Full text of Monthly Labor Review : November 1945, Vol. 61, No. 5
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VOL. 61 • NO. 5 NOVEMBER 1945 IN THIS ISSUE JZZ. “Extra” Workers in Postwar Labor Force Wartime Utilization of Jamaicans Opinion on Relation Between Foreign Trade and Employment Price Control and Rationing in Foreign Countries Employment Pattern of Mexicans in Detroit Work Injuries in Slaughtering and Meat Packing - NITED STATES DEPARTMENT OF LABOR • BUREAU OF LABOR STATISTICS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis UNITED STATES DEPARTMENT OF LABOR L. B. S ch w ellenbach , Secretary ♦ BUREAU OF LABOR STATISTICS I sador Ltjbin, Commissioner (on leave) A. F. H inrichs, Acting Commissioner Inquiries should be addressed to Bureau of Labor Statistics, Wash ington 25, D. C. t t Tt 6 ; ^ ONTHLY La*°R R e v i e w is for sale by the Superintendent of Documents, U. S. Government Printing Office, Washington 25, D. C. Price, 30 cents a copy Subscription price per year in the United States, Canada, and Mexico, $3.50 other countries, $4.75. + The M onthly Labor R eview is published by the Bureau of Labor Statistics, under authority of Public Resolution No. 57, approved M ay 11, 1922 (42 Stat 541) as amended by section 307, Public Act 212, 72d Congress, approved June 30,1932. This publication approved by the Director of the Bureau of the Budget. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 MONTHLY M | ¡¡^ ¡¡J jj ¡¡¡^ Jj|| fksk'û UNITED STATES DEPARTMENT OF LABOR CONTENTS C< • 7 • I Special articles: n~r^ o BUREAOfBf LABOR STATISTICS lltf^ lBER 1945, Vol. 61, No. 5 I r IA I “ E x tra ” w orkers in th e p o stw ar lab o r force____________________ W artim e u tilizatio n of Jam aican s in U nited S ta te s in d u stria l e sta b lish m en ts________________________________________________ O pinion on th e relation betw een foreign tra d e an d em p lo y m e n t______ W ar and p o stw ar wages, prices, a n d hours, 1914-23 a n d 1939-44: P a r t 2— W ar an d p o stw ar tre n d s ___________________________ __ Price control an d ratio n in g in foreign countries du rin g th e w a r______ Page g^g 858 ggg 882 Discharged soldiers: B enefits for ex-servicem en in five B ritfsh countries a n d U nited S ta te s . Policy on em ploym ent of v e te ra n s_________________ 900 909 War and postwar policies: P o stw ar policies regarding foreign w orkers an d prisoners of w a r_____ A ustralian ren t-co n tro l regulations, 1945____________________ ______ 910 912 Employment conditions: E m p lo y m en t p a tte rn s of M exicans in D e tro it_______ _________ “ E x tra ” w orkers in th e p o stw ar lab o r force_________________________ W artim e u tilizatio n of Ja m aican s in U n ited S ta te s in d u stria l estab lish m e n ts________________________________________ ____ ____ __ O pinion on th e relation betw een foreign tra d e a n d e m p lo y m en t_____ T e n an t-farm an d land-use regulation in I t a ly _________________ _ 913 g41 g^g 858 923 Postwar reconstruction: 925 B uilding dam age and reco n stru ctio n in F ra n c e _____________________ Social security: 930 949 D evelopm ents in civilian fam ily allowances, 1944-45_______________ U nem ploym ent assistance an d re train in g p rogram in B elg iu m ______ Women in industry: E arnings of w omen in Illinois industries, Ju n e 1945_________________ 953 Industrial injuries: W ork in ju ries in th e slaughtering a n d m eat-p ack in g in d u stry , 1943. _ 955 Industrial relations: G overnm ent collective ag reem ent w ith civil se rv a n ts in S ask atch ew an . C onciliation service of G overnm ent of In d ia ________________________ 972 973 Industrial disputes: S trikes an d lock-outs in S eptem ber 1945__________________________ _ A ctivities of U. S. C onciliation Service, A ugust 1945_______________ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 975 978 IX CONTENTS Labor organizations and conventions: U nderground trad e-u n io n a c tiv ity in N orw ay du rin g th e w a r-----------T rade-union grow th a n d in te rn a tio n a l policy in S w itzerlan d -------------- P age 979 981 Labor laws and decisions: S ta te legislation on la b o r relatio n s a n d discrim ination in em ploym ent, 1945_____________________________________________________________ L egislative sessions in 1946-------------------------------------------------------------R ecen t decisions of in te re st to la b o r------------------------------------------------- 984 991 992 Employed youth: S tu d e n t w orkers in N ew Y ork S ta te ------------------------------------------------ 996 Wage and hour statistics: W ar a n d p o stw ar w ages, prices, a n d hours, 1914-23 a n d 1939-44: P a r t \2__________________________________________________________ T re n d of facto ry earnings, 1939 to A ugust 1945-------------------------------U n ited K ingdom — H o u rs a n d earnings in Ja n u a ry 1945------------------- 863 998 999 Prices and cost of living: Indexes of consum ers’ prices in large cities, S ep tem b er 1945-------------R etail prices of food in S ep tem b er 1945------------------------------------------Supplies of food in in d ep e n d e n t re ta il stores, S ep tem b er 1945----------W holesale prices in S ep tem b er 1945--------------------------------------------------Indexes of strate g ic a n d critical ngaterials----------------------------------------P rice’ control an d ratio n in g in foreign countries du rin g th e w a r--------- 1003 1005 1011 1012 1018 882 Building operations: B uilding co nstru ctio n in u rb a n areas, S ep tem b er 1945------------ '--------- 1019 Labor turn-over: L abor tu rn -o v e r in m an u factu rin g , m ining, a n d pub lic utilities, A ugust 1945______________________________________________________________ 1023 Trend of employment, earnings, and hours: S um m ary of rep o rts for S ep tem b er 1945-------------------------------------------In d u s tria l an d business e m p lo y m e n t----------------------------------------P ublic e m p lo y m e n t-----------------------------E m p lo y m en t in sh ip y a rd s. ------------------------------------------------------C o n stru ctio n e m p lo y m e n t--------------------------------------------------------D etailed rep o rts fo r in d u stria l a n d business em ploym ent, A ugust 1945: N o n ag ricu ltu ra l em p lo y m e n t---------------------------------------------------In d u s tria l a n d business e m p lo y m e n t----------------------------------------Indexes of em p lo y m en t an d p ay rolls---------------------------------A verage earnings a n d h o u rs----------------------------------------------T re n d of facto ry earnings, 1939 to A ugust 1945-------------------------------L ab o r force, S ep tem b er 1945------------------------------------------------------------Recent publications of labor interest--------------------------------------------------- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1029 1029 1030 1032 1033 1035 1035 1036 1045 998 1049 1050 This Issue in B rief "Extra” workers in the postwar labor force T he labor force in A pril 1945 exceeded long-run, p eacetim e ex p ectatio n s by ap p ro x im ately 7 m illion persons. By 1950, th is volum e of “ e x tra ” w orkers is expected to be reduced to p erh ap s only 1 or 2 million. M ost w artim e ad d itio n s from th e youngest an d oldest groups are likely to d isap p ear very sh o rtly , a n d a re tu rn to th e prew ar tre n d to w ard longer schooling an d earlier re tire m e n t is indicated. M ost of th e w artim e excess am ong young women u n d er 35 reflects th e effect of th e d ra ft on servicew ives a n d is likely to d isap p ear as servicem en re tu rn to civilian jobs. Am ong m en a n d women in th e m iddle-aged groups, surpluses over prew ar levels arose in response to a full-em ploym ent situ a tio n an d are likely to p ersist— th ough to a less e x ten t th a n during th e w ar— if peace tim e job o p p o rtu n ities are favorable. Page 841. Wartime utilization of Jamaicans in industrial establishments M ore th a n 12,000 Ja m aican n atives were em ployed in m an u fa c tu rin g estab lish m ents in th e U nited S tates du rin g th e period of acu te lab o r shortage in late 1944 and early 1945. In over four-fifths of th e 60 p la n ts v isited by rep resen tativ es of th e B ureau of L abo r S tatistics, all Jam aican recru its were placed on general labor. A bout half of th e p la n ts gave Jam aican s some p rejob orien tatio n , an d in m ost p la n ts forem en were given special in stru ctio n on supervising th e Jam aican s. R ep o rts to B ureau rep resen tativ es in d icated th a t Jam aican s perform ed light w ork m ost effectively; th e y w orked m ore slowly, b u t somew’h a t m ore steadily, th a n dom estic laborers. A lm ost tw o -th ird s of th e com panies rep o rted th a t o u t p u t p er w orker for Jam aican s com pared fav o rab ly w ith th a t of o th e r em ployees. Page 848. Opinion on the relation between foreign trade and employment T he im portance of increased foreign tra d e in im proving w orld sta n d a rd s of living is generally recognized. T he c o n trib u tio n th a t an enlarged foreign tra d e m ig h t m ake to dom estic em ploym ent is, how ever, a m a tte r concerning w hich th ere is wide divergence of opinion. Some ty p ical views are sum m arized in th e article on page 858. A tten tio n is called to studies m ade by th e B ureau of L abor S tatistics and th e U. S. T ariff Comm ission w hich th row some light on th e q u a n ti ta tiv e im portance to dom estic em ploym ent of expanded foreign trad e. T he com plexity an d u n c e rta in ty of th e relationship, ta k in g acco u n t of b o th exports an d im ports,_suggest th a t th e em ploym ent objective of th e U n ited S tates m ig h t be com prom ised if excessive reliance were placed upo n th e ab ility of increased foreign tra d e to create ad d itio n al jobs. War and postwar wages, prices, and hours, 1914-23, and 1939-44: Part. 2 W ages, average earnings, and prices from 1914 to 1923 were extrem ely v ariable. T he average hourly earnings of facto ry w orkers, for exam ple, rose from $0,223 in 1914 to $0,564 in th e fo u rth q u a rte r of 1920, fell to $0,482 in th e first q u a rte r of 1922, an d advanced to $0,522 in 1923. T he n e t rise of 69.8 percent in th e consum ers’ price index betw een 1914 an d 1923 w as g reater th a n th e n et ad v an ce of 47.7 p ercen t in wholesale prices. Increases in lab o r p ro d u c tiv ity as well as in prices co n trib u ted to th e rise in wages. H o u rs of w ork in factories fell from 49.4 per week in 1914 to 46.3 in 1919, w ith little fu rth e r change except in a few industries, notably, iron a n d steel. C onditions affecting wages a n d prices a t th e end of W orld W ar I I prom ised a m uch sm aller v ariab ility th a n a fte r W orld W ar I, b u t th e resto ratio n of w ork schedules p revailing in 1939 in d icated sh arp red u ctio n s in hours of w ork. Page 863. Price control and rationing in foreign countries M ost n atio n s h ad som e form of price control b.v th e gov ern m en t in th e in te rw a r period. W hen hostilities com m enced in 1939 certain countries established price https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis in IV T H IS ISSUE IN BRIEF ceilings for a large n u m b e r of essential raw m aterials a n d consum er goods; others h ad only lim ited price controls in th e early p a rt of th e w ar. Subsidies were freq u en tly used, eith er a t th e p ro d u cers’, th e w holesalers’, or th e re ta ile rs’ level, to m ain tain th e ceilings fixed. Price-control m easures p ro v ed largely ineffective in th e countries in v ad ed by th e Axis pow ers, owing to th e extrem e shortages caused by th e destructio n of eq u ip m en t a n d tra n sp o rta tio n a n d th e disru p tio n of g overnm ent ad m in istra tio n . R atio n in g of certain essential foods was general in w artim e. Some countries have decreased ratio n s in p eacetim e to aid th e food supply in others. Page 882. Benefits for ex-servicemen On honorable discharge, a n a rm y p riv a te is given a v ariety of o p p o rtu n ities for resettlem en t in A ustralia, C anada, G re a t B ritain , N ew Z ealand, a n d th e U nion of South A frica. Provisions differ am ong th ese countries a n d also from th o se in th e U n ited States. H ow ever, all six n atio n s h av e assured th e rig h t of th e v eteran to re tu rn to his p rew ar em p lo y m en t a n d have estab lish ed system s of financial aid in th e tra n sitio n to civilian life an d during a n y u n em p lo y m en t. O p p o rtu n ities are afforded for m en to becom e self-em ployed in business or farm ing, th ro u g h g fan ts a n d loans. T h ey will be able to p rep are for b e tte r jobs by m aking use of th e financial aid for tra d e tra in in g a n d higher education. Page 900. Employment patterns of Mexicans in Detroit T he first M exican w orkers cam e to D e tro it in 1918; in 1944 th e re w ere betw een 2,000 an d 3,000 w orkers of M exican b irth or p are n ta g e in th e c ity ’s industries. T he article on page 913 shows th e ty p e s of w ork in w hich th ese w orkers ordinarily engage, th e ir ty p ical em p lo y m en t experiences, a n d th e special problem s encoun tered^ as exem plified in a group of fam ilies stu d ied over th e periods 1920-38, 1939, a n d la te r years. Building damage and reconstruction in France B uildings dam aged or d estro y ed in F ran ce in W orld W ar I I n um bered 1,804,000— double th e n u m b er in th e F irst W orld W ar. T w enty-five p ercen t of all b u ild ings dam aged in th e second w ar were com pletely destroyed, as c o n traste d w ith 40 p ercen t in th e first w ar. I t is estim a te d th a t 13.9 billion m an-hours of labor will be req u ired for reco n stru ctio n . Page 925. , Developments in civilian family allowances 1944-45 S u b stan tial progress in th e m ovem ent for civilian fam ily allow ances in 1944-45 w as disclosed by a survey by th e B ureau of L abor S tatistics. D u ring th e w ar, laws establishing such system s were en acted in C anada, A ustralia, an d G reat B ritain and have alread y gone into effect in th e first tw o of these. In 1944-45, in co n tin en tal E urope a n d L atin Am erica liberalization of benefit or broadening of coverage took place in a n u m b er of countries. D evelopm ents in these countries an d in th e U nited S tates are covered in th e article on page 930. Work injuries in the slaughtering and meat-packing industry In 1944, 1 of every 12 w orkers in th e slaughtering a n d m eat-p ack in g in d u stry suffered a disabling w ork in ju ry . A special stu d y was m ade b y th e B ureau of L ab o r S tatistics to m easure th e accid en t problem in th e in d u stry an d a scertain th e p oints a t w hich im p ro v em en t in accid en t p rev en tio n is p racticab le. I t re vealed a considerably higher ra te of accid en t frequency in th e slau g h terin g a n d dressing operations th a n in th e m eat-p ack in g o perations. In general, th e large an d very sm all p lan ts h ad b e tte r records th a n th e m edium -size p la n ts. Page 955. State legislation on labor relations in 1945 T hree new labor-relatio n s ac ts were passed in 1945 a n d five S tates am en d ed laws previously enacted. C oncilation, m ediation, an d a rb itra tio n were pro v id ed for in four S tates an d tw o island possessions. Only one S ta te ad o p te d a “ rig h t to w ork ” law, alth o u g h such bills were in tro d u ced in a t least 11 S tates. _ S eniority of v eteran s w as legislated upon in one S ta te . M easures p ro h ib itin g discrim in atio n in em ploym ent w ere passed in four S tates, a n d in a fifth an in v estig a to ry com m ittee was provided for. T he provisions of th ese laws are sum m arized in th e article on page 984. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis V CURRENT LABOR STATISTICS Current Statistics of Labor Interest in Selected Periods 1 IAvailable in reprint form] 1945 Item U nit or base period Employment and unemployment Civilian labor force (BC): T o t a l___ Thousands. M ale_______________ __________ ___do____ Female_______________________ ___do____ Employed 4___________________ ___do____ M ale_____________________ ___do_____ Fem ale___________________ ....d o ___ Nonagricultural____________ ___do____ Agricultural_______________ ___do____ Unemployed___ ______________ . . . . d o ____ Civilian employment in nonagricul ___do____ tural establishments: Total.4 Manufacturing________________ .do. . M ining__________ _____________ .do._ Construction 3___ ______________ -do_. Transportation and public utili .do. _ ties. Trade_________________________ .do. Finance, service, and miscellane .do. ous. Federal, State, and local govern ___d o .. ment, excluding Federal forceaccount construction. M ilitary personnel_________________ .do. Production-worker em ploym ent:6 Manufacturing_________________ .do. Bituminous-coal mining______ . .. .do. Class I steam railroads, including .do. salaried employees (ICC). Hired farm workers (B A E )_____ .do. Hours and earnings Average weekly hours: Manufacturing_______ _________ Hours_____ Bituminous-coal mining___ . ____ ___do_____ Retail trade____________________ ___do_____ Building construction (p rivate)... ___do_____ Average weekly earnings: Manufacturing____________ ____ Bituminous-coal mining________ Retail trade_____ ______________ Building construction (private)... Average hourly earnings: Manufacturing_________________ Bituminous-coal m ining________ Retail tr a d e ..._________________ Building construction (private)... Average straight-time hourly earnings in manufacturing, using— Current employment by in dustry. Employment by industry as of January 1939. Quarterly farm wage rate, per day without board (BA E). Industrial injuries and labor turn-over Industrial injuries in manufacturing, per million man-hours worked. Labor turn-over per 100 employees in manufacturing: Total separations_______________ Quits_________ _______ _____ Lay-offs______________ _____ Total accessions...........1 _________ Strikes and lock-outs Strikes and lock-outs beginning in month: N um ber_______________________ Number of workers involved____ Thousands.. . All strikes and lock-outs during month: Number of man-days idle_______ ___do______ Man-days idle as percent of avail able working time. See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1944 1939: average Septem for year ber Septem ber August 52, 900 34, 250 18, 650 51, 250 33, 320 17,930 42, 450 8, 800 1,650 35,268 54, 350 35,020 19, 330 53, 520 34, 590 18, 930 44, 470 9, 050 830 36,894 55, 220 35,140 20,080 54, 270 34, 660 19, 610 44,430 9,840 950 37, 229 2 18, 440 2 52, 250 2 34,190 2 18, 060 2 43, 580 2 8, 670 2 780 38, 571 3 54, 230 3 40, 950 3 13, 280 3 46, 930 3 35, 600 3 11, 330 3 37,430 3 9, 500 3 7, 300 30,353 12,149 785 946 3,840 13, 837 784 951 3,838 14,130 784 911 3,836 15,843 826 671 3, 791 10, 078 845 1,753 2,912 7,138 4,500 6, 963 4,605 6,975 4, 672 6,994 4,488 6,618 4,160 5,910 5,916 5, 922 5, 958 3,988 12,100 12, 200 12, 300 11,800 362 10,121 324 1,414 11,670 323 1, 449 11, 928 323 1,451 13,602 348 1,426 8,192 371 988 2,813 2,642 2, 544 2,817 2 3, 240 40.8 40. 1 41.2 40.3 44. 0 40.8 41.9 40.0 M5.2 8 44.0 8 41.9 40.1 37.7 27.1 43.0 32.4 $51.90 $41. 81 $49. 89 $29.01 $55.79 $45.42 $50. 70 $29.40 $55. 57 « $45. 88 8 $52.22 » $27. 64 $53. 71 $23.86 $23. 88 $21.17 $30. 24 $1. 350 $1.025 $1. 248 $0. 772 $1. 383 $1.032 $1. 255 $0. 775 $1.387 8 $1.016 8 $1.190 8 $0. 730 $1,339 $0. 633 $0.886 $0. 536 $0. 933 « $4. 39 July 2 53, 030 2 34, 590 $0. 969 8 $0. 945 $0. 622 $0.906 8 $0. 870 $0.622 $4. 48 « $4.08 » $1. 57 1» 17.0 4219. 8 15.4 11.4 6.5 4.1 7.3 17.9 6.2 10.7 5.9 7.7 5.2 1.5 5.7 7.6 6.1 .6 6.1 2 2.8 2 1.1 2 1.6 2 6.2 550 455 410 220 500 290 408 207 218 98 3,650 0. 61 1,350 0.19 1,500 Ò. 21 786 0.10 1,484 Ò. 28 CURRENT LABOR STATISTICS VI Current Statistics of Labor Interest in Selected Periods 1— Continued 1944 1945 Item Prices Consumers’ price index (moderate income families in large cities): All items, u Food ________________________ Clothing_______________________ Rent __________________ Fuel, electricity, and ice------------H ousefurnish ings________ ____ — Miscellaneous__________________ Retail food price index (large cities): All foods. Cereals and bakery products.......... M eats_________________________ Dairy products.......... ........................ Eggs---------------------------------Fruits and vegetables----------------Beverages--------------------------------Fats and oils___________ ____ ___ Sugar and sweets_______________ 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 (B F D C ).. Consumer expenditures for goods and services (B F D C ). Retail sales (B F D C )---- --------- . . . . Production Industrial production index, unadjusted (FR): Total. Manufactures.................................... Minerals-------- -----------------------Bituminous coal (B M )......................... . Unit or base period 1939: average Septem for year ber Septem ber August 1935-39=100 128.9 129.3 129.0 126.5 99.4 1935-39=100 1935-39=100 1935-39 = 100 1935-39=100 1935-39=100 1935-39 = 100 1935-39=100 139.4 148.2 108.3 110.7 146.8 124.6 139.4 140.9 146.4 111.4 146.0 124.5 140.9 141.1 145.9 108.3 110.0 145.6 124.3 141.7 137.0 141.4 108.2 109.8 140.7 122.4 137.0 95.2 100.5 104.3 99.0 101.3 100.7 95.2 1935-39=100 1935-39=100 1935-39=100 1935-39 = 100.. 1935-39=1001935-39 = 100.. 1935-39 = 1001935-39 = 1001926=100____ 109.1 131.6 133.4 183.9 172.5 124. 7 124.1 126.5 105.2 109.1 131.8 133.4 171.4 183. 5 124.7 124.0 126.6 105.7 109.1 131.6 133.4 157.2 191.8 124.7 124.0 126.5 105.9 108.6 129.0 133.6 168.0 169.9 124.3 123.0 126.3 104.0 94.5 96.6 95.9 91.0 94.5 95. 5 87.7 100.6 77.1 79.5 July 1926=100____ 100.9 100.9 100.7 99.7 1926=100____ 99.8 99.9 99.7 98.6 81.3 1926=100____ 1926=100____ 124.3 104.9 126.9 106.4 129.0 106.9 122.7 104.2 65.3 70.4 $13,459 Millions____ ___do......... « $25,335 $12,674 $13, 585 $6,207 $6,086 $5,755 ____do______ 7 $6,092 $13, 670 12 $24,499 12 $15,350 $6,034 7 $3, 647 1935-39=100- 175 189 212 234 109 1935-39=1001935-39 = 100Thousands of of short tons. Carloadings index, unadjusted (F R ).. 1935-39=100.. Electric energy (FPC ): T otal............. . Millions of kw.-hrs. Utilities (production for public ........ do......... use). Industrial establishments_______ ........do______ Construction f} on struct, ion expenditures_________ M illions____ Value of urban building construction ........ do_............ started. N ew nonfarm family-dwelling u n its.. 182 138 46,330 197 143 47,620 224 145 47, 275 249 147 50,480 109 106 32,905 137 20,739 132 22, 606 143 23,038 150 22, 673 (! 3 ) 17,016 18,625 18,954 18,516 3,723 3,981 4,084 4,157 ( 13 ) $545 $186 $558 $173 $528 $169 $429 $86 ( 13) 21, 600 20,100 23,300 11, 300 101 7 10,911 7 $680 7 42,400 'Source: Bureau of Labor Statistics unless otherwise indicated. Abbreviations used: BC (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); FPC (Federal Power Commission). M ost of the current figures are preliminary. 2 N ot comparable with July, August, and September 1945 figures because of a change adopted by the Bureau of the Census in July 1945 in sampling methods. (See M onthly Report on the Labor Force, Sep tember 1945.) Estimates for months prior to July 1945 are being revised. 3 10-month average—March to December 1940. (See footnote 2.) 4 Excludes employees on public emergency work, these being included in unemployed civilian labor force. Civilian employment in nonagricultural establishments differs from employment in civilian labor force mainly because of such groups'as self-employed and domestic and casual workers. 1 Includes workers employed by construction contractors and Federal force-account workers (nonmamtenance construction workers employed directly by the Federal Government). Other force-account non maintenance construction employment is included under manufacturing and the other groups. 6 Reports in manufacturing and mining now relate to “production workers” instead of “wage earners but with no appreciable effect on the employment estimates. 7 September. 8 August. 8 October. 10 June. u Formerly listed as “ cost-of-living index.” iJ Third quarter. ii N ot available. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MONTHLY LABOR REVIEW NOVEMBER 1945 “ E x tra” W orkers in the Postw ar Labor Force 1 Summary FOUR months prior to the close of World War II, the Nation’s labor force exceeded long-run, peacetime expectations by approximately 7 million persons.2 Some idea of the probable extent of postwar with drawals from the labor force may be obtained from a consideration of the personal characteristics and numbers of these “extra” wartime workers. The size and composition of the postwar labor force, how ever, will also be determined by prevailing employment opportunities and social-security policies and by long-term trends in labor-force participation and population growth. The sources of extra wartime labor supply are shown in the following tabulation: Millions of per sons, A pril— 1945 1944 All g ro u p s_______________ N orm ally stu d e n ts, housew ives, re tire d 7. 3 or o th e r nonw orkers. = — B oys and girls 14-19_____School a n d college stu d e n ts ______________ 2. 8 Y oung m en a n d w om en College stu d e n ts a n d service w ives_____ .9 20-24. W om en 2 5 -3 4 ___________ Service w ives___________________________ . 2 W om en 35 a n d o v e r_____ M arried w om en w ith no young c h ild ren . 1. 9 M en 2 5 -5 4 ______________ M arginal w o rk ers_____________________ .6 M en 55 a n d o v e r________ R e tire d _________________________________ . 9 6. 7 ===== 2. 8 .9 (*) 1. 5 .7 .8 1 Fewer than 50,000. Most of the wartime additions from the youngest and oldest groups are likely to disappear, because the youngsters will soon reach normal working age and the older persons are already past normal retirement age. This assumes a return to the prewar trend toward longer schooling and earlier retirement which in turn would mean a reduced inflow of new workers for several years and an increased withdrawal of older workers. A considerable number of young people, however, will want part-time work while attending school. Most of the excess among young women under 35 reflects the effect of the draft on service wives and is likely to disappear as servicemen return to civilian jobs. Maintenance of high marriage and birth rates, which accompany prosperous times, could actually reduce labormarket participation of young women below normal levels. Among men and women in the middle-age groups, surpluses over prewar levels 1 Prepared in the Bureau’s Occupational Outlook Division by Leonard Eskin (on military leave) and Lester M. Pearlman. 2 The labor force includes members of the armed forces as well as the civilian employed and unemployed. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 841 842 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 arose in response to a full employment situation and are likely to persist—though to a less extent than during the war—if peacetime job opportunities are favorable. On balance, perhaps 1 to 2 million “extra” workers will be in the postwar labor force by 1950. Sources of Wartime Labor Supply World War II brought the greatest mobilization of manpower in American history.3 In the short space of 5 years some 17 million per sons were added to the employed population. In April 1940, there were about 45 million persons at work in the factories, farms, and offices of the Nation, and an additional half million in the armed forces. By the spring of 1945, civilian employment had increased to over 50 million and the armed forces had reached about 12 million. About two-fifths of the manpower that was mobilized for the war effort came from the pool of approximately 7){ million unemployed that still existed at the start of the national defense program in mid-1940. Five years later, immediately prior to the Japanese sur render, fewer than 1 million persons were unemployed, and most of these were between jobs. The other three-fifths—some 10 million—of the wartime gain in civilian and military employment was made possible by the entry of new workers into the labor force. About 3 million of this gain was the result of normal population growth and long-run demographic changes.4 The remaining 7 million represented persons who in normal times would have been students, housewives, retired workers, or others not seeking work in paid employment.5 (See accompanying table.) Youths of college and school age constituted the largest single source of additional wartime labor supply, and married women over the age of 35 also contributed large numbers of wartime workers. Among adult men, extra workers were recruited from persons who postponed retirement, occasional workers, and men on the borderline of employ ability. Women aged 20-34—a group affected to a great extent by responsibility for the care of young children and the increase in mar riage and birth rates since 1940—showed only a small gain from their normal rate of labor-market participation. Young service wives, however, contributed a substantial number of extra wartime workers. Many of these extra workers have already left the labor market, following the end of the war. The war’s impact, however, is certain to have lasting effects upon the size and composition of the labor force for many years to come. Wartime and immediate postwar shifts in the composition of the population (e. g., urban-rural residence, marital and dependency status) will considerably affect the postwar pattern of labor-market participation, as will unusual changes in propensities to work in the various population groups. In addition, the redistribution and size of the labor force during postwar years will depend upon the level of total economic activity, upon long-term demographic and socio-economic changes, and upon social security policies. 3 Figures in this article are taken from or are based on the unrevised series of the Bureau of the Census M onthly Report on the Labor Force. Revisions of the data at a later date, however, are not expected to affect significantly the general relationships and conclusions herein indicated. 4 See Normal Growth of the Labor Force in the United States: 1940 to 1950 (Census release P-44, No. 12). 5 See Wartime ■E xpansion in the Labor Force, in M onthly Labor Review, August 1945, and Sources of Wartime Labor Supply in the United States, in M onthly Labor Review, August 1944. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “EXTRA” WORKERS IN 843 POSTWAR LABOR FORCE Estimated Excess of A pril 1945 Labor Force Over "N o rm a lC la ssifie d by Age and Sex 1 Estimated excess (in thousands) Age group Males Both sexes Females Total, 14 years and o v e r _________ _________ ________ 2 7,280 2 3,620 2 3,660 14-19 years _______ _____ - _________ ________ 14-17 years . _ ______ _ __________ 18-19 years ________________ __________________ 20-24 years __________ __________ ___- _________ - ________________ 25-34 years _ - _________ 35-44 years _______ - - _____ - -_________ 45-54 years _________ __ _ -- - _______ - ________________ 55-64 years - - _______ 65 years and over . _____ _______ _______ 2,840 1,850 990 870 280 820 1,050 830 590 1,720 1,140 580 420 120 140 330 420 470 1,120 710 410 450 160 680 720 410 120 1 Based on comparisons between (1) estimates of actual labor force compiled from data on civilian labor force from the Bureau of the Census M onthly Report on the Labor Force plus unofficial estimates of armed forces; and (2) estimates of “normal” labor force adapted from Census Bureau release P-44, No. 12. 2 The excess is somewhat overstated because the “normal” labor force estimates refer to the last week in March, whereas the actual estimates refer to the second week in April. There is a seasonal rise between the two weeks. Factors Affecting Postwar Employment of " Extra ” Workers There can be no very precise estimation of the number of extra workers who will be in the labor force during the next 5 or 10 years. Economists who have tried to relate the relative permanence of the increases which have occurred to the characteristics and number of extra workers have differed widely because of varying evaluations of intangible factors. For this reason the analysis which follows has its main value in pointing out some of the considerations involved in estimating the number of extra workers in the postwar labor force. The estimated total of 1 to 2 million extra workers by 1950, however, is in line with the estimates of most Government economists. YOUTHS NORMALLY IN SCHOOL The 2% million extra wartime workers under 25 years of age who would ordinarily be devoting full time to their schooling consisted of 1 million youngsters who were working while attending school and 1 million who left school early to take a job or enter the armed forces.6 The wartime expansion of labor-market participation of this group is, for the most part, a temporary development. Within a few years after the war, the great majority of these young extra workers will cease to be extra workers by reason of the fact that they will have reached their normal working age. Postwar reductions in the out-of-school labor force under 25 will come about primarily through resumption of the deep-set, long-run trends toward longer schooling and later labor-market entry. As this trend has persisted through peacetime periods of both prosperity and depression, its reversal is unlikely even if job opportunities remain favorable in the postwar period. Extension of child-labor legislation would act to accelerate this trend. Those youngsters who left school voluntarily to take civilian jobs will almost certainly not quit the labor force in any large numbers, for once young persons have left school, they are very reluctant to return. Many young servicemen, however, will return to school because they See Teen-Age Youth in the Wartime Labor Force, in M onthly Labor Review, January 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 844 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 did not leave voluntarily and because of the special inducements offered by the “G. I. Bill of Rights.” Others, especially older youths, will want to enter the civilian labor market immediately, however, regardless of educational opportunities. In the case of student workers, slackening of extreme wartime de mands for labor will result in less demand for the services of students. Thus it may be expected, as the labor market eases this winter, that some of the million extra student workers will disappear from the labor force. However, if a high level of employment is maintained, the number of students who take advantage of the opportunities for part-time and summer work would probably exceed the number who were in the prewar labor market. W OM EN (O T H E R T H A N T H O SE N O R M ALLY I N SCHOO L) The long-run trend toward increasing employment of women would normally add some 3,300,000 women to the labor force between 1040 and 1950.7 The magnitude of this anticipated normal increase is actually smaller than the number of extra women workers who partici pated in the wartime labor force. So widespread and decisive has been the impact of the war upon the pattern of female labor-market participation that important lasting effects are certain. The proba bilities with respect to the postwar labor-force status of girls and young women in the wartime labor force who normally attend school full-time have already been noted. The following discussion deals with the probable postwar role with respect to the labor force of the large majority of extra women workers, the group other than those normally in school. For analytical purposes, the prospects for women under 35 years of age and women 35 and over are considered separately. Women under 85 .—Young women under 35, most of whom would normally be taking care of homes, contributed slightly over a million to the additional wartime labor supply. This figure represents the net effect of a variety of forces working in opposite directions. Perhaps the main factor operating to draw young women into the labor market was the pressure of wartime demands for labor, including the availability of attractive jobs as well as the patriotic motive. Workers affected were mostly newly married women who continued to work when they might otherwise have quit upon marriage, single women who might ordinarily devote full time to taking care of a home, and a relatively few single girls who ordinarily have neither household responsibilities nor jobs before they are married. Also very important in this connection was the reduction in family incomes accompanying the entrance of husbands into the armed forces, which made it neces sary for many service wives to obtain a job or continue to work beyond the time when they normally would have quit. In February 1944, for example, there were approximately 3 million women with husbands away in the armed forces. Half of these were in the labor force, whereas only one-fifth of the married women with husbands at home were working or looking for jobs. Even age for age, the proportion of workers among service wives was between two and three times the proportion among women with husbands present. 7 See Census release, P-44, No. 12. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EXTRA” WORKERS IN POSTWAR LABOR FORCE 845 On the other side of the ledger, the principal force acting to reduce the labor-force participation of young women was the marked in crease in marriage and birth rates since 1940. Most women do not ordinarily continue to work outside the home after they are married, and the great majority of those who do continue do so only until they have children. In the age group 25-34, for example, the proportion of workers among single women in 1940 was 78.9 percent as compared with 33.4 percent among married women with no young children, and only 8.8 percent among married women with young children. By 1944, the worker rates within each of these groups increased to 84.3, 49.5, and 12.1 percent, respectively.8 Between 1940 and 1944, however, there occurred an increase in the number of young married women relative to single women and an increase in the number of married women with small children relative to those without small children. The effect of this change in the number of persons in the various marital and dependency groups was a generally lower participation of young women, because the transfers were from groups with-higher ‘labor-market participation rates to groups with lower worker rates. Furthermore, the additions to the labor force from among young married women aged 18-34 was limited by the relatively large number (70 percent in 1940) responsible for the care of young children. Among single women of this age, additions were also limited because of the large number already in the labor force, and because most of those outside the labor force had household responsibilities. In the case of women under 25 years of age, the positive factors outweighed the negative, so that the number of extra workers in this group approximated 1 million. In the age group 25-34, however, as the various factors have largely offset each other, the labor force exceeded normal peacetime expectations by only 160,000. The rise in marriage and birth rates in 1940-41 before the United States’ entry into the war and their maintenance at relatively high levels throughout the war suggest that the increases resulted from economic 'prosperity rather than the psychological impact of the war itself. If prosperity is maintained after the war, the increased percentage of women married and with children will also be maintained for some time and will exert a strong downward pull on the labor-force partici pation of young women. For this reason it is likely, for example, that the number of women workers aged 25-34 will be below the anticipated normal if a high level of economic activity prevails, especially since even wartime pressures did not cause the labor force of women between these ages to exceed prewar levels significantly. If times are bad, however, low marriage and birth rates, coupled with forced entries of women into the labor market to supplement family incomes, may be factors combining to raise the labor-force participa tion of these young women above the normal peacetime expectations. Many of the service wives as well as many of the young women whose marriages have been delayed by the absence of millions of young men on duty with the armed forces will undoubtedly quit work after the men return to civilian life. The war record of this group with regard to the labor force will certainly not carry over into the postwar period. There will, however, also be wartime factors working in the opposite ' direction—towards postwar participation of “ extra” young women * The worker rate is the proportion of labor force to population. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 846 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 workers. The effect of casualties upon wives and those who remain unmarried because of the excess of women over men will be to increase their propensity to enter or remain in the labor market. Also young women who might not otherwise have entered the labor force may, because of their job experience during the war, constitute a permanent addition. On balance, if high levels of employment are assumed, it is doubtful that there will be net permanent additions to the postwar labor force from the group of extra women workers under 35. Reduction of the female labor force aged 25-34 to a level below “ normal” might offset an increase among the women under 25. Women over 35 .—The same reasons which led to the entry of women over 35 into the wartime labor market may prove to be the reasons for large numbers remaining in the labor force. These women were able to take advantage of excellent wartime job opportunities. While most of them have carried the double responsibility of running a home and working for pay, many of them have made a full adjust ment to this situation. The return to a 5-day week and normal market conditions will relieve part of the wartime strain on these workers. As a group they were little affected by the rise in marriage and birth rates and are generally not responsible for the care of young children. Few of them were service wives forced to work because of the absence of their husbands. Consequently the pressure on young service wives and other young married women to return to their household responsibilities does not apply to middle-aged and older women. On the other hand, many women over 35 will not wish to remain permanently in the labor force. Some may not consider the kind of job opportunities that would be available, even in a peacetime fullemployment economy, to be sufficiently attractive to warrant their continued participation in the labor force. Others may have worked in war plants for patriotic motives and will retire soon after the war’s end. While substantial numbers of women over 35 may be expected to remain in the labor force regardless of continued demand for their services, postwar job prospects will influence their labor-market participation to a large extent and in a manner quite different from that of younger married women. Women over 35 will be encouraged to remain in the labor force rather than to return to home duties if jobs are reasonably available. If, however, times are bad, many middleaged and older women may be forced out of the labor market by their competitive disadvantages relative to men and to younger wives t forced to enter the labor market to supplement the family budget. M EN (O T H E R T H A N T H O SE N O RM ALLY IN SCHOO L) The nearly 2 million extra men over 25 years of age are approxi mately evenly divided between men aged 25-54 from the “fringes” of the labor market and older men aged 55 and over who have either postponed retirement or reentered after retirement. Only a small proportion of the able-bodied men under 55 years of age, with the exception of those attending school, are normally out side the labor force. However, in response to a full-employment situation during the war, these men accounted for nearly 1 million of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I “ EXTRA” WORKERS IN POSTWAR LABOR FORCE 847 the 7 million extra wartime workers. The extra workers from this group include men who in prewar days sought work only occasionally or intermittently and men on the borderline between employability and unemployability. The availability of steady jobs has reduced the number of occasional workers—e. g., migratory, casual workers—who are outside the labor force at any one time. Maintenance of a high labor demand after the war should result in their continued participation in the labor force. Otherwise these workers may return to their practice of enter ing the labor force only during parts of the year when jobs are available. In the case of men in the borderline group, their physical or social handicaps and their lack of seniority result in their being the first to be fired when business declines and the last to be hired when business improves. They have a very low level of employability during a period of large labor surplus such as that which preceded the war. Recent experience has demonstrated that the services of persons on the borderline of employability can be utilized,9 but special measures may be needed to prevent them from being squeezed out of the labor market or forming a “hard core” of unemployment, even under condi tions of peacetime full employment. Most of the 900,000 wartime additions from older men aged 55 and over are likely to disappear very shortly after the war. Many older men are already past normal retirement age, and the long-run trend has been toward earlier retirement. Liberalization of social-security legislation would result in an acceleration of this trend. In this con nection, however, the wartime experience has shown that many older men may be inclined to postpone retirement if employment oppor tunities are favorable. In addition, some of the extra workers now in their late forties and early fifties are particularly likely to continue to be extra workers during the postwar period if jobs are available for them. Some extra participation in the labor force by older men will, therefore, accompany prosperous times. CASUALTIES In the military sense, there have been approximately 1,070,000 “casualties”—259,000 dead, 651,000 wounded, 36,000 missing, and 124,000 prisoners.10 In terms of the labor force after the war, however, many of the wounded, missing, and prisoners will not be casualties, but will remain in the labor force. Death would have claimed a cer tain percentage of the men even under peacetime conditions. Also, a relatively small number of the casualties represent persons who would remain outside the labor market after the war in any event (e. g., as students). Thus a reduction in the postwar labor force for “casualties” should be considerably less than the number of casualties reported by the Army and Navy. » This suggests that it is unwise to think of them as “unemployable” even in a loose labor market. The truly unemployable probably gives up the search for jobs, because a man’s self-respect is better protected if he uses some ailment as an excuse for never working than it is if he is rebuffed day after day at the employ ment offices. However, there undoubtedly is a group whose capacities are such that they find it hard to obtain a job and difficult or impossible to hold one. In their passage from job to job they give rise to a signifi cant group of unemployed in any but the tightest labor market. It has been demonstrated during the war that the flow in and out of the labor market is large. It is probable that in normal times many of these people disappear from the labor market during part of the time that they are between jobs. 10 As of September 13, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W artim e U tilization of Jam aicans in U nited States In d u strial E stablishm ents 1 Summary MORE than 12,000 natives of Jamaica were employed in manufactur ing establishments in this country during the latter stages of the war period, when the labor shortage reached an acute stage. In making a survey of their contribution to domestic production and the problems incident to the use of the foreign workers, representatives of thoBureau of Labor Statistics visited 60 plants in the Midwest and East Coast areas. These plants employed over 60 percent of the 10,400 Jamaicans engaged in manufacturing work in March 1945. In over four-fifths of these plants, all Jamaican recruits were placed on general labor. In the remaining establishments, numbers of these foreign workers were placed in semiskilled production jobs. No special jobs were created for the Jamaicans, although some overstaffing was provided in many instances to maintain production. About half of the establishments gave the recruits special instruc tion, but in many plants job training was largely unnecessary, partic ularly where Jamaicans were assigned maimy to unskilled labor. Where they were placed on production work, however, more intensive training was necessary than that usually given domestic workmen. In practically all plants, supervisors assigned to Jamaicans were given special instructions regarding their background and characteristics, and in some cases Jamaicans were given additional job supervision. Although no adequate records of relative productivity were avail able, general information regarding the work performance of Jamaicans was obtained for 37 of the plants. The reports indicated that these workers handled light work most effectively. It was observed in a number of cases that they worked more slowly, but somewhat more steadily, than domestic laborers; almost two-thirds of the companies reported that the output per worker for Jamaicans compared favorably with that for other employees. A minority of the establishments reported that the Jamaicans were excessively slow, and that their output fell below that of domestic workers. It was apparent that greater success in obtaining satisfactory production from the Jamaicans was achieved when more effort had been devoted to fitting them into their new working environment by means of special attention to orientation, training, and supervision. Officials in nearly all plants indicated that the utilization of foreign labor had contributed in an important measure to production goals during the war. Background and Extent of Survey Extensive use of foreign workers in United States manufacturing industry occurred for the first time during the last 2 years of the war, when the labor shortage reached an acute stage. In accordance with arrangements with the British Government, more than 20,000 West Indian Negro workers were brought into the country and placed in 1 Prepared in the Bureau’s Productivity and Technological Development Division by George E. Sadler under the supervision of James M . Silberman. 848 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ARTIM E UTILIZATION OF JAM AICANS IN U. S. IN DU STRIES 849 East Coast and Midwest establishments by the War Manpower Commission, acting under authority of Public Laws 229 and 373 (78th Cong). The majority of these workers were Jamaicans. During 1944 and the first half of 1945 a total of 15,129 men, including 6,830 Jamaican nationals, was brought in. This group was supple mented by 5,465 Jamaicans transferred from agricultural work under the War Pood Administration in the fall of 1944. Thus, altogether, 12,295 Jamaicans were assigned to industrial work in this country. The majority of these employees were placed in plants on the eastern seaboard and in Wisconsin, Ohio, and Illinois, where extreme shortages of unskilled labor existed, particularly in foundries. These recruits were assigned mainly to unskilled labor or light production work, in many cases constituting a substantial proportion of all employees in these categories. Most of the plants employed fewer than 100 West Indians each, although in a number of cases large establishments took as many as 500 foreign workers. Recruiting of West Indian nationals was discontinued after mid1945, and repatriations have been made as contracts have expired and as cut-backs have resulted in lay-offs. The utilization of such a large number of foreign workers, most of whom were completely unfamiliar with industrial routine and domestic customs, inevitably created new problems for personnel and manage ment staffs. Special attention was required for the orientation, training, and supervision of the West Indian recruits, and the provision of housing, feeding, recreation, and health facilities was necessary. The Bureau of Labor Statistics undertook the present study to ascertain the managements’ experience in the adaptation and utiliza tion of imported workers. For the purpose of the study, only plants employing Jamaicans were selected, since the majority of the imported West Indian workers were from Jamaica. Representatives of the Bureau visited 60 plants, which employed over 60 percent of the 10,400 Jamaicans reported by the War Manpower Commission to be currently engaged in industrial work in March 1945. These plants were in five areas of major importance in the Jamaican-labor program— Milwaukee and Racine, Wis.; the Chicago industrial area; cities in the general vicinity of Cleveland, Ohio; northern New Jersey; and the Connecticut Valley industrial area. The remaining establish ments employing Jamaicans were not included in the study because they were either widely dispersed or employed only a few Jamaicans. All of the plants visited were in areas of acute labor shortage. Basis of Selection and Conditions of Employment RECRUITMENT AND TURN-OVER The recruits were chosen on the basis of age, physical qualifications, and dependency. All were in the age group 18 to 35, but most of them were in their early twenties. In view of the fact that they might be utilized on rather heavy work, all applicants were given a thorough physical examination. To be eligible for this program, the men were required to have at least one dependent. About half of the companies participating in the program sent representatives to Jamaica to select their recruits; agents of the other establishments interviewed the workers at the port of debarkation in this country. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 850 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 All Jamaicans engaged for industrial work were hired under a standard employment contract drawn up by the War Manpower Commission on the basis of agreements between the British and United States Governments. Essential manufacturing or service establish ments could obtain Jamaican workers by a 90-day contract, signed by the employer, the recruit, and a representative of the War Man power Commission. These contracts provided, in the main, that all terms of employ ment for Jamaicans, including wages, hours of work, and working conditions, should be the same as for native United States workmen. Jamaicans working under these contracts were free to join any estab lished labor union. During the course of the original contract, the worker could be separated from the job at either his own or the em ployer’s request, provided proper cause for separation was shown and the action was channeled through War Manpower Commission offices. Contracts were renewable for an indefinite period at the option of the employer and with the approval of the War Manpower Commission. The renewal contracts could be terminated without notice by the worker, or upon 5-day notice by the employer. Any Jamaican discharged during the course of either original or renewal contracts normally could either be placed with another company or returned to his home country. Jamaican workmen had to provide their own medical care, if possible; however, they were guaranteed medical attention in emergency situations. Experience of Industrial Establishments With Jamaican Labor RECRUITMENT AND TURN-OVER Data on recruitment and turn-over were obtained from 27 companies employing 3,500 Jamaicans. Approximately 60 percent of the total Jamaicans engaged by these companies arrived at the establishments from Jamaica during the months of September 1944 through January 1945. The largest number recruited during a single month, repre senting almost 30 percent of the total, was engaged in February 1945. Only a few Jamaicans arrived in March, April, and May 1945, for the major recruitment campaign during these months had been trans ferred to regions other than Jamaica. Turn-over rates for Jamaican employees were much lower than the current average rate in manufacturing employment, which ranged from 5.7 to 7.6 per 100 employees during the months September 1944 through February 1945. Only 12.6 percent of the Jamaicans recruited during this period were separated from their jobs before renewal of their 90-day contracts, and only 9.2 percent failed to obtain renewal when their contractual period expired. Only 3 percent of the Jamai cans hired after March 1, 1945, had been terminated; these contracts had not yet come up for renewal at the time of the survey. The low turn-over rates for Jamaicans may be explained in part by the nature of their employment contracts and their short-term status as foreign labor. ASSIGNMENT OF WORK For most establishments, the reason for participation in the Jamaican labor program was the shortage of men capable of doing https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ARTIM E UTILIZATION OF JAM AICANS IN U. S. IN DU STRIES 851 heavy general labor. All but 5 of the 37 companies from which in formation on the nature of work assignments was obtained reported that Jamaican recruits were originally placed only on work of that type. Officials at the other 5 plants stated that large numbers of their recruits were assigned as trainees on semiskilled production jobs of a repetitive nature and that the more capable men had later been advanced to higher-rated production work. In 8 of the 32 plants in which Jamaicans were first assigned to general labor, many were re ported to have worked up eventually to semiskilled production jobs; in 6 establishments only a few unusually capable workmen had been upgraded to such jobs. In 1 plant, however, a number of Jamaicans had been tried on production jobs, but had not proved successful. In the remaining 17 plants all Jamaicans had been kept on unskilled work and heavy, general factory and yard labor; in most instances their advancement was barred by the seniority system or the relatively long training period required for production jobs. Sixteen plants reported in detail the jobs to which Jamaicans were assigned. As can be seen in table 1, over two-fifths of their Jamaican workers were in unskilled factory jobs, such as trucker, packer, and helper, handling materials or doing production work, while approxi mately the same number were assigned to heavy general labor in the yard and plant. About 14 percent of the Jamaicans in these plants were performing semiskilled, repetitive production work, in jobs such as machine operator, equipment operator, process helper, or tool grinder. Only 2 perceut were handling jobs of a relatively high skill level, such as operator of chemical-process equipment, foundry molder, or maintenance mechanic. Although detailed statistics were not ob tained for the remaining plants covered in the survey, in practically all of them the majority of the Jamaicans were engaged in relatively light, unskilled jobs, such as packaging, trucking, materials handling, or clean-up work, or in heavy general labor in the factory. In a few of these plants a sizable minority had been assigned to repetitive work on production lines, such as shell loading or machine tending. In general, Jamaicans had more opportunity to advance to semi skilled and skilled jobs in plants in the chemicals, metalworking, and light industries where a significant portion of the work was of a rela tively light, repetitive character, than in establishments in the heavier industries such as rolling mills, shipyards, or foundries. In the plants surveyed, the Jamaican workers were almost always placed in existing job vacancies. No special jobs were created for them, nor were there more than a few instances where the job content of positions was changed to accommodate the limited industrial back ground of the recruits. In almost all cases, also, the same work standards were retained for both native and foreign workmen. How ever, in many establishments some overstaffing of Jamaicans was pro vided for, because the production levels expected from them were lower than for American workmen. Most of the plant officials inter viewed stated that, in view of the lack of experience in the use of for eign workers and the short term of the labor contracts, job reorgani zation was not worth while. Furthermore, the majority of the Jamaicans in most plants were placed in the least-skilled jobs, which required little or no experience or training. 6 7 0 1 1 9 — 45 ---- —2 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 852 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 Aside from the fact that the Jamaicans were recruited chiefly for heavy unskilled work, they were assigned as individual placements for jobs in almost all of the plants in the same manner as other new workers. In only four plants were they assigned to jobs as a group or was special consideration given to placing them in particular jobs. In two of these plants, Jamaicans were kept in separate groups and were not allowed to work with native laborers, because of the belief that this would minimize personnel friction. In the other two estab lishments, Jamaicans were not assigned to out-of-doors work during winter months because it was believed that they were not capable of withstanding the exposure. Distribution of Jamaican Workmen in Selected Establishments, by Industry and Occupation 1 Number of Jamaicans in specified occupations reported by— Total Explo Jamai Food cans Chem sives and prod icals uct plants ammu nition plants plants Occupation 612 Paper and wood prod uct plants Metal work ing plants and found ries All occupations__________ ______________ 1,949 298 247 91 229 Skilled _ _______________ __________ Chemical-process equipment operator.__ Jamaican leader _ . . . _____ Maintenance mechanic Molder Rubber-mill and calendar operator__ _ 36 18 2 5 7 4 21 18 1 2 1 1 9 Semiskilled______________________________ Bench assembler Blending, grinding operator _ _____ Cook . ___________________ Filter, dryer operator Furnaceman, ovenman ____________ Bel per, chemical process operator’s __ ____ Helper, process utility Helper, molder's Helper, rubber-mill operator’s. _______ Helper, toolmaker’s Machine operator, metalworking____ _ Machine operator, packaging, trimming. Machine tender, textile. . _________ Process press operator Rough grinder and cleaner, castings 276 4 8 12 22 6 27 21 28 6 3 30 27 37 3 43 79 7 21 4 1 1 Unskilled__ ____ _ ____________________ Clean-out man, process equipment Helper, fireman and furnaceman’s _ Helper, machine tender’s. ___ _ .. Helper, other Packer and helper Trucker, materials handler_________ 814 3 6 12 4 237 552 General labor .. ____________________ __ Foundry laborer . . Gencraf laborer, yard or plant____ . . . Janitor, sweeper___ ___ _______ ________ 823 66 722 35 Other Other light heavy indus indus tries tries 151 321 4 1 1 8 21 2 7 4 123 4 40 4 3 6 5 27 20 1 28 1 20 6 3 30 6 37 3 43 27 3 445 23 1 171 169 2 102 38 13 1 5 209 236 1 3 97 38 2 6 167 137 31 150 17 134 3 27 4 84 66 10 8 28 161 12 3 13 161 83 150 82 1 150 1 Statistics based on reports for 2 plants in each industry group except “metalworking and foundries,” which is based on reports for 4 plants. ORIENTATION AND JOB TRAINING The personnel officials responsible for handling the Jamaican workers at most of the plants were aware of the abrupt change in working and living conditions that the Jamaicans faced. Many of the officials, in fact, were sufficiently interested in the Jamaicans to acquire https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ARTIM E UTILIZATION OF JAM AICANS IN U. S. IN DU STRIES 853 an excellent understanding of their native background. About half of the establishments visited gave the recruits special orientation in struction before starting them in their regular work. This instruc tion was given by means of meetings, lectures, or question-and-answer groups. The subjects taken up generally included a description of the plant facilities and the nature of the factory work, the living con ditions in the area, clothing requirements, American customs, money, and civic regulations. Groups of the recruits often were taken through the factory, and the work procedures were explained. In some in stances the companies purchased proper clothing for them, and ad vanced them subsistence money. The remaining companies gave their Jamaican recruits only the general directions given to any new worker. In a number of these instances, however, additional in struction was unnecessary since the Jamaicans had been recruited from farm employment under the supervision of the War Food Ad ministration or from other plants in this country and were already familiar with their new environment. Job training for the Jamaicans was largely unnecessary in about three-fourths of the companies; in these establishments the foreign workers were assigned solely to unskilled work. Whatever rudi mentary instruction in job duties and work routine was required for those simple jobs was given to the Jamaicans in the same manner as was regularly given to new workers. However, in the remaining es tablishments, all of which had assigned Jamaicans to production work, the Jamaican workmen were given longer and more intensive job training than was ordinarily given to native employees. Almost all of the officials at these companies stated that the Jamaicans learned factory duties rather slowly; this was attributed to their lack of an industrial background. Several companies, two of which had adopted comparatively elaborate training courses, indicated that the majority of the Jamaicans were naturally apt and quick, and made very capable workmen after a period of adjustment to factory routine and discipline. SUPERVISION OF WORKERS In practically all plants, supervisors who were assigned Jamaican workmen were given some special instruction regarding the back ground and characteristics of these workers. An attempt was made, generally, to have the supervisors keep in mind the differences between Jamaicans and native workers. In many establishments, this pre sented no new problems, since the plants ordinarily utilized numbers of foreign workmen. In a large number of plants, however, it was reported that an unusual amount of tact and patience was required, as the Jamaicans were more temperamental and harder to direct than native workmen. With respect to work performance, in almost half of the companies visited, Jamaicans received the same supervision as native workmen; in the remaining half, extra supervision was necessary. About a third of the plants reported that, in the first 2 weeks to 3 months on the job, the Jamaicans required more careful supervision in the handling of their work. Many of these same companies stated that directions had to be given in great detail and that the Jamaicans possessed little initiative and failed to think ahead of the immediate task. In the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 854 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 remaining one-sixth of the establishments, a less-favorable experience was reported; company spokesmen stated that the Jamaicans required an undue amount of supervision, and tended to be careless and lax. Where extra supervision was required (reported by half of the companies), it was attributed by plant officials largely to the inex perience of the Jamaicans and to their general unfamiliarity with factory work. In most cases in which adequate attention and patience was given to introducing the Jamaicans to their job duties, it was evident that supervisory requirements were no higher or only slightly higher than for domestic workmen. Companies which sent representatives to Jamaica or to the points of debarkation to select carefully the recruits for the type of work to be done generally did not report excessive claims on their supervisors’ time. Analysis of the situation at plants reporting serious difficulties in supervising Ja maicans indicated, in many instances, that this was due to poor personnel practice or neglect on the part of the supervisors themselves WORK PERFORMANCE For comparisons of productivity, Bureau representatives attempted to obtain actual records of production and man-hours expended by Jamaican and native employees engaged on identical jobs. However, as noted, at the majority of the plants Jamaicans were engaged only on general labor, materials handling, and other forms of work not readily measured and for which no records were ordinarily kept. Although Jamaicans were in some production jobs in a number of plants, many establishments did not keep adequate records, and in many cases the work of Jamaican and native employees was not entirely comparable. As a consequence, the data obtained were insufficient to permit productivity comparisons based on production records. However, in 37 plants information of a general nature was obtained on several aspects of the work performance of the Jamaicans, drawn from discussions with foremen supervising their work. There were some differences of opinion among plant foremen and supervisors about the job performance of Jamaican workers as com pared to domestic employees. This disagreement may have resulted, in part, from individual variations among the Jamaicans, and from the varying degree of effort expended by different companies in training and supervising them. Analysis of all the reports indicates that Jamaicans were generally best fitted for relatively light work, of an unskilled or semiskilled nature. With relatively few exceptions, they did not prove to be well adapted to the heaviest types of labor or to difficult production jobs, as, for example, in foundry work which involves rapid and continuous expenditure of effort and considerable physical strength. In almost all plants where Jamaicans had been assigned chiefly to heavy laboring jobs they were not particularly successful, whereas in most plants in which Jamaicans had been assigned to lighter, unskilled, or semiskilled work their job performance was satisfactory. Officials in a third of the companies indicated that the average output per worker for the Jamaicans was approximately the same as that for native workmen hired during the war, but was below the volume attained by experienced workmen during the prewar period. In these plants the Jamaicans were slower than other workers in https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ARTIM E UTILIZATION OF JAM AICANS IN U. S. INDUSTRIES 855 their production rate or in the speed of performance, but this was offset by a steadier work pace and greater industry. In somewhat more than a third of the plants, however, the foremen reported that the Jamaicans were excessively slow. In some of these plants the volume of work obtained was only slightly below that of native workmen, while in others the output per Jamaican was well below that of other workers. On the other hand, in 11 plants, constituting 30 percent of the total reporting, it was stated that the Jamaicans were of distinctly better caliber than the average domestic workman that could be recruited currently, with a better record of production as a result of a more consistent and steadier application to the job. In some of these plants, some of the most capable Jamaicans were rated as fully equal to the best of the prewar employees. Representatives of more than two-thirds of the plants visited char acterized their Jamaican employees as conscientious, steady workmen, eager to learn, and with a good attitude toward their work. In some of these establishments, the Jamaicans were rated as more dependable and valuable than the majority of domestic workmen hired for un skilled work during the war. The experience with Jamaican em ployees at most of the other plants visited, however, was not so favorable. In somewhat less than a third of the Companies (in all of which the recruits had been placed on foundry work or on the heaviest types of labor), it was claimed that the Jamaicans disliked their work, and failed to apply themselves steadily when not super vised closely. Few of these establishments had retained the Jamaicans long on production work; some companies had placed them succes sively on a variety of jobs, but each time without success. A common reason given for their failure was that many had never previously performed that type of heavy labor. In a number of establishments (including foundries) where much of the work was particularly exhausting, some Jamaicans had refused to perform jobs to which they were assigned, and demanded lighter tasks. With but few exceptions, Jamaican recruits had had no previous experience in industrial work of any type. This limited somewhat their ability to grasp quickly the essentials of new job assignments. Representatives of more than half of the establishments visited, how ever, indicated that the relatively high level of intelligence of most of the Jamaican employees, coupled with an eagerness to learn their new duties and perform them well, resulted in satisfactory adaptability to most new assignments. On the other hand, at practically all of the other establishments visited, the supervisors had found that the lack of industrial experience of the Jamaicans was too much of a handicap to overcome; such long periods of time were required for the Jamaicans to learn new job duties that they could not be success fully transferred about within the plant in accordance with production requirements. A few of these establishments claimed that lack of interest in the work made their adjustment to new jobs very difficult. In general, the work performance of the Jamaicans and their atti tude to their jobs were markedly influenced by their employment status. Their wages were considerably higher than those earned in Jamaica, and their employment tenure was short and would continue only if their work was satisfactory. Although in most establishments Jamaicans were scheduled for the same workweek as other employees, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 856 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 ranging from 44 to 60 hours, in almost all plants the Jamaican em ployees regularly requested and obtained overtime work, frequently working exceptionally long hours. PROVISIONS FOR OUT-PLANT CARE Jamaican laborers were generally housed in specially built barracks or leased buildings frequently situated either near the plant or in a nearby town. Five companies housed the Jamaicans in one of the plant buildings, usually a converted warehouse, and a few establish ments reported that their Jamaican employees lived in trailer camps or in rooms rented in private residences in nearby towns. Recrea tional facilities were frequently provided at the living quarters. These consisted of games, letter-writing materials, and, in a few cases, music. In all but a fifth of the companies, special cooking facilities were provided. Mess halls were used in the majority of the plants in which Jamaicans were housed in barracks or camps. In all except a few cases, Jamaican as well as domestic cooks were employed, so that dishes could be prepared to which these foreign workers were accus tomed. In only 5 plants were no Jamaican dishes served. It was noted in most of the establishments that the recruits rapidly became accustomed to American cookery and requested that it be served. All but 6 companies made provisions for medical treatment for the Jamaicans. In the majority of the plants they were treated at first-aid rooms or hospitals at the factory or were cared for at their living quarters. ' Most of the companies also arranged for regular visits by physicians. In most cases, the Jamaicans were admitted to the regular medical care and hospitalization plans provided for all employees. Almost without exception companies reported that the general health of the Jamaicans was good, but that they had frequent colds because they were not accustomed to the relatively cold weather. They were also susceptible to diseases, such as mumps and chickenpox, which are endemic in the United States but uncommon in Jamaica. GENERAL EXPERIENCE WITH PROGRAM Officials in almost all of the plants participating in the Jamaican labor program agreed that the utilization of the foreign labor in their facilities had contributed in an important measure to production. Although the costs involved in using these workers (including trans portation, housing, and extra training and supervision) were very high as compared with available local labor, serious shortages in un skilled labor in most of the plants were in considerable measure solved by the recruitment of Jamaicans. The extent of their contribution to war-essential output is indicated by the fact that the majority of the companies could not have attained production goals during this period without the Jamaicans. With the exception of about a third of the establishments, the experience with the individual production of Jamaicans was such as to warrant favorable comparison with the output of available native workers. The employment of the Jamaicans, however, introduced many new problems and required much management attention. Even the companies which customarily emplo3Ted a large percentage of immi grant labor found that the Jamaicans required considerably more https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ARTIM E UTILIZATION OF JAM AICANS IN U. S. IN DU STRIES 857 time and effort on the part of the plant staff than they had been ac customed to give. However, the establishments which were most successful in obtaining satisfactory production from the Jamaicans were those which put sufficient time into orienting, training, and super vising them. Officials in the majority of the plants believed that the contribution of the Jamaicans to production outweighed the problems incident to their employment. In about 30 percent of the establish ments the opinion was expressed that the output of the Jamaicans barely outweighed the problems encountered in utilizing them, and that they constituted a severe strain on the supervisory and personnel staffs. Only two of the establishments visited declared that the use of Jamaicans in their plants had been completely unsuccessful. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O pinion on th e R elation Between Foreign T rade and Em ploym ent 1 importance of Foreign Trade IT HAS been said that if goods do not cross international bound aries, soldiers will. The kind of cooperation foreshadowed at Dum barton Oaks, San Francisco, Hot Springs, Atlantic City, and Bretton Woods goes far toward insuring that normal international trade can be and will be a positive influence for peace. The political significance of foreign trade, great as it may be, is probably overshadowed by its several important economic functions. Exactly what they are is a matter of some controversy, but there seems, to begin with, to be a large amount of agreement on the follow ing propositions: (1) World standards of living will be improved by encouraging the international division of labor and using the special resources and capacities of the various countries in accordance with the alaw of comparative advantages.” (Many advocates of this general proposi tion would, however, question whether regional specialization offers much real advantage in cases in which the lower cost of imported goods is due to low wages and inferior labor standards in the exporting countries.) (2) The United States needs many products of other countries in order to maintain its standard of living. It would be very difficult, if not impossible, to supply its own demands for coffee, tea, tin, tropi cal fruits, wood pulp, sugar, and certain other commodities. More over, certain strategic imports are required in order to use most effec tively this country’s own resources. There is also a chance that the steady depletion of such minerals as copper and petroleum may make it desirable if not necessary to turn to foreign sources. The need for these items has the further advantage that their purchase enables other countries to buy goods from the United States. (3) The United States, as the greatest producing country and pos sessor of the largest volume of savings, is well equipped to provide other countries with the capital goods necessary to raise their pro ductivity and standards of living. If properly safeguarded, foreign investment offers profitable opportunities here at the same time that it benefits the borrowing countries. (4) Certain industries in the United States, such as cotton, tobacco, agricultural implements, sulphur, automobiles, and dried fruits, de pend heavily upon the export market. An individual business is often dependent for its prosperity upon the margin of sales provided by exports. Although economists stress that it is imports which provide real income, the practical interest of businessmen typically centers upon exports. (5) The special circumstances existing now, at the end of the war, present both an extraordinary foreign need for capital goods and a capacity in this country to satisfy that need in a manner that would relieve the domestic situation. Large foreign investments would help i Prepared by Edgar E. Poulton of the Bureau’s Labor Economics Staff. 858 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RELATION BETW EEN FOREIGN TRADE AND EM PL O Y M E N T 859 the war-expanded heavy-goods industries which might otherwise face an unnecessarily sharp curtailment of operations. That foreign trade is vital to the most productive functioning of the United States economy, as well as instrumental in the promotion of security and peace, is evident from the above considerations. It is also clear that a large export balance may lessen the severity of transitional unemployment during the return to peacetime production. The relationship of foreign trade to domestic employment over the long run is, however, a controversial and complex matter. The correct answer to the question whether expanded foreign trade is essential for full employment, or whether full employment is, rather, a prerequisite for expanded foreign trade, is a matter of increasing interest. Full employment is probably the most pressing objective of this generation. Enlargement of the important position long oc cupied by foreign trade in the economy of this country seems to be implied by the growth of internationalism, as such, and may be actively promoted to enable trade to serve as a support of internal prosperity. Recent legislation renewing the Reciprocal Trade Agreements Act, creating the International Bank and Monetary Fund projected at Bretton Woods, and extending the lending authority of the ExportImport Bank reflects the enhanced prestige of foreign trade. The Congressional hearings preceding this legislation provided a sounding board for several different views on the subject. Diversity of Opinion on Relation of Foreign Trade and Employment The above and other sources have been utilized in a compilation of a report by the Bureau of Labor Statistics 2 giving a sample of the opinion expressed by various persons and representatives of groups on the relation between increased foreign trade and domestic employ ment. The present article merely summarizes briefly some of the typical views on this issue, to show how diverse they are. 1. It is urged, at one extreme, that increased foreign trade is indis pensable to full employment. “Foreign trade” in this context usually means “exports,” for it is apparently assumed that the domestic market is satiated and that foreign markets are necessary if the great productive capacity of this country is to be used and its output absorbed. This production increment is then usually translated into man-hours of employment by a simple arithmetic calculation. 2. A somewhat more sophisticated approach, pointing to the employment-creating function of foreign trade as justification for re duction of trade barriers, recognizes that in order to export one must import. Once this has been said, however, the argument turns to the key function of exports in providing what is sometimes described as the difference between prosperity and depression, not only for particular industries but for the whole economy. 3. The technical function of imports in the present structure of production is sometimes cited as requiring an expanded foreign trade in order for the economy to operate at levels that will provide full employment. This is based upon the premise that the higher level of production at full employment requires an increase in those im2 Foreign Trade and Employment: Typical Views on a Relationship of Vital Importance for National Policy. (Mimeographed.) A copy of this report may be obtained from the Bureau of Labor Statistics on request. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 860 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 ported materials which ordinarily are incorporated in the final product. 4. A fourth view recognizes more fully the implications of an ex panded export program, including the partially compensatory effect of increased imports and the problem of securing payment for exports. It is contended, nevertheless, that such a program is politically if not economically superior to alternative methods of supporting production and employment. 5. The causative significance of foreign trade is challenged in another view which emphasizes that full employment is essential to expanded foreign trade rather than vice versa. The ability of other countries to export and thus to obtain the means wherewith to buy from the United States is said to depend primarily upon the level of production and employment here, which influences our need for, and our willing ness to accept, imports. 6. Another approach to the question attempts to balance the em ployment attributable to exports against the loss of employment occasioned by imports. Whether or not there is a net increase or loss in domestic employment from expanded foreign trade, it is urged that its significance for employment is qualified by the degree of offset. 7. Finally, there is some anxiety that reliance upon expanded foreign trade as a support of domestic employment—even if effective to that end—may aggravate international frictions. Nations to which this country (by its policies in pursuit of an enlarged export surplus) “exports unemployment” may retaliate by erecting barriers to imports as a whole, and thus prejudice both international harmony and the existing system of specialization and trade. Factors Influencing Employment Effects of Foreign Trade Within the general categories of opinion outlined, there are further variations and shades of emphasis. It should already be apparent, however, that the points of view surveyed are so widely divergent that the formulation of the United States’ foreign trade policy seems in some danger of being complicated by confusion regarding its objec tives. The attempt to judge the merits of the issue will not be made here. However, attention may be called to studies made recently by the U. S. Bureau of Labor Statistics and the U. S. Tariff Commission which offer some quantitative basis for assessing the importance of the various relationships involved. The Bureau’s study3 is concerned with the amount of United States employment attributable to exports in 1939. It covers the whole nonagricultural segment of the economy,4 and is based upon a de tailed study of interindustry relationships. The study reveals that in 1939, when the value of goods exported by this country was 3.3 billion dollars, approximately 960,000 persons were employed directly and indirectly in nonagricultural industries in the production of export goods.6 When allowance is made for increased productivity since 3 Employment Resulting From United States Exports, 1939, in M onthly Labor Review, July 1945 (p. 37). 4 It should be noted, incidentally, that, although agricultural exports augment farm income, an increase or reduction in them might have no immediate effect upon agricultural employment. s “ Indirectly” refers to those workers required to produce raw materials, components, and services pur chased by other industries for incorporation in goods for export, and excludes the so-called multiplier effect, i. e., workers hired in various lines to meet the increase in demand for goods and services generally, resulting from expanded income payments originating in export industries. In assessing the quantitative importance of such exclusion, it should not be forgotten that secondary (multiplier) employment attributable to in creased exports is at least partly offset by the loss of such employment from increased imports. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RELATION BETW EEN FOREIGN TRADE AND E M PLO Y M EN T 861 1939 and the considerably higher prices in which future exports from this country will probably be expressed, the difficulty of obtaining the volume of exports required to produce the 5 million jobs frequently held to be obtainable through foreign trade can be readily appreciated. The task appears particularly formidable when it is recalled that total exports—including lend-lease—averaged 13.6 billion dollars for the years 1943 and 1944. The study made by the U. S. Tariff Commission6throws light upon the factors which determine the volume of import trade. Taking 1939 statistics of both dutiable and free imports as the basis for its calcula tions, the Commission estimates the level of postwar imports under alternative assumptions of changes in rates of duties and different levels of national income. The study comes to the significant con clusion that “The effect of high income in increasing imports would . . . be much greater than the effect of a reduction of duties/’ For example, after reconversion, the annual value of imports might be about 3.2 billion dollars in 1939 prices with per capita income as in 1939 and duties reduced by 50 percent, as against, say, 4.6 billion dol lars in prices 10 to 15 percent higher with duties as in 1939 and per capita income 75 percent above 1939. Since imports and exports tend to balance, more or less, over the long run, it appears reasonable to infer that full employment and a high national income will also do more to expand United States exports than can be accomplished by lowering trade barriers. In evaluating the effect of increased but balanced foreign trade upon domestic employment, one must compare the employment created by exports with that displaced by imports. The degree of offset may be said to depend in general upon three things: (a) The intensity of the demand for additional imports (which in turn create sales for exports by placing dollars in the hands of purchasers in other countries) at any given level of purchasing power, as compared with the intensity of the direct demand for additional domestic products; (b) the amount of labor required to produce a given increment of exports, as compared with that needed to produce an equal additional value unit of other goods for domestic markets, if the sums used to expand imports in step with exports were spent on domestic products instead; and (c) the relative effects of exports and imports upon secondary employment in other parts of the economy, by way of the effects of added or subtracted production on purchasing power. These clearly are relationships of some complexity, all of them highly pertinent to the question whether expanded but balanced foreign trade provides a net increase in em ployment. , . Undoubtedly, the matter of a trade balance may often seem academic to those who are producing for export. Concerned with securing foreign markets, they see little connection between specific exports and the question of imports. Particularly if there is unemployment and reduced purchasing power at home, the foreign market appears to offer that much extra production, profits, and employment. As a rule, those advocates of expanded foreign trade for employ ment reasons who are aware of the balancing problem appear to have in mind an export surplus continuing for a number of years. The export surplus would presumably be sustained by loans, since the • Post-War Imports and Domestic Production of Major Commodities. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Washington, 1945. 862 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 possibilities of outright gifts—when recognized to be such—are limited. The attraction of this course, which is highly regarded by many who take a broad view of national economic policy, may be due partly to the fact that it makes possible the postponement for some years of the solution of the basic problems of a full-employment economy. Such postponement may be justified if in the interim the United States so manages its affairs as to be better able at a later date to maintain full employment without resort to a support as uncertain as the export market. The very success of temporary expedients might prove dangerous, however, if it dulled our determination to solve the problem of unemployment by domestic measures. It also is possible that, if export markets should prove unable to support employment to the extent contemplated, this might serve to discredit foreign trade in spite of the other advantages obtainable from it. No doubt the current emphasis upon exports owes something to the belief that other effective means of supporting employment are lacking. If domestic policy alternatives are carefully examined, it might be found that domestic measures are capable of assuring national full employment without prejudice to the benefits to be derived from expanded foreign trade. These benefits could then be judged on their merits as exports and imports found a level independent of employ ment considerations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ar and Postw ar Wages, Prices, and H ours, 1 914-23 and 1 939-44 1 P a rt 2.—W ar and Postwar Trends Summary THE comparisons of changes in wages, prices, and hours of work in Part 1 of this report were limited to the periods 1914-19 and 1939-44, which covered broadly similar conditions of the impact of war on the United States and of preparation for war or actual warfare by the United States. Part 2 describes in more detail the changes that oc curred during World War I and the years of transition to comparative stability in the twenties and also compares briefly the conditions affecting trends after the two wars. Weekly earnings of factory workers rose steadily from early 1916 to the end of the war. The net result of the sharp postwar fluctuations was a rise by 1923 to a level slightly above the war-end averages and 116 percent above the 1914 level. The postwar rise in factory hourly earnings was followed by a decline and a later recovery of part of the loss, the average in 1923 being 134 percent higher than in 1914. Other measures of wages, such as union hourly rates and farm rates, show a wide diversity in levels and in extent of change, but they indicate a rough consistency with the variations in factory earnings from 1914 to 1923. Prices were more variable than were wages from 1914 to 1923, but the net advances in both consumers’ prices and wholesale prices were smaller than the increases in most of the measures of wages. The index of consumers’ prices (formerly called the index of cost of living) was 69.8 percent higher in 1923 than in 1914; the wholesale price index was only 47.7 percent higher. An economic basis for the larger increase in wages than in prices was the rise in labor productivity. The average weekly hours of factory workers declined between 1914 and 1919, largely because of reductions in scheduled hours. Further reductions, caused mainly by part time, occurred during the business depression of the early twenties, but comparative stability was at tained by 1923 at approximately the 1919 level. Reductions occurred in some industries by 1923, especially in blast furnaces and steel mills, but these were substantially counterbalanced by postwar increases in other industries. Conditions affecting wages, prices, and hours of work at the end of World War II differed significantly from those of the period immedi ately following the First World War. Major differences related to the degree of control of prices, rationing and reconversion, the trends of hours of work, the extent of unionization, the comparative progress of technology as a basis of controlling production costs, and the shifting of emphasis to the roles of demand, consumption, and full use of in come in maintaining adequate production and employment. i Prepared by W itt Bowden of the Bureau’s Labor Economics Staff. Part 1, Comparisons of World War I and II, appeared in the M onthly Labor Review, October 1945 (pp. 613-623). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 863 864 MONTHLY LABOR REVIEW— NOVEMBER 19 45 Wages, 1914-23 Information regarding monthly changes in wages during the First World War is fragmentary. The major monthly series relates to average weekly earnings in manufacturing industries. Annual aver ages of hourly earnings for certain years are available for several major fields of employment. Wage-rate data include workers in coal min ing, the building and printing trades, marine transportation, and agriculture. AVERAGE WEEKLY EARNINGS IN MANUFACTURING Average weekly earnings in manufacturing on a monthly basis are available beginning in June 1914 (table 1). T able 1.— Average Weekly Earnings of Wage Earners in Manufacturing, 1914-23 1 M onth 1914 1915 1916 1917 1918 1919 1920 1921 1922 1923 Average weekly earnings January ___ . ____ $10.97 $11.36 $13. 61 $15. 72 $21. 59 $25 03 $24 38 February. ___ __ _ 10.94 12. 28 13.69 15. 87 21. 20 24. 91 23 55 M arch..'. _ _________ 11.15 12. 49 14. 30 17. 27 21. 27 26 09 23 49 April___ . . ___ 11.06 12.49 13. 77 17. 62 21 03 25 79 23 03 M ay. _. _______ 11.23 12. 94 15.02 18. 91 21.12 26 61 22 68 J u n e ... _________ ______ . $11.20 11.29 12. 96 15.12 18. 97 21.46 27.18 22. 38 July_______________________ 11.06 11.16 12.14 14. 60 19. 41 21. 56 26.84 21.61 August___ . . . 11.05 11.36 12. 63 15.18 20.98 22. 36 26. 98 21.83 Septem ber.. . _ ____ . . . _ 11.00 11.34 12. 88 15. 33 21.30 22. 94 26.95 21.22 October___________________ 10.81 11.73 13. 24 16. 56 22. 57 22.46 26. 94 20. 67 November___ _ . 10. 86 11.82 13. 79 17. 25 20. 94 23.12 26.41 20.38 December_______________ _ 11.07 12.06 14. 07 17.09 22. 35 24. 35 26.08 21.11 Average for y e a r .. ___ ___ 11.01 11.34 12. 77 15.13 19.33 22. 08 26.30 $2(1 20 20 20 21 3(1 63 85 65 04 $22 22 23 23 24 52 96 57 75 51 21.47 21.30 21.72 21.99 22.09 22. 63 22. 92 24. 36 23.64 23.65 23.70 24. 48 24. 30 24.41 22.18 21.51 23.82 221 4 184 187 189 187 Indexes (average 1914= 100) Janu ary________ . . . February_______ ______ . M arch__ _ . _________ . . April .. ......... . . . . M ay _______________ _____ June____ ____________ July_______________________ August_____ . _ _____ . . . September_________________ October_______ __________ November___ _ ________ December_________________ Average for year _______ 103.2 111. 5 113.4 113.4 117. 5 117.7 110. 3 114.7 117.0 120.3 125. 2 127.8 123.6 124. 3 129.9 125.1 136. 4 137.3 132.6 137. 9 139.2 150.4 156. 7 155.2 142. 8 • 144.1 156. 9 160. 0 171. 8 172.3 176.3 190.6 193. 5 205.0 190.2 203.0 191 8 241 7 213 213 200 206 101.7 100.5 100.4 99.9 98.2 98.6 100.5 99.6 99.4 101.3 100. 5 102.0 102.5 101.4 103.2 103.0 106.5 107.4 109.5 194.8 195.8 203.1 208.4 204.0 210.0 221.2 246.9 243.8 245.0 244.8 244.7 239.9 236.9 203^3 196.3 198.3 192.7 187.7 185.1 191.7 195.0 193. 5 197.3 199.7 200.6 205. 5 208.2 221.3 214.7 214.8 215.3 222.3 220.7 221.7 100.0 103.0 116.0 137.4 175.6 200.5 238.9 201.5 195.4 216.3 196.1 192 6 193. 2 191. 0 227 3 226 2 237.0 234 2 9 4 2 0 4 4 4 6 i A series of average weekly earnings from January 1919 to December 1923 was derived by dividing total weekly pay rolls by total employment. (Bureau of Labor Statistics mimeographed release, January 1941, giving revised estimates after the exclusion of railroad repair shops from manufacturing industries.) Aver age weekly earnings from June 1914 to December 1918 were calculated as follows: Index numbers of average weekly earnings from November 1915 to January 1919 were derived by dividing indexes of pay rolls by indexes of employment. (M onthly Labor Review, August 1925, p. 115.) These index numbers were then used to extend the average weekly earnings back to November 1915, linking at January 1919. For months prior to November 1915, the average weekly earnings for N ew York State (New York State Department of Labor, Industrial Bulletin, vol. 2, p. 221) were linked to the Bureau of Labor Statistics series by means of the ratio of the averages for the 12 months ending October 1916. The Bureau of Labor Statistics indexes of employment and pay rolls for the earlier period (November 1915 to January 1919) when taken separately appear to have serious biases but the index derived by dividing the index of pay rolls by the index of employment indicates the approximate trend of average weekly earn ings for this period. A ny appreciable error in the trend would have resulted in a bias in the estimated averages for the earlier years. It is found, however, that the average for 1914, calculated as described ahove, is almost identical with the average derived by use of the Census of Manufactures revised data of employ ment and pay rolls from which railroad repair shops have been excluded. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WAR AND POSTWAR WAGES, PRICES, AND HOURS 865 It will be noted that no significant changes in factory average weekly earnings occurred before 1916. The rise early in 1916 con tinued virtually without interruption through 1918.. Earnings in the first part of 1919 were substantially stabilized but the rise was resumed during the latter part of the year, the high point being reached in 1920. The ensuing decline extended into 1922. The upturn begin ning in the spring of 1922 raised the averages in 1923 to the levels which may be viewed as bringing to an end the period of postwar readjustment, the averages ranging around $24 per week as com pared with less than $12 per week in 1914 and in most of 1915. The changes in average weekly earnings were caused mainly by changes in basic rates of wages but by 1919 the reduction of average weekly hours counteracted in part the rise in rates. _The period of the war was marked by a comparatively large increase in employment in war industries, largely in the heavy-goods industries, which paid comparatively high wages. The transition to peace was accompanied by a shift of employment in the opposite direction. AVERAGE HOURLY EARNINGS IN MANUFACTURING Estimated average hourly earnings in manufacturing rose from $0,233 in 1914 to $0,477 in 1919 (table 2). Quarterly data extending from the first quarter of 1920 to the first quarter of 1922 indicate a continued rise in 1920 to $0,564 in the fourth quarter of that year This rise was followed by a decline to $0,482 in the first quarter of 1922. The ensuing upturn raised the average for 1923 to $0,522. T a b l e 2 . —Average Hourly Earnings in Manufacturing, 1914-23 1 Year and quarter 1914: Year.................. . 1919: Year.............. . 1920: First quarter... Second quarter. Third quarter.. Fourth quarter Average hourly earnings $0. 223 .477 .545 .555 .555 .564 Year and quarter 192T First quarter Second quarter Third quarter Fourth quarter 1922’ First quarter 1Q23* Year _______ ___ ____________ _______ ____________ ______ - - -___________ _ Average hourly earnings 0. 537 .519 .510 .491 .482 .522 l 'Em- thp vpars 1914 1919 and 1923, data are revisions of average nouriy earnings oi wage eaiueio by Bureau of L a b o r Statistfcs in Monthly Labor Review, September 1940, pp. i5^ ^ n n t e d » Se^ "Mo R i i 50') Ouarterly data for the years 1920 to 1922 are interpolations based on the trend of average hourlv’earnings of^ailTmployees as shown in Table LVII (p. 113) in Employment, Hours, and Earnings m Prosperity and Depression, United States, 1920-22, by W. I. King (National °f Econo^^ N pw York 1923) The information on manufacturing used in this volume was collected by a cooperative arm ngeSeit between the Bureau of the Census, the President’s Conference on Unemployment, and the National Bureau of Economic Research. Information regarding hourly earnings during the years 1915 to 1918 is fragmentary but inferences may be drawn from trends oi average weekly earnings and average weekly hours, bclieduled hours of work were reduced in many important branches oi employ ment but the reductions were accompanied, especially alter 1915, by increased production and demand for workers, and part time seems, therefore, to have been reduced, while at the same time the amount of overtime increased. The probable result of these countei balancing factors was no significant change, from 1914 to 1918, m the average number of weekly hours actually worked. It may, m consequence, be assumed that up to 1918 average hourly earnings followed sub stantially the trend of average weekly earnings. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 866 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 AVERAGE HOURLY AND WEEKLY EARNINGS IN MANUFACTURING, COAL MINING, AND RAILROADS Average hourly earnings and average weekly earnings have been estimated for the years 1914, 1919, and 1923 for manufacturing, anthracite mining, bituminous-coal mining, and class I steam rail roads (table 3). For comparative purposes, the annual averages for manufacturing given above (tables 1 and 2) are included with those for mining and railroads in table 3. The average hourly earnings of coal miners are for hours of work at the face or usual place of work, excluding travel time in the mine. The hourly earnings of railroad workers are for hours paid for, not hours on duty, the number of hours paid for but not on duty being chiefly important for employees in road train and engine service. T a b l e 3 —Average Hourly and Weekly Earnings of Wage Earners in Manufacturing, Coal Mining, and Class I Steam Railroads, 1914, 1919, and 1923 1 Average hourly earnings Average weekly earnings Industry Manufacturing___ _ _ __ Anthracite mining Bitum inous-coalmining___ _ Class I steam r a i l r o a d s , ____ _ . . 1914 1919 1923 1914 1919 $0.223 .274 .358 .252 $0.477 .640 .759 .537 $0. 522 .791 .845 .581 $11.01 11.41 12. 22 13.66 $22.08 26. 95 25. 65 24.84 1923 $23.82 34. 22 25.60 26,42 1 A revision and extension of data in M onthly Labor Review, September 1940 (pp. 523-534). Average hourly earnings more than doubled between 1914 and 1919 in manufacturing as a whole, the coal-mining industries, and steam railroads. There was a further rise in hourly earnings between 1919 and 1923 in all of these branches of employment. The increases in average weekly earnings, with the exception of anthracite mining, were somewhat smaller than the increases in average hourly earnings, primarily because of reductions in average hours of work. The increases in the average hourly earnings of the major groups of industrial wage earners were substantially larger than the rise in either the consumers’ price index for moderate-income families in large cities or the wholesale price index. An economic basis of the advances in hourly earnings was the substantial increase in average man-hour output. Labor productivity in manufacturing underwent little change during the war but rose sharply after 1919. The real hourly earnings of factory workers (average hourly earnings adjusted by the consumers’ price index) rose about 11 percent from 1919 to 1923, in contrast to an increase of about 31 percent in average man hour output. Later in the twenties hourly earnings and consumers’ prices both underwent little change, in contrast to a continued sharp increase in average man-hour output. AVERAGE HOURLY EARNINGS IN SELECTED MANUFACTURING INDUSTRIES Changes in average hourly earnings may be traced in some detail for various industries from special surveys made during the First World War and the early years of peace. These industries include https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WAR AND POSTWAR WAGES, PRICES, AND HOURS 867 cotton goods, woolen goods, silk, hosiery and underwear, men’s clothing, boots and shoes, and furniture (table 4), and blast furnaces, steel works, and rolling mills, formerly described as the iron and steel industry (table 5). T a b l e 4 . —Average Hourly Earnings in Specified Manufacturing Industries, 1913-24 1 Year 2 1913___________________ 1914 __________ 1915 _____________ 1916 _________ 1917 ______________ 1918 __________ 1919 ____________ 1920 ______ 1921 ____________ 1922 __________ 1923 _____________ 1924__________________ Cotton goods Woolen and worsted goods $0.153 $0.182 .179 .225 .267 .342 .480 .628 Silk $0. 202 Hosiery and under wear M en’s clothing $0.172 $0.256 Boots and shoes $0.243 .259 .384 .315 .446 Furni ture $0.220 .227 .336 .559 .330 .474 .354 .728 .501 .372 .533 .409 .760 .516 .337 1 Data are the results of special surveys, published in Bureau of Labor Statistics bulletins, as follows: Cotton goods, Bull. No. 446 (p. 6); woolen and worsted goods, Bull. No. 443 (p. 7): silk, Bull No 668 (d 2V hosiery and underwear, Bull. No. 452 (p. 9) and Bull. No. 265 (pp. 37, 38); men’s clothing, Bull. No 387 (p. 8); boots and shoes, Bull. No. 450 (p. 2); furniture, Bull. No. 526 (p. 2), and Bull. No. 265 (pp. 37 38). The averages for men s clothing are not representative of the industry as a whole because of an overrepre sentation of larger northern cities. 2 b should be noted that the special surveys did not cover the whole of the years indicated. Thev were i<Sited t0 cerJ'?,J,n months or periods, as M ay for the 1914 cotton-goods survey and January to April for the 1924 survey of the boot and shoe industry. In a period of rapid changes in rates of wages, a limited period, especially if near the beginning or the end of the year, cannot be viewed as representative of the year. The averages for 1914 and 1924 show not only a wide range among the industries in levels of hourly earnings but also significant diver gences in the trends. The averages in 1914 ranged from $0,153 in the cotton-goods industry to $0,301 in blast furnaces, steel works, and rolling mills. The increases between 1914 and 1924 ranged from 112 percent in boots and shoes to 197 percent in men’s clothing. The increase in blast furances, steel works, and rolling mills was 114 per cent. The rise in all manufacturing industries combined during the same period was 145 percent. The special surveys from, which the averages of tables 4 and 5 were derived were made primarily for the purpose of analyzing the occu pational wage structures of the several industries as they existed when the surveys were made. Studies of different industries were made in different periods oí the year. During the war and the years imme diately following, there were rapid changes in wages, and the averages as shown are not to be viewed as annual averages or as strictly com parable for the several industries. The years 1914 and 1924, however, were years of comparative stability in the wage structure, and the averages for these two years are therefore comparable, as are the percentages of change from 1914 to 1924. The study of blast furnaces, steel works, and rolling mills by the Bureau of Labor Statistics in October 1920 was made when wages in that industry were near their peak (table 5). Hourly earnings at that time averaged $0.745, as compared with $0.301 in May 1914, the increase being 148 percent. The sharp downturn of 31 percent in the average hourly earnings of these workers between October 1920 670119— 45------ 3 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 868 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 and October 1922 was significantly greater than the general decline in hourly earnings. The rise to $0,644 in January 1924 was accom panied by reductions in the scheduled or full-time hours of work from 63.2 hours per week in October 1922To 55.2 hours in January 1924. The average hourly earnings of common laborers in blast furnaces, steel works, and rolling mills rose from $0,181 in May 1914 to $0,508 in October 1920, an increase of 181 percent as compared with the rise of 148 percent in the average hourly earnings of all workers in this industry. The earnings of laborers, however, fell somewhat more than did the general average between October 1920 and October 1922, and rose somewhat less from October 1922 to January 1924. The increase from May 1914 to January 1924 was 114 percent for all workers and 130 percent for common laborers. T a b l e 5 . —Average Hourly Earnings in Blast Furnaces, Steel Works, and Rolling M ills, 1914-24 1 Department 1914 (May) 1915 (May) 1918-1919 1917 1924 1922 1920 (Septem (October 1918 to (October) (October) (January) ber) May 1919) All occupations All departments------------- -----‘RJflfst furnaces ■RpqcjpTnpr converters Open-hearth furnaces Puddling mills Blooming mills Plate mills Par m ills ftt.andard-rail mills fthp.pt mills Tin-plate mills $0. 301 $0. 297 $0. 745 $0. 513 $0. 644 .206 .255 .237 .328 .269 .258 .278 .252 .488 .425 .207 .264 .246 .315 .268 .270 .266 .240 .450 .428 .571 .677 .671 .885 .659 .671 .713 .632 1.039 .949 .398 .470 .480 .496 .472 .476 .486 .470 .694 .650 .520 .624 .635 .721 .613 .562 .585 .573 .809 .795 Common laborers All departments_____________ Blast furnaces_______________ Bessemer converters__________ Open-hearth furnaces-— ______ Puddling mills _ Blooming mills____ — ___ _ Plate mills _______ _____ fttjmdard-rail mills Bar mills Sheet mills.- ___________ ____ Tin-plate mills _ ____________ $0.181 $0.180 $0. 298 $0.461 $0. 508 $0. 336 $0.417 .177 .193 .185 .173 .187 .174 .171 .193 .186 .167 .187 .174 .281 .298 .292 .457 .489 .468 .436 .469 .450 .474 .537 .525 .457 .511 .498 .315 .363 .354 .305 .350 .336 .173 .188 .189 .173 .188 .190 .443 .462 .461 .506 .536 .533 .316 .356 .359 .401 .448 .434 .355 .462 .432 .385 .392 .420 .436 .287 .294 .331 i Bureau of Labor Statistics Bulletin No. 442 (pp. 3,4,13); M onthly Labor Review, March 1918 (pp. 29-51). The figures are not annual averages but are limited to the periods indicated. The earnings of laborers in rail mills, although not shown separately except for 1924, are included in the averages for all years except 1917. The comparatively small coverage for 1917 may aflect slightly the average for that year. AVERAGE HOURLY EARNINGS OF RAILROAD WORKERS i The average hourly earnings of railroad wage-earning groups (including clerical employees) were given above (table 3) for certain years. Average hourly earnings of all workers, including salaried employees, are available for each of the years from 1915 to 1923, as shown in the following tabulation. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WAR AND POSTWAR WAGES, PRICES, AND PIOURS 869 Railroad average hourly earnings 1 1915 (year ended Ju n e 30)_________ $0. 1916 (year ended Ju n e 30)__________ 1916 (calendar y e a r)_______________ 1917 ______________________ ______ 1918 _____________________________ 1919 _____________________________ 1920 _____________________________ 1921 ____________________________ 1922— __________________________ 1923’_ 269 . 276 . 283 . 320 . 458 . 565 . 676 . 677 .6 2 9 .6 2 7 1 Sources: Interstate Commerce Commission. For the years 1915 to 1920, data are from the 1919 and 1924 volumes of Statistics of Railways in the United States. For the years 1920 to 1923, the data as published were based, except for certain occupations, on time paid for. The averages for these years have been recalcu lated from figures of total time worked or on duty and total compensation as given in Statistics of Railways, 1921, p. X X III, and in Wage Statistics for the last 6 months of 1921 and for the years 1922 and 1923. These averages are higher than those in table 3 mainly because of the inclusion of salaried employees and to a slight extent because of the use of hours on duty as distinguished from hours paid for. On the basis of data compiled by the Interstate Commerce Com mission, with certain adjustments for comparability of the data for different years, the hourly earnings of all railroad workers during the year ended June 30, 1915, averaged $0,269. Small increases occurred up to the end of 1917, the average for the calender year 1917 being $0,320. The efforts of labor organizations, combined with the recom mendations of public agencies, notably the Lane Commission ap pointed to investigate railroad wages, resulted in sharp increases to $0,458 in 1918. Further advances raised the average to $0,565 in 1919 and to $0,676 in 1920. Basic wage rates remained unchanged in 1921 but readjustments of rates reduced average earnings by 1923 to $0,627. UNION WAGE RATES IN BITUMINOUS-COAL MINING Tonnage workers in coal mining, although declining in relative numbers as a result of mechanization, still form a significant part of total employment. Tonnage and other piece rates vary widely with the nature of coal veins, the type of work, the extent of mechanization, and other conditions. One of the basic aims of union policy, however, has been the maintenance of an equitable relationship between ton nage rates and the rates of day workers. Changes in the rates of day workers may, therefore, be viewed as indicating broadly the general trends of wage rates in coal mining. The trends of the wage rates of day workers are indicated by changes in the rates of a comparatively few occupations. The rate of brakemen inside the mines (a group of workers with rates the same as those of several other occupational groups) was $2.84 in the Hocking Valley district during the wage-agreement period extending from April 1, 1912, to March 31, 1916, and the rate rose to $7.50 in August 1920 (table 6). Similar changes occurred in the wage rates of other occu pations. Thus, the rate per day of inside laborers and that of outside dumpers and trimmers rose from $2.36 to $7.25. The Hocking Valley district of Ohio was formerly viewed by opera tors and miners as the basic-scale field for the determination of union rates in the surrounding districts of Ohio, in the Danville district of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 870 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Illinois, in Indiana, and in western Pennsylvania. The rates given in table 6, although a significant measure of the levels and trends of union rates, are not to be interpreted as representative of all rates. Some of the unionized areas had independent rate scales and some mining areas were not unionized. The percentage changes in basic day rates naturally differ from the percentage change in the average hourly earnings of all bituminous-coal miners (table 3) because of the numerous factors, such as tonnage rates, labor productivity, and the changing composition of employment, that effected the changes in average hourly earnings. T a b l e 6 . — Union Rates Per Day in Selected Occupations in the Bituminous-Coal Industry of the Hocking Valley District, 1908—23 1 Rate per day Outside work Inside work Period of wage agreement Laborers April 1, 1908, to March 31, 1910-.. ...................... ... April 1, 1910, to March 31, 1912___________________ April 1, 1912, to March 31, 1914. _ -------------------- . April 1, 1914, to March 31, 1916 -. . --------April 1, 1916, to April 15, 1917_____________________ April 16, 1917, to October 31, 1917_________________ November 1, 1917, to March 31, 1918-.. .............. April 1, 1918, to November 30, 1919-.. ---------------December 1, 1919, to March 31, 1920... - .......... April 1, 1920, to August 15, 1920----------------------August 16, 1920, to March 31, 1922_________________ April 1, 1922, to March 31, 1923____________________ April 1, 1923, to March 31, 1924___________________ $2.360 2. 490 2. 620 2. 620 2. 750 3. 350 4. 750 4. 750 5.420 5. 750 7. 250 7. 250 7. 250 Brakemen $2. 560 2.700 2.840 2. 840 2. 980 3.600 5.000 5.000 5.700 6.000 7.500 7.500 7.500 Trappers (boys) $1.130 1.250 1.320 1.320 1.400 1.900 2. 650 2. 650 3.020 3.180 4.000 4.000 4.000 Dumpers Carpen and trim ters mers $2. 530 2. 670 2.810 2. 810 2.950 3. 550 4. 950 4. 950 5. 640 5. 950 7.450 7.450 7.450 $2.360 2.490 2. 620 2. 620 2.750 3.350 4. 750 4. 750 5.420 5. 750 7.250 7. 250 7. 250 i Bureau of Labor Statistics Bulletin No. 601; Wages and Hours of Labor in Bituminous-Coal M ining, 1933. The Hocking Valley district of Ohio was formerly viewed by operators and miners “as the basic-scale field, not only for the surrounding districts in Ohio, but also for the Danville district of Illinois, for Indiana, and for western Pennsylvania.” Brakemen’s rates were the same as the rates of various other occupational groups. More than half of the workers were piece-rate workers, with rates dependent on the type of work, extent of mechanization, etc., but a general aim in wage adjustments was the maintenance of established dif ferentials between the earnings of tonnage workers and day workers. CHANGES IN UNION HOURLY WAGE RATES IN BUILDING AND PRINTING TRADES Union hourly wage rates in the building and printing trades from 1914 to 1923 reflect the changes in basic rates of wages in important segments of the national economy during a period when building construction and printing and publishing were subordinated to the more urgent requirements of wartime production. The wage rates embodied iu union agreements naturally differ as to levels and prob ably also in some degree as to trends from the wage rates of unorganized workers. The union rates do not include rates for overtime work; An outstanding characteristic of union rates in the building and printing trades (table 7) is their comparative stability. The averages were computed from indexes, which were constructed for the purpose of eliminating the effects of variations in the samples covered from year to year. The rates of building-trades journeymen rose only 39 percent between May 1914 and May 1919, in contrast to a rise of 53 percent in the rates of helpers and laborers. The rates of journeymen also rose less than’did those of helpers and laborers between 1919 and 1920. The changes between 1920 and 1923 were somewhat more favorable https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 871 WAR AND POSTWAR WAGES, PRICES, AND HOURS to journeymen than to helpers and laborers, but the increase for the entire period from 1914 to 1923 was 117 percent for helpers and laborers in contrast to a rise of only 97 percent for journeymen. Reductions in the union rates of building-trades workers occurred between 1921 and 1922, but printing trades advanced throughout the period. The increases in union building-trades rates during the period as a whole were smaller than the advances in the hourly earnings of industrial workers generally (table 3), but union building-trades rates continued to rise sharply after 1923. The increase between 1923 and 1930 was 31 percent, as compared with only 6 percent in average hourly earnings in manufacturing industries as a whole. Union rates of the book and job printing trades showed a signifi cantly larger increase than did rates of the newspaper trades. The average for the book and job trades rose 116 percent from 1914 to 1923, in contrast to an increase of only 78 percent for the newspaper trades. The average rates for both the book and job and the news paper trades continued to rise throughout the period of the war and the transition to peace from 1914 to 1923. The increases during the period as a whole were smaller than the increase in average hourly earnings of factory workers as a whole, but, as with building-trades rates, the increases from 1923 to 1930 were larger than the rise in average hourly earnings in manufacturing. T a b l e 7 . — Union Hourly Wage Rates in Building and Printing Trades, 1914-23 1 Union hourly wage rates Year Building trades All trades 1914_____________■ 1915___________ ________ 1916__________________ 1917______________ 1918______________ 1919______________ 1920______________ 1921______________ 1922......... .............. ......... 1923______________ $0.481 .485 .500 .532 .590 .676 .912 .929 .872 .963 Printing trades Journey men Helpers and laborers All printing $0. 533 .538 .556 .587 .649 .741 .992 1.010 .952 1.050 $0. 251 .253 .261 .287 .333 .385 .558 .564 .513 .544 $0.449 .452 .456 .472 .513 .628 .805 .882 .891 .919 Book and job $0.410 .411 .418 .433 .479 .591 .770 .848 .852 .885 N ew s paper $0. 558 .562 .565 .579 .607 .732 .896 .974 .983 .994 . 1 The average hourly rates were calculated by use of indexes applied to the 1944 levels of wage rates. These indexes were constructed from percentage changes in annual averages which in turn were computed from the quotations of those unions which furnished reports for identical occupations in 2 consecutive years. Data of union hourly wage rates are collected once each year during the spring or summer. The indexes for the years 1914 to 1923 are based on reports for M ay 15. The averages are straight-time union rates, excluding overtime and other special rates. MONTHLY WAGES OF MARITIME WORKERS Wartime and postwar changes in the monthly wages of two groups of maritime workers—able seamen and firemen—are broadly indica tive of changes in this field of employment. The data shown for the period from 1914 to 1918, for 1922, and for 1924 (table 8) are not wholly comparable in coverage, and maritime wages, which are in addition to the equivalent of board and lodging, cannot be compared with industrial wages. The figures are nevertheless significant as indicating the general nature of the changes in the wages of maritime workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 872 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 T able 8.—Monthly Wages of Able Seamen and Firemen, 1914-24 Vessels sailing from N ew York and San Francisco, 1914-18 1 Sailing from San Francisco Sailing from N ew York Fiscal year endedTransAtlantic To West Indies and Gulf of Mexico Atlantic and Gulf coastwise To South America Trans pacific PacificAtlantic coastwise Pacific coast wise Able seamen Jiine 30, June 30, June 30, June 30, June 30, $27. 50 27.50 35. 00 45. 00 60. 00 1914 1915 1916 1917 1918 $30. 00 30. 00 35. 00 45.00 60.00 $30. 00 30.00 35.00 45. 00 60. 00 $27. 50 27. 50 35.00 45.00 60. 00 $40. 00 38.43 41.88 55.20 65.00 $31.00 32.38 36.86 56.15 65.14 $47.10 47. 53 50. 45 55. 53 66.00 $55. 00 53. 33 52. 35 55.30 65.00 $38.00 43. 35 43. 84 55. 67 65.14 $54. 91 54. 82 54. 50 55. 61 66. 00 Firemen June 30, June 30, June 30, June 30, June 30, $40.00 40.00 40. 00 50.00 60.00 1914. 1915 1916 1917 1918 $40.00 40.00 40. 00 50. 00 60.00 $40. 00 40.00 40. 00 50. 00 60. 00 $40. 00 40.00 40. 00 60. 00 American cargo steamships, 19222 Able seamen , Employer or operator Period covered Shipping Board_______ July 24-Sept. 7 ,1922_ Firemen N um Wages N um Wages ber of per ber of per ves month ves month sels sels 1 l f Other__ American steam and motor cargo vessels of 5,000 gross tons and over, 1924 3 July 31-Aug. 22,1922. \ l1 1 $45.00 1 47. 50 15 55.00 4 40. 00 2 42. 00 1 45. 00 6 47. 50 2 50. 00 Date Able sea men Fire men 1 $47. 50 I 1 50. 00 p an . 1,1924 $63.00 $65.00 15 57. 50 ] 4 40. 00 1 2 45.00 1 47. 50 >___do_____ 60.00 63.00 7 50. 00 1 55.00 J iU . S. Shipping Board, Marine and Dock Industrial Relations D ivision, Report on Marine and Dock Labor: Work, Wages, and Industrial Relations During the Period of the War (p. 110), by Horace B. Drury. Washington, 1919. Wages shown are the predominant wages. 2 M onthly Labor Review, February 1923, pp. 132-138 (derived from reports by American Steamship Owners’ Association). 3 M onthly Labor Review, April 1927, p. 85 (derived from Merchant Marine Statistics, 1926, published by U . S. Department of Commerce, Bureau of Navigation). The wages of workers on vessels sailing from New York and San Francisco for ports in various regions ranged widely in 1914, the lowest monthly wage of able seamen as represented in table 8 being $27.50 and the highest monthly wage being $47.10. The corresponding range of the monthly wages of firemen was from $40 to $55. By June 30, 1918, wages had risen substantially, especially for workers whose wages in 1914 had been comparatively low. The rates for able seamen and firemen on vessels sailing from New York were raised to a uniform level of $60 per month. The monthly rate of both able seamen and firemen was $65 on vessels sailing from San Francisco to trans-Pacific ports, $65.14 on Pacific-Atlantic coastwise vessels from San Francisco, and $66 on Pacific coastwise vessels from San Francisco. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WAR AND POSTWAR WAGES, PRICES, AND HOURS 873 The high degree of uniformity in rates attained by 1918 was broken down after the war, and the wartime levels of wages were seriously lowered. By January 1, 1924, however, a comparative uniformity was again restored at levels of wages similar to those of 1918. FARM WAGE RATES The Bureau of Agricultural Economics of the Department of Agriculture obtained wage-rate data of four types for the period of the war and the transition to peace: Rates per month with board and without board, and per day with board and without board (table 9). The Bureau of Agricultural Economics also computes the weighted average rate per month, primarily for the purpose of indicating the general trend as distinguished from the levels of farm wage rates. Each of the four types of farm wage rates rose steadily from 1914 to 1920. The rate per month with board rose 129 percent, and without board, 120 percent; the rate per day with board rose 155 percent, and without board, 142 percent; and the weighted average rate per month rose 138 percent. The increase in the general rate was somewhat smaller than the advance in average hourly earnings of factory workers and about the same as the rise in average weekly earnings in factories. Sharp declines occurred between 1920 and 1922, the reduction in the weighted average rate being 37 percent. An increase of 12 percent occurred between 1922 and 1923. The rise in the weighted average wage rate from 1914 to 1923 was 67 percent, much smaller than the increases in most of the nonagricultural branches of employment. T a b l e 9. —Farm Wage Rates, 1914-23 1 Farm w age rates Per month Year W ith board 1914_________________________________ 1915___________ _______ ____________ 1916________________________________ 1917___________________________________ 1918___________________________________ 1919_______________________________ 1920___________________________________ 1921__________________________ ______ 1922___________________________________ 1923___________________________________ $22. 62 22. 97 25.17 31.11 37. 96 43.29 51.73 33. 62 32. 75 37. 24 W ithout board $29. 74 30.06 32.84 40. 52 48.80 56.63 65.40 44. 67 43.33 48. 25 Weighted average rate per month 2 Per day With board $1.17 1.18 1.31 1.65 2.15 2. 54 2.98 1.77 1.73 1.89 Without board $1.43 1.44 1. 58 1.98 2. 54 3.03 3.46 2.12 2.07 2. 25 $25.13 25.41 27.93 34.79 43.73 51.13 59. 88 38.29 37.47 41.87 1 U . S. Department of Agriculture, Bureau of Agricultural Economics, Farm Wage Rates, Farm E m ployment, and Related Data (p. 3). 2 Computed primarily for indicating the general trend rather than the general level. AVERAGE SALARY-WAGE Estimates of the average annual salary-wage of all nongovern mental nonagricultural employees (full-time equivalents) for 1914 and 1919 were given in Part l.2 The averages for 1919 to 1923 are derived from somewhat more satisfactory data than is the estimate 2 See Part 1, M onthly Labor Review, October 1945, footnote 3, p. 618 (giving sources and limitations of the data). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 874 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 for 1914. They are to be viewed, however, not as exact measures but only as rough indications of trends. The estimates are as follows: 1914. 1919. 1920. $753 1921 1, 283 1922 1, 513 1923 $1, 378 1, 343 1, 428 The average salary-wage was less variable than were the earnings of industrial workers. The low point for both was 1914 and the high point was 1920; the increase between these years was 101 percent in the average salary-wage and 139 percent in the weekly earnings of factory workers. The period of depression from 1920 to 1922 reduced factory weekly earnings 18 percent as compared with a decline of only 11 percent in the average salary-wage. The average was 90 percent higher in 1923 than in 1914, as compared with a somewhat larger increase of 116 percent in the weekly earnings of factory workers, but the increase from 1919 to 1923 was slightly in favor of the average for all nongovernmental nonagricultural employees. Thus, the increase in the average salary-wage was smaller and the fluctuations were less extreme than were the changes in average earnings of industrial workers. Salaries were affected to a com paratively small extent by changes alike in basic rates and in hours of work, and also by changes in productivity, especially as these are reflected in piece-rate or incentive systems. Consumers’ Prices and VFholesale Prices , 1914-23 The most important single factor affecting the rise in wages during the period of the First World War and the transition to peace was the general increase in prices (table 10). The index of consumers’ prices for moderate-income families in large cities underwent little change during 1914 and 1915. The up turn beginning late in 1915 continued, however, virtually without interruption until June 1920, when the index number was 108.1 per cent higher than in 1914. The decline which began in July 1920 con tinued until April 1922, when the index was only 66.0 percent above the 1914 level. Thereafter, only minor changes occurred until the end of the decade. In the index of wholesale prices of all commodities, as in that of consumers’ prices, only minor changes occurred until late in 1915. The rise which began in October 1915 was much more rapid than the rise in the consumers’ price index. The increase continued until May 1920, when it reached a high point 145.5 percent above the 1914 average. The postwar low point, reached in January 1922, was 34.2 percent above the 1914 level. A new upward movement raised the index by March 1923 to a level 53.5 percent above 1914, but the year-end. index number, which was 44.1 percent above 1914, was more nearly characteristic of the price levels of the rest of the decade. The index of consumers’ prices did not reach as high a level as com pared with 1914 as did the index of wholesale prices, but the net result of the changes from 1914 to 1923 was a comparatively high level of consumers’ prices above the 1914 average. The consumers’ price index for the year 1923 was 69.8 percent above the 1914 average; the wholesale price index was only 47.7 percent higher. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 875 WAR AND POSTWAR WAGES, PRICES, AND HOURS T a b l e 10.—Indexes of Consumers’ Prices and Wholesale Prices, January 1914 to December 1923 Month 1914 1915 1916 1917 1918 1919 1920 1921 1922 Indexes (1914=100) of consumers’ prices 1 January............... February_________ M arch........... ........... A pril.................... M ay...... ................... June_____________ July_____________ August____ ______ September________ October___ _______ N ovem ber________ December________ 100.0 99.0 98.5 97.9 98.2 98.9 99.9 101.4 101.8 101.1 101.3 101.1 100.7 100.1 99.3 99.9 100.3 100.6 100.6 100.7 101.1 102.1 102.6 103.1 104.0 104.2 104.9 105.8 106.4 107.7 107.7 108.9 110.9 112.3 114.3 114.8 116.2 118.9 119.8 124.8 127.7 128.8 127.9 129.7 132.0 134.4 134.5 136.2 138.9 140.5 139.7 141.1 144.0 146.8 150.1 152.8 156.7 159.3 161.6 164.3 164.6 160.9 162.7 165.7 167.8 168.5 173.0 176.0 177.2 180.1 184.1 188.4 192.2 194.2 196.4 201.8 205.3 208.1 207.2 201.7 199.6 198.3 197.2 192.6 189.6 183.4 181.9 179.7 176.3 175.3 175.5 176.3 174.5 174.0 173.1 172.1 168.7 167.8 166.2 166.0 166.0 166.4 166.7 . 165.2 165.3 166.4 167.1 167.7 167.3 166.9 167.4 168.4 168.7 169.4 171.2 170.6 171.4 171.9 172. 3 172.0 Average for year.... 100.0 101.0 108.5 127.6 149.7 172.4 199.6 177.9 166.7 169.8 Indexes (1914=100) of wholesale prices (all commodities) J an u ary .................. F eb ru ary ................ M arch___________ April________ ____ M ay_____________ June........ .................. July_____________ August___________ September................ October__________ N ovem ber................ December.............. 100.7 100.3 99.9 99.3 99.0 99.0 98.8 102.2 103.1 99.9 99.1 98.8 100.0 100.7 100.1 100.9 101.3 100.3 101.8 100.7 100.3 103.1 105.3 108.7 113.1 115.3 118.1 120.0 121.1 121.7 122.5 125.0 127.6 133.8 143.0 145.7 149.9 153.5 158.1 167.5 177.2 179.1 180.6 183.3 181.4 179.4 180.3 180.5 183.6 180.2 185.6 188.4 188.1 189.4 193.8 197.2 201.9 200.1 200.1 200.1 197.4 190.6 192.8 195.3 198.7 199.1 207.2 211.9 207.2 207.9 212.2 221.0 231.6 230.7 232.9 243.0 245.5 244.5 243.5 237.0 227.9 211.7 195.9 177.2 167.4 154.0 150.4 145.2 141.3 137.2 137.2 137.3 137.2 138.2 138.3 136.4 134.2 136.4 136.3 136.9 141.1 141.4 146.0 144.8 145.8 146.3 147.6 147.9 149.8 151.7 153.5 152.6 149.6 147.3 144.5 143.6 146.4 146.0 144.5 144.1 Average for year__ 100.0 102.1 125.6 172.5 192.8 203.5 226.7 143.3 142.0 147.7 i The indexes show average changes in retail prices of selected goods, rents, and services bought b y families of wage earners and lower-salaried workers in large cities. Hours of Work, 1914-23 PREVAILING HOURS IN MANUFACTURING Prevailing hours of work in manufacturing industries averaged 55.1 hours per week in 1914 and 50.8 hours in 1919.3 The average for 1923 was 51.1 hours, and for 1929, 50.6 hours. The major change in prevailing hours of work, it will be noted, occurred between 1914 and 1919. These figures are averages of the regularly scheduled hours of plant operation or of shifts, not average weekly hours actually worked. FULL-TIME HOURS PER WEEK IN SELECTED MANUFACTURING INDUSTRIES Major sources of information regarding scheduled hours of work are the special industry surveys of wages and hours made by the Bureau of Labor Statistics. In these surveys the term “full-time hours of work” was used. The figures relate to varying periods, but information is available for a considerable number of industries for 1914, for 1924, and for certain intervening years (tables 11 and 12). 3 These averages are computed from the frequency distributions of workers by prevailing hours of labor per week as formerly published by the Bureau of the Census in the Census of Manufactures. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 876 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 11. —Average Full-Time Hours per Week in Specified Manufacturing Industries, 1914-241 Year J 1914 1915 1916 1917 1918 __________________________ ...... ............ IQiq ■jq?n 1921 1922 1923 1924 _______ Hosiery and under wear M en’s clothing 54.8 51.3 Cotton goods Woolen and worsted goods 56.8 55.0 56.9 54.8 54.6 56.0 54.3 52.3 51.8 48.3 Silk 54.6 47.9 51.6 __________ ______ 52.8 48.8 51.6 44.1 ___________________ 53.0 49.1 50.7 44.1 Boots and shoes 54.7 48.6 48.7 49.0 1 Data are the results of special surveys, published in Bureau of Labor Statistics bulletins, as follows: Cotton goods, Bull. No. 446 (p. 6); woolen and worsted goods, Bull. No. 443 (p. 7); silk, Bull. No. 568 (p. 2); hosiery and underwear, Bull. No. 452 (p. 9); men’s clothing, Bull. No. 387 (p. _8); boots and shoes, Bull. N o. 450 (p. 2). The averages for men’s clothing are not representative of the industry as a whole because of an overrepresentation of larger northern cities. . , 2 It should be noted that the special surveys did not cover the whole of the years indicated. They were limited to certain months or periods, as M ay for the 1914 cotton-goods survey and January to April for the 1924 survey of the boot and shoe industry. Average full-time weekly hours in the industries covered ranged, in 1914, from 51.3 hours in men’s clothing to 64.9 hours in blast fur naces, steel works, and rolling mills (described in the earlier reports as the iron and steel industry). The average for the men’s clothing industry represents a coverage confined to larger cities and is prob ably lower than the average for the industry as a whole. Most of the industries reduced their hours significantly by 1920. Between 1920 and 1924, work schedules were somewhat lengthened in cotton goods, woolen and worsted goods, and boots and shoes. During the period as a whole, however, from 1914 to 1924, all of the available averages show substantial reductions. Full-time hours in cotton goods fell from 56.8 in 1914 to 53.0 in 1924; in the woolen and worsted goods industry, from 55.0 to 49.1; in the hosiery and underwear in dustry, from 54.8 to 50.7; in men’s clothing, from 51.3 to 44.1; and in boots and shoes, from 54.7 to 49.0 hours. The largest reduction (from 64.9 to 55.2 hours) was in blast furnaces, steel works, and rolling mills (table 12). T a b l e 12. —Average Full-Time Hours per Week in Blast Furnaces, Steel Works, and Rolling Mills, 1914-24 1 Department 1914 (May) 1915 (M ay) 1924 1922 1920 (October) (October) (January) All departments_________________________________ 64.9 65.5 63.1 63.2 55.2 Blast furnaces _______ ____ _________________ B e s s e m e r converters __ __________ ________ Open-hearth furnaces-- ______ _______________ _ Puddling mills _ __________ ________ ______ Blooming mills -- -______ Plate mills _ ____ - ______ ______ _____ Bar mills _____________________ -- - ____ Standard-rail mills ______________ ____________ Sheet mills __ _ __________________ - _______ Tin-plate mills ______- ________ _______ _____ 74.8 68.4 74.5 53.2 70.5 69.0 61.7 70.1 52.3 46.0 74.9 68. 7 74.4 52.2 71.0 69.8 61. 4 70.9 52. 5 50.4 72.1 70.3 68.7 53.9 67.5 68.8 61.8 61. 2 50.3 50.6 72.3 68.7 70.8 52.1 68.0 66.2 61.2 61.5 51.1 49.9 59.7 52.3 58.0 55.7 54.6 57.2 55.6 57.4 50.2 48.8 i Bureau of Labor Statistics Bulletin N o. 442 (pp. 3, 4). lim ited to the periods indicated. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The figures are not annual averages but are WAR AND POSTWAR WAGES, PRICES, AND HOURS 877 The different departments of blast furnaces, steel works, and rolling mills in 1914 showed extreme variations in full-time hours. The blast-furnace average was 74.8 hours, that of open-hearth furnaces was 74.5 hours, and that of standard-rail mills was 70.1 hours; in contrast, the average in tin-plate mills was only 46.0 hours, and two other departments had averages somewhat lower than those of most of the other industries covered by the Bureau of Labor Statistics surveys. The extremely long workweek in blast furnaces, open-hearth fur naces, and some of the other departments is explained by the survival in many plants of the 12-hour shift and the 7-day week. Wartime public agencies recommended reduction in hours and a few plants adopted the 3-shift system, some of these reverting, however, after the war, to 2 shifts. Hours in the industry as a whole underwent only a small reduction before 1923, the average for October 1922 being 63.2 hours as compared with 64.9 in May 1914. Between October 1922 and January 1924 there was a sharp reduction, from 63. 2 to 55.2 hours, largely as a result of the extensive adoption, late in 1923, of the 3-shift system in plants with continuous operation. In many de partments of the industry, the 7-day week was retained after the adoption of the 8-hour shift. SCHEDULED HOURS IN RAILROAD TRANSPORTATION The distinctive nature of the work schedules of railroad operating employees, especially of those engaged in road service, makes difficult an exact comparison of the hours of these employees with the hours of other groups. The dual basis of pay of road-service employees provides for a basic day’s work for a specified mileage or for a specified number of hours, the mileage system being essentially a piece-rate or incentive system. The Adamson Act of 1916, effective in 1917, re quired that in contracts for labor and service, 8 hours must be deemed a “day’s work and a measure or standard of a day’s work for the pur pose of reckoning the compensation for services.” That act applied to operating employees, but in 1918 the Director General of the U. S. Railroad Administration recognized the principle of the basic 8-hour day for nonoperating employees.4 SCHEDULED HOURS IN BITUMINOUS-COAL MINING According to data collected by the Bureau of Mines, little change occurred in the weighted average workday of workers employed in bituminous-coal mining during the period of the First World War and the transitional period following the war. The weighted average workday in 1914 was 8.6 hours, and the average in both 1919 and 1923 was 8.06 hours (table 13). There was, however, a decline in the pro portion of workers employed in 10-hour mines, from 23.9 percent in 1914 to 1.1 percent in 1923. The proportion of miners employed in 9-hour mines fell from 15.4 to 4.2 percent, and the proportion working in 8-hour mines rose from 60.7 to 94.7 percent. * The Interstate Commerce Commission before 1919 computed the hours of employees whose time was reported on a daily basis by multiplying the number of days by 10, but beginning in 1919, the Commission multiplied the number of days by 8. There remained many exceptions to the 8-hour day, as for example, among station agents and telegraphers, and many employees continued to work 7 days per week. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 878 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 13. —Percent of Men Employed in Bituminous-Coal Mines With Established Working Days of 8, 9, and 10 Hours, 1914-23 1 P e r c e n t o f t o ta l e m p lo y e e s in — Y ear 8 -h o u r m in e s 9 -h o u r m in e s 1 0 -h o u r m in e s W e ig h te d average w o r k in g day (h ou rs) 1 9 1 4 ____________________________________________________________ 1 9 1 5 ______________ __________ ___________________________ _____ _ ___________________________________________ 1916 . . . 1917 . ___________________________________________ 1 9 1 8 ____________________________________________________________ 6 0 .7 5 9 .6 5 8 .6 7 9 .0 9 0 .6 1 5 .4 1 7 .0 1 7 .4 1 2 .6 6 .7 2 3 .9 2 3 .4 2 4 .0 8 .4 2 .7 8 .6 8 .6 8 .6 8 .3 8 .1 2 1919 _________________________________________________________ 1920 ___________________________________________ 1921 _________ . . . . _________ 1922 ___________ _________________________________________ _______ 1923 ___________________ _________ ____ 9 5 .5 9 7 .1 9 6 .6 9 5 .1 9 4 .7 3 .5 2 .0 2 .9 4 .0 4 .2 1 .0 .9 .5 .9 1 .1 8 .0 6 8 .0 4 8 .0 4 8. 06 8 .0 6 1 U. S. Bureau of Mines, Coal in 1930 (p, 655) (from Mineral Resources, 1930, Part II). See also U . S. Bureau of Labor Statistics Bulletin No. 516: Hours and Earnings in Bituminous-Coal Mining, 1929 (p. 13). The percentages were calculated on the basis of total number of men in mines definitely reported as having an 8, 9, or 10-hour day. A small number of mines that worked more than 10 hours or less than 8 hours were excluded, as were also all mines for which the reports were defective or which changed their working day during the year. Prevailing mine practices called for a 6-day week. The full-time workweek, or the number of regular or customary hours per week, was therefore the number of hours per day multiplied by 6, or 51.6 hours in 1914 and 48.4 in 1919 and 1923. The average full-time week, as com puted from data collected by the Bureau of Labor Statistics for a sample pay period in 1919, was 48.8 hours.5 UNION HOURS IN THE BUILDING AND PRINTING TRADES There was little change in the weekly hours of union workers in the building trades as embodied in union agreements (table 14) from 1914 to 1923. The hours, it should be noted, are normal full-time hours, excluding both part time and overtime. T a b l e 14. — Union Weekly Hours in Building and Printing Trades, 1914-23 1 Union weekly hours Printing trades Building trades Year All trades 1914_______________ ____ ______________ 1915..._________________________________ 1916_______ _______ ____________________ 1917_____________________ _____________ 1918____________________ _____ _________ 1919__________________________________ 1920___________________________________ 1921___________________________________ 1922___________________________________ 1923...................................................................... 46.4 46.4 46.2 46.1 45.9 45.6 45.4 45.3 45.3 45.4 Journey men Helpers and laborers All printing Book and job 45.8 45.8 45.6 45.5 45.3 45.1 44.9 44.8 44.9 44.9 48.0 47.9 47.8 47.6 47.4 47.0 46.7 46.7 46.6 46.6 49.5 49.5 49.5 49.5 49.5 49.5 48.1 45.1 45.0 44.8 51.0 51.0 51.0 51.0 51.0 51.0 49.1 45.2 44.6 44.3 N ews paper 44.9 44.8 44.8 44.8 44.8 44.9 44.8 44.7 45.6 45.5 1 The average weekly hours were calculated by use of indexes applied to the 1944 levels of weekly hours. These indexes were constructed from percentage changes in annual averages which in turn were computed from the quotations of those unions which furnished reports for identical occupations in 2 consecutive years. Data of union weekly hours are collected once each year during the spring or summer. The indexes for the years 1914 to 1923 are based on reports for M ay 15. The hours are averages of regularly scheduled straight-time hours under union agreements and are not affected by part time or overtime. 'Bureau of Labor Statistics Bulletin No. 279: Hours and Earnings in Anthracite and Bituminous-Coal Mining (p. 9). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 879 WAR AND POSTWAR WAGES, PRICES, AND HOURS As indicated in table 14 above, the average of all trades fell from 46.4 hours in 1914 to 45.6 hours in 1919, and the reduction there after (to 45.4 hours in 1923) was nominal. The hours of journeymen building-trades workers were somewhat lower than the hours of helpers and laborers. The average for journeymen fell from 45.8 hours in 1914 to 44.9 hours in 1923, and the average of helpers and laborers fell from 48.0 to 44.6 hours. CHANGES IN AVERAGE WEEKLY HOURS ACTUALLY WORKED Average weekly hours have usually been significantly lower than scheduled hours, because hours actually worked are affected by part time, labor turn-over, overtime, illness, and other factors. Informa tion regarding average hours as thus defined is comparatively slight for the period of the First World War and the years immediately following. Estimates are available for the Census years 1914, 1919, and 1923 for manufacturing, coal mining, and railroads (table 15). Average weekly hours in manufacturing fell from 49.4 in 1914 to 46.3 in 1919. Available information does not permit the making of satisfactory estimates of average weekly hours during the years inter vening between 1914 and 1919, but the curtailments of scheduled hours were probably counterbalanced, up to 1918, by reductions in part time and increases in overtime. Employment in factories began to decline in the summer of 1920, and average hours were reduced by part time and labor turn-over. The estimated average in the first quarter of 1922 6 was 42.7 hours. The industrial recovery beginning in 1922 raised factory employment by 1923 almost to the 1919 level, and average working time rose by 1923 to 45.6 hours per week, not far below the 1919 level. T a b l e 15.—Average Weekly Hours in Manufacturing, Coal Mining, and Steam R ail roads, 1914, 1919, and 1923 1 Average weekly hours Industry 1914 Manufacturing_____ . . ________________ _________ Bituminous-coal mining 2______________________ ____ _ Anthracite mining 2 __ _______________ . . . ________ Steam railroads (class I)_____________________________ 1919 49.4 35.2 41.6 54.1 1923 46.3 35.5 42.1 46.3 45.6 31.3 43.2 45.5 1 The sources and methods used in computing the averages are described in M onthly Labor Review, September 1940 (pp. 517-544), but the averages there given have been revised. 2 Travel time in the mine is excluded. The 1943 bituminous-coal agreement and the 1945 anthracite agree ment provided for the inclusion of travel time as compensable time, thereby increasing the computed average of weekly hours by 7 or 8 percent. The reduction of average weekly hours in bituminous-coal mining from 35.5 in 1919 to 31.3 in 1923 is explained largely by an increase in part time. The average number of days of operation of the mines fell from 195 in 1919 to 179 in 1923. Part time and reduced weekly hours were caused in part by the distinctive nature of skills in coal mining and the relative isolation of mining communities, which tended to prevent mine workers from leaving the industry. Average working time in anthracite mining rose slightly, from 42.1 hours per week in 1919 to 43.2 hours in 1923. The average number of Computed by dividing average weekly earnings (table 1) by average hourly earnings (table 2). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 880 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 days of operation of the mines also rose slightly, from 266 days in 1919 to 268 in 1923. The average weekly hours of railroad workers fell much more sharply from 1914 to 1919 than did the hours of factory workers, the major cause being the Adamson Act and the widespread shift from the 10hour to the 8-hour day.7 The averages for railroads and factories were virtually identical in both 1919 and 1923. Conditions Affecting Trends After the Two Wars The extreme variability of wages, and especially of prices, after the First World War was largely a result of the sudden ending of the war in the midst of full-scale preparations, the abrupt transition, and lack of controls of prices and of the flow of materials for production and of goods for consumption. Conditions at the end of World War II gave promise of relative stability. As for wages, there was relatively little control after the First World War, either by collective agreements or by public policies, to raise wages in keeping with labor productivity and prices or to prevent wages from falling below minimum levels such as those later adopted and in effect at the end of World War II. At the beginning of the First World War the usual workweek was so long that pressure for reductions of hours was effective to a con siderable degree during the war, but after the war there were few marked reductions in hours. Average hours during the 20’s continued near the levels of 1919. At the beginning of World War II, hours generally had been reduced to a scheduled 40-hour workweek, and average hours actually worked were usually below 40. During the war, hours rose sharply, and the lengthening of the workweek was accompanied by a large increase in the proportion of premium pay ments for overtime. The tendency after World War II to restore prewar scheduled hours, with the accompanying elimination of premium payments for over time, brought about demands for increases in basic rates of wages to check reductions in weekly earnings. Such a program has been adopted by most of the unions. Among«Govermnent officials, the Director of the Office of War Mobilization and Reconversion, in his Second Report, April 1, 1945, stated: “I feel sure that ultimately, after the war, total take-home pay in the United States will reach the present level.” In his Third Report, the Director stated that workers had voluntarily given up the right to strike, and that this no-strike pledge implies an obligation on the part of the public to protect the workers’ standard of living. Wage adjustments should be possible, he stated, because of declines in premium payments for overtime and increases in aver age output. “Therefore, we must be prepared to make some up ward adjustments to compensate for severe declines in take-home pay.” 8 Technological changes and general improvements in the efficiency of production are of primary importance as an economic basis for wage r The railroad averages were derived from Interstate Commerce Commission figures with certain ad justments for comparability, the adjusted figures representing hours paid for and the average number of employees on pay rolls, excluding principal salaried groups. 8 Office of Director of War Mobilization and Reconversion, Second Report, April 1, 1945 (p. 23); “The War—Phase Tw o,” M ay 10, 1945 (p. 18); and Third Report, July 1, 1945 (pp. 38, 39): The Road to Tokyo and Beyond. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WAR AND POSTWAR WAGES, PRICES, AND HOURS 881 adjustments. Changes of this nature after the First World War were extensive but were based mainly on postwar developments rather than on wartime experiences. During World War II, there was an unprecedented effort to improve techniques, to promote favorable labor-management relations, and to utilize resources effectively for maximun production. There existed at the end of the war not only a large accumulation of knowledge and experience acquired during the war, but also an exceptional organization of the facilities for research and for the application of improved techniques. Related factors affecting postwar productivity include the lifting of restrictions on materials and equipment for civilian-goods industries, the shortening of the workweek, additional holidays and vacations, and the with drawal from the labor market of many workers whose age, lack of training, or family duties impaired their efficiency. It is therefore expected that for a considerable period after the war, labor produc tivity will increase at above-normal rates,9 or, inversely, that unit labor requirements will materially decline. Wage changes are significantly subject to such general influences as prevailing economic and political views. During the 20’s the prevail ing views emphasized dependence on the flow of savings and invest ment as determined by the “free” competitive markets to maintain “equilibrium” of supply and demand at the level of “full employment” of both labor and capital. The “return to normalcy” was the prevail ing ideal, both politically and economically, and “normalcy” implied that full freedom to save and invest would automatically take care of employment, production, and consumption. The later experiences with depression, unemployment, and public relief, the emergence of World War II out of depression, and the evolu tion of the war economy with unprecedented use of productive capacity for war, gave rise to new points of view. Emphasis was shifted to the roles of demand, consumption, and the full use of income in maintain ing adequate production and employment. The extent of use of cur rent income, and the nature of its use, either for needed productive facilities or for the purchase and consumption of the products, is thus viewed as a vital factor in determining the succeeding volumes of employment, production, and income. These views led in turn to emphasis on the avoidance of unused savings and the maintenance of high levels of wages as the major source of demand and consump tion.10 * U . S. Senate, Wartime Technological Developments: A Study made (by the U . S. Bureau of Labor Statistics) for the Subcommittee on War Mobilization of the Committee on Military Affairs. Senate Sub committee Monograph No. 2 (79th Cong., 1st Sess.), Washington, 1945. i° The nature and prominence of such views are illustrated by the Full Employment Bill (S. 380, 79th Cong., 1st Sess.), by the Third Report of the Office of War Mobilization and Reconversion (Washington, 1945), by the Annual Report of the Secretary of Agriculture for 1944 (sections on full industrial employment and adequate wages as the basis of farm prosperity), by the programs of labor unions, and by the more recent concepts in the study of national income as accounting on a national scale and the use of these concepts in the work of such agencies as the National Planning Association. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P rice C ontrol and R ationing in Foreign Countries D uring the W ar 1 Summary WHEN manpower and materials are diverted to war production and shortages develop at the same time that purchasing power is expanding, serious disturbances in the production and distribution of wartime essentials are inevitable unless goods are rationed and their prices controlled. Judging from reports which have come to the United States, some type of price control was in effect in all the coun tries of the world during the war period, and controls have been con tinued since the end of the war, because there has not yet been the time or productive capacity to provide enough goods to meet current effective demand. Great Britain has already enacted a law making it possible to maintain economic controls over a 5-year period. Price-control measures have varied widely from country to coun try during the war period, depending on the military situation, the extent of dependence on imported goods, the transportation facilities available, and the traditions of the country as to government control. Most nations had some form of price control by the government in the interwar period. In some, controls were designed only to pre vent unfair competition. In some, rents were also regulated because of housing shortages. In certain countries, prices of specific commod ities regarded as particularly important to the national economy were subject to government control. In other countries, prices generally were subject to government control before the outbreak of the war—notably in New Zealand, the Union of Soviet Socialist Republics, Norway, Denmark, Switzerland, Mexico, Chile, Italy, Germany, and Japan. At the outbreak of hostilities, price ceilings for a large number of essential raw materials and consumers’ goods were set by some gov ernments immediately. Others, Canada for example, limited price controls in the early part of the war largely to informal agreements with the trade to restrain prices, and did not establish formal con trols generally until several months, or even a year or more, after the war began. In some countries, price ceilings have been set for all goods and services. In others, as for example in the United Kingdom, prices of goods and services which were regarded as essential in wartime were strictly regulated, but no attempt was made to regulate prices of goods which were not considered necessaries. It was thought that this procedure insured effective policing of price ceilings for the goods which every family must have, without diverting manpower (needed for war production) to policing prices charged for luxury and semi luxury goods which it was possible to do without as long as hostilities continued. Many countries have resorted to subsidies for food and some other necessaries either at the producers’, the wholesalers’, or the retailers’ 1 Prepared by Faith M . Williams, Bureau Consultant on Costs and Standards of Living, with the assist ance of the staff on foreign labor conditions. See the October M onthly Labor Review for statistics of price trends during the war period. 882 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 883 level to maintain prices at the ceilings fixed, in spite of increased production costs. Subsidies to producers encouraged the production required at a lower cost to the whole population than would have resulted if pri mary-market prices had been allowed to rise and distribution charges at each level had been computed on the basis of increased prices. In some cases, subsidies were granted to high-cost producers of war materials who would not have been able to operate under the ceilings set for the industry as a whole. Subsidies were introduced at the wholesalers’ or retailers’ level when primary-market prices had risen, but the stabilization of prices at retail was regarded as necessary in order to prevent undue increases in living costs. In the countries which were invaded by the Axis powers, pricecontrol measures have proved largely ineffective because of the extreme shortages caused by the destruction of production equipment and transportation facilities, and the disruption of government administration. In most countries from which reports are available, certain essen tial foods were rationed during the war period, and food rationing continues even in countries with export surpluses because of the general shortage of food around the world. The cessation of hostili ties has made it possible to increase food rations in some countries recently but in others rations have been decreased. Bad weather in a number of important food-producing countries and the disruption of production caused by the war have combined to keep world food supplies far below prewar levels. Food production in continental Europe and North Africa is estimated as 25 percent below the 1935-39 average in 1944-45. It is clear that large exports from areas having food surpluses will be required to avert general disaster. Production in Occupied China, the Philippines, Siam, French Indo-China, and Japan was also below the prewar average this year, and the food situation in East Asia is serious. In most countries certain essential articles of clothing were rationed during the war period and in some countries, rationing covered cloth ing of all types and housefurnishings. In addition, tires and gasoline were rationed in many areas and other essential consumer goods were allocated only to persons who had lost their possessions as a result of enemy action. New Zealand Price control was in effect in New Zealand before the European war. Under the Prevention of Profiteering Act of 1936, prices were not to be raised above those in effect on June 1, 1936, unless the in creases were “reasonable.” The Primary Products Marketing Act of 1936 provided for the fixing of prices of butter, cheese, eggs, fruit and honey, hops, and potatoes. Maximum prices were set for a wide variety of foods which the Government marketed at wholesale. Certain categories of rent were regulated under the Fair Rents Act of June 1936. These measures continued in effect during the war, in addition to the specifically wartime controls. Immediately following the outbreak of war, prices were frozen at the September 1, 1939, level. However, within a few weeks, the Price Tribunal was authorized to grant increases for goods with in670119— 45------ 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 884 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 creased costs, though the seller might be required to absorb part or all of the increases when gross profits seemed high; replacement costs were not included in computing permitted price increases. In August 1941, it was announced that the retail prices of 38 essential commodities were to be stabilized at the September 1, 1941, level, using standardization, improvements in the organization of produc tion, and subsidies where necessary; the commodities included food stuffs, New Zealand-made clothing and footwear, streetcar fares, and fuel and light. No increases in these commodities were to be permitted by the Price Tribunal, which continued to hear applications for price increases, even for stabilized items, and to recommend methods of stabilizing prices, when increased costs could not be absorbed. The policy was one of stabilizing the price of each item separately. Ra tioning was applied in April 1942 and was extended as shortages developed, covering meat, sugar, butter, tea, clothing, footwear, etc. By November 1942, the retail-price index was 14.3 percent higher than in August 1939, and in December 1942 regulations were issued promulgating a new stabilization policy. In order to provide the Government with a more effective check on price trends than had been available hitherto, a new wartime index of retail prices was prepared. It covered a broader range of commodities and services than the earlier index and included all items which were regarded as essential to a wartime standard of living and which the Government intended to control. Instead of trying to stabilize the price of each item separately, however, the Government aimed at stabilizing the wartime index. Thus, increases in some prices might be offset by reductions in others. Rents other than those of dwelling houses, which were covered by the Fair Rents Act, were fixed at the rent payable on September 1, 1942, although a “fair rent” above that amount could be determined. Subsidies were utilized extensively, totaling 3.5 million pounds in 1943-44, and being estimated at 5.4 million pounds for 1944-45; items subsidized included sugar, wheat, hides, etc. Australia Price control became effective in Australia in October 1939, under an order providing that certain products should not sell at higher levels than on August 31, 1939, unless it could be shown that unavoid able increases in costs had occurred. This order was superseded by the National Security (Price) Regulations of 1940, which prohibited any unauthorized increases in wholesale or retail prices. At first, allowance was also made for maintaining a constant ratio between profits and costs, but in April 1942 it was decided that the total profits of any business should not exceed those of April 15, 1942, assuming the same volume of business and notwithstanding any rise in the value of sales resulting from higher costs. Rent restrictions were instituted early in the war and differed in form, depending upon the tenants and kind of property. In general, increases were made con tingent on obtaining official permission. On April 12, 1943, rigid general ceiling prices were introduced, the maximum being fixed at the levels current on that date. All com modities on the civilian market were subjected to stabilization, it being the deliberate public policy to include goods outside the coverage of the official price index. To maintain the ceilings, the Government https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 885 subsidized producers and traders for any advances occurring after the price freeze. The subsidy even extended to wage increases. During 1943-44, the total cost of the subsidy was 7 million pounds, and in 1944-45 it was 12 million pounds. Items that bulked large in the respective totals were tea, potatoes, milk, firewood, essential imports (particularly textiles), and wage increases. Essential con sumer goods gradually brought under consumer rationing were cloth ing, footwear, certain household drapery goods, butter, tea, sugar, gasoline, and meat. Many additional items were rationed at the source, by the restriction of supplies of raw materials and labor. From the date of the stabilization program (that is from the end of the March quarter of 1943) to the first quarter of 1945, the price index for all household commodities remained constant. Canada a On September 3, 1939, Canada established control of the supply and prices of the “ necessaries of life.” In addition, prices of specifi cally war materials were controlled. During the following 2 years, control consisted largely of informal agreements with the trade, to restrain prices; efforts to increase supplies; and a few formal price ¡controls during emergencies only (wool, sugar, and butter). Control of housing rentals was established in September 1940, and certain areas were put under formal price-control orders. In the fall of 1941, prices advanced more rapidly and increases were more widespread than during the previous 2 years. Accordingly, a general price ceiling was announced in October 1941, centralizing regulation of all prices of goods and of certain services—at all levels of distribution—under the jurisdiction of the Wartime Prices and Trade Board, and freezing prices of most of them at the highest prices charged in the period September 15 to October 11, 1941. Cer tain exceptions were made, such as sales by the primary producer of a wide range of foods, but even in these cases prices could not be more than “ reasonable or just.” Rent control was extended to include all except farm land, and maximum rental for those properties not already controlled was established at the rate in effect on October 11, 1941. Consumer rationing on a relatively very limited scale was adopted for some products, such as several foods (sugar, butter, preserves, and meat, formerly also tea and coffee), tires, and gasoline. Subsidies were used freely, as well as remission of duties and bulk purchasing for resale, any losses being absorbed by the Government. Subsidies were restricted to essential consumer goods; they were utilized for many foods, such as tea, rice, oranges, butter, milk, groceries, and canned fruits and vegetables, and for coal, petroleum and its products, fertilizers and chemicals, raw cotton and wool and their products, raw hides and skins and their products, lumber, foot wear, woodenware, and other products. In the first 6 months after December 1941, the amount paid in subsidies amounted to 4 million dollars; for the period between December 1, 1941, and December 31, 1944, expenditures totaled 230.8 million dollars (including^direct sub sidies and trading losses of four administrative agencies). As_ a result of the measures, the cost-of-living index for Canadian cities rose only 2.8 percent from October 1941 to April 1945. 2 See Price Control in Canada, in M onthly Labor Review, August 1945 (p. 243). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 886 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 United Kingdom Responsibility for the public control of prices of raw materials and of food was assumed by the British Government at the outset of hos tilities in 1939; other goods bought by consumers were soon controlled; and. rents had been regulated since 1915. The State became the sole importer and sole buyer of many raw materials, but followed the policy of permitting the preexisting wholesale and retail distributive system to be maintained by allowing all reasonably efficient traders to con tinue in business. On the consumer side, pressure on supplies was checked by the early introduction of rationing, which started with bacon, ham, butter, and sugar, and was gradually extended to most of the scarce foods and to clothing, and by the introduction of utility goods designed to meet essential needs in the most economical manner. Living costs mounted rapidly during the first 4 months of the war, when prices of consumer goods other than food were still uncon trolled. Chief causes of the rise were the depreciation of the pound sterling, rising prices in the countries from which goods were imported, and sharp advances in shipping costs. Subsequently, shipping costs and insurance rates continued to increase. Under the Prices of Goods Act, which was enacted in 1939 and be came operative on January 1, 1940, the Board of Trade was em powered to freeze the price of any goods at the level prevailing on August 21, 1939, subject to adjustment for changes in costs. Per mitted changes in prices were limited to those “reasonably justified in view of changes in the business,” and this provision was interpreted to cover only the amount of increased cost, leaving the profit margin at the same money level and not permitting a percentage rise. The net result of the interplay of pressure on prices and of controls was that the official cost-of-living index increased by 28 percent between September , 1939, and April , 1941. Beginning in the latter month, the Government successfully under took to stabilize consumer prices, as measured by the official cost-ofliving index, at not more than 30 percent above the prewar level. Under the Goods and Services (Price Control) Act, effective July 22, 1941, the Board of Trade was empowered to fix maximum price orders covering any stage of production or consumption and not merely to freeze prices as had been provided by the 1939 price law. Another important factor in stabilization was the doubling of subsidies in 1941 as compared with 1940. Initially, subsidies had been placed on flour, bread, meat, bacon, and milk, and were later extended to other com modities. Estimated expenditures by way of subsidy in 1945 total 225 million pounds, of which 65 million pounds are for bread, flour, and oatmeal, 26 million for bacon and other meat, 40 million for milk, cheese, and eggs, 17 million for sugar, 3 million for tea, 28 million for potatoes, and 46 million pounds for other commodities. The amounts spent annually for subsidies from 1938 through 1945 are shown in the accompanying statement. 1 1938 1939. 1940 1941. 1 Estimated. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 £15, 000, 000 1942 20, 000, 000 1943 _ 70, 000, 000 1944. 140, 000, 000 1945. . £175, 000, 000 - 190, 000, 000 - 220, 000, 000 A 225, 000, 000 PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 887 In the budget statement of April 1944, the Chancellor of the Ex chequer stated that it might be necessary to allow the cost-of-living index to rise 35 percent from the prewar level instead of 30 percent. However, by July 1, 1945, the index, having reached its maximum in World War II, was 33.5 percent higher than at the outbreak of war in Europe. Union of Soviet Socialist Republics The Soviet civilian supply of foods and goods was seriously cut by the German invasion in June 1941 and the continued demands of the Soviet armed forces. So grave was the situation that rationing was introduced in July 1941, after a period of about 6 years of nonration ing. For purposes of rationing, the civilian urban population was divided into the following five categories, in descending order of size of rations received: (1) Manual workers in war industries, (2) other manual workers, (3) white-collar workers, (4) dependents over 12 years of age, and (5) children under 12. For example, in 1942 bread (the principal item of food) was rationed daily to the five population categories as follows: Those in class 1 received 28 ounces; those in class 2, 21 ounces; those in class 3, 18 ounces; and those in classes 4 and 5, 14 ounces. The customary wartime diet of the Soviet worker included cabbage and potatoes, in addition to bread. Very little meat, if any, was available to civilians during the war period. In March 1943, the bread ration for manual workers in war indus tries was reduced to 25 ounces, but miners and workers performing extra-heavy work were entitled to a special ration of 35 ounces of bread a day. In addition, workers fulfilling or exceeding their pro duction quotas received supplemental food rations. Such workers also had priority in purchasing goods that were too scarce for general rationing. Price fixing was essential in carrying on the distribution of the rationed foods and goods, and prices were frozen during the war period. The consumer, moreover, could buy his rations only at the store where he was registered. Civilians could supplement their food rations by planting individual gardens (in 1944, some 16.5 million workers had done this) and by buying on the inflated-price free market or, after April 1944, in spe cial Government-controlled stores. In contrast to the “frozen” prices of rationed foods and goods, prices on the free market in the Soviet Union are uncontrolled. Prices of certain commodities on the free market and in the special Government stores selling foods and goods on a nonrationed basis are available for certain dates. In Moscow, in April 1944, the un controlled prices on the free market were about 30 to 40 times higher than the prices that the Government asked for corresponding foods that were rationed. This indicated a steep wartime rise in prices on the free market, for in January 1940 free-market prices of meats and eggs in Moscow were only half again as high as the fixed prices in Government stores; the price of milk was 1% times higher; the price of potatoes proved to be the exception by being 12 times higher. The free market is supplied by collective farmers who want to sell or barter any of their share of the collective-farm produce or of the products from their own gardens. Free-market prices vary from city to city and are progressively higher east of Moscow; in the summer of 1943 freemarket prices on the Siberian coast were on the average about twice https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 888 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 as high as Moscow prices. In evaluating these figures, it is important to remember that only a very small part of the goods produced in Kussia is sold on the free market. Most of the goods produced are rationed and sold at ceiling prices. Goods sold on the free market are those for which production quotas were not established in plans for the year. The establishment, in several large cities in mid-April 1944, of special Government-controlled department stores, food shops, and restaurants served to stabilize or reduce prices on the free market. The Government made available some foods and other goods on a nonrationed basis, at prices approximating or lower than those on the free market. Factory workers were allowed a 10-percent discount, Government employees a 20-percent discount, and heroes of the Soviet Union and other distinguished citizens a 40-percent discount. As a result of this Government action, it was reported that by AugustSeptember 1944 prices on the free market, as compared with prices of a year before, had decreased as follows: Meats, 66.7 percent; milk, 70 percent; potatoes, 28.6 percent; onions, 40 percent; cucumbers, 75 percent; and carrots, 50 percent. According to Izvestia (Decem ber 21, 1944), the opening of these special Government-controlled stores indicates the stimulation of war-interrupted production in the textile, shoe, haberdashery, perfumery, pastry, and other consumergoods industries. France On September 1, 1939, a decree law was passed in France providing for strict limitation of the profits of private enterprise working in the interest of the nation. Similar restrictions were placed on the profits of other enterprises by a decree of September 9. A price-stabilization law followed on October 21, 1940, after the country had been occupied by the enemy. The price structure was then geared to German economic policy. Large proportions of the goods produced in France during the German occupation were shipped into Germany. On liberation, the returning French Government undertook to retain the price-fixing system, with modifications designed to make the arrangements more equitable, but the machinery did not operate successfully. Price rises continued, owing to shortages of supplies, inadequate transportation, wage increases, hoarding, and inability to enforce the price controls. The continuance of rationing of most essential food and clothing items and Government subsidies on food products and basic industrial products to a total of 40 billion francs (for an unstated period) were ineffective in halting either the price rise or the black market. In an effort to avoid placing a heavy burden on future generations by reason of subsidies, the Government determined to pursue a changed policy in the spring of 1945. This program was presented by the Minister of Finance and National Economy, who stated that effective stabilization of prices and salaries would require courageous measures, that is, the absorption into prices of certain costs such as wage in creases already granted (and a fraction of certain others) and the full cost of fuel and raw materials, including the payment of costs of wheat for bread that was formerly subsidized from public funds. Once these and other adjustments were made, enterprises would be expected to meet their own price problems by recourse to economies and by in https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 889 creasing production; wages would be stabilized. Rents were to remain frozen for workers’ dwellings throughout 1945. Regarding agricul tural prices, some upward adjustment was considered to be warranted on livestock, and a bonus was believed to be in the interest of insuring an increase in milk production during the winter of 1945-46. For the Government’s part, it would exchange old bank notes for a new issue and would control credit. For the 1945 growing season, the French Government removed fresh fruit and vegetables from price control and undertook to estab lish retail “token” shops in Paris and other major cities in which such products were to be sold at fair prices. It was hoped that such shops would operate to drive the regular distributors’ prices down to a fair level. ItalyFascist Italy .—The first central price committee in Italy was initiated by the Fascist Government in Italy in 1935, and soon after the outbreak of war in Europe the Government adopted rationing for individual consumers. Beginning in July 1941, food prices were regulated by a committee attached to the national directorate of the Fascist Party, and rationing was extended. Nevertheless, prices rose rapidly. The cost-of-living index for 50 Italian cities, which stood at 77.5 in 1935 (1928 = 100), reached 99.1 in 1938 and 102 in 1939. During the same periods, the food index rose from 72.8 to 93.0 and to 96.0. By June 1942 (the latest date for which this series is available) these indexes (1929 = 100) had risen to 162 and 172, respectively. Liberated Italy .—For the period of Allied-Italian control over liber ated Italy, as well as the latter part of the Fascist regime, neither satis factory indexes nor price lists are available. In March 1944, the Allied authorities froze prices of a number of foods, daily necessaries, and public utilities and an Allied Military Government decree required the posting of fixed price lists twice a month. The compulsory collec tion of grain, oil, livestock, and other commodities was continued. Fertilizers, important raw materials, etc., were allocated by the Allied authorities. Coupon rationing was complicated by problems of transportation as well as of supply from Italian and Allied sources. A High Food Commissioner of the Italian Government, with power to fix prices, control supply and distribution, and requisition supplies, collaborated with the Allies in establishing ration scales, which varied for different categories of consumers. Until March 1945, government subsidy kept the price of bread down to 5 lire per kilogram, but at a cost of some 10 billion lire annually. The system of price control and ration ing was extended as the area of liberated Italy grew. Increases in wages and cost of living and family allowances and increases in prices operated in a cycle, while compulsory pooling of agricultural supplies became more ineffective and the quantity ofhre in circulation (14 times as great in early 1945 as in 1938) expanded. A cost-of-living index (November 1940=100) for Rome (from the Rome Chamber of Labor) stood at 400 in November 1943 and 1070 in December 1944. An index of the monthly cost of a food budget, providing 2,200 calories daily for a family of 3.9 consuming units (based upon data from the Central Statistical Institute and the Allied https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 890 M ONTHLY LABOR REVIEW— NOVEMBER 194 5 Labor Subcommission, with 1938=100), reached 100.9 in 1939, 134.4 in 1941, 544.8 in 1943, and 2229.4 in November 1944. The black market operated openly, providing a market for those sellers who did not wish to take Government prices in the pools (ammassi centrali) and a source of supply for those buyers who could afford to supplement their rations. The Labor Subcommission esti mated that of a food budget of 171.8 kilograms, 39.0 percent was obtainable by ration card and 61.0 percent only on the black market in September 1942, and 23.4 and 26.2 percent by ration card and 76.6 and 73.8 percent on the black market in September of 1943 and 1944, respectively. In March 1945 about one-twelfth of the theoretical budget of a family of five, providing 2,200 calories daily per consuming unit, could be obtained by ration card; the remainder would have to come from other sources—obviously the black market. The Italian rationing authorities, in collaboration with the Allied Commission, established different categories of consumers, whose rations differed in quantity and kind. Children and the aged, for example, were entitled to a larger sugar ration, and expectant and nursing mothers were entitled to an extra milk ration. The actual distribution of supplementary foods to persons in need has been irregular, however, and uncertain. The daily ration, in ounces, of the two major foods for the principal categories of the population, was as follows: Bread (ounces) Allied diplomats______________________ ■_______________ Policem en and o th e r public secu rity officers__________ Merchant seamen________________________________ H o sp ital p a tie n ts _____________________________________ Refugees in camps------------------------ -------------------I _ _ I I Civil prisoners------------------------------------------Ita lia n arm y in d u c te e s_______________________________ Ita lia n civilians______________________________________ 17. 14. 14. 12 . 64 99 99 35 10.58 8. 82 8. 82 7. 05 Spaghetti (ounces) 7_ 05 3 . 00 3 qo 3. 53 3.53 2. 82 2. 82 2 . 82 Some suggestion of how present food shortages are affecting the Italian people is provided by recent data on mortality rates. In 1944 the death rate in Rome was approximately 50 percent greater than in 1937 and it exceeded the birth rate for the first time since the epidemic of 1918. The largest number of deaths was attributed to “heart failure/’ and the second largest to tuberculosis. The infant mortality rate is reported to be approximately 50 percent; and the press states that in one foundling home 40 percent of the children are dying of malnutrition. Norway In the interwar period, control of certain prices in Norway was vested in a Cartel Control Board. Price controls initiated in Sep tember 1939 were therefore merely an enlargement of regulations already in operation. In September 1940, after the German occupation of the country, a Price Directorate was established by the Quisling Government which set prices and rations and had extensive powers to investigate the records of producers and distributors and to fine or imprison persons who violated its decrees. There was an extensive black market, as the Norwegians regarded black-market purchases as a means of hampering the German administration. Black-market prices are not reflected in the official statistics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 891 Industrial materials, foodstuffs and other consumer goods, trans portation, and use of communications facilities were rationed. Meat was available to the general pùblic only on certain holidays; although some persons in the employ of the German Government had almost half a pound a week, the average person received only about 2 pounds a year. Whole milk was generally reserved for children; adults had rations of skimmed milk. Vegetable rations fluctuated with supply. Wheat, rye, and potato flour, bread, and cakes constituted a single ration unit and consumers distributed their purchases among these items as they saw fit. Clothes were rationed on a point system. Raw materials were allocated to manufacturers on a quota basis. During the occupation, the first consideration in making allocations was to supply producers of goods ordered by the German Government. At the time of the liberation, it was decided that the continuance of controls of prices and wages and rationing would be necessary for a while because of shortages of goods of all kinds. In a statement of June 9, 1945, in the Arbeiderbladet, the Price Director of the free Norwegian Government pointed out that, with the amount of cur rency in circulation and the short supplies, the danger of inflation was imminent. He stated that the new decree on controls was “only of a temporary and extraordinary character,” and that it was desirable that the Storting consider this entire matter as soon as possible. Denmark Price control over certain goods which enter into foreign trade was established in Denmark in 1937. Ceiling prices, established by the Germans the day after the occupation, were soon ineffective owing to the withdrawal of ceiling prices on agricultural products and inclusion of the increased cost of production in the prices of other commodities. The laws of May 30, 1940, supplemented by theHaw of November 22, 1941, however, strengthened the controls. In view of German dependence on Denmark as a source of food supply, prices paid for agricultural products were allowed to rise rapidly between August 1939 and April 1940. Thereafter, subsidies were granted to producers to keep down the prices of staple goods. In 1942-43 these, together with direct rebates on food and clothing to needy consumers, amounted to 158 million crowns. The black market was relatively inactive. Sweden Sweden’s economic life was practically untouched during the first 6 months of the war, thus permitting the testing of the emergency system before it was put into full operation after the blockade of April 1940. The State Food Commission was established in October 1939, the official Fuel Commission in July 1940, and the State Price Control Board in June 1941. Rationing of food and fuel was insti tuted as necessary to prevent shortages and hoarding, and subsidies were maintained on the most important foodstuffs. By the beginning of the fourth year of war (September 1942), because of the blockade and the very poor harvests of 1940 and 1941, it was necessary to ration foods representing 70 percent of Sweden’s total food] con sumption. Milk and fish are the^only important foods which have https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 892 MONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 been unrationed. Clothing was rationed from December 30, 1941, and shoes from May 1943. Poland In the summer of 1941, after the Russian retreat, all of prewar Poland came under German control, and strict price control, wage control, and rationing were instituted. The industrial parts of western and northwestern Poland, with about 10 million people, were incor porated into the German Reich, and prices, wages, and rationing conformed to the system for Germany. In the remaining territory of Poland, prices, wages, and rations were also strictly regulated. However, non-Germans received lower wages and lower rations; Poles received rations which constituted only about half the normal requirements for health, and Jews were entitled to only about half the inadequate rations received by other Polish citizens. As a result of the low rations, black-market prices are reported to have risen to 500 percent of 1939 prices by 1941, and subsequently became much higher still. In 1942, when the food situation was the worst, actual famine occurred in many localities. The food situation became less critical by the autumn of 1943. On October 1, 1944, the Polish Committee of National Liberation introduced a ration-card system in liberated Polish territory, providing for larger and more adequate rations of food and other consumer goods at prices fixed by the State. Switzerland As the Swiss Price Control Office was established as early as 1932, Switzerland at the outbreak of the war had an experienced agency to cope with emergencies. Its chief weapon was the right to enforce price ceilings. Another Government measure was the establishment of a fund from which profits on similar articles could be equalized. Under the 1932 law~s, a grain reserve had been accumulated, which at the outbreak of the war totaled 80,000 metric tons. Bread was not rationed during the first 3 years of war; thereafter a ration of 7.9 ounces per day was set, which was increased during the fifth war year to 8.8 ounces. Government subsidy kept down the price of the bread. Rationing in 1944 included all staple foods except fruits and vegetables. Switzerland was forced to rely almost exclusively on German coal throughout the war, and the prices rose 80 to 90 percent during the first war years. Egypt Maximum prices of some foods were fixed in 1940 and the system was extended in 1941 to include cereals, flour, bread, and later rice and rice flour. Eventually the Government became the sole buyer of the wheat and corn and other essential food crops. Rents were frozen at 12 percent above the April 1, 1941, level. Control to pre vent war profiteering began early in the war, and decrees of 1943 regulated sales of retailers, wholesalers, and manufacturers and limited commercial profits. In spite of these and other devices, the wholesale price index (1935=100) stood at 322 in February 1945, and the costof-living index (June, July, and August 1939= 100) at’294. In Egypt, as in other countries of the Middle East, production' and import https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 893 control was carried on in cooperation with the Middle East Supply Center—a British and American war agency. Iran A Price Stabilization Section was created in the Ministry of Finance in Iran, and it acted with the Middle East Supply Center in allotting import quotas for Iran. The Finance Ministry controlled the licens ing of private dealers, the distribution of rationed and unrationed goods, and the Government stores. Although the Government placed sugar, cotton piece goods, tea, wheat, and other items under Govern ment monopoly, the distribution of the available supplies in the Provinces was difficult. Palestine The Government of Palestine adopted price fixing as early as 1940, and maximum-price orders were issued from time to time for milk and other dairy products, meat, and various vegetables. The Gov ernment also subsidized wheat, flour, and millet, and assumed control of imported wheat and flour. Certain foods (meat, bread, sugar, vegetable oil, cocoa, etc.) were rationed by a point system in urban areas and by allocation in villages and semi-urban areas (the source of supply to retailers being under Government control). These measures were accompanied by others which limited the amount of currency in circulation (increased income and land taxes and the sale of defense bonds). Mexico Price control was established in Mexico by a decree of June 25, 1937. This measure gave the Department of National Economy control over the production, distribution, and prices of all commodities regarded as of fundamental importance. Prices continued to rise, however, and in July 1938 a Federal Regulatory Committee of the Food Market was authorized to fix and to advertise the prices at which specified food products were to be sold to producers and to consumers. The organization was also empowered to purchase and to import wheat, rice, and corn for the purpose of lowering prices. The committee’s chief function proved to be the Importation of wheat and lard to meet a serious national deficit. In 1939, the Government opened a number of retail stores to sell staple commodities such as rice, flour, corn, and sugar, and price ceilings were established for these commodities. In addition, legisla tion provided for export control of goods needed in Mexico. The Federal Regulatory Committee of the Food Market was dis solved when a decree of May 3, 1941, established the National Dis tribution and Regulating Company (“Reguladora”) under the Min istry of National Economy. The new agency was “to regulate the prices of commodities of prime necessity, or of those which serve as raw materials in the manufacture of products of that nature, and to assure fair prices to the producers and consumers.” Later (April 23, 1942), Reguladora was directed to purchase the total production of certain vital foodstuffs, and to sell them directly to merchants “in order to prevent speculation and profiteering.” ActingAupon that https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 894 MONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 authority, Reguladora in 1942 intervened directly in the Mexican market and bought and sold 60 percent of the rice, about 85 percent of the lard, and from 60 to 70 percent of the corn consumed in the country. In the meantime, the Secretary of National Economy was given the power to compel all persons holding large stocks of certain im portant items to put them on sale at prices not in excess of the legal maximum. Merchants were ordered to display a list of prices of all the articles named and a decree of April 13, 1942, required a monthly declaration of stocks on hand of articles of prime necessity by all farmers, merchants, and shop owners with a capital of more than 10,000 pesos, engaged in buying and selling one or more articles of food considered as of prime necessity, to register in the Department of National Economy, and thereafter to make weekly declarations concerning their stocks of such items. Further intervention in marketing operations was sanctioned by a decree published March 2, 1943. This measure authorized the estab lishment of a Consortium by Reguladora and three other Government agencies—the National Bank of Agricultural Credit, the National Bank of Ejidal Credit, and the Importing & Exporting Co. In order to maintain price stability, protect producers and-consumers, and prevent speculation, the Consortium was empowered to acquire rice, beans, corn, and wheat at fair prices. It was also given the control of exports. Absolute control over the prices and transportation of foodstuffs was established by an executive decree promulgated May 18, 1943. The price-control machinery was reorganized in February 1944 when a presidential decree abolished the Consortium and transferred Regu ladora and the price-control activities to the Ministry of Finance. Since that time, emphasis has been placed upon increasing the pro duction of foodstuffs by the extension of credit to producers and by giving Reguladora authority to enter any market and control it to the extent needed. Probably the most effective price-control mea sures have been Reguladora’s imports of large quantities of basic food items, thereby increasing available supplies. Despite the efforts of the Government to control them, prices and the cost of living have risen almost continuously in recent years. An exception to this general statement as to price-control measures has been the price ceilings for pharmaceutical products, established by the Ministry of Public Health since July 1942. These ceilings are said to have been generally well observed, having had the backing of public opinion as well as active enforcement by Public Health in spectors. Aside from import control of commodities allocated to Mexico by the United States, designed to complement the United States allocation and export-control system, Mexico has not resorted to rationing, except for rubber, rubber products, and cement, B razil Under the Coordinator of Economic Mobilization, who was ap pointed in September 1942, municipal price commissions were created in Brazil on January 10, 1943. Temporary price ceilings were estab lished for foodstuffs and basic commodities, at the levels of December 1, 1942, and the commissions were directed to ascertain what prices https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 895 were charged on that date by producers and wholesale and retail dealers. By that time, the cost-of-living index for Bio de Janeiro had risen 23 percent above its August 1939 level. The price commissions were authorized to publish and enforce the observance of maximum prices set for foodstuffs and “commercial” products of necessity to the less-privileged classes. Subsequent orders of the Coordinator fixed prices of all merchandise for which ceilings had not been issued earlier, froze transportation rates at November 10, 1943, levels, prohibited profits greater than 10 percent on certain articles, and established the conditions of their sale. Nevertheless, the Bio de Janeiro cost-of-living index rose almost 27 percent between January 1942 and May 1944. In that month the Coordinator placed prices for 10 articles under the control of the Federal Government, assumed control of export permits, and an nounced plans for further price-control measures. The Bio de Janeiro index continued to rise, however, through March 1945, the latest date for which the series is available in Washington. In May 1945, a plan was announced to abolish the Office of the Coordinator of Economic Mobilization and to transfer most of its functions to other Government agencies. Bolivia Price control in Bolivia developed from governmental efforts to check speculation in the distribution and sale of imported foods and commodities. The nation-is largely dependent upon other countries for its supplies of food and most other consumer goods, and the in adequacy of transportation and distribution facilities encourages speculation. Until June 1941, Government regulation of prices in Bolivia was carried out under the direction of the Ministry of National Economy through the powers granted by a law of 1938 intended to prevent speculation. The Minister, however, exercised his pricecontrol function directly only in La Paz; in the Departments, prices were fixed by price-regulation committees under his supervision and with his approval. These committees were composed of the Prefect of the Department, an agent of the Central Bank, and the local inspector of commerce and industry. Prices were determined on the basis of cost, plus profit and overhead. The Ministry of National Economy was also given the authority, on June 21, 1941, to regulate prices of imported articles of subsistence and of articles of national production. A decree of September 17, 1941, governing the prices of all commodities, established 5 categories of merchandise—live animals, articles of subsistence, raw materials, manufactured articles, and gold and silver. On these 5 groups, the decree set profit and overhead percentages which varied according to two factors—the type of merchandise, and the activity of the merchant (i. e. whether importer, wholesaler, or retailer). The decree also required merchants to display price lists and use price tags on articles for which prices had been fixed. No general price ceilings were established and there was no general rationing system. In May 1943, the Office of Price Control was established under the supervision of the Ministry of National Economy. The Office was authorized to establish and maintain fixed prices for all articles of consumption, services, and rents; to ration articles subject to import https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 896 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 quotas; and to act as a court in hearing charges of violations of its price-control regulations. Each Department was to have a price administrator and a price-control council, and within the Departments, each Territory was to have a price-control council. The Office of Price Control was empowered to use the services of the inspectors of commerce and industry who previously had been assisting in the enforcement of price-control measures in the various Departments. Within a year of its establishment, the Office of Price Control was abolished (April 30, 1944). Control of prices for farm products and foods of prime necessity reverted to the municipalities, with the Ministry of National Economy continuing its former functions with regard to price control. Chile The 1932 law providing for the Chilean Commissariat General of Subsistence and Prices did not go into effect until July 1939. Since that date, broad powers have been granted to the Commissariat. In 1942, it was further strengthened by a budget appropriation, instead of having to rely upon income from fines imposed. Even before the war, the Commissariat had the authority to control prices, take measures to prevent hoarding and speculation, designate com modities as “articles of prime necessity,” and subject the industries concerned to regulation with regard to manufacture, imports, exports, distribution, transportation, quality, weight, and measurement. In the exercise of these powers numerous decrees were issued, fixing prices and regulating trade in a variety of articles of common con sumption, including rice, potatoes, coal, sugar, alcohol, candles, shoes, beans, and wheat. After the outbreak of the war, the Commissariat was assigned the control of wartime prices and the rationing of specified vital commod ities. It imposed a general prohibition against retail prices higher than those prevailing on August 25, 1939, and regulated wholesale prices also when necessary. Acute shortages of numerous articles were met by price controls and regulations governing distribution and consumption. Representative articles thus controlled were alu minum ingots, matches, tin plate, iron products, tires and inner tubes, paper products, sewing machines, sacking and jute, and electrical supplies. Control over the price of wheat and wheat products was vested in the Agricultural Export Board. The status of the Commissariat was changed by the Economic Law of December 1943, which placed the Commissariat under the Presi dent; control of prices in each commune was vested in Vigilance Com mittees composed of 5 members designated by the Intendant of the respective Province from the citizens of the place. The members of the Vigilance Committees were to serve for 1 year, were available for reappointment, and were to serve without pay. The Commissariat has continued to function as an executive agencj7 under the President. During the first quarter of 1945, the majority of price-control decrees published by that agency established higher wholesale and/or retail ceiling prices for foodstuffs, agricultural products, and certain industrial commodities. Such increases were only partly reflected in the official cost-of-living index for Santiago, since it includes relatively few fabricated goods. Two other decrees provided for submission of financial statements or balances and stock https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 897 declarations to the Commissariat General by all individuals or firms possessing articles of prime necessity or of habitual use or consumption. It is difficult to assess the effectiveness of the price-control activities of the Commissariat because there is no price index with a commodity or geographic coverage extensive enough to reflect the total situation. Recent reports indicate that, despite the existence of ceiling prices, there is a strong tendency toward increases in the prices of staple foodstuffs. Argentina Price control in Argentina was initiated by law No. 12,591 of September 8, 1939, which froze maximum retail prices of articles of prime necessity at the level of the first 15 days of August of that year, and authorized the executive branch of the Government to determine and enforce maximum prices to be charged by factories, wholesale dealers, and importers. Reduction of wages or salaries because of price fixing was prohibited under this law. Commodities such as food, clothing, household goods, construction materials, and equipment for lighting, heating, and sanitation were declared to be subject to regulation or expropriation. At about the same time, Government price guaranties for wheat and linseed were abolished. No general system of rationing has been organized; however, from time to time various agencies have been created or designated to supervise the distribution of scarce materials. China Controls of production, transportation, and sales of essential com modities were introduced by the Chinese Government under the regulation of 1937, which governed wartime control of agriculture, mining, and commerce. In an effort to control the price and distri bution situation in China, the Executive Yuan subsequently estab lished controls over strategic raw materials, coal, iron and steel, alcohol, cotton, and rice. A system of incentive prices for coal was initiated on August 1, 1945. Although price controls are national in scope, they have been administered locally, and have affected the conditions in the large cities primarily. Such controls have been more effective for manufactured products than for farm commodities. However, ceiling prices on manufactured goods vary between locali ties, owing to differing production costs. Price subsidies take different forms. The Chinese Government has a monopoly on all salt produced, and fixes the price. It buys cooking fats and may sell them below cost. Rice, cotton, and wheat are accepted in payment of taxes and, in addition, producers are required to lend or sell part of the rice crop to the Government at fixed prices. These commodities may be sold in the cities or supplied, as wages in kind, to Government employees, teachers and workers in Government factories, and in factories working on Government orders; these groups include most of the industrial wage earners in free China. In the last year, supplies of the blue cotton cloth which is so impor tant to the Chinese worker and his family have not been large enough to give rations to the entire population, and tickets entitling the holder to buy such cloth have been distributed from time to time by lot. Such rationing as exists is for city populations. Each individual https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 898 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 registers with a single cooperative and must purchase his rationed articles from that source. The great difficulties under which the Chinese Government has been operating during the war period are well known. Measures intended to control prices have been hampered by the fact that the major part of the war expenses of the Chinese Government has been met by borrowing from the banks, which in turn have issued currency against credits given the Government. The rise in prices has led to hoarding of commodities in anticipa tion of future price increases and to the purchase of foreign currencies by persons who anticipate returning to occupied China after the war and who wish to have foreign balances to buy production equipment for the replacement of machinery destroyed by the Japanese. The Government has met especial difficulty in increasing the available supplies of agricultural products, because of the traditional attitudes of the Chinese farmers who have not been accustomed to Govern ment controls and usually sell only enough produce to finance their needs for clothing and salt. In a period of inflation, they tend to withhold their products from the market in anticipation of higher prices later. Germany Price control, introduced toward the end of 1936 in Germany, was based on the prices prevailing on October 16, 1936, and was rigor ously enforced throughout the war. Certain adjustments to wartime conditions were reflected in the relatively slight wartime rise in the official cost-of-living index. Penalties for the violation of price regu lations were severe and speedy, even in the early period of the war; for example, in March 1941 alone, no fewer than 3,975 Berlin shop keepers were convicted of violating price regulations. However, ways were found to circumvent price control, mainly by barter which the State-controlled press in 1942 called “Public Concern No. 1.” Allied bombings and the German mobilization of manpower for the armed forces caused an increasing shortage in consumer goods and in price-control enforcement personnel. In April 1943, the Frank furter Zeitung admitted that price control had become more difficult for these reasons. The effect of the bombings was so great that, at the beginning of 1944, over 26 million people in Germany were reported by the German Labor Front as being fed in communal feed ing centers; subsequently, this number increased. Contributing greatly to the maintenance of the food situation in Germany before the last year of the war was the importation of animal products from the occupied countries. Because of this, the consumers’ level of living in Germany was higher than that of any other belligerent European State, with the possible exception of the United Kingdom. The German food situation became really serious toward the end of 1944, when the first cut in food rations to consumers was made. Other cuts followed in 1945, and the rationing system broke down completely after the capitulation of the country to the Allied Nations. Japan When increased industrial expansion began in Japan about the time of the “China incident” of 1937, the Antiprofiteering Ordinance of 1917 was revived and its control extended. Enforcement was ineffective, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICE CONTROL AND RATIONING IN FOREIGN COUNTRIES 899 and the Government began a policy of subsidization of industry. Maximum prices for raw cotton, rubber, etc., were fixed by voluntary agreement between producers and dealers. The wholesale price index was rising, however, and in 1938 the Government created an organiza tion for price fixing, with a central committee presided over by the Minister of Commerce and Industry. Official maximum prices were set for 60 important commodities. With the outbreak of war in Europe, the Government froze all wages, prices, freight rates, and other fees and charges at the level of September 18, 1939. Since prices continued to rise, the central price committee was reorganized in April 1940, and a price-policy council was attached to the Cabinet. The policy then introduced was to include better enforcement and subsidies to stimulate production. Early in 1943, an emergency price plan was announced and in November the Government again reorganized the price-control structure. The Ministry of Agriculture and Commerce was estab lished, and within it a price-control deliberative council and a pricecontrol committee. Meetings of the council began in 1944, preceded by the mobilization of a country-wide organization of price admini strative informants. By 1944, food consumption had decreased materially, and all staple foods were controlled by the Government and distributed through the Central Food Corporation which, after providing for the aimed forces and for a reserve, sold the remainder to local food corporations. These corporations, under the administra tion of the local governments, passed the supplies on to local neighbor hood associations. Food rationing based on age, sex, and type of work began in 1941. Families received ration coupons, and commodities were obtainable through the neighborhood groups on surrender of the coupons. By 1945, the caloric value of the Japanese diet had fallen by about a third. In spite of subsidies to agriculture, the farmers’ incentive to pro duction was reduced by high living expenses, and early in 1945 the Food Administration Inspection Mission estimated that there were 1,000,000 illegal peddlers of foodstuffs. In Tokyo, the retail price index of daily necessaries reached 294 in October 1944—an advance of 194 percent since the year of the “China incident” and of 110 percent since 1939. No index of illegal black-market prices is available. Rationing of textiles was started in February 1942; nearly every item of wearing apparel was rationed. Cards were issued on the point system, differentiated for rural and urban consumers, and (in 1944) for the summer and winter season, with points based on age and special conditions. The inferior quality of textiles and shoes and the ear marking of goods for military uses caused serious shortages. In order to make economic regulation effective during the war, the Japanese Government created control societies in the fields of produc tion, distribution, and transportation. These eventually became business corporations attached to the various ministries. The control society of each industry had the responsibility of developing maxi mum production under complete Government control. Great com plexity in business procedures developed, as well as opposition to interference with the profit motive, which may have aided in the development of widespread black-market operation in foods, war materials, and labor. 670119— 45------ 5 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Discharged Soldiers Benefits fo r Ex-Servicemen in Five B ritish Countries and the U nited States 1 MEMBERS of the armed forces in Great Britain and the British Dominions are being granted certain benefits when they are discharged from the services which are designed to ease the transition from mili tary to civilian life and which are similar in many respects to those granted in the United States. Some of these benefits are financial; others facilitate training for useful peacetime employment. The present article summarizes the different forms of veterans’ aid in the United States, Australia, Canada, Great Britain, New Zealand, and the Union of South Africa.2 The benefits described are those for the physically fit, honorably discharged army private of the lowest rank. Benefits for ex-servicewomen, for the disabled, for other men up to the rank of officer, for officers, and in other branches of the armed forces are not included; in some instances they are the same as for the private of lowest grade and in others they vary with the rank. Reinstatement in Civil Employment All six Governments adopted regulatory measures whereby em ployers are required to reinstate former employees on return from war service. Certain of the obligations of ex-servicemen and of their employers are shown in table 1. The preservice employment re quirement for reinstatement with the former employer is approxi mately 1 month, except in Canada where it is 3 months and in the United States where no time is prescribed. The period allowed for application for reinstatement varies from 1 month to 6 months. The time for availabliity for employment is fixed by three countries, ranging from 2 months to 6 months; in Canada and New Zealand the employer may designate the date, and in the United States no formal provision is made on this point. Reinstated employees must be retained from 6 months to 1 year except in Australia which did not fix a time limit; and all five foreign countries established priorities for reinstatement as between men who joined the armed forces, taking into account length of service, date of enlistment, or a combination of factors. In the United States, court rulings will determine the priority in reinstatement, as the law seems to be subject to varying interpre tations of the right or degree of right of the veteran to his former job on the basis of seniority. 1 Prepared by Margaret H . Schoenfeld and James R. Mock of the Bureau’s Foreign Labor Conditions St?B enefits available to veterans of World War II in the United States and other countries have been de scribed from time to time in the M onthly Labor Review as they were provided. 900 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 901 DISCHARGED SOLDIERS In the reinstatement laws and regulations, it is recognized that the employer’s position may have so altered that he is unable to reinstate his former employee under the conditions laid down. Such circum stances are taken into account in the different countries and the employer is required to reinstate the worker only if “reasonably practicable,” or to reinstate him in the most favorable position and under the most favorable terms possible. Penalties are fixed by all five foreign countries for acts of noncompliance with the requirements for rehiring and retaining employees, and in some instances the penal ties to which employers are subject are relatively heavy. For ex ample, in Canada an employer who is convicted of a violation of the reinstatement law is liable to a maximum fine of $5003 and the court may also order him to give the person concerned 12 weeks’ pay at the rate he was receiving when he left the employment to enter the armed forces. In the United States, veterans have recourse to the courts, with the United States attorney serving as their counsel. T a b l e 1.—Reinstatement Rights of Ex-Servicemen in 5 Foreign Countries and the United States Requirement United States Australia Canada Preservice em ploym en t... A position “other than temporary.” Application for reinstate ment. 28 days out of 56 days 3 months’ employment or immediately preced recognized employee ing war service. status. 90 days from discharge.. 1 month from discharge. 3 months from Canadian discharge, 4 months from overseas dis charge. No formal requirement.. 2 months from applica Designated by employer. tion. N ot within 1 year No fixed term _ ______ N ot within 6 months. A vailability for employ ment. Dismissal of reinstated employee. Priority in reinstatement- Subject to court inter pretation.! Requirement Great Britain Preservice em ploym ent... 4 weeks immediately preceding war service. Application for reinstate Fifth M onday following ment. discharge. Availability for employ ment. Dismissal of reinstated employee. N inth M onday follow ing discharge. N ot before 26 weeks with less than 1 year’s serv ice; not before 52 weeks with 1 year or more of service. Priority in reinstatement. Longest service em ployee who enlisted first. L o n g est-serv ice em ployee on date of en listment. N ew Zealand First to enlist. Union of South Africa 4 weeks preceding war 4 weeks preceding war service. service. 1 month from N ew Zea 6 months from discharge. land termination; 6 months from termina tion overseas. Designated by employer. 6 months from discharge; 2 months from com pletion of training. N ot within 6 months___ N ot within 12 months. First to enlist.................... First to relinquish em ployment. 1 See discussion on p. 900. s Throughout this article the'quotations in money are in"the currencies of the countries concerned. August 1945 exchange rates in terms of U. S. currency were Australian pound=$3.21; Canadian dollar=$0.90; British pound=$4.03; N ew Zealand pound=$3.22; and Union of South Africa pound=$4.01. Studies in the inter war period showed that to convert one currency into another according to the foreign exchange rate does not give an accurate measure of the relative purchasing power of money but information is not available showing the relative living costs in the United States and foreign countries. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 902 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Preference in Employment Preference afforded to veterans in employment is confined in large part to governmental services, as is shown in table 2 for national governments. Many States and municipalities provide their own systems of preference. In the United States Federal Government, except for jobs in special critical categories, only veterans may take new examinations for Civil Service positions. Names of veterans who take these examinations are placed above the names of nonveterans with equal rating on the respective Civil Service lists. The Canadian Government gives veterans preference in civil serv ice appointments, including appointments over civilians with higher ratings. Under procedure followed in the foreign countries, generally, either an absolute preference is granted to ex-servicemen or a certain quota of positions at different levels is set aside to be filled by them. Among the six countries, New Zealand is the only one in which a specific system of military preference does not appear to have been applied in public employment. T a b l e 2.-—Preference in Employment for Ex-Servicemen in 5 Foreign Countries and the United States Kind of preference United States Public employment- More than 30 Civil Service positions reserved as long as veterans are available. Kind of preference Great Britain Public employment- Specified quota in admin istrative, executive, and clerical classes. Australia Canada Positions in Common wealth Government and on public-contract work for those having over seas service. For 7 years following war, if qualified. Positions in Dominion Government; reasonable quota in war-contract work. N ew Zealand Union of South Africa N o pro vision________ Specified quota in clerical, professional, and techni cal grades. Written consent required to employ persons who have not performed war service. With regard to preference in nongovernmental pursuits, some action has been taken, notably in Australia and the Union of South Africa. Australia established a plan for preference, by legislation adopted in 1945. The Union of South Africa extends coverage to those who have performed “ war service.” However, the tendency is to regard the question of employment for veterans as a part of the general employ ment problem. For example, the report of the New Zealand Rehabil itation Board for the year ended March 31, 1944, places emphasis “ on the desirability of keeping the question of preference for exservicemen in perspective with that arising from the needs of citizens as a whole.” Although Australia has subsequently taken a strong position on veterans’ preference, the interstate executive of the Australasian Council of Trade Unions placed itself on record in 1944 with a statement that preference to returned servicemen is not in the country’s best interest and should be abandoned in favor of con centrating effort on providing employment opportunities for all citizens. These views are in line with development of governmental https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 903 DISCHARGED SOLDIERS plans for a high and stable level of employment that are being devel oped by most of the English-speaking nations and for which legislative and other action is under consideration. Financial A id The financial assistance that is provided is of three main types: (1) Money payments made at the time of discharge or shortly there after, which servicemen receive automatically; (2) special grants and loans that men may receive if qualified to run businesses (including farms), and the aid they may qualify for owing to unemployment; and (3) financial help provided for training or education if it is determined that the applicants are suitable for and in need of further courses. Discharge payments .—Great Britain and the four Dominions grant leave with pay (called a “rehabilitation grant” in Canada) to ex-service men for varying lengths of time and in most instances depending on different factors, including length of service and length of service overseas, as shown in table 3. T a b l e 3 . — Discharge Payments to Ex-Servicemen in 5 Foreign Countries and the United States Class of payment Leave with pay___ United States None 1______ Mustering-out p a y .. Less than 60 days’ service $100; more than 60 days, but no overseas service, $200; with overseas serv ice $300. W ar-service gra- N one. _________ tuity. Postwar credit or deferred pay. C loth in g _________ Australia Canada After any service, 15 days; after 6 months’ service, 30 days. Allowances during leave. After 6 months’ service 1 month. Allowances dur ing leave. 6d. per day for home serv ice; 2s. 6d. per day of combat service. $7.50 for every 30 days of volunteer service in Western Hemisphere; $15 for every 30 days over seas plus 7 days’ pay and allowance for every 6 months overseas. N one___________ 2s. per day______________ Service clothing________ An outfit Class of payment Great Britain N ew Zealand Leave with pay____ 8 weeks. Allowances dur 2 days for each month ing leave. After 6 overseas; minimum 28, months overseas, 1 day maximum 91 days. for each month overseas. Mustering-out pay.. W ar-service gra After 6 months’ service, £1 for each month in New tuity. 10s. per month. Zealand; £3 15s. for each month overseas. Postwar credit or deferred pay. Clothing____ _____ 6d. per day_______ After 6 months’ service an outfit worth £12. Is. per day of overseas service. After 6 months’ service £10, rising after 12 months' service to £25. $100. Union of South Africa Full pay and allowances in lieu of accumulated leave. After 6 months’ service, £1 10s. for each month of service, for Europeans, 10s. for colored, and 5s. for natives.2 After 3 months’ service £15 for Europeans,3 £ 9 for colored, and £ 2 plus suit and hat for natives. 1 A 45-day furlough is granted to returning m en without sufficient points for discharge; terminal leave with pay is granted only to junior officers through the rank of captain in the Army and lieutenant in the N avy. The latter leave may not exceed 3 months or the equivalent base pay for that period 2 A European is defined as of pure European descent; a colored person is one of mixed bloods; and a native is a pure-blooded aboriginal. 2 The clothing allowance was raised to £25 for Europeans on April 1, 1945; information is not available showing other increases, if any. In addition, £ 5 in cash was authorized for Europeans; information is not available regarding such a payment to others. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 904 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 A special feature of the payments provided at discharge is the continuance, during terminal leave, of allowances for dependents. In addition all live of these countries pay war-service gratuities to veter ans which in most instances are higher for service overseas than for service in the home country. The Union of South Africa differentiates between races in fixing the amount of the gratuity. A special feature in Australia and Great Britain is the postwar credit allowed to the veteran by the Government for every day of service. A similar pay ment, which is called “ deferred pay,” is granted in New Zealand and covers overseas service only. In the United States, the discharged serviceman does not receive a war-service gratuity or postwar credit, but is given mustering-out pay, varying with the length of service and increasing for overseas service. All six countries make some provision for clothing discharged men (see table 3). In Australia, Great Britain, and the United States he receives some apparel; in Canada and New Zealand, a sum of money is granted for clothing; and in the Union of South Africa, a money pay ment is made for men of all races, natives also receiving some clothing. Special grants and loans.—-The grants and loans for starting or restarting businesses, including farming, cover a wide range, as shown in table 4. Certain loans may also be applied on the purchase of homes but this phase is not discussed here, as many of the provisions are interrelated to home-ownership programs of broader coverage. The different Governments stress the fact that ex-servicemen must have practical experience or be able to show that they are fitted to carry on the work for which they seek capital to establish themselves. Great Britain is the only one of the five foreign countries which makes provision for a grant for business purposes (amounting to £150) but which does not have a scheme for loans. In Australia and New Zealand, outright grants are small and the emphasis is on loans. A Canadian veteran may receive a reestablishment grant provided he has not received a loan or training and, if fitted, may secure aid for settlement on Provincial land.4 The Government of the Union of South Africa has worked out a plan permitting the veteran to combine grants and loans, provided that the total sum shall not exceed the maximum allowable for a loan, namely £1,250. Among the five foreign countries, the range in possible loans is from £250 to £1,000, according to type of enterprise, in Australia 5 to a maximum of £6,250 in New Zealand for land and stock in a sheep-raising venture that is a going concern. The interest rates on loans and the period allowed for amortization have an important bearing on the ability of individual veterans, who qualify for aid, to take advantage of this form of assistance. In Canada, a veteran pays interest at the rate of 3% percent; he is forgiven one-third of the loan for land and buildings in repaying his indebtedness; and the loan must be paid in 25 years. Arrangements for interest payments vary in New Zealand and were recently reduced; for example, loans for tools and furniture are interest free and most of the others are granted at 2 percent the first year and 4 percent thereafter (3 per cent there after for farming and sheep raising); and the maximum amortization period is 45 years. South African loans are without interest for 5 years and then at 4 percent; loans are repayable in 15 years. 4 In the other four foreign countries land-settlement plans were discussed during hostilities but no infor mation is available to show what action has been taken. » A veteran may also receive £5 as a grant or loan, if urgently needed. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DISCHARGED SOLDIERS 905 Assistance in the United States takes various forms. Aid from the Veterans’ Administration consists of a guaranty of 50 percent of the principal of a loan up to $2,000. The interest rate is not to exceed 4 percent (paid on $2,000 by the Government during the first year), and the loan is not to run for more than 20 years. Under the Depart ment of Agriculture’s farm-ownership program, $25,000,000 was ear marked for loans to veterans, with a loan limit of $12,000 per service man. The interest rate is 3 percent, and the loan may be for 40 years. Veterans, who were rehabilitation borrowers before entering the service, and whose failure to repay 50 percent of their indebted ness is directly related to their military service, may receive supple mentary loans if required. For operating expenses, the Department of Agriculture provides short-term loans the veteran may use to buy seed,'feed, fertilizer, tools, farm machinery, and livestock. Loans are repayable in 1 to 5 years. The interest rate is 5 percent. . Veterans are also given credit for their military service—not exceed ing 2 years—for acquiring title to land under the homestead laws. Ihe serviceman must reside for 1 year on the land taken. T able 4. Special Grants and Loans to Ex-Servicemen in 5 Foreign Countries and the United States Grant or loan United States Australia Canada £10 for tools of trade, plant, and equipment, professional instruments or other equipment, ex cluding clothing. Maximum of £250 general, £500 for business, and £1,000 for farming. Lacking loan or training, a grant equal to warservice gratuity; $2,320 to .settle on Provincial land. Grants for farming, business, etc. None_ Loans for farming, business, etc. U n e m p lo y m e n t benefits. Maximum Government guaranty of $2,000 (50 percent of total loan) for farming, farm ma chinery, or business; $12,000 under farm-own ership program; $100 to $2,500 for operation on farms. $20 per week for not to exceed 52 weeks. Grant or loan Great Britain N ew Zealand Union of South Africa Grants for farming, business, etc. Maximum of £150”to re start business. £ 1 0 ln cases of hardship... Loans for farming, business, etc. None_ U n e m p lo y m e n t benefits. Under national unem ployment-insurance sys tem; veteran credited with full contribution for time in service. Maximum of £50 for tools, £100 for furniture, £500 for business, £5,0003 for farming, £6,250 3 for sheep farming, and £1,500 for separate pur chases of stock. £3 10s. to £ 6 weekly, ac cording to number of dependents for not to exceed 13 weeks. Maximum of £250 for Europeans, £150 for colored, and £100 for natives, for business in cluding farming. M axi mum £50 for Europeans for tools.3 Maximum of £1,250 for Europeans, £750 for colored, and £500 for natives, for business in eluding farming.3 £ 2 10s. to £ 4 19s. weekly, according to number of dependents, for not over 3 months within 12 months of discharge.1 $6,000 for land and build ings or land, buildings, and livestock, for small farm or for fishing proj ect. $50 per month for single, $70 per month plus al lowances for married for period of service but not to exceed 52 weeks in 18 months following dis charge.1 Military pay and allow ances until reemployed. 1 Payable also while waiting for return from farm or business. . A Eurl°,pe5ni s defined a,s of pure European descent; a colored person is one of mixed blood; and a native is a pure-blooded aboriginal. 3 Going concern. . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 906 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 Arrangements have been made to assist unemployed veterans by the establishment of special benefit systems in all of the countries covered, except Great Britain. In Britain, claims of ex-servicemen are handled under the national unemployment-insurance system in the same manner as are those of the civilian population, an unem ployed adult male receiving a combined weekly benefit of 24s. plus 16s. for an adult dependent, 5s. for the first child, and 4s. for each additional child for a maximum of 180 days. In most of the foreign countries it is notable that dependents are taken into account in fixing benefits. The duration of payments is approximately 3 months in Australia (6 months in special circumstances) and New Zealand, T a b l e 5. — Training Facilities for Ex-Servicemen Arrangements by type of training Canada Australia United States Apprenticeship Government sidy. sub- Maximum pay-----Credit for time in service. $50 to $75 per month ac cording to dependents. (')- (2) - Sufficient to bring pay to beginning journeyman’s rate.3 Determined by joint board of employers and union men. Vocational Service requirement 90 days........... - ...................... 6 m onths.---------------------- N ot specified........................ Application period- 2 years from discharge or termination of hostili ties, whichever later. 12 months from discharge or close of hostilities, whichever later. Government - approved institution or qualified enterprise. Subsistence allowance up to $50 to $75 per month, according to dependents, plus apprentice Wage, total not to exceed begin ning journeyman’s rate. Maximum 4 years6_____ Government and other schools and in service. Paym ents completed 18 months from discharge or end of war, whichever later. Training centers and in service. £3 5s. to £5 5s. weekly depending on marital status, allowances.5 $60 per month single, $80 per month married, al lowances. 3-12 months in school until efficiency is 10 percent; in service until efficiency is 100 percent. Maximum 52 weeks (with exceptions). Service requirement 90 days............ 6 months............................... N ot specified------------------ Other eligibility requirements. N ot specified- Suitable for and in need of training, interrupted education. Qualified for entrance; education interrupted by war service. Application period. 2 years from discfiarge, or termination of hostili ties, whichever later. Maximum tuition $500, and same rates as for vocational training. 12 months from discharge or end of hostilities, whichever later. Tuition and same rates as for vocational training. 15 months from date of discharge. Maximum 4 years8............ Free for 3 years; later liv ing allowance at 2 per cent interest (excluding amounts received for dependents). Period of service, subject to extension. place of training.. . P ay..................... Duration. Professional or university Financial sions. Duration. provi Fees and same rates as for vocational training. 1 Existing provisions of National Security (Apprenticeship) Regulations were being continued in July 1945. 2 Details not available. 3 Determined by joint employer-trade-union bodies for individual trades. 4 R evived for term unexpired at the date of suspension or for 3 years, whichever is shorter, if over 21 years of age; credit for full period of service if under 21 years of age. . . . , . 5 Award rate is paid after 40 percent efficiency is reached, Government supplementing wages by employer. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 907 DISCHARGED SOLDIERS 52 weeks in Canada, and in the Union of South Africa military pay and allowances are continued until the man is reemployed. How ever, if he refuses suitable work, he is placed on a reduced scale of allowances for a maximum of 4 months from the date of refusal. Benefits are paid in the United States at the rate of $20 per week for a maximum of 52 weeks. If the veteran is partly unemployed, he receives the difference between his pay and $23 per week. If he is self-employed, he may be paid the difference between what he makes and $100 per month. Training facilities .—For those men who would benefit from some form of training, provision has been made in all six countries to aid in 5 Foreign Countries and the United States Great Britain N ew Zealand Union of South Africa Arrangements by type of training Apprenticeship Maximum one-third of Sufficient to bring pay to journeyman’s rate, in level would have atcluding war bonus for tained, if not interrupt trade and district. ed. Maximum of journey- Maximum £6 (full jourm an’s rate, including neyman rate). bonus. Maximum one-third of un- Adjusted 4__________ ____ expired term of apprenticeship. (2) -------------------------- - Government subsidy. Maximum pay. Credit for time in service. Vocational Full-time service________ N ot specified------------------ Overseas service (with Full-time service .. exceptions). N ot specified____ _______ 6 months from discharge or operation of scheme. Service require ment. Application period. Government centers, technical colleges, and in service. Maximum £3 per week, allowances. Government and other training centers and in service. £5 5s. to £6 weekly, allowances. Place of training. 6 months and over_______ 3 years. Technical colleges and other institutions and in service. Maximum grant £250; loan up to £600. ____ _________ N ot specified— Pay. Duration. Professional or university N ot specified____________ N ot specified_________ . . ____do___ Service require ment. Other eligibility requirements. Training to national ad- Interrupted education ____do______ ______ _____ vantage; education in(with exceptions). terrupted or prevented by war service. __do___ N ot specified____________ N ot specified____ Applicationperiod. Adjusted to individual’s needs. Grants and loans same as for vocational training. Financial sions. N ot specified____________ Duration. N ot specified____________ Tuition and £3 3s. to £5 5s. weekly and allowances; £250 (sterling) for graduate study. Postgraduate 3 y e a r s ; other not specified. provi- • If the veteran was under the age of 25 years when he entered the service and his education was interrupted by military service he may continue vocational training or education for a period of 1 year or for the length of his service not to exceed 4 years; if over 25 years of age he must prove interruption of his education to receive more than 1 year of training and may then receive training or education for the length of his service not to exceed 4 years. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 908 M O N T H L Y LABOR REVIEW— NOVEMBER 194 5 the ex-servicemen in financing their training. Particular care is being exercised to insure that the trainees shall acquire skills and professions for which a need exists. The training here being dealt with is that involving full-time study. However, certain opportuni ties are afforded for part-time training, as well. The provisions are shown in table 5. Details of veterans’ apprenticeship plans are available for Great Britain and New Zealand. In both of these countries, the Govern ments subsidize the wages of apprentices, thereby making it possible for many mature men who have spent a number of years in the armed forces to complete their trade training at rates comparing favorably with those paid to other workers. The British veteran-apprentice receives a maximum pay equal to eleven-twelfths of that of the journeyman; in New Zealand he attains the journeyman’s rate before apprenticeship ends; and the United States Government provides that in no instance is the sum of the subsistence allowance granted by the Government and apprenticeship pay from the employer to exceed the wage of a beginning journeyman. For training acquired in the armed forces, some allowance is also made against the unex pired term of apprenticeship, thus shortening the apprenticeship period to be completed. In the United States, comparable training acquired in service is allowed in satisfying trade-apprenticeship requirements. This trade experience of the veteran is evaluated by a joint board of representatives of employers and trade-union involved. In furnishing vocational training, the foreign countries customarily give the courses free in a variety of institutions and in employer estab lishments, and pay the trainees living allowances. Various other kinds of help are afforded, including allowances for dependency and for transportation when the trainee must travel some distance between home and place of training. Another feature of the scheme is the provision of allowances to trainees who maintain their families in one place and live in another. The maximum weekly payment in such a contingency is 30s. in Australia and New Zealand; Canada pays $5, and Great Britain 24s. 6d. In the United States subsistence, tuition, and other fees are paid, but without any special allowances for such items as transportation. For professional or university education, suitability of the candi date and interruption of education appear to be the main factors in determining whether veterans in the five foreign countries shall receive advanced training. An age limitation of 25 years is fixed in the United States beyond which education is_ not deemed to have been interrupted by entrance into the service; if the veteran is older, he must prove interruption of education to receive aid for more than 1 year. The possibility of receiving educational grants is not always restricted entirely to college or university training. The Australian Government will assist qualified veterans to prepare for their higher education. During the period of “ qualifying training” (1 year full time and 2 years part time), the payments will be at the same rate as and in addition to the college-training payments. In New Zealand, the plan extends to the secondary-school level in preparing for higher education. A veteran in the United States, who is entitled to benefit by reason of capacity and service from educational and training provisions, may elect any course he desires. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DISCHARGED SOLDIERS 909 Four of the countries covered grant the same financial aid during education of other types as for vocational education. Exceptions are Great Britain where special financial arrangements are made for students taking higher education and New Zealand where the student in an academic institution receives less than the trade trainee. The duration of educational aid is kept fairly flexible and bears a direct relation to proficiency in most instances. Policy on Em ploym ent of V eterans PREFERENCE in job referrals is assured for veterans under plans of the Veterans Placement Service Board.1 The policy of the Board, which is headed by the Administrator of Veterans’ Affairs, is that every office of the U. S. Employment Service shall have a division charged with providing the veteran with “the maximum job oppor tunity in the field of gainful employment.” The Board made the following provisions regarding placement of servicemen: 1. In filling orders for workers, any qualified veteran shall be given priority over all nonveterans. On all orders specifying veterans, no nonveterans shall be referred. 2. When veterans are available for whom no order has been placed, the veterans’ representatives shall make every effort to develop an opening in the industry or profession in which the veteran is qualified. 3. Veterans needing employment counseling should be served by a specially trained counselor who should be a veteran. 4. Special preferential service shall be accorded all disabled veterans by all personnel and for all jobs for which they are qualified. 5. The veterans’ employment representative shall serve any veterans having unusual problems, and every veteran shall have the right to see the veterans’ representative. Service given under these circumstances m ay include advice and information about hospitalization, loans, and other benefits provided by Congress that are ordinarily outside the scope of the employment office. 6. Where the office has more than one station for the reception of applicants, one or more of these shall be specially designated for veterans and clearly marked. This station shall preferably be attended by a veteran. 1 Veterans Administration, Press release August 15, 1945 (OWI-4826). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ar and Postw ar Policies Postw ar Policies Regarding Foreign W orkers and P risoners of W ar 1 UNDER the War Manpower Commission, plans were made to speed the return to their homes of foreign workers who have been employed in the United States, and to halt the use of prisoners of war in nonagricultural jobs. Foreign Workmen Of the 83,000 foreign workers recruited, 67,000 were brought from Mexico to fill vacancies on American railroads, and 16,000 were brought from the West Indies (Barbados and Jamaica) and British Honduras, for work in eastern and midwestern industries. The Jamaicans and Barbadians entered the United States as civilian workers, under agreements with their Governments which did not entail personal bond. The Mexicans entered under personal con tract and personal bond of $500. The contracts for the West Indian workers are being terminated by WMC as rapidly as qualified Ameri can workers become available. Mexican railroad workeis will be returned to Mexico as rapidly as their contracts expire. These con tracts were originally for 6 months, but contracts expiring in recent months had been renewed for 90 days. With regard to the non-Mexican workers, recruitment and recontracting at Camp Murphy, Fla. (the principal WMC repatria tion center for this activity), have been discontinued and no new orders for such workers are to be accepted. If domestic labor is not available, “present employers will be permitted to continue their employment of foreign workers temporarily wherever necessary for the liquidation of war contracts and for orderly reconversion from war to peace.” Specific industries aided by the temporary foreign-worker immigra tion and the number of workers as of June 30, were as follows: Textiles, 438; foundries, 4,113; steel, 360; food processing, 3,093; ordnance, 1,837; lumber, 2,628; chemicals, 1,215; and miscellaneous industries, 2,662. Prisoners of War Since YJ-day the field offices of the WMC and the U. S. Employ ment Service offices have been reexamining certifications authorizing the employment of prisoners of war, to make certain that none is employed when domestic workers are available. Some 64,000, out i War Manpower Commission. Press releases August 22, 1945 (PM-4871), August 30, 1945 (PM-4875), and August 19,1945 (PM-4867). 910 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 911 WAR AND POSTWAR POLICIES of a total of approximately 140,000 allocated by the War Department for work in agricultural and non agricultural employment, were found to be working in food-processing plants, foundries, doing forestry and logging work, and helping out in other industries where critical labor shortages existed. The WMC reported, in August, that prisoners of war, who were performing an average of 875,000 man-days of work a month in various nonagricultural fields, were occupying hard-to-fill jobs. With the discontinuance of war production, however, American workers are becoming available for this employment. The War Department, therefore, is going ahead with a repatriation program which calls for the gradual closing down of prisoner-of-war camps and the shipping out of these men as rapidly as possible. No dependence can be placed by employers on the availability of this labor after the end of this year, and it appears likely, now that the Japanese war is over, that a much earlier deadline may be set. Practically every State has prisoner-of-war camps supplying work ers for food processing, forestry and logging, and other types of nonagricultural employment. Indicative of the use being made of this type of labor is the following table, which shows, by Army service commands and States, the man-days of contract nonagricultural work done by prisoners during June, 1945, the latest month for which completed records are available. Man-Days Worked by Prisoners of War in Nonagricultural Labor, June 1945 Army Service Command Total man-days worked First______________________________ M ain e.____________ ________ Massachusetts____ __________ . . N ew Hampsuire___ _____ _ _ ____ 35, 601 30,029 262 4, 310 Second_________ ___________________ ___________ Delaware________ N ew Jersey________________ N ew York________ ____________ 105, 667 35,423 29, 337 40,907 Third-. _________ ______ ______ Maryland____ ________________ Pennsylvania______________ . . . Virginia________ _________ 171, 009 54, 097 43,159 73, 753 Fourth____________________________ Alabama___ _ ____ _______ Florida____________ _____ ____ Georgia_________________ _____ M ississip pi____________________ North Carolina___ _______ South Carolina_______ ________ Tennessee______________________ 261,273 52, 023 16, 232 53, 111 26,161 49, 666 50,061 14,019 Fifth____________________________ Indiana___ _________ __________ Ohio______________ ______ _ West Virginia__________________ 80, 297 45,076 32, 656 2,565 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Army Service Command Total man-days worked Sixth Illinois Michigan Wisconsin_________ 77, 531 29, 747 31,371 16, 413 Seventh Colorado Iowa Kansas Minnesota ___ Missouri Nebraska Wyoming 38, 720 180 7,513 2,181 8,439 2,500 5,338 6,569 . . . . . . . ___. . . Eighth______ ______ ____ Arkansas Louisiana N ew Mexico Oklahoma Texas 98, 711 22,832 20,060 573 2,840 52,388 Ninth Arizona California____ __________ Idaho Orp.gon Utah W ashingon 6,201 1,752 1,281 380 2,328 430 32 912 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 A ustralian R ent-C ontrol R egulations, 1945 1 REGULATIONS for rent control became effective in Australia during July 1945, whereby rents that had not previously been pegged were fixed at the level of March 1, 1945, subject to change by a fair-rents board. The Commonwealth Rent Collector was empowered to deter mine the rates of rental of rooms and apartments, but his determina tions may also be appealed to a fair-rents board. Any person guilty of a violation of a rent ceiling may be punished by a fine of not to exceed £100, or 6 months’ imprisonment, or both, if prosecution is summary; for prosecution on indictment the fine and/or imprisonment is not limited. The maximum period of notice required before vacating premises was reduced to 60 days—from the 91-day notice period previously in effect. A maximum notice period of 14 days was established for ten ants who fail to take care of premises or who commit other violations. The maximum period of notice to vacate rooms and apartments was placed at 14 days. The regulations prohibited the offering of rewards to obtain houses, or the granting of tenancy on condition that goods will be purchased. 1Information is from the Australian Worker (Sydney) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis July 11, 1945. Em ploym ent Conditions Em ploym ent P atterns of Mexicans in D etroit By N o r m a n D. H u m p h r e y , Department of Sociology, Wayne University Summary IN 1944, Detroit had between 2,000 and 3,000 persons of Mexican birth or parentage holding jobs in its industries. Mexicans in Detroit have been so mobile, and the jobs they have held so variable, that any simple statement of an “ average” job history is unwarranted. Yet, although employment histories vary from individual to individ ual, patterns of employment are perceptible in the series of cases which have been examined as a basis for this study, and reflect, in a general way, the work adjustment of the whole group. The kinds of work which Mexicans in Detroit engaged in initially followed largely the broad fields of employment which Mexicans usually entered on coming to the United States—agriculture and railroad labor. Primarily of native rural background and alien status, the Mexican worker, on coming to Michigan, was to be found in the outdoor hand labor to which he had been accustomed. He became a worker in the beet fields or a “ shovel” laborer with the railroads, the utilities, and construction companies. His next ranking employ ment was in packing-house or fertilizer plants, which ordinarily pre ceded, or alternated with, more typical industrial employment. The higher wages paid in automobile plants attracted those who could adjust to the swift tempo of machine or assembly line, but factory work was a new experience and involved difficult problems of adjustment. Employment on beet farms meant a migratory and seasonal exist ence, with relatively low pay and unattractive living and working conditions, and need for obtaining work in the city during the winter. For many it was resorted to only when work was unavailable in Detroit. Track work on railroads was more stable but less remunerative than industrial jobs. Packing-house and fertilizer work was equally as hard as railroad maintenance and paid almost equally low wages. During periods of lay-off or unemployment, the Mexican worker in Detroit often accepted less-skilled and less-remunerative work, largely in the fields of his former experience. In general, Mexicans in Detroit have remained on the lowest rung of the industrial ladder, although some early migrants who received technical training as apprentices in Detroit have climbed into middle income brackets. Prior to the depression of the 1930’s the foremost employer of Mexican labor in Detroit was an automobile company which, except for seasonal lay-offs, provided regular employment for the groups studied. With the beginning of the depression, however, most Mexi https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 913 914 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 cans were discharged. Some were recalled at various times there after, but it was not until 1939 that many former employees were sent for. In the meantime, some Mexican workers were placed on Government work-relief projects, others turned to railroad track work, and still others were entirely on welfare relief. There are indications of attempts at self-help during this period, but the mass of Detroit Mexicans resorted to work-relief programs, especially those of the Civil Works Administration and Works Prog ress Administration. In 1938, when unemployment compensation became available in Michigan, some Mexicans employed by the WPA quit their jobs, on advice, to apply for these benefits, only to find later, when their insurance was exhausted, that as aliens they could not be reemployed by WPA. Lack of citizenship also caused a num ber of Mexicans, engaged in track laying and sewer construction for city departments of street railways and public works, to lose their jobs in the early stages of the depression. Previously, citizenship was not a requirement for employment on public works; when this requirement was imposed it constituted a formidable barrier for most Mexican laborers, as their main source of paid employment was in this field. With the defense boom of 1940, the older men were accepted in industry, but lack of citizenship interfered with their continued employment. However, their American-born sons, and to some extent their daughters, obtained work in industry. Method of Study The patterns of employment of Detroit Mexicans for the period 1920-38, here described, were derived from an examination of Detroit Department of Public Welfare case records of 50 persons receiving aid in November 1938, and were substantiated and corroborated through examination of an equal number of cases handled by the writer in that department in the summer of 1939. They were sup plemented by case studies developed through interviews of Detroit Mexicans by the writer and his students between 1940 and 1943. The Mexican in American Industry Most Mexicans, on coming to the United States, work first in agriculture or on railroads.1 I t is largely from these groups that Michigan sugar-beet, packing-house, and industrial workers are drawn.2 Those going into industrial plants face particularly difficult problems of adjustment. A major difficulty confronting any migrant moving in a rural-tourban direction is that of adjusting to types of work and a tempo of work previously unknown. Manuel Gamio 3 ascribes the Mexican’s frequent failure to adjust quickly to shop life to his lack of “ vitality,” which, in turn, is a consequence of the long working day and small wage which were his lot in Mexico. Another cause may lie in the 1 D on’t Drive out the Mexicans, by W. V . Woelke, in Review of Reviews, M ay 1930 (p. 67); Mexican Workers in the United States, by Robert N . McLean, in Proceedings of National Conference of Social Work, 1929 (p. 534); and Social Problems of Our Mexican Population, by I. B. Gwin, in Proceedings of National Conference of Social Work, 1926 (p. 330). 2 Mexicans North of the Rio Grande, by Paul S. Taylor, in The Survey, M ay 1931 (p. 136). 3 Manuel Gamio: Mexican Immigration to the United States, Chicago, 1930 (p. 42). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E M PLO Y M EN T CONDITIONS 915 unfamiliar and fearsome aspect of the highly mechanized environ ment of modern industry. Outdoor workers from the cotton fields have described their terrifying impression of the first sights and sound of machinery in a modern steel plant in an extemporaneous work song.4 Those who survive the work tempo in such a plant are the workers who are able to endure heat well and are especially apt at work on the open-hearth and blast furnaces. Although this may be interpreted as ‘‘adjustment/’ Prof. Paul Taylor feels that the steadiness of those staying on is as much a result of the elimination of the unsteady workers as of generally greater adaptation to the new conditions.6 The steadying influence of a family is reflected in empjoyers’ preference for men with families, noted by both Gamio and Taylor. Such preference is, of course, not restricted to the employment of Mexicans. Another aspect of adjustment is apparent in the observation that when Mexicans work alongside Americans, “ they grow to understand the good nature of our rougher ways.” 6 The Mexicans, like other minorities, find it difficult to retain their jobs in times of economic stress. One writer observed that “ the Mexican is the first to suffer from depression in industrial and economic enterprises.” 7 Taylor discovered that, in the Bethlehem steel mills, Mexicans frequently complained of discrimination on the part of the “ European” (i. e., Polish, Italian, etc.) foremen; the higher executives appeared to have won the Mexicans’ good will. This feeling of dis crimination is explained by the fact that depression-time lay-offs, the most common form or vehicle of discrimination, were generally controlled by the foremen. The credit side of the ledger for Mexican workers engaged in American industry is summarized by Gamio. “ Although the im migrant often undergoes suffering and injustice and meets many difficulties, he undoubtedly benefits economically by the change. He learns the discipline of modern labor. He specializes. He becomes familiar with industrial and agricultural machinery. . . . He be comes a laborer of the modern industrial type, much more efficient than before.” 8 All these observations are applicable to the adjust ment of Mexicans to the automobile and accessory industries in Detroit. Types of Work Done by Detroit Mexicans Before discussing in detail the adjustments involved in the several types of work Michigan Mexicans have come to do, some insight may be gained through the construction and contemplation of a composite employment history, indicating the typical swift casualness of events in the life of a Mexican immigrant. The first job Ju an Diego Rosario held on coming to the United States was that of a cotton picker in Texas. He left the cotton farm after the fall harvesting and went to work as a railroad construction worker (tra q u c ro ), which took him to a number of work camps near small midwestern towns in a number of Prairie States. One winter he got a job in a K ansas C ity slaughterhouse, and when 4 Ballad Pennsylvania ( Corrido Pensilvanio) , in Mexican Labor in the United States: Bethlehem, Penn sylvania, by Paul S. Taylor, Berkeley, 1931 (pp. vii-ix). . . s Paul S. Taylor: Mexican Labor in the United States; Bethlehem, Pennsylvania (p. 14). s The Human Side of Mexico, by C. G. Nordhoff, in Atlantic M onthly, October 1919 (p. 504). i Life in the United States for the Mexican People, by Ernest Galarza, in Proceedings of National Confer ence of Social Work, 1929 (p. 400). 8 Mexican Immigration to the United States (p. 49). 6 7 0 1 1 9 - 45 6 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 916 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 spring came Juan left by truck with a group of families for a sugar-beet farm near Caro, Mich. He put in the whole summer in the hot fields there, only to find at the end of the season that he had charged more goods on credit at the village grocery than he had earned on the farm. Broke, he and the pregnant girl he had lived with on the beet farm rode into Detroit with another fam ily in a “ jalo py.” They stayed briefly with two other families in a 50-year-old, dilapidated frame cottage on Tenth Streetn ear Howard. After a week of searching, Juan obtained a job as a day laborer with a Detroit Department of Public Works paving gang at $4 a day. This was in the fall of 1926. In March 1927. he obtained work in the foundry at the Ford Rouge plant. During the seasonal lay-off, before new models began to roll off the final assembly line in a part of the shop which he never saw, Ju an went back to laying track, this time for the Michigan Central Railroad. B y 1930, he had three children (his “ wife” was bearing a fourth) and a third-hand Chevrolet truck. He was planning to save enough money, if his job held out, to go back to Mexico, there to farm for a living. Then he lost his job, and his wife lost the child, and prosperity was just around some corner. He went on relief, but the grocery order was too small to cover his needs. He supplemented his income by surreptitiously collecting junk, unbeknown to his case worker. He would gladly have returned to Mexico in 19 33 if the Welfare Department had supplied him with gas for the truck, but somehow this couldn’t be done. He thought also about going to a Michigan beet farm for the summer, but if he did this, he learned, he would lose his “ legal residence” in Detroit. Besides, Ju an felt he got along better junking and repairing trucks than he would by “ working the beets.” In 1934 he obtained a Civil Works Administration job. He had been laid off CW A for only a month when a miraculous postcard was delivered which requested him to report for work at the Ford Rouge plant. The $5 a day he now received looked bigger to him than the $7 he had earned in 1928, but the job lasted only 4 months. On relief again, Ju an would gladly have made application for his “ first papers” (as the welfare worker demanded) if he weren’t so aware that he had come into the country illegally. He did get a W PA job, however. In 1937, after his W PA “ work separation” slip came through, he landed a job in a fertilizer plant at $20 a week. In_1938 he returned to work at Ford’s, butbecause he wasn’t natu ralized he was laid off in 19 4 1. Ju an didn’t care so much this time, however, be cause Jose, the oldest boy, was making $35 a week as a crib clerk in Dombrowski’ s tool shop. The case of Juan Rosario indicates a job sequence which is patterned on many case histories of Mexican immigrants. This sequence may now be considered in a somewhat less personalized manner. EM PLOYM ENT IN S U G A R -B E E T F IE L D S Mexicans who have tried sugar-beet work have found it seasonal, variable in wages paid, and relatively unremunerative for the labor demanded. The seasonality of this work is illustrated by several cases. Mr. P .’s first employment on coming to the United States was at Ivanhoe, Mich., where he was employed in M ay 1928 in the sugar-beet fields. Coming to Detroit, he worked at the Ford Motor Co. for 1 year, being paid off in Ju ly 1930. He applied for relief on August 15, 1930. In 1932 he returned to the beet fields near Rosebush, Mich., and was working in the spring of 19 33 in the sugar-beet fields near Blissfield, Mich. Before coming to D etroit in 1928, M r. M. worked on a sugar-beet farm near Owendale, Mich. He then worked for the D S R [Detroit Street Railway] and was paid off in October 1929. Thereafter, on several occasions he sought beet-field work near M t. Pleasant and Alma. The difficulties as to earnings are evidenced by the following case excerpts: M r. V. explained to the [social] worker that he had been in the “ sugar-beet fields” and had earned a few dollars up there. He had not been able to do very well because of the rainy weather and [the fact that] the contractor he worked for was “ broke.” Mr. D. said that he contracted to take care of a certain amount of acreage at the rate of $ 18 per acre, and from this source he expected an income for the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EM PLO Y M EN T CONDITIONS 917 summer of $276, but because of illness he was unable to make this amount since he had to call in help to clear the field. Living and working conditions on the beet farms were sufficiently unattractive to prevent some Mexicans who at one time had been beet-workers from returning to the farms in the summer time. The houses provided by the sugar companies in the 1930’s ordinarily were makeshift corrugated steel shacks which were almost uninhabitable in winter. Many persons turned to the beet fields only after being unable to find city work. Following is a typical case: Mr. C. first came to Detroit in 1925 and returned to Mexico in 1928, where he married. On coming back to Detroit, he was unable to find employment. The fam ily then moved to a sugar-beet farm near Rockford, Ohio, where they spent 1930 and 19 3 1, returning to Detroit on April 6, 19 3 1. Many who worked on beet farms moved to the city in winter and thereafter returned to the fields only during intervals of industrial unemployment. For some Mexicans, however, the fields had con tinuing attraction. Since most Mexicans have had an early rural background, farm work in this country was culturally consistent with employment in the homeland. Moreover, the difficulties involved in making a living in the city may have engendered a conception of farm life as an ideal toward which to aspire.8 E M PL O Y M E N T O P P O R T U N IT IE S I N T H E CITY When the erstwhile beet-field worker came to Detroit to look for work he was faced with the problem of seeking work as an outdoor “shovel laborer” or of applying directly to the factory. The choice between these alternatives was, of course, dependent partially on the actual jobs available at the time, but the sort of work chosen was largely a consequence of the past work experience. In shovel labor and, to a somewhat less extent, in packing houses, the Mexican found work more in line with his previous employment than that in the industrial shop, in which the tempo of work was dictated by the speed of the assembly line or the machine. The following excerpt illustrates an order of job types in which the person briefly attempted factory work only to give it up and find employment similar to that of the homeland: Mr. Y . said in 1930 that he had last worked at Dodge Bros. The employment letter from the Dodge plant, however, showed him to have been employed only from M arch 2, 1926, to March 6, 1926, at which time he quit, claiming to leave the city. He was employed by the D PW [Detroit Departm ent of Public Works] from April 3, 1.926, to September 2 1, 1930, at $4.40 per day. tie then searched for sugar-beet employment but was unable to find it, and was briefly on CW A in 1934. Other persons who first became shovel hands later went into indus try. Thereafter, the higher wages of the factory made track or utility hand labor a less-desirable alternative, accepted only during periods of lay-off from industry and in preference to work in the sugarbeet fields. This more typical employment history is evident in the case of Mr. M. M r. M. came to Detroit in September 1920. He was employed briefly by the M C R R [Michigan Central Railroad] for 6 weeks in 19 2 1. He then had inters Thus, “ Mrs. G. likes farm work much better than that of the city and at one time the family thought of going on a farm near Imlay City for a permanent abode. They tried it but returned to Detroit. Mrs. G. is unhappy in city life and would like to be on a farm.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 918 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 m ittent employment with the Detroit D PW to November 1, 1927, when he went to work for the Ford M otor Co., where, except for brief lay-offs (during which time he worked for the M C R R ), he continued work until laid off on August 10, 19 3 1. He worked on CW A from December 13 , 1933, to April 24, 1934, and in 1936 was placed on W PA. SHOVEL LABOR The largest employers of “ shovel” labor have been the railroads, the public and private utilities, and construction companies. Of these, the railroads have been able to offer the most continuous employ ment, but at wages low in comparison with those of industry. This is seen in the following case: M r. M. is stepfather of three children and father of three, having married a widow, M rs. Louise M., on Jan u ary 5, 1927, in Detroit. M r. M. has been steadily employed by the N Y C R R [New Y ork Central Railroad] as a track laborer since June 1, 1926. He had averaged but $70 a month during this period, working 4 days a week at $4 per day. He has had no other employment and requires supple mentation of his income for sustenance. Steve M. is noted as having sold papers at the Belle Isle Bridge and E ast Jeffer son ( 1 2 - 1 5 - 3 1 ) . Later he worked at Riopelle and Jefferson (9 -10 -34 ). In 1936, both he and his brother were assigned to N Y A [National Youth Administration] (1-2 7 -3 6 ). Stephen then received employment with the M C R R at 40 cents per hour. Bernard also got a job there, the two boys working in a railroad camp near Dexter, Mich., earning $3.37 per day, 5 days per week. Many Mexicans were employed in track laying and sewer construc tion by city departments of street railways and public works prior to the beginning of the depression. With its onset, these latter agencies required, as a condition of employment, that the foreign born be naturalized. As a result, Mexican workers, largely unnaturalized, were dismissed from such jobs. The railroads servecl as a partial outlet for this labor supply, but retrenchment in this area, also, tight ened the labor market. Government works which, as noted, at first did not require citizenship, were the major source of employment. Mr. D. was first noted to have worked for the D PW at $4 .10 per day, where he was employed from April 4, 1929, to October 1, 1929. In 1933, he was thought to be doing barbering in his home. On reapplying on December 13 , 1937, M r. D. had worked for the W PA for 15 months prior to his employment by the N Y C R R as a track laborer, being laid off by the latter in November 1937. Mr. E . worked for the D S R from March 26, 1929, to October 14, 1929, and in 1936 received a W PA assignment, on which he worked until August 1938, when he got work at the M C R R . PACKING-HOUSE EMPLOYMENT Mexican breadwinners also found places in the packing-house and fertilizer plants which provided work equally as hard as railroadtrack work and paid almost as low wages. Packing-house, or animalreduction work, is often viewed as undesirable by American workers, and jobs of this sort have usually been relegated to the newly arrived immigrant struggling for a foothold in the labor market. Those Mexican laborers who came early to the United States were likely to have had employment of this sort in their work histories. Such work, then, ordinarily was engaged in prior to periods of more purely indus trial employment or was interspersed between them. Techniques for Obtaining or Retaining Factory Employment Considered primarily as an industrial worker, the Mexican in Detroit, in his process of adjustment, has had to meet the complex https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E M PLO Y M EN T CONDITIONS 919 problem of harmonizing his conduct with the institutional aspects of industry. This has meant not only readjusting to the loss of employ ment by seeking another job, but also maintaining employment by coming to know techniques for staying on the job. The following discussion is based upon the employment process and Mexican adjustment to it, in the Ford Motor Co. That company was selected because it has been the foremost employer of Mexican workers in Detroit. It was responsible for introducing them into that city in 1918, when 75 Latin-American students, mostly Mexicans, began work as apprentices in its plant. During the prosperous 1920’s many immigrant peasant Mexicans found jobs with this company, only to be released with the beginning of the depression. Although not all industrial employment in Detroit would be as “ institutionalized” as that at the Ford Motor Co., the same general patterns of work adjustment are typical of the other automobile plants. In the Briggs Manufacturing Co., another large employer of Mexican industrial labor, much the same sequence of employment would be perceptible. Frequently the first industrial employment the Mexican breadwinner had was at its plants. Unlike the sitution at the Ford Motor Co., however, reemployment after the first depression lay-offs, was not so likely to occur. Often the lay-off period was also followed by governmental project work, and then by shovel labor in private industry. The composite employment pattern of Mexican Ford workers would be somewhat as follows. Breadwinners had regular work (with seasonal lay-offs) for several years preceding the great depression. When it began, most Mexicans were discharged. A small group was rehired after the depression was well under way. Still more were re employed briefly in 1934 and 1935. Postcards were sent out by the company in 1939, calling many former employees back to work. By the time the defense boom began, almost all former employees who wished to do so had returned to work. In the depression period, wel fare relief kept those who remained in Detroit from going hungry, and relief policies also aided Mexicans in obtaining employment on Government work-relief projects. For some, the hardships of unem ployment were relieved by track work for railroads. These experiences are evident in the case excerpts already given, and may be indicated further in the following: Mr. A. worked at Ford’s from 1926 to 19 3 1, when he was laid off. He was re hired shortly thereafter and worked until October 1 1 , 1932, when he was again released. On Jan u ary 13, 1934, he was placed again on CW A, which he quit to return to Ford ’s on Jan u ary 22, 1935. Laid off again in Jan u ary 1938, he was told to apply for unemployment compensation on September 9, 1938. When not working at Ford’s, he had brief employment with the M C R R . While receiving unemployment compensation he was rehired at the Rouge plant. Gaining employment.—In the past there have been several methods of obtaining employment in this company. One .was to apply for work, when hiring was being done, at the employment office. Thus, “Mr. V. literally waited in a line before the employment office from morning until late afternoon, day after day, before he was hired on January 30, 1935, only to be laid off on May 14, 1935.” A much more effective method was that of presenting a “letter” (in effect a recommendation, whose influence with the gate guard varied with the importance of its author in the estimation of the company). Such a letter, if it bore the right magic, enabled the bearer to pass the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 920 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 guard and enter the employment office itself, where job chances were good. Another method, at least historically valuable, was that of having residence status and receiving relief in the city of Dearborn; during a part of the depression the company relieved the city of its employable relief clientele by allowing men to work at the plant for the sustenance which would otherwise be provided by the municipality:9 A technique conducive to rapid reemployment of laid-off employees was that of having the employee’s women relatives go to the plant employment office, whence they would be escorted to the “Socio logical Department,” where the plight of the family would receive consideration. Maintaining employment.—Several methods of retaining jobs, or at least some source of income, were well known to the employees of the company. (1) If a member of the family was hospitalized at the Henry Ford Hospital, thereby incurring a debt to the hospital, the debt could be paid through check-offs from the biweekly pay envelope; presumably the job would last until the bill was paid. (2) A child enrolled in the Ford Trade School would receive both academic in struction and a wage (scholarship), thus maintaining an income in the family. Such an income was especially helpful when the principal breadwinner was unemployed. “Jesus, who later changed his name to Joseph, enrolled in the Ford Trade School on May 6, 1930, when his father was employed by the company, and, upou graduating from the school, went to work full time in the plant, where he has been em ployed except for brief lay-offs, since that time.” (3) Early in the CIO unionization drive on the plant, many workers believed that membership in the company-dominated “Liberty Legion” was con ducive to continuance of employment. All these expedients were known to some Mexicans and are noted in social-work case records as having been used by them. Taken to gether, they constitute patterns of adjustment to an industrial organi zation. Self-Help Devices The mass of Mexicans in Detroit resorted in times of unemployment to Governmental programs of work relief. Certain of the more enter prising of these workers, however, undertook individual self-help enterprises of various sorts. The most frequent form which self-help has‘taken among unemployed Mexicans in Detroit has been that of “junking.” This sometimes consisted merely of collecting with a pushcart, as in the case of Joseph M. “Between seasons in the beet fields after 1928, Joseph M. did junking with a pushcart. He had a license for this. The junk dealer to whom he sold parts said that he made from 15 to 30 cents per day.” In other cases operation was on a larger scale—actually buying junk in the rural hinterland and selling it in the city, using a truck as the means of transport, as in the follow ing cases. Truck or auto repairing frequently accompanied this occupation. At the time of his lay-off from Ford’s in 1930, Mr. S. had a Ford truck with which he used to go out into the country to collect junk which he sold in Detroit. 9 “In 1932, the Ford Motor Co. was attempting to keep clear the Dearborn relief load of employables by giving them work in the shop. Mr. A. contemplated moving to Dearborn as he felt that he might be re employed more easily at the Rouge plant if he were living in Dearborn.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E M PLO Y M EN T CONDITIONS 921 The back of the house was used by Mr. S. as a junk yard. From 1930 to 1932, he paid for his rent, while otherwise receiving aid, by means of junking. From 1930, when the P. fam ily began receiving relief, case workers were con tinually rediscovering the fact that the P. fam ily owned trucks. Probably M r. P. was “ junking.” In 1937, M r. P. was found helping to fix a truck which belonged to his neighbor, Joseph O. M r. P. stated that he knew ju st enough of auto mechanics to be of assistance. Although, as a permanent and sustaining source of income, “junk ing” has not proved to be dependable, the desire for ownership of a junk yard was often expressed. A typical case is that of Mr. D., who after working in the beet fields from May to September 1935, had come to Detroit, where he had repaired cars during the winter. It was his ambition to “open a junk yard for used cars.” Other plans .—The Mexicans have not been altogether aimless in searching for employment and income for the family. When indus trial employment failed, they have tried to compete in other areas. Thus, in one family interviewed by a student of the author, note worthy initiative was displayed by the wife: When M rs. B .’s husband could not find work, she, being an excellent cook, con ceived the idea of putting up lunches for the men in the neighborhood who were working in the factories. This procedure was so successful that the fam ily was able to move to other quarters, where‘she began serving three meals a day for paying guests. M rs. B. explained to the interviewer that such a procedure would have been impossible in Mexico, where women do not work to earn money. The idea of women working in the United States, M rs. B. explained, is a procedure which M exican women in Detroit were coming to regard as “ all right.” Also in the following case, the social-work records note an attempt to capitalize upon an idea for self-help. M r. A. had an idea for making toy rocking chairs out of a piece of metal. The dies from which the chair would be made would cost about $200, and he inter viewed a number of people, trying to interest them in the idea, but could get no one interested. He wrote the ------ Toy Co., explaining the idea, but received no consideration (8-24-32). The case worker is afterwards inclined to rem ark: “ This fam ily has more initiative than the average M exican.” (12 -38 -32.) Public Relief and Employment The Civil Works Administration provided employment for a large segment of the Mexican population of Detroit in the winter of 1933 and the spring of 1934. For many it was not conceived of as a “stop gap,” but rather as the first employment available since the beginning of the depression. In several instances the CWA program ended in reemployment of individuals by private industry, but for most of the group its cessation meant a return to the relief rolls. Moreover the employment which immediately followed was provided by the succeed ing agency, the Works Progress Administration. A very small num ber of semiskilled Mexican laborers were also employed in Detroit on Public Works Administration jobs. From its beginning in 1935, the WPA was a source of employment to many Mexicans. Some, however, were reluctant to accept such jobs, for fear that the income therefrom would not be sufficient to support their large families. In one such case an arrangement was made for a WPA job for the breadwinner, which he at first refused because of his large family, feeling that if he took it, he would get no further relief; two of his sons were therefore assigned to NYA jobs, in addition to the father’s WPA assignment. In other cases assignments https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 922 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 were refused as a result of family discord 10 and misconceptions of responsibility regarding the support of wives and children. Since M r. R . had married Mrs. A. when she had already borne three children to another man, he was reluctant to accept responsibility for their support. M r. R . said that if he liked the W PA job he would take it, but if not, he probably would not; that he wasn’t concerned about his own welfare, and would like to see Mrs. R . and the children taken care of. He felt that he was not obliged to care for the children, and that if he did not want to, he could go aw ay and the Welfare would have to take care of the three children. He was placed on W PA on December 12, 1935. In several instances an absence of as much as 5 days from the project resulted in the worker’s discharge. Illness was usually the ostensible reason for absence, but since this condition was often not properly reported, lay-off occurred. Many more Mexicans were released in August or September 1937 as aliens. In most cases this resulted in a return to direct relief, although continuance on WPA was in at least one case effected by the worker’s being placed on the administrative pay roll. When unemployment-compensation benefits from the State became available in 1938, at the suggestion of the Detroit Department of Public Welfare men who were employed on WPA quit their jobs to receive the unemployment benefits. They later found, however, that they could not be reemployed by the WPA when these benefits had been exhausted. M r. A. worked from December 1936 to December 19 37 at the Ford M otor Co. A fter applying for aid he was placed on W PA. When it was recognized that he was eligible for unemployment-compensation benefits, he was advised to quit W PA, which he did. On receiving his last insurance check he again applied for aid, and was again given a W PA assignment. But he was quickly released. He was an alien and the assignment had been made in error. By this time aliens had been ruled ineligible for WPA employment, and this constituted a formidable work barrier for most Mexican laborers. American-born sons took over, however, and in many cases supported their parents. With the defense boom of 1940, the older men obtained jobs in industry, but their lack of citizenship interfered with continued employment. Again the sons and some of the Ameri can-born daughters, got jobs in the shops. Factors Toward Assimilation of Mexicans The several types of jobs held by Mexicans have provided oppor tunity of varying sorts for contact with and participation in American culture. Sugar-beet employment has afforded very little chance for the perception of American example, since most of the Mexican family’s time was spent in grueling, isolated field work, in which there was little contact, and that largely with people of its own kind and culture. The same sort of conditions obtained in shovel labor, for the work gang, although composed usually of persons of diverse ethnic backgrounds, was sufficiently large to allow for congregation and inter course among cliques of nationals. In the course of time, however, workers on such gangs came to share experiences and observations on American culture so as to be familiar at least with its veneer. This io “Mr. P., whose domestic situation is evidenced by the fact that his wife was afraid he would kill her, refused a W PA job as a painter by saying his rheumatism would not allow him to work outside, and upon being given a job in a comfort station at $12.50 per week, rather than at $15, returned the assignment to the office saying, ‘to hell with the job.’ He said he would run away from his family if the department insisted on his working.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EM PLO Y M EN T CONDITIONS 923 was possible partly because gangs never worked long in one place, and in the course of several years a laborer saw a number of different sec tions of the city and surrounding country. The absorption of these cumulative impressions made for easier transition from shovel labor into the industrial employment. Some degree of assimilation in the factory is also evident in the immigrant’s acceptance of American usages for gaining and maintaining employment. T enant-Farm and Land-Use R egulation in Italy 1 A MINISTERIAL committee was appointed in Italy, in July 1945, to attempt to bring about an equitable settlement of a dispute regarding the division of crops between landowners and their share tenants. The dispute arose out of decrees issued by the Government in October 1944 and April 1945, aimed at effecting the full use of agricultural land, maximum food production, and improved agricultural conditions. Difficulties over land-rental contracts in Italy arose after World War I, especially as they pertained to the half-share system; they were suppressed by the Fascist regime and flared up again on its defeat. The sharecropper system is prevalent in central Italy, the highlands of Emilia and Veneto, the hill areas of northern Italy, and parts of the south, employing in 1936 slightly less than a fourth of the 8,756,064 gainfully occupied in agriculture. Agitation for im provement in the condition of agricultural workers and in the rural land system increased after the liberation of southern Italy. The Italian General Confederation of Labor (CGIL) supported the organiza tion of farm workers into a single group, the Federterra, and made the improvement of their position one of its main objectives. In October 1944 the Italian Government provided for an increase in the acreage and manpower devoted to agriculture, by means of decrees which permitted associations of cultivators to obtain conces sions to run for a period not exceeding 4 years on nonproducing public or private lands and (under guaranty of production) on sequestered Fascist-owned lands, and authorized the agencies engaged in liqui dating public lands for a year after the conclusion of peace to grant individual operators cultivable lands on the basis of units suitable for family use. Increased Shares for Tenant Farmers At the same time, long-established relations of rural landlord and tenant were changed by legislation which regulated share-tenancy contracts, giving the cultivator four-fifths of the produce and profits of lands on which the grantor (owner) provided only the land, and three-fifths on lands for which the owner and cultivator shared ex penses of cultivation, excluding labor.2 In the spring of 1945, the changes begun in the preceding autumn were carried further by decrees of April 5 which prohibited the transfer of lease contracts, the subletting or transfer of labor contracts, and i Data are from report of Russell S. Kifer, agricultural attaché, United States Embassy, Rome, August 13, 1945 (No. 169); Annuario Statistico Italiano, Istituto Centrale di Statistica (Rome), 1939; and Gazzetta Ufficiale, November 4, 7, and 18, 1944 and M ay 2, 1945. Prevailing custom or contract more favorable than these terms was to take precedence. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 924 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 any type of subleasing, and extended for 1 year after the termination of war all share leases and direct cultivators’ leases which were to end during the agricultural year 1944-45. Result of Regulation When the time for the division of the 1945 crop arrived, public discussion of the decrees increased. Landowners resisted the legisla tion and efforts were made “to tie the decrees up in the courts.” The decrees of April 1945, however, prevented the discontinuance of existing contracts and those of October 1944 prevented the owners from leaving lands idle. At meetings held in June 1945 in the Prov ince of Terni, at Florence, Lucca, and Naples, and elsewhere, the tenants passed resolutions calling for revision of the Fascist legislation as to common land, a sharing of exceptional expenses of labor (as at harvest), and a division of products on the basis of 60 percent to the tenant. Through their organization—the Confederazione Italiana degli Agricoltori (Confida)—which met in Rome early in July, the landowners opposed the demands of the tenants, maintaining that the decrees did not affect half-share tenants, that the division of crops should permit deductions for farm expenses, that the agitation was political and not economic, and that a change in proportionate returns would reduce agricultural production. As a consequence of the agitation, the success of the grain pools for 1945 was threatened. In order to settle the dispute at the national level, leaders of the Confida, the CGIL and the Federterra, were called into joint session in Rome on July 18. No compromise could be reached, and on August 3, the Council of Ministers delegated to the Ministers of Reconstruc tion, Agriculture, and Labor the responsibility for settling the con troversy through conciliation, or through arbitration by the Govern ment in case of failure. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Postw ar Reconstruction B uilding Damage and R econstruction in France 1 THE total number of buildings damaged and destroyed in France in World War II was some 1,804,000, or double the number in World War I. The greatest amount of destruction occurred in the north western and northeastern Departments, which had also suffered the heaviest damage in the previous war. Nearly 25 percent of all buildings damaged in World War II were completely destroyed. The Ministry of Reconstruction and Town Planning, which announced the damage survey, concluded that 13.9 billion man-hours or 7,000,000 man-years of labor would be required for reconstruction. Although the first legislation for reconstruction was passed as early as August 1940, comparatively little rebuilding was completed during the occu pation. The Ministry of Reconstruction and Town Planning was created in November 1944, and subsequent legislation provided for Government assistance in reconstruction. Extent of Destruction The total number of buildings either damaged or destroyed in France during World War II, according to the Ministry of Reconstruc tion, was 1,804,200—or perhaps 1,824,000, if certain incompletely surveyed miscellaneous buildings were added. Of the 9,975,000 buildings in France in 1939, therefore, some 18 percent have been destroyed or damaged ( 4 percent wholly destroyed and 13% percent partially destroyed). The number of buildings suffering various degrees of destruction in World War II was approximately double the number similarly affected in World War I. In 1918—19, however, 40 percent of all buildings injured were found to be wholly destroyed, as against only 25 percent in 1945. One estimate of the Ministry of Reconstruction and Town Planning places the total war damage in World War II at 1,500 billion francs. The number of buildings wholly and partially destroyed in France in World War II is indicated in table 1, by type of building (dwelling, public, industrial, etc.). Of the total 1,804,200 buildings damaged or destroyed in World War II, more than two-thirds were dwellings, and of these more than a fifth were damaged beyond repair. Destruction to commerce and industry totaled 216,800 buildings, with almost a fourth completely destroyed. In agriculture the percentage of total destruction was even higher. i Data are from report'of E. Allen Fidel, economic analyst, United States Embassy, Paris, August 30, 1945; Journal Officiel de la République Française, Ordonnances et Décrets (Paris), April 11 and 22, 1945; and Free France (French Press and Information Service, N ew York), September 1 and 15, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 925 926 T a b l e ,1. M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Number of Buildings Wholly and Partially Destroyed by War in France September 1939 to July 1, 1945, by Type of Building Item Total Dwellings Buildings damaged or destroyed from September 1939 to— July 1, 1945________ ____ 1,804,200 1,242,000 Partially destroyed.. _ 1,361,400 947,700 Wholly destroyed. . 442,800 294,300 June 1, 1944 . . . 683,000 524.000 Partially destroyed . . . . 547,000 422, 500 W holly destroyed. . 136.000 101, 500 January 1, 1944 522, 500 383.000 Partially destroyed ____ 415, 500 314.000 Wholly destroyed_____ 107.000 79.000 June 25, 1940 . 403.000 292, 000 Partially destroyed. . . 317, 500 232,0,00 Wholly destroyed___ 85, 500 60.000 2 2 2 Indus Agricul trial and Miscel tural commer Public buildings laneous buildings cial buildings buildings 314,000 221, 500 92, 500 76.000 59, 500 16, 500 68.000 53.000 15.000 62.000 48.000 14.000 216,800 166, 800 50.000 48, 500 37.000 11, 500 33.000 24, 500 8,500 24.000 17.000 7,000 31.400 25.400 6,000 14, 500 13.000 1.500 13, 500 12.000 1.500 11,500 10, 500 1,000 (9 (') (9 20, 5-00 15, 500 5.000 15.000 12.000 3.000 13, 500 10,000 3,500 1 Incomplete. 2 Items do not add to total, but are as given in source. About 25 percent of all damage occurred between the time the Germans entered France in the autumn of 1939 and the end of armed resistance in June 1940. Up to June 1, 1944, France had suffered damage to 683,000 buildings. In the following year, as the Allies fought to liberate the country, that number was almost trebled. The loss to industrial and commercial buildings in the last 12 months of the war was high—considerably more than 3 times as many structures being damaged as in 1939-44. T able 2. Number of Buildings Wholly and Partially Destroyed in France, by Depart ments, September 1939 to July 1, 1945 Departments Total W holly de stroyed All departm ents.. ■1,804,200 ■442,800 Somme________ 132,200 32,927 Pas-de-Calais____ 130, 500 28,000 Calvados________ 123, 000 69.000 Nord________. . . 117.000 22.000 Haut-R hin_____ 100.000 25.000 Bas-Rhin______ 99.800 18, 850 Moselle_________ 80, 000 20.000 Seine-Inférieure.. . 69,200 28,060 Seine___________ 66, 700 5,200 Manche_________ 54, 000 17.000 Oise_________ 53.800 10,200 A isne.. ______ _ 46, 600 6,600 Seine-et-O ise.___ 40, 800 5,135 Ille-et-V ilaine___ 39,100 4,100 Ardennes______ 38, 700 9,520 Orne___________ 35, 400 11,720 Vosges_________ 35, 000 10.000 Eure___________ 34, 700 7,655 Marne_______ . 33, 400 5,400 Meurthe-etM oselle.. _____ 28. 700 4,312 Partially destroyed Departments ■1,361, 400 99,255 102, 500 54, 000 95.000 75.000 80, 900 60.000 41,122 61, 500 37, 000 43, 600 40, 000 35,654 35.000 29, 200 23, 700 25.000 27, 028 28, 000 Var_____________ Loire-Inférieure... Bouches-du Rhone______ Seine-et-Marne__ Indre-et-Loire. . C h aren te-M ari tim e____ ____ Alpes-Maritimes.. Eure-et-Loir_____ M orbihan_______ Finistère________ Hérault_________ M euse__________ Loiret. __________ Coté-d’Or. ___ Gironde_________ A ube___________ Ot h e r , ( u n d e r 10,000 each)____ Total Wholly Partially de stroyed destroyed 24, 500 23, 300 4, 250 9, 300 20,250 14.000 21,000 19.000 18.000 4, 500 5,025 3,200 16, 500 14.000 14, 800 16,300 15, 400 15, 200 13.800 13.000 11.800 11, 600 11,200 11,100 11.000 10, 300 9,886 993 1,989 8,860 5, 750 1,041 2,840 2,725 1,122 970 2,757 6,452 14, 403 13,209 4,940 7,250 10,743 8, 750 8, 454 9,986 10, 090 7,585 198,300 37,346 160,385 24, 393 1 Items do not add to total, but are as given in source. The heaviest damage to buildings was suffered in the northwestern and northeastern Departments of France. More than 7 percent of all buildings damaged or destroyed were in the Department of Somme; more than a third were in the 5 Departments of Somme, Pas-de-Calais, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 927 POSTWAR RECONSTRUCTION Nord, Calvados, Moselle, and Haut Rhin. For the most part, the Departments that suffered the greatest property damage in World War I again endured the most severe destruction in World War II. The majority of the buildings that had to be rebuilt in this area after 1918 will have to be rebuilt again after 1945. All France was fought over in World War II. Damage was lightest, however, in the southern and especially in the south central parts. In each of the Departments of Cantal, Haute-Loire, Lozère, Aveyron, Tarn, Tarn-et-Garonne, Lot-et-Garonne, Gers, and Hautes Pyrénées, only 300 or fewer buildings were destroyed or damaged. Manpower Needs for Reconstruction An estimate of the manpower needs for reconstruction, made by the French Ministry of National Economy, places the total at 13.9 billion man-hours. The Ministry estimates the needs for different types of reconstruction as follows: Man-hours (in billions) T o ta l_____________________________________________________ 13. 9 Preparation (clearing and de-mining)______________________ M anufacturing and transport of raw materials (not includ ing rail or water transport)---------------...------------------------Work with raw materials: Rebuilding properties— Main walls and roofing___________________________ Equipm ent______________________________________ Other works (roads, streets, sanitation)---------------------- 1. 0 1.0 9. 0 1. 4 1. 5 On the basis of a 48-hour week, and taking into account holidays, illness, and bad weather, the Ministry of National Economy esti mates that this total would be equal to 7,000,000 man-years—or 10,000,000 man-years, if the rebuilding of monuments and public buildings were added. Before the war, about 700,000 workers were employed in the construction trade. Placing the postwar number of such workers at only 500,000, and relegating them to maintenance of existing construction, the Ministry concludes that reconstruction in France will require 1,000,000 workmen from other countries for a period of 10 years. Reconstruction Legislation Period of occupation.—By a law of August 22, 1940, only 2 months after the German occupation began, the State took under its charge the razing and clearing away of destroyed buildings. On October 19, 1940, another law provided for the reconstruction of damaged in dustrial and commercial properties and for assistance to the owners of damaged residences. A law of November 28, 1942, specified the amount of financial assistance the State would give in industrial and commercial reconstruction and required that such reconstruction plans should have the approval of the Ministry concerned. Under a law of October 17, 1944, farmers could obtain reconstruction loans from the Agricultural Credit Fund. Other legislation of the occupa tion period included plans for the reconstruction of public utilities, public buildings, and destroyed monuments. The beneficial results of such legislation, however, were slight; only 348,000 cases of all types were settled, for a total of less than 6 billion francs, during the 4-year period. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 928 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Period after liberation.—In November 1944, after the liberation of France, the Government created the Ministry of Reconstruction and Town Planning. Under the authority of this Ministry (1) the Gen eral Department of Town Planning, Housing, and Construction is sues directives regarding reconstruction and the study of urban prob lems, with the Department of Works giving architectural and en gineering advice; (2) the Department of Planning computes the needs for reconstruction and determines the manner of filling these needs; (3) the_ Department of De-mining is charged with excavation and neutralization of mines left in France by the Germans; and (4) a Supervising Section composed of inspectors, technicians, and financial experts directs the field services. In an ordinance of April 10, 1945, the Government enumerated the activities which the State would undertake on its own account—the clearing of roads and urban areas and, in general, work necessary to permit reconstruction to go forward. The ordinance outlined the regulations to be followed (1) by prefects who receive requests for shelter from refugees and war victims and by the reconstruction serv ices which provide for the construction of temporary buildings for such victims, and (2) in the reconstruction of buildings which were only slightly damaged. Payments for losses caused by war damage are to be made on a provisional basis, following a rapid study of each case of destruction. After a final decision on the case has been made, the Government is to pay one-third of the amount owed, if the reconstruction work has not been started, and three-fourths, if the work has been completed. The Ministers of Reconstruction and Town Planning and of Finance are authorized to arrange for the credit necessary for such payments. Earlier legislation (1940) had provided that the assistance given by the State as compensation for losses on private residences and real property necessary for agriculture could amount to 80 percent of the normal cost of reconstruction, if the buildings were totally demolished. If the proprietor decided not to rebuild he could claim an amount equal to 30 percent of the amount the State would have contributed had the property been reconstructed. For industrial and commercial buildings, legislation passed in 1942 similarly had provided for State assistance equal to 70 percent of normal reconstruction costs, or for remuneration amounting to 30 percent of value as of September 1, 1939, in addition to 15 times the annual net income which had been derived from the property (not to exceed a specified limit). _ Penalties for filing false statements concerning losses, and limita tions upon the persons who may represent a war victim in indemnity claims, were provided in a second ordinance of April 10, 1945. War victims are to be allowed to form associations in order to present their claims more effectively. The ordinance also nullifies specified articles of certain previous reconstruction laws and consolidates other provisions. On April 21, 1945, a third ordinance authorized the Minister of Reconstruction and Town Planning to requisition personnel and material, under certain conditions and with the approval of the inter ested Ministries. The ordinance requires the Minister to consult with the Ministry of Public Health on all matters regarding the hygienic phases of housing, and with the Ministries of the Interior and Indus trial Production regarding reconstruction problems which fall within https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis POSTWAR RECONSTRUCTION 929 their spheres. Special duties of the Ministry of Reconstruction de fined in the decree include (1) the development of a general plan of reconstruction, (2) arrangements (in accord with international agree ments and with the Ministries of Foreign Affairs and National Econ omy) for certain reparations, (3) planning (together with the inter ested ministers) for the reconstruction of public works belonging to collective and public establishments, and (4) the task of clearing and rebuilding public highways, in accordance with regulations on historic monuments and sites. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Social Security Developm ents in Civilian Fam ily Allowances, 1 9 4 4 -4 5 1 Summary THE wastage of youth in war has intensified world interest in the rising generation, resulting in the extension of child-welfare programs and in increased action in the special field of civilian family allowances. In 1944-45 substantial progress was made, which is reviewed in this article. During the war three family-allowance measures for civilians were enacted in the British Empire—the Australian Act of 1941, the Cana dian Act of 1944, which became effective July 1, 1945, and the British Act of 1945. In New Zealand, under a provision effective October 1, 1944, family allowances were raised, the gross weekly income limit beyond which a family is not eligible for these benefits was increased, and further liberalization has been under discussion. In South Africa, a report including a recommendation for family allowances was submitted to the Parliament in 1944, and a select committee was appointed to study this document. This committee was in turn to make recommendations to the 1945 legislative session. Proposals for family allowances are also under consideration in Southern Rhodesia. In Continental Europe, Belgium provided for family allowances in its new social-insurance legislation and widened their coverage. France raised rates of benefits. A social-insurance program recently drafted for Czechoslovakia contains provision for children’s allowances. In Rumania, employees and laborers of private industrial and com mercial enterprises have been entitled to a family bonus since July 1, 1944. Soviet Russia has increased its appropriations for large families. In Spain, an increase in the rate of allowances and a more intensive application of the family-allowance system to agriculture were effected. Strengthening of the family-allowance provisions and a liberalization of regulations took place in the Swiss Cantons. Within the past 12 months, Denmark, Norway, and Sweden have taken steps which manifested their interest in easing family financial burdens. Some developments in the field of family allowances in the period under review are recorded for at least 5 Latin American countries— Argentina, Bolivia, Brazil, Chile, and Uruguay. Colombia’s new labor law makes reference to possible consideration of family responsi bilities in the determination of wages. In the United States in 1944-45, the salary schedules in a relatively small number of public school systems included supplements for teachers with family responsibilities. Aid for dependent children under 1 Prepared by Mary T. Waggaman, of the Bureau’s Publications Staff. 930 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 931 the Social Security Act in the calendar year 1944 exceeded $135,000,000. From July 1, 1942, through April 30, 1945, $7,063,138,895 was disbursed in family allowances for the dependents of the Army, Navy, and Coast Guard personnel, $2,599,590,939 being contributed by the members of the Armed Forces themselves. The provision of $50,000,000 in the 1946 Appropriation Act for the Department of Agriculture for school lunches might be regarded as a grant for children’s allowances in kind. Other proposed benefits, such as large lump-sum birth bonuses, an appropriation of $150,000,000 for student aid in behalf of youth under 21 years of age continuing their education or training, and a “basic food-allotment” system, are close to the border line of child endowment. Demands for higher pay and for a guaranteed annual wage are becoming more frequent. General trends in fam ily allowances.—There appears to be a growing tendency to correlate family allowances with credit for dependents under income-tax legislation, which emphasizes the fact that children of parents in the very low income brackets receive little or no benefit from such exemptions. The controversy between the advocates of family allowances in cash and of allowances in kind seems to be developing into a compromise which would provide for both types of benefits. For example, a recent British article states that “cash allowances and social services should not be regarded as alternatives but as different facets of a common policy.” 2 That family allowances are becoming more acceptable to organized labor is indicated in the recent annual interviews of delegations from the principal Canadian federations of labor with members of the Dominion Cabinet and the statements of British labor representatives in parliamentary debates. These allowances were recommended in the declaration of the Committee on Postwar Reconstruction and Immedi ate Trade Union Demands at the World Trades Union Conference at London in February 1945. A delegate from the Congress of Indus trial Organizations was chairman of the committee. British Empire GREAT BRITAIN3 The British Family Allowances Act of June 15, 1945 (8 and 9 Geo. 6, ch. 41), will bring into being a reform advocated since World War I. According to estimates by the Government, approximately 2,500,000 families with 2 or more children will come under the act, and about 4,400,000 children will be eligible for allowances. It is estimated that the law will entail an annual cost of £57,000,000.4 The cash allowances are to be supplemented, under the new Education Act, by free milk and meals to school children, at an ultimate cost of £60,000,000 per annum. Major 'provisions.—The act, which is based largely upon the pro posal for family allowances in the Beveridge Report on Social Security and the subsequent White Paper on the subject, provides for an 2 The Highway (London), April 1945 (p. 99). 3 Data are from 8 and 9 Geo. 6, ch. 41; British Speeches of the D ay (British Information Services), April 1945 (p. 300); Canadian Labor Gazette (Ottawa), June 1945 (p. 812); and Parliamentary Debates, March 8, 1945. i Average exchange rate of British pound in July 1945, free=$4.029. 6 7 0 1 1 9 — 45 ------- 7 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 932 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 allowance to every family including 2 or more children, at the rate of 5 shillings per week for each child in the family except the eldest. A “child” is defined as a person under the upper limit of the compulsory school age; or one over that age until August 1 next following his or her sixteenth birthday, if attending school full time or apprenticed. Beneficiaries include the own child or children of a man and wife living together and other children being maintained by them; or the own child or children of a man not living with his wife or having no wife, and any children maintained by him; or those of a woman not living with her husband or having no husband, and any children main tained by her. Children who are already receiving benefits under the Poor Law Act, 1930, or under the Widows’, Orphans’ and Old Age Contributory Pensions Act, 1936, are not to be treated as included in any family. Adjustments are to be made in cases of children for whom equivalent grants are receivable under provisions for the naval, military, and air forces and for war injuries. Certain residential requirements are specified, but reciprocal ar rangements are permitted with other parts of the British Dominions having similar legislation. Allowances for the family of a man and his wife living together are receivable by either parent. Such grants are inalienable. A penalty of imprisonment not to exceed 3 months, or a fine not exceeding 50 pounds, is provided for wrongfully obtaining or receiving these benefits. Any person contravening or failing to comply with the regulations made under this act “shall be liable on summary conviction to a fine not exceeding 10 pounds.” Allowances will be considered as taxable income, but the income-tax exemption of £50 per child will be continued. The act becomes operative on such date as may be determined by the Minister of National Insurance. Attitude of labor.—The change of attitude of the British Trades Union Congress on the subject of family allowances, noted in previous articles in the Monthly Labor Review, was described as follows dur ing the Parliamentary debates on the new measure: Now opinion has changed, and the T. U. C., as well as the political movement to which I am privileged to belong, have declared themselves in favor of fam ily endowment, or fam ily allowances, on the principles laid down in this bill. There are two reasons for that. We think now of this great principle which we are establishing, in a inodest way, today not as something by itself, but as part of a great comprehensive social-insurance scheme by which we shall provide security for our people. It is in that sense that we have to consider this bill today, not in isolation but in relationship to the other schemes which are forthcoming. It is part of the National Insurance scheme, part of the complete structure which eventually—-and in the not-too-distant future—-we hope we shall build. I think another reason for the_ change in public opinion generally, and particularly in our own movement, on this subject, is th e fine pioneering work done in this m atter, as in every other kind of social security matter, by the Labor Government in New Zealand. AUSTRALIA 5 In Australia, during tbe fiscal year ended June 30, 1944, the sum of £12,256,976 6 was disbursed for 921,973 children under 16 years of 5 Data are from Bulletin of Child Welfare League of America (New York), February 1945; Australia (Australian News and Information Bureau, N ew York), July 1945; Montreal (Can.) Gazette, June 27, 1945 (p. 17); and Australian Worker (Sydney), January 10,1945. 8 Average exchange rate of Australian pound in 1944=$3.228. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 933 SOCIAL SECURITY age, under the Child Endowment Act. This act, which came into effect July 1, 1941, was amended on June 30, 1942, to include children in Government charitable institutions approved by the Minister of Social Service. Previously only private charitable institutions had been covered, except when the maintenance cost of the child was paid partly or entirely by the parent or guardian. Table 1 gives the amounts disbursed under this act for the 3 fiscal years ending June 30, 1944: T able 1.— Statistics of Child Endowment in Australia, 3 Years Ending June 30, 1942, 1943, and 1944 Year ending— June 30, 1944_______________________ June 30, 1943 _____________________ June30j 1 9 4 2 ............................. .............. Total number of en dowed children 921,973 908,159 909,847 Endowed families Total amount paid to endowees and ap Number proved Number of chil institutions dren Pounds 1 12,256, 976 11, 659, 626 11,302,863 503,140 491,121 487,674 903, 577 891, 221 895, 558 Institutions Number 321 315 246 Number of chil dren endowed 18,396 16,938 14, 289 1 Average exchange rate of pound in period 1942-44=$3.228. Under an act passed in June 1945, the rate of benefit was increased from 5s. to 7s. 6d. a week for each child under 16 years of age, with the exception of the first. There is no means test. This amendment affects 935,411 children and will, it is estimated, add $22,100,000 per annum to Government expenditures. With certain specified exceptions the endowment is paid to the mother. (The term “mother” under the act includes a stepmother or foster mother or the wife of a man maintaining an adopted child.) Mothers in Australia also receive a bonus of $16 when a child is born and a maternity benefit of $4 per week for 8 weeks. The great majority of Australians are members of hospital benefit funds which include free hospitalization for maternity care. The first child in the family is not endowed. It is the belief of the Commonwealth Arbitration Court that “the basic-wage family [parents and one child] should be assured of adequate nutrition, but that nutrition and clothing became matters of concern as the number of children increased.” Although efforts are still being made for the extension of endowment to the first child, the cost of such an extension is a hindrance. It was estimated, even before the July 1945 liberaliza tion of the rate, that endowment of the first child would cost £11,000,000 a year. The Director-General of Social Services in Australia stated that since the passage of the original act, in 1941, some decline in mortality among children has been apparent and their health and happiness have shown improvement. No spectacular rise in the birth rate is claimed, but to the degree that parents of large families have had some relief from economic harassments, the tendency of the scheme “must be in the direction of improving the rate.” An incomplete survey indicated that the majority of the beneficiaries were making “good use” of the allowances under the Child Endowment Act and were applying the grants for the purposes for which they are made. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 934 M O N T H LY LABOR REVIEW----NOVEMBER 19 45 The Western Australian Commissioner of Native Affairs was quoted as declaring— Whilst it is obvious to me that, generally speaking, the native children are better dressed and in better health because of payment of child endowment, there have been correspondingly good features arising from payments to endowees. Until recently there was a good deal of simple mating between detribalized parents but now there is a definite tendency towards the social question of marriage, and noticeably, too, there is more desire for the education of native children. In Australia, as in various other countries, the war has accentuated sharply the fact of the shrinkage in the birth rate, leading the Acting Prime Minister of the Commonwealth to make the following comment: We must make a realistic approach to 3 million square miles but carries only sharp fall of the birth rate pointed to a the next 3 decades. H istory will some being overrun. Divine Providence was another chance. the population problem. Australia has 7,300,000 people. In prewar days the decline in Australian population within day reveal how close Australia was to on our side. We might not be given CANADA 7 The Canadian Family Allowances Act of August 1944 became oper ative on July 1, 1945. Under this statute, a monthly allowance is payable from the Consolidated Revenue Fund, for each child under 16 years of age resident in Canada and maintained wholly or substan tially by the parent.8 The scale of payments for the first four children is as follows: Amount per child Under 6 years of age_______________________________ 6 and under 10 years of age_________________________ 10 and under 13 years of age_______________________ 13 and under 16 years of age_______________________ $5 6 7 8 For a fifth child maintained by the parent the above rates of allowance are reduced by $1;9 for the sixth and seventh children, by $2 each; and for the eighth and each subsequent child, by $3 each. The grants must be applied “exclusively toward the maintenance, care, training, education, and advancement of the child.” Benefits may be discon tinued if they are not properly applied. It has been decided administratively that the allowance shall be paid to the mother or to the female person (if any) taking the place of the mother. Special arrangements will be made in regard to Indian and Eskimo families, the latter to be granted allowances in kind rather than in cash. Official estimates by the Department of National Health and Wel fare indicate that the total disbursements in family allowances for a full year, if all eligible children are registered, will total $253,560,000, payable to about 1/ million families, for about 3K million children. The expenditure is given as a gross figure, no account being taken of refunds to the Government through reduced tax exemptions, which it is anticipated will aggregate about $50,000,000. The scheme is entirely a Federal project, both financially and administratively. 7 Data are from report from Homer S. Fox, commercial attaché, United States Embassy, Ottawa, July 6, 1945 (No_. 190); American Sociological Review, June 1945; Public Welfare (American Public Welfare Associa tion ^Chicago), August 1945; Revenge of the Cradles, by C. E. Silcox (Toronto, Ryerson Press, 1945); Public Affairs (Dalhousie University, Halifax), Winter 1945; Trades and Labor Congress Journal (Montreal), M ay 1945; and Canadian Labor Gazette (Ottawa), M ay 1945. 8 “Parent” means any person who maintains or has custody of a child. The term does not include an institution. 8 Average exchange rate of Canadian dollar=90.9 cents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 935 SOCIAL SECURITY Family allowances and tax exemptions for dependents.—The familyallowance scheme has been so devised that it will be of assistance only to families in the lower income brackets. Families having an income of over $3,000 benefit only by tax exemptions for dependents. In the last census year—1941—upon which some of the estimates relative to family allowances are based, 300,384 persons were assessed for income tax, 66.7 percent of whom had incomes not exceeding $3,000. B y 1944 the number of taxpayers had risen to 2,450,000, of which 1,290,000 had incomes of $2,000 or less, and 595,000 had incomes between $2,000 and $3,000, leaving a balance of 565,000 with incomes above the level at which any benefit from fam ily allowances is obtainable. While not all of this last group (probably only a minority) have dependent children, the number is perhaps sufficient, added to the number in the $l,200-$3,000 income bracket benefiting only partially from the allowances, to make a substantial reduction in the net total allowances p ay able by the Government. The legislation is expected to increase the buying power of the Nation and consequently to provide additional employment. As it is officially estimated that 84 percent of the children under 16 are dependent on only 19 percent of the gainfully employed, it is also claimed that the disbursement of funds in family allowances “ will be far more effective and equitable than an equal amount of money dis tributed in increased wages or salaries, without reference to unequal needs.” The statute also tends to rectify the previous anomalous situation which resulted from the financial advantage through incometax exemptions which were accorded to persons in the middle and higher income groups, but not to those in the low income groups (as family heads with incomes under $1,200 were not liable for income tax, the exemptions for dependents did not, of course, affect them). The following tabulation shows the proportion of actual benefit receivable from family allowances which will be canceled by 1945 income-tax adjustment for married persons and persons having a married status (other than those in the armed forces): 10 Percentage of family allowance to be canceled 1 1 • M O O UlrW iy C'/l'l/ Amount of taxable income: tax deduction N ot over $1,2 0 0 ___________________________ 0 Over $1,20 0 but not over $1,400__________________ 10 Over $1,400 but not over $1,6 00__________________ 20 Over $1,600 but not over $1,8 00__________________ 30 Over $1,800 but not over $2,000__________________ 40 Over $2,000 but not over $2,200__________________ 50 Over $2,200 but not over $2,400__________________ 60 Over $2,400 but not over $2,600__________________ 70 Over $2,600 but not over $2,800__________________ 80 Over $2,800 but not over $3,000__________________ 90 Over $3,000______________________________________ 100 Adjustments for members of the armed forces, and for single per sons supporting children, would differ somewhat from the above. Public attitude toward the law.—Comment on the family-allowance legislation ranges from laudatory approval to highly caustic criticism. For example, the act has been described, on the one hand, as “ much the most ambitious social measure ever to be enacted by Parliament,” “ a great instrument for combating want,” and “ the greatest single reform since the adoption of free education,” and, on the other, has been declared to be “ probably the most precipitate and indefensible The 1945 income-tax arrangement is temporary, pending amendment of the tax law. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 936 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 piece of legislation which a civilized Government has ever ventured to pass in wartime.” It has been charged that the act is unconstitutional, probably be cause, under the British North American Act, it is primarily the responsibility of the Provinces to enact social-welfare measures. Attitude of organized labor.—-The new legislation has received little criticism from organized labor, which until recent years feared that the granting of family allowances would adversely affect its claim for increased wages. However, the rise of wage scales in both Australia and New Zealand since they have had child-endowment acts has tended, according to some observers, to allay such fears. At the 1945 annual interviews of representatives of several of the major federated labor organizations of Canada with Dominion Cabinet ministers, references were made to family allowances. The Canadian Trades and Labor Congress recommended such grants, but stated that they must not take the place of an adequate wage rate, and that the Con gress would continue its efforts “to achieve the proper wage level as a basic need for workers and their families as a fundamental condition for continued prosperity.” The Canadian Congress of Labor also endorsed family allowances with a similar proviso. The Canadian and Catholic Confederation of Labor recommended that family allowances should not be substituted for decent minimum wages, and advocated that the grant for the fifth child and subsequent children should not be decreased. Administration of act.—It is said that the success of this venture in family allowances will depend largely upon the administration of the statute, and that the administrative features are more complex than they seem or have been reported to be. Since the passage of the measure through the Canadian House of Commons, a new department has been established by the Dominion Government for the administration of health and welfare services, and two Deputy Ministers have been appointed, one for health and the other for welfare. According to a writer in the winter 1945 number of Public Affairs, “If the Federal Government is not discerning enough to work out a coordinated plan with the Provinces and the municipalities in dealing with the social service aspects of family allowances, we will have lost one of our best opportunities for promoting social progress.” NEW ZEALAND 11 In New Zealand, under a measure effective October 1, 1944, the allowable gross income in relation to family benefits was raised to £5 10s. (exclusive of the family benefits), and the weekly benefits for each dependent child under 16 years of age was raised from 7s. 6d. to 10s.12 Further changes have been proposed. Thus the New Zealand Standard (official organ of the Labor Party) in its issue of March 1, 1945, suggested that one way of coming to the aid of the lower-bracket taxpayer with children, without raising the benefits of those who can afford to pay, would be to eliminate the tax exemption for children 11 Data are from N ew Zealand, a Working Democracy, by Walter NashJ(New York, Duell, Sloan, and Pearce, 1943); N ew Zealand Standard, February 8, March l, and April 26, 1945; N ew Zealand Newsletter April 1945, and information supplied to the Bureau of Labor Statistics by the N ew Zealand Legation in Washington. 12 Average exchange rate of N ew Zealand pound (20 shillings) in 1944=$3.24. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 937 and substitute an income-tax credit of 10s. per week per child. In the same publication, April 26, 1945, a Member of Parliament was quoted as predicting that after the war family allowances will be extended to all persons. In his opinion, the means test, in connection with family allowances, meant in numerous cases that an increase in wages was of little benefit to a worker. Minimum-family-income legislation proposed by the Government would provide a man and wife with an income of not less than £4 per week; any lower earnings, pension, benefit or income would be aug mented by social-security grants in amounts necessary to raise the income to thatTminimum. In New Zealand free apples and milk are distributed to school children and free dental treatment is given them in special clinics. INDIA The question of family allowances has been raised in India. The Bulletin of the Indian Federation, of Labor (Delhi) of April 1944, contained an article in which it was said—• Size of a worker’s fam ily is always expanding. * * * I f no provision is made for the members in addition to the average size of the fam ily, then the standard of living of the fam ily is bound to go down. * * * A lower average per consumption unit would mean driving the fam ily to make severe inroads on their health. For it would be impossible even by exercising the extreme frugality to make adequate arrangement for bare necessities. A system of wages should, therefore, take account of these facts and expand with the expanding size of the fam ily. A system of fam ily allowance with an equalization fund is, therefore, suggested. The average size of the fam ily should be fixed and allowance made only in respect of children in excess of the average number. Since January 1944 a scheme for supplying free milk has been in operation in Bombay City. In the first quarter of that year, 38,764 children each were receiving half a pound of milk a day, served from 13 labor welfare centers.13 SOUTHERN RHODESIA In the South African Journal of Economics of March 1945, reference is made to proposals under consideration in Southern Rhodesia for a social security scheme which would include family allowances. UNION OF SOUTH AFRICA The South Africa Social Security Committee appointed in January 1943 included in its recommendations for social security, family allowances for large families. This report was given to Parliament during the 1944 session, and the House of Assembly appointed a select committee to consider the recommendations. In turn the select committee recommended that a modified social-insurance scheme should be prepared for introduction at the 1945 session of Parliament.14 Accordingly an interdepartmental committee was appointed for this purpose, but no information is available as to whether these proposals have yet been submitted to Parliament. 13 International Labor Review (Montreal), September'"1944 (p. 384). 14 Outline of Postwar Reconstruction (Union of South Africa,«Pretoria,'1944)5 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 938 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 Continental Europe BELGIUM 15 Under the Belgian social-security legislation of December 28, 1944, a national office was established in the Ministry of Labor and Social Welfare to collect and allocate contributions payable under this meas ure by employers and workers for various purposes, among them increased rates of family allowances. An order of December 29, 1944, raised the monthly rates from January 1, 1945, to 115 francs each for the first and second child, 160 francs for the third child, 210 francs for the fourth, and 300 francs for the fifth and subsequent children.16 For orphans the above rates are doubled. A worker’s right to family allowances continues when he is sick or injured in an accident for which he is entitled to a pension, provided his degree of incapacity is not less than 66 percent. Should the worker’s death be the result of an industrial accident or an occupational disease, his children are eligible for family allowances for the period designated in the Family Allowances Act of August 4, 1930. When a child is born for whom a family allowance is payable under that law, the fund must grant 1,000 francs for the first child and 500 francs for each succeeding child. The order of December 29, 1944, instituted substantial changes in earlier legislation, especially in permitting recognized independent funds and special funds to call upon their members for an additional contribution in order to secure “certain family benefits other than sup plementary family allowances.” The new order also simplifies the administration of the family-allowance system and eliminates some inequalities that in the past have been the subject of criticism. CZECHOSLOVAKIA The Czechoslovak Government has recognized that the liberation of the country affords an opportunity to reorganize the whole scheme of social insurance, which at present includes no provision for children’s allowances. At the Government’s request, Prof. Emil Schoenbaum, actuarial adviser of the International Labor Office, prepared a program for “the reconstruction of social insurance in Czechoslovakia,” which contains the following paragraph concerning children’s allowances. “ Use can be made of the organisation of territorial institutions (dis trict insurance institutions) as pay offices for the proposed grants to large families, consisting of allowances for each child except the first, the first two, etc. This scheme could be financed either directly by the State, or with the participation of employers and employees, depending on the financial situation. It should be put into force only after the completion of thorough administrative and financial prepara tion.”17 DENMARK 18 Following wage increases that were accorded to workers in Denmark in August 1944, a voluntary agreement was reached in regard to 15 Data are from International Labor Review (Montreal), April 1945 (p. 527); and Great Britain, M inistry of Labor Gazette, (London), March 1945 (p. 47). « Exchange rate of Belgian franc, set September 1944 = 2.28 cents. 17 International Labor Review (Montreal), February 1945. 18 Data are from report (No. LI) by Richard A. Forsyth, labor attaché, and M . Holmgren, United States Legation, Copenhagen, July 1, 1945; and airgram'from Stockholm, November 13, 1944. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 939 salary advances for civil servants, effective November 1, 1944. Under the agreement, unmarried State employees receive a cost-of-living allowance of 80 kroner additional, per annum; for married employees, 40 kroner extra are added, raising their allowance to 120 kroner.19 About 70,000 State employees are covered by this agreement, which costs the Government 7,000,000 kroner a year. Similar cost-of-living allowances are paid to 25,000 municipal em ployees in Copenhagen, at an annual cost to that city of approxi mately 2,500,000 kroner. These supplements were likewise effective from November 1, 1944. On May 9, 1945, at the opening of the first postliberation parliamen tary session, the Social Democratic Prime Minister submitted the Government’s program. That program among other matters relative to the social and labor conditions in Denmark, set forth the following policy: “Until wages match the real wage level as it was before the war the present rebate system for people of small means will be maintained with particular regard to big families.” Under the rebate system mentioned, it is reported, in the fiscal year 1942-43, the sum of 67 million kroner was disbursed to consumers in direct foodstuff rebates, and 22 million kroner in the form of clothing rebate coupons. FRANCE 20 On October 3, 1944, the Minister of Labor and Social Security issued a circular requesting the chairmen of the family-allowance equalization funds to admit to the benefits of such funds the family heads who had refused to perform compulsory labor for the Germans and conse quently had received no allowances for some time. The funds were to be reimbursed, for any sums so paid, by the Central Committee for Family Allowances from a special fund constituted from contributions by German enterprises. After the general increases in French wages in the fall of 1944, an order was issued on October 17 of that year which appreciably bettered the living conditions of families of wage earners. This order, effective (beginning September 1, 1944) for 6 months (but later extended to December 31, 1945), provided not only for larger family allowances but also for increases in the birth bonus for the first child and in “single wage allowances.” The increase in family allowances amounted to 80 percent for families having 2 or 3 children and to 50 percent for families having more than 3. Table 2 shows benefits under the old and amend ed plan in the Department of the Seine. On January 6, 1945, an order, effective February 1, was promul gated by the Provisional Government of France, which reorganized salaries of officials of the Government and civil and military pensions. According to a communiqué issued on December 30, 1944, this reform included— (1) The fixing of a basic salary for all officials, with a minimum of 36,000 francs 21 a year; (2) the réintroduction of a progressive salary » In August 1945, the buying rate of the krone in Denmark was quoted as 20.79 cents, the selling rate as 20.8 cents. 20 Data are from International Labor Review (Montreal), M ay 1945 (p. 609); Journal Officiel (Paris), November 30,1944 (p. 1537); Canadian Trades and Labor Congress Journal (Montreal), M ay 5,1945 (p. 41); World Economies (Washington, D . C.), March-June 1945; and Free France (French Press and Information Service, N ew York), January 15 and M ay 15, 1945. 21 The “invasion” exchange rate of the franc was quoted in June 1944 as 2 cents; on October 10, 1945, the exchange rate was quoted as 2.018 cents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 940 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 scale for different grades, the maximum annual salary for certain high officials being fixed at 450,000 francs; (3) the abolition of sub sidiary allowances; (4) compulsory savings for all officials whose gross remuneration exceeds 100,000 francs; (5) increased benefits for officials with family responsibilities; (6) a revision of all posts created since 16 June 1940 and the introduction of measures to increase efficiency. T a b l e 2 .—Family Allowances in the Department of the Seine, France, Effective September 1, 1944 Amount of allow ance Amount of allow ance Size of family Fam ily allowances to families with— 2children__ _ _ _ _ _ 3 children____ . . . ___ 4 children __ _ _ ___ 5 child ren_________ _ 6 children_____ _________ Old scheme Effective Sept. 1, 1944 Francs 2 225.00 675.00 1, 350.00 2,025. 00 2, 700. 00 Francs2 405.00 1, 215.00 2,025. 00 3, 038. 00 4, 050. 00 Size of family Old scheme Family allowances and single wage allowances 1 to fami lies with— 1 child-- ___ _____ _ 2 children___ ______ ____ 3 children. __ _ _______ 4 children__ ____ _______ 5 c h ild re n ____ ________ c h ild re n ______ _______ 6 Effective Sept. 1, 1944 Francs 2 Francs 2 450. 00 675.00 787. 50 1, 248. 75 1, 350. 00 2, 227. 50 2.025.00 3,038. 00 2, 700. 00 4, 050.00 3.375.00 5,062.00 1 T h e “ s in g le - w a g e a l l o w a n c e ” i s p a y a b l e t o f a m i li e s o f w a g e e a r n e r s a n d p u b l i c o f fic ia ls w h o r e c e i v e in c o m e fro m o n e so u r c e o f e m p lo y m e n t o n ly . 2 E x c h a n g e r a t e o f F r e n c h f r a n c i n N o v e m b e r 1944 w a s q u o t e d a s 2 c e n t s . As an outcome of many representations by the French Seamen’s Union, allotment notes and family allowances, which under the Vichy regime had been discontinued for the families of seamen working for the Allies, have been resumed. As the decision is retroactive, those who were excluded from any allotment or allowance in the 1940-44 period are entitled to receive the full arrears. Pending final settle ment, lump sums of 3,000 francs for the wife or each parent, and 1,000 francs for each child dependent on the seamen, were paid. Population problems.—At present 6 million of the 40 million inhab itants of France are elderly people. “If France is to live, if she is to enter upon a bold and progressive program of military, social, and economic development, she must necessarily have a more youthful population, and she can if society welcomes children and if the State supports the family.” This declaration was made in the May 15, 1945, issue of Free France. The same publication reported the establishment of a Secretary-Generalship for Families and Popula tion, in the Ministry of Public Health; an Advisory Committee on Families and Population connected with the Office of the Premier; and an Inter-Ministerial Committee on Families and Population. A population institute, it was stated, would be founded in the near future. A vigorous campaign will be carried on to reduce the high death rate, combat disease and alcoholism, and organize social secu rity and health instruction and improve child care. Existing privi leges for families with children will be increased; among these the system of family allowances is listed. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 941 SOCIAL SECURITY The “ cardinal importance” of population growth in France was stressed in the March-June 1945 issue of World Economics as follows: The French birth rate has been steadily declining. During the German occu pation it fell further, from 650,000 to 400,000 a year. While a falling birth rate is a general trend in Western Europe, the density of the French population does not compare favorably with that of other countries of Europe. French patriots will not easily forget what happened to the 40 million French population when confronted practically alone with 80 million Germans. More and more encour agement will be given to large families. Fam ily allowances, which were ridicu lously low in prewar France, will become a steadily growing component of the fam ily income. Wages and salaries will evolve more and more from an individ ualistic to a fam ily basis. ITALY 22 In 1944, two legislative decrees were issued in Italy on family allowances. No. 303, of November 2, granted a cost-of-living allow ance of 5 lire a day 23 for each dependent of all workers entitled to family allowances except agricultural workers. However, in accord ance with the same decree, all workers in the latter group were granted a flat increase of 10 lire. Decree No. 307, of November 9, provided a more substantial increase in benefits, and also removed some of the inequalities in cluded in the Fascist laws on family allowances. The average allow ance per child is computed under the previous law and is raised by 50 percent. As a consequence, the total increase for small families is somewhat over 50 percent and for large families somewhat less than 50 percent. The decree raised to 3,000 lire per month per worker the amount upon which family-allowance fund assessments might be computed, and the Government agreed, under this measure, to meet any deficit in the fund up to 350 million lire, as a result of higher payments. Grants are to be made for parents and grand parents only when they live with the worker. Formerly, banking and insurance and agricultural workers were not eligible for benefits for grandparents, and industrial and banking and insurance workers were entitled to benefits for parents who did not reside with them. Five other decrees had not yet become law. These, respectively, provide for a representation of labor and management on the Special Committee on Family Allowances, broaden the salary bases for com puting assessments for the Family Allowance Fund, provide for future limitation, by decree, of the types of remuneration on which such assessments may be computed, increase to 3,600 lire the maximum amount of monthly remuneration per worker subject to assessment, and provide for a cost-of-living bonus of 104 lire a month to industrial workers and to clerical workers in agriculture, and a bonus of 95 lire to workers in other sectors. Under this last-mentioned decree, “each worker will receive his own cost-of-living bonus directly from the employer, while the bonus for Iris dependents will be paid along with his family-allowance allotment. The decree is effective as of March 1, 1945, and pending its publication instructions have been given the Istituto Nazionale Previdenze Sociale to pay advances to workers.” 22 D a t a a r e f r o m r e p o r t f r o m J o h n C l a r k e A d a m s , l a b o r a t t a c h é a t U n i t e d S t a t e s E m b a s s y J u n e 25, 1945 ( N o . 1 0 7 ). at R om e, 23 The Allied Military Government established, in July 1943, for the liberated portion of Italy, an ex change rate of l lire for 1 cent. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 942 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 The following table, gives the amounts payable in family allow ances and cost-of-living bonuses. T a b l e 3 . —Ordinary Family Allowances and Cost-of-Living Supplements in Italy, March 1945 1 For each child For each parent For the wife Item Family allow ance Cost-ofliving bonus Family allow ance Cost-ofliving bonus Family allow ance Cost-ofliving bonus Industry (weekly allowance) :2 Manual workers __ _____________ Clerical workers _ _ ________ Agriculture (daily allowance) :3 Clerical workers _ ___ O th ers____________ ____ ____ _ Commerce, arts, and professions (month ly allowance) :4 Manual workers __________ Clerical workers___________________ Lire Lire Lire Lire Lire Lire 241 36/ 50 1 6 9 961 144/ 215 301 42/ 1.45 7. 1081 156/ 50 5 215 t51 24/ 0.80 4. 601 84/ 50 9 215 1 According to legislative decree of the Lieutenant General, N ov. 9,1944 (No. 307), with corrections made according to draft of decree described as No. 5, in report No. 107 (see p. 941). 2 Assessments (paid by employer)—amount: 20 percent on first 3,600 lire of gross monthly salary. 3 Assessments (paid by employer)—amount: 20 percent of first 3,600 lire of gross monthly salary (other than clerical workers). * Assessments (paid by employer)—amount: 14.8 percent of first 3,600 lire of gross monthly salary. NORWAY 24 Under a Royal Resolution of July 20, 1945, a wage supplement from Norwegian public funds may be granted those who are not usually employed in agriculture, but who are so employed during the existing manpower shortage. This wage supplement is 1 krone 25 per working day, plus 1 krone per dependent (par0rende) up to a maximum of 5 kroner a day. RUMANIA According to a decision of the Rumanian Office of Price Administra tion employees and laborers of private industrial, commercial, and transportation enterprises from July 1, 1944, “ are entitled to a family bonus in addition to their salaries.” State employees and laborers are not included in this provision, as their status and salaries are regulated by a special code. Under the decree, laborers are entitled to a bonus of 1,000 le i26 per month, or 40 lei per shift, for each child under 14 years. For children who are not able to work or children attending school (except apprentices) the allowances may be paid up to 16 years of age. For office workers in private enterprises the allowance is 1,000 lei for each son or daughter under 21 years, as long as such child receives no salary. If both parents are employed, the allowance based on their family responsibility is granted to only one of them. In cases in which family allowances are being paid at a rate higher than that here provided, no reduction is to be made. The allowance may be paid in kind—that is, in food or clothing—if the workers agree to such procedure. Enforcement of the regulations is vested in the Control Officers of the Office of Price Administration. 34 Ukens N y tt fra Norge (Royal Norwegian Information Service, Washington), August 9, 1945 (p. 227). 25 Exchange rate of krone in M ay 1945 was quoted as 20.175 cents. 26 Official exchange rate of lei, April 1, 1941, to April 1945 was a little over one-half cent. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 943 SOVIET UNION On July 8, 1944, a decree promulgated by the Presidium of the Supreme Soviet of the U. S. S. R. provided for an increase of Govern ment assistance to pregnant women, mothers of large families, and unmarried mothers; better protection for mothers and children; and institution of the honorary title “Mother Heroine,” and of the Order of Glory of Motherhood, and the Motherhood Medal.27 In the 12 months following the issuance of this decree, People’s Commissar of Health Protection of the U. S. S. R. Miterev reports: 27 “One and a half billion rubles 28 in State allowances were paid to hundreds of thousands of mothers. In this period tens of thousands of mothers were decorated with the orders and medals created by the decree. The honorary title of ‘Mother Heroine’ was conferred on hundreds of women.” SPAIN In a report giving social-insurance statistics for Spain, published in the International Labor Review (Montreal), July 1944, the following statements are made: The largest benefit expenditure has been incurred in respect of fam ily allowances, which in 1942 accounted for 378 million pesetas,29 including widows’ pensions, marriage loans, and birth bonuses. In 1942 the number of workers insured for fam ily allowances, excluding public officials, was 2,409,526 and the number of families receiving these allowances was 1,12 7 ,7 7 4 . The family-allowance system recently increased the rate of its allowances, with the result that in 1944 it is expected that the expenditure will rise to 776,110,000 pesetas; part of this increase, however, will be due to a more intensive application of the system to agriculture. SWEDEN 30 The Swedish Postwar Economic Planning Commission, headed by Prof. Gunnar Myrdal, submitted to the Government a proposal for reducing unemployment during depressions by subsidizing sales of durable consumer goods such as clothes and household equipment. In addition, it was urged, such a plan would operate to meet a need, otherwise not satisfied, on the part of large families and families in which the mother is the only provider. It was estimated that 64,000,000 kronor (about $16,000,000) a year would be required to finance such subsidized production. The Conservative representatives of the commission dissented from the above proposal of the majority. Another proposal aimed at equalizing the economic conditions of large and small families is that a children’s allowance scheme (barnbidrag) be established covering all children regardless of the income of their parents, it being argued that the fixing of a maximum income would discredit the provision as “poor relief.” Such a scheme would largely replace existing legal provisions favoring large families. In May 1945 two measures on this subject were rejected by the Swedish Parliament, which decided to wait for the report of the Population Commission before taking any action. 21 Information Bulletin of Embassy of Union of Soviet Socialist Republics (Washington, D . C.), July 26, 1945. 2* Exchange rate of ruble was quoted in April 1945 as 18.87 cents. 29 Exchange rate of gold peseta was quoted in December 1942 as 32.67 cents, of paper peseta as 9.133 cents. 30 Data are from report No. 5772 from office of labor attaché, United States Embassy, Stockholm, June 30, 1945; and Foreign Commerce Weekly (U. S. Bureau of Foreign and Domestic Commerce, Washington), March 31, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 944 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 SWITZERLAND 32 At the close of December 1944, the purchasing power of the average Swiss worker was only 92.4 percent of what it was just before the out break of the war. This gap between earnings and prices, although not nearly so wide as in various other European countries, created much dissatisfaction among the workers. The Federal Counselor heading the Department of Public Economy promised remedial action. An interim expedient proposed was the institution of family-allow ance funds. Such funds had been established as an emergency measure during World War I, but had been discontinued; only one Cantonal fund was in operation in 1939. However, in the period 1941— 44, compensation funds for family allowances were again organ ized, and on a more comprehensive scale. Three Cantons, Yaud, Geneva, and Fribourg, have passed laws making compulsory the provision of family allowances. The Yaud act was passed in May 1943, the Geneva act in February 1944, and the Fribourg act in February 1945. Under the Vaud law, which covered over 90 funds in 1944, every employer affiliated with the general fund must pay each month (a) an amount not exceeding 2 percent of the total wages paid in cash or in kind to its employees working in the Canton, (b) a contribution toward expenses of administering the fund, and (c) a contribution toward a reserve fund, but (b) and (c) must not exceed one-half of 1 percent of the employer’s total pay roll. Swiss employees of these affiliates of the general fund become eligible at the birth of the second child to a grant of 10 francs 33 a month for each legitimate or illegiti mate child under 16 years of age; the first child is also included if the parents have been residents of the Canton for at least 10 years. The allowances are paid regardless of the parents’ income. An allocatee must be “ the father or mother of a family, married, divorced, or widowed, having the legal responsibility and actual charge of the children.” The Geneva act includes wage earners, manual workers, and office employees who have lived at least 2 years in the Canton. A monthly allowance of at least 15 francs is paid for each child under 18 years of age and in specified circumstances up to 20 years of age. These grants are made through family-allowance funds. Under the Fribourg act the provisions are similar, but the allowance is not so large. As of June 1 , 1945, the Fribourg Fund had 95 affiliates and had granted allowances to 1,365 children. One of the special funds established under the Fribourg act was organized by peasants and is adapted to agricultural conditions. Although in theory all of the family-allowance funds are temporary means adopted to meet an emergency, there is in fact in the Cantons an apparent trend towards the strengthening of the family-allowance provisions, as indicated by the compulsory features of the Yaud and Fribourg laws. The Vaud measure has been amended several times for the purpose of providing more definite administrative procedures and clearing up debatable points. Moreover, a tendency is discern ible toward the liberalizing of regulations concerning persons and conditions covered, the amounts of allowances, and more efficient 32 Data are from reports from Dorothy M . S e l ls , labor attaché, United States Legation, Bern, June 19 and September 22,1945. « Exchange rate of S w is s franc on M ay 1, 1943=29.1 cents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 945 reorganization of Cantonal systems. Recently, for example, the Canton of Vaud reached a decision to supplement the regular family allowance by a bonus of 45 francs for each birth in the family, and also to grant allowances to families with only one child. Latin America 34 ARGENTINA Regulation of the payment of family allowances to railway men in the Argentine Republic was provided for by a decree of July 3, 1944, retroactive to January 1, 1944. Approximately 150,000 wage earners and salaried employees were affected. Fam ily allowances are granted by this decree to railwaymen who have in their charge legitimate, legitimated, or illegitimate children under 16 years of age, or under 18 years of age if they are attending industrial or special schools, and with out age limit if they are disabled, and to railwaymen who have permanently in their charge orphans or abandoned children under the same conditions. In order to obtain a fam ily allowance, the wage or salary of the person concerned must not exceed 300 pesos a month.35 A “ common fund” was to be formed, supported mainly from the proceeds of a 2-percent tax on railroad fares and from fines imposed under the regulations. The Railwaymen’s Pension Fund Section administers this common fund and determines, every 6 months, the rate of the allowances, the scale being based upon the available re sources. No figures on the amounts paid per child are available. Allowances are to be paid monthly, along with the wage or salary of the worker. BOLIVIA A recent decree provided for family subsidies in Bolivian banks. However, up to June 1945, no regulations had been issued for its enforcement and the decree was said to be so loosely drafted that uniformity of application was difficult. One bank was reported to be paying for all children under 19 years of age, another only for children of school age, and another was paying no allowances at all. BRAZIL In 1944 in Brazil, children's allowances were reported as being paid to an increasing number of beneficiaries. CHILE Family allowances of 600 pesos 36 per month (more in certain Prov inces) for each dependent were established in Chile under decree No. 2500 of June 24, 1944. COLOMBIA In the Colombian labor law passed in February 1945 family re sponsibilities were listed as one of the approved bases for differences in wages of “ workers doing equivalent work for the same employer", other bases listed were those “ of individual ability, of seniority or experience * * *, or of output." MData are from International Labor Review (Montreal), June 1945 (pp. 706, 792, 793); Bulletin of the Pan American Union (Washington, D . C.) July 1945 (425 p.); and certain confidential sources. 35 Average exchange rate of peso in 1944=29.7 cents. 36 Average exchange rate of Chilean peso=in 1944, special= 5 cents, free=3 cents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 946 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 URUGUAY Regulations for the operation of family-allowance equalization funds in Uruguay, which had been provided or under Act No. 10449 of November 12, 1943, were issued in a decree of May 17, 1944. United States 37 Payment of family allowances in cash to employed civilian workers in the United States is confined mainly to teachers in certain publicschool systems. However, aid from Federal, State, and local funds to dependent children deprived of parental support, which is a rather close approach to family allowances, totaled over $135,000,000 in the 12 months ending December 31, 1944. Federal Government disburse ments from July 1, 1942, to April 30, 1945, inclusive, for allowances for dependents of Army, Navy, and Coast Guard personnel, aggregated $7,063,138,895; of that amount, $2,599,590,939 was contributed by the members of the armed forces themselves. A subsidy of 50 mil lion dollars for school lunches, included in the appropriation act for the U. S. Department of Agriculture for the current fiscal year, might be considered as family allowances in kind. In some foreign countries, tax exemptions for dependents are being correlated with family-allowance legislative provisions. In fact, such exemptions might be considered indirect family allowances, although the family incomes in the lowest brackets are frequently too low to be subject to tax or, if so subject, too low to involve exemptions for all the children in large families. Credits for dependents in the United States for 1942 including taxable and nontaxable returns, totaled at least $10,463,321,000 (preliminary report).38 However, only the taxes which did not have to be paid on this amount can be considered as indirect allowances for the maintenance of dependents. FAMILY ALLOWANCES IN PUBLIC-SCHOOL SYSTEMS In 1944-45 at least 16 cities with a population of over 30,000 were paying family allowances or married men’s differentials in their publicschool systems, as shown in the following table based on an analysis made early in 1945 by the Research Division of the National Educa tion Association. Of these cities, 5 reported family-allowance pro visions and 11 reported married men’s differentials. The median for the maximum differentials in the 14 cities reporting definite figures was $300. Table 4 lists the cities which have included the family allowances or married men’s differentials in the years 1940-41 and 1944-45. In three cities—Rock Island, Dubuque, and Superior—the family allowance is payable to either women or men teachers, but in Rock Island and Dubuque it is restricted to those with dependent children; in Superior the allowance is payable, as well, for a dependent husband or wife. 37 Data are from Pub. No. 52 (ch. 109), S. 717, S. 837, and S. 1151 (all of 79th Cong., 1st sess.); Statistics of Income for 1942, Pt. 1 (U. S. Bureau of Internal Revenue, 1944); Source of Funds Expended for Public Assistance, 1944 (U. S. Social Security Board, Bureau of Public Assistance); Fam ily Allowance and Class E Allotment of Pay Expenditures, as of April 30, 1945 (U. S. War Department, Office of Depend ency Benefits); and unpublished data supplied to the Bureau of Labor Statistics by the U. S. N avy Department, Bureau of Supplies and Accounts, and by the National Education Association. 38 Furthermore, in 1942 an exemption of $1,200 was allowed an unmarried person such as a widow who maintained a household for herself and a dependent. This exemption was included under “personal exemptions” for taxpayers and their spouses and not under “credit for dependents.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 947 SOCIAL SECURITY T a b l e 4 . — Cities in the United States With Over 30,000 Population, Reporting Family Allowances or Married Men's Differentials,1 1940-41 and 1944-45 Amount 0] allowance Class of provision State and city 1944-45 Illinois: Bloomington Elgin. Peoria____ ___ . . . ______ Quincy___________ ____ ____ . . . Rock Island _______________ _ Iowa: Cedar Rapids _ . . . ___ _ Council Bluffs Dubuque Massachusetts: Brockton _ _______ ____________ Springfield Michigan: Dearborn_________________ Mississippi: Jackson Missouri: Joplin St. Joseph ........... Oklahoma: Muskogee South Dakota: Sioux Palls _____ Wisconsin: Green Bay ______ La Crosse - ______ Oshkosh _ _ ____ Racine ______ Sheboygan _____ ___ Superior ______ ___ Married men’s differential______ _ __ do________ _______ _______ ___ do____ __ _ _______ ______ Family allowances.__ _________ _ ___do_________ _______________ (2) $200 (2) 300 300 500 (2) (9 _ __do________________ __ __ ___ __ __do___________ __________ ____do___________ _____________ _ ___do_____________ ___ ______ (9 (9 __ __do_________________________ __ __do__ ________ _ _______ _ ____do___ _ ________________ ___ ____do______ _ _ _ _ _ _ _ _ _ _ _ ___do__ ___ __ _ _ _______ Family allowances_______ ______ (9 $500 500 (?) (5) Married men’s differential_______ Family allowances__ ______ ___ Married men’s differential_______ ___do______ _ ________ ________ (9 (9 (9 (9 (9 Married men’s differential_____ do ___________ ___ Family allowances____ _ . ___ 1940-41 400 200 100 120 400 400 300 300 300 200 (9 (9 (9 (9 (9 200 100 100 100 300 400 500 300 200 1 The amounts recorded indicate the maximum differentials between the salaries of married men teachers and women teachers or between persons with dependents and persons without dependents. 2 No provision. 3 No data. < At minimum salary only. * No lim it set for family allowance. • No schedule. 7 40 percent above schedule. 3 No schedule for men. The percentages which these differentials add to the maximum salary of a teacher with a master’s degree were found to range from 3.8 to 23.8. A distribution of these percentages for 14 cities is given below: Number of cities Less than 5.0 percent_________________ 5.09.9 percent__________________ 10 .0 14.9 percent_________________ 15 .0 19.9 percent_________________ 20.024.9 percent_________________ 1 5 5 1 2 In Quincy, 111., and in Springfield, Mass., only married men are eligible for family allowances. In 1940-41, there were approximately 60 cities with a population of less than 30,000 providing annual supplements to public-school teachers for family responsibilities. A preliminary inspection of the 1 9 4 4 - 4 5 public-school salary schedules for cities in the same popu lation group indicated that at least as large a proportion of these schedules included provisions for such allowances. LEGISLATIVE PROPOSALS Student aid .—The extension of family allowances beyond specified age limits when children continue their education is a conspicuous feature of various foreign family-allowance schemes. A bill (S. 717) 6 7 0 1 1 9 — 45 ------- 8 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 948 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 introduced in the United States Senate on March 8, 1945 (the Federal Aid to Education bill) would provide for disbursements by State authorities or by trustees (thus to cover both public- and nonpublicschool youth) to enable and assist students to continue their educa tion. The sum of $150,000,000 would be appropriated for assistance— 1. To persons 16 and under 2 1 years of age attending a public or nonpublic school or a training center which complies with standards prescribed by act of August 16, 1937 (50 Stat. 664— the act placing in Department of Labor power to promote standards for apprentices). 2. To parents of needy persons 14 and under 16 attending such schools or such training centers. The benefits would include scholarships, stipends, or compensation for work done for public or nonprofit agencies. Disbursements made under the plan would be applicable under similar conditions to all persons qualifying in the age group, ‘‘without discrimination on account of race or creed.” Lump-sum family allowances.—Bill S. 837, introduced on April 6, 1945, would provide for what might be termed “lump-sum” family allowances. The bill reads in part as follows: * * * the Chief of the Children’s Bureau is hereby authorized and directed to pay to the parents of each child born in the United States after the date of enactment of this act the sum of (a) $500 if such parents are the parents of one other child, (b) $750 if such parents are the parents of two other children, and (c) $1,000 if such parents are the parents of three or more other children. Food allotments.-—S. 1151 (the Aiken-La Follette National Food Allotment bill) introduced June 15, 1945, might be considered to provide for indirect allowances in kind. The purpose of the measure is to insure the efficient distribution of available food supplies among the people at various income levels and “that the means for obtain ing sufficient food for an adequate diet be placed so far as possible within the reach of every person in the Nation.” “Basic food allot ment,” according to the bill, means the specified “amounts of food per person per week or the equivalent thereof in nutritional value and approximate cost as determined by the Secretary of Agriculture.” The advantages that would accrue to large families are obvious, as the plan would be adapted to households of differing incomes and composition. International DECLARATION OF WORLD TRADE-UNION CONFERENCE COMMITTEE At the World Trades Union Conference held in London, February 6-17, 1945, a declaration was made by the Committee on Postwar Reconstruction and Immediate Trade Union Demands, which included a statement on family allowances. The paragraph on social security is quoted in full in order to show the setting of family allowances in the recommended social-security program: 14. Social security is another essential foundation stone of every society. However well national economies m ay be organized there will always be some men and women who are unable to work. It is therefore essential that a single and comprehensive system of State social insurance should be established in every country and financed m ainly by contributions from governments and employers. This system of social insurance must guarantee a normal existence for all working people whenever they are unable to secure this by their own labor, as a result of unemployment, temporary or permanent loss of the capacity for work, old age, ^industrial accident, sickness, and the like. Provision should, also be made for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 949 comprehensive medical and rehabilitation services free for all who need them. The health and safety of workpeople must be properly safeguarded by legislation which also provides for adequate supervision to secure its enforcement. Pre ventative measures must be undertaken by the government to diminish sickness and fatal accidents to a minimum. Governments should provide sanatoria and rest homes for workers without charge. They should provide adequate grants paid periodically to families who have lost their breadwinners and to orphans until theii coming of age. The welfare of children must be one of the prim ary concerns of all governments and therefore protected by the paym ent of fam ily allowances and by the provision of kindergartens, nurseries, and ample child welfare facilities. Finally, this Conference emphatically demands that there should be trade-union participation in the control and management of all such social insurance and social welfare schemes.39 The committee making the declaration included representatives of labor organizations in Great Britain, Soviet Russia, the United States, France, China, New Zealand, Latin America, and the British Crown Colonies, the chairman being a delegate from the Congress of Indus trial Organizations. U nem ploym ent Assistance and R etraining Program in Belgium 1 A PROVISIONAL system of unemployment compensation and re training was created in Belgium by a decree law of May 26, 1945, to operate within the general social-security scheme outlined in a decree law of December 28, 1944. The unemployment-insurance system covers workers who normally are employed under contract and have made certain contributions but who have involuntarily become un employed. It provides for such persons (1) benefits scaled on mini mum wage for age and sex, with family allowances, and (2) vocational retraining facilities. An extensive organization of public labor ex change is also established. The system is to be financed by contri butions from workers and employers and by State subsidy. It is administered by a director general, a central council, and regional exchanges, advised by joint committees of workers and employers with independent chairmen. Coverage and E ligibility 2 A worker is covered by the unemployment-insurance system and eligible for benefits if (1) he has been normally employed under the provisions of an employment contract, (2) he is available for work and has registered at a labor exchange of this system, and (3) he is involuntarily unemployed. The workers defined as normally em ployed under the provisions of an employment contract are those who make contributions to the Belgian social-security system ; or those who (though they do not contribute to that system) have paid their con tribution to an official or approved unemployment fund continuously from January 1, 1938, to May 10, 1945, and have paid their contribu tions for old-age pension during at least 3 years between January 1, 39 Report of the World Trade Union Congress, February 6 to 17, 1945, convened by the British Trades Union Conference. London, S. W. 1, 1945. 1 Data are from Moniteur Beige (Brussels), December 30, 1944, and June 25-26, 1945; and report of Smith Simpson, labor attaché, United States Embassy, Brussels, July 16,1945. . , 2 For a summary of the original unemployment-insurance system, see M onthly Labor Review, l 1ebruary 1944 (p. 296). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 950 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 1935, and May 10, 1945; or those who, because of their activity or professional study, are accepted as belonging to a category insurable under the regulations in force on May 10, 1940. A worker is not regarded as involuntarily unemployed under the terms of the decree law when he is (1) unemployed as a direct result of a strike which has been called with his consent or to support nonpro fessional claims, (2) on strike or the victim of a lock-out, unless the national council of the unemployment system considers him as involuntarily unemployed under the conciliation and arbitration regu lations, or (3) supporting, or a member of a group supporting, strikers in a manner to prolong a strike. Workers partially or accidentally unemployed for periods not longer than 2 weeks are not eligible for unemployment benefits. Unemployment Benefits Provided Daily unemployment-benefit rates provided by the decree law are scaled at 50 percent of the minimum wages, to be determined by the Minister of Labor and Social Welfare on the basis of collective agree ments in force. Payments are to be made weekly. Under minimum wages in effect on the date of promulgation of the decree law, the daily benefit rates were as follows: Daily rates (in francs 1 Male workers, 2 1 years and over____________________________ M arried minors_____________________________________________ Women, 2 1 years and over_______________________________ ___ Male workers, 18 to 20 years________________________________ Women, 18 to 20 years______________________________________ Male workers, under 18 years_______________________________ Female workers, under 18 years_____________________________ i 32 32 24 24 18 15 12 Exchange rate of the Belgian franc was quoted in September 1945 as 2.28 cents. In addition to the above, heads of families and persons with similar responsibilities who are eligible for unemployment benefit are to receive family allowances for (1) unemployed children under 16 years of age, (2) children attending general or vocational day schools, up to 18 years of age, and (3) children physically or mentally unable to work, up to an unlimited age. The daily allowances rates are as follows: Daily allowance (in francs) Each of first 2 children___________________________ Third child______________________________________ Fourth child_____________________________________ Fifth and each additional child____________________ 4. 60 6. 40 8. 40 12. 00 Unemployment benefit may not be paid for unemployment of less than 4 days in 1 month, for unemployment of only 1 day per week, or for unemployment of half a day (except in the case of dockers). Half days, however, may be totaled and counted in with the unem ployment of those who are partially unemployed. Claimants who make false or incomplete declarations are to be deprived of benefits for a period of not less than 1 week and not more than 13 weeks, and, on repetition of the offense, for specified longer periods. Financial Resources The unemployment-insurance system established by the decree law of May 26, 1945, is to be financed by contributions from employers and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SOCIAL SECURITY 951 employees, and (as provided by the social-security decree of December 28, 1944) by a State subsidy. The designated contribution from the employee amounts to 1 percent of wages, and the employer’s contri bution to 1 percent of pay roll—in both cases only on earnings up to 3,000 francs monthly.3 Occupational Retraining of Unemployed Retraining of workers is one of the major benefits provided by the system. Unemployed workers may be designated for apprenticeship retraining either individually or collectively by the consultative com mittees of the regional offices, after determination of the individual’s age and ability. Retraining or réadaptation of individual workers may be carried on in private plants, provided that the number of unemployed being re trained in a plant does not exceed 2 percent of those employed in the given plant. If there is special need for workers such as those being retrained, this rule may be relaxed. An unemployed worker may be assigned for training to plants employing fewer than 50 workers, if the employer undertakes to employ the trainee after retraining. Collective retraining may be provided in private plants, in retraining establishments created or subsidized by public moneys, or, under cer tain conditions, in a retraining center organized and supported by the unemployment fund. During the period of apprenticeship or retraining, the unemployed person retains his right to unemployment benefit, and may also receive other remuneration, provided that the sum of the unemployment benefits and other pay is not greater than the normal wage received by qualified workers in the occupation in which training is being given. During the same period, the unemployed worker’s name is retained on the list of available workers in his previous trade, but he may not be called for a job in that trade if another unemployed worker is available for it. An unemployed worker who refuses retraining or interrupts that training voluntarily is to be considered as voluntarily unem ployed, and would thus lose his right to unemployment benefits. Labor Exchanges The free, public labor exchanges established in the unemployment system are to be maintained under the supervision of joint committees as provided in the Belgian law of July 22, 1930, which ratified the In ternational Labor Convention on labor exchanges. The exchanges will form a national system, with regional offices, coordinated with the free private exchanges. All offices must collaborate with employers and their organizations, with workers and their organizations, and with agencies which can inform them of employment opportunities. They must exchange in formation on placement opportunities daily with neighboring offices and once a week with all regional offices. When making use of the labor exchanges, employers and workers are required to state the wage offered or demanded, the nature of the work and the degree of skill required (according to classes outlined by the joint committee), and all other conditions offered or required. 3 For details of contributions and financial resources, see M onthly Labor Review, July 1945 (p. 68). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 952 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Private exchanges. —Free private employment exchanges controlled by philanthropic or professional organizations are permitted to oper ate, provided they receive approval from the Minister of Labor and Social Welfare and submit required information to the administrative authorities of the unemployment-insurance system. This information must include two statements—one, to be made before the tenth of each month, reporting placements effected, and the other, to be made weekly, reporting the offers of employment which could not.be filled. Free private exchanges are authorized to receive State subsidies, in amounts to be fixed in proportion to the number of placements made. Fee-charging private employment exchanges are prohibited, except those operating for agricultural workers, domestic and other servants, musicians, and certain stage and other performers. Licenses for such exchanges are to be renewable annually (up to 10 years from the date of Belgium’s eventual ratification of the 1933 International Labor Convention concerning fee-charging exchanges), on application to the Minister of Labor and Social Welfare. Only exchanges which were in operation before May 10, 1940, are to be permitted to apply for licenses, and their activities are to be delimited by the aforementioned Minister. License holders will not be allowed to maintain their offices within any place at which liquor is sold. Administration of System The unemployment-insurance system is to be administered by a director general and a National Council, to be named by royal decree. The 13 members of the National Council must be selected as follows: 6 members from 8 candidates submitted by representative workers’ organizations; 6 members from 8 candidates submitted by represen tative employers’ organizations; and an independent chairman. The term of office may not exceed 3 years. The Council is authorized to discuss any problem which its members deem it advisable to con sider. The Director General must consult the Council on all general matters, reply to requests of the Council, and submit to supervision by the Minister of Labor and Social Welfare. Each regional office is to have the advice and supervision of a con sultative committee designated by the Minister of Labor and Social Welfare—4 members from the 6 candidates presented by representa tive workers’ organizations, 4 from the 6 candidates presented by employers’ organizations, and an independent chairman. The con sultative committees are required to advise the regional offices or labor exchanges and aid in improving the efficiency of their services, examine complaints, and insure the impartiality of services given to industry and labor. " J The duties of the regional offices include recruitmeut and placement, of workers, the retraining program, supervision of payment of unem ployment benefits (to be carried out bv local governments and ap proved workers’ organizations), and cooperation with the 9-man workers’ and employers’ claims committees which are to be created to settle disputes regarding benefit payments and workers’ rights. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Women in Industry E arnings of W omen in Illinois Industries, Ju n e 1945 1 WEEKLY earnings of women in various industries in Illinois in June 1945, in all reporting establishments, averaged $32.86, as com pared with $54.99 for men. These earnings were based on a report from a sample group of firms. In the manufacturing industries in the same month, women’s average weekly earnings were $34.59 and men’s $55.48, the latter being 79 cents below the peak record of December 1944 when overtime schedules were at the maximum, while the June 1945 earnings for women were the highest ever recorded. The accompanying table gives the average weekly earnings and the average weekly hours of work for women as compared with men, in specified industries, in June 1945. Average Weekly Earnings and Hours, and Average Hourly Earnings of Wage Earners in Illinois Industrial Establishments, by Sex, June 1945 1 Industry group All industries4 ___ _____ __________ Average weekly Average weekly Average hourly earnings 2 hours 3 earnings 3 Men Women Men Women Men Women $0.82 $54. 99 $32. 86 47.5 41.3 $1.16 M anufacturing________________ 55.48 34.59 47.7 41.5 1.16 .83 Stone, clay and glass_____ . ______ ______ _ Gravel and other stone__ ___ _ _ _ _ _ _ Lime, cement and plaster________ ___ Brick, tile, pottery, clay products. _ ___________ Glass and glass products _ ___ _ _______ _ Metals and machinery.. _ _ ___ Blast furnaces and rolling m ills___ _____ Foundry and forge products_____ _____ ____ Sheet iron and tin plate___ _ _______ _____ Cutlery, edge tools, hardware____ _ ____ Heating, plumbing equipment____ _____ Machinery and machine tools__ ____ _ Electrical machinery, apparatus.. ___ Nonferrous metals and products___ _____ Watches, clocks, and jewelry___ . . . _ Transportation equipment Automobiles (excluding repair)___________ Cars—locomotives, electric—steam Other transportation equipment. _ . Wood and allied products. _ _ Saw and planing m ills________ Furniture and cabinet work___ _ ___ Other wood products__ _ ... Rubber products____ ___________ _. Leather and allied products . . ____ Leather, tanning________ _ _ ___ _ Other leather and fur goods. _ . . . . . .... Chemicals and allied products.. _____ _____ Drugs, compounds, cosmetics.. ____ ___ Paints, varnishes, dyes, colors____ ____ Petroleum refining___________________ 47.61 51. 50 47.37 42. 26 47.05 57.14 56. 81 57.41 52.89 56. 28 58.24 59.05 59. 39 51.85 57.09 5fi 7ft 59. 21 50. 97 62.33 48. 95 44. 66 48. 61 52.36 50.28 50.03 52.45 48. 73 52.39 40.08 46. 60 55.09 28.10 34.23 46.2 50.6 46. 7 43. 6 43.6 47.9 46.8 48.7 47.7 49.6 47.8 48.8 47.9 47.1 49.0 37.7 40.3 1.03 1.02 1 m . 97 1.08 1.19 1.21 1.18 1.10 1.14 1.22 1.21 1.24 1.10 1.16 . 75 . 85 27.24 36.82 38.68 37.10 33. 48 31.01 38. 42 37.10 38. 47 32. 67 34.80 40. 29 32.04 48.94 32.31 35.99 29.11 33.01 29. 75 33.19 31.42 32. 65 26.91 30.39 47.1 48.1 45.6 47.6 46 8 46. 5 50.3 48.1 46.9 48.9 52.1 47.1 41.7 47.6 45.3 37. 2 42.2 41. 5 42.4 40.5 41.0 41.2 42.2 42.7 41.9 43.1 43.8 39.5 45.7 41.2 42.1 40. 2 42.7 39.7 41.6 38.0 41.9 39.1 41.3 1.26 1.06 1.37 1.03 95 1.05 1.06 1.05 1. 06 1.07 .94 1.11 .96 .98 1.24 See footnotes at end of table. 'Illinois Labor Bulletin (Chicago), August 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 953 . 73 . 87 . 93 .88 .83 .76 .93 .88 .90 .78 .81 .92 .82 1. 07 .78 .85 .72 .77 .75 .80 .83 .78 .69 .74 954 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 Average Weekly Earnings and Hours, and Average Hourly Earnings of Wage Earners in Illinois Industrial Establishments, by Sex, June 1945 1—Continued Industry group Paper goods, printing, publishing_________ . . . . . . . Paper boxes, bags, tubes_______________________ Other paper goods_____________________ _. ____ Job printing_________ ____ ___________________ Newspapers and periodicals, _ _ _ ____ ..... Bookbinding and pu blishing_____ _ . . _____ Lithography_________________________ .. Textiles__________________________ _____________ Cotton, woolen, silk goods____________ . Knit goods---------------- . . . ------------- ----------Thread and twine ___. . . ______ Clothing and millinery___ _ . . . . --------M en’s clothing_____ _ . ____ ______ M en’s furnishings, work clothes____ . . _____ Women’s and children’s clothing______ Women’s—children’s underwear__________ . Millinery . _ . ________________ ___ . . Food, beverages, and tobacco_________ . . . . . Slaughtering and meat packing. ___________ Dairy products------------- ------- -----------------------Flour, feed, and other cereals .. . . ---- -----Fruit and vegetable canning.. -------------------Other groceries__________________ ________ _ Bakery products___________ _ -----------------------Confectionery_____________ . . . . . . . . . .. Beverages. _______ _____ . . . . . . ________ Miscellaneous manufacturing______________________ Average weekly Average weekly Average hourly earnings 2 hours 3 earnings 3 Men Women Men Women Men $59.11 49. 84 50. 27 61.40 58.38 71.32 67.47 50. 25 51.27 44.15 $29. 95 26.08 26.16 26. 07 46.9 50.6 47.4 45.3 37. 5 52.1 45.0 48. 2 48. 1 50.3 38.6 36.9 38.8 37.0 $1.27 .99 1.07 1.36 1. 63 1.37 1.50 1.05 1.07 .90 51.61 52. 67 50. 75 48. 92 43. 83 52.87 49.36 50. 52 54. 65 53.68 30.50 24.91 31.58 32. 93 26.81 28.80 30.54 33. 52 27.33 27.63 34.06 27. 20 28. 75 31.74 30.34 27. 82 22. 62 28. 99 25. 00 30.19 29. 32 33.73 Nonmanufacturing 4. . ___________ _______________ . . 51.95 Trade, wholesale and retail__ ... . . . . . _____ _ ___ Wholesale groceries_____________ _____ . ... . Jobbing metals, electric goods___________ . . Other wholesale___ _____ _ . ________ _____ _ Retail apparel._____________ _______ _______ Retail furniture, household g o o d s _ Milk distribution... . . . . . . . . . . Other fetail_________ _________________ _. . . Services-------- ------------- ------------------------- --------H otels---------- ------- ------------------- . . . ---Laundering, cleaning, dyeing______ __________ Automobiles, sales, repairs... . . ..... Other services___ 1 . _____ . . ___ Coalmining . . . . . . . . . . ____ Miscellaneous nonmanufacturing___ . . . ___________ 50. 76 51.95 43. 40 53.20 53. 39 57. 98 55.31 58.09 43.51 44. 43 64.29 43.19 41.37 31.81 49.65 53.47 49.42 59.87 47. 27 40.3 39.4 42. 7 41. 1 44.0 36.6 40.7 41.1 40.0 38. 8 38.2 37.1 38.3 36.9 44.1 1. 27 1.34 1.00 1.29 Women $0. 70 .70 .67 .71 .69 .69 .78 .80 .70 . 74 .80 .90 .71 .74 .79 49.8 50.9 50. 1 50. 5 48.4 49.6 47.8 48.5 47.2 47.4 40.7 43.8 45.3 39.4 35.2 40.9 38.5 40.6 40.3 42.9 1.03 1.03 1.01 .95 .90 1.07 1.03 1.04 1.14 1.14 .71 .72 .67 .70 .64 .71 .63 .75 .72 .79 SI. 25 45.6 38.5 1.17 .65 19.31 29.14 32.05 30. 26 25.73 44. 1 44.8 45.5 41.2 38.5 41.0 48.1 44.4 46.5 47.5 46.8 46.8 45.5 45.3 46.6 36.8 39.2 40.6 37.9 31.5 1.20 1.31 1. 20 1.28 1.07 .92 .69 .72 .79 .80 .73 37.9 39.7 42.0 38.1 .95 .92 .65 1.05 1.13 1.09 1.32 1.01 .65 .56 .49 .58 25. 68 22. 68 21.58 22.12 31.41 34.07 37.3 42.5 .83 .80 1 Based on reports of a sample group of firms. Reports cover production and related workers in manu facturing and mining and the laundering, cleaning, and dyeing industries, but all employees (other than high-salaried officials and executives) in other represented industry classifications. 2 Establishments reporting employment and pay-roll data separately by sex; 612,540 employees covered. Data omitted for industries in which average is considered too small to be representative. 3 Establishments reporting man-hour data separately by sex; 567,691 employees covered. 4 The building-construction industry is not included as the sample for that industry is being revised, so that the sample for all represented industries and the nonmanufacturing industries is not strictly com parable with previous months. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Industrial Injuries W ork In ju ries in th e Slaughtering and M eat-Packing Industry, 1943 1 Summary ELIMINATION of work accidents can be achieved only as a result of carefully planned and executed efforts of all concerned. Both manage ment and workers benefit from a successful safety program, and both groups must cooperate to make any program successful. Such co operation, however, depends upon conviction that there is a definite problem to be solved and that there is a reasonable possibility of improvement through practical measures. As the slaughtering and meat-packing industry is one of unusually high-injury rates, it would appear that an analysis of the hazards would indicate possible safety precautions. To this end the Bureau of Labor Statistics undertook a study to measure the extent of the accident problem in the industry as a whole, to indicate specifically the segments in which the problem is greatest, and to show, wherever possible, the outstanding sources of injuries, thereby permitting a con clusion as to whether or not improvement is practicable. Summary reports on accidents in 1943 were obtained from 177 plants doing slaughtering only, 400 plants doing packing only, and 389 plants carrying on both types of activity. Analysis revealed a considerably higher injury-frequency rate in slaughtering and dressing plants than in establishments carrying on meat-packing operations only—60.5 as compared with 29.7. In general, it appeared that the large plants and the very small plants had better safety records than the medium-size plants ; the proportion of accidents resulting in permanent partial disabilities, however, was generally greater in establishments with 1,000 or more workers than in the smaller plants. Slaughtering and meat-packing operations during 1943 appeared to have been conducted most safely in the Middle Atlantic region, where the average frequency rate was 40.5. In contrast the relative volume of injuries was greatest in the South Atlantic region, where the average rate was 64.2. The East North Central region, from which the largest number of reports were received, had an average rate of 42.0. Among the 31 States for which separate average fre quency rates were computed, Delaware had the lowest (9.4) and Georgia the highest (118.4). The Pennsylvania average of 38.5 was based i Prepared in the Bureau’s Industrial Hazards Division b y Prank S. M cElroy and George R. McCor mack. A subsequent report will summarize the causes of accidents in the slaughtering and meat-packing industry. The statistical details upon which these discussions are based w ill be presented, with additional material, in a forthcoming bulletin. * https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 955 956 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 upon a larger number of reports than was received from any other State. The Illinois rate of 41.4, however, was based ‘upon the ex perience of a much larger number of workers than was reported from any other State. Various factors enter into these regional and State differences. State safety laws and the extent to which they are en forced, the general size of the plants in an area, the predominating type of operations performed by the plants, and the general interest in safety as evidenced by the safety activities of local associations all have much to do with the general level of frequency rates in any area. The Industry Record COMPARISON WITH OTHER GROUPS Throughout the 5-year period 1940-44, the injury record of the slaughtering and meat-packing industry compared unfavorably with the records of most other industries of the food group and of most manufacturing industries in other groups. In 1940 the reports submitted to the Bureau of Labor Statistics indicated that workers in the slaughtering and meat-packing industry experienced an average of 26.8 disabling injuries in the course of every million employee-hours worked, which was considerably higher than the average of 20.2 for the entire group of food industries, and 75 per cent higher than the average of 15.3 for all manufacturing activities. Similarly in 1941, the average injury-frequency rate for slaughtering and meat packing was 30.9, as compared with averages of 23.4 for the food-industry group and 18.1 for all manufacturing. In 1942, the injury-frequency rates for most manufacturing industries again rose sharply, reflecting the operating difficulties occasioned by conversion to an “all-out” program of war production. From the safety view point the most important of these difficulties were (1) the loss of trained workers to the armed forces or to the new war industries, (2) the intro duction of large numbers of workers who were entirely new to indus try, (3) pressure for greater production, and (4) lack of materials and facilities to accommodate the expanded work force adequately, which resulted in crowding, and the deterioration of machines and equipment, caused by excessive use and the absence of adequate repair or replace ment parts. As a result of these factors the all-manufacturing fre quency rate in 1942 was 19.9; the average for the food group was 27.3; and that for slaughtering and meat-packing was 44.8." In 1943 there were indications that the wartime safety problems were being brought under control; although frequency rates generally continued to rise, the rise was much less drastic than in 1942. In that year the all manufacturing average was 20.0 disabling injuries per million em ployee-hours worked; the average for the food industry group rose to 29.7; and the slaughtering and meat-packing average reached 47.6.2 In 1944, the upward trend in injuries was generally reversed; the all-manufacturing average frequency rate declined to 18.4 and that 2 T?1*8 i 943 industry average, taken from the Bureau's regular annual survey from which all the other rates used m the above comparisipns were also taken, differs substantially from the rate of 39.0, which was the aver age for all plants participating in the special slaughtering and meat-packing survey of 1943, reported upon in this article. The difference reflects the much broader coverage of the special survey, particularly the inclu sion of many plants engaged in processing poultry, other small animals, and casings, which do not regularly participate m the annual surveys. For the purpose of comparison, however, either of the rates will serve to emphasize the greater incidence of injuries in slaughtering and meat packing than in most other industries. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 957 for the food-industry group, to 27.1. In line with this trend but stimulated to greater achievements by a national safety campaign sponsored by the U. S. Department of Labor, the slaughtering and meat-packing industry reduced its average rate even more impressively to 35.9. INDUSTRY RECORD FOR 1943 AND 1944 Injury-frequency rates are considered to be the most reliable gauge for evaluating the safety record of any particular plant or industry. Their implications become more apparent when it is stated that 1 in every 9 slaughtering and meat-packing workers experienced a disabling injury in 1943, and that in 1944 this ratio was 1 for every 12 workers. In actual numbers, it has been estimated that 19,400 slaughtering and meat-packing workers were disabled by work injuries in 1943 and 18,300 in 1944. In the single year, 1944, about 35 workers in the industry were killed in the course of their employment and about 470 others were injured so severely that they will be physically impaired for the rest of their lives. Even these large figures tell only a part of the story for 1944. In addition to the 18,300 disabling injuries, there were untold numbers of minor injuries which were not recorded because they did not cause the injured employee to remain away from his work beyond the day of injury. In the aggregate, these minor, or nondisabling, injuries represent a tremendous loss to the industry in terms of working time taken for first-aid treatments and of direct cash expenditures for these treatments. No accurate estimate of the volume of nondisabling injuries in the slaughtering and meat-packing industry is possible, because of the lack of sufficient records. Such evidence as is available, however, indicates that the commonly quoted ratio of 29 nondisabling injuries for every disabling case, which is considered a reasonable average for all manufacturing, is probably much too low for the slaughtering and meat-packing industry. As an example (although not presented as a generalization), an exhaustive review of the medical records in three of the large plants visited in the course of the survey revealed that, in a period of 12 months, 30,499 injuries were reported to the medical offices, and of these, only 337 were disabling. In other words, there were in these three plants 90 nondisabling injuries for every disabling case. Without any allowance for the continuing loss in production and earning power arising from the deaths and permanent impairments, it is estimated that the actual employment losses resulting from the disabling injuries experienced by slaughtering and meat-packing workers amounted to at least 366,000 man-days during 1944. When the standard time charges for deaths and permanent impairments are included, it is estimated that the future economic loss accruing from the more serious injuries will eventually bring the total loss to at least 673,000 man-days. This evaluation of the loss arising from the dis abling injuries of 1944 takes no account of the losses in time and money resulting from the vast number of nondisabling injuries which also occurred, nor of the collateral or hidden costs connected with the injury-producing accidents. As a monetary cost item, these hidden losses undoubtedly exceed the direct injury cost several times over. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 958 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 Hazards of the Industry Although the hazards faced by the workers in any particular de partment are primarily related to the specific operations of that de partment, certain hazards affect to some extent practically all workers in the industry. Slippery floors, which cause many slips and falls, are particularly common in dressing, cutting, and trimming rooms. Grease, carried on the workers’ shoes, however, frequently makes slippery floors and stairways a hazard throughout an entire plant. Water is used freely in slaughtering and meat-packing plants for cleaning floors and equipment, as well as for washing carcasses. Unless it is promptly removed from the floor, this water adds appre ciably to the slipping hazards in many parts of the plants. Inad equate plant maintenance is frequently a contributing factor in the creation of slipping hazards, particularly in respect to rough and uneven floors, on which the water collects in little pools. Crowded working conditions and improper lay-out of traffic also contribute to many accidents in various parts of the plants. Although the use of conveyors is widespread, many of the products and trim mings must be transferred from one place to another in hand trucks. The movement of these trucks through the aisles presents a hazard to all employees who use the passageways or who work adjacent to the trafficways. Poor maintenance of the passageway floors and poor housekeeping in the aisles may add greatly to these hazards, as the trucks are easily deflected from their course by uneven flooring or by material lying in their way. Poor routing and inadequate planning for the transportation of materials also contributes to many injury-producing accidents. A case illustrating this point was ob served in a plant where the indicated route for tractor-trailers passed through a doorway which was so low as to require each driver to duck his head as he went through. As might have been expected, one driver eventually forgot to duck and was severely injured when his head struck the top of the doorway. Knives are used to some extent in nearly all of the operating departments, and practically all employees on occasion must move or help to move relatively heavy materials. As a result, the possi bility of knife cuts and of injuries from overlifting are hazards com mon to most of the departments. THE PRINCIPAL OPERATIONS AND THEIR HAZARDS The departmental organization reported by the participating plants varied extensively—from no departmentalization at all in some small plants to 20 or more departments in the larger integrated plants. For this reason there were many differences in the number of units and in the operations and occupations included in the various depart mental groups. This was particularly true in respect to the various meat-processing and by-products operations. Generally, however, most of the plants were able to furnish comparable data for the principal types of operations, such as beef and hog dressing, trimming and cutting operations, sausage making, and smoked-meat processing. Other departments frequently reported separately included curing cellars, hide cellars, rendering departments, and the various plantservice departments, such as boiler and engine room, maintenance, shipping, and watchmen. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 959 Livestock handling.—Most of the larger slaughtering plants reported separate livestock departments, which are responsible for the care of the animals during the period between their arrival at the plant and their delivery to the killing floor. The smaller plants generally reported that this function was included in the duties of the dressing departments. The principal hazards connected with this work con sist of the possibility of forcible contact with the animals, falls on the irregular and sometimes slippery surfaces of the pens, and strains or sprains arising from overexertion in the handling of feed and water for the animals. Dressing departments.—Although there are marked differences in the detailed procedure in slaughtering and dressing various kinds of animals, the operations generally follow the same basic pattern. After the animal has been killed and the blood drained from the carcass, the hide or hair is removed, the head and entrails are also removed, the carcass is divided into halves, washed, inspected and stamped, and then placed in the cooler for approximately 24 hours to remove the body heat. Production-line methods are used exten sively. To eliminate unnecessary handling of the carcasses or cuts of meat, the killing floors are frequently situated at the top of the building, to which the live animals are driven over ramps. Chutes can then be used to pass the cuts of meat to successive operations on the lower floors. The use of these chutes sometimes constitutes a definite hazard in that there are usually tables at the foot of the chutes on which the meat is further cut or trimmed. It is not unusual for a cut of meat to slide with considerable force from the chute and to strike one of the workers at the bench. In dressing operations the carcass is transferred from one point to another by the use of shackles attached to wheels which run on overhead monorails. These wheels usually are held on the rail only by the weight of the carcass, and swinging loads frequently throw the wheels off the rails. Switches, built into the rails at various points to permit diversion of the loads, present a similar hazard unless they are properly equipped with dogs or lugs to prevent the wheels from running off the end of the rails when the switches are open. It also happens at times that improperly suspended loads will come loose from the hooks or shackles and fall from the con veyor. In any of these cases workers near the conveyor line may be struck either by the falling carcass or by the equipment with which it was suspended. For protection against head injuries in such accidents, many plants encourage the wearing of hard hats or helmets by all employees who work in coolers or near conveyor lines. In none of the plants visited, however, was the wearing of helmets mandatory, and most of the plant officials who were interviewed stated that it was very difficult to persuade workers to wear helmets or other personal protective devices. The usual procedure in killing hogs is to drive the animal into an enclosed area on the killing floor, where an employee, called “the shackler,” places a shackle on one of the hog’s hind legs. The other end of the shackle is then hooked into an endless chain, which rides up over a large powered wheel, lifting the hog off the floor. When fully suspended, the animal hangs head downward about 4 feet off the floor. A considerable amount of skill and extreme care are necessary in applying the shackle so that it will not come loose and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 960 M O N T H L Y LABOR REVIEW— NOVEMBER 1 9 4 5 permit the hog to fall. The animal is then killed by an employee, called “the sticker,” who cuts through its jugular vein. As the sticker must stand in the blood which drains from the animals, he must wear boots and be very careful of his footing on the slippery surface of the blood pit. As a safety measure, it is necessary that the surface of the blood pit be made of a nonslip material. Another hazard faced by the sticker is the possibility of being kicked by the forefeet of the suspended animal. Such a kick against the hand in which he holds his knife sometimes will drive the knife into his other hand or arm or even into his body. After the blood has been drained from the carcass, it is lowered into» a hot-water tank to be scalded and is then passed through a dehairing machine, where most of the bristles are removed. The remaining; bristles around the ears and other irregular surfaces are removed later with a hand scraper. In some plants the bristles are removed by placing the carcass in a tank of hot resin. The resin hardens when the carcass is removed from the tank and can be peeled off, lifting the bristles with it. Burns from contact with the hot water or hot resin are common in this work, and strains from lifting the carcasses out of the tanks are numerous. The dehairing machines are generally com pletely enclosed and, therefore, present little hazard. The carcass then passes by monorail conveyor through a series of specialized operations during which the head and entrails are removed and various other cuts are made. Certain parts of the animal, such as the heart and liver, are passed to the warm fancy-meat depart ment and the intestines are sent to the casing department. During these operations each carcass is examined for evidence of disease, and condemned carcasses are sidetracked to be used in the manufacture of fertilizer. Approved carcasses are thoroughly washed, the stamp of the inspector from the Meat Inspection Division of the U. S. Depart ment of Agriculture is applied, and the carcasses are then pushed along the conveyor into the cooler. In these dressing operations most of the work involves the use of knives. Knife cuts, therefore, constitute the chief hazard. As a general rule, the killing and dressing of other small animals, such as sheep and calves, is very similar to the procedure in handling hogs. In killing beeves the procedure is somewhat different. The animal is driven into a small pen in which it cannot turn around. At the side of the pen a worker, called the knocker, stands upon a raised platform. The knocker stuns the animal by striking it between the eyes with a long-handled hammer. When the stunned animal has slumped to the floor, the gate at the front of the pen is opened, and the back of the pen is raised. This causes the animal to slide out onto the killing floor. The platforms from which the knockers work are usually rather narrow and are seldom railed. Guardrails would eliminate the hazard of falling. When the stunned animal reaches the killing floor, a shackler places a shackle around both its hind feet, and a sticker cuts its throat with a long-handled knife. The carcass is then raised to the conveyor to permit the blood to drain. The chief hazards in these operations are the possibility of being struck by the animal as it slides from the knocking pen, of being kicked by incompletely stunned animals, and of slipping on the blood-covered floor. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 961 After the blood has been drained, the carcass is lowered to the floor, and the hide is removed. As this is mostly knife work, the possibility of cuts constitutes the chief hazard. When the hide has been removed, the carcass is returned to the conveyor. From this point onward, it passes through the same series of operations as were outlined for the hog-dressing departments. The head and entrails are removed; the carcass is split in half, washed, stamped, and moved into the cooler. The danger of knife cuts is the major hazard in these operations, but strains from overlifting are also numerous. Warm fancy-meat separating.—In many plants the warm fancy-meat separating unit is considered to be merely a collateral operation of the dressing department, and, as a result, few separate reports covering this work were received. In the Bureau’s tabulatious, therefore, the experience of the employees engaged in this work was included with that of the dressing departments. The work, however, is sufficiently different to warrant some comment regarding its hazards. The function of this department is to process specialties, such as kidneys, hearts, livers, brains, pigs’ feet, tongues, lungs, etc. Most of the work consists of trimming the various parts and of removing fat. As this is primarily knife work, the workers are constantly faced with the danger of cutting themselves. They stand around long tables, onto which the material usually slides from a chute leading from the killing and dressing floor. Crowding of the workers around the table and congestion of the materials on the table frequently create hazards in that the workers may not have sufficient room to make their cuts without exposing themselVes or their neighboring coworkers to the possibility of cuts if their knives should slip. When chutes are used to deliver the material to the tables, there is always the chance that a sliding piece will skid across the table and strike one of the workers. The chief danger in such an accident is that the worker’s knife may be deflected against himself or another worker at the table. Opening skulls for the removal of brains is probably the most hazardous operation performed in the warm fancy-meat departments. Frequently the skulls are split with a cleaver, although the more usual procedure is to use a skull-crushing machine. These machines are similar to a guillotine, with a heavy blade which breaks or crushes the skull. No satisfactory guard has been designed for skull-crushing machines, and as a result the operators are always exposed to the risk of losing their fingers or hands under the falling blade. Casings departments.—As in the case of the warm fancy-meat units, the work of the casing units was commonly reported as a part of the dressing departments, and for this reason their injury experience was not separately tabulated. In these units, the intestines of the slaughtered animals are prepared for use as sausage casings. The preparation of the casings consists primarily of cleaning, scraping, and trimming foreign matter from the intestines. After cleaning, the casings are tested with water or compressed air, graded, and packed in salt for curing or toughening. Practically all this work is done in water, and consequently the working areas are generally quite damp. Knife cuts are the most common injuries, although salt sores resulting from the curing opera tions are also numerous. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 962 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 Coolers.—From the dressing department the carcasses and half carcasses pass into the coolers, which are merely large refrigerated rooms in which the meat is chilled and held until it passes on to the trimmers and cutters. Throughout its stay in the cooler, the meat remains suspended from the monorail conveyor. In order to dis tribute it, however, considerable switching and moving is necessary inside the cooler. In this moving and switching, as in all the overheadconveyor operations, there is danger of the meat and the suspension equipment falling from the rail. Hard hats are generally recom mended, but are not customarily worn. Because of the moisture gen erally present in the coolers, the floors are frequently covered with frost or ice and present a definite slipping hazard. Liberal use of salt or sawdust and frequent cleaning can do much to minimize this hazard. Another hazard faced by workers in the coolers is the sudden change in temperature which they experience as they pass in and out of the cold room. Care must also be exercised in going through the cooler doors. These doors are usually very heavy and are equipped with automatic closers. Severe injuries sometimes result when work ers are struck by these doors or have their fingers caught between a closing door and the doorframe. Trimming and cutting departments.—In the trimming and cuttingrooms the carcasses are prepared for the wholesale market. Beef carcasses are frequently sold as halves or quarters and in such cases require only a minimum of cutting and trimming. Most of the beef cutting and boning, therefore, is performed inside the coolers. Hand saws and knives are generally used in this work, and the workers face the constant hazard of cutting themselves with these sharp tools. There are also certain hazards involved in handling the beef carcasses in this work. The carcasses and part carcasses are quite heavy, and many workers experience severe strains from overlifting in taking them from, or returning them to, the conveyor. This hazard is inten sified when the floor is slippery, making it difficult to maintain good footing. There is also the danger of having the carcasses fall from the conveyor onto the persons who work around them. Hog carcasses, on the other hand, are usually divided into a number of specialty cuts, such as hams, loins, etc., which necessitate consider ably more handling than is normally the case in cutting and trimming beef. Pork cutting and trimming, therefore, is commonly organized on a production-line basis, and each worker performs only one special ized operation. When a carcass is taken from the cooler, it is placed upon a belt conveyor which carries it to the first operator, who removes it to his work bench, makes the first cut, and returns the pieces to the belt for transfer to the next bench, where a further cut is made. In some cases, only the remaining part of the carcass is returned to the belt, the smaller separated pieces being thrown into gravity chutes which slide the pieces onto benches on a lower floor, where further trimming is done. Removing the pieces from the con veyor and returning them to the belt is heavy work and results in many strains. Grease on the floor frequently adds to this hazard by making it difficult to maintain a firm footing while lifting or pull ing the meat. Power saws, which are used in many of these cutting operations, frequently present a great hazard. None of the band saws or circular saws observed by the Bureau representatives in the course of the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 963 survey were guarded, and the general opinion expressed by the plant safety men was that they could not be effectually guarded. In a few instances, however, the saws were mounted well back from the edge of the bench beyond the reach of the operator. In these installations the meat was pushed up to the saw on a sliding section of the table. This procedure affords some protection in that it normally keeps the operator’s hands away from the blade and makes it impossible for him to fall against the blade if his feet should slip on the grease around the bench. It does not, however, constitute complete guarding. At the trimming benches the workers handle smaller pieces of meat, and most of their operations consist of trimming off fat. As this is lighter work, considerable numbers of women are employed. The chief hazard lies in the possibility of knife cuts. Sausage departments.—Scraps of meat salvaged from the various cutting rooms are routed to the sausage department, where they are ground, mixed with spices or other ingredients, cooked or cured, and stuffed into casings to form sausages. The grinding machines are frequently very hazardous, in that the hand of the operator may be drawn in as he forces the meat into the hopper. Practically all plants have rules prohibiting the use of hands to force the meat into) the grinder and requiring that a stamper be used for this purpose. The rule is frequently ignored, however, and grinder accidents are rather common. A more effective procedure used in some plants to safeguard grinder operators is to mount the grinder at the back of a wide feeding table, so that the operator can not reach across to place his hand inside the throat of the machine. Another method is to extend the hopper so that the grinding mechan ism is beyond arm’s reach, thus making it impossible for anyone to get his hand caught. Stuffing machines, driven by compressed air, are generally used to fill the casings. Several instances were reported in which these machines had exploded because of excessive pressure. Such accidents must be considered as evidence of improper design or of inadequate maintenance, because the required working pressure in such operations should always be well below the capacity of any metal parts, and safety valves should be provided in the line to release automatically any abnormal pressure which might be built up through mishandling or through the misfunctioning of the machine. The filled casings are passed from the stuffer to a bench where they are twisted into links and tied by hand with string or rope. Finger cuts, which frequently become infected, are quite common in this operation, particularly when bare knives are used to cut the string. After tying, the sausage is hung on racks, or “trees,” and carried on the overhead conveyor to the cooler or to the curing rooms. The use of these trees involves some hazard, in that it is not uncommon for them to fall from the conveyor rail. Smoked-meat processing.—In this department hams and bacon are cured, trimmed, and packed for shipment. The cuts are first trimmed and then placed on racks in the smokehouse for curing. After removal from the smokehouse, the hams are packed in paper or stockinette and tied with rope or string. Bacon is usually sliced in automatic slicing machines and then weighed and wrapped automatically. The slicing machines normally are well guarded, but occasionally the finger 6 7 0 1 1 9 — 45 ------- 9 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 964 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 of an employee comes into contact with the revolving blade. Such contact usually results in a permanent injury. Record of Plants Participating in Special Study D E P A R T M E N T A L IN J U R Y R ECO RD S Dressing departments.—The killing and dressing departments gen erally reported much higher injury-frequency rates than prevailed in any of the other departments. In the integrated slaughtering and packing plants the beef-dressing departments had an average of 93.6 disabling injuries for every million employee-hours worked. In the same type of plants the hog-dressing departments had an average frequency rate of 82.1. These rates, which indicate that nearly 20 percent of all the workers engaged in killing and dressing operations experienced some kind of disabling injuries in a single year, are exceed ingly high by any standard of evaluation. In view of this record, there can be little question as to the urgent need for intensified safety activities in these departments. In the abattoirs, the frequency of injuries in hog-dressing opera tions was even higher, averaging 113.9 disabling injuries per million employee-hours worked. For beef-dressing operations, however, the average frequency rate of the abattoirs, 76.0, was somewhat lower than that of the integrated plants. Among the 1,632 disabling injuries reported for the hog-dressing departments of the integrated plants, there were 21 cases of permanent impairment and 1 fatality. In the beef-dressing units, the proportion of serious injuries, as indicated by 27 permanent impairments and 1 fatality among 921 disabling injuries, was substantially higher. Similarly, the average amount of time lost per case of temporary disability was somewhat higher in the beef-dressing departments (12 days) than in the hog-dressing departments (11 days). In each of these two departmental groups, the time lost during the year because of temporary disabilities alone amounted to more than 2 days for every employee. Cutting and trimming departments.—In the integrated plants, the average injury-frequency rate for the beef cutting and boning de partments was 70.9 disabling injuries per million employee-hours worked; the hog-cutting department’s rate was 70.7. Although these rates represent a substantially lower incidence of injuries than pre vailed in the dressing departments, they are, nevertheless, very high and should be interpreted as calling for stringent safety measures in these departments. In the plants which perfoim no slaughtering operations, the beef cutting and boning departments ranked as the most hazardous of the various departmental units. The frequency rate for these depart ments, 57.8, was nearly double the general average for the packing plants. The hog-cutting units of these plants had a better record, but, even so, their average of 44.4 disabling injuries per million em ployee-hours was 50 percent higher than the average for all packing house departments. It is apparent, therefore, that the cutting and trimming departments deserve first attention in any effort to eliminate packing-house accidents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 965 Sausage departments.—The sausage departments of the integrated slaughtering and meat-packing plants had an average injury-frequency rate of 47.5; similar departments in strictly packing plants had an average rate of 28.8. Each of these rates is just slightly below the average for all departments in their respective groups. In evaluating the injury record of the sausage departments, it is pertinent to note that these departments reported a disproportionately large number of fatalities. Of the 10 fatalities reported by the integrated plants, 3 were sausage-department cases. In contrast, the total number of sausage-department injuries represented only about 8 percent of the total number of cases reported by the integrated plants, Similarly, in the packing plants the sausage-department injuries rep resented only 24 percent of the injuries reported for all departments, but 1 of the 7 fatalities and 1 of the 2 permanent total disabilities re ported for the group were sausage-department cases. Smoked-meat processing.—The smoked-meat processing departments of the integrated plants had an average frequency rate of 38.2. This rate was considerably below the average for all departments in the integrated plants, but it is nevertheless too high to be accepted as indicating the existence of good safety practices or safe working condi tions. In the plants engaged exclusively in packing, on the other hand, the smoked-meat processing departments had an average frequencv rate of 19.4 which was the lowest average recorded for any of the major departmental groups. Other production departments.—Among the miscellaneous production departments reported by the integrated plants in sufficient volume to permit the computation of separate average frequency rates, the small stock-dressing departments had an average rate of 91.3; the oleo oil-house and tallow-rendering departments had an average of 73.0; and the inedible-rendering departments had an average of 70.0. The averages of 32.2 for the canning departments and 32.0 for the livestock departments were the lowest among the average rates of the operating departments of the integrated plants. In the packing plants the curing cellars had the high average fre quency rate of 51.7 and the canning departments an average rate of 34.7. Service departments.— The integrated plants reported a substantial volume of accident experience for a number of service departments, such as boiler and engine-room departments, cooperage and box de partments, maintenance departments, shipping departments, and watchmen’s departments. Among these groups the cooperage and box departments had by far the highest average injury-frequencv rate 74.2. Despite the fact that woodworking activities aregenerally recognized as being more hazardous than most other types of indus trial operations, this rate must be characterized as extremely high. The maintenance and shipping departments also had high average frequency rates of 49.8 and 47.7 respectively. In respect to the main tenance workers, this high rate reflects the fact that a large part of their assignment consists of working on defective equipment, with the result that they are frequently exposed to hazards which other workers meet only rarely. In the shipping departments, overlifting and mis handling of heavy materials account in large measure for the high injury-frequency rate. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 966 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 In the other service departments of the integrated plants, the fre quency rates were reasonably low. For the boiler- and engine-room units, the average rate was 24.1 and for the watchmen’s department 15.8. . . In the packing-house group, the shipping departments were the only service units for which a separate average could be computed. These departments had an average frequency rate of 26.6. REGIONAL AND STATE DIFFERENCES IN INJURY FREQUENCY Many factors contribute to the wide differences in the injuryfrequencv rates prevailing in the various States and regions, and in particular instances it may be difficult to specify which is the con trolling factor. Variations in the types of operations carried on by the reporting establishments may have a direct bearing upon the level of frequency rates when the number of reporting units is small. When the groups to be compared are reasonably large and the com parisons are limited to groups of establishments engaged in similar activities, however, the differences in the average injury-frequency rates may be considered as reflecting primarily variations in safety activities rather than variations in inherent hazards. Differences in State safety requirements and in the degree to which the requirements are enforced exert a direct influence upon the frequency-rate levels in different States. Similarly, safety activities, or the lack of such activities, on the part of trade associations or other organizations may have considerable effect upon the accident record of an area. The average size of the plants in different areas and the availability or the lack of experienced personnel are also factors which may influence the inj ury-frequency rate levels. The plants participating in the survey were distributed among 47 States and the District of Columbia. However, in a number of States the coverage was insufficient to permit the computation of represen tative averages for the various types of operations. For purposes of general comparison the reports were combined into regional groups corresponding to the 9 regions used in the tabulations of the United States Bureau of the Census.3 On this basis average frequency rates for integrated slaughtering and meat-packing plants were computed for each of the 9 regions; averages for plants engaged only in packing operations were computed for 7 regions; and averages based upon the experience of abattoirs were computed for 5 regions. In addition, it was possible to compute separate State averages covering the operations of integrated plants in 24 States. Only 12 State averages could be computed for packing plants, and only 2 for abattoirs. No State rates were computed unless the data included the experience of at least 3 establishments with a combined exposure of over 900,000 employee-hours worked. The regional groupings and the States included in each region are as follows: New England— Connecticut, Maine, Massachusetts, N ew Hampshire, Rhode Island, and Vermont. Middle A tlantic—N ew Jersey, New York, and Pennsylvania. East North Central.—Illinois, Indiana, Michigan, Ohio, and Wisconsin. West North Central—low a, Kansas, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota. South A tlantic—Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, and West Virginia. East South Central—Alabama, Kentucky, Mississippi, and Tennessee. West South Central —Arkansas, Louisiana, Oklahoma, and Texas. M ountain—Arizona, Colorado, Idaho, Montana, Nevada, N ew Mexico, Utah, and W yoming. Pacific—California, Oregon, and Washington. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL INJURIES 967 Integrated Plants The highest of the regional average frequency rates for the inte grated plants was that of the 34 establishments reporting from the South Atlantic States. These plants reported an average of 75.7 disabling injuries for every million employee-hours worked. In large measure, this high regional rate reflects the unfavorable rates reported by plants in Georgia and Maryland. The Georgia average, based upon the experience of 3 plants, was 128.4—nearly 40 percent higher than the average for any other State. The Maryland aver age, covering 8 plants, was 74.3, which was exceeded by the averages of only 4 other States. In contrast, the Virginia average of 44.4 for 4 plants was well below the middle of the range of State rates. The lowest of the regional averages was that of the East North Central States—44.8. This average was based upon the records of 112 plants, the largest number included in any single region. With this volume of reports it was possible to compute separate averages for each of the five States comprising the area. Ohio’s average of 36.1, covering the experience of 50 establishments, was the lowest State rate in the region, although the Indiana average of 38.6, covering 23 plants, was only slightly higher. Six plants in Wisconsin had an average rate of 42.6, and 20 plants in Illinois an average of 46.0. The Michigan average of 66.8, based upon the records of 13 plants, was the only State rate in this region which ranked above the middle of the range of State rates. Reports were received from 18 integrated plants in the East South Central region. These plants had the high average frequency rate of 67.8, which was exceeded only by the average of the South At lantic region. The Tennessee average of 75.1, based upon the records of 8 of these establishments, was the third highest of the various State rates, while the Kentucky average of 51.0 was the median in the range of State rates. The 12 plants reporting from the Mountain region had an average injury-frequency rate of 58.7. These plants included 3 establish ments in Utah, for which the average rate was 74.6. In the New England region, 12 reporting plants had an average frequency rate of 57.0. This rate reflects primaiily the experience of 8 plants in Massachusetts, which had an average rate of 57.8. The West South Central region had an average rate of 50.4, based upon the combined experience of 29 integrated plants. Again, the regional average in this area reflects primaiily the experience of plants within a single State. Fifteen of these plants were in Texas; their average rate was 53.2. In the Middle Atlantic region, the average frequency rate for the 84 participating establishments was 50.1. Sixty-four of these plants were in Pennsylvania, 17 were in New York, and 3 in New Jersey. The State average frequency rates were 66.7 for New York; 45.6 for Pennsylvania; and 22.5 for New Jersey. The New Jersey rate was the lowest average recorded for any State. The Pacific Coast States were represented in the survey by 36 integrated plants, with an average frequency rate of 48.9. Twentyfour of these establishments, in California, had an average injuryfrequency rate of 40.4, while 8 others, in Oregon, had an average rate of 91.8. The Oregon rate was the second highest State rate recorded. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 968 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 In the West North Central region, reports from 52 establishments yielded an average injury-frequency rate of 45.7. Within this region 4 plants in Nebraska had an average rate of 62.3; 14 plants in Mis souri had an average of 57.4; 5 plants in Minnesota had an average rate of 47.5; 13 plants in Iowa had an average rate of 41.7; 12 es tablishments in Kansas had a rate of 38.1; and 3 plants in South Dakota had an average rate of 24.0. Packing Plants The 7 regional average injury-frequency rates for plants which en gage in meat packing, but which perform no slaughtering operations, ranged from a high of 54.7 for 30 plants in the South Atlantic region to a low of 20.0 for 36 plants in the Pacific region. The high average in the South Atlantic region was largely due to the experience of 9 Maryland plants, which had a combined frequency rate of 71.6. The low average for the West Coast States resulted primarily from the excellent record of the 29 plants reporting from California. These California plants had an average rate of 13.8, which was next to the lowest among the 12 State rates recorded. In the New England region, 49 packing plants reported an average frequency rate of 32.8. Thirty-one of these plants were in Massa chusetts and 5 were in Maine. The average rate for the Massachu setts plants was 27.0, while the Maine average was 22.6. The Middle Atlantic States had a regional frequency rate of 28.6, based upon the experience of 120 packing plants. The New York frequency rate of 40.1, representing the combined experience of 47 of these plants, was the second highest of the 12 State rates recorded. In Pennsylvania 55 packing plants had an average frequency rate of 28.6, and in New Jersey 18 plants had an average rate of 18.0. The East North Central region had an average of 26.9, based upon the reports of 106 packing establishments. Within this group there were 48 Illinois plants, with an average frequency rate of 29.5; 24 Wisconsin plants, with an average of 29.6; 14 Ohio plants, with a combined rate of 23.5; and 16 Michigan plants, with an average of 11.6. The Michigan rate was the lowest State rate computed for the packing-house group. The West South Central region’s average frequency rate of 26.9 was identical with that of the East North Central region. Only 14 packing plants reported from this region, and as a result the only State in the area for which an average rate could be computed was Louisiana. In that State there were 7 plants which together had an average frequency rate of 16.1. In the West North Central region, 29 packing plants reported an average frequency rate of 25.7. Many of these plants were quite small, however, and the limited volume of exposure reported in the separate States precluded the computation of any State averages in this area. Abattoirs The five regional average frequency rates computed from the reports of plants engaged only in slaughtering operations ranged from a high rate of 92.3, covering 23 plants in the West North Central region, to a low rate of 35.6 for 6 establishments in the West South Central region. In the Pacific region, 26 abattoirs had an average https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 969 frequency rate of 74.4; 46 establishments in the East North Central region an average of 52.9; and 43 others in the Middle Atlantic region had an average rate of 50.0. The only States for which separate rates covering slaughtering operations could be presented were California and Illinois. In Cali fornia the 23 reporting abattoirs had an average frequency rate of 81.5, and in Illinois 5 plants had an average of 31.7. I N J U R I E S , B Y SIZ E O F P L A N T - In general, the very small plants and the large plants had better injury records than the plants in the medium-size group. This was true for all three types of plants, even though there were wide differ ences in the size distribution within the three major groups. Although group averages constitute an effective basis for the evalu ation of a safety record, they have one weakness from the viewpoint of the management and the employees of any particular establishment. In the averages all variations among the different plants are obscured and no clue is offered as to the relative standing of any individual plant in respect to other competing establishments. However, com parisons based upon individual plant frequency rates can be enlighten ing on this point. It is a matter of considerable interest, for example, that, among all the reporting plants, there were none employing over 250 workers which had a zero frequency rate in 1943, but that among the plants employing less than 250, about 55 percent reported that their employees had worked the entire year without a single disabling injury. Similarly, it is pertinent that some plants reported frequency rates of over 200, but that none of those plants had as many as 100 employees. Without regard to the size of the reporting units, the grouping of the plant frequency rates for establishments engaged in both slaughter ing and meat packing in 1943 was as follows: 34 percent had a rate of zero; 19 percent had rates between 0 and 30; 20 percent had rates between 30 and 60; 11 percent had rates between 60 and 90; and 16 percent had rates of over 90. Among the plants engaged exclusively in slaughtering, 61 percent had rates of zero; 5 percent had rates between 0 and 30; 11 percent had rates between 30 and 60; 5 percent had rates between 60 and 90; and 18 percent had rates of over 90. In the packing-house group, 62 percent of the plants had rates of zero; 14 percent had rates between 0 and 30; 12 percent had rates between 30 and 60; 6 percent had rates between 60 and 90; and 6 percent had rates of over 90. From these data, it appears that reasonably safe working conditions prevailed in 2 of every 3 slaughtering and meat packing plants and that the unfavorable injury record of the industry was due primarily to the poor experience of about a third of the plants comprising the industry. Unfortunately, the group of high-rate plants included about two-thirds of the establishments which employ over 250 workers and represented nearly half of the employment in the entire industry. The extremely wide variations in the frequency rates among the individual plants indicate that in single establishments the injury record may be influenced but not controlled by the factor of plant size. For example, among the 9 largest integrated plants for which reports were received, 2 had frequency rates of under 20 and 2 others had rates https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 970 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 of over 60. Similarly, among the 323 integrated plants employing less than 250 workers, there were 134 which had frequency rates of zero and 34 others with rates of over 100. The formulation of positive conclusions as to how and why varia tions in the size of plant influence frequency-rate levels must be some what subjective, as there are no clear-cut differences in the types of operations or in specific hazards which can be directly related to plant size. The fact that studies in other industries have almost uniformly produced a similar pattern in respect to plant size and general fre quency-rate levels, however, indicates that this is a phenomenon of fairly general occurrence, rather than a significant characteristic of the slaughtering and meat-packing industry. The evidence available seems to indicate that small plants tend to have good safety records because they usually operate under the close personal supervision of the owner or plant manager. This close asso ciation with plant activities enables the owner or plant manager to see unsafe conditions and practices as they develop and permits him to take immediate precautions to eliminate incipient hazards. In medium-size plants the problem of safety is complicated by the fact that the responsible head of the establishment seldom can devote much of his time to observing the routine plant operations and, there fore, must delegate much of the responsibility for safety to others. Unfortunately, few such plants can afford to employ a safety specialist and, as a result, safety becomes merely an added responsibility of the operating foremen or supervisors, who rarely have had safety training and who frequently feel that their production responsibilities are of much greater importance than continuous attention to safety. In large plants, on the other hand, the volume of production generally makes it possible to give special attention to safety. These plants can usually afford to employ a safety engineer to carry on a scientific accident-prevention program, and to provide all guards and safety equipment known to be available. Large plants also have the advantage of professionally engineered plant lay-out and work processes, and are usually in a position to utilize mechanical equipment more extensively than are the smaller plants. This is of particular impor tance in connection with material-handling operations, in which the provision of mechanical equipment can do much to minimize many of the hazards connected with the manual performance of such operations. Injury Record, by Type of Plant Among the integrated slaughtering and packing plants, those which employed fewer than 25 workers had an average injury-frequency rate of 31.5, which was lower than the rate for any other size group. Plants with employment ranging between 750 and 1,000 workers had the second lowest rate—30.8—which was followed closely by the average of 40.7 for plants which employed 2,500 or more workers. In the intervening size groups the average frequency rates were generally much higher, reaching a peak of 76.2 in the group composed of plants employing from 500 to 750 workers. Among the plants which perform no slaughtering operations, those employing fewer than 10 workers had an average injury-frequency rate of 8.6; those employing from 10 to 25 workers had an average of 18.8; and those employing from 25 to 50 workers had an average of 23.0. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL IN JU R IE S 971 Next in line were the large plants employing 500 or more workers, which had an average frequency rate of 26.4. In the intermediate size groups the average frequency rates ranged upward to an average of 40.5 for plants employing between 50 and 100 workers. The abattoirs covered a much narrower size range than was the case in respect to the integrated and packing-house groups. Nevertheless, within this narrow range the frequency rates for the different size groups formed a pattern very similar to that of the other plants. The abattoirs employing fewer than 25 workers had the lowest average frequency rate—39.0—which was followed by the rate of 57.1 for the plants employing 100 or more workers. The highest average rate among the abattoirs was 89.5, for the plants employing between 50 and 100 workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Industrial Relations G overnm ent Collective A greem ent W ith Civil Servants in Saskatchew an1 ON August 2, 1945, the Government of the Province of Saskatchewan and the Saskatchewan Civil Servants Association, an affiliate of the Canadian Trades and Labor Congress, signed an agreement establish ing the terms of employment of approximately 3,500 Provincial em ployees. The Saskatchewan Civil Servants Association wTas named as the sole bargaining agent and representative of employees in all departments, boards, and commissions of the Provincial government. It was agreed that the Government is to negotiate with the association or its designated bargaining representatives in any and all matters affecting] the employment relationship between the employees and the Government. Employment Conditions Provision was made for the formulation of a position-classification plan by reputable technical consultants. Upon its completion to the mutual satisfaction of the parties, the Government will adopt the plan. The principle of equal pay for equal work, without regard to sex, was recognized. A pay plan is to be worked out by the experts classifying the positions, fixing a minimum and a maximum rate with intermediate rates in each class of positions (the cost-of-living bonus being included). The pay plan is to be subject to negotiation by the two parties before it is finally adopted. Payment for overtime work will commence after 44 hours in any week, and be at the rate of time and a half. If for a period exceeding 30 days an employee temporarily performs duties of a position higher than that which he holds, he is to be paid at the minimum rate for the higher position. Should the pay in his own position exceed that of the position on which he is substituting, his rate of pay is to remain unchanged. One month’s notice of dismissal must be given, in writing, or, in lieu thereof, 1 month’s salary. The requirements for probationers is 7 days’ notice or pay for a like period. Likewise, a permanent em ployee must give 1 month’s notice of resignation or forfeit his pay for every day of absence in the period of notice. Seven days’ notice or forfeiture of pay for days not worked is required from probationers. The Provincial government recognized the principle of the 8-hour day and 44-hour week in places other than offices. In offices, the workday was limited to 6% hours each day from Monday to Friday, and 3 hours on Saturday. Paid vacations of 18 working days are to 1Information is from Trades and Labor Congress Journal (Montreal), August 1945. 972 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INDUSTRIAL RELATIONS 973 be granted after every period of 1 year’s continuous service from the date of the last vacation. Sick leave is also to be granted for 18 days for each year of service. Arrangements were made for adjusting both paid vacations and sick leave for employees with shorter periods of service. Handling of Disputes Grievance procedure is provided in the agreement, which requires that the government shall meet with a committee on grievances within 48 hours after receiving a request for an appointment, or as soon as circumstances permit. An employee who has a grievance is to submit it to the chairman of his or her grievance committee for adjustment, who refers it first to the employee’s immediate supervisor. If it is not settled within 7 days, the matter is then sent to the permanent head concerned, who adjusts it or sends it on to the Commission. If adjustment is not arrived at within 7 days, the case is referred to a joint council, which makes recommendations to the Executive Council for consideration and appropriate action, such action to take place within 30 days. If the Executive Council’s action is disputed by the Civil Servant’s Association, either party may apply for a board of conciliation as provided for in the Trade-Union Act. Disputes arising out of the interpretation of the terms of the agree ment, which cannot be settled between the parties, are to be referred to a board of arbitration whose decisions are final and binding upon both parties. The board’s membership is to include one person each nominated by the Provincial government and by the Civil Servants Association, and a third person who is acceptable to both parties. Provision for Check-Off The check-off is provided for in a clause stating that the Govern ment agrees to continue its practice, upon signed authorization by members of the association, of deducting all dues, initiations, assess ments, or levies authorized by the secretary-treasurer of the associa tion, and to pay the moneys over to the secretary-treasurer. C onciliation Service of G overnm ent of India A MEMORANDUM issued by the Department of Labor in India,1 on April 9, 1945, stated that machinery was to be established for conciliation and for welfare, and to deal with operation of labor laws insofar as this was within the jurisdiction of the National Government. Industries and enterprises subject to such jurisdiction are those publicly owned or controlled, the Federal railways, mines, and oilfields, and major ports as defined in the Indian Ports Act of 1908. In general, with respect to industrial disputes in mines and oilfields and in major ports, authority is to continue to be vested in the Provincial govern ments under the Trade Disputes Act of 1929, until the latter law is amended. 1 Government of India, Department of Labor. Memorandum No. L. R. 12 (3), N ew Delhi, April 9,1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 974 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Industrial Relations Organization Under a chief labor commissioner having headquarters at New Delhi, three regional labor commissioners are to operate from head quarters at Bombay, Calcutta, and Lahore, respectively. Eight conciliation officers and 24 inspectors of railway labor are to be sta tioned at various centers throughout India. A single central inspector of industrial canteens completes the administrative organization. Powers of the Administrative Personnel The functions and powers of these officers were described as cover ing (1) conciliation, (2) welfare activities (excluding welfare in coal mines, for which a separate organization existed under the coal mines welfare commissioner), and (3) insuring that the labor laws are enforced—to the extent to which their administration is a responsi bility of the Indian Government—except in instances in which sep arate machinery exists, as for the control of emigrant labor. In connection with conciliation and welfare, the main functions were stated to be (1) assistance in the formation and maintenance of voluntary machinery for settling differences, (2) the prevention and settlement of industrial disputes, (3) maintenance of information regarding wage rates and conditions of work, (4) keeping in touch with relations existing between employees and employers, and (5) examina tion of welfare measures, and advice to employers and governments on such matters. The central inspector of industrial canteens is to inspect and advise on the creation of canteens in enterprises under the control of the Indian Government. It was intended to give the various officials concerned with con ciliation and welfare as broad powers for dealing with disputes as is possible under existing legislation. The Provincial governments were being requested to take the necessary action. Relation to Existing Machinery Responsibility for conciliation and administration of wage and hour legislation applying to the Federal railways is to be taken over in its entirety; the staff that formerly dealt with problems in certain of these railroad systems will cease to exist separately. The assistant labor welfare advisers are to be designated conciliation officers, and are to work under the regional labor commissioners already mentioned. However, the labor welfare adviser will continue to advise the Gov ernment independently on all matters of labor welfare and to maintain contact with labor organizations. Labor welfare officers, etc., in individual establishments, are to retain their responsibilities. The chief labor commissioner and his officers are to maintain close liaison with the administrators of various departments and establishments. If a dispute cannot be settled by the chief labor commissioner and liis staff, it is to be referred by him to the Department of Labor, provided that the chief commissioner is of the opinion that the Government should take further steps for the settlement of the dispute. The Labor Department will, in turn, refer the matter to the appropriate administrative department, with advice as to further action. Diffi culties arising in connection with the administration of wage and hour laws applying to the Federal railways, and proposed amendments, are also to be referred to the Department of Labor for further action. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Industrial Disputes Strikes and Lock-Outs in Septem ber 1945 PRELIMINARY estimates of the Bureau of Labor Statistics show 550 strikes and lock-outs in September 1945, with 455,000 workers involved and about 3,650,000 man-days of idleness. The idleness is estimated as amounting to approximately six-tenths of 1 percent of the available working time with due consideration given to cut-backs and the reduction of the workweek. The comparatively high level of strike activity in September reflects the impact of postwar problems on industrial relations, as many of the disputes involved questions of reduced take-home pay resulting from shorter weekly hours, and resistance to lay-offs and downgrading of workers. Figures below include all known work stoppages which involved six or more workers and lasted as long as a full day or shift. They include all workers in any plant who were made idle because of a strike or lock-out in that plant, regardless of whether or not they were all directly involved in the dispute. T able 1.— Strikes and Lock-Outs in September 1945, with Comparable Figures for Earlier Periods Strikes and lock-outs beginning in month Man-days idle in month M onth Number Workers involved Number Percent of available working time September 1945 i ___________________ ____ __________ August 1945 i---------------------- ---------- ------------------------ 550 410 455,000 3, 650,000 1,350, 000 0. 61 September September September September 408 237 274 470 207, 000 67,000 786,000 .10 1944----------------------------------------------1943----------------------------------------- — - ......... 1942------------------------------ --------- - - ................ 1941-------- .......................................... ................. 220,000 88,000 295, 000 .19 210,000 .03 .06 .30 387, 000 1,953, 000 i Preliminary estimates. M ajor Stoppages During September Bituminous-coal mines, supervisory dispute.—The bituminous-coal mining stoppage which eventually involved over 200,000 workers began about September 21 at a few mines in western Pennsylvania where mine foremen and other supervisory workers sought recogni tion of the United Clerical, Technical and Supervisory Workers Union (affiliated with the United Mine Workers of America) as their collective-bargaining agency. With supervisory workers idle, and operations not properly inspected, the mines were forced to close https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 975 976 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 down and production employees also became idle. The stoppage soon spread to mines in West Virginia and Kentucky and by the end of September, it is estimated, nearly 45,000 mine workers were involved. Additional idleness resulted in steel mills, which curtailed production for lack of coal. The stoppage spread further in October after company representa tives refused to meet union officials in Washington to negotiate the issues. Operators insisted that the men should return to work before negotiations were undertaken. Over 200,000 mine workers in Pennsylvania, West Virginia, Ohio, Virginia, Alabama, and Indiana were idle before the stoppage was finally called off. After conferences between company and union representatives with the Secretary of Labor in Washington yielded no specific settlement of the issues, union officials suddenly terminated the stoppage on October 17. Simultaneously, President John L. Lewis of the United Mine Workers declared that “future efforts to abate this controversy will be resumed at a later, more appropriate date.” Work was resumed in most mines on Monday, October 22. Oil-industry stoppage.—Approximately 35,000 workers were involved in the oil-industry stoppage which began September 17 in the Chicago and Detroit areas and later spread to include oil workers in about 20 States. The principal demand of the Oil Workers International Union (CIO) was for 52 hours’ pay for 40 hours of work, the equivalent of a 30-percent wage increase to prevent a reduction in the take-home pay when the workweek was reduced. Efforts of Government con ciliators were not successful in preventing the spread of the stoppage; and arbitration, proposed by the Secretary of Labor, was not accepted by the companies although favored by the union. At least one-third of the Nation’s gasoline supply was cut off by the stoppage and, as shortages became acute, President Truman on October 4 ordered the seizure of the major oil operations by the Navy Department. Pro duction was resumed shortly thereafter with the same wage rates and hours in effect as prevailed before the dispute. Westinghouse Electric Corp.—Approximately 10,000 white-collar employees, members of the Federation of Westinghouse Independent Salaried Employees Unions, stopped work on September 10, at plants in Maryland, Massachusetts, New Jersey, New York, Ohio, and Pennsylvania, demanding an incentive bonus similar to that paid to production workers. The National War Labor Board had denied a request for such a bonus on August 8. A large majority of the workers approved strike action in a vote conducted September 6 under terms of the War Labor Disputes Act. Production workers were soon made idle and a total of nearly 40,000 employees were in volved. The dispute was settled September 29 with an agreement to negotiate the issues further after the workers returned to their jobs and upon the consent of the War Labor Board to review its previous decision on the incentive bonus. Work was resumed on October 1. Textile dyeing and printing companies.—A demand for a wage increase of 15 cents per hour was the principal issue in a stoppage involving about 40,000 members of the Federation of Dyers, Finishers, Printers and Bleachers of America (CIO) employed in textile dyeing and finishing plants in New Jersey, New York, and Pennsylvania. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis IN D U S T R IA L D IS P U T E S 977 The stoppage began September 27 at Paterson, N. J., area plants and spread within a few days to about 300 plants in the three States. A compromise settlement on October 9 provided increases of 10 cents per hour for men and 5 cents per hour for women. New York elevator operators.—About 15,000 elevator operators and building-maintenance workers, members of the Building Service Employees International Union (AFL) were directly involved in a stoppage in New York City from September 24 until October 1, and many thousands of other workers were kept from work because of inability to reach their offices and workplaces. The major issue involved a reduction in take-home pay upon shortening the workweek to 40 hours. Work was resumed on October 1, under agreement to arbitrate the matter, the arbitrator to be selected by the Governor of New York. Northwest lumber stoppage.—Seeking a minimum wage of $1.10 per hour and an industry-wide contract, about 30,000 logging-camp and sawmill workers, members of the Lumber and Sawmill Workers Union (AFL), stopped work about September 24, following a strike vote under the War Labor Disputes Act. Despite continuing efforts of Federal conciliators, the stoppage was still in effect at the end of the month and continued through October. B. F. Goodrich Co.—Lay-offs and downgrading of foremen, allegedly without regard to seniority, and refusal of the company to bargain with officials of the Foremen's Association of America resulted in a stoppage of about 800 foremen at six plants of the B. F. Goodrich Co. in Akron from September 4 to 25. Approximately 14,000 workers were made idle. A union petition for certification as collective bargaining agency for the foremen was pending before the National Labor Relations Board. After 3 weeks of negotiating, with the aid of Federal conciliators and local civic groups, the company agreed to rehire the striking foremen without discrimination because of the strike and the foremen voted to return to work and await action of the National Labor Relations Board. Other large stoppages.—Other disputes involving large numbers of workers included (1) a 4-day stoppage involving 16,000 workers at the New York Shipbuilding Corp., Camden, N. J., where members of the Industrial Union of Marine & Shipbuilding Workers (CIO) pro tested the discharge of union members for alleged loafing on the job; (2) a 1-day strike of 10,000 workers at the Consolidated Steel Corpora tion, Shipbuilding Division, at Orange, Tex., where AFL craft unions protested the alleged discrimination against union pipe fitters; and (3) a 2-day stoppage of 7,000 International Harvester Co. employees, members of the United Farm Equipment and Metal Workers Union (CIO), protesting the disciplinary lay-offs of a few workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 978 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Activities of U. S. Conciliation Service, A ugust 1945 DURING the month of August 1945, the U. S. Conciliation Service disposed of 1,735 situations as compared with 1,935 situations in July. During August 1944, 2,487 situations were closed. Of the 279 strikes and lock-outs handled, 256 were settled success fully; 23 cases were certified to the National War Labor Board in which strikes occurred duiing negotiations, but in 17 cases a Commis sioner of Conciliation had effected a return-to-work agreement prior to certification of the case. The records indicate that 190 situations were threatened strikes and 1,036 were controversies in which the employer, employees, or other interested parties asked for the assign ment of a Commissioner of Conciliation to assist in the adjustment of disputes. During the month 241 disputes were certified to the National War Labor Board. The remaining 230 situations included 101 arbitrations, 12 technical services, 39 investigations, and 78 re quests for information, consultations, and special services. Cases Closed by U. S. Conciliation Service in August 1945, by Type of Situation and Method of Handling Method of handling Total Strikes and lock-outs Threat ened strikes Contro versies All methods__________ ____________ 1,735 279 190 1,036 Settled by conciliation__________ . . . . . . Certified to National War Labor Board . . . Decisions rendered in arbitration... . . . Technical services completed___ _ Investigations, special services_______ ____ 1,294 '241 256 i 23 177 13 831 205 1 Of these, 17 were settled prior to referral. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 101 12 117 Other situa tions 230 101 12 117 Labor O rganizations and Conventions U nderground Trade-U nion Activity in Norway D uring the W ar 1 Initial Organization UNDERGROUND trade-union activity in Norway began with the formation of various union-membership groups, almost immediately after the invasion of the country in April 1940, and even before the German authorities began to interfere with the appointment of union representatives and to use other means of forcing the trade-union organization and the union workers into the German pattern. Secret opposition to Nazi authority by trade-union members, planned outside the meetings of the trade-union secretariat, began when the Germans denied the president and vice president of the Federation of Trade Unions (Konrad Nordahl and Lars Evensen) the right to resume their positions within the union organization upon their return from northern Norway after the initial conflict on Norwegian territory was ended and the German occupation was in force. After the Norwegian political parties had been abolished and the Nazis had taken over the administrative council of the Federation of Trade Unions (October 1, 1940), it became the objective of the Nor wegian underground trade-union movement to form an independent trade-union organization in close affiliation with the entire Home Front opposition. This was achieved through the leadership of the TradeUnion Committee (Faglige TJtvalg) which was organized early in 1941. During this period the underground trade-union movement began the issuance of a publication, Fri Fagbevegelse (Free Trade Unions), to serve as a link between the various trade-union groups and to resume the connections with Stockholm and London which had been broken when the Germans seized the Norwegian radio apparatus. The publication, in mimeographed form, was first issued on January 4, 1941. At first only a few copies appeared, but soon there was a fairly extensive circulation; the largest edition (over 20,000 copies) was issued near the end of 1943. Thereafter the circulation was smaller because of the paper shortage and the increased difficulties of pro ducing and distributing the periodical in secret. In 1945 the editions varied from 12,000 to 15,000 copies. Fri Fagbevegelse was produced both in Oslo and in outside districts, by use of distributed stencils. Its staff was twice seized by the Gestapo—in 1942 and in 1944—but i Data are from an address by Frank Hansen, who at the time of the liberation of Norway served as chair man of the Norwegian underground Trade Union Committee (reported by Royal Norwegian Information Service, an agency of the Royal Norwegian Government, Washington, D . C., in News of Norway, August 10, 1945, and in its Norwegian language release of August 30,1945): also from telegrams from Stockholm via London, June 28, 1945 (No. 2298, reporting interview by Konrad Nordahl printed in Aftontidningen, June 27, 1945), and June 25, 1945 (No. 2249). 979 6 7 0 1 1 9 — 45 ------- 10 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 980 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 its publication was never stopped, as other trade-union members carried on the work. Growth and Activities of the Underground Movement The Nazi attack on the Federation of Trade Unions in September 1941, which placed the Federation under guardianship of the Nazi leaders, affected the entire trade-union activity. In order to coordinate home resistance with free Norwegian activities abroad, a trade-union secretariat was formed in London with a committee in Stockholm. Lars Evensen (who had served as chairman of the Trade Union Committee until he was forced to flee because of the Nazi attack) and Konrad Nordahl became the respective heads of the Stockholm and London organizations, and the Trade Union Committee in Norway maintained close communication with the two groups abroad. Five members of the Trade Union Committee then formed a working committee in Norway, which met once a week. The postal system could at first be used as a means of communication between the Trade Union Committee and the local groups, but later both letter and parcel censorship became so stringent that any special directives had to be sent by messenger. The Gestapo, meanwhile, had been organized in Norway according to the German model, and the Nazis were greatly annoyed by the growing opposition movement. Toward the end of 1941 the Germans were preparing the Norwegian people for the so-called “Act of State” of February 1942, whereby Quisling was to be named “Minister President.” In January 1942, as a result of the extensive opposition to this measure, the main part of which flowed through the channels of the Trade Union Committee, police raided the committee head quarters, arresting both the chairman and the secretary, and discov ering both the location and staff of Fri Fagbevegelse. The under ground trade-union activity, nevertheless, was soon resumed on a larger scale, even under sharpened police pursuit and continued arrests. In the autumn of 1942 the “National Council” (Rikstinget) pro posed by Quisling was opposed by the underground trade-union move ment through written protests and withdrawals from trade-unions in which compulsory membership had been instituted by the Nazis. There was too little time for organization of concerted action through out the whole of Norway; nevertheless, in Oslo and a number of other places opposition was extensive, and the planned council was given up. The Trade Union Committee kept itself constantly occu pied with thwarting the Nazi Labor Office leaders and the confer ences which they organized; it wholeheartedly supported the Home Front Coordination Committee and aided in distribution of its directives. Three successive chairmen of the Trade Union Committee were forced to flee from Norway early in 1944 at the threat of the Gestapo, one of them after serving as chairman for only a few days. To lessen the risk of arrest, the committee was reduced from five to three members. Alf Andersen then became chairman of the Trade Union Committee, and the office of the Textile Workers Union, of which he was a repre sentative, became the center for the reorganized underground tradeunion activity. Fri Fagbevegelse which had again been raided by the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR ORGANIZATIONS AND CONVENTIONS 981 police in February 1944, resumed publication in Drammen through connections of the underground newspaper, Vart Lands (Our Country). Broken underground communications throughout Norway were re established, and the entire underground trade-union activity was reorganized. Plans for Postliberation9Action The Trade Union Committee had been especially interested in ob taining an agreement for a general addition to wage rates, to be announced simultaneously with the liberation of Norway. In the autumn of 1943 a negotiating conference to this end was held between representatives of the trade-unions and the Employers’ Association. The Committee, in cooperation with the trade-union secretariats in London and Stockholm, also considered the postwar reconstruction of the entire trade-union organization. Directives were prepared by the Committee for a general strike to hamper German defense activities when the Allies landed in Nor way. The committee also worked closely with the trade-union secretariats in Stockholm and London regarding measures to be put into operation during the transition from occupation to freedom. To coordinate this transition program, a conference was held in Gothenburg, Sweden, at the end of March 1945. The conference revealed entire accord among the Stockholm, London, and Oslo leaderships of the trade-union movement, and it was planned that the union representatives in London and Sweden should be prepared to return to Norway as soon after the liberation of Norway as it was possible to cross the border. After the liberation of Norway the underground trade-union move ment resumed its leadership of the Federation of Trade Unions. Konrad Nordahl and Lars Evensen were reelected to their respective prewar offices of president and vice president of the federation. Trade-U nion Growth and Intern atio n al Policy in Switzerland 1 MEMBERSHIP in the Swiss Federation of Trade-Unions increased 26 percent from 1940 to 1945, reaching 267,805 at the opening of 1945. At the same time, total trade-union membership in Switzer land amounted to about 370,800, in a gainfully occupied popu lation estimated at 2,070,000. Recent congresses of trade-union federations adopted resolutions which emphasized the need for tradeunion participation in world organization. Trade-Union Membership Total membership in the Federation of Swiss Trade-Unions (Union Syndicale Suisse) increased with fair uniformity throughout the years of World War II, as is indicated in the accompanying table. Among the affiliated groups, only home workers in the textile industry lost members, and only to the number of 40. The Federation of Swiss 1Data are from M idmonthly Labor Report of Dorothy M . Sells, labor attache, July 15, 1945, United States Legation, Bern. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 982 MONTHLY LABOR REVIEW— NOVEMBER 19 4 5 Protestant Workers (Union Suisse d’Ouvriers et Employés Évangél iques) gained slightly in membership in the same period, and the Federation of Catholic Trade-Unions (Fédération Suisse des Syndi cats Chrétiens-Nationaux) had 17 percent more members in 1943 than in 1941. Membership in Federations of Trade-Unions in Switzerland, 1940-44 1 Membership in federations of— Year Swiss tradeunions 1940________________ 1941____________________ 1942____________________ 1943__________________ 1944__________________ 212, 582 217,251 231,277 250, 198 267,805 Catholic trade-unions 36, 787 36, 118 38,188 42,348 (2) Swiss Protes tant workers 11,462 11, 557 12,025 11,982 (2) 1 Membership in smaller federations not listed here was 48,677 in 1943. 2 Data not available. Statements on International Policy Federation of Swiss Railway Workers.—With a membership of 34,436, including all the workers employed by the Swiss Federal rail way system in 1944, the Federation of Swiss Railway Workers repre sented the only completely organized industry in the country. At the annual congress held in Bern on May 25-26, 1945, the general secretary of the federation stated that Swiss labor did not intend to go through again such a period of deflation as followed the last war. After advocating higher wages to meet the increased cost of living2 and improvements in the social-insurance system, he outlined the federation’s stand on international issues as follows: F a r from abandoning democracy now, they [the trade-unions] desire the right to express their opinion at the time of structural reforms. This task, however, is too big to be accomplished by one country alone. Fascism has been beaten by the Allied arm ies; but the spirit of fascism is not dead, even in Switzerland. All the nations should participate in the new international organizations, both the new United Nations Organization constituted at San Francisco, and the World Trade-Union Congress inaugurated at London. Federation of Clothing, Leather, and Wearing-Apparel Workers.— At a biennial meeting held in Saint Gall, June 23-24, 1945, this federa tion reported an increase of 100 percent in local trade-union member ship in French and Italian Switzerland. In 1943, the federation had 5,166 members. A resolution adopted at the meeting requested that wages be raised to the level of real wages in 1939 and that old-age and survivors’ insurance be established. The resolution on interna tional policy read as follows: The delegates hope that an international trade-union movement will be created on a democratic basis, in behalf of the workers of all the world, and they approve of the efforts towards that aim. They likewise hope that the new world organ ization for the security of people, the basis of which was laid at San Francisco, will be able to strengthen democracy in the world, that it will be conscious of the importance of social questions and of their democratic solution (the International Labor Office could play an important part in that). 2For details, see M onthly Labor Review, September 1945 (p. 533). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR ORGANIZATIONS AND CONVENTIONS 983 Federation of Postal, Telephone, and Telegraph Employees.—Although it is an organization of only about 1,857 members, this federation of Government workers is described as a powerful union. Resolutions regarding international relations adopted at the federation’s annual meeting at Lugano early in July 1945 stated that— Trade unions must play a role of first importance in the entire world, if a dura ble peace is to be created, and to that end [the federation] recommends participa tion in a new world trade-union congress which embraces the U SSR . Federation of Workers in Commerce, Transport, and the Food Trades.— The annual meeting of this federation (membership some 22,000 in 1940) was held in Geneva June 2-4, 1945. An outstanding event at the meeting was the speech of the secretary of the International Transport Workers’ Federation, London, in which the following statement on international policy occurred: The little countries must see that international ideas succeed first at home and then in the world. It is important that, in all countries, workers be educated with regard to the possibilities of the World Organization of Trade Union[s] which will open up new horizons to the workers and permit them to work for the unifica tion of the entire world. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Labor Laws and Decisions State Legislation on Labor R elations and D iscrim ina tion in Em ploym ent, 1945 1 ALL but 6 of the 44 State legislatures meeting in 1945 considered bills in the field of industrial relations. In contrast to the large number of restrictive State laws passed in 1943,2 only 3 legislatures approved laws of this type in 1945. This resulted despite the fact that the majority of industrial relations bills introduced this year followed the trend of previous legislative proposals to regulate or restrict labor unions and their activities. South Dakota passed a “right to work” law and proposed a constitutional amendment, similar to the Florida “right to work” amendment of 1944, for submission to the next general election. Hawaii and Puerto Rico adopted comprehensive labor-relations laws which detail unfair labor practices of labor or ganizations as well as of employers. The Hawaii law is modeled after the Wisconsin Employment Peace Act of 1939. The Puerto Rico law also prescribes stringent arbitration provisions, including com pulsory arbitration during the war period in some industries, and requires registration of unions and of collective-bargaining agreements. Connecticut was the first State since 1941 to adopt “ a little Wagner Act,” and a few States amended existing labor-relations laws. Several States enacted laws in the field of conciliation and arbitration. North Carolina established an arbitration service in its Labor Department, Connecticut and New Jersey expanded their boards of mediation and arbitration, and other States amended their arbitration and concilia tion statutes. Legislation designed to eliminate discriminatory employment prac tices with regard to race, creed, color, or ancestry was introduced in nearly half the States, and 5 States adopted laws in this field. New York outlawed specified discriminatory employment practices of employers, unions, and employment agencies, and became the first State to establish a permanent full-time Commission Against Discrim ination to administer its new act. A similar law approved in New J ersey is administered by the Commissioner of Education with the advice of a part-time council. Laws against discrimination adopted in Indiana and Wisconsin empower the State Labor Departments to hear cases of discrimination in employment and to make recommenda tions to the parties or publicize their findings. A Utah law establishes a legislative committee to investigate discrimination because of race, creed, and color, and to recommend legislation. 1 Prepared by Ruth S. Spitz, Division of Labor Standards. For a summary of 1943 legislation restricting or regulating union activities adopted in Alabama, Ar kansas, Colorado, Florida, Idaho, Kansas, Massachusetts, Michigan, Minnesota, South Dakota, and Texas, see M onthly Labor Review, M ay 1943 (p. 941) and October 1943 (p. 778), 2 984 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR LAWS AND DECISIONS 985 Labor Relations Acts CONNECTICUT ACT The Connecticut Labor Relations Act is modeled after the National Labor Relations Act and generally follows the pattern of the “ little Wagner Acts” of New York, Rhode Island, and Utah. The law establishes a three-man Board of Labor Relations in the Department of Labor and Factory Inspection to administer the act. The board is appointed on a per diem basis, and selects an agent to act in its beha f in investigation of complaints under the act. The Connecticut law guarantees the rights of employees to organize and bargain collectively, free from interference or coercion by em ployers, and lists 10 unfair labor practices of employers. In addition to the unfair practices specified in the National Labor Relations Act the Connecticut law prohibits spying on employees, blacklisting, requiring an employee to join a company union or to refrain from joining a labor organization, and refusing to discuss grievances with employee representatives. The State law also prescribes in greater detail the affirmative action which it may require of employers found to have committed an unfair labor practice, such as awarding back pay and withdrawing recognition from any company union. The procedures laid down in the National Labor Relations Act in conducting elections for the determination of collective-bargaining representatives are generally followed in the Connecticut law. How ever, the State board is required to receive petitions for elections from employers as well as from employees, although it need not conduct an election solely on the request of an employer. The Connecticut act also provides that company unions may not be placed on an election ballot, and strikebreakers are forbidden from voting in elections. Like the National Board, the State Labor Relations Board is authorized to determine the appropriate collective-bargaining unit, but the State act directs the board to designate a craft unit as appropriate if a majority of the craft so requests. Excluded from coverage of the act are persons subject to the National Labor Relations Act and the Federal Railway Labor Act, employees of the State and of nonprofit organizations, and persons in domestic and agricultural employment. AMENDMENTS TO STATE LABOR RELATIONS LAWS Several States amended their labor-relations acts in 1945. Wis consin redefined “all-union agreement” in the State Employment Peace Act to mean a collective-bargaining agreement in which all or any of the employees are required to be members of a single labor organization (thus covering maintenance of membership, whicii had previously been excluded). Requirements for an all-union agreement were changed from a three-fourths to a two-thirds vote, provided that this vote constitutes a majority of the employees in the collective bargaining unit. The State Employment Relations Board is also authorized to establish collective-bargaining units covering employees of more than one employer. Another amendment forbids the board to entertain a petition for a referendum for an all-union agreement unless the contracting parties have agreed to include such an agree ment in their collective-bargaining contract. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 986 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 The Pennsylvania Labor Relations Act, as amended, provides that if the majority ;of the employees of a particular craft, rather than a majority of a craft union, desire a craft unit for collective-bargaining purposes, the State Labor Relations Board shall designate that unit as appropriate. Pennsylvania also modified the procedure for judicial review of board orders, and Massachusetts redefined the coverage of the State Labor Relations Act. New York increased the salaries of members of the State Labor Relations Board from $7,500 to $10,000 per year. The amendment to the Minnesota Labor Relations Act prohibits any strike, boycott, or picketing during the certification period of a collective-bargaining agency. HAWAII ACT The new Hawaii Employment Relations Act is modeled after the Wisconsin Employment Peace Act of 1939, regulating the activities of both employers and employees in collective bargaining and providing controls on other union functions. A three-man Employment Rela tions Board to administer the act is created, composed of representa tives of industry, labor, and the public and paid on a per diem basis. The act recognizes equally the right of employees to organize and bar gain collectively and to refrain from such activities; it lists 11 unfair labor practices of employers and 10 unfair practices of employees. In addition to specifying a number of unfair practices of employers listed in the National Labor Relations Act, the Hawaii act outlaws entrance into an all-union agreement unless voted for by three-fourths of the employees in the collective-bargaining unit, bargaining with less than a majority of the employees in a bargaining unit, checking off union dues or assessments without an individually signed order of the employee, hiring labor spies, and blacklisting. The law authorizes employers to permit employee organizational activities on company premises, and the board is directed to terminate any all-union agree ment not supported by the required three-fourths vote, or if it finds that the union has unreasonably refused to admit any employee of the employer as a member. Among the prohibited employee practices are coercing an employee in the enjoyment of his guaranteed rights, coercing an employer to interfere with his employees’ rights or to engage in an unfair labor practice, promoting picketing or boycotting unless a majority of the employees in the collective-bargaining unit have voted by secret ballot to call a strike, mass picketing, secondary boycotting, sit-down strikes, and failure of employees in agriculture or dairying to give the board 10 days’ notice of intent to strike. Employees and employers are equally forbidden to violate the terms of a collective-bargaining agreement and to refuse to accept the final determination of any controversial employment-relations issue by the Employment Relations Board or any tribunal with jurisdiction. Additional controls on labor organizations include the requirement that every employee collective-bargaining representative shall keep a record of his financial transactions and present the members of his organization with an annual detailed written financial report. All labor organizations must file with the board their names, officers, and affiliations. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR LAWS AND DECISIONS 987 Unlike the National Labor Relations Board, the Hawaii board, is authorized to conduct elections for the determination of collectivebargaining representatives on petition either of employers or employ ees; it may exclude from the ballot the name of any person deprived of his rights under the act for having engaged in an unfair labor prac tice; and it is also required to designate a craft unit as appropriate if the majority of the employees of that craft so desire. In addition to the usual penalties for violation of labor-relations laws, persons found guilty of having committed an unfair labor practice may be deprived of their rights and privileges under the act. The Hawaii law excludes employers of less than eight employees, and domestic, supervisory, executive, and some dairying employees. PUERTO RICO ACT The Puerto Rico Labor Relations Act similarly regulates the col lective-bargaining activities of both employees and employers, re quires registration of labor organizations and agreements, and includes rigid arbitration provisions. A three-man Labor Relations Board is" established, with a full-time chairman. Rights of employees to organize and bargain collectively are recognized. Among the 12 listed unfair labor practices of employers are those forbidden in the National Labor Relations Act and also bargaining with representatives of less than a majority of the employees in a bargaining unit, checking off union dues or assessments without an individually signed order of the employee which shall be terminable annually on 30 days’ notice by the employee, hiring labor spies, and blacklisting. Employees, labor organizations, and employers are equally for bidden to violate the terms of a collective-bargaining agreement, in cluding an agreement to accept an arbitration award, to refuse to accept as conclusive of any controversial employment relations issue the final determination of any tribunal having jurisdiction, and to fail to comply with the mediation and arbitration provisions of the act. All labor organizations are required to register with the board their names, officers, and affiliations, and to file with the board a certified copy of every collective-bargaining contract entered into. Any labor organization failing to comply may forfeit its right to petition or file a complaint under the act. The board may terminate any all-union agreement if it finds that the labor organization involved has unrea sonably excluded from membership or hindered membership of any employeee of the employer. The Puerto Rico board conducts elections for the determination of collective-bargaining representatives on petition of either employers or employees, and the act specifies that the holding of one election shall not be construed as preventing the conduct of another among the same employees. The board may exclude from the ballot the name of anjT- person deprived of his rights under the act for haying engaged in an unfair labor practice, and may require representatives of labor or management to prove their right to act in that capacity. The Puerto Rico board, like the Hawaii board, may deprive a person, found guilty of committing an unfair labor practice, of his rights and privileges under the act for not more than 1 year. The act also pro vides penalties for employers found guilty of failing to comply with an https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 988 M ONTHLY L A B O R R E V IE W — N O V E M B E R 1945 order of the National Labor Relations Act. The law applies to all nonsupervisory and nonexecutive employees, with the exception of domestics and employees of the Puerto Rican Government. Conciliation , M ediation , and Arbitration Laws North Carolina established an Arbitration Service in the State De partment of Labor, to be administered by the Labor Commissioner. Controversies regarding wages, hours, or working conditions may be submitted voluntarily by both parties to an arbitrator appointed by the commissioner, or to a five-man arbitration panel composed of two members chosen by the empioyees, two chosen by the employer, and the remaining member selected by the commissioner. The act makes detailed provision for submission of the dispute, hearings, and issuance of the arbitration report, and authorizes the commissioner to make the report public. New Jersey increased the membership of the State Board of Medi ation from five to seven members, with two members representing employers, two representing employees, and three representing the public. Members of the board are to be paid on a per diem basis, and the compensation of any one member is limited to $5,000 per year. Each member of the board is required to represent the same group in all proceedings of this or any other public board dealing with indus trial relations. Connecticut amended its arbitration and mediation law to provide for the appointment of an alternate for each member of the Board of Mediation and Arbitration. The labor alternate must be a member of a different national labor organization from the organization to which the labor member belongs. The law authorizes the board to require alternate members to sit with it in hearings and deciding dis putes, and provides that the alternate shall sit in place of the member if so requested by the party to the dispute representing the same interest. An amendment to the Maine law requires that the chairman of the State Board of Arbitration and Conciliation shall represent the public. The board is authorized to subpena parties to a dispute, and its arbitration decision is to be binding only if the parties agree to abide by it. The New Hampshire arbitration law was amended to provide that the law shall apply only to those labor arbitration agree ments which specifically state that they are subject to the law. The new Puerto Rico Labor Relations Act includes a plan of compul sory conciliation and compulsory arbitration in certain industries. In any electric-power or water-supply utility, or enterprise engaged in the care of the sick, for the duration of the war and 6 months thereafter, notice of any labor dispute not settled by collective bargaining must be served on the Director of Conciliation of the Department of Labor. If after 20 days from the date of notice the Director of Conciliation has been unable to secure a settlement, the parties have the alternative of selecting an arbitrator who shall make a binding decision. If the parties are unable to agree upon the designation of an arbitrator, the director notifies the Labor Relations Board, and the board appoints a three-man arbitration panel representing labor, management, and the public. The arbitration panel is required to hold a public hearing and issue a majority decision within 30 days, which is binding. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR LAWS AND DECISIONS 989 The Puerto Rico Labor Relations Board is also empowered to hold public hearings and promulgate rules for conciliation, mediation, and voluntary arbitration for any other industries, enterprises, and services. Such rules have the effect of law until disapproved by the Puerto Rico Legislature. Failure to comply with any of the above provisions is an unfair labor practice under the act. The new Employment Relations Act of Hawaii creates the office of conciliator in the Employment Relations Board. Upon receipt of any notice of a dispute, the board is required to refer it to the conciliator who shall endeavor to conciliate and settle the disagreement. If after 10 days, or an additional 10 days if agreed to by the parties, the con ciliator is unable to settle the dispute, he must certify it back to the board. "Right to Work ” Legislation So-called “right to work” legislation, introduced in almost identical pattern in at least 11 States this year, in the form either of a proposed law or of a constitutional amendment, was adopted in South Dakota. The act bans virtually every type of union-security clause—closed, union, or maintenance-of-membership shop—under the provision that “no person shall be denied employment because of membership in or affiliation with or resignation from a labor union, or because of refusal to join or affiliate with a labor union; nor shall any corporation or individual or association of any kind enter into any contract written or oral, to exclude from employment members of a labor union or persons who refuse to join a labor union or because of resignation from a labor union.” Violation is a misdemeanor, punishable by possible $300 fine, 90-day imprisonment, or both. The South Dakota Legislature also approved a proposed constitu tional amendment, similar to the Florida amendment of 1944. The amendment, which will be submitted to the next general election, reads: “ The right of persons to work shall not be denied or abridged on account of membership or nonmembership in any labor union, or labor organization.” Seniority of Veterans A new Rhode Island law greatly extends the seniority rights of hon orably discharged veterans of World War II in reemployment, and in employment on a new job. Veterans applying for new employment within 1 year after discharge shall possess and be given credit for seniority rights equal to the time in the armed forces. The act also increases to 1 year the 90-day period provided in the Selective Service Act as the period after discharge in which a veteran upon reemploy ment by a prior employer, shall be given seniority rights equal to the time served in the armed forces, in addition to the seniority rights held when he left that employment for the service. Veterans of other wars are the only persons exempt from the effects of such preference, although the law authorizes any World War II veteran to waive any of his rights granted in the act. Violation of the law is a misdemeanor, punishable by fine of not more than $1,000. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 990 MONTHLY LABOR REVIEW— NOVEMBER 1945 Legislation Against Discrimination in Employment NEW YORK LAW New York was the first State to approve a comprehensive act prohibiting discrimination in employment. Similar in form and administration to the State “little Wagner Act” but with added emphasis on education and conciliation as a means of remedying discriminatory practices, the act creates a five-man full-time Com mission Against Discrimination. The law asserts the right of oppor tunity for employment without discrimination because of race, creed, color, or national origin, and lists a series of unlawful employment practices applying to employers, labor organizations, and employ ment agencies. “National origin” is defined to include ancestry. Employers are forbidden to discharge or discriminate against any person in compensation, terms, or privileges of employment, because of race, creed, color, or national origin. Labor organizations are prohibited from excluding or expelling from membership or from discriminating against any of their members, any employer or any of his employees, for these reasons. Printing or circulating any state ment or advertisement, inquiry, or the use of any form of application which expresses any limitation or discrimination unless based on a bona fide occupational qualification, is forbidden to employers and employment agencies. Employers, labor organizations, and employ ment agencies are also prohibited from discriminating against any person for opposing practices forbidden by the act or for filing a complaint or testifying under the act. Outlawed also is the attempt by any person to aid, compel, or coerce performance of any acts forbidden by the law. The commission is authorized to create advisory agencies and con ciliation councils to study the problems of discrimination and to recommend policies and educational programs, and the commission itself is empowered to issue publications and research reports for the promotion of good will and the elimination of discrimination. It is also directed to utilize the services of other government agencies. Complaints of unlawful employment practices are received and investigated by the commission, and if it determines that the com plaint may be justified it endeavors to eliminate the unlawful em ployment practice by confidential conference and conciliation. If the unlawful practice cannot be eliminated in this manner, the com mission may hold hearings, issue cease-and-desist orders, and require the person complained of to take affirmative action to eliminate the practice. Review and enforcement of commission orders by the courts are provided through procedure similar to that under the State Labor Relations Act. Willful violation of the commission’s orders is a misdemeanor, punishable by fine, imprisonment, or both. The act applies to employers of six or more employees, but excludes var ious educational, social, and nonprofit organizations, and domestic employees. NEW JERSEY LAW A similar statute adopted in New Jersey declares that the oppor tunity to obtain employment without discrimination because of race, creed, color, national origin, or ancestry is a civil right. Adminis https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR LAWS AND DECISIONS 991 tration of the law is placed in a new Division Against Discrimination in the State Department of Education. The division is composed of the Commissioner of Education and a seven-man advisory council. The law also creates the full-time position of Assistant Commissioner of Education who is to act for the commissioner in the division. The council is directed to create advisory agencies and concilia tion councils to study the problems of discrimination and to recom mend policies and educational programs for their elimination. The Commissioner of Education is empowered to issue such publications and research reports for the promotion of good will and the elimina tion of discrimination as the council may direct. He is also directed to maintain liaison with other local, State, and Federal agencies concerned with the work of the division. The New Jersey law specifies unlawful employment practices of employers, labor organizations, and employment agencies similar to those listed above in the New York statute. Procedure for the receipt and investigation of complaints of such practices, their elimi nation by conciliation, and the holding of hearings and issuance of orders by the commissioner is also like that outlined for the New York law. The New Jersey law provides for enforcement of the commissioner’s orders by court injunction. Willful violation of orders of the commissioner is a misdemeanor, and penalties are pro vided. The law applies to employers of six or more employees, but exempts domestic workers and nonprofit organizations. INDIANA AND WISCONSIN LAWS Indiana and Wisconsin also passed laws against discrimination, which stress voluntary compliance with the purpose of the legisla tion and elimination of discriminatory practices and their causes by educational measures. The Indiana law declares the right of oppor tunity to obtain employment without discrimination because of race, creed, color, national origin, or ancestry. The Commissioner of Labor of Indiana (with the advice of a legislative board) and the Wisconsin Industrial Commission (with the advice of a committee representing labor, industry, and the public) are directed to study discrimination with regard to race, creed, color, national origin, or ancestry, and to publish reports, formulate programs, ^ and inake recommendations to the legislatures for its elimination. These agencies are also empowered to provide technical assistance to per sons and agencies for the elimination of discrimination, to receive and investigate complaints of discriminatory practices, to hold hear ings and to make recommendations to the parties. The Wisconsin law authorizes the Industrial Commission to publicize its findings in complaint cases. Both acts exempt nonprofit organizations. W W W # Legislative Sessions in 1946 IN 1946 regular legislative sessions will be held in only 8 Slates (Kentucky, Louisiana, Mississippi, New York, Rhode Island, South Carolina and Virginia) and in Puerto Rico. Most of the States, as well as Alaska and Hawaii, hold biennial sessions and meet m oddnumbered years. The second session of the 79th Congress will con https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 992 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 vene on January 3, 1946, unless the date of meeting is previously changed by act of Congress. The length of the legislative sessions meeting in 1946 is limited to 60 days in Kentucky, Louisiana, and Virginia. In Virginia, however, the session may be extended for 30 additional days, but the legislators are not paid for the additional service. In other States there is no limit on the length of the session. All these State legislatures will assemble in January, with the exception of the Louisiana legislature which meets in May. The following table shows the State legislatures meeting in regular session in 1946 as well as the date of convening and the length of the session. Dates Set by Law for Convening of State Legislatures State Kentucky____ Louisiana____ Mississippi___ New Jersey___ New York____ Rhode Island . _ South Carolina Virginia______ Time of assembly Tuesday after first M onday in January__ Second M onday in M ay Tuesday after first Monday in January__ Second Tuesday in January __ First Wednesday in January First Tuesday in January Second Tuesday in January Second Wednesday in January. . . Date of conven Length of ing 1946 session session Jan. M ay Jan. Jan. Jan. Jan. Jan. Jan. 8 13 8 8 9 1 8 9 60 days. Do. No limit Do. Do. D o.1 D o.2 60 days.3 1 2 Pay of legislators limited to 60 days. Pay of legislators limited to 40 days. O0 d*ayiT ex^cn^e^ days by a three-fifths vote in each house, but pay of legislators is limited to R ecent Decisions of In terest to Labor 1 National War Labor Board Decisions SICK-LEAVE plan in hazardous industry denied.—The National \\a r Labor Board, in In re J-M Service Corp. (Kansas Ordnance riant, Case No. 111-6983-D, August 5, 1945), reversed one of its regional boards and denied a sick-leave plan, even though such plans were the general practice in other ordnance plants. The National Board based its decision on the fact that the company already had a sick-leave plan which provided for two-thirds pay, up to 6 days’ time lost because of industrial accidents, and also paid part of the cost of group insurance which covered nonindustrial illness. Compromise back pay where both parties at fault.—-An employee was discharged for refusing to leave one job, to which her seniority entitled her, and take over another job, when rates on the other job were al ready being negotiated between the company and the union. The Regional Labor Relations Board held that both sides were at fault.2 The employee should have accepted the transfer and then filed a grievance through the usual procedure. On the other hand, the com1Prepared in the Office of the Solicitor, Department of Labor. The cases covered in this article represent alfrecen^b/dipfal1In)?0 1 V.clslons believed to be of special interest. No attempt has been made toPreflect nrHm u ! . - f ^'bpynjstrative developments in the field of labor law nor to indicate the effect of provisions dfh l '?lctl,ons 111 Ahltch contraly 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 In re Champion Spark Plug Co., Cases Nos. 1 1 1 -1 2 3 5 5 -D and 1 1 1 - 1 2 2 4 8 -D , July 27, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LABOR LAW S AND D E C IS IO N S 993 pany should not have insisted on a transfer when negotiations over rates were being carried on. As a result, the regional board issued an order directing that the employee be reinstated with full seniority but only “one-half of the difference between the amount she would nor mally have earned during such period and the amount she actually did earn at other employment.” This order was affirmed by the National Board. National Labor Relations Board Decisions Strikers eligible to vote, even though temporarily employed elsewhere.— The National Labor Relations Board ruled that employees who went on strike and were temporarily employed elsewhere were still eligible to vote in the plant where the strike was being carried on.3 The com pany contended that the employees, to get other employment, would first have to quit, but the Board took the position that the employees, using the U. S. Employment Service referral system, had applied in each case for temporary employment. Thus, the employees neither abandoned the strike nor lost their status as employees of the company. Individual dealings on subjects being negotiated by union.—The Na tional Labor Relations Board ruled that an employer cannot insist that employees see him personally concerning matters which are already being negotiated through a union committee.4 The Board further held that the employer must reinstate, with back wages, an employee discharged for insubordination because he refused to appear individually. The employer contested the payment of back wages, stating that the employee had been offered—but refused—a job in another department. The Board, however, held that the offer did not constitute reinstatement in an equivalent job and was conditioned on the union’s agreeing that the discharge had been justified; such limitations invalidated a reinstatement offer, as they were merely a means of avoiding the payment of back wages. Discharge of employee unable to live on salary is discrimination.—The National Labor Relations Board, in In re Chase National Bank, 63 NLRB 101, upon determining that the bank’s operations affect commerce within the meaning of the National Labor Relations Act, held that the bank had been guilty of unfair labor practices. Not only had it interfered with efforts to unionize its employees and urged them to withdraw from the union, but it had also discharged a union organizer when he complained he could not live on his salary. De spite the bank’s defense that it was against its policy to retain an em ployee who lived beyond his means, the records showed that the bank was aware of this employee’s leadership in organizing other em ployees and failed to show similar discharges for the reason claimed as its defense. Veterans’ Rights Superseniority upheld in court.—In a recent case5 the Brooklyn Federal Court in effect upheld the rule of “superseniority” of veterans having reemployment rights under the Selective Training and Service Act, announced by Selective Service officials. The court ruled that 3 In re Norris, Inc. & Bakery & Confectionery Workers International Union of America, 63 N L R B 78. * Ross Gear & Tool Co., 63 N L R B 158, Sept. 20, 1945. 6 Fishgold v. Sullivan Drydock & Repair Corp., U . S. D ist. Ct., E. D . N . Y ., Aug. 30, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 994 M ONTHLY L A B O R R E V IE W — N O V E M B E R 1945 the act gives veterans an absolute right to their former jobs, even though it may mean displacement of nonveterans with greater senior ity rights, in violation of contract seniority provisions. The court refused to take into consideration the employment con tract, saying that the veterans’ rights are based not on collective bar gaining but on the Selective Training and Service Act. The union involved, Industrial Union of Marine & Shipbuilding Workers of America (CIO), has asked for an appeal. Two court rulings on veterans' job rights.—The District Court for the Western District of Washington ruled 6that an employee who made an application within 90 days of his release from a civilian job which he had held while subject to being recalled into the service, was entitled to reinstatement in the job he had held before entering the armed services. The court based its ruling on the ground that the 90-day requirement in the Selective Training and Service Act requires the veteran to apply for his former job within 90 days of his final dis charge from the armed services and not 90 days after discharge from active duty while remaining subject to recall. The second decision, handed down by the District Court of Mas sachusetts,7held that when two veterans apply for the same job they both held before induction, the employer is obligated only to the first holder of the job and does not have to reemploy the sec'ond applicant. Veterans denied greater rights than those given by Selective Service Act.—-The National War Labor Board, following recommendations of its panel, in In re New York, New Jersey Milk Distributors (Case No. 111-11797-D, July 25, 1945), denied the union’s request for inclusion of the following: “Any returning veteran may have his old job back. If this job has been eliminated he shall be entitled to dis place any man junior to him in the same craft.” The Board ruled that it was undesirable to direct one employer to make certain com mitments not required of others by law. In a decision on a similar case, J. H. Williams <& Co. (Case No. 111-12858-D (1659), Sept. 5, 1945) a regional board overruled a recommendation of its panel and permitted a union clause providing that honorably discharged veterans who had not been employed by the company prior to entering the service are to be credited with senior ity equivalent to their service time after a 30-day trial period with the company. In both cases the panel had been of the opinion that the requests went beyond the intent and requirements of the Selective Training and Service Act. Decisions on Fair Labor Standards Act Agreement in ^settlement oj overtime pay due held invalid.—-The Circuit Court of Appeals, Third Circuit, held that a wage increase, granted under a collective-bargaining agreement to employees in “full settlement and satisfaction of all their claims, if any, for overtime,” is not a settlement of the employees’ claims to unpaid overtime and liquidated damages under the Fair Labor Standards Act.8 The court based its decision on the U. S. Supreme Court’s decisions in Brooklyn J Tipper v. Northern Pacific Railway Co., Dist Ct., W. D . Wash., Aug. 17, 1945. ‘ bolymon v. London Coat of Boston, Inc., Dist. Ct. of Mass., Sept. 25,1945. 8Watkins v. Hudson Coal Co., 8 Wage Hour Rept. 918 (C. C. A. 3, 1945). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LA B O R L A W S A N D D E C IS IO N S 995 Dime Savings Bank v. O'Neil and its companion cases; it held that a waiver by an employee, even by a release under seal, of his rights against an employer under the act is not effective to bar him from subsequent assertion of those rights. The court observed that under such an agreement, the employee would have to remain in the company’s employ an indefinite time in order to recover pay justly due. The right to recover such pay is an individual right to be exercised by the individual employee and cannot be settled, compromised, or enforced through collective bargaining. Changing time records without employee's knowledge held illegal.—The Circuit of Appeals for the Eighth Circuit ruled that office employees of a “ drive-it-yourself ” company, which services and repairs trucks and automobiles in connection with renting them for interstate use, are covered by the Fair Labor Standards Act.9 The company was held to be guilty of maintaining false records because a branch manager changed the hours recorded on time cards solely on a supervisor’s opinion that the employees involved had not actually worked the hours recorded. This, said the court, was capricious and sufficient to warrant the charge of keeping false records, even though there was no intent on the part of the company to cheat the employee and the com pany fully intended to pay for all hours actually worked. The court further held that the branch manager as well as the company was subject to the penalty, as the branch manager came within the terms “ employer” and the company was liable for the acts of its agents. Burden oj proof of exemption is on employer.—The Circuit Court, reversing the decision of the District Court, held that a chain-store system, selling musical instruments in several States and Canada and fed by a single wholesale establishment, cannot be considered ‘retail” in its entirety and thus exempted from the wage and hour provisions of the Fair Labor Standards Act.10 The court based its decision on the case of Phillips v. Walling, 65 Sup. Ct. 807 11 in which chain stores were held to be hybrid retail-wholesale organizations possessing the essential characteristics of both wholesaler and retailer. Where it is necessary to construe the act, “ the court must assume that all employees in interstate commerce,” within reason, should be made subject to the statute unless expressly excluded, and employers claiming exemption for themselves or their employees must support their claim within the letter and spirit of the exemptions provided by the act. These exemptions are to be strictly construed. Right offree speech does not include picketing employers' customers—In Gulf OH Co. v. International Brotherhood of Teamsters, et al. 57 N. Y . S. (2d) 24, the court held that in a case in which a collective-bargaining agreement, properly certified, had never been modified, the certified union represented the majority, and any picketing by the unsuccessful union could not be termed a “ labor dispute.” The unsuccessful union might picket the employer; but it had no right to picket customers of the employer, carrying signs containing untrue accusations that he was unfair to organized labor. 9 Hertz Drivurself Stations, Inc. v. United States, 8 Wage Hour Rept. 900 (C. C. A. 8, 1945). i° Fletcher v. Grinnell Bros. 150 Fed. (2d) 337. n Discussed in M onthly Review, M ay 1945 (p. 1048). 6 7 0 1 1 9 - 45 - 11 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E m ployed Youth Student W orkers in New Y ork State 1 IN May 1944, in 9 up-State cities in New York, approximately 40 percent of the high-school children under 18 years of age were gain fully employed and were also attending school, as shown in the accom panying table. They had taken all kinds of jobs, frequently “with more zeal than judgment, more ambition than aptitude, and with too little consideration of the amount of time that should be spent on their education.” Proportion of High-School Students Employed, by Sex and Age, in 9 Up-State New York Cities, M ay 1944 High-school students surveyed Age Boys Employed Total Girls Employed Total N um ber Per cent 6,179 2,584 41.8 2,983 1,490 49.9 3,196 1,094 34.2 Under 18 years____________________ 5,627 Under 14 years________________ 80 14 and 15 y e a r s _______________ 2, 381 16 years__________ __ _______ 1,741 17 years_________________ _____ 1,425 18 years and over_________________ 530 2,295 21 702 809 763 278 40.8 26.3 29.5 46.5 53.5 52.5 2,741 31 1,115 899 696 227 1,360 12 471 466 411 120 49.6 38.7 42.2 51.8 59.1 52.9 2,886 49 1, 266 842 729 303 935 9 231 343 352 158 32.4 18.4 18.2 40.7 48.3 52.1 All ages 1____ _____________ _______ N um ber Employed Total Per cent N um ber Per cent 1 Includes 22 who did not report age. The average hours of work for the 16- and 17-year-olds were ap proximately 20 per week, but about 15 percent of the youngsters in this age group were employed more than 28 hours per week—the maximum standard for these ages, recommended by the U. S. Chil dren’s Bureau, the U. S. Office of Education, the War Manpower Commission, the War and Navy Departments, the Maritime Com mission, and the War Production Board. Over 30 percent of the high-school students 14 and 15 years of age worked beyond the 18hour standard established for them, and almost 50 percent of the children under 18 had over 48 hours of school and work combined. The standards specify that daily hours of employment on school days should not exceed 4 for students 16 and 17 years of age, and should not exceed 3 for students aged 14 and 15. B ut a third of these 16- and 17-year-olds in New York State' work from 5 to 9 hours ?on 1 or more school days, and 30 percent of the 14- and 15-year-old children spend more than 3 hours at work on school days. i Data are from Student Workers in New York State (Albany, N ew York Department of Labor, Division of Women, Child Labor and Minimum Wage, 1945). 996 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EMPLOYED YOUTH 997 Large numbers were employed until 10, 11, and 12 o’clock at night—a few even after midnight. Some worked 7 days per week, which is against the law. Many apparently held jobs that in some way violated the State’s protective laws. These young persons were to a great extent employed in stores, although over a third of the older boys were reported as working in factories. The younger girls were frequently engaged as “ baby sitters.” About 66 percent of the young persons earned less than $10 a week, and more than 25 percent less than $5. (However, a considerable number of the older boys received $30, $40, or more per week in full-time employment.) In hourly rates, 5 percent received under 25 cents per hour, and 60 percent under 50 cents. Median wages for the boys were 54 cents and for the girls 38 cents per hour. The students are beginning now to stop and consider the situation a little more carefully before taking on outside work. They are recognizing somewhat more clearly the importance of their school education and so are showing a tendency to continue in school rather than to drop out, and to take on less-heavy jobs. High-school enrollment is now holding its own somewhat better and school attendance is improving in some small degree. It seems to be generally agreed that many times health has been adversely affected by the school-plus-job load, although this is no easy matter to measure. Grades are very obviously affected when the student is employed for a long period in addition to his school duties. Although the number of high-school students working in the fall of 1944 appeared to be approximately the same as in the spring of that year, records of the offices issuing certificates showed a decline in the number of “ working papers” distributed, which indicated a definite slowing down of student employment. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W age and Hour Statistics T rend of Factory Earnings, 1939 to A ugust 1945 THE published average earnings of factory workers are summarized in the accompanying table for selected months from January 1939 to August 1945.1 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 $41.81 in August 1945—80.3 percent above the average in January 1939 and 56.9 percent above January 1941. Weekly pay for August 1945 was at a relatively low level as compared with the same month of 1944, since the average workweek was shortened by 4}£ hours as a result of a 2-day observance of the Japanese surrender. With the ending of the war, hours of work are gradually being reduced. However, the average earnings of factory workers in August were still higher than before the war, as a result of such wartime factors as changing com position of the labor force within plants, shifts in the distribution of workers among plants and among industries, as well as wage-rate increases. Gross hourly earnings in all manufacturing averaged 102.5 cents in August 1945; this was 62.2 percent above the average in January 1939, 50.1 percent above January 1941, and 14.8 percent above October 1942. Straight-time average hourly earnings, as shown in columns 7 to 9, are weighted by man-hours of employment in the major divisions of manufacturing for January 1941. These earnings are estimated to exclude premium pay at time and a half for work in excess of 40 hours. However, the effect of extra pay for work on supplementary shifts and on holidays is included. For this reason, straight time earnings data are not presented for August 1945 when the hourly earnings were inflated by premium payments for work on the double holiday, celebrating the Japanese surrender. 1 Compare Trends in Factory Wages, 1939-43, in 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, July 1945, table 6 (p. 1045), in this issue. 998 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 999 WAGE AND HOUR STATISTICS Earnings of Factory Workers in Selected Months, 1939 to August 1945 Average weekly earnings Estimated straight-time average hourly earn ings 1 weighted by January 1941 employ ment Average hourly earnings M onth and year All manu factur ing Dura ble goods Non dura ble goods All manu factur ing Dura ble goods N on dura ble goods All manu factur ing Dura ble goods N on dura ble goods (1) (2) (3) (4) (5) (6) (7) (8) (9) 1939: January_____ _____ 1940: January— _ ________ 1941: January____ ___ $23.19 24. 56 26.64 $25. 33 27.39 30.48 $21. 57 22.01 22. 75 $0. 632 .655 .683 $0. 696 .717 .749 $0. 583 .598 .610 $0. 641 .652 .664 $0. 702 . 708 .722 $0. 575 .589 .601 1942: January.. _____ . J u ly ............. ... .............. October.. . . ___ 33. 40 36. 43 38.89 38. 98 42.51 45. 31 26.97 28.94 30. 66 .801 .856 .893 .890 .949 .990 .688 .725 .751 .751 .783 .807 .826 .863 .888 .668 .696 .718 1943: January.. . . ____ A pril.................. ..... . July________________ October . . . . . . _ D ecem b er__________ 40. 62 42.48 42.76 44. 86 44.58 46. 68 48.67 48. 76 51. 26 50. 50 32.10 33. 58 34.01 35. 18 35.61 .919 .944 .963 .988 .995 1.017 1.040 1.060 1.086 1. 093 .768 .790 .806 .824 .832 .819 .833 .850 .863 .873 .905 .916 .939 .950 .962 .726 .742 .753 .768 .775 1944: January . . A p ril... . _______ July________________ October.. . . . ... . December___ . 45.29 45. 55 45. 43 46.94 47.44 51. 21 51. 67 51.07 53.18 53.68 36.03 36.16 37.05 37.97 38.39 1. 002 1.013 1.018 1.031 1. 040 1.099 1.110 1. 116 1.129 1.140 .838 .850 .862 .878 .883 .877 .889 .901 .908 .912 .965 .976 .993 .991 .997 .780 .794 .802 .817 .820 1945: January — . . . April .. . _________ June_____ _________ J u ly 2_______________ A u gu st2____ ________ 47. 50 47.12 46. 32 45. 42 41.81 53. 54 52.90 51.74 50. 60 45.89 38.66 38.80 38.95 38.58 36.61 1.046 1.044 1.038 1.032 1. 025 1.144 1.138 1.130 1.126 1.114 .891 .899 .904 .902 .908 .920 .925 .931 .933 (3) 1. 005 1.007 1.012 1.017 (3) .827 .836 .842 .842 (3) 1 Average hourly earnings, excluding premium pay for overtime, weighted by man-hours of employment in the major divisions of the manufacturing industry for January 1941. 2 Preliminary. 3 Straight-time average hourly earnings will not be available for August 1945 inasmuch as the adjustment factor used to estimate these figures is not applicable when the pay-roll period includes holidays. H ours and E arnings in the U nited Kingdom , January 1945 1 THE tenth in a series of studies covering 16 manufacturing and nonmanufacturing industries in the United Kingdom shows that the first wartime decline in average weekly earnings of manual workers occurred during January 1945. This was entirely the result of a reduction in working time, as average hourly earnings remained the same as in July 1944. Returns suitable for tabulation were furnished by 53,300 establishments and covered over 5y2 million wage earners, excluding those in agriculture, coal mining, railway service, shipping, dock labor, the distributive trades, catering, entertainment, commerce and banking, and domestic service. Average weekly earnings at the time of the 10 investigations are shown in table 1, covering the period from October 1938 to January 1945. Where available, averages are given for hours worked per week and hourly earnings. Statistics cover all workers combined, and also adult males and females and youths and boys and girls separately. For purposes of analysis, the Ministry of Labor counted i Information is from Great Britain, M inistry of Labor Gazette (London), August 1945 (p. 130). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1000 MONTHLY LABOR REVIEW— NOVEMBER 1945 two part-time women, each of whom worked not more than 30 hours a week and entered the employment of the firms after July 1941, as one full-time-worker. T able 1.—Hours and Earnings in 16 Manufacturing and Nonmanufacturing Industries in the United Kingdom in Selected Periods Month All work Men (21 Youths Women Girls (un and boys (18 and ers and over) (under der 18) 21) over) Average weekly hours worked October 1938...................... ........................... ....................... July 1943_______________________________________ January 1944. _______ ______ _____________ July 1 9 4 4 . ____________________________ _____ _ January 1945____________________________________ 46.5 50.0 49.2 48.6 47.0 47.7 52.9 52.0 51.2 49.4 46.2 48.0 47.1 46.7 45.2 43.5 45.9 45.2 44.6 43.1 44.6 45.1 44.6 44.2 43.0 Average hourly earnings 1 October 1938______________ ____ ___ ______ ____ July 1943_______________________________________ January 1944____________________________________ July 1944__________________________________ ____ January 1945____________________________________ s. 1 1 1 1 1 d. 1.7 10.5 11.3 11.9 11.9 s. 1 2 2 2 2 d. 5.4 3.5 4.5 5.1 5.0 s. d. 6.8 11.8 11.9 1 .2 11.7 s. 1 1 1 1 d. 9.0 4.3 4.9 5.3 5.6 Average weekly earnings 1 October 1938_____ _______________________________ July 1940________ ______________________ _______ July 1941___________ ____ _ ____________________ January 1942 ______ _______________________ July 1942__________________________ _____ ________ January 1943 __________ ______________________ July 1943____________ _____________ ____ _________ January 1944____________________________________ July 1944______________ _________________________ January 1945 - __________________________________ s. d. 53 3 69 2 75 10 77 9 85 2 87 11 93 7 95 7 96 8 93 9 s. 69 89 99 102 111 113 121 123 124 119 d. — — 5 — 5 9 3 8 4 3 s. d. 26 1 35 1 41 11 42 6 46 2 45 1 47 2 46 10 47 4 44 1 s. d. 32 6 38 11 43 11 47 6 54 2 58 6 62 2 63 9 64 3 63 2 s. d. 5.0 9.0 9.2 9.5 9.4 * s. 18 22 25 26 30 32 33 34 34 33 d. 6 4 — 10 3 1 10 3 11 8 1 E a r n i n g s a r e s h o w n i n B r i t i s h c u r r e n c y , t h e o f fic ia l e x c h a n g e r a t e o f t h e p o u n d b e i n g $4 ,0 3 5 i n U . S . m o n e y ( a p p r o x i m a t e l y 20 c e n t s t o t h e s h i l l i n g a n d 1.6 7 c e n t s t o t h e p e n n y ) . A l t h o u g h t h e e x c h a n g e r a te d o e s n o t a c c u r a t e l y m e a s u r e t h e r e l a t i v e p u r c h a s i n g p o w e r i n t h e t w o c o u n t r ie s n o o t h e r i n f o r m a t i o n is a v a ila b le s h o w in g t h e r e la t iv e l iv in g c o s ts . Between October 1938 and January 1945, the rise in average weekly earnings for all age classes of workers increased by 76 percent, or from 53s. 3d. to 93s. 9d.2 Factors in the advance were the changes which took place in the relative proportions of men, boys, women, and girls employed in each of the various groups of industries. The proportion of men declined from between 61 and 62 percent of the total in October 1938 to approximately 60 percent in January 1945; that of boys from 12 to 9 percent; and that of girls from 7 to 4 y2 per cent; while the proportion of women increased from 20 percent to about 27. If the distribution had remained as it was on the earlier date, the percentage increase in weekly earnings for all groups taken together would have been greater. According to the Ministry of Labor, the wage rise reflects a number of other influences, including higher rates of pay, fuller employment with longer working hours and more night shifts, and the extension of piece work and bonus payments with increased output by the workers affected. Changes 2 T h e a v e r a g e s fo r “ a ll w o r k e r s ” w e r e c a lc u l a t e d b y a p p l y i n g t h e t o t a l n u m b e r s e m p l o y e d i n e a c h i n d u s t r y t o t h e a v e r a g e e a r n in g s o f a l l t h e w o r k e r s c o v e r e d b y t h e r e t u r n s r e c e i v e d fo r t h a t i n d u s t r y ; t h o s e fo r m e n ( i n t a b l e s 1 a n d 2) b y a p p l y i n g t h e t o t a l n u m b e r o f m e n e m p l o y e d t o t h e a v e r a g e e a r n in g s o f t h e m e n c o v e r e d b y t h e r e t u r n s r e c e i v e d ; t h e s a m e m e t h o d w a s u s e d fo r y o u t h s , b o y s , w o m e n , a n d g ir ls . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1001 WAGE AND HOUR STATISTICS in wage rates alone were estimated to be responsible for a 38- to 39-percent rise. During the periods for which information is available regarding hours worked per week, the January 1945 average of 47 hours is lower than for any other wartime week. The result of the reduction of 1.6 hours between July 1944 and January 1945 was that weekly earnings dropped nearly 3s.; average hourly earnings remained at the highest recorded level of Is. 11.9d. Hours of work and hourly and weekly earnings are shown in table 2 for each of the 16 industry groups in January 1945, by sex and age groups. Average hours worked ranged from 43.0 in the clothing in dustry to 49.7 in transport, storage, etc. (excluding railways). Hourly and weekly earnings were also lowest in the clothing industry (Is. 4.3d. and 58s. 6d., respectively), and highest in Government industrial establishments (2s. 3.5d. and Ills. 9d., respectively). For adult males, hours of work and weekly earnings were highest in Government in dustrial establishments (51.7s and 131s. 6d., respectively), but the highest hourly earnings (2s. 8d.) were paid to men in the metal, engineering, and shipbuilding industry. T ab le 2 . —Hours and Earnings in 16 Manufacturing and Nonmanufacturing Industries in the United Kingdom, January 1945 Industry group Youths Women Girls All Men (21 and boys (18 and (under 18) workers and over) (under 21) over) A v e r a g e w e e k l y h o u r s w o r k e d _______________ _________ 47.0 49.4 45.2 I r o n , s t o n e , e t c . , m i n i n g a n d q u a r r y i n g _______ ________ T r e a t m e n t of n o n m e t a l l if e r o u s m i n e a n d q u a r r y p r o d u c t s ---------------------------------- ------------ -----------------------B r i c k , p o t t e r y , a n d g l a s s . .........................................- ................. C h e m i c a l s , p a i n t , o i l, e t c .................................... ......................... M e t a l , e n g in e e r in g , a n d s h i p b u i l d i n g . . . . - — ................. T e x t i l e s . . ........................................................................ ............. .......... L e a t h e r , fu r , e t c ................................................................................... C l o t h i n g ....................... ........................................................ .............. F o o d , d r i n k , a n d t o b a c c o ------ ------------ -------------------------- W o o d w o r k i n g ................................................ ...................................... P a p e r , p r i n t i n g , s t a t i o n e r y , e t c ............................................... B u i l d i n g , c o n t r a c t in g , e t c --------- --------- -------------------------M i s c e l l a n e o u s m a n u f a c t u r i n g --------- ------------------------ T r a n s p o r t , s t o r a g e , e t c . ( e x c l u d i n g r a i l w a y s ) -----------P u b l i c u t i l i t y s e r v i c e s ..........................................— .................. .. G o v e r n m e n t i n d u s t r i a l e s t a b l i s h m e n t s ---------------------- 44.9 45.1 43.9 48.2 46.5 48.0 47.2 46.2 46.0 43.0 47.2 44.8 45.9 48.2 46.4 49.7 47.8 48.7 49.2 49.1 51.4 49.2 49.9 48.6 46.0 50.8 47.0 48.3 48.7 50.0 51.0 49.6 51.7 44.9 44.4 44.6 45.2 46.2 44.8 44.5 44.9 43.6 44.8 45.4 45.3 47.2 45.8 47.0 s. d. Average hourly earnings....................................... ........... 1 11.9 Iron, stone, etc., mining, and quarrying..................... . Treatment of nonmetalliferous mine and quarry products— .......................................... .......................... Brick, pottery, and glass.................................. .........— Chemicals, paint, oil, etc....................... ......................... . Metal, engineering, and shipbuilding........................... Textiles.......... .....................................................—........... Leather, fur, e tc ............................... ...................- ............ Clothing............ ..................................................... ............. Food, drink, and tobacco................... —................ .......... Woodworking........ ............................................................ Paper, printing, stationery, etc............—______ ____ Building, contracting, etc-----------------------------------Miscellaneous manufacturing...................................... Transport, storage, etc. (excluding railways)— ........ . Public utility services................................ ..................... Government industrial establishments............ ............ See footnote at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis s. d. s. d. 11.7 2 5.0 1 11 7 ? .9 1 1. 9 2 1 1 2 1 1 1 1 1 1 1 1 2 1 2 2 2.6 2 1.9 2 3.5 2 8.0 .1 2 2 2.0 2 3.8 2 1.2 2 2.5 2 5.9 2 1.7 2 6.0 2 2.1 1 11.8 2 6.5 1 1.5 11.8 11.8 .3 11.0 11.1 10.7 11.1 10.0 9.2 10.8 .6 8.5 11.1 2.9 5.2 8.5 4.3 7.7 9.3 10.2 11.7 11.1 .5 10.2 3.5 - i i ï 11.8 10.1 1.1 43.1 43.0 (>) (') 43.2 42.5 43.2 43.3 44.3 42.2 42.1 43.4 40.4 43.0 42.0 43.0 44.5 39.4 43.5 s. 1 d. 5.6 1 4.9 1 2.0 1 5.2 1 7.5 1 2.6 1 3.0 1 3.1 1 3.1 1 5.1 1 2.9 1 5.0 1 5.7 1 9.2 1 3.4 1 11.4 0) 43.8 42.3 42.9 44.4 42 9 42.4 43.2 41.4 43.3 (‘) 42.7 0) 42.6 43.4 s. .. .. .. .. d. 9.4 8.2 9.1 10.6 9.7 8.4 8.8 8.9 9 9 7.9 - 9.9 .. „ 8.6 11.4 1002 M ONTHLY L A B O R R E V IE W — N O V E M B E R 1945 T a b l e 2 . — Hours and Earnings in 16 Manufacturing and Nonmanufacturing Industries in the United Kingdom, January 1945— Continued. All workers Industry group Women Youths Men (21) and Girle boys (18 and (under 18) and over (under 21) over) 93 9 119 3 44 1 Iron, stone, etc., mining and quarrying _ ___ 88 Treatment of iionmetalliferous mine and quarry products . __ __ _ _ _ _ _______ 99 Brick, pottery, and glass 79 _______ 92 Chemicals, paint, oil, etc _ _ Metal, engineering, and shipbuilding___ _ _ 106 Textiles. _ ______ ____________ _ _____________ 66 Leather, fur, e t c ________ _ __ _ ___ _____ _ 78 Clothing. ____ ___ _ 58 Food drink, and tobacco.. __ . __ . . . . ___ 77 Woodworking.__ .. __ __ . . . 79 Paper, printing, stationery, etc _. _ __ ________ 85 Building, contracting, e tc ... __ ___ _ ___ ___ 95 Miscellaneous manufacturing__ _ 89 101 Transport, storage, etc. (excluding railways) . . . _______ 88 Public utility services. _ Government industrial establishm ents.___________ 111 6 93 8 50 9 108 106 US 131 100 105 106 106 103 120 104 124 110 98 131 11 2 0 2 4 2 5 7 11 5 5 11 10 3 6 50 43 43 46 42 41 39 41 36 34 40 45 46 38 51 6 9 9 3 5 7 10 8 5 5 11 4 6 7 4 Average weekly earnings___________ _________ 6 3 1 8 6 4 5 1 3 6 3 9 1 Insufficient number reported to provide a satisfactory basis for an average. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 63 2 (9 60 49 62 70 53 52 53 54 57 53 59 63 78 50 84 33 8 (9 9 9 1 4 9 7 8 6 4 6 5 7 6 10 (9 1 30 1 32 37 9 35 10 2 30 1 31 32 2 34 28 6 (9 35 4 (9 30 7 1 41 Prices and Cost o f Living Indexes of C onsum ers’ Prices1in Large Cities, Septem ber 1945 RETAIL prices for consumer goods in large cities declined 0.3 percent between August 15 and September 15. Lower prices for fresh vege tables and reductions in fuel-oil prices more than offset higher prices for furnishings and fall clothing. The Bureau of Labor Statistics index of consumers’ prices for moderate-income families in large cities for September 15, 1945, was 128.9 percent of the 1935-39 average and about 28 percent higher than on January 1, 1941. During the month retail food prices dropped 1.1 percent. A 13percent decline in prices for most fresh vegetables was due mainly to unusually large crops. Largest declines were in the prices of sweetpotatoes (25 percent), potatoes and green beans (16 percent), cabbage and spinach (15 percent), and onions (14 percent). Eggs advanced seasonally 7.3 percent, while meat prices were lower in some stores as supplies of beef and veal improved greatly. Substantial price-ceiling reductions for fuel oil, owing to the restoration of tankers to coastwise service, were made by some dealers on the Atlantic Coast several days before the effective date of the OPA order, September 17. The relative importance of gasoline, fuel oil, and motor oil in the index was increased to reflect expanded consumption following removal of rationing. Clothing prices rose 1.2 percent between August and September, as low and moderate priced garments were increasingly scarce. Stocks of men’s clothing were at a low for the war period, resulting in higher costs for men’s suits, topcoats, overcoats, and most work clothing. However, men’s cotton pajamas reappeared in many stores at lower prices as fixed by manufacturers. In most cities women’s fur-trimmed dress coats and women’s wool dresses retailed at generally higher levels than last season. Shoes for men and children advanced with the relaxation of WPB price-line production controls and the substitu tion of a new method of determining prices under OPA regulation. The end of the war period brought no relief in the housing situation as returning veterans increased the demand for homes. Average i This index, formerly called the cost-of-living index, represents average changes in retail prices of selected goods, rents, and services, weighted by quantities bought by families of wage earners and moderate-income workers in large cities in 1934-36. The items priced for the index constituted about 70 percent of the expendi tures of city families whose incomes averaged $1,524 in 1934-36. The index does not show the full effect of such factors as changes in quality and the availability of goods. During the war the quality of civilian goods has been lowered. The Bureau has attempted to account for the disappearance of low-priced merchandise by pricing the most similar article available. The President’s Committee on the Cost of Living has estimated that such factors, together with certain others not fully measured by the index, would add a maximum of 3 to 4 points to the average price rise shown for large cities between January 1941 and September 1944. If small cities were included in the national average, an ad ditional onc-half of a percentage point would be added to the index. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1003 1004 MONTHLY LABOR REVIEW— NOVEMBER 1945 rents showed only slight changes since the last rent survey. The largest changes—0.6 percent increase between March and September— was reported in Seattle. Housefurnishings costs advanced 0.5 percent during the month, as lower-priced articles continued to be scarce. Prices of miscellaneous goods and services continued to edge upward (0.1 percent) as charges for beauty-shop services increased in 10 cities, and scattered changes were reported in the cost of medical care. The indexes in the accompanying tables are based on time-to-time changes in the cost of goods and services purchased by wage earners and lower-salaried workers in large cities. They do not indicate whether it costs more to live in one city than in another. The data relate to the 15th of each month, except those for January 1941. For that month they were estimated for January 1 (the date used in the “Little Steel” decision of the National War Labor Board), by assuming an even rate of change from December 15, 1940, to the next pricing date. The President’s “hold-the-line” order was issued April 8, 1943. The peak of the rise which led to that order was reached in May, which is, therefore, used for this comparison. Table 1.— Indexes of Consumers' Prices for Moderate-Income Families and Percent oj Change, September 1945 as Compared with Earlier Months 1 Sept. 1945 Aug. 1945 Sept. 1944 M ay 1943 M ay 1942 Jan. 1941 Aug. 1939 This month Last month Last year Holdthe-line order Gen. Max. Price Reg. “Little steel’’ decision Month before war in Europe Group Indexes (1935-39=100) All items________________ Food........... ............... Clothing_______________ R ent_______ _________ Fuel, electricity, and ice__ Gas and electricity........ Other fuels and ice____ Housefurnishings_______ Miscellaneous.................. . 128.9 139.4 148.2 108.3 110.7 95.2 125.7 146.8 124.6 129.3 140.9 146.4 111.4 95.2 127.2 146.0 124.5 126.5 137.0 141.4 108.2 109.8 95.8 123.4 140.7 122.4 125.1 143.0 127.9 108.0 107.6 96.1 118.7 125.1 115.3 116.0 121.6 126.2 109.9 104.9 96.6 112.9 122.2 110.9 100.8 97.6 101.2 105.0 100.8 97.5 104.0 100.2 101.8 98.6 93.5 100.3 104. 3 97.5 99.0 96.3 100.6 100.4 +27.9 +42.8 +46. 4 +3.1 + 9.8 - 2 .4 +20.9 + 46.5 +22.4 +30.7 +49.1 +47.8 + 3.8 +13.5 - 3 .8 +30.5 +45.9 +24.1 Percent of change to September 1945 All item s.................... ............. . Food................................... Clothing______________ R ent_______ _____ _____ Fuel, electricity, and ice. Gas and electricity... Other fuels and ice... Housefurnishings______ Miscellaneous__________ - 0 .3 - 1 .1 + 1 .2 -.6 0 -1 .2 + .5 + .1 + 1 .9 + 1.8 + 4 .8 + .1 + .8 -.6 + 1 .9 + 4 .3 + 1 .8 + 3 .0 - 2 .5 +15.9 +. 3 + 2.9 - .9 + 5.9 +17.3 +8.1 +11.1 +14.6 + 17.4 - 1 .5 + 5 .5 - 1 .4 +11.3 +23.1 +12.4 r 1.ForT,bri(;f explanation of the coverage of the index and periods of collection of price data, see M onthly Labor Review, October 1945 (pp. 781, 782). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P R IC E S A N D 1005 C O ST O F L I V I N G T a b l e 2 . — Indexes of Consumers’ Prices for Moderate-Income Families in Large Cities, 1935 to September 1945 Indexes 1 (1935-39=100) of cost of— Year and month All items 1935_______________________ 1936_______________________ 1937_______________________ 1938_______________________ 1939_______________________ 1940_______________________ 1941________________ ______ 1942_______________________ 1943_______________________ 1944_______________________ 1945: Jan. 15________________ Feb. 15________________ Mar. 15____ ___________ Apr. 15________________ M ay 15________________ June 15________________ July 15________________ Aug. 15______ ________ Sept. 15_______________ Food Clothing Fuel, elec Housefur- Miscella tricity, nishings neous and ice Rent 98.1 99. 1 102.7 100.8 99.4 100.2 105.2 116.5 123.6 125.5 100.4 101.3 105.3 97.8 95.2 96.6 105.5 123.9 138.0 136.1 96.8 97.6 102.8 102.2 100.5 101.7 106.3 124.2 129.7 138.8 94.2 96.4 100.9 104.1 104.3 104.6 106.2 108.5 108.0 108.2 100.7 100.2 100.2 99.9 99.0 99.7 102.2 105.4 107.7 109.8 94.8 96.3 104.3 103.3 101.3 100.5 107.3 122.2 125.6 136.4 98.1 98.7 101.0 101.5 100.7 101.1 104.0 110.9 115.8 121.3 127.1 126.9 126.8 127.1 128.1 129.0 129.4 129.3 128.9 137.3 136.5 135.9 136.6 138.8 141.1 141.7 140.9 139.4 143.0 143.3 143.7 144.1 144.6 145.4 145.9 146.4 148.2 (2) (2) 108.3 (2) (2) 108.3 (2) (2) 108.3 109.7 110.0 110.0 109.8 110.0 110.0 111.2 111.4 110.7 143.6 144.0 144.5 144.9 145.4 145.8 145.6 146.0 146.8 123.3 123.4 123.6 123.8 123.9 124.0 124.3 124.5 124.6 1 Based on changes in cost of goods purchased by wage earners and lower-salaried workers. 2 Rents not surveyed in this month. R etail Prices of Food in Septem ber 1945 PERCENTAGE changes in retail food costs on September 18, 1945, as compared with costs in the previous month and in September 1944, are shown in table 1. T a b l e 1. —Percent of Change in Retail Costs of Food in 56 Large Cities Combinedf by Commodity Groups, in Specified Periods M ay 18, 1943, to Sept. 18, 1945 Jan. 14, 1941, to Sept. 18, 1945 Aug. 15, 1939, to Sept. 18, 1945 Aug. 14, 1945, to Sept. 18, 1945 Sept. 12, 1944, to Sept. 18, 1945 All foods. ___________ _________________ - 1 .1 + 1 .8 - 2 .5 +42.5 +49.1 Cereals and bakery products__ ____ _____ Meats __________________________ Beef and veal_______ _ ___________ Pork______________________________ L am b .. _________ ____ _ __________ Chickens ________ _____ __________ Fish, fresh and canned . _____ Dairy products_________________________ E g g s.. __________ ____ _____ __________ Fruits and vegetables___ _______________ Fresh. __________ _________ ______ Canned____________________________ Dried . . _________________________ Beverages_____________________________ Fats and oils__ ________________________ Sugar and sweets _________________ 0 -.2 -. 1 0 0 - .9 + .9 0 + 7 .3 - 6 .0 - 7 .1 +. 1 + .1 0 +• 1 -.1 + .5 + 2 .0 + .1 + .4 + 1 .3 + 4 .4 + 9 .7 -. 1 + 9 .5 + 1 .5 + 1 .6 + .8 +2.1 + .3 + .9 + .2 + 1 .4 - 4 .8 - 9 .8 -1 0 .3 - 3 .7 + 5 .6 + 9.6 - 2 .6 +29.4 - 9 .6 -1 1 .4 -.5 + 6 .8 + .2 - 1 .7 -.9 +15.0 +30.2 + 8 .2 +30.8 +38.2 +60.4 +85.2 +26.9 +88.8 +84.9 +95.2 +42.7 +69.5 +37.2 +54.5 +32.7 +16.8 +37.5 +18.9 +28. 0 +38.1 +64.8 +120. 7 +43.3 +102.8 +86.7 +96.4 +42.4 +86.9 +31.4 +46.9 +32.3 . Commodity group i The number of cities included in the index was changed from 51 to 56 in March 1943, with the necessary adjustments for maintaining comparability. At the same time the number of foods in the index was in creased from 54 to 61. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 o o05 RETAIL PRICES OF FOOD TO CITY WORKERS AVERAGE FOR LARGE CITIES index https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 9 3 5 -3 9 = 1 0 0 ,ndex CD Or P R IC E S AND 1007 C O ST O F L I V I N G R E T A IL PRICES FOR GROUPS OF FOOD AVERAGE FOR LARGE C IT IE S 1935-39 = 100 in d e x DAIRY PRODUCTS 1929 1930 1931 1932 1933 1934 1935 1936 1937 1938 1939 19 40 1941 1942 1943 19 44 UN ITED S T A T E S D E PAR TM EN T OF LABO R BU REAU OF LA BO R S T A T IS T IC S _________________________________________________________________________ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1945 1946 1008 M O N T H LY LABOR REVIEW— NOVEMBER 194 5 T a b l e 2 . —Indexes of Retail Costs of Food in 56 1 Large Cities Combined,* by Commodity Groups, on Specified Dates [1935-39=100] 1945 1944 1943 1941 1939 Sept. 182 Aug. 14 Sept. 12 M ay 18 J a n .14 Aug. 15 Commodity group All foods............... ............................. ........... 139.4 140.9 137.0 143.0 97.8 93.5 Cereals and bakery products____________ M eats_____________________________ . Beef and veal______________________ Pork_________________________ L a m b ___ _________ . Chickens__________ . . . . . . Pish, fresh and canned_____ ._ ____ Dairy products____ ____ _______________ Eggs--------------------------------------------------Fruits and vegetables______ ___________ Fresh___________ ____ _____________ Canned_______________________ _ Dried_________________ . ............... Beverages_____________ . Fats and oils_____ _________ . . . . . Sugar and sweets_____ _____ ___________ 109.1 131.6 118.4 112.6 136.4 155.9 219.8 133.4 183.9 172.5 182.3 130.4 168.8 124.7 124.1 126.5 109.1 131.8 118.5 112.6 136.4 157. 3 217.8 133.4 171.4 183.5 196.2 130.3 168.6 124.7 124.0 126.6 108.6 129.0 118.3 112.2 134.6 149.3 200.4 133.6 168.0 169.9 179.4 129.4 165.3 124.3 123.0 126.3 107.6 138.3 131.2 125.5 141.6 147.6 200.5 136.9 142. 1 190.8 205.8 131.1 158. 0 124.5 126.3 127.6 94.9 101. 1 109.4 86.1 98.7 97.2 118.7 105.1 97.4 93.3 93.4 91.4 99.6 90.9 80.3 95.3 93.4 95.7 99.6 88.0 98.8 94.6 99.6 93.1 90.7 92.4 92.8 91.6 90.3 94.9 84.5 95.6 1 Indexes based on 51 cities combined prior to March 1943. 2 Aggregate costs of 61 foods (54 foods prior to March 1943) in each city, weighted to represent total pur chases by families of wage earners and lower-salaried workers, have been combined with the use of population weights. 2 Preliminary. T a b l e 3 . —Average Retail Prices of 78 Foods in 56 Large Cities Combined,l September 1945, Compared With Earlier Months 1945 1944 1941 1939 Sept. 182 Aug. 14 Sept. 12 Jan. 14 Aug. 15 Article Cereals and bakery products: Cereals: Flour, w h ea t.................. . _____ 10 pounds.. Macaroni____________ . _________ pound.. Wheat cereal2_____ ____ ______ 28 ounces.. Corn flakes..... .................... ----------- 8 ounces.. Corn m e a l..___________ ________ pound.. Rice 2 __________ ______ ..................... do___ Rolled o a ts........................ ----------------do___ Flour, pancake 2. . . .......... ______ 20 ounces.. Bakery products: Bread, white______ ____ ........ .........pound.. Bread, whole-wheat____ ................... _do___ Bread, rye_____________ .....................do___ Vanilla cookies_________ ..................... do___ Soda crackers__________ ................... .d o___ Meats: Beef: Round steak___________ ...... ........._._do___ Rib roast______________ --------------- do___ Chuck roast____________ ----------------do___ Stew m ea t2................. ----------------do___ Liver________________ . __________ do___ Hamburger........ ................ ........ ........... do___ Veal: Cutlets_________________ ........ .........._do___ Roast, boned and rolled 2_ .....................do___ Pork: Chops....... ............................ ----------------do___ Bacon, sliced_______ .....................do___ Ham, sliced_____________ ----------------do___ Ham, whole____________ --------------- do___ Salt pork_______________ __________ do___ L iv er2___________ _____ ------- ------ -do___ Sausage2 ......................... ..................... do___ Bologna, big 2___________ ................... _do___ Lamb: Leg----------- ------ ----------- ...... ............._do___ Rib ch o p s............................ ...... .............. do___ See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Cents 64.2 15.7 23.5 6.7 6.5 12.8 10.4 12.4 Cents 64.3 15.8 23.4 6.7 6.4 13.0 10.4 12.4 Cents 64.4 15.7 23.2 6.5 6.3 12.8 10.0 12.2 Cents 41.4 13.8 23.5 7.1 4.2 7.9 7.1 « Cents 35.8 14.0 24.2 7.0 4.0 7.5 7.1 (0 8.8 9.6 9.9 28.7 18.9 8.8 9.7 9.9 28.6 18.9 8.8 9.6 9.9 27.8 18.9 7.8 8.7 9.0 25.1 15.0 7.8 8.8 9.2 41.0 33.1 28.3 29.8 37.1 27.4 40.9 33.0 28.4 30.0 36.9 27.4 40.9 32.9 28.5 30.6 37.2 27.5 38.6 31.5 25.2 « (5) « 36.4 28.9 22.5 (4) (») (4) 44.4 34.7 44.4 34.3 44.7 35.4 45.2 (*) w 37.2 41.2 49.4 34.4 22.0 22.2 38.7 34.0 37.2 41.2 49.4 34.4 22.0 22.1 38.7 33.9 37.3 40.9 50.3 35.3 22.1 21.9 38.2 34.1 29.1 30.1 45.1 26.2 16.7 40.5 45.8 40.5 46.0 39.9 45.1 « w 27.8 35.0 (») 14.8 42.5 30.9 30.4 46.4 27.4 15.4 m (*) « 27.6 36.7 1009 PRICES AND COST OF LIVING T a b l e 3 . —Average Retail Prices of 78 Foods in 56 Large Cities Combined,1 September 1945, Compared With Earlier Months— Continued 1945 1944 1941 1939 Aug. 15 Article Meats—Continued. Poultry: Roasting chickens___ _______ pound.. Fish: Fish (fresh, frozen)_______ ________ do___ Salmon, pink_______ ____ ____ 16-oz. can.. Salmon, red1...... ................... ................... do___ Dairy products: B utter___ _______ ___________ ...................do___ Cheese_____________ _ _ _ _ _ _ __________do_ M ilk, fresh (delivered)_______ ________ quart.. M ilk, fresh (store).................... ________ do___ Milk evaporated__________ _ ___14^-oz. can.. Eggs: Eggs, fresh_______ ____ __ _______ dozen__ Fruits and vegetables: Fresh fruits: A p p le s___________ ______ _______ pound.. Bananas_________________ ________ do___ Oranges____ _____________ ___ ..-d o zen .. Grapefruit3______________ _________ each.. Fresh vegetables: Beans, green_____________ _______ pound.. Cabbage_________________ ____ ___ do___ Carrots_______ _________ _____..b u n ch .. Lettuce_________________ ________ head.. Onions........... ....................... ..............p o u n d .. Potatoes_________________ ____15 pounds.. Spinach_______ ________ _______ pound.. Sweetpotatoes____________ _________ do___ Beets 3__. _______________ ............... bunch.. Canned fruits: Peaches_________ ________ ___No. 2H can.. _________ do___ Pineapple.. _ . Grapefruit iuice__________ ____ No. 2 can.. Canned vegetables: Beans, g r e e n ___ . . . ___ ..................do___ Corn____________________ _________ do___ Peas____________________ _________ do___ Tomatoes. _ _____________ _________ do___ Soup, vegetable 3__............. . _____ll-oz can.. Dried fruits: Prunes_____ _ __________ pound.. Dried vegetables: N a v y beans________ _____ _________ do___ Soup, dehydrated, chicken noodle 3__ounce._ Beverages: Coffee______ _______________ _ _____ pound.. T ea_________________ ______ _____14 pound.. Cocoa 3_ ___ _________ _____Vi pound.. Fats and oils: Lard_______ _______________ ______ pound.. Shortening other than lard— In cartons____ _________ _________ do___ In other containers........... ____ ___do___ Salad dressing_______________ ...................p in t.. _____ _______ pound.. Oleomargarine_______ Peanut butter_______________ _________ do___ Oil, cooking or salad 3___ _____ _________ p in t.. Sugar and sweets: Sugar_____________ ________ _______ pound.. Corn sirup_________ ______ _____24 ounces.. Molasses 3______ ____________ _____18 ounces.. Apple butter 3_______________ _____16 ounces.. ;Sept. 18» Aug. 14 Sept. 12 Jan. 14 Cents 47.0 Cents 47.6 Cents 44.6 Cents 31.1 Cents 30.9 («) 23.3 39.9 (9) 23.4 39.7 (9) 22.9 40.4 (6) 15.7 26.4 («) 12.8 23.1 50.0 35.6 15.6 14.5 10.0 65.2 49.9 35.7 15.6 14.5 10.1 . 60.6 50.0 36.1 15.6 14.5 10.0 59.6 38.0 27.0 13.0 11.9 7.1 34.9 30.7 24.7 12.0 11.0 6.7 32.0 13.3 10.5 51.6 11.3 13.1 10.5 51.3 11.0 9.7 11. 1 50.6 11.0 5.2 6.6 27.3 0 4.4 6.1 31.5 0 15.8 5.1 8.9 12.1 6.8 61.9 9.9 8.6 8.1 18.7 6.0 9.1 12.5 7.9 73.8 11.6 11.4 8.4 17.2 5.0 8.9 12.2 5.5 72.4 12.9 8.7 7.7 14.0 3.4 6.0 8.4 3.6 29.2 7.3 5.0 6) 7.2 3.9 4.6 8.4 3.6 34.4 7.8 5.5 (9) 27.3 26.3 14.5 27.2 26.3 14.4 28.0 27.3 14.3 16.5 20.9 0 0 13.1 14.8 13.2 12.1 13.2 17.5 13.2 14.8 13. 2 12.2 13.2 17.4 13. 1 14.5 13.2 12.0 13.4 17.3 10.0 10.7 13.2 8.4 0 9.6 10.0 10.4 13.6 8.6 (9) 8.8 11.5 3.8 11.5 3.8 10.9 3.6 6.5 (‘) (9) 30.6 24. 2 10.4 30.5 24.2 10.4 30.2 23.9 10.4 20.7 17.6 9.1 5.8 22.3 17.2 8.6 18.8 18.8 18.7 9.3 9.9 20.0 24.5 24.0 24.3 28.6 30.0 20.0 24.5 24. 2 23.9 28.6 30.5 20.2 24.8 25.8 24.0 28.4 30.6 11.3 18.3 20.1 15.6 17.9 (9) 11.7 20.2 (9) 16.5 17.9 (9) 6.7 15.8 15.8 14.2 6.7 15.8 15.8 14.1 6.7 15.8 15.8 13.4 5.1 13.6 13.4 (4) 5.2 13.7 13.6 (9) 1 Data are based on 51 cities combined prior to January 1943. 2 Preliminary. 2 N ot included in index. * First priced in February 1943. 2 Not priced. « Composite price not computed. i First priced in October 1941. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 17.1 21.0 1010 M ONTHLY L A B O R R E V IE W -----N O V E M B E R 1945 T a b l e 4 . — Indexes of Average Retail Costs of A ll Foods, by Cities,1 on Specified Dates [1935-39 = 100] 1945 1944 1941 1939 Sept. 12 Jan. 15 Aug. 15 City Sept. 18 2 Aug. 14 United States______________________ 139.4 140.9 137.0 97.8 93.5 Atlanta, Qa. ____ ____ . Baltimore, Md_ _ . . . Birmingham, Ala__________ Boston, M ass__________ . . Bridgeport, Conn__________ . Buffalo, N . Y ___ _______ Butte, M ont_________ 141.5 148.1 144.1 133.4 136.0 135.3 137.7 142. 1 149. 1 147.5 135.7 137.4 138.4 138.7 137.8 140.7 140.3 132.9 135.1 134.8 133.1 94. 3 97.9 96.0 95. 2 96.5 100. 2 98.7 92 5 94 7 90 7 92 5 93 2 94. 5 94.1 Cedar Rapids, Iowa 3__ Charleston, S. C. Chicago, 111____ ___________ Cincinnati, Ohio_____ . . Cleveland, Ohio___ . . . . . Columbus, Ohio______ Dallas, Tex___ ______ 142.9 139.5 137.5 138.2 142.7 132.5 137.6 145.3 139.7 139.2 140.0 145.6 134.0 138.9 139.0 134.7 137.3 135.8 142.8 129.4 132.9 95 9 95.9 98. 2 96. 5 99. 2 93. 4 92.6 95 1 92 3 90 4 93 6 88 1 91.7 Denver, C o lo .._____ Detroit, M ich____ ____ Fall River, Mass ___ Houston, T e x _______ Indianapolis, Ind_______ Jackson, M iss.3____ Jacksonville, Fla_______ 136.1 136.8 132.4 140.5 136.0 151. 2 151.9 139.3 138.4 134.1 141.2 137.7 151.2 152.0 136.4 134.0 132.4 137.5 134.3 150. 7 148.1 94.8 97. 0 97. 5 102.6 98. 2 105 2 98.8 92 90 95 97 90 Kansas City, M o__ Knoxville, Tenn.3__ . . Little. Rock, Ark___ Los Angeles, C alif.. . . . . Louisville, K y __ _ Manchester, N . H Memphis, Tenn_______ . 132.8 160.8 139.3 147.2 133.5 134.9 148.1 135. 4 160. 6 140.4 145.9 135.0 136.4 150.9 130.9 157. 9 137.4 141.4 131.7 134.2 146.5 92.4 97 1 95. 6 101.8 95. 5 96.6 94.2 91 5 94 0 94 6 92 1 94 9 89.7 Milwaukee, W is_____ Minneapolis, Minn . Mobile, A l a . . . . Newark, N . J ____ New Haven, Conn. New Orleans, La. . . New York, N . Y 137.8 132.6 148.9 140.7 135.7 155.7 139. 7 139.4 133.2 152.3 143.4 137.2 156.5 141.7 135.5 129.7 146.6 138.5 136. 3 153.1 ■137.3 95.9 99.0 97.9 98. 8 95. 7 101. 9 99.5 91 1 95 0 95 5 95 6 93 7 97 6 95.8 Norfolk, Va Omaha, N ebr____ Peoria, 111____ . . Philadelphia, Pa Pittsburgh, Pa Portland, M aine.. Portland, Oreg 144.1 131.1 145.6 137.6 139.6 133. 1 149.3 146.1 131.8 145. 9 138.9 141.3 135.7 150.9 141.1 129.9 140.6 134.7 138.0 133.6 144.8 95. 8 97.9 99.0 95.0 98.0 95.3 101.7 93 6 92. 3 93 4 93.0 92 5 95.9 96.1 Providence, R. I . Richmond, Va . Rochester, N . Y_ St. Louis, M o_____ St. Paul, M inn.. Salt Lake City, Utah San Francisco, Calif 140.0 138.5 134.9 141.4 131.5 143. 4 147.3 141.6 138.3 137.8 144.0 132.1 143.9 147.1 135.9 134.1 133.8 139.8 127.9 140.3 143.3 96.3 93.7 99.9 99.2 98. 6 97. 5 99.6 93. 7 92. 2 92. 3 93.8 94 3 94.6 93.8 Savannah, G a ... Scranton, P a ____ Seattle, W ash. _ Springfield, 111__ Washington, D. C Wichita, Kans.3 . Winston-Salem, N . C.3 157.2 139.3 144. 2 144.7 141.5 148. 7 142.0 157.5 141.3 145.8 146.1 141.7 149.8 143.4 152.8 138.1 141.7 142.5 135.2 147.0 137.4 100.5 97.5 101.0 96.2 97.7 97 2 93.7 96.7 92.1 94. 5 94.1 94.1 7 6 4 8 7 95.8 1 Aggregate costs of 61 foods in each city (54 foods prior to March 1943) weighted to represent total pur chases by wage earners and lower-salaried workers, have been combined for the United States with the use °f PoPBlation weights. Primary use is for time-to-time comparisons rather than plaee-to-plaee comparisons. 2 Preliminary. 3 June 1940=100. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P R IC E S AND 1011 C O ST O F L I V I N G T a b l e 5. — Indexes of Retail Food Costs in 56 Large Cities C o m b in e d 1913 to September 1945 [1935-39 = 100] Year 1913_________ 1914_________ 1915_________ 1916_________ 1917_________ 1918_________ 1919, ______ 1920_________ 1921_________ 1922_________ 1923_________ 1924 ________ 1925_________ 1926_________ 1927_________ 1928_________ All-foods index Year 79.9 81.8 80.9 90.8 116.9 134.4 149.8 168.8 128.3 119.9 124.0 122.8 132.9 137.4 132.3 130.8 1929_______ 1930_______ 1931_______ 1932_______ 1933_______ 1934______ 1935____ 1936............... 1937_______ 1938_______ 1939_______ 1940_______ 1941_______ 1942_______ 1943_______ 1944_______ All-foods index 132.5 126.0 103.9 86.5 84.1 93.7 100.4 101.3 105.3 97.8 95.2 96.6 105. 5 123.9 138.0 136.1 Year and month All-foods index All-foods index 1945 19U January. February. . March___ April__ M ay . June__ ____ July_______ A ugust.. Septem ber.. October____ N ovem ber.. December Year and month 136.1 134.5 134.1 134. 6 135. 5 135.7 137.4 137.7 137.0 136. 4 136.5 137.4 January___ February. _ March_____ April M ay June . . _ July___ August .. Septem ber.. 137.3 136. 5 135.9 136. 6 138.8 141.1 141.7 140.9 139.4 i Indexes based on 51 cities combined prior to March 1943. Supplies of Food in Independent R etail Stores, Septem ber 1945 MEATS were much more plentiful in mid-September than in midAugust, according to reports to the Bureau of Labor Statistics by its representatives who visited independent retail stores in 56 large cities. Beef was more widely available than at any time since May 1944 and supplies of veal and lamb were the highest since early in 1945. Pork was still unobtainable in more than 7 out of 10 stores. Butter was on hand in most stores, but cooking and salad oils were more difficult to obtain than in August. The number of retailers having beef steaks and roasts increased from 60 percent to 86 percent during the month and those having other cuts of beef from 56 percent to 84 percent. Veal was in stock in 52 percent of the stores, an increase from 25 percent in mid-August. Practically all dealers had frankfurters and bologna. The increase in supply of beef, veal, and lamb was reported from all sections of the country, but the Middle Atlantic region was the only one in which more stores had pork in September than in August. The southeast still had less pork than other regions and supplies decreased in Newr England, the Midwest, and the Rocky Mountain States. Butter and margarine were plentiful with over 90 percent of the grocers supplied, but about a third of the stores still had no lard or shortening. Cooking and salad oils were available in 66 percent of the groceries, compared to 71 percent in the previous month, with all regions except New England and the Rocky Mountain States showing a decrease in supply. 6 7 0 1 1 9 - 45 - 12 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1012 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Independent Retail Stores Without Supplies of Specified Foods on August 14 and September 18, 1945, in 56 Large Cities Percent of stores without supplies of specified foods 1 Commodity Meats: Beef, steaks and roasts______ . . Beef, all other______ _________ Veal, steaks, chops, and roasts. . . Veal, all other_____________ ____ Lamb________________________ Pork, loins and ham s__________ Pork, bacon___________ ______ Frankfurters and bologna........ Fats and oils: B utter_____ ___________________ Margarine______ ______________ Shortening____________________ Lard_________ _ _________ Cooking and salad o ils ........... ....... Au gust 14,1945 September 18,1945 Region 2 56 large cities 56 large cities 40 44 74 76 57 77 76 15 14 16 48 48 43 71 73 5 16 18 78 78 58 79 79 6 13 16 56 56 48 69 74 9 8 11 50 48 42 69 77 4 30 27 66 63 69 < 90 87 2 5 9 35 35 29 3 7 37 34 34 3 4 14 14 27 6 10 52 48 33 4 30 35 22 42 3 2 47 33 78 I II III IV V VI VII 28 33 28 29 56 82 67 4 12 10 28 29 32 68 67 3 10 10 50 52 7 59 57 4 30 30 38 40 7 56 74 2 30 30 22 55 43 30 30 25 11 20 30 30 2 7 8 30 5 23 29 23 V III 1 Data are weighted by the number of independent food stores in each city, to derive regional and all region percentages. 2 Regions consist of the following cities: Region / . —Boston, Bridgeport, Pall River, Manchester, N ew Haven, Portland, M e., Providence. Region / / . —Baltimore, Buffalo, Newark, N ew York, Philadelphia, Pittsburgh, Rochester, Scranton, Washington, D . C. Region / / / . —Cincinnati, Cleveland, Columbus. Detroit, Indianapolis, Louisville. Region I V .—Atlanta, Birmingham, Charleston, S. C., Jackson, Miss., Jacksonville, Knoxville, Memphis, Mobile, Norfolk, Richmond, Savannah, Winston-Salem. Region V — Dallas, Houston, Kansas City, Mo., Little Rock, New Orleans, St. Louis, Wichita. Region VI —Cedar Rapids, Chicago. Milwaukee, Minneapolis, Omaha, Peoria, St. Paul, Springfield, 111. Region VII.—Butte, Denver, Salt Lake City. Region V III.—Los Angeles, Portland, Oreg., San Frar.cisco, Seattle. 2 Some size, quality, or variety of the commodity was available in all stores surveyed. * Over 90 percent out of stock. W holesale Prices in Septem ber 1945 CONTINUED price declines for agricultural commodities and lower prices for petroleum products, which more than offset advances for a number of industrial goods, resulted in a decline of 0.5 percent in the primary-market1 commodity price index for September 1945. This drop, the largest monthly change in the index in more than 2 years and the third consecutive monthly decline, brought the index to 105.2 percent of the 1926 average, the lowest level since February 1945. This was 1.2 percent above September 1944 and 40.3 percent above the level of August 1939. Average market prices for farm products dropped 2 percent, food prices declined 1.4 percent, and average prices for fuel and lighting materials were down 0.8 percent. The group index for hides and leather products advanced 0.6 percent and that for textile products 0.5 percent. Group indexes for metals and metal products and build ing materials each rose 0.2 percent and prices for housefurnishing goods were up 0.1 percent. Group indexes for chemicals and allied products and miscellaneous commodities remained at the August level. 1 The Bureau of Labor Statistics’ wholesale price data for the most part represent prices prevailing in the “first commercial transaction.” They are prices quoted in primary markets, at principal distribution points. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRICES AND COST OF LIVING 1013 Average prices for raw materials declined 1.3 percent, while semi manufactured articles advanced 1.0 percent and the group index for manufactured articles declined 0.1 percent. The decline of 2 percent in average market prices for farm products was the result of lower prices for livestock and poultry, eggs, apples, and fresh vegetables. The increased movement of grass-fed animals to market, the temporary suspension of government set-asides with the end of the war and termination of lend-lease shipments, and the removal of slaughtering restrictions caused declines in prices for calves, cows, steers, and sheep. The decline for good to choice steers was smaller than for fair to good qualities because of continued heavy demand for better grades. The demand for sheepskins limited the price decline for lambs in comparison with declines for ewes and wethers. Live poultry prices were seasonally lower. Quotations for lower quality eggs dropped substantially with the end of government contracts for dried eggs, while high quality eggs continued to advance in price with heavy demand for better grades. Prices for western apples were generally lower in accordance with their usual seasonal movement, but prices advanced in eastern markets under increased ceilings. Quotations for white potatoes were down sharply, with a near record crop and the movement of poorer qualities to market. Sweetpotato and onion prices were lower seasonally. Quotations for lemons rose sharply from their low summer price. Grains were high er over the month, advancing an average of 0.2 percent. A decline of more than 5 percent in average prices for fruits and vegetables was chiefly responsible for the 1.4 percent decline for foods. In addition, primary-market prices for powdered milk dropped with reduced demand, while flour prices were generally higher, reflecting the lower subsidy to millers during the month. Hides and leather products generally were unchanged in price over the month. Shearling prices again advanced as the range of prices narrowed with continued demand for sheepskins by manufacturers of coats and house slippers. Price increases for a wide range of cotton goods followed ceiling adjustments made under the Bankhead amendment to the Stabiliza tion Extension Act of 1944. The group index for textile products advanced 0.5 percent during September. Commodities for which higher prices were permitted by OPA included cotton yarns, sheeting, print cloth, denim, osnaburg, and cotton twine. Prices for other fabrics and for clothing showed no change. The cancellation of price increases granted by OPA for petroleum products on the eastern coast to offset higher shipping costs during the war caused a price drop during the month for gasoline, fuel oil, and kerosene. Refinery prices for gasoline in midwestern fields advanced during September with an increase in octane ratings. Quotations for anthracite and for coke rose with adjustments by producers to higher ceilings granted in earlier months. Farm machinery prices advanced during September, continuing the small advances which began early in the year under OPA’s program of allowing ceiling increases for individual manufacturers. Gray-iron castings rose in price following OPA ceiling adjustments to bring castings priced on a fixed base in line with castings priced on a formula basis. A further decline in mercury quotations placed the average monthly price at the lowest level since August 1939. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1014 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Average prices for building materials were up 0.2 percent with higher prices for a number of products. Quotations for common brick advanced 3 percent following a ceiling increase granted all brick producers east of the Rocky Mountains, to encourage production. Portland cement prices were fractionally higher under an interim ceiling adjustment which allowed prices to rise 20 cents per barrel above March 1942 levels. Quotations for rosin continued to advance following a ceiling adjustment in August. Turpentine prices were higher while butyl acetate continued to decline. Manufacturers’ prices for lavatories again advanced in September and were generally at ceiling levels for the first time in nearly 2 years. Quotations for radiators were up, following ceiling increases for cast-iron radiators. Prices for plasterboard, plaster, and lime moved upward under higher ceilings permitted by OPA to cover higher production costs. Mill prices for Douglas fir boards dropped nearly 10 percent during the month, following the revocation late in August of premium prices allowed for military production. This decline more than offset price increases for yellow pine and higher mill realizations for Western pine, which resulted in lowering average lumber prices by 0.2 percent during the month. Quotations for silver nitrate rose sharply, reflecting higher ceiling prices for foreign silver while prices for toluene fell as demands for munitions, the principal use for this chemical, dropped with the end of the war. Prices for ergot and nux vomica rose with continued tight supply. Higher mill prices for cotton goods under the Bankhead amendment were reflected in September price advances of more than 9 percent for pillow cases and sheets. Some types of furniture also were higher following ceiling adjustments by OPA. These changes raised the group index for housefurnishing goods by 0.1 percent. Boxboard rose fractionally with higher quotations for liner per mitted by OPA to cover increased production costs. Prices for other commodities, including soap, rubber and rubber products, cattle feed, and paper, remained unchanged at August levels’. T able 1. — Indexes of Wholesale Prices by Groups and Subgroups of Commodities, September 1945, Compared with Previous Months Percent of change to September 1945 from— Indexes (1926=100) Groups and subgroups Sep Sep August August Sep August tember August 1945 tember 1939 1945 tember 1939 1945 1944 1944 All commodities., . 105.2 105.7 104.0 75.0 - 0 .5 +L2 +40.3 Farm products_____ _______ _ Grains. . . . _ .. . Livestock and poultry _____ Other farm products__________ 124.3 126.6 128.5 120.3 126.9 126.4 130.7 123.7 122.7 121.7 127.6 119.2 61.0 51.5 66.0 60.1 - 2 .0 + .2 - 1 .7 - 2 .7 + 1.3 + 4 .0 + .7 + .9 +103.8 +145.8 +94.7 +100.2 Foods______ _ ____ Dairy products.. __________ Cereal products. _________ Fruits and vegetables______ M ea ts.. _____________ Other fo o d s... ______ 104.9 110.3 95.1 117.5 107.9 94.9 106.4 110.6 95. 1 124.3 107.9 96.8 104.2 110.7 94.4 115.9 106.0 95.5 67.2 67.9 71.9 58.5 73.7 60.3 - 1 .4 -.3 0 -5 .5 0 - 2 .0 + .7 - .4 + .7 + 1 .4 + 1 .8 -.6 +56.1 +62.4 +32.3 +100.9 +46.4 +57.4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1015 PRICES AND COST OF LIVING Table 1.— Indexes of Wholesale Prices by Groups and Subgroups of Commodities, September 1945, Compared with Previous Months— Continued Percent of change to September 1945 from— Indexes (1926=100) Groups and subgroups Sep Sep August August Sep August tember August 1945 tember 1939 1945 tember 1939 1945 1944 1944 Hides and leather products.. _____________ Shoes________________________________ Hides and skins. _____________________ Leather. . . _______ _________________ Other leather products___________ _____ 118.7 126.3 118.1 103.8 115.2 118.0 126.3 117.8 101.3 115.2 116.0 126.3 106.1 101.3 115.2 92.7 100.8 77.2 84.0 97.1 + 0 .6 0 + .3 + 2 .5 0 + 2 .3 0 +11.3 + 2 .5 0 +28.0 +25.3 +53.0 +23.6 +18.6 Textile products. ________________________ Clothing______ ______ _______________ Cotton goods______ ____ ______ ________ Hosiery and underwear________________ Rayon_______ . _________ - ________ Silk__________________________________ Woolen and worsted goods_____________ Other textile products_____ ______ ____ 100.1 107.4 121.3 71.5 30.2 99.6 107.4 119.7 71.5 30.2 99.2 107.0 118.7 70.8 30.3 + .5 0 + 1 .3 0 0 + .9 +■ 4 + 2 .2 + 1 .0 -.3 +47.6 +31.8 +85.2 +16.3 + 6 .0 112.7 101.3 112.7 100.9 112.9 100.9 67.8 81.5 65.5 61.5 28.5 44.3 75.5 63.7 0 + .4 -.2 + .4 +49.3 +59.0 Fuel and lighting m aterials.. . . . ___ . . . 84.1 Anthracite------------------------------------------ 102.2 Bituminous coal. ____________________ 124.7 Coke_________________________________ 134. 9 Electricity________________ __________ • (0 (1) G a s . __ . . _________________________ Petroleum and products. _____________ 62.6 84.8 101.8 124.7 134.0 (i) 78.0 64.2 83.0 95.4 120.6 130.7 60.3 76.8 63.8 72.6 72.1 96.0 104.2 75.8 86.7 51.7 - .8 + .4 0 + .7 + 1.3 + 7.1 + 3 .4 + 3 .2 +15.8 +41.7 +29.9 +29.5 - 2 .5 - 1 .9 +21.1 Metals and metal products _ ______________ Agricultural implements_____________ Farm machinery______________________ Iron and steel___________ _______ . . . Motor vehicles________________________ Nonferrous metals_____________________ Plumbing and heating________ _____ _ 104.9 97.9 98.9 99.6 112.8 85.7 95.0 104.7 97.8 98.8 99.1 112.8 85.8 93.4 103.8 97.5 98.6 97.2 112.8 85.8 92.4 93.2 93.5 94.7 95.1 92. 5 74.6 79.3 + .2 + .1 + .1 + .5 0 -.1 + 1 .7 + 1.1 + .4 + .3 + 2 .5 0 -.1 + 2.8 +12.6 + 4 .7 + 4 .4 + 4 .7 +21.9 +14.9 +19.8 Building materials________________________ Brick and tile_________________________ Cement______________________________ Lumber___ _______________ ________ Paint and paint m aterials______ . . . . Plumbing and heating- ..............- ___ Structural steel. _ ...... Other building materials_______________ 118.0 112.4 99.6 155.0 107.6 95.0 107.3 104.5 117.8 111.6 99.4 155.3 107.3 93.4 107.3 104.3 116.0 101.5 96.9 154.5 105.5 92.4 107.3 103.3 89.6 90.5 91.3 90.1 82.1 79.3 107.3 89.5 + .2 + .7 + .2 -.2 + .3 + 1 .7 0 + .2 +L7 +10.7 + 2 .8 + .3 + 2 .0 + 2 .8 0 +1-2 +31.7 +24.2 + 9.1 +72.0 +31.1 +19.8 0 +16.8 Chemicals and allied products.. __________ C hemicals.. . . . . . . _________ . . . Drugs and pharmaceuticals____________ Fertilizer materials.. _________ ______ Mixed fertilizers. ____________________ Oils and fats_________________________ 95.3 96.1 110.2 81.1 86.6 102.0 95.3 96.1 110.2 81.1 86.6 102.0 94.9 96.0 106.9 81.2 86.6 102.0 74.2 83.8 77.1 65.$ 73. i 40.6 0 0 0 0 0 0 + .4 +3.1 -.1 0 0 +28.4 +14.7 +42.9 +23.8 4-18.5 +151.2 Housefurnishing goods____________________ Furnishings______________________ Furniture____________________________ 104.6 107.7 101.5 104.5 107.5 101.5 104.4 107.4 101.4 85.6 90.0 81.1 + .1 + .2 0 + .2 + .3 + .1 +22.2 +19.7 +25.2 Miscellaneous______________________ ____ Automobile tires and tubes. __________ Cattle feed___________________________ Paper and p u lp .. . _____________ ______ Rubber, crude-------------------------------- .. Other miscellaneous__________________ 94.8 73.0 159.6 109.3 46.2 98.9 94.8 73.0 159.6 109.3 46.2 98.9 93.6 73.0 159.6 107.2 46.2 97.0 73.3 60.5 68.4 80.0 34.9 81.3 0 0 0 0 0 0 + 1.3 0 0 + 2 .0 0 + 2 .0 +29.3 +20.7 +133. 3 +36.6 +32.4 +21.6 Raw materials . . . --------------------------Semimanufactured articles------------------------Manufactured products---- -- . . . . . . --------All commodities other than farm products__ All commodities other than farm products and foods. _______ __________________ 114.8 96.5 101.7 100.9 116.3 95.5 101.8 100.9 112.8 94.7 100.9 99.7 66.5 74.5 79.1 77.9 - 1 .3 + 1 .0 -.1 0 + 1.8 + 1 .9 +. 8 + 1 .2 +72.6 +29.5 +28.6 +29.5 99.8 99.9 98.6 80.1 -.1 + 1 .2 +24.6 1 No quotation. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1016 M O N T H LY LABOR REVIEW— NOVEMBER 19 45 Index Numbers by Commodity Groups, 1926 to September 1945 Index numbers of wholesale prices by commodity groups for selected years from 1926 to 1944, and by months from September 1944 to September 1945, are shown in table 2. T a b l e 2 . — Index Numbers of Wholesale Prices by Groups of Commodities [1926=1001 Year and month Chem Fuel Metals Hides Tex MisBuild icals Houseand furand and Farm celand ing light tile nish- lanemetal mate allied prod Foods leather prod ing ing prod ucts mate prod rials prod ucts ous ucts ucts ucts goods rials All com modi ties 100.0 104.9 48.2 51.4 80.9 86.4 68.5 100.0 99.9 61.0 60.5 82.1 85.5 73.6 100.0 109.1 72.9 80.9 95.4 104.6 92.8 100.0 90.4 54.9 64.8 71.5 76.3 66.7 100.0 83.0 70.3 66.3 76.2 77.6 76.5 100.0 100.5 80.2 79.8 87.0 95.7 95.7 100.0 95.4 71.4 77.0 86.7 95.2 90.3 100.0 94.0 73.9 72.1 78.7 82.6 77.0 100.0 94.3 75.1 75.8 81.7 89.7 86.8 100.0 82.6 64.4 62.5 70.5 77.8 73.3 100.0 95. 3 64.8 65.9 80.8 86.3 78.6 1939 _____________ 65.3 67.7 1940 - __________ 1941 ______________ 82.4 1942 _______________ 105.9 _____________ 122.6 1943 1944________________ 123.3 70.4 71.3 82.7 99.6 106.6 104.9 95.6 100.8 108.3 117.7 117.5 116.7 69.7 73.8 84.8 96.9 97.4 98.4 73.1 71.7 76.2 78.5 80.8 83.0 94.4 95.8 99.4 103.8 103.8 103.8 90.5 94.8 103.2 110.2 111.4 115.5 76.0 77.0 84.4 95.5 94.9 95.2 86.3 88.5 94.3 102. 4 102.7 104.3 74.8 77.3 82.0 89.7 92.2 93.6 77.1 78.6 87.3 98.8 103.1 104.0 122.7 123.4 124.4 125.5 104.2 104.2 105.1 105.5 116.0 116.2 116.2 117.4 99.2 99.4 99.4 99.5 83.0 82.9 83.1 83.1 103.8 103.7 103.7 103.8 116.0 116.3 116.4 116.4 94.9 95.0 94.8 94.8 104.4 104.4 104.4 104.4 93.6 93.6 94.0 94.2 104.0 104.1 104.4 104.7 January____________ February___________ March____________ April___ ________ M’ay _______________ 126.2 127.0 127.2 129.0 129.9 104.7 104.7 104.6 105.8 107.0 117. 5 117.6 117.8 117.9 117.9 99.6 99.7 99.7 99.6 99.6 83.3 83.3 83.4 83.5 83.7 104.0 104.2 104.2 104.2 104.3 116.8 117.0 117.1 117.1 117.4 94.9 94.9 94.9 94.9 94.9 104.5 104.5 104.5 104.5 104.5 94.2 94.6 94.6 94.8 94.8 104.9 105.2 105.3 105.7 106.0 June_______________ J u lv ._______________ August_____________ September___ ______ 130.4 129.0 126.9 124.3 107.5 106. 9 106.4 104.9 118.0 118.0 118.0 118.7 99.6 99.6 99.6 100.1 83.9 84.3 84.8 84.1 104.7 104.7 104.7 104.9 117.4 117.5 117.8 118.0 95.0 95.3 95.3 95.3 104.5 104.5 104.5 104.6 94.8 94.8 94.8 94.8 106.1 105.9 105.7 105.2 1926 _____ --1929 ____________ 1932 __________ 1933 __________ __________ 1936 ______ 1937 1938________________ 19U Septem ber_________ October . . ________ November__________ December_______ 1945 The price trend for specified years and months since 1926 is shown in table 3 for the following groups of commodities: Raw materials, semimanufactured articles, manufactured products, commodities other than farm products, and commodities other than farm products and foods. The list of commodities included under the classifications “Raw materials,” “Semimanufactured articles,” and “Manufactured products” was shown on pages 10 and 11 of Wholesale Prices, JulyDecember and Year 1943 (Bulletin No. 785). https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1017 PRICES AND COST OF LIVING T a l b e 3 . — Index Numbers of Wholesale Prices by Special Groups of Commodities [1926=100] Raw Year and month mate rials 1926____________ 1929____________ 1932_____ ____ _ 1933____ ________ 1936____________ 1937____________ Semimanufactured arti cles M an ufac tured prod ucts All com modi ties other than farm prod ucts 100.0 100.0 100.0 100.0 97.5 93.9 94.5 93.3 55.1 59.3 70.3 68.3 56.5 65.4 70.5 69.0 79.9 75.9 82.0 80.7 84.8 85.3 87.2 86.2 1938____________ 72.0 1939____________ 70.2 1940........ ............ 71.9 1941____________ 83.5 1942........ ............... 100.6 1943____________ 112.1 1944____________ 113.2 75.4 82.2 77.0 80.4 79. 1 81.6 86.9 89.1 92.6 98.6 92.9 100.1 94. 1 100.8 80.6 79.5 80.8 88.3 97.0 98.7 99.6 All com modi ties other than farm prod ucts and foods 100.0 91. 6 70.2 71.2 79.6 85.3 81.7 81.3 83.0 89.0 95.5 96.9 98.5 Year and month 19U September______ October_________ November______ December_______ 19iB January________ February_______ March__________ A pril.__ _ ______ M'ay______ _____ J u n e ___________ July-------- --------August_________ Septem ber........... All com modi ties other than farm prod ucts All com modi ties other than farm prod ucts and foods Raw mate rials Semimanufactured arti cles Man ufac tured prod ucts 112.8 113.2 113.8 114.6 94.7 94.8 94.8 94.8 100.9 99.7 101.0 99.8 101.1 99.9 101.1 100.0 98.6 98.7 98.8 98.9 115.1 115.6 115.7 116.8 117.7 118.2 117.5 116.3 114.8 94.9 95.0 95.0 95.0 95.0 95.4 95.3 95.5 96.5 101.3 101. 5 101.6 101.8 101.8 101.8 101.8 101.8 101.7 99.1 99.2 99.2 99.3 99.4 99.6 99.7 99.9 99.8 100.1 100.2 100.4 100.5 100.6 100.7 100.7 100.9 100.9 Weekly Fluctuations Weekly changes in wholesale prices by groups of commodities during August and September 1945 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 l e 4 . — Weekly Index Numbers of Wholesale Prices by Commodity Groups, Augus and September 1945 [1926 = 1001 Commodity group Sept. Sept. Sept. Sept. Sept. Aug. Aug. Aug. Aug. 29 22 15 8 1 25 18 11 4 All commodities___________________________ 105.0 104.9 104.7 105.0 105.2 105.5 105.5 105.7 105.7 Farm products._____ _____________________ F o o d s...________ ___ _ __________________ Hides and leather products________________ Textile products________ __________________ Fuel and lighting materials................................. 124.7 124.5 123.6 124.3 125.1 126. 7 127.0 128.3 104.7 105.1 104.6 105.1 105.5 106.6 106.3 106.9 118.6 118.6 118.6 118.6 118.6 118.5 118.5 118.5 99.9 99.6 99.4 99.4 99.1 99.1 99.1 99.1 84.4 84.5 84.4 85.3 85.5 85.3 85.3 85.2 129.1 107.0 118.5 99.1 84.8 Metals and metal products_______ __________ Building materials_______________ ________ Chemicals and allied products______________ Housefurnishing goods__________ _________ Miscellaneous____________________ ____ ____ 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 117.8 117.7 117.7 117.6 117.6 117.8 117.8 117.3 95.3 95. 3 95.3 95.3 95.3 95.3 95.3 95.2 106.3 106.3 106.3 106.3 1C6.2 106.2 106. 2 106.2 94.6 94.6 94.6 94.6 91.6 94.6 94.6 94.6 104.8 117.3 95.2 106.2 94.6 Raw materials........ ................. ............................ Semimanufactured articles_________________ Manufactured products____________________ All commodities other than farm products___ All commodities other than farm products and foods_____________ _____________________ 115.7 115.5 115.0 115.3 115.8 116.9 116.9 117.7 95.9 95.7 95.7 95.7 95.4 95.4 95.4 95.3 101.8 101.8 101.8 102.0 102.1 102. 1 102. 1 102.0 100.6 100.6 100.6 100.8 100.8 100.8 100.8 100.7 118.1 95.2 101.9 100.6 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 99.9 99.9 99.8 100.1 100.1 100.1 100.1 99.9 99.9 1018 M O N TH LY LABOR REVIEW----NOVEMBER 19 45 Indexes of Strategic and C ritical M aterials AMONG the special indexes calculated during the war by the Bureau of Labor Statistics of the U. S. Department of Labor are two showing changes in the market prices of strategic materials and of critical materials. These indexes were developed in 1940 for the use of the Army and Navy Munitions Board and other defense agencies and have been issued regularly since March 1941. With the end of the war they have ceased to serve their major purpose and accordingly have been discontinued, effective September 1, 1945. The commodities included in the indexes are those announced on January 30, 1940, by the Army and Navy Munitions Board as being strategic and critical. Strategic materials, as defined by the Board, were “ those essential to national defense, for the supply of which in war dependence must be placed in whole, or in substantial part, on sources outside the continental limits of the United States; and for which strict conservation and distribution control measures will be necessary.” Critical materials were those “ essential to national de fense, the procurement problems of which in war would be less difficult than, those of strategic materials either because they have a lesser degree of essentiality or are obtainable in more adequate quantities from domestic sources; and for which some degree of conservation and distribution control will be necessary.” The indexes contain all of the commodities included in the ANMB list except optical glass, which was classified as a critical material. Subsequently the list was changed by the Board from time to time as supply situations changed, but the indexes were based on the original list in the interest of uniformity. During the war period the indexes were computed weekly. They are unweighted geometric means of the individual price quotations and are based on the average for the month of August 1939 as 100. A description of the commodities included and copies of the indexes for the period August 5, 1939, to September 1, 1945, may be obtained from the Bureau upon request. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Building Operations B uilding C onstruction in U rban Areas, Septem ber 1945 CONTINUING the upward trend which started last February, the value of urban building started in September 1945 approximated 186 million dollars—8 percent above the volume of the preceding month and more than double the amount reported in September 1944. The entire gain during the month is attributable to the 12-percent increase in non-Federally financed work, which reached the highest monthly level since the attack on Pearl Harbor. Conversely, Federal contract awards for building in urban areas dropped to the lowest figure re ported in any month since the Pearl Harbor attack, falling off by 67 percent from August. All classes of urban building construction shared in both the monthly increase and the gain over the year. Of the urban building financed with other than Federal money, new residential construction increased from 20 million dollars in September 1944 to 60 million dollars in September 1945, new nonresidential building rose from 12 million to 72 million dollars, and additions, alterations, and repairs from 28 million to 51 million dollars. On the other hand, new Federal non residential building dropped from 21 million to 2 million dollars; additions, alterations, and repairs from 2 million to 1 million dollars, and although 3 million dollars worth of Federally financed new resi dential construction was started in September 1944, none was begun this September. T able 1.— Value of Building Construction Started in A ll Urban Areas, by Class of Construction and by Source of Funds, September 1945 1 Value (in millions) Total Class of construction All construction _ Federal Other than Federal Percent of Percent of Percent of Septem change from— Septem change from— Septem change from— ber ber ber 1945 August Septem 1945 August Septem August Septem 1945 1945 ber 1944 1945 ber 1944 1945 ber 1944 ... $186 + 7.6 +116.2 -8 7 .3 $183 +12.1 +202.1 N ew residential-- ----------N ew nonresidential______ Additions, alterations, and repairs__________ _______ 60 74 +5.5 +157. 8 +8.3 +124. 6 0 -1 00.0 -100.0 2 -6 8 .6 -8 9 .4 60 72 + 8 .8 +17.0 +197.9 +484.8 52 +9.0 1 51 + 9.7 +81.3 +74.7 $3 -6 7 .3 -1 6 .4 -3 7 .0 i Percentage changes computed before rounding. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1019 1020 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 The number of new family dwelling units put under construction during the month was 10 percent greater than in August, in spite of the fact that in September there was no new Federal residential build ing whatsoever. The total for September 1945 was 14,315 units, as compared with 13,059 in August and 7,758 in September 1944. T a b l e 2 . —Number and Value of New Dwelling Units Started in all Urban Areas, by Source of Funds and by Type of Dwelling, September 1945 Number of dwelling units Value (in thousands) Percent of change from— Source of funds and type of dwelling September 1945 Sep August tember 1945 1944 All dwellings--------------------------------------------- 14,315 Privately financed______________ ______ 1family_____ . ____________ 2fam ily*__ ________ M ultifamily 2____ . . . . ______ ______ Federally financed_________________________ 14,315 +10.8 +129. 8 12,459 +11.2 +151.8 839 +34.0 +45.9 1,017 - 6 .1 +44.3 0 -100.0 -1 0 0.0 + 9 .6 Percent of change from— September 1945 +84.5 $58,318 Sep August tember 1945 1944 + 6.4 +160.2 + 7 .5 58, 318 51,871 + 7 .6 3,173 +48.4 3,274 -1 6 .6 0 -100.0 +195.8 +236.0 +56.2 +45.6 -100.0 * Includes 1- and 2-family dwellings with stores. * Includes multifamily dwellings with stores. Comparison of First 9 Months of 1944 and 1945 The cumulative value of urban building construction started during the first 9 months of the year exceeded the billion-doliar mark for the first time since 1942. Valuations by the end of September 1945 totaled 1,188 million dollars, 42 percent more than the aggregate of 834 million dollars reported for the corresponding period of 1944. Non-Fcderal work gained nearly two-thirds, while Federal activity fell off one-tenth. All types of non-Federally financed construction advanced materially, with new nonresidential building increasing al most one and a half times, and new residential construction and addi tions, alterations, and repairs showing gains of 46 and 44 percent, re spectively. The only class of Federal work that did not decline was additions, alterations, and repairs, which rose from 11 million to 24 million dollars. Federal contracts for new nonresidential construction dropped from 202 million to 174 million dollars and for new residential building from 40 million to 30 million dollars. T a b l e 3 . — Value of Building Construction Started in A ll Urban Areas, by Class o f Construction and by Source of Funds, First 9 Months of 1944 and 1945 Value (in millions) Total Federal Other than Federal Class of construction First 9 months 1945 1944 Per cent of change First 9 months 1945 1944 Per cent of change First 9 months 1945 1944 Per cent of change All construction____ ______ $1,188 $834 +42.4 $228 $253 - 9 .9 $960 $581 +65.2 N ew residential___________ New nonresidential............... Additions, alterations, and repairs.................................... 379 468 279 324 +35.8 +44.4 30 174 40 202 -2 5 .0 -1 3 .9 349 294 239 122 +46.0 +141.0 341 231 +47.6 24 11 +118.2 317 220 +44.1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1021 BUILDING OPERATIONS T a b l e 4 . —Number and Value of New Dwelling Units Started in A ll Urban Areas, by Source of Funds and by Type of Dwelling, First 9 Months of 1944 and 1945 Number'of dwelling units Source of funds and type of dwelling First 9 months of— 1915 All dwellings-..................... .............. 101,233 1944 Value (in thousands) Percent of change First 9 months of— 1945 Percent of change 1944 90,868 +11.4 $372,464 $275, 260 +35.3 Privately financed.................. ......... 91,239 74,961 1family................................75,890 ...................... 57, 160 2family >....... .......... 6,075 7,993 M ultifam ily8______________ 9, 274 9,808 Federally financed______________ 9,994 15,907 +21.7 +32.8 -2 4 .0 - 5 .4 -3 7 .2 345,307 297,172 19, 745 28,390 27,157 236,003 180,038 27,148 28,817 39,257 +46.3 +65.1 -2 7 .3 -1 .5 -3 0 .8 1 Includes 1- and 2-family dwellings with stores. * Includes multifamily dwellings with stores. Construction from Public Funds , September 1945 The value of contracts awarded and force-account work started during September and August 1945 and September 1944 on all con struction projects financed wholly or partially from Federal funds and reported to the Bureau of Labor Statistics is shown in table 5. This table includes all types of construction both inside and outside the corporate limits of cities in urban areas of the United States. The contracts awarded and force-account work started on Fed erally financed building construction inside the corporate limits of cities in urban areas were valued at $3,251,000 in September 1945, $9,940,000 in August 1945, and $25,567,000 in September 1944. T a b l e 5. — Total Value of Contracts Awarded and Force-Account Work Started on Federally Financed Construction, by Type of Project, September 1945 1 Value (in thousands) Type of project All types______________________ ___________ _____________ Airports * ...____________ ____ _______ _____ _______________ Building: Residential............................................. .............. ......................... Nonresidcntial______ ________________________________ Electrification 5______________ ___ _ . ___________________ Public roads 8___________________________________________ Reclamation_______________ _________ ____ ____ ________ River, harbor, and flood control...................................................... Streets and roads 7_____________________ _______ ___________ Water and sewerage ______________________ _______ _______ M iseellaneous_____ ______ _______________ ___________ ____ September 19458 August 1945 8 September 1944 8 $43,027 $68,714 $94,479 1,983 3,355 9,161 0 26,888 1,486 6,903 1,000 3,008 150 502 1,107 1,886 13,959 16, 788 16,958 538 5,908 537 5,164 3,621 2,423 53,834 989 12,211 3,976 3,223 1,799 2,408 4,455 1 Continental United States only. 2 Preliminary; subject to revision. 8 Revised. * Exclusive of hangars and other buildings which are included under building construction. 8 Includes the value of loan agreements made for Rural Electrification Administration projects. • Grade-crossing eliminations and roads. 2 Other than those for which contracts were awarded by the Public Roads Administration. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1022 M O N T H LY LABOR REVIEW----NOVEMBER 194 5 Coverage and Method Figures on building construction in this report cover the entire urban area of the United States which by Census definition includes all incorporated places with a 1940 population of 2,500 or more and, by special rule, a small number of unincorporated civil divisions. Valuation figures, the basis for statements concerning value, are derived from estimates of construction cost made by prospective private builders when applying for permits to build, and the value of contracts awarded by Federal and State governments. No land costs are included. Unless otherwise indicated, only building con struction within the corporate limits of cities in urban areas is included in the tabulations. Reports of building permits which were received in September 1945 for cities containing between 80 and 85 percent of the urban population of the country provide the basis for estimating the total number of buildings and dwelling units and the valuation of private urban building construction. Similar data for Federally financed urban building construction are compiled directly from notifications of construction contracts awarded, as furnished by Federal agencies. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Labor Turn-Over Labor T urn-O ver in M anufacturing, M ining, and P ublic U tilities, A ugust 1945 THE sudden termination of the war raised separation rates abruptly. For every 1,000 workers on factory pay rolls in August, 176 were separated from their jobs; of these 62 quit, 7 were discharged, 104 were laid off, and 3 left to enter the armed services. These rates are even more striking when it is recalled that the end of the war came in the middle of August, and that most of these separations took place in the 2-week period following the Japanese surrender. The lay-off rate for all manufacturing reflected unparalleled re ductions in the munitions division, in which workers were laid off at a rate of 167 per 1,000. Moreover, the nonmunitions rate, although only 22 lay-offs per 1,000, was over 4 times the July rate. Every major group except tobacco manufactures showed an increase in lay offs. Even in industries generally producing civilian goods, some companies, notably in the apparel and textiles groups, were working on Army or Navy orders which were canceled after VJ-day. In all, fewer than a dozen industries failed to show a rise in the lay-off rate. The highest lay-off rate for all major manufacturing groups oc curred in ordnance. An unprecedented rise in this rate, from 49 per 1,000 in July to 399 in August, reflects drastic production cuts in every single industry comprising the ordnance group. Sudden termi nation of contracts for the building of planes and ships accounted for the laying off of 284 workers per 1,000 in the transportation-equipment group in August as against 30 in July. Lay-off rates of over 1 out of 10 occurred also in the chemical, electrical-machinery, nonferrous-metal, and automobile groups. Mass lay-offs in the small-arms ammunition and explosives industries were wholly responsible for the high rate in the chemical group, 158 per 1,000; lay-offs reached 142 per 1,000 in the electrical-machinery group, chiefly because of termination of radar contracts. The August quit rate of 62 per 1,000 was considerably above the July rate of 52. This resulted mainly from the usual exodus from industry to school by teachers and students during this particular month, but in part may be attributed to quits in anticipation of lay offs by war plants. The military and miscellaneous separation rate, after remaining at 4 per 1,000 for 5 months, dropped to 3 in August. The rubber group was the only one to show a higher rate, from 4 to 5 per 1,000, and this may reflect the return to duty of soldiers who were furloughed to work in tire and tube factories. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1023 1024 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Despite decreases in the accession rate for the munitions division, manufacturing as a whole continued to hire workers at the same rate as in July, 57 per 1,000. The hiring rate for the nonmunitions divi sion, however, rose from 71 per 1,000 in July to 78 in August. This was due largely to the availability of workers laid off from war in industries, and to the relaxation of manpower controls. Only the leather and miscellaneous groups of this division showed declines from July levels. Although the hiring rate for the munitions division dropped from 47 per 1,000 in July to 41 in August, there was increased hiring in the iron and steel and rubber groups, where manufacturing processes could be easily adjusted to peacetime production. Some industries and even some individual plants with high lay-off rates showed increases in their accession rates. It is probable that in some cases hiring continued up to VJ-day, with lay-offs occurring later; in others the speed with which reconversion was accomplished made possible call-backs after VJ-day lay-offs. In bituminous-coal mining, total separations remained unchanged during the month, in spite of an increase in the rate of quits. Total accessions for metal mining and both coal-mining industries increased between July and August. Involuntary separations, including discharges, lay-offs, and military and miscellaneous separations, were 175 per 1,000 for women in August as against 92 for men, indicating that women are being laid off at almost twice the rate for men. The accession rate for men is slightly above that for women for the first time since December 1944. T able 1.— M onthly Labor Turn-Over Rates (p e r 100 Em ployees ) in M anufacturing 1 C lass of turn-over a n d year T o t a l separation: 1945 19 44 ________________ 1943 ________________ 1939 ________________ Q uit: 1945 19 44 ________________ 1 94 3 ____ ___________ 1939 ________________ D ischarge: 1945 19 44 ________________ 1943 ___________ 1939 ________________ Lay-off: * 1945 ______________ 1944 ________________ 1943________________ 1939________________ M ilita r y a n d m iscellan eou s:4 1945 __________ 1944 ________________ 1943 ________________ A ccessio n : 1945 ............... 1 9 4 4 ________________ 1943 ________________ 1939 ________________ Jan. Feb. M ar. Apr. M ay June July Aug. Sept. O ct. Nov. 6.2 6.7 7.1 3.2 6.0 6.6 7.1 2.6 6.8 7.4 7.7 3.1 6.6 6.8 7.5 3.5 7.0 7.1 6.7 3.5 7.9 7.1 7.1 3.3 7.7 6.6 7.6 3.3 3 17. 6 7.8 8.3 3.0 7.6 8.1 2.8 6.4 7.0 2.9 6.0 6.4 3.0 5.7 6.6 3.5 4 6 4.6 4.5 .9 4.3 4.6 4.7 .6 5.0 5.0 5.4 .8 4.8 4.9 5.4 .8 4.8 5.3 4.8 .7 5.1 5.4 5.2 .7 5.2 5.0 5.6 .7 2 6.2 6.2 6.3 .8 6.1 6.3 1.1 5.0 5.2 .9 4.6 4.5 .8 4.3 4.4 .7 .7 .7 .5 .1 .7 .6 .5 . 1 .7 .7 .6 .1 .6 .6 .5 .1 .6 .6 .6 .1 .7 .6 2.7 .7 .6 . 1 .7 .7 .7 .1 .7 . i .6 .6 . 1 .6 .6 .2 .6 .6 .2 .6 .6 . 1 .6 .8 .7 2.2 .7 .8 .5 1.9 .7 .9 .5 2.2 .6 .6 2.6 1.2 .5 .5 2.7 1.7 .5 .5 2.5 1.5 .5 .5 2.5 2 10.4 .5 .5 2.1 .6 .5 1.6 .5 .5 1. 8 .5 .7 2.0 .5 1.0 2.7 .3 .6 1.4 .3 .6 1.4 .8 1.2 .4 .7 .4 .5 .4 .4 2.3 .4 .3 .3 .7 7.0 6.5 8.3 4.1 7.9 3.1 5.0 5.5 .4 4.9 5.8 8.3 3.3 .8 .4 .7 1.0 4.7 5.5 7.4 2.9 .8 5.0 6.4 7.2 3.3 .8 5.9 7.6 8.4 3.9 .8 5.7 6.3 7.8 4.2 .8 .7 2 5.7 6.3 7.6 7.7 5.1 6.2 6 .1 6.0 7.2 5.9 .3 .6 6.1 6.6 4.1 Dec. .3 .6 5.1 5.2 2.8 1 Month-to-month employment changes as indicated by labor turn-over 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 one-week period ending nearest the middle of the month. In addition, labor turn-over data, beginning in January 1943, refer to all employees, whereas the employment and pay-roll reports relate only to wage earners. The labor turn-over sample is not so extensive 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-oifs. * Miscellaneous separations comprise not more than 0.1 in these figures. In 1939 these data w jro included with Quits. for FRASER Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1025 LABOR TURN-OVER T a b l e 2 . — Monthly Labor Turn-Over Rates (per 100 Employees) in Selected Groups and Industries,1 August 1945 2 Group and industry Total separa tion Quit Discharge Lay-off Military Total and mis cellaneous accession Aug. July Aug. July Aug. July Aug. July Aug. July Aug. July Manufacturing M unitions 3................................................ 23.4 Nonmunitions 3—...................................... 9.9 Ordnance......... . ........................................ Guns, howitzers, mortars, and related equipm ent.. _______ Ammunition, except for small arms________________ ________ Tanks-------------------- -----------------Sighting and fire-control equipm ent............................. .................... Iron and steel and their products......... Blast furnaces, steel works, and rolling mills........... . ........................ Gray-iron castings-......................... Malleable-iron castings_____ ____ Steel castings............ ........ .............. Cast-iron pipe and fittings--.......... Tin cans and other tinware______ Wire products. .................................. Cutlery and edge tools.________ Tools (except edge tools, machine tools, file s, and saws). . ................. Hardware______________________ Stoves, oil burners, and heating equipment___________________ 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)... Electrical machinery..... ......................... Electrical equipment for industrial use......... .................................. Radios, radio equipment, and phonographs................................. Communication equipment, except radios...................................... Machinery, except electrical................. Engines and turbines....................... Agricultural machinery and tractors_______ ____ _____________ Machine tools.............................. . Machine-tool accessories________ Metalworking machinery and equipment, not elsewhere classified________________________ General industrial machinery, except pumps________________ Pumps and pumping equipment. Transportation equipment, except automobiles_________ ______ ______ A ircraft..._________________ Aircraft parts, including engines.. Shipbuilding and repairs_______ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 5.6 7.0 4.6 6.1 0.8 .5 0.7 16.7 .4 2.2 2.2 .5 0.3 .2 0.4 .3 4.1 7.8 4.7 7.1 46.5 12.3 5.5 6.0 .9 1.0 39.9 4.9 .2 .4 3.4 4.9 31.5 8.1 6.3 4.1 .5 .6 24.5 3.0 .2 .4 3.5 5.5 50.8 13.6 42.4 18.0 5.9 3.8 6.9 6.0 1.0 .4 1.2 43.6 5.1 1.2 38.0 10.3 .3 .2 .4 .5 3.4 4.4 5.2 4.7 39.2 3.8 2.9 1.9 .4 .4 35.8 1.3 .1 .2 2.0 1.5 11.1 5.7 4.7 3.8 .5 .4 5.6 1.1 .3 .4 4.8 4.3 7.4 3.9 12.5 7.7 8.6 6.2 12.4 9.7 14.8 7.4 20.7 14.6 7.6 3.5 7.7 6.2 4.0 7.0 6.0 6.2 4.5 9.2 2.7 4.8 3.0 5.9 4.3 5.6 4.3 8.8 2.7 4.4 .2 1.2 .5 1.0 .4 3.2 .3 1.6 .2 .9 .4 .7 .8 2.9 .2 .6 3.0 4.1 1.5 4.8 8.8 8.1 4.4 1.1 4.4 .3 1.0 3.0 1.4 2.1 .2 1.0 .2 .2 .6 .4 1.1 .2 .2 .2 .3 4.0 .6 9.4 .5 5.8 .4 3.9 .9 7.6 .8 11.3 .4 3.6 .2 3.6 3.3 7.3 4.5 3.9 7.3 11.9 4.2 6.4 5.4 5.4 4.5 4.4 .5 .5 .5 .5 3.2 .5 .7 .2 .1 .3 9.2 6.7 6.0 5.4 .3 .3 4.3 7.2 4.9 5.7 13.1 9.0 6.8 6.2 .7 .9 5.2 1.5 .4 .4 12.3 8.9 9.6 5.2 3.6 2.9 .4 .3 5.3 1.5 .3 .5 3.5 19.8 3.1 8.4 7.1 6.8 1.3 .8 11.2 .4 .2 .4 9.3 8.6 22.1 12.6 12.0 4.5 17.2 6.3 39.4 8.0 6.0 4.1 4.2 1.7 4.7 3.3 3.9 2.2 .6 .6 .6 .3 .7 15.0 .6 7.0 .4 12.2 .5 37.2 6.7 .3 1.6 5.0 .5 .3 .2 .2 .5 .3 .4 .3 7.0 3.4 3. 0 2.8 7.2 3.2 2.8 3.4 19.6 5.3 4.5 3.7 .6 .5 14.2 .8 .3 .3 3.3 4.0 10.6 4.6 4.4 3.3 .4 .3 5.5 .6 .3 .4 3.0 3.8 25.9 5.3 4.2 3.7 .6 .5 20.8 .8 .3 .3 2.7 3.7 23.0 5.8 4.4 3.8 .9 .8 17.5 .9 .2 .3 2.2 3.9 13.0 24.6 5.2 5.5 4.7 5.1 3.5 3.7 .9 .9 .6 7.1 .8 18.3 .6 .5 .3 .3 .5 .5 3. 7 3.0 4. 2 4.0 12.6 10.0 13.3 5.8 3.9 4.6 5.2 3.5 4.0 4.1 2.4 2.8 1.0 .9 .8 .4 .5 .5 .7 .7 .8 .5 .3 .3 .6 .3 .5 4.6 2.1 2.9 3.8 2.3 3.0 7.5 4.3 5.9 5.3 8.2 4.0 3.1 .6 .5 2.7 .3 .2 .4 4.5 4.3 4.7 5.4 3.8 4.2 .6 1.6 .6 .8 8.0 9.5 .5 1.6 .3 .3 .4 .5 3.5 4.1 3.9 6.0 37.4 10.1 7.5 49.9 9.4 5.7 43.9 6.8 3.8 30.2 12.8 10.1 5.5 5.8 3.5 6.6 1.2 .5 .4 2.0 1.1 .6 .5 1.8 28.4 43.4 39.5 17.8 3.0 2.4 2.4 3.9 .3 .3 .2 .3 .5 .6 .4 .5 4.1 1.7 3.7 5.5 5.2 3.3 3.8 7.5 .4 13.6 16.8 Automobiles.................... ..................... 14.5 Motor vehicles, bodies, and trailers. 6.9 Motor-vehicle parts and accessor i e s .................................................................... 27.0 S e e f o o t n o t e s a t e n d o f t a b le . 7.9 7.3 5.3 7.1 7.4 7.2 3.1 2.3 4.6 3.8 .3 .2 .6 10.9 .6 4.2 1.8 2.4 .2 .2 .4 4.8 3.2 5.6 4.9 7.6 4.5 5.2 .6 1 .6 21.7 1.4 .2 .4 ¿ 7 .3 6.1 1026 MONTHLY LABOR REVIEW----NOVEMBER 1 9 4 5 T a b l e 2 . —Monthly Labor Turn-Over Rates (per 100 Employees) in Selected Groups and Industries,1 August 1945 2— Continued Group and industry Total separa tion Quit Discharge Lay-off Military Total and mis cellaneous accession Aug. July Aug. July Aug. July Aug. July Aug. July Aug. July Manufacturing—Continued Nonferrous metals and their products.4 18.1 7.8 Primary smelting and refining, except aluminum and magne sium________________________ 4.1 3.8 Aluminum and magnesium smelt ing and refining______________ 0) 12.7 Rolling and drawing of copper 6.7 4.6 and copper a llo y s ..._________ Aluminum and magnesium pro d u c ts... __________ . ---------- (5) 9.2 Lighting equipment-------------- __ 11.6 8.3 Nonferrous-metal foundries, ex cept aluminum and magnesium. 18.0 7.9 Lumber and timber basic products... 12.7 9.9 Sawmills_______________________ 11.4 10.1 Planing and plywood m ills--------- 14.8 8.1 Furniture and finished lumber pro- 13.5 10.1 Furniture, including mattresses and bedsprings_______________ 12.7 9.3 5.5 5.3 1.1 3.5 3.0 .3 .2 (5) 9.9 (5) 1.0 4.4 3.4 .7 .4 (5) 7.9 6.0 6.9 (5) .9 .7 .7 0.7 11.2 1. 2 0.3 0.6 5.4 .1 .1 .2 .5 4.1 3.7 (5) 1.5 0) .3 (5) 12.9 1.4 .3 .2 .5 3.5 3.3 (5) 2. 7 1.9 .3 (5) .1 .6 0) .4 11.6 5.5 10.0 5.7 5.6 4.6 .8 .9 11.3 .6 .3 5.3 5.7 9.7 9.5 8.7 8.6 8.9 6.3 .4 .3 .7 .4 .4 .5 2.5 1.4 5.3 .6 .5 1.0 .1 .2 .1 .3 10.2 .3 9.7 .3 9.5 9.5 9.6 6.7 8.4 8.6 .9 .6 4.0 8.2 8.1 1.1 1.8 .2 .2 9.6 9.0 3.1 .3 .3 .2 10.1 9.1 .4 4 6.4 4 6.5 .3 10.8 .6 9.8 .4 6.9 5.6 5.6 7.2 6.8 6.1 Stone, clay, and glass products---------- 8.2 Glass and glass products_______ 7.9 5.7 . . C em ent... _ . ---- . . . Brick, tile, and terra cotta_______ 7.8 Pottery and related products____ 7.0 5.5 5.7 4.6 6.3 5.5 5.4 5.0 4.8 6.6 6.0 4.3 4.2 3.7 5.3 4.6 .5 .4 .5 .6 .3 .4 .4 .3 .3 .4 2.0 2.2 .2 .3 .4 .3 .1 .1 .3 .3 .2 .3 .3 7.6 8.2 7.3 6.2 7.0 5.7 5.9 7.0 5.9 5.3 6.2 4.9 .5 .6 .6 .4 .5 .4 1.0 .4 .6 .3 .1 .2 .2 .2 .2 .2 .2 .2 6.3 7.5 7.1 5.7 6.9 5.9 5.0 4. 1 6.6 7.5 4.7 4.6 6.6 5.3 3.8 3.5 5.8 5.6 3.4 3.8 5.2 4.8 .3 .1 .2 .4 .3 .1 .3 .3 .6 .4 .5 1.4 .8 .6 .9 .1 .3 .1 .1 .1 .2 4.1 . 1 4.7 .2 ' 6.0 . 1 4.6 3.4 3.5 4.9 5.2 5.9 4.0 3.7 3.0 .0 .5 1.5 .2 .2 .3 4.3 3.9 8.5 5.9 5.6 5. 2 .3 .2 2.5 .4 .1 .1 5.7 5.0 6.0 4.7 4.2 4.0 .1 .1 1.6 .5 .1 .1 3.7 3.5 8.0 6.2 6.0 5.4 .3 .2 1.6 .5 .1 .1 6.3 5.1 .4 .1 .4 .3 .3 .3 .3 .2 .2 6.0 4.8 6. 2 9.7 3.7 10.8 .2 .3 .3 .3 10.7 .4 10.0 .5 16.7 8.9 6.8 16.0 Textile-mill products_______________ Cotton. ---- ------ ---------------------Silk and rayon goods____________ Woolen and worsted, except dye ing and fin ish ing...---------------Hosiery, full-fashioned________ Hosiery, seamless_______________ Knitted underwear_____________ Dyeing and finishing textiles, in cluding woolen and worsted___ Apparel and other finished textile products-------- ----------- . . . -----M en’s and boys’ suits, coats, and overcoats _________________ M en’s and boys’ furnishings, work clothing, and allied garments__ 4.6 3.8 4.7 .3 .2 .4 .3 .2 .3 .7 .5 .7 Food and kindred products................ 10.8 8.9 9. 1 7.5 M eat products_________________ 9.8 7. 2 8.5 6.0 Grain-mill products........................ . 15.9 12.7 13. 5 10.6 .7 .5 1.4 .6 .5 1.1 .8 .5 .7 .5 .3 .5 Leather and leather products________ Leather___________ _ _________ Boots and shoes________________ 6.8 4. 2 7.3 8.0 7.3 .5 .4 .2 .2 .1 . 1 12.3 7.6 7.0 6.2 8.9 7.2 6.4 9.2 5.8 5.1 7.5 .7 .7 .9 .5 .4 .7 .6 .6 .5 .3 .2 .3 .3 .4 .3 .4 8.4 .5 7.9 .4 10.8 7.3 6.3 9. 2 21.9 11.1 4.7 3.5 5.7 4.2 5.2 3.7 4.9 4.6 2.6 3.4 .6 .7 .4 .7 15.8 .1 .5 .1 .3 5.5 .1 .2 .3 .2 .3 .3 .3 .3 4.0 5.0 5.4 4.0 4. 4 4.4 6.5 4.6 39.5 13.7 54.4 27.0 4.6 7.6 4. 2 3.5 7.2 5.1 .7 1.0 .5 .2 .6 .9 1.2 30.5 5.0 49.4 20.8 .8 .3 .4 .3 .3 .3 .3 5.5 2.0 1.3 4.8 4.6 1.8 3.3 3.2 2.5 2.4 .3 .3 .2 .2 .2 .2 •3 .3 4.1 4.0 4.1 4.1 Paper and allied products___________ 8.8 Paper and pulp________________ 8.1 Paper boxes_______ _______ _____ 10.9 Products of petroleum and coal____ . Petroleum refining........................ See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 5.5 3.2 5.9 8.0 Tobacco manufactures_______ _____ _ 8.8 Chemicals and allied products _____ Paints, varnishes, and colors... . Rayon and allied products.. ___ Industrial chemicals, except ex plosives______________________ Explosives.. _______ . . . _____ Small-arms ammunition________ 5.6 4.3 5.7 4.6 4.5 3.3 3. 2 .3 .3 .8 .8 1027 LABOR TURN-OVER T able 2.—Monthly Labor Turn-Over Rates (per 100 Employees) in Selected Groups and Industries,1 August 1945 2—Continued Group and industry Total separa tion Quit Discharge Lay-off Military Total and mis cellaneous accession Aug. July Aug. July Aug. July Aug. July Aug. July Aug. July Manufacturing—Continued Rubber products___________________ Rubber tires and inner tubes____ Rubber footwear and related products ____ _ __ Miscellaneous rubber industries... 11.6 9.6 6.2 6.4 6.7 6.6 4.6 4.5 0.5 .4 0.5 .4 3.9 2.0 0.7 1.0 0.5 .6 0.4 .5 5.9 6.3 5.4 5.0 11.5 15.2 6.4 5.6 8.5 6.1 5.8 4.2 .2 .9 .3 .6 2.6 8.0 « .5 .2 .2 .3 .3 5.0 5.5 7.7 5.3 Miscellaneous industries____________ 14.3 5.2 3.8 3.5 .4 .4 9.9 1.0 .2 .3 4.0 4.4 6.9 2.8 8.4 8.3 5.7 2.7 7.3 5.7 5.8 2.3 7.4 7.1 4.4 1.9 6.1 4.6 .3 .1 .3 .3 .5 .2 .3 .5 .3 .1 (6) .4 .1 .1 .1 .1 .5 .3 .7 .5 .7 .6 .8 .5 4.7 2.0 5.0 5.8 4.2 2. 2 4. 2 4.5 Nonmanufacturing M etal mining______________________ Iron ore ................... Copper o r e ...._________________ Lead and zinc ore_______________ M etal mining, not elsewhere classified, including aluminum ore___ ___________ ______ . (5) 9.9 (5) 7.1 (5) 1.8 (5) .2 (5) .8 (5) 9.5 Coal m ining___ ____ . . . Anthracite mining_______ 1.7 Bituminous-coal mining_________ 4.6 1.8 4.6 1.2 4.2 1.3 3.8 («) .2 "(6) .3 .4 .1 .3 .3 .1 .1 .2 .2 1. 6 4.8 1.3 3.9 Public utilities________ ____ Telephone________ T eleg ra p h __ ___ 3.2 4.0 3.1 (5) 2.9 3.6 .2 (5) .1 .1 .2 (5) .1 .1 .1 (5) .1 .1 4.1 (5) 4.8 4.8 3.6 (5) 1 Since January 1943 manufacturing firms reporting labor turn-over have been assigned industry codes on the basis of current products. M ost plants in the employment and pay-roll sample, comprising those which were m operation in 1939, are classified according to their major activity at that time, regardless of any sub sequent change in major products. 2 Preliminary figures. 2 The munitions division which replaces the selected war industries group, includes the following major industry groups: Ordnance; iron and steel; electrical machinery; machinery, except electrical; automobiles; transportation equipment, except automobiles; nonferrous metals; chemicals; products of petroleum and coal; rubber. The nonmunitions division includes lumber; furniture and finished lumber products; stone, clay, and glass; textile-mill products; apparel and finished textile products; leather; food and kindred prod ucts; tobacco; paper and pulp; miscellaneous industries. Comparable data for 1943 and 1944 are presented in the July issue of the M onthly Labor Review. 4 August figures based on incomplete returns. 5 N ot available. Less than 0.05. 6 6 7 0 1 1 9 - 45 - https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis -13 1028 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 3 . — Monthly Labor Turn-Over Rates (per 100 Employees) 1for Men and Women in Selected Industries Engaged in War Production, August 1945 2 Total separa tion Quit Total accession Industry group and industry Men Women Men Women Men Women ---------------------------------------- 14.9 24.3 5.7 6.8 5.7 5.6 Ordnance------ --------------------------- -- - --------------Guns, howitzers, mortars, and related equipm ent.. Ammunition, except for small arms.. . ---------- -T a n k s.. . ----------------------- -----------------------------Sighting and fire-control equipment------------------- 36.9 29.5 39.5 37.0 29.7 66.0 43.7 68.9 65.6 58.4 5.8 6.0 6.4 3.1 2.8 5.1 9.6 5.0 4.8 3.2 3.3 2.6 3.8 1.7 1.9 2.7 3.5 2.7 2.6 2.0 Iron and steel and their products____ . ---------Blast furnaces, steel works, and rolling mills_____ Gray-iron eastings. __________________ ______ Malleable-iron castings------------------------------------Steel castings____ ________________________ Cast-iron pipe and fittings..................................... . Firearms (60 caliber and under)________________ 9.9 6.5 12.1 8.5 12.5 13.0 43.8 19.3 15.1 17.1 8.7 11.0 38.0 50.4 4.5 3.8 7.0 5.9 6.2 4.4 1.7 6.4 5.9 6.0 6.4 5.7 6.1 2.4 4.9 4.1 9.7 5.7 4.0 7.8 3.9 5.2 3.2 5.4 6.3 2.1 4.2 1.4 Electrical machinery____ ________________________ Electrical equipment for industrial use--------------Radios, radio equipment, and phonographs... Communication equipment, except radios---------- 11.4 6.1 15.2 16.1 29.1 18.3 34.6 29.0 3.6 3.3 3.2 3.9 5.5 6.1 5.1 4.8 2.7 2.1 1.7 2.2 3.9 4.1 3.6 2.2 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___ ___________ 11.4 23.3 8.3 12.3 18.6 28.3 20. 1 16.1 4.3 4.8 3.4 3.8 6.2 5.9 5.4 5.0 3.8 2.9 2.2 3.0 3.6 3.4 2.8 2.6 6.4 11.1 13.3 13.5 20.5 27.6 3.5 4.2 5.2 6.7 6.2 5.9 4.4 3.3 4.3 5.5 3.8 3.5 Transportation equipment, except automobiles______ Aircraft__________________________________ Aircraft parts, including engines________________ Shipbuilding and repairs____ _ ________________ 34.2 44.2 39.3 30.0 51.6 59.5 53.0 41.4 7.8 5.7 3.3 10.5 6.6 5.5 4.8 10.6 4.5 1.6 3.8 6.0 3.2 2.1 2.8 5.2 Nonferrous metals and their products 3_____________ 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_________________________ . . . 15.2 27.5 5.3 6.3 5.2 6.0 4.1 3.7 3.5 2.9 4.2 All manufacturing----- Chemicals and allied products____________________ Industrial chemicals, except explosives__________ Explosives_______ __________________________ Small-arms ammunition____________________ _ (9 (9 3.8 (9 (9 (9 (9 (9 (9 5.9 (9 12.1 (9 (9 4.2 (9 13.2 28.5 5.1 6.8 5.8 4.2 17.6 6.1 34.6 46.4 31.8 7.8 51.1 64.0 4.6 4.5 6.8 3.5 6.5 4.9 9.5 5.0 4.2 5.7 1.9 1.5 3.5 4.4 2.4 1.1 5.7 3.4 4.1 i T h e s e f ig u r e s a r e p r e s e n t e d t o s h o w c o m p a r a t i v e t u r n - o v e r r a t e s a n d s h o u l d n o t b e u s e d t o e s t i m a t e e m p lo y m e n t. 3 T h e s e f ig u r e s a r e b a s e d o n a s l i g h t l y s m a l l e r s a m p l e t h a n t h a t fo r a l l e m p l o y e e s , a s s o m e f ir m s d o n o t r e p o r t s e p a r a t e d a t a fo r w o m e n . 3 A u g u s t f ig u r e s b a s e d o n i n c o m p l e t e r e t u r n s . * N o t a v a i la b l e . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis , Trend o f Em ploym ent Earnings, and Hours Sum m ary of Em ploym ent R eports for Septem ber 1945 THE total number of employees in nonagricultural establishments was 35,268,000 in September, over 1% million fewer than in midAugust when Japan surrendered, and almost 3% million fewer than in September 1944. The net decline over the month reflects almost wholly the loss of 1,688,000 employees from the manufacturing division. Industrial and Business Em ploym ent Production-worker employment for manufacturing as a whole decreased by a little over 1% million between mid-August and midSeptember, the munitions group accounting for almost all of the drop. A special survey of manufacturing plants for the period September 1-30 indicated that toward the end of the month there was a sub stantial slowing of the rate of curtailment in employment, and signs of stabilization for the near future. A loss of 635,000 workers, the largest for any major manufacturing group from mid-August to mid-September, occurred in the transpor tation-equipment group. While there are indications that the bulk of the cut-backs for transportation equipment took place during this period, further employment reductions can be expected as some plants are still engaged in the completion of aircraft and shipbuilding contracts. Employment declines, while large, were not so extensive in those munitions groups in which many plants were engaged in producing basic products like iron and steel and machinery. Employers in those munitions industries other than aircraft, shipbuilding, and ordnance predicted in mid-September a large absorption of workers in the next few months. Among the nonmunitions groups, only the miscellaneous showed any appreciable decline—this drop occurred in those plants making such war products as professional and scientific instruments. The food, apparel, and textile groups all showed the usual seasonal gains. The number of bituminous-coal miners increased slightly over the month—the first increase since June. Employment in this industry is still 24,000 below the level of a year ago. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1029 1030 M O N T H LY LABOR REVIEW— NOVEMBER 19 4 5 T a b l e 1. — E s tim a te d N u m b e r o f P ro d u c tio n W o rk e rs a n d I n d e x e s o f P r o d u c tio n -W o r k e r E m p lo y m e n t in M a n u f a c tu r in g I n d u s tr ie s , b y M a jo r I n d u s tr y G ro u p 1 Estimated number of produc tion workers (in thousands) Productionworker indexes (1939=100) Industry group Au gust 1945 July 1945 All manufacturing-. --------_ . . . _ _ _ _ _ _ _ ------ 10,121 ------- -------- . . . -- 5,112 Durable goods. . _ -----Nondurable goods____ ___ _ _ -------------------- 5,009 11, 670 6,539 5,131 11,928 6, 782 5,146 Iron and steel and their products— .. _ _ ------------Electrical machinery -------------- - - - - - -----Machinery, except electrical- . . . . Transportation equinment, except automobiles. . - - ------------- Automobiles____. ------ . . . Nonferrous metals and their products Lumber and timber basic products . . - ------- -------Furniture and finished lumber products------------------Stone, clay, and glass products ----------------------- 1,204 452 887 804 387 333 443 292 310 1,444 615 1,039 1, 439 545 367 452 317 321 1, 503 636 1,069 1, 526 582 371 453 321 321 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. ------- . . ----------- . . 1,035 787 303 1,121 84 303 318 438 133 170 317 1,031 781 308 1,065 79 303 321 548 135 179 381 1, 034 761 307 1,054 78 302 317 587 135 183 388 Sep tember 1945 2 Sep Sep tember tember 1944 1945 2 13, 602 8,100 5, 502 Au gust 1945 123.5 141.6 109.3 142.5 181.1 112.0 1, 686 739 ” 1,189 2,216 703 412 487 339 329 121.5 174.4 167.9 506.6 96.2 145.3 105.4 89.0 105.7 145.6 237.5 196.7 906.6 135.4 160.1 107.5 96.6 109.3 1,091 871 313 1,184 82 310 319 593 133 194 412 90.5 99.7 87.4 131.2 90.0 114.1 97.0 151.9 125.8 140.6 129.5 90.2 98.9 88.6 124.6 84.2 114.2 98.0 190.0 127.3 148.4 155.8 1 The estimates and indexes presented in this table have been adjusted to levels indicated by the Anal 1943 data made available by the Bureau of Employment Security of the Federal Security Agency. Data for 15 major groups are not comparable with data published in mimeographed releases dated prior to Sep tember 1945 or the October 1945 issue of the M onthly Labor Review. Comparable data from January 1939 are available upon request. Five major groups, Furniture and finished lumber products, Stone, clay and glass products, Tobacco manufactures, Chemicals and allied products, and Products of petroleum and coal, needed no further adjustment and are therefore comparable with the data previously published. Preliminary. Public Employment During the month in which the Japanese surrender occurred, Fed eral war agencies dropped 105,000 employees who had been stationed within continental United States. The War and Navy Departments cut their employment by 98,000, and, of the emergency war agencies, the Office of Censorship and the OPA showed the largest declines. Although war-agency employment was cut within continental United States as early as August 1943 and has been fluctuating upwards and downwards ever since, the September 1945 drop was the largest occurring in any single month, with the exception of September 1943 when the cut amounted to 115,000. The end of the war meant not only reduced Federal employment, but also, to most of the remaining employees, a shorter workweek. On July 1, 1945, the hours had been reduced in most agencies from 48 to 44 per week. (Exceptions were the Navy, War, and Treasury Departments, The Panama Canal, Veterans Administration, and TVA.) During the week of the Japanese surrender, the Navy De partment took the lead by cutting the hours of its employees in the field from 48 to 40, and in the departmental service from 48 to 44. Simultaneously, the War Department cut hours from 48 to 44, and the following week the Office of Censorship reduced its workweek to 40 hours. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TREND OF EMPLOYMENT, EARNINGS, AND HOURS 1031 Following an order of the President, dated August 23, to reduce working hours to 40 a week unless exempted by the Bureau of the Budget, most agencies adopted the 5-day 40-hour week during the last week in August, that is, at the beginning of the first September pay period. The Agriculture Department, National Housing Agency, Securities and Exchange Commission, Office of Inter-American Affairs, National War Labor Board, and Foreign Economic Ad ministration complied with the order at the beginning of the second September pay period, September 10. Certain installations or divi sions of several of the agencies received temporary exemp don from the 40-hour-week order—for example, the hospitals and separation centers of the War Department and the Bureau of Engraving and Printing of the Treasury Department. The Government Printing Office and Veterans’ Administration were the only two agencies in September which as a whole were on the 48-hour week. The drop of $48,000,000 in the August 1945 pay roll of the Federal Government and of $124,000,000 in the September pay roll, therefore, reflects both the changed employment levels and the shorter workweek. Source oj data.—Data for the Federal executive service are reported through the Civil Service Commission, whereas data for the legislative and judicial services and Government corporations are reported to the Bureau of Labor Statistics. Force-account employment is also in cluded in construction employment (table 5), and navy-yard employ ment is also included in employment on shipbuilding and repair proj ects (table 4). The revised pay-roll series showing, monthly figures from 1943 to date is available upon request. T a b l e 2 . — E m p lo y m e n t a n d P a y R o lls f o r R e g u la r F e d e ra l S erv ic e s a n d f o r G o vern m en t C o r p o ra tio n s in S elected M o n th s Year and month Total Executive 1 Legislative Judicial Govern ment cor porations 2 E m ploym ent3 September September September September September September 1939___________ _ _ _ _ _ ___ 1940___ ___________ __ _ 1941____ ________ ___ _____ 1942 __________ _____ _ ___ 1943___________ __ ___ ___ ______ ___ 1944_________ 987, 283 1,107,053 1,547,779 2,593,252 3, 230,958 3,375,279 954,018 1, 072,173 1,508,554 2 ,550,823 3,186,181 3,331,179 5,532 6, Oil 6,048 6,517 6,221 6, 272 2,162 2,482 2, 578 2,662 2,651 2,641 25, 571 26,387 30,599 33, 250 35,905 35,187 July 1945__________ ____ _______________ August 1945 4________ _________ _ _ __ September 1945 4_____ _ ___ __ _ _ . . . 3,806,005 3,830, 702 3,713,491 3,762,107 3, 787,027 3,670,026 6,444 6,412 6,445 2,706 2,866 2,883 34,748 34,397 34,137 Pay rolls (in thousands) 5 September 1943__ ______ _______________ September 1944______________________ __ $660,657 683, 744 $652,896 675,875 $1, 502 1,522 $768 755 $5,491 5,592 July 1945 4_____ ______ _ _____ August 1945 4 _________________ _____ _ September 19454_________________ 718, 595 670,818 547,088 710,494 662,637 538,982 1,771 1,779 1,788 842 857 865 5,488 5,545 5,453 1 Includes employees in United States navy yards who are also included under shipbuilding (table 4) and employees on force-account construction who are also included under construction projects (table 5). Includes employees stationed outside continental United States. 2 Data are for employees of the Panama Railroad Co., the Federal Reserve banks, and banks of the Farm Credit Administration, who are paid out of operating revenues and not out of Federal appropriations. Data for other Government corporations are included under the executive service. 3 Figures are as of the first of the calendar month, 4 Preliminary. 5 Pay rolls are from the revised series. M onthly figures are available upon request for the period from January 1943 to date. Revised data for 1939-42 w ill be available shortly. Data are for all pay periods ending within the calendar month. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1032 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 3 . — E m p lo y m e n t a n d P a y R o lls f o r th e E x e c u tiv e B r a n c h o f th e F e d e ra l G o vern m e n t, b y W a r a n d O th e r A g e n c ie s , in S e le c te d M o n th s 1 War agencies2 Year and month Total All areas Other agencies Outside Continen continen tal tal United United States States 3 All areas Continen Outside continen tal tal United United States States 3 E m ploym ent4 September September September September September September 1939________ 1940________ 1941________ 1942____ . . . 1943.._ ____ 1944___ _ _ July 1945____ ________ August 1945 5_____ ____ September 1945 3______ 954,018 1,072,173 1,508. 554 2, 550. 823 3,186,181 3,331,179 218,966 310, 229 686,889 1,690, 437 2, 367, 260 2,483,878 187,707 257, 532 593,278 1,491,058 2,046,044 2,076,989 31, 259 52,697 93, 611 199.379 321, 216 406,889 735,052 761, 944 821,665 860,3S6 818,921 847, 301 725,145 749,971 808,193 845,966 802,006 831, 509 9,907 11,973 13,472 14, 420 16,915 15, 792 3,762,107 3, 787,027 3,670,026 2,848, 405 2,882, 728 2,761,519 2,020, 240 2,014, 272 1,909, 342 828,165 868, 456 852,177 913,702 904, 299 908, 507 895,180 885,293 889,018 18, 522 19,006 19,489 Pay rolls (in thousands) 3 September 1943________ September 1944________ $652,896 675,875 $491,580 505,154 $442,788 455,901 $48,792 49,253^ $161,316 170,721 $157,582 167,315 $3, 734 3,406 July 1945 3_____________ August 1945 3__________ September 1945 3_______ 710,494 662,637 538,982 537,016 48S, 506 382,251 470,818 421,720 316,497 66,198 66, 786 65,754 173,478 174,131 156,731 169,275 169, 592 152,314 4,203 4, 539 4,417 1 Includes employees in United States navy yards who are also included under shipbuilding (table 4) and employees on force-account construction who are also included under construction projects (table 5). 2 Covers War and N avy Departments, Maritime Commission, National Advisory Committee for Aero nautics, The Panama Canal, and the emergency war agencies. 3 Includes Alaska and the Panama Canal Zone. 4 Figures are as of the first of the calendar month. 3 Preliminary. 3 Pay rolls are from the revised series. M onthly figures are available upon request for the period from January 1943 to date. Revised data for 1939-42 will be available shortly. Data are for all pay periods ending within the calendar month. Employment in Shipyards Reflecting the drastic cuts in employment that were made in most shipyards immediately following VJ-day, total employment in ship yards declined 259,300 during the month August 15 to September 15, 1945, leaving 762,300 workers employed in private shipyards and United States navy yards as of September 15, 1945. Telegraphic surveys made by the Bureau of Labor Statistics re vealed that employment in shipyards continued to drop during the last 2 weeks of September. As of September 30, total employment in all shipyards had declined to 715,000. This was the lowest em ployment figure for the industry since February 1942, and was 1,008,000 less than the total for the peak month of December 1943. From August 15 to September 15, the greatest percentage loss in employment was in Inland and Great Lakes shipyards which had decreases of 42.7 and 37.9 percent, respectively. Pacific Coast ship yards had the greatest numerical loss, 113,800, while Atlantic Coast yards were second with a loss of 92,600. Pay rolls of shipyard workers amounted to $198,464,000 for Septem ber as compared with $290,825,000 for August. Data on employment and pay rolls are received monthly by the Bureau of Labor Statistics directly from private shipyards. Data https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TREND OF EMPLOYMENT, EARNINGS, AND HOURS 1033 for United States navy yards are received monthly from the Navy Department. Employees in the navy yards are also included in data for the Federal executive service (tables 2 and 3). T a b l e 4 . — T o ta l E m p lo y m e n t a n d P a y R o lls in U n ite d S ta te s N a v y Y a r d s a n d P r iv a te S h ip y a r d s , b y S h ip b u ild in g R e g io n , S e p te m b e r 1 9 4 5 Employment (in thousands) Shipbuilding region Pay rolls (in thousands) Septem Septem August ber 1944 ber 19451 1945 Septem ber 1944 Septem ber 1945 i August 1945 All regions . .. ............................. United States navy yards2 ________ Private shipyards__________________ 762.3 261.2 501.1 1,021.6 298.8 722.8 1,499. 3 ij 321.8 1,177. 5 $198,464 76,316 122,148 $290,825 87, 208 203,617 $440,090 93. 200 346,890 North Atlantic_______________________ South Atlantic_________________ ______ _ Gulf__________________________________ Pacific________________________________ Great Lakes____ ______________________ Inland___________________ ____ ________ 316 2 80.2 83. 7 262.2 11.8 8.2 391.8 97.2 123.3 376.0 19.0 14.3 539.9 132.0 198.2 513.2 56.4 59.6 89,765 19,659 19,684 64, 293 3,238 1,825 114,037 28,272 32,211 107,662 5,288 3,355 158, 796 37,851 60, 762 151,034 16,360 15, 287 1 Preliminary. 2 Includes all navy yards constructing or repairing ships, including the Curtis Bay (Maryland) Coast Guard yard. Data are also included in the Federal executive service (tables 2 and 3). Construction Employment Employment on construction in continental United States continued to climb in September 1945, reaching a total of 1,100,800—35,900 above August and 260,400 above September a year ago. Gains for the month and over the year were entirely on non-Federally financed projects, Federal construction employment having dropped to 137,800 from 186,600 in the preceding month and from 216,200 in September 1944. More than eight-tenths of the 78,600 increase during the month in employment on non-Federal projects occurred on new nonresidential building, which rose from 246,700 in August to 313,100 in September. Employment on private residential construction experienced the next greatest gain, rising from 166,500 to 183,100. The only types of non-Federally financed construction which showed employment de creases were farm dwellings and service buildings, State highways, and public utility projects. September was the fourth consecutive month in which most of the decrease in Federal construction employment was on new non residential building. The drop on Federal nonresidential building in September was 42,400, or 36 percent. Federal residential construc tion and river, harbor, and flood control work showed slight employ ment gains; all other types of Federal construction experienced decreases. Changes over the year in construction employment were very similar to the variations during the month. There were more than three times as many persons employed this September as last on non-Federally financed nonresidential building; at the same time employment on new Federal nonresidential building dropped 34 percent. In spite of the slight drop during the month, non-Federal public utility projects showed an employment gain of 30,500 over the year. Almost all other types of construction employment followed the same trend both during the month and over the year. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1034 M ONTHLY LABOR REVIEW----NOVEMBER 1 9 4 5 T a b l e 5 . — E s tim a te d E m p lo y m e n t a n d P a y R o lls o n C o n s tru c tio n W ith in C o n tin e n ta l U n ite d S ta te s, S e p te m b e r 1 9 4 5 Employment (in thousands) Pay rolls (in thousands) Type of project Sep tember 1945 i August 1945 Sep tember 1944 Sep tember 1945 i August 1945 New construction to ta l3______ _ _ _ _ _ 1,100.8 At the construction site_______________ ___ 953.1 Federal projects 4_______ _ _ __ _ ___ 137.8 Airports___________ _ ______ 6.9 Buildings ______ _ _ 86.0 Residential____________ ______ 9.6 Nonresidential3_____ _ ____ 76.4 Electrification _____ __ .7 Reclamation _____ 6.1 River, harbor, and flood control___ 16.5 Streets and highways__________ _ 10.9 Water and sewer systems ______ 2.5 Miscellaneous___ _____________ . 8.2 Non-Federal projects_________________ 815.3 Buildings.. _ _____________ ._ 496.2 183.1 Residential. _ ________________ Nonresidential _____ . . . 313.1 Farm dwellings and service buildmgs----------------------------------------135.5 121.1 Public utilities___________________ 34.5 Streets and highways_____________ State_____ _____ . . . ________ 17.0 17.5 County and municipal___ ____ 28.0 Miscellaneous__ __. ___ _____ _. Other 3_____ __ ______ __ _ _________ 147.7 93.0 Maintenance of State roads 7____ _ .__ ______ 1,064. 9 923.3 186.6 10.6 128.0 9.2 118.8 .9 6.5 15.1 11.5 3.2 10.8 736.7 413.2 166.5 246.7 840.4 694.7 216.2 15.0 133.8 17.7 116.1 .6 12.6 19.4 16.3 5.6 12.9 478.5 199.7 98.1 101.6 (3) (3) $30,011 1, 374 19,850 2,130 17, 720 126 1,350 3,313 2,138 423 1,437 (3) 112,141 (3) (3) (3) (3) $41,788 1,995 30,456 2,129 28,327 148 1,471 2,945 2, 255 553 1,965 (3) 100,408 (3) (3) 142.0 124.3 34.7 17.2 17.5 22.5 141.6 92.8 134.7 90.6 36.1 17.6 18.5 17.4 145.7 92.0 (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) Sep tember 1944 (3) (3) $43, 569 2,989 27, 244 3,673 23, 571 96 2, 848 3, 698 3, 307 927 2,460 (3) 46, 730 (3) (3) (3) (3) (3) (3) (3) (3) (3) (3) 1 Preliminary. 3 Data are for all construction workers (contract and force-account) engaged on new construction, additions and alterations, and on repair work of the type usually covered by building permits. (Force-account em ployees are workers hired directly by the owner and utilized as a separate work force to perform construction 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 forceaccount and excludes force-account workers of State and local governments, public utilities, and private firms. 3 Data not available. * Includes the following force-account employees, hired directly by the Federal Government, and their payrolls: September 1944,28,377, $5,626,000; August 1945,17,927, $3,345,000; September 1945,17,807, $3,344,000. These employees are also included under the Federal executive service (tables 2 and 3); all other workers were employed by contractors and subcontractors. 1 Employees and pay rolls for Defense Plant Corporation projects are included, but those for projects financed from RFC loans are excluded. The latter are considered non-Federal projects. 3 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. 7 Data for other types of maintenance not available. Source of data.—For construction projects financed wholly or partially 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 F ederal agency sponsor ing the project. Force-account employees hired directly by the Federal Government are also included in tables 2 and 3 under Federal executive service. Estimates of employment on non-Federal construction projects (except State roads) are obtained 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 roads projects, data represent estimates of the Public Koads Administration, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TREND OF EMPLOYMENT, EARNINGS, AND HOURS 1035 D etailed Reports for In d u strial and Business Em ploym ent, August 1945 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, 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 able 1. — E s tim a te d N u m b e r o f E m p lo y e e s in N o n a g r ic u ltu r a l E s ta b lis h m e n ts , b y I n d u s tr y D iv is io n Estimated number of employees (in thousands) Industry division August 1945 July 1945 June 1945 August 1944 Total estimated employment 1 _ ___ 36,894 37, 229 37, 549 38, 744 Manufacturing 2 M ining _ 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 _ _. _ 13,837 784 951 3,838 6,963 4,605 14,130 784 911 3,836 6,975 4, 672 14, 534 794 845 3,830 7, 004 4,589 16,023 834 700 3,818 6,918 4,582 5,916 5,921 5,953 5,869 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-emploved persons, domestic servants, and personnel of the armed forces are excluded. 2 Estimates for manufacturing have been adjusted to levels indicated by final 1942 data made available bv the Bureau of Employment Security of the Federal Security Agency. Since the estimated number of pro duction workers m manufacturing industries have been further adjusted to final 1943 data, subsequent to December 1942, the two sets of estimates are not comparable. Industrial and Business Employment Monthly reports on employment and pay rolls are available for 154 manufacturing industries and for 27 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. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1036 MONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 The employment, pay roll, hours, and earnings figures for manu facturing, mining, laundries, and cleaning and dyeing, cover produc tion workers only; but the figures for public utilities, brokerage, insur ance, and hotels relate to all employees except corporation officers and executives, while for trade they relate to all employees except cor poration officers, executives, and other employees whose duties are mainly supervisory. For crude-petroleum production they cover production workers 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 supplied by representative establishments in the 154 manufacturing industries surveyed. These reports cover more than 65 percent of the total production workers in all manufacturing industries of the country and about 80 percent of the production workers in the 154 industries covered. Data for both manufacturing and nonmanufacturing industries are based on reports of the number of employees and the amount of pay rolls for the 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 1945, and for August 1944, 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 levels indicated by final data for 1943 made available by the Bureau of Employment Security of the Federal Security Agency. The Bureau of Employment Security data referred to are (a) employment totals reported by employers under State unemployment-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, regardless 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. Furthermore, no attempt has been made to allocate among the separate industries the adjustments to unemployment-compensation data. Hence, the estimates for individual industries within a group do not in general add to the total for that group. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EMPLOYMENT AND PAY ROLLS TREND OF EMPLOYMENT, EARNINGS, AND HOURS ALL MANUFACTURING INDUSTRIES 1919 ¡9 2 0 ¡921 1922 1923 1924 1925 1926 1927 1928 1929 1930 1931 1932 1933 1934 1935 1936 1937 1938 1939 1940 1941 1942 1943 1944 1945 1946 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ____________________________________________________________________________ WAGE EARNERS AND WAGE EARNER PAY R O L L 1037 UNITED STATES DEPARTMENT OF LABOR BUREAU OF LABOR STATISTICS 1038 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 T a b l e 2 . — E s tim a te d N u m b e r o f P r o d u c tio n W o rk e rs in M a n u f a c tu r in g I n d u s tr ie s Estimated number of production work ers (in thousands) Industry __ _ _______ All manufacturing _ . ________ Durable goods1 __________ ___ ______ Nondurable goods L_ _______ __________________________ August 1945 July 1945 June 1945 August 1944 11,670 6,539 5,131 11,928 6,782 5,146 12,326 7,109 5, 217 13, 758 8, 238 5, 520 Durable goods Iron and steel and their products 1 . _ . _____ Blast furnaces, steel works, and rolling mills_____________ Gray-iron and semisteel castings. . _ __________ Malleable-iron castings... ______ _____ Steel castings------------- -- ------------------------ ---------Cast-iron pipe and fittings . . . ___________ ____ T in cans and other tinware. _ ________ Wire drawn from purchased rods . . _. ______________ Wirework.. __ _____ __ ____ ____ _ ____ Cutlery and edge tools______ _ ________ Tools (except edge tools, machine tools,.files, and s a w s )... Hardware. ... . ______ . . . ______ Plumbers’ supplies . . . . __________________ Stoves, oil burners, and heating equipment, not elsewhere classified. _________ _______ ___ . . . Steam and hot-water heating apparatus and steam fittings. Stamped and enameled ware and galvanizing _ . ___ Fabricated structural and ornamental metalwork . . . . . Metal doors, sash, frames, molding, and trim__ Bolts, nuts, washers, and rivets________ Forgings, iron and steel. _ ... Wrought pipe, welded and heavy riveted . . . _ Screw-machine products and wood screw s... _ Steel barrels, kegs, and drums . . . . ____ _____ Firearms._ _ _ 1, 444 456. 8 68.7 22.8 58.0 14.7 40.3 29.5 29.8 22.1 24.5 41.6 20.9 1,503 461.7 70.0 23.1 60.6 15.1 42.3 29.3 30.1 21.7 25.3 42.4 21.8 1,577 470.0 71.4 24.2 64.2 16.0 42.3 31.1 31.8 22.9 26.2 44.5 22.2 1, 703 ' 482.0 73.0 24. 7 73.5 15. 5 42.0 32. 5 35.3 22. 7 27.2 46 2 23.0 55.8 45.4 76.6 50.1 7.7 21.7 30.1 21.9 35.8 8.3 16.8 57.0 47.9 80.4 55.1 8.7 22.3 30.5 21.6 37.5 8.2 19.3 58.4 50.1 83.5 59. 7 8.8 23.1 33.0 22.6 39. 7 8.5 24.0 64.0 55.5 89.6 74 5 13. 5 26. 2 35. 5 25. 8 44 2 7. 4 43.7 615 375.1 98.4 92.4 636 385. 3 105.4 94.5 668 403.1 110.3 101.1 745 449 6 124. 5 110.4 Machinery, except electrical C . ______ _ Machinery and machine-shop products Engines and turbines__________ Tractors_____ ______ . Agricultural machinery,excluding tractors Machine tools . . ____ Machine-tool accessories Textile machinery Pumps and pumping equipment . _ Typewriters Cash registers, adding and calculating machines Washing machines, wringers and driers, domestic Sewing machines, domestic and industrial Refrigerators and refrigeration equipment 1,039 398.9 57.5 51.4 39.5 66.6 57.8 24.5 62.5 12.8 26.9 10.9 9.6 43.8 1,069 410.1 59.7 53.3 40.8 68.8 58.6 24.9 64.3 12.8 26.8 11.1 10.0 45.8 1,106 424.1 61.9 54.2 41.6 71.5 61.3 25.8 66.4 13.0 28.3 11. 5 10.3 47.6 1,204 460. 6 70.3 58. 7 44. 5 76.0 66 5 26.6 77.0 11. 4 32. 2 13 2 9. 5 52.9 Transportation equipment, except automobiles 1 Locomotives___________ Cars, electric- and steam-railroad Aircraft and parts, excluding aircraft engines Aircraft engines. Shipbuilding and boatbuilding Motorcycles, bicycles, and parts. 1,439 30.5 55.4 444.7 149.9 656.3 8.4 1,526 30.9 57.9 472.8 166.2 691.0 9.2 1,628 32.3 58.2 509.3 173. 4 738 7 9.5 2, 273 35.8 57.8 687.6 240 8 1,092.0 9.3 Electrical machinery 1 _ ________________ Electrical equipment . . . . . . _ ... Radios and phonographs._ __ Communication e q u ip m e n t...______ Automobiles ____ 545 582 621 709 Nonferrous metals and their products 1 Smelting and refining, primary, of nonferrous metals Alloying and rolling and drawing of nonferrous metals, except aluminum . _ Clocks and watches. Jewelry (precious metals) and jewelers’ findings Silverware and plated ware Lighting equipment. . . ___ Aluminum manufactures Sheet-metal work, not elsewhere classified 367 37.9 371 38.2 396 38.9 421 47.2 62.8 22.7 13.0 10. 5 21.8 59.2 30.8 63.1 22.6 12.9 10. 5 23.1 61.2 29.9 68.1 24.3 13.2 10.9 25.4 66. 8 31.1 69. 5 25.9 13.8 10. 7 27.1 69. 6 32.8 Lumber and timber basic products 1 Sawmills and logging camps .. . . Planing and plywood mills See footnote at end of table. 452 215.1 66.3 453 215.1 67.4 458 217.1 67.9 500 240.1 71.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TREND OF EMPLOYMENT, EARNINGS, AND HOURS T able 2 . — E s tim a te d N u m b e r o f P r o d u c tio n 1039 W o rk e rs in M a n u f a c tu r in g I n d u s t r i e s 1— Continued Estimated number of production work ers (in thousands) Industry August 1945 July 1945 June 1945 August 1944 Durable goods—Continued Furniture and finished lumber products L . Mattresses and bedsprings______________ F u r n itu r e ..._____ __ . ___________ Wooden boxes, other than cigar__ ____ Caskets and other morticians’ goods. Wood preserving.. _ . . . _ . ___ Wood, turned and sh a p e d ._____ _____ _ 317 17.4 141.1 24.9 11.6 10.0 21.0 321 16.9 143.9 25.7 11.8 10.0 20.8 329 17.7 147.5 26.1 11.8 10.0 21.2 348 17.4 157.2 28.1 12.7 10.4 22.0 Stone, clay, and glass products 1___________ ______ . . . . _ 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. . Lime____ _______ _____ . Marble, granite, slate, and other products_________ A brasives... __________ ________ _______ . . . Asbestos products__________ ___________________ . _ 321 87.2 10.0 18.3 41.6 37.7 4.1 9.1 7.5 13.1 19.8 18.8 321 86.3 10.7 17.5 41.7 37.5 4.0 9.3 7.5 13.1 20.5 19.1 326 88.4 11.0 16.9 41.5 38.6 4.0 9.3 7.6 13.1 21.2 19.3 335 90.0 10.2 17.5 43.0 41.1 4.0 9.9 8.3 13.5 21.1 20.5 Textile-mill products and other fiber manufactures L . Cotton manufactures, except smallwares _ ________ Cotton smallwares.. . ______ _ __ _______ . ________ __ ______ _ 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 tw ine__________ _ . . . . . . _ _______ 1,031 407.3 13.0 85.0 1,034 408.9 13.0 84.5 1,055 413.8 13.4 86.4 1,098 431.4 13.0 88.7 134.3 95.5 9.7 25.9 32.7 55.8 18.8 9.0 3.2 14.3 135.1 94.8 9.9 26.1 33.2 56.5 19.0 8.6 3.2 14.2 140.4 97.0 10.1 27.4 33.6 57.2 19.5 8.9 3.2 14.3 144.8 104.4 10.3 28.5 35.2 59. 5 20.2 9.1 3.3 15.1 Apparel and other finished textile products 1_________. . . ____ M en’s clothing, not elsewhere classified _. . . _______ . . Shirts, collars, and nightwear___ _ . . . _____ _ _______ Underwear and neckwear, men’s . ______________ _______ ____ Work s h ir t s .______ . ______ _____ W omen’s clothing, not elsewhere classified... _ ___ _. Corsets and allied garments.. ................. . . . _ M illinery___ ____ _________ . . __________ ________ Handkerchiefs . . . . . . . ____ __ ... Curtains, draperies, and bedspreads . . ___ . . . . ____ _ . .. Housefurnishings, other than curtains, etc_________ Textile bags___ ______ _____________________ . . . _____ 781 185.9 47.5 11.3 14.0 190.4 13.3 17.4 2.5 10.2 10.7 14.5 761 188.0 48.0 11.6 14.2 175.4 13.3 16.3 2.5 10.2 10.8 14.6 807 196.3 48.5 11.9 14.5 193.8 14.0 16.0 2.4 10.7 11.2 14.9 873 210.5 52.1 12.0 15.0 214.6 14.5 19.0 2.8 13.3 10.8 14.2 Leather and leather p r o d u c t s . . . ____________________ __ Leather____ _ __ ._ ___________________ . . . _________ Boot and shoe cut stock and findings______ _. _____ Boots and shoes. . . ___. . . ________ Leather gloves and mittens_____ _________ . . . _ ... Trunks and suitcases___ _______ ______ ___ _ _ 308 38.2 16.3 169.1 » 11-3 13.0 307 38.4 16.1 169.3 11.3 12.8 312 39.1 16.2 171.5 11.7 12.7 316 40.0 16.0 173.8 12.6 12.3 F o o d 1. ____________________________________ Slaughtering and meat packing__________ _____ . . . B utter. ---- ----------------- _ _________ _ _ ____ . . . . . . Condensed and evaporated m i l k __ . _ Ice cream. ___ ______ _ _____ . Flour___ . . . ______ ___ __ . . Feeds, prepared— _____ _______ _ _ ____________ . . . Cereal preparations___ . ... ._ __________ Baking_____ ._ ___ . . . __________ _ Sugar refining, cane_______________________________ . . Sugar, beet____________________ .... . . . . _ Confectionery___________ ____ _____________________ Beverages, nonalcoholic___________________ ______ M alt liquors__ . . . ________ . . _____ .... Canning and preserving.. _______ _ ___________________ 1,065 124.3 24.6 15.8 17.3 30. 6 22.2 9.5 248.9 13.0 5.0 50.2 26.2 53.8 179.1 1,051 127.4 25.4 16.2 17.7 30.1 22.2 9.3 250.1 13.2 4.4 49.0 26.5 52.9 166.4 997 127.7 25.3 16.4 16.9 29. 6 22.4 9.3 254.7 14.0 4.3 53.7 26.4 51.6 106.0 1,177 156.3 24.0 15.1 17.3 28. 3 20.3 9.1 258.5 15.4 4. 8 56.6 31.6 53.5 219.7 Nondurable goods See footnote at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1040 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 2 . — E s tim a te d N u m b e r o f P r o d u c tio n W o rk e rs in M a n u f a c tu r in g I n d u s t r i e s 1— Continued Estimated number of production workers (in thousands) August 1945 July 1945 June 1945 August 1944 Nondurable goods—Continued Tobacco manufactures1____________ ________ Cigarettes______ . . ____ _________________ Cigars___ _________________________ . Tobacco (chewing and smoking) and s n u ff ........... 79 33.9 31.4 8.4 78 33.9 30.5 8.4 80 33.9 33.0 8.3 82 34.9 34.4 7.9 Paper and allied products1_____ Paper and p u lp .. ______ Paper goods, other_____________ Envelopes___ _____ Paper bags_______________ Paper boxes________ ___ _ 303 143.1 42.1 9.2 11.7 75.8 302 142.1 41.9 9.2 12.3 75.3 308 144.2 43.4 9.4 12.7 76.7 315 146.8 44.8 9.5 13.6 78.5 Printing, publishing, and allied industries 1_____________ Newspapers and periodicals_____________________ . Printing, book and job_____________'.. . . Lithographing___ ______ . Bookbinding___________ 321 110.0 132.5 24.1 26.7 317 107.4 131.1 24.2 26.7 320 109.4 131.1 24.1 27.3 324 110.2 133.3 24.8 27.9 Chemicals and allied products 1_____ Paints, varnishes, and colors________ Drugs, medicines, and insecticides___ _ Perfumes and cosmetics. _. . Soap_________ _____ Rayon and allied products__________ Chemicals, not elsewhere classified.. . Explosives and safety fuses.. Compressed and liquefied gases......... .............. Ammunition, small-arms... . Fireworks____________ Cottonseed oil_____ ._ Fertilizers___________________ 548 29.0 49.6 12.5 12.9 53.1 112.2 80.2 5.9 35.8 16.6 11.6 19.9 587 28.9 50.0 12.4 13 0 53.7 113.0 87.6 5.9 57.4 17.5 11.6 19.6 612 29.0 50.2 12.3 13.1 53.8 114.7 94.6 6.0 64.3 20.0 12.0 20.9 589 30.0 50.0 12.1 13.5 53.1 118.3 81.2 6.1 47. 3 29.1 12.4 19.1 Products of petroleum and coal L . Petroleum refining. Coke and byproducts______ Paving materials_______ Roofing materials........ ............ ........... 135 92.9 22.0 1.7 9.3 135 93.0 21.8 1.8 9.4 134 92.7 21.8 1.7 • 9.4 135 91.4 23.2 1.8 9.6 Rubber products >______ Rubber tires and inner tubes____ Rubber boots and shoes________ Rubber goods, other____________ 179 86.3 16.7 64.4 183 87.7 16.8 66.2 188 90.2 17.0 67.9 195 91.2 19.5 71.2 Miscellaneous industries 1 Instruments (professional and scientific), and fire-control equipment____ Photographic apparatus___________ Optical instruments and ophthalmic goods Pianos, organs, and parts____ Games, toys, and dolls____ Buttons___ . Fire extinguishers.,___ 381 388 404 416 49.7 26.7 21.2 7.4 14.0 8.9 4.1 52.3 26.8 20.8 7.7 14.4 9.0 4.2 56.6 27.0 22.7 8.0 15.1 9.2 4.3 61.6 28.8 23.8 6.3 17.0 9.1 5.6 1 Estimates for the major industry groups have been adjusted to levels indicated by the final 1943 data made available by the Bureau of Employment Security of the Federal Security Agency and should not be compared with the manufacturing employment estimates of production workers plus salaried employees appearing in table 1. Data for 15 major groups are not comparable with data published in mimeographed releases dated prior to September 1945 or the October 1945 issue of the M onthly Labor Review. Comparable data from January 1939 are available upon request. Five major groups, Furniture and finished lumber products, Stone, clay and glass products, Tobacco manufactures, Chemicals and allied products, and Prod ucts of petroleum and coal, needed no further adjustment and are therefore comparable with the data Pre^Jously published. 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, the sum of the individual industry estimates will not agree with totals shown for the major industry groups. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1041 TREND OF EMPLOYMENT, EARNINGS, AND HOURS T a b l e 3 . — I n d e x e s o f P r o d u c tio n -W o r k e r E m p lo y m e n t a n d P a y R o lls in M a n u f a c tu r in g I n d u s tr ie s Employment indexes (1939 average=100) Pay-roll indexes (1939 average=100) Industry Aug. 1945 All manufacturing 1___________ __________ Durable goods 1 _____________________ Nondurable goods1___________________ July 1945 June 1945 142.5 181.1 112.0 145.6 187.8 112.3 150.5 196.9 113.9 Aug. 1944 Aug. 1945 167.9 228.1 120.5 257.5 325.5 191.0 July 1945 286.5 372.7 202.2 June 1945 Aug. 1944 302.5 399.8 207.3 335.0 465.4 207.5 Durable goods Iron and steel and their products '_________ Blast furnaces, steel works, and rolling m ills__________ . _______________ Gray-iron and semisteel castings_______ Malleable-iron castings____________ . . . Steel castings__________________ ______ Cast-iron pipe and fittings_____ _______ T in cans and other tinware____________ Wire drawn from purchased rods______ Wire work___________________________ Cutlery and edge tools______ _____. . . Tools (except edge tools, machine tools, files, and saw s)-. _______ - Hardware___________________________ Plumbers’ supplies___________________ Stoves, oil burners, and heating equipment, not elsewhere classified________ Steam and hot-water heating apparatus and steam fittings - _____________ Stamped and enameled ware and galvanizing___ ___ ___ _ ___ _______ Fabricated structural and ornamental metalwork____________ _____ ___ Metal doors, sash, frames, molding, and trim _ _ - - . ....................... Bolts, nuts, washers, and rivets__ Forgings, iron and steel______________ Wrought pipe, welded and heavy riveted-.- ___________ _______ Screw-machine products and wood screws___________ ____ ____ _________ Steel barrels, kegs, and drums_________ F irea rm s___________________________ 145.6 151.6 159.1 171.7 247.0 279.2 298.5 316.5 117.6 117.5 126.5 192.7 89.1 126.9 134.4 98.0 143.5 118.9 119.8 127.9 201.3 91.4 133.0 133.2 99.1 140.8 121.0 122.2 134.0 213.3 96.7 133.2 141.6 104.6 148.7 124.1 125.0 136.7 244.4 93.7 132.1 148.1 116.1 147.5 197.3 216.9 213.5 311.4 160.2 206.7 208.4 176.1 260.7 215.3 239.9 249.5 349.3 183.6 231.8 217.4 196.0 291.5 222.8 250.0 277.7 386.9 198.5 229.8 231.4 204.2 306.4 222.7 245.4 279.7 455.9 178.4 221.5 243.5 231.5 304.6 160.3 116.7 84.7 165.2 119.0 88.4 171.4 124.9 90.1 177.4 129.7 93.3 282.0 212.7 136.2 311.9 242.3 159.7 326.4 261.3 164.0 331.4 261.8 170.3 Electrical machinery '_ ________ _________ Electrical equipm ent.- _________ . Radios and phonographs___ __________ Communication equipment___________ 237.5 207.5 226.1 287.8 Machinery, except electrical '_____________ Machinery and machine-shop products.. Engines and turbines_________________ Tractors.._______________ ________ Agricultural machinery, excluding tractors_____ ______________ _________ Machine tools____ . . . . _ ______ Machine-tool accessories______ ________ Textile machinery. - _. ............. ... Pumps and pumping equipm ent_____ . Typewriters____ ______ . . . _________ Cash registers, adding and calculating machines____________ . . . ______ Washing machines, wringers and driers, domestic_____ _ . ________________ Sewing machines, domestic and industrial____________ ___ ____ - _____ Refrigerators and refrigeration equipm ent______ ______ . . ___ 196.7 197.1 308.1 164.4 142.1 181.8 229.6 111.7 257.9 78.8 121.1 123.6 126.6 138.7 202.4 231.9 242.3 256. 2 149.7 158.0 165.2 183.2 257.7 292.2 320.4 344.9 137.8 144.8 150.4 161.3 245.3 282.3 304.1 324.4 141.1 155.0 168.0 209.8 239.7 278.8 317.8 411.2 99.8 151.5 195.9 113.0 156.2 198.5 113.4 161.7 214.9 173.9 182.8 231.2 169.6 287.9 314.3 217.0 293.8 374.9 222.2 326.7 422.4 319.6 354.3 441.0 261.4 258.0 270.1 308.3 551.0 ■565. 5 593.6 604.1 211.7 136.9 336.8 221.8 135.2 385.8 234.5 139.2 479.3 261.1 121.2 873.5 375.4 237.3 662.8 427.3 463.5 512.1 288.0 308.5 238.6 847.0 1057.0 1995.6 245.6 213.2 242.2 294.2 257.9 223.0 253.5 314.9 287.3 248.7 286.2 343.7 396.6 344.6 390.0 478.2 445.0 387.0 463.4 507.3 474.0 415.1 486.3 532.2 515.3 455.6 534.1 551.9 202.2 202.7 319.8 170.6 209.3 209.6 332.0 173.2 227.9 227.7 376.8 187.5 327.7 323.6 531.8 249.9 371.6 365.9 640.6 271.9 393.9 386.4 679.9 278.2 424.5 415.1 786.3 291.0 146.9 187.7 233.1 113.8 265.1 78.7 149.5 195.2 243.7 118.0 274.0 80.4 160.1 207.4 264.2 121.3 317.9 70.5 259.4 303.9 336. 4 191.3 512.3 132.1 297.5 328.8 388.3 210.9 542.8 159.4 306.3 353.4 421.5 227.7 584.7 167.7 319.1 369.2 449.8 220.6 669.3 140.1 136.4 136.0 143.9 163.4 231.1 266.4 278.5 319.6 146.6 148.7 153.6 177.4 242.9 259.6 281.8 310.7 122.3 127.0 131.1 120.8 235.4 262.6 271.4 249.4 124.4 130.3 135.3 150.5 168.8 228.7 242.6 276.7 Transportation equipment, except automob iles'______ _________ ______ __________ 906.6 961.1 Locomotives.. ____ __________ . 471.6 477.7 Cars, electric- and steam-railroad. . . 226.0 236.1 Aircraft and parts, excluding aircraft engines____ _______ ______________ 1120.9 1191.7 Aircraft engines__________________ ___ 1685.6 1869. 5 Shipbuilding and boatbuilding.. . . . . . 947.9 997.9 Motorcycles, bicycles, and parts_______ 120.2 131.8 A utom obiles'____________ See footnote at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis . . . _________ 135.4 144.6 1025.4 1432. 3 1713.8 1999.9 2152.8 2982,1 499.7 552.8 856.3 1017.1 1086. 4 1279. 0 237.3 235.7 396.1 450.9 472.0 458.3 1283. 6 1733.1 1917.2 2310.4 2546.2 3334.4 1949. 7 2708. 5 2359. 5 3042. 5 3231. 9 4819. 7 1066.8 1577.1 1952. 4 2193.4 2327.7 3379.1 135.9 133.8 216.6 251.3 257.6 242.7 154.3 176.2 178.1 243.7 272.6 319.0 1042 M ONTHLY L A B O R R E V IE W — N O V E M B E R 194 5 T a b l e 3 . — I n d e x e s o f P r o d u c tio n -W o r k e r E m p lo y m e n t a n d P a y R o lls in M a n u fa c tu r in g I n d u s tr ie s — C o n tin u e d Employment indexes (1939 average=100) Pay-roll indexes (1939 average=100) Industry Aug. 1945 July 1945 June 1945 Aug. 1944 Aug. 1945 July 1945 June 1945 Aug. 1944 Durable goods—Continued Nonferrous metals and their products 1_____ Smelting and refining, primary, of nonferrous m etals_______________ _______ Alloying and rolling and drawing of nonferrous metals, except aluminum_____ Clocks and watches___________________ Jewelry (precious metals) and jewelers’ fin d in g s..__________________________ Silverware and plated ware____________ Lighting equipment__________________ Aluminum manufactures______________ Sheet-metal work, not elsewhere classified 160.1 162.0 172.7 183.6 282.7 302.7 327.0 137.1 138.3 140.6 170.8 257.1 267.5 262.1 315.1 161. 6 111.9 162.6 111.5 175.5 119.9 179.0 127.7 292. 3 209.9 293.8 234.2 328.4 251.7 336. 6 265.8 90.2 86.8 106.2 251.3 164.2 89.6 86.7 112.7 260. 0 159.4 91.2 90.0 124.2 283.5 166.0 95.2 88. 5 132. 6 295.6 175.2 147.0 151.4 139. 0 416.8 284.4 149.5 152.9 204.0 449.9 306.7 162.6 162.1 232.2 497. 4 323.8 149.0 157.8 234.0 521.9 321.7 342.9 Lumber and timber basic products1_______ Sawmills and logging camps_____________ Planing and plywood m ills______________ 107.5 74.7 91.3 107.9 74.7 92.7 108.9 75.4 93.4 118.8 83.4 97.7 189.0 133. 8 148.4 192.9 133.9 160.0 209.6 147.6 167.4 227.1 164.8 165.2 Furniture and finished lumber products i . . . Mattresses and bedsprings____________ Furniture______________ _____________ Wooden boxes, other than cigar________ Caskets and other morticians’ goods____ Wood preserving_____________________ Wood, turned and shaped____- ________ 96.6 94.8 88.6 98.1 93.3 88.8 95.6 98.0 92.2 90.4 101.3 94.6 88.5 94.7 100.2 96.3 92.7 102.9 95.0 88.7 96.5 106. 0 94.8 98.8 110.9 1C2. 0 92.8 99.8 165.6 158.7 150.4 186.7 133.9 187.5 165.3 181.3 163.9 165.7 205.5 164. 3 194.2 173.6 189.1 176.1 173. 3 212.4 165.0 197.5 180.3 194.7 161.3 181.0 220.1 177.8 201.0 180.6 Stone, clay, and glass products i___________ 109.3 Glass and glassware___________________ 124.9 Glass products made from purchased glass_______________________________ 99.8 Cement_________________ _____ ...___ 76.9 Brick, tile, and terra cotta______ ______ 73.2 Pottery and related products____ ____ 113.9 Gypsum_______ ._____________________ 82.1 Wallboard, plaster (except gypsum ), and mineral wool_______________________ 112.3 Lime________________________________ 79.0 Marble, granite, slate, and other prod u c ts .-:____________________________ 70.6 Abrasives____________________________ 255.8 Asbestos p ro d u cts..._________________ 118.4 109.3 123. 6 111.0 126.6 114.1 129.0 181.7 192.0 187.7 193.5 192.0 200.8 191.1 204.3 106.6 73.4 73.4 113.2 80.9 109.7 71.1 73.0 116.5 81.9 101.4 73.4 75.7 124.1 80.0 166.6 128.4 118.2 173.3 136.7 180.9 127. 5 127.4 176.3 141.2 190.2 120.8 126.2 186.1 142.8 168.9 117.8 124.1 193. 0 140.7 114.6 78.9 114.1 80.2 121.9 87.2 200.1 158.7 221.3 163.0 213.8 164.3 218.8 171.1 70.7 265. 4 120.0 70.7 273. 5 121.3 72.9 273.0 128.7 102.4 443.6 242.5 114.1 458.1 252.8 114.4 492.0 254.8 112.2 453.4 253.1 Nondurable goods Textile-mill products and other fiber manu factures i ______________________________ 90.2 Cotton manufactures, except smallwares__________ ____________________ 102.9 Cotton smallwares____________________ 97.9 Silk and rayon goods__________________ 70.9 Woolen and worsted manufactures, ex cept dyeing and finishing_________ .... 90.0 Hosiery______________________________ 60.0 Knitted cloth__ ______________________ 89.0 Knitted outerwear and knitted gloves. _. 92.2 Knitted underwear___________________ 85.0 Dyeing and finishing textiles, including woolen and worsted_________________ 83.5 Carpets and rugs, wool________________ 73.6 Hats, fur-felt______________________ . . . 61.9 Jute goods, except felts___________ ____ 90.1 Cordage and tw ine___________________ 118.3 Apparel and other finished textile products L . M en’s clothing, not elsewhere classified.. Shirts, collars, and nightwear___________ Underwear and neckwear, men’s_______ Work shirts__________________________ Women’s clothing, not elsewhere classi fied________________________________ Corsets and allied garments____________ M illinery____________________________ Handkerchiefs________________________ Curtains, draperies, and bedspreads.___ Housefurnishings, other than curtains, etc________________________________ Textile bags___________ ______________ See fo o tn o te a t end o f table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 90.4 92.2 96.0 159.4 169.9 174.6 170.4 103.3 97.8 70.5 104.5 100. 6 72.1 108.9 97.3 74.1 193.5 182.3 133.9 209.8 187.2 138.4 210.3 198.4 142.1 203.7 173.9 133.7 90.5 59.6 90.4 92.7 86.0 94.1 61.0 92.1 97.6 87.2 97.0 65.7 94.1 101. 5 91.3 167.2 89.0 155.0 161.5 153.1 177.2 93.7 163.6 172.3 162.0 186.7 100.0 168.6 189.4 166.4 181.1 105.5 160.0 181.9 163.3 84.4 74.1 59.2 88.9 117.5 85.6 76.2 61.3 89.4 118.0 88.9 78.9 62.7 92.5 124.9 139.6 111.6 113.6 174.4 217.2 145.0 131.1 109.6 171. 5 227.5 147.3 137.4 112.5 176.0 230.4 146.2 134.5 116.1 173. 7 229.3 98.9 85.0 67.5 70.1 103.9 96.4 86.0 68.2 71.6 105.4 102.2 89.8 68.9 73.4 107.8 110.5 96.3 74.0 74.3 111.8 157. 3 135.0 110.7 124. 1 187.2 167.5 151.5 123.7 145. 5 197.2 183.1 164. 2 125.8 153. 7 208.0 190.9 160.6 127. 5 142.1 208.5 70.1 71.0 71.5 51.2 60.5 64.6 71. 0 66.9 50.7 60.6 71.3 74.5 65.9 50.5 63.3 79.0 77.1 78.1 58.8 78.5 108. 4 116.7 109. 6 94.3 117.2 109.2 122.6 106.3 93.2 121.2 125.1 134.6 91.4 96.2 135. 8 139.6 129.8 129.3 103.8 142.3 100.8 121.3 102.1 122.0 105.7 124.3 101.6 118.2 175.6 193.6 183.7 207.7 195.6 212.9 185.1 195.3 TREND T a b l e 3. OF E M P L O Y M E N T , E A R N IN G S , A N D 1043 HOURS I n d e x e s o f P r o d u c tio n -W o r k e r E m p lo y m e n t a n d P a y R o lls in M a n u fa c tu r in g I n d u s tr ie s — C o n tin u e d Employment indexes (1939 average=100) Pay-roll indexes (1939 average=100) Industry Aug. 1945 Nondurable goods—Continued Leather and leather products1 Leather Boot and shoe cut stock and findings Boots and shoes. __ Leather gloves and m ittens_____ Trunks and suitcases. . Food i______ . . . Slaughtering and meat packing Butter______ _ Condensed and evaporated milk Ice cream_______ Flour_________ Feeds, prepared... Cereal preparations__ Baking_______ Sugar refining, ca n e.. . . Sugar, beet______ Confectionery___ Beverages, nonalcoholic_____ M alt liquors_____ Canning and preserving.. _ Tobacco manufactures 1 . C igarettes... . . . Cigars______ Tobacco (chewing and smoking) and snuff______ Paper and allied products 1______ Paper and pulp____ Paper goods, o t h e r ______ Envelopes_______ Paper bags__________ ____ Paper boxes____ . . . _ Printing, publishing, and allied industries L Newspapers and periodicals________ Printing, book and job_______________ Lithographing_______________ B o o k b in d in g ..._____ Chemicals and allied products L....... Paints, varnishes, and colors__________ Drugs, medicines, and insecticides Perfumes and cosmetics____________ Soap________ Rayon and allied products__________ Chemicals, not elsewhere classified_____ Explosives and safety fuses______ Compressed and liquefied gases________ Ammunition, small-arms____________ Fireworks___________ Cottonseed oil______ Fertilizers_________ Products of petroleum and c o a l1____ Petroleum refining________ . . Coke and byp rod ucts_________ Paving materials_____ Roofing materials_____ . . . . . . ___ Rubber products L „ ___ . Rubber tires and inner tubes. ___ Rubber boots and shoes__ .. ... . Rubber goods, other______ Miscellaneous industries 1______ Instruments (professional and scientific) and fire-control equipment____ ___ Photographic apparatus._. Optical instruments and ophthalmic goods________ _ ______ . . ___ Pianos, organs, and p arts... _____ _ Games, toys, and dolls______ . ____ B uttons____ ______________________ Fire extin guishers. . . . . . . 88.6 80. f 86.3 77.6 113. E 156.4 124.6 103.2 137.1 162.6 109.9 123.7 144.3 126.8 107.9 92.1 48.2 101.0 123.0 149.1 133.2 84.2 123.5 61.6 July 1945 June 1945 Aug. 1944 88.5 81.2 85.5 77.7 113.3 153.3 123. 3 105.7 141.4 166.7 112.9 121.4 144.0 124.4 108.4 93.3 41.9 98.6 124.8 146.7 123.7 83.2 123.5 59.9 89.8 82.7 86.0 78.7 116.8 152.2 116.7 106.0 141.2 169.2 107.9 119.3 145.1 124.7 110.4 99.1 41.6 108.0 124.4 143.1 78.8 85.9 123.5 64.8 91.0 157.0 84.6 141.2 85. 1 141.8 79.7 141.2 125.7 181.9 147.7 240.5 137.7 198.6 129.7 158.2 133.5 226.3 155. 7 280.5 110.1 161.5 114.1 210.1 132.0 244.6 122.0 225. 6 112.0 170.9 108.9 139.2 45.7 72.8 113.8 165.7 148.8 166.6 148.2 224.2 163.4 248.0 88.2 150.3 127.2 197.6 67.6 114.6 Aug. 1945 July 1945 June 1945 Aug. 1944 165.0 146. 6 147.7 149.0 201.8 245.5 205.8 175.0 236.4 296.5 169.0 218.3 259.4 225.9 174.6 145.1 65.8 164.2 177.7 230.7 249.9 151.4 200. 5 114.6 170.3 149. 3 152.5 154.1 211.9 255.9 196.4 177.9 231. 1 302.2 156. 0 211.0 258.4 231.0 174.1 155.1 65.1 187. 4 169.7 219.9 156. 9 164.1 204.4 136.8 158.2 146. 2 140.4 140. 2 221. 8 230.6 215. 5 210. 7 205. 2 255.3 157.9 190.2 221. 5 208.3 167.5 172.5 64.9 188. 3 206.4 223.9 306.2 157.5 195.9 133.4 91.5 91.3 90.5 86.0 149.0 148.8 150.2 135. 6 114.2 113.7 116.0 118.8 184.6 193.5 197.7 194.0 104.1 103.4 104.9 106.8 171.7 180.7 183.8 180.6 111.9 111.4 115.2 119.0 179.7 181.8 192.5 187.3 105.4 105.8 108.3 109.5 160.4 165.5 172.0 165.4 105.2 110.7 115.0 122.4 180.2 198.5 198.2 199.6 109.6 108.9 110.9 113.5 171.1 180.6 182.8 178.8 98.0 96.8 97.5 98.9 140.0 137.8 139.6 135. 0 92.7 90.5 92.2 92.9 128.1 119.7 121.7 118.4 104.9 103.8 103.8 105.5 153.0 155.1 155.6 149.4 92.8 93.2 92.6 95.2 130.6 134.6 137.5 132.3 103.5 103. 5 106.0 108.4 173.5 178.3 1S6.3 182.9 190.0 203.7 212.5 204.3 325.7 363.0 381.3 356.6 103.0 102.9 103.1 106.4 163.0 168.8 171.2 169.1 181.1 182.5 183.1 182.4 270.7 272.6 283.7 265.2 120.5 119.8 118.4 116.9 164.9 176.9 171.4 161.6 95.3 95.5 96.6 99.5 160.1 157.8 163.1 165.8 110.0 111.2 111.4 110.0 181.6 184.3 185.5 175.7 161.2 162.4 164.8 170.0 288.2 291.8 298.5 295.1 1105. 4 1207. 2 1304.3 1119.1 1607.4 1879.8 1984. 3 1725.0 148.2 148.4 150.3 153.8 266.6 270.2 264.6 271.7 839.7 1345. 7 1507.7 1109.6 1345.0 2636.2 3037.4 2224.8 1437. 7 1510.1 1729. 8 2516.4 3698.2 4070. 7 4789.5 6578.7 76.3 76.2 79.3 81.4 145.1 150.8 164.3 153.7 106.2 104.4 111.5 101.5 241.8 247.4 258.8 226.6 127.3 127.4 126.8 127.4 226.9 233.4 229.5 220.9 127.6 127.6 127.3 125.5 223.6 227.7 224.4 214.0 101.5 100.5 100.3 107.0 184.4 190.8 189.9 186.8 70.4 72.4 69.8 74.3 135.9 149.5 144.3 152.5 116.0 117.2 116.3 119.7 205. 5 216.9 218.3 218.0 148.4 151.1 155.2 161.2 249.5 281.3 287.3 291.0 159.3 162.1 166.7 168.5 249.7 286.8 293.8 294.3 113.0 113.1 114.5 131.4 211.6 214.9 217.1 233.4 124.4 127.8 131.2 137.5 212.8 237.5 242.7 247.1 155.8 158.5 165.0 170.0 280.3 300.9 323.8 319.9 449.4 154.6 473.3 154.9 511.7 156.5 557.1 166.6 797.9 250.1 835.0 259.6 987.6 1031.9 262.5 270.8 182.1 96.7 74.9 80.8 411.3 178.8 101.7 77.2 82.4 420.7 195.6 105.2 81.1 83.5 435.5 205.2 83.4 91.2 82.7 560.0 283.0 164.2 119.0 147.0 786.8 294.0 197.9 151.2 166.0 910.5 335.6 341.3 207.4 158.5 161.9 181.5 171.0 153.8 988.6 1076. 2 1 Indexes for the major industry groups have been adjusted to levels indicated by the final 1943 data made available by the Bureau of Employment Security of the Federal Security Agency. Indexes for 15 major groups are not comparable with those published in mimeographed releases dated prior to September 1945 or the October 1945 issue of the M onthly Labor Review. Comparable indexes from January 1939 available upon request. Five major groups, Furniture and finished lumber products, Stone, clay and glass products, Tobacco manufactures, Chemicals and allied products, and Products of petroleum and coal, needed no further adjustment and are therefore comparable with the data previously published. 6 7 0 1 1 9 — 45— 14 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1044 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 4.— E s tim a te d N u m b e r o f P r o d u c tio n W o r k e r s in S e le c te d N o n m a n u fa c tu r in g I n d u s tr ie s Estimated number of production workers (in thousands) Industry August 1945 Mining: Anthracite - ___ - _____ -Bituminous coal ______________ _ M etal ________ _ ____________ Iron __ _____ ____ ___ _____ _________ _ Copper Lead and z in c __ ___ _ ___________ ___ Gold and silver __ _ _ ___ Miscellaneous, _ _ __ _ ________ Telephone A ________ _ ___ _ _ Telegraph 3__ ______ _ _ ________ _ Electric light and power i _ _ ............................................. Street railways and busses 1___ _________ ____ Hotels (year-round)1___ __ __ Power laundries, ______ __ _ _______ _ Cleaning and dyeing _ ___ _ Class I steam railroads 3___ ___ ________ , Water transportation9................... _ _ __ June 1945 July 1945 64.3 323 65.8 24.1 20.2 13.6 5.2 2.7 (2) 44.9 204 226 353 64.1 323 64.5 24.1 19.4 13.2 5.2 2. 6 (9 45.0 205 227 354 « 65.3 331 67.0 24.2 20.9 14.0 5.2 2.7 64.5 352 75.4 27.1 23.8 15.4 5.6 3.5 (9 (9 (9 (9 (9 (9 44.4 202 227 353 (9 (9 (9 46.2 203 230 353 1,449 134 1,454 ' 159 1,451 163 1,449 ' 164 August 1944 1 Data include salaried personnel. 2 N ot available. 3 Excludes messengers, and approximately 6,000 employees of general and divisional headquarters, and of cable companies. Data include salaried personnel. 4 The change in definition from “wage earner” to “production worker” in the power laundries and clean* ing and dyeing industries results in the omission of driver-salesmen. This causes a significant difference in the data. N ew series are being prepared. 8 Source: Interstate Commerce Commission. Data include salaried personnel. 6 Based on estimates prepared by the U. S. Maritime Commission covering employment on active deepsea American-flag steam and motor merchant vessels of 1,000 gross tons and over. Excludes vessels under bareboat charter to or owned by the Army or N avy. T a b l e 5 . — I n d e x e s o f E m p lo y m e n t a n d P a y R o lls in S e le c te d N o n m a n u fa c tu r in g I n d u s tr ie s Employment indexes (1939 average=100) Industry Mining: Anthracite, _ _ _ _ _ _ _ _ _ __________ Bituminous coal __ __ M etal____________ ___ _ _ Iron ___________ __ _ _ _ Copper, _ __ ______ _ __ __ Lead and zinc_ ________ _ _ ___ Gold and silver________ _ Miscellaneous. _ __ ___ ___ Quarrying and nonmetallic_____ _ __ Crude-petroleum production1_________ Public utilities: Telephone _ __ __ Telegraph. ___ _ _ __ _ __ ___ Electric light and power Street railways and b u sses ____________ Wholesale trade___________ _____ ___ _ Retail trade_______ ________ _ Food, ____ ___ ._ General merchandise.. Apparel____ Furniture and housefurnishings A utom otive.. . _ _ ___. . _ Lumber and building materials________ Hotels (year-round)3__ ________ _ Power laundries_______ ___ _ Cleaning and dyeing _____ __ Class I steam railroads 4 _ . ._ _ Water transportation 8_______ _________ _ Pay-roll indexes (1939 average=100) Aug. 1945 July 1945 June 1945 Aug. 1944 Aug. 1945 July 1945 June 1945 77.4 87.1 73.1 119.4 81.3 85.0 21.2 66.8 81.7 84.1 77.6 87.1 74.6 119.6 84.9 87.2 21.0 69.0 81.3 83.8 78.9 89.2 76.0 120.3 87.7 90.3 21. 2 67.7 80. 5 83.6 77.9 95.0 85. 5 134.6 100.0 98 9 22.7 87.6 86.7 84.1 148.0 188.0 114.2 200.8 120.8 157.2 26.1 106.1 155.9 137.2 142.7 190.7 121.1 201.6 141.7 161.1 26.0 114.1 161.9 135.7 145.4 227.6 128.5 215.6 151.0 171.0 27.1 113.4 158.8 136.1 145.8 215.6 136.6 219.9 161.5 182.8 29.9 148.6 165.3 132.7 (9 129.6 122.8 83.2 118.9 95.5 94.1 104.6 102. 4 97. 6 62.8 66.9 92.6 109.4 109.0 118.4 146.7 255.3 200.4 120.7 178.7 141.3 132 1 144. 8 141.3 139.6 88. 5 104.6 133.4 172.0 160. 5 179.9 175.0 119.6 177.1 144.7 136.4 145. 5 148. 0 150.0 90.8 108.3 138.7 171.2 169. 7 197.7 175.3 119. 2 178.2 141.9 134.2 142.8 148.3 152.8 89.9 105.3 137.9 171.5 166. 3 199.8 (9 156.6 177.9 115.4 171.5 136.3 126.8 141.7 132.7 133. 3 86.9 98. 2 133.9 158.8 159.8 178.6 664.0 755.5 744.5 585.2 (9 119.4 84.1 117.3 95.8 93.8 99.9 104.7 96.7 61.9 69.6 91.8 109.9 106.1 117.3 146.7 313.4 (9 119.3 83.6 116.8 94.9 94.9 100. 0 107.9 99. 8 62.0 69.4 92.2 109.4 108. 3 121.2 146.9 310.0 117.9 82.8 117.3 94.4 96. 2 101.0 111. 2 106. 6 62. 2 68.3 92.4 109. 5 107. 2 122.0 147. 2 303.0 (9 (9 (9 (9 (9 Aug. 1944 (9 1 Does not include well drilling or rig building. 2 N ot available. 3 Cash payments only; additional value of board, room, and tips, not included. 4 Source: Interstate Commerce Commission. * Based on estimates prepared by the U . S. Maritime Commission covering employment on active deepsea American-flag steam and motor merchants vessels of 1,000 gross tons and over. Excludes vessels under bareboat charter to or owned by the Army or N avy. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TREND OF EM PLO Y M EN T, EARNINGS, AND HOURS 1045 AVERAGE EARNINGS AND HOURS Average weekly earnings and hours and average hourly earnings for June, July, and August, 1945, where available, are given in table 6 for both manufacturing and nonmanufacturing industries. (For trend of factory earnings since 1939, see page 998 of this issue.) 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 establishments supply information on man-hours, the average hours worked per week and average hourly earnings shown in this table are necessarily based on data furnished by a slightly smaller number of reporting firms. Because of variation in the size and com position of the reporting sample, the average hours per week, average hourly earnings, and average weekly earnings shown may not be strictly comparable from month to month. The sample, however, is believed to be sufficiently adequate in virtually all instances to indi cate the general movement of earnings and hours over the period shown. The average weekly hours and hourly earnings for the manu facturing groups are weighted arithmetic means of the averages for the individual industries, estimated employment being used as weights for weekly hours and estimated aggregate hours as weights for hourly earnings. The average weekly earnings for these groups are com puted by multiplying the average weekly hours by the corresponding average hourly earnings. T able 6 . — E a r n in g s a n d H o u r s in M a n u f a c tu r in g a n d N o n m a n u fa c tu r in g I n d u s tr ie s MANUFACTURING Average weekly earnings 1 Average weekly hours 1 Average hourly earnings 1 Industry Aug. July 1945 1945 June Aug. 1945 1945 All manufacturing___________________ ____ $41.81 $45.42 $46.32 Durable goods___ ____ _________________ 45.89 50.60 51.74 Nondurable goods_____________________ 36.61 38.58 38.95 40.8 41.2 40.3 July June Aug. July June 1945 1945 1945 1945 1945 44.0 44.9 42.8 Cents Cents Cents 44.6 102.5 103.2 103.8 45.8 111.4 112.6 113.0 43.1 90.8 90.2 90.4 Durable goods Iron and steel and their products_______ Blast furnaces, steel works, and rolling mills______ ____________ . . . ______ Gray-iron and semisteel eastings________ Malleable-iron castings .............................. Steel castings________ ________________ Cast-iron pipe and fittings_________ ____ Tin cans and other tinware_____________ Wirework_______ _________________ .. Cutlery and edge tools_________________ Tools (except edge tools, machine tools, files, and saws) _____________________ Hardware______ ____________________ Plumbers’ s u p p lie s ___ ______________ Stoves, oil burners, and heating equip ment, not elsewhere classified_________ Steam and hot-water heating apparatus and steam fittin g s...__________ _______ Stamped and enameled ware and galvaniz ing--------- ----------------------------------------Fabricated structural and ornamental metalwork---------- ---------------- . . . . . M etal doors, sash, frames, molding, and trim __________________ . . _________ Bolts, nuts, washers, and rivets............... . Forgings, iron and s t e e l________________ Screw-machine products and wood screws. Steel barrels, kegs, and drum s. ............. Firearms.________ _____________________ See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 46.14 50.22 51.14 41.6 45.2 46.0 110.9 111.0 111.2 50.61 47.17 42. 33 45.34 37.74 38.83 45.09 38.94 55.39 52.38 51.47 50.97 43.47 41.07 49.03 44.12 41.9 42.8 38.3 39.9 42.2 43.1 42.8 40.9 44.9 46.5 45.0 43.0 47.1 45.9 46.6 45.6 45.6 47.6 47.1 44.3 47.5 45.2 46.1 45.4 42.83 45.95 46.04 40.48 45.20 46.46 41.98 47.20 47.57 43.6 41.3 40.2 46.6 45.4 44.5 46.5 98.3 98.6 100.0 46.4 98.1 99.4 100.2 44.7 104.4 106.0 106.4 54.64 51.22 48.84 48.69 42.19 41.48 49.64 44.35 120.0 110.2 109.6 113.4 90.0 90.2 105.3 95.3 121.1 110.2 107.9 113.2 90.2 90.7 106.7 97.4 121.4 110.0 109.2 115.2 91.5 91.0 106.4 97.2 41.67 46. 77 47.71 40.1 44.4 45.6 103.4 105.3 104.7 44.26 47.56 49.89 42.3 45.4 47.3 104.7 104.8 105.5 40.86 44.78 46.37 40.1 43.5 44.8 101.5 102.8 103.4 47.26 50.23 52.79 43.3 45.8 47.6 109.1 109.7 110.9 52.79 50.96 59.07 50.87 48.01 58.15 42.9 44.8 38.8 43.1 36.6 42.1 45.9 44.8 45.0 46.5 45.0 46.1 46.2 47.6 46.5 47.6 46.9 46.1 45.80 47.88 48.00 45. 61 37.55 52.19 51.77 47.42 56. 77 49.54 46.12 57.88 106.7 106.5 124.3 105.7 101.1 123.1 112.7 106.0 126.1 106.5 102.4 125.4 114.2 107.2 127.1 106.9 103.0 126.0 1046 M ONTHLY LABOR REVIEW----NOVEMBER 1 9 4 5 T a b l e 6 . — Earnings and Hours in Manufacturing and Nonmanufacturing Industries— Continued M A N U FA C TU R E G—Continued Average weekly earnings i Average weekly hours i Average hourly earnings 1 Industry Aug. 1945 July June Aug. July June Aug. July June 1945 1945 1945 1945 1945 1945 1945 1945 Durable goods—Continued 42.0 41.9 41.3 43.2 45.4 45.4 45.2 45.4 Cents Cents Cents 45.7 105.0 105. 7 106.1 46.1 108.4 109.5 110.3 45.1 91.2 92.5 92.6 45.0 105.6 105.1 103.6 54.91 53. 78 57. 44 54. 09 42.7 42.7 40.3 44.0 46.6 46.6 45.5 46.0 47.7 47.8 46.5 46.4 113.6 111.8 121.5 116.2 114.8 112.8 123.8 116.7 115.0 112.6 123.8 116.7 54. 35 58. 23 59. 25 50.13 50. 21 42.9 45.5 42.2 43.6 39.3 46.9 47.7 46.4 46.9 47.2 47.5 48.9 47.8 48.7 48.4 112.3 117.9 120.1 101.6 102.1 114. 5 118. 2 123.8 102.8 103.2 114.5 119.1 124. 2 103.0 103.8 51.44 59.38 58.72 43.4 48.3 47.8 118.8 123.9 123.6 43.70 46. 08 48. 39 52.13 55. 80 55. 87 39.05 50. 53 51.62 42.8 47.4 35.5 44.9 49.6 45.6 46.5 102.0 102. 7 104.0 49.8 110.7 113.0 112.8 45.8 110.4 111. 2 112.6 54. 28 59. 64 60. 03 51.56 60.45 61.73 46.04 50.32 52. 35 41.9 40.9 40.4 45.8 45.6 43.5 46.2 129.6 130.2 130.0 46.7 126. 2 132. 4 132.2 44.3 113.9 115.6 118.2 48. 58 48. 30 60. 53 49.88 40.8 38.1 43.7 46. 7 45.8 43.6 46. 5 47.6 46.9 44.2 46.3 47.4 Electrical machinery__________ ______ Electrical equipment .Radios and phonographs_____ _____ Communication equipment_____________ $44.11 45.54 37.65 46.01 Machinery, except electrical. - _____ Machinery and machine-shop products. _ Engines and turbines____ _____ Tractors__________ Agricultural machinery, excluding tractors.. ____ _ Machine to o ls.__ Machine-tool accessories . Textile machinery. _ Typewriters___ _ Cash registers, adding and calculating m achines.. _ Washing machines, wringers, and driers, dom estic.. ___ . . . Sewing machines, domestic and industrial. Refrigerators and refrigeration equipment- 48. 55 47.81 48. 46 51.15 53. 54 52. 57 56.24 53. 71 48.16 53. 81 50. 33 44.34 40.13 53. 69 56.37 57.24 48. 22 48. 74 Transportation equipment, except automobiles Locomotives Cars, electric- and steam-railroad Aircraft and parts, excluding aircraft engines. _ ___ Aircraft engines... Shipbuilding and boatbuilding Motorcycles, bicycles, and parts___ _____ Automobiles. . . . . .... $47.95 $48.53 49. 80 50.83 41. 75 41.79 47. 83 46.88 54. 93 56.16 64. 56 52. 77 56. 07 57.16 64.15 52.46 119.0 126.9 138.6 106.8 119.8 128.7 138. 9 110.9 119.6 129.3 138. 5 110.7 41.42 53.05 55. 55 33.5 42.4 43.8 123.6 125.2 126.8 46.01 48.81 49. 55 43.2 45.7 46.2 106.5 106.8 107.2 Nonferrous metals and their products Smelting and refining, primary, of nonferrous m etals.. . ._ Alloying and rolling and drawing of nonferrous metals, except aluminum Clocks and watches _ Jewelry (precious metals) and jewelers’ findings.. _____ Silverware and plated ware Lighting equipm ent.. _ Aluminum manufactures . 50.05 51.64 49. 76 45.6 47.0 46.2 109.7 109.7 107.7 51.82 51.79 53. 51 39.00 43. 64 43. 82 46.7 41.3 46.3 45.7 47.3 111.4 111.9 113.2 45.6 94.5 95.7 96.2 41.43 46. 05 34.04 45. 93 45. 49 47. 54 48.60 48.58 42.3 45.0 32.7 43.2 43.4 45.4 44.4 45.0 45.4 97.3 97.4 99.5 46.3 102.1 102. 6 102.6 45.2 104.0 106.0 107.5 45.6 106.3 106.4 106.5 Lumber and timber basic products Sawmills and logging camps. _. Planing and plywood m ills. . . . 33.07 33. 64 36.20 32. 32 32.31 35. 22 35. 78 37. 78 39.41 40.5 40.3 41.3 41. 5 40.7 44.0 44.0 43.5 45.6 81.6 80.2 85.9 81.0 79.4 86.0 82.2 80.9 86.2 Furniture and finished lumber products Furniture_________ Caskets and other morticians’ goods. Wood preserving__ _ 34.11 34.55 33.01 33.92 36.89 37. 35 39.94 35.07 37.54 38.01 39.95 35.45 40.6 40.3 38.1 42.4 43.3 42.8 44.7 44.3 44.1 43.7 44.8 44.8 84.1 85.8 86.5 79.1 85.2 87.4 90.1 78.7 85.2 87.2 89.5 79.2 Stone, clay, and glass products___ Glass and glassware. . . . Glass products made from purchased glass C em ent... Brick, tile, and terra co tta .. Pottery and related products___ ____ _ Gypsum___ Lim e________ Marble, granite, slate, and other products _ Abrasives___ ___ Asbestos products______ _ 38.96 38.96 34.42 44.29 33.47 35.11 43. 83 39. 54 37.64 48. 75 47.40 40.32 39.53 35.01 46.43 35.79 36.13 45.97 40.65 41.96 48.40 48.91 40.69 40.04 35.79 45.41 35.60 37.09 45. 70 40.05 41.90 50. 55 48.75 41.6 39.4 41.2 46.6 40.4 39.0 46.7 48.1 39.9 45.1 46.8 43.3 40.6 42.5 48.0 42.7 40.0 49.0 48.9 44.1 47.6 47.9 43.8 93.7 93.1 92.9 41.1 98.4 97.4 97.5 43.5 82.8 82.2 82.3 47.8 96.0 96.6 94.9 43.4 82.3 82.8 81.5 41.5 91.0 90.9 90.8 48.9 93.8 93.9 93.5 48.7 81.3 82.0 80.8 44.6 94.0 95.6 93.6 48.3 108.1 101.8 104.6 48.0 101.2 102.2 101.6 See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis . 42.24 46. 58 47. 06 47. 92 TREND OF EMPLOYMENT, EARNINGS, AND HOURS T a b l e 6 . — Earnings 1047 and Hours in Manufacturing and Nonmanufacturing Industries— Continued MANUFACTURING—Continued Average weekly earnings 1 Average weekly hours 1 Average hourly earnings i Industry Aug. July 1945 1945 June Aug. July 1945 1945 1945 June Aug. July June 1945 1945 1945 1945 Nondurable goods Textile-mill products and other fiber manufactures... _ . _ ___ _ .. ______ $29. 64 $31..50 Cotton manufactures, except smallwares 2_ 27. 22 29.38 Cotton smallwares__________ _____ 34.62 35.60 Silk and rayon goods____ ___ ______ 30. 07 31.26 Woolen and worsted manufactures, except dyeing and finishing____________ 34.59 36.39 Hosiery_______ 27.29 28.81 Knitted cloth 2_______________ _____ 32. 32 33.77 Knitted outerwear and knitted gloves___ 28.96 30.81 Knitted underwear.. . .. _ _ . 26.65 27.77 Dyeing and finishing textiles, including woolen and worsted_____ . . . ........ _ 34.49 35.44 Carpets and rugs, wool___ _____ ____ 35.00 40. 82 Hats, fur-felt_______ ______ _________ 42.86 43.24 Jute goods, except fe lts... . ____ 34. 60 34.50 Cordage and tw ine________________ 32.63 34.42 Cents Cents 77.1 76.3 71.2 70.5 82.2 81.4 76.6 75. 2 $31. 67 29.01 36. 58 31.38 38.4 38.2 42.1 39.3 41.3 41.7 43.9 41.5 41.8 42.0 43.9 42.0 36.93 30.13 34.06 32.25 28.05 39.5 34.2 41.4 37.0 37.3 41.9 36.5 43.2 39.3 39.6 42.3 38.1 43.6 39.5 40.5 35.64 41.70 42.91 35.21 34.75 41.8 38.2 39.3 44.0 42.5 44.2 42.8 41.2 43.9 44.6 44.9 82.5 80.1 79 4 43.6 91.8 95. 5 96. 0 38.9 110.6 108.2 109. 3 44.5 78.7 78. 5 79.1 45.1 76.6 77.0 76.8 87.7 79.4 78.0 78.4 71.0 86.9 78. 9 77.6 78.1 69. 6 75.9 69 2 83. 5 74 7 87. 3 79.1 77 6 81. 3 69 0 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___________ _ Millinery . . ___ _ _________ ____ _ Handkerchiefs _________________ Curtains, draperies, and bedspreads____ Housefurnishings other than curtains, etc. Textile bags ___________________ _ 27.93 30. 00 22.92 23. 65 19.46 33. 67 28. 56 37.57 24.09 25. 88 30.47 28. 07 30.38 33.32 25. 35 27.16 20. 27 36.75 29. 99 38.88 24. 21 26. 76 31.47 29.94 31.26 34.38 25. 60 27. 98 20. 93 38.15 31.48 33.99 25.03 28. 69 32.10 30.12 33.1 33.3 33.4 31.3 33.5 31.6 36.5 30.7 35.3 35.6 37.7 39.3 36.7 37.2 36.8 36.7 35.6 35.2 40.1 32.4 36.1 37.1 39.5 41.0 37.2 84.4 82.9 83. 9 38.4 90.0 89.1 89 4 36.9 69.8 68. 8 69. 5 37.8 75.4 73.9 74. 0 36.3 57.9 56. 9 57. 5 35.7 104.1 102. 4 104. 3 40.7 78.7 74.9 77. 5 29.7 99.9 99.0 94. 4 37.5 68.2 66.8 66. 7 37.0 72.6 72.0 76. 7 40.5 79.8 78.8 79.1 41.3 71.9 73.0 73.0 Leather and leather products ____ .... Leather_______ . ___ _ _____ _ Boot and shoe cut stock and findings Boots and s h o e s __ _______ _______ Leather gloves and m ittens___________ _ Trunks and suitcases______________ 33.62 43.18 33. 01 32.24 27. 48 32. 29 35. 47 44. 91 34. 72 34. 00 30. 39 33. 62 36.12 45.11 35.64 34. 74 31.04 35. 24 39.3 44.1 39.8 38.5 34.4 39.1 41.7 46.1 42.2 41.1 36.8 40.0 42.1 46.2 42.8 41. 5 37.8 41.0 Food. . ____ ..... Slaughtering and meat packing_________ ___ _ . . . . . Butter. ______ Condensed and evaporated m ilk________ Ice cream . . . ___ . . . Flour_______ _______ _ _____________ Cereal preparations _________ _______ Baking______ ______ ___________ Sugar refining, cane._____ ______ . . . Sugar, b e e t.___ _____ . . __________ Confectionery__ ______ _________ ___ Beverages, nonalcoholic.. . . . . . . . Malt liquors_____ ______ _______ Canning and preserving________________ 38.13 41.57 36.68 39. 97 40. 50 43.14 45. 20 39.36 36.12 37.87 30.18 35. 77 53.14 30.11 39.98 45.08 37.09 41.18 41.24 45. 26 46.15 40. 27 37. 20 39. 47 30. 75 37. 31 55. 47 32.62 40. 01 45.68 36. 36 41.24 39.88 44. 59 47. 08 39. 37 37. 41 39. 25 31.85 35.92 54.20 32.29 43.3 44.4 48.2 52.0 47.7 48.4 45.4 45.4 42.0 38.4 39.4 43.3 45.2 36.9 45.8 47.7 48.8 53.3 49.0 50.9 47.2 46.3 43.3 37.9 40.6 45.3 47.3 41.9 45.6 88.2 87.4 87.7 48.0 94.0 94.6 95.3 48.6 75.6 75.4 73.6 53.7 76.8 77.2 76.8 46.8 82.3 81.8 82.2 50.5 88.2 89.0 88.5 47.5 99.5 97.8 99.0 45.8 87.6 87.1 86.1 43.5 86.2 85.8 85.9 39.3 98.7 104.2 99.9 41.7 76.6 75.9 76. 4 44.3 83.3 83.0 81. 4 46.7 116.5 117.1 115.9 40.4 82.2 78.2 79.7 Tobacco manufactures . . . Cigarettes . . ______ _ . . . ______ Cigars. _ . ________ __________ Tobacco (chewing and smoking) and snuff___ _ . . _ _ . ____ _________ 30.15 30. 73 32.36 34.10 34.62 35.18 26. 49 27.18 30.31 39.6 42.1 37.1 41.0 42.9 39.2 42.8 43.6 42.3 28. 63 28.53 28. 90 38.9 40.2 41.1 73.0 70.4 70.3 Paper and allied products._. _____ ... _ Paper and pulp. . . . _______ ___ Envelopes. . . _ . . . . . ________ _ Paper bags____ _____ . . . . . __ . . . . . Paper boxes____ . . . . . _ ______ 38.70 41.77 36.44 35.17 34.44 40.78 44.26 37. 44 36.49 36. 70 40.74 44.30 38.04 35.07 36.35 44.0 45.8 43.4 43.2 41.4 46.3 48.5 44.6 44.3 43.9 46.4 48.8 44.8 42.9 43.4 87.9 91.1 84.0 80.9 83.3 88.1 91.3 83.9 82.9 83.7 87.9 90.6 84.9 82.0 83.7 Printing, publishing, and allied industries._. Newspapers and periodicals. _ . _ _____ Printing, book and job_________________ Lithographing. _____ ___ 46. 70 52. 93 44.14 47.30 46. 62 50. 64 45. 00 48. 57 46.93 50.53 45.18 50.13 40.9 39.7 41.3 43.0 41.5 38.6 42.9 44.4 41.6 38.7 42.9 45.2 114.2 131.1 106.6 109.6 112.4 129. 2 105.2 109.3 112.8 128.7 105.8 110.8 See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 85.7 97.9 83.5 83.2 80.5 83.0 76.1 81.1 71.0 85.1 97.7 83.0 82.3 82.4 84.0 74.9 80.7 69.1 85.7 97. 6 84. 3 83. 2 82.0 84.1 75. 7 80.7 71.6 1048 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 T a b l e 6 . — Earnings and Hours in Manufacturing and Nonmanufacturing Industries— Continued M ANUFACTURING— Continued Average weekly earnings 1 Average weekly hours 1 Average hourly earnings 4 Industry Aug. July June Aug. 1945 1945 1945 1945 July June Aug. July June 1945 1945 1945 1945 1945 Nondurable poods—Continued Cents Cents Cents 100.3 99.9 99.7 99.8 99.8 100.8 85.6 84.4 85.4 100.8 98.1 100.3 95.3 94.1 94.2 116. 0 114.9 114.9 105.9 106.9 105.5 97.6 98.9 99.4 57.8 57.5 58.2 74.5 72.9 71.6 $43.41 $44. 99 $45. 24 46.34 48.06 48.54 35. 25 35.40 36. 78 47. 98 47.02 48. 21 40.33 40.46 40.71 53.96 54.11 54. 23 44. 83 48. 00 46. 92 36. 22 44. 29 45. 55 26.18 27.09 28.35 32. 51 33. 66 32. 42 43.3 46.6 41.3 47.6 42.3 46.5 42.3 37.1 45.0 43.6 45.1 48.2 41.9 48.1 43.0 47.1 44.9 44.8 47.1 46.2 45.4 48.3 43.2 48.1 43.2 47.2 44.5 45.8 48.7 45.3 Products of petroleum and coal. . . ------ 56.97 Petroleum refining. _ -------------- . . . 59. 27 49. 80 Coke and byproducts . -----45. 55 Roofing materials_____ . . . --------- 58.01 60. 57 51.99 47. 56 57. 72 59. 89 51.57 48.28 46.8 47.1 46.0 46.6 47.7 47.3 48.3 49.2 47.8 121.6 121.7 120.7 47.6 127.1 127.7 126.6 47.9 109.6 109.0 107.9 49.7 97.7 96.6 97.2 46.76 52. 81 42. 21 40. 02 51.81 59. 59 42. 70 43. 62 51.45 59.20 42.60 43.37 41.8 41.5 45.1 41.3 45.5 46.0 45.4 44.8 45.2 111.9 113.8 114.0 45.3 126.9 129.6 130.7 45.5 93.7 94.1 93.7 44.9 96.9 97.4 96.7 Miscellaneous industries---------------- . 40. 94 43. 24 44.83 Instruments (professional and scientific) and fire-control equipment____________ 51.39 51.12 56.02 41.34 47.19 47.81 Pianos, organs, and parts. -------------- 41.9 44.0 45.2 44.4 40.8 44.0 45.8 47.5 116.2 116.5 118.2 46.5 101.7 103.6 103.3 $47.48 59.11 47.43 42.38 54.84 37.0 40.1 41.9 46.6 46.0 39.4 40.8 43.9 48.0 45.0 41.1 46.2 45.4 48.2 46.3 (3) (3) (3) 43.44 37.98 38.49 50.71 50. 34 50.59 51.59 51.21 51.34 (3) 48.2 44.3 52.3 (3) 46.0 43.4 51.6 (3) (3) (3) (3) 46.2 90.1 82.6 83.3 44.4 113.9 114.6 113.6 52.2 97.4 97.9 97.0 44. 92 29.40 34.89 24.09 31.55 40. 21 44. 05 38.86 24.40 29.06 33.37 64.23 48.11 55.57 42.4 41.2 42.6 38.0 37.5 43.2 45.7 42.0 43.7 42.5 41.6 (3) (3) 40.3 43.1 41.9 43.0 38.4 38.4 43.9 46.6 43.7 44.0 44.0 44.2 (3) (3) 40.1 42.8 101.3 103.7 102.7 40.7 77.2 77.5 76.9 41.8 77.4 76.5 76.1 36.7 63.4 63.6 63.8 37.2 81.9 83.1 82.0 43.9 91.7 93.0 91.1 46.4 93.8 95.0 94.6 43.4 90.4 90.8 90.5 44.4 54.8 54.4 53.9 43.4 66.4 66.5 66.6 43.8 75.5 76.6 77.3 (3) (3) (3) (3) (3) (3) (3) (3) 40.4 138.3 138.7 137.4 Chemicals and allied products-------------- . . Paints, varnishes, and colors. __ ----------Drugs, medicines, and insecticides---------Soap.__________ -- --------------------------Rayon and allied products______________ Chemicals, not elsewhere classified------ . Explosives and safety fu se s.-................... Ammunition, small-arms. -----------------Cottonseed o i l . . . ----------- --------- Fertilizers____________ ____ . . ------ Rubber products.- . ------------------------- -----Rubber tires and inner tubes----------------Rubber boots and shoes — -------------- . Rubber goods, other------- -------------------- 97.7 98.3 99.2 NONMANUFACTURING Mining: Anthracite____________________________ Bituminous coal_______________________ M e t a l___________ -- ------- -Quarrying and nonmetallic_____________ Crude-petroleum production____________ Public utilities: Telephone-----------------------------------------Telegraph 4_________________ ________ Electric light and p o w e r ........ ............ ......... Street railways and busses______________ Trade: Wholesale_____________________________ Retail________ _ _ ---------- --- - --------F o o d ____ _ _ -- _ ___________ General merchandise_______________ Apparel--------- --------. . . ----------------Furniture and housefurnishings_____ Automotive_______________________ Lumber and building materials______ Hotels (year-round)5 ____ ________________ Power laundries___________________________ Cleaning and dyeing_______________________ Brokerage_____________________ ____ ______ Insurance.. __________ _______________ Private building construction............................. $49.44 49.89 43.97 41.25 54.77 43.27 29.01 34.68 23.91 29. 99 39.49 42.58 37.66 24.37 28.05 31.14 59.10 46. 73 55.79 $47.47 50.70 45.64 42.91 54.40 44.13 28.46 33.59 23.60 29. 73 39. 52 43.43 38.64 24.43 28.76 33. 50 66.15 47.66 55.50 Cents 133.1 124.8 104.9 88.5 118.7 Cents 121.9 125.5 103.9 89.5 120.9 Cents 117.0 128.5 104.5 87.9 118.4 1 These figures are based on reports from cooperating establishments covering both full- and part-time employees who worked during any part of one pay period ending nearest the 15th of the month. As not all reporting firms furnish man-hour data, average hours and average hourly earnings for individual industries are based on a slightly 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 the data for earlier months: Cotton manufactures, except smallwares.—M ay 1945 to $27.52 and 66.7 cents. Knitted cloth.—M ay 1945 to $32.64. 3 N ot available. 4 Excludes messengers and approximately 6,000 employees of general and divisional headquarters, and of cable companies. 5 Cash payments only; additional value of board, room, and tips, not included. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1049 TREND OF EMPLOYMENT, EARNINGS, AND HOURS Labor Force, Septem ber 1945 UNEMPLOYMENT doubled between August and September 1945 to reach a total of 1,650,000, according to the Bureau of the Census Monthly Report on the Labor Force. Employment dropped by 2,270,000 and the civilian labor force declined by 1,450,000 to a level of 52,900,000. During the month after the Japanese surrender, mass lay-offs in war industries caused the volume of unemployment to rise sharply. Ap proximately 500,000 men and 300,000 women were added to the un employment total. It should be noted that workers involved in strikes or laid off with definite instructions to report to work within 30 days are not included in the unemployed. A decline of 2,020,000 in nonagricultural employment not only re flected postwar releases from war plants, but also the seasonal with drawal from the labor force of youngsters returning to school. The fact that the census week this September included Labor Day ac counts for the large shift of workers during the month from the “ worked 35 hours or more” category to the “ worked 15-34 hours” group. Agricultural employment continued to decline from the July seasonal peak; about 8,800,000 persons were employed on farms in September. Total Labor Force in the United States, Classified by Employment Status, Hours Worked, and Sex, August and September 1945 [Source: TJ. S. Department of Commerce, Bureau of the Census] Estimated number (in thousands) of persons 14 years of age and over 1 Item Total, both sexes August Septem ber Male August Female Septem ber August Septem ber Total labor force 2______________________ 66,510 64, 790 46, 910 45, 870 19, 600 18,920 Civilian labor force____ _______ 54,350 830 53,520 44, 470 36,910 3,290 1,090 3,180 9,050 6,770 1,790 240 250 52,900 1,650 51,250 42, 450 29,890 9,070 1,250 2, 240 8, 800 6,550 1,810 35,020 »430 34, 590 27, 700 24, 300 1,520 370 1,510 6,890 5,880 690 130 190 34,250 930 33,320 26, 660 20, 490 4,460 450 1,260 6, 660 5, 570 810 130 150 19, 330 400 18, 930 16, 770 12, 610 1,770 720 1,670 2,160 890 1,100 18, 650 720 17,930 15, 790 9, 400 4, 610 800 980 2,140 980 1, 000 (*) (*) _____ Unemployment________ _ . ______ Employm ent_____ ____ ____________ Nonagricultural-. _____________ Worked 35 hours or more____ Worked 15-34 h o u rs________ Worked 1-14 hours 3____ ____ W ith a job but not at work A. A g r ic u ltu r a l-..____ _____ ___ Worked 35 hours or more____ Worked 15-34 hours_________ Worked 1-14 hours 3________ W ith a job but not at work A. 220 220 110 (*) 1 Estimates are subject to sampling variation which may be large in cases where the quantities shown are relatively small. Therefore, the smaller estimates should be used with caution; those under 100,000 are not presented in the tables but are indicated by an asterisk (*). All data exclude persons in institutions. 2 Total labor force consists of the civilian labor force and the armed forces. Estimates of the armed forces during the census week are projected from data on net strength as of the first of the month. 3 Excludes persons engaged only in incidental unpaid family work (less than 15 hours); these persons are classified as not in the laborforce. 4 Includes persons who had a job or business, but who did not work during the census week because of illness, bad weather, vacation, labor dispute, or because of temporary lay-off with definite instructions to return to work within 30 days of lay-off. Does not include unpaid family workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Recent Publications o f Labor Interest Novem ber 1945 Cost and Standards of Living A n a n a ly s is o f the in c o m e a n d p la n e s o f liv in g o f the M e th o d is t m in is te r s i n S o u th C a r o lin a (w h ite m in is te r s i n f u l l c o n n e c tio n ). B y M arvin Leslie Infinger. (In Rural Church, Evanston, 111., A pril-M ay 1945, pp. 1 —6; mimeographed.) D ata on average income and average expenditures of 100 ministers in 1943-44. T h e B r a d d o c k steelw o rker. Pittsburgh, United Steelworkers of America, Research Department, 1945. 60 pp., illus. 25 cents. This income and expenditure study for Jan u ary 1945 of steelworkers interviewed in Braddock (including Rankin and North Braddock), Pa., indicates that real wage standards have declined 1 0 percent during the war and that deferred pur chasing power is relatively small. The report includes a description of the community, and statistics of monthly, weekly, and hourly earnings; sources and amounts of fam ily income; savings; and income of the steelworkers in relation to their expenditures in Jan u ary 1945 and after elimination of the 48-hour week. Washington, U. S. Bureau of Labor Statistics, 1945. 26 pp. (Bull. No. 838; reprinted from M onthly Labor Review, June 1945, with additional data.) 10 cents, Superintendent of Documents, Washington. L iv in g a n d o ffic e-o p e ra tin g costs i n C o lo m b ia . B y Sylvia P. Bernstein. Washington, U. S. Department of Commerce, Bureau of Foreign and Domestic Commerce, 1945. 10 1pp. (International Reference Service, Vol. 2 , No. 7.){ 5 cents, Superintendent of Documents, Washington. W a r tim e fo o d p u rc h a se s. Economic and Social Problems B y M arshall Field. Chicago, University of Chicago ^Press, 1945. 190 pp. $2.50. Concerned mainly with freedom of expression, but contains discussions of the place of labor organizations, cooperatives, and minority groups in a “ society of free men.” F re ed o m i s m o re th a n a w ord. B y Basil Rauch. New York, Creative Age Press, Inc., 1944. 368 pp. $2.50. A historian discusses the evolution of policies during the first 6 years of the New Deal, which he divides into two periods, the first phase being an effort to bring about “ recovery” (to 1935), and the second dealing with measures fundamentally designed to reconstruct Federal policies. The first, it is stated, was chiefly bene ficial to big business and large farmers, while the second was more beneficial to small farmers and to labor. Emphasis is given to struggles to obtain principles incorporated within the Social Security Act, Wagner Labor Relations Act, and Fair Labor Standards Act. These measures and their history, the author main tains, sum up the most significant contributions of the New Deal to the permanent institutions of the Nation. T h e h is to r y o f the N e w D ea l, 1 9 3 3 —38 . O ne A m e r ic a : T h e h is to r y , c o n tr ib u tio n s , a n d p re se n t p ro b le m s o f o u r ra c ia l a n d n a tio n a l m in o r itie s . Edited by Francis J . Brown and Joseph Slabey Roucek. New York, Prentice-Hall, Inc., 1945. $5 ($3.75 to schools). 7 17 pp., bibliography. R ev. ed. E ditor ’s N ote .—Correspondence regarding the publications to which reference is made in this list should be addressed to the respective publishing agencies mentioned. Where data on prices were readily available, they have been shown with the title entries. 1050 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RECENT PUBLICATIONS OP LABOR INTEREST 1051 B y C. Bettelheim. (In International Labor Review, Montreal, June 1945, pp. 722—740. 50 cents. Distributed in United States by Washington branch of ILO) Shows the effects of war destruction and obsolescence of industrial equipment and describes the measures already taken to restore the country. Special em phasis is given to labor conditions. E c o n o m ic a n d so c ia l p o lic y i n F ra n c e. co lo n ia l e ssa y s. Edited by R ita Hinden. London, George Allen & Unwin, Ltd., 1945. 261 pp. 8 s. 6 d. net. Collection of essays dealing with economic and social problems in British colo nial areas. F a b ia n B y Raymond F. Mikesell. (In Journal of Political Economy, Chicago, June 1945, pp. 16 4 -176 . $ 1 .) Analysis of conditions accompanying the rise in prices and expansion of note circulation and bank deposits in countries of the Middle E ast which have been caused, since the beginning of World War II, chiefly by an increase in purchasing power (resulting from Allied m ilitary expenditures) and a coincident scarcity of consumption goods. Prices and cost of living and the foreign exchange and currency situation in the various countries are described and also compared. A closing section deals with implications for the postwar period. F in a n c i a l p ro b le m s o f the M id d le E a s t. Education and Training By H arry S. Belman. (In Industrial Arts and Vocational Education, Milwau kee, Wis., M ay 1945, pp. 19 1-19 4 . 50 cents.) I n flu e n c e o f p re se n t tr a in in g p ro g r a m o n o u r f u tu r e e d u c a tio n a l a c tiv itie s . B y George H. Fern. New York, M cGraw188 pp., bibliography. $2. s T r a in i n g f o r s u p e r v is io n i n in d u s tr y . Hill Book Co., Inc., 1945. W a r tim e d e ve lo p m en ts in w o rk e rs’ e d u c a tio n [in U. S. Bureau of Labor Statistics, 1945. 18 pp. from M onthly Labor Review, August 1945.) Washington, (Serial No. R . 1768; reprinted Free. U n ite d S ta te s] , Ottawa, Department of Labor, 1945. 3 1 pp. (Supplement to Labor Gazette, August 1945.) Treats Dominion-Provincial war training of different kinds and outlines postwar training projects. C a n a d ia n v o c a tio n a l tr a in in g — a n n u a l rep o rt f o r 1 9 4 4 .-4 5 . New York, British Information Services, Infor mation Division, 1945. 22 pp. (I. D. 579.) Covers the different kinds of adult education and the facilities provided for training teachers and students alike. A d u l t e d u c a tio n i n B r i ta i n . Employment and Readjustment of Veterans (In Adult Education Journal, New York, Ju ly 1945, pp. 89-106.) Three articles describing, respectively, a community, a university, and a general educational approach to the problem of returning the war veteran to civilian life. A d j u s t i n g the c o m m u n ity to the w a r vetera n . B y Low ry Nelson. Washington, National Planning Associa tion, 1945. 20 pp. (Planning pamphlet No. 47.) 25 cents. This report presents some of the m ajor factors to be considered in developing a policy of assistance to those veterans desiring to enter agriculture, with some suggestions as to how the policy m ay be implemented. The pamphlet also con tains the joint statement in this connection by the agriculture, business, and labor committees on national policy of the N ational Planning Association. F a r m s f o r vetera n s. New York, Crowell-Collier Publishing Co., 1945. 52 pp., bibliography. (Veterans report No. 2.) 10 cents. A study of what various communities are doing to help demobilized service men and women reestablish themselves in civilian life. H o m e to w n p la n s . M a n u a l o f a d v is e m e n t a n d g u id a n ce , p r e p a r e d i n accordance w ith the a p p ro v e d p o lic ie s o f the V e te r a n s ’ A d m i n is tr a ti o n . B y Ira D. Scott. Washington, [U. S. Veterans’ Administration], 1945. 233 pp., bibliography. $1.2 5. Designed to effect uniformity of understanding and application of procedures to be observed under legislation providing for advisement and guidance services for veterans. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1052 M ONTHLY LABOR REVIEW— NOVEMBER 1 9 4 5 B y D ’ Alton B. M yers. (In Law and Contemporary Problems, Durham, N. C., Vol. X I, No. 2, summer-autumn 1945, pp. 344-360. S m a l l b u s in e s s f o r vetera n s. $ 1.) Summarizes business-ownership plans of servicemen, kinds of assistance available to veterans in developing such plans, and problems facing those who desire to start businesses. New York, Research Institute of America. Inc., 1945. 34 pp. D ata and observations designed to acquaint the employer with his legal duties and rights, and with the over-all personnel adjustments which will be required, in connection with the rehiring of veterans. R e h ir in g y o u r c o m p a n y ’s vetera n s. Employment and Unemployment (General) B y Albert H alasi. New York, American Labor Conference on International Affairs, 1945. 59 pp. $ 1 . (Occasional papers, M onetary series No. 5.) The role of the International M onetary Fund and the International Bank for Reconstruction and Development in furthering full employment is interpreted as that of reducing transitional unemployment and relatively unproductive em ployment arising from changes in foreign trade. These changes occur either from adverse changes in consumer taste or in production techniques, or for cyclical reasons, or in consequence of unneighborly commercial policies. R eal income is expected to increase as these difficulties are overcome. Stress is placed on the need for effective employment policies in member countries to insure the success of the Bank and the Fund. B r e tto n W o o d s a n d f u l l e m p lo y m e n t. P o s tw a r jo b s : A g u id e to c u r r e n t p ro b le m s a n d f u t u r e o p p o r tu n itie s . B y Press Re search, Inc. Washington, Public Affairs Press, 1945. 2 1 1 pp. $2.50. The authors recommend legislative and other measures aimed at full employ ment and attem pt to analyze the trends of thought in Congress and among various private groups on m ajor issues affecting postwar jobs. Some of the topics dis cussed are reconversion, taxation, jobs for veterans, social security, public works, and housing. T h e p ro b le m o f ch a n geover u n e m p lo y m e n t: A sta te m e n t o n n a tio n a l p o lic y b y the resea rch c o m m itte e o f the C o m m itte e f o r E c o n o m ic D e v e lo p m e n t. New York, Committee for Economic Development, 1945. 2 2 p p.; mimeographed. B y Henry A. Wallace. New York, R eynal & Hitchcock, 1945. 2 16 pp., charts. $ 2 ($ 1 , paper cover, Simon & Schuster, New York). Using 60 million jobs and a two hundred billion dollar annual national income by 1950 as goals, the author sets forth the conditions under which he believes American political and economic democracy can be reconciled to achieve these objectives. Stress is placed on the com paratively low cost of full employment and the common interest of all groups in its attainment. Points of action deemed essential to the achievement of full employment without disastrous inflation, without a regimented economy, and without an unbalanced budget include (1 ) “ assigning responsibility to government for preparing and keeping a current accounting of the N ation’s budget of job and investment opportunities,” (2 ) reducing taxes so as to stimulate private initiative and increase consumption, (3 ) maintaining wages to protect take-home pay and raising minimum wages to pro vide a minimum living standard, (4) maintaining farm prices and adjusting indus trial prices to promote consumption, (5) promoting resource development, (6) eliminating trade barriers, (7) promoting a housing program to be coordinated under a government housing agency, (8 ) extending social security and health insurance to universal coverage, (9) promoting educational equality by Federal grants in aid, and (1 0 ) “ guaranteeing security at home and abroad by fostering conditions that make for racial and religious tolerance and international good will and cooperation.” S i x t y m illio n jo b s . F ir s t re p o rt, F a ir E m p lo y m e n t P ra c tic e C o m m itte e , J u l y 1 9 j S ~ D e c e m b e r 1 9 4 4 . Washington, 1945. 15 2 pp., map, charts. 25 cents, Superintendent of Documents, Washington. The Fair Em ploym ent Practice Committee was created to 'deal with employ ment discrimination against any minority group because of race, color, etc., but as four-fifths of the cases docketed by the Committee involved complaints from nonwhites, the report deals largely with discrimination against Negroes. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RECENT PUBLICATIONS OF LABOR IN TER EST 1053 Ottawa, Department of Trade and Commerce, Dominion Bureau of Statistics, 1945. 79 pp.„ charts; processed. A n n u a l review o f e m p lo y m e n t a n d p a y ro lls i n C a n a d a , 1944- (In International Labor Review, Montreal, Ju ly 1945, pp. 29-39. 50 cents. Distributed in United States by Washing ton branch of ILO.) This study is devoted to the manpower situation, showing the uneven distribu tion of labor which results in unemployment in certain areas while others experi ence labor shortages. Measures for amelioration are described. T h e e m p lo y m e n t s itu a tio n i n F ra n c e . Housing B y Catherine Bauer. (In International Labor Review, Montreal, Ju ly 1945, pp. 1-2 8 . Reprints of article are available at 10 cents each. Distributed in United States by Washington branch of ILO.) Considers the social, economic, and civic aspects of housing and the policies required to reestablish the population after the need subsides for abnormal popu lation concentration in war-production centers. H o u s in g i n th e U n ite d S ta te s — p ro b le m s a n d p o lic y . F P H A r e q u ir e m e n ts f o r u r b a n lo w -re n t h o u s in g a n d s lu m clea ra n ce, d eveloped u n d e r U . S . H o u s in g A c t o f 1 9 3 7 as a m e n d e d (P u b lic L a w 4 1 3 , 7 5 th C o n g re ss). Wash ington, N ational Housing Agency, Federal Public Housing Authority, 1945. 39 pp. 10 cents, Superintendent of Documents, Washington. A report by the joint commitee on housing and welfare on the proposal to substitute public assistance rent relief grants to low-income families in place of providing low-rent housing by public agencies. Chicago, N ational Association of Housing Officials, 1944. 16 pp. (Publication No. N204.) 15 cents. B r i t a i n fa c e s its h o u s in g e m erg en cy. Prelim inary report of N ational Committee on Housing mission to Great Britain. New York, N ational Committee on Housing, Inc., 1945. 27 pp.; mimeographed. 25 cents. T h e r e h o u sin g o f B r i ta i n . B y John Madge. London, Pilot Press, Ltd., 1945. 64 pp., charts, illus. (Target for tomorrow, No. 9.) 4s. 6d. ($1.50, Trans atlantic, Forest Hills, N. Y .). Deals with housing already provided and the m ajor problems that must be dealt with to insure more adequate facilities. T h e r e n t certifica te p la n . Industrial Accidents and Accident Prevention A c c id e n t sta tis tic s a s a n a id to p r e v e n tio n o f a c cid en ts i n b itu m in o u s -c o a l m in e s . Washington, U. S. Department of the Interior, Bureau of Mines, 1945. 39 pp., map, charts. (Miners circular No. 47; Coal-mine accident-prevention course, section 1.) 10 cents, Superintendent of Documents, Washington. C o a l-m in e e x p lo sio n s a n d coal- a n d m e ta l-m in e fir e s i n the U n ite d S ta te s d u r in g the fis c a l y e a r e n d ed J u n e 30, 1944• B y D. Harrington and W. J . Fene. Wash ington, U. S. Department of the Interior, Bureau of Mines, 1945. 35 pp., chart; mimeographed. (Information circular No. 7330.) H a z a r d s o f the tro lley-lo co m o tive h a u la g e s y ste m i n coal m in e s . B y D . Harrington and R . G. Warncke. Washington, U. S. Department of the Interior, Bureau of Mines, 1945. 38 pp.; mimeographed. (Information circular No. 7328.) K a n s a s a c c id en ta l d e a th report, 1 9 4 5 e d itio n . Topeka, Kansas State Board of Health, 1945. 22 pp., chart, illus. Fatal accidents are grouped as occupational, home, motor vehicle, public, and m ilitary personnel, and various statistics are given for 1944 and other years. Oc cupational fatalities, so-called, numbered 203 (of a total of 1,446),. 83 of which were in agriculture. I s th is tr ip n e c e ssa r y ? Washington, U. S. Department of Labor, Division of Labor Standards, 1945. 12 pp. 5 cents, Superintendent of Documents, Washington. Safety suggestions for office workers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1054 M O N T H LY LABOR REVIEW----NOVEMBER 1 9 4 5 S a f e -practices a r o u n d d r ill p resses. S a f e p ra c tic e s a r o u n d c ir c u la r sa w s. O perate p o w e r tr u c k s s a fe ly . S a f e p ra c tic es a r o u n d e n g in e la th es. U se w o o d c u ttin g h a n d sa w s s a fe ly . S a f e t y a r o u n d g r in d in g w heels. S a f e o p e ra tio n o f m eta l sh a p e rs . U se la d d ers sa fe ly . Washington, U. S. Department of Labor, Division of Labor Standards, 1945. (Industrial safety charts, series A -H .) 5 cents each, Superintendent of Documents, Washington. Industrial Hygiene D e r m a titis f r o m w e a rin g a p p a r e l. B y Louis Schwartz, M .D ., and Samuel M. Peck, M .D . (In Journal of the American Medical Association, Chicago, August 25, 1945, pp. 12 0 9 - 12 17 ; bibliographical footnotes. 25 cents.) Considers especially the newer types and treatments of fabrics and other ma terials as causative factors in dermatitis, and outlines diagnostic and testing procedures. M e r c u r y p o is o n in g i n tu n g s te n -m o ly b d e n u m rod a n d w ire m a n u fa c tu r in g i n d u s tr y . B y Leon Lewis. (In Journal of the American Medical Association, Chicago, September 8, 1945, pp. 12 3 -12 9 . 25 cents.) F ir s t a id services f o r fa c to r ie s . London, M inistry of Labor and National Service, 1945. 24 pp., plans, illus. 5th ed. (Welfare pamphlet No. 4.) Is. net, H is M ajesty’s Stationery Office, London. Guide for the assistance of factory management in establishing first-aid services. P e n e tr a tin g eye. B y George Singer. (In National Safety News, Chicago, August 1945, pp. 18, *19, 60 et seq.; illus. 40 cents.) Considers the rapid wartime growth of the industrial use of X -rays and the limited awareness of radiation hazards to both immediate worker and other per sons in the neighborhood. Also outlines the scope of part 1 of the safety code (Z54) covering the industrial use of X -rays, developed by a war committee of the American Standards Association (see following reference). S a f e t y code f o r th e i n d u s tr ia l u se o f X - r a y s , P a r t 1, a p p ro v e d M a y 31 , 19 4 5 . New York, American Standards Association, 1945. 1 1 pp. (Z54, 1.) 25 cents. This first part of the code covers safety standards for the installation, operation, use, and maintenance of industrial X -ray equipment. I t applies to all X -ra y ap paratus except that used for medical or dental purposes; it does not apply to radium apparatus. Methods of determining radiation hazards and controlling personnel, and general health provisions, are included. Industrial Relations B a s ic g u id e f o r la b o r-m a n a g e m e n t c o m m itte es: W a y s o f o p e r a tin g a la b o r-m a n a g e m e n t p r o d u c tio n c o m m itte e . Washington, U. S. War Production Board, War Production D rive Headquarters, 1945. 3 1 pp. New 59 pp. $1.5 0 to nonmembers. I n d u s t r i a l o r g a n iz a tio n a n d m a n a g e m e n t. B y Lawrence L. Bethel and others. New York, M cGraw-H ill Book Co., Inc., 1945. 798 pp., charts, illus. $4.50. General textbook, including an extensive section on the administration of industrial relations. The authors discuss the role of labor organizations and state, for example, that in the field of incentive wages management should proceed only with the cooperation of union leaders and workers. H o w to h a n d le y o u r N L R B [U . S . N a tio n a l L a b o r R e la tio n s B oa rd ] case. York, Labor Relations Institute, 1945. B y Leonard B. Boudin. (In Law yers Guild Review, New York and Washington, M ay -Ju n e 1945, pp. Î92-200. 50 cents.) Reviews results of the N ational Industrial Recovery Act and the work of the N ational Labor Relations Board, the National Defense Mediation Board, and the National War Labor Board. L a b o r r e la tio n s a n d the R oosevelt a d m in is tr a tio n . Prepared by M ay E . Jamieson. Pasadena, Calif., California Institute of Technology, In dustrial Relations Section, June 1945. 4 pp. S e le c te d r e a d in g o n p r o v is io n s i n collective b a r g a in in g co n tra cts. T e ste d c la u ses f o r u n i o n co n tra cts. 58 pp. $2.25. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis New York, Labor Relations Institute, 1945. 1055 RECENT PUBLICATIONS OF LABOR INTEREST Industry Reports (In International Textiles, No. 4, pp. C - E ; No. 5, pp. B, C; No. 6, pp. E - G ; No. 7, pp. F, G. London, 1945.) The articles include production, machinery, and labor statistics for the cottontextile industry in both countries. C o tto n tex tiles i n B r i t a i n a n d the U . S . A . T h e gem d ia m o n d c u ttin g i n d u s tr y i n c o n tin e n ta l U n ite d S ta te s a n d P u e r to R ic o . New York, U. S. Department of Labor, Wage and Hour and Public Contracts Divisions, 1945. 22 pp., chart; mimeographed. (Supplement to “ Memoran dum to special industry committee No. 4 for Puerto R ico,” June 1945.) Free. Includes information on unionization of workers; piece rates of pay for polishing brilliants, M ay 1945; average hourly earnings in the industry in Puerto Rico, April 1945; and estimated number of workers in Puerto Rico who would be affected by establishment of specified minimum hourly wage rates. A n n u a l re p o rt o f the S h ip b u ild e r s C o u n c il o f A m e r ic a , [for the fis c a l y e a r e n d in g A p r i l 1, 1945], New York, 1945. 47 pp.; mimeographed. Contains summaries of data on employment, working hours, and earnings, and information on the work of the Shipbuilding Commission of the U. S. National War Labor Board with respect to wages and other matters. London, M inistry of Fuel and Power, 1945. 88 pp. (Cmd. 6639.) Is. 6d. net, His M ajesty’s Stationery Office, London. Comprehensive statistical analysis of the coal industry, giving production, distribution, and labor information. Output per man shift is shown and also the extent of mine mechanization. S t a tis tic a l d ig est, 1944• London, M inistry of Fuel and Power, 1945. 67 pp. 2s. net, His M ajesty’s Stationery Office, London. Description of the fields and their present position and future prospects, in cluding possibilities of raising output through mechanization. Similar reports have also been issued on the coal fields of K ent and the North Midland region. T h e coal fie ld s o f th e M id la n d reg io n , [E ngland]-— re g io n a l su r v e y rep o rt. Labor and Social Legislation A c o m p ila tio n o f g en era l labor la w s o f L o u is ia n a , w ith c ita tio n s . Louisiana Departm ent of Labor, 1945. 541 pp. Baton Rouge, By M aris M . Proffitt and D avid Segel. Washington, Federal Security Agency, Office of Education, 1945. 200 pp. (Bulletin, 1945, No. 1.) 30 cents, Su perintendent of Documents, Washington. S u m m a r y o f la w s a n d o rd in a n c e s a ffe c tin g y o u th . Los Angeles, Los Angeles County War Services, Youth Committee, Janu ary 1945. 14 pp. Summ ary of the most important laws and ordinances affecting youth in the State of California and in the city and county of Los Angeles. W a g e -h o u r a n d c h ild -la b o r le g isla tio n i n th e R oosevelt a d m in is tr a tio n . B y Donald M urtha. (In Law yers Guild Review, New York and Washington, M ay-Ju n e 1945, pp. 18 5 - 19 1. 50 cents.) Gives the background and traces the efforts of the Roosevelt administration to “ conserve our prim ary resources of manpower” through Government “ control over maximum hours, minimum wages, the evil of child labor, and the exploitation of unorganized labor.” S c h o o l c e n su s, c o m p u ls o r y ed u ca tio n , c h ild labor— S ta te la w s a n d re g u la tio n s. R e c o p ila c ió n de le y e s, decretos y re so lu cio n es re la tiv a s a l tra b a jo , vig en tes en la P r o v in c ia de M e n d o z a , [A rg e n tin a ]. Mendoza, Secretaría de Trabajo y Previsión, Delegación Regional, 1945. 566 pp. Compilation of national and provincial laws, decrees, and resolutions relating to labor in effect in the Argentine Province of Mendoza, including national legisla tion of as recent a date as April 1945 and provincial legislation through February 6, 1945, classified under such topics as employment agencies, hours of work, wage protection, compensation for industrial accidents and diseases, work of women and minors, etc» https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1056 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 R e s o lu c io n e s, a cu erd o s, rec o m en d a c io n es y d ecla ra c io n e s de c o n fe re n c ia s in te r n a c io n a le s A m e r ic a n a s sobre p ro b le m a s so cia les. Washington, Pan American Union, Division of Labor and Social Information, 1945. 23 pp.; mimeo graphed. Collection of the resolutions, agreements, recommendations, and declarations of the fifth to eighth international American conferences, 1923 to 1938, and of the In ter-American Conference on Problems of War and Peace in 1945, covering such topics as unemployment, immigration, the labor contract, labor of women and minors, and m aternity leave. Labor Organizations and Congresses U n io n s e c u r ity p la n s — ■m a in te n a n c e o f m e m b e r s h ip a n d .ih e c h e c k -o ff [in C a n a d a a n d the U n ite d S ta te s ]. Kingston, Ontario, Queen’s U niversity, Department of Industrial Relations, 1945. 59 pp. (Bull. No. 10.) $ 1. A suggested maintenance-of-membership provision for a union agreement is included. B r i ti s h tra d e u n i o n s a n d the w a r. B y John Price. London, M inistry of Inform a tion, [1945]. 55 pp. Distributed in United States by British Information Services, New York, Reviews the history of the trade-union movement in Britain and the conditions under which labor operated and worked with the Government in wartime. F o r ty -e ig h th a n n u a l re p o rt o f the S c o ttis h T r a d e s U n io n C ongress, 1 9 4 5 . Glasgow, [Scottish Trades Union Congress], 1945. 129 pp. ls .n e t. Includes statistics of membership of affiliates. Nutrition Detroit, Chil dren’s Fund of M ichigan, [1945?]. 206 pp., charts, illus. Proceedings of a conference held in Detroit, November 3, 1944, under the sponsorship of the Research Laboratory of the Children’s Fund of Michigan. I m p l i c a t i o n s o f n u t r i ti o n a n d p u b lic h ea lth i n the p o s tw a r p e rio d . N u t r i ti o n a l s ta tu s o f a ir c r a ft w o rk e rs i n s o u th e rn C a lifo r n ia : I I I , E ffe c ts o f v ita m in s u p p le m e n ta tio n o n a b se n te e is m , tu rn -o v er, a n d p e r s o n n e l r a tin g s . B y Henry Borsook, M .D . (In M ilbank Memorial Fund Quarterly, New York, April 1945, pp. 113 - 16 0 . 25 cents.) I t is estimated that a production gain of 10.5 working days per man per year was made during the survey period (March 1, 1942, to February 28, 1943), as meas ured by absenteeism, turn-over, and general work performance, after the addition of vitamins, 5 days a week, to the diets of the workers studied. T h e w a r tim e n u t r i ti o n p ro g r a m s f o r w o rk e rs i n the U n ite d S ta te s a n d C a n a d a . B y Robert S. Goodhart, M .D ., and L. B. Pett, M .D . (In M ilbank Memorial Fund Quarterly, New York, April 1945, pp. 16 2 -17 9 ; charts. 25 cents.) Discussion of the official nutrition programs for workers in war plants of the two countries, with particular reference to in-plant feeding. Administration, methods of operation, accomplishments, and possible utilization during peacetime are treated. F ir s t re p o rt o n the a c tiv itie s o f the N a tio n a l N u t r i ti o n C o u n c il, [ U n io n o f S o u th A fr ic a ] , fo r the p e rio d J u n e 2 7 , 1 9 4 0 , to D ecem ber 3 1 , 1 9 4 3 . Pretoria, Depart ment of Public Health, 1944. 22 pp. 2s. 6d. Summarizes the findings of nutrition surveys made in South Africa and recom mends dietary standards. Postwar Reconstruction B y G. H. Aull and J . M. Stepp. Clemson, S. C., Clemson Agricultural College, Agricultural Experim ent Station, 1945. 43 pp., charts. (Bull. No. 355.) Study of the impact of the war on employment in the city and county of Ander son, S. C., and of the postwar business and employment outlook. Statistics in clude estimates of prewar, wartime, and postwar employment and of prewar and postwar consumer demand for selected products, by race, and, in the case of employment, also by sex. T h e p o stw a r e c o n o m ic o u tlo o k i n a n a g r ic u ltu r a l- in d u s tr ia l area. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RECENT PUBLICATIONS OF LABOR IN TER EST 1057 H is to r y a n d d i s p o s itio n o f a p o w d e r p la n t p ro ject, N itr o , W e s t V ir g in i a , 1 9 1 7 -4 2 . Washington, U. S. Bureau of Labor Statistics, 1945. mimeographed. (Historical study No. 78.) Free. 80 pp., bibliography* ' D o m in io n P r o v in c ia l C o n feren ce o n R e c o n s tr u c tio n — p r o p o s a ls o f the G o v ern m e n t o f C a n a d a . Ottawa, [Edmond Cloutier, K in g’s Printer?], August 1945. 52 pp. Statem ent of national problems and objectives, measures required during the transition from war to peace, and the Government’s proposals for a public invest ment policy, social security, and financial arrangements. F r a m e w o r k o f a fo u r - y e a r p l a n [for G reat B r i ta i n ]. (In Planning, London, June 8, 1945, pp. 1-20 . Reprints available, 25 cents each, from New Republic, 40 E . 49th Street, New York City.) . Cites need for planning and estimates possibilities for raising output and effi ciency. Priority is given to investment in building and industrial equipment during the first postwar years. The estimates are for 1946-49, assuming an end to the war with Jap an in 1946. P o v e rty a n d so c ia l ch a nge: A s tu d y i n the eco n o m ic r e o r g a n iz a tio n o f I n d i a n r u r a l so c iety. B y Tarlok Singh. New York, Longmans, Green & Co., Ltd., 1945. 200 pp. 3s. 6d. Offers a program for raising the level of the rural economy. Washington, U. S. Bureau (Serial No. R . 1750; reprinted from Free. P o s tw a r re c o n stru c tio n i n the U n io n o f S o u th A fr ic a . of Labor Statistics, 1945. 10 pp. Monthly Labor Review, June 1945.) Prices and Price Control a n d i ts p r ic in g p o lic ies. B y Alfred Auerbach. New York, Fairchild Publishing Co., 1945. 76 pp., charts. $1.50. A. former chief of the consumer durable goods branch of the U. S. Office of Price Administration attempts to give an intimate insight into the formulation of the agency’s policies, its legal powers and restrictions, its day-to-day operations, and its achievements. Some of the m ajor difficulties discussed include those affecting pricing of new goods, price adjustments, rewriting of the General M axi mum Price Regulation, enforcement of regulations, and reconversion policies. OPA P r ic e co n tro l a n d b u s in e s s : F ie ld s tu d ie s a m o n g p ro d u c e rs a n d d is tr ib u to r s o f co n s u m e r goods i n the C hicago area, 1942-4-4. B y George Katona. Bloomington, Ind., Principia Press, Inc., 1945. 246 pp., charts. Research in Economics monograph No. 9.) $3. P r ic e s o f c o n stru c tio n m a c h in e r y , A u g u s t 1 9 3 9 - J u n e 1 9 4 5 . Washington, U. S. Bureau of Labor Statistics, 1945. Free. (Cowles Commission for B y Carter M. Bowen. 24 pp.; mimeographed. Wages and Hours of Labor Washington, U. S. Bureau of Labor Statistics, 1945. 17 pp., charts; processed. Free. This occupational wage relationship study of the machinery industry, whose occupational structure has been affected during the war by new techniques and methods of organization, is the first in a series intended to assist in wage adminis tration, collective bargaining, and the placement of veterans and dislocated war workers. The indexes of wage rates in key occupations were designed to show the spread between the wages of the various key occupations and wages of unskilled occupations, used as a base. It is also possible to measure from these figures the wage differential among any of the key occupations. O c c u p a tio n a l w a g e re la tio n s h ip s , S e r ie s 1, N o . 1: M a c h in e r y , 1 9 4 5 . W a g e ra tes p e r h o u r f o r b u ild in g tra d e s i n the p r i n c ip a l c ities, 1 9 4 5 . Builders Association of Chicago, Ju ly 1, 1945. 1 sheet. Chicago, Ottawa, Department of Labor, (Report No. 26; supplement to Labor Gazette, June 1945.) D o c k la b o rers’ w ages [in L o n d o n ], 1 8 8 8 to 1 9 4 5 . B y A. L. Bowley. (In London & Cambridge Economic Service, London, Ju ly 1945, p. 55.) Shows hourly wages and for some periods the hours worked and weekly earnings. W a g e ra tes a n d h o u rs o f labor i n C a n a d a , 1 9 4 3 . 1945. 94 pp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1058 M O N T H LY LABOR REVIEW— NOVEMBER 1 9 4 5 Women in Industry T h e o u tlo o k fo r w o m e n i n o c c u p a tio n s i n the m e d ic a l services: W o m e n p h y s ic ia n s ; X - r a y te c h n ic ia n s . Washington, U. S. Department of Labor, Women’s Bureau*, 1945. 28 and 14 pp., bibliographies. (Bull. No. 203, Nos. 7 and 8.) 10 cents each, Superintendent of Documents, Washington. S t a tu s o f w o m e n i n u n io n s i n w a r p la n ts — s e n io r ity . R a te fo r the jo b . U n io n p r o v is io n s fo r m a te r n ity leave fo r w o m e n m em b ers. Washington, U. S. D epart ment of Labor, Women’s Bureau, 1945. Folders. (Union series Nos. 1, 2, 3.) Free, W o m e n i n a v ia tio n . B y B etty Peckham. New York, Thomas Nelson & Sons, 1945. 164 pp., illus. $2.50. The four parts of this volume deal, respectively, with the women’s m ilitary services in aviation, aircraft production, women in civil aviation, and women as teachers in aviation. W o r k in ju r ie s to w o m e n i n s h ip y a r d s , 1 9 4 3 -4 4 Washington, U. S. Bureau of Labor Statistics, 1945. 10 pp. (Serial No. R . 17 37 ; reprinted from Monthly Labor Review, March 1945.) Free. General Reports Washington, U. S. Department of Labor, Division of Labor Standards, 1945. 28 pp. (Bull. No. 74.) 10 cents, Superintendent of Documents, Washington. L a b o r offices i n th e U n ite d S ta te s a n d i n C a n a d a , J u l y 1, 1 9 4 5 , M e m o r a n d u m to s p e c ia l i n d u s t r y c o m m itte e N o . 4 [of W a g e a n d H o u r a n d P u b lic C o n tra c ts D iv is io n s , U . S . D e p a r tm e n t o f Labor], fo r P u e r to R ic o . New York, U. S. Department of Labor, Wage and Hour and Public Contracts Divisions, 1945. 99 p p .; mimeographed. Free. Contains statistical data for Puerto Rico on employment in various industries, 1939; average hourly earnings, 19 37-38 to 19 4 1-4 2 ; cost of living (indexes), December 19 41 to December 1944; and minimum-wage regulations. B e lg iu m . Edited by Jan-A lbert Goris. Berkeley and Los Angeles, University of California Press, 1945. 478 pp., bibliography, maps, illus. (United Nations series.) $5. General book on Belgium and the Belgian Congo, by American, Belgian, and Dutch authors. One chapter (B y M ax Gottschalk) dealing with social legislation in Belgium gives brief histories of the labor movement, development of fam ily allowances, national benefit and unemployment-insurance funds, old-age pen sions, workmen’s compensation for industrial accidents and diseases, and settle ment of labor disputes, up to 1939-40. Another chapter (by George W. Carpen ter) discusses health, education, and social welfare in the Belgian Congo. (In Commercial Pan America, Pan American Union, Wash ington, August-Septem ber 1945; 1 1 0 pp., mimeographed.) Compilation of data on production and related subjects, by industry, for various years down to 1944, including estimates of the total number of workers in Brazilian industries and of factory workers separately. E m p lo y m e n t o f U n ite d S ta te s c itiz e n s i n L a t i n A m e r ic a . Washington, Pan American Union, Division of Labor and Social Information, 1945. 18 pp., bibliography; mimeographed. Contains a summary, by country, of legislation restricting employment of aliens in the Latin American Republics; discussion of immigration policies and technical and vocational education; data on wages and living standards in selected countries; information on requirements for employment; an analysis of employ ment possibilities in 1 1 fields; and other pertinent data for Latin America. T h e e x p lo ita tio n o f f o r e ig n labor by G e rm a n y . Montreal, International Labor Office, 1945. 286 pp. (Studies and reports, series C, No. 25.) $1.50. Distributed in United States by Washington branch of ILO . This volume (written before the surrender of Germany) describes all phases of the exploitation of foreign labor by Germany to increase productive capacity during World War II. I n d u s t r i a l B r a z il. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis RECENT PUBLICATIONS OF LABOR IN TEREST 1059 B y Dorothy Woodman. London, Pilot Press, 1944 48 pp., charts, map, illus. (“ March of tim e” series, No. 16.) Is B rief description of development of Japan in relation to Germany, China and other regions. In addition to information on the growth of industry and the war machine, the pamphlet contains data on the organization and extent of the labor movement. J a p a n , th e p ro b le m o f A s ia . (In International Labor Review, Montreal June 1945, pp. 749-753. 50 cents. Distributed in United States by Washington branch of ILO .) Sum m ary data from a survey of conditions of employment among 10 544 commercial and clerical employees in Arab, Jewish, and mixed establishments made by the Palestine Department of Labor in August and September 1943and from an inquiry regarding the earnings of 14 ,1 2 1 industrial workers in Jew ish industry, made by the Economic Research Institute and the Statistical Department of the Jew ish Agency for Palestine in June-Septem ber 1943. L a b o r c o n d itio n s i n P a le s tin e . Washington, U. S. Bureau of Labor Sta tistics, 1945. 14 pp. (Serial No. R . 17 4 1; reprinted from M onthly Labor Review, April 1945.) Free. L a b o r c o n d itio n s i n the P h il i p p in e s . R o rk e rs i n S t a l i n s R u s s ia . B y M. L. Berneri. London, Freedom Press 1945 88 pp. Is. Description of the Soviet system with its rigid state control of trade-unions and factories.^ The writer discusses the standard of living of the workers the us® con®crÎPted and forced labor, the preferential status of certain workers, and what he considers the inequitable and unsatisfactory condition of workingclass women. ' 6 U- S. 670119- 45- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 15 GOVERNMENT PRINTING O FF IC E: I94S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis