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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (March 6, 1904)
Secretary Cortelyou on Capital and Labor w (Copyright. 1901, by Frank CI. Carpenter.) A8IIINOT(JN, D. C. March 4. (Special Correspondence of The Bos. "What can your depart ment do to settle the existing troubles between labor and cap ital?" I ashed this question of Secretary Cortel you as we sat together In his office In the Department of Commerco and Labor yes terday afternoon. The secretary was look ing over reports from his various bureaus, nnd checking oft statistical items running high into the millions, lie has, you know, about fifteen of the most Important bureaus In the United Btates government, employ ing moro than 10,000 men, and entailing an annual expenditure of moro than $10,000,000. Alt the government Investigations and In formation about the big corporations and combinations of capital, as well as ques tions connected with labor, come before him, so that to a certain extent he repre sents Uncle Ham in all his relations to the two. The sccrctnry replied: "The Department of Commerce and Labor has no executive functions in settling the troubles of capital and labor. It cannot In terfere with either party In any controversy that may arise, AH that it alms to do is to furnish the fullest Information possible an to existing conditions. In order that each party muy understand morn fully Just what those conditions are, and be guided thereby In arranging a settlement." "What kinds of Information, Mr. Secre tary?" I asked. "All klndH," was tho reply. "TCverythtng that bears on tho relation of labor to cap ital. Tho elements of cost In varlons prod ucts, tho nrtlcles controlled by trusts and other combinations of capital and the ef fects that such trusts have on prices. We are collecting Information as to wages nnd hours of work, the comparative cost of liv ing and the kind of living In different parts of the United States, tho material, social. Intellectual and moral condition of the workmen, as well as to all matters relating to controversies and disputes between em ployers and employes. This Information Is for capitalists and wago earners alike,. They are. on a perfect equality here. The department nets only as an Information bureau or an educational office, to enable . each party to a better understanding of what the actual conditions are." "Hut, Mr. Secretary, the department gives information to both parties, and It Is perfectly impartial. Why can It not be an arbitrator between them?" "The Deportment of Commerce and La bor has no legal authority to act ns an arbitrator between capital and labor." re plied Secretary Cortelyou. "I see no reason, however, why any of Its officials may not act as arbitrators of labor controversies If requested to do so by the representatives of both parties. Congress, you know, has recognized the principle of Industrial ar bitration by the act of October 1, 1581. under which the greet Chicago strike of 1891 was arbitrated. That act was re pealed by the broader act of June 1, 180S. Hcth of these acts, however, related only to disputes between employers and em ployes engaged In Interstate commerce." "How about the arbitration In the an thracite coal strike?" "In that strike a commission was ap pointed by the president at tho request of both operators and miners, and Its authority to muke a binding award rested only in the agreement of the operators nd miners to abide by Its decision. As you know, tho labors of that commission were successful." "But, Mr. Secretary, are not such trou bles Increasing?" "I think not." was the answer. "The re latloiis of capital nnd labor appear, to be growing better. A variety of Influences are operating to this end. The National Civic federation Is bringing about a better understanding between employers and em ployes In some parts of the country, and much is being done In other ways to ob viate, industrial disturbance; as for In stance, by means of trade agreements. These agreements have been mnde by em ployers and employos coining together, largely through their representatives, to establish wuges, hours of labor and other matters for a fixed period. Such agree ments prevent strikes and lock-outs, and at the present yme seem to be one of the strongest forces making for Indus trial peace, "We have also had some legislation by the various states as to boycotting, black listing, company stores, women and child labor which has removed some of the causes of friction between employer and employes. Arbitration boards to which labor controversies may be submitted have been provided for by twenty-one of the states, but only In a few cases have such boards been able to accomplish much in the adjustment of aggravated difficulties. They are chiefly advisory boards, having no power to enforce thetr decisions." 'How many people are there In the United States. Mr. Secretary, who work With their hands?" "You will And that In the census reports," replied Secretary Cortelyou. "Take out all who are engaged as proprietors, clerks and professional men and we find that there are 18.500,000 who work for wagea with their bands. Soma of these are skilled workman J.i.....U,-... L.fW,. '' ' ;' ... .v . if ' " . f '-' .i ' 1 , ' , . . , ' . ' ' L ,:7 V t -1 J SECRETARY ORORQE B. CORTELYOTJl and others unskilled. Of the total number about 4,000,000 are women." "What percentage of the whole belong to tho labor unions?" "It is estimated that there are about 2.000, 000 belonging to the unions." "Ilow about wages, are they Increasing In the United States?" "Yes," replied Secretary Cortelyou. "The Ilureau of Iabor has been making an in vestigation of that subject, and its estimate Is that wages are now on the average about 15 per cent higher than they were In 1894. 1895 and 1896 and 10 or 12 per cent above tho wages of 1890, when they were higher than at any previous time in our history." "How about the cost of living. Has not that also Increased?" "Yes," replied the secretary. "Tho Bu reau of Labor has Investigated that sub ject and It finds that the average cost of living of 1902 over that of 1890, the country over, has Increased 8.3 per cent The In vestigation was based on the Increase in the retail prices of food on an estimated amount used by each family." "Can you give the cost in different parts of the country?" "Yes," said the sicretary of commerce and labor as he picked up a report and went over the figures. "The average coat of food per famil) estimated by averaging 2.507 families In different parts of the United States was $314.61 each. In the north Atlantic states the average In round numbers was J.ti.0 per family and In the south Atlantic states $313 per family. In the western states It was $322 and In the south central states, $310. These figures are based entirely on the retail prices of food tlve of Its actual cost to the working man." "What Is your department doing as to the gret combinations of capital?" "The Bureau of Corporations," replied Secretary Cortelyou, '"has been gather ing from all sources the Information al ready available as . to the various com binations of capital which come within its Jurisdiction. It in compiling that In formation and studying It in order to de fine the scope of its Inquiries for more speclflo information from such corpora tions or combinations." "Will tho Information the department gathers be confidential or will It be piloted so that all may know Just how the various corporations stand?" "Some of the information of a general nature will be published and distributed, but as to certain specific Information re lating to particular corporations the act creating tho department expressly pro vides that It la gathered for the purpose of enabling the president to make recom mendations to congress for needed legis lation. Such Information will be neces sarily confidential as fax aa the Depart ment of Commerce and Labor Is con cerned. It will bo gathered In tho public Interest, but none of It can b published except at the express direction of the president." "But, Mr. Cortelyou, many people look upon your department as the watch dog of the investor and stockholder?" said L "Congress did not specify any class as one In whose Interest the bureau Is cre atedwhose watch dog It shall be. Its duties are plainly defined, and will be per formed with Impartiality, without regard to special Interest, and for the benefit of the whole public." "Will it not make our financial condi tions more stable?" I asked. "Yes," replied Secretary Cortelyou. "I Udng there is no doubt but that the work of the Bureau of Corporations will have a steadying influence on financial condi tions. It will disseminate actual knowl edge of general corporate affairs and this will largely eliminate the fear and uncer tainty which are so often disturbing fac tors in the financial and industrial world." The conversation here turned to commer cial matters, and I asked Secretary Cor telyou to tell me something about our business abroad. He replied: "Our foreign trade is In a very satis factory condition. We exported more goods last year than during any preceding year In our history. Our exports to Europe were $100,000,000 greater than In 1902 and CO per cent in excess of thoso of a decade ago. We have Increased our exports to differ ent countries of North America 80 per cent and In South America we sold last year 35 per cent moro goods than we did the year before. To Asia and Oceania our exports have trebled In tho last ten years, and to Africa they have become five times as great. Our Imports are also increas ing, although not so rapidly. Last year we Imported more goods than In any pre ceding year. . Indeed, In 1903 the Imports amounted to nearly $1,000,000,000." "But Increased imports mean money go ing out of the country, Mr. Cortelyou," said I. "That is money thrown away." "I don't think so," woa the reply. "It shows thut the country Is prosperous and that business is good. About one-half of the total Imports consists of manufactur ers' materials and a large part of the bal ance la composed of food stuffs and arti cles which we do not produce at home. Much of the manufacturers' materials go abroad again In another shape, and these materials last year amounted to $180,000,000, which U an iiu rease of almost 50 per cent over similar Imports In 1893. That Indicates the enormous Increase In our manufactur ing Industries within the past ten years." "How does the growth of our trade com pare with that of other nations, Mr. Cor telyou?" I asked. "Very favorably, Indeed." was the reply. "Our exports of domestic products are greater today than thpse of any olher country, and our exports are growing more rapidly than those of any other, nation. In 1875 we shipped abroad In round num bers $497,000,000 worth of good, and In 1903 the sum had grown to $l,4i7,0O0.CO0. In 1875 the United Kingdom exported $1.7,00),0 worth of goods, while In 1903 its exports were $1,415,000,000 worth. In other words. In that time we Increased our exports al most 300 per cent, while those of tbe United Kingdom Increased lee than 40 per cent. In 1875 our export trade was not half a groat as that of Great Britain and Ireland In 1903 we exceeded the latter country by; $10,000,000 worth of exports. Germany ill 1875 had an export trade of $96,000,000 in excess of that of the United States. In 1903 it was more than $250,000,000 behind the United States. The United Kingdom and Germany are, next to the United States tho largest of the exporting nations. Sa you see how we grow." "Who are our best customers among tha nations, Mr. Secretary?" I asked. "The United Kingdom by far," was tha reply. "It takes more of our exports than any other country, although Germany and Canada take a great deal, and the percent age of Increase In their case is larger. Wo are Increasing our trade to Russia, having more than quadrupled It In the Inst ten years. We are also selling more goods to Mexico than ever before." "How about Mr. Skinner's expedition to Abyssinia, Secretary Cortelyou. Will that expedition pay?" "I think that closer business relationships will prove valuable to our country In every case whether they be with large nations or small ones, and especially with those na tions whose consuming powers arc In a stage of development. Tho wise and exc Dcrtenced nations of the world, which have been studying the art of developing their export trade, omit no opportunity to cultivate commercial relations with all countries. I think the United States can with profit follow their example." "Our foreign consuls all report to you, Mr. Cortelyou? How do they compare wttU the commercial agents of other nations?" "Tes, they report to me through the State department," was the reply. "The com ments by the newspapers and business men of other nations Indicate that our consular service compares well with that of other countries, but that Is not enough from an American point of view. While the work of many of the consuls Is of a very high grade there can be much Improvement. This fact was fully recognized by tha president and by those of his officials who have Immediate supervision of the work of the consuls. The suggestions made by the business public from time to time with ref erence to the practical problems which confront them In their attempts to increase their export trade will undoubtedly prove helpful In this direction. The consuls are essentially commercial officers. They should play a more vital part In the extension of our foreign trade Their relations to the new department are one of Its pressing problems. The Department of Commerce and Labor will do its share In the effort to Improve this service whenever Improve ment is shown to be needed." "Returning to the labor question, Mr, Secretary. Tell me something about our Immigrants. I understand we had almost a million last year?" "The actual number of the Immigrants) who landed In 1903 is 857,000. That Is the most we have ever bad In a single yeir. We came nearest It In 18S2, when 789.000 were admitted." "That Is an enormous number of people," said I. "Is Uncle Sam big enough to di gest an annual meal like that and retain his true Americanism?" "The question Is a grave one," replied Secretary Cortelyou, "especially consider ing the class of immigrants we are now getting. Until within tho past fifteen years practically all of our Immigrants cams from northern and western Europe and they were largely ..of Teutonic stock. They were Intelligent and Industrious, and they have taken a large part In building tip the country. In molding our Institutions and contributing to our high standard of American cltlsenshlp. "Within the past fifteen years much of our Immigration has been from southern and eastern Europe, composed of elements by no means so desirable, classes which do not easily assimilate with us. which con gregate In cities and communities by them selves, and which may in some degree constitute an unwholesome element of our population. During the past year GfO.OfO of this class of Immigrants were landed, constituting almost 70 per cent of the year's Immigration. A large percentage of the.-a people do not read or write In any lan guage and it will be long before they cam be made Into good American citizens. FRANK O. CARPENTER. Why Tbcy Are Poor Their Ideas are larger than their purses. They think the world owes them a living. They do not keep account of their ex penditures. They are easy dupes of schemers and promoters. They reverse the maxim "Duty before pleasure." They have too many and too expensive amusements. They do not think It worth while to save nickels and dimes. They have risked a competence In trying to get rich quickly. They allow friends to Impose good nature and generosi but tho cniid- The parents art "'jdeaa. ren have Jf3o today what they can p i2iy"h off until tomorrow.