
6 m onths of service. Some agreements provide for 1 week’s vacation
witli pay after 1 year of service.
Provisions for paid holidays (numbering from 6 to 12, exclusive of
Sundays) are contained in 7 of the 32 agreements. Some provide
compensatory time off for work done on holidays. Six agreements
allow time and a half and five allow double time for work performed
on holidays and Sundays.
Provision for paid sick leave is found in 14 of the 32 agreements.
The usual period of leave is 10 days, sometimes cumulative to 30 days
over a 3-year period.
M IS C E L L A N E O U S P R O V IS IO N S

Among the other subjects mentioned in these agreements are call
pay (at least, 2 hours’ pay when called in to work and then sent home),
rules on emergency work (at least 2 hours’ straight-tim e pay, with
some agreements requiring union-employer consultation on occasion
of unusual work demands), safety equipment, physical examinations,
and the use of bulletin boards. An expression of the intention of the
parties to work out a civil service or retirem ent system or both is
sometimes set forth in the agreement.
D U R A T IO N OF A G R E E M E N T S

The m ajority of the agreements run for 1 year or for an indefinite
period, with the possibility of term ination at any time by w ritten
notice of such intention from either party a t least 30 days in advance.
A few provide year-to-year terms, subject to 30 or 60 days’ w ritten
notice from either party of intention to term inate or modify the con
tract.

Statements Concerning Labor Relations of Municipalities Other
Than Standard Union Agreements
There are varied methods of effectuating some sort of understanding
between a m unicipality and a union other than the formal collective
bargaining agreement. In the absence of the signature of the union
representative, the statem ents of a m unicipality relating to labor
relations m ay be distinguished on the basis of presence or absence of
reference to the union. The union m ay be referred to as an interested
party in the opening paragraphs or in the body of the statem ent,
thereby reflecting a degree of recognition. On the other hand, some
statem ents on the labor relations of municipalities make no reference
to a union, yet m ay have been issued following discussions or exchange
of letters with the union representatives of city employees.
The Bureau lias in its files 15 statem ents concerning the labor
relations of municipalities, in a form other than th a t of a standard
union agreement. This num ber does not include those statem ents on
file th a t are regarded as agreements by unions other th an the American
Federation of State, County and M unicipal Employees of America
(A. F. of L.) and the State, County and M unicipal W orkers of America
(C. I. O.) Among the cities having such statem ents in effect in
January 1943 were Detroit, Bay City, and Dearborn, Mich., and
Canton, Ohio.

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Monthly Labor Review—June 1943

1170

T Y P E S OF ST A T E M E N T S

A resolution by the lawmaking body of the city or competent govern
m ental subdivision, containing the substance of a union agreement
and recognizing the union “as the exclusive bargaining agency for all
its employees in all departm ents of the city governm ent” approxi
m ates the custom ary union agreement, even though the union is not
a signatory. There are local ordinances, on the other hand, which
usually do not contain provisions other than those relating to seniority,
minimum work crew, paid vacations, sick leave, etc., which have been
presented by the union in the form of a petition or as the result of an
exchange of letters or discussions. They may or m ay not contain
reference to the union.
City officials m ay issue a statem ent of policy on labor relations
w ithout either an expressed or an implied recognition of the union,
even though the latter m ay regard the statem ent as a form of bilateral
understanding. Some statem ents are in the form of unsigned memo
randa of oral understandings by the parties, containing a reference
to the union in the heading. There are a few which take the form of a
report of a special committee of the union to the membership, follow
ing communication with the municipality. Rules and regulations
of personnel policy and procedure adopted by competent municipal
authorities are in certain instances regarded by unions as the direct
outcome of their negotiations.
w #/#»

NATIONAL CONCILIATION MACHINERY FOR
BRITISH COAL-MINING IN D U S T R Y 1
NATIONAL collective bargaining to establish wages and other con
ditions of employment for coal-mine labor in G reat B ritain became
operative on M ay 1, 1943, thus settling a controversy as to local
versus national collective bargaining th a t lias existed in the coal
mining industry for a quarter of a century. The plan for national
conciliation in fixing working standards in the industry was subm itted
to the M inister of Labor and N ational Service and the M inister of
Fuel and Power by the Board of Investigation into Wages and M achin
ery for Determ ining Wages and Conditions of Em ploym ent in the
Coal-Mining Industry,2 of which Lord Greene is chairman. The
so-called Greene Tribunal (Board of Investigation) had previously
provided for a national minimum wage for coal-mine employees
(report of June 18, 1942) and for a bonus scheme to stim ulate output
in the various coal districts (report of August 28, 1942).3 W hen the
Greene Tribunal was appointed on June 5, 1942, its terms of reference
were (1) to consider and to report in the first instance upon the im
m ediate wage issue in the coal industry; and (2) to inquire into the
existing machinery and methods of determining wages and condi
tions of employment in the industry, and to submit recommendations
for the establishment of a procedure and perm anent machinery for
1 Inform ation is from report of E . M abel H odgkinson, Commercial Section, U nited States E m bassy,
London (No. 283).
2 R eport No. 3 of M arch 15, 1943.
3 For a sum m ary of earlier activities of th e Greene T ribunal, see the^M onthly L abor Review, issue of No
vem ber 1942 (pp. 941-951).


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Industrial Relations

1171

dealing with questions of wages and conditions of employment in the
industry.
Before presenting its conclusions in its third report, dated M arch
15, 1943, dealing with determination of wages and conditions of em
ployment in the coal-mining industry, the Greene Tribunal took into
account the special characteristics of the industry and studied the
development of the exist ing arrangements. For compara tive purposes,
procedure adopted in other industries was also examined. Both the
M ining Association of Great B ritain and the M ineworkers’ Federation
of Great Britain subm itted statem ents and gave oral evidence. In
view of all the circumstances, the Tribunal saw an urgent need for
establishing comprehensive conciliation machinery to provide for
prom pt consideration of all questions arising as to wages and condi
tions of employment. Owing to the special features of organization
in the coal-mining industry, none of the types of conciliation m achin
ery used in other industries was suitable, and a scheme was devised
to meet the particular needs of this industry. Unanimous approval
of the scheme was given by the national associations of employers and
employees mentioned above, their constituent district associations,
and the Government.

Summary of Plan
Provision for national conciliation machinery for the coal-mining
industry is in no sense an emergency measure, according to the report
under review. I t was designed to become a perm anent institution
and the Tribunal hoped it would prove an effective method of dealing
with questions arising in the industry for which no satisfactory m a
chinery had existed previously. Briefly, the plan provides a com
prehensive method of settling all questions of a national character.
It leaves purely district questions to be dealt with by district concilia
tion machinery, thus avoiding interference with the principle of dis
trict autonomy, which under present circumstances is a fundam ental
element in the structure of the industry. Provision is made for the
transfer, from the district conciliation machinery to the newly estab
lished national machinery, of any district question having such im
portance as to make the transfer desirable. For the settlem ent of
district questions, in turn, provision is made for the immediate
establishment of proper local machinery where it is not already in
existence.
Procedure is not fixed for settling questions arising a t individual
pits, except when they reach the stage of discussion under district
conciliation agreements. Although the Tribunal recognized th at
difficulties often develop owing to the absence of suitable arrangements
for conciliation at the pits, it was considered undesirable by the mem
bers to attem pt to lay down any procedure for universal application
in dealing with pit disputes that are essentially a m atter for arrange
ment by the industry itself. An obligation is placed on both the
national and district organizations of m anagement and labor (under
the scheme) to introduce improved methods for dealing with pit
disputes as soon as possible.
The conciliation scheme was framed to deal with questions raised
by the M ining Association and the Mineworkers’ Federation or their
constituent or affiliated bodies. Workers employed in and about the
5 2 9 0 8 5 — 4 3 ------- 9


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Federal Reserve Bank of St. Louis

1172

Monthly Labor* Review— June 1943

in d u s try w ho arc n o t m em b ers of th e bo d ies covered are n o t affected
b y th e schem e, ex cep t in so far as th e ir w ages an d co n d itio n s of em 
p lo y m e n t m a y be re g u la te d b y ag re e m e n t or p ra c tic e in acco rd an ce
w ith th o se of m em b ers of th e m in e rs ’ unions. T h ese w orkers can be
co v ered by th e m a c h in e ry o nly u n d e r su b se q u e n t a rra n g e m e n t w ith
th e tw o n a tio n a l m in in g asso ciatio n s of em ployers a n d em ployees.

Some 5 percent of the total output of the country is produced by
‘‘nonfederated” employers, th a t is, those who do not belong to dis
trict associations. To bring such employers under the scheme would
have entailed delay and alterations. Therefore, a simple method
was provided whereby such nonfederated employers may adopt the
scheme voluntarily.
T h e G reen e T rib u n a l expressed its desire to assist th e in d u s try in
esta b lish in g su ita b le co n ciliatio n m a c h in e ry in th e d istric ts a n d a t
th e p its. N o fo rm al referen ce w as su g g ested, b u t th e T rib u n a l s ta te d
t h a t its services w ould be a v a ila b le to th e in d u s try for th e p u rp o se of
discussing a n y difficulties t h a t m ig h t arise. T o assist in estab lish in g
local m a c h in e ry , a m odel d r a f t of a d is tric t co n ciliatio n ag reem en t
w as in clu d ed in th e re p o rt u n d e r review , w hich, how ever, m ig h t n o t
p ro v e a c c e p ta b le in all d istric ts. As it follows th e p a tte rn ^ o f th e
n a tio n a l co n c iliatio n schem e, th e T rib u n a l s u b m itte d it for a d o p tio n
in th o se d is tric ts w h ere no special reason existed for using a different
ty p e of ag reem en t.

National Conciliation Machinery
U n d e r th e co n c iliatio n schem e, a N a tio n a l C o n ciliatio n B oard w as
to_ be estab lish ed , co n sistin g of a J o in t N a tio n a l N e g o tia tin g C o m 
m itte e a n d a N a tio n a l R efe ren c e T rib u n a l. M em b ersh ip in th e
N e g o tia tin g C o m m itte e is to co n sist of 22 persons, of w hom one-lialf
are em p lo y er (M in in g A ssociation) nom inees and th e o th e r h alf
em ployee (M in ew o rk ers’ F e d e ra tio n ) n o m in ees; each side is to a c t
b y a sim ple m a jo rity v o te, a n d in case of a tie th e c h a irm a n of each side
(or h is s u b s titu te ) will be g iv en a second or ca stin g v o te. T h e N a 
tio n a l T rib u n a l is to h a v e th re e p e rm a n e n t m em b ers, n o n e of w hom is
engaged in th e co al-m in in g in d u s try or is a m em b er of e ith e r house of
P a rlia m e n t (w ith th e ex cep tio n of a m e m b er of th e H o u se of L o rd s
w ho h o ld s or h a s h eld h ig h ju d ic ia l office); th e y a re to be ap p o in ted
b y th e M a s te r of th e R o lls o r a L o rd J u s tic e of A p p eal n o m in a te d by
him .
Jurisdiction .— Ju ris d ic tio n ol th e N a tio n a l B o ard ex ten d s to th e
follow ing q u estio n s, w hich are to be d e a lt w ith as re q u ire d u n d e r th e
te rm s of th e schem e:
(1) Any question raised by eith er or b o th of th e tw o n atio n al associations an d
either—
(a) accepted by resolution of th e N eg o tiatin g C om m ittee as being a question of
a n atio n al character; or, failing such acceptance,
(&) decided by th e N atio n al T rib u n al to be a question of a n a tio n al ch aracter
upon an application m ade for th e purpose eith er by th e em ployers’ side or by th e
w orkers’ side.
(2) Any question relatin g to th e in te rp re ta tio n of—
(а) a settlem en t reached by th e N eg o tiatin g C om m ittee u n d er th is schem e;
(б ) an agreem ent m ad e betw een th e tw o n atio n al associations previously to
th e establishm ent of th e N atio n al B oard insofar as such ag reem en t m ay for th e
tim e being rem ain in force.


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Federal Reserve Bank of St. Louis

Industrial

R e la tio n s

1173

(3) Any d istrict question tra n sfe rre d to th e N atio n al B oard u n d er an d su b ject
to th e provisions of P a rt I I I of th is scheme.
(4) Any question referred by th e M in ister to th e N a tio n a l B oard for decision
or rep o rt.

Questions relating to the interpretation of the scheme, an award
or decision of the National Tribunal, and an award or decision relating
to a question of a national character are within the exclusive juris
diction of the N ational Tribunal, as are any questions referred to the
N ational Tribunal by the M inister of Fuel and Power. However,
before making a decision or reporting on any such question, the N a
tional Tribunal m ust consult the Negotiating Committee and con
sider its views. If the two sides of the Negotiating Committee are
not in agreement on the question, the views of both sides m ust be
taken into account.
Procedure.—N ational questions are to be discussed by the Nego
tiating Com m ittee with a view to settlem ent. Failing a settlem ent
the question is to be referred to the National Tribunal. W hen the
Negotiating Committee accepts a national question, the N ational
Tribunal m ust be notified in writing and the case m ust be handled
with speed. If the Negotiating Committee fails to reach a settlem ent
in 5 weeks or such extended period as is allowed, the facts of the case
m ust be transm itted to the N ational Tribunal. The reference to the
N ational Tribunal may be made sooner, however, and, in its discre
tion, the N ational Tribunal m ay refer the case back to the Negotiating
Committee. Whenever the latter body reaches a settlem ent, the
N ational Tribunal is to be notified, in questions referred by the
M inister of Fuel and Power to the N ational Conciliation Board or
exclusively to the N ational Tribunal, the procedure is to be estab
lished by the president of the N ational Tribunal.
Assessors will assist the National Tribunal in national questions.
Four persons are to be chosen from the Negotiating Com m ittee for
this purpose, of whom two shall represent flic employers’ side and the
other two the workers’ side. The assessors will take p art in hearings
and discussions b u t m ay not vote upon or otherwise be parties to the
award or decision of the National Tribunal.
Rules for the regulation of procedure m ay be made by the N ational
Tribunal. Hearings m ay be public or private, in the National
Tribunal’s discretion. In case of a tie vote, the presiding officer is to
have a second or casting vote. If there is not a m ajority vote in
favor of a proposed award or decision, the opinion of the presiding
official is to be final and shall be signed as an award or decision of the
N ational Tribunal. The M inister of Fuel and Power m ay appear
before the National Tribunal on liis own initiative or on invitation of the
N ational Tribunal itself. Every settlem ent reached by the N egotiat
ing Committee and every award and decision given by the National
Tribunal on a national question shall be binding upon the national and
district employer and employee associations and the members covered
by the scheme. In a case involving a question referred to the National
Board or the National Tribunal by the M inister of Fuel and Power,
the consent of the Negotiating Committee is required to make the
award or decision binding. Each of the bodies to which the scheme
applies is to undertake to use its influence to insure th a t the term s of
a decision or award will be observed by all employers and by all
workers in the coal-mining industry—whether or not they are members

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Federal Reserve Bank of St. Louis

1174

Monthly Labor Review—June 1943

of any district association. Provision is made under the scheme for
altering decisions to take into account changed conditions.

District Conciliation System
Every district question is to be dealt with in accordance with the
district conciliation agreement in force in the district concerned. A
question ceases to be a district question when it is transferred to the
N ational Conciliation Board (1) by agreement between employer and
employee representatives and the district conciliation board,1 (2) on
the initiative of the Negotiating Committee or at the request of one
or both of the district associations (employer and employee), or (3)
when the National Tribunal decides (after reference to it by either
side of the Negotiating Committee) th a t the question is likely to
extend to any other district or to assume national importance.
Awards and decisions in such cases are also binding.
A ithin 1 m onth of the date when the scheme came into operation,
district conciliation agreements were to be in force. However, the
Negotiating Committee could extend the period. Under the agree
ments district conciliation boards m ust be established, consisting of
representatives of district employer and employee associations which
are parties to the agreement. The national associations of em
ployers and employees are to try to bring about a reasonable measure
ol uniformity in the district agreements and procedure. In making
provision for district conciliation the object as stated in the agreement
is to insure th at there shall be suitable machinery to settle district
questions and th a t it shall operate in such a way as to make effective
the provisions of the conciliation scheme th a t relate to district ques
tions and their transfer to the National Board.


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Federal Reserve Bank of St. Louis

Industrial Disputes

S T R IK E S IN

A P R IL

1943

T H E R E were 395 new strikes, involving 200,000 workers and 075,000
man-days of idleness, during April 1943, according to preliminary esti
m ates of the Bureau of Labor Statistics. These figures indicate a
much higher level of strike activity than in the preceding m onth or in
April a year ago.
The substantial increase in strike activity over the preceding m onths
was due largely to unrest among bituminous-coal miners working
under a 30-day extension of the union contracts which expired through
out the industry on M arch 31. There were strikes at several mines
in the Appalachian field at various times during the m onth, and at the
end of April approximately 90,000 workers were idle in Pennsylvania,
Kentucky, W est Virginia, Ohio, Alabama, and Virginia. About half
of the total workers involved and half of the strike idleness during April
resulted from these bituminous-coal strikes.
Strike idleness during April is estimated to be 0.08 percent of the
tim e worked in industry.
Strikes During the First 4 Months of 1943 1
Strikes beginning in m onth

M an-days idle during
m onth (all strikes)

M onth
N um ber

Jan u ary
__
F ebruary
_
__
M arch __ _
April . __________________________________

195
210
260
395

W orkers in 
volved
90, 000
42, 000
72, 000
200, 000

N um ber

Percent of
available
working tim e
0.06
.02
.03
.08

450, 000
170, 000
230,000
675,000

1 Figures in this table are not final b u t subject to change as later inform ation is received.

A C T IV IT IE S O F T H E U N IT E D S T A T E S C O N C IL IA T IO N
S E R V I C E , A P R I L 1943

T H E United States Conciliation Service, during April disposed of
1,696 situations involving 1,541,779 workers (table 1). The services
of this agency were requested by the employers, employees, and other
interested parties. Of these situations 192 were strikes and lock-outs
involving 67,987 workers; 900 were threatened strikes and contro
versies involving 321,753 workers. Altogether, 273 disputes were
certified during the m onth to the N ational W ar Labor Board, and in
80 cases other agencies assumed jurisdiction. The remaining 251
situations included investigations, arbitrations, requests for informa
tion, consultations, etc.

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Federal Reserve Bank of St. Louis

1175

1176
T able

Monthly Labor Review— June 1943
1.— Situations Disposed of by United States Conciliation Service, April 1943, by
Type of Situation
T ype of situation

W orkers
involved

N um ber

All situations h an d led_____________________________

1 1, 696

i 1, 541, 779

D isp u tes_________________________________________
Strikes________________________________________
T hreatened strikes_____________________________
Lock-outs_____________________________________
C ontroversies_________________________________

1, 092
189
135
3
765

389, 740
67, 778
96, 396
209
225, 357

O ther situations___________________________________
Investigations_________________________________
Technical services_____________________________
A rbitrations___________________________________
R equests to conduct consent elections___
R equests for inform ation_______________________
C onsultations___________
Special services of Commissioners_______________
C om plaints___________________________________

251
54
14
90
5
5
51
23
9

36,496
6,047
3, 699
23, 977
396
85
138
2, 140
14

D isputes referred to other agencies during negotiations.
To N ational W ar Labor B oard_________________
To N ational Labor Relations B oard____
To other Federal agencies______________________
To Wage A djustm ent B oard____________________
To non-governmental agencies__________________
To State agencies______________________________

353
273
47
10
6
8
9

1,115, 543
1, 036, 908
71, 950
2, 193
2, 022
1, 220
1,250

1
D uring the m onth, 121 cases involving 64,182 workers were adjusted, subject to arbitration or approval of
the wage provisions b y the N ational W ar Labor Board.

-Fa b l e

2.

Situations Disposed of by United States Conciliation Service, April 1943, by
Industries
D isputes

O ther situations

Total

In d u stry
N um 
ber
All industries- A griculture____
Building trad es_____
ChemicalsC omm unications
Domestic and personal
Electrical equipm ent
F oo d ___
fu rn itu re and finished lum ber
Iron and steel____
Leather--L u m b er___
M achinery
M aritim e
M ining M otion pictures. __ Nonferrous m etals P ap er____
Petroleum
P rin tin g ,ProfessionalR ubber- _
Stone, clay, and glass
Textile__
TobaccoT rad e______ T ran sp o rtatio n ___
Transportation equipm ent
U tilities___ _Unclassified


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Federal Reserve Bank of St. Louis

W orkers
involved

1,445

1, 505, 283

9
70
55
8
62
40
142
50
198

16 899
22, 620
14, 385
14, 113
3, 894
102,140
36, 353
10, 365
116, 055

32
39
68
6
22
1
44
18
24
43

16, 405
9, 926
44,836
2 671
534 589
’ 100
42, 764
3, 474
10, 478
6, 476

6
19
47
76
4
87
75
104
19
77

6, 742
25, 939
26, 220
23, 554
8, 519
10, 532
17, 480
350, 625
2, 088
25, 041

N um 
ber
251

W orkers
involved

N um 
ber

W orkers
involved

36, 496

1, 696

1, 541, 779

38

255
6, 296
' 223
650
1,017
388
1,824
4,318

9
80
71
11
69
43
160
57
236

22, 875
20 681
14, 336
4, 544
103, 157
36 741
12,189
120,373

15
5
12

965
87
12, 794

47
44
80
6

17, 370
10, 013
57, 630

1
6
5
9
4

100
264
385
622
107

2
50
23
33
47

200
43,028
3, 859
11,100
6, 583

1
4
12
12
1
13
9
15
5
20

4
591
693
1,047
1
472
260
958
138
2,037

7
23
59
88
5
100
84
119
24
97

6 746
26, 530
26, 913
24, 601
8' 520
11, 004
17, 740
351, 583
2, 226
27, 078

10
16
3
7
3
18

Industrial Disputes

1177

The facilities of the Service were used in 28 m ajor industrial fields,
such as building trades, and the m anufacture of foods, iron and steel
textiles, etc. (table 2), and wore utilized by employees and employers
in 46 States, the D istrict of Columbia, and Puerto Iiico (table 3).
T a b l e 3 . — Situations

Disposed of by United States Conciliation Service, April 1943, by
States

N um 
ber

Total

O ther situations

D isputes
States

W orkers
involved

N um 
ber

W orkers
involved

N um 
ber

W orkers
involved

1, 505, 283

251

36, 496

1,696

1, 541, 779

A labam a.
......
Arizona . . .
...............
....
A rkansas
_
____ _
California_______ ________ . . . . . . . . . .
Colorado
C onnecticut____________ __________ . .
Delaware
D istrict of Colum bia. _

24
9
3
112
22
16

17, 283
642
1,180
40,178
2,179
39,159

5
1

158
3

12

415

9

1,022

1
1
3

120
4
336

29
10
3
124
22
17
1
12

17,441
645
1, 180
40, 593
2,179
39, 279
4
1,358

F lo rid a .. _
_ ____________ . . .
. .
Georgia
Idaho
Illinois
___
In d ian a.
...
......
. .
. . .
______
Iow a _
_
K ansas
K entucky

24
6
5
107
41
18
14
16

18,164
265
81
49,066
21, 848
7, 868
3,960
16,075

5
2

349
450

22
5

13,944
581

1

4

29
8
5
129
46
18
14
17

18, 513
715
81
63, 010
22, 429
7, 868
3, 960
16,079

Louisiana___ _____ ___ . . . ____ . . .
M aine
.
. . . . . . .
M a ry lan d _____________________________
M assachusetts.. .
. ... .. ..
M ichigan.
_ _
.. .
M innesota .
M ississip p i... _. ._ _ _ _ _____________
M issouri.
. . . .

13
6
20
36
123
11
7
42

2,410
28, 336
64, 989
19, 748
132, 082
1,681
12,827
10, 763

3
1
1
19
27
2
1
11

407
2
1
3,733
2, 531
7
3
1,834

16
7
21
55
150
13
8
53

2,817
28, 338
64,990
23,481
134, 613
1,688
12,830
12, 597

M ontana
N ebraska. . _
New H am pshire____________
_______
N ew Jersey ..
N ew Mexico
N ew Y ork _______________ ____ ______
N orth C arolina.
N orth D akota

11
9
5
56
3
117
17
2

808
2, 471
194
52, 432
1,357
563,123
6, 794
66

1
1
14

40
87
2, 269

18
7

918
557

11
10
6
70
3
135
24
2

808
2, 511
281
54, 701
1,357
564,041
7, 351
66

O hio____ ______ __________________
O klahom a____
. _ _. .
Oregon.
_
_. _ __ ___ ______ ..
P enn sy lv an ia..
. _ . .
Puerto R ico____ __________ _____ . . . .

129,590
627
10, 497
147,803
22, 568
11, 102
926
90

35
3
2
12
4

3, 423
184
2
396
10

South D a k o ta. _ _____________________

167
8
40
108
22
9
3
3

1

7

202
11
42
120
26
9
3
4

133,013
811
10, 499
148,199
22, 578
11, 102
926
97

Tennessee.
.
.
----Texas. . .
. ___
.
U tah
V irginia___ . . .
.. ..
... W ashington_________ . . . ---------- -----W est Virginia___ . . . . . . --------- . . .
W isc o n s in __ . . . . -- --------------W yoming
...
. .. ..

34
34
5
12
35
19
41
1

23, 068
12, 527
516
2, 270
12,619
2, 469
9, 512
48

2
6

94
389

6
5
3
7
1

395
89
2,615
49
90

36
40
5
18
40
22
48
2

23,162
12,916
516
2, 665
12, 708
5, 084
9, 561
138

All S tates__________________ . _____ _


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Federal Reserve Bank of St. Louis

1,445

Cost and Standards o f Living

C O ST O F L IV IN G

[N

LARGE

C IT IE S , A P R IL

15, 1943

MAIN IA because of continued advances in food prices, especially for
iresh fruits and vegetables, the cost of living for city workers rose
1.1 percent from mid-March to mid-April 1943. (It was toward the
end of this period th a t the President issued his “ hold-the-line” order.)
This increase, somewhat smaller than in the previous month, brought
the level of all living costs to 124.1 percent of the 1935-39 average
and 23 percent above January 1941 (base period for the “ Little
Steel” formula).
Food costs, the most im portant p art of the family budget, rose 2.3
percent from M arch to April. On the average, consumers in the
latter month were paying $1.40 for food which cost $1.00 in the years
1935-39. From m id-M arch to mid-April, as in the previous m onth,
prices of fresh fruits and vegetables advanced with especial rapidity,
rising on the average 10.5 percent, to a point 51.0 percent above
April 1942.
Prices of cabbage rose 24 percent, onions 20 percent, apples 19
percent, and sweetpotatoes 31 percent during the month. Prices of
certain vegetables declined seasonally— 14 percent in the case of
carrots and 2 percent for spinach. Prices of white potatoes, which
were already growing scarce in April, rose 14% percent to a level 61
percent above April 1942 and 173 percent above January 1941.
Prices of fresh fish also increased further by 7.7 percent during
the m onth to a level 30 percent higher than in April 1942; fish thus
became twice as expensive as it was before the war. M ost other
food costs continued their slow advances of recent months, with the
chief exception of eggs (which declined less than usual at this time of
year) and pork. New dollar-and-cent ceilings set by the Office of
Price Adm inistration resulted in a fractional decline for pork products
as a group. There were increases of 1.0 percent or less for beef and
veal, lamb, and poultry and of half of 1 percent or less for cereals and
bakery products, sugar and sweets, fats and oils, and dairy products.
The increases in food prices were quite general, but were especially
large in a num ber of southern cities. The variation among cities
was larger than usual, ranging from less than half of 1 percent in
Minneapolis to over 5 percent in Jacksonville, Norfolk, and Wichita.
At present levels there is considerable variation between cities in the
am ount by which food prices have increased since the price rise began
to be marked, in January 1941. Thus, the advance ranges from 35
percent in Minneapolis and St. Paul to 59 percent in Memphis and
Norfolk and 61 percent in Knoxville. For living costs as a whole
there are also marked differences between cities, the advances since
January 1941franging^rom about 19 percent in Minneapolis to nearly
29 percent in Savannah,
1178


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Federal Reserve Bank of St. Louis

1179

Cost and Standards of Living

Aside from food, other living costs rose by only small amounts
during the m onth ending on April 15, 1943. Prices of clothing were
0.2 percent higher on the average, because of slight increases for m en’s
wool suits and coats and for women’s percale house dresses in some
cities. There were small increases for housefurnishings and for fuel,
electricity, and ice. On the other hand, the fairly sharp advances of
recent months were continued for medical care, barber and beauty
services, and motion-picture admissions. Charges for hospital rooms
were higher in 8 of the 21 cities surveyed. Costs for miscellaneous
goods and services as a group rose 0.3 percent from M arch to April.
R e n ts , w hich a re su rv ey ed q u a rte rly b y th e B ureau of L a b o r S ta 
tistics, h a v e show n v e ry little ch an g e d u rin g th e p a s t 12 m o n th s.
The
n e x t re p o rt on re n ts will cover m o n th ly ch an g es for th e q u a rte rly
perio d th ro u g h Ju n e .

Indexes of the cost of the various groups of items on April 15, 1943,
as compared with specified previous dates, are shown in table 1.
T able 1.— Indexes of Cost of Living in Large Cities on April 15, 1943, and Previous

Dates
Indexes 1 (1935-39=100) of cost of—
D ate

All
items

1939: Aug. 15________________
1941: Jan. 15_________________
1942: Apr. 15________________
M ay 15.. _____
Sept. 15________________
1943: M ar. 15________________
A pr. 15 ___ _
_ _ _

98.6
100.8
115.1
116.0
117.8
122.8
124.1

Food

C loth
ing

100.3
100. 7
126.5
126.2
125.8
127.6
127.8

93.5
97.8
119.6
121.6
126.6
137.4
140.6

Fuel,
elec
tricity,
and ice

R ent

104.3
105.0
109. 2
109.9
108.0
108.0
(2)

97.5
100. 8
104.3
104.9
106.2
107.4
107.5

Housefurnish Miscella
neous
ings
100.6
100.1
121.9
122.2
123.6
124. 5
124.6

100.4
101.9
110.6
110.9
111.4
114.5
114.8

1 Based on changes in cost of goods purchased by wage earners and lower-salaried workers in large cities.
2 R ents no t surveyed in April. See text.

T h e e x te n t of ch an g e in th e co st of liv in g in c e rta in p erio d s is
show n in ta b le 2.
T a b l e 2 . — Percent

of Change1 in Cost of Living in Large Cities in Specified Periods

D ate

M ar. 15, 1943, to Apr. 15, 1943__________
Sept. 15, 1942, to A pr. 15, 1943__________
M ay 15, 1942, to Apr. 15, 1943__________
Jan. 15, 1941, to Apr. 15,'1943_________ _

All
items

Food

C loth
ing

+ 1.1
+ 5 .3
+ 7 .0
+ 7 .8
+23. 1
+25. 9

+ 2 .3
+ 11.1
+ 15.6
+ 17.6
+43.8
+50.4

+ 0 .2
+ 1 .6
+ 1.3
+ 1 .0
+26.9
+27.4

Fuel,
electric
R e n t 2 ity,
and
ice

Housefurnish
ings

+ 0.1
+ 1 .2
+ 2.5
+ 3.1
+ 6.6
+10.3

+0.1
+. 8
+ 2 .0
+2. 2
+24.5
+23.9

(3)
0
- 1 .7
-

1. 1

+ 2 .9
+ 3 .5

M is
cella
neous
+ 0.3
+ 3.1
+3. 5
+ 3 .8
+ 12.7
+ 14.3

1 Based on changes in the cost of goods purchased by wage earners and lower-salaried workers in large
cities.
2 Changes through M arch 15, 1943.
3 R ents no t surveyed in A pril. See text.


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Federal Reserve Bank of St. Louis

Monthly Labor Review— June 1943

1180
T a b le 3 . — Percent

of Change 1 in Cost of Living in Large Cities, March 15 to April 15,
1943, by Groups
Clothing

Fuel,
electric
ity, and
ice

Housefurnish
ings

s + 2 .3

4 + 0 .2

5+ 0.1

4 + 0.1

+ 2 .2

+ .2

+ .1

0

0

+ .8
+■ ~
+ 2 .2
+ .8

+ 2 .0
+ 1.4
+ 5.0
+ 1.6

+ .2
+ .3
+ .2
+ .5

0
0
0
+ .2

0
0
0
+ .3

+ .1
0
+ .2
+ .4

+ .9
+ 1.1
+ .6
+. 7

+ 2 .0
+ 2 .3
+ 1.4
+ 1.3

+ .1
+ .3
+ .2
0

0
+ .1
+ .2
0

0
+ .6
+ .3
0

+ .4
+ .5
0
+ 1.2

+ 1.2
-. 1
+ 1 .1

+ 2 .8
+• 4
+ 2 .5

+ .6
0
+ .1

0
0
0

+ .1
0
+ .1

+ .3
- .9
+ .1

+ 1.4
+ 1 .9
+ .8
+ 2 .0
+ .2
+ .6

+3.1
+ 4 .3
+ 2 .2
+ 4 .6
+• 4
+ 1.3

+ .2
0
+ .3
0
+ .1
0

0
0
0
+ .7
0
0

0
0
0
+ .3
0
0

+ .6
+ .1
0
+ .9
+. 1
0

+ 1.0
+ 1.9
+ .8

+ 2 .4
+ 4 .2
+ 1 .0

0
0
+ .2

0
0
+ .5

+ .1
0
0

0
“K 5
+ 1.2

All
item s

Food

-

2 + 1.1

New England: B oston_________________
M iddle A tlantic:
Buffalo, _ ______________________
New Y o rk ________________________
P hiladelphia_________ ____ ______
P ittsb u rg h _____ _______ ________
E ast N o rth Central:
Chicago_________ _________ _____
C incinnati,
. _ . -----Cleveland____ ___________________
D etroit - - - - - .
_- - -.
W est N o rth Central:
K ansas C ity ______ ______ _____
M inneapolis_______ _____________
St. L o u is ____ - - - - - - - - - - _-South A tlantic:
B altim ore_________________________
Savannah-- _ _____ W ashington, D . C _________________
E a st South C entral: B irm ingham _______
W est South C entral: H ouston
M ountain: D en v er__________ - ________
Pacific:
Los Angeles____ _- _____________
San Francisco _ - . _ _ -----------------Seattle___ ___. . -- ----------------- -

+ 1 .0

C ity

Average: Large cities________________

M iscel
laneous

4 + 0.3

1Based on changes in cost of goods purchased b y wage earners and lower-salaried workers in large cities.
2 R ents surveyed a t q uarterly dates— M arch 15, Ju n e 15, Septem ber 15, and December 15.
3 Based on d ata for 56 cities.
* Based on d ata for 21 cities.
5 Based on d ata for 34 cities.

T a b l e 4 . — Percent

of Change 1 in Cost of Living in Large Cities, in Specified Periods
Percent of change—
A pr. 15,
1942, to
A pr. 15,
1943

Aug. 15,
1939, to
A pr. 15,
1943

Jan. 1,
1911, to
A pr. 15,
1943

Average: Large cities____. . . _ ___________________

+ 7 .8

+25.9

+23.1

+ 7.0

+ 5 .3

N ew England: B oston...........................
_ _
M iddle A tlantic:
Buffalo. _ _________________________________
N ew Y ork__________________________________
Philadelphia — ____ _ . . . _____________
P ittsb u rg h ___ _____________________________
E ast N o rth C entral:
<Ihicago______________________ ___
___
C in cin n ati-.. .
_ _
_
_ _ . .
__
C leveland___________________________________
D etroit
_____
W est N orth C entral:
K ansas C ity . . . .
... _ .
M inneapolis... ___________________ _ _ ___
St. Louis____
_________ _________ ____
South A tlantic:
B altim ore_____ ___________________________
Savannah _ _ _ . __ . _________ _ ___ ___
W ashington, D. C
___
_ E ast South C entral: B irm ingham .
. ...
W est South C entral: H ouston _
_
M ountain: D enver
_
Pacific:
Los A n g e les...
___ — _
_ _____ _ ___
San F r a n c i s c o - -- --- _ _________ _____ __
Seattle_________ .
___________ _______

+ 8 .8

+25.4

+22.9

+ 7 .4

+ 4.8

+ 7.1
+ 9.1
+9.1
+ 8 .5

+29.3
+24. 0
+26.9
+25.6

+25.0
4-21.6
+25.1
+22.1

+ 5.7
+ 8.4
+ 8 .2
+ 6 .7

+ 5.7
+ 5.6
+ 6 .2
+ 5.2

+ 7 .0
+ 7 .0
+ 7 .0
+ 5 .5

+25.0
+26. 8
+26. 2
+26.8

+21.9
+23.9
+23.7
+23. 7

+ 5.9
+ 6 .5
+ 6 .2
+ 5.1

+ 5 .2
+ 4 .6
+ 5 .5
+ 5.5

+ 7 .5
+ 5 .4
+ 6 .8

+23.9
+21.3
+25.6

+24.2
+18.8
+22. 0

+7. 1
+ 4.3
+ 6 .6

+ 6 .5
+ 3.5
+ 5.7

+ 7 .9
+ 8 .7
+ 7 .5
+ 6 .0
+6. 9
+ 6 .9

+28.3
+31.5
+24.0
+27.2
+22.8
+24.2

+25.7
+28.8
4-22.4
+23. 2
+21.3
+22.5

+ 7.1
+ 8.0
+ 6.6
+5. 6
-j-i). 5
+ 6.0

+ 5.7
+ 7.0
+ 4.4
4-5.5
+ 4.8
+ 4 .5

+ 7 .4
+ 9 .8
+ 6 .3

+25.2
+29.4
+27.6

+22.7
+26.2
+25.4

+ 6.5
4-9.3
+ 5 .6

+ 3.4
+ 6 .3
+ 4.3

C ity

M ay 15,
1942, to
A pr. 15,
1943

Sep. 15,
1942, to
A pr. 15,
1943

1Based on changes in cost of goods purchased b y wage earners and lower-salaried workers in large cities.


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Federal Reserve Bank of St. Louis

Cost and Standards of Living

1181

Indexes of the cost of living on April 15, 1943, based on the average
of the years 1935-39 as 100, are shown in table 5, for the 21 cities.
T a b l e 5. — Index

of Cost of Living in Large Cities, April 15, 1943
Indexes 1 (1935-39=100) of cost of—

Clothing

Fuel,
electric
ity, and
ice

Housefurnish
ings

C ity
All items

Food

M iscel
laneous

A verage: Large cities . . . . . . . ________

2 124.1

a 140. 6

i 127.8

s 107. 5

* 124. 6

i 114.8

N ew E ngland: Boston . __ . . . . . . ..
M iddle A tlantic:
B uffalo___ _____ . . . ______________
N ew York _............................... . . . ___
P hiladelp h ia.. _ ____________ ____
P ittsb u rg h _________________ ______
E ast N orth C entral:
Chicago___________________________
C incinnati
___
. .
. ___
Cleveland _____ _______ . ______
D e tro it___________________________
W est N orth Central:
K ansas C ity ____ _________ . . . ---M inneapolis_____________________ .
St. L ouis. . ______ ______________
South A tlantic:
B altim ore----------- ---------- ----------S a v a n n ah ... ______ . . --------------W ashington, D . C__. . -----------------E ast South C entral: B irm ingham _____
W est South C entral: H ouston __ ---------M ountain: D enver ___________________
Pacific:
Los Angeles .
.
.
....
San Francisco
.
....
---S e a ttle ____ . . . ------------------ ------

121.8

137.1

123.5

118.3

119.7

111.3

127.4
122.8
124.1
123.6

144.0
139.9
140.2
139. 4

128.0
127.4
127.5
130.5

105.0
110.6
105.9
110.3

126. 5
118.3
122.7
122.5

121.4
113.2
114.7
114. 2

123.4
123.4
126. 2
124.9

138.6
138. 2
141.4
137.4

123. 8
132.8
131.0
120. 3

103. 2
104.0
113.7
108. 9

120.1
126.8
125.0
122.2

113.5
114.4
114.9
120.3

122.2
120. 9
123. 2

137.4
133.5
142.4

125.3
127.5
128.9

107. 9
100. 0
106.2

117.9
125. 0
116.5

116.0
116.2
111. 7

126.6
130.6
122. 3
125. 3
123.7
122.5

148.4
151.3
139.9
141.0
143.2
139.0

127.8
130. 1
134.9
128.0
129. 5
124.7

106.8
113.1
106. 0
101.1
92. 2
100. 1

128.9
121.4
131.4
120.4
122. 4
121.8

114.4
118.8
117.9
114. 4
115.6
114.5

125.8
128.5
128.0

146.2
149.7
146.2

129.7
128. 1
131.0

94.2
92. 2
101.9

119.0
119.0
119.9

116.2
122.4
123.1

1 Based
2 R ents
s Based
* Based
5 Based

on changes in cost of goods purchased b y wage earners and lower-salaried workers in large cities.
surveyed a t q uarterly dates—M arch 15, June 15, September 15, and D ecember 15.
on d ata for 56 cities.
on d ata for 21 cities.
on d ata for 34 cities.

Table 6 shows the indexes of cost of each of the principal groups of
items for each of the years 1935-42 and by m onths from January 1942
through April 15, 1943.


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Federal Reserve Bank of St. Louis

1182
I a b l e 6.

Monthly Labor Review— June 1943
Indexes of Cost of Goods Purchased by Wage Earners and Lower-Salaried
Workers in Large Cities, 1935 to April 1943
[Average 1935-39=100]

Y ear

1935_________________
1936__________ _ .
1937_______________
1938___ ___ _
1939__________ _
1940____
.
1941__________ .
1942^ _ _
1942:
J a n . 15 __ _
Feb. 15___
M ar. 15_________________
A pr. 15_______
M ay 15_
June 15
Ju ly 15 _
Auv. 15 _ ____ ..
S e p t.15______________
Oct. 15.
__ __ . _
N ov. 15____ _____
Dec. 15_________ _ .
1943:
Jan. 15
Feb. 15 _____
M ar. 15___
Apr. 15 1 _

All
items

Food

Clothing

R ent

Fuel,
electric
ity, and
ice

Housefurnish
ings

M iscel
laneous

98.1
99.1
102. 7
100. 8
99.4
100. 2
105. 2
116. 5

100. 4
101.3
105.3
97.8
95. 2
96.6
105.5
123.9

96.8
97.6
102.8
102. 2
100. 5
101.7
106. 3
124. 2

94.2
96.4
100.9
104. 1
104.3
104. 6
106.2
108.5

100.7
100 2
100. 2
99.9
. 99. 0
99.7
102.2
105.4

94.8
96.3
104.3
103.3
101.3
100. 5
107. 3
122. 2

98. 1
98.7
101. 0
101. 5
100. 7
101. 1
104. 0
110.9

112.0
112.9
114. 3
115. 1
116.0
116.4
117. 0
117.5
117.8
119. 0
119.8
120. 4

116.2
116.8
118. 6
119. 6
121.6
123.2
124.6
126. 1
126.6
129.6
131. 1
132. 7

116. 1
119. 0
123. 6
126. 5
126. 2
125. 3
125. 3
125. 2
125. 8
125.9
125. 9
125. 9

108. 4
108. 6
108. 9
109. 2
109. 9
108. 5
108.0
108.0
108. 0
108. 0
108.0
108.0

104.3
104.4
104. 5
104.3
104. 9
105.0
106.3
106. 2
106.2
106. 2
106. 2
106.3

118. 2
119.7
121.2
121.9
122. 2
122. 3
122.8
123. 0
123. 6
123. 6
123. 7
123. 7

108. 5
109.4
110. 1
no. 6
110.9
110. 9
111. 1
111. 1
111. 4
111.8
112. 7
112.8

120.7
121.0
122.8
124. 1

133.0
133. 6
137.4
140.6

126. 0
126. 2
127.6
127.8

108.0
108. 0
108.0
108.0

107.3
107.2
107.4
107.5

123.8
124. 1
124. 5
124.6

113.2
113. 6
114. 5
114.8

1 Prelim inary figures.

+*++**<
C H A N G E S IN

C O S T O F L IV IN G , M A R C H

15, 1943

LIV IN G costs of city workers advanced 1.5 percent in the month
ending March 15, 1943. This rise, which occurred prior to the Presi
dent’s April 8 “hold-the-line” order, brought the level of living costs
to 122.8 percent of the 1935-39 average, 5.9 percent above M ay 1942,
and 21.8 percent above January 1941. The estimate of the change in
living costs from February to March incorporates revisions in the
food-cost index which were designed to take into account the effects
on consumer buying of rationing and other wartim e changes in the
supply ol foods, as well as the effects of recent shifts in population to
war production centers.1 The revisions do not affect the indexes for
previous m onths and did not appreciably affect th a t for M arch. The
“modernization of the index will affect measurements of living costs
significantly only over a period of time and will serve to insure its
future accuracy in reflecting the consumer m arket conditions char
acteristic of the war period.
I rom February to M arch 1943, the largest increases were in retail
prices of foods, which went up 2.8 percent during the m onth, and in
spring clothing prices. The chief reason for the rise in the cost of
food from February 15 to March 15 was an advance averaging 13.2
percent in prices of fresh fruits and vegetables, with increases of about
40 percent for cabbage, green beans and sweetpotatoes, 18 percent
lor white potatoes, and 13 percent for apples. These increases re
flect heavy demand because of rationing of canned goods, as well
as shortages of supply resulting from the cold weather. In conse1

description of these changes in the index of cost of food, see article on page 1214 of this issue.


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Federal Reserve Bank of St. Louis

1183

Cost and Standards of Living

quence of this m arket situation, prices of a number of the green
»vegetables were brought under control of the Office of Price Adminis
tration on February 23 and 24. Prices of fresh fish, which went up
8.4 percent, were not under OPA control. The data are based on
actual selling prices, regardless of OPA ceilings.
Rents, which are subject to Federal control in all cities covered by
the Bureau of Labor Statistics reports, have varied very little in most
areas, and on the average have remained unchanged since December.
Other changes include an increase between m id-February and midM arch of 1.1 percent for clothing, 0.8 percent for miscellaneous goods
and services, 0.3 percent for liousefurnishings, and 0.2 percent for
fuel, electricity, and ice.
C h an g e s in th e cost of goods p u rc h a se d b y w age ea rn ers and low ersalaried em ployees o n specified d a te s are show n in ta b le 1.
T able

I.— Cost of Living in Large Cities, March 15, 1943, and Previous Dates

D ate or period

All
items

Food

Clothing

R ent

Fuel,
elec
tricity,
and ice

Housefurnish
ings

Mis
cella
neous

Indexes i (1935-39=100)
1939: August 15_ ---------1942: M arch 15 __
September 15______ _ __
1943: February 15____________
M arch 1 5 . ___

98.6
114.3
117.8
121.0
122.8

93.5
118.6
126. 6
133.6
137.4

100. 3
123.6
125.8
126. 2
127.6

104.3
108.9
108.0
108.0
108.0

97.5
104.5
106.2
107.2
107.4

100.6
121. 2
123.6
124.1
124.5

100.4
110.1
111.4
113.6
114.5

+ 0 .2
+ 1.1
+ 2.8
+ 6.5
+ 10.2

+ 0.3
+ .7
+ 2 .7
+24.4
+23.8

+ 0.8
+ 2.8
+ 4.0
+12.4
+14.0

Percent of change
Feb. 15, 1943, to M ar. 15, 1943„_
Sept. 15, 1942, to M ar. 15, 1943_„_
M ar. 15, 1942, to M ar. 15, 1943__
Jan. 15, 1941, to M ar. 15, 1943...
Aug. 15, 1939, to M ar. 15, 1943..

+ 1 .5
+ 4 .2
+7. 4
+21.8
+24.5

+ 2.8
+8. 5
+ 15.9
+40.5
+47.0

+ 1.1
+ 1.4
+ 3 .2
+26.7
+27. 2

0
0
- 0 .8
+ 2 .9
+ 3 .5

1 Based on changes in cost of goods and services purchased by wage earners and lower-salaried workers in
large cities of the U nited States.

Percentage changes in the cost of the various items during the
quarter ending on M arch 15, 1943, are shown, by cities, in table 2.


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Federal Reserve Bank of St. Louis

1184
T a b l e 2.

Monthly Labor Review—June 1943
Percent of Change in Cost of Living in Large Cities, Between December 15,
1942 and March 15, 1943, by Groups of Items
C ity

Average: Large c it ie s ..
N e w England:
B o sto n ___________
M anchester______
Portland, M a in e ._
M id d le A tlantic:
B u ffalo __________
N e w Y ork ________
P h ilad elp h ia______
P ittsb u rgh _______
Scranton_________
E ast N orth Central:
C hicago__________
C in cin n ati________
C levelan d ________
D etro it___________
In d ian ap olis______
M ilw au k ee_______
W est N orth Central:
Kansas C ity ______
M in n eap olis______
St. L ou is_________
South A tlantic:
A tla n ta ___________
B altim ore________
Jacksonville______
N orfolk___________
R ich m on d ________
Savan nah_________
W ashington, D . C_
E ast South Central:
B irm ingh am ______
M em p h is_________
M ob ile___________
W est South Central:
H o u sto n __________
N e w Orleans______
M ountain: D e n v e r ___
Pacific:
Los A ngeles_______
Portland, Oreg____
San Francisco_____
S eattle____________

All
item s

Food

Cloth
ing

R ent

Fuel,
electric
ity, and
ice

Housefurnish
ings

Miscel
laneous

+ 2 .0

i +3. 5

+ 1 .4

0

+ 1 .0

+ 0.6

+ 1 .5

+1. 4
+ 2 .8
+ 1 .7

+ 2 .6
+ 4 .2
+ 2 .4

+• 4
+ 2 .2
+ 1 .9

-.1
-. 1
+ .3

+ 1.5
+ 1.8
+ 2 .8

+ 1.3
+ .5
0

+ 1 .2
+ 1 .0

+ 2 .3
+ 2 .3
+ 1 .4
+ 2 .2
+ 2 .3

+ 4 .2
+ 4.3
+ 2 .3
+4. .3
+ 3 .9

+ .7
+ .6
+1.1
+ 1.4
+ 1 .3

0
0
0
0
- .3

+ 1 .4
+ 1 .3
+2.1
+ 4.4

+ 1 .2
+ .3
+ .2
+ .2
0

+2.1
+ 1 .4
+ .8
+ 1.1
+ .3

+ 2 .3
+ 1.7
+2.1
+2. 1
2 + 2 .2
+ 2 .0

+ 4 .6
+ 2 .7
+ 3 .5
+ 3 .0
2 + 2 .6
+4. 2

+ 2 .0
+ 1 .6
+ 2 .0
+1. 7
+ 2 .3
+ 1 .5

0
-. 1
+. 1
-. 1
0
0

-.5
+ 1.4
+1.1
+ 1 .5
+ 2.4
+• 2

+ .4
+ .7
+ .6
+ 1.2
+ 1.9
+ .1

+ 1 .3
+ 1.4
+ 1.5
+ 3.8
+ 2 .7
+ 1.2

+ 2 .5
+ 1 .5
+ 1 .7

+5.1
+ 2 .4
+ 3 .3

+1. 5
+ 1.2
+ 1 .5

0
-. 1
0

+ 1 .8
+ 1.0
0

+ .6
+ .1

+ 1 .5
+ 2 .0
+ .5

+ 3 .2
+ 2 .5
3 + 3 .0
+ 3 .4
+1.G
+ 3 .2
+ 1 .9

+ 5 .8
+ 4 .9
3 + 5 .6
+ 5 .9
+ 3 .4
+ 5 .5
+ 3 .2

+ 1 .5
+ 1.4
+ .9
+ 1. 1
+1.1
+2. 0
+ 2 .0

0
+. 1
+ .2
+ .2
—. 7
-. 1
0

+ 1.3
+ 2.0
+ 2.3
+ 1.1
+ 1.6
+ 3 .2
+ 2.1

+ 1 .0
+ 3.6
+ 3.8
+ .2
+ 1 .3
+ 1.8

+3.1
+ .7
+ 1.5
+ 2.6
+ .6
+ 2 .5
+ 1 .9

+ 1 .7
+ 2 .7
+2. 4

+3. 5
+ 5 .6
+ 5 .3

+ .9
+ .6
+ .8

+ .7
-. 1
-.3

+ .2
0
0

+ .8
+ .3
0

+ .4
+ 2 .4
+ 1.0

+ 3 .3
+ 4 .3
+ 1 .9

+ 6 .2
+ 7 .2
+ 3 .6

+2.1
+ 3 .0
+1.1

+ .1
0
0

-.8
-.2
+ .7

+ .2
+ .5
-. 1

+ 3 .2
+ 2 .7
+ 1 .2

+ .6
+ 1 .5
+ 1 .7
+1.1

0
+ 1.8
+2. 6
+ .8

+ 1 .7
+ 2.4
+2. 1
+ 2 .0

-. 1
0
+ .1
+ .5

0
-.2
- 2 .0
+ .8

+ .4
+ .5
-.2
+ .3

+ 1.5
+ 2 .0
+ 1.9
+2.1

1 Based on data for 56 cities.
2 Indexes for Dec. 15, 1942, revised: All items, 120.9; food, 131.4.
3 Indexes for Dec. 15, 1942, revised: All items, 123.3; food, 138.3.

FO O D S IT U A T IO N IN

C H IN A 1

C H IN A is one of th e lead in g a g ric u ltu ra l co u n trie s of th e w orld,
ra n k in g first in n o rm a l tim e s in th e p ro d u c tio n of rice, w h e at, sw eetp o ta to e s, k ao lian g , so y b ean s, m illet, b arle y , p e a n u ts, tea, an d silk’.
N o tw ith s ta n d in g its en o rm o u s p ro d u c tio n , C h in a does n o t p ro d u c e
eno u g h food fo r its ow n people, b u t n o rm a lly m u s t im p o rt g re a t
sup p lies of rice, w h e a t, a n d su g ar. I n th e la s t few y ears, how ever,
fewT food im p o rts h a v e been possible.
A m ong th e w a rtim e co n d itio n s t h a t h a v e m ad e th e food s itu a tio n
m ore serious h a v e b een th e b lo ck ad e, s to p p in g food im p o rts; th e
in v a d in g enem y, n o t only liv in g on th e c o u n try sid e b u t also d estro y in g
or b u rn in g im m en se q u a n titie s of p ro d u c ts ; th e w a sta g e of fa rm la n d
on w a r fro n ts ; a n d th e d ra ftin g of fa rm la b o r for m ilita ry service. T o
th ese m a y be a d d e d th e fa m in e in th e P ro v in ce of H o n a n (w hich h a s
19* 1943a are fr° m C ontem P°rary C hina (Chinese News Service, Rockefeller C enter, New Y ork), April


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Cost and Standards of Living

1185

b een a w a r s to rm c e n te r fo r th e la s t 6 y e a rs), affecting som e 10,000,000
persons.
T w o of C h in a ’s o u ts ta n d in g p ro b lem s are (a) to secure food enough
for b o th civilians a n d soldiers to m a in ta in life a t le a st a t a b are
ex istence level d u rin g th e w a r; a n d (b) to ex p a n d a g ric u ltu ra l p ro d u c 
tio n so as to im p ro v e living s ta n d a rd s a fte r th e w ar. V igorous
m easu re s h a v e b een ta k e n to in crease p ro d u c tio n , to equalize d is tri
b u tio n , a n d to c o n tro l prices. T h erefo re, a lth o u g h m illions of refugees
a n d of re sid e n ts in th e w a r regions h a v e suffered fro m h u n g e r a n d even
s ta rv a tio n , th e c o u n try in g en eral h a s h a d no serious lack of food.

Production and Consumption of Farm Products
Of the country’s 80,000,000 households, about 60,000,000 are farm
households, and the farming population constitutes about 75 percent
of all the people in China.
In 28 Provinces in China, excluding Mongolia and Tibet, there are
12% billion mou of land.2 Over 6% billion mou belong to the 10
frontier Provinces, and the remainder to the 18 Provinces of China
proper. Of this immense land area, only about 1% billion mou
(approximately 14 percent) are cultivated. The farm land per capita
is about 3.5 mou.
The average yearly food production before the outbreak of the war
was as follows:
Rice
W heat
________
B arley
_ . ________
K aoliang
_ _ _
________
Corn
M illet
O ats
P o ta to e s_______________

P iculs 1

Tons

939, 705, 010
542,0 2 4 ,2 5 2
200,8 3 5 ,3 7 7
239, 230, 520
184, 215, 085
199, 695, 879
17, 932, 000
447, 524, 496

(51, 683, 776)
(29,811,334)
(11,045,947)
(13, 157, 679)
(10, 131, 830)
(10, 983, 273)
(986, 260)
(24, 613, 847)

1 1 picul =110 pounds.

I t was estimated th a t this food supply could meet the requirements
of only nine-tenths of the population. The pre-war customs reports
showed th a t the imported foods covered, on the average, only onefourth of the food deficit. As a consequence China’s food supply
was sufficient only for 92.25 percent of the people and 33,000,000 of
them did not have enough to eat.
Food production in wartime.—Of the last 6 years, 3 (1937, 1940, and
1941) were lean in food production and the others (1938, 1939, and
1942) were fat years. The accompanying table shows, in piculs, the
pre-war average compared with the 1938 and 1939 production.
Pre-War Average Food Production in China, Compared With Production in 1938 and 1939
P roduct

Rice
W heat
B arley
_ _ _ _
TVa.olia.nir
Corn
- M illet
___________________________
Oats
___
P o tato es__________________________________________
1 1 picul = 110'pounds.
2 1 m ou=

of an acre.


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Federal Reserve Bank of St. Louis

Pre-war average

Piculs 1
725,839,000
169,160, 000
88, 553,000
32,476,000
59, 407,000
35, 236, 000
2, 961,000
215, 331, 000

1938

Piculs 1
746,146, 000
202,911,000
90,338, 000
33, 969,000
70, 249, 000
33,110, 000
3,118, 000
275, 520, 000

1939

Piculs 1

762, 678,000
198,188,000
91, 534, 000
34, 273, 000
71,158. 000
24,013, 000
3, 375, 000
247, 721, 000

1186

Monthly Labor Review- June 1943

T h e e stim a te d c u ltiv a te d lan d in th e 15 P rovinces of F ree C h in a
is a p p ro x im a te ly 580,000,000 m ou a n d th e av e rag e food p ro d u c tio n
a p p ro x im a te ly 1,500,000,000 piculs p e r an n u m .

Government Measures
Agricultural measures.— I n 1941 th e M in istry of A g ric u ltu re and
F o re s try p la n n e d to ra ise th e cereal o u tp u t b y 32,000,000 piculs
th ro u g h th e in crease of fa rm acreag e an d th e a d o p tio n of im p ro v ed
fa rm in g m e th o d s. N ew areas p u t u n d e r c u ltiv a tio n ag g reg ated
45.600.000 mou. T h ese m e a su re s re su lte d in th e p ro d u c tio n of
89.704.000 piculs—nearly triple the expected amount. The same
measures were used in 1941, and again in 1942, and resulted in sub
stantial increases in production.
The Farm ers’ Bank of China, a Government establishment, has
extended credit to farmers in over 800 counties. Its outstanding loans,
as of November 1942, amounted to 560,000,000 yuan.3 Approxi
m ately 80 percent of this sum was used for expanding agricultural
production and the remainder for irrigation, reclamation, and exten
sion of farm acreage.
Food supply and prices.—I n th e l a t t e r p a r t of 1940 prices of food
ru sh e d sk y w ard . I n J u ly 1941 a M in is tr y of Food w as estab lish ed
to ta k e th e p lace of th e N a tio n a l F o o d A d m in is tra tio n c re a te d in
A u g u st 1940.

According to a 1941 estimate, the Army required 20,000,000 piculs
of rice and 20,000,000 piculs of wheat; public functionaries and school
teachers needed 20,000,000 piculs of rice and wheat. A decision was
reached to collect the land tax in kind, and also to purchase food from
landlords by food debentures at cost prices. Furtherm ore, it was the
Governm ent’s policy to make the rich pay more than the poor.
In the course ol the last 3 years the Chinese Government has
placed ceilings on the chief food items, b u t it has been necessary peri
odically to adjust those ceilings to production and transportation
costs. In general, it is said, there is no serious deficiency of food, but
there are great, difficulties as regards transportation and control.
Commonly it has been the cities th at have experienced the shortages,
whereas the country districts were well supplied. The Government
has undertaken to purchase food and transport it from producing to
consuming sections. This procedure has been quite successful in
relieving the situation of the urban people.
B eg in n in g in 1941, th e G o v e rn m e n t h a s enforced a v ery s tric t a n tih o a rd in g a n d a n tip ro fite e rin g law (w hich h a s led to th e execution of a
few h ig h officials). All d ealers of foodstuffs are re q u ired to re g ister
w ith th e G o v e rn m e n t a n d th e y m u s t m a k e p eriodic re p o rts of p u r 
chases, sales, an d sto ck s. T h e y h a v e to c a rry o u t all tra n s a c tio n s in
foodstuffs w ith in specified tim e lim its a n d are allow ed to keep only
lim ited supplies.

Plans for Post-War Period
T h e C hinese p o st-w a r p ro g ra m includes en o rm o u s ex p an sio n along
in d u s tria l lines, b u t a g ric u ltu re will u n d o u b te d ly c o n tin u e to be th e
d o m in a n t a c tiv ity in th e life of th e n a tio n . V illage co m m u n ities and
3 Y uan at par=29.75 cents; its value varies, however, w ith the price of silver.


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Cost and Standards of Living

1181

various governmental agencies will have to cooperate in planning and
working to raise the total agricultural output.
The principal foods of the Chinese are rice, wheat, and vegetables.
L ittle m eat and fish are used. The average person’s daily diet is a
few bowls of rice or some bread and vegetables. Therefore, if China
is to raise this very low level of living, the nation must develop the
food industries on an immense modern scale. This will entail con
tinuance of measures to improve and expand agriculture, as well as
the inauguration of a program to increase the supplies of m eat and
fish for C hina’s population of 450,000,000.

5 2 9 0 8 5 — 43-


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Federal Reserve Bank of St. Louis

10

Wage and Hour Statistics

W AGE

S T A B IL IZ A T IO N IN C A L IF O R N IA
IN D U S T R Y , 19431

A IR F R A M E

S u m m a ry
STA N D A R D IZED wage rates for all types of occupations in tlie
southern California airframe industry were provided in the decision
oi the National W ar Labor Board made public on M arch 3, 1943.
1 he basic hiring rate of 60 cents per hour, w ith autom atic 5-cent in
creases every 4 weeks up to 75 cents, was left unchanged. A 10-grade
job classification was adopted, with a minimum basic wage rate of 75
cents per hour in labor grade X and a maximum of $1.45 per hour in
labor grade I. Additional specialist rates up to $1.60 per hour were
also provided.
Shift differentials of 6 cents per hour on the second shift and 6 cents
per hour with 8 hours’ pay for Q% hours’ work for the third shift were
established for all plants except Consolidated Aircraft, in which the
pievious differentials of 8 cents for the second and third shift, with
8 hours’ pay for 8 hours’ work on the third shift, were to be continued
unless the Board premiums were substituted by m utual agreement.
th e directive order of the Board provided th at upon application of
the job schedule provided, each classified employee should immediately
receive at least the minimum hourly wage rate attached to the labor
grade m which his job was classified. I t provided further th a t the
job schedule should not operate to cause a decrease in the hourly wa^o
tate of any employee. Application of these directives to the present
wage structure will raise average straight-tim e hourly earnings for
some employees in practically every classified occupation. I t is esti
m ated th at average straight-tim e hourly earnings for all workers paid
. y 1 1c hour in the southern California airframe industry will be
increased by 3 cents per hour—from 85.4 (September 1942) to 88 4
cents.

It age-Rate History of the Industry Since 1941
M in im u m h o u rly ra te s fo r b eg in n ers w ere s ta n d a rd iz e d in 1941, b u t
m a rk e d differences p e rsiste d in th e w age ra te s p aid to tlie v ario u s
experien ced w o rk e rs in a n y g iv en o cc u p a tio n a n d g ra d e.2 T h ro u g h o u t
1942 n u m e ro u s d iscussions of f u r th e r s ta n d a rd iz a tio n to o k place, in th e
in te re s t of im p ro v in g m o rale a n d re d u c in g la b o r tu rn -o v e r. A w agesta b iliz a tio n conference, sp o n so red b y th e L a b o r P ro d u c tio n D ivision
of th e W a r P ro d u c tio n B o a rd , w as h eld in J u ly 1942 w ith o u t lead in g
to an y conclusion. U n d e te rm in e d a t t h a t tim e w as th e q u e stio n as to
i Prepared by Theodore W. Reedy and N . Arnold Tolies,
bee l . S. Bureau of Labor Statistics B ulletin No. 704, or M o n th ly Labor Review, M arch 1942 (p. 559)

1188

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Federal Reserve Bank of St. Louis

Wage and Hour Statistics

1189

whether the Government would approve a general wage increase as
p art of any agreed plan of wage stabilization. In September 1942,
the National W ar Labor Board took jurisdiction over all the W est
Coast airframe cases 3 and appointed, as investigator, Paul R. Porter,
who had conducted the previous W PB conference. The investigator
held a wage hearing in Los Angeles, October 12-17, 1942, and sub
m itted his recommendations-to the Board in January 1943.4 After a
hearing on these recommendations, the Board issued its order on
M arch 3, 1943.5 This order governs the wage scales now paid by all
the airframe plants in the southern California area.

Job Description and Evaluation
All the parties involved in the California airframe industry recog
nized th at a well-defined list of occupations was essential to any plan
for a uniform wage structure. Furtherm ore, the opinion prevailed
th a t relative rates of pay should bo based on a system atic evaluation
of the various jobs. Two alternative sets of job descriptions and
evaluation were presented to the Board’s investigator. One of these
plans had been developed jointly by the International Association of
M achinists and the LockheedA ega M anagement, The second plan
had been developed through discussions among the representatives of
the various companies involved. This second plan, which came to be
known as the S. C. A. 1. plan,6 was adopted by the Board’s investigator
and later by the Board itself as the initial basis of wage stabilization in
the California airframe plants.
The S. C. A. I. system of job descriptions involved a consolidation
and redefinition of 1,154 titles of factory occupations which had been
used as late as 1941. The total num ber of titles was reduced to 116.
Counting the A, B, and C classes, which were provided for most of
these occupations, the total num ber of responsible factory jobs
amounted to 291.
.
Job evaluation under the S. C. A. I. plan involved a quantitative
expression of judgm ent as to the importance of each of seven factois
related to each job: Skill, m entality, equipment and m aterial responsi
bility, m ental application, physical application, job conditions, and
unavoidable hazards. The requirements of any job were expressed m
terms of a scale of points which varied according to the relative impor
tance of each factor and the degree to which th a t factor wasjuciged to
be involved. The factor of skill carried the greatest weight, with pom t
values based on the length of training and experience th at would be
required, normally, to qualify a worker for a given job grade. I he
other factors were evaluated in terms of 5 degrees, with a weight as
high as 20 to 100 points for “m entality” and as low as 5 to 45 points
for “ unavoidable hazards.” The theoretical maximum point value
of any job under the S. C. A. I. plan was 890, of which 400 points
m ight be attributed to the “skill” requirement. The highest point
3 Cases Nos. 174, 307, 557, 558, 608, 609, 610, and 673.
P -o i t? Tw+nr.
4 i n the matter of West Coast Airframe Companies: Report and recommendations of Paul R. Porter,
chairman of wage hearing held at Los Angeles, October 12-17, 1942.
M
„ 1Q.q
s Tu the matter of West Coast Airframe Companies: Directive order of Board, March 3, 1943.
e s C A I »Southern California Aircraft Industry. Many of the elements of the S. C. A. I. plan had
been applied at the North American Aviation plant as a means of carrying out the refinem ent of wage rates
provided in the r^on^greem ent of July 1,194L The United Automobile Workers of America had accepted
the practical apphcaUorfof this evaluation plan at North American, but without approving it as a general
basis for wage stabilization.


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Federal Reserve Bank of St. Louis

1190

Monthly Labor Review— June 1943

value actually given has been 655 for service and flight inspectors,
th e lowest point valuation consists of 125 points for janitors.
Once the factory jobs were evaluated, the employers had a basis for
pioposing a specific scale of rates. They did not propose individual
scales for each of 291 separable jobs, but rather suggested the estab
lishment of 10 rate ranges. The entire list of jobs was grouped into
10 so-called labor grades. All jobs having a point value below 200
were placed m labor grade X . Those evaluated at 600 points or more
v (ji (' assigned to labor grade I. The interm ediate grades were estab
lished on the basis of 50 evaluation points per grade.

Recommendations of Board's Investigator
The investigator’s report to the W ar Labor Board included four
lm poitant wage recommendations: (1) No change in the existing wage
scales for beginners, (2) a general increase of 5 cents per hour for all
classified workers, (3) specific ranges of rates for each of 10 labor grades
and (4) an autom atic pay raise of 5 cents per hour every 3 m onths
ior each individual worker, until the maximum rate for his job is
leached. Advancement of a worker from one job to another was
not to be compulsory but w^as to be stim ulated by a provision for a
periodic review7 of each worker's eligibility for upgrading.
The specific wage scales in the various labor grades, recommended
by the Board’s investigator, were as follows:
M inimum rate

G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade

Maximum rate

Specialist rate

$0. 85
. 95
1 . 00
1. 05
1 . 10
1. 15
1. 25
1. 30
1. 40
1. 50

$1. 35
1. 45
1 . 60

X -------------------------------------- $0. 85
I X ________________________
85
V I I I ______________________
’ go
95
V I I _______________________
V I__________________________
100
V ___________________________ 105
IV ________________________
y jq
I I I _________________________
1 15
I I __________________________
p 20
I ___________________________
j 39

. ^ specialist rates were recommended for the purpose of authoriz
ing the paym ent of higher rates to exceptional individuals, without
requiring th a t all the workers in the labor grade should advance
autom atically to the specialist rate.
I abi.e I. Percent of Increase in It ages of Southern California Airframe Employees,
' ruler Recommendations of Board's Investigator, by Grade, as of September 1942 1
Labor grade

Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade

I ____
I I __
III
IV __
V_ ___
V I___
V IL .
V IIL „.
I X ___
X ___

All grades

Increase to
grade mini
mum

Immediate
in-grade
increases

Total im
mediate
increase 2

Increase of
all workers
to grade
maximum

Percent

Percent

Percent

Percent

5.3
8.9
8.4
10.6
11.9
13.5
11.4
10.8
7.7
9.3

1. 6

•1
.o
1. z

7.2
9.9
9.9
11.8
12.5
14.2
12.0
11.7
8.6
6.5

.8

10.3

.y

1.2

.1

.5
.5
.6

18. 5
25. 5
20.1
23. 8
21. 7
24.2
22. 7
22. 6
19. 5
10. 9
20.4

1 Source: Government Exhibit K, In the matter of West Coast Airframe Companies,
2 Including the general increase of 5 cents to all workers both above and below the standard maximum
rate for the grade.


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Federal Reserve Bank of St. Louis

1191

Wage and Hour Statistics

H ad the report of the investigator been adopted by the Board, the
wage bill of the California airframe plants would have shown an
immediate increase of 10.3 percent above the level in September
1942. Autom atic increases up to the maximum rate for each grade
would further have raised the wage bill. After approximately 6
months, workers who continued in employment would have been
raised by an average of 20.4 percent.

Rates Set by Board
In considering the report of its investigator, the W ar Labor Board
accepted the principle of wage stabilization through rate ranges for
each of 10 labor grades. Likewise, the Board approved the proposal
to retain the existing rates for workers with less than 3 m onths’
experience. However, the m ajority of the Board rejected the pro
posed general increase of 5 cents an hour, the proposed provision for
autom atic in-grade increases, and the specific scale of rates th at had
been recommended by the Board’s investigator.
Labor grade X was divided into two parts. A flat rate of 75 cents
an hour was set for certain of the lowest-rated jobs, such as th at of
janitor, which did not exist in any of the higher labor grades. A
wage from 75 to 80 cents was set for other jobs, such as th a t of class
B anodizer and class C electrical assembler. Labor grade X -B and
C thus consisted of jobs in which the worker was subject to upgrading
as his experience on the job increased.
The scale of rates finally approved and now in effect is as follows:
M inimum rate

G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade
G rade

X - A ______________________ $0. 75
X -B an d C ________________
.7 5
I X ________________________
.8 0
V I I I ______________________
.8 5
V I I _______________________
.9 0
V I________________________
.9 5
V ________________________
1 .0 0
IV ________________________
1.0 5
I I I ________________________
1.1 0
1. 20
I I _________________________
I __________________________ 1. 25

Maximum rate

Specialist rate

$0. 75
.8 0
.9 0
.9 5
1. 00
1. 05
1.10
1.20
1.25
1. 35
1. 45

------------------------------$1.30
1.35
1. 45
1. 60

Individual wage increases up to the established minimum rates
were m andatory. In-grade increases, from the minimum to the
maximum rate, were not m andatory but were authorized as a reward
of individual merit. Specialist rates were provided for not more
than 10 percent of the workers in each of the labor grades I to IV and
(by special ruling) for class A and B welders.7
All the rates established by the order were for work at straight
time on the first or daylight shift. Overtime pay is governed by the
FaA Labor Standards Act. E xtra pay for work on second and third
shifts was standardized by a provision for a shift differential of 6
cents per hour for both of the additional shifts- and by the further
provision th a t the third shift should receive 8 hours’ pay for 6% hours’
work. An exception was recognized in the case of the Consolidated
Aircraft plant in San Diego, where the existing 8-cent shift differential
was retained.
A retroactive wage adjustm ent was made by the Board, in view of
the extended period of consideration of the aircraft cases. Each
7 This exception was made to permit the continued payment of higher-than-usual rates that had been
established under some collective agreements.


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Federal Reserve Bank of St. Louis

1192

Monthly Labor Review—June 1943

worker who remained on the pay roll of a single company from
July 6, 1942, to the date of the Board’s order was allowed a lump
sum of $64.75 in cash or three war bonds of $25 face value plus $10
in cash. Special provisions were made for those employees with a
shorter period of service ($1.85 per week or m ajor fraction thereof)
and lor those term inated because of entry into the armed services
($2.50 per week or m ajor portion thereof). Since calculation of the
total am ount of this bonus depends upon length-of-service information
which is not available to the Bureau of Labor Statistics, no estimate
of this item can be made here.

Effect of Order on Factory Wage Bill
The basic data for estim ating the increase in the wage bill and the
resulting levels of straight-tim e average hourly earnings were col
lected and compiled by the Southern California Airframe Industry
Research Com m ittee and were presented as industry exhibits during
the recent wage hearings before the N ational W ar Labor Board.
Calculation of the estim ated increase in the wage bill is based upon
Government exhibit J -I , in the investigator’s report presented to the
N ational A ar Labor Board, an adaptation of which is shown in
table 2.
I able 2 .

Percentage Distribution oj Employees in California Airframe Industry, by
Straight-Time Average Hourly Earnings and Grade, as of September 1942 1

Average
hourly
earnings

Percent of employees receiving specified average hourly earnings in—
Grade
I

Grade
11

Grade
III

Grade
IV

Grade
V

0.1

0.1

0.2

0.5

.1

.3
.1

.2
.8
2.8
1.0

.8
.6
5.8
1.9

2.6
.3
11.7
9. 1

$0.900____
.3
$0.925____ ______
$0.950____
.3
$0,975
.1
$1,000
2.7
$1.025____
.3

.4
.1
3.8
.7
11.4
2.0

3.3
.2
7.4
3.6
12.7
4.3

13.0
1.9
13.5
7.7
14.8
6.3

18.4
3.6
18.6
8.4
12. 1
2.8

$1.050____
$1.075____
$1.100____
$1.125____
$I.150_
$1.175_.

3.1
.9
10.9
4.0

17.9
2.6
14. 8
7.3
11.3
5. 6

13.1
1.4
12.0
3.6
9.5
2.1

9.6
1.5
5.4
2.8
3.9
1.4

$1.200____
$1.225-_- _
$1.250___
$1,275
$1.300____
$1,325

11.3
1.0
10. 9
4. 4
11.8
3.1

6.0
.7
5.2
2.0
5.3
.3

6.0
.9
4.8
1.9
5.3
1.2

$1.350____
$1.375____
$1.400_- $1,425$1,450
$1,475--.
$1.500___

12.2
.2
11.1
.4
.8
.1
7.4

.7
.1
.2
.3
.8

.8
.5
.4

Total--

100.0

100.0

$0.750____
$0.775____
$0.800____
$0,825$0.850____
$0.875____

0. 1

2.5

Grade
VII

Grade
V III

Grade
IX

7.5

9.6

28.8

36.2

73.4

10.5
11.6
15. 1
8.1

15. 6
9.8
25.1
10.4

25.6
11.2
15.0
4.6

31.8
16.5
10.3
1.1

9.7
8.3
5. 4
1.4

15.9
4.2
12. 2
2.5
5.6
1.2

15.7
2.1
6.5
1.4
2.3
.3

8.0
1.7
1.9
.5
.6
.3

1. 7
.1
.3
.1
.1

1. 0
.1
.1

3.7
.5
3. 5
1.0
1.4
.7

1.9
.7
1. 1
.8
.4
.1

.5
.2
.1
(2)
(2)
0

.2

1.3
.3
1.9
.5
3.4
.2

.2
.2
.2
(2)
.5
(2)

.1
(2)
.1
(2)
.1
(2)

1.0
.3

(2)
(2)

0

.1

.2

X

All
grades

(2)

(2)

100.0

100.0

28 0
.9
18 9
10 8
13 0
4.3
7 4
13
4 0
12
? 6
.7

0
0

0
.1

1 5
1n
4
8
3

0

0
0
0

0

0

5

0

0

5
0

.6
]

(2)
0

(2\
\)
100.0

100.0

2

(2\
V)
(2\)
V

.1

1 G overnm ent exhibit J - l, P o r te r recom m endation.


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

Grade
VI

100.0

100.0

100.0

100.0

2 Less th a n a te n th of 1 percept:

.1

100.0

1193

Wage and Hour Statistics

The industry has been directed to grant a wage increase to each
employee whose base rate is below the minimum rate of the grade in
which his job is classified. Thus, in the case of a job classified in
labor grade VI, an employee receiving 80 cents per hour base rate
would receive an increase of 15 cents per hour to 95 cents, the grade
minimum. The information shown in table 2 can be used to calcu
late the extent of these wage increases.8 The results of this calcula
tion are shown in table 3.
The increase in straight-tim e average hourly earnings of all hourly
paid employees, as a result of the application of the B oard’s order,
is estimated to be 3.6 percent.9 This am ounts to an increase of 3
cents per hour to 88.4 cents, based upon average earnings of 85.4 cents
per hour for all workers. Since certain salaried employees, beginners,
and workers now being paid the grade minimum or above will receive
no wage increase, the percent of increase based upon the pay roll for
the entire industry would be somewhat smaller.
T a b l e 3 . — Estimated

Increase in Straight-Time Average Hourly Earnings of Southern
California Airframe Employees 1 Under War Labor Hoard Order
[Based upon in d u stry pay roll for September 1942]

Labor grade

Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade
Grade

I _______________________________
I I ______________________________
III
__ IV ____ ___ . . . ____________ __
V.__ ___________________________
V I_________ , ___________________
V II____ _______________________
V III____________________________
I X ______________________________
X
_ _

All grades.

Percent of
employees
w ithin
grade

Percent of
increase
in average
hourly
earnings

1.4
1. 2
2.8
4.7
2.3
8.5
21.0
12.1
32.6
13.4

2.8
6.3
4.1
4.7
6.7
8.6
4.4
5.6
1.5

100.0

3.6

1 Includes only shop employees paid by the hour; excludes supervisory personnel.

The greatest increase, 8.6 percent, is found in labor grade VI. In
grade X there is no increase, since the minimum basic rate for th a t
grade is 75 cents per hour, and no classified employees now earn less
than th a t rate. Other increases vary from 1.5 to 6.7 percent in the
different grades.

Effect of Order on Occupational Straight-Time Average Hourly
Earnings
The m ethod of calculating the effect of the award on occupational
straight-tim e average hourly earnings is essentially the same as th a t
used to calculate the wage-bill increase. Given a distribution of
employees by average straight-tim e hourly earnings for each occupa
tion, the problem is simply to obtain a new average for th a t occupa
tion after increasing the base rate of all employees now below the
8 Basic hourly wage rates below 75 cents are classified as beginner rates and are not included. T he order
has no im m ediate effect on the wages of employees now working a t these rates.
“ Based upon the September 1942 pay rolls of all southern California airframe companies, excluding the
R y an Aeronautical Co., San Diego.


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Federal Reserve Bank of St. Louis

1194

Monthly Labor Review- June 1943

minimum of the grade in which the occupation is found to th at
minimum. Thus, an employee with a straight-tim e hourly rate of
90 cents engaged in an occupation in grade V (which has a $1 mini
mum) would have an increase of 10 cents to raise him to the mini
mum, which in turn would raise the average for the occupation.
Fluctuations in the occupational average as a result of changes in the
pattern of employment m ay be extremely wide. Hence, the adjust
m ent shown in table 4 m ay be slightly in error in the case of any one
occupation, but should be substantially correct in most cases.
T a b l e 4 . —Straight-Time

Average Hourly Earnings, by Occupation, Based on Order of
National War Labor Board (September 1942 Pay Roll)

Labor grade and occupation

Grade I ___________________________________
Inspectors, experimental, grade A___
Inspectors, outside production, grade A___
Inspectors, service and flight, grade A ___
Inspectors, tooling, grade A _____________
Jig builders, grade A ___________________
M achinists, general, grade A ____________
Mechanics, experimental, grade A _______
M odel builders, grade A ________________
Patternm akers, m etal and wood, grade A
Tool and die makers, grade A ___________
Grade I I __________________________________
Electricians, m aintenance, grade A ___
Form builders, wood, grade A ________
H eat treaters, steel, grade A ___________
Inspectors, final assembly, grade A ____
Jig borer operators, grade A _____________
M echanics, field and service, grade A ____
M echanics, maintenance, grade A _______

Percent
of
employees

100. 0
1.8

2.4
7.7
7.8
19. 2
4.7
6.4
1.8

7.0
41.2
100.0

26. 2
6.4
2.3
24.9
3.9
18.2
18.1

Grade I I I ____________________________________
Boring-mill operators, grade À ____________
Die finishers, grade A _____________________
D rop-ham m er operators, grade A ___________
Duplicating-m achine operators, grade A___
Engine-lathe operators, grade A ____________
G rinder operators, grade A ________________
Inspectors, experimental, grade B __________
Inspectors, machined parts, grade A
Inspectors, outside production, grade B _____
Inspectors, salvage, grade A _______________
Inspectors, service and flight, grade B _____
Inspectors, tem plate, grade A ______________
Inspectors, tooling, grade B ___
Jig builders, grade B ______________________
M illing-machine operators, grade A _______
M odel builders, grade B ___________________
P atternm akers, m etal and wood, grade B ___
Patternm akers, plaster, grade A _________
Planer operators, grade A _________
B adial-drill-press operators, grade À ______
Screw-machine operators, autom atic, grade A
Shaper operators, grade A _________________
Tem plate makers, grade A ______
Tool and die makers, grade B _____
T urret-lathe operators, grade A___
Welders, combination, grade A _____________

100. 0
1.6
1.9
2.2

Grade IV ________ __ ________________________
Assemblers, general, grade A ______
Assemblers, precision, bench, grade A ______
Blacksmiths, grade A ______
C abinetm akers, wood, grade À _____________
C arpenters, maintenance, grade A __________
Electricians, m aintenance, grade B _________

100.0

See fo o tn o te s a t en d o f ta b le .


