Full text of Monthly Labor Review : November 1944, Vol. 59, No. 5
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N O V E M B E R 1944
Irt this Issue
, . Work injuries in 1943 . . . . Aircraft in
dustry in wartime . . . . German Labor
Front . . . . Wages in department stores
UNITED STATES DEPARTMENT OF LABOR • BUREAU OF LABOR STATISTICS
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UNITED STATES DEPARTMENT OF LABOR
F r a n c e s P e r k in s , Secretary
♦
BUREAU OF LABOR STATISTICS
I sador Lcbin , Commissioner (on leave)
A. F. H inrichs, Acting Commissioner
H ugh
B. K i l l o u g h , Acting Chief,
Employment and Occupational Out
look Branch
A bynesb J ot Wickens, Chief, Price«
and Cost of Living Branch
H e n r t J. F i t z g e r a l d , Chief, Business
N. A rnold T ollés, Chief, Working
Conditions and Industrial Relations
Branch
Management Branch
B oon 8 . H a n n a , Chief, Editorial and
Research
S idney W. W ilcox, Chief Statistician
DIVISIONS
Construction and Public Employment,
Herman B. Byer
Industrial Relations, Florenoe Peter«
son
Consumers’ Prices, Ethel D. Hoover
Labor Information Service, Boris Stern
Cost of Living, Faith M. Williams
Machine Tabulation, Joseph D rager
Employment Statistics,
St urge» (acting chiefi
Alexander
Occupational Outlook, Charles Stewart
General Price Research, Walter G.
Post-War Labor Problems, John H. G.
Pierson
Keim
Industrial Hazards, Max D. Kossoris
Productivity and Technological De
velopment, W, Duane Evans
Industrial Prices, Jesse M. Cutts
Wage Analysis, Robert J. Myert
Copies of Bureau of Labor Statistics publications and further information may
be obtained from the several field offices, a list of which appears on the inside
back cover of this issue. The services of the Bureau’s Regional Director» and
their technical staffs are available to labor organizations, management, and the
general public for consultation on matters with which the Bureau deals, as. for
example, employment, prices, wages, absenteeism, labor turnover, and industrial
accidents.
The M o n t h l y L a b o r R e v ie w is for sale by the Superintendent of Documents,
U. S. Government Printing Office, Washington 25, D. C. Price, SO cents a copy.
Subscription price per year in the United States, Canada, and Mexico, $3.50, other
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UNITED STATES DEPARTMENT OF LABOR • BUREAU OF LABOR STATISTICS
**####+##+###
+
C O N T E N T S
HUGH
S. H A N N A ,
EDITOR
+
###*►#*<>**####
NOVEMBER 1944, Vol. 59, No. 5
P age
Cover illustration: Rehabilitation—producing parts for fire-control
equipment.
Special articles:
Work injuries in the United States during 1943____ ______________
Wartime development of the aircraft industry___________________
The German Labor Front___________________________________
Labor conditions in Denmark________________________________
Employment conditions:
Wartime development of the aircraft industry___________________
Employment and productivity in anthracite mining, 1942-43_____
Labor conditions in Denmark________________________________
Labor conscription for road work in Ecuador____________________
Recent labor developments in Uruguay________________________
Wartime policies:
Reconversion plans to mitigate unemployment__________________
Germany’s total mobilization measures________________ . _______
Provision for flexibility in New Zealand wage stabilization________
Discharged soldiers:
Plans for demobilization and assimilation of servicemen___________
Partial-demobilization plan in Great Britain____________________
Industrial injuries and diseases:
Lead poisoning in 1943 and earlier years_______________________
Work injuries in the United States during 1943__________________
Industrial injuries, June 1944________________________________
Social security:
Mid-war developments in civilian family allowances______________
Canada’s Family Allowances Act-, 1944________________________
Labor organizations:
A. F. of L. program in behalf of Negroes_______________________
Canadian trade-union membership, 1944___ . __________________
Trade-union membership in India, 1941-42_____________________
Membership of Mexican unions under Federal jurisdiction________
Industrial relations:
Arbitration provisions in union agreements_____________________
Regulation of employment contracts in the Dominican Republic...__
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I
905
909
932
945
909
962
945
962
963
965
968
970
971
973
976
905
978
982
996
998
998
999
999
1001
1013
Contents
II
Industrial disputes:
Strikes in September 1944___________________________________
Activities of U. S. Conciliation Service, July and August 1944______
Page
1017
1018
Labor laws and decisions:
Recent decisions of interest to labor___________ _______________
Provisional rent-control decree in Ecuador, 1944________________
1019
1027
Women in industry:
Changes in women’s employment during the war________________
Women’s tendency to leave the labor market___________________
1029
1030
Child labor:
Child-labor problems in wartime______________________________
1034
Wage and hour statistics:
Wages in department and clothing stores in large cities, spring and
summer of 1943_____________________________________ „___
Trend of factory earnings, 1939 to August 1944_________________
Wartime changes in wages and salaries per capita income in the various
States__________________________________________________
Canada—Wages and hours, 1932-44___________________________
Chile—Daily wage rates and earnings in 1943___________________
United Kingdom—Earnings and working hours, January 1944_____
1036
1048
1049
1054
1059
1061
Wage and hour regulation:
Determination of wage rates for mechanical and laboring positions in
the Federal Service_______________________________________
1063
Cost oj living and retail prices:
Retail prices of food in August 1944_______________ _______ ___
Cost of living of worker’s family in Bogotá, Colombia, 1939-44____
1070
1072
Wholesale prices:
Wholesale prices in September 1944___________________________
1074
Labor turnover:
Labor turnover in manufacturing, mining, and public utilities, August
1944____________ _____________________________i ________
1080
Building operations:
Building construction in urban areas, September 1944____________
1085
Trend of employment, earnings, and hours:
Summary of reports for September 1944_______________________
1088
Industrial and business employment_______________________ 1088
Public employment_____________________________________ 1089
Constructions employment___ ___________________________ 1091
Detailed reports for industrial and business employment, August 1944:
Estimates of nonagricultural employment___________________ 1092
Industrial and business employment________
1093
Indexes of employment and pay rolls__________________
1094
Average earnings and hours__________________________ 1103
Civilian labor force, September 1944__________________________
1107
Labor conditions in Latin America_____ 962, 963, 999, 1013, 1027, 1059, 1072
Recent publications of labor interest_____________________________ 1108
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This Issue in Brief
Work injuries in the United States during 1943.
Approximately 2,414,000 workers were disabled because of work injuries during
1943. Actual time lost from production because of these injuries amounted to
about 56,800,000 days. The estimated injury total was about 6 percent greater
during 1943 than during 1942. The injury-frequency rate (20.0) of the entire
manufacturing group during 1943 showed very little change from that (19.9) of the
preceding year. Although no improvement was indicated by the number of dis
abling injuries per million hours worked, the upward trend noted during the last
few years was not continued. Detailed data on injury-frequency rates and on
the type and severity of injuries are found in the article on page 905.
Wartime development of the aircraft industry.
Total employment in the aircraft industry did not exceed 100,000 in January
1940, as compared with the peak of about 2,100,000 workers in November 1943.
Since that time employment has steadily declined to 1,800,000 in August 1944.
Increasing productivity has been of sufficient magnitude to permit schedule
attainment in spite of the employment declines. The important role of women in
the aircraft program is measured by the ultimate employment of almost 500,000
in the production of airframes, engines, and propellers, as compared with 23,000 in
January 1942. Prime contracting airframe, engine, and propeller plants are the
most important subdivisions of the aircraft industry, accounting for approximately
two-thirds of total employment. The article on page 909 also discusses labor
turnover, absenteeism, hours and earnings, and production trends.
The German Labor Front.
The German Labor Front, one of the first organizations established by the
Nazis, superseded and engulfed not only the trade-unions but also professional
organizations and those of employers; their membership in the new organization
was virtually compulsory. At its peak, the Labor Front contained about 30
million persons. Its functions covered many fields and permeated all German life.
The development and activities of this organization—important from the stand
point of the reconstruction of free workers’ associations in post-war Germany—
are described in an article on page 932.
Labor conditions in Denmark.
Denmark’s economy is primarily based on agriculture, upon which its major
industries and foreign trade depend. During the early 1930’s there was consider
able unemployment, which reached its peak in 1932. The peacetime practice of
wage fixing by means of collective bargaining continued after the German invasion.
The 8-hour day had been generally established before the war. Average money
wages rose from 1.28 kroner in 1929 to 1.75 kroner in 1941, but real wages did not
always keep pace with this rising trend. Labor unions, which played an impor
tant role in the industrial life of Denmark, continued to function after the occupa
tion, although certain restrictions were imposed.* For the settlement of indus
trial disputes there existed an Arbitration Court, three regional conciliators, and
(after the occupation) a Labor and Mediation Board. The Danish cooperative
movement ranked among the foremost in the world. A comprehensive system
of social insurance provided protection for sickness, old age, unemployment, and
industrial injuries. Page 945.
Mid-war developments in civilian family allowances.
The passage of the Canadian Family Allowance Act in August 1944, following
the somewhat earlier Eire Act providing for such allocations, the recent Soviet
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ill
IV
This Issue in Brief
edict concerning grants in cash for children, and the magnitude of the system of
dependents’ benefits for the United States armed forces have aroused widespread
interest in these subsidies. A brief review of mid-war developments in the move
ment for civilian family allowances in 23 countries is given in the article on
page 982.
Arbitration provisions in union agreements.
Three of every four union agreements in 14 major industries provide for arbi
tration as the terminal point in the grievance machinery. In the .article on page
1001, detailed information is presented (based on an examination of 1,254 union
agreements) on the prevalence of arbitration provisions, the type of arbitration
arrangement, initiation of arbitration proceedings, composition and selection of
agency, time limits, finality of arbitration decisions, and scope of arbitration.
Arbitration provisions in agreements covering small plants are also compared
with those covering large plants.
Wages in department stores in large cities, spring and summer of 1943.
Median hourly rates of pay of workers in department, general-merchandise,
and clothing stores in the spring and summer of 1943 ranged from 39 cents an
hour for women bundle wrappers and stock girls to $1.18 (including commissions)
for furniture salesmen. Wage rates were found to differ substantially by size of
city. Among broad geographic regions, rates of pay were highest in the Pacific
Coast area and lowest in the South. Page 1036.
Determination of wage rates for mechanical and.laboring positions in the
Federal Service.
Nearly a million Federal employees have their wage rates set in accordance
with rates paid for similar work by private employers in the respective localities.
Most of these employees are in mechanical trades and laboring positions, ranging
from highly skilled to relatively unskilled occupations. As far back as 1862
Congress recognized the principle of paying the prevailing wage rate, by requiring
wage rates in navy yards to be so determined. The methods used to determine
the prevailing wage rate and the changes resulting from the economic-stabili
zation policies initiated in the fall of 1942 are discussed in an article on page 1063.
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V
Current Labor Statistics
Current Statistics of Labor Interest in Selected Periods 1
1944
Item
1939:
Average
for year
Sep
tember
A u
gust
July
1943:
Sep
tember
53,030
34, 590
18,440
52,250
34,190
18,060
43, 580
8,670
780
54, 010
35, 570
18,440
53,170
35,140
18,030
44, 600
8, 570
840
55,000
35, 890
19,110
54, 000
35, 410
18, 590
44, 330
9, 670
1,000
53,910
35, 700
18, 210
52,950
35, 210
17, 740
43, 900
9,050
960
2 54, 230
2 40,950
213, 280
2 46,930
2 35, 600
7 11,330
2 37,430
2 9, 500
2 7,300
___ do_____ 38, 559
___ do_____ 15,850
___ do_____
828
679
___ do.........
3,788
___ do_____
___ do........... 6,987
___ do........... 4,480
38, 740
16, 039
834
691
3,817
6, 908
4,582
38,730
16, 012
833
686
3, 809
6,942
4,618
39, 678
17,136
880
1,091
3,688
6, 936
4, 079
30, 353
10, 078
845
1,753
2,912
6,618
4,160
Unit
Employment
Civilian labor force: Total (B C )_ .................... .
M ale....... ....................................... ................. .
Fem ale................ ...............................................
Em ployed____________ _____ ___________
M ale____________ _____ ___________
Female____________________ _______
Nonagri cultural,............................. .........
Agricultural__ ____ ___ ____________
Unemployed, total_____________________
Employm ent in nonagricultural establish
ments: Total 3 . .. .................................................
M anufacturing....... ..........................................
M ining............................ ............................ .
Construction *_______________ _____ ____
Transportation and public utilities....... ..
Trade___________________________ _____
Finance, service, and miscellaneous............
Federal, State and local government, ex
cluding Federal force-account construc
tion____________________________ ____
Wage-earner employment:
Manufacturing________________________
Bituminous-coal m in ing.____ _______ . . . .
Class I steam railroads, including sal
aried employees (I C C )..._____ ________
Hired farm workers (B A E )_____________
Thousands..
___ d o......... .
___ do............
___ do............
___ do...........
___ do_____
___ do_____
___ do.........
___ do......... .
.do.
5,947
5,869
5,830
5,868
3,988
.do.
.do.
12,777
350
12,940
352
12, 924
351
13,935
374
8,192
371
.do.
.do.
1,428
2,817
1,449
2,694
1,443
2,732
1,373
3,100
988
» 3,240
40.1
45.1
44.1
43.3
40.1
44.6
39.5
43.2
40.6
0 45.1
M0.3
6 42.1
39.4
37.7
27.1
43.0
32.4
$53.71
$45.85
$52. 28
$27. 64
$52.90
$45.43 6 $43.52
$47. 20 6 $46.15
$27.83 « $25.98
$52.81 $49. 59
$23.86
$23.88
$21.17
$30.24
$1.339
$1.016
$1.189
$0. 706
$1. 323
$1.018 6$0.965
$1.199 6$1.150
$0. 706 6$0.678
$1.302 $1. 258
$0. 633
$0. 886
$0. 536
$0. 933
Hours of labor
Average hours per week of wage earners:
Manufacturing___________________
Bituminous-coal m in in g........... ..........
Retail trade_______________________
Building construction (private)____
Hours.
___ do.
___ do.
___ do.
Weekly earnings
Average weekly earnings of wage earners:
Manufacturing____________________
Bituminous-coal mining_____ ______
Retail trade............. .................................
Building construction (private)_____
Hourly or daily earnings
Average hourly earnings of wage earners:
M anufacturing_______________ ________
Bituminous-coal m in in g ..............................
Retail trade___________________________
Building construction (private) ________
Average straight-time hourly earnings in
manufacturing, U sin g Current employment by industry___
Employment by industry, as of Jan
uary 1939____ _________ _____ _____
Quarterly farm wage rate, per day without
board (B A E )____________ ___________ ___
$0.944
$0.951 6$0.897
$0. 622
$0.871
$0.874 6$0.822
$0. 622
7$4.08
$4.06
7$3. 51
7 $1. 57
Industrial injuries, labor turnover, and absences
from work
Industrial injuries in manufacturing, per m il
lion man-hours work______________ ______
Labor turnover in manufacturing:
Total separations, per 100 employees. . . . . .
Quits, per 100 em ployees........ ..............
Lay-offs, per 100 employees_________
Total accessions, per 100 employees______
Absence rates (workdays lost as percent of
total scheduled):
Manufacturing, selected industries______
Bituminous-coal mining________________
See footnotes at end of table.
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6.3
12.5
15.4
»19. 5
820. 7
7.8
6.2
0.5
6.2
6.6
5.0
0.5
6.3
«8 3
« 6.3
»0.5
« 7.6
(9)
(6)
(»)
(9)
6.6
11.9
6.4
12.2
6.1
10.8
(9)
(9)
Current Labor Statistics
VI
Current Statistics of Labor Interest in Selected Periods 1— Continued
1944
Item
Unit
Sep
tember
Au
gust
July
1943:
Sep
tember
1939:
Average
for year
Strikes
Strikes beginning in month:
Number of strikes_____ ______________
Number of workers involved____________
Man-days idle during month (all strikes):
N um ber________ ____________________
Percent of available working tim e,.........
390
185
485
190
470
145
237
67
218
98
660
0.09
935
0.12
680
0.09
210
0.03
1,484
0.28
126.5
137.0
141.4
108.2
109.8
140.7
122.4
126.4
137.7
139.4
108.2
109.8
139.3
122.3
126.1
137.4
138.3
108.2
109.7
138.7
122.0
123.9
137.4
132.5
108.0
107.7
126.3
117.0
99.4
95.2
100.5
104.3
99.0
101.3
100.7
1935-39 = 100
1935-39 = 100
1935-39=100
1935-39 = 100
1935-39 = 100
1935-39 = 100
1935-39 = 100
1935-39 = 100
1935-39 = 100
137.0
108.7
129.0
133.6
168.0
169.9
124.3
123.0
126.3
137.7
108.5
129.0
133.6
159.4
175.7
124.3
122.7
126.5
137.4
108.6
129.3
133.6
148.9
176.9
124.3
122.9
126.6
137.4
108.2
129.9
133.5
177.5
167.0
125.2
126.5
126.8
95.2
94.5
96.6
95.9
91.0
94.5
95.5
87.7
100.6
1926=100
1926=100
104.0
99.7
103.9
99.7
104.1
99.6
103.1
98.6
77.1
79.5
1926 = 100
1926=100
1926=100
98.6
122.7
104.2
98.6
122.6
104.8
98.5
124.1
105.8
97.2
123.1
105.0
81.3
65.3
70.4
$12,661 $12,888 «$11,681
«$5,483
$8,015
$5, 645
$7,806 6 $7,388
$5; 452 « $5,230
« $5,027
« $3,422
234
250
147
50,010
235
251
147
54,180
232
248
143
48, 970
248
267
143
52,214
109
109
106
32,905
$370
$80
i0 ,400
150
$378
$85
12, 300
' 146
$359
$90
13,600
'147
$598
$104
24,200
151
5$680
(9)
«42,400
' 101
Thousands
Cost of living
Cost-of-living index (wage earners in large
cities): All items ................. ............................... 1935-39=100
Food_______ __________________ ________ 1935-39=100
Clothing.. ____________________ ____ _
1935-39=100
R ent___ _
____________________ ____ 1935-39=100
Fuel, electricity, and ice________ ____ _
1935-39=100
Housefurnish ings______________________ 1935-39 = 100
Miscellaneous_____________________ ___ 1935-39=100
Retail food prices (large cities)
Retail price index: All foods. ......................... .
Cereals and bakery products____________
M e a ts .._______________________ _______
Dairy products........ ................ ..................... .
Eggs------- . .........................................................
Fruits and vegetables___________ _______
Beverages___________________ _____ ____
Fats and oils_______ ________ _______ ___
Sugar and sw eets........................................... .
Wholesale prices
Wholesale price index: All commodities. ___
All commodities other than farm products
All commodities other than farm products
and foods_____ ______ ____ ____ _______
Farm products_________________________
Foods............... ................................... ..............
National income and expenditures
National income payments, total (B F D C )___
Consumer expenditures for goods and services,
total (B F D C ).......................................................
Retail sales, total (B F D C )_________________
Millions
Production
Industrial production index, unadjusted (F R ):
T otal______________________________ .
Manufacturing. .............................................
M inerals..________ _____ ____ ___________
Bituminous coal ( B M ) .. .....................................
1935-39=100
1935-39=100
1935-39=100
Thousands of
short tons
Construction expenditures, all types (exeluding maintenance). . . _____________ _____ _
Millions
Building construction started in urban areas.. ____do_____
N ew family-dwelling units in nonfarm areas ..
Carloadings index, unadjusted (F R )________ 1935-39 = 100
Source: Bureau of Labor Statistics unless otherwise indicated. Abbreviations used: BO (Bureau of the
Census); ICC (Interstate Commerce Commission); BAE (Bureau of Agricultural Economics); B FD C
(Bureau of Foreign and Domestic Commerce); FR (Federal Reserve); B M (Bureau of Mines). Most
of the current figures are preliminary. Reprints of this table are available on request.
2 KFmonth average—March to December 1940.
3 Differs from employed nonagricultural workers in civilian labor force above, mainly because of exclusion
of such groups as self-employed and domestic and casual workers.
4 Includes workers employed by construction contractors and Federal force-account workers (nonmain
tenance construction workers employed directly by the Federal Government). Other force-account non
maintenance construction employment is included under manufacturing and the other groups.
1 September.
6 August.
7 October.
8 Cumulative frequency rate, January to July.
9 N ot available.
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MONTHLY LABOR REVIEW
NOVEMBER 1944
Work Injuries in the UnitecT States During 1943 1
Sum m ary
DURING 1943, approximately 2,414,000 workers were disabled
because of work injuries. The actual time lost from production
because of these injuries amounted to about 56,800,000 days. If
allowance is made for future economic losses caused by the 18,400
deaths, 1,700 permanent total disabilities, and 108,000 permanent
partial impairments, the time loss reaches 274,000,000 days, or a full
year’s work for about 914,000 workers. This entire economic loss
can fairly be charged against 1943, because similar injuries deprived
the Nation of the effectiveness during 1943 of workers killed or
permanently impaired in earlier years.
The estimated injury total was about 6 percent greater during
1943 than during 1942, for which the estimate was 2,267,700. In
comparison with the latter year, deaths increased by 300, permanent
total disabilities decreased by 100, permanent partial inpairments
increased by 7,200, and temporary total disabilities rose by 138,900.
In sharp contrast to the experience during 1941 and 1942, the
injury-frequency rate of the entire manufacturing group during 1943
showed very little change from that of the preceding year. Although
the number of disabling injuries per million hours worked did not
indicate any improvement over the average for 1942, it did not con
tinue the upward trend noted during the last few years and remained
practically at the 1942 level. For 1943 the frequency rate was 20.0—
an increase of only a half of 1 percent over the 1942 rate (19.9). The
reason for this stability was that the increase in injuries in manu
facturing was matched by a similar increase in the number of total
hours during which workers were exposed to the hazards of their jobs.
Injury-Frequency Rates
The disability distribution of nearly 483,000 injuries reported by
35,853 manufacturing establishments—with about 11 million em
ployees who worked a total of nearly 25 billion hours—remained
essentially unchanged from that of 1942. Deaths and permanent
total disabilities together accounted for 0.4 percent of all injuries,
permanent partial impairments for 4.5 percent, and temporary total
disabilities for 95.1 percent. In this group, the average time charge
for permanent partial impairments was 884 days, and the average
duration of temporary total disabilities was 16 days.
Logging, as in past years, had the highest frequency rate among
manufacturing industries. Its rate of 82.2, nevertheless, indicated
some improvement over the 1942 rate of 89.6. Sawmills, with 58.4
disabling injuries per million employee-hours of exposure, also showed
t Detailed data will be given in a forthcoming bulletin.
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905
INDUSTRIAL INJURY FREQUENCY RATES IN MANUFACTURING
BY T Y P E S OF D IS A B IL IT Y
Monthly Labor Review—November 1944
UNITED STATES DEPARTMENT OF LABOR
BUREAU OF LABOR STATISTICS
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Note: FREQUENCY RATE IS THE AVERAGE NUMBER OF DISABLING INDUSTRIAL
INJURIES FOR EACH MILLION EMPLOYEES-HOURS WORKED.
Work Injuries in United States During 1943
907
a reduction from the 1942 rate of 61.7. Foundries experienced a
decrease in accident frequency (from 49.7 to 43.4), as did the brick,
tile, and terracotta industry (from 47.1 to 42.9), the concrete, gypsum
and plaster products industry (from 48.4 to 40.8), and the woodencontainer industry (from 50.2 to 48.8).
On the other hand, a number of industries with high frequency
rates in 1942 had still higher rates in 1943. The respective 1943 and
1942 rates for these industries were 47.6 and 44.8 for slaughtering
and meat packing, 40.8 and 38.0 for iron and steel forgings, and
44.2 and 37.6 for planing mills.
The plate-fabrication and boiler-shop-products industry, with a
high rate of 44.3 in 1943, was not shown separately in earlier years.
In the nonmanufacturing group of industries, stevedoring ranked
highest with a frequency rate of 91.3. This industry was not sur
veyed in earlier years. There is reason to believe that the frequency
rate, high though it is, is conservative and probably understates
considerably the average experience of this industry.
Trucking and hauling, with a rate of 41.4, also showed a considerable
increase in accident frequency, as the comparison with the 1942 rate
of 34.8 indicates.
Among the manufacturing industries most closely associated with
the war, shipbuilding had an average frequency rate of 31.5, aircraft
9.7, aircraft parts 11.7, guns 15.5, heavy ammunition 19.0, tanks 12.2,
small arms 8.6, and small-arms ammunition 5.1. The entire ordnance
group had a frequency rate of 13.4, one of the lowest group rates in
the entire survey.
That extremely hazardous industries can be properly safeguarded
is shown by the very low frequency rate of 5.3 for explosives.
T ype and Severity of Injuries
An indication of the severity of injuries is provided by the propor
tions of them which result in death or permanent impairment. It
is noteworthy that some of the industries with high percentages of
serious injuries nevertheless experienced low frequency rates; in
other words, injuries occurred less often per million employee-hours,
but among these injuries relatively high proportions were serious.
Thus, the percentage of deaths and permanent disabilities in the
explosives industry was 13.3 percent, as compared with the all
manufacturing average of 4.9 percent. High percentages in other
industries were 11.3 for iron and steel, 10.0 for cement, 7.3 for hard
ware, 7.6 for ornamental metal work, 8.9 for plumbers’ supplies, 7.9
for stamped and pressed metal products, and 8.7 for tin cans and
other tinware.
The iron and steel industry also had the highest average duration per
temporary disability, 36 days. The cement industry followed with 31
days. Both industries had low frequency rates, 10.0 and 8.2, respectively.
As in all previous years, hand and finger injuries accounted for more
than three-quarters of all permanent impairments in manufacturing.
That the specific percentage of such impairments remains fairly con
stant is indicated by the data for the last 3 years: 77 percent in 1941,
79 percent in 1942, and 78 percent in 1943. Foot or toe impairments
were reported in 7 percent of all cases, leg and arm impairments each
in 3 percent, and permanent eye injuries in 5 percent.
The relative distributions, of course, varied considerably in indi
vidual industries. Thus, 97 percent of all permanent impairments in
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Monthly Labor Review—November 1944
908
the furniture industry were to the hand or fingers. In the hardware
and metal-stamping industries, this percentage was nearly as high,
96 percent. Outstanding for high percentages of arm and foot or toe
impairments was the fertilizer industry, in which the specific per
centages for these body parts were 13 and 16. In logging, with only
44 percent of impairments to the hand or fingers, legs were permanently
injured in 20 percent of all impairment cases. As one would expect,
industries with heavy products experienced large proportions of per
manent foot and toe injuries: Breweries 18 percent, foundries 15
percent, steam fittings 15 percent, logging 11 percent, paper and pulp
15 percent, and engines and turbines 13 percent.
Estim ates of D isabling W ork Injuries
The following table gives estimates of disabling injuries for major
industrial groups. Footnotes permit an evaluation of the reliability
of these estimates, some of which are based on broad, comprehensive
data, while others necessarily had to be predicated on very sketchy
and inadequate source material. In manufacturing, for example,
the survey data covered about 64 percent of the total employment.
Similarly, the mining and railroad estimates are based on adequate
data. On the other hand, very little is known about accidents in the
construction industry, and still less about those in agriculture.
The total estimate of 2,414,000 disabling injuries during 1943 repre
sents an increase of about 6 percent over the 1942 total. Fatalities
increased by about 300, to a total of 18,400. Permanent total disabili
ties remained nearly constant, at 1,700. Permanent partial impair
ments increased from 100,800 to about 108,000, and temporary total
disabilities rose to 2,285,900 from an estimated 1942 total of 2,147,000.
As in 1942, manufacturing outranked every other major industrial
group. It alone accounted for nearly 802,500 disabilities, of which
3,100 resulted in death and 34,400 in permanent impairments. Com
pared with the 1942 totals, injuries in manufacturing industries increased
by 26 percent. As already noted, however, the incidence of work
injuries showed practically no change from that of 1942, as indicated
by the relative frequency rates of 19.9 and 20.0 for 1942 and 1943.
The increase in injuries was matched by a proportionate increase in
total hours worked, and the frequency rate thus remained constant.
Estimated Number of Disabling Injuries During 1943, by Industry Groups
All disabilities
Industry group
Total
Permanent
total dis
abilities
Permanent
partial dis
abilities
To
To
To em
em
em
To em
ployees T otal ploy T otal ploy Total ploy
ees
ees
ees
All industry groups_____ 2, 414,000 1,961, 400
A g r icu ltu r e L ---------- - 311,900
75,400
Mining and quarrying 2__
91,100
96, 400
Construction 3_________
260,100 191, 400
Manufacturing 4________ 802, 500 788, 900
19, 700
19, 700
Public utilities_________
T rad e3------------------------- 268,400 215,100
Railroads0____. . . -----85,400
85,400
Miscellaneous transporta tio n 3------- _ _ _ _ _ _
146,000 125,400
Services, governm ent,
and miscellaneous industries3...........
_ _
423, 600 369, 000
1 Based on fragmentary data.
s Based largely on Bureau of Mines data.
s Based on small sample studies.
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Fatalities
Temporary total
disabilities
Total
To em
ployees
18,400 13, 400 1,700 1,400 108, 000 86,900 2, 285,900 1,859, 700
4,800 1,200
400
100 15, 600 3, 700 291,100
70, 400
200
200 4,200 4, 000
90, 000
85,000
2, 000 1, 900
200
200 12,800 9, 400 244, 600 180, 000
2,500 1,800
300
3,100 3,100
300 34,100 33, 500 765,000 752,000
500
500
400
400 (»>
18, 800
18, 800
(')
1,100
900
100
100 6,600 5, 300 260, 600 208, 800
200 5,900 5,900
200
78, 000
78,000
1, 300 1,300
1, 300 1,100
100
100
4,100
3,500
140, 500
120,700
200
200 24, 200 21,100 397, 300 346,000
1, 900 1,700
4 Based on comprehensive survey.
5 Less than 50.
• Based on Interstate Commerce Commission data
Wartime Development of the Aircraft Industry1
Sum m ary
TOTAL employment in the aircraft industry did not exceed 100,000
workers in January 1940; but in the latter part of 1943, when the peak
was attained, about 2,100,000 were at work. Since then employment
has been steadily declining and in August 1944 was slightly more than
1,800,000.
Increasing productivity has been of sufficient magnitude to permit
schedule attainment despite this 14-percent decline in employment.
The average airframe weight accepted per employee increased from 21
pounds in January 1941 to 96 pounds in May 1944. Along with this,
the number of completed airplanes accepted rose from 1,000 per
month early in 1941 to between 8 and 9 thousand per month thus far
in 1944. Whereas about 4 million pounds (including weight of spare
parts) were accepted monthly in the beginning of 1941, approximately
100 million pounds per month were being accepted in 1944.
Prime contracting airframe, engine, and propeller plants are the
most important subdivisions of the industry, accounting for approxi
mately two-thirds of total employment. Airframe prime contractors
alone employ from 45 to 50 percent of the total. This group, with
about 59,000 workers in January 1940, reached an employment peak
of 936,000 in November 1943 and declined 18 percent to 769,000 in
August 1944. The number at work in engine plants increased 21
times from 16,000 at the beginning of 1940 to a peak of 340,000 by
February 1944 but decreased 7 percent to 317,000 by August. Pro
peller employment advanced from only 3,000 in January 1940 to
57,000 by the end of 1943. The August 1944 figure was 53,000 or 6
percent less.
The important role played by women workers in the aircraft pro
gram is measured by the ultimate employment of almost 500,000
women engaged in the production of airframes, engines, and propellers
as compared with 23,000 in January 1942. Women represented 40
percent of the labor force in airframe plants and approximately 30
percent in engine and propeller plants in August 1944, whereas in
January 1942 they had accounted for only about 5 percent.
Because of the possibility of enemy attack, the coastal location of
aircraft plants was a source of grave concern. In 1940, about 95 per
cent of total airframe employment was in plants on both coasts, but
by 1943 this was reduced to 61 percent. More important, in view of
the threat from Japanese aircraft carriers, was the fact that the pro
portion on the West Coast was reduced from 60 to 33 percent. Engine
and propeller plants, formerly concentrated on the East Coast, had
approximately 40 percent of their employment in Ohio and Michigan
by 1943.
Separation rates have been higher in airframe plants than in engine
and propeller plants, but have been consistently lower than the
average for manufacturing as a whole.
Engine and propeller workers reported higher earnings than did
airframe workers, but employees in all three branches of the industry
showed an increase in income.
1 Prepared in the Bureau’s Division of Construction]and Public Employment, by Leonard G .Levenson.
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910
Monthly Labor Review—November 1944
Description of the Industry
Prior to World War II tlie aircraft industry was a relatively un
important segment of transportation-equipment manufacturing.
Within 4 years it has become one of the Nation’s major industries in
terms of employment and output. This report traces the industry’s
meteoric rise as measured by employment and related factors.
The aircraft industry is composed of eight subdivisions. These are
airframes, gliders, special-purpose aircraft, engines, propellers, sub
contractors, parts suppliers, and modification centers.
The airframe plants are by far the most important in terms of
both employment and function. Plants so designated assemble the
fuselage, wings, and tail fabricated on their own premises and those of
their subcontractors and, in addition, install the engines, propellers,
instruments, and accessories necessary to complete the airplane for
delivery. The airframe plant, often called the airplane plant, is
truly a plant of final assembly, for it represents that stage at which a
long series of assemblies culminates in the finished product.
Glider and special-purpose aircraft are part of the airplane family.
The glider is simply an unpowered airplane. Special-purpose air
craft are primarily targets which are small, powered, pilotless air
planes controlled by radio and used in training aerial gunners. Both
types of craft are simple to build. The quantities needed, however,
have been relatively small in comparison with total requirements.
Production of aircraft engines calls for facilities specializing in the
machining and assembling of an item requiring extremely close
tolerances. This is reflected in the high proportion of skilled workers
employed. However, immediate adoption of mass-production tech
niques was made possible by the size of the unit, the great numbers
of engines required, and the relative stability of design. The expe
rience of the automobile industry in this type of production was used
to good advantage. The manufacturing process is completely dif
ferent from that of airframes, with the result that engine plants
(which are virtually giant machine shops) cannot perform the opera
tions of airframe plants which are enclosed assembly areas with high
ceilings and wide bays.
The propeller branch of the industry also is highly specialized. Al
though a propeller may at first sight appear to be simple, it is actually
extremely complicated. A large proportion of skilled workers is re
quired in its production. The machined parts going into the hub of a
propeller require the closest tolerances. The blades must be per
fectly balanced. Furthermore, as changes are made, to improve the
effectiveness of propellers in connection with existing engines or im
proved engines, they become more complex and continue to rely on
highly skilled workmanship. Like engine plants, propeller plants are
one-purpose establishments.
The producers discussed thus far are classified as prime contractors.
They enter into a contractual obligation directly with the Govern
ment to deliver a finished product within a specified time. The ac
cepted item must meet specifications, but how the job is to be done
remains the responsibility of the prime contractor. The war brought
with it pressure for unprecedented production in the shortest possible
time. The aircraft industry met the challenge by subcontracting
much of the work formerly done within the plant. Naturally, the
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
911
ability to maintain the close tolerances of the aircraft industry was
a major criterion in the selection of subcontractors. Many auto
mobile plants took on the job of making items such as wing sections,
fuselage sections, or tail assemblies, while plants in other industries
did wliat they could to assist in aircraft production. As the pro
gram progressed and some of the prime contractors completed their
jobs, they in turn took on subcontract work. It is estimated that a
fifth of total airframe production, a third of engine, and a fourth of
propeller production has been accomplished by subcontractors.
Parts suppliers are relied upon to furnish many of the items that
go into the finished airplane. This branch of the industry is com
posed of specialists in their respective fields, devoting their attention
to such products as instruments, turbo-superchargers, generators,
and the like. The war naturally resulted in expansion in this seg
ment of the industry, and new specialists entered the field. In order
to maintain standardization and simplify procurement of items com
mon to several airplane models, the Government has followed the
policy of contracting for equipment which is then turned over to
manufacturers for installation. Allocation of scarce items is made
in accordance with the relative need for different types of airplanes.
Modification centers are a war innovation. When the airplane
shortage was particularly acute, the latest changes in aeronautical
design were incorporated into completed planes by modification
centers until such changes could be introduced in the production line.
In addition, these plants installed special equipment on combat
planes, to prepare them for flying conditions in different theaters of
operation. Improved production techniques and the current supply
of aircraft are now such that in many cases the function of modification
centers can conveniently be taken over by the airframe plants them
selves.
Coverage.—The basic data for this report were secured from the
Aeronautical Monthly Progress Reports developed by the Army Air
Forces, and from the Bureau’s reports on labor turnover and on
hours and earnings. Arrangements have been made whereby all
prime contractors of airframes, engines, propellers, gliders, specialpurpose aircraft, and modification centers submit detailed data
monthly on these schedules. Prime contractors now account for
about 65 percent of the industry’s total employment. Subcontractors
and parts suppliers are not direct reporters under this program for the
aircraft industry as such, but the data submitted by prime contractors
include the basis for estimating off-site man-hours spent, permitting an
estimate of the level of employment for these branches of the in
dustry. Within the reporting group, glider, special-purpose, and
modification-center employment is relatively unimportant, repre
senting less than 5 percent of the total. Consequently, in the present
article major emphasis is placed on the prime contracting airframe,
engine, and propeller plants in tracing the industry’s progress.
Em ploym ent Trends
In January 1940 total employment in the entire aeronautical
industry probably did not exceed 100,000 workers. When peak
employment was attained in the latter part of 1943, about 2,100,000
were at work-—20 times the number 4 years earlier. In August 1944
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
employment was approximately 1,800,000, or 14 percent below the
peak (table 1).
From not quite 80,000 workers employed in prime contracting
airframe, engine, and propeller plants at the beginning of 1940, the
figure rose to over 1,300,000 by the end of 1943, or to 16 times the
previous figure (table 2). The greater part of th e ,expansion took
place within a 2-year span. This is one of the most striking accom
plishments of the war and resulted in the creation, in record time,
of the world’s most powerful air force.
Airframe plants now employ about two-thirds of the workers in
prime contracting establishments, engine plants a little over a fourth,
and propeller plants only about 5 percent.
T a b le 1.— Total Employment in the Aircraft Industry, by Type of Contractor,
January 1942-August 1944 1
[In thousands]
1942
Month
Total
January....................
February________
March___________
A p ril.. _________
M ay_____________
June_____________
July-------------------August__________
September_______
October___ . _
November_______
December_____ _
618.4
682.8
735.1
792.6
848.2
930.0
1,000. 3
1,099.4
1,179.8
1, 280. 3
1, 384. 3
1, 496.5
1943
Subcon
Prime tractors
and
contrac parts
tors 2
sup
pliers 8
460.4
501.8
538.1
572.6
611.2
664.0
710.3
772.4
819.8
879.3
939.3
1,003. 5
158.0
181.0
197.0
220.0
237.0
266.0
290.0
327.0
360.0
401.0
445.0
493.0
Total
1,609. 3
1,681.2
1, 739.4
1,789. 9
1,836. 6
1,895. 3
1,941. 5
1,980. 7
2,032. 3
2,073. 9
2,101. 6
2,079.1
1944
Subcon
Prime tractors
and
contrac parts
tors 2
sup
pliers 8
1,064. 3
1,111.2
1.148.4
1,180.9
1,211.6
1,252.3
1.281.5
1,304. 7
1, 338. 3
1, 364. 9
1, 382.6
1, 369.1
545.0
570.0
591.0
609.0
625.0
643.0
660.0
676.0
694.0
709.0
719.0
710.0
Total
2.079.9
2, 062.7
2, 018.1
1.986.9
1, 956. 5
1,909.6
1,883.4
1,811.0
Subcon
Prime tractors
and
contrac parts
tors 2
sup
pliers 8
1,368.9
1, 356. 7
1, 327.1
1,305. 9
1,285. 5
1,254. 6
1,235.4
1,186.0
711.0
706.0
691.0
681.0
671.0
655.0
648.0
625.0
1 All data are as of end of month.
2 Includes actual employment of airframe, engine, propeller, glider, and special-purpose aircraft plants,
and modification centers.
8 Estimated; includes employment in many plants classified by the Bureau’s Employment Statistics
D ivision in other industries, such as electrical equipment and automobiles; all establishments having sub
contracts are included, even when aircraft and parts do not constitute their primary activity.
Airframe prime contractors had an estimated 59,000 persons at
work in 21 facilities2in January 1940. During the course of the year,
employment more than doubled, reaching 134,000. The monthly
net increase averaged 7,000 workers. The net increase in 1941 was
180,000, an average of 15,000 per month, and when Pearl Harbor was
attacked, employment had exceeded 300,000. Immediately after
ward, expansion was greatly accelerated largely because of the comple
tion of new plants. The first half of 1942 witnessed an average month
ly increase of 26,000 workers, but the average monthly gain for the
last half of 1942 jumped to 43,000. The greatest increase in any one
month occurred in December 1942, when 49,500 workers were added.
Not only were existing plants expanded, but new plants were put into
operation. There were 54 facilities at that time as compared with 21
in 1940. Thus, by December 1942, employment stood at 730,000, a
net increase of 417,000 workers over the end of 1941.
2 The term facility as used in this report represents a single plant fabricating a complete airframe, engine,
or propeller, or different plants working under the same corporate management and together as a unit
fabricating the complete airframe, engine, or propeller.
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Wartime Development in Aircraft Industry
T a b le 2. — Total Employment in Prime Contracting Airframe, Engine, and Propeller
Plants, January 1940-August 1944 1
Total employment in—
Total employment inTear and
month
Engine
All plants Airframe
plants
plants
Pro
peller
plants
mo
January 2~
February-.
M arch____
A pril...........
M a y ............
June______
July______
A ugust___
Septem ber.
October___
N ovem ber.
December...
59,000
62,125
65, 518
71,116
77,246
85, 744
93, 799
101,030
108,710
117, 637
125,501
133,654
16,000
17, 433
19,106
20, 671
23,176
24,825
28,042
29, 738
32,392
33, 290
36,129
38,848
2,500
2,858
3,118
3,395
3,644
4,129
4,373
4,525
4,952
5,426
5,664
5, 987
194,135
204,962
216,156
231,102
246,006
269,059
293,661
319,125
341,450
371, 247
391,453
423,027
146,197
153, 554
161, 231
172, 240
183,134
200,260
218,925
238, 549
255, 796
276,810
291, 574
313, 297
41,329
44,143
47, 205
50,461
53,960
59, 381
64,813
70,213
74, 710
82,907
87, 544
96, 746
6,609
7, 265
7, 720
8,401
8,912
9,418
9,923
10, 363
10,944
11, 530
12, 335
12, 984
460, 356
501, 753
538,060
572, 616
341,603
368, 669
390, 278
412,927
104,156
116, 804
129,387
138,974
14, 597
16, 280
18, 395
20, 715
1942
January___
February. .
M arch____
April.........
Engine
All plants Airframe
plants
plants
Pro
peller
plants
1942—Con.
77, 500
82,416
87, 742
95,182
104,066
114, 698
126, 214
135, 293
146,054
156, 353
167, 294
178,489
1941
January___
February. .
M arch____ :
A p ril..........
M a y ...........
June______
July______
August____
September.
October___
N ovem ber.
D ecem ber..
Year and
month
M a y ......... .
June______
J u l y . . ........
A u g u st___
September.
October___
Novem ber.
December..
611,272
653,033
695,359
753, 425
796, 954
852,862
910,932
970,359
439,188
470,765
505, 274
553, 240
589,503
635,056
680, 535
729, 995
148,738
156,964
162,893
170, 680
176,597
185, 387
195,869
204,177
23,346
25,304
27,192
29, 505
30,854
32,419
34,528
36,187
1,027,914
1,072,573
1,106,664
1,139,018
1,166, 555
1, 203, 479
1, 233,385
1,257,427
1, 290,181
1,311,765
n , 326,345
H, 310, 799
770,471
800,055
819, 848
839, 349
856, 244
881,139
900,584
907, 098
924,872
931,109
936,466
922,859
219,084
232,186
244, 434
255, 547
263,684
273, 798
282,944
297,329
310,573
325,916
336,128
333,303
38,359
40,332
42, 382
44,122
46, 627
48, 542
49,857
53,000
54,736
54,740
2 53,751
2 54, 637
31, 307,953
1, 295, 791
1, 267, 657
1, 247,182
1, 227, 724
1,197, 974
1,180,866
1,139,919
913,091
898, 865
875,423
856, 325
840, 351
811, 623
796, 976
769,282
337,698
339,833
335,614
334,458
332,149
331,667
329,620
317,346
2 57,164
57,093
56, 620
56, 399
55, 224
54, 684
54,270
53,291
194S
January__
February..
March____
April_____
M ay______
June___ .
July______
A u g u st___
September.
October___
N ovember.
December..
1944
January___
February. _
March____
April_____
M ay______
June___
July______
August___
1 All data are as of end of month.
2 Estimated.
2 A change in propeller coverage occurred in December 1943 and January 1944, adding 1,500 workers m
December and 2,500 more in January. If November and December data were placed on a comparable
basis with those for January and subsequent months, propeller employment would be 57,400 and 57,100,
respectively, and the corresponding figures for total employment would be 1,330,000 and 1,313,300. Revised
figures are not being published for months prior to November or for November and December since the per
cent of difference would be insignificant in most months, and the revised series would differ from the official
series used by the Army Air Forces and the Aircraft Resources Control Office.
Employment continued upward in prime contracting airframe plants
during the first 11 months of 1943, though at a slower pace. The
monthly average increase for the period was down to 19,000, reflecting
the general tightening of the labor market and the completion of the
program of staffing needed at the levels of efficiency that had been at
tained. In November 1943 peak employment of 936,000 was reached,
or more than 15 times the 59,000 so employed at the beginning of 1940.
Since November the employment level has been receding steadily.
The average monthly decrease for the 9-month period—November
1943 to August 1944—was close to 19,000 workers. By the end of
August, airframe employment had dropped to 769,000, a decline of
167,000 or 18 percent from the peak. It is significant, however, that
output has continued to increase despite the employment decline
as a result of increasing productivity.2
The need for multiple-engine airplanes resulted in extremely high
engine requirements. The automobile industry provided valuable
2 See section on production trends, p. 929.
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Federal Reserve Bank of St. Louis
914
Monthly Labor Review—November 1944
assistance on this problem and consequently is well represented in the
engine phase of aeronautical production. Pratt & Whitney engines
are being manufactured by Buick, Chevrolet, Ford, and Nash;
Wright engines by Chrysler and Studebaker; and Rolls-Royce Merlin
engines by Packard. By the time the engine industry reached peak
employment, 50 percent of the workers employed in engine manufac
ture were under automobile management.
At the beginning of 1940 there were only about 16,000 at work in
engine plants and nearly 90 percent were employed by two firms—
Pratt & Whitney and the Wright Aeronautical Corporation. The
engine branch of the industry more than doubled its employment
during 1940 as a result of the impetus given by the European war,
ending the year with almost 39,000 workers. By the end of 1941
employment was in the vicinity of 97,000, nearly 2% times the num
ber at the end of 1940. Engine plants were able to recruit and train
employees in sufficient numbers to add an average,of 9,000 per month
in 1942, and an average of 11,000 per month in 1943. This continued
expansion raised employment to 204,000 in December 1942 and to
333.000 in December 1943. The peak was not reached until Feb
ruary 1944 when 340,000 were at work in 19 facilities. Since then
employment has declined each month, although horsepower produced
has remained about the same. The number at work dropped to
317.000 by the end of August 1944—a decline from peak of 22,500 or
7 percent.
The rapid expansion experienced by the propeller branch of the
industry paralleled that of engines. There were fewer than 3,000
workers engaged on propeller production in 1940, representing the
total employment of the only two producers in the field, Hamilton
Standard and Curtiss Propeller Division. These two doubled their
employment by the end of the year. Three more facilities entered
the industry in the following year, so that employment more than
doubled, reaching 13,000 by December 1941. By the end of 1942
there were 9 propeller facilities in operation and employment had
made an almost threefold expansion over 1941. The peak of 57,000
was attained toward the end of 1943.3 However, by August 1944
the figure dropped to 53,000, or 6 percent, following closely the
decrease in engine employment.
The effective use of the glider as a tactical weapon was disclosed
in the German invasion of Crete in May 1941. In June 1942 there
were about 2,000 persons at work in this phase of the aircraft pro
gram. Thereafter expansion was very rapid, as evidenced by the
December 1942 employment figure of 12,000. The peak came toward
the end of 1943 when 16,000 were employed, but the figure was again
down to 12,000 by June 1944 and remained without change thereafter.
The modification centers came into existence in the middle of ¡1942
and by the end of the year employed 20,000 workers, This figure
more than doubled during 1943, and during the first 6 months of 1944
employment rose to about 43,000. It remained fairly constant up
to July but declined to 33,000 by the end of August.
3
A change in propeller coverage occurred in December 1943 and January 1944, adding 1,500 workers in
December and 2,500 more in January. If November and December data were placed on a comparable
basis w ith those for January and subsequent months, propeller employment would be 57,400 and 57,100.
respectively.
•
• ■
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
915
Roughly, 1 worker is employed by subcontractors and parts suppliers
for every 2 workers engaged in plants of final assembly. Toward the
end of 1943 and the beginning of 1944, subcontracting plants em
ployed about 700,000 workers (table 1). It is reasonable to expect
an employment decline in these facilities commensurate with that of
final assembly plants, since they are so closely affiliated. Accord
ingly, employment among subcontractors is estimated to have been
about 650,000 by mid-1944 and 625,000 in August.
T R E N D S IN E M PL O Y M E N T O F W O M E N
Competition of other war industries and the armed services for
manpower made it plain that production schedules could be met in
the aircraft industrv only by extensive employment of women
workers. There was at first reluctance to hire women for jobs cus
tomarily filled by men, but by 1942 the industry had recognized the
need for making the adjustments necessary for the mass hiring and
utilization of this new and inexperienced labor force. The signifi
cant role eventually played by women in aircraft production may be
measured by the fact that whereas these plants had practically no
women workers before the war, toward the end of 1943 prime con
tracting airframe, engine, and propeller plants employed almost
500,000—37 percent of the entire work force (table 3).
The airframe branch of the industry had numbers of jobs that
could be broken down and thus performed, after only nominal training,
by inexperienced women workers. At the beginning of 1942, the
18,700 women employed in prime contracting airframe plants con
stituted only 5.5 percent of total employment. Within that year
alone, female employment showed a more than twelvefold increase,
and finally in December comprised exactly one-third of the entire
labor force. Although expansion did not continue at this rapid
pace, some increase occurred in each succeeding month until in
November 1943, when the peak female employment of 370,300 was
attained, women represented practically two-fifths of the work force.
Thereafter the number of women workers declined, along with the
drop in total employment, but their proportion of the total remained
about the same. It is beyond the scope of this report to examine the
volume of female employment in individual airframe plants. It is,
nevertheless, interesting to note that at peak employment, three major
plants had more women than men on their pay rolls.
The total number of employees required by engine plants was a
great deal smaller than that needed by airframes. This branch of the
industry, therefore, delayed large-scale hiring of women. Early in
1942 there was a female work force of nearly 4 percent of the total
employment, which expanded to 17 percent by the end of the year as
compared with the 33 percent for airframes. Nevertheless, this
represented more than a sevenfold increase, from 3,900 in January
to 34,100 by December. The engine plants apparently felt their
manpower squeeze in 1943, for by November, when peak female
employment was attained, they had 103,100 women workers who
made up 31 percent of the labor force. There has been some decrease
since then, especially between July and August 1944, but the number
has remained at about 100,000 and the proportion at about 30 percent.
6 1 4 1 1 2 — 44-
-2
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Federal Reserve Bank of St. Louis
916
Monthly Lahor Review—November 1944
T a ble 3.— Total Female Employment in Prime Contracting Airframe, Engine, and
Propeller Plants, January 1942-August 1944 1
Number of women in-
Percent of total employment
Year and month
All
plants
19W
January................
February.............
March...................
April................... .
M ay.................... .
June_____ ____ J u ly .................
A ugust------------September...........
October................
November...........
December........ .
ms
January...............
February______
March......... .........
April.......... ...........
M ay......................
June......................
July.......................
A u g u st................
September......... .
October................
November_____
December______
19U
January................
February.............
March...................
April.....................
M ay......................
June......................
J u ly ................
August..................
Airframe
plants
All
Propel
Engine
plants ler plants plants
Air
frame
plants
Pro
Engine peller
plants plants
23,137
30,218
38,455
48,009
60, 350
77,135
95, 482
119,967
153,301
196,665
237,002
280,497
18,656
24,226
30,448
38,442
48,218
63,307
79, 346
100, 966
131,351
168,993
202, 542
240, 595
3,920
5,352
7.040
8,225
10,348
11,686
13, 565
15, 913
18,480
23, 517
29,394
34, 090
561
640
967
1,342
1,784
2,142
2,571
3,088
3,470
4,155
5,066
5,812
5.0
6.0
7.1
8.4
9.9
11.8
13.7
15.9
19.2
23.1
26.0
28.9
5.5
6.6
7.8
9.3
11.0
13.4
15.7
18.2
22.3
26.6
29.8
33.0
3.8
4.6
5.4
5.9
7.0
7.4
8.3
9.3
10.5
12.7
15.0
16.7
3.8
3.9
5.3
6.5
7.6
8.5
9.5
10.5
11.2
12.8
14.7
16.1
321,788
351,752
370, 635
387, 092
402,385
421, 548
435, 468
449, 938
468,169
479, 923
2 486, 073
2 472, 519
274,248
295, 743
309,129
319,329
328, 740
340, 288
347,494
353, 656
363,952
367, 701
370, 262
358,823
41,247
47,889
52,779
58,110
62,873
69, 730
75,970
83, 694
91, 353
99,199
103,112
100,657
6,293
8,120
8,727
9,653
10, 772
11,530
12,004
12, 588
12,864
13, 023
2 12, 699
2.13, 039
31.3
32.8
33.5
33.9
34.5
35.0
35.2
35.7
36.2
36.5
36.7
36.0
35.6
37.0
37.7
38.0
38.4
38.6
38.6
39.0
39.3
39.5
39.5
38.9
18.8
20.5
21.6
22.7
23.8
25.4
26.8
28.1
29.4
30.4
30.7
30.2
16.4
20.1
20.5
21.9
23.1
23.7
24.1
24.2
23.5
23.8
23.6
23.9
2 466, 292
461, 074
454,412
448,066
445, 725
439, 503
• 435,608
419, 216
351, 509
346, 028
339,296
333,316
331,295
324,262
319,055
307,699
100,743
100,732
100, 450
99, 704
99,434
99, 929
101, 217
96,417
2 14, 040
14,314
14, 666
15,046
14,996 '
15,312
15, 336
15,100
35.7
35.6
35.8
35.9
36.3
36.7
36.9
36.8
38.5
38.5
38.8
38.9
39.4
40.0
40.0
40.0
29.8
29.6
29.9
29.8
29.9
30.1
30.7
30.4
24.6
25.1
25.9
26.7
27.2
28.0
28.3
28.3
1 All data are as of end of month. D ata are not available prior to 1942.
2 A change in propeller coverage occurred in December 1943 and January 1944, adding 450 women workers
in December and 450 more in January. If November and December data were placed on a comparable ba
sis w ith those for January and subsequent months, employment of women in propeller plants would be
13,600 and 13,500, respectively, and the corresponding figures for total female employment would be 486.900
and 473,000. Revised figures are not being published for months prior to November or for November and
December, since the percent of difference would be insignificant in most months, and the revised series
would differ from the official series used by the Army Air Forces and the Aircraft Resources Control Office.
Total labor requirements in propeller plants were considerably
lower even than for engine plants, and many jobs were not adaptable
to women workers. In January 1942 there were fewer than 600
women propeller workers—nearly 4 percent of total employment. By
the end of the year 5,800 women were at work. As these represented
16 percent of the total, this branch of the industry kept pace with
the engine branch which ended 1942 with a woman work force of 17
percent. Addition of female workers in propeller plants continued
steadily throughout 1943. By the end of that year the approximately
13,000 employed were nearly a fourth of the labor force. Female
employment in propeller plants did not reach peak until July 1944,
when 15,300 workers, or 28 percent of total employment, were women.
This was not quite the proportion (31 percent) attained in engine
plants.
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry-
917
Em ploym ent D istribution
LABOR-MARKET AREAS
An indication of the recruitment task which confronted aircraft
management and assisting governmental agencies may be gauged by
an examination of the industry’s employment, as shown by War Man
power Commission labor-market-area classifications.4 During each
month of 1943 and of 1944 through August, more than half of the
total workers in prime contracting airframe, engine, and propeller
plants were in Group I areas, i. e., areas of existing labor shortage
(table 4). If plants in areas of labor stringency are included (Group
II), about 85 percent of total employment is accounted for during
1943 and approximately 80 percent through August 1944. Airframe
plants throughout the period had far more employment in Group I
areas than did engine and propeller plants. Propeller plants had
least employment in areas of labor shortage. The proportion of both
airframe and propeller Group I employment decreased during the
period January 1943-August 1944, while engine employment tended
to increase. The recruitment problem should, of course, be considered
on a case basis, for conditions vary from locality to locality and in
many instances the plants themselves, because of their size, created the
labor-market conditions that existed. Nevertheless, the critical
manpower situation in general is readily apparent from consideration
of these data.
The location of airframe plants was such as to place 70 percent of
employment in areas of existing labor shortage (Group I) in January
1943. In February, the airframe proportion dropped to 66 percent,
and labor-market conditions continued to keep about two-thirds of
total employment in Group I until peak employment was reached in
November 1943. By December, 60 percent'was in Group I, but in
March 1944 the ratio declined to 55 percent where it remained through
June. Though the proportion in Group I advanced to 58 percent in
July and August, evidence of improved labor-market conditions was
apparent. Employment in Groups III and IV approximated 14 per
cent throughout 1943, as compared with 23 percent for the period
April through August 1944.
Engine plants have never had as much Group I employment as
airframe plants, but the volume in this classification increased rather
than decreased as time went on. Roughly, a third of engine employ
ment was in Group I areas from January through August 1943. For
the remainder of the year, the proportion approximated 45 percent.
Except for January, 47 percent of employment was in areas of labor
shortage during the first 7 months of 1944. In August the proportion
dropped to 40 percent. About 50 percentTof the employment was in
areas of labor stringency (Group II) at the*beginning of 1943, but the
ratio declined to nearly half of this by July 1944, rising in the following
month, however, to 40 percent. Whereas, during most of 1943,
approximately 15 percent of total engine employment was in areas
experiencing neither shortage nor stringency, this rose to almost
25 percent during 1944.
« Group I—areas of current labor shortage; Group II—areas of labor stringency and those anticipating a
labor shortage within 6 months; Group III—areas in which slight labor reserves will remain after 6 months;
and Group IV —areas in which substantial labor reserves will remain after 6 months. Throughout this
discussion the labor-market classifications are current as issued monthly by the War Manpower Commis
sion. For example, an increase in percentage of employment in Group I areas may be caused either by an
increase in the number of areas classified as Group I or by an increase in actual employment.
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
918
T a ble 4.-—Percentage Distribution of Airframe, Engine, and Propeller Employment
by WMC Labor-Area Classification, January 1943-August 1944 1
1943
Type of plants and WMC
labor-area classification 2
Janu Febru March April
ary
ary
M ay
June
July
AuSep- Octo
gust tember ber
All plants_____
Group I ___
Group II__
Group III...
Group I V ...
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
61.3
22.7
10.3
5.7
57.6
29.0
7.8
5.6
56.4
30.3
7.8
5.5
58.6
26.4
8.5
6.5
57.7
27.0
8.9
6.4
57.1
27.6
9.0
6.3
56.9
28.1
9.3
5.7
56.0
29.0
9.3
5.7
61.0
24.5
8.9
5.6
58.0
26.2
10.3
5.5
Airframe plants.
Group I ___
Group II__
Group III—.
Group IV ...
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
68.1
66.7
19.0
66.2
7.3
6.0
20.0
7.2
65.8
20.3
6.4
7.5
18.2
5.4
7.1
67.0
19.1
100.0
68.6
100.0
64.6
23.0
5.4
7.0
Engine plants.
Group I ...
Group I I ..
Group III.
Group IV-
100.0
100.0
100.0
100.0
100.0
100.0
100.0
12.6
45.4
39.5
12.9
1.7
1.4
32.7
51.3
14.6
1.4
45.1
39.9
20.2
34.2
51.8
12.5
1.5
100.0
1.2
2.2
Propeller plants.
Group I ___
Group II___
Group I I I - .
Group I V ...
100.0
100.0
100.0
100.0
100.0
27.5
44.9
27.6
26.4
45.7
27.9
27.5
45.8
26.1
26.6
46.0
26.7
.7
100.0
20.8
45.0
34.2
47.7
32.3
70.4
15.8
6.6
35.2
42.9
65.7
21.8
35.0
51.0
.6
17.9
5.7
8.3
6.0
8.3
100.0
6.6
6.1
8.1
100.0
33.1
50.9
14.6
1.4
32.8
51.5
14.4
1.3
34. 1
50.6
14.1
100.0
100.0
100.0
100.0
26.0
44.5
28.5
26.3
43.1
29.2
1.4
11.4
57.3
29.8
1.5
10.7
55.5
32.2
33.5
50.2
14.9
1.4
1.0
1943- Con.
Type of plants and W MC
labor-area classification 2
19.6
1.6
7.2
64.7
8.2
7. 1
12.8
2.2
20.0
1944
N o
vem
ber
D e
cem
ber
Jan
uary
*February March April
M ay
June
July
All plants__________ _______ 100.0
Group I ________________ 58.0
26.4
Group I I ... ___________
Group I II .. ______ . .10.4
Group IV ______________
5.2
100.0
54.5
29.9
10.3
5.3
100.0
51.6
31.2
10.9
6.3
100.0
55.6
25.8
12.0
6.6
100.0
51.3
28.9
13.5
6.3
100.0
51.0
25.9
17.3
5.8
100.0
50.4
26.8
16.9
5.9
100.0
50.7
26.6
17.1
5.6
100.0
53.2
22.2
19.2
5.4
100.0
50.7
26.9
11.3
11.1
Airframe plants____________ 100.0
Group I . . . _____________ 65.0
Group II___ . . ______ _ 20.2
7.9
Group III______________
6.9
Group IV _______ _____ _
100.0
60.3
25.0
7.6
7.1
100.0
60.2
25.3
5.9
8.6
100.0
61.6
22.1
7.7
8.6
100.0
55.4
26.4
9.8
8.4
100.0
55.1
22.1
14.7
8.1
100.0
54.2
22.8
14.8
8.2
100.0
54.8
22.5
15.2
7.5
100.0
57.6
16.9
18.1
7.4
100.0
57.6
18.1
11.4
12.9
Engine plants________ _____
Group I _______________
Group I I .. ____________
Group III___ _________
Group IV ______________
100.0
44. 7
40.4
13.8
1.1
100.0
44.4
40.0
14.4
1.2
100.0
35.4
41.7
21.7
1.2
100.0
47.4
29.3
20.9
2.4
100.0
47.4
29.5
21.2
1.9
100.0
47.6
29.0
22.4
1.0
100.0
47.5
28.2
23.3
1.0
100.0
47.5
27.7
23.4
1.4
100.0
47.9
27.0
23.6
1.5
100.0
40.4
39.5
11.6
8.5
Propeller plants____________ 100.0
Group I ________________ 20.3
Group II_______ _____ 47.6
Group III______________ 32.1
Group IV _________ ____
100.0
19.7
50.0
30.3
100.0
9.5
64.5
26.0
100.0
9.6
64.3
26.1
100.0
9.6
64.4
26.0
100.0
9.6
65.0
25.4
100.0
9.4
78.5
10.8
1.3
100.0
9.2
81.2
8.3
1.3
100.0
20.5
70.2
8.0
1.3
100.0
11.6
79.2
7.9
1.3
Au
gust
1 All data are as of end of month.
2 Group I—Areas of current labor shortage; Group II—Areas of labor stringency and those anticipating
a labor shortage within 6 months; Group III—Areas in which slight labor reserves will remain after 6 months;
and Group IV —Areas in which substantial labor reserves w ill remain after 6 months.
The propeller branch had about half of its employment in Group II
areas during 1943. However, beginning with January and continuing
through the first 8 months of 1944, Group II employment increased
from 65 to 80 percent. Sharp variations in employment in labormarket area classes indicate the preponderance of a few large plants
in the reporting sample causing major shifts which were of less signif
icance than might at first appear.
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
919
GEOGRAPHIC DISTRIBUTION
During World War I the sea was considered an adequate barrier
against the enemy, completely excluding the necessity of considering,
in the location of industrial facilities, the possibility of attack. The
product of the industry with which this report is concerned changed
all that. Because of the potentialities of the present-day airplane
as an offensive weapon, it could no longer be taken for granted that
the Atlantic and Pacific Oceans made this continent impregnable.
Consequently, the coastal location of the airframe, engine, and pro
peller plants at the outset of the war was a source of uneasiness.
Plans for new plants called for location within the interior of the
country. Existing facilities, however, were expanded, despite their
questionable location, because of the urgent need for airplanes. The
extent of the geographic dispersion of the industry is apparent from
the fact that at the time of the United States’ entrance into the war,
airframe, engine, and propeller plants were situated in 16 States as
compared with 25 States by the end of 1943. The shift in geographic
distribution can be visualized in more detail from consideration of
changes in the proportion of employment in the six Army Air Forces
Procurement Districts 5 as the industry grew (table 5).
In 1940, approximately 60 percent of airframe employment was in
the Western District and 35 percent in the Eastern District. Thus, 95
percent of the industry was in a vulnerable location. One year later,
almost 90 percent of the airframe workers were still on both coasts. It
was not until 1943 that the results of inward migration became appar
ent. By the end of that year, although 28 percent of employment
was in the Eastern District, the proportion in the Western District had
fallen to 33 percent. Thus, within a 3-year period the 95 percent
coastal employment was reduced to 61 percent, but especially impor
tant (in view of the threat from Japanese ship-based air power) was
the fact that the proportion on the West Coast decreased from 60 to
33 percent. Despite the inland shift, southern California continued
to be the most important airframe region. At the beginning of 1940,
the State of California had 32,000 airframe workers or more than half
of total airframe employment. By the time Pearl Harbor was at
tacked, this figure exceeded 150,000 and was 48 percent of the total.
Peak was reached in July 1943 with 280,000 at work, but the propor
tion of the total had fallen to 31 percent. New York was the only
other State that approached California in airframe employment; the
highest level attained in New York was slightly more than 135,000
in September 1943. The move inland is readily apparent from the
employment peak in 1943 of 41,000 for Oklahoma and 69,000 each
for Kansas and Texas.
Engine employment was found in 7 States in 1940, Connecticut
and New Jersey being the principal areas of production. Conse
quently, the Eastern District had from 80 to 90 percent of all engine
employment throughout the year. As a result of the entrance of the
automobile industry into this phase of aircraft manufacture, the
8 States included in Army Air Forces Procurement Districts are as follows: Eastern.—Connecticut, D ela
ware, Maine, Maryland, Massachusetts, N ew Hampshire, N ew Jersey, N ew York, Pennsylvania, Rhode
Island, and Vermont. Southeastern—Alabama, Florida, Georgia, Kentucky, M ississippi, North Carolina,
South Carolina, Tennessee, Virginia, and W est Virginia. Central.—Michigan and Ohio. Mid-Central.—
Illinois, Indiana, Iowa, Minnesota, and Wisconsin. Mid-W estern.—Arkansas, Colorado, Kansas, Louisiana,
Missouri, Montana, Nebraska, N ew Mexico, North Dakota, Oklahoma, South Dakota, Texas, and»Wyoming. Western.—Arizona, California, Idaho, Nevada, Oregon, Utah, and Washington.
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Federal Reserve Bank of St. Louis
920
Monthly Labor Review—November 1944
Central District (covering Ohio and Michigan), which had accounted
for only 2 to 5 percent of engine employment in 1940, contained 39
percent of the workers by the end of 1943. The proportion in the
Eastern District had declined to a third. Michigan led all other
States in engine employment by November 1943, with 97,600; this
figure was more than double that for either Connecticut or New Jersey,
the former leaders in the field. The West Coast, though first in air
frame production, had but one small engine plant^whose prime con
tracts were completedibyJmid-1943.
T a ble 5.—Percentage Distribution of Airframe, Engine, and Propeller Employment,
by A rm y A ir Forces Procurement Districts, June 1940-June 1944 1
1941
1940
Army Air Forces Procure
ment District
June
Decem
June
ber
1942
Decem June
ber
1943
Decem June
ber
1944
Decem
June
ber
All plants________________
E a ste r n --.__________ _
Southeastern___ . . . . .
Central___ _
______
Mid-Central__________
Mid-Western ________
W e ste r n ........... ............
100.0
48.1
.5
.3
2.9
2.3
45.9
100.0
46.5
.5
1.1
3.8
4.0
44.1
100.0
42.7
.9
4.7
3.4
5.6
42.7
100.0
36.2
.8
9.9
4.1
6.9
42.1
100.0
35.0
.7
15.8
5.2
10.0
33.3
100.0
33.7
.9
17.6
5.5
12.6
29.7
100.0
31.3
1.5
19.4
7.0
14.6
26.2
100.0
30.3
2.3
19.3
8.7
16.2
23.2
100.0
28.9
2.9
19.7
9.5
17.5
21.5
Airframe plants___________
Eastern_______________
Southeastern__ . . . . . .
Central. _____________
M id-Central__________
Mid-W estern_________
Western______________
100.0
35.0
.7
100.0
35.1
.7
100.0
33.2
1.2
.8
100.0
30.2
1.1
2.7
3.1
61.2
5.4
58.8
7.5
57.3
9.3
56.7
100.0
30.7
1.0
8.3
.1
13.8
46.1
100.0
30.5
1.2
11.6
.6
16.7
39.4
100.0
28.3
2.0
12. 6
2.0
19.4
35.7
100.0
28.1
3.2
11.1
2.6
22.0
33.0
100.0
27.1
4.1
11.4
2. 7
23.1
31.6
Engine plants___ _________
Eastern______________
Southeastern__________
Central_______________
M id-Central__________
Mid-W estern_________
W estern______________
100.0
84.8
100.0
77.4
100.0
66.6
100.0
49.9
100.0
44.0
100.0
41.7
100.0
37.6
100.0
33.0
1.5
13.3
5.0
17.2
17.6
15.5
33.1
16.7
36.5
19.3
36.0
22.2
.4
.4
.3
.3
.2
.1
38.0
22.5
1. 7
.2
38.6
25.6
2.8
100.0
30.4
.6
36.5
25.9
6.6
Propeller plants____ ______
E astern.,_ ___________
Southeastern__________
Central____________ . .
M id-Central__________
Mid-W estern___ 1...........
W estern___ ___________
100.0
100.0
100.0
100.0
100.0
92.3
100.0
79.1
100.0
61.8
100.0
52.9
100,0
51.3
100.0
49.7
100.0
48.0
7.7
12.4
8.5
27.5
10.7
37.0
10.1
37.6
11.1
40. 6
9.7
41 R
10.2
1 All data are as of end of month.
In 1940 all propeller employees were in the Eastern District, in the
States of Connecticut and New Jersey. As in the case of engines, the
assistance of outside industry had the effect of moving part of the
production inland. In December 1943, 50 percent of the employment
was in the Eastern and 40 percent in the Central District. In June
1944, Ohio had more propeller employment than any other State,
with almost 14,000 employees; and Michigan and New Jersey were
next, with 9,000 each; Connecticut had approximately 8,000 workers.
States on the West Coast had no propeller production.
Labor Turnover
The magnitude of the task confronting persons concerned with the
manning of aircraft plants becomes clearer when consideration is
given to turnover in the industry. Before additional workers could
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
921
be added to the labor force to provide for increased schedules, those
who quit or were drafted had first to be replaced. The recruitment
problem became more and more difficult as time passed because of
increasing competition for a rapidly depleting supply of labor. Thus,
in 1941, airframe, engine, and propeller plants had to hire 1,500
workers to increase employment by 1,000, but in the following year
to obtain the same increase it was necessary to hire 2,100 workers.
The situation was most critical in 1943, though this ratio was no
longer meaningful, as the rate of expansion slowed down. The main
cause of this situation was separations, 60 to 70 percent of which were
voluntary. In 1941, the average monthly rate for all separations was
3.3 per 100 workers. It rose to 5.3 in 1942 and to 5.7 in 1943 (table
6). To meet this situation the War Manpower Commission intro
duced certificates of availability and a controlled-referral program to
help keep the production lines manned. It should be noted, however,
that separation rates in airframe, engine, and propeller plants have
consistently been lower than the average for manufacturing as a
whole. The separation rate averaged 6.3 percent in the first 8 months
of 1944, but the increase over 1943 was due to an increase in discharges
and lay-offs and not to an increase in the quit rate.
It was more difficult to recruit and maintain the airframe branch of
the industry than the engine and propeller branches, not only because
more workers were required, but because airframe employees showed
a much higher incidence of quits than engine and propeller workers.
For the whole year 1941, approximately 30 airframe employees of
every 100 on the pay roll quit, as against only 17 in engine and pro
peller plants. These voluntary withdrawals remained at about the
same level in engine and propeller plants in 1942 but increased to
approximately 45 quits per 100 employees in airframe plants. All 3
branches recorded increases in 1943, but again the quits rose most in
airframe plants, advancing to 55 per 100 employees. There were 37
quits for every 100 employed in propeller plants in 1943 and only 30
in engine plants. The 1944 picture througii August remains sub
stantially the same, the poorest showing being made by airframe and
the best by engine plants. For a variety of reasons the quit rate
among female workers was roughly double that of males in 1943 and
somewhat less than double in 1944 (table 7). The female quit rates
have been highest in airframe plants. With women accounting for
40 percent of airframe employment and about 30 percent of engine
and propeller employment, the effect on separation rates is obvious.
The greater instability among airframe workers is understandable.
The difficulty is a basic one inherent in the mushrooming of an indus
try. The necessity for hiring thousands of workers in a short space
of time resulted in the acquisition of many inadaptable to factory
employment. Turnover is always greater among those newly hired
than among those with longer work experience in an establishment.
Reference has already been made to the larger proportion of women
in this branch of the industry and the effect of their higher quit rates.
Serious housing, transportation, and shopping problems have arisen
in centers of large airframe production, and these too have contributed
to the higher separations in this branch of the industry. This has
affected women especially, many of whom, with home responsibilities
as well, found continuous work 6 days a week impossible. Though
there is no record of the number of individuals quitting the industry
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
922
as opposed to those moving from one establishment to another, it
is significant that many of the quits have been temporary as indi
cated by the numbers rehired. Fortunately, airframe management
and labor have recognized the problems involved and have done
much to meet them in order to keep production lines fully manned.
4
T a b l e 6 . —Labor-Turnover
Rates (per 100 Employees) in Airframe, Engine, and Propeller
Plants,l January 1941—August 1944
[1944 figures revised]
Total airframe , engine, and propeller
plants
Year'and'month
Separations
Separations
Total
accèssions
Total
Quits
M ili
tary
All
other 2
8.3
124.1
43.0
30.2
3.6
9.2
.7
.7
.6
.7
.6
.7
.7
.5
.9
.6
.6
12.0
7.8
9.0
10.3
10.5
10.9
12.5
11. 4
10.5
10.6
8.2
10.4
3.5
3.5
4.1
3.7
4.0
3.0
3.3
3.6
3.6
3.9
3.0
3.8
2.4
2.3
2.4
2.8
2.8
2.3
2.4
2.8
3.0
2.7
2.1
2.2
17.2
8.2
134.6
72.0
45.2
18.0
8.8
.9
.7
.8
.9
.8
.9
1.3
1.8
2.4
2.8
2.2
1.7
.8
.6
.8
.6
.6
.5
.7
.7
.7
.7
.7
.8
11.2
8.0
8.7
10.0
9.9
12.0
12.5
13.0
13.6
13.3
12.4
10.0
4.1
3.9
5.4
6.1
5.6
4.9
5.7
7.1
8.1
8.0
6.9
6.2
2.4
2.6
3.6
4.4
4.0
3.5
3.7
4.3
4.8
4.4
3.9
3.6
1.0
.8
.9
.9
.9
.9
1.4
1.9
2.5
2.8
2.2
1.8
.7
.5
.9
.8
.7
.5
.6
.9
.8
.8
.8
.8
49.9
11.1
7.6
92.5
73.7
55.0
10.9
7.8
3.3
3.3
4.3
4.2
3.9
4.1
4.8
5.1
5.0
4.5
3.9
3.5
1.8
1.7
1.4
.9
.6
.7
.8
.8
.7
.7
.5
.5
.5
.5
.6
.5
.6
.7
.6
.5
.6
.6
10.5
9.1
8.9
7.4
7.1
8.5
8.3
7.3
8.1
7.5
6.0
3.8
6.1
5.9
6.7
6.0
5.5
5.9
6.6
6.9
6.9
6.2
5.7
5.3
3.7
3.7
4.8
4.6
4.3
4.6
5.2
5.6
5. 5
4.9
4.2
3.9
1.8
1.7
1.4
.8
.6
.7
.7
.8
.7
.7
.5
.5
.6
.5
.5
.6
.6
.6
• .7
.5
.7
.6
4.0
3.6
4.2
4.1
4.4
4.9
4.6
5.7
.6
.5
.8
.9
1.1
.8
.6
.4
5.0
4.0
3.8
3.7
4.5
5.6
5.0
4.5
6.1
5.5
6.9
6.1
6.7
8.0
6.4
8.7
4.3
4.0
4.6
4.3
4.7
5.4
4.9
6.2
.6
.5
.9
Total
accèssions
Total
Quits
M ili
tary
Annual rate 4
114.7
39.0
27.0
3.7
January,........
February___
M a r c h ...___
April_______
M ay_______
June.......... .
July________
August_____
September.
October____
N ovem b er...
December__
12.0
7.8
8.1
9.5
9.9
10.2
11.3
10.1
9.5
9.6
7.4
9.3
3.3
3.2
3.9
3.4
3.5
2.8
3.0
3.2
3.3
3.5
2.6
3.3
2.2
2.0
2.5
2.5
2.5
2.0
2.1
2.4
2.7
2.4
1.8
1.9
.4
.5
.4
.3
.3
.2
.2
.1
.1
.2
.2
.8
Annual rate 4_____
123.9
63.9
38.5
January__________
February..............
March___________
April____________
M a y .. .. _________
June____________
July___ _________
August__________
September_______
October_________
November_______
December_______
11.3
8.2
8.7
9.5
8.9
10.3
10.6
10.9
12.0
12.3
11.6
9.6
3.7
3.5
4.6
5.3
4.8
4.3
5.1
6.1
7.2
7.4
6.3
5.6
2.0
2.2
3.0
3.8
3.4
2.9
3.1
3.6
4.1
3.9
3.4
3.1
Annual rate 4____
91.4
68.6
January_________
February________
March__________
April____________
M ay____________
June____ ________
July_____________
August__________
September_______
October_________
N ovem ber_______
December_______
10.2
8.9
8.9
7.5
7.0
8.1
8.1
7.2
7.9
7.3
6.1
4.2
5.6
5.5
6.3
5.6
5.1
5.5
6.2
6.4
6.3
5.8
5.4
4.9
5.4
4.4
4.1
4.1
4.8
5.5
5.0
4.2
5.7
5.1
6.4
5.8
7.2
6.3
6.3
7.9
mi s
Airframe plants
All
other 2
1.0
.4
.4
.4 J
.3
.3
.2
.1
.1
.1
.2
.2
.9
.7
.8
1.3
.6
.9
.5
.8
.7
.5
1.0
.7
.7
1942 3
194$»
1944 5
J anuary_________
February________
March__________
April........................
M a y .____ _______
June.....................
July------------ -----August__________
See footnotes at end of table.
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Federal Reserve Bank of St. Louis
1.0
.9
1. 1
1.0
1.4
.8
.8
1.5
1.1
1.8
1.0
1.2
1.0
.7
.5
1.0
.9
1.2
1.0
1.4
.8
.8
1.6
.8
2.0
923
Wartime Development in Aircraft Industry
T a b l e 6 . — Labor-Turnover
Rates (per 100 Employees) in Airframe, Engine, and P ro
peller Plants, January 1941-August 1944— Continued
Engine plants
Year and month
Propeller plants
. Separations
Total
acces
sions
Total
Quits
M ili
tary
19413
Annual ra te4_____
90.0
27.3
17.2
3.2
January__________
February-- _____
M arch____ . . . __
April_____________
M a y ___ ____ _
June____ ___ -July_____________
August--- ______
September_____ . .
October ________
N ovem ber__ .
D ecem ber.. _____
12.0
8.1
6.1
7.6
8.6
8.5
8.3
6.7
7.1
6.7
4.9
5.4
1.9
2.3
3.5
2.5
2.3
2.3
2.3
2.1
2.5
2.4
1.4
1,8
r.o
1.2
2.9
1.6
1.6
1.3
1.2
1.2
1.8
1.6
.9
.9
.4
.5
.2
.4
.2
.3
.2
.1
.1
.2
.1
.5
1942 3
Annual rate 4_
93.1
40.8
19.1
January______
February_________
M a r c h ... _ . . . _
April__ _____
M ay_____________
June_____________
July_____________
August_________
Septem ber.. _ _
October_____ ____
N ovem ber__ _ _ _
December____ _
*11.7
8.2
8.5
7.8
6.3
6.2
5.7
4.8
7.4
8.9
9.3
8.3
2.4
2.3
2.7
3.4
2.9
2.9
3.4
3.3
4.6
5.0
4.4
3.5
1.1
1.3
1.6
1.9
1.7
1.6
1.6
1.4
1.9
1.9
1.7
1.4
1943 3
Annual ra te4_____
87.1
48.5
January_________
February___
M arch______
April_____
M ay ____ _______ _
J u n e . . ____ ____
July--------------------A ugust_______ . . .
September _____
October _____ _
November . . __ __
December_______
9.3
7.8
8.6
8.0
6.5
6.6
7.0
6.8
7.3
6.8
6.6
5.8
3.8
3.6
4.5
4.0
3.6
4.0
4.6
4.6
4.4
4.1
3.8
3.5
1944 5
January__________
February_________
March
_______
A p ril...
____
M a y -------------------June .
___ _____
July_____________
August___
____
7.0
5.6
5.0
5.3
5.6
5.2
4.8
3.2
4.3
4.0
5.0
4.9
4.9
5.1
5.7
5.9
Separations
Total
acces
sions
Total
Quits
M ili
tary
All
other 2
6.9
71.0
24.4
17.2
2.6
4.6
.5
.6
.4
.5
.5
.7
.9
.8
.6
.6
.4
.4
7.2
5.9
6.7
6.3
5.8
6.3
6.1
4.0
3.9
6.1
5.1
7.6
1.1
2.8
2.8
2.3
1.9
2.6
2.6
1.7
2.5
1.7
1.2
1.2
.9
1.2
1.5
1.7
1. 3
2.1
1.7
1.4
2.2
1.5
.9
.8
.1
1.2
.3
.1
.3
.1
.1
.1
(9)
.1
(6)
.2
.1
.4
1.0
.5
.3
.4
.8
.2
.3
.1
.3
.2
15.1
6.6
90.2
35.9
17.6
13.6
4.7
.7
.5
.5
.8
.7
.8
1.2
1.4
2.1
2.6
2.2
1.6
.6
.5
.6
.7
.5
.5
.6
.5
.6
.5
.5
.5
11.3
11.9
11.2
9.9
7.8
5.2
5.4
4.8
4.7
5.6
6.0
6.4
2.5
1.9
2.5
2.5
2.7
2.4
2.6
3.6
4.0
4.8
3.8
2.6
1.3
1.3
1.6
1.4
1.7
1.2
1.2
1.6
1.7
2.1
1.5
1.0
.9
.4
.5
.8
.6
.9
1.0
1.2
1.9
2.3
1.9
1.2
.3
.2
.4
.3
.4
.3
.4
.8
.4
.4
.4
.4
29.7
11.3
7.5
82.5
55.7
36.9
10.8
8.0
1.6
1.3
2.3
2.5
2.3
2.6
3.1
3.3
3.1
2.8
2.6
2.2
1.7
1.8
1.5
1.0
.8
.7
.8
.7
.7
.6
.5
.5
.5
.5
.7
.5
.5
.7
.7
.6
.6
.7
.7
.8
7.4
7.8
8.0
6.3
7.9
7.0
8.1
7.0
7.8
6.2
4.8
4.2
3.8
3.8
3.5
3.5
3.8
4.0
5.5
5.4
4.9
6.2
6.1
5.2
1.8
1.8
1.9
2.0
2.5
2.7
4.0
4.1
3.9
4.5
3.8
3.9
1.5
1.6
1.2
1.1
.9
.8
.7
.7
.6
.7
.6
.4
.5
.4
.4
.4
.4
.5
.8
.6
.4
1.0
1.7
.9
3.0
2.6
2.8
3.1
3.3
3.2
3.8
4.1
.6
.5
.7
.7
.6
.4
.3
.2
.7
.9
1. 5
i.i
1.0
1.5
1.6
1.6
4.7
4.4
4.0
5.1
4.6
5.7
6.3
4.6
4.8
4.3
4.7
6.1
7.3
5.7
6.4
6.5
3.4
3.0
3.4
4.6
4.9
4.7
5.3
5.5
.8
.7
.8
.9
.7
.4
.3
.3
.6
.6
.5
.6
1.7
.6
.8
.7
All
other 2
1 Turnover data are not strictly comparable with employment data, since they have been obtained
different sources and coverage is not identical.
2 Includes discharges, lay-offs, and miscellaneous separations.
3 Based on wage earners only.
4 Annual rates are the sums of the monthly rates per 100 employees.
5 Based on total employment.
6 Less than a tenth of 1 percent.
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Federal Reserve Bank of St. Louis
from
924
Monthly Labor Review—November 1944
T a ble 7. —Labor-Turnover Rates (per 100 Employees) in Airframe, Engine, and
Propeller Plants, by Sex, January 1943-August 19441
[1944 figures revised]
Total accessions
Year and month
All plants
Male
1943
January__________
February_________
M arch____________
April_________ __
M ay_______
-- June____ ________
July______ August- ______ . September_____
October___________
November—. ...........
December. ______ _
1944
J a n u a r y ___.
February___
March___ ____
April-. _____ _ -.
May_ ________
June______ ________
July_______________
A ugust____________
Female
7.5
6.7
7.0
6.3
5.5
6.4
6.5
5.8
6.6
6.0
4.9
4.5
3.5
3.1
3.2
3.5
4.2
3.8
3.3
Male
Female
Engine plants
Male
Female
7.8
6.9
7.2
6.5
5.7
6.9
7.0
6.1
7.0
6.4
5.1
17.0
13.2
11.9
9.8
9.3
11.2
10.4
9.3
9.9
9.2
7.4
18.9
14.0
14.2
13.1
19.2
10.0
11.0
9.5
10.9
9.5
4.5
3.5
4.1
6.9
6.1
6.1
5.9
4.7
4.6
4.4
4.5
5.0
4.5
4.3
3.9
7.1
6.7
6.1
5. 5
5.7
5.4
6.6
7.7
7.0
5.7
4.5
3.3
3.0
2.9
3.6
4.4
3.8
3.5
5.8
5.2
5.1
4.9
6.1
7.4
6.7
6.1
4.8
4.1
3.4
3.8
3.4
3.7
3.5
2.8
7.8
7.2
8.0
7.0
8.8
8.6
7.7
3.9
17.1
13.3
12.2
10.3
9.5
11.1
10.5
9.3
10.0
9.2
7.3
3.6
Airframe plants
Propeller plants
Male
4.4
5.8
6.5
5.1
6.1
6.3
7.4
6.6
7.2
5.6
4.6
3.9
3.4
3.8
3.1
4.0
3.6
4.4
5.3
4.2
Female
16.7
13.8
12.9
9.5
12.8
13.6
10.3
8.1
9.6
8.0
5.5
5.0
8.5
5.9
6.4
8.1
7.2
9.0
8.6
5.5
Total separations 3
Year and month
All plants
Male
1943
January.... ..................
