administered does not serve industry but burdens it. It increases unearned incomes at the expense of earned incomes. It is the centre of the malevolent forces that corrupt the spirit and purpose of industry.

We urge the organization and use of credit to serve production needs and not to increase the incomes and holding of financiers. Control over credit should be taken from financiers and should be vested in a public agency, able to administer this power as a public trust in the interest of the people.

WOULD HOLD RAILROADS FOR YEARS

Since the Government has not worked out a constructive railroad policy, we urge for and on behalf of the railway workers and of the general public, that the railroads be retained under Government Administration for at least two years after January 1, 1920, in order that a thorough test may be made of Governmental operation under normal conditions. The common carriers. of this country are the arteries of travel, commerce and industry. Transportation service and rates are intimately bound up with industrial production in all parts of the country. It is essential that a thorough test be given to all phases of railroad control and operation before a definite peace-time policy be finally concluded.

Never has the world been confronted with a more serious situation. Millions are in want, facing starvation. The children of war-stricken Europe, half-fed, under-developed, appeal for help. Only with infinite pain, unnecessary loss of life, and slowness of result can Europe rebuild her industries, restore her agriculture, and re-establish her commerce, without the help of America.

The treaty, setting forth the terms of peace, has not been ratified by the United States. Boundaries are not fixed. People are uncertain as to their allegiance. Under such conditions exchange and credit have lost voltage and in turn have paralyzed industry.

As members of an organized labor movement that has for years maintained fraternal relations with the working people of Europe, we feel that our nation cannot with honor and humanity maintain a policy of isolation and disinterestedness from the distress and suffering of the peoples of Europe. Even if the necessity of the peoples of Europe did not have a compelling

appeal, the interrelated economic interests of the world would prevent our limiting our attention solely to this hemisphere.

The Peace Treaty includes provisions in an international agree ment to prevent war among nations, with all its cruelties and sacrifices of human life, with its burden of indebtedness and taxations; for reduction in standing armies, the diminution of great navies, and the limitation of the production of arms and ammunition. If the Senate shall fail to ratify the Treaty of Versailles, our nation may be isolated from other countries of the world which at some time might be pitted against us. Such isolation and possibilities would make necessary the creation and maintenance of a large standing army and a greater and more effective navy in order in some degree to protect the Republic of the United States from aggression by those countries which were our allies in the great war and which were and are now our friends.

In addition, the workers of America have a deep interest and concern in the Labor Draft Convention of the Treaty, and in its purposes to raise to a higher standard the conditions of life and labor among the peoples of all countries. Its cardinal declarations and provisions are, that labor should not be regarded as a commodity; that the eight-hour day and forty-eight hour week are standard; that there shall be one day of rest, preferably Sunday, in each week; that child labor shall be abolished, and continued education for young workers assured; that men and women shall receive equal pay for equal work; that industrial betterments shall be enforced by proper inspection, in which women as well as men shall take part; that wages shall be sufficient to maintain a reasonable standard of living, as this is understood in each time and country, and that employees as well as employers have the right of association for all lawful purposes. The United States is protected by this draft convention in two ways: (1) That the recommendations which international labor conferences under the treaty may recommend may be accepted or rejected by our Government; (2) That no recommendation that would set a lower standard for the people of the United States than already exists within our boundaries be at any time presented for consideration and action by the United. States.

To give the united support of our Republic and of the allied countries to effective machinery to raise the standard of the workers' condition in backward countries, to help humanize industry for

the common world weal is, we insist, a paramount duty which our republic must perform. We insist, for the reasons herein set forth, that it is the immediate duty of the Senate to ratify the Treaty of Versailles.

The American labor movement resents the attempt of reactionaries and autocrats, to classify the men and women of Labor with those groups which have nothing in common with its constructive purposes and high ideals, and with the fundamental principles of our country. Those who aim to strike a blow against the legitimate aspirations of the workers in their struggle for freedom and for a higher and a better life must be met and ever

come.

We call upon all those who contribute service to society in any form to act in the furtherance of the principles and purposes and for the rectification of the grievances herein set forth. We call especial attention to the fact that there is a great community of interest between all who serve the world. All workers, whether of the city or country, mine or factory, farm or transportation, have a common path to tread and a common goal to gain.

action of our people We urge that every Federation of Labor,

We

The issues herein enumerated require the upon both the economic and political field. practical action be taken by the American with the co-operation of all other organized bodies of workers, farmers, and sympathetic, liberty-loving citizens of the United States, to carry into effect the principles and purposes set forth in the declarations of this conference.

We call upon all to join with us in combating the forces of autocracy, industrial and political, and in the sublime task of ridding the world of the power of those who but debase its processes and corrupt its functions.

In all struggles for justice and human freedom, sacrifices have been made. Having made supreme sacrifices to crush militarism and political autocracy in Europe, America's workers will not surrender to political and industrial autocracy at home. In the struggle now before us, we will contest every effort made to fasten tyranny and injustice upon the people of our Republic. We are confident that freedom, justice and the opportunity for a better day and a higher life shall be achieved.

CHAPTER II

Organized Labor and Politics

Under the title "Forty Years of Action," the American Federation of Labor has published, in pamphlet form, a synopsis of the non-partisan political declarations that have been passed in the annual conventions since 1881, when the American Federation. of Labor was substantially formed.

During this time the Federation has consistently maintained. the position that it is an economic movement, and while political questions shall be discussed and the record of officeholders given wide publicity as an aid to the casting of an intelligent ballot, no attempt shall be made to question the worker's right to vote as he elects.

As far back as 1885 the convention rejected a plan to form a workmen's political party. Similar action was taken in 1889 and in 1892. In 1894 it was declared that "a political labor movement cannot and will not succeed upon the ruins of the trades-unions."

In 1896 it was stated that "our movement distinctly draws the line between political action in the interest of labor and political party action." In practically every convention the political party theory, presented in various forms, has been rejected.

The pamphlet is of value in that it shows, in concise form, that the non-partisan political policy of the American Federation of Labor is not a scheme of a few officials, but is as much a part of the trades-union movement as is every other guarantee to workers which has grown out of the experience of these workers.

We have seen in the study of the European situation that the labor parties in every country have sooner or later entered polities. This was done largely at the instigation of the so-called Social Democratic Parties, the Socialist parties, that is to say, who decided to take advantage of the parliamentary system, either with or without any intention of eventually destroying and superseding it. In doing this they necessarily felt the need of an organized party of voters, and this body had to be the workers of the country. Therefore the Socialist Party either invaded and directed the labor unions or organized to a large extent, or else created and developed, labor unions where they did not previously exist.

In the United States the policy of organized union labor has been consistently at variance with this European program. From the beginning of his career, Mr. Gompers, although coming from England, has worked against the English system. He has objected very strongly to the formation of a distinct labor party with its candidates for offices either in State or National institutions. He has induced the Federation to make specific statements of this character. The most recent statements were those at the last meeting in December at Washington, at a meeting of the Federation, a statement that is published elsewhere.

In this connection he rebukes the leaders of labor in the State of Indiana, who early in 1920 organized a special political party in the State, with their own candidates. Mr. Gompers' plan is to carry on an intensive campaign of investigation before each election, that shall lead to declarations on all questions important to labor on the part of every candidate for office in the regular parties. No matter what are the political affiliations of these candidates, those who make declarations satisfactory to labor will receive, as far as possible, the full labor vote at election. In this way labor hopes to elect a majority of men who will favor legislation to carry out the aims and purposes of organized labor, irrespective of their political affiliations.

The constitution of the American Federation, Article III, section 8, expresses this principle:

"Party politics, whether they be Democratic, Republican, Socialistic, Populistic, Prohibition, or any other, shall have no place in the functions of the American Federation of Labor."

While local and central bodies and State federations may enter into the political field, either independently or otherwise, it is not within their province to form or become part of a national political party.

The address of President Gompers, endorsed by a meeting of the Federation, December 28, 1918, reviews the entire question, including a discussion of the part played by straight union labor in politics. There being nearly 4,000,000 organized trade unionists in the United States, it is quite clear that if the Federation were able to swing these votes to special candidates they could in most cases insure an election.