(September 1, 1916, to September 30th., 1917.) OFFICERS BOARD SAMUEL R. ARTMAN, Chairman. CHARLES E. HUGHES. EDGAR A, PERKINS. HOWE S. LANDERS, Secretary. JAMES J. RYAN, Chief Inspector of Boilers. JOHN J. WALSH, Chief Inspector of Buildings, Factories and Workshops. MICHAEL SCOLLARD, Chief Mine Inspector. The Industrial Board of Indiana was created by the 1915 session of the Legislature as the department entrusted with the administration of the Workmen's Compensation Act, the board being created as a part of the same Act. The Act also transferred the department of state previously known as the Bureau of Inspection to the Industrial Board, together with all of its duties, powers and functions. The transfer of the Bureau of Inspection placed under the control and supervision of the board, the inspection of factories, buildings and workshops, the inspection of boilers and the department of mines and mining, together with the inspection of same. In other words the entire inspection department of the State was transferred to the Industrial Board. Attached hereto is a brief report of each of the various inspection departments. On September 1, 1917, the board completed the second year of its administration of the Workmen's Compensation Act. During this period it has been the endeavor of the board at all times to maintain a well balanced unit of departments, seeking to develop each to its maximum of elficiency-thus co-ordinating the inspection departments with the administration of the Compensation Act and thereby reducing the number of preventable accidents to the minimum. As a part of this policy the board, pursuant to its order, is receiving and analyzing through the various inspection departments the reports of the inspectors of the various compensation insurance companies operating in Indiana as well as the usual work of its own inspectors. Owing to the reduction of the waiting period during which injured workmen draw no compensation from fourteen to seven days, and to the change and pressure of industrial conditions due to the war, the administration of the department has involved a gradually but ever increasing amount of work and owing also to the fact that as the compensation under the law is payable weekly, instead of in one lump sum (except in unusual cases) there is a steady accumulation of cases, which require the same care and attention as the case did in the first instance. To illustrate: In a fatal accident the dependents are entitled to 300 weeks' compensation, and this means that all fatal cases require attention each week as payments are made, and that as 300 weeks is almost six years that in such cases it will require about six years of time before the first fatal accidents are cleared from the records and closed upon the books of the board-and so it is in all serious accidents with varying periods of time. As there steadily occurs one fatal accident per day and also many serious but nonfatal accidents, it is apparent to the most casual observer that the increasing amount of detail work due to this natural accumulation is enormous. During the period covered by this report there were operating under the law and carrying compensation insurance approximately 50,000 employers; 400 employers carrying their own risk without insurance, having first obtained the permission of the board to that effect, and also 4,000 employers who had duly given notice of their rejection of the law-this latter class was almost, with two or three exceptions, composed of small employers such as grocers, barber shops, small retail stores, etc. Forty-two thousand four hundred and fifty-three accidents have been reported to the board this second year by the employers of the State. Three hundred and five of them resulted fatally and 869 resulted in dismemberments of various kinds. The number of accidents show a decided increase over the first year, when 36,176 were reported. The primary causes of this increase were due to two factors, first, the employment in industry of young workmen who are not skilled in the work they have to perform; and, second, to the increased industrial pressure or "speeding up" on account of the war. The settlement of compensation cases is accomplished in two ways; by agreement of the parties, or upon contest by trial and adjudication. By far the greater portion of cases are settled by the agreement of the parties, and this is accomplished under the supervision and direction of the board by the parties reducing their agreement to writing and submitting this written agreement to the board, which approves the same if it conforms to the terms of the law, or if it does not the parties are notified and directed to enter into an agreement which does conform to the law, the board pointing out the necessary changes. Approximately 100 cases per day are now examined and passed upon by the board. The contested case involves a trial and hearing of the parties and an award granting or denying compensation as the case may be. The practicability and nearly automatic operation of the Indiana law is most clearly shown by the fact that of all the cases reported only 2.1% resulted in contest-in other words all were settled automatically by agreement of the parties except 2.1%. But even this small per cent of contested cases requires much work, care and attention. First: because the law requiresand properly so that the hearing shall be had in the county in which the injury occurs; the reason for this needs no elaboration, as that is where the parties and witnesses reside and is by far more convenient to the parties as well as involving for them the minimum expense. The travel required by this provision is considerable as the board must cover the 92 counties of the State. In all cases the settlement of same means but the beginning of the board's care and observation, as it is then that payments must be made, and weekly thereafter, until all payments required by law have been made or until the disability suffered by the injured has ceased. The board receives various reports of cases, beginning with the initial report of the accident and ending with the final compensation receipt or return to work report in large numbers each day. To illustrate, approximately 175 new cases are reported daily and these, together with doctors' reports, supplemental reports, compensation agreements, receipts, reports of employers as to their insurance, etc., make in all 1,200 reports daily that must be examined, the information therein contained tabulated and filed. Thus the board must handle approximately 7,200 documents weekly. The compensation paid to injured workmen and to the dependents of deceased workmen shows a considerable increase over the first year when a total of compensation paid and ultimately to be paid upon the first year's accidents amounted to $893,433.28 including medical aid, whereas during the second year these benefits to the injured and the dependents of deceased employes amounted in the total, including estimated medical aid, to $1,282,297.40. When it is considered that the injured employes and their families received the benefit without delay and with scarcely any expense and in the great majority of cases at no expense to them, the truly wonderful benefits of the law are readily appreciated. We have omitted herefrom the detailed steps necessary to handle the great volume of cases as that was fully covered by the first annual report. The clerical work of all of the departments herein referred to is handled by the same staff of assistants. Appended hereto is a complete statistical report of the year's operation covering minutely and in detail the work of the board. REPORT OF THE BOILER DEPARTMENT JAMES J. RYAN, Chief Inspector of Boilers. Report covering the work done by the Boiler Inspection Department of the Industrial Board of Indiana for the Fiscal year ending September 30, 1917: During the past year, 9,146 boilers were inspected under the supervision of this Department, divided as follows: 5,184 H. T. boilers. 874 V. T. boilers. 707 F. B. boilers. 233 C. I. S. boilers. 119 Marine boilers. Seven thousand two hundred and four of the above were inspected by the different insurance inspectors, and 1,942 were inspected by the state inspectors. As the law requires that boilers be inspected at least every six months. there was approximately 18,300 inspections made during the past year. The abnormal conditions in the steel business during the past year have seriously affected boiler manufacturing, it being practically impossible to get any reasonable delivery on new boilers; then again the cost is almost prohibitive for small manufacturers, thereby causing a tendency on their part to purchase second-hand boilers. It is recognized that this State has a very good law covering this class of boilers and, if strictly adhered to, the danger from this source would be reduced to a minimum. A number of such second-hand boilers were inspected, passed, and installed under proper regulations, but owing to an insufficient number of inspectors to properly cover the State, there is a probability that in some instances uninspected boilers are being installed and operated without the knowledge of this department and the law thereby is being violated. There is no question but that all boilers should be inspected, for it is recognized that the use of steam boilers is dangerous if from no other fact than the leading users in the State carry what is known as "boiler insurance", paying out annually large sums of money as premiums, thus plainly demonstrating that they feel the danger is too great for them to assume and so engage others to share the responsibility. During the past few years there has been a movement on foot by the boiler manufacturers and leading boiler users to have adopted in the various States, a uniform law covering the construction and inspection of steam boilers. In each State where any regulation now exists there appears to have been a studied effort to provide a regulation that would be just a little different from any other in existence. This is probably due to local conditions and opinions, but it not only works a hardship on boiler manufacturers whose trade extends throughout the United States, but adds an additional cost to the finished boiler, which the user is compelled to pay. With a few slight changes in the Indiana law on this subject it could be made to meet all the requirements of the proposed uniform law as regards boiler construction. It is also proposed that all boiler inspectors be required to pass an examination similar to the requirements of the United States Government; this to apply to inspectors for Insurance Companies as well as State Inspectors. In this way a boiler manufactured in accordance with the uniform boiler code and inspected by a qualified inspector of one State, could be installed and operated in any other State without any additional changes or inspection. Such a proposed uniform law could be administerel and enforced in this State under the Industrial Board without any additional officers or expense. A law of this kind would not only add to the efficiency and economy in the manufacture of boilers, but it also would have a tendency for a greater degree of protection to life and property in having inspections made by a competent inspector. In conclusion I wish to thank the inspectors in this department, also the inspectors of the different insurance companies, and wish to assure them that their co-operation has been greatly appreciated. REPORT OF DEPARTMENT OF FACTORIES, BUILDINGS AND WORKSHOPS JOHN J. WALSH, Chief Inspector of Buildings, Factories and Workshops. Following is the annual report of the Department of Inspection of Buildings, Factories and Workshops for the fiscal year ending September 30th, 1917: In reviewing the work of the past year we are afforded considerable satisfaction when we note the work that has been accomplished with our limited force. SCOPE OF WORK. Safeguarding the lives, health and morals of the men, women and children employed in the factories, workshops and mercantile establishments of our State imposes a very serious responsibility, as it includes the safeguarding of machinery and all dangerocs places, preventing occupational diseases and industrial poisons, sanitation and ventilation; providing exhaust systems for the removal of injurious dusts, gases, fumes and vapors; investigating all industrial fatalities and accidents; the proper diffusion of light in work rooms for the protection of the eye; safeguarding the public in case of fire or panic in the schools, factories, hotels, theatres and all public buildings; the strict enforcement of the Child Labor Laws, and an honest endeavor to develop a spirit of appreciation between employer and employe. THE CHILD LABOR LAW. Every effort has been put forth to insure a strict enforcement of the Child Labor Laws and in this work we have enjoyed the closest co-operation on the part of the school authorities. Section 2, of the Compulsory Education Law passed by the Legislature of 1913, provides for the issuing of the work permits for children by the school authorities and reads asfollows: "Section 2. No child under sixteen years of age who under the provisions of this act would otherwise be required to attend school, shall be employed in any occupation during hours wherein the common schools at the residence of the child are in session, unless the child shall have attained the age of fourteen years and shall have procured a certificate from the executive officer of the common school corporation of which the child is a resident, or some person designated by him, showing the age, date and place of birth, if known, or ascertainable, of such child and showing that the child has passed the fifth grade in the common schools, or its equivalent and a written and signed statement from the child's employer showing that the person making it has employed or is about to employ, such child; and showing the place and character of the employment. For the purpose of making the certificate herein required, it shall be the duty of such common school executive or other person designated by him, to obtain the information required as in Section 1 of this act. If the date or place of birth cannot be ascertained in any of these modes, then the school officer may certify that, in his opinion, the child is fourteen years of age, or more, and is physically fit to |