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MONTHLY REVIEW OF TH E U. S. BUREAU OF LABOR STATISTICS vol. m —n o . 5 WASHINGTON No v e m b e r , me CONFERENCE ON SOCIAL INSURANCE, DECEMBER 5 TO 9, 1916, W ASHINGTON, D. C., CALLED BY THE INTERNATIONAL ASSO CIATION OF IN DUSTRIAL ACCIDENT BOARDS A ND COMMIS SIONS. O R IG IN O F T H E C O N F E R E N C E ON SO C IA L IN S U R A N C E . This Conference on Social Insurance has been called by the Inter national Association of Industrial Accident Boards and Commis sions, a quasi official organization of the official bodies charged with the duties of administering compensation laws in the States of the Union and the Provinces of Canada. The paid membership up to date includes the Province of Ontario, Canada, and the following States: California, Iowa, Illinois, Maryland, Massachusetts, Michi gan, Minnesota, Montana, New Jersey, New York, Ohio, Oklahoma, Oregon, Texas, Washington, West Virginia, and Wisconsin. The character of this association gives to the forthcoming Confer ence on Social Insurance a peculiar importance and a more than semi official sanction. America has lagged behind Europe in the field of social insurance. The eyes of our reformers have gazed Europeward in search of guidance in this and other fields of social activity. The Ninth International Congress on Social Insurance was to have been held in Washington, D. C., September 27 to October 2, 1915. The war has not only prevented the holding of this muchneeded congress for considering social insurance problems, but it is now wholly unlikely that conferences and congresses can be arranged for under the direction of this organization for many years to come. Meanwhile our problems of administration and legislation clamor for consideration. We can not wait for the ending of the European war before we give consideration to these problems which press for solution. The International Association of Industrial Accident Boards and Commissions has therefore authorized this Conference on Social Insurance. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [545] 2 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. PU R PO SE. At this conference will be considered the merits, demerits, defects, and shortcomings in our workmen’s compensation laws; needed amendments extending the scope and adequacy of these laws; sick ness insurance, existing and proposed, in all its aspects; invalidity and old-age insurance, pensions, and retirement allowances ; mothers’ pensions and maternity benefits ; unemployment insurance ; and other matters relating to social insurance. It is not the purpose of this conference to adopt resolutions com mitting the conference to particular policies or methods. The rules governing international congresses heretofore held under the auspices of the International Permanent Committee on Social Insurance did not under any circumstances permit the presentation of resolutions committing such congresses to the advocacy of particular policies and methods for attaining desired ends. This rule should be stringently followed in this conference. Much time and consideration are needed to work out the best policies and methods. What is best for one State or section may not be the best for another State or section. It will be a sufficient accomplishment if the problems considered can be clearly defined and definitely stated for the information of legislators and administrators. If this desirable object is to be accomplished, the conference must avoid all resolutions prescribing particular ways and means of securing adequate protection to workers against the hazards of accident, sickness, invalidity, old age, and unemployment. M E M B E R S H IP . Membership in the Conference on Social Insurance is quite distinct from membership in the International Association of Industrial Ac cident Boards and Commissions. All members of State delegations, representatives of participating organizations, and individuals who register for the conference will be members of this Conference on Social Insurance. The governors of all the States and Territories in the Union have been invited to send delegates to represent the States and Territories, and in those States having industrial accident boards or commissions to send delegates to represent such bodies. A large number of governors have responded to this invitation and will send delegates. All organizations, both public and private, which are interested in social insurance may join the conference by paying $25 toward defraying the expenses of the conference. This fee entitles an organization to send delegates to the conference to participate in the discussions. In addition to the membership fee for organizations, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [546] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 3 an individual membership fee of $2 will be charged to all persons not members of State delegations or representing organizations who register as members of the Conference on Social Insurance. PROCEEDINGS. IP The proceedings of the conference will be published by the United States Bureau of Labor Statistics as a bulletin of that bureau. All who desire can secure this report by so indicating when they register or by writing directly to the United States Commissioner of Labor Statistics. D ISC U SS IO N S. It is important that as many as possible participate in the open discussions from the floor on the various topics to be considered. If members and delegates would come to the conference fully prepared to discuss intelligently and constructively the topics included in the program, no formal papers would be necessary. The shortness of the time of preparation for this conference makes it impossible to have the papers printed and distributed in advance of the meeting. However, each writer of a principal paper has been required to present a summary of his paper within 15 or 20 minutes. Each person scheduled for discussion will be limited to 10 minutes. Those who participate in the open discussions will be limited to 5 minutes. With these time limits rigidly enforced by the chairmen of the different sessions, considerable discussion from the floor should be forthcoming. In order to avoid the possibility of any clique or faction monopo lizing the time, those who wish to discuss a topic should send their names and connection to the chairman of the session during the meeting. O F F IC E R S OF THE IN T E R N A T IO N A L A SSO C IA T IO N O F BO A R D S A N D CO M M ISSIO N S. IN D U S T R IA L A C CID E N T D udley M. H olman, President, Winter Building, Boston, Mass. F eed. M. W ilcox , Vice President, Member, Wisconsin Industrial Commission, Madison, Wis. R o y a l M eeker , Secretary-Treasurer. United States Commissioner o f Labor Statistics, Washington, D. C. C O M M ITTEE ON SO C IA L IN S U R A N C E . Royal Meeker, Chairman, United States Commissioner of Labor Statistics. Dudley M. Holman. .T. B. Vaughn, Chairman, Industrial Board of Illinois. Fred. M. Wilcox, Member, Wisconsin Industrial Commission. Wallace I). Yaple, Chairman, Ohio Industrial Commission. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [547] 4 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. A D V ISO R S TO T H E C O M M ITTEE ON SO C IA L IN S U R A N C E . John B. Andrews, Secretary, American Association for Labor Legislation. William C. Archer, Deputy Commissioner, New York Bureau of Workmen's Compensation. F. Spencer Baldwin, Manager, New York State Insurance Fund. W. S. Barnaby, Editor, The Spectator, New York. Ralph M. Easley, Chairman, Executive Committee, The National Civic Feder ation. Henry W. Farnam, Yale University. A. Lincoln Filene, Wm. Filene Sons Company, Boston, Mass. Irving Fisher, Yale University. Lee K. Frankel, Sixth Vice President, Metropolitan Life Insurance Company. Samuel Gompers, President, American Federation of Labor. William J. Graham, Superintendent of Group Insurance, Equitable Life Assur ance Society. Frederick L. Hoffman, Statistician, Prudential Insurance Company of America. Florence Kelley, General Secretary, National Consumers’ League. Bruno Lasker, Assistant Secretary, New York Mayor’s Committee on Unem ployment. Julia C. Lathrop, Chief, United States Children’s Bureau. John Mitchell, Chairman, New York State Industrial Commission. Henry R. Seager, Columbia University. Ida M. Tarbell, Writer, New York. William H. Tolman, Director, American Museum of Safety. Lillian D. Wald, President and Head Worker, Henry Street Settlement. Mary Van Kleeck, Secretary, Committee on Women’s Work, Russell Sage Foundation. Albert W. Whitney, General Manager, National Workmen’s Compensation Service Bureau. LO C A L C O M M ITTEE ON A R R A N G EM EN T S. H enry J. H arris, Chairman, Chief, Document Division, Library of Congress. E thelbert S tewart, Chief Statistician, Bureau of Labor Statistics, Depart m ent of Labor. W alter S. U fford, Secretary, Associated Charities, D istrict of Columbia. C h a s . H. T errill, Editor, Bureau of Labor Statistics, D epartment of Labor. E rnest P. B icknell , Director General, D epartm ent of Civilian Relief, Ameri can National Red Cross. H erbert D. B rown, Chief, United States Bureau of Efficiency. J ohn J oy E dson, President, Board of Charities, D istrict o f Columbia. Mrs. A rchibald H opkins , Chairman, D istrict of Columbia Section of the 'Woman’s D epartment, Rational Civic Federation. Miss J ulia C. L athrop, Chief, Children’s Bureau, D epartm ent of Labor. Charles F. N esbit , Superintendent of Insurance, D istrict of Columbia. Miss H elen L. S umner , A ssistant Chief, Children’s Bureau, Department of Labor. B en ja m in S. W arren, Surgeon, Public Health Service. George S. W ilson , Secretary, Board of Charities, D istrict of Columbia. H E A D Q U A R T E R S. The conference headquarters and registration office will be on the tenth floor of the Hotel Raleigh, Pennsylvania Avenue and Twelfth https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [54S] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 5 Street NW. The office will be open from 9 a. m. to 8 p. m. Members and others attending the conference are requested to register as soon as possible after arrival. H O T E L S. •Members should reserve hotel accommodations as early as possible. This is imperative, because several conventions will be in session in Washington at the time of the conference. Requests for reservations should be addressed directly to the manager of the hotel selected. A selected list of boarding houses and smaller hotels will be on file at the registration office. The city, congressional, and other di rectories will also be available. Mail and telegrams, however, should be directed in the care of the hotel at which members are stopping. T R A N S P O R T A T IO N . All trains arrive at the Union Station, where street cars may be taken which will pass directly by the principal hotels. The car starter at the station will give directions as to the best way of reaching the hotels. TENTATIVE PROGRAM. WORKMEN’S COMPENSATION. Tuesday , December 5. 10 A. M. Chairman, D udley M. H olman, President I. A. I. A. B. C. I. Merits and demerits of different forms of administration : 1. The industrial commission system_______________________ J. D. Beck Chairman, Industrial Commission of Wisconsin. 2. The industrial accident board system_________ ___Frank J. Donahue Chairman, Industrial Accident Board of Massachusetts. 3. The district system--------------------------------------------- George B. Chandler Member, Workmen’s Compensation Commission of Connecticut. 4. The Pennsylvania system________________________ Harry A. Mackey Chairman, Workmen’s Compensation Board of Pennsylvania. 5. The Canadian system---------- :------------------------------- George A. Kingston Commissioner, Workmen’s Compensation Board of Ontario. Discussion-----------------------------------------------------------------------Wallace D. Yaple Chairman, Industrial Commission of Ohio. 2 P. M. Chairman, .T. D. B eck, Chairman, Industrial Commission of Wisconsin. II. Merits and demerits of different methods of carrying workmen’s compensa tion insurance: 1. Casualty companies— ,T. Scofield Rowe, Vice President, Aetna Life Insurance Co., Edson S. Lott, President, United States Casualty Co. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [549] 6 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 2. Self insurance------------------- ------------------------------------ Dudley Kennedy Director of labor department, B. F. Goodrich Co., Akron, Ohio. 3. Employers’ mutual associations__________________ Walter S. Bucklin President, Massachusetts Employees’ Insurance Association. 4. Competitive State funds------------------------------------- F. Spencer Baldwin Manager, New York State Insurance Fund. 5. State monopoly : T. J. Duffy, Member, Industrial Commission of Ohio. ’’William A. Marshall, Chairman, Industrial Accident Commission of Oregon. *E. W. Olson, Chairman, Industrial Insurance Commission of Wash ington. 6. Shortcomings of competitive plan of State insurance in workmen’s compensation--------------------------------------------------------- W. W. Greene' Actuary, Industrial Commission of Colorado. Discussion : C. H. Crownliart, former Chairman, Industrial Commission of Wisconsin. A. L. Allen, Assistant Manager, Pennsylvania Workmen’s Insurance Fund. 8 P. M. Chairman, George A. K ingston , Commissioner, Workmen’s Compensation Board of Ontario. III. Compensation schedules of awards: A. J. Pillsbury, Chairman, Industrial Accident Commission of California. P. Tecumseh Sherman, Attorney, New York, N. Y. Albert W. Whitney, General Manager, National Workmen’s Compensation Service Bureau. Discussion--------------------------------------------------------------------- S. Herbert Wolfe Consulting Actuary, New York, N. Y. It'. Lump-sum settlements : William C. Archer, Deputy Commissioner, New York State Bureau of Workmen’s Compensation. * Robert E. Grandfield, Secretary, Industrial Accident Board of Massa chusetts. Discussion. Wednesday, December G. 9.30 A. 31. Chairman, F rank J. D onahue , Chairman, Massachusetts Industrial Accident Board. Y. Basic principles of rate making: Walter G. Cowles, Vice President, Travelers’ Insurance Co. Leon W. Senior, Manager, New York Compensation Rating Board. “ Experience ” or “ morale ” rating as compared with merit rating, David S. Beyer, Massachusetts Employees’ Insurance Association. Discussion. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * To be read by title. [550] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 7 VI. Accident prevention in connection with workmen’s compensation : Will J. French, Member, Industrial Accident Commission of California. H. M. Wilson, Department of Inspection and Safety, The Associated Companies, Pittsburgh, Pa. Discussion : Victor T. Noonan, Director of Safety, Industrial Commission of Ohio. Lewis T. Bryant, Commissioner of Labor, New Jersey. 2 P. M. Chairman, Hon. W illiam B. W ilson , Secretary of Labor. IVII. Medical services and medical and hospital fees under workmen’s compen sation : F. M. Williams, Chairman, Workmen’s Compensation Commission of Connecticut. Dr. Francis D. Donogliue, Medical Adviser, Industrial Accident Board of Massachusetts. ,VIII. Physical examination and medical supervision of employees: J. P. White, President, United Mine Workers of America. Dr. W. Irving Clark, Norton Co., Worcester, Mass. Dr. W. H. White, Chief Medical Examiner, Industrial Commission of Ohio. Discussion___________________________________ Surg. J. W. Schereschewsky United States Public Health Service. IX. Permanently disabled workers : The problem of the handicapped man_______________ Dudley M. Holman President I. A. I. A. B. C. Discussion______________________________________________ Fred C. Croxton Ohio Institute for Public Efficiency. 8 P. 31. Chairman, F. M. W illiam s , Workmen’s Compensation Commission of Connecticut. X. Defects and suggested changes in workmen’s compensation laws: I. Railroad employees. 2. Excluded employments. (1) Agriculture. (2) Domestic service. (3) Nonhazardous employments. (4) Numerical exemptions. 3. Waiting time. 4. Permanent disabilities. Prof. Willard C. Fisher, New York University. Discussion : Prof. John R. Commons, University of Wisconsin. W. S. Carter, President, Brotherhood of Locomotive Firemen and Enginemen. F. H. Bolden, Attorney, Pennsylvania Department of Labor and Industry. XI. Occupational diseases : Frederick I,. Hoffman, Statistician, Prudential Insurance Co. Dr. George E. Tucker, Riverside (Cal.) Portland Cement Works. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [551] 8 M O N TH LY BEVIEW OF TH E BUREAU OF LABOR STATISTICS. S IC K N E S S (H E A L T H ) B E N E F IT S A N D IN S U R A N C E . Thursday , December 7. 0.30 A. M. Chairman, Dr. W illiam J. Iverby, Professor of Sociology, Catholic University. I. Existing agencies------------------------------------------------------- Edgar Sydenstricker United States Public Health Service. • 1. Trade-unions— George W. Perkins, President, Cigarmakers’ International Union. John P. Frey, Editor, International Molders’ Journal. 2. Establishment funds— *George A. Hanney, International Harvester Co. E. B. Hunt, Pennsylvania Railroad Co. 3. Mutual-benefit funds------------------------------------------------- ___Abb Landis National Fraternal Congress. 4. Health insurance— Rufus M. Potts, Insurance Superintendent of Illinois. W. G. Curtis, President, National Casualty Co. Discussion. 2 P. M. Chairman, Dr. C harles P. N eill, Manager, Bureau of Information, Southeastern Railv^iys. II. Proposed legislation for sickness (health) insurance. Dr. John B. Andrews, Secretary, American Association for Labor Legis lation. III. Some problems of sickness insurance for women_______ Mary Van Xvleeck Russell Sage Foundation. IV. How should the State deal with existing systems of sickness (health) insurance?------------------------------------------------------------------ Lee K. FrankeJ Sixth Vice President, Metropolitan Life Insurance Co. Discussion : Paul Scharrenberg, Secretary, California Federation of Labor. Prof. J. P. Chamberlain, Columbia University. Mrs. Florence Kelley, General Secretary, National Consumers’ League. 8 P. M. Chairman, H arry A. Mackey, Chairman, Workmen’s Compensation Board of Pennsylvania. V. Medical benefits (services) under proposed sickness (health) insurance legislation. Dr. Michael M. Davis, Director, Boston Free Dispensary. Discussion : Dr. Richard C. Cabot, Harvard Medical School, Cambridge, Mass. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * To be read by title. M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 9 IN V A L ID IT Y A N D OLD A G E IN S U R A N C E , P E N S IO N S , A N D R E T IR E M E N T A LL O W A N C E S. Friday , December 8. 9.30 A. M. Chairman, Dr. E dward T. D evine , Columbia University. I. Existing agencies: 1. Public employees____________ ____________________Herbert D. Brown Chief, United States Efficiency Bureau, Washington, D. C. 2. Trade-union benefit funds________________________ Marsden G. Scott President, International Typographical Union. 3. Transportation and other private employers— Miles M. Dawson, Consulting Actuary, New York, N. Y. *J. B. Erskine, Manager, United States Steel and Carnegie Pension Fund. Discussion___________________________________________________ Wm. Green Secretary-Treasurer, United Mine Workers of America. II. Compulsory invalidity and old-age insurance, pensions, and retirement allowances____________________________________ Magnus W. Alexander General Electric Co. Discussion. SO C IA L IN S U R A N C E A P P L Y IN G E S P E C IA L L Y TO W O M EN . 2 P. M. Chairman, E rnest P. B icknell, Director of Civilian Relief, American Red Cross. I. Mothers’ pensions: 1. The theory of mothers’ pension legislation_____ Sherman C. Kingsley City Club, Chicago, 111. 2. Experiences in administration: Mrs. H. Otto Wittpen, President, New Jersey State Board of Children’s Guardians. William H. Matthews, Director, New York Department of Family Welfare. Judge E. E. Porterfield, Juvenile Court, Kansas City, Mo. Discussion_________________________________________ Mrs. Davis R. Dewey Member, Massachusetts Board of Labor and Industry. II. Maternity benefits__________________________________ Dr. Henry J. Harris Library of Congress, Washington, D. C. Discussion. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * To be read by title. [553] 10 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 8 P. M. Chairman, D udley M. H olman, President, I. x\. I. A. B. C. Address by President Woodrow Wilson. Address by Hon. William B. Wilson, Secretary of Labor. Address by Samuel Gompers, President, American Federation of Labor. Saturday , December 0. 9.30 A. M. Chairman, W allace D. Y aple, Chairman, Industrial Commission of Ohio. I. Unemployment insurance: Bruno Lasker, Assistant Secretary, Mayor’s Committee on Unemploy ment, New York City. Miss Olga Halsey, American Association for Labor Legislation. II. Group insurance_______________________________________ William A. Day President, Equitable Life Assurance Society. III. Massachusetts savings bank life insurance system_______ Miss A. H. Grady Financial Secretary, Massachusetts Savings Insurance League. Discussion. REPORT OF WORKMEN’S COMPENSATION COMMITTEE OF BRITISH COLUMBIA.1 A committee was appointed on September 27, 1915, for the pur pose of investigating in the United States and eastern Canada, on behalf of the Government of British Columbia, “ the operations of modern systems of workmen’s compensation laws.” This commit tee made its report on March 1, 1916,'after having visited the States of Washington, Oregon, California, Wisconsin, Ohio, New York, and Massachusetts, and the Provinces of Ontario and Nova Scotia. A number of hearings were held and much evidence was taken, in addition to interviews had with the members and officials of the com missions or boards charged with the administration of the compensa tion laws in the several States visited. Hearings were also held at Vancouver, B. C. I t is interesting to note that prior to 1911 a number of the Cana dian Provinces had compensation laws, the type and method of the law being clearly modeled after the British pattern. In 1914, how ever, the Province of Ontario passed a law much more closely re1 British Columbia. Report of the Committee of Investigation on Workmen’s Compen sation Laws. Victoria, B. C., 1916. 21 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [554] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 11 sembling tlie legislation of the United States on this subject, Nova Scotia following in 1915. It is this fact that gives significance to the visits of this committee to these two Provinces only. The report of the committee of British Columbia is very brief and compact, being printed on some 18 or 20 quarto pages. The first item taken up is that of the exceptions in the treatment of railway industries found in the Ontario law, that law having retained for such industries the principle of individual liability as distinct from the main system provided for compensation of in jured employees in industry generally. It was noted that the later law of Nova Scotia rejected this distinction, and this step was ap proved by the present committee, both because of the resultant uniformity and the belief, based on its own investigations both in Ontario and in the States visited, “ that any such departure from the general principle adopted by the bill would sooner or later lead to unsatisfactory results,” The railroads were found to be willing to accept the same treatment as other industries, provided there should be a schedule classification for the determination of premium rates that would allow the better equipped and inspected roads such advantages as might accrue to them from these facts. Considerable emphasis is placed upon the importance of medical aid. The 1915 legislature of British Columbia had had before it the draft of a bill based on the provisions; of the Ontario act, which was in turn largely an adaptation of the statute of the State of Washing ton. Of this it was said that after four years’ experience “ both em ployers and employees concur in saying that it has, with one excep tion, generally proved to be a most satisfactory piece of legislation,” That exception is the omission of any medical-aid provision as such, said to be due to disagreement between employers and labor interests as to satisfactory terms. The laws of the Provinces visited are like wise defective, but all the States, except Washington, to which the commission went “ have medical-aid provisions, most of them very adequate provisions, and operating with a great degree of satisfaction both to employers and workmen. * * * It was everywhere im pressed upon the minds of the members of the committee the very great value of this service,” chiefly by way of preventing trifling injuries from developing into serious disabilities and infections, even resulting in the amputation of members. The committee therefore recommended medical, surgical, and hospital treatment without limi tation, but directed that employers retain 1 cent per working day from the wages of all employees as a contribution to the cost of this service. Coupled with this provision is one for a waiting period of three days for which no compensation is to be paid at any time, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [555] 12 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. though medical benefits are to be paid in all cases from the time of the accident. As to the length of this waiting period it was said that “ Experience covering a large number of cases in different coun tries has shown that only about 30 per cent of all accidents result in a disability of over 14 days. It is thus quite apparent to anyone who considers this fact that a waiting period of two weeks, or even of seven days, withholds a very large amount of money in the aggregate from injured workmen and must result in a distinct hardship to the lower-waged workmen.” The committee also rejected the method of the two-week waiting period, compensating for the full time if the disability extends beyond the fourteenth day. Great satisfaction was expressed on account of the unanimity with which the recommenda tions of the committee on these points were approved by representa tives of employers and workmen. The next item taken up by the report is the subject of safety and accident prevention. It was felt that this subject should be given a very prominent place as an essential element in an adequate compen sation system, in order that conditions may be brought about which would tend to the reduction of industrial accidents. “ Laws which provide for the taxation of industry to furnish compensation for the victims of industrial accidents irrespective of fault are commendable and desirable, but laws which will prevent the happening of such accidents are of more vital importance.” The system that met the most cordial approval of the committee was that in use in the State: of Wisconsin, by which a commission charged with the administra tion of the workmen's compensation law also has power to make safety orders or accident-prevention rules and see that they are car ried into practice. It was recommended therefore that the admin istrative commission for the proposed compensation act be granted similar authority, centralizing inspection and accident-prevention work with the beneficial activities of relief work. The subject most fully discussed in the report is that of insurance, and specifically the question of “ State-administered insurance versus casualty companies.” “ For the purpose of ascertaining at first hand the actual experience on this subject which might be helpful in forming a correct conclusion, we not only visited States having an exclusive State insurance fund, but included in our investigations States where the law as enacted gave casualty insurance companies a free field, as well as States where these companies have been per mitted to operate in competition with the State insurance fund, or in competition with mutual companies which have been encouraged or fostered more or less by the State.” The exclusive State insurance system of Washington “ has been in operation four years, and the total cost of its administration has averaged T.8 per cent of the total https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [556] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 13 contributions. We found that representative employers and the representatives of organized labor in Washington concur in express ing satisfaction with this system of administration.” The reason for the failure of other States to accept this method of insurance was found largely to be “ in the strenuous opposition of casualty insur ance companies,” which “ by bringing their enormous influence to bear succeeded in most instances in preventing the enactment of an exclusive law.” In Ohio it was found that the operation of the State fund was practically exclusive, while the efforts of the stock compa nies to secure a wider range of activities were “ unanimously opposed by the Ohio Manufacturers’ Association and by the representatives of organized labor before the Ohio Legislature, and the insurance com panies failed to secure the amendment of the law. * * * The rates of premium under the State fund are only about one-third as much as those charged by the casualty companies in their Ohio manual of rates. * * * The representatives of organized labor who appeared before us in Ohio stated that the satisfaction to them of the operation of the present system is a marked contrast to their experience when casualty companies were an active element in the industrial system. In view of these facts, the joint and vigorous opposition of employers and employees to the proposed amendment of the Ohio law is readily understood.” The experience under the elective law of Oregon was likewise held to be an ample justification of the method of State-administered insurance. “ In comparing this experience with that of the State of Wisconsin, where free competition of insurance companies is per mitted, we are told that it cost Wisconsin employers insuring in stock companies in 191-1 an average of $2.07 to place $1 of benefits in the hands of injured workmen, while in Oregon it only cost $1.13; a total saving on the year’s business in Oregon of $351,522.44 as com pared with the Wisconsin method.” It was said that “ in California, where the competition of casualty insurance companies with the State fund has been encouraged rather than otherwise,” it had been found that this competition saddled a great amount of expense on the business, and ultimately on the employer. The Wisconsin statute made no provision for a State-administered system, but competition with the stock companies is offered by the mutual insurance companies of the State. On the enactment of the compensation law in 1911, the stock companies “ advanced their rates for compensation insurance on an average more than two and a half times those of the ‘liability’ insurance for employers who rejected the act,” the statute being elective in form. The report states that “ Out of every dollar contributed to mutual insurance in Wisconsin 65847°—16 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis o [557] 14 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 75 cents goes to the injured workman, while in the stock companies only 48 cents of every dollar paid by the employer reaches the work man, the balance being consumed in acquisition costs, overhead expenses, and profits to shareholders. * * * If the premiums at present paid by employers in Wisconsin were administered at an expense not exceeding the average of the exclusive State funds, the workmen would receive $22.50 for every $12.59 he gets now. The element of private profit in this branch of insurance has been found in Wisconsin to be not only an economic evil, but an obstruction also to the proper administration of the law.” The committee considered also the State insurance fund of New York and the Massachusetts Employees’ Insurance Association, both of which are operated in competition with stock companies. The chairman of the committee summed up the results of the investigation in the following language: u I believe that the ultimate solution of the troubles and evils of compensation insurance is for the State to take over the business, either directly through a State fund or indirectly by participating membership in a company like the Massachusetts Employees’ Insurance Association.” The committee was therefore unanimous in its recommendation for an exclusive State-administered fund. Such a system would in our opinion not only save the em ployers of this Province an immense amount of money, but would con tribute greatly to the success of the act as a whole by eliminating many undesirable features usually attendant on the competitive company system.” Ih e next subject discussed is that of the scale of compensation, which the committee felt must be adequate to support dependents in the Province without allowing them to become objects of charity. 1 he committee recommended a flat-rate scale for death benefits and that u a minimum be fixed of at least $5 per week payable to workmen who are totally disabled.” I t also recommended that provision for compensation for industrial diseases be made on the basis of the provisions of the English Workmen’s Compensation Act. An administrative commission or board was strongly recommended for the sake of competent and economical administration, and for these reasons also a continuing body with long individual terms of service was urged. The term of service recommended was 10 years, appointments being arranged so that at least two experienced members should be on the board. It may be noted that in Nova Scotia and Ontario appointments are for service during good behavior, subject to the provision that members retire automatically on reaching the age of 75 years. These extended terms of service naturally provide for continuity of policy and the development of experienced admin istration a suggestive fact, especially in view of the statement by https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis £558] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 15 the Louisiana commission (1911) to the effect that it “ has not thought it safe to advise the adoption of any State insurance, for the reason that the intricacies of insurance business require a permanence of management and a degree of skill inconsistent with the changes inherently a part of our political system.” Brief attention was given to the question of placing the cost of administration. The employers were practically unanimous in asking that this be paid by the Government from the consolidated revenue fund of the Province, the only opposition noted being that of the insurance companies. It was stated that throughout the United States administrative costs were generally paid by the State, and in view of the widely distributed benefits anticipated, it was recom mended “ that a substantial portion of the cost of administration be assumed by the Government.” The law as enacted authorizes annual appropriations as directed by the lieutenant governor in council in amounts not exceeding $50,000 as a contribution to administration costs. Other matters of subordinate interest are discussed, of which per haps but one need be noted; that is, the recommendation that no right of appeal to the courts be allowed from the rulings of the work men’s compensation board. It was thought that while a limited appeal would probably result in no serious disadvantage the com mittee was “ equally convinced from a consideration of the evidence before us that an appeal is not necessary for the proper administra tion of the act.” The bill which received approval as a law on May 31, 1916, was in substantial accord with the recommendations of the committee. WORKMEN’S COMPENSATION LAW OF BRITISH COLUMBIA, 1916. As stated in the foregoing report of the activities and conclusions of the investigative commission, the legislature of British Columbia enacted a law, approved May 31, 1916, establishing a “ modern sys tem ” of compensation for the Province. The act provides that it shall be in effect January 1, 1917. An earlier act, bearing date of June 21, 1902, was repealed. This act was on the well-known pattern of the British law, of rather restricted application, and limiting payments to a sum equal to three years’ earnings in case of death, while weekly payments for dis ability were not to exceed an aggregate of $1,500. The present ant resembles the statute of Ontario in following quite closely the law of the State of Washington in a number of important features. It departs from the Washington statute, however, in providing https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [559] 16 M O N TH LY REVIEW OF TILE BUREAU OF LABOR STATISTICS. medical benefits, and incorporates also the safety and accident-pre vention provisions which were specially impressed upon the com mission during its visit to Wisconsin. The act is of very general in clusiveness, is compulsory in form, and requires all employers affected by it to insure in a provincial accident fund. That the Province proposes to make its system of compensation entirely complete within itself is further evidenced by the fact that the entire determination of disputes is vested in the board provided for by the act, without any appeal whatever to the courts. A three days’ waiting time is provided, for which no payment is to be alloAved at any time, industrial diseases are compensated for, classi fications of industries are made by the act, A\dth authority in the board to create neAv classes, determine assessments, modify rates, make special assessments in case of deficit, etc. The entire cost of compensation is on the employer, but he is required to deduct from the Avages of his employees 1 cent for each day’s work, this amount to go to the medical-aid fund. Death benefits are in fixed monthly sums, $20 for a widoAV or in valid widower and $5 each for children under 16 years of age, the total not to exceed $10. Orphan children receive $10 each, with the same limitation as to the total. Other dependents are also provided for, either in connection with the foregoing or standing alone, but no monthly aggregate may exceed $40. Total disability is compen sated during its continuance by the payment of 55 per cent of the workman’s earnings, but not less than $5 per week, unless the earnings Avere less, when the compensation shall equal the amount of the earn ings. Partial disability is compensated on the basis of the wage loss. Payments to a widow or inA^alid widower cease on remarriage, the former being entitled to tAvo years’ benefits as a lump-sum pay ment. Payments to children cease on their attaining the age of 16 J^ears, except in case of invalidity. The board of three members is to be appointed for terms of 10 years, and has power to inspect premises, determine upon safety devices and methods, make rules and regulations, establish safety museums, etc. CONCILIATION WORK OF THE DEPARTMENT OF LABOR, SEPTEMBER 16 TO OCTOBER 15, 1916. The organic act of the Department giATes the Secretary of Labor the authority to mediate in labor disputes through the appointment, in his discretion, of commissioners of conciliation. During the month September 16 to October 15, 1916, the Secretary exercised his good https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [560] 17 M O NTHLY REVIEW OF TH E BUREAU OF LABOR STATISTICS. offices in nine labor disputes. The companies involved, the number of employees affected, and the results secured, so far as information is available, were as follows : NUMBER OF LABOR DISPUTES HANDLED BY TIIE DEPARTMENT OF LABOR THROUGH ITS COMMISSIONERS OF CONCILIATION, SEPT. 16 TO OCT. lu, 1910. W orkm en affected. Name. . 1 Directly. ! Indirectly. ! I Strike of p o ttery workers, E a s t Liverpool, Ohio......................................... Controversy, m iners and sm elters, D ucktow n, T e n n ................................ Strike of m achinists, 5 shops, Greenfield, M ass................... ........................ Strike of cigar m akers, D etroit, M ich.............................................................. Strike of p a tte rn m akers, D etroit, M ieh......................................................... Strike, Alva Carpet Mills, P h ilad elp h ia......................................................... Strike of m etal polishers, Colts F ire A rm s Co., H artford, Conn, (reopened) .......................................................................................................... Lockout, Southern Saddlery Co., Chattanooga, T en n ............................... Threatened strik e of shopm en, New Y ork, O ntario & W estern K. K., Afid dietow n. N_ Y ______ ____ ___. ______________ 734 1 ,2 0 0 500 50 0 .0 0 0 203 08 • 45 ! Result. Pending. Do. A djusted. Pending. Do. Do. Do. Do. 1 Cases noted as pending in statement of September 15 have been disposed of as follows: Controversy between the Cincinnati, Indianapolis & Western Railway and the Brotherhood of Railway Carmen, Cincinnati, Ohio ; adjusted. Textile controversy, Shamokin, Pa. ; adjusted. Lockout of freight handlers, Chicago, 111. ; adjusted. WORK OF STATE AND M UNICIPAL EMPLOYMENT BUREAUS IN THE U NITED STATES AND OF PROVINCIAL EMPLOYMENT BUREAUS IN CANADA. In the following table data are presented for September, 1915, and September, 1916, relative to the operations of public employ ment offices. Information is furnished for the United States for State employment bureaus in 14 States, municipal employment bu reaus in 7 States, a State-city employment bureau in 1 State, and a city-private employment bureau in 1 State. Data are also furnished for 2 Canadian provincial employment bureaus. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1561] 18 M O N TH LY REVIEW OF TH E BUREAtT OF LABOR STATISTICS. O P E R A T IO N S O F PU B L IC E M P L O Y M E N T O F F IC E S , S E P T E M B E R , 1915 AN D 1916. U N ITED STA TES. S ta te a n d city . California (m unicipal): Berkeley— Septem ber, 1915.................................. Septem ber, 1916.................................. Sacram ento— Septem ber, 1915................................... Septem ber, 1916.................................. California (State): O akland— Septem ber, 1916...... ........................... Sacram ento— Septem ber, 1916......................... ......... San Francisco— Septem ber, 1916.................................. Total: Persons applying for Vi ork. A pplica Persons tions from asked for em ploy b y em ployers. New reg Renew ers. istrations. als. Persons referred to posi tions. Positions filled. 445 287 166 198 166 198 ) ) 342 332 342 332 139 1S7 ) (!) 0 Illinois (m unicipal): Chicago— Septem ber, 1916.................................. In d ia n a (State): E vansville— Septem ber, 1915.................................. Septem ber, 1910.................................. F o rt W avne— Septem ber, 1915.................................. Septem ber, 1916................................... S outh B end— Septem ber, 1915................... '.............. Septem ber, 1916.................................. Total: Sftptp.mber, 1915....................... 85 57 342 332 78 67 0 0 801 846 1,285 536 0 ) 1 ,1 2 1 655 1,583 944 0 ) 1,4.50 1,322 1,513 3,735 2,764 (!) 3,207 2,572 508 26,308 50S 25,225 C onnecticut (State): B ridgeport— Septem ber, 1915.................................. Septem ber, 1910.................................. H artford— Septem ber, 1915................................... Septem ber, 1916...............................*New H aven— Septem ber, 1915.................................. Septem ber, 1916....................... ........... N orw ich— Septem ber, 1915.................................. Septem ber, 1916.................................. W aterb u ry — Septem ber, 1915.................................. Septem ber, 1916.................................. Total: Colorado (S tate): Colorado Springs— Septem ber, 1915.................................. Septem ber, 1916.................................. D enver No. 1— Septem ber, 1915.................................. Septem ber, 1916.................................. D enver No. 2— Septem ber, 1915.................................. Septem ber, 1916................................... P ueblo— Septem ber, 1915.................................. Septem ber, 1916.................................. Total: 166 207 0 (l) ) 0 0 ) ) C1) C1) 417 852 ) ) 0 ) (!) 0 0 ) ) 0 C1) ) 508 725 ) ) (r) C1) 0 ) 0 C) ) 357 7(35 ) ) 0 ) ) ) ) 0 ) (!) 448 973 (!) 0 ) 644 941 0 0 478 918 0 0 119 217 0 ) (») 0 0 214 207 (■) 0 ) 0 0 « 0 0 0 105 ) ) 202 154 140 (!) C1) 1,541 2, (390 (B 0 ) 857 135(5 (D 610 0 0 ) ) 0 D) 0 ) 3 90 612 (>) 410 (!) « 0 ) ) 0 0 ) ) 254 462 (>) 370 0 0 0 0 ) ) 200 (>) 944 0 0 983 ) (!) 803 ) 582 « ) 385 (D ) 263 0 ) (*) 862 0 ) 302 212 203 (i) 2,092 1,520 (»> 580 232 200 18 580 900 161 453 161 453 80 90 42 40 502 161 453 288 359 468 520 374 380 81 43 455 420 447 381 211 457 707 598 349 91 43 401 361 367 311 1,056 1,283 1,145 237 (») 1 N o t reported. 2 In clu d in g d a ta for S tate em ploym ent offices, w hich were n o t e stablished u n til J a n u a ry , 1916. s N o t rep o rted for males. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [562] M O N TH LY REVIEW OE TH E BUREAU OF LABOR STATISTICS. 19 O P E R A T IO N S O F P U B L IC E M P L O Y M E N T O F F IC E S , S E P T E M B E R , 1915 AN D 1916— Contd. U N ITED STA TES—Continued. S tate a n d city . Persons applying for w ork. A pplica Persons tions from asked for em ploy b y em ployers. New reg R enew ers. als. istrations. Persons referred to posi tions. Positions filled. 37 123 93 Iow a (S tate): Des Moines— Septem ber, 1916.................................. K ansas (S tate): T opeka— Septem ber, 1915................................ Septem ber, 1916.................................. 36 C) (l) 113 737 T otal: Septem ber, 1915....................... Septem ber, 1916....................... 8 3 18 36 13 27 132 290 595 373 1,057 595 186 243 109 109 113 737 324 904 113 737 113 737 299 980 222 Q) 3 3,706 3 3,519 1,663 1,450 2 12 18 C) (l ) 3 78 3 116 67 107 2 4SI 691 (l ) (l) 3 3 1,391 1,824 884 1,135 2 2 537 594 (*) (') 3 3 1,150 1,443 655 744 3 6,325 3 6,902 3,269 3,436 (') 135 135 C1) 81 81 91 136 93 146 809 1,182 1,052 1,601 2 752 1,064 929 1,419 i M ichigan (S tate): B attle Creek— Septem ber, 1916................................. B ay C ity— Septem ber, 1916.................................. D e tr o itSeptem ber, 1915.................................. Septem ber, 1916.................................. F lin t— Septem ber, 1915.................................. Septem ber, 1916.................................. Grand" R apids— Septem ber, 1915.................................. Septem ber, 1916.................................. Jackson— Septem ber, 1915.................................. Septem ber, 1916.................................. Kalam azoo— Septem ber, 1915.................................. Septem ber, 1916.................................. Lansing— Septem ber, 1916................................. Muskegon— Septem ber, 1916.................................. Saginaw — Septem ber, 1915.................................. Septem ber, 1916.................................. (') 2,275 2,783 2 I 78 228 43 163 C1) 602 I 1) 5,216 ) 404 O) 806 0 2 2 1 146 4 81 4 4 846 1,240 1,259 1.910 2,543 T o tal: Septem ber, 1915....................... Septem ber, 1916....................... (’) 5,549 0 ) (') I 1) 4,680 3,620 4,080 C1) 4 778 C1) (l ) 0 ) 778 398 778 I 1) 457 0 ) 993 4 4 884 874 (!) 0 ) 0 ) 852 867 852 ) 396 0 ) 898 4 612 768 0 ) (■) 0 4 ) 755 564 749 I 1) 350 0 ) 514 4 4 398 490 (l ) O) C1) 490 39S 490 69 270 4 233 <‘) 217 217 64 285 4 214 0 ) 212 201 4 4 761 741 I 1) 0 ) ) 741 701 741 (>) 8,941 0,008 8,924 0 0 ) (') 171 1 ,0 1 2 0 I . - . . . . .................. 1 1 Not reported. 2 Number who were registered. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12 35 ............... M assachusetts (S tate): B oston— Septem ber, 1915.................................. Septem ber, 1916.................................. F a ll R iver— Septem ber, 1915.................................. Septem ber, 1916.................................. Springfield— Septem ber. 1915.................................. Septem ber J 1916.................................. W orcester— Septem ber, 1915.................................. Septem ber, 1916.................................. Total: Septem ber, 1915....................... Septem ber, 1916....................... 16 35 15 32 K e n tu ck y (city-private): Louisville— Septem ber, 1915 Septem ber, 1916.................................. K e n tu ck y (S tate): Louisville—■ Septem ber, 1915.................................. Septem ber, 1916.................................. 114 220 3 Number of offers of positions. 4 Number applying for work. [563] 20 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. O P E R A T IO N S O F PU B L IC E M P L O Y M E N T O F F IC E S , S E P T E M B E R , 191.5 A N D 1916— Contd. U N ITED ST A TES—C ontinued. S tate a n d city . M innesota (S tate): D u lu th — Septem ber, Septem ber, M inneapolis— Septem ber, September) St. P au l— Septem ber, Septem ber, Persons applying for w ork. Applica- Persons tionsfrom asked for employ- b y emers. ployers. New reg- Renewistrations als. 1915.................................. 1916.............................. 0 0 ) ) 0 0 ) ) 1915.................................. 1916.......................... (>) (') 0 6 ) ) 1915... 1916.................................. 0 Total: Septem ber, 1915....................... Septem ber, 1916....................... N ew Y ork (m unicipal): N ew Y ork City— Septem ber, 1915.................................. September) 1916............................ New Y ork (S tate): A lbany— Septem ber, 1915................. Septem ber, 1916.................................. B rooklyn— Septem ber, 1915.......................... Septem ber) 1916.................................. Buffalo— Septem ber, 1915.............................. Septem ber, 1916............ Rochester— Septem ber, 1915............ Septem ber, 1916.......... Syracuse— Septem ber, 1915.. . Septem ber, 1916............ 0 ) ) 1,246 (') (l) 4,586 4,547 ) (>) v; C1) C1) 0 ) ) C1) (*) 0 0 0 0 250 300 336 513 560 700 2,167 944 2,530 1,996 2,163 246 597 336 864 605 536 663 1,335 1,149 1,911 531 982 0 ) ) (!) (*> 300 340 282 298 ) ) 1,605 3,486 2 ,053 198 277 477 790 258 435 1,935 1,081 669 504 1,449 2,025 691 1,185 757 1,966 754 1,264 192 72 778 1,831 569 1,421 822 1,058 1.806 1)681 1,093 890 164 343 1,371 1,550 918 9S0 553 1,038 740 1,420 841 713 108 145 843 1,146 594 734 6,583 3,745 6,80S 0 0 1915........ 1916............... 0 ) ) 1,803 1,853 0 ) ) 1,487 1,840 1915..................... 1916............... 0 0 ) ) 6,986 7,928 1915................... 1916....................... 0 0 ) ) 1,951 2,612 977 924 2,354 2,050 1915..................... 1916......................... (') 0 ) 1,189 1,182 921 670 1,286 1,006 1915.......................... 1916......................... . 0 0 ) ) 4,001 4,338 2,797 1,362 0 0 ) ) 1,107 1,185 878 584 0 Total: Septem ber, 1915............... Septem ber, 1916....................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 2,369 2,060 ) ) C1) (l ) 0 1 ) ) 0 0 1915............ 1916................. 1915.............................. 1916.................................. 0 0 ) C1) Total: Septem ber, 1915........ Septem ber, 1916........... Ohio (State-city): A kron— Septem ber, Septem ber, C incinnati— Septem ber, Septem ber, Cleveland— Septem ber. Septem ber, Columbus— Septem ber, Septem ber, D ayton — Septem ber, Septem ber, Toledo— Septem ber, Septem ber) Y oungstow n— Septem ber, September) 1,029 1,241 0 ) (*) 0 Positions lilled. (') « (*) (1) ) (l) M ontana (m unicipal): B u tte — Septem ber, 1915.................................. Septem ber, 1916........................... Persons referred to positions. N o t reported. [564] 715 1,388 1,797 1,269 1,649 1,574 1,314 1,359 1,317 3,296 2,434 1,589 1,743 1,339 9.j ^ 6,311 6 , 744 4,373 1,900 , lo j 1,673 1,839 984 908 925 822 1,754 3,360 2,431 3,068 2,016 927 1,052 1,061 1,141 863 957 16)646 13,319 1 ,2 0 2 2 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 21 O PE R A T IO N 'S O F PU B L IC E M PL O Y M E N T O F F IC E S , S E P T E M B E R , 1915 A N D 1910— Contd. U N ITED STA TES—Continued. S tate a n d c ity . O klahom a (State): E n id — Septem ber, 1915.................................. Septem ber, 1916.................................. Muskogee— Septem ber, 1915.................................. Septem ber, 1916.................................. O klahom a C ity— Septem ber, 1915.................................. Septem ber, 1916.................................. Tulsa— Septem ber. 1915.................................. Septem ber, 1916.................................. Total: Septem ber, 1915....................... Septem ber, 1916....................... Oregon (m unicip al): Portland— Septem ber, 1916.............................. .. Pennsylvania (State): Altoona— Septem ber, 1916.................................. H arrisburg— Septem ber, 1916.................................. Johnstow n— Septem ber, 1916.................................. P hiladelphia— Septem ber, 1916.................................. P ittsb u rg h — Septem ber, 1916.........................-........ Persons applying for i cork. A pplica Persons tions from asked for em ploy b y em ers. ployers. New reg Renew istrations. als. Positions filled. (>) ) 286 119 255 135 0 ) (*) 0 ) C1) ) ) 163 336 159 187 0 ) ( 1) ( 1) (t) 0 ) (l) 388 839 406 515 (1 ) (’) ( 1) (0 287 451 (!) (l) 260 850 264 658 (l) (>) ( 1) 0 ) 209 658 0 0 0 238 109 122 153 m ) fyjfi 1,371 c) 3,214 0 5,177 C) 84 C1) (!) 52 62 1 35 28 (!) 356 216 94 226 176 (!) 178 57 14 63 47 ) 1,158 635 815 1,123 996 (') 765 692 137 528 0 Total: Septem ber, 1916....................... R hode Island (State): Providence— Septem ber, 1915.................................. Septem ber, 1916.................................. Texas (m unicipal): Dallas— Septem ber, 1915.................................. Septem ber, 1916.................................. F o rt W orth— Septem ber, 1915.................................. Septem ber, 1916.................................. 1,975 324 274 291 236 0 173 227 383 313 209 153 ) 630 110 580 834 53 2 1,311 442 160 203 0 0 ) Virginia (m unicipal): R ichm ond— Septem ber, 1915.................................. Septem ber, 1916.................................. 288 293 (’) 672 ) 2,690 0 Total: Septem ber, 1915....................... Septem ber, 1916....................... 558 485 (') ) 015 463 0 ) ) 0 0 ) 3,572 (>) 0 0 0 ) (*) 0 ) 1,730 383 313 6 (1) 642 443 606 27 740 427 405 400 (l) 1 069 £48 1,006 393 555 181 231 ) 199 459 0 0 ) ) 0 483’ ) ) ) Total: Septem ber, 1915....................... Septem ber, 1916....................... W ash ington ( Federal-m unicipal): T aco m a3— W ashington (m unicipal): E v e re tt— Septem ber, 1915.................................. Septem ber, 1916.................................. Spokane— Septem ber, 1915.................................. Septem ber, 1916.................................. Persons referred to posi tions. 0 (0 1,071 3,882 935 3,822 (!) C1) 1 134 4 281 N ot reported. N um ber applying for w ork. Figures for th is office are carried regularly in th e R e v ie w un d er th e subject “ Federal em ploym ent Work of th e D epartm ent of L abor,” to w hich th e reader is referred. 1 2 3 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5651 22 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. O PE R A T IO N S O F P U B L IC E M P L O Y M E N T O F F IC E S , S E P T E M B E R , 1015 AN D 1916— Concld. U N ITE D STA TES—Concluded. Persons applying for w ork. Applica- Persons tionsfrom asked for em ploy b y em e rs/ ployers. New reg Renew istrations. als. S ta te a n d city . W isconsin (State): La Crosse— Septem ber, 1915.................................. Septem ber, 191G.................................. M ilwaukee— September, 1915.................................. Septem ber, 1916.................................. Oshkosh— September, 1915.................................. September , 1916.................................. Superior— Septem ber, 1915.................................. September, 1916.................................. (2) (2) 145 152 64 74 1 3,173 2,892 (2) (2) 3,122 3,169 2 , 289 1316 157 (2) (2) 210 3 151 116 90 1 743 943 (2) (2) 711 926 449 604 4,188 4; 398 2,799 3,057 Persons referred to posi tions. Positions idled. 454 374 149 187 219 1,442 1,880 2,924 3,770 153 165 217 249 493 391 720 1,116 3 122 Persons referred Positions to posi filled. tions. 1 3 320 179 ' 3 Total: Septem ber, 1915...................... Septem ber, 1916...................... 2,170 CANADIAN PROVINCIAL E M PL O Y M EN T BUREAUS. Persons applying for w ork. A pplica Persons tions from asked for em ploy b y em ers. ployers. New reg R enew als. istrations. Province and City. Q uebec (Province): M o n tre a lSeptem ber, 1916.................................. Q uebecS eptem ber, 1915.................................. Septem ber, 1916.................................. 954 (2) (2) (2) 101 291 Total: Septem ber, 1915....................... Septem ber, 1916....................... 1 R egistrations. 2 340 (2) 233 117 (2) (2) (2) (2) 63 84 (2) 63 458 C-) N ot reported. 3 N um ber applying for w ork. EMPLOYMENT IN SELECTED IN D USTR IES IN SEPTEMBER, 1916. For nearly a year tlie Bureau of Labor Statistics lias been collect ing and publishing in the M onthly R eview figures indicating the change in the volume of employment in the United States each month as compared with the same month a year before and with the pre ceding month. Four tables containing data obtained by correspondence from rep resentative manufacturing establishments in 10 industries are here given, 2 comparing the state of employment in September, 1915, and September, 1916, and 2 comparing August, 1916, and September, 1916. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [566] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 23 As in the preceding months of this year, employment in the manu facturing industries as a whole in September was in a better state than in the corresponding month a year preceding. The following table shows that in 8 of the 10 industries listed the number of em ployees on the pay roll was greater in September, 1916, than in Sep tember, 1915. The industries showing a reduction in the number on the pay roll are cotton manufacturing and cigar manufacturing. The greatest increase shown (23.5 per cent) is for the iron and steel industry. The amount of money paid to employees was greater in September, 1916, than in September, 1915, in all of the 10 industries listed. The greatest increase shown is 50.4 per cent for the iron and steel industry. C O M PA RISO N OF E M PL O Y M E N T IN ID E N T IC A L E S T A B L IS H M E N T S IN S E P T E M B E R , 1915, AN D S E P T E M B E R , 1916. In d u stry . Boots a nd shoes.............. C otton m anufacturing _. C otton finishing.............. H osiery a n d underw ear. W oolen..................... S ilk .................................... M en’s ready-m ade clothmg. Iron a nd ste e l.................. Car trailding and repairmgCigar m anufacturing__ E stab lish m ents to whicl? in q u i ries were sent. 85 89 19 82 56 64 83 N um ber on pay E stab A m ount of p ay roll P er Per roll in Septem lish in Septem ber— c en t cent ber— m en ts of inof inre p o rt Period of in g for p a y roll. (+ ) Sep (+> or de or de tem ber, 1915 1916 1915 crease 1916 crease both (-)(-)• years. _ (56 1 w eek .. 52 .. .d o ....... 15 .. .d o ....... 55 . . .d o ....... do . 43 51 2 w eeks. 31 1 w eek .. 46,705 53,09:7 10,392 27,674 39,443 19,903 18,366 55,572 52,459 11,078 29,238 40,091 21,466 21,323 + 19.0 - 1 .2 + 6 .6 + 5.7 -f 1 ft + 7.8 + 16.1 $550,397 459,103 104,686 232,791 389,509 393,688 221,858 $709,840 519,717 131,062 283,542 481,301 472,049 299,081 +29.0 + 13.2 + 25.2 + 2 1 .8 + 23.6 + 19.9 +34.8 142 80 100 Vm onth. 140,545 173,533 37 . . .d o ....... 48,840 57,912 +23.5 4,435,177 6,669,870 +18.6 1,357,469 1,795,747 +50.4 +32.3 107 54 - + 13.0 1 w eek .. 19,182 18,486 3.6 190,030 214,814 In the letter to the establishments asking for data an inquiry was included as to the number of employees that actually were at work on the last full day of the pay period reported, as distinguished from the number on the pay roll, that is, the number who worked the whole or some part of the pay period. Only a part of the firms re ported this item, but the figures returned are here given. While the percentages of increase or decrease differ from those in the precedingtable, in a general way they follow the same trend. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [567] 24 M O N TH LY REVIEW OF T H E BUREAU OF LABOR STATISTICS. C O M PA R ISO N O F E M P L O Y M E N T IN ID E N T IC A L E S T A B L IS H M E N T S ON LA ST F I L L D A Y ’S O P E R A T IO N IN S E P T E M B E R , 1915, A N D S E P T E M B E R , 1916. E sta b lish m ents reporting for Sep tem ber, b o th years. In d u stry . B oots and shoes........ C otton m an u factu rin g ...................................... C otton finishing............................... H osiery a n d underw ear........................................ W oolen..................................................... S ilk ....................................................... Men’s ready-m ade clo th in g ................................. Iron and steel.................... . . Car building a n d repairing................... Cigar m anufacturing........7................................... 31 34 10 13 40 36 5 87 35 34 Period of pay roll. N um ber actually w ork ing on last full day of P e r cent reported p ay period of in in Septem ber— crease ( + ) or decrease (-)• 1915 1916 w eet d o __ do d o .. do ‘2 vvp.uks 1 week I m onth .d o . . 1 week 21,312 21,003 6,356 9,513 30.175 11,449 593 112,755 41,803 10,023 1 23,835 21,286 6,731 9,686 30,652 12,620 604 110,321 48,012 9,580 + 1 1 .8 + 1.3 + 5.9 + 1 .8 + 1 .6 + 1 0 .2 + 1.9 +24.4 + 14.9 - 4.1 ncrease in the number of employees on the pay roll in September, 1916, OYer August, 1916, and 5 report a reduction. In the amount of money paid out to employees in wages an increase is shown for September over August, 1916, for all the industries except boot and shoe manufacturing, men’s ready-made clothing, and car building and repairing. C O M PA R ISO N O F E M P L O Y M E N T IN ID E N T IC A L E S T A B L IS H M E N T S IN A U G U ST, 191C, A N D S E P T E M B E R , 1916. In d u stry . Boots an d shoes.............. C otton m a n u fa c tu rin g .. C otton finishing.............. H osiery an d underw ear. W oolen.............................. S ilk .................................... M en’s ready-m ade clothmg. Iron and steel.................. Car building and repairmg. Cigar m anufacturing__ E stab lish m ents to which in quiries were sent. 85 89 19 82 56 64 83 142 80 107 N um ber on pay E sta b roll in — lish m ents rep o rt Period of ing for A ugust p ay roll. A ugust, Sep and 1916. tem ber, Sep 1916. tem ber. 65 1 w eek .. 50 .. .d o ....... . do__ 52 . . .d o ....... 44 . . .d o ....... 48 2 w eeks. 32 1 w e ek . . 54,951 50,863 11,174 27,572 38,971 21,734 21,674 54,509 50,722 11,078 28,030 40,411 21,637 21,347 104 J m o nth. 170,439 173,915 35 .. .d o ....... 54,082 54,644 53 1 w eek . . 18,074 IS ,225 A m ount of pay roll in — Per cent of increase (- f)o r de crease A ugust, Septem 1916. ber, 1916. (-). - 0 .8 - .3 - .9 + 1.7 + 3.7 - .4 -1 .5 $705,647 496,607 128,811 256,545 453,443 479,117 328,222 Per cent of in crease ( + ) or de crease (-). $704,861 506,552 13+062 272,244 485,328 480,517 299,379 —0 . 1 + 2 .0 + 1.7 + 6 .1 + 7.0 + .3 - 8 .8 + 2 . 0 6,360,915 6,624,769 + 1 . 0 1,720,3S3 1,686,189 +4.1 - 2 .0 + .8 197,970 210 , 4S6 +6.3 In the table below an increase in the number of employees actually working on the last full day of the reported pay period in September, 1916, over August, 1916, is shown for half of the industries listed and a decline for the other five industries. The greatest reduction shown in this table is 7.5 per cent for the men’s ready-made clothing industry. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [568] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 25 CO M PA R ISO N O F E M P L O Y M E N T IN ID E N T IC A L E S T A B L IS H M E N T S ON LA ST F U L L D A Y ’S O P E R A T IO N IN A U G U ST, 1916, A N D S E P T E M B E R , 1916. E s ta b lishments reporting for Aug u st and Septem ber. In d u stry . Boots and shoes................... C otton m anufactu rin g ........ C otton finishing................... Hosiery and underw ear___ W oolen.................................... S ilk.......................................... Men’s ready-m ade clothing Iro n and steel.................... Car building and repairing. Cigar m anufactu rin g........... Period of pay roll. 31 1 w eek .......... 30 ........d o ........... 10 ........d o ........... 14 ........d o ........... 41 ........d o ........... 32 2 w eeks........ 4 1 w eek .......... 99 1 m o n th .. . . 33 ........d o ........... 34 1 w e ek .......... N um ber ac tualîy w orking on las t full day of Ter cent reported p ay period of in in— crease ( + ) or decrease August, Septem ber, (-)• 1916. 1916. 19, OSO 21,107 6 , 735 9,901 29,674 12,643 559 141,382 45,628 8,679 19,466 21,077 6 ,731 10,028 30,949 12, 519 517 145,891 46,907 9,154 - 1 .1 - .1 - .1 + 1.3 + 4 .3 - 1 .0 -7 .5 +3-2 + 2 .8 + 5 .5 RECENT CHANGES IN WAGE RATES. Inquiry was made on the volume of employment schedule sent to reporting establishments as to changes in wage rates for the period August 15, 1016, to September 15, 1916. In many instances no definite reply was received, and it is probably safe to assume in such cases that there was no change in the wage rates. In the textile industries—cotton manufacturing, cotton finishing, hosiery and underwear, woolen and silk—as well as in the boot and shoe, car building and repairing, and clothing industries, wage rates are reported as practically stationary, there being only six increases reported from the establishments rendering reports in these indus tries. In the industry of cigar manufacturing, one establishment reports an increase of 10 per cent to half the force, while another reports an increase of 12 per cent to 65 per cent of the force. An increase of 12 per cent (on the average) to strippers is reported by one establishment in this industry. The greatest number of increases in wage rates is reported for the iron and steel industry. One establishment in this industry reports an increase of 2|- per cent to three-fourths of the force. Three estab lishments report an increase of 3 per cent to from one-half to threefourths of the force. One establishment reports an increase of 5 per cent, but does not specify the class of employees receiving such increase. An increase of 10 per cent is reported by three establish ments; in one of these establishments the increase is given to all employees, in another to three-fourths of the force, and in the third to a small percentage of the employees. EMPLOYMENT IN THE STATE OF NEW YORK IN SEPTEMBER, 1916. A statement of the condition of employment in the State of New York in September, 1916, as issued by the New York State Indus https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1569] 26 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. trial Commission, is here reproduced. The figures summarize returns to tire commission from 1,500 representative firms, with over a half million employees, or one-third of the factory workers in the State, and a weekly pay roll of over $8,000,000. More workers were employed and more wages were paid in New York State factories in September, 1916, than in any other month since these records have been kept, dating hack to June, 1914. From August to September there was an increase of 4 per cent in number of employees and of 6 per cent in amount of wages. The increase in the total number of employees in September, 1916, as com pared with September, 1915, was 15 per cent, and as compared with September, 1914, was 21 per cent. Corresponding increases in amount of wages were 33 per cent and 45 per cent, respectively. The average weekly earnings of the total number of employees in September, 1916, were $14.86, as compared with $14.46 in August, 1916, and $12.85 in September, 1915. The stone, clay, and glass products group reported a 5 per cent increase in wages from August to September, thus establishing a new high record. There was a negligible increase in number of employees. The glass industry reported a marked increase both in number of employees and in wages. The group as a whole employed one-fifth more workers and paid out two-fifths more wages than in September, 1915. The metals, machinery, and conveyances group reported in September 4 per cent more employees and 7 per cent more wages than in August, thus estab lishing a new high record for this group in both respects. Seven of the twelve industries in the group reported increases in employees. Two industries only reported decreases in wages, the others reporting substantial increases. One industry only—boat and shipbuilding—reported a decrease both in employees and wages. The most pronounced increases both in employees and wages were in the manufacture of firearms, tools, and cutlery, and in automobiles and parts. Other industries with increased wages of 10 per cent or more as com pared with August were the manufacture of cooking, heating and ventilating apparatus, the manufacture of instruments and appliances, and railway rolling stock and repairs. The group as a whole employed a third more workers and paid out a half more wages than in September, 1915. The wood manufactures group employed 12 per cent more workers and paid out 6 per cent more wages in September than in August, establishing a new high record in both respects. Each industry in the group reported in creases both in workers and in wages, the increase in wages exceeding that number of workers in each industry. As compared with September of last year, the group as a whole employed one-tenth more workers and paid out onefifth more wages. In the furs, leather, and rubber goods group there was a recession of activity in September as compared with August, a decrease in both number of employees and in wages having been reported. The furs and fur goods in dustry reported one-tentli more workers and one-fifth more wages. The rubber goods industry likewise reported increases in both employees and wages. These increases, along with a wage increase in the pearl, horn, bone, etc., industry, were offset, however, by decreases in the other industries, notably the mis cellaneous leather and canvas goods industry. As compared with September, 1915, the group as a whole employed one-sixth more workers and paid out onetliird more wages. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis L570] MONTHLY BEVIEW OP THE BUBEATJ OF LABOB STATISTICS. 27 The chemicals, oils, and paints group maintained the high level set in August for wages, but employed 2 per cent fewer workers. The drugs‘and chemicals industry reported a substantial increase in activity. There was a slight in crease in the manufacture of animal and mineral oil products. These were offset, however, by decreases in paints, oils, and colors, and in miscellaneous chemical products. The group as a whole employed one-fifth more workers and paid out one-third more wages than in September, 1915. There was a slight recession of activity in the paper-making industry in September as compared with August, a strike in one plant and delay in receiv ing pulp in another being contributing factors. The decrease in employees was 3 per cent and in wTages 3 per cent. As compared with September one yea)- ago, one-sixth more workers were employed and one-thircl more wages were paid. The printing and paper goods group employed 2 per cent more workers and paid out 5 per cent more wages than in August, establishing new high levels in both respects. Each of the three industries in the group reported more workers and a larger aggregate of wages. As compared with September, 1915, one-tenth more workers were employed and one-sixth more wrages paid in the group as a whole. The textiles group employed 3 per cent more workers than in August and paid out 2 per cent more wages, establishing a newr high level in the latter respect. Each of the industries in the group paid out more wages. Two of the industries—wood manufactures and the manufacture of cotton goods—em ployed slightly fewer workers. These decreases were more than counter balanced, however, by increase in other industries, aspecially silk and silk goods and knit goods. As compared with September, 1915, one-twentieth more workers were employed and one-fifth more wages were paid. The clothing, millinery, and laundering group reported an increase of 17 per cent in employees and of 19 per cent in wages as compared with August. Every industry in the group except two—men’s clothing and laundering, clean ing and dyeing—reported large increases in both employees and wages. The advent of the busy season, coupled with the cessation of labor troubles and the ending of the vacation period account for the marked improvement. Increases of 81 per cent in wages paid out in men’s shirts and furnishings, 34 per cent in women’s clothing, and 37 per cent in millinery were the most striking. The group as a whole employed 7 per cent more workers and paid out 25 per cent more wages than in September, 1915. The food, liquors, and tobacco industry reported 1 per cent decrease in em ployees and 2 per cent increase in wages in September as compared with August. Bakery products, beverages, and tobacco products reported decreases in employees and the latter two reported decreases in wages. Wage increases in excess of 10 per cent were reported by the flour, feed, and cereal industry; the canning and preserving industry; and the confectionery and ice cream in dustry. The group as a whole employed 1 per cent fewer workers and paid out 12 per cent more wages than in September, 1915. The water, light, and power industry employed 10 per cent more workers and paid out 13 per cent more wages than in August, establishing a new high record for wages. As compared with September, 1915, the group as a whole employed one-eighth more workers and paid out one-fifth more wages. Building activity in September, 1916, wTas 23 per cent less than in August, 1916, and 15 per cent less than in September, 1915. These figures are based on returns from the first and second class cities in New York State as to the estimated cost of building work (of which new buildings constituted https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [571] 28 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. four-fifths) for which permits were issued in the respective months. Each city, except Syracuse and Utica, reported a decrease as compared with August. As compared with September, 1915, however, only four cities—Albany, New York, Troy, and Yonkers—reported a decrease. Each of the remaining six cities reported a substantial increase. STRIKES AND LOCKOUTS, JANUARY TO SEPTEMBER, 1916. According to data compiled from various sources by the United States Bureau of Labor Statistics, the number of strikes and lock outs during the first nine months of the year 1916 was 2,584. The number similarly compiled during the corresponding months of the year 1915 was 916. The following table shows the number of strikes and lockouts begun in each of the months of 1916, together with 236 strikes and lockouts reported as having occurred during the nine-month period, although the month in which they began was not reported. The number of strikes compiled during the corresponding months of the year 1915 is also given. In comparing these figures it must be borne in mind that, although the number of strikes in 1916 has undoubtedly been larger than those in the corresponding months of 1915, the sources of the bureau in obtaining data in regard to strikes have also increased, and the difference between the two years is therefore not so great as the figures would tend to show. The strikes and lock outs were distributed as follows: N U M B E R O F S T R IK E S A N D LO C K O U TS B E G IN N IN G IN EA C H M O N T H , JA N U A R Y TO S E P T E M B E R , IN C L U S IV E , 1916 A N D 1915. K in d of dispute. Strikes: 1916............................................ 1915............................................ Lockouts: 1916............................................ 1915............................................ Total: 1916................................ 1915................................. Jan. 150 50 Feb. Mar. A pr. May. June. July. Aug. Sept. 156 45 111 16 16 2 6 6 14 9 9 15 15 11 513 274 60 260 109 260 147 164 162 236 12 14 13 16 158 63 161 57 226 89 332 107 8 497 254 138 319 91 13 8 5 218 75 122 258 54 258 95 155 147 M onth not Total. stated. 221 2,486 806 98 no 2 ,5S4 '916 The above columns include disputes that began in the month indi cated only, and are subject to monthly revision. More detailed ac counts of the disputes reported for each month preceding September may be found in former numbers of the R eview. DISPUTES REPORTED DURING SEPTEMBER, 1916. The number of strikes reported during September shows a decrease from the number reported during the preceding six months. Probably the strike that attracted the most attention was that of the street railway men in New York City. Others of prominence were those of the miners in Pennsylvania, Indiana, Illinois, Kansas, Ohio, and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5721 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 29 Texas; the machinists in St. Louis, Baltimore, and Connecticut; the molders in Toledo and Norristown, Pa.; the metal workers in Pitts field, Mass., and New York City; the cooks and waiters in New York City and Rochester; the cigar makers in New York City, Detroit, Springfield, Mass., and Tampa, Fla.; the weavers in Fall River, the cotton mill workers in Charleston, and the hosiery workers in Phila delphia ; the oil refiners in Philadelphia; the van movers in St. Louis; and the barbers, teamsters, milk drivers, grocery clerks, inside car penters, and ferry boatmen in New York City. The data in the following tables relate to 275 strikes and lockouts, concerning which information was received by the bureau during the month of September. These include, in addition to the 164 strikes and lockouts which began in September, 110 strikes and 1 lockout which were reported during September, but began as fol lows: 39 strikes in August, 7 strikes in July, 2 strikes in June, 2 strikes in May, 1 strike and 1 lockout in April, and 59 strikes the dates of commencement of which were not reported, but most of which probably occurred in August or September. Inasmuch as strikes which start toward the end of a month frequently do not come to the attention of the bureau until after the report for the month has been prepared, it is probable that corrected figures for September will show an increase over the number of strikes herein reported for that month. Of the disputes reported during September, 27 strikes and 1 lock out occurred east of the Mississippi and south of the Ohio and Po tomac Rivers, 32 strikes and 3 lockouts west of the Mississippi, and the remaining 206 strikes and 6 lockouts in the district north of the Ohio and Potomac Rivers and east of the Mississippi. About onehalf of these strikes occurred in four States. STATES IN W H IC H 4 OR M O R E S T R IK E S AN D LO C K O U TS D U R IN G S E P T E M B E R , 1916. Pfiymsyl van in, . .................................................................................... N aw Y ork ....................................................................................................... 11 ts .................................................................................... Ohio ................................................................................................ T'Tqw Jprsfty ................................................................................................ Con rt p.p.f.iui ]t, ................................................................................................ Illinois ........................................................................................................... In d ian a ........................................................................................ Michigan . , .................................................................................... Wisconsin . ............................................................................. Missouri - ............................................................................................ Tftnnftssfifi ................................................................................................... California. ....................................................................................................... Alabama - - - ................................................................................. W est Virginia. ................................................................................................... M aryland ........................................................................................................... O klahom a...................... ............................................................................................KhodA Island , ............................................................................................ 17 other States ................................................................................................ .................................................................................................... 65847°—1C-----3 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis R EPO RTED Strikes. Lockouts. State. T otal W ERE [573] 47 10 30 18 14 13 13 9 7 1 47 41 30 2 20 1 1 t 6 6 Total. 1 1 14 14 14 9 7 7 7 7 6 5 5 5 4 4 4 28 1 1 5 5 5 4 4 29 265 10 275 1 30 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. The strikers were men in all but 11 strikes which were confined to women, 8 strikes and 1 lockout which included both men and women, and 32 strikes in which the sex was not stated. The industries in which four or more strikes and lockouts were re ported were as follows: N U M B E R O F S T R IK E S A N D L O C K O U T S IN S P E C I F I E D IN D U S T R IE S R E P O R T E D D U R IN G S E P T E M B E R . 101G. Industry. Strikes. Lockouts. Metal trades...................................... Miners............................... Building trades............................. Textile workers..................... Clothing............................... Bakers............................... Paper makers......................... Cigar makers.......................... Teamsters.......................... Glassworkers............................ Railroad men........................... Iron and steel workers.............................................. Longshoremen........................... Waiters and cooks............................................ Upholsterers...... ................................ Ail other......................................... Total..................................... Total. r_ 2 53 34 33 34 i 20 15 11 10 34 20 15 14 3 5 10 10 (3 5 4 4 4 4 48 3 4 4 4 4 51 265 10 275 1 9 6 Included in the above are 18 strikes of machinists, 9 of molders, and 6 of carpenters. In 151 strikes and 8 lockouts the employees were connected with unions; in 19 strikes and 2 lockouts they were not so connected; in 9 strikes they were not connected with unions at the time of striking, but became organized during the course of the strike; in the remain ing 83 strikes it was not stated whether the strikers had union affiliation or not. The following table shows the causes of 216 strikes and 7 lock outs. In 75 per cent of these the questions of wages or hours, or both, were prominent. O R T E D D U R IN G SEP- T E M B E R , 1016. Strikes. Lockouts. F or increase of w ages....................................... Because of reduction of wages........................ F or decrease of h o u rs................... ................... F or increase of wages a n d decrease of hours G eneral conditions............................................. Conditions a n d wages....................................... Conditions a n d h o u rs........................................ Conditions, wages, an d h o u rs......................... R ecognition of th e u n io n ................................. R ecognition a n d w ages...... ............................. R ecognition a n d h o u rs.................................... R ecognition, wages, a n d h o u rs...................... Because of discharge of em ployees................ Because of presence of nonunion m e n .......... In regard to th e agreem ent............................. S y m p a th y ............................................................ W a n t foreman discharged............................... In regard to p o w d er.......................................... M iscellaneous...................................................... N ot re p o rte d ....................................................... 71 4 23 36 5 9 1 1 17 8 19 6 3 1 1 5 4 6 5 9 5 4 2 2 3 3 7 4S 265 [ 574 ] 6 1 2 2 6 3 5 72 4 23 37 9 1 2 T o ta l. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis f Total. 3 10 52 275 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 31 In 131 of the strikes the number of persons involved was reported to be 150,025, an average of 1,145 per strike. In 31 strikes, in each of which the number involved was 1,000 or over, the strikers numbered 120,910, thus leading 20,llo involved in the remaining 100 strikes, or an average of 201 in each. In 3 lockouts the number reported to be involved was 158. In 182 strikes and 7 lockouts only one employer was concerned in each disturbance; in 8 strikes, 2 employers; in 7 strikes, 3 employers; in 3 strikes, 4 employers; in 14 strikes, more than 4; in 51 strikes and 3 lockouts the number of employers was not stated. In 125 strikes reported as ending in August, 35 were won, 24 lost, tjS compromised; in 8 the strikers returned to work under promise of the employer to arbitrate the matter in dispute; in 20 the result was not reported. Three lockouts were reported as lost to the em ployer. The duration of 85 of these strikes was given as follows: One day or less, 10; 2 to 3 days, 22; 4 to 7 days, 12; 1 to 2 weeks, 10; 3 to 4 weeks, 20; 1 to 3 months, 8; over 3 months, 3. The duration of j the 82 strikes lasting less than 3 months was 1,170 days, or an aver age of 14 days each. EIGHT-HOUR DAY IN THE MEN’S CLOTHING INDUSTRY OF CHICAGO. On October 1, 1010, the members of the Wliolesale Clothiers’ Asso ciation of Chicago posted the following notice in their respective [shops: Beginning December 1, 1916, 48 hours shall constitute a week’s work in this [shop. Time and a half will be paid for overtime. This action was stated to be a voluntary concession to their employees by the members of the association, which is composed of manufacturers of men’s ready-to-wear clothing, and, as expressed by them was taken | “ in keeping with our policy to improve working conditions, reduce ; hours, and raise wages as rapidly as business conditions would peri mit.” The association favors the open shop and recognizes no unions. [ It has no collective agreements with its employees. Some months ago I it succeeded in defeating a strike of garment workers undertaken under the auspices of the Amalgamated Clothing Workers’ Union. The announcement was posted in all the shops of the associa tion, 15 in number, and employing about 8,000 workers. The amount of increase in the wages as a result of this action is prob lematical. About two-thirds of the employees in this industry are pieceworkers, and the announcement made no promise of any increase in piece rates. The increase in pay to week workers will be such as resuits from reducing the hours of labor from an average of 50 to 51 per week before December 1 to 48 thereafter and increasing the pay for overtime, paid for before December 1 at the same rate as regular time, to a time-and-a-half rate after that date. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5751 32 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. MILLINERY AS A TRADE FOR WOMEN. In a volume of 134 pages, entitled “ Millinery as a trade for women,” 1 Miss Lorinda Perry, fellow in the department of research of the Women's Educational and Industrial Union, Boston, gives the results of a personal investigation of the working conditions, hours of labor, wages, and opportunities afforded to employees in a trade involving more than 86,000 women in the United States and which gives “ opportunity at the top for as high, if not higher, wage than any other trade for women.” The material for this study was ob tained during the years 1910, 1911, and 1912, chiefly from personal interviews with employers and employees in Boston and Philadel phia, who were questioned concerning apprenticeship, seasons, wages, the number of employees, hours, overtime, and workroom conditions. Of 303 firms properly classed as engaged in the millinery trade in Boston, schedules were secured from 103, the number of persons employed in 97 of these shops ranging from 143 during the dull sea son to 1,429 at the height of the busy season. In Philadelphia 104 schedules were obtained from firms employing from 232 workers in the dull season to 1,959 in the rush season. In addition, schedules were secured from 140 workers employed in Boston and from 121 employed in Philadelphia. These employees were asked concerning their experience in and attitude toward the millinery trade, and their equipment in the way of general education and special trade training. An attempt was also made to ascertain the economic status of each worker. The results of the investigation are assembled in considerable detail, and the hope is expressed “ that agencies interested in a study of minimum-wage laws, in other regulation of working conditions by legislation, in vocational guidance and placement, in industrial edu cation, and especially in awakening the public conscience, may each find here data which can be rearranged or grouped so as to form a basis upon which to act.” The millinery trade is defined as the designing, manufacturing by hand, and sale of women’s hats, excluding such trades as flower mak ing, straw-machine operating, and the making of wire frames by machinery, which may be classified more accurately as the manufac ture of millinery supplies. Among the trades for women no other trade presents such great complexity as does millinery. As an art it demands high and peculiar ability, called by the trade millinery sen se; as a handicraft it requires great sk ill; as a trade it intro1 Millinery as a Trade for Women, by Lorinda Perry, Pli. D., Women's Educational and Industrial Union, Department of Research, 264 Roylston Street, Boston, 1916. 134 pp. Longmans, Green and Co., New York, publishers. Price, $1.50 net. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [Ó761 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 33 duces subdivision of labor and supports a department in which the processes are mechanical and do not necessarily induct the worker into the more skilled and artistic divisions. As millinery supplies a necessity of life, it is universal and offers occupation in every community. As it deals with attractive ma terials and produces beautiful effects, it appeals to young women and induces large numbers to enter it. As it includes artistic processes it pays high nominal Avages to one group of Avorkers, and as its mechanical processes are skilled it pays good nominal Avages to another group. In its origin millinery Avas a home trade and is usually still so conducted. In smaller communities it is carried on in dAvellings; in the larger cities many shops are located in the upper stories of business blocks or in apartments. By far the greater number of shops are small, many having less than five Avorkers, and the relation betAveen employer and employee is distinctly personal. As a fashion trade millinery is seasonal, and as a trade Avith tAvo busy and tAvo dull seasons it imposes upon the Avorker uncertainty and irregularity of employment and requires its less Avell-paid and even its highly paid workers to eke out a living by overtime Avork or by subsidiary or secondary occupations. It does not yield readily to State regulation. Its hours of labor are oftentimes not lim ited; overtime is not restricted; sanitation, light, and ventilation are not insisted upon; the worker is not guaranteed comfort in the workroom as to seats, tables, and cleanliness; regularity of pay, permanence of contract, and due notification of dismissal are not required. As a home trade, too, millinery is unorganized. No correction of the evils attendant upon an unregulated trade has been successfully attempted through unionization. More than in other needle trades, its Avorkers are young and immature. It therefore lacks ballast and reflects instability of purpose on the part of employees. The main reasons given why workers need sources of income other than their wages as milliners are (1) the seasonal character of the trade, varying in length from six to eight months and involving much overtime work; (2) its tAvo distinct processes, only one of which employs high-paid Avorkers, and that a small group; and (3) the oversupply of workers. The chief source of subsidy is found in the requirement of employers that their workers live at home. The Avorker may receive sufficient wages to main tain herself while at Avork, and even to contribute something to the family budget, but in the event of unemployment or illness she is compelled to rely upon her family or friends for assistance. Unemployment is a vital question for all but the trimmer, avIio averages a living Avage throughout the year. If the maker is unable or unwilling to obtain secondary employment, her Avages must be subsidized either by her family or from other sources. Employers often attempt to gloss over the I oav Avages and short seasons of the trade by explaining that their employees are working for “ pin money ” only. IntervieAVS with Avorkers did not verify this statement. The study s I io a v s that .Vi.5 per cent of the total number of Boston workers reporting and 63.6 per cent of the Philadelphia Avorkers were either Avholly or partially dependent upon their earnings for support; that 83.4 per cent in Boston and 84 per cent in Philadel phia liA’ed with their parents or other relatives. The author makes the folloAving classification of millinery estab lishments: (1) The private establishment, including private or home [577] https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 34 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. millinery and parlor millinery; (2) retail establishments, compris ing the millinery store and the millinery department of a depart ment store; (3) wholesale establishments, consisting of wholesale millinery and manufacturing wholesale millinery. She then enters into a brief description of each, showing how the classes vary according to (1) market, (2) amount of capital invested, and (3) the relation of the employer to customers and to employees, and also the six stages of industrial evolution indicated by the subclasses. The seasonal character of the work is brought out in tables show ing the fluctuations in size of workroom force in the two cities under consideration. Thus 97 firms in Boston reported a reduction of 92.8 per cent in the dull season, and 102 firms in Philadelphia re ported a reduction of 88.1 per cent. Based on complete pay rolls covering 133 Boston workers for the year 1912, 24 per cent were employed 6 months and less than 8, while, according to information furnished by 103 workers themselves, 26.2 per cent worked 6 months and less than 8. In Philadelphia 40 of 100 workers reported having worked 8 months and less than 10. It appears that in Boston a majority of workers were employed for a longer period in the spring than in the fall. Two general classes of problems connected with the busy and dull seasons are stated to be an integral part of the question of sea sonal employment: The problem of the busy season, involving (1) the taking on of a large force of workers which must be dismissed as soon as the early rush is over, (2) the nervous strain for both em ployers and employees incident to the speeding-up process, and (3) unavoidable overtime which accompanies the filling of rush orders; and the problem of the dull season, that of unemployment. “ The solution of the seasonal problem usually attempted is the dove tailing of millinery with some other business or trade—the employer combining it with other business, the employee with other occupa tions.” The study does not include information as to overtime in Boston establishments, but in Philadelphia 59 per cent of the total number of firms visited reported overtime to some extent, while over 51 per cent of the employees reporting stated that they had worked over time during the year in which the investigation was made. “ In the last analysis the blame for the practice of overtime may be laid squarely upon the shoulders of the customers.” To abolish overtime various means are suggested: (1) The better organization of the working force and of the business in general, (2) a campaign of education among customers to persuade them to be more considerate in their orders, and (3) legal prohibition. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 578] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 35 One chapter of the report, containing considerable statistical data, is devoted to the wages paid. This includes the nominal weekly wages, that is, the time wage received by a worker as specified in her agree ment with her employer and the actual earnings of workers. Time wages appear to be the prevailing method of payment, although some workers are paid by the piece. According to Boston pay rolls, it seems that the total annual earnings of makers1 ranged from less than $50 to less than $475 per year, the median total annual earnings being. $210.52; the largest number (G3.7 per cent) earned between $100 and $300 per year. The wages seemed to vary according to the occupation and type of shop in which the workers were employed and the length of their experience. Tables are presented showing that a majority of makers received a nominal weekly wage of less than $9, the largest number receiving from $6 to $8, while a nominal weekly wage of $8 to $9 seems to be the highest wage an average worker may expect. A few received $10 or over per week. Wages are reduced by occasional absences from work, so that the nominal wages of makers are docked amounts averaging from 25 cents to $1 a week. The short season also operates to reduce wages. Thus it was found that no maker had an average wage throughout the year of $9 a week, while the majority averaged less than $5. The following table compares the type of wage return and gives the per cent of makers in Boston,2 as shown by pay rolls, receiving each specified amount: P E R C E N T O F B O STO N H A T M A K E R S (B A SE D ON P A Y R O L L S ) R E C E IV IN G EA CH S P E C IF IE D W E E K L Y W A G E A CCO R D IN G TO T Y P E O F W A G E R E T U R N . ' P e r cent of m akers receiving— T y p e of wage re tu rn . Less than Less than Less than Less th a n Less th a n $5. $7. $9. $13. $1 1 . N om inal w eekly w a g e ................................ ..................... Average w eekly w age.......................................................... A verage w eekly wage thro u gh o u t th e y e a r................... 9.1 21.4 67.0 42.8 57.8 83.5 75.5 84.4 91.3 96.5 1 0 0 .0 1 0 0 .0 1 0 0 .0 1 “ T h e p ro b le m o f w a g e s p a id to m a k e rs is m o re im p o r ta n t th a n t h a t o f a n y o th e r g ro u p sin c e th e y c o n s ti tu te a b o u t th r e e - f o u r th s o f th e to ta l n u m b e r of w o rk e rs in th e tr a d e . T h e a p p re n tic e s a t o n e e n d o f th e s c a le re c eiv e in s tr u c tio n in p a r t p a y m e n t fo r se rv ic e s a n d a r e n o t s e lf -s u p p o rtin g . T h e tr im m e r s a t th e o th e r en d re c eiv e h ig h w a g e s a n d a r e e n tir e ly s e lf -s u p p o rtin g .” - S im ila r in fo r m a tio n f o r P h ila d e lp h ia w o rk e rs is n o t g iv en . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [579] 36 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. I he next table shows the number and per cent of makers in Boston and Philadelphia receiving each specified nominal weekly wage: N O M IN A L W E E K L Y W A G E O F B O ST O N AN D P H IL A D E L P H IA H A T M A K E R S B A.SED ON R E P O R T S FR O M W O R K E R S A N D (IN B O STO N ) O N PA Y R O L L S . ’ N um ber of w orkers receiving specified wage according to reports from— N ominal w eekly wage. $3 and less th a n $ 4 .. 84 and less th a n So. . 85 and less th a n $0 .. $ 6 and less th a n $ 7 .. $7 and less th a n $8 .. 8 8 and less th a n S9.. 89 and less th a n $10. $ 1 0 and less th a n $ 1 1 $ 1 1 a nd less th a n $ 1 2 $ 1 2 and less th a n $13 $13 and less th a n $14 $15 and less th a n $16 T o tal................ Boston w orkers. N um her. Per cent. 3 4.0 10.7 18.7 13.3 8 14 10 0 10 3 11 8 1 1 75 8 .0 13.3 4.0 14.7 10.7 1.3 1.3 1 0 0 .0 Boston p ay rolls. N um ber. 12 7 24 46 32 36 19 14 5 13 208 Philadelphia w orkers. Total. Per cent. Number. P er cent. 5.8 3.4 11.5 8 6 1 0 .2 21 3 5.1 13.6 20.3 16.9 8.5 41 64 50 56 27 29 7 18.7 14.6 16.4 7.9 8.5 22 6.4 2 2 .1 15.4 17.3 9.1 6.7 2.4 0.3 1 0 0 .0 8 12 10 5 4 2 1 59 13.6 6 .8 3.4 1.7 1 0 0 .0 Number. 23 P er cent. 6.7 6 .1 1 2 .0 2 .0 1 .3 342 1 0 0 .0 The nominal weeldy wage of trimmers appears to range from $10 to $25, the majority receiving between $12 and $20. Here again the wage is affected by occasional absences from work, the amount aalying from $1 to $o a week. The comparatively high wage rccei\ed by trimmers apparently offsets their losses on account of the seasonal character of the trade so that but few instances were found where the average weekly wage was reduced to $9. While the average trimmer does not receive more than a nominal weekly wage of $20, those possessing superior ability may earn as high as $35 or even $50 a week. Workers employed in retail establishments seem to receive a higher wage than those in wholesale establishments. A study, based on pay rolls, of the relation between the number of weeks employed during the year and the nominal wage received showed that the less highly paid maker was employed for shorter seasons than the more highly paid, but in most shops it is the trimmer receiving the medium wage who may be retained for the longest sea son. The study disclosed the fact that wages for makers are ad vanced at the rate usually of $1 a week, infrequently of $2, and that trimmers’ rates are advanced from $1 to $5 per week; wages paid to makers and trimmers tend to increase with the length of experi ence, the majority of less than five years’ experience earning nominal wages of less than $8 and less than $15, respectively. With comparatively high family standards, it is not surprising that the millinery workers should turn from factory work and enter a trade where https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5801 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 37 they do not lose social caste, and may even advance their own social position. Many doubtless regard this social prestige as an adequate supplement to the inferior wages they receive, but the large number of such workers is one ele ment tending to lower the wages of millinery workers, and exerts almost as strong an influence as trade conditions themselves. There is no adequate reason why workers with more than the average education, with sufficient means to enable them to spend one year in acquiring a trade, should be willing to work for wages that do not insure a decent standard of living unless supple mented from other sources. To bring about any permanent cure for the low wages of millinery, not only the present unregulated, unorganized condition of the trade, but also the attitude of the workers toward industry in general must be changed. The opportunity for advancement does not appear to be very encouraging since it is shown by the investigation that only one maker in six or seven has a chance to rise to the artistic division— that of the trimmers—where the wages received during the busy season are sufficient to tide a worker over the dull season without aid from other sources. The report includes a study of the nationality, ages, and work ing conditions of millinery workers. It appears that in Boston about 55 per cent of these workers are American and Irish, and in Philadelphia by far the greatest number (about 62 per cent) are Americans. Jews rank next to these in number in both cities. In Boston 66 per cent of the total number of workers reporting and in Philadelphia 62 per cent of the total number visited were under 25 years of age; and about 57 per cent in Boston and 54 per cent ill Philadelphia were over 16 and under 25.1 The highest per cent of older workers was found among the Americans and Irish, while most of the younger workers were Jews. The educational standards of millinery workers were found to be above the average, although the educational requirements of the trade are not high. In Boston 33.6 per cent and in Philadelphia 24.8 per cent were graduated from grammar schools, while of those in the Boston trade school from whom information was received 43.6 per cent had completed the grammar school. The report concludes with a chapter on ways of learning mil linery, in which is discussed the apprenticeship system and school training for millinery in Boston. It appears that a majority of workers in both cities obtained their training as apprentices, but from the standpoint of the workers “ the chief objection to the ap prenticeship system as it now exists is the danger of exploitation to which the beginner is often exposed,” and also the danger arising from the fact that “ often the moral atmosphere of the workroom 1 It is explained that the large number of trade school workers visited accounts for the high per cent of younger Boston workers as well as the small proportion of Boston workers 25 years of age and over. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5 8 1 ] 88 M O N TH LY REVIEW OE THE BUREAU OE LABOR STATISTICS. is not desirable." Employers object to the system, it is stated, be cause (1) apprentices use the time of valuable workers in teaching, (2) because they waste costly material, and (3) because often by the time the learner has acquired sufficient knowledge and skill to repay the time and effort expended in teaching her she demands wages. On the whole, the apprenticeship system does not seem to be satisfac tory. * * * For the young girl of 14 to 16, or even 18 years, the trade school or some place equally removed from the exigencies of the trade affords a surer road to success. * * * Under the existing conditions good millinery schools and good trade schools are necessary if the great mass of milliners are to receive adequate training. Through the trade school, dealing as it does with young girls, without doubt much can be done to make the trade as desirable as it is attractive. Not only should the schools prepare a group of efficient workers but they should deter those who are unfit from entering the trade. They should also permit only that number to undertake the training which can be used by the trade and thus help to correct the oversupply of labor. The trade schools can not solve all of the problems of the trade, but they can do much for the workers and much to influence the trade itself through employers. They can also present to the public the conditions and needs of the trade from the point of view of both employer and employee, and thus arouse in the consumer a sense of her responsibility and duty. RETAIL PRICES OF FOOD IN THE U NITED STATES. Reports to the Bureau of Labor Statistics from approximately 725 retail dealers in 44 of the principal cities of the United States show that the retail price of food as a whole increased approxi mately 3 per cent from July 15 to August 15, and 4 per cent from August 15 to September 15. From July to September the increase was approximately 6 per cent. Beef shows a slight decline in price from July 15 to September 15, pork chops advanced 8 per cent, while lard shows an increase of 7 per cent. Eggs, butter, cheese, milk, bread, flour, and potatoes all show an increase in price in the period stated from 3 per cent for milk to 27 per cent for flour, and 29 per cent for eggs. The two articles which declined in price are onions, with a decrease of 14 per cent, and sugar, with a drop of 12 per cent, from July 15 to Sep tember 15. The table which follows shows the relative retail prices on July 15, August 15, and September 15, 1916, of the 26 articles covered by the bureau’s reports, together with the average money prices on the same dates. The plus and minus signs are used to indicate that the exact figure was slightly more or slightly less than the average money price carried to three places, or the relative price with the terminal decimal dropped. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [582] 39 MONTHLY EE VIEW OF THE BUREAU OF LABOR STATISTICS. A V E R A G E M O N E Y R E T A IL P R IC E S A N D R E L A T IV E R E T A IL P R IC E S O F FO O D ON JU L Y 15, A U G . 15, A N D S E P T . 15, 1916. [T h e relative price shows th e per cen t th a t th e average price on th e 15th of each m o n th was of th e average price for th e y ear 1915.] Average m oney price. A rticle. Ju ly 15. Sirloin stea k ................. R ound stea k ................. R ib ro a st....................... Chuck ro a s t.................. P la te boiling b e ef.___ P ork chops.................. Smoked b a c o n ............ Smoked h a m ................ L ard, p u re ................... H e n s............................... Canned salm o n............ Eggs................................ B u tte r, cream ery........ Cheese............................ M ilk................................ B re ad ............................. F lour.............................. Com m eal..................... R ice................................ Potatoes........................ O nions........................... Beans, n a v y ................. P ru n e s___ . .................. R aisins, seeded............ Sugar.............................. Colice............................. T ea.................................. R elative price. U n it. P o u n d .......... SO. 283+ ........do........... .257+ ........do............ .2 2 0 ........do........... .177+ ........do ............ .131 + ........do............ .2 3 6 ........do............ . 295 ........do............ .291 + ........do............ .1 7 5 ....... do............ .2 1 1 + ........do............ .2 0 2 Dozen........... .3 1 5 P o u n d .......... .360+ ........do........... .2 4 3 Q u a rt............ .090 16-oz. lo a f1.. . 056 + .923 + ¿-barrel b ag. P o u n d .......... .031 + ....... do............ .0 9 1 P e c k ............. .346+ P o u n d .......... .053 + ....... do............ .1 1 6 ___ do............ .131 + ___ do ........... .128+ ___ do............ .0 8 8 ___ do ........... .3 0 2 .551 + Aug. 15. Sept. 15. $0.283+ $0.281. 255— .2 5 5 .218 .218 .1 7 6 .1 7 6 .1 2 9 . 130+ .2 3 6 .254 + .295 + .3 0 1 .2 9 7 .302+ .176+ .186 + .2 4 4 .239+ .2 0 2 .204 . 358-1.405 + .367+ .396 + .2 1 5 .256+ .0 9 2 .0 9 3 .062 + .058+ 1 .0741.174.0 3 2 .0 3 3 .0 9 2 .0 9 1 .362+ .4 1 5 .045 + .0 5 0 .119+ .119+ .131 + .131 + .128+ . 129 + .085+ . 077+ . 30 2 .3 0 2 .551 + .551 + A ll a rtic le s com bined 1 Ju ly 15. Aug. 15. Sept. 15. 111+ 313+ + 108+ 116108114118116- Ill112109 + 109106+ 116+ 108+ 115119 115101 + 107102+ 106- + 10 9 10 9 10 7 12 5 110+ 11 7 126117102- 110 110 101 94- 100 105 + 99+ 92+ 100100+ 151154150 99102133+ 100100+ 107101158144 + 155 + 99102129+ 100100+ 109- 112 100 102 102 102 - 110 112 121 110 111 103 109117+ 104 100+ 181132+ 155+ 99+ 103117+ 100100+ 116+ « 16 ounces (w eight of dough). All articles combined show an advance of 19 per cent in a compari son with August, 1912, with August, 1915, and each article with prices given for the five-year period also shows an advance. Sugar shows the greatest change, an advance of 39 per cent. All fresh meats for which prices were carried for the five-year period show an increase, round steak having advanced approximately 22 per cent. Flour ad vanced 26 per cent. From August 15, 1915, to the same date in 1916 all articles combined show an increase of 13 per cent. The three ar ticles showing the greatest change are beans, which increased 60 per cent; onions, 62 per cent; and potatoes, 72 per cent. The next table shows the average money prices and the relative prices on August 15 of each year, from 1912 to 1916, as far as data are available. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 40 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS, A V E R A G E M O N E Y R E T A IL P R IC E S A N D R E L A T IV E R E T A IL P R IC E S O F FO O D ON A U G U ST 15 O F EA C H Y E A R , 1912 TO 1916. {The relative price shows th e per cen t th a t th e average price on th e 15th of A ugust in each year was of the average price for th e year 1915.] R elative price Aug. 15. Average m oney price Aug. 15. Article. U nit. 1912 Sirloin steak................... R ound s te a k .................. R ib ro a st............. ........... Chuck ro a s t.................... P la te boiling beef.......... P ork c h o p s..................... Smoked bacon............... Smoked h a m .................. L ard, p u re ...................... H e n s ................................ Canned salm o n ............. E g g s................................. B u tte r, cream ery .......... Cheese.............................. M iik.................................. B re a d ............................... F lour................................ Corn m e a l....................... R ice.................................. Potatoes........................... O nions............................. Beans, n a v y ................... P ru n e s ............................. Raisins, seeded.............. S ugar............................... Coffee............................... T e a ................................... Pound. ...d o __ ...d o __ ...d o __ ...d o __ ...d o __ ...d o ......... . ..d o ... . ..d o ... ...d o ... ...d o ... Dozen___ P o u n d ... . ..d o ... Q u a rt---16-oz.loaf1 l-bbl.bag. P ound... ...d o __ P e c k ... Pound. ...d o __ ...d o __ ...d o __ ...d o __ ...d o __ ...d o __ 1914 245209+ 194 .2 6 3 .2 3 0 - 211 + .220- 249245+ 151 — 200- .2 8 7 .281 + .161 + .214+ .278+ 10. 263- SO. 283+ 96+ 103237255- 9 2 - 101 + .248+ 204 97+ 101218 .214 164+ 176.1 7 9 123129.130+ 218236- 104- 108 .252+ .292+ 276295+ 91 + 105261297- 9 5 - 109.2 8 7 142+ 176+ 1 0 2 - 109 .1 5 7 206+ 239+ 96+ 103+ . 221- 305342+ .325.357- .328+ .3 6 4 - 088+ .090 853030+ .803.029- .0 9 1 .0 5 1 .8 4 3 .030+ .202 286+ 001 + .286+ . 056+ .079+ 1915 1916 1912 1913 1914 1915 1916 1913 200 202 30233 9 226+ 089+ 057+ 993+ 031 + 091- 358+ 9 1 367+ 95+ 24510 0 092058+ 0748092032092362050119+ 131+ 128+ 085+ 93+ 85+ 302551 + 211— 03107 5 133126067+ 30 2 551+ 109- ld3+ 111 — 109+ 104- 1 1 2 — 107— 102+ 109+ 111— 102 109107+ 101- 106+ 124- 107- 116+ 107- 101- 108+ 111 + 101- 115106- 9 6 - 119 106+ 99+ 115— 100- 101 + 9 8 - 9 0 - 107101- 9 4 - 102+ 98+ 106101- 99+ 102 89+ 101 + 1029 9 - 10784 9 7 - 100- 102- + 101- 100 125+ 9 2 - 15889+ 144+ 97+ 155+ 100+ 9 9 120- - 102+ 129+ 100+ 100+ 100 102 100 100 94+ 99+ 105- 99+ 112- All a rtic le s co m b in ed 1 16 ounces (w eight of dough). All articles combined show an increase of 21 per cent, comparing September, 1912, and September, 191G, while the increase from September, 1915, to September 1916, was 16 per cent. As in August, potatoes, beans, and onions show the greatest change, the increase between September, 1915, and September, 1916, being 103 per cent for potatoes, 58 per cent for beans, and 53 per cent for onions. The following table shows the price changes comparing each, Sep tember, 1912 to 1916: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [584] MONTHLY BEVIEW OF THE BUREAU OF LABOR STATISTICS. A V E R A G E M O N E Y R E T A IL P R IC E S ON S E P T E M B E R 15 AN D R E L A T IV E R E T A IL P R IC E S EA C H Y E A R , 1912 TO 1916. 41 OF FOOD OF [The relative price shows th e per cent th a t th e average price on th e 15th of Septem ber in each year was the average price for th e year 1915.] Average m oney price Sept. 15— of R elative price Sept. 15— U n it. 1912 Sirloin steak ..................... R ound ste a k .................... R ib ro ast........................... Chuck r o a s t . . . . . . ............ P la te boiling b e e f .......... P ork chops....................... Smoked b a c o n ............... Smoked h a m ................... L ard, p u re ........................ H e n s.................................. Canned salm on................ E ggs................................... B u tter, cream ery............ Cheese................................ M ilk.................................... B re ad ................................. F lo u r.................................. Corn m e a l......................... R ice.................................... P otatoes............................ O nions............................... Beans, n a v y ..................... P ru n e s............................... R aisins, seeded............... S ugar................................. Coffee................................ T e a ..................................... Pound... . .. d o ......... . .. d o ......... . ..d o ......... . ..d o ......... . ..d o ......... . .d o ......... ...d o ......... . .d o ......... . .d o ......... . .d o ......... Dozen__ P o u n d ... . .d o ......... Q u a rt___ 16-oz.loaf1 J-bbl.bag. P o u n d ... ..d o ......... . .d o ......... . .d o ......... . .d o ......... . .d o ......... . .d o ......... . .d o ......... . .d o ......... . .d o ......... 242+ 205 192 260+ 230- 222- 257248155+ 204- 228284+ 279161 + 216+ 342+ 360+ 372378+ 088+ Ó9Ì- 83 3 030+ 803— 029+ 245+ 284+ 062+ 1915 1913 200 1916 1912 1913 1914 1915 1916 i. 270+ $0. 26 3 - » . 281+ 95 ~f- 1 0 2 + .2 4 3 - . 234+ . 255— 90+ 1 0 1 + .204 .208 9 6 - 100 .218 . 176— .1 6 3 - .1 7 6 .130+ . 122.130+ .2 3 8 - .2 2 6 - .254+ 109+ 1 1 2 + .295+ .273+ .3 0 1 - 94+ 104+ .2 8 7 - ■. 258+ .302+ 96+ 108. 157— .139+ .186+ 105- 109.2 1 9 - .208+ .2 4 4 - 9 8 - 104.2 0 0 .204 ."362- .342+ .405+ 1 0 2 + 1 1 1 .378+ . 339- . 396+ 1 0 0 + 105+ .226+ .256+ "Ò9Ì- .090 . 09 3 - 98 1 0 1 . 052— .0 5 7 - .062+ .9 0 3 - . 933+ 1.174- 83+ 8 0 .0 3 2 - .0 3 1 - . 03 3 - 9 6 - 94 + .0 9 1 - .0 9 1 .270+ .2 0 4 - .4 1 5 - iÔ7— 124.0 3 0 - .045+ . 076- .119+ . 133— .131+ . 126- .129+ .065— .077+ 9 4 - 8 7 . 302- . 302. 551+ . 551+ All a rtic le s com b in ed . 96+ 101 106- 103- 1 1 0 + 107+ 103 1 1 2 104 1 0 2 - 109— 109+ 1 0 1 + 109— 107- 1 0 0 + 107— 117- 1 1 1 + 125108- 1 0 0 + 1 1 0 + 1 1 1 + 1 0 0 - 117106- 94+ 126105+ 1 0 0 117100- 102— 108 1 0 2 + 1 2 1 105+ 94 1 1 0 9 8 - 111 — 1 0 1 - 1 0 0 - 103 9 1 - 1 0 0 10990+ 9 3 - 117+ 99+ 104 1011 0 0 + 100+ 118- 89+ 1818 6 + 132+ 9 8 - 155+ 99+ 100+ 1 0 0 - 103121 + 98+ 117+ 100- 100— ¡0 0 + 1 0 0 + - 106- 100 + 116+ 1 16 ounces (w eight of dough). COMPARISON OF CHANGES IN PRICES OF W HEAT AND FLOUR AND IN WEIGHT A ND PRICES OF BREAD, MAY TO SEPTEMBER, 1916. Changes in weights of the principal brands of bread are being re ported currently to the Bureau of Labor Statistics by leading bakers in 45 of the principal industrial cities of the United States. These reports show that while the weight of bread has been con stantly changing, an unusual reduction occurred between August 15 and the last current report, September 15. Within the past two months numerous notes have been received from the bakers stating that owing to the increase in cost of raw ma terials it has been necessary to decrease the weight of their loaves or advance the price per loaf. One western baker, then making a 10-cent loaf weighing 25 ounces in the dough, and approximately 23 ounces baked, wrote in August that the State sealer of weights and measures had ruled that bread must not weigh less than 24 ounces baked, and added that his firm had already lost $G.000 since January. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [585] 42 MONTHLY REVIEW OE THE BUREAU OF LABOR STATISTICS. In another city an ordinance prohibiting a 14-ounce loaf (baked weight) had the effect of eliminating the 5-cent loaf in September, the bakers substituting a 10-cent loaf. This change actually de creased the amount of bread for 5 cents from 14§ ounces (before* baking) on July 15, before the transition to the 10-cent loaf, to I l f ounces for 5 cents after the transition. The Bureau of Labor Statistics uses in its publications only the “ scaling ” weight—that is, the weight of the loaf before baking— for the reason that the weight after baking varies considerably. While machines for weighing and dividing the dough into loaves render it comparatively easy to secure accurate “ scaling ” weights, the weight of the loaf as baked and cooled, ready for distribution, varies with the style of loaf, with the formula, and with the tem perature of the oven—ail this before leaving the bakery. From then on the weight varies with the time intervening between the removal of the loaf from the oven and its delivery to the consumer, the con ditions under which it is kept—that is, whether on open counters or in closed cases, wrapped or unwrapped, etc.—and by the state of the atmosphere. This variation renders it impossible for the baker to label accurately the baked weight of his loaves, and if labeling is required it necessitates a statement of the minimum instead of the actual weight. The customary loss in baking is variously estimated by bakers, but a loaf weighing 18 ounces in the dough will, when sold, if handled under ordinary conditions, weigh not far from 16 ounces, and a loaf weighing 16 ounces in the dough will, when baked and cooled, weigh about 14^ ounces. The range of loss, however, varies widely. The recent changes are more often in weight than in price, but in some cities an increase in price seems to have been general. Fre quently the change in price has been accompanied by an increase in weight, but in some cities from which the bureau receives reports the price was raised 1 cent with no change in weight, while in at least one city the price was raised with an actual decrease in weight. The recent striking advance in the cost of flour, together with ad vances in other ingredients, has caused not only numerous reductions in bread weights and advances in price, but a number of bakers have taken other means of meeting the cost advances. Some have dis continued their wholesale business and now conduct only a retail business; some have eliminated the brands they have been making and have substituted others, which are presumably cheaper; and some have eliminated the return of stale bread. The bureau has traced the change in weight or price between July 15 and September 15 of 210 brands of bread that retailed at 5 cents per loaf and 74 that retailed at 10 cents per loaf, on July 15. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 586] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 43 A table is given showing the changes in the 210 brands that retailed at 5 cents per loaf on July 15. C H A N G E IN W E IG H T OR P R I C E O F 2 1 0 ID E N T IC A L B R A N D S O F B R E A D O F D I F F E R E N T W E IG H T S , A L L R E T A IL IN G A T 5 C E N T S P E R L O A F ON J U L Y 15, 1916. B rands B rands selling on Aug. 15 a t— B rands selling on Sept. 15 a t— W eight before baking (scaling selling on Ju ly 15 a t w eight). 5 cents 6 cents 5 cents 1 0 cents 5 cents 6 cents 1 0 cents p er loaf. p er loaf. p er loaf. p e r loaf. per loaf. per loaf. per loaf. O unces. U nder 12.......................................... 1 2 ....................................................... 1 2 } ..................................................... 1 2 1 ..................................................... 1 2 | ..................................................... 13’ ..................................................... 13}..................................................... 131..................................................... 133..................................................... 14!.................................................... 1 4 '..................................................... 144..................................................... 14§..................................................... 15;..................................................... 154..................................................... 153..................................................... 16....................................................... 17....................................................... 174..................................................... 18!..................................................... 19..................................................... . 234............................................ 24....................................................... 28....................................................... Total .................................... 13 32 1 15 6 1 ..........: : 4 3 23 5 23 2 2 ! 2 2 y 9 i 46 4 17 3 53 21 1 2 28 27 5 2 2 45 33 5 50 21 6 3 32 2 4 7 6 3 2 1 4 4 2 i 8 3 1 9 3 2 3 4 3 1 1 2 2 2 1 !*' 3 210 207 3 187 17 6 Bv August 15, 3 brands had been increased in price to 6 cents, and there had been a reduction in the number of brands of heavier weight and an increase in the number of brands of lighter weights. By September 15, IT of the 210 brands had been increased to 6 cents and 6 brands to 10 cents; and the movement toward a reduction of weight where the price had not been changed bus much more marked. In July, 6 brands, or 3 per cent of the 210 brands, scaled at 12 ounces or under, while in September, 45 brands, or 21 per cent, scaled at 12 ounces or under. Comparing the heavier weights, the figures show that 73 brands, or 35 per cent, scaled at 15 ounces or over in July, while in September only 14 brands, or 7 per cent, remained at 5 cents and scaled 15 ounces or over. While detailed figures are not given showing the changes in the 74 loaves retailing at 10 cents on July 15, summary figures show ma terial reductions in weight. No 10-cent loaf scaled under 24 ounces in July, but in August, 1 scaled at 22 ounces, and in September, 10 brands, or 14 per cent, scaled 22 ounces or under. In July onefourth of the seventy-four 10-cent brands scaled at 26 ounces or un der, while two-thirds of the 10-cent loaves scaled at 26 ounces or under in September. Seven of the 74 loaves scaled at 30 ounces or over in July, while but 2 remained in this class in September. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis L5 8 7] 44 MONTHLY EEYIEW OF THE BUREAU OF LABOR STATISTICS. A more detailed analysis has been made by the bureau of the larger July groups in the above table. Such analysis shows that of 23 brands of bread retailing at 5 cents and scaling at 13 ounces on July 15 only 2 brands remained at the same weight and price on Septem ber 15. One brand remained at 13 ounces, but bad been advanced to 6 cents per loaf. Four brands bad been reduced to 12^ ounces and 10 brands to 12 ounces. All of the other brands had been reduced to lower weights, 1 as low as 10| ounces. Of IT brands retailing at 5 cents and scaling at 131 ounces on July 15, 6 remained at the same weight and price on September 15; 4 re mained at the same weight but had been increased to 6 cents per loaf, and 2 had been increased to 14 ounces and the price raised to 6 cents per loaf. The other brands of this group had been reduced in vary ing amounts, 1 to scale as low as 11 ounces. Tracing the change in the 53 brands retailing at 5 cents and scal ing at 14 ounces on July 15, it is found that but 14 brands remained at the same weight and price; 16 had been reduced to 13 ounces and 9 to 12 ounces; 1 had been reduced in weight to 13 ounces with the price increased to 6 cents; 4 brands remained at 14 ounces with the price advanced to 6 cents; 3 brands had been increased to 15 ounces and retailed at 6 cents; and 3 brands had been changed to a scaling weight of 28 ounces and retailed at 10 cents. It is interesting to note that while the scaling weight and price of these 3 brands had been doubled, thus continuing the same amount of bread for 5 cents, a saving probably had been effected in the amount of labor required per pound of product. The remainder of the 53 brands while re maining at 5 cents had all been reduced in weight, 1 brand to as low as 121 ounces. Of 28 brands retailing at 5 cents and scaling at 14| ounces on July 15, 8 had been reduced by September 15 to 13| ounces and 9 to 13 ounces; 1 had been increased to 15-| ounces and retailed for 6 cents, and 1 had been reduced to 14 ounces and retailed at 6 cents. The remainder of these 28 brands remained at 5 cents a loaf but had all been reduced in weight, 3 brands being reduced to as low as 12 ounces. Of 45 brands retailing at 5 cents and scaling at 15 ounces on July 15 all except 3 had been reduced in scaling weight or increased in price; 2 had been reduced to 14f ounces, 14 had been reduced to 14 ounces, 7 to 13| ounces, 15 to 13 ounces, and 3 to 12 ounces; 1 brand had been changed to a 27-ounce loaf to retail at 10 cents. The bureau, from its current figures on prices of wheat and flour, has also compiled comparative data for these articles from Septem ber back to May, and the price of bread on the pound basis has also been computed for the same period. The prices are for the middle https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [588] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 45 of each month. The table below shows the average price of each article, and in connection with such figures relative prices are given indicating the per cent that the price in each succeeding month was of the price in May. Thus, in September the average price of wheat was 134 per cent of the price in May; in other words, 34 per cent higher. The wholesale price of flour was 37 per cent higher than in May, the retail price 23 per cent higher, and the retail price of bread 11 per cent higher. AVERAGE WHOLESALE PRICES OF WHEAT AND FLOUR, AND AVERAGE RETxVIL PRICES OF FLOUR AND BREAD AT TIIE MIDDLE OF EACH MONTH, MAY TO SEPTEMBER, 1916. B read. W h ea t flour. W heat. A verage wholesale price. Average retail price. Average wholesale price. Average retail price. M onth. A ctual A ctual R elative A ctual R elative price per R elative A ctual elative price price per pound per price p er Rprice. price. price. price. before i barrel. barrel. bushel. baking. M ay............................... J u n e ............................... J u ly ............................... A ug u st.......................... S eptem ber................... 11.162 1.046 1.119 1.453 1.559 100 90 96 125 134 *15.48 5.11 5.44 7.07 7.49 100 93 99 129 137 SO. 953 .933 .923 1.074 1.174 100 98 97 113 123 SO.056 . 056 .056 .058 .062 100 100 100 104 111 The next table is of even more interest. It shows the retail margin of prices each month for flour and bread. At the middle of May the wholesale price of flour was $5.48 per barrel, while the retail price was $7.02, leaving a margin of $2.14 to cover railroad trans portation, cartage, the retailer’s expenses and profits, and usually a jobber’s expenses and profits between the mill and the retailer. In September the margin was $1.90 per barrel. These figures are market margins rather than profits, as retail prices do not always follow wholesale prices promptly owing to stock on hand, and minor fluctuations in wholesale prices frequently do not affect retail prices. PRICE MARGINS OF FLOUR AND BREAD, MAY TO SEPTEMBER, 1916. M onth. M ay................................................ J u n e ............................................... J u ly ................................................ A u g u st........................................... S e p te m b e r. i ................................ C5847°—16-----4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W holesale price of flour (per barrel). R etail price of flour (per barrel). Margin of retail over wholesale price of flour (per barrel). $5.48 5.11 5.44 7.07 7.49 S7.62 7.46 7.38 8 .59 9.39 $2.14 2.35 1.94 1.65 1.90 [5891 W holesale Margin of price of retail price 10.45 ounces of bread R etail of flour in over 1 p ound of price per wholesale bread before pound of baking, bread before price of flour in assum ing baking. bread. 300 loaves to th e b arrel. $0,018 .017 .018 .024 .025 $0.056 .056 .056 .058 .062 $0,038 .039 .038 .034 .037 46 MONTHLY REVIEW OE THE BUREAU OF LABOR STATISTICS. Approximately three hundred 1-pound loaves of dough, weighed before baking, can be made from one barrel (196 pounds) of flour. On this assumption 10.45 ounces of flour are required to make 1 pound of dough. With the wholesale price of flour $5.48 in May the value of 10.45 ounces was 1.8 cents. The average retail price of bread that weighed 1 pound before baking was 5.6 cents in May, making a margin of 3.8 cents between the wholesale price of flour in a 16-ounce loaf of dough* and the retail price of the same loaf baked. This margin covers the cost of all other material entering into the bread, as sugar, lard, yeast, milk, etc., bakery wages, and other expenses of the baker, and his profit. This margin must also cover the cost of retailing and the retailer’s profit. A NALYSIS A N D COST OF READY-TO-SERVE FOODS. In a little volume of 83 pages entitled “Analysis and Cost of Ready-to-S’erve Foods,’'’1 Prof. F. C. Gephart, chemist of the Rus sell Sage Institute* of Pathology, in affiliation with the second medi cal division of Bellevue Hospital, gives the results of his analysis, conducted during the spring and summer of 1913, of the different portions or orders of food served in nearly half a hundred restau rants operated under one management in New York City. The purpose of this study in food economics was to obtain, if possible, data concerning the composition and energy content of various kinds of food that are actually chosen by the people for consumption. In all, about 350 orders were collected, the analysis representing prac tically the entire offering of the restaurants. The author presents a tabulation of 242 of these orders, showing the constituents of the food; their weight in grams; the cost of the samples; the number of calories2 present; the number of calories for each 5 cents of cost; the distribution of heat—that is, the per cent of protein, fat, and carbohydrate; and the classification of the food— that is, whether it is meat, pastry and dessert, eggs, sandwiches, fruit, soup, dairy dishes, beans, oysters, salads, or miscellaneous. A table of 23 sections is included, showing the constituents and the 1 A n a ly s is a n d C o st o f R e a d y -to -S e rv e F o o d s, by F . C. G e p h a r t, w ith a n in tr o d u c tio n by G ra h a m L u sk . A m e ric a n M ed ic a l A ss o c ia tio n , 535 N o rth D e a rb o rn S tr e e t, C hicago, 1915. 83 pp. - I t is e x p la in e d in th e in tr o d u c tio n t h a t in th e o x id a tiv e d e s tr u c tio n o f p ro te in , c a rb o h y d r a te , a n d f a t in th e fo o d h e a t is lib e r a te d a n d t h a t th e u n i t o f h e a t m e a s u re m e n t__ th e c a lo rie — is t h a t q u a n tity o f h e a t re q u ire d to r a is e l li t e r o f w a te r ( 1 .0 5 + q u a r ts ) 1° C. I t is e s tim a te d t h a t th e fu e l re q u ire m e n t o f “ t h a t g re a t c la s s o f h u m a n b e in g s w h o se b u s in e s s i t is to s it a t t h e ir d e sk s o r to w a tc h m a c h in e r y a n d w h o m a y w a lk to a n d fro m t h e i r w o rk is 2 ,5 0 0 c a lo rie s , t h a t in d iv id u a ls w h o s ta n d a t w o rk r e q u ire a b o u t 3 ,0 0 0 c a lo rie s , t h a t fa r m e r s re q u ire 3,5 0 0 , s to n e m a s o n s 4 ,5 0 0 , lu m b e rm e n 5,000 a n d over. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 590] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 47 number of calories and total nutritional calories for 5 cents, of certain samples of food which were repeatedly analyzed; also a table pre senting for certain foods the cost of 2,500 calories1 as well as the cost per portion, the estimated wholesale cost of the ingredients per portion, the nutritional calories per portion, and the nutritional calories for 5 cents. From this table it is seen that there are 184 dishes yielding 2,500 calories at a maximum cost of $1. A final table gives a summary of the cost of 2,500 calories with reference to the kind of food purchased. The following table indicates the foods containing the highest and lowest nutritional calories for 5 cents as analyzed by Prof. Gephart: FO O D S F U R N IS H IN G H IG H E S T A N D L O W E S T N U T R IT IO N A L C A L O R IE S F O R 5 C EN TS. N u tritio n al calories for 5 cents. Classification. N um ber of orders. S oups........................ M eats........................ Sandw iches............. E ggs.......................... B eans....................... D airy dishes........... O ysters..................... P a stry a nd d essert. Salads....................... F r u its ....................... Miscellaneous.......... Highest. Lowest. Beef s te w ................................................... L am b croquettes a n d m ashed potatoes R oast beef sandw ich w ith roll.............. Plain o m elet...... ..................................... Boston baked beans................................ Milk crackers............................................ O yster p ie .................................................. N apoleon.................................................... Potato salad .............................................. Baked apple and c ream ..................... Corn m uffins............................................. Tom ato soup w ith rice. Deviled crab. Sliced chicken sandw ich. 2 poached eggs on toast. Boston beans “ on the side.” Cream of w heat. R aw oysters. S traw berry shortcake. Crab-meat salad. Cantaloupe. Tom atoes a nd lettuce w ith dressing. In the table showing the cost of 2,500 calories it appears that eacli of 34 orders supplied 2,500 calories for 50 cents or less, 18 of the number being classed as pastry and dessert; each of 157 orders sup plied 2,500 calories for 50 cents to $1, 60 of which were meat orders; each of 39 orders supplied 2,500 calories for $1 to $1.50, 10 of which were meat orders. It also appears that about 35 per cent of the orders costing $1 or less per 2,500 calories were meat orders. For 50 cents to $1, 2,500 calories were secured in nearly 64 per cent of all orders. In view of the fact that 80 per cen t2 of all the orders purchased by us sup plied 2,500 calories for «$1 or less, and that 35 per cent of this number were meat orders, it can hardly be argued that we are in the midst of the “ high cost of living.” A classified list of portions arranged in groups according to their caloric value is given for the purpose of furnishing an easy means of dietary regulation. From this table it is possible to choose the number of articles to total the desired food value of the meal, noting 1 F o r th e p u rp o s e of th i s s tu d y 2 ,500 c a lo rie s is ta k e n a s th e s ta n d a r d re q u ire m e n t fo r a m a n le a d in g a s e d e n ta r y life. 2 B a s e d on th e fig u re s in th e ta b le th e p e rc e n ta g e is 77.3. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [591] 48 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. in eacli instance the individual food value in round numbers of the portion, as well as the cost. From this table it appears that a mean of all orders purchased shows that 13.2 per cent of the total heat is derived from protein, this being regarded as an excellent physiologic mean. The volume contains an extended introduction by Graham Lusk, professor of physiology of the Cornell University Medical College, and scientific director of the Russell Sage Institute of Pathology. Prof. Lusk defines food as a “ well-tasting mixture of foodstuffs of such a composition that the body is not injured by its use, and of sufficient quantity to maintain the body in good condition,” and then proceeds to show the value of the flavor of food, the impor tance of considering its composition—that is, its protein, carbohy drate, and fat content—and the importance of regulating the quan tity consumed. In connection with his discussion of the latter the writer points out that the daily fuel requirement of a man leading a sedentary life is about 2,500 calories, and then gives as typical the composition of a ration containing 1,000 calories, 16 per cent of which is in protein and 84 per cent nearly equally divided between fat and carbohydrate. This ration includes— O unces. C alo rie s. Cooked beans______ __________________________________7 | Pork_______________________________________________1 Bread_____________________________ _________________2J B u tter_____________________________________________ 4 M ilk_____________ '___________________ _______________5 Coffee_____________ _________________________________5 400 234 180 103 100 __ The actual cost price of this meal is given as 4] cents, excluding labor and rent, but including the coal used. Thus the 2,500 calories required to maintain a man out of work on this diet would cost 10.6 cents a day, or $38.70 a year. The author presents a table, based on the results of Prof. Gephart’s analysis, giving the cost of each food if that particular variety were alone made to furnish 2,500 calories, to which is added the restaurant price of these 2,500 calories and the number of portions necessary to furnish them. Selected menus for a week are shown, giving the cost and caloric content of inexpensive dishes which may be ordered at a restaurant. These menus represent a total expenditure of $3.90 per week for 2,739 calories per day. The actual cost of a standard portion is said, to be from one-third to one-half the cost in the restaurant. Thus an order of ham and eggs, bread, butter, and potatoes, for which the restaurant charges 25 cents, costs approxi mately 12.44 cents for material only, and furnishes 800 calories. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [592] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 49 RETAIL PRICES IN FOREIGN COUNTRIES. The relative retail prices (index numbers) published by several foreign countries have been brought together by this bureau in the subjoined table after having been reduced to a common base, viz, prices for the year 1913 equal 100. As indicated in the table some of these index numbers are weighted and some are not, while the number of articles for which prices are quoted differ widely. They should not be considered as closely comparable with one another. The fol lowing illustration will serve to show the method of reading them: With prices for 1913 as the base or 100, it is shown that for Aus tralia the price of 46 foodstuffs, as reported from 30 towns in the Commonwealth, had increased 1.5 per cent in 1914; 21.7 per cent in 1915; 42.1 per cent in January, 1916; 49 per cent in February, 1916; 48.1 per cent in March, 1916; and 43.6 per cent in April, 1916. IN D E X N U M B E R S O F R E T A IL P R IC E S IN C E R T A IN F O R E IG N C O U N T R IE S , 1910 TO 1916. [Prices for 1913=100.0] Australia: 46 food Y ear a nd m onth. stuffs; 30 towns; weighted. 1910. 1911... 1912... 1913....................... 1914....................... 1915. . 1916: J a n u a ry . . . F ebruary .. M arch. France: foods; Great Canada: 13cities B ritain: 29 food over stuffs; 60 23 food 1 0 ,0 0 0 stuffs; cities; weighted. w eighted. popula tion; weighted. 94.8 97.3 107.8 1 0 0 .0 1 0 0 .0 1 0 0 .0 101.5 121. 7 105.4 107. 3 142.1 149.0 148.1 143. 6 112.7 114. 6 114. 0 113. 8 114.2 116.1 115.3 117. 6 M ay............... June July 1 100.4 . 99. 4 109.5 1 100 0 2 1 Ita ly : 7 food stuffs; 40 cities. 95. 3 95.3 99.7 102 .2 N eth er lands: 29 a rti cles; 40 cities. 99.1 100.9 104.4 95.6 94.8 98.1 1 0 0 .0 1 0 1 .8 105.9 1 0 0 .0 1 0 0 .0 101.7 129.4 9S.4 115.0 124.6 127.9 127. 8 128.2 127. 7 128.9 134.2 136.0 138.6 141.2 143.9 147.4 132.3 i F irst quarter. 2 New Zealand: 59 food stuffs; 25 towns; weighted. 1 0 0 .0 119. 2 119.9 120. 3 121. 3 122. 4 123.0 123.0 Nor way: 27 (24 Sweden: 56 com foods) modities; com modi 44 towns; ties; 2 1 weighted. towns. 87.7 94. 7 1 0 0 .0 100 94.0 93.7 99.8 1 0 0 .0 .9 118.4 102.5 123.6 139. 5 142.1 147.4 153. 5 162.3 172.8 136.9 T h ird quarter. A U S T R A L IA . The cost of living in Australia, meaning the cost of 46 food articles of ordinary consumption, based on average prices in 30 towns in Australia, had increased 31 per cent in May, 1916, as compared with July, 1914, according to recent statistics of the Commonwealth Bu reau of Census and Statistics, as contained in the January-March number of its quarterly labor bulletin. The following table shows the variations from 1911 in retail prices of food and groceries since July, 1914, the last month prior to the outbreak of the war, by means of index numbers of retail prices in 30 towns weighted on the basis of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 593] 50 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. the average expenditure for these commodities in the six capital towns : IN D E X N U M B E R S O F R E T A IL P R IC E S O F FO O D A N D G R O C E R IE S (46 IT E M S ) IN 30 TO W N S F O R S P E C IF IE D M O N T H S, 1914 TO 1910. [W eighted average for New South W ales. M onth and year. 6 cap ital tow ns in 1911— 1,000.] Victoria. Queens South W estem land. A ustralia. A ustralia. Tas m ania. W eighxed average for Common w ealth. 1911. J u ly ................................................... 1,165 1,105 1,082 1,247 1,412 1 ,2 0 1 1,164 1915. M arch............................................... A p ril................................................. M ay ................................................... 1,243 1,265 1,283 1,219 1,285 1,388 1,230 1,313 1,359 1,357 1,427 1,485 1,539 1,556 1,573 1,305 1,372 1,399 1,269 1,318 1,372 1916. J a n u a ry ............................................ F e b ru a ry ......................................... M arch............................................... A p ril................................................. M ay ................................................... 1,535 1,597 1,578 1,523 1,522 1,444 1,542 1,540 1,485 1,488 1,570 1,592 1,556 1,517 1,512 1,511 1,577 1,580 1,557 1,586 1,533 1,596 1,605 1,578 1,608 1,515 1,641 1,613 1,595 1,566 1,504 1,577 1,566 1,520 1,524 Increase for M ay, 1916, over Ju ly , 1914, in p er c e n t ............. 30. 5 34.7 39.9 27.3 14.0 30.4 30.9 CA NADA. The Canadian Labor Gazette for September, 1916, reports that— “ In retail prices of foods a substantial increase appeared in the weekly budget which includes 32 staple foods. For August the cost was $8.63 as compared with $8.46 in July, $7.78 in August, 1915, and $7.68 in August, 1914. In fuel and light, anthracite coal averaged higher and there were slight rises in soft coal, wood, and coal oil. Rent was also upward in some localities. As compared with prices last year higher levels appeared in all the foods except milk. Pota toes were considerably higher than a year ago, but not much higher than in 1914. Rent averaged nearly the same as in 1915, but lower than in 1914.” The table which follows shows the cost of a week’s supply of staple foods in terms of the average prices in 60 cities in the different Prov inces of Canada. COST P E R W E E K O F A FA M IL Y B U D G E T O F S T A P L E FO O D S IN T E R M S O F T H E A V E R AGE P R IC E S O F T H E C IT IE S IN E A C H P R O V IN C E . Province. N ova S co tia................................... P rince E d w ard Is la n d ................ New B ru n sw ick ............................ Q uebec............................................ O n ta rio ............................................ M anitoba........................................ Saskatch ew an............................... A lb e rta ............................................ B ritish C olum bia......................... 1910 1912 1913 1914 1915 Aug., 1914. Aug., 1915. Ju ly , Aug., 1916. 1916. ■$6 . 817 $6 . 776 $7.166 $7. 289 37.475 $7. 826 $7.494 $7.904 $8.466 $8.513 5.812 5. 795 6.107 6.338 6 . 693 6.617 6 . 543 6.602 7. 367 7.394 6 . 548 6 . S36 7.130 7.041 7.443 7.682 7. 592 7.686 8 . 407 8 . 579 6 . 331 6 . 457 6 . 968 6 . 870 7.158 7. 387 7.192 7. 240 8 . 2 2 1 8.297 6 . 504 6 .666 7. 251 7. 203 7.479 7.676 7.531 7.682 8 . 551 8.722 7.462 7.405 7. 884 7.873 8.149 8.071 7. 997 7.762 8 .345 8 . 424 7. 859 8 . 083 8.164 8 . 250 8.327 8.299 8.024 8.105 8 . 673 8 . 710 7.998 8.081 8.147 8 . 327 8.-266 8 . 209 7. 984 7. 787 8 . 224 8 . 716 8 . 321 8.789 9.028 9.128 7.606 8 . 807 9.355 8.723 9.014 9.201 T o ta l (all P rovinces)........ 6.954 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1911 7.138 7.339 7.337 [594] 7.731 7.866 7.679 7.781 8.457 8.627 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 51 D EN M A RK . Ih e Danish statistical office lias made several special inquiries concerning the increase in the cost of living consequent upon the war. The most recent inquiry relates to July, 1910. The cost of a house hold budget of an average workingman’s family, weighted according to actual consumption, and based upon budgetary studies made by the statistical office during the year 1910 in the city of Copenhagen, is expressed in terms of the current prices for any particular month, and comparisons made for different periods. On this basis the statistical office calculates that, from the outbreak of the war to July. 1910, the food expenses of an average workingman’s family in creased approximately 40 per cent and other expenses about 27 per cent, the total average increase being about 30 per cent. The results of the five investigations of the increase in the cost of living since the outbreak of the war are set forth in the following statement: R E L A T IV E COST O F L IV IN G F O R W O R K IN G M A N ’S FA M IL Y IN C O P E N H A G E N A T IN D IC A T E D P E R IO D S SIN C E T H E O U T B R E A K O F T H E W A R . D ate. Food. Ju ly , 191-1................................. Ju ly , 1915............................ October, 1915......................... F e b ru a ry ,1916......................... J u l y , 1916................................. 100 12 X 132 134 146 O ther expendi tures. 100 100 109 116 127 Total. 100 116 120 124 136 FR A N C E . The April issue of the official journal of the French statistical office (Bulletin de la statistique Générale de la France) shows an increase of 33 per cent in the cost of living in French towns of over 10,000 inhabitants (not including Paris) during the first quarter of 1916 as compared with the third quarter of the year 1914 after the war broke out. This estimate is founded upon continued investigations of the retail prices of 13 commodities of ordinary consumption as returned from the several cities in question. The prices obtained for each article are multiplied by the respective quantities consumed by an average workingman’s family as dis closed by an investigation in 1910 by the statistical office (see M o n t h l y R eview , July, 1916, p. 84), and the results added to secure the total cost of the budget at the desired period of time. Below are shown the results of these investigations since the first quarter of 1911, for all of France and for each geographical divi sion. An index number has been calculated for “All France,” with the cost of the budget for the third quarter of 1914 as the base or 100. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 595] 52 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. COST P E R Y E A R , IN D O L L A R S, O F A F A M IL Y B U D G E T O F 13 S T A P L E A R T IC L E S O F FO O D , F U E L , A N D L IG H T IN G IN T E R M S O F T H E A V E R A G E R E T A IL P R IC E S IN F R E N C H C IT IE S O F O V E R 10,000 IN H A B IT A N T S , E X C E P T P A R IS , B Y G E O G R A P H IC A L D IV IS IO N S A N D F O R A L L F R A N C E A T IN D IC A T E D P E R IO D S O F T IM E , 1911 TO 1915. All France. G eographical divisions. Period. A m ount. R elative cost. F irst q u arter, 1911......................... I irst q u arter, 1913......................... T hird quarter, 1914....................... F irst q u arter, 1915......................... T h ird q u arter, 1915....................... F irst quarter, 1916......................... 1195.70 194.93 193. 77 213.46 238.36 257.85 N orth. E ast. South east. South. 1 0 1 .0 100 6 $204.39 201.30 1 0 0 .0 1 1 0 .2 2 1 2 .1 1 $193.39 190. 8 8 190. 6 8 213.46 232. 57 246.27 $2 1 2 . 8 8 199. 95 196.47 215.20 237.58 256.11 $195.90 200. 33 190. 6 8 210.37 243.37 267. 8 8 . 123.0 133.1 223.88 246. 85 273.10 W est. $191.65 190.11 181.81 205. 74 231.02 245.11 GREAT BRITAIN. On September 1 the average increase in the retail prices of food in Great Britain since the beginning of the war may be put at 65 per cent, according to the Board of Trade Labor Gazette for September. This percentage makes allowance for the relative im portance of the various articles of food in working-class household expenditures and relates to food only. The estimate must not be applied to the total family expenditures, therefore, but only to that proportion which is expended on food. Summarizing the situation as of September 1, 1916, the Labor Gazette notes an increase of about 4 per cent in retail prices since August 1. During the month the price of butter and flour increased about 10 per cent, of bread 7 per cent, and of bacon 5 per cent. Slight increases were shown for fish, cheese, granulated sugar, and milk. As compared with a year ago (September 1, 1915), the general level of prices showed an increase of about 22 per cent. Advances recorded in prices of meats ranged from 15 per cent for ribs of beef (domestic) to 33 per cent for cold-storage breast of mutton. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [590] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 53 P E R C E N T A G E IN C R E A S E IN P R IC E O F FOOT» C O M M O D ITIES IN G R E A T B R IT A IN ON S E P T E M B E R 1, 1916, O V E R JU L Y , 1914. Percentage increase from Ju ly , 1914, to Sept. 1,1916. A rticle. Small Large tow ns (population tow ns and over 50,000). villages. Beef, B ritish: R ib s ............................. - ............................................................................. T hin fla n k ....................................................................... Beef, chilled or frozen: R ib s ............................................................................................. T hin fla n k ................................................................................................... M utton, B ritish: L egs................................................................................................. B reast........................................................................................................... M utton, frozen: L egs.............................................................................................................. B reast............................................................................................................ Bacon (s tre a k y )............................................................................................ Fish...................................................................................................................... Flour (households)........................................................................................... B re ad ................................................................................................................... T e a ....................................................................................................................... Sugar (g ran u la te d ).............................................. M ilk ..7 .................'.................................. .............................................. B u tte r: F re s h ................................. .......................................................................... S a lt................................................................................................................ Cheese.................................................................................................................. O leom argarine....................................................................................... Eggs (fresh)........................................................................................................ P o ta to e s............................................ .............................................................. T o ta l 1 ................................................................... 1 ................. U nited K ingdom . 61 87 72 60 80 S3 76 92 80 97 54 55 80 102 92 68 50 50 160 32 84 117 46 87 62 54 50 163 35 55 49 49 48 17 78 49 48 48 46 18 82 52 68 62 65 89 123 49 103 59 58 51 166 39 48 47 45 20 86 80 111 42 70 W eighted n e t percentage increase. IT A LY . The semimonthly Bollettino of the Italian labor office publishes each month a short table of retail prices of seven articles of ordinary consumption, showing average prices in a varying number of cities (40 to 43), as furnished by cooperative stores, local labor unions, and chambers of commerce. Relative prices of these same commodities are also shown in parallel columns, the base from which changes are reckoned being the average prices for the year 1912. The following table shows the actual and relative prices of the seven commodities for each of the months March, April, May, and June in 1915 and 191G: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [597] 54 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. A C T U A L A N D R E L A T I V E P R IC E S O E A R T IC L E S O F F O O D B A S E D O N A V E R A G E P R I C E S IN 43 C I T I E S IN I T A L Y . A V ER A G E A C T U A L P R IC E S . M arch. A rtic le. A p ril. M ay . June. U n it. B re a d , w h e a t.............................. F lo u r , w h e a t ............................... M a c a ro n i, s p a g h e tti, e tc .......... B e e f................................................ L a r d ............................................... O il, t a b le ....................................... M ilk ................................................ Pound . ..d o . . . - . .d o ... . . .d o ... . . .d o ... Q u a rt . . .d o ... 1915 1916 1915 1916 1915 1916 1915 1916 Cents. 4.2 4.8 5.7 14.2 18.6 33.8 6.1 V ents. 4. 5 4.9 6.5 21.3 24.1 42.0 6.8 Cents. 4.3 4.7 5.8 14.0 19. 2 34.9 6.0 Cents. 4.3 4.7 6.5 21.0 25.0 42.7 6.6 Cents. 4 .3 4.7 5 .8 14.9 19.6 35.6 6.1 Cents. 4.4 4.8 6 .6 21.5 24.9 43.1 6.7 Cents. 4.1 4 .6 5.9 15. 7 20.3 34.9 6.1 Cents. 4.4 4.8 6 .6 21.3 24.9 42.7 6 .8 R E L A T IV E P R IC E S . B re a d , w h e a t.............................. F lo u r , w h e a t .............................. M acaro n i, s p a g h e tti, e t c ......... B e e f................................................ L a r d ............................................... O il, t a b le .............................. ........ M ilk ................................................ A il c o m m o d ities Pound .. .d o .. . ..d o .. .. .do .. do Q u a rt ...d o .. A V ER A G E P R IC E S FO R 1912-100. 114.3 123.0 116.9 94.2 102.4 92.5 97.6 120.6 126.2 134. 4 141.3 132.2 115.0 108.4 114.8 121.3 119.9 93.0 105.2 95.5 96.2 117.2 122.6 134.4 139. 5 137.5 117.0 106.1 105.8 125.4 100.5 124.9 119.9 98.8 107.6 97.5 96.8 118.1 124.9 136.0 143.0 137.0 118.0 106.4 111.5 118.0 120.7 104.0 111.5 95.0 97.0 117.3 123.5 135.8 141.3 136.5 117.0 108.7 108.3 126.2 108.2 125. 7 115.0 122.8 N ETH ERLA N D S. The following table is published in the Journal (Maandschrift) of the Dutch statistical office for August, 1916, and presents the yearly relative prices for 1913, 1914, and 1915, based on the average monthly price for 29 articles of daily consumption, and the relative prices for the months of January to July, 1916. The basic prices are those re ported by two cooperative associations—one with branches at Am sterdam, Haarlem, Arnhem, Utrecht, and Leeuwarden and the other at The Hague. The average prices reported for 1893 are taken as a base for calculating the relative prices. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5 9 8 ] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 55 R E L A T IV E R E T A IL P R IC E S IN T H E N E T H E R L A N D S , 1913, 1914, 1915, A N D JA N U A R Y TO JU L Y , 1916. [ Average prices, 1893=100.] Com m odity. 1913 Beans, b ro w n ............................... Beans, w h i t e .............................. Peas, c h ic k .................................. Peas, yellow ................................. Peas, green.................................... B arley, pearl................................ B uckw heat, g ro ats..................... O atm eal......................................... Cheese, L e y d e n ........................... Cheese, full cream ....................... Coffee.............................................. O leom argarine............................. F lour, ry e ...................................... Flour, w h e at................................ Flour, buck w h eat....................... B u tte r ............................................ B u tte r, cooking........................... Oil, ra p e ........................................ R ice................................................ S o d a ............................................... S ta rc h ............................................ S iru p .............................................. Sugar, m o ist................................. Sugar, g ra n u la te d ....................... 'Pea................................................. Vermicelli...................................... Soap, w hite, B ristol................... Soap, green, soft.......................... Salt"................................................. 154 166 150 125 157 113 104 103 140 124 94 127 85 124 105 94 135 130 no 83 103 Average, all commodities 1914 157 17<3 101 139 143 no 117 103 139 125 8S 99 81 129 110 97 142 137 116 83 107 100 100 89 85 112 121 91 89 113 128 100 100 87 80 87 80 114 116 1915 Jan u F eb ru a ry , ary , March, April, 1916. 1916. 1916. 1916. 175 196 204 200 210 210 178 157 160 142 171 137 160 137 91 175 157 207 152 187 140 161 127 96 175 157 213 152 192 140 164 124 97 105 119 153 176 144 223 199 125 233 137 146 115 102 102 115 159 152 130 207 192 128 117 130 125 105 98 116 203 119 119 153 176 144 226 186 125 233 137 132 115 211 221 175 157 213 152 192 140 164 128 99 110 122 153 176 144 228 208 131 250 143 146 115 214 241 175 157 207 155 192 140 ■ 164 125 100 111 122 159 181 146 226 212 141 283 150 150 115 Mav, 1916. June, 1916. 218 255 181 150 207 158 192 147 191 130 104 310 189 157 213 161 196 153 187 133 103 111 122 165 181 147 226 216 156 283 153 150 115 221 July, 1916. 214 314 194 161 213 165 204 153 187 133 103 111 111 130 165 186 149 226 216 141 283 167 154 115 133 165 200 149 226 216 141 300 170 161 115 100 120 100 120 100 120 102 102 90 207 126 129 90 207 123 142 90 207 123 150 90 119 207 123 154 90 207 123 158 90 119 207 126 158 90 119 207 126 158 90 142 153 155 158 161 164 168 170 121 100 100 121 N E W ZE A LA N D . According to a recent number of the Journal of the New Zealand Department of Labor, the cost of living as related to family expendi tures for food had increased 18 per cent in the second quarter of 1916 as compared with the second quarter of the year 1914, and 17 per cent in the first quarter of 1916 as compared with the corre sponding quarter of the year 1914. In 1915, compared with 1914, the cost of living was 12 per cent higher during the first quarter and 22 per cent higher in the second quarter. These percentage increases are based on retail prices of 59 food products as returned from 25 towns in New Zealand, and are weighted according to the average consumption of each article as ascertained by a study of the total average amount consumed in the country during the 10-year period 1905-1914. The index number of the department for the earlier years and down through 1913 was based on prices collected monthly from 50 retailers in the four principal cities, and is weighted according to the method indicated above. It is found by dividing the aggregate expenditure for the commodities or group of commodities by the average aggregate annual expenditure for these same commodities or groups of commodities during the base period 1909-1913. Begin- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [5 9 9 ] 56 M O N T H L Y REVIEW OF TH E BUREAU OF LABOR STATISTICS. ning with 191-1 the compilation of index numbers of retail prices was extended to include 25 cities, each city being given its proper impor tance or weight in affecting the general price level, according to its population. The results for 1912 and 1913 and for each quarter of 1914, 1915, and 1916 are contained in the following table: IN D E X N U M B E R O F R E T A IL P R IC E S O F F O O D S T U F F S IN N E W Z E A L A N D , 1912 TO 1916.] [B ase: Average aggregate an n u al ex penditure in four chief centers, 1909-1913=1,000.] . Y ear or q u arter. Groceries. 1912................................................................................................ 1913................................................................................................ 1914: F irst q u a rte r....................................................................... Second q u a rte r.................................................................... T hird q u a rte r...................................................................... Fourth* q u a rte r.................................................................... 1915: F irst q u a rte r........................................................................ Second q u a rte r.................................................................... T hird q u a rte r............................ ........................................ F o u rth q u a rte r................................................................... 1916: F irst q u a rte r........................................................................ Second q u arter............. ..................................................... D airy produce. Meat. T otal of three food groups. 1029 1050 1001 1023 1047 1017 1037 1039 1038 1071 1161 1042 1089 1032 1017 1107 1117 1177 1210 1201 1100 1212 1204 1219 1209 1184 1022 1221 1063 1077 1098 1146 1170 1133 1213 1171 1223 1332 1186 1194 1203 1238 1187 1330 1321 1330 1242 1268 1 T he index num bers for 1912 a n d 1913 relate only to th e 4 principal cities; those for 1914, 1915, and 1916 are based on re tu rn s from 25 principal tow ns. T he n u m b er of articles returned is 59. N O RW A Y . Official reports from the Norwegian labor office show that the general level of prices of 27 different articles, for which prices are reported from 21 industrial centers, rose 97 per cent in June, 1916, as compared with the prevailing level of 1911. Compared with 1911 prices were 15 per cent higher in 1914; 35 per cent higher in 1915; with a continuing increase to 59 per cent in January, 1916; 62 per cent in February; 68 per cent in March; 75 per cent in April; 85 per cent in May; and 97 per cent in June. The largest rate of increase has been shown by meats and by coal and coke. Compared with prices in July, 1914, the general price level of June, 1916, for 33 articles of household consumption increased 71 per cent. In calculating this average percentage increase no account is taken of the fact that these articles are consumed in greatly varying quantities. If consideration is given to the quantity of each article consumed by an average family, of about five persons, whose income ranges from 1,200 to 1,750 crowns ($321.60 to $469),as ascertained by an actual study of family budgets by the Norwegian labor office in 1912-13 in six of its principal industrial cities, the increase comes to 61 per cent. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [600] M O N TH LY EEVIEW OF TH E BUREAU OF LABOR STATISTICS. 57 R E L A T IV E P R IC E S IN N O R W A Y O F 9 G R O U P S O F A R T IC L E S O F H O U S E H O L D C O N S U M P T IO N , A S R E T U R N E D F R O M 21 IN D U S T R IA L C E N T E R S . [Average prices Ju ly , 1914=100.] R elative prices in— Group of articles. March, 1916. A pril, 1916. M ay, 1916. June, 1916. Meats (beef, m u tto n — 8 v arieties)........................................ P ork (3 v arieties)...................................................................... D airy products (b u tter, eggs—5 v a rie tie s)......................... Cereals (17 v a rie tie s)................................................................. Coflee (3 v a rie tie s).................................................................... Sugar (3 v arieties)..................................................................... Petroleum (3 v arieties)............................................................ Coal and coke (2 v a rieties)...................................................... 149 154 132 173 106 142 130 199 All com m odities............................................................. 149 161 154 129 175 103 156 145 210 179 162 127 176 103 169 148 229 192 164 133 177 105 183 149 273 155 162 171 SW EDEN. According to the journal of the Swedish labor office (No. 7, 1916), the average price of 51 articles of ordinary household consumption showed an increase of 48 per cent during the second quarter of 1916, as compared with average prices prevailing in July, 1914. These prices are based on returns received from 44 industrial centers throughout the kingdom. Considering commodities separately, in creases in prices fluctuated very considerably, as from June, 1914, to June, 1916, imported coal increased 143 per cent in price, beans 133 per cent, and salt herring 121 per cent. Sugar showed the lowest increase—6 per cent. In Stockholm the cost of a family budget consisting of those arti cles included in the returns for retail prices had increased 39 per cent in June, 1916, as compared with the average cost for the sevenmonth period January to July, 1914. In this statement consideration is given to the amounts consumed by an average family of about 4 persons, with income of about 2,000 crowns ($536), as ascertained by a special investigation of the labor office, 1907-8. The amount of such an annual budget as based on aver age retail prices, January to July, 1914, was 793.43 crowns ($212.64), while in June, 1915, it was 1,006.94 crowns ($269.86), and in June, 1916, 1,106.41 crowns ($296.52), increases, respectively, of 213.51 crowns ($57.22) and 312.98 crowns ($83.88). The table which follows shows the relative cost of 6 groups of commodities of ordinary household consumption as reported for the third and fourth quarters of 1914, for each of the quarters of 1915, and the first two quarters of 1916, based on the average monthly retail prices of 51 commodities as reported from 44 industrial centers in Sweden. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [601] 58 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. R E L A T IV E P R IC E S O F G R O U P S O F C O M M O D IT IE S O F H O U S E H O L D C O N S U M P T IO N , AS R E P O R T E D FR O M 44 IN D U S T R IA L C E N T E R S IN S W E D E N , T H IR D Q U A R T E R , 1914, TO SECO N D Q U A R T E R , 1916. [Average prices J u ly , 1914=100.] C om m odity. T hird F o u rth F irst Second T hird F ourth F irst Second quarter, quarter, quarter, quarter, quarter, quarter, quarter, quarter, 1914. 1914. 1915. 1915. 1915. 1915. 1916.. 1916. D airy p roducts, including eggs and oleomargarine ( 1 0 com m odities)___ B read, flour, a n d cereals (11 com m odities) ................................................ M eat ( 8 com m odities)............................. F ish (9 com m odities)............................. O ther foods ( 6 com m odities)................ F uel and lighting (7 com m odities)___ 101 110 112 114 124 141 143 146 109 98 118 95 135 102 102 103 107 112 124 106 103 128 108 112 135 119 133 137 118 129 135 124 140 142 130 151 124 144 150 137 159 125 157 152 138 167 All com m odities (51)....................... 103 108 114 121 129 138 143 14S 122 102 The following table shows the annual cost of a budget of house hold commodities required for the needs of an average family, of about four persons, whose annual income is approximately 2,000 crowns ($536), based on the average monthly retail prices for 44 centers in Sweden, January to July, 191f, June, 1915, and June, 1916, together with the per cent of increase in June, 1915, and June, 1916, over the period January to July, 1914: COST O F A N N U A L B U D G E T O F H O U S E H O L D N E C E S S IT IE S O F A FA M IL Y A V E R A G IN G 4 P E R S O N S B A SE D ON T H E A V E R A G E M O N T H L Y R E T A IL P R IC E S O F 56 COMMOD IT IE S R E P O R T E D FR O M 44 TO W N S IN S W E D E N , JA N U A R Y TO JU L Y , 1911, A N D F O R J U N E , 1915, A N D JU N E , 1916. Per cent of increase over Jan u ary -Ju ly , 1914, in — A m ounts. G roup of commodities. Jan u ary to July, 1914. June, 1915. June, 1916. June, 1915. D airy products, eggs, and oleom argarine... B read, flour, a n d cereals.................................. M eats................................................................... F ish.................................................................... O th e r foods.......................................................... F uel a n d lighting.............................................. $76.12 42.95 41.82 6 . 51 28.39 16.85 $94.17 59.22 59. 23 5.94 31. 46 19.84 $107.05 54.92 67.66 10.90 30.90 25.09 23.7 37.9 41.6 18.8 1 0 .8 8 .8 17.8 48.9 All com m odities...................................... 212.64 269.86 296.52 26.9 39.4 1 June, 1916. 40.6 27.9 61.8 67.4 Decrease. SW IT Z E R L A N D . The Zeitschrift für schweizerische Statistik und Volkswirtschaft, Berne, published by the Swiss Statistical Society, in its second num ber for 1916, presents a table from which it may be gathered that the cost of living of an average family in Switzerland in June, 1916, was 39.5 per cent higher than in June, 1914. The cost of 33 food articles which entered into a family’s budget had increased 40.6 per https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis £602] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 59 cent during the same period, while other necessities had increased 29 per cent. These results are based on returns of retail prices from 266 cooperative stores, as compiled by the director of the cooperative league. A true budget is made by multiplying the average retail prices so reported by the amount of each of the articles consumed by an average family, consisting of two adults and three children under 10 years of age. The following table is a summary of the results of investigations for the months of June, 1914, 1915, and 1916: COST O F L IV IN G O F AN A V E R A G E F A M IL Y IN S W IT Z E R L A N D , AS O F T H E M ON TH S O F J U N E , 1914, 1915, A N D 1916. A nnual ex penditure of an average fam ily on th e basis of average prices in — Per cent of increase over June, 1914, in — •Tune, 1914. June, 1915. June, 1916. June, 1915. D airy p ro d u c ts................................................... F a ts...................................................................... Cereals.............................................. Beans, peas, lentils, e tc .................................... Meats.................................................................... Eggs....................................................................... Potatoes.............................................................. Sugar a nd h o n e y ................................................ Beverages (tea, coffee, chocolate).................. $63.86 7.82 41. 52 1.84 38.46 7. 72 6 . 75 7.35 7.03 $67.81 9.35 57.37 2.89 44. 57 1 0 . 81 7. 72 S. 96 7.38 $75. 56 12.87 64. 77 3.17 54.71 13.90 9. 65 13. 59 Total foodstuffs......................................... Fuel and lighting, and soap............................ 182.35 19.03 216. 8 6 21.90 G rand to ta l................................................... 201. 38 238.76 Group of articles. June, 1916. 19.6 38.2 57. 1 15.9 40.0 14.4 21.9 5.0 18. .3 64.6 56.0 72.3 42.3 SO.O 42.9 84.9 16.6 256.42 21. 56 13.9 15.1 40.6 29.1 230.98 IS. 6 39.5 8 .2 0 6 .2 Official data from the statistical office of the Canton Basel City were published in the journal referred to above, showing that in April, 1916, beef was 32 per cent higher than in April, 1914, veal 30 per cent, fresh pork 35, bread 43, and eggs 41. The simple price level (unweighted) of 8 articles was 29 per cent higher in April, 1916, and 14 per cent higher in April, 1915, than in April, 1914. These data are based on retail prices of eight food commodities reported from 30 cities. The table which follows shows the average prices for each quarter from April, 1914, to April, 1916, inclusive, and the per cent of increase from April, 1914, to April, 1915 and 1916. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 0 3 ] 60 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. P R IC E S O F S P E C IF IE D A R T IC L E S O F FO O D B A SE D ON A V E R A G E P R IC E S IN 30 C IT IE S IN SAVIT Z E R L A N D , JA N U A R Y , 1914, TO A P R IL , 1910, A N D P E R C E N T O F IN C R E A S E IN A P R IL , 1915 A N D 1916, O V E R A P R IL , 1914. 1914 Article. 1915 P er cent of increase over A pr., 1914,in— 1916 U nit. Jan. Apr. July. Oct. Jan. Apr. July. Oct. Jan. Apr. A pr., A pr., 1915. 1916. Beef (w ith bones’).................... Veal (w ith bones).................... P ork, fresh (w ith bones)........ M ilk......................................... Table b u tte r .............................. Cheese, E m m entaler, first quality . B read (q u ality in common use).i Eggs, dom estic......................... 1 Cts. Cts. Pound . ..d o ... ...d o ... Q uart Pou n d .. d o ... 17.3 20.9 21.4 4. 2 32.2 20.3 17.3 17.5 22.1 21.4 21.3 4. 2 4 2 32.0 31.6 20.4 20.3 Cts. . . . d o ... 3.2 2 0 .2 3.2 3.2 Dozen. 30.8 24.3 2 0 .0 Cts. Cts. Cts. 17.5 17.2 18.9 20.7 19.9 22.7 2 0 .2 21.3 24.3 4 1 31.0 33.1 34! 5 19.9 2 0 . 1 21.5 3.5 3.7 4.2 Cts. Cts. Cts. Cts. 2 1 .8 2 1 . 8 21.5 2 2 . 8 24.2 20.3 23.8 26.2 24.9 25.2 26.7 28.9 3408 3W 3 4o! 8 41.7 22.3 22.7 23.3 23.4 4.3 4.0 4.2 9 12 13 8 5 32 30 35 30 15 4.0 31 44 34.5 41.0 33.0 37.1 44.7 45.9 34.3 38 41 Since October, 1914, whole-w heat bread. 2 Decrease. FIFTH A N NU A L CONFERENCE OF THE NATIONAL HOUSING ASSOCIATION, OCTOBER 9-11, AT PROVIDENCE, R. I. The Fifth Annual Conference of the National Housing Associa tion was held in Providence, IJ. I., on October 9, 10, and 11. This association is composed of many different interests. There are those who are trying to improve housing conditions by means of legisla tion—the adoption of health ordinances, improved tenement-house codes, city-planning legislation, and State aid in home building. Closely connected Avith this group are city and State health officers and tenement-house inspectors. Then there are those whose primary interest is in the building and care of workingmen’s dwellings— model tenements, improA'ed housing enterprises, and employers’ hous ing developments. Due to the pressing need which exists at the present time for more dwellings in industrial communities, the sessions ay ere largely devoted to a consideration of the problems of industrial housing. One delegate stated that the present house famine was due to the fact that a sanitary four-room house at a rent within reach of the average workingman could not be made to yield over 4 or 5 per cent under present methods of building, and that the average investor is not satisfied with less than 10 per cent net on his money. The fol lowing methods for reducing this house famine were discussed: (1) Reduce the size of house provided; (2) increase the rent; (3) reduce the cost of construction; (4) induce investors to accept a reduced percentage of return; (5) discover some other means of providing houses. Mr. Perry R. MacNeille, a New York architect, in his paper, ‘‘ Industrial Housing—What Types of Houses to Build,” said: “ In https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [604] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 61 designing houses for married men the requirements vary with the number of children and with their age, but as these conditions are con tinually changing, average conditions must be met. Under average conditions two bedrooms, with a parlor so placed that it can be equally available for a bedroom, may be considered as the proper size for the majority of the houses. If the houses are for clerks and fore men, a separate dining room and kitchen are necessary; otherwise a large kitchen and living room combined are preferable.” As regards rents the same speaker said: “ If we take the average experience both in America and England, it will be found, I think, that a fair average rent for a man to pay is one-fifth of his monthly income; and if he is purchasing his home on the installment plan, his pay ments can be increased to one-quarter of his income; that is, a man receiving $2.50 a day could afford to pay $13 a month rent, or $16 in monthly installments on the purchase price. We would then have, in such a case, if we capitalized the yearly rental at 8 per cent,1 which allows for interest, management, taxes, and repairs, a total desirable investment of $2,000 for house and land complete. At the present time it is probably not possible in active manufacturing centers to keep as low as these figures.” Mr. John Nolen, city planning expert, declared that the minimum desirable house of four or five rooms can not be provided in the United States for less than $1,800 or $2,000; that is, for house and lot, with street improvements, essential public utilities, and neighbor hood recreation. Such a house must rent for $15 a month, and he declared that more than one-half of all the fathers of workingmen’s families earn less than $15 a week, and that unless it is possible to reduce the accommodations or increase the rent, the construction cost must be lowered or the per cent of return on capital decreased. Mr. Grosvenor Atterbury, architect, from New York City, in his paper “ How to Get Low-Cost Houses,” spoke of the. need of a scientific building code. He gave illustrations showing where the present code caused unnecessarily expensive construction. The major part of his paper dealt with the need of research in economic home construction. He said: “ It would be difficult to find a practi cal art which throughout all of the centuries of man’s civilization 1 M r. J o h n N olen, c ity p la n n in g e x p e rt, s a id t h a t h e c o n sid e re d S p e r c e n t g ro s s to be e n tir e ly in a d e q u a te to r e t u r n a f a i r n e t p ro fit on th e in v e s tm e n t a n d t h a t 1 0 p e r c e n t, o r w h e re th e ta x e s w e re v e ry low , p o s sib ly 9 p e r c e n t w o u ld be th e m in im u m g ro s s r e n t t h a t w o u ld r e t u r n a f a i r n e t p ro fit. M r. O w en B r a in a r d , a r c h i t e c t u r a l e n g in e e r a n d a d v is e r to th e U n ite d S ta te s S te e l C o rp o ra tio n , s ta t e d , “ M a n y re a l e s ta te m a n a g e r s in i n d u s tr ia l to w n s a llo w a s m u c h a s 5 p e r c e n t p e r a n n u m f o r th e m a in te n a n c e c h a r g e s on lo w -c o st h o u s in g .” M r. R ice, re a l e s ta te m a n a g e r f o r th e P i t ts b u r g h C ru c ib le S te e l Co., s t a t e d t h a t th e m a in te n a n c e c h a rg e s w e re u n u s u a lly h e a v y in a n i n d u s tr ia l to w n , d u e to th e fr e q u e n t m o v in g o f te n a n ts . 