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

1. 1

7.7
3. 4
1.2

3.4
2.6

2.9
2.3
2. 1
2.0

H ourly
earnings,
on basis
of order

H ourly
earnings,
Septem
ber 1942

$1.317
1. 264
1. 275
1. 279
1. 301
1.286
1. 315
1. 250
1. 313
1. 361
1.351

$1.28

1. 222
1. 239
1.255
1. 229
1.207
1. 254
1.210
1.211

1. 15
1. 18

1.146
1. 243
1. 101

1. 117
1. 158
1. 207
1. 203

1. 110

1.180
1.113
1. 116
1. 145
1. 168
1. 114

28.6

1. 102

10. 1

1.187
1. 117

.9
2.1
2.8

1. 122

.4

1. 217
1.230

2.1

1. 101

.9
1.9
2. 1

7.8
5.4
.5
6.8

3.9
.1
1.4
3.9
6.1

1.233
1. 189
1. 123
1.113
1. 191
1. 300
1.090
1.067
1. 061
1. 108
1.097
1. 095
1.066

H ourly
earnings,
December
1941
(first shift
unless
otherwise
noted)

1.20

1.23
1. 23
1. 29
1. 25
1. 30

$1.168
1.247

1.02

1.25
1.35
1.34

1. 22

1.16
1. 14
1.23
1. 13

1.11

1.281
1. 169
i 1. 213
1.042
1.015
1.067

1. 10

1. 24
1.03
1.09
1. 14
1. 20

1. 19
1.04
1. 17
1.03
1.06

1. 10
1. 16
1.06

i 1. 003
1. 143
1 1.190

i 1.110
i 1.172

1.02

1. 18
1. 07
1.07

1.153

1. 21

1. 226

1.23
. 91
1. 23
1. 17
1.06
1.06
1. 18
1. 30
1. 04
1.03
1.01

1.04
1.07
1.07
.97

i 1.181
i 1. 035
1.042
1.066

.992
1. 069
1. 059
1.051

1L95

Wage and Hour Statistics
T a b l e 4 . —Straight-Time

Average Hourly Earnings, by Occupation, Based on Order of
National War Labor Board (September 1942 Bay Roll)—Continued

Labor grade and occupation

Grade IV —Continued.
Form builders, wood, grade B __________________
H eat treaters, steel, grade B ____________________
Inspectors, detail, grade A _____________________
Inspectors, final assembly, grade B --------------------Inspectors, general assembly, grade A -----------------Inspectors, precision assembly, grade A -------------Inspectors, shipping, grade A ___________________
Inspectors, welding, grade A ____________________
Installers, arm am ent, grade A ___________________
Installers, hydraulic, grade A ___________________
Installers, power-plant, grade A _________________
M achinists, bench, grade A _____________________
M echanics, autom otive, grade A ___________
M echanics, field and service, grade B ____________
M echanics, m aintenance, grade B _______________
M etal fitters, grade A ____________ ______________
M olders, aircraft, grade A ______________________
Pipefitters, m aintenance, grade A _______________
Plum bers, m aintenance, grade A ________________
Pow er-ham m er operators, grade A _______________
Sheet-metal workers, bench, grade A _____________
Sheet-metal workers, maintenance, grade A ---------W elders, arc, grade A __________________________
Welders, gas, grade A __________________________
W elders, m aintenance and jig, grade A ----------------Grade V __________________________________________
Crowning-machine operators, grade A -----------------D raw -bench operators, grade A --------------------------Form-block makers, grade A ____________________
H eat treaters, alum inum , grade A _______________
H ydraulic straightening and forming press opera
tors, grade A _ . ______________________________
Inspectors, receiving, grade A ___________________
Installers, controls, grade A _____________________
Installers, electrical, grade A _________ _____ —
----Installers, general, grade A _____________________
Painters, aircraft, grade A ______________________
Painters, m aintenance, grade A _________________
Power-brake operators, grade A _________________
Sign painters, grade A ______________________ —
Slotter operators, grade A _______________________
Upholsterers, grade A __________________________
W elders, alum inum , grade A ____________________
Grade V I
_____________________________________
Boring-mill operators, grade B __________________
Buffer and polishers, grade A _________ _______
Craters, grade A ____________________________ -Die finishers, grade B __________________________
Drill-press operators, grade A ___________________
D rop-ham m er operators, grade B -----------------------D uplicating-m achine operators, grade B -------------Electroplaters, grade A _________________________
Engine-lathe operators, grade B ------------------------G rinder operators, grade B _____________________
H ydro-press operators, grade A _________________
Inspectors, experimental, grade C ---------- ----------Inspectors, m achined-parts, grade B _ . --------------Inspectors, salvage, grade B -----------------------------Inspectors, service and flight, grade C ----------------Inspectors, tem plates, grade B --------------------------Inspectors, tooling, grade C -----------------------------Jig builders, grade C ___________________________
M illing-machine operators, grade B -------------------M odel builders, grade C -------------------- --------------Patternm akers, m etal and wood, grade C -----------Patterm akers, plaster, grade B -----------------Planer operators, grade B __________________
Power-shear operators, grade A ------------------Punch-press operators, grade A .------------------Radial-drill-press operators, grade B -------- _---------

See footnotes at end of table.


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

Percent
of
employees

H ourly
earnings,
on basis
of order

H ourly
earnings,
Septem 
ber 1942

2.5
.6
2. 0
7.5
6.4
1.3
.8
.3
.8
3.3
1.8
1.7
.5
12. 3
8.5
3.0
.9
1.7
1.7
.7
6.5
.6
3.3
5.3
3.8

$1.058
1. 050
1.067
1.058
1.075
1.071
1.064
1. 132
1.050
1.053
1.057
1.088
1.105
1. 050
1.055
1.078
1.072
1. 101
1. 094
1. 073
1.087
1. 072
1.280
1.230
1. 247

100.0
.2
.2
3.8
3.7

.993
1. 000
1.020
1.049
1.003

1.01

.6
1.9
9.2
11.2
43.0
13. 3
2.9
3. 1
1.8
(2)
3.0
2.1

1. 015
1.048
1.008
1.013
1.003
1. 018
1.076
1.014
1.039
1.230
1.033
1.260

.91
1.04
.95
.97
.92
.98
1.06
.97
.99
1.23
.97
1. 26

.960
1. 040
. 990
.963
.950
.962
.972
.988
.969
.986
.982
. 952
. 975
1.021
.970
.985
.955
.968
.951
.991
.972
.955
.991
.970
. 959
.972
.953

.89
1.04
.96
.90
.85
.89
.94
.97
.91
.97
.96
.83
.93

100. 0
.2
.3
.8
.4
2.6
1.9
.2
.7
2.3
1.4
.1.6
.2
1.1
.6
.1
.5
.8
23. 7
4.6
.5
.5
1.0
.3
2.0
2. 2
.7

$0. 98
.93
1.04
.99
1.05
1.05
1.03
1.13
.93
.95
.98
1.07
1.07
.95
.97
1.05
.98
1.08
1.07
1.03
1.05
1.04
1. 28
1.23
1.24

H ourly
earnings,
December
1941
(first shift
unless
otherwise
noted)

i Î0. 904
.895
1.039

1.007
i 1.106
.907
.951
1. 085

1.047
1.324
1. 245
1.205

.96
.97

1.03
.83

1.041
.966
.972

1.804
.761
i. 862
.854
1.979
1.894

1.01

.93
.95
.93

.86
.84
.97

.88

. 901

.85
.97
.94

.88
.92

.83

1.960
1.869

1196
T ab le 4.

Monthly Labor Review—June 1943
Straight-Time Average Hourly Earnings, by Occupation, Based on Order of
National II ar Labor Board (September 1942 Pay Roll)—Continued

Labor grade and occupation

G rade V I—C ontinued.
R iveters, grade A ________________________
Screw-machine operators, autom atic, grade B ____
Shaper operators, grade B ______________________
Small-tool repairm en, grade A _________________
Spot welders, grade A _______ ____ __
Tem plate makers, grade B _____________
Tool and die makers, grade C _________
T ru ck drivers, grade A ___________________ ~~~~
Turret-lathe operators, grade B __________ ______
W elders, com bination, grade B ______________
Grade V I I ____________________________________
Assemblers, electric and radio (bench), grade A
Assemblers, general, grade B ___________________
Assemblers, precision, bench, grade B ___
Blacksmiths, grade B __________________________
Boring-machine operators (semi-automatic), grade
A ___________
C abinetm akers, wood, grade B _____ )
Cable splicers, grade A ___________________
C arpenters, m aintenance, grade B _______
(Irowning-machine operators, grade B ___________
Draw-bench operators, grade B ____ __________
Electricians, m aintenance, grade C ________
Form-block makers, grade B ________________)
Form builders, wood, grade C ____________
Forming-roll operators, (power), grade A__
H eat treaters, alum inum , grade B _______
H eat treaters, steel, grade C __________________ )
H ydraulic straightening and forming press opera
tors, grade B _______________________
Inspectors, detail, grade B _________
Inspectors, final assembly, grade C ______ "
Inspectors, general assembly, grade B ________
Inspectors, precision assembly, grade B _____
Inspectors, receiving, grade B_ ______
Inspectors, shipping, grade B _________ "
Inspectors, welding, grade B _______
Installers, arm am ent, grade B ________
Installers, controls, grade B ______________
Installers, electrical, grade B ______________
Installers, general, grade B __________
Installers, hydraulic, grade B ____________
Installers, power-plant, grade B ______
M achinists, bench, grade B _______
M echanics, autom otive, grade B ____
M echanics, field an a service, grade C __________
M echanics, m aintenance, grade C ________
M etal fitters, grade B __________________
M illm en, wood, grade A ______________
M olders, aircraft, grade B __________
~
Painters, aircraft, grade B _____
Painters, m aintenance, grade B_ __
Pipe fitters, m aintenance, grade B __________ ~
Plum bers, m aintenance, grade B _____________
Power-brake operators, grade B _ ______________
Power-hammer operators, grade B _______
R outer operators, grade A_‘__________
Saw operators, grade A___________________
Sheet-metal workers, bench, grade B ______
Sheet-metal workers, m aintenance, grade B
Slot ter operators, grade B ______________
Tool-crib attendants, grade A ____________
Truck-crane operators, grade Â __________
T ube benders, bench, grade A _____________
Upholsterers, grade B ____________________ ~
W elders, alum inum , grade B _______ . . . . . .
Welders, arc, grade B ________________
Welders, gas, grade B ____________________
Welders, m aintenance and jig, grade B ____
See fo o tn o te s a t e n d o f ta b le .


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

Percent
of
employees

H ourly
earnings,
on basis
of order

H ourly
earnings,
Septem 
ber 1942

H ourly
earnings,
D ecember
1941
(first shift
unless .
otherwise
noted)

31. 2
.7
1.5
1.3
1. 9
3. 7
3. 2
3. 2
2. 1

$0. 950
.964
.965
.984
. 956
.959
.958
. 956
.992
1.000

$0. 89
.89
.91
.96
.91
.93
.87
.87
.98
.93

100.0
.8
28. 4
1.9
(2)

.914
.939
.916
.906
.958

.87
.93
.89
.85
.93

.1
.4
.3
1. 1

.900
.918
.918
.940
.900
.903
.907
.909
.901
.929
.900
.900

.85
.90
.89
.92
i 1.019
.81
.84
.83
.836
.87
.85
.89
.81
.82 ---------------

(2)

(2)

.1
1.3
.4
.8
.4
. fi
.1

.3
1.3
3.2
2.8
.5
.5
.2
.2
.5
2.4
3. 7
17.6
2.8
1.2
.8
.1
3.6
2.2
1. 7
.1
.3
3. 2
.3
.3
.3
.8
.4
1. 0
1. 5
3.8
.2
(2)

1.7
.3
1.4
.7
.3
.2
.7
.2

.900
.923
.936
.935
.930
.916
.922
.957
.903
.902
.908
.902
.902
.910
.927
.922
.901
.908
. 911
.955
.906
.901
.939
.938
.923
.902
.905
. 901
. 907
.925
.927
.920
.907
.930
.924
.906
.968
1.040
1.060
1,003

.81
.91
.90
.91
. 91
.88
.90
.94
.86
.85
.86
.83
.85
.88
.92
.90
.83
.85
.89
.95
.87
.85
.90
.92
.90
.83
.86
.85
.86
.91
.89
.85
.86
.90
.89
.81
.96
1.04
1.06
1.00

$0. 841
i. 989
.860
.850
.918
. 863
. 946

1.880
. 845
.890

.882
. 810
.939
1.889

i. 871
.898
.834
i. 955
.861
1.973
.791
. 790
.863
i. 886
. 783
1.845
1.930
i. 858
. 867
.904
.862
.985

1.017
i,972

Wage and Hour Statistics

1197

T a b l e 4 . —Straight-Time

Average Hourly Earnings, by Occupation, Based on Order oj
National War Labor Board (September 1942 Pay Roll)—Continued

Percent
Labor grade and occupation

of

employees

Grade V I I I __________________________
Anodizers, grade A _______________
Buffers and polishers, grade B _____
Coverers, fabric, grade A __________
Craters, grade B __________________
D ie finishers, grade C _____________
Drill-press operators, grade B ______
D rop-ham m er operators, grade C __
Electroplaters, grade B ____________
Engine-lathe operators, grade C -----G rinder operators, grade C ________
Inspectors, m achined parts, grade C
Inspectors, salvage, grade C _______
Inspectors, tem plates, grade C ------M illing-machine operators, grade C_
Oilers, m aintenance, grade A ______
Overhead-crane operators, grade A
Patternm akers, plaster, grade C ___
Plexiglass formers, grade A ________
Power-shear operators, gracie B __ Punch-press operators, grade B ____
R iveters, grade B ________________
Small-tool repairm en, grade B _____
Spot welders, grade B _____________
T an k cleaners and testers, grade A
T em plate makers, grade C ________
T urret-lathe operators, grade C ____
W elders, combination, grade C ____

100.0

G rade I X _____________________________________
Assemblers, electric and radio (bench), grade B.
Assemblers, general, grade C ________________
Assemblers, precision, grade C _______________
Cabinetm akers, wood, grade C ______________
Cable splicers, grade B ----------- -------------------C arpenters, m aintenance, grade C ____________
Form -block makers, grade C ------------------------Forming-roll operators (power), grade B ______
H eat treaters, alum inum , grade C____________
Inspectors, detail, grade C ___________________
Inspectors, general assembly, grade C ------------Inspectors,precision assembly, grade C _______
Inspectors, receiving, grade C -----------------------Inspectors, shipping, grade C -----------------------Inspectors, welding, grade C ------------------------Installers, arm am ent, grade C _______________
Installers, controls, grade C -------------------------Installers, electrical, grade C -------------- ----------Installers, general, grade C __________________
Installers, hydraulic, grade C -----------------------Installers, pow er-plant, grade C ______________
M achinist, bench, grade C __________________
M echanics, autom otive, grade C -------------------M etal fitters, grade C _______________________
M illm an, wood, grade B ____________________
M olders, aircraft, grade C __________________
P ainters, aircraft, grade C _____________________________
Painters, m aintenance, grade C --------------------Pipe fitters, m aintenance, grade C ----------------Planishing-ham m er operators, grade A ----------Plum bers, m aintenance, grade C _____________
Pow er-brake operators, grade C --------------------Profile-cutting torch-m achine operator, grade A.
Rivet-header-m achine operators, grade A _____
R outer operators, grade B ___________________
Sandblasters, grade A ----------------------------------Saw operators, grade B ___ . _ -------------------Sewing-machine operators, grade A ___________
Sheet-metal workers, bench, grade C _________
Sheet-metal workers, m aintenance, grade O ---Tool-crib atten d an ts, grade B _______________
Truckers, power, grade A ----------------------------T ube benders, bench, grade B _______________

100.0

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

.7
.4
.7
2.0
.5

G. 8
1.3
.4

2.1
2.0
1.5

.2
.4
5.0

.9
.8

1.1
.3
2.1

3.4
55.8
2.4

2.2
.6
4.7
1.7

2.7
57.0
1.7
.1
.2
.3
.4
.2
( 2)

1.3
1.5
.5
.6
.2

.1
.1
.6

2.6
8.2
1.2
1.1
.8

.1
2.3
.1
.1
1.4
.2

.2
.2
.3
.1

.1

.4
.2
.8
.5
5.6
.1
2.4

1.0
1.0

H ourly
earnings,
on basis
of order

H ourly
earnings,
Septem 
ber 1942

$0.856
.887
.854
.858
.850
.871
.854
.855
.850
.864
.856
.885
.852
.850
.861
.860
.902
.858
.870
.855
.859
.853
.861
.852
.869
.852
.866
.900

$0.81
.87
.81
. 79
.80
.83
.81
.82
.78
.82
.82
.86
.81
.81
.83
.82
.88
.81
.84
.80
.82
.80
.82
.81
.81
.80
.83
.90

.815
.823
.813
.808
.824
.811
.838
.819
.827
. 806
.816
.837
.837
.818
.815
.862
.815
.813
.814
.814
.804
.811
.824
.810
.813
.838
.803
.815
.828
.839
.837
. 814
. 824
.898
.870
.814
.823
.805
.835
.821
.860
.815
.829
.822

81
81
81
79
80
81
83
SO
82
79
79
82
83
80
80
86
79
80
80
80
79
80
82
78
80
83
78
80
81
82
83
79
81
89
87
79
81
79
83
80
84
79
82
81

H ourly
earnings,
December
1941
(first shift
unless
otherwise
noted)

> $0. 988
.783
.818
1.874
1.824
1.818
1.835

.792
1.774

1.876
.817
.772
.833
1.861
.774
1.835

. 773
.770
. 808
1.913
1.873
.767
.835

.833
.758
.759
. 816
. 803
.775
.836
.916
.771

.810
1.841
.806
.699
.785

1198

Monthly Labor Review— June 1943

Fa b l e

4.— Straight-Time Average Hourly Earnings, by Occupation, Based on Order of
National Irar Labor Board (September 1942 Pay Roll)—-Continued

Percent
of
employees

H ourly
earnings,
on basis
of order

Grade IX —C ontinued.
Welders, alum inum , grade C _________________
W elders, arc, grade C ___________________
W elders, gas, grade C _________________
Welders, m aintenance and jig, grade C _____

0.2
.2
.7
.2

. $0.864
. 850
.846
.859

$0. 86
.85
.84
.85

G rade X ___________________________
Anodizers, grade B ______________ ~ ~ ~
Assemblers, electric and radio (bench), grade C
Buffers and polishers, grade C _______
Cable splicers, grade C _____
Coverers, fabric, grade B _____
C raters, grade C ________________________
D rill-press operators, grade C___
Filers and burrers, grade A _______
H elpers, general, grade A _____
Janitors, grade A _____________
Laborers, grade A _________________
P a rts handlers, grade À __________ _ _
"
Plexiglass formers, grade B___
Power-shear operators, grade C _______________
Punch-press operators, grade C
Sandblasters, grade B ___________________
Spot welders, grade C ____ : ___________
Truckers, hand, grade A _____________________
T u b e benders, bench, grade C ________________

100.0
2.7
4. 5
.1
.2
.6
.3
3.5
2.7
60.7
12.4
5. 0
.6
.1
.6
1.0
.2
1.3
2.6
.9

.758
. 800
.770
.820
.770
.810
.750
. 760
. 760
. 750
.760
.770
. 770
.770
.790
.800
.810
. 790
. 790
. 750

.76
.80
.77
.82
77
.81
. 75
.76
. 76
.75
.76
77
. 77
. 77
.79
.80
.81
. 79
.79
.75

Labor grade-and occupation

H ourly
earnings,
Septem 
ber 1942

H ourly
earnings,
December
1941
(first shift
unless
otherwise
noted)

$0. 754

1.821

.722
1.749
.698
. 734
.713

1.771
.789

1 Covers all shifts; no shift break-dow n available.
2 Less th a n a te n th of 1 percent.

S A L A R I E S O F S C H O O L E M P L O Y E E S , 1 9 4 2 -4 3 1

M ED IA N salaries for tlie m ajority of school positions except those of
adm inistrators were higher in 1942-43 than in 1940-41 and 1930-31 in
cities covered by the N ational Education Association’s latest biennial
survey of salaries in city school systems. In cities of over 100,000
population, median salaries of both kindergarten and elementaryschool teachers were 14 percent higher in 1942-43 than in 1930—31 ;
°1 junior high-school teachers, 9 percent ; and of senior higli-school
teachers, almost 6 percent. Salaries of principals and superintendents
m 1942—43 were still below the 1930—31 level, having recovered less
rapidly than those for other school positions from the decline which
set in after 1930-31. However, since 1934-35 there have been very
substantial increases in the salaries of both principals and superin
tendents as well as of other school employees.
The survey showed a tendency to pay higher salaries to teachers of
older children. For example, in cities of over 100,000 population,
median annual salaries of senior high-school teachers were $324 higher
in 1942-43 than those of junior high-school teachers, and those of
junior higli-school teachers were $141 above those of elem entaryschool teachers. However, the report states th a t there is a growing
trend toward salary schedules based upon preparation rather than
1JPon school position. In fact, 36 percent of the salary schedules
obtained in the 1942-43 survey were based on preparation, as compared with 31 percent based prim arily on preparation in 1940-41.
t i ni Pof f hf t1
t
u C ity £ Ch ° 01- P m Pi°yees’ 1942-43. W ashington, N ational E ducation Associa
tion of the U n ite d States, Research D ivision, February 1943. (Research bull., Vol. X X I.)


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Federal Reserve Bank of St. Louis

Wage and Hour Statistics

1199

Trends in Salaries of School Employees in Cities of Over 100,000 Population, 1930—31 to
1942-43
M edian salaries paid in —

Percent of change

1930-31 1932-33 1934-35 1940-41 1942-43

1930-31 1934-35 1940-41
to
to
to
1942-43 1942-43 1942-43

T ype of school employee

Classroom teachers
$2,077
2, 118
2,372
2, 348
2, 731
2.695

$1,909
1,947
2,100
2, 204
2,479
2, 793

$1,926
1,922
1,996
2,078
2, 436
2, 693

$2, 227
2,268
2,357
2, 471
2,768
2,458

$2, 370
2,422
2,537
2, 563
2,887
2,818

+14.1
+14.4
+ 7.0
+ 9.2
+ 5.7
+ 4.6

+23.1
+26.0
+27.1
+23.3
+18.5
+ 4.6

+ 6.4
+ 6 .8
+ 7 .6
+3. 7
+ 4.3
+14.6

- -

3,436

3,008

2,913

3,536

3,813
3, 761

+ 9.5

+29.1

+ 6 .4

Junior high school.
_
. . .
H igh school___ ______ .
_ _______

3,092
2,942

2,730
2,667

2, 539
2, 268

3,043
2, 677

3,143
2, 958

+ 1 .6
+ .5

+23.8
+30.4

+ 3 .3
+10. 5

4, 280
2, 435
3, 519

4,614
2,184
3, 102

4,042
2,135
3,016

4, 621
2, 315
3,420

4, 673
2, 402
3,473

+ 9.2
- 1 .4
- 1 .3

+ 15.6
+12. 5
—
j—J.5. 2

+ 1.1
+ 3 .8
+ 1.5

3. 496
4. 500

2, 899
3,951

2,850
3, 718

3,940
4, 403

4,138
4,422

+18.4
- 1 .7

+45.2
+18.9

+ 5.0
+ .4

5, 544
5, 100

3,647
4,468

3,453
4,252

3,869
4,806

3,909
4,913

-2 9 .5
- 3 .7

+13.2
+15.5

+ 1.0
+ 2 .2

4, 111

3, 700

4,125

4,050

3,933

- 4 .3

- 4 .7

- 2 .9

10,000
Superintendents of schools _____
Associate, assistant, or d ep u ty super6, 527
intendents
___
_ ________
5,361
B usinessm anagers...
____
D irectors, assistant directors, or supervisors of—
3,400
Research, tests, etc___ _ _____
3, 550
Vocational education. .
.. ...
Physical education. .
_ _ . . 3,100
3,167
H e alth . _ ------ -------------------Evening schools
3,240
Americanization cla sses_______
2, 867
A r t...
____ .
. . . _____
2,909
M usic. _
.
.
.
2, 933
Penm anship
_
..
_
3, 450
___
M anual or industrial arts
3,219
Home economics
. . . . _____

8, 267

7, 288

8,605

8,542

-1 4 .6

+17 2

-.7

5, 672
4,500

5,578
4,186

6,039
4, 967

6,083
4, 570

- 6 .8
-1 4 . 8

+9.1
+ 9 .2

+ .7
- 8 .0

3, 010
3, 380
3, 123
2, 500
3, 325
3,033
2. 744
2,825
2,789
3, 308
2,967

2,925
3,075
2,909
2,800
3,000
2, 750
2, 687
2, 569
2, 727
3,278
2,818

3,333
3,667
3,285
2, 947
3, 275
3,000
3,044
3,077
2,960
3,480
3, 325
3,100

3,480
4,008
3,386
3, 255
3, 383
3,050
3,170
3,077
3,100
3,289
3, 300
3,400

+ 2.4
+12.9
+9. 2
+ 2 .8
- 5 .9
+10.6
+ 5.8
+ 5.7
- 4 .7
+2. 5

+19.0
+30.3
+16.4
+16.3
+12.8
+10.9
+18.0
+19.8
+13.7
+ .3
+17.1

+ 4.4
+ 9.3
+3.1
+10. 5
+ 3 .3
+ 1.7
+4.1
0
+ 4.7
—5. 5
—.8
+ 9 .7

2,329
4,450
1,281

1,978
3,700
1,133

1,779
3, 333
1,147

2,107
3,850
1,355

2,194
3, 950
1,383

- 5 .8
-1 1 .2
+ 8.0

+23.3
+ 18.5
+20.6

+ 4.1
+ 2.6
+ 2.1

1,581
4,267
2, 500
2,138
1,715
3,125
2,078

1,442
3,400
2,000
2,029
1,611
2,783
1,971

1,450
3,109
1,564
1,875
1,512
2, 530
1,888

1,628
3,960
3,022
2,050
1,764
2, 967
2, 241

1,678
3, 980
3, 200
2, 175
1,844
3, 163
2, 489

+6.1 +15. 7
—6. 7 +28.0
+28.0 +104.6
+ 1 .7 +16.0
+ 7 .5 +22.0
+ 1.2 +25. 0
+19.8 +31.8

+ 3.1
+ •5
+ 5.9
+ 6.1
+4. 5
+6. 6
+11.1

K indergarten ____ ______________
E lem entary sc h o o l______ - _______
A typical classes___ _____________
Junior high school____ .
' ___
High school___________ _________
Part-tim e or continuation school

Department heads
Junior high school
High school__

____

-

Deans

Principals
E lem entary school:
A ssistant principals___________
Teaching principals. . . . ___
Supervising p rin c ip a ls ________
Junior high school:
A ssistant p rincipals__________
Principals__________ ________
High school:
A ssistant principals
Principals __ ____ . ___ ____
Part-tim e or continuation school
p rin c ip a ls.. __________
_____

Administrative and supervisory staff

Other school employees
Secretarial and clerical employees:
Secretaries to superintendents of
schools. . . . . . . ________
Secretaries of boards of education
Clerks in principals’ offices____
Clerks m other adm inistrative
and supervisory offices.. . .
Superintendents of buildings _ . . .
H ead janitors .
. ____
H ead nurses.
.
. . .
N urses
Chief attendance officers. .
. .
A ttendance officers________________


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Federal Reserve Bank of St. Louis

1200

Monthly Labor Review— June 1943

The figures in the foregoing table cover school systems in 79 of the
92 cities which had populations of over 100,000 in 1940. The data
for 1942-43 do not include 7 of the largest cities represented in earlier
surveys. The grouping of the cities by size for 1940-41 as well as for
1942-43 was based on the 1940 census of population; for the earlier
years the 1930 census figures were used. Changes in population for
certain cities occurred before 1940, and the National Education Asso
ciation points out th a t this fact should be borne in mind in interpret
ing the figures in its report, especially those involving trends/
M e d ia n salaries in cities of u n d e r 100,000 p o p u la tio n w ere h ig h er
in 1942-43 t h a n in 1940-41 a n d 1934-35 fo r p ra c tic a lly all p o sitions,
a n d w ere h ig h er th a n in 1930-31 for th e m a jo rity of p o sitio n s in cities
d o w n to 10,000 p o p u la tio n , b u t in cities of th e 5,000-10,000 an d
2,500-5,000 p o p u la tio n g ro u p s, salaries in a b o u t h alf th e p o sitio n s
w ere low er th a n in 1930-31.

W E E K L Y S A L A R IE S O E C L E R IC A L W O R K E R S I N N E W
Y O R K C I T Y , D E C E M B E R 1942

A SURVEY by the Industrial Bureau of the Commerce and Industry
Association of New York, Inc., disclosed salaries as low as $10.40 per
week in December 1942 among male employees doing clerical work
(type not specified) in New York City, although there were other male
employees in the same group receiving salaries ranging as high as $55.
The lowest salaries for the types of positions specified in the associa
tion’s report 1 were those of junior clerks, w ith a low of $14 for both
males and females; the highest for the male junior clerks, however,
was $60, and for the female clerks, $48. The survey did not cover
adm inistrative positions or those with salaries of over $60 per week.
T h e follow ing ta b le show s w eekly sa la ry ra n g es for d ifferen t clerical
p o sitio n s in N ew Y o rk C ity in D e c e m b e r 1942, a n d th e w eig h ted
av e rag e sa la ry level of th e la rg e st n u m b e r of em ployees in each o ccu p a
tio n a l g ro u p , b y sex, to g e th e r w ith th e n u m b e r of re p o rtin g firm s an d
th e n u m b e r of em ployees re p re s e n te d in each classification. T h e
in v e stig a tio n co v ered a to ta l of 30,689 clerical w o rk e rs —8,001 m ales
an d 22,688 fem ales— em p lo y ed b y 281 firm s engaged in v ario u s lines
of business, in clu d in g b an k in g , in su ran c e, tra n s p o rta tio n , w holesale
a n d re ta il tra d e , p u b lic -u tility e n te rp rise s, im p o rtin g a n d ex p o rtin g ,
m a n u fa c tu rin g , n e w sp a p e r p u b lish in g , h o tels, etc.
i Survey of W eekly Clerical Salaries in N ew York C ity, D ecember 1942. N ew Y ork, Commerce a nd
In d u stry Association of N ew York, Inc., 1943.


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Federal Reserve Bank of St. Louis

1201

Wage and Hour Statistics
Weekly Salaries of Clerical Workers in New York City, December 1942
W eekly salary range
Occupation and sex

N um ber of N um ber of
reporting employees
firms

E ntire group:
M ale___________ _________ _ ------- }
Fem ale.. __________________________
Bookkeepers:
Senior—
M ale_________ ______ ________
Fem ale.. _ _. . ________________
Junior—
M a le .. __________ ____________
Fem ale________ _______________
M achine operators—
M ale____ ________ ______ . . .
Fem ale____ _____________ _____
Secretaries:
M ale______________________________
Fem ale______________________ _____
Stenographers:
M ale______________________________
Fem ale. ----------- --------------------------Typists:
M ale______________________________
Fem ale. ----------- ------ -----------------D ictaphone operators:
Male .
.. . . . . . . . . .
Fem ale____________________________
Telephone operators:
M ale______________________________
Fem ale_______________ . . --------- .Office-machine operators:
M ale .. _____ . . . ------ ---------------Fem ale------- ------ ---------------- ---------Senior clerks:
M ale_____ __________________ . . .
F e m a le ... . --------- -----------------------Junior clerks:
M ale .. . . .
...
...
. . ..
Fem ale______________________ _____
File clerks:
M ale____ . . . . --------------------- -----Fem ale_____________ . ---------- ---O ther clerical positions:
M a le ..
____
Fem ale______________ . . -------------

Low

High

Weighted
average
salary level
of largest
group

8,001
22,688

$10.40
14.00

$60.00
60.00

$33.37
27.32

134
82

474
192

24. 00
17.31

60.00
60.00

45.90
41.36

83
106

531
386

17.31
16.00

58.00
46.15

37.04
28. 01

29
129

158
620

17. 00
15.00

60. 00
46. 00

31. 52
27.24

29
211

80
1,516

24. 23
19. 00

60. 00
60. 00

42.05
39.35

25
233

121
2, 753

17.00
15.00

54.37
58. 00

33.75
30. 21

13
158

42
2,696

16. 00
15.00

51.92
42. 78

25.62
23.47

2
71

2
418

27.00
17. 00

35.00
40.38

11
235

55
739

22. 00
15.00

45. 00
48.00

33.39
27. 43

56
130

261
2,030

17.31
16.00

51.92
55.00

30. 22
27.13

188
142

3, 745
3,456

18. 00
16. 00

60. 00
60.00

40. 27
36. 01

139
161

1,580
5,959

14.00
14.00

60.00
48.00

27. 75
24. 93

19
144

45
1,301

16.35
15.00

45. 00
58.46

25.77
22.63

152
87

907
622

10.40
14. 00

55.00
43.84

18.85
17.44

281 \f

0)

29.88

i N ot tabulated; data incomplete.

A V E R A G E W O R K W E E K IN
TRADES

B R IT IS H

M ETAL

AN ANALYSIS of tlie actual working time of employees in the British
m etal-trade industries indicates th a t in July 1942 the workweek
averaged 55.4 hours, as compared with 55 hours in July 1941. These
averages were computed by the Engineering Em ployers’ Federation 1
and cover the working time of 90 percent of the employees.
Although the basic working week in Great Britain is from 47 to 48
hours, there are no statistics showing the average actual workweek,
including overtime, for all British industries. Hours rose to 70, 80,
and even 90 in 1940, but the Government has urged th at workweeks
not longer than 60 hours for men and 55 hours for women shall be
observed. In industries and enterprises where a 3-shift system is
worked, the weekly hours are, in general, 48. Under a 2-sliift system,
they average 56 hours in m any industries. Hours actually worked are
1 D ata are from Labor and In d u stry in B ritain (B ritish Inform ation Services), April 1943.


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Federal Reserve Bank of St. Louis

l - ()-

Monthly Labor Review—June 1943

u su a lly s h o rte r th a n sch e d u le d w o rk in g tim e, ow ing to ab se n te eism
a n d o th e r causes.
T h e av e rag e a c tu a l w eekly w o rk in g tim e is show n in th e follow ing
ta b le fo r tim e a n d piece w o rk e rs in th e B ritish m e ta l-tra d e in d u stries,
b y o cc u p a tio n s as of J u ly 1941 a n d J u ly 1942.
Average Weekly Hours in British Metal Trades, July 1941 and July 1942
Hours per week
Class

Tim e workers

Piece workers

July
1941

July
1941

July
1942

July
1942

All workers
Julv
1941

July
1942

All classes com bined--

56.2

56.6

54.1

54.6

55.0

55.4

Fitters (s k ille d )..___
T urners and machinemen:
B ated at or above fitters’ rates
B ated below fitters’ rates
Sheet-metal workers____
M olders___
Platers, riveters, and caulkers
Laborers.- ___

56.0

56.3

54.1

54.5

54.7

55.0

55.3
55.4
53.1
51.5
54.3
57.5

55.9
56.3
54.8
53.7
54.8
57.5

54.8
53.9
51.2
48.9
54.1
56.7

54.9
54.4
53.1
51.4
54.0
57.1

55.0
54.2
51.6
50.2
54.2
57.3

55.2
54.7
53.4
52.5
54.2
57.4


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Federal Reserve Bank of St. Louis

Wage and Hour Regulation

R E V IE W IN G R O L E O F N A T IO N A L W A R L A B O R
BOARD

IN A decision denying the request of Oregon and W ashington plywood
companies for review of a decision of the W ar Labor Board West
Coast Lumber Commission, the N ational W ar Labor Board, on April
1, 1943, stated th a t it could not review all decisions of its subordinate
agencies, and defined its appellate role for questions not settled by its
subsidiary bodies.1 The Board has created a num ber of industry
commissions to make prim ary decisions. I t has also established
regional boards to which questions not settled by the commissions
could be referred.
In its statem ent the Board declared th at it will review the decisions
of the subsidiary agencies only when one of the four following condi
tions exists: (-1) The subordinate body has made findings or issued
orders which are incompatible with the established policies of the
Board, or (2) the case involves a novel question which is of sufficient
importance to w arrant action by the Board on the basis of National
considerations, or (3) the lower body has abused its authority, or (4)
the lower body has followed an unfair procedure causing substantial
hardship to the appellant.
O V E R T IM E P A Y O F G O V E R N M E N T E M P L O Y E E S

T H E President, on M ay 7, 1943, signed the W ar Overtime Pay Act of
1943,2 providing for overtime pay to Government employees for work
in excess of 40 hours per week. The act was made retroactive to
M ay 1, 1943, and is to term inate on June 30, 1945, or such earlier date
as Congress m ay prescribe.
This statu te continues most of the provisions of the tem porary
measure signed December 24, 1942, which expired April 30, 1943.''
The same rate of pay for overtime work is provided for as in the pre
ceding act, and overtime compensation is limited to th a t portion of an
employee’s basic salary not in excess of $2,900 per annum.
However, there are im portant differences between the W ar Over
time Pay Act of 1943 and the'tem porary measure which preceded it.
The 1943 law authorizes the Federal agencies to give leave in lieu of
extra overtime pay to an employee working more than 48 hours per
week; the earlier act made no provision for such compensatory over
time. The new measure also provides th at an employee, regardless
1 N ational W ar Labor Board, Case No. 256, Order Denying Petition for Review.
1943. (M imeographed.)
2 Public Law No. 49, 78th Cong., 1st sess.
s See M onthly Labor Review, F ebruary 1943 (p. 359)

W ashington, A pril 1,

1203
5 2 9 0 8 5 — 4 3 --------11


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Federal Reserve Bank of St. Louis

1204

Monthly Labor Review— June 1943

of rate of salary, shall receive overtime paym ent on th a t portion of the
salary not in excess of $2,900, whereas the earlier statu te prohibited
paym ent of overtime compensation which would cause an employee’s
aggregate salary to exceed $5,000 per annum.
Another provision of the act of M ay 7, 1943, guarantees additional
compensation of $300 per year in lieu of overtime compensation to
an employee covered by the statute, in case the overtime compen
sation at the established rate is less than $300. Also, those employees
whose hours are interm ittent and irregular, those in and under the
legislative and judicial branches (with certain exceptions), and,
subject to the approval of the Civil Service Commission, those whose
hours of work are governed by the hours of private establishments,
shall receive, in lieu of overtime compensation, (1) additional compen
sation of $300 per year if their earned basic compensation is less than
$2,000 per annum, or (2) if their earned basic compensation is a t a
rate of $2,000 per annum or more, 15 percent of so m uch of their earned
basic compensation as is not in excess of a rate of $2,900 per annum.
In case the pay of an employee is based upon other than a timeperiod basis, provision is made for additional compensation, in lieu
of overtime compensation, a t a rate of 15 percent of so much of the
earned basic compensation as is not in excess of $2,900 per annum.
No employee covered by this law is entitled to receive additional
compensation for any pay period amounting to more than 25 percent
of his earned basic compensation for such pay period.
In the executive branch, the heads of agencies whose workers are
covered by the act, are required to report to the D irector of the Bureau
of the Budget and to the Congress, a t least quarterly, information
required for the purpose of determining the num ber of employees
needed to enable the agencies to perform their functions. Any excess
personnel is to be released as the Director orders. Unless the head
of any departm ent or agency concerned shall certify within 30 days
from the effective date prescribed by the Director th a t the number of
employees of his agency does not exceed the num ber determined by
the Director to be required for the proper and efficient exercise of its
functions, the provisions of the act authorizing overtime pay or addi
tional compensation, as the case m ay be, shall cease to apply to the
employees of such departm ent or agency.

W A G E -S T A B IL IZ A T IO N M E A S U R E S IN A U S T R A L IA
T O C L A R IF Y th e p ro v isio n s of th e w a rtim e w ag e-stab ilizatio n
m easu res a d o p te d in A u s tra lia , th e S e c re ta ry of th e A u stra lia n D e 
p a r tm e n t of L a b o r a n d N a tio n a l S ervice re c e n tly issued a s ta te m e n t
on th e s u b je c t, w h ich w as s u b s ta n tia lly as follow s.1
T h e o rig in al A u s tra lia n w age-pegging re g u la tio n s p re v e n te d ,
s u b je c t to c e rta in n e c e ssa ry ex cep tio n s, a n y changes in th e ra te s of
p a y fixed b y a w a rd s or in d u s tria l a g re e m e n ts in force on F e b ru a ry 10,
1942, o r (w here th e re w as no a w a rd o r in d u s tria l a g reem en t) th e ra te s
w hich w ere ap p lica b le a t t h a t d a te to th e p a rtic u la r em p lo y m en t. If
on F e b ru a ry 10 , 1942, a n em p lo y er w as p a y in g a h ig h e r r a te t h a n th e
1 Inform ation is from In d u stry and Trade, T he E m ployers’ M onthly Review (M elbourne, A ustralia),
February 1943.


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Federal Reserve Bank of St. Louis

Wage arid Hour Regulation

1205

award or agreement rate, he was perm itted, but not compelled, to
continue to pay th a t higher rate.
T h e pegging p ro v isio n s d id n o t p re v e n t periodic a d ju s tm e n ts of
ra te s in a c co rd a n ce w ith cost-of-living changes, p ro v id e d th e a w ard or
in d u s tria l a g re e m e n t called fo r su ch a d ju s tm e n ts . S u b se q u e n t
a m e n d m e n ts of th e re g u la tio n s p e r m itte d th e C o m m o n w ealth A rb i
tra tio n C o u rt o r o th e r c o m p e te n t a u th o rity to c h an g e a w ard ra te s to
accord w ith ch an g es in th e cost of liv in g . T w o re c e n t a m e n d m e n ts
rem o v e d an o m alies re v e a le d b y th e w o rk in g of th e earlier provisions.

The first deals with marginal payments. As mentioned above, the
original provisions perm itted, but did not compel, an employer to con
tinue to pay rem uneration in excess of the award rate as long as the
rem uneration did not exceed th a t being paid on February 10, 1942.
Where a rate higher than the award rate was being paid, the excess
usually represented m erit money for special skill. However, since
the award rate itself usually was varied by cost-of-living changes, in
some cases this m erit money tended to be absorbed by the cost-ofliving adjustm ents. To overcome this difficulty, a recent amend
m ent requires an employer to continue to pay the m argin over the
award rate which he was paying immediately prior to February 10,
1942, for any special skill or other qualification of the employee,
irrespective of any increases in the award rate by way of cost-of-living
variations. This obligation continues as long as the employee con
cerned remains in th a t employment, unless an industrial authority
otherwise approves. For example, an employer paying to a process
engraver 15s. over the process engravers’ determ ination of the Victo
ria^ Wages Board, because of the employee’s ability in color engraving,
m ust continue to pay the 15s. margin, even though the award rate
itself m ay have been increased subsequently. Again, it is recognized
th a t some employees, such as managers and clerks, m ay have been on
February 10, 1942, in receipt of wages considerably in excess of the
rates fixed by the relevant shop assistants’ award or clerks’ award for
those classifications. In such cases, the test as to the applicability of
the amendm ent is whether the excess being paid immediately prior to
February 10, 1942, was for special skill or other qualifications.
The second amendm ent concerns employees whose rem uneration is
not determined by awards or industrial agreements. Prior to its
adoption, no provision existed for any adjustm ent in the rates which
these employees were receiving on February 10, 1942. Po remove
this anomaly, the amendm ent now perm its the rem uneration of such
persons to be varied by employers in accordance with changes in the
cost of living as indicated by the retail-price index numbers published
quarterly by the Commonwealth A rbitration Court. Account may
be taken of any changes in cost of living as shown by these index
numbers since the rem uneration was first fixed, but no increased
payments may be made in respect of any period prior to January 27,
1943. By this provision the parties are given a right to make the
variation, but, unlike procedure under the other amendment, there is
no compulsion on the employer to do so. Those affected are princi
pally foremen and supervisors in certain trades and m any persons in
commercial and professional occupations whose rem uneration is fixed
solely by arrangement with the employer, and for whom there is no
specific classification in any award or industrial agreement.