February______ March____________
A p r il___
M ay _______ - __
June_______
July_______________
August ____September_____
October____ _
__
November____ ____
December_________
1944
January_________ February__________
March______ ______
April
_ ______
M ay
June_________
July__________ ____
A ugust.. _________
Female
Male
Female
Engine plants
Male
Female
Propeller plants
Male
Female
5.6
5.5
6.0
4.9
4.4
4.6
5.2
5.5
5.5
4.9
4.3
4.0
5.7
5.6
6.8
6.8
6.5
7.1
7.8
8.1
7.8
7.4
7.2
6.6
6.0
5.9
6.4
4.9
4.6
4.8
5.5
5.9
6.1
5.3
4.6
4.2
6.0
5.9
7.2
6.8
6.9
7.5
8.2
8.5
8.1
7.7
7.5
7.0
4.0
3.9
4.3
3.6
3.5
3.7
4.3
3.9
3.6
3.2
3.0
2.6
3.6
3.6
4.7
5.3
4.1
4.7
5.5
6.0
6.3
6.0
5.5
4.7
3.8
3.6
3.6
3.5
3.5
3.5
5.3
5.1
4.5
6.2
5.6
5.4
3.0
3.5
4.0
3.7
4. 5
5.3
6.3
6.4
6.1
6.3
7.3
4.4
4.7
4.3
5.7
5.3
5.8
6.3
5.2
6.8
7.3
6.4
7.5
6.8
7.2
8.7
7.9
9.8
5.1
4.7
6.2
5.6
6. 2
7.1
5.4
7.6
7.8
6.7
8.0
7.1
7.5
9.4
7.9
3.5
3.2
4.3
4.2
4.0
4.4
4.6
4.8
5.3
4.9
5.9
5.7
5.7
6.8
8.1
8.2
4.8
4.4
4.9
6.1
6.8
5.4
6.3
6.3
4.8
4.2
4.2
6.0
8.3
6.3
6.8
6.9
See footnotes at end of table.
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Federal Reserve Bank of St. Louis
Airframe plants
10.3
925
Wartime Development in Aircraft Industry
T a b le 7. —Labor-Turnover Rates (per 100 Employees) in Airframe, Engine, and
[ Propeller Plants, by Sex, January 1943-August 19441— Continued
[1944 figures revised]
Quits
Year and month
All plants
Male
Airframe plants
Female
Male
Female
Engine plants
Male
1948
January___________
February__________
March_____________
April______________
M ay _____________
June___ ___________
July_______ _____
August____________
September_________
October___________
November.........
December______ —
1944
January.......................
February—
___
M arch........................
April______________
M ay _____________
June........................ ...
July_______________
August........................
Female
Propeller plants
Male
Female
2.5
2.5
3.4
3.2
2.9
2.9
3.6
3.8
3.8
3.2
2.8
2.5
5.0
4.9
5.9
6.1
5.7
6.2
6.9
7.3
7.1
6.6
5.7
5.4
2.8
2.8
3.8
3.6
3.2
3.2
3.9
4.2
4.3
3.5
3.1
2.7
5.3
5.2
6.3
6.4
6.0
6.6
7.4
7.8
7.4
7.0
5.9
5.7
1.3
1.4
1.9
2.0
1.9
2.0
2.6
2.4
2.1
1.7
1.7
1.4
2.9
2.9
3.4
4.1
3.3
3.9
4.4
5.2
5.7
5.1
4.5
4.0
1.4
1.4
1.7
1.5
2.0
2.0
3.9
3.6
3.4
4.5
3.7
4.0
2.6
2.8
3.3
3.2
3.8
4.4
4.4
5.6
5.4
4.6
4.0
3.4
3.0
2.8
3.3
3.1
3.3
3.8
3.5
4.5
5.8
5.2
5.8
5.7
6.0
6.7
6.6
7.7
3.2
3.0
3.6
3.2
3.5
4.2
3.6
4.9
6.2
5.5
6.3
6.1
6.5
7.3
6.7
8.2
2.3
1.9
2.1
2.4
2.3
2.5
2.7
3.2
4.5
3.8
4.0
4.2
4.1
4.7
6.2
6.2
3.2
2.9
3.3
4.3
4.4
4.4
5.1
5.4
4.1
3.3
3.5
5.3
6.1
5.4
5.9
5.9
1 D ata not available prior to January 1943.
sIncludes quits, military separations, discharges, lay-offs, and miscellaneous separations.
Military separation rates were about the same for the 3 branches
of the industry (table 6). Withdrawals for the armed forces were
very small during 1941, amounting to less than 4 per 100 employees.
With the United States’ entrance into the war, inductions increased,
resulting in 17 of every 100 employees being taken into the services
during 1942. While the average monthly rate for 1941 was 0.3
per 100 workers, it increased to approximately 1.5 for 1942, with
the. peak of 2.8 coming in October. Manning and replacement
schedules did much to slow down the rate of induction during the
beginning of 1943. However, the demand for workers was so great
and the supply of available manpower so limited that West Coast
airframe manufacturers made it clear that their plants could offer
airplanes or men for the services but not both. There was agitation
for draft deferment for West Coast airframe workers in October 1943,
and a stay of induction was finally ordered early in November for
this area. The military separation rate consequently declined to 0.5
per 100 by November 1943. Nevertheless, about 11 out] of every
100 airframe, engine, and propeller workers entered the armed forces
during 1943. Cancellation of occupational deferments held by men
under 26 years of age increased the military separation rate during
the first half of 1944, but the industry’s increased productivity was
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Federal Reserve Bank of St. Louis
926
Monthly Labor Revieiv—November 1944
relied upon to offset the manpower taken by the armed forces. Since
then the rate has been declining in line with the retarded rate of
induction.
Discharges and lay-offs were of little significance until 1944. With
workers so hard to get, discharges were largely confined to cases of
serious infraction of company regulations. This was particularly true
through 1943. Later, plants began to weed out unsatisfactory per
sonnel. Lay-offs, except in a few isolated cases, were unheard of
prior to 1944 but have been increasing. Contract terminations and
cutbacks, inevitable after the defeat of Germany, will cause, the
discharge and lay-off rates to become more important in the near
future.
Absenteeism of Workers
Absenteeism became of major concern during the present emer
gency because lost time could not be afforded in the production of
vitally needed war goods. The aircraft industry, particularly the
airframe branch, realized that a reduction in absenteeism was possible
only by a determination of the causes and the adoption of remedial
action designed to keep worker morale high both on and off the job.
The measures taken, especially with reference to the provision of
community facilities, were never adequate to counteract the strains
imposed upon living and working conditions by the exigencies of the
war. Efforts were made to provide more adequate wash- and lunch
room facilities. Absence-control measures were undertaken, to give
assistance where needed or to institute disciplinary action where
necessary. In addition, health and recreation facilities were estab
lished and personal services provided, such as assistance in finding
housing and making car-pooling arrangements. Day nurseries were
established so that women workers could be on the job regularly.
Provisions were also made for additional housing, better transporta
tion facilities, and more convenient shopping hours.
Despite the vigorous action generally adopted by airframe plants,
absence rates were slightly higher in this branch of the industry than
in engine and propeller plants in 1943. Rates in 1943 were generally
about 7 to 8 percent in airframe plants and 6 to 7 percent in engine
and propeller plants (table 8). During the influenza epidemic in
December 1943, the absence rate slightly exceeded 10 percent for
airframes and approximated 9 percent for engines and propellers.
With the turn of the year, the rates returned to their former level.
However, during March and April the propeller branch, with rates
of about 8 percent, exceeded the airframe figure. The sharp drop
registered from April to May for the three branches is not a real
measure of change, since the figures for April and all previous months
were computed for direct workers alone and all subsequent figures are
based on total employment. Since April, the rate for all branches
has been around 6 to 7 percent. Throughout the period covered, the
combined airframe, engine, and propeller rate showed slight variation
from the average for all manufacturing. Thus, in March 1943 the
combined aircraft figure was 6.6 percent as compared with 6.1 for
all manufacturing. In August 1944 the rates were 6.5 and 6.6,
respectively.
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Federal Reserve Bank of St. Louis
927
Wartime Development in Aircraft Industry
T able 8. —Absence Rates 1 in Airframe, Engine, and Propeller Plants,
January 1943-August 1944
1944 2
1943 2
M onth
All
plants
January,
_____
February ___________ _ __
M arch ,..
A pril_____________________
M a y ___________
. . _
June_____ , . _ . _ _
July---------------------------------A ugust___________________
September . . . . . . . . ___
October. . . . . . _____
.
N ovem ber. . . .
_____
December___ _
(3)
(3)
6.6
6.5
6.9
6.9
7.4
7.6
7.1
7.3
7.1
9.7
Airframe Engine Propeller
plants
plants
plants
6.3
6.8
6.7
6.7
7.1
7. 2
7.8
8.0
7.4
7.5
7.3
10.1
0)
(3)
6.1
5.8
6.1
6.1
6.2
6.6
6.1
6.6
6.8
8.7
All
Airframe Engine Propeller
plants
plants
plants
plants
(3)
(3)
6.0
6.3
5.9
6.4
6.9
7.6
7.2
7.3
6. 5
9.1
7.1
7.5
7.1
7.9
6.4
6.2
6.4
6.5
7.4
7.7
7.3
8.1
6. 5
6.2
6.2
6.2
6.3
6.7
6.5
7.3
6.3
6.2
6.9
7.3
6.5
7.5
7.9
8.4
6.5
5.2
6.2
6.1
1 Based on workweek nearest 15th of month.
2 Absence rates for period January 1943-April 1944 based on man-hours lost as a percent of time worked
plus time lost by direct workers. Beginning with M ay 1944 absence rates are based on total employment
and represent man-shifts lost as a percent of man-shifts scheduled.
3 Reports for engine and propeller plants not submitted prior to March 1943.
Hours and Earnings 6
As in other war industries, aircraft workers have experienced
materially increased earnings. This was the result primarily of the
extended workweek and resulting overtime pay (time and a half for
all hours in excess of 40) as well as increases granted in hourly rates.
Upgrading as a result of acquired skill and differentials for second- and
third-shift employment also had their effect.
When the National War Labor Board assumed responsibility for
wage structure, there was no uniformity in hourly rates paid to air
frame workers performing identical jobs. The Board considered it
impossible to act equitably under the circumstances and appointed a
special committee to study the wage structure of West Coast airframe
plants. On the basis of this study, which covered eight companies,
the committee in March 1943 proposed various changes for the region.
This served as a pattern for the airframe industry and, together with
subsequent orders, resulted in the establishment of basic rates for
specified occupations and grades, entrance rates, provision for auto
matic upgrading, and shift differentials.
Average hourly earnings in airframe plants increased steadily from
$0.69 in January 1940 to $1.16 by August 1944 (table 9). The average
weekly earnings rose from $27.85 to $54.15 during the same period.
This exceeded the income for manufacturing workers generally, since
the average hourly earnings for this group rose from $0.66 to $1.02 and
average weekly earnings from $24.56 to $45.85 during the correspond
ing period. However, the workweek of airframe wage earners was
longer than that prevailing in manufacturing as a whole, namely, 41
hours as against 38 in January 1940 and 47 as against 45 in August
1944. The airframe hourly earnings continued to rise in 1944,
probably because of the decrease in the number of learners and the
effects of upgrading resulting from acquired skill.
6 The aircraft figures shown here cover all prime contractors of completed airframes, engines, and
propellers, including converted plants. They should not be compared with monthly data for the aircraft
and aircraft-engine industries released by the Bureau’s Employment Statistics Division which exclude
converted plants but cover subcontractors and parts manufacturers as well as prime contractors.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
928
Monthly Labor Review—November 1944
T a b l e 9.—Average Hours and Earnings 1 of Wage Earners in Airframe, Engine, and
Propeller Plants, January 1940-August 1944
Airframe plants
Engine plants
Propeller plants
Average
Average
Average
Year and month
"Week Weekly Hourly Week Weekly Hourly Week Weekly Hourly
earn
earn
earn
earn
earn
earn
ly
ly
ly
ings
hours2 ings
hours 2 ings
ings
hours 2 ings
ings
mo
January __________ _ __ _
February 1_______________
________
March . . . ._
April___________ _______
M a y ...
__________ ____
Jun e.. _________ _______
Ju ly _____________________
A ugust___________________
September. _________ ____
October_______ . . _______
N ovem ber________________
December _____________
40.6
39.9
41.1
40.6
40.0
41.8
41.3
43.6
44.3
44.0
44.3
44.5
$27.85
27. 55
28. 48
28. 16
28.18
30. 37
29.88
31. 87
32.34
32.64
32. 95
32.97
$0. 69
.69
.69
.69
.70
.73
.72
.73
.73
.74
.74
.74
47.0
44.9
45.4
46.1
46.0
46.9
46.0
46.1
47.1
45.9
43.4
46.5
$40. 09
38. 90
38.15
38. 32
37. 47
38. 55
37.91
38. 65
38.50
38.61
37. 23
39.39
$0.85
.87
.84
.83
.82
.82
.82
.84
.82
.84
.86
.85
45.8
37.6
45.5
45.4
44.0
45.0
42.9
44.2
44.7
44.1
37.6
44.7
$35.29
27. 69
34.94
34. 73
32.82
34.41
32.16
33.71
34.09
33. 77
29.37
34. 30
$0. 77
.74
.77
.77
.75
.76
.75
.76
.76
.77
.78
.77
1941
January. ___________ ____
February__________ _____
March. ___________ ______
April________ ___________
M ay_________ _________
June_____________________
Ju ly _____________________
A ugust____________ ______
September___________ ____
October__________________
November 4_____ . . . . .
December 4 _______ ______
44.7
45.3
44.9
45.2
45.2
44.6
44.5
45.5
45.4
44.9
44.0
45.8
34.08
34.85
34.50
35.11
35. 21
34.80
35. 32
37.85
37.81
38. 63
39.34
41. 53
.76
.77
.77
.78
.78
.78
.79
.83
.83
.86
.89
.91
46.3
45.5
45.8
41.9
47.0
47.0
47.0
47.0
48.1
47.2
47.7
48.3
41. 22
39. 57
40. 79
38. 36
45.07
46. 49
47. 36
48. 71
50.82
52.04
55.28
55.63
.89
.87
.89
.92
.96
.99
1.01
1.04
1.06
1.10
1.16
1.15
45.1
47.4
47.7
37.9
47.4
48.5
49.6
3 42. 1
45.7
48.6
44.8
53.2
37.26
39.28
41.15
31.39
43. 30
44. 40
46.33
46.26
46. 50
49.26
51. 37
63.95
.83
.83
.86
.83
.91
.92
.93
3 1.10
1.02
1.01
1.15
1.20
48.9
47.5
47.6
47.4
46.7
46.1
45.6
46.0
45.8
45.7
46.1
46.4
46.12
44.35
44. 33
44.62
44.52
44. 65
44. 49
44.78
45. 34
44. 35
44.91
45. 59
.94
.93
.93
.94
.95
.97
.97
.97
.99
.97
.97
.98
50.6
49.7
49.3
48.5
48.3
48.2
48.0
48.3
47.6
48.8
47.3
47.1
62.09
59.34
60. 93
58.90
58. 43
58. 07
59. 61
60. 21
61.00
61.14
59.25
58.92
1.23
1.19
1.23
1. 21
1. 21
1. 21
1.24
1. 25
1.28
1.25
1.25
1.25
52.0
49.7
50.1
50.9
51.5
51.0
52.1
48.9
47.7
48.3
46.2
48.9
59.10
54.15
56.42
58. 04
59.51
59.58
59.01
57. 47
59. 44
60.18
56.38
59.89
1.14
1.09
1.13
1.14
1.16
1.17
1.13
1.18
1. 25
1.24
1.22
1. 22
46.3
45.9
46.1
47.1
46.7
48.4
45.4
45.6
46.5
46.6
46.6
45.6
45.82
45. 89
46.48
48.90
49.21
51.53
48. 31
48. 97
51.58
51. 30
50. 90
51.12
.99
1.00
1.01
1.04
1.05
1. 07
1.06
1.07
1.11
1.10
1.09
1.12
47.2
47.8
48.5
48.0
48.8
46.7
46.7
47.1
47.7
47.7
47.4
46.2
59.84
60. 21
61.33
60.40
62.10
59.03
59.40
59.70
62.25
61.14
61.14
58.47
1.27
1.26
1.26
1.26
1. 27
1. 26
1.27
1.27
1. 30
1.28
1. 29
1.26
49.0
47.4
47.7
48.2
48.2
48.3
48.3
49.0
49.0
47.0
47.6
47.2
59. 62
58. 05
58.18
60.14
60.27
60. 56
60. 94
61. 27
64.11
58.89
59.75
59.89
1.22
1.23
1.22
1.25
1.25
1.25
1.26
1. 25
1.31
1.25
1.26
1. 27
47.6
47.3
46.8
46.6
46.8
46.9
46.5
46.8
53. 94
53. 64
53. 55
53. 54
54.30
54. 37
53. 90
54.15
1. 13
1.13
1.14
1.15
1.16
1.16
1.16
1.16
47.7
46.9
47.1
47.1
46.0
46.7
42.2
45.4
61. 51
60. 39
60. 97
61.15
59. 49
60. 93
55. 32
59.19
1. 29
1.29
1. 29
1. 30
1.29
1.31
1.31
1.30
48.8
47.4
46.5
46.7
46.4
47.3
44.3
48.3
62. 02
59. 52
58. 54
59.10
58.16
60. 61
57. 00
62.72
1.27
1.26
1.26
1.26
1.25
1.28
1.29
1.30
194%
January__________________
February___________ _____
M a r c h _________ _______
April_________ ______ . . .
M a y .. __________________
June. ___________________
Ju ly_____________________
A ugust. _______ _______
Septem ber4 _____ ________
October__________________
N ovem ber.._ _____
December . . . ______ . . .
m s
January ________________
February_____ _________
March___________________
April_____________________
M ay_____________ ________
June_________________ . . .
Ju ly_________ ____ _______
August___________________
Septem ber4. . ______ _ . .
October_________________
N o v e m b e r _______________
December. ______________
1944
January— _______ _____
February_________________
March___________ . ____
April____________ ______
M ay_____________________
June_____ ______________
July_____________ ________
A u g u st8_______ _
_____
1 Based on workweek nearest 15th of month. The figures shown cover all prime contractors of completed
airframes, engines, and propellers, including converted plants. They should not he compared with monthly
data for the aircraft and aircraft-engine industries released by the Bureau’s Employment Statistics Division
which exclude converted plants but cover subcontractors and parts manufacturers as well as prime
contractors.
2 Average weekly hours are for all wage earners and therefore not strictly comparable with the average
weekly hours shown for direct workers in other series.
3 Eluctuation of hours and earnings in this month was caused by a strike in 1 plant.
* Fluctuation of hours and earnings in this month caused by holiday.
8 Preliminary.
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
929
Both engine and propeller plants reported higher earnings than airframe plants, with the hourly average for engines slightly more than
that of propellers. A longer workweek and more second- and thirdshift employment had some effect. However, the greater proportion
of skilled workers in these branches was primarily responsible for the
higher earnings. In January 1940 engine wage earners averaged a 47hour week and earned an average of $0.85 per hour or $40.09 per
week. Propeller wage earners had a 46-hour week and averaged
$0.77 per hour or $35.29 per week. Because of longer hours the
weekly earnings for propeller wage earners at times slightly exceeded
those of engine workers. The variation in earnings between the two
branches was narrowed in June 1944; at that time both engine and
propeller wage earners approximated a 47-hour week with hourly
earnings of about $1.31 for the former and $1.28 for the latter. This
resulted in weekly earnings of $60.93 for engine wage earners and
$60.61 for propeller workers. Both branches of the industry reported
hourly earnings averaging $1.30 for August. However, propeller
hours exceeded those of engines, resulting in an earnings figure of
$62,72 as compared with $59.19 for engines.
Production Trends
The number of completed airplanes accepted each month has risen
steadily from January 1941. At that time approximately 1,000 com
pleted planes were accepted monthly. The figure had risen to almost
2,500 by the end of the year, around 5,000 by the end of 1942, and
8,800 by the end of 1943. In March 1944 alone, 9,117 completed
units were accepted, the record for any one month (table 10).
While this eightfold increase in acceptances is in itself considerable,
the performance it represents is actually even more outstanding.
Prior to 1943, production was concentrated on lighter airplanes.
There was need for large numbers of primary, basic, and advanced
trainers. Fighters predominated among the combat airplanes.
Beginning with 1943, particularly the latter part of the year, heavy
bombers and cargo ships became a significant part of total acceptances.
To evaluate properly this shift in type of production, together with
the fact that each airplane has its complement of spare parts, it is
necessary to consider the airframe acceptances in terms of weight
rather than units. The total weight of monthly acceptances includ
ing spare parts was about 4 million pounds early in 1941; it had
almost tripled by the last quarter of the year, reaching about 10
million pounds per month. The increase continued during 1942 and
by the end of 1943 the acceptance figure was close to 90 million
pounds. In May 1944 over 102 million pounds were accepted, more
than in any previous month and 30 times the number in January 1941.
The average weight per acceptance each month was about 4,500
pounds in 1941 and increased to 9,800 pounds by the end of 1943.
It rose during 1944 because of continued large-scale production of
heavy bombers and transports and the introduction of superbombers
into our aircraft program. The highest average weight per acceptance
ever attained was 12,150 pounds reached this June, roughly 3 times
the average weight of acceptances in the early stages of the production
program.
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Federal Reserve Bank of St. Louis
930
Monthly Lahor Review—November 1944
T a ble 10.—Number and Weight of Airframe Acceptances and Number of Airframe
Workers (Including Subcontracting), January 1941-August 1944
Acceptances
Year and month
Total
number of
complete
units 1
Total
weight
including
spares 2 (in
pounds)
Total
em ploym ent,
including
estimate
for sub
contracting
Average
w eigh t3
per unit
accepted
(in
pounds)
Average
w eigh t3
accepted
per
employee
(in
pounds)
Average
number of
employees
per
complete
unit
accepted
1941
January__ _____________
February_______________
March_________________
April__________________
M ay___________________
June.............. . . . _______
July___________________
- ...
August____ - -September______________
October___ . ------------November_______ _____
December______________
1,012
963
1,136
1,391
1,329
1,478
1,462
1,854
1,946
2, 284
2,138
2,462
3,420,300
4,120,100
4, 699, 500
6,386,900
6, 056, 200
6,908,000
6,263,600
8, 713, 500
9,077,100
10, 588, 200
9, 658,100
13, 497,100
162, 200
170, 600
179,200
191, 200
203,100
222,300
242,900
265, 500
283,800
310,800
327,600
356,300
3, 380
4, 278
4,137
4, 592
4, 557
4, 674
4,284
4, 700
4,664
4,636
4,517
5,482
21
24
26
33
30
31
26
33
32
34
29
38
160
177
158
137
153
150
166
143
146
136
153
145
1942
January, . . ___________
February_________ _____
March____________ _____
April___________________
M ay_____ - ........ - _____
June____________ _______
July___________________
August---------- -- _ ------September______________
October________________
November______________
December . . . . . . .
2, 977
3,047
3, 483
3,506
3,984
3,738
4,106
4,281
4, 307
4,063
4,812
5,501
15,021,700
16,660,500
20, 318,000
20,057,400
23, 237,000
24,846, 300
27,402, 700
29,025,000
32,148,800
30,848, 400
35,064, 700
41,178,600
388,600
423, 700
448.300
479,900
510, 200
553,800
594,300
658, 200
710, 500
774,100
840, 500
913,000
5,046
5,468
5,833
5, 721
5,833
6,647
6,674
6, 780
7,464
7, 593
7,287
7,486
39
39
45
42
46
45
46
44
45
40
42
45
131
139
129
137
128
148
145
154
165
191
175
166
1943
January . . . __________
February_______ ______
March...... .............. . ..........
April _________________
M ay__________________
June________________
.
July___________________
A ugust________ . . . .
Septem ber...
October__ ___ . . . .
N ovem ber.. __________
December
. . . . . . . . ._
5,014
5,423
6,265
6, 472
7,087
7,097
7, 376
7, 613
7, 598
8,363
8, 791
8,802
37, 532,100
43, 961,600
51,038,900
55,252,100
60, 692, 700
61, 535,600
65,458, 500
09, 296, 700
71,103,900
76, 256, 500
82,444,600
86,353,400
975, 500
1,013,100
1,037,800
1,062, 300
1,084,200
1,115,100
1,139,600
1,148,100
1,170,900
1,179, mo
1,185, 500
1,167; 900
7,485
8,107
8,147
8,537
8, 564
8, 671
8,875
9,102
9,358
9,118
9, 378
9,811
38
43
49
52
56
55
57
60
61
65
70
74
195
187
166
164
153
157
155
151
154
141
135
133
1944
January___________ ____
February___ ___________
March.
. . . _________
April___________________
M a y ._______________ ._
June___________________
July-----------------------------August_________________
8,789
8,761
9,117
8, 331
8,902
8,049
8,000
7, 937
89, 989, 000
93, 500, 000
101, 400, 000
96, 400, 000
102, 400,000
97,800, 000
93, 900, 000
93, 900,000
1,156,100
1,137,900
1,108,400
1,084, 300
1,063,400
1,027, 600
1,009,000
973,300
10, 239
10,672
11,122
11,571
11,503
12,151
11, 738
11,831
78
82
91
89
96
95
93
96
132
130
122
130
119
128
126
123
1 Latest revisions released by the Army Air Forces. Excludes spares.
2 Data from January 1941-December 1943 are latest revisions released by the Army Air Forces.
for January-August 1944, from War Production Board.
3 Weight of spares included in computation, of average.
Data
The remarkable achievement in productivity is particularly evident
from the decrease in the number of employees per acceptance (in
cluding subcontractors as well as prime contractors) and the substan
tial increase in the weight accepted per employee. During the
period 1941-43, the number of employees per acceptance varied con
siderably from month to month but ranged roughly from 130 to 180
workers. However, with the beginning of 1944, the range was at a
much lower level, namely, between 120 and 130. The average weight
accepted per employee doubled between the early months of 1941 and
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Federal Reserve Bank of St. Louis
Wartime Development in Aircraft Industry
931
the summer of 1942. Then, with the beginning of a new phase in the
production program, there was no increase in accepted weight per
employee until the early spring of 1943. From that time onward the
increase in accepted weight per employee has been rapid, almost
doubling in a year and reaching 96 pounds in May 1944, as compared
with only 21 pounds in January 1941 and 49 pounds in March 1943.
Part of the increase in 1941 was due to a lengthening of hours, but
since 1942 the increase described is an increase in hourly output as
well as per worker per month. Because of this increase in output,
the labor cost per pound of airplane is only about a third as great as
it was early in 1941, despite the fact that earnings per hour are over
half again as large. The pattern of increasing productivity in the
airframe branch as shown here may be taken as an illustration of the
production experience of the other branches of the aircraft industry.
FQayiCTORY
BUY
U N IT E D
STATES
WAR
BONDS
A N D
STAMPS
614112— 44-
-3
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Federal Reserve Bank of St. Louis
The German Labor Front
By E r n e s t H a m bu rg er , New School for Social Research 1
Sum m ary
MORE than 11 years ago, shortly after the seizure of power by the
National Socialists, the German Labor Front was created as the first
of their mass organizations. It consisted of a nucleus of 5 million
trade-union members, who, after the storm troopers’ raid on all union
headquarters on May 2, 1933, and the ruthless liquidation of the laborunion officers, were forced under Nazi control. Six years later, when
the second World War broke out, the Labor Front included 20 million
individual members in Germany proper as well as almost 3 millions in
Austria, Sudetenland, Danzig, and the western Polish territories,
which had been incorporated into “Greater Germany.” The Labor
Front then included practically all nonagricultural gainfully occupied
persons with the exception of the civil servants and members of the
professions, who were assigned to other associations. The National
Food Estate, the compulsory organization of the people in agricul
tural occupations, the Chamber of Culture, National Socialist Law
yers’ Association, etc., became “collective members,” bringing the
total membership in the Labor Front to about 30 millions.
It carried on press and propaganda work, was responsible for
certain features of industrial relations, promoted welfare work in the
plants, and directed the activities of the so-called “Strength through
Joy”—an organization carrying on many recreational, athletic, and
other functions for workers.
After the beginning of the war the scope of the Labor Front nar
rowed and its activities were increasingly directed toward war aims
and away from the former social purposes. Its main efforts were
those of keeping up Army morale with entertainments of various
kinds and of looking after German and foreign workers in labor
camps.
Although its accomplishments should not be overrated, the Labor
Front was nevertheless the main instrument for propaganda in Nazi
Germany. Through its vast organization it was in touch with in
dividuals throughout the country, down to the last “propaganda
consumer,” and all of its activities were permeated with the Nazi
philosophy. For these reasons the organization is very important in
any consideration of the future of free associations among the
workers of post-war Germany.
Structure of the Labor Front
When the Labor Front was created, it seemed to set a pattern for
the corporations, the then glorified prospective structural units of the
Third Reich. The corporations of manual workers and of salaried
employees each consisted of several Nazi-controlled associations
which superseded the 168 former unions that had been dissolved;
i This article is a summary of a report prepared in connection with the Research Project on Social and
Economic Controls in Germany and Russia, organized under the Graduate Faculty of the N ew School for
Social Research.
932
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Federal Reserve Bank of St. Louis
German Labor Front
933
corporations of employers and middle-class peoples were likewise
created and incorporated into the Labor Front as Nazi substitutes
for former free associations.
In November 1933, however, the corporations were declared dis
solved. From then on the once-praised corporate idea was alter
nately denounced as reactionary or as “Marxism authorized and
controlled by the State.” The Labor Front was eventually proclaimed
by Hitler to be “the only existing corporation.” Employers, manual
workers, salaried employees, and urban middle-class people were
reorganized into the Labor Front on an individual basis without being
allowed separate organizations. The remodeling of the Labor Front,
which was completed at the end of 1934, severed the old trade-union
ties and loyalties and disorganized labor entirely, thus removing the
potential danger of countermoves against the regime.
With the disappearance of the corporate idea, the guiding principle
of Labor Front organization became that of tight bureaucratic control
over the mass membership. By 1939 the Labor Front was subdi
vided into 41 districts (Gaue), 807 counties (Kreise ) and 27,127 locals
in the “ Greater German Reich.” In all shops with more than 5 em
ployees, chief stewards (Betriebsobmaenner) were installed, who con
trolled the cell and block leaders (chiefs of the smallest units) and had
staffs ranging up to 14 functionaries with assistants and an impressive
range of activities designed for the control of workers on the job and
during their leisure time. The chief stewards were also the leaders of
the shop troops (Werkscharen)—the militarized National Socialist
elite of youthful workers who assumed leadership in every campaign
for political purposes, increased productivity, etc. The shop troops,
‘/implacable adversaries of class struggle and capitalism,” by 1939
numbered 340,000 in 9,500 plants.
This whole network of agencies and formations was directed from
the top by Labor Front leader Robert Ley, with the aid of numerous
central bureaus. Between 1938 and 1941 (the years of the greatest
variety of tasks) the central office of the Labor Front was subdi
vided into 59 branch offices—11 for administrative tasks of the Labor
Front itself, 19 for various activities, 17 to deal with specific industries
and trades, and 6 to handle relationships with the Office of the FourYear Plan and with the army, navy and air fleet; 6 others were sub
divisions of the Strength through Joy department of the Labor Front.
Relation to N ational Socialist P a rty
The position of the German Labor Front in the Third Reich was
characterized on the one hand by independence from the Reich ad
ministration and on the other by complete dependence upon the Nazi
Party. The Party wanted the Labor Front as an instrument of its
own, performing services requested by the Nazi Government but not
subordinated to the national bureaucracy which the Party members
never ceased to distrust in spite of its increasing nazification. The
device of identical leadership over corresponding governmental and
Party agencies, which was applied in many instances, was not ex
tended to the Labor Front and the Ministry of Labor. Also, when
at the outbreak of the war many bodies previously not subjected to
direct governmental control were incorporated into governmental
agencies in order to avoid friction and conflicts by clear subordination,
the Labor Front remained untouched by these measures.
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Federal Reserve Bank of St. Louis
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M onthly Labor Review—November 1944
Thus, strange as it seems, the Labor Front always had only a loose
connection with the Reich Ministry of Labor. There was even a ban
on the name and photograph of Minister of Labor Franz Seldte.
Robert Ley, on the other hand, was not only Labor Front leader but
also chief of staff of the Nazi Party, a position fourth in rank in the
Party hierarchy. From there on down, the closest affiliation between
Nazi Party and Labor Front was ensured. The subdivisions corres
ponded geographically to those of the Party. The chiefs of the Labor
Front offices all over the country were politically subordinated to
chiefs of the Party offices and often to their deputies. The chief
stewards and the cell and block leaders were representatives of the
Party.
The privilege of Party membership was confined to a minority of
the German people; consequently, the German Labor Front included
a majority of non-Party members and the ratio might run as high as
4 to 1. The Labor Front was built, however, upon one fundamental
Nazi device: the entire leadership stratum, paid leaders and sub
leaders as well as unpaid petty functionaries such as chiefs of small
locals and plants, cells and blocks in shops and streets, consisted of
Party members. In 1939, the Labor Front had 36,000 paid officials;
in addition 2 million unpaid functionaries dedicated their spare time
to its service, attracted by numerous small advantages, the prestige
of belonging to the ruling Party, and the pride in being petty com
manders in a militarized society. Finally, the shop troops were either
members of the Party or aspirants to early admission. Thus, through
this network, the governing Party held in its grip the entire gainfully
occupied nonagricultural population, including wives and dependents.
The petty chiefs, through day-to-day observations, denunciations,
and conversations, became thoroughly acquainted with the attitudes,
behavior, abilities, weaknesses, loyalties, family relationships, and
other characteristics of the men in their units. With this formidable
knowledge, they were capable, by the means at their disposal, of pre
venting the totalitarian German society from disintegrating, even in
perilous moments, mostly before having to resort to the Gestapo.
Innumerable loyalties, connections, and dependencies have developed
in Nazi Germany through this organization. Many of them will sur
vive a formal dissolution of the Labor Front and will arouse problems
for many years to come.
FINANCIAL ARRANGEMENTS
As regards finances of the Labor Front, the Nazi chiefs have always
bluntly rejected suggestions, even when made by influential employers
and high officials, for financial control other than that exercised by
the treasurer of the Nazi Party. Although the Labor Front never
published a budget it is nevertheless possible, on the basis of figures
occasionally released, to estimate the amount of money available for
Labor Front purposes. The monthly dues of the average member
rose from 1.21 marks in 1933 to 1.95 marks in 1938. In the latter
year, the revenues from membership dues were about 450 million
marks. Including the dues of the Austrian and Sudetenland mem
bers, dues may have aggregated, in 1939, about 500 or 550 million
marks.
This was, however, not the only source of Labor Front income.
Labor Front leader, Robert Ley, following the example of other out
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Federal Reserve Bank of St. Louis
German Labor Front
935
Standing Party bosses, built up a powerful holding organization on
the “trust” principle. The assets of this trust consisted mostly of
property seized from the former trade-union owners—headquarters
buildings, resorts, hotels and restaurants, insurance firms, consumers’
cooperatives, publishing houses and theaters, house-construction and
workers’ settlement companies, and the German Labor Bank.
All these enterprises were considerably enlarged and made more
profitable, with the political and financial help of governmental and
Party agencies. In the sickness-insurance institutions of the Labor
Front, for example, l}{ million persons were insured in 1942. By 1938
the German Labor Bank had 34 branches and had become one of the
greatest banking organizations in Germany. During the war, like
the other Labor Front companies, it extended its activities over the
occupied territories; it had its own branches in nearly all of the large
towns of Europe and controlled important banks in occupied countries.
The Labor Front trust was enlarged in 1937 by an automobile factory,
the People’s Automobile Works (Volkswagenwerk), in Fallersleben, in
which the Labor Front invested 200 million marks.2 This plant has
turned out hundreds of thousands of cars for war purposes, delaying
indefinitely the claims of 300,000 Labor Front members who, having
paid some 200 million marks in advance installment payments, were
led to believe they were entitled to the quick acquisition of a car.
A third source of revenue for the Labor Front consisted of contri
butions by the Reich Government. As the Government refunded to
the Nazi Party and its affiliates expenditures required in the execution
of a German law or decree, the Labor Front was therefore entitled to
refunds of expenses made for auxiliary activities for the Trustees of
Labor, the labor courts, the confidential councils, etc.
Altogether, it is probable that the income from business enterprises
and refunds approximated that from membership dues. In 1939 and
1940, the total revenues may therefore have amounted to about a
billion marks. Expenditures were about 300 million marks in 1935
(of which no less than 40 percent were for salaries of the Labor Front
personnel), and may have slightly exceeded 400 millions in 1939. The
excess of revenues, averaging several hundred million marks yearly
since 1935 and more than half a billion each year from 1939 to 1941,
were invested in Reich treasury bonds or Labor Front enterprises
such as the People’s Automobile Works, thus contributing to the
financing of Germany’s war preparation and the war.
Position in the Third Reich
A basic statute for the Labor Front was not adopted until October
1934. The statute defined the Labor Front as the organization of all
Germans working with brain and brawn and aiming at the formation of
a “people’s community and a community of performance.” This
implied propaganda for National Socialist principles and the pursuance
of social measures on the basis of a mutual understanding between
employers and employees, was designed to secure industrial peace but
not to determine conditions of work. The Labor Front also partici
pated in tasks under the national labor statute of 1934, establishing
the “ leadership” principle in industry. Finally, the Labor Front was
2 In 1944 the Volkswagenwerk became one of the main assembly plants for the flying (robot) bombs.
The factory has now been destroyed.
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
entrusted with vocational training and the direction of the well-known
organization, Strength through Joy.
The vagueness of the Labor Front statute and its failure to define
precisely the relationship of the Labor Front to the administration led
to a variety of interpretations. This resulted in a struggle for power
between Labor Front leaders (backed by Party officialdom) and the
Ministry of Labor (encouraged by the Reich bureaucracy and not
least by the Ministry’s regional agents, the Trustees of Labor, who
were reliable Nazis but were only in exceptional cases taken from the
ranks of Labor Front Officials). The employers tried to defend them
selves against the violent attacks upon them as “capitalists,” launched
by Labor Front officials, and against the interference in employeremployee relations by shop stewards and by Labor Front officials
outside the plants. They stressed their right to the “leadership” of
their enterprises. They looked for help, and often found it, in the
friendly Ministry of Economics headed by Hjalmar Schacht. They
even bribed Nazi and Labor Front functionaries.
The struggle for power among the social forces in the Nazi State,
behind the facade of enforced national unity cannot be described here.
In the fields of labor relations and social structure the outcome was
determined by the needs of pre-war and, later, war production. Such
needs could not be met without competent national labor administra
tion and the collaboration of the industrialists. Hitler’s proclama
tions, calling for “collaboration of all social forces in the interest of
highest productivity and efficiency,” in 1935, and for “social peace,”
in 1936, enforced a compromise. The Labor Front chiefs had to
renounce agitation, ambitions as labor leaders, etc., and be satisfied
with the role of auxiliary agents of the Nazi Government. The
downward trend of their aspirations is expressed in Robert Ley’s
resigned statement of 1939, in which he defined the Labor Front as
“a great educational institution and a motor; it wants to suggest,
advise and push forward, but not itself to execute matters, nor to
perform economic or technical tasks.”
The war contributed to a further decrease in the influence of the
Labor Front, confirmed in 1942 by the appointment of Fritz Sauckel
as Commissioner for Manpower. Although ranking high in the Nazi
Party, he worked chiefly through the civil servants of the Ministry
of Labor and the regional Labor Trustees and their staffs, utilizing
the Labor Front only for secondary tasks. As a result, the Com
missioner of Manpower and the Ministry of Labor administered,
between them, all the vital functions of labor relations, the release of
collective rules (replacing the former collective agreements), man
power problems, unemployment insurance, the traditional factory
inspectorate, and social legislation in the field of sickness, old-age,
invalidity, and accident insurance.
Even in the field of relief to needy members it would be safe not to
overrate the importance of the Labor Front. Since the latter had
acknowledged, in 1933, the rights acquired by the old trade-union
members through payment of premiums, it paid some benefits. The
total amount was, however, less than that granted previously by the
trade-unions and in the years before the war did not exceed 3 to 4
marks yearly for the average member.
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Federal Reserve Bank of St. Louis
German Labor Front
937
P re-W ar Activities of the Labor Front
PRESS AND PROPAGANDA
The German Labor Front was the greatest organization for the
domestic interpretation, distribution, and reception of Joseph Goebbel’s
propaganda. For purposes of organized domestic consumption, the
central Labor Front press and propaganda agency performed an
important political and organizational task.
Politically, the Labor Front propagandists took into account the
fact that, although numerically the workers predominated in the
organization, nevertheless the middle-class members were not unim
portant. The output of the Governmental and Party propaganda
offices was therefore cleared and prepared with both groups in mind.
In dealing with labor they were inspired by three guiding principles
in as many periods. In the first period the objective was to transform
the worker of the “liberalistic” period into a worker of the National
Socialist era, blindly obedient to the Führer, thinking politically and
doing his job according to German military traditions. The annihi
lation of the Marxist and shaping of the National Socialist worker was
considered accomplished in 1935. In the second period the purpose
was to endow the emerging “soldier of labor” with the qualities
indispensable for the success of the regime. He was educated for his
actual and future task, especially for exemplary political and voca
tional behavior in his occupational surroundings, in order to improve
and speed the total pre-war and war production in the service of the
Führer. Since the beginning of the third period, in 1939, all propa
ganda has been dominated by the basic conception that the military
front and the home front are one, in the defense of National Socialist
Germany against its foes. The soldier of labor has constantly been
reminded of the National Socialist sense of duty, discipline, obedience,
comradeship, and readiness to sacrifice, as well as the necessity of
supreme performance for rescuing Nazi Germany and the world from
their Jewish, capitalist, and Bolshevist enemies.
The Labor Front propagandists relied first of all on the spoken word.
At first, big propaganda campaigns were launched, but these became
secondary in importance in comparison with the daily efforts of re
gional, local, and plant press and propaganda agents. These agents
transmitted and interpreted the central slogans, appeals, and directives
to the functionaries who were in contact with the men and women in
the smallest units. The direct influence on the individual “propa
ganda consumer” was overwhelming, because of the supervisory and
controlling position of the propaganda agents. In the zones of the
new war industries established since 1936, supposedly safe from bom
bardment, millions of workers have lived in barracks, separated from
their families, under tight Labor Front control. The mobilization of
hundreds of thousands for the construction of the West Wall in 1938
and 1939 was a big dress rehearsal for the later adjustment of propa
ganda activities to life in soldiers’ and workers’ camps and in camps of
foreign labor.
Means of indoctrination utilized by the Labor Front propaganda
agents were various. Meetings were organized in the shops. Prom
ising young Labor Front members received long and thorough training
in 11 training centers, and employers and Labor Front functionaries
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Federal Reserve Bank of St. Louis
938
Monthly Labor Review—November 1944
had shorter periods of training in similar centers. Community rooms,
rest rooms, and “houses of comradeship” in the plants were provided
with radio and abundant reading material.
In 1933 the former trade-union periodicals were transformed into
ardent Nazi organs of the Labor Front. The vast Labor Front press
consisted, in 1939, of about 700 periodicals with a monthly circulation
of more than 35 million copies, operating for the most part under their
previous trade-union title. These carried political propaganda, pop
ularized Labor Front activities, and included sections on vocational
training. There were, moreover, about 500 employees’ magazines,
with a circulation of about 4 million, issued in all large plants and ed
ited under the responsibility of the employers under instructions and
supervision of the Labor Front press service. These periodicals
praised the National Socialist regime and the progress of the “work
community” in the individual plants. Strength through Joy monthly
programs, with a combined circulation of 4 million, were published in
every district and carried Nazi political indoctrination intermingled
with announcement of and propaganda for and by Strength through
Joy activities. At the beginning of the Nazi regime almost half of
the German people boycotted the totalitarian newspapers, and the
daily newspaper circulation dropped from 27 million in 1932 to less than
16 million in 1934.' The Labor Front organs were thus in most cases
the only newspapers which entered the workers’ homes and were there
fore important in spite of the admittedly low interest of the majority of
the workers. Their eagerness to read, indeed, cannot be measured by
the circulation figures, since most of the periodicals were delivered free
of charge to the members or were paid for, on subscription by Labor
Front functionaries, through deduction from the pay checks of the
workers.
The war put an end to most of the Labor Front press. By 1942 the
press was reduced to about a fourth of its former importance, and
became negligible in 1943. Important for the post-war period is the
fact that the vocational press always had a large circulation and en
joyed a high reputation among the German masses. Prior to the
Hitler regime, many workers who no longer subscribed for a daily
paper were still reading their trade-union periodical. Therefore, the
reconversion of Labor Front periodicals might offer certain opportu
nities for political reeducation after the destruction of National
Socialism.
INDUSTRIAL RELATIONS
As strikes and lockouts, as well as associations of workers and em
ployers and their activities, have been outlawed, industrial peace in
Germany is based upon compulsion. The Minister of Labor and
(since 1942) the Commissioner of Manpower and their regional agen
cies have been regulating dictatorially all details of work, conditions of
employment and discharge, wages, hours, and vacations, leaving some
less essential questions to be covered by shop rules. The labor
courts, inherited from the Weimar Republic but largely deprived of
their former importance, rule on individual controversies over the labor
contract. The Labor Front is supposed to watch over industrial peace
in the enterprises, by maintaining and enforcing the “work commu
nity,” and to this end cooperate with the Labor Trustees, the Com
missioner of Manpower, and other agencies.
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The Labor Front chiefs have long insisted upon their pre-eminent
authority in the matter of industrial peace in the individual plants.
They wanted to restrict the Reich Labor Trustees to decisions of final
result only; until all Labor Front attempts to smooth the labor rela
tions in the shops had failed, the Labor Trustees should not step in or
even be approached by either employers or workers. They were
defeated on this point by the Ministry of Labor in a long fight for cen
tralized control, as against the individual arrangements that would
have resulted from varying local Labor Front relationships with indi
vidual employers.
In certain fields, nevertheless, the Labor Front officials retained
remarkable influence. In the first years of the regime they actively
cooperated with the Reich Labor Trustees in the establishment of col
lective work regulations. After the incorporation of the regional and
local offices for Placement and Unemployment Insurance and of Fac
tory Inspection into the agencies of the Labor Trustees, in 1938, the
influence of the Labor Front in this field declined considerably.
Labor courts.—Lay judges of the labor courts were selected from
lists drawn up by the Labor Front, as were also assessors for socialhonor courts which impose warnings and fines and can remove leaders
of enterprises and followers from the work community for violations of
social honor. Inspired by trade-union examples and enlarging them
considerably, the Labor Front created regional and local legal advi
sory offices which gave advice to workers and employers on all ques
tions concerning labor relations and social insurance, and might repre
sent members, both employers and employees, in the labor and socialinsurance courts. ^ The offices tried to bring the conflicting parties to
an understanding before going to court, and usually succeeded, in view
of the slight prospect of a favorable court decision against the opinion
of the Labor Front. As the advisory offices had to be consulted before
a complaint was made, the pursuit of all legal claims was under com
plete Labor Front control. The continuous publication, interpre
tation, and criticism of labor-court rulings by the Labor Front could
not fail to influence court decisions under a regime which had abolished
independence of courts.
Confidential councils, established by a law of 1934 in plants and
offices employing 20 or more persons, were supposed to be another in
strument of securing industrial peace. Acting as a representation of
labor (but with rights strongly restricted in comparison to those of the
shop councils of the Weimar Republic), and intended to cooperate
with the employers under whose chairmanship they met, they soon
lost in importance. Nonparticipation of the workers in the votes of
approval or open disapproval of the candidates presented by the em
ployer in agreement with the chief steward of the Labor Front fre
quently compelled the Trustees to step in and appoint the councils.
After 1935, new elections of councils were suspended and the Trustees
often used their right to unseat and replace such council members as
were considered uncooperative or made representations and complaints
to employers and Trustees. The work of the councils was taken over
progressively by the staffs of the Labor Front stewards in the plants;
the members of the councils for the most part became identical with
the staffs of the stewards. Since the council activities were too greatly
reduced to offer useful items of discussion in their rare meetings, the
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topics were routinized by official instruction and the meetings became
a mere formality.
Employers’ welfare work.—Between 1935 and 1938 the Labor Front
launched campaigns urging the employers to translate into deeds the
care for the workers with which they were charged by the law for
national labor. In addition to such specific performances as were
based upon law or decree, the building of dwellings for workers, shop
improvements, promotion of Strength through Joy, serving of warm
meals at low prices, and payment of compensation to workers and
their families for participation at Party or Labor Front meetings or
military exercises were urged and frequently agreed upon. In 1938,
the cost of “additional social performances” was said to have amounted
to 785 million marks, or an average of about 40 marks for each worker
or 2%-percent of his pay. The accuracy of tins figure, however, is
doubtful; moreover, on the average, comparison with similar preHitler figures indicates not much more than the usual advance of
social spendings by companies in boom periods. After the beginning
of 1939, however, when the last reserves of labor had been swept to
gether to work for the war machine, the Labor Front had to reverse
its policy. Voluntary compensation to the workers in the form of pay
as well as in general social care and even increases of vacation periods
were considered as unfair means of attracting workers from other fac
tories, and were therefore prohibited. The topic of additional social
care which for years had dominated Labor Front propaganda and
activities suddenly disappeared. Nothing shows more clearly the
compliance of the Labor Front alternately with all social and anti
social instructions of the Nazi regime and its complete lack of any
moral commitment to social work.
STRENGTH THROUGH JOY
Among the numerous activities of the Labor Front, the Strength
through Joy movement was the most popular. After its creation in
November 1933 it was at first an affiliate of the Labor Front under
Ley’s leadership; in 1938 it became a Labor Front department.
Strength through Joy had a monopoly on leisure-time organization,
offered evening classes in most towns and rural communities, and
became the outstanding Nazi agency for adult education. It intro
duced in all big plants sports for leisure hours; it organized hikes,
promoted swimming and boating, and short and long trips in Germany
and abroad; it was the largest travel bureau in the world. The organ
ization took over, purchased, or built resort centers in the mountains
and at the beaches, rented or built ships for trips to foreign countries,
and promoted the small “Strength through Joy car” which was in
tended to become the workers’ automobile in a country in which earn
ings were too low and car prices too high to allow the worker and
lower middle classes to purchase and operate a car of the usual size.
Strength through Joy activities were for years a leading propaganda
medium and were themselves permeated by Nazi propaganda: no
trip to Italy without praising the Axis and its aims; no lecture omitting
indoctrination of Nazism and racism; no performance without paying
homage to Nazi principles; no military band concert not designed to
arouse militaristic feelings. Although many of the Strength through
Joy activities had previously been initiated or performed by trade
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unions, Strength through Joy was presented as a splendid manifes
tation of Socialism in the Third Reich, breaking the barriers which
separated the underprivileged from cultural life and upper-class
enjoyments.
However, even from the Nazi point of view the organization had
its failures as well as its successes. Thus, although the expanding
sport activities in the plants and vacation trips were highly appreci
ated, adult education suffered a serious setback. The installments
on the “Strength through Joy car” were so large and the costs of car
operation so high as to be beyond the means of manual workers.
The Strength through Joy accomplishments have been greatly exag
gerated by Nazi propaganda. Retrospective Labor Front figures of
1940 invalidate previous distorted releases; they show that even in
the best year the average adult German attended only one performance
per year at theaters, concerts, cabarets, movies, and similar activities fur
thered by Strength through Joy. The average manual worker could
look forward to participation in a trip exceeding a prolonged week
end excursion only about once in every 30 years, and the salaried
employee once in every 8 years. Their prospects for a trip to foreign
countries were about once in 200 and 75 years, respectively. Never
theless, between 1934 and 1939 hundreds of thousands of workers
were able for the first time to take a trip during vacation; and the
psychological effect of such spectacular accomplishments as trips to
Italy, Norway, or Africa on the youth and the majority of workers
who had not been organized in free trade-unions and knew nothing of
their work for the steady improvement of the conditions can be rated
much higher than the above figures suggest.
Although the yearly turnover of Strength through Joy amounted
roughly to a billion marks, the organization itself contributed only 15
to 20 millions, exclusive of the salaries of the 6,000 paid officials and
the office expenses. The costs of the activities were covered in other
ways. Shop improvements were attained in numerous cases by
unpaid working hours or the work of shop troops; the employers
bore at least the expenses for needed material. Costs for trips were
lowered by negotiations with railroad and hotel managers on mass
transport, lodging and board—devices which were not new in Germany
but were now more successfully applied by wide-scale planning, more
elaborate organization, and, above all, powerful governmental and
Party backing. For more expensive trips, especially those to foreign
countries, the Labor Front and employers gave grants to politically
reliable and efficient workers.
W artim e A ctivities
Although immediately after the outbreak of the war the Labor Front
organization and activities were largely transformed, this trend became
more obvious in 1942 after the first reverses of the Russian campaign,
and led to a comprehensive administrative reform in March 1943.
The 59 subdivisions were reduced to 10: Organization, personnel,
political training, press, propaganda, youth and social legislation,
vocational training, labor research, Strength through Joy, and “ enter
prise organization.” The last named replaced the 17 trade offices.
Officers were to concentrate on greater efficiency of labor, conservation
of working power, strengthening of readiness to work, and conservation
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Monthly Labor Review—November 1944
of industrial peace, while at the same time watching wages and plant
discipline. Full concentration on war needs, with a total elimination
of activities not related to warfare, was the guiding principle.
The two outstanding wartime tasks of the Labor Front were the
work of the Strength through Joy for the army, and the work of the
Office for Manpower for all German and foreign workers in camps.
Army activities.—In 1939, the Labor Front took over, by agreement
with the German High Command, “the whole cultural care for the
army with the exception of motion pictures.” In 1940 entertainment
for the army amounted to about 80 percent, and in 1941 almost 90
percent, of the total Strength through Joy work. Vacation trips for
civilians had to be abandoned in 1940 and leisure-time activities were
restricted to sports. Looking back at 1941 the Nazi press had to
admit that “care for health in the plants suffers from lack of physicians
and drugs. * * * no material is available for shop improvements
and * * * construction of workers’ dwellings can be considered
only if new manpower has to be housed.” In January 1942 Ley took
the final step, ordering all Strength through Joy activities for civilian
purposes to be stopped, except some performances in labor camps.
From 1940 to 1942 impressive figures were released on Strength
through Joy performances for soldiers, especially the wounded and
sick, intended to maintain or restore their morale. At a meeting of
the Labor Front in Paris, in 1942, it was reported that hundreds of
thousands of plays, concerts, recitals, etc., had been given before many
millions of soldiers. Adult education was restricted to Germanlanguage courses for foreign workers in Germany and people of the
incorporated western Polish and French territories. In addition,
Strength through Joy ships became hospital ships or carried German
families returning from the Baltic countries to settle in Germany.
After 1942, however, even the work for military purposes rapidly
declined. The combing out of all able-bodied men for military service
and war work, the military reverses in the Soviet Union, and the air
bombardments precluded activities on the former scale. Finally, in
August 1944 Goebbels decreed, and in October completed, the disso
lution of the Strength through Joy organization, in addition to many
other Party institutions.
Camp activities.—The care for workers in camps was singled out by
Commissioner for Manpower Fritz Sauckel as an outstanding part of
the Labor Front’s war effort. He wanted to utilize its experience in
mass organization and supervision gained in dealing with the West
Wall workers before the wTar and the labor battalions of the Todt
Organization during the war.
For German workers, an activity already tested had thus to be
continued on a larger scale and adjusted to new conditions. In the
Polish Government General, for example, 118 camps for German labor
were established under Labor Front supervision. These German
workers had to serve as foremen and supervisors of Polish labor. It
appeared advisable to keep them together outside working hours not
only because of the difference in housing and food, but also for reasons
of discipline.
The handling of foreign labor offered more complicated problems.
The Office of Manpower created central and regional divisions for
foreign labor. Foreign divisions of the Office were opened in the
capitals of occupied territories or the countries allied with or friendly
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German Labor Front
943
to Germany; the Foreign Organization of the Labor Front had done
a preparatory job, in pre-war times, by establishing solid footholds in
every country.3 The foreign divisions were aided in their work by
offices of a Dutch, Belgian, etc., Labor Front, established under
German control and run by labor Quislings; the Labor Front subdivisious for foreign labor in Germany were manned by collaborators
taken from their ranks.
The Labor Front started the “care” of foreign workers after they had
been hired in occupied territory. Between 1940 and 1943, several mil
lion workers were conveyed to Germany and more than a thousand
camps in “Greater Germany” and several hundreds in German-occu
pied territory were taken over by the Labor Front. It selected the
administrative personnel for the camps and gave them a thorough
training. They were advised to iron out difficulties with foreign labor,
to promote a “community life” at the workplace and in the camps, and
to do everything to strengthen the working readiness and discipline of
foreign labor by propaganda, amusements, and, if necessary, compul
sion. In 1942, meals for 4.2 million workers daily were provided in the
labor camps by 15,000 kitchens. Libraries were created and 78 peri
odicals were published in 21 languages. Vocational training and re
training, based on tests of skills and aptitudes, were provided. The
millions of foreign workers were expected to become propagandists of
National Socialism when they returned home; they had to be “con
vinced of the superiority of German abilities, justice and incorrupt
ibility.”
Other wartime activities centered on war needs, too. Labor Front
leaders and subleaders for the armament industry were trained to
tighten the control and develop productivity there. Boys and girls
working away from their homes were given care, lodged, and super
vised by the Labor Front and the Hitler Youth. The number of fulland part-time physicians and of female social workers under Labor
Front supervision in the enterprises increased. With 40 full-time and
395 part-time physicians and 2,000 newly hired female social workers
(between 1941 and 1943), the number was still extremely low and re
vealed particularly a lack of interest in and care for the working women
who had replaced inducted men by millions. Kitchens in the plants in
creased from 6,000 to 12,000 between 1939 and 1942, and workers get
ting their meals there rose from 1.2 to 3.5 millions; in 1942 about a third
of all German industrial workers had their meals in plants or camps, a
far-reaching change in German living habits enforced by Labor Front
planning and organization.
Vocational training .—Participation of the Labor Front in vocational
training increased in line with the manifold needs of training or re
training. The training organization of industry maintained its leading
position; it created the basis for unified training aims and prepared
material enabling foremen and other unschooled trainees to perform
their tasks according to proven methods. The Labor Front went into
training within industry by opening training shops at which 3 million
workers have received training. The Labor Front press for vocational
training, oil the other hand, had to be greatly reduced. The yearly
vocational competition, however, which was started in 1934 for youth
3
The work of the Labor Front in this field has also come to the knowledge of a larger public in the United
States through the trial of the German American Vocational League (the American branch of the German
Labor Front) before the Federal Court at Newark, N . J., from March to M ay 1944.
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944
and extended in 1938 to the whole working population, was still held in
1943, whereas the model enterprise contest for the highest economic
and social performances was last organized in 1942—a proof of the
value attributed to the promotion of vocational improvements and
the discovery of skills and talents, not to forget the devotion to the
Nazi way of life which is a compulsory subject in all contests.
The Labor Front in the Post-W ar Period
What should be done with the Labor Front after the victory of the
United Nations has been repeatedly discussed: whether it should be
dissolved, or transformed and utilized in a new form for leading
German labor back from Hitlerism to the pursuit of decent aims and
honest methods of national and international labor and social policy.
The organization has been suggested as one possible means of recon
stituting quickly the trade-union movement (under trusted appointees
of the occupying forces, including representatives of the international
labor movement). Concern has been expressed with regard to the
organizational vacuum that would follow the dissolution of the Labor
Front. On the strength of an analysis of the present position and
activities of the Labor Front, this anxiety is not shared by others who
are opposed to the future utilization of this organ of Nazism with its
ramifications throughout German life. They warn that an evolu
tionary transformation and a change in leadership would not be suffi
cient to prevent an organizational survival of Nazism in the cells of
the Labor Front.4
This was also the point of view of one of the rare official utterances
dealing with this problem—a resolution proposed by the International
Labor Office but not adopted by the International Labor Conference
in Philadelphia. The resolution recommended that the Labor Front
be liquidated without delay, that any legislation or regulations in
compatible with freedom of association and its effective exercise be
declared invalid immediately, that under the regime of occupation in
consultation with a United N ations Labor Commissioner the continua
tion of such activities of the Labor Front as are of genuine social
value be assured, and that the property and funds of the Labor Front
(to be held in trust by the Labor Commissioner) be drawn upon for
the purpose of assisting the reconstitution of free workers’ organiza
tions and other appropriate purposes.5
In that resolution there are debatable points with regard to the
immediate restoration of freedom of association and other issues. It
is not intended, however, to deal in this study with the details of
policy in post-war Germany.6
4 For unofficial proposals in this direction, see American Labor Conference on International Affairs,
Studies in Post-War Reconstruction N o. 3: Germany in the Transition Period, by Hedwig Wachenheim,
June 1944 (p. 14). See also The Revival of the German Labor M ovement After the War, by Hedwig
Wachenheim (in International Post War Problems, N ew York, June 1944, pp. 371-386); Plan for Recon
struction of German Trade-Union M ovement (in M onthly Labor Review, Washington, August 1944, pp.
337-339); Germany After Hitler, by Paul Hagen, N ew York, 1943 (pp. 127-135); The Next Germany,
N ew York, Penguin Books, 1943 (pp. 45, 68); and the Trade Union Movement in Germany, Past, Present
and Future, by Hans Gottfurcht, London, Centre for German Workers in Great Britain, 1944.
5 International Labor Conference, 26th Session Recommendations to the United Nations for Present and
Post-War Social Policy. Report II, Montreal, 1944 (pp. 49-57; 83-84).
6 The' code for occupied Germany established by the Civil Affairs Division of the Allied Expeditionary
Forces includes a law (No. 5) providing for the dissolution of the Nazi Party and all its subdivisions, sub
sidiaries, offices, and institutions. All further activity of these organizations is made illegal, except as
necessary to preserve property, funds, records, and equipment (all of these w ill be taken into custody by
the M ilitary Government). The German Labor Front, as an affiliate of the Nazi Party, is subject to these
provisions.
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Labor Conditions in Denmark1
Sum m ary
DENMARK’S economy is based primarily on agriculture. Prior to
the war, agriculture accounted for about 35 percent of all gainfully
occupied persons, whereas only 27 percent were in manufacturing,
mechanical trades, and handicrafts. Unemployment during the 1930’s
rose to a high point in 1932 but declined gradually thereafter until
the outbreak of the war. Since 1933, placements have been generally
made through communal public employment exchanges.
Wages are usually fixed by collective bargaining. Average hourly
earnings in 1939 varied from 1.29 kroner (about 35 cents)2for unskilled
workers in the sugar industry in towns and rural areas to 2.63 kroner
(about 70 cents) for bricklayers in Copenhagen. Under the Nazis,
real wages declined from an index of 106 in 1939 to 87 in 1941. Pre
vious agreements were cancelled and wages were frozen at a reduced
level, but certain wage supplements were granted to compensate for
the rise in the cost of living. The 8-liour day, with minimum over
time pay of 25 percent above regular wages, was almost universally
observed in trade and industry.
The great majority of industrial wage earners and salaried employees
were organized into trade-unions. In 1939 there were 68 national
and 11 independent unions, the total membership of which had in
creased 49 percent since 1931. Before the German occupation, col
lective disputes were settled before the Permanent Arbitration Court.
Three regional conciliators were charged with the settlement of dis
putes within their respective regions. Following the German occupa
tion, strikes were banned and industrial disputes were brought before
a Labor and Mediation Board.
The Danish cooperative movement, which ranked among the fore
most in the world, was one of great variety. The importance of
cooperatives in the economic life of Denmark may be seen from the
fact that about 90 percent of the agricultural population belonged to
one or more cooperative associations. Under the German occupation,
the cooperative organizations (which in other German-occupied
countries had generally been liquidated) continued to function, al
though numerous restrictions and controls were imposed upon them.
Denmark’s comprehensive system of social insurance includes sick
ness insurance, virtually compulsory for persons between 21 and 60
years of age; invalidity insurance, compulsory for members of sickness
funds; old-age insurance, entitling Danish citizens over 65 to a
pension; unemployment insurance, providing benefits to virtually all
workers between 18 and 60 years of age; and workmen’s compensa
tion, covering all types of occupations including domestics. No
fundamental changes in the existing social-insurance system were
made during the period of occupation.
Industrial Background
Denmark, essentially an agricultural country, lacks the natural
resources (such as coal and iron) necessary for a high degree of indusi Prepared in the Bureau’s Editorial and Research Division by John P. Umbach.
8 Conversions made at rate of krone=26.8 cents. (See footnote 4, p. 950.)
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Monthly Labor Review—November 1944
trial development. In the latter part of the last century, when the
low ocean freight rates had rendered grain production unprofitable,
it was compelled to intensify its agriculture by changing from the pro
duction of grain to processed agricultural products. This shift grad
ually brought about an increased demand from farmers for agricul
tural supplies and consumer goods, and stimulated the establishment
of manufacturing industries. Since Danish agriculture and industry
are both based upon the import of essential raw materials, the inter
dependence of agriculture, industry, and foreign trade became a
significant factor in the economy of the country. Denmark’s foreign
trade, per capita, exceeded that of any other European country, no less
than two-thirds of the total exports going to England.
Denmark’s success in solving the problems of agriculture and in
establishing a prosperous export industry may be attributed partly to
economic planning, in which both the Government and the coopera
tive movement played an important part. Certain planning measures
were applied, through boards and committees, to increase production
and exercise controls over industrial activity without violating the
principles of democratic freedom. Under that system, during the 50
years preceding the present war, national income increased threefold.
Denmark’s experience in adjusting its economy successfully under
changing conditions, while at the same time maintaining a compara
tively high standard of living with a high degree of security and
freedom, earned for that country the reputation of being an efficient
democracy.
Industrial D istribution of G ainfully Em ployed Persons
The latest published figures on the industrial distribution of the
population as a whole are those contained in the Census of 1930
(table 1). Later figures, however, are available for particular in
dustrial groups.
T a b l e 1.— Industrial Distribution of Gainfully Occupied Persons in Denmark, 1930 1
Occupational group
All groups.. ______ ________
_ ,
Agriculture, forestry, fishing_____ __________
Industry and handicrafts, _ _____________
Transport and communication., . . . . . .
Commerce, banking, and insurance (including hotels)..
Public administration, liberal professions .
Domestic service, miscellaneous occupations_________
Employers
and inde
pendent
workers
Wage
earners
(including
unpaid
family
workers)
1, i>88, 367
485, 608
864,190
217, 229
559, 726
431, 422
91, 503
195, 783
96, 251
192, 342
212, 640
97, 937
21, 591
66,490
49,145
37,805
321, 941
299, 628
38, 534
40, 023
10,438
153, 626
25,145
33, 857
31, 378
89, 270
36, 668
911
Total
Salaried
employees
i Data are from International Labor Office, Yearbook of Labor Statistics, 1942. A more recent report,
published by the Danish Department of Statistics in the spring of 1944, showed that industry and handi
crafts at that time accounted for 1,285,300 persons or 33.4 percent of the entire population, and agriculture
for 27.7 percent.
^Regarding the above table, it should be noted that the group,
“wage earners,” includes unpaid family workers, who were presum
ably quite numerous in agriculture but not in industry. Wage
earners, including unpaid family workers, totaled more than half of
the total gainfully employed; self-employed and independent workers
were relatively numerous, constituting some 30 percent of the total.
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Labor Conditions in Denmark
Of the industrial workers, 48 percent were skilled, 18 percent were
semiskilled, and 34 percent were unskilled. Of those reported as
skilled workers, 31 percent were apprentices.
Manufacturing and mechanical trades.—Of the total number of wage
earners occupied in manufacturing and mechanical trades in 1935, the
largest proportion (70,165) was in the metal industry. The second
largest number of wage earners (56,741) was employed in building,
with the number of those engaged in the food industry (49,743) follow
ing closely. The numbers of wage earners and of women workers, as
well as the total number of gainfully employed, are shown in table 2.
T a b le 2 . —Gain fully Occupied Persons in Denmark in Manufacturing and Mechanical
Trades, 1935 1
Industry or trade
Total number
of gainfully
occupied
persons
Wage
earners
Women
workers
All manufacturing and mechanical industries or trades-.
459, 775
318,188
108, 260
M etal___
. . .
..
_____
Lumber and woodworking_______ _ . ______________
Paper___________ .. _
______
__ ______
Textile __
. _ _______ ___ __________
Food, etc_______ . _ _
__________ . ________
Building..
________
- _______ ______
Stone and glass .
__________ ___ _ __ _______
__
. . . . . ____
______
Clothing _ ___ ____
Leather and leather goods___
__ ____________
Chemical
.
___ _____ _
... _________
________ _ . __ ____
Printing, binding, e t c . . . __
Personal service trades___________ _________________
95,164
31, 390
5,719
20,129
73, 677
79, 087
22. 445
49, 597
17, 398
26,983
15,313
22,873
70,165
19, 666
4,605
16, 770
49, 743
56, 741
18, 353
34, 791
9,179
17,238
10,651
10, 286
7, 039
1, 655
2, 801
12, 687
19, 022
681
1,866
35,817
4, 054
6, 360
3, 797
12,481
1 Data are from Denmark, Statistisk Aarbog (Copenhagen), 1941.
Agriculture.-—In 1937 about 77 percent of the total land area was
used agriculturally and 9 percent was under forestry cultivation. The
remainder was not cultivable. The farms were largely of medium
size.
With the increased flow of grain from overseas into the European
market, Danish agriculture had turned to the production of meat and
dairy products, was importing fertilizer and feed from abroad, and was
utilizing its acreage primarily for the growing of feed. Milk, butter,
pork, beef, and eggs became the leading products, and a large propor
tion was exported.
The total number of persons occupied in agriculture in 1939 was
479,973, of whom 100,175 were women and girls. More than half of
the number of occupied persons were farm owners or members of their
families. Agricultural wage earners numbered 201,165, including
7,964 female workers employed throughout the year. In addition
there were 22,317 seasonal workers.
Fisheries.—Denmark’s extended coasts with their many inlets and
sounds have since early times offered most favorable conditions for
sea fishing. However, only during the past 30 to 40 years have
fisheries developed into an important national industry. At the end
of 1936 the fishing fleet consisted of 15,700 vessels employing 19,261
men, of whom 13,363 were full-time fishermen.
Manufactures.—Although Denmark lacks the industrially im
portant natural resources, such as, coal and iron, a number of
614U 2— 44----- 4
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important industries have developed during the last 70 years. By
1935, almost a third of the entire population derived its livelihood
from manufacturing and mechanical trade. From 1897 to 1935 the
increase in the number of persons engaged in industry was consider
ably greater than the increase in the total population. In 1935, the
largest number of industrial enterprises (19,000) was found in the
building industry and the greatest number of workers (95,164) in the
metal industry. The greatest number of establishments operating with
motor power was in the food industry, one of the most important in
the country. Other industries of significance were textile, leather,
cement, and china.
Em ploym ent Conditions
Following the depression of the early 1930’s there was a period of
fairly general recovery. This trend of rising employment was marked
in certain trades and manufacturing industries, which absorbed workers
previously engaged in agriculture and young persons without previous
work experience. On the other hand, certain industries continued to
show fairly large numbers of unemployed. This was true for certain
skilled trades, particularly in the building industry.
The accompanying statement gives indexes of the number of wage
earners in industry (exclusive of the construction industry) on the
basis of 1931:
Index 1
(1931=100)
1931
3932
1933
1934
1935.
100 . 0 1936.
91.
102.
116.
_ 125.
7 1937.
9 1938.
0 1939.
8
Index *
(1931=100)
._
_
_
_
131.
138.
138.
151.
5
1
4
1
1 Data are from International Labor Office, Yearbook of Labor Statistics, 1942.
W a rtim e em ploym ent conditions .—The loss of Great Britain as a
market for Danish products, in addition to other disruptions caused
by the war, reacted unfavorably upon employment. Soon after the
occupation of the country, the Nazis began their attempts to utilize
Denmark’s surplus labor to help solve their own manpower problems,
but were not very successful. To a large extent their failure can be
attributed to the steps taken by the Danish Government to spread
employment by processing its own resources, thereby achieving as
great a degree of independence as possible, and making the reduction
in unemployment one of the most effective defenses against the mo
bilization of labor by the Nazis.
In May 1940, a work-sharing law was adopted, which encouraged
voluntary agreements to shorten working hours in every industry.
For the losses in earnings workers received compensation equivalent
to the unemployment benefit due them for the number of hours lost.
By the end of July 1941, the system of sharing work had affected
72,000 workers,, and the reduction of hours was equivalent to the
employment of about 19,000 workers for 8 hours per day. A Govern
ment committee prepared a plan for increasing employment and
production. Among its major features were subsidies for new con
struction and building-repair work, general exemption from property
taxes, and reduction in the rates of interest on subsidized buildings.
These measures primarily benefited building workers. An act of
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949
April 1941 increased the amount authorized for loans for land-improve
ment purposes such as drainage, dike building, liming, and the
cultivation of heaths and swamps.
These Government efforts to create employment were supported by
the municipalities as well as by private organizations.
U n em p lo ym en t .—Denmark was not seriously affected by unem
ployment until the period of depression between World Wars I and
I I ; unemployment figures for trade-union members rose to a peak of
99,508, or 31.7 percent of the total membership. Beginning with 1933,
the number of unemployed declined until 1936, when it rose again,
reaching 97,136 in 1938. The latter figure, however, represented only
21.4 percent of the total trade-union membership.
Attempts by the Government to bring relief included an emergency
act of 1933 granting 3,000,000 kroner for “voluntary labor service”
of young persons. In 1934, the Government recommended a fairer
distribution of available work. It encouraged older workers to re
tire, raised the age for leaving school, lowered the maximum daily
hours of work, and took measures against extra work being undertaken
by public employees.
After the occupation of Denmark by Germany in 1940, unemploy
ment figures show considerable fluctuation, primarily as a result of
temporary public-works projects undertaken by the Government to
overcome some of the effects of the occupation upon the country’s
economy. Among trade-union members, there were still 117,420
unemployed in January 1942.
Im m ig ra tio n a n d em igration o j w orkers .—The employment of
foreign workers in Denmark was rather limited; the depression follow
ing World War I had caused such widespread unemployment that it
was thought desirable to protect the domestic labor market.
After the first World War emigration from Denmark to overseas
countries was quite small and remained so throughout the period
between the two wars. On the other hand, there was considerable
emigration to European countries, and this increased annually to a
high of 8,820 in 1939, the last peacetime year. The largest proportion
of these emigrants went to Germany, the second largest to Sweden.
Following the occupation of Denmark by Germany in the spring of
1940, emigration figures rose to 12,661 in that year. The increase
over previous years was the result of the policy of recruiting workers
for employment in Germany. In March 1942, more than 30,000
Danish workers had gone to Germany to work. This number had
increased to about 35,000 (of whom 5,000 were women) in May 1943.
In addition, there were at that time about 10,000 Danish workers
employed in Norway.
EMPLOYMENT AGENCIES
A system of public free employment exchanges was established by
an act of 1921. It was based upon a network of communal employ
ment exchanges which were recognized, subsidized, and supervised
by the State. The municipal employment exchange at Copenhagen
exercised the functions of a central employment office for the entire
country. Other communal employment exchanges might serve as
regional offices for specified sections of the country. The communal
employment exchanges were administered by a bipartite commission
of employers and workers chosen by the communal councils.
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In 1933 fee-charging employment agencies in general were abolished
but exceptions were allowed where the public-employment services
were considered inadequate.
Denmark had 30 public-employment offices in 1939. The activities
ot this system had increased from 336,632 applicants registered and
64,434 placements made in 1929-30 to 1,622,089 and 140 553
respectively, in 1939-40.
It ages and Earnings
With the development of Denmark’s trade-unions and employers’
associations into single national organizations of employers and
employees, respectively, collective bargaining gradually became the,
accepted method of fixing wages and working conditions. Usually
contracts and agreements are made on an industry basis and cover
all employees in the industry, whether organized or not.
In most of the Danish industries the majority of the workers are
engaged at piece work, the rates for which are stipulated in collective
agreements. _ The rates are not uniform within the same trade but
vary according to local conditions and customs. The wage rates
for workers in Copenhagen and vicinity differ invariably from those
m the same trades in the towns. In some cases workers are engaged
at time rates, minimum rates being stipulated in the collective
agreements. Ihcse rates differ for men and women, and accordin
to the locality. There are many different rates within each industry
lor special kinds of work under various conditions.
GENERAL LEVEL OF WAGES
In 1939, average hourly earnings in Denmark varied from 1 29
kroner (34.57 cents in United States currency)4 for unskilled workers
m the sugar industry in towns and rural areas to 2.63 kroner (70 48
cents) for bricklayers in Copenhagen.
During the period following the first World War, wage rates were
adjusted on the basis of the fluctuations in the cost of living as shown
m the official price indexes. The drop in prices, caused by the world
wide economic depression resulted in a rise of real wages during
19ol and 1933, since wage rates in most industries were no longer
determined on the basis of fluctuations m the cost of living. Alter
1933, however, real wages fell, as a result of a general rise in prices
which v as not accompanied by a proportionate increase in money
wages. I he trend of wages and cost of living from 1929 to 1941 are
shown m table 3.
equivalent0to^2fiIfpents ? n T S / ^ Uati°n °f tb^ ar?y 1930’s’ the Par value of the Danish krone was
to a lo w o fiq
** *?, c,urrencV While currency devaluation caused the krone to drop
orirfnil''nL
W
the P h a s i n g value of the krone remained relatively unaffected
I ne original pai value of 26.8 cents has been used here, therefore, as the equivalent of the krone.
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Labor Conditions in Denmark
T a ble 3. —Trend of Wages and Cost of Living in Denmark, 1929-41
Year
1929
1930
1931
1932___________
1933
1934
1935___________
(1929=100)
H ourly Index numbers
of—
money
wages
(in
o n ey Real
Cost of
kroner) M
living
wages wages
1.28
1.31
1.31
1.31
1.31
1.32
1. 33
100
102
102
102
102
103
104
100
107
114
114
111
107
105
100
96
90
90
92
96
99
1
(1929=100)
H ourly Index numbers
of—
money
wages
(in
M on ey Real Cost of
kroner) wages wages
living
Year
1936___________
1937 __________
1938___________
1939___________
1940 __________
1941___________
103
105
111
115
127
137
1.32
1. 35
1.42
1. 47
1.62
1.75
103
102
105
106
91
87
101
104
106
109
135
157
1 Data are from International Labor Office, Yearbook of Labor Statistics, 1942.
WAGES DURING THE WAR
In the fall of 1939 an agreement was reached between the Danish
Federation of Labor and the Danish Employers’ Association whereby
workers were to be compensated for the increased cost of living. This
basic agreement became effective in November 1939, and provided for
full coverage of all increases in the cost of living beyond the retail
index of 183, which was based on prices in 1914. After the occupation
of the country in April 1940, the newly formed coalition Government
cancelled previous wage agreements between employers and employees,
and in particular, the general agreement of November 1939. It also
reduced existing wages by 7 percent.
In January 1941, when the cost-of-living index had risen 42 percent
above the 1939 index, the Government agreed to a minor increase in
wages in the form of the so-called “bread bonus,” to cover the increase
in the cost of bread.
In February 1944, an agreement was reached by the Labor and
Arbitration Board, granting the following bonus supplements to com
pensate for further increases in the cost of living: 5 0re5 per hour
for male workers over 18 years of age, 3% 0re per hour for women
workers over 18 years of age, and 2 0re per hour for workers under
18 years of age. The total cost-of-living bonus amounted to 50.15 0re
per hour for male workers over 23 years of age, 45.15 0re for male
workers over 18, 32.20 0re for women workers over 23, 29.20 0re for
women workers over 18, and 18.15 0re for all workers under 18.
The trend in wages and cost of living during the war is given below.
Index numbers {July 1989=100) of—
Real
Money
Cost-ofliving
wages
wages
July 1939_______________
January 1940
July 1940_______________
January 1941
July 1941_______________
January 1942
July 1942
January 1943 .
_ _
July 1943_______________
* An rfre is one-hundredth of a krone.
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____________ 100
__________ i n
__________ i n
____________
____________
____________
____________
____________
____________
114
121
124
124
124
128
100
100
87
80
81
80
80
79
83
100
111
127
142
150
152
155
156
155
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Monthly Labor Review—November 1944
WAGES IN COPENHAGEN, BY INDUSTRY AND OCCUPATION, 1939 AND 1941
Table 4 shows average hourly earnings in various industries and
occupations in Copenhagen for 1939 and 194L During both years
earnings were highest for bricklayers and joiners. In all occupations
there was a considerable increase in earnings from 1939 to 1941.
T a ble 4. —Average Hourly Earnings in Copenhagen, by Occupation and Sex, 1939 and
1941 1
Industry and occupation
1939
1941
Kroner
1.88
1.84
1.51
1.49
2.62
1.89
2.08
1.78
1.40
1.83
1.52
1. 72
1. 86
Kroner
2. 22
2.12
1.83
1.85
2.78
2.14
2. 42
2. 09
1.72
2.16
1.95
2. 07
2. 27
1. 33
1. 60
1. 56
1. 58
1.62
1.34
1.68
1.92
1.88
1.96
1.83
1.67
Male workers
Smiths and engineers___________
Electricians___________________
Unskilled laborers_____________
Ceramic industry (unskilled)___
Bricklayers____________________
Cement workers.................... ..........
Joiners________________ _______
Cabinetmakers___________ _____
Paper industry________________
Typographers_________________
Textile workers________________
Shoemakers______________ _____
Tanneries (unskilled)___________
Paint and varnish industry (un
skilled) ______________________
Bakers_______________ ___ _____
Breweries (unskilled)___________
Cigar industry (skilled)____ ____
Conductors and drivers. _.............
W arehousemen____________ ____
Industry and occupation
1939
1941
Female workers
Metal industry_________________
Ceramics industry______________
Brush industry________________
Paper-box industry_________ . . .
_____
Printing. _. __________
Bookbinding_____________ _____
T extiles.. . ___________________
Seamstresses ________ ________
Shoemaking__________________ .
Tanneries_______ __ ________
_________
Oil m ills............
Breweries. . . . ________________
Chocolate industry_____________
Cigar industry (skilled)
Cigar industry (unskilled)______
Laundries_____________________
Kroner Kroner
0. 98
1.22
1.13
1.40
.91
1.16
.96
1.17
.98
1.20
1.04
1.28
1. 02
1. 32
.85
1.07
1.00
1.23
1.14
1. 43
.91
1.08
1.16
1. 37
.80
1. 03
1. 37
1.66
1.24
1.44
.81
1.04
i Data are from International Labor Office, Yearbook of Labor Statistics, 1942.
DEDUCTIONS FROM WAGES
No deductions are made directly from wages for taxes or contri
butions to social insurance, although nearly all incomes are taxed
and various contributions have to be paid out of the income of the
Danish worker.
Wage earners do not contribute towards workmen’s compensation
or old-age pensions, the expenditures for which are covered by the
employers or by general taxation. Workers are required, however,
to insure against sickness, in State-authorized and State-supported
sick-benefit societies, at a rate of 3.00 to 7.00 kroner a month, and,
against invalidity resulting from sickness at a rate of 6.00 kroner
annually. Organized workers also had to contribute toward unem
ployment insurance.
Hours of Labot\ and Overtime
Prior to the invasion of Denmark by Germany, the 8-hour day, with
a 48-hour week, was almost universal in trade and industry. There
were some industries in which the week ranged from 44% to 46 hours.
The 8-hour day was not observed, however, in agriculture and ship
ping, with the exception of the marine engine rooms, where it has
been in force for some years.
Although hours of work were generally regulated by collective
agreements, in some cases overtime was regulated by statute. An
act was passed in 1937 prohibiting overtime for all wage earners
employed in industrial and commercial establishments, transportation,
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and hotels and restaurants. Certain exceptions were authorized and
such overtime had to be offset by corresponding rest periods and paid
for at the increased rates provided for in the collective agreement.
Where overtime was permitted, the following schedules of payment
were required:
Percent paid
above regular
rate
First hour___________________
25
Second hour_________________ 30-33%
Third hour__________________
50
Fourth hour_________________ 70-80
100
Thereafter__________
On Sundays and holidays the rate for overtime was time and a half
until noon, and thereafter double time.
Vacations W ith PayIn the collective agreements of 1931, 1 week’s vacation with pay
was granted to the workers in some trades. By later agreements this
privilege was extended to most of the trades.
A law providing for paid vacations was adopted in April 1938,
covering all persons employed in public or private employment
(including agricultural workers and seamen) with certain exceptions.
All workers to whom the act applies are entitled to 1 day’s vacation
with pay for each month of service in the establishment, with pro
portionate allowances for shorter periods. Every person entitled to
a vacation must receive as vacation pay a sum equal to 4 percent of
the wages received during the period for which the vacation is due,
not including special allowances for overtime.
A statistical survey concerning vacations with pay in Denmark in
1938 showed that prior to the adoption of the national law some twothirds of 348,000 workers covered were entitled to a paid vacation.
The vacation was 6 days for 174,000 of these workers, and 36,000
received longer periods. Salaried employees generally received 12
days’ vacation.
Adm inistrative Agencies fo r Labor
Prior to the German occupation all laws pertaining to labor and
social welfare were administered by the Ministry of Social Affairs.
Attached to the Ministry was the Office for the Supervision of Em
ployment Exchanges and Unemployment Insurance, the Permanent
Arbitration Court, and the Government Conciliators for Industrial
Disputes. Locally, the public employment exchanges, or certain
subsidiary authorities charged with specific functions, had jurisdiction
in the administration of labor affairs. The various social-insurance
funds were responsible for the administration of their respective
insurance systems.
Following the occupation of Denmark by Germany in April 1940,
few changes in labor administration occurred prior to 1942, when the
functions of the Ministry of Social Affairs were divided and two sepparate Ministries (one for Labor and one for Social Affairs) were
established. The new Ministry of Labor retained jurisdiction over
such phases of labor as employment, arbitration, protection, and mi-
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Monthly Labor Review—November 1944
gration. The Ministry of Social Affairs was charged with the adminis
tration of social insurance and legislation pertaining to the regulation
of apprenticeship, vacations, and matters concerning salaried em
ployees and casual workers.
Labor agencies, created since the occupation, included the Board
for Piece-Work Rates, which regulated the rates for piece work under
public contracts. Another board was charged with spreading employ
ment and otherwise relieving the economic distress of workers caused
by the war. A special board dealing with employment of young per
sons was created in November 1940. A new labor and conciliation
board was established in September 1940.
Labor Organizations
Labor organizations prior to German occupation.—In 1939, 525,409
workers were organized in trade-unions, representing approximately
a third of all gainfully occupied persons. This group included a com
paratively large proportion of unskilled and female workers. In
recent years white-collar workers employed in commerce and trade
were organized into a large union, and various groups of public and
private employees formed their own organizations.
Only a few of the Danish national unions were industrial in scope
the majority being on a craft basis.
There were 68 national unions affiliated with the Confederation of
Trade-Unions in 19o9, while 11 were unaffiliated. The largest union
was the General Workers’ Federation with 180,000 members, includ
ing unskilled workers in factories, transportation, agriculture, and
other occupations.
The Confederation of Trade-Unions was affiliated with the Inter
national Federation of Trade-Unions, and practically all of the
national unions belonged to their respective trade internationals.
The growth of trade-union organization from 1931 to 1939 is shown
in the following tabulation.
1931
1935
1939
Members
353, 752
436, 989
525, 469
The establishment of trade-unions was followed by the organization
of employers’ associations. The central organization, the Danish
Employers’ Association (Dansk Arbejdsgiverforening), included almost
all branches of industry and trade. In 1937, the members of the
association employed about 175,000 workers.
The Government and labor unions.—Trade-unions were represented
in the Employment Committee, an advisory body dealing with ques
tions of employment exchanges and unemployment insurance, and in
the Advisory Labor Committee in the Ministry of Labor, which studied
the means of combating unemployment. Other advisory bodies were
the Labor Council, which dealt with questions of labor inspection,
and the Social Welfare Council, which was responsible in questions of
social welfare. Both the Government and the trade-unions were
represented in these bodies.
The Workers’ Insurance Council, on which the trade-unions were
also represented, had power of decision in disputes concerning work
men’s compensation for industrial accidents.
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Close relations were maintained between the Danish Confederation
of Trade-Unions and the Labor Party. Each was represented on the
executive council of the other.
Changes under German occupation.—After Denmark’s occupation by
Germany in April 1940, the labor organizations concentrated on saving
what they could within the conditions forced upon them by the occu
pation. Special importance was attached to the German promise not
to interfere in Denmark’s internal affairs, and the Government and
the trade-unions were on their guard against any kind of encroachment.
Industrial Relations
After a long period of gradual but steady growth, collective bargain
ing in Denmark, even well before the present war, had become the
generally accepted method of determining conditions of employment,
and the large majority of Danish workers, including those in agricul
ture, were covered by collective agreements.
CONCILIATION AND ARBITRATION
As a rule, collective disputes arising out of the breach of collective
agreements were brought before the Permanent Arbitration Court,
while disputes concerning the interpretation of collective agreements
were dealt with by the conciliation procedure specified in these
agreements.
According to the Conciliation Act of 1934, which is still in force,
three regional conciliators were appointed by the Minister of Social
Affairs upon the recommendation of the Permanent Arbitration Court.
In case of a threat of work stoppage, the Conciliator in whose region
the dispute occurs may convene the parties for negotiation and make a
proposal for conciliation. If the Conciliator considers it advisable,
he may submit a draft settlement, the form and substance of which
must be discussed with the representatives of each of the parties.
The latter may accept or reject the draft settlement. In case the
efforts of the State Conciliator fail to effect conciliation, a compulsory
arbitration board for the settlement of the particular dispute may be
created through special emergency legislation.
Following the German occupation, a law was passed in September
1940, banning strikes and requiring labor disputes to be settled by a
tripartite Labor and Mediation Board consisting of nine members,
three of whom are elected from the national organizations of employers
and workers, respectively, and three by the Government.
Permanent Arbitration Court.—The Permanent Arbitration Court
(also called the Central Labor Court) was composed of 6 members
and 16 substitutes, elected in equal numbers by the Employers’
Federation and the Confederation of Trade-Unions, respectively,
and serving for 2-year terms.
The Court was competent to deal with disputes involving any
breach of a collective agreement between a workers’ organization and
an employers’ association or an individual employer. It also passed
upon the legality of strikes and lockouts which were in violation of a
collective agreement, an arbitration award, or a previous decision of
the Labor Court. Other disputes between employers and workers
could be submitted to the Court provided it consented to deal with
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Monthly Labor Review—November 1944
them. The awards of the Court were binding and their enforcement
was subject to the rules which governed the execution of the judgments
of regular courts.
From the time of its establishment (in 1910) until 1935, the Court
dealt with a total of 2,185 cases, resulting in 1,018 (46.6 percent)
awards.
Local conciliation boards .—The greater part of the disputes which
arise are settled by local conciliation boards and courts of arbitration,
which have acquired great importance throughout the country and
have lightened the work of the Permanent Arbitration Court.
INDUSTRIAL DISPUTES
The “September Agreement” of 1899 provided that a strike or
lockout had to be decided on by a three-fourths majority in the general
meeting of the organization concerned. Sympathetic strikes and
lockouts were permitted and recognized. Strikes and lockouts for
political purposes were virtually unknown. The penalty for violations
of the restrictions on strikes and lockouts, usually decided on by the
civil courts, consisted of the payment of damages and fines.
In the decade 1930-39, the largest number of strikes and lockouts
(38) and also the largest number of workers involved (10,816) occurred
in 1934.
Cooperative Movement
About 90 percent of the population living on Denmark’s 206,000
farms belonged to one or more cooperative associations. In the
production of seed, artificial manures, feeding stuffs, cement, cattle
and poultry for domestic and foreign use, Danish cooperatives were
world models. Danish cooperative dairies handled approximately
95 percent of all Danish milk, and about one-third of the butt&r
exports throughout the world came from Danish cooperatives. In
1935, the cooperative associations of that country handled the follow
ing proportions of the totals of various Danish goods exported: Eggs,
25.1 percent; cattle 39.1 percent; butter, 47.1 percent; and bacon,
84 percent.
Though the Danish consumers’ cooperative associations did not
receive as much attention outside Denmark as did the agricultural
associations, they had become almost as widely organized. In 1935
the 1,835 consumers’ cooperatives with their 319,000 members repre
sented almost 10 percent of the country’s population—a proportion
exceeded only in Great Britain, Finland, and Switzerland. Including
family members, however, one-third of the Danish people were in
some way associated with consumers’ cooperatives.
Centralized purchasing for the cooperatives was carried on by the
Union and Wholesale of Danish Distributive Associations (known
from the initials of its name in Danish as “F. D. B.”). In 1934 the
affiliated associations bought 89 percent of their supplies from the
wholesale, and by 1937 the proportion had reached 91 percent.
The Danish cooperative associations formed so integral a part of
the national economic life, when the Germans occupied Denmark
in April 1940, that their machinery and services appear to have been
maintained practically intact.
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Labor Conditions in Denmark
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Social Insurance
Denmark’s present system of social insurance is based on three
main acts which were passed as part of the “social reform” of 1933,
replacing and simplifying more than 50 laws or legislative provisions
in existence at that time. These three acts provide benefits in case
of sickness, unemployment, and industrial accidents, and pensions in
case of invalidity and old age.
S IC K N E S S IN S U R A N C E
Denmark’s earliest legislation for sickness insurance was adopted
in 1892, when a general reform of social legislation was undertaken.
The scheme in force until 1933, based on an act of 1915 and subse
quent amendments, was replaced by the sickness-insurance provisions
in the consolidated People’s Insurance Act which went into effect
October 1, 1933..
The act authorizes membership in a recognized sick fund by Danish
citizens between the ages of 14 and 60 years whose income and prop
erty do not exceed certain limits fixed every 3 years by the Minister
of Social Affairs. Between 1933 and 1936, the income limit was
4,200 kroner for Copenhagen, while the property limit for persons
with dependents was 14,000 kroner. Persons whose income or
property exceeds these limits may either transfer to the fund’s section
for persons “with means” or join a State-inspected sick-benefit
society. Danish citizens between 21 and 60 years of age who are
not full members of a recognized sickness fund or full or contributing
members of a sick-benefit society, are required to become contribut
ing members of a recognized sickness fund, provided they satisfy
the health requirements; they are thus usually insured against inva
lidity and acquire the right to a noncontributory old-age pension.
While children under 15 years of age are usually insured if their
parents belong to a sickness fund, an insured man’s wife must join
separately in order to acquire the right to benefit.
The full members of the State-recognized sickness funds, which
are the principal insurance institutions, are entitled to a State sub
sidy. The funds are self-governing institutions, managed by a
committee elected by the members. A State Director of Sickness
Funds is entrusted with the supervision of the funds. The sickbenefit societies are also self-governing and supervised by the State,
but have no State subsidy.
The expenses of recognized sickness funds are met partly out of
State and communal subsidies. The contributions of full members
serve to cover the remaining expenses. Full members of the sections
for persons “with means” pay the regular contribution and a supple
mentary contribution of not less than the State subsidy received for
each member “without means.” For each member “without means”
the annual State subsidies amount to 2.00 kroner, one-fourth of
the medical expenses, and certain daily allowances. The State also
refunds three-eighths of the total expenses for members suffering
from bodily infirmity or chronic disease. The charges to full members
for treatment in State hospitals are greatly reduced.
Communal subsidies include three-eighths of the total expenses
for members suffering from bodily infirmity or chronic disease and
free conveyance of sick members to and from doctors and hospitals.
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
Contributing members of sickness funds and sick-benefit societies
pay 2.00 kroner a year up to the age of 25 and 2.50 kroner thereafter.
Benefits are paid, in the case of accident, from the date of occurrence;
in the case of sickness, after 6 weeks’ membership; and in maternity
cases, after 10 months’ membership. Cash benefit is granted only
in case of sickness of not less than 4 days’ duration and is limited to a
period of 26 weeks in 12 consecutive months.
Insured persons (and their children under 15 years of age) are
entitled to free medical attendance, hospital treatment, and attendance
by a midwife. In addition, most funds pay for half the cost of
medicines and two-thirds of the cost of dressings, spectacles, artificial
limbs, etc.
Cash benefits are allowed up to four-fifths of the average daily
earnings, but not less than 0.40 krone or more than 6.00 kroner.
For persons suffering from physical or mental infirmity, the maximum
benefit is 3.00 kroner per day, and for persons receiving an invalidity
or old-age pension, 1.00 krone per day. Persons receiving their full
pay during sickness are not entitled to cash benefit.
In 1934, there were in Denmark 1,622 sickness funds and 17 sickbenefit societies. The number of full members of sickness funds was
about 80 percent of the population over 15 years of age.
IN V A L ID IT Y IN S U R A N C E
Insurance against invalidity is provided for in the People’s Insurance
Act of May 1933 and is compulsory for all full and contributing
members of recognized sickness funds and sick-benefit societies,
provided that, when admitted to sickness insurance, they are not
suffering from an incurable disease or serious infirmity. Persons with
such disabilities may be admitted to invalidity insurance only if the
Director of Sickness Funds decides that the person in question is
able to contribute substantially to his maintenance. The liability
to invalidity insurance applies to the whole population between 21
and 60 years of age, provided certain health conditions are satisfied.
The financial resources of the invalidity-insurance system are
administered by the Invalidity Insurance Fund. The invalidity
pensions are disbursed through the communal authorities. The
Invalidity Insurance Court decides whether an applicant’s earning
capacity has been reduced to a degree which entitles him to an
invalidity pension.
The annual contribution for persons between 18 and 21 years of
age is 6.00 kroner; for those over 21 it is 7.20 kroner. Employers,
required to insure their workers against industrial accidents, must pay
to the invalidity insurance system 6.00 kroner annually for each of their
workers. A certain part of the cost of administration and insurance
is met by the State. The communes must contribute one-seventh
of the invalidity pensions paid, in addition to providing medical
attendance, treatment, and other necessary care.
When an insured person’s earning capacity falls below one-third
of his customary earning power, he is entitled to an invalidity pension..
Upon reaching the age of 65, an invalidity pensioner’s benefits arereplaced by an old-age pension, calculated at the same rates.
Invalidity pensions vary (according to locality and marital status)
from 510 to 1,266 kroner per year.
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Federal Reserve Bank of St. Louis
Labor Conditions in Denmark
959
Approximately 2,200,000 persons were insured against invalidity
on December 31, 1934. The number of invalidity pensioners at that
time was 29,500.
O L D -A G E P E N S IO N S
The present old-age pension system, based on the People’s Insurance
Act of May 1933, provides that every Danish citizen is entitled to an
old-age pension at the age of 65 years without making special con
tributions, if certain conditions are fulfilled. In special cases the
pension may be granted at the age of 60, if this is considered desirable
for reasons of health or other circumstances.
The right to a pension is subject to the condition that the means
of a beneficiary do not exceed certain limits. Beyond these limits
the deductions from pensions are the same as those made from
invalidity pensions.
Decisions as to whether the conditions for obtaining a pension
have been fulfilled are rendered by the social committee of the com
mune of residence, which is also responsible for paying the pensions.
Of the total amount of the pension awarded, one-seventh is paid
by the commune of residence, two-sevenths are distributed among
the communes of the country, and the remaining four-sevenths are
paid by the State.
The annual pensions paid vary from 432 to 1,086 kroner.
These rates vary to a certain extent with the cost-of-living index.
Pensioners with children under 15 years of age are entitled to bonuses
at the same rate as those fixed for invalidity pensions. Pensioners in
need of assistance in case of sickness normally obtain this from the
sickness funds.
The number of old-age pensions in March 1935 amounted to 107,500.
There were 135,000 beneficiaries, and 7,000 pensioners resided in
homes for the aged.
U N E M P L O Y M E N T IN S U R A N C E
A system of voluntary unemployment insurance, based on the act of
May 1933, was put in operation October 1, 1933. The insurance is
open to both manual and nonmanual workers in industry, commerce,
transportation, agriculture, and other branches of economic life, who
are not disqualified for physical or moral reasons. Admission is limited
to workers between 18 and 60 years of age whose property does not
exceed 5,000 kroner for single persons or 10,000 kroner for those with
dependents.
The central administration is entrusted to the Director of Unem
ployment Insurance under the Ministry of Social Affairs. Locally,
the insurance is administered by State-recognized unemploymentfunds, generally organized by trade-unions. A fund must have a
minimum of 100 members in order to obtain State recognition. The
recognized unemployment funds may establish continuation funds for
the purpose of paying benefit in periods of depression to members who
have exhausted their right to benefit under the rules. A National
Unemployment Fund, made up of employers’ contributions and State
subsidies, grants annual subsidies to the continuation funds and sub
sidizes relief works and courses of training for the unemployed. It may
also grant loans to the unemployment funds in times of severe unem
ployment.
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Federal Reserve Bank of St. Louis
960
Monthly Labor Review—November 1944
The contributions of insured persons are fixed on the basis of experi
ence and anticipated needs, and vary considerably from fund to fund.
In addition, contributions have to be paid to the continuation funds,
generally not less than 20 percent of the contribution paid to the unem
ployment fund.
Employers contribute to the National Unemployment Fund at the
rate of 4.50 kroner annually for each worker employed. For appren
tices and agricultural and forestry workers the rate is 2.00 kroner.
The State subsidies to the unemployment funds vary from 15 per
cent of the insured person’s contributions in the highest-paid occupa
tions to 90 percent in the lowest-paid groups. The continuation funds
receive a State subsidy at the same rate as the unemployment funds.
They also receive a subsidy from the National Unemployment Fund
equal to half the total amount paid in benefits. The communes are
required to refund to the State one-third of its subsidies to both
unemployment and continuation funds.
An insured person is entitled to benefit only after he has belonged to
a fund for 12 months. He also must have been employed for at least
10 months a year during the 2 years preceding unemployment. Bene
fits are granted only in the event of involuntary unemployment. In
the case of strikes, lockouts, sickness, or invalidity, no benefits are
payable during the first 6 days of unemployment.
The benefits paid by the funds include daily allowances and traveling
and removal grants. The cash allowance per day may not exceed twothirds of the average earnings in the occupation of the insured person,
or 4.00 kroner for persons with dependents and 3.00 kroner for single
persons. These maximum amounts are adjusted every year to the costof-living index. Each fund determines the maximum days of benefit,
but they must not be less than 70 in any 12 consecutive months. Mostfunds grant a special bonus for the Christmas holiday. The rates of
benefit paid by the continuation funds are the same as those established
for the unemployment funds.
In March 1935, there were 70 unemployment funds and continuation
funds, with 3,368 local branches and a total membership of 389,951.
w o r k m e n ’ s c o m p e n s a t io n
The legal basis for workmen’s compensation is the act of May 1933
which covers all occupations, including domestic service, and is com
pulsory. Temporary domestic service not exceeding 240 hours in a
calendar year is excepted. Any employer may insure himself and wife,
provided his income does not exceed certain limits.
The workmen’s compensation institutions are the State-recognized
employers’ mutual-insurance societies and Danish or foreign insurance
companies. The State, the communes, and, in exceptional cases,
private enterprises may carry their own insurance. Persons employed
at sea must be insured with the Shipowners’ Mutual Insurance Society
or the Mutual Insurance Society of the Fishing Industry. The system
is administered by the Accident Insurance Directorate under the
Ministry of Social Affairs. The Directorate’s decisions are open to
appeal to the Accident Insurance Council.
The State contributes two-fifths of the insurance premiums payable
by an employer for the benefit of his workers and himself, provided his
annual earnings do not exceed 2,400 kroner in Copenhagen, 2,100
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Federal Reserve Bank of St. Louis
Labor Conditions in Denmark
961
kroner in towns, and 1,800 kroner in rural communes. The cost of the
central administration is also paid for by the State, while all other cost
of the insurance proper is borne by employers.
Workmen’s compensation covers occupational accidents and diseases
not due to serious fault or willful misconduct on the part of the workers.
The insurance institution supplies dressings, artificial limbs, spec
tacles, invalid chairs, and other aids. In case of temporary incapacity
a daily allowance equal to two-thirds of the injured person’s daily
wage (not to exceed 4.75 kroner) is payable for the time of incapacity.
This benefit becomes payable, for full members of sickness funds only, 13
weeks (for contributing members 14 weeks) after the accident. In case
of permanent and total incapacity a life annuity equal to three-fifths of
the annual wage is payable, and a proportionate fraction if the inca
pacity is partial. If the loss of working capacity is less than 50 percent,
the annuity is converted into a lump sum. No compensation is
granted for incapacity of less than 5 percent. The maximum annual
wage on which compensation may be based is fixed at 2,100 kroner.
In case of death a lump sum is payable to the widow equal to 3.6 times
the annual earnings of the deceased. A lump sum amounting to 1.35
times the annual wage is payable to each dependent child. In the case
of children who have lost both parents the lump sum is 2.7 times the
annual earnings. The total compensation for a fatal accident may not
exceed 6.3 times the annual earnings of the deceased. The funeral
benefits amount to 180 kroner.
The number of persons covered by compulsory workmen’s compen
sation insurance in 1932 was 621,665. There were 15,955 persons
insured under voluntary insurance.
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Federal Reserve Bank of St. Louis
Employment Conditions
Employment and Productivity in Anthracite Mining,
1 9 4 2 -4 3 1
ANTHRACITE production was increased to 60,643,620 tons in 1943
from 60,327,729 tons in 1942, in spite of a reduction in the average
labor force to 79,153 men from the 1942 average of 82,121. During
the year, the average number of days worked rose to 270, an increase
of 31. Man-day output declined to 2.78 tons, from 2.95 tons; how
ever, output per man per year increased to 751 tons, from 705 tons in
1942. Except for a slight rise in machine loading, the tonnage mined
by mechanical means declined. Employment, output, and produc
tivity statistics are shown in the accompanying table for 1942 and
1943.
Employment, Output, and Productivity in Anthracite Mines, 1942 and 1943
Item
Production... _ _____
_ _______________
.
_____ net tons
___ _ _ _ _ _ ___ . . .
Average number of days worked_________
_________ ___
Average number of men employed_________ _____
Average output per man per day______________ _____ _ _______ net tons
Average output per man per y e a r.____________ . . _ ______________ do . .
Quantity cut by m achine.. . ____________________ _ __ __________ do . .
Quantity mined by stripping_____________________ . . . . . ________ do .
Quantity loaded by machine underground_____ _
________ _______ do. .
1942
60, 327, 729
239
82,121
2.95
705
2,285,640
9, 070, 933
14, 741, 459
1943
60, 643, 620
270
79,153
2.78
751
1,624,883
8, 989,387
14,745,793
Labor Conscription for Road Work in Ecuador2
ALL males in Ecuador between the ages of 21 and 50 were made sub
ject to conscription for road work in their respective Cantons by an
Executive decree of June 15, 1944, and the Road Conscription Law
which became effective August 1, 1944. Of a total population of
3,095,078 persons, 1,183,119 are reported as in the age group affected.
The decree exempted from conscription workers in factories
and mines and active members of the army and police force, and
permitted those not contributing their services on the roads to pay
the amount of the prevailing daily wage for 8 days of work. It^was
apparent that the law would operate as a^monetary tax in urban
Cantons, such as that of Quito, and that the road work would be
done mainly by day laborers, agricultural workers, and mechanics
not employed in factories or mines.
i United States Department of the Interior, Bureau of Mines. Pennsylvania Anthracite, 1943,
Washington, 1944. (Mineral Market Report, M . M . S. No. 1215.)
* Data are from decree of June 15, 1944 (No. 76)¡reports of Howard H. Tewksbury, commercial attaché.
United States Embassy, Quito, Ecuador, June 19 (No. 1700) and June 27 (No. 1729), 1944; and report of
E . Allen Fidel, economic analyst, United States Embassy, Quito, July 24 (No. 1865), 1944.
962
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Federal Reserve Bank of St. Louis
Employment Conditions
963
In order to expedite the road work, plots of land adjoining the high
ways were to be provided, for shelters and for cultivation. A decree
of July 18, 1944, authorized the Ministry of Public Works to expro
priate for this purpose, without compensation to the owners, onehalf hectare3 of land in each 5 kilometers of road.
Recent Labor Developments in Uruguay4
IlECENT labor developments in Uruguay include (1) the establish
ment of wage boards, (2) the formation of family-allowance funds,
(3) the enactment and proposal of a number of labor laws, and (4)
progress in the administration of social security.
W ages and W orking Conditions
Wage boards to determine minimum wage rates in the various
industries were provided for by a law of November 12, 1943.5 By
the end of the following August, 35 such boards or salary councils
had been requested, 18 had been constituted, and wage awards had
been made in the cases of streetcar and bus workers in Montevideo
and of employees of the brick kilns. An investigation of the financial
condition of the streetcar company indicated that no permanent
increases could be made above the current rates, which were estimated
to average $67.20 monthly. The award provided, however, that the
“temporary” wage increase of 5 centésimos per hour, which had been
in force since July 1943, was to be continued as long as “present con
ditions” lasted. Adult workers of the brick-kiln industry were
granted a minimum daily wage of 2.80 pesos8 on August 8, 1944.
This was an increase of 50 centésimos per day for many of the workers.
A law of June 6, 1944, provided for wage increases in commercial
(as distinct from industrial) firms, and for regulation of the discharge
of certain persons employed by them. Pending decisions by the
pertinent wage boards, the pay of salaried employees and wage earners
as of May 1, 1944, is to be raised in accordance with the following
scale:
Monthly wage or salary—
Amount of increase
Not over 50.00 pesos____________20 percent.
50.01 to 70.00 pesos____________ 10 percent.
70.01 to 150.00 pesos--.________ 5 percent.
150.01 to 166.00 pesos__________ To 166.00 pesos.
In computing the pay upon which the increases are to be based,
housing, commissions, tips, meals, and other perquisites are to be
included.
The law also stipulates that salaried employees and wage earners
hired by commercial houses and subsequently discharged for causes
3 A hectare=2.471 acres.
4 Data are from report by John T. Fishburn, senior economic analyst, United States Embassy, M onte
video, Uruguay, September 18, 1944; Diario Oficial de la Republics Oriental del Uruguay, Montevideo,
Uruguay, July 24, 1944 (No. 11340).
5See Labor Conditions in Latin America, No. 17, January-March 1944 (Serial N o. R . 1638); and
M onthly Labor Review, February 1944 (p. 406).
6Average exchange rate of peso in 1943 and to August 1944 = 52.9 cents (uncontrolled) or 65.8 cents
(controlled).
614112— 44-
5
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Federal Reserve Bank of St. Louis
964
Monthly Labor Review—November 1944
other than bad conduct are entitled to dismissal compensation. This
indemnity is to equal a month’s pay for each year of service up to 3,
if the individual is entitled to a retirement benefit, or up to 6, if the
person is not eligible for such benefit.
Pay increases provided for in the measure of June 6 were made
retroactive to May 1, by a law of June 16; and an act of August 11
extended the increases and dismissal benefits to salaried employees
and wage earners of banks and other similar institutions.
Any employer who violates the act is to be fined, for his first offense,
20 pesos for each worker affected, and for subsequent violations 30
pesos.
Another statute of August 11 extended to the workers of bakeries,
gas and water companies of Montevideo, and to certain other affi
liated activities, 2 weeks’ annual vacation with pay.
Legislation proposed by the President during the summer of 1944
included measures to increase the number of apprentices by com
pelling all employers to admit a certain number to their enterprises,
to establish a labor exchange for Montevideo port workers, and to
provide marriage and child allowances for the needy.
Social Security
During July, 1944, the Retirement Institute (Instituto de Jubila
ciones) began registering the workers for the notebooks which are to be
used to indicate their eligibility for retirement payments. Stamps
to be affixed to the notebooks are to show payments to the fund by
both employee and employer. It is hoped that this system will
provide the necessary funds for the payment of pensions as they come
due.
Family-allowance funds were provided for in the law of November
12, 19437. Nineteen private-company funds had been approved by
the end of the summer of 1944, and the National Labor Institute and
Associated Services (to which all employers must report at least once
a year) anticipated that 5 large funds, each governing 1 entire segment
of commercial life, would soon be established.
Nearly all private funds thus far created make provision, pursuant
to the requirements of the law, for the monthly payment of 6 pesos
per child for all children under 14 (or under 16 if attending school)
to families with monthly income of 200 pesos or less. One of the funds
will pay 7 pesos monthly per child, one will pay 8 pesos, and another
will pay 6 pesos plus an allowance of 40 pesos for each birth. All
such funds have been approved since July 21, 1944.
7 See p. 944 of this issue.
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Federal Reserve Bank of St. Louis
Wartime Policies
Reconversion Plans to Mitigate Unemployment
GOVERNMENT agencies directly concerned with reconversion
problems are synchronizing their programs for a return to civilian
production when Germany surrenders. The status of some of those
programs, and some recommendations as to future action, were covered
in a report to the President from the Director of War Mobilization
on September 9, 1944.1
Criteria for Selection of Cutbacks
With the defeat of Germany, the requirements of the procurement
agencies for material and supplies will be reduced by approximately
40 percent. According to the Director of War Mobilization, however,
the need will still remain to give full protection to the necessary war
programs for the conduct of hostilities against Japan, but in so doing,
every opportunity is to be provided to permit the resumption of maxi
mum civilian production without delay, thus preventing extended
unemployment.
Procurement agencies confronted with the necessity for these major
readjustments have prepared special procurement programs for the
continuing war with Japan, which are ready for implementation im
mediately upon the defeat of Germany. These agencies are now en
gaged in notifying prime contractors of their tentative plans under
policies prescribed by the War Production Board. Moreover, the
proposed contractual changes in major items have been, or are in
process of being, submitted to the WPB for review and for the con
sideration of such changes as in the interests of the national economy
may appear desirable.
The Director reported that in the selection of facilities for the second
phase of the war—
(a) The procuring agency will retain until final victory those contractors which
it has found from experience to be capable of producing required items of desirable
quality at the desired scheduled rates. The contractors retained in war produc
tion until the end of the war must be the best qualified, and all other rules of
selection are applicable only among those so qualified. No contractor, however,
will be disqualified simply because he is a small contractor.
(£>) As between qualified contractors, the following factors will be considered
in selecting facilities to accomplish the necessary readjustment and curtailment
of production:
1.
Privately owned plants, not normally engaged in production of a military
character, will be given first priority of release from war production in order to
facilitate their reconversion to civilian production, due consideration being given
to the wishes of the contractors.
1 Director of War Mobilization, Press release. September 8, 1944.
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Federal Reserve Bank of St. Louis
965
966
Monthly Labor Review—November 1944
2. Government-owned plants will be kept in operation or reserve until their
production is clearly no longer required for military needs. This is subject to
modification in the case of a plant located in an isolated section with no oppor
tunity for displaced workers where the exercise of wise administrative discretion
may prompt other action.
3. Insofar as practicable, the release to civilian production of competing units
of the same industry should be simultaneous.
4. In scheduling the release of plants and industries, due consideration is to be
given to cushioning the shock of unemployment.
5. In scheduling the release of plants or industries, due consideration is to be
given to (a) security considerations; (b) considerations affecting public trans
portation, such as accessibility to the sources of labor, raw materials, components,
depots or storage facilities, and ultimate destination; (c) the relative unit cost to
the Government; (d) the welfare of smaller business.
6. Where practical considerations make it possible, companies responsible for
the development and engineering of specialized products will be retained in their
manufacture in preference to those companies which are merely licensed for their
manufacture.
Modification of W artim e Controls
The Director of War Mobilization stated that there will be some
time lag between the curtailment and cancellation of war contracts
and the resumption of large civilian production. The length of that
period may be lessened, however, by the promptness with which war
time restraints are removed. Therefore, to insure the utmost speed
in reconversion and to permit the prompt resumption of civilian pro
duction at least equal to the civilian production of the United States
in 1939, controls now in existence will be released or modified to the
fullest extent possible, to permit manufacturers freedom in planning
for the resumption of civilian production and in ordering materials
and components which will assure maximum speed. The Controlled
Materials Plan will no longer be required, provided industry as a whole
continues to recognize the importance of war and essential civilian
production and the necessity for the protection of small business.
Existing controls will be relaxed immediately after the defeat of
Germany and the following controls will be substituted:
(а) The establishment of a new military-preference rating to be assigned to
the war procurement programs of the War Department, Navy Department,
Maritime Commission, War Shipping Administration, and military Lend-Lease.
Contractors will be required to accept orders in this rating band and to fill these
orders in preference to any other orders.
(б) The establishment of a new civilian production-preference rating band
subordinate to the military rating, but superior to all other ratings, to be used
only if necessary to protect the more essential civilian programs. It is not antic
ipated that this rating band will be necessary and it will be used only in the
event programs in this category fail to meet schedules.
(c) The new rating structure will be placed in effect immediately following the
defeat of Germany. It will automatically assign the new ratings to the prime
contractors of the designated programs and these prime contractors will be
directed to extend the ratings to their suppliers. After an appropriate period
has elapsed to permit a rerating and rescheduling of orders, all other outstanding
preference ratings will become void.
(d) The Priority Regidations now in effect will be amended to conform to
these changes.
(e) The Controlled Materials Plan will be revoked immediately after the
defeat of Germany, except that it will remain in effect for steel and copper during
the remainder of "the quarter in which the revocation is issued. In effect, orders
under the Controlled Materials Plan become priority orders; however, suppliers
will be permitted to receive and fill all orders placed after the defeat of Germany
to the extent made possible by the cancellation of orders which they then hold
under the Controlled Materials Plan.
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Federal Reserve Bank of St. Louis
Wartime Policies
967
(/) L and M Orders 2 will be revoked, except for a few selected orders which
must be retained as a mechanism for programming items which will continue in
short supply, such as tires, batteries, motors, lumber, and some textiles and
chemicals.
(g) The War Production Board will retain the authority which it now has to
continue or to institute controlled mechanisms to cope with individual produc
tion and procurement problems, to include the authority to issue individual
directives to manufacturers or suppliers to produce or deliver a product or prod
ucts to a designated purpose. This will permit the War Production Board to
take appropriate action to prevent or to correct hardship cases.
Steps to A id Em ploym ent D uring Reconversion
In liis report to the President, the Director of War Mobilization
stated that the effectiveness of any plans for the transition from
war production to peace production will depend upon our ability to
provide jobs for the workers who will be displaced by the reduction
in war production. It is inevitable that in some particular industries
and in some communities there should temporarily be reduced em
ployment. This is more likely to occur where the curtailment is in
Government-owned plants engaged entirely in war production and
having no plans for civilian production.
In order to meet this situation, the Director announced he had
appointed a committee consisting of representatives of the War
Production Board, the War Manpower Commission, the Defense
Plant Corporation, and the Surplus War Property Administration,
whose objective is to ascertain whether or not the contractor will
exercise his option to buy or lease the plants. If he is not interested,
then the Committee, having determined to what uses the plant can
be put, will inquire whether local capital or some corporation or in
dividual is interested in purchasing or leasing the plant—subject, of
course, to the policies prescribed by law. The primary purpose is
to help the manpower situation. The presence of a representative
of the War Manpower Commission on this Committee will enable that
agency to know what progress is being made in arranging for the
operation of these plants. If such operation does not seem probable,
the Manpower Commission, in advance, can make plans to secure
jobs for the workers when their employment is terminated.
After the defeat of Germany, manpower controls will be aban
doned in order to facilitate the transfer of workers from the curtailed
war programs to civilian production. If, however, manpower for war
production should fall below the needs to meet the schedules estab
lished for the war against Japan, that situation would necessitate a
prompt restoration of controls.
The Director of War Mobilization made other recommendations
with respect to the manpower situation after the defeat of Germany.
He recommended unemployment compensation at a stated percent
age of the worker’s previous wages, or $20, whichever is lower, for a
period as long as 26 weeks. He likewise proposed a return to the
40-hour workweek “ except to take care of production necessary to
the war effort.” He also suggested that large public works be under-taken in communities where there is unemployment, and that the
Federal Government time its expenditures of funds for road construc
tion and work projects to relieve unemployment.
3 “ L orders” are the limitation orders, and “ M orders” are the conservation orders, of the War Production
Board. (Ed.)
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Federal Reserve Bank of St. Louis
968
Monthly Labor Review—November 1944
Germany’s Total Mobilization Measures1
INFORMATION received from various trustworthy sources concern
ing Germany’s recent combing-out efforts to release additional man
power for service in the armed forces, indicates the desperate position
of the Nazi regime. Previous efforts to increase Germany’s war
manpower resulted in a rise in total industrial employment fiom 22
million in 1941 to an estimated maximum of 32 million in 1944. It
has been estimated that the latter number included 12 to 15 million
foreign workers recruited from the occupied countries. The remain
ing 17 to 20 million German workers included 5,500,000 juveniles of
both sexes, 14 and 15 years of age, and a substantial proportion of
women and aged and pensioned workers, employees, and officials,
recalled in the emergency to resume their former jobs.
Following the attempt on Hitler’s life, in July of this year, new and
more drastic measures for total mobilization were decreed. In
agreement with Goebbels, who was made the Reich Trustee for Total
Mobilization, a decree concerning persons in “ sham” employment was
issued by Fritz Sauckel, Commissioner for Manpower. The decree
applies to those persons subject to labor conscription, who complied
with the regulations by using relatives or other contacts to obtain
merely nominal employment. All such contracts were ordered to be
terminated by August 15th and the persons concerned were to report
to their labor-exchange office to be placed in essential work.
A further order issued by Sauckel advanced the age limit for the
compulsory registration of women for war wmrk from 45 to 50 years.
A number of new measures to mobilize German labor, issued by Goeb
bels, extended considerably the restrictions in various spheres of public
life. All theaters, music halls, and cabarets were ordered to be closed
by September first. All theatrical schools as well as private lessons in
acting, singing, and dancing were ordered suspended. Circus enter
prises were to be closed down except for a few needed for the main
tenance of valuable animals. Orchestras and schools of music, with
the exception of a few leading orchestras required for radio programs,
were to discontinue their activities. All enterprises in the field of
fine arts, such as art exhibits, contests, and art schools were ordered
closed. The publishing of fictional and similar literature was sus
pended. Only scientific and technical literature, armament, and school
books as well as certain political works were retained.
The daily press was further curtailed and many mergers were
effected. With the exception of a few leading papers, the size of the
daily newspapers was restricted to four pages and their publication to
six times weekly. Most of the illustrated weeklies were suspended.
The welfare work carried on by the Strength through Joy organiza
tion was discontinued, and the entertainment of the troops at the front
was limited to movies and radio programs.
A comprehensive program for the curtailment and partial closing
down of many educational institutions was announced by the Reich
Minister for Education. Numerous trade schools not serving pur
poses of importance to the war effort, such as commercial and homeeconomics schools, wrere closed. At the universities, far-reaching
1 Data are from Foreign Broadcast Intelligence Service of the Federal Communications Commission,
releases of Foreign News Bureau of Office of War Information, current issues of Voelkischer Beobachter
and Deutsche Allgemeine Zeitung, News Digest (London), and N ew York Times (all issues of August
and September 1944).
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Federal Reserve Bank of St. Louis
Wartime Policies
969
restrictions were ordered which were expected to make available for
employment in war industries several tens of thousands of male and
female students studying subjects not of direct importance to the war.
Working hours in public administration and offices in industry and
trade were fixed uniformly at a minimum of 60 hours per week. A
general ban on all holidays and vacations was ordered. For the entire
State and administrative apparatus, an intensive rationalization pro
gram to save manpower, including a substantial curtailment of postal
and railway services, was announced. All of these measures were
expected to release more workers for employment in armanent pro
duction or, if qualified, for service in the armed forces. All foreign
domestic servants were to be employed in armament plants. Of the
Germans still working as domestic servants, part were to be sent to
factories and part to households with many children.
The Nazi Minister of State in the occupied Czechoslovak territories
of Bohemia and Moravia announced the application in the so-called
‘‘Protectorate” of the same total mobilization measures decreed in
Germany to release additional manpower for war production and the
armed forces.
Additional measures for total war were announced by Goebbels in
September. School-age children not receiving education because of
evacuation of their schools were to be called up for war work. Those
equivalent to American high-school seniors who were not already in
war work because of health or other reasons were to be employed as
leaders in evacuated children’s camps.
A decree concerning the simplification of the internal revenue
organization, issued by the Reich Minister of Finance, aimed to release
a large number of revenue employees and to simplify the tasks of the
taxpayers by eliminating numerous forms and processes in accounting
and related business spheres. The decree provides that taxpayers
will be assessed for the income tax for 1944-45 at the same rate as in
1943, Only in the case of incomes over 12,000 reichsmarks a year and
substantial changes in income or changes in the number of depend
ents will new assessments be made. As a result of this measure, 87
percent of all persons liable to taxation were expected to be relieved of
the filing of income-tax returns. The same simplification applied to
corporation taxes, and assessments for property tax and the national
defense contributions were discontinued. Duplication of work in
volved in the taxation of certain wages and salaries owing to tax
withholding and income assessment was eliminated through an
adjustment of the withholding-tax schedule. After October 1, 1944,
payments for overtime and in lieu of leave were to be calculated on
an average basis.
The communal authorities’ practice of informing each other of the
registration of births and deaths was discontinued. An order of the
Reich Minister of Economics divided all commercial firms into two
categories—those essential to the war effort (and thus entitled _to
retain a part of their manpower) and nonessential enterprises which
may be “combed out” entirely. To the latter group belong shops
dealing in toys, flowers, perfumes, jewelry, stamps, rugs, sports goods,
furs, and musical instruments.
The functions of the Reich Commissioner for Price Control were so
greatly restricted that price control has virtually come to an end in
Germany. Existing prices are to be continued and all requests for
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Federal Reserve Bank of St. Louis
970
Monthly Labor Review—November 1944
price increases are to be rejected without investigation. Exceptions
may be made only in cases of decisive importance to the war effort.
To the list of professional activities ordered banned were added
those of architects, painters, sculptors, graphic artists, advertising
draftsmen, designers, art dealers, art publishers, and art periodical
dealers. With the exception of a small number of creative artists
whose activities contribute substantially to the war effort, all persons
in the above group were to report to their local labor office for transfer
to other employment in the armament industry.
Provision for Flexibility in New Zealand Wage
Stabilization1
THE New Zealand Court of Arbitration has been granted general
power to deal with applications for variations in. wages and conditions
of employment, while still having regard for the general purpose of
wage-stabilization regulations. Under an amendment (No. 4, June
16, 1944) to the Economic Stabilization Emergency Regulations of
1942, the Court is not required to take into account, in future wage
adjustments, any fluctuations in the cost of living. However, the
provision of the 1942 regulations remains effective, prohibiting a
general wage increase unless the wartime price index rises by 5 percent
(2y2 percent in the first instance).
The purpose of the amendment, according to the Minister in Charge
of Stabilization, was to find a more effective means of removing in
justices to individual workers or groups of workers under the arrange
ments previously existing. When the original regulations were pro
mulgated, the Minister explained, although it was not anticipated
that they would bear on everyone with equal fairness, prompt action
was necessary in the critical situation. The wage structure could
not be made rigid without setting up stresses and strains, but an
attempt was being made to restore flexibility by the amendment
within the limits of the stabilization policy. The Government did
not regard the change as a weakening of this policy but rather as a
means of making stabilization fit more easily into the country’s
wartime economy.
In February the Government amended the stabilization regulations
to permit the Court of Arbitration to grant wage relief to lower-paid
workers 2 by restoring to it the power to deal with applications for
weekly increases up to £NZ 5 5s.3 for adult male workers and up to
£NZ 3 for adult female workers. This amendment did not prove
satisfactory, the Minister in Charge of Stabilization stated, citing as
reasons (1) the difficulties caused by the rigidity of the fixed figures;
and (2) the provision that any movement toward those fixed amounts
should not be deemed to create an anomaly, although in fact it did so.
After considering alternative measures for aiding lower-paid workers,
the Government decided that the best solution was to bring the Court
of Arbitration more actively into the stabilization process and there
fore took the action described above.
1 Data are from reports by Basil D . Dahl and Carl E . Christopherson, United States Legation, Wellington,
1944 (Nos. 170 and 211).
2 See M onthly Labor Review, April 1944 (p. 880).
2 Average exchange rate of N ew Zealand pound (20 shillings) in 1943=$3.24.
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Federal Reserve Bank of St. Louis
Discharged Soldiers
Plans for Demobilization and Assimilation of
Servicemen 1
AS THE European phase of World War II approaches its end,
agencies of the Federal Government are formulating programs covering
various aspects of the demobilization of the armed forces. Those
announced thus far cover order of demobilization, apprenticeship
training, and the industrial assimilation of servicemen.
Order of Dem obilization of the A rm ed Forces
Army plans for the readjustment of military personnel after the
defeat of Germany and before the defeat of Japan were announced
on September 6, 1944. The program calls for a partial and orderly
demobilization of the Army from its present peak strength. Accord
ing to the announcement, military necessity requires that a sufficient
number of men suited to the type of warfare being waged in the Pacific
must remain in service as long as they are essential. Certain units
of the Army also will have to be retained in the various regions of
war where action has ceased in order to fulfill such occupation duties
as are necessary. Other elements, no longer needed in the region to
which they were assigned, will be transferred to other areas, reorgan
ized, and redesignated to meet current military requirements; or they
will be placed on an inactive basis.
The first step of readjustment will be that of transfer to the Pacific
war zone of servicemen from the United States or of surplus personnel
from war theaters no longer active. All available transportation will
be utilized for this.
The plan for the return of nonessential soldiers to civilian life will
start with the assembly in the United States of men declared sur
plus to the needs of each overseas theater and to the major com
mands in the United States. From among these men a substantial
number will be designated as not essential to the new military needs
of the Army and will be returned to civilian life according to
certain priorities.
This partial demobilization is to be effected through the selection
of men as individuals, rather than by units, and the selection will be
governed by thoroughly impartial standards. The standards were
drawn up on the basis of the views of the soldiers themselves. Thou
sands of soldiers, both in this country and overseas, were interviewed to
learn the kind of selective process they favored for determining the
order of return to civilian life.
1 Data are from War Department, Press release, September 6, 1944, and War Manpower Commission
Press releases, September 13, 1944 (PM 4673), September 26, 1944 (PM 4681), and September 27, 1944
(P M 4682).
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Federal Reserve Bank of St. Louis
971
972
Monthly Labor Review—November 1944
The plan finally worked out will allow men who have been overseas
and men with dependent children to have priority of separation.
Ninety percent of the soldiers interviewed expressed the belief that
preference should be given to these classes.
An “Adjusted Service Rating Card” will be issued after the defeat
of Germany to all enlisted personnel. On this card will be scored
the following four factors, which will determine priority of separation:
(1) Service credit, based upon the total number of months of Army
service since September 16, 1940; (2) overseas credit, based upon the
number of months of service overseas; (3) combat credit, based upon
the first and each additional award to the individual of the Medal of
Honor, Distinguished Service Cross, Legion of Merit, Silver Star,
Distinguished Flying Cross, Soldier’s Medal, Bronze Star Medal,
Air Medal, Purple Heart, and Bronze Service Stars (battle-partici
pation stars); and (4) parenthood credit, which gives credit for each
dependent child under 18 years up to a limit of three children. The
values of the point credits will be announced after the cessation of
hostilities in Europe.
Em ploym ent of Veterans
R elaxation o f m anpow er controls fo r veterans.—On September 27,
1944, all manpower controls were lifted for veterans of the present
war, in order to speed their reemployment and to remove all employ
ment obstacles to their return to civilian life.
Veterans of the present war will not be required to present a state
ment of availability in order to change jobs, and they may be hired by
any employer without referral by the U. S. Employment Service or other
authorized referral channels and without regard to employment ceil
ings. However, they will be counted against an established employ
ment ceiling unless the applicable local employment-stabilization
program provides for their exemption. Any veteran who seeks em
ployment through the USES will be entitled to a referral to any job
of his choice, without regard to its essentiality or priority status.
“Veterans of the present war” are defined as those who have served
in the armed forces of the United States subsequent to December 7,
1941, and have other than dishonorable discharges. The term
“armed forces” includes the Army, Navy, Marine Corps, Coast
Guard, Naval Reserve, National Naval Volunteers, Women’s Army
Corps, Women’s Reserve of the U. S. Naval Reserve, Women’s
Reserve of the Coast Guard Reserve, and the United States Marine
Corps Women’s Reserve.
A ssim ila tio n o f disabled veterans into in d u stry . —American industry,
in a joint program with the War Manpower Commission, is preparing
to assimilate wounded veterans into jobs. The plan is known as
WMC’s Selective Placement program for the employment of handi
capped veterans. At present, 2,000 employers in 4 leading States
are analyzing almost 2,000,000 jobs, with a view to measuring their
physical demands with the capacities of disabled veterans.
Jobs are to be analyzed in relation to the 27 activities that have been
established as covering the whole field of jobs—for example, walking,
handling, fingering, lifting, reaching, seeing, hearing, etc. Most jobs
actually require only a few of these activities. If the physical appraisal
of the man shows that he can perform these, he is considered as fit as
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Federal Reserve Bank of St. Louis
Discharged Soldiers
973
any able-bodied man for the job. The system is very different from
the guesswork method used after the last war, being based upon
not what the veteran cannot do, but what he can do.
This program was introduced to industry through employer insti
tutes consisting of groups of employers, representatives of personnel
and medical departments, and shop foremen meeting in designated
plants for training sessions on selective placement. Classes watched
job-matching demonstrations at plant machines, often with a disabled
veteran giving the demonstration.
Courses were also given, under the tutelage of WMC occupational
specialists, at the University of Michigan (with the Automotive
Council for War Production cooperating), the Detroit Institute of
Technology, Michigan State College, University of Connecticut,
University of California, and the University of Southern California.
In California, the movement has been backed by the Merchants and
Manufacturers Association. In Connecticut, Selective Service has
collaborated. Support has been given by the Veterans Administra
tion, State rehabilitation agencies, the medical profession, churches,
schools, businessmen’s organizations, and social agencies.
A pprentice-Training Program
Demobilized service men and women will have opportunities to
learn trades under a program that will accompany reconversion after
the defeat of Germany. The trades that such persons may enter
through apprenticeship will be chiefly in the metalworking and con
struction industries. Approximately 120 apprenticeable occupations
are now on the approved list of the Apprentice Training Service of the
War Manpower Commission.
In determining the plan to be followed with respect to ex-service
men, representatives of management and labor in 20 States laid down
the following principles that should apply:
1. For the purpose of apprenticeship selection, the veteran’s age
should be considered to be the same as when he entered the armed
forces.
2. Consideration should be given to veterans with physical disability
to the extent that the veteran is able to do the work required in a
given trade.
3. Credit should be given for previous training or applicable ex
perience, based on practical tests.
4. Consideration should be given to the veteran’s maturity in
determining credits, since in the training of the veteran there does not
usually exist the problem of “maturing” the individual as well as
developing craftsmanship ability.
5. If credit is allowed the veteran, upon entering employment as an
apprentice he should be paid the wage rate applicable to the level for
which he is qualified.
Partial-Demobilization Plan in Great Britain
MEMBERS of Great Britain’s armed forces are to be released pri
marily on the basis of age combined with length of service, in the period
after European hostilities end and before the close of the Pacific phase
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Federal Reserve Bank of St. Louis
974
Monthly Labor Review—November 1944
of the war. In the White Paper issued during September 1944 de
scribing the Government’s plan,1 the scheme is stated to be one of
reallocation of manpower; general demobilization, both of the military
services and of war industry, will be postponed until completion of the
war with the Axis powers. The problem is described as one of reallo
cating manpower between the armed forces and industry, to provide
for the requirements of the changed situation. Compulsory recruit
ment of men for military service is to continue, in order to permit
those with long service to return home. The requisite control over
industry and labor is to be maintained during the interim. A sub
stantial movement from the armed forces to civilian employment is
foreseen. It will be governed by military requirements and will be
contingent on the making of arrangements for release that will be
accepted as fair by the forces and that are not too complicated for
practical application.
For the purposes of the plan those permitted to leave the services
are to be divided into two classes. Class A is to consist of persons
having priority in age and length of service, and classB of those needed
for certain urgent reconstruction work. Release on “compassionate
grounds” will continue under existing arrangements. No man is to be
released (class A) or transferred (class B) from the forces if military
considerations make it necessary to keep him. Every effort will be
made to release servicemen in their turn, in whatever theater of war
they may be serving. However, those due for release or transfer will
be given an opportunity to volunteer for a further period of service.
Arrangements as described will apply to women in the services as well
as to men. Married women will have priority over all others, if they
so desire.
Releases in Class A
Releases in class A will be by groups based on a combination of age
and length of war service. In general, war service consists of the
whole time spent in the armed forces subsequent to September 3,
1939, which counts for service pay. Two months’ service will be given
the same weight as 1 additional year of age. Thus, a man aged 22
years, having 4 years of service (24 two-month periods) would have a
total of 46 combination years, and would be in the same release group
as a man of 40 having 1 year’s service (6 two-montli periods). An
exception is to be made of men aged 50 years and over, who may be
released in advance of others, if they so desire. Release will neces
sarily proceed at different rates in different services; some services
will have to deal separately with several branches, and possibly with
the trades and ranks (or ratings) of those branches.
Transfers in Class B
To be transferred from the military to civilian employment, men
in class B must belong to particular occupational classes specified by
the Minister of Labor and National Service as being required for the
performance of certain urgent reconstruction employments. The chief
need for their services will be to supplement the labor force in building
construction. Class B will also include a limited number of individual
specialists, application for whose services may be made through Govi
Great Britain, British Information Services. Press release I. D . 552.
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Federal Reserve Bank of St. Louis
Discharged Soldiers
975
ernment departments in accordance with existing arrangements. As
far as possible, class B transfers will be based on age and length of war
service. Transfers in class B will be small in proportion to releases in
class A, and will not begin until after class A releases have started.
Young men who have been deferred previously, particularly in muni
tions work, will be called up to compensate for class A and class B men
withdrawn from military service. The volume of transference in class
B will be determined periodically on the basis of (1) the immediate
employment needs for reconstruction; and (2) the extent to which
those requirements will be met by releases in class A and by transfer
from munitions and other work in Great Britain.
D istinction in Treatment of Classes
Under the Government’s scheme, a marked distinction is made
between men released in their turn (class A) and those transferred
out of turn (class B). On release, class A servicemen are entitled to
8 weeks of leave, with pay and other allowances, as against 3 weeks
for class B; men in class A are not subject to direction to reconstruc
tion employments as are those in class B, and they are to be recalled
to military duty only in extreme emergency, whereas persons in class
B are liable to recall individually if they discontinue their reconstruc
tion employments.
Class A members may exercise their rights to reinstatement in
employment when released. If they have no jobs to which to return,
they will be assisted by the employment exchanges in finding work.
Class B men will preserve their reinstatement rights through their
direction to reconstruction employments. Although they will not be
required to transfer to class B against their wishes, once accepting
such transfer they may not subsequently become eligible to apply
for inclusion in class A.
Men to be discharged on medical grounds will receive the same
benefits as men released in class A.
In addition to the service-leave payments made to class A men to
assist in their resettlement, or granted to transferees in class B, the
Government intends to introduce a system of war gratuities payable
to servicemen as a reward for service. Pensions for disablement, when
found to be due, begin on the date when service pay and allowances
cease. An allotment of civilian clothing is made on release or transfer,
to those who have had 6 months’ service (a money payment and
clothing coupons being substituted in the case of women).
Leave Privileges
Differing provisions have existed in the Army, Navy, and Air
Force, as to leave for foreign service. To provide approximate
equality, men in the Navy are to continue to have 7 days of leave for
each 6 months of foreign service, to be granted at the end of each tour.
The Army and Air Force men, who have had little foreign-service
leave, are to have all their foreign service totaled, receiving 1 day for
each completed month, subject to a minimum of 6 months’ foreign
service.
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Federal Reserve Bank of St. Louis
Industrial Injuries and Diseases
Lead Poisoning in 1943 and Earlier Years
By F r ed er ic k L. H offm an
CASES of lead poisoning in industry and elsewhere, in the United
States, showed a steady decline from 2.64 per million population in
1916 to 0.52 per million in 1941 and 0.53 in 1942. The number of
deaths from lead poising declined from 132 in 1936 to 71 in 1942, and
preliminary returns indicate a further drop in 1943.1 This decrease
has occurred in spite of the fact that the use of lead in lead-processing
industries has increased considerably in recent years.2 Unfortunately,
it is not possible to state exactly the number of deaths from occupa
tional lead poisoning in American industry since the official returns do
not differentiate (as is customary in many foreign countries, particu
larly in England and Wales) between these and the nonoccupational
fatalities from such poisoning.
In table 1 are shown, by years (1901-42), the number of deaths
from lead poisoning and the rate per 1,000,000 population. It should
be noted that only since 1936 have complete returns for the whole
country been available.
T a ble 1.—Number and Rate of Deaths from Lead Poisoning in Registration States 1 of
Continental United States, 1910-42
Year
Number
Rate per
million of
estimated
population
44
58
61
50
47
84
65
77
79
118
132
131
142
137
2.17
2.81
2.91
2. 34
2.15
2.48
1.88
1.99
1. 78
2.48
2. 44
2. 38
2.44
2.24
1901_____
1902_____
1903_____
1904_____
1905_____
1906______
1907______
1908_____
1909_____
1910______
1911_____
1912_____
1913_____
1914_____
Year
1915
1916_____
1917"
1918
1919
1920
1921
1922
1923
1924_____
1925_____
1926_____
1927
1928______
Number
Rate per
million of
estimated
population
143
177
139
122
144
119
138
136
138
140
141
143
135
125
2 31
2. 64
1. 97
1 54
1. 73
1. 38
1. 57
1 46
1 42
1.40
1. 38
1.37
1. 26
1.10
Year
Rate per
million of
Number estimated
population
1929
1930
1931
1932
1933
1934
1935
1936
1937
1938_____
1939
1940 2____
1941
1942_____
75
117
118
1 lb
86
Q3
03
93
93
130
132
1 02
1 03
133
101
110
77
94
97
100
70
71
bQ
.72
74
.75
52
.53
1 Registration States are those requiring the reporting of births and deaths.
2 Based on enumerated population as of April 1,1940.
Geographical D istribution of Lead Poisoning
Deaths from lead poisoning occurred in 28 States in 1941 and in
22 States in 1942, the States omitted being those in which no deaths
1 For data for earlier years, see M onthly Labor Review, February 1938 (p. 420).
2 The amount of refined lead produced increased from 497,303 short tons in 1937 to 584,421 short tons in 1941,
according to figures of the U. S. Bureau of Mines.
976
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Federal Reserve Bank of St. Louis
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Industrial Injuries and Diseases
occurred in either one of the 2 years (table 2). In 1941 the largest
number of deaths from lead poisoning in any State was in Pennsyl
vania, with 10 deaths; in 1942 the largest number (10) occurred in the
State of New York, and there were 7 deaths each in Ohio and Penn
sylvania. These small numbers are a clear indication of the fact
that lead poisoning in fatal form is now a comparatively rare occur
rence, even in the States in which lead processing is done on a large
scale.
T a b le 2.-—Deaths From Lead Poisoning, by States, in 1941 and 1942, as Shown by Census
Returns
State
A ll
Alabama.
A r k a /n s a s
California
___
D is tric t of C o ln m -
hia
Florida
G e o r g ia
I llin o is
Tnd ia n a
Tow a.
Kansas___________
1941
1942
70
72
2
0
0
State
Kentucky ______
1941
0
1
1
4
4
1
0
2
6
4
2
()
3
1
i
1
1
2
2
M aine
______
Maryland
____
Massachusetts____
Michigan
M in n eso ta __Mississippi-,
- Missouri _ . _ _
Nebraska__ New Jersey____ New York ______
1
3
2
1
2
0
1942
1
o
0
6
4
0
1
0
2
0
2
3
5
3
10
5
State
Ohio. __ ____ Oklahoma
Oregon-- .
_ - Pennsylvania_____
Tennessee.. ------T exas.. . . .
U tah_____________
Virginia- -Washington - - West Virginia
Wisconsin________
Wyoming. - ____
1941
5
1
1
10
1
1
1
2
0
1942
7
3
0
7
0
4
0
2
1
4
0
0
0
2
1
Supplementary information for 1942 and 1943, furnished by State
Boards of Health, is shown in table 3 for 37 States. From these pre
liminary returns it appears that the annual number of deaths from
lead poisoning declined from 62 in 1942 to 47 in 1943.3 The most
remarkable reduction in deaths took place in the State of New York—
from 11 to 4; of these. New York City accounted for 8 in 1942 and
1 in 1943, the latter being the death of an infant 2 months of age.
T a ble 3 . —Deaths from Lead Poisoning, 1942 and 1943, as Shown by Returns from
State Boards of Health 1
State
All States reporting
Arkansas ___
California
Dist.net of Columbia
Delaware
Florida
Georgia
Indiana
Towa
Kansas
K e n tu c k y -.______
1942
1943
02
47
. 0
7
0
5
0
0
1
0
3
0
2
1
0
n
0
0
0
0
0
2
State
Maine _________
M assachusetts___
M ississippi___
Montana ______ Nevada
New Hampshire__
New M exico..
North Dakota . .
Nebraska ____ .
New Jersey___ _
New York 2 ___
North Carolina__
Ohio_____________
1942
1943
0
4
1
2
0
0
0
0
0
3
3
11
0
8
1
0
o
1
0
0
2
1
0
1
0
4
1
9
State
Oregon___________
Virginia__________
Vermont,
West Virginia____
U tah_____________
South Carolina..- South Dakota____
Tennessee.............. Texas.
- . . _. Washington . Wisconsin ._
Wyoming- . __
Pennsylvania_____
1942
0
2
o
0
0
0
0
0
4
1
1
1
7
1943
0
0
0
1
0
1
0
0
3
2
1
0
6
1 Subject to slight correction after the Census Office returns of 1943 are available (not before the
end of 1944).
2 Of these, N ew York C ity accounted for 8 in 1942 and 1 in 1943.
3
No satisfactory explanation for the discrepancies in the statistics of deaths from lead poisoning as fur
nished by the Bureau of the Census and the State divisions of vital statistics is apparent, except that the
difference is probably due to the final determination as to the primary cause of death.
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Federal Reserve Bank of St. Louis
978
Monthly Labor Review—November 1944
Occupational Distribution of Deaths From Lead Poisoning
The available statistics do not make it possible to state with
absolute accuracy the number of deaths properly chargeable to lead
industries and otherwise. Table 4, compiled from information sup
plied by the division of vital statistics of the various State boards of
health, shows fatalities reported as having been caused by lead
poisoning, 1939-42.
T a ble 4.-—Fatalities from Lead Poisoning, 1939—
42, by Occupational, etc., Classification
Number of deaths in Class
1939
All classes . . . . .
____
. . . . _. .
....
. _
__________ . . . . ________
Painters____ ______________ .
Miscellaneous occupations___ _ ___________________________
_. .
___ . . .
Persons under 15 years of a g e................ . . .
Women___
___
1940
1941
1942
42
72
46
56
13
15
13
1
31
17
22
2
15
17
13
1
23
23
8
2
Of the 216 deaths from lead poisoning reported in the 4-year period,
73 were those of painters. Although nearly all of these were com
plicated by other diseases (possibly of primary importance), it is
almost universally the practice to attribute the death to lead poisoning
if there is even slight evidence of connection with lead or lead-using
industries.
Tabulations of deaths from lead poisoning in miscellaneous occupa
tions show a surprisingly small number of deaths among workers in
the lead-processing industries. The relatively large number of em
ployments in which exposure to lead is only incidental is suggestive of
amateur painting and an unrecognized exposure to lead hazards.
Confirmation of this is indicated by Census returns showing that in
1940, of 100 deaths from lead poisoning, only 48 were occupational and
52 were nonoccupational—illustrating the immense progress which
has been made in industrial hygiene as applied to lead-using industries.
All the larger lead-processing plants are equipped with dust-prevention
devices and other means of reducing the lead hazard to a minimum.
In addition, factory employees in the lead-using industries are subject
to medical examination upon entry and at regular intervals thereafter.
Industrial Injuries, June 1944
IN THE first 6 months of 1944 there was an average of 19.31 dis
abling injuries for every million employee-hours worked in man
ufacturing, as compared with an average of 20.61for the corresponding
period of 1943. This 6.3-percent reduction in the injury-frequency
rate is reflected in the estimates of the total number of injuries ex
perienced by manufacturing workers. In actual numbers it is es
timated that approximately 377,000 factory workers were disabled
by industrial injuries in the first half of this year. Nearly 1,500 of
these workers died as a result of their injuries, and over 15,000 will
i Unweighted.
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Industrial Injuries and Diseases
979
have to contend with some form of physical impairment for the rest of
their lives. In comparison, the estimated volume of disabling in
juries in manufacturing during the first half of 1943 was 387,000.
Disregarding the continuing economic losses arising from the deaths
and permanent impairments, it is estimated that the direct loss in
manpower because of injuries in manufacturing amounted to 7,540,000
man-days of productive effort in the first 6 months of 1944, as com
pared with 7,740,000 man-days in the first half of 1943.
Among the 91 manufacturing industries for which data are available,
there were 11 which had cumulative injury-frequency rates of less
than 10 for the first half of 1944. It is highly significant that this
group includes a number of the most important war industries. The
low-rate industries and their 6-month frequency rates, arranged in the
order of their rates were women’s clothing, 5.5; explosives, 5.6; rayon
and allied products (chemical), 6.2; small-arms ammunition, 6.3;
cement, 8.7; radios and phonographs, 8.8; soap and glycerin, 9.0;
sighting and fire-control equipment, 9.1; aircraft, 9.6; iron and steel,
9.6; and petroleum refining, 9.9.
On the other hand there were eight manufacturing industries
which had cumulative frequency rates of over 40 for the first half of
1944. These were miscellaneous lumber products, 40.2; foundries,
iron and steel, 42.7; planing mills, 45.3; boatbuilding 45.3; sheetmetal work, 49.4; plate fabrication and boiler-shop products, 52.1;
wooden containers, 54.1; and sawmills, 55.1.
In terms of frequency rates, the June record for all manufacturing
remained unchanged from that of May. In both months the un
weighted in jury-frequency rate was 19.8 disabling injuries for every
million employee-hours worked. Despite the lack of change in the
total frequency rate, however, there were considerably more reductions
in the frequency rates of individual industries than there were in
creases. Seventeen of the industry frequency rates were at least 5
points lower in June than they had" been in May, and 25 others were
down at least a full frequency-rate point. On the other hand, in
creases of 5 or more points were recorded for only 7 industries, and
only 20 had increases of 1 to 5 points. For 13 industries the June
frequency rates were the lowTest monthly rates thus far recorded in
1944, and for 13 others the June rates were higher than those of any
previous months.
June reports were received from 12,294 manufacturing establish
ments. The reporting plants employed 6,844,000 workers, or nearly
43 percent of the Bureau of Labor Statistics’ estimate of total manu
facturing employment during the month. On the basis of these re
ports, which listed a total of 27,038 disabling injuries for the month,
it is estimated that 64,000 employees of manufacturing plants were
disabled by work injuries during June. Using an average of 20 days
of lost time for each disabling injury, the direct loss to industry
because of these injuries may be estimated as 1,280,000 man-days of
production, which is equivalent to full-time employment for the
month for over 49,000 workers.
614112— 44-
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Federal Reserve Bank of St. Louis
6
980
Monthly Labor Review—November 1944
Industrial Injury-Frequency Rates 1 for Selected Manufacturing Industries, June 1944,
with Cumulative Rates for 1944
June 1944
Industry
Frequency rate
Number of Frequency 1944: Jan1943:
establishuary-June 12-month
rate 3
ments
cumulative cumulative 4
Agricultural machinery and tractors________________
Aircraft______________________ ____ ______
Aircraft parts__________________________
Ammunition, 20 mm. and over........................
Ammunition, small-arms______________
Baking____________________________________
Boatbuilding___________________________ '
53
58
277
339
17
8
20
24.1
9.9
14.7
28.0
5.3
23.4
28.4
22.6
9.6
12.3
25.2
6.3
17.0
45. 3
Bolts, nuts, washers, and rivets____________________
Book and job printing__________
Boots and shoes, other than rubber_________________
Canning and preserving_____________________
Cement____________________________________ ~
Chemical products, not elsewhere classified___ ~~~~~~~
Chemicals, industrial______________________________
31
43
300
53
88
73
344
26.5
11.1
14.4
25.2
9.4
8.2
16.5
30.0
11.8
15.1
22.6
8.7
12.5
15.7
Clothing, men’s___'_______________________________
Clothing, women’s__________________________ ~_~"~’
Commercial and household machines____________
Concrete, gypsum, and plaster products_________ .
Confectionery_____________________________________
Construction and mining machinery__________
Cotton goods____ _________________________________
520
387
56
120
8
112
212
9.5
6.6
17.5
39.1
17.5
27.1
15.6
11.2
5.5
18.8
37.1
16.6
28.5
14.8
Cutlery and edge tools___________ ____ ___ _________
Drugs, toiletries, and insecticides___________ ____
Dyeing and finishing__________________________
Electrical equipment and supplies_____________
Engines and turbines___________ _______
Explosives____ _____ __________________________
Fabricated structural steel__________________ .__ ZIIII
30
82
54
565
57
81
108
26.8
19.3
23.8
11.0
11.9
6.2
36.6
27.2
19.8
24. 6
11.1
12.1
5.6
34.9
Flour, feed, and grain-mill products__________
Food products, not elsewhere classified_________
Food-products machinery__________________
Forgings, iron and steel______________________
Foundries, iron and steel_____________________
Furniture, except m etal_______________________
General industrial machinery______________________
8
32
27
133
542
68
653
25.1
28.4
28.6
36.3
44. 1
27.7
23.6
24.1
23.3
32.2
34.5
42.7
30.0
23.5
Glass____________________________________________
Guns and related equipment___ ____ ______
Hardware___________________
Heating equipment, not elsewhere classified
Iron and steel_____________________________________
Iron and steel products, not elsewhere classified.
Knit goods_______ ^_______________________________
46
94
40
58
208
317
83
15.3
18.8
15.5
24. 1
9.8
29.2
12.9
18.2
18.5
19.0
30.5
9.6
26.7
10.9
Leather__________________________________________
Leather products, not elsewhere classified..
Machine shops, general________________
Metalworking machinery____________________
Miscellaneous lumber products, not elsewhere classified
Miscellaneous manufacturing_______________
Motor vehicles______________________
25
27
203
660
40
380
106
29.1
23.4
27.2
17.7
40.6
14.3
15.4
28.5
23.2
28. 1
17.7
40.2
16.5
12.7
Motor-vehicle parts________________________
Nonferrous-metal products______________
Ordnance and accessories, not elsewhere classified
Paints and varnishes______________________
Paper__________________________________________
Paper boxes and containers______
Paper products, not elsewhere classified__________
60
580
36
74
201
416
20
31. 6
28.2
36.9
16.0
32.3
25.9
24.8
26. 7
26.2
24.7
19.6
29.6
25.4
19.3
Paper and pulp (integrated)_________________ ____
Petroleum refining_____________________________
Planing mills______________________________________
Plate fabrication and boiler-shop products__ ~~~
Plumber’s supplies______________________
P ottery .__________________________________________
Radios and phonographs___________________________
84
123
51
97
24
38
181
26.7
11.7
52.5
48.3
16.0
16.9
9.2
26.4
9.9
45. 3
52.1
16.8
18.4
8.8
See footnotes at end of table.
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Federal Reserve Bank of St. Louis
18.9
9.7
14.6
24.8
16.0
0)
(5)
G)
(s)
(5)
14.0
19.4
8.7
18.3
8.5
5.4
G)
G)
G)
31.8
16.0
24.1
22. 2
(5)
G)
G)
11.1
18.3
11.9
33.0
34.5
39.9
42.1
28. 1
24.3
17.9
17.6
24.3
34.2
9.8
G)
G)
G)
G)
26.2
18.9
G)
G)
12.4
25.5
23.7
G)
20.2
31.7
26. 7
G)
26.4
G)
G)
53.8
44.0
18.2
7.6
981
Industrial Injuries and Diseases
Industrial Injury-Frequency Rates1 for Selected Manufacturing Industries, June 1944,
with Cumulative Rates for 1944—C o n tin u e d
June 1944
Industry 5
Frequency rate
Number of Frequency 1944: Jan
1943:
establish
uary-June ] 2-month
rate 3
ments
cumulative cumulative 4
Railroad equipment_____________ *J*------------- ................
Rayon and allied products (ch em ica l)_______________
Rubber boots and shoes.-- ____ .
_
.
-----Rubber and rubber products, not elsewhere classified.
Rubber tires_________- _______ ______________ ______
Sawmills. - _ __ _ _____________ _ . . . __________
_ ______
Screws and screw-machine products____
42
23
15
94
31
46
53
24.8
6.0
9.7
19.5
17.1
58.2
28.3
22.1
6.2
15.5
19.2
13.6
55.1
28.4
Sheet-metalwork_________ _ _______
.
____
Shipbuilding.
_ . ______ ______________ .Sighting and fire-control equipment_________________
Silk and rayon products, not elsewhere classifiedSlaughtering and meat packing___
_ ______
___
Small arms______
____________________________
Smelting and refining (nonferrous)___
___ _ _ _
42
263
37
51
270
52
62
39.5
25.3
11.0
12.0
42.7
18.0
25.2
49.4
25.0
9.1
14.3
33.4
13.7
23.7
Soap and glycerin._________________________ _ ____
Special industry machinery, not elsewhere classified___
Stamped and pressed metal p r o d u c ts............... . .
Steam fittings and a p p a ra tu s..________________ ____
Stone, clay, and glass products, not elsewhere classified _Tanks_______________________ ______ _____________
Tank parts___ ____ _______ _________ ____________
11
88
243
52
80
10
57
11.6
24.2
32.8
21.6
19.4
15.9
24.9
9.0
23.6
31.1
25.9
13.8
12.6
25.4
Textile machinery___ ______
___ _____ ___________
Textile and textile-mill products, not elsewhere classified.T in cans and other tinware____ ___________ . ____
Tools, except edge tools________________ ____________
Wire and wire products. _
. .......................... ..........
Wooden containers__________________ _ _ _ _ _
Woolen goods, ____ ________ _
.
____________
11
182
24
65
160
59
163
12. 1
18.9
15.4
19.0
23.3
53. 1
17.8
28.8
19.4
18.4
26.7
22.7
54.1
18.9
20.5
7.8
(5)
(5)
13.7
62.4
(5)
(5)
0)
28.7
6.6
35.7
11.5
28.5
8.5
22.7
31.1
33.6
(3)
(3)
(5)
12.6
18.3
18.3
25.5
21.7
(3)
(5)
1 The frequency rate represents the average number of disabling industrial injuries for each million em
ployee-hours worked.
2 A few industries have been omitted from this table because the coverage for the month did not amount
to 1,000,000 or more employee-hours worked.
3 Computed from all reports received for the month; not based on identical plants in successive months.
4 Computed from all reports received for the month; not based on identical plants in successive months.
Preliminary rates for the year; subject to revision on basis of the more comprehensive annual survey.
5 N ot available.
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Federal Reserve Bank of St. Louis
Social Security
Mid-War Developments in Civilian Family Allowances1
Sum m ary
THE wartime world-wide rise in the cost of living and the measures
taken by various individual nations to stabilize wages have forced
to the economic forefront the question of family allowances. These
supplements to the remuneration of wage earners and salaried workers,
to offset variations in family responsibilities, have been granted in
one form or another by private employers, States, or municipalities
in at least 39 countries.
Among the most recent developments in the family-allowance
movement is the passage of new family-allowance acts, in 1944, in
Canada and Eire. Mid-war reports on the operation of legislation
are available for other parts of the British Empire—Australia and
New Zealand. In the fall of 1944 the British Government’s socialinsurance program, based largely on the Beveridge Report, was
released as White Papers on Social Insurance (Cmd. 6550 and 6551).
The scheme includes a provision for family allowances, although the
cash benefits are not so generous as those proposed in the Beveridge
Plan. New laws on family allowances or amending acts extending the
coverage of existing schemes have been reported in 1943-44 for several
South American countries (Argentina, Brazil, Chile, and Uruguay),
as well as for Portugal and Spain. An edict, issued in 1944 by the
Supreme Soviet of the U. S. S. R., granted cash benefits for children.
Reports concerning France and Germany indicate that schemes in
behalf of wage earners with family responsibilities are still in existence.
The recommendations of the International Labor Conference held
in Philadelphia in April 1944 included proposals for family allowances.
In the Report of the Director of the International Office to that con
ference it was stated that such grants in some form “ are widely
regarded as a necessary element in any comprehensive program to
assure a decent ‘national minimum.’ ”
The family-allowance principle is becoming more widely understood
through wartime experience with rationing on an individual basis,
through the increasing discussions on nutrition and improved standards
of living for the masses in which the sizes of families must be given due
consideration, and through the fact that immense sums are now being
disbursed to the dependents of the armed forces of the United States.
The present article brings together summary data on very recent
developments in the family-allowance movement in 23 countries.
1 Prepared in the Bureau’s Editorial and Research Division by Mary T. Waggaman. For earlier develop
ments, see Bulletin No. 754: Fam ily Allowances in Various Countries, Washington, 1943.
982
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Federal Reserve Bank of St. Louis
983
Social Security
Argentina
Decree No. 2015 (July 3, 1943) authorized family allowances for
employees of the National Administration of Argentina whose incomes
per month were under 350 pesos, and Decree No. 1065 (November
1943) includes all children under 22 years of age who are under the
charge of such employees. The age limit does not apply in the case
of disabled children.2
B uen o s A ir e s .—In September 1943, a new measure for family
allowances became effective for all salaried employees and workers in
the permanent service of the municipality of Buenos Aires, whose
earnings per month did not exceed 300 pesos and constituted the entire
regular family income. The monthly allowance rate ranges from 10
to 12 pesos, according to the worker’s wage or salary rate, for each
legitimate child under the age of 15, but wages and allowances com
bined must not exceed 325 pesos per month. It is estimated that
11,000 families having 20,275 children under the specified age will be
benefited.3
Australia3a
The Commonwealth of Australia began payments under its system
of child endowment on July 1, 1941. An allowance of 5s. per week is
granted for each child (beyond the first) under 16 years of age. The
cost is met in part from the Consolidated Revenue and in part by
the elimination of tax exemptions for children after the first, but
principally from a tax of 2% percent of pay rolls exceeding £20 per week.
As indicated below, the number of endowed children in Australia in
June 1943 was 908,159, including 16,938 children in institutions.
Fiscal year ended June 30—
1942
Endowed families:
1943
Number of families_____________________
491, 121
Number of endowed children_____________
891, 221
Approved institutions:
Number of institutions__________________
315
Number of endowed children..;___________
16, 938
Total number of endowed children____________
908, 159
Amounts paid to beneficiaries and approved insti
tutions_________________________________ £11, 659, 626
Annual liability for endowment, end of year_____ £11, 806, 067
Average annual rate of endowment per endowed
family, end of year____ _______________ . . .
£23. 591
Average number of endowed children per endowed
family, end of year______ ________________
1. 815
Number of endowed children per 10,000 of popu
lation__________ _______________________
1, 256
487, 674
895, 558
246
14, 289
909, 847
£11, 302, 863
£11, 828, Oil
£23. 873
1. 836
1, 268
Brazil 4
Pay increases for employees of the Brazilian Federal Government
were provided under legislative decree No. 5976 (November 10, 1943),
which also improved the existing family-allowance scheme. The
amendments are applicable to all workers, permanent and temporary.
2 Report from United States Embassy at Buenos Aires, February 11, 1944. Exchange rate of peso in
1943=29.8 cents.
3 International Labor Review (Montreal), January 1944 (p. 117).
3a Data are from report of Director General of Australian Department of Social Services, 1942-43, and
Wartime Labor Developments in Australia, by Orwell de R. Foenander (Melbourne, 1943), p. 91. Ex
change rate of Australian pound in 1942 and 1943=$3.23.
4 Data are from International Labor Review (Montreal), March 1944 (p; 390); and Report from United
States Embassy at Rio de Janeiro, December 7, 1943. Exchange rate of cruzeiro in 1943=6.06 cents.
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Federal Reserve Bank of St. Louis
984
Monthly Labor Review—November 1944
Family allowances are payable at the rate of 50 cruzeiros for every child
under 21 years of age, or beyond that age if incapable of work. Payment of the
allowance is dependent on the payment of salary, but not on the employee’s
output. The allowance is not subject to attachment or deduction; it is taken into
account for the purpose of calculating income tax, but is exempted from other
taxation and from social-insurance contributions.
As a result of the new decree, Federal employees are now excluded from the
family-allowance scheme introduced by legislative decree No. 3200 of 19 April
1941.
Legislative decree No. 6022 (November 23, 1943) gives details of
the procedure in making application for the family allowance pro
vided for under the preceding measure, and details concerning its
payment, annulment of the benefits if they are not used as intended,
and penalties for bad faith in declarations made.
Canada
A law of August 1944 provided for a system of family allowances
in Canada. This law is summarized on page 995 of this issue.
Chile 5
White-collar employees in Chile are paid family allowances under
a Government social-security scheme, to which employers contribute
pay-roll taxes. The social-security agency paid 90 pesos per month
for each dependent in 1943, but this was reduced to 80 pesos at the
beginning of 1944.
The social-security laws do not provide family allowances for
wage earners, but in many industries they receive such benefits directly
from their employers under collective agreements. A study of family
allowances recently made by the Dirección General del Trabajo
showed that in 1943 family allowances were paid to 126,725 workers’
dependents, including 35,098 wives and 91,627 children. The indi
vidual monthly allowances ranged from 10 to 80 pesos, most of these
grants being between 22 and 30 pesos. It is estimated that the total
amount paid by employers in such allowances for the year was
58,925,272 pesos.
Dependency allowances are more characteristic of the mining industry than
of any other. More than 50 percent of the allowances paid to wives were made
in this industry. Of the total of 35,098 wives of workers receiving allowances in
the country, 20,325 were paid by the mining industry, 3,795 by the textile in
dustry, and 2,784 by the transport industry. Of the 91,627 dependent children
of workers receiving allowances, 55,478 or approximately 60 percent were paid
by the mining industry, 8,330 by the textile industry, 5,816 by the transport
industry, and 3,249 by the food industry.
As an outcome of representations by the Kailway Men’s Federa
tion of Chile, the Director General of the Chilean State Railways
promulgated an order on December 10, 1943, doubling the railway
men’s family allowances on the basis of the increase in cost of living
and wages since the allowances were first granted in September 1939.
The new order became effective January 1, 1944, and the benefits have
been extended to include the whole staff instead of only the lower-paid
members of the personnel. The new allowance is 4 pesos a day for a
wife or mother and 2 pesos for each child or stepchild under 18 years
of age.
5
Data are from Report from United States Embassy, Santiago, April 29,1944; and International Transport
Workers Federation Press Report (Kempston Beds, England), M ay 15, 1944. Exchange rate of peso in
1943=5.17 cents.
'
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Federal Reserve Bank of St. Louis
985
Social Security
Eire
A new law in Eire, the Children’s Allowance Act, 1944, provides
for a weekly allowance at the rate of 2s. 6d. for each qualified child
under 16 years of age in excess of two, maintained by an Irish citizen
or one who for 2 years preceding the qualifying date has been a
resident of the country.
The funds for these allowances are to be provided by the Govern
ment, which will also supply such money as the Minister of Finance
approves, for administrative expenses.
The children’s allowances are to be inalienable and are to be ex
cluded in the reckoning of “means,” in connection with the unem
ployment assistance acts and various pension acts.
A person making a false statement, under specified circumstances,
in connection with the payment of these allowances is liable on sum
mary conviction to a fine of not to exceed £25 or to imprisonment
for a term not exceeding 3 months.
The Minister for Commerce and Industry may make regulations
for carrying this legislation into effect.
Finland
In 1943, legal provision was made for the payment of family al
lowances (in cash or in kind or both) to the heads of families whose
means were not in excess of a maximum to be subsequently specified.
Beginning with the fifth child, the grants were to be made for children
up to 16 years of age, up to 18 years if a child is being trained, and
without age limit for invalid children. The State finances the scheme,
which is administered by the Communal Assistance Board.6
France 7
Following the announcement that family allowances would be
raised beginning with January 1, 1944, the average monthly depart
mental salaries in France on the basis of which the family allowances
are calculated were readjusted as follows:
Ain, Allier, Cher, Drôme, Indre-et-Loire, Jura, Loire-et-Cher,
Saône-et-Loire, Savoie, Haute-Savoie, Vaucluse---------------Basses-Alpes, Hautes-Alpes, Indre------- --------------------------Ardèche, Aveyron, Charente, Tarn, Haute-Vienne, Vienne---Ariège, Corrèze, Creuse, Dordogne, Gers, Lot-et-Garonne,
Lozère, Hautes-Pyrénées, Tarn-et-Garonne---------------------Cantal, Haute-Loire----------------------------------------------------Isère___________ ____________________________________
Landes, Basses-Pyrénées_______________________________
Puy-de-Dôme, Haute-Garonne (except Toulouse)----------------Toulouse____________________________________________
Loire, Rhône (except Lyons)____________________________
Lyons_______________________________________________
Gironde (except Bordeaux)---------- - -------------------------------Bordeaux____________________________________________
Average monthly pay
(in francs *)
Urban
Rural
1, 500
1, 450
1, 450
1, 250
1, 250
1, 150
1, 400
1, 400
h 600
1, 450
1, 500
h 600
1, 650
1,750
1,600
1, 700
1, 150
1, 200
1, 250
1, 200
1, 200
-----1, 300
-----1,250
— --
i Exchange rate of franc in 1940 (latest yearf or which reported) =2.08 cents.
6 International Labor Office. Inter-American Committee on Social Security. Provisional Bulletin
No. 4. Montreal, October 1943.
.
7 Data are from News Digest (London), March 4, 1944 (p. 38); International Labor Review (Montreal),
M ay 1943 (pp. 646 and 665), July 1943 (p. 107), and February 1944 (p. 245); and International Labor Office,
Legislative Series, 1942, Fr. 11 (p. 7).
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Federal Reserve Bank of St. Louis
986
Monthly Labor Review—November 1944
L ib e ra liza tio n o f single-wage allowance. —The French act of March
29, 1941, provided for the payment of a “single-wage allowance” to
families of wage earners and public officials whose income is derived
from only one source of employment. An amending act, dated
July 6, 1943, extended and liberalized the measure.
Under the previous provisions, allowances were payable only to
legitimate or adopted children and grandchildren. These grants are
now made also to illegitimate children acknowledged by the mother;
to brothers, sisters, nephews, or nieces for whose support a brother,
sister, uncle, or aunt is responsible; and to wards, and children assigned
(under legal or administrative decision) to the custody of any person
without payment. In order to be eligible for the allowance, the per
sons having child dependents should be in remunerative employment
and permanently responsible for the maintenance of such children.
The allowance is granted only to families in which the children are
of French nationality, and is computed as a percentage of the Depart
mental average wage used as a basis for calculating family allowances
in the particular community in which the beneficiary is a resident.
The allowances are as follows:
For one dependent child or for the last remaining dependent child,
20 percent of average wage; for an only child of 5 years or more (unless
the mother or other female relative in charge of the child maintains it
by her own earnings), 10 percent; for two dependent children, 25
percent; and for more than two dependent children, 30 percent.
When there are several children in the family, the allowance is
granted until 1 year after the child attains the school-leaving age,
or up to the age of 17 if the young person is apprenticed or is incapable
of self-support because of chronic illness or infirmity, or up to the
age of 20 if the young person’s education is being continued. A
mother or female relative maintaining an only child entirely from
her own wages or salary may be granted an allowance until the child
has reached the age of 15 (or 20).
In no case may the single-wage allowance be paid in addition to the “allowance
for mothers in the home” provided for by the act of 29 July 1939 concerning the
French family and the birth rate.
In the event of the death of the worker entitled to the allowance, it will con
tinue to be paid to his widow if she has children dependent upon her and is not
entitled to the allowance in her own right as a wage earner. In case of an inter
ruption in employment, the right to the allowance continues throughout the
period for which benefit is drawn under the social-insurance scheme in the case
of insured persons, and otherwise for a period of 6 months from the date of the
first medical certificate. A woman worker is entitled to the allowance for the
12 weeks preceding and following childbirth, and a worker who sustains an indus
trial accident, for any period of temporary or permanent incapacity.
The allowance is paid by the equalization funds, the State, local authorities,
and concessionary undertakings operating public services, under the same condi
tions as apply to family allowances.
W orkers releasing prisoners o f w ar. —Act No. 903 (September 26,
1942) included a provision that skilled workers taking part in the
program for the release of prisoners of war by volunteering for team
work in Germany were to be entitled under appropriate conditions to
the full allowances for which they were eligible under the Family
Code. In the case of a married worker with no children, not less than
50 percent of the allowance was to be allocated to his wife.
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Family allowances and the Germans.-—German enterprises and
nationals in France—except when directly responsible to the author
ities of occupation—have been subject to French legislation, especially
social legislation and the provisions of collective agreements. Under
orders issued in 1942 by the German Military Command, for the
purpose of standardizing employment conditions of German workers
in France, German nationals transferred from the Reich were in
principle entitled, in addition to wages, to a daily allowance varying
from 1.50 to 5.50 marks, according to their wage or salary class and
family circumstances.
Since November 1, 1942, family-allowance schemes effective in
French enterprises have covered non-German workers and salaried
employees. Family-allowance funds have been organized in each
Department for the payment of these benefits.
Miscellaneous 'provisions relating to family allowances.—To secure
the right to family allowances from public or private funds, expectant
mothers were required by an act of December 16, 1942 (Journal
Officiel, Paris, December 22, 1942), to undergo at least two medical
examinations during pregnancy.
Family allowances for compulsory labor force.-—A French decree of
November 25, 1942 (containing regulations on the compulsory-labor
act of September 4, 1942), provided that workers allocated to a new
job were to be entitled to the normal conditions of employment
applicable to the job, and that married workers and those with de
pendents could claim from the employer a family allowance at a rate
proportionate to their responsibilities.
Germany 8
Dependents of transferred Belgian workers.—According to an order
of April 24, 1943, the wages of Belgian workers employed in Germany
were to be used primarily for the maintenance of their families. Allot
ments, from wages, to dependents ranged from 750 Belgian francs
per month for a wife without children to 1,400 francs for a family
with five children. Beyond the fifth child the allowance was 70
francs. Such allotments, being financed entirely by the workers,
were not, of course, family allowances in the usual sense.
Provisions for French workers.-—An act of September 26, 1942, had
provided that trained French workers who volunteered for work in
Germany in organized teams should be granted an expatriation allow
ance in the form of the continued payment of 50 percent of their wages
in France plus family allowances, while their contract was in force.
An act of May 1, 1943, amending this law, provided that, after June
1, 1943, in lieu of these benefits daily allowances chargeable to the
national budget were to be paid to families with a breadwinner of
French nationality at work in Germany.
A later act (June 21, 1943) extended the above provision to include
also families with a breadwinner of French nationality who had been
conscripted for compulsory work in France. The amount of the
allowance and the circumstances under which paid were the same as
for families of the armed forces. These grants were to be equal to
the family allowances provided by the act of July 20, 1942, for families
8
Data are from International Labor Review (Montreal), December 1943 (p. 770), January 1944 (p. 48),
and March 1944 (p. 376).