65847 ° — 10- -o https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 605 ] 62 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. lias made slower progress than the art of home building. I t is a curious fact that scientific and cooperative principles have been practically applied to the production of almost every other item in the poor man’s living account but the second largest single one—that of his housing. His bread, his clothing, and his watch are factory products, largely guaranteed—sometimes by government. His house is usually ‘ custom-made ’ and bought at the mercy of a speculative builder.” Mr. Atterbury then gave an illustrated talk showing the research work that he had been engaged upon under the auspices of the Ilussell Sage Foundation during the past seven or eight years. He showed photographs of the construction of houses out of large concrete sections which were made in the factory and put in place by means of a large crane. In conclusion he said, “ While in one sense we have only scratched the surface of the problem, in another sense we have passed the experimental stage, and I think are ready for commercial development.” Mr. Owen Brainard, architectural engineer and adviser to the United States Steel Corporation, in his paper “ Types of Construc tion for Low-Cost Houses,” said: “ I look for the development of clay production wherever there is a clay deposit adjacent to a con siderable community; and, indeed, the whole range of building ma terials and methods will undoubtedly be much affected in the future by this development of clay manufacture. At the present time the use of clay products is much restricted by heavy freight charges due to the limited development of manufacturing.” Later on, speaking of concrete construction, he said: “ I t seems conservative to assume that we will finally evolve some system of uniform units which will greatly reduce the cost of forms, and this will undoubtedly lead to the general adoption of the poured concrete wall. Thus far there has been but one method developed which obviates the necessity of fur ring the inside face of the exterior walls. In a monolithic wall with out voids such furring is absolutely necessary, and there have been many disastrous failures due to the attempt to evade this require ment. Concrete-block construction is excellent and produces eco nomical results, but the danger here is in the too rapid manufacture of the blocks, with a necessarily dry mixture, which produces a porous block highly absorbent of water. The quickly made porous concrete block can be successfully used as a base for stucco, and as the voids can be properly arranged, the plastering can be applied di rectly to the inner surface. Even with this there should be a water proofed coating on the inside face before the plaster is applied.” In the discussion following this paper it was brought out that where concrete or hollow tile blocks were used without stucco there https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 606] MONTHLY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 63 was often a leakage through the vertical joints and around the windows. It was stated by Mr. Perry R. MacNeille, who has made a study of this form of construction, that this leakage could be prevented by greater care in laying up the wall or applying a water proof coating. The leakage around the windows could be stopped bjr packing with some resilient material. Miss Mead, a New York architect, spoke of an interlocking brick that would do away with vertical leakage, and an interlocking hollow tile was spoken of that was so constructed that it would not have any leakage through the vertical joints. None of the delegates claimed to have discovered the solution of the problem of cheap building construction. In regard to a low per cent of return on capital invested in housing, Mr. CKven Brainard, in his address referred to on page 62, stated: “ It is natural and indeed unavoidable that the housing move ment should be led by philanthropists; nevertheless, no housing can be considered successful if it does not meet the requirements of the property owner or investor. I do not include in the philanthropic manifestations those industrial operations which have been carried on by manufacturers with a view to providing low-cost housing for employees, with a very low percentage of return upon invested capital, or indeed with no return, because these efforts produce real and substantial returns in the increased efficiency of the operating staffs and in the reduction of the great economic losses arising from the constant change in the staff. I recently had occasion to examine the housing conditions in one of the largest industrial towns in the country, where the conclusion was unavoidable that the solution of the problem of permanent employment was to be found in an increased improvement of the housing facilities.” Mr. Henry Sterling, secretary of the Massachusetts Homestead Commission, spoke on State aid in home building. He told of the passage of an amendment to the State constitution in 1914 permitting the loaning of State funds for home building. Mr. Arthur C. Comey, city planner and member of the Massachusetts Homestead Commis sion, explained that State aid to home ownership would not cost the taxpayers anything, as the State merely loaned its credit, under proper safeguards, to those who desired to own a home. Mr. Andrew1Wright Crawford, secretary of the A rt Jury, Phila delphia, urged city help in home ownership. He suggested that the city guarantee loans on home property. He stated that the city would make money through increased property values by encourag ing home ownership. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 0 7 ] 64 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. PROPOSED LEGISLATION IN SW EDEN FOR THE SETTLEMENT OF IN DUSTRIAL D ISPUTES. Repeated attempts have been made at legislation for the settle ment of industrial disputes in Sweden since 1887, which finally re sulted in the enactment of the law of December 31, 1906, creatinga group of conciliators, one for each district into which the'country was divided for that purpose. As simple conciliation was, however, not found adequate, a royal commission was appointed in 1907 (there had been others appointed prior to this). The report of this com mission resulted in the draft of a law which proposed giving legal standing to collective agreements, provided for the creation of a special arbitration tribunal, and extended the provisions for concilia tion and the making of collective agreements; but all attempts at legislation on the subject failed to progress beyond the introduction of bills in Parliament. A recent report1 by the labor department is the result of an exiamination of the whole matter of the settlement of industrial dis putes by the Swedish Government. The report reviews the history of industrial disputes in Sweden, analyzes the principles involved in legislation for their settlement, and submits a proposed law cover ing the whole ground. The past history of conciliation shows difficulties on the part of conciliators in getting information of a dispute before it results in a strike or lockout; thus, from 1907 to 1913, 362 disputes were re ported, 242 eventuating in strikes, and in 217 instances the concilia tors failed to get notice until after the occurrence of the strikE. Although there is need therefore of some amendment in the concilia tion law, yet the department of labor does not feel warranted in arriving at any definite conclusion as to the success of compulsory arbitration in those countries where it has been tried (Norway, Aus tralia, and New Zealand). However, there is a demand for the more expeditious and expert settlement of disputed points in labor contracts; this demand has grown more insistent, particularly since June, 1915, when the highest court declared that a collective contract entered into between em ployers and employees has standing at law. The new legislation proposed aims to strengthen the hands of the conciliators and to make possible judicial enforcement in certain classes of disputes; it affects both ordinary individual labor contracts (arbetsavtol) and collective agreements (Jcollektivavtal). It is pro vided that collective agreements must be in writing to have legal effect and shall not continue in force longer than five years; but for 1 K. Soeialstyrelsen. Underdanigt Utlatande med FSrslag till Lag om vissa Atgiirder till Framj'ande av Arbetsfred. Stockholm, 1916. 06 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 608] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 05 not less than one year if not otherwise specified in the agreement. A collective agreement is defined as an agreement between an employer or an association of employers and a trade-union, trade federation, or similar association of workmen affecting those conditions of work which may be made the subject matter of an ordinary contract of labor. Anything presumed or understood in a collective agreement, and concerning which disputes may arise, shall at arbitration be understood as implying what is actually the case in similar occupa tions or in the same locality for which the agreement is applicable. Section 6 of the proposed law provides that during the continuance of the collective agreement, and notwithstanding anything to the contrary in the agreement, no employer or employee or association of such who is bound by the agreement, shall attempt a strike or lock out or similar breach of the agreement the purpose of which is to secure a change in the agreement, to enforce an interpretation of its nature or legal effect, or to secure changes in working conditions con templated to become effective after the stated term of the agreement. d he proposed law accepts the principle of compulsory investiga tion by prohibiting a strike unless he has given notice of at least seven days. The law also prohibits a strike for a period of two days after notification of the purpose of a conciliator to intervene for the settlement of the dispute. The breach of a collective agreement or of the provisions of this law is apparently not made a criminal offense but is made subject to a fine, the measure of which is the nature of the fault and the injury caused. If several persons are involved in the breach of an agreement, then the amount of the fine is assessed according to the degree of culpability on the part of each. A special arbitration tribunal is to be appointed by the Crown, consisting of seven members and including representatives of both employers and employees. If enacted, this law would repeal the existing conciliation act of December 31, 1906, and become applicable on January 1, 1918. EXTENSION OF UNEMPLOYMENT INSURANCE IN GREAT BRITAIN. The British scheme of insurance against unemployment under Part I I of the National Insurance Act, 1911, went into effect July 15, 1912. A description of this scheme, as amended by the National In surance (Part I I Amendment) Act, 1914, appeared in the M onthly R eview for July, 1916. Its objects as there shown are to provide compulsory unemployment insurance for workmen in certain speci fied trades and to encourage voluntary insurance against unemploy ment by money grants from State funds to associations of persons in all trades and occupations paying out-of-work benefits. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [609] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. The trades compulsorily insured under the act of 1911 are as fol lows: 1• ByMding trade».—Construction, alteration, repair, decoration, or demolition of buildings, including manufacture of wood fittings commonly made in builders’ workshops. ?j. Construction of works.—Construction, reconstruction, or alter ation of railroads, docks, harbors, canals, embankments, bridges, piers, or other works of construction. 3. Shipbuilding .—Construction, alteration, repair, or decoration of ships, boats, or other craft by persons other than members of ship crews, and manufacture of wood fittings commonly made in ship yards. 4. Mechanical engineering.— Including manufacture of ordnance and firearms. 5. Iron founding , whether included under foregoing headings or not. 6. Construction of vehicles.—Construction, repair, and decoration of vehicles. /. Sawmilling (including machine woodwork) carried on in con nection with any other insured trade or of a kind commonly so car ried on. Foremen other than manual workmen, clerks, apprentices, and per sons under 16 years of age are excluded. Additional amendments to the principal act materially extending the scheme for compulsory insurance against unemployment were passed March 16, 1915, and July 19, 1916. The amending act of 1915 extends the application of the scheme to workmen employed abroad during the present war and for one year thereafter, in the trades insured under the act of 1911, on work connected with or arising out of the war. Ihe amending act of 1916, known as the National Insurance (Part II) (Munition Workers) Act, 1916, provides for temporary insurance against unemployment of the following additional groups of work men : (1) Workmen engaged on or in connection with munitions work as defined by the Munitions of War Acts, 1915 and 1916, except such classes of such work as the board of trade may by order exclude. Munitions woik, according to the definition referred to, may be briefly described as the manufacture or repair of any articles in tended oi adapted for use m war, or parts of such articles, and any materials specified in orders made by the Minister of Munitions. Tip to July 18, 1916, such orders had included balloon fabric, con structional steel, fire brick, glass for constructional purposes, glass for optical purposes, lead compounds, magnesite brick, materials re- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 610 ] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 67 quired for or for use in tlie manufacture of explosives, silica brick, worked timber, and card clothing. (2) All workpeople in the following trades, whether engaged in munitions work or not : 1. The manufacture of ammunition, fireworks, and explosives. 2. The manufacture of chemicals, including oils, lubricants, soap, candles, paints, colors, and varnish. 3. The manufacture of metals and the manufacture or repair of metal goods. 4. The manufacture of rubber and goods made therefrom. 5. The manufacture of leather and leather goods. 6. The manufacture of bricks, cement, and artificial stone and other artificial building materials. 7. Sawmilling, including machine woodwork, and the manufacture of wooden cases. In any establishment where some workmen are insured under the act of 1916, any other workman may, with his employer’s consent, be treated as if he were employed in a trade insured under the act. The Board of Trade may further extend by order the provisions of the act of 1916 to any other trade or branch of a trade in which a substantial amount of munitions work or other work for war purposes is carried on. The extension of the insurance to new trades and to munitions work by the act of 1916, as has been stated, is temporary only. Liability of employers and workmen to pay con tributions is to continue for a period to be determined by the Board of Trade but not longer than three years from the end of the present war or five years from September 4, 1916, whichever period is the longer. The right to receive unemployment benefits is to continue for a further six months or for such further period as the board may fix. Any deficiency in the amount of the unemployment fund when benefits cease to be payable under the act of 1916 is to be paid from Government funds. The provisions of the principal act as to con tributions and unemployment benefits are not subject to modifica tion in connection with the act of 1916 unless such modification would have been necessary if the latter act had not been passed. In determining the question of insurability the nature of the work in which the workpeople are engaged, rather than the business of their employer, must be considered. Such questions are deter mined by an umpire appointed by the Crown. Workpeople employed in the trades insured against unemploy ment under the act of 1911 are not affected by the new act. Under a regulation made in 1912, which also applies to workmen insured under the act of 1916, where a workman has been employed https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [611] bb M O N TH LY REVIEW OF THE BUREAU OF LABOR STATISTICS. by one employer partly in and partly not in an insured trade and contributions have, by arrangement between the employer and work man, been paid as if the whole employment were in an insured trade, such contributions are deemed as having been duly paid in respect of employment in an insured trade. The following provisions applying to employers and workpeople m the trades insured under the act of' 1911 do not apply to those insured under the act of 1916: (1) Kefunds to employers of 3 shillings (73 cents) for each work man for whom at least do contributions have been paid during the insurance year; (2) refunds to each workman, who has made 500 contributions and has reached the age of 60, of all his contributions, less what he may have received as unemployment benefit ; and (3) exemptions from paying contributions, both for workmen system atically working short time and their employers, where it appears to the Boaid of Trade that there is exceptional unemployment. WORKMEN’S COMPENSATION INVESTIGATION COMMISSION VIRGINIA. At its late session (1916) the Virginia Legislature had before it a bill for a workmen’s compensation haw, but in lieu of its enact ment the governor was authorized to appoint a commission to inves tigate and after examining the laws of the various States upon the subject, - to recommend to the next general assembly such legislation as, having regard to the peculiar conditions of Virginia, will do jus tice to both employers and employees.” Thé members are to serve without compensation and without provision for expenses. Appointments made by the governor in accordance with this reso lution are as follows: Hon. C. O’Connor Goolrick, of Fredericksburg, Va. Lee Long, general manager of Clinchfield“ Coal Corporation Dante, Va. C. H. Perry, of State Federation of Labor, Norfolk, Va. C. E. Michaels, president Virginia Bridge Co., Roanoke, Va. R. S. Barbour, manufacturer, South Boston, Va. Frank Ivruek, treasurer Central Trade and Labor Council Rich mond, Va, II. M. Cousins, of Brotherhood of Railroad Trainmen, Richmond, V a. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [G12] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 69 RELATION OF RAILROAD EMPLOYEES TO STATE AND FEDERAL COMPENSATION. A 16-page pamphlet1 issued on August 18, 1916, by the Pennsyl vania Workmen’s Compensation Board gives a list of appeals pending before the board involving the question of interstate commerce which, together with all subsequent appeals of this nature, are ordered to be placed upon a “ postponed calendar ” until the Supreme Court of the United States shall have passed upon the conflict of jurisdiction between Federal and State tribunals. This confusion, it is stated, arises from the fact that Congress by the act of 1908 legislated as to the matter of litigation when both the employer and the injured em ployee were engaged in interstate commerce, which act applies solely to employees of railroads, whereas since that date many States have enacted workmen’s compensation laws the administration of which necessarily conflicts with the Federal statute. In taking this action the board enters upon a discussion of the relation of railroad em ployees to State compensation, the conflict between Federal and State legislation, the duty of Congress, and the advantage of State regu lation. Declaring that there is no question that when Congress, within its constitutional rights, enters a particular field of legislation it acquires exclusive jurisdiction; that it is equally certain that although Con gress may have the power of legislating upon a certain subject, until it exercises that power, the regulation of that subject can be left to the legislatures of the States; and that Congress has no constitutional power to legislate upon purely intrastate matters; the board main tains that Congress should not enact laws affecting railroad employees in intrastate commerce. “A man is no less a citizen of his own State because he is engaged in railroading. The responsibility of the State toward him is not lessened because of the fact that he is employed by a carrier of interstate commodities. Therefore, why will not Con gress allow the State to solve the railroad man’s troubles as she does those of her citizens engaged in other industrial pursuits? ” The difficulty of determining whether both the injured man and the railroad company were engaged in interstate commerce at the time of the accident is noted as a factor in administering the Federal law, and court decisions are cited indicating a tendency “ to construe almost every form of activity on the part of a railroad employee as being in the nature of interstate commerce,” thereby leading to the conclusion that u there will be rarely a case where a railroad company can not avoid a State compensation law by pleading £interstate commerce.’ ” 1 P e n n s y lv a n ia . D e p a r tm e n t o f L a b o r a n d I n d u s tr y . W o rk m e n ’s C o m p e n sa tio n B o a rd . R e la tio n o f r a ilr o a d em p lo y e es to S ta te c o m p e n sa tio n , e tc . [ H a r r i s b u r g , 1 9 1 6 ], 16 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [613] 70 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. When it is remembered that no injured railroad employee can recover under the Federal act of 1908 unless there is evidence of negligence on the part of the defendant, and when it is further borne in mind that only a small percentage of such accidents present any evidence of negligence at all, it becomes perfectly evident that the railroad employees of the United States are, in the main, deprived of the benefits of workmen’s compensation laws which are extending their manifold mercies to the wage earners of so many States. In this connection it is noted that Congress is trying to meet this difficulty by passing a compensation law for employees engaged in interstate commerce, but here again the board suggests the difficulty of determining whether the employee was engaged in interstate commerce and also the difficulty of determining, with two tribunals in each jurisdiction to pass upon compensation for injured workmen, in which forum a given case should be started. This act would provide very little relief to approximately 2,000.000 men en gaged in railroading and its allied pursuits, who would be deemed to be under interstate commerce * * *, for the reason that it places a premium upon jury trials. The delays then incident to the administration of this act would be quite as great as those that existed in our common law courts before the adoption of the compensation laws. This act likewise would place upon the Government huge expenses of administration. It is believed that these difficulties would be solved by Congress repealing the Federal employers’ liability act of 1908. The happiness, contentment, and welfare of the vast army of railroad workers of the United States will be more promptly and thoroughly secured by allowing them to submit their claims for compensation to State tribunals than by any scheme that can be devised by Congress. Attention is called to the fact that one railroad system in Pennsyl vania is solving the difficulty by applying the schedules of the Pennsylvania workmen’s compensation act to each case of injury. (1) As to cases which are clearly intrastate, the Pennsylvania act is fol lowed by effecting an agreement with the claimant for the periodical payments provided in the act for that particular case. (2) As to cases' which are clearly interstate, or where there is any doubt as to the character of the commerce in which the employee was employed at the time of the accident, (a) where a claim petition has been filed, an agreement for a lump-sum payment is made, based on the schedule of the act, commuted by the board under sections 316 and 424, which is paid over to the injured em ployee, or, in case of death, to his personal representative, who signs a general release therefor. By this means protection both under the Federal and the State laws is secured, (b) Where no claim petition has been filed this company endeavors to effect a settlement on the basis of the schedule provided in the act, commuted to a lump-sum payment, taking a general release therefor, and notifying the compensation bureau of such settlement so that a proper record of the same can be kept by its department. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [614] M O N TH LY BE VIEW OF TH E BUREAU OF LABOR STATISTICS. 71 STATE INSURANCE COMMISSIONERS AND SOCIAL INSURANCE. The social insurance problem was much in evidence at the fortyseventh session of the National Convention of Insurance Commis sioners held in Richmond, Va., September 26 to 29 inclusive. The discussion of State compulsory social insurance by the insurance commissioners at an early date was planned in a resolution intro duced by Rufus M. Potts, State superintendent of insurance for Illi nois, at the St. Louis convention in December, 1915. The president, Burton Mansfield, insurance commissioner of Con necticut, plunged the Richmond convention into the midst of the con troversy in his opening address, taking as his subject “ The relation of government to our economic and social interests, with especial reference to insurance.” After discussing the question of private insurance companies, State monopoly of insurance, and State and private competitive insurance, he took up the topic of social insurance, as follows: No one matter lias been introduced into the deliberations of this body in recent years, it seems to me, which is of greater concern and so general in its extent as the resolution introduced by the superintendent of insurance of the State of Illinois at our meeting in December last in relation to social insurance. Whether we agree with him or not, we must admit that the question thus raised is of tremendous importance. Its foundation rests on a keener un derstanding of the common welfare—that welfare which has shaped the course of the workmen’s compensation acts now existing and being enforced in 35 States. Ten years ago they were scarcely known to the people and Nation at large; now they are so well established that they seem almost to have existed from a time when the memory of man runneth not to the con trary. The time came very rapidly when we realized that the wear and tear on the human frame in industry was much more entitled to our favorable con sideration than the wear and tear on the mechanical frame, and we. hastened to provide a remedy. So, too, without now discussing the many questions on their merits, shall we hasten quickly to provide against other dangers and mis fortunes of mankind, such as has been done in Europe for a generation. These provisions will be insurance against sickness, disablement, unemployment, ma ternity, old age and dependency among wage earners. Germany led the way in this respect over 30 years ago, and no other country has pursued so per sistent a course or so complete a plan as she has, although substantially all other European countries have followed her example. Naturally, all this has its effect and influence upon us. Mothers’ pension provisions have been adopted in a score of States, while old-age pensions, sickness insurance, and unemploy ment insurance have been agitated in Massachusetts, Wisconsin, New York, and Ohio, at least, and social insurance commissions have been appointed in California and Massachusetts. A study of the whole subject by the members of this convention is most desirable. We should know and understand fully the scope and character of social insurance; we should be ready to explain what it means, portray its weak points and emphasize its good points, .whenever and wherever occasion may require. This presents a different situation from that which exists by https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6151 72 M O N TH LY REVIEW OF THE BUREAU OF LABOR STATISTICS. virtue of the established order in the fire, life, and regular accident fields. I do not believe in State insurance here in any way, certainly not to the exclusion of other methods, but a door is being opened for its admission which has not hitherto existed. Social insurance is not necessarily State insurance, as some would think. The mutual-benefit funds of some European countries, found among the industrial workers, are as much social insurance as the State funds in some parts of our own country, which are maintained in connection with our compensation insurance; and the fact that New Zealand sells fire, life, and acci dent insurance in the same way in which a private company does, does not make such insurance “ social.” It does not seem to me that social insurance, when it comes, should be trans acted by the State alone. Many of the very people who are most concerned in its adoption, and for whose benefit it will be primarily introduced, are opposed to it. Mr. Frederick W. Mansfield, counsel for the American Federation of Labor, is reported to have expressed himself most emphatically in favor of competitive insurance in casualty cases and opposed to State insurance alone, which he regards as detrimental to the interests of organized labor. What is true of casualty insurance is equally true of other forms of insurance, so far as such other forms may be pertinent and applicable. Competitive insur ance is far preferable to State insurance alone, and State compulsory insurance, so frequently advocated in this connection, should come only after all other plans have failed. The public will consent, as I have said in another connec tion, to the retention of the old methods and organizations so long as those methods and those organizations give fair, just, and reasonable treatment. I have thus tried to introduce a subject which I regard as of great importance. Here at its inception is an opportunity for concerted action by the States. They are not hampered by precedents. Except in its application to Federal employees, the States have the whole matter of social insurance in their own hands, and there is no warrant or justification for Federal interference here any more than in those forms of insurance with which we are familiar. It has been claimed in this connection that the “ general welfare ” clause of the Constitution offers an opportunity and paves the way for legislation on this subject by Congress, but except as above indicated I can see no force in such an argument. The phrase “ general welfare ” can not be taken from its context and made to perform a duty for which it was not intended or applied to a condition to which it bears no relation. I should have been glad if this convention could have devoted a succession of its meetings to a consideration of this subject in all its bearings. Its be ginnings, its growth, its history, and its merits might well have been consid ered by us. In the absence of this, however, I shall be glad if I have contrib uted anything to your knowledge and consideration of so great a subject, and I am very sure that when the paper of our fellow member from Illinois is read we shall be edified and enlightened in a remarkable manner, for he has studied the subject of social insurance from all the angles and in all its varieties. Before us looms a mountain of real endeavor. The question is, Shall we be content to stand beneath it looking upward or shall we try to climb it? Discussion disclosed that State monopoly of insurance, especially if it had compulsory features, was not popular with the convention, the consensus of opinion being that the State that forced upon its subjects a system of relief -of suffering arising from sickness or https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [616] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 73 incapacity of the breadwinners was essentially monarchial if not despotic, no matter what it called itself. Mr. Potts’s paper, entitled “ To what extent is social or welfare insurance feasible in the United States and how should it be done,” was read at the beginning of the morning session of the convention on the 28th. He began by saying: Being chairman of your committee on social insurance, and also by reason of the inherent importance of the subject itself, I have become greatly interested in universal insurance for the purpose of making secure the economic welfare of every worker and citizen of the United States. I believe it to be the most weighty problem of our time. A large part of the paper was devoted to proof of the existence of unavoidable poverty and suffering through sickness, accident, un employment, premature deaths of breadwinners, and hence of the necessity for a system of universal insurance. Mr. Potts showed by estimates from German experience the enormous economic disturb ance and financial waste from loss of time alone inflicted by sickness. Having from his point of view established a need for a general insur ance which would not select only the healthy and “ preferred risks ” as a basis of money making, and thus exclude the very ones who were most in need of protection from a social point of view, he took up the constructive part of his theme. Below will be found liberal ex tracts from this part of his address: Naturally the next question is, “ What is the best way of relieving this suffering? ” In former ages the only method was neighborly assistance and wider general charity, frequently through the church. These still have their field of great usefulness to-day, but are entirely insufficient to adequately care for all such suffering. The only other method of relief that has been discovered that I have any knowledge of is through insurance methods. Successful insurance against the effect of uncertain contingencies rests on a certain fundamental fact which was disclosed only after knowledge had ac cumulated so that a record of the living experiences of large numbers of indi vidual men under the conditions prevailing in civilized communities had been made, thus permitting a comparison of these experiences. When this was done it was found, although the occurrence of disasters and misfortunes was very uncertain in relation to any particular individual, that, in relation to the total population of any country of sufficient size, their occurrence was approximately constant and regular. Some of these were certain to happen to somebody, and taking considerable periods of time, approximately the same number would occur in each period. Consequently, if all persons subject to a certain con tingency contribute a small sum according to the average frequency of such contingency to a fund held by a trustee and used for the purpose of reimbursing the pecuniary losses of those to whom the contingency occurs, we have a financially practicable method of securing the money needed for relieving all the victims of that kind of misfortune among the contributors to the fund. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [617] 74 M O N TH LY EE VIEW OF TH E BUBEA U OF LABOE STATISTICS. It is oil this very simple basis that the vast structure of modern insurance has been erected. Its development has been possible only through the gradual accumulation of the experience of millions of men in relation to many different kinds of calamities. The final result is that insurance against occurrences very uncertain from the standpoint of any one individual can be carried on as a business enterprise of stability and financial soundness, so that insurance has become one of the most reliable and profitable of all modern business enterprises. We see, then, that in insurance we have an available and adequate method for relieving the widespread suffering and poverty from the economic effects of unavoidable accidents, sickness, unemployment, and other misfortunes. * * * The mere existence of systems of insurance is not sufficient, and something more than present methods are necessary before the desired result— the complete relief of undeserved suffering—can be accomplished in the United States. I do not think it will require any extended argument to convince this audience that the systems of accident, sickness, and life insurance now in operation are wholly inadequate and reach only a small portion of the total population of the United States. The chief reasons why these do not reach all those needing insurance are as follow s: (1) The enormous expense of conducting the business, which, added to the large amount actually required to be collected to make up the fund to indemnify the losses resulting from the contingencies insured against, makes the total cost prohibitive to the larger part of our citizens, particularly wageworkers. (2) The lack of foresight and improvidence of many, which leads them to spend all the money they earn for the satisfaction of immediate desires and fancies. There may be other drawbacks, but these are of controlling im portance in most cases. What is needed is a plan which will meet both of these difficulties. Anything less will be incomplete and unsatisfactory. This brings me to the consideration of the desirability and feasibility of extending welfare insurance until it is universal, for the purpose of affording complete relief to all victims of unavoidable misfortune and their families. It does not seem to me that there should be any difference of opinion among humane men concerning its desirability. Charity for this purpose is both inade quate and detrimental. Unless suffering from hunger and cold, and unless lack of all pleasures and comforts of life, are good and beneficial to the unfortunate, then the only plan which holds out any promise of preventing such wants and distress is surely desirable. The next question is, “ Is universal welfare insurance feasible—that is, prac ticable—in the United States? ” That the theory of welfare insurance is sound and its operation practicable is proven by the fact that it has been and is in extensive use not only in many other nations, but also in the United States. The existing systems of accident, sickness, and life insurance in the United States are all welfare insurance. Their successful operation under very unfavorable conditions proves conclu sively that some welfare insurance is feasible. But is universal welfare insurance feasible? There is absolutely no reason why if partial use is practicable, universal use will not be also, if the cost can be reduced to the point where every person can pay the necessary premiums, and means of compulsion are available to make all those do so who are too improvident or obstinate to do so voluntarily. Those not able to work should be provided for by charitable methods, and those not willing to work when they are able to do so, which comprises the great army https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis t 618] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 75 of able-bodied beggars, tramps, criminals, and prostitutes, should be placed and kept in farm colonies, workhouses, or penal institutions, according to their char acter, and there compelled to work at least enough to produce what is needed to sustain their useless existence. This brings us to the final part of my subject—How can welfare insurance be best carried on? I have, I believe, considered and weighed every plan and suggestion that has been made in this connection, and I am obliged to say that, so far, I have only found one plan which holds out substantial promise of accomplishing the de sired purposes. This is the carrying on of a comprehensive system of compulsory welfare insurance, in all of its branches, by the National Government. While, of course, some reduction of the expense of conducting the insurance business under existing systems might be brought about by economy and efficiency, still, with the excessive acquisition and administration costs by reason of highsalaried officials and a great army of middlemen, the cost will always be exorbi tant. A compulsory system of welfare insurance carried on by the National Government will not only reduce the expense of operation to a minimum so low that it will be negligible, but will render it feasible and proper for the Nation to contribute in behalf of those earning low wages a part of the dues necessary on actuarial calculations to pay for complete welfare insurance. Above all, only by a national system can the compulsion be employed necessary to force the improvident and obstinate to make provision for their families and themselves when overtaken by misfortune. The insurance of all of the workers of the United States would include such enormous numbers that an almost unvarying law of average would result which would render the business as stable and certain as agriculture. The Nation would be entirely justified in paying the expense of conducting the business and of making such contribu tions of a part of the premiums, should same be found necessary, in case of those receiving a low income, because of the increase of production through greater individual and industrial efficiency, and also because it would greatly diminish the necessity for charitable relief. There would also be the same justification for the expenditure of funds raised by taxation for this purpose as for spending such funds to support the Department of Agriculture, the Fisheries Bureau, the Mining and the Geological Bureaus, and the maintenance of lighthouses and making of harbor and water way improvements. They all contribute to the general welfare of the people of the United States, which justifies their existence. It is admitted that the compulsory element of a welfare insurance system im plies that there is a considerable proportion of the people who do not have sufficient self-control, foresight, and thrift to voluntarily take advantage of the benefits of welfare insurance, even when the plan includes contributions from employers and subsidies from the Government. This is unfortunate and dis creditable but is an unalterable fact of human nature which must be taken into account in considering social plans, because in modern times even the thriftless and reckless can not be abandoned to perish by starvation and disease when unable to earn their own support. Therefore compulsion should be applied to the thriftless to force them at least to assist in making provision for the emergencies which will certainly later occur to many of them. It is coming to be generally admitted by those most competent to judge that for any branch of welfare insurance to even approximately fulfill its purpose by furnishing protection to the classes most needing the same it must be made compulsory on all. •I* * https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis n* *i" [619] H* H* 76 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. A general system of welfare insurance would furnish the absolutely secure institution for receiving the initial deposits and paying out, when the time came, these old-age annuities, and hence any able-bodied man who had knowl edge of the extraordinary results of such a plan of providing old-age pensions and the opportunity of making such provisions by reason of the existence of a secure institution for that purpose, but nevertheless failed to do so, would have absolutely no right to complain if compulsion forced him to make such provision. While compulsion in general is somewhat objectionable to Americans, it can not in any sense be as objectionable as the suffering which results from im providence, and there should not be any reluctance to apply compulsion to those so reckless, ungrateful, and improvident as not to take advantage of either a reasonable amount of insurance in an expense-free Government system or too thriftless to accumulate enough property for protection against accident, sick ness, old age, unemployment, and premature death. Compulsion is now used to enforce education, sanitation, tire prevention, food supervision, traffic regulation, and, in fact, obedience to all laws. Sentimental objections to the absolutely necessary compulsory feature should not be allowed to prevent the inestimable benefits of universal welfare insurance. That a general system of successful welfare insurance is possible only when carried on by the Nation is, I believe, conclusively proven by the fact that in all nations where it is in operation it is effected in this way. This is true of the almost complete systems now in operation in Germany and England, and also of the less complete systems of other European countries. This method has been adopted also in Australia, and in the States of Washington and Ohio in regard to workingmen’s compensation. An objection certain to be loudly and insistently urged is that a national system of welfare insurance would interfere with private business. When a private business which is for the purpose of supplying fundamental needs of the people has failed to perform its function at a reasonable cost, it then clearly becomes the duty of the Government to assume the operation of such business. Temporarily some insurance middlemen may lose employment, .but no man has a vested right to make an easy living by performing an unneeded function which increases the expense of a beneficent institution. By reason of the great extension of insurance to the whole people, which would occur by creation of a compulsory national system, employment will be given to many now employed under the private system who are skilled and capable, although, of course, there would be no $25,000 to $100,000 salaries paid to agents or officials as at present. The howl about welfare insurance interfering with private business comes from extravagantly paid men who would be sup planted by Government officials at moderate salaries and stockholders who realize they could not get such enormous dividends on their investments in any other business. A complete system of welfare insurance by bringing about, as it would, the collection of accurate and complete statistics concerning the occurrence and a study of the causes of accidents, sickness, involuntary unemployment, and other destroyers of human welfare would be an immense incentive to and aid toward preventive measures against all of these misfortunes. This has oc curred in connection with accidents insured against by workmen’s compensa tion, which is one branch of welfare insurance. Similar preventive benefits will occur in other branches of welfare insurance. The accumulation of knowledge concerning sickness, premature death, invol- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [620] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. 77 untary unemployment, and similar causes of distress would certainly result in better human conservation and social upbuilding through a Nation-wide system of sickness prevention, the establishment of a complete national system of employment bureaus, and similar institutions for increasing human wel fare. * * * Welfare insurance is a plan whereby all, through the operation of the law of average, help without hardship to bear the heavy burdens from misfortune that befall the few. The community at large, however, has not grasped the conception or realized the fact that it is possible by means of a proper system of welfare insurance to distribute the financial effects of all of the misfortunes which afflict humanity in such a way that they will be easily borne by all. What is needed is education of the whole people, until each citizen realizes its benefits and practicability. In reply to questions from the floor Mr. Potts stated his belief that the “ general welfare ” clause in the Constitution was adequate authorization for Congress to legislate along the lines of his paper, and that no constitutional amendment would be necessary. A paper which emphasized the danger of State insurance, but along another line, was read by Mr. E. E. Harper, commissioner of insurance of Colorado. The title of the paper was, “ How far should a life insurance company go toward conserving the lives of its policy holders.” Mr. Harper said in part: The time was when all that was expected or demanded of insurance was to meet the loss when the loss came and to have no concern for the safety or wel fare of the insured in the meantime. But now comes the question, “ How far should a life insurance company go toward conserving the lives of its policy holders?” The industrial enterprise that but a few years ago gave no thought, much less expenditure of money, to the question of the welfare of its employees, to-day gives that important question virtually first thought. And what ambitious -wel fare programs are being carried out by so many of our commercial and indus trial organizations! The highest expert ability and vast means are being uti lized along humanitarian and sociological lines, a work which in the light of ideas obtaining but a few years ago, is most wonderful and at the same time most interesting. But why all this? Is it because the influence of social welfare, pure and simple, has come to control? No; assuredly, no. Is it because of an altruistic concern for the individual worker’s welfare? I regret that I can not give much credit to that worthy motive. No. By and large, it is because of the economi cal factor. This new method has been found to pay, and pay most hand somely ; and that is the final answer. In fact, it is apparent from almost all that is written and said on the subject, that in civic and social welfare work, in the matter of disease and kindred hindrance to community interests, the questions involved are weighed more than ever with the thought of their economic quality. The demand for service is to be greater than ever before upon every dollar of capital, upon every effort of m an; and it will fall nowhere more insist ently than upon life insurance, which, if it would measure up to its high call ing, must take the responsibility and fully qualify. The foolish, futile days of 05847°— 16----- 6 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [621J 78 M O N TH LY REVIEW OE TH E BUREAU OF LABOR STATISTICS. the throwing away of values worth preserving have at last gone by, never to return; and the day of conservation is at hand—conservation of everything of value, everything worth while. And what is of more value than human life, the very subject matter of life insurance—especially when that life needlessly squandered must not only be lost to the world’s upbuilding but must be paid for? If it is essential that before insuring aji applicant the life insurance com pany shall determine that the applicant is in good health, then why is it not just as essential—yes, far more—that after the applicant has become a policy holder he be kept in good health, that his life and productive powers be con served as long as possible, and that the burden of his death upon the company and upon society be postponed to the utmost? It calls for no argument to show that the lower the mortality of one or all life insurance companies, the greater the returns to those interested, and consequently the lower the cost of the insurance. Then why is it not a wise economical act to expend means toward conserving life ancl thereby reducing mortality? When properly and efficiently applied this expenditure will prove one of the most economical factors in the life insurance business. Moreover, it will have a most salutary effect on public sentiment and tend largely to increase confidence in the business. And I know of no one thing much more needed than increased confidence upon the part of the public in insurance. Most earnest commendation is properly given fire insurance companies for their splendid efforts toward the reduction of fire loss and the consequent con servation of property; and no one thinks of questioning their right to expend large amounts in their campaigns against fire waste. It is considered as best possible evidence of efficiency for casualty companies to secure the services of the best experts and expend freely in the work of preventing accidents. Why do the fire and casualty companies carry out such campaigns? Not altogether for altruistic reasons, nor for social welfare reasons; but for the reason that it pays. The same reason holds good as regards life insurance even to a greater degree. It should perhaps be said that the undertaking proposed is .so ambitious and of such far-reaching consequence that it will be somewhat difficult for many companies to do the work and do it as thoroughly as it should be done. The field enlarges so rapidly and the demands are so urgent that but comparatively few companies can handle the entire plan of life conservation successfully. Consequently a way should be found whereby all companies, and thereby all policyholders, can be benefited. That can only be by a combination of all inter ested, in so far as this feature of life insurance work goes; that is to say, by the establishment of a general bureau, to the support and operation of which each life company shall contribute in proportion to its interest—that bureau to have complete control of the mighty work of life conservation. Such a bureau should, of course, work in harmony with national, State, and municipal bodies of like nature. Thus assisted, and properly operated, it would certainly result in a few brief years in a gratifying increase in the average length of life, with all the consequent great economical saving in the earning power of the individual, as well as in a mighty reduction in the loss ratio of life insurance with a corresponding relative saving in actual dollars required to be paid out. Before closing, let me say that there is another feature that should be con sidered in connection with this important matter, and that is the tendency now manifesting itself toward State insurance—that fallacious idea of some who https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 622] m o nthly review of th e bureau of labor statistics . 79 seem to think that if the State does the insurance business they will somehow or other get something for nothing. The National or State Governments can never do business—industrial and commercial business, such as even life in surance after all is—as efficiently and economically as can properly organized and conducted private organizations. But unless those private organizations meet what are clearly seen to be the needs and reasonable demands of the people, the State will surely take up the work, however inefficiently it may do it. Consequently if the ultimately disastrous movement toward State life insurance is to be headed off, the life insurance companies must meet the un doubted demand for greater service along the lines of conservation of life. RECENT REPORTS RELATING TO WORKMEN’S COMPENSATION AND ACCIDENT INSURANCE. C O N N E C T IC U T . The workmen’s compensation law of Connecticut divides the State into five districts, each of these being assigned to a commissioner for the determination of awards under the act. These commissioners act independently, but constitute a board for certain collective activities. The publication of a digest of the decisions of these commissioners is authorized by chapter 288, Acts of 1915, though no provision is made for a continuation of such an undertaking. Under this author ity a volume of decisions1 has been compiled, the assumption being made that further volumes will also be authorized. - Not all the decisions rendered have been published, but only such as “ are deemed to be of general interest ” ; furthermore, paragraphs of subordinate importance have been omitted in order to economize space. Decisions of the superior court on appealed cases are also given, together with references to the Connecticut and Atlantic Re porters for such cases as were passed upon by the supreme court of errors. The fact that the awards are made by the different commis sioners independently causes the decisions to “ lack that uniformity incident to the work of one hand.” The effort has been made to confine the cases selected to such as covered doubtful points, construed sections of the act the construction of which might be involved in uncertainty, or illustrated features of the law, its operation or procedure, in such a way as to be of practical assistance to those affected by the act. Indexes show a list of cases and subjects passed upon. Naturally, in view of the novelty of the act, a very considerable number of the cases in this first volume relate to the construction of particular provisions of the act. The phrases, “ arising out of employment,” and 1 C o n n e c tic u t: C o m p e n d iu m o f A w a rd s o f th e C o m p e n sa tio n C o m m issio n e rs, J a n u a r y , 1014, to M ay , 101G. 732 p p. H a r tf o r d , 1916. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [623] 80 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. “ course of employment,” called for discussion in a considerable num ber of cases. Several decisions also involved a consideration of the technical procedure as to notice of accident, questions of prejudice through want of notice, serious and willful misconduct, etc. M A SSA C H U SET TS. The Industrial Accident Board of Massachusetts has compiled in bulletin form reports of cases under the workmen’s compensation act of the State determined by the supreme court.1 These bulletins are in continuation of previous publications of the same nature, Nos. T, 8, 10, 11, and 12 being earlier issues in this field. The decisions are reported in full with syllabi. The value of these bulletins consists in the convenient form in which they present the authoritative con struction of the law of the State. Practically all the decisions con tained therein are to be found in the annual publications of the United States Bureau of Labor Statistics, and in condensed form in the forthcoming Bulletin No. 203 on the subject of Workmen’s Compensation. M IN N E S O T A . Bulletin No. 13 of the Department of Labor and Industries of the State of Minnesota 2 presents the construction of the workmen’s com pensation law of the State as developed by the various authorities to whom this work is committed by the act. Previous bulletins pre senting similar material are Nos. 9 and 11 of the same office, though there has been some change in both the subject matter and the method of presentation. The present bulletin contains rulings by the attorney general and the department of labor and digests of the decisions of the district courts and of the supreme court of the State, made between August, 1915, and May, 1916. Material is for the most part presented in an abridged and compact form and is ar ranged under topical headings, 12 in number. Court decisions, where they have been rendered on the subject, are presented first, followed by opinions of the attorney general and of the labor depart ment. An alphabetical topical index is announced as being a part of the bulletin, as is a cumulative index, presenting all opinions and decisions up to June 10, 1916; these features, however, are not found in the copy of the bulletin at hand. 1 M a s s a c h u s e t t s : I n d u s t r i a l A c c id e n t B o a rd . B u lle tin s N os. 15,‘ 16. R e p o r t o f C ases U n d e r th e W o rk m e n ’s C o m p e n s a tio n A c t D e te rm in e d on A p p e a l to th e S u p re m e J u d ic ia l C o u rt. M ay 20, 19 1 5 , to D ec. 1, 1915, 19 p p . D ec. 1, 1915, to M a r. 7, 1916, 76 pp. B o sto n , 1915, 1916. 2 M in n e s o ta : D e p a r tm e n t o f L a b o r a n d I n d u s tr ie s . C o u rt D ecisio n s, A tto rn e y G en e ra l s O p in io n s, D e p a r tm e n t o f L a b o r O p in io n s, R e la tiv e to th e W o rk m e n ’s C o m p e n sa tio n A c t. 57 p p . S t. P a u l, 1916. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [624] M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. W IS C O N S IN 81 .1 A bulletin of the Industrial Commission of Wisconsin, issued August 1, 1910, contains information, for the year 1915,2 relative to the business and accident experience of every insurance company and the accident and compensation experience of every employer carrying his own risk, under the workmen’s compensation act. I t shows the net premiums collected, the earned premiums,3 and all expenditures incurred, the expense of doing business as well as the actual amount of compensation paid to injured workmen and their dependents. The following facts appear from the report: During 1915 the insurance companies collected $1,051,0004 in workmen’s compensation premiums in this State, a decrease of 10 per cent as compared with the amount collected in 1914. Of the total business in this State, about 25 per cent was carried by the six Wisconsin mutual companies. * * * During 1914 only 20 per cent of the entire business was placed with Wisconsin mutuals. The increase in 1915 seems to indicate that more employers are availing themselves of the lower cost of mutual insurance. The total cost of indemnifying injured workmen and their dependents, in cluding medical benefits, during 1915, was $954,412 or 58 per cent of the earned premiums. Of this amount 65 per cent was paid and 37 per cent was outstand ing at the end of the year. The report emphasizes the low cost of insurance in Wisconsin mutuals as compared with stock companies and interinsurers, the management expense in the first instance being only 20.7 per cent of the earned premiums, while stock companies and interinsurers each used approximately 40 per cent for this purpose. For every 100 cents of compensation received by the injured, insurance car riers used 01 cents for expenses. It appears that in this form of insurance, which is practically compulsory and for the benefit of a third party, the over head cost is too high. The test of a good compensation law is that it actually carries to injured workmen the maximum proportion of the cost of compensa tion for industries, and that payments are prompt and certain. Since insurance is the machinery by which the large proportion of compensation is paid, the amount which the workmen receive in proportion to the amount paid by em ployers is a fair test of the economy of the system. In 1915, taking all com panies together, every 100 cents paid by employers to insurance carriers was used as follow s: Returned to injured workmen, 58 cen ts; expenses of insur ance management, 35 ce n ts;5 surplus to insurance companies, 7 cents. Stock companies returned 56 cents of each dollar to beneficiaries, used 40 cents 5 for 1 I n d u s tr ia l C o m m issio n . W o rk m e n ’s C o m p e n sa tio n In s u r a n c e . B u lle tin , is su e d A ug. I , 1916. [M a d iso n , 1 9 1 6 .] 32 pp. 2 F o r a n a c c o u n t o f th e 1 914 e x p e rie n c e see t h e M o n t h l y R e v ie w fo r J a n u a r y , 1916, p. 53. 3 B y e a r n e d p re m iu m s is m e a n t th e a c tu a l p re m iu m s e a r n e d d u r in g th e y e a r. P o lic ie s a r e is su e d f o r o n e y e a r a n d th e p re m iu m s a re p a id in a d v a n c e . H e n ce , o n a p o lic y is su e d J u ly 1, o n e -h a lf o f tlie p re m iu m w ill be e a r n e d on D ec. 31, o f th e sam e y e ar. 4 T h is does n o t a g re e w ith th e a m o u n t g iv e n in th e ta b le s on p a g e s 82 a n d 83. 5 A p p ro x im a te ly . F o r e x a c t fig u re see ta b le on p. 84. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 2 5 ] 82 M O N T H L Y REVIEW OE THE BUREAU OF LABOR STATISTICS. expenses, and 4 cents went as surplus to stockholders. Wisconsin mutuals re turned 60 cents to injured workmen, used 21 cents1 for expenses, and 19 cents remained as surplus to the policyholders. It is gratifying to note that Wisconsin mutuals are continuing to operate on a very economical basis. * * * The greatest saving in the management of Wisconsin mutuals was made in the acquisition cost. Stock companies spent 16 per cent1 of premiums for agents’ commissions alone, while the total selling cost of the mutuals was 4 per cen t1 of premiums. A considerable saving was also effected in the ad justment of claims, for which item the stock companies spent 8 per cent1 of premiums as compared with 2 per cen t1 spent by Wisconsin mutuals. The following is a condensed statement of the business of insur ance companies in the State in 1915. It shows the actual compensa tion incurred during the year but does not include payments made for accidents occurring prior to 1915. “ Expenses incurred ” means expenses upon the business represented by the actual earned pre miums. S T A T E M E N T O F IN SU R A N C E C O M PA N IES U N D E R T H E W ISC O N SIN W O R K M E N ’S COM P E N S A T IO N IN SU R A N C E ACT, 1915. Com pensation a n d expenses incurred. Compensation. Insurance com panies. N et E arn ed p re m ium . prem ium . In d em Medi cal n ity .! bene fits . 1 •Expenses. Per Per cent cent $ Per 1 of of of com Total. earned A m ount. earned prem i prem i pensa tio n . 2 um s. um s. 2 W is c o n s in m u tu a ls ... $413,695 $406,959 $156,584 $8 6 , 8 6 6 $243,450 Interinsu rers a n d foreign 88,877 42,763 17,142 59,905 m u tu a ls ... 118,708 Stock c o m panies ........ 1,076,514 1,156,909 444,129 206,928 651,057 T o ta l.. 1,608,977 31,652,745 043,476 310,936 3954,412 00 $84,053 21 Per cent of earned T otal. prem i um s. $0.35 $327,-503 81 68 35,564 40 .60 95,469 108 56 463,973 40 .71 1,115,030 % 58 583,590 35 .0 1 1,538,002 93 1 Includes b o th th e am o u n t p aid a n d th a t outstanding. 2 T he figures in th is colum n do n o t agree w ith those in th e table on page 84 for the reason given in N ote 1 to th a t table. s These totals do n o t necessarily agree w ith those in th e table on page 83 since th is table is com piled from reports filed w ith th e commission, w hile th e other table includes only au d ited policies. A feature of the report is a statement of the reduction in compensa tion insurance rates which has been made since the enactment of the workmen’s compensation act in 1911. In September of that year, when the first manual of rates was filed with the industrial commis sion, the average rate for unlimited2 coverage on 100 representa tive industry classes was $1.75 per hundred dollars of pay roll, while the present average (June 1, 1916) as given in the report is $2.36, A p p ro x im a te ly . F o r e x a c t fig u re se e ta b le o n p . 84. “ U n lim ite d ” m e a n s f u ll c o v e ra g e . Som e p o lic ie s s p e c ify a lim it of lia b ility f o r one p e rs o n a n d o n e a c c id e n t. T h e s ta n d a r d lim its a r e $ 5 ,0 0 0 f o r o n e p e rs o n a n d $ 1 0 ,0 0 0 fo r one a c c id e n t r e s u ltin g in i n j u r y to s e v e ra l p e rs o n s. 1 2 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [626] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 83 a reduction of over 50 per cent. In February, 1913, the average rate was $3.80; in October, 1913, it was $3.51; in September, 1914, it was $2.72. I t is explained that this reduction is still greater when merit ratin g 1 is taken into account. No such system was in use in 1911, but since the la tte r p a rt of 1915 the base rates have been reduced about 15 per cent by giving credit fo r safeguard ing and conditions in general which promote safety. Hence, the reduction in re a lity was from $4.75 to about $2, or 58 per cent. * * * Applying the new bureau rates to the pay rolls o f policies issued in 1914, the resulting weighted average rate is $161. The average pure premium on $100.725,0002 pay ro ll was $0.87. M e rit ra tin g w ill reduce the average rate to about $1.45. This leaves a m argin of $0.58, or 40 per cent o f net premiums fo r management ex penses and profit. The following table gives the pure premium experience on work men’s compensation insurance policies of 1914 issue for each speci fied group of industries. In this table the pure premium represents the actual cost of compensation per $100 of pay roll, and the bureau base rate is that established by the Workmen’s Compensation Service Bureau. P U R E P R E M IU M E X P E R I E N C E O N W O R K M E N ’S C O M P E N S A T IO N IN S U R A N C E P O L I C IE S O E 1914 I S S U E , B Y S P E C I F I E D I N D U S T R Y C L A S S E S . I n d u s tr y class. M in in g a n d q u a rry in g .................................... C h em ical m a n u fa c tu rin g ............................... E a r t h a n d s to n e w o rk in g .............................. F o o d a n d b e v e ra g e s........................................ L e a th e r w o rk in g ............................................... M eta l w o rk in g ................................................... P u lp a n d p a p e r m a n u fa c tu rin g .................. T e x tile m a n u fa c tu rin g ................................... V eh icle m a n u fa c tu rin g .................................. M iscellaneous m a n u fa c tu rin g ...................... ■Woodworking in d u s trie s . . . 7 ...................... C o n s tru c tio n .............. ....................................... P u b lic u ti lit ie s .................................................. T r a n s p o r ta tio n .................................................. T r a d e .................................................................... M iscellaneous in d u s trie s : C lerical office fo rce................................... F a r m i n g ...................................................... H o te l s ......................................................... Ic e h a rv e s tin g ............................................ S ale sm en , o u ts id e .................................... A u d ite d p a y roll. E a rn e d p re m iu m . N um P re b e r of m iu m C om pen com s a tio n r a te in c u rre d . p e n s a l b le ac leco cted . c id e n ts . $798,685 548,958 1,426,782 8,436,317 4,073,595 11,444,581 4,357,659 4,122,719 2,304,831 4,209,344 13,294,012 9,605,986 1,073,422 5,887,267 11,711,098 $45,334 7,367 24,094 115,512 26,902 146,194 78,054 17,775 23,742 31,884 332,888 303,933 37,288 137,910 97,435 $27,202 3,427 18,459 60,184 15,145 85,175 66,238 11,050 20,385 11,577 200,398 155,623 14,390 86,014 66,839 146 39 151 577 120 891 682 98 205 147 2,143 1,117 86 654 675 10,320,472 799,540 1,014,893 124,078 2,026,519 17,443 14,518 7,229 5,532 4,466 1,669 7,497 3,687 4, 792 1,138 T o t a l......................................................... » 100,757,224 “ 1,510,152 “ 872,198 P u re B u p r e re a u m i b ase u m . ra te . $5.68 $3.41 1.35 .62 1.68 1.29 1.37 .71 .66 .37 1.28 .75 1.79 1.52 .43 .27 1.03 .89 $4.54 1.41 1.73 1.56 .81 1.60 2.38 .49 1.01 2.51 3.16 3.47 2.34 .83 1.50 1.62 1.34 1.46 .57 3 .Í6 3.74 2. .80 2.58 .77 27 78 60 56 17 .17 1.89 .7 2 4.45 .22 .016 .94 .36 3.87 .06 .09 1.52 .60 4.80 .14 “ 8,082 1.51 .87 1.61 “ Includes figures for minor industry classes not shown separately. 1 The function of merit rating is to recognize the differences in hazard in establishments in the same industry class. Instead of having one flat rate for an entire industry the rate is adjusted according to the hazards of individual establishments, and a regular schedule of credits and charges is applied for conditions which tend to prevent or pro duce accidents. The owner of a well-guarded plant receives a reduction in rate, while the careless employer is penalized. 2 This does not agree with the total pay roll as given in the table following ; the dis crepancy is not explained in the report. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [627] 84 M O N T H LY REVIEW OF THE BUREAU OF LABOR STATISTICS. D uring 1915 stock companies as a whole used 40 per cent of earned premiums for overhead cost. From this i t appears th a t the present bureau rates, after allow ing 10 per cent fo r reduction under m e rit rating, can not be m aterially reduced unless the management expenses are decreased. Some nonbureau stock companies w rite at rates considerably below the bureau base, rates, but do not apply m erit rating, yet this does not w a rra n t a reduction o f more than about 15 per cent, and any reduction beyond this point should be the result of a saving in management expenses. Due to a low expense ra tio —21 per cent of earned premiums— the Wisconsin mutuals are able to w rite a t rates considerably below the stock companies and s till collect sufficient premiums to meet a ll losses. The following table, adapted from the report, shows the division of the expenses incurred by insurance companies. It will be seen that Wisconsin mutuals occupy a favorable position as compared with other insurance companies operating under the workmen’s com pensation insurance act. E X P E N S E S IN C U R R E D B Y IN S U R A N C E C O M P A N IE S U N D E R T H E W IS C O N S IN W O R K M E N ’S C O M P E N S A T IO N A C T , 1915. W isc o n sin m u tu a ls . E x p e n d itu r e for—■ A m o u n t. In s p e c tio n ............................................................... A d ju s tm e n t............................................................ A c q u is itio n ............................................................. T axes. . .............................................. H o m e office............................................................ $10,444 T o t a l ............................................................. In te r in s u r e r s . P e r c e n t P e r $1 of P e r c e n t P e r $1 of of e a rn e d c o m p e n rn e d A m o u n t. of ea co m p en p re p re s a tio n .1 m iu m s .1 m iu m s .1 s a tio n .1 2.6 1.7 4.2 $0.043 .027 .071 «601 8,806 0.7 9.9 $0,010 .147 17^ 259 49,814 12.2 .205 24,403 2.0 27.5 .029 .407 84,053 20.7 . 345 35,564 40.1 .594 S to ck co m p an ies. E x p e n d itu r e for— A m o u n t. A ll co m p an ies. P er cent P e r c e n t P e r $1 of of e a rn e d Per-$1 of c o m p e n A m o u n t. of ea rn e d c o m p en p re p re s a tio n .1 m iu m s .1 m iu m s .1 s a tio n .1 In s p e c tio n ............................................................... A d ju s tm e n t............................................................ A c q u is itio n ............................................................. T a x e s ........................................................................ H o m e o ffice............................................................ «36,381 86,147 182,030 23, 444 135,971 3.1 7.4 15.7 2.0 11.8 $0.056 .132 .280 .036 .209 «47,426 101,489 199,289 25,198 210,188 2.9 6.1 12.1 1.5 12.7 « 0 .050 .106 .209 .026 .220 T o t a l ............................................................. 463,973 39.9 .712 583,590 35.3 .611 i T h is c o lu m n is n o t ta k e n from th e re p o rt, h u t is c o m p u te d fro m d a ta c o n ta in e d in th is a n d o th e r ta b le s in t h e re p o rt. T h e figures do n o t agree in som e in s ta n c e s w ith th o se m e n tio n e d in th e te x t or in th e ta b le o n p ag e 82, a n d th is is d u e to th e fact t h a t th o se figures a re ta k e n fro m th e re p o r t a n d d ec im als h a v e b e e n d ro p p e d . The report notes a tendency among insurance companies to under estimate their outstanding liabilities on compensation claims, which results in the carrying of insufficient reserves. If unpaid losses are underestimated the result is an error in the pure premium on industry classes as well as in the loss ratio 1 of insurance companies. In comB y lo s s r a t i o is m e a n t t h e p e r c e n t t h e c o m p e n s a t i o n i n c u r r e d is to e a r n e d p r e m iu m s . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [628] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 85 paring the amount paid in 1915 for accidents occurring in 1911 and the estimated liability still outstanding with the estimates made at the end of 1914, it is found that the unpaid losses were considerably under estimated. For instance, the report shows that instead of $313,539 the estimate should have been $450,885, an increase of $137,346, or 44 per cent of the original amount. Thus the total 1914 losses were in creased by 14 per cent and the loss ratio was increased from 51 per cent to 58 per cent of earned premiums. During 1915, according to the report, about 550 employers carried their own risk, the total number at any one time not exceeding 500. The total pay roll expended by these concerns was $55,690,200, and the total compensation incurred was $280,502, of which amount 39 per cent was for medical aid. The cost per $100 of pay roll averaged 51 cents as compared to 87 cents, the experience on audited policies. (See table on page 83.) The report explains this reduced cost to employers who carry their own risk by stating that the large part of the pay roll is represented by a small number of large employers who have done a great deal of safety work and have reduced accidents to the minimum, and that when workmen are injured these employers often find lighter em ployment for the injured and pay them full wages before they are able to work at their regular occupation, which not only enables a work man to earn full wages but is cheaper to the employer than to pay compensation. An insured employer, it is stated, has no such induce ment and usually does not take the injured employee back to work until he is able to do his regular work. The commission offers the following suggestion on how to reduce insurance cost: Premiums collected by insurance carriers must be sufficient to meet all com pensation incurred and to pay fo r the cost of management. Rates are based on actual experience on a ll classes w hich present a large enough exposure. To the actual experience is added a loading fo r management expenses. To reduce rates, either the losses or expenses, or both, must be decreased. To reduce the compensation cost, by the prevention o f accidents, remains fo r the employer. Safety appliances and safety organizations not only effect a reduction from the base rate but tend to a reduction of losses and, ultim ately, a decreased base rate. To prevent accidents means to reduce your insurance cost. SYNTHESIS OF RATES FOR WORKMEN’S COMPENSATION.1 In this pamphlet the author considers some of the important fac tors entering into the calculation of compensation rates, which “ are the focal points of everything that enters into their calculation ” 1 The Synthesis of Rates for Workmen’s Compensation, by Claude E. Scattergood. The Fidelity and Casualty Company of New York, 92 to 94 Liberty Street, New York, Febru ary, 1916. 31 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 2 9 ] 86 M O N T H LY REVIEW OF THE BUREAU OF LABOR STATISTICS. and “ should be the focal points of everything that ought to enter into their calculation.” Just as it is important for a business man to take everything pertaining to cost into account before quoting his price, so it is essential that in the calculation of compensation rates every influence bearing upon the determination of such rates be given consideration. The author notes that the first thing to obtain is the pure premium, which “ is the amount that will be given to injured workmen or their dependents by reason of accidents occurring during the period which the pay roll covers, for each $100 of pay roll expended during that period,” and is determined by dividing the total losses by the amount of pay roll which represents the exposure. In order to secure as dependable a pure premium as possible the Workmen’s Compensation Service Bureau receives from insurance companies reports of their experience, both as to pay rolls and losses, by lines of business. By combining this information the bureau ob tains a large pay roll exposure and loss experience from which, by dividing the second by the first, it derives an average pure premium for all lines of business combined, which becomes the basis upon which manuals of compensation rates are compiled. In fixing the pure premium the following considerations are deemed essential in order to avoid increasing rates which are found by experience to be too low, and to assure the security of insurance carriers as well as the security of compensation to injured workmen and their depend ents. In these factors the author traces tlie formation of a manual of compensation rates for a western State based upon the experience of an eastern State. 1. Since a beneficiary may become entitled to a, series of payments occurring at regular intervals, together with the cost of his medical and surgical attendance, for the period and limitations allowed by the compensation law, it is essential that the pure premium should cover not only the losses actually paid, but also the estimate of out standing losses, which, it is admitted, is difficult to determine and consequently almost certain to be placed too low unless a loading factor be added. “ I f the underestimate is considered to be 10 per cent of the total losses incurred for all lines of industry combined, the pure premium for each industry must be increased by 10 per cent.” 2. Another factor to be considered is the law differential ; that is, the effect upon the proposed rate of the provisions of the compensa tion law of the State in which the rate is to be applied. Thus the pure premium, corrected for underestimate of outstanding losses, must be increased or decreased by a percentage of the difference https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [630] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 87 between the cost of accidents in the State taken as a basis and the State in which the rate is to be applied, as expressed in terms of weeks’ wages. 3. The rate must also reflect the accident frequency or the rate at which accidents occur among employees exposed to injury. This is obtained by dividing the accidents by the number of employees, and since the conditions under which men work in various States or in various industries in the State influence the accident frequency rate, it is important that a loading for this factor be included. 4. The increasing cost of the compensation act, arising out of the fact that as workmen learn of and become educated to its benefits they will make more claims upon it, is to be considered in fixing the rate. 5. The loading for profit, if there be such, must not be disregarded. v 6. To the pure premium also must be added a loading for expenses, including business getting, service, administration, and taxes. This percentage will be higher in States whose law gives low loss cost than where high loss costs are incurred. 7. Experience has apparently demonstrated that schedule rating tends to reduce premiums, both when the adjustment in rate was made from inspection of plants and also when experience under former liability policies was the basis. Some loading, it is believed, should be placed upon the pure premium to counteract the effect of these reductions. k 8. Where compensation laws cover industrial diseases this fact must be taken into consideration in establishing the rate. 9. Finally, there must be a loading for catastrophe cost which, expressed in cents per $100 of pay roll, is not attached to the pure premium but is added to the rate itself as finally established. It is explained that when rates for a certain State can be calcu lated upon the basis of pay roll and loss experience of the State itself, loadings for law cost and accident frequency will not be necessary. ACCIDENT EXPERIENCE OF THE PORTLAND CEMENT ASSOCI ATION IN 1915.1 i The Study of Accidents for the Year 1915 is a record of the acci dent experience of the Portland Cement Assciation and is the third such study to be presented to the member companies. Owing to the difficulty of collecting accurate figures of the number of employees in the various companies for different periods of time the accident I 1 The Study of Accidents for the Year 1915, prepared and copyrighted by the bureau of accident prevention of the Portland Cement Association, Chicago, September, 1916. 8 charts ; 3 inserts ; 31 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 3 1] 88 M O N TH LY REVIEW OF THE BUREAU OF LABOR STATISTICS. rates are for the most part on the basis of a million barrels of cement produced. In the studies of the two previous years, it is stated, no charge of days lost was made for fatal accidents, so that the most severe accidents failed to have any weight in the distribution of time loss. “ While accident frequency is illuminating, accident severity, which is shown by the days lost chargeable to them, is of greater importance, and for this reason ” the bureau of accident pre vention of the association, in the 1915 report, has adopted the plan in use by the United States Bureau of Labor Statistics of making a charge of 9,000 days for each fatal accident. The most g ra tify in g and outstanding feature presented by this study is the fact th a t there were but 35 fa ta litie s reported during 1915, as against 59 in 1914. F iguring upon the m illio n barrels produced basis, this is a reduction of 50 per cent in fa ta l accidents. From this it is evident th a t results are being accomplished in the saving of human life and lim b and the prevention of pain, suffering, and misery on the p a rt of injured workmen and th e ir dependents. It appears from the report that in 1913 there were 3,335 accidents, causing a loss of 393,986 days; in 1914, 3,786 accidents, causing a loss of 558,982 days; in 1915, 3,967 accidents, causing a loss of 345,171 days. The following table gives a summary comparison of acci dents for the three years, showing the total accidents and also the number per million barrels of cement produced: N U M B E R O F A C C ID E N T S A N D O F D A Y S L O S T C O M P A R E D W I T H P R O D U C T I O N O F C E M E N T , B Y C L A S S IF IE D N U M B E R O F D A Y S L O S T , 1913, 1914, A N D 1915. [T h e a p p ro x im a te p ro d u c tio n w as as follow s: 1913,52,500,000 b a rre ls ; 1914,50,600,000 b a rre ls; 1915,61,200,000 b a rre ls.] T o ta l n u m b e r of ac c id e n ts. D a y s lo st. N u m b e r of a c c id e n ts p e r 1,000,000 b a rre ls of cem ent p ro d u c e d . 1 1913 1914 1915 19131914 1915 T o ta l n u m b e r of d a y s lo st. D a y s lo st p e r 1,000,000 b a rre ls of ce m e n t p ro d u c e d . 1913 1914 1915 N o tim e lo s t.................................. 1,138 1,474 1,684 21.7i20.1 27.5 41 47 L ess th a n 1 d a y .......................... 45 .8 .9 .7 1 to 7 d a y s ..................................... 905 1.083 1,073 17. 2 21. 4 17.6 8 to 10 d a y s ................................... 206 261 239 3.9 5.2 3.9 11 to 14 d a y s ................................. 217 219 227 4.1 4.3 3.7 3,415 1.849 2,704 4,017 2,348 2,714 3,848 2,131 2,818 65.1 35.2 51.5 79.4 46.4 53.6 62.9 34.8 46.0 T o ta l, less th a n 15 d a y s . 2,507 3,084 3,268 47.7 60.9 53.4 7,968 9,079 8,797 151.8 179. 4 143.7 1913 1914 1915 15 to 25 d a y s ................................. 26 to 40 d a y s ................................. 41 to 55 d a y s ................................. 56 to i0 d a y s ................................. 71 to 85 d a y s ................................. 86 to 99 d a y s ................................. 100 d a y s a n d o v e r ....................... D e a th .............................................. 232 117 45 21 23 13 14 41 291 139 57 29 13 11 12 59 275 4.4 5.8 4.5 4,483 6,474 5, 272 85.4 128.0 86.1 165 2.2 2.7 2.7 3,918 4,408 5,225 74.6 87.1 85.4 56 .9 1.1 .9 2,390 2,642 2,689 45.5 52.2 43.9 23 .4 .6 .4 1,413 1,824 1,374 26.9 36.1 22.5 17 .4 .3 .3 1,546 982 1,301 29.4 19. 4 21.3 12 .3 .2 .2 1,284 987 1,213 24.5 19.5 19.8 28 .3 .2 .4 1,984 1,586 4,300 37.8 31.3 70.3 35 .8 1.2 .6 369, 000 531,000 315,000 7,028.6 10,494. 0 5,147.0 T o ta l, 15 d a y s a n d o v er. 506 611 611 9.7 12.1 10. 0386,018 549,903 336,374 7y 352. 7 10,867.6 5,496.3 D id n o t r e t u r n to w o rk .......... N o t g iv e n ...................................... 139 183 86 5 60 2.6 1.7 1.0 28 3.5 . 1 4 G ra n d t o t a l ....................... 3,33513, 786 3,967 63.5 74.8.64. 8 393,986 558,982:345,171 7, 504. 511, 047.0 5,640.0 1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [632] M O N TH LY REVIEW OF THE BUREAU OF LABOR STATISTICS. 89 Under the totals fo r less than 15 days a considerable drop is shown by 1915 as compared w ith 1914 in both the number of accidents per m illio n barrels produced and the days lost per m illio n barrels produced. The firs t division in this table comprises those accidents which, in a m a jo rity of the States, would be noncompensable on account of the generally prescribed w a itin g period of 2 weeks, which is found in the greater number of State compensation laws now effective. In the second division of the table, comprising accidents on which 15 to 25 days and up were lost, the fa ta lity charge of 9,000 days plays an im portant part. R eferring to the columns based on per m illio n barrels produced, a reduction of practically 50 per cent is shown fo r 1915 as compared w ith 1914 on the days lost on accidents causing a d isa b ility of more than 14 days, and a reduction of practically 18 per cent in the number of such accidents per m illio n barrels produced. The following table shows for 1915 the number of accidents, the per cent of total accidents, the per cent of total employees, and the per cent of total number of days lost for each specified department: N U M B E R A N D P E R C EN T O F A C C ID E N TS, B Y D E P A R T M E N T S , AN D P E R C EN T O F T O T A L E M P L O Y E E S , A N D O F T O T A L D A Y S LO ST IN EA C H D E P A R T M E N T , 1915. A ccid en ts re p o rte d . D e p a rt m e n t. Q u a r r y .............................................. - ............................................. .. C la y f ie ld ......... ................................................................................. C ru s h in g ............................................................................................ R a w ..................................................................................................... B u r n in g ............................................................................................. C lin k er g r in d in g ............................................................................. Coal g rin d in g ................................................................................... C em en t s to ra g e ................................................................................ S to n e sto ra g e .................................................................................... P a c k in g a n d s h ip p in g .................................................................. P o w e r h o u s e ..................................................................................... M achine s h o p ................................................................................... C a rp e n te r s h o p ................................................................................ B la c k s m ith s h o p ............................................................................ S to re ro o m .......................................................................................... R a ilr o a d .........................................................................- ................. Y a r d .................................................................................................... 982 47 302 328 346 318 122 81 14 274 243 342 11 35 44 73 281 O th e r d e p a rtm e n ts ........................................................................ 108 T o t a l ....................................................................................... 2 3,954 P er cent P er cent P er cent of to ta l of to ta l of to ta l n u m b e r of n u m b e r of n u m b e r of a c c id e n ts e m p lo y e e s .1 d a y s lo s t. re p o rte d . 26.02 .1 8 8. 49 8.57 11.12 3.50 13. 44 .18 5.24 3.21 3.01 2.93 .01 .02 . 05 8.10 3.12 2.80 21.24 1.91 3.01 8. 07 5.64 6.94 2.94 . 84 .87 12.66 7. 74 4. 42 1.71 .97 .99 1.69 8.26 4. 21 5.89 100. 00 100. 00 100.00 24.80 1.19 7.60 8. 28 8. 74 8.03 3.08 2. 05 .36 6.92 6.14 8.64 .28 .88 1.11 1. 85 7.10 3 . 2.81 1 A lthough based upo n th e to ta l n u m b er of employees, the re p o rt does not show the num ber em ployed in each d ep artm en t or th e to ta l n um ber of employees. T his does n o t include 6 accidents occurring outside of p la n t an d 7 accidents not charged to any one departm ent. 2 From the above table it would appear that in such departments as coal grinding and railroad the accident frequency is comparatively low, while the accident severity is high. On the other hand, depart ments showing a high per cent of accidents as compared with per cent of employees and per cent of days lost, as, for instance, machine shop and clinker grinding, have a greater per cent of minor injuries occurring in them. It is shown that during 1915 the commonest causes of accidents were falling objects, sharp edges or points, flying material, and break- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [633] 90 M O N T H LY REVIEW OF THE BUREAU OF LABOR STATISTICS. ing or slipping of machines, parts or objects; 20.8 per cent were due to the first-named, 14.7 per cent to the second, 13.G per cent to the third, and 10.7 per cent to the fourth cause. Accidents classified by nature of injury and by days lost show 65.8 per cent due to minor cuts, bruises, burns, or sprains, with an average of 3.3 days lost; 15.4 per cent due to severe cuts, bruises, burns, or sprains, with an average of 18.2 days lost; 11 per cent to eye injuries (temporary), with an average of 3.6 days lost; and 4.1 per cent to breaks or fractures, with an average of 37.9 days lost. Amputations were responsible for an average of 52.3 days lost and sickness and infection for an average loss of 10.5 days. It was found that the greatest number of accidents occurred after more than 4 but less than 5 hours of work; that more accidents (16.2 per cent) happened on ¡Wednesday than on any other day; that in the morning the greatest number occurred between the hours of 9 and 10 o’clock, and in the afternoon, between 2 and 3 o’clock; that 792 accidents (20 per cent) affected men who had been employed 4 weeks or less, which “ clearly indicates the importance of the proper education of new employees before allowing them to take up their duties” ; that of 18,554 employees, the highest accident frequency (58.3 accidents per 100 employees) and the highest accident severity (57.7 days lost per employee) appeared among those of German birth, while the Portu guese showed the highest fatality rate (0.9 per 100 employees). It also appears from the report that the age group in which the greatest number of accidents occurred was 30 to 39 years, inclu sive, with an average of 45 days lost; that 2,417 (60.9 per cent) of the accidents occurred to those who spoke good English, while the highest average days lost was among those not speaking English; that married men suffered 68 per cent of the accidents and were charged with 63 per cent of the total time lost; that of 2,610 minor injuries, only 80 are reported as having received no medical treatment at all, while 1,179 received first aid and 938 received both first aid and a doctor’s services; that of the 35 fatal cases, 4 are reported as hav ing received no medical attention, since death was instantaneous. The report closes with an estimate of the cost of accidents for the year 1915, based upon the following specifications, “ which were determined by arriving at an average value for the various clauses of compensation laws in effect” : G e n e r a l. In ju re d men to be compensated fo r a ll injuries, irrespective of responsibility, unless w illfu lly inflicted or the result of intoxication. W a i t i n g p e r i o d .— Compensation sta rtin g on the fifteenth day a fte r injured leaves work. S c a l e of c o m p e n s a t i o n .— P a rtia l d is a b ility : 50 per cent of loss o f earning pow er; maximum period, 300 weeks; maximum amount, $3,000; maximum per week, $10. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 3 4 ] MONTHLY EEVIEW OF THE BUREAU OF LABOR STATISTICS. 91 Total disa b ility : 50 per cent o f average weekly wages ; maximum $10, m in i mum $5, weekly, or fu ll wages i f less than $5 weekly ; maximum period, 400 weeks ; maximum amount to be paid, $4,000. Death : I f no dependents, reasonable expenses o f last sickness and burial, not to exceed $100; to ta l dependents, 50 per cent of average weekly wages fo r a period not exceeding 300 weeks from date of in ju ry ; maximum, $10 per week ; to p a rtia l dependents, such percentage o f above as amount contributed by deceased to such p a rtia l dependent bore to to ta l wages of deceased. M e d i c a l a n d s u r g i c a l a i d .— Employers must fu rn ish reasonable medical and surgical aid and pay hospital expenses as required at tim e of in ju ry and fo r as much as 40 days follow ing date o f in ju ry . Total amount not to exceed $150. A v e r a g e m a g e s — l i m a c o m p u t e d .— Average weekly wages to be one fifty second of average yearly earnings ; yearly earnings to be 300 times the average daily wage. W h o a r e d e p e n d e n t s .— Dependents lim ite d to members of fa m ily of deceased as spouse, lineal descendants, ancestors, brothers, or sisters. Using the above as a basis, the approximate compensation cost of fatalities and other accidents involving more than Id days lost is estimated to be as follows: ESTIMATED COST OF FATAL AND NONFATAL ACCIDENTS FOR THE YEAR 1915. Ite m . F a ta litie s .......... >................................................................................................................... I n ju rie s of m o re t h a n 14 d a y s ’ d u r a t io n ..................................................................... O th e r co sts in v o lv e d : D a v s lo s t a t SI e a c h .................................................................................................... rv- M edical a tte n tio n , a t 11.50 p e r d a y ........................................ .............................. H o s p ita l tre a tm e n t, a t $2.50 p e r d a y .................................................................. 1 L o ss of o u tp u t—co st of h irin g m e n ...................................................................... R e p o rtin g 3,967 a c c id e n ts, a t S3............................................................................ T o ta l N u m b e r. N um ber of d a y s . C o m p en s a tio n . 35 1664 315,000 21,374 $39,894 9,814 30,171 25,000 2,800 30,171 3 7 ,50Q 7,ooq 25,000 11,901 .................. ......................... ....................................................................... 161,280 1 1 T h e n u m b e r s h o w n in th e ta b le on p . 88 is 611; i t is p ossib le t h a t 53 w ere ca rried o v er from th e p rev io u s y e a r. • Accidents in 1914, according to the estimate appearing in the Study of Acei' dents fo r th a t year, cost the association’s members $181,413. From the to ta l estimate o f $161,280 fo r 1915, the appreciable decrease in the cost of accidents as compared w ith last year is noticeable. Reducing these two totals to a per m illio n barrels produced basis, accidents in 1915 cost $2,635 per m illio n bar rels [2.6 m ills per barrel] produced as against a cost o f $3,585 per m illio n bar rels [3.6 m ills per b a rre l] produced in 1914. This shows a reduction of almost 26 per cent in the cost o f accidents fo r 1915 as compared w ith the previous year. Surely this is ground fo r encouragement. BLACK DAMP IN M INES.1 The United States Bureau of Mines has recently issued a bulletin entitled “ Black Damp in Mines,” which gives the results of an ex1 Black Damp in Mines, by G. A. Burrell, I. W. Robertson, and G. G. Oberfell. States Bureau of Mines Bullettai 105, Washington, 1916. 88 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [635] United 92 M O N TH LY REVIEW OF TH E BUREAU OF LABOR STATISTICS. animation of samples of air in many different coal mines in the country, showing how atmospheric air after entering a coal mine loses oxygen and gains carbon dioxide with resulting formation of the so-called black damp. The report also discusses the effects of the constituents of the black damp on men, on the burning of oil and acetylene lamps, and on the explosibility of methane. The term “ black damp ” has been widely used to designate accumulations of carbon dioxide, but it is pointed out that a more exact definition characterizes it as an accumulation of carbon dioxide and nitrogen in proportions larger than those found in atmospheric air. Pure dry air, it is stated, contains 20.93 per cent of oxygen, 0.03 per cent of carbon dioxide, and 79.04 per cent of nitrogen. When it enters a coal mine it changes in composition according to (1) the velocity with which it traverses the workings; (2) the amount of coal with which it comes in contact—that is, the extent of the mine workings that it traverses; (3) the gaseous nature of the seam; (4) the ten dency of the coal to absorb oxygen; and (5) the temperature and wetness of the mine. The report indicates that miners are not only affected by an in crease in the amount of carbon dioxide but also by a diminution in the amount of oxygen. It was found that a man may work for a long time in an atmosphere containing from 3 to 4 per cent of carbon dioxide, although his efficiency as a workman will be greatly affected and he will become quickly fatigued. “ The presence in the air of as little as 1 or 2 per cent of carbon dioxide is not so much a matter of safety and comfort to those who breathe it as it is of their effi ciency as workmen.” The presence of carbon dioxide in proportion as high as 0.2 per cent is usually a sign of stagnant air and poor ven tilation. With 12 to 15 per cent the patient soon becomes unconscious, and death may take place after exposure for several hours to 25 per cent. As to the effect of a diminution of the oxygen supply the report states that distress is caused in some people when the oxygen content falls to less than 13 per cent (normally about 21 per cent). “ The important point to remember is that rapid breathing caused by car bon dioxide starts long before there is any serious danger, whereas rapid breathing caused by a deficiency of oxygen is a grave symptom and points urgently to serious danger.” In an experiment con ducted by the authors a man* lost consciousness temporarily when the oxygen content of an atmosphere he breathed fell to 7 per cent. I t is explained that the difference between ventilation conditions in buildings above ground and in coal mines is in the degree of vitia tion of the air as regards low oxygen and high carbon dioxide; above ground relatively small oxygen and carbon dioxide changes—• a few tenths of 1 per cent—usually represent bad air; below https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [630] M O N TH LY REVIEW OE TH E BUREAU OF LABOR STATISTICS. 93 ground these small percentages are insignificant. For instance, it is stated that in coal mines carbon dioxide arises principally from the action of the air on the coal, and 0.2 to 0.3 per cent is frequently found in the cool, swiftly moving air of returns, where 50,000 or more cubic feet of air is passing per minute and the wet-bulb or dry-bulb temperature does not exceed 05° F. Likewise the oxygen content is said to be scarcely ever normal in a coal mine, owing to the absorption of oxygen by the coal, a diminution of 1 per cent being not uncommon. The authors believe that the oxygen content in coal mipes should not fall below 19 per cent. The maximum percentage of carbon dioxide allowed in England is 1.25. The principal cause of deple tion of oxygen in coal-mine air and the increase of carbon dioxide is said to be the reaction between coal and the oxygen of the air, some of the oxygen actually being held dissolved in the coal sub stance, “ Part of the oxygen is converted into water, part into car bon dioxide, and part (by far the larger part) is retained as com bined oxygen to give compounds richer in oxygen than the coal itself. Part of the carbon dioxide is retained by the coal.'’ The report notes the fact that explosive proportions of methane in air become nonexplosive when the proportion of oxygen in the atmosphere falls below about 14 per cent, and that carbon dioxide has only a slightly greater effect in reducing the explosibility of methane-air mixtures than nitrogen has. Thus when the oxygen is kept constant at 20 per cent part of the nitrogen must be replaced by 10 per cent of carbon dioxide to raise the low limit for methane from 5.8 to 6.2 per cent. The specific gravity of black damp appears to vary considerably in certain mixtures, and if methane is present the combined gases may be lighter than air. For this reason great caution would appear to be necessary in the presence of black damp of lighter density than air. The effects of carbon dioxide and oxygen on men and lights are discussed and experiments are cited leading to the following con clusions : An oil-fed flame becomes extinguished when the oxygen in a ir fa lls to about 17 per ce n t; an acetylene flame is extinguished when the oxygen fa lls to about 12 or 13 per cent. Lack of oxygen is the im portant factor in extinguishing lights. In some experiments conducted by the authors the oxygen content fe ll to 16.3 per cent before the flame became extinguished, but the presence of 10 per cent of carbon dioxide raised the extinguishing percentage of oxygen to 17.3. Atmospheres th a t do not contain enough oxygen to support an oil-fed flame (about 17 per cent) may be explosive when the oxygen content is as low as 14 per cent, i f enough methane is present. 65847°— 10- -7 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [637] 94 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. When a burning p a rt of a mine has been successfully sealed the composition o f the atmosphere w ith in changes. The oxygen decreases to a proportion (prob ably about 17 per cent) th a t w ill not support flam e; u ltim a te ly the oxygen con tent becomes so small th a t the rate o f combustion is extremely low, so low th a t combustion entirely ceases, the embers cool, and the admission o f a ir when the mine is reopened does not rekindle them. In 111 samples of gas from 29 mines represented the average percentage of carbon dioxide in the black damp was 11.5 per cent and the average percentage o f nitrogen 89.5 per cent. In 6 mines of 22 examined the temperature was higher than it should he (75° F., wet bulb) under the best ve n tila ting conditions. Analyses of a large number of samples show how mine a ir changes as it traverses the workings. The average composition of the black damp was 9.2 per cent carbon dioxide and 90.8 per cent nitrogen. Except fo r two or three sam ples, in w hich carbon dioxide was high and the oxygen low, the q u a lity o f the a ir was good. As regards the unfavorable effect o f black damp on men, on lights, and on the explosibility of methane-air mixtures, the dim inution o f oxygen in the atmos phere, resulting in the form ation of more nitrogen, is m ainly responsible. Tlie presence of carbon dioxide is fa r less im p o rta n t; hence the objection to making the terms “ black damp ” and “ carbon dioxide ” synonymous. The investigation seemed to show that many of the mines of the Cripple Creek region are menaced with gas that is loosely held in the rock strata and that issues at times into the mines, so that workmen can not enter certain drifts and occasionally a whole mine. The gas was found to contain about 14 per cent carbon dioxide and 86 per cent nitrogen. Data regarding ventilation conditions in 15 metal mines are shown, indicating an average of 2.67 per cent of black damp, composed of 9.3 per cent carbon dioxide and 90.7 per cent nitrogen, or about the same as that found in coal mines. # SAFE PRACTICE AT BLAST FURNACES. Technical Paper 136,1 issued in August by the United States Bu reau of Mines, describes the dangers of the different kinds of work about blast furnaces, points out how the risk of accident may be lessened or avoided, and contains suggestions to foremen, master me chanics, and other officials on the methods of organizing and con ducting safety work: There are 44 illustrations showing safe and unsafe practices. The suggestions are presented under five general heads: Accident prevention, How to attack the accident problem, Responsibility of the foreman, Precautions to be observed at blast furnace plants, and Notes on first aid. 1 Safe Practice at Blast Furnaces; a manual for foremen and men, by Frederick IT. Willcox. United States Bureau of Mines, Technical Paper 13G. Washington, 1916. 73 pp. 44 illustrations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [638] M O N TH LY REVIEW OE TH E BUREAU OF LABOR STATISTICS. 95 In the matter of accident prevention it is pointed ont that the management should take the leading part, either by employing ex perts or by having the department heads make a special study of safety conditions; that it should supply the funds for making nec essary changes in plant equipment ; that such interest on the part of the management inspires interest in the rest of the force and makes it easier for the foremen to organize the workers and train themselves for the best results in accident reduction. Supplementing the re sponsibility of the management and of the foremen is the responsi bility which rests upon the safety inspectors of the plant, who “ are invaluable for looking after recommendations, investigating acci dents, pointing out possible improvements in equipment and meth ods, and organizing safety work,” but whose suggestions “ can no more eliminate accidents than suggestions can eliminate off-grade iron, unless his recommendations as well as the foremen’s are fol lowed by improvements, detailed instructions, cooperation, and per sonal supervision.” Accident prevention should be handled in the same way as operating d iffi culties. I f i t is going to cost more to pay fo r accidents than to prevent them, i f the prospect is th a t every fou rth , sixth, or tenth man on the plant w ill lose 20 to 35 days’ w ork every year by accident and during th a t tim e be replaced by a less skilled employee who w ill have to be trained and w ill possibly cause vexatious delays and mistakes, and i f better and safer w orking conditions a ttra ct better men, operating methods and instructions should be applied to the safety problem. The same methods th a t have been developed fo r efficiency may be used to increase safety. Two methods are suggested for meeting the accident problem—the organization of a plant-inspection committee and of a foremen's committee. The first committee should inspect the plant every month on a certain date and should give particular attention to the study of accidents that have occurred during the preceding month, to the ex istence of improper physical conditions, to unsafe practices, and to first-aid instruction. It is believed that the cooperation of the men may be secured and their recommendations for betterment obtained by the installation of a “ suggestion box ” with a reward for the best suggestion, and by dividing the various crews under the different fore men into divisions with the presentation of a prize to the division that has had no lost-time accidents for one to three months or has reduced its percentage of accidents in that period. The foremen's committee should meet with the superintendent or assistant superintendent once a month for the purpose of discussing the causes of accidents that have occurred and of considering the recommendations of the plantinspection committee with a view to putting into effect such as appear to be practicable. “ However,” suggests the report, “ the final respon- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [639] 96 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. sibility for safety work can not be placed on committees, gang leaders, or workmen. * * * To put safety work on a sound and sensible basis the foreman must give the subject serious observation, study, planning, and direction, such as is given to operating work. The safety of the workmen always has been given foremost attention by foremen, but the reduction in accidents effected by many companies indicates that this attention has been concerned more with obviously dangerous factors than with injuries due to hand labor, use of hand tools, falls, falling objects, and similar causes incident to daily work. To these causes, however, the greater part of blast-furnace accidents is due.*’ Thus it is stated that at blast-furnace plants “ hand labor and hand tools cause over 40 per cent of all accidents; if flying and falling objects and falls of persons are included, over 60 per cent of all accidents are represented; and if burns from hot metal and cinder are added, the total represents approximately 75 per cent of all blast furnace accidents. This shows where the accident problem lies. Effective prevention of accident from these causes requires study, observation, experience, and instruction. No one in the plant is more capable of doing this than the foreman, no one is in such close contact with the men, and no one can combine such work with operating super vision so advantageously and effectively/’ Approximately 50 pages of the bulletin are devoted to precautions to be observed at blast-furnace plants, in which a great many detailed suggestions are offered to foremen, the general force, the cast-house crew, hot-blast men, stove cleaners, dust-catcher men, stock-house crew, trestle gang and yardmen, pig-machine men, ladle-house men, slag-dump men, engine-room force, boiler-house force, riggers, mill wrights and handy men, pipe fitters and tuyere gang, bricklayers, carpenters, electricians, and crane men. Most of the illustrations of the bulletin are included in this section. The importance of ready access to an emergency first-aid box is emphasized, especially for plants where the continual presence of a doctor or nurse is not feasible. Such a provision, it is believed, en courages the workmen to form the habit of seeking immediate first-aid treatment for slight injuries—a practice which in many cases will prevent infection or illness. Suggestions are included for treating eye injuries; cuts, lacerations, and punctures; burns; fractures; blows on the head or abdomen; bruises and strains; and asphyxiation or shock. The importance of giving immediate attention to all in juries is strongly urged in order to avoid infection. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [640] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 97 HEALTH CONSERVATION AT STEEL MILLS. The United States Bureau of Mines has recently issued a pamphlet entitled “ Health Conservation at Steel Mills,” 1 in which is set forth the importance of extending the “ safety first ” idea to include “ health first,” since in recent years there has been a rapid increase in the number and seriousness of occupational health hazards. In asserting that, aside from its humanitarian aspects, the prevention of conditions productive of ill health is a plain business proposition, the author asks the following pertinent questions: How many men in a plant are working hard and conscientiously, yet below their nor mal capacity, because of harmful or even uncomfortable conditions? Is not the efficiency of many a man below par because of some physi cal defect, as, for example, an error in vision, of which no one—not even himself—is aware? How much could his efficiency be increased by correcting the defect ? Can not more and better work be accom plished with the same effort by those working in pleasant and health ful surroundings than by those working under conditions conducive to undue fatigue and to disease? Education of workers which has operated to prevent accidents can be developed further, it is believed, so as to prevent, disease and sickness. As the first step in health conservation the author recommends a system of medical supervision, including a physical examination of all candidates for employment and of all men already employed, in order to prevent the introduction and spread of infectious or con tagious diseases. From a humanitarian standpoint as well as from purely business considerations he regards it as highly important that disease be discovered in its incipiency in order that proper treatment may be provided and thus prevent the possibility, for in stance, of a worker developing tuberculosis, which disease has been found to be the leading cause of death in 110 out of 140 classified occupations. This system of medical supervision, it is stated, should aim not only to maintain the health of the working force, but to pro vide advice for ailments and on “ how to keep well,” and to assist the management in providing employement for workers partly or wholly incapacitated by reason of physical infirmity from doing their accustomed work. The author recognizes that undue fatigue is one of the most com mon causes of occupational disability and that fatigue-producing conditions can not be ignored without seriously affecting the efficiency of the working force. This fatigue is caused by laborious or fast 1 H e a lth C o n s e rv a tio n a t S te e l M ills, by J . A . W a tk in s , p a s s e d a s s i s t a n t su rg e o n , U. S. P u b lic H e a lth S e rv ic e . U n ite d S ta te s B u r e a u o f M in es, T e c h n ic a l P a p e r 102, W a s h in g to n , 1916. 36 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [641] 98 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. work or long periods of work; monotony or complication of muscu lar movements; constant strain, as when fixed mental or visual at tention is necessary to the performance of duties; constant standing, particularly on hard, unyielding floors, such as those of cement; lack of variation in muscular exertions, or lack of periods of relaxation. In addition to the amount and character of the work, the conditions under which it is performed seem to have an important bearing on fatigue. For instance, exposure to high temperature and high hu midity, excessively bright or improperly placed lights, loud or con tinued noise, and constant vibration tend to cause fatigue. The relation of industrial buildings to the health of employees is pointed out, emphasis being placed upon the necessity of providing natural illumination or adequate artificial illumination, ventilation, ample space for each employee, and proper flooring. The report attaches considerable importance to the problem of proper illumination,1 since this is intimately associated with efficiency, safety, and bodily welfare. In certain mills increased efficiency varying from 2 to 10 per cent has been reported as a result of improved lighting conditions. Natural illumination is, of course, to be preferred, but where impossible to secure a sufficient amount of this, artificial illumination must be used, in which case it is suggested that the lights should be placed so as not to shine directly into the eyes; glare and troublesome shadows should be avoided; reflectors of a proper design should be chosen; protection of workmen from intense and harmful light should be provided, the most effective protection being secured by the wearing of glasses or goggles of special coloring, according to the character of the light. Two points of view are suggested in the consideration of adequate A^entilation—(1) that of air renewal and (2) that of removal of the products formed in the industrial processes, including fumes,' gases, or dust, and harmful conditions of temperature or humidity. Much dust in various forms is generated in a steel mill, and the inhalation of this dust is given as one of the greatest, occupational hazards. “ There is probably no condition that should receive more attention, or should be more speedily and effectively remedied, than that of suspended matter in the air.” Respirators may be worn, but <£a perfectly satisfactory respirator is yet to be devised.” The only effective means of removing dust in workshops is by a carefully designed and constructed exhaust system. The place to collect and remove dust is at its source. The conditions of temperature and humidity should receive atten tion, since it appears that continued exposure to high temperature 1 A n e x te n d e d d is c u s s io n o f tb e q u e s tio n o f illu m in a tio n a p p e a re d in R e v ie w fo r J u ly , 1916, p p. 1 0 1 -1 0 7 . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [642] the M o n t h l y MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 99 and high humidity increases the susceptibility to disease and may cause muscular and joint pains, aches, cramps, and, in extreme cases, heat exhaustion. Thus it would seem to be important to provide a free circulation of air, to lower the temperature to which men are exposed, to reduce the length of exposure to heat, and to provide ample bathing facilities and plenty of drinking water of about 55° temperature for those who work in heated rooms. The report outlines the requirements of proper washing facilities, including wash and locker rooms, baths, washbasins, and lockers; suggests the importance of well-illuminated, well-ventilated, and sanitary water-closets; notes the beneficial results of an adequate supply of pure drinking water of proper temperature and so dis tributed as to preclude all possibility of contamination: and empha sizes the fundamentally important proposition that a workman should be supplied with ample food of good quality and at a moderate price, which may be provided by the employer through the estab lishment of a restaurant in connection with the plant. Cooperation between employers and employees is stated to be an essential in securing the conservation of health in any plant. All provisions for the well-being of the workers are quite likely to be futile if the latter through ignorance or carelessness fail to observe the principles of health conservation. Therefore education is neces sary and this, it is believed, may be brought about through the ac tivities of the plant physician and by means of plant circulars, in serted in each pay envelope, forcibly bringing the fundamental prin ciples of good health and of personal hygiene to the attention of the employees. By way of suggestion several such circulars are pre sented under the following captions: Protect your eyes; See the doctor; Be examined by a doctor; Workmen, take care of your health; Watch your teeth; Don’t go home dirty; Watch your feet; Cut out the booze. INDUSTRIAL DISEASES IN NEW JERSEY. In New Jersey every physician attending upon or called to visit a person whom he believes to be suffering from poisoning from lead, phosphorus, arsenic, or mercury, or its compounds, or from anthrax, or compressed-air illness, contracted as a result of such person s occupation or employment, is required within 30 days after his first visit to report the case to the State board of health, and a penalty of $25 is imposed for violation of this provision. The State board of health, which is required to enforce this law, appears to be somewhat circumscribed in its power. The reason for this, according to the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [643] 100 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. thirty-ninth annual report of the board, for the year ending October 31, 1915,1 is that the board, while required to collect statistics of in dustrial diseases, to do all the clerical work in connection with the filing records, and then to transmit the data to the commissioner of labor, is given no supervision over an individual affected with a dis ease or over the factory in which such disease occurs. It thus finds itself in the position of obtaining statistics for the use of another department. The board believes that this work should be placed under the supervision of the commissioner of labor. The report referred to states that during the year ending October 31, 1915, reports of industrial diseases were received by the State department of health, as follows: C ases. Lead poisoning______________________________________________50 Anthrax___________________________________________________ G Mercury poisoning_________ 2 Arsenic poisoning__________________________________________ 1 T otal_________________________________________________60 Since it is stated that “ this law is not enforced as rigidly as it should be,” it is probable that the above statement is not a complete report of the cases of the industrial diseases named which occurred in the State during the year. OCCUPATIONAL DISEASES IN THE CHEMICAL INDUSTRY. An important feature of the fifty-third meeting of the American Chemical Society, held in New York City September 25 to 30, 1916, was the attention devoted to occupational diseases in the chemical trades. The symposium presented in the meeting of the industrial chemists and chemical engineers’ division consisted of the following five papers: Introduction, by Prof. Charles Baskerville, chairman of the com mittee on occupational diseases in the chemical trades. The occupational hazard in the chemical industry; the need for prophylaxis, by Dr. J. W. Schereschewsky, surgeon, United States Public Health Service, Pittsburgh, Pa. Industrial poisoning from analine and allied products, by George P. Adamson, Baker & Adamson Chemical Co., Easton, Pa. Bureau of Mines’ studies of occupational diseases, by Dr. W. A. Lynott, United States Bureau of Mines, Washington, D. C. Dangers other than accidents in the manufacture of explosives, by Dr. Alice Hamilton, United States Bureau of Labor Statistics, Chi cago, 111. ’ N ew J e r s e y : D e p a r tm e n t o f H e a lth . T h i r ty - n in th A n n u a l R e p o rt, 1915. d is e a s e s , p. 44. P a te r s o n , 1916. 447 p p . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [644] I n d u s tr ia l MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 101 One object sought to be achieved in these papers seemed to be the bringing about of closer cooperation between the chemists and physicians in the investigation of occupational diseases. A general discussion followed the reading of the papers, participated in by Dr. W. Gilman Thompson, professor of medicine, Cornell University Medical College, New York City; Dr. F. L. Hoffman, statistician, Prudential Insurance Co. of America, Newark, N. J . ; Dr. Francis D. Patterson, Department of Labor and Industry of the State of Pennsylvania; Dr. Lester L. Boos, medical inspector of the division of industrial hygiene, New York State. Industrial Commission; Mr. Newell T. Gordon, Department of Labor of New Jersey; Dr. Tracy II. Clark, medical director, the National LTnion, Chicago; Dr. Boval Meeker, United States commissioner of labor statistics; Mr. C. I. Johnson, Goodyear Tire & Eubber Co.; Dr. L. F. Goodwin; Dr. Johnson,, of Syracuse; Dr. J. S. Millard, plant physician of the Goodyear Tire & Eubber Co.; and Prof. William P. Mason. As outlined by Prof. Charles Baskerville, chairman of the com mittee on occupational diseases in the chemical trades, this com mittee exists for the purpose of securing “ sane and uniform legisla tion ” on this subject in all the States and to learn of specific condi tions m particular chemical trades that might call for improvement, and to this end its members have sought information, solicited and offered advice, and cooperated with boards of health and private corporations. It is noted that some manufacturers are doing much toward the protection of their laborers, while others, “ relatively few in numbers,” are “ absolutely inconsiderate.” One of the im portant questions in connection with industrial diseases, in the opin ion of Prof. Baskerville, is “ is it possible to draw a distinction be tween the maladies which are the result of certain occupations and accidents? ” It is in many cases difficult to ascertain whether a dis ease is the direct result of the nature of employment, “ but the just ness of the principle of compensation for so-called industrial dis eases is generally accepted.” Since the action of some chemicals is insidious and not always known, it seems to be of prime importance that the introduction of any novel substance into industrial opera tions or the introduction of a novel procedure should be studied to detect possible danger at an early stage, so that due precautions may be taken. In order to coordinate all lines of endeavor in the study of industrial hazards and the prevention of industrial dis eases to the end that legislation founded on technical and scientific investigation may result, the chairman of the committee urged the establishment of a safety museum at Washington, where national, State, and municipal officials and representatives of selected lines of chemical activity may cooperate by conference and advice. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [645] 102 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. Dr. Schereschewsky, in his paper on the “ Occupational hazard in the chemical industry,” called attention to the necessity for ade quate protection of workers because of the dangers peculiar to the industry as a result of the very nature of the substances dealt with. It appears that the chemical industry, the value of whose products increased 53 per cent in the period from 1909 to 1911, has received but little attention from the standpoint of industrial hygiene. The ordinary hazards of the industry, including inadequate illumina tion, dampness, stagnant air, exposure to extremes of cold and heat, long hours, fatigue, and monotony, were reviewed briefly, followed by a somewhat extended discussion of the specific hazards which include the effect on the body of irritating or poisonous dusts, fumes, and gases. Chief among these are the halogens (chlorine, bromine, and iodine) and their acids; nitrous fumes1; metallic vapors; arseni cal vapors; gaseous blood poisons; carbon disulphide; fumes of coal tar and coal-tar products; certain organic compounds; and lead dust. The effects produced by each of these were discussed in some detail, and the necessity for exercising great care in order to avoid unnecessary disease and death was emphasized. The necessity for such surveillance is further emphasized when we consider that but a small proportion of the personnel of chemical establishments con sists of skilled workers, the great majority being unskilled workers of foreign birth, who, besides having the most rudimentary ideas of personal hygiene, are ignorant of the nature of the substances which they handle. Deference was made to the frequency of illness in the chemical industry, based upon foreign experience, and authorities were quoted showing that in Germany the number of sick days for each worker in chemical plants ranged from 6.73 to 10.2, and that only 12 out of 100 workers worked throughout the year without sickness. The necessity for extreme caution, absolute cleanliness, and special care of health were emphasized in the paper on “ Industrial poisons from aniline and allied products,” by George P. Adamson. I t ap pears that aniline may enter the body by absorption through the skin, by direct contact, or by saturation of the clothes, through the digestive organs, and through the respiratory organs as volatile particles. In mild cases the symptoms are anemia, general weak ness, slight blueness or cyanosis, and gastric disturbances; jaundice may appear. In acute cases the symptoms are sudden prostration; cold, pale skin; blue lips, nose, and ears; diminution and even ex tinguishing of sensibility; small pulse; death in comatose condition, sometimes after antecedent convulsions. In the observation of the 1 A b r ie f s ta t e m e n t a s to th i s p o iso n is c o n ta in e d in th e M o n t h l y R e v ie w f o r J u n e 1910, p. 87. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [646] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 103 author, however, working in the fumes of aniline does not lead to any serious results nor is the poison cumulative. The only serious cases appeared to be those caused by absorption as a result of the oil splashing on the body without its immediate removal by washing. For this purpose dilute acetic acid was found very satisfactory. At the first symptoms of poisoning immediate removal from the work room to a cool shady spot, change of clothing, cool effusions, and the administration of oxygen in connection with artificial respira tion are suggested. However, the best means of reducing the danger appear to be the taking of proper precautions to prevent such poison ing, the most important precaution being cleanliness and the mainte nance of proper health conditions. Some facts deduced by the Bureau of Mines from its study of occupational diseases were set forth in a paper by Dr. TV. A. Lynott, who reviewed briefly several of the bulletins which have been pub lished by the bureau on this general subject. The author remarked that tuberculosis among coal miners is uncommon; that asthma is rare; that no injurious effects of any kind attend work with radium during the processes of crystallization. Considerable attention was given to a synopsis of the bulletin on miners’ nystagmus,1 giving its causes, symptoms, and prognosis. The paper concludes; with a review of the Bureau of Mines’ bulletin on Health Conservation at Steel Mills.2 The concluding paper of the symposium was read by Dr. Alice Hamilton, the subject being “ Dangers other than accidents in the manufacture of explosives.” In this paper Dr. Hamilton gave the results of a personal study of occupational poisons in some 40 fac tories making high explosives in this country—a study conducted under the direction of the United States Bureau of Labor Statistics. Of some 30 to 35 poisonous substances which have come to her atten tion it was pointed out that by far the most important are the gases which are grouped together as the oxides of nitrogen, or nitrous fumes,3 their importance arising from the fact that they are formed in all nitration processes used in the manufacture of explosives. It is stated that since the fumes are not irritating or corrosive, 'work men often breathe enough to cause severe, even fatal poisoning, •without realizing that anything dangerous is happening. The ex treme danger attending the manufacture of picric acid is noted, the probable reason ascribed being the “ hastily and poorly constructed picric-acid plants, put up to fill a single war contract and carried 1 For an extended review of this bulletin see Monthly Review for August, 1916, p. 43. 2 See p. 97 of this issue of the Review for a digest of this bulletin. 3 A brief statement as to this poison is contained in the Monthly Review for June, 1916, p. 87. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 4 7 ] 104 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. on with what looks like reckless haste, and I fear sometimes a good deal of ignorance, at least of the fundamental laws of hygiene.” In the manufacture of this acid, besides the nitrogen-oxide poisons, Dr. Hamilton mentioned phenol, which may cause severe systemic poison ing. with dizziness, delirium, weakness, and collapse when spilled over a large surface of the body, and may even cause chronic Bright’s disease if exposure to small quantities in the air is prolonged. The dangerous effects of many of the more important poisons used in the manufacture of explosives are quite fully considered, special reference being made to benzol and toluene and their nitro and ainido compounds, which act directly upon the nervous system; nitroglycerine; fulminate of mercury, which produces skin inflam mation; ethyl nitrate; and tetrachlorethane,1 used in the varnish for aeroplane wings. The paper suggests that the details of prevention must be solved in each instance, since it is a question of fumes and dust prevention and of proper provision for bodily cleanliness. The larger number of men are not susceptible to these poisons unless con ditions are very bad and the exposure excessive, but a minority is susceptible and a small group is oversusceptible and will suffer unless extraordinary pre cautions are taken, and unfortunately there is no way of picking out this group in advance. In the general discussion which followed the reading of these papers a number of important points were brought out. Dr. Thomp son and Dr. Hoffman both favored the establishment of a safety museum, and the latter expressed the opinion that all industrial dis eases will eventually be brought under the scope of compensation; also that all industries should be under direct medical supervision. Dr. Patterson suggested the necessity for a law requiring physi cians to report all cases of vocational diseases, and told of the efforts being made in Pennsylvania to secure legislation providing safety regulations for the manufacture of explosives, paints, and varnishes, and also covering the chemical industry. Dr. Poos referred to the fact that manufacturers complain that laborers will not use hygienic safety devices provided for them, but took occasion to refute this by citing a plant in which, as the result of the installation of a comfort house which the men were required to use, the amount of poisoning and illness has been considerably reduced. He noted the fact that in his State there is under considera tion an amendment to the law to require physicians to report all cases of occupational diseases. Mr. Gordon emphasized the importance of an educational cam paign in order that the men may be informed of the nature of the materials with which they work. 1 A n a c c o u n t o f th is p o iso n a p p e a rs on p. 105 o f th is is s u e o f th e R e v iew . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [648] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 105 Dr. Clark thought it would help materially to do away with occu pational hazards if the medical staff of insurance companies might be directed to cooperate more with plant physicians. Dr. Meeker declared that the relation of chemists to the workers deserves all the attention that can be given to it. He mentioned the necessity of revising the list of industrial poisons contained in Bulletin 100 of the Bureau of Labor Statistics and to this end urged the cooperation of every chemist and every industrial physician in the country. These poisons should be listed by industries and by occupations. Mr. Johnson stated that the Goodyear Tire & Rubber Co. had recently changed from a 12-hour to an 8-hour day, resulting in con siderable reduction in the amount of aniline poisoning. He thought it would be of advantage to give the extremely susceptible worker other work so that he might be removed from dangers of infection. Dr. L. F. Goodwin related his personal experience with trini trotoluol poisoning and suggested the necessity of finding antidotes for these industrial poisons. Mr. Mason believed that the so-called immunities were of little consequence in considering the treatment of occupational diseases. Dr. Millard doubted the value of the oxygen treatment in cases of aniline poisoning. DOPE POISONING.1 “ Dope ” is a varnish used to cover the wings of aeroplanes to make them impervious to moisture and air. It consists of powdered acetate of cellulose dissolved in various organic solvents such as acetone, amylacetate, benzene, carbon tetrachloride, tetrachlorethane (acetylene tetrachloride), and others to bring the cellulose to the needed dilution. Tetrachlorethane is mainly used as an ingredient of this dope because of its comparatively low cost2 and because it seems to have the remarkable property of tightening up the fabric which is stretched to form the wing in a way that nothing so far tried can do. Experiments conducted by representatives of the Brit ish factory department have shown conclusively that tetrachlor ethane is a powerful cumulative liver poison and also that dope vapor is a liver poison, and that the poisonous property of the dope vapor is due to tetrachlorethane being present in it.3 This is apparently true even though it is present in the dope mixture to the extent of 1 G re a t B r ita in . F a c to r y I n s p e c to r 's Office. D ope P o is o n in g . [L o n d o n ] J a n u a r y , 1916. 4 pp. 2 A ceto n e is s a id to be th e b e s t so lv e n t, “ b u t th e c u r r e n t p ric e of i t is a b o u t £ 100 ($ 4 8 6 .6 5 ) p e r to n , w h e re a s te tr a c h lo r e th a n e is o n ly £ 2 8 ($ 1 3 6 .2 6 ) p e r to n .” G re a t B r ita in . A n n u a l re p o r t o f th e c h ie f in s p e c to r o f f a c to rie s a n d w o rk sh o p s, 1914, p. 110. 3 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1649] 106 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. only 10 or 12 per cent. The workmen seriously affected by this poison developed toxic jaundice in a few weeks’ time, the symptoms being accompanied by little, if any, fever. “ The men complained first of drowsiness and of nasty taste in the mouth and of the effect on the throat. There was a sickly feeling and marked distaste for food. There was, as a rule, very obstinate constipation and in some cases vomiting. Pain over the region of the liver and stomach was a prominent symptom in some. In very severe cases hematemesis or convulsions may occur. Coma generally supervenes and death results with suppression of the urine.” 1 It should be remembered in this connection that jaundice, which is a prominent symptom of illness due to the inhalation of tetraclilorethane, has been familiar as following upon, first, the inhalation of arseniureted hydrogen gas in chemical works; and, secondly, absorp tion of nitro derivatives of benzol in factories for the manufacture of explosives. However, it does not appear from any report so far issued by the factory department of the Home Office that tetracldorethane poisoning results from operations in any other industry than the manufacture of aeroplanes. It is therefore safe to assume that the 57 cases of toxic jaundice (14, or 24.56 per cent, of which resulted in death) noted in the Board of Trade Labor Gazette for August, 1916 (p. 294), as having been reported to the Home Office for the seven months since January 1, 1916,2 occurred in this one industry, while the 250 cases of lead poisoning (22, or 8.8 per cent, resulting fatally), 12 cases of mercurial poisoning (no deaths), 1 of phosphorus poisoning (not fatal), and 69 cases of anthrax (1-3, or 17.39 per cent, resulting in death), covering the same period, reported in the same publication, occurred in 24 specified industries as well as certain other industries not mentioned by name.3 In the leaflet under review, issued in January, 1916, it is stated that continued incidence of poisoning in aeroplane factories has led to the addition of the main symptom caused by tetrachlorethane—toxic jaundice—to the diseases which, if contracted in a factory, must be notified to the factory department.4 Even at the date mentioned 1A n n u a l r e p o r t o f th e c h ie f in s p e c to r o f fa c to r ie s a n d w o rk s h o p s, 1914, p. 109. 2P r i o r to J a n . 1, 1 9 16, th is d is e a s e w a s n o t r e p o r te d to th e fa c to r y d e p a r tm e n t. 3A m o re a d e q u a te c o m p a ris o n m ig h t be m a d e i f th e n u m b e r o f em p lo y e es w a s k n o w n , b u t n e ith e r th e f a c to r y d e p a r tm e n t n o r th e B o a r d o f T r a d e L a b o r G a z e tte d is c lo se s th is fa c t. I n a n a r tic le o n te tr a c h lo r e th a n e p o is o n in g a tta c h e d to th e r e p o r t o f th e c h ie f i n s p e c to r o f f a c to r ie s a n d w o rk s h o p s f o r 1914, s u b m itte d in S e p te m b e r, 1915, th e f a c t is n o te d t h a t “ th e d e v e lo p m e n t in th e m a n u f a c tu r e o f a e r o p la n e s h a s been ra p id , c a r r ie d o n a s i t is n o w t h a t is, a t th e e n d o f 1 9 1 4 — in a t le a s t 27 f a c to r ie s e m p lo y in g ro u g h ly 6,500 w o rk e rs . I n one fa c to r y a lo n e 1,500 h a n d s a r e em p lo y ed . P e r h a p s 300 p e rs o n s — m en a n d w o m a n in e q u a l p ro p o r tio n s — a r e e n g a g e d in d o p in g o p e r a tio n s * * A m ong th e s e e m p lo y e es 16 c a se s o f to x ic ja u n d ic e a r e n o te d a s h a v in g o c c u r re d in th e five m o n th s , J u n e to O c to b er, 1914. T h is g iv e s a s ic k n e s s r a t e o f 2.46 p e r 1 .000 em p lo y ed . I t sh o u ld be n o te d , h o w e v e r, t h a t a n y illn e s s a t t r i b u t a b l e to th e in g r e d ie n ts o f th e dope h a s b een a d d e d to th e sc h e d u le o f d is e a s e s co v ered by s e c tio n 8 o f th e w o rk m e n 's c o m p e n s a tio n a c t o f 1906. 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [650] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 107 43 cases of jaundice in aeroplane factories had come to the attention of the department, and of these cases 7 had resulted in death (2 males and 5 females), the fatal issue generally occurring in about a fortnight after the apparently slight initial symptoms had shown themselves. The report emphasizes the importance, since no efficient substitute for tetrachlorethane has yet been found, of providing adequate means for proper ventilation by dilution of the air so as to keep down the tetrachlorethane and other vapors to a nontoxic proportion. The standard needed for securing this appears to be 30 changes of the air of the doping room per hour, which, if maintained, has largely re duced the danger of toxic jaundice. The means of ventilation must be mechanical, preferably by volume or pro peller fans, with free discharge to the open air. Owing to the high specific grav ity of the vapor the fans should be fixed at the floor level, or below this level where space allows the construction of large ducts under the floor. Air inlets, of the hopper type, the total area of which should be not less than three times the discharge area of the fans, should be provided at the side of the room opposite the fans at a height of about 10 feet above the floor level. It is stated that exhaust ventilation and separation of the process of doping from others is now recognized as indispensable in connec tion with doping the wings, but it seems that insufficient attention has been paid in some factories to the necessity of exhaust ventilation in all processes in which tetrachlorethane dope is constantly used. The process of “ taping,” in which, although a comparatively small amount of dope is used, the close application required brings the face right into the fumes, is specifically mentioned. The report notes the tendency in some factories to make the doping room too small. Pending the introduction of an efficient substitute for tetrachlor ethane it is regarded as important that occupiers should (in addition to provision and maintenance of a high standard of exhaust ventila tion) consider and apply the following suggestions for safeguarding the health of workers: 1. Exclusion of other work from the doping room. 2. Alternation of employment. * * * In factories where alternation of employment has been arranged, e. g., two days doping and two in other work, or one week in and one week out, improvement in health has resulted. And when such an arrangement is adopted occasional necessary overtime might, it is .suggested, be undertaken by those on the outturn, rather than by those who have already worked a full day in doping. 3. Periodical medical examination. A fortnightly medical examination has served useful purpose, both in reassuring the workers and also in enabling those showing premonitory symptoms to be suspended or transferred to other work. * * * After each visit the surgeon should state in writing the names of those (if any) whom he considers should be (a) suspended as definitely suffer ing from dope poisoning, necessitating absence from work until they are quite well, or ( h) transferred temporarily to other work, as a precautionary measure on account of equivocal signs. [651] https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 108 m o n t h l y r e v ie w of t h e b u r e a u of labor s t a t is t ic s . It is suggested that workers suffering from effects of dope should be excluded from all contact with it until they are well, medical cer tificates being obtained. Instances are said to be known in which, premature resumption led to recurrence of symptoms in an aggra vated form. New workers should be instructed as to how they can best avoid inhalation of fumes without interfering with work, and to this end the following suggestions are offered: 1. Doping should be commenced at the end of the wing nearest to the exhaust fans, and should proceed backward from that point. 2. In some factories the wings, as soon as the doped surface is “ tacky,” are carried to a drying room or closed chamber (separately ventilated), thus dimin ishing largely risk from inhalation of fumes. Where no such arrangement exists the wings should be placed to dry in a position between the workers and the exhaust draft, but not so as to obstruct the fans. 3. After doping the safest position for the worker is that nearest to the freshair inlets, but frequently men and women are seen standing close to the exhaust, and therefore breathing the air which is most highly charged with the noxious vapor; the reason being that either the flat top of the outlet duct has been found a convenient place to keep dope pots, brushes, etc., or the light is better there than at the far side. Shortsightedness, unless corrected by glasses, should debar from taping, if not from doping. 4. "Work should not be commenced on an empty stomach, and where tetrachlorethane is an ingredient of the dope a worker “ must not be allowed to take a meal or to remain during the times allowed to him for meals in any room in which such substance is used.” The report conchfiles with the suggestion that even if an efficient substitute for tetrachlorethane is found, exhaust ventilation will still be necessary to prevent the effects from such poisonous solvents and diluents as benzine, acetone, and methylated spirit, which must necessarily continue to be used. ANTHRAX IN LONDON IN 1915.1 During 1915 the following seven cases of human anthrax occurred in London: (1) On the 19th February, 1915, a man, G. K., aged 52, developed a boil on the back of the neck. He was removed to the London Hospital and operated upon there, but died on the day fol lowing the operation. He had been occupied in making rugs at his home, from miscellaneous materials mostly said to be derived from the goat. (2) On 23d April, 1915, a skin porter employed at the leather market, Bermondsey, developed a pimple on the cheek. He was removed to the Great Northern Central Hospital, the ulcer was 1 Q u o te d fro m th e r e p o r t o f th e c o u n ty m e d ic a l officer of h e a lth a n d sch o o l m e d ic al officer, f o r t h e y e a r 1915. L o n d o n C o u n ty C o u n cil, A u g u st, 1916. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [652] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 109 excised immediately, specific serum treatment was applied, and the patient recovered. (3) On the 26th June, 1915, J. M., aged 26 years, a tea packer, developed a boil on the forehead. He was admitted to the Royal Free Hospital and recovered. The source of infection was not discovered. (4) On 8th July, 1915, Mr. Luxmore Drew held an inquest on the body of a solicitor’s clerk (IT. C.), living in Paddington,-who died from anthrax at the West London Hospital; the disease began in the neck. The man (aged 38) had had nothing to do with animals or hides, wool, or skins, but it was stated at the inquest that his mother had bought him a new shaving brush at the shop of a local chemist about a week before his death. Dr. Elworthy, the pathologist to the hospital, verified the fact that the man had died of anthrax. He also examined the shaving brush and found it to be infected with anthrax spores. His experiments (see Lancet, 1st January, 1916) showed that anthrax spores may remain dormant in the hairs of brushes throughout the process of manufacture, and thus the disease may appear after the distribution of the manufactured article. The brush was one of six obtained by a chemist in Paddington from a wholesale firm in Finsbury on 11th May, 1915. It was the only one of the six sold by the chemist. The others were examined by Dr. Elworthy and found to be infected with anthrax. Inquiries were then extended into the earlier history of the brushes. The bristles wea-e found to be largely composed of mixed hair of Chinese origin, chiefly goat, horse, pig, and human hair. Before the war such consignments of hair were usually sent to dealers in Switzerland, who transmitted them to Germany, where they were graded and cut into lengths after being disinfected, and returned to Switzerland, from whence they were exported to whole sale manufacturers in this country. After the outbreak of war, however, these hairs were imported into this country direct from China, and, being labeled as “ goats’ hair,” escaped the Home Office regulations with regard to disinfection. I t appears that a consignment of these hairs conveyed by a Japa nese vessel was purchased through certain brokers by a firm in Lon don in September, 1914, who sent them to manufacturers in the Midlands for making into shaving brushes. About 1,500 of these brushes were distributed to various wholesale and retail vendors, both in this country and in the colonies; amongst these was a firm which supplied the local chemists with the brush used by H. C. The matter was reported to the Local Government Board, and it was arranged that that board would take steps to collect the brushes in the Provinces, while the London County Council would deal with 65847°—16-----S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [653] 110 MONTHLY REVIEW OE THE BUREAU OF LABOR STATISTICS. those sold in London. The medical officers of the city corporation and the metropolitan boroughs in which the brushes had been distiibuted were informed, and where the brushes were unsold they veie collected and dealt with, but a number had already been dis posed of to casual customers and could not be traced. (5) In the course of inquiries another case of human anthrax was discovered in Deptford in July, and it was found that the patient, who was a hawker, had obtained a shaving brush from a shop re ceiving its supply from the suspected assignment. Dr. Ehvorthy examined the brush used and found it to be infected with anthrax. It v as also ascertained that three other cases had occurred outside of London one at Bristol, another at Southall, and a third at Coventry (see Lancet, Jan. 29, 191G)—and in all three instances the infected persons had bought shaving brushes shortly before con tracting the disease. These brushes were obtained by the vendors from the factory in the Midlands previously referred to. These cases constitute the first known instances of anthrax being traced to infection from shaving brushes, and but for the timely discovery of Dr. Elworthy and the subsequent administrative action taken an outbreak of more serious dimensions might have occurred. (6) IV. E., an electrical fitter employed at the war office, was notified on November 28, 191b, as’suffering from anthrax. Pie was removed to the Middlesex Hospital, where, after appropriate treat ment, he recovered. Inquiries were made, but no light could be thrown upon the source of infection. (7) E. 31.. aged 29 years, was employed by a firm of hair dealers and notified ¡it Guy’s Hospital on December 8, 1915, to be suffer ing from anthrax. The local lesion was excised and the patient recovered. INFLUENCE OF OCCUPATION ON HEALTH DURING ADOLES CENCE.1 In a bulletin setting forth the influence of occupation on health during adolescence, the United States Public Health Service pre sents the report of a physical examination of G79 bovs between the ages of IP and 18 years in the cotton industries of Massachusetts, a study made in cooperation with the Massachusetts Child Labor Commission and the State Board of Labor and Industries with a view to standardizing methods of oversight of such persons to pro tect their health in the industries. II hile the investigation was somewhat limited in scope and apparently disclosed no need of any new industrial legislation, it seems to have shown that the matters 1 In flu e n c e o f o c c u p a tio n o n h e a lth d u r in g a d o le sc e n c e , b y M. V ic to r S ta ffo rd . S ta te s P u b lic H e a lth S e rv ic e , B u lle tin No. 78. W a s h in g to n , 1910. 52 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6541 U n ite d MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. I ll deserving of greater attention are rather matters awaiting the slow building up of an effective organization for carrying out already existing provisions of law. The prevention of the defective physical conditions disclosed by the actual physical examinations of the boys would seem to be a health problem rather than an industrial prob lem. “ The defective physical conditions found are to some extent the results of bad heredity and disease accidents in early life, but to a greater extent they reflect ignorance and neglect. ” Under the Massachusetts law no child under 11 years of age is permitted to be employed in any capacity in an industry like a cotton factory. No person under 18 can be employed in a cotton factory without an employment certificate issued by the local school authori ties certifying that the person lias complied with certain educational requirements prescribed by law, and if the person be under 16 years of age he must have, in addition, a certificate from a physician au thorized by the school authorities declaring him to have been physi cally examined and found physically fit to perform the particular kind of work specified in the certificate. A change in the character of the work calls for a new certificate. Thus “ every boy who was physically examined in this investigation, and who started to work before lie was 16, has been examined by a physician under the direc tion of the local school authorities before he was allowed to go to work.” Every cotton-manufacturing center of the State was covered by the investigation, the mills in each locality being selected so as to secure physical examinations (1) of boys from mills of both old and modern construction, (2) of boys employed in the manufacture of all the different varieties of cotton fabrics represented in the locality, and (3) of a sufficient number of boys of each nationality or race represented among mill employees to justify comparisons. These physical examinations were supplemented by a study of records of the hospitals in Lowell, Lawrence, and Fall River relative to the causes of admission of cotton-mill operatives whether as dispensary or hospital patients. In considering the tabulation of diseases and defects disclosed by the physical examination of the boys the report calls attention to the fact that the investigation was made in a State which has been a pioneer in the matter of industrial legislation; a State that is free from hookworm infection; practically free from malaria; with a very low typhoid fever morbidity rate; and where the prevention of tuberculosis and protection of public health gen erally lias been given considerable attention. 1 In a brief description of the manufacture of cotton fabrics it is pointed out that practically all the minors employed were engaged https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [655] 112 MONTHLY EEVIEW OE TILE BUREAU OF LABOR STATISTICS. in work requiring very little actual physical exertion at any time and involving but slight hazard in the way of industrial accidents. Out of 6^9 boys examined not more than 2 showed permanent results of injuries possibly received in the cotton industry. However, the report indicates that there are certain processes which do involve possible hazards of chemical poisoning, but so few boys were found employed in these particular occupations that the report devotes little attention to them. “ So far, therefore, as physical effects of usual cotton-factory work in the State of Massachusetts on male minor employees are concerned, the hazards of the industry prac tically are reduced to the possible effects on the minors of the atmos pheric conditions of the mills, not merely on the healthy and vigorous, but on those who may be in some way or other abnormal.” As indicating that the cotton factory does not appeal to the aver age boy when it comes to furnishing more than a temporary job, the report cites the fact that of 679 boys examined, 425 (62.6 per cent) were over 16, and 198 (29.2 per cent) were over 17 years of age, yet only 203 (29.9 per cent) had a total of 2 years’ employment and but 78 (11.5 per cent) a total of three years. The mill employ ment of 220 boys (32.4 per cent) was of less than 6 months’ duration. As to the education of these 679 boys, it was found that only 59 (8.7 per cent) had attended high school, and 237 (34.9 per cent) had not succeeded in reaching the sixth grade of a grammar school or its equivalent; 11 were illiterate. The report suggests that there are many good reasons why the education of these 237 boys ended where it did. It appears from the tabulation of diseases and defects, shown hereafter, that some had serious unrecognized defects of eye sight incompatible with progress in school; that some were deaf; that some evidently had during their school days diseased conditions of the nose, throat, and mouth, or other neglected physical defects; that “ others simply lacked the mental capacity to go any further in school than they did.” The names of 81 diseases and defects found among these 679 male cotton-factory employees between 14 and 18 years of age are tabu lated, with the aggregate length of employment in the cotton-manu facturing industry. In all, 3,180 cases are recorded, indicating that many of the boys suffered from more than one defect. In the follow ing table these diseases and defects are condensed into 14 groups, showing the number and per cent of cases in each specified group: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [G56] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 113 G R O U P I N G O F D IS E A S E S A N D D E F E C T S F O U N D A M O N G M A L E C O T T O N -F A C T O R Y E M P L O Y E E S B E T W E E N T H E A G E S O F 14 A N D 18, S H O W IN G N U M B E R A N D P E R C E N T O F C A SES IN E A C H S P E C IF IE D G R O U P . G ro u p . P h y sic a lly u n d e v e lo p e d .............. D efectiv e v is io n .............................. A c u te e y e d isea se s.......................... D efectiv e h e a rin g ........................... D efectiv e n a s a l b r e a th in g ........... H y p e rtro p h ie d to n s ils .................. D efectiv e t e e t h . .............................. P u lm o n a ry d ise a se ........................ Cases. 193 188 27 151 383 260 1,153 33 G ro u p . P e rc e n t. 6.07 5.91 .85 4.75 12.04 8.18 36.26 1.04 Cases. P e r ce n t. C ardiac disease............................ D iseased g la n d s ........................... S k in diseases................................ O rth o p e d ic d e fe c ts..................... M e n ta l d efec tiv e n ess................. M iscellaneous defec ts................ 22 413 67 39 33 218 0.69 12.99 2.11 1.23 1.04 6.86 T o ta l.................................... 3,180 100.00 The report comments on a number of these defects, noting particu larly the fact that the irritant effect of the atmosphere of the mills or of gases or chemical vapors on the respiratory tract was compara tively negligible, since in 499 cases (73 per cent) the mucous mem brane of the nose and throat was normal; that 388 (57.1 per cent) of the boys had decayed teeth demanding immediate attention; that not a single case of tuberculosis of the lungs was found, a fact, how ever, “ of little value as evidence in tending to indicate whether cotton-mill work predisposes to pulmonary tuberculosis or not,” since all the boys examined were under 18 years of age and nearly half of them had worked less than one year and only a few for more than four years. The report states that “ the freedom of boys from skin diseases was remarkable. One boy showed signs of rickets, and three had chronic nephritis or Bright's disease. As already indicated, the investigation seemed to show that health hazards must be sought in the atmospheric conditions of the mills and it was found that marked differences in the air conditions in different mills did exist. It is explained that a fairly high percentage of relative humidity evenly distributed through a room is essential to the conduct of the industry, and that when the machines are started a large amount of heat is generated. These factors “ cause a tendency toward unnecessarily high temperatures and high relative humidity in cotton mills and a reluctance to admit outside air unless these mat ters be automatically controlled.” This matter of temperature and humidity in Massachusetts industries has been made the subject of statutory regulation.1 I t was found that most of the boys examined in the autumn and early winter on clear, dry days Avere working in a mill temperature of about 75 degrees with a relative humidity of probably 70 per cent. The report suggests that the great danger at present of improperly issuing employment certificates arises from the fact that those au- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis i Ch. 543, sec. 5, Laws of 1910. [657] 114 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. thorized to make the physical examinations find it impossible to give sufficient attention to individual cases, and are not themselves in actual touch with the occupations concerned. The following recom mendations are made : For the reasons above stated it is recommended that the authority to issue a working certificate to a minor he vested exclusively in some central State agency, a part of whose functions it is to know actual working conditions in any occupation in the State—such certificate to be issued on a formal prescribed application, calling for any inform ation deemed desirable regarding the ap plicant and including the approval of the local school committee and evidence satisfactory to such central State authority of physical fitness as shown by a detailed report on a prescribed form o f a physical exam ination of the applicant. Instead of having an employment certificate practically Irrevocable as at present and attem pting to safeguard certificates by care in the selection of a few authorized exam ining physicians, it is recommended that the central State authority may, if it deem advisable itself and shall as a matter of course on request of th e-local school committee, lim it the life o f a certificate and make its reissue dependent on the reapproval o f the local school committee and an other physical exam ination. It is also recommended that the central State authority may accept a report on the prescribed form of physical exam ination of an applicant from any registered physician in the State, approved by the local school authorities, but that the central State authority shall have power to require that a report as to the physical condition o f a minor applicant or a minor at work be furnished in any case or at any tim e by a medical officer in the employ of the State. It is believed th at changes in the present law to the effect ju st indicated would result in insuring a much better and highly de sirable control over the educational interests and physical w elfare of minor w age earners in the State. STANDARDS OF HEALTH INSURANCE. In a volume entitled “ Standards of Health Insurance,” 1 the author, I. M. Bubinow, outlines the basic principles underlying a broad system of health insurance, with the expressed hope that it will be of some assistance to those who are trying to teach it to the public, or who have gone so far as to prepare drafts of legislative enactments. For the benefit of those unfamiliar with this subject, certain essential considerations upon which the propaganda is based are suggested: 1. Since “ insurance is a provision made by a group of persons, each singly in danger of some loss, the incidence of which can not be foreseen, that when such loss shall occur to any of them, it shall be distributed over the whole group ” insurance is evidently a method w ell adapted to m itigate the destructive effects of illness. 1 S ta n d a rd s 1916. 322 pp. of H e a lth I n s u r a n c e , b y I. M. R u b in o w . $1.50, net. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [658] H en ry H o lt & Co. N ew Y o rk MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 115 2. The wageworker stands in greater need o f health insurance, because, first, his economic status depends much more closely up.on preservation of h e a lth ; second, as a result of the unhygienic or harmful conditions of his life and work he is very much more susceptible to ill health than the members of the employ ing or all property-owning classes. 3. The advantages o f health insurance are clearly demonstrated by the rapid extension of private health insurance of various forms, commercial as w ell as mutual. 4. The experience of Europe demonstrates that public concern in health insurance for the wageworking class is alm ost universal in all industrial countries. The author discusses the benefit of health insurance; gives an esti mate of the cost, and suggests the proper way of apportioning it; out lines the organization of health-insurance associations and of medical aid; notes the necessity for a compulsory plan; and answers some of the objections to the system as a whole. The question of constitu tionality is presented in an appendix by Prof. Joseph P. Chamberlain, of the legislative drafting bureau of Columbia University. The necessity for health insurance legislation in this country, grow ing out of the demand for it among the laboring people and those vitally interested in social insurance of all kinds, is emphasized. ! I f the harmful effects of the increasing cost of living w ill be counteracted, if organized society intends to undertake a serious campaign for prevention of destitution, if, finally, the movement for conservation of the health of the N ation is to have any meaning at all, then health-insurance legislation becomes the burning issue of the hour. Almost all the other benefits of a system of health insurance seem to depend upon whether a voluntary or compulsory system is con templated. In arguing for the compulsory plan the author draws largely from the experience of Denmark, Germany, and Great B rit ain, representing three distinct tjqpes of health insurance, respec tively: (1) Voluntary insurance with State subsidies; (2) compulsory insurance with a practically prescribed insurance carrier; (3) com pulsory insurance with freedom of choice of insurance carrier. | European experience has apparently convinced the author that a compulsory health insurance act should be broad and general in its application, including agricultural laborers, domestic servants, home workers, casual and irregular employees, Government employees, and clerical employees, and that a voluntary system may be operated : in connection with a compulsory system so as to cover those who, for one reason or another, do not benefit by the latter. ^ When it comes to determining the scope of health insurance the ; author admits the difficulty of drawing an exact line of demarcation between disease and industrial injury, but notes that it is the uni: form practice in practically all health-insurance systems to treat https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1659] 116 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. cases of nonindustrial accidents in the way in which cases of sickness are treated. So far as industrial accidents are concerned the question becomes more complicated because in many States these are largely covered by the provisions of compensation laws. Health insurance, it is believed, should supplement accident com pensation also in the medical aid rendered and in its coverage of occupational diseases, but it is thought unwise to combine it with invalidity insurance as has been done in Great Britain. The author devotes several chapters to a discussion of the benefits derived from health insurance, including medical, money, maternity, funeral, and optional benefits. The first should include medical treatment, supplies, and institutional care ; money benefits should not be uniform, since they would be too high for some workers and too low for others; and the waiting period should be “ based upon a priori reasoning rather than precedent,” since standards established in European countries are found to differ materially. It appears that practically every existing system of compulsory health insur ance offers maternity benefits, and the author believes that this phase of social insurance should be made a part of health insurance instead of being conducted as a separate system. The established extrava gance in funerals, especially among the poor, is commented upon, and it is stated that the “ assumption of this burden by the sickness benefit would establish one fairly uniform standard the acceptance of which would not mean loss of caste.” The author points out that all compulsory health insurance sys tems (with the exception of those of Roumania and Holland) not only require employees to insure, but also make it obligatory for employers to contribute to the cost, although the amount of such contribution is subject to variation. In Great Britain there is in addition contribution from the public treasury. It is assumed that the workmen themselves will contribute to any system of health insurance, a policy which would give them “ democratic participation in the administration of the funds, such as would be quite impos sible under a system of gratuitous pensions. The working class has amply demonstrated its ability and willingness to develop mutual insurance.” As to the distribution of the cost among employers, workmen, and the public treasury, the author suggests an equal divi sion as the natural and easiest way of solving the problem,1 but admits that the suggestion lacks a logical foundation and states that “ the actual distribution will in each case depend more upon 1 “ I n G e r m a n y t h e e m p lo y e r c o n t r i b u t e s a s u m e q u a l t o o n e - h a l f o f t h e e m p lo y e e ’s c o n tr ib u tio n , o r o n e -th ird o f th e to t a l. I n t h e i n s u r a n c e s y s t e m o f H u n g a r y a n d S e r b ia t h e e m p lo y e r a n d e m p lo y e e c o n t r i b u t e e q u a l a m o u n t s . ” I n G r e a t B r it a in “ th e in s u r e d p a y s 4 d . [ 8 c e n t s ] , ( f e m a le s , 3 d . [ 6 .1 c e n t s ] ) p e r w e e k , t h e e m p lo y e r 3 d . [ 6 .1 c e n t s ] , a n d t h e S t a t e , in a s o m e w h a t i n d i r e c t w a y , 2 d . [4 .1 c e n t s ] . ” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 660] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 117 bargaining power and the interaction of political influences than upon any definite economic or actuarial reasoning.” 1 The author recognizes the argument advanced by some that a reduced contribu tion should be expected from low-paid labor and a correspondingly higher contribution from employers of such labor. Since the stated object of social health insurance is to give the insured as large a return for their contribution as possible, “ prac tically all social insurance against sickness in Europe is conducted by institutions or organizations of a public character, with the ele ment of commercial profit entirely eliminated.” The author warns against the suggestion that private stock companies, operated for profit, may be utilized in this branch of social insurance as they have been in compensation, and deprecates the participation of mutual private insurance companies. He also doubts the advisa bility of adopting the method of direct insurance by the State. Outside of Great Britain “ the entire lesson of history is in favor of the ‘local’ public fund, wdiether built upon trade lines, where the number of insured is sufficiently large, or embracing all the wageworkers of a locality.” In the administration of these local “ public ” funds both em ployers and employees should be equally represented in the man agement of the funds, but “ it seems more desirable that no official representatives of the State authority be directly concerned in the administration of these associations.” Every local association should be subject to a central organization, either the State industrial com mission or the State labor department. It is recognized that the amount of the contribution must depend upon the benefits rendered and that this should bear some relation to wages, since benefits do. Just how to determine the amount of the contribution appears to be a very difficult problem, because many factors enter into the consideration. The conclusion is that “ it is quite unnecessary and, in fact, very dangerous, to embody any defi nite rate of contribution in the act. This may be safely left to the individual insurance carriers to be established by their by-laws, sub ject to the control of the commission.” The establishment of rates in relation to wage groups, age, occupation, and hazard is discussed. Owing to the importance of the organization of medical aid, in volving its relation to private practice, freedom of choice of phy sicians, organization and distribution of medical supplies, and admin istration of institutional treatment, a separate chapter is devoted to this subject. 1 T h e b a s i s o f d i s t r i b u t i o n a s fix e d i n t h e b il l p r e p a r e d b y t h e A m e r i c a n A s s o c i a ti o n f o r L a b o r L e g i s l a t i o n is 4 0 p e r c e n t b y e m p lo y e r s , 4 0 p e r c e n t b y e m p lo y e e s , a n d 2 0 p e r c e n t b y th e S t a t e . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [661J 118 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. An important feature of the organization of health insurance is its probable cost, and of this the author gives an estimate, based upon the fixity of benefits and contributions adjusted to the cost, and con cludes, on the basis of German experience, that it seems very prob able that the total cost for the entire system will approximate 4 per cent [of the wages] on an average, and in a good many localities or industries will rise even higher. It is doubtful whether anywhere it will be below 3 per cent. The law might reasonably state the limits between 3 and 5 per cent. This cost (a maximum rather than a mini mum or probable cost) the author has distributed as follows: P e r c e n t. Money b en efits_____________________________________________ M aternity benefits__________________________________________ Funeral benefits__________________________________________ Medical a i d ________________________________________________ 1. 908 . 072 . 432 1. 33S T o ta l--------------------------------------------------------------------3. 750 Considering all the benefits and the probable cost of a system of health insurance as herein outlined, the author concludes that “ it is decidedly worthwhile.” But in order to avoid levying, in its entirety, upon wage earners the cost of such a system, it is suggested that “ the distribution of the cost between the employer and employee, with a substantial contribution from the State, is the only way in which this large program may be realized.” P R O P O SE D A M E N D M E N T OF T H E B R IT IS H N A T IO N A L H E A L T H IN S U R A N C E A CT.1 On January 27, 1916, the British treasury department appointed, a committee composed of representatives of the department, members of the National Health Insurance Commission, officials of insurance companies and of friendly societies, trade-union representatives, actuaries, and other parties interested, to consider and report upon amendments to the health insurance act of 1911 so far as relates to its financial aspect, and to consider how far the work of approved societies, the carriers of the insurance under the act, may be sim plified in its administration. On May 11, 1916, a preliminary re port was filed by the committee, known as the departmental com mittee on approved society finance and administration. Discussing merely the financial phase of the work delegated to it, the commit tee points out that the normal operation of a general scheme of in surance based on a flat rate of premium—the scheme adopted under 1 G re a t B r ita in . N a tio n a l H e a lth In s u ra n c e . I n te r im R e p o rt o f th e D e p a rtm e n ta l C o m m itt e e o n A p p r o v e d S o c ie ty F i n a n c e a n d A d m i n i s t r a t i o n , M a y , 1 9 1 6 . L o n d o n , 1916. 39 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [662] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 119 the British health insurance act, 1911—rests, of course, upon an average which when applied to different classes of the population may show marked deviations, according as the composition of the particular section conforms to or varies in one direction or the other from that of the main body or as the conditions influencing claims on the funds may vary. But the national health insurance scheme, the committee notes, can not be said to satisfy the usual requirements of a flat-rate system. Furthermore, Parliament, by leaving the for mation of the approved societies, the carriers of the insurance, un restricted and free, contemplated a departure in one fundamental aspect from the normal working of the flat-rate system. “ Though prosperous and less fortunate societies must of necessity go to make up the national aggregation and, on the original assumptions, to pro duce a solvent position, the prosperous societies were to enjoy the whole (or a greater part, in certain cases) of their surplus, while the less fortunate had entirely, or to a great extent, to rest upon their own resources/’ Thus there was no pooling of the resources or the deficits in order to balance their losses or surplus and therefore to bring them within the normal operations of a flat-rate system of insurance. In order to test the general working of the scheme, the committee had been supplied with data based upon the experience of societies in cluding among their membership the great majority of insured per sons. The committee excluded disability benefit from the compari son thus made, for the reason that this benefit came into operation as recently as July, 1914. The expected cost of disability benefit will increase continuously for a number of years, and while in the first 18 months of its operation the cost had been within the expectation appropriate to that period in the case of both men and women, ex perience of its normal working must be gathered before conclusions can be drawn. The actual and expected expenditure per member for sickness and maternity benefits are shown below for both sexes for the years 1913, 1914, and 1915, in pence per week: A CTUAL AND E X P E C T E D W E E K L Y E X P E N D IT U R E P E R M E M B E R F O R A N D M A T E R N IT Y B E N E F I T S , B Y S E X , 1913, 1914, A N D 1915. A c tu a l e x p e n d itu re . M en: 1913.......................... 1914.......................... 1915.......................... W o m en : 1913.......................... 1914.......................... 1915.......................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E x p e c te d e x p e n d itu re . 2.76d. (5.60 c t s .) . . . 3.03d. (6.15 c t s . ) . . . 2.76d. (5 .6 0 c t s . ) . . . 2.80d. (5.68 c ts .). 3.00d. (6.09 c ts .). 3.00d. (6.09 c ts.). 2.51d. (5 .10c t s . ) . . . 2.60d. (5 .28c t s , ) . . . 2.04d. (4 .1 4 c t s . ) . . . 1.78d. (3.61 c ts .). 1.85d. (3.76 c ts .). 1.85d. (3.7 6 c ts .) . [663] S IC K N E S S 120 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. Taken as a whole, the three years’ experience, in the opinion of the committee, shows that there is a general sufficiency of contributions in the case of male members of the societies; and unless post helium conditions result in a general increase in the rate of sickness claims, no unfavorable result need be expected. Although this is true of the general level of contributions, individual societies drawing their members from particularly hazardous occupations or living in un healthy surroundings will consistently show a rate of sickness in excess of the average. With respect to women members, the working of the insurance act fell short of the assumption involved in the original basis of the scheme. The data show a general insufficiency in the income pay able to the benefit funds. Married women, in particular, appear to be subject to a greater amount of sickness than women generally, and this excess is shown in the experience of societies in proportion to the number of married women included in the membership. The committee hastens to allay anj^ apprehension as to the financial stability of the societies under the scheme, since the present law pro vides means by which societies can regain a position of financial equilibrium by reducing the benefits or increasing the contributions of the members. It is none the less true that a number of the societies will inevitably find a deficit on making evaluation. Precluded by the instructions in its appointment from seeking a remedy for these difficulties in the direction of additional State funds or of an increase in rates of contributions or in a reduction of rates of benefit, the committee suggested relief of the financial situation of the approved societies by releasing a part of the contributions to the sinking fund to meet current needs. The scheme as outlined by the committee provided (1) an immediate increase in the income available to societies for the payment of benefits to women generally (increase of benefit fund) ; (2) special provision for the claims fall ing upon societies by reason of married women members (creation of a womens equalization fund) ; (3) accumulation of a special reserve fund as a measure of precaution, to meet, if necessary, the indirect but possibly prolonged effects of war service upon the general sick ness rate of male members; (4) placing in the hands of all societies, whether composed of men or women, or partly of both, additional moneys to meet contingent liabilities growing out of excessive claims for sickness disability or maternity benefits (creation of a contin gencies fund) ; (5) provision for further deficiency due as special risks in its societies containing an abnormal number of persons below the average in health (creation of a special risks fund). The first four funds mentioned above should be made available for immediate application in cases of deficiency on valuation. The https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [064] 121 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. men's special reserve fund and contingencies fund should be credited to each society in proportion to the contributions of its members, and the women’s equalization fund and the special risks fund should be central funds for the whole United Kingdom. The following statement shows in detail the several allocations of moneys referred to above from sinking-fund resources : A LL O CA T IO N O F T I IE R E S O U R C E S O F T H E S IN K IN G F U N D AS P R O P O S E D B Y T H E C O M M ITT EE . W omen. Men. R ate per weekly con trib u tio n . To hfvnaf.t fund To w om en’s equaliza tion fu n d ... To m en’s special reTo contingencies fu n d . To special risks fu n d .. . 12d. ($0.24) 35d. ($0. 71) 9d. ($0.18) T o tal a n n u al am ount. £250,000 ($1,216,625) £710,000 ($3,455,215) £180,000 ($875,970) R ate per w eekly con T o tal a n n u al am ount. trib u tio n . 17d. ($0.35) £145,000 ($705,643) 16d. ($0.32) i £135,000 ($656,977) 31d. ($0.69) 8d. ($0.16) £280,000 ($1,362,620) £70,000 ($340,655) £030,000 ($3,065,895) 75d. ($1.52) 56d. ($1.13) £1,140,000 ($5,547,810) T o ta l... The appro p riatio n of the above item s w ould leave for in terest a n d redem p tio n of reserve values— f £160,000 ($2,23S, 590) i £1,500,000 ($7,299,750) In te re s t.................... | 75d. ($1.52) R edem ption of re jlOOd. ($2.03) \ £170,000 ($827,305) 1 £560,000 ($2,725,210) serve values......... G rand to ta l.......... 15Gd. ($3.16) £3,200,000 ($15,572,800) 150d. ($3.04) £1,2G0; 000 ($6,131,790) 1 I t is assumed th a t P arliam en t w ill be asked to provide a g ran t of an equivalent am ount. Other recommendations of the committee included the following: (1) A repeal of the provisions of the act requiring branches of societies (in certain cases, societies) to contribute up to one-third of their disposable surplus to deficits of other branches or societies; (2) pooling of the contingencies fund up to 50 per cent thereof of societies having less than 1.000 members; (3) withdrawal of the power granted to societies to associate voluntarily for pooling pur poses, subject, however, to a special reservation in favor of societies with a common origin or interests, and of employers’ provident funds; (4) the contingencies funds of societies, so far as not required to provide against deficiencies, to be available for additional benefits to members after the second valuation; (5) societies to be enabled, in view of the modification in their financial position involved in the foregoing proposals, to reconsider any arrangements as to their valuation of their members resident in different parts of the United Kingdom; (6) the rate of interest assumed in the financial basis of the acts to be maintained at 3 per cent; (7) the valuations of societies to take place at quinquennial instead of triennial intervals; https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [665] 122 MONTHLY REVIEW OE THE BUREAU OF LABOR STATISTICS. (8) the foregoing scheme to run for a period of 10 years from the commencement of benefits (with the effect of extending the term of the sinking fund by about 6 years) and the matter then to be recon sidered in regard to the amounts to be carried to the contingencies and special risks funds, the source from which those moneys have been provided, the provisions governing the women’s equalization fund, and the position generally in the case of mixed societies; (9) arrangements to be made for securing full statistical data in regard to the experience of men and women respectively; (10) compulsory separation of men’s and women’s funds not to be made, but facilities for the separation of men’s and women’s funds to be afforded where desired by a society. SICKNESS INSURANCE IN AUSTRIA, 1912 AND 1913. IN T R O D U C T IO N . The Austrian sickness insurance system in its present form is based on the law of March 30, 1888, which came into force on August 1, 1889. Sickness and accident insurance in Austria are closely united by the provision of article 1 of the sickness insurance law, stating that the persons subject to the compulsory accident insurance are also subject to the compulsory sickness insurance. The classes of persons subject to the compulsory sickness insurance are work men and low-salaried administrative officials in all enterprises regu larly carried on with some permanency of operations and conducted for profit. Persons employed in home-working industries, agricul ture, and forestry are not subject to the compulsory sickness insur ance, but may insure themselves voluntarily under the provisions of the law, if their employers agree. Administrative officials earning 2,400 crowns ($487.20) or more are exempt. The sickness insurance funds established under the law must provide benefits, first, for cases of sickness causing disability for more than three days, and, second, for cases of accidental injury during the first four weeks of disability, if the accident is one which is entitled to compensation under the accident insurance law. For female members benefits must be paid for at least four weeks after childbirth. A funeral benefit must be paid if the disability results in death. The benefits provided by a sick fund must not be less than the fol lowing: From the beginning of the sickness, free medical treatment, as well as free medicines and therapeutical appliances; in case the sickness lasts more than 3 days and the sick person is unable to work, a pecuniary benefit amounting to 60 per cent of the locally current rate of wages for ordinary day labor for each day of sickness for a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [G6G] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 123 period of 20 weeks; in case of death, a funeral benefit of not less than 20 times the rate of wages mentioned above. Instead of the free med ical treatment, free medicines, and pecuniary benefit, the sick person may receive free treatment in a hospital, and in that case, if he has dependents, these receive at least one-half of the pecuniary benefit. The law authorizes the sick funds to increase the amount of the pecuniary benefits, but fixes a maximum for such increases. The means for the support of the various sick funds are procured by assessments levied in the form of a percentage of the ’wages of the insured persons. The latter pay two-thirds and the employers onethird of the rate fixed by the fund. The maximum rate permissible is 3 per cent of the ivages used as a basis for computing the benefits. No person compelled to insure pays an entrance fee. Persons insur ing themselves voluntarily, however, must pay such a fee, equal in amount to 6 weeks’ dues. The principal carriers of the sickness insurance are the district sick funds, organized on geographical lines. In addition to these, the law recognizes as carriers the establishment, building trade, association, and guild sick funds. O P E R A T IO N S I N 1912 A N D 1913. The latest report on statistics of the operations of the Austrian sickness-insurance system has been published by the ministry of the interior as a supplement to the June number for 1916 of the “Amtliche Nachrichten des k. k. Ministeriums des Innern betreffend die Unfall- und Krankenversicherung der Arbeiter,” and deals with the results for 1912 and 1913. The report states that the data presented for 1913 are incomplete for various reasons connected with the out break of the war (occupation of some districts by the enemy, calling in of fund officers to the army, etc.), and are therefore not quite com parable with data for preceding years. The number of sick funds in 1912 shows an increase of 23.6 per cent over that in 1890, and the membership an increase of 138.5 per cent. In 1912 the population of Austria vTas estimated to be 28,718,850; the membership of all sick funds being 3,691,111 was, therefore, 12.9 per cent of the population. Of the total average membership for 1912, 2,821,361 were male members and 872,753 female, members. The corresponding figures for 1913 were 2,550,710 and 832,698. In 1912 (the data for 1913 are not comparable on account of their incompleteness) the average number of funds increased by 19, and the average membership by 90,593, or 2.5 per cent, as compared with the corresponding data for l^Ll. The district funds formed 17.3 per cent of the total average number of funds; the establishment and building-trade funds combined formed 36.9 per cent; the guild funds https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 16671 124 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 38.3 per cent, and the association funds 7.5 per cent. These per centages vary only slightly from the corresponding percentages for 1911, which were 17.3, 37.2, 38.3, and 7.2, respectively. Of each 100 members 43.1 were insured in district funds, 21.8 in establishment or building-trade funds, 17.1 in guild funds, and IS in association funds. The corresponding figures for 1911 were 43.3, 22.1, 16.8, and 17.8. The aA^erage membership per fund increased from 1,078 in 1911 to 1,099 in 1912, and in 1913 decreased again to 1,074. The number of days of sickness per member of all sick funds combined varied from 9.13 in 1911 to 8.9 in 1912, and rose again to 9.45 in 1913. There has been a steady decrease in the number of childbirths, as reported by the sick funds. The mortality rate among members of sick funds is considerably lower than the general mortality rate in Austria, explained by the fact that the insurance system includes only able-bodied and actiATe persons. The establishment funds sIioav the highest proportion of sickness or disability cases (Table 4), due to the fact that the members of these funds are mainly employed in the large industries. The receipts and expenditures (Table 5) of the sick funds have increased from year to year, in proportion to the increased member ship, the figures for 1912 showing an increase over those of 1911. The decrease of receipts and expenditures in 1913 can not be consid ered on account of the incompleteness of the returns for this year. The annual surplus has greatly varied since 1890 and is closely con nected with the rise or fall of the morbidity rate. It has been as Ioav as 2.3 per cent of the contributions, in 1899, and in the tAvo years 1891 and 1894 AATas as high as 11.4 per cent. In sickness insurance, where the maximum period of benefits is restricted, as in Austria, to 20 Aveeks, a large reserve is not required, as all expenditures should be met from current receipts. Of the total receipts, contributions formed 93.3 per cent in 1912, and 93.9 per cent in 1913. Insurance benefits were the largest item among the expenditures, forming 85.6 per cent of the total expenditures in 1912 and 86.7 per cent in 1913, or 87.1 and 90.2 per cent, respectively, of the total contributions. The large increase noted in per capita contributions (Table 6) is offset by a still larger increase in the per capita amount expended for insurance benefits. The per capita costs of administration were 113 per cent higher in 1912 than in 1890. The total expenditures of funds for benefits have increased regu larly since 1890 (Table 7). The pecuniary sick benefit has always been the largest item in this class of expenditure. The expenditures for the services of physicians and for medicines, etc., have shown increases. The expenditures for hospital treatment show a relatively greater https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [ 668] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 125 increase than the expenditures for any other item, indicating that more extensive use of this type of treatment is being made. The expenses for funeral benefits show relatively the smallest increase of anjTof the items. The average expenditures per member for insurance benefits were $2.65 in 1890, and have gradually increased to $1.67 in 1913, an in crease of 76 per cent (Table 8). Of the individual items composing these expenditures per member, the payments for sick benefit or pecuniary aid increased during the same period 60 per cent, the cost of medical treatment 106 per cent, the cost of medicines, etc., 64 per cent, the cost of hospital treatment 258 per cent, and the pay ments for funeral benefit 22 per cent. The average cost of benefits per day of sickness for all funds com bined (Table 9) has increased; also the average costs of benefit per case of sickness and the average cost of funeral benefits. In 1913 the average cost of benefits per member in all sick funds combined exceeded the average contribution per member by $1.20, or, in other words, the members of sick funds received benefits on an average 35 per cent in excess of their contributions. In the establish ment funds the average excess of benefits over contributions was $1.99, or 51 per cent, due to the fact that in this class of funds the employer is by law obligated to bear all the costs of administration. The operations of the sick funds are shown in the following tables. I t must be kept in mind that the term “ sickness,” as here used, means temporary disability, whether caused by sickness or accident. As stated, the sick funds provide for cases of accident during the first four weeks of disability, and since the official reports do not distin guish between cases of sickness and cases of accident, it is impossible to show these two classes of disability separately, though it is prob able that a large part of the cases included in the following tables are accident cases. 65847°—-16------ 9 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [669] 126 MONTHLY REVIEW OF THE BUREAU o r LABOR STATISTICS. T able 1.—D IS T R IB U T IO N O F M E M B E R S H IP O F SICK F U N D S, B Y CLA SSES, 1912 A N D 1913. N um ber of— Class of fund a n d year. A ctive funds. D istrict funds: 1912.............................................................................. 1913......................................................... ............... E stab lish m en t funds: 1912.................................................................................. 1913.................................................................................. B uilding-trade funds: 1912............................................................................ 1913.................................................................................. G uild funds: 1912................................................................................ 1913................................................................................ A ssociation funds: i 1912.............................................................................. 1913.................................................................................. All sick funds: 1911.............................................................................. 1912............................................................................ 1913............................................................................ Average n um ber of— F unds included in the statistics. Funds. Members. Average m em bership per fund. 582 579 582 517 582 517 1,592, 768 1,343,335 2, 737 2 598 1,204 1,200 1,197 1,147 1,192 1,140 797,529 782,619 669 687 52 52 54 12 50 12 6,542 2,079 131 173 1,307 1,310 1,295 1,250 1,286 1,241 630,510 596,905 490 481 263 271 25S 243 251 239 666,765 658,470 2, 755 3,379 3,408 3, 412 3,369 3,386 3,169 3,342 3,361 3,149 3,603,521 3,694,114 3 ,3S3,408 1,078 1,099 1,074 1 Inclusive of registered aid funds. T able 2.—N U M B E R O F C O M PE N SA TE D CA SES O F SIC K N ESS A N D C H IL D B IR T H , D A Y S F O R W H IC H SICK B E N E F IT S W E R E P A ID , AN D N U M B E R O F C O M PE N SA T E D D E A T H S IN SICK F U N D S , 1890 TO 1913. Compensated cases of sickness and c h ild b irth . N um ber of days for w hich sick benefits were paid. Y ear. Total. 1890................................................................. 1895...................................................... 1900................................................................. 1905.............................................. 1906.............................................. 1907......................................................... 1908.................................................. 1909.......................................... 1910....................................... 1911..................................... 1912.......................................... 1913........................................ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 797,683 1,013,599 1,313,148 1,527,657 1,677,838 1,811,869 1,805,594 1,777,514 [670] Cases of child b irth. 26,780 41,846 tp 0 ^ 3 50*696 Total. 12,409,327 17,516,981 22,708,651 26,978,071 Cases of childbirth. UO«7, CX>«7 1,399,474 1, x fo Z 1,502,120 1 , 0 4 1 , U iO 55,511 30,658,569 55,171 56,017 52,288 30,597,796 32,905,047 32,885,695 31,985,800 1,561,412 1,527,418 1,555,076 1,525,174 1,555,675 1,448,850 D eaths com pen sated. 15,925 20,094 23,845 27,080 24,858 26,959 27,717 27,820 27,731 29,733 30,304 27,370 MONTHLY REVIEW OE THE BUREAU OF LABOR STATISTICS. 127 IN T able 3.—R A T E S A N D A V E R A G E D U R A T IO N O F SIC K N ESS, AN D D E A T H R A T E S SICK F U N D S, 1890 TO 1913. Cases of sickness Cases of childbirth per 100 p er 100 m em bers female (exclusive of con m em bers. finements). Y ear. 48.2 49.5 51.9 48.8 53.8 54.2 52.3 49.6 52. 1 50.1 51.8 1895-1899 (average)............................................ 1900-1904 (average)............................................ 1905 . ' .......................................................... 19Ö6 ......................................................... 1907 ....................................................... 1908 ............................................................. ......................................................... 1909 .................................................................. 1910 191 i ......................................................... 1912........................................................................ 1913 ................................................................... Average Average num ber days of of days of duration of a case of sickness per sickness m em ber (exclusive (inclusive of con of con finements). finements). 16.4 17.1 17.3 17.3 17.3 17.1 16.6 16.9 16.3 16.7 16.9 17.4 8.56 9. 28 9.02 7.91 8.10 7.98 7. 60 7.28 7.03 6.58 6.42 6. 35 N um ber of deaths p e r 1,000 m em bers. 7.98 8.69 9,11 9.49 8.97 9.64 9.46 9. 28 8.82 9.13 8.90 9.45 10.0 9.4 9.2 9.5 8,4 8.9 8.8 8.3 8.0 8.3 8.2 8.1 T able 4.—R A T E S O F SIC K N ESS, A V E R A G E D U R A T IO N O F SIC K N ESS, AN D D E A T H R A T E S , IN SICK F U N D S , B Y CLA SSES, 1912 AN D 1913. Cases of sickness Cases of childbirth p e r 100 m em bers p e r 100 (exclusive female of con m em bers. finements). Class of fu n d a n d year. D istric t funds: 1912................................................................. 1913................................................................. E stablishm en t funds: 1912................................................................. 1913................................................................. B uilding funds; 1912................................................................. 1913................................................................. G uild funds: 1912................................................................. 1913................................................................. A ssociation funds: 1912................................................................. 1913................................................................. Average Average num ber days of of days of duration of a case of sickness per sickness m em ber (exclusive (inclusive of con of con finements). finements). N um ber of deaths p e r 1,000 m em bers. 48.7 51.2 6.87 7.05 15.9 16.4 8.15 S. 82 7.7 7.7 67.2 66.9 8.35 8.10 17.1 17.9 12.10 12. 53 7.9 7.6 38.8 36.3 .45 .86 14.6 14.3 5.67 5.20 4.7 G. 7 35.5 37.2 3.46 3. 26 18.0 18.0 6.59 6.93 6.9 6.0 46.8 48.1 6.03 5.71 18.4 18.6 9.09 9.39 11.0 10.8 T able 5.—R E C E IP T S A N D E X P E N D IT U R E S O F T H E SIC K F U N D S , 1890 TO 1913. Year. 1890 1895.............. 1900.............. 1905.............. 1910.............. 1911.............. 1912.............. 1913.............. C ontri butions. All other. Total. $4,664,940 6,677,482 8,973,412 11,447,576 16,259,219 17,454,842 18,634,415 17,496,796 1353,017 445,382 609,609 799,008 1,233,805 1,193,438 1,343,019 1,342,361 $5,017,957 7,122,864 9,583,021 12,246,584 17,493,024 18,648,280 19,977,435 18,839,157 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Surplus. E x p enditures. Receipts. Insurance A dm in benefits. istration. $4,099,382 5,784,485 8,129,338 10,368,022 13,894,359 15,439,899 16,229,564 15, 787,706 [671] All other. Total. P er cent of A m ount. con trib u tions. $364,588 $140,273 $4,604,243 $413,714 553,581 516,838 267,960 6,569,283 326,221 727,349 400,113 9,256,800 410,060 976,836 491,666 11,836,524 1,525,753 764,128 16,184,240 1,308,785 916,201 1,670,154 622,025 17,732,079 1,812,297 917,704 18,959,565 1,017,870 623,697 1,655,951 771,802 18,215,460 8.9 8.3 3.6 3.6 8.0 5.2 5.5 3.6 ____ 128 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS, T able 6 .—A V E R A G E R E C E IP T S A N D E X P E N D IT U R E S P E R M E M B E R O F SICK FU N D S* 1890 TO 1913. Receipts per m em ber. E xpenditures per member. C ontributions of— Year. Em M em bers. ployers. 1890................................ 1895................................ 1900................................ 1905................................ 1910.............................. 1911................................ 1912............................. 1913................................ $2 . 1 0 2.26 2.48 2. 76 3.16 3.24 3.30 3.46 $0.91 .97 1 .1 1 1.27 1.52 1.60 1.67 1.71 All other receipts. Total. $0.23 Insurance A dm in All other benefits. istration. expenses. $3.24 3.45 3.83 4.31 5.04 5.17 5.41 5.57 .2 2 .24 .28 .36 ’.33 .44 .40 $2.65 2.80 3.25 3.65 4.01 4.29 4.39 4.67 $0.23 .25 .29 .34 .44 .46 .49 .49 $0.09 Total. $2.97 12 .16 .17 .2 2 .17 .25 .23 3.70 4.16 4.67 4.92 5.13 5.38 T a ble 7. —E X P E N D IT U R E S F O R IN S U R A N C E B E N E F IT S B Y SICK F U N D S , 1890 TO 1913. Year. 1890............................................ 1895............................................... 1900.......................................... 1905................................................. 1910................................................. 1911...................................... 1912............................................ 1913............................................... T able 8 $2,494,464 3,450,594 4,833,430 6,097,714 7,855,705 8,596,053 8,858,921 8,679,047 $730,800 1,044,638 1,443,127 1,852,781 2,791.964 3,098; 329 3,361,596 3,278,223 $558,047 748,258 1,088,892 1,370,250 1,778,055 2,013,874 2,119,484 2,000,652 Funeral benefits. <Ì1 Q “ $180,467 357,077 Affci 183,918 9$i 9 5 7 327,324 397,513 411,496 379,153 310 1 ,14R311 1,334,131 1,478,067 1,450,631 Total. $4,099,382 5,784,485 8,129,338 13,894,359 15,439,899 16,229,564 15,797,796 .—A V E R A G E E X P E N D IT U R E S P E R M E M B E R F O R IN S U R A N C E B E N E F IT S B Y SICK F U N D S , 1890 TO 1913. Year. 1890.. 1895.. 1900.. 1905.. 1910.. 1911.. 1912.. 1913.. Pecuniary Cost of Cost of Cost of sick m edical medicines, hospital benefits. attendance. etc. treatm ent. .. .. .. .. .. .. .: .. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Pecuni a ry sick benefit. Cost of Cost of Cost of hospital medical m edi a tte n d tre a t ance. cines, etc. m ent. $1.61 1.67 1.93 2.15 2.27 2.39 2.40 2.57 [672] $0.47 .51 .58 .65 .81 .8 6 .91 .97 $0.36 .36 .44 .48 .51 . 56 .57 .59 $0 . 1 2 .17 .2 1 .27 .33 .37 .40 .43 Funeral benefits. $0.09 .09 .09 .1 0 .09 .1 1 .1 1 .1 1 Total. $2.65 2.80 3.25 3.65 4.01 4.29 4.39 4.67 129 MONTHLY REVIEW OF 1HE BUREAU OF LABOR STATISTICS. T able 9.—A V E R A G E COST O F B E N E F IT S P E R CA SE O F S IC K N E S S, P E R D A Y SIC K N ESS, AN D P E R D E A T H IN SICK F U N D S , B Y C LA SSES, 1890, 1912, AN D 1913. OF A verage cost per d ay of sickness. Average cost of a case of sickness. Class of fund a n d year. D istrict funds: 1890............................................... 1 9 i2 ............................................... 1913............................. ................. Medical a tte n d ance. $4.48 7.56 7.68 $0.18 .25 .25 $0.07 $0. 04 .06 4.82 7.83 8.06 .18 .25 .25 .06 .09 .09 .05 .08 .08 6.69 10.47 7.17 .17 .27 .22 .12 .08 .23 .05 .09 .08 6.63 10.80 10.98 .24 .32 .06 .05 .07 .33 .13 .06 5.41 9.16 9.52 .24 .29 .31 .10 .10 .06 .06 .04 .04 4.97 8.30 .2 0 .06 .04 .0 2 .27 .27 .1 0 .07 .06 .04 .04 E stab lish m en t funds: 1890............................................... 1912 ............................................. 1913............................................... B uilding funds: 1890............................................... 19I 2............................................... 1913................................. ............. Guild funds: 1890............................................... 19Î2............................................. . 1913............................................... Medi cines, etc. Pecuni a ry sick benefits. Association funds: 1890 ............................................. 1 9Î2............................................... 1913............................................... .10 .11 .12 .04 A ll sick funds: 1890 ............................................ 1912.............................................. 1913............................................... 8.54 H ospital tre a t m ent. $0.02 .05 .05 $0.31 .46 .46 $6.11 10.52 10.51 .30 .45 .45 20.24 20.09 .13 .08 .41 .72 .50 10.04 8.61 8.13 .03 .08 .08 .38 .59 .60 10.93 13.91 14.74 .32 .49 .51 10.38 12.77 .01 .02 .03 .11 .01 .03 .10 Total. Average cost per death. .32 .48 .48 8.22 13.07 8.51 13.58 13.85 T a b l e 10.— A V E R A G E A N N U A L C O N T R IB U T IO N A N D A V E R A G E COST O F B E N E F IT S P E R M E M B E R O F SICK F U N D S , B Y C LA SSES, 1911, 1912, A N D 1913. Average an n u al contrib u tio n p er m em ber. Average cost of benefits p er mem ber. Class of fund. ' D istrict fu n d s ........................... E stablish m en t fu n d s .............. Guild fu n d s ............................... Association fu n d s .................... All sick fu n d s ........................... Excess per m em ber of benefits over contri bution. 1911 1912 1913 1911 1912 1913 1911 1912 $ 2.96 $ 3.12 $3.17 $3.75 $ 3.87 $0.75 5/58 4.01 4 . 59 4.39 $ 4.13 0 . 70 $ 0.79 5.46 3.96 4.48 4.28 3.48 2.94 3.96 3.24 3.62 3.00 4.06 3.30 3.71 3.06 4.14 3.46 4.27 4.89 4.67 1.99 1.02 .53 1.04 1.96 1.01 .52 1.10 1913 $0.96 1.99 1.21 .75 1.20 IN D U S T R IA L P E N S IO N S . The tenth annual report of the president and treasurer of the Carnegie Foundation for the Advancement of Teaching1 contains a section on pensions in which is included a chapter and tabular statement on industrial and institutional pensions. In the text the development of industrial pensions is briefly outlined, with a sum mary of the plans adopted by several of the large business houses, railroad and street railway companies, and manufacturing plants in the country. With few exceptions the burden of the pension is borne by the employers, and where the employees are required to 1 T h e C a rn e g ie F o u n d a tio n f o r th e A d v a n c e m e n t o f T e a c h in g , 5 7 6 F i f t h A v e n u e, N ew Y o rk C ity . T e n th a n n u a l r e p o r t o f th e p r e s id e n t a n d tr e a s u r e r , O c to b er, 1 915. I n d u s tr ia l P e n s io n s , p p. 6 8 -8 5 . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [673] 130 MONTHLY REVIEW OF TI-IE BUREAU OF LABOR STATISTICS. contribute, the amount assessed ranges from 2 per cent to 3 per cent of the salary up to $5,000. Although the types of pensions here considered are based on the noncontribu tory principle, their development is of some significance for general pension theory, if only from two points of view. The amount of the pensions granted, i f the instances become sufficiently numerous, will serve to establish some nor mal or standard ratio between pensions and final wages or salary. The second point, allowing for differences in occupational risks, is that a normal age of retirement may become recognized. At present, however, it must be admitted that the age of retirement is fixed somewhat arbitrarily. But there is every prospect that in the course of a number of years there will be a sufficient accumulation of experience in industrial pension development to warrant bet ter and more accurate adjustments. These can be the more readily made in this field because the employers in each case reserve to themselves the right to make such changes in the plans as experience demands. Thus it is stated that the United States Steel and Carnegie pen sion fund has availed itself of this provision to revise its pension system. For example, at the end of four years, after an experience with 2,000 pensioners, it has found that the average age of retire ment was 65.56 years, while the regulations permitted retirement at 60; and that the retirement took place on an average after 30 years of service instead of 25 years permitted by the regulations. Hence, the age of retirement has been raised from 60 to 65, and the length of service from 25 to 30 years. Continuity of service has been en couraged by the adoption of a regulation providing that such con tinuity of service will not be considered to have been broken in the case of absence within the following limitations: Six months in the case of leave of absence or suspension, one year in the event of a lay off or reduction of force, and two years in the case of illness or injury. The tabular statement indicates the lack of uniformity in the pen sion plans that have been adopted. Fifty-eight corporations are listed, 17 of which are railroad or street railway companies, 9 are banks, and 1 an insurance company. The earliest in point of estab lishment of those described in the report is the pension system of the American Express Co., inaugurated in 1875. About half (26, or 44.8 per cent) of the plans were started in 1913, 1914, and 1915. Besides the names of the companies and the date of the estab lishment of the systems, the table shows in each case the method of administration; those included in the benefits; source of funds; retiring allowances, with amount, years of service necessary to merit pension, and age at retirement; disability allowances; refunds; and benefits for dependents. Perhaps the greatest lack of uniformity appears in the amount or method of determining the amount of retiring allowance. Several concerns, however, have adopted the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [671] m o nthly review of ti-i e bureau of labor statistics . 131 policy of paying 1 per cent of the average or highest annual salary during the last 10 years of service for each year of service, with stated minimum and maximum amounts. C A SU A L L A B O R A T T H E D O C K S IN G REAT B R IT A IN . “ There is casual labor in a great many trades,” remarks the author of a recent volume on casual labor at the docks of London,1 “ but in few is it so pervasive and nowhere are the consequences writ so large as in the shipping industry.” This condition has prevailed at the London docks in an acute form since the shipping industry as sumed considerable proportions, and in the opinion of the author it will continue and grow even more acute unless remedial measures are adopted before the influx of labor after the war. The reasons for this irregularity of employment appear to be the uncertainty attend ing the coming and going of ships, financial considerations which make it impracticable in large investments for capital to be idle, and “ the lack of imagination which, failing to see connections and to trace consequences, does not trouble to seek remedies.” It is the purpose of the little volume under review, which forms one of the publications of the Latan Tata Foundation of the Univer sity of London for the study of methods of preventing and relieving poverty and destitution, to analyze the cause and extent of irregu larity of employment of clock labor, and to suggest remedies for the abatement of existing evils. The sources of dock labor and methods of engaging men are described, irregular earnings and their conse quences are analyzed, attempts at reform are noted, and suggestions for organizing the hiring and discharging of this class of labor are submitted. As explaining why the occupation is badly overstocked and “ ob viously precarious,” it is stated that those recruited for dock labor seem largely to be men who have been previously employed but who are victims of industrial misfortune, of bankruptcy, of the death of an industry, or of a season of exceptional depression, while some are boys from “ blind-alley ” occupations and some are ex-army men. “ The crowd of men competing for work morning after morning is the detritus of the industrial world.” Since recommendations of character are not usually asked or given, it is easy for anyone to enter the occupation; and personal favoritism with the foreman, by whom men are hired, brings a large number. Sailors who have tired of the sea, being familiar with ships and cargoes, and proverbially handy, are considered good dockers. Large numbers are employed 1 C a s u a l L a b o r a t th e D ocks, by II. A. M ess. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [675] G. B ell & S o n s, L o n d o n , 1916. 117 pp. 132 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. as a result of trade depression, for “ room must be found for the ejected of other trades in the occupation which of all occupations has the biggest permanent surplus.” This influence also affects the dock laborer in that he suffers the direct consequence of a reduced volume of shipping. Moreover, there appears to be a “ positive lure ” which brings many recruits, finding expression in the high hourly rate for dock labor and the fact that, as looked upon by a certain class of men, a day off now and then is possible, giving them what they con sider a free life. Thus, in both good and bad times men are at tracted to the London docks in such numbers that an average daily surplus of at least 10,000 is said to exist. The method of engaging dock labor seems to be somewhat hap hazard and unorganized. Men are taken on at several “ calls ” dur ing the day—at 7 in the morning, at 7.45, at 8.45, and at 12.45 in the afternoon, with later calls at 5.45 and 10.45. They are hired from stands placed at intervals along the docks, and apparently without adequate intercommunication, an arrangement which seems to occasion loss of time in hiring men, results in the use of the saloon as the clearing house of information, and “ increases the surplus of labor necessary to meet fluctuations in demand.” The men bitterly complain about the scrambles which frequently occur when calls are made by the foremen; the intervals between early morning calls, it is stated, encourage loafing. By this method of employment the foremen are given excessive power, and suggestions of bribery are reported to nearly every investigator of casual labor. The author describes in some detail the corrupting methods of many foremen. There appears to be considerable difficulty in obtaining precise information as to the earnings of dock laborers, due to the fact that they are paid at the end of each day, that the amount varies from man to man, and that the pay of each man fluctuates from time to time. However, the record of earnings of a single docker during a 17-year period (1896 to 1912) was secured by the author, who is impressed by the “ absolute incalculable nature of the fluctuation.” The highest earnings of this docker were in 1897, when his income was £114 7s. 4|d. ($556.58), while his lowest earnings were in 1905, and amounted to £67 Is. 8d. ($326.46). Even greater irregularity is shown in the daily earnings of a dock laborer. “A surprising number of men at the docks do not earn, on an average, 10 shillings [$2.43] a week, and there are many who are fortunate if they get as much as a day a week.” The effect of these low and irregular earnings, in the opinion of the author, is to produce a class of unemploj^ables constantly in need of assistance. It creates a tendency also to produce bad hous ing, which “ is at once an effect of the miserable conditions of his https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [676] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 133 occupation and a potent destroyer of the energy which might lift him out of them.” These conditions have apparently not been im proved by the dockers’ union which was organized as a result of the strike of 1889, because the union seems to have been ineffective in meeting the problem of casual engagement. It has succeeded in raising wages occasionally, but these increases in the rate of pay have served to increase the competition for work. It is noted, how ever, that an attempt to regularize employment was made in 1891 by the London & India Docks Co., which, at the suggestion of Mr. Charles Booth, initiated the “ list ” system, embracing the register ing of men as “A,” permanent men; “ B,” preference men; and “ C,” second preference men, who should be engaged in the order named. The system “ tended therefore steadily to increase the proportion of men in regular employment, and it paved the way for the creation of a permanent staff.” Another method, the so-called tally system, has been tried in Liverpool. In July, 1912, every longshoreman in Liverpool was registered and given a tally, and it was agreed that for the future no one should be employed without a tally. A joint committee, on which employers and employees were equally represented, was in trusted with the duty of issuing fresh tallies and also of erecting surplus stands at certain intervals along the docks, at which men were to be taken on after the regular morning call (one in Liverpool as against three in London). A further reform was instituted securing the payment of wages through the general clearing-house firms and making it unnecessary for the employee to travel from one firm to another in collecting his weekly wages. Although these reforms, the author notes, are aimed at concen trating the work in a smaller number of hands with the intention of stopping the influx of newcomers until those already there are getting a reasonable amount of work, yet they have not realized all the hopes of their promoters. Much of the failure has been due to the attitude of the longshoremen themselves, who are responsible for the need of a large surplus of labor, since “ very many dockers are content if they can earn 15 shillings [$3.65] a week, and will not take more work if it is offered them.” Additional measures of reform suggested by the author aim either to decrease the sources of supply of dock labor or to regu larize the demand. They rest upon the principle “ that the burden of finding the balance of a living ought to be transferred from the docker to his employers. If the shipping industry must have men in waiting, then it should pay those men for being in waiting. But as a matter of fact, if employers had to pay for their men’s time whether they were actually at work or only in reserve, they would https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [677] 134 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. soon find methods of organization which would prevent any consid erable wastage of labor. ' Among other reforms the author suggests making the Liverpool tally scheme compulsory instead of voluntary, thus removing its weak feature; compelling the union to permit dockers to engage in every kind of work necessary at the docks, and thereby preventing too great specialization; dovetailing the seasonal fluctuations in the shipping trade with those in other trades through the system of the labor exchanges; and hiring of extra men through a central body or joint committee of employers and employees or by draft on the labor exchanges for those men whose names appear on their books as seeking employment. For “ these men would be casual, but they would not be a casualizing influence.” T H E A M E R IC A N L A B O R Y E A R B O O K , 1916. The volume which has recently appeared under the above title 1 “ represents the first attempt in this country,” declares Morris Hillquit in the introduction, “ to establish a reliable annual chronicle of the aims, struggles, and achievements of labor throughout the world.” Those parts of the book more particularly devoted to international movements are entitled “ The international Socialist and labor movements ” and “ Government and politics.” The other four parts of the volume are headed: “ The labor movement in the United States,” “ Labor and the law,” “ The Socialist movement in the United States,” and “ Social and economic conditions.” The two latter topics comprise 140 pages of the total of 382; 93 pages are given to “ The international Socialist and labor movements,” 50 pages to “ Government and politics,” and 47 to “ The labor move ment in the United States.” Attention is called to some of the special articles: “ The American labor movement,” by Frank MacDonald; “ Teachers’ unions,” by Benjamin Glassberg; “ The Jewish labor movement in the United States,” by J. B. Salutsky; “ The National Women’s Trade Union League of America,” by Alice H enry; “ The Workers’ International Industrial Union,” by H. Richter; “ The labor secretariat,” by S. John Block; “ Strikes,” by Chester M. W right; “ The ‘ protocol^ ’ in the needle industry,” by Morris Hillquit; “ Minimum-wage legisla tion.” by Florence Kelley; “ Factory inspection,” by George M. Price; “ Court decisions in 1915,” “ The Kansas labor statute case and the supreme court,” “Academic freedom,” “ The trend toward 1 T h e A m e ric a n L a b o r Y earb o o k , 19 1 6 . P r e p a r e d by th e D e p a r tm e n t of L a b o r R e s e a rc h of th e R-and School o f S o c ia l S cien ce. P u b lis h e d by th e R a n d School of S o c ia l Science N ew Y ork C ity [ 1 9 1 6 ] . 982 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis f678I MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 135 public ownership,” “ Boycott, blacklist, and injunction,” and “ The Intercollegiate Socialist Society,” by Harry AY. Laidler; “ Report of the work in Congress of Meyer London, Representative of the twelfth New York district,” by Laurence Todd; “ Work in the Illinois Legislature,” i. e., Socialist accomplishments, by Christian M. Madsen; “ The work of the Socialist in the New York Assembly,” by A. I. Shiplacoff; “ Socialist legislation in Pennsylvania,” by James II. Maurer; “ The Milwaukee municipal administration,” by Emil Seidel; “ Accomplishments of the Milwaukee administration ” and “ Facts of public ownership,” by Carl D. Thompson; accounts of the foreign language federations affiliated with the Socialist Party, by the different translator-secretaries; “ Woman and child labor ” and “ Infant mortality,” by Helen L. Sumner; “ Earnings, standard of living, and property income in the United States,” by Scott Nearing; “ Social insurance” and “ Workmen’s compensation (progress during 1915),” by I. M. Rubinow; “ Industrial accidents in United States,” from statement of Royal Meeker, Commissioner United States Bureau of Labor Statistics; “ Scientific management and labor,” by John P. Frey; “ Cooperation in the United States,” by C. AY. Perky; “ Compulsory education laws ” and “ Arocational edu cation,” by Benjamin C. Gruenberg; “ The health of school children,” by Edward F. Brown; “ Federal aid for the common schools” and “ Graduated income and inheritance taxation,” by AYilliam English AAralling; “ Democratizing the schools,” by Randolph S. Bourne; “ Community centers in the United States,” by John Collier; “ Public ownership of public utilities ” and “ Economic imperialism,” by Frederic C. Howe; “ Labor and the Democrats,” by AYilliam L. Stod dard; “ The United States Government,” by Max S. Schonberg; “ The commission form of government,” by Felix Grendon; “ Pro portional representation,” by Clarence G. Hoag; “ Public employ ment offices,” by William M. Leiserson; “ Naturalization,” by I. M. Sackin; and “ Meaning of the conservation movement,” by Gifford Pinchot. Following each article, with few exceptions, there is a brief list of references. SIN G L E T A X IN T H E C A L IF O R N IA C O N S T IT U T IO N . An initiative petition has been perfected providing for the sub mission to vote at the approaching election of a proposition to incor porate an amendment in the constitution of the State of California which will establish the single tax in that State. The amendment presents an aspect of special interest to labor, in that it makes excep- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6 7 9 ] 136 MONTHLY REVIEW OF THE BLTREALT OF LABOR STATISTICS. tions from the restriction to the single-tax system by allowing in comes and inheritances to be assessed to provide funds for old-age pensions, mothers’ endowments, and workingmen’s insurance cover ing unemployment and injuries. The number of validated signatures (o'*er 88,000) was considerably in excess of the number required by law, while the total number (137,000) was nearly double the legal requirements. The proposed amendment follows: Article X III of the constitution is hereby amended to take effect January 1, 1917, by the following section: The people of the State of California do enact as follow s: Public revenues, State, county, municipal, and district, shall be raised by taxation of land values, exclusive, of improvements, and no tax or charge for revenue shall be imposed on any labor product, occupation, business, or person; but this shall not prevent the assessment of incomes and inheritances to provide funds for old-age pensions, mothers’ endowments, and workingmen’s disemploy ment and disability insurance. Landholdings shall be equally assessed, according to their value for use or occupanee without regard to any work of man thereon; this value shall be de termined in municipalities, and wherever else practicable, by the “ Somers system, ’ or other means of exact computation from central locations. 1 he intent of this provision is to take for public use the rental and site values of land and to reduce landholding to those only who live on or make pro ductive use of it. Conflicting provisions are hereby repealed. M A N U F A C T U R E S IN T H E U N IT E D S T A T E S , 1914. A preliminary statement of the general result of the census of man ufactures of the United States has recently been issued by the Bu reau of the Census, Department of Commerce. Although there have been increases in the various items reported in 1914 as compared with 1909, it should nevertheless be noted that December, 1914, for which the data are shown, was a time of depression, which may account for some of the unusual developments noted. The census of 1914, like that of 1909 with reference to manufactures, excluded the hand trades, the building trades, and the neighborhood industries, and took account only of establishments conducted under the factory system. In the last census also, as in that for 1909, statistics were not collected for establishments : having products for the census year valued at less than .$500, except that reports were taken for establishments idle during a portion of the census year, or which i began operation during that year, and whose products for such reason were 1 valued at less than $500. The v ord “ establishment,” as used in the census reports, may mean more than one mill or plant, provided they are owned or controlled and operated by a single individual, partnership, corporation, or other owner or operator, and are located in the same town or city. The reports were taken for the calendar year ending December 31, 1914, wherever the system of bookkeeping permitted figures for that period to be secured, but when the fiscal year of an establishment differed from the calendar year a report was obtained for the operations of that establishment for its fiscal year falling most largely within the calendar year 1914. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [680] M O N T H LY REVIEW OF THE BUREAU OF LABOR STATISTICS. 137 PERCENTAGES OF INCREASE. The population of the United States at the census of 1910 was 91,972,266, and it is estimated that it was 98,781,000 on July 1, 1914. The summary shows increases at the census of 1914, as compared with that for 1909, for all items except proprietors and firm members, for which a slight decrease is shown. In the order of their importance, from a percentage standpoint, the increases for the several items rank as follows : Salaries, 37.2 per cent ; capital, 23.7 per cent ; salaried employees, 22 per cent ; primary horsepower, 20.7 per cent ; wages, 19 per cent ; materials, 18.3 per cent ; value of products, 17.3 per cent ; value added by manufacture, 15.8 per cent; wage earners, 6.4 per cent; and number of establishments, 2.7 per cent. A comparative summary for the United States for 1904, 1909, and 1914 follows: SUMMARY OF THE CENSUS OF MANUFACTURES, 1904, 1909, AND 1914. Per cent of increase in 1914 over— Census— Item . 1904 N um ber of e sta b lish m e n ts... Persons engaged in m anufactures: Proprietors and firm m em bers......................... Salaried em ployees.......... Wage earners (average num ber em ployed during th e y e a r)................. T o tal............................ Prim ary horsepower............... C apital'....................................... Services: Salaries................................ W ages.................................. 1909 1914 1904 1909 216,180 268,491 275, 793 27.6 2.7 226.673 519,556 273,265 790,267 264,872 964,217 17.4 85.6 13.1 5,468,383 6,615,046 7,036,337 28.7 6.4 6,213,612 7,678,578 8,265,426 33.0 7.6 13,487,707 $12,675,580,874 18,675,376 $18,428,270,000 22,537,129 $22, 790,880,000 67.1 79.8 20.7 23.7 $574,439,322 $2,610,444,953 $938,575, 000 $3,427,038,000 $1,287,917,000 $4.079,332,000 124.2 56.3 37.2 19.0 2 2 .0 T o tal............................ $3,184,884,275 $f, 365,613,000 $5,367,249,000 68.5 22.9 M aterials.................................... Value of p ro d u cts.................... Value added by m anufacture (value of products less cost of m aterials)........................... $8,500,207,810 $14,793,902,563 $12,142,791,000 $20,672,052,000 $14,368,089,000 $24,246,323,000 69.0 63.9 18.3 17.3 $6.293,694, 753 $8,529,261,000 $9,87S, 234,000 57.0 15.8 i Decrease. As to the regularity of employment of wage earners reported by the census of manufactures, it is noted that in 1914 the largest num ber (7,242,752) was employed in March, and the lowest number (6,640,284) in December, the month of the census; while in 1909 the largest number was employed in November, and in 1904 in October. The following table shows the number of wage earners engaged in each of the months at the time of the census of 1904, 1909, and 1914, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [681] 138 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. and the per cent of the maximum employed in each month at the same periods: W A G E E A R N E R S A T T H E C EN SU S O F M A N U F A C T U R E S, 1914, C L A S S IF IE D B Y M O N T H S, Wage earners in m anufacturing industries. M onth. N um ber. Jan u a ry .............................. F e b ru a ry ........................... M arch.................................. A pril.................................... F lay..................................... J m ie .................................... J u ly ..................................... A u g u st................................ S eptem b er......................... O ctober.............................. N o v em b er....................... D ecem ber........................... Per cent of m axim um . 1904 1909 1914 5.262. 472 5,330,471 5,450, 736 5,493,343 5,512,373 5.463.804 5,323,966 5,420.618 5,608,412 5,676.920 5,587,028 5.490,453 6,210.063 6,297,627 6,423,517 6,437,633 6,457,279 6.517,469 6,486,676 6,656,933 6,898. 765 6,997.090 7,006,853 6,990,652 7,075,682 7,141,594 7,242, 752 7,217,320 7,148,650 7,100,368 7,018,867 7,020,682 7,086, 801 7,006,342 6,736,699 6,640,284 1904 92.7 93.9 96.0 96.8 97.1 96.2 93.8 95.5 98.8 1 0 0 .0 98.4 96.7 1909 1914 97.7 98.6 8 8 .6 89.9 91.7 91.9 92.2 93.0 92.6 95.0 98.5 99.9 1 0 0 .0 99.6 98.7 98.0 96.9 96.9 97 8 96 7 93.0 91.7 1 0 0 .0 99.8 IMMIGRATION IN AUGUST, 1916. The number of immigrant aliens admitted into the United States during the first nine months of 191G has been in excess of the number admitted during the corresponding months of 1915. There has also been an increase from month to month during the first five months of 1916. Compared with the preceding month, June shows a de crease of 0.8 per cent, July of 18.6 per cent, August an increase of 19.7 per cent over July, and September of 21.1 per cent over August. These facts are brought out in the statement following. IM M IG R A N T A L IE N S A D M IT T E D IN T O T H E U N IT E D ST A T E S IN S P E C IF IE D M ON TH S, 1913, 1914, 1915, AN D 1916. 1916 M onth. 1913 1914 1915 N um ber. J a n u a ry ................................... F e b ru a ry ................................................... M arch..................................................... A p ril................................................. M ay................................................... J u n e ...................................................... J u ly .............................................................. A u g u st................................................. S eptem b er...................................................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 46,441 59,156 96,958 136,371 137,202 176,261 138,244 126,180 136,247 1 D ecrease. [682] 44, 708 46,873 92,621 107,796 71,728 60,377 37,706 29,143 19,263 24,532 22,598 21,504 21,949 24,513 17,293 24, 740 27,586 30,560 P er cent increase over p re ceding m onth. 8.5 43.1 11.5 1 0 .8 15.1 1 .8 29,975 36,398 i 18.6 19.7 21.4 139 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. Classified by races, the number of immigrant aliens admitted into and emigrant aliens departing from the United States during August, 1915 and 1916, was as follows: IM M IG R A N T A L IE N S A D M IT T E D A N D E M IG R A N T A L IE N S D E P A R T E D U N IT E D ST A T E S , A U G U ST, 1915 A N D 1910. A dm itted. Race. 1915. A frican (b lack ).......................................................................... A rm e n ia n .................................................................................. B ohem ian a n d M oravian........................................................ B ulgarian. Servian M ontenegrin.......................... .............. Chinese . .......................................................... C roatian and Slovenian ............................................... C u b an .......... ........................................................... ■Dalmatian Unsnian Tle.py.e.govinian D utch a n d F le m ish .................................................................. E a s t Indian . ................................ ............... ............................................... E n g lish __ . F in n ish ................... ........................................................... F rench . ........................................... G erm an . . . . .......................................................... G reek............... .............................................................. H ebrew ........................................................................................ Irish . . .......................................................... Italian (north) ................................................... Ita lia n (so u th )............................................................................ Japanese. .. ....................................................... K orean ................................................. L ith u a n ia n .................................................................................. M agyar................................................................................... ..... M exican....................................................................................... Polish Portuguese ............................................................................ ■Roumanian ............................ .................. [R ussian....................................................................................... U nth on ian (U.rjssnialr) ................................................... Scandinavian ............................................................................ ......................................................................... Scotch . . S lo v a k ........................................................................................ S panish.. ............................................................ ............. Spanish-A m erican..................................................................... S y rian ........................................................................................... T u r k is h ....................................................................................... W elsh ....................................................................................... W est Indian (except C uban)................................................. O ther peoples............................................................................. "Mot- speeifi ed ...................................................................... Total ............................................................................ D eparted. A ugust, A ugust, 1916. 327 72 301 216 84 493 17 568 6 362 1,050 931 2,180 1,425 1,701 346 1,316 899 13 65 88 1,098 357 522 63 382 201 1,652 1,069 22 505 70 11 71 78 919 21,949 FR O M T H E 606 202 25 110 115 39 488 8 741 13 3,042 452 1,874 912 4,767 1,344 1,502 297 3,964 366 2 38 47 2,222 445 1,084 66 315 197 2,058 1,176 13 208 105 39 A ugust, 29,975 1916. 139 45 8 86 197 4 162 109 39 2 10 192 98 13 963 53 289 112 820 32 218 472 21,636 90 96 2 607 47 256 53 599 . 37 218 144 849 1,732 44 5 13 35 45 86 406 25 727 381 290 6 399 55 18 9 16 55 66 94 138 A ugust, 1915. 2 9 58 32 129 8 576 l 3Si 95 5 201 53 12 2 20 37 78 1,207 127 902 29,293 7,686 SEX OF IMMIGRANTS, 1910 TO AUGUST, 1916. In order to ascertain whether the period of the war has had any appreciable effect upon the sex distribution of immigrants entering the United States or departing, the following table has been com piled : https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [683] 140 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. IM M IG R A N T A L IE N S A D M IT T E D IN T O A N D E M IG R A N T A L IE N S D E P A R T IN G FR O M T H E U N IT E D ST A T E S , B Y S E X , 1910 TO 1916. Im m ig ran t aliens a d m itted . N um ber. Y ear or m onth. Male. 1910....................... 1911....................... 1912....................... 1913....................... 1911....................... 1915....................... 1916: J a n u a ry ........ F e b ru a ry .. . M arch........... A p ril............. M ay.............. Ju n o ............. J u ly ............... A u g u st......... 748,056 488,230 674, 555 935,970 439,549 153,428 10,879 15, 719 18,064 19,699 19,058 17,846 13, 777 17,392 Fem ale. Per cent. Total. 323,829 1,071, 885 294,315 782,545 351.805 1.026,360 451,348 1,387,318 248,946 6 8 8 ,495 105,250 258,678 6,414 9,021 9,522 10,861 11,963 12,918 11,258 12,583 E m igrant aliens departing. 17,293 24, 740 27,586 30,560 31,021 30, 764 25,035 29,975 N um ber. Fe Male. male. Male. 69.8 62.4 65.7 67.5 63.8 59.3 30.2 37.6 34.3 32.5 36.2 40.7 206,279 290,875 244, 000 219, 064 239,110 134,605 62.9 63.5 65.5 64.5 61.4 58.0 55. 0 58.0 37.1 36.5 34.5 35.5 38.6 42.0 45.0 42.0 4,674 2,859 2,379 2,832 3,439 4,068 3,446 5,570 Per cent. Total. Male. Fe male. 54,160 61,548 55,385 55,145 54,525 26,036 260,439 352,423 299,385 274,209 293,635 160,641 79.2 82.5 81.5 79.9 81.4 83.8 1,241 1,176 1,106 1,250 1,794 2,293 1,983 2,116 5,915 4,035 3,485 4,082 5,233 6,361 5,429 7,686 79.0 70.9 68.3 69.4 65.7 61.0 63.5 72.5 Fem ale. 2 0 .8 17.5 18.5 2 0 .1 18.6 16.2 2 1 .0 29.1 31.7 30.6 34.3 36.0 36.5 27.5 OFFICIAL PUBLICATIONS RELATING TO LABOR. U N IT E D STA TE S. State Mine Inspectors. Report of the S tate mine inspectors for the biennial period ending December 31, 1915. Des Moines, 1916. 112 pp. This report covers the period of the last half of the calendar year 1914 and of the full calendar year 1915. During the calendar year 1915 the State pro duced a total of 7,530,088 tons of coal, in the mining of which there were em ployed on an average 16,369 men. There were in operation 252 mines. During the year there were reported 34 fatal and 245 nonfatal accidents, or an average of 1 fatal accident for each 221,473 tons of coal mined, and 1 nonfatal accident for each 30,735 tons of coal. The fatality rate per 1,000 employed was 2.07 in 1915, 2.1 in 1914, 1.5 in 1913, and 1.8 in 1912. I o w a .— Bureau of Labor. Seventh biennial report, 1914 and 1915. F rank fort, 1916. 100. Illustrated. Contains the text of the act providing for labor inspectors, the working women’s law, the 10-hour law, and the child-labor law as rewritten in March, 1914; notes 33 prosecutions under the child-labor law, 27 of which were dis missed; and gives the experience of certain companies in providing for the welfare of their employees. K e n t u c k y .— S tate Industrial Accident Commission. W orkm en’s compensation laic of the State of M aryland (as amended by the acts of the General Assernbly of M aryland of 1916). Baltimore [1916). 55 pp. Text of the law with footnotes to decisions on claims under the act; con tains an index. M a s s a c h u s e t t s .— Directors of the Port of Boston. The use and benefits to M assachusetts m anufacturers and mage earners of an American merchant marine. Boston, 1915. l/f pp. (Bulletin No. 2.) ■ ----- Insurance Department. Sixty-first annual report of the insurance com missioner of the Commonwealth of Massachusetts, .January 1, 1916. P art 2: Life, miscellaneous, assessment, and fraternal insurance. Boston, 1916. Ixxxiii, 303, 368-a, ix pp. Among other matter, this volume contains two summary statistical tables of operations under the workmen’s compensation act by private and mutual comM a r y l a n d .— https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6841 MONTHLY EEVIEW OF THE BUEEAU OF LABOE STATISTICS. 141 panies, covering operations up to September 30, 1915. Net loss cost per $100 of pay roll is shown. The report also contains the insurance commissioner’s state ment made before the joint judicial committee of the Massachusetts Legisla ture May 1, 1916, relative to the proposed changes in rates under the compen sation act. Montana .— I n d u s t r i a l A c c i d e n t B o a r d . e n d in g J u n e 30, 1916. F i r s t a n rm a l r e p o r t f o r th e 12 m o n th s [ H e le n a , 1 916.] 2 9 4 PP- Covers first year of operations under the workmen’s compensation act, in effect July 1, 1915. N ew Y ork City .— B o a r d o f E s t i m a t e a n d A p p o r t i o n m e n t . R eport, on m a r k e t s y s te m fo r N e w Y o rk C ity an d on open m a r k e ts e sta b lish ed in M a n h a tta n , b y M a r c u s ill. M a r k s , p r e s i d e n t o f t h e B o r o u g h o f M a n h a t t a n , a n d c h a i r m a n c o m m itte e on m a rk e ts, B o a r d o f E s tim a te an d A p p o rtio n m e n t. [N ew Y o r k , 1916.] 121 pp. The committee on markets was appointed by the Board of Estimate and Ap portionment early in January, 1914. in order to develop a plan of market organi zation for the city with a view to reducing the cost of living. A large share of the report contains descriptive accounts of the markets in the larger cities of Great Britain, France, and Germany. N ew Y ork.— S t a t e E d u c a t i o n D e p a r t m e n t . d u s tr ia l ed u ca tio n . in civic tra in in g an d R e p r in te d fr o m th e E d u ca tio n . A lb a n y, B u lletin , S e p te m b e r D iv is io n of a g ric u ltu r a l a n d in C itizen sh ip sy lla b u s: A cou rse of s tu d y an d sy lla b u s n a t u r a l i z a t i o n f o r a d u l t i m m i g r a n t s in e v e n in g schools. tw e lf th a n n u al r e p o rt o f th e S ta te D e p a r tm e n t of 1916. 45 pp. ( U n iv e r s ity o f th e S ta te o f N e w Y o r k 1, 1 9 1 6 . ) ------------------ S a f e t y fir s t f o r v o c a tio n a l sc h ools, p r e p a r e d b y L e w i s A . W ilso n , s p e c ia lis t i n i n d u s t r i a l schools. A lb a n y , 1916. 89 pp. illu s. ( U n iversity of th e S t a t e o f N e w Y o r k B u lle tin , A u g u s t 15, 1916.) It is stated in the introduction that “ this bulletin has been prepared to help school boards and vocational teachers safeguard the vocational schools and to furnish suggestive material for safety-first courses in our day and evening vocational schools. * * * The material selected has been proved by the ‘ acid test ’ of experience to be practical and effective. * * * The day and evening vocational teachers can render a great service to the State by instructing the pupils enrolled in these schools in the general principles of safety. It is a cause worthy of the cooperation of every teacher interested in the humani tarian, economic, or social problems of the day. It is a problem so big and vital that only by the cooperation of all agencies—the schools, the home, the church, the employer, and the employee—will it be possible to reduce to a minimum the preventable loss that is expressed in terms of thousands killed, millions of men and women injured, and millions of dollars wasted annually.” ----- S t a t e I n d u s tr ia l C om m ission . R u l e 4 •' S p e c i f i c a t i o n s o f f i r e e s c a p e s a c c e p ted as re q u ired m e a n s of ex it. A lb a n y. [ 1 9 1 6 , 4 PP-] ( B u l l e t i n 13, I n d u s tr ia l C o d e .) Ohio .— I n d u s t r i a l C om m ission . D ep a rtm en t of w orkshops and factories. S ta n d a r d s f o r s a f e t y a n d s a n ita tio n re la tin g to fo u n d r ie s a n d th e e m p lo y m en t of tco m en in core room s. C olu m n s, 1916. 12 pp. U nited S tates.— B o a r d o f M e d i a t i o n a n d C o n c i l i a t i o n . A R a ilr o a d la b o r a rb itr a tio n s : R e p o r t o f th e U n ite d S ta te s B o a r d o f M e d ia tio n a n d C o n c ilia tio n on th e effe cts o f a r b itr a tio n p ro c e e d in g s u p o n r a te s o f p a y a n d w o r k in g co n d i tio n s of ra ilr o a d e m p lo yees. P r e p a r e d u n d e r th e d ire c tio n of th e b oard b y W . J ett Lauck. W a s h in g to n , 1916. 608 pp. ( 6 4 t h C on g., 1 s t se ss., S e n a t e D o c . N o . 4 9 3 .) review of the above appeared in the October, 1916, issue of the Monthly R eview (pp. 20 to 23). 65847°—16-----10 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [685] 142 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. U nited S tates.— Commission on Industrial Relations. Industrial Relations: Final report and testim ony subm itted to Congress by the Commission on In dustrial Relations created by the act of A ugust 23, 1912. Washington, 1916. 11 vols. (GJ/th Cong., 1st sess., Senate Doc. No. 1^15.) Special authorization was made by Congress on April 28,1916, for the printing of the testimony before this commission. The final report of the majority and minority members of the commission and special reports for individual commis sioners had also been previously published separately by the commission before its going out of existence. A review of this final report may be consulted in the M onthly R eview of November, 1915, pages 48-76, 91. Of the 11 volumes in which this testimony will be printed 5 have thus far appeared. The testimony before the commission is published chronologically under cities. Each volume has a separate table of contents, with the names of the witnesses under each topic dealt with. The final volume will contain a con solidated index of witnesses and of positions or titles of witnesses, with cross references. ------ Congress. House. Committee on In terstate and Foreion Commerce. Sa fety of employees and travelers on railroads: Report to accompany H. R. 16681. W ashington [1916], 1 1 pp. ( 6 )th Cong., 1st sess., House of Representa tives, Rept. No. 979.) A report favorable to the passage of a bill, with amendments submitted, re quiring common carriers engaged in interstate commerce by railroad to afford a safe clearance between structures located on their roadways and locomotives and cars passing over their lines, to require such carriers to equip their passen ger cars with cinder deflectors, and for other purposes. “ The employees are asking for the bill in the form recommended by the committee. * * * The passage of this bill, we believe, will not only save the lives and prevent the suffering of employees, but it will also result in a saving in dollars and cents both to the employees and to the railroad company.” " Committee on the Judiciary. Lim iting activity of certain officers and employees of the Government. Hearing before the Committee on the Judiciary, House of Representatives, S ixty-fo u rth Congress, first session, on H. R. 9820. Serial 32: Parts 1 and 2, supplement. April 25 and 26, 1916. Wahington, 1916. pp. 59-63. Statements of George P. Foster, manager of La Moderna Poesia, of Habana, Cuba, in connection with his employment of plate printers from the United States Bureau of Engraving and Printing to assist in work in Cuba, to prohibit which practice legislation was proposed at the recent session of Congress. *------------------- Committee on Labor. Commission to stu d y social insurance and unem ploym ent; report to accompany H. J. Res. 250. W ashington [1916]. 3 pp. ( 64 th Cong., 1st sess., House of Representatives, Rept. No. 91.].) A report favorable to the passage of a House joint resolution for the appoint ment of a commission to study social insurance and unemployment, and appro priating .$50,000 therefor. “ It is primarily a commission to study a subject which has engrossed the attention of a majority of the civilized nations of the world during the last 30 years.” 1------------------- Committee on Labor. National colonization bill. Hearings before the Committee on Labor, House of Representatives, S ixty-fo u rth Congress, first session, on H. R. 11329, a bill to authorize the Secretary of Labor to cooperate w ith other departments of the Government in fostering, promot ing and developing the ivelfare of the wage earners of the United States by creating new opportunities for permanent and profitable employment, and for other purposes. M ay 18, 22, 25, June 5 and 15, 1916. 125 pp. The bill in question was introduced by Mr. Grosser, of Ohio, for the purpose indicated in the title. The promoter of the bill called attention to the connec- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [G S 6 ] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 143 tion between the purposes to be accomplished by this bill, and the recommenda tions contained in the annual report of the Secretary of Labor for the fiscal year 1915, the object being to make available certain sections of the public domain for that class of wage earners for whom jobs can not at any time be found or who may desire larger opportunities for engaging in agriculture and thereby assisting in the development of the natural resources of the country. Among the materials published with these hearings are a series of exhibits supplied by the Bureau of Labor Statistics on home colonization as practiced in certain foreign countries: Australia, New Zealand, Brazil, Colombia, Peru, Uruguay, Germany, Russia (Siberia), Finland, Spain, and the Scandinavian countries; also a statement of the distribution of homes according to proprietor ship and encumbrances in cities having in 1910, 100.000 inhabitants or more; statement as to tendency in ownership of farms in the United States; a dis cussion of tenants in the United States; and a statement of the distribution of the public lands in the United States. ----- ------- ------- Subcom m ittee No. 8 of the Committee on the Post Office and Post Roads. Indefinite leaves of absence to superannuated employees of the Postal Service. Hearings befoi'e Subcom m ittee No. 8 o f the Committee on the Post Office and Post Roads, House of Representatives, on H. R. 695. April 7 and 8 , 1916. W ashington, 1916. 118 pp. Hearings on a bill providing for what is practically a pension scheme, per mitting the indefinite retirement of certain superannuated employees of the Postal Service on an allowance of $600 per annum. --------------------- Subcom m ittee No. H of the Committee on the Post Office and Post Roads. R etirem ent of postal employees. Hearings before Subcom m ittee No. of the Committee on the Post Office and Post Roads, House of Representatives, on H. R. 10130. A pril 12, 1916. W ashington, 1916. 67 pp. Hearings on a bill to retire postal employees after 25 years’ service on an annuity equivalent to one-half their average annual salary for the past five years, but not to exceed $600. ------ ------ Senate. Committee on In tersta te Commerce. Hearing before the Committee on In terstate Commerce, Sixty-fourth Congress, first session, on proposed bills in connection icith legislation relative to the threatened strike of railroad employees. ( Tentative print only.) W ashington, 1916. 157 pp. ' ------ Department of the Interior (Bureau of M ines). A bstract of current de cisions on mines and mining, reported from January to April, 1916, by J. W. Thompson. W ashington, 1916. xi, 90 pp. This bulletin is the seventh of its kind published by the Bureau of Mines. The volume consists of a digest of decisions of Federal and State courts of last resort on questions relating to the mining industry, including ownership and possession, sale, eminent domain, definitions of mining terms, corporate actions, claims, patents, liens, taxation of mining property, and statutes relat ing to mining operations, involving the responsibility of the operator to the employee in maintaining healthful and safe conditions of work, comparative negligence, etc. ------ Superintendent of Documents. Price list 33. Labor: Publications relat ing to child labor, women wage earners, cost of living, employers' liability, hours of labor, industrial arbitrations, and strikes. For sale by the Super intendent of Documents. W ashington, 1916. 32 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis cost] 144 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. F O R E IG N C O U N T R IE S. A ustria .— A mtliche Naehrichtcn dcs k. k. M inisterium s des Innern, betreffend die Unfall- und K rankenversicherung der Arbeiter. August, 1916. Vienna, Ju ly and Current reports relating to the social insurance system in Austria. B razil.— B oletim do Ministerio da Agricultura. Industria e Commercio. Rio de Janeiro. Ju ly to December, 1916 ( vol. 4, No. 3). Canada .— Commission o f Conservation, Civic Im provem ent League. Report of the conference held in cooperation w ith the Commission of Conservation, Ottawa, January 20, 1916. 73 pp. Contains addresses of welcome; a paper outlining the present scope for prac tical work in improving civic conditions; discussions by delegates on municipal government, municipal finance, and unemployment; a paper on civic problems in Ontario; a further discussion on town planning, housing, and public health; and immigration and civic development after the Avar. ------D epartm ent of Labor. F ifth annual report on labor organization in Can ada for the calendar year 1915. Ottawa, 1916. 232 pp. The serious effect of the Avar in Europe on the activities and general condi tions of trade-unionism in Canada is the most striking feature of the informa tion presented in the present volume covering the calendar year 1915. The preceding report (1914) sliOAved a loss in trade-union membership estimated at 9.636, while 14 trade-union branches or units became extinct. The present report shows a further decrease of 120 units and a membership loss estimated at 22,820, the membership figures falling from 166,163 at the close of 1914 to 143,343 at the end of 1915. The report attributes this decline in the first place to the fact that trade-unions haATe contributed a substantial quota (approxi mately 12,500 men) to the OA’er-seas forces. Another movement which has taken from Canada during the past year a considerable number of Avorkmen, and in all probability a corresponding proportion of trade-union members, is the employment of Canadian Avorkmen in munitions concerns in Great Britain. A large part of the membership decline must, hoAvever, be charged to the economic depression Avliich in the case of certain industries has uoav been continuous for several years. The volume contains an account of trade-union developments in Canada during 1915 and treats of such topics as the war and trade-unionism, some inci dents of organized labor during 1915, international trade:union organizations, building-trades organizations, organizations other than international, trades and labor congress of Canada, federation of trade-unions, district councils, railroad brotherhood committees, trades and labor councils, trade-union local units, business agents, trade-unionism in Canada, trade-union beneficiary Avork, changes in labor bodies during 1915, the labor press, and com’entions to be held in 1916. Of the total membership of Canadian trade-unions, 114,722 members were affiliated Avith international organizations, a decrease of 25.760 from the figures for 1914. The total disbursements for trade-union benefits for 1915 by the various international organizations amounted to $14,565,365, an increase of $1,727,378, as compared with the amount reported for 1914. Of the total expenditures for benefits the largest portion ($7,628.676) was disbursed for death benefits and the next largest portion ($3,208,604) for strike benefits. ------ Sixth annual report on wholesale prices, Canada, 1915. Ottawa, 1916. xv (1), 312 pp. This review of AA'holesale prices in Canada remarks that “ the rise in prices in 1915 brought the general leA'el of AA’holesale prices in Canada much abOAre any https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6S8] MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 145 point previously indicated since 1890 by the department’s index number, which includes 272 articles, and possibly higher than at any time during the past century, though prices were very high at times between 1850 and 1872 during the Crimean War, the American Civil War, and the Franco-Prussian W ar” (p. 1). Thus, compared with the level of prices prevailing during the period 1890-1899, prices in 1915 were 48 per cent higher. “ The rise in price of staples, and of food especially, was greatest where conditions were most affected by war.” In general, the effect of the war is characterized by the department in the following paragraph: “ Owing, therefore, to the predominating influence of war conditions on all lines of industry and trade, crop conditions had less effect than usual on trade and prices. The short world crop in 1914 was only of secondary importance in raising prices of cereals and again the large crops of 1915 did not reduce prices to anything like normal levels. The war demand for materials more than made up for any reductions in demand which would have been felt as a result of short crops in 1914 just as the great capital expenditure in 1912 made up for the reduced purchasing power due to the short and damaged crops in 1911. Such immediate results, however, are usually offset to a great extent before long by reaction inevitable after such an artificial stimulus, as was experienced (although the effect in lowering prices was only beginning to be felt when war broke out) in Canada in 1913-14, and will again appear when the demand for war supplies abates and the readjustment necessary after such expansion of credit and expenditure of capital tests the industrial structure (with con siderable liquidation) and makes certain a sound basis before further progress is possible.” As a Hill account of this Canadian index number of wholesale prices has been published in Bulletin 173 of this bureau, there is presented merely the following table by way of summary of the movement of wholesale prices from 1906 to 1915, inclusive: IN D E X N U M B E R S O F W H O L E S A L E P R IC E S IN CANADA O F A L L CO M M O D ITIES, B Y G R O U P S, 1906 TO 1915. [Source: C anada D epartm ent of Labor. W holesale prices, Canada, 1914, p. 4.] [Average prices 1890-1899= 100.] Y ear. Class of com m odities. 1 2 3 4. 5 fi 7 8. Q 10. H 17 13. 1906 1907 1908 1909 1910 1911 1912 1913 1914 1915 D rains and fod der................. \n im a ls and m eats.............. D airy p roduce........................ F i s h .......................................... Other foods.............................. T ex tiles .............................. H ides leather, b o o ts............ M etals and im p lem en ts: (a) M etals................................ (ft) I m p lem en ts.................... Fuel ...................................... B u ild in g m aterials: (a) L um ber............................ (ft) Mi seel 1an e o n s ................. (c) P ain ts, oils, glass.......... H ou se fu rn ish in gs................ D r i l l s and ch em ica ls_____ M iscellaneous: (n.) Furs .......................... (6) Liquors, to b a cco s......... (c) S u n d r y ............................. 118.5 130.1 120.2 121.8 103.1 123.4 128.1 140.2 133.8 131. 5 129.5 112.5 126.1 125.5 148.3 129.6 136.3 120.5 110.3 111.0 120.0 149.9 148.6 133.6 134.0 107.6 108.3 135.4 140.7 163.6 135.7 145.1 111.3 114.6 135.4 148.4 146.6 136.2 143.6 118.7 119.2 139.6 167.3 160.8 159.0 155. 7 126.0 120.7 152.4 136.8 180.8 154.7 158.0 117.4 130.8 163.9 156.5 192.3 154.4 156.0 118.8 133.5 171.8 186.9 187.2 161.4 149.7 12ô< b 149.2 180.5 128.6 106.0 106.4 134.8 107.1 108.8 106.3 104.2 102.2 101.9 102.4 103.8 97.6 104.5 103.0 108.3 104.5 100.5 117.4 104.7 113.3 119.1 105.6 118.2 113.9 106.8 110.9 152.4 112.1 108.8 152.7 104.7 135.3 113.0 106.3 165.2 108.7 141.2 112.7 108.5 162.6 107.5 136.8 112.8 107.1 154.6 105.7 135.2 110.4 103.9 158.5 109.2 145.5 110.6 109.5 165.4 102.6 154.5 110.4 112.1 166.5 105.4 148.6 114.5 115.5 181.3 112.7 144.8 126. 2 113.3 182.1 111. 4 140.7 129.5 121.6 175.7 115.9 157.1 136.5 181.3 229.2 108.1 120.9 239. 4 125.5 123.0 231.8 118.0 117.6 227.2 117.5 121.6 234.5 132.9 118.0 252.9 151.2 110.3 297.3 155. 2 104.3 307.9 134.7 113.1 205.4 136.9 108.5 161.9 135.6 116.6 T o ta l.............................. 120.0 126.2 120.8 121.2 124.2 127.4 134.4 135.5 136.1 148.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6S9] 146 MONTHLY REVIEW OF THE BUREAU OE LABOR STATISTICS. Canada .— D epartm ent of Labor. The Labor Gazette, Ottawa. 1916. Contains the usual current material on industrial conditions, proceedings under tlie Industrial Disputes Act, trade disputes, reports from employment bureaus, immigration, wholesale and retail prices, fair-wages schedules in Government contracts, collective agreements, industrial accidents, and court decisions affecting labor. There is a special article on Government control of munition-making establishments in the United Kingdom. -—— (P eovince of B ritish Columbia ). — A n act to provide compensation to workm en for injuries sustained and industrial diseases contracted in the course of their employment. Victoria, 1916. 30 pp. This is the text of the workmen’s compensation act passed by the legislative assembly of the Province of British Columbia on May 31, 1916. •------(P rovince of S askatchew an ). —D epartm ent of Agriculture (Bureau of Labor). F ifth annual report of the bureau of labor o f the D epartment of A griculture of the Province of Saskatchew an for the 16 months ended April 30, 1916. Regina, 1916. 30 pp. This report relates mainly to the development of industry in Saskatchewan. Among other topics are included: Coal-mines inspection, factory inspection, employment-agency inspection, industrial accidents, immigration, farm labor, Government fair wages, industrial disputes, labor legislation, building-trades wages, statistics of local trade-unions. Industrial accidents are declared to show “ a gratifying decrease when com pared with the record for 1914,” a decrease due, however, to the depression of trade conditions. Accidents are shown merely as fatal and nonfatal, 13 of the former and 334 of the latter having occurred in 1915, as compared, respec tively, with 14 and 457 in 1914. These accidents are further classified by the month, day, or week, hour or day of their occurrence, age and length of expe rience of persons injured, and number of hours worked per week. Immigration to the Province declined from 44,543 in 1913 to 20,634 in 1914 and to 5,812 in 1915. The report shows that in 1912 14 strikes occurred, affecting 226 firms and 1,930 employees; in 1913, 5 strikes, affecting 32 firms and 243 employees; in 1914, 2 strikes, affecting 5 firms and 7S employees; and in 1915, 2 strikes, affect ing 9 firms and 88 employees. In the matter of legislation it is noted that the legislature refused to enact a law making the insurance of employers under the workmen’s compensation act compulsory. It is remarked, however, by the secretary of the bureau that “ the coming of State insurance is apparently inevitable,” and an effort will undoubtedly be made before the next session to secure definite information, as a large volume of statistics is absolutely necesstry before the advisability of such a scheme for Saskatchewan can be decided upon. The war is said to have caused considerable decrease of membership of tradeunions for the year 1915. There are enumerated 91 unions in the Province, with an estimated membership of 3,505. C hile .—If inis ferio de Ferrocarriles. Proyecto de creación de una caja de retiros y de previsión para el personal de las empresas de los ferrocarriles del Estado. Santiago de Chile, 1916. 206, [7] pp. This report and draft of law proposes the establishment of a retirement and old-age pension fund for the employees of the State railways. A study is made of the probable cost of such a system on the basis of actuarial investi gations and analogous legislation and practice in other countries. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [6901 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 147 D enmark .—Arbejdsl0shedsinspekl0r. A nerkendte arbefdslpshedskasser : En Haandbog til brug fo r kassernes ledelser. Copenhagen, 1916. 176 pp. This is a convenient handbook compiled by the office of the chief unemploy ment inspector under the unemployment subsidy law of Denmark of April S, 1914. It is meant for the use of the directors of unemployment funds which come within the provisions of the law for the receipt of a State subsidy for the relief of unemployment. It explains in simple form and by concrete illus trations the intent of the different provisions of the law, how the funds shall conduct their business to comply with it, etc. —— S ta tistiske E fterretninger udgivet a f det S ta tistiske Department. hagen. Septem ber 7, 1916 (vol. 8 , No. 14). Copen Contains statement of retail prices in August, 191G, and unemployment in May, 1916. Germany .— A m tliche Nachrichtcn des Rcichsversichem ngsam ts. Berlin, A u gust, 1916. Current reports on the operation of the German social insurance system. Great B ritain .—Birmingham. H ealth Department. Report of the medical officer of health for the year 1915. Birm ingham , 1916. 72 pp. This volume, in addition to reports bearing directly upon health and sanitary conditions in the city of Birmingham, contains data on housing and town planning and inspections under the factory and workshops act, and also sta tistics on infant mortality. ------Home D epartment. Factory and workshop orders. (1916 edition.) ___________ don, 1916. [S] 224 pp. Lon This volume contains the statutory orders relating to factories and workshops and other establishments subject to inspection under the factory and workshop acts, 1901 to 1911, which were in force on January 1, 1916. Since the last edition of January, 1914, it is noted that two new orders have been added to the volume, first, an order making toxic jaundice a notifiable disease ; and second, an order governing the construction and repair of ships in shipbuilding yards. Toxic jaundice is a disease which has come into prominence in the munition industry ; it is due to tetraclilorethane or nitro or amido derivatives of benzene or other poisonous substance. It may be noted perhaps that the statutory rules and orders contained in this volume are in the nature of supplementary legislation, power to make which is delegated to the home department for the purpose of enforcement of the factory acts. It contains regulations as to special exceptions permitted in regard to hours of labor and holidays, overtime, employment of women and young persons, details for the safety and hygiene of workers in dangerous and unliealthful industries, enumeration of particular establishments and processes subject to the rules and regulations of the factory laws, and determination of standards and definition of terms relating to the employment and education of children. — Local Government Board. Alkali, etc., W orks Regulation Act, 1906; fiftysecond annual report on alkali, etc., works, by the chief inspector: Pro ceedings during the year 1915. London, 1916. 100 pp. Covers inspection of chemical works for which special regulation is required by reason of the dangerous processes involved in them. The number of registered works in England, Ireland, and Wales was 1,372. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [691J 148 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. Great B ritain ..—London County Council. Public Education Committee. R e port of the county medical officer of health and school medical officer for the year 1915. London, 1916. Jffi pp. Contains the usual administrative report on the health of the county of London. A special report on anthrax in London has been reproduced on page 108 in this number of the Review. ------National H ealth Insurance Commission. Reports of decisions on appeals and applications under section 67 of the national insurance act, 1911, and section 27 of the national insurance act, 1913. P art I II . London, 1916. 190 pp. Decisions by the commission in the matter of disputed claims for sickness, compensation, etc., under the act. ------ R egistrar General. Seventy-seventh annual report of births, deaths, and marriages in England and Wales, 1914. London, 1916. Ixi, 582 pp. This is a review of vital statistics of the year 1914, and includes the final report on the census of 1911, which shows the total population of England and Wales as of April 3, 1911, to be 36,070,492. The salient features of vital statistics of 1914 are thus summarized in the report: “ The marriage rate was 15.9 per 1,900, being * * * 0.5 above the average in the 10 years 1904 to 1913; * * * the birth rate in 1914 was 23.8 per 1,000, and was 2.1 below the average for the preceding decennium; * * * the death rate in 1914 was 14 per 1,000, and was 0.7 below the average for the 10 preceding years. * * * Infant mortality was 105 per 1,000 births, being 14 per 1,000 below the average for the preceding decennium. * * * Cancer caused a higher death rate than in any preceding year, owing to increased mortality among males, and the rates from phthisis and from tuberculosis as a whole, although well below the average, showed a slight increase upon those in the preceding year. The mortality from diseases affecting the lungs was low, but somewhat above that in 1913.” *----- S tatutory rules and orders other than those of a local, personal, or tempo rary character. Issued in the year 1915 in 3 volumes. Volume I I com prising the title “ National H ealth I n s u r a n c e a n d also table showing effect of legislation, and index to Volume II. London, 1916. 568 pp. These statutory rules and orders are in the nature of supplementary legisla tion necessary for the complete enforcement of the national health insurance act, 1911, and are issued by the health insurance commissioner. They relate to matters of definition under the act, contributions, organization of medical care and treatment, organization of recognized societies who are the carriers of the health insurance, and other matters in relation to the application of the health insurance act. ------ Treasury D epartment. Report on findings of the select committee on post-office servants. Second report. London, 1916. 8 pp. This report relates to the internal administration and organization of a postoffice staff, methods of wage payment, promotions, allowances, etc. I taly,— Bollettino dell’ Ufficio del Lavoro, H inistero per V Industrie, il Com- mercio e il Lavoro. m onthly.) Rome, A ugust 16 and September 1, 1916. (Sem i Current reports on the labor market, labor disputes, employers’ and work men's organizations, retail prices, labor legislation, court decisions affecting labor; also several short articles on industrial hygiene. N etherlands.— Centraal Bureau voor de Statistiek. 1915. The H ague [1916]. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 32 pp. [692] Verslag over het jaar MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. 149 This publication constitutes the administrative report of the Dutch statistical office and describes the progress of its work during the current year 1915. Among other statistics it compiles and publishes statistics relating to labor con ditions, strikes and lockouts, prices, both wholesale and retail, labor exchanges, wages and hours of labor, and other special matters of that kind. The bureau, in addition to its reports of special investigations, publishes a yearbook and a monthly periodical. N etherlands.— Centrale Commissie voor de Statistiek. 1915. The Hague \1916]. Versing- over het jaar 72 pp. This publication is the administratve report statistics, created by a royal decree January 9, The purpose of the commission is to advise the and suggest subjects for investigation, and therewith. of the advisory commission on 1899 (Statsblad, 1899, No. 43). bureau of statistics, to prepare to issue orders in connection ------M aandschrift van het Centraal Bureau voor de S tatistiek. August, 1916. ( Vol. 11, No. 8.) The Hague, Contains the usual data on the state of the labor market, unemployment and unemployment insurance, employment exchanges, strikes and lockouts, organization of employers and employees, wholesale and retail prices; also an account of the progress of labor legislation through parliament and a review of labor conditions in foreign countries. ------ Departem ent van Landbouw, N ijverheid en Handel. Centraal verslag der arbeidsinspectie in het K onihkrijk der Nederlanden over 1914. [The Hague], 1916. x x xv ii, 473, xiii pp. This report of the factory inspection department of the Netherlands covers inspections under the law on health and safety of employees, the general labor law, the law on noxious or injurious trades, the lawTfor the protection of stone cutters, the phosphorus-matches law, the accident law, and the law for the protection of caisson workers. Special chapters are concerned with accidents and industrial diseases. The report closes with a summary of labor conditions in the different industries as of January 1, 1915. The inspection service of the Netherlands covers 72.240 factories and work shops, and of the number employed in them the law protects 192,421 workers, while 398,523 are left unprotected by any legislation. During the year 1914 the inspectors visited 22,868 factories and workshops, which employed 100,620 socalled protected persons and 202,657 unprotected persons. In the course of inspection 31,156 visits were made. N ew S outh W ales.— D epartm ent of Labor and Industry. Sydney. July, 1916. Industrial Gazette. (Vol, 10, No. 3.) Current reports on" the labor situation, labor legislation, wages boards, ai’bitration awards, factory inspection, labor exchanges, and prices and cost of living. Labor exchange supplement No. 16. N ew Zealand.— Court of Arbitration. Decisions under the workers’’ compensa tion act, filed for the year 1914, issued under the direction of the m inister of labor. Vol, 13. Wellington, 1915. 56 pp. ------ Journal of the Department of Labor. Wellington, August, 1916. Contains current data on the labor market, employment offices, retail prices, cost of living, trade-union statistics, and legal decisions affecting labor. ------Registrar of Friendly Societies. F riendly societies and trade-unions: Thirty-ninth annual report by the registrar of friendly societies for the year ended 31st December, 1915. [ W ellington, 1916.] 37 pp. Friendly societies as referred to in this report and in British parlance in general are quite analogous to the fraternal lodges in this country. According [693) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 150 M O N T H L Y R E V I E W O E T IT E B U R E A U O F L A B O R S T A T I S T I C S , to this report there were registered in New Zealand 917 local societies on Decem ber 31, 1915. Tabulated returns from 72S lodges show a membership of 73,027, whose total assets amounted to £1,852,355 ($9,014,486). There were 32 tradeunions on the register at the end of the year 1915. Queensland .— D epartm ent of Labor. The Queensland Industrial Gazette. Brisbane. August 10, 1916. ( Yol. 1, No. 6.) Contains current monthly reports on the labor market, employment offices, retail prices, industrial arbitration, decisions, trade agreements, factory acci dents, etc. S outh A frica.— Department of Mines. M iners’ phthisis prevention committee. General report of m iners’ phthisis committee. Pretoria, 1916. 206 pp. Ulus., pi., diag. Report of a committee to inquire into methods for the prevention of miners’ phthisis in the VYitwatersrand gold mine. A preliminary report was presented August 1, 1912; an interim report June 13, 1913; and a special report July 28, 1915. In addition to these reports various memoranda have also been issued by the committee. The report above listed is the general report covering all the work of the committee and including the subject matter dealt with in the re ports and memoranda referred to. A summary will appear in a future number of the R eview . • S outh A ustralia .— Statistical Department. Sum m ary returns of m anufac tories and works for the year 1915 and the period 1910-1915, and report thereon. Adelaide [916]. 8 pp. (B ulletin No. lt of 1916.) S p a in .— B oletín del In stitu to de R eform as Sociales. Madrid. August, 1916. Current administrative reports of the department—strikes, labor legislation, court decisions, and reports of trade-union congresses. S weden.— Social styrelsen. Underdanigt utldtande med fo r slag till lag om vissa dtgarder till friim jande av arbetsfred. Stockholm , 1916. 63 pp. Reviewed on page 64, in this number of the R eview . RECENT UNOFFICIAL PUBLICATIONS RELATING TO LABOR. Annals. Vol. L X Y II, New possibilities in education, A merican A cademy of P olitical and S ocial S cience. ^ Whole No. 156, September, 1916. Contains articles on vocational education and guidance, manual labor and national ideals, continuation schools. I llinois branch . Constitution of the Illi nois State Federation of Labor, adopted by the 33d annual convention, Oct. 18-22, 1915. 30 pp. A merican F ederation of L abor. ' Proceedings of the 33d annual convention of the Illinois S tate Fed eration of Labor, Alton, Oct. 18-22, 1916. 31,3 pp. ' K entucky branch . Book of laws and proceedings of the K entucky State Federation of Labor, Louisville, Jan. 10-12, 1916. 63 pp. ------ N ew J ersey branch . Proceedings of the 37th annual convention o f the New Jersey S tate Federation o f Labor, Jersey City, Aug. 16-18 1915 52 pp. P ennsylvania branch . Proceedings of the 15th annual convention of the Pennsylvania Federation of Labor, Beaver Fails, M ay 9-12, 1916. 1.28 pp. V irginia branch . Proceedings of the 21st annual session of the Virginia Federation of Labor, Bristol, June 5—7, 1916. (In Union News, vol. 4, No. 23, June 5, 1916, Supplement, pp. 43-69.) ------ W est Virginia branch . Constitution and rules of order of the W est Virginia S ta te Federation of Labor, revised at 9th annual convention, H u n t ington, M ay 8-11, 1916. 16 pp. • https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis (694] M O N T H L Y R E V IE W O F T H E B U R E A U O F LA B O R S T A T IS T IC S . 151 W est V irginia branch .— Proceedings of the 9th annual convention of the W est Virginia State Federation of Labor, Huntington, Mag 8-11, 1916. 127 pp. ■ ---W isconsin branch . Labor conditions in Wisconsin. Third report by the executive board of the W isconsin State Federation of Labor, Milwaukee, Ju ly 1, 1915. 17 pp., 10 statistical tables. This report shows the number of unions and their membership as reported for the principal cities and industries, weekly wages of members, hours of labor, changes in hours and wages, rates for overtime and Sunday work, unemploy ment, trade agreements, and monthly rents as compared with annual earnings. Details are given for 1914, with comparative figures for 1913. A merican F ederation of L abor. Proceedings of the tw enty-fourth annual convention of the Wisconsin State Federation of Labor, Fond du Lac, Ju ly 19-22, 1916. 11,0 pp. A merican F oundry men 's A ssociation. Proceedings of the tw entieth annual meeting, A tlantic City, N. J., Sept. 27 to October 1, 1915. Published by the American Foundrym en’s Association, Cleveland, Ohio, 1915. 672 pp. Besides a number of technical papers relating to foundry work and processes, contains papers on scientific management, relation of foreman to employer, goggles for chippers and other operatives, safety and sanitation, and industrial education. ------ W isconsin branch . A merican Labor Y ear B ook for 1916. Science, New York, 1916. 382 pp. Published by the Rand School of Social Price, 50 cents. See p. 134. W anted, a young woman to do housework. New York, M of fat, Yard & Co., 1915. 127 pp. Price, $1 net. A discussion of the servant problem. Treats of the “ present unsatisfactory condition of domestic labor ” and advocates limiting housework to eight hours a day six days a week, the observance of legal holidays, extra pay for overtime, and that servants live outside place of employment. Eight-hour schedules for one, two, and three employees are given. B arker, C. H elene. B ulletin No. 9. A comprehensive plan of insurance and annuities for college teachers, by H enry S. Pritchett, president of the Carnegie Foundation. 1916. 67 pp. ■ --- Tenth annual report, 1915. 133 pp. Part III of this report (pp. 49-100) contains brief articles on the develop ment of pension systems for teachers, industrial workers, university professors, and clergy. ( See p. 129 for review of section relating to industrial pensions.) C arnegie F ottndation for the A dvancement of T eaching . Carter, IV. S. W hy the eight-hour day is right. Supplem ent to the Labor World, Ju ly 21, 1916. Transportation Brotherhood Publicity Bureau, 1311 American Trust Building, Cleveland, Ohio. 12 pp. An article by the president of the Brotherhood of Locomotive Firemen and Enginemen, aiming to show how safety is menaced by fatigue, the operation of the 16-hour law, that occupational hazard is greater in the railroad-train service than in any other industry, and that arbitration is an unsatisfactory method of settlement. Consumers ' L eague of Cincinnati (O h io ) {30 Pickering B uilding). Bulletins. No. 1. Conditions of saleswomen in Cincinnati mercantile establishm ents. June, 1915. 16 pp. No. 2. A study of living conditions in rooming houses. June, 1916. 7 pp. No. 3. Facts about retail stores. June, 1916. S pp. An outline of industrial history, w ith special reference to problems of the present day. London, Macmillan, 1915. 36) pp. Price, $1.10 net. C ressy , E dward. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [695] 152 MONTHLY REVIEW OF THE BUREAU OF LABOR STATISTICS. D eutsch -A m ebikanische T ypogeaphia, 1,3 jahresbericht, vom 1. Juli, 1915, bis 30. June, 1916. India no polis, 1916. i 5. Forty-third annual report of the German-American Typographia of the In ternational Typographical Union, July 1, 1915, to June 30, 1916. D ublin , L ouis I., of the Metropolitan L ife Insurance Co., New York. Factors in American mortality. Reprinted from the American Economic Review, Vol. VI, No. 3, September, 1916, pp. 523-51/8. A study of death rates in the race stocks of New York State, 1910. F abian S ocietal H o w to pay for the war: being ideas offered to the Chancellor of the Exchequer by the Fabian Research Departmen t : Sidnay Webb, editor. London, 1916. 278 pp. Price 6 shillings net. The main proposition advanced by this work is that instead of taxing produc tion more than at present, the burdens of war should be met by untaxing it. In addition to proposals for the development of the post office, the creation of a public service of railway and canal transport, the nationalization of the coal supply, and a “ revolution in the income tax,” in order to afford some net revenue to the exchequer and provide for the eventual redemption of part of the war debt, it is suggested that the remainder of that debt can be repurchased from the investors and “ immobilized ” by an ingenious development of a State insurance department which, having nationalized life assurance and guaranteed all existing policies and all future bonuses, will replace the “ industrial ” poli cies for which the poor now pay £18,000,000 ($87,597,000) a year by an abso lutely universal funeral benefit. F abnum , C. J. The scope of industrial medicine and surgery. 1916. 5 pp. A paper read at the meeting of the American Association of Industrial Physi cians and Surgeons, Detroit, Mich., June 12, 1916. F leming , A. P. M., and P eaece, J. G. The principles of apprenticeship training, w ith special reference to the engineering industry. London, Longmans, Green & Co., 1916. 202 pp. Discusses the place of the manual worker in industry and the economic im portance of training, characteristics demanded from a worker and the extent to which these are developed by the existing educational system, vocational selec tion and guidance, and apprentice training. An example is given of a system of training developed by the authors in a large manufacturing organization. H enby S teeet S ettlement. Committee for vocational scholarships— Directory of the trades and occupations taught at the day and evening schools in Greater New York. New York, 1916. 68 pp. Price 15 cents. I nsubance A lmanac . A n annual of insurance facts for 1916. Published by the Underwriter P rinting 6 Publishing Co. New York, xvi, 1/12 pp. Price, $1. Contains handy information of the insurance business, the officers and man agers of all classes of companies, insurance department officials, associations of underwriters, statutory requirements, summary of workmen’s compensation laws, new companies, current legislation. Also general information concerning Federal and State officials ; population ; telegraph, cable, and postal rates ; public debt, and other statistics. The American experience table of mortality is reproduced, a list of assessment life organizations in the United States is given, also a list of companies writing health insurance. A section showing summaries of workmen’s compensation laws in the United States and in foreign countries, with an analysis of prin cipal features of the laws, appears to be taken from the bulletins of the United States Bureau of Labor Statistics, except for a few of the newer acts. I nteenational I nstitute of A gbicultube. Anna ire international de legisla tion agricole. 5. année, 1915. Rome, 1916. 11/60 pp. International yearbook of agricultural legislation. [6961 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M O N T H L Y R E V IE W O F T H E B U R E A U O F LA B O R S T A T IS T IC S . 153 31. bericht fü r das fahr 1915. Berlin, 1916. 44 pp. Report of directors of the miners’ trade accident association, carrier of the accident insurance in Germany, for the year 1915. L aubach , F. C. W hy there are vagrants; a study based upon an exam ination of 100 men, New York, 1916. 128 pp. Subm itted in partial fulfillm ent of the requirements for the degree of doctor of philosophy in the faculty of political science, Columbia University. An attempt to explain why vagrants do not work long in one place and why they do not accumulate property. The information was obtained at first hand from the wanderers themselves or from correspondence with their acquaintances. The author divides the individual or personal factors making for vagrancy into four main divisions: Moral, temperamental, mental, and physical. He is of the opinion that the first of these is the most important. Mansfield , B urton. L ife insurance in groups. R. L. B ryan Co., Columbia, S. C. 8 pp. A discussion by the insurance commissioner of Connecticut of group life in surance, in which the employer buys life insurance for his employees collec tively, as contrasted with individual life insurance. Merchants and Manufacturers of M assachusetts . The m inimum wage a failing experiment, together w ith some side lights on the M assachusetts experience, Published by the E xecutive Committee of the Merchants and M anufacturers of Massachusetts, Boston, 1916. 58 pp. Reviewed in the Monthly R eview for October, 1916, pp. 76-79. Mess , H. A. Casual labor at the docks. London, Bell, 1916. 141 pp. See p. 131. N ational A malgamated U nion of L abor. Report for quarter ending June 30, 1916. Newcastle-on-Tyne, Richard Mayne, 1916. 73 pp. K nappschafts berufsgenossen schaff für das deutsche R eicfi. N ational A ssociation for the S tudy and P revention of T uberculosis. Pamphlet, No. 105. W orkingmen’s organizations in local antituberculosis campaigns. New York, May, 1916. 64 PP. . A study of the types of organizations formed by employers and employees to participate in the. antituberculosis campaign, designed to help in securing further cooperation from those engaged in industrial enterprises. N ational A ssociation of Corporation S chools. Fourth annual convention. Addresses, r e p o r t s , bibliographies, and discussions. Pittsburgh, May 30June 2, 1916. Press of Andrew H. Kellogg Co., New York, 1916. 804 pp. Among the subjects covered by committee reports and discussed by the con vention were safety and health, special training schools, trade apprenticeship schools, unskilled labor, vocational guidance. N ational Conference Committee of the R ailways and the B rotherhood of L ocomotive E ngineers, B rotherhood of L ocomotive F iremen and E n ginemen , Order of R ailway Conductors, and B rotherhood of R ailroad T rainm en . M inutes of meetings. June 1 to 15, 1916, 551 pp.; A ugust 8 and 9, pp. 552-593. The M artin Reporting Co., 220 W est Forty-second Street, New York. At the conference held in June demands of the unions for an eigst-hour day and time and a half for overtime were refused by the railroads. At the August conference the vote of the unions was announced favoring a strike and the conference adjourned without a settlement. The threatened strike was called off upon the approval by the President, September 3, 1916, of the Fed eral act entitled “An act to establish an eight-hour day for employees of car riers engaged in interstate commerce, and for other purposes.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [697] 154 M O N T H L Y R E V IE W OE T H E B U R E A U OE L A B O R S T A T IS T IC S . N ational Consumers ’ L eague (280 Fourth Avenue, New York).. Bulletins. Hours of labor series. No. 1. Hours of labor and realism in constitutional law, by Felix F rankfurter. 1916. 21 pp. Reprinted from the Harvard Law Review, Vol. X X I X , No. J¡. No. 2. Labor, law, and life. 4 pp. A n editorial reprinted from The Independent, A pril 24, 1916. No. 3. Building up industrial liberty. .) pp. A n editorial reprinted from The Outlook, A pril 26, 1916. M inimum wages series. No. 9. A substitute for charity, by Constance D. Leupp. 11 pp. R e printed from Pearson’s Magazine, January, 1915. No. 11. The case for the m inim um wage. 28 pp. R eprinted from The Survey, Feb. 6, .1915. Contains the following articles: Status of legislation in the United States, by Florence K elley; The Constitution and the minimum wage, by Louis D. Brandéis; Wages of women in the State of New York, by H. B. W oolston; The State and the minimum wage, by J. A. Hobson; Is the minimum wage a menace to industry, by N. I. Stone; The Aus tralian experience with wages boards, by M. B. Hammond. No. 12. Meaning of the m inim um wage, by Robert TV. Bruere. 7 pp. Reprinted from H arper’s Magazine, January, 1916. No. Uf. A new province for law and order. Industrial peace through m inim um icage and arbitration, by H. B. Higgins. 1915. 27 pp. Reprinted from the H arvard L aw Review , Vol. X X IX , No. 1. S a fe ty at sea series: No. 4. The La Follette law from the Consumers’ League point o f view, by Florence Kelley. 7 pp. Reprinted from the Proceedings of the Academ y of Political Science, October, 1915. TFomen in industry s o le s : No. 5. Selected bibliography. February, 1915. 3 pp. No. 6. Eiglit-hour latos in the United States. 7 pp. Reprinted from brief in defense of the California eight-hour law for women, sub m itted to the Supreme Court of the United States, January, 1915, by Louis D. Brandéis and Josephine Goldmark. No. 9. A fam ous bad decision reversed. 4 pp. A n editorial reprinted from The Outlook, Apr. 28, 1915. No. 10. Twenty-fire years o f the Consumers’ League movement, by Florence Kelley. 6 pp. Reprinted from The Survey, Nov. 27,1915. No. 11. Survey of wage-earning girls below 16 years of age in W ilkesbarre, Pa., 1915, by Sarah II. Atherton. 65 pp. Price, 25 cents. No. 12. Tenem ent home icork and the courts, by Josephine Goldmark. 1916. 3 pp. A n editorial reprinted from The Survey, Feb. 19, 1916. No. 13. W omen in industry— The eight-hour day and rest at night, by Florence Kelley. May, 1916. 4 pp. N ational S afety C ou n cil . Third annual report by the secretary, for the year ending Ju ly 31, 1916. Chicago, Aug. 1, 1916. 4 pp. Briefly outlines the activities of the council during the year 1915-16 in car rying out its purpose of spreading the safety idea throughout the United States, Canada, and foreign countries. N ational W indow Glass W orkers. Constitution and by-laws, revised by special committee, Feb. 3, 19141 reprinted with changes and additional laws, Feb. 3, 1914, to M ay 27, 1916. Cleveland, Ohio, 1916. 29 pp. N egro Y ear B ook. A n annual encyclopedia of the Negro. 1916-17. Published by the Negro Year Book Publishing Co., Tuskegee In stitu te, Ala., 1916. 488 pp. Price, 35. N ew Y ork (C i t y ) M ayor. The lockout in the cloak and suit industry. The record of the public hearing before Mayor John Purroy M itchel at the City Hall, New York, Apr. 26, 1916. New York, 1916. 11 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [698] M O N T H L Y R E V IE W O F T H E B U R E A U O F LA BO R S T A T IS T IC S . 155 Zur Fors i a rb c i t crfra ge in Mecklenburg, bearbeitct im A uftrage cler Studienkom mission fiir Erhaltung des Bauernstandcs, fiir Kleinsiedlung und Landarbeit. Jena, 191). vi, 93 pp. 17 statistical tables. A study of the need of provisions for obtaining a permanent force of laborers for forestry work in Mecklenburg, one of the German States where considerable interior colonization has taken place. P erry, L ortnda. M illinery as a trade for women. New York, Longmans, Green & Co., 1916. 13h pp. Price, 31.30. See p. 32. R ea , S amuel . W hy the principle of arbitration can not be sacrificed. A state m ent to the Am erican public, issued at Washington, D. C., Aug. 27, 1916, by the president of the Pennsylvania Railroad System . S pp. Explains the attitude of the railroad executives of the country with reference to retaining the principle of arbitration in the adjustment of differences affect ing interstate commerce. R oyal E conomic S ociety (9 Adelphi Terrace. Strand, London, IF. C.). B y laws and list of fellows. Corrected to Sept. 1, 1916. London, 1916. 37 pp. R ubinow , I. M. Standards of health insurance. New York, Holt, 1916. 322 pp. See p. 114. S cattergood, Claude E. Cost accounting in casualty insurance. 1916. R e printed from Proceedings of the Casualty Actuarial and Statistical Society of America, February, 1916, Vol. II, Part II, No. 5, pp. 253-261. ----- The synthesis of rates for workm en's compensation. l\civ York, 1916. 31 pp. Published by the Fidelity and Casualty Co. of New York. See p. 85. S herman , P. T ecum seh . W orkm en's compensation law. Personal in ju ry by accident arising out of and in the course of employment. Published by W orkm en's Compensation Publicity Bureau, New York, 1916. 67 pp. S olvay P rocess Co. Profit sharing, pensions, m utual aid, and welfare work. Syracuse, N. Y., 1915. 8 pp. T emple, F rederick. W ar finance and the worker. London, Commonwealth Press. (1916) 16 pp. U nited T ypothetje and F ranklin Clubs of A merica. Reports of committee on apprentices. Sept. 21, 1915. 18 pp. Sept. 14, 1916. 20 pp. . W arns , F. ,T. The tide of im m igration. New York, Appleton, 1916. 388 pp. Price, $2.50 net. Treats of the fundamental economic forces behind the movement of popula tion to and from the United States and the governmental machinery for regu lating immigration. Discusses the campaign for more restrictive legislation, probable effects of the European war on immigration, volume and sources of immigration, its influence on social progress, conflict between immigrant and native worker for jobs and. wages, and geographical distribution of immigration. Oertzen, von. Toward social democracy? A study of social evolution during the past three-quarters of a century. London. Fabian Society [1916]. 48 pp. Price, 1 shilling net. W ebb, S idney . H . A . H o w to get workmen. Finding and picking the right man f o r the work, Chicago, A. IF. Shaw Co., 1913. 64 PPContains chapters on recruiting the working force, personal interviews in hiring men, hiring unskilled, semiskilled, and skilled workmen, promoting from the ranks, neighborhood sources of supply, and getting in touch with out-of-town workmen. Y oung, A rthur N. The single-tax movement in the United States. Princeton, N. J., Princeton U niversity Press, 1916. 340 pp. W orman, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis [699] https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis