Page Four THE B.C. LUMBER WORKER October 10, 1942 Cost Of Living Increase Not Fully Revealed By Figures By BERT MARCUSE, Director, Pacific Coast Labor Bureau If you happen to be interested in a new suit, chances are it will be the “Victory Model.” It will contain less wool, no zippers, no cuffs, no double-breasted vests. You can expect to pay more for the Victory Model than you have been paying for suits of comparable quality in the past. The Victory suit will mean less goods for more money, and in this sense it is typical of one phase of the higher cost of living which is not reflected in statistics covering changes in the cost of living. Current evaluation of the increased cost of living calls for answers to the following important questions: 1. Is the increasing cost of living being fully accounted for in the index figures of the Department of Labor? 2. What effect will price freezing have upon the future course of the cost of living? > Index Fails To Tell Whole Story In answer to the first question, the cost of living indexes compiled by the Bureau of Statistics of the Canadian Government are at best a minimum measurement of change in cost of living. The majority of labor economists and officials do not be- lieve this index fully reveals the real in- crease which has taken place, At a Wash- ington, U.S. conference a few months ago, top officials of the American Fed- eration of Labor stated that a survey con- ducted by them had revealed that the cost of living had actually risen substan- tially in excess of the increase noted by the Bureau of Statistics in the United States. Congress of Industrial Organiza- tions’ leaders have taken a similar po- sition. Hidden Increases Affect Standards ‘There is no adequate provision for de- termining and evaluating the various de- vices used by manufacturers to maintain the old selling price, through cheapening the quality and reducing the amount sold at the old price. These “hidden price in- creases” hit the pocketbook of the con- sumer just as hard as an out-and-out boost in price, Examples of how this hap- pened in the last war have been demon- strated by the Department of Labor in the United States. These are not, of course, Canadian examples, but the find- ings may be applicable here and will in- dicate the danger signals we must watch if we are not to fall into these same pit- falls. : U.S. Experiences In Last Great War “Tt was brought out before the Senate Agriculture Committee that better class butchers had to take second grade beef, because . . . (they) found . . . (their) customers could not afford to buy the first class beef any longer . . . and these same customers were buying the second grade beef at a price practically the same ‘as what they were paying a year ago for the best grade.” . Another hidden price increase was the reduction in the weight of a cake of soap.” " ——— MODERN AND OLD-TIME — DANCING — WEDNESDAY & SATURDAY Hastings Auditorium—828 E. Hastings MODERATE RENTAL RATES 4 ‘ 4 ‘ ‘ s ’ s s gs 4, 4s 6 s s 4 ‘ s 4 gs 4 ‘ s 4 s é ‘ 4 When In Vancouver Stop at COLUMBIA HOTEL Licensed Premises 303 COLUMBIA AVE. MA, 3757 s s s 4 ¢ ’ 4 menuenauenecuncenceeas! peennncanesccenceeceseesan] “., the poorer grades of leather and substitutes for leather were often used by shoe manufacturers for the civilian trade.” “Faced with these shortages, clothiers sacrificed quality to maintain their usual price lines...” ~ “In order-to adjust to higher priced and more scarce raw materials and labor, manufacturers changed the quality of their product. Substitute materials were used and rugs and carpets were manufac- tured with a less compact construction.” Thorough analysis of just how far this sort of thing has extended during World War II is yet to be made; but the trend in this direction was gaining momentum as early as last fall, when Harriet Elliot, former Assistant Price Administrator in the Office of Emergency Management, stated: “A downward spiral of quality in con- sumer goods may bring consequences as serious, in some respects, as an upward spiral of prices. I have a folder of clippings gathered from recent issues of business and trade publications, They re- port such quality changes, such hidden price increases for a wide variety of products: women’s dresses, handbags, carpets and rugs, blankets, washing ma- chines, men’s suits, ‘sweaters, hats, hosi- ery, sheets, work clothes, shirts, shoes, underwear coats, corsets, lingerie, towels, dress materials, swimming suits, down quilts, bedspreads and furniture. “The most serious aspect of this prob- lem lies in the fact that the penalties of poor quality will fall heaviest on those whose incomes are small. These penalties will be paid in coins of lowered health and vitality. The youngster whose worn- out shoes cannot be replaced must stay home from school. The father whose work clothes wear out too soon must rob the food money.” Does Price Fixing Solve The Problem? . It is not yet possible to give a positive answer to this question, Nevertheless, it must be borne in mind that price ceilings by no means apply to everything. For example: manufacturers or producers of certain goods are able to get government permission to raise prices. Witness the recent sharp increase in the price of beef which was so severe a blow to the low income groups. Other important goods are not covered by the ceilings, among these are every-day neecssities such as vegetables and fruit. All of which are highly susceptible to supply and demand factors which, under present conditions, can be expected to produce substantial higher prices for such commodities. 4LL WORK GUARANTEED SERVICE JEWELERS Dealers in Diamonds Watches and Jewelry EXPERT WATCH AND JEWELRY REPAIRING H. ZLOTNIK, Manager manennneeneuns! 28 E. HASTINGS ST. _VAN., B.0.} Bawanneenennneeeeueeneaceese Does “Wage Freezing’ Selve the Problem? Unfortunately in very many cases wages have been frozen at a level which does not provide for a decent standard of liv- ing, let alone permitting of adjustments with the increase in the cost of living. Stabilization of wages would be practical only if it achieved the foregoing results. Increased Taxes Are Defective Recent increases in taxes, particularly to the lower income groups, will mean a further spread between the income of these groups and the income necessary to maintain adequate living standards. Moreover, without a maintenance of ade~ quate purchasing power these groups are unable to participate. fully in financing the war effort through the purchase of bonds, etc. Decent Wages Help War Effort Therefore, if the workers are to con- tribute as fully as possible to our war effort their morale and health must be maintained by guaranteeing to them, firstly, a minimum wage adequate to maintain themselves and their families in health and decency; and, secondly, wage increases to keep pace with the full in- crease in the cost of living. CO-OPERATION NEEDED IN Q.C.1. SPRUCE CAMPS September 25, 1942. To the Editor: A line or two to give my impression of the production of spruce in the QCI. The first thing that strikes an observer is the terrible shortage of men, especially fallers, Of the eight camps there are only three that have any size of a falling crew. Allison’s Lake Camp is now being shut down because there is no timber felled and no fallers. It is well understood by all the prac- tical loggers in B.C. that the only solu- tion to the production problem here, is co-operation between the operators and union in solving these problems that are now hampering production and keeping experienced loggers away from QCI. And the union certainly has leaned over back- ward in trying to get an amicable settle- ment of the grievances. One of the things that we have found needed very much up here is some sort of recreation and entertainment, to break the monotony of camp life. Recreation halls in all the camps could easily be built at very little cost, There is only one camp that has an occasional movie show and that is Allison’s. I believe that a travelling movie circulating around all the camps here would be a paying propo- sition. Libraries could be established in each camp in the recreation halls, In fact, it has already been passed by mo- tion in one camp, to start a union library. It is now being set up. But no matter what else is done the op- erators, or whoever it is that is block- ing the agreement, must change their attitude, and at least meet us half way. ‘The workers, I have found, are all in favor of maximum production, in favor of an all-out war effort, but they are bitter and cynical about the whole thing now, when they see the uncompromising attitude of the operators, Allowing free entry to the camp of the organizers of the IWA would be a start in bringing goodwill and mutual trust between men and management. These black signs with white lettering forbidding our elected business agent to enter look and read too much like the swastika of Hitler Ger- many. UNION MEMBER, NO. 71. Victoria Dance October 30th The Ladies’ Auxiliary to IWA Local 1-118 in Victoria this week extended a cordial invitation to all IWA members and friends to attend their Hallowe'en dance, which is being held Oct, 30 in the AOF Hall, Victoria. Admission is 25¢ and seven valuable prizes, including a pair of white Kenwood blankets and a bottle of “something Scotch” will also be drawn. Tickets for this affair can be obtained through the District Council, and all pro- ceeds will go to IWA Local 118. A SECOND FRONT NOW WILL SPEED VICTORY! Money To Loan y On Men's Suits, Overcoats, Logging 4 Boots and Sleeping Bags. San Francisco Tailors 52 WEST HASTINGS ST. (4 Doors West of Beacon Theatre) preeaseeneseeeennccccscceeney 4 Loggers, Shipyard Workers, Laborers, # meet your friends at the H REX CAFE Ltd. Where All Union People Hat HOME OF TASTY MEALS Union House J. Mirras, Mgr. # 6 EAST HASTINGS PAc. 67415 — eee HASTINGS STEAM BATHS 7164 EAST HASTINGS ST. Government Registered Masseurs in Attendance J. WEPSALA, Prop. Also Agent for. Norwegian and Swedish American Steamship Lines. Highland 0240 ALWAYS OPEN Saeeeeeeeess REET Meet Your Friends at MANITOBA HOTEL 44 W. Cordova St. Outside Rooms — levator Service Steam Heat — Reasonable Rates Centrally Located PA. 0267 N. J. THOMPSON, Mgr.