Evening Star Newspaper, September 5, 1927, Page 4

fz w3 HIGH-WAGE POLICY PRAISED BY DAVIS Secretary of Labor Says Good Pay Means Prosperity. ' Union Officials Agree. ated Press problem a problem Secretary of a statement of Labor duction “is of underconsun Labor Davis dec today in commemoration day “In the long run,” res he said, cople are piaced in an economie posi- | - what they catch up with can consumption wil ion.” our produc “As standare our demands for goods Secretary continued. “A v our workers receive good antial wages, but there are of them who have yet to get beyond (hv‘ existence line nd when these become so situated that they can buy what} want, we shall not mneed to| y over the matter of overproduc living rise rease.” the jority of Home Market Development. ¥ of the employers of | today have come to the idea that| as we develop and improve the home | market we insure better times for all concerned. This idea has fully proved | jtself during the tremendous prosper- ity of the past few year “Indeed, we have made great prog- | and we shall make still more in the vears to come. We sl 1 con tinue in the practice of secing to i that the Nat wealth ' evenly divided, that the worker receives a f. are in return fory his contribution to American pr pe “And thus we celebrate this Labor with a new feeling of confidence knowing that the reciprocal respect | between all units of industry is to be a permanent one. We know that out of the far-seeing efforts of those who insisted from the beginning that | in industry and labor American| standards should be placed within| the reach of all there have come benefits that are accruing wealth, peace, profitable employment, and a new and brighter future than the American man and woman have ever before faced.” Green's Message. To American workmen, President | Green of the American Federation of Labor expressed congratulations on their achievements of the past year| and urged them to oppose any reduc- tion of wages on the contention that “high wages make for prosperity.” lie aleo importuned labor to cast their votes in the coming political campaigns for candidates who favor the labor cause. Two_ other officials of the federa- tion, Vice President Matthew Woll and Secretary Frank Morrison, also issued messages. Woll warned against “violent demonstrations and revolu- tlonary phrases,” while Morrison stressed “intelligence and organiza- tion” as the most effective weapons of organized labor. SEES QUIET REVOLT IN U. 8. Secretary Davis Comments on Growth of Labor Machinery. MONTAUK, N, Y., September 5 (P). ~—A quiet industrial revolution has taken place in the United States dur- ing the past two decades through the rapid displacement of workmen by labor-saving machines, James J. Davis, Secretary of Labor, said yesterday in an address in the Montauk Church Theater. The Secretary asserted that a new type of inventive genius must be en- listed to devise industries and occupa- tions for the working men rendered Jjobless by the development of ma- chines. “Labor is agreeable to the develop- ment of more machines so long as the purchasing power of the men who operate them is not curtailed,” he said. “The golden rule is stronger today than it ever has been in the 2,000 years of Christianity, and it is respon- sible for the healthy and happy state of American Labor today. But we must be careful in the immediate fu- ture, while scrapping old methods and old machinery as fast as we find it of | with ty. | COMING TO U. Arthur Pugh to Be Fraternal Delegate to A. F. of L. Convention. Will Investigate Economic and Industrial Conditions at Factories Here. | | | { { | Correspondence of The Star. | LONDON, August 24.—Arthur Pugh, who headed the controlling organ tion of the great British general strike | —or general stoppage, a tish labor | calls it—is going to the United States | his t visit. He will be one of the two fraternal delegates of the Brit- ish Trade Union to the national con vention of the American Federation Labor at Los Angeles. He sails f New York aboard the Lancastria September 10. At the time of the general strike hera Pugh was president of the Trades Union Council, the “cabinet” of the British unions, which directed the strike. He also was chairman of the negotiation committee which dealt the British government on one | side and the British Mines' Feder- ition on whose behalf the general strike was called, and took a leading part in the conferences with Sir Her bert Samuel, chairman of the last I conl commission of investiga- which led to the agreement on s of which the general strike | as called off. It is curious sidelight that the man then leader in labor’s war against Premier Baldwin's Conservative gov- a “if our BRITISH GENERAL STRIKE HEAD 7 o THE EVENING STAR. WASHINGTON, D. T.” MONDAY. SEPTEMBER 5, 1927." S. ON FIRST VISIT ARTHUR PUGH. ring from the ef- wa The great b: 3 Britain—the iron steel trades, coal, shipbuilding textiles—depend so much on the con- dition of Europe for their prosperity Says Tariff Is F: “The war, generally speaking, in- creased the productive capacity of this country, while at the same time the consumptive or purchasing power the ot vored ernment himself once was an em- ployee in the biz iron and steel con bi DBaldwin's Ltd Holds Two Big Posts. Today Pugh is vice president of the | de Union Council and general sec- | retary of the British Iron and Steel and indred Trades Association of which he was the principal organizer. The official occasion for his visit to the United States is to convey the fraternal greetings of Z3ritish labor to American labor. But most of the six weeks’ stay there will be devoted to an investigation of economic and in- dustrial conditions in the principal manufacturing districts of the coun- try. In particular, he is anxious to tudy what has been done in America n regard to the fixing of wages in relation to production and profits and the relation of production to consump- tive capacity. “‘American producers,” began Pugh, ‘“seem to have grasped the idea that a healthy state of industry and the retention of a good home market means the maintaining of the purchas- ing power of the people—a power which is opposed to wage-cutting policy. Then, too, there appears to be a new spirit in America regarding the relation of the human factor in industry to the capital invested: the principle of the men in industry using capital as a vehicle of productio: {nlther than being controlled by capi- al, Finds America Ahead. “I also want to study what America has done about factory management, in which I believe you are ahead of this country. I want to see what America is doing in the way of rais- ing the status of the factory manager to that of a trained and carefully schooled profession. Here, so far, everything in this branch of work has been haphazard. Men have be- come works managers not because of their abllity and training, but be- cause of influence. And even in cases where they possess the necessary technical ability, they are sadly lack- ing in any kpowledge of human peychology and an understanding of how to manage the large groups of men under them. “Then there iis the question of waste in production, which is related closely to the problem of works man- agement. I have recently finished reading a report of an American ex- pert committee on this subject, in which the conclusion stated the greatest proportion of waste in in- dustry is due to faulty management. Finally I want to go into the general question of the relation between em- ployers in America and labor organi- zations there. “But we will not be able to solve our industrial problems here merely by following the lines on which obsolete, not to scrap men.” America has prospered. Our present troubles are too serious for that. E FIRST AIRSHIP RACE IN U. S. THRILLED NATION 25 YEARS AGO Boice and Stevens’ Historic Contest in Gas Bags Declared Tie After Each Travels Two Miles. Correspondence of the Assoclated Press. SAN FRANCISCO.—Just a quarter of a century has intervened between what was hailed as America’s “first race of airships” and the aerial derbies from New York and San Francisco to Spokane set for Sept. 19-21, A glimpse back to the afternoon of September 30, 190 resents the pic- ture of man’s mastery of the air. The feat that thrilled an amazed public on that date was but a feecble aerial ges- ture compared to the impending trans- continental contest, but relatively it was as epochal in nature as any of the present day. Hailed as Triumph. New York, starting point of the latest cross country derby, saw both the start anf finish of the first com- petitive flight. It was between Edward €. Bolce, in his gas bag, Santos-Du- mont, No. 6, and Leo Stevens, in his equally venerable peril, the Pegasu The distance covered was approxi- mately 2 miles! But of it press dis- patches “Ameri ships today. “The contest was between Santos- Dumont, 6, the big airship which the Brazilian would not go up in and which has been at Brighton Beach all Summer, and Pegsus, the rival fiyer that has been stabled at Manhttan, and which has made one or two false starts. “This afternoon both navigated the had its first race of air- air. Dependent on their own mech- sm the ships maneuvered at the ill of their helmsmen. They rose and cucied obedient to the rudders, set courses and held them, while thousands ot people craned their necks to follow the sight.” Flyer Takes Chance. Confiding that “As a matter of fact, neither ship had planned to make So important an experiment” it was ex- plained that the competition was wholly impromptu. Boice had ordered his ship taken out of its shed for exhibition to two friends. He got into it and was sud- denly seized with the impulse to at- tempt a flight. The dispatch continues: “'Let go,’ he shouted to the men tugging at the drag line. The next instant the line was out of reach. The little party what this meant. The workmen a mighty cheer. Mrs. Boice drew her children toward her. “It was all so sudden that his wife, Bis children and his friends .c:'rcely realized his departure before the ship drew upward.” Stevens at the time was making an ascension, but had not planned to loosen his ship from the anchor lines. When he saw his rival navigating the air he ordered his own craft cut loose and followed in pursuit toward the village of Sheepshead Bay. Boice landed in a pasture In back of the Sheepshead race trak and Stevens went westward until over Coney Island, circled and was returning when his anchor caught in telephone wires and his cage settled upon the cross arms of the pole. He got to the ground safely down a ladder. The reporters wrote that “the honors of first accomplishing a flight through the air in America rested in the balance and apparently were even, for “both ships were in the air at the same time, both were uninjured and both uts guided their machines at JAPANESE RULER VISTS PERRY’S LANDING PLACE Hirohito Inspects Bonin Islands During Recent Maneuvers of Battle Fleet. Correspondence of the Associated Press. TOKIO.