Wage Rates and Working Time in the Bituminous Coal Industry, 1912-1922: With a Summary of Rates for Separate Occupations in Each Coal District in the United States 9781512801750

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INDUSTRIAL RESEARCH DEPARTMENT WHARTON SCHOOL OF FINANCE AND COMMERCE UNIVERSITY OF PENNSYLVANIA PHILADELPHIA

RESEARCH STUDIES XXI

WAGE RATES AND WORKING TIME IN THE BITUMINOUS COAL INDUSTRY 1912-1922

LIST OF PUBLICATIONS OF THE INDUSTRIAL RESEARCH DEPARTMENT I. Earnings and Working Opportunity in the Upholstery Weavers' Trade in 25 Plants in Philadelphia, by Anne Bezanson. $2.50. II. Collective Bargaining Among Photo-Engravers in Philadelphia, by Charles Leese. $2.50. I I I . Trends in Foundry Production in the Philadelphia Area, by Anne Bezanson and Robert Gray. $1.50. IV. Significant Post-War Changes in the Full-Fashioned Hosiery Industry, by George W. T a y l o r . $2.00. V. Earnings in Certain Standard Machine-Tool Occupations in Philadelphia, by H. L . Frain. $ 1 . 5 0 . VI. An Analysis of the Significance and Use of Help-Wanted Advertising in Philadelphia, by Anne Bezanson. $2.00. V I I . An Analysis of Production of Worsted Sales Yarn, by Alfred H. Williams, Martin A . Brumbaugh, and Hiram S. Davis. $2.50. V I I I . T h e Future Movement of Iron Ore and Coal in Relation to the St. Lawrence Waterway, by Fayette S. Warner. $3.00. I X . Group Incentives—Some Variations in the Use of Group Bonus and Gang Piece Work, by C. C. Balderston. $2.50. X . Wage Methods and Selling Costs, by Anne Bezanson and Miriam Hussey. $4.50. X I . Wages—A Means of Testing Their Adequacy, by Morris F . Leeds and C. C. Balderston. 1 1 . 5 0 . X I I . Case Studies of Unemployment—Compiled by the Unemployment Committee of the National Federation of Settlements, edited by Marion Elderton. $3.00. X I I I . The Full-Fashioned Hosiery Worker—His Changing Economic Status, by George W. Taylor. $3.00. X I V . Seasonal Variations in Employment in Manufacturing Industries, by J . Parker Bursk. $2.50. X V . T h e Stabilization of Employment in Philadelphia through the LongRange Planning of Municipal Improvement Projects, by William N. Loucks. $3.50. X V I . How Workers Find J o b s — A Study of Four Thousand Hosiery Workers, by Dorothea de Schweinitz. $2.50. X V I I . Savings and Employee Savings Plans, by William J . Carson. $ 1 . 5 0 . X V I I I . Workers' Emotions in Shop and Home, by Rexford B. Hersey. $3.00. X I X . Union Tactics and Economic Change—A Case Study of Three Philadelphia Textile Unions, by Gladys L. Palmer. $2.00. X X . T h e Philadelphia Upholstery Weaving Industry, by C. Canby Balderston, Robert P. Brecht, Miriam Hussey, Gladys Palmer, and Edward N. Wright. $ 2 . j o .

WAGE RATES AND WORKING TIME IN THE BITUMINOUS COAL INDUSTRY 1912-1922 WITH A SUMMARY OF RATES FOR SEPARATE

OCCUPATIONS

IN E A C H COAL DISTRICT IN T H E U N I T E D

BY WALDO E . FISHER Research Associate Industrial Research Department and Assistant Professor in Industry and A N N E BEZANSON Associate Director Industrial Research Department and Professor of Research Wharton School of Finance and Commerce University of Pennsylvania

PHILADELPHIA UNIVERSITY OF PENNSYLVANIA PRESS 1932

STATES

Copyright, by UNIVERSITY

1932

the

OF P E N N S Y L V A N I A

PRESS

Printed in the UNITED

STATES

OF

AMERICA

DEDICATED JOHN C H A I R M A N

TO

HAYS OF

COAL

HAMMOND

THE

UNITED

STATES

C OM M I S S I O N AND

CHARLES MEMBER

OF OF

THE THE

P.

NEILL

COMMISSION LABOR

IN

STUDIES

CHARGE

ACKNOWLEDGMENTS

This interpretation of the data prepared by the wage rate and earnings sections of the United States Coal Commission was started by the authors as an independent obligation which they had long felt they owed by reason of their connection with the coal investigation of 1922 and 1923. The numerous computations were too vast to have ever been completed in spare time as originally contemplated. The continuance of the problem is largely due to the interest of Dr. Joseph H . Willits who not only encouraged the authors by his comments and criticisms but made available the staff of the Industrial Research Department. Both with him and Mr. F. G. Tryon the problems of the study have been discussed from its inception. We are also indebted to Mr. F. G. Tryon for making available supplementary data some of which was retabulated to meet the needs of the authors. Within the Department we are particularly indebted to Miss Miriam Hussey and Mr. Robert Gray for their criticisms of the text and tables and survey of the methods. Mrs. Marjorie Denison contributed much, both in supervising computations and preparing the charts. It is impossible to acknowledge in full measure the gratitude to the Misses Blanch Daley, Lillian Davis, Josephine Fulton, Helen Klopfer, Janet Lewis, Grace Patterson, Virginia Wharton, and Mrs. Mary Whitley, upon whom fell much of the tiresome work of checking, recording, and compiling the data included in the study. Separate acknowledgment is made to Miss Charlotte K. Warner for assistance in every part of the preparation of the text and for compiling the index. We are grateful to Mr. F. G. Tryon and to our colleagues Messrs. Hiram S. Davis and Emmet H . Welch for reading critically the manuscript and to Mr. William Eichelberger for valuable suggestions concerning the content of Chapters II and III. October 1932.

WALDO E . FISHER ANNE BEZANSON vii

CONTENTS CHAPTER

PACE

F O R E W O R D BY F . G . T R Y O N

XXI

P A R T I II

I

INTRODUCTION FACTORS

3

AND

CONDITIONS

INFLUENCING

E A R N I N G S , AND O P P O R T U N I T Y

WACES,

FOR E M P L O Y M E N T

III

T H E T R E N D OF T H E R A T E S OF T O N N A G E M E N

IV

THE

V VI VII VIII

R A T E S OF D A Y

WAGE

THE

FOR

66 IN L I V I N G

COSTS

92

EMPLOYMENT

124

T R E N D S OF A V E R A G E C O A L V A L U E S AND W A G E R A T E S

....

CONCLUSIONS

METHODS

USED

IN P R E P A R I N G

II

THE

INDEX

NUMBERS

OF

WAGE

RATES X

154 I7J

P A R T IX

7 28

MEN

R A T E S AND C H A N G E S

OPPORTUNITY

EMPLOYEE

189

M E T H O D S U S E D IN P R E P A R I N G T H E D A T A ON O P P O R T U N I T Y EMPLOYMENT

FOR 219

APPENDIX

226

INDEX

369

ix

CHARTS, MAP, AND PLATES CHART

PACE

I Index Numbers of Average Daily Production of Bituminous Coal by Months, 1 9 1 0 - 1 9 2 2

14.

I I Index Numbers of Rates Paid to Pick Miners, 1 9 1 2 - 1 9 2 2

46

I I I Index Numbers of Rates Paid to Machine Miners, 1 9 1 2 - 1 9 2 2 . . . .

47

IV Index Numbers of Rates Paid to Tonnage Men, 1 9 1 2 - 1 9 2 2

48

V Index Numbers of Rates Paid to Pick Miners, Machine Cutters, and Loaders, 1 9 1 2 - 1 9 2 2

62

VI Index Numbers of Rates Paid to Inside and Outside Day Men, 1912-1922

78

V I I Index Numbers of Rates Paid to Inside, Outside, and A l l Day Men, 1 9 1 2 - 1 9 2 2

79

V I I I Index Numbers of Rates Paid to All Day Men and Tonnage Men, 1 9 1 2 - 1 9 2 2

82

I X Index Numbers of Rates Paid to Inside and Outside Day Men, 1912-1922

84

X Hourly Rates Paid to Inside, Outside, and A l l 1912-1922

Day

Men, 86

X I Index Numbers of the Cost of Living in Five Northern and Five Southern Cities in the United States, 1 9 1 5 - 1 9 2 2

97

X I I Index Numbers of the Purchasing Power of the Piece Rates of Tonnage Men, 1 9 1 3 - 1 9 2 2

106

X I I I Index Numbers of the Purchasing Power of the Piece Rates of Pick Miners and Machine Miners, Annual Coal Production, and the Average Number Employed, 1 9 1 3 - 1 9 2 2

108

X I V Index Numbers of the Purchasing Power of the Piece Rates of A l l Tonnage Men, Annual Coal Production, and the Average Number Employed, 1 9 1 3 - 1 9 2 2

111

X V Index Numbers of the Purchasing Power of the Hourly Rates of Day Men, 1 9 1 3 - 1 9 2 2

115

X V I Index Numbers of the Purchasing Power of the Hourly Rates of Day Men and the Average Number of Days Worked by the Mine Tipples, 1 9 1 3 - 1 9 2 2

118

X V I I Index Numbers of the Purchasing Power of the Hourly Rates of Day Men and of the Piece Rates of Selected Tonnage Occupations, 1 9 1 3 - 1 9 2 2

122

X V I I I Tipple Time of Bituminous Coal Mines, 1 9 1 2 - 1 9 2 2

xi

125

CHARTS,

Xll

MAP, AND

PLATES

CHART

PAGE

X I X W o r k i n g T i m e of M a j o r Occupational Groups and T i p p l e T i m e of Bituminous Coal Mines, 1 9 2 1

Average 133

X X W o r k i n g T i m e of Specified Occupations Compared with the T i p ple T i m e of Bituminous Coal Mines, 1 9 2 1

136

X X I T i p p l e T i m e of Bituminous Mines in Union, Non-union, and I r r e g u l a r Areas, 1 9 1 2 - 1 9 2 2

139

X X I I W o r k i n g T i m e of M a j o r Occupational Groups in Union and Non-union Areas, 1 9 2 1

144

X X I I I W o r k i n g T i m e of Specified D a y Occupations in Union and Nonunion Areas, 1 9 2 1

146

X X I V Index Numbers 1912-1922

of

Coal

Values

in

Bituminous

Coal

Fields, 164

X X V Index Numbers of C o a l Values, Production, and W a g e Rates of A l l Employees in the Bituminous Coal Industry, 1 9 1 2 - 1 9 2 2 . .

168

X X V I Index Numbers of Coal Values, Production, and W a g e Rates of A l l Employees in the Union and Non-union Areas, 1 9 1 2 - 1 9 2 2

170

MAP

I Coal Fields Classified According to Union Policy

31

PLATES

I Basic Rates and Changes in Rates f o r T o n n a g e M e n in the Bituminous Industry by Fields, 1 9 1 2 to 1 9 2 3 . (Non-union Mines in K e n t u c k y )

190

I I Basic Rates and Changes in Rates f o r T o n n a g e M e n in the Bituminous Industry by Fields, 1 9 1 2 to 1 9 2 3 . (Union Mines in Western K e n t u c k y )

191

I I I Basic Rates and Changes in Rates f o r Inside D a y Men in the Bituminous Industry by Fields. (Non-union Mines in C o l o r a d o )

192

TABLES TABLE

PAGE

ι Relation Between Thickness of Seam and Average D a i l y Output of T o n n a g e Men in Illinois, 1921, as Shown by Frequency Grouping of T o n n a g e M e n of A l l Classes Employed

8

2 Index Numbers of the Supply of Energy from Bituminous Coal, Oil, Gas, and Water P o w e r in the United States, 1918 to 1923

15

3 Percentage of Coal Produced in Union, Non-union, and Irregular Bituminous Coal Areas, 1 9 1 2 1 0 1 9 2 2

34

4 Percentage of T o n n a g e Produced by Specified Methods Included in the Analysis of T o n n a g e Rates

40

j Index Numbers of Rates Paid to T o n n a g e Occupations, 1 9 1 2 to 1922 ( A l l T o n n a g e M e n , Pick Miners, and Machine Miners)

42

6 Index Numbers of Rates Paid to T o n n a g e Occupations, 1 9 1 2 to 1922 (Machine Cutters and Loaders)

44

7 Annual Percentage Increases and Decreases Over the Previous Year Granted to T o n n a g e Occupations in Union, Non-union, and Irregular Areas D u r i n g Each Y e a r of Period, 1912 to 1922

51

8 Annual Percentage Increases and Decreases Over the Previous Year Granted to T o n n a g e Occupations in Union, Non-union, and Irregular Areas D u r i n g Each Year of Period, 1 9 1 2 1 0 1 9 2 2

52

9 Percentage Increases in T o n n a g e Rates Resulting Directly or Indirectly from the Application of the A w a r d of the United States Bituminous Coal Commission, March 1920

59

10 Net Percentage Increases Granted to Tonnage Men in Union, Nonunion, and Irregular Areas, 1912 to 1920

60

11 Net Percentage Increases Granted to Tonnage Occupations in Union, Non-union, and Irregular Areas, 1912 to 1922 12 Classification of Inside D a y Men According to Occupation, 1921

64 ...

67

13 Classification of Outside D a y Men According to Occupation, 1921 . .

68

14 Classification of D a y Occupations

69

15 Proportion of Coal Included Each Year in the Index Numbers for D a y Men, 1912 to 1922

73

16 Index Numbers of Rates Paid to D a y Men, 1912 to 1922

74

17 Net Percentage Increases or Decreases in Relative W a g e Rates Given in Specified Periods to Designated Occupational Groups Employed in Union, Non-union, and Irregular Areas of the Bituminous Coal Industry

81

xiii

xiv

TABLES

TABLE

PACE

ι $ Net Increases in W a g e Rates Given in Specified Areas to Designated Groups of Day Men, 1912 to 1922

85

19 Hourly Rates of Day M e n in the Bituminous Coal Industry, 1 9 1 2 to 1922 (In Dollars)

88

20 Representation of States in the United States Bureau of Labor Statistics Index of Cost of L i v i n g and the Proportion of Bituminous Coal Miners Employed in Each State in 1 9 2 1

9J

21 Index Numbers of the Purchasing Power of Piece Rates of T o n n a g e M e n , 1 9 1 J to 1922

100

22 Index Numbers of the Purchasing Power of Piece Rates of T o n n a g e M e n , 1 9 1 3 to 1922

101

2 j Changes in the Index Numbers of the Purchasing Power of the Piece Rates of T o n n a g e M e n as Compared with 1 9 1 3 ( 1 9 1 4 to 1922)

104

24 Index Numbers of the Purchasing Power of the Hourly Rates of D a y M e n , 1 9 1 3 1 0 1922

114

25 Changes in the Index Numbers of the Purchasing Power of the Hourly Rates of D a y Men as Compared with 1 9 1 3 ( 1 9 1 4 to 1922)

116

26 Comparison of the Index Numbers of the Purchasing Power of the Hourly Rates of Inside and Outside D a y Men with Those of the Piece Rates of Selected T o n n a g e Occupations, 1 9 1 4 1 0 1 9 2 2

123

27 Percentage of Men Employed in Bituminous Coal Mines W o r k i n g Specified Numbers of D a y s in Designated Years

127

28 A v e r a g e Number of D a y s Worked by A l l Commercial Bituminous Coal Mines in Certain Years Classified by Size of Mine

129

29 Ratio of Starts Made by Full-year T o n n a g e Men to Mine Starts, 1920 and 1921

131

30 Percentage of Inside Men by Individual Occupations, Number Eight-hour Days Worked, and Relation to T i p p l e T i m e

137

of

31 Percentage of Outside M e n by Individual Occupations, Number of Eight-hour Days Worked, and Relation to T i p p l e T i m e

138

32 A v e r a g e T i p p l e T i m e and Its Relation to the F u l l Working Year in Union, Non-union, and Irregular Areas, 1 9 1 2 to 1922

140

33 T h e Percentages of W o r k i n g T i m e that the Non-union and Irregular Areas Worked in Excess of Union Mines as Shown by Tipple T i m e

141

34 T i p p l e T i m e of Union, Non-union, and Irregular Mines Adjusted to a Basic W o r k i n g D a y of Eight Hours, 1912 to 1922

142

35 T h e Percentages of W o r k i n g T i m e that the Non-union and Irregular Areas Worked in Excess of Union Mines When T i p p l e T i m e is Adjusted to Eight-hour Basis

143

36 Number of M e n , T i m e Worked, and Relation to T i p p l e T i m e and F u l l W o r k i n g Y e a r in Union and Non-union Areas, 1921

145

37 T i m e W o r k e d and Relation to F u l l W o r k i n g Y e a r of Inside Day Men by Individual Occupations in Union and Non-union Areas, 1921 . .

148

38 T i m e W o r k e d and Relation to F u l l W o r k i n g Year of Outside D a y M e n by Individual Occupations in Union and Non-union Areas, •92'

149

TABLES

XV

TABLE

PAGE

39 T h e Basic W o r k i n g D a y in Union, Non-union, and Irregular Bituminous Coal Fields, 1912 to 1922

150

40 Index Numbers of Labor Costs and the Wage Rates of A l l Employees for Six Bituminous Coal Fields

ij6

Mine

41 Percentage of the Country's Bituminous Coal Converted into Coke or Used at the Mines

158

42 Disposition of Coal Produced in Bituminous Mines in Selected Years

160

43 Percentage of the T o t a l Value of Bituminous Coal Represented by Estimates in 1920 and 1922, by States

163

44 T r e n d of the A v e r a g e Value of Bituminous Coal in Union and Nonunion Areas and for A l l Areas Combined, 1912 to 1922

165

4 j Index Numbers of Average Coal Values, Production, and W a g e Rates of A l l Employees in the Bituminous Industry

167

46 Index Numbers of A v e r a g e Coal Values, Production, and W a g e Rates of A l l Bituminous Employees in the Union and Non-union Areas

171

47 T h e Scale of W a g e Rates for Inside and Outside D a y M e n Established by the Columbus Agreement, August 28, 1920, for the Hocking Valley District in Ohio

203

48 Classification of D a y Occupations

204

49 Percentage Distribution by Occupations of Inside D a y Men in Illinois and Pennsylvania Bituminous Coal Mines, 1921

205

50 Percentage Distribution by Occupations of Outside D a y Illinois and Pennsylvania Bituminous Coal Mines, 1921

206

Men

in

j ι Percentage Distribution by Occupations of Inside D a y M e n in Illinois Bituminous Shipping Mines, 1912 to 1922

210

j 2 Percentage Distribution by Occupations of Outside D a y Men at Illinois Bituminous Shipping Mines, 1918 to 1922

211

53 Percentage Distribution by Occupations of Inside D a y Men in Pennsylvania Bituminous Mines, 1 9 1 2 1 0 1922

212

54 Percentage Distribution by Occupations of Outside D a y M e n at Pennsylvania Bituminous Mines, 1912 to 1922

213

55 T h e Rates of Inside D a y M e n in Southern Illinois and the Union Mines of Central Pennsylvania Obtained by Different Methods of Weighting, 1912 to 1922

214

56 A Comparison of Index Numbers of Rates Paid to D a y Men Weighted by T o n n a g e and Number of Men

216

57 Number of D a y Men Omitted from the Earnings Data Used in Computing A v e r a g e Eight-hour Days Worked by D a y M e n in the Bituminous Coal Industry, 1921

221

58 T i p p l e T i m e of Bituminous Coal Mines for Fields Included in T h i s Study and the T i p p l e T i m e for A l l Mines as Published by the United States Geological Survey, 1 9 1 2 to 1922

223

APPENDIX TABLES TABLE

PAGE

ι Index Numbers of the Rates of A l l Tonnage Men in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2

226

2 & 3 Index Numbers of the Rates of A l l Tonnage Men in Non-union and Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2

228

4 Index Numbers of the Rates of Pick Miners in Union Fields of the Bituminous Coal Industry, J 9 1 2 to 1 9 2 2 faces

230

5 Index Numbers of the Rates of Pick Miners in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2

232

6 Index Numbers of the Rates of Pick Miners in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2

234

7 Index Numbers of the Rates of Machine Miners in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2 faces

236

8 & 9 Index Numbers of the Rates of Machine Miners in Non-union and Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 1 0 1 9 2 2

238

10 Index Numbers of the Rates of Machine Cutters in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2 faces

240

1 1 & 1 2 Index Numbers of the Rates of Machine Cutters in Non-union and Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2

242

1 3 Index Numbers of the Rates of Loaders in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2 faces

244

1 4 & 1 5 Index Numbers of the Rates of Loaders in Non-union and I r regular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 2 . . . .

246

16 Index Numbers of Hourly Rates of A l l Inside D a y Men in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

248

17 Index Numbers of Hourly Rates of A l l Inside D a y Men in Nonunion Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3 . . . .

250

18 Index Numbers of Hourly Rates of A l l Inside D a y Men in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

252

19 Index Numbers of Hourly Rates of Inside Brakemen in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

254

20 Index Numbers of Hourly Rates of Inside Brakemen in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

256

21 Index Numbers of Hourly Rates of Inside Brakemen in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

258

22 Index Numbers of Hourly Rates of Inside Drivers in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

260

xvii

χviii

APPENDIX

TABLES

TABLE

PAGE

23 Index Numbers of H o u r l y Rates of Inside Drivers in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

262

24 Index Numbers of H o u r l y Rates of Inside Drivers in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

264

25 Index Numbers of H o u r l y Rates of Inside Motormen in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

266

26 Index Numbers of H o u r l y Rates of Inside Motormen in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

268

27 Index Numbers of H o u r l y Rates of Inside Motormen in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

270

28 Index Numbers of Hourly Rates of Inside Trackmen in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

272

29 Index Numbers of H o u r l y Rates of Inside Trackmen in Non-union Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

274

30 Index Numbers of H o u r l y Rates of Inside Trackmen in Irregular Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

276

31

Index Numbers of H o u r l y Rates of Inside Trappers in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

278

32 Index Numbers of H o u r l y Rates of Inside Trappers in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

280

33 Index Numbers of Hourly Rates of Inside Trappers in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

282

34 Index Numbers of H o u r l y Rates of Inside Laborers in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

284

35 Index Numbers of H o u r l y Rates of Inside Laborers in Non-union Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

286

36 Index Numbers of Hourly Rates of Inside Laborers in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

288

37 Index Numbers of Hourly Rates of A l l Outside Day Men in Union Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

290

38 Index Numbers of H o u r l y Rates of A l l Outside D a y Men in Nonunion Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3 . . .

292

39 Index Numbers of Hourly Rates of A l l Outside D a y Men in Irregular Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

294

40 Index Numbers of H o u r l y Rates of Outside Blacksmiths in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

296

41

Index Numbers of Hourly Rates of Outside Blacksmiths in Non-union Fields of the Bituminous C o a l Industry, 1 9 1 2 1 0 1 9 2 3

298

42 Index Numbers of Hourly Rates of Outside Blacksmiths in Irregular Fields of the Bituminous C o a l Industry, 1 9 1 2 to 1 9 2 3

300

43 Index Numbers of H o u r l y Rates of Outside Carpenters in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

302

APPENDIX

TABLES

TABLE

xix PAGE

44 Index Numbers of Hourly Rates of Outside Carpenters in Nonunion Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3 . . . .

304

45 Index Numbers of Hourly Rates of Outside Carpenters in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 1 0 1 9 2 3

306

46 Index Numbers of Hourly Rates of Outside Engineers in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

308

47 Index Numbers of Hourly Rates of Outside Engineers in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

310

48 Index Numbers of Hourly Rates of Outside Engineers in Irregular Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

312

49 Index Numbers of Hourly Rates of Outside Firemen in Union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

314

5 0 Index Numbers of H o u r l y Rates of Outside Firemen in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 1 0 1 9 2 3

316

5 1 Index Numbers of H o u r l y Rates of Outside Firemen in Irregular Fields of the Bituminous Coal Industry, i 9 i 2 t o 1 9 2 3

318

j 2 Index Numbers of Hourly Rates of Outside Laborers in Union Fields of the Bituminous C o a l Industry, 1 9 1 2 1 0 1 9 2 3

320

5 3 Index Numbers of H o u r l y Rates of Outside Laborers in Non-union Fields of the Bituminous Coal Industry, 1 9 1 2 to 1 9 2 3

322

5 4 Index Numbers of H o u r l y Rates of Outside Laborers in Irregular Fields of the Bituminous Coal Industry, i 9 i 2 t o 1 9 2 3

324

55 Dates at Which W a g e Adjustments Were M a d e in the Union Coal Fields D u r i n g the Period 1 9 1 2 to 1 9 2 2 faces

326

j 6 Percentage of Bituminous Coal, Exclusive of Strip C o a l , Produced by Fields Included in the Index Numbers of the Rates of Pick Miners in Union Areas, 1 9 1 2 to 1 9 2 2

328

57 & 58 Percentage of Bituminous Coal, Exclusive of Strip Coal, Produced by Fields Included in the Index Numbers of the Rates of Pick Miners in Non-union and Irregular Areas, 1 9 1 2 to 1 9 2 2 . . . .

330

59 Percentage of Bituminous Coal, Exclusive of Strip Coal, Produced by Fields Included in the Index Numbers of Rates of Machine Miners in the Union Areas, 1 9 1 2 to 1 9 2 2

332

60 Percentage of Bituminous Coal, Exclusive of Strip C o a l , Produced by Fields Included in the Index Numbers of Rates of Machine Miners in the Irregular Areas, 1 9 1 2 to 1 9 2 2

332

61 Percentage of Bituminous Coal, Exclusive of Strip C o a l , Produced by Fields Included in the Index Numbers of Rates of Machine Cutters in the Union Areas, 1 9 1 2 to 1 9 2 2

334

62 Percentage of Bituminous Coal, Exclusive of Strip Coal, Produced by Fields Included in the Index Numbers of Rates of Loaders in Union Areas, 1 9 1 2 to 1 9 2 2

334

63 Percentage of Bituminous Coal, Exclusive of Strip Coal, Produced by Fields Included in the Index Numbers of Rates of Loaders in the Non-union Areas, 1 9 1 2 to 1 9 2 2

336

XX

APPENDIX

TABLES

TABLE

PACE

64 Percentage of Bituminous Coal, Including Strip Coal, Produced by Union Fields Used in Weighting the Rates of Inside Day Men, 1912 to 1923

338

65 Percentage of Bituminous Coal, Including Strip Coal, Produced by Non-union Fields Used in Weighting the Rates of Inside Day Men, 1 9 1 2 to 1923

340

66 Percentage of Bituminous Coal, Including Strip Coal, Produced by Irregular Fields Used in Weighting the Rates of Inside Day Men, 1 9 1 2 to 1923

342

67 Percentage of Bituminous Coal, Including Strip Coal, Produced by Union Fields Used in Weighting the Rates of Outside Day Men, 1 9 1 2 to 1923

344

68 Percentage of Bituminous Coal, Including Strip Coal, Produced by Non-union Fields Used in Weighting the Rates of Outside Day Men, 1 9 1 2 to 1923

346

69 Percentage of Bituminous Coal, Including Strip Coal, Produced by Irregular Fields Used in Weighting the Rates of Outside Day Men, 1 9 1 2 to 1923

348

70 T o t a l Number of M e n Employed in the Union Fields Included in T h i s Investigation of W a g e Rates in the Bituminous Coal Industry, 1912 to 1922

350

7 χ T o t a l Number of M e n Employed in the Non-union Fields Included in T h i s Investigation of W a g e Rates in the Bituminous Coal Industry, 1 9 1 2 to 1922

352

72 T o t a l Number of M e n Employed in the Irregular Fields Included in T h i s Investigation of W a g e Rates in the Bituminous Coal Industry, i 9 i 2 t o 1921

354

73 Percentage of T o n n a g e and D a y M e n in the Union Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 191Z to 1922

356

74 Percentage of T o n n a g e and D a y Men in the Non-union Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 1912 to 1922

358

75 Percentage of T o n n a g e and D a y M e n in the Irregular Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 1 9 1 2 to 1922

360

76 Percentage of Inside and Outside D a y Men in the Union Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 1912 to 1922

362

77 Percentage of Inside and Outside D a y Men in the Non-union Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 1912 to 1922

364

78 Percentage of Inside and Outside D a y Men in the Irregular Fields Included in T h i s Investigation of W a g e Rates of the Bituminous Coal Industry, 1 9 1 2 to 1 9 1 2

366

FOREWORD If one were to prospect the entire economic history of the United States and then stake out a claim in which to make case studies of wage movements, he could hardly choose better ground than bituminous coal mining during the eventful years 1 9 1 2 to 1922. The industry selected covers North, South, and West. It exhibits both time and piece rates, skilled and unskilled occupations, white and colored workers. It includes at one extreme completely unionized fields, in which all mines operate under fixed wage scales with check-off of union dues, and at the other extreme completely non-union fields, operating under flexible wage scales with individual contracts between each miner and the employing company. The period selected is one of violent change in the level of commodity prices. It embraces two years of pre-war "normalcy," the depression of 1 9 1 4 , the munitions prosperity of 1 9 1 5 16, the war itself, and the major reaction of 1 9 2 1 - 2 2 . Sharing the ups and downs of general business during these years, the coal industry also passed through vicissitudes of its own, periods of car shortage, runaway markets, price control by voluntary means and by the rigid processes of the war-time L e v e r Act, wage arbitrations, and two nation-wide strikes. T h e strike of October 1 9 1 9 affected 418,000 men but lasted only six weeks. T h e suspension of April 1922 affected 460,000 men in the bituminous mines and 142,000 in the anthracite mines. It lasted nearly five months, and followed as it was by the railway shopmen's strike of J u l y 1922 which further curtailed the movement of coal, was in point of numbers engaged, if not in duration, the greatest industrial dispute in American history. Exposed to these rapidly shifting forces, what happened to wage rates? Doctor Bezanson and Professor Fisher answer the question in this book. Their sources are the exhaustive xxi

XXII

FOREWORD

materials assembled by them for the United States Coal Commission, under the chairmanship of John Hays Hammond. The commission was the direct result of the great strike, and its collection of wage rates in both the union and non-union fields was perhaps the most extensive yet made for any basic industry in the United States. The data were published in detail in the commission's report. The authors have here reduced them to understandable compass and with scholarly care brought out not only the changes in rates, but the causes underlying these changes, and their relations to the forces of the market and the movement of commodity prices. Not the least valuable results are the wage rate indices for each district given in the appendix. The subject of earnings as distinct from rates is to be covered in a later work. In the ten years since 1922 there have, of course, been sweeping changes in coal mining, especially in the relative proportions of union and non-union production, but the period here studied has left its mark in the present-day problems of the industry and many of the tendencies described are of wide application outside the mines. The book is a contribution not only to the literature of coal but to inductive economics. October 193 2

F. G.

TRYON

PART I

CHAPTER

I

INTRODUCTION If a study of wage rates and employment in the bituminous coal industry needs any further justification than that which the importance of wages in the economy of the industry and the importance of the industry in the economy of the country immediately suggests, it may be found in the present widespread confusion of opinion about wage policy in general. T h e r e is scarcely any phase of economic production about which there is such wide disagreement. For an illustration of this lack of agreement, it is necessary only to point to the present controversy regarding the advisability of maintaining wages in the face of falling prices. A survey of the opinions of 266 manufacturers, wholesalers, public utility executives, bankers, and economists in the United States during the fall of 1931 showed that 60 per cent believed that wages should be cut, 31 per cent that they should be maintained, and 2 per cent that they should be increased. 1 Similar differences of opinion exist regarding almost every aspect of wages. If progress in the development of sound wage policies is to be made, intensive research involving the accumulation and interpretation of a wide range of data, including not only wage rates but such items as annual earnings, employment opportunity, prices, labor turnover, labor costs, sales, stocks, and profits must be undertaken. A twofold approach to the study of wages seems necessary. O n the one hand, comprehensive data must be compiled and analyzed for major divisions of business and for business as a whole. O n the other hand, detailed studies, both current and historical, may well be 1 Industrial S t a n d a r d s C o r p o r a t i o n , quoted in Business Week, N o v e m b e r 4, 1 9 3 1 , p. 21. T h e opinions o f 7 per cent o f those r e p o r t i n g were not specified.

[3]

WAGE

4

RATES

AND

WORKING

TIME

made of selected industries, sections of industries, and individual plants. Studies of this character should serve to clarify questions arising from differences of opinion on wage policy and philosophy, to examine and evaluate, at least in part, many of the premises upon which different wage policies are based, to disclose the economic factors which affect wages in general and in particular industries during different phases of the business cycle, and to make available factual data which will facilitate the establishment of sound wage policies. This study is an analysis of the wage rates and employment opportunity of the mine workers in the bituminous coal industry. This industry holds a strategic place in the industrial order as a vast storehouse of heat and power, the utilization of which involves the livelihood of some 493,000 wage-earners employed in 5,891 commercial mines operating in thirty-odd states. 2 T h e inclusion of bituminous coal in the group of industries in which the Industrial Research Department deemed it advisable to carry on research was influenced both by the fact that a number of the staff of the department conducted investigations for the United States Coal Commission of 1 9 2 3 and by the disorganization of the industry during the last decade. 3 T h e study is primarily interpretative. T h e authors have taken the Coal Commission's published findings and supplemented them with its unpublished material and with information from other reliable sources.4 T h e essential data thus obtained have been reworked, correlated, and presented in simplified form. This investigation covers the eleven-year 2

Coal in 1930, United States Bureau of Mines, pp. 606, 626. ' T h e authors of this study were both members of the staff of the United States Coal Commission in 1 9 2 3 . D r . Bezanson conducted the investigation of miners' earnings and M r . Fisher that of wage rates. ' T h e list of supplementary sources is an exceedingly large one. Special mention should be made of the reports of the Coal Division of the United States Bureau of Mines, the Departments of Mines in the various coal-producing states, the United States Department of L a b o r , the United States Bureau of the Census, the w a g e contracts of the United Mine Workers of America, and the reports of the Bituminous Operators' Special Committee to the United States C o a l Commission, 1 9 1 3 .

INTRODUCTION

S

period from January ι , 1 9 1 2 , to January 1, 1923—the years for which the data were accessible. A later volume, which is now in the final stages of preparation, will present the estimated miners' earnings for the major union and non-union coal fields. The earnings data will be given for tonnage men, inside day men, outside day men, and for all day men. This study of wage rates and employment opportunity is intended to throw light upon a number of questions which, in the light of the price levels at present prevailing and the adjustment in wages that is now being made, should be especially pertinent. Many of the wage problems discussed are found in other industries. Specifically, this study will consider the following questions: What has been the trend of wage rates in union and non-union fields? Have the non-union operators benefited by a flexible wage scale? T o what extent have wage rates been adjusted to meet economic changes as reflected in the value of coal? What has been the trend of real wage rates? T o what extent have the differentials between the wages of skilled and unskilled workers been disturbed by the unprecedented adjustments of the World War and postwar periods? What has been the relation of wage rates to labor costs? What has been the trend of employment opportunity as represented by the working time of the mine in union and non-union fields? Is the working time of the mine a true indicator of the opportunity of employment? Other basic questions concerning wage policies and levels cannot be discussed without earnings data. Their consideration, therefore, must be held in abeyance until the study of earnings is completed. It is believed that the findings herein presented will be of more than academic interest. In few other basic industries does the labor cost constitute as much as 70 per cent of the total cost. In this industry, because the demand for coal is relatively inelastic and overdevelopment is general, the operator cannot control prices or easily pass on to the public additions to his relatively high labor cost. Wage adjustments and poli-

6

WAGE

RATES

AND

WORKING

TIME

cies, therefore, are a matter of paramount importance, particularly in the union fields, where neither prices nor wages are subject to management's control. Since wage rates are the operators' prime determinant of cost, and since changes in wage rates, together with opportunity of employment and price fluctuations, determine the workers' standards of living and opportunity to enjoy leisure, wage negotiations and readjustments have been and in all likelihood will continue to be the friction points in the industrial relations of the industry. T h e fact that wage increases and a rigid wage contract are exacted by the union of the operators in certain coal fields and not in others is an ever-present irritant. A clear statement of the facts concerning wages and employment will undoubtedly be of help to operators and miners in subsequent wage negotiations. T h e findings of this investigation also should have significance for the economist, the statistician, the sociologist, and the statesman. Each of these has a genuine concern in the ultimate stabilization of the industry. I n a study of this character methodology is very important. Innumerable statistical difficulties have arisen in the execution of this project. T h e methods used, the checks utilized, and the limitations of these methods are inseparable parts of the study. F r o m the standpoint of readability, it has seemed to be advisable to present the study in two parts with appendices. P a r t I consists of the necessary background of facts and methods and the findings and conclusions. Part I I contains a careful statement of methods. T h e appendices give detailed information for coal districts and states.

C H A P T E R

II

FACTORS AND CONDITIONS INFLUENCING WAGES, E M P L O Y E E EARNINGS, A N D OPPORTUNITY FOR E M P L O Y M E N T From the standpoint of wage-setting, the bituminous industry has been bequeathed an extraordinary share of perplexing problems. H e r e are found not only the factors which commonly determine wages in manufacturing industries but also the special conditions under which minerals are extracted. A discussion of wage rates, employee earnings, and employment presupposes a knowledge of these forces and conditions. This chapter will consider the more important geological and economic factors that influence them and briefly present the facts necessary for an understanding of the rate structure. G E O L O G I C A L FACTORS AND

CONDITIONS

Important among the natural conditions is the thickness or height of the seam. It is now common knowledge that the height of coal seams varies between fields and within the same field. In the United States, coal is mined in seams that range from less than 24 to over 600 inches in height. 1 In 1920, the average net thickness of the producing coal fields was 63 inches; yet in the Osage field of Kansas the operators were working in coal with a low average of 21 inches; in Iowa with an average of 46 inches ; in Pennsylvania and West Virginia, with averages of 62 and 64 inches, respectively; and in W y o ming, with an average of 101 inches.2 These average figures 1 "Engineering Factors Controlling the Output Per Man Per D a y , " Refort of the U. S. Coal Commission, Part i l l , p. 1882. 1 T r y ο η and Schoenfeld, "Comparison of Physical Conditions in British and American Coal Mines," Coal and Coal Traie Journal, Vol. 57, September ι , September 8, October 7, and November 4, 1926.

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[52]

RATES

OF

TONNAGE

MEN

53

men as a group, as shown in Tables 7 and 8, varied in the different areas. In the union fields, for the year 1 9 1 2 , it averaged over 5 per cent, in the non-union 2 per cent, and in the irregular 3 per cent. T h e prosperity of 1912 continued with increasing momentum. In 1913 the industry reached the highest production ever recorded up to that time. T h e slowing down of business activity that occurred in other basic industries in the second half of 1 9 1 3 did not reflect itself in the coal market. T h e wage rates of the tonnage occupations, except those of the non-union cutters, whose 1 9 1 2 rates were reduced about 7 per cent, remained practically stationary. T h e minor differences shown in Tables 7 and 8, for the most part, are the results of the changes in the weights used and arise out of the fluctuations in the proportion of coal produced by the various districts. But beginning in April 1 9 1 4 , the demand for coal crumbled and the industry drifted into a disorganized condition. Mines representing 25 per cent of the tonnage of Illinois became bankrupt, as did also many of the mines in the Southwestern Interstate field.10 In Ohio, a prolonged and serious conflict was waged over the method of establishing rates to conform with the Green Anti-Screen L a w , which required that the miners in that state be paid for all coal mined rather than, as previously, for the coal remaining after the mine run had been passed over the screens. T h e adjustment finally agreed upon resulted in a reduction in the w a g e rates in this field. In view of the adverse conditions in the industry, it is somewhat surprising that wage levels in most of the fields remained relatively constant. It w i l l be observed that the rates in all areas showed minor adjustments. T h e n the effects of overdevelopment and the destructive forces of competition were arrested by the demand f o r coal for the manufacture of munitions and war supplies. In the 10 T r y o n , F. G., " E f f e c t of Competitive Conditions on Labor Relations in Coal M i n i n g , " Annals of the American Academy of Political and Social Science, January 1924, p. 89.

54

WAGE RATES

AND WORKING

TIME

second half of 1 9 1 5 , the coal market became increasingly active. The operators, however, were hampered in supplying this demand by a growing car shortage. This was first felt in September, but took on significant proportions in November and December. It was, nevertheless, not an unmixed evil from the operators' standpoint because, while it retarded production, it strengthened the market price of coal. The wage level in most union fields remained unchanged. 11 There is evidence that the cutters and the loaders in the non-union and irregular areas received increases which ranged from 1 . 5 to 2.8 per cent over the previous year. B y 1 9 1 6 , the disturbing conditions which developed in 1 9 1 4 had completely disappeared. In the first quarter a new production record for the industry was established. Production during these three months was in excess of consumption, a condition arising out of an anticipated cessation of mining in the union fields owing to the termination of the wage agreement. The suspension, however, was short-lived. A majority of the union fields added a flat increase of three cents to the per ton rate for pick mining and for machine cutting and loading combined. T h e relative rates of all tonnage men in the union fields as a group showed an increase of 5.5 per cent. The percentage increases for machine cutters and loaders were somewhat higher than those for pick miners, an apparent discrepancy which is partly due to the payment of somewhat higher flat increases in certain fields and in part to the lower per ton rate which is paid to those engaged in mining by machine. It should be pointed out that in the union fields it is a common practice to grant all increases to tonnage men in the form of flat sums of three, five, or ten cents per ton rather than on a percentage basis. This method has been adopted in order to maintain the established differentials between pick and machine mining. u Changes in the relative rates of less than one-half of one per cent as shown in Tables 5 and 6 may be due to fluctuations in the proportions of coal produced in the various fields.

RATES

OF TONNAGE

MEN

55

In 1 9 1 6 the wage-earners directly engaged in mining coal in the non-union and irregular areas fared relatively much better than similar workers in the union fields. In the irregular fields, the pick miners were granted an increase of 7.4 per cent, the machine cutters 8.1, and the loaders 13.0 per cent. The increases in the non-union fields were 1 5 . 1 , 8.0, and 17.2 per cent respectively. The average increase for all tonnage men in the irregular field was 9.6 and in the nonunion 15.2, in contrast to the 5.5 per cent advance in the union areas. W h y the operators in the non-union and irregular areas paid these substantial increases it is impossible to say. T w o factors, however, undoubtedly influenced their decision. These were ( 1 ) "the shortage of labor, actual or impending," which "was reported in nearly all producing fields in the last half of the year"} 1 2 and ( 2 ) the aggressive campaign of the United Mine Workers of America to organize the outlying non-union fields. The year 1 9 1 7 was unprecedented in the chaos that prevailed in all parts of the industry. The demand for coal, which already had reached extraordinary proportions, was further accentuated by our entrance into the World War. This condition was aggravated by a disturbing shortage of railroad cars growing out of a congestion of war traffic and a lack of motive power. T h e result was that prices for coal not under contract skyrocketed and in the early months of the year doubled and quadrupled. The situation was further intensified by severe storms in December, by priority orders, and by labor troubles. In the second half of the year the federal government, first through the Committee on Coal Production of the Council of National Defense and later through the Fuel Administration, held speculation in check by means of its price-fixing program. The demand for coal, however, exceeded the supply throughout the entire year. Certain factors made wage adjustments inevitable. Important among these were the rapidly rising cost of living, the " Lesher, C. E.,

Coal in igi6,

United States Geological Survey, p. 9 1 1 .

56

WAGE

RATES

AND

WORKING

TIME

increases granted to wage-earners in other industries, the difficulty of maintaining an adequate force of mine workers in the face of the higher wages that were being paid in other industries, as well as the common knowledge of excessive profits being made throughout the industry. Increases were granted to all mine workers in both the first and second halves of this year. In the union areas the adjustments for the year 1 9 1 7 raised the wages of all tonnage men approximately 36 per cent. In the irregular fields the corresponding increases amounted to 45.6 per cent and those of the nonunion areas to 40.4 per cent. H o w the increases were distributed among the various occupations is shown in Tables 7 and 8. It will be observed that the increases granted during the year in the irregular and non-union fields were relatively higher than those given in the union areas except in the case of machine cutters in the irregular fields. T h e disorganization which characterized the industry in 1 9 1 7 had practically disappeared by the close of the first quarter of 1 9 1 8 . T h e F u e l Administration, through its zoning system and coal budgeting, had succeeded in establishing control of all phases of the production and distribution of bituminous coal except the routing of railroad cars. E v e n this difficulty was overcome by November. T h e real factor which limited a still greater production of coal was a lack of demand. After the armistice of November 1 1 the war boom collapsed. B y the end of the year, part-time operation had appeared in many districts. T h e wage rates in the union areas, with minor exceptions, remained unchanged. In the irregular and non-union areas, the increases to the pick miners and machine miners amounted to about 1 per cent and 1 per cent respectively. At the beginning of 1 9 1 9 the market for coal was decidedl y a buyers' market. T h e abrupt close of the W o r l d W a r left the consumers with heavy supplies of coal which were not disposed of until summer. T h e difficulties of marketing were augmented by the determined efforts of operators in all fields

RATES

OF TONNAGE

MEN

57

to recapture the pre-war markets which the Fuel Administration, in cooperation with the Railroad Administration, had temporarily taken away through the establishment of zones of distribution. In the early summer, as the result of a national "buy early" campaign, monthly production began to increase. T h e threatened strike in the union fields gave an added impetus to buying in September and especially in October, when all previous records of production were broken. The strike in the union areas, which began November ι and continued until December 1 2 , grew out of a series of demands, important among which were a 60 per cent increase in wages and a 30-hour five-day week. T h e operators maintained that the demands of the union were out of order inasmuch as the Washington Agreement under which the men had been working provided that "subject to the next Biennial Convention of the United Mine Workers of America, the Mine Workers' representatives agree that the present contract be extended during the continuation of the war, and not to exceed two years from April 1 , 1 9 1 8 . " The union, however, held that the war had terminated with the signing of the Armistice even though there had been no declaration by the government that the war was at an end. The federal government secured an injunction to prevent the strike. It was ineffective. Practically all the union mines were compelled to shut down and the strike continued with surprising vigor until December 12. It was then officially discontinued by the union after an increase in pay of 1 4 per cent18 was assured with the understanding that an arbitration commission, to be appointed by President Wilson, would consider the union's original demands and that the commission's award would be the basis of a new agreement. A study of Tables 7 and 8 will show that the increase which was granted to union " In certain areas, particularly the Central Competitive Field, it was mutually agreed by the operators and the union that the 14 per cent be applied as a flat sum of 1 1 cents per ton to the pick-mining and machine-mining rates. Minority Report of the United States Bituminous Coal Commission, 1 9 2 0 , p. 120.

58

WAGE

RATES

AND WORKING

TIME

employees on December 1 2 of this year definitely influenced the wage levels of the non-union and irregular fields. The index numbers for all tonnage men show increases which ^mounted to 1 3 . 1 per cent in the non-union, 14.9 per cent in the irregular, and 14.0 in the union areas. T h e year 1 9 2 0 in many respects resembled the chaotic year of 1 9 x 7 . The post-war industrial boom which swept the country during the first few months created a strong demand for coal. Moreover, consumers' stocks were dangerously low in many sections of the country, particularly north of the Ohio and Potomac and east of the Mississippi, owing to the six-week strike in the f a l l of 1 9 1 9 . Transportation was disrupted by the "outlaw" strike of the switchmen which tied up the country's freight at railroad terminals. Furthermore, coal cars which normally carried the non-union coal were concentrated in the Mississippi Valley, a condition resulting from the heavy shipments made by the non-union fields to the valley during the shut-down in the union fields. The export demand for coal, which reached its peak in April, also added to the difficulty of meeting an extraordinary, unanticipated demand under the handicap of a disorganized transportation system. As a result of this series of events, the price of coal leaped to the highest levels ever recorded in the bituminous industry." It was in this period of high prices and unfilled orders that the United States Bituminous Coal Commission studied the union's demands of 1 9 1 9 . In March, it handed down its decision. T h e Garfield Award of approximately 1 4 per cent which had been granted to the tonnage men at the close of the strike was replaced by an increase of 24 cents a ton in the tonnage rates and a 20 per cent increase in the pay for yardage, dead work, room turning, etc. The commission awarded an additional increase of approximately 1 3 per cent to the union rates that were established by the Garfield Award for the pick miners and somewhat over 16 per cent to the rates of the machine miners. It is interesting to note that the non" Tryon and Hale, Coal in 1919,

1920, ani 1921,

pp. 454-458.

RATES

OF TONNAGE

MEN

59

union and irregular operators apparently applied the commission's award to the tonnage rates in their respective areas. H o w the increases granted by the award of the commission were distributed among the tonnage workers in the union T A B L E PERCENTAGE

INCREASES

IN T O N N A G E

9 RATES

RESULTING

DIRECTLY

I N D I R E C T L Y F R O M T H E A P P L I C A T I O N OF T H E A W A R D OF T H E STATES BITUMINOUS COAL COMMISSION, M A R C H

OR

UNITED

1920

Percentage Increases Added to Rates of Specified Occupations

Occupation

Union

Non-union

Irregular

All Fields

Including Garfield Award All Tonnage Men Pick Miners Machine Miners» Machine Cutters Loaders

31-7 27-4 34-2 36.0 35-0

29.5 29.8 29-3 29.1 30-3

35-2 31.8 38.1 41.7 37·2

313 29.0 33 0 340 33-3

Exclusive of Garfield Award b All Tonnage Men Pick Miners Machine Miners· Machine Cutters Loaders

15.0 13.2 16.2 1

5 -9 16.7

15.2 14.4 15-7 13.2 16.2

18.0 14.9 20.5 21.2 20.2

15-4 14.1 16.5 iS.6 17.0

• Includes machine cutters and loaders. The percentages in this section do not agree with those for the year 1920 shown on Tables 7 and 8 because they are computed from the rates as of June 30, 1920 the wage rates established by the award. b

areas and how the irregular and non-union operators responded to this award are shown in Table 9. The table gives both the increases inclusive and those exclusive of the Garfield Award—the 1 4 per cent increase granted at the close of the strike in the late fall of 1 9 1 9 . Total Increases, 1Q12 to 1Ç20 Inclusive Because the levels of wage rates under the influence of the economic conditions created by the World War generally

60

WAGE

RATES

AND

WORKING

TIME

m o v e d upward in all areas from 1912 to 1920 and because the w a g e policies of the non-union and irregular operators in their efforts to capture the coal markets during the post-war depression resulted in wide differences in the wage levels of these areas as compared with the union fields, it seems advisable to summarize the changes in rates that took place in the union as contrasted with the non-union and irregular areas prior to 1 9 2 1 . T h e effects of the total wage adjustments that occurred during this nine-year period upon the average rates of the various tonnage occupations in each of the three areas are shown in T a b l e 10. T A B L E 10 N E T PERCENTAGE INCREASES G R A N T E D TO TONNAGE M E N IN U N I O N , NON-UNION, AND IRREGULAR A R E A S

191a TO 1920 Occupation All Tonnage Men Pick Miners Machine Miners" Machine Cutters Loaders

Union 95-7

77.0 115.1

112.3 124.7

Non-union

Irregular

A l l Fields

125.7 123.2 130.9

124.7 148.1

108.3 97.6 122.2

92·3 146.3

"9-3

106.6

109.2

156.4

'35-3

» C u t t e r s and loaders combined.

It w i l l be seen that, relatively speaking, the irregular fields paid larger increases than did the union fields in all occupations and that the total increases granted in the non-union areas were more substantial than those in the union areas except for machine cutting. Moreover, it will be observed that the irregular areas gave the highest percentage increases to all occupational groups other than pick mining. It is h a r d l y necessary to point out that these gains of the non-union and irregular fields are relative and not necessarily absolute. I n reality, the 1920 weighted rate for a large proportion of union pick miners, for example, was 16 cents higher than the average rates for the pick miners in a large percentage of the mines in both the non-union and irregular

RATES

OF TONNAGE

MEN

61

areas. This difference in the rates which favors the union fields cannot be assumed to represent higher earning opportunity per ton of coal because there is no way to determine how much of this sum is due to difference in seam conditions, to methods of mining or to variations in job content, and how much is due to higher piece rates for similar skill and effort expended. Moreover, it should be remembered that the same flat increase applied to the union and non-union rates of 1 9 1 2 would show a larger percentage increase for the non-union areas because of a lower starting rate. Relative Rates in 1921 and 1922 When the post-war boom collapsed, the overdevelopment which had appeared on the horizon in 1 9 1 4 reappeared in exaggerated form. The forces of competition called into action by the general industrial depression of 1 9 2 0 disrupted the industry. In the face of an almost continuously weak market, the production figures for 1 9 2 1 dropped to nearly the 1 9 1 0 level. The non-union employers, operating under a flexible wage policy, ordered general wage reductions which, in 1 9 2 1 , amounted to 9.5 per cent during the first half of the year and an additional 1 4 per cent during the second half. In the irregular areas the wage level remained unchanged during the first half of the year, but in the second half wage cuts which equaled approximately 4 per cent were put into effect. At the close of 1 9 2 1 the non-union tonnage men as a group were paid about 77 cents for every dollar which they had received per ton of coal in the corresponding period in 1920 and the tonnage men in irregular areas were paid 96 cents. The union fields, on the other hand, continued to pay the 1920 rates. A general strike beginning on April 1 , 1922, shut down 60 per cent of the normal productive capacity of the industry for approximately 20 weeks." During this interval the non-union mines operated at as nearly full time as railroad " T r y o n , F. G., and Hale, Sidney, p. 4 4 1 .

Coal in 1922, U.

S. Geological Survey,

[62]

RATES

OF TONNAGE

MEN

63

cars would permit. The prices for coal remained fairly constant until May. The coal shortage led to the control of both prices and distribution by the federal government. Notwithstanding the strike in the union areas and the wide-open market for coal, the operators of both the non-union and that portion of the irregular fields not closed down by the strike made additional wage cuts. On June 30 the wage rates of all tonnage men in the non-union areas were about 29 per cent and the irregular areas 1 5 per cent below their respective levels at the close of 1920. On August 17 the strike was settled. The failure on the part of the union operators to reduce wages led to advances in the wages paid in both the non-union and irregular areas. In the non-union fields the increases paid to all tonnage men averaged approximately 3 1 per cent and those in the irregular areas 18 per cent. In the irregular areas the advances, generally speaking, reëstablished the 1920 rate, while in the non-union areas the rates at the close of 1922 were between 5 and 1 0 per cent below the 1920 level, the average decrease for all non-union tonnage men being 7 per cent. How the wage adjustments that occurred in 1 9 2 1 and 1922 affected the 1 9 2 0 wage levels of the various tonnage occupations in the several areas is shown in Tables 5 and 6. The Effects of Wage Adjustments upon Occupational Differentials, 1912 to 1922 T o what extent did the wage changes during the elevenyear period alter the relative standing of the pick miners, the machine cutters, and the loaders as measured by their earning capacity per ton of coal in 1 9 1 2 ? The answer to this question is presented in Chart V. A study of this chart will show that in all the areas the loaders made the greatest relative gains and that in all but the non-union areas the machine cutters improved their earning capacity per ton of coal relatively more than the pick miners but not more than the loaders. In the non-union areas, the machine cutters made the

64

WAGE

RATES

AND

WORKING

TIME

least gains up to 1920 and were given the most drastic reductions during the post-war readjustments in rates. Table 11 gives, by m a j o r areas, the net gains in wage rates that were made by the tonnage occupations during the eleven-year period. T A B L E

H

N E T P E R C E N T A G E I N C R E A S E S G R A N T E D TO T O N N A G E IN U N I O N , N O N - U N I O N , A N D I R R E G U L A R

OCCUPATIONS

AREAS

1912 τ ο 1922 Occupation

Union

Non-union

Irregular

All Fields

All Tonnage Men Pick Miners Machine Miners· Machine Cutters Loaders

95-9 77-3 115.1 112.5

110.6 103.8 118.7 73-7 136.2

124-3 108.6

103-3 90.7 118.2 98.8 130.8

124-3

147-9 120.4 155.6

» Cutters and loaders combined.

T h e essential points brought out by this discussion of the trend of tonnage rates are clearly illustrated in Charts I I to I V inclusive. It will be observed that the eleven-year interval is made up of three periods : ( i ) 1 9 1 2 to December 3 1 , 1 9 1 5 , in which the rates in the various areas tended to remain at their respective levels; ( 2 ) December 3 1 , 1 9 1 5 , to the end of 1920, in which all rates made sharp advances to meet the unprecedented economic exigencies arising during the war period and the post-war b o o m ; and ( 3 ) December 3 1 , 1920, to the end of 1922, in which the union rates remained unchanged, but the rates in the irregular and more particularly in the non-union areas were subjected to severe reductions. D u r i n g the first period the union rates were relatively higher than those in the other areas. D u r i n g the second period the relative rates of tonnage men in the non-union and irregular fields increased more rapidly than those in the union fields. D u r i n g the third period the non-union operators introduced a series of wage cuts which totaled about 29 per cent. These reductions depressed the wage rates of the first half of 1922

RATES

OF TONNAGE

MEN

65

to a point below the level of the second half of 1 9 1 7 , but later increases restored the rates to within 7 per cent of the 1920 level. In the irregular areas the cuts were less drastic and for all tonnage men amounted to about 1 5 per cent. These reductions in the irregular areas were completely restored in the latter part of 1922. Reference to Charts I I to IV inclusive will show that during the years 1 9 1 2 to 1920—the first two periods—both the non-union and irregular rates were sensitive to the adjustments in the union areas. This fact raises a fundamental question—would the increases in the non-union and irregular areas have been as substantial or as frequent had there not been a powerful union in the industry? This question cannot be answered for this industry by means of statistical data. Until it is answered, no evaluation of the contribution of the union to the wage-earners of the entire industry can be made. The suggestion of the influence of union rates upon the rates in other areas, however, evidently disappears when the competitive forces in the industry become unduly severe, as is evidenced by the movement of rates in the non-union and irregular areas in 1 9 2 1 and the first half of 1922. It is this fact that works undue hardship upon the union operators. T h e curves on the accompanying charts clearly demonstrate the enormous advantage which the mine owners in the non-union and to a less extent in the irregular areas have in being able to adjust wages to meet the changes in the coal market.

CHAPTER

IV

T H E RATES OF DAY

MEN

In addition to the tonnage men, the operation of a coal mine requires the presence of a large force of auxiliary workers. These employees are called "day men," a term which in all probability has grown out of the general practice of establishing standard rates on a daily instead of an hourly basis.1 This chapter will present for this group of wageearners the trend of the nominal rates as well as the hourly rates for the period 1912 to 1922, inclusive. T h e index numbers and the hourly rates that have been prepared will make it possible to compare the wage levels of day men in union, non-union, and irregular areas. It will be recalled that the day men constitute approximately 40 per cent of all bituminous wage-earners. About 63 per cent of these workers are employed inside the mine proper and are known as "inside day men." T h e remaining men in the day group are employed on the surface and are called "outside day men." 2 G E N E R A L CLASSIFICATION OF D A Y

OCCUPATIONS

Inside Day Men The number of day occupations and the occupational terminology vary from field to field. There are certain occupations, however, that are found in practically all mines. T h e inside day men include the following occupational groups: ( 1 ) the motormen, brakemen, cagers, and drivers, all 1 C e r t a i n o f the o c c u p a t i o n s a r e p a i d on a m o n t h l y basis. It is c u s t o m a r y , h o w e v e r , to include them u n d e r this designation. 1 B o t h the p r o p o r t i o n of d a y men to the total n u m b e r o f w a g e - e a r n e r s and the p r o p o r t i o n o f inside to outside d a y men fluctuate f r o m y e a r to y e a r . T h e a b o v e percentages are representative of conditions in 1 9 2 1 and 1 9 2 2 . T h e fluctuations f o r each of the e l e v e n years c o v e r e d b y this study are g i v e n in the a p p e n d i x , p p . 3 5 6 - 3 6 7 .

[66]

RATES

OF DAY

67

MEN

of whom are primarily engaged in supplying the miners with empty coal cars and in conveying the loaded cars to the cage or elevator and to the surface; (2) the bratticemen and trappers, who regulate the flow of air through the underground working places; (3) the maintenance men, such as the trackmen, timbermen, pipemen, and electricians; (4) the pumpmen, who operate and repair the pumps used in removing the water from the mines, and ( 5 ) other workers in miscellaneous service occupations. T h e occupational distribution of inside day men for the industry as a whole, based on the data compiled by the study of "Earnings of Bituminous Mine Workers," is shown in Table 12 for the year 1921. 3 It should be understood that this is a composite picture and that the distribution of employees among these occupations in any one field may differ materially. T A B L E χα CLASSIFICATION

OF

INSIDE

Occupation Brakemen Bratticemen Cagers

DAY

MEN

ACCORDING

TO O C C U P A T I O N ,

Percentage 8.3 1.7 2.3

Doortenders Drivers

3.4 15.6

Electricians

2.5

Motormen Pumpmen

6.9 3.0

Timbermen Trackmen

7.8 15.3

Laborers

16.8

Miscellaneous

16.4

Total

Outside Day

1912

100.0

Men

T h e men on the surface are employed in the power house, the boiler room, the blacksmith shop, the machine shop, on 8 Bezanson, Α . , " E a r n i n g s of Bituminous M i n e W o r k e r s , " Report U. S. Coal Commission, Part i n , pp. 1 1 9 2 - 1 1 9 9 .

of

the

68

WAGE

RATES

AND

WORKING

TIME

the tipple—an elevated platform to which the mine coal is raised to facilitate dumping into the railroad cars—or in the yard itself. A complete list of outside occupations would be quite sizable. T h e more important occupations and the distribution of the outside force are given in Table 13. T A B L E 13 C L A S S I F I C A T I O N OF O U T S I D E D A Y M E N A C C O R D I N G TO O C C U P A T I O N ,

Occupation Blacksmiths Carpenters Engineers Firemen Laborers Stablemen Miscellaneous Total

1921

Percentage 6.5 9.6 4.6 5.5 32.5 1.2 40.1 100. o

The Classifications Used in This Study In preparing relative rates for an industry with many occupations, some combination of occupations becomes necessary. T h e large number of computations involved makes such a step advisable. Because the commission's examination of wage rates was the only source of non-union rates as well as of many of the rates in the irregular areas, it was necessary to use either the classification adopted by this study or some combination based on that classification. In the interest of greater accuracy it was decided to accept the occupational classification as established by the wage-rate division and to assign each of the occupations not included in this classification to the occupation of which the rates were most nearly the same. Such assignments were made after a careful examination of the daily and hourly earnings as computed in the commission's study of earnings, of the price lists of day men as published in the wage agreements in the union fields, of the data supplied to the United States Coal Commission by

RATES

OF DAY

69

MEN

the various operators' associations, and of earnings information prepared by the United States Bureau of Labor Statistics. T h e classification adopted is given in Table 14. Each group or class has been referred to by its key occupation, i.e., the original occupation for which the rates were collected and to which other occupations were assigned. Thus, when the term "brakemen" is used it is understood that it includes water and machine haulers, pipemen, and cagers. TABLE

14

CLASSIFICATION OF D A Y OCCUPATIONS

Inside Day Men K e y Occupation

Outside Day Men Key Occupation

Occupations Included

Motormen

Shot firers

Blacksmiths

Brakemen

Water and machine haulers Pipemen Cagers

Carpenters

Engineers

Drivers Trackmen

Occupations Included

Firemen Electricians Timbermen Bratticemen

Laborers

All others

Trappers Laborers

STATEMENT

All others

OF

METHODS INDEX

USED

IN

PREPARING

NUMBERS

Schedule W - i of the Coal Commission's wage study requested the hourly rates of pay as of January 1, 1912, and subsequent changes in rates up to and including January 1, 1923, for six inside and five outside day occupations. This

70

WAGE RATES

AND WORKING

TIME

schedule, in the case of the non-union and irregular fields, was sent to all companies having mines which produced 50,000 tons or more of coal. These companies were asked to make a separate report for each mine, including mines with an annual capacity of less than 50,000 tons. In the union fields, because the published wage scales mutually agreed upon by the miners' union and the operators were available to the commission, only a limited number of operators in each subdistrict or district were asked to fill out and return the W - i schedule. The sampling in the union areas served both as a check of the established scales and supplied certain information not available in the wage contract. In the non-union and irregular areas, the hourly rates thus secured by mines for each occupation were weighted by the number of men in that occupation as of January 1 , 1 9 2 3 , and a median rate for each year was secured for each district. A median rate and not a weighted arithmetic average was used in the case of day men because seam conditions did not influence earning opportunity and because the writers are convinced that median rates give a more accurate figure for the purpose at hand.4 From the median rates prepared for the eleven-year period for each occupation in each district, relative rates were computed, the base, as in the computation of the relative rates of the tonnage men, being December 3 1 , 1920. In the union fields it was not necessary to establish median rates, except in a few instances, because the wage contracts usually specified the standard day rate for each occupation in each district or sub-district. In those districts where no standard rate was established for a given occupation, a median rate was secured from the W - i schedules. T w o series of data were then compiled for the union, non-union, and irregular areas and for the industry as a whole: ( 1 ) index numbers for each inside and outside day occupation, and ( 2 ) index numbers of the wages of all inside day men, all outside day men, and of all * See discussion, pp. 1 9 4 - 1 9 5 .

RATES

OF DAY

MEN

71

day men. In preparing the individual occupational index numbers for the major areas, the relative rates for each occupation in a given district were weighted by the proportion of coal mined by the district. 6 In the computation of the second series of index numbers it was necessary first to construct an index for all inside day men and another for all outside day men in each district. In preparing these index numbers the median or district rates of each occupational group, i.e., brakemen, drivers, etc., were weighted by the proportion of the outside or inside day men employed in that occupation in 1 9 2 1 . T h e relative rates for both the outside and the inside day men thus established for the various districts were then weighted by the proportion of coal mined by the respective districts or areas in order to secure index numbers for the union, non-union, and irregular areas and for the industry as a whole. T h e above statement of method gives in a v e r y general way the procedure followed in the preparation of the index numbers considered in this chapter. A more detailed statement will be found in Chapter I X . Comparability

of Data

I n the discussion of tonnage rates no comparison could be made of the piece rates of these workers. T h i s was impossible because of variations both in the height and the geological composition of the coal seams and of differences in mining practices as w e l l as the lack of uniformity in the work included in the basic rate. T h e s e objections have little or no significance in the consideration of the rates of day men. T h e r e is a factor, however, that tends to make these rates uncomparable. Unquestionably, under the designation of a single occupation varying demands for skill may be required in different mines. T h e blacksmith in one mine, for example, may be engaged in shoeing horses and mules while at another * In the case of the rates of day men, the coal taken from strip pits was included in the weighting process because many of the occupations at these pits were paid the standard scale for day men.

72

WAGE

RATES

AND

WORKING

TIME

mine he may be employed in sharpening machine t o o l s — a more intricate operation. Again, the carpenter who builds company houses needs a higher degree of skill than one who erects bratticework and doors inside the mine or the carpenter repairing cars. Undoubtedly variations in skill and j o b content do exist. T h i s lack of uniformity, however, becomes less important as the skill required in the occupation diminishes. T o what extent these differences in job content invalidate comparisons of the rates of day men between m a j o r areas it is impossible to say. Because of the large numbers of men represented by the index numbers constructed for the m a j o r areas under consideration and because each of these areas, i.e., union, non-union, and irregular, includes coal fields in various sections of the country, it is believed that comparisons in the rates of these classes of workers can be made with reasonable reliability. It is, of course, recognized that complete comparability cannot be expected. 6 Pro-portion of Coal Re-presented by Index

Numbers

In preparing the wage data for day men, the mines and fields were classified according to union policy. Both the wage trends and the average hourly rates are presented separately for union, non-union, and irregular areas and for the industry as a whole. 7 A l t h o u g h the classification used for both the tonnage workers and the day men is the same, the proportion of coal included in both groups of wage data is not the same. T h i s discrepancy arises in part out of the fact that the operators in certain minor fields, as for example Texas and W a s h i n g ton, could supply rates for the day men but not for the tonnage men and also because in computing the index numbers for the day men the coal produced by stripping operations was included in the weighting process, a procedure which seemed advisable inasmuch as many companies were paying ' F o r a discussion of the limitations of the o r i g i n a l data and the methods used see C h a p t e r IX, p p . 2 0 0 - 2 1 9 . 7 F o r data on i n d i v i d u a l fields see A p p e n d i x T a b l e s 16 to 54.

RATES

OF DAY TABLE

MEN

73

15

PROPORTION OF COAL INCLUDED EACH YEAR IN THE INDEX NUMBERS FOR DAY MEN, 1 9 1 2 ΤΟ 1922

Percentage of Tonnage Produced

νι .car ,. Union

Non-union" Irregular

Omitted b

Total

Inside Day Men 1912

52.9

I I

53-3

93

1914 191 5 1916 I917 1918 I919 1920 I921 1922

52.1

Si-5 52-3 56.5 56.9

53-o

56.8

55-1 48.4

33 0 33 3 34 0 35 2 35 I 31 8 31 3 34 5 30 6 32.3 37 2

10.9 IO. I 10.7 IO. I 9.8 9.0 9.2 9.8

9-9

IO. I II.5

3 3 3 3

2

3

2 2 2 8 2 7 2 6 2 7 2 7 2 5 2 9

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

100.0 100.0

Outside Day Men 1912

52.9

Γ Γ

53-3 52.1 51-5 52-3

9 3

1914

ι9ΐ5 1916 1917 1918 1919 1920 1921 1922

56.5 56.9

53· 0 56.8

55-1 48.4

I 6 8

10.9 IO. I 10.7 10. I 9.8 9.0 9.2 9.8

29 9 31 7 36 4

IO. I II.5

32 32 33 34 34 31 30 33

2

5 I

3 3

9-9

4 4 4 4 3 3 3 3 3 3 3

0 I I I 6

4 3 4 4 I

7

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

• T h e percentage of coal included in the index numbers for the nonunion outside day men is slightly below that of the total production of the inside day men owing to the absence of wage data for the state of New Mexico. b Includes states which produce only a fraction of the total coal and districts in important coal fields for which no wage data were available. This group is composed of California, North Carolina, North Dakota, Georgia, Oregon, Freeport and Mercer in Pennsylvania, and Coal and Coke, Gauley, and Pomeroy in West Virginia. In no year did the omitted fields produce as much as 4.2 per cent of the total coal.

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C H A R T X V I I . I N D E X N U M B E R S OF T H E P U R C H A S I N G P O W E R OF T H E R A T E S OF D A Y M E N AND OF T H E P I E C E R A T E S OF S E L E C T E D OCCUPATIONS,

1913-1912

(Base—Average,

[122]

1913)

HOURLY

TONNAGE

WAGE

RATES

AND LIVING

COSTS

123

( 2 ) T h e gains in the purchasing power made by the day men after 1 9 1 6 were considerably greater than those of the tonnage workers. H o w great the spread that existed between the real rates of the tonnage and day employees really was is shown both in Chart X V I I and in Table 26. T A B L E

26

C O M P A R I S O N OF T H E I N D E X N U M B E R S OF T H E P U R C H A S I N G P O W E R OF T H E H O U R L Y R A T E S OF I N S I D E A N D O U T S I D E D A Y M E N

WITH

T H O S E OF T H E P I E C E R A T E S OF S E L E C T E D T O N N A G E

OCCUPATIONS, 1 9 1 4 Τ Ο 1 9 2 2

(Base—1913)

Changes in the Real Rates of Year 4

1914 1915 1916 1917 1918 1919 1920 1921 1922

All Tonnage Men

All Day Men

All Pick Miners

Inside Day Men

Machine Miners b

Outside Day Men

96.3 94.6 915 105.1 86.4 85.9 100.4 106.2 11J.9

97·' 94.8 91.8

96.9 94.6 9'-3 101.8 8 3-9 82.8 95 1 100.1 108.4

96.6 94 0 90.9 '33 1 110.4 110.9 147-5 150.7 169.2

95.8 94.6 92.1 ιο 9·3 »9-7 89.9 io6.4 112.8 "3-5

96·3 94-4 92.5

'35-5

113.2 113.6 152.4 '55-7 172.2

τ

3&·9

..6,5 i J6 .9 158.7 162.0 174.2

• Real rates are as of December 31 in all instances. Cutters and loaders.

b

A justification of the wage revisions which gave rise to such marked differences in the relative purchasing power of the rates of the tonnage men and day workers would seem to be a difficult matter, particularly in the light of the data concerning opportunity for employment to be presented ift the next chapter. These differences are not confined to one field but exist in all areas.

C H A P T E R VI OPPORTUNITY FOR

EMPLOYMENT

A n examination of relative rates and their relation to the changes in the prices of those commodities and services which make up the family budget is only a part of the story of the bituminous workers' financial status. These items must be considered in the light of the opportunity for work that is afforded by the industry. A n investigation of the factor of employment gives rise to a number of questions. W h a t is the average length of the working year as measured by mine working time? T o what extent is this average tipple time characteristic of bituminous mines generally? D o a majority of the employees work an equivalent of the average tipple time? If not, how is the opportunity for employment distributed among the different occupational groups? H o w does the employment opportunity in union, non-union, and irregular fields compare and what are the facts concerning the length of the working day? Since the analysis of wage-rate data has been confined to the period from January ι , 1912, to the end of 1922, the examination of the facts of employment will be restricted to the same interval of time. TIPPLE

Tipple

TIME

AS AN

INDICATOR

OF

EMPLOYMENT

Τ imey 1912 to 1923

T h e Geological Survey for many years has published the average number of days that bituminous mines have operated. 1 These data are the only statistics covering most of the mines in the industry which are available over a period of years. T h e figures are weighted averages, not of the days 1 T h e activities of the Division of Coal and Coke Statistics have since been transferred to the Bureau of Mines, United States Department of Commerce.

[124]

OPPORTUNITY

FOR

125

EMPLOYMENT

worked by the wage-earners, but of the time that the mine tipples have operated, fractional days being converted into equivalent full-time days. These data are not inerrant. " O c casionally," as M r . F . G . T r y o n points out, " a n operator fails to reduce the fractional day to the equivalent full-time days and reports not 'days worked' but 'starts.' " H e adds, however, that " a careful check with the more elaborate re-

I m I ms I m* I ins I me I Mir I ιιιβ 11111 11120 111211 t m J CHART

XVIII.

TIPPLE

TIME

OF

BITUMINOUS

COAL

MINES,

1912-1922

ports rendered by operators to the United States Coal C o m mission on its F o r m L - i , which calls for the number of hours of tipple operation as w e l l as the number of full-time days, indicates that the error f r o m this source is not a serious one." 2 Chart X V I I I presents the average working opportunity as indicated by the tipple time of bituminous mines for the period from i 9 i 2 t o 1922 inclusive. A study of this chart shows that the tipple time for the entire period averaged 206 days, approximately 67 per cent of a f u l l working year of 308 days. 3 T h i s low average for a period including the war years 'Coal in 1922, U. S. Geological Survey, pp. 492-4.93. * Unless otherwise stated, all averages in this chapter are weighted by the number of employees.

126

WAGE

RATES

AND WORKING

TIME

is somewhat unexpected when compared with the average time of 2 1 3 days or 69.1 per cent of a full-time year for the 32 years from 1890 to 1 9 2 1 inclusive." The lower percentage for the period under discussion may be explained to a large extent by the post-war depression and by the practically nationwide strikes of 1 9 1 9 and 1922. 6 It will be observed that the average tipple time showed wide variations from year to year. The minimum was 142 and the maximum was 249 days. Fluctuations in Tip-pie Time The above presentation considered the employment opportunity as indicated by the mine working time from the standpoint of the industry as a whole. Such a treatment leaves a wrong impression. The fact is that there exists a wide diversity in the tipple time of bituminous mines, as is demonstrated by Table 27. This table groups, for certain years, the bituminous wage-earners according to the tipple times of the mines in which they were employed. It presents, therefore, not the time worked by a specified percentage of men, but rather the percentage of men employed in mines that operated the particular number of days designated by the interval in question. If attention is centered on the average percentages for the seven-year period, it will be seen that although each of the sixteen intervals contains a percentage of the men, the proportion of men gradually increases as the full working year * Drury, Horace B., "Irregularity of Employment, Attendance, and Absenteeism," Report of U. S. Coal Commission, Part m , p. m i . " It is only fair to add that except for years of general cessations, the days lost on account of strikes represent only a small proportion of the total days lost in the industry. In fact, of the total time lost by strikes, mine disabilities, no markets, car shortage, etc., during the period 1899 to 1 9 2 1 , only 9.8 per cent was attributable to strikes. Willits, Dennison, and Hotchkiss, "Labor Relations in Bituminous Coal Mining," Refort of the U. S. Coal Commission, Part i n , p. 1288.

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oo oo Ci Γ-»

ci ci

IH

so M.

PO wo

so oo

O T3 O ci C ^ rjh- rt C -H 3

wo -4· Ci wo

0 c*

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i

η Ό ^ o -2 S - c § 2-

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IH

o PO «i oo

r»· ci

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O ι•Η Ρ»

ON Γ- VO oo ^ O0 Ο Ο Γ·*

Ο «i

Ci wo ON

c
- O

r»

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çi

Number of Days

Ci r-

O

IH

^

_ xj

co ^t_ Os Ov

no r-- oo -. « _

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[127]

0

o

0 \ CO

OV O V

o» Os

Cumulative Per Cent

^0 Ό »> ΛO c TJ 3

« 1)

128

WAGE

RATES

AND

WORKING

TIME

is approached—the outstanding exception being the interval designated as 300 days or more. It is somewhat surprising that this seven-year average shows less than 13 per cent of the men in any single interval of twenty days. Reference to the cumulative percentages will show that approximately three out of ten men (30.9 per cent) worked in mines averaging 260 days or better, one out of two men (54.7 per cent) in mines averaging 220 days or more, and three out of four (74.3 per cent) in mines averaging 180 days or more. T h e unrepresentative character of the average tipple time is further emphasized by comparing it with the distribution of mine working time in any given year. T o illustrate, in 1920 the average number of days worked by bituminous mines was 220 and yet only 9.8 per cent of the more than 600,000 employees in the industry were at work in mines that averaged between 220 and 240 days. Slightly more than 43 per cent were employed in mines that worked 240 or more days and 46.9 per cent in mines that operated less than 220 days. T h e fluctuation in the tipple time which characterizes the industry grows out of the operation of the economic and geological forces and conditions discussed in Chapter I I , pp. 7 to 29. Important among these—and one that warrants special mention—is the presence of numerous small mines which as a general rule, tend to average a much shorter tipple time. D r . D r u r y , in his investigation for the United States Coal Commission, found that "some 5 or 10 per cent of the mines ordinarily operate so very small a fraction of the year that the average for all mines is pulled down some 8 or 10 days below the median." 0 H e concluded that a figure 8 to 10 days higher than the average number of days worked by bituminous mines would be more representative of the mine working time of the industry. T h e influence of the small mine on average tipple time is shown in T a b l e 28. " Drury, Horace B., of. cit., p. 1116.

OPPORTUNITY

129

FOR EMPLOYMENT T A B L E 28

AVERAGE

NUMBER

BITUMINOUS

OF

DAYS

COAL

CLASSIFIED

WORKED

MINES

IN

BY S I Z E

BY A L L

CERTAIN OF

COMMERCIAL YEARS

MINE»

Average number of days Yearly Production

0 to 9,999 tons 10,000 to 49,999 tons 50,000 to 99,999 t o n s . . . . 100,000 to 199,999 tons... 200,000 tons and over... . All mines

1905

1914

1920

1921

139 182 202 213 248

122 163 185 197 219

167 201 215 221 242

65 115 148 168 188

21 I

195

220

149

• Tryon and Hale, Coal in 1922, p. 494.

Tipple

Time and Opportunity

for

Employment

T h e discussion of the length of the working year has been confined to the average number of days worked by the mines. These figures, although of value in ascertaining the chance to work that the industry affords, do not necessarily represent the actual working time of the men employed in the mines. In the case of tonnage men, the average tipple time is an overstatement of average working time. A possible exception should be made for those years in which a general suspension occurred when some of the mines "running short handed might dump coal over the tipple only every other day, while men were engaged in cutting and loading coal underground every day in the week." 7 Under these circumstances the discrepancy tends to decrease. Probably the important factor making for a less favorable employment average for this class of workers is voluntary and involuntary absence. T h e situation is very different in the case of many of the day occupations, i.e., those who are paid an hourly, daily, or ' T r y o n and Hale, Coal in jj>22, p. 493.

130

WAGE

RATES

AND

WORKING

TIME

monthly rate. Large numbers of men employed in certain of these occupations, such as blacksmiths, engineers, stablemen, and motormen, work when the tipple is not in operation and this excess employment does not begin to be offset by absenteeism. W h a t proportion of the wage-earners have a working opportunity which equals the tipple time? T h e question cannot be answered with mathematical precision. T h e data that are available will permit only of an approximation. T h e studies of the United States Coal Commission are the only comprehensive sources of information to which one can turn to find an answer to this question. T h e commission, in its investigation of irregularity of employment, attendance, and absenteeism, found that 3088 day men employed in 100 mines averaged 124.6 per cent of the mine time in 1920 and that 14,144 day men working in 406 mines averaged 120.5 P e r c e n t i n 1921. 8 A f t e r a careful appraisal of the factors involved, the author concluded that the " d a y occupations averaged 20 per cent more working time than is shown by the statistics for days worked by mines." H e adds the warning, however, that "this does not mean that most day men worked approximately 120 per cent of mine time, or even that the average for most mines was about 120 per cent." O n the contrary, he found an "utter lack of uniformity in working time" and a marked tendency for most of the men, especially in the middle and lower ranges of mine time, to average more working time than the tipple time of the mines. T h e United States Coal Commission also made a study of the starts made by 3570 tonnage men employed in 100 mines in 1920 and 18,644 tonnage men employed in 406 mines in 1921. It found that the ratio of the starts made by the men to the starts made by the mine (tipple time) was 90.3 in 1920 and 89.8 in 1921. These figures "overstate somewhat the actual attendance on days of mine operation, chiefly because some of the attendance shown is on days when the " Drury, Horace B., of. cit., pp. 1111-1152.

OPPORTUNITY

FOR EMPLOYMENT

131

mine is not operating." This study placed the absentee rate somewhere between 10 and 1 5 per cent and stated that the lower figure would probably be closer to actual conditions.9 From this investigation of irregularity of employment it would seem that the day men, who comprise approximately 40 per cent of the total wage-earning group, work on the average about 20 per cent more than the tipple time and that the tonnage men, who constitute the remainder of the working force, average somewhere near 90 per cent of the mine time as represented by starts made by the mines. When the tonnage group is broken down into the several occupations involved, the working time varies little except in the case of machine cutters. This uniformity is shown by Table 29. 10 T A B L E

29

R A T I O OF S T A R T S M A D E B Y F U L L - Y E A R T O N N A G E M E N TO M I N E

STARTS,

1920 and 1 9 2 1 1921'

1920 Occupation

R a t i o of Ratio of N u m b e r of M a n Starts N u m b e r of M a n Starts Men to Mine Men to M i n e Starts Starts

Pick Miners Machine Cutters Loaders

1,838 330 ι ,402

9°-3 95 -3 89.0

All Tonnage Men

3,57°

9°-3

8,030

88.4

1,643 8.971

98-3 89.5

18,644

89.8

The relatively high attendance figures for machine cutters does not warrant serious consideration. The sample is very small and the method of recording the starts for this class of workers tends to overstate their actual attendance.11 This dis' Ibid., pp. 1 1 2 4 - 1 1 3 2 . 10 Ibid., p. 1 1 2 6 . u Dr. Drury says in this connection : "Where cutters are paid by the day and perhaps also where they are paid by the cut, the figures have definite meaning, but where they are paid by the ton it is not clear but that the coal cut by a cutter late in the day might be loaded by loaders the next day and

132

WAGE

RATES

AND

WORKING

TIME

crepancy, however, does not have much influence upon the average attendance record of the tonnage men as a whole, because the machine cutters constitute such a small proportion of the total. It is unfortunate that the data available permitted an examination for only a period of two years and that the day men's group was not broken down into the component occupations. T h e second source of information to which it is possible to turn for help in answering the query as to the proportion of the wage-earners having an opportunity for employment that equals the tipple time is the data compiled by the study of miners' earnings for the year 1921. 1 2 T h e form on which the earnings information was collected requested, for each individual on the payroll, the occupation and the number of days or hours (starts in the case of tonnage men) worked in each pay period ; and for each mine the total number of starts and the total and average number of hours worked in each payroll period. F r o m the summary tables presented in the study of miners' earnings it was possible to ascertain by Coal Commission districts both the total number of men and the total number of eight-hour days worked by the day occupations and the total number of men and the number of starts made by all tonnage men. 13 These figures, however, included the short-service men, many of whom shifted from mine to mine. It was, therefore, necessary to eliminate the error in working opportunity resulting from the recounting of the short-service men. Fortunately, the earnings study had collected not only the total number of men receiving the cutter be given credit for the second day whether he was present or not. Should loaders be absent on the second day the cutter might even be credited with coal on a third day. Probably this is not as important a consideration as might be thought. More important, probably, is the tendency of machine cutters to come in and cut coal when the tipple is not operating and thus win credit for perhaps as many or more starts than are made by the mine." Qp. cit., p. 1128. u Bezanson, Anne, "Earnings of Bituminous Coal Miners," Report of U. S. Coal Commission, Part i n , pp. 1 1 5 3 - 1 2 5 7 . " Bituminous operators, in most instances, do not record the number of hours worked per day by piece workers.

OPPORTUNITY

FOR EMPLOYMENT

133

earnings but also the average number of men on the payroll. Thus it was possible to make a partial correction for this factor.14 The figures for working opportunity which are derived from this source cannot be accepted without qualifications. Their accuracy is limited by the necessary assumption that

C H A R T X I X . W O R K I N G T I M E OF M A J O R OCCUPATIONAL GROUPS AND A V E R A G E T I P P L E T I M E OF BITUMINOUS C O A L M I N E S ,

1921

each day occupation had the same labor turnover as that which occurred among all day men as a group. In the opinion of the authors, the error introduced by this factor, while of some importance, is not great enough to affect materially the value of these figures as indicators of the working time of the various occupational groups. Moreover, because small mines generally have a lower tipple time and the study of miners' earnings included only the mines (large and small) of companies producing an annual tonnage of 50,000 or more, it is quite possible that the earnings data may tend to overstate somewhat the working opportunity in the industry. Furthermore, it should be remembered that the figures secured for each occupation represent not actual days worked but eight-hour days. On this account the men in certain occupations—for example, the engineers, stablemen, and fire* men, many of whom worked on a twelve-hour shift—show 14

See discussion of m e t h o d used, C h a p t e r X , p p .

219-221.

134

WAGE

RATES

AND

WORKING

TIME

an excessive annual working time. It is fortunate that in 1 9 2 1 over 96 per cent of the wage-earners were employed in mines operating on an eight-hour basis. 16 With these limitations in mind, Chart X I X showing the days worked by the day and tonnage workers may be examined. It will be seen that the various occupational groups worked either more or less than the tipple time. B y this method of computation the tonnage men made an average number of starts which was equivalent to 94.6 per cent of the tipple time, as contrasted with approximately 90 per cent, the figure given in the study of irregularity of employment. In the case of the day men, the average number of eight-hour days worked as obtained from the earnings data was considerably higher than the tipple time in all instances. T h e outside day men averaged 1 4 1 . 6 per cent, the inside day men 120.8 per cent, and both groups of day men combined, 1 2 7 . 5 per cent of the mine working time. T h e last figure also does not agree with the investigation of irregularity of employment. It will be remembered that the irregularity study estimated a working time for all day men which was 20 per cent higher than the tipple time. T h e differences in the findings of the two investigations in the case of the day men may be explained in part by the fact that the irregularity report eliminated the first and last pay period of the records of men who did not work a full year. Since the computations of both investigations were based on the same original data, form L - i , the rest of the variation in the two reports may be explained by the fact that the earnings study, which covered approximately 50 per cent of all employees in the industry, is by far the more comprehensive. 1 ® Only a small portion of these data was used in the study of irregularity of employment. Below is given the 15

Tryon and Hale, Coal in 1919, ¡920, and 1921, p. 501. " N o t only was a small proportion of the total employees in the industry used in the study of irregularity of employment but its sample was confined to full-year employees in mines working· 48 pay periods or more. It may be pointed out that it is possible for mines which did not operate in 48 pay periods to make more starts than some full-year mines which operated intermittently.

OPPORTUNITY

135

FOR EMPLOYMENT

number of mines and employees covered by both investigations. Number of Study

Year Mines

Irregularity of Employment Earnings

Tonnage Men

Day Men

J 1920 \1921

406

3.570 18,644

3,088 14,144

1921

1,928

204,574

128,925

ICO

O n the basis of these two sets of data, it would seem that the tipple time is not an exact indicator of actual working opportunity. For the year 1921 the tonnage men averaged between 90 and 95 per cent of the tipple time and the day men between 120 and 128 per cent. T h e outside day men presumably worked 42 per cent and the inside day men 21 per cent more time than the tipple time of the average bituminous mine. If these approximations of working time are translated into their respective percentages of the full working year of 308 days, it will be found that in 1921 the tonnage men had a working opportunity of 44 to 46 per cent, the inside day men of approximately 58 per cent, the outside day men of about 69 per cent, and both groups combined of 58 to 62 per cent. From the summary tables of the earnings study it was possible to compute the distribution of working time among the several inside and outside day occupations for the year 1921. Since the method used to secure this information was the same as that employed in obtaining the working time of the major occupational groups, the limitations that applied to the preceding computations are equally true for these. Working

Time of Inside Day Occupations in

iç2i

Chart X X presents, for the year 1921, the average number of eight-hour days worked by men in twelve inside and seven outside occupational groups and compares these sev-

I

οα

o Q tí
74

206

194

227

195 202 230 242 249 ¡

9S

2

YEAR

1922

Irregular

All Fields

227

72-4 75-o 63-3 65.6

237 217 209 234 238 2 45 202 220 146 144

74-7 78.6 80.8 63-3 7..8 48.4 46.1

208

66.9

Nonunion

Irregular

81 .2 84.1 70.8

39-9

7*-7 74-4 51.6 56.5

73-7 76.9 70.5 67.9 76.0 77-3 79-5 65.6 71-4 47-4 46.8

63.0

73-7

67-5

Union 67.9 70.1 58.1 61.0 69.2 76.9 78.6 57.8 70. I 46.8

73-7 83.8 82.1 85.4

mines in the union fields consistently averaged less time than those in either the non-union or the irregular areas.18 In no year did any one of the three fields reach a full working year, not even during the World War. A comparison of the tipple time of these areas is facilitated by Table 32. If the weighted average tipple time for the eleven-year " Based on data published by the Geological Survey—annual reports, Division of Coal and Coke Statistics. It includes all coal fields except Calif o r n i a , Idaho, Alaska, Georgia, North Carolina, North and South Dakota, and Oregon. These states employ less than one per cent of the total w a g e earners in the industry. " T h e irregular mines, it w i l l be recalled, are those which have operated part of the time on a non-union basis and part on a union basis.

OPPORTUNITY

FOR EMPLOYMENT

141

period is considered, the non-union mines averaged 33 more days than the union mines and 1 9 more days than the mines in the irregular areas. Stated in terms of percentages, it would seem that as far as tipple time is concerned the non-union mines afforded their employees, on an average, about 1 7 per cent more opportunity for employment than the union fields and 9.1 per cent more than the irregular fields.19 These differences in working opportunity need further explanation. In the first place, the eleven-year averages are not representative of the separate years. This is clearly indicated by the data in Table 3 3 . It should be remembered that these figures are based on the tipple time. T A B L E

33

T H E P E R C E N T A G E S OF W O R K I N G T I M E T H A T T H E N O N - U N I O N A N D I R R E G U L A R A R E A S W O R K E D IN E X C E S S OF U N I O N AS SHOWN BY T I P P L E

MINES

TIME

(Average working time in union areas equals 100) Year

Non-union

1912 l z 93 1914 191 5 1916 1917 1918 1919 1920 1921 1922

19 6 19.9 21 8 20 7 21 I 6 8 8 7 25 8 6 0 10 4 41 5

Average

17 0

Irregular 8.6 9-7 21.2 I I .2 9-9 I

•4

.2 135 1-9

1-4

17.1 7.2

It will be seen that the non-union mines had an employment advantage over the union mines which ranged from 6 to 4 1 . 5 per cent. T h e working opportunity of the irregular mines relative to the union mines, while not as great as that of the non-union mines, nevertheless was higher than the union in all years, the range being 0.4 to 2 1 . 2 per cent. "For method used see Chapter X, p. 222.

142

WAGE RATES

AND WORKING

TIME

A second qualification must be made concerning the comparative opportunity of employment in union, non-union, and irregular areas. It will be recalled that the tipple time represents the "total number of f u l l days the mine [tipple] was in operation during the y e a r , " the day consisting of whatever number of hours the company had established as the standard for the mine. T h e length of the basic working day, therefore, must be considered. If a correction is made for this factor, the working times of the non-union and irregular areas are substantially changed, as is shown in Table 34. 20 TABLE

J4

TIPPLE TIME o r UNION, NON-UNION, AND IRREGULAR MINES ADJUSTED TO A BASIC WORKING DAY OF EIGHT HOURS, 1 9 1 2 ΤΟ 1922 A v e r a g e T i p p l e T i m e on Eight-hour Basis Year All Fields 1912 i9'3 1914 1915 1916 1917 1918 1919 1920 1921 1922 Weighted Average

243 250 21 I 219 250 253 253 197 222 150 144 216

Union 210 217 180 189 215 238 243 178 216 J 44 123 1

95

Non-union

Irregular

300 308 260 270 308 278 272 227 231 161

266 267 244

177

146

250

234 261 251 253 205 221

H7 223

Adjusting the tipple time to the length of the basic day greatly increased the figures indicating the employment opportunity in non-union and irregular fields. In fact, in three " I n a later section of this chapter the length of the basic working day for union, non-union, and irregular fields is presented for the period 1 9 1 2 to 1 9 2 2 , inclusive (see p. 1 5 0 ) . In computing the figures corrected for length of working day, the tipple time of each area was multiplied by the basic day and divided by eight. The weighted averages were computed from the totals for each area.

OPPORTUNITY

FOR EMPLOYMENT

143

of the eleven years the non-union fields averaged practically a full working year of eight-hour days. How this correction of the tipple time influences the annual working time of the non-union and irregular mines relative to that of the union mines is shown in Table 35 for each of the eleven years. T A B L E THE

PERCENTAGES

35

OF W O R K I N G T I M E

THAT THE NON-UNION

I R R E G U L A R A R E A S W O R K E D IN E X C E S S OF U N I O N M I N E S T I P P L E T I M E IS A D J U S T E D TO E I G H T - H O U R

AND

WHEN

BASIS

(Average working time in union areas equals 100) Year

Non-union

Irregular

1912

42.9

26.7

1913

41.9

23.0

1914

44-4

35-6

1915

42.9

23.8

1916

43-3

21.4

1917

16.8

1918

II.9

5-5 4-1

1919

27-5

15.2

1920

6.9

1921

II.8

2-3 2.1

1922

43-9

18.7

28.2

14.4

Average

When the average for the eleven-year period is considered, the non-union fields on this basis average 28.2 per cent more eight-hour days and the irregular mines 14.4 per cent more eight-hour days than did the union fields. T h e range in the excess working opportunity in non-union fields was from 6.9 in 1 9 2 0 to 44.4 per cent in 1 9 1 4 , and in the irregular fields from 2.1 in 1920 to 35.6 per cent in 1 9 1 4 . In six out of the eleven years the employment opportunity in non-union fields was more than 41 per cent above the average working time in union areas. Whether the gains in working opportunity due to a basic work-day of more than eight hours' duration, which in the non-union mines amounted to 1 1 . 2 per cent and in the irregular mines to

144

WAGE

RATES

AND

WORKING

TIME

7.2 per cent, are socially desirable, is a matter of opinion. Certainly the growing acceptance of the eight-hour day in industry generally would seem to indicate that an increase in working opportunity due to long hours might well be regarded as a penalty rather than as a positive advantage.

IKISICEDAYMEN

OUTSIBEPAYMEM

ALL DAY M E N

ALLTOWNÌSE ME«

Τ

M UNION H I Ν ON-UNIBKI CHART X X I I .

D A Y

S

WORKING T I M E OF MAJOR OCCUPATIONAL GROUPS IN UNION AND NON-UNION AREAS, 1 9 2 1

The Working Opportunity of the Major Occupational Groups in Union and Non-union Fields in 1Ç21 H o w is the working opportunity distributed among the major occupational groups in union and non-union fields? L e t us compare, for the year 1921, the starts made by union and non-union tonnage men as well as the eight-hour days worked by union and non-union day men. 21 Chart X X I I presents this information. T h e figures are computed from the study of miners' earnings.22 It will be seen that the nonunion mines have a longer working opportunity in each of these major occupational groups. T h e differences in working time are shown in Table 36. A study of the figures reveals a number of important facts. T h e tonnage men in the union fields averaged 135 starts as contrasted with 151 for the non-union fields. In " T h e r e w e r e no i r r e g u l a r fields in the 1 9 2 1 data f r o m the study of miners' earnings because the fields w e r e distributed a c c o r d i n g to union affiliation in 1921. 23 T h e method used is e x p l a i n e d in C h a p t e r X , pp. 2 1 9 - 2 2 2 .

OPPORTUNITY

FOR EMPLOYMENT

145

T A B L E 36 NUMBER OF MEN, TIME WORKED, AND RELATION TO TIPPLE TIME AND FULL WORKING YEAR IN UNION AND NON-UNION AREAS, 1921

Occupation

Tonnage Men Union Non-union

Number of Men·

Number of Days b

Percentage of Tipple Time (149)

Percentage of Full Working Y e a r (308)

138,078 66,496

135 151

90.6 ΙΟΙ .3

43-8 49.0

21,657 1

9>JS4

205 217

1376 145.6

66.6 70.5

Inside D a y Men Union Non-union

51,263 36,851

174 189

116.8 126.8

56.5 61.4

All D a y Men 0 Union Non-union

72,920 56,005

185 200

124.2 134-2

60.1 64.9

Outside D a y Men Union Non-union

• T h e total number employed in the industry in 1 9 2 1 was 663,754 T h i s study included 333,499 employees or approximately 50 per cent. b T h e figures in this column represent average starts per man in the case of tonnage men and eight-hour days in all others. ° T h e number of days worked by these employees differs from that published in the study of miners' earnings because certain unclassified occupations were omitted in the preparation of data used in this investigation.

1 9 2 1 , therefore, the non-union employees who were directly engaged in mining and loading the coal worked 1 1 . 9 per cent more starts than did the union workers in this category. Incidentally, both groups of tonnage men failed to achieve as much as 5 0 per cent of the full working year. If attention is centered on the number of eight-hour days worked by the day men, it will be seen that the non-union outside day men worked 1 2 more days, or 5.9 per cent more time, the non-union inside day men 1 5 more days, or 8.6 per cent more time, and the non-union day men combined 1 5 more

[146]

OPPORTUNITY

FOR EMPLOYMENT

147

days, or 8.1 per cent more time, than did union workers in these same classifications. In a discussion of working opportunity computed on the basis of eight-hour days, it is necessary to take into consideration the length of the basic working day in union and non-union fields. In the early years of the period under discussion, the non-union mines, had they worked the same number of days as did the union mines, would have shown a far greater working opportunity by the method used in this investigation because 30 to 40 per cent of the non-union men worked nine and ten hours daily. Fortunately, this factor is not important in this comparison for the year 1 9 2 1 because 9 6.6 per cent of the men in the industry were employed in mines operating on a basic eight-hour day. 23 That the length of the working day has not materially influenced the results secured in this analysis of days worked in 1 9 2 1 is made evident by a comparison of these figures with the tipple time averages which were computed from the data published by the Geological Survey. 24 In 1 9 2 1 the non-union mines included in the survey data had an average tipple time which was 10.4 per cent higher than that of the union mines. This difference in working opportunity closely approximates the 1 1 . 9 per cent which represents the excess in starts made by the non-union tonnage men in 1 9 2 1 as computed from the data of the earnings study. In fact, the percentages from these two sources are surprisingly close in view of the fact that one investigation deals with tipple times and the other with number of starts. Moreover, the two investigations did not cover the same group of mines because the irregular mines which were excluded from the data of the Geological Survey were included in the computations made from the earnings study because the data covered only a single year.2® 23

T r y o n and Hale, Coal in 1922, p. 503. See p. 1 4 2 . 23 It should be pointed out that the Coal Commission's study of irregularity of employment also compared, for the same year, the starts made by union and non-union tonnage men as well as of the total working time of the f u l l M

148

WAGE

RATES

AND

WORKING

Working Time of Union and Non-Union tions in ι ç 21

TIME

Inside Day

Occupa-

Chart X X I I I presents, for twelve occupational groups, the average number of eight-hour days worked by union and TABLE

37

T I M E W O R K E D AND R E L A T I O N TO F U L L W O R K I N G Y E A R

OF I N S I D E D A Y

M E N BY I N D I V I D U A L O C C U P A T I O N S IN U N I O N AND N O N - U N I O N A R E A S , 1921 All F i e l d s Occupation

Brakemen Bratticemen Cagers Doortenders Drivers Electricians Motormen Pumpmen Timbermen Trackmen Laborers Miscellaneous All I n s i d e D a y Men

Average Eight-hour Days 180 213 227 149 170 298 240 3*5 189 ' 73 '33 I69 i8o

L' nion

N o n - union

P e r C e n t of Per C e n t of Per C e n t of Average Average Full Full Full Eight-hour Eight-hour Working Working Working Days Days Year Year Year 58.4 69.2 73-7 48.4

SS·2 96.8

172 206 223 144 162 2

77 218

55.8 66.9 72.4 46.8 52.6 89.9 70.8 101.0 61.4

188 224 232 159 188 320

43 · 2 54-9

>7i 129 166

41.9

53 -9

275 344 188 174 '36 ! 74

58.4

174

56.5

189

77-9 105.5 61.4 56.2

3" 189

55-5

61.0 72-7 75-3 51.6 61.0 •°3-9 89-3 III.7 61.0 56-5

44.2

56.5 6l

.4

non-union inside employees. It will be seen at a glance that in every instance except that of timbermen, the non-union mines worked a greater number of eight-hour days. T h e exact differences in working time are shown for each occupational group in T a b l e 37. y e a r u n i o n a n d n o n - u n i o n d a y m e n . I t d i d not s p e c i f y the separate d a y o c c u p a t i o n s . I n the case o f the t o n n a g e m e n its figures seem to i n d i c a t e v e r y l i t t l e d i f f e r e n c e in the w o r k i n g t i m e t h a t w a s a f f o r d e d b y u n i o n a n d n o n - u n i o n o p e r a t i o n s . T h e d i f f e r e n c e in w o r k i n g o p p o r t u n i t y o f u n i o n a n d n o n - u n i o n d a y m e n r e v e a l e d a r a t h e r s l i g h t a d v a n t a g e in f a v o r o f the u n i o n mines. Inasm u c h as t h a t i n v e s t i g a t i o n i n c l u d e d o n l y 1 8 , 6 4 4 t o n n a g e m e n a n d 1 4 , 1 4 4 d a y m e n a n d i n a s m u c h as the basic d a t a of t h a t i n v e s t i g a t i o n a n d those o f t h e e a r n i n g s s t u d y w e r e o b t a i n e d f r o m the same s o u r c e , f o r m L - i , it w o u l d seem t h a t the findings based o n the e a r n i n g s s t u d y , w h i c h i n c l u d e d j o per cent o f t h e w o r k e r s in the e n t i r e i n d u s t r y , s h o u l d be t a k e n as m o r e r e p r e s e n t a t i v e o f c o n d i t i o n s in t h e i n d u s t r y . T h i s decision is f u r t h e r s u p p o r t e d b y the close a g r e e m e n t b e t w e e n the w o r k i n g o p p o r t u n i t y w h i c h the d a t a c o m p i l e d b y the G e o l o g i c a l S u r v e y s h o w a n d t h a t based o n the s t u d y o f m i n e r s ' e a r n i n g s .

OPPORTUNITY

FOR

149

EMPLOYMENT

Working Time of Union and Non-union tions in ιÇ21

Outside

Occupa-

T h e differences in working time of seven union and nonunion occupational groups are shown in the lower half of Chart X X I I I . In the case of the laborers, who constituted approximately a third of the workers, the union fields had an advantage of five days. In all other instances the nonunion fields showed a greater opportunity for employment. Table 38 gives, in greater detail, data for comparative purposes. T A B L E

38

T I M E W O R K E D A N D R E L A T I O N TO F U L L W O R K I N G Y E A R OF O U T S I D E

DAY

M E N BY I N D I V I D U A L O C C U P A T I O N S IN U N I O N A N D N O N - U N I O N A R E A S ,

1921

All Fields Occupation

Average Eight-hour Days

Blacksmiths Carpenters Engineers Firemen Stablemen Laborers Miscellaneous

LENGTH

Per Cent of Per Cent of Per Cent of Average Average Full Full Full Eight-hour Eight-hour Working Working Working Days Days Year Year Year

147 207

239 194 3*4 337 379 149 189

77-6 63.0 105.2 109.4 123.1 48.4 61.4

286 209 443 379 381 144 229

92.9 67.9 143-8 123.1 124.0 46.8 74-4

211

68.5

205

66.6

217

7°-5

417 354 380

OF T H E BASIC W O R K AND

Non-union

83·» 65.6 135-4 114-9 ÏÎ3-4 47-7 67.2

256 202

All Outside D a y Men

Union

IRREGULAR

DAY

FIELDS,

IN U N I O N , 1912

ΤΟ

NON-UNION,

1922

A discussion of employment opportunity in terms of union policy should include a discussion of the length of the basic work day. T h e statistics published by the Geological Surv e y enabled the writers to compute for the eleven-year period the average standard working days for the mines in the union, non-union, and irregular fields that were included in this investigation. 26 In studying the accompanying table, it is necessary to remember that the specified working days " T h i s study comprises o v e r 99 per cent o f a l l bituminous employees. F o r a list of states omitted see footnote b, p. 73.

WAGE

150

RATES

AND

WORKING

TIME

represent the standard number of hours that the "mines were supposed to be in operation, cars and orders permitting, and not the number of hours the men actually worked." 2 7 I t m a y be well to point out again that even though a standard d a y is maintained, certain employees engaged in haulage, maintenance, and repair work often work a greater number T A B L E 39 The Basic Working Day in Union, Non-union, and Irregular Bituminous Coal Fields», 1912 το i922b R e l a t i v e Standard H o u r s — B a s e 1920

A v e r a g e S t a n d a r d Hours Year All NonUnion Fields union 1912 !

9!3

1914 1915 1916 1917 1918 1919 1920 1921 1922

8.66 8.60 8.62 8.61 8.64 8.31 8.13 8.05 8.03 8.03 8.06

8.04 8.05 8.06 8.06 8.06 8.02 8.02 8.01 8.00 8.00 8.00

9.61 9.50

9-Í5 9-51 9-54 8.78 8.27

Irregular

All Fields

9-38

107.8

9.02 9.00 8.95 8.94

8.Ii

«•44 8.27 8.H

8.08 8.09 8.15

8.03 8.09

8.0J

107.

I

107.3

107.2 107.6 103.5

ΙΟΙ .2 IOO . 2 IOO O IOO .0 IOO .4

Union 100.5 100.6 100.8 100.8 100.8 100.3 100.3

IOO . I 100.0 100.0 IOO .0

Nonunion

Irregular

118.9

116.5 112.0 I I I .8 I I I .2

117.6 118.2 117.7 118.1 108.7 102.4 IOO .4

100.0 IOO. I 100.9

III . I 104.8 102.7

100.7 100.0 99.8 100.5

• Based on statistics compiled by the Coal and Coke Division of the Geological S u r v e y . b T h e weighted average for the eleven-year period is as follows: union, 8.03; non-union, 8.78; irregular, 8.53; all fields, 8.32.

of hours, as was previously demonstrated, and that the tonnage men, most of whom are pieceworkers, are frequently not obliged to, and often do not, continue to work for the entire day. T h e figures shown in T a b l e 39 indicate the number of hours that a majority of the men were given an opportunity to labor when the mine operated a standard day. Reference to the eleven-year weighted averages shows that the union workers were practically on an eight-hour day f o r K

T r y on and Hale,

Coal in 1922, p. 5 0 1 .

OPPORTUNITY

FOR

EMPLOYMENT

151

the entire period. The fractions that appear under the union designation are contributed by the figures compiled for the union areas of West Virginia. Even here the fractions may be the result of the method used in combining the data since the information was given by counties irrespective of union policy.28 It is quite likely that even in these West Virginia areas the union mines were operating on an eight-hour basis. In contrast with the union day of eight hours, the non-union fields averaged about eight and three-quarter hours and the irregular fields eight and a half hours. A study of the relative numbers will show that the average standard working days in both the non-union and irregular fields have been materially reduced. The shortest daily standard working time in the non-union fields occurred in the year 1920 and in the irregular fields in 1 9 2 1 . The longest standard days in both fields were maintained in 1 9 1 2 . The fluctuations in the standard working day in the non-union field ranged from 8.08 to 9.61 hours and in the irregular fields from 8.03 to 9.38 hours. In computing these figures for a standard day, it was necessary to make certain assumptions. These are discussed at length in a later chapter.29 It is important to point out at this time that any errors which may have arisen because of the method used would tend to favor the non-union and irregular fields. It is quite possible that the length of the standard day in these areas given in the table above may be a little too low and that the standard day for the union field, as already pointed out, should have been eight hours for all years. The element of error would not impair the figures here presented. The essential facts concerning working opportunity may be summarized as follows: ( 1 ) For the eleven-year period from 1 9 1 2 to 1922, the tipple time of bituminous mines employing over 99 per cent of the wage-earners in the in23

For a statement of the method used, see Chapter X , pp. 222-224. " Ibid., pp. 223-224.

152

WAGE

RATES

AND

WORKING

TIME

dustry averaged 206 days or approximately 67 per cent of a f u l l working year. F o r the same period the figure for nonunion mines was 227 days, for irregular mines 208 days, and for the union mines 1 9 4 days. T h e non-union mines, therefore, averaged 1 7 per cent and the irregular mines 7.2 per cent more time as measured by tipple time than the union mines. If these figures are corrected for the length of the basic working day, the non-union fields on an average worked 28.2 per cent and the irregular areas 14.4 per cent more eighthour days than the union fields. ( 2 ) T h e tipple time, although of real value in ascertaining the chance to work that the industry affords, has certain limitations. In the first place, because some of the mines operate only a very small fraction of the year, the average tipple time understates the real opportunity to work. D r . Drury has estimated that a figure 8 to 1 0 days higher would more nearly approximate the mine working time of bituminous mines. Secondly, the average figure conceals a variation in tipple time that is especially pronounced in this industry. During seven of the eleven years considered in this study, 30.9 per cent of the men worked in mines averaging 260 days or better, 54.7 per cent in mines averaging 220 days or more, and 74.3 per cent in mines that operated 1 8 0 days or more. T h e working opportunity fluctuates widely between coal fields, between mines in the same field, and in the same mine from year to year. Lastly, the average tipple time cannot be considered as an indicator of the actual number of days worked by bituminous employees. In 1 9 2 1 , the tonnage men, who constituted 60 per cent of the total force, averaged less than 95 per cent of the tipple time and the day men, comprising the remaining employees, worked approximately 27 or 28 per cent more eight-hour days than the number of standard days designated by the tipple time. Of the total day group, the inside day men worked about 2 1 per cent more time and the outside day men approximately 42 per cent more time than the specified average tipple time for all bituminous mines in that year. When the individual occupa-

OPPORTUNITY

FOR EMPLOYMENT

153

tions are considered, the actual working times show extreme variations. ( 3 ) The analysis of the length of the basic working day for the eleven-year period reveals that the union miners in practically all fields were on a standard eight-hour day, that the non-union mines averaged about eight and three-quarter hours, and the irregular areas eight and a half hours. Substantial reductions in the length of the standard day have taken place in both the non-union and irregular fields. The hours in the non-union areas were reduced from 9.61 in 1 9 1 2 to 8.15 in 1922 and those in the irregular fields from 9.38 to 8.09 respectively. The opportunity for employment is a matter of real concern to those engaged in producing the country's supply of coal—to the operators because it materially affects the cost of producing coal, to the miners because the length of the working year determines in a large measure the level of their annual earnings. The engineers of the United States Coal Commission point out that "taking a month of 25 working days as full-time operation, it is found that when the mine works 16 days, 4 days per week, the cost per ton is increased 8 to 9 per cent over full-time operation; when working time is 1 2 days per month or 3 days per week, that is, half time, the unit cost is 2 1 to 25 per cent over full-time, or minimum cost; and when but 8 days per month or 2 days per week are worked, costs increase 48 per cent. Four days per month, or 1 day per week of operation raises cost 1 0 4 to 1 2 0 per cent over the minimum. If but one day is worked per month, the increase is 474 to 549 per cent over full-time operating costs."28 H o w opportunity for employment and other factors influence the earnings of miners will be discussed in a later volume. " W a l t e r , R. Α., and Lesher, C. E., " T h e Effect of Irregular Operation on the Unit Cost of Production," Report of the U. S. Coal Commission, Part in, p. 1 9 7 5 .

C H A P T E R

THE

VII

TRENDS OF AVERAGE COAL AND WAGE RATES

VALUES

W h a t was the relation between the trend of average coal values and wage rates in the years 1 9 1 2 to 1922 inclusive? In the discussion that follows, the trend of wage rates must not be confused with that of labor cost per ton. T h e latter is the total amount paid out for labor divided by the number of tons produced. L a b o r costs, therefore, reflect the changes in the v o l u m e of production which are influenced by the demand for coal as w e l l as by changes in mining practices. T h e y include, in addition to the wages paid to mine e m p l o y e e s — t h e trend of whose rates has been considered in previous c h a p t e r s — t h e salaries of office workers and of at least a part of the administrative employees and all extra wages paid for dead work, i.e., irregularities in the work of mining coal that are not covered by the standard piece rate. It may throw light on this discussion of coal values and wage rates if the trend of wage rates and labor costs are first compared. T H E T R E N D S OF W A G E R A T E S AND L A B O R

COSTS

D a t a on labor costs are meagre. T h e United States Coal Commission compiled the labor costs of 1 1 8 0 operators mining coal in 83 coal fields for the years 1 9 1 8 , 1 9 2 1 , and 1922. 1 Index numbers on a 1918 base have been computed f r o m these figures and are compared in the f o l l o w i n g insert ' Wing, D. L., and Black, J. E., "Cost of Production of Bituminous Coal," Refort of U. S. Coal Commission, Part iv, 1925, p. 2019. T h e cost figures for 1918 were compiled from the Federal T r a d e Commission data for mines identical to those included in the collection of the U. S. Coal Commission for 1921 and 1922. [154]

COAL

VALUES

AND WAGE

RATES

155

with the index numbers of the wage rates of all mine workers employed in the fields included in this investigation:

Year 1918 1921 1922

Index of Labor Cost fer Ton* 100.0 137.0 I 26.0

Index of Wage Rates of All Mine Employees I 00.0 137.2 128.0

* T h e labor costs per ton f o r the three years were $ 1 . 4 6 , $2.00, and $ 1 . 8 4 . Comparable figures for wage rates are not available because of different bases of payment.

It will be observed that not only did the wage rates and labor costs move in the same direction, but in 1 9 2 1 both items showed the same increase and in 1 9 2 2 the index numbers of labor costs dropped only two points below those of wage rates. T h e period covered by these index numbers is too short to permit of positive statements, especially in view of the fact that in 1 9 2 1 and 1 9 2 2 average tipple times and annual outputs were considerably below the average for the eleven-year period from 1 9 1 2 to 1 9 2 2 . From data compiled by the United States Coal Commission and the Federal Trade Commission, Messrs. W i n g and T r y o n computed for the years 1 9 1 6 , 1 9 1 7 , 1 9 1 8 , 1 9 2 1 , and 1 9 2 2 , the labor costs of 1 2 7 operators producing coal in six northern Appalachian coal fields, namely, Pittsburgh and Central Pennsylvania, Pocahontas and N e w River in West Virginia, and Number 8 Seam and Cambridge in Ohio. 2 These operations produced annually about 40,000,000 tons. T h e index numbers of labor costs and the relative rates of all mine employees, both on a 1 9 1 6 base, are shown in Table 40. T h e relative rates in each of the districts are for the district and not for the smaller number of mines included in the labor cost sample. If the index numbers of labor costs and wage rates shown in this table are examined by years, it will be seen that in 1

Wing, D . L . , and T r y o n , F . G., " T h e Bituminous Coal Industry in Prosperity and Depression." A paper read at the mining session of the annual meeting of the American Statistical Association, Washington, December 28, 1923.

156

WAGE

RATES

AND WORKING

TIME

TABLE 40 I N D E X N U M B E R S OF L A B O R C O S T S A N D T H E W A G E R A T E S OF A L L E M P L O Y E E S FOR S I X B I T U M I N O U S C O A L F I E L D S

Pennsylvania

Year

Pittsburgh

Central

Ohio

W e s t Virginia Pocahontas

MINE

(Base—1916)

N e w River

N o . 8 Seam

Cambridge

L a b o r W a g e L a b o r W a g e L a b o r W a g e Labor W a g e Labor W a g e Labor W a g e Costs R a t e s C o s t s R a t e s C o s t s R a t e s C o s t s R a t e s Costs R a t e s Costs R a t e s 1916 1917 1918 1921 1922

100.0 100.0 '33-3 128.0 170.5 161.6 *33-3 224.7 244.9 228.8

100.0 100.0 100.0 > 3 3 ° >3*-9 1 4 0 . 0 170.1 166.6 •94-5 205.2 224.4 301.8 214.4 222.8 214.5

100.0 130.1 170.2 275.2 209.4

100.0

100.0 100.0 125.6 160.3 219.2 223.1

• 3 ' - 3 •35 · 2 188.8 '«3-7 2 8 6 . 3 266. o 232.5 217.7

100.0 100.0 125.1 128.8 155·» 168.8 2 1 9 . 2 257-5 220.2 27·-3

100.0 124.5 154.0 215.8 216.3

19x7 those of labor costs moved higher—in one instance about ten points higher—than those of wage rates in three of the six districts. In two districts both labor costs and wage rates moved upward approximately in equal proportions and in one, New River, West Virginia, the index numbers of wage rates stood 3.9 points higher than those of labor costs. The following year the index numbers of labor costs in all of the fields exceeded those of wage rates, the spread between the two sets of data ranging from 3.5 to 24.3 points. In 1 9 2 1 the index numbers of both labor costs and wage rates were much higher in all regions as compared with the years 1 9 1 6 to 1 9 1 8 inclusive. However, the increases in labor costs since 1 9 1 6 exceeded those of wage rates in four districts, were the same in one district, and fell 19.2 points below in another. In 1922, the index numbers of labor costs surpassed their respective 1 9 2 1 levels in four fields and fell materially below in the other two. T h e index numbers of wage rates showed slight increases in three districts, a small decrease in another, and substantial reductions in two others. It will be observed that labor costs increased in Pittsburgh and central Pennsylvania and in Number 8 Seam and Cambridge, Ohio. Three of these fields were solidly union and the fourth— central Pennsylvania—was over 80 per cent organized. It

COAL

VALUES

AND

WAGE

RATES

157

should be noted that the wage changes indicated for these regions in this year were due, not to increases or decreases in the wage rates, but to the changes in the tonnages figures used to weight the rates of pick and machine miners. In Pocahontas, West Virginia, a non-union district, labor costs dropped 87.3 and wage rates 65.8 points and in New River, a field in which union affiliations were irregularly maintained, labor costs and wage rates decreased 53.8 and 48.3 points. If the data for these six fields are representative, it is quite apparent that the index numbers of the wage rates of all mine employees cannot be used to indicate the movement of labor costs. COAL V A L U E D A T A

For many years the Geological Survey, or more recently the Bureau of Mines, has published figures of the average value received for bituminous coal f.o.b. mines, less selling expenses. T h e value given presumably represents the average amount received by the operators for coal loaded at the mine for shipment to other companies, coal used at the mine for steam and heat, coal coked by the producing company, and coal used in some other industry by that company. T h e figures for average value are obtained by taking the total value reported by the mines, f.o.b. cars, and dividing this sum by the number of tons sold and used. 3 The

Limitation

of These

Data

T h e average value secured in this way is "more or less arbitrary." 4 Considerable quantities of the coal produced are not formally sold at a price. T h u s each mine uses a part of its output for steam and heat; some mines take all or part of the production and convert it into coke, and still others are operated by a producing company interested primarily in securing coal for its own commercial undertakings. W h e r e * Tryon, F. G., and Mann, L., Coal in 1923, pp. 615 and 616. 4 Ibid., p. 616.

158

WAGE

RATES

AND

WORKING

TIME

there is no formal sale, the government agencies are compelled to take the book value assigned to this part of the production or to estimate its value. In reality, therefore, the value given represents the amount—sales price or book value — r e c e i v e d by the operator for coal shipped f.o.b. mines, plus the estimated or book value of the coal used at the mine. T h e question may be raised—to what extent do the estimated or book value figures invalidate the computed " a v erage value per ton"? L e t us first consider the items covered under the caption "used at the mine," which includes the coal utilized in making steam and heat and the coal coked at the mine by the producing company. T h e accompanying table gives for the country as a whole the percentage of coal used for each of these purposes for the period under discussion. T A B L E

4

I

P E R C E N T A G E OF THE C O U N T R Y ' S BITUMINOUS C O N V E R T E D I N T O C O K E OR U S E D A T T H E

Year

Made into Coke

191a

10.7

93

10.3

1 1

Used for Steam and Heat 2.S 2-5 2-5

COAL

MINES"

Total 13.2 12.8

1914

8.2

1915

9.2

2.2

II .4

1916

10.5

2 .I

12.6

1917

91 7-8 5-9 5-4 a.o

2.2

11

2.2

10.0

1918 1919 1920 1921 1922

31

2.4

2.

I

10.7

-3

8-3 7-5

2.2

4.2

ι -9

S-o

Computed from the data published in the annual coal reports of the U. S. Geological Survey. a

It will be observed that in no year did these two items account for more than 13.2 per cent of the total coal produced. T h e proportion of the coal used at the mines for steam and heat has remained fairly constant, constituting less than 3 per cent of the total output. T h e proportion of the coal

COAL

VALUES

AND

WAGE

RATES

159

made into coke was of more importance in the earlier years, but it has fallen considerably, particularly since 1917. In discussing the influence of these items upon the computed average value per ton, F . G . T r y o n and L . Mann write: " I t was found, however, that for practical purposes the average value of all the coal produced may be accepted as a measure of the average value of the coal shipped. T h e values placed by operators on mine fuel and upon the coal coked were generally somewhat less than the average amounts received for the coal shipped, but the quantities to which these lower values applied were so much smaller than the quantity shipped that they affected only slightly the average for all coal produced. T h u s in 1921 the average value of all bituminous coal shipped was $2.90 per ton. T h e average of all coal produced, including mine fuel, local sales, and coal coked, was $2.89, only 1 cent less." 5 W h i l e estimated or book value figures for these items may not materially affect the figure of average value per ton for the country as a whole, they may influence the average value for a particular field. T h e analysis by states of the proportions of bituminous coal that were used for "steam and heat," "coked at the mine," "sold locally," or "shipped" for the years 1 9 1 3 , 1918, 1920, and 1922, as shown in Table 42, discloses that although the proportions of coal used at the mine for steam and heat or sold locally were relatively insignificant in all the important coal-producing states, there were rather wide variations from state to state and from year to year in the proportions that were coked. T h e commercially important states in which the proportions of coal coked at the mine were relatively high, especially in the earlier years, are Pennsylvania, Alabama, Colorado, Virginia, Utah, Tennessee, and N e w Mexico. Comparisons of coal values between individual states, therefore, are less reliable. A second factor affecting the average value computation is the proportion of coal that is produced by "captive" mines, " Coal in

p. 616.

O OS

Πos

co

State

Percentage of Coal Used for Steam and Heat

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