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U N ITED STATES D EPARTM EN T OF LABO R L. B. SCHWELLENBACH, Secretary BUREAU OF LABOR STATISTICS A . F. Hinrichs, Acting Commissioner + W age Structure in the Machinery Industries January 1945 Bulletin ?^o. 861 For sale by the Superintendent of Documents, U . S. Government Printing Office Washington 25, D. C» *• Price 5 cents Letter o f Transm ittal U nited States D epartment of L abor, B ureau of L abor Statistics Washington, D. C., March 1, 1946 The Secretary of L abor: i I have the honor to transmit herewith a report on wage structure in the machinery industries, January 1945. This report was prepared in the Bureau’s Wage Analysis Branch by Lily Mary David. Edyth Bunn was responsible for the section on the labor force. A. F. H inrichs, Acting Commissioner. H on. L. B. Schwellenbach, Secretary of Labor (in) Contents Page Sum m ary.:----------------------------------------------------------------Background and scope of study___________________________________________ The labor force----------------------------------------------------------------------------------------Occupational groups_________________________________________________ Variation of occupational structure with size of establishment___________ Employment of women-------------------------Unionization_________________________________________________________ Wage structure___________________________________________________________ United States as a whole-------------------------------------------------------------------Variation in wages by sex____________________________________________ Regional variations in wage rates-------------------------------------------------------Variation of wage rates with size of establishment, size of community, unionization, and method of wage payment__________________________ Wage and related practices_______________________________________________ (IV) 1 1 2 2 3 5 5 5 6 8 9 10 10 B ulletin 7v£o. 861 o f the U nited States B ureau o f Labor Statistics [Reprinted from the M onthly L abor R eview , February 1946.] Wage Structure in the Machinery Industries, January 1945 Summary IN January 1945 straight-time hourly earnings of plant workers in the machinery industries in the United States as a vjiole averaged 98 cents per hour. Only about 1 out of 20 workers in the industry group earned less than 65 cents an hour, about half had earnings ranging from 65 cents to $1.00, and over two-fifths earned $1.00 or more. M en’s earnings averaged $1.01 while women (employed primarily in the less-skilled jobs) earned an average of 81 cents per hour. A comparison of men’s and women’s earnings in the same jobs revealed an average variation in earnings of 10 percent in favor of men. Considerable variation in earnings was found among several regions. In the Southeast, workers averaged 75 cents per hour, whereas in the Pacific Coast region the average was $1.14. In the three leading machinery-producing regions (New England, Middle Atlantic, and Great Lakes), average earnings were 93 cents, 97 cents, and $1.00, respectively. The interregional differences in earnings were greater for less-skilled than for skilled jobs. Hourly pay was highest in large establishments, in large commu nities, and in union as compared with nonunion plants. These rela tionships, however, were less characteristic of the rates of skilled occupations than of less-skilled jobs. Earnings of incentive workers were distinctly higher than those of time workers in jobs in which both methods of pay were important. During the war, straight-time average hourly earnings were supple mented substantially by overtime work at premium rates and by shift differentials, various other benefits, monetary and otherwise, were provided in substantial numbers of plants. Among these bene fits, paid vacations and insurance plans were common. Bonuses not directly related to production were paid in about half of the estab lishments studied, but amounted to relatively little when averaged over all workers. Background and Scope of Study The extension of collective bargaining and the increased participa tion of Government in wage administration during the war increased considerably the need for wage statistics on an occupational basis. 687489-46 (1 ) 2 Wages by occupation constitute one important aspect of the wage structure of an industry, but there are also other significant aspects. It is important also to know, for example, the distribution of indi vidual workers by average hourly earnings, the relation between union and nonunion wages as well as the variation of wage levels with size of establishment, location of plants, and method of wage payment. The present report summarizes the results of a study of machinery industries made early in 1945.1 The survey was a cross section of these industries during the war period and included all except those produc 2 ing electrical machinery, machine tools, and machine-tool accessories.1 The reconversion to peacetime production proceeds from approximately the wage structure described here. During the war, much of the labor force and productive capacity of these industries was concentrated on equipment needed directly or indirectly by the armed forces. In peacetime they normally serve practically all of American industry, producing a wide variety of basic equipment fo* manufacturing, agriculture, mining, and other non manufacturing industries as well as consumer durable equipment. Among the consumer durable goods produced are washing machines, air-conditioning equipment, refrigerators, sewing machines, and other household equipment. Producer goods made are general and special ized industrial and commercial machinery, engines and turbines (except locomotives, air engines, automobile engines, and turbo generators), agricultural, construction, oil-field and mining equipment, and office and store machinery. As the machinery industries employ about 5 percent of all manufacturing wage earners, their wrage struc ture affects a substantial segment of the country’s labor force. A representative sample of establishments employing 8 or more workers and primarily engaged in the manufacture of machinery in the early months of 1945 was studied. Altogether the survey covered 2,034 establishments, with 495,000 employees, although some of the special analyses summarized here w^ere based on a smaller sample. The total sample represented over a third of the 5,600 establishments with 8 or more employees and almost half of the 1,033,000 workers in the industry group in January 1945. The data for the survey vrere collected by field representatives of the Bureau, who obtained information from pay rolls or other basic records and classified workers by occupation on the basis of uniform job descrip tions.3 The Labor Force OCCUPATIONAL GROUPS Practically every metalworking occupation, from unskilled to highly skilled, can be found in the machinery industries. The most char acteristic processes, machining and assembling, accounted for about 1 In the main, a January 1945 pay roll was studied; in some cases an April period was utilized. 2 The scope of the present study corresponds to that of Industry Group No. 35 of the Standard Industrial Classification Manual (issued by the Bureau of the Budget) except for the exclusion of machine tools and machine-tool accessories. Further information and a fuller discussion of the methods used are provided in three mimeographed bulletins entitled “ Occupational Wage Relationships, Machinery 1945” ; “ Wage Structure, Machinery, 1945” ; and “ Industry Wage Studies, A Descriptive Statement.” The latter bulletin lists other industries for which similar data are or will be available. Local summaries of wage data (forms OWR-17 and 18) are provided by the Bureau for important cities of 100.000 or more in each industry studied. 3 Copies of the job descriptions used in the survey are available on request. 3 three-fifths of all processing workers in the industry group in Janu ary 1945. However, some machinery establishments operated their own foundries and foige shops in addition to machine shops. Stamp ing operations were found to a limited extent in most machinery estab lishments, but in some they constituted sizable departments. Sig nificant, too, were such functions as tool and die making, welding, heat treating, polishing, plating, and painting. A relatively high degree of specialization of machining and assem bling operations exists in the machinery industries. As table 1 indi cates, the largest single group of workers were machine-tool operators whose work was limited to one machine; they comprised about a fifth of all employees and over a third of all processing workers in January 1945. Not only were machine-tool operators generally classified on the basis of type of machine operated, such as turret or engine lathes, but frequently the grouping in individual plants was according to specific make of machines. Moreover, as operators on a given type of machine varied widely in skill,4 for wage-study purposes they were classified by grade. Next in importance to macnine-tool operators were assemblers, accounting for 8 percent of all workers. Production machinists and operators of several types of machine tools comprised only 2 percent of the labor force. Only about "half of the labor force of the machinery industries were engaged in processing operations.5 The other workers performed a wide variety of tasks, such as maintenance of plant and equipment, product inspection, and material handling, or were employed in office jobs. Like processing work, these operations call for workers varying widely in skill. Thus, although relatively unskilled labor is needed in some material-movement jobs and in other auxiliary operations, the adjustment, repair, and installation of complex equipment require substantial numbers of skilled workers. VARIATION OF OCCUPATIONAL STRUCTURE W ITH SIZE OF ESTABLISHMENT As might be expected, small machinery establishments, because of their limited scale of operation, have a labor force that is specialized to a less extent than larger plants (table 1). In January 1945, processing operations accounted for less than half of the labor force in the largest establishments, compared to over three-fifths in the smallest establishments. Maintenance work was found to be only about half as important in small as in large plants; in the former, skilled processing or super visory workers performed some of these functions while in the latter* * The specialized machine-tool operator cn a specif c machine tool is frequently as skilled as the machinist and, in fact, often has served an apprerticeship. Modern irdustry, however, has fcurd it nest efficient to use him at cue machine. B e gererally sets up his machine, cares for it as well as its tools, aEd adjusts it during operation. When he performs these operations on a specific machine tool he is considered a class A worker. At the ether extreme is the worker who is rot required to set up a machine (the set-up man per forms this function for him) but merely terds it and, when something gees wrong, stops the machine and relies on the set-up man or adjuster to put things right. Such workers were classified as class C operators. In the intermediate group, clsss B workers generally maintain an operation set up by others ard make all necessary adjustments. This category also ireludes workers v ho set up and .work at standard operations. Similar distinctions on the basis of skill requirements weie made in classifying assemblers ard inspectors. * The proportion of processing workers shown in table 1 (44.2 percent) understates the actual situation to the extent that some apprentices, learners, and helj ers as well as some workers classified as ‘ ‘other plant workers” are engaged in processing jobs. The latter category also includes workers engaged in semiprofes sional operations in engineering departments, in experimental work, in laboratories, and in production control. Laborers, handymen, yardmen, woodworkers, storage men, installers, salvagers, washers, first-aid attendants, and elevator operators were also classified as “ other plant workers.” This merging of occupa tions was resorted to because it was impractical to classify each occupational specialty separately without obscuring the relationships between the major groups of related jobs. In general, broader occupational categories are used in this table than in presentation of occupational wage rates. 4 T able 1.— Percentage Distribution o f Workers in M achinery Establishments, b y Occupational Group and Size o f Establishment, January 1945 Percent of workers in establishments of— Occupational group LI! sizes 501 or more workers 251-500 workers 51-250 workers Maintenance.................................. ............................. Carpenters............................................................. Electricians........................................................... Machinists............................................................ Maintenance men, general utility....................... Mechanics............................... ............................. Millwrights............................. ............................. Other maintenance workers................................. 3.8 .3 .4 .4 .2 .3 .3 1.9 4.5 .3 .5 .5 .1 .3 .4 2.4 2.9 .3 .4 .4 .4 .3 .3 .8 2.8 .3 .3 .4 .5 .2 .1 1.0 Supervision.................................................................. Working foremen, processing departments......... Other supervisory workers................................... 3.2 1.7 1.5 3.1 1.1 2.0 2.8 1.8 1.0 3.5 2.7 .8 4.9 4.0 .9 Processing *............................................................... Casting.................................................................. Coremakers and molders............................... Other foundry workers............................ Forging.................................................................. Machining............................................................. Set-up men, machine tools............................ Machine-tool operators, class A .................... Machine-tool operators, class B.................... Machine-tool operators, class C.................... Machine-tool operators, miscellaneous ma chines................................................. Other unclassified machine-tool operators . . . Machinists, production.............................. Assembling................................ ' Assemblers, class A ........................................ Assemblers, class B .......................................’ Assemblers, class C .....................................I” Other selected processing......... .......................... I Tool and die makers.......... ............................ Welders, solderers, and brazers_______ Chippers and grinders, sand blast and tum bler operators................... .......................... Filers and burrers................................... Stamping and forming workers................... ’ Heat treaters............................................... Painters....................................................... Polishers and buffers.................................1.1 44.2 3.6 1.9 1.7 .2 23.7 .8 4.7 5.9 4.6 37.7 3.6 1.8 1.8 .2 18.6 1.0 3.8 4.9 4.2 52.8 5.3 2.4 2.9 .2 26.7 .6 5.6 6.2 4.8 55.8 4.1 2.4 1.7 .2 31.8 .4 6.2 7.8 5.0 61.6 2.4 1.2 1.2 .1 40.4 .4 7.0 8.7 6.8 .9 5.5 1.3 8.2 2.0 3.2 3.0 8.9 1.4 2.2 .4 3.9 .4 7.4 1.9 2.8 2.7 7.9 1.3 1.9 r4 8.2 .9 10.3 2.3 4.0 4.0 10.3 1.5 2.6 1.9 7.9 2.6 9.9 2.5 4.0 3.4 9.8 1.8 2.8 5.3 5.8 6.4 10.0 2.1 4.4 3.5 8.7 1.9 3.1 1.5 .9 1.6 .5 .6 .2 1.5 .8 1.3 .4 .5 .2 1.6 1.3 1.7 .4 .8 .4 1.4 .9 1.7 .3 .7 .2 .7 .4 1.8 .1 .7 Inspection.................................................................... Inspectors, class A ............................................... Inspectors, class B ................................................ Inspectors, class O................................................ 4.4 .6 1.1 2.7 5.5 .7 1.4 3.4 3.8 .6 1.3 1.9 2.3 .4 .7 1.2 1.1 .2 .3 .6 Apprentices, learners and helpers.............................. Apprentices........................................................... Learners and helpers............................................ 4.0 .4 3.6 3.6 .2 3.4 5.9 .3 5.6 2.7 .3 2.4 6.6 1.1 5.5 Factory clerical............................................................ Stock clerks..................................................... . Other factory clerks.................................. .......... 3.9 1.2 2.7 4.3 1.3 3.0 4.4 1.4 3.0 2.9 1.1 1.8 2.7 .7 2.0 Packing and crating.................................................... Material handling....................................................... Custodial (guards, janitors, and watchmen)............. Other plant workers.................................................... Office workers....... ...................................................... 1.2 2.3 2.6 16.1 13.9 1.4 2.6 2.6 19.2 15.5 1.2 2.5 2.8 8.3 12.6 1.0 1.7 2.7 13.4 11.2 2.3 7.4 10.1 Total................................................................... 100.0 100.0 100.0 100.0 100.0 8-50 workers 2.1 .1 0) (9 .1 .3 .1 1.5 0) .4 .8 i Less than 0.05 of 1 percent. * As pointed out in greater detail in footnote 6 (page 267), the proportion of processing workers understates the actual situation to the extent that some apprentices, learners, and helpers as well as some employees classified as “ other plant workers” are engaged in processing jobs, there were generally sufficient maintenance duties for workers to be employed on a full-time basis. Inspection, too, as a separate function seemed to grow more important as plant size increased. In addition, small establishments generally performed little laboratory or experi 5 mental work and employed few workers in handling materials or in general labor. A closer examination of the processing operations revealed that about half of the labor force in the smallest establishments was en gaged in machining and assembling, compared to only a fourth of the workers in the largest plants. In machining, all-round machinists constituted over 6 percent of the labor force in establishments with 8 to 50 workers and less than half of 1 percent in those with 500 workers or more. Machine-tool operators, who regularly work on more than one machine, were about as important as macmnists in small estab lishments; in the large plants they were rarely found. Conversely, specialized machine-tool operators and assemblers were a relatively bigger group in large plants. Of the specialized workers employed in small plants, moreover, somewhat larger proportions were class A workers who carried on the most skilled phases of work. EMPLOYMENT OF WOMEN In January 1945 about 1 out of every 4 workers and about 1 out o f every 6 plant workers in the machinery industries was a woman. Office workers accounted for about two-fifths of all women in these industries. Most of the women plant workers were employed in the less-skilled operations, notably as class C machine-tool operators, -class C assemblers, and class C inspectors. UNIONIZATION Operation under union agreements was fairly extensive in January 1945, particularly among the larger machinery establishments. About a third of the plants, employing about two-thirds of the workers, had agreements with unions involving a major portion of their employees. Wage Structure The wage structure of the machinery industries is discussed here in terms of hourly rates (straight-time average hourly earnings in the case of piece-rate or other incentive workers), excluding premium overtime payments and shift differentials. Incentive earnings were included but nonincentive bonuses were omitted. Cost-of-living bonuses weie considered as part of the workers’ regular pay and hence were included. Occupational averages are presented only for key plant and office jobs; no attempt has been made to present separate information for all occupations in the machinery industries. However, all plant workers rather than only those in key occupations were included in the general averages and frequency distributions. All averages, however, ex cluded administrative, executive, professional, and office employees. The wages of inexperienced beginners, apprentices, and handicapped workers were omitted from the wage data for specific occupational groups, but were included in the general averages and distributions. The number of workers reported represents the approximate employ ment on all shifts in all establishments in the machinery industries (excluding those below the minimum size covered by the study) rather than the employment in the establishments actually studied. 6 U N ITED STATES AS A W H O LE In January 1945, straight-time hourly earnings of plant workers in the machinery industries in the United States as a whole averaged 98 cents. Of the 800,000 plant workers in the industry only 1 out of 20 earned less than 65 cents per hour (table 2). About half had earn ings ranging from 65 cents to $1.00, while over two-fifths earned* $1.00 or more. T a b l e 2.— Percentage Distribution o f all Plant W orkers in M achinery Establishments b y Straight-Tim e Average H ourly Earnings Average hourly earnings United States 1and Region , January 1945 New M iddle Bordedsouth- Great Middle South Moun Pa Eng Atlan Statesj east Lakes West west tain cific land tic Percent of workers in each classified earnings group Under 45.0 cents.................. 45.0-49.9 cents...................... 50.0-54.9 cents...................... 55.0-59.9 cents...................... 60.0-64.9 cents...................... 65.0-69.9 cents...................... 70.0-74.9 cents...................... 75.0-79.9 cen ts..................... 80.0-84.9 cents...................... 85.0-89.9 cents.................... _ 90.0-94.9 cents...................... 95.0-99.9 c en ts..................... 100.0-104.9 ce n ts................. 105.0-109.9 cents.................. 110.0-114.9 cents,................. 115.0-119.9 cen ts................. 120.0-124.9 cents................... 125.0-129.9 cen ts................. 160.0-134.9 cents....... ........... 136.0-139.9 cents..-.............. 140.0-144.9 cents.................. 145.0-149.9 cents........... ...... 150.0-159.9 cents....... ........... 160.0-169.9 c e n ts................. 170.0-179.9 c en ts................. 180.0 189.9 r e n ts ............... . 190.0-199 9 cpnts 200.0 cents and over_______ 0.1 2 i!o 1.5 2.8 5.0 6.4 8.3 8.3 8.0 8.1 7.0 7.5 6.0 6.3 5.0 4.2 4.3 2.5 2.3 1.4 .9 1.3 .7 .4 .2 a .2 0.1 .1 1.0 2.0 3.8 6.3 9.0 7.9 10.4 9.2 8.9 8.6 7.2 6.1 4.8 3.1 2.6 2.7 1.6 1.4 1.1 .9 1.1 .5 .2 .2 .1 .1 0.1 .1 .7 1.4 2.9 5.7 6.9 8.7 7.8 8.0 7.8 6.8 8.2 6.4 6.2 4.8 4.3 4.2 2.4 1.9 1.2 .9 1.1 .7 .3 .2 a .2 0.9 1.1 2.6 4.1 10.0 9.2 15.9 10.3 7.4 6.2 5.1 3.8 6.1 3.1 4.2 2.0 3.1 1.6 1.1 1.0 .3 .2 .4 .2 a (2) (2) (2) 2.6 4.1 15.2 9.3 12.5 7.3 7.7 5.6 5.0 4.8 4.5 2.9 4.6 3.3 2.7 2.6 2.1 1.4 .5 .3 .1 (2) .6 .2 .1 (2) (2) f2) 0.1 (2) a 0.1 .6 1.0 .9 2.5 1.9 3.1 4.1 9.0 5.3 10.0 12.5 8.7 8.5 10.0 8.3 8.8 8.5 8.6 6.2 7a 7.3 7.5 9.4 5.9 2.5 6.9 3.9 5.8 1.4 4.6 3.9 1.3 2.7 .5 2.3 1.1 1.6 .2 1.1 .1 1.5 .3 .1 .8 .5 .1 .3 C2) .2 - (2) .3 (2) Total.......................... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 1.0 1.5 2.3 4.2 6.3 7.9 8.7 6.7 7.2 7.0 4.1 3.4 4.0 5.2 9.5 3.8 4.5 4.8 2.5 2.4 1.4 .5 .7 .3 a (2) 0.2 .7 .2 1.8 7.2 10.0 7.8 11.9 6.1 10.4 4.1 6.1 14.5 4.3 4.4 2.8 3.3 1.5 .8 .6 .3 .6 .2 .2 (2) (2) (2) (2) (2) (2) 0.4 .6 1.0 2.7 5.2’ 4.6 5.9 8.9 7.9 4.9 8.8 4.8 6.2 16.6 5.5 7.5 2.7 1.4 2.5 1.0 .5 .2 a a 100.0 100.0 100.0 Total number of workers... 828,000 91,600 202,500 15. 600 15.300 404.200 35,700 17,300 Average hourly earnings. . $0.98 $0.93 $0.97 $0.82 $0.75 $1.00 $0.88 $0.91 2.500 43,300 $0.93 $1.14 1 Excluding premium pay for overtime and night work. 2 Less than 0.05 of 1 percent. The average earnings for plant workers as a whole are a composite of the earnings of workers in a wide variety of occupations; average rates of pay for a group of key occupations are presented in table 3.» Rates in these jobs varied from 67 cents for watchmen, 69 cents for janitresses, and 74 cents for janitors, to $1.33 for men employed as machine coremakers and $1.58 for men operating large steam drop hammers (with force of 5,000 pounds or more). Average hourly rates in excess of $1.20 were relatively uncommon; most of the skilled pro duction jobs had average rates falling between $1.10 and $1.20; the averages for most skilled maintenance jobs ranged from $1.00 to $1.20* Average rates for men in the majority of other occupations studied fell within a range of 85 cents to $1.10. 7 T ab le 3.— Average H ourly W age Rates (Straight-Tim e H ourly Earnings J) fo r Selected Occupations in M achinery Establishments, January 1945 PLANT WORKERS Occupation, grade, and sex Num Aver ber of age work hour ly ers rate Mm 490 Acid dippers....................................... Assemblers, class A ............................ 21,037 Assemblers, class B ............................ 30,437 Assemblers, class C............................ 16,458 Automatic-lathe operators, class A — 1,243 Automatic-lathe operators, class B — 1,752 Automatic-lathe operators, class C— 1,340 244 Bulldozer operators............................ Carpenters, maintenance................... 2,976 Chippers and grinders........................ 11,110 Coremakers, hand............ - ................ 4,628 Coremakers, turn-over-draw ma 403 chine................................................. Crane operators, electric bridge........ 5,881 576 Die setters........................................... Drill-press operators, radial, class A__ 4,080 Drill-press operators, radial, class B__ 5,254 Drill-press operators, radial, class C_ 1,918 Drill-press operators, single and multispindle: Class A .................. - ..................... 2,529 Class B ...................................... — 7,468 Class O....... ............ ..................... 6,92? Drop-hammer operators: 241 Board, under 3,000 pounds-------435 S^eam, unier 5,000 pounds-------129 Steam, 5,000 pounds and over----Electricians, maintenance.................. 4,012 Engine-lathe operators, class A ......... 13,786 Engine-lathe operators, class B ......... 11,025 Engine-lathe operators, class C ......... 4,134 201 Fitters, boiler shop..........................Fitters, structural, class A ................. 396 Fitters, structural, class B ................. 364 Flame-cutting-machine operators..._ 515 Forging-press operators, hydraulic 182 (vertical).......................................... Grinding-machine operators, class A . 6,078 Grinding-machine operators, class B_ 8,701 Grinding-machine operators, class C_ 5,694 Guards................................................ 6,341 784 Heat treaters, class A ......................... Heat treaters, class B ......................... 1,978 Heaters, forge—light work............... . 312 418 Heaters, forge—heavy work............... Inspectors, class A .............................. 5,938 Inspectors, class B .......... ................... 9,606 Inspectors, class C.............................. 5,769 Janitors............................................... 11,786 Lay-out men, class A ........................ 1,281 Lay-out men, class B ......................... 486 Machinists, maintenance................... 4,306 Machinists, production...................... 13,040 Machine-tool operators, miscellane ous machines................................... 9,803 Maintenance men, general utility— 2,375 Mechanics, maintenance.................... 2,793 Milling-machine operators, class A .. 7,497 Milling-machine operators, class B__ 7,417 Milling;machine operators, class C._ 3,730 Millwrights......................................... 2,824 Molders, floor..................................... 5,490 Molders, hand, bench........................ 2,199 Molders, machine............................... 4,612 Painters, finish................................... 1,985 Painters, rough................................... 3,936 Patternmakers, wood......................... 1,896 Platers................................................. 559 Platers* helpers................................. 373 Polishers and buffers, metal.............. 658 Polishing and buffing-machine oper ators................................................. 1,309 Pourers. metal.................................... 1,002 Power-brake operators, class A ......... 278 Power-brake operators, class B_....... 213 See footnotes at end of table. $0.90 1.13 1.00 .87 1.19 1.07 1.08 1.05 1.01 .91 1.15 1.33 .93 1.04 1.12 1.00 .91 1.11 .99 .88 1.16 1.30 1.58 1.10 1.16 1.03 .90 1.12 1.20 1.10 1.07 1.21 1.20 1.16 1.04 .84 1.12 .96 1.10 1.27 1.15 1.02 .86 .74 1.15 1.00 1.17 1.19 1.03 .98 1.10 1.16 1.05 .96 1.06 1.15 1.10 1.19 .99 .91 1.23 .98 .83 1.14 1.07 .90 1.17 .94 Occupation, grade, and sex Men—Continued Power-shear operators, class A .......... Power-shear operators, class B .......... Punch-press operators, class A .......... Punch-press operators, class B__....... Sand mixers, hand and machine....... Screw-machine operators, automatic: Class A ...................................... Class B ......................................... Class C........................................ Set-up men, machine tools................. Shake-out men........................ .......... Sheet-metal machine operators, mis cellaneous machines........................ Sheet-metal workers, production...... Stock clerks........................................ Tool and die makers.......................... Truck drivers..................................... Truckers, hand................................... Truckers, power................................ Turret-lathe operators, hand (in cluding hand-screw imachine): Class A .............. ......................... Class B ......................................... Class C.......................: ................ Watchmen.......................................... Welders, hand, class A ....................... Welders, hand, class B ....................... Welders, machine, class A ................. Welders, machine, class B................. Working foremen, processing de partments........................... ...... . . . . Women Assemblers, class B............................ Assemblers, class C.__........................ Chippers and grinders........................ Coremakers, hand.............................. Drill-press operators, radial, class B_ Drill-press operators, radial, class C. Drill-press operators, single and multi-spindle, class A ................... . Drill-press operators, single and multi-spindle, class B .................... Drill-press operators, single and multi-spindle, class C..................... Engine-lathe operators, class B ......... Engine-lathe operators, class C _____ Grinding-machine operators, class B_ Grinding-machine operators, class C. Inspectors, class A._........................... Inspectors, class B.............................. Inspectors, class C.............................. Janitresses........................................... Machine-tool operators, miscellane ous machines................................... Milling-machine operators, class B ... Milling-machine operators, class C__ Painters, rough.................................. Platers’ helpers................................... Polishing and buffing-machine oper ators.. ............................................. Punch-press operators, class B .......... Screw-machine operators, automatic, class B .............................................. Screw-machine operators, automat ic, class C .............................................. Stock clerks......................................... Turret-lathe operators, hand (in cluding hand-screw machine), class B .............................................. Turret-lathe operators, hand (in cluding hand-screw machine), class C ............................................. Welders, hand, class A ....................... Welders, hand, class B ....................... Welders, machine, class B ............ . Num Aier* ber of a^e wrrk- h'ur’y ers rate 626 775 1,818 3,553 1,560 $1.09 .93 1.12 .94 .80 2,021 2,256 1,638 8,106 3,364 1.22 1.11 1.04 1.17 .84 2,126 1,981 9,759 12,283 3,511 11,132 3,169 .99 1.11 .85 1.29 .87 .79 .85 11,255 11,469 4,875 3,918 10,384 6,131 784 1,448 1.17 1.05 *90 .67 1.17 1.07 1.15 1.08 17,175 1.22 3,549 14,796 918 280 207 374 .92 .81 .83 .92 .91 .84 127 1.05 1,513 .95 7,168 501 1,561 1,020 3,452 120 2,553 21,320 1,776 .82 .99 .81 1.05 .92 1.07 .90 .76 .69 361 628 2,396 287 220 .93 .98 .88 .82 .79 454 3,022 .81 .80 161 1.16 303 2,836 .87 .79 870 1.00 1,813 142 897 295 .85 1.16 .94 .95 8 T able 3.— Average H ourly W age Rates (Straight-Tim e H ourly Earnings J) fo r Selected Occupations in M achinery Establishments, January 1945 —Continued OFFICE WORKERS Occupation, grade, and sex Num Aver age ber of work hour ly ers rate Occupation, grade, and sex Num Aver ber of age work hour ly ers rate Women—Continued Men Bookkeepers, hand_______________ Clerks, accounting________________ Clerks, general____ ____ _____ _____ Clerks, order____________________ Clerks, pay roll _ _ _ _ Office boys____ ... . Women Billing-machine operators.................. Bookkeepers, hand........................... Bookkeeping-machine operators, class A .............................................. Bookkeeping-machine operators, class B .............................................. C alculating-m ach in e operators, class A .......................................... C alcu latin g-m ach in e operators, class B ......................................... . 524 1,116 752 765 386 390 $1.13 .98 .83 .98 .90 .53 699 2,121 .71 .91 . 414 .86 697 .73 1,085 .74 1,223 .65 Clerks, accounting Clerks, file, class A ________________ Clerks, file, class B ________________ Clerks, general.. ________________ Clerks, order_____________________ Clerks, pay roll___________________ Clerk-typists....................................... Office girls.......................................... Stenographers, class A _ . . _ Stenographers, class B _ Switchboard operators—............... . Switch board-operator-receptionists. _ Transcribing-machine operators, class A _ Transcribing-machine operators, class B ______________________ Typists, copy, class A ........................ Typists, copy, class B __ 3,402 580 2,218 6,634 1,222 2,737 5,256 819 3,903 6,153 647 1,538 $0.73 .69 .58 .63 .71 .70 .63 .53 .79 .67 .69 .69 295 .74 431 762 1,641 .67 .68 .59 * Excluding premium pay for overtime andgnight work. The variation in wage rates for a somewhat more limited list of jobs is presented graphically in the accompanying chart; the average wage rates for men time workers were expressed in terms of their relation to the average pay of janitors and hand truckers.6 These indexes were constructed to show for the industry, on a Nation-wide basis, the step-like arrangement of wages in different occupations. Attention is focused primarily on the spread in wages between occupa tions requiring varying degrees of skill and the base occupations which are unskilled; differences in actual wages for any particular group can be measured from the data presented in table 2. The variations from the average relationships are indicated in the chart by the range within which the indexes for half the wage areas fall. VARIATION IN WAGES BY SEX In January 1945 all women plant workers in the machinery indus tries averaged 81 cents an hour, while men averaged $1.01. This difference did not arise primarily from a lack of uniformity in pay for identical work; to a large extent it was a result of a concentration of women in semiskilled and unskilled jobs. A comparison eliminating the effect of differences in the proportion of men and women employed on the same job indicated that, on the average, men earned about a tenth more than women. In some jobs the difference was less than 5 percent, whereas in others it amounted to more than 20 percent. 6 The indexes were based on data for wage areas built around cities of 100,000 or more and were derived as follows: In each wage area the weighted average wage of men employed as janitors and hand truckers was used as a base 000); the wages of other key occupations in each wage area were related to the base wage in terms of percentages or index numbers; the median of all wage area indexes for each occupation was chosen to represent the national average. Indexes for time and incentive workers combined are presented in the report, Occupational Wage Relation ships, Machinery 1045. The relationship of wages in the different occupations is practically the same for All workers (time and incentive combined) and for time workers alone. Although the indexes for time “workers are generally lower, the ranking of the occupations in the two lists is similar. 9 INDEXES OF AVERAGE WAG'S RATES FOR MALE WORKERS IN KEY OCCUPATIONS IN MACHINERY INDUSTRIES JANUARY 1945 WEIGHTED AVERAGE WAGES FOR MALE JANITORS AND HAND TRU CKERS = IOO REGIONAL VARIATIONS IN W AGE R A T E S 7 Average hourly earnings varied among regions from 75 cents in the Southeast to $1.14 in the Pacific region. In the three leading machinery-producing regions, New England, Middle Atlantic, and Great Lakes, average earnings were 93 cents, 97 cents, and $1.00, respectively. Kegional differences in wages were greater among lessskilled than among skilled jobs. The relatively high rates for skilled ? The regions used in this study are as follows: New England.—-Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont. Middle Atlantic.—New Jersey, New York, and Pennsylvania. Border States.—Delaware, District of Columbia, Kentucky, Maryland, Virginia, and West Virgir ia. Southcost.—Alabama, Florida, Georgia, Mississippi, North Carolira, South Carolira, and Tenressee. Great Lakes.—Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin. Middle West.—Iowa, Kansas, Mis souri, Nebraska, North Dakota, and South Dakota. Southwest.—Arkansas, Louisiana, Oklahoma, and Texas. Mountain.—Arizona, Colorado, Idaho, Montana, New Mexico, Utah, and Wyoming. Pacific.— California, Nevada, Oregon, and Washington. 10 workers in the low-wage regions as compared with other jobs in these regions can be traced to the greater tightness of the labor market for skilled workers there. The prevalence of incentive pay for the lessskilled processing jobs in the higher-wage regions also explains in part the greater regional variation in pay for these jobs. Wages for selected office occupations were more uniform among the regions than were rates of plant workers. Pay in the Pacific region tended to be higher than in the rest of the country but there was relatively little consistent variation in the earnings of office workers among the other regions. V A R IA T IO N OF W AG E R A TE S W IT H SIZE OF E STA B LISH M E N T, SIZE OF COM M U N IT Y , U N IO N IZA T IO N , A N D M ETHOD OF W A G E P A Y M E N T On the whole, hourly earnings of plant workers in the machinery industries tended to vary with method of pay, unionization, size of establishment, and size of community, although there were exceptions and the extent of variation differed among jobs. Hourly pay was higher in large establishments, in large communities, and in union as compared with nonunion plants. Average earnings of incentive work ers were consistently above those of time workers in jobs in which both methods of pay were important. It was found that unionization and incentive payment were more prevalent in large than in small plants; the interrelationship of these factors was apparent. The variation with unionization and size of establishment tended to be greater for the less-skilled processing jobs; this fact appears to be related to the more extensive use of incentive payment, which was more common in union and in large establishments, for these jobs. The relatively small spread in rates for the more-skilled workers can be traced to the greater scarcity of such workers and the wider market for their services, as well as the fact that skilled workers were more commonly paid on a time basis. Regional differences in pay on the basis of all 4 factors were generally comparable with the differences observed in the country as a whole, although there was no uniformity in the degree of variation. The Pacific region, however, where practically all work was on a time basis, showed no consistent variation in rates with size of establishment or unionization. Wage and Related Practices As a result of wartime stabilization of wage rates, interest was aroused in the methods followed by individual plants in determining rates of pay. A further consequence of wage stabilization was that “ fringe issues,” covering working conditions and other provisions that affect real income without raising hourly rates of pay, became in creasingly important in the formulation of wage policies and in wage administration during the war. In the aggregate these practices in the machinery industries in January 1945 supplemented substantially the straight-time hourly earnings just described. Methods of wage determination.—By January 1945, two-thirds of the establishments manufacturing machinery had formalized their wage structure by providing a written or other generally recognized rate or schedule of rates. This development may be traced in part to the wartime wage policy of the Government, with its emphasis on stabilization of rates of pay for a given job. 11 Although most of the machinery establishments had formal rate structures and, therefore, established occupational pay scales, these scales were adjusted relatively infrequently through a formal process of job evaluation. Job-evaluation plans were reported by only about 1 out of every 10 establishments studied. Such plans, although vary ing in specific characteristics, attempted to rationalize the structure of occupational wage rates within a plant by evaluating each job in terms of certain standards. Only about a seventh of the machinery establishments paid a significant proportion of their plant workers on an incentive basis. Since incentive systems were found more frequently in large than in small establishments, a higher proportion (between a fourth and a fifth) of the plant workers in the industry were paid in this manner.8 Piece-rate systems were more common than bonus systems. Work schedules and 'premium pay.— In order to maximize the utilization of available manpower and equipment during the war, the machinery industries, like many others, resorted to lengthened hours of work for their employees and to multiple-shift operations. Accord ingly, premium payments for overtime and night-shift, work resulted in gross hourly earnings substantially above the hourly rates reported previously in this article. The typical workweek in January 1945 was 48 liours, and work weeks in excess of 48 hours were common. Almost half of the machin ery establishments operated at least two shifts and about a sixth operated three or more shifts in January 1945. Of the total number of plant workers in these industries, three-fourths were employed bn the first shift, about a fifth on the second shift and about a twentieth on third or other shifts. Approximately three-fourths of the establish ments operating extra shifts provided extra pay for such work. The most common differential for both second and third shifts was 5 cents an hour; the next most common was 10 percent, added to the firstshift hourly pay. Supplementary benefits.—Half of the establishments studied pro vided some type of nonproduction bonus for plant wor kers and a slightly higher proportion paid such bonuses to office employees. Although some establishments paid relatively large bonuses of this kind (in certain cases amounting to more than 10 cents an hour), the total amount paid out was small when averaged over all workers; these bonuses amounted to roughly 1 cent per hour for plant workers and eight-tenths of 1 cent per hour for office employees. As a result of wartime developments and of prewar adoption of such plans, formal provisions for paid vacations and insurance or pension plans had been adopted by a large number of firms in the machinery industries by January 1945. ^ Paid sick-leave plans, on the other hand, were relatively uncommon in these industries. About two-thirds of the establishments provided paid vacations for plant workers who had a year or more of service, and over four-fifths had similar provisions for office employees with comparable service. Most commonly, 1 week's vacation with pay w7as provided for plant workers. For office employees 2-week vacations were slightly more numerous than 1-week periods. 8 For purposes of reporting the number of establishments with incentive systems, establishments with a fourth or more of their plant workers paid on this basis were classified aspredoninantly incentive. However, in determining the proportion of employees paid on an incentive basis, incentive workers in all establish* ments were included regardless of the predon inant method of wage payment in the plant. 12 Only about 50 of the approximately 2,000 reporting establishments had formal sick-leave provisions for plant workers, while about a seventh of the establishments employing office workers had plans for their office personnel. About half of the machinery establishments had one or more types of insurance or pension plans for plant workers and a similar proportion reported such plans for office employees. About 8 out of 10 of the reporting establishments provided life insurance, while 6 out of 10 provided health insurance. ■ . f . VOVEAKNEHT PRIHTII9 OFPICIt l » 4 f
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