you examine the general industry average you will find it is more than double that. In industry generally the number of employees dropped was 34.1 percent as compared with less than 16 percent in the newspaper and periodical publishing business. Pay rolls between 1929 and 1933 declined about thirty-four and a fraction percent in the newspaper and periodical publishing business, as compared with fifty-five and a fraction percent in industry generally.

Obviously, if employment and pay rolls of all industry were at levels of those for newspapers and periodicals, there would be no unemployment problem of consequence.

Corroborative of the high level of employment in the newspaper publishing industry, as shown by the United States Bureau of Labor Statistics, is the following union data:

The I. T. U., in September 1933, made an employment survey of its members, the results of which are shown graphically by the chart which faces this page.

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The union report is based upon total membership of the local unions supplying data. It fails to deduct from the figures on partially employed" and "wholly unemployed" members, those who because of incompetency or age are not qualified to hold regular situations.

That there are many members of advanced age was indicated by President Howard, of the I. T. U., page 107, February 1933, Typographical Journal, as follows:

On December 20, 1932, there were 4,170 pensioners. The indications are that there will be more than 4,500 on the roll by the end of the present fiscal year, and there will be more than 5,000 on the roll at the end of the following fiscal year. There are more than 10,000 members 60 years or over.

This means that approximately 16 percent of the I. T. U. membership is over 60 years of age, and most of its elderly members are to be found in newspaper composing rooms. The same general situation is true of the other printing trades.

Senator AUSTIN. Is that Matthew Woll?

Mr. KELLY. No. That is President Howard of the International Typographical Union. Matthew Woll is connected with the photoengravers' union. There are five different unions in the printing trades.

That goes to show that in the newspaper and periodical publishing business we do not have the condition that exists in many other industries, where men are scrapped at 40.

Concerning the existence of incompetent members of the union, a publication called the "Typographical Forum ", published by some members of the T. U. No. 6, of New York City, commented editorially in its July 16, 1932, number, covering the membership of the T. U. No. 6, alone, as follows, in part:

On the other hand, we are informed that we have a large number of "unsalables." Figures have varied anywhere from 200 to 500 on this classification. This group includes men who would still be among the unemployed if jobs were going begging. There are men who, because they have never learned to print or because of their intemperance or laziness, cannot hold jobs; men who do not want to work more than is needed to exist; and men who believe the union owes them a living and should deliver it at their door.

It seems obvious that if the incompetent members and members incapacitated by advanced years be taken into consideration, the union statistics show conclusively that unemployment to any abnormal degree does not exist in the newspaper publishing industry. The average worker in this industry fares well, all things considered, when compared with the workers of other industries.

In connection with the extraordinary employment record of daily newspapers published throughout the depression, I invite your attention to the fact that "experience rating" long has been established as the governing factor in determining rates which shall be paid by the respective industries under the various insurance laws. The same rule applies in all forms of insurance rate making. Under that rule the industry that produces the greatest number and severity of industrial accidents pays the highest rate, while the industry with the smallest frequency and severity of industrial accidents pays the lowest rates.

The newspaper-publishing industry for which I am speaking has every right, we believe, to expect that any Federal legislation having for its objective the shortening of hours of work under a theory of spreading available employment shall take into consideration and give proper weight to the employment experience rating of such industry.

To say that an industry with the highest level of sustained employment shall be made subject to the same legislation, growing out of an

unemployment emergency, as an industry with the lowest level of sustained employment, would be to say in substance that all insurance rates should apply uniformly throughout the country with no regard to experience rating.

The high level of employment and pay rolls in the newspaperpublishing industry was maintained in spite of ruinous shrinkage in

revenue.

As an indication of the punishment taken by daily newspapers during the current depression, in loss of business volume, we have taken from the Editor and Publisher Yearbook the advertising volume for newspapers in 23 leading United States cities, as follows in table B. These data give the aggregate advertising linage for each city and the aggregate for all cities back to 1914.

The following table sets forth the aggregate linage, the index numbers, 1914 equals 100; index numbers 1923-25 equals 100; index numbers 1926 equals 100.

TABLE B.—Showing advertising volume index of daily newspapers

NOTE. See table A for newspaper and periodical employment 100.4 and pay rolls 94.2 percent of 1923-25 average in December 1934.

