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INDUSTRIAL ` "" Published by the Illinois Manufacture Vol. 9 120 S. La Salle Street, Chic FEBRUARY, 1936 umber 105 Special Session of Legislature Called to Consider Legislation Relating to Occupational Diseases, Health, Comfort and Safety and Changes in Blower Act OVERNOR HORNER has called fancied lung afflictions. Some of these . was a flourishing racket The uneth- I -j- a Third Special Session of the suits were meritorious, but to a large leal lawyers and doctors, and not the. Illinois General Assembly which extent they were stirred up and solic- . employees themselves, profited from - began Wednesday, February 9. This ited by ambulance chasers for unethical these suits. '. session wilt run concurrently with lawyers who, with the aid of doctors The committee has devoted its activ . the first and second special sessions of like ilk; developed what for a time ities exclusively to the development of ' which now hay, been in progress for adequate and comprehensive occupa several weeks. tional'disease legislation for the state, Items to be considered in this Third Special Session which are of impor Legislative Situation at and it has actively and consdentlonaly continued its efforts to this desirable tance to industry relate to bills provid-. . Springfield end during the past year. It has had ing for remedies in occupational dis the whole-hearted cooperation of mem ease situation; legislation relating to There are now three special sessions ber companies of the Association, ' health, comfort and safety; and meas of the Illinois General Assembly tun which companies have placed at the ures making . certain changes in the ing concurrently. The first special disposal of the committee the services . Illinois Blower Act A digest of.the' session covers the subjects of pld age of legal, medical, engineering and lay principal provisions of these several pensions, unemployment Insurance, members of their organizations. It has bills Is subjoined. Copies of any or all of these measures will be sent to members upon request to our Chicago etc. The second session relates to un employment relief, and the third, which has just been called by the Gov ernor; covers the subject of occupa tional disease legislation, and several also received the cooperation and as ' sistaace of a number of the most out standing legal, medical and lay au thorities on the subject of occupational diseases In this country. ' copies of these measures to members . at an earlier date because the bills were not in form for submission to the Illinois Legislative Reference Bu.reau at Springfield until late Tuesday evening, February 4th. As a matter of fact, it is probable that some changes will still be made by the Legislative Reference Bureau helore the bills are finally submitted to the legislature. However, as indicated above, copies of the bills as'submitted to the Legis lative Reference Bureau will be sent to our members upon request These measures are the result of ex tended consideration of this entire subject matter by the Occupational Diseases Committee of the Association under the chairmanship of O. E. Mount This committee was appointed . other items which are not of direct importance to industry. The status of the unemployment In surance legislation remains unchanged. An unsuccessful effort was made to pass this measure in the State Senate on January 7th. Insufficient votes were secured. Senator Lee, sponsor of the bill in the Senate, secured the consent of the Senate to postpone con sideration of the bill. Therefore, he is in position' where he can call the bill up at any time for reconsideration. A companion bill is on second reading in the House of Representatives.""it is in position where it could be ad vanced at any time. The Association is carefully watching this legislation and wilt promptly advise its members ; Measures Carefully Studied ' Careful study and consideration has been given to occupational diseases acts which have been enacted by vari ous states in this country and by for eign countries; and in our study- of these various acts especial efforts have been made . to determine what has . proven satisfactory in actual operation from the standpoint of both employers and employees. ." At soon as the first draft of a pro posed act was approved by the com mittee, a copy of such measure was delivered to the representatives of la bor for their consideration. We ho'ped that an agreed bill might be developed . and introduced at the 1983 regular ses sion of the Illinois General Assembly. by the President of the Association early in 1933 to study the occupational in event any further efforts to enact the measures into law are made. The representatives of labor, however, introduced their own bill, which action diseases problem with a view to deter The subject of occupational disease placed us under the necessity of intro mining what remedial legislation was legislation is treated elsewhere in this ducing our bill. Both bilU .were re necessary in the state to bring about issue. ferred to the House Judiciary Com an equitable and practical system gov The Association is represented at mittee, and by that committee in turn erning the rights, duties and liabilities Springfield at all sessions of the legis to a special sub-committee. The sub of employers, employees and insurance lature by Allan T. Gordon, Director of committee conducted many hearings. carriers with respect to such diseases. our Legislative Bureau, and other Shortly before the end of the regular At the time the committee was ap members of our staff. Detailed infor session, the Illinois Director of Labor pointed. employers in the state were mation regarding any measures pend requested representatives of employers being flooded with damage suits, most ing at Springfield can be secured by and labor to confer in an effort to de of which were predicated on silicosis, communicating with our Chicago or velop an agreed bill. The widely di asbestosis, and a .variety of real and Springfield offices. vergent views of the two groups ren- PLEASB PASS THIS BULLETIN DOWN THE EXECUTIVE LINE i SC-ALL-01185 SCF-ALLF-00365 SC-IT-50 dercd agreement impossible In the limited time available. The bill finally reported to the Home by the Judiciary Committee was cooaldered baiical|y unsound by this committee. We accordingly opposed its enactment and, fortunately for Illi- ' nols industry, it foiled Of passage. The situation with respect to the liability of employers for occupational diseases has undergone radical change during the past year. The decision of the Supreme Court in April, 1038, holding portions ol the existing Occu pational Diseases Act unconstitutional, and the subsequent decision of the Appellate Court In July, 1038, holding mat no.common law right of action exists In this state for occupational diseases, stopped the flood of damage suits against employers. As a result of . these decisions hundreds of silicosis claims have been filed with the Indus trial Commission on the theory that under further court decisions such claims would be held compensable un der the existing law. No one is in po sition to predict with certainty the out come of these claims. The situation, . therefore, remains chaotic. No intelli gent person considers that such a. sit uation will be permitted to continue Constitutional taws providing a logical . solution can, will, and should be en acted;. Unconstitutional taws should and must be eliminated. The governor, recognizing the wide spread interest and gravity of the sit uation, in the early part of September, leu, arranged for a conference of rep resentatives of labor and employers under the chairmanship of Hon. Peter J. Angsten, chairman of the Illinois Industrial Commission. This confer ence' was called by the governor for the purpose of endeavoring to develop agreed legislation providing for the prevention of, and compensation