—Emperor Hirohito, inciden- tal to attending the naval maneuvers off Kyushu recently, became the first Japanese ruler to visit the ‘Bonin Islands. ‘The Emperor inspected Chichishima Island, the largest of the group, inhab- ited by some 7,000 persens, including 70 forelgners of American, English, Hawaifan, French and Canadian de- scent, most of whom are naturalized Japanese citizens. The majority of them are fishermen and live in small cottages roofed with the leaves of banana trees. Interest attaches to the island be- cause Commodore Pergy landed there with his fleet 70 years ago_and estab- lished a coaling station. During the restoration period, when it was made clear that America did not wish to take over the islands, more than 130 foreign seamen drifted there. Many of these remained. Upon the Emperor’s visit one of the oldest residents, Benjamin Shevery, presented His Majesty with a cannon ball supposed to have been left there by Perry,, of Europe has decreased. In addition, there 1s a general continental rend toward the raising of national tariff walls. ‘Thus vou have the problem raised in an acute form of increased production contlicting with decreased consumption and tariff barrie nally, there is the added complica- tion of reparation and allied war debts Pugh was asked if he was going to suggest, while in_America, how the United States could assist Furope in her present difficulties, bly not,” he repiad for when T am th 1 do not believe 'y any gratuitous I will say Ame growing foreign trade and its incre: ing participation in foreign loan issues, cannot follow a policy of iso- lation. The world is too small and, figura: tively speaking, is shrinking every day. Even in the last few months, with the opening of the transatlantic telephone and the successful flights from New York to Europe, the gap between the New World and the Old has materially decreased.” Not Worried Over Law. Regarding the effect on labor of the new law, he was not 5o De mistic. The two principal items of that law are first, declaration of an illegal or sympathetic strike and the making illegal of the imposition of a levy for political purposes by union officials unless and until every indivi- dual union member concerned speci- fically declares his readiness to con- tribute money for such use. Previ- ously the union executive could make a political levy from the members of the union except in such cases in which the men definitely said they would not contribute for such a purpose. “I am not worrying about the anti- strike provisions of the law,” Pugh said. “It 1 know the British work- ingman, and I think I do, he will strike whenever and for whatever cause he feels like, Besides, the act really has no praetical meaning for us unless and until a striking union is challenged by the courts and its action declared illegal within the meaning of the act. “The political levy provision, how- ever, is going to make some trouble for us. Human nature being what it is, it is much easier to collect money from qur members if they have to contract out of a political levy, as was the case under the previous law, rather than if they have to contract in. The raising of that difficulty. that handi- cap to the political activity of the trade unions, was the real motive of the Tory government in passing the trades disputes act and the general stoppage, of which so much was made by them during the debate in the House of Commons, was only an ex- cuse.” with a ng that 1ssumed re | ment was negotiated LETTER OF BORAH MAY FORCE PARIS Senator Seen Trying Compel France to Take Stand on Debts. to BY DAVID LAWRENCE. With characteristic indifference to the niceties of diplomacy, Ser Borah of Idaho, chairman of the Sen ate foreign relations committee, has stirred up the slumbering situation which has_developed over the pay-, ment by France of her war debt to the United States. By demanding that the State De- partment tell private bankers that the United States Government does not favor the flotation of even a *conver- sion” loan, Mr. Borah not only ha prduced a new international situation which will provoke much discussion in the capitals of rope, but he has also revived the question of congr influence in controlling foreign edits. Injects New Angle. several months Premier Poin- as been silent about his inten- with respect to the Mellon- r agreement, and it has been ently that France intended to pay such sums as she pleased from vear to year without feeling committed to the specific schedules negotiated last year. Whether this is wise policy from the French viewpoint, when it grows apparent to the Ame ple that the French capacit being improved yi is that is not quite clear to officials he For while the Mellon-Berenger it a time when France was hard pressed, it was not ratified either by the French Parlia- | ment or the American Congress, and | there is nothing to prevent the United States from revising the agree- ment_upward instead of downward