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The urgent need for the creation of sound, new work standards in our industry has long been recognized in many competent quarters. This is evidenced by the report of Emergency Board 109 in the Conductors' graduated rate wage case, dated March 25, 1955 -- "The Board has concluded that there is imperative need in this industry, and specifically in the operating classifications, for a clear going revision and modernization of the internal wage structure. Indeed, such a revision and modernization is long overdue".

You will recall the statement elsewhere in the same report that -"The fact that the railroad wage rate structure for operating classifications has received no comprehensive review for more than 30 years and no systematic study for almost 20 years, alone suggests that it may well be obsolete and ill-designed for a modern railroad system".

The condition to which I refer is heightened by present below-normal operating conditions in our industry. There is sound reason to believe not only that the ability of the industry to compete but that job opportunities of railroad workers are threatened by the failure to modernize our work, rules and wage structure.

I therefore invite you, as leaders of the Operating Brotherhoods, to join with rail management in seeking the appointment of a presidential commission to study the impact of our present rules on the public welfare. Such a study is called for, in my opinion, to protect the welfare of our country, the solvency of our industry and the security of our workers.

If by acting together with distinguished citizens representing the public interest we can arrive at a solution of the problems in this area, we may well be on the way to a new era in railroading with better service to a growing America. May I hear from you?

Very truly yours,

/s/ D. P. Loomis

Daniel P. Loomis

President

ASSOCIATION OF AMERICAN RAILROADS

Transportation Building
Washington, D. C.

May 15, 1959

Messrs:

Guy L. Brown, Grand Chief Engineer, Brotherhood of Locomotive Engineers, 1112 Engineers' Building, Cleveland 14, Ohio

H. E. Gilbert, President, Brotherhood of Locomotive Firemen and Enginemen, 318 Keith Building, Cleveland 15, Ohio

J. A. Paddock, President, Order of Railway Conductors and Brakemen, ORC&B
Building, Cedar Rapids, Iowa

W. P. Kennedy, President, Brotherhood of Railroad Trainmen, 1370 Ontario
Street, Cleveland 13, Ohio

W. A. Fleete, President, Switchmen's Union of North America, 3 Linwood
Avenue, Buffalo 2, New York

Gentlemen:

Referring to our discussion at the meeting on April 1 in Washington in connection with our request that the organizations representing train, engine and yard service employes join with railroad management in requesting the President of the United States to appoint a commission to study and report on the railroad wage structure and rules governing the compensation and use of railroad operating employes:

At the meeting on April 1 some or all of the chief executives of the five organizations stated that they were opposed to the appointment of a Presidental Commission for the purposes indicated and that they were of the opinion that the problems should be handled pursuant to procedures set forth in the Railway Labor Act, but that they were without authority at that time to make any agreement with representatives of the carriers with respect to any of the procedural problems involved. It was suggested that the meeting be recessed to a later date and that in the meantime all of us would give further consideration to this subject.

On April 28 I addressed a joint letter to each of you, suggesting various dates for a further meeting for the progression of this matter. From the replies thus far received it appears that no meeting can be arranged until after June 7, 1959. This appears to us to amount to an undue delay in the handling of a subject of such importance to the public and suggests to me the possibility that perhaps we can reach a conclusion by mail.

The areas in working rules and schedule provisions which the carriers propose for exploration and study by the Commission are, as follows:

(1) What adjustments should be made in the present arrangements for the dual basis of pay and existing rate structure?

(2) What changes should be made in the rules governing interdivisional, interseniority, and other extended runs, and what conditions should attach to such extensions?

(3) What changes should be made in rules governing combinations of road and yard service?

(4) What changes should be made in rules governing the employment of firemen on other than steam locomotives in freight and yard service?

(5) What changes should be made in crew consist rules?

(6) What changes should be made in rules governing the manning of motor cars and self-propelled machines?

It is, of course, possible that there may be other work rules that should be looked at but the six items mentioned are the areas which we would propose for investigation.

I shall appreciate it if you will advise me as to your position and the position of your organization on each of the following items:

(1) Will you and your organization join with the carriers in requesting the President of the United States to appoint a Commission for the purposes stated above?

(2) If you and your organization will not join with the carriers in requesting the appointment, will you oppose a request by the carriers that such a Commission be created?

I would greatly appreciate a statement of the position of your organization at your earliest convenience.

Yours very truly,

/s/ D. P. Loomis

Daniel P. Loomis

President

ASSOCIATION OF AMERICAN RAILROADS

Transportation Building

Washington 6, D. C.

June 1, 1959

Messrs.

Guy L. Brown, Grand Chief Engineer, Brotherhood of Locomotive Engineers, 1112 Engineers' Building, Cleveland 14, Ohio

H. E. Gilbert, President, Brotherhood of Locomotive Firemen and Enginemen, 318 Keith Building, Cleveland 15, Ohio

J. A. Paddock, President, Order of Railway Conductors and Brakemen, ORC&B
Building, Cedar Rapids, Iowa

W. P. Kennedy, President, Brotherhood of Railroad Trainmen, 1370 Ontario
Street, Cleveland 13, Ohio

W. A. Fleete, President, Switchmen's Union of North America, 3 Linwood
Avenue, Buffalo 2, New York

Gentlemen:

On May 15 I wrote you asking for your prompt answer to our urgent request that the organizations representing train, engine and yard service employees join with railroad management in requesting the President of the United States to appoint a special objective commission to study and report on the rules governing the compensation and use of railroad operating employees. That letter, as you will recall, was necessitated by the difficulty in arranging another direct meeting on this subject until after June 7, and constituted an effort to head off further delay in taking effective action against a problem of overriding importance to the public and to the railroads and their employees.

I note with growing concern your continued silence in the face of the pressing need to deal immediately with this matter. Your failure to accept our proposal in the nearly four months since it was first suggested to you, as well as your failure to reply to my urgent letter of May 15, forces me to conclude that you do not intend to join railroad management in the indicated course of action which is so clearly in the public interest.

Under the circumstances, unless we hear from you to the contrary within the next few days, I will assume that this conclusion is correct. In that case the railroads have no choice but to request Presidential action on the work rules problem. I would appreciate hearing from you by June 8.

Yours very truly,

/s/ D. P. LOOMIS

BROTHERHOOD OF LOCOMOTIVE ENGINEERS
BROTHERHOOD OF LOCOMOTIVE FIREMEN AND ENGINEMEN
ORDER OF RAILWAY CONDUCTORS AND BRAKEMEN
BROTHERHOOD OF RAILROAD TRAINMEN
SWITCHMEN'S UNION OF NORTH AMERICA

Mr. D. P. Loomis, President
Association of American Railroads
Transportation Building
Washington, D. C.

Dear Sir:

Cleveland, Ohio
June 4, 1959

This will acknowledge your letters of May 15 and June 1, 1959, having to do with your proposal that a Presidential Commission be appointed to study and report "on the railroad wage structure and rules governing compensation and use of railroad operating employees". This proposal, you say, stems from the Report of Emergency Board No. 109, dated March 25, 1955, in the ORC&B dispute. However, only one of the six proposals set forth in your communication has any semblance to the recommendations contained therein.

If this proposal were made with a sincere desire to seek a better and more equitable solution of all our mutual problems then the recommendations contained in the report would of course be in line for careful consideration.

However, we cannot overlook the fact that for the

past four years you have displayed no particular interest in the recommendations of this Board except just prior to or during national negotiations for wage or rules revisions. Your present proposal is now advanced on the very eve of the conclusion of a three-year moratorium and subsequent to a barrage of charges and accusations of what you term "featherbedding" by employees.

Emergency Board No. 109 recommended that a Commission be appointed, composed of neutrals, representatives of the carriers and representatives of the organizations representing operating employees, for the purpose of developing and compiling

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