for, occupational diseases. Ever since the Workmen's Compen sation Ad was placed on the Illinois Statute Books in IBIS, it has been cus tomary for representatives of labor and Industry to undertake to agree to such amendments in said act as seemed necessary or expedient for considera tion at succeeding sessions of the leg islature. These Joint conferences . through the years between representa three of labor and Industry on the sub ject of proposed changes in the Workmen's Compensation Act were ordinarily Initiated by the Illinois Inda s t r I a I Commission. Accordingly, pursuant'to such custom the Occupa tional Diseases Committee of the Associatfon when It had completed the first draft of a proposed bill recom mending changes In the taw relating ' to that subject matter submitted a copy of sueh measure to representatives oi fobor for their consideration. This was done early in 108S, shortly after the Ilfluots General Assembly had eon . vened In regular session. This action was taken with the hope that an agreed bill might be worked out and enacted at the said regular session. The representetives of fobor, however, Intro- dueed their own bill bringing ail socalled occupational diseases under the Workmen's Compensation Act under what was commonly referred to as the "Wide-open" clause. There was no definition of what .constituted an oc cupational disease. If such a measure Board of Directors and has the unani had been enacted into law. Illinois em mous approval of both of those groups. ployers would have been obligated for We shall be glad to undertake to claims for so-called occupational dis answer Inquiries from our members re eases which were not in fact related garding any features of this program to employment We would have had upon which they desire additional in a recurrence of conditions which ex formation. . isted In New York State, where, under a law enacted there comparable to the Digest of Bills so-called "wide-open" proposal lust referred to, many New York employ ers were obliged to dote down their plants and many others were unable to secure Insurance except at prohibi tive rates. - The intnols Manufacturer#' Associa tion was, therefore, obliged to Intro duce Its own occupational diseases bill. Both measures, Le.. the so-called "wide-open" bill, sponsored by organ ized labor, and tbe measure sponsored by our Occupational Diseases Commit tee were referred to the Judiciary The following Is a brief digest of the five Bills: t. The first Bill is for a Workmen's Occupational Diseases Act This is a Bill covering the subject of liability of employers lor Injuries or deaths resulting from diseases. It pro vides for an elective compensation (la- ' blllty, with a liability for damages im posed on non-electors. Section S of the BUI provides for liability for damages to an employe who has sustained injury to health, or death, by reason of a disease con Committee of the Home of Represen tracted or sustained during the course tatives and by that tommlttce to a of his employment and proxlmately sub-committee. ' caused by the negligence of the em The committee has had a large num ployer, unless the employer shall have ber of meetings. In fact the commit elected to pay compensation as pro tee has met almost continuously since vided in Section 4 of this BUI. In con tbe date upon which it waa caued to- nection with the liability tor damages ftether by the Industrial Commission n September of last. year. As indi of non-electing employers, the Bill provides that the violation by any em cated above, the bilts were not in final ployer of any effective rule or rules form for submission to the Legislative made by the Industrial Commission Reference Bureau until the night of pursuant to the Health and Safety Act, Tuesday, February 4th. . . or the violation by the employer ol any The dedsion of the Supreme Court statute of this State Intended for the of Illinois holding portions of the Oc protection of the health of employes, cupational Diseases Act unconstitu shaU constitute negligence. This Sec tional in effect invalidated the principal tion further provides for the period in features of the Illinois Act pertaining which actions for damages must - be to rules and regulations proriding for commenced and removes the common "Health. Safety and Comfort" in Illi law defenses of the employer. nois Industry. The proposed legisla . Section 4 provides that any em tion relating to that subject, which Is ployer mav elect to provide and pay a part of this program and a digest of compensation according to the provi which is subjoined, represents the con- sions of. this Bni for disablement or duslons of the committee as the most death resulting from occupational dis practicable and least objectionable eases. The B(U provides for the plan that is available under alt existing method of making the election, and circumstances. further provides, that employers elect The changes in the Blower Act, ing may have the right to elect out which are also contemplated by this from under the Act on October 1st, series of bills, are the result oi exten 198T, and on each October 1st for four sive study by a group of engineers years thereafter, providing, however, identified with representative member that an employer who has elected to firms. It was the conviction of the come under the compensation provi members of thst group that the pres sions of the Act, then has elected not * ent laws relating to that subject are to be under them, and has subse Indefinite and Involved and could not. quently elected again to come under in many instances,, be conformed to In practical operation. This proposed the Act. shall not have the right to anv further elections. . measure relating to this subject is in tended to more clearly define the'rights and liabilities of employers in connec tion with this subject matter, pending further treatment of this subject by the Industrial Commission pursuant to the authority given to the Commission under the terms of the Health, Com fort and Safety Act As indicated above, the various measures included In this proposed legislation are the result of extended The employes of any employer who has elected to be bound by the com pensation provisions of the Act have the right not to be so bound. Unless an emplove fifes notice to the contrary within thirty (30) days after the elec tion' by the employer, be shall be deemed to have accepted the compen sation provisions of the Act The Bftt defines an occupational dis ease as follows; consideration of our Occupational "Section O. In this Act the term Diseases Committee over a pafod of 'Occupational Disease' means a dis several years. In this activity we have ease arising out of and In the course had the assistance of all of the other of the employment Ordinary dla- principal employing groups In Illinois, - eases of life to which the. general all of whom we are Informed are in public Is exposed outside of the em- sympathy with and have endorsed this ptoyment shall not be compensable, program. ' except where the said diseases fol- This legislative program has also re ' low as an Incident of an occupational ceived the careful consideration of the disease as defined In this section. Illinois Industrial Council and our "A disease shall be deemed to 2 . PLEASE PASS THIS BULLETlfl DOWN THE EXECUTIVE LINE aiiae oat oi the employment, only ii Tbe power of the Industrial Com there U apparent to the rational mind npon consideration oi all the mission to make rules Is limited to the following purposes: circumstances, a direct causal con nection between tbs conditions ' under which the work is performed and the occupational disease, and which can be seen to have followed as a natural incident oi the work as a result oi the exposure occa stoned by the nature oi the employ ment and which can be (airly traced to the employment as the proximate ' cause, and which does not come irom a hazard to which workmen `would have been equally exposed outside oi the employment. The . disease must be - incidental to the character oi the business and not independent oi the relation oi em ployer and employee. The disease need not to have beta (oreaten or expected but alter its contraction it must appear to have had its origin 'in a risk connected with the em ployment and to have (lowed irom that source as a rational conse quence.'' The BiU defines disablement as fol lows: ' "" (a) The' proper sanitation and ven tilation oi all places oi employment to guard against personal injuries and aiieases. - (bj The arrangement and guarding oi. machinery and tbe storing ana placing or personal property to guaru against personal injuries ana diseases. \cy lot prevention oi personal tu- ju.ic* ana uncases oy contact wiui <u>y poisonous or deleterious nuuenan, i.nets, vapors, gases or tunics. \uj sue prevention oi personal in- juiics suit u-scases causcu uy expos- u.o io u uncial auuuspnerie pressure. nines oi tac inuusiruu < annnnssmu auupicu ui inc manner proviucu in , me wui naan nave me torcc ana caeci Ui MW. 'inis trill would apply to all em ployers engagea in any occupation, uiismcss or enterprise in |oe bmc, ex cept turners anu outers engageu in turning, tillage at me son, or stoex using, ana to coal uunijig. me rules aoopted Oy toe industrial commission must oe vicar, puun ana " 'Disablement' means the event oi lutetugioie, and must ne unuorm anu becoming disabled'irom earning lull general in tncir application. wages at the work in which the em roe urn provides mat n snail not . ptoyee was engaged when last ex Oe construeu as granung me indus- posed to the hazards .oi the occupa vial commission me power to maxe tional disease by the employer irom - ' aity Tuie wrncti will reqijire tnc suo- whom he claims compensation, or -mission ot any plan, spccincauons, nr eqqal wages in other suitable cm--- otner uuormauon concerning any pro- ptoyment; and 'disability'- means the state oi being so incapacitated.'* jMised installation, alteration, construc tion, apparatus or equipment, or in The BUI further provides that no any manner regulate me hours ot la- compensation ohaU be payable lor oc- oor ot any employee In the State. - cupational diseases unless disablement ibe bill sets lortn me procedure occurs within one year alter the last day oi the hut exposure to the haz for me adoption oi rules by me indus trial Commission. ards oi the disease, except.in. cases oi i ne commission may either institute occupational diseases caused by the inhalation oi silica dust or asbestos dust, and in such cases within three years after the- last day oi the last exposure. * The BiU further provides that the' employer liable for compensation shall be the employer in whose employment the employe was last exposed to the hazard of the occupational disease claimed upon regardless of the' length of time oil such last exposure, except that in the cases of silicosis and ashestosls, the exposure during a period oi lest than sixty (60) days after the ef fective date of the Act. shall not be deemed a last exposure. ' ' The provisions relating to amounts of compensation, and to procedure are incorporated in the BIU in the same language, and by the same section numbers, as they are contained in the Illinois Workmen's Compensation Act The BiU, li enacted, shaU take effect on October l, 1636, and shaU be ad ministered by the Industrial Commis sion. proceedings on its own initiative Oy a resolution, or npon petition signed Oy hve employes or live employers in a' ipedheo industry. Tbe Commission shall sec s date for a public hearing not less than thirty days, nor more than ninety days, alter tnc date of the passage ot the resolu tion by tbe Commission, or the filing of the petition. _ Notice of tbe bearing must be given at kast thirty days prior to the date of hearing, by publication in a news paper of general circulation and by mailing notice to any employer and to any association of employers or of employes who have filed their names and addresses until the' Industrial Com mission requesting notice of such hearings. Any. interested party may submit evidence at the hearing. Upon the conclusion of the hearing, the Industrial Commission shall enter itz decision in writing and send a copy of the decision to the interested par ties whose names are on file with the Commission, and a certified copy of the decision shall be filed with tbe Health and Safety BiU 3. The second Bill is the Health Secretary of State. Within thirty days after the entry of the decision, the Industrial Commis and Safety Bill. sion may correct, modify or vacate This Bill vests in the Industrial the decision, rule or rules, and any Commission the power to make rea person affected by the decision may sonable rules to provide reasonable object in writing, stating the specific protection to the lives, health and grounds of his objection. safety of employes. - Any person affected by tbe decision. whether he participated in tbe pro- : cecdings or not, may file a praecipe . for a writ of certiorari in the Circuit or Superior Court of the County in which the subject-matter of tbe hear - ing is situated, for review 'of. the rea sonableness or lawfulness or the de- ' cislon or rules. ' The Circuit or Superior Court may confirm or reverse the decision of the . Commission as a whole, or may reverse- and'rcmand it as a whole, or may con firm part and reverse and renkand part of the decision. An appeal from the order of the Circuit or Superior Court may be taken to the Supreme Court within forty- bve days, except as to the portions of the decision which are remanded by the Circuit or Superior Court. . The Industrial Commission may fix the date that rules or decisions ' adopted by it shall become effective, provided that no such decision, rule or rules shall become cttcctivc until ninety days after entry by the Industrial Com mission, nor shall they be effective during the pendency of any proceeding for review or appeal, and npon ter mination of appeal, no decision, rule or rales shall become elective until a period of time has elapsed after the nling of the Court's Mandate equal to the period of time originally fixed by tbe Commission. ' The Industrial Commission is re . quired to keep a full and complete rec ord of all proceedings.- and at least once a year shall publish in printed form all of the rules in full force and effect at the time of the publication. The enforcement of the rales is vested in the Department of Labor, with the proviso that the Industrial Commission shall not take any part in their enforcement. The Department of Labor is given power to inspect places of employ ment affected by rules, subject to a proviso that whenever any secret proc esses are used, the owner shall furnish an affidavit that he has complied with all effective roles, which affidavit shall bo accepted in lieu of inspection. - The BUI provides that tbe Depart ment of Labor shall give proper notice in regard to any violation of tbe Act, and any person who fails or neglects to comply with any rules adopted by the Commission after due notice U given, is guilty of a misdemeanor and subject to fine. This BiU provides for repeal of tbe Health, Safety and Comfort Act, to uke'effect July 1, 1937, and for the repeal of Section 4 oi the so-caUed Basement Blower law, to take effect October 1, 1936. The Bill contains an emergency clause, and is intended to take effect immediately upon its passage. * 3.' A BiU to amend Sections 7, 14, and 19 of the Workmen's Compensa tion Act. The amendment to Section 7 is a- re sult of the decision of the Sujircnie Court in the Moweaqua Coal Company case, 360 111. 