It should be remembered that a newspaper cannot, in the absence of revenue business, shut down like a manufacturing concern or a commercial print ship. The newspaper must serve its readers. It is like a train which must make its run whether or not it has revenue passengers aboard.

It will be noted that 1934 volume of advertising was but less than 20 percent above that of 1914. It was materially below that of 1919. At its peak in 1929, it was 95.1 percent above 1914 levels. From this peak, the tremendous drop in volume is exceeded by the drop in revenue which is greater because of loss of column comes largely from the biggest-priced classifications of advertising. The remaining small volume of business embraces a greater percentage of the less lucrative classifications.

We admit that the foregoing advertising volume data are from only 23 leading cities. But we claim the data furnish a reasonably accurate barometer of newspaper advertising volume movement for

the entire country if it be kept in mind that newspapers in small cities have in general lost more business volume than have the newspapers of large cities.

The significant point is that newspaper labor costs remain approximately 100 percent above 1914 costs, while business volume is less than 20 percent above the level of that year.

I want to invite your attention to a survey made by Editor and Publisher, a trade paper in the publishing business. It appears in the number for January 5, 1935. This was a survey covering 75 newspapers in various parts of the country. The subhead states "Seventy-five papers, giving intimate figures of operation, showing pay-roll costs up over $9,000,000—A. N. P. A. shows rising employment, salaries."

I read just the high lights of this article, which are in a box.

The figures below, covering 75 important daily newspapers in scattered points throughout the country, are taken directly from the ledgers of those papers. An Editor & Publisher survey of the increased cost of operation under the new deal", as contrasted with the increased revenue to these newspapers through the operation of recovery measures, reveals the following reliable facts: First 11 months of 1934 are compared wtih some period in 1933.

Increases, during 1934, of editorial expense, including salaries increase, additional employment, and all other editorial costs--- $2, 375, 171 Increase in all other costs of operating, including salary increases and additional employment in circulation and advertising departments, new equipment, increases of mechanical pay, etc--Increased cost of newsprint for 11 months of 1934...

6, 855, 557

4, 965, 663

Total increase in operating expense, Jan. 1 to Nov. 31, 1934, as against same period in 1933_.

14, 196, 391 13, 462, 849

Total increase in gross revenue, 75 papers---

Decrease in net income....

733, 542

Despite a slight upturn in business from the low level the net income was decreased with increased labor costs. We admit that there has been an improvement since 1933, but it should be kept in mind that newspapers in small cities have, in general, lost more volume than newspapers in large cities.

I invite your attention to a publication by the Bureau of Labor Statistics, No. 1421, which states:

Reports were received in December from 25,288 establishments employing 3,605,566 workers whose weekly earnings were 71,080,570 during the pay period ending nearest December 15. The employment reports received from these cooperating establishments cover more than 50 percent of the total wage earners in all manufacturing industries of the country.

I invite attention to the fact that that figures out $19.70 per week, as against $28.80 per week, for all employees in the newspaper and periodical publishing business.

WAGE RATES AND AVERAGE EARNINGS HIGH IN NEWSPAPER PUBLISHING

INDUSTRY

Average earnings per hour and average hours worked per week compiled by an impartial agency for the various major industries, may be found in convenient form in the monthly Service Letter published by the National Industrial Conference Board. The aver

age figures for 1934, arranged in the sequence of hourly wage rates

Simple average hours of work available per week in all industries other than newspapers and periodical publishing, 35.34

Simple average earnings per hour of all wage earners in industries other than newspapers and periodical publishing, 58.32 cents.

CONTRACT WAGES AND HOURS OF WORK

We have been discussing average hourly earnings and average hours of work, as shown in the United States Bureau of Labor Statistics and by the National Industrial Conference Board for all employees of newspapers. We will now show contract rates per

hour and hours per week.

There are on file in the office of the A. N. P. A. special standing committee 534 contracts between daily newspaper publishers and local unions. Some of these contracts embrace several newspapers. To illustrate: The entire number of newspapers in a city may be parties to the same contract, and it therefore counts but one contract in the files. In addition to the contracts there are 52 verbal understandings under which union members are employed exclusively but no formal contract exists.

The formal contracts on file are as follows: