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EMPLOYES AND EMPLOYMENT,

F. Regularity or Irregularity of Employment 1. General

g. Consideration of, as a Wage

Factor (Continued)

Railroad employes working account war business and hence temporarily employed might be justified in seeking higher rate of pay than permanent employes, but organizations not requesting it. (Jewell on Cross).

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h. Correction of, Reduction of personnel turnover more important than net increase in employment because of waste involved in hiring a new man to replace (Milliman on Direct).... 5752-5754 an experienced one. Stability of railroad employment derived in part from almost universal application of seniority system. (Parmelee on Direct). Operation of seniority system in force reduction and in recall. (Horning on Direct). By operation of seniority rules, older men in railroad service will have had continuous employment during and after the war. (Jewell on Cross)..

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Agreement rules for shortening workweek before reducing force agreed to before national policy of recognizing duty of society to take care of unemployed workers. (Jewell on Direct) 5837-5839 Preservation of railroad industry the chief concern of management-inclusive of the welfare of all employes. (Hill on Direct).

1941 Emergency Board stated that railroad earnings adequate to preserve railroad mechanism in good health may also be considered adequate to keep faith with investors and to preserve railroad employment. (Barriger on Redirect).____

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L. & N. expenditure for car retarder necessary to meet competitive condition and hence (Hill on Direct).... 2618-2620 preserve railroad jobs. Low freight rates are particularly necessary in western territory to maintain production and maintain railroad traffic and employment. (Farrington on Direct).

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It was apparently necessary to hire 624 laborers on Atlantic Coast Line in order to substantially maintain the force (Carriers' Exhibit 37). (Morton on Cross)..

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4. Maintenance of Way Employes
a. General

Instability of employment of Maintenance of Way Employes. (Jewell on Direct). Correlation between instability of employment and low wages. (Milliman on Direct)... Maintenance employes have no guarantee of straight time employment aside from full day's work if they start in the morning and one or two days' notice of short time. (Jewell on Direct).

Regularity of employment of maintenance workers controlled not by deferred maintenance but by budgetary considerations depending on traffic and necessity of meeting fixed charges. (Jewell on Direct)... Regularity of employment of maintenance workers less than that of train-and-engine service employes, because the trains have to run. (Jewell on Direct).

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American Railway Engineering Association, report of 1931, cited as to desirability of stabilizing Maintenance of Way employment and training employes. (Milliman on Direct). 1293-1294 Association consists of highest railroad mainte

nance engineering authorities in the United States and Canada. (Milliman on Direct) Committee on Stabilization of Employment in Maintenance of Way Department, proceedings of American Railway Engineering Institute, 1927, cited. (Milliman on Direct). Roadmasters and Maintenance of Way Association, report of Committee to 1926 Čonvention, cited regarding rearrangement of track work and maintenance of uniform forces the year 'round. (Milliman on Direct). Average winter temperatures. (Map-Carriers' Exhibit 35-Morton):

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Emergency Boards cited):

(Milliman on Direct).

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Described.

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(Oliver on Direct)..

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Retirement Board figures indicate that low-paid

Average length of frost-free season. Carriers' Exhibit 36-Morton):

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employe group has considerable irregularity of employment. (Oliver on Direct).

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Irregularity of employment of low-paid groups a big factor in their annual earnings. (Oliver on Direct)...

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Described

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A considerable number of section men stay with the railroad years and years. (Morton on

Instability of employment of manual workers represented by Clerks. (Jewell on Direct).... 5840-5841 Fluctuation in employment of truckers may be explained in part by General Order of Office of Defense Transportation, affecting L. C. L. freight. (Oliver on Direct).

Cross)...

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Extra gang men the most horrible example of irregularity of employment in railroad industry. (Oliver on Direct).

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Separation rate of 14 per hundred, twice as high
as industries generally, and hiring ratio of 148
per thousand in order to increase forces by
per thousand, 3 times as high as for industries
generally, indicated in Carriers' Exhibit 37.
(Milliman on Direct).
Turnover 11%, not 14%.

5748-5749 (Joyner in Closing) 6121-6122

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EMPLOYES AND EMPLOYMENT

F. Regularity or Irregularity of Employment
4. Maintenance of Way Employes
c. Skilled Workers
(Continued)

Seasonal factors not entire reason for fluctuation in employment of bridge and building painters. (Oliver on Direct).

5. Shop Employes

400 Freight Carmen were laid off between November and December of 1941, when manpower shortage was becoming acute. (Oliver on Direct)..

There has been a fairly steady increase in the number of Boilermakers employed from 1939 to 1942. (Oliver on Cross).. Maintenance employes have no guarantee of straight time employment aside from full day's work if they start in the morning and one or two days' notice of short time. (Jewell on Direct)...... Regularity of employment of maintenance workers less than that of train-and-engine service employes, because "the trains have to run.' (Jewell on Direct).. Regularity of employment of maintenance workers controlled not by deferred maintenance but by budgetary considerations depending on traffic and necessity of meeting fixed charges. (Jewell on Direct)..

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There is little direct relationship between volume of traffic and regularity of employment of maintenance of equipment forces. (Oliver on Direct)..

6. Signal Department Employes Instability of employment of signal department employes. (Jewell on Direct)..

7. Clerical Employes

(For Station Employes, see Unskilled Laborers, above)

There has been a fairly constant increase in employment from 1939 to 1942 for Clerks (B&C) (reporting division 7). (Oliver on Cross)..

Irregularity in employment is very slight for stenographers (reporting division 10). (Oliver on Cross)..

Only 55% of telephone switchboard operators,

etc. (reporting division 14) worked every month in 1941. (Oliver on Cross)... Witness believes immaturity of employes in reporting division 14 (telephone switchboard operators) does not explain variations in employment. (Oliver on Cross).

In force reduction, adult Clerks with several years' experience often cut back to messenger positions. (Jewell on Direct)..

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Many classes of railroad employes work exposed to the weather. (Jewell on Direct)... Variations in rates of pay from one railroad to another, against the background of collective bargaining, may be assumed to be geared to varying conditions. (Aronson to Chairman) Many railroad employes are engaged on regular assignments requiring them to be away from home but are not reimbursed for expenses. (Jewell on Direct)..

Some railroad employes working away from home not even privileged to go home over week-ends. (Jewell on Direct)... Speed-up in Express Agency offices. (Keenan on Direct)..

Less in railroad than in manufacturers' car shops. (O'Brien)..

2. Advantages of Railroad Employment Advantages of railroad employment. (Parmelee on Direct).

Railroad employment is desirable employment, more stable than other industries which can close down if demand for product ends. (Aronson in Opening).

Stability of railroad operations is less dislocated by changes in business cycles than those of industry in general. (Parmelee on Direct)....

Unemployment benefits under Railroad Unemployment Insurance Act are more generous than are enjoyed by employes of industrial employers in several states. (Parmelee on Direct).

Railroad benefits compared with state unemployment insurance acts. (Parmelee on Direct)..

Benefit payments under Unemployment Insurance Act were about one-eighth of total collections over period from effective date of Act until December 31, 1942. (Parmelee on Direct).

Railroads are not afforded any experiencerated reduction in their unemployment tax burden. (Parmelee on Direct).... Benefits to railroad employes derived from seniority system. (Horning on Direct)... Railroad employes retiring under Railroad Retirement Act receive greater retirement annuities than are granted under system of old age benefits set up under Social Security Act for employes of other industries. (Parmelee on Direct).

Benefit provisions of Railroad Retirement Act, compared with those under Social Security Act. (Parmelee on Direct).. Railroads were pioneers in voluntary pension systems, such systems having been noncontributory. (Parmelee on Direct)..

3. Recruitment, Promotion, etc. Generally, all applicants for railroad employment are required to fill out application forms like those shown in Employes' Exhibit 51. (Cucich on Direct)..........

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EMPLOYES AND EMPLOYMENT

G. Conditions of Employment

3. Recruitment, Promotion, etc.

(Continued)

Central employment office is in New York and has not yet been extended over the system. (Horning).

New York Central does not interview employes leaving the service, but does maintain records of reasons for separation. (Horning on Cross).

4. Discrimination account Organization Membership

Paragraph 5 of General Order 8 forbade discrimination in employment on account of membership or non-membership in labor organizations. (Jewell on Direct).

Certain organizations have in their agreements with certain carriers non-discrimination rules regarding membership or non-membership in labor organizations. (Mulholland).. Organizations attempted not to serve Union Shop notice on railroads with which agreements contained non-discrimination rule (from Decision 119, Railroad Labor Board) account moratorium agreement. (Jewell on Direct)..

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American Railway Engineering Association 1938 Manual cited as to desirability of training track employes. (Milliman on Direct)... 1291–1292 Except for Canadian National and Baltimore & Ohio, Maintenance of Way organization has never been able to get carriers to agree to training program. (Milliman on Direct)........ Maintenance of Way organization was not able until 1931 to begin to try to correct alleged exploitation of track workers. (Milliman on Direct)

"Railroad industry has never in the past paid a uniform, nor consistent, nor socially decent wage to these employes." (Milliman on Direct)..

Clarke, H. S., Engineer, Maintenance of Way, Delaware & Hudson, statement before 1929 Convention of Roadmasters and Maintenance of Way Association, quoted as to difficulty of holding employes under then present rates and conditions. (Milliman on Direct).

Maintenance of Way Employes' wages have been increased at least 15 cents an hour since date of above-quoted statement. (Milliman on Cross)...

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EMPLOYES AND EMPLOYMENT
G. Conditions of Employment

5. Maintenance of Way Employes
b. Track Laborers
(Continued)

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Reason for higher wage rates for track laborers in North than in South is purely economic, not account of having more equipment to work with. (Morton on Cross)... Section foremen and section men to a large extent live in small towns or rural communities near their work, roughly in proportion to mileage of track to be maintained. (Morton on Direct). Railroad Retirement Board memorandum regarding track labor situation on Western railroads: "Generalized Statement of Facts" read into record. (Milliman on Direct) 5804-5806 Retirement Board regional directors reported that higher rates of pay, lower commisary charges, and better handling of men are necessary to retain labor supply on Western railroads. (Milliman on Direct)..

On Western railroads, overtime for section men
begins after eight hours on week-days and
punitive rates paid for work on Sundays and
holidays; overtime for extra gang men general-
ly begins after tenth hour. (Milliman on
Direct).

Letter from Chairman Leiserson of Railway
Labor Panel to President A. T. Mercier of
Southern Pacific disapproving proposal to pay
overtime to extra gang men after 8 hours in-
stead of 10-read into record. (Aronson in
Direct Examination of Milliman).
Cited. (Joyner in Closing)..

6. Shop Employes

Regularly assigned road service shop employes of railroads paid on a monthly basis get awayfrom-home expenses under certain conditions unless furnished boarding car. (Jewell on Direct)..

(Dwinell)..

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Paid for every day in year, including punitive rates on holidays, losing no time unless laying off of own accord. (Jewell on Direct).. Shop Crafts Rule 15 (compensation of regularly assigned road employes paid on monthly basis) read into record. (Jewell on Direct) 5080-5081 Rule 18 (promotion rule) of New York Central Shop Crafts Agreement (National Agreement) cited. Standard rates for mechanics on many roads 96 cents with pro rata time on Sundays and holidays, 95 cents with punitive rates on Sundays and holidays. (Jewell on Direct).... 5863-5870 Shop crafts willing to give up 1 cent per hour out of next wage increase to secure time and one-half for Sundays and holidays. (Jewell on Direct).

New York Central insisted in current nego-
tiations that time-and-one-half to mechanics
for Sundays and holidays represents extra
cost of about 3 cents per hour. (Jewell on
Direct).

Amendment to Federal Employers' Liability Act
to eliminate principles of fellow servant and of
assumption of risk transferred back shop em-
ployes from coverage of state workmen's com-
pensation laws to coverage of Federal Act:
(Jewell on Cross)..
(cf. also -)..

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Only 25% of track laborers receive minimum wage of 46 cents. (Joyner in Closing)................................ 6102–6103 Practically all track laborers receiving less than 47 cents per hour live in the Southeast, in the country or in small rural towns. (Joyner in Closing)....

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States as strong a case as possible for skill of various classes of employes. (Morton on Direct)... Standards for railroad employment are high because of intricacies and interdependency of various aspects of railroad system. (Cucich on Direct).. Technological changes in railroad plant have increased output per employe, but made greater demands on the employe. (Oliver on Cross).

Have contributed to easier operation in the sense of less manual labor. (Oliver on Cross).

Measure increased capacity of employesskill, experience, and understanding of the industry. (Oliver on Cross)..

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214 311

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Skill of railroad dishwashers, call boys, janitors, crossing watchmen. (Aronson in Closing).. Maintenance of Way organization has continuously held that track man or section man is not a common laborer in ordinary parlance or treatment of the term. (Milliman on Direct) Not more than 10% of total railroad employes in 73 classes unskilled, according to chief executives of the organizations. (Jewell on Direct) 5852-5853 "There are really no unskilled workers represented in this proceeding." (Jewell on Direct).... All employes in railroad industry receiving minimum wage of 46 cents per hour are common laborers. (Morton on Direct). It is not very difficult to break in additional common labor. (Morton on Cross). Conference Board definition of skilled and unskilled workers:

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List and description of reporting divisions considered by chief executives of organizations as unskilled. (Jewell on Direct).

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Because of progress made in type of material, equipment, tools, machines, and methods since 1921, it is doubtful that Railroad Labor Board or I. C. C. would today describe the same employe groups as unskilled as were so described in 1921 reporting division descriptions. (Jewell on Direct)..

In Decision 1028 Railroad Labor Board admitted that training and skill required and degree of responsibility to public distinguished lowerpaid railroad employes from common laborers in other industries. (Employes' Exhibit 4, p. 45-Cucich)..

Only one reporting division given title of "common laborers." (Jewell on Direct)...-----Classification as laborers or common laborers does not indicate type of skill required when average earnings taken into consideration. (Jewell on Direct)....

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EMPLOYES AND EMPLOYMENT H. Duties of Railway Employes

7. Telegraphers

(Continued)

Telegraphers' organization represents station agents at small stations, some of whom do not do telegraphy work. (Homer on Cross)....... In modern railroad practice, considerable communication work is by telephone rather than by Morse Telegraph. (Homer on Cross)...---Certain small non-telegraph agents (reporting division 79) appear to have higher earnings than certain other Telegraphers. Reason for variation is lost in historical factors. Witness is not familiar with their duties but believes that some of them may be supervisory employes. (Oliver on Direct)..

EMPLOYES' EXHIBITS-see Exhibits of the Employes

EMPLOYMENT AGENCY, NEW YORK CENTRAL RR. see New York Central RR.

EMPLOYMENT AWAY FROM HOME

see Absence from Home

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4. Shop Employes

ENOCHS, H. A. (Chief of Personnel, Pennsylvania RR.)

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Appearance as Chairman of Eastern Carriers' Conference Committee..

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