"Because it is unfair to the American boy to deny him the right to learn a trade, and in order to create mechanics in proportion to the development of industry, we will not recognize any restrictions in the employment of apprentices. It shall be the duty and obligation of all employers to instruct apprentices in all branches of the trade. The California Metal Trades Association shall actively co-operate with various technical schools in this district in an effort to raise the dignity and efficiency of the various trades.

"An employee should receive at least wages sufficient to maintain him at a proper standard of living. An employee's earning capacity should not be restricted, whether working by the day, by the piece work or by the premium system, and should be commensurate with his skill, proficiency and ability to produce.

"It is the privilege of the employee to leave our employ when he sees fit and the employer to discharge an employee when he sees fit.

"The above principles being absolutely essential to the successful conduct of our business, we cannot permit any interference therewith. In case of disagreement (concerning matters not covered by the foregoing declaration and not affecting the economic integrity of the industry) our members will meet such of their employees as are affected by such disagreement and adjust the difficulty on a fair and equitable basis.

"Since many rules, regulations and shop customs have been enforced upon employees by business agents, shop committeemen, and individual agitators resulting in constantly reduced efficiency and production, we will not tolerate rules that arbitrarily place a limit: (1) Upon the amount of work that a man can honestly perform; (2) upon the machine or machines or the kind of work upon which men may work, nor rules which permit interference by individuals with men who can and are willing to produce.

"We will not allow jurisdictional claims to enforce the use of men from several crafts on work that can easily and economically be performed by one man.

"Foremen and assistant foremen, as representatives of the management, are responsible for the efficient and economical performance of the work; therefore, all regular foremen and assistant foremen must withdraw from their unions while acting in such capacity."

CHAPTER XIII

Arbitration in Labor Disputes

In the February, 1920, number of the National Labor a full account is given of what is called a new preced arbitration in the adjustment of the differences between th land Terminal Railway Company and its operating emp' The arbiters were Warren Olney, Jr., Associate Justice Supreme Court of the State of California; Ralph Merritt, F. Food Administrator for the State of California; and E. C. ley, a member of President Wilson's Labor Conference E The official publication of the State Building Trades Coun California, Organized Labor, is confident that the decision, w speaks for itself, will be used as a guide and standard in 1 future arbitration proceedings.

Submission of the dispute to arbitration followed the st which tied up transportation facilities in East Bay cities (C fornia) from October 1 to 11. The men returned to work on company's terms at the suggestion of the State Railroad Comi sion and agreed to submit all their demands to arbitration.

In awarding the employees an increase, the board laid dow the following principle:

"It is our belief that regardless of the financial conditio of the employing company or its ability to secure other me or the rate of wages paid by other similar concerns, it is rigl that it should in any case pay what may be called a minimur. living wage, meaning by that a wage which will enable & man to support himself and family in a decent and reasonable way, having in mind particularly that he shall have enough, not merely to provide his family with necessary food, clothing and housing, but also to give to his children. that opportunity for education and advancement which is the birthright of every American citizen.

"We have considered carefully the cost of living and in our best judgment a conservative figure at the present time would be approximately $1,600 a year for an average family. We have, therefore, determined that the forty-eight cent rate should be increased by enough to pay, on the average, approximately this amount. For this purpose an increase of six cents per hour, or 1212 per cent., is required, making the hourly rate fifty-four cents."

CHAPTER XIII

Arbitration in Labor Disputes

In the February, 1920, number of the National Labor Digest, a full account is given of what is called a new precedent for arbitration in the adjustment of the differences between the Oakland Terminal Railway Company and its operating employees. The arbiters were Warren Olney, Jr., Associate Justice of the Supreme Court of the State of California; Ralph Merritt, Federal Food Administrator for the State of California; and E. C. Bradley, a member of President Wilson's Labor Conference Board. The official publication of the State Building Trades Council of California, Organized Labor, is confident that the decision, which speaks for itself, will be used as a guide and standard in many future arbitration proceedings.

Submission of the dispute to arbitration followed the strike which tied up transportation facilities in East Bay cities (California) from October 1 to 11. The men returned to work on the company's terms at the suggestion of the State Railroad Commission and agreed to submit all their demands to arbitration.

In awarding the employees an increase, the board laid down the following principle:

"It is our belief that regardless of the financial condition of the employing company or its ability to secure other men, or the rate of wages paid by other similar concerns, it is right that it should in any case pay what may be called a minimum living wage, meaning by that a wage which will enable a man to support himself and family in a decent and reasonable way, having in mind particularly that he shall have enough, not merely to provide his family with necessary food, clothing and housing, but also to give to his children that opportunity for education and advancement which is the birthright of every American citizen.

"We have considered carefully the cost of living and in our best judgment a conservative figure at the present time would be approximately $1,600 a year for an average family. We have, therefore, determined that the forty-eight cent rate should be increased by enough to pay, on the average, approximately this amount. For this purpose an increase of six cents per hour, or 1212 per cent., is required, making the hourly rate fifty-four cents."

The arbiters stated that they were in accord with the "general principle of an eight-hour day in industry" but the conditions are such that inauguration of the shorter work day would make t impossible to pay the men a "living wage." The eight-hour day would increase the company payroll by 45 per cent. in order to give the men the 122 per cent. increase which the Board decided necessary to be in proportion to the cost of living. The decision of the arbiters on this point goes beyond the interests of the company and the men. It takes into consideration the public from which the company would have to draw increased revenues. In denying the shorter work day, the arbiters said:

"It is out of the question for the company to pay this increase with its present revenues. Those revenues can be increased only by increasing the rates to the public, and the increase necessary would be so great as to put this likewise out of the question. The inevitable result of granting the request of the men for an eight-hour day would be. disastrous to the men, the company, and the public alike. We, therefore, cannot see our way clear to grant it."

COMPULSORY ARBITRATION

Compulsory arbitration was first tried, apparently in New Zealand, where it was enacted into state law thirty years ago. It was enthusiastically described in a special work, "A Country without Strikes," by Henry D. Lloyd. The apparatus consisted of (1) A Conciliation Board which took first cognizance, and if that failed, industrial disputes were referred to

(2) A National Arbitration Board, consisting of three members

1 elected by labor unions,

1 elected by employer's association,

1 chosen by the government from judges of courts of record. This scheme seemed to work. For fourteen years there was not a strike in New Zealand. But it was because the third and deciding vote was that of a judge appointed by a government that favored labor, especially under Prime Minister Seddon.

There came a more conservative government, also wages had been raised as much as markets would stand. If raised higher, it was found that New Zealand could not compete in open markets. The first strike came in the packing industry when the board denied the demands of the workers. The punishment for refusal