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Federal Reserve Bank of St. Louis

Labor ¡urn -over

L A B O R T U R N - O V E R IN M A N U F A C T U R I N G ,
M A R C H 1943

T H E total separation rate for all m anufacturing industries in M arch
1943 was 7.69 per 100 employees, as compared with 7.04 in February
1943 and 5.36 m M arch 1942. The quit rate rose to 5.36 per 100
employees as compared w ith 3.02 a year earlier. A t least three-fourths
of a million persons quit their old jobs during M arch, for other jobs.
Further curtailm ent in the production of civilian goods, shortages of
some materials, the completion of certain Government contracts in
the durable-goods industries, and the appeal of blanket draft defer
ments in farm jobs, brought the quit rate to the highest point on record.
In both anthracite and bituminous-coal mining the total separation
rates were considerably below the rate for all m anufacturing industries.
The quit rate in anthracite mining, 2.37, was lower than in any m an
ufacturing industry except petroleum refining.
In spite of the
relatively low separation rates in both coal-mining industries, the
accession rates were even lower and were therefore insufficient to
m aintain the level of employment.
T able

1.— Monthly Labor Turn-over Rates (per 100 Employees) in Manufacturing
Industries 1

Class of turn-over and
year

Ja n u  Feb M arch
April M ay June
ary ruary

Separations, total:
HM2
__ _
5.10
1943___
7.11
Quits:
1942_____
2. 36
1943____________ 4. 45
Discharges:
1942__
. 30
1943____ __
.52
Lay-offs:2
1942
___________
1.61
1943
____
.74
M ilitary and miscel
laneous:
1942
_
.83
1943
____ 1.40
Recessions:
1942
___________
6.87
1943
____ 8. 28

July

A u
gust

Sep
No D e
tem  Octo vem cem
ber
ber
ber
ber

4. 82
7.04

5. 36
7. 69

6.12

6. 54

6. 46

6. 73

7. 06

8.10

7. 91

7.09

6.37

2. 41
4. 65

3. 02
5. 36

3. 59

3.77

3. 85

4. 02

4. 31

5.19

4. 65

4. 21

3. 71

. 29
.50

.33
.57

.35

.38

.38

.43

.42

.44

.45

.43

.46

1.39
.54

1.19
.52

1.31

1.43

1. 21

1.05

.87

.68

.78

.65

.70

.73
1.35

.82
1.24

.87

.96

1.02

1. 23

1.46

1.79

2. 03

1.80

1.50

8.14

6. 92

6. 02
7. 87

6.99 7.12
8. 32

7. 29

8. 25

8. 28

7.90

9.15 . 8. 69

1 Turn-over rates are not comparable to th e em ploym ent and pay-roll reports issued m onthly b y the
Pureau of Labor Statistics as the former are based on d a ta for the entire m onth, while the latter refer only
to pay periods ending nearest the m iddle of th e m onth. In addition, certain seasonal industries, such as
canning and preserving are not covered b y the labor turn-over survey and the sample is not so extensive
as th a t of th e em ploym ent survey which includes a larger num ber of small plants.
2 Including tem porary, in determ inate, and p erm anent lay-offs.

1206


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Federal Reserve Bank of St. Louis

1207

L a b o r T u r n -o v e r

Among the 10 durable-goods industry groups, 4 groups—furniture
and finished lumber products, lumber and tim ber products, nonferrous
metals and their products, and transportation equipm ent had higher
total separation rates than the average for all manufacturing.
Of the 22 selected war industries, 6 had higher quit rates than the
average for all m anufacturing industries. These were aluminum and
magnesium smelting and refining, 8.71 ; shipbuilding and repairs,
7.11; aluminum and magnesium products, 6.94; iron and steel foundry
products, 5.99; rolling, drawing, alloying of nonferrous metals, 5.51;
and firearms, 5.39 per 100 employees.
T a b l e 2 . — Monthly

Labor Turn-over Rates, by Major Industry Group, March 1943 1
Accession
rates

Separation rates

M ajor industry group

M ili
tary
and
D is L ay mischarge off
cellaneous

Total

Total

Q uit

Mar. Feb.
19431 1943

M ar. Feb.
19431 1943

6. 34 5. 90
5. 38 5. 00
12.03 11.72
6. 50 5. 45
9. 29 8. 72
6. 08 5. 44
8. 38 7. 36
7.35 6. 57
7.33 6. 86

3.86
3.45
8. 80
4. 32
6. 95
3. 94
5.99
4. 36
5. 07

3.17
2.94
8. 30
3.48
5. 79
3.24
4. 83
3. 90
4.17

0. 70
.45
1.12
.37
.32
.60
.72
.66
.35

0. 42
.15
.96
.32
1.00
.14
.20
.93
.79

1.36 9.99
1.33 7.06
1.15 11. 29
1. 49 6. 98
1.02 8. 77
1.40 6. 65
1.47 8.74
1.40 8. 76
1.12 7.48

9. 00
6.43
11.14
5. 65
7. 35
6. 10
8. 47
7. 95
6. 00

7. 30

5.40

4.41

.92

.30

1.60 10. 79

10. 55

7.09 6. 58
5. 52 4. 77
11.80 11.87
7. 79 6. 97
6.02 5. 70
9.83 8.39
3.07 4.10
5. 78 5. 70
7.41 7. 26
8. 52 7. 43
9.29 7. 35

5.97
3. 60
8.07
0. 04
3. 59
7.47
1.77
3.60
5. 70
6.91
7.59

5.58
2.92
8.11
4.98
3.14
5. 85
2. 55
3.24
5.29
5.87
5.90

.29
.44
.63
.30
.60
. 60
. 18
.24
.35
.39
. 22

.48
.39
1. 78
.32
. 21
. 56
. 26
1.09
. 16
.37
.89

7.09
7. 56
9. 68
6.02
6. 89
9. 60
3. 69
5.64
8.01
7.99
7. 60

6. 99
6. 44
9. 78
5. 61
11.10
8. 54
4. 23
5. 22
7.45
7. 35
5.91

M ar. M ar. M ar. M ar. Feb.
19431 19431 19431 19431 1943

Durable goods
A utom obiles_________ ____
------Electrical m achinery______________________
F urniture and finished lum ber p ro d u cts-----Iron and steel and their products
Lum ber and tim ber p ro d u cts.
------ -M achinery (except electrical)____
Nonferrous m etals and their products,Ordnance, -------- -- -Stone, clay, and glass products---- --------- T ransportation equipm ent (except automobiles)__________ ____________________

8.22

Nondurable goods
Apparel and other finished products----------Chemicals and allied p ro d u c ts_____________
Food and kindred products,
, ------ ,
L eather and leather p roducts--------------------M iscellaneous industries__________ - -----P aper and allied products----- ---------- -----Petroleum and coal products___ , . _
Printing, publishing, and allied industries,R ubber p ro d u c ts ...
,.
_
-- -------Textile-mill products
___
Tobacco m a n u fa c tu re s ...------- ----------------

1 M arch d ata are prelim inary.


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Federal Reserve Bank of St. Louis

.35
1.09
1.32
1.13
1.62
1.20
.86
. 85
1. 20
. 85
. 59

1208

Monthly Labor Review—June 1943
I a b l e 3 . — Quit

Rates for Selected War Industries, March 1943 1
Feb
March ruary

Industry
Aircraft_____ ___ .
Aircraft parts and engines. _
Aluminum and magnesium products______ _ .
Aluminum and magnesium smelting and refining _
Ammunition (except small-arms) __
Communication equipment (except
radios) _ __ _ _ _
Electrical equipment for industrial
use_____ _
Engines and turbines____________
Explosives _
Firearms (60 caliber and under)__
Guns, howitzers, mortars, and related equipment
Industrial chemicals (except explosives)__

4.75
3.13

3.71
2. 35

6. 94

2 5. 57

8.71
4. 89

8.41
4. 51

2. 67
2. 95
3.77
2. 47
5. 39

2. 16
2.41
3. 24
2. 57
5. 40

3.83

3. 26

3. 09

2.49

Feb
March ruary

Industry
Iron and steel foundry products
Machine tools.__ . . . . _
Machine-tool accessories . . . .
Metalworking m a c h in e r y and
equipment, not elsewhere classifled
Primary smelting and refining (except aluminum) . ___ _ “ :
Radios, radio equipment, and
phonographs. . .
Rolling, drawing, alloying of nonferrous metal (except alum inum ).
Small-arms ammunition
T a n k s ....________ _ . .

5. 99
3. 68
4.02

5. 21
3 26
2. 43

3. 09

2. 72

3. 53

3. 47

4. 99

4. 62

5. 51

5. 28

3. 64
4. 79

2 42
4 59

1 Marcii data are preliminary.
2 Revised.
T ab le 4 . — Monthly

Labor Turn-over Rates in Selected Manufacturing Industries,
March 1943 1
Acc(3ssion
ra tes

Separation rates

Industry

Total

Q uit

1
M ar. Feb. M ar. Feb.
1943 1 1943 19431 1943
Iron and steel and their products:
B last furnaces, steel works, and rolling
m ills_________________________________
Gray-iron castin gs____________________
Steel castin gs___________________________
Cast-iron pipe and fittin g s______
T in cans and other tin w are__________
W ire produ cts__________________________
C utlery and edge to o ls _________________
T ools (except edge tools, m achine tools,
files, and sa w s)_____________________
H ardw are_____________(_________
P lum bers’ su p p lies___ 1 ________________
Stoves, oil burners, and heating eq u ip 
m e n t_____________________________
Steam and hot-w ater heating apparatus
and steam fittin gs____________________
Stam ped and enam eled ware and gal
van izin g______________________________
Fabricated structural-m etal p rod u cts___
B olts, n u ts, washers, and r iv ets_____
Forgings, iron, and ste el________________
M ach inery (except electrical):
Agricultural m achinery and tractors____
T extile m ach in ery______________________
General industrial m achinery (except
p u m p s)_______________________________
Pu m p s and pu m pin g equipm ent.____
Autom obiles:
M otor vehicles, bodies, and trailers_____
M otor-vehicle parts and accessories
Nonferrous m etals and their products:
Prim ary sm elting and refining__________
L ighting eq u ip m en t____________________
Lum ber and tim ber basic products:
S aw m ills2______________________________
P laning and plyw ood m ills_____________

1 March data preliminary.


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Federal Reserve Bank of St. Louis

5.18 4.49
8. 67 8. 26
8. 22 6. 70
5. 71 5. 55
15. 99 10. 34
4. 89 4. 26
7. 74 6.87

M ili
tary
and
D is L ay mischarge off
cellaneous
M ar.
19431

M ar. M ar. M ar. Feb.
19431 19431 19431 1943

3.19
6. 52
5. 93
3.85
7. 86
3. 32
5.87

2. 67
6.19
4. 76
3.15
6. 79
2. 63
4. 94

0.19
.56
.82
.49
.79
.23
.48

0.14
.56
. 10
.29
5.12
.10
.29

7.16
6. 43
4. 76

5. 43
5. 09
3. 51

5. 44
4. 51
2. 73

.44
.43
.22

.30
.25
.04

13. 50

8. 90

8.10

6. 36

1.22

2.68

8. 50

6. 88

5. 99

4. 01

.56

1.09

11.65
8.67
6.12
6. 98

9. 71
8. 64
5. 04
6. 03

7. 45
5. 82
4.45
4. 75

7.15
5. 49
3.41
3.95

1.27
.63
.39
.60

1.52
.7!
. JÛ7
.31

4. 72
4. 92

4.15
4. 42

3.11
3.11

2. 45
2. 88

. 41
.09

7. 02
6.60

6. 22
5. 38

4. 71
4. 54

3.87
3. 59

5. 75
7. 15

6.01
5. 77

3. 20
4. 75

7. 89
5.46

8.05
5. 66

8. 94
9.82

8.82
8. 35

7.35
6.90
5. 22

T )tal

1.66 5. 08
1.03 7. 86
1.37 9.01
1.08 6.39
2. 22 17.10
1.24 6. 32
1.10 10.14

4. 49
7. 83
8. 06
3. 63
11. 31
7.34
7. 64

8. 24
7. 76
5.09

7. 36
7. 00
5. 53

1.50 11.05

12. 74

1.18
1.13
1.45

.86

8.87

9. 24

1.41 12. 86
1.51 9. 98
1. 21 9.64
1.32 9.48

9. 94
7.30
7. 99
8. 47

.17
.21

1.03
1.51

5.80
6. 34

5. 26
4. 92

.78
.64

. 14
.22

1.39
1.20

8.49
6. 29

7. 72
6.50

3.00
3.38

.68
. 72

.49
.33

1.38 10. 86
1.35 8. 82

9. 40
8.51

5. 70
3.26

5. 73
3. 27

.74
.27

.36

. 12

1.33
1.57

8. 49
6. 35

9. 42
6. 55

6. 56
7. 50

5. 77
5. 69

.31
.32

1.03
.97

1.04
1.03

8.39
9.47

7.14
7. 44

Previously included logging.

1209

Labor Turn-over
T ab le 4 . — Monthly

Labor Turn-over Rates in Selected Manufacturing Industries,
March 1943—Continued
Accession
rates

Separation rates

Total

In d u stry

M ar.
1943

Quit

Feb. M ar.
1943 1943

Feb.
1943

F urniture and finished lum ber products:
F urn itu re, including mattresses and
bedsprings________ _______ _______ __ 12. 36 11.87 9.00 8. 38
Stone, clay, and glass products:
Glass and glass products_______________ 6.59 5. 82 4.16 3.29
6. 25 7. 39 4. 63 3.67
Cem ent- ____ - - - - - Brick, tile, and terra c o tta _____________ 9. 06 9. 22 6.10 5. 80
P ottery and related products___________ 9. 02 7.12 6.62 4. 94
Textile-mill products:
C otton_____ __________ _______ - -- 9.59 8. 26 7.99 6.68
Silk and ray o n ________________________ 8. 55 7. 78 7. 26 6.16
Woolen and worsted (except dyeing and
7.01 5.77 4.99 4. 21
finishing)
-----Hosiery, full-fashioned------- ----------- -- 5. 25 4.66 4. 35 3. 67
Hosiery, seamless. _ _ ________ _____ 7.41 6.41 6. 38 5.11
K n itte d underw ear
______ - - - - 7. 66 7. 32 6. 44 5. 94
Dyeing and finishing textiles, including
9.12 8. 70 6.85 6.18
woolen and worsted-- - - Apparel and other finished textile products:
M en ’s and boys’ suits, coats, and overcoats. - - - - - - - 6.17 5. 33 4. 65 4.15
M en ’s and boys’ furnishings, work cloth6. 93 6. 44 6. 08 5.74
ing, and allied garm ents. . .
- ...
W om en’s clothing (except corsets)_____ 7.51 6. 53 6.30 5.64
L eather and leather products:
L eather______________________________ 6. 01 5. 44 4. 25 3.64
8.10 7.23 6.37 5.18
Boots and shoes. ___
Food and kindred products:
M eat p r o d u c ts ..____ ______ _______ 12. 57 14. 29 8.18 8. 95
Grain-mil! products______________ - - - 12. 27 11.38 9.15 8.79
Paper and allied products:
8.45 6. 51 6. 50 4.69
Paper and p u lp ..
.
- -P aper boxes. ____ _ _ - - - - - - - 10.83 9.72 7. 71 6. 32
Printing, publishing, and allied industries:
N ew spapers and periodicals.-- ________ 4. 25 4. 07 2.78 2.43
P rinting, publishing, and allied indus
tries (except new spapers and periodicals)_______________________________ 7.31 7. 21 4. 39 3.93
Chemicals and allied products:
6. 52 6.83 4.68 4. 75
P aints, varnishes, and colors
5. 00 4. 12 3. 29 2.60
R ayon and allied p ro d u cts___
_
Indu strial chemicals (except explosives).- 4. 96 4. 52 3.09 2.49
Products of petroleum and coal:
2.81 3.71 1. 57 2.32
Petroleum refining. _
R ubber products:
R ubb er tires and inner tu b e s---------------- 4. 89 4. 72 3. 21 2.83
R ubber footwear and related products.- 7.63 7. 99 6. 25 6. 01
Miscellaneous rubber in d u stries------- __ 10.38 9. 23 7.95 7.19

M ili
tary
and
D is L ay mischarge off
cellaneous
M ar.
1943

T otal

M ar. M ar. M ar.
1943 1943 1943

Feb.
1943

1.06

1.18 11.31

11.01

.39
.15
.35
.46

.78
.54
1.58
.68

1.26
.93
1.03
1.26

9.50
4. 85
7.18
6. 95

6. 33
3.48
6. 40
7.11

.42
. 23

.32
.42

.86
.64

8. 96
8. 34

8.05
8.04

.29
. 18
.39
.38

.88
.08
. 23
.36

.85
.64
.41
.48

5.68
5. 04
7. 03
6. 96

5.60
3.86
7.40
7. 04

.70

.29

1. 28

8. 79

8.50

1.12

.21

1.06

.25

5. 21

5. 56

.42
.09

.06
.82

.37
.30

7.41
6.47

7.01
5.83

.29
.30

.34
.31

1.13
1.12

4. 95
6.18

4. 43
5.79

.62
1.59

2.12
.64

1.65 8. 86
.89 13.16

9. 73
11.50

.46
.61

. 33
1.32

1.16 8. 62
1.19 11. 40

6. 43
10. 66

.49

.74

4.00

3. 56

.24

1. 73

.95

7. 26

6.82

. 52
.35
.45

.36
. 25
.22

.96
1.11
1. 20

5. 93
4. 70
5. 21

7. 20
4. 34
5. 09

.14

. 27

.83

3.49

3.93

. 17
. 22
.86

.16
.07
.32

1.35 6. 28
1.09 7. 92
1. 25 10. 49

5. 51
7. 75
9. 48

.24

The m onthly labor turn-over rates for February and M arch 1943
in the bituminous-coal and anthracite mining industries are given in
the following statem ent:
S eparation ra te — to ta l_____________
Q uit r a t e ______________________
D ischarge r a t e -----------------------Lay-off r a te ___________________
M ilitary an d m iscellaneous ra te
Accession ra te —- t o t a l - - , - , --------------


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Federal Reserve Bank of St. Louis

Bituminous coal
February
March
1943
1943
5. 34
5. 90
4. 36
4. 52
. 17
. 20
. 04
. 21
. 77
. 97
4. 74
4. 48

Anthracite
March February
1943
1943
2. 87
3. 23
2. 08
2. 37
. 12
. 07
. 06
. 07
. 61
. 72
2. 70
2. 82

1210

Monthly Labor Review— June 1943

As a result of a shift in the classification of firms to a current warproduct basis, changes in the sample and in the schedule itself, the
Bureau of Labor Statistics is not able at this time to furnish data on
a comparable basis for all industries prior to January 1943. I t is
expected th a t data for previous periods will be available later.
In th e in te re s t of esta b lish in g u n ifo rm ity w ith o th e r em p lo y m en t
series in th e m a tte r of in d u s try title s, som e new title s h a v e been
em p lo y ed in th e la b o r tu rn -o v e r re p o rts. A co m p ariso n of th e new
a n d old title s is g iv en below . C h a n g e in title does n o t in d ic a te a
ch an g e in sam p le co n sisten cy .
New industry"titles

Old industry titles

B last furnaces, steel works, a n d rolling m ills___ Same.
G ray-iron c a stin g s_____________________________ P a rt of: F o u n d ry a n d m achine
shops.
C ast-iron pipe and fittin g s_____________________ C ast-iro n pipe.
Tools (except edge a n d m achine tools, files, and Same.
saw s).
H a rd w a re _____________________________________ Same.
Stoves, oil burners, a n d h eatin g eq u ip m e n t.
Stoves.
Steam and h o t-w a te r h eatin g a p p a ra tu s and S team a n d h o t-w a te r h eatin g
steam fittings.
a p p a ra tu s.
Stam ped a n d enam eled w are an d galv an izin g ___ S tam p ed a n d enam el ware.
F a b ric a te d stru c tu ra l-m e ta l p ro d u c ts___________ S tru c tu ra l a n d
orn am en tal
m etalw ork.
G eneral in d u strial m a ch in ery ___________________ P a rt of: F o u n d ry a n d m achine
shops.
A griculture m achinery an d tr a c to r s ____________ A griculture im plem ents.
T extile m ach in ery _____________________________ Same.
M otor vehicles, bodies, a n d tra ile rs ___________
A utom obiles a n d bodies.
M otor-vehicle p a rts an d accessories____________ A utom obile p a rts an d e q u ip 
m ent.
L ighting eq u ip m e n t____________________________ Same.
S aw m ills______________________________________ Same.
P lan in g an d plyw ood m ills_____________________ P laning mills.
F u rn itu re , including m attre sse s a n d bedsprings__ F u rn itu re .
G lass an d glass p ro d u c ts_______________________ Glass.
C e m e n t_______________________________________ Same.
B rick, tile, an d te rra c o tta _____________________ Same.
C o tto n ________________________________________ C o tto n m a n u factu rin g .
Silk an d ra y o n _________________________________ Silk a n d ray o n goods.
W oolen an d w orsted (except dyeing an d finishing) _ W oolen an d w orsted goods.
D yeing an d finishing tex tiles (including woolen D yeing an d finishing.
a n d w orsted).
M en’s an d boys’ suits, coats, an d o v erco ats_____'
M en’s an d b oys’ furnishings, w ork clothing, an d ^M en’s clothing.
allied garm ents.
L e a th e r_________________ ______________________' L e a th e r goods.
Boots an d shoes_______________________________ Same.
M eat p ro d u c ts_________________________________ S laughtering an d m e a t packing.
G rain-m ill p ro d u c ts____________________________ Flour.
P ap er and p u lp ________________________________ Same.
P ap er boxes___________________________________ Boxes, pap er.
P rin tin g : N ew spapers an d perio d icals__________ Same.
P rin tin g , publishing a n d allied in d u stries (except P rin tin g — book an d job.
new spapers an d periodicals).
P ain ts, varnishes, a n d colors____________
P a in ts a n d varnishes.
R ay o n a n d allied p ro d u c ts_____________________ Same.
In d u s tria l chem icals (except explosives)________ Chem icals.
P etroleum refining_____________________________ Same.
R u b b er tires an d in n er tu b e s ___________________ R u b b e r tires.
R u b b er footw ear an d related products_,_„______ R u b b e r boots an d shoes.


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Federal Reserve Bank of St. Louis

BuiIding Opera tions

BUILDING CONSTRUCTION IN URBAN AREAS OF
THE UNITED STATES, APRIL 1943
B E T W E E N M arch and April 1943, the 19-percent increase in the
value of privately financed building construction started in urban
areas of the United States practically offset the 20-percent decline in
the value of Federal construction contracts awarded. The decrease
of less than 1 percent in total valuations from M arch to April was in
m arked contrast to the sharp downward movement of the previous
13 months. New nonresidential valuations declined 13 percent; but
those for new residential buildings increased 3 percent and for addi
tions, alterations, and repairs to existing structures, 19 percent.
The dollar volume of building construction started in urban areas
during April 1943 was 70 percent lower than during the same m onth
a year ago. All types of building construction shared in this decline,
but the most pronounced drop, 82 percent, was in the value of non
residential buildings. New residential valuations declined 58 percent,
and additions, alterations, and repairs to existing structures, 44
percent.

Comparison of April 1943 with March 1943 and April 1942
The volume of Federally financed and other building construction
in urban areas of the United States in M arch and April 1943 and
April 1942 is summarized in table 1.
T able 1.— Summary of Building Construction in All Urban Areas, April 1943
N um ber of buildings
Percent of
change from—

Class of construction
A pril 1943

M arch
1943

A pril
1942

V aluation

April 1943
(in th o u 
sands of
dollars)

Percent of
change from—
M arch
1943

April
1942

A ll building construction. . .

57, 404

+26.3

-3 1 .9

92, 477

- 0 .4

-7 0 .1

N ew re sid en tial.._
_
__ _ . ..
N ew nonresidential.
.
. _____ _
A dditions, alterations, and repairs _______ .

13,101
9, 701
34, 542

+ 1 .2
+52. 2
+32.4

-5 1 .2
-2 5. 4
-2 2 .0

45,885
29, 869
10, 723

+ 2 .7
-1 2 .5
+19.3

-5 8 .0
-8 2 .4
-4 3 .9

The num ber of new dwelling units in urban areas for which permits
were issued or contracts were awarded in April 1943 and the estim ated
valuation of such new housekeeping residential construction are pre
sented in table 2.


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Federal Reserve Bank of St. Louis

1211

1212

M o n th ly L a b o r R e v ie w — J u n e 1943

T a b l e 2 . — Number

and Valuation of New Dwelling Units in All Urban Areas, by
Type of Dwelling, April 1943
N um ber of dwelling units
Percent of
change from—

Source of funds and type of dwelling
April 1943

M arch
1943

April
1942

Valuation
Percent of
April 1943
change from—
(in thou
sands of dol
lars)
M arch April
1942
1943

_____________ _____________

15, 686

- 0 .4

-5 3 .0

43,889

+ 2.6

-5 9 .4

P riv a te ___________________________________
l-familv ............. . ____
_ ____ 2-family1 ____________ __________ ____
M ultifam ily 2__ .
_ F ederal___________________________________

9,860
6, 551
1,353
1,956
5,826

+ 6 .0
—. 7
+26. 9
+ 19.8
-9 . 7

-6 1 . 2
-63. 1
-5 1 .7
-5 9 .7
-2 6 .6

31, 225
22, 203
3, 996
5, 026
12, 664

+14.3
+8. 7
+45. 2
+21.3
-1 8 .0

-6 1 .2
-6 3 .6
-4 2 .4
-5 9 .6
-5 4 .4

All dwellings

1 Includes 1- and 2-family dwellings w ith stores.
2 Includes m ultifam ily dwellings w ith stores.

Comparison of First 4 Months of 1942 and 1943
Perm it valuations reported in the first 4 m onths of 1942 and 1943
are compared in table 3.
T

able

3 . — Valuation

of Building Construction in All Urban Areas by Class of Con
struction, First 4 Months of 1942 and 1943
[In thousands of dollars]
Total: F irst 4 m onths of—

Class of construction
1943

All construction___ ______ _ _ ____
New residential _ .
_
New nonresidential.
.
A dditions, alterations, and repairs

.
__ _

1942

Percent
of
change

Federal: First 4 m onths of—

1943

1942

Percent
of
change

402,897 1,121,601

-6 4 .1

236,074

577, 490

-5 9 .1

422, 249
586, 611
112, 741

-5 4 .9
-7 3 .1
-5 1 .3

96, 570
135, 542
3, 962

109, 742
457,010
10, 738

-1 2 .0
-7 0 .3
-6 3 .1

190,278
157,716
54,903

The num ber and perm it valuation of new dwelling units for which
permits were issued in the first 4 m onths of 1943 are compared w ith
similar data for corresponding months of 1942 in table 4.
T a b l e 4 . — Number

and Valuation of New Dwelling Units in All Urban Areas, by Source
of Funds and Type of Dwelling, First 4 Months of 1942 and 1943
N u m b er of dwelling units

Source of funds and type of dwelling

F irst 4 m onths of—
1943

All dwellings _____

_ _________ ____

P riv ate --------- -----------------------------------1-family________ ______i __________
2-family L_ _______________________
M ultifam ily 2______________________
F e d e r a l______ _ __________ _ . ____

First 4 m onths of—
1943

1942

Percent
of
change

73, 878 '

120, 225

-3 8 .6

185, 230

410, 337

-54. 9

31,044
21, 394
3, 905
5, 745
42, 834

91, 726
70, 355
7, 395
13,976
28, 499

-66. 2
-69. 6
-4 7 . 2
-5 8 .9
+50.3

94,057
68, 551
10, 762
14, 744
91,173

306, 806
251,592
19, 367
35, 847
103, 531

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

1 Includes 1- and 2-family dwellings w ith stores.
2 Includes m ultifam ily dwellings w ith stores.


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Federal Reserve Bank of St. Louis

1942

Percent
of
change

V aluation (in thousands of
dollars)

1213

B u ild in g O p era tio n s

Construction From Public Funds, April 1943
The value of contracts awarded and force-account work started
during M arch and April 1943 and April 1942 on all construction proj
ects and shipbuilding 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 cities included
in urban areas.
T a b l e 5 . — Value

of Contracts Awarded and Force-Account Work Started on Construction
Projects and Shipbuilding Financed From Federal Funds
[In thousands of dollars]

Source of funds

Contracts awarded and force-account
work started
April 1943 i

T o ta l____

_ _____

W ar public w orks_______________ __ ________ . .
Regular Federal appropriations_____ _____ _____ ___ _____
Federal Public H ousing A u th o rity_________________

M arch 1943 2 April 1942 2

249,178

481,128

355,095

1,739
222, 730
24, 709

3,431
440, 415
37, 282

6, 759
304,963
43, 373

1 Prelim inary: subject to revision.
2 Revised.

Coverage of Statistics
The Bureau of Labor Statistics has revised its methods of sum
marizing reports on building permits. Through January 1943, the
figures covered a specified num ber of reporting cities, which varied
from m onth to m onth. Beginning with the February 1943 com
parisons, the data cover all building construction in urban areas of
the United States which, by Census definition, includes all cities and
towns with population of 2,500 or more in 1940. The principal
advantage of this change is th a t figures for every m onth will be
comparable since estimates are made for any cities failing to report
in a given m onth. As in the past, the value of contracts awarded by
the Federal Government for building construction will be combined
with information obtained from the building-permit reports. The
contract value of Federally financed construction in urban areas was
$37,814,000 in April 1943, as contrasted with $47,033,000 in the
previous m onth and $168,965,000 in April 1942.
T h e v a lu a tio n figures re p re s e n t e stim a te s of c o n stru c tio n costs
m ad e b y p ro sp e c tiv e p riv a te b u ild e rs w hen a p p ly in g for p e rm its to
b u ild , a n d th e v a lu e of c o n tra c ts aw a rd e d b y F e d e ra l or S ta te g o v ern 
m en ts. N o la n d costs are in clu d ed . U nless o th erw ise in d ic a te d , only
b u ild in g c o n s tru c tio n w ith in th e c o rp o ra te lim its of cities in th e u rb a n
areas is in clu d ed in th e ta b u la tio n s .


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Federal Reserve Bank of St. Louis

Retail Prices

CHANGES IN BUREAU’S FOOD-COST IN D E X
T H E Bureau of Labor Statistics index of retail food costs for M arch
incorporates revisions designed to take into account the effects on
consumer buying of rationing and other wartime changes in the sup
ply of foods, as well as the effects of recent shifts in population to
war production centers.
T h e rev isio n s do n o t affect th e level of th e indexes fo r p rev io u s
m o n th s a n d did n o t a p p re c ia b ly affect th e m o v em en t of th e food cost
ind ex from F e b ru a ry to M a rc h . T h e y w ill affect th e m ea su re m e n ts
sig n ifican tly o n ly o v e r a long p eriod of tim e a n d will serv e to in su re
th e fu tu re a c c u ra c y of th e in d ex in reflectin g co n su m er m a rk e t p erio d s
c h a ra c te ris tic of th e w a r p erio d .

The changes made were as follows:
1. S even foods w ere ad d e d to th e index: R olled o ats, beef liver,
h a m b u rg e r, sliced h a m , a n d co rn siru p , n o w being b o u g h t in larg e r
q u a n titie s th a n b efo re ra tio n in g a n d food sh o rtag e s; an d g ra p e fru it
juice a n d green b ea n s, in clu d ed to p ro v id e m o re co m p lete re p re s e n ta 
tio n of c a n n e d fr u its a n d v eg e ta b les. E le v e n o th e r foods w ere priced
for th e first tim e in F e b ru a ry .

2. The quantity “weights” of 27 foods have been reduced in line
with anticipated 1943 supplies which will be available to civilian con
sumers, including most cuts of beef (round steak, beef rib roast, and
chuck roast); veal; lam b; frozen and fresh fish, and pink salmon; but
ter; apples and bananas; several fresh vegetables (cabbage, carrots,
lettuce, and spinach); canned peaches, pineapple, corn, peas, and tom a
toes; dried prunes and dried navy beans; coffee and tea; shortening
other than lard; corn meal; and sugar.
3. The relative importance of 25 foods was increased, including the
cereals and bakery products (white, whole wheat and rye bread, m aca
roni, corn flakes, vanilla cookies, and soda crackers); most pork prod
ucts (pork chops, sliced bacon, whole ham, and salt pork); roasting
chickens; cheese; fresh and evaporated milk; eggs; certain fresh fruits
and vegetables (oranges, onions, potatoes, and sw eetpotatoes); and
lard, salad dressing, oleomargarine, and peanut butter. The increase
in importance of these foods in the index does not necessarily mean
th a t a larger quantity will be available for civilian use—the contrary
is true of bacon, for example—but indicates th a t they are relatively
less scarce than the 27 foods listed above.
4. A d ju s tm e n ts w ere m a d e fo r ch a n g es in th e v o lu m e of food sold
th ro u g h ch a in a n d in d e p e n d e n t sto res.

5. Five cities for which food prices have been available for some
time have been incorporated in the all-cities index.
6. T h e re la tiv e im p o rta n c e of th e cities inclu d ed in th e food-cost
in d ex a n d in th e g en eral co st-o f-liv in g in d ex h a s b een ch a n g ed to ta k e
a c c o u n t of th e ch an g es in p o p u la tio n b ec au se of w a r a c tiv itie s.
1214

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Federal Reserve Bank of St. Louis

1215

R e ta il P ric e s

The effects of changes 4, 5, and 6 on the average prices for the 56
cities combined were negligible for most foods. The adjustm ents for
changes in the volume of foods sold through chain and independent
stores affected the average prices by cities only where the shifts were
considerable. Revised average prices for February for the 56 cities
combined are shown in table 3 (p. 1220), even though there were
few significant differences from those previously published.
*# # # # # <

FOOD PRICES IN MARCH 1943
R E T A I L costs of food rose 2.8 percent between February 16 and
M arch 16, prim arily as a result of an increase of 13.2 percent in
average prices of fresh fruits and vegetables. All other groups edged
up slightly, with the exception of eggs which showed a less-thanseasonal decline (1.2 percent).
The all-foods in d ex for M a rc h 16 sto o d a t 137.4 p e rc e n t of th e
1935-39 a v e ra g e ; 15.9 p e rc e n t a b o v e M a rc h 1942; 40.5 p e rc e n t
ab o v e J a n u a r y 1941; a n d 47.0 p e rc e n t ab o v e A u g u st 1939, th e la s t
su rv e y p reced in g th e o u tb re a k of w a r in E u ro p e .

Of the list of 78 foods priced in February and M arch, 54 showed
increases, 7 declined, and 17 remained unchanged. In m id-M arch all
groups of foods were above the M ay 1942 level and only one, eggs,
was seasonally below the September 1942 average. Increases from
August 1939 varied from 14.6 percent for cereals and bakery products
to 104.7 percent for fresh and canned fish.
Percentage changes in retail costs of food on M arch 16, compared
with costs for February 1943; M arch, M ay, and September 1942;
January 1941; and August 1939, are shown in table 1.
T able 1.— Changes in Retail Costs of Food in 56 1 Large Cities Combined, by Com

modity Groups
Percent of change, M arch 16, 1943, compared w ith—
C om m odity group

1942

1943

1941

1939
Aug. 15

Feb. 16

Sept. 15

M ay 12

M ar. 17

Jan. 14

__ _ . . . __ _____

+ 2 .8

+ 8 .5

+13. 0

+15.9

+40. 5

+47.0

Cereals and bakery products____________
M eats________________________________
Beef and veal______________________
P ork. . _ __ _____ _____ . ------Lam b ..
_____ ____
.
C hickens__
_
F ish, fresh and canned_________________
D airy p ro d u c ts .. _____________________
Eggs__________________________________
F ruits and vegetables . . _ _
. . .
Fresh.
. ....... ........ .
. ____
C anned___________________________
D ried_____________________________
Beverages ____. . . -------------------- -----F a ts and oils _______________________
Sugar and sweets . . . .
..

“K 5
+ .9

+ 1 .5
+ 5.1
+2. 9
+ 1.9
+ 2 .8
+ 8 .4
+21.2
+ 7 .3
- 8 .2
+27. 1
+32.7
+ 6 .4
+9. 5
+ .9
+ 4 .7
+. 7

+ 1 .7
+10.5
+ 4 .4
+2. 6
+ 16.2
+27.8
+35. 1
+ 11. 1
+23. 4
+28. 1
+33. 0
+ 7.3
+ 19. 7
+ .2
+ 3 .3
+. 6

+2.1
+ 13.9
+ 8.3
+7. 6
+26. 4
+29. 1
+28. 3
+ 12.6
+27.0
+33.6
+39.8
+ 9.0
+22.8
+ 4 .4
+ 8 .2
-.5

+12.8
+35.8
+ 18.5
+47.0
+39.2
+49. 1
+71.8
+30.4
+46. 2
+76.7
+85.1
+44. 1
+57.6
+37. 4
+57.4
+34.2

+ 14.6
+43.5
+30.1
+43. 6
+39. 1
+53.2
+104. 7
+47. 2
+57.0
+78.5
+86.3
+43. 8
+73. 9
+31.0
+49.6
+33.8

All foods

____

+. 1
+ 1.0
+ 5 .6
+ .8
-1 . 2
+10.7
+ 13.2
+ .3
+ .3
“K 1
+ .2
+. 4

1 Indexes based on 51 cities combined, prior to M arch 1943.


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Federal Reserve Bank of St. Louis

1216

M o n th ly L a b o r R e v ie w — J u n e 1943

Details by Commodity Groups
Indexes of retail food costs by commodity groups are shown in
table 2 for February and M arch 1943; M arch, May, and Septem
ber 1942; January 1941; and August 1939. The accompanying charts
show the trends in costs of all foods for January 1913 to M arch 1943,
inclusive, and for each m ajor commodity group for the periods Ja n u 
ary 1929 to M arch 1943.
T a b l e 2 . — Indexes

of Retail Costs of Food in 56 1 Large Cities Combined,2 by Commodity
Groups, in Specified Months
[1935-39 = 100]
1913

1942

1941

1939

Jan. 14

Aug. 15

C om m odity group
M ar. 16 3
All foods__________________

_

Cereals and bakery p ro d u c ts.,M eats___________
Beef and v e a l.. . __
Pork_______
L am b . .
Chickens.
Pish, fresh and canned. .
D airy products______________
Eggs-----------------------------------Fruits and vegetables.__
...
F resh__________
C an n e d ..
_ _
D ried__________ . . . .
Beverages . .
Fats and oils___________
Sugar and sw e e ts.. .

Feb. 16

Sept. 15

M ay 12

M ar. 17

137.4

133.6

126.6

121.6

118.6

97.8

93. 5

107.0
137.3
129. 6
120.4
137.4
144. 9
203.9
137.0
142.4
104.9
172.9
131.7
157.0
124. 9
126.4
127.9

106. 5
136. 1
128.9
126.3
137. 1
143.4
193.0
135. 9
144. 1
148. 9
152.8
131. 3
156. 5
124.8
126. 1
127.4

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

104.8
120.5
119.7
117. 5
108.7
112. 2
158.9
121.7
112. 1
123.4
123.7
120.8
127.9
119.6
116.8
128.5

94.9
101.1
109.4
86. 1
98.7
97.2
118.7
105. 1
97.4
93.3
93.4
91.4
99.6
90.9
80.3
95.3

93. 4
95. 7
99.6
88.0
98.8
94.6
99.6
93. 1
90.7
92.4
92.8
91.6
90.3
94.9
84.5
95.6

1 Indexes based on 51 cities combined, prior to M arch 1943.
2 Aggregate costs of 61 foods in each city, weighted to represent total purchases of families of wage earners
and lower-salaried workers, have been combined w ith the use of population weights.
3 Prelim inary.

Cereals and bakery 'products.—T h e in d ex for th e gro u p rose 0.5 p e r
c e n t as 51 cities re p o rte d in creases. P rices of w h e a t flour, co rn m eal,
m a c a ro n i, a n d v a n illa cookies rose m o re th a n 1 p e rc e n t, a n d th e re
w as a slig h t in crease fo r so d a crack ers. T h e cereals a n d b a k e ry p ro d 
u c ts g ro u p h a s sh o w n th e sm a lle st in cre ase of an y of th e food g ro u p s
since A u g u st 1939. T h e n e t ch a n g e o v e r th e p a s t 43 m o n th s ending
in M a rc h 1943 w as less th a n 15 p e rc e n t, a n d th e in crease b etw een
M a y 1942 (im m e d ia te ly p re ced in g th e first co m p reh en siv e co n tro l of
food prices b y th e Office of P ric e A d m in istratio n ) a n d M a rc h 1943
a m o u n te d to o nly 1.7 p e rc e n t. T h is w as d u e p rin c ip a lly to th e s ta 
b ility of b re a d prices.
M eats.—The cost of m eats continued to edge up, with all groups
sharing in the increase. Prices of chickens rose 1 percent and there
were fractional increases for beef and veal, pork, and lamb. Serious
shortages of some meats, particularly beef, were reported in many
cities. Prices of fresh fish advanced 8 percent. In M arch 1943 the
index for all m eats was 10 percent above the M ay 1942 level and 43
percent above th a t of August 1939.
Dairy products.—Prices for dairy products as a group rose 0.8 per
cent; there was an advance of 1.3 percent in the prices of cheese and
fresh milk delivered to homes, a rise of 1 percent for evaporated milk,
and smaller increases for bu tter and milk sold through grocery stores.

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

RETAIL

COST

OF

ALL

FOODS

AVERAGE FOR 51 LARGE CITIES
1 9 3 5 - 3 9 = IOO

R e ta il P ric e s

UNITED STATES BUREAU OF LABOR STATISTICS

1217


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Federal Reserve Bank of St. Louis

1218

M o n th ly L a b o r R e v ie w — J u n e 1943

R E T A I L COST OF FOOD

UNITED STATES DEPARTMENT OF LABOR
BUREAU OF LABOR STATISTICS________


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Federal Reserve Bank of St. Louis

Retail Prices

1219

Several reports were received of local adjustm ents in the ceiling prices
of fresh milk. A m ark-up type of OPA price ceiling perm itted the
increased costs of cheese and evaporated milk a t the prim ary lev id to
be passed on to the consumer.
_
Eggs. -Prices of eggs declined in 46 cities, with the usual seasonal
increase in supplies. The general average decreased to approximately
50 cents per dozen. In M arch 1943 egg prices were 27 percent above
M arch 1942 and 57 percent above August 1939.
Fruits and vegetables.—The index for the group as a whole rose 10.7
percent during the m onth, largely as a result of advances m prices of
fresh produce. In M arch 1943 the index of fresh fruits and vege
tables was about 40 percent above the same month of 1942 and 85
percent above January 1941. Prices of apples and sweetpotatoes,
uncontrolled by the Office of Price Administration, rose 12.7 percent
and 36.6 percent respectively. Among the articles placed under
ceilings in the latter part of February, green beans and cabbage rose
41 percent and there were smaller increases for carrots, lettuce, and
spinach. Oranges, onions, and potatoes, whose prices are under the
mark-up type of control whereby increased producers costs are passed
on to the consumer, rose by amounts varying from 6 percent for oranges
to 18 percent for potatoes. Potato prices reached a point 138 percent
above January 1941, and onions were 97 percent and oranges 44 per
cent above th a t level. These increases reflected the heavy demand
resulting from the rationing of canned goods as well as shortages of
supply caused by the unusually late cold weather. Reports were
received indicating local shortages for several fresh vegetables, especi
ally potatoes.
Prices of canned and dried vegetables continued to go up by small
amounts.
.
.
.
Beverages.—Beverage prices increased slightly, with cofiee showing
a 0.7-percent rise and tea a 0.5-percent decline. Local shortages of
certain brands of coffee were reported, but there was no indication
th a t coffee was not available in any community.
Fats and oils.—Prices of oleomargarine and peanut butter rose by
more than 1 percent, and those ol lard, shortening, and salad dressing
rose by smaller amounts. The average for the group was only 0.2
percent above m id-February and approximately 3 percent above M ay
Sugar and sweets.—Prices of sugar remained unchanged. The
average for this group rose slightly, however, because the prices of corn
sirup (included in the index for the first time) advanced 1.3 percent.
Average prices of 78 foods in 56 cities combined are given m table
3 for February and M arch 1943 and in 51 cities combined for M arch,
M ay, and September 1942.

520085— 43-------12


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Federal Reserve Bank of St. Louis

1220
I ab le

Monthly Labor Review— June 1943
3.— Average Retail Prices of 78 Foods in 56 Large Cities Combined, February
and March 1943 and March, May, and September 1942
1943

1942

Article

Cereals and bakery products:
Cereals:
Flour, w h e a t______________
10 p o u n d s..
M acaroni_________________
___p o u n d ..
W heat cerea l 3_____________
.28 ounces..
Corn flakes_______________
..8 ounces..
Corn m eal________________
___p o u n d ..
Rice 3____________________
_____do___
Rolled oats_______________
____ do ___
Flour, pancake 3__________
.20 ounces..
B akery products:
B read, w h ite _____________
___p o u n d ..
Bread, w hole-w heat_______
____ do___
B read, ry e ________________
____ do___
Vanilla cookies____________
____ do___
Soda crackers__________
____ do___
M eats:
Beef:
R ound steak ______________ ----------- do___
R ib ro ast_________________ _______ do ___
C huck ro ast______________ _______ d o . .. .
Stew m e a t 3_______________ _______ do___
L iver_____________________ _______ do___
H am burger. __
_______ d o ....
Veal:
C u tlets____________ _______ _______ do___
R oast, boned and rolled 3___ _______ do___
Pork:
C hops_______ ______ _______ ----------- do___
Bacon, sliced______________ _______ do ___
H am , sliced_____________
----------- do___
H am , w hole_______________ ----------- do___
Salt po rk__________________ _______ do___
Liver 3__________________ ----------- do___
Sausage 3________________ ” ----------- do ___
Bologna, big 3________
----------- do ___
Lam b:
Leg----------------------------------- _______ do ___
R ib chops________
_______ do ___
Poultry:
Roasting chickens__________ ---------- do___
Fish:
Fish (fresh, frozen)________ . ----------- do___
Salmon, p in k ______________ ...1 6 oz. can ..
Salmon, red 3______________ ----------- do___
D airy products:
B u tte r________________________ ------- p o u n d ..
Cheese________________ _________ _______ do___
M ilk, fresh (delivered)__________ ---------q u a rt..
M ilk, fresh (grocery)_________
----------do ___
M ilk, fresh (delivered and store )3 ---------- do___
M ilk, ev ap o rated ...
-14J7oz. c an ..
Eggs:
Eggs, fresh________________ ____ -------- dozen..
F ruits and vegetables:
Fresh fruits and vegetables:
F ruits:
Apples_________________ ---- p o und..
B ananas________________ ------- do ___
Oranges________________ ------dozen..
G ra p e fru it 3_____________ ------- each..
Vegetables:
Beans, green____________ ---- p o u n d ..
Cabbage_______ ________ ------- d o ...
C arrots_________________ ---- bunch __
L ettuce________________
------- head ..
O nions_________________ . . ..p o u n d ..
P otatoes________________ 15 p o u n d s..
Spinach________________ ---- p o u n d ..
Sweetpotatoes___________ ------- do___
Beets 3_________________
---- bunch..
C anned fruits and vegetables:
F ru its:
Peaches________________ No. 2Yi can.
Pineapple______________ ---------do___
G rapefruit juice_________ ..N o . 2 c a n ..

See footnotes at end of table,


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Federal Reserve Bank of St. Louis

M ar. 16

Feb. 16
(revised)

Sept. 15

M ay 12

M ar. 17

Cents

Cents

Cents

Cents

Cents

60.0
14.6
24. 1
7.0
5.4
12.8
8.9
10.5

59.1
14.6
24. 1
7.0
5.3
12.8
8.9
10.5

54. 3
14.1
24.0
7.0
5.0
12.5
8. 7
(4)

51.6
14.2
24. 1
7.2
4.7
12.3
8.6
(4)

51.9
14.2
24.1
7.3
4.7
11.9
8.4

(4)

8.8
9.7
9.8
28.8
17.6

8.8
9.7
9.8
28. 1
17.5

8.7
9.5
9.7
27.0
16.6

8.7
9.5
9.7
27. 7
16.4

8.7
9.5
9.6
27.1
16.4

45.6
36.0
31.4
35.6
37.5
33.2

45.2
35.8
30.9
35.5
37.4
33.1

44.2
34.7
30.0
(4)
(4)
(4)

44. 2
34.0
28.9
(4)
(4)
(4)

42.0
32.8
28.6
(4)
(4)
(4)

55.5
36.6

55.6
36.7

54.9
(4)

53.6
(4)

52.2
(4)

43.5
43.2
61.0
39. 1
24. 1
24. 1
38.3
33.5

43.4
43.0
60.8
39. 1
24.1
24. 1
38.2
33.4

43.1
40.9
59.6
38.3
23.8
(4)
(4)
(4)

43.2
39.3
58.8
37.8
24.0
(4)
(4)
(4)

40.0
38.4
57.7
37.0
22.8
(4)
(4)
(4)

39.5
48.4

39. 2
48.2

37.9
47.1

33.8
41.3

31.4
37.5

46.3

45.7

42.5

36.1

35. 7

(5)
23.1
40.9

(5)
23.2
41.7

(5)
21.8
40. 6

(5)
21.8
40.0

(5)
21.4
39.2

56.2
38. 2
15.6
14.3
15.1
10.2

56.0
37.7
15.4
14.2
15.0
10. 1

50.6
34.3
15.0
13.5
14. 5
8.9

45. 7
34. 0
14.9
13.5
14.4
8.7

42.2
34.9
15.1
13.6
14.6
8.8

50.3

50.9

55. 2

40.9

39.7

8.9
10.7
39.4
6.8

7.9
10. 6
37. 2
6.0

6.2
10. 3
39.1
9.4

7.5
12.0
31.4
6.3

6.2
9.8
28.9
4.8

26.7
9.3
9. 2
14.2
7.1
69. 6
12. 9
9.7
11.9

18.9
6.6
9.0
14.0
6.2
58.8
12.4
7.1
9.4

11.6
3.9
6.9
12.5
4.5
48.3
10.7
6.4
(4)

13.4
4. 5
6.6
9.2
6.8
53.0
7.4
5.4
(4)

21.3
4. 1
6.6
9.8
7.6
48.1
7.0
5.0
(4)

26.3
29.3
13.8

26.1
29. 2
13.6

24.0
28.3
12.4

23.3
27. 1
9.8

' 23.0
26. 3
9.9

1221

Retail Prices
T a b l e 3 . — Average

Retail Prices of 78 Foods in 56 Large Cities Combined, February
and March 1943 and March, May, and September 1942—Continued
1942

1943
Article

Feb. 16
M ar. 16 > (revised)2 Sept. 15

F ru its and vegetables—C ontinued.
Vegetables:
Beans, green_________ _____ ...N o . 2 can ..
______ d o ___
Corn
__
P e a s .... ..................... . _ ______ do ___
Tom atoes_________________ ______ do ___
11 oz. can _
Soup, vegetable 3
D ried fruits and vegetables:
F ruits:
P runes._____ _____ _____p o u n d ..
Vegetables:
N avy beans.-- . ____ . . . ______ do ___
Soup, dehydrated chicken noodle - - ounce. _
Beverages:
C o ffee________________________ ____p o u n d ._
T e a .........................
. _ _ _ ...1 4 p o u n d ..
..-Im p o u n d .
Cocoa 3_____ _____
--- --F ats and oils:
Lard-_ ____ __________ ______ ____p o u n d ..
Shortening other th a n lard:
___ do___
In cartons
. .
. ____ do___
In other containers.Salad dressing____________
- _____ p in t..
-.p o u n d ..
Oleomargarine . . . . . ------ ------____do___
P ean u t b u tte r___________ _____
.p in t.
Oil, cooking or salad 3- . - .
Sugar and sweets:
__ .p o u n d ..
Sugar. _
.
24 ounces _
Corn sirup __. . . .
M olasses3
-----. . . - - ___18 ounces._
A pple b u tte r 3_____ . . . . ------ , .16 ounces..

Cents

Cents

Cents

M ay 12

M ar. 17

Cents

Cents

14.0
13.0
15.8
12. 1
(4)

13.6
12. 8
15. 6
11.9
(4)

14.8

12.3

11.8

9.7
3.9

9.1
(4)

9.0
(4)

30.1
21.2
9.1

29.9
21. 3
9.2

28.7
22.4
10.2

28.9
22.4
10. 2

27.9
21. 3
10. 0

19.3

19.2

17.3

17.9

16.6

20.0
24.4
25. 2
23. 3
32.0
30.2

19.9
24.4
25.1
22.8
31. 5
30. 1

19.5
24.4
25.2
22.4
27. 8
(4)

19.8
25. 8
25. 4
22. 4
26. 9
(4)

19.3
25. 2
24. i
22. 0
(4)

6.9
15. 4
15.6
13.7

6.9
15.2
15.5
13.7

6.9
15.1
14.9
(4)

6.9
14. 8
14. 5
(4)

6.9
14. 4
14. 2
(4)

15.2
14.2
15.5
12.8
13.0

15.0
14. 1
15.3
12.7
12.9

16.7

16.6

9.8
3.8

13.7
13.3
14. 6
11.6

6)

.

9.0
(4)

2 M arch averages are com puted by using the latest available inform ation concerning city population, and
sales volume in independent and chain stores. F ebruary prices have been revised for com parability w ith
M arch and vary slightly from previously published figures. T h e differences are small for the U . b. average
for any individual food.
2 N ot included in index.
4 Priced for the first tim e in F ebruary 1943.
5 Composite prices not com puted.

Details by Cities
All of the 56 cities showed increases of 1 percent or more except
Seattle, where relatively small changes for fruits and vegetables re
sulted in a net increase of only 0.6 percent, The largest increases
over February 1943 were reported for Little Rock and Knoxville,
where there were sharp increases for fresh fruits and vegetables, riie
increase over M arch 1942 varied from 11 percent in Louisville to
23 percent in Memphis.
Indexes of food costs, by cities, are shown in table 4 lor I ebruary
and M arch 1943 and M arch, May, and September 1942.


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Federal Reserve Bank of St. Louis

1222

Monthly Lahor Review— Jane 1943

T able 4

— Indexes of Average Retail Cost of All Foods, by Cities,1 February and March
1943 and March, May, and September 1942
[1935-39 = 100]
1943

1942

1943

C ity
M ar.
16 2
U nited S tates___
New England:
B oston______
B ridgeport - __
Fall R iver__
M anchester - N ew H av en -Portland, M e.
Providence-.M iddle A tlantic:
Buffalo - .
N ew ark,
N ew Y ork__
P h ilad elp h iaP ittsb u rg h - - R ochester___
Scranton -_E. N. Central:
Chicago_____
C incinnati__
C leveland___
Col umbus ,
Ohio. D etroit
Indianapolis-M ilw aukee--Peoria______
S p rin g fie ld ,
Ill-._ W. N . Central:
Cedar R apids4
K ansas C ity ..
M inneapolis O m aha___
St. Louis
r" ' St. Paulr
W ic h ita 4

Feb. Sept. M ay
16
15
12

M ar.
17

137.4 133.6 126.6 121. 6 118.6
134. 1
137.6
138. 0
137.8
136.1
134.4
135.3

130.4
132.9
132.7
134. 4
132.9
132.3
132.3

124.4
127.1
125.7
126. 8
126.2
125.8
126. 3

118.3
121.3
120. 8
124.0
120. 6
121. 7
122. 1

115. 3
118. 6
118. 2
118. 7
118. 0
117. 1
117. 3

141.2
139. 1
138. 0
133. 5
137. 2
137. 6
136. 9

138.1
135.3
133. 4
129.6
133.8
133. 8
134.0

127.6
128.0
125. 2
123. 9
125.9
125.2
125. 6

125. 2
120.9
118. 0
119.4
121.4
122. 3
121. 0

121. 5
118. 5
116. 5
115.5
117.8
118. 4
117. 6

135.9 132. 1 124.9 121. 7 117. 5
135.1 131. 1 126.9 122.4 118. 9
139.5 135. 9 127.3 124. 1 120. 5
130.2
135.7
134.8
134.0
140.8

126.5
132.3
131. 2
131. 1
136. 9

119. 6
124.7
127.1
121.0
130. 7

118. 6
122. 4
125.0
119.8
129.0

115. 2
118. 6
120. 8
116.0
123. 6

141.3 136.4 130. 2 128.0 124. 3
136.3
133.7
133. 0
132.4
138.9
132.1
144. 6

133. 0
129. 4
130. 7
129.8
134.4
129. 8
141.6

121.2
120.7
123.3
123. 2
126.7
120.8
132.0

123.9
118.8
120.9
119. 9
123. 8
118. 7
129.0

120. 7
116.5
117.3
116. 5
122. 9
115. 2
123.7

1942

C ity
M ar.
16 2
South A tlantic:
A tlanta--- __
BaltimoreC h a r le s to n ,
S. C _____
Jacksonville
Norfolk 3___
R ichm ond.
Savannah
W ashington,
D. C- —
W in sto n -S a 
lem 4E. S. C entral:
B irm ingham
Jackson4
Knoxville
Louisville.
M em phis
M obile. __
W. S. Central:
Dallas .
H ouston____
L ittle Rock
N ew Orleans
M ountain:
B u tte _______
D enver
Salt Lake
C ity ______
Pacific:
Los Angeles __
Portland, Oreg
San Francisco
Seattle. ____

Feb. Sept. M ay M ar.
16
15
12
17

137. 7 133.1 125. 9 120.4 118.4
144. 0 137.9 131.2 125.8 123. 0
133. 7
146.0
144. 5
135.8
145.1

130.8
140.1
140. 9
132.8
141. 3

126. f
134.2
131.9
126. 2
133. 3

123.2
127.4
126. 1
120.9
130.3

119.8
124. 3
126. 7
118. 4
125. 2

136. 9 132. 2 128. 1 120.7 118.3
134.5 129.3 119.8 119.3 115.7
134.8
153. 5
149.7
132. 6
144.8
145. 6

131. 7
151.5
142. 8
129.0
139.6
140.4

125.3
141.0
134.2
124. 2
129. 7
133.9

120.5
128.3
131.0
122.6
123. 5
126.8

117.8
126.9
124. 6
119.3
117.8
130. 7

134.3
142. 7
137.4
153. 2

129. 2
137. 9
131. 5
147.0

123.7
130.8
129. 2
135.9

116.8
125. 9
123. 2
129.0

115. 6
124. 6
120.1
128. 0

133. 5 131.8 124.6 121.5 118.3
137. 2 133.9 126.8 122. 9 117.7
141.1 138. 5 130. 1 124.2 120.0
142.8
148. 5
143. 7
144. 7

139. 5
147.0
141. 7
143.9

137.9
141.2
133. 5
137. 3

128.1
134. 5
125. 5
129.9

124.9
129. 7
121.9
126.7

‘ Aggregate costs of 61 foods in each city, weighted to represent total purchases of families of wage earners
P r i m n sp lTfnr
k?"5i-have been combineJ for the United StatesV ith the use of S u la tT o n weights
2 Preliminary^ tlme-to-time comparisons rather than place-to-place comparisons.
B
3 Includes Portsm outh and N ew port News.
4 Indexes based on June 1940=100.0.

Average Annual indexes, 1913 to March 1943
Annual average indexes of food costs for the years 1913-42
and m onthly indexes for January 1942 through M arch 1943 are
presented in table 5.


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Federal Reserve Bank of St. Louis

1223

Retail Prices

Indexes of Retail Food Costs in 56 1Large Cities Combined, 1913 to March 1943

T a b le 5.

[1935-39 = 100]
All-foods
index

Y ear
1913
____
1914 __ ____
1915 _______
1916
1917_______
1918
____
1919
1920 _______
1921 _______
1922 . . ____
1923 _______
1924
____
1925_____

79.9
81.8
80.9
90.8
116.9
134.4
149.8
168.8
128.3
119.9
124.0
122.8
132. 9

All-foods
index

Year
1926________
1927________
1928________
1929________
1930________
1931________
1032________
1933________
1934________
1935________
1936________
1937________
1938________

All-foods
index

Y ear

137.4
132.3
130.8
132.5
126.0
103.9
86.5
84.1
93.7
100.4
101.3
105.3
97.8

1939________
1940________
1941________
1942________

1H2
J a n u a ry ____
Feb ru ary ___
M arch _
A p ril_____
M ay _______
June _
Ju ly -----------

All-foods
index

Y ear

95.2
96.6
105. 5
123. 9
116.2
116.8
118.6
119.6
121. 6
123. 2
124. 6

1942— Con.
A ugust. - -S eotem ber...
O ctober____
N ovem ber. __
D ecem ber.._

126.1
126.6
129.6
131. 1
132.7

1943

133.0
133.6
137.4

J a n u a ry ____
F eb ru ary ___
M arch_____

i Indexes based on 51 cities combined, prior to M arch 1943.
********

CO A L P R IC E S IN

M ARCH

1943

A G EN ER A L advance in retail prices of coal between December 15,
1942, and M arch 15, 1943, accounted for practically the entire increase
recorded for a year. Prices of coal which, under Government control,
had shown little change during 1942 were increased during the first
p art of 1943 to cover higher production costs resulting from the increase
in working hours in the mines and in the operating cost which occurred
subsequent to the establishment of maximum prices.
T a b l e 6 . — Average

Retail Price of Coal in Large Cities Combined, March 1943 and
December and March 1942
Average retail price per
ton of 2,000 pounds

Index of retail price
(October 1922-September
1925=100)

Percent of
change M arch
15, 1943, com
pared w ith—

K in d of coal
1943

1943

1942

1942

1942

M ar. 15 i Dec. 15 M ar. 15 M ar. 15 1 Dec. 15 M ar. 15 Dec. 15 M ar. 15
B itum inous coal (35 cities) old
series ^
_____
Pennsylvania anthracite (25 cities)
new series:3
Stove
C hestnut
P e a ---------------------------B uckw heat No. 1----------------W estern anthracite:
A rkansas (6 cities)---------------Colorado (1 c ity )--------------N ew Mexico (1 c ity )-------------

$9.82

$9. 56

$9. 52

99.8

97.2

96.7

+ 2.7

+ 3.2

13. 08
13. 13
11. 21
9.11

12. 43
12. 49
10. 56
8. 58

12. 42
12. 48
10.56
8. 64

92.9
93.4

88.3
88.9

88.2
88.9

+ 5 .2
+Ö. 1
+6. 2
+6. 2

+ 5.3
+ 5.1
+ 6 .2
+ 5.4

14 53
15 97
24. 72

13. 63
15. 86
24.72

13. 57
15.81
24. 72

+ 6 .6
+ .7
0

+ 7.1
+ 1.0
0

1 Prelim inary.
.
.
.
,.
2 U n w e ig h te d average, w eighted composite prices are m preparation.
.
sW eighted on the basis of the distribution by rail or rail and tidew ater to each city during the 12-month
period from A ugust 1, 1935, to Ju ly 31, 1936.

The advance for bituminous coal, which averaged 2.7 percent
between December 15,1942, and M arch 1.5, 1943, was due to increases
of 20 cents or more per ton in most of the reporting cities. A lew


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Federal Reserve Bank of St. Louis

1224

Monthly Labor Review— June 1943

cities in th e s o u th e rn a re a a n d L os A ngeles a n d S an F rancisco on th e
I acific co a st re p o rte d little o r no ch an g e for th e h ig h -v o latile coals
sold in th o se lo calities.

Increases for domestic sizes of Pennsylvania anthracite during the
first 3 m onths of 1943 ranged from 5.1 percent for chestnut to 6.2
peicent for pea and buckwheat No. 1. Arkansas anthracite prices
advanced 6.6 percent and other western anthracites showed little or no
change.
Average prices of coal, together with indexes for bituminous coal
and stove and chestnut sizes of Pennsylvania anthracite, are presented
m table 6 for M arch 1943 and December and M arch 1942.


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Federal Reserve Bank of St. Louis

Wholesale Prices

W H O L E S A L E P R IC E S IN

A P R I L 1943

T H E Bureau of Labor Statistics index of prices of commodities in
prim ary m arkets 1 rose 0.3 percent in April to a new wartime high.
F urther increases in prices for fresh fruits and vegetables were largely
responsible for the advance. The all-commodity index for April
stood at 103.7 percent of the 1926 level, the highest point reached m
more than 17 years.
Prices for both farm products and foods averaged nearly 1 percent
higher in April than in M arch. Textile products, fuel and lighting
materials, chemicals and allied products, and miscellaneous commodi
ties rose slightly. A minor decrease was recorded in average prices
for building materials, as a result of a seasonal decline in prices for
sand and gravel and lower quotations for rosin.
Influenced by continued advances in prices for agricultural com
modities, the index for raw m aterials rose 0.7 percent during the
month, while m anufactured commodities and semimanufactured prod
ucts were 0.1 percent higher.
During the 12-month period from April 1942 to April 1943, prices
for farm products rose more than 18 percent— 103 percent higher than
in August 1939. Food prices were nearly 10 percent above their April
1^42 level; fuel and lighting materials and chemicals and allied prod
ucts rose from 3 to nearly 4 percent and miscellaneous commodities,
over 1 percent. Hides and leather products, textile products, and
housefurnishing goods were lower than they were at the same time
last year, the decrase ranging from 0.2 percent to 1.2 percent.
The increase of 0.9 percent in the farm products group was led by
advances of 44 percent for sweetpotatoes, 23 percent for onions, and
substantially higher prices for apples and white potatoes in most m ar
kets. Smaller increases were reported for cotton, hay, seeds, dried
beans, and wool. Grains averaged 0.3 percent higher, principally
because of increases of more than 3 percent for corn and oats. Rye
declined over 3 percent and wheat fell almost 2 percent. Livestock
and poultry declined 1.3 percent during the m onth, because of lowei
quotations for calves, cows, and hogs. Steers, sheep, and live poultry
in the Chicago m arket advanced.
Led by an advance of 6.6 percent in prices for fresh fruits and vege
tables, the foods group index rose 0.9 percent in April, notw ithstanding
weakening prices for flour. Quotations for cereal pioducts, particu
larly oatmeal, corn meal, hominy grits, and macaroni continued to
move upward. Higher prices were also reported for fresh milk and
veal in the Chicago market and for vinegar and olive oil. A few foods
i The Bureau of Labor Statistics wholesale price d ata for the m ost p a rt represent prices prevailing in the
'‘first commercial transaction.” T hey are prices quoted in prim ary m arkets, at principal distribution points.


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Federal Reserve Bank of St. Louis

1226

Monthly Labor Review— June 1943

declined in price. Prices of lemons dropped over 15 percent; oleo
margarine, 3 percent; and eggs, almost 2 percent.
Except for higher prices for binder twine and certain woolen m ate
rials there were few changes in textile m arkets. Quotations for shoes
and other leather products were steady.
An increase of 0.4 percent in the fuel and lighting m aterials group
index was attributable to higher prices for crude petroleum in the
California region, for fuel oil, gasoline, and kerosene, together with
fractionally higher prices for bitum inous coal in some areas.
No changes were reported in prices for metals and m etal products
during the m onth.
Building m aterials as a whole dropped 0.1 percent because of a
seasonal decline in quotations for sand and gravel and a further de
crease in rosin. Linseed oil and turpentine continued to rise, and
fractional advances were also reported for some types of lumber,
namely, Ponderosa pine boards, maple flooring, and red cedar shingles!
In the chemicals and allied products group, quotations were higher
for stearic acid, nicotine sulfate, caffeine, ergot, and for fertilizer
materials such as cottonseed meal and superphosphate.
The furniture m arket remained firm.
Average prices for cattle feed advanced 1.8 percent, with linseed
meal 25 percent higher and bran and middlings 0.3 percent higher.
Boxboard continued to rise and prices were also higher for laundry
starch and soap.
Percentage comparisons of the April 1943 level of wholesale prices
with M arch 1943, April 1942, and August 1939, with corresponding
index numbers, are given in table 1.
T able ,1.— Index

Numbers of It holesale Ib ices by Groups and Subgroups of Commodities
April 1943, with Comparisons for March 1943, April 1942, and August 1939
[1926 = 100]

G roup and subgroup

April
1943

M arch
1943

Percent
of
change

April
1942

Percent
of
change

August
1939

Percent
of
increase

All com m odities.-.........

110-3. 7

1Q3.4

+ 0 .3

98.7

75.0

38.3

Farm p ro d u c ts ___
Grains . .
Livestock and po u ltry___
O ther farm p ro d u c ts ...

123.9
112.5
134. 0
120.0

122.8
112.2
135.7
117.1

+ .3
- 1 .3
+ 2 .5

104. 5
91.5
118. 3
99.0

+ 18.6
+23. 0
+ 13 3
+21. 2

61.0
51.5
fifi 0
60.1

103.1
118.4

Foods_____
D airy products____
Cereal products.
F ru its and vegetables. _
M oats____ _
O ther foods____

108.4
113.3
93. 7
123.2
115.8
96.0

107.4
113.2
93.5
115.6
115.5
96.3

+ .9
+• 1
+ .2
+ 6 .6
+• 3
- .3

98.7
94.1
90.2
97. 7
112.8
90.4

+ 9.8
+20.4
+ 3 .9
+26. 1
+ 2 .7
+ 6 .2

67. 2
67.9
71.9
58. 5
73.7
60.3

61.3
66.9
30.3
110 6
57.1
59.2

Hides and leather products.
Shoes______
Hides and skins.
L eath er_______
O ther 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

119.2
126. 7
123.5
101.3
115.2

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

92 7
100.8
77. 2
84.0
97.1

27 1
25.4
fiO 3
20i 6
18.6

Textile products. _.
C lo th in g ___
C otton goods . . . .
H osiery and u n d erw ear..
R ay o n _______ .
Silk___
Woolen and worsted goods
O ther textile products.

97.4
107.0
112. 6
70.5
30.3
0)
112.5
98.7

97.3
107.0
112.6
70. 5
30. 3
(0
112.4
97.5

+. 1
0
0
0
0

97.7
107. 8
113.8
70.6
30.3

- .3
—7
—1 1
—. 1
0

42 7

+• 1
+ 1.2 1

111.0
98.5

67. 8
81 fi
fifi .5
61 5
28. 5
44. 3
75.5
63.7

1 D ata not available.


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Federal Reserve Bank of St. Louis

0)

+ 5.1 1

+ 1 .4
+ •2

99.7

6.3
49.0
54.9

1227

H^holesale Prices

1.— Index Numbers of Wholesale Prices by Groups and Subgroups of Commodities,
April 1943, with Comparisons for March 1943, April 1942, and August 1939—Con.

T ab le

Percent
of
increase

Percent
of
change

A ugust
1939

+ 3 .7
+ 7.3
+ 6 .8
+ .2
+ 6 .2

72.6
72.1
96.0
104.2
75.8
86.7
51.7

11.0
24. 5
20.4
17.5

+ •8

77.7
83.7
108.2
122.1
64.4
78.1
58.4

0
0
0
0
0
0
0

103.8
96.9
98.0
97.1
112.8
85.6
98.5

0
0
0
+ .1
0
+• 5
- 8 .2

93.2
93.5
94. 7
95. 1
92.5
74.6
79.3

11.4
3. 6
3. 5
2. 2
21.9
15. 3
14. 0

110.4
98.7
94.2
134. 6
102.2
90.4
107.3
102.0

-.1
0
0
+ .1
+ .3
0
0
- .4

110.2
98.0
94.1
131.8
100. 6
98.5
107. 3
103.8

+ .1
+ .7
+ •1
+ 2 .2
+ 1.9
- 8 .2
0
-2 . 1

89.6
90.5
91. 3
90.1
82.1
79.3
107.3
89.5

23.1
9.1
3.2
49. 5
24.8
14.0
0
13. 5

100.1
96.4
165.1
80.0
85.8
101.5

100.0
96.4
165.0
79. 0
85.8
101.5

+ .1
0
+ •1
+ 1.3
0
0

97.1
96.4
126. 7
79. 2
82.8
108.8

+3.1
0
+30.3
+ 1.0
+ 3 .6
- 6 .7

74.2
83.8
77.1
65.5
73.1
40.6

34.9
15. 0
114.1
22.1
17.4
150. 0

H ousefurnishing goods______________
Furnishings____ __________ ____
F u rn itu re ______________________

102.6
107.3
97.7

102.6
107.3
97.7

0
0
0

102.8
108. 0
97. 5

-.2
-. 6
+ .2

85.6
90. 0
81.1

19.9
19. 2
20. 5

M iscellaneous______________________
A utomobile tires and tubes .
C attle feed-------- ------- ----------Paper and p u l p -----------------------R ubber, crude__________________
O ther miscellaneous-------------------

91.6
73.0
150.9
102. 9
46.2
95.1

91.4
73.0
148. 2
102.7
46.3
94.9

+ .2
0
+ 1 .8
+ .2
-. 2
+ .2

90.3
72.5
140.4
102.9
46.3
93.4

+ 1 .4
+• 7
+ 7 .5
0
-. 2
+ 1.8

73.3
60. 5
68.4
80.0
34.9
81.3

25.0
20.7
120.6
28.6
32. 4
17.0

R aw m aterials_____________________
Sem im anufactured articles---------------M anufactured p roducts-------------------All commodities other th a n farm products. _________________________ - All commodities other th an farm products and foods . . . . . . .

112.8
93.1
100. 6

112.0
93. 0
100.5

+ .7
+ .1
+ •1

100.0
92.8
98.7

+12.8
+ .3
+ 1 .9

66.5
74.5
79.1

69.6
25. 0
27.2

M arch
1943

Percent
of
change

80.6
89.8
115.6
122. 4
(i)
(!)
62.0

80.3
89.8
115.2
122.4
(i)
75.6
61.5

+ 0 .4
0
+ .3
0

M etals and m etal products. _ ______
A gricultural im plem ents________
F arm m achinery. _ . .
...
Iron and steel------ -------------------M otor vehicles_________________
Nonferrous m etals. .
.
. .
P lum bing and heatin g------- ------

103.8
96.9
98.0
97.2
112.8
86.0
90.4

103.8
96.9
98.0
97.2
112.8
86.0
90.4

Building m aterials__________________
Brick and tile.
. ...
. -----C em en t.. .
. .
. . . ----L um ber .
.
.
. .
P ain t and pain t m aterials_______
P lum bing and heatin g---------------Structural steel.
. .
. ---Other building m a te ria ls... -------

110.3
98.7
94.2
134. 7
102.5
90.4
107.3
101.6

Chemicals and allied products.. -----C hem icals________________ ____
Drugs and pharm aceuticals--------Fertilizer m a te ria ls .____ . . ---Mixed fertilizers____________ . . .
Oils and fats. . . .
. . . . . .
.

G roup and subgroup

Fuel and lighting m aterials--------------A n th ra c ite .. ________________ -B itum inous coal__
Coke___ ..
____ _____ _ . .
Petroleum and p roducts______ _

D a ta not available.


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Federal Reserve Bank of St. Louis

April
1943

A pril
1942

19.9

99.1

99.0

+ .1

97.2

+ 2.0

77.9

27. 2

96.6

96.5

+ .1

95.6

+ 1 .0

80. 1

20. 6

1228

Monthly Labor Review— June 1943

Index Numbers by Commodity Groups, 1926 to April 1943
Index numbers of wholesale prices by commodity groups for
selected years from 1926 to 1942, inclusive, and by m onths from
April 1942 to April 1943, inclusive, are shown in table 2.
T ab le 2 . — Index

Numbers of Wholesale Prices by Groups of Commodities
[1926 = 100]

Year and m onth

Fuel
hem  HouseH ides
etals B uild Cicals
Tex
and
and Mand
All
Farm
furM is com
tile
leather
light
ing
and
prod Foods prod
m etal m ate allied nish- cella m
ing
prod
odi
ucts
ing
neous ties
ucts
ucts m ate prod
rials prod
ucts
rials
ucts goods

1926________________
1929________________
1932______________
1933________________
1937________________

100.0
104.9
48.2
51.4
86.4

100.0
99.9
61.0
60. 5
85. 5

100.0
109.1
72. 9
80.9
104.6

100.0
90. 4
54.9
64.8
76.3

100.0
83.0
70.3
66.3
77.6

100.0
100. 5
80. 2
79.8
95.7

100.0
95.4
71.4
77.0
95.2

100.0
94. 0
73.9
72.1
82.6

100.0
94.3
75.1
75.8
89.7

100.0
82.6
64.4
62.5
77.8

100.0
95. 3
64.8
65.9
86.3

1938________________
1939_______________
1940________________
1941____________
1942________________
1942:
April
_
__ .
M a y ___________
J u n e ... . . . ___ .
J u ly ____________
A ugust_________
September
O ctober________
Novem ber
December .
. .
1943:
J a n u a ry ________
F eb ru ary ___ __
M arch__ . . . . __
A p ril.. . . . . .

68.5
65.3
67.7
82.4
105.9

73.6
70.4
71.3
82.7
99.6

92.8
95. 6
100.8
108.3
117.7

66.7
69.7
73.8
84.8
96. 9

76. 5
73.1
71. 7
76.2
78. 5

95.7
94.4
95.8
99.4
103.8

90.3
90.5
94.8
103.2
110.2

77.0
76.0
77.0
84.6
97.1

86.8
86.3
88. 5
94.3
102.4

73.3
74.8
77.3
82.0
89.7

78.6
77.1
78.6
87.3
98.8

104. 5
104.4
104.4
105.3
106.1
107. 8
109.0
110. 5
113.8

98.7
98.9
99.3
99.2
100.8
102.4
103. 4
103. 5
104.3

119.2
118.8
118.2
118. 2
118.2
118. 1
117.8
117.8
117.8

97.7
98.0
97.6
97.1
97.3
97.1
97.1
97.1
97.2

77.7
78.0
78.4
79.0
79.0
79.0
79.0
79.1
79.2

103.8
103.9
103.9
103.8
103.8
103.8
103.8
103.8
103.8

110.2
110.1
110. 1
110. 3
110.3
110. 4
110.4
110.1
110.0

97.1
97.3
97.2
96.7
96.2
96.2
96.2
99.5
99. 5

102.8
102.9
102.9
102.8
102. 7
102. 5
102. 5
102. 5
102.5

90.3
90. 5
90.2
89.8
88.9
88.8
88.6
90.1
90. 5

98.7
98.8
98. 6
98.7
99.2
99.6
100.0
100.3
101.0

117.0
119.0
122.8
123.9

105. 2
105.8
107.4
108.4

117.8
117.8
117.8
117.8

97.3
97.3
97.3
97.4

79.3
79.8
80.3
80. 6

103.8
103.8
103.8
103.8

109.8
110.2
110.4
110.3

100. 2
100.3
100. 0
100.1

102.5
102. 6
102. 6
102. 6

90.7
90.9
91.4
91. 6

101.9
102.5
103.4
103.7

Index Numbers by Commodity Groups, 1926 to April 1943
The price trend for specified years and m onths since 1926 is shown
in table 3 for the following groups of commodities: Raw materials,
semimanufactured articles, m anufactured products, commodities
other than farm products, and commodities other than farm products
and foods. The list of commodities included under the classifications
“Raw m aterials,” “Semimanufactured articles,” and “M anufactured
products” was shown on pages 10 to 12 of Wholesale Prices, December
and Year 1941 (Serial No. R. 1434).


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Wholesale Prices
T a b l e 3 . — Index

1229

Numbers of Wholesale Prices by Special Groups of Commodities
[1926=100]

Year and m onth

R aw m ate
rials

Semiman
ufactured
articles

commod
All commod All
ities other
ities other
th a n farm
th a n farm
products
products
and foods

M anufac
tured
products

1926__________________________
1929__________________________
1932__________________________
1933__ _______________________
1937__________________________

100.0
97.5
55.1
56.5
84.8

100.0
93.9
59.3
65.4
85.3

100.0
94.5
70.3
70. 5
87.2

100.0
93.3
68.3
69. 0
86.2

100.0
91.6
70.2
71.2
85.3

1938__________________ __ ____
1939__ _______________________
1940__________________________
1941__ _______________________
1942__________________________
1942:
A p ril--------- ---------------------M a y _____________________
Juno____________________ .
J u ly ,---------------------,'--------A u g u st-------------- - _
Septem ber_______ ______ __
O ctober_____ ______ ____ ,,
N ovem ber,
D e ce m b e r,,,
, .
1943:
J a n u a ry ,------ ------- ------F ebruary,
,, ,
M arch ,,
_ ___ . , ,
A pril ---- , ------------------------

72.0
70.2
71.9
83.5
100. 6

75. 4
77.0
79. 1
86.9
92.6

82.2
80.4
81.6
89.1
98.6

80.6
79.5
80.8
88.3
97.0

81.7
81.3
83.0
89.0
95.5

100.0
99. 7
99.8
100.1
101.2
102. 2
103.0
103.9
106.1

92.8
92.9
92.8
92.8
92.7
92.9
92.7
92.6
92.5

98.7
99.0
98.6
98.6
98.9
99.2
99.4
99.4
99. 6

97.2
97.4
97.1
97.0
97.5
97.7
97.9
97.9
98.1

95.6
95.7
95.6
95.7
95.6
95.5
95.5
95.8
95.9

108.2
109. 6
112.0
112.8

92.8
92.9
93.0
93.1

100.1
100. 3
100. 5
100.6

98. 5
98.7
99. 0
99. 1

96.0
96.2
96.5
96.6

Weekly Fluctuations
Weekly changes in wholesale prices by groups of commodities during
M arch and April 1943 are shown by the index numbers in table 4.
These indexes are not averaged to obtain an index for the m onth but
are computed only to indicate the fluctuations from week to week.
T a b le 4 . — Weekly

Index Numbers of Wholesale Prices by Commodity Groups, March
and April 1943
[1926=100]

Com m odity group

Apr. 24 Apr. 17 Apr. 10 Apr. 3 M ar. 27 M ar. 20 M ar. 13 M ar. 6

All commodities. ,

103.4

103.5

103.5

103.4

103.3

103.0

103.2

102.9

Farm p ro d u cts_____ , , -------------Foods. _______ , _______ , .
H ides and leather products . .
Textile p ro d u c ts,._________________
Fuel and lighting m aterials.. .

123.9
108.5
118.4
96.9
81.1

124.4
108.4
118.4
96.9
81.1

124.3
107. 9
118.4
96.9
81.1

124.7
107.8
118.4
96.8
80.8

124.2
107.6
118. 4
96.8
80.8

122.4
107.1
118.4
96.8
80.8

123.5
107.0
118.4
96.8
80.7

122.0
106.4
118.4
96.8
80.9

M etals and m etal p roducts, . ------- ,
Building m aterials----- ----------------Chemicals and allied products____ .
H ousefurnishing goods . . . . .
M iscellaneous______ . . --------------

103.9
110. 2
100. 1
104. 2
91.4

103.9
110.3
100.1
104.2
91.4

103.9
110.3
100.1
104. 2
91.3

103.9
110.4
100.1
104.2
91.2

103.9
110.4
100. 0
104.2
91.2

103.9
110.4
100.0
104.2
91.2

103.9
110. 4
100.0
104.2
91.2

103.9
110.1
99.9
104.1
91.0

R aw m a terials.. . . . ______________
Semimanufactured articles____ ____
M anufactured p roducts. , . ,
All commodities other th a n farm
products_______________________
A ll commodities other th a n farm
products and foods________
. .

112. 5
92.9
100.8

112.8
93.0
100.8

112.7
93.0
100.8

112.8
93.0
100.7

112. 5
92. 9
100.7

111. 5
92.9
100. 6

112.1
92.9
100. 6

111.2
92.9
100.6

99.0

99.0

99.0

98.9

98.8

98.8

98.8

98.7

96.8

96.8

96.7

96.7

96.6

96.6

96.6

96.6


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Trend of Employment and Unemployment

S U M M A R Y O F R E P O R T S F O R A P R IL

1943

T H E total num ber of employees in nonagricultural establishments
in April 1943 was 38,341,000, about 150,000 more than in M arch and
almost two and a half million more than in April 1942. The gain
during the m onth was prim arily the result of an increase of almost
100,000 employees in trade and reflects the large spurt in retail buying
during the E aster season.

Industrial and Business Employment
Wage-earner employment in all m anufacturing industries increased
4,000 over the month, the smallest m onthly increase since January
1942. In the nondurable-goods group of industries, where a rela
tively short workweek had prevailed, wage-earner employment
declined by 49,000.
T ab le

1.— Estimated Number of Wage Earners and Indexes of Wage-Earner Employ
ment in Manufacturing Industries, by Major Industry Group 1
[Subject to revision]
E stim ated num ber of wage earners
(in thousands)

W age-earner in 
dexes (1939=100)

In d u stry gr.mp
April
1943
All m anufacturing.
_
. . . .
D urable g o o d s... ____________ .
N ondurable goods . .
Iron and steel and their products _____
Electrical m achinery.. .
M achinery, except electrical__________
T ransportation equipm ent, except automobiles__________
Automobiles. . _
...
Nonferrous metals and their p ro d u c ts ...
Lum ber and tim ber basic products
F urnitu re and finished lum ber products
Stone, clay, and glass, and products.
Textile-mill products and other fiber
m anufactures. . .
A pparel and other finished textile produ c ts ___________________ _
Leather and leather p ro d u cts_______
Food and kindred products . .
Tobacco m anufactures. . . .
Paper and allied products _.
Printing, publishing, and allied industries
Chemicals and allied products .
Products of petroleum and co al..
R ubber products__________ _ _.
Miscellaneous in d u stries.. _

M arch
1943

February
1943

April
1942

April
1943

M arch
1943

13,713
8,144
5, 569

13, 709
8,091
5,618

13,617
7, 989
5, 628

11,988
6, 500
5, 488

167.4
225. 5
121.6

167.3
224. 1
122.6

1,716
697
1,241

1, 718
693
1,233

1,706
676
1,220

1,569
520
1,048

173. 1
268.9
234.8

173. 3
267.4
233.3

2, 230
656
408
477
360
359

2, 187
649
410
479
364
358

2,132
642
412
478
364
359

1,250
429
370
549
387
378

1, 405. 2
163.0
177.8
113.4
109.8
122.2

1, 378.1
161.4
178.8
114.0
111.0
122.0

1,249

1, 268

1,272

1,303

109.2

110.8

886
346
905
91
313
330
740
122
185
402

903
354
921
93
313
334
727
122
186
397

897
359
936
94
313
338
722
122
185
390

952
386
893
93
326
331
576
125
142
361

112.3
99.7
105.9
97.4
117.8
100.8
256.8
114.9
153. 3
164.1

114. 4
101.9
107.7
99.9
118. 0
101.8
252.2
115.6
153.8
162.1

1
T he estim ates and indexes presented in this table have been adjusted to final d ata for 1941 and prelimi
nary d ata for the second quarter of 1942 made available by the Bureau of E m ploym ent Security of the
Federal Security Agency and are not comparable w ith d ata published in the F ebruary 1943 and preceding
issues of the M onthly L abor Review. Estim ates and indexes for the period January 1939 to N ovem ber
1942 comparable w ith the d ata in the above table are available upon request.

1230

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Federal Reserve Bank of St. Louis

Trend of Employment and Unemployment

1231

Among the nine durable-goods groups, furniture, iron and steel,
nonferrous metals, and lumber showed declines in wage-earner employ
ment. The only sizable increase was in the transportation-equipm ent
group, a result of the continued expansion in aircraft and shipbuilding.
Em ploym ent in this group was 2,230,000, an increase of 53,000 over
M arch 1943 and of 980,000 from April 1942.
Among the nondurable groups, only the chemical group and the
miscellaneous group, which includes the professional and scientific
instrum ents industry, showed increased employment over M arch.
Both these groups had scheduled workweeks of approxim ately 48
hours in M arch.
Em ploym ent in both coal-mining industries continued to decline
because the supply of experienced miners has been exhausted. The
anthracite-m ining industry employed about 5,000 fewer wage earners
in April 1943 th an in April 1942 and 600 less than in M arch 1943.
Em ploym ent in the bituminous-coal-mining industry was 394,000,
about 47,000 less than in April of last year and 11,000 less than in
March.

Public Employment
Federal employees in April 1943 totaled 3,058,000, with 74 percent
in the W ar and Navy Departm ents and other war agencies. The
increase of 33,800 over M arch, the smallest nonseasonal gain in 18
months, reflected the influence of the employment-ceiling order of the
Bureau of the Budget. The order was not applicable, however, to
part-tim e, temporary, or construction workers, or to consultants and
experts.
From April 1942 the increase in Federal employment amounted to
almost a million persons (998,000), and since Pearl H arbor, to almost
a million and a half (1,458,000). The war agencies alone added
1,069,000 employees during the past year. Although the decline of
38,800 employees in other agencies was partially the result of reorganizational shifts, transferring some offices to war agencies, the
distinction between “w ar” and “other” agencies is still not clear-cut
because of the conversion of m any of the “other” agencies to almost
completely war activities.
The m onthly Federal pay roll, which passed the half billion
m ark in January with the provision of overtime pay, am ounted to
$564,819,000, in April. W ar-agency pay rolls rose from 58 percent
in April 1942 to 72 percent a year later.
Of the 4,630 persons dropped in April from the N ational Youth
Administration, 440 were from the student work program and 4,190
from the war production training program. The total personnel
decline over the year was 267,000.
The W ork Projects Adm inistration cut its personnel and pay rolls
by 39 percent—from 136,000 to 81,900 for personnel and from
$10,204,000 to $6,188,000 for pay rolls. The 12-month personnel
decline was 785,000. The Civilian Conservation Corps carried on
its curtailed operations with a staff of 207 persons, all of whom were
supervisory and technical employees.
Housing, war public works, and shipbuilding and repair projects
added personnel in April 1943; however, declines on other types of
projects lowered the num ber of workers on all Federally financed


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Federal Reserve Bank of St. Louis

1232

Monthly Labor Review— June 1943

construction by 21,500. Declines on other types of projects resulted
from completing the projects started and because of adequacy
of facilities for present needs. Personnel on war-construction pro
jects accounted for 97 percent of the total (2,465,000) in April 1943
and for 94 percent of the total (1,640,000) a year ago. Total pay
rolls for Federally financed construction and shipbuilding and repair
amounted to $535,131,000 in April 1943.
For the regular Federal services, data for the legislative and judicial
services and for force-account employees in the executive service
are reported to the Bureau of Labor Statistics; data for other executiveservice employees are reported through the Civil Service Commission.
The Bureau of Labor Statistics receives m onthly reports on employ
m ent and pay rolls for the various construction projects financed
wholly or partially by Federal funds directly from the contractors
and subcontractors, and for the NYA, WPA, and CCC programs
from the respective agencies.
A summ ary 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.
T a b l e 2 . — Employment

and Pay Rolls in Regular Federal Services and on Projects
Financed Wholly or Partially From Federal Funds
[Subject to revision]
Em ploym ent

P a y rolls

Service or program
April
1943

M arch
1943

April
1942

A pril
1943

M arch
1943

April
1942

Regular Federal services:
Executive 1 - _ _
3, 049, 466 3,015, 760 2, 051,133 $562, 639. 300 $556,986, 551 $327, 568,897
W ar agencies 2_ _ . _ _ _ 2, 262, 845 2,232,451 1, 255, 941 405, 879, 200 400, 897, 800 192, 324,003
Other agencies____ _ 786,621
783, 309
825,192 156, 760,100 156, 088,751 135, 244,894
Judicial- --- - _ - ________
2, 722
2, 583
2, 650
763,179
716,152
670,030
Legislative - ___
6, 116
6,119
6, 457 1,416,469 1,417,046 1, 379, 536
C onstruction projects:
Financed from regular Federal
appropriations 3___________ 2,153,166 2,178, 826 1, 543,803 480, 656,266 459, 353, 280 278,125, 266
W ar___________________ 2, 087, 462 2,108,836 1,440,893 468, 236,101 446, 637, 539 262, 200,085
O th er__________________
65, 704
69,990
102,910
12,420,165
12, 715, 741
15,925,181
Public housing
_ . .
93, 314
86,804
42,734
13,751, 596
13,170,165
5,883,337
W ar public works - _____ _ _
11,033
11,107
6, 640 1,605,037 1,457,580
677,892
Financed b y R F C __________
207,077
209,513
46, 385
39,117, 664
40,082, 388
8,738,818
W a r_____________ _.
206, 659
208,952
44, 890
39,037, 049
39, 977,158
8,419,315
O ther- - ______
418
561
1,495
80, 615
105, 230
319, 503
Other programs:
N ational Y outh A dm inistration 4___ - _ ____________
179,151
183, 777
446, 412
3,473,194
3, 429, 598
6, 809,909
S tu d en t work program __
96, 987
97, 429
238,411
814,737
794, 660
1, 647,759
W ar production training
program . __
. __ . _
82,164
86, 348 208,001 2,658,457 2, 634,938 5,162,150
W ork Projects A dm inistration
projects______ __________
81,860
135,934
866, 723 6,188,093 10, 203, 770 57, 393, 699
W ar - _____ _
________
33, 879
48, 364
305, 579
1, 806, 626 2, 785, 328 20,099,187
O ther.- - - - - 47, 961
87, 570
561,144
4, 381, 467
7,418, 442
37,294, 512
Civilian Conservation C orps..
207
239
95,853
45, 339
47, 889
4,892, 528

1Includes employees in U nited States navy yards and on force-account construction who are also included
under construction projects, and supervisory and technical employees included under N Y A , W PA , and
2Covers W ar and N av y D epartm ents, M aritim e Commission, N ational A dvisory C om m ittee for Aero
nautics, P an am a Canal, Office for Emergency M anagem ent, Office of Censorship, Office of Price A dm ini
stration, Office of Strategic Services, Board of Economic W arfare, and the Petroleum Coordinator for War.
3Includes ship construction and repair in U nited States nav y yards and the Federally financed p art there
of in private shipyards.
4Beginning Ju ly 1942 the N ational Y outh A dm inistration was considered a training program for war
work, rath er th a n a work-relief program. Value of m aintenance is included in the pay-roll data for A pril
1942, b u t excluded from those for M arch and A pril 1943.
3Called the out-of-school work program prior to Ju ly 1942.


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1233

Trend of Employment and Unemployment
D E T A IL E D R E P O R T S F O R IN D U S T R IA L A N D
B U S I N E S S E M P L O Y M E N T , M A R C H 1943

Estimates of Nonagricultural Employment
ESTIM A TES of civil employees in nonagriciiltural establishments by
m ajor groups are given in table 1. W ith the exception of the trade
and finance-service-miscellaneous groups, they are not comparable
with estimates published in the September 1942 or earlier issues of
the M onthly Labor Review. Comparable figures for the m onths from
January 1939 to July 1942 are given in the October 1942 issue of the
M onthly Labor Review.
The estimates arc based on reports of employers to the United
States Bureau of Labor Statistics, on data made available by the
Bureau of Em ploym ent Security of the Social Security Board and the
Bureau of Old-Age and Survivors Insurance, and on information
supplied by other Government agencies, such as the Interstate Com
merce Commission, Civil Service Commission, and the Bureau of the
Census. They do not include m ilitary personnel, emergency employ
m ent (such as WPA, NYA, and CCC), proprietors or self-employed
persons, unpaid family workers, and domestics.
Estim ates of employees in nonagricultural establishments by
States are given each m onth in the Bureau of Labor Statistics mimeo
graphed release on employment and pay rolls.
T a b le

1.— Estimates of Employment in Nonagricultural Establishments by Industry
Division
E stim ated num ber of w orkers (in thousands)
In d u stry division

M arch
1943

F ebruary
1943

Jan u ary
1943

M arch
1942

T otal estim ated em ploym ent C . . ------- ------------------

38,184

37, 958

37, 862

35,411

MamifarTiiring
_ _ __
M ining- _
___
-- .
------- ---------C ontract construction and Federal force-account construction
........
Transportation and public utilities
T rade-_______ ------Finance, service, and miscellaneous--------- --------- ---Federal, State, and local governm ent---------— - --

15,958
861

15,851
867

15, 743
867

13,859
933

1, 357
3, 475
6,328
4,281
5,924

1, 386
3, 456
6, 291
4, 270
5, 837

1,470
3, 463
6, 371
4, 259
5,689

1,625
3, 295
6, 711
4,194
4, 794

i Estim ates exclude proprietors of unincorporated businesses, self-employed persons, domestics employed
in private homes, public emergency employees, and personnel in the arm ed forces.

Industrial and Business Employment
M onthly reports on employment and pay rolls are available for 152
m anufacturing industries and for 16 nonm anufacturing industries,
including private building construction, water transportation, and
class I steam railroads. The reports for the first 2 of these groups—
m anufacturing and nonm anufacturing—are based on sample surveys
by the Bureau of Labor Statistics. The figures on w ater transporta
tion are based on estimates prepared by the M aritim e Commission,
and those on class I steam railroads are compiled by the Interstate
Commerce Commission.
T h e e m p lo y m en t, p ay -ro ll, h o u rs, a n d earn in g s figures for m a n u 
fa ctu rin g , m in in g , la u n d rie s, a n d d y ein g a n d cleaning cover w age

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1234

Monthly Labor Review— June 1943

earners only, but the figures for public utilities, brokerage, insurance,
and hotels relate to all employees except corporation officers and
executives, while for trade they relate to all employees except cor
poration 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 nonm anufacturing industries ranges from
approxim ately 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 m anufacturing indexes are computed from reports
supplied by representative establishments in the 152 m anufacturing
industries surveyed. These reports cover more than 65 percent of
the total wage earners in all m anufacturing industries of the country
and about 80 percent of the wage earners in the 152 industries covered.
D ata for both m anufacturing and nonm anufacturing industries
are based on reports of the num ber 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 6 are computed by dividing the weekly pay rolls in the reporting
establishments by the total num ber of full- and part-tim e employees
reported. As not all reporting establishments supply information on
man-hours, the average hours worked per week and average hourly
earnings shown in th a t table are necessarily based on data furnished
by a slightly smaller num ber 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 m onth to m onth. 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 m anufacturing groups are weighted arithm etic means of the
averages for the individual industries, estimated employment being
used as weights for weekly hours and estim ated aggregate hours as
weights for hourly earnings. The average weekly earnings for these
groups are now computed by m ultiplying the average weekly hours by
the corresponding average hourly earnings, and are not comparable
with figures published in the November 1942 or earlier issues of the
M onthly Labor Review. Formerly, weekly earnings for the groups
were computed by dividing total weekly pay roll by total employment,
w ithout any formal weighting of figures for the component industries.
E M PL O Y M E N T A N D P A Y -R O L L I N D E X E S , A V E R A G E

H O U R S, AN D

E A R N IN G S

Em ploym ent and pay-roll indexes, as well as average hours worked
per week, average hourly earnings, and average weekly earnings for
January, February, and M arch 1943, where available, are presented
in tables 3, 5 and 6.
The revised m anufacturing indexes and aggregates in tables 2
and 3 are not comparable with the indexes published in the November
1942 or earlier issues of the M onthly Labor Review, as a result of
changes in definitions, a change in the index base period, and adjust
ments in levels. Revised figures for the m ajor m anufacturing groups
are available in mimeographed form by m onths from January 1939


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

5 2 9 0 8 5 — 43-

Trend of Employment and Unemployment
1235


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

Monthly Labor Review— June 1943

1236

through October 1942 and for individual m anufacturing industries
from January 1939 through August 1942.
The figures relating to all m anufacturing industries combined, to
the durable- and nondurable-goods divisions, and to the m ajor
industry groups, have been adjusted to conform to levels indicated
by final 1941 and preliminary data for the second quarter of 1942
released by the Bureau of Employment Security of the Federal
Security Agency. The Bureau of Em ploym ent Security data referred
to are (a) employment totals reported by employers under State
unemployment-compensation programs, and (6) estimates of the
num ber of employees not reported under the programs of some of
these States, which do not cover small establishments. The latter
estimates were obtained from tabulations prepared by the Bureau of
Old-Age and Survivors Insurance, which obtains reports from all
employers regardless of size of establishment.
N o t all in d u strie s in ea ch m a jo r in d u s try g ro u p are re p re se n te d in
th e ta b le s, since m in o r in d u s trie s are n o t c a n v assed b y th e B u rea u ,
a n d o th e rs c a n n o t be sh o w n b ecau se of th e ir close re la tio n sh ip to
th e w a r p ro g ra m . F u rth e rm o re , no a tte m p t h as b een m ad e to allo
c a te am o n g th e se p a ra te in d u s trie s th e a d ju s tm e n t to u n e m p lo j m e n tco m p en sa tio n d a ta . H en ce, th e e stim a te s for in d iv id u a l in d u strie s
w ith in a g ro u p w ill n o t in g en e ral a d d to th e to ta l e s tim a te for th a tg r o u p .
T a b l e 2 . — Estimated

Number of Wage Earners in Manufacturing Industries 1
N um ber of wage earners (in thousands)

In d u stry 2
M arch
1943
All m anufacturing ___
______ . . .
D urable goods
_____ _. N ondurable goods__________ .

_ _______ ______ 13, 709
.
_ - . . ______ 8, 091
5, 618

F ebruary Jan u ary
1943
1943

M arch
1942

13, 617
7,989
5,628

11,821
6, 350
5,471

13, 503
7, 875
5, 628

Durable goods
Iron and steel a n d their p ro d u cts-------------- -----------_ ---B last furnaces, steel works, and rolling m ills________ _ . _
Steel castings___
- . . . _ _____________ ___
... . .
Cast-iron pipe and fittings__
. ____
T in cans and other tin w are__ ________ . . .
W ire draw n from purchased r o d s _______________________
W irew ork .
. . . ____
______
________ _ . . .
C utlery and edge to o ls ... _____ _
Tools (except edge tools, m achine tools, files, and saw s)___
H ard w are.. _____ . . . . . . . . . ____ _____________ ____ . . .
Plum bers’ supplies_________________________________ _ .
Stoves, oil burners, and heating equipm ent, no t elsewhere
classified ____________ _________ ____
. ..
Steam and hot-w ater heating apparatus and steam fittings.
Stam ped and enameled ware and galvanizing ______ _
Fabricated structural and ornam ental m etalw ork
M etal doors, sash, frames, molding, and trim ___
Bolts, nuts, washers, and riv e ts .. _ . ___ _.
Forgings, iron and stee l..
..
____
W rought pipes, welded and heavy riv e te d ___ _____ __ . . .
Screw-machine products and wood screw s.. .
__ . . . . .
Steel, barrels, kegs, and d ru m s_______ __________ ____
Electrical m achinery_______

..

1, 693
521.9
82.9
19.4
27.8
35.3
32.2
21.3
27.4
42.3
22.8

1, 556
543.9
69.9
21.9
38.2
30.6
33. 1
22.2
27.5
48.4
28.3

53.2
58.8
85.7
68. 9
11.9
28.6
40.5
24.6
49.3
6.6

52.2
58.5
82.8
68. 7
11. 9
28. 1
39.8
24. 2
49.6
6.8

52.1
57.4
79.5
67.4
11.1
27.2
39.1
23.1
48.8
6.9

49.5
49.3
77.8
56.6
10.6
24.0
33.0
13.6
41.2
8.9

_____ _ .

693

676

1,233

1, 220


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

____

1, 706
523.9
84.0
18.5
28.7
36.1
32.1
21. 3
27.8
42.8
23. 2

M achinery, except electrical___
. . . ___ _ . . . ______
M achinery a n d machine-shop products___
. .
Tractors .
..
. ...
. . .
.. _
A gricultural m achinery, excluding tracto rs______
_____
Textile m achinery. . . ._ . . . ________________ ._
P u m p s and pum ping e q u ip m en t___ . . . ____ _ _ ._ _ __
T ypew riters__ ______ _
______ . _ . . . . . . . ____
Cash registers, adding and calculating m a c h in e s ...____
W ashing machines, w ringers and driers, dom estic________
Sewing machines, domestic and in d u strial. . . .
...........
Refrigerators and refrigeration eq u ip m en t______
____ .

See footnotes a t end o f ta b le.

..

1, 718
523. 2
84.5
17.8
28.9
36.9
32.8
21.8
28. 2
43.9
23.6

483.0
49.3
34.4
29. 1
74.5
11.9
33.5
12.1
10.7
52.4

476.4
48.5
33.3
29.2
72.5
11.5
33.4
11.9
11.0
51.0

661

511

1,202
468.9
48. 2
31.7
29. 1
70.9
11.0
33.3
11.1
11.1
48.4

1,028
391.1
44. 1
37.9
31.4
59.6
18.9
27.4
8. 1
10.9
39.6

Trend of Employment and Unemployment
T a b l e 2 . — Estimated

1237

Number of Wage Earners in Manufacturing Industries 1—Con.
N u m b er of wage earners (in thousands)
I n d u s tr y 2
M arch
1943

F ebruary January
1943
1943

M arch
1942

Durable goods— C ontinued
T ransportation equipm ent, except autom obiles__________ _ ...
M otorcycles, bicycles, and p a rts_______________ _______
A utom obiles________

____ _ ____________________________

2,187
10.0

2,132
9.8

2, 067
9.5

1,145
10.4

649

642

631

421

N onferrous m etals and their p ro d u cts______ _______ ______
P rim ary smelting and refining____ __ _________ _ . _ . __
Clocks and w atches_________________ _____ __ _______
Jew elry (precious metals) and jewelers’ findings. . . .
Silverware and plated w are. . . . .
.
.....
. ..
Lighting equipm ent_______ ________________ . . .
. . . ..
S heet-m etalw ork__________
. _ ...
. . . . . _____ ..

410
43.2
25.3
16.7
11.7
23.0
28.9

412
42. 9
26. 1
16.8
11.5
22.6
29.4

408
42.4
25.8
16.7
11.4
22.1
29.5

373
35.2
26.6
18.3
13.6
24.6
28.1

L um ber and tim ber basic p ro d u c ts... ....
______________ ..
Sawmills and logging cam ps___ ______ . _____ . . . ..
Planing and plywood m ills. _____________ . ____ ____

479
261.6
82.2

478
260. 4
82.8

489
266.2
83.5

545
305.9
86.7

F u rn itu re and finished lum ber products_______ . . . ------ . . .
M attresses and bedsprings . . .
_________
. . . _____
F u rn itu re . _____ . .
______ ________ . . . ------ -----W ooden boxes, other th a n cigar---------- --------- ---------------Caskets and other m orticians’ goods__________ _____ . . .
W ood p re s e r v in g .._______________________ . -------------W ood, tu rn ed and shaped-------------- -------------------------------

364
17.7
170.5
30.7
12.4
10.6
22.3

364
17.4
169.6
31.3
12.3
10.6
22.4

362
16.8
168.0
31.0
12.2
11.0
22.9

397
21.7
186.0
32.0
12.7
13.1
26.1

Stone, clay, and glass p ro d u c ts ___________ ______ __________
Glass
_ _____ ___________ ________________ Glass products m ade from purchased g la ss.------- ------------C em en t.. . . .
_____ __________________ . . . . . . .
Brick, tile, and terra co tta___________________ ________
P o ttery and related p ro d u c ts ...________________________
G y p su m .. ._ ------- . ______. . . . . . . -------- -----------W allboard, plaster (except gypsum ), and mineral wool-----Lime _ _____
. . . ______ . ------ -------------------- - M arble, granite, slate, and other p ro d u c ts ______________
A brasive wheels ________________ ___________________
Asbestos products_______________ ______ . . . -----------

358
85. 6
11.8
25.1
52.0
44.9
4.4
11.4
9.4
12.5
22.2
22.2

359
84. 6
12.1
25.8
53.5
44.6
4.3
11.4
9.6
12.2
22.0
22.1

362
82. 9
12.0
27.4
55.8
44.7
4.5
11.2
9.6
12.6
21.5
22.2

374
87.9
12.9
27.7
65.4
45.4
5.3
10.4
11. 1
14.2
15.2
21.8

Textile-m ill products and other fiber m anufactures. . . .
C otton m anufactures, except small w ares----------- ----------C otton small w ares________ ________ . ----------------------Silk and rayon goods__________________ __________ ____
Woolen and w orsted m anufactures, except dyeing and finish in g .. ___________________________________________
H osiery_______ _______________________ . . . . . . -----K n itte d cloth. . . _____________ ______ _____. . . . . . . .
K n itte d outerw ear and k n itte d gloves------------------- ------K n itte d underw ear__
______
. . . . . -----D yeing and finishing textiles, including woolen and worsted . . . ______ . . _
__ . . ____________ ____
C arpets and rugs, wool. __ . _____ _ ______________ . .
H ats, fur-felt---- ---------- ------ . ------ . .
. ----------Ju te goods (except f e l t s ) . -------- ------- ------------------Cordage and tw ine------------------------------------- --------- - . .

1,268
499.9
17.0
98.1

1,272
502.3
17.0
97.9

1, 273
503.7
17.3
97.8

1, 298
503.0
17.8
103.4

174.4
121.7
12.1
32.6
43.8

175.3
122.6
12.0
32.0
44.5

175.9
122. 6
11.9
31.0
44.6

178.6
135.2
12.3
31.8
45.4

71.3
24.0
10.2
4.1
17.2

72.4
24.0
10.0
4.1
16.7

72.0
23.8
10.0
4. 1
16.4

72. 9
25.2
11.8
4.2
16.9

A pparel and other finished textile products______________ . . .
M en’s clothing----------- ------------------------ --------- ---------Shirts, collars, and n ig h tw e a r_________ ______ . . . ___
U nderw ear and neckw ear____________ ______ ____ _ . .
W ork s h i r t s ______ _______
. . . . . . . . ___ _ .
W om en’s clothing.. ____________ _______ ______ _ ___
Corsets and allied garm ents____________ _____ . . . . . . . .
M illinery__ __________ . . . ------------------------------- --------H andkerchiefs. _____________________________ . . . -----C urtains, draperies, and b e d s p r e a d s ..------- ------- -----H ousefurnishings, other th a n curtains, etc________ . . . . . .
Textile bags__________________ ____ ________ . -----------

903
241.8
62.6
12.7
18.6
253.3
17.2
23.3
3.9
18.4
15.2
16.0

897
239.8
63.0
12.5
18.6
252.0
17.2
22.8
3.9
18.2
15.4
16.2

884
236.5
63.5
11.9
17.7
247.8
17.1
20.1
4.0
18.2
15.7
16.8

959
259.3
71.6
14.7
17.8
277.1
19.7
26.5
4.7
17.5
12.3
15.2

L eather and leather products________________ . . . . . . . . . . .
L e a th e r... ___ ______ _______ ______ . . . ________
Boot and shoe cut stock and findings_____________ . . . _
Boots and shoes_______ _______________ ____ ______
L eather gloves and m ittens____________________ ______ _
T run k s and suitcases... _________ ____ ______ ______

354
48.7
18.7
197. 2
14.9
14.4

359
49.2
18.7
200.6
14.9
14.5

361
49.8
18.9
202.2
14.9
14.3

392
53.4
20.3
224.6
14.2
14.6

,

Nondurable goods

See fo o tn o te s a t end o f tab le.


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

1238

Monthly Labor Review— June 1943

T a b l e 2 . — Estimated

Number of Wage Earners in Manufacturing Industries 1—Con.
Number of wage earners (in thousands)
In d u stry 2
M arch
1943

F ebruary January
1943
1943

M arch
1942

Nondurable goods—Continued
Food and kindred products.
_ ______ .
Slaughtering and m eat packing________ . . .
. . . ___ _ _ . .
. . ____
B u tte r___ ____
Condensed and evaporated m ilk. _
Ice cream
. .
. . . . ___
Flour______________________ ____
Feeds, p rep ared .. . . . _____ . . . . . . . . .
Cereal preparations. . . .
Baking_________________________
Sugar refining, cane . . ______________ .
. . . _____
Sugar, beet__ _ . . . _____
Confectionery . _ ____
Beverages, nonalcoholic ._ . . .
M alt liq u o rs...
. . . ____ _ .
C anning and preserving___ _______ _

890
159.8
19.3
12.9
14.4

20.9
9.8
252.0
12.7
5.0
58.2
23.8
41.4
90.0

965
185.2
20.0
11.7
13.1
917 4
21.9
9.8
257. 6
12.3
8.6
59.9
23.9
40.4
94.8

93
32.7
46.2
8.4

94
33.1
46.0
8.6

96
34.4
46.3
8.8

95
28.0
52. 7
7.8

313
149. 6
49.3
10.4
12.2
82.1

313
150.3
49.7
10.3
12.3
80.6

309
151.1
48.6
10.1
12.2
78.5

327
165.0
46. 7
10.2
14.4
80.6

Printing, publishing, and allied industries
Newspapers and periodicals_____ . . .
Book and job.
. . _ _____
L ithographing____ . . . .
B ookbinding_______ . . . . . ___

334
112. 6
132.2
24.3
29.0

338
113. 2
135.1
24.8
28.6

335
114.2
132.6
24.8
27.8

333
117.7
127.9
25.5
28.2

Chemicals and allied products__ . . .
P aints, varnishes, and colors _____
Drugs, medicines, and insecticides..
Perfumes and cosmetics___________
Soaps. _________ ________
R ayon and allied p ro d u c ts .. . . . . . . . . .
Chemicals, not elsewhere classified
Compressed and liquefied g ases...
Cottonseed o il..
...
Fertilizers______ _______

727
28.9
43.5
11.1

722
29.1
42.8
10.5

715
29.0
42. 1
10.0

551
32. 4
36.3
10.4

51.5
112.5
6.4
17.8
29.8

51.2
112.2
6.4
19.5
25.9

51.1
111.2
6.3
21.0
21.5

52.0
109. 5
6.1
15.6
29.4

Products of petroleum and coal___
Petroleum refining
_. .
Coke and b y p ro d u c ts _________
Paving m aterials______ . . . ._
Roofing m aterials .
...

122
78.3
25.3
1.3
9.5

122
77.5
25.6
1. 3
9.5

123
77.4
25.8
1.4
10.0

124
78.5
26.1
2.1
10.0

R ub b er products___ ____ . . .
R ubber tires and inner tu b es____
R u b b er boots and shoes____
R u b b er goods, oth er___ . . .

186
82.8
21.7
72.4

185
81.6
22. 2
72.0

183
81.2
22.0
71.1

146
57.9
19. 0

M iscellaneous industries. ____
Photographic ap p aratu s___ ____
Pianos, organs, and p arts .
Games, toys, and dolls.
. _____
B u tto n s_______________

397
27.9
9.5

390
27.1

11.3

14.7
11.6

384
26.3
9.0
14.0
11.6

356
22. 7
8. 2
22.9
13.5

Tobacco m anufactures..................
........
C igarettes_______ ____ . . . _______
Cigars________________________ .
Chewing and smoking tobacco and snuff
Paper and allied products
... .
P ap er and p u lp ______ ______ _ _
P ap er goods, no t elsewhere classified.
Envelopes. _____ _____ . .
Paper b a g s ________
Paper boxes______ _______________

.

921
166.7
20. 6
12.2
13.3
.*3
22.4
9.9
254.0
13. 6
4.0
58.1
24.5
42.6
79.5

936
176.8
20.0
11.9
12.8

15.0

9.4

18.2
9.1
238.5
13.8
3.8
55.3
22.1
38.4
86.6

64.4

1 Estimates f°r the major industry groups have been adjusted to final data for 1941 and preliminary data
for the second quarter of 1942, made available by the Bureau of Employment Security of the Federal Security
Agency, and are not comparable with data in issues of the Monthly Labor Review prior to March 1943.
Comparable series for earlier months are available upon request. Estimates for individual industries
have been adjusted to levels indicated by the 1939 Census of Manufactures, but not to Federal Security
Agency data. For this reason, together with the fact that this Bureau has not prepared estimates for cer
tain industries, and does not publish wage earners in war industries, the sum of the individual industry
estimates will not agree with totals shown for the major industry groups.
2 Unpublished information concerning the following war industries may be obtained by authorized agen
cies upon request: Aircraft engines; aircraft and parts, excluding engines; alloying; aluminum manufactures;
ammunition; cars, electric- and steam-railroad; communication equipment; electrical equipment; engines
and turbines; explosives and safety fuses; fire extinguishers; firearms; fireworks; locomotives; machinetool accessories; machine tools; optical instruments and ophthalmic goods; professional and scientific
instruments and fire-control equipment; radios and phonographs; and shipbuilding.


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

Trend of Employment and Unemployment
I

able

1239

3.—-Indexes of Wage-Earner Employment and of Wage-Earner Pay Roll in
Manufacturing Industries 1
[1939 average=100]
Indexes of wage-earner
em ploym ent

Indexes of wage-earner
pay roll

In d u stry *
M ar.
1943

Feb.
1943

Jan.
1943

M ar. M ar.
1942 1943

Feb.
1943

Jan.
1943

M ar.
1942

All manufacturing_____________________________ 167.3 166.2 164.8 144.3 304.4 297. 2 290.9 215.1
Durable goods_____________________________ 224.1 221.2 218.1 175. 8 420.4 409.9 399.8 276.2
Nondurable goods__________________________ 122. 6 122.9 122.9 119.4 191.0 187.0 184.5 155.4
Durable goods
Iron and steel and their products________________
Blast furnaces, steel works, and rolling mills___
Steel castings_____________________________
Oast-iron pipe and fittings__________________
Tin cans and other tinware__________________
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 fittin g s___________________________
Stamped and enameled ware and galvanizing__
Fabricated structural and ornamental metalwork.
Metal doors, sash, frames, molding, and trim __
Bolts, nuts, washers, and rivets 3_____________
Forgings, iron and steel
__________________
Wrought pipes, welded and heavy riveted_____
Screw-machine products and wood screws_____
Steel, barrels, kegs, and drum s_______________

173.3
134. 7
280.8
108.0
90.9
167.8
107. 9
141. 7

172.1
134. 9
279.1
112. 1
90.2
164.2
105.6
138.3

170.7
134.3
275. 6
117.5
87.6
160. 6
105.8
138.3

156.9
140. C
232.4
132.6
120.3
139.2
109.0
144.3

295.9
215. 3
495. 4
186. 1
138. 3
259. 1
195.6
272.8

288. 9
211.8
475.8
183.3
134.7
252.6
187. 7
265.4

283.5
208.8
463. 6
189.5
129.6
243. 4
185.7
268.4

226.6
189.8
354.8
193. 6
148.6
181. 6
152.0
215.1

184.0 181.6 179.0 179.4 326. 3 313. 5 324. 5 280.6
123. 0 120. 2 118.7 135. 7 229.2 223.3 215.3 209.5
95.8 94.1 92.5 114.9 160.7 152.4 149.6 147.5
115.4 113.1 113.0 107.3 189.8 184.1 181.3 138.9
193.9
154. 3
193.9
153.5
199.7
263. 4
294.4
291.6
107. 9

192.9
149.0
193. 4
153.2
196.1
258. 9
288.9
293. 0
112. 6

189.3
143.1
189. 7
143.4
190.3
254. 5
275.7
288. 3
112.9

162.7
140.1
159.4
137. 0
167. 9
214. 8
162. 6
243. 2
146. 2

339.1
278.2
334. 0
258. 1
355.4
502.8
586.9
545.0
197.5

336.2
262.9
323. 5
256.0
344.7
495.0
579.0
532.8
202.6

Electrical machinery___________________________ 267.4 260.8 255.1 197. 2 453. 7 441.6
Machinery, except electrical____________________ 233. 3 230.8 227. 5 194.6 417.7 410.0
Machinery and machine-shop products_______ 238.7 235. 5 231. 7 193. 3 421.5 413.4
Tractors__________________________________ 157. 6 155. 0 154. 2 141. 1 241.5 238.8
Agricultural machinery, excluding tractors____ 123. 9 119. 7 113.9 136.4 228. 0 215.4
Textile machinery_________________ ________ 132. 7 133. 3 132. 9 143. 2 229. 3 225. 7
Pumps and pumping equipment_____________ 307. 4 299. 2 292. 6 245.9 614.2 601.8
Typewriters______________________ ________ 73.5 71. 1 68.0 116.7 139. 9 131.7
Cash registers, adding and calculating machines _ 170.0 169.9 169.0 139.4 317.6 - 306. 8
Washing machines, wringers and driers, do
mestic__________________________________ 162.6 159.8 148.5 109.0 267.5 269.9
Sewing machines, domestic and industrial_____ 136. 4 140.7 141.9 139. 2 269.1 277. 1
Refrigerators and refrigeration equipm ent_____ 149.0 145.1 137.7 112.6 249.8 236. 5

312.5
255. 9
308. 6
240. 5
332.6
478.4
528.7
519. 3
186. 7

261.2
201.4
232.7
176.4
253.4
347.9
242.3
389.5
220.8

427.4 296.3
400. 2
402. 1
224. 7
195.5
229. 7
580. 7
126.0
304.9

307.8
300. 6
184.0
190. 0
215.8
453.0
172.1
212.8

246.8 154.8
267.8 251.0
220.2 153. 8

Transportation equipment, except automobiles____ 1378.1 1343.1 1302. 2 721.4 2583. 3 2486. 5 2406.0 1237.0
Motorcycles, bicycles, and parts_____________ 143.1 141.2 136.1 148.5 254.0 249. 3 242.5 210.4
Automobiles_________________________________

161.4 159.5 156.7 104.7 283.9 282. 2 277.9 167. 4

Nonferrous metals and their products____________
Primary smelting and refining_______________
Clocks and watches________________________
Jewelry (precious metals) and jewelers’ findings..
Silverware and plated ware____________
Lighting equipment__________________
Sheet-metal work_____________________

178. 8
156. 3
124. 7
115.9
96.8
112. 3
154.0

Lumber and timber basic products_________
Sawmills and logging camps____________
Planing and plywood mills_____________

114. 0 113.8 116.3 129.7 179.4 173.7 166.9 165.6
90.8 90.4 92.4 106. 2 143.5 138.7 130.9 137.1
113. 2 114.0 114.9 119.3 171.4 166. 5 167. 2 145.4

Furniture and finished lumber products_____
Mattresses and bedsprings_____________
Furniture___________________________
Wooden boxes, other than cigar_________
Caskets and other morticians’ goods_____
Wood preserving_____________________
Wood, turned and shaped______________

111.0
96.4
107.1
121. 1
99.8
94.3
101.5

111.0
95.0
106.6
123. 3
99.0
94.1
102.1

110.2
91. 4
105. 5
122. 1
97.9
98.2
104. 1

121.1
118.3
116.9
126.1
102.4
116.4
118.6

175.2
143.8
169. 5
198. 5
146.9
161.7
164. 5

171.8
136.5
165. 6
195.8
147.6
163. 6
163.4

165. 9
131.4
159.6
194.7
142.7
152. 2
158. 7

161.7
152.1
156.7
176. 2
129.4
163.7
157.7

Stone, clay, and glass products___________
Glass_______________________________
Glass products made from purchased glass.
Cement_____________________________
See footnotes a t end of table.

122.0
122.5
117.8
105.2

122.4
121.1
120. 8
108.5

123.2
118.7
120.2
115.0

127.3
125. 9
129.0
116.4

181.9
175. 6
163.8
137.0

179.2
173.6
164. 4
138.7

178.5
168.3
160.8
149.9

162.2
159.4
155.2
141.8


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

179.6
155.1
128. 7
116. 1
94.9
110.5
156.9

178.1
153.6
127. 1
115.9
93.9
107.8
157.2

162.8
127.4
131.0
126. 8
112. 1
120. 4
150.1

312.1
252.0
237. 6
177.4
159.7
189.2
274.2

308.6
244.9
240. 3
175. 0
154.9
186.8
263.8

305.8
239. 2
238. 6
173.7
151.4
183.6
264.1

237.5
170.3
204.8
157. 7
153.1
165.4
216.1

Monthly Lahor Review-—June 1943

1240
T a b l e 3 .—

Indexes of Wage-Earner Employment and of Wage-Earner Pay Roll in
Manufacturing Industries 1—Continued___________________
Indexes of wage-earner
em ploym ent

Indexes of wage-earner
pay roll

In d u stry 2
M ar. Feb.
1943 1943

Jan. M ar. M ar. Feb.
1943 1942 1943 1943

Jan. M ar.
1943 1942

Durable goods--C o n tin u ed
Stone, clay, and glass products—C ontinued.
Brick, tile, and terra co tta_______ - -------------P o ttery and related p ro d u cts------ -------------------G y p su m ____________________________________
W allboard, plaster (except gypsum ), and mineral wool_ __ . _ _
______ _______- Lim e. ____ . . . .
---- --------M arble, granite, slate, and other p roducts------Abrasive wheels.. ... ___
. ...
.... Asbestos products.
---- ---------- --- ----

91.6 94.3 98.3 115.2 136.7 137.9 137.8 145.8
135.7 134. 8 135.0 137.1 189.4 186.4 185.2 176.6
88.4 87.8 91.5 107.1 139.8 130.1 129.1 135.2
214.7
155.9
80.7
443. 2
246.6

145.4
159. 7
80.6
276.4
192.6

Textile-mill products and other fiber m anufactures__
C otton m anufactures, except small w ares---------C otton small w ares.. ___ ________ _______
Silk and rayon goods. . . . _ ------------- -- ------Woolen and worsted m anufactures, except dyeing and finishing-------------------- ----------------H osiery_______ . . . ------- ----------- ---------- ..
K n itted cloth______ _________ ____________
K n itte d outerw ear and k n itte d gloves.
_____
K n itte d u n derw ear.. ________________
_____
Dyeing and finishing textiles, including woolen
and worsted ___
. . .
. ____ . . .
_
Carpets and rugs, w o o l... . . . . . _____ _____
H ats, fur-felt___________ . ___. ________ ____
Ju te goods (except felts)_____ _____ __________
Cordage and t w i n e ___
. . . . _____ ______

110.8 111.3 111.3 113.5 182.4 180.7 179.6
126. 2 126.8 127. 2 127.0 217.4 216.1 215. 8
128.0 127.6 129. 6 133.4 218.9 213.4 210. 7
81.8 81.7 81.6 86.3 133.5 132.2 134.4

155.1
187.2
188. 5
122. 3

A pparel and other finished textile products________
M en ’s clothing . „
.
. . . . ....
Shirts, collars, and nightw ear___
_ „ --------U nderw ear and neckwear
-------W ork s h irts ..
.
_______
. . .. _
W om en’s clothing . _. . . . . . . . . _____
Corsets and allied garm ents. _. ________ _____
M illinery _ . .
. . __________________ _ _
H andkerchiefs___ _ _________ ______ ______
C urtains, draperies, and bedspreads___________
H ousefurnishings, other th a n curtains, etc_____
Textile bags _ . _______ _ . . . ___ _____ _

114.4
110.6
88.8
78.4
138.3
93.2
91.5
95.8
79.8
108.7
143.3
133.3

113.7
109. 7
89.5
77.3
138. 2
92.8
91.5
94.0
80.8
107. 5
144.7
135.5

112.0
108.2
90. 1
73.9
131.7
91.2
91.1
82.9
81.6
107.8
147.7
140.2

121.4
118.6
101.6
90. 8
132.6
102.0
104.8
109.0
96.6
103.7
115.8
126.6

L eather and leather p roducts. . . . ________ _____
___
... ...
Leather. __ _
Boot and shoe cu t stock and findings____ ____
Boots and shoes________ ___________________
L eather gloves and m i t t e n s . ___. . . . _____ .
T ru n k s and suitcases. _______ _______ _____

101.9
103.0
99.4
90.4
149.2
173.2

103.3
104.2
99.4
92.0
149.3
174.7

104.1
105.4
100.2
92.8
149.6
172.2

Food and kindred p roducts________ . . . _
_____
Slaughtering and m eat packing_____ _______
B u tte r . . . . . .
Condensed and evaporated m ilk
Ice cream ... _ _ _ _ _ _ _ ________ ____
F lo u r________ . . . _ . .......... . ____
........
Feeds, p re p a re d .. .
_____ ____
Cereal preparations_____ _____________ ____ _
B a k in g ... . .
_____ ___________ . . . .
Sugar refining, cane____ ___________ ______
Sugar, beet _
..
. . . . . . . .
C onfectionery._ _________________ _____. . .
Beverages, nonalcoholic
. ____ . . . .
M alt liquors______ ______
_______ . _ ._
Canning and preserving. ______________ _____

107.7
138.4
114.5
125.8
84.7
114.3
145.4
132.4
110.1
96.0
38.2
116.9
115.3
117.9
59.1

109. 5
146.8
111.4
123. 0
81. 5
113.3
135.9
131.9
109. 2
89.6
47.9
117. 1
111.8
114.9
67.0

112.9
153. 7
111. 2
120.7
83. 1
110.7
142.0
131.4
111.6
87.0
82.2
120.5
112.3
112.0
70.5

Tobacco m anufactures.. __________ ________. . . _
C igarettes. _. _____ . ___________ _______ .
Cigars
.
_.
.
________ _
Chewing and smoking tobacco and snuff. . ..

140.6
99.5
67.2
286.9
139.8

140.6
101.6
66.1
284.8
138.9

138.6
101.3
67.8
277.9
139.5

128.6
117.3
76.5
197.0
137.1

221.7
166. 5
84.0
459.0
252.0

215.4
160.1
76.9
453. 2
241. 3

Nondurable goods

208.3
110.7
173.2
194.4
184.2

207.2
108.4
171. 6
187.9
183.7

207.5
105. 9
168.0
180.3
185.2

171. 2
96. 9
146. 8
146. 7
160.9

106. 7 108. 2 107. 7 109.1 165. 2
93.9 93.8 93.0 98.4 150. 1
70.2 69.0 69. 0 81.1 119.0
113.6 115.1 114.1 117.6 195.7
141.8 137.9 135.9 139.3 231.5

165. 8
148.4
115.9
198. 9
223.6

162. 2
145.0
111.3
197.3
216.7

140.3
124.8
100.3
159.4
194.5

179.5
168.5
142. 2
132.8
231.8
150.9
138. 3
144.0
123.1
170.0
231.1
191.8

169.3
159.2
139.6
127.9
233. 3
140.3
133. 2
135.9
118.1
162.0
228.9
196.1

155.9
149.6
136.0
111.9
213. 2
125.0
130. 6
103.2
115.9
161.6
238.2
203.3

161.5
157.9
138.0
122.8
190.4
136.8
138.3
131. 2
126. 8
141.5
141.8
151. 9

112.9
113.0
107.8
103.0
141. 6
175.9

157.6
152.1
146. 3
143.0
226.9
242.4

156.9
153.8
142.2
142.3
215.2
241.4

158.9
153.7
144.1
145.2
215.5
237.3

156. 7
146. 6
138.6
148.5
184.6
200. 5

104.2
132.6
107. 6
133.2
91.6
99.5
117.9
121.4
103.4
97.2
37. C
111.2
103.8
106. 4
64.4

151.3
180.4
153. 1
173.8
109.2
172.2
227. 3
212.6
145.8
130. 2
57.2
166.8
129.4
147.2
98.6

150. 7
185.1
148.0
171.4
103. 8
169. 3
207.1
198.4
141. 5
118.8
67.1
163.5
126.3
144. C
112.8

155. 6
202.9
147.7
164. 7
103.9
169.1
219. 3
176. 1
144. 3
119.3
109.5
163.8
124.4
133.8
115.4

125. 3
149.0
126.9
161.6
104.9
114. 9
144.5
161. 3
119.3
107. 8
51.9
135.3
113.6
121.8
85.6

99.9 100.2 102.4 101.3 143.8
119.2 120.6 125.5 102.1 148.4
90.8 90.4 91.0 103.6 144. 0
91.4 94.2 96.1 84.7 127.5

138.5
144. C
136.4
129.2

147.8
172.4
132. £
130.7

119.4
111.3
128.6
105.6

Paper and allied products
.
... ..... .
118.0 117.8 116.6 123.2 173. 1
P ap er and p u lp _______ . _______________ ____ 108.6 109.3 110.1 120. 1 165.6
P ap er goods, n o t elsewhere' classified... _______ 131.1 132.0 129.2 124.0 179.4
Envelopes. . . _____________________ . . .
119.4 118.3 115.8 117. t 162. 1
P ap er b a g s.. ______ _ ___________ ________ 110.5 111. 1 109.9 130. £ 163. C
P ap er boxes_____ _____________________ _____ 118. 8 116.5 113.5 116.6 171.8
See fo o tn o te s a t end o f tab le.

171.3
164.8
178.2
164.6
164.6
166.6

167.6
162. £
174.6
156.6
164.2
160.2

156.9
1.59.2
147.1
135.8
172.5
140.3


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

116.9
76.5
111. 2
115.8
113.8

117.4
77.1
110.3
113.7
115.5

117.9
77.1
108.8
110.1
115.7

119.7
85.0
112.9
113.0
117.7

Trend of Employment and Unemployment
T a b l e 3 . — Indexes

1241

of Wage-Earner Employment and of Wage-Earner Pay Roll in
Manufacturing Industries 1—Continued
Indexes of wage-earner
em ploym ent

Indexes of wage-earner
pay roll

In d u stry 2
M ar. Feb.
1943 1943

Jan. M ar. M ar.
1943 1942 1943

Feb.
1943

Jan. M ar.
1943 1942

Nondurable goods— Continued
P rinting , publishing and allied industries
N ew spapers and periodicals_________
Book and jo b .. ... _____
L ithographing_____________ __ . .
B ookbinding____________

101.8 103.0 102.2 101.7 121.9 122.5 121.8 112.5
94.9 95.4 90.3 99.2 108.2 107.3 107.2 106.4
104. 7 107.0 104. 9 101.3 129.6 131.0 129.9 113.0
93.4 95.3 95.3 98.2 119.2 112.3 112.8 107.8
112.6 111.0 107.8 109.3 167.6 163.3 160.3 143.5

Chem icals and allied products
P aints, varnishes, and colors
D rugs, medicines, and insecticides...
Perfum es a n d cosmetics___________
S o a p s ____ __ _____ _
R ayon and allied p ro d u cts___
Chemicals, no t elsewhere classified
Compressed and liquefied gases . .
Cottonseed oil_____ _______ .
Fertilizers_________ ________

252 2
102.7
158.8
107.2
99.4
106. 8
161.7
162.4
116.9
158.6

250.3
103.5
156.0
101.3
100.0
106.1
161.3
161.5
128.4
138.2

248.0
103.2
153.6
96.9
101.3
105.8
159.8
159.7
138.0
114.5

191.1
115. 0
132.6
100. 5
111.9
107.8
157.4
154.8
102.6
156.7

407.6
141.4
220.4
138.6
141.7
154.1
255.4
258.0
180.9
265.3

399.2
140.2
212.2
131.6
142.9
150. 5
250.0
249.6
198.4
223.7

391.2
137.0
202.8
128.0
137.6
149.0
247.2
239.3
218.7
184.6

263.4
141.8
157.3
115.2
137.3
141.2
206.7
212.1
126.6
208.8

Products of petroleum and coal
Petroleum re fin in g ____
Coke and b y p ro d u cts___ . . .
Paving m aterials. . . . . . . . . .
Roofing m aterials________

115.6
107.5
116.6
53.3
117.7

115.2
106. 4
118.0
55.2
118.5

116.0
106. 3
119.0
56.3
124.1

117.5
107.8
120. 2
86.9
124.7

167.7
155.3
170.2
81.6
172.7

165.3
152.2
168. 8
81.4
178.3

162.8
149.3
167.8
84.1
176.5

145.4
132.9
153.0
114.1
153.6

R ubber p ro d u cts________ _
R ub b er tires and inner tu b es. .
R u b b er boots and shoes____
R ub b er goods, o th e r_______ . . .

153.8
153. 0
146. 3
139.9

152.8
150.7
149. 6
139.1

151.0
150.0
148.3
137.4

121.0
107.0
128.4
124.4

246.2
239.7
239.2
224.9

238.3
228.9
240.8
219.9

234.6
226.6
240.7
212.4

156.5
135.5
170.7
171.6

M iscellaneous industries_____
Photographic ap p aratu s______
Pianos, organs, and p a rts ..
Games, toys, and dolls_____ _
B u tto n s_____ . . .

162.1
161. 3
125.3
80.5
103.1

159. 5
156. 7
122.9
78.5
105.4

157.0
152.4
118.3
75.2
105.9

145.4
131.3
107.8
122.8
122.8

281.4
250.6
229.0
139. 7
172.3

270.6
241.2
226.1
133.6
172.0

263.1
230.9
211.0
123.9
174.2

195.8
175.5
127.8
157.8
171.4

______

1 Indexes for th e m ajor in d u stry groups have been adjusted to final data for 1941 and prelim inary d ata for
the second qu arter of 1942, m ade available by th e B ureau of E m ploym ent Security of the Federal Security
Agency, and are no t comparable w ith d ata in issues of th e M onthly Labor Review prior to M arch 1943.
Com parable series for earlier m onths are available upon request. Indexes for individual industries have
been adjusted to levels indicated b y th e 1939 Census of M anufactures, b u t not to Federal Security Agency
d ata.
2 U npublished inform ation concerning the following w ar industries m ay be obtained b y authorized agencies
upon request: A ircraft engines; aircraft and parts, excluding engines; alloying; alum inum m anufactures;
am m unition; cars, electric- and steam-railroad; com m unication equipm ent; electrical equipm ent; engines
and turbines; explosives and safety fuses; fire extinguishers; firearms; fireworks; locomotives; machine-tool
accessories; m achine tools; optical instrum ents and ophthalm ic goods; professional and scientific in stru 
m ents and fire-control equipm ent; radios and phonographs; and shipbuilding.
3 Revisions have been m ade as follows: Bolts, nuts, washers and rivets—-N ovem ber and D ecem ber 1942
pay-roll indexes to 307.2 and 319.4, respectively..,

T a b l e 4 . — Estimated Number of

Wage Earners in Selected Nonmanufacturing Industries
N u m b er of wage earners (in thousands)

In d u stry
M arch
1943
A nthracite m in in g ____________
Bitum inous-coal m ining_______
M etalliferous m in in g ..................
Iro n ______________________
C opper___________________
Lead and zinc_____________
Gold and silver________ . . .
M iscellaneous m etal mining.
H o te ls 1_______ _____ _________
Pow er laundries______________
D yeing and cleaning__________
Class I steam ra ilro ad s2_______
1 D ata include salaried personnel.
2 Source: In terstate Commerce Commission.


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

F ebruary
1943

January
1943

M arch
Ì942

74.0
405

74.1
409

69.1
414

100

79.6
442

101

101

112

32.0
33.0
19.5
8.4
7.1
337
265
78.4
1,324

31.7
33.3
19.7
8.6

7.4
336
268
76.4
1, 313

D a ta includes salaried personnel.

31.6
33.3
19.8
8.9
7.5
329
269
75.5
1,319

29.0
33.2
19.6
23.8
6.0

328
254
76.2
1,190

1242

Monthly Labor Review— June 1943

T a b l e 5 . — Indexes

of Employment and Pay Rolls in Selected Nonmanufacturing
Industries
[1939 average=100] 1
E m ploym ent indexes

Pay-roll indexes

In d u stry

Coal mining:
A n th r a c ite _____
, __ .
B itum inous__ - ____
M etalliferous m ining__________
Iro n ___ ___ _ . . . . .
C opper___________ . , _ __
Lead and zinc _ ,
___ __
Gold and silver
_
__
M iscellaneous_________________
Q uarrying and nonm etallic m ining
C rude-petroleum production L
Public utilities:
Telephone and telegraph. _ ____
Electric light and pow er,
, _
Street railw ays and busses___ ,
W holesale tra d e _______________ __
Retail tra d e , , , . _ ________ _____
F o o d ,,,
_____ _____
General m erchandising . , , .
A pparel________________ _ ,_
F u rn itu re and house furnishings.
A utom otive
L um ber and building m aterials,.
Hotels (year-round) 3______
,,
Pow er laundries________ ______ . ,
D yeing and cleaning______________
Class I steam railroads 4
___
W ater transportation
____ .

M ar.
1943

Feb.
1943

Jan.
1943

M ar.
1942

M ar.
1943

Feb.
1943

Jan.
1943

89.4
109. 2
113.4
159.1
138.5
126.0
33. 9
178.3
96.3
80.4

89.5
110. 4
114.4
157.9
139. 8
127.4
34.8
184. 7
96. 7
80.3

83.4
111.8
114.8
157.4
140.1
127.7
35.9
186. 5
98.6
81.2

96. .1
119.2
126. 4
144. 1
139.3
126.5
95. 8
150.4
107.6
90.8

152.7
202.3
165.5
228.5
214.6
207.6
41.5
272. 3
150. 2
107.3

154.9
196. 2
166. 3
229.6
213. 7
206. 6
43.0
283. 9
150. 3
106.9

101.5
178.6
163.8
222.0
210.7
206.6
43. 1
283.1
151.0
103. 9

130.1
167.3
166.8
196. 7
192.4
193.8
104. 7
199.7
141.4
102.7

122.4
87.4
115. 5
97.3
98. 3
105.8

122.3
88.1
114.8
97.6
97.3
106. 4
108. 8
103.1
69.5
61. 4
89.2
104. 2
118.5
113. 2
132. 9
110.2

122.2
89.0
113.2
97.7
99.0
107. 0
112.3
104. 4
70. 7
62.3
90.1
102.0
119. 2
111.8
133.6
100.8

119.5
100.6
103.2
105.3
104.2
111. 2
106. 7
108.4
90. Q
79.0
100. 6
101.6
112.6
112.9
120. 5
92.1

137.6
105. 8
150. 6
124.0
115. 7
125. 7
128.0
127.8
83.7
79. 7
112.4
130.9
145.2
150. 3
(5)
271.9

138.3
106. 7
150.3
124.3
114.9
126. 4
126. 2
124. 9
83.9
78.6
112. 2
131.2
145.4
143.8
(=)
257.8

136.9
107.6
147.3
122.3
115.3
125. 7
129.1
122.7
85.9
77.2
112.4
129.2
147.6
142.8
00
231.4

127.4
113.0
121.9
122.7
114. 5
120.9
117.5
119.6
106. 0
89.7
113.7
112.8
125.6
126.5
(0
139.1

111.0

108. 0
69. 1
61.4
89. 1
104. 6
117.4
116.1
134.0
117.0

M ar.
1942

1 M im eographed report show ing revised data (1939=100) January 1939-Novem ber 1942, for each industry,
available on request.
2 D oes n ot include w ell drilling or rig building.
3 D a ta inclu de salaried personnel. C ash p aym en ts only; add itional value of board, room, tip s n o t in 
cluded.
4 Source: Interstate C ommerce C om m ission. D a ta inclu de salaried personnel.
5 N o t available.
6 B ased on estim ates prepared b y the U . S. M aritim e C om m ission covering em p loym en t on steam and
m otor m erchant vessels of 1,000 gross tons or over in deep-sea trade only.

T a b l e 6. — Hours

and Earnings in Specified Months

MANUFACTURING
Average weekly
earnings 1
In d u stry

Average weekly
hours 4

Average hourly
earnings 1

M ar. Feb. Jan. M ar. Feb. Jan. M ar. Feb. Jan.
19432 19432 1943 1943 2 19432 1943 19432 1943 2 1943

Cents Cents Cents

44.8
46.4
42.5

44.5
46.2
42.0

44.2 93.4 92.4 91.9
45.9 103. 0 102.0 101.7
41.8 78. 2 77.4 76.8

46. 37 45. 56 44.91

46.0

45.7

45.0 100.8

47.24
48. 76
36.85
35. 43
45.14
40.54

46.57
47. 22
35.17
34. 75
43. 92
40. 49

46.16
46. 47
34. 87
34. 46
43. 37
41.08

43.2
47.5
45.1
43.6
47.9
46.9

42.8
46.6
43.5
43.2
47.4
47.3

41.9 109.9 109.4 110.3
45.7 103.4 101. 4 101.7
43.1 82. 2 80. 7 80.4
42.9 81. 2 80.6 80.6
47. 2 93.7 92.9 92. 0
46.9 86.4 85.7 87.6

44.11
40. 08
43.20
40. 90

42. 92
39.97
41.59
40. 46

43. 64
39. 31
41. 77
39.91

48.6
47. 9
47.0
46.3

48.0
48.0
46.1
45.8

48.4
48.5
45.9
45.5

91.0
84.7
91.8
89.2

89.6
84.1
90. 2
88.9

90.4
81.5
90. 5
88.5

45.17 45.06 42.73

47.8

47.8

45.9

94.6

94.3

93.2

All m anufacturing_________________________ $41. 84 $41.12 $40. 62
D urable goods____________
________ 47. 79 47.12 46.68
N ondurable goods____ _________________ 33. 24 32. 51 32.10

Durable goods
Iron and steel and th eir p roducts_____________
B last furnaces, steel works, and rolling
mills
,
, __
___________
Steel castings_______ _ _______________
Cast-iron pipe and fittings__________
T in cans and other tin w are__
, , ,
W ire work
................... ...........
C utlery and edge tools 3 4 _ ___
____
Tools (except edge tools, m achine tools,
files, and saw s)______ _ ______ ___
H ardw are, ,
_____ ________, _
Plu m b ers’ supplies,
, , , _____ ____
Stoves, oil burners, and heating equipm ent.
Steam and hot-w ater heating ap p aratu s
and steam fittings. , . ___

See footnotes at end of table.


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

99. 7

99.8

1243

'frond of Employment and Unemployment
T a b l e 6 . — Hours

and Earnings in Specified Months—Continued
MANUFACTURING—Continued
Average weekly
earnings 1

Average weekly
hours i

Average hourly
earnings 1

CO

M ar. Feb. Jan. M ar. Feb. Jan. M ar.
19432 19432 1943 19432 19432 1943 19432

<x>

In d u stry
Jan.
1943

Durable goods—C ontinued
Iron and steel and th eir products—Continued.
Stam ped and enam eled w are and galvan
izing _______________________________
Fabricated stru ctu ral and ornam ental
m e ta lw o rk s
_
Bolts, nuts, washers, and rivets 4____ ____
Forgings, iron and s t e e l _______________
Firearm s______________ ___________ --

$42.92 $41. 98 $42. 55

46.6

46.2

46.3

Cents Cents Cents
91.7

90.6

91.9

100.4 100.0 98.6
97.3 96.6 96. 7
117.5 117.9 115.7
118. 1 116.7 116. 5

47. 47
4.5. 15
57. 57
57. 07

46. 09
44. 89
57.66
56. 32

44.84
44. 49
56. 68
57. 69

47.6
46. 7
48.6
48.3

46.4
46.5
48.5
48. 3

45.8
46.0
48.6
49.5

Electrical m achinery__________ __ _ - ------Electrical equipm ent
...
Radios and phonographs____ ____ ______
C om m unication eq u ip m en t______ ____

44. 89
47. 77
38. 62
38. 67

44. 51
47. 55
39.18
38.99

44.70
46. 97
38.61
39. 96

47.1
47.5
45.8
46.4

46.9
47.3
46.1
46. 1

47.0
47.4
45.8
46.0

95.3
99.2
84.9
87.8

94.9
98.6
85. 0
87.7

95.1
99.1
84. 3
86.9

M achinery except electrical
. ______
M achinery and m achine-shop p ro d u c ts ...
Engines and tu rb in es__________________
A gricultural m achinery, excluding tractors.
T ractors
. .
...
... ...
M achine tools
Textile m achinery
. .
_____
T y p e w riters.. ________________________
Cash register, adding and calculating
m a c h in e s ... _ . . _________ . . . —

51.48
50. 37
56. 83
49.01
50. 89
54.10
44.13
45. 75

51.09
50.09
57.17
47. 62
51.60
52. 86
43.24
44.50

50. 69
49. 84
57. 40
45. 69
48. 81
53. 25
44.13
44. 53

49.6
49.3
50.1
46.9
47.0
52. 2
49. 2
50.5

49.6
49.3
50. 1
46.6
47.2
52.1
48.8
49.9

49.6
49.6
50.2
45.0
45. 7
52.5
49.8
49.8

103.8
102.1
114. C
103. 9
109. 5
103. 6
90.4
90. 5

103. 0
101.4
114.5
102.6
109. 5
102. 3
89.1
89.2

102.2
100. 3
114.9
101. 2
107.4
101.4
88.9
89.4

56. 81 54. 83 55. 03

49.3

49.0

49.0 116.2 113.7 113.5

54. 57 53.80 53. 65
58. 36 60. 30 60. 69
46. 78 48. 54 44.03

46.8
48.1
43.7

46. 7
49.4
44.8

46.9 116.6 115.2 114.4
49.3 121. 4 122.2 123.2
42.0 106. 8 107. 9 104. 7

46. 99 47.17 46. 94
60. 84 60. 27 60. 27
58. 46 57.16 57.24

46.2
48.8
46.9

46.3
48.1
46.7

46. 5 102. 7 102.0 101.0
48.1 125.5 125. 0 125.3
47.1 124. 6 122.4 121.6

A utom obiles________________ _______ . . . . .

55. 62 55. 71 55. 85

45.7

46.0

45.7 121.7 121.1 122. 2

Nonferrous m etals and their p r o d u c ts .............
P rim ary smelting and refining.
Alloying; and rolling and draw ing of nonferrous metals, except a lu m in u m ______
Clocks and watches . . . . ___ .
Jew elry (precious metals) and jewelers’
findings.. ___ ___ . . .
. . . . ... Silverware and plated ware . . . .
Lighting eq u ip m en t. _ .
.... .
A lum inum m anufactures.
.. .

46.13 45. 26 45. 31
43.18 42.10 41.46

46.6
43.5

45.9
42.9

46.0
42. 6

50. 82 50. 36 50. 71
39. 32 38. 56 38. 76

47. 5
46.1

47.2
45.8

47.3 107.0 106.7 107.4
46. 2 85.4 84. 3 83.9

39. 22
42. 43
44. 19
47. 29

46.3
46.7
45.3
46.5

45.7
47.0
45.4
45.9

46.3 86.4 86.0 84.8
46.8 93.1 91. 6 90.8
45.5 96.8 96. 7 97. 0
46.1 102.9 102.7 102. 6

L um ber and tim ber basic products _______
Sawmills and logging cam ps------ ._ . . .
Planing and plywood m ills.
________

29. 68 28. 79 27.10
28. 30 27. 43 25. 38
34.04 32.87 32. 68

42.4
41.5
45.0

41.9
41. 2
44.1

39.8
38.6
43.7

70.0
68.1
75. 7

68.7
66.6
74.7

68. 1
65. 7
74.7

F urniture and finished lum ber products . .
F urnitu re 4________
. . . . ___________

31.39 30. 56 29.79
32. 22 31.66 30.74

43.9
44.1

43.6
43.9

42.8
43.1

71.5
73.3

70.6
72.0

69.6
71.1

Stone, clay, and glass products_________ . . .
Glass____ . . . _ ____
__ ________
C em en t_______________________________
Brick, tile, and terra co tta.
... .
P o ttery and related p ro d u cts. _________
M arble, granite, slate, and other products.
Asbestos p r o d u c t s . . _____ _____ . -----

35.15
36.48
34.90
30. 36
31.80
33. 20
43.57

34.52
36.49
34.17
29. 76
31.78
30.91
41. 77

34.15
36. Of
34. 71
28.52
31.31
31.67
42. 60

42.4
41. 2
40.7
40.9
40.5
40.4
48.1

42.0
41.3
40.2
40.2
40.0
39.9
47.0

41.7
40.9
40.7
39.3
39.8
38.8
47.8

82.9
88.8
85.7
75. 1
78.6
82.0
90. 6

82.2
88. 5
84.9
74.8
78.0
78.3
89.3

81.9
88. 4
85.3
73.4
78.1
80.0
89. 4

27. 39
24. 38
32. 07
26.26

27. 14
24. 20
31.22
26. 07

26.93
24. 22
30. 21
26.30

41.6
41.6
44.6
41.7

41.5
41.5
44.2
41.6

41.3
41.4
44. (
41.2

65.8
58.8
71.6
63. (

65.4
58.3
71.0
62.7

65.2
58.2
69. 5
63.9

33.15 32.82 32.84
26. 62 25.89 25. 58
30. 93 1 30.89 30. 65

41.5
39.3
43.2

41.3
38.8
43.5

41.3
38.2
43.5

79.9
68.7
71.0

79.5
67.5
70.9

78.9
67.2
70.3

T ransportation equipm ent, except autom o
biles . . . . .
.
____ ~ . .
Locomotives. _______ ___________ ____
Cars, electric- and steam-railroad
___
A ircraft and parts, excluding aircraft
engines___________________________ -Aircraft engines . . .
....
Shipbuilding and boat building .

40. 06
43. 04
43. 70
47. 83

39. 43
42. 95
43. 87
47. 21

99.0
98.6

98.6
98.1

98.5
97.2

Nondurable goods
Textile-mill products and other fiber m an u 
factures ___________________________________ . _ . . . C otton manufactures, except small wares .
Cotton small wares___ . . . . ____ . . . .
Silk and rayon goods_____ _
. ------Woolen and worsted manufactures, except
dyeing and fin ish in g ... ________ ____
Hosiery 4 . ________ ____________ —
K nitted cloth___ ___ ._ . __________
See fo o tn o te s a t end o f tab le.


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

1244

Monthly Labor Review— June 1943
T a b l e 6 . — Hours

and Earnings in Specified Months—Continued
M ANUFACTURING—Continued
Average w eekly
earn in g s1

Average w eekly j Average hourly
hours i
I
e arn in g s 1

In d u stry
M ar. Feb. Jan. M ar. Feb. Jan. M ar. ' Feb. Jan.
19432 19432 1943 19432 19432 1943 1943* 19432 1943

Nondurable goods—C ontinued
Textile-m ill products and other fiber m an u 
factures—C ontinued.
K n itted outerw ear and k n itte d gloves___ $27.66 $27.23 $26. 98
K n itted underw ear 3___________________ 23.91 23.68 23.87
D yeing and fminishing textiles including
woolen and w orsted__________________ 32.08 31.64 31.09
Carpets and rugs, wool_________________ 36.68 36.31 35. 64
H ats, fur-felt__________________________ 38.90 38. 40 36.89

40.2
41.2

40.1
40.8

40.1
41.0

44.7
43.5
42.2

44.8
43.4
41.7

A.pparel and other finished textile p ro d u c ts._.
M en ’s clothing________________________
Shirts, collars, and nightw ear___________
U nderw ear and neckw ear_______________
W ork sh irts___________________________
W om en’s clothing___________________
Corsets and allied garm ents_____________
M illinery_____________________________

27.23
29.03
21.85
23.23
18. 55
32.80
26.28
36. 57

24. 50
26.40
20. 60
20.74
17. 92
27. 77
25.04
30. 27

38.9
38.1
38.4
39.5
38.8
39.3
41.3
37.2

L eather and leather products_______________
L eather_______________________________
Boots and shoes_______________________

29. 52 28.90 29. 06
36.46 36. 36 35.89
28.10 27. 65 27.98

Food and kindred products_________________
Slaughtering and m eat packing_________
B u tte r________________________________
Ic e crea m _______________________
F lour_____________________________
B aking_______________________________
Sugar refining, cane________________
Sugar, b e et____________________________
Confectionery_________________________
Beverages, nonalcoholic__________ . . . . .
M alt liquors___________________________
Canning and preserving________________

33.75
36.11
29. 63
35. 42
38. 62
34. 20
32.42
37.29
26.37
30.17
43. 81
26. 75

33.15
34. 99
29. 46
35. 12
38. 03
33.55
31.70
34.92
25.82
29.76
43.84
26.79

Tobacco m a n u fa c tu re s.,_____ __________
C ig a re tte s .._________________________
Cigars________________________________
Chewing and smoking tobacco and snufL .

24.16
26.08
23. 06
24. 50

23. 28
25. 02
21. 66
24. 09

Cents Cents Cents
66.6
57.9

65.8
58.0

65.2
58.0

44.2
43.1
41.3

71.7
84.6
92.5

71.2
83.9
93.5

70.9
83.0
90.9

38.4
37.9
38.4
39.3
38.4
38.3
41.4
36.9

37.4
36.7
37.0
36.9
39.0
37.4
40.3
33.5

70.0
75.4
57.2
57.3
46.7
71.5
64.3
85.4

68.0
72.1
55.9
57.1
45.9
70.3
61.9
82.6

65.5
71.4
56.3
55.3
45.9
65.0
62.6
77.6

40.5
42.5
39.9

40.2
42.7
39.6

40.3
42.0
39.9

72.9
86.0
70.3

71.9
85.4
68.9

72.1
85.6
69.4

33. 22
36. 66
29. 43
34.44
38.89
33. 35
32.78
33.35
25.18
29. 06
41.83
26.14

43.4
43.0
46.5
46.6
48.7
44.2
40.9
39.4
41.7
42.4
42. 7
39.4

43.0
42. 1
46.3
46.2
48.3
43.8
41.1
37.3
41.5
42.3
42.8
39.7

43.2 77.7 77.1 76.9
44.2 83.9 83. 1 83.0
46. 6 63.7 63.6 62.7
45.5 73.1 72.7 73.0
49.4 79.1 78.8 79.0
43.8 77.5 76.8 76.4
41.4 79.2 77.1 79.2
39.9 94.7 93.7 83.5
40. 7 63.8 62.6 62.0
41.3 70.5 70.4 70.1
41.3 102.4 102.5 101.6
38.8 68.0 68.1 68.1

24. 27
28. 66
20.95
24. 02

39.4
38.0
40.4
39.4

38.6
36.9
39.7
39.0

39.6
41.1
38.4
39.5

61.3
68.6
56.2
62.2

60.3
67.9
55.0
61.7

61.3
69.7
54.7
60.8

Paper and allied products_____ ____________
Paper and p u lp __________________
P ap er boxes_________ __________________

35.11 34.75 34. 21
38.41 37. 93 37. 19
31.53 31.35 30. 95

44.9
45.8
44.2

44.5
45.3
43.9

44.2
44.9
43.6

78.2
83.8
71.7

78.1
83.6
71.6

77.4
82.8
71.0

Printing, publishing, and allied industries___
N ewspapers and periodicals_________
Book and jo b ___ ______________________

39. 30 38. 63 38. 73
43. 52 42. 74 42. 42
36. 71 36. 34 37.19

39.9
36.6
41.3

39.7
36.3
41. 6

39.8 98.5 97.3 97.3
36.4 116.3 115.7 115.1
41.4 90.4 88.7 89.4

Chemical and allied p roducts_______________
P aints, varnishes, and colors____________
Drugs, medicines, and insecticides. . .
Soaps___________ _____ ________________
R ayon and allied products______________
Chemicals, no t elsewhere classified______
Explosives and safety fuses_____________
A m m unition__________________________
Firew orks___________________ ____ _____
Cottonseed oil____ ________ __________
Fertilizers______________ ______________

40.32
39.61
33.04
40.88
35.01
47.15
46. 42
41.90
0)
20. 87
23. 64

39.43
38. 23
31.27
38. 75
34. 27
46.15
45. 99
40. 90
37. 50
21.42
23. 04

45.2
44.0
43.7
44. 1
41.3
45.0
46.7
46.5
0)
47.7
42.9

45.0
43. 5
43.4
43.9
40.9
44.3
46.4
46.5
48.8
48.0
41.4

44. 5 89. 2 88.8 88.6
42.8 90.2 89.9 89.4
41.6 75.4 74.5 74.3
42.6 92.7 93.0 90.9
40.5 84.8 84.5 84.6
44.4 104.7 104.4 104.0
46.3 99.9 99.5 99.7
45.6 90.1 90.2 89.2
49. 1 (6)
77.9 76.3
49.6 43.7 43.0 42.7
40.2 55.2 55.1 57.3

Products of petroleum and coal____ _________ 47. 05 46. 61 45. 42
Petroleum refining_____________________ 50.00 49. 51 48. 38

42.5
42.6

42.3
42.4

41. 1 110.7 110.2 110.5
41.0 117.8 117.5 118.2

R ubber products____________ ____ _________
R u b b er tires and inner tu b e s___________
R u b b er boots and shoes________________
R u b b er goods, o th er______________ _____

44.74
52. 68
36. 96
38.01

43. 11
50. 53
36. 66
36.59

45.1
45.5
44.6
44.9

44.6
44.9
44.3
44.3

44.4 99.2 97.7 97.1
44.4 115.9 113.5 113.9
44.8 82.9 82.1 81.9
44.4 84.8 84.5 82.7

Miscellaneous industries___________________
Professional and scientific instrum ents and
fire-control e q u ip m en t................................

39. 80 38.92 38. 30

46.5

46.0

45.7

85.6

84.6

83.8

50.74 49. 67 49. 07

51.2

50.9

50.7

99. 1

97.9

96.7

See fo o tn o te s a t end o f tab le.


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Federal Reserve Bank of St. Louis

26.11
27.79
21.29
22.64
17. 81
30.67
25.30
35.16

39.96
39. 16
32. 48
40.88
34.54
46. 23
46.01
42.11
38.00
20.84
22.81

43. 57
50. 95
36. 35
37.36

1245

Trend of Employment and Unemployment
T a b l e 6 . — Hours

and Earnings in Specified Months—C on tin u ed
NONM ANUF ACTU RIN G
Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

In d u stry
M ar. Feb. Jan. M ar. Feb. Jan.
19432 19432 1943 19432 19432 1943
Coal mining:
$43. 84 $44. 47 $31. 25 41.2
A nth racite________________ ____
B itum inous
______ ______ - - - - 42. 97 41.49 37. 55 38.3
M etalliferous m in in g_____ - _ ------ --------- - 41.61 41.61 41.16 43.7
Q uarrying and nonm etallic m in in g--------------- 33. 21 33. 39 33. 34 44.0
Crude-petroleum production-------------------- -- 44. 51 44.27 42.82 41.0
Public utilities:
Telephone and telegraph----------------------- 34. 56 34. 22 34.49 41.1
Electric light and p o w e r . _________ — 41.93 42.03 42.05 40.8
Street railw ays and busses--------- --------- 43. 14 43. 10 42.49 49.5
W holesale trad e----- ----------------------------- -- 37. 90 37. 97 37.40 41.7
24. 55 24. 79 24. 37 41. 1
R etail tra d e ..... .......... ........
--- .- -- 29. 39 28. 52 28. 58 41.9
Food
_
... .
. . . . . ------ General m erchandising___ _____________ 20. 58 20.83 20. 79 37. 2
A pparel. .
-------- ----------- - 25.61 25. 72 25. 26 37.4
33.21 32. 76 33. 33 44. 4
F urn itu re and housefurnishings.. . .
35. 46 35. 10 33.83 47.6
L um ber and building m aterials-------------- 32.64 32.75 32.26 42.5
Hotels (year-round)------------------------------------ 19. 29 19. 06 19. 35 44. 5
Laundries ___ ______________ _________ 22. 70 22.47 22. 78 43.8
Dyeing and c le a n in g .------ -- ------------------ - 26. 56 25. 60 25.92 . 43. 7
Brokerage ------- -- _ ------- --------------------- 49. 75 47. 11 45. 00 0)
Insurance.-.
..
. _________
----- - - 40. 37 40. 46 39. 77 (•)
Building construction . ---- . ---------- ---- 46.49 45.04 46.03 37.4

M ar. Feb. Jan.
19432 19432 1943

Cents Cents Cents

41.5
37.0
43.6
44.7
40.6

31.0 106.5 106.9 100.7
34.7 112.2 111.3 108.5
43.3 94.9 94.7 94.1
44. 3 75.5 74.9 75. 9
39.9 107.3 107.4 105.9

40.8
40.5
50.3
41.6
41.1
41.5
37.2
37.9
43.6
47.5
43.0
45.3
43.7
43. 1

41.1 84.5 84.4 84.2
40.5 102.3 103.2 102.6
49.2 85.7 85.4 85. 6
41.4 90.9 91.1 90. 3
41.3 65.0 65.0 64.5
41.6 66.2 65.6 64.6
37.5 54.3 54. 1 53.7
37.6 67.8 68.5 67.1
44.2 76. 5 76.9 78.0
46. 7 75. 3 73.5 73.9
42.5 79.4 78.8 78.1
44.7 43. 3 43. 2 42.2
44.1 52.3 51.7 51.9
43.6 62.9 61.7 61.5
0) 0) 0) 0)
O)
0)
(5)
0)
37.1 124.3 124.0 124.0

00
0)

36.3

1 These figures are based on reports from cooperating establishm ents covering both full- and part-tim e
employees who worked during any p a rt of one p ay period ending nearest the 15th of the m onth. As not
all reporting firms furnished m an-hour data, average hours and average hourly earnings are based on a sm aller
sample th a n are weekly earnings.
2 Subject to possible revision.
a Because of changes in th e composition of the reporting sample, hours and earnings are not com parable
w ith those published for previous m onths as indicated:
Cutlery and edge tools—Average hourly earnings (comparable D ecember 1942 average, 85.2 cents).
Knitted underwear—Average hourly earnings (comparable D ecember 1942 average, 57.1 cents).
4 Revisions in th e following industries have been m ade as indicated:
Cutlery and edge tools—N ovem ber and December 1942 average weekly hours to 47.0 and 47.8, respectively.
Revised averages are not comparable w ith those published for October 1942 and previous m onth (comparable
October average, 46.2).
,
Bolts, nuts, washers, and rivets—D ecember 1942 average weekly earnings, average weekly hours, and aver
age hourly earnings to $43.41, 45.8 hours, and 94.7 cents, respectively.
.
Furniture—N ovem ber and D ecember 1942 average weekly earnings to $30.35 and $31.40, respectively,
average hourly earnings to 70.5 cents and 70.8 cents.
Hosiery—October and D ecember 1942 average weekly hours to 38.1 and 38.8; average hourly earnings to
64.0 cents and 65.2 cents.
* D ata no t available.


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Federal Reserve Bank of St. Louis

1246

Monthly Labor Review— June 1943
C I V I L I A N L A B O R F O R C E , A P R I L 1943

T H E civilian labor force increased by 100,000 persons between M arch
and April 1943 to a total of 52,100,000, according to the Bureau of
the Census M onthly R eport on the Labor Force. At the same time,
unem ploym ent declined by 100,000 persons to a new low of 900,000,
and the num ber employed increased by 200,000.
T able

1.— Estimated Civilian Labor Force by Employment Status and Sex, in Selected
Months, April 1940 -April 1943 1
[Source: U . S. D epartm ent of Commerce, B ureau of the Census]
Estim ated num ber (millions of persons)
Sex and em ploym ent status
April
1943

M arch
1943

April
1942

April
1941

April
1940

B oth sexes___________
Unemployed 2____
E m ployed________
N onagriculture
A griculture___

52.1
.9
51.2
41.6
9.6

51.0
42.0
9.0

53.7
3.0
50.7
41.4
9.3

53.5
6.7
46.8
37.6
9.2

53.9
8.8
45.1
36.1
9.0

M ales_______________
Unem ployed 2____
E m ployed________
N onagriculture.
A griculture___

36.5
.5
36.0
27.5
8.5

36.4
.6
35.8
27.7
8.1

39.8
2.0
37.8
29.4
8.4

40.9
4.7
36.2
27.6
8.6

40.6
6.5
34.1
00
(3)

Fem ales_____________
U nem ployed 2____
E m ployed________
Nonagriculture.
A griculture___

15.6
.4
15.2
14.1
1.1

15.6
.4
15.2
14.3
.9

13.9
12.9
12.0
.9

12.6
2.0
10.6
10.0
.6

13.3
2.3
11.0

52.0
1.0

1.0

00

0)

1 All d ata exclude persons in institutions.
2 Includes persons on public emergency projects.
3 N ot available.

The increase in the civilian labor force was directly attributable to
a seasonal rise in agricultural employment which increased by
600.000 persons—400,000 men and 200,000 women. The increase in
farm employment was partially offset by a decline of 400,000 in nonagricultural employment.
During the year ending in April 1943, the civilian labor force
declined by 1,600,000—the net result of a decrease of 3,300,000 men
and an increase of 1,700,000 women. Inductions into the armed
forces were reflected in a decline of 4,200,000 male civilian workers
under 45 years of age, but this was partially offset by an increase of
900.000 among men aged 45 years and over.
For the 3 m onths ending in April 1943, the num ber of women in the
civilian labor force remained unchanged at 15,600,000. This com
pares with an increase of 500,000 women during the corresponding
period in 1942.


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Federal Reserve Bank of St. Louis

1247

Trend of Employment and Unemployment
T a b l e 2 . — Estimated

Civilian Labor Force, Employment and Unemployment, by Age
and Sex, in March and April 1943 and April 1942 1
[Source: U. S. D epartm ent of Commerce, Bureau of the Census]
Estim ated num ber (millions of persons)
Total

E m ploym ent status and age

M ale

Female

April
1943

M arch
1943

April
1942

April
1943

M arch
1943

April
1942

T otal civilian labor force___
14-19 years____________
20-24 years______ _ - . .
25-34 y e a rs... _______
35-44 years___ . . . . . .
45-54 y e a r s . _ ______
55-64 years____ ______
65 years and over______

52.1
4.8
5.1
11.6
11.5
10.0
6.4
2.7

52.0
4.7
5.3
11.6
11.6
9.9
6.3
2.6

53.7
4.9
6.6
12.7
11.8
9.5
5.8
2.4

36.5
2.7
2.3
7.7
8.3
7.8
5.3
2.4

36.4
2.7
2.4
7.8
8.3
7.7
5.2
2.3

39.8
3.2
3.9
9.2
8.9
7.7
4.8
2.1

T otal persons em ployed___
14-19 years _______
20-24 years_______ ____
25-34 years____________
35-44 years_________ _
45-54 years____________
55-64 years___________
65 years and over__ _

51.2
4.6
5.0
11.5
11.3
9.9
6.3
2.6

51.0
4.5
5.2
11.5
11.4
9.8
6.1
2.5

50.7
4.4
6.3
12.2
11.3
9.0
5.3
2.2

36.0
2.6
2.3
7.7
8.2
7.7
5.2
2.3

35.8
2.6
2.4
7.7
8.2
7.7
5.0
2.2

37.8
2.9
3.8
8.9
8.6
7.3
4.4
1.9

15.2
2.0
2.7
3.8
3. 1
2.2
1.1
.3

T otal persons unem ployed 2_
14-19 years____________
20-24 years.. . . . . ____
25-34 years________ _ .
35-44 y e a r s ___________
45-54 years_____ . . . .
55-64 years. _____ . . .
65 years and over______

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

1.0
.2
.1
.1
.2
.1
.2
.1

3.0
.5
.3
.5
.5
.5
.5
.2

.5
.1

.6
1

2.0
.3
.1
.3
.3
.4
.4
.2

.4
.1
.1

0
0

0
.1
.1
.1
.1

0

.1
.1
.2
.1

1 All d ata exclude persons in institutions.
2 Persons on public emergency work projects are included w ith th e unem ployed.
2 Less th an 50,000.


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Federal Reserve Bank of St. Louis

April
1943
15.6
2. 1
2.8
3.9
3.2
2.2
1. 1
.3

Ji.

.1

.1

0
(9
(9

M arch
1943

.

April
1942

15.6
2.0
2.9
3.8
3.3
2.2
1. 1
.3

13.9
1.7
2.7
3.5
2.9
1.8
1.0
.3

15.2
1.9
2.8
3.8
3.2
2.1
1.1
.3

12.9
1.5
2.5
3.3
2.7
1.7
.9
.3

.4
.1
.1
0
(9
(9

1.0
.2
.2
.2
.2
.1
.1

.1
.1
0

Recent Publications o f Labor lute rest

JUNE 1943
Absenteeism
Absenteeism tn commercial shipyards.

By E lean o r V. K ennedy. W ashington,
U. S. B ureau of L ab o r S tatistics, 1943. 14 pp. (Bull. N o. 734; re p rin te d
from F eb ru a ry 1943 M onthly L ab o r Review , w ith a d d itio n al d ata.) 5
cents, S u p erin te n d e n t of D ocum ents, W ashington.

Controlling absenteeism— a record of war plant experience.

W ashington, U. S
D e p a rtm e n t of L abor, D ivision of L ab o r S tan d ard s, 1943. 57 pp. 10
cents, S u p erin te n d e n t of D ocum ents, W ashington.

More manpower through reduction of absences.

B y R. R . Sayers, M. D ., a n d
others. P ittsb u rg h , In d u stria l H ygiene F o u n d atio n , [1943]. 63 pp., c h arts.
P anel discussion, a t 7 th a n n u al m eeting of In d u s tria l H ygiene F o u n d atio n ,
P ittsb u rg h , N ovem ber 1942, on th e su b jects of absenteeism in th e coal-m ining
in d u stry , sick absenteeism am ong a group of th e F o u n d a tio n ’s m em ber com panies,
m ethods of tack lin g th e absen tee problem , th e accid en t fa c to r in absenteeism ,
th e com m on cold as an in d u stria l-h e a lth problem , a n d th e role of psychology in
absenteeism .

The problem of absenteeism.

N ew Y ork, N a tio n a l In d u stria l Conference B oard,
Inc., 1943. 31 pp., c h arts. (Studies in personnel policy, No. 53.)
A nalyzes th e causes of absenteeism a n d discusses m ethods of com bating it.
Tested ways to reduce absenteeism. N ew Y ork, M cG raw -H ill P u blishing Co.,
Inc., 1943. 20 pp., ch arts, illus. 25 cents.
F o u r articles, re p rin te d from reg u lar issues of F a c to ry M an ag em en t an d M ain
tenance, in w hich th e m eth o d s followed by a n u m b er of com panies to reduce
absenteeisfn in th e ir p la n ts are described.

Ways of dealing with absenteeism as part of the war production drive,

W ashington,
U. S. W ar P roduction B oard, [1943?]. 27 pp., illus.
D iscusses different causes of absenteeism a n d m eth o d s of m eeting th e problem .

Working conditions and absenteeism in Britain.

N ew Y ork, B ritish In fo rm atio n
Services, 1943. 8 pp. (I. D. 384.) Free.
Shows th e factors co n trib u tin g to absenteeism a n d m eth o d s em ployed in G reat
B ritain to reduce it, b o th by im proving conditions surro u n d in g th e ir em ploym ent
an d penalizing w orkers for unnecessary absence.

Cost and Standards of Living
Civilian spending and saving, 1941 and 1942.

W ashington, U. S. Office of Price
A d m inistration, D ivision of R esearch, C onsum er Incom e a n d D em and
B ranch, 1943. 40 p p .; processed.
Shows th e burd en of personal ta x p a y m en ts on different incom e classes, th e
relativ e w elfare of different sections of th e consum ing public as in d icated by th e
division of th e n a tio n a l to ta l of consum er goods a n d services, a n d th e large volum e
of in d iv id u al savings.

Cost of living index numbers for Canada, 1913-42.

O ttaw a, D om inion B u reau of
S tatistics, 1943. 15 p p .; m im eographed. 25 cents.
Gives th e index nu m b ers of cost of living a n d th e co m p o n en t series in con
ven ien t form for read y reference, w ith a review in te x t.
1248


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Federal Reserve Bank of St. Louis

Recent Publications of Labor Interest

1249

Food costs more in Harlem: A comparative survey of retail food prices.

N ew Y ork,
N a tio n al A ssociation for th e A dvancem ent of C olored People, [1943?1.
23 pp.
R ep o rt on a survey of re ta il food prices in H arlem stores as com pared w ith prices
in stores in com parable incom e areas in o th e r sections of N ew Y ork C ity. T he
conclusion is reached th a t th e prices th a t N egroes in segregated com m unities
have to pay for th e food they e a t are excessive, a n d it is recom m ended th a t
fu rth e r surveys in segregated areas be m ade. L egislative action, consum er e d u c a 
tio n , and cooperative b u ying a n d selling are suggested as p o te n tia l rem edies.

Economic and Social Problems
A n economic program for a living democracy.

B y Irv in g H . F lam m . N ew Y ork,
L iveright P ublishing C orporation, 1942. 342 pp. $ 3 .
As sta te d in th e preface, th e o bjective of th is cap italistic a n d fu n ctio n al a p 
proach to w ard a plan n ed econom y is n o t so m uch to discuss desirable social an d
econom ic goals, b u t ra th e r to p o in t th e w ay to a m ethod, a tech n iq u e for im prov
ing our own econom ic efficiency as th e b est m eans for defending ourselves from
w ith o u t an d stren g th en in g our dem ocratic in s titu tio n s from w ithin.
The banking system and war finance. B y C harles R. W hittlesey. N ew Y ork,
N atio n al B ureau of E conom ic R esearch, Inc., 1943. 53 pp., ch arts. (Oc
casional p ap er 8 .) 25 cents.
D escribed as th e first of several studies th a t are being developed as p a rt of th e
financial-research program of th e N atio n al B ureau of Econom ic R esearch. A t th e
end of th e p am p h let various questions are raised, calling for analysis in la te r
p ublications in th e series. Am ong th e q uestions are th e m eth o d s of restrain in g
inflationary tendencies an d th e possible effect of w ar finances, p a rtic u la rly th e
large public debt, on th e m ain ten an ce of full em plo y m en t a fte r th e w ar.
Poverty and progress: A second social survey of York [England], B y B. Seebohm
R ow ntree. London, Longm ans, G reen & Co., 1942. xx, 540 pp., diagram s,
illus. 15s.
P resen ts a p ictu re of w orking-class life in a p rovincial B ritish city of 100,000
persons, show ing housing, ren ts, occupations, earnings, etc. T h e stu d y affords
an o p p o rtu n ity of com paring conditions sh o rtly before th e p re se n t w ar w ith those
in 1899 w hen th e first in v estig atio n w as m ade. T he p o v e rty line a d o p ted for
incom e was 43s. 6 d. a w eek (a t 1936 prices), a fte r p ay in g re n t, for a fam ily of m an,
wife, a n d th ree d ep en d en t children. I t was concluded th a t n early o n e-th ird of
th e w orking p o p u latio n of Y ork was living below th e m inim um sta n d a rd .
Trends in German economic control since 1983. B y Sidney M erlin. (In Q u arterly
Jo u rn a l of Econom ics, C am bridge, M ass., F e b ru a ry 1943, pp. 169-207.
$1.25.)

Education and Training
Handbook on education and the war, based on proceedings of the National Institute
on Education and the War, * * * August 28-31, 19f2. W ashington,
U. S. Office of E d u catio n , 1943. 344 pp., ch arts. 55 cents, S u p erin ten d en t
of D ocum ents, W ashington.
T he volum e includes sum m aries of th e discussion of tra in in g of m anpow er,
one of th e m ajo r problem s considered.

Workers’ education— a Wisconsin experiment.

B y E rn e st E. S ch w arztrau b er.
M adison, U niversity of W isconsin Press, 1942. 182 p p ., ch arts, illus. $1.
A h isto ry of w orkers’ ed u catio n in W isconsin during th e p a s t 20 years.
Canada’s war emergency training program. (In M an u fa c tu rin g a n d In d u s tria l
E ngineering, T oronto , O nt., N ovem ber 1942; 19 p p ., illus. Also rep rin te d .)
Industry and education. London, O xford U niv ersity Press, 1943. 38 pp. Is.
S ta te m e n t on conclusions reached a t a conference held b y Nuffield College to
consider th e problem s of ed u catio n in relatio n to in d u stry in G reat B ritain .

Employment and Unemployment
Effect of the war on employment in the iron and steel industry.

W ashington, U. S.
B ureau of L abor S tatistics, 1943. 10 pp. (Serial N o. R . 1517; rep rin te d
from F eb ru a ry 1943 M onthly L ab o r Review .) Free.


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Federal Reserve Bank of St. Louis

1250

Monthly Labor Review— June 1943

Employment in Federal executive service, December 1940— December 1942.

W ash
ington, U. S. B u reau of L ab o r S tatistics, 1943. 6 pp. (Serial N o. R. 1521;
re p rin te d from M arch 1943 M o n th ly L ab o r Review .) Free.

Full employment.

London, Tim es P ublishing Co., L td ., 1943. 20 pp. 3d.
T en articles, by various au th o rs, rep rin te d from th e L ondon Tim es, dealing
w ith different aspects of post-w ar em ploym ent problem s, including th e need for
planning an d for a census of consum ption a n d p roduction.

The problem of unemployment.

London, L ever Bros. & U nilever, L td ., 1943.
38 pp.
In th is p am p h let th e publishers propose various g overnm ental, in d u strial, a n d
in te rn a tio n a l policies for p rev en tin g or com b atin g m ass un em p lo y m en t.

Food and Nutrition
Farm labor and food supply.

By K endrick Lee. W ashington, E d ito rial R e
search R eports, 1013 T h irte e n th S treet N W ., 1943. 16 pp. (Vol. 1, 1943,
No. 4.) $1.
O bstacles to a tta in m e n t of th e 1943 food-production goals, th e rising tre n d of
farm incom e and wages, a n d th e farm lab o r supply, are problem s considered.
Food, work and war. N ew Y ork, N atio n al A ssociation of M an u factu rers, 1942.
47 pp., charts, illus.
Stresses th e need for pro p er food to insure efficient w orkers a n d cites different
com panies w hich provide w ell-balanced m eals for th e ir em ployees.
Lunchrooms for employees. N ew Y ork, M etro p o litan Life In su ran ce Co., P olicy
holders Service B ureau, [1943?]. 28 pp., plans, illus.
D iscusses th e need for lunchroom s in in d u stria l p lan ts, describes different ty p e s
of service and equip m en t, a n d gives sam ple m enus.

Nutrition and the war.

By Geoffrey Bourne. N ew Y ork, M acm illan Co., 1943.
148 pp. 2d ed., revised an d enlarged. $1.60.
E xam ines food requirem ents, show ing energy req u irem en ts for different form s
of activ ity , foods w hich furnish energy, a n d value in th e d iet of th e different
v itam ins an d m inerals. C ontains a tab le show ing calories an d v ita m in an d
m ineral contents of different foods.
La protección del hombre en el Estado del porvenir [Perú], By M áxim e H. Ivuczynski-G odard. (In Inform aciones Sociales, C aja N acional de Seguro
Social, Lim a, th ird q u a rte r 1942, pp. 199-221.)
Includes a discussion, w ith statistics, of n u tritio n a l deficiencies a n d th e prices
of articles of consum ption in th e A m azon region of P eru, sta tistic s of in fa n t
m o rtality , th e relatio n of these problem s to u n d erp ro d u ctio n , and th e p a rt th e
G overnm ent m ay p lay in b ette rin g such conditions.

La alimentación en Venezuela.

B y R. C ab rera M alo a n d J. M. Bengoa L ecanda.
(In R ev ista de S anidad y A sistencia Social, M inisterio de S anidad y A sistencia
Social, C aracas, F eb ru ary 1943, pp. 131-139; bibliography.)
R eport to th e P an A m erican S an itary Conference in Rio de Jan eiro in S eptem 
ber 1942, dealing w ith th e organization an d functioning of th e n u tritio n p rogram
of V enezuela. S tatistics of food consum ption, costs of foods, an d w o rk ers’
earnings are included.

Health and Industrial Hygiene
Dermatitis in industry.

By Jo h n G. D owning, M. D. (In A m erican Jo u rn a l of
N ursing, N ew Y ork, A pril 1943, pp. 332-336. 35 cents.)
D eals w ith d erm a titis due to co n tac t w ith various substances, tre a tm e n t, an d
p reventive m easures.
Exploring the dangerous trades. T he au to b io g rap h y of Alice H am ilto n , M. D.
Boston, L ittle, Brown & Co., 1943. 433 pp., illus. $3.
M uch of th is life sto ry of a physician pioneering in th e stu d y of o ccupational
diseases is devoted to th e reasons for a n d th e resu lts of th ese stu d ies b u t it covers
also her trav els an d h er in te re st in lab o r a n d social m ovem ents.


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Federal Reserve Bank of St. Louis

Rocen! P u b lic a tio n s o f L abor In terest

12,r>!

Industrial Safety and Hygiene Conference, St. Louis, Mo., .July 17, 18, 1942: Part 1,
Speeches; Part I I , Discussions. W ashington, [Office of C hief of O rdnance,
U. S. W ar D epartm en t?], 1942. V arious paging; m im eographed.
T he conference was conducted by th e P la n t S ecurity B ranch, Office of th e Chief
of O rdnance, in conjunction w ith th e Office of th e Surgeon G eneral, U. S. A rm y,
and th e U. S. Public H e a lth Service. S ubjects covered included T N T poison
ing, h e a lth h azards in m an u fa c tu re of m unitions, derm atoses in m u n itio n s m a n u 
facture, periodic physical exam inations, w om en in in d u stry , a n d engineering
control of toxic exposures.

M anual of industrial hygiene and medical service in war industries.

P rep ared by
D ivision of In d u s tria l H ygiene, N atio n al In s titu te of H e a lth ; ed ited by
W illiam M. G afafer. P hiladelphia, W. B. S aunders Co., 1943. 508 pp.,
charts. $3.
T he volum e consists of articles by different experts p resen ted u n d er th ree m ain
heads: O rganization an d op eratio n of facilities; P rev en tio n a n d control of disease
in in d u stry ; T he m anpow er problem . T he m an u al is in ten d ed b o th as a source
of inform ation for in d u stria l physicians who m u st m eet th e changed conditions
in industries converted to w ar purposes and as a guide to those who ta k e th e
place of in d u strial physicians who have en tered th e arm ed services.

M anual on industrial health for war workers.

B oston, M assach u setts C om m ittee
on P ublic Safety, D ivision of H e a lth an d Social Services, 1943. 39 pp.
R evised second edition of M an u al on In d u stria l H e a lth for D efense, issued in
Ju n e 1942.

Proceedings of seventh annual meeting of members of Industrial Hygiene Foundation
of America, Inc., Pittsburgh, Pa., November 10-11, 1942. P ittsb u rg h , I n 
dustrial H ygiene F o u n d a tio n of A m erica, Inc., [1943?]. 196 pp.
T he papers an d panel discussions d ealt w ith different causes of fatig u e in w ar
tim e in d u stry , reductio n of absenteeism , a n d em plo y m en t of women, older m en,
an d th e physically handicapped.

Useful criteria in the identification of certain occupational health hazards.

S alt
L ake C ity, U tah S ta te D e p a rtm e n t of H ealth . D ivision of In d u s tria l H vgiene,
1942. 88 pp.
Lists th e h azards in a large n u m b er of in d u stries a n d occupations, a n d p rincipal
diagnostic signs. Also has a section on o ccupational derm atoses.

Housing
Housing handbook for social workers.

N ew Y ork, W elfare C ouncil of N ew Y ork
C ity, C asew orkers’ C om m ittee on H ousing, 1942. 18 pp. 25 cents.
L ists governm ental housing agencies in N ew Y ork S ta te a n d N ew Y ork C ity,
an d housing legislation applicable in New Y ork C ity, a n d describes procedure for
dealing w ith different housing m atte rs.

Housing regulation in wartime: Toward more effective utilization of housing in New
York. N ew Y ork, C om m unity Service Society, C om m ittee on H ousing,
[1943?]. 39 pp.
R ecom m ends m easures for raising housing sta n d a rd s a n d m ain ta in in g them .
New dwelling units in nonfarm areas, 1941 and 1942. W ashington, U. S. B ureau
of L abor S tatistics, 1943. 10 pp. (Serial No. R. 1511; re p rin te d from
A pril 1943 M onthly L abor Review.) Free.
Operating statistics of housing company projects. N ew Y ork, E xecutive D e p a rt
m ent, D ivision of H ousing, 1942. 73 pp., ch a rts; m im eographed.
Covers operations of lim ited-dividend housing com panies, w hich b u ilt a n d own
projects housing over 5,900 fam ilies. T he housing w as pro v id ed u n d er th e form er
New Y ork S ta te housing law. D a ta cover 1939 a n d 1940 a n d h istorical sta tistic s
are also given for each p ro ject from its inception.
Residential Chicago. Volume I of rep o rt of Chicago land-use survey, directed by
Chicago P lan C om m ission a n d conducted by W ork P ro jects A dm in istratio n .
Chicago, [1942], V arious paging, charts. $2 p o stp aid , from M unicipal
L ibrary, C ity H all, Chicago.
T he survey was m ade to aid in com prehensive city plan n in g an d offers sta tistic a l
and graphic inform ation. Volume I p resen ts city-w ide d a ta on resid en tial land
use an d inform ation on th e physical, social, a n d economic ch a ra c te r of resid en tial
properties in Chicago, including d a ta on d istrib u tio n of dwelling u n its by m o n th ly
rentals.


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Federal Reserve Bank of St. Louis

1252

M o n th ly L a b o r R e v ie w

J a n e 1943

industrial Accidents and Workmen’s Compensation
Industrial injuries in Pennsylvania, 1941]: Part I, All reported injuries; Part I I ,
A ll compensable cases. H arrisb u rg , D e p a rtm e n t of L abor a n d In d u stry ,
B ureau of R esearch an d In fo rm atio n , [1942?]. 2 vols, 94 an d 60 p p .; m im eo
graphed.
Training safety leaders. A re p o rt to th e plan n in g pan el on w ar safety training,
N atio n al C om m ittee for th e C onservation of M anpow er in W ar Industries.
W ashington, U. S. D e p a rtm e n t of L abor, D ivision of L abor S tan d ard s, 1943.
18 pp., c h a rts; processed. Free.

Twenty-sixth annual report of United States Employees’ Compensation Commission,
Ju ly 1, 194L to June 30, 1942. W ashington, 1943. 61 pp.
R ep o rt on operations u n d er th e several laws providing w orkm en’s com pensa
tio n benefits for in ju ry or d e a th of w orkers engaged in em ploym ents u n d er Federal
jurisdiction.

/ a dustrial Relations
Elements of supervision.

B y W illiam R. Spriegel a n d E d w ard Schulz. New
Y ork, Jo h n W iley & Sons, Inc., 1942. 273 pp., bibliography. $2.25.
T he au th o rs discuss th e p a rt of th e supervisor in developing a sound laborrelations program .

More production through sound industrial relations: Proceedings of twenty-fifth
anniversary Silver Bay Industrial Conference, Silver Bay, N. Y., Ju ly 22-25,
1942. New Y ork, Y. M. C. A., N atio n al Council, [1942], 159 pp.
Summary of decisions of the National War Labor Board: Volume I, January 12,
1942, to February 15, 1943. W ashington, U. S. N atio n al W ar L abor B oard,
1943. 76 pp.
A m an u al describing some of th e m ore im p o rta n t decisions a n d determ in atio n s
of th e B oard. T he cases are classified by m a tte rs in dispute.
Union membership and collective bargaining by foremen. W ashington, U. S. B ureau
of L abor S tatistics, A pril 1943. 22 p p .; m im eographed. (In d u stria l rela
tions problem s arising un d er w ar p roduction, m em orandum No. 7.) Free.
Workers and bosses are human. By T hom as R. C arskadon. New Y ork, Public
Affairs C om m ittee, Inc., 1943. 32 pp., ch arts. (Public affairs p am p h le t
No. 76.) 10 cents.

International Labor Conditions
The international standardization of labor statistics.

M ontreal, In te rn a tio n a l
L abor Office, 1943. 169 pp. (Studies a n d rep o rts, series N, No. 25— revision
of No. 19.) $1.
R evision of th e first (1934) edition of a re p o rt by th e In te rn a tio n a l L abor
Office sum m arizing its work a n d th a t of a series of in te rn a tio n a l conferences of
labor statistician s, an d giving th e do cu m en tary tex ts of resolutions an d recom 
m endations of th e conferences, w ith reference to sta n d a rd iz a tio n of sta tistic s of
em ploym ent an d unem ploym ent, wages a n d hours of w ork, collective agreem ents,
in d u strial disputes, in d u stria l accidents, cost of living, housing, etc.
Yearbook oj labor statistics, 1942. M ontreal, In te rn a tio n a l L abor Office, 1943.
222 pp. In E nglish, F rench, an d Spanish. $2.
T he statistics in th e yearbook cover some sixty countries in all p a rts of the
world. In ad d itio n to th e usual d a ta on p opulation, u n em ploym ent, hours of
labor, wages, cost of living, m igrations, a n d in d u strial accidents, tw o new tables
have been added, one on th e d istrib u tio n of food ex penditures for th e chief food
groups as show n in fam ily-living studies, an d th e o th er show ing differences in th e
percentage of expenditures for th e chief groups of item s a t different incom e levels.

Migration and Migratory Lidtor
Internal migration and the war.

By H enry S. Shryock, Jr. (In Jo u rn a l of th e
A m erican S tatistic a l A ssociation, M enasha, W is., M arch 1943, pp. 16-30,
m aps (charts). $1.50.)
D iscusses th e e x ten t a n d th e ch aracteristics of th e m ig ratio n betw een S tates
an d to defense centers during th e period April I, 1940, to M ay 1, 1942.


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Federal Reserve Bank of St. Louis

Recent Publications of Labor Interest

1253

National defense migration: Final report of Select Committee Investigating National
Defense Migration, House of Representatives, 77th Congress, 2d Session, pur
suant to H. Res. 113 * * *. W ashington, G o v ern m en t P rin tin g Office,
1943. 24 pp. (H ouse re p o rt No. 3, U nion calen d ar No. 4, 78th Cong.,
sess.)
.
.
Sum m arizes th e w ork done by th e T o lan C om m ittee a n d discusses briefly th e
situ atio n existing in m anpow er an d m igration as of Ja n u a ry 1943.
A research memorandum on internal migration resulting from the war effort. _ By
C onrad T aeu b er a n d Irene B arnes T aeuber. N ew Y ork, Social Science
R esearch Council, C om m ittee on R esearch on Social Aspects of th e W ar,
1942. 30 p p .; m im eographed. 25 cents.
1 st

Temporary migration of Mexican agricultural workers— agreement between the
United States and Mexico. W ashington, U. S. D e p a rtm e n t of S tate, 1943.
13 pp. In E nglish a n d Spanish. (E xecutive ag reem en t series No. 278.)
T he agreem ent w as signed A ugust 4, 1942, a n d provides that, ag ricu ltu ral
w orkers from Mexico shall be p aid th e prevailing wage in th e localities to w hich
th e y are sen t an d th a t in no case m ay th e wage be less th a n 30 cents an hour.
W orking and living conditions m u st be th e sam e as those for o th er w orkers in
th e sam e localities.

Old -A ge Rel iremen t
State retirement plans for municipal employees (a description of four operating
systems). By A. À. W einberg. Chicago, M unicipal Finance Officers Asso
ciation of th e U n ited S tates an d C anada, 1943. 8 pp. (Special bull. F.)
35 cents
O utlines th e re tire m e n t system s for public em ployees, including those of local
ad m in istratio n s, in C alifornia, Illinois, New \ ork, an d Ohio, giving inform ation
on m em bership, contrib u tio n s, benefits, an d a d m in istratio n .
O Instituto de Aposentadoria e Pensdes dos Comerciários \Brazil j. By D ecio
R ibeiro C osta. (In B oletim do M inisterio do T rab alh o , In d u stria , e Com ércio, Rio de Janeiro, S eptem ber 1942, pp. 237-250; bibliography.)
A ccount of th e back g ro u n d of th e B razilian R etirem en t a n d Pension In s titu te
for C om m ercial E m ployees, benefits p rovided u n d er th is schem e, an d certain
statistics of its o p eratio n to D ecem ber 30, 1940.

Post- Wnr Reconstruction
Post-war planning— a selected and annotated list of references.

W ashington,
L ib rary of Congress, L egislative R eference Service, A pril 5, 1943. 36 p p .;
m im eographed. (W ar service bull., series H - 6 .)
Post-war planning in Britain: Lnofficial post-war planning, 1939-43. N ew Y ork,
B ritish In fo rm atio n Services, 1943. 80 pp., bibliography.

Post-war trade: Second memorandum by the National Lnion of Manufacturers.
London, N ational Union of M an u factu rers, 1942. 7 pp.
In th e light of th e A tlan tic C h a rte r an d su p p lem en tary ag reem en t betw een
th e B ritish and U nited S tates G overnm ents, th is em ployer o rganization exam ines
p o st-w ar trad e problem s, such as exchange an d tariffs. I t is assum ed th a t labor
will have a larger share in questions affecting em ploy m en t conditions, a n d th e
association concludes th a t th ere m u st be m u tu a l confidence a n d cooperation
betw een m anagem ent a n d labor to insure p roduction.
War and reconstruction— some Canadian issues. A ddresses given a t C an ad ian
In s titu te on P ublic Affairs, A ugust 15-23, 1942. E d ited by A. R . M. Lower
an d J. F. P arkinson. T oronto, R yerson Press, 1942. 106 pp.
Two of th e addresses reproduced are on lab o r a n d one is on price control.

Pî'ices and Price Control
The economics of price in the milk industry.

By Jam es M. S tepp. U niversity,
Va., U niversity of V irginia, B ureau of Public A d m in istratio n , 1942. 154 pp.,
diagram s; m im eographed. (R ep o rt series B, No. 9.) $1.
A nalysis of th e price-m aking forces in th e p roduction, tra n sp o rta tio n , and


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Federal Reserve Bank of St. Louis

1254

Monthly Labor Review— June 1943

The relation between price movements and the extent of control [in the United States1
to October 10, 194-2. W ashington, U. S. Office of Price A dm inistration
Division of R esearch, 1943.
rep o rt No. 14.)

British price control.
(I. D . 312.)

Free.

44 pp., c h a rts; processed.

N ew York, B ritish In fo rm a tio n Services, 1942.

Wholesale price index numbers, [Canada], 1913-43.
[1943],

(Price control

16 p p .; processed.

11

pp

1 1'

O ttaw a, B ureau of S tatistics

Production
Joint production committees in United States war plants.

By W. Ellison C halm ers.
(In In te rn a tio n a l L ab o r Review, M ontreal, Ja n u a ry 1943, p p 2 2 - 4 5
60
cents.)
O utlines th e object, m ethods, an d results of th e drive to establish labor-m anagem en t production com m ittees in w ar factories.
/ roduction standards from time study analysis by labor and management
Bv
F rank Leslie B ailey a n d others. D etro it, Local No. 2 , U. A. W - C I ()
an d th e M u rray C orporation of A m erica, 1942. 103 pp., ch arts.
. T his volum e is described as th e first book on tim e stu d y u n d e rta k e n as a coopera
tive enterprise by lab o r a n d m anagem ent. T he first p a rt is en title d “ T h e story
of Joe W o rk m an ,” an d is a p resen tatio n of problem s of pro d u ctio n sta n d a rd s and
tim e-stu d y analysis from th e p o in t of view of a ty p ic a l w o rk er’s experience
T he
second p a rt is a tim e -stu d y procedure m anual, giving detailed definitions and
m ethods an d concluding w ith a c h ap te r on th e estab lish m en t of p roduction
stan d ard s.

Relief Measures and Statistics
Administration and financing of public relief.

B y F ra n k M. L anders an d C laude
R. T h arp . Ann A rbor, U n iversity of M ichigan, B ureau of G overnm ent
1942. 35 pp. (M ichigan p am p h le t No. 17.) 10 cents.
D eals w ith th e m ajo r aspects of th e ad m in istra tio n an d financing of public
relief by th e S ta te an d local g overnm ents in M ichigan.

Report of the President of the United States to the Congress showing status of f unds
and operations _under Emergency Relief Appropriation Acts for fiscal years
1935 to 1943, inclusive, as of June 30, 1943. IV ashington, IT. S T reasu ry
D ep artm en t, 1943.

507 pp.

A study in public relations.

B y H aro ld P. Levy. N ew Y ork Russell Sne-o
F o u n d atio n , 1943. 165 pp. $ 1 .
D escribes th e public-relations pro g ram of th e P en n sy lv an ia D e p a rtm e n t of
Public A ssistance, established in 1937, as it has been a d ju ste d to m eet th e chang
ing conditions p resented by th e business recession an d th e dem an d for lab o r as a
resu lt of w ar needs.

Work relief experience in the United States.

By Jo h n C harnow . W ashington,
Social Science R esearch Council, C om m ittee on Social S ecurity, 1943 ^141
pp., bibliography. (P am p h let series No. 8 .) 50 cents.
A nalyzes th e m ore im p o rta n t problem s arising in connection w ith th e various
ty p es of w ork relief u n d e rta k e n in th e U n ited S ta te s du rin g th e p a st decade for
th e purpose of furnishing a guide for w ork-relief plan n in g if un em p lo y m en t
again becom es a problem in th e p o st-w ar years.

Social Security
Social welfare in New York State under World War I I : 73rd annual report of
Department of Social Welfare, Ju ly 1, 1941-June 30, 1943. A lbany, 1943.
^ 80 pp., charts. (L egislative doc. No. 1 1 , 1943.)
T he re p o rt deals w ith th e im p act of w ar upon th e w elfare of th e people of th e
S tate, an d th e problem s created by th e w ar a n d th e w ay th e y are being m et,
and contains detailed rep o rts of assistance given during th e fiscal y ear 1941-42.
Social^ welfare services and the war: Part I, Meeting wartime needs. B y E sth er
Cole F ran k lin . W ashington, A m erican A ssociation of U n iv ersity Women
1943. 52 p p .; m im eographed. (C o n tem p o rary A m erica, Vol. IV , No 4 1
30 cents.
O utlines m easures ta k e n by different agencies in th e U nited S ta te s to m eet
w elfare needs during th e w ar.

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Federal Reserve Bank of St. Louis

Recent Publications oj Labor Interest

1255

Social work yearbook, 1943: A description of organized activities in social work and
in related fields. E d ite d b y R ussell H , K u rtz . N ew Y ork, R ussell Sage
F o u n d atio n , 1943. 764 pp. $3.25.
T he book contains tw o m ajo r divisions. P a rt I presen ts a group of 78 signed
articles by a u th o rities on th e different social su b jects; p a rt I I consists of directories
of n atio n al and S tate agencies, b o th g o vernm ental a n d v o lu n ta ry , whose program s
are re la te d to different phases of social work.

Monografía sobre la Caja Nacional de Empleados Públicos y Periodistas [Chile],
B y Alfredo H erre ra A ristegui. [Santiago, Im p . y L it. C ervantes], 1942.
90 pp.
E xcept for a brief h isto ry of social insurance in Chile, th e volum e is d evoted
to th e history, resources, benefits, an d o peration of th e C hilean N a tio n a l [Social
Insurance] F u n d of P ublic E m ployees a n d Jo u rn alists, w ith sta tistic s for recent
years, including 1940 a n d 1941.
The problem of social security in Colombia. By E rn esto H e rrn sta d t. (In I n te r
n atio n al L abor Review , M ontreal, A pril 1943, pp. 426-449. 60 cents.)
Social security as in te rp re te d in th is article em braces all m easures p ertain in g
to th e secu rity an d w elfare of w orkers. T he article contains a résum é of labor
legislation an d social-insurance provisions, and discusses th e need for unification
and extension of existing services. An appendix lists th e prin cip al legislative
en actm en ts m entioned, a n d indicates w h eth er th e y are available in English
tra n sla tio n in th e L egislative Series of th e In te rn a tio n a l L ab o r Office.
The Mexican social insurance law. By G ustavo-A dolfo R ohen y G álvez. (In
Social S ecurity B ulletin, U. S. Social Security B oard, W ashington, M arch
1943, pp. 11-16. 20 cents, S u p erin ten d en t of D ocum ents, W ashington.)
Legislative h isto ry of th e new Social In su ran ce Act of Mexico w ith analysis
of its provisions relatin g to persons covered, risks insured, benefits, financial
organization of th e system , a n d a d m in istratio n an d enforcem ent of th e act.

Wages and Honrs of Labor
The economic status of the members of the American Chemical Society.

R ep o rt of
C om m ittee on E conom ic S tatu s, p rep ared by A rth u r F raser, Jr. W ashing
ton, A m erican C hem ical Society, [1943?].
39 pp., ch arts. (R ep rin ted from
C hem ical an d E ngineering News, Vol. 20, Nos. 20, 22, 23, 24, 1942.)
Analysis of d a ta ob tain ed by questionnaire from m em bers of th e A m erican
C hem ical Society w ith respect to an n u al incom e, m o n th ly salary ra te , occupa
tional sta tu s, source of em ploym ent, a n d field of specialization, for th e period
1926 to 1941, th e n u m b er of re tu rn s rep resen ted in th e stu d y ranging from 8,538
for the y ear 1926 to 19,009 for 1941. D a ta on m o n th ly earnings, ta k e n from th is
stu d y , were published in th e A pril 1943 M onth ly L abor Review (p. 776).
Union wages and hours in the building trades, July 1, 1942. W ashington, U. S.
B ureau of L abor S tatistics, 1943. 66 pp., ch arts. (Bull. No. 730; rep rin te d
from D ecem ber 1942 M o n th ly L ab o r Review, w ith ad d itio n al d a ta .) 10
cents, S u p erin ten d en t of D ocum ents, W ashington.
Hourly entrance rates paid to common laborers, 1942. W ashington, Li. S. B ureau
of L ab o r S tatistics, 1943. 16 pp., m ap (ch art). (Bull. No. 733; rep rin te d
w ith o u t change from F eb ru a ry 1943 M on th ly L ab o r Review .) 5 cents,
S u p erin ten d en t of D ocum ents, W ashington.
Wages and hours of union motortruck drivers and helpers, June 1, 1942. W ashing
to n , LT. S. B ureau of L ab o r S tatistics, 1943. 38 pp., ch a rt. (Bull. No. 732;
re p rin te d from Ja n u a ry 1943 M o n th ly L ab o r R eview , w ith ad d itio n a l d a ta .)
10 cents, S u p erin te n d e n t of D ocum ents, W ashington.

Wage structure of the nonferrous-metals industry, 1941-42.

W ashington, U. S.
B ureau of L abor S tatistics, 1943. 72 pp., ch arts. (Bull. No. 729; re p rin te d
from M onthly L abor Review, June, Ju ly , A ugust, O ctober, 1942, w ith a d d i
tional d ata.) 10 cents, S u p erin ten d en t of D ocum ents, W ashington.
Wage rates of union street-railway employees, June 1, 1942. W ashington, U. S.
B ureau of L abor S tatistics, 1943. 9 pp., chart. (Bull. No. 731; rep rin te d
from Ja n u a ry 1943 M on th ly L abor Review.) 5 cents, S u p erin ten d en t of
D ocum ents, W ashington.


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Federal Reserve Bank of St. Louis

1256

Monthly Labor Review— June 1943

First report of Nurses Salaries Committee: Salaries and emoluments of female
nurses in hospitals. London, M in istry of H ealth , 1943. 42 pp. (C m d.
6424.) 9d.
T he rep o rt contains tab les of th e salaries an d em olum ents recom m ended for
different grades of nurses, according to size a n d ty p e of h ospital, in G reat B ritain.

If cirtime Conditions and Policies
Impact of the war on the Pittsburgh, Pennsylvania, area.

W ashington, U. S.
B ureau of L abor S tatistics, E m p lo y m en t a n d O ccupational O utlook B ranch,
1943. 88 pp., c h arts; m im eographed. (In d u stria l a rea stu d y No. 1.) Free.
F irst of a series of studies designed to aid in th e developm ent of locally-directed
program s of economic re a d ju stm e n t an d to in d icate th e e x te n t to w hich local
re a d ju stm e n t is relate d to th e prospects for high-level econom ic a c tiv ity for th e
N ation as a whole. T he em phasis in these stu d ies is on effects of th e w ar on
in d u stry as related to em ploym ent.

Manpower for victory: Total mobilization for total war.

By Jo h n J. Corson. New
Y ork an d T oronto, F a rra r & R in eh art, Inc., 1943. 299 pp., ch arts, illus. $3.
Presents an over-all p ictu re of th e m anpow er situ atio n in th e U n ited States,
giving inform ation on requirem ents, sources, m obilization, a n d w ays of increasing
the supply.

Sources of information for the st udy of national defense and the war effort.

Com piled
by D orothy C am pbell T om pkins. Berkeley, Calif., U n iv ersity of C alifornia,
B ureau of Public A dm in istratio n , S eptem ber 1942. 49 p p .; m im eographed.

Yonlit Problems
Report of the National Advisory Committee of the National Youth Administration
to the President of the United States. W ashington, [1942], 98 p p .; m im eo
graphed.
C overs th e period during w hich th e N atio n al Y o u th A d m in istratio n has
functioned w ith p a rtic u la r reference to th e w ar em ergency. A su p p lem en t con
tains th e results of a survey on y o u th m ade by th e F ederal, S ta te , a n d local
advisory com m ittees of th e N atio n al Y o u th A dm inistration.

Working with rural youth.
Y outh Com m ission.

113 pp.

P rep ared by E d m u n d de S. B ru n n er for American
W ashington, A m erican C ouncil on E d u catio n , 1942.

$1.20.

Tells th e sto ry of an experim ent, in selected areas w ith in a few S tates, to
d em o n strate all possible w ays by w hich S tate, county, an d local resources could
be used to solve some of th e problem s of ru ra l y o u th , including th a t of em ploym ent.
Youth and jobs: Young America rolls up its sleeves. P rep ared by D ouglas S.
W ard and E d ith M. Selberg for C om m ittee on E x p erim en tal U n its of N o rth
C en tral A ssociation of Colleges a n d S econdary Schools. N ew Y ork, Ginn
& Co., 1942. 102 pp., bibliographies, ch arts, illus. (U n it studies in A m eri
can problem s.) 60 cents.
P resents d a ta concerning rem u n erativ e em ploym ent of y o u th , for use as tex t
m aterial for th e in stru c tio n of high-school stu d en ts.

Addendum to industrial protection of youth.

London, C om m ittee on WageE arn in g C hildren, 1943. 6 pp.
Expresses concern over th e stra in on young persons of w orking u n d u ly long
hours— often in blind-alley jobs— an d recom m ends in q u iry in to th e conditions
u nder w hich th e y w ork in G reat B ritain . T he p am p h le t supplem ents th e
C o m m ittee’s re p o rt on “ In d u stria l p ro tectio n of y o u th ,” issued in 1940.

General Reports
The economic almanac for 1 9 f2 -f8 : A handbook of useful facts about business, labor
and government in the United States and other areas. N ew Y ork, N ational
In d u stria l Conference B oard, Inc., 1942.

Puerto Rico: A selected list of recent references.

523 pp.

$5.

C om piled by Ann D u n can Brown.
W ashington, L ib rary of Congress, D ivision of B ibliography, 1943. 44 p p .;
m im eographed.
References grouped u n d er economic an d social conditions include rep o rts on
lab o r m atters.

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Federal Reserve Bank of St. Louis

Recall Publications of Labor Interest

1257

Comercio interior y comunicaciones, año 1940 [Chile]. Santiago, Dirección G eneral
de E stad ística, 1942. 173 pp.
C on tains indexes of cost of living in Santiago a n d of cost of food in various
C hilean cities, a n d statistic s on w holesale a n d reta il prices, n u m b er of pilots an d
m echanics em ployed by th e N atio n al Air Line, em ploym ent in railw ay enterprises,
an d ag ricu ltu ral a n d in d u stria l production.

Censo general de población 5 de julio de 1938— resumen general del pais [Colombia\.
B ogotá, C o n tralo ria G eneral, D irección N acional de E stad ística, 1942. 195
pp., m aps, charts.
C ontains d etailed tab les w hich show th e in d u stria l p o p u latio n of Colom bia,
according to th e census of 1938, by p olitical division of th e R epublic, by in d u stry ,
by position in th e in d u stry (w hether owner, em ployee, laborer, professional m an,
etc.), an d by sex. A brief a n aly tical discussion of th e figures is included.
Desarrollo de la política social [Cuba], B y th e M inister of L abor. (In T rab ajo ,
M inisterio del T rab ajo , H ab an a, M arch 1943, pp. 307-318.)
Subjects covered in th is re p o rt include conciliation a n d a rb itra tio n , wages,
labor co n tracts, n u m b er of organized unions (by P rovince), a d m in istra tiv e
organization for th e im p ro v em en t of lab o r conditions, a n d existing a n d needed
legislation.

E l contrato de embarco en el Perú. By E d u ard o R osales P u en te.

(In Inform aciones
Sociales, C aja N acional de Seguro Social, Lim a, th ird q u a rte r 1942, pp.
237-263.)
Follow ing a list of th e n av ig atio n com panies a n d ty p es a n d num bers of vessels
of th e P eru v ian m erch a n t m arine, are d a ta as to th e personnel needed for each
ty p e of vessel, a su m m ary of legislation p ro tectin g seam en, a n d em ploym entc o n tra ct provisions concerning such m a tte rs as eligibility of em ployees to con
tra c t, wages, bonuses, w orking hours, overtim e, in d u stria l accidents an d com
pensation for them , p aid vacations, te rm in a tio n of co n tra c t, various benefits to
m em bers of seam en’s associations, etc.

Investigations in progress in the United States in the field of Latin American human
istic and social science studies. B y A lexander M a rc h a n t a n d C harm ion
Shelby. W ashington, L ib rary of Congress, H ispanic F o u n d atio n , 1942.
236 p p .; m im eographed. P relim in ary edition.
Includes studies in th e field of labor. T h e references are a rran g ed alp h ab e tically
by investigator, a n d are indexed by field of in v estig atio n a n d by c o u n try or
region.

Labor and Industry in Britain, No. 1.

N ew Y ork, B ritish In fo rm a tio n Services,
A pril 1943. it! pp. Free.
T his first n u m b er of a new periodical to be issued m o n th ly by th e B ritish
In fo rm atio n Services contains brief articles on absenteeism , B rita in ’s a rb itra tio n
trib u n al, an d new m anpow er controls; sta tistic s of unem ploym ent, wages, and
w orking hours; an d o th e r inform ation.

Labor in the U. S. S. R.

By M arg aret M iller.
L abor Legislation, 1942. 49 pp. 9d.

London, B ritish A ssociation for

Soviet workers in Germany— methods of recruitment and conditions of employment.
(In In te rn a tio n a l L abor Review, M ontreal, M ay 1943, pp. 576-590. 60
cents.)
A nalyzes G erm an regulations issued up to F e b ru a ry 1943 covering conditions
of em ploym ent, wages, savings, a n d m edical benefits to w hich civilian w orkers
tran sferred from occupied p a rts of th e U. S. S. R . for labor in G erm any are
theoretically en titled.


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Federal Reserve Bank of St. Louis

11. S. GOVERNMENT PR IN T IN G O F F IC E : 1943


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Federal Reserve Bank of St. Louis
Full text of Monthly Labor Review : June 1943, Vol. 56, No. 6

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