104, and adds the follow ing language to the section: "Whenever four times the average annual earnings of the deceased em ploye as provided in paragraph (a) of tbit Section amounts to Tour thou sand dollars and not more than four thousand four hundred dollars and PLEASE PASS THIS BULLETIN DOWN THE EXECUTIVE LINE 3 the deceased employe left surviving abuve represented the interests of our him one child under the age of six teen years the amount payable shall be (our thousand (our hundred dol member* in connection with the prep aration of the above measures, are: lars. - OCCUPATIONAL DISEASES `Whenever (our times the average annual earnings of the deceased em ploye as provided .In paragraph (a; o( this Section amounts to tour thou sand dollars and not more than (our O. E. Mount, Chairman, American Steel Foundries. L. K. Ayres, Vice-chairman, George S. Mcpham Corp. thousand seven hundred dollars and i ftmbtrt--Genml the deceased employe left surviving him two children under the.age of sixteen years the amount payable shall be (our thousand, seven hun dred dollars. "Whenever (our times the average J. H. Allen, International Harvester Co. Donald Blake, Blake Monument Co. E. Bernstein, Caterpillar Tractor Go. Major R. A. Bull, Slvyer Steel Cast .annual earnings of the deceased em ings Co. ploye as provided in paragraph (a> W, E. Crocombc, American Mangan of this Section amounts to tour thou ese Steel Co. sand dollars and not more than five thousand dollars and the deceased employe leii surviving him three or more children under the age o( six teen years the amount payable shall be five thousand dollars.* A. M. Davis, International Silica Co. J. S. Dempsey, Bnda Company. F. H. Elam, American Steel Foun dries. Waiter Evcnscn, Crane Co. . Apdrew J. Pcrcival, A. E. Staley Mfg. The amendment to Section 14 adds Co. the words "or assistant secretary" in H. C. Thornton, Ottawa. Silica Co. connection with certain duti.es con R. E. McEwen, Western Electric ferred on the Secretary of the Com mission. The amendment.to Section 19 is (or the purpose o( taldng care o( the sit Co. A. Warsaw, Wedron. Silica Co. Mtmbtrt--Ltgal uation which might arise where a claimant misco'ucervea his remedy and files his claim under the Occupational Disease Act when he should have filed under the Compensation Act, or where he files under the Compensation Act when he should have filed under the Occupational Disease Act The amend David R. Clarke, Fyffe & Clarke, At torneys. J. L. Earlywine, Counsel, Illinois Steel Co. . ' s A. C. Hirth, Counsel, Owens-Illinois . Glass. Co. Mtmbtrt--MfdlcaJ ment provides that in such event the application may 'be amended to assert claim (or disability or death under the Dr. J..A. Britton, Supervisor of Med ical Service, International- Harvester Co, v ' proper Act and shall be deemed to have been so filed as amended ou the date o( the original filing, and such compensation shall be awarded as is warranted, by all of the evidence. 4. A Bill to amend Section 44 of the Act in relation to the Civil Admin istration of the State government to authorize the Department oi Labor * a Dr. I. R. DeMotte, Chief Surgeon, Pullman-Standard Car Mfg. Co. Dr. A. M_ Harvey, Chief Surgeon, Crane Co. Dr. J. H. Chlvers, Personnel Director, Crane Co. Dr. C O. Sappington, Consulting In . dustrfal Hygienist ' through the Industrial Commission to administer the Health and Safety Act ILLINOIS INDUSTRIAL COUNCIL and the Workmen's Occupational Dis eases Act . . Ross Bowles, President East Side As 5. This is a Bill to compel the us ' sodated Industries, East St Louis, ing of exhaust systems for removing in. dust and dirt from grinding, polish- J. L. Walker, Vice-President Fox ing and buffing operations, repealing River Valley Manufacturers' Assn, the present Blower Law, and con - tainlng an emergency -clause. . The BiU is to remun in. effect untit July 1st, 1037, by which time It is con templated that the Industrial Com - mission will have adopted rules cover ing the subject-matter. This is a Bill which,was drawn by a Sub-Committee of the Occupational Diseases Committee of the Illinois Manufacturers' Association, and was Introduced In the legislature at the last General Session. It was drawn by engineers, and contains detailed and scientific re quirements to replace the present anti Aurora, ltl L. E. Roarlt Peoria Manufacturers' & Merchants Assn, Peoria, in. ' M.H. Ward, Alton District Manufac- hirers* Assn, Alton. Ill Richard W. Gass, Acting Secy, Belle ville Chamber of Commerce, Belle ville, IU. R. I. Pierce, Mfrs.' Assn, of Chicago Heights, Chicago Heights, IU. Henry. BoU, Decatur Association of Commerce, Decatur. IU. M. H. Ward, East Side Manufacturers Assn, Granite City, Ill R. W. Jones, Will County Manufac turers' Assn.. Jfoliet ID. . N. J. Zlener, Mgr, Kankakee Cham quated Blower Law. ber' of Commerce, Kankakee, IU. Efficient Committee Service ' O. M. Benson. Illinois Valley Manu facturers' Club, LaSalle, III The Members of the Occupational E. C Xander, Tri-City Mfrs.' Assocl- Diseases Committee of the Associa ' ation, Moline, IU. . tion and of the Illinois Industrial C. S. Bather, Rockford Mfrs.' & Ship- Council, which groups as Indicated pen' Asan, Rockford, IIL W. E. Long, Sterling Mfrs,' & Ship pers' Assn, Sterling, III G. Robert Galloway, Chamber of Commerce of Waukegan. Wauke gan, IU., North Chicago, III C L. Blatehford, National Metal Trades Association, Chicago, IIL H. D. Sayre, National Metal Trades Assn. - Allan T. Gordon, Springfield, III SUB-COMMITTEE MEMBERS The members of the sub-committee, who. during the period of several months, carried on the negotiations and the detailed work associated with the drafting of the bills, are: O, E. Mount Chairman; J. L. Earlywine, T. G. Esslngton, Walter E. Beebe, Dr. J. H. Chivera, Dr. C O. Sapplngton. and e Mr. E. O. Jones.. . Messrs. David R. Clarke and John Harrington of the firm of Fyffe end Clarke, General Counsel for the Asso ciation, also participated in the work ol the sub-committee as weU as At torney Frank R. Peregrine, an author ity upon Workmen's Compensation legislation who was retained as spe cial counsel by the Occupational Dis eases Committee to assist in the draft ing of such measures, '' This activity on behalf of the mem bers of the Association has involved a . very substantial expenditure of time, energy and funds. It is the conviction of alt ol those who have carefully fol- towed the progress of the work that these groups have rendered a genu inely valuable service to the employers of Illinois. South American Trade Noah Van Cleef, of Van Clecf Bros, manufacturers of molded rubber prod ucts who recently returned from an extensive trip through South Amer ica for the purpose of extending the trade of his office, says that goods manufactured in the United States en joy wide acceptance in South Amer- tea.- In many cases North American manufacturers' have found U a decided sales advantage to ship their products , bearing the tame labels and markings as are used in their domestic trans actions. The average South .American considers the North American carton a trade mark or guarantee of excel lence. . Mr. Vtn Cleef in an article in the Chicago Credit New* pointed out that a handicap to the American exporter is the discrimination in the rate of ex change against the United State* In favor of other nations. The Interstate Commerce Commis sion has postponed a verdict in Its study of passenger fares. Some ICC officials forecast that in the near fu . ture railroads will begin charging ns little as s cents a mile for day coach and 3 cents a mile for Pullman coach rides. -- How Corporation taxes fall on the investor is indicated by tome pertinent data In the January issue of Investor America, published monthly by the. American Federation of Investors, at Chicago. 4 PLEASE PASS THIS BULLETIN DOWN THE EXECUTIVE LINE A Developments in Congress of Importance to Illinois Industry LARGE variety of measure! de A signed to impose new taxei and restrictions upon industry hart oier any or all bntinesses for govern ment ownership and operation. Referred to the House Committer been introduced in the Federal Con*on the Judiciary, J-8-36. gress. These include the O'Mahoney HJK. e48: Mr. Ferguson of Okla Util requiring the licensing of all cor porations. the products of which enter homa: The prttent provision in Arti cle section 8, ol the Constitution, interstate commerce; the Thirty Hour Week Bill; the Walsh Government Contract Ilia requiring conformity with standards on wage! and hours mo be based upon the requirement! which were included in codes'ol fair competition which governed industries under the NRA), by industries and contraeiors engaged even remotely on gasernrr.ent contracts; and the neu which empowers Congress to lay taxes in order to pay the debts and provide fur the common defense and general welfare, would be amended to confer upon Congress the power to ux and, in addition, a general power to Irgislate lor the common defense and gen eral welfare. Referred to House Committee on the Judiciary. 1-10-36. tral!!) legislation which would give to he .('resident the unqualified right to Jurisdiction cf Cstrts declare an embargo not only on war materials, but on all commodities and products which might be remotely as sociated with the conduct of war. ' The Illinois Manufacturers' Associa tion is keeping closely in touch with federal legislation and will promptly communicate to its members any de velopments at Washington directly afiect.r.g their interests. Two s:gnift;ant movements in Wash Bills relating to the Jurisdiction ol the courts are; H.R. J0106: Mr. Gillette of Iowa. Providing that no act of Congress could be held unconstitutional bs the Supreme Court of the I'mird States in the exerme of its appellate juris diction under Article III of the Con stitution (the judicial power) without the concurrence of at least seien ol the Justices of the Court in the de ington rtiate to eflorts to amend the cision. Constitution to limit the authority of Referred to House Committee on the icdcral courts. Both ol these, the Judiciary, 1-14-36. movements are designed to give our fedcrsl government a greater degree of control over industry and to deprive the stairs oi the powers they now hare to regulate purely intrastate or in ternal questions. The specific proposals to amend the Constitution ore: H.R. 1C118: Mr. Martin of Colos rado: Providing that with the-esception of the Lnitrd Slates Supreme Court in the exercise of its original jurisdiction, no federal, si.- t. or local court would has-e iunsdi: nn to hear or decide upon ike const! tionaluy of any federal statute whit: .s or pur ports to be an exercise of the tax. Proposed Constitutional Amendments commerce, or monetary powers of the SJR. lSi: Mr. Logan ol Kentucky: To authorise Congress to legislate concerning industrial disputes between ill persons and their employes (farm ers excepted) who-e products may move in or effect interstate or foreign commerce; and would be empowered to regulate and control the production of any agricultural, mineral, or manu factured produci that may move in or affect iolersutr or foreign commerce Referred to she Senate Committee on the Judiciary, 1-9-38. SJR. lSr.: Mr. Schwellenbarh ol Washington: Would permit iht Con stitution to be amended by a proposal by two-thirds ol both Houses of Con gress, with ratification by a majority United States with respect to the gen eral welfare, interstate commerce, tax ation, or the issuaner of money or pre scription of the legal-tender rights thereof; dot would such courts hart jurisdiction to bear or decide upon the constitutionality of any federal statute which aflects or purports to affect due process, when the rights affected are not procedural in nature. Referred to House Committee on the Judiciary, 1-11-34. Another measure of importance to manufacturers relates to interstatr^U- hor compactt. Mr. Tohev of New Hampshire has introduced HJK 331. This measure would give CongTtssional content to the labor compact which was signed on Mav 39, 1*34. cm behalf of the people s-oling in each ol three- of the states of Maine. New Hamp fourths of the states at the next Con shire, Connecticut, Massachusetts, gressional election following submitsion. or it special elections called by Rhode Island. New York and Penn sylvania; and which was citified by the President. Referred to the Senate Committee on Massachusetts on June 10. ivia. and by New Hampshire on Msv I*. 1*31 Use Judiciary, l-t-W. HJR. sso: Mr. Matcantonio of Krw York: Would empower. Congress to The compact pros ides that its mini mum-wage provisions shill be in effrrl in the ratifving states when the com regulate agriculture and industry throughout the United States br uni form law; to regulate the labor ol per sons under II yrsrt ol age; to ha maximum hours and m-mmum wages; part has been tabbed by two or tnoer states snd approved by Congress. Under this compact no employer shall pay a woman, or g minor under 31 yraes of tge in "unfair or oppres to provide old-age. sick and unemploy ment relief; and to establish and take sive wage-; and requires that the list* agency administering the minimum- w-sgc law enacted iu conformity with the compact shall have authority to investigate Ibe wagea of women and minors, to appoint wage boards (ou which employers, employes and tTu public are to be equally represented) for the purpose of recommending min imum lair wagea for women and minors, and to hx wages by "direc tory order." Violation ol mandatory order mutl carry a penally of t fine or imprisonment, or both. The agency also shall be piseo authority to take assignment of wage claims trom em ployes who have been paid less than the wage fixed by a mandatory order. Provides for records concerning hours, wages, etc., of women and minora. bets up administrative machinery for each state that ratifies compact. Passed House, 1-30-36; rcierred to Senate Committee on the Judiciary1-31-38. These labor compacts were favored by Peter T. Swannh of the Illinois Department of I.abor last Tuesday, January.38, before the Cathi.lic Con ference on Labor at the Palmer Houic. INDUSTRIAL CENSUS Illinois Manufacturers' Association Co operates with the Bureau of the Cessoa Members of the Illinois Manufac turers' Association base been requested to cooperate in a census of business comparable to those made by the Bu reau of the Census for 1*3* and 1*33. The census will be taken this year and will cover business activities ior 1*33. Enumerators will call oo members of the Illinois Manufacturers' Associa tion and other industrial and business concerns. An announcement from the Bureau of the Census su-rs: "This business census will provide a complete enumeration oi types and kinds of business on an establishment basis. It will furnish business men with such indispensable, basic facts as '"volume of business foe 1931, expr-ssed in terms of functional classes anc<uaparably arranged; payrolls, or the pur chasing power in the form of wage* nd salaries added to each community by businrii concerns operating there. In addition. Information will be ob tained on the locatioo of various types of establishment, legal form of organsration (partnership, corporation, etc), businets in which engaged and type of operation. "This censns will make possible the presentation of data oo volume ol business, expenses, personnel and pay roll on geographic basis (by state*, cities snd counties). Feme additional sutittics on specUbitd trades trill also be obtained." Tbe death rate ht Illinois In ILT peg thousand of population. This la per thonsaod lower than California and 14 pee thousand lower than Florida. PLEASE PASS THIS BULLETIN DOWN THE EXECUTIVE UNE MT-005208 rmiium 1 i.wn'i WATCHMEN S SCHOOL WtU Trained Guild* Prevent Factory Pirn Imporiantt ol *t!l trained watch- urn in the pretention ol nrcs is cmph.-i/cd bj tnt Central Watcn htivice incorporated, IV ixiutn Nells Mrrec hi a letter 10 the illmc.s Manuiacturera' Association. During tbi Ian It* years unit the depre-n^n, (actor) tirea were much lt numerous than they vter, durintt the busy induilnal period o( lv2v. renter lactones to opuation and more care exercised t-y employes cut oown l!.e nc::,:-er ot mc. ,*vrirMl.rlr>> laclory l:rc> anil occur and irr not only a great loss to industry hut to em ploye) w-.o are thrown out ol work and to the community. Ine Central Watch Service Incorporated hav eitahlishcd a schoul lor watclimrn, empha sising the importance ol certain regu lation) among them. 1 Keport lor dull ou lime and do not leave until relieved by proper party2. Make ill round) on achrdule. t- amine premises thoroughly, dv-ora, wmdo.v-, skvhghls and tiantoina. 3. Familianre youratll with the plant, every room, stairways, closets, elevators, ail doors and window> and their taj-.rning-, life dovrv, etc. to gether v ith ruin governing the di. upline ol ir.v c-iahii-hnirnt. 4. Farr.mime yout-elf with the ..`ifIcrcnl line) ol piping, steam, water -ire You Taking Adtanr togc of the Special Serv ices of the Illinois Manufacturers' Asso ciation f The Illinois Manulatrurer*' Aaaoeiation ir in a position to render a large variety ot per sona] service* to its member*. We maintain a- very Urge re search library and htre coraprrbrnaire file* on many problem* ol vita) importance to industry, including employ* relation*, wage rale*, ease*, government buamew*. federal, vtate and local, foreign trade, traffic, waterways spcalter) (or meeting*, market ing, agricultural relation*, pub lic ublirie*. employment terrier lor industrial ratcunre* and a Urge variety of other subject* ot importance to Industry. The AssocLa ben mainlain* a etail of twcnty-livt person) who arr devoting their enure time to serving the intemts of Ilhnoi* industry. We nssinttm t well equipped office it Springfield to charge of AlUn T. Gordon, whicb hat continuous contact with *0 the department* of our sttte government. TAKE FULL CHARGE OF THE EXTENSIVE FACILI TIES OP YOUB ASSOCtA TION. supply and sprinkler system, and the vahex controlling the supply to each 3. haniiiiame youistu with the movt lixny ousts ol nrr in tbr plant suih as spontaneous n-mbution m wavle lain, oily ovilalls l-r rags, rub bish and dirt, bill boxes on slutting c-e machines. 6. Watch (nr leakage from water piprs, sprinkler heads, iiucrti, tcnltts, wash stands or Irtun a Urrn lilting. KEJ'UKl III Uhl ICE A'l OMt. 7. Un your lint round be sure to srr that llit plant is pioprtly closed lot the night and everything in ap parently gi-od condition. .\ lew em ployes in almost every lactnry in their baric to leave, nr through cartlexsnrts, sometimes leave the premi-ts in a condit-on contrary to the rules ol the es tablishment. b. \ ou must not tamper with the waich-rloik system, alaim buses oe any olt.ee irrmilir.g devices Ir OUT UP UkbLK kEl'UKf 1U Oh'HCE AT ONCE. V. You should know the locaiion oi the (ire buckets and extinguishers, and each line ol small huse. "One ol the most important things a watchman has to Icaen," said Mr, Williamson ol the Central Watch ymnr lncur|K'iitcd, 'is the location oi tire boxes and use and operation ol the valves and sprinkler system. It is also m.-ponmi to avoid opening window.and doors "hull cause a rapid spread ol the llan-ts by the draft." NAVIGATION PROTECTED Successful Opposition by L Ml'A! td Gate in Chicago River Successful opposition to the con struction ol a single gate at the mouth of the Chicago River and Harbor was prrvrntcd by the Illinois Manulaciurcrs` Association at a hearing on Jan T conducted by Captain S. N. Karrsck ol the Corps of Engineers, L'ni ed btales War Department. The War Department at Wash! ;Ion rrjecird the plao ol the San :y District to build the single-gate v trol works on the grounds that -y conuitted possible dangers and a* dranccs to vessels navigating Ire . river to the lake. A partial *;>e. .-alion ol a nrw plan which, it was .. dicated, would be acceptable to the gov ernment was presented. The substitute plan provide* lor a construction ol two gate* to lorm a lock. Objections by thr I. M. A. included: 'ft will obstruct Irer navigation and so impair the use ol thr river as pari ol thr Ilhnoi* Watrrwav System 'll will seriously slow up rivre tralhe, intrilcring with the business ol our member*. "It will be detrimental to the inter ests ol Chicago and thr State at a navigation and shipping port. "Many ol thr members of the Illi nois Manufartuerrs' As socialwin use the Chicago nvtr as a means ol trans portation _ They include chipper* ol gtsin. piping and plumbing, salt, sugar, canned goods, lumber, gmrriJ mer chandise.' Manufactured gas aervirr i* availshir in mure than hall the population of 1 butova. SMALL MANUFACTURERS As *n srgumert againtl the multi tude ol bill* directed against indus try-, both in Congress and the lllinoit General Assembly, all ol which would have the tiled of incmimg Ihe coil ol operation, the Illinois Manufac turers' Association in a statement just issued points out that 82.71 per cent ol the manufacturing industries a Illinois, according to the last govern ment census employed lest than fifty persons, and 87.9 per cent employed less than 100 per ions. The percent ages were at follows: I* J t;loyw ............................. et.O t COmt-Ortct .......................................34.0) II ISosp-ojes ..............................11.3 U7J it 300 coplojis ............................ 3.9 101 7SI IW bur 7-0 wnpioyw ............................. OMS Sv->ncj'sia ...................................... |.| t.r*vCrwjtorcs ........................................ Jt 1.0A*cikvIdj* ..................................a 9JJ An independent survey conducted by the Illinois Manufacturers' Asso ciation in the Chicago district showed that (9.6 per cn.t in the Chicago dis trict employed test than $0 persons and tl.O per cent employed less than 100 ptfKini; 9.:t per cent employed (rum 101 to 230 persons; 4.9 Horn 231 to 300; 2 3 Iron 301 to t,no>y, and 1.8 over l.OOu. Thbiy-one pe- cent of the firms In the Cb.cago district had a capitalisa tion ol levs thar S23.l"30; 13 2 per cent hid a capitalisation ol }'.'3.000 to l`i-J anj 14.4 per cent were capital ized iroa 330.030 to fioo.uoo. Those that were capitalised from 110,000 to l.'lO.lvO constituted 16 per cent, 3330,OuO to 3300,000, 8.2 per cent: 3300,000 to *>.030,000, 3.3 per cent, and corporations capitalised over 11,000,* 000 embraced 8.8 percent ol the manufacturer* lined in the Chicago district. The Illinois Manufacturers* Asso ciation also points out that in 1931, only 4,816 corporations in Illinois re ported a net income amounting to 3131.93M29. During the same year 24,144 Illinois corporation* reported no net income, and a deficit amount ing to *620,134,704. About twenty per cent of the cor poration! showing no net income were manufacturing, and manufactur ing establishments comprised approx imately 12 per cent of those reporting itscocsc*. "OUFFEV COAL * A caution regarding use of coal pro duced under the `Guffey** Act was carried to manufacturer* in a rul ing from the Comptrollrr-Geocrsl in connection with the subject It holds that use of such coal is required under governmental contract* "Toe any public work, or service." and that a provision for sock use in a contract lor the purchase of supplies is not re quired. The ruling was given to the Treasury Department after H had in quired whether it should reject the bid (the only one reteivrd) of t Chscaao packing company to supply tbe United State* Narcotic Farm, Leaington. Ky,, with butler and cheese. Tbe packing company had vtrickrw out the Guffry coal provision ia its bed. * PLEASE PASS THIS BULLETIN DOWN THE EXECUTIVE UNE Hy ? `iwwwir n iii'ii v.fi MT-005209 rQvmnijiifUF Recent Meetings in Which the I.M. A. Participated Jan. 1.--Meeting of director* of A*- partment of Montgomery Ward 4r xaciatcd Art* and Industries at Ilb- Companj; Roy D. Brown, managrr of noil Manufacturers' Association to for the Insurance'Department ol Swift & mally accept the generous gift of the famoui old Marshall Field rciidence Compar.i, ar.d J. J. Wirkeni. manager of the Insurance Department of Utili on Prairie Avenue a* the new home ties Power 4: Light Company. Many of the organization. Thit properly ha* practical insurance economies were a frontage of 170 feet on Prairie Ave- . illustrated. nue and eatendt ea*t 1 SB feet Oa rooms and office* will be crtabhihed in the residence ar.d shops and atelier* Jan. 15--Executive Vice-President James 1- Donnelly addre*sed the an neal convention of the National Bed in the huge gauge which i* being re* modeled for that purpose. Wm. Nel son Pelouae formerlv president of th* Illinois Var.ufaeiurer*' Association i* president of the association and sc*- ding Manufacturer* Association at the Palmer House on "Cooperation for Prureetir-n ' He emphasized the need on the pan of bu*:r.es men of taking a mere atme interest in public and era! of the Jlliroi* Manufacturer*' As sociation director* serve on it* hoard. legtslatiic affair*. Jan. 16--Exrgutiie Vice-Pre*idrnl Jan. .t--Sub-Committee on Federal Jame* L Dor.r.ell* addressed, the Chi- taxes. C. C. La Rue. V. S. Gyp'0TM Company, Chairman, decided to ree- om.ir.rnd to director* view* on poliiies outlined in Referendum *0 of the Chamber of Commerce. V. S. A This in part expressed eppo*ition to in creasing exprrditures bv governmental order*. Rtcomm.endrd coordinated plan* for reduction of public expendi ture*. balancing of the fedrral budget and prr-tcMed againtt mounting taxes Jan. r,-- R. R. Wantz. Chairman of the Advisory Board, addrc-*ed R:a- riar,* at Freeport on Social Securi'j Att declaring it would take a-nuali* from lllir.o;, between |l*n r-jit.r-'-o ar.d };rviwy\('(,.fi, adversely ittrcti-.g the working capital of industry and *av. inp* of worker*. ' rago Woman'* Oub on "Unemploy ment Insurance." Jan 17--Addre*e hy Sterling Mor- ton of the Morton Salt Company and a member of the Advisory Board, of the l!`.:r..*i* Manufacturer*' Association and Allan T. Gordon. Tireetor ol the Lrct*'.atite Bureau of the Illinois Manufacturer*' Association at a meet ing of the Southern Division at thr Broadview Uriel. F-a*t St. Lnui*. Mr Morton, who ha* made manv addreisr* in ir.*fu*:r:a! center*, took fur hi* subj-c; "Plar.r.td Fcon-->mv. a Challenge to Ir.duifv " He tc-ok the position that .--ra'.lel rlan-.ed economy was ruth--.,* but ec-ileetiiism. Fascism. So cialism. Naz:i*si or Con'.muniim--all members of the same family. Januarv 7--Association *u.re*sfullv proltiltd agair.*t tingle gate at mouth of Chicago river, a* an obstruction to navigation, at hearing conducted by IT. S. War department. Jan 15--Represented at the Annual Dinner of the Cartage Exchange of Chicago. Grind Ball Room. Palmer H oust Jan. *1--Waller E Spahr. director Jan. -- Committee on International of Econe*m:c* of New York Uniser- Affair* crmidcred United State* policy srtv. follow ir.e a dinner 11 the Hotel of neutrality toward warring tountrie* LaSalle by the lllinoi* Manufacturer*' Jan. 9--Sub-Committee oo Cook Co*t* Association on "Fundamental* Countv Taxes. E. L. Hartig. Joseph of the B-.*:nc* Depret*ion" and how L. Ryerson A Son. Incorporated. a nvscor.crption of their rinse* misled Chairman, met to discuss Cook County the goveri-.rrert in is* adoption of a Personal Property at**ment rate* program for recoserv which, ha* ere- which have increased to to 70 per tent alrd di*en*ioo and *! friction. on tangible property and from 10 to January Jl--Illinois Manufacturer*' 77 on intangible* Association represented at meeting at Jan. 10--Board of Director* elected the Union League Club to dim** thr following a* memiter* of the Ad* naturalization rf alien citizen* in lilt- * ivory Board for the current year- DOS*. Paul' F. Beith. Wil'iam Boiterworth. January XI--Meeting of Industrial D. A. Crawrford. Jame* D. Cunning Relation* Committee of the lUinoia ham. Samuel M. Hatting*. E. C Manufacturers' As*oeiation at thr Heidrieh, !r.. Geeree R Moetcord. l'n:on League Club to disruit mean* Sterling Morton. William Nelson Pe- of bringing about a greater coopera louze. R. E Wantz. retiring president, tion between tr-ploser* and employe*. automatically breome* Chairman of Jaruarv It--Meeting of Illinois In- the Advitorv Board. du<trial Council at office* of thr Aato- Jan 10--Exerulrw and Advisory cvation. All dav ee-ssioo. Committee of the Illinois Maoufac- January IJ--Sterling Morton, mem turrr*' Coit* Atscrialion met at the ber of the advisory board. I. M A., Mori*"n Hotel, following a dinner, to in an iddrr** at Omaha. Neb. urged dinm thr foture program <4 that or- an oegarirrd fight bv industry and ganiiaticm. , butinrtt agtinsl centralitation 6f gov Jan JS--Meeting e>f the Landit ernment Certral'zation of govern- Award Employer* Association. Union mrr.t. he taid. would kill individual League Club 11:10 p a. Jan 11--"Proper ln*uranre Coev- initiative, individual ir*pon*ibility and iod-wfual personal liberty. trctl" wa the *u*>jel of a Technical Ian 19-- Rep'rrnted at Annual Di*cuton meeting No * at Hoiel Sherman, beginning at T p. m. C, V Meeiine of the Will County Manufac turer* Association. Louis Jolirt Hotel. Triton of Swift & Company pretided Jolwt, at a dinner beginning at d-M Thr di*fu*tion leader* were R F. Col p m. ville. manager of the Inturaacv De Jan. --Represented at *lb An nus] Dirner of the Traffic Oub at the Palmer House. Feb. 5--"Practical Presentation of Cost Information aad Ita Use by Management" wi the subject of Technical Discussion Meeting No. 7. held at the Hotel Sherman, beginning a> 7 p m. The Diseossinn Leadrr wa* Warren H. Sapp. Ceneral Manager nf Armour and Company and Fred J. Steffens. Ass-itant Comptroller of Libby, McNeil! & Libby, presided. Feb S--Meeting of Policy Commit tee of the *\i*f<iltion held at the Union League Oub. beginning st 17M0 p. m, to consider governmental activities. * Feb S--Represented at Annual Din ner of The Employer' Association of Chicago at the Palmer House. S. Well* U'iey, President of The Detroit Steel Catting Company, spoke on the subjrct ol "What of the Future?" Joseph C. Be'drn. a member of the Board of Dirrttor* of the Illinois Manufacturer** Association, acted a* Chairman of the meeting. Feb. fr--Meeting of interested em ployee* at Ajv*ciat>on headquarter* to d*ru*s revision of preppsed f-t prr. ventie-n ordinance and tprinkirr ordi nance of Chicago. ARMOUR INSTITUTE Cooperative Course hi Mechanical Engineerinf A number of members of the Illinoil Manufacturer*' Association are cooperating with the Armour Institute of Technology in establishing a co operative course in Mechanical Engi neering which began thi* month. At lent fourteen colleges has-e co operative courses in operation. Gen. Tho*. S. Hammond. President of the 1. M. A. i* taking a special interest ip thi* moit-meni and presided al meeting if fortv manufacturers at a luncheon held recently at th* Palmer House. The plan provide* a means bs which energetic, ambition* young men. with out sufficient fond* to pav the com of a college course, may be able to alternate between work is college aod work in industrial plants, and obtain in a five-vear course the cqoivalrnt of the utnal four-year engineering toi lette traiuing. Thr tuition for each of thr five vtar* I* t)*0. Fee* and text book* triff in volve additional expense ol about >50 per year., , The minimum wage for beginning student* will be ltd per week. For thr working periods, aggregating twentyix week*, the total earning* of |1N will be HOC more than the cost of tuition, fees and boohs. --Th* lllmoii Gear and Machine Company, ties North Nat thee Ave nue, Chicago. Itlinoi*. have purchased all of the machinery and equipment of the William Gxnwhow Company Division of Gears and Forgings, lot. ta Chicago. Pl.F.ASE PASS THIS BULLETIN DOWN THE EXE f MT-005210 (37463,009 Direct and Indirect Coal of Illinois Industrial AeddroU is J8SI The Illinois Manufacturer!' AssocistioD hat received from Peter T. Fwarsish. Division of Siativlics and Research of the Illinois Department of Labor an interesting report on the coit of indurtrial accident! in Illinois for 1937. Compensation pajments in 19.12, ex clusive of hospital and medical cart (except in hernia casei disposed of by scnicrr.er.l contract), artificial limbs and funrral expenses, totalled *7,473,622. Thij. however, does not include the hidden costs :o employers, exclusive of compensation and liability claims, medical and hospital cost, insurance premiums which are as follows: (1) Cost of lost time of injured em ployee: (2) Cost of time lost bv other em ployes who stop work (a) out of curiosity, (b) out nf sympathy, (el to as!'t Injured employee, or (d> for other reasons: (3) Cost of time lost by foremen, supervisors, or other executives (a> a-firting injured employee, fbl investigating the cause of the acc'dent, fcl arranging for the injured emploxee's production to he continued bv some other cmpl.--.xce. (dl selecting, training. or breaking in a new emplosee. and (el preparing State arcident re ports. or atirndinc hearings be fore industrial commissioners; (41 Cot of time spent on the case hv first-aid attendant and hos pital department staff, when thi* time is not eomprnsitrd by intunnoe: (3) Cost due to injurv to the ma chine. tools, or other property, or to the spoilage of material: (61 Coit doe to interference with production, failure to fill order* on time, loss of Iwsnuses, pivm"nt of forfeits, and other similar cause*; (7l Cost undrr employee welfare and benefit ivstem*: f*l Cost in continuing the wage* of the injured employee in full after his rrtu-n rrn though the serv- iees nf the emplosee (who Is not ye* fully reeoveredl mav foe a time be worth ibout hall ol their normal valor(91 Cost due in the loss ol profit on the injured emplovee'a productiv ity. and on idle marhinva^ I ml Cot of ubaequmt injuries that occur in consequence of the et* e.Her-ent tr weakened morale doe cn the original a-rident and (111 Overhead cost --the cioense ns light, heat rent ind other aorh iirmi--which rontmuea shite the iojurrd emplosee is a non-prodocev ft Is well tn point out that In 1*1# industrial artiritv in Illinois drrhnrd to the Inwrst level in the thirteen years. !99>.I9)V toe which rrcsudi a'e available The Ptviiioss of Staniius and Research estimated that the direct' and ind tf| rosla of industrial atridenta (four times compensation paid play covnpenaatsow pwidl to 1933, ea- elusive of hospital and medical care (except In hernia cases disposed of by settlement contract), artificial limbs and funeral coats, totalled approxi mately 137,361.000. DOUBTFUL PROPRIETY Our attention has been called to ac tivities which are being engaged in by various associations in their effort to securr memberships from manufac turers of Illinois which would appear to be of questionable propriety. These actisitics include getting from a given employer a list of firms with wbicb surh employer does business or from which he may purchase supplies or materials, etc Such employer is then persuaded to write letters to all.of such firms on hr* stationery soliciting their membership in a given associa tion. Quite frequently, according to our information, these letters are writ ten for such employer in the office of the organization for which such mem bership is being solicited. Instance* have hrrn called, to our attention where Individuals identified with such organization have called up manufac turers sho were prospective members and gixrn the impression that they were speaking on behalf of the indus trial exrtutise whor name was signed to the Inter soliciting such applica tion. although in fact the industrial rxrrutivr may net have hid , any knowledge of such supplementary'tele phone solicitation. SAFETY COUNCIL ELECTION T. J Carner. virr president of 1-tars. Roebuck & Co., was reelected presi dent of the Chicago safety council (or the third successive vear at ihe annual meeting at the Palmer house. New members elected tn she advis ory board of the council are: F. A. Croft, vice president of thr Magnus Metal Company; T. S. Hammond, president of the Illinois Manufactur ers' Association; J. L. Keeshin. preaiOsM of the Keeshin Transcontinental Freight Lint*. Inc.; D. F. Kelly, presi dent of the Farr store, and G. C. Kimball, vice president of the Carnecie lllinois Steel Corporation. Three new members wrre eletted to Ihe besird of directed*: C. S. Craigmile, "ice president of the Bcldtn Manufacturing Company; Robert Ken yon. ir* aecretarr-treaiuTCT of Chieigr Lloyds, and R. E Vernor. man ager of the fire prestnticn department of the weatrns actuarial borrao It will he noted that most of the new offices i are from member firms of the I. M. A. WAGES AND HOURS Since the end of the National In dustrial Recovers .act U>i Mar there has he-n t.o widespread trndenrv to eat wages, ineress* hours of wort, oe to lav off empUsses. the National In dustrial Conlereoee tfisard It-und in a lonrev of about t POO manufacturing plants in r Industrie* The ansi, tosolving more than a million wiifker,- shows that hourly tamings and emjWivmeirl to October, t*lt, srvTf ahe>> e thnse of Aprs!. Ihe last month ol ihe NR A and that the average wrekrng resit wl nearly two hour* longer WORKERS WILL PAY Between 1180,000,000 and 1300,000, 000 annually would he taken frnm the earnings of the workers and the pay rolls in Illinois by the Federal Social Security Act, according to R. E- Wants, who spoke before the Rota- riant at a luncheon at Hotel Freeport. Jan. 6. , The administration of the act. said Mr. Want*, will be by politically ap pointed boards with almost lawmak ing power, sitting in every political sub-division in the state There is no guarantee of any exact amount of re turn. he said, to those whu are sup posed to benefit by the act, as. for instance: man beginning to pay on the old age pension at the age of tn and continuing to pay for as years without receiving one cent of benefit from it. cannot borrow on his pay ments and has no guarantee of the amount the government will pay or whether his dollars will be worth as much on the promised date of payment as they are when he pays them in. ECONOMIC SECURITY Aid In developing economic security for American workers is being pro vided voluntarily bv manv employ trs in all major indu>tries. This help i* uppliid through such medium* as guaranteed employment, dismissal compensation, group life, hrallh and accident insurance, mutual benefit as sociations, pensions and loans to em ployes. The foregoing information is from a recent nation-wide ins-esligation of industrial relation* policies by the Na tional Industrial Conference board. The survey eovered 2.432 business es tablishments ir. manufacturing, min ing. transportatior and communication, wholesale and retail trade, finance, and public utilities. The employment represented by these companies totals over, 6.300,000. or IS per cent of alt person* gainfully employed in the in dustries covered by the survey. LITTLE WONDER THEY MOVE "In the past 30 davs one Wisconsin firm with million dollar a year pay roll hai definitely made arrangements to move out of the Slate.'' say* the Wisconsin Implement Dealer. "An other firm with equally aa big a pay roll has contemplated the same move. Lest than a year ago a big knitting mill sought another State for Ita oper ation*. Isn't it about time lb people ol Wisconsin began to ask why thia eiodui of payrolls) . . . The answer is as plain a thr nose on every voter to the State. Those men more Ibear factories because of Ihe taceitivel* high tain and because government edfinal! condone irrviponaibtr tabor !trikea by lilting with hand! folded and permitting a Iriketa to destroy, through mob action, factory properlies I^boe has always the right tn say whether H will work or not. bat oo one hai the right to destroy the property of another." Srrr*noa w-aerm-?*. ... ---- 111--1 'l,L grs hv.S Q|,niw fuv fV-t n njg hw nenl dn mt Met** C. M. L. Mat S Pl.FASE PASS THIS '>"U.ET!H WPS THE EXECUTIVE IJNE MT-005211