as the French hope. But Senator Borah has injected a new angle into the situation. He is asking the Department of State in n the intentions of v debts, onal ac- not For ave For care tions Berer ind he is hinting at congres tion if the State Department does object to the forthcoming loan some time New York bankers been restive under the annoyiniz pro ess whereby the State Department ha asked that every foreign !oan to be floated in_the United States should first be submitted to the Federal Giov- ernment to determine whether .here is any objection in international policy which would warrant the withholding of approval. But State Department officials have always said that such supervision of the loan problem as has been exercised was merely a ne essary step to prevent even more dras tic action by Congress itself. Commission May Rule. 1t the State Department, for in- stance, should ignore Mr., Borah's de- mand, it would not be surprising to see him ask for legislation at the next session of Congress prohibiting pri- vate bankers from lending money to foreign countries except with the ap- proval of a commission set up by Con- gress and not responsible to the Exec- utive. This plan has been discussed from time to time on the theory that Congress alone can regulate commerce between nations and that credits are an essential part of such foreign com- merce. There has been some discus- sion as to the l'?m'\sv.ilutinn;.\ht&l of a law prohibiting foreign loans, But the imposition of a tax or the application of the tariff principle has been sug- gested as one means of overcoming constitutional barriers, American bankers, on the other hand, have resented interference by the Government in the normal proc- esses of extending credits and argue that loans not floated here will be floated elsewhere, 8o that the net ef- fect of American policy would be to deprive American investors of their opportunity to buy good securities and American bankers of their chance to earn legitimate commissions. Reopening of Question. It so happens, however, that the Department of State, while anxlous to approve the proposed conversion loan of France, cannot publicly, at least, appear to disregard Senator Borah's warning, and it would not be surprising if the Borah letter fur- nished the vehicle for the reopening of the French debt question, so that | France with respect to the war debt an people We've named this new fall beauty—“IT.” Sure to be “It” among the smartest footwear creations of the year, It has “IT!” De- cidedoriginality. Pi- quancy. Charm. You'll love short, round toe, hi tongue, Youthfulness. its igh silvery buckle— myriads of saucy perfora- tions. Patent or gunme tal calf—low heel. Come and see “IT!” one of the new “Hahn Specials” $6-50 Dozens of other Fall “new ones” in the group. NEW BRITISH DREADNAUGHT STUDIED BY U.S. his is the new type of British dreadnaught, combining lessons learned in the World War. Americ: perts are studying it closely to find what new secrets Britain has discovered in naval building. The inset pictures | Sir Charles Madden, first sea lord of Britain. MI not at all cannot keep tr One as 365 island: not formally They may be ac homestead claim The only nd when they any of the I %8 CHICAGO, n naval ex-| sterda statement of the oflicial purposes of —a statement, incidentally which m have been in contemplation anyhow as a means of making more accept- able the conversion loan. The American Government at the| moment feels that if France can re-| finance her & per cent loan by borrow- ing at 6 per cent in American markets she is entitled to the saving of 2 per cent as well as the benefits of her credit position, which may ensue and make easler her funding of the war debt due the United States Govern- ment. Senator Borah calls attention to the disparity between 6 per cent interest to be paid by France on her | proposed §$100,000,000 loan and the 1% | per cent interest which the United | States Government agreed to permit | France to pay on the war debt. Stand on Loans, There is always a difference in the rate of interest at which foreign gov- ernments can borrow directly from private investors and the rate at which governments lend to each other. Nevertheless, Mr. Borah will not accept the idea that the difference should be as great as in this case. The truth is governments can afford to take long-time loans at a low rate of interest, while private investors refuse to lend their money except at prevailing interest rates for commer- cial loans. In other words, the in- terest rate of 6 per cent is not fixed by the French government, which would gladly pay 1% per cent on its new loan if it could float it on such a basis. American investors are con- stantly the judge of what interest rates will attract their money. The American Government itself is refinancing its loans at rates of in- terest slightly more than 3 per cent, so the money actually loaned by the United States to France when the Lib- erty bonds were sold is now being borrowed from time to time to redeem those Liberty bonds at rates of inter- est in the neighborhood of 3 per cent. It is not felt here, however, that Mr. Borah is trying to make an issue of the interest rate to be charged on the proposed French conversion loan, but is merely trying to compel France to state to the world whether she intends to ratify the Mellon-Berenger agree- ment and what she intends to do if it is rejected. (Copyright. 1027.) OCEAN FLIGHT DELAYED. Irish Attempt to Cross Sea Waits on Take-off Choice. DUBLIN, Irish Free State, Septenw ber 5 (A).—It was stated at the Bal- donnel airdome this morning that Capts. R. H. MacIntosh and Anthony Wreford would not begin their at- tempted flight to Philadelphia today. They are understood to be comparing the -respective merits of Baldonnel and Phoenix Park as taking-off places. It was also announced that Capt. A. J. Barnes, who was to have made the trip as passenger, has decided not to go. Building models of each ship on which he has served is the diversion 3212 14th 233 Pa. Ave. S.E. “Women's Shop"—1207 F “Lady Luxury,’ their perfect match in exquisite silk hosiery to wear with them. $1.45 and $1.95 Italian Student Aviator Attempts “Solo™ Flight and Makes "Rotten Landing“ as Mr. Harding In support of the theory that avid tion students, no matter what their nationality or temperament x be, at one point in their career of learn- ing to fly think themselves to he just about the best airmen that ever tossed a leg over the cockpit, Nobile Pio Macchi_dei Conti di Ceilere, attache of the Italian embassy and off-and-on student of the Potomac Flying Serv ice, Inc., violated the orders of his instructor, took off alone from Hoover Field and made a “rotten landing. The incident, which happened eral weeks ago, was only one of many such occurrences that Lowell Harding, operating manager and chief instru tor of the flying service, enced in his 10 years of flying. young Italian, Mr. Harding said toda: has been a student at the field for about four months. has practically soloed several his instructor said toda; “taking off, flying awhile and landing without any assistance from me.” Mr. Harding added, however, that it against his principles of instruc- tion to permit a student to solo after the lapse of several days on the ground and without being checked out. On the day in question, the at- tache reached the field, climbed into a Waco biplane, warmed up the en- gine and asked-the mechanics to pull the chocks from against the wheels. They refused and went into the office to learn his status. In the meantime the student asked the watchman to pull the chocks away, explaining he wanted to taxi around for a bit. The watchman obliged, the student took the air, played around awhile an st rotten landin; | There is mno young man's a uctor exp more flying intervals, he n loose” with instructor. lin ries suffe kin and Inj Hec Phel the Rockville Chase, Md., las y cut believed to hav brain. vere injury Both o Air_Se on leave. Mrs. C Battery icers Hede! ark, Some make a pra to janitors offe tion for inforn ined, but unless he gets the full approval of the TWO OFFICERS HURT. | Lieuts. Hedekin and Phelan Suffer | From Auto Accident. 1 in an automobile accident on to be serious today at Walter Reed | FHospital, where they in, ve a contusion of the His corpanion suffered a se- to the b ice and were in Washington arles A. Hedekin, res divorce agencies e of sending circulars ation as to any tenants periling the others, Marian Haxton, Into the lake and 25 mi could rec 1tes ver it ; described it, “made| The so- 5 semble heavy ve regular, California_a question _about the bility to fly, the in- time, and at regular ever will be “turned sred ut. by Lieut. David William James pike north of Chevy night were declared | are under treat- | a former Western hlete and captain of team at West Point, bout the head and is Chicken ck. are attached to tha Steak kin’s parents, Mr. and ide in Breakfast, 7:30 in Paris {ce.) ng liberal compensa- ely subjects for the atio: Announces The Atrival of Wedding Gowns For the September and October Bride A rare collection of dis- tinctive wedding gowns that combine every tra- dition with exclusive individuality, Appointments may be made with Miss Hart of The Walnut Room to plan and select the bride’s trousseau and the gowns for her attendants, carry- ing out one’s individual ideas and conforming to the dictates of the mode. Third Floor string islands in Lake Vermill the iron mining region, nies hold the miners force the sale of any cho ake Vermillion island | have been bought for $100. eptember strong undertow swept along the Chi- ago bathing beaches of Lake Michi- . drowning one and im- lives ody was tossed about the high before man-made canals, tronomer. T @ollier Inn c%b&'fi:"'a‘lAANBASSADOR Broiled Tenderloin 9:30 (Selt Service) Luncheon, 11:45 to 2 (Table or Belf Serv. MANY ISLANDS LOCATED IN LAKES OF MINNESOTA Residents of State Enrolled by Reg- istry to Acquire Them as Personal Property. | By the Associated Press. SAPOLIS, Minn.,September 5. —Having a little island in the family difficult in Minnesota, “land of ten thousand are so many islands there the State ck of them. lake alone—Lake Vermillion— , many of w! been registration purposes as State property. uired by the script method, much the same as prov lakes.” There ich have “discovered” for ing a attached to the n, which is in s that mining 1 rights, and to mine org. s Girl Bather Dies in Undertow. 5 (B).—A of hundreds of 17, was drowned carried and her vaves ards lite g tation than says a mo RD. a71825T, Special | LABOR DAY DINNER Served From 4 to 7:30 Fried Spring to | ClOLEEEEEE