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of prisoners of war, and were to be paid under the same conditions.
In the Paris area, for example, the allowance was 20 francs for the
wife and 15.50 francs, 16 francs, 18 francs, and 25 francs for the first,
second, third, and fourth child, respectively; a grant of 7 francs was
also made for each dependent relative in the ascending line.
Provisions jor families of shifted German workers.-—Special arrange
ments were made for workers involved in cases in which German
industries had to transfer all or parts of their plants to other sections
of the country. A worker so transferred might be paid in his new
place of work a wage or salary substantially below his previous
remuneration, whereas his family still had obligations to meet based
on the higher rate. In such cases the employer was required to pay,
to married workers only, a maintenance allowance for the family.
Great Britain 9
The Beveridge Plan,10 submitted to the British Parliament in No
vember 1942, recommended, among other things, children’s allowances
at an average rate of 8s. per week per child (except for the first,
when the parent is earning), financed entirely by taxation. The
premises for the proposal were as follows:
First, it is unreasonable to seek to guarantee an income sufficient for subsistence,
while earnings are interrupted by unemployment or disability, without ensuring
sufficient income during earning. Social insurance should be part of a policy
of a national minimum. But a national minimum for families of every size
cannot in practice be secured by a wage system, which must be based on the
product of a man’s labor and not on the size of his family.
Second, it is dangerous to allow benefit during unemployment or disability
to equal or exceed earnings during work. But, without allowances for children,
during earning and not-earning alike, this danger cannot be avoided. * * *
The gap between income during earning and during interruption of earning should
be as large as possible for every man. It cannot be kept large for men with large
families, except either by making their benefit in unemployment and disability
inadequate, or by giving allowances for children in time of earning and notearning alike.
In addition to these two arguments, arising directly from considerations of
social security, there are arguments arising from consideration of numbers of
population and care of children. With its present rate of reproduction, the
British race cannot continue; means of reversing the recent course of the birth
rate must be found. It is not likely that allowances for children or any other
economic incentives will, by themselves, provide that means and lead parents
who do not desire children to rear children for gain. But children’s allowances
can help to restore the birth rate, both by making it possible for parents who
desire more children to bring them into the world without damaging the chances
of those already born, and as a signal of the national interest in children, setting
the tone of public opinion. As regards care of children, whatever possibilities
the future may hold of larger families than now, the small families of today
make it necessary that every living child should receive the best care that can be
given to it. The foundations of a healthy life must be laid in childhood. Chil
dren’s allowances should be regarded both as a help to parents in meeting their
responsibilities, and as an acceptance of new responsibilities by the community.
On December 17, 1942, the labor movement through the National
Council of Labor accepted the principles set forth in the Beveridge
Plan and asked the Government to introduce the requisite legislation
promptly. The trend of the labor speeches in Parliament emphasized
8 D ata are from Labor Press Service (London), March 3,1943; Newsweek (N ew York), June 21,1943 (p. 88);
Canadian Labor Gazette (Ottawa), December 1943 (p. 1735); and Labor and Industry in Britain (British
Information Services), April 1944 (p. 57).
10
Report by Sir William Beveridge. Great Britain [Interdepartmental Committee on Social Insurance
and Allied Services], London, 1942. (Cmd. 6404.) For summary, see M onthly Labor Review, February
1943 (p. 272).
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the advisability of appointing a Minister of Social Security to take
charge of the preparations for the proposed plan. Other sections of
the House of Commons took a similar position.
The British Trades Union Congress (representing unions with
6,024,000 members) at its 1943 meeting adopted a resolution deploring
the “hesitating attitude” of the Government and demanding the
immediate preparation of legislation on the subject.
In the fall of 1944 the social-insurance program of the Government,
following largely the lines of the Beveridge Report, was released as
White Papers on Social Insurance (Cmd. 6550 and 6551). The
scheme includes a provision for family allowances, but the benefit is
5s. per week per child (other than the first) under 15 (or 15 and 16 if
at school), instead of 8s., as proposed in the Beveridge Plan. How
ever, recommendation is also made for an extension of services in kind,
including school meals and milk.
According to The Economist (London) of September 30, 1944, the
total estimated cost for 1945 of family allowances under the Beveridge
Plan is £113,000,000 and under the Government scheme, £59,000,000.
Ita ly
On October 28, 1942, at the celebration of the twentieth anniversary
of the Fascist revolution, the Italian Government reported on socialsecurity expenditures during the 2 decades 1922-42, which included
12,965 million lire for family allowances.11
Luxemburg
It is announced in the International Labor Review of July 1944
(p. 84) that a recent report of the Minister of Labor and Mines of
Luxemburg proposes “ as a long-term recommendation” the reorgani
zation of the social-insurance system of that country in line with the
Beveridge scheme for Great Britain. An outstanding feature of that
program, as already noted, is the provision for children’s allowances.
N ew Zealand
Under an act of August 25, 1943, amending the New Zealand Social
Security Act of 1938, family allowances were raised from 4s. to 7s. 6d.
per week for each dependent child. The lower rate had been increased
by 50 percent beginning May 1, 1942, under emergency regulations
which were no longer in effect.'12
The basic act was also amended to provide that allowances payable
to aid in the education of a child between 16 and 18 years of age could
be granted, whether or not a benefit was paid for such child before he
or she reached 16 years of age.
According to the annual reports of the New Zealand Social Security
Department payments in family benefits under the New Zealand Social
Security Act of 1938, as amended, for the 12 months ended March 31,
1944, totaled £876,858, as compared with £790,719 in 1942-43.
The August 10, 1944, issue of The Standard (the official organ of the
labor movement of New Zealand) announced that the Minister of
11 International Labor Review (Montreal), June 1943 (p. 790). Exchange rate of lira in 1941 (latest year
for which reported) =5.07 cents.
12 International Labor Review (Montreal), December 1943 (p. 787). Average exchange rate of N ew
Zealand pound (20 shillings) in 1943=$3.24.
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Finance of that country in his recent budget speech proposed that the
allowable gross income in relation to family benefits be raised from
£o to £5 10s. and that the weekly benefit for each child be increased
from 7s. 6d. to 10s., effective October 1, 1944.
N o rw a y 13
A decree dated January 26, 1944, issued by the Quisling Minister
of Social Affairs, provides that Norwegians conscripted for “national
labor contribution” be granted, during the period of such service, a
family allowance in the form of “ a contribution toward apartment
rent of spouse, children, and parents who depend for sustenance on the
conscripted person.” A person conscripted for work which is for the
most part of the same or corresponding character as his or her usual
occupation is not eligible for the allowance. The contribution for
apartment rent may be all or part of the amount by which the apart
ment rent exceeds one-fifth of the person’s wages during his con
scripted labor service.
Salary directives recently issued to the municipalities by the
Norwegian Interior Department include one requiring that all munic
ipal civil servants be granted children’s allowances, in accordance
with State regulations.
In a discussion of reconstruction problems in Norway, the Nor
wegian Minister of Finance in Exile commented in an article in the
June 1944 International Labor Review: “No doubt developments
abroad such as the implementation of the Beveridge report in Great
Britain will deeply influence public opinion on "these matters in
Norway.” He noted that a report made in 1938 by a Norwegian official
committee proposed a State-financed system of children’s allowances,
while those opposing such a system were in favor of various subsidies
in kind, such as wider provision for school meals, reductions in price of
foods, rent, etc., for families with children.
Paraguay
In Paraguay, where a legislative decree (No. 620) of October 5,
1943, instituted the principle of the minimum wage,14 the measure is
supplemented by a legislative decree,15 under which an allowance of
5 percent of wages is granted under specified conditions, for each
legitimate child up to the age of 18, of both public and private em
ployees (and manual workers) who have had at least 1 year of service.
P o rtu g a l16
System for public, etc., employees.—A legislative decree of February
22, 1943 (as amended January 29, 1944), instituted family allowances
to civil and military State officials, employees in autonomously ad
ministered State services (postal, telegraph, and telephone services,
13 Data are from Communication from U. S. Interdepartmental Committee for Acquisition of Foreign
Publications (Washington), August 10,1944, and enclosure in letter of March 24, 1944, from United States
Legation at Stockholm, Sweden, entitled “ Concerning Regulation No. 0 (Family Allowance)’’ supplement
ing Law No. 1 in execution of the law concerning general national labor contribution.
14 International Labor Review (Montreal), July 1944 (p. 43).
15 Decree of December 9, 1927, amended December 24, 1937.
i« Data are from International Labor Review (Montreal), December 1943 (pp. 775 and'792), and Junell944
(p. 689). Exchange rate of escudo in 1941 (latest year for which reported=4 cents.
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arsenals, etc.), employees of local governments and salaried employees
of social-welfare, family-allowance, and other associations.
Allowances are granted for dependent legitimate or legitimated
children under 14 years of age, dependent grandchildren, and “ascend
ants who cannot support themselves,” whether these dependents are
members of the employee’s household or not. In the case of depen
dents continuing their secondary education, allowances may be
granted until such children reach 18 years of age; for dependents
pursuing their higher education the age limit is 21 years. No age
restrictions in regard to family allowances are provided for dependents
wholly and permanently incapacitated for work.
If the wife and husband are both public employees, the allowance
may be granted only if they reside in different localities. The al
location is made only to the employee with the higher salary, but is
computed on “the basis of the number of persons dependent on and
living in the household of both husband and wife.”
For purposes of the allowance, employees are divided into 5 salary
groups, the benefits ranging from 30 escudos per dependent per month
for persons with monthly salary of less than 400 escudos to 70 escudos
for those with salary of 2,000 escudos and over. Besides marriage,
childbirth, and nursing bonuses, and meal and clothing vouchers,
family-allowance funds may also pay education, rent, and funeral
allowances up to 10 percent of their total receipts.
The financing of this new project is different from that of the
general scheme (to which both employers and workers contribute),17
as, for the time being at least, the State and local Government
authorities alone meet the cost of these subsides. The appropriation
of 30 million escudos per annum, originally provided in the 1943
budget, was afterward raised to 60 million escudos, representing
approximately 9 percent of the salaries of the group concerned.
The decree'of February 22, 1943, provides that the right to family
allowances cannot be alienated and exempts such grants from all
fees and taxation and from seizure. Fraudulent declarations are
subject to penalty, as is also failure to fulfill the conditions for the
payment of these benefits.
Compulsory contributions authorized.—A legislative decree of April
15, 1943, empowers the Under Secretary for Corporations to “fix
compulsory limits for salaries and wages when superior economic
interests or social justice so require.” In the fixing of salaries and
wages “provision may also be made for compulsory contributions by
undertakings and employees for the purpose of family allowances and
social-welfare allowances.”
Soviet Union 18
A recent edict has been issued by the Presidium of the Supreme
Soviet of the U. S. S. it. on liberalizing State aid to expectant mothers,
mothers of large families, unmarried mothers, etc.
The Government had already been granting substantial assistance
to expectant mothers and other workers for their children. As war
time economic hardships and the prospect of post-war difficulties
which will confront many families accentuated the need for the further
17 For summary of general system, see U. S. Bureau of Labor Statistics Bulletin No. 754 (p. 43).
18 Data are from Information Bulletin of Embassy of the Union of Soviet Socialist Republics, Washington,
July 25. 1944.
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extension of State aid, it was decided that State allowances would be
granted to the mother of a large family (whether or not the husband is
living) on the birth of the third and each subsequent child.
The allowances range from a single grant of 400 rubles on the birth
of a third child and 80 rubles per month (or a single grant of 1,300
rubles) on the birth of a fourth child to 250 rubles per month (or a
single grant of 3,500 rubles) on the birth of a tenth child. For each
child after the tenth, monthly allowance of 300 rubles (or a single
grant of 5,000 rubles) is made.
The monthly allowances for mothers with many children are to
begin after the child's first birthday and to continue until he is 5 years
of age. Mothers who had three, four, five, or six children at the time
the edict was published will be granted allowances under this measure
for each child born after the issuance of that edict.
Mothers having seven or more children when the edict was made
public, hold the right to large-family allowances in accordance with
the provision and in the amounts specified in the decision of the
Central Executive Committee and the Council of People's Commissars
of the U. S. S. R. of June 27, 1936.
Taxes for the support of the system are to be imposed upon male
citizens between 20 and 50 years of age and female citizens between
20 and 45 who have no children, as well as upon families with two
children or less. Among those exempted from the taxes are Red
Army men and their wives, parents who have lost children on fronts
of the war, students under 25 years of age, and invalids.
Increasing privileges are to be extended to expectant and other
mothers, and measures are to be taken for broadening the network of
institutions (including nurseries and milk kitchens) for the benefit of
mothers and children.
S p a in 19
A decree of November 10, 1942, extended the system of family
allowances to home workers, who had been provisionally excepted
under the decree of October 20, 1938.
Under a decree of July 27, 1943, the previous scale of family allow
ances, which had been increased by a decree of February 22, 1941,
was further liberalized. The new rates rise more rapidly, per child,
for the larger families.
Under the 1941 scale the monthly allowances ranged from 30
pesetas for a family with 2 children to 290 for 12 children plus 50
pesetas for each additional child. The range under the 1943 decree
is frorn 40 to 1,080 pesetas, plus 200 pesetas for each child above 12.
According to the 1943 decree, family allowances granted on a daily
basis in the case of casual laborers are to be similarly increased.
The 1943 measure did not change the other details of the system;
thus the allocatees include employed persons, home workers, em
ployers, farmers, and those receiving accident pensions. The allow
ances are paid for each child under 14 years of age, and without age
limit if the child is disabled.
The system is financed by contributions by employers of 5 percent
of pay rolls and contributions by employees of 1 percent of their wages.
10 Data are from International Labor Review (Montreal), M ay 1941 (p. 598), M ay 1943 (p. 665), and
December 1943 (p. 791). Exchange rate of peseta in 1940 (latest year for which reported) =9.13 cents.
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Sweden
In the war crisis the social policy of Swedish public authorities has
been concentrated more than ever before on family and child problems.
In all cases the aid to the families of men assigned to defense service—
food discount cards, removal allowances, sick benefits, and unemploy
ment insurance—has been extended in ways advantageous to persons
with family responsibilities, particularly persons with many children.
In the judgment of the Under Secretary of State (Ministry of
Social Affairs) of Sweden, “undoubtedly Swedish policy will pay much
more attention to the family than it used to do, partly also for demo
graphic reasons.” He adds that uneasiness over the low birth rate
has stimulated interest in the country’s population problems. A
new committee is already studying the subject, and will apply wartime
experience to social action in the coming years.20
Switzerland
In the metal and engineering industries of Switzerland, wages have
been regulated in accordance with an agreement of July 19, 1937,
which was extended to July 19, 1944. Wage adjustments were made
in part through a family-allowance fund which, according to a report
published in 1943, granted 8 francs per month for each child after
the third. The employers were requested to pay 5 francs per month
for the first two children.
In the agitation by the Swiss workers’ organizations for wage in
creases to meet the higher living costs, attention has also been called
to the fact that in industries already granting family allowances, the
benefits have frequently been substituted for cost-of-living bonuses.21
Union of South A frica
The Social Security Committee, appointed by the Government of
South Africa in January 1943, published a White Paper in February
1944 proposing a comprehensive social-security scheme with cash
benefits. Among these proposed benefits were family allowances
(regardless of family means) for the third, fourth, and fifth child under
i6 years of age, at an annual rate of £12 for a European child, £6 for
a colored or Asiatic child, and £6 for a native child. The adequacy
of the rates would be subject to examination every 3 years.
'
Establishment of a Social Security Fund was also proposed, to
which members of the social-security scheme would contribute and
for which State appropriations would be made.22
20 International Labor Review (Montreal), March 1943 (p. 311).
21 International Labor Review (Montreal). M ay 1943 (p. 653). Average exchange rate of franc in 1941
(latest year for which reported) =23.2 cents.
22 International Labor Review (Montreal), June 1944 (p. 683). Average exchange rate of South African
pound in 1944=$3.98.
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United States 23
Among the very restricted experiments in paying cash supplements
to earnings of married men, because of family responsibilities, in this
country have been those with teachers in the public-school systems.
In the school year 1940-41, such schemes were in effect in 75 cities and
towns, according to a report of the National Education Association
released in September 1941.
Probably the social service most closely related to family allowances
or child endowment is Federal-State aid to dependent children, under
the Social Security Act. The principal difference between the grants
under this measure and the usual family allowances is the act’s stipu
lation of lack of parental support as a condition of eligibility, and,
consequently, a more direct implication of poor relief.
The estimated total amount paid out to recipients under the Social
Security Act for assistance to dependent children in the month of
April 1944 was $11,339,349 (excluding figures for Nevada and Alaska,
which do not participate in the Federal program). The number of
children aided was 660,822.
In connection with the advocacy of family allowances in kind, may
be noted the Congressional authorization of the War Food Adminis
tration to continue its financial aid to school-lunch programs for the
fiscal year 1944-45 to an amount not exceeding $50,000,000.
Although this article is not concerned with military allowances,
it may be said in passing that in the period July 1942-June 30, 1944,
the War Department disbursed $2,865,241,131 (including $1,162,924,305 contributed by the soldiers) in family allowances for the service
personnel under its jurisdiction.24
Child and family security continue to receive attention from various
sources. Family allowances as a post-war objective were recom
mended by the Most Reverend Karl J. Alter, Bishop of Toledo, at the
Catholic Conference on Industrial Problems in March 1944. Research
is being undertaken by the Federal Security Agency in collaboration
with a few other Federal agencies on the relative possibilities of pro
moting child security through (1) family income, (2) direct financial
aid to families, and (3) public services (such as school lunches, etc.).
Uruguay 25
Grants for dependent children of workers with monthly wages or
salaries not exceeding 200 pesos are provided for in Uruguay by an
act of November 12, 194 3. The Chief Executive of Uruguay is
directed to create tripartite boards representing employers, workers,
and the Government. These boards are to administer the “salary
funds” through which the system is to be operated.
23 Data are from Social Security Bulletin (Washington), June 1944 (p. 28); Education for Victory (U. S.
Office of Education, Washington), August 3,1944 (p. 17); Allowance and Allotment Expenditures as of June
30, 1944 (War Department, Office of Dependency Benefits, Army Service Forces, Newark, N . J.); Round
Table on Implications of Population Trends for Post-war Policy, held in connection with Twenty-first
Annual Conference of M ilbank Memorial Fund, New York, April 14-15,1943; and National Catholic Wel
fare Conference News Service (Washington), April 3, 1944.
24 No published data are available on N avy Department expenditures for this purpose.
23 Diario Official (Montevideo), November 25, 1943; for further details, see M onthly Labor Review,
February 1944 (p. 346). Average exchange rate of peso=65.8 cents (controlled) and 52.9 cents (uncontrolled).
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Compulsory contributions from employers will support the scheme.
Until the boards were created, employer contributions were fixed at
3 percent of pay roll and thereafter at 1% to 3% percent, being
determined every 3 months on the basis of estimated benefits, expenses
of administration, and maintenance of a reserve fund.
Benefits are payable only for dependent children of families in
which the salary of the head of the family (or of both husband and
wife, if the latter is also employed) does not exceed 200 pesos per
month. The allowances are to be paid to the person responsible for
support, for each dependent legitimate or legally recognized child up
to 14 years of age (16 in cases where the child is still in school). The
rate of benefit per child is tentatively set at 6 pesos.
International 28
Among the recommendations of the Twenty-sixth International
Labor Conference held in Philadelphia, April 1944, was one (No. 67)
on income security, containing the following:
Supplements for each of the first two children should be added to all benefits
payable for loss of earnings, provision for further children being left to be made
by means of children’s allowances payable out of public funds or under contribu
tory schemes. * * * Society should normally cooperate with parents through
general measures of assistance designed to secure the well-being of dependent
children.
As one of the “guiding principles” it is stated that—
(1) Public subsidies in kind or in cash or in both should be established in
order to assure the healthy nurture of children, help to maintain large families,
and complete the provision made for children through social insurance.
(2) Where the purpose in view is to assure the healthy nurture of children,
subsidies should take the form of such advantages as free or below-cost infants’
food and school meals and below-cost dwellings for families with several children.
(3) Where the purpose in view is to help to maintain large families or to com
plete the provision made for children by subsidies in kind and through social
insurance, subsidies should take the form of children’s allowances.
(4) Such allowances should be payable, irrespective of the parents’ income,
according to a prescribed scale, which should represent a substantial contribution
to the cost of maintaining a child, should allow for the higher cost of maintaining
older children, and should, as a minimum, be granted to all children for whom no
provision is made through social insurance.
(5) Society as a whole should accept responsibility for the maintenance of
dependent children insofar as parental responsibility for maintaining them can
not be enforced.
The Acting Director of the International Labor Office reported
to the Conference that the wartime upward trend in the cost of living
has accentuated the utility of family allowances by the imposition of
heavy burdens on large families. He added that opinion favoring
the introduction of such allowances is obviously growing in certain
countries in which no scheme is in operation, and that “family allow
ances in some form are widely regarded as a necessary element in
any comprehensive program to assure a decent national minimum.”
28 Data are from International Labor Office, Official Bulletin (Montreal), June 1, 1944 (pp. 4-24), and
Director’s Report to International Labor Conference, Twenty-sixth session, 1944 (p. 50).
614112-44-
-7
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996
Monthly Labor Review—November 1944
Canada's Family Allowances Act, 1944
A LAW was enacted in August 1944 to provide family allowances in
Canada. This law, which becomes effective from July 1, 1945, was
passed after prolonged consideration in Parliament and much public
discussion. Public opinion was divided on the subject, as was also
the case among the trade-unions, which have traditionally been
opposed to the family-allowance idea. Two Canadian labor "organi
zations (the Canadian Trades and Labor Congress and the Confédéra
tion des Travailleurs Catholiques) both looked upon the measure with
misgivings, as tending to keep wages down. A third organization,
however, the Canadian Federation of Labor, was of the opinion that
the question was no longer that of being able to afford children’s
allowances, “but whether we can afford * * * to do without
them.” 1
During the Parliamentary debates it was reported that—
According to the 1941 census, of the gainfully employed, 48 percent are single;
39 percent of the married or widowed have no children under sixteen and 40 per
cent of those with children under sixteen have only one child. * * * In other
words, the major burden of raising the next generation and perpetuating the
Canadian nation falls on less than one-fifth of our working population.2
The number of children in Canada under 16 years is estimated at
approximately 3,500,000. The number of families with such children
is estimated at approximately 1,500,000. Over half of these families
benefit in part or in whole from income-tax exemptions for children.
The families in the lower-income brackets, however, do not benefit
at all from such exemptions.3
Provisions of the I miv
Benefits.—Under the act and the regulations made by the Governor
in Council, there may be paid out of unappropriated moneys in the
Consolidated Revenue Fund from July 1, 1945, a monthly allowance,
according to the following scale, for each child (up to four per family)
resident in Canada and maintained wholly or substantially 4 by the
parent; 5
Amount per child
Under 6 years of age__________________ __________ $5
6 and under 10 years of age______________________ 6
10 and under 13 years of age_____________________ 7
13 and under 16 years of age_____________________ 8
For a fifth child maintained by the parent the above rates of allow
ance are reduced by $1; for the sixth and seventh children, by $2 each;
and for the eighth and each subsequent child, by $3 each.
The benefit is payable to the parent or other person authorized under
the act to receive it.
The allowance is to be discontinued (1) when the child reaches the
age of 16, (2) at any time (after attaining 6 years of age) when the
1 Labor Review (Canadian Federation of Labor), June 1944.
2 Canada. House of Commons Debates (Ottawa), July 27, 1944 (p. 5620).
3 Idem, July 25, 1944 (p. 5450).
4 The meaning of “substantially” is to be defined in the regulations.
5 “ Parent” means a father, stepfather, adoption father, foster father, mother, stepmother, foster mother,
or any other person who maintains or has the custody of a child; the term does not include an institution.
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Social Security
997
child, though physically able to attend school, fails to do so or fails
to receive equivalent training under the provisions of the act, (3)
when the child dies or is no longer a resident of Canada, or (4) when
a female child marries.
>
The allowance shall be applied by the person receiving the same exclusively
towards the maintenance, care, training, education, and advancement of the child,
and, if the Minister or such officer as is authorized by regulations in that behalf
is satisfied that the allowance is not being so applied, payment thereof shall be
discontinued or made to some other person or agency.
The allowance provided under the act is not subject to taxation nor
to laws relating to bankruptcy or insolvency. The benefits cannot be
assigned, charged, attached, anticipated, nor given as security. The
deductions allowable for dependent children under the Income War
Tax Act may be adjusted to avoid duplication of benefits under the
two acts. Further—
The Governor in Council may by regulation provide for the reduction or with
holding of the allowance payable to any person receiving aid from the Government
of Canada for the maintenance of a child in respect of whom the allowance is
payable under this act, provided that such reduction or withholding shall not be
made by reason of a pension under the Pension Act or dependent’s allowance pay
able in respect of a dependent child of a member of the naval, military, or air forces
of Canada.
Violations.-—Persons who knowingly make false statements, orally
or in writing, with the intention of influencing the payment of benefits
under this act, or who cash checks for allowances to which they are
not entitled, or who are guilty of certain other offenses under the act,
are, upon summary conviction, liable to imprisonment for a term of
not over 6 months with or without hard labor, or a fine of not over
$500, or both such fine and such imprisonment.
Administration .—The Minister of National Health and Welfare is
to administer the Family Allowances Act, and with the approvalnf the
Governor in Council, may make arrangements with any Provincial
Government to facilitate its effectuation. Regulations may be made
by the Governor in Council.
The Minister of National Health and Welfare is required to report
annually on expenditures and administration in connection with the
act. The necessary expenses for administration, other than the pay
ment of benefits, are to be paid from appropriations by Parliament.
Estim ated Cost of System
The Department of Finance estimated that the outlay as a result
of the passage of the bill would be $250,000,000 per annum, of which
$50,000,000 or $60,000,000 would be recovered by the reduction of
exemptions for child dependents under the income-tax act. 6 It is
anticipated, however, that the measure will add to the revenue of
the country by bringing about a substantial expansion in production
and employment, which will be a factor in raising the national in
come. 7
6 Canada. House of Commons Debates (Ottawa), July 25, 1944 (p. 5457).
» Idem, July 28,1944 (p. 5673).
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Labor Organizations
A. F. of L. Program in Behalf of Negroes 1
AT THE convention of the Brotherhood of Sleeping Car Porters in
September 1944 William Green, President of the American Federa
tion of Labor, presented a three-part program “to make American de
mocracy a living reality for American Negroes.” The plan provides
that, without regard to race, color, or creed—0) Every American, willing and able to work, should be afforded the oppor
tunity for a good job at good pay so that he can provide a decent living, com
mensurate with American standards, for himself and his family.
(2) Every qualified American citizen should have the right to vote.
(3) Adequate educational opportunities must be accorded to the children of
all .American families, with Federal aid supplementing the funds of the few
States which cannot bear the burden alone.
He pointed out that the war, more than any other factor since the
days of Abraham Lincoln, has served to accelerate the educational
process required to eliminate racial discrimination in the United
States.
The Federation now has over a million Negro m embers and all new
unions organized by the A. F. of L. explicitly bar racial discrimination.
*
Canadian Trade-Union Membership, 1944 2
MEMBERSHIP in Canadian trade-unions on June 30, 1944, was
estimated at 690,000, according to the annual survey of the Research
and Statistics Branch of the Canadian Department of Labor. On
December 31 of the years 1943 and 1942, the respective membership
totals were 664,282 and 578,380. Between the outbreak of the war
in 1939 and the date of the 1944 estimate, membership almost dou
bled—a growth similar to that occurring during the first World War
period, 1914-18. Trade-union membership during the last 30 years
is indicated below.
Trade-union
membership
166, 163
248, 887
378, 047
276, 621
260, 643
290, 282
322, 449
310, 544
280, 648
1914
1918.
1919.
1922
1924.
1927.
1930.
1931.
1935.
Trade-union
membership
1937..
1938-.
1939_.
1940..
1941194219431944 t
.
.
.
1 June 30 estimate.
1 American Federation of Labor, W e e k ly News Service (Washington), September 19, 1944.
2 Data are from Canada, Labor Gazette (Ottawa), August 1944.
998
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Federal Reserve Bank of St. Louis
383, 492
381, 645
358, 967
362, 223
461, 681
578, 380
664, 282
690, 000
999
Labor Organizations
Trade-Union Membership in India, 1941-42 1
THE 455 reporting trade-unions registered under the Indian Trade
Unions Act of 1926 had 573,520 members in 1941-42. The increase
over the previous fiscal year was substantial, as the 483 unions re
porting in 1940-41 had 513,832 members. Statistics are shown in
the following table. Although membership statistics given are use
ful as indicating the trend in labor organization for a selected group
of trade-unions, they do not show the extent of unionization in
British India because (1) not all registered unions submit returns to
the Government showing their membership, and (2) not all tradeunions register (registration being optional).
Trade-Union Membership in India in Selected Years, 1932-42
Trade-unions making returns
Trade-unions making returns
Period
1932-33..-.
1937-38___
1938-39___
Regis
tered
tradeunions
170
420
562
N um
ber
147
343
394
Member Average
mem
ship
bership
237, 369
390,112
399,159
1,615
1,137
1,013
Period
1939-40--1940-41___
1941-42___
Regis
tered
tradeunions
i 667
l 727
747
N um
ber
450
483
455
Member Average
mem
ship
bership
511,138
513, 832
573, 520
1,136
1,064
1, 260
1 Revised figure.
Membership of Mexican Unions under Federal
Jurisdiction
UNION workers in industries under Federal jurisdiction in Mexico
numbered 416,795 as of June 30, 1944. These workers are organized
in 24 confederations, 195 federations, and 1,974 trade-unions, accord
ing to the Mexican Ministry of Labor and Social Welfare.2 Of the
union members covered in the following table, the greatest number
are found in the transportation industry (principally the railways)
which employs 100,030 workers, or approximately 24 percent of the
total. Mining stands next, with 90,287 members, or about 22 percent.
Third in point of numbers is the textile industry which employs
82,856, or about 20 percent, of the workers covered. Next in im
portance are the sugar and petroleum industries with 25,288 (6 per
cent) and 19,701 (5 percent), respectively, of the total membership.
Over three-fourths of all workers are found in the foregoing groups.
The remainder are divided mainly among the fisheries, electrical
energy, and chicle industries, and miscellaneous occupations.
1 Information is from India, Department of Labor, Labor Gazette, .Tuiy 1944.
2 D ata are from report by W. K. Ailshie, second secretary, United States Embassy at Mexico City, Special
Report No. 3, September 11, 1944.
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Federal Reserve Bank of St. Louis
1000
Monthly Labor Review—November 1944
Distribution of Membership of Unions Under Federal Jurisdiction in Mexico, June 30,
1944
Industry
All industries---
-
- - - - - - ____
Transportation Railways_______ ___________
Streetcars - Automobiles, trucks, and
busses . . _ _Aviation__
__ ________
Freight handlers- _ _ _____
Communications - Telephone and telegraph ___
R adio______ _____ -- - Maritime a c tiv itie s ______
Fishing-- _ _ _
Diving
-- _____
Carpenters and caulkers_____
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Federal Reserve Bank of St. Louis
Unions
M em
bers
Industry
1,974
416, 795
48
5
100,030
73,237
4,415
Textiles - ___
Cotton____________________
Wool______________________
Silk and artificial silk - M illinery.-- _______________
Wool-waste.----___
Hard fibers______ ______
Electrical energy (generation and
transmission)--- __________ .
M otion pictures______ _______
M ining________________________
Petroleum and derivatives. ___
Sugar. __ ______
- Rubber. _______ ____________
Chicle____________ ____ _____ .
M iscella n eo u s.___ _ ........
60
4
228
32
8
103
2
15
4,484
666
17, 228
4, 300
3,747
553
12,258
11,006
44
1,208
FOiWICTORY
BUY
UNITED
STATES
WAR
BONDS
AND
STAMPS
Unions
M em
bers
286
57
112
37
6
18
82,856
54,335
8,243
8,215
7,055
312
4,696
68
28
334
84
100
6
9
324
8,201
3, 784
90, 287
19, 701
25,288
519
11,512
58,059
Industrial Relations
Arbitration Provisions in Union Agreements 1
Sum m ary
AT THE time an agreement is adopted, the employer and the union,
through collective bargaining, mutually determine the working con
ditions to be maintained for a specified period. Specific disputes
may, however, arise during the term of the agreement, which the
parties themselves are unable to settle. To resolve these disputes, the
parties, as a last resort, may accept arbitration by an outside party.
The inclusion of an arbitration clause in an agreement establishes
a fixed policy and procedure for the duration of the agreement, al
though, of course, the absence of such a clause does not preclude an
employer and union from submitting a specific dispute to arbitration.
Three of every four union agreements in 14 important industries
provide for arbitration as the terminal point in the grievance ma
chinery. Agreements with large companies tend to have arbitration
provisions more frequently than do those covering smaller plants.
Although permanent arbitration machinery is provided in only about
5 percent of the agreements, such provisions cover over one-fourth of
the workers employed under arbitration agreements. Over 90 percent
of the agreements provide for automatic arbitration (at the request
of either party), but less than 5 percent require mutual consent.
Temporary, or ad hoc, arbitration arrangements tend to specify
tripartite arbitration boards, whereas agreements providing for per
manent arbitration machinery are more likely to have provision for
single arbitrators. Selection of the arbitrator is usually left to mutual
agreement of the parties; about 15 percent of the agreements, however,
permit an outside individual or agency to make the selection. Almost
half of the agreements which leave the selection of an arbitrator tothe parties refer this choice to an outside agency if the employer and
union fail to agree.
The scope of arbitration provided for varies widely, ranging from
mere interpretation and application of the terms of the agreement to
arbitration of any grievance or complaint arising during the term of
the agreement. Less than 1 percent of the agreements allow the
terms of a new agreement to be arbitrated.
Scope and Method of Study
The present analysis of arbitration provisions is based upon 1,254
agreements, in 14 important industries, all of which were in effect in
January 1944. The proportion of all workers under agreement who
Prepared in the Bureau’s Industrial Relations Division by Abraham Weiss.
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1001
Monthly Labor Review—November 1944
1002
are represented by the agreements studied varies from 91 percent in
basic steel to 30 percent in machinery (other than electrical); for all
the industries combined the proportion is about 65 percent.
The agreements are classified into two groups; namely, those for
major or large companies, and those for small companies. Since the
relative sizes of companies in the several industries vary widely, the
line of demarcation differs for each industry. In the automobile
industry, for example, companies employing 2,000 or more workers
are classified as major, whereas in the cotton-textile industry, those
employing 250 or more workers are in this class. The agreements
providing for arbitration were analyzed for the following character
istics: Permanency of the arbitration machinery; requirements for
initiating arbitration proceedings; composition and method of select
ing the arbitration agency; time limits for establishing arbitration
machinery; and finality and scope of the decisions.
Table i shows the agreements analyzed, by industry and by size of
company.
T a b le 1. —Number of Agreements and of Workers Covered in Study, by Industry and
Size of Company
All companies
Major companies
Small companies
Industry
Agree
ments
Agree
ments
Agree
ments
Workers
All industries____. . . . .. ______________
1,254
2,684,000
342
2,026,000
912
685,000
Aircraft, excluding parts_________ ____
A lum inum____________________________
Automobiles and parts------------- -----------______ . . ..
Chemicals, industrial___
Machinery, electrical. . . . . . ____
Machinery, o th e r ..... _____ . . .
M eat packing. . . ___ _____ . . . . ..
Petroleum production and refining. . . .
Rubber. ___ _ _ _ _____ _____ _____
Steel—blast furnaces and rolling m ills-----Steel products___________
___ _____ .
Textiles:
Cotton____ ______________________
Silk and rayon . ___ .
.......
Woolen and worsted. . .
. . . ___
61
29
110
66
122
176
68
76
85
53
251
592,000
63,000
582,000
24,000
229, 000
227, 000
91,000
38,000
92,000
428,000
207,000
35
25
24
21
24
40
26
30
33
17
33
424,000
62,000
533,000
19,000
138,000
145,000
86,000
32,000
79,000
372,000
72,000
26
4
86
45
98
136
42
46
52
36
218
167,000
1,000
49,000
6,000
91,000
82,000
5,000
5,000
13,000
56,000
135,000
65
34
58
57,000
11,000
43,000
18
6
10
30,000
7,000
27,000
47
28
48
27,000
5,000
16,000
W orkers
Workers
Prevalence of Arbitration Provisions
Three of every four union agreements in 14 important industries,
covering about 83 percent of the workers under the agreements ana
lyzed, provide for arbitration as the terminal point in the grievance
machinery.
In some industries almost all the agreements provide for the arbi
tration of disputes arising during the terms of the agreements; in
other industries this means of settling grievances is less common. In
the petroleum production and refining, steel (blast furnaces and roll
ing mills), and textile industries, over 90 percent of the agreements
provide for arbitration, whereas such provisions are contained in only
about 40 percent of the agreements covering automobile and parts
plants and in about 60 percent of the agreements covering plants
manufacturing machinery (other than electrical). Between 60 and
70 percent of the agreements in the aluminum, rubber, and steel
products industries, and between 75 and 85 percent of the agreements
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Industrial Relations
i’
1003
in aircraft, industrial chemicals, electrical machinery, and meat-pack
ing industries, have arbitration provisions.
On the whole, agreements with large companies tend to have arbitra
tion provisions more frequently than do agreements covering smaller
plants. This tendency is particularly marked in the aluminum,
electrical-machinery, steel, and steel products industries. In the in
dustrial chemicals and the woolen and worsted textile industries the
proportion of smaller plants with arbitration provisions is larger
than the proportion of major plants. (See table 2.)
T a b le 2. —Arbitration Provisions in 1,254 Union Agreements in Selected Industries
All companies
Industry
Total
Major companies
Small companies
ith
With With
With Wout
With W ith
out
out
arbi arbi
Total arbi arbi
Total arbi arbi
tration tration
tration tration
tration tration
Percent of agreements
All industries_____________________
100
73
27
100
79
21
100
71
29
Aircraft, excluding parts________ _.
Alum inum_________ ______ ______
Automobiles and parts__ ________
Chemicals, industrial . . . _______ _
Machinery, electrical . . _ ___ _____
Machinery, other_________________
Meat packing____ ________ _ ____
Petroleum production and refining...
Rubber__________________________
Steel—blast furnaces and rolling
m ills____ _ ___ . . . . . .
Steel products_______________ . . .
Textiles:
Cotton__________ . . . .
Silk and rayon_______________
Woolen and w orsted._ ________
100
100
100
100
100
100
100
100
100
77
66
42
86
77
59
81
95
69
23
34
58
14
23
41
19
5
31
100
100
100
100
100
100
100
100
100
77
68
46
81
88
65
85
97
73
23
32
54
19
12
35
15
3
27
100
100
100
100
100
100
100
100
100
77
50
41
89
74
57
79
93
67
23
50
59
11
26
43
21
7
33
100
100
92
65
8
35
100
100
100
76
24
100
100
89
63
H
37
100
100
100
98
94
93
2
6
7
100
100
100
100
100
90
10
100
100
100
98
93
94
2
7
6
Percent of workers
All industries_____________ . . . . . .
100
83
17
100
85
15
100
76
24
Aircraft, excluding parts___________
A lu m in u m _____ . . _ ______ ___
Automobiles and parts_________
Chemicals, industrial___ . . . ______
Machinery, electrica l... __________
Machinery, other____ . ___ ___
Meat packing__________ ________
Petroleum production and refining...
R u b b er... . . . _______
Steel—blast furnaces and rolling
mills_______________ .
Steel products___ ____ _____ _______
Textiles:
C otton_____ _____ . . .
Silk and rayon
_____
Woolen and worsted
100
100
100
100
100
100
100
100
100
79
80
83
75
87
61
89
94
53
21
20
17
25
13
39
11
6
47
100
100
100
100
100
100
100
100
100
75
81
87
67
96
66
89
95
50
25
19
13
33
4
34
11
5
50
100
100
100
100
100
100
100
100
100
89
24
36
90
73
51
83
84
70
11
76
64
10
27
49
17
16
30
100
100
99
79
1
21
100
100
100
83
17
100
100
95
77
5
23
100
100
100
99
99
98
1
1
2
100
100
100.
100
100
99
1
100
100
100
97
98
97
3
2
3
As is to be expected from the fact that arbitration is more common
in large than in small companies, the proportion of workers under agree
ment covered by arbitration provisions is larger in most industries
than the proportion of agreements with such clauses. For example,
although less than half of the agreements with major automobile
companies provide arbitration, 87 percent of the workers employed
by these companies have recourse to arbitration, owing largely to
the presence of arbitration in the multiplant agreements of the Chrys-
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1004
ler, Ford, and General Motors companies. In industrial chemicals
the reverse is true, reflecting the fact that the small plants have
adopted arbitration provisions more frequently than the larger com
panies. In the rubber industry, although a larger proportion of
major plants than small plants provide for arbitration, the proportion
of workers covered by arbitration provisions is smaller, because a
few of the agreements with larger companies (such as Goodrich and
Goodyear Akron plants) do not provide for arbitration.
Perm anent Versus A d Hoc Arbitration
Most arbitration agreements provide that the person or persons who
are to serve as arbitrators are to be selected whenever a particular
need arises. On the other hand, 5 percent of the agreements provide
for permanent arbitration machinery. Of the 915 agreements with
arbitration clauses, 43 stipulate permanent arbitration machinery and
872 ad hoc arbitration. The limited number of agreements providing
permanent arbitration machinery, however, cover 28 percent of the
workers employed under arbitration agreements. (See table 3.)
PERMANENT ARBITRATION
Permanent arbitration provisions occur most frequently in the agree
ments of the aircraft, automobile, meat-packing, and rubber indus
tries, although they are found in some agreements in each of the other
industries considered, except petroleum. In the automobile and meat
packing industries, 88 and 73 percent, respectively, of the workers
under arbitration clauses are covered by permanent arbitration. Al
though agreements with the larger plants in the above-named indus
tries tend to have permanent arbitration clauses more commonly than
do agreements with smaller plants, the proportion of workers covered
by such clauses in the aircraft and rubber industries is far less than in
the automobile and meat-packing industries. In the electricalmachinery, basic-steel, and cotton-textile industries, none of the agree
ments with major plants provide for permanent arbitration.
The General Motors, Ford, and Chrysler agreements establish per
manent arbitration and account for the high proportion of workers in
the automobile industry and for most of the workers in the aircraft
industry under permanent arbitration machinery. Similarly, the
high proportion of meat-packing workers with permanent arbitration
is explained by the master agreements of the Armour, Swift, and
Wilson companies, which contain such provisions.
The Ford and General Motors agreements contain specific references
to the termination of the permanent arbitrator’s services. In the
former agreement the arbitrator may be dismissed at any time on 30
days’ notice by either party to the arbitrator and to the other party.
In effect, however, the arbitrator’s services may be terminated without
notice, since the party requesting his dismissal has the privilege of
specifying that the arbitrator shall not render decisions in cases pend
ing at the date of notice. Likewise, while the General Motors umpire
is employed on an annual basis, he actually serves only as long, as “he
continues to be acceptable to both parties.”
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Federal Reserve Bank of St. Louis
Industrial Relations
1005
T a b le 3. —Ad Hoc and Permanent Arbitration Provisions in 915 Union Agreements in
Selected Industries
All companies
Industry
Ad
Total hoc
Major companies
Per
Ad
ma Total hoc
nent
Small companies
Per
ma Total
nent
Ad
hoc
Per
ma
nent
Percenc of agreements
All in d u stries_________________ __________
100
95
5
100
90
10
100
98
2
Aircraft, excluding parts___________________
Alum inum____ ________ . _ _ .
Automobiles and parts__________ _________
Chemicals, industrial
Machinery, electrical____ _______ ___ ___ . _
Machinery, other_____ _____________ _____
Meat packing___________________
Petroleum production and refining
Rubber.. ____________________ _______
Steel—blast furnaces and rolling mills
Steel products-. . . . _______ ______________
Textiles:
Cotton - ___ - - _
Silk and rayon
_ . „.
Woolen and worsted_____________
..
100
100
100
100
100
100
100
100
100
100
100
89
95
91
96
96
98
87
100
90
96
96
11
5
9
4
4
2
13
85
94
64
88
100
96
73
100
79
100
92
15
6
36
12
100
95
100
100
100
100
100
100
100 , 95
99
100
97
100
100
100
97
100
100
94
97
100
5
10
4
4
100
100
100
100
100
100
100
100
100
100
100
100
iOO
100
98
97
96
2
3
4
100
100
100
100
83
89
4
27
21
8
17
11
5
1
3
3
6
3
100
100
100
98
100
98
2
2
Percent of workers
All industries__________ _______
. . . ___
100
72
28
100
65
35
100
97
3
Aircraft, excluding parts___________________
Aluminum - .
Automobiles and parts . ____________ _ _ :
Chemicals, industrial
Machinery, electrical_________________
Macninery, other____________ . _ .
Meat packing__________ ___ _____
Petroleum production and refining
Rubber____ ______
Steel—blast furnaces and rolling mills
Steel products.. ___________ i ___ . . . ___
Textiles:
Cotton__ _____ __
Silk and rayon . ____ .
Woolen and worsted.______ ____________
100
100
100
100
100
100
100
100
100
100
100
78
99
12
91
95
98
27
100
88
99
98
22
1
88
9
5
2
73
67
99
9
88
100
97
23
100
85
100
98
33
1
91
12
2
100
100
100
100
100
lOu
100
100
100
100
100
99
100
100
100
84
99
97
100
98
99
98
1
12
1
2
100
100
100
100
100
100
100
luo
100
100
100
100
100
100
97
95
98
3
5
2
100
100
100
100
92
98
8
2
100
100
100
94
100
98
3
77
15
16
1
3
2
1
2
•
6
2
AD HOC ARBITRATION
Among the major agreements which provide ad hoc arbitration
are those with the following companies: Boeing Aircraft Co., Consolidated-Vultee Aircraft Corporation (San Diego, Calif.), CurtissWright Corporation (Buffalo, N. Y.), Aluminum Co. of America (all
agreements),2 General Electric Co., Westinghouse Electric & Manu
facturing Co., Caterpillar Tractor Co., International Harvester Co.
(all agreements), United States Steel Corporation and its subsidiaries,
Wheeling Steel Corporation, Richfield Oil Corporation, Shell Oil Co.,
Sinclair Refining Co., and American Woolen Co.
In itiation of A rbitration Proceedings
An arbitration clause may provide for arbitration at the request of
either party, at the request of the union, at the request of the aggrieved
employee or his representative, or by mutual consent of both parties.
2
A directive order of the National War Labor Board on November 28, 1942, rendered after the effective
date of the current agreement covering the Cleveland, Ohio, plants of this company, provides a permanent
arbitrator to be appointed by the parties “to make final determination of all grievances which are not settled
in accordance with the existing grievance procedure.”
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1006
AUTOMATIC ARBITRATION
Arbitration at the request of either party-—sometimes referred to
as compulsory or automatic arbitration 3—is specified in 93 percent
of the arbitration agreements, covering a similar proportion of
workers. Aluminum is the only industry considered in which a sub
stantial proportion of the agreements do not provide for arbitration
at the request of either party. In the basic-steel industry and in the
silk- and rayon-textile industry, all arbitration agreements empower
employer or union to refer an unresolved dispute to arbitration.
In most industries, provisions allowing either party to request
arbitration appear somewhat more frequently in agreements with
small than with large companies; but in the automobile, steel-products,
and cotton-textile industries a larger proportion of the major agree
ments have such clauses.
T a b l e 4.-—Provisions for Initiating Arbitration in 915 Union Agreements in Selected
Industries
Ad hoc arbitration
All arbitration
agreements
Method of initiating
arbitration
Permanent arbitra
tion
Major Small
All
All Major Small
All
Major Small
com com com com com com com com com
panies panies panies panies panies panies panies panies panies
Percent of agreements
93
2
86
6
96
1
93
2
86
5
B y mutual consent . . . . . . . . . . . . . . . . .
1
4
2
6
3
1
4
2
7
3
T otal, ____ ________________
100
100
100
100
100
100
At request o f either party, _ - ______
At request of union______ _
.. .
At request of individual employee
96
1
95
5
93
7
100
100
100
100
99
1
99
1
100
100
100
100
Percent of workers
91
3
At request of either party______ . . .
At request of union.
.
.. ...
At request of individual employee or
"By mutual consent,
T otal_____________ : _________
■
(»)
6
100
89
3
(9
96
1
8
3
100
100
88
3
84
3
96
1
9
1
12
3
100
100
100
(0
1 Less than 1 percent.
A few arbitration agreements (2 percent), chiefly with the major
plants in the aircraft, rubber, and cotton-textile industries, specify
that the union may initiate arbitration; and an additional 1 percent,
almost all of which are with major petroleum plants, permit arbitra
tion at the request of “an individual or his representative.” Since
these agreements fail specifically to state that the employer also has
the right to ask for a hearing on grievances against the union, they
could be construed to prohibit appeal to arbitration by the employer.
In practice, however, the employer’s superior strategic position in the
positive steps which he can take when he has a grievance against the
union or any employees—such as the right to discipline or discharge
any employee for alleged violation of the agreement—tends to throw
the burden of protest and appeal to arbitration upon the union.
3
While such arbitration is compulsory in that both parties must be willing to accept arbitration for ail
unresolved disputes during the life of the agreement, it is not compulsory in the sense that the Govern
ment has imposed arbitration. More accurately, it is voluntarily adopted compulsory arbitration.
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PERMISSIVE ARBITRATION
About 4 percent of the arbitration agreements, covering a slightly
higher proportion of workers, permit arbitration only when both
parties mutually agree to arbitrate a dispute. This arrangement,
sometimes referred to as permissive arbitration, allows either party to
veto a request for arbitration, thus forcing the party desiring adjust
ment either to accept the other’s terms or to resort to economic pressure
by way of a strike or lockout. Under a few agreements, specified
disputes may be arbitrated at the request of either party, but other
disputes require mutual consent.
Requirements for mutual consent to arbitrate are found in about
one-third of the arbitration agreements in the aluminum industry—
all negotiated by the Aluminum Co. of America and covering about 90
percent of the aluminum workers under arbitration agreements1—
and in about one-tentli of the agreements in the machinery (other than
electrical) industry. The General Motors and the Westinghouse Elec
tric & Manufacturing Co. agreements with the United Electrical, Radio
and Machine Workers (C. I. O.) and the International Harvester Co.
agreements with United Farm Equipment and Metal Workers
(C. I. O.), covering three Chicago plants of this company, also require
mutual consent for arbitration.
None of the agreements providing for permanent arbitration ma
chinery require the mutual consent of both parties before an issue may
be referred to such arbitration; and none of the ad hoc arbitration
agreements in the meat-packing, petroleum, basic-steel, and cotton-,
silk-, and rayon-textile industries contain such restrictions.
Composition of Arbitration Agency
About half of the union agreements analyzed designate as the arbi
tration agency a tripartite board consisting of an equal number of em
ployer and union representatives with a neutral member acting as
chairman. In most cases the neutral member functions with the com
mittee from the beginning, but in about a fifth of the cases the im
partial chairman is added only in the event of a deadlock. In con
trast with this tripartite arrangement, some agreements call for
committees or boards composed exclusively of outside impartial
persons or establish a State agency to serve as arbitrator.
A considerable number of the arbitration agreements (about 36
percent) provide for single arbitrators, and a few additional ad hoc
arbitration agreements specify that the agency may be either a
board or a single person. The remaining agreements studied, all
of the ad hoc type, do not specify the composition of the arbitration
agency. Among these are a few which refer the choice of arbitrator
to a State or Federal agency but fail to specify whether such agency
is itself to act as arbitrator or is merely to appoint an arbitrator.
4
In a decision issued November 27, 1943, involving the Torrance, Calif., plant of the Aluminum Co. of
America, the N W L B disallowed a company request that the agreement covering this plant include
arbitration by mutual consent and ordered instead “compulsory arbitration” ; i. e., at the request of either
party.
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
T a ble 5.—Composition of Ad Hoc and Permanent Arbitration Agencies Provided in
915 Union Agreements in Selected Industries
All arbitration
agencies
Composition of arbitration agency
Permanent arbitra
tion agencies
Ad hoc arbitration
agencies
All
Major Small
Major Small
Major Small
All
All
com com com com com com
com com com
panies panies panies panies panies panies panies panies panies
Percent of agreements
Single arbitrator__________________
Board with impartial chairman i___
Bipartisan board, with odd man
added only if board fails to agree...
Single arbitrator or board__________
State agency 2_____________________
Other____________________ 1_____
Total
36
40
35
36
11
3
1
9
12
6
2
9
100
100
36
42
35
41
32
38
36
41
11
2
12
3
13
7
12
2
(3)
9
9
10
9
100
100
100
100
60
16
63
11
56
25
2
4
22
22
19
100
100
100
91
8
34
51
1
1
15
100
100
100
Percent of workers
Single arbitrator.__________________
Board with impartial chairman 1___
Bipartisan board, with odd man
added only if board fails to agree...
Single arbitrator or board__________
State agency 2____ ________________
Other____________________________
Total
61
24
68
17
5
4
(3)
6
100
40
47
51
30
55
22
40
48
89
9
6
1
6
6
7
8
5
1
1
6
7
8
6
100
100
100
100
5
5
(3)
5
100
(3)
1 Includes a few agreements which require the members of the board to have no connection with either
party.
2Includes only those agreements which specifically state that the State agency itself shall act as arbitrator.
Agreements which fail to specify whether this agency or an appointee is to serve as the arbitrator are classi
fied under the subsequent heading.
3 Less than 1 percent.
Agreements which provide for permanent arbitration tend to desig
nate single persons or a State agency to serve as the arbitrator. About
60 percent of the permanent arbitration agreements refer to single
arbitrators; about 22 percent, which cover plants in Massachusetts,
establish the Massachusetts State Board of Conciliation and Arbitra
tion 5 as the arbitrator. Ad hoc agreements, on the other hand, pro
vide for the appointment of arbitration boards more frequently than
they designate single arbitrators.
Single arbitrators are designated by all the permanent-arbitration
agreements in the aircraft and-automobile industries, except the agree
ment with the Chrysler Corporation, and by most of the permanentarbitration agreements in the meat-packing industry. The agree
ments of the Chrysler Corporation and the George A. Hormel Co.
each establish a tripartite arbitration committee, headed by a per
manent chairman.
Among the ad hoc arbitration agreements, boards are established
by about 90 percent of the agreements in the meat-packing industry,
by over 70 percent in the chemical and petroleum industries, and by
over 60 percent in the aircraft, electrical-machinery, and rubber in
dustries. In about half of the petroleum agreements, the impartial
member of the board is not appointed until after the bipartisan reps This board has functioned (as a part of the Massachusetts Department of Labor) for many years as an
arbitrator when requested by employers and unions. Like the U . S. Conciliation Service, labor-mediation
activities in most States are concerned mainly with conciliation, or with the appointment of arbitrators at
the request of the disputing parties.
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resentatives have failed to agree. Single arbitrators are provided in
about 80 percent of the ad hoc arbitration agreements in the steel
industry (including all the major agreements), and in over half of
those in the machinery (other than electrical) and the steel products
industries.
The ad hoc agreements with the following companies specify ar
bitration boards or committees: Curtiss-Wright Corporation (Buffalo,
N. Y., and St. Louis, Mo., plants); Texas Co. (Port Arthur, Tex.,
plant); Union Oil Co. of California (California plants); General
Tire and Rubber Co.; United States Rubber Co. (Chicopee Falls,
Mass., Detroit, Mich., and Los Angeles, Calif, plants); and Hood
Rubber Co. Single arbitrators are provided for in the agreements
of the Carnegie-Illinois Steel Corporation and other United States
Steel Corporation subsidiaries, the Caterpillar Tractor Co., several
plants of the International Harvester Co., and the Wheeling Steel
Corporation.
The choice of either a single arbitrator or a board, which appears
in a few ad hoc agreements, is found chiefly in the rubber and cottontextile industries. Such a provision is also contained in the national
agreement of the Westinghouse Electric & Manufacturing Co.
The composition of arbitration agencies established by agreements
with large companies does not differ markedly from the composition of
those established by agreements with smaller plants.
Selection of Arbitrators
In the case of ad hoc arbitration the problem of selecting an arbitra
tor or board must be faced each time arbitration is requested, whereas
under permanent arbitration the individual or board, once chosen,
usually serves continuously throughout the life of the agreement.
According to 70 percent of the permanent arbitration agreements,
the arbitrator was selected at the time the agreement was negotiated
and is designated by name or title in the agreement. Included in the
group are those which designate the Massachusetts State Board of
Conciliation and Arbitration as arbitrator. In about 25 percent, in.
eluding most of the permanent-arbitration agreements with large
plants, the arbitrator was to be jointly selected, subsequent to the
signing of the agreement, to serve for the duration of the agreement.
Most agreements in the latter group—covering over 80 percent of the
workers under permanent arbitration—fail to provide for breaking a
deadlock in case the parties fail to agree on the arbitrator. A few
permanent arbitration agreements state that the arbitrator is to be
appointed initially by a designated outside agency or individual.
In 80 percent of the ad hoc arbitration agreements the selection of
the arbitrator is left to mutual agreement of the parties. While half
of these provide no automatic means for breaking a deadlock, at least
half stipulate an outside agency which is to appoint a neutral arbitra
tor if the employer and union fail to agree upon a selection. Less
than 35 percent of the ad hoc agreements in the meat-packing, petro
leum, steel, and steel-products industries empower an outside indi
vidual or agency to select an impartial arbitrator when the two parties
fail to agree. The proportion of agreements with major plants pro-
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Monthly Labor Review—November 1944
viding such safeguards against deadlocks in the selection of a neutral
arbitrator is slightly larger than the proportion with small plants.
About 16 percent of the ad hoc arbitration agreements specify that a
designated governmental or private agency or individual shall appoint
the neutral arbitrator whenever the need for arbitration arises, while
a few, principally in the aluminum industry, contain no information
on how the arbitrators are to be selected.
T a b l e 6 . —Method
of Selection of Ad Hoc and Permanent Arbitration Agencies in 915
Union Agreements in Selected Industries
All arbitration
agencies
Method of selection
•
Ad hoc arbitration
agencies
Permanent arbitration agencies
All Major Small
All Major Small
All Major Small
com- com- com- com- com- com- com- com- companies panies panies panies panies panies panies panies panies
Percent of agreements
Designated in agreement - __ . .
Selection by mutual agreement; outside agency or individual to make
choice if parties fail to agree-. - . __
Selection by mutual agreement (no
reference to outside party should
parties fail to agree on choice)
Appointed initially by outside
agency or individualN o mention- ________ _ . .
Total _ ______ -- ---
--
3
6
2
40
42
38
41
46
39
33
41
40
15
3
12
7
17
2
16
3
100
100
100
100
70
59
88
39
4
4
6
33
42
21
33
13
8
17
2
5
4
6
100
100
100
100
100
16
14
92
Percent of workers
Designated in agreement- __ Selection by mutual agreement; outside agency or individual to make
choice if parties fail to agree___. .
Selection by mutual agreement (no
reference to outside party should
th ey fail to agree) -- _______ . .
Appointed initially by outside
agency or individual_________
N o mention ________
Total - - - - -
5
5
3
30
. 22
57
42
34
58
52
59
29
40
44
30
5
8
4
10
9
2
7
11
7
15
10
2
100
100
100
100
100
100
1
83
0)
100
(0
7
86
(')
100
1
100
1 Less than 1 percent.
The agencies most frequently specified to appoint an arbitrator
under both permanent and ad hoc arbitration arrangements, either
initially or after the parties have failed to dgree upon the selection, are
the U. S. Conciliation Service, the National War Labor Board, various
State labor boards or mediation agencies, and (principally in textile
agreements) the American Arbitration Association. The U. S. Con
ciliation Service most frequently appoints as arbitrators special mem
bers of its own staff, although sometimes it appoints arbitrators who
are not on its staff.6 The American Arbitration Association, a private
agency, has established a tribunal which offers a panel of arbitrators
from which the two parties may make a selection, or from which the
Association, when requested, may appoint an arbitrator or arbitrators.
6 The services of these arbitrators may be invoked in the following ways: B y a joint request from the
parties, directed to the Washington office of the Service; by a joint stipulation to arbitrate, signed by the
parties while a commissioner of conciliation is on the scene: or by a request from labor and management (or
either if the agreement so provides), when an, agreement exists providing for arbitration by the Service.
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Tim e Lim its
In order to avoid the possibility of delay in settling disputes, and to
prevent obstruction of arbitration by either party, time limits are
specified in over half of the arbitration agreements. Time limits may be
established for any one or all of the several stages in the arbitration
process—the selection of the arbitrator or arbitrators, the conduct of
hearings, and the rendering of decisions. The largest proportion
(over 70 percent) of the time limits are confined to the selection of the
arbitrators—an indication that unnecessary delays are not anticipated
once the arbitration proceedings are under way. When the arbitrator
or arbitration agency is designated in the agreement, or when the selec
tion of the arbitrator is initially referred to an outside agency, agree
ments do not, of course, contain time limits for selecting arbitrators.
Of the total agreements that provide for selection of arbitrators by
mutual consent, including those providing for reference to an outside
agency for selection of an arbitrator if the parties fail to agree on one,
slightly over half fix some time limits on the selection process. The
proportion of agreements providing time limits in the joint selection of
arbitrators was about the same for ad hoc as for permanent agreements,
and was greater for large than for small plants.
Status of Arbitration Decisions
Since it is the purpose of arbitration finally to settle a question in
dispute, it follows that the decision or award must be accepted and
binding on the parties involved. This concept is affirmed by 90 per
cent of the agreements studied, which specifically state that a decision
rendered after arbitration proceedings shall be “final and binding” on
the parties concerned; some, in addition, specifically state that there
shall be no appeal from the decision to a court or “labor board”.7
The omission of the “final and binding” clause occurs principally in
agreements which fail to describe the composition of the arbitration
agency and/or which require mutual consent of the parties to initiate
arbitration. Since arbitration implies final settlement of disputed
matters, an award should be considered binding even though there is
no express stipulation to that effect.
Scope of Arbitration
Definitions of the precise scope of arbitration vary from agreement
to agreement, ranging from brief but general statements to lengthy
itemizations of the specific issues which are or are not arbitrable.
The majority of the agreements analyzed not only authorize the
arbitration of disputes involving the “interpretation and/or appli
cation” of any of their provisions, but also enumerate specific issues
which are subject to arbitration. Disputes over discharges are most
frequently listed as arbitrable; a few agreements, however, do not
include disputes over discharges that result from participation in
work stoppages, incompetency, insubordination, and other specified
causes, or that involve probationary employees.
i
The National War Labor Board, on September 10,1943, issued a statement which in effect stated that it
will not review an arbitrator’s award except where he has exceeded his authority. Under the wage-stabilization program, however, the Board must review awards involving wage issues. In March 1944, the Board
instructed its regional offices and industry commissions not to accept additional evidence or argument from
parties when reviewing arbitrator’s wage awards, except when specifically requested by the Board.
614112—44------ 8
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Many agreements specify that the arbitrating agency has no power
to “add to or subtract from or modify” any terms of the current
agreement, or that the arbitrator may not “arbitrate away, in whole
or in part, any provisions of this agreement.” Such safeguards may
be considered as restricting arbitration to interpretation and enforce
ment of the terms of the agreement.
When arbitration is expressly limited to interpretation, the arbitra
tor may decide only questions over matters already covered by the
agreement and must limit his awards to interpreting its provisions in
deciding the respective rights and duties of the parties on particular
issues. Under such circumstances the arbitrator’s scope is, of course,
much broader if the substantive provisions of the agreement cover
many subjects than if the coverage is limited. The possible need for
utilizing arbitration to interpret an agreement is lessened if the pro
visions describing the subjects covered are detailed and precise.
The U. A. W.-C. I. O. agreement with General Motors is an example
of an agreement which allows the arbitrator to act on issues involving
the “interpretation and/or the application of any term of this agree
ment” ; in addition it states that he shall have “no power to add to or
to subtract from or modify any of the terms of this agreement or any
agreements made supplementary hereto; nor to establish or change
any wage * * *.” Although some particular issues are listed on
which the arbitrator may act (such as claims of union discrimination
and alleged violation of the terms of certain sections of the agree
ment), since all these matters are included elsewhere in the agreement,
the arbitrator’s function is limited to interpreting and enforcing the
terms specified.
Some agreements provide that any dispute over wages, hours, or
other conditions of employment may be arbitrated, without clearly
indicating whether arbitration is restricted to the interpretation of
wage and other clauses in the agreement or whether any dispute in
volving these subjects may be arbitrated. About three-fourths of the
agreements refer to individual wage-rate disputes, such as contro
versies over rates to be established for a “bona fide new job,” rate
changes owing to changes in job content, claims of improper classi
fication, alleged violation of negotiated rates, individual wage-rate
reviews, etc. Others refer to both general and individual wage dis
putes during the terms of the agreement or to disputes over general
wage revisions only.
. Specific references to the arbitration of wage disputes, referring
either to requests for general wage changes or to individual wagerate adjustments, are found in less than half of the arbitration agree
ments, and these generally allow such disputes to be arbitrated, al
though the proportion of agreements which permit arbitration of gen
eral wage disputes is considerably less than those which allow arbitra
tion of individual wage grievances. Among the major agreements
which permit the arbitration of individual wage disputes are those
covering subsidiaries of the United States Steel Corporation; United
States Rubber Co. (Indianapolis, Ind.); Shell Oil Co. (Calif.); and
Wheeling Steel Corporation. Agreements with the following com
panies specifically permit the _arbitration of general wage disputes:
American Thread Co., American Woolen Co. (North Vassalboro,
Maine), and Marshall Field & Co. (North Carolina plants).
Some agreements specifically exclude from arbitration designated
management functions such as “methods of production” and the com
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>
1013
pany’s “operating policy,” use of machinery, and “matters pertaining
to the financial status of the business” ; others specifically exclude
“the purpose or the inclusiveness of this agreement,” the “enlargement
or the extension of the scope or status of the union,” and “grievance or
dispute which arises out of governmental orders, regulations or con
tracts,” etc.
A few agreements state that “any grievance or complaint” or “any
difference” may be arbitrated, but provide no clue as to whether arbi
tration is limited to the interpretation, application, and/or enforce
ment of their provisions, or whether grievances over matters not spe
cifically covered by the agreement are included within the scope of
arbitration. Occasionally, an agreement appears to permit arbitra
tion of matters not specifically covered in addition to disputes involv
ing interpretation.
A small proportion of the agreements studied (less than 1 percent
of those providing arbitration), in addition to authorizing the arbi
tration of disputes over interpretation and/or disputes over certain
working conditions, specifically authorize the arbitration of disputes
over the terms and conditions of a new or renewed agreement. How
ever, as the parties themselves attempt to settle disputes arising during
the term of the agreement before resorting to arbitration, so also,
through collective bargaining, do they first attempt to agree upon the
terms and working conditions when reviewing or modifying its pro
visions. An arbitrator specifically authorized to arbitrate the terms
of a new agreement may not assume jurisdiction until after the parties
have tried by collective bargaining to agree on these new terms.
Regulation of Employment Contracts in the Dominican
Republic 1
TO IMPROVE the position of workers in the Dominican Republic,
the Government of that country has enacted various measures within
the last 4 years.2 One of the recent laws was that promulgated
June 16, 1944, to regulate employment contracts and safeguard the
rights of workers and employers. The statute forbids employers
to interfere with laborers’ organizations, to extend the usual working
day, or to cancel benefits accruing to workers under existing laws;
it also nullifies contractual agreements which require workers to
make purchases in certain establishments. Provision is made for
maternity leave, the work of minors (under restrictions), and certain
dismissal payments. The law does not cover employers of domestics,
or subcontractors hiring day laborers; nor does it cover the armed
forces, or the office workers of the State, the municipalities, or the
District of Santo Domingo.
Obligations of Employers and Employees
Employers are required by the law to treat workers with considera
tion, to pay wages for the time when the employers suspend work,
to provide suitable materials and tools for work (unless the worker
1 Data are from law No. 637, published in Gaceta Oficial (Ciudad Trujillo), June 20,1944.
2 Earlier laws included an act of April 19, 1940, to establish a committee with power to recommend mini
mum wages, and a measure of March 17, 1941, to legalize paid vacations for salaried employees. For a
discussion of these laws, see M onthly Labor Review, July 1940 (p. 162), and June 1941 (p. 1434).
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
furnishes his own tools, in which case a safe place is to be provided
for them), to furnish free the preventive medicines specified by the
health authorities, and to install first-aid facilities. The law forbids
employers to force workers to resign from labor organizations. It
also forbids their influencing the political decisions or the religious
opinions of the workers. Employers are not to accept money from
employees in return for work or for special privileges; they are not
to make compulsory collections from the employees; nor are they
to appropriate or keep the workers’ tools or property as pledge or
penalty. They are also forbidden to supervise work while intox
icated, or to take any action restricting the workers’ rights as conferred
by this law.
The law stipulates that workers are to do their work carefully,
return unused materials to the employer, and care well for tools
furnished them. They are to keep faithfully the technical secrets
of the employer. They are to be subject to medical examination
at any time at the request of the employer, and they must observe
safety measures strictly.
Workers are prohibited from leaving their work during regular
hours except for justified cause or with the employer’s permission,
from carrying on political or religious propaganda, and from comment
ing unfavorably on the democratic institutions of the country.
They must not work when intoxicated, and must not use the em
ployer’s tools except as he directs. The worker who, after one
warning, violates any of these prohibitions thereby becomes subject
to termination of his contract.
Term ination o f Agreements and D ism issal Compensation
In case of the termination of an agreement of indefinite length,
verbal or written, notice must be given by the party breaking °the
contract. Notice of at least 1 week is required if the work has
continued for from 3 to 6 months, of 15 days if it has continued for
more than 6 months, and of 1 month if it has continued for 1 year.
The notice may be omitted on payment of a sum equal to the wages
which would have been due for the notice time.
When termination of contract occurs without the consent of the
worker or for causes which justify the worker in breaking the contract,
a payment in accord with the duration of the worker’s service must
be made. This dismissal compensation is to be equal to 5 days’
wages when the worker was employed for more than 3 and less than
6 months, to 10 days’ wages for more than 6 months and less than a
year, and, after service of 1 year, to 1 month’s wages for each year
(and fraction of a year not less than 6 months) up to 2 years.
In calculating the dismissal compensation, continuity of the worker’s
service is not to be considered as having been broken by illness,
vacations, or similar factors which would not break the contract
under the law. The dismissal payment may not be attached except
for living expenses and then only to the amount of half the sum due.
Moreover, the worker’s claims for this compensation are given
precedence over other claims on the estate of a bankrupt employer.
Legitimate causes given for dismissing a worker include the follow
ing: Acts in defiance of the employer during working hours or after,
revealing technical secrets, endangering the worker’s place of occupa
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Federal Reserve Bank of St. Louis
Industrial Relations
1015
tion or his fellow workers, deceiving the employer in order to obtain
work, and absence from work for 2 consecutive days or twice in the
same month, except with just cause or with the permission of the
employer. If a worker is unfairly discharged, he is entitled to certain
payments. Causes which justify the worker in breaking his contract
include the employer’s failure to pay full wages, injury done the
worker by the employer or his subordinates during or after working
hours, and the employer’s failure to guard the worker’s safety.
Under the law, a contract may be terminated without responsibility
to the worker or loss of rights of his dependents by (1) the death of
the worker, (2) legal obligations which render it impossible for the
worker to fulfill the terms, and (3) accident or force majeure, or the
bankruptcy or death of the employer.
Finally, the law stipulates that, on the expiration of all contracts,
the employer must, on request, give the worker a certificate which
details the length of his service, the type of work done, the character
of conduct and ability, and the reason for ending the contract.
Suspension of Agreements
A labor agreement may be suspended, in whole or in part, under
the law, without causing its termination and without loss of the rights
and obligations involved. Temporary suspension becomes effective
as of the day on which it occurs, provided that within 3 days from
that date the cause is duly proved before the Bureau of Labor. If
the Bureau finds that the suspension is unjustified or that the alleged
cause for it does not exist, the workers may exercise their right to
terminate the agreement with responsibility upon the employer.
Legitimate causes for temporary suspension are (1) lack of raw
materials, when not the fault of the employer, (2) accident or forcemajeure, and (3) death or disability of the employer which makes
necessary the suspension of work. During the period of suspension
for these causes, the employer may terminate the agreement, provided
that he pays the compensation for advance notice and dismissal and
other indemnities due. Confinement of a worker in. prison is also
given as a justifiable cause for suspension, and regulations are provided
for reinstatement upon the termination of imprisonment.
Sick leave.3—The proved illness of the worker which prevents him
from performing his duties for no longer than 2 months is also specified
as legitimate cause for suspension of the agreement without respon
sibility for the worker. The employer is obliged to grant the worker
leave until his full restoration to health, provided this occurs within
the period indicated, and to pay him in accordance with the length
of his service—for continuous employment from 3 to 6 months, half
pay for 15 days; from 6 months to a year, half pay for a month; and
for more than a year, half pay for 2 months. During this type of
suspension of contract, the employer is allowed to employ a substitute
worker temporarily.
Work of M inors
Minors are prohibited from working (1) in places where their
inexperience would expose them to danger, (2) when such work
3
Workmen’s compensation for industrial accidents was provided in law No. 385 of November 11, 1932,
translated in International Labor Office Legislative Series, 1932, Dominican Republic.
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
would interfere with their elementary education, unless they are
more than 14 years of age, or must work for their own support, and
(3) when the work must be done between 9 o’clock at night and 5
o’clock in the morning, unless the minor is 16 years of age.
Minors over 14 years of age are permitted to enter into contracts,
if parents or guardians do not object; those under 14 years may not
do so except with the permission of the Bureau of Labor and provided
that the work is suitable and does not interfere with their education.
Unless parents or guardians have notified employers otherwise,
wages may be paid directly to minors over 14 years of age. Wages
of minors under 14 are to be paid to parents or guardians, unless the
parents or guardians indicate otherwise.
M aternity Leave
The law provides maternity leave with pay for 4 weeks before and
6 weeks after childbirth. Mothers may leave work for 20-minute
intervals, three times a day, for the purpose of nursing their infants.
Apprenticeship
Provision is made for apprenticeship agreements, under which one
person works for another in return for instruction in a skill or occu
pation and pay (in cash or in kind) that may be less than the minimum
wage. The employer may dismiss without responsibility an appren
tice who lacks ability to attain the required skill. Work and instruc
tion in officially recognized institutions and vocational schools are
to be regulated by special provisions.
Procedure in Case of D ispute
Controversies arising under labor contracts are to be submitted
first to the Bureau of Labor, which will act as arbitrator. If agree
ment is reached by this means, or if it is not reached, a document
to the effect is to be drawn up and signed by both parties. The
mayors’ offices {alcaldías) are given jurisdiction over disputes which
develop concerning the execution of employment contracts. Lawyers
are not required before the mayors’ courts. Appeals from these
courts may be carried to courts of the first instance (trial courts),
provided the amount under litigation is more than 25 pesos and the
appeal is brought within 1 month from the day the decision is re
ported. Labor contracts are to be free from taxes, and constables’
fees are to be reduced by one-half.
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Federal Reserve Bank of St. Louis
Industrial Disputes
Strikes in September 1944
PRELIMINARY estimates of the Bureau of Labor Statistics for
September show 390 strikes, involving 185,000 workers and 660,000
man-days of idleness. Strike activity in September was somewhat
lower than in August, the idleness being 0.09 percent of available
working time as compared with 0.12 percent in August.
All figures in the table below exclude strikes lasting less than 1 day
(or shift) and those involving fewer than 6 workers. As in the past,
the figures include all the workers in any plant who were made idle
because of a strike in that plant, regardless of whether or not they were
all directly involved in the dispute.
Strikes in September 1944, with Comparative Figures for Earlier Periods
Strikes beginning in
month
Man-days idle during
month (all strikes)
Month
Number
Workers
involved
Number
Percent of
available
working time
September 1944 1 _
_ _
August 1944 1
_ _______ _ _ __ _ ___
390
485
185, 0U0
190,000
660,000
935, 000
0.09
.12
September
September
September
September
September
237
274
470
253
197
66,664
87, 904
295, 270
65, 362
36, 846
209, 514
387,150
1,952, 652
780, 570
892, 485
.03
.06
.30
.15
.18
1943
1942
1941
1940
1939
______ _ __
____ -- -- __ - ............. ____ ___
_
_____
__
-- ___
__
__
i Preliminary estimates.
Larger strikes in September.—The strike of supervisory workers in
the bituminous-coal mines, which in August had been confined to
Pennsylvania, extended into West Virginia and Kentucky in Septem
ber. More than 20,000 workers were involved, and idleness in
September totaled more than 100,000 man-days. A second strike
of supervisory workers, one of nonsalaried foremen and subforemen at
the Dravo Corporation in Wilmington (Del.), demanding recognition
of their committee for the settlement of grievances, caused considerable
idleness
Members of the United Wallpaper Craftsmen & Workers of North
America (A. F. of L.) were idle more than 2 weeks while they were
unable to reach agreement on a new contract with the National Wall
paper Institute. This strike affected production of 31 companies in
7 States. Points at issue included union jurisdiction, use of apprentices,
check-off, classifications, general wage increases, and a health-benefit
program. Workers returned when a compromise agreement was
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Federal Reserve Bank of St. Louis
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Monthly Labor Review—November 1944
reached. The wage issues were referred to the National War Labor
Board.
A 2-day strike at the Willow Run Bomber plant of the Ford Motor
Co. (Ypsilanti, Mich.), in protest against the transfer of employees in
alleged violation of seniority provisions of their contract, involved
about 20,000 workers. Other strikes, each causing more than 10,000
man-days of idleness, occurred at the Revere Copper and Brass Co.
(Chicago, 111.), the Todd-Houston Shipbuilding Corporation (Houston,
Tex.), the Briggs Manufacturing Co. (Detroit, Mich.), and the
Sahara Coal Co. (near Harrisburg, 111.).
Activities of U. S. Conciliation Service, July and
August 1944
DURING the month of August 1944, the U. S. Conciliation Service
disposed of 2,487 situations, as compared with 2,207 situations in
July. During August 1943, 2,066 situations on the records were closed.
Of the 312 strikes and lockouts handled in August 1944, 279 were
settled successfully; 33 cases were certified to the War Labor Board
in which strikes occurred during negotiations, but in 11 cases a Com
missioner of Conciliation had effected a return-to-work agreement
prior to certification of the case. Altogether, 160 situations were
threatened strikes, and 1,734 were controversies in which the assist
ance of the Conciliation Service was requested by the employer,
employees, and other interested parties. During August, 502 disputes
were certified to the National War Labor Board and in 1 case a
Federal agency other than the War Labor Board assumed jurisdiction.
The remaining 281 situations included 127 arbitrations, 17 investiga
tions, and 137 requests for information, consultations, and special
services.
Cases Closed by U. S. Conciliation Service, July and August 1944, by Type of Situation
and Disposition
August 1944
Method of handling
All methods__
All Strikes Threat
situ
and
ened
ations lockouts strikes
July 1944
ConAll Strikes Threat Con- Other
tro- Other
tro- situ
situ situ
and
ened
ver- ations
ations lockouts strikes ver- ations
sies
sies
2,487
312
160 1, 734
281 2,207
266
160 1,566
Settled by conciliation___
1,703
Certified to National War
Labor Board L_
i 502
Referred to
Other Federal agencies___
1
State and local agencies.
Nongovernmental agencies.
Decisions rendered in arbitra
tion____________
127
Technical services completed...
17
Investigations, special services _ 137
279
140 1,284
1,400
218
128 1,054
449
3564
43
25
496
1
3 24
2
32
4
6
1
1
14
2
33
1 Of these, 11 were settled prior to referral.
2 Of these, 21 were settled prior to referral.
3 Settled prior to referral of case to other agencies.
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Federal Reserve Bank of St. Louis
20
127
17
137
80
3
132
215
80
3
132
Labor Laws and Decisions
►############################*########################################^
«
Recent Decisions of Interest to Labor1
Veterans' Reem ployment Rights
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R E E M P L O Y M E N T clause of “G. I. Bill of Rights.”—The employer’s
obligation to an honorably discharged veteran under the Selective
Service and Training Act was analyzed in a decision of the United
States Circuit Court of Appeals for the Third Circuit in the case of
Kay v. General Cable Corporation} The act provides for restoration
of a veteran to the same position, or to one of like seniority status and
pay, “unless the employer’s circumstances have so changed as to
make it impossible or unreasonable to do so.” The case involved a
physician whom the employer refused to reinstate, and who, before
joining the armed forces, had served in a permanent position as a
medical director for the employer, treating injuries arising out of the
employment, and as a physician employed by the health association
composed of the company’s employees.
The first ground assigned by the employer for refusal was that
the physician had maintained a private office for part-time practice
and was therefore not “in the employ” of the company within the
meaning of the act. This contention was rejected. The court
emphasized that the Congressional purpose must be given weight in
deciding the nature of a disputed relationship. The court disre
garded the conventional control test of employment as inapplicable
here; it found that the manner of payment (salary minus socialsecurity deduction), the demands on the physician’s time (he worked
a regular week and punched a time clock), and the employer’s right
to discharge the physician at any time proved that the latter was
“employed” and was not an independent contractor. Other acts of
the employer before the physician entered the Army, such as the
award of a 10-year service button and of Army and Navy “E ” certificates, the payment of a bonus for enlistment, and the contents of
the employer’s application for the physician’s draft deferment were
considered as supporting the conclusion.
The second issue was in regard to the employer’s change of circumstances. The fact that the physician was not reengaged by the
Employees’ Health Association after his discharge from the Army
was not considered as a change in the circumstances making it unrea
sonable to reemploy him, even though it might be more efficient to
have a single individual occupying both positions.
i Prepared in the Office of the Solicitor, Department of Labor. The cases covered in this article represent
a selection of the significant decisions believed to be of special interest. No attempt has been made to
reflect all recent judicial and administrative developments in the field of labor law nor to indicate the effect
of particular decisions in jurisdictions in which contrary results may be reached, based upon local statutory
provisions, the existence of local precedents, or a different approach by the courts to the issue presented.
2------ Fed.(2d)------ (C .C .A . 3).
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Federal Reserve Bank of St. Louis
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1020
Monthly Labor Review—November 1944
The court theorized that changes requiring reduction of labor
force or discontinuance of a department might suffice to relieve the
employer of the obligation to create a job merely to reemploy a sol
dier. It decided, however, that more than some loss of efficiency or
additional expense is needed to justify a refusal to reinstate a veteran.
“Unreasonable,” as used in the act, means more than inconvenient
or undesirable. The protection for the veterans is a shield not only
against capricious and arbitrary refusals but also against refusals
based on comparisons which the war service makes unfair. Thus,
handicapped by absence, the veterans are to be spared as far as pos
sible any competition with those who have replaced them. The
right of restoration to the position exists even though the temporary
substitute, through greater efficiency or a more acceptable personality,
has made his permanent retention seem desirable to the employer.
The district court was instructed to order the phvsician’s rein
statement.
Labor Relations and Industrial D isputes
J u risd ic tio n over local work affecting interstate business. —Loca^
house-to-house carriers of newspapers, the National Labor Relations
Board decided in the case, I n re P u litze r P u b lish in g Co. (57 N. L. R. B.
No. 282), are employees of the publisher and are subject to the Board’s
jurisdiction if the publisher is admittedly engaged in interstate com
merce and the carriers deliver a considerable portion of the employer’s
total distribution. A disturbance in their work would naturally
affect the employer’s whole business and thereby affect interstate
commerce.
A similar decision was made by the Board as to clerks in mercan
tile stores of a coal-mining company. In that case the merchandise
was not, but the coal was, sold and shipped in interstate commerce
(I n re W est V irg in ia Coal & Coke Corp.3).
E lection void because o f u n io n ’s excessive influence. —The National
Labor Relations Board set aside a run-off election (I n re C ontinental
Oil Co., 58 N. L. R.B. No. 33, September 11, 1944), because the in
dependent union which participated in the election posted on the bul
letin board in the plant and advertised in the newspapers a premature
release of the National War Labor Board which approved a joint
application of the independent union and employer for a wage in
crease. The National War Labor Board usually refrains, when in
formed of the facts, from publishing a decision as to a wage increase
during a campaign preceding an election.
The National Labor Relations Board declared as its principle that,
in a campaign, elements which in its experienced judgment make an
impartial test impossible are grounds for invalidating an election,
regardless of the source of those elements and their truth or falsity.
In the present situation of wage ceilings which eliminate the normal
campaign appeal of a promise to seek better wages, the announcement
of approval of the joint application had an effect which could not be
measured but which prevented a free selection of union representation.
. S trike to obtain agreement on wage increases not u n la w fu l.— The Na
tional Labor Relations Board, distinguishing its earlier decision (I n re
A m e ric a n N ew s Co., 55 N. L. R. B. 1302) which had denied benefits
8 57 N . L. R. B. N o .----- , August —, 1944.
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Federal Reserve Bank of St. Louis
Industrial Relations
1021
under the National Labor Relations Act to workers who struck to
force an employer to pay agreed wage increases before they were
approved by the War Labor Board, decided in a case involving the
Indiana Desk Co. (58 N. L. R. B. No. 10, September 4, 1944) that a
strike caused by the employer’s refusal to agree on a wage increase is
within the protection of the act. Any resulting agreement increasing
wage rates must have War Labor Board approval to be effective.
(See also I n re U nion-B uffalo M ills C om pany, 58 N. L. R. B. No. 72,
September 19, 1944, involving a strike called to compel negotiation of
demands for a wage increase.)
R einstatem ent after economic strike. —The case of I n re GardnerDenver Co. (58 N. L. R. B. No. 15, September 6, 1944) arose from an
employer’s refusal to reinstate an employee whom he discharged for
failing to perform work assigned to her. The operation so assigned was
that of another employee who had quit because of a dispute over
piece rates and whose reinstatement was being sought by the union.
It was in support of this union activity that the work refusal occurred.
The National Labor Relations Board ordered reinstatement, con
sidering the situation like that of an “economic strike” (i. e., one not
caused by unfair labor practices). In such a case, an employer may
require the employee to perform the work or leave the premises, even
though the employee’s action is a lawful effort to assist a labor union
under section 7 of the National Labor Relations Act. In this instance,
however, the employee had asked for reinstatement on the employer’s
terms, before the employer had replaced her. Hence, she should have
been rehired. The employer’s policy of never rehiring a person dis
charged for refusing work assigned was discriminatory as applied here.
As to the right to back pay in cases of this type in which reinstate
ment is ordered, the National Labor Relations Board decided that a
delay of 12 days in seeking new employment is not an unreasonable pe
riod to await an offer of reemployment, thus avoiding unnecessary
job changes (I n re Laredo D a ily T im es 4); but a failure to apply to
the U. S. Employment Service for 4 months deprived the employee
of back pay for the period before he registered ( I n re U nion-B uffalo
M ills Co., 58 N. L. R. B. No. 72, September 11, 1944).
Sepa ra tio n o f craft and established labor u n its . —The National Labor
Relations Board, in its decision reported as I n re General Electric Co.
(58 N. L. R. B. No. 12, September 5, 1944), took occasion to outline
the conditions under which a craft unit will be severed from an
established maintenance unit for the purpose of collective bargaining.
The group seeking severance must show (a) that it is not a mere dissi
dent faction but a true craft, which has maintained its identity as a
craft group throughout the period in which bargaining was based on
a wider unit and that it protested being included in the more compre
hensive unit, or (b) that the production and maintenance unit was
established without its knowledge, or (c) that there has been no pre
vious consideration of the merits of a separate unit. In such cases,
the National Labor Relations Board has directed elections to learn the
choice of employees in the proposed craft unit before the Board
decides finally what the appropriate bargaining unit shall be.
B a rg a in in g u n it fo r supervisors. —In line with its prior decision
(A llegheny Steel Corp. v. K elley 5), that its jurisdiction extends to
* 58 N . L. R. B. N o .
, September ——. 1944.
5
N . E. (2 d )
, July 27, 1944, reported in M onthly Labor Review, October 1944 (p. 803).
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Federal Reserve Bank of St. Louis
1022
Monthly Labor Review—November 1944
determining representation for supervisory employees in cases in
which the National Labor Relations Board lias neither acted nor been
requested to act, the New York State Labor Relations Board ordered
an election to fix representation of managers and assistant managers
employed by a group of corporations engaged in distributing and ex
hibiting motion pictures. At the same time it excluded from this
unit the cashiers and cashier-secretaries supervised by the managers
and assistant managers, following its policy of avoiding the inclusion
of supervisors and the supervised in a single bargaining unit. (R .
K . 0. Service Corporation, Case S. E.-10327, August 30, 1944.)
Jurisdictional D isputes
Court authority in railroad bankruptcy over ju risd ic tio n a l dispute oj
em ployees. —A United States Circuit Court of Appeals decided, in
Central R ailroad Co. v. P itn e y , 6 that in exercising bankruptcy powers
in reorganizing a railroad,7 a United States District Court cannot
change wages or working conditions of employees except as prescribed
by the Railway Labor Act.8 Since the procedure under that act
had not been followed, the court could not deal with a proposed
replacement of road conductors who were members of one union by
yard conductors belonging to another craft union. Further, since
Congress made specific provisions for dealing with railroad labor
problems, the courts cannot settle them by any other method, even
though, if there were no special provisions, the dispute would be
within the scope of the powers of the district court in regard to suits
arising under laws regulating commerce.
N a tio n a l Labor R elations B oard on ju risd ic tio n a l disputes. —In a
representation proceeding ( I n re A rk e ll S a fe ty B ag Co., 57 N. L. R. B.
No. 222), an employer raised the question whether an exclusive
bargaining agency existed where two unions, affiliated with a single
international, had been disputing jurisdiction and where for 6 months
neither had asked their common parent organization to resolve the
dispute. Similarly, in the M o u n ta in States Pow er Co. case (58
N. L. R. B. No. 20), there had been an interunion dispute of
long standing. In both cases the National Labor Relations Board
ordered an election, on the ground that resort to administrative
processes offered the only effective means of resolving the dispute.
Civil Rights
Ordinance licensing labor organizers unconstitutional. —An ordinance
requiring a labor organizer to obtain a license at a cost of $5,000 for
a year or any part thereof, and restricting such activities to residents,
was held unconstitutional by the Superior Court of Georgia, in
Starnes v. M a y o r, etc., o j M illedgeville ,9 and a conviction under it
was set aside.
The ordinance was held to be an abridgment of freedom of speech,
contrary to the first and fourteenth amendments to the Constitu
tion, because it allowed discretion as to granting the license and
because the license tax was a flat sum, obviously excessive and un6 ----- Fed. (2d) —— (C. C. A. 3), September 25, 1944.
1 11 U . S. C., Sec. 205.
8 45 U . S. C., Sec. 151.
* ----- S. E . (2 d )------ ; see M onthly Labor Review for October 1944 (p. 808).
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Federal Reserve Bank of St. Louis
Industrial Relations
1023
related to the scope of activity, and was therefore not a legitimate
tax measure but a provision restraining free speech. Further, the
ordinance deprived organizers of equal protection of the laws by
discriminating against nonresidents, and therefore violated the
fifth amendment.
A ntitrust Law
Labor agreement held violation o f S h erm a n A c t — A Federal Circuit
Court of Appeals, in L u m b er P roducts A sso cia tio n , In c . v. U nited
States,10 upheld the conviction of certain employers and unions found
guilty of violating the Sherman Antitrust Act. The basis for the
verdict was an agreement, and acts of the parties pursuant thereto,
which restrained interstate commerce for the purpose of raising prices
through a monopoly and of supporting higher wages (agreed upon in
the contract) through the high prices collected from the public.
Negotiations between employers and unions had resulted in a written
agreement which, though characterized by the court as not unlawful
on its face, became unlawful under the surrounding circumstances.
The employers included nearly all the manufacturers and distributors
of millwork and patterned lumber in the San Francisco area. They
agreed with the unions that there should be no purchase or processing
of materials produced by employers who did not conform to the rates
and working conditions defined in the agreement. The chief sources
of materials who fell within this ban were producers in W ashington
and Oregon.
After execution of the agreement, the employers drew up arbitrary,
noncompetitive, and excessive price lists for sale of their products to
their local customers. The unions supported these prices by work
stoppage and picketing, thus preventing any local use of materials from
interstate suppliers, since the union employees installed and proc
essed the materials. The stoppages, although in theory occurring
because materials were produced under substandard conditions, were
intended to and did support a monopoly as well as the excessive prices
charged. The court called the stoppages, “ squeezing implements to
extort what, in effect, is a capital levy on the home builder and other
consumers,” pursuant to a combination to create a monopoly and
divide the gain from the resultant price increase between profits to
the employers, on the one hand, and higher wages to the employees, on
the other.
In its decision the court considered the agreement in the light of
the surrounding facts and subsequent conduct of the parties. It dis
tinguished the facts of this case from an exercise of labor’s right to
refuse to work on a particular product; from a strike to increase
wages, which merely incidentally restrains interstate commerce by
reducing the volume of the employer’s production (A p e x H osiery v.
Leader, 310 U. S. 469); and from a dispute between unions, in which
the effect on interstate commerce is incidental and not the object of
the dispute ( U nited States v. H utcheson, 312 U. S. 219). The action
of the defendants in the present case involved a combination between
labor and nonlabor groups, not aimed at attaining labor objectives
(cf. U nited States v. B rim s, 272 U. S. 549). The court decided that
neither the Norris-La Guardia Act nor the Clayton Act gives immunity
in a case in which no labor dispute exists and in which, at most, future
10
-----Fed. (2 d )------ , (C. C. A. 9), August 23, 1944.
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Federal Reserve Bank of St. Louis
1024
Monthly Labor Review—November 1944
disputes are to be avoided by this combination of labor and nonlabor
groups for the unlawful purpose of restraining interstate commerce
and establishing a monopoly.
Labor agreement not violative oj Sherman Act .—The Circuit Court
of Appeals of the Second Circuit, dealing with an application for an
injunction in a situation broadly similar to that produced by the
agreement in the California lumber products industry, came to a
different conclusion, held the agreements not unlawful and reversed
the decision of the District Court granting an injunction (Allen
Bradley Co. v. Local No. 3 n).
The facts were that Local 3 of the International Brotherhood of
Electrical Workers in the New York City area, in a series of agree
ments with a large group of manufacturers of switchboards and elec
trical equipment and with electrical contractors installing equipment
in that area had obtained the closed shop and shorter hours and wage
increases. The agreements also provided that only the materials
produced by these local manufacturers or, if they were not available,
materials bearing the union label purchased by the contractors else
where, were to be used in any work done by union members. Mate
rials coming from outside the area, under the exception above, had to
be in “knocked down” condition and unwired, so that the members of
Local 3 might do the assembling in some cases and wiring in others,
even though this is uneconomical. The complete domination of the
industry by the employer group in the area, which thus resulted from
joint employer and union action under the agreement, stifled competi
tion and resulted in higher prices, from which the cost of union labor
and higher profits for the employers and manufacturers were achieved
at the expense of customers and competitors. The methods used by
the union were refusal to work on disfavored goods, peaceful and non
violent persuasion, picketing and blacklisting, and cooperation with
local employers.
The injunction was sought by manufacturers whose plants were
outside the area of Local 3’s jurisdiction. Their location made it
impossible for them to bargain with Local 3. The situation disclosed
no concession toward any such employer because he had harmonious
labor relations with the appropriate union for his district.
The local employers, parties to the union agreement, were not
joined with the union as defendants. In asking for the injunction,
the outside employers asked the court to prevent the union from
inducing persons not to work upon their products, and the complaint
was against such interference and against the restriction in choice of
suppliers of electrical equipment which deprived the complaining
manufacturers of business because they were outside the area of
Local 3’s jurisdiction. As to the local employers who made the
agreements, the findings of fact were that they were “captives” of the
union, at first submissive, later complaisant and actively cooperative.
Certain factors influenced the decision of the court. First, it con
cluded from the findings of fact that the union and its officers made and
acted on the agreements on the basis of self-interest of Local 3 and its
members; that it was a make-work campaign for them; that the boy
cott of products of nonlocal plants existed because the employers at
plants outside the area could not supply employment to members of
Local 3; and that the union was not interested in the wages or union
11 — Fed. (2 d )----- (O. C. A. 2), October 12, 1944.)
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Federal Reserve Bank of St. Louis
Industrial Relations
1025
affiliation of employees in factories outside the New York Metro
politan area.
Second, in its analysis of the decisions of the United Supreme
Court, the circuit court considered that the decision in U nited States
v. H utcheson (312 U. S. 219) laid down the doctrine that permissible
activities in any labor dispute are those outlined in section 20 of the
Clayton Act, since the Sherman, Clayton, and Norris-LaGuardia
Acts are to be read together. It further decided that mere combina
tion of a union with a nonlabor group is not'unlawful. It determined
that, under the terms of these acts, what the union did was permis
sible (29 U. S. C. A. 52, 104) in connection with a labor dispute (29
U. S. C. A. 113) and that the fact that the action affected a national
and not a purely local market did not bring it within the realm of
prohibited activity. Pointing out that a dispute as to conditions of
work between a union and an employer is a labor dispute and retains
its character as to third persons interested therein or injured thereby,
the court refused to consider the situation changed by “a settlement—
possibly only an armistice, not a treaty—between the original parties
which hurts the third parties more than would the original controversy.’’
The combination of the union with a nonunion group under the
circumstances described, therefore, did not constitute a violation of
the antitrust laws. The court (differing from the court in the Ninth
Circuit) dealt with U nited States v. B rim s (272 U. S. 549), by suggest
ing that the exception there suggested as to combinations with non
labor groups, was not to be read with “exacting literalness” ; that,
properly interpreted in the light of latest references and decisions, it
is to be taken to mean not that all combinations of labor and non
labor groups are prohibited but that labor-union activity may not
be a cloak to conceal an illegal purpose. Therefore, the circuit
court concluded that activities of the union which would be lawful
when it was acting by itself could not be enjoined because other
groups combined with it to the same end.
N ational W ar Labor Board
E scape clause a protection o j em ployees’ fre e choice.—In
C alifornia Electric Pow er Co., successor to P u re Ice Co.
the case of
(Case No.
111-3984-D, August 16, 1944), a majority of the National War Labor
Board, against union opposition, included a 15-day escape period in
the maintenance-of-membership provisions of its directive. The union
objected because the employer had at one time contributed money to
The Associated Farmers of California, which the LaFollette Com
mittee had found acting against unions in the 1935-39 period, and
which the union claimed was still actively antiunion. The National
War Labor Board pointed out that Associated Farmers was not a
party to the proceedings, and that the employing company was neither
proved to have current connections with that group nor accused of
intending to coerce its employees in their decision. The escape clause,
said the Board, is not a privilege granted the employers and therefore
to be denied because of an antiunion record in the past, but is a pro
tection of free choice by the employees and, therefore, to be excluded
from maintenance-of-membership provisions only where it becomes
clear that its inclusion under the existing circumstances will not
insure such free choice.
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1026
A n tid isc rim in a tio n and the N a tio n a l W a r Labor B oard. —Without
finding that there had been any past discrimination, the National War
Labor Board, at the request of a union, directed the insertion in a con
tract of a clause binding union and employer to give fair and reasonable
consideration to job applicants and employees seeking promotion,
regardless of race, color, creed, or nationality. The employer argued
unsuccessfully that the existence of the Fair Employment Practices
Committee made the clause improper {In re M ontgom ery W ard cfc Co.,
Case No. 111-471-D, August 31, 1944).
In another case { In re A r iz o n a Copper Co., Case No. 111-716-D, etc.,
July 20, 1944), the National War Labor Board amended a decision of
the Nonferrous Metals Commission, dealing with sound and tested
rates for “ Anglo-American” workers, by requiring a simpler set of job
classifications and a better definition of job content. The Board held
this to be the best method of avoiding even the suspicion of discrimi
nation and of carrying out the Board’s policy of equal pay for equal
quality and quantity of work without regard to race, sex, color, or
national origin.
R estriction on work schedule. —In the matter of Douglas A irc ra ft Co.,
In c . (Cases 11-5303-D, and 111-665-D, August 9, 1944), the National
War Labor Board approved the recommendation of the National Air
frame Panel that an agreement include the clause, “ No employee shall
be laid off in order to circumvent the payment of overtime.” The
Board found that employees are entitled to such protection and that
the provision will not interfere with a work schedule which is aimed at
the most efficient use of the labor force.
Arbitration
R u les as to work clothing. —In arbitrating a grievance, under a union
agreement, involving a reprimand and loss of pay for time taken in
discussion of the matter { In re A rb itra tio n between Ford M otor Co. and
L . A . A . W ., June 30, 1944), an arbitrator decided that a woman
worker was improperly reprimanded for wearing red slacks, even
though the company claimed that bright colors were a dangerous dis
traction of attention. The company had neither outlined nor pub
lished any clear and enforceable rule, and the matter was left to rumor
as to what was approved and to chance and individual reaction as to
what was objectionable.
A rb itra to r’s aw ard not in contravention o j stabilization policy. —The
National War Labor Board, on the principle that its action would pro
mote voluntary arbitration, vacated a decision of Regional Board X
at San Francisco which directed payment of wages greater than those
awarded in a consent arbitration because the Regional Board found the
stabilization policy would permit a greater increase. The award of
such an arbitrator, said the National War Labor Board, must not be
disturbed unless it contravenes the stabilization policy {In re C alifornia
A sso cia tio n o j E m p lo yers, Case No. AR-422, August 23, 1944).
Wage arid H our Law
W age and H o u r L a w coverage o j transjer o f building equipm ent between
States.-—In the case of Clyde v. B roderick f t an employee suit under the
>3----- Fed. (2d)
-. (C. C. A. 10), July 26, 1944.
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Federal Reserve Bank of St. Louis
A
Industrial Disputes
1027
Fair Labor Standards Act against a contractor erecting an ammunition
plant for the Federal Government, it appeared that the employees had
loaded and unloaded and handled tools and equipment being shipped
by the contractor-owner from State to State. The Circuit Court of
Appeals for the Tenth Circuit reversed the district court which had
dismissed the action on the ground that the act did not apply to inter
state transfers of his own property by an owner or to shipment of goods
for the Government’s convenience. The appellate court, con
ceding that the plant under construction was neither an instrumental
ity of commerce nor producing for commerce when these employees
did their work, nevertheless found that the work they did was itself
part of interstate commerce and decided that the Fair Labor Standards
Act made no such exceptions as the lower court had inferred.
E m p lo ym en t on salary basis as a requisite fo r exem ption. —The
Eighth Circuit Court of Appeals in interpreting the executive exemp
tion of the Fair Labor Standards Act in the case of S m ith v. Porter
(143 Fed. (2d) 293) decided, in regard to the regulation that makes
such exemption depend upon employment “upon a salary basis,”
that a weekly salary does not become an hourly wage merely because
deductions for absences are made on an hourly basis.
Decisions Under State Laws
R einstatem ent o j worker under C onnecticut A n ti-In ju n c tio n L a w .—
An award made by an arbitrator, acting under a union agreement,
who decides in favor of reinstatement of an employee discharged
without cause in violation of the agreement, cannot be enforced by
injunction under the Connecticut Anti-Injunction Law {Mele v.
H ig h S ta n d a rd M a n u fa c tu rin g C o.).n That act prevents the court
from issuing an injunction, prohibiting a party to a labor dispute from
“ceasing or refusing to perform any work or to remain in any relation
of employment.” Since the dispute arose from a contract of employ
ment, the court could neither enjoin the employee from quitting or
striking nor enjoin the employer from firing or refusing to rehire the
employee. Apart from this act, the court found that the equity
law of Connecticut will not enforce performance of a contract for
services if the services are not unique, regardless of who asks for the
enforcement. The court suggested that the employee’s remedy, if
any, is a suit for damages.
W
W
W
Provisional Rent-Control Decree in Ecuador, 194414
URBAN rents in Ecuador were frozen as of May 1, 1944, by a legis
lative decree of September 2, 1944. This measure is a provisional
enactment which is to remain in force until a rent law may be drawn
and approved by the National Assembly. Should such a statute not
be approved before the close of the present session of the Assembly,
this provisional measure will become void and the previously existing
law on the subject will again become effective.
13 ---Atl. (2 d )------ , July 14, 1944.
14Data are from report of Howard H. Tewksbury, commercial attaché, United States Embassy, Quito,
Ecuador, dated October 11,1944.
614112— 44—
9
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Federal Reserve Bank of St. Louis
1028
Monthly Labor Review—November 1944
It is reported that the previous act has not operated effectively to
limit rents on urban property. As a result, numerous lessors and sub
lessors of urban properties have legally obtained the termination of
rent contracts, “by invoking obvious motives which conceal the real
reason of increasing inconsiderately property rents.” This practice
has contributed to accentuation of the disturbed social conditions in
the country caused by the high cost of living.
Until the new rent law is passed, the provisional decree prohibits
all judicial action on the part of lessors and sublessors of urban proper
ty to obtain the termination of rent contracts. Likewise forbidden
are all increases in existing rentals above the rates in effect on May 1,
1944. Penalty for violation consists of restitution of the excess
charged and the payment of a fine of from 50 to 500 sucres which is to
be imposed by the municipal government of the Canton in which the
violation occurs.
Other sections of the provisional enactment cover the following
points: The rent judgments to which the decree refers, which were
pending on the date it went into effect, are to be suspended until the
new rent law is passed. Suits entered by house owners, or by lessors,
which have as their object the collection of rent due may be carried
through. Finally, anyone has the right to file a complaint before a
municipal judge against those who, directly or indirectly, violate the
provisions of this decree.
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Federal Reserve Bank of St. Louis
Women in Industry
Changes in Women’s Employment During the War
AN ANALYSIS of the tremendous shifts in employment of women in
this country since the attack on Pearl Harbor is highly important for
present and post-war planning. Special Bulletin No. 20 of the U. S.
Women’s Bureau deals with the extent and character of this wartime
movement of women into and out of the labor market between
December 1941 and March 1944.1 Table 1 summarizes certain
major findings in this report, which are basedjon data obtained by
the Bureau of the Census.2
T a b l e 1.— Women's Employment in Wartime
Item
Employed in December 1941, as re
ported March 1944.,______________
Employed in March 1944____________
Increase over December
1941_................
.percent—
In labor force before at
tack on Pearl Harbor............ d o ..
In the same occupation
group as formerly-------------- d o ..
In labor force in both periods........
20-44 years of age------ -------percen tsin gle.............................................do—
Married, husband pres
e n t ._________
do—
Women who left labor force_________
45 years old or over........percent..
Number or
percent
12.090.000
16.480.000
36
61
50
10.230.000
69
42
30
2,180,000
21
Number or
percent
Item
Women who left labor force—Con.
Married, husband pres
ent-_______
PercentReturned to home house
do„
work______
N ew entrants to labor force__________
20-44 years old_________ percent..
Single............................................d o ..
Married, husband pres
ent........................................... do—
Home house workers_________ d o ..
In school.................
.d o ..
Women not entering labor force______
45 years of age or over___percent—
Under 20 years of age________ d o ..
Married, husband pres
e n t . . . ......................
..d o ..
62
93
6,650,000
55
44
36
56
34
33,260,000
43
14
65
From 1940 to March 1944 the woman population 14 years of age
and over expanded 4 percent. The proportion employed in 1940 was
22 percent; in 1944, 31.5 percent.
W a r sh ijts in w om en's em ploym ent .—As already noted, the heaviest
net increase in women’s employment from the Census of 1940 3 to
March 1944 occurred in the manufacturing and clerical groups, which
account for an addition of more than 2}£ and 2 million women each.
Some of them have been engaged previously in other occupational
groups or unemployed or not formerly in the labor force. The
1 Changes in Women’s Employment During the War, by Mary Elizabeth Pidgeon. Washington, U. S.
Women’s Bureau, 1944.
2 The basic data for the bulletin were collected by the Bureau of the Census, at the request of the Women’s
Bureau, in the course of the regular monthly census of the labor force, which includes a national sample of some
30,000 households.
2 The 1940 data are used for this one comparison for the following reasons: The available tabulations show
March 1944 occupations of women according to employment or activity status before the attack on Pearl
Harbor. A complete occupational count of those employed just before Pearl Harbor cannot be had, since the
occupational distribution of those in the labor force before that time but having since left the labor force is not
available. The nearest approach to occupational data for this latter group is in assuming that their occupa
tional distribution was approximately the same as that of all women in the 1940 labor force.
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Federal Reserve Bank of St. Louis
1029
Monthly Labor Review—November 1944
1030
accompanying table also shows during this period an addition of
460,000 women in the sales group and of 390,000 to the service group
other than domestic. The exodus of 400,000 from domestic service
is indicative of the unfavorable attitude of women workers towards
this particular type of employment.
Neither of the two periods here compared reflects summertime
farm employment.
T a b l e 2. —Comparison of Women’s Employment in 1940 and March 1944, by Major
Occupation Groups
Employed
women in
Occupation group
All occupations 2_ ______________
distribution
N et changes since 19401 Percentage
in—
(in
(in
thousands) Number
thousands)
____
Professional and semiprofessional________
Proprietors, managers, and officials __
Clerical and k in d red -_____ ____ - __ __
__ _____ _ _ _ _
___ ___
Sales
Craftsmen, foremen, operatives, and labor
ers, except farm 3 _ ______ _______ _ _
Domestic service _ _ _________ _____
Other ser v ic e s___ ___ _ _ ________
Farm workers _ - ___ ________ ___
Percent
1940
March 1944
16,480
+5, 340
+48.0
100.0
2 100.0
1,490
650
4,380
1,240
+20
+230
+2, 010
+460
+ 1 .2
+53.3
+84.5
+58.4
13.2
3.8
21.3
7.0
9.0
3.9
26.6
7. 5
4,920
1,570
1, 650
560
+2, 670
-4 0 0
+390
+90
+118.7
-2 0 .4
+30.9
+18.6
20.2
17.7
11.3
4.2
29.9
9.5
10. 0
3.4
1 Figures used for 1940 comprise the employed and also those seeking work who were experienced in the
occupation. See footnote 3, p. 1029, for reason for comparison with 1940 occupational data. The 1940 figures
include the experienced unemployed, since they were a part of the labor force needing jobs, though their
occupational allocation refers only to the occupation last engaged in and not their usual or normal occupation.
2 Total exceeds details, since those in occupations not classifiable are not shown separately.
3 Referred to in preceding text as “manufacturing” but includes a small proportion of those workers in
other types of industries.
The manufacturing industries differed greatly as to sources of
women workers. In war industries 49 percent came from outside the
labor force and 26 percent from other industries; in the essential
supply industries only 37 percent came from outside the labor force
and 54 percent were in the same industry as before the war. The
war industries obtained almost equal numbers of women from home
housework and from other industry groups—mainly trade, the
domestic and personal services, and the essential supply industries—
whereas the supply industries obtained their women workers chiefly
from home housework and the schools.
Women’s Tendency to Leave the Labor Market
DEPLORING the tendency of women to drop out of the labor
market, feeling that their contribution has been made, the War
Manpower Commission emphasized1 the extreme, importance of
staying on the job until final production goals are reached. As non
working women constitute the only sizable labor [reserve in the
country, the strain on manpower resources may be too great if this
pool must be tapped to fill not only the places of men withdrawn for
military service but also the places of other women who leave the
labor market.
» War Manpower Commission, Press release, August 23, 1944.
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Federal Reserve Bank of St. Louis
Women in Industry
1031
Although the first requirement for workers is in war production,
especially in critical war jobs, jobs needed to maintain the civilian
economy in areas where no war work is available are also important.
It is possible that women’s tendency to leave the labor market as
they feel their job is done may forecast the pattern after the war is
over. In particular the experience in areas where there have been
more workers than jobs would seem to indicate that the unobtrusive
withdrawal from the labor market of women not usually employed,
without pressing for further employment, tends to counterbalance the
natural tendency of employers to proffer jobs first to male workers
with greater work experience.
A few typical examples of the reemployment experience of com
munities where cutbacks or lay-offs have occurred, as well as examples
of employment trends for women, follow:
Elmira, N. Y .—When a cutback in production of bombsights
occurred at a Navy-operated plant at Elmira recently, 500 women
laid off were given limited certificates of availability assuring their
reemployment at the plant when another management had retooled
it for other war work. Of the 500, only 160 reported for work when
recalled.
Minneapolis-St. Paul, M inn .—When 7,642 workers were laid off
in the area because of cutbacks, an estimated 1,500 women left the
labor market completely, according to the U. S. Bureau of Employ
ment Security. Most of the lay-offs occurred at the Twin Cities
Ordnance Plant, where, of 5,249 workers laid off, 30 percent were
women.
Explaining the failure of the women to seek other jobs, the Bureau
pointed out that few of the workers discharged were qualified for
other types of work available locally. The work at the plant had
been largely mechanical and very light; most of the demand for labor
outside the plant was for heavy jobs in foundry and forge shops,
packing houses, etc. Also, working conditions and wages in most
of the jobs open compared unfavorably with the ordnance jobs.
Evansville, Ind .—When munitions production at the Evansville
Ordnance Plant and the Sunbeam Electric Co. was cut, 10,000 workers
were laid off or quit. Of the total employment of 11,700 at the two
plants, 6,700 were women.
Following the cutback “ several thousand women undoubtedly
retired from the labor force,” WMC said. Employment opportunities
which opened up in the community went first to men. In February,
2,000 workers were drawing unemployment compensation, of whom
90 percent were women. In March, a representative of the U. S.
Employment Service offered employment to a number of those not
working, but many refused. In most cases these workers contended
that wage rates on the jobs offered were too low.
No unemployment is reported among males in the Evansville area,
chiefly because renewed activity at the two plants cut back and job
openings in other industries in the area have absorbed all the male
workers displaced. Some part of the women displaced also found
other jobs. About 1,000 women were still classified as “unemployed”
in the area.* Many of the women looking for other jobs had had only
limited work experience of an unskilled nature—chiefly ammunition
packaging or routine work in aircraft—and were therefore less in
demand than more-experienced workers.
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Federal Reserve Bank of St. Louis
1032
Monthly Labor Review—November 1944
™Rockford, III .—When 900 workers were laid off from the J. I. Case
aircraft division, many left the area to obtain jobs in aircraft produc
tion elsewhere, but some resumed their household duties, in spite of
local labor shortages in other lines of work. Night work, the swing
shift, and the hazardous work drove many women out of the labor
force, or discouraged them from entering. A number of those who
declined to take jobs objected to the rotation on the second and third
shifts. Some, new to industrial jobs, found it hard to adjust to the work
and consequently left.
Eau Claire, Wis .—When the work force at the Eau Claire Ordnance
Works was scaled down from 6,208 to 681 because of a cutback, 3,475
of the 5,525 employees let out were women.
By May 1, 2,000 workers (36 percent of the total lay offs) had found
new jobs. Of these, 1,750 were men, representing 85 percent of the
male lay-offs; 250 were women—7 percent of the female lay-offs.
An estimated 1,225 women retired, at least temporarily, from the
labor market. When the lay-offs began, the company encouraged
those women who wanted to retire from the labor market to quit first.
^ By the end of May, 2,300 of those laid off were still unemployed.
Of these, 90 percent were women.
New contracts for radar equipment and synthetic rubber secured for
the ordnance plant by Western Electric and U. S. Rubber Co. once
more expanded Eau Claire’s employment needs. A labor requirement
of 7,000 workers, 3,000 of them women, for radar equipment resulted.
For making synthetic rubber, mostly male workers are needed. To
assure their being on hand, the U. S. Rubber Co. shifted about 1,000
men to other plants of the company throughout the country, intending
to bring them back when the Eau Claire plant begins production.
Los Angeles, Calif.—In Los Angeles, the WMC reports that “thou
sands” of women released from employment in the aircraft industry
have disappeared from the labor market and have apparently returned
to their homes. The number of women withdrawing from the labor
market each month is larger than the number a year ago, according
to WMC.
Though jobs are available in the shipyards, and 1,200 women had
been added to employment rolls there, it appeared that few of the
women laid off at the aircraft plants were willing to travel the long
distances necessary to work in the harbor district. Many of them
had difficulty in finding employment nearer home at wages com
parable to those which they formerly earned in the aircraft plants.
Many were middle-aged women lacking the necessary energy and
endurance for very strenuous work or other qualifications specified
by employers.
San Francisco, Calif.—With a shortage of 25,000 workers made
worse by the migration of workers out of the area, the addition of new
workers is reported to be barely sufficient to make up the unfavorable
balance between out-migration and in-migration.
Though women not customarily employed constitute the largest
potential labor source, much of this reserve may consist of women
who have been in the labor market at least once during the war and
have been “spoiled” for further recruitment by an unfortunate
experience in coping with inadequate community and in-plant facili
ties. Many women are now shopping for the kinds of jobs they want
or must have in order to meet their work and home responsibilities.
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Federal Reserve Bank of St. Louis
IVomen in Industry
1033
Many in-migrant women not suitable for industrial jobs are reported
to be refusing service occupations and insisting on a type of work for
which they are not fitted.
Many of the workers seeking employment have had recent work
experience and are looking for specific jobs in which their experience
can be utilized, rather than for any opening available.
P ortland, Or eg .—WMC officials report that, although women
constitute the chief potential labor supply, it is “increasingly difficult
to induce women to enter the labor market,” and the estimated supply
of new workers for the next few months is hardly more than sufficient
to offset out-migration.
D es M o in es, Io w a .—Employment at the Des Moines Ordnance
Plant, making small-arms ammunition, reached a peak of nearly
18.000 in October 1943, but this was later decreased by more than
10.000 as a result of production cutbacks. Actual lay-offs at the
plant totaled only about 3,000; a major part of the reduction in force
was accomplished through normal turnover and decreasing the
number hired.
Many of the employees at the plant were women who had not
worked before, and were reported as being “in no hurry to secure
other jobs.” Of the women who quit voluntarily, many were married
women who wished to return home, many were affected by transporta
tion difficulties in reaching the plant (which is about 18 miles out of
the city), and some complained of the lack of opportunity for promo
tion.
All of the people who were actually laid off at the ordnance plant
had already been called back. In February 1944 the company
started calling back people who had been laid off the previous ISovember; there was about a 10-percent response from both men and women.
A number of workers also were laid off in February and were called
back within a week, but only 50 percent responded. It was the
opinion of officials at the plant that those who were called back and
did not respond were either working elsewhere or—particularly in the
case of housewives—had left the labor market.
It was estimated that at least 10 percent of the women who stopped
working at the ordnance plant left the labor market.
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Federal Reserve Bank of St. Louis
Child Labor
Child-Labor Problems In Wartime
IN 1940-41, high-school enrollment reached its all-time peak of 7,244,000. In the following 3 years there was a decline of 1,000,000, a drop
of 400,000 being reported for 1943-44. This shrinkage is due largely
to the enormous increase in the number of boys and girls who have
taken jobs.1
According to an estimate of October 1943, about 2,750,000 boys and
girls from 14 through 17 years of age were employed full or part time—
triple the number reported in the census of March 1940. In April
1944, young workers numbered close to 3,000,000. Slightly less than
a million were 14 or 15 years of age—1 out of every 5 children of these
ages in the population. About 2,000,000 were 16 or 17 years of age—
2 out of 5 in these age brackets. In addition, thousands of children
under 14 years, for whom there is no official count, were known to
be at work.
Every summer there has been a great expansion in the number of
young people taking jobs. In July 1943 over 50 percent of the group
aged 14 through 17 had regular or vacation employment. It is prob
able that the number at work in the summer of 1944 was slightly
above that of 1943. The recruitment for the wartime labor force is
stated to have been greater among those of high-school age than in
any other age group. The National-Go-to-School Drive, 1944-45,
sponsored by the U. S. Children’s Bureau and the U. S. Office of
Education, is indicative of the Government’s concern for the return
of teen-age workers to school.
Situation in Various States
Illinois .2—The child-labor problem in Illinois, as in other parts of
the country, is the result of the extraordinary demand for workers,
combined with opportunities for children to earn, in many cases,
more money than their fathers were able to earn 10 years ago.
During 1943 the number of children who left school to go to work
legally in Illinois rose over 400 percent as compared to the previous
year. In addition, the U. S. Children’s Bureau has found that Illinois,
at least in interstate industry, has the highest percentage of illegal
employment of any State in the Union. Violations occur in the downState cities as well as in Chicago. However, out of a total of 986
violations found in 1943, only 14 cases were prosecuted.
As a consequence of the expansion of children’s employment, the
number of industrial accidents to minors has risen in Illinois, being
1 TJ. S. Children’s Bureau and U. S. Office of Education. National-Go-to-School Drive, 1944-1945. A
Handbook for Communities. Washington. 1944.
1 Illinois Education (Wilmette, 111.), September 1944, (pp. 13-14): Child labor in Illinois, by Charles E.
Howell.
1034
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Federal Reserve Bank of St. Louis
Child Labor
1035
100 percent higher m 1943 than in 1942. Furthermore, an increase
of the graver types of juvenile delinquency has tended to parallel the
growing utilization of child workers.
Michigan .3—In 1942 the number of compensable injuries to young
persons under 18 years of age in Michigan was 37.6; in 1943 there
were 1,065—a rise of 183 percent.4 From January 1944 through
August, 629 were reported. This striking rise in the number of injuries
to minors in 1943 is probably due partly to expansion in the employ
ment of workers under 18 years of age and partly to the illegal employ
ment of more minors in occupations in which accidents are likely to
occur, particularly among young and inexperienced wage earners.
During the same period, work permits showed heavy increases.
In 1942 first regular work permits to minors numbered 44,883, and in
the following year, 81,942—an increase of 83 percent.
In 1942 reissued regular work permits to minors under 18 totaled 9,450 compared
to 45,569 in 1943. The first 7 months of 1944 records a total of 30,369, indicating
final yearly tabulations will far exceed the total shown in 1943.
Vacation permits increased from 28,578 in 1942 to 61,207 in 1943. A total of
34,431 vacation Permits have been issued from January 1, 1944 through July 31,
«
New York .—It was reported that 9,000 fewer children were working
illegally in New York State as the result of a special drive inaugurated
on April 17, 1944, by the New York Department of Labor.5
The department’s special staff reported that the number of viola
tions in 1944 had risen 100 percent above the number for preceding
years and were averaging over 2,000 a month. This was not only
because more children were gainfully employed but also because more
investigators had been assigned to study the conditions under which
children were working.
It was estimated that in August 1944 half a million boys and girls
had jobs, and that 1 of every 4 was being employed illegally “either
without working papers, or extra hours, or after the time children
may be on the job.”
During July 1944 there were 2,249 children found illegally at work,
including 188 under 14 years of age. These violations involved 657
minors in New lo rk City—130 in factories, 512 in mercantile estab
lishments, and 15 in industrial homework. The majority of the viola
tions, however, occurred up-State, 152 of the children involved being
in factories and 1,440 in mercantile establishments.
The Commissioner of Licenses, who has been aiding in clearing up
the situation, stated that the mayors of cities throughout the State,
employers, and civic groups had been requested to cooperate in the
back-to-school campaign.
3 Michigan Labor and Industry (Lansing), September 1944, p. 4: Work Accidents to Minors
' The figures include only accidents reported as compensable under the Michigan Workmen’s Comriensation Act.
*
s The N ew York Times (New York), August 25, 1944, p. 16, section C.
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
Wages in Department and Clothing Stores in Large
Cities, Spring and Summer of 1943 1
Summary
MEDIAN hourly rates of pay of workers in department, generalmerchandise, and clothing stores in selected large cities in the spring
and summer of 1943 ranged from 39 cents an hour for women bundle
wrappers and stock girls to $1.18 (including commissions) for furniture
salesmen. These findings are based on information collected in 60
cities of 100,000 or more population. Kates of pay were appreciably
higher for selling than for nonselling workers.
The highest earnings among broad geographic regions were reported
for Pacific Coast workers, while rates of pay were lowest in southern
cities. Earnings of some workers in the Seattle-Tacoma area exceeded
$2 an hour. Many rates below 35 cents an hour were found in the
South. Wage rates were also found to differ substantially by size
of city. In every occupation, the highest median rates were found in
places of 500,000 or more, while the lowest were generally found in
communities of 100,000 to 250,000.
Characteristics of Establishments Studied
Retail-trade employees constitute an important group of “whitecollar” workers. In recent months more than 6,000,000 persons
have been employed in various branches of retailing. A substantial
proportion of these perform fairly similar functions—selling and
maintaining records in department, general-merchandise, dry-goods,
and clothing stores. During the war years, the importance of this
branch of the economy as an employer of labor has been eclipsed
by the dramatic increase in labor requirements in the industries
that are directly involved in the production and transportation of
war supplies for our armed forces.
Wage levels in retailing were generally lower than those in
manufacturing industries, even before the war. Moreover, because
of the relative decline in the demand for retail employees, the small
extent of union organization, and the traditional rigidity of whitecollar wages, the pre-war difference has probably increased. With
interest currently shifting to employment opportunities in peacetime
pursuits, however, the role of retail trade as a prospective employer
of labor assumes more importance. In evaluating this role, a cross
1
Prepared in the Bureau’s Division of Wage Analysis by Joseph M . Sherman, under the direction of
Harry Ober.
1036
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1037
section of current wage rates in representative branches of retail
trade should be of considerable interest.
T Y P E S OF STORES
According to the Census of 1939 the branches of retail trade
represented in this study—department, general-merchandise, drygoods, and clothing stores—accounted for about a fifth (about 900,000)
of all employees in retail trade, and for an equal proportion of the
total retail pay roll. These stores constitute an important segment
of the business life of all urban communities, but they are, as a group,
particularly important in cities with a population of 100,000 or more.
This concentration in the larger cities is most pronounced in the case
of the department and clothing stores. The dry-goods and generalmerchandise stores, on the other hand, tend to be more important
in the smaller urban localities.
There is no clear line of demarcation between department stores
and other types of stores engaged in general merchandising. At
one extreme, to be sure, it is possible to distinguish the large modern
store that is highly departmentalized in selling as well as adminis
tration. At the other extreme is the small store that sells a wide
variety of merchandise but in which departmental specialization in
selling and accounting is nonexistent. Between these extremes
there are stores that sell a wide variety of merchandise and tend
toward departmental specialization in varying degrees. It is mainly
for this reason that the usual dividing line between department and
other stores is more or less arbitrary; stores with annual sales of
$100,000 or more are often classified as department stores while
those with lesser annual sales are considered general-merchandise
stores. In view of the general similarity of the functions and the
labor force in these different types of stores it was found practicable
to group them for study.
The 1939 census of retail trade shows the corporation to be the
dominant legal form of organization in all branches of retail trade
included in the study, with the exception of dry-goods and generalmerchandise stores. The corporate form of business organization, for
example, was found in 92 percent of all department stores, and these
accounted for 97 percent of total sales. Individual proprietorships
and partnerships, on the other hand, were found in 85 percent of the
dry-goods and general-merchandise stores and accounted for about
three-fifths of the sales of such stores.
In 1939, department stores averaged 111 full-time employees per
store, while the other types of stores included in the study were much
smaller. As is pointed out below, however, the smallest stores in all
lines were excluded from the scope of the study.
T H E LA BO R FO RCE
Typical functions of the employees in the stores studied include
selling directly to customers, packing and unpacking goods, main
taining stock records, and performing a variety of clerical office
functions relating to management and administration. There are,
of course, considerable differences in the duties of sales clerks; the
chief differentiating factors seem to be in the costliness of the items
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Federal Reserve Bank of St. Louis
1038
Monthly Labor Review—November 1944
sold and the amount of information that is entailed in presenting
various products to customers. Thus, employees engaged in selling
such items as furniture, pianos, men’s and women’s clothing, and
precious jewelry generally represent the more experienced and versatile
group of the labor force. On the other hand, employees who sell
inexpensive, standard items usually require little training or experience.
Department and clothing stores have historically been among the
most important employers of women. About 1 of every 25 women
gainfully employed in the United States in June 1943 worked in such
stores. Several of the branches of retail trade under discussion have
had a much higher proportion of women employees than retail trade
as a whole. Thus, in 1939, women formed about a third of the labor
force in retail trade as a whole, but two-thirds in department and cloth
ing stores, seven-eighths in women’s ready-to-wear stores, and fiveninths in family clothing stores. In men’s and boys’ clothing stores,
on the other hand, only a sixth were women. In recent years the
growing labor shortage has induced many stores to place women in
positions normally filled by men.
W O R K IN G C O N D IT IO N S
Employment in the branches of retail trade studied is highly
seasonal. Peak employment is usually reached in December. This
is followed by á drop in January and February, and a secondary peak
is reached in April. The level of employment is rather low in June,
July, and August, but thereafter it rises gradually as the Christmas
shopping period is approached. These swings in employment are
generally quite violent, and in some years the number of employees
in December is twice that in February. Characteristically the peaks
of employment are met by augmenting the regular labor force with
substantial numbers of part-time workers. In 1939, about 1 of every
5 employees in the branches of retail trade studied was employed
part time. The ratio of part-time to full-time employees in depart
ment stores at the Christmas peak is generally about 1 to 3.
Unionization in retail trade is not very extensive. Of the stores
studied only about 13 percent had union agreements covering sub
stantial proportions of the employees. A higher proportion of
unionization was found among the larger stores and in the larger cities.
Unionization of department and clothing stores was most common
in the far western areas. All department stores studied in Tacoma
and Seattle were unionized. In the Northeast, unionization was more
common than in the United States as a whole, while in the South few
stores were unionized.
Typically, retail clerks in department and clothing stores receive
incentive payments in addition to their basic rates. The incentive
payments consist of some kind of commission on sales. In some
instances the commissions are paid as a flat percentage of total sales,
and in others they apply only to sales above a set quota or to sales of
particular items. The latter commissions are often referred to as
“P. M.’s” (postmortems or push money) or “Reds” (reductions), to
denote a reward for special effort in promoting sales of slow-moving or
especially profitable items. Some workers are on a “draw commis
sion” basis; that is, they draw a weekly salary related to sales in a
previous period. The actual commission earned is calculated from
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1039
time to time, and any excess over the amount drawn is credited to
the employee. This form of commission is most commonly found in
clothing, furniture, and floor-covering departments.
Method and Scope of Survey
Information on earnings of employees in department, generalmerchandise, dry-goods, and clothing stores was obtained in connec
tion with the Bureau’s Occupational Wage Rate Project covering
characteristic industries in selected urban areas. The information
for each city covered by the survey is based upon all, or a representa
tive sample of, such stores with 9 or more employees. The limita
tion on size excluded numerous small dry-goods, general-merchandise,
and independent clothing stores.2 Moreover, in view of the fact that
the data presented in this study are limited to cities with a population
of 100,000 or more, the wage information is considerably influenced by
department and chain clothing stores. Of the cities in this size group,
data are presented for 12 of the 14 cities with half a million or more
inhabitants, and for three-fifths of the cities with population of
100,000 to 500,000.
The data for most of the selected cities refer to a pay-roll period
in the spring or summer of 1943. In examining the cross section of
wage rates during this period, it would be well to bear in mind that
wage rates in department and clothing stores have increased sub
stantially since that time. A study of the trend in urban wage
rates, * for example, indicates that from April 1943 to April 1944 wage
rates in these stores in the United States as a whole have increased
about 13 percent. In general, higher wage increases have been re
ported in the regions with relatively lower wage levels than in those
regions where the highest wage levels typically prevail. Thus, the
highest increase (23.5 percent) was found in the Southwest, while
the lowest increase (4.6 percent) was in the Pacific Coast area.
Wage increases in the Southeast, Great Lakes, and Middle West
have also been higher than the average for the country as a whole.
The wage information presented in this article was obtained from
pay rolls and other related store records by field representatives of
the Bureau. Premium overtime payments and shift differentials were
excluded. In instances where employees were receiving commissions
based on sales volume, such earnings were included in the data pre
sented. Uniform occupational descriptions were used in all establish
ments to assure comparability in the classification of workers from
store to store.
Of the numerous job classifications found in the stores covered, the
few selected occupations for which data are presented in this report
accounted for a large majority of the labor force. In all, the employ
ment in these occupations amounted to about 90,000 in the selected
cities. Of these, retail clerks accounted for about three-fourths of
the employees, and the nonselling occupations for the remainder.
Women employed as general clerks and as saleswomen in women’s
clothing departments were numerically by far the most important
retail clerical groups. Among the nonselling occupations studied,
2 In some areas, however, clothing stores with as few as 5 employees were included in the study.
3 See Wartime Wage M ovements and Urban Wage-Rate Changes in M onthly Labor Review for October
1944 (p. 684). (Reprinted as Serial No. R. 1684.)
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Federal Reserve Bank of St. Louis
1040
Monthly Labor Review—November 1944
cashiers were the most numerous classifications. Salesmen of men’s
clothing and furniture were among the least numerous retail-clerk
classifications. The job classifications included for study are limited
to characteristic store occupations; office employees, whose duties
in stores do not differ materially from those in other business or in
dustrial establishments, were omitted.
Hourly Earnings
Median city average hourly earnings for selected selling and non
selling job classifications are presented in table 1. These median
averages were derived from a simple array of individual city averages
for each classification. Although no attempt has been made to assign
different weights to individual cities, based on relative employment,
the data are useful in this form for purposes of rough comparison.
Detailed information on average hourly earnings by city and method
of wage payment may be observed in table 2.
Among the retail clerks the type of merchandise sold has a very
pronounced influence on straight-time average hourly earnings. The
highest median earnings, for example, were received by furniture
salesmen and amounted to $1.18. Employees selling men’s and
women’s clothing and shoes also earned appreciably more than other
sales clerks. In selling these commodities, however, men generally
earned appreciably more than women; thus, men selling men’s clothing
averaged $1.05 per hour whereas women selling women’s clothing
averaged 58 cents per hour. Salesmen of men’s shoes averaged 24
cents more than the saleswomen of women’s shoes. The lowest
average earnings (49 cents per hour) of specialized sales clerks were
received by women selling cosmetics and toiletries and hosiery. Gen
eral clerks’ earnings also varied considerably by sex; men averaged
83 cents and women 50 cents per hour.
Earnings among the five selected nonselling occupations did not
show so much variation as those among the sales personnel; stock
girls and bundle wrappers earned on the average 39 cents per hour,
and women cashiers grades I and II, 50 and 43 cents per hour, re
spectively.
A fairly consistent relationship between size of city and average
wage rates may be observed in table 1. As would be expected, average
earnings were appreciably higher in the largest cities (500,000 or more
population) than in the cities with a population of 100,000 to 250,000.
Among retail clerks, the differences ranged from 36 cents for men’s
clothing salesmen to 5 cents in women’s hosiery departments. In the
nonselling jobs, also, average hourly earnings tended to vary with
size of city. Thus, cashiers in the largest cities earned 5 cents more,
stockgirls 3 cents more, bundle wrappers 6 cents more, and stockmen
8 cents more, than in cities with 100,000 to 250,000 population.
Although earnings varied appreciably from region to region the
contrast between earnings levels of northern and southern localities
does not appear to be so pronounced in retail trade as in manufacturing
industries. Earnings in cities of the Far West, however, were gen
erally highest, while those in the South were generally lowest. Since
none of the southern cities is included in the “ 500,000 and over”
group, it is apparent that the wage variation by size of city, discussed
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1041
above, is due in part to regional differences. It will be noted, however,
that variation by size of city is also apparent within individual
regions.
T a b l e 1 .—Median
Hourly Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by City Size and Region, Spring and Summer of 1943
Retail clerks
Male
Female
Region and size of city
Hosi
Cos
Furni General M en’s Shoes metics General ery,
clerks clothing
and toi clerks wom
ture
letries
en's
All cities_________________________________
$1.18
$0.83
$1.05
$0.84
$0.49
$0.50
$0.49
Cities with population of—
500,000 and over. ______
_____________
250,000 and under 500,000 ______________
100,000 and under 250,000 __________
1.30
1.19
1.14
.92
.82
.84
1.24
1.12
.88
.99.88
.80
.57
.52
.46
.60
.50
.46
.52
.52
.47
Northeastern c itie s _______________________
Border State cities_____ _ . . . _____________
Southern cities_________________ ______
M iddle Western cities _____ ____________
M ountain and Pacific Coast c itie s _________
1.18
1.31
1.06
1.25
1.49
.84
.80
.78
.85
.89
1.04
1.13
.88
1.06
1.39
.86
.86
.77
.93
.99
.46
.51
.50
.53
.60
.51
.47
.46
.53
.64
.47
.46
.48
.50
.61
Retail clerks—
Continued
Female—Con.
Region and size of city
Shoes
All cities, _________________________ ____
Nonselling occupations
Male
Female
Wom- Stock- Bundle Cash Cash
iers,
men’s
wrap
iers,
clothing men
pers grade I 2 grade
II2
Stockgirls
$0.60
$0. 58
$0.48
$0. 39
$0.50
$0.43
$0.39
Cities with population of—
500,000 and over__________ __________
250,000 and under 500,000.
. ... ,
100,000 and under 250,000
. . _____ ,
.71
.62
.53
.62
.61
.55
.54
.49
.46
.44
.38
.38
.53
.50
.48
.48
.42
.43
.42
.38
.39
Northeastern c itie s _________ _________ __
Border State cities_____________ __________
Southern cities,. . , ________ __________ . . .
Middle Western cities, _
_________
Mountain and Pacific Coast cities__________
.62
.52
.49
.60
.79
.57
.58
.54
.60
.83
.49
.47
.40
.51
.57
.40
.38
.35
.42
.54
.48
.48
.46
.50
.61
.43
.48
.38
.44
.57
.41
.37
.33
.40
.50
1 Exclusive of premium pay for overtime or late-shift work.
2 In general, the cashier, grade I, accepts payments on charge accounts, cashes customers’ checks, and sells
gift certificates besides assuming, whenever necessary, the duties of the cashier, grade II, who accepts pay
ment for sales slips made out by clerks, makes change, and may also wrap packages.
Significant differences in earnings were found between workers paid
on a time basis and those on an incentive basis (table 2). The largest
variations between earnings of time and incentive workers occurred
among sales clerks in furniture, clothing, and shoe departments.
Furniture salesmen receiving commissions earned on the average 40
cents an hour more than the corresponding time workers; men’s
clothing salesmen and general clerks (male) averaged 27 and 8 cents,
respectively, more per hour on an incentive than on a time basis.
Women shoe clerks earned 15 cents more per hour on an incentive
than on a time basis.
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Federal Reserve Bank of St. Louis
1042
Monthly Labor Review—November 1944
Average H o u r l y Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943
T a ble 2.
Retail clerks
Male
Region and city
Furniture
General clerks
M en’s clothing
All Time Incen All Time Incen All Time Incen
work work tive work work tive work work tive'
ers work ers
ers
ers work
ers
ers work
ers
ers
ers
N o r th e a s t
500,000 population and over:
Boston_______
Buffalo .
_ _ _ _
N ew Y ork.-- _ . . . _
P h ila d elp h ia --.___
Pittsburgh________ __
250,000 and under 500,000 population:
Providence____ _
Rochester______________
100,000 and under 250,000 population:
Bridgeport____________
Pall River
Hartford- ________ .
N ew Bedford
N ew H a v en ..
Lowell. Scranton-Wilkes-Barre.
Springfield_____________
Syracuse___________ ______ _
Worcester______________ _
$1.28
1.44 $0.95
1.69
1.57
.97
.96
(3)
1. 22
1.01
.95
1. 75
1.05
1.11
1.24
1. 14
$1.28
1.48 $1.11 $0.92
$1.36
1.57
.97
(3)
.79
(3)
(3)
1. 22
1. 01
.95
1.75
1.22
1. 11
1.24
1.40
.84
.84
.81
. 94
.53
(3)
. 64
. 64
1.00
1. 42
. 90
. 71
. 90
71
1.46
(3)
. 84
.76
81
.63
1 23
1.19
.88
. 96
1.07
(3)
79
. 79
.89
. 73
.69
. 77
51
. 64
53
. 66
.62
. 73
.86
1.21
.40
1. 22
.64
. 63
.92
. 96
.78
1 11
64
.83
. 63
. 72
.60
. 42
.85
. 51
.50
98
46
.62
. 42
. 71
1.01
71
. 79
.80
.95
.77
.82
.83
.96
.74
. 99
.95
$1 41 $0 99
1 04
(3)
1.33
.93
(3)
1 15
(8)
1.33
$1 50
1 04
1.39
(3)
1.34
1 27
.77
1.17
1 29
89
1 05
99
72
. 80
83
r. 1 2
1 13
. 90
92
70
72
84
1 07
1 10
1 10
70
75
82
1 12
1.14
91
83
.84
.84
1 13
90
98
1 20
1.07
1 12
.93
1 20
1.13
1 19
.88
.63
1 19
L 17
.77
B o r d e r S ta te s
500,000 population and over:
Baltimore ___ _
Washington
100,000 and under 250,000 population:
Norfolk___________ .
Richmond . .
1.00
1.42
1. 46
1.20
.70
. 92
(3)
93
.95
S o u th
250,000 and under 500,000 population:
Atlanta . .
Birmingham
Dallas .
_
.
H ouston.-_ -.
N ew Orleans______ ___ .
San Antonio .
100,000 and under 250,000 population:
Charlotte______
___ _
Chattanooga
Fort Worth___
Jacksonville
Knoxville___________ _ _
M iam i_______
___ _
N ashville_______ . . _
Oklahoma City
Tampa. . ____ ____
Tulsa_______ __________ .
1.23
1.19
.88
.96
1.02
(3)
1.02
(3)
(3 )
.67
(3)
1.09
1. 50
(3)
(3 )
(3 )
.65
1.09
1.18
1 50
<3)
1.09
85
1 16
8?
1 24
94
93
1 04
1 05
1 18
89
97
90
1 11
1 06
1 28
.84
(3)
.57
! 89
(3)
77
.76
.93
.81
83
.96
1.16
1.05
.62
1.18
(3)
1.18
1 28
72
93
80
.66
.43
.79
1 39
(3>
(3)
1.27
.94
1.29
1.18
73
1.20
.61
1.16
1 02
1.24
.63
.55
64
44
71
.88
! 57
l! 11
86
84
86
1.39
M id d le W est
500,000 population and over:
Chicago______ __________ __
M ilwaukee______ .
St. Louis..
...
...
250,000 and under 500,000 population:
Indianapolis_____________
Kansas "City__________
M inneapolis-St. Paul______________
See footnotes at end of table.
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Federal Reserve Bank of St. Louis
1.33
(3)
1.13
1.34
1.25
1.13
1.33
1.13
(3)
1.36
1.25
1.13
.82
.83
.98
.47
.87
.84
.83
1.00
1.09
1.04
1.18
(3 )
.71
Wage and Hour Statistics
1043
T a b le 2. —Average Hourly Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943— Con.
Retail clerks
Male
Region and city
Furniture
M en’s clothing
General clerks
All Time Incen All Time Incen All Time Incen
tive work work tive work work tive
work work work
work
ers
ers
ers
ers work
ers
ers
ers
ers
ers
Middle West—Continued
100,000 and under 250,000 population:
Des M oines.
... .
Duluth-Superior .
$1.04
F lin t_____________
Fort W ayne. . .
. . . . 1.56
Gary . . . . ___
1.25
Grand Rapids
______
______ _
Peoria
. ...
________ . . . . . 1.34
South B end________________________ 1.18
$1.04
1.56
1.25
1.34
1.18
$0. 77
(3)
.94
(3)
1.24 $1.06
1.08
.45
.85
.74
.74
.54
.89
.58
.59
.57
$0.87 $0.82
0
.95
.83
0
1.65 1.08
1.59 1.05 $0.74
.94
.64
.88
.78
.97
.41
.74
.92
.78 1.23
$0. 93
.91
1.08
1.25
1.02
.81
1.28
Mountain and Pacific
500,000 population and over:
Los Angeles . . . _______
San Francisco.
250,000 and under 500,000 population:
Denver
...
....
Portland____________ . . .
Seattle-Tacom a... . . . ___ . . .
100,000 and under 250,000 population:
Sacramento . .
. . . ............................
Salt Lake City
San D iego____________
Spokane.. ___. . . . . . . .
1.11 $1.06
1.14 1.03
1.12
1.34
.96
.89
.89
.89
1.84
1.95
1.84
2.02
1.49
.93
1.66
.88
.89
.82
.88
.89
.66
1.00
0
0
0
(3)
1.04
1.24
1.49
1.06
1.29
1.34
1.53
1.61
1.51
1.39
.90
.96
1.68
1.66
1.66
1.15
1.14
1.16
0
0
1.42
Retail clerks—Continued
Male —Continued
Region and city
Female
Cosmetics and
toiletries
Shoes
General clerks
All Time Incen All Time Incen All Time Incen
tive work work tive work work tive
work work work
ers
ers
ers
ers work
ers
ers work
ers
ers
ers
Northeast
500,000 population and over:
Boston_______________________ ______
Buffalo_____:_______________________
N ew Y o r k ..................... .............................
Philadelphia__________ _____ ________
Pittsburgh_________________ ____ ___
250,000 and under 500,000 population:
Providence_________________________
Rochester________________ ____ _____
100,000 and under 250,000 population:
Bridgeport______ ______
Fall River__________________________
Hartford___________________________
N ew B ed fo rd _____ __
N ew H a v e n .________________________
Lowell_____________________________
Scranton-Wilkes-Barre. .........................
Springfield_______ ______ _____ ______
Syracuse ____
. ________ ____
W orcester..............................................
£$ee footnotes at end of table.
$1411?— 44------10
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
$1.03
.93
1.08 $1.11
.94
0
1.01
(3)
$1.03
0
0
.93 $0.46 $0.40
1.06
.49
.57
0
1.02
.44
.58
$0. 47
.49
.59
$0.63 $0. 56
.54
0
.69
.68
$0.75
0
.69
.89
.78
.74
.69
.93
.86
.49
.47
.49
.42
.49
.56
.57
1.10
.72
.95
.80
.77
.72
.61
.84
.73
0
.91
0
.'81
.73
.55
.74
1.11
.75
.97
.81
.62
.72
.63
.86
0
.47
0
.47
.38
.51
.72
.48
.79
.47
.44
.50
.36
.47
.44
.49
.60
.46
.37
.52
.40
.40
.43
.34
.43
.46
.47
(3)
.55
.54
.43
.72
.47
.46
.54
.42
.40
.44
.39
.46
.40
.47
.44
.42
.49
.57
1044
Monthly Labor Review—November 1944
Ta b l e 2 .— Average Hourly Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943— Con.
Retail clerks—Continued
Male—Continued
•Region and city
Female
Cosmetics and
toiletries
Shoes
General clerks
All Time Incen All Time Incen All Time Incen
tive work
tive work work tive
work work work
work work
ers
ers
ers
ers
ers
ers work
ers
ers
ers
Border States
500,000 population and over:
Baltimore________________ . .
Washington
______
100,000 and under 250,000 population:
Norfolk. __ _____ _
R ic h m o n d _____ ________ ____
$0. 82 $0. 77
.94
.60
$0. 85 $0. 51 $0.45
.97
.57
.58
.90
. 72
.91
.59
.88
1.01
.43
(3)
.76
1.08
.76
.66
.78
(3)
.78
.49
.64
.89
. 76
i. i i
.79
.70
.74
(3)
. 54
.85
.77
.83
. 69
.86
.50
. 53
(3)
.46
.48
(3)
.73
.44
$0. 52 $0. 49 $0. 49
.56
.52
.53
$0.49
.53
.43
.44
(3)
.45
.38
.43
.38
.49
.51
.58
.47
.40
46
.46
.61
.49
.36
53
.67
.56
.44
.54
45
.47
.47
.46
.42
.46
36
.40
.31
.36
.37
.47
49
.53
.55
.52
.46
.46
.85
.93
.95
.70
1.26
.57
. 41
.55
.41
.44
38
.62
.50
41
(3)
.42
.52
. 38
.57
.55
. 88
(3)
59
.59
37
.45
.46
.51
42
.53
.43
. 46
46
.60
35
.37
.40
.45
33
..50
.33
. 40
34
.68
40
.46
.48
.52
45
.54
.52
. 58
48
51
.69
(3)
.54
.53
58
.61
.48
.55
.59
58
.61
.62
60
. 54
.53
56
.56
.41
38
.42
.55
58
.63
.48
53
.47
57
.59
.56
. 59
54
.49
.73
1.23
Southern
250,000 and under 500,000 population:
Atlanta. _________ _____ _ __ _
Birmingham___________ _ ________
D allas_____ _ _________________
Houston. ___________________ _
N ew Orleans_________ ____ _________
San A ntonio._ ________
100,000 and under 250,000 population:
Charlotte__________
C hattanooga........................................
Fort W orth_____ __ ____________
Jacksonville ___
____
Knoxville____ ___ _ _ _ _ _
M iam i_____ . . . ______
Nashville___ _________ _
Oklahoma C ity________ __ ________
Tampa. _ __________ __________ __
Tulsa________________________
.88
(3 )
.56
.39
.39
.63
.44
(3)
Middle West
500,000 population and over :
Chicago___________________________
1. 23
M ilwaukee_____________________
St. Louis ______ _______ ___
.97
250,000 and under 500,000 population:
Indianapolis___ ________ __________
1.26
Kansas C ity __ . . . _________ _____ 1.03
Minneapolis-St. Paul___________ ____
.96
100,000 and under 250,000 population:
Des M oines____ _ _________________ .73
D uluth-Superior___ _____ __ _ _ . . .
.82
F lin t. ______
90
F o r tW a y n e.. _ . . . ______ ________ .96
Gary----------------------------------------------- .82
Grand Rapids ________ _____ ______
Peoria__________ ____ _
___ . . .
.84
South B end____ „___________
_____ .74
.75
1.27
(3)
. 98
.54
(3)
(3)
. 73
. 66
1.28
1.06
.97
.64
.60
. 54
(3)
(3)
.68
(3)
.81
.75
.88
90
1.01
.83
.43
.49
55
.48
.48
.68
. 84
(3)
45
.52
.93
.92
1.04
1.22
.83
.70
.96
1.34
.68
.52
(3 )
.............
(3 )
.44
61
.46
.45
.44
.57
(3)
.49
.55
( 3)
45
.54
.46
. 56
50
.‘47
.52
53
.49
.43
.38
39
.42
.71
.68
.63
.64
.75
.70
.64
1.13
.51
.78
. 58
.60
. 53
. 53
. 50
.59
.61
.62
.97
.67
1.00
( 3)
( 3)
( 3)
.54
.52
.77
. 56
..54
.46
.80
( 3)
.78
.56
.54
.47
( 31
is o
M ountain and Pacific '
500,000 population and over:
Los Angeles________________________
.99
San Francisco________________ _____ 1.09
250,000 and under 500,000 population:
D enver____________ ___ ___________
Portland________________ __ _______ .88
Seattle-Tacoina_______________ _____ 1.21
100,000 and under 250,000 population:
Sacramento. ________ _______ _______ (3)
Salt Lake C ity______________________
San Diego. __________ _______ ______
.78
Spokane___________________________
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
.75
( 3)
.65
. 69
1045
Wage and Hour Statistics
T a b le 2. —Average Hourly Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943— Con.
Retail clerks—Continued
Female—Continued
Region and city
Shoes
Hosiery, women’s
Women’s clothing
All T im e Incen
All T im e Incen
All T im e Incen
tiva work
tive
tive work
work work
work work
work work work
ers
ers
ers
ers
ers
ers
ers
ers
ers
Northeast
500,000 population and over:
$0.49 $0.42
Boston __
________ ________ .49
Buffalo
.52
.50
N ew York
........ ... .... ............
Philadelphia-.._________________ . . .50
(3)
.54
.43
Pittsburgh ___
. ____ _________
250,000 and tinder 500,000 population:
.49
Providence____ ____________ _______ .53
.43
Rochester. ...................
.......... .44
100,000 and under 250,000 population:
.43
Bridgeport ................ _____ _______ .47
.42
.38
Fall River................. .
.......... . . .
.52
.57
Hartford
___________ _____ ..
.41
.43
N ew Bedford
.....................................
.44
.44
N ew Haven
................ . _____
.42
.44
Lowell
.... ....... ............
.34
Scranton-Wilkes-Barre___ .
_____ .43
.44
.46
Springfield
.43
Syracuse
_____ _
_ ______
.47
.50
.40
Worcester
. . . . ..........
.... __
$0. 59
.49 $0.74
(3)
.69 $0.64
.55
.66
(3)
(3)
.73
.51
.55
$0.74
.72
(3)
.75
$0. 62 $0. 51
.52
.64
.66
.58
(3)
.57
.66
$0.63
.52
.73
(3)
.67
.57
.46
.62
.69
.60
.51
.63
.73
.53
.57
.51
.51
.56
.65
.52
.53
.66
.47
.42
.50
.48
.50
.51
.54
.61
.47
.64
.66
.43
.53
.45
.57
.50
.60
.48
.41
.57
.49
.43
.43
.37
.54
.39
.48
.81
.53
.68
.69
.43
.59
.46
.60
.52
.69
.64
.50
.61
.47
.59
.54
.54
.53
.49
.57
.52
.45
.55
.46
.49
.52
.40
.50
.42
.80
.55
.66
.49
.65
.57
.59
.55
.49
.62
Border States
500,000 population and over:
Baltimore
. ............................
Washington
. _ ................. .....
100,000 and under 250,000 population:
__________________
N orfolk
Richmond
_____. _______ ___
.48
.58
.50
.54
.48
.62
.54
.69
.48
.55
.69
.62
.61
.53
.58
.62
.65
.43
.44
.39
.39
.47
.56
.49
.49
.37
.45
.51
.69
.55
.56
.46
.36
.58
.70
.42
.39
.39
.33
.35
(3)
.49
.51
.67
.41
.43
.61
.53
.63
.41
.44
(3)
.52
.41
(3)
.30
.35
.61
.57
.63
.64
.50
(3)
.67
.66
.60
.48
.53
(3)
.47
.52
.42
.37
.37
(3)
.68
.68
.61
.54
.56
.36
.46
.65
.45
.47
.49
.55
.56
.49
.50
.46
.60
.45
.63
.46
.41
.33
.47
.34
(3)
(3)
.31
.47
.36
.60
.42
.63
.50
.54
.64
.47
.63
.48
.47
.44
.54
.53
.68
.71
.54
.43
.34
.42
.43
.69
.36
.52
.47
.69
.53
.72
.71
.61
.40
.55
.41
(3)
.44
.37
.47
.47
.60
.34
.60
.50
.59
.48
.61
.37
.51
.89
.53
.90
.71
(3)
.76
.75
.58
.55
.65
.46
(3)
.76
.59
. 55
.67
.54
.62
.84
.76
.62
(3)
.84
.76
.64
.81
.60
.62
.63
(3)
.60
.82
.61
.63
South
250,000 and under 500,000 population:
.49
Atlanta
. . . ___
______
.49
B irm ingham ... ____________ _____
Dallas_____
. ________ __________ .60
.38
Houston
_______ _______
. .
N ew O rleans.. _________________ . . .39
San Antonio
_ _ _ ________
(3)
100,000 and under 250,000 population:
.39
Charlotte
_
__ __ __________
Chattanooga __ _ _ ________________ .65
.38
Fort W o r th -__ _______ _________ .
.47
Jacksonville
. . _ . ______ _
.46
K n o x v ille___________ ___ _______ M iami
. _ . . __________ ' .55
.54
Nashville . . .
_ . - . ...............
Oklahoma City
.41
Tampa ____ _____________________
.52
Tulsa
_ _ _ _ _ ________
Middle West
500,000 population and over:
Chicago _
_ . - _____ ______
M ilwaiikee
St. Louis
...
...........
250,000 and under 500,000 population:
Ind ian ap olis___
- ____________
Kansas City
__ _ - ..........
Minneapolis-St. Paul________ ______
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
.59
.37
.51
.67
.54
.50
(3)
(3)
.40
.46
1046
Monthly Labor Review—November 1944
T a ble 2.—Average Hourly Earnings 1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943— Con.
Retail clerks—Continued
Female—Continued
Region and city
Hosiery, women’s
Shoes
Women’s clothing
All T im e Incen All T im e Incen All T im e Incen
work work tive work work tive work work tive
ers
ers work ers
ers work
ers
ers work
ers
ers
ers
Middle West—Continued
100,000 and under 250,000 population:
(3 )
Des Moines_________________________ $0. 56
Duluth-Superior. __________
.46 $0. 43
F lin t______________________________
.54
.51
Fort W ayne____ . . . _________ _____
.50
.46
Gary ____________ ______ ___________ .48
(3)
Grand R a p id s... ______________ . . .
Peoria_______ _______________ . . . .
.45
.37
South B end____________ ____
.48
.43
(3 )
$0. 59 $0 69
.49
.45 $0. 37
.63
.58
. 51
.51
.57
(3)
.47
.59
.48
.47
.54
.56
$0 72 $0 .5.5
.53
.51 $0. 45
.60
.57
.49
.58
.68
.45
.62
.68
.56
.58
.58
(3)
.57
.68
.71
.70
.50
.66
40
.47
53
.72
78
Mountain and Pacific
500,000 population and over:
Los Angeles______________________ .
San Francisco____________________ .
250,000 and under 500,000 population:
D enver_________ _________________
Portland___________ ________ _____ _
Seattle-Tacoma__ _________ . . . .
100,000 and under 250,000 population:
Sacramento.
___________ _
Salt Lake C ity. ___________ ______ _
San D ieg o ............... ................. ............. .
Spokane.. _____________ _____
.61
.78
.57
. 77
.64
.78
(3 )
.8 1
.76
.87
.80
04
.66
\ 87
.68
.60
.64
.56
.71
.67
.67
.79
.57
.61
.75
.88
.85
.83
.61
.56
.88
.98
( 3)
. 54
( 3)
(3 )
( 3)
( 3)
.54
7*5
.86
.55
.91
.83
.62
1.15
Nonselling occupations
Region and city
Male
Female
BundleStockmen wrappers
Cashiers, Cashiers,
grade 1 2 grade I I 2
Stock
girls
Northeast
500.000 population and over:
Boston______ _________________
Buffalo______________ ____ _____
N ew York___________ ____ _____
Philadelphia____ _____ ________
Pittsburgh____________________
250.000 and under 500,000 population:
Providence____________________
Rochester_____________________
100.000 and under 250,000 population:
Bridgeport_____________ ______
Fall River_________ ___________
Hartford_________________ _____
N ew Bedford____________ ____
N ew H aven_____________ ____
Lowell__________________ ____
Scranton-W ilkes-B arre_________
Springfield______ ______ _______
S y ra cu se..____ ________ _______
Worcester_________ _______ ____
$0.50
.48
.57
.49
.55
$0.40
.37
.45
.43
.49
$0. 49
.47
.61
.52
.53
$0.43
.42
.49
.46
.50
$0. 41
.42
.47
.40
.46
.45
.61
.42
.39
.41
.52
.41
.42
.38
.42
.50
.41
.38
.38
.48
.44
.56
.32
.40
.36
.36
.53
.47
.39
.50
.45
.41
.46
.41
.50
.40
.43
.46
.36
.45
.37
.42
.48
.52
.39
.42
.48
.62
.43
.53
.33
.43
.46
.40
.36
.36
.48
.47
.48
.41
.28
0
«
.54
.47
.39
.39
.41
.58
.42
(3)
.39
.42
.39
.39
.47
(3)
(3)
.34
Border States
500.000 population and over:
Baltimore.........................................
W ashington___________________
100.000 and under 250,000 population:
Norfolk......... ................ ....................
Richm ond.____ _______ _______
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
<*)
Wage and Hour Statistics
1047
T a b le 2. —Average Hourly Earnings1 in Selected Job Classifications in Department and
Clothing Stores, by Method of Wage Payment, Spring and Summer 1943— Con.
Nonselling occupations
Region and city
Male
Female
Bundle- Cashiers, Cashiers,
Stockmen wrappers
grade I 2 grade I I 2
Stock
girls
South
250.000 and under 500,000 population:
A tlanta_______________________
Birmingham_____ _____ _______
D a lla s.--............................................
Houston_____________________
N ew Orleans__________________
San Antonio___________________
100.000 and under 250,000 population:
C harlotte.____ ______________
Chattanooga__________________
Forth W orth__________________
Jacksonville_______:____________
Knoxville_____________________
M iam i................................................
N ashville__________ : __________
Oklahoma C ity________________
Tampa________________________
Tulsa........................ .........................
$0. 40
.41
.40
.36
.44
.49
$0. 35
.29
.37
.32
.35
.27
$0.50
.44
.51
.45
.45
.42
$0. 39
.38
.42
.36
.37
.35
$0.33
.28
.35
.33
.37
.27
.41
.31
.34
.43
.31
.54
.33
.49
.38
.48
.31
.26
.38
.34
.38
.34
.37
.30
.28
.28
.40
.30
.35
.35
.54
.38
.45
.52
.45
.54
.49
.41
.47
.47
.57
.37
.38
.40
.52
.37
.55
.57
.51
.44
. 44
.39
.55
.53
.50
.51
.48
.41
.45
.40
.37
.51
.60
.56
.43
.36
.41
.52
.51
.49
.47
.42
.43
.45
.36
.40
.47
.52
.46
.51
.39
.43
.59
.43
.45
.42
.41
.33
.39
.47
.60
.49
.50
.50
.46
.52
.43
.44
.51
.47
.47
.41
.40
.45
.65
.81
.54
.62
.70
.71
.56
.61
.50
.55
.49
.67
.61
.38
.50
.56
.39
.54
.63
(3)
.45
.61
.38
.48
.58
.55
.44
.55
.61
.50
.58
.47
.57
.53
.50
(3)
.34
(3)
(3)
.47
.31
.37
Middle West
500.000 population and over:
Chicago____________ _______ ___
M ilwaukee____________________
St. Louis______________________
250.000 and under 500,000 population:
Indianapolis___________________
Kansas C ity___________________
M inneapolis-St. Paul__________
100.000 and under 250,000 population:
Des M oines.......................................
Duluth-Superior............ .............. .
F lin t.............................................. .
Fort W ayne......... ................... ........
Gary--------------------------------------Grand Rapids_________________
Peoria________________________
South B en d___________________
«
. 39
(3)
.36
.41
.41
.34
.44
Mountain and Pacific
500.000 population and over:
Los Angeles___________________
San Francisco_________________
250.000 and under 500,000 population:
D en v er..______________________
Portland______________________
Seattle-Tacoma________________
100.000 and under 250,000 population:
Sacramento___________________
Salt Lake C ity ......... .......................
San Diego___________ _________
Spokane_____________ ______ ___
.53
.52
.47
.6 8
.55
1 Exclusive of premium pay for overtime or late-shift work.
2 In general, the cashier, grade I, accepts payments on charge accounts, cashes customers’ checks, and
sells gift certificates besides assuming, whenever necessary, the duties of the cashier, grade II, who accepts
paym ent for sales slips made out|by clerks, makes change, and may also wrap packages.
3 Insufficient information to justify presentation.
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Federal Reserve Bank of St. Louis
1048
Monthly Labor Review—November 1944
Trend of Factory Earnings, 1939 to August 1944
THE published average earnings of factory workers are summarized
in the accompanying table for selected months from January 1939 to
August 1944.1 The earnings shown in this table are on a gross basis
(i. e., before deductions for social security, income and victory taxes,
bond purchases, etc.).
Weekly earnings in all manufacturing averaged $45.85 in August
1944—97.7 percent above the average in January 1939, 72.1 percent
above January 1941, and 17.9 percent above October 1942. Such
factors as longer hours of work, merit increases for individual workers,
premium pay for overtime worked, changing composition of the labor
force within plants, shifts in the distribution of workers among plants
and among industries, as well as wage-rate increases, account for the
rise in earnings.
Gross hourly earnings in all manufacturing averaged 101.6 cents in
August 1944—60.8 percent above the average in January 1939, 48.8
percent above January 1941, and 13.8 percent above October 1942.
Straight-time average hourly earnings, as shown in columns 7 to 9,
are estimated to exclude premium pay at time and a half for work in
excess of 40 hours. The effect of extra pay for work on supplementary
shifts and on holidays is included. For all manufacturing, the straight
time average in August 1944 was 94.4 cents per hour; this was 51.5
percent higher than in January 1939, 42.2 percent above January 1941,
and 12.5 percent above October 1942.
Earnings of Factory Workers in Selected Months, 1939 to August 1944
Average weekly
earnings
M onth and
year
Jan____
Jan____
Jan____
Jan____
July___
Oct____
1943: Jan____
Apr. . .
J u ly .....
Oct _ . .
D ec____
1944: Jan____
Apr____
June___
July 3. . .
Aug. 3___
Estimated straighttime average hour
ly earningsi
Estimated
straighttime average hour
ly earnings weight
ed by January 1939
em ploym ent 2
All
All
N on
N on
All
N on
N on
All
manu Dura
dura manu Dura
dura manu Dura dura manu Dura dura
ble
ble
ble
ble
factur goods
ble factur goods
ble factur goods
ble factur goods
ble
ing
goods
ing
ing
goods
goods
ing
goods
(1 )
1939:
1940:
1941:
1942:
Average hourly
earnings
(2 )
(3)
(4)
(5)
(6 )
(7)
(8 )
(9)
(1 0 )
(ID
$23.19 $25.33 $21. 57 $0.632 $0.696 $0. 583 $0. 623 $0 . 6 8 8 $0. 574 $0.623 $0 . 6 8 8
24.56 27. 39 2 2 . 0 1
.655
.717
.598
.644
.703
.589
.635
.697
26. 64 30.48 22. 75
.683
.749
.664
.722
.648
.711
.610
.601
33.40 38.98 26.97
.801
.890
.762
.835
.729
.810
.6 8 8
.670
36.43 42.51 28.94
.856
.949
.809
.701
.759
.846
.725
.885
38.89 45. 31 30.66
.782
.869
.893
.990
.723
.751
.839
.919
40. 62 46. 6 8 32.10
.941
.794
.8 8 6
.919 1.017
.733
.768
.859
42.48 48. 67 33.58
.897
.944 1.040
.751
.808
.790
.878
.957
42. 76 48.76 34. 01
.919
.963 1.060
.981
.766
.823
.806
.899
44. 8 6 51.26 35.18
.929
.988 1.086
.824
.781
.836
.916
.997
.942
44.58 50. 50 35. 61
.995 1.093
.832
.846
.927 1 . 0 1 1
.788
45. 29 51. 21 36. 03 1 , 0 0 2 1.099
.945
.793
.850
.838
.931 1.013
45. 55 51.67 36.16 1.013 1 . 1 1 0
.955
.806
.862
.942 1.023
.850
46.24 52.14 37. 30 1.017 1.113
.959
.867
.861
.944 1.024
.813
.973
45.43 51.07 37.04 1.018 1.117
.874
.862
.815
.951 1.037
45.85 51.79 37.16 1.016 1 . I ll
.960
.817
.871
.864
.944 1.024
(1 2 )
$0. 574
.589
.600
.667
.694
.716
.724
.741
.750
.765
.773
.778
.792
.798
.799
.803
1 Average hourly earnings, excluding the effect of premium pay for overtime.
* Average hourly earnings, excluding premium pay for overtime, weighted by man-hours of employment
in the major divisions of the manufacturing industry for January 1939.
3 Preliminary.
1
Compare Trends in Factory Wages, 1939-43. M onthly Labor Review, November 1943 (pp. 869-884),
especially table 4 (p. 879). For detailed data regarding weekly earnings, see Detailed Reports for Industrial
and Business Employment, August 1944, table 6 (p. 1103), of this issue.
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1049
The shift of workers from relatively low-wage to relatively highwage industries since 1939 would have raised the average earnings of
factory workers, even if no other influences had been present. The
effects of such interindustry shifts have been eliminated from the
averages shown in columns 10 to 12 of the table. If employment had
been distributed between industries as it was in January 1939, the
straight-time hourly earnings of factory workers would have averaged
87.1 cents in August 1944, or 39.8 percent above the corresponding
average in January 1939, 34.4 percent above January 1941, and 11.4
percent above October 1942. Between July 1944 and August 1944
the drop in straight-time hourly earnings, after eliminating the
influence of shifting employment, amounted to three-tenths of 1 per
cent. Even this latter series of averages exaggerates the rise in
wage rates, because it includes the influence of interplant shifts of
employment, merit increases for individual workers, and premium
rates for work on extra shifts and on holidays.
W W W «
Wartime Changes in Wages and Salaries and Per Capita
Income in the Various States
PER CAPITA income payments in 1943 ranged from $512 in Arkansas
to $1,452 in Connecticut. The increases during the period of the war,
from 1939 to 1943, ranged from 26.5 percent in the District of Colum
bia to 198.8 percent in North Dakota. The increase for the United
States as a whole in per capita income payments was 91.3 percent.
Average salary-wage payments in the employments covered by
State unemployment-compensation laws increased 56.9 percent in the
United States as a whole, and the increases ranged from 29.5 percent
in South Dakota to 96.2 percent in Maine. These are some of the
major facts shown in a recent study of State income payments made
by the U. S. Department of Commerce. 1
Average A nnual Salary-W age
Estimates of the average annual salary-wage, based upon data
collected by the Social Security Board for workers covered by State un
employment-compensation laws, range widely from State to State,
the differences being caused in considerable part by differences in the
composition of employment. Some States, for example, have little
employment in manufacturing industries; other States have few fac
tories except in textile industries or other industries with compara
tively low wages; and still other States have many heavy-goods
industries or other industries paying comparatively high wages. Such
factors as changes in the location of industry, in the composition of
employment, and in the demand for workers had significant effects on
the State differences, both in the levels of the average salary-wage
and in the percentages of change. The effects of such factors are
illustrated by a comparison of war industries and nonwar industries
in the field of manufacturing. (See table 1.)
1 State Income Paym ents in 1943, by Charles F. Schwartz (in Survey of Current Business, August 1944,
pp. 12-20). The article is available from the Department of Commerce in reprint form.
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Federal Reserve Bank of St. Louis
1050
Monthly Labor Review—November 1944
T a b l e 1.—Average Annual Salary-Wage of Employees Covered by State Unemploy-
ment-Compensation Laws, 1939 and 1943 1
Average animal salary-wage
All industries
Manufacturing
Region and State
War industries
1939
United States_____________ $1,361
1943
Percent
of in
crease,
1939-43
1939
1943
Nonwar industries
2
Percent
of in
crease,
1939-43
1939
1943
Percent
of in
crease,
1939-43
$2,135
56.9
$1,524
$2,745
80.1
$1, 250
$1,804
44.3
61.7
75.0
96.2
49.3
52.6
70.2
56.3
1,504
1,460
1,307
1,591
1,427
1,388
1,602
2,685
2,798
3,157
2,582
2, 474
2,373
78.5
91.6
141.5
62.3
54.3
78.2
48.1
1,147
1, 2 2 0
958
1, 210
1,019
1,079
1,042
1,830
2,079
1, 633
1,851
1,649
1,813
1,628
59.5
70.4
70.5
53.0
61.8
1,159
2,148
2, 495
2,068
2,058
1,645
2,060
1,811'
Middle E a st... __________
Delaware_____________
District of Columbia__
M aryland. __________
New Jersey___________
N ew York____________
Pennsylvania_________
West Virginia_________
1,446
1,405
1,338
1,236
1,431
1,588
1,309
1,302
2,181
2 , 228
1,839
2,174
2,394
2,248
2,030
2,030
50.8
58.6
37.4
75.9
67.3
41.6
55.1
55.9
1,356
1,458
1,803
1, 516
1,634
1,019
1,549
1,615
2, 725
2,919
2, 567
2,738
2, 736
2, 765
2 , 688
2, 459
1,433
1,203
1,731
1,242
1,777
1,170
1,175
1,944
1,672
2,141
1,753
2,075
2,063
1,722
1,612
35.7
39.0
23.7
56.2
67.1
16.1
47.2
37.2
Southeast_______________ _
Alabama___ ____ _____
Arkansas________ . . .
Florida_______________
Georgia_______________
K entucky_____ ______
Louisiana___
______
M ississippi______ ___
North Carolina_______
South Carolina__ _____
Tennessee.
...............
Virginia______________
958
917
831
959
918
1,107
1,069
817
893
796
1,018
1,063
1,559
1,568
1,340
1,702
1,461
1,726
1,781
1,289
1,376
1 , 282
1,644
1,747
62.7
71.0
61.3
77.5
59.2
55.9
57.8
54.1
61.1
61.5
64.3
1,246
1, 273
945
869
1,113
1,462
1,268
961
1,151
798
1,233
1,428
2,302
2,204
1,874
2, 614
2.271
2, 322
2,624
2,041
2,217
1,864
2,044
2, 544
104.0
58.8
106.9
112.4
92.6
133.6
65.8
78.2
835
732
764
861
784
1,086
965
699
826
756
903
893
1,276
1,169
1,155
1,393
1. 213
1,558
1,476
1,076
1,266
1, 255
1,290
1,326
52.8
59.7
51.2
61.8
54.7
43.5
53.0
53.9
53.3
42.9
48.5
S ou th w est... . _______
Arizona___ _ _______
New Mexico__________
Oklahoma. __________
T e x a s ________________
1,216
1,275
1,117
1,288
1,197
1,875
1,989
1,528
1,944
54.2
56.0
36.8
50.9
55.9
1,412
1,489
947
1,415
1,412
2,469
2, 376
1,399
2, 340
2, 511
74.9
59.6
47.7
65.4
77.8
1,182
1,199
1,005
1,320
1,155
1,687
1,854
1,336
1,767
1,673
42.7
54.6
32.9
33.9
44.8
Central _________________
Illinois_______________
In d ia n a _______ . . . .
Iowa_________________
Michigan_____________
M innesota____________
Missouri__________ . . .
Ohio_________________
Wisconsin____________
1,447
1,522
1,375
1,196
1,575
1,263
1,301
1,452
1,425
2,294
2 , 228
2,272
1,716
2,769
1,922
1,678
1, 635
1,594
1, 405
1, 775
1, 571
1, 528
1,694
1,651
2,820
2,635
2,676
2,166
3,191
2,667
2, 355
2, 850
2,732
6 8 .1
2, 372
2,158
58.5
46.4
65.2
43.5
75.8
52.2
43.6
63.4
51.4
1,963
2,066
1,887
1,739
2, 235
1,860
1,679
65.5
1,363
1,446
1,256
1,268
1,376
1,421
1,205
1,379
1,374
1,869
44.0
42.9
50.2
37.1
62.4
30.9
39.3
46.6
36.0
Northwest_____ _________
Colorado________ _____
Idaho________________
Kansas____ . ______
M ontana_____________
Nebraska___________ _
North D akota_____ . . .
South D akota______ _
U tah_________________
W yoming______ ._ . . .
1,219
1,289
1,123
1,176
1,322
1,205
1,135
1,154
1,244
1,218
1,914
1,841
1,780
2,073
1,840
1,875
1,488
1.494
2,079
1,854
57.0
42.8
58. 5
76.3
39.2
55.6
31.1
29.5
67.1
52.2
1,517
1,506
1,302
1,419
1,956
1,391
1,378
1,438
1,506
58.2
47.6
97.9
76.0
40.4
69.6
47.0
50.6
50.3
54.3
1,299
1,316
1,231
1,320
1, 404
1,317
1 ,2 2 2
2,400
2 , 223
2, 577
2,498
2,746
2,359
2,026
2,166
2, 263
1,885
1,260
1,164
1,457
1,821
1,811
1,887
1,845
1,873
1,847
1, 575
1,711
1,684
2,027
40.2
37.6
53.3
39.8
33.4
40.2
31.0
35.8
44.7
39.1
Far W est________ ________
C alifornia_________ _
Nevada___________ . . .
Oregon__________ ____
Washington____ ______
1,543
1,581
1,397
1,498
1,402
2,478
2, 515
2,492
2,429
2,355
60.6
59.1
78.4
62.1
1,729
1,734
1,586
1,815
1,667
2,965
2,925
3,376
3,132
3,041
71.5
68.7
112.9
72.6
82.4
1,457
1,479
1,403
1,454
1,403
2,238
2,244
1,869
2,192
2,260
53.6
51.7
33.2
50.8
61.1
N ew England......... .
Connecticut__________
M aine. . . . . . . . . . . .
M assachusetts________
New Hampshire______
Rhode Island_________
Vermont_______ ___ _
1,328
1,426
1,054
1,378
1,078
1 ,2 1 0
1 ,8 6 6
1 ,8 6 8
6 6 .6
6 8 .0
2 ,2 0 2
.
101 0
1 0 0 .2
42.4
80.6
67.4
171.3
73.5
52.3
84.8
73.1
98.3
2 0 0 .8
61.2
67.9
54.2
79.8
69.8
54.1
6 8 .2
1 ,1 2 2
1 ,2 0 2
2 ,0 2 2
6 8 .0
56.2
6 6 .0
1 For source, see footnote 1 , p. 1049.
The average annual salary-wage is based on Social Security Board
data and is derived by dividing total wages and salaries earned in covered employment during the year by
average monthly employment.
2 Includes chemicals and allied products, rubber products, iron and steel and their products, ordnance
and accessories, transportation equipment (except automobiles), nonferrous metals and their products,
electrical machinery, machinery (except electrical), and automobiles and automobile equipment.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1051
The average salary-wage in those groups of manufacturing in
dustries which have been particularly important in contributing to
war production was much higher in 1939 than was the average in the
nonwar industries—$1,524 as compared with $1,250. The rise in the
average salary-wage in the war industries between 1939 and 1943
was 80.1 percent, as compared with a rise of only 44.3 percent in the
nonwar industries. In States in which new war industries accounted
for a large proportion of industrial employment, the effects of the war
industries on the general averages were especially important. In
Nevada, for example, manufacturing war industries accounted for only
6.3 percent of the State’s manufacturing pay rolls in 1939 but for 89.7
percent in 1943. The increase in the average salary-wage in manu
facturing war industries in Nevada was 112.9 percent, in contrast to a
rise of only 33.2 percent in nonwar industries. The increase in all in
dustries covered by the act was 78,4 percent.
Throughout the country there were increases in rates of wages and
salaries, but other factors accounted in considerable part for the in
creases in the average remuneration. One of these factors was the
rise in average hours of work, especially in war industries. Work
schedules in these industries rose in most communities from 40 hours
or less per week to 48 hours, and in many plants to more than 48 hours.
The prevalence in most industries of premium payments for overtime
beyond 40 hours per week, either under the provisions of the Fair
Labor Standards Act or under collective agreements, added materially
to average earnings in 1943. Changes in labor productivity were also
important, especially in their direct effects on the earnings of piecerate workers. The expansion of war production gave to workers oppor
tunities for employment in jobs with comparatively high rates of pay
and also with comparatively long hours of work. The increase in the
proportion of workers in these employments, particularly in such in
dustries as shipbuilding, aircraft, and the metal-working trades, ac
counted for a significant part of the rise in the average salary-wage.
Increases in average compensation resulting from such causes as the
rise in hours of work and enlarged proportions of jobs in high-wage
industries are to be distinguished from increases resulting from changes
in rates of compensation. When employees who are paid by the hour
or on a piece-rate basis work longer hours or have opportunities to
obtain new jobs with higher pay, their average earnings rise automat
ically and independently of increases in rates of pay, just as a reduc
tion of hours or of opportunities for high-wage jobs automatically
reduces the average earnings unless there are counterbalancing factors.
Such changes are analogous to increases or reductions in profits result
ing from changes in volume and types of sales. (See table 2.)
P er Capita Income Paym ents
Per capita income payments (the average payment per person of the
total population) rose from $539 in 1939 to $1,031 in 1943, an increase
of 91.3 percent. Increases in the various regions and States were
caused in part by the same factors that accounted for different per
centage changes in the average salary-wage. The increases in per
capita income payments were greater, however, than the increases in
average salary-wage, except in New Hampshire and the District of
Columbia, and the range of increases in per capita payments was
wider. See table 2.
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1052
T a b le 2. —Percentage Distribution of Total Income Payments, and Per Capita Income
Payments, by States and Regions, 1939 and 1943 1
Percentage distri
bution of total
in c o m e
pay
ments
Per capita income payments
2
Region and State
1939
1943
1939
1943
Percent
of
increase,
1939-43
1 0 0 .0 0
1 0 0 .0 0
$539
$1,031
91.3
N ew England___ _______________________ ____ ___
Connecticut_______ _______ ______ ___________
M aine____ ___________________ _ __________
M assachusetts______________ _________ _____
N ew Hampshire________________ ______ ____
Rhode Island_____________ . ___ ____ _ _____
Vermont____________________________________
8 .1 2
7.38
1.87
.61
3.71
.28
.70
680
764
474
719
548
678
483
1.214
1,452
1,036
78.5
90.1
118.6
67.0
50.9
90.6
84.5
M iddle E ast_______________ ______ _____________
Delaware.
_______ . . . . .
. . . ____ _ . .
District of C olum bia.______ _____ __________
M aryland.. ___________________ _____ ______
N ew Jersey_________ . . . _________ ________
N ew Y o r k _________ . . . .
...
...
Pennsylvania___
____ _ . ______ . . . . ___
W est Virginia____________________ ____ ____
32. 27
.29
1.15
1. 52
4. 05
16.01
8.24
1. 01
27. 51
.28
1.07
1.71
3.83
12.57
7.18
.87
711
771
1,031
634
746
825
589
378
1,198
1, 361
1, 304
Southeast _____________ ___________ ______. . .
Alabama___ ___________ _________ . ____
Arkansas________________________ __________
Florida____________ ____ ______ _____ _____ .
Georgia--------- ----------------------------------------------K entucky___________________________________
Louisiana__________________________________
M ississippi________ ________________________
North Carolina_____________________ _______ _
South Carolina___________________ _________
Tennessee_________________ _____________ . . .
Virginia______ _______________ . . ______ . . .
11.91
.96
1.16
1.28
1.19
1.17
.62
1. 54
.70
1. 2 0
1. 41
13.82
1.26
.69
1.51
1. 52
1. 20
1. 32
.78
1.63
.81
1. 39
1. 71
300
242
246
442
290
297
354
Southwest_________ ____ ________________________
Arizona _______ . _______________________ _
N ew M exico____________________ ______ . . .
O klahom a_________________ . . ___ . . . . . . ..
Texas _______________ _______ . . . . . . ___
5. 32
.32
.25
1.13
3.62
Central States_____ _ _. ._. _______________ _.
Illinois___________ _____ _____ _______________
Indiana. _________ ____________ ______ ____
Iowa. ______ _____ . . . _________ . . . ______
M ichigan______ . __________________________
M innesota_______________ __________________
Missouri ___________________________________
Ohio________________________________________
Wisconsin___ ______ ___ . . . __________ . __
28.46
7. 49
2. 39
N orthwest___________ ____________ ______ ____
Colorado_____________ _____________________
Idaho_______________________________________
Kansas_____________________________
______
M ontana.____ _______________________________
Nebraska____________________________________
North Dakota______ _______________ . . . . . .
South D akota______________ _______ ________
U tah________________________________________
W yom ing_____ ______ _____________________
4.39
.80
.30
.98
.41
.74
.30
.32
.34
Far W est.. . _______ ____ . . . __________________
California ________________ _____ ____________
Nevada ___________ _______________________
Oregon__________________ __________________
W ashington___________________ _____ _ _____
9. 53
7.15
United States___________________________________
1.84
.57
4.40
.38
.6 8
.25
.6 8
1 .6 8
4. 33
1. 95
2. 59
5. 8 8
2.15
.2 0
.1 2
.83
1.43
.2 1
1 ,2 0 1
827
1,292
891
1 ,2 0 0
1,282
1, 340
1,048
68.5
76.5
26.5
89.3
71.8
62.4
77.9
688
8 2 .0
308
261
295
402
652
603
512
874
647
609
714
484
619
576
649
820
117.3
149.2
108.1
97.7
123.1
105.1
101.7
140.8
5.94
.41
.25
1.15
4.13
386
461
341
340
401
790
805
656
729
818
28. 33
6.83
2. 69
1.65
4.83
1.71
2. 43
2.19
565
671
495
468
591
497
486
603
485
1,116
1,226
1,092
983
1, 230
916
896
1,204
1,003
5.00
.80
.35
1. 29
.36
.83
.38
.35
.47
.17
418
505
411
383
515
397
325
351
443
567
965
950
955
1,003
1,029
937
971
846
1,009
938
132.4
161.9
99.8
136.0
198.8
141.0
127.8
165.4
692
741
767
544
588
1,397
1,429
1,397
1,229
1, 368
101.9
92.8
82.1
125.9
132.7
6 .0 0
1 2 .0 2
8
. 76
.15
1 .1 0
2 .0 1
201
1 0 1 .0
120.7
1 2 0 .0
104.0
104.7
74.6
92.4
114.4
104.0
97.5
82.7
1 2 0 .6
.
108.1
84.3
84.4
99.7
106.8
110 0
130.9
8 8 .1
1 For source, see footnote 1, p, 1049.
2 Per capita income payments are derived by dividing total income payments by total population.
For 5 States, however, income was transferred from the State of the recipient’s employment to the State
of residence before per capita income was computed. These States are N ew York, N ew Jersey, District
of Columbia, Maryland, and Virginia. Data for armed forces and civilians outside continental United
States are excluded.
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1053
It is not possible to compute the average income of persons receiving
many of the types of income other than wages and salaries, and there
is of course much overlapping of income payments. Some wage earn
ers and many salaried employees, for example, receive dividend
payments or other income. It is apparent, however, from the avail
able information, that types of income payments other than wages
and salaries increased, on a per capita basis, to a much greater extent
than did wages and salaries.
The net income of agricultural proprietors rose from 4.3 billion dol
lars in 1939 to 12.3 billion in 1943. During this period the average
number of farm-family workers, according to estimates by the U. S.
Department of Agriculture, declined from 8,145,000 to 7,857,000.
Almost without exception, the increases in per capita income payments
in the States that are mainly agricultural were much greater than the
average increase of 91.3 percent for the country as a whole. The in
come of nonagricultural proprietors rose from 6.9 billion dollars in 1939
to 11.6 billion in 1943. The number of nonagricultural proprietors is
not known, but there is evidence that at least in some types of non
agricultural enterprise the number of proprietors declined. Interest
and net rents rose from 7.4 billion dollars in 1939 to 9.8 billion in 1943.
Dividend payments showed only a slight rise, from 3.8 billion to 4 bil
lion dollars. It should be noted, however, that corporate profits not
distributed as dividends rose from 0.4 billion dollars in 1939 to 4.9
billion in 1943. Corporate savings, or undistributed corporate profits,
although not a part of income payments, are nevertheless a part of
current income belonging to the owners of corporate enterprises. All
items classified as supplements to wages and salaries fell from 3.8 bil
lion dollars in 1939 to 3.2 billion in 1943.2
During the war an increased proportion of the population has re
ceived more than one form of income. The families of members of
the armed forces, a large proportion of whom are normally either
wage earners or salaried employees, have received wartime allowances.
The main factor tending to cause an overlapping of income payments
was the increased proportion of the population receiving wages and
salaries. It may be assumed that for the most part the overlapping
forms of income applied predominantly to classes other than wage
earners and that this group continued to depend almost wholly upon
wages.3
1 These estimates of income for 1939 and 1943 (subject to revision) are to be found in the April 1944 issue of
Survey of Current Business (U. S. Department of Commerce), p. 13.
3
The article here reviewed gives estimates of per capita income payments for the years 1929,1933, and 194042, as well as for 1939 and 1943. One of the tables gives State income payments by type of payment for the
years 1940 to 1943, the four types of payment being salaries and wages (combined), proprietors’ income,
property income, and other income. There is a detailed analysis of the redistribution of income payments
since 1941, with a discussion of the causes and significance of the shifts in the proportions of income payments.
The discussion includes such questions as the pre-war versus the wartime trends in the redistribution of
income payments and the problems of post-war readjustment as affected by the wartime redistribution of
income payments.
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Federal Reserve Bank of St. Louis
1054
Monthly Labor Review—November 1944
Wages and Hours in Canada, 1 9 3 2 -4 4 1
THE major series of wage and hour statistics compiled by the Cana
dian Government consist of an annual survey of wages and hours of
factory wage earners prepared in connection with the Census of
Manufactures; monthly reports on per capita weekly earnings in
manufacturing and nonmanufacturing industries from June 1, 1941,
onward;2 and annual wage rates and index numbers of wage rates for
selected industries and trades.3 Prom these records it is possible to
trace annual changes in both hours and wages. However, no statistics
are issued showing the monthly fluctuations in working time over a
period of years, and the average earnings have been compiled only
since mid-1941. For reference purposes the most recent wage and
hour data that are available, other than for agricultural and mine
workers, are assembled in the present summary.4
Hours of Labor
Collection of figures on hours of work of wage earners in Canadian
manufacturing industries began in 1932. Each firm was required to
report on the number of hours worked by its wage-earning employees
during the month in which the greatest number had been employed.
An exception was made, however, in 1938 and 1939, when hours in a
week in a month of normal employment were reported. Beginning
in 1940, overtime hours were included in the weekly hours for the
first time. Information on working hours has been recorded sepa
rately for males and females beginning with 1938. Owing to the
changes in method, the average weekly hours shown in the statement
below, for the years 1932-41, are not entirely comparable. The
averages do not represent weekly hours worked in a particular month
of the year, as the month of highest employment differs between
firms and industries.
Hours worked per week in manufacturing
Average
Males
Females
48. 9
(x)
)
48. 7
C1)
)
49. 2
(x)
C1)
48. 7
)
C1)
48. 7
)
)
48. 8
C)
)
1932________ __________
1933________ __________
1934________ __________
1935________ __________
1936________ __________
1937________ __________
1938________ __________ 46.
1939________ __________ 47.
1940________ __________ 2 50.
1941________ __________ 2 50.
1
2
0
0
7
2
1
5
0
0
0
47.
48.
50.
51.
0
3
1
9
5
44.
45.
47.
47.
6
2
3
1
Available only beginning with 1938.
Includes overtime.
Weekly hours in 1941 are given in table 1 for the leading male- and
female-employing industries. The average working time for males
1 The data on which this article is based are from Canada Yearbook 1942; The Manufacturing Industries
of Canada, 1941; and Annual Review of Employment and Pay Bolls in Canada, 1943—all issued by the
Dominion Bureau of Statistics, Ottawa; Canadian Labor Gazette (Ottawa), April and September 1944;
and International Labor Review (Montreal), April-M ay 1944.
2 The Census of Manufactures covers all establishments, irrespective of number of employees; however,
the m onthly surveys are limited, in the main, to establishments ordinarily employing 15 persons or over.
3 For wage-rate data see M onthly Labor Review, January 1943 (p. 138).
4 For a statement on the wage-stabilization program that prevented extensive wage-rate increases in 1942
and afterwards, see M onthly Labor Review for December 1941 (p. 1392), September 1942 (p. 466), January
1944 (pp. 69-70), and M ay 1944 (p. 998).
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Federal Reserve Bank of St. Louis
«
1055
Wage and Hour Statistics
was 50 hours or oyer per week in three-fourths of the 40 leading manemploying industries as compared with one-tenth of the 40 leading
woman-employing industries.
T a b l e 1.—Average Hours Worked per Week in the Leading Male- and Female-Employing
Industries in Canada, 1941
Industry
A verage
hours
per
week
Males
Industry
Average
hours
per
week
Females
Average (40 industries)
51.6
Average (40 industries)
47.7
Sawmills____________ __________________
Pulp and paper________________________
Railway rolling stock___________________
Primary iron and steel__________________
Aircraft_______________________________
Shipbuilding and repairs___________ ____
Automobiles___________________________
Electrical apparatus and supplies________
Machinery____________________________
Miscellaneous chemical products________
Bread and other bakery products________
Cotton yarn and cloth__________________
Nonferrous-metal smelting and refining...
Castings, iron__________________________
Automobile supplies_______________ ____
Slaughtering and meat packing__________
Furniture_____________________________
Brass and copper products______________
Rubber goods, including rubber footwear..
Sheet-metal products___________________
Planing mills, sash and door factories____
Miscellaneous iron and steel products____
Boots and shoes, leather________________
Hardware and tools___________ _________
Printing and publishing________________
Clothing, m en’s factory_________________
Hosiery and knitted goods.____ _________
Agricultural implements.......... .............. .
Printing and bookbinding______ ________
Silk and artificial silk__________ _____ _
Bridge and structural steel_____ ____ ____
Clothing, women’s factory______________
Heating and cooking appliances.................
Acids, alkalies, and salts______ __________
Wire and wire goods_____ _____ _________
Fruits and vegetable preparations_______
Biscuits, confectionery, etc______________
Aerated and mineral waters_____________
Woolen cloth____ ____ _________;_____
Petroleum products___ ____ ____________
54.7
53.0
45.6
51.7
53.4
52.4
45.2
54.1
55.8
50.6
52.8
50.2
48.4
53.7
53.8
52. 2
50.6
52.8
50.1
51.3
52.4
54.3
49.4
55.4
44.2
45.7
50.9
50.3
45.9
50.9
52.8
44.9
52.0
49.4
52.9
53.4
53.0
52.2
53.8
42.9
Clothing, men’s factory_________ _____
Clothing, women’s factory_____________ _
Hosiery and knitted goods______________
Cotton yarn and cloth__________________
Boots and shoes, leather________________
Electrical apparatus and supplies________
Miscellaneous chemical products________
Biscuits, confectionery, etc______________
Fruit and vegetable preparations________
Tobacco, cigars, and cigarettes__________
Rubber goods, including rubber footwear. .
Bread and other bakery products...........
Boxes and bags, paper__________________
Printing and bookbinding______________
Silk and artificial silk___________________
Woolen cloth__________________________
Hats and caps__ _______________________
Miscellaneous iron and steel products____
Miscellaneous leather goods__________ . . .
Woolen yam _________________________ _
Miscellaneous paper products___________
Narrow fabrics, laces, etc________________
Aircraft_______________________________
Sheet-metal products___________________
Automobile supplies____________________
Corsets________________________________
Slaughtering and meat packing__________
Medicinal and pharmaceutical prepara
tions_____________________ ____ ______
Printing and publishing________________
Hardware and tools__________________...
Foods, miscellaneous......................................
Gloves and mittens, leather_____________
Fur goods_____________________________
Jewelry and electroplated ware_________
Brass and copper products______________
Miscellaneous cotton goods______ _______
Clothing contractors, m en’s _____________
Machinery__________________ __________
Glass products_________________________
Tobacco processing and packing_________
46.4
45.7
47.5
48.7
49.2
50.0
48.2
48.4
49.2
45.8
45.4
46.4
48.9
45.8
46.2
50.8
45.8
48.6
46.9
48.2
46.9
52.8
51.4
47.5
48.7
45.6
47.2
44.3
41.3
49.9
44.9
47.6
46.3
48.4
48.1
46.4
45.5
49.2
45.8
45.2
Scheduled weekly hours of skilled and unskilled labor, by occupa
tion, in certain Canadian cities as of October 1942, appear in table 2.
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Federal Reserve Bank of St. Louis
1056
Monthly Labor Review—November 1944
T a ble 2. — Scheduled Weekly Hours of Work, by Occupation, in Selected Canadian
Cities, October 1942
Scheduled weekly hours in—
Industry and occupation
Halifax M ontreal Ottawa
Mechanical engineering:
Fitters and turners________ _______
Iron molders------------------------------ ..
Patternmakers.. _ -------------- -----------Laborers_____ . . . . . . .
______
Building:
Bricklayers and masons__________ Structural-iron workers.- . . . . _____
___ .
Concrete workers______ .
Carpenters and joiners____
___ . .
Painters___________ . . . . . . . . . .
Plumbers. . ______________________
Electrical fitters. ____________ ____
Laborers___________________ ______
Furniture making:
Cabinetmakers_____
____________
Upholsterers. _ . . . _____________
French Dolishers
______ _______
Printing and bookbinding:
Hand compositors, book and job_____
Machine compositors, book and jo b ...
Machine tenders________ _________
Bookbinders__________ _________
Laborers .. . . . . .................................
Food industry:
Bakers------- ---------------------- ------Electric-power distribution:
Electrical fitters___________ ________
Laborers__________ ______________
Transport:
Streetcars and busses:
D r iv er s________________ ____
Conductors____________________
Cartage:
Motor drivers_______________ . .
Railways:
Goods porters__________________
Permanent way laborers.. . _____
Local authorities:
Laborers__________________________
Toronto
Van
couver
Winnipeg
44
44-48
44
44-54
40-60
48-60
48-60
44-60
44-50
40-60
40-60
40-60
40-60
40-60
45-60
40-60
44-48
44-48
44-48
44-48
40-52
44-54
50-54
44-54
44
44
44
44
44
44
44
44-48
44
44
44-50
44
44
44
44
44-50
44
44
44-50
44
44
40
40
44-50
40
44
44-50
40
40
40
40
44-50
40
40
40-48
40-44
40-44
40-44
40-44
40-48
44
44
44-48
44
44
44
44
44-48
44-46j^
44' '
44
43-48
44
43-48
44-50
4234-50
42j|-50
48
44-48
44-48
44-48
44-48
44-48
44-48
44-48
40-48
40-48
40-48
40-48
44
44
44
44
44-55
44-49
47-55
44-48
44-48
44-48
44-47
44
44
44
44
44
54
48-60
56
48-56
48
50-56
44
44
48-54
48
44-48
44-48
40-48
40
44
44
48
48
44
44
54
54
44-48
44-48
48
48
42
42
44-54
53-60
53-60
45-60
44-54
48-52
48
48
48
48
48
48
48
48
48
48
48
48
48-54
44-60
44
44
40
44-49
493^
49K
Wages of Labor
According to the Census of Manufactures, earnings of both male
and female workers rose gradually between 1934 and 1941. In the
latter year average annual earnings were $1,355 5 for males and $736
for females; average weekly earnings were $27.72 and $15.05, re
spectively; and average hourly earnings were 54 cents for males and
32 cents for females.
The Canadian Government has also issued statistics of real wages,
computed by dividing the index number of average yearly wages (as
ascertained for wage earners in the Census of Manufactures) by the
official index of cost of living. According to these statistics real
wages dropped appreciably between 1931 and 1933 and then rose ir
regularly through 1941. However, the advance in real wages was
smaller than for annual money wages as the rise in living costs par
tially offset the increase in money wages. Table 3 shows the average
earnings for male and female workers in selected years, 1934-41, and
the index numbers of money wages, cost of living, and real wages for
the years 1931-41.
* All wages are quoted in Canadian currency.
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Federal Reserve Bank of St. Louis
1057
Wage and Hour Statistics
T a b l e 3. —Average Earnings, by Sex, and Index Numbers of Money Wages, Cost of
Living, and Real Wages in Manufacturing Industries in Canada, 1931-41
[Wages are quoted in Canadian currency]
Average earnings of females
Average earnings of males
Year
1931_____
1932_____
1933_____
1934_____
1935
1936........1937_____
1938_____
1939_____
1940_____
1941_____
Index numbers (1935-39=100)
of—
Real
value of
average
yearly
earnings
Per year Per week Per hour Per year Per week Per hour
Average
yearly
earnings
Cost of
living
)
)
)
$0 . 25
.26
.26
101.9
90.6
83.4
89.1
93.3
96.1
109.1
99.0
94.4
95.7
96.2
98.1
93.4
91.5
88.3
93.1
97.0
98.0
(>)
.27
.28
.29
.32
1 0 2 .6
1 0 1 .2
1 0 2 .2
104.6
116.3
130.9
101.5
105.6
111.7
102.3
100.4
103.1
(>)
(>)
0 )
$930
966
995
(0
1,055
1,076
1 ,2 0 2
1, 355
)
)
)
$20. 31
20.41
20.92
0
0
0
(0
21.49
22.23
24.83
27.72
(0
(0
(0
0 )
(■)
$0. 41
.41
.42
0 )
(>)
$539
570
577
(>)
(')
$11.80
12.04
)
594
619
655
736
(0
1 2 .1 0
0
)
.45
.46
.49
.54
0
1 2 .2 0
12. 78
13. 52
15.05
0
0
0
103.5
1 1 0 .1
117.2
i D ata not available.
T a b le 4. —Average Weekly and Hourly Earnings in the Leading Male- and Female-
Employing Industries in Canada, 1941
[Wages are quoted in Canadian currency]
Average
earnings
Average
earnings
Industry
Industry
Per
week
Per
hour
Per
week
Males
Average (40 industries)........................ $28. 31
$0. 55
Females
Average (40 industries)...... ................ . $15.04
$0. 32
23.66
19. 67
18. 75
17. 53
17.45
16. 99
16.91
16. 87
16.81
16.78
16.38
.46
.43
.39
.37
.38
.35
.37
.36
.34
.35
.36
16.06
15.93
15.70
15. 62
14. 96
14.94
14. 92
14. 92
14.88
14. 73
14. 63
14. 47
14. 37
.35
.31
.32
.32
.30
.28
.31
.33
.31
.32
.31
.31
.31
14.03
13.91
13.89
13.87
13. 81
13.81
13. 47
13.27
. 32
.30
.29
.28
.29
,28
.29
.28
13.10
13.01
12.93
12.87
12.51
12.47
11.97
11.55
.27
.27
.29
.28
,30
.25
.26
.25
Automobiles____________________
Automobile supplies----------- ----------Bridge and structural steel-................
Petroleum products_______________
Aircraft__________________________
Pulp and paper........... . . . ......................
Railway rolling stock______________
Shipbuilding and repairs......................
Nonferrous-metal smelting and re
fining.............................................
Electrical apparatus and supplies..
Miscellaneous iron and steel products.
M achinery_______________________
Brass and copper products.................
Primary iron and steel— ....................
Castings, iro n .------ ---------------- -----Miscellaneous chemical products----Clothing, women’s factory-------------Printing and p u b lish in g ........... .........
Acids, alkalies, and salts----------------Wire and wire goods---------------------Rubber goods, including rubber
footwear________________________
Slaughtering and meat packing.........
Hardware and tools_______ ____ ___
Printing and bookbinding.................
Clothing, men’s factory-----------------Sheet-metal products______________
Heating and cooking appliances.........
Furniture------ ------ ------------- --------Agricultural im plem ents.....................
Woolen cloth____________ _______ _
Silk and artificial silk........... ................
Hosiery and knitted goods------------ Biscuits, confectionery, e t c . . .............
Aerated and mineral waters................
Bread and other bakery products___
Cotton yarn and cloth------------------Fruit and vegetable preparations---Planing mills, sash and door fac
tories........ .............. .............................
Boots and shoes, leather...... ................
Sawmills..................................................
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Federal Reserve Bank of St. Louis
40. 57
35.09
34.65
34.27
33. 74
33. 53
33.19
32.09
32.01
31.75
31.61
31. 50
31.21
29.80
29.68
29. 57
29. 53
29. 52
29.10
28. 67
28. 52
28. 50
27.78
27.71
27. 34
27. 22
25.98
23.97
23. 79
23.16
22.83
22.25
22.24
2 2 .1 2
2 2 .0 1
2 1 .6 8
21.41
2 1 .2 2
20. 78
19.03
.90
.65
.6 6
.80
.63
.63
.73
.61
.6 6
.59
.58
.57
.59
.58
.55
.58
.6 6
.67
.59
.54
.57
.55
.50
.60
.60
.53
.50
.47
.47
.43
.45
.44
.42
.42
.42
.43
.40
.41
.42
.35
Aircraft.. _____________ _______
Fur goods_______________________
Automobile supplies______________
Slaughtering and meat packing____
Clothing, women’s fa cto ry ________
Brass and copper products____ ____
Clothing contractors, men’s ________
Sheet-metal products______________
Electrical apparatus and supplies___
Miscellaneous chemical products___
Hats and caps____________________
Rubber goods, including rubber
footw ear____
_______________
Woolen cloth . . . ______ _ _______
M achinery..
. . _ _______ ______
Cotton yarn and c lo th .._ _________
Hardware and tools_______________
Narrow fabrics, laces, etc___ _______
Woolen yarn___
.
. _______
Tobacco processing and packing____
Jewelry and electroplated ware_____
Clothing, men’s factory__ _______ _
Miscellaneous paper products______
Miscellaneous cotton g o o d s _______
Glass products__________________ .
Medicinal and pharmaceutical preparations _ ------- --------------- ----_____
Silk and artificial silk_____
Hosiery and knitted goods__ ____ _
Fruit and vegetable preparations___
Miscellaneous leather goods. _____
Boxes and bags, paper. ___________
Printing and bookbinding __ . ..........
Gloves and mittens, leather______
Miscellaneous iron and steel products. __________ ____________
Biscuits, confectionery, etc_________
Miscellaneous food products_______
Tobacco, cigars, and cigarettes_____
Printing and publishing___________
Boots and shoes, leather . . . ______
Corsets___. . . _______ _______ _____
Bread and other bakery products___
Per
hour
Monthly Labor Review—November 1944
1058
For the leading male- and female-employing industries in 1941,
average weekly and hourly earnings are given in table 4. For males
the only industry in which weekly wages were under $20 was sawmilling (average $19.03); in contrast the only industry in which fe
males averaged over $20 weekly was aircraft (average $23.66).
T a b l e 5. —Hourly Wages of Adult Male Workers, by Occupation, in Selected Canadian
Cities, October 1942
[Wages are quoted in Canadian currency]
Hourly wages in—
Industry and occupation
Halifax
Mechanical engineering:
Fitters and turners
_
. . .
Iron molders________ .
_______
Patternm akers______
Laborers_______ _______ ___________
Building:
Bricklayers and masons_____________
Structural-iron workers________ ____
Concrete workers._ _________ . . . . . .
Carpenters and joiners______
Painters__ ________
Plumbers_______ _________________
Electrical fitters. _________ . .
Laborers_______________
Furniture making:
Cabinetmakers. _________________
Upholsterers_______________
......
French polishers... ______ __________
Printing and bookbinding:
Hand compositors, book and job_____
Machine compositors, book and jo b ...
Machine minders __________________
Bookbinders_____________ ______ _
Food industry:
Bakers.. _______________ ________
Electric-power distribution:
Electrical fitters. _______ _
L aborers__________________________
Transport:
Streetcars and busses............ ................
Cartage:
Motor drivers_______ _ . . . . .
Railways:
Goods porters________
_______
Permanent w ay laborers________
Local authorities:
Laborers . . _______________________
i $0. 72
>.83
>.83
'.47
i 1.10
i. 75
i. 50
>.80
i. 73
1.95
' 1.00
i. 45
M ontreal
1
$0. 75
1.73
i.90
1.43
2. 92
2. 87
2. 58
2. 81
2. 74
2. 95
2. 87
2. 46
Ottawa
1
$0. 69
1.65
1.70
i.40
3 1.10
.90
.55
4. 90
.75
4 1.05
.90
2.45
'.60
1. 70
1.48
Toronto
1
$0. 73
1.73
1. 78
1.50
Van
couver
1
$0 . 9 3
1.85
1.95
1.50
$0 .68
1.65
1. 70
1.40
1.23
1. 23
.65
5.90
.90
1.13
1.13
5.50
2 1.15
2.90
.55
2 .95
2. 75
2 1.05
.95
. 48
7. 63
8.85
8.70
8. 65
8. 80
i°. 57
®.55
8. 70
8.60
i°. 82
1.78
io. 80
1
». 66
». 67
i°. 82
i°. 82
1.70
1.70
io. 77
10. 7 9
1
1 1 .0 0
8. 46
1 0 .4 4
8. 48
3. 82
5.40
5. 70
5. 39
13.73
13. 38
1
7. 65
18.60
7. 54
1
8. 43
1.40
8.40
1
5. 50
5.43
5. 50
5.43
5. 50
5.43
23. 45
24. 42
25.50
1
1
1.13
.90
.65
4 1.00
.85
4 1.10
4 1.10
8. 55
4
n.66
1
Winni
peg
1.48
1.00
1.00
1 .6 8
4. 96
i4.60
15 1.06
15. 56
«. 6 8
20.69
. O
12 8
.75
12.75
12
. 47
1
is. 89
‘8.43
. 59
21
. 59
1.45
5. 50
5.43
5. 50
5.43
6. 50
5. 4 3
25.63
28.59
27.48
. 50
22
Plus cost-of-living bonus of $0.60 to $4.25 per week.
Plus cost-of-living bonus of 5 cents per hour.
Plus cost-of-living bonus of 2 cents per hour.
Plus cost-of-living bonus of 3 cents per hour.
Plus cost-of-living bonus of $4.25 per week.
Plus cost-of-living bonus of 7 cents per hour.
Plus cost-of-living bonus of $0.60 to $2.85 per week.
Plus cost-of-living bonus of 60 cents per week.
Plus cost-of-living bonus of $0.60 to $2.45 per week.
Plus cost-of-living bonus of $0.60 to $3.10 per week.
Plus cost-of-living bonus of $0.60 to $3.45 per week.
Plus cost-of-living bonus of $0.60 to $3.70 per week.
Plus cost-of-living bonus of $2.17 per week.
Plus cost-of-living bonus of $3.85 to $4.25 per week.
Plus cost-of-living bonus of 2.5 cents per hour.
Plus cost-of-living bonus of $1.85 per week.
One-man tram operators. Plus cost-of-living bonus of $4.25 per week.
18 One-man tram operators and bus drivers, 65 cents. Plus cost of living bonus of $3 per week.
18 One-man tram operators and bus drivers, 73 cents. Plus cost-of-living bonus of 60 cents per week.
20 One-man tram operators and bus drivers, 75 cents. Plus cost-of-living bonus of $1.75 per week.
21 One-man streetcar operators and bus drivers, 73 cents.
Plus cost-of-living allowance of $1.85 per week.
22 Plus cost-of-living bonus of $0.60 to $1.85 per week.
23 Plus cost-of-living bonus of $2.40 for married and $1.50 for single workers per week.
24 Plus cost-of-living bonus of $2 per week.
25 Plus cost-of-living bonus of $ 2 for married and $1 for single workers per week.
28 Plus cost-of-living bonus of $ 1 2 for married and $ 6 for single workers per month.
27 Plus cost-of-living bonus of 4 cents for married and 2 cents for single workers per hour.
1
2
3
4
3
6
7
8
8
10
11
12
13
14
15
16
17
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1059
Hourly wages of adult males by occupation in selected cities are
shown in table 5 for October 1942. With a few exceptions bonus
payments supplemented the hourly wages at the time covered by
the figures.
Since June 1, 1941, the Canadian Department of Labor has com
piled monthly statistics of per capita weekly earnings in manufacturing
and certain non manufacturing industries. Previously, no information
regarding earnings was published on a monthly basis. The per capita
weekly earnings in the eight leading industry groups, including manu
facturing, and in manufacturing alone, are shown in table 6, by months,
from June 1 , 1941, through July 1 , 1944. In the period of 3 years
during which the statistics have been compiled, weekly earnings in
creased by more than one-fourth.
T a b l e 6 .— P er
Capita Weekly Earnings in Canadian Industry, June 1, 1941 to
July 1, 1944
[Wages are quoted in Canadian currency]
Per capita weekly
earnings in —
Month
8
mi
June__________
July___________
August________
September_____
October_______
November_____
December_____
leading
indus Manufac
turing
tries 1
$25.25
25.49
25.69
26.04
26.37
27.02
27. 32
$25.57
25.82
26. 06
26.22
26. 80
27.59
28.15
26.13
27.65
27. 92
28. 41
28. 59
28.20
28. 49
28. 62
29.29
29.51
29.81
30.06
26. 32
28. 39
28. 58
28. 94
29.19
28. 73
29.16
29. 08
29. 72
30.15
30. 70
31.17
19JtZ
January_______
February______
March..............
April__________
M ay---------------June___ _______
July.................... .
August________
September_____
October________
November....... .
December........ .
Per capita weekly
earnings in —
M onth
8
leading
anufac
indus Mturing
tries 1
1943
January. . . . . . ___
February.._ _____ _
March_______ _
April___
M ay__
June___ _
July_______________________
August__________
September___ .
October________ .
N ovem ber... .
D ecem ber...
27.92
29.96
30.72
31.14
30. 59
30.93
30.97
31.06
31. 30
31. 53
31. 60
31. 61
28.11
30. 65
31.49
31. 81
31.09
31. 62
31.62
31.77
32. 03
32. 37
32.62
32.86
19U
January________
February... _ .
M arch...
A pril_____
M a y___
June____
July--------------------------------
29.69
31. 76
32. 27
32.37
32.26
31.80
31.71
30.18
32. 76
33.23
33.28
32. 92
32.64
32.44
i
M anufacturing, logging, mining, communications,
transportation, construction and maintenance
services, and trade.
Daily Wage Rates and Earnings in Chile in 1943 1
A SAMPLE study covering 75,165 workers in 891 establishments in
various industries in Chile in 1943 showed that the average daily
wage rate was 29.11 pesos.2 When overtime and other compensation
were added, the total average daily earnings amounted to 34.04 pesos.
The highest average daily wage rates, 36.74 and 33.48 pesos, were
paid by the electrical and the textile industries, respectively. Workers
in the electrical industry had also the highest daily average earnings,
39.05 pesos; and mining workers with an average of 37.89 pesos ranked
1 Data are from report of Daniel L. Horowitz, senior economic analyst, United States Embassy at
Santiago, August 24, 1944 (No. 400).
J
2 Average exchange rate of peso in 1943=3.2 U . S. cents.
614112—44-
J1
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1060
second in earnings. About 65 percent of all the workers received a
daily wage rate above 30 pesos. The miscellaneous manufacturing
group paid both the lowest average daily wage rates (17.09 pesos)
and the lowest average daily earnings (17.23 pesos). The woodwork
ing industry came next with 19.37 and 20.37 pesos, respectively.
The survey included records of additional compensation paid.
Twenty-eight percent of the workers received compensation for over
time, amounting to an average of 5.85 pesos per day, and 46 percent
of them received an average of 7.19 pesos per day in other types of
additional compensation. Thirty-nine percent of the tobacco workers,
38 percent of the mine workers, and 26 percent of the food workers
received overtime compensation. Over 68 percent of the mine
workers, over 62 percent of the chemical workers, and almost 58 per
cent of the tobacco workers received other types of additional daily
compensation.
The following table gives for each of 16 industries and the mis
cellaneous manufactures the number of establishments and workers
covered in the survey, the number of workers per establishment, and
the daily average of the wage rate, additional compensation, and
earnings.
Average D aily Wage Rates and Earnings in Various Industries in Chile, 1943
Number of
workers
Additional com
pensation *
Average
total
daily
Over Other earn
ings
time
N um
ber of
estab
lish
ments
studied
Total
Aver
age per
estab
lish
ment
All groups________________________________
891
75,165
84
Pesos
29.11
Pesos
5. 85
Pesos
7.19
Pesos
34.04
M ining. ---------------- ---------- --------------------Forestry and fish in g... _ . . . --------- . . . ---Livestock r a isin g _______ _______
...
Food____ . _ ____________ _______ ____ _
Beverage and liquor.. . . . ______ ______
T obacco... . . . __________________________
Textiles______
..
___ . . _______ . . .
Chemical_______
_____________________
Metallurgical_____ .
._ . . . . . ______
Transportation_______________ . . . _______
Stone, clay, and glass __________________ . .
Electrical .
. . . . ._
_. . . .
Leather and leather goods. . . .
_______ _
Woodworking_____ _ _. . ___ __________
Printing, photoengraving, jewelry, and mu
sicians___________________________ ____
Building and construction
Other manufacturing______________________
58
14
5
207
56
3
82
36
74
52
24
47
53
98
36, 754
810
186
5, 575
2,636
437
6, 395
2,685
3,089
4,129
2,137
2, 979
1,924
3,105
634
58
37
27
47
146
78
75
42
79
89
63
36
32
30. 43
33.15
31.37
24. 57
24. 95
19. 54
33.48
27. 24
27.14
26. 92
28.70
36.74
23.15
19. 37
5. 23
5.51
3. 70
6. 33
7.00
2.18
5.65
8.03
8.31
7.10
12. 05
7.76
3. 38
6.11
8. 02
4.16
5. 60
4. 54
3.87
8. 04
6. 99
4.97
2. 72
5. 49
2. 03
5.46
4. 42
2.25
37.89
33. 80
33.68
27.68
27. 60
25. 04
35.71
31.73
29.82
30. 81
30. 20
39.05
23. 54
20.37
51
15
16
1, 506
513
305
30
34
19
33.18
25.41
17.09
9.56
9. 28
21.67
.97
1.95
36.14
25.46
17.23
Industry group
Average
daily
wage
rate
1 Averages apply only to workers receiving such compensation.
The largest number of workers employed in any one field (48.9
percent of the total) was in mining, though mines constituted only
6.5 percent of the 891 establishments. The average number of workers
per mine was 634. The next largest industrial group (8.5 percent of
all) was found in the 82 textile plants (9.2 percent of all the establish
ments surveyed), which had an average of 78 workers each. The
207 establishments in the food industry constituted 23.2 percent of
all establishments but employed only 7.4 percent of the workers.
Transportation accounted for 5.8 percent of the establishments and
the next largest group of workers (5.5 percent).
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Federal Reserve Bank of St. Louis
Wage and Hour Statistics
1061
Earnings and Working Hours in the United Kingdom,
January 19441
BETWEEN July 1943 and January 1944, earnings of wage earners in
manufacturing and in the chief nonmanufacturing industries in the
United Kingdom rose and the workweek declined. Weekly earnings
increased 2s.2 to an average of 95s. 7d., although hourly earnings
remained almost stationary. The decline of 0.8 hour in working time,
to a 49.2-hour average, was attributed largely to seasonal factors.
Average weekly and hourly earnings and average weekly hours of
work are shown in the following table, by industry and by sex and age
group, for the last pay week in January 1944.
Average Weekly and Hourly Earnings and Weekly Hours in Manufacturing and Principal
Nonmanufacturing 1 Industries, United Kingdom, January 1944 2
Males
Industry group
Females
All
workers3 21 years of Under 21 18 years of Under 18
age and
years
years
age and
over 4
of age
over 3
of age
Average weekly earnings 5
All groups.____________________________ _______
Iron, stone, etc., mining and quarrying..__________
Treatment of nonmetalliferous mine and quarry
products_________________________ __________
Brick, pottery, and glass. __________
________
Chemical, paint, oil, etc______________
_______
Metal, engineering, and shipbuilding. ____________
Textiles_________________________________ . ___
Leather, fur, etc_______ _. _____________ _.
Clothing
_ . . . ___ _____ . . . _____________ .
Food, drink, and tobacco..
_______ __________
Woodworking________ __________ _ __________
Paper, printing, stationery, etc. . . ______________
Building, contracting, etc. ______ . . . . . . . . .
Miscellaneous manufacturing industries
______
Transport, storage, etc. (excluding railways) . _____
Public utility services ______________________ . . .
Government industrial establishments__ ________
s.
d.
95 7
90
s.
d.
123 8
1
98 5
79 3
93 0
111 2
64 11
76 8
56 0
74 8
79 5
84 2
93 7
87 5
98 8
81 6
111 1
96
s.
d.
46 10
d.
9
s.
d.
34
3
51 7
59 2
46 1
49 11
43 8
65 3
50 8
71 8
41 9
53 8
41 4
51 11
40 4 , 50 10
40 11
53 1
37 7
57 10
34 5
53 4
42 4
60 4
48 5
62 1
46 2
74 8
36 10
48 0
50 5
84 0
34
8
30
3
31
6
39
2
35
8
1
31
30 10
31
7
34
0
28 11
(«)
36
3
(9)
28
1
40
4
0
109 7
106 0
120 2
141 10
97 8
103 6
101 2
104 0
102 6
119 2
101 6
126 1
108 3
90 5
134 6
s.
51
63
1
(«)
(s)
Average hourly earnings 5
All groups._________________ ____________ _______
Iron, stone, etc., mining and quarrying____________
Treatment of nonmetalliferous mine and quarry
products______________ _____ . _______________
Brick, pottery, and glass. .
__________________
Chemical, paint, oil, etc. . . .
. . . . . . . . . . . . . . ___
M etal, engineering, and shipbuilding. _ _ ______
. ______________ ____
_ . ..
Textiles______
Leather, fur, etc______________ ._ ___
..
___
Clothing _______ ___________ . . . ._ . _____
Food, drink, and tobacco_______________ . . . . . . . . .
W oodw orking... ________ . . . . ____________ _ . . .
Paper, printing, stationery, etc___________________
Building, contracting, etc____ ________________
Miscellaneous manufacturing industries. _________
Transport, storage, etc. (excluding railways)______
Public utility services___ __________________ ______
Government industrial establishments . ________
s.
d.
1 11.3
s.
2
d.
4.5
1 11.2
2
0.6
1
1.5
1
1
1
2
1
1
1
1
1
1
1
1
1
1
2
2 1.6
2 1.3
2 3.0
2 7.9
1 11.0
2 1.0
2 1.8
2
.0
2 1.0
2 5.4
2
.7
2 4.9
2 1.0
1 9.9
2 5.6
1
1
0
1
0
0
0
0
0
0
0
1
0
0
1
1.3
.1
11.4
.7
10.6
10.9
10.7
10.7
9.9
9.0
11.0
.4
11.4
9.5
.5
11. 5
7.9
10.6
2.3
4.5
7.5
3.2
6.8
8.2
9.6
11.0
9.7
11.4
8.3
2. 1
s.
d.
0 11.9
s.
1
d.
4.9
s.
0
d.
9.2
(0)
i 4.1
i 1.6
i 5.7
i 6.6
i 2.1
i
2.2
i
2.1
i
2.3
i 3.9
i 2.4
i
4.9
i 4.5
i 7.6
i 2.3
1 10.0
9.1
8.2
8.6
10.4
9.4
8.4
8.4
8.6
9.3
7.8
(«)
0
9.8
(«)
0
7.9
0 11.2
0
0
0
0
0
0
0
0
0
0
See footnotes at end of table.
Data are from Great Britain, M inistry of Labor Gazette (London), February and August 1944. For
comparable material, see M onthly Labor Review, M ay 1944 (p. 107), and July 1944 (p. 153).
2 Average exchange rate of pound (20 shillings) =$4,035 in 1943 and January 1944.
1
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1062
Average Weekly and Hourly Earnings and Weekly Hours in Manufacturing and Principal
Nonmanufacturing 1 Industries, United Kingdom, January 1944 2— Continued
Males
Industry group
Females
All
workers3 21 years of Under 21 18 years of Under 18
years
years
age and
age and
over 3
of age
over 4
of age
Average weekly hours5
All groups---------------------------------------- ----- — ...........
49.2
52.0
47.1
Iron, stone, etc., mining and quarrying------- ------Treatment of nonmetalliferous mine and quarry
products
------------- ----------------------------------Brick, pottery, and glass -------------------------- --------Chemical, paint, oil, etc
------- ------------ ------Metal, engineering, and sh ip b u ild in g -------------------Textiles.
---------------------------- -------------------------------------------------------Leather, fur, etc--------Clothing -------------- ------------------------ -- -----Food, drink, and tobacco------------------ . --------- Woodworking __________________________________
Paper, printing, stationery, etc---------- - --- Building, contracting, etc----- ---------------- ---------- Miscellaneous manufacturing industries----------------Transport, storage, etc. (excluding railways)------ —
Public utility services. . . .
. . . _ ----------- -Government industrial establishments-------------------
46.6
46.8
45.5
50.2
47.7
49.4
50.7
47.3
47.2
44.2
47.7
47.1
46.7
48.9
48.4
50.6
48.1
51.0
51.4
50.2
53.4
53.3
50.9
49.6
47.0
51. 9
49.1
48.6
49. 4
52. 4
51. 9
49.6
54.6
46.7
45.8
45.8
47.7
47.1
45.6
45.4
46.0
45.5
45.7
46.3
46.9
48.5
46.4
48.3
45.2
(6)
44.0
44.2
44.3
46.3
45. 6
43.9
43.2
44.7
43.6
44. 4
42.9
45.1
45.6
40.2
45.9
44.6
(8)
45.5
44. 4
43.9
45.2
45. 6
44.2
44.0
44.0
43.7
44. 4
(6)
44.2
(6)
42.5
43.4
1 The inquiry did not include coal mining, railway service, merchant shipping, and agriculture.
2 Based on the last pay week in January.
2 Two part-time women workers are included in the calculation as representing one full-time worker. The
women referred to are those who were employed for not over 30 hours weekly and who entered the employ
ment of the firms concerned after July 1941.
4
M en employed as part-time workers (for not over 30 hours weekly) who entered the employment of the
firms concerned after July 1941 are excluded. The numbers reported have been insignificant. Earnings
of this group averaged 36s. Id. in the last pay week of January 1944, and the hours worked averaged 18.1.
s For method used in calculating averages for both wages and hours, see Great Britain, M inistry of Labor
Gazette (London), August 1944.
6 The numbers reported were insufficient to provide a satisfactory basis for general averages.
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Federal Reserve Bank of St. Louis
Wage and Hour Regulation
Determination of Wage Rates for Mechanical and
Laboring Positions in the Federal Service 1
Sum m ary
ALMOST a million Federal employees have their wage rates set in
accordance with rates paid for similar work by private employers in
the respective localities. Most of these employees are in mechanical
trades and laboring positions, ranging from highly skilled occupations,
such as plate-printing at the Bureau of Engraving and Printing, ship
fitting and patternmaking at the navy yards, lithographing at the
Coast and Geodetic Survey and Weather Bureau (Department of
Commerce), Geologic Survey (Department of the Interior), and the
Hydrographic Office (Navy Department), to relatively unskilled
occupations, such as those common on construction projects and in
the custody and maintenance of public buildings. 2 The principle of
paying the prevailing wage rate has been recognized by Congress in
statutes dating as far back as 1862 when wage rates in the navy
yards were required to be so determined.
The level of the prevailing wage rate is usually determined, with
varying degrees of employee participation, by administrative pro
cedures, wage-board procedures, or collective bargaining.
Economic-stabilization policies, initiated in the fall of 1942, had
the effect of requiring National War Labor Board approval of all
new wage rates or changes in rates. Subsequently the Board dele
gated to several of the Federal agencies authority to make initial wage
determinations (subject, however, to Board review). Nevertheless,
the agencies have to make fewer wage surveys because of the fact
that the National War Labor Board has a schedule of rates for many
local areas which it has developed to settle wage-adjustment cases in
private firms.
Agencies Using Prevailing-W age P rinciple
The principle that the wage rates for mechanical trades and laboring
positions shall conform to the rates for similar work prevailing in
private industry in the locality can be traced in the statutes back to
1862 when Congress first made it apply to positions in the navy
yards. Since then, Congress has applied it to certain positions in
the Bureau of the Mint (1874), Bureau of Engraving and Printing
(1875), Government Printing Office (1895), Public Buildings Ad1 Prepared in the Bureau’s Division of Construction and Public Employment by P. Lucile Christman.
2 M ost positions in which the duties are the custody and maintenance of public buildings in the District
of Columbia, have their wage rates set by the Classification Act of 1923, as amended.
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Federal Reserve Bank of St. Louis
1063
1064
Monthly Labor Review—November 1944
ministration (1910), Panama Canal (1912), Tennessee Valley Author
ity (1933), Post Office Department (1940), and the Boulder Dam
project of the Interior Department (1940). 3
Some of the other agencies also have employees in ~mechanical
trades and laboring positions for which compensation rates are not
fixed by statute. For example, the War Department has many
employees in these categories at its manufacturing arsenals, quarter
master depots, and ordnance plants, and at the Army camps dotted
over the country. Likewise, the Department of the Interior has a
number in the Grazing Service and on reclamation work, such as the
construction, operation, and maintenance of dams; and the Depart
ment of Commerce has many employees in its Coast and Geodetic
Survey, who operate vessels or are in mechanical trades such as litho
graphing. Although not specifically required by law to do so, these
Departments have also adopted the same principle of paying prevailing
wage rates to these employees.
Methods Used to Determine the Prevailing Rates
Except for the act covering the Government Printing Office, the
statutes calling for the payment of prevailing wage rates do not
specify the method to be used to determine what the prevailing
rates are. In general, the agencies have used three methods: Wageboard procedures, administrative procedures, and collective bargain
ing. For all three methods wage surveys in the local areas must be
made. The main difference among them is at the point of deter
mination of the rate, once the survey has been made, and involves
the degree of participation by the employees themselves or their
representatives in the process of rate determination.
Administrative procedures provide for the smallest degree of
employee participation. There is no point at which employees
may offer information or protest proposed rates, prior to the pro
mulgation of the rate schedule. However, although formalized
procedures may not exist, there usually are some channels through
which employees may appeal from the rate schedules.
The situation is quite different under wage-board procedures.
Local wage boards are composed of management employees at the
establishment to which the rates are to apply; national boards are
composed of agency representatives, but may also include a public
3
For a fuller discussion of the application of the prevailing-wage principle prior to the current period, see
Closing Report of Wage and Personnel Survey, Personnel Classification Board, 1931, pp. 309-317. Statutory
references are as follows: N avy Department, 12 Stat. 587, July 16, 1862; Bureau of the M int, 18 Stat. 96,
June 20, 1874; Bureau of Engraving and Printing, 18 Stat. 372, March 3, 1875, and annual appropriation
acts, the most recent of which is P. L. 293, 78th Cong., April 22, 1944; Government Printing Office, 28 Stat.
608, sec. 49, January 12,1895, and 43 Stat. 658, June 7, 1924; Public Buildings Administration, 36 Stat. 708-709,
June 25,1910, and annual appropriation acts, the most recent of which is P. L. 358, 78th Cong., June 27,1944;
Panama Canal, 37 Stat. 560, August 24,1912, and recent appropriation acts, P. L. 352, 78th Cong.; Tennessee
Valley Authority, 48 Stat. 59, ch. 32, sec. 3, M ay 18, 1933; Post Office Department, 54 Stat. 76, March 25,
1940; and the Boulder Dam, 54 Stat. 779, July 19,1940.
The statutes applying to the N avy Department, Tennessee Valley Authority, and Boulder Dam project
clearly call for payment of the rates paid for similar work in the locality. The statute applying to the Bureau
of the M int calls for payment to workmen of “such wages as may be customary and reasonable according
to their respective stations and occupations,” while the statute covering the Government Printing Office
provides for the compensation of employees “ at such rates of wages and salaries * * * as [the Public
Printer] may deem for the interest of the Government and just to the persons employed.” The other
statutes provide for payment at rates not exceeding those paid for similar work in the locality. In the case of
The Panama Canal, for citizens of the United States up to 25 percent additional pay is permitted over
rates prevailing in the 48 States and District of Columbia.
The act covering the Post Office Department applies to the mechanical labor force including telephone and
switchboard operators employed in connection w ith the operation of public buildings under the jurisdiction
of the Post Office Department and is to be used in emergency situations only; thus far no such situation has
arisen.
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Federal Reserve Bank of St. Louis
i f age and Hour Regulation
1065
member or union representative.4 Furthermore, public hearings are
usually held (1) prior to rate determination, in order to afford the
employees an opportunity to introduce additional wage data or other
factual material to be taken into consideration in the rate-determina
tion process, and (2) after a schedule has been determined, in order
to hear appeals from proposed rates.
The collective-bargaining process goes even farther in the matter of
employeee participation, consisting as it does of employee and agency
representatives determining together mutually satisfactory rates.
Changes Resulting f f o m Economic Stabilization Policies
The initiation of the national economic stabilization policy in the
fall of 1942 had the effect of limiting the range of wage-rate fluctua
tion and entrusting the responsibility of wage-rate adjustments to
the National War Labor Board. Federal agencies wishing to add
employees in new types of positions or to open an establishment in
a new locality could (1) make a survey of wage rates paid for the
proposed occupations in private establishments in the locality and
submit the proposed rates or rate schedule based on these rates to
the National War Labor Board for approval, or (2) request a rate or
rate schedule for the locality from the National War Labor Board.
For many local areas the National War Labor Board already had a
rate or schedule (based in numerous cases on comprehensive surveys
by the U. S. Bureau of Labor Statistics) which had been developed
to settle wage-adjustment cases for private companies. It was
more efficient, therefore, for the Federal agencies first to request a
rate or schedule from the Board, and then, if none was available, to
make a wage survey for the area and submit the resulting rate or
schedule to the Board for approval. The result in any event was to
reduce the number of wage surveys which any given agency was
required to make.
Soon after the national economic stabilization policy was initiated,
the National War Labor Board at various times delegated to certain
Federal agencies the authority to determine wage rates for their un
classified5 positions, subject to national policy and general orders of
the National War Labor Board, and to ultimate review by the Board
on its own initiative.6 This delegation of authority did not change
existing procedures. In effect, it merely limited the responsibility
of the National War Labor Board to that of reviewing wage deter
minations instead of making them originally in areas where a rate
or schedule had not yet been established.
4 In addition to the purely local and purely national wage boards, there are boards with agency repre
sentatives from both the local establishment and the national headquarters.
5 The term “unclassified” is used throughout the article to indicate mechanical and laboring positions
for which wage rates are not established by statute or executive order.
6 The General Orders of the National War Labor Board delegating such authority to Federal agencies
were as follows: Nos. 14 and 37, War Department; No. 18, N avy Department; No. 19, Board of Governors,
of the Federal Reserve System; No. 20, U. S. Employment Service; No. 21, Department of the Interior;
No. 24, Department of Agriculture; No. 25A, Tennessee Valley Authority; No. 27, National Housing
Agency; No. 28, Government Printing Office; No. 32, Federal Deposit Insurance Corporation; No. 33,
War Relocation Authority; No. 34, Department of Commerce, and No. 35, Federal Security Agency.
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Federal Reserve Bank of St. Louis
1066
Monthly Labor Review—November 1944
Development of Procedures in Individual Agencies
WAGE-BOARD METHOD
Although the first statute calling for the payment of prevailing
wage rates to Federal employees covered only the navy yards, the
determination of wage rates in accordance with the locally prevailing
rates for comparable work was applied by the Navy Department to
all positions for which rates were not set by statute. Local wage
boards, composed of naval officers and civilian officials of the local
naval establishment, were created and data were collected from private
employers by letter or by personal interview. A national wage
board, composed of naval officers, civilian officials of the Navy De
partment, and public members (sometimes including union repre
sentatives), sat as a review board to hear appeals from the rate
schedules determined by the various local boards.
The Navy Department now determines wage rates for unclassified
positions, administratively, using, wherever available, wage schedules
of the National War Labor Board and wage data collected by the
War Department. If data are not available from these sources,
the Navy makes its own surveys. Almost half a million employees
in the Navy Department have their wage rates determined in this
way. Most of them work in the navy yards, but some manufacture
clothing, work in laundries, or at other mechanical or laboring jobs.
On July 28, 1868, borrowing from the experience of the Navy Depart
ment, the Chief of Ordnance of the War Department, with the ap
proval of the Secretary of War, applied to his division the principle
of the determination of wage rates in accordance with the locally pre
vailing rates in private establishments, and established wage boards
to carry out the principle. From time to time wage-board proce
dures were applied to other divisions of the War Department—
quartermaster, chemical warfare, medical, and one installation of the
Coast Guard Artillery. Each of these divisions had its own local
boards making surveys of wage rates in local areas. On September 23,
1942, however, wage-rate determination was centralized for the Army
Service Forces; in November 1943, except for certain types of opera
tions, it was centralized for the entire War Department,7 and is
used for well over a third of a million positions.
The method now used is a combination of wage-board and admin
istrative procedures. Local wage boards, composed of representatives
of each War Department establishment in the area,8 collect wage
information on approximately 50 occupations which are common in
the area but which are not necessarily the ones for which rates are
to be determined by the War Department. The purpose of the survey
is to ascertain the wage level for the area. On the basis of this level,
pay rates are set for each “grade” of work, jointly for the Army
Service, Ground and Air Forces. The job content for work at each
grade then is determined independently by the three Forces. How
ever, uniformity of rates for similar jobs is obtained through adminis
trative procedures.
7 Prior to November 1943, wage rates for unclassified positions in the Army Air Forces were determined
administratively. A national pay schedule was drawn up, showing seven different levels of skill, pay ranges
for each level, and a list of job titles included under each. An attempt was made to maintain comparability
between the ranges so established and those established for similar work by the Classification Act of 1923,
as amended.
8 Representatives of N avy Department establishments in the area are also invited to participate. Because
of the different nature of its jobs, the Army Transport Service has its own wage boards.
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Federal Reserve Bank of St. Louis
Wage and Hour Regulation
1067
The two main9 Bureaus of the Department of the Treasury having
unclassified positions—the Bureau of Engraving and Printing and
Bureau of the M in t10—utilize the wage-board method of determining
prevailing wage rates. Formerly a wage board of three persons was
composed of two Departmental representatives, the Director of
Personnel and one other person, plus a member of the staff of either the
Bureau of Engraving and Printing or the Bureau of the Mint, depend
ing upon which Bureau had rates under consideration. Now, mem
bership in the wage board is made up entirely of Departmental repre
sentatives. Employees, unions, and Bureau representatives are given
an opportunity to present information to the board, and the board
solicits other wage data from private employers and other Govern
ment agencies in the respective local areas. Because of the similarity
of many of the jobs at the Bureau of Engraving and Printing to those
at the Government Printing Office, the wage rates at the latter agency
(seep. 1069 for method of determination) are in large part used by the
former Bureau. As a matter of fact, Congress recognized the advis
ability of having identical rates for similar work at the two establish
ments 11 by providing the Bureau of Engraving and Printing with
funds to bring its wage rates up to the level at the Government
Printing Office.
Wage-board procedures are utilized also by The Panama Canal to
determine the wage rates of its 20,000 employees. Wage boards on
the Isthmus make surveys of local wage rates for the purpose of deter
mining the wage rates of employees who are natives of the Canal Zone,
but for positions filled by persons from the 48 States or District of
Columbia, wage boards base the rates upon those prevailing for com
parable jobs in the States, plus not more than 25 percent, as provided
originally in the Panama Canal Act (37 Stat. 560, approved August 24,
1912), and in the most recent appropriation act (P. L. 352, 78tli
Cong.).12
Until recently, the wage rates of vessel employees of the Commerce
Department were established by a wage board, known as the Manning
Scale Board, in accordance with rates paid by private steamship
companies in the respective localities where vessel operations took
place. However, with the transfer of the Bureau of Marine Inspection
and Navigation and the Bureau of Lighthouses to the Coast Guard
(formerly under the Treasury, now under the Navy Department),
and the transfer of the Bureau of Fisheries to the Department of the
Interior, the Manning Scale Board was dissolved. The wage rates of
the approximately 425 vessel employees remaining in the Commerce
Department under the Coast and Geodetic Survey, as well as of the
vessel employees transferred to the Coast Guard, are now determined
administratively.
Joint wage determination.—An attempt at joint wage determination
was made recently by the War, Navy, Commerce, and Interior De
partments when in December 1943 the Civil Service Commission,
rendered a decision exempting lithographic trades from the provisions
•T h e Procurement Division has approximately 100 unclassified positions, but is not discussed here.
10 The two Bureaus have a total of over 3,500 unclassified positions.
Hearings, Treasury Department, 1927, 69th Congress, 1 st session, November 27-December 27, 1925,
p. 561 et seq.
12 The wage board serving The Panama Canal also serves all other Federal agencies having mechanical
and laboring positions on the Isthmus, including the Panama Railroad Company, a Government corpora
tion with 5,800 employees.
11
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1068
of the Classification Act of 1923 as amended. A subcommittee of the
joint wage board, composed of representatives of the various agencies
and bureaus concerned, collected wage data for lithograpliie occupa
tions in the Washington, D. C., area; the suggested wage schedule was
approved and put into effect by the various agencies.
The use of joint wage boards by all agencies operating in a given
area is common outside the continental limits of the United States,
and since the war, these boards also serve other countries in the United
Nations group in some areas.
WAGE-BOARD OR ADMINISTRATIVE ACTION
Wage rates for the more than 3,000 unclassified positions in the
Department of the Interior are determined in a number of instances
by wage boards (with administrative approval), and in other instances
by administrative action. The wage boards (which have been
formed for the Boulder Dam, Columbia Basin, Central Valley,
Parker Dam Power, Boulder City Experiment Station, and certain
other projects) usually have both local and Washington representa
tion and are composed of persons familiar with the jobs to be per
formed, such as engineers and personnel classification specialists,
who are appointed by the Secretary on the advice of the special ad
viser on labor relations. The wage boards collect wage data in the
local areas and submit the suggested schedules to the Washington
office for review and approval by the Secretary. Because most of
the projects having unclassified positions are construction projects,
extensive use is made, at the review stage, of wage rates determined
by the Secretary of Labor under the Davis-Bacon Act (46 Stat. 1494,
as amended), which requires payment of prevailing wage rates by
contractors on Federal construction and repair projects in excess of
$2,000. Consideration is also given to these wage rates in making
rate determinations by administrative action. No formalized ad
ministrative procedures exist for appeal from any given rate or
schedule of rates determined either administratively or by the local
wage boards, but appeals are heard by the special adviser on labor
problems.
ADMINISTRATIVE ACTION
The Public Buildings Administration of the Federal Works Agency
is required, under the provisions of each appropriation act since the
one approved August 24, 1912 (37 Stat. 432), to pay its operating
force for public buildings outside the District of Columbia wage
rates not “ in excess of the rates current at the time and in the place
where such services are employed.” The Public Buildings Adminis
tration determines these rates administratively and in so doing
follows the principle of matching as closely as possible the per annum
rates established by statute for comparable work in the District of
Columbia. The PBA positions for which rates are determined in
this way now number about 900 and include assistant custodians,
janitors, watchmen, laborers, and charwomen; engineers, firemen,
elevator conductors, coal passers, electricians, dynamo tenders,
lampists, and wiremen; carpenters, plumbers, steamfitters, machin
ists, and painters.
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Federal Reserve Bank of St. Louis
Wage and Hour Regulation
1069
COLLECTIVE-BARGAINING METHOD
The collective-bargaining process is used to determine wage rates
of unclassified positions in only two Federal agencies:13the Government
Printing Office and the Tennessee Valley Authority. For the Govern
ment Printing Office, rates in occupations having 10 or more employees
(printers, pressmen, bookbinders, electrotypers, photoengravers, ster
eotypers, carpenters, and electricians) are determined by a conference
between the Public Printer and committees representing the employees
in the trades affected, subject to approval by the Joint Committee on
Printing. If agreement cannot be reached in the conference, the
rates are determined by the Joint Committee on Printing. Approxi
mately 2,500 employees have their wage rates determined in this
way.
Collective bargaining has been most fully developed in the deter
mination of wage rates for the 14,000 employees of the Tennessee
Valley Authority.14 Representatives of the Authority meet once a
year with representatives of the various employee unions, operating
through a Tennessee Valley Trades and Labor Council, and agree
on wage rates or changes in wage rates in accordance with those
prevailing for comparable work in the area, which shall be effective
for the following year. In case agreement cannot be reached, the
law requires that the question be submitted to the Secretary of Labor
for decision.
13
The Inland Waterways Corporation, whose capital stock was provided by the Federal Government
but whose employees are paid from operating revenues and are not regular Federal employees, also utilizes
collective bargaining to determine wage rates.
11 Collective bargaining is also usea in the annual conference to settle other problems of mutual concern to
labor and management, such as hours, working conditions, and procedures for handling grievances and
jurisdictional disputes.
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Federal Reserve Bank of St. Louis
Cost o f Living and Retail Prices
A
Retail Prices of Food in August 1944
THE average retail prices of foods in 56 large cities combined, on
August 15, 1944, compared with earlier dates, are shown in the following
table. Effective with this issue, the Bureau is discontinuing the
former practice of publishing preliminary data on foods and revising
the figures in the following issue. A detailed report will contain
final figures for the third month preceding the publication date. As
the food indexes for August were published in the October issue of
the Monthly Labor Review, they are not repeated here. The Decem
ber issue will include complete data for September and important
preceding periods.
Average Retail Prices of 78 Foods in 56 Large Cities Combined,1 August 1944, Compared
with Earlier Months
1944
1943
1941
1939
Aug. 15
Article
Cereals and bakery products:
Cereals:
Flour, w heat_____________ _ _ _ 1 0 pounds..
Macaroni_________ _ ____ _____ pound..
Wheat cereal 2 . _ _______ ___28 ounces..
Corn flakes. . ___________ . . -- 8 ounces.Corn meal_________________ ____pound..
Rice 2 ...... .................. ................ _______ do___
Rolled oats________________ ----------- do___
Flour, pancake 2. . _______ ___ 2 0 ounces..
Bakery products:
Bread, w hite_______________ -------- pound _
Bread, whole-wheat.________ ________ do___
Bread, rye_____ _________ _______do____
do___
Vanilla cookies_____________
Soda crackers___ __________ _______ do___
Meats:
Beef:
Round steak______________ ________ do___
Rib roast__________________ --------- do ___
Chuck roast_____ __________ _______ do___
Stew m e a t 2...... .............. ........... _______ do___
Liver_____________________ _______ do___
Hamburger.______ _________ .............d o ___
Veal:
Cutlets .......................... ........... _______ do___
Roast, boned and rolled 2 ___ ______ do----Pork:
Chops_______ _______ _____ ________ do___
Bacon, sliced_____________ ________ do___
Ham, sliced______________ ________ do___
Ham, w hole.. ____ _ __ _ _______ do___
Salt pork___ ________ _ . . . _______ d o ...
Liver 2 ___________________ _______ do___
Sausage 2 ______ __________ _______ do___
Bologna, big 2______________ ______do___
See footnotes at end of table.
1070
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Federal Reserve Bank of St. Louis
Aug. 15
July 18
Aug. 17
Jan. 14
Cents
64.6
15.8
23.2
6.5
6.3
12.9
9.9
Cents
64.8
15.7
23.0
Cents
61.7
15.6
23.4
6.7
5.8
Cents
41.4
13.8
23.5
7.1
4.2
7.9
7.1
6 .6
6.3
1 2 .8
Cents
35.8
14.0
24.2
7.0
4.0
7.5
7.1
(3)
9.8
1 2 .8
8 .6
1 2 .2
1 2 .1
10.5
8 .8
8 .8
9.6
9.9
28.1
19.0
9.7
9.9
28.4
18.9
8.9
9.8
28.1
18.4
41.2
33.1
28.7
31.0
37.2
27.7
41.6
33.4
28.8
31.3
37.3
27.9
41.6
33.7
29.1
30.8
36.1
28.3
(3)
36.4
28.9
22.5
(3)
(4)
(3)
45.2
35.0
45.1
35.0
45.5
34.6
45.2
(3)
42.5
(3)
37.3
40.9
50.4
35.3
37.3
41.1
50.9
35.5
29.1
30.1
45.1
26.2
16.7
(3)
(3)
(3)
30.9
30.4
46.4
27.4
15.4
(3)
(3)
0
7.8
8.7
9.0
25.1
15.0
1 0 .1
2 2 .1
2 2 .2
21.9
38.1
34.1
38.0
42.2
52.6
36.1
23.0
2 2 .0
2 2 .2
38.0
34.1
38.4
34.4
38.6
31.5
25.2
(3)
0
7.8
8 .8
9.2
0
14.8
0
1071
Cost of Living and Retail Prices
Average Retail Prices of 78 Foods in 56 Large Cities Combined,1 August 1944, Compared
with Earlier Months—Continued
1944
1943
1941
1939
Article
Meats—Continued.
Lamb:
L eg-------------------------------- _________ do___
Rib chops_________ _____
_ _____ do_ __
Poultry: Roasting chickens___ -------- pound..
Fish:
Fish (fresh, frozen)_______ _____ __ _do
Salmon, pink . . . . . . .
. . . .-16-oz. can..
Salmon, red 2 - - - - - - - - . _________ do___
Dairy products:
B utter_____________
___ ----------- pound..
Cheese___________ _ _______ _________do___
M ilk, fresh (delivered) ______ . _ . . . . quart..
M ilk, fresh (store)__________ . -------------- do----M ilk, evaporated_____ ____ . _ 14(Aoz. can..
Eggs: Eggs, fresh________________ _______ dozen..
Fruits and vegetables:
Fresh fruits:
Apples___ _____ __________ ____. . . pound..
Bananas_______________ _ _______ do_
Oranges____ ____ ________ ---- . . . .dozen..
Grapefruit 2______________ . _______ each..
Fresh vegetables:
Beans, green___ _ _____ _______ pound..
Cabbage____ ____________ _ ________ do __
Carrots. ______ . . .
______ bu nch..
L e ttu c e ________
_________ head..
Onions__________ ______ ---------.pound ..
Potatoes________
. . . . . . ____15 pounds..
Spinach__________ _____ ______.pound. .
Sweetpotatoes- . . . ______
_____ do. __
B e e ts 2 _________ _______ . . . _. .bunch..
Canned fruits:
P ea ch es________________ . No. 2j£ can..
Pineapple.. _____ ______ ____ _ __.do___
Grapefruit juice__________ _____No. 2 can..
Canned vegetables:
Beans, green______. . . _ .
____ ___do__ _
Corn _________ .
...
_____ do_ __
Peas___________________ _________ do___
Tomatoes________________ ____ _ _do___
Soup, vegetable 2 _______
ll-oz. can..
Dried fruits: Prunes_________ . . _____ pound..
Dried vegetables:
N a v y beans. . .
. . . . ----------__do
Soup, dehydrated, chicken noodle 2 ..o u n ce..
Beverages:
C offee______________________ . . ____pound..
T ea_________________________ _____Vi pound..
Cocoa 2 ______________________ ____ Yi pound..
Fats and oils:
Lard___________________
. . . _______ pound..
Shortening other than lard—
In cartons. _____________ _ _______ do___
In other containers.. . . . . ___ _____ do___
Salad dressing_________ _____ --------------p in t..
Oleomargarine___ _ ________ _______ pound..
Peanut butter__ . __________ ________ do___
Oil, cooking or salad 2. ______ _________ p in t..
Sugar and sweets:
Sugar_______________________ _______ pound..
Corn sirup__________________ . . . ..24 ounces..
Molasses 2 ___________________ ____18 ounces..
Apple butter 2 _______________
- . 1 0 ounces..
Aug. 15
July 18
Aug. 17
Jan. 14
Aug. 15
Cents
Cents
Cents
Cents
Cents
0
40.0
45.3
44.6
40.1
45.4
45.1
23.6
40.4
(5)
23.7
41.9
50.0
36.1
15.6
14.5
50.0
36.1
15.6
14.5
50.5
37.4
15.5
14.4
1 0 .0
1 0 .0
1 0 .1
56.5
52.7
59.2
1 1 .0
1 1 .2
3
4
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Federal Reserve Bank of St. Louis
27.8
35.0
31.1
23.7
41.4
(5)
15.7
26.4
0
38.0
27.0
13.0
11.9
7.1
34.9
11.3
27.6
36.7
30.9
(5)
1 2 .8
23.1
30.7
24.7
1 2 .0
1 1 .0
6.7
' 32.0
5.2
4.4
1 1 .2
1 2 .0
6 .6
6 .1
50.9
10.4
50.8
27.3
31.5
1 0 .1
50.3
9.6
14.1
4.9
8.7
13.4
4.8
13.7
4.9
14.0
3.4
8 .6
8 .1
6 .0
8.4
3.6
29.2
7.3
5.0
1 0 .8
1 0 .2
1 2 .6
6.5
80.1
12.3
7.3
7.2
79.5
10.3
13.5
7.5
7.9
64.5
13.4
14.2
27.7
27.3
14.4
27.7
27.3
14.4
26.8
28.0
14.3
13.2
14.5
13.1
13.1
14.4
13.1
11.9
13.4
17.1
14.6
14.0
14.6
12.5
1 1 .6
1 2 .0
13.4
17.3
8 .2
0
0
7.2
3.9
4.6
8.4
3.6
34.4
7.8
5.5
0
0
16.5
20.9
«
0
17.1
2 1 .0
1 0 .0
1 0 .0
10.4
13.6
16.7
10.7
13.2
8.4
(3)
9.6
1 2 .8
8 .6
0
8 .8
3.6
10.7
3.7
10.3
3.7
6.5
(3)
30.1
23.9
10.3
30.0
23.9
30.0
22.9
8.9
20.7
17.6
9.1
22.3
17.2
1 0 .2
18.6
18.6
18.9
9.3
9.9
1 0 .8
2 0 .2
2 0 .2
24.8
25.6
24.0
28.4
30.7
24.7
25.6
24.2
28.4
30.6
19.9
24.9
25.1
24.0
33.3
30.5
6.7
15.8
15.8
13.3
6 .8
6 .8
15.8
15.8
7 13.2
15.7
15.7
13.4
Data are based on 51 cities combined prior to January 1943.
N ot included in index.
First priced, February 1943.
N ot priced.
8 Composite price not computed.
6 First priced, October 1941.
2 Revised.
1
2
13.6
40.0
46.0
44.3
5.8
0
8 .6
11.3
18.3
2 0 .1
15.6
17.9
0
5.1
13.6
13.4
(3)
11.7
2 0 .2
0
16.5
17.9
0
5.2
13.7
13.6
0
1072
Monthly Labor Review—November 1944
Cost of Living of Worker’s Family in Bogota, Colombia,
1 9 3 9-441
THE monthly cost of living of a worker’s family of 5 in Bogotá,
Colombia, increased from 44.15 pesos2 in February 1939 to 56.93 pesos
in February 1944, and to 64.48 pesos by July 1944. In the 5%-year
period, from February 1939 to July 1944, the increase amounted to
46.1 percent. Taking prices of February 1937 as a base, the index
rose from 119.3 in February 1939 to 153.9 in February 1944 and to
175.3 in June. A slight drop in prices, characteristic of July in the
years 1938-42, occurred in July 1944; the index at the latter date
stood at 174.2.
The monthly cost of living in each February and June from 1939 to
1944 inclusive and in July 1944 is given in the following table, for five
main categories—foods, housing, fuel, clothing, and other articles.
Prices for the study were taken monthly by employees of the Office of
the Comptroller General of the Republic (Contraloria General de la
República) on 36 items. Twenty-five of these items were foods, 4
were clothing, 3 were fuels, 1 was housing, and the remaining 3 were
soap, newspapers, and transportation. The basis for this system was
worked out in 1936 by employees of the Comptroller’s Office who made
a detailed study of the living and buying habits, first of 85 families and
later of 750 families, in various labor districts of Bogotá. Eventually
225 records were selected, and from these the quality and quantity of
the 36 articles were established. The index was based on prices taken
daily in February 1937, on all the items in the districts in which the
studies were first made. Half of the laborers canvassed received in
1936 less than 1.00 peso per day. The average family had 5.2 mem
bers and lived in a single room.
Total cost of living declined 6.5 percent between February 1939 and
February 1941; in the same period, cost of food declined 10.5 percent.
Between June 1939 and June 1941, the declines in price were less—2.0
percent for total cost and 5.5 percent for food. In June 1944, total
cost was 52.8 percent higher than in June 1941, and food prices were
66.2 percent higher. By July 1944, total cost had risen 46.1 percent
above cost in February 1939, and food had risen 54.2 percent. Both
housing and fuel costs dropped in 1940, rose in 1941, dropped again in
1942 and rose, with slight variations, thereafter. Clothing, on the
other hand, rose in price steadily until June 1944, except for one drop
in June 1939. In July 1944, clothing costs were 45.3 percent higher
than in February 1939.
1 Data are from reports of H. Theodore Hoffman, junior economic analyst, United States Embassy at
Bogotá, September 7,1944 (No. 367), April 24, 1944 (No. 146), April 3, 1944 (No. 125), M ay 19, 1943 (No. 233),
and August 12, 1942 (No. 1056), and September 14, 1942 (No. 1095); El Costo déla Vida Obrera en America,
Unión Panamericana, Oficina de Información Obrera y Social, Washington, 1943; Anales de Economía y
Estadística, Revista de la Contraloría de la República Colombia, [Bogotá?], June 20,1942.
2 Average exchange rate of peso in 1939=57.06 cents; in 1941=57.0 cents; in 1942=57.05 cents; and in 1943-44=
57.3 cents.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Cost of Living and Retail Prices
1073
Money Cost, and Indexes of Cost of Living of Worker's Family of Five, in Bogota, Co
lombia, February 1939-July 1944
[February 1937=100]
1939
Group
*
*
1940
1941
1942
1943
1944
Feb
Feb
Feb
Feb
Feb
Feb
ruary June ruary June ruary June ruary June ruary June ruary June
July
Total cost:
Price (in pesos) _ 44.15 43.33 42. 94 43.32 41.30 42.46 42.87 45. 34 49. 65 52.28 56.93 64.87 64.48
Index________ 119. 3 117.1 116.1 117.1 1 1 1 . 6 114.8 115.9 122.5 134.2 141.3 153.9 175.3 174.2
Food, drink, and
tobacco:
Price (in pesos). 29. 42 28. 91
Index _______ 1 2 1 . 0 118.9
Housing:
Price (in pesos) _ 7.87 7. 76
Index_______
131.2 127.7
Fuel:
Price (in pesos)_ 2. 03 2.13
Index________
94.4 99.1
Clothing:
Price (inpesos). 2.03 1 . 8 8
Index________ 1 0 1 . 6 94.1
Other articles:
Price (in pesos) - 2.80 2. 75
Index___ _____ 1 1 0 . 2 108.3
v
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Federal Reserve Bank of St. Louis
28.31 28. 62 26. 32 27. 32 27.78 29. 59 32. 38 34.22 38.63 45.41 45. 37
116.5 117.7 108.3 112.4 114.3 121.7 133.2 140.8 158.9 186.8 186.6
7. 73 7.80 8 . 0 2 8 . 0 1 8 . 0 0 8.07 8.32 8 . 81 9. 05 9.25 9.31
128.7 129.9 133.7 133.4 133.4 134.6 138.7 146.8 150.9 154.2 155.1
1.97
91.6
1.93
89.8
2. 07
96.3
2.13
99.1
2. 03 2.29 3.15 3. 77 3. 25 4. 05 3. 65
94.4 106.5 146.5 147.4 151.2 188.3 169.8
2. 05 2.09 2.09 2 . 1 2 2.18
102.3 104.4 104.3 106.1 109.0
2 .8 8
2 .8 8
113.4 113.4
2.80
1 1 0 .2
2.43
1 2 1 .6
2.60 2.80 2.80 2.96 2.95
129.8 139.8 140.2 148.1 147.3
2 .8 8
2 .8 8
2.96 3.20 3.28 3.20 3.20 3.20
113.4 113.4 116.5 126.0 129.1 126.0 125.9 126.0
Wholesale Prices
Wholesale Prices in September 1944
THE Bureau of Labor Statistics index of- commodity prices at the
primary market 1 level rose 0.1 percent in September 1944 to 104.0
percent of the 1926 average. Substantial increases in prices for
livestock and eggs, and for cotton goods under the Stabilization
Extension Act of 1944, accounted for most of the advance. During
the 12 months ended in September 1944 the index rose nearly 1 per
cent to a point 38.7 percent over the relatively low pre-war level of
August 1939.
The fluctuations in the group indexes were slight during September.
Two increases were recorded, 0.8 percent for textile products and 0.1
percent for farm products. Foods led the declines with a drop of
0.6 percent, chemicals and allied products decreased 0.4 percent, and
fuel and lighting materials fell 0.2 percent. The indexes for the
hides and leather products, metals and metal products, building
materials, housefurnishing goods, and miscellaneous commodities
groups remained unchanged at the August level.
Average prices for raw materials rose 0.1 percent during the month,
reflecting the increase in livestock, and poultry and egg markets.
Semimanufactured commodities rose 0.6 percent largely as a result
of higher prices for cotton yarns. Prices for manufactured products
averaged the same as in August.
Led by an increase of 1.8 percent in quotations for livestock and
poultry, average prices for farm products at the primary market level
rose 0.1 percent during the month. Prices for steers increased about
2 percent; for cows, over 5 percent; and for calves, more than 6 percent.
In addition,1Hive poultry prices in New York rose nearly 9 percent.
A seasonal increase ¡of more than 8 percent was reported for eggs.
Wheat, hay, tobacco, flaxseed, fresh milk in the Chicago market,
dried beans, and oranges also increased. Average prices for grains
declined 0.7 percent in September with lower prices for oats, rye and
corn more than offsetting the higher quotations for wheat and barley.
Quotations for most fresh fruits and vegetables, such as apples, lemons,
onions, and potatoes were lower than in August, and a decrease of
over 2 percent occurred in South American wool prices.
A decline of 5.6 percent in average prices for fruits and vegetables
in wholesale markets caused average prices for foods to drop 0.6 per
cent during September. Rye flour and oatmeal declined more than
9 percent. Granulated sugar in the New York market dropped 1.8
percent as a result of the adjustment by OP A in the ceiling order
i The Bureau of Labor Statistics wholesale price data for the most part represent prices prevailing in the
“first commercial transaction.’’ They are prices qupted m primary markets, at principal distribution
points.
1074
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Federal Reserve Bank of St. Louis
Wholesale Prices
1075
which lowered the price 10 points in 10 Northeastern States and
raised the price 5 points in the remainder of the country. A few im
portant foods, in addition to eggs, advanced during the month. Quo
tations for flour were up nearly 1 percent and higher prices were also
reported for canned peaches and pears, raisins, cured pork, and raw
sugar.
In the hides and leather products group a further decline occurred
in prices for goatskins, while an increase of over 3 percent reversed
the previous downward movement in prices of sheepskins.
Prices for cotton textiles at the primary market level continued to
rise, reflecting the influence of the Stabilization Extension Act of 1944.
An increase of 2.4 percent for cotton goods resulted in an 0.8 percent
increase in the index for the textile products group—the highest level
since the summer of 1926. Prices for cotton knitting yarns ranged
from 6 to 10 percent higher, and for weaving yarns about 8 to 14 per
cent higher than in August. Cotton twine, men’s and boys’ under
wear, drillings, and sheetings also advanced.
Lower prices for gasoline at mid-continent and Pennsylvania
refineries, together with decreased realizations for gas, brought the
index for fuel and lighting materials down 0.2 percent. Slight in
creases were reported for bituminous coal prices in some areas, and
for realized prices on electricity.
There were a few changes in metals and metal product markets
during September, although the index remained unchanged from the
level of the preceding month. Scrap steel declined as mills were
reluctant to accumulate inventories and buying became very selective.
Mercury prices continued to rise as demand increased and production
dropped off. Minor price increases were reported for gray iron cast
ings and for a few agricultural machines.
In the building materials group, lower prices for most types of
West Coast lumber offset fractionally higher prices for yellow pine
lumber, common building brick, cement, prepared roofing, rosin, and
turpentine, and the group index remained steady at the August level.
The decrease of 0.4 percent in average prices for chemicals and allied
products resulted from lower quotations for ground bone and for
nitrocellulose, glycerine and formaldehyde, reflecting increased effi
ciency of production. Prices were higher for stearic acid and for
mixed fertilizer in some sections of the South.
No changes were reported in prices for furniture or furnishings and
the group index remained unchanged at 104.4 percent of the 1926
average.
Prices for most agricultural products, except grains and dairy prod
ucts, were lower than a year ago, while prices for many industrial
commodities, except hides and leather products, were slightly higher
than for September 1943. The increases in industrial commodity
prices were largely the result of Government action in raising ceiling
prices to stimulate production or to allow for increased costs of manu
facture and higher taxes. During the year ended in September
average prices for foods declined 0.8 percent and for farm products
0.3 percent. Hides and leather products decreased 1.5 percent.
Since September 1943, metals and metal products increased 0.1 per
cent; miscellaneous commodities, 0.6 percent; textile products, 1.7
percent; housefurnishing goods, 1.8 percent; fuel and lighting mate6 1 4 1 1 2 — 44------- 12
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Federal Reserve Bank of St. Louis
1076
Monthly Labor Review—November 1944
rials, 2.5 percent; building materials, 3.1 percent; and chemicals and
allied products, 4.6 percent.
When grouped into the broad classifications of raw materials, semi
manufactured articles, and manufactured products, the nearly 900
price series included in the Bureau’s index showed increases of 0.4
percent, 1.9 percent, and 1 percent, respectively, over the 12-month
period ended in September.
Prices for nearly all commodities were higher than at the outbreak
of the war in September 1939. Among the outstanding increases were
101 percent for farm products, the result of advances of more than 136
percent for grains, and more than 90 percent for livestock and other
farm products, including cotton, tobacco, eggs, fresh fruits, and
vegetables. Average prices for foods were 55 percent higher than
before the war, led by increases of almost 100 percent for fruits and
vegetables, 63 percent for dairy products, 44 percent for meats, and
31 percent for cereal products. Except in a few instances, the
increases in industrial commodity markets have been less severe.
Largely because of greatly increased excise taxes on alochol, prices for
drugs and pharmaceuticals rose about 182 percent. Industrial fats
and oils in September were 151 percent higher than in the late summer
of 1939. Cattle feed prices advanced 133 percent, cotton goods 81
percent, and lumber about 71 percent.
Percentage comparisons of the September 1944 level of wholesale
prices with August 1944, September 1943, and August 1939, with
corresponding index numbers are given in table 1.
1 . — Indexes of Wholesale Prices by Groups and Subgroups of Commodities,
September 1944, Compared with August 1944, September 1943 and August 1939
T able
[1926=100]
Sept.
1944
Group and subgroup
All commodities____________
___ . . .
Aug.
1944
Percent
of
change
Sept.
1943
Percent
of
change
103.1
+ 0.9
75.0
+38.7
123. 1
119.7
130.2
118.8
- .3
+ 1.7
- 2 .0
+ .3
61.0
51.5
60.1
+ 1 0 1 .1
+136.3
+93.3
+98.3
67.2
67.9
71.9
58.5
73.7
60.3
+55. 1
+63.0
+31.3
+98.1
+43.8
+58. 4
92. 7
+25. I
+25.3
+37.4
+ 2 0 .6
+18.6
104.0
103.9
+ 0 .1
Farm products_______ _______ . . . .
Grains_________ ______
Livestock and poultry___ ________ .
Other farm products__________ _ . . _
122.7
121.7
127.6
119.2
1 2 2 .6
+ .1
Foods____ .
. _________ ____ . .
Dairy products________ . . _ .
Cereal produ cts... ______ . . . .
Fruits and vegetables___ . . . ____
M eats.__ _______________ .
Other foods. . . . _____ _________
104.2
110. 7
94.4
115.9
106.0
95.5
105. 9
94.1
+ 1 .5
Hides and leather produ cts___ _______
Shoes__
___. . .
_ .
Hides and skins. _ ___ ______ .
Leather__________________________ . .
Other leather products.._ __________
116.0
126.3
106.1
101.3
115.2
116.0
126.3
105. 7
1 0 1 .3
115.2
+ .4
Textile products_______________________
C lothing..
Cotton goods______ _____ ________
Hoisery and underwear.. .
_____. . .
Rayon ________________________ .
Silk________________________
Woolen and worsted goods_____________
Other textile products.. _______________
99.2
107. 0
118.7
70.8
30.3
98.4
107.0
115.9
70.6
30.3
+ 2 .4
+ .3
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
.
(')
112.9
100.9
1 2 0 .0
122.5
125. 4
-.7
+ 1 .8
-.7
104.8
110.5
94.3
+ .1
1 2 2 .8
- . 6
+ .2
- 5 .6
+ .1
0
0
0
0
+ .8
0
0
(>)
112.9
100.5
105.0
108.9
94.4
116.7
106.0
99.0
+ .4
0
- .7
0
- 3 .5
117.8
126.4
116.0
101. 3
115.2
- 1 .5
-. 1
- 8 .5
97.5
107.0
112.9
70.5
30.3
+ 1 .7
(0
0
- . 8
+ 1.7
112. 5
98.7
0
0
0
+5.1
+ .4
0
+ .4
+ 2 .2
Aug.
1939
6 6 .0
1 0 0 .8
77.2
84.0
97.1
67.8
81.5
65.5
61.5
28.5
44.3
75.5
63.7
Percent
of
change
+46.3
+31.3
+81.2
+15. 1
+ 6 .3
+49.5
+58.4
W h o le s a le P r ic e s
1077
T a b l e 1 .— I n d e x e s o f W h o le sa le P r ic e s b y G ro u p s a n d S u b g ro u p s o f C o m m o d itie s ,
S e p te m b e r 1 9 4 4 , C o m p a re d w ith A u g u s t 1 9 4 4 , S e p te m b e r 1 9 4 3 a n d A u g u s t 1 9 3 9 — C o n .
4
*
,,
~
K
>
[1926=100]
Percent
of
change
Percent
of
change
Sept.
1943
Percent
of
change
Aug.
1939
83.2
95.4
120.5
130.7
(!)
76.0
63.9
- 0 .2
0
+ .1
0
+ 2.5
+ 6.1
+ 3.6
+ 6 .8
+ .9
72.6
72.1
96.0
104.2
75.8
86.7
51.7
+14.3
+32. 3
+25.6
+25. 4
-.2
81.0
89.9
116.4
122.4
58.1
77.1
63.2
103.8
97.5
98.6
97.2
112.8
85.8
92.4
103.8
97.5
98.6
97. 1
112.8
85.8
92.4
0
0
0
+ .1
0
0
0
103.7
96.9
98.1
97.1
112.8
86.0
90.2
+ •1
+ .6
+ .5
+ .1
0
-.2
+ 2 .4
93.2
93.5
94.7
95.1
92.5
74.6
79.3
+11.4
+ 4.3
+4. 1
+2. 2
+21.9
+15.0
+ 16.5
Building materials_____ _________________
Brick and tile_________________________
Cement____ _
- ..........
- _____
Lumber.. ----------- ------------------ . . .
Paint and paint materials______________
Plumbing and heating___ ___
. ...
Structural steel______ ___ .. ________
Other building materials_______________
116.0
101.5
96.9
154.0
105.5
92.4
107.3
103.3
116.0
100. 7
96.4
154.4
105. 5
92.4
107.3
103.2
0
+ .8
+ .5
-.3
0
0
0
+ .1
112.5
99.0
93.6
146.1
102.6
90.2
107.3
102.0
+ 3.1
+ 2.5
+ 3.5
+ 5 .4
+ 2 .8
+ 2.4
0
+ 1 .3
89.6
90.5
91.3
90.1
82.1
79.3
107.3
89.5
+29. 5
+ 12.2
+ 6.1
+70. 9
+28.5
+16.5
0
+15.4
Chemicals and allied products.
Chemicals_________________
Drugs and pharmaceuticals___
Fertilizer materials____ _________ . Mixed fertilizers________
Oils and fats__________________ ____..-
104.9
96.0
217.2
81.2
86.6
102.0
105. 3
96.2
220.1
81.2
86.6
102.0
-.4
- .2
- 1 .3
0
0
0
100.3
96.5
165.2
30.6
86.1
102.0
+ 4.6
-.5
+31.5
+ .7
+ .6
0
74.2
83.8
77.1
65. 5
73.1
40.6
+41.4
+14.0
+181. 7
+24. 0
+18.5
+151.2
Housefurnishing goods----... .._ __________
Furnishings__________________________
Furniture__________________ ________
104.4
107.4
101.4
104.4
107.4
101.4
0
0
0
102.6
107.1
98.1
+ 1.8
+ .3
+ 3.4
85.6
90.0
81.1
+22. 0
+19. 3
+25. 0
M is c e lla n e o u s .. . . .. . ---------- . ...
Automobile tires and tubes_____ . . . . ----Cattle feed______ . --------------- ----------Paper and pulp------- ---------Rubber, crude_____________________ _
Other miscellaneous.. ..........
93.6
73.0
159. 6
107.2
46. 2
97.0
93.6
73.0
159.6
107.2
46.2
96.9
0
0
0
0
0
+ .1
93.0
73.0
159.6
105.6
46.2
96.3
+ .6
0
0
+ 1.5
0
+ .7
73.3
60.5
68.4
80.0
34.9
81.3
+27. 7
+20. 7
+133. 3
+34. 0
+32. 4
+ 19.3
Raw materials. ----------- -- -----------------------Semimanufactured articles.__ __
Manufactured products.__ ... ......... . —
All commodities other than farm products. __
All commodities other than farm products
and foods_________ ... ----------- .. .. . . . .
112.8
94.7
100.9
99.7
112.7
94.1
100.9
99.7
+ .1
+ .6
0
0
112.4
92.9
99.9
98.6
+. 4
+ 1.9
+ 1 .0
+1.1
66.5
74.5
79.1
77.9
+69. 6
+27. 1
+27. 6
+28.0
98.6
98.6
0
97.2
+ 1 .4
80.1
+23.1
Group and subgroup
Sept.
1944
Aug.
1944
Fuel and lighting materials___________ ____
A nthracite.-. . . . . . . — .. .. ____ .
Bituminous coal_____ .. . . . ______
Coke ______ -- . ------ ------- ..
83.0
95.4
120.6
130.7
(i)
(i)
63.8
Metals and metal products___
-----Agricultural implements___ . ---- . -----Farm machinery__________________
Iron and steel_______________
______
Motor vehicles . - _________ ______
Nonferrous metals_______ _____ ____
Plumbing and heating_________ _ _____
Gas
Petroleum and products. . .
1 Data not yet available.
■
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Federal Reserve Bank of St. Louis
-
+23.4
1078
Monthly Labor Review—November 1944
Index Numbers by Commodity Groups, 1926 to September 1944
Index numbers of wholesale prices by commodity groups for selected
years from 1926 to 1943, and by months from September 1943 to
September 1944, are shown in table 2.
4
a ble
2c—Index Numbers of Wholesale Prices, by Groups of Commodities
[1926=100]
Hides
Fuel
Chem
and
Tex
and i Metals
icals House
Farm
and Build
fur
light metal
ing
and
prod Foods leath tile
er
prod ing
mate allied nish
ucts
ing
prod ucts mate prod rials prod
ucts
ucts
rials
ucts goods
Miscellaneous
All
com
modi
ties
1926______
1929______
1932. __
1933 ...........
1936 __
1937................
100.0
104.9
48.2
51. 4
80. 9
86.4
100.0
99.9
61.0
60.5
82.1
85. 5
100.0
109.1
72.9
80.9
95.4
104.6
100.0
90.4
54.9
64.8
71.5
76.3
100.0
83.0
70.3
66.3
76.2
77.6
100.0
100.5
80.2
79.8
87.0
95.7
100.0
95.4
71.4
77.0
86.7
95.2
100.0
94.0
73.9
72.1
78.7
82.6
100.0
94.3
75.1
75.8
81.7
89.7
100.0
82.6
64. 4
62.5
70. 5
77.8
100 0
1938_______
1939____
1940 ___ _
1941........
1942________
1943____
68.5
65. 3
67. 7
82.4
105. 9
122.6
73.6
70.4
71.3
82.7
99.6
106.6
92.8
95.6
100.8
108.3
117.7
117.5
66.7
69.7
73.8
84.8
96.9
97.4
76.5
73.1
71.7
76.2
78.5
80.8
95.7
94.4
95.8
99.4
103.8
103.8
90.3
90.5
94.8
103.2
110.2
111.4
77.0
76.0
77.0
84.6
97.1
100.3
86.8
86.3
88.5
94.3
102.4
102.7
73. 3
74. 8
77 3
82 0
89. 7
92.2
78 0
77 1
78 0
87 2
98 8
103.1
123.1
122. 2
121.4
121.8
105.0
105.1
105.8
105.6
117.8
117.8
116.5
117.0
97.5
97.6
97.7
97.7
81.0
81.0
81.2
82.1
103.7
103.7
103.8
103.8
112.5
112. 7
113.1
113.4
100.3
100.4
100.3
100.4
102. 6
102.6
102.8
102.8
93.1
93.2
103 0
102.9
93.3
103.2
121.8
122. 5
123.6
123.2
122.9
125.0
124.1
122.6
122.7
104.9
104.5
104.6
104.9
105.0
106.5
105.8
104.8
104.2
117.2
116.9
116.9
116.9
117.0
116.4
116.2
116.0
116.0
97.7
97.7
97.8
97.8
97.8
97.8
98.0
98.4
99.2
82.3
83.1
83.0
83.0
83.2
83.3
83.2
83.2
83.0
103.7
103.7
103. 7
103.7
103. 7
103.7
103. 7
103.8
103.8
113. 5
113.6
114. 2
115.2
115.7
115.9
115.9
116.0
116.0
100. 4
100.4
100.4
105.4
105.4
105.2
105.3
105.3
104.9
104. 5
104.2
104.3
104.3
104.3
104.3
104. 3
104. 4
104.4
93 2
102 2
102 0
102 8
Year and month
Qfi 2
fi4 8
Q
80 8
¿6 . 3
1943
Septem ber..
October____
N ovember..
D ecem ber..
93 0
102 1
!
1944
January.
February
M arch... .
April. ..............
M ay___ ___
June. .
J u ly ... _ _____. . .
A u g u s t.___ . .
September. ___
93.4
93.5
93.5
93.5
103 9
104 0
93. 5
93 6
93 6
104 1
93.6
104 0
104 3
103 Q
!
The price trend for specified years and months since 1926 is shown
m table 3 for the following groups of commodities: Raw materials,
semimanufactured articles, manufactured products, commodities other
than farm products, and commodities other than farm products and1
foods. The list of commodities included under the classifications;
“ Raw materials,” “ Semimanufactured articles,” and “ Manufactured;
products” was shown on pages 8 and 9 of Bulletin No. 736—Wholesale .
Prices, July to December 1942.
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Federal Reserve Bank of St. Louis
Wholesale Prices
1079
T a ble 3.—Index Numbers of Wholesale Prices, by Special Groups of Commodities
[1926=100]
Eaw
materials
Year and month
Semiman
ufactured
articles
Manufac
tured
products
All
commodi
ties other
than farm
products
All
commodi
ties other
than farm
products
and foods
________ _
______________
1926 ___
1929
.
.
...
_____________ ___
1932___________ _____________________
1933___________________________________
1936
. .
_______ ..
1937 ______ ______ ________________
100.0
97. 5
55.1
56.5
79.9
84.8
100.0
93.9
59.3
65.4
75.9
85.3
100.0
94.5
70.3
70.5
82.0
87.2
100.0
93.3
68.3
69.0
80.7
86.2
100.0
91.6
70. 2
71.2
79.6
85.3
1938 ___ _______ _____________________
1939 _______
.
_______ ________
1940 ___ _____ _____________________
1941
_.
___________________
1942 ________________
_____________
1943
____________________________
72.0
70. 2
71.9
83.5
100.6
112.1
75.4
77.0
79.1
86.9
92.6
92.9
82.2
80.4
81.6
89.1
98.6
100.1
80.6
79.5
80.8
88.3
97.0
98.7
81.7
81. 3
83.0
89.0
95. S
96.9
. . . ___
__ . . . . .
..
112.4
111.9
111. 3
112. 1
92.9
92.9
92.9
93.1
99.9
100.0
100. 2
100.2
98.6
98.7
98.8
99.0
97.2
97.3
97.4
97.6
February ._
. . __
. . . ______
March
___
.
_ ____ _ . . .
April. . .
...
______ _ _____
M ay
.. .
. . . _____ ________
June
. .. .
______________
J u ly ______ . . _____ ______________
August ___ ___ ._
______________
September___ _______ __________ ______
112. 2
112.8
113.4
113. 2
113.0
114.2
113.6
112.7
112.8
93.2
93.4
93.7
93.6
93.7
93.8
93.9
94.1
94.7
100.2
100.4
100.5
100.8
100.9
100.9
100.9
100.9
100.9
99.1
99.3
99.3
99.6
99.7
99.6
99.6
99.7
99.7
97.8
98.0
98.1
98.4
98.5
98.5
98.5
98.6
98.6
1943
October
November
December
.
_____ _
_____
1944
W eekly Fluctuations
Weekly changes in wholesale prices by groups of commodities during
August and September 1944 are shown by the index numbers in
table 4. These indexes are not averaged to obtain an index for the
month but are computed only to indicate the fluctuations from week
to week.
T a b le 4. — Weekly Index Numbers of Wholesale Prices, by Commodity Groups, August
and September 1944
[1926=100]
CQmmodity group
All commodities______________ ______ ______
S ep t. S ep t. S ep t. S e p t. S ep t. Aug. Aug. Aug. Aug.
12
16
2
19
23
9
26
5
30
103.8 103.7 103.6 103.6 103.6 103.5 103.6 104.0 103.6
Farm products---- -------------------------------------- 122.8 122.8 122.1 122.2 122.0 121.8 122.3 124.8 122.5
Foods___ ______ . . __________________ 103.9 104.3 103.8 103.9 104.1 104.0 104.5 106.1 104.6
Hides and leather products_________________ 116.5 116.5 116.6 116.5 116.5 116.6 116.4 116.8 116.8
Textile products____ . . . . . --------------------- 98. 5 98.3 98.3 98.2 98.1 97.6 97.5 97.5 97.5
83.7 83.7 83.7 83.8 83.7 83.7 83.8 83.8 83.8
Fuel and lighting materials________________
M etals and metal products__________ ____ _ 103.8 103.9 103.9 103.8
Building materials..................... ............................. 115.9 115.9 116.1 116.0
Chemicals and allied products______________ 104.9 104.9 104.9 104.9
Housefurnishing goods............. ............................ 106.1 106.1 106.1 106.1
93.4 93.3 93.3 93.3
Miscellaneous__ ____ _____________________
103.8
116.0
104.9
106.1
93.3
103.8
116.0
105.3
106.0
93.3
103.8
116.0
105.3
106.0
93.3
103.8
116. 0
105.2
106.0
93.3
103.8
116.0
105.2
106.0
93.3
E aw materials____________________________ 113.2 113.3 112.8 112.8 112.7 112.5 112.8 114.3 112.9
94.3 94.1 94. 1 94.1 94.1 93.9 93.8 93.8 93.8
Semimanufactured articles_________________
Manufactured products.. ________ _____ 101.1 101.1 101.1 101.1 101.1 101.0 101.1 101.1 101.0
All commodities other than farm products----- 99.6 99.6 99.6 99.6 99.6 99.5 99.5 99.5 99.5
A ll commodities other than farm products and
foods---- ------------ ------- ---------------------------- 98.8 98.8 98.8 98.8 98.7 98.7 98.7 98.7 98.7
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Federal Reserve Bank of St. Louis
Labor Turnover
Labor Turnover in Manufacturing, Mining, and Public
Utilities, August 1944
FOR every 1,000 workers on factory pay rolls in August, 62 quit, 7
were discharged, 5 were laid off, and 4 left to enter the armed forces.
This separation rate of 78 per 1,000 was not fully compensated for by
hires, since the accession rate was 62 per 1,000, just enough to replace
the quits.
The quit rate, while considerably above the July rate of 50 per 1,000
employees, was nevertheless at approximately the same level as in
August 1943. As then, the high rate of quits was due in no small
part to the return to school of teachers and students. These people
accepted employment for the summer to help the war effort with the
understanding it would end as schools reopened.
Although the over-all lay-off rate for all manufacturing industries
combined amounts to 5 per 1,000, the same as in the preceding 3 months,
about a third of the manufacturing groups reported increases. The
largest was reported by the transportation-equipment group and
reflected further cutbacks in the aircraft and shipbuilding industries.
The rate for this group was 11 per 1,000 compared with 6 per 1,000
in July.
Unlike the trend evidenced by each of the major manufacturing
groups, the separation rates in the metal- and anthracite-mining
industries declined. The rate for bituminous-coal mining, however,
increased from 41 to 44 per 1,000. The rate in metal mining and in
anthracite mining declined, while that in bituminous-coal mining
increased from 1 to 4 per 1,000.
The total separation rate for women in all manufacturing was 95
per 1,000 as against 67 for men. The quit rate for women was 80 per
1,000 while that for men was 50. The accession rates for both women
and men closely paralleled the quit rates.
1080
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Federal Reserve Bank of St. Louis
1081
Labor Turnover
T a b le 1.—Monthly Labor-Turnover Rates
(per 100 Employees) in Manufacturing
Industries 1
Class of turnover and
year
Janu Feb
ru March A pril May June July
ary
ary
Total separation:
1944
1943____________
1939____________
Quit:
1944
1943____________
1939____________
Discharge:
1944
1943____________
1939____________
Lay-off:3
1944
1943____________
1939____________
M ilitary and miscellaneous:4
1944
1943____________
Accession:
1944
1943_______________
1939_______________
Au
gust
N o D e
Sep
cto vem
tem Ober
cem
ber
ber
ber
6 7
7.1
3.2
66
7.1
2.6
7 4
7.7
3.1
6. 8
7.5
3.5
7.1
6.7
3.5
7.1
7.1
3.3
6. 6 2 7.8
8.3
7.6
3.0
3.3
8.1
2.8
7.0
2.9
6.4
3.0
6.6
3.5
4. 6
4.5
.9
4 6
4.7
.6
5. 0
5.4
.8
4. 9
5.4
.8
5. 3
4.8
.7
5.4
5.2
.7
5.0
5.6
.7
2 6.2
6.3
.8
6.3
1.1
5.2
.9
4.5
.8
4.4
.7
7
.5
.1
.6
.5
.1
.7
.6
.1
.6
.5
.1
.6
.6
.1
.7
.6
.1
.7
.7
.1
2 .7
.7
.1
.6
.1
.6
.2
.6
.2
.6
.1
8
.7
2.2
8
.5
1.9
9
.5
2.2
6
.6
2.6
.5
.5
2.7
.5
.5
2.5
.5
.5
2.5
2 .5
.5
2.1
.5
1.6
.5
1.8
.7
2.0
1.0
2.7
.6
1.4
.6
1.4
.8
1.2
.7
1.0
.7
.8
.5
.8
.4
.8
2.4
.8
.7
.7
.6
.6
6. 5
8.3
4. 1
5 5
7.9
3.1
5. 8
8.3
3.3
5. 5
7.4
2.9
6. 4
7.2
3.3
7.6
8.4
3.9
6. 3 2 6.2
7.6
7.8
5.1
4.2
7.7
6.2
7.2
5.9
6.6
4.1
5.2
2.8
1 Month-to-month employment changes as indicated by labor-turno ver rates are not precisely comparable
to those shown by the Bureau’s employment and pay-roll reports, as the former are based on data for the
entire month while the latter refer, for the most part, to a 1-week period ending nearest the middle of the
month. In addition, labor-turnover data, beginning in January 1943, refer to all employees, whereas the
employment and pay-roll reports relate only to wage earners. The labor-turnover sample is not so exten
sive as that of the employment and pay-roll survey: proportionately fewer small plants are included—
printing and publishing and certain seasonal industries, such as canning and preserving, are not covered.
2 Preliminary.
3 Including temporary, indeterminate, and permanent lay-offs.
4 Miscellaneous separations comprise not more than 0 . 1 in these figures. In 1939 these data were included
with quits.
T a b l e 2 . —Monthly Labor-Turnover Rates (per 100 Employees) in Selected Groups and
Industries,1 August 1944
Total sep
aration
Discharge
Quit
July
1944
July Aug. July Aug. July
1944 19442 1944 19442 1944
O^
Aug. July Aug. July
19442 1944 19442 1944
ip
!
i:
Industry
Military
ac
and mis Total
cession
cellaneous
Lay-off
Manufacturing
6.8
7.0
5.0
li
0.9
0.5
0.5
0.4
0.4
5.4
7.8
7.2
5.2
8.5
6.5
3.9
5. 9
5.6
.8
1.3
1 1
.7
1.0
y
.6
.5
.6
.4
.5
.3
.3
.4
.3
.4
.4
.4
3.1
3.2
1.8
.7
.4
.3
.5
.3
.4
.5
Iron and steel and their products _ _ 6.0 5.0 4.7 3.6
Blast furnaces, steel works, and
.2
rolling m ills.. . . . . . . . . . . 4.1 3.4 3.5 2.7
Gray-iron castings.. _______ _ . . 8.9 7.0 7.1 5.6 1.0
.4
Malleable-iron castings___
. . . 7.0 5.4 6.0 4.7
.9
Steel castings__________________
8.0 6.5 6.5 5.2
.4
Cast-iron pipe and fittings
7.3 5.8 5. 5 4.4
Tin cans and other tinware. . . 16. 3 11.3 13.9 9.1 1.7
.3
Wire products.. . ____ . . ____ 3.2 2.9 2.4 2. 1
Cutlery and edge tools___
. . . («1
0)
(»)
«
«
Tools (except edge tools, machine
.8
tools, files, and saws).
. . . . . 6. 6 5.8 5.4 4.6
.3
Hardware__ . . . . . . .... ______ 5.6 3.5 4.5 2.9
Plumber’s supplies „ . . . . . . .
7.5 5.1 5.6 3.9 1.2
Stoves, oil burners, and heating
equipment______ . . . _______
9.7 9.1 (•)
(6)
(«)
.5
.4
.5
.4
.4
9.0
Ordnance. .
___
...........
Guns, howitzers, mortars, and
6.9
related equipm ent3___________
Ammunition, except for small arms3. 10.7
Sighting and fire-control equipm e n t3.........................................
See footnotes at end of table.
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Federal Reserve Bank of St. Louis
4.5
.2
.8
.4
.7
.5
1.5
.3
0)
.7
.2
.5
(6)
7.8
7.7
__ __
—
5.0
5.0
.1
.3
.4 3.5 3.6
.1
.4
.4 8.8 8.1
.2
.4
.3 6.0 5.7
.3
.3 (4)
.5 6. 5 6. 6
.1
.4
.2
.1
.9
.8 5. 5 6. 5
.5
.1
.6 15.8 14.7
.2
.4 4.2 4. 5
.1
.3
.2
0)
0)
(6)
(5)
(5)
«
.1
.4
.3
(5)
.2
.3
(6)
.3
.4
.4
.3
.2
.4
0)
5. 9
3.1
7.9
5. 9
4.1
5.9
9.2
9.0
Monthly Labor Review— November
1082
T
a b l e
2 .—
1944
Monthly Labor-Turnover Rates (per 100 Employees) in Selected Groups and
Industries,1 August 1944— C o n tin u e d
A
Total sep
aration
Quit
Discharge
Lay-oil
Industry
Military
and mis Total ac
cellaneous cession
Aug July Aug July Aug July Aug July Aug July Aug July
1944 1944 1944 1944 1944 1944 1944 1944 1944 1944 1944 1944
M a n u f a c t u r i n g — Continued
Iron and steel and their products—
Continued.
Steam and hot-water heating apparatus and steam fittings_____
Stamped and enameled ware and
galvanizing_________
Fabricated structural-metal products_______ ____________ _ _
Bolts, nuts, washers, and rivets _
Forgings, iron and steel___.
Firearms (60 caliber and under) A _
Electrical machinery______________
Electrical equipment for industrial use___________
Radios, radio equipment, and
phonographs__________
Communication equipment, except radios___________________
Machinery, except electrical
Engines and turbines 3_________
Agricultural machinery and tractors__________ ____ . . .
Machine tools__________
Machine-tool accessories. __ _
Metalworking machinery and
equipment, not elsew'here classitied__________________
Textile machinery_______
General industrial machinery,
except pumps______________
Pumps and pumping equipment..
7 .”
6.3
5.
4.7
0.8
0.7
0.3
0.5
0.7
0.4
5.S
58
9.
7.1
8. C 5.8
.7
.6
.2
.3
.4
.4
9.
9 1
9.
5.
6.
7.
9.7
4.8
4.4
10.9
1.1
.7
.4
.8
1.7
l.C
.1
1.0
2.4
1.9
.1
.3
5.7
.5
.3
.4
.4
.5
.4
.4
.8
6.8
3. 8
3.
7 8
4 a
3 4
7.2
4. ‘
4.2
4.3
5.6
3.6
3.4
3.6
.3
.8
6.(1
5.3
4.7
4.1
.6
.(
.3
.2
.4
.4
4.3
4 9
4.7
4. 1
3.5
3.1
.5
.4
.4
.2
.3
.4
3.2
3 8
7.7
6.5
6.5
5.2
.8
.8
.2
.2
.2
.3
5. 7
fi 5
4.8
4.1
3.7
3.1
.4
.4
.3
.2
.4
.4
3.7
4,3
5. 8
7.0
4 6
5.0
4 4
4.7
3 3
3 !6
i8
i."o
.5
4.0
4.2
.8
.5
7.C 5.4
4. C 3.4
5.2 4.4
5.8
2.9
3.7
2.3
2.7
.3
.2
.4
.2
.2
.4
.3
.6
.4
.5
.4
J)
^5
.3
(»)
(5)
.1
(5)
4.2
.5
.6
.7
.5
.6
4.4
0)
3.6
(»)
3.3
(«)
6.3
4.8
5.0
4.0
4.9
4.0
3.7
3.0
.7
.4
.6
.5
Transportation equipment, except
automobiles______________________ 8.8
Aircraft____________________
8.5
Aircraft parts_____________
6.3
Shipbuilding and repairs__ . _.
10.7
7.5
6.5
5.7
9.3
6.0
6.1
4.4
6.9
5.1
4.8
3.9
5.9
1.3
.7
.8
2.1
1.3
.7
.8
2.0
1.1
_2
Automobiles_____ . . .
Motor vehicles, bodies, and
trailers.. . . . . .
Motor-vehicle parts and accessories_____________________
.3
.3
(»)
ft 1
2 9
3 ft
.5 3 4 3 4
(>)
(«)
«
.3
.4
.4
.1
3 ,8
4 2
.4
.4
3.6
4.5
.4
.5
.3
.5
.5
6.1
4 9
4 4
6 2
R 3
.8
1.2
.6
.4
.7
.8
8.1
7.3
.4
.6
.3
0 7
0 5
«
1.1
1.2
.6
.3
.6
y
R3
6.6
5.5
4.8
3.8
5.6
5.1
3.7
3.1
1.0
.5
.5
.1
.4
fi 9
a
7.2
5.8
5.5
4.3
1.1
.8
.3
.3
.3
.4
6.6
6.6
5.1
.8
.7
.9
1.0
4
J)
L 5
*> 9
.6
3 1
3 4
ft 7
12 0
Lumber and timber basic products. _. 10.4
Sawnnills... ________
10.3
Planing and plywood mills______
9.2
8.5
8.4
7.5
Furniture and finished lumber products________ . . . . _
Furniture, including mattresses
and bedsprings_______________
10.3
10.2
Stone, clay, and glass products__ __
Glass and glass products________
Cement_______________ ____
Brick, tile, and terra cotta_______
Pottery and related products____
6.8
7.6
3.4
8.5
7.2
5. 1
5.1
3.4
6.4
6.6
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Federal Reserve Bank of St. Louis
.5
0)
*
,
Nonferrous metals and their products.
8.2 7.3 6.1
Primary smelting and refining,
except aluminum and magnesium__. __________
5.1 4.3 4.0
Aluminum and magnesium smelting and refining_____
15.6 12.1 11.5
Rolling and drawing of copper and
copper alloys _________________
5.2 4.4 4.5
Aluminum and magnesium products ____________ . . . _
8.6 8.8 5.9
Lighting equipment________
7.7 5.8 6.1
Nonierrous-metal foundries, except aluminum and magnesium. 8.2 5.8 6.4
See footnotes at end of table.
2.5
(s)
57
2 9
3 fi
*
1
4
3.1
.4
.4
.4
.2
.3
9.2
.6
.7
2.6
1. 5
.9
3.5
.4
.3
.1
.1
.2
.5
5 7
,
4 3
5.4
1.0
.7
.9
.6
1.2
.5
1.9
.5
.6
5. 0
84
fi 8
4.6
.3
4.7
.8
.6
.7
.2
7.1
7.1
.5
.4
.8
.4
.3
.7
.5
.6
.6
.5
.5
.4
.3
.3
6.4
5.8
8. 9
8 9
9. 5
99
7.4
7.1
5.7
8.6
8.7
7.4
.7
.6
.6
.3
.3
.3
8 4
8Q
8.7
8.6
7.6
.7
.5
.6
.3
.3
.3
8.6
8.4
5.4
5.6
2.8
7.0
6. lj
4.1
.4
.5
.2
.6
.3
.6
. 0 1.0
. 1 .2
.3
.4
.4
5. 2
3.6
2.9
5.4
.1
.5
.2
5.8
.s|
.4
.2
.5
. 5[
.5
.2
.2
.31
.5
.6
.5
.3
.4
6 5
5 5
5.8
5.1
ft 3
.4
5.7
6.3
5.2
3.9
...
*
5 1
9.0
8.9
7.4
.4
.4
.4
V
<
Labor Turnover
1083
T a b le 2. —Monthly Labor-Turnover Rates (per 100 Employees) in Selected Groups and
______________________ Industries,1 August 1944— Continued_______________________
Total sep
aration
Quit
Discharge
Lay-off
Military
and mis Total ac
cellaneous cession
Industry
Aug. July Aug. July Aug. July Aug. July Aug. July Aug. July
19442 1944 19442 1944 19442 1944 19442 1944 19442 1944 19442 1944
Manufacturing—Continued
Textile-mill products____________ _.
Cotton_______________________
Silk and rayon goods____________
W oolen and worsted, except dyeing and finishing __ _ _ . . . .
Hosiery, full-fashioned.. __ __ . . .
Hosiery, seamless____________ .
Knitted underwear_____________
Dyeing and finishing textiles, ineluding woolen and worsted___
6.9
7.6
7.4
6.3
6.9
6.2
6.0
6.7
6.2
5.3
6.0
5.2
0.4
.5
.6
0.4
.5
.5
0.3
.2
.3
0.3
.2
.2
0.2
.2
.3
0.3
.2
.3
5.6
6.4
6.8
5.9
7.0
6.3
4.9
5.7
6.8
7.5
4.2
4.5
6.1
7.6
3.9
5.1
6.0
6.0
3.4
4.0
5.6
6.4
.3
.3
.3
.2
.2
.2
.3
.3
.4
.2
.3
1.2
.3
2.
.1
.8
.3
.1
.2
.1
.3
.1
.1
.1
3.2
3.8
5.8
4.5
3.1
4.9
5.5
5.0
4.2
3.0
.7
.6
.4
.3
.4
.4
3.8
3.6
5.7
4.3
Apparel and other finished textile
products________
7.1
M en’s and boys’ suits, coats, and
overcoats_______ ____ . ____ 5.1
M en’s and boys’ furnishings,
work clothing, and allied garm en ts.- . _____
7.4
6.4
6.5
5.5
.2
.2
.3
.6
.1
.1
5.5
5.7
4.5
4.7
4.1
.1
.2
.3
.2
W
0)
4.3
4.3
6.4
6.8
6.0
.3
.3
.2
.1
.1
0)
5.6
5.5
Leather and leather products . .
Leather________
Boots and shoes._ . . . . .
5.9
4.6
6.0
6.7
5.3
7.1
5.0
3.7
5.3
.3
.4
.3
.3
.4
.2
.3
.5
.2
.3
.2
.3
.3
.2
.3
.3
.3
.2
6.3
4.7
6.7
5.9
4.8
6.0
Pood and kindred products
12.5 10.0 10.8
Meat products_____
13.5 9.4 11.6
Grain-mill products________ ____ 12.3 11.7 10.2
8.5
7.8
9.3
.7
.7
.8
.6
.7
1.2
.6
.7
.9
.5
.4
.6
.4
.5
.4
.4 10.6
.5 10.5
.6 9.2
10.2
9.6
14.1
7.6
6.4
7.9
Tobacco manufactures_______ _____ _ 8.1
7.8
7.5
7.2
.4
.3
.1
.2
.1
.1
8.6
7.3
Paper and allied products
Paper and pulp____________ . . .
Paper boxes________
7.6
7. 2
10.0
6.3
5.6
8.8
6.5
6.1
9.0
5.2
4.4
7.5
.5
.5
.6
.5
.4
.7
.2
.2
.2
.2
.3
.2
.4
.4
.2
.4
.5
.4
6.3
6.2
8.7
7.0
6.3
8.9
Chemicals and allied products_______
Paints, varnishes, and colors
Rayon and allied products______
Industrial chemicals, except explosives. _ ___________ .
E xplosives3.
____
Small-arms ammunition 3_______
5.7
5.3
4.8
5.3
4.4
4.2
4.4
4.3
4.0
3.5
3.4
3.3
.6
.6
.3
.6
.6
.3
.3
.1
.2
.7
.1
.1
.4
.3
.3
.5
.3
.5
6.3
4.7
4.6
5.7
5.0
4.6
5.3
6.4
6.6
4.8
5. 2
7.3
4.1
4.8
4.9
3.2
3.7
4.3
.7
.9
.8
.6
.8
.6
.1
.2
.7
.5
.1
2.1
.4
.5
.2
.5
.6
.3
Products of petroleum and co a l.. . . .
Petroleum refining______ ____ _
3.5
3.3
3.1
2.9
2.8
2.7
2.3
2.3
.3
.2
.3
.2
.1
.1
.2
.1
.3
.3
.3
.3
3.4
3.2
3.6
3.5
Rubber p r o d u cts___ __ ________ 7.9
Rubber tires and inner tubes . . . 7.2
Rubber footwear and related
products_____ ___________
9.3
Miscellaneous rubber industries.. . 8.5
6.2
5.7
6.6
5.9
5.2
4.7
.5
.5
.5
.5
.4
.5
.1
.1
.4
.3
.4
.4
6.6
7. 1
6.4
5.8
6.7
6.8
8.2
7.2
6.0
5.6
.5
.6
.2
.6
.2
.2
.3
.2
.4
.5
.2
.4
6.7
6.2
6. 1
7.0
5.2
4.1
4.1
2.9
.4
.4
.4
.4
.3
.4
3.9
4.6
4.8
—
4.5
—
Miscellaneous industries____________
Nonmanufacturing
M etal mining______________________
Iron-ore__________ ______ ____
Copper-ore__ _______ . _ _____
Lead-and zinc-ore.. . _ . .
M etal mining, not elsewhere classified, including aluminum-ore..
6.2
3.4
7.7
7.1
6.4
3.3
8.8
6.9
4.8
2.6
5.7
5.7
4.6
2.3
6.4
5.0
.4
.2
.5
.4
.4
.2
.4
.3
.3
.1
.5
.3
.4
.1
.5
.9
.7
.5
1.0
.7
1.0
.7
1.5
.7
3.8
2.0
4.4
4.9
4.0
2.0
4.6
4.7
9.2
8.7
7.2
6.4
.8
1.0
.8
.3
.4
1.0
5.9
6.5
Coal mining:
Anthracite.________ . _________
Bituminous____________________
1.4
4.4
2.0
4.1
1.1
3.5
1.6
3.5
0)
.2
(4)
.2
.1
.4
.2
.1
.2
.3
.2
.3
1.4
3.4
1.5
3.2
Public utilities:
Telephone.. _______ __________
Telegraph _________________
3.8
3.9
3.6
3.6
3.3
3.6
3.1
3.2
.2
.1
.2
.2
.1
.1
.1
.1
.2
.1
.2
.1
3.0
3.6
4.9
4.5
1 Since January 1943, manufacturing firms reporting labor turnover have been assigned industry codes
on the basis of current products. Most plants in the employment and pay-rolls sample, comprising those
which were in operation in 1939, are still classified according to their major activity at that time, regardless
of any subsequent change in major products.
2 Data are preliminary.
3 Publication of accession rates is restricted in these specific war industries. Data for tanks and explosives
are not strictly comparable with those previously published.
4 Less than 0.05.
8 Data not available.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
1084
T
a b le
Monthly Labor Review—November 1944
3.—Monthly Labor-Turnover Rates (per 100 Employees) 1 for Men and Women
in Selected Industries Engaged in War Production, August 1944 2
Industry
Total separa
tion
Men
Women
Total acces
sion
Quit
Men
Women
Men
Women
All manufacturing___________ . . . _ __ _
6.7
9.5
5.0
8.0
5.2
8.0
Ordnance______________________
Guns, howitzers, mortars, and related equipment
Ammunition, except for small arms
T anks3_______________ . .
Sighting and fire-control equipment____ ____
7.1
5.7
9.0
6.0
3.4
11.7
10.6
12.7
11.0
6.8
5.2
4.1
6.6
4.4
2.3
9.6
8.4
10.6
7.6
5.0
6.1
4.3
8.2
5.3
1.3
10.0
7.7
11.4
6. 8
4.2
Iron and steel and their products. ________
Blast furnaces, steel works, and rolling mills_____
Gray-iron c a stin g s_______
_____________ .
Malleable-iron c a stin g s __ ______
Steel castings __________ _____ _____
Cast-iron pipe and fittings.. . . . _____ _
Firearms (60 caliber and under)____
_____
5.5
3.9
8.6
6.5
7.8
6.9
6.3
10.2
7.9
11.0
11.0
10.9
9.2
13.2
4.2
3.2
6.9
5.5
6.4
5.4
3.4
8.3
7.1
7.4
9.7
8.2
6.0
7.3
4.3
3.2
8.5
5.7
6.3
5.4
3.6
9.6
8.0
10.6
8.6
8.3
6. 7
10.6
Electrical machinery_____________________
Electrical equipment for industrial use_______
Radios, radio equipment, and phonographs
Communication equipment, except radios
4.4
3.5
5.9
3.5
7.7
6.8
9.3
5.7
3.2
2.4
4.8
2.3
6.4
5. 3
7.8
4.8
3.0
2.2
4.2
2.5
5.6
4.9
6.8
4.6
Machinery, except electrical_________ ____
Engines and turbines_________ _____
Machine tools ________________
Machine-tool accessories.. . . . . _____
Metalworking machinery and equipment, not
elsewhere classified_____ .
.
General industrial machinery, except pumps . .
Pumps and pumping equipment________ . . . . . .
5.1
6.2
3.4
4.7
8.6
9. 2
7.2
6.9
3.7
4.2
2.3
3.2
7.1
6. 4
5.9
5. 2
3.5
4.0
2.4
3.1
6. 2
7.1
5.9
5. 3
3.9
5.4
4.1
7.3
9.3
7.8
2.6
4.0
3.1
6.6
7.9
7.3
3.1
3.3
2.7
4.8
5.4
7.7
Transportation equipment, except automobiles__ . . .
Aircraft.. ____
___ _ .
Aircraft parts______________________
Shipbuilding repairs_____ _ _ ______ _______
8.3
7.5
5.0
. 10.3
10.5
10.1
9.0
13.4
5.3
4.8
3.3
6.5
8.0
8.0
6.7
9.7
5.5
3.8
3.3
7.4
7.8
6.5
5.9
12.8
Nonferrous metals and their products . . . . . .
Primary smelting and refining, except aluminum
and magnesium________________________
Aluminum and magnesium smelting and refining
Rolling and drawing of copper and copper alloys.. .
Aluminum and magnesium products___________
Nonferrous-metal foundries, except aluminum and
magnesium_________________ _____
7.7
10.3
5.7
7.8
4.7
8.5
4.8
15.7
4.4
8.0
8.9
15. 2
7.5
11.1
3.8
11.6
3.6
5.6
6.9
10.4
6.8
7.4
2.7
6.5
4.1
4.4
8.4
7.9
10.5
7.0
7.0
10.8
5.5
8.3
5.4
8.7
Chemicals and allied products____ _________ ______
Industrial chemicals, except explosives.. _____
Explosives3. . . . _____________ ____ _ .
Small-arms am m unition.. . . ...................
4.7
4.8
5.3
5.8
7.3
7.2
9. 2
7.4
3.4
3.6
3.8
3.6
6.2
6.0
7.5
5.9
4.8
4.4
7.6
6.6
9.4
6.5
14. 5
14.1
1 These figures are presented to show comparative turnover rates only and should not be used to esti
mate employment.
2 Data are preliminary.
3 Data are not strictly comparable with those previously published.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Building Operations
Building Construction in Urban Areas, September 1944
Comparison of First 9 Months of 1943 and 1944
BUILDING construction other than that Federally financed was 15
percent higher during the first 9 months of 1944 than during the
comparable period of the preceding year. A decline of 47 percent
in the value of Federally financed construction, however, brought
about a decline in the total value of all types of building construction.
Building started in the urban areas of the United States during the
first 9 months of 1944 was valued at 825 million dollars. This was
14 percent less than the 961 million dollars for the same period of 1943.
New residential and new nonresidential building values were respec
tively 37 and 9 percent lower £he first 9 months of 1944 as compared
with the same period of 1943, but addition, alteration, and repair
values were 34 percent higher. All three classes of Federal construc
tion showed substantial declines, but the only class of non-Federal con
struction that declined in value was the new residential. The new
nonresidential building and addition, alteration, and repair values for
non-Federal work were 82 and 40 percent greater by September 1944
than by the same time last year.
The number of new dwelling units in urban areas for which building
permits were issued or Federal contracts awarded, and their valuation
over the first 9 months of 1943 and 1944 are presented in tables 1 and 2.
T able
1.— Valuation of Building Construction in A ll Urban Areas, by Class of
Construction, First 9 Months of 1943 and 1944
Valuation (in thousands of dollars)
Total construction
Class of construction
First 9 months of—
1944
All construction. _ _ _ _ _ _
___ __________ 825, 429
N ew residential,______
_ - ...................
N ew nonresidential__________ . . . --_ __- _
Additions, alterations, and repairs_____ ___
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
275, 697
320, 371
229.361
Federal construction
First 9 months of—
1943
Percent
of
change
1944
1943
961,101
-1 4 .1
244, 079
455, 955
-4 6 .5
439, 714
350,669
170, 718
-3 7 .3
- 8 .6
+34.4
39, 094
195, 885
9,100
160,234
282, 203
13,518
-7 5 .6
-3 0 .6
-3 2 .7
1085
Percent
of
change
Monthly Labor Review—November 1944
1086
T a ble 2.— Number and Valuation of New Dwelling Units in A ll Urban Areas, by
Source of Funds and T ype of Dwelling, First 9 Months of 1943 and 1944
Number of dwelling units
Source of funds and type of dwelling
Valuation (in thousands
of dollars)
First 9 months of— Percent First 9 months of—
Percent
of
of
change
change
1944
1943
1944
1943
88,489
159,917
-4 4 .7
272,032
427,872
-3 6 .4
74, 510
Privately financed-- ______________________
1family__________________
57,177
______7,525
__
2family
. __________
Multifamily 2________ . . .
- - _______
9, 808
F ed e r a l__________________ _____ . . . ______
13,979
90,000
58, 585
12,130
19,285
69,917
-1 7 .2
- 2 .4
-3 8 .0
-4 9 .1
-8 0 .0
234,926
180,108
26,002
28,816
37,106
278, 723
192, 269
33,674
52, 780
149,149
-1 5 .7
-6 .3
-2 2 .8
-4 5 .4
-7 5 .1
All dwellings- ____________________________
1 Includes 1- and 2-family dwellings with stores.
2 Includes multifamily dwellings with stores.
Comparison of September 1944 With August 1944 and September
1943
The dollar valuation of building construction started in September
1944 was 7 percent lower than in August 1944. An increase in Federal
construction values of 5 percent was more than offset by a decrease
of 10 percent in non-Federal construction. New residential building
valuations were more than one-fifth less while those for new nonresidential construction decreased 8 percent. Addition, alteration, and
repair values rose 9 percent. These data are presented in table 3.
T a ble 3 .— Summary of Building Construction in A ll Urban Areas, September 1943,
August and September 1944
Number of buildings
Class of construction
All building construction.. _
Valuation
Percent of
Percent of
change from—■ Septem
change from—
Septem
ber 1944
ber 1944
(in thou
A ugust Septem sands) A ugust Septem
1944 ber 1943
1944 ber 1943
. _________ _____
50, 837
- 8 .8
N ew residential__________________ ___________
N ew nonresidential.__________ . . _ . . .
Additions, alterations, and repairs ____________
5, 539
6, 528
38, 770
-2 0 .8
+ 5 .8
- 8 .9
-1 6 .1
$79, 772
- 6 .6
-2 3 .0
-4 9 .5
-2 2 .4
- 5 .9
21, 209
29, 515
29,048
-2 0 .7
- 7 .7
+ 8 .9
-4 8 .9
-1 6 .9
+ 9 .4
The number of new dwelling units in urban areas for which building
permits were issued or Federal contracts awarded during September
1944, and their valuation, are presented in table 4.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Building Operations
1087
T a b le 4.-—Number and Valuation of New Dwelling Units in A ll Urban Areas, by
Source of Funds and Type of Dwelling, September 1943, August and September 1944
Number of dwelling units
Valuation
Percent of
change from—
Source of funds and type of dwelling
Septem
ber 1944
Percent of
Septem change from—
ber 1944
(in thou
A ugust Septem sands) A ugust Septem
1944 ber 1943
1944 ber 1943
All dwellings _ _______________________________
6,393
8,238
14,016
$20,429
26,431
40, 842
Privately financed ___________________________
1 -fa m ily ____ _ . . . _ __ __________ _______
2-family i _________________ . . _
M ultifam ily2________________ . . ______
Federally financed______ ____________________
6,243
4,963
575
705
150
7,273
5, 443
655
1,175
965
10,906
6, 685
1,535
2,686
3,110
19, 780
15, 500
2,031
2,249
649
22,854
17,073
2,427
3, 354
3,577
34,209
22, 350
4,309
7, 550
6,633
1 Includes 1- and 2-family dwellings with stores.
2 Includes multifamily dwellings with stores.
Construction from Public Funds, September 1944
The value of contracts awarded and force-account work started
during August and September 1944 and August 1943 on all construc
tion projects, excluding shipbuilding, financed wholly or partially
from Federal funds and reported to the Bureau of Labor Statistics is
shown in table 5. This table includes construction both inside and
outside the corporate limits of cities in urban areas of the United
States.
T a ble 5 .— Value of Contracts Awarded and Force-Account Work Started on Construction
Projects1 Financed from Federal Funds, September 1944
Value (in thousands) of contracts awarded
and force-account work started in—
Source of funds
September
1944 2
August
1944 3
September
1943 2
All Federal funds __________________________________
$84,057
$95, 214
$155,821
War public works. .. . _ __
. . . . _____ _____
Regular Federal appropriations 1-------------------------------Federal Public Housing A uthority_____________ _____
5,263
76, 869
1,925
7,054
83, 911
4,249
4,260
135, 552
16, 009
1 Excludes shipbuilding values amounting (in thousands) to $35,412 in September 1944, $352,768 in August
1944, and $400,794 in September 1943.
2 Preliminary; subject to revision.
2 Revised.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Trend o f Employment9 Earnings, and Hours
Summary of Reports for September 1944
THE total number of employees in nonagricultural establishments
was 38,559,000 in September, or 181,000 less than in August.
In the year beginning September 1943 the armed forces increased
by about two millions, without a corresponding increase in the total
labor force. Thus unemployment, as well as employment was
lower in September 1944 than it was in the previous "year. The
decrease in the total number of employees in nonagricultural estab
lishments was about 1,119,000. Despite this decline and some
decrease in agricultural employment, never (since records have been
compiled) have fewer people been looking for work than in September
1944.
Fortunately, increases in productivity have made it possible
generally to maintain munitions production at needed levels with a
smaller work force. Had this not been the case, additional labormarket controls would have been necessary to overcome losses entailed
by withdrawals for the armed forces.
Part of the decrease in nonagricultural employment from August
to September was due to the fact that young people returned to school
and could not be replaced. In part it reflects continued reductions
in employment in munitions industries. The largest decline during
the month was in manufacturing which had almost 200,000 fewer
employees than in August and about a million and a quarter less than
in September 1934.
Industrial and Business Employment
There were 12,777,000 wage earners in manufacturing in September
1944 as compared with 12,940,000 in August. The durable-goods
group reported a decline of 145,000, while the decline in the non
durable group amounted to only 18,000.
Each of the major durable-goods groups of manufacturing industries
contributed to the general decline. One-third of the decline was
brought about by further cutbacks in aircraft and shipbuilding.
The number of wage earners in the transportation-equipment group
as a whole was about 50,000 less than in August, and 350,000 less than
in September 1943. Employment in this group declined steadily
after November 1943 when a peak of 2,337,000 wage earners was
reached.
Declines of more than 10,000 wage earners were also reported by
the machinery, iron and steel, and lumber groups. The declines in
the first two groups—machinery and iron and steel—reflect further
cutbacks, while the decline in the lumber group was seasonal.
1088
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Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1089
Of the 11 nondurable-goods groups, 7 reported declines in employ
ment ranging from 1,000 to 6,000 wage earners. Comments from
firms indicate that shortages of labor and materials were primarily
responsible for these declines. Return of workers to farms and of
students to schools were additional reasons for drops in employment.
Employment in bituminous-coal mining was 350,000 in Septem
ber—2,000 less than in August and 24,000 less than in September
1943. Scattered strikes continued in this industry in September.
The number of metal miners declined 2,000 between August and
September. Each of the metal-mining industries shared in the
decline.
T a b l e 1.-—Estimated Number of Wage Earners and Indexes of Wage-Earner Employ
ment in Manufacturing Industries, by Major Industry Group 1
Estimated number of wage
earners (in thousands)
Wage earner
indexes
(1939 = 100)
Industry group
Sep
tem
ber
19442
August
1944
July
1944
Sep
tem
ber
1943
Sep
tem
ber
19442
August
1944
12, 777
7,543
5, 234
12,940
7,688
5, 252
12,924
7, 726
5,198
13,935
8,319
5,616
156.0
208.9
114.3
158.0
212.9
114.6
Iron and steel and their products_________
Electrical machinery_____
Machinery, except electrical_____ . ______
Transportation equipment, except automobiles
A utom obiles___________
Nonferrous metals and their products________
Lumber and timber basic products________
Furniture and finished lumber products
Stone, clay, and glass products____________ ..
1,644
707
1,129
1,943
675
370
418
333
324
1,662
716
1,151
1,992
682
378
434
342
331
1,657
720
1,161
2,027
678
379
431
340
333
1,721
165.9
725
273.0
1,248
213.7
2,299 1,224.1
734
167.8
417
161.2
467
99.5
356
101.6
352
110.5
167.6
276.2
217.8
1,255. 3
169.5
164.8
103.2
104.1
112.9
Textile-mill products and other fiber manufactures
Apparel and other finished textile products
Leather and leather products..
Food___________________ .
Tobacco manufactures_____
Paper and allied products________
Printing, publishing, and allied industries__________
Chemicals and allied products..
Products of petroleum and coal
Rubber products______ _____
Miscellaneous industries . . .
1,078
763
303
1,096
82
296
328
593
134
193
368
1, 084
765
307
1,092
82
302
332
590
135
191
372
1,089
'747
307
1, 052
83
304
333
584
134
190
375
1,185
'822
315
1,102
88
311
330
738
126
195
404
All m a n u f a c t u r in g __ ____ _____ . . . .
Durable g o o d s... . . . ________
Nondurable goods________
.....
94.2
96.7
87.3
128.3
88.2
111.4
100.0
205.7
126.2
159.2
150.6
94.8
96.9
88.3
127.8
88.3
113.9
101.1
204.7
127.3
158.1
152.0
1 The estimates and indexes presented in this table have been adjusted to final data for 1941 and pre
liminary data for the second quarter of 1942 made available by the Bureau of Employment Security of the
Federal Security Agency.
2 Preliminary.
Public Employment
Regular Federal.—Employment of the Federal Government, which
had shown a gradual increase from March to August 1944, dropped
sharply in September 1944 with a decline of 35,000. The drop was
entirely in war agencies-—28,000 in the War Department, 8,000 in the
Navy, and 2,000 in the other war agencies. All other agencies com
bined showed a net rise of 3,000, reflecting increases mainly in the
Post Office Department and Veterans Administration which were
partially offset by small decreases in a number of the agencies.
Employment outside continental United States remained practically
level at a total of 382,000 for the executive branch and 5,500 for
Government corporations.
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Federal Reserve Bank of St. Louis
Monthly Labor Review—November 1944
1090
Total Federal employees, including 36,000 for Government cor
porations who are paid out of operating revenue and not out of Fed
eral funds, numbered 3,335,000 in September 1944, or 100,000 more
than in September 1943.
Shipbuilding and repair.-—Employment on shipbuilding and repair
projects financed by Federal funds declined 27,400 in September 1944
and 215,000 over the year period. The Pacific region was the only
region showing a rise in September 1944 (500) and the Inland region
was the only one showing a rise over the year (11,100). Employ
ment on shipbuilding and repair projects financed from Federal funds
totaled 1,502,000 in September 1944 and 1,717,000 in September 1943.
The employment drop during the year amounted to 15 percent for
private shipyards and 2 percent for the navy yards.
Sources of data.-—Data for the Federal executive service are reported
to the Civil Service Commission, whereas data for the legislative and
judicial services and Government corportations are reported to the
Bureau of Labor Statistics (table 2). Employment and pay rolls on
shipbuilding and repair projects (table 3) are received directly from
all shipyards within continental United States. Employees in the
United States navy yards are included both in the data for the Fed
eral executive service and in those for shipbuilding and repair.
T a ble 2. —Employment and P ay Rolls in Regular Federal Services, and in Government
Corporations, September 1944
[Subject'to'revision]
Employment
Service
Total_______________ —
Pay rolls
Septem August Septem September
ber 1944
1944
ber 1943
1944
-------------- 3,334,972 3, 370,141 3, 235, 256
<9
August
1944
September
1943
(9
(9
Executive 2-------------------------------------- 3,290, 496 3, 325, 694 3,189, 451 $704, 439, 000 $712,767,000 $683. 656,000
War agencies 3________
--- 2, 443,022 2,481,136 2, 371, 695 535, 297, 000 543, 944,000 520, ul6,000
Continental United States------ 2,076,973 2,112,426 2,048,034
(9
(9
(0
Outside continental United
States 4____________
____ 366,049 368, 710 323, 661
(0
(9
(9
847,474 844, 558 817. 756 169, 142,000 168,823,000 163, 640, 000
Other agencies -. - -----------------Continental United States------ 831, 525 828, 723 800, 841
(9
(9
(9
Outside # continental United
15,949
15,835
16,915
States 4----------------- -----------(9
(9
(9
784, 351
2,644
2,655
2, 651
667,123
777, 245
Judicial__________________________ 6,252
6, 221
6, 212
1, 540, 060
1, 528, 319
1,520,270
Legislative_____________ __________
35, 580
35, 580
36, 933
Government corporations 5---------------(9
(9
«
1 Data not available.
2 Includes employees in United States navy yards who are also included under shipbuilding (table 3),
and employees on force-account construction who are also included under construction projects (table 4).
Payrolls are estimated.
2 Covers War and N avy Departments, Maritime Commission, National Advisory Committee for Aero
nautics, The Panama Canal, Office for Emergency Management, Office of Censorship, Office of Price
Administration, Office of Strategic Services, Selective Service System, the Petroleum Administration for
War, War Refugee Board, and Committee for Congested Production Areas.
* Includes Alaska and the Panama Canal Zone.
« Employees of Government corporations are paid out of operating revenues and not out of Treasury funds.
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Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1091
1 a b l e 3.— Total Employment and P ay Rolls in United States N avy Yards and Private
Shipyards Within Continental United States, by Shipbuilding Region, September 1944
[In thousands]
Employment
Pay rolls
Shipbuilding region
Septem August
ber 19441
1944
All regions....................
United States navy yards 2__
Private shipyards___________
North A tlantic.................
South A tla n tic.. _ .
G u lf... ________
___ ._
P a c ific ___
Great Lakes________ _
Inland. _. _________
Septem1943
Septem
ber 1944 i
August
1944
1,502.1
322.0
1,180.1
1, 529. 5
324.0
1, 205. 5
1, 717.1
329.2
1,387. 9
$438,881
90. 815
v348,066
$446,996
91,430
355, 566
540.3
132.0
198.3
513. 7
57.1
60.7
552.5
135.0
207.7
513.2
58.9
62.2
634.3
152.1
232.0
582.7
66.4
49.6
158,753
36, 221
61,062
150, 710
16,606
15, 529
162,351
37,013
63, 949
150,657
17i 124
15,902
Septem
ber 1943
$458,942
87,137
37L 805
(3 )
(3)
(3)
(3 )
(3)
(3)
1 Preliminary.
2 Includes all navy yards within continental United States constructing or repairing ships, including the
Curtis Bay (M d.) Coast Guard yard. Data are also included in table 2 under executive service.
<• Break-down not available.
Construction Employment
Employment on new construction in continental United States
declined in September 1944 to a total of 757,000. Employment a
year ago had been 1,177,000. Employment at the construction site for
projects financed wholly or partially from Federal funds declined 14,000
in September 1944 and 370,000 in the past year. Streets and high
ways showed slight seasonal increases but all other types of projects
showed declines owing to completions. Of the non-Federal projects,
nonresidential building construction showed the greatest movement,
an increase of 9,000.
Source o f data .—For construction projects financed wholly or par
tially from Federal funds, the Bureau of Labor Statistics receives
monthly reports on employment and pay rolls at the construction site,
directly from the contractors or from the Federal agency sponsoring
the project. Force-account employees hired directly by the Federal
Government (28,574 in September 1944, 29,557 in August 1944, and
47,265 in September 1943) are also included in table 2 under Federal
executive service.
Estimates of employment on non-Federal construction projects
(except State roads) are secured by converting the value of work
started (compiled from reports on building permits issued, priorities
granted, and from certain special reports) into monthly expenditures
and employment by means of factors which have been developed from
special studies and adjusted to current conditions. For State road
projects, data represent estimates of the Public Roads Administration.
614112-44-
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Federal Reserve Bank of St. Louis
13
Monthly Labor Review—November 1944
1092
T a ble 4. —Estimated Employment and P ay Rolls on Construction Within Continental
United States, September 1944 a
[In thousands]
Employment
Pay rolls
Type of project
Septem A ugust Septem Septem A ugust Septem
ber 1944 1944 ber 1943 ber 1944 1944 ber 1943
N ew construction, to ta l1 ------ -- ------------------------At the construction site-_ _ ___ _______ _______
Federal projects 3__________________________
Airports _______ _______________ - B u ild in g s______ ______ _____ _____ _
Residential_______________ _____
Nonresidential4 _____________ ____
Electrification_________ . ____________
Reclamation-. - . . _______
_____
River; harbor, and flood control- ______
Streets and highways__________________
Water and sewer systems . ____________
Miscellaneous. _______
_________
Non-Federal projects, ___________________
Buildings-, ________________
Residential--. ____
______ ____
Nonresidential _ _ - _ . ________ _
Farm_____ __________________________
Public utilities___ _____________ - ____
Streets and highways_________ _ . . __
State, - _ . . . ___
___ _______ . . .
County and municipal .............
Miscellaneous. ______ ______ _
___ _ _ . _______ _______ _
Other3,
Maintenance of State roads 6---- --------------- _ ___
769.3
626.1
218. 2
15.0
133.7
17.3
116.4
.6
12.6
19.3
17.8
5.9
13.3
407.9
204.4
99.8
104.6
54.4
92.9
39.6
21.0
18.6
16.6
142.2
97.0
789.7 1,176. 9
(2)
(2)
(2)
639.6 1,001.1
(2)
(2)
(2)
232.4
576.0 $44,045 $47,076 $111,735
18.8
65.4
2,994
3,737
10,831
142.7
398.3 27, 579 29, 590
80,327
20.6
64.8
3,997
4, 627
14,058
122.1
333.5 23, 582 24,963
66,269
.7
.6
98
98
91
13.9
19.9
2, 675
2,953
3,928
29.2
21.0
3,681
3,987
5,716
33.2
17.0
3, 563
3,414
5, 805
6.0
941
8.0
958
1, 759
12.3
21.4
2, 514
2,339
3,278
407.2
425.1
(2)
(2)
(2)
202.3
216.2 46, 808 46, 529
46,699
107.1
147.2
(2)
(2)
(2)
95.2
69.0
(2)
(2)
(2)
56. 5
56.4
(2)
(2)
(2)
95.4
94.1
(2)
(2)
(2)
38.1
49.5
(2)
(2)
(2)
19.5
26.3
(2)
(2)
(?)
18.6
23.2
(2)
(2)
(2)
14.9
8.9
(2)
(2)
(2)
149.1
175.8
(2)
(2)
(2)
95.8
92.4
(2)
(2)
(2)
° D ata for September 1944 are preliminary.
1 Data are for all construction workers (contract and force-account) engaged on new construction, addi
tions and alterations, and on repair work of the type usually covered by building permits. (Force-account
employees are workers hired directly by the owner and utilized as a separate work force to perform construc
tion work of the type usually chargeable to capital account.) The construction figure included in the
Bureau’s nonagricultural employment series covers only employees of construction contractors and on
Federal force-account, and excludes force-account workers of State and local governments, public utilities,
and private firms.
3 Data not available.
8 Includes the following force-account employees hired directly by the Federal Government: September
1943, 47,265; August 1944, 29,557; September 1944, 28,574. These employees are also included under the
Federal executive service; all other workers were employed by contractors and subcontractors.
4 Includes the following employees and pay rolls for Defense Plant Corporation (RFC) projects;
Employment
Pay rolls
1944: September.......... ..........
25,200
$5,994,600
August___________
31,700
7,536,000
1943: Septem ber.........................................
138,100
30,522,000
6 Includes central office force of construction contractors, shop employees of special trades contractors,
such as bench sheet-metal workers, etc., and site employees engaged on projects which, for security reasons,
cannot be shown above.
6 D ata for other types of maintenance not available.
Detailed Reports for Industrial and Business
Employment, August 1944
Estimates of Nonagricultural Employment
ESTIMATES of employment in nonagricultural establishments are
shown in table 1. The estimates are based on reports of employers
to the Bureau of Labor Statistics, on unemployment-compensation
data made available by the Bureau of Employment Security of the
Federal Security Agency, and on information supplied by other
Government agencies, such as the Interstate Commerce Commission,
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Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1093
Civil Service Commission, Bureau of the Census, and the Bureau of
Old-Age and Survivors Insurance. The estimates include all wage
and salaried workers in nonagricultural establishments but exclude
military personnel, proprietors, self-employed persons, and domestic
servants.
Estimates of employees in nonagricultural establishments, by
States, are published each month in a detailed report on employment
and pay rolls.
T a b l e 1.— Estimated Number of Employees in Nonagricultural Establishments, by
Industry Division
Estimated number of employees
(in thousands)
Industry division
August
1944
July
1944
June
1944
August
1943
Total estimated employment i_..................... ....................................
38,740
38, 730
38,846
39,860
M anufacturing______________________ ___________________
Mining
I
_____ ____ . . . . . ____. . . . _______
Contract construction and Federal force-account construction..
Transportation and public utilities__________________ _______
Trade.
..
..........
........ .............. ............... ..............................
Finance, service, and miscellaneous_____ _________ _________
Federal, State, and local government, excluding Federal forceaccount construction_______________ j ____________________
16, 039
834
691
3,817
6, 908
4, 582
16, 012
833
686
3,809
6,942
4,618
16,093
844
691
3,803
6, 977
4,542
17,182
882
1,169
3,694
6,875
4,172
5,869
5,830
5,896
5,886
1 Estimates include all full- and part-time wage and salary workers in nonagricultural establishments
who are employed during the pay period ending nearest the 15th of the month. Proprietors, self-employed
persons, domestic servants, and personnel of the armed forces are excluded.
Industrial and Business Em ploym ent
Monthly reports on employment and pay rolls are available for 154
manufacturing industries and for 26 nonmanufacturing industries,
including water transportation and class I steam railroads. The
reports for the first 2 of these groups—manufacturing and nonmanu
facturing—are based on sample surveys by the Bureau of Labor
Statistics. The figures on water transportation are based on esti
mates prepared by the Maritime Commission, and those on class I
steam railroads are compiled by the Interstate Commerce Commission.
The employment, pay-roll hours, and earnings figures for manu
facturing, mining, laundries, and cleaning and dyeing, cover wage
earners only; but the figures for public utilities, brokerage, insurance,
and hotels relate to all employees except corporation officers and execu
tives, while for trade they relate to all employees except corporation
officers, executives, and other employees whose duties are mainly
supervisory. For crude-petroleum production they cover wage earn
ers and clerical field force. The coverage of the reporting samples for
the various nonmanufacturing industries ranges from about 25 percent
for wholesale and retail trade, cleaning and dyeing, and insurance, to
about 80 percent for public utilities and 90 percent for mining.
The general manufacturing indexes are computed from reports sup
plied by representative establishments in the 154 manufacturing in
dustries surveyed. These reports cover more than 65 percent of the
total wage earners in all manufacturing industries of the country and
about 80 percent of the wage earners in the 154 industries covered.
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Federal Reserve Bank of St. Louis
1094
Monthly Labor Review—November 1944
Data for both manufacturing and nonmanufacturing industries are
based on reports of the number of employees and the amount of pay
rolls for the pay period ending nearest the 15th of the month.
INDEXES OF EMPLOYMENT AND PAY ROLLS
Employment and pay-roll indexes, for both manufacturing and
nonmanufacturing industries, for June, July, and August 1944, and
for August 1943, are presented in tables 3 and 5.
The figures relating to all manufacturing industries combined, to
the durable- and nondurable-goods divisions, and to the major in
dustry groups, have been adjusted to conform to levels indicated by
final data for 1941 and preliminary data for the second quarter of 1942
released by the Bureau of Employment Security of the Federal Secu
rity Agency. The Bureau of Employment Security data referred to are
(a) employment totals reported by employers under State unemploy
ment-compensation programs, and (6) estimates of the number of
employees not reported under the programs of some of these States,
which do not cover small establishments. The latter estimates were
obtained from tabulations prepared by the Bureau of Old-Age and
Survivors Insurance, which obtains reports from all employers, regard
less of size of establishment.
Not all industries in each major industry group are represented in
the tables, since minor industries are not canvassed by the Bureau,
and others cannot be shown because of their close relationship to the
war program. Furthermore, no attempt has been made to allocate
among the separate industries the adjustments to unemploymentcompensation data. Hence, the estimates for individual industries
within a group do not in general add to the total for that group.
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Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1095
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Federal Reserve Bank of St. Louis
1096
Monthly Labor Review—November 1944
T a ble 2.—Estimated Number of Wage Earners in Manufacturing Industries
Estimated number of wage earners
(in thousands)
Industry 2
August
1944
12,940
7, 688
5, 252
All manufacturing___
Durable goods___
Nondurable goods.
July 1944 June 1944
12,924
7,726
5,198
12, 985
7,819
5,166
August
1943
13, 990
8, 321
5, 669
Durable goods
1,662
482.0
73.1
24.7
73.5
15.5
42.0
32.5
35.1
22.7
27.2
46.2
23.0
1,657
481.0
72.6
24.3
73.5
15.5
41.2
32.9
35.2
64.0
55.5
89.6
73.7
13.5
26.2
34.9
25.8
44.2
7.4
1, 660
481.8
73.1
24.6
74.6
15.3
39.8
33.5
35.0
23.0
27.7
45.6
22.9
1, 718
514.9
79.9
26.0
83.7
15.3
37.0
35.6
32.6
63.7
55.5
89.0
75.3
13.2
26.3
35.0
26.2
45.0
6.9
63.0
56.3
56.0
59.5
92.0
71.9
13.3
29.7
39.8
26.7
49.4
8.4
716
449.6
124.3
110.3
720
449.8
126.8
112.3
729
456.0
129.0
112.9
717
464.9
116.0
Machinery, except electrical__________ ____ _________
Machinery and machine-shop products__________
Tractors______________________________________
Agricultural machinery, excluding tractors.............
Machine tools_________________________________
Machine-tool accessories......... .............. ............... .......
Textile machinery_________ ______ ____ ____ _
Pumps and pumping equipment___________ ____
Typewriters__________________________________
Cash registers, adding and calculating m achines...
Washing machines, wringers, and driers, domestic.
Sewing machines, domestic and industrial-.._____
Refrigerators and refrigeration equipment_______
1,151
460.3
58.7
44.5
76.0
66.5
26.6
76.8
11.4
32.2
13.2
9.5
52.2
1,161
462.2
60.0
45.4
77.0
67.8
26.8
79.0
11.3
32.2
13.6
9.4
52.2
1,177
468.0
60.0
45.9
78.5
68.7
27.2
80.9
1, 251
496.9
54.1
39.4
106.0
Transportation equipment, except automobiles.
Locomotives___________________ ________
Cars, electric- and steam-railroad____ ____
Motorcycles, bicycles, and parts__________
1,992
35.8
58.1
9.3
Automobiles.
Nonferrous metals and their products____________________ 1..
Smelting and refining, primary, of nonferrous metals_____
Alloying and rolling and drawing of nonferrous metals, ex
cept aluminum______________________________________
Clocks and watches__________________________ ______ _
Jewelry (precious metals) and jewelers’ findings...________
Silverware and plated ware________________________ ____
Lighting equipment______________________________ _____
Aluminum manufactures_______________________ _____ _
Sheet-metal work, not elsewhere classified________ _____ _
Lumber and timber basic products.
Sawmills and logging camps__
Planing and plywood mills___
Iron and steel and their products___________________________
Blast furnaces, steel works, and rolling mills____ ____ - ___
Gray-iron and semisteel castings________________________
Malleable-iron castings____________________ ____ ________
Steel castings____________ ____ ________________________
Cast-iron pipe and fittings____________________________._
Tin cans and other tinw are_____________________________
Wire drawn from purchased rods________________________
Wire work_____________________________________________
Cutlery and edge tools_________________________________
Tools (except edge tools, machine tools, files, and sa w s)___
Hardware_____________________ ______ _________________
Plumbers’ supplies__________________________ v .............
Stoves, oil burners, and heating equipment, not elsewhere
classified____________________________________________
Steam and hot-water heating apparatus and steam fittings.
Stamped and enameled ware and galvanizing____________
Fabricated structural and ornamental metalwork____ 1___
M etal doors, sash, frames, molding, and trim ................ .........
Bolts, nuts, washers, and rivets A........ .....................................
Forgings, iron and steel__________ _•.............. ................ ..........
Wrought pipe, welded and heavy riveted________________
Screw-machine products and wood screws_______________
Steel barrels, kegs, and drums._____ ____________________
Electrical machinery........ ..............
Electrical equipment_______
Radios and phonographs 4__
Communication equipm ent4
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
22.8
27.1
45.8
22.7
88.8
76.2
13.1
27.0
36.5
26.4
45.9
6.5
21.6
27.4
45.8
23.2
112.0
86.8
28.1
77.9
11.1
11.6
33.4
13.7
9.3
52.9
34.8
14.2
10.4
55.9
2,027
35.6
58.7
9.4
2,079
36.1
58.4
9.5
2, 304
33.7
62.8
9.9
682
678
689
714
378
47.2
379
48.3
385
49.1
415
58.3
69.5
26.0
13.8
10.7
27.2
69.6
32.8
68.1
70.3
25.4
14.1
74.9
25.4
15.7
10.6
10.6
11.8
26.5
72.7
32.3
26.2
74.6
32.4
24.6
82.1
29.1
434
240.1
71.0
431
237.5
71.3
427
235.4
71.0
482
264.2
81.3
25.6
13.7
1097
Trend of Employment, Earnings, and Hours
T a b l e 2.-—Estimated Number of Wage Earners in Manufacturing Industries 1— C on.
Estimated number of wage earners
(in thousands)
Industry 2
August
1944
July 1944 June 1944
August
1943
Durable goods—Continued
362
18.8
169.6
29.9
11. 7
10. 5
22. 2
Furniture and finished lumber products------------------------------Mattresses and bedsprings-----. --------- ------ ---------------------Furniture ____
- - ----------------------------------------Wooden boxes, other than cigar-------------------------------------Caskets and other mortician’s goods--------------------------------.
Wood preserving-------- -------------------------------- ------------Wood, turned and shaped . . ------------------------------ -- . . .
342
17.4
157.2
28.2
12.6
10.4
22.0
340
16.9
156.5
28.2
12. 5
10. 2
21.9
339
16. 7
157.7
28.2
12.7
10.0
21.0
Stone, clay, and glass products-------------- ------ ---------------- -----Glass and glassware ---------------------- ------------ ------------Glass products made from purchased glass, -------------------Cement ___. .
--- ---------------------------------------------Brick, tile, and terra cotta ---------------------- - - ---------Pottery and related products----------------------------------------G ypsum ,__
. _ -------------------------------------------------Wallboard, plaster (except gypsum), and mineral wool-----Lime
_______ ________ __________________
Marble, granite, slate, and other products --------------------Abrasives------------------------------------------------------------Asbestos products---------------------------- --------------------------
331
90.0
10.1
17.5
43.0
41.1
4.0
9.9
8.3
13.5
21.1
20.5
333
91.3
10.3
17.4
42.8
41.4
4.1
9.7
8.2
13.1
21.3
20.6
334
92.7
10.3
17.1
42. 7
41.6
4.1
9.4
8.2
12.7
21.7
20.5
358
89.4
11.1
23.8
50.1
42.6
4. 5
11.0
9. 2
12.9
24. 6
22.0
Textile-mill products and other fiber manufactures----------------Cotton manufactures, except smallwares— ----------- -------Cotton small wares . . .
_______________________ - -Silk and rayon goods----------------------------------------------------Woolen and worsted manufactures, except dyeing and
finishing.. _____ _____ . ----------------------------------------H osiery..
________________________________________
Knitted cloth. ____ _ . . .
...
--------- . . . -----Knitted outerwear and knitted gloves----------------------------Knitted underwear----- -- ---------- . -------------------Dyeing and finishing textiles, including woolen and worsted.
Carpets and rugs, wool-------------------------------------------------Hats, fur-felt-------------- -------------------------------------------- Jute goods, except felts . . _ --------------------------------- _
Cordage and twine---------— --------- ------------------------ --- -
1,084
431.4
13.0
88.7
1,089
434.2
13.1
88.5
1,105
435.8
13.4
89.5
1,204
478.2
16.2
94.7
144.8
104.4
10.3
28.5
35.2
59.5
20.2
9.1
3.3
15.1
145.9
104.7
10.4
28.8
35.2
60.1
19.9
9.2
3.2
15.3
151.3
106.2
10.6
29.6
36.1
60.8
20.3
9. 4
3.3
15.4
161.6
115.2
11.6
32.9
40.9
66.1
21.9
9.9
3.7
16.8
Apparel and other finished textile products------------------------- .
M en’s clothing, not elsewhere classified- ------------------ . . .
Shirts, collars, and nightwear----------------------------------------Underwear and neckwear, men’s . . . _ ---------------------------Work shirts. ______ _____ ______ - --- --------------------W omen’s clothing, not elsewhere classified ---------- . . .
Corsets and allied garments------- ---------- ------ -- —
M illinery. . . ------------------ ------------------------------------ -Handkerchiefs. ------------------------ - ------------- - --Curtains, draperies, and bedspreads „
---------------------Housefurnishings, other than curtains, e tc .— - --------------Textile bags------------ ------------------------------ --------------------
765
210.5
52.3
12.1
15.0
214.6
14.4
19.0
2.8
13.3
10.6
14.0
747
208.2
53.2
11.9
15.1
205.0
14.4
17.4
2.9
13.3
10.4
14.0
773
213.8
53.8
12.2
15.3
216.6
15.2
16.9
3.0
13.3
10. 2
14.3
834
224. 5
57.9
13.0
18.1
234.0
16.1
19.8
3.6
16.0
14.1
14. 4
Leather and leather products----------------------- ----------------------Leather___
------ ------------------ ----Boot and shoe cut stock and fin d in gs-------------------- ------Boots and shoes------- ----------------------------------------------Leather gloves and mittens
. . . ...... ............ ............
Trunks and suitcases_______ ___________________ _____
307
40.0
16.1
173.8
12.6
12.3
307
40. 0
16.2
174.0
12.6
12.1
308
40.3
16.3
174.9
12.8
11.7
325
43.4
16.8
183.2
13.8
13.0
Food
-- - __________ - - - - ____Slaughtering and meat packing- ----------------------------------B utter. ___ _____________ ______ . ------------------------Condensed and evaporated m ilk. _ ---------------------------Ice cream_____ __________ ______ ____ _ _
---------Flour
_
_______
___
. - ___ ______ Feeds, prepared------------------. . . . -------------------Cereal preparations.. -------------------------------------------------Baking
__________________ . ------------------------------Sugar refining, c a n e ----------. ---------- -- ---------- ----Sugar, beet___ , ____________ . . . ------------- .
C o n fectio n ery ...------- ------------------------ ----------- .
Beverages, nonalcoholic------------------------------- ----------M alt liquors_________ ___________
. ----------------- -----Canning and preserving------------------------------------------------
1,092
156.3
24.0
15.1
17.3
28.1
20.3
9.1
258. 5
15.3
4.6
56.6
31.6
53.5
219.7
1,052
158.7
24.8
15.8
18.0
29.0
19.9
9.3
258.4
15.1
4.0
54.2
32.2
53.3
177.2
975
157.7
25. 2
16.1
17.5
28.0
19.8
9.3
257.4
14.6
4. 2
56.4
30.5
50.8
110.5
1.097
162.7
23.7
14.2
17.3
28.6
21.6
10.0
251.4
14. 5
5. 3
52.9
30.6
48.8
235. 2
p
Nondurable goods
See footnotes a t end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
1098
Monthly Labor Review—November 1944
T a b l e 2 . — Estimated Number of Wage Earners in Manufacturing Industries 1— C on.
Estimated number of wage earners
(in thousands)
Industry 3
August
1944
July 1944 June 1944
August
1943
Nondurable goods—Continued
Tobacco manufactures____________
Cigarettes___________ ____ ________
C ig a r s ___ ______________
Tobacco (chewing and smoking) and s n u ff...
82
34.9
34.4
7.9
83
35.0
34.7
7.8
84
34.3
36.2
7.7
88
34.4
40.3
8.2
Paper and allied products_______ ______
Paper and p u lp _______ _________________
Paper goods, other_____________________ .
Envelopes_______________________
Paper bags______________ _ _____________
Paper boxes____________________________
302
146.8
44.8
9.4
13.6
78.5
304
146.3
45.9
9.5
13.5
79.3
303
145.9
46.1
9.6
13.4
79.0
315
150.4
47.9
10.4
12.7
84.4
Printing, publishing, and allied industries...
Newspapers and periodicals.. . ______ _. ____
Printing, book arid job__________
Lithographing..........
. . . ___ _. _
Bookbinding____________________
332
110.2
133.3
24.8
27.9
333
109.7
135.0
25.1
28.2
331
110.4
132.1
25.0
28.2
337
112.0
134.0
25.4
30.2
Chemicals and allied products___________________
Paints, varnishes, and colors______________
Drugs, medicines, and insecticides __________
Perfumes and cosmetics________ ___________
Soap______ ________ _____
Rayon and allied products_________ . .
Chemicals, not elsewhere classified..
Compressed and liquefied gases..........
Cottonseed o il... _____ _________
Fertilizers____ ________________
590
30.0
49.5
12.2
12 ñ
53.1
118.3
6.1
12.3
19.1
584
30.0
50.0
11.9
585
29.9
50.6
11.5
741
30. 0
46. 5
11.5
52.7
118.9
6.1
11.3
18.6
52.3
119.5
6.2
11.8
19.5
52.7
117.8
6.4
13.2
18.8
Products of petroleum and coal__
Petroleum refining____ ___
Coke and byproducts_____ .
Paving materials3...............
Roofirig materials____ ____ ________
135
91.2
23.2
1.8
9.6
134
90.5
23.1
1.8
9.7
132
88.7
23.0
1.8
9.6
127
82.6
24.4
1. 6
9.8
Rubber products_______ . . . . _
Rubber tires and inner tubes.. . . . .
Rubber boots and shoes_____ ..
Rubber goods, other__________
191
91.2
19.5
71.2
190
89.6
19.6
71.9
191
89. 2
20.0
72.3
194
89.4
22. 2
72.7
Miscellaneous industries_____ . . . . . . .
Photographic apparatus_____ ______
Pianos, organs, and parts_____ ____
Games, toys, and dolls. _. . . _ ______
Buttons_______________ .
Fire extinguishers______
_______
372
28.8
6.3
17.0
9.1
5.6
375
29.6
6.1
16.4
9.2
5.6
379
29.2
6.8
15.9
9. 6
5.8
407
30.7
10.4
16.1
10. 5
7.6
1 Estimates for the major industry groups have been adjusted to final data for 1941 and preliminary data
for the second quarter of 1942 made available by the Bureau of Employment Security of the Federal Security
Agency. Estimates for individual industries have been adjusted to levels indicated by the 1939 Census
of Manufactures, but not to Federal Security Agency data. For this reason, together with the fact that
this Bureau has not prepared estimates for certain industries, and does not publish wage earners in restricted
war industries, the sum of the individual industry estimates w ill not agree with totals shown for the major
industry groups.
2 Unpublished information concerning the following war industries may be obtained by authorized
I . S. Government agencies upon request: Aircraft engines; aircraft and parts, excluding aircraft engines;
ammunition, small-arms; engines and turbines; explosives and safety fuses; firearms; fireworks; instruments
(professional and scientific) and fire-control equipment; optical instruments and onhthalmic goods; and
shipbuilding and boatbuilding.
3 Revisions have been made as follows in the data for earlier months:
Bolts, nuts, washers, and rivets.—January through M ay 1944 wage earners to 29.4, 28.8, 28.5, 27.9, and
27.3.
Paving materials.—April and M ay 1944 wage earners to 1.5 and 1.6.
4 Comparable data for earlier months available upon request.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1099
T a b l e 3 .— Indexes of Wage-Earner Employment and of Wage-Earner Pay Roll in
Manufacturing Industries 1
[1939 average=100]
Wage-earner employment
Wage-earner pay roll
Industry 2
All manufacturing.___ _____________________
Durable goods______________________
Nondurable goods_________________
Aug.
1944
July
1944
June Aug. Aug.
1944 1943 1944
158.
212.
114.
157.
214.
113.
158.f 170.8 313. £ 310.7 318.
216.; 230.' 432. ‘ 428.5 442.
112.8 123.8 198. C 195. 6 196.
322.2
448.2
199.0
167.6
124.1
125.2
136.7
244.4
93.7
132.1
148.1
115.4
147.5
167.1
123.8
124.2
134.8
244.4
93.6
129.7
149.9
116.0
148.0
167.4
124. C
125.2
136.6
248.0
92.4
125.3
152.4
115. c
149.5
308.1
229.9
253.0
267.0
484.1
162.5
186.9
249.0
200.9
277.4
July
1944
June
1944
Aug.
1943
Durable goods
Iron and steel and their products__________
Blast furnaces, steel works, and roiling m ills.Ill
Gray-iron and semisteel castings_____________
Malleable-iron castings..___ ___________
Steel castings________ __________ III II........
Cast-iron pipe and fittings..... ........... .1.1 II11III
Tin cans and other tinw are...........
Wire drawn from purchased rods_________ II
Wire work_____ ______________________
Cutlery and edge tools_______ IIIIIIIII
Tools (except edge tools, machine tools, files, and
saws)__________________________
Hardware___________________ IIIIIIIIIIIIIII
Plumber’s supplies___ _____ _______ IIIIIIII'
Stoves, oil burners, and heating equipment, not
elsewhere classified_______________________
Steam and hot-water heating apparatus and
steam fittings___________________________
Stamped and enameled ware and galvanizing__
Fabricated structural and ornamental metal
w ork...-________ ____________________
Metal doors, sash, frames, molding, and trim .II.
Bolts, nuts, washers, and rivets 3____________
Forgings, iron and steel_____________ _______
Wrought pipe, welded and heavy riveted______
Screw-machine products and wood screws_____
Steel barrels, kegs, and drums_______________
207.4
173.9
182.8
226.8
308.3
261.4
121.2
212.1
171.0
184.0
227.7
313. 3
265.7
113.8
214.4
169.0
188.4
237. 5
314.9
271.2
106. 3
202.4
171.7
207.9
259.1
319. 5
292.0
139.0
406.5
319.6
354.3
433. 5
604. 1
514. 1
241.6
415.5
315.4
340.5
434.2
600. 6
507.7
214.7
420.7
313.3
366. 7
466.0
614.7
529.8
209.5
372.6
302.4
385.9
483.2
586.1
550.9
270.3
Electrical m achinery.______ _______ __________
Electrical equipment___ ______________11III I
Radios and phonographs 4___________________
Communication equipm ent4________________
276.2
248.7
285.6
343.6
277.8
248.8
291.5
349.5
281.4
252.3
296.4
351.4
276.7
257.2
266. 6
348.7
493.1
451.9
534.0
550.4
494.2
450.6
542.4
556.9
507.5
464.6
559.5
559.2
475.3
451.9
469.7
511.4
Machinery, except electrical_________________
Machinery and machine-shop products ..
Tractors__________________________________
Agricultural machinery, excluding tractors
Machine tools____ ________________________
Machine-tool accessories................. ...............
Textile machinery______________________ 11II
Pumps and pumping equipment..................
Typewriters_____________________________ I_
Cash registers, adding and calculating machines.
Washing machines, wringers, and driers, do
mestic__________________________________
Sewing machines, domestic and industrial_____
Refrigerators and refrigeration equipment______
217.8
227.5
187.5
160.1
207.4
264.2
121.3
316.7
70.5
163.4
219.8
228. 4
191.7
163.2
210.2
269.5
122.3
326.0
69.4
163.6
222.8
231.3
191.9
165.2
214.4
273.0
124. 1
333.8
68.7
169. 5
236.8
245.6
172.9
141.7
289.5
344.9
128.4
321.3
71.4
177.0
406.2
416.5
291.6
319. 1
369.2
449.8
220.6
667. 0
140.1
319.6
403.5
408.6
293.4
334.0
370.6
457.9
225. 7
676.1
140.2
315.2
422.3
429.1
304.0
335.6
383.8
474. 6
230.2
711.7
141.0
334.3
423.9
429.9
263.0
267.4
470.2
565.3
226.7
657.1
137.3
338.9
Transportation equipment, except automobiles____
Locomotives______________________________
Cars, electric- and steam-railroad______ IIIIIIII
Motorcycles, bicycles, and parts_____________
1255.3
552.8
236.9
133.8
173.3
132. 6
136.7
144.0
278.2
92. i
116.5
161.8
107.2
140.2
309.2
222.7
244.2
279.7
455.9
178.4
221.5
243.5
228.2
304.6
306.2
224.9
243.6
273. 5
434.4
177.0
212. 1
240.3
233.2
304.2
311.0
224.5
248.9
280.5
452.5
175.3
206.6
251.4
227.7
310.8
177.4 177.2 180.7 178.7 331.4 327.8 338.9 328.8
129.7 128.4 128. 1 128.4 261.8 257.6 263.3 250.9
93.4 92.3 92.9 94.0 169.9 164.2 170.6 160.3
138.7 138.1 136.6 121.4 256.2 252.3 258.8 211.1
183.2 183.1 185.8 196.5 344.9 338.4 346.1 350.7
161.3 160.2 159.9 165.7 324.4 319.8 322.7 306.0
177.4 182.1 184.2 190.0 310.7 326.9 331.4 320.7
120.8 120.2 119.0 133.3 249.4 246.9 259.8 278.1
148.3 148.5 150.5 159.1 267.8 248.8 269.7 273.5
1277.0
550.7
239.4
134.5
1309.6
558.6
238.0
136.0
Automobiles............... .......................... ............ .......... 169.5 168.4 171. 2
Nonferrous metals and their products____________ 164.8 165.2 168.1
Smelting and refining, primary, of nonferrous
metals__________________________________ 170.8 174.7 177.5
Alloying and rolling and drawing of nonferrous
metals, except aluminum_________ ________ 179.0 175.5 181. 1
Clocks and watches_________ _______ _______ 127.9 126.1 125.1
Jewelry (precious metals) and jeweler’s findings.. 95.2 94.9 97.4
Silverware and plated ware_________________
88.3 87.6 87.3
Lighting equipment________________________ 132.6 129.4 127.9
Aluminum manufactures___________ ________ 295.6 308.9 316.7
Sheet-metal work, not elsewhere classified......... 175.2 172.1 172.6
1451.7
520.6
256.0
142.1
2606.1
1279.0
462.0
242.7
2602.4
1183.3
465.5
249. 4
2691.0
1265.9
476.4
249.7
2805.5
1079.6
496.8
254.4
177. 5 306.8 302.8 319.0 324.2
180.9 306.0 304.7 315.9 325.4
211.0 315.1 324.8 334.2 380.4
193.0
125.0
108.8
97.7
119.9
348.5
155.4
336.6
267.5
149.0
157.1
237.5
521.9
321.7
320.1
257.0
149.4
158.2
218.9
550.5
322.5
340.3
260.9
160.0
159.8
231.3
566.5
319.6
350.7
236.4
156.9
169.0
209.7
608.9
268.0
Lumber and timber basic p ro d u cts........................... 103.2 102.4 101.6 114.6 197.8 185.1 193.5 206.0
Sawmills and logging camps......... .....................
83.4 82.5 81.7 91.7 164.8 151.5 159.3 169.0
Planing and plywood mills______ _____ _____
97.7[ 98.2 97.7 111.9 167.4 165.5 170.1 182.9
See fo o tn o tes a t end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
1100
Monthly Labor Review—November 1944
T a b l e 3 . — Indexes of Wage-Earner Employment and of Wage-Earner P ay Roll in
Manufacturing Industries— Continued 1
[1939 average=100]
Wage-earner employment
Industry 2
Wage-earner pay roll
July
1944
June
1944
Aug.
1943
191.4
161.3
181.0
219.7
179. 5
201.0
180.6
183.8
155.2
173.9
214.4
163.6
193.0
176.2
187.5
156.7
177.9
220.4
173.7
191.0
172.7
185.5
163.0
179.2
210.8
145. 5
178.4
167.0
121.8
128.1
111.3
100.0
88.2
128.6
92.2
189.0
204.3
169.8
117.8
124.1
193. 0
140.7
184.1
197.1
165.5
112.8
121.5
187.0
140.9
189.8
209.7
168.1
110.6
122.8
196.3
145.4
192.3
193.9
166.9
148.2
136.7
190.2
160.6
121.9 119.1 116.1 136.0
87.2 86.4 86.2 97.7
72.9 70.7 68.7 69.6
273.0 275.3 280.5 317.4
128.7 129.4 129.3 138.4
218.8
171.1
112.6
453.4
253.1
217.6
167.3
105.8
452.6
253.2
211.5
170.4
104.5
459. 3
257.1
226.9
181.1
97.9
498.4
257.0
105.2
120.8
121.4
79.1
168.2
203.7
173.9
133.7
168.5
206.6
174.7
130.7
172.5
204.7
180.7
135.8
173.2
203.6
207.8
133.6
108.3
72.4
106.7
116.9
106.2
181.1
105.9
160.0
181.9
163.3
184.3
101.9
160.9
180.9
159.4
194.8
105.7
165.6
189.1
168.9
198.3
106.5
172.4
192.4
176.9
98.9
85.5
68.0
104.1
138.7
146.2
134.5
112.6
173.7
229.3
147.0
132.1
109.3
167.7
231.2
150.7
135.5
120.7
177.5
232.6
151.6
135. 0
114. 2
187.7
232.7
96.9 94.6 97.9 105.7 167.1
Apparel and other finished textile products________
96.3 95.2 97.8 102.7 160.6
M en’s clothing, not elsewhere classified_____
Shirts, collars, and n ig h tw ea r.________________ 74.2 75.5 76.4 82.2 127.8
74.6 73.7 75.7 80.7 143.3
Underwear and neckwear, men’s. ____________
_____________________ 111.8 112.1 113.9 134.7 208.5
Work shirts___ ____ _
79.0 75.5 79.7 86.1 139.6
Women’s clothing, not elsewhere classified_____
Corsets and allied garm ents.. . ______ _________ 76.7 76.5 80.9 85.7 123.7
Millinery___________________________ ________ 78.1 71.6 69.7 81.5 129.3
58.8 59.4 61.8 73.8 103.8
Handkerchiefs_______________________________
78.5 78.4 78.7 94.8 142.3
Curtains, draperies, and bedspreads___________
Housefurnishings, other than curtains, etc______ 100.1 98.3 96.1 132.5 183.5
Textile bags_______ _________________________ 117.2 116. 7 119.3 120.1 192.3
156.6
154.6
133.4
142.3
183. 2
125.6
126.4
103. 2
104.1
149.4
178.3
190.1
166. 2
166.5
135.0
148.4
204.4
134.8
141.0
90.7
109. 6
157.0
174. 9
192.1
164.1
153.8
131.3
142.6
225.2
137. 5
131.9
122.3
122.9
150.1
219.6
180.4
153.4
146.2
139.0
140.2
221.8
230.6
153.1
146.5
139.7
139.8
214.5
228.2
155.9
148.2
144.3
142.8
215. 2
226.1
147.8
137.9
133.6
135.4
223.8
232.5
200.1
210.7
205.2
255.3
157.9
190.2
221.5
208.3
167.5
172. 4
64.2
188.3
196.5
219.6
215. 7
271.0
163.5
195.3
224.3
216.2
168. C
167.9
55.7
178.2
185.6
217.5
216.8
280.1
153. 6
187. 5
221.0
219.4
166.8
166.3
62.2
185.8
187.8
202.6
191.7
222.2
149.3
183.7
222.5
230.3
152.5
154.7
73.7
154.5
Aug.
1944
July
1944
June Aug. Aug.
1944 1943 1944
Durable goods—Continued
Furniture and finished lumber products----------------- 104.1 103.5 103.4 110.4
94.8 92.0 90.9 102.5
Mattresses and bedsprings____________ . ______
Furniture.- ______ . . . --------------------------- 98.8 98.3 99.0 106.5
Wooden boxes, other than cigar--------- ------------- 111.3 111.2 111.2 117.9
Caskets and other mortician’s goods___________ 100.9 100.8 102.4 94.3
92.8 90.3 88.9 93.1
Wood preserving.. _ _______________________
99.8 99.7 95.4 100.8
Wood, turned and shaped____________________
Stone, clay, and glass products......................... ..............
______
Glass and glassware_______________
Glass products made from purchased glass-------Cement______________ ______ _ ___________ Brick, tile, and terra cotta. _________________ .
Pottery and related products--------------------------Gypsum .. . . . . . . .
. . _____
. -----Wallboard, plaster (except gypsum), and mineral
wool__ _________ - - --------------------------la m e. . . . ._ ______ __________________ ____
Marble, granite, slate, and other products--------A brasives.. __________ . . . ------------- ------ -Asbestos products__________________________ .
112.9
129.0
101.3
73.4
75.7
124.1
80.0
113.4
130.7
103.4
73.2
75.5
125.0
82.7
113.7
132.8
103.2
71.7
75.2
125.5
82.9
Nondurable goods
94.8 95.2 96.6
Textile-mill products and other fiber manufactures. .
Cotton manufactures, except smallwares----------- 108.9 109.6 110.0
Cotton smallwares_________________________ . 97.3 98.1 100.3
74.1 73.9 74.7
Silk and rayon goods_____ . . . -------------- -----Woolen and worsted manufactures, except dye
ing and finishing___________________________ 97.0 97.8 101.4
65.7 65.8 66.8
Hosiery_____________________________________
_ ---------- 94.1 95.2 97.0
Knitted cloth_____ _____________
Knitted outerwear and knitted g loves......... ......... 101.5 102.4 105.2
Knitted underwear____
. . . _______ ___ 91.3 91.4 93.7
' Dyeing and finishing textiles, including woolen
88.9 89.9 90.9
and worsted_______________________________
78.9 77.9 79.3
Carpets and rugs, wool_______________ ______
Hats, fur-felt
. _ ________________
______ 62.9 63.4 64.7
92.5 89.3 92.3
Jute goods, except felts_____________ ________
Cordage and tw ine___________________________ 124.9 126.1 127.0
88.3 88.5 88.8 93.6
Leather and leather products.......... ...............................
___ _________________ 84.6 84.6 85.3 91.8
Leather________
Boot and shoe cut stock and findings__________
85.5 85.7 86.4 89.4
79.7 79.8 80.2 84.0
Boots and shoes_____________________________
Leather gloves and mittens______________ . . . . 125.7 126.2 128.6 138.5
Trunks and suitcases 3________________________ 147.7 145.7 140.2 156.3
Food_____
. . . . . . ____________________________
Slaughtering and meat packing. ______________
Butter__ ___________ _______ ________________
Condensed and evaporated milk___
_ ___
Ice cream----------------------- ----------------------------Flour_______________________________________
Feeds, p r e p a r e d .._____________________ _____
Cereal preparations_____________________ _____
Baking. _ _______________ _______ ______ _____
Sugar refining, c a n e ________ _______________
Sugar, beet
__
......
___
. . . ____
Confectionery. . . . . . . . ________ ____ _______
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
127.8
129.7
133.5
155.7
110.1
113.6
132.0
122. C
112. C
108.4
44.6
113. £
123.1
131.7
137.9
162. 7
114.4
116.9
129.5
125.2
112.0
107. C
38.7
108. £
114.1
130.9
140.2
165.6
111.4
113.0
128.4
125. C
111.6
103.3
40.1
113.5
128.4
135.0
132.2
146.5
110.0
115.4
140.3
133.4
109. C
102.3
51.1
106.3
Trend of Employment, Earnings, and Hours
1101
T a b l e 3 . — Indexes of Wage-Earner Employment and of Wage-Earner P ay Roll in
Manufacturing Industries 1—Continued
[1939 average=100]
Wage-earner employment
Industry 2
Wage-earner pay roll
Aug. July June Aug. Aug. July June
1944 1944 1944 1943 1944 1944 1944
Aug.
1943
Nondurable goods—Continued
Food—C onti nued.
Beverages, nonalcoholic___ ___________________ 148.8 151.6 143.5 143.8 206.4 213. 0 193.8 182.0
M alt liquors_________________ _______ —_____ _ 148.2 147.8 140.8 135.3 223.9 225.5 210.0 192.8
Canning and preserving______________________ 163.4 131.8 82.2 174.9 306.2 242.8 156.7 316.3
Tobacco manufactures___________________________
Cigarettes__________________________________
Cigars________ ___________ _______________
Tobacco (chewing and smoking) and snuff___
88.3 88.6 89.5 94.8 157.6 157.1
127.2 127.7 125.2 125.3 195.9 196.9
67.6 68.2 71.2 79.1 133.4 132.3
86.0 84.6 83.8 89.6 135.6 132.7
Paper and allied products___________ ____________
Paper and pulp______________________________
Paper goods, o th e r ___________ _______ ________
Envelopes___________________
____________
Paper bags__________________________________
Paper boxes_____________ __________________ _
113.9
106.8
119.0
107.7
123.1
113.5
118.8
109.4
127.3
120.1
114.5
122.0
186.0
180.6
187.3
165.4
200.6
178.8
Printing, publishing, and allied industries_________
Newspapers and periodicals__________________
Printing, book and job . . _ ________________
Lithographing_______________________________
Bookbinding________________________________
101.1 101.6 100.8 102. 9
92.9 92.5 93.1 94.4
105.5 106.9 104.6 106.1
95.2 96.5 96.1 97.8
108.4 109.3 109.5 117.1
137.9
118.4
149.4
132.3
182.9
114.4
106.4
122.0
109.6
122.1
114.6
114.2
106.2
122.5
110.6
121.0
114.2
157.5
189.2
141. 0
124.6
151.1
186.6
128.5
131.8
184.9
178.6
394.1
167.2
193.9
175.8
186.6
179.8
194.1
171.0
200.0
178.7
181.9
175.2
187.3
170.8
176.7
180.1
138.0
117.1
151.9
132.4
181.3
137.4
117.1
149.5
137.3
180.5
128.8
112.7
134.8
127.4
179.4
Chemicals and allied products____________________ 204.7 202.7 202.9 257.0 357.7 355.5 355.4 435.8
Paints, varnishes, and colors_________________ 106.4 106.8 106.4 106. 5 169.1 167.1 169.1 159.7
Drugs, medicines, and insecticides________ ____ 180.5 182.4 184.6 169.5 261.5 263.4 266.7 236.1
Perfumes and cosmetics______________________ 117.5 115.1 111.1 111.2 159.2 160.9 156.0 148.4
Soap________________________________________ 99.5 99.5 99.2 95.8 165.8 162.9 168.3 149.1
Rayon and allied products_____________ _ ___ 110.0 109.2 108.3 109.1 175.7 174.0 174.1 168.4
Chemicals, not elsewhere classified____________ 170.0 170. 9 171.8 169.3 295.1 297.6 296.5 281.0
Compressed and liquefied g a ses______________ 153.8 154.0 157.6 162.2 271.7 270.4 275.8 274.2
Cottonseed oil_______________________________
81.0 74.6 77.9 87.1 154.2 143.6 148.8 144.6
Fertilizers______________________ ______ _____
101.5 99.1 103.7 100.3 226.6 224.7 227.7 198.2
Products of petroleum and coal- _________________
Petroleum refining- . . . _________ __________
Coke and byproducts______________ _ . . . . . .
Paving materials 3_________________ . . . . . .
Roofing m aterials___________________________
127.3
125.2
107.0
74.3
119.7
126.7
124.3
106.5
75.5
120.6
124.4
121.8
106.1
72.7
118.7
119.7
113.4
112.4
67.0
122.3
220.7
213.5
186.8
152.5
218.0
223.0
215.6
191.7
156.0
218.6
215.7
207.5
187.5
147.7
216.4
197.1
184.8
185.4
116.2
212.7
Rubber products__________ ____________________
Rubber tires and inner tubes_________________
Rubber boots and shoes_____________________
Rubber goods, o th e r ________________________
158.1
168.5
131.4
137.5
157.4
165.6
132.1
138.9
157.8
164.8
134.6
139.8
160.3
165. 2
150.0
140.5
285.4
294.3
233.4
247.1
277.2
280.9
237.0
245.2
279.0
278.5
245.9
251.2
258.4
253.8
250.0
232.0
Miscellaneous industries______ _ ________________ 152.0 153.5 154.8
Photographic apparatus_____. . . . . . __________ 166.6 171.7 168.8
Pianos, organs, and p a rts... . ________________ 83.4 79.8 89.1
Games, toys, and d o lls ______________________
91.2 88.0 85.1
Buttons_____________________________________ 82.7 84.2 87.7
Fire extinguishers____________________________ 560.0 561.3 580.3
166.4
178.0
136.0
86.1
95.4
759.8
286.0
270.8
158. 5
181.5
153.8
1076/2
288.9
271.9
144.3
169.8
159.6
1126.2
297.3 294.5
273.0 268.9
170.9 258.0
167. 2 145.3
172.2 171.2
1167.0 1446.4
1 Indexes for the major industry groups have been adjusted to final data for 1941 and preliminary data
for the second quarter of 1942 made available by the Bureau of Employment Security of the Federal Se
curity Agency. Indexes for individual industries have been adjusted to levels indicated by the 1939 Census
of Manufactures, but not to Federal Security Agency data.
2 Unpublished information concerning the following war industries may be obtained by authorized
U . S. Government agencies upon request: Aircraft engines; aircraft and parts, excluding aircraft engines;
ammunition, small-arms; engines and turbines; explosives and safety fuses; firearms; fireworks; instru
ments (professional and scientific) and fire-control equipment; optical instruments and ophthalmic goods;
and shipbuilding and boatbuilding.
3 Revisions have been made as follows in the indexes published for earlier months:
Bolts, nuts, washers, and rivets.—January through M ay 1944 employment indexes to 205.6, 201.0,
198.9, 195.1, and 190.9.
Trunks and suitcases.—M ay 1944 pay-roll index to 226.9.
Paving materials.—April and M ay 1944 employment indexes to 60.2 and 66.8; pay-roll indexes to 111.2
and 133.3.
4 Comparable indexes for earlier months available upon request.
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Federal Reserve Bank of St. Louis
1102
Monthly Labor Review—November 1944
T a b l e 4 . —Estimated Number of Wage Earners in Selected Nonmanufacturing Industries
Estimated number of wage earners (in thousands)
XUUUSbI>
August 1944 July 1944
Coal mining:
Anthracite________ ______ __________ . .
Bitum inous______________________ ____ ____ . . .
M etal mining______________________ _
Iron________________________
C opper..____ ________________ _________
Lead and zinc__________ ______
Gold and silver____________ ___________
Miscellaneous____ _____________ _____ _______ _
Electric light and power 1_________ ___________
Street railways and busses 1........ . . . . . .
............
Hotels (year-round)1___________________________ . . .
Power laundries____________________________________
Cleaning and dyeing. _ ______ ___________________
Class I steam railroads2________ ____ ______________
64.5
352
75.4
27.1
23.8
15.4
5.6
3.5
203
230
353
246
79.9
1,449
64.5
351
77.3
27.4
25.2
15.5
5.7
3.5
203
230
352
253
82.6
1,443
June 1944 August 1943
68.8
356
80.3
28.1
26.7
16.1
5.7
3.7
203
231
353
254
85.7
1,447
70.3
376
93.1
33.0
29.0
18.2
6.4
6.5
210
228
348
257
80.6
1,379
1 Data include salaried personnel.
2 Source—Interstate Commerce Commission. Data include salaried personnel.
T a b l e 5 . — Indexes of Employment and P ay Rolls in Selected Nonmanufacturing
Industries
[1939 average=100]
Employment indexes
Pay-roll indexes
Industry
July
1944
June
1944
77.9
95.0
85.5
134.6
100.0
98.9
22.7
87.6
86.7
84.1
77.9
94.7
87.6
136.2
105.6
99.8
23.0
88.3
86.4
84.1
83.0
96.1
91.1
139.4
112.1
103.7
23.1
93.9
85.8
83.6
84.9
101.4
105.5
163.9
121.8
116.8
25.9
164.2
98.1
82.4
(2)
83.1
118.9
95.5
94.1
104.6
102.8
97.6
62.8
66.9
92.6
109.4
109.0
118.4
146.6
255.3
(2)
83.2
118.8
95.1
95.5
106.4
104.5
101.8
63.4
66.6
92.1
109.2
112.1
122.3
146.0
249.1
(2)
83.1
119.1
95.0
96.6
106.3
107.7
108.8
63.6
66.0
91.4
100.4
112.4
126.9
146.5
238.9
(2)
86.1
117.6
95.3
94.9
102.8
105.4
96.6
66.0
63.5
92.8
107.8
113.8
119.4
139.6
162.1
August
1944
Coal mining:
Anthracite____________________
Bitum inous___________________
M etal mining............ .............................
Iron______
_______ _______
Copper_______________ ______
Lead and z in c ................ ..............
Gold and silver_______________
M iscellaneous.. _________ . . .
Quarrying and nonmetallic m in in g ..
Crude-petroleum production 1______
Public utilities:
Telephone and telegraph_______
Electric light and power_______
Street railways and busses_____
Wholesale trade__________________
Retail trade__________ ______ _____
Food_________________ _____
General merchandise__________
Apparel____ __________________
Furniture and housefurnishings..
A utom otive__________________
Lumber and building materials 3_
Hotels (year-round)4________ _____ _
Power laundries______ . ________
Cleaning and dyeing______________
Class I steam railroads 3___________
Water transportation •___ _______
August August
1943
1944
July
1944
June
1944
August
1943
145.8
215.6
136.5
219.9
161.5
182.8
29.9
147.0
165.3
132.7
130.6
194.4
135.1
211.9
168.4
177.0
28.2
144.7
160.7
136.5
151.8
217.9
145.7
226.2
183.1
191.5
30.7
159.3
162.2
131.1
150.6
203.8
169.2
273.0
204.8
204.0
34.5
268.0
174.8
119.7
0
115.3
171.5
136.3
126.8
141.7
132.8
133.3
86.9
98.2
133.9
158.8
159.8
178.6
0
585.2
0
114.6
170.3
135.9
128.3
142.4
136.7
139.4
88.4
97.5
131.8
157.4
165.1
187.3
0
585.6
0
114.8
170.4
135.4
127.4
139.6
136 6
145.8
88.4
96.7
128.7
157.2
163.6
195.7
0
571.7
0
111.9
162.1
129.5
119.7
132.0
127.8
121.4
86.7
87.8
125.0
140.8
147.3
164.3
0
363.2
1 Does not include well drilling or rig building.
2 Data are not available.
3 Revisions have been made as follows in indexes previously published: Retail trade, lumber arid building
materials group.—January through M ay 1944, employment indexes to 89.1, 88.7, 89.7, 89.4, 90.4; pay-roll
indexes to 123.4,123.0,124.7, 124.6, 128.3.
4 Cash payments only; additional value of board, room, and tips, not included.
5 Source—Interstate Commerce Commission.
8 Based on estimates prepared by the U. S. Maritime Commission covering employment on steam and
motor merchant vessels of 1,000 gross tons or over in deep-sea trade only.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Trend of Employment, Earnings, and Hours
1103
AVERAGE EARNINGS AND HOURS
Average weekly earnings and hours and average hourly earnings for
June, July, and August 1944, where available, are given in table 6 for
both manufacturing and nonmanufacturing industries. The average
weekly earnings for individual industries are computed by dividing the
weekly pay rolls in the reporting establishments by the total number of
full- and part-time employees reported. As not all reporting establish
ments supply information on man-hours, the average hours worked per
week and average hourly earnings shown in that table are necessarily
based on data furnished by a slightly smaller number ol reporting firms.
Because of variation in the size and composition of the reporting
sample, the average hours per week, average hourly earnings, and av
erage weekly earnings shown may not be strictly comparable from
month to month. The sample, however, is believed to be sufficiently
adequate in virtually all instances to indicate the general movement of
earnings and hours over the period shown. The average weekly hours
and hourly earnings for the manufacturing groups are weighted arith
metic means of the averages for the individual industries, estimated
employment being used as weights for weekly hours and estimated
aggregate hours as weights for hourly earnings. The average weekly
earnings for these groups are computed by multiplying the average
weekly hours by the corresponding average hourly earnings.
T able
6.—Hours and Earnings in Manufacturing and Nonmanufacturing Industries
MANUFACTURING
Average weekly
earnings 1
Average weekly
hours 1
Average hourly
earnings 1
Industry
Aug.
1944
All manufacturing___
Durable goods____
Nondurable goods.
July June Aug. July June Aug. July June
1944 1944 1944 1944 1944 1944 1944 1944
45.1
46.6
43.0
44.6
45.7
43.0
Cents Cents Cents
45.4 101.6 101.8 101.7
46.8 111. 1 111.7 111.3
43.3 86.4 86.2 86.1
50. 65
54. 32
51. 37
51. 39
50.89
40.19
38.88
49. 65
43. 99
46.7
46.3
47.3
48.4
46.7
46.3
45.0
47.6
46.1
46.0
45.9
47.4
48.1
44. 1
45.8
44. 1
48. 1
46.2
46.8
46.4
48.0
48.6
45.6
46.5
44.5
47.6
46.3
45. 36 44.83 45. 51
44. 85 44.64 45. 63
47. 67 46. 59 47. 75
47.0
46.8
46.2
46.6
46.5
45.4
47.0 96.6 96.3 96.9
47.5 95.7 95.9 96.0
45.9 102.5 102.1 104.0
45. 93 45. 66 47.43
46.2
45.9
47.2
48.41 47. 52 48.00
48.1
46.8
47.5 100.7 101.6 101.0
$45.8b $45. 43 $46. 24
51. 79 51.07 52.14
37.16 37. 04 37. 30
Durable goods
Iron and steel and their products___________
Blast furnaces, steel works, and roiling mills.
Gray-iron and semisteel castings________
Malleable-iron castings._____ __________
Steel castings_____________________ i_ .il
Cast-iron pipe and fittings._____________
Tin cans and other tinware____________
Wire work_____________________________
Cutlery and edge tools_________________
Tools (except edge tools, machine tools,
files, and saws)______________________
Hardware_____________________________
Plumber’s supplies________________ i . i .
Stoves, oil burners, and heating equip
ment, not elsewhere classified_________
Steam and hot-water heating apparatus
and steam fittings____________________
Stamped and enameled ware and galvan
izing________________________________
Fabricated structural and ornamental
metalwork__________________________
Metal doors, sash, frames, molding, and
trim________________________________
Bolts, nuts, washers, and rivets_________
Forgings, iron and steel________________
Screw-machine products and wood screws.
Steel barrels, kegs, and drums__________
Firearms______________________
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
50.28
53. 80
50.23
50. 62
52.16
40.44
39. 54
49.89
43.64
49. 98
54. 58
50.77
50.44
49. 54
40. 07
38.51
50. 72
43. 59
107.6
116.3
106.9
105.2
111.7
87.3
87.9
104.8
94.6
99.8
108.7
118.9
107.1
104.9
112.4
87.4
87.3
105.5
94.3
108. 1
117.0
107.0
105.3
111.7
86.3
87.4
104.5
95.0
99.5 100.5
46.60 46.20 46.96
45.6
45.0
46.1 102.2 102.7 101.9
54.99 54.98 55.05
48.9
48.6
48.6 112.1 112.6 112.6
49. 68
48.61
57. 28
50. 50
43. 27
60.10
47.1
47.2
47.1
48.5
45.6
46.7
47.3
44.4
46.2
47.5
42.7
45.6
47.5
47.6
47.6
48.8
43.6
47.7
49. 86
46. 57
56. 79
49.05
40.95
59. 00
50.10
49. 09
58. 64
50.23
42. 85
60.80
105.4
103.0
121.7
104.2
94.9
128.6
105.6
104.9
123.5
103.2
95.9
129.4
105.9
103. 0
123.3
102.9
98.2
127.5
1104
Monthly Labor Review—November 1944
T a b l e 6 . —Hours
and Earnings in Manufacturing and Nonmanufacturing Industries—
Continued
M ANUFACTURING—Continued
A verage weeklyearn in g s 1
A v erag e w eek ly
h o u rs 1
A v erag e h o u rly
earn in g s 1
In d u s tr y
A ug.
1944
J u ly
1944
Ju n e
1944
A ug.
1944
J u ly
1944
Ju n e
1944
A ug.
1944
J u ly
1944
Ju n e
1944
D u ra b le goods —C o n tin u e d
C e n ts C e n ts C en ts
E lectrical m a c h in e r y .. ---------- -------------------- $47. 74 $47. 22
E lectrical e q u ip m e n t__________ . . . ------50.40 49. 76
R ad io s a n d p h o n o g rap h s
________ _ .
40. 86 40. 66
C o m m u n ic a tio n e q u ip m e n t_______ . . . . 44. 86 44.61
M a c h in e ry , except electrical_________________
M a c h in e ry a n d m a ch in e-sh o p p r o d u c t s ...
E n g in es a n d tu rb in e s _________ _________
T ra c to rs . _. . _ ------------------------------- . .
A g ric u ltu ra l m a c h in e ry , ex clu d in g tracto rs ____________________________________
M ach in e to o ls. _ ________________________
M ach in e-to o l ac cesso ries.. ---------------------T e x tile m a c h in e ry _______________________
.
—
.. .
T y p e w rite rs __
C ash registers, ad d in g a n d ca lcu la tin g
m a c h in e s ___________________________ . .
W a sh in g m achines, w rin g ers, a n d driers,
d o m e stic ___ ____ ____
. ------- -------Sew ing m a ch in es, d o m estic a n d in d u s tria l.
R efrigerators a n d refrig e ratio n e q u ip m e n t.
$47.88
50. 66
41.20
44. 55
46.2
46.7
45.5
45.1
45.7
46. C
45.2
44.9
46.6 103.2 103.2 102.6
47.2 108. C 108.2 107. 2
45.7 89.7 89.7 90.1
45.2 98.6 98.6 97.6
54.16
53. 05
58. 96
52.45
53. 34
51. 85
58. 84
51.65
55. 06
53. 7C
61.60
53. 47
48.4
48.2
48.0
46.7
47.5
46.8
47.3
46.0
49.1
48.7
49.8
47.4
52. 71
57. 33
58. 55
47. 37
47.87
54. 09
56.80
58. 44
48. 10
48.64
53. 61
57. 77
59. 80
48. 33
49. 38
47.0
50.4
49.0
48.4
48.9
47.6
50.2
49.3
48.6
49.5
48. C 112.1 113.6 111.6
51.0 113.8 113.1 113.1
50.2 119.2 118.8 119.2
49.3 97.9 99.0 98.1
49.8 98.0 98.3 99.1
112.0
110.0
123.1
112.4
112.3
110.5
124. f
112.4
112.2
110.3
124.4
112.9
59. 23 58. 34 59. 71
49.3
49.1
49.6 121.0 119.7 121.3
46. 45 47. 53 47. 63
55.81 55. 59 59. 09
51. 26 47. 56 50.89
45.3
50.1
47.3
45.4
50.6
44.4
46.0 102.4 104.6 103.6
52.7 112.2 110.8 112.8
47.4 108.3 107.1 107.3
60. 22 59.16 59. 66
65. 66 60.97 64. 29
51.44 51. 30 52. 77
47.4
49.3
46.0
46.8
45.7
45.1
47.3 126.9 126.5 126.2
49.1 133.2 133.4 131.0
46.4 111.9 113.8 113.8
54. 43
59. 21
62. 70
51.30
54. 61
61.35
62.80
50.83
47.2
46.8
47.8
47.4
47.2
44.9
47.1
47.8
47.1 115.7 115.5 115.9
46.8 131.7 131.8 131.2
47.4 133.9 133.0 132.4
47.6 106.2 107.4 106.7
A u to m o b iles___________ ____ ________________
56.84 56. 43 58.48
45.0
43.7
45.9 126.2 129.1 127.5
N o n ferro u s m e ta ls a n d th e ir p r o d u c ts ...............
S m eltin g a n d refining, p rim a ry , of nonferrous m e ta ls ____________________ ___
A lloying a n d ro llin g a n d d ra w in g of nonferrous m e tals, except a lu m in u m .
C locks a n d w a tc h e s ___________________
J e w e lry (precious m etals) a n d je w eler’s
fin d in g s. . .
. . _____ ____________
S ilverw are a n d p la te d w a r e . . . . ________
L ig h tin g e q u ip m e n t . . . . . . . . ___ _ _
A lu m in u m m a n u fa c tu re s _____ _____ ____
48. 77 48. 35 49. 33
46.6
46.0
47.1
48. 96 49. 22 50.05
46.0
45.8
46.9 106.4 107.4 106.8
54.18 52. 55 54.15
43.63 42.91 43.71
48.1
46.7
47.1
46.2
48.4 112.6 111.6 111.8
46.7 94.2 93.0 93.7
40. 71
46. 94
46.14
48.54
42.76
48. 20
47. 37
49. 25
43.0
46.6
45.3
46.0
43.3
47.0
43.1
46.0
44.9 93.1 93.2 93.5
47.4 100.8 101.4 101.9
46.0 101.9 102.7 103.0
46.4 105.6 106.6 106.1
L u m b e r an d tim b e r b asic p ro d u c ts _____ ____
S aw m ills a n d logging c a m p s _____________
P la n in g a n d p ly w o o d m ills ______________
35.80 33. 75 35. 56
35. 23 32.74 34. 72
37.53 37.05 38. 36
44.6
44.3
45.6
42.4
41.5
45.3
44.5
43.9
46.7
80.3
79.5
82.7
79.6
78.9
81.9
79.9
79.2
82.2
F u r n itu r e a n d finished lu m b e r p ro d u c ts _____
F u r n itu r e _________________ . . . _________
C ask ets a n d o th e r m o rtic ia n ’s g o o d s ____
W o o d p re s e rv in g ______________ ____ ____
36. 76
37.44
41.38
34. 62
35. 54
36.13
37.78
34.15
36.26
36. 71
39.20
34.35
44.8
44.6
46.4
44.9
43.6
43.3
43.8
43.9
44.6
44.3
45.6
44.9
82.0
84.2
89.6
77.1
81.6
83.7
86.4
77.8
81.3
83.3
86.3
76.5
S tone, clay, a n d glass p ro d u c ts _____________ _
____
G lass a n d glassw are_______ . . . .
G lass p ro d u c ts m a d e from p u rc h a s e d glass.
C e m e n t--------------------- ---------------------------B ric k , tile, an d te rra c o t ta _______________
P o tte ry a n d re la te d p ro d u c ts ____________
G y p s u m . _______________________________
L im e ____________________________________
M a rb le , g ra n ite , slate, a n d o th e r p ro d u c ts .
A b ra s iv e s ___ ____________________ ____ _
A sbestos p ro d u c ts _________________ _____
39. 32
39. 60
34.84
42.98
33.42
36.06
45.49
38. 49
40.48
46.64
47.05
38.14
37.66
33.48
41.28
33.06
34. 58
44.13
38.02
39.21
46.26
46.85
39.19
39. 42
34.09
41. 34
33.62
36.13
45. 44
38. 83
39.88
46.08
47.76l
43.9
42.2
44.5
46.2
42.6
41.4
48.5
49.6
45.1
47.3
4 8 .2 1
42.4 43.8
39.7 42.2
43.1 43.7
44.2 44.8
41.7 42.7
39.4 41.9
48.3 ’ 48.8
48.7 49 9
44.2 44.4
46.8 46.5
48.2 48.7
89.5
93.8
78.7
93.0
78.4
88.1
93.8
77.7
90.7
98.7
97.6
89.9
94.9
77.8
93.3
78.9
88.7
91.4
78.4
89.6
98.9
97.3
89.4
93.7
78.0
92.3
78.1
87.5
93.2
78.2
90.0
99.2
98.0
T r a n s p o rta tio n e q u ip m e n t, except au to m o biles’_________________ . . -------------------- L o c o m o tiv e s .___
...
___________
C ars, electric- a n d ste a m -ra ilro a d ......... .......
A ircraft a n d p a rts , excluding aircraft
en g in es_________________ _______ __ __
A ircraft engines. . . . ______________ . . .
S h ip b u ild in g an d b o a tb u ild in g ___________
M otorcycles, bicycles, a n d p a r t s ______ : . .
S e e footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
54. 73
61. 51
63. 97
50.31
40.97
47. 55
44. 23
48.92
104.7 105.2 104.9
Trend of Employment, Earnings, and Hours
T a b l e 6 . — Hours
1105
and Earnings in ManufaQturing and Nonmanufacturing Industries—
Continued
MANUFACTURING—Continued
A verage w eek ly
earn in g s i
A verag e w eek ly
h o u rs 1
A v erag e h o u rly
ea rn in g s 1
I n d u s tr y
A ug.
1944
J u ly
1944
Ju n e
1944
A ug.
1944
J u ly
1944
Ju n e
1944
$29.74
2f>. 90
33.30
28.93
$29.63
27.12
33.18
28.33
$29.87
26.76
33. 79
29.07
41.8
42.2
43.0
41.9
41.7
42.4
43.3
40.9
42.0
42.0
43.8
42.0
71.1
63.7
77.5
69.0
71.0
63.9
77.0
69.3
71.2
63.7
77.3
69.1
35.02
29. 35
31.87
29.88
26.36
35.35
28. 27
31.60
29. 51
25.68
36.04
28.84
32.01
30.01
26.62
41.6
38.8
43.2
40.2
40.6
42.1
37.4
43.6
40.0
40.0
42.7
38.5
43.9
40.5
40.7
84.2
76.0
72.9
74.1
64.8
84.0
75.8
72.4
73.2
63.9
84.5
75.1
72.7
73.5
64.7
34.08
39.31
42.84
33.45
32.65
33.83
39.13
41.34
33.44
32. 57
34. 33
39.44
43. 33
34.26
32.58
44.7
43.3
40.7
43.7
45.1
44.4
43.4
40.0
44.6
45.3
45.0 76.1 76.1 76.2
43.6 91.1 90.4 90.8
41.7 1C6.0 104.2 104.7
44.9 76.5 75.0 76.3
45.2 72.2 71.7 72.0
A p p a re l a n d o th e r finished tex tile p r o d u c t s ...
M e n ’s clothing, n o t elsew here c la s sifie d ...
S h irts, collars, a n d n ig h tw e a r____________
U n d e rw e a r a n d n eckw ear, m e n ’s_________
W o rk s h i r t s _______________________ ____
W o m e n ’s clothing, n o t elsew here classified
C o rsets a n d allied g a rm e n ts ______________
M illin e ry _________________ ____________
H a n d k e rc h ie fs _______ _______ ____ _ _
C u rta in s , d rap eries, a n d b e d s p re a d s _____
H o u se fu rn ish in g s, o th e r th a n c u rta in s , e tc .
T e x tile b a g s ................ .............. ............. ...........
30.43
31.70
23. 79
25.88
20. 55
37.67
29.12
40. 26
23.12
24.24
32. 23
28.54
29.28
30.86
24.42
25.98
18.01
35.46
28. 75
35.10
22.91
25.63
31.80
28. 29
29.95
32. 29
24.31
26.37
19. 78
35.89
30.43
31.66
23.18
26.78
31.82
27.95
37.7
38.3
36.7
36.6
36.8
36.7
40.0
33.7
37.0
36.1
41.6
41.7
37.3
38.0
37.2
36.7
32.8
36.2
39.8
32.4
36.9
37.4
41.5
42.0
38.2 80.7
39.1 82.3
37.3 65.1
37.7 70.6
36.6 54.1
37.0 100.2
41.8 72.9
29.1 96.2
37.6 62.6
38.8 66.9
42.0 77.4
41.5 68.8
78.5
81.1
65.5
70.9
53.4
96.3
72.4
89.8
62.1
68.3
76.6
67.7
78.4
82.1
65.4
70.0
52.8
94.6
73.0
89.1
61.7
68.3
75.9
67.7
L e a th e r a n d le a th e r p ro d u c ts ________________
L e a t h e r . . ____ _ . . . . ---------- . . . -------B o o t a n d shoe c u t sto ck a n d fin d in g s____
B o o ts a n d shoes_______. . . . . . . ------------L e a th e r gloves a n d m itte n s ______________
T r u n k s a n d su itc ases____________________
33.13
43.02
32.88
31.18
30. 76
32. 52
32.97
43.09
32.98
30.99
29.65
32.69
33. 35
43.15
33.82
31.43
28. 97
33.64
41.1
45.5
42.3
40.3
38.6
40.2
41.2
45.6
42.2
40.3
37.6
40.5
41.6
45.8
43.1
40.8
37.8
40.9
80.1
94.6
79.0
76.5
79.4
79.8
80.2
94.2
79.5
76.7
77.8
81.3
F o o d __________________ ____ ______ _____ —
S lau g h terin g a n d m e a t p a c k in g _____ ____
B u tt e r ___________________________________
C o n d en sed a n d e v a p o ra te d m i lk -------------Ice c r e a m .______ ________ _______________
F lo u r ________ __________ _____ ________
C ereal p re p a ra tio n s ______________________
B a k in g ______________ ____ ______________
S u gar refining, c a n e ______ ____ _________
S ugar, b e e t_ _______ _____________ ______ _
C o n fectio n ery _ _______________ _______
B everages, nonalcoholic........................ ...........
M a lt liq u o rs __________ _____ ____ _______
C a n n in g a n d p re s e rv in g ___ _____________
37.94
44.69
34.06
37.28
39. 42
42.08
43. 58
38.31
38.06
36.06
30.49
36. 50
53.56
30.27
38. 53
45.87
34. 54
38.06
39.27
41.96
44.05
38.42
37. 55
36.05
30.08
37.09
53.96
29. 75
39.09
45. 73
34. 24
38. 68
37. 84
41.69
44. 78
38.21
38. 53
39.07
30.13
35.69
52.83
30. 84
44.9
48.6
47.8
50.6
47.8
49.7
46.0
45.7
44.5
37.5
42.2
45.7
47.3
39.9
45.6
49.9
48.3
50.7
47.9
49.6
46.7
45.8
43.7
35.8
41.6
46.2
47.3
40.3
45.9 84.4 84.5 85.1
49.6 92.2 92.1
92.4
48.2 70.9 70.7 69.9
51.8 74.0 75.1
74.6
46.3 79.3 79.1 78.1
49.6 84.8 84.8 84.1
47.1 94.7 94.3 95.2
45.5 83.9 83.9 84.1
45.0 85.6 86.0 85.6
40.5 96.2 100.6 96.4
42.0 72.4 72.5 71.9
44.7 79.8 80.7 80.1
47.6 113.5 114.2 111.3
40.4 76.5 74.3 77.0
T o b acco m a n u fa c tu re s _______________________
C ig a re tte s _______________________________
C ig a rs. _________________________________
T o bacco (chew ing an d sm oking) a n d sn u ff.
30.27
32. 79
28.20
27.86
30.04
32.84
27.67
27.71
29.82
32.19
28.26
26.22
42.3
43.1
41.7
41.2
42.4
43.2
41.9
41.0
42.3
42.4
42.6
39.8
71.5
76.0
67.7
67.6
70.9
76.0
66.2
67.6
70.6
75.9
66.6
65.8
P a p e r a n d allied p ro d u c ts ------------------ -----------P a p e r a n d p u lp __________________________
E n v e lo p e s __________________ ____ _______
P a p e r b a g s . . ........................................ ............. .
P a p e r boxes........................................... ...............
39.09
42.67
36.58
33.12
34.71
38. 72
42.42
36. 66
32.27
33. 76
39.17
42.83
37.20
33.62
34.68
46.2
48.2
44.5
43.4
43.9
45.7
47.9
44.9
43.0
42.9
46.3
48.4
45.7
44.3
43.8
84.7
88.4
81.8
76.4
79.3
84.7
88.6
81.7
75.4
79.1
84.5
88.4
81.4
76.1
79.3
P rin tin g , p u b lish in g , a n d allied in d u s trie s ___
N ew sp a p ers a n d p e rio d ic a ls..........................
P rin tin g , book a n d jo b ___________________
L ith o g ra p h in g _________________ _____ ___
44. 41
48.98
42. 67
45.31
44.14
48.63
42.70
44. 76
44.37
48.45
42.97
46.61
41.1
38.6
42.3
44.3
41.2
38.3
42.5
44.2
41.3
38.3
42.7
45.0
A ug. J u ly
1944 1944
June
1944
Nondurable goods
>
r
>
►
Jt
»
T ex tile-m ill p ro d u c ts a n d o th e r fiber m a n u
fa c tu re s _________________________ _________
C o tto n m a n u fa c tu re s, ex cept sm allw ares..
C o tto n sm allw ares--------------- ----------------Bilk a n d ray o n goods_______ ______ ____
W oolen a n d w o rsted m a n u factu re s, except
d y ein g a n d fin ish in g ----------------------------H o sie ry -------------- ------------- -------------------K n itte d c l o t h ----- _ _ -----------------------------K n itte d o u te rw e a r a n d k n itte d gloves____
K n itte d u n d e rw e a r------- ------------------------D y e in g a n d fin ish in g textiles, in c lu d in g
w oolen a n d w o rsted _ --------------- ---------C a rp e ts a n d ru g s, w o o l.. _____ _____ H a ts , fur-felt__
_____ _ _ _ _ _ _
J u te goods, except felts___________________
C o rd ag e a n d tw in e __________________ ___
See footnotes at end of table.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Cents Cents Cents
80.5
94.6
78.6
77.1
80.4
80.1
108.0 107.2 107.5
125.7 125.3 124.8
100.1 99.7 100.1
102.7 101.4 103.6
1106
Monthly Labor Review—November 1944
T a b l e 6 . — Hours
and Earnings in Manufacturing and Nonmanufacturing Industries—
Continued
M ANUFACTURING—Continued
Average weekly
earnings >
Industry
Aug. July June
1944 1944 1944
4
Avera5e w eekly
hours '
Average hourly
earnings ‘
Aug. July June Aug. July
1944 1944 1914 1944 1944
June
1944
Nondurable goods—Continued
Chemicals and allied p rodu cts..____________
Paints, varnishes, and colors____________
Drugs, medicines, and insecticides______
Soap'._______ ____ ______________ ______
Rayon and allied products_________ ____
Chemicals, not elsewhere classified _____
Explosives and safety fuses___
Ammunition, small-arms__ ___________
Cottonseed oil...................................................
Fertilizers.........................................................
$43.84 $44.01 $43. 86
46.44 45. 66 46. 57
34. 54 34. 43 34.44
47. 47 46.65 48. 33
38.85 38. 78 39.12
51.88 52.15 51.65
47.25 48.13 47.72
45. 31 45. 55 45. 64
25.88 26.18 25. 97
31.72 32.11 30.49
45.6
47.9
43.1
47.8
43.1
46.9
46.5
46.6
47.9
44.8
45.6
47.2
42.6
47.6
43.0
46.8
46.7
46.8
48.1
45.7
Cents Cents Cents
45.8 96.1 96.5 95.8
47.9 97.2 96.9 97.0
42.8 80.7 81.2 80.8
48.6 99.3 97.9 99.5
43.2 90.2 90.2 90.5
46.9 110.6 111.4 110.1
46.7 101.7 103.0 102.1
46.7 97.3 97.3 97.8
48.2 53.9 54.3 53.8
44.7 70.7 70.2 68.2
Products of petroleum and coal________ ____
Petroleum refining_______ __________j . . .
Coke and byproducts__________________
Roofing materials_________ ____________
55.28
58.05
47.80
46.83
56.28
59.08
49.24
46.65
55. 30
57. 98
48.37
47.00
46.9
46.7
46.3
49.5
46.9
46.8
46.4
48.9
46.8 117.9 120.0 118.1
46.6 124.4 126.5 124.8
46.5 103.3 106.2 103.8
49.6 94.6 95.3 94.8
Rubber products______________ ____ _____
Rubber tires and inner tubes___________
Rubber boots and shoes________________
Rubber goods, other. ............................. .
50. 30
58. 93
39.99
42.28
49.17
57.01
40.40
41.48
49.30
56. 78
41.11
42. 21
45.6
46.5
43.9
45.0
45.0
45.5
44.4
44.5
45.2 110.2 109.4 109.2
45.3 126.4 125.6 125.4
44.6 91.0 91.0 92.2
45.1 94.0 93.6 93.7
Miscellaneous industries___________________
Professional and scientific instruments
and fire-control equipment____________
Photographic apparatus________________
Pianos, organs, and parts_______________
43.24 43.23 44.17
45.3
45.2
46.1
53.79 55. 74 56. 22
46.93 47. 23 48.21
46.11 43.85 46.45
48.4
44.2
46.9
49.9
44.7
44.2
50.6 111.5 112.1 111.3
45.4 106.3 105.7 106.4
45.9 98.8 99.6 101.8
95.5
95.6
95.8
NONMANUFACTURING
Coal mining:
Anthracite________ ____ _____ __________
Bituminous_________________ ____ ___
Metal mining________ _____ ____________
Quarrying and nonmetallic mining______ __
Crude-petroleum production_______________
Public utilities:
Telephone and telegraph_______________
Electric light and power 2________ _____ _
Street railways and busses__________ __
Wholesale trade______________ ____ _ . . . . .
Retail trade2. _ ____ _ . . . _______ . .
Food. ______ ______ ______
_________
General merchandise 2____ _ __________
Apparel_______________________________
Furniture and housefurnishings_________
Automotive ______________
___
Lumber and building materials 2________
Hotels (year-round)4______ _______ _____
Power laundries. ________________________
Cleaning and dyeing_______________________
Brokerage. ____ ___________________ ___
Insurance__________ ____ . . _______
Private building construction___________ . . .
Cents
117.9
118.9
100.3
86.1
113.0
Cents
119.4
119.9
101.0
87.1
118.7
Cents
114.4
118.2
100.9
85. 7
113.8
40.8
44.1
44.8
47.9
46.1
35.8
39.5
42.9
46.3
45.3
40.9
44.0
44.6
47.7
45.6
C)
48.12
48.12
42. 36
27. 83
32.15
23.09
28.77
37. 93
41. 73
37.15
22. 51
27.19
31.08
55. 89
45.01
52. 81
(3)
44.0
51.0
43.1
43.3
42.7
38.2
39.0
44.2
46.8
43.7
44.9
43.7
43.9
(3)
(3)
40.0
(3)
42.8
50.7
42.8
43.2
42.4
38.4
38.6
44.1
46.5
43.8
44.8
44.1
44.4
(3)
(3)
40.6
(3)
(3)
(3)
(3)
43.8 110.4 111.9 109. 7
50.9 93.9 93.5 93.3
43.0 98.1 98.9 98.6
42.4 70.6 70.6 70.1
41.5 71.2 71.2 71.2
37.1 60.5 60.4 60.5
38.2 80.3 81.0 79.9
44.2 87.0 87.4 86.7
46.8 90.9 90.8 90.2
43.2 87.9 87.1 86.3
44.6 50.3 50.2 50.2
43.6 62.4 62.1 61.7
44.3 71.9 72.2 72.4
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
40.2 132.3 130.2 130.0
(*)
48. 42
47.99
42.40
27. 05
31.37
22.26
28.15
38.11
41. 57
36. 42
22. 62
26.84
31. 37
53.48
44.56
52. 21
■These figures are based on reports from cooperating establishments covering both full- and part-time
employees who worked during any part of 1 pay period ending nearest the 15th of the month. As not all
reporting firms furnish man-hour data, average hours and average hourly earnings for individual industries
are based on a smaller sample than are weekly earnings. Data for the current and immediately preceding
months are subject to revision.
2 Revisions have been made as follows in data published for earlier months:
Bolts, nuts, washers, and rivets.—January, February, and March 1944 average weekly earnings to
$48.22, $49.14, and $49.28; M ay to $48.79; January through M ay 1944 average weekly hours to 47.3,
48.1, 47.7, 46.9, and 47.4.
Trunks and suitcases—M ay 1944 average weekly earnings to $34.01; average weekly hours to 41.3.
Electric light and power.—M ay average weekly hours to 43.5; average hourly earnings to 109.4 cents.
Retail trade total.—March average weekly hours to 40.2; average hourly earnings to 71.1 cents.
General merchandise group.—April and M ay average weekly hours to 36.2 and 36.0.
Lumber and building materials group.—January through May, average weekly earnings to $35.59,
$35.58, $35.66, $35.78, $36.85; March, April, and M ay average hours per week to 42.4, 42.6, 43.1; Feb
ruary through May, average hourly earnings to 84.7 cents, 85.3 cents, 85.5 cents, 86.8 cents.
3 Data are not available.
4 Cash payments only; additional value of board, room, and tips, not included.
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1
4
$48. 21 $43. 22 $47.10
52. 28 47.20 52.10
44.96 43. 46 45.12
41.16 40. 33 40.85
53. 35 54. 85 52.99
(*)
48.91
48. 53
42. 34
27.64
32.57
22.81
28. 56
37.68
41.36
37.50
22.72
27.17
30. 62
54. 39
44. 51
52.90
4
%
4
4*
A
Trend of Employment, Earnings, and Hours
1107
Civilian Labor Force, September 1944
SEASONAL declines of 920,000 in employment and 60,000 in unem
ployment combined to reduce the civilian labor force by 980,000
between August and September 1944, according to the Bureau of the
Census sample Monthly Report on the Labor Force (see table). The
decline in civilian labor-market participation largely reflects the
return of teen-age workers to school at the close of summer vacation.
Employment in September 1944—52,250,000—was approximately
700,000 below the September 1943 total. The decline was about
evenly divided between agricultural and nonagricultural industries.
During the year, however, approximately 2,000,000 persons were
added to the armed forces.
Unemployment, at 780,000, closely approximated the April 1944
record low point of the unemployment series.
The female civilian labor force showed no net change from the
August 1944 level of 18,440,000, as a decline of about 300,000 in
nonagricultural employment was offset by an increase of about 300,000
in agriculture. The number of women in the civilian labor force in
September exceeded the total for September 1943 by 200,000—a gain
of 500,000 in nonagricultural employment, more than offsetting de
creases of 200,000 in agriculture and 100,000 in unemployment. On
the other hand, the male civilian labor force, reflecting the growth
in the armed forces over the year, was 1,100,000 lower than the level
in the same month of the previous year.
Civilian Labor Force in the United States, Classified by Employment Status and by Sex,
August and September 1940—44 1
[Source: U . S. Department of Commerce, Bureau of the Census]
Estimated number (in thousands) of persons 14 years of age and over 2
1944
Item
Sep
tem
ber
Total civilian labor force____
U nem ploym ent3 _ _ ____
Employment ___ _____
N onagricultural____
Agricultural________
Au
gust
1943
Sep
tem
ber
Au
gust
1942
Sep
tem
ber
Au
gust
1941
Sep
tem
ber
Au
gust
1940
Sep
tem
ber
Au
gust
53,030 54, 010 53,910 55, 440 54, 410 56, 340 54,990 56, 500 54, 390
780
840
960 1,070 1,490 1,950 4,170 4,950 6, 200
52. 250 53,170 52, 950 54. 370 52,920 54, 390 50,820 51, 550 48,190
43,580 44, 600 43, 900 44, 730 44, 060 44, 690 41, 520 42,140 37,900
8,670 8, 570 9,050 9,640 8,860 9, 700 9,300 9,410 10, 290
56,050
7,980
48,070
38,070
10,000
34,590 35, 570 35,700 36,990 38,970 40, 790 40,650 42,020 40,820
400
430
490
550
940 1,280 2, 880 3,410 4,440
34,190 35,140 35, 210 36,440 38,030 39, 510 37, 770 38, 610 36, 380
27,430 28,170 28, 270 28,890 30, 750 31, 470 30,060 30, 560 27,590
6,760 6,970 6,940 7, 550 7,280 8,040 7,710 8,050 8,790
42,300
5, 530
36, 770
27,850
8,920
Civilian labor force._______ _ 18,440 18, 440 18,210 18,450 15, 440 15, 550 14,340 14,480 13, 570
380
410
470
520
U nem ploym ent3-.. . . . .
550
670 1,290 1,540 1,760
Employm ent____ _____ 18,060 18,030 17,740 17,930 14,890 14,880 13,050 12,940 11,810
N onagricultural____ 16,150 16,430 15,630 15.840 13, 310 13,220 11, 460 11, 580 10,310
Agricultural - - ____ 1,910 1,600 2,110 2,090 1,580 1,660 1,590 1,360 1,500
13, 750
2,450
11, 300
10,220
1,080
Males
Civilian labor force________
U nem ploym ent3____
Em ploym ent__ ________
N onagricultural_____
Agricultural________
Females
1 Estimates for period prior to November 1943 revised April 24, 1944.
2 All data exclude persons in institutions.
3 Includes persons on public emergency projects prior to July 1943.
614112— 44-
-14
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Federal Reserve Bank of St. Louis
Recent Publications o f Labor Interest
November 1944
Agriculture
Agriculture census: Cash rent paid, or payable, by cash tenants and by part owners
renting on a cash basis. Washington 25, U. S. Bureau of the Census and
U. S. Bureau of Agricultural Economics, 1944. 135 pp., maps. 35 cents,
Superintendent of Documents, Washington 25.
Prices paid by Vermont farmers for goods and services and received by them for farm
products, 1790-1940; Wages of Vermont farm labor, 1780-1940. By Thurs
ton M. Adams. Burlington, Vermont Agricultural Experiment Station,
1944. 176 pp., charts; 71 pp. (statistical supplement). (Bull. No. 507.)
The author, with the aid of the National Youth Administration, sorted and
transcribed a large amount of historical data, mostly from account books, and
from the data computed the averages and indexes of this study. The farm wage
figures cover 161 years. The retail price data include, in addition to various
commodity prices, extensive figures on medical-service rates, transportation, farm
fire insurance, and taxes.
The war and American agriculture. By John D. Black and Charles A. Gibbons.
Cambridge, Mass., Harvard University Press, 1944. 55 pp. (Review of
Economic Statistics, Volume XXVI, No. 1.) $1.25.
Changes in farm prices are compared with changes in nonagricultural wages
and changes in farm income are compared with changes in wage income. Various
periods since 1910-14 are covered, including the period since January 1941, under
the Little Steel formula. Farm prices are compared not with changes in labor
cost or in the amount of wages per unit of output, but with changes in average
hourly earnings. One of the 12 chapters deals with wages of hired farm workers.
There is some discussion of measures taken to control prices, wages, and profits.
Farming in wartime Britain. New York 20 (30 Rockefeller Plaza), British Infor
mation Services, August 1944. 29 pp. (I. D. 316.)
Deals with the wartime agricultural policy in practice, the wage and laborsupply situation, and conditions in different branches of production.
Cooperative Movement
A century of cooperation: An epitome of the birth and growth of the national move
ments. London, S. W. 1, International Cooperative Alliance, 1944. 69 pp.;
mimeographed.
Contains a short history and statistics of cooperation in various countries of
the world; issued in connection with the celebration of the twenty-second Inter
national Cooperative Day, July'l, 1944.
Dictionary of cooperation. By Emory S. Bogardus. New York 11, Cooperative
League of the United States of America, 1943. 60 pp. 75 cents.
This is more than a dictionary of the terms used in the cooperative movement.
It contains also short accounts of numerous cooperative organizations in the
United States and abroad.
E ditors ’ N ote .—Correspondence regarding the publications to which reference is made in this list should
be addressed to the respective publishing agencies mentioned. Where data on prices were readily available,
they have been shown with the title entries.
1108
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Recent Publications of Labor Interest
*
k
1109
I see a new China. By George Hogg. Boston, Little, Brown & Co., 1944.
211 pp. $2.50.
Account of the development, problems, and accomplishments of the industrial
cooperatives in China, told in terms of the day-to-day life of the participants,
with war conditions as the background.
Report of the Irish Agricultural Organization Society, Ltd,., for the year ending
December 81, 1943. Dublin, 1944. 84 pp. 2s. net.
Contains summary statistics of the various types of cooperatives in Ireland
(Eire) in 1942.
Education and Training
♦
►
»
fr-
*
*
>
Frontiers of American culture: A study of adult education in a democracy. By James
Truslow Adams. New York, Charles Scribner’s Sons, 1944. 364 pp.,
bibliography. $2.50.
The writer believes that adult education is so much a national problem, and so
vast, that it must be financed to a large extent by the Federal Government,
but that the work of planning and administration should be decentralized as much
as possible. One chapter of the book is devoted to education for workers.
High lights in the development of Federal policies and activities in education. By
Charles A. Quattlebaum. Washington 25, Library of Congress, Legislative
Reference Service, 1944. 57 pp.; mimeographed.
Account of the educational activities carried out by Federal agencies, including
vocational training, placement, and rehabilitation; educational activities origi
nating as relief measures; the work of the U. S. Office of Education; and education
for national defense and war.
Methods of vocational guidance. By Gertrude Forrester. Boston, D. C. Heath &
Co., 1944. 455 pp., bibliography. $3.
• Deals especially with specific methods of applying the theory of vocational
guidance by teachers in high schools which do not employ vocational counselors
or do not have well-developed programs in vocational guidance.
Post-war education—a labor view. By J. P. M. Millar. Tillicoultry, Scotland,
National Council of Labor Colleges, 1943. 16 pp. 3d.
This pamphlet, written by the general secretary of the National Council of Labor
Colleges, deals with the functions of education and labor’s relation to educational
problems. A memorandum on education after the war, submitted by the Council
to the education committee of the British Trades Union Congress, is included.
Supplementary trainees and war production. Washington 25, Federal Security
Agency, U. S. Office of Education, Vocational Division, 1944. 54 pp., charts.
(Bull. No. 226, Defense training series-No. 3.) 15 cents, Superintendent of
Documents, Washington 25.
Report of a follow-up survey of persons receiving instruction in supplementary
vocational training courses for war production workers.
The training of vocational counselors. Washington 25, U. S. War Manpower Com
mission, Bureau of Training, 1944. 77 pp.
Prepared as a guide for establishing appropriate training programs for vocational
counselors. Gives an occupational description, which is a composite of several
related vocational counselor positions, and brief descriptions of selected Federal
agencies involved in vocational-counseling programs. Lists of selected references
and a directory of Federal agencies and national organizations interested in voca
tional guidance are included.
Em ploym ent
Employment and wages of workers covered by State unemployment compensation
laws— 1942 summary. Washington 25, Federal Security Agency, Social
Security Board, Bureau of Employment Security, [1944], 35 pp., chart;
processed.
Employment stabilization speaks for itself. (In Modern Industry, New York 17
(347 Madison Avenue), September 15, 1944, pp. 37-41; charts, illus. 35
cents.)
A study of the experiences of various companies.
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1110
Monthly Labor Review—November 1944
FEPC—how it operates. Washington 25, U. S. Office for Emergency Management,
Committee on Fair Employment Practice, 1944. 19 pp.
Outlines the background of the President’s Committee on Fair Employment
Practice and gives a brief resume of its duties, jurisdiction, and procedure.
Includes Executive orders concerning the Committee and a directory of its offices.
The outlook for construction employment in the post-war transition period. New
York 20 (14 West 49th Street), National Association of Manufacturers,
Post-War Committee, 1943. 29 pp.
A post-war Federal tax plan for high employment. New York 17 (285 Madison
Avenue), Committee for Economic Development, 1944. 47 pp., charts.
The Committee proposes that the Federal Government depend mainly on per
sonal income taxes, with reductions of excise and sales taxes and of taxes described
as applying “directly against business operations.” It is stated that Federal
taxation should be heavy enough to make possible substantial debt reduction
when a satisfactorily high level of production and employment has been reached.
F am ily Allowances
First annual report of the Office of Dependency Benefits, [U. S. War Department],
fiscal year ending June 30, 1943. Newark 2, N. J., [1944?]. 76 pp., charts,
illus.
No family allowances were paid for the first two months of the year covered,
but the amounts of these grants for the remaining period aggregated
$797,287,649.70, of which the Government contributed $446,822,777.22 and the
soldiers, $350,464,872.48.
El plus de cargas familiares, [Spain]. By J. Toharia Catedra. (In Revista de
Trabajo, Ministerio de Trabajo, Madrid, October 1943, pp. 811-816.)
Comparative study of the 13 regulations on family bonuses adopted in Spain
from April 28, 1942, to August 6, 1943, as to amount of bonus, the income on
which it is based, method and periodicity of payment, beneficiaries, and condi
tions affecting payment of the bonuses.
Food and N utrition
Industrial feeding in manufacturing establishments. Washington 25, U. S. War
Food Administration, Office of Distribution, 1944. 23 pp., charts.
Shows the prevalence and types of existing and planned food-service facilities
among 2,037 plants, employment in the reporting plants, extent to which workers
use existing facilities, length of lunch period, and proportion of plants which
stagger lunch periods.
Food rationing and supply, 1943-44• Geneva, League of Nations, Economic,
Financial, and Transit Department, 1944. 101 pp., charts. $1.
Presents a picture of the amount, composition, and nutritive value of food
rations in Europe and elsewhere last year.
The [British] Nation’s food. By Sir John Orr. London, Labor Party, 1943.
13 pp.
Largely a review of material already published by the writer. The pamphlet
was written for the British Labor Party and has been adopted as a statement of
the party’s policy.
Hunger and health in the colonies. London, S. W. 1, Fabian Publications, Ltd.,
1944. 33 pp. (Research series No. 80.) Is.
The report discusses malnutrition in the British colonies, the food situation, and
deficiency diseases in the tropics, and makes recommendations regarding improve
ment of diets and administrative action toward securing adequate nutrition for
colonial peoples.
Health Insurance and M edical Care
Medical care for citizens. (In Planning, No. 222, PEP (Political and Economic
Planning), London, June 30, 1944; 55 pp. Reprinted by New Republic, New
York; 50 cents.)
Discussion of the British White Paper proposing a national health service for
the country. While agreeing in the main with the proposed plan, the report
points out certain omissions and unsatisfactory features.
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1111
The medical profession and health insurance. A submission to the Special Commit
tee on Social Security of the House of Commons by the Canadian Medical
Association. [Toronto], 1943. 31 pp.
The report emphasizes the need for more adequate and better distribution of
medical services in Canada and outlines features which should be included in any
plan of health insurance.
Team work for better health. By Arthur H. Carhart. (In Nation’s Business,
Chamber of Commerce of the United States, Washington 6, August 1944,
p. 60 et seq.)
The writer describes the Blue Cross hospital plan under which 14 million
employed persons and their families in the United States and Canada are said to
be insured under hospitalization contracts. As an example of the way the plan
works among a largely rural population, the Colorado Hospital Service is described.
Housing
Housing for the United States after the war. Chicago 37 (1313 East 60th Street),
National Association of Housing Officials, 1944. 64 pp. (Publication No.
N193.) 50 cents.
Outlines the major elements which the National Association of Housing Officials
believes should be considered in post-war housing for the United States.
Proceedings of the National Conference on Post-War Housing, Chicago, March 8-10,
191i.lt-. New York 18 (512 Fifth Avenue), National Committee on Housing,
Inc., 1944. 229 pp. $1.75.
Technical phases of future housing effort were given prominence.
Recommendations for a housing program and policy. New York 18 (512 Fifth
Avenue), National Committee on Housing, Inc., 1944. 15 pp. 25 cents.
The Committee urges a post-war house-building industry and program based
on market study and analysis, technological advances, and improved finance.
Cities of Latin America: Housing and planning to the south. By Francis Violich.
New York, IJeinhold Publishing Corporation, 1944. 241 pp., bibliography,
maps, illus. $3.50.
Describes the development of cities in Argentina, Bolivia, Brazil, Chile, Colom
bia, Ecuador, Guatemala, Mexico, Peru, and Uruguay and modern work in urban
planning, architecture, and low-cost housing. The arrangement is by subject—
new plans for old cities, new houses for old, etc.—rather than by country.
Industrial Accidents and W orkmen’s Compensation
Industrial safety manual. Chicago, National Safety Council, 1944. 40 pp.,
charts, illus.
Paper and pulp: The control of accidents. Washington 25, U. S. Department of
Labor, Division of Labor Standards, 1944. 42 pp.; mimeographed. Limited
free distribution.
Slaughtering and meat packing: The control of accidents. Washington 25, U. S.
Department of Labor, Division of Labor Standards, 1944. 25 pp.; mimeo
graphed. Limited free distribution.
Summary and analysis of accidents on steam railways in the United States subject to
the Interstate Commerce Act, calendar year 1943. Washington 25, U. S. Inter
state Commerce Commission, Bureau of Transport Economics and Statistics,
1944. 116 pp. (Accident bull. No. 112.) 25 cents, Superintendent of Docu
ments, Washington 25.
Injury and death under workmen's compensation laws. By Samuel B. Horovitz.
Boston, Mass., Wright & Potter Printing Co., 1944. 486 pp., bibliography.
$ 6.
A comprehensive discussion, in simple, nonlegal language, of the various phases
of woikmen’s compensation. The book begins with a short treatment of the his
torical development of this type of legislation and the common law it superseded,
briefly covers the fields in which Federal legislation controls, and then considers the
manifold, and frequently technical, concepts and prevailing rulings on the various
phases of workmen’s compensation law and administration.
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1112
Monthly Labor Review—November 1944
Industrial Relations
Collective bargaining—does it conflict with engineering ethics? By Zola G. Deutsch.
(In Chemical & Metallurgical Engineering, New York 18 (330 West 42d
Street), August 1944, pp. 96-99; bibliography. 35 cents.)
A discussion of the laws and the ethical concepts relating to collective bar
gaining, attitudes of engineering societies toward it, and types and aims of unions.
How to bargain with a labor union. New York 1 (350 Fifth Avenue), International
Statistical Bureau, Inc., 1944. 39 pp. $2.50. _
Detailed, topical summaries of the legal provisions, principles, and precedents
governing the procedures of the National Labor Relations Board and the
Labor Board, and the rights of employers and employees under the laws which es
tablished these agencies.
Union agreements in the airframe industry, 1944- Washington 25, TJ. S. Bureau of
Labor Statistics, 1944. 17 pp. (Bull. No. 792; reprinted from Monthly
Labor Review, August 1944.) 5 cents, Superintendent of Documents, Washington 25.
National War Labor Board rules of organization and procedure for the national■and
regional boards. Washington 25, U. S. National War Labor Board, Division
of Public Information, 1944. 49 pp.; processed. Free.
Seniority in the Akron rubber industry. By Philomena Marquardt and Sophia F.
McDowell. Washington 25, U. S. Bureau of Labor Statistics, Industrial
Relations Division, 1944. 19 pp.; mimeographed. Free.
Seniority problems during demobilization and reconversion. By Frederick _ H.
Harbison. Princeton, N. J., Princeton University, Industrial Relations
Section, 1944. 29 pp., bibliography. (Research report series, No. 70.)
Deals with the seniority status of veterans and of industrial war workers as
affected by provisions of the Selective Training and Service Act of 1940 and by
collective agreements. The author believes that the application of seniority
provisions after the war will probably give rise to grave problems, and he offers
suggestions regarding the handling of these problems.
,
Telling employees about their company. New Aork 10, Metropolitan Life Insur
ance Co., Policyholders Service Bureau, [1944?]. 39 pp., illus.
Describes various methods used by industrial firms to tell employees about the
companies they work for, including interim reports, letters, employee publica
tions, moving pictures, radio broadcasts, etc.
Labor Legislation
Managerial adjustments to labor law: An outline and bibliography. By Gertrude
INIettel. (In Journal of Business of the University of Chicago, Chicago 37,
111., July 1944, part 1, pp. 186-193. $1.25.)
State legislation forbidding discriminatory employment practices. Washington 25,
U. S. Office for Emergency Management, Committee on Fair Employment
Practice, Division of Field Operations, September 19, 1944. 4 pp.; mimeo
graphed. Revised.
State wage and hour restrictions affecting retailers. New York 18 (25 West 43d
Street), Institute of Distribution, Inc., July 1, 1944. 30 pp.; processed.
Tabulations of legal provisions, by State, concerning employment of women
over 18 and persons under 18 in mercantile establishments; working hours of
adult men in mercantile establishments; and minimum-wages in mercantile estab
lishments, including offices, restaurants, and beauty shops.
Sobre la obligación de entregar el “certificado de trabajo,” [Argentina], (In Argen
tina Fabril, Unión Industrial Argentina, Buenos Aires, July 1943, pp. 30-32.)
Discussion of Argentine legislation (enacted in 1934) concerning the work certifi
cate that an employer is required to furnish an employee upon his dismissal, with
pertinent legal decisions and opinions. Some comparisons are made with French,
German, and Italian legislation on dismissal.
El trabajo doméstico en la legislación comparada y la ley Dominicana del 4 de agosto
de 1942. By Juan Bernaldo de Quirós. (In Derecho del Trabajo, Buenos
Aires, February 1944, pp. 55-64.)
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Brief account with background of the 1942 law of the Dominican Republic
covering conditions of work in domestic service, with references to similar legis
lation of other countries.
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Federal Reserve Bank of St. Louis
Recent Publications of Labor Interest
1113
Occupations
The big store: Opportunities in department store work. By Mrs. Chase Going
Woodhouse. New York, Funk & Wagnalls Co., 1943. 196 pp. (Kitson
career series.) $1.50.
Organization of department stores, qualifications of personnel, education and
training required for success in store jobs, opportunities for promotion, and opera
tion of different store divisions are described. Salaries in some executive positions
and trends in executive openings for women are shown in an appendix.
You and your future job. By William G. Campbell and James H. Bedford. Los
Angeles, Society for Occupational Research, Ltd., 1944. 368 pp., illus. $3.50.
The writers discuss the question of choosing a career from the standpoint not
only of the demands of individual jobs but also of choosing an occupation that
will contribute to the happiness and success of the individual.
Young men and machines: Career guidance for the machine tool and mass production
industries. By Raymond F. Yates. New York, Dodd, Mead & Co., 1944.
196 pp., illus. $2.
Older Workers in Industry
Discrimination against older workers in industry. By Otto Poliak. (In American
Journal of Sociology, Universitv of Chicago, Chicago 37, 111., September 1944,
pp. 99-106. $1.)
Older workers in wartime. Washington 25, U. S. Bureau of Labor Statistics, 1944.
15 pp. (Serial No. R. 1668; reprinted from Monthly Labor Review, July
1944.) Free.
Senescence and industrial efficiency. By Edward J. Stieglitz. (In Scientific
Monthly, Washington, June 1944, pp. 410-414; July 1944, pp. 9-15. 50 cents
each.)
The first installment of the study deals with the general problem under discus
sion, and the second, with specific problems, including selection, placement, and
accident and emotional hazards of older workers.
P ost-W ar Reconstruction
The economics of demobilization. By E. Jay Howenstine, Jr. Washington, Ameri
can Council on Public Affairs, 1944. 336 pp., bibliography. $3.75.
The first five chapters deal with the problems of demobilization after the present
war. The major part of the book is devoted to a study of experiences following
the first World War. A concluding chapter sets forth the author’s views as to the
aims to be achieved by a planned demobilization, and discusses certain basic
problems of demobilization in the light of these aims.
Homefront planning for the post-war period: A symposium on post-war problems
of Tennessee and the Nation. Knoxville, Tenn., University of Tennessee,
Governmental Reference Service, 1944. 95 pp. (University of Tennessee
Record, extension series, Vol. XX, No. 2.)
Postwar planning for peace and full employment. SymposiunTby Walter Nash,
resident, International Labor Conference, and others. New York 3 (112
last 19th Street), League for Industrial Democracy, 1944. 64 pp. 25 cents.
Includes discussions of the more general problems of national and international
planning for peace and full employment, and of particular problems such as the
relationship of Government to business, public housing, and international cartels.
The Philadelphia Charter (adopted at International Labor Conference, Philadel
phia, May 1944) and the Atlantic Charter are reproduced and summaries of other
international declarations are given.
The rest of your life. By Leo Cherne. New York, Doubleday, Doran & Co., Inc.,
1944. 298 pp. $2.75.
Some of the topics considered are demobilization, reconversion, unemployment,
and the status of labor unions.
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Federal Reserve Bank of St. Louis
1114
Monthly Labor Review—November 1944
A statistical summary of the Houston area, Harris County, Texas. Washington 25,
U. S. Bureau of Labor Statistics, 1944. 18 pp.; mimeographed. (Industrial
area statistical summary No. 23.) Free.
Statistical data on war and pre-war employment and industry for use by local
groups formulating plans for the post-war period.
A plan for town and country, [Great Britain], By Flora Stephenson and Phoebe
Pool. London, Pilot Press, Ltd., 1944. 60 pp., diagrams, illus. (Target for
tomorrow No. 2.) 4s. 6d.
Traces the development of planning, discusses the policies of the Government
and the Labor Party, and outlines a practical target.
World War I I —national defense, post-war planning. Washington 25, U. S. Gov
ernment Printing Office, 1944. 54 pp. (Price list 77—1st ed.)
Price list of publications of the United States Government for sale by the Super
intendent of Documents, Government Printing Office. Many reports on labor
subjects are listed.
Social Security
Employee retirement and unemployment insurance as affecting railway finances.
Washington 25, U. S. Interstate Commerce Commission, Bureau of Transport
Economics and Statistics, November 1943. 58 pp.; mimeographed. (State
ment No. 4374.)
Includes discussions of benefits to retired employees, benefits to employees under
unemployment insurance, and a summary of the laws covering retirement and un
employment insurance.
Federal grants-in-aid—boon or menace to the Statesf Washington 5 (1498 L Street
NW.), Citizens National Committee, Inc., 1943. 39 pp.
History of the origin and growth of Federal payments to the States for vocational
education, public-health work, aid to the needy, etc., showing the extent to which
such payments have increased in recent years and the effect on Federal-State
relationships.
Social service in wartime. Edited by Helen R. Wright. Chicago, University of
Chicago Press, 1944. 201 pp. $2.
A series of lectures given at Chicago University during the fall of 1943. The
effects of the war on various phases of social work, such as public-assistance pro
grams, work with children, and travelers aid, were among the subjects discussed
as well as social work after the war.
Danish social policy in wartime. (In International Labor Review, Montreal,
August 1944, pp. 185-206. 50 cents. Distributed in United States by
Washington branch of I. L. O.)
This survey of wartime social legislation in Denmark was prepared by the
Danish Ministry of Social Affairs in March 1944.
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Tennessee Valley Authority
T V A: Democracy on the march. By David E. Lilienthal. New York, Harper &
Bros., 1944. 248 pp., bibliography, illus. $2.50.
A stirring account of the circumstances surrounding the creation of the Tennes
see Valley Authority, its purposes, and its accomplishments in terms of contribu
tion to the war effort and especially in the lives of the people of the valley and in
its industrial development. Lays particular stress on the success of the TVA in
obtaining the heartfelt cooperation of the people and on their participation in its
program. The book points out that similar programs are feasible in many other
regions throughout the world and could be developed with benefit to the
inhabitants.
The TVA—lessons for international application. By Herman Finer. Montreal,
International Labor Office, 1944. 289 pp. $1.50. Distributed in United
States by Washington branch of I. L. O.
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Federal Reserve Bank of St. Louis
4
Recent Publications of Labor Interest
1115
W ages and Hours of Labor
Components of wartime wage changes. By Elmer C. Bratt and Clarence H. Danhof.
(In Survey of Current Business, U. S. Department of Commerce, Bureau of
Foreign and Domestic Commerce, Washington 25, September 1944, pp. 17-20:
charts. 15 cents.)
The composition of manufacturing pav rolls is discussed, together with the
causes of the increase in pay rolls between January 1939 and January 1944. The
factors analyzed are changes in employment, hours, premium overtime payments,
distribution of employees among the several industries, and other factors, includ
ing changes in rates.
Wartime wage movements and urban wage-rate changes. Washington 25, U. S.
Bureau of Labor Statistics, 1944. 21 pp. (Serial No. R. 1684; reprinted
from Monthly Labor Review, October 1944.) Free.
Earnings of full-fashioned hosiery workers in union mills, 1943. Philadelphia, Pa.,
1943. 148 pp.; mimeographed.
Issued by the office of the impartial chairman, full-fashioned hosiery industry,
in cooperation with the American Federation of Hosiery Workers and the FullFashioned Hosiery Manufacturers of America, Inc., Philadelphia, Pa.
Union wages and hours in the printing trades, July 1, 1943. Washington 25, U S
Bureau of Labor Statistics, 1944. 63 pp., charts. (Bull. No. 781; reprinted
from Monthly Labor Review, April 1944, with additional data.) 15 cents,
Superintendent of Documents, Washington 25.
Hourly remuneration rates by occupations in the transportation industry. A report
by the IL S. Board of Investigation and Research—Transportation. Wash
ington 25, Government Printing Office, 1944. 127 pp., pasters, charts.
(House doc. No. 623, 78th Cong., 2d sess.)
Detailed analysis of average hourly earnings and rates of pay of workers in the
railroad, motor-carrier, and water-carrier industries. An effort is made to compare
wages in the several types of transportation and in the various occupations and
regions. The subject is approached from the point of view of wages as costs
affecting the relative economy and fitness of carriers in the various types of
transportation.
Salary trends in Washington cities: A study of salary fluctuations in Washington
cities from 1929 to 1943. Seattle, University of Washington, Bureau of Gov
ernmental Research, 1943. 94 pp.; mimeographed. (Report No. 58.),.
Wage incentives. By J. K. Louden. New York, John Wiley & Sons, Inc., 1944.
174 pp. $2.50.
A textbook giving accounts of five fundamental types of wage-incentive plans,
with discussions of problems of wage policy and administration. There is a chapter
on union participation as a phase of what the author describes as a major turn in
the course of industrial progress.
JJ artim e Conditions and Policies
The employment of prisoners of war in the United States. By Maxwell S. McKnight.
(In International Labor Review, Montreal, July 1944, pp. 47-64. 50 cents.
Distributed in United States by Washington branch of I. L. O.)
Impact of the [present] war on the Wichita, Kansas, area, Sedgwick County. Wash
ington 25, U. S. Bureau of Labor Statistics, 1944. 62 pp.; mimeographed.
(Industrial area study No. 17.) Free.
Working notebook for use by local groups studying recent economic development
and formulating plans for the post-war period.
Impact of World War I on the Hampton Roads area. By Caroline Buck Reeves.
Washington 25, U. S. Bureau of Labor Statistics, Post-War Division, 1944.
71 pp.; mimeographed. (Historical study No. 69.) Free.
Increased financial provision for members of ¡His Majesty’s forces and their families
with certain changes in war pensions. London, [Ministry of Pensions?!, 1944.
8 pp. (Cmd. 6521.) 2d. net.
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Federal Reserve Bank of St. Louis
1116
Monthly Labor Review—November 1944
Women in Industry
Attack turnover—you, in the plant, in the union, in the community: Help her stay on
the job! Washington 25, U. S. Department of Labor, Women’s Bureau, 1944.
12 pp. Free.
Includes various suggestions for reducing quit rates for women.
One hundred and one annotated pamphlets on the woman worker in industry. Harris
burg, Pennsylvania Department of Public Instruction, April 1944. 22 pp.;
mimeographed.
Summary of State labor laws for women. Washington 25, U. S. Department of
Labor, Women’s Bureau, August 1944. 8 pp. ; mimeographed. Free.
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General Reports
A source list of selected labor statistics. New York 3 (31 East 10th Street), Special
Libraries Association, 1944. 37 pp. Preliminary edition.
Sources of statistics for the United States published by Federal, State, and non
governmental agencies, as of December 1943, currently available and issued more
frequently than once a year.
Report of the New York State Joint Legislative Committee on Industrial and Labor
Conditions. Albany, 1944. 184 pp., charts. (Legislative document, 1944,
No. 50.)
, . ,
Gives results of the committee’s investigations in the fields of industrial and
labor relations, unemployment insurance, education, business, commerce, industry,
and planning for post-war reconstruction, with pertinent appendixes.
Economic report on industries operating in the municipality of St. Thomas and St.
John, Virgin Islands, and in the municipality of St. Croix, Virgin Islands.
New York 19 (165 West 46th Street), U. S. Department of Labor, Wage and
Hour and Public Contracts Divisions, 1944. 30 pp.; mineographed.
Report of a governmental investigation made in the Virgin Islands with respect
to industries covered by the Fair Labor Standards Act, including data on number
of workers, prevailing minimum wages, and average hourly earnings.
China enters the machine age: A study of labor in Chinese war industry. By Ivuoheng Shih; edited and translated by Hsiao-tung Fei and Francis L. K. Hsu.
Cambridge, Mass., Harvard University Press, 1944. xxiv, 206 pp. $2.50.
A study of labor problems in Yunnan, based primarily on experience in a partic
ular factory and on individual case histories.
Économie et finances de la France—passé et avenir. By Robert Wolff. New York,
Brentano’s, Inc., 1943. 320 pp. $2.25.
Includes information on the population, aptitudes of the people, and social
legislation. The first part of the volume deals with past experience and the second
with reconstruction reforms.
Industrial problems in the Middle East. By A. Michael Critchley, M. D., and
I. Harvey Flack, M. D. (In British Medical Journal, London, September
9, 1944, pp. 334-337. Is. 6d.)
Deals with the adaptability of natives to industrial employment, occupational
and climatic hazards, and the effects of long hours on the health of workers.
Labor in India. By B. Shivo Rao. (In The Annals of the American Academy
of Political and Social Science, Vol. 233, Philadelphia, Pa., May 1944, pp.
127-133. $2 (paper) and $2.50 (cloth).
Points to the enormous industrial development of the past quarter century
in India and the relative slowness in improving the situation of labor. Industrial
hygiene, malnutrition, lack of skilled workers, workers’ indebtedness, labor legisla
tion, trade-unions, and labor unrest are discussed.
Memorándum: Elementos generales sobre las condiciones de trabajo, de legislación
y de otros problemas sociales de la República de Bolivia. By Víctor Andrade.
La Paz, Editorial Trabajo, 1943. Various paging.
Report on labor and social conditions in Bolivia, with summaries of pertinent
laws and statistics of wages and social-security operations.
Anuario de estadísticas del trabajo. México, D. F., Secretaría del Trabajo y
Previsión Social, 1943. 169 pp.
Contains statistics on labor organizations, employment and unemployment,
industrial accidents and occupational diseases, industrial disputes, wages, hours,
and cost of living in Mexico in 1942 or earlier years, with a brief historical
summary covering each of these subjects.
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Federal Reserve Bank of St. Louis
U. S . G O V E R N M E N T P R I N T I N G O F F I C E : 1 944
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