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Full text of "National defense migration. Hearings before the Select Committee Investigating National Defense Migration, House of Representatives, Seventy-seventh Congress, first[-second] session, pursuant to H. Res. 113, a resolution to inquire further into the interstate migration of citizens, emphasizing the present and potential consequences of the migraion caused by the national defense program. pt. 11-[34]"

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H. Res. 113 






PART 23 

NOVEMBER 26 AND 27, 1941 

Printed for the use of the Select Committee Investigating 
National Defense Migration 









H. Res. 113 






PART 23 

NOVEMBER 26 AND 27, 1941 

Printed for the use of the Select Committee Investigating 
National Defense Migration 






JOHN H. TOLAN, California, Chairman 
LAURENCE F. ARNOLD, riinois M^ t-i/ff-fiARL T. CURTIS. Nebraska 
JOHN J. SPARKMAN, Alabama ' FRANK C. OSMERS, Jr.. New Jersey 

Robert K. Lamb, Staff Director 




List of witnesses v 

List of authors vn 

Wednesday, November 26, 1941, morning session 8695 

Testimony of panel representing city of St. Louis 8695 

Statement by Hon. Wm. D. Becker 8696,8769 

Statement by John J. Church 8702 

Statement by Fred M. Karches 8702 

Statement by W. M. Brandt 8707 

Statement by H. O. Whiteside 8707 

Statement bv C. M. Gwinner 8723 

Statement by E. G. Steger 8723 

Statement by F. J. Jeffrey 8741 

Statement by Luther M. Slinkard 8744 

Statement by Arnold B. Walker 8762 

Testimony of Hon. Wm. D. Becker and panel 8769 

Testimony of panel representing the Governor of Missouri 8785 

Statement by William Anderson 8785 

Statement by James Doarn 8835 

Statement by J. W. Burch 8873 

Statement by Lloyd W. King 8880 

Statement by Proctar Carter 8882 

Statement by Capt. W. J. Ramsey 8888 

Statement by Dr. James Stewart 8890 

Testimony of Governor's panel, resumed 8892 

Testimony of Chester C. Davis 8901, 8904 

Statement by Chester C. Davis 8901 

Wedncsdav, November 26, 1941, afternoon session 8911 

Testimonv of Lou E. Holland 8911, 8929 

Statement bv Lou E. Holland 8911 

Testimony of Peter R. Nehemkis, Jr 8937, 8976 

Statement bv Peter R. Nehemkis. Jr 8937 

Testimony of Fred Maytag II and W. Neal Gallagher 8990, 8995 

Statement bv Fred Mavtag II , 8990 

Statement bv W. Neal Gallagher 8993 

Testimony of John Connolly, Jr 9002, 9005 

Statement by John Connolly, Jr 9002 

Thursdav. November 27, 1941, morning session 9011 

Testimony of Belleville, 111., panel 9011, 9021 

Statement by Belleville (111.) Chamber of Commerce 9012 

Statement by C. A. Heiligenstein 9017 

Statement by Rudolph Forayt 9018 

Testimonv of William Gray 9029, 9030 

Statement bv William Grav 9029 

Testimonv of Walter E. Parker 9034, 9110 

Statement by Walter E. Parker .-. 9034 

Testimony of Decatur, 111., panel 9115 

Testimony of Hon. Charles Lee 9116 

Statement by Hon. Charles Lee 9116 

Testimony of William E. Mueller 9117, 9122 

Statement by Williain E. Mueller 9117 

Testimonv of Earl Cooper 9129, 9131 

Statement by Earl Cooper 9129 

Testimony of K. T. Livesay 9132, 9133 

Statement by K. T. Livesay 9132 

Testimony of Richard B. Calhoun 9134 

Statement by Richard B. Calhoun 9135 

Testimony of E. Voris Conner 9138, 9139 

Statement by E. Voris Conner 9138 




Thursdav, Novenibor 27, 1941, afternoon .session. 9143 

Ti'st iinony of Tluui Snow 9143, 9162 

Statomenl bv Thad Snow 9143 

Testimonv of Andrew Puckett 9172, 9173 

Statement bv Andrew Puckett 9172 

Testimonv of P. M. Barton 9176, 9177 

Statement by P. M. Barton --^ 9176 

Testimonv of P. G. Beck ^^^^' l^^l 

Statement bv P. G. Beck 9178 

Fridav, December 12, 1941 (postponed session) 9267 

testimonv of Harrv W. Knight 9267,9271,9276 

Statement. l)v Harry W. Knight 9267 

Exhibits introduced at St. Louis hearing 9279 

1 The Population of Missouri: Its Conditions and Trends, by Prof. 

C. E. Livelv -r^V--- ^^^^ 

2. Defense Housing in the St. Louis Area, by Division of Defense 

Housing Coordination - 9287 

3 Effect of the Defense Program on St. Louis Workers, by WilUam 

Sentner .- v--^--t " xf V ^^^^ 

4 Farm Labor and Tenancy in Southeast Missouri, by E. J. Hol- 

comb, G. M. Murray, J. C. Folsom, and H. A. Turner 9302 

5. Farm Labor Situation in St. Charles County, Mo., by R. A. 

Langenbacher v: v," ; t Ho^n 

6 Labor Situation in Sikeston, Mo., by E. P. Coleman Jr 9349 

7' History of "The Village of All Saints," St. Cliarles County, Mo., 

by Rev. William Pezold ---- 9349 

8 Experience of a Subcontracting Pool, letter by R. Newton Mc- 



9 Training Program in St. Louis Area, by the St. Louis Chamber of 

Commerce, St. Louis, Mo t";;----- tHo 

10 Manufacturing Armv Ordnance in Oklahoma Indu.stries 9353 

11' The Work Projects 'Administration and Migration in Missouri, 

by B. M. Casteel -. 9357 

12 Effect of Defense Migration on Employment of A. P . of L. Union 

Members in Evansville, Ind., by Evansville Central Labor 
Union Committee t ' T --f " j " " "•" ' 'C" 

13 Effect of the Defense Program on Evansville, Ind., Industries, by 

N. L. Kneise - -- 9368 

14 Lay-offs, Migration, and Dislocations in the Evansville, Ind., 

Area by Frank E. Richter 9371 

15. Formation of Huntington County Industrial Pool, by C. H. Drew. 9381 

16 The Industrial Situation in Muncie, Ind., by Lester C. Bush- - - _. 9383 

17 Dislocations of Workers in Iowa Due to Priorities and Material 

Shortages, bv Iowa Emplovment Security Commission -._ 9383 

18. Emplovment, "Lay-offs, and Labor Supply in Iowa, by Iowa 

Employment Security Commission - - - - - - - - - 93S.-> 

1 9 Effect of the Defense Program on Newton, Iowa, Schools, by 

B C Berg --- ^"^^ 

20 Effect of Priorities on Employment in Newton, Iowa, Industries, 

by Yates Payseur ;;-rv U~--V:"-" ' 

21 Effect of Defense Program on the Matthews Manufacturing 

Co., Newton, Iowa, by J. S. Matthews ^- " - >%" „- " " " ^^^ 

22. Effect of Defense Program on Midwest Stamping Co., Kellogg, 

Iowa, bv the secretary ,---,- -7- -Tr," ~ "•"" V"V "" ' 

23. Industrial' Trends and the Labor Market in lUinois, by Leon 

Brower - - -^ --->;-- v ' V ; " " V 

24. Effect of Priorities on the Wagner Malleable Iron Co., by John A. 

Wagner- -_ -- - 

25. Peoria, llh,' Group Resources Pool, by L. A. Phelps 9399 

26. The Lancashire Way, by A. J. Liebling- . - y^ J^' 

27. Interstate Claims and Benefits, by Bureau of Employment ^^^^ 

Index-. -.!!!!!^'!:::::::::::::::::::::::::-----^^i'-i"«p'^^ 


St. Louis Hearings, November 26, 27, 1941 


Anderson, William W., director, State Planning Board, State Office Build- 
ing, Jefferson Citv, Mo 8785 

Barton, P. M., planter, Catron, Mo 9176,9177 

Beck, P. G., regional director, Farm Security Administration, Indianapolis, 

Ind 9178, 9263 

Becker, William Dee, mayor, St. Loui^, Mo 8695 

Blette, George F., molder, 119 Lucinda Avenue, Belleville, 111 9011 

Burch, J. W., director, extension service, college of agriculture. University 

of Missouri, W^ater Hall, Columbia, Mo 8785 

Calhoun, Richard B., employer relations representative, Illinois State 

Employment Service, Decatur, 111 9115, 9134 

Carter, Proctar, Missouri State Social Security Commission, State Office 

Building, Jefferson City, Mo 8785 

Conner, E. Voris. supervisor, Decatur township relief office, Decatur, 

111 9138,9139 

Connolly, John, Jr., counsel for United Electrical, Radio, and Machine 

Workers of America (of Newton, Iowa), Des Moines, Iowa 9002, 9005 

Cooper, Earl, chief engineer. Chambers, Bering, Quinlan Companv, 

Decatur, 111 9115, 9129, 9131 

Davis, Chester C, president. Federal Reserve Bank of St. Louis, St. Louis, 

Mo 8901,8904 

Doarn, James, Missouri State Employment Service, 1101 East Capitol 

Avenue, Jefferson City, Mo 8785 

Ehret, Hugo, president, Oakland Foundry Companj-, Belleville, 111 9011 

Forayt, Rudolph, secretary. International Molders and Foundrj' Workers 

of America, Local 182, Belleville, 111 9011 

Foster, Don S., manager, Belleville Chamber of Commerce, 106 South 

Thirtieth Street, Belleville, 111 9011 

Gallagher, W. Neal, president and general manager, Automatic Washer 

Co., Newton, Iowa 8990, 8995 

Grav, William, trailer camp operator, 312 Cotton Belt Building, St. Louis, 

Mo 9029, 9030 

Gwinner, G. M., director of research. Social Planning Council of St. Louis 

and St. Louis County, 613 Locust St., St. Louis, Mo 8695 

Heiligenstein, C. A., president, First National Bank, Belleville, 111 9011 

Holland, Lou E., president, Mid-Central Associated Defense Industries, 

Inc., Kansas City, Mo 8911 

Jeffrey, F. J., assistant superintendent, St. Louis public schools, 911 Locust 

Street, St. Louis, Mo 8695 

Karr, Edward, president, Karr Range Company, Belleville, 111 9011 

King, Llovd W., State superintendent, department of public schools, 

Capitol Building, Jefferson City, Mo 8785 

Knight, Harry W., city manager. Two Rivers, Wis 9267, 9271, 9276 

Lee, Hon. Charles, mayor, Decatur, 111 9115,9116 

Livesav, K. T., representing Gebhardt-Gushard Company, Decatur, 111 — 9115, 

9132, 9133 

Maytag, Fred, II, president, Maytag Company, Newton, Iowa 8990, 8995 

McBride, Colonel Harry D., director, civilian defense, St. Louis, Mo 8695 

Mueller, William E., president, Mueller Companv, Decatur, 111 9115, 


Nehemkis, Peter R., Jr., special assistant, Division of Contract Distribu- 
tion, Office of Production Management, Washington, D. C 8937 

Parker, Walter E., supervisor of employment offices, Illinois State Depart- 
ment of Labor, Decatur, 111 ". 9034, 9110 




Tuckctt, Andrew, sharecropper farmer, South Lilbourn, Mo 9172, 9173 

Uamsev, Captain W. J., State highway patrol, State Office Building, 

JolTorson City, Mo 8785 

Sliiikard, Luther M., secretary, St. Louis Industrial Union Council, Con- 
gress of Industrial Organizations, 706 Chestnut St., St. Louis, Mo 8695 

Snow, Thad, planter, Charleston, Mo 9143,9162 

Steger, E. G., director. Social Planning Council of St. Louis and St. Louis 

County, 013 Locust St., St. Louis, Mo . 8695 

Stewart, Dr. .James, commissioner, Missouri State Board of Health, State 

Office Building, Jefferson City, Mo 8785 

Whiteside, H. O., research director, St. Louis Chamber of Commerce, 

511 Locust Street, St. Louis, Mo ._ _ 8695 


Of Prepared Statements and Exhibits 


Anderson, William, director, Missouri State Planning Board, Jefferson 

City. Mo 8785 

Banta, Parke M., administrator, Missouri State Social Security, Jefferson 

Citv, Mo 8882 

Barton. P. M., planter, Catron, Mo 9176 

Beck, P. G. regional director. Farm Security Administration, Indianapolis, 

Ind 9178 

Becker, Hon. William Dee, mayor, St. Louis, Mo 8696 

Belleville Chamber of Commerce, Belleville, 111 . 9012 

Berg, B. C, superintendent, Newton public schools, Newton, Iowa 9390 

Brandt. W. M.. secretary. Central Trades and Labor Union of St. Louis 

and vicinity, St. Louis^ Mo 8707 

Brower, Leon, supervisor, research and statistics, Illinois Division of Place- 
ment and Unemployment Compensation 9394 

Burch, .J. W., director. Extension Service, College of Agriculture, University 

of Miissouri, Jefferson City, Mo 8873 

Bureau of Emplovment Security, Federal Security Agency, Washington, 

D. C ." 9404 

Bush, Lester C, manager, Muncie Chamber of Commerce. Muncie, Ind 9383 

Calhoun, R. B., emjjloyment relations representative, Illinois State Em- 
ployment Service, Decatur, 111 9135 

Carter, Proctar, Missouri State Social Security Commission, Jefferson City, 

Mo 8882 

Casteel, B. M., state administrator, Work Projects Administration, Jef- 
ferson City, Mo 9357 

Church, John J., secretary. Building and Construction Trades Council, St. 

Louis, Mo ■ 8702 

Coleman. E. P., Jr., Sikeston, Mo 9349 

Conner, E. Voris, supervisor, Decatur township relief office, Decatur, I1L_ 9138 
Connolly, John, Jr., counsel for United Electrical, Radio, and Machine 

Workers of .-America (of Newton, Iowa) 9002 

Davis, Chester C, president. Federal Reserve Bank of St. Louis, St. Louis, 

Mo 8901 

Davis, P. L., secretary and treasurer, Chambers, Bering, Quinlan Co., 

Decatur, 111 9129 

Denham, Will S., director, State Employment Service, Jefferson City, 

Mo 8835, 8872 

Division of Defense Housing Coordination, Office for Emergency Manage- 
ment, Washington, D. C. _. 9287 

Doarn, James, Unemplovment Compensation Commission of Missouri, 

Jefferson City, Mo I 8835 

Drew, C. H., executive vice president, Huntington County defense group, 

Huntington, Ind 9181 

Erb, Walter, district supervisor in charge of farm placement, Missouri 

State Employment Service, Jefferson City, Mo 8864, 8866 

Evansville Central Labor Union Committee, Evansville, Ind 9365 

Folsom, J. C, Bureau of Agriculture Economics, Washington, D. C 9302 

Gallagher, W. Neal, president and general manager. Automatic Washer 

Co., Newton, Iowa 8993 

Gray, William, trailer camp operator, 312 Cotton Belt Bldg., St. Louis, Mo_ 9029 
Gwinner, C. M., director of research, Social Planning Council of St. Louis 

and St. Louis County, St. Louis, Mo 8723 

Hoffman, Malvin G., consultant, National Resources Planning Board 8806 

Hoean, Maj. Randall J., executive officer. Ordnance Department, St. Louis, 

Mo 9353 




Holcomb, E. J., Bureau of Agricultural lOcoiioniics, Washington, D. C 9302 

Ilollaiul, Lou E., president, Mid-Central Associated Defense Industries, 

Inc., Kansas City, Mo 8911 

Howe, Harold, consultant, National Rosoiirces Planning Board 8786 

Iowa Kniployniont Security Coniniission, Dos Moines, Iowa 9383,9385 

Jeffrey, F. J., assistant superintendent, St. Louis Public Schools, St. 

Loiiis, Mo 8741 

Karches, Fred M., director industrial relations division, Associated In- 
dustries of Missouri, St. Louis, Mo 8702 

King, Llovd W., state superintendent. Department of Public Schools, 

Jefferson City, Mo 8880 

Klein, president, Fe.stus Retail Merchants Association, Festus, Mo 8760 

Kniese, N. L., secretary-manager, Evansville Manufacturer's and Em- 
ployer's Association, Evansville, Ind 9368 

Knight, Harry W., city manager, Two Rivers, Wis 9267 

Langenbacher, R. A., county extension agent, St. Charles County, Mo 9348 

Lee, Hon. Charles, mayor, Decatur, 111 9116 

Liebling, A. J., c/o New Yorker Magazine, New York, N. Y 9399 

Lively, Prof. C. F.., College of Agriculture, department of rural sociology, 

University of Missouri, Columbia, Mo 9279 

Livesay, K. T., representing Gebhardt-Gushard Co., Decatur, 111 9132 

McDowell, R. Newton, president, R. Newton McDowell, Inc., Kansas 

City, Mo 9350 

Matthews, J. S., president, Matthews Manufacturing Company, Newton, 

Iowa 9393 

Maytag, Fred, II, president, Maytag Company, Newton, Iowa 8990 

Mueller, William, president, Mueller Co., Decatur, 111 9117 

Murray, G. M., Bureau of Agricultural Economics, Washington, D. C 9302 

Nehemkis, Peter R., Jr., special assistant, Division of Contract Distribu- 
tion, Office of Production Management, Washington, D. C 8937 

Noves, John, consultant, National Resources Planning Board, Omaha, 

Nebr 8825 

Parker, Walter E., supervisor of employment offices, Illinois State De- ' 

partment of Labor, Decatur, 111 9034 

Payseur, Yates, manager, Iowa State Employment Service, Newton, Iowa. 9391 

Pezold, Rev. William, St. Joseph's Church, Cottleville, Mo 9349 

Phelps, L. A., superintendent, Hart-Carter Company, Peoria, 111 9399 

Puckett, Andrew, sharecropper farmer. South Lilbourn Mo 9172 

Ramsey, Capt. W. J., State Highway Patrol, Jefferson City, Mo 8888 

Reiser, R. J., president. District 4, Federation of Glass, Ceramic, and Silica 

Sand Workers of America, Crystal City, Mo 8757 

Richter, Frank E., acting manager, Evansville office, Indiana State 9371 

Employment Service, Evansville, Ind 

Rossert, H. D., consultant, National Resources Planning Board 8798 

St. Louis Chamber of Commerce, St. Louis, Mo 9352 

Secretary, Midwest Stam])ing Company, Kellogg, Iowa 9394 

Sentner, William, international vice president and president. District No. 8, 
United Electrical, Radio and Machine Workers of America, St. Louis, 

Mo 9288 

Slinkard, Luther M., secretary, St. Louis Industrial Union Council, Con- 
gress of Industrial Organizations, St. Louis, Mo 8744 

Snow, Thad, planter, Charleston, Mo 9143 

Steger, E. G., director, Social Planning Council of St. Louis and St. Louis 

County, St. Louis, Mo. 8723 

Stewart, Dr. James, commissioner, Missouri State Board of Health, 

Jefferson City, Mo 8890 

Turner, H. A., Bureau of Agricultural Economics, Washington, D. C 9302 

Wagner, John A., president, Wagner Malleable Iron Company, Decatur, 

111 9397 

Walker, Arnold B., industrial secretarv. Urban League of St. Louis, St. 

Louis, Mo I 8752 

Whiteside, H. O., research director, St. Louis Chamber of Commerce, St. 

Louis, Mo 8707 



morning session 

House of Representatives, 
Select Committee Investigating 

National Defense Migration, 

Washington, D. C. 
The committee met at 9:30 a. m. iii the city hall, St. Louis, Mo., 
Hon. Johii H. Tolan (chairman) presiding. 

Present were: Representatives Jolm H. Tolan (chairman), of Cali- 
foiTiia; Laurence F. Arnold, of Illinois; Carl T. Curtis, of Nebraska; 
Frank C. Osmers, Jr., of New Jersey; and John J. Sparkman, of 

Also present: Dr. Robert K. Lamb, staff director; John W. Abbott, 
chief field investigator; Jack B. Burke, field mvestigator; and Ruth 
Abrams, field secretary. 

The Chairman. The committee will please come to order. 


The Chairman. Wlien I call the followuig names, I would like to 
hav3 the gentlemen come up and take seats over there. Mayor 
William Dee B3cker, Col. Harrv D. McBride, Mr. Luther M. Slmkard, 
Mr. F. M. Karches, Mr. H. O. \\ldteside, Mr. F. J. Jeifrey, Mr. G. M. 
Gwinner, Mr. Arnold B. Walker. 

Gentlemen, I woidd like each of you to state your name and who you 
represent here, so that the reporter will be able to designate you. 

Mayor Becker. William Dee Becker, mayor of St. Louis. 

Mr. Slinkard. Luther M. Slinkard, secretary, St. Louis Industrial 
Union Council, Congress of Industrial Organizations, 706 Chestnut 
Street, St. Louis, Mo. 

Mr. Jeffrey. F. J. Jeffrey, assistant superintendent of the St. Louis 
public schools, 911 Locust Street, St. Louis, Mo. 

Mr. Whiteside. Henry O. Wliiteside, research director, St. Louis 
Chamber of Commerce, 511 Locust Street, St. Louis, Mo. 

Colon.4 McBride. Harry D. McBrids, director of civilian defense, 
city of St. Louis. 

Mr. Gwinner. G. M. Gwinner, director of research, Social Plannmg 
Council of St. Louis and St. Louis County, 613 Locust St., St. Louis, 

Mr. Steger. E. G. Steger, director, Social Planning Council of 
St. Louis and St. Louis County, 613 Locust Street, St. Louis, Mo. 

Mr. Karches. Fred M. Karches, director of mdustrial relations 
division. Associated Industries of Missouri, Railway Exchange Build- 
ing, St. Louis, Mo. 



Mr. Walker. Arnold B. Walker, industrial secretary, Urban 
League of St. Louis, St. Louis, Mo. 

The Chairman. Wc deeply appreciate your coming here this morn- 
ing. This committee was created in the last session of Congress. We 
went from the East to the North, South, and Middle West, investi- 
gating problems that had to do with mass migration of destitute citi- 
zens among the States. 

This committee was continued this session of Congress particularly 
to investigate defense migration. We have made certain recommen- 
dations to Congress, in view of the fact that the defense program, 
instead of reducing migration, had increased it. Today we have 
between 2,000,000 and 3,000,000 people who, attracted by defense 
work, have gone from their home States to other States. 

We want to say to you that this committee never attempts to cross- 
examine witnesses or "show up" communities. Wc want to find out 
what you know. We go about the country and ascertain what your 
problems are in various sections, and tic them in with the problems 
of other sections of the United States; and upon these facts we base 
our recommendations to Congress. There is one thought, then, which 
I wish to convey: No question asked you by any member of the com- 
mittee is intended as a catch question; rather, our mquiries are 
addressed in the spirit of cooperation and mutual desire to solve these 

At this time I will ask Dr. Lamb to read a short letter written to 
Mr. John J. Church, who was unable to be here. 

Dr. Lamb. I have a letter from Mr. John W. Abbott, of the com- 
mittee's staff, inviting Mr. Chm-ch to appear. The letter says 
(reading) : 

St. Louis, Mo., November 19, 1941. 
Mr. John J. Church, 

Secretary, Building Trades Council, Si. Louis, Mo. 

Dear Mr. Church: This letter will serve as formal notification of the time 
and place of the public hearings to be conducted by this committee November 26 
and 27 in St. Louis. 

As you already know, the committee has been worljing with Col. Harrj' D. 
McBride, representing Mayor William Dee Becker in this matter, to arrange a 
panel of representatives to appear with Mayor Becker at the conunittee's hearings. 
Pursuant to these arrangements, I am hereby inviting you to appear with Mayor 
Becker at the committee's first session, the morning of November 2G, at room 208 
city hall. Hearings will be open at 10 o'clock. 
Sincerely yours, 

John W. Abbott, 
Chief Field Investigator. 

Dr. Lamb. Air. Church is unable to appear. 

The Chairman. We found, in traveling over the United States and 
interrogating witnesses, that the most expeditious method of con- 
ducting these hearings is to analyze the prepared statements which 
are fil?d with us in advance, and to ask questions based on examina- 
tion of these statements. All your statements will hs filed and in- 
serted in the record in full. 

(The statements of the several members of the panel, referred to 
above, are as follow^s:) 



In understand that at the present time the committee's inquiry is directed to 
the present and potential consequences of the migration caused by the national 
defense program in the St. Louis area. 



The St. Louis area is treated by the St. Louis Chamber of Commerce as includ- 
ing not only the city of St. Louis and county of St. Louis, but also the industrial 
area located in lUinois opposite St. Louis. However, what I have to say is largely 
confined in its scope to the city and county of St. Louis. The city of St. Louis 
and the county of St. Louis are very closely related. The city is still confined 
within its boundaries established in 1876 and the county surrounds it on all sides 
except the east, where it is bounded by the river. All its growth in recent years 
has been into the county. In fact, for all practical purposes, except governmental, 
the city and county are one. They are, however, different governmental agencies; 
the city of St. Louis is not in any county; its government includes both municipal 
and county functions. The county, separated from the city, has ordinary county 
government except that there are a number of incorporated municipalities 
located therein. 

The sewers of the county drain into the Mississippi River through the sewers of 
the city. Its residents have businesses or employments in the city, and use its 
streets, parks and playgrounds, theaters, and other recreational facilities. 

For the purpose of this inquiry the county and city may be treated as one; at 
least it may be said that the problems of the city are affected and augmented by 
the social, economic, and civic problems of the county. 


Industrial St. Louis is one of the largest commercial and industrial centers of 
the LTnited States. It is the ninth largest industrial area ranked by value of prod- 
ucts manufactured. It is the largest wholesale distributing center in the Missis- 
sippi Valley, and it is also one of the important financial centers in the Middle 

Diversity is the predominant characteristic of industrial St. Louis' — of the 446 
industrial classifications recognized by the United States Bureau of Census, 383, 
or 64 percent, are to be found in this industrial area. 

It is characteristic of the industries of this community that they are relatively 
modest in size, there being up to this time no corporate giants employing tens of 
thousands of workers here. The typical factory in St. Louis employs fewer than 
100 workers. It is primarily home owned and the operations are directly under 
control of the owners. It is just the sort of community that would be hit hard 
by priorities programs. 


St. Louis is an important defense area. There is no comprehensive record in 
existence listing all of the primary defense contracts awarded in this area and no 
eflFort whatever has been made to tabulate defense subcontracts held by local 
manufacturers and suppliers, but records maintained by the research bureau of 
the St. Louis Chamber of Commerce do reveal that between July 1 and November 
1, 1941, contracts were awarded to companies in the St. Louis industrial area 
totaling approximately $600,000,000. 


The 1940 Census reported a population of 816,048 for St. Louis City and 
274,230 for St. Louis County, or a total of 1,090,278. This represents a loss of 
5,912 in the past 10 years for St. Louis City and a growth of 62,637 for St. Louis 
County, or an increase for the city and county of 56,725. The combined popu- 
lation of St. Louis City and St. Louis County has, however, increased by ap- 
proximately 40,000 persons in the past 18 months or since the census of 1940. 
However, over the past 10 years, the normal increase in the population of city 
and county has been approximately 5,700 per year, and on this basis about 
8,500 of the estimated 40,000 increase during the last 18 months represents 
normal growth and the other 31,500 represents abnormal increase from migration 
due to defense employment. These figures will be supported by data contained 
in a statement to be presented by E. G. Steger, director. Social Planning Council 
of St. Louis and St. Louis County.' 

Suffice it to say at this time that the estimate of 31,500 persons migrating into 
the city and county the past 18 months is based upon consideration of a number 
of factors, including the number of dwelling units taken up and the change in the 
employment situation. In Steger's statement it is also estimated that by the 
end of 1942, 40,000 additional persons will be added to the population. 

« See p. 8739. 



Tliis in-niigration is wholly unnecessary from an employment standpoint. 
The labor forces of the St. Louis area as at present constituted can meet all 
demands now in sight and no further migration will be ncces.sary to .supply 
employment needs. There are now approximately 43,000 i)crsons who are 
unemployed, and in the work it is estimated that a total of about 37,000 
additional will be needed. It is apparent then that the in-migration will swell 
the ranks of the unemi)l()yed and increase the burden of the relief agencies in the 
city and county. It would -seem that this situation would deter in-migration, 
but that is not to be expected. News spreads throughout the rural districts and 
in other urban centers that migrants to the city are getting jobs; and the general 
publicity is that of "boom-town" employment, and the general public believes 
that there is no more unemployment. It is extremely difllcult to convince the 
average person of the facts about the employment situation; it will be even more 
difficult to convince the marginal rural family that there is little or no oppor- 
tunity for it in the city. It is expected that the real wave of additional migration 
into the St. Louis area will begin about midwinter. It is this grouj) of unneces- 
sary migrants that will need the help of the social agencies (luring the winter. 
We anticipate that a large proportion of them will fail to secure employment and 
will become stranded in St. Louis. In my opinion, a partial solution of all the 
problems that confront or threaten us lies in encouraging employers to the 
full force of the St. Louis area's indu.strial manpower before they use labor from 
other communities. 

The solution would be further aided if the press would give wide publicity to 
the unemployment situation prevailing here and the futility of submarginal 
families migrating to this community in search for employment. It will also be 
helpful if we all work toward the avoidance of discriminating against St. Louis 
citizens because of race. There are several thousand colored workers who are 
qualified for employment in the defense industries, but are refused employment 
solely on account of their race. National unity is not helped any by that sort of 
practice and our social problems are greatly increased. The employment of 
local workers does not greatly increase the strain on our housing, municipal, and 
charitable facilities, while the importation of outsiders to take places that might 
be filled by local w-orkers increases such problems to a very great estent. 

It would also help to stem the influx of outsiders seeking employment if em- 
ployers and job seekers alike resorted more to State employment agencies where 
the seeker after employment could get real information as to the need of his 


The Division of Health of the City of St. Louis is headed by the health com- 
missioner, W'ho is empowered by the charter to preserve or promote the health 
of the city — to declare and abate nuisances, and to take such steps, use such meas- 
ures, and incur such expenses as may be neces.sary to avoid, suppress, or mitigate 
malignant, infectious, or contagious diseases. It follows such activities as milk 
and food inspection and control; control of communicable diseases, venereal 
disease, and tuberculosis; parochial school health service; public nursing service; 
dental hygiene service; maternal hygiene and child welfare activities; supervision 
of municipal health centers; abating nuisances and improving sanitary conditions; 
conducting a vital statistics service. Our health commissioner reports that his 
division has not so far felt any substantial impact of in-migration for defense work. 
In a letter dated November 21, 1941, he says: 

"Our health center activities and school hygiene have shown a slight increase 
in the number of children requiring vaccination against smallpox and immuniza- 
tion against diphtheria. As far as an influx of outsiders for defense work is con- 
cerned we have not felt this impact up to this time. While there has been some 
increase undoubtedly in this popidation it does not reflect itself in the health 
division work. 

"Water and sewage problems are well taken care of in St. Louis and I do not 
feel that any increase in population will handicap this sanitary problem. 

"We do notice, however, an increased problem in our eating establishments as 
a result of places opening up everywhere that fail to meet sanitation requirements. 
We are taking care of these as they arise. It has been necessary to condemn 
several food handling places near the small-arms plant for lack of water, sewerage, 
and other sanitary requirements. 

"Overcrowding has not made itself manifest up to this time. We do notice 
less vacancies throughout the city which is in part due to local residents no longer 
doubling up; on the other hand, in the areas w'c find more people. 


"Venereal disease control service has not noticed any particular increase except 
among the colored. Patients attending clinics show a decrease, whereas private 
physicians' cases show an increase. This would be in line with increased earnings 
and we feel there has probably been a number of social problems arising in taverns 
as a result of spending. 

"The laboratory service has had increased work as a result of the draft boards 
requiring blood tests for syphilis. From the most reliable information I can get, 
the defense industries here will take up a number of employees from local areas 
and those coming from the outside of course present problem's of vaccination and 
immunization, but to date we have not felt this to any extent. Eating and 
drinkmg establishments will require our greatest attention. 

"Of course, an epidemic of influenza would seriously tax both private and public 
hospital facilities. A high rate of pneumonia cases would also be a serious prob- 
lem. There does not seem to be any prospect in the near future of a serious over- 
crowding condition because of the large number of vacancies that have been in 
existence over a period of years. The most serious housing problem still remains 
among the Qplored who have not been employed to any great extent in the defense 
industries as far as my information is accurate. 

"We have increased activities in our industrial hvgiene section as a result of 
defense, but fortunately ground work in this particular section has been laid for 
the past 6 years. Funds for this particular work come through the State health 
department. So long as we are provided with technical personnel this problem 
should be adequately handled." 

I cannot, as Mayor, speak for the county, neither can the St. Louis health com- 
missioner, as to whether and to what extent health conditions there have been 
and will be affected by in-migration. The county health commissioner should 
be called in on this. However, the social planning council's statement; savs as 
to this: 

"There are also real dangers in the lack of proper sanitation and sewage facili- 
ties, particularly in certain sections of St. Louis County. Facilities there have 
long approached inadequacy, and are not built to accommodate the population 
increases that are coming in certain areas. Many trailer camps and emergency 
housing locations are springing up in unincorporated and unserved sections." 


The condition in the city hospital and in the Homer G. Phillips, two general 
hospitals, may be depicted in the following manner: The citv hospital with a 
capacity of 1,037, has at present 800 patients and 237 vacant beds. That is, 77 
percent of the beds are occupied. The number admitted during the 12 months 
endmg March 31, 1940, was 18,010, and 1941 17,915. For the 6 months ending 
September 30, 1941, 8,523 patients were admitted showing no increase in the rate 
of admissions. 

The total number of hospital days for the 6 months ending September 30 was 
135,807, approximately half the total for the previous vear. The number of 
clime visits is considerably less than the previous vear. The Homer G. Phillips 
Hospital, with 685 beds has now 555 patients with "l 30 vacant beds. Eighty-one 
percent of the total l)eds are occupied. Admissions for 12 months ending March 
31, 1940, totals 11,327 and for 1941, 12,306. For the 6 months ending September 
30, the admissions continued at alwut the same rate totaling 6,435. Total hospi- 
tal days for the same 6 months' period were 109,745, about the same rate as for 
tlie previous year. Clinic visits did show an increase at the Homer G. Phillips 
Hospital during the 6 months ending Septenil:)er 30. There were 65 516 visits 
compared with 119,611 for the year 1941 and 63,303 for 1940. 

Except for emergencies, nonresidents are not treated in the city hospitals 
After the workers and families that have migrated to St. Louis recently have 
lived here a year, they will then become residents and entitled to hospital and 
clinical care in the city institutions. Therefore, within the next vear the burden 
on the city may be expected to increase and particularly so if the defense work 
should discontinue. 

That there is now an increasing demand for such service we have only to con- 
sider the following: During the first quarter of the fiscal vear, 97 nonresidents 
were admitted as emergencies to the city hospital but during the second quarter 
152 were admitted. 

During the first quarter 375 nonresidents were rejected in the out-patient 
clinic while in the second quarter 440 were rejected. 


There are other hospitals such as the Koch Hospital for tuberculosis, with a 
population of al)out 700; the city saiiitariuin, for tlic insane, poi)ulation 3,600, 
etc., but tlicy are specialized institutions. I think the experience of the two 
major hosj)itals, the city hospital and llomor G. Phillips Hospital (for colored), 
is suflicient for the purjwscs of this inf|niry. 

It will be noted that the experience of the two major hospitals has been different, 
the city hospital showing something of a decrease in demand, while the Homer 
G. Phillips (for colored) lias increased, particularly in its clinic. I think that the 
decrease in the city hospital is attributable largely to the imj)roved financial con- 
dition of the group that would ordinarily avail of its services, coupled with a 
rather rigid exclusion of nonresidents. The group served by the Homer G. 
Phillips Hospital (colored), however, has not participated to any great extent 
in the employment afforded by the defense plants, and, in fact, have suffered 
more unemployment because of the priorities program. Moreover, the Homer 
G. Phillips Hospital has probably not been so successful in excluding nonresidents. 


The St. Louis Division of Parks and Playgrounds has recently completed a 
careful analysis of the personnel required in connection with the operation of 
the parks, playgrounds, community centers, swimming pools, athletic fields, 
bath houses, and other facilities operated by this division. 

As a result of the survey it is reported that if the division is to meet the in- 
creasing deir.ands upon it, it will be necessary to increase the number of employees 
in the park section approxiniately 16 percent and in the recreation section at 
least 50 percent. There are more visitors to the parks and more participating 
in the various sports than ever before. The winter ])rogra!n for indoor sports, 
handicraft works, dancing and other activities in the community centers has 
necessarily been expanded in order to meet the needs of greater numbers. It is 
interesting to note in this connection the increase in attendance at the municipal 
opera in Forest Park. The number of paid admissions was 811,433 in the 10 
weeks' season of 1941, as against 686,045 in the like season of 1939. The in- 
crease was 125,000 in 10 weeks, or 12,500 a week. 

While these increases in visitors to our parks and greater use of recreational 
facilities are attributable in part to increases in workers' incomes and shorter 
working hours, I have no doubt that in-mJgration has been a heavy contributing 
factor. Here again, we find an increased number of foreign license plates on 
automobiles in the parks and at the zoological gardens. 

To m.eet the increased demands upon its recreational facilities, the city dees 
not need, for the tin.e being at least, additional land — but it does need plaj'ing 
fields, recreational facilities, picnic tables and benches, and additional personnel. 

The traffic on the streets of St. Louis (not including streets adjacent to the 
small-arms plant) shows an increase of 22 percent in 18 months. 

The streets adjacent to the small-arms ];lant show an average of approximately 
60 percent increase. 

Pedestrian traffic in the downtown congested area shows an approximate 
increase of 14 percent. 

Mass transi)ortation passenger volume is up approximately 24 percent in the 
last 12 n.onths. Gasoline consumption is the highest in the city's history, as is 
also ntotor-vehicle registration. 

Of course, som.e of these increases are due to greater spending power on the 
part of local i)opulation, but undoubtedly a considerable portion is caused by 
the influx of outside labor. 

This is particularly probable as to increased automobile traffic. The known 
tendency of in-migrants to come in their own cars as well as the wide prevalence 
of foreign license i)latcs lead me to think that our traffic problem has been very 
seriously augmented l)y in-migration. A com.mission of traffic experts is working 
on this traffic congestion proi)lem, which is indeed serious, but I have no doubt 
that any solution will call for a very considerable increase of cost to the city. 


The county hospital superintendent says that his experience has been about 
the same as that of our city hospital, in that his hos])ital and clinic have had a 
slight decrease in attendance, while the number of rejections of applicants on 


account of nonres.dence has increased and continues to increase. He also at- 
tril'utes this condition to better economic conditions accompanied by rigid 
exclusion of nonresidents. 


It would seem clear that with the advent of the expected additional 40,000 
population and so long as the defense effort continues, the streets and the parks 
and recreational facilities will be increasingly overtaxed, and large expenditures 
will be necessary in order to meet the situation. 

When the defense work ceases, there no doubt will be a lessening of the pressure 
on these facilities. I do not apprehend that except in the event of epidemic and 
e.xcept for a possible need for additional inspectors, the health division will need 
much augmentation or additional expenditures on account of the existing or 
anticipated increase in population. The present set-up has largely anticipated 
such increase. 

The city's sewer and water supply will need no abnormal addition or change to 
meet the increased population. However, there undoubtedly will be a con- 
siderable sewer-building program necessary in the county. I would prefer, how- 
ever, to have the committee refer to county officials as to this. While at present 
our hospital status seems to be unaffected bj' the influx of defense workers, this 
situation will change as soon as the workers and their families who have migrated 
to St. Louis have lived here a year. They will then become residents and entitled 
to hospital and clinical care in the city institutions. Therefore, within the next 
year the burden on the city hospitals may be expected to increase and to continue 
to increase. The increase will be much greater if the defense work should discon- 
tinue and throw large numbers of people out of work. 

I might add to what I have said that the private hospitals and social agencies, 
not being hampered or protected by the rule against nonresidents, have had 
their load tremendously increased by the influx of strangers. This subject, how- 
ever, is fully covered by Mr. Steger's able statement, to w^hich I have already 
referred, and for that reason I will not try to cover that subject. 


The effect of priorities on production of consumers' goods has already been 
felt, and some unemploj-ment has already resulted therefrom, and with the con- 
tinued operation of priorities, employment due to this cause will show a steady 

The solution to this problem appears to lie in the manner in which the priorities 
rules are to be applied to the facts in any given case, supplemented by retraining 
by defense industries for new vocations for workers displaced in the consumers- 
goods industries. 


Up to the present time we have no housing shortage for whites in the city. 
However that is not the case with reference to our colored citizens. There is a 
distinct shortage for Negroes in the lower rent field. The latter condition is 
evidenced by the fact that in the last few months there has been a general tendency 
to increase rents for Negroes in the lower brackets 15 to 20 percent. Serious 
complaints regarding this situation have been brought to the attention of various 
agencies, the city administration, and Federal representatives. Perhaps the 
quickest and most practical method of solving this problem would be in a reha- 
bilitation program of substandard properties. 

When the defense construction is completed and the plants actually get under 
full sway, more housing shortage even for the whites is to be anticipated. It is 
to be hoped that your committee will give serious consideration to the housing 
shortage and the high rents resulting therefrom, particularly insofar as it affects 
our Negro population in this city. 


We are seriously concerned about the results that will develop upon the termi- 
nation of defense work. Such results in our opinion will be serious and critical 
and though we are already anticipating such conditions and are developing plans 
to meet them, obviously, however, the maguitude of such anticipated problems 
will far exceed the financial capacity of the city and hence, will require Federal 



The building and construction trades council is comprised of skilled mechanic- 
and common lat)orors cnpapcd in building construction, such as buildings, bridges, 
sewers, streets and hijihway construction. 

The menihersliij) of our organizations for the j'ears 1939-40 and up to October 
19-11 has not increased to any great extent in the skilled trades. However, the 
building laI>orers have taken (piite a number into their organization since the 
inception of defense work in this area. The reason the skilled trades have not 
taken these men into their organizations is because on these defense projects 
mechanics were drafted from other localities who are affiliated with international 
unions and they are given the privilege of working in this area until the completion 
of the job and after its completion must return to the area from which they came. 

We have ai)pro.\imately IS, 000 workers employed on defense projects at this 
time and about 12,000 employed on nondefense construction. 

In regard to the question as to what effort we are taking to have our member- 
ship register with the Missouri State E.mployment Service, making them available 
for defense training in the event of a lay-off resulting from the priorities or alloca- 
tions program, we are, at this time, in the process of registering all workers 
affiliated withUhe building and construction trades council with the Missouri 
State Employment Service because we have manj' affiliated workers who are quite 
skilled in the line of work necessary in the various defense industries in this area. 
We feel the Missouri State Employment Service would be the best available source 
of supply for skilled workers in defense industries. 

In reply to your question as to what effect the $6,000 limit per single housing 
unit, which was placed by the Office of Production Management would have on 
the l)uilding-trades worker, following is a resolution which was adopted by the 
building and construction trades council on September 30, 1941, in regard to 
this matter: 

Whereas the Ofhce of Production Management has placed St. Louis and vicinity 
within the scope of the defense housing materials priority order; and 

Whereas this ruling puts a limitation of $6,000 per single housing unit for which 
such critical housing materials can be relea.sed; and 

Whereas the near completion of defense construction projects will mean the 
release of thousands of members of the St. Louis Building and Construction 
Trades Council from such employment and create a serious local unemployment 
problem; and 

Whereas many of these unemployed building-trades men could obtain employ- 
ment if the ceiling on residential construction were raised much above the $6,000 
limit which sum is insufficient to erect a residence of a standard for which there 
is an innuediate local demand: and 

Whereas the completion of the vast industrial defense projects will release 
considerable building materials for such construction; therefore be it 

Resolved, That the Office of Production Management increase the current 
$6,000 limitation on single unit housing construction in St. Louis and vicinity 
in order to stimulate residential construction in this area and relieve a current 
housing shortage due to the large requirement of i)roduction workers in our local 
defense plants as well as give steady employment to building and construction 
workers who otherwise may be unemployed for an indefinite period after the 
present defense construction ends; and be it further 

Resolved, That this resolution be respectfully submitted to the Office of Produc- 
tion Management with the request that an early ruling be given to this request 
before the small local construction field .stagnates and workers on residential 
construction are added to the roles of the unemployed. 

If .some elasticity in this maximum figure for building construction is not ex- 
tended in this area, at least 70 ])ercent of ovir members will be out of employment. 


Preliminary comment should be directed to brief history of the Associated 
Industries of Missouri, which I represent. It is an organization of ai)proximate]y 
1,500 companies of a variety of industries in the State. It was organized in 1919. 
The long record of service attests its fine relationship with both industry and labor. 


Four service departments (research, taxation, insurance, and industrial relations) 
provide factual and practical information and assistance to its many member 

My position is director of the Industrial Relations Division of the Associated 
Industries of Missouri. I have had 14 years of experience in this field. Previous 
to this ))osition, I had been director of industrial relations at Emerson Electric 
Manufacturing Co. Am a panel member of the Training \\'ithin Industry Divi- 
sion of the Otlice of Production Management aufl have conipletefl a number of 
assignments for the Ofhce of Production Management in St. Louis and Kansas 
City, Mo., Wichita, Kans., and Washington, D. C. In this capacity I have 
counseled with and assisted persomiel and industrial-relations directors of the 
large nn'dwestern aircraft compam'es with particular emphasis ui)on training and 
development of adequate labor supply. Other activities include membership on 
the State advisory committee for vocational education, the labor supply and 
training committee of the metropolitan committee for, preparedness for national 
defense and the St. Louis Advisory Committee for Defense Training, and in my 
present capacity, regularly meet with individual groups of industrial-relations 
officers, large employers, at St. Louis and Kansas City. I have been president 
of the St. Louis Persomiel Directors' Club for the past 3 years. 

The Associated iTidustries of Missouri has been conversant with the problem 
of labor supply, training, and ultimate dislocation and possible unemployment, 
the result of material shortages and priorities effects. Efforts of practical nature 
were made and are continuing to be made to aid in minimizing the impact of the 
defense program in the transition from civilian production to defense work. 
Several months ago a series of "clinics" were held at Kansas City and at St. 
Louis to acquaint businessmen with the importance of study and planning to 
meet the exacting schedule and the function of that activity as well as the efforts 
being made to si)read the work through the offices of Deifense Contract Distri- 

Representatives of these divisions from Washington made up the panel and 
ciuestions and answers were parried from the floor. Overflow meetings brought 
an increased interest in the proljlem. 

As result efforts were made by the Associated Industries of Missouri to provide 
an opportunity for small manufacturers to obtain subcontracts from the holders 
of prime contracts in the State. The Army Ordnance Procurement Division 
gave encouragement. Invitations were mailed to holders of all prime defense 
contracts to express interests in subcontracting those units which were producing 
bottlenecks in production and those which would provide a share-the-work oppor- 
tunity for the companies affected. This was jjlamied on a practical basis. Ex- 
hibits of small component parts and assemblies were encouraged. A limited 
response from prime contractors and a request to defer the plan made by the local 
office of Defense Contracts Distribution canceled this attempt. One reply from 
a large defense contractor expresses a problem which evidently exists in a great 
number of instances. It is excerpted herewith: 

"We shall be glad to cooperate with anything that looks constructive. One of 
the great difficulties we have encountered in a sincere effort to do this has been 
that even where our supplier was known to have the labor, machinery, and pro- 
ductive skill necessary to do the job, his prices were so much higher than our own 
that if we were to make up a contract of that character we would have no chance 
whatever of getting the business. 

"We understand the Government is willing to pay a somewhat higher price to 
people who do a certain percentage of subcontracting. This I do not know to be 
the case, but have heard it stated as a probable Government i)olicy. 

"However, the i)rices that have been offered us for items have been anywhere 
from two to three times our own cost and it will be obvious that under these cir- 
cimistances subcontracting is not possible.. As I said above, we shall be glad to 
cooperate in anything that looks constructive." 

Practical experience with production planning and facility has given us oppor- 
tunity to lend tangible aid to a number of companies faced with shut-down in 
operations. Small maiuifacturers have been visited and their facilities inspected. 
Using this data, meetings have been arranged with particular i)rime defense con- 
tractors and subcontracts effected. 

We are familiar with the function of the Office of Defense Distribution and of 
its inexhaustible file of recorded companies and respective detailed facilities. We 
have encouraged, as a solution of the contract rlistribution prol)lem, a very close 
working arrangement V)etween company and district agencies. One imjirovement 
is suggested in observing operation. There could be a larger number of industrial 
and production engineers attached to th(> staff of these offices — men who could 
f5o.'{ftr> — 42 — pt. 2;j 2 



n)jvko first-haiul inspection of available facilities and orient tlie defense produc- 
tion problem with the facilities of a wider number of manufacturers. Although 
the initiative, granted, is a direct resjjonsibility of the manufacturers, this re- 
sponsibility may be shared with comjM'tent engineering talents of the OfTice of 
Defense Distribution lacking in the stafTs of a majority of smaller manufacturers. 
To obtain a factual picture of the in)pact on employn ent as represented in 
the ultimate shifting of large forces of workers to defense industries, our member- 
ship was circulated on November 6, 1941. The following questions were asked: 

(1) What percent of your production facilities is being used on defense work? 

(2) Do you anticipate a reduction of operations because of effects of priorities 
and allocation of defense work? (3) Approximately how many workers now in 
your employ may be unemployed because of above reasons? (4) Have you made 
an effort to get defense work? (5) Cite other pertinent facts which should come 
to the attention of this committee. 

The result of this survey is recorded in the attached sheet which is a compila- 
tion of the replies. Approximately 1,200 were circulated and a 2n-percent re- 
sponse was obtained. This may be interpreted to be substantially greater in 
view of the fact that a number of our members are retailers, wholesalers, and 
merchants handling staple articles. Comment made by a number of manufac- 
turers is excerpt and presented in a separate statement. 

Relative to the available supply of labor, I am agreeable to the findings of 
the Missouri State Employment Service whose surveys are thorough and com- 
petently administered. There does not appear to be any immediate impact 
because of material shortages and priorities but ultimately this will be a greater 
problem. The diversification of industries in this area argue well for a gradual 
and complete absorption of those individuals presently employed but who may 
later be released because of their particular occupation in nondefense enterprises. 
There was a recent attempt to provide for an anticipated di.slocation of a large 
number of automobile workers. Publicity, admittedly released from Washing- 
ton expressed the problem as affecting 10,000 workers in this area. The facts 
developed that a total of 1,000 workers were to be laid off over a period of 3 
months, a number which several representatives of large companies claimed 
would be absorbed with no hardship. 

One of the recent actions of our labor organizations in circularizing their mem- 
bers, reported to be approximately 173,000 workers, requesting that all, whether 
employed or not employed, whether in defense industry or nondefense industrv, 
register with the Missouri State Employment Service, has caused considerable 
concern of those interested in the control of the migratory problem. 

Transfers of labor have been effected from one defense job to another by the 
M. S. E. S., the only reason presented, higher wages. 

Question No. 1. — -What percent of your production facilities is being used on 
defense work? 

9.5 to 100 

90 and iin<ipr95.. 
85 and tinder 90.. 
80 and under 85. 
75 and under 80. 
70 and under 75. 
65 and under 70. 
60 and under 65. 
55 and under 60. 
50 and under 55. 
45 and under ."iO- 
40 and under 45. 
35 and under 40. 
30 and under 35. 
25 and under 30. 
20 and under 25. 
15 and under 20. 
10 and under 15. 
5 and under 10.. 
1 and under 5... 



Grand total. 

Percent of facilities 

Number of 
St. Louis 

Note.— 227 companies participating. 








"Believe that the tie-ups due to minor items (as needles, etc.) should be called 
to the attention of the proper authorities. This tie-up has prevented progress 
made on defense orders in production." 

"We have made a lot of effort to get defense work. The fact of the matter is, 
we sent two men recently to Kansas City to a clinic, but it seems that the prime 
manufacturers are not interested in farming out small parts that manufacturers 
such as ourselves could make and they are interested only in having parts farmed 
out that are difficult and cannot be made with our present equipment. One 
other complaint, we find many times, that l3efore we have an opportunity to bid 
on an item, that the bid date has already been passed. It seems as though there 
are a good many manufacturers who are having opportunities to bid before others. 
The small manufacturers do not seem to have the opportunity of getting the 
specification and getting the opportunity to bid, that the larger manufacturers do. 
The fact of the matter is the Defense Contracts Office in St. Louis on many oc- 
casions do not know that an item is being bid on, when we in a round-about way 
have been able to find out about it. It seems that they should have advance 
notice of everything that is wanted by the Government." 

"We are definitely affected by the defense program. We shall have to go out of 
business; our labor and equipment apparently are not suited for any defense work. 
However, our facility, a new building under one roof comprising 3 acres of floor 
space and 9 acres of industrial projerty fenced in, has been offered the Office of 
Production Management and has been turned down. We feel that the United 
States Government could use our factory to advantage immediately and that 
they could not reproduce it under possibly $2,000,000 under new construction. 
The emergency apparently is not great enough to justify them in avoiding the 
delay involved in new construction." 

"Attended defense clinic November 7 at Kansas City with no results or relief. 
They had nothing to offer." 

"We are a candy manufacturer. Our skilled workers are being taken away by 
defense industries. It will cri])ple our normal operations." 

"If we could get brass parts \\hich have been ordered and made, shipped after 
January 1 which is a small part of our ^reduction, we could keep going." 

"About 90 percent of the mattress business given by our Government has been 
given to three factories of the South." 

"I attended the clinic and exhil ition put on by the Division of Contract 
Distribution at Kansas City. It was advertised that many prime contractors 
would be there. I met several who said that they were there because the}' had 
been urged. They had nothing to sublet. My opinion is that this business has 
not been broken down as it must be if it is to be done by the small maiuifacturer. 
Unless something is done immediately this country will find itself with a lot of 
ghost communities." 

"A certain amount of civilian work must be carried on and materials must be 
allocated for it." 

"I could handle and get 50 percent more defense work if it were not for the time 
consumed on Office of Production Management formalities which now consume 
25 percent of my time on useless papers. I can't keep up either. It took me two 
holidays to buy a one-third horsepower motor to be installed on an English job on account of Office of Production Management formalities." 

"Our worst problem is the pirating of employees by cost-plus plants on defense 

"Too much red tape necessary in getting priority certificates when needed. 
Chemical companies have allocated chemicals on 1940 consumjjtion figures. 
Some that we use now on defense work were used in much smaller quantities in 
1940 when not on defense work." 

"No one seems to have a definite plan to coordinate the work in Washington." 

"Priorities hinder home building which is so necessary here for defense housing." 

"Earnest solicitation has failed to result in inquiries for quotations or checking 
of our ability to produce castings. We read almost daily of shortages. We 
wonder if they exist." 

"We have submitted bid on rifle clip and although w^e were low bidders, were not 
given consideration." 

"Cannot obtain delivery of raw materials on priority ratings A-3 or better." 

"Recommend the acceptance of small manufacturers' standard where possible — 
rather than special .specifications on small quantities." 

"We have an A-10 priority on two repair jobs. We use 5,000 pounds of one 
type of material and 4,000 pounds of another. We can't buy less than 7,000 

8706 ^'"^ ^^^'f'l^ HKAHINGS 

])<)Uiids at a shi])inoiit, buying from the mill. Bocauso wo didn't use that much of 
each of the .s])ccial ty])('s of steel on these two priority jobs, we can't use the 
l)riority to re])lace thes(> six-eial steels. We have another job on which ap])lication 
has been made for a ])riority, but by the time the Priority Divisioji gets around 
to piviuR ai)i)roval of the priority certificate, these orders will be so old that 
I can't combine them. On one hand, we are u]) against the i)riority rule that 
we can't buy more of a certain fpiality steel than we use on a job. On the other 
hand, we an> up against the rule of industry that the steel mills will not ship 
less than 7,000 ixmiids." 

"On November 7, 1041, the Chicago .Journal of Commerce published an item 
on 'Meat Orders S])rea(i .Vniong 14 Packers,' and that this was a new ])rocurement 
])olicy of wider distribution l)y the Quartermaster Corps. It further stated that 
the weekly buy of frozen boneless meat amounted to ],739,6.")0 ])ounds worth 
$407,0(>9, and that this order was spread among 14 companies, which re7)resented 
an increase of .300 ])ercent in the number of companies ])articij)ating, as the former 
number of com])anies was from 4 to 7. These few were receiving all the previous 
similar weekly contracts. 

"A magazine issued by the American Meat Institute about November of 1941, 
entitled '.Meat — Reference Book of the Industry' lists the value of meat products 
manufactured in 1931, and established the meat industry as ranking third in the 
United States. (Missouri as a State ranked first among the States as a State meat 
processor.) This booklet, on page 32, states that in 1939, the United States 
Census of Manufacturers Reports show there were 1,516 meat establishments 
in the United States. 

"Kiplingcr's Washington Letter of Noveziil^er 8, 1941, states, 'Plant expansion 
for food processing, financed by Government money will be stepped up. Dairy 
products first, prol)ably others later. Operated by farmer co-ops. P'or production 
during and after the war.' 

"The ([uestion now arises as to the necessity of plant expansion when only 4 
to 14 of the present country's 1,516 meat plants are able to handle Government 
business the way it is allocated at present. With the present system, the Gov- 
ernment does not buy on the basis of the market on meat products, but only gives 
the orders to the lowest bidders. With only the lowest bid being considered, and 
with only the large companies being able to bid the lowest as they are able to 
handle the large business of the Army, the small jjlants must sit with their chin in 
the palm of their hands and watch the business go to the big operators — also 
take the raking over for not joining in the defense business. Federal inspection 
requirement also limits the distribution. Any qualified and accredited post 
mortem and ante mortem yet inspection should be recognized in the present emer- 
gency. The small plants should be a})le to sell the Government such commodities 
as they are able to sui)ply, on the market basis. Livestock not being bought from 
the farmer on the lowest l^id basis V)ut on the highest bid basis, there is no reason 
for the meats to be sold on any other than the market basis, which is based on the 
price paid to the farmer. 

"In the National Live Stock Provisioner, the magazine of the meat packers, 
November 8, 1941, volume 105, page 7, we find the following under Meat and 
Defense caption: * * * 'However, there is a great deal of merit to the sug- 
gestion that individual packers take advantage of the current interest in defense 
and tell, in their ads or elsewhere, something of what they are doing in furnishing 
a vital food for the armed forces, and why the Army, Navy, and Marine Corps 
regard meat so highly as one of the mmiitions of war.' 

"How can all the small plants follow such a suggestion when only 4 to 14 of 
the 1,516 supply the Army and Navy? 

"How can the small packer and processor participate in the Army and Navy 
program when meats are only bought from the lowest bidder, and labor costs and 
livestock costs varv in different parts of the cotmtry? 

"For week ending November 8, about 1.733,000 pounds frozen meats were 
bought and Swift, Armour, Cudahy «fe Wilson received 1,333,000 pounds, so 
there was not a great amount for the 10 other bidders. So far most all of the 
business went to the 'Big Four'. Some should go to all that can take a portion 
and plants have a worth-while inspection, whether Federal, State, or city." 

"We are sincerely concerned with the anticipated iini)act on our company 
which em|)l()ys some 600 workers. Do not believe that sutlicient attention has 
been given to these twt) major elements of this big problem (1) the instability of 
employment because of the broken j^roduction .schedules, the fact that small 
rpiantities of nece.s.sary materials are imavailable or require time to obtain, and 
(2) the fact that Arniy and Navy contracts i)resent demands on suppliers for 
materials, the need of which is not immediately nece.s.sary to complete the unit 


being made. I have knowledge that a particular material needed for our pro- 
duction is being sent the Navy for a battleship to be completed in 1945. The 
same rule of efficient production scheduling and lay-out should apply to our Gov- 
ernment agencies. It should not be proper for them to build inventories beyond 
practical needs. 

"The Government can help in stabilizing employment." 


The Central Trades and Labor Union of St. Louis and vicinity is the parent 
organization for some one hundred and eighty-five local unions affiliated with the 
American Federation of Labor. The crafts we represent are many and varied. 
Just about every line of endeavor is covered by some branch of the American 
Federation of Labor. 

Our organization numbers well around 100,000 workers in and about St. Louis. 
It is hard to state how many are employed on defense work but I would judge 
that more than one-half of our membership is employed either directly or indirectly 
on defense work. 

Our office has no record of the over-all migration into the St. Louis area since 
May 1940 but I can estimate that the figure runs into the thousands. 

We have had several complaints up to this date from some of our local unions 
in that unemployment is being felt among their membership because of the short- 
age of certain materials. Priorities have cut into many lines of work and we 
expect that the future will bring many more complaints. 

At every meeting of our Central Trades and Labor Union for the last several 
months we have always brought the question of registering at the Missouri State 
Employment Service Office to the attention of our membership. We have advised 
all of our local unions to register their membership with the Employment Service 
whether they are employed or unemployed at this time. We hope a satisfactory 
arrangement will eventually be worked out on this program. 

As to those unemployed by virtue of the priorities and allocations programs I 
think these individuals should be given production jobs without anj' political 

I cannot make any statement as to the future migration of workers into the 
St. Louis area. 



Before analyzing the industrial complexion of St. Louis as it is today, it would 
be well to sketch brieflj^ the origin and background of this industrial community. 

(a) Past economic developments in the area. 

The city-of St. Louis was founded as a trading post in 1764 by a French business- 
man interested in developing the rich fur trade of the then unsettled western 
territory. Its location below the mouths of the Missouri and Illinois Rivers and 
above the Ohio River established it at the outset at a strategic position on the 
best traffic artery of that day. Subsequent to the establishment of trading activ- 
ity on a relativel}' safe and highly profitable basis there came a greater penetration 
of white settlers intent on farming the surrounding territory and exploiting the 
natural wealth of mine and forest. As the westward movement of population 
continued, St. Louis became a commercial city, outfitting expeditions into the 
unexplored and partially explored western territory and supplying the multi- 
farious needs of the settlers who had taken homesteads in the central Mississippi 
Valley. W^ith the sale of the Louisiana Territory to the United States, the west- 
ern migration of American settlers was accelerated and St. Louis, already a well- 
established commercial center, profited from this population movement. 

Practically all early transportation in the western country was by way of the 
rivers but with the arrival of the settlers and the establishment of early towns, 
there soon developed four main highways through the Illinois countrj^ converging 
at a point on the Mississippi River opposite St. Louis. With the coming of the 
first steamboat to St. Louis in 1817, transportation facilities were given a further 
boost and St. Louis rapidly developed a river trade, playing an important part 

8708 ^"^^ I-OUIS HEARINGS 

in the "golden age" of stoamboats. The gold rush of 1849, carrying thousands 
of people to the west coast, further fortilied the coniiiiercial iinpfirlance of St. 
Louis. IVIaiiy fortunes were made in outfitting the huge caravans of migrants. 

By the close of the Civil War the steamboat began to lose importance as a 
means of transportation, giving ground to the railroads. Railroad activity 
resulted in St. Louis becoming one of the greatest railroad centers in the United 
States, and brought about the construction of the Kads Bridge across the Mis- 
sissippi River at St. Louis. Later growth resulted in construction of additional 
bridges to handle the increasing tradic. 

Shortly before the Civil War the industrialization of St. Louis began. Mer- 
chants who had made their fortune as middlemen, supplying the settlers of the 
Mississippi Valley and the wagon trains headed for the West, envisioned the 
possibilities of performing their own manufacturing operations using the abundant 
agricultural, mineral, and forest resources that were at hand. The early indus- 
trial enterprises rewarded the vision of their backers and in the period of railroad 
e.xpansion and subsequently with the development of the automobile and the 
hard road, the St. Louis region grew steadily in wealth and influence. The 
trading and wholesale activity in St. Louis continued to develop as the population 
of the Middle West and Southwest increased, with the result that at the present 
time St. Louis enjoys an even balance between wholesale and manufacturing 
activities. The economic history of St. Louis has been conducive to the develop- 
ment of a relativel}' large number of consumer industries. The development of 
railroad transportation, coupled with the accessibility of necessary raw materials 
■was an incentive to the development of capital goods industries. Although the 
production of consumer goods in St. Louis is foremost, a large and profitable 
proportion of the city's industrial activity is concentrated in the production of 
capital or producer goods. The combination of a large trade and a balance 
between the light and heavy industries has been responsible for the relative 
economic stability of this city. 

(b) Industry today. 

Industrial St. Louis is one of the largest commercial and industrial centers of 
the United States. It is the ninth largest industrial area, ranked by value of 
products manufactured. It is the greatest wholesale distributing center in the 
Mississippi Valley and it is also one of the important financial centers of the 
Middle West. 

In St. Louis and its metropolitan area economic activity enjoys a healthy 
balance between manufacturing and distribution. Further, the diversification 
between capital and consumer goods manufacturing activity has endowed this 
community with an economic stability considerably in excess of that enjoyed by 
cities more dependent upon a limited number and variety of industries. 

Diversity is the predominant characteristic of industrial St. Louis. Of the 
446 industry classifications recognized by the United States Bureau of the Census, 
283, or 64 percent, are to be found in this indu.strial area. 

Tables 1 and 2 following, show the number of manufacturing establishments 
and the number of factory wage earners in manufacturing establishments in each 
of the 20 major industry groups recognized by the Census Bureau. It should be 
noted on table 1 that 25 percent of the establishments are devoted to the manu- 
facture of food and kindred products, 15.5 percent to the printing, publishing, 
and allied industries, 10.4 percent to the needle trades industry. No other 
industry group accounts for as many as 10 percent of the manufacturing establish- 



Table 1. — Manufacturers of the St. Louis industrial area 

[1939 Census of Manufactures] 


Major groups 

of estab- 

of total 

All industries 

Food and kindred products _ 

Tobacco manufacturers-. 

Textile-mill produc^ts and other fiber manufacturers 

Apparel and other finished products made from fabrics and other similar materials 

Lumber and timber basic products 

Furniture and finished lumber products 

Paper and allied products. 

Printing, publishing, nad allied industries 

Chemicals and allied products 

Products of petroleum and coal 

Rubber products . 

T,eather and leather products ...! 

Ptnne, clay, and glass products 

Iron and steel and their products, except machinery 

Nonferrous metals and their products 

Electrical machinery 

ATachinery (except electrical) 

Automobiles and automobile equipment 

Transportation equipment (except automobiles) 

Miscellaneous industries 











100. 00 





















Table 2. — Manufacturers of the St. Louis industrial area 

[1939 Census of Manufactures] 


All industries... 

Food and kindred products.. 

Tobacco manufacturers 

Textile-mill products and other fiber manufacturers 

Apparf 1 and other finished products made from fabrics and other similar materials 

Lumber and timber basic products 

Furniture and finished lumber products. 

Paper and allied products 

Chemicals and allied products 

Printing, publishing, and allied industries 

Products of petroleum and coal 

Rubber products 

Leather and leather products 

Stone, clay, and slass products 

Iron and steel and their products, except machinery 

Nonfrrrous metals and their products 

Electrical machinery 

Machinery (except electrical) 

Automobiles and automobile equipment-.- 

Transportation equipment (except automobiles) 






of total 

for year) 


100. 00 

19. 163 


1, 562 

1 23 



14. 035 




















17, 732 




7, 158 


5, 239 








3710 ^''- ''"'ii^ iiKAKi.\(;s 

Table 2 shows even better the distribution of the factory wage earners among 
the 20 classifications listed. Not even the food and kindred products industries 
employ more than 15 percent of the factory labor of tliis industrial area. 

It is diaracteristic of tiie industries of this community that they are relatively 
modest in size, there Ix'ing uj) to this time no corporate giants emjjloying tens of 
thousands of workers here. The typical factory in St. Louis employs fewer than 
100 workers. It is jirimarilj- home owned and the operations are directly under 
control of the owners. 


To the best of our knowledge there is no comprehensive record in existence 
listing all of the primary defense contracts awarded in this area. Further, no 
effort has been made l)y any agency to tabulate defense subcontracts held bj- local 
manufacturers and sui)pliers. Records maintained by the Keserarch Bureau of 
the St. Louis Chamber of Commerce do reveal tlie following with resjiect to con- 
tracts awarded to companies in t.lie St. Louis industrial area between July 1, 1940, 
and November 1, 1941. 

Classified list of defense contracts and awards in the St. Louis area 

1. Construction awards $216, 924, 460 

2. Aircraft, aircraft parts and supplies 161,117,218 

3. Anuuunition, components, and supplies 145, 195,928 

4. Clothing, caps, shoes, and insignia 27,381,500 

5. Machinerv, tools, and equipment 12, 810, 319 

6. Foodstuffs 7,511,081 

7. Special ordnance equii)m.ent 6, 030, 222 

8. Kitchen and bakery equipment 2, 574, 440 

9. Housing facilities and furnishings 2, 359, 303 

10. Chemicals and drugs 2, 264, 519 

11. Packaging materials and containers 2, 166,269 

12. Construction ecpuinuent and materials 1, 542, 961 

13. Transportation equi]iment 9S6, Oil 

14. Cable, cable assemblies, and reels 906,384 

1 5. Photographic and X-ray equi]nnent 507, 939 

16. Hospital equii^ment and medical supplies 460, 753 

17. Athletic equipment and sporting goods 1 17, 889 

18. Miscellaneous . 453,303 

Total 591,310,499 

In this list there is indicated a total of $591,000,000 in direct contracts which 
have been awarded to more than 300 companies here. These figures do not in- 
clude ver}^ considerable expenditures for subsistence items purchased by the 
local quartermaster units. Further, it docs not include the production orders 
awarded to some of the larger defense ])lants in the district or some of the secret 
negotiated defense contracts. It is estimated that the amount of these is well in 
excess of $150,000,000. 

It should be pointefl out that figures shown in this table 3 cover a period of 16 
months and many of the contracts included in these figures have been satisfied 
long since. Some of the largest oi)erations in the district, however, are just now 
reaching the production stage and will be turned out within the next 12 months. 

We know of no means of estimating the volume of defense subcontracts. It will 
be possible, however, at the time of the committee hearing to give some estimate 
on the number of manufacturers who have received such subcontracts. 


It has been estimated In- the Research Department of the Social Planning 
Council of St. Louis that within the last IS montlis there has been a jH)i)ulation 
migration into this St. Louis area of from twenty to thirty thousand i)ersoiis. It 
is our belief that this estimate is as accurate as any that has been made on 
migration into the area. The migration study of the Work Projects Administra- 
tion has not yet been released. This study will either confirm the above estimate 
or will indicate a basis for more accurate estimates of immigration. It should be 
noted that of this i)oi)ulation a large share is accounted for in terms of 
construction workers who are habitually transient in that they move from one job 
to another. Some of these workers now in the St. Louis district can be expected 
to move out as construction work tapers off here and increase in other com- 




The chamber of commerce has in process a survey of inamifacturers and whole- 
salers in this district designed to furnish the answer to this (jueslion of priorities 
unemployment in this district. In view of this fact it would serve no useful pur- 
pose at this time to attempt to estimate or predict on this subject when shortly 
a comprehensive cross-section of industry will have supplied its answers. A 
complete survey will be available for the interest of the committee before Novem- 
ber 26, 1941. 

It is my opinion that individuals deprived of employment in this community 
through inability of their employers to obtain materials and supplies upon which 
defense projects place a prior demand will be reabsorbed relatively quickly and 
easily by defense plants operating in the area. Manj' of these workers will find 
it necessary to take some training in order to effect a transition from nondefense 
to defense type employment. Several defense manufacturers have already 
indicated that so far as possible they will flraw their labor requirements from the 
local labor supply in preference to migrants from outside areas. Such action will 
have the effect of curbing migration and lessening unemployment of persons 
already in the district and available for work. 

It will be possible to give a more intelligent opinion on the desirability for the 
Government to enter into negotiations with local employers for reemployment 
after the results of the surve}' referred to above have been analyzed. 



In the strictest sense St. Louis had practically no defense industries prior to 
the present emergenc^^ It had, however, a number of chemical and heavy metal 
working plants whose output could be used directly by the armed services or 
readily adapted for defense purposes. Many of the St. Louis manufacturers have 
secured defense contracts, the ]:)roduction of which is not dissimilar from their 
ordinary commercial output. The shoe and garment comi)anies, as well as the 
machine tool manufacturers, are outstanding examples of this change in emphasis 
without the necessity of completely reorganizing production facilities. 

There have been a number of instances where local manufacturers have secured 
defense work in which the end product is radically different from that of their 
normal lines. We list a few of these: A manufacturer of kitchen metal ware is 
now producing tank mines; a manufacturer of control valves is now making 
aircraft subassemblies; a manufacturer of lubricating devices is now making tools 
and dies for defense plants; a manufacturer of vending machinery is now producing 
special ordnance parts; a manufacturer of electrical appliances is now producing 
telescope mounts; a manvifacturer of motorcycle parts is now producing parts for 
bombers; a manufacturer of pharmaceutical tablet dies is now manufacturing 
ammunition dies; a manufacturer of stove pipe is now producing metallic cartridge 
belt links; a manufacturer of heat control devices is now producing shell boosters 
and telescope mounts; a manufacturer of organs is now producing test-tube holders; 
a manufacturer of shoe laces, jumping ropes, brpids, etc. is now producing gas- 
mask face forms; a maimfacturer of church furniture has been making TNT 
paddles and wooden trays for ammunition plants; a manufacturer of large knives 
is now making straightedges. The list does not give a complete picture of the 
change-over, but it does indicate the variety of changes in ]:)roduction that have 
been effected by some of the manufacturers in this district who have succeeded in 
obtaining defense orders. 

Some industries, particularly the iron foundry industry and the sheet metal 
stamping shops, have experienced difficulty in locating defense items for which 
their facilities can be used. Some of these plants which normally produced large 
quantities of goods for civilian consumption will be forced to curtail drastically 
their normal production and at the same time will be unable to replace it with 
defense production. This •will work a greater hardship on the plant owners than 
on the plant employees as most of these employees will be able to obtain employ- 
ment in other industrial establishments of the district actively engaged on defense 

The survey referred to in previous paragraphs will bring out more clearly the 
industries most seriously affected by priorities and the allocation program. 
Since facts will be available to the committee, it does not appear that specula- 
tions on this subject will be of particular value at this time. 


Exhibit A. — Twenty Leading Industries op the St. Louis Industrial Area 


Moat packing, wholesale $137, 620, 972 

Autoniohilcs and automobile equipment H3, r)24j 083 

Eloctrical machinery 40, 74 0^ 727 

Malt liquors 4]| I8l| 036 

Choniicals, not olsowhero classified 31, 410, 525 

Stcol works and rolling mills 24, 089^ 101 

P'ootwcar (except rubber) 23^ 925^ 581 

Boot and shoe cut stock and findings 23, 119, 376 

Bread and other bakery products (except biscuit, crackers, and 

pretzels) 22, 144, 267 

Drugs and medicines j 19, 373, 137 

Alloying; and rolling and drawing of nonferrous metals, except 

aluminum 16, 423, 479 

Paperboard containers and boxes, not elsewhere classified 15, 725, 929 

Newspapers 15, 564, 261 

Stoves, ranges, water heaters, and hot-air furnaces (except elec- 
tric) 14, 298,434 

Printing: Job and book 13, 904, 648 

Steel castings 13, 364, 205 

Prepared feeds (including mineral), for animals and fowls 11, 814, 054 

Cars and car equipment — railroad, street, and rapid-transit 11, 405, 215 

Men's and boys' suits, coats, and overcoats (except work cloth- 
ing) ._. 9,851,058 

Flour and other grain-mill products 9, 756, 777 


Footwear (except rubber) 8, 636 

Electrical machinery ; 7, 158 

Meat packing, wholesale 6, 201 

Automobiles and automobile equipment 3, 901 

Malt liquors 3, 714 

Bread and other bakery products (except biscuit, crackers, and pretzels) __ 3, 696 

Boot and shoe cut stock and findings 3, 444 

Steel works and rolling mills 3, 376 

Steel castings 3, 119 

Women's and misses' dresses (except house dresses) 3, 003 

Printing: Job and book 2, 652 

Paperboard containers and boxes, not elsewhere classified 2, 427 

Stoves, ranges, water heaters, and hot-air furnaces (except electric) 2, 404 

Chemicals, not elsewhere classified 2, 043 

Men's and boys' suits, coats, and overcoats (except work clothing) 1, 920 

Cars and car equipment — railroad, street, and rapid-transit 1, 883 

Newspapers ^ 1, 392 

Alloying; and rolling and drawing of nonferrous metals, except aluminum . 1, 304 

Gray iron and semisteel castings 1, 233 

Men's and boys' shirts (except work shirts), collars and nightwear 1, 199 

Source: Industrial Bureau, St. Louis Chamber of Commerce. 

Exhibit B. — "Priorities Unemployment" in Industrial St. Louis 


^ The St. Louis Chamber of Commerce was requested by investigators to prepare 
for the St. Louis hearing of the House Committee Investigating National Defense 
Migration a statement concerning present and anticipated unemployment 
resulting from priorities and the allocations program. 

Believing that unsupported opinions are a poor substitute for facts the president 
of the Chamber of Commerce instructed the Research Bureau to survey the 
manufacturing industries of the four-county St. Louis industrial area to determine, 
if possible, what curtailment of employment had already taken place and what 
curtailment is anticipated before February 1, 1942. Accordingly, a simple 
questionnaire (see appendix I) was designed and on November 1, 1941, mailed 
with an explanatory letter to 1,331 manufacturers in the area. 


To date 685 replies have been received. As 52 of these were either incomplete 
or arrived too late for inclusion in the tabulations the following summary deals 
with only 033 manufacturers (see second footnote on table I). An effort has 
been made to summarize the findings as completely as possible in a scries of 
tables, thereby reducing explanatory comment to a minimum. 

Tables I and II present the broad general findings of the survey. Subsequent 
tables present more detailed analyses of the findings. 

Table I shows that — 

1. Almost half of the companies (311) have participated in the defense program 
through direct contracts, subcontracts, or both. 

2. Eighty-seven companies, including 43 that have had defense work, have 
already curtailed employment; 70 of these companies laying off 2,415 workers; 
the remaining 17 not reporting the number of workers laid otf. 

3. Almost one-third of the companies (204\ including 78 of the 87 that have 
already curtailed, expect to lay off workers within 90 days of November 1, 1941. 
One hundred sixty-six of these companies report they will lay off 7,648 workers. 
The remaining 38 companies are unable to estimate their total anticipated lay-off. 
Some other companies indicated that, while they anticipated no curtailment 
within 90 days, they would be forced to curtail later unless they obtained defense 
work or could otherwise secure necessary materials. 

4. Two-thirds of the companies are seeking defense work, but of those who 
have already had such work 40 are not now seeking it, several commenting that 
they alreadj' have all they could handle. 

Table II, in effect a continuation of table I, analyzes the employment changes 
between November 1, 1940, and November 1, 1941. 

1. Total employment increased 26 percent in the year. 

2. Proportion of female employees declined slightlv in the companies that had 
participated in the defense program and increased slightly in the companies that 
had not participated in the program. 

3. Employiiient in companies that have participated in the defense program 
increased 33 percent. Employment of nonparticipating companies increased by 
only 7 percent. 

4. More than half of the companies have increased employment, 152 have 
remained stationary, and 124 have decreased employment within the year. 

5. Seventy-four of the companies with lowered employment did not attribute 
the decline to inability to obtain necessary materials. 

Following this general examination the returns were classified by industry and 
retabulated. The major industry groupings used by the United States Bureau of 
the Census were followed in sorting the returns. The small number of replies in 
certain groups, however, made it appear advisable to combine these with the most 
closely related group (for example, the lumber and timber basic products group 
was combined with furniture and finished lumber products), or to include them 
with the miscellaneous industries. 

Tables III and IV analyze the effects of the defense program and "priorities 
unemployment" in terms of 14 major industrial groups. These tables show quite 
clearly the industries least affected as well as the industries most seriously affected 
by priorities. 

To summarize: 

1. Every major industry has participated in the defense program. 

2. Every major industry has had some relatively small curtailment of employ- 

3. Every major industry anticipates further curtailment, some slightly, some 
to a much greater degree than they have experienced up to now. 

4. As was to be expected, the greatest numerical curtailment to date, as well as 
the greatest anticipated curtailment is found in the iron, steel, and their products 
group. (Note: Because of the small number of companies reporting in some 
industries it would not be wise to generalize from the information in table III on 
the relative effect of priorities on the several major industry groups.) 

5. Very little curtailment has taken place and very little is anticipated in the 
food, apparel, paper products, and stone, clay, and glass products industries. 

6. The majority of the companies in every industry, except the food and apparel 
industries, are seeking defense work. 

7. The greatest employment increases have been in the metal working, chemical, 
and leather products industries. 

8. In every major group the number of companies that increased employment 
in the last year is considerably larger than the number that decreased employment. 

9. In no industry did the majority of the companies with decreased employment 
attribute such decrease to inability to obtain necessary materials. 

8714 ^'''- I''»^^Ii^ HKA RINGS 

HaviiiR rxainiiH'd the over-all |)ri(irilics niK'niplnymoiit piolun and tlic picture 
by inajrir iiuiustry, attention was next turned particularly to l.ha.t. ^rouj) of 213 
coinpani(>s feelinf;; tlie pinch of ijriorities. These companies ar«' exaininod at 
some leuKtli in tal)les \' and VI. 

1. Slif^htly more than half of those companies (109) have participatod in the 
defense program. 

2. More than three-fdurtlis of the all'ected companies ar<' seeking defense work. 
Many of the remainch-r indicated lliat they were not eciuipjx'd to handle defense 

3. Seventy companies r(i)ort<(l actual curtailment of 2,41 ii workers, an average 
of 35 workers per company. 

4. Only H)() of the 204 com|)anies anticipating curtailment rej)orted the number 
of workers to he laid off. If the additional companies lay off on the average just 
as the 10(> anticipate, workers to he atfected will increase bv approximately 1,800 
toatotalof 9.."i00. 

5. The companies affected now employ 4,01.5 more persons than on November 1, 

1940. Within 90 days, however, thev will be emploving from 3.000 to 5.400 
fewer than in 1940. 

Table \'I r(>v(>als that — 

1. Fifty comj)anies will be forced to close within 90 days. It sliotild be noted 
that although only 50 have indicated that their anticijjated curtailment will 
force them to close, the practical effect on many other companies in this group 
will be about the .same as closing. If these addil ional companies curtail as antici- 
pated, they will be reduced to nothing mor(! than skeleton staffs. 

2. Seventy-eight percent of th<' curtailnnrnt to date has been forced on com- 
panies with more than lOOemjiloyees. 

3. Seventy-five percent of the anticipated curtailment is in these same large 
companies, eight of which indicate they will be forced to 

4. Forty-six of the affected companies have less than ten employees. Twenty- 
six of this forty-six will be forced to close. 

While the questionnaire did not call for comment, a number of manufacturers 
took occasion to comment on the problems affecting them. Representative of 
such comments are the following : 

"Due to restriction on use of brass our company will be out of business on 
January 1, 1942, some provision is made that inventory of material (brass) 
may be used." 

"We have an inventory to last about 6 months; after that is u.sed we do not 
know whether or not we w-ill be abl(> to get a supply of patterji paper. Brass 
companies advised they could not sell us any more brass binding after November 1 , 

1941 , due to not having defense contracts." 

"Inasmuch as w^e use a rather large amount of steel in our business, normally, 
about 10,000 tons per year, and as it was apparent that we were not going to con- 
tinue to receive steel for advertising signs, the writer went i.o Wa.shington and 
called ujjon the Office of Production Management with pictures of our plant and 
of our equipment. 

"Our plant happens to be the second largest one-story, modern factory in St. 
Louis. W^e have 9 acres of industrial property fenced in, with a side track, and 
with 3 acres under one roof. Inasmuch as the United States is suppo.sed to be 
involved in quite an emergency we thought our factory Avould be of value to the 
Government. Our equipment, we realize, is not of any particular value for defense 

"Much of our l)usiness will also be lost due to the restriction on the use of copper, 
both for as.sembly and for our copi^er i)lating." 

"We urgently need work to avoid shut-down during second quarter of 1942." 

"Half or more of our employees may be laid off if we cannot secure specially 
denatured alcohol." 

"Had to pass up 170,000 8-ounce bottles of lemon extract due to fact that a small 
outfit like ours can't get alcohol. The priorities and Office of Production Manage- 
ment are working for big outfits only." 

"I might add that if we were to receive tlie brass parts we have ordered during 
the past year from our suppliers, most of these parts being practically completed 
and of no value to the Governnient or any one else except for its scrap value, we 
would be able to reduce quite substantially the percentage of the number of 
emj)loyces we will be forcecl to lay off about December 15." 

"We are a small manufacturer, making a specialized product containing chlo- 
rine — month (October) 88 percent of our volume contained this element. 

"We have been in bu.siness since 1930 aTid have a very satisfactory small busi- 
ness. The verv nature of our business makes chlorine absolutely essential to our 


existence, to have it curtailed even 10 i)ercent will make it impossible for us to 
continue in business — as this 10 percent represents the difference between profit 
and loss. 

"If such should hapi)en- — not only will our 11 years of work be gone but our 
entire investment of several thousands of dollars will be entirely wiped out, 
because our equipment is set up for this one puri)ose only and will be valueless 
for any other puri)ose; re the handling of cholorine in gas form. 

"Through foresight — before priorities, we gained a little stock which will carry 
us a month or two only beyond the QO-daj' ])eriod called for in your questionnaire." 

While there has been much discussion of the effects of priorities on manu- 
facturers, less attention has been paid to their effect on com]:)anies engaged pri- 
marily in wholesale distribution. Accordingly, an effort was made to obtain from 
St. Louis wholesalers information similar to that asked of manufacturers. Ques- 
tionnaries were addressed to 235 wholesalers in all lines of distribution. A total 
of 91 replies were received. These are summ.arized in table Vll. 

1. While most of the wholesalers have not yet curtailed, 7 have already dis- 
missed workers and 11 expect to within 90 days. 

2. Employment of these wholesalers has increased 10 percent within the year. 
(Only 87 companies reported employment figures. This accounts for the failure 
of items V c, d, and e, to total 91.) 

3. Half of the com.panies reporting have supplied materials for the defense 
program either directly or as subcontractors. 








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Table V. — Companies that have curtailed and/or expect to curtail employment 
because of inability to obtain necessary materials 

I. Total companies curtailing 213 

(a) Companies that have participated in the defense pro- 
gram 109 

(6) Companies that have had neither direct nor subcontracts- 104 

II. Companies that have already curtailed employment from inabil- 

ity to obtain materials ■;-.-- ^'^ 

Companies that expect to curtail employment because of inability 
to obtain materials (this number includes 78 companies that 

have already curtailed) 204 

III. Number of workers already laid off 1 (70) 2,415 + 

Number to be laid off in 90 days ^ (166) 7, 648 + 

Total workers affected 10, 063 + 

IV. Companies seeking defense work 169 

Companies not seeking defense work 44 

V. Number of workers employed: 

(a) Nov. 1, 1941, total 25,649 

Male 18,276 

Female 7,373 

(6) Nov. 1, 1940, total 21,634 

Male 15, 812 

Female 5, 822 

(c) Number of companies whose employment increased from 

1940 to 1941 110 

Total increase 5, 408 

(d) Number of companies whose employment has not 

changed 41 

(e) Number of companies whose employment decreased from 

1940to 1941 62 

Total decrease 1, 393 

> Figures in parentheses are number of companies reporting number of workers affected. 

Table VI. — Companies that have curtailed or expect to curtail employment from 
inability to obtain necessary materials 

of com- 

will be 
to close 


90 days 



Nov. 1, 

Nov. 1, 

Companies employing— 

More than 100 workers 

50 to 99 workers ... 










21, 052 


17, 239 
2, 119 

25 to 49 workers 

10 to 24 workers .. . 


Less than 10 workers 







10, 063 


21, 634 

8722 S'J^'- L.l^UIS ILEAKINGS 

Table VII. — The effect of priorities unemployment and the defense program on 

St. Louis wholesalers 

I. Total companies reporting 91 

(o) Companies that have had direct defense contracts 25 

(6) Companies that have had sul:)coritracts 35 

(c) Companies that have not participated in defense work 45 

II. (a) Companies that have curtailed employment because of inabihty 

to obtain merchandise 7 

(6) Companies that have not curtailed employment 84 

III. (a) Companies expecting to curtail employment within 90 days 11 

(6) Companies not expecting to curtail employment within 90 days_ 80 

IV. (a) Number of workers already laid off (6) _ _ 60 + 

(6) Number of workers to be laid off (8) 175 + 

Total workers affected 235 + 

V. Number of persons employed: ' 

(a) 1941, total (87 companies) 7,233 

Male 5, 936 

Female 1, 297 

(b) 1940, total (87 companies) 6,553 

Male -- 5, 460 

Female 1, 093 

(c) Companies that have increased employment from 1940 to 

1941 47 

Amount of increase 76 1 

(d) Companies that have had no change in employment 26 

(e) Companies that have curtailed employment 14 

Amount of decrease 81 

• 4 wholesalers did not supplj' information on employment. 

Exhibit C. — Supplementary Statement on Employment of Large Defense 




Employment of 12 of the largest defense plants in industrial St. Louis on August 
1, 1941, and anticipated peak employment of these same companies according to 
present schedules: 

Present em- 




Aug. 1, 1941 























4, 100 



Atlas Powder Co 

Carter Carburetor Co 

Century Electric Co 

Curtiss-Wright Corporation -.. 

Emerson IClectric A Manufacturing Co. (turret plant) 

McDonnell Aircraft Corporation 

McQuay-Norris Manufacturing Co 

Monsanto Chemical Co .- 

Scullin Steel Co 

U. S. Cartridge Co 

Wagner Electric Co 

Western Cartridge Co 




Note.— This report does not include the General Steel Castings Co. plant, subsequently annoimced, for 
Granite City, 111. This plant is not scheduled for completion within the year. When completed, it will 
employ 1,500 additional workers. 




The Social Planning Council of St. Louis and St. Louis County is concerned 
solely with the social problems of the community. The council seeks by every 
means possible to know and to devise methods of meeting the problems of human 
relationships which fall roughly in the following areas: 

1. Famil}'- and individual care. 

2. Child care, both home and institutional. 

3. Recreation and group work. 

4. Health and hospital care. 

The council, as its name implies, has an entity only in its widespread member- 
ship which consists of approximately 135 agencies, departments of agencies, and 
bureaus, each of which is actively engaged in social work either directly with 
and for families, individuals, or groups, or with conditions which influence the 
welfare of families, individuals, and groups. 

The membership includes voluntary agencies supported by voluntary contribu- 
tions and governmental agencies supported by tax funds. The council itself is 
a voluntary body which has only that measure of authority imposed by the mem- 
bership on itself. It in no sense assumes or desires to assume the character of a 
superagenC3\ Its strength rests in its cooperative character which emphasizes 
the individual responsibility of each member agency and the citizenship. 

As a planning body, the council maintains a research department participated 
in and at the service of its membership. Through this department factual data 
are gathered routinely wherever that is indicated, and through special studies 
whenever special studies are indicated. The research department cooperates 
with all major research bodies in this area, of course, in related fields, so that 
there is collaboration and supplementation so far as the gathering and use of 
socially important facts are concerned, and little or no duplication. 

The council membership is pledged to submit any and all significant changes in 
activity programs to the whole partnership for critical appraisal before such 
changes are effected. Through its department on social action, the council seeks 
on the basis of sound planning to influence through legislative action, through 
public opinion, and all possible legitimate means, social-welfare activities which 
clearly fall within its sphere of activity. This means determining in as far as 
this can be done trends of social prot)lems as indicated by known facts; it means 
interpreting for the information of all concerned facts and trends; it means coun- 
seling in respect to agency and departmental programs wherever and whenever 
such counsel is sought and acceptable. 

The statement submitted to your committee is, therefore, to be considered as 
the statement of the combined council membership and by no means as the state- 
ment of an individual agency staff. It has been prepared for planning purposes 
at this time with special care because of the obvious fact that the Federal defense 
program is so comprehensive and so far reaching that all social institutions of 
whatever kind will to a greater or less degree be influenced by it. The council 
offers its information to your committee as the contribution of the social agencies, 
voluntary and governmental, of St. Louis and St. Louis County to national 


It became apparent several months ago that radical changes in population and 
emploj-ment were in store for the St. Louis area as a residt of the defense program, 
and that these changes were to have severe effects upon the health and welfare 
structure and activities. We felt it necessary to be in a position to forecast, as 
far as possible, the conditions to be expected and to be prepared to cope with 
them when they arrive and wherever they are found. 

We have, accordingly, collected all information bearing upon the question of 
employment and population changes from all locatable sources. Facts upon which 
to base any definite statement of the present condition or forecast for the future 
are sadly lacking. It is possible, however, to collect piecemeal facts which, when 
brought together, give us a fair picture of the condition. We were also able to 
obtain estimates from those who should know conditions. Such estimates and 
predictions, however, must be checked and analyzed according to their sources. 


the methods of compiling the information, and comparability with similar 

These items can also be checked against the council's knowledge of previous 
conditions and trends in employment and migration. The various divisions and 
committees of the council liave for a number of years worked with problems that 
are basic to and will furnish background for our present conditions. An example 
of this is the conunittee on nonresidents, which for the past 15 years has studied 
and advised on care for nonresident individuals and families by the local public 
and private agencies. Also, the St. Louis Youth Commission, a subdivision of 
the council ajipointed in 1938, has conducted a very extensive survey of conditions 
among youth, and during this process has collected much information concerning 
the migration of rural youth to the city and the effect of this migration upon the 
urban youth problem. The work of this committee, for example, enables us to 
estimate with a reasonable degree of accuracy the composition and characteristics 
of the present migrants to the St. Louis area. 

In the following presentation, we are in most cases discussing conditions as they 
are found over the entire metroi)olitan area of St. Louis, which includes St. Louis 
City, St. Louis Co\inty, and ])ortions of Madison and St. Clair Counties in Illinois, 
including East St. Louis. The territory normally covered in council activities in- 
cludes St. Louis City and County only, but we have foTuid that certain problems, 
particularly those pertaining to the labor force and employment, are area wide and 
cannot well be localized into the Misouri section of the area. The material per- 
taining to the health and welfare structure itself, however, relates only to St. 
Louis City and County. 

We have considered all available facts and estimates against the background of 
our experience and knowledge of conditions, and have reached the following con- 
clusions regarding population and employment: 

(1) The population of St. Louis City and St. Louis County has increased by ap- 
proximately 40,000 persons in the past 18 7nonths, or since the census of 1940. — This 
would make the combined population of the city and county approximately 
1,130,000 persons. Estimates made by other individuals and organizations range 
from a low figure of 125,000 by the city administration to a high of 200,000 by the 
local office of the Public Works Administration and the St. Louis Coiuity Chamber 
of Commerce. The St. Louis County Planning Commission a number of months 
ago, and before the defense program had taken full form, estimated a total county 
population of 325,000 by the end of 1943, which would represent a 50,000 growth 
in 4 years. 

The 1940 census reported a population of 816,048 for St. Louis City, and 274,230 
for St. Louis County, or a total population of 1,090,278. This represented a loss 
of 5,912 in the past 10 years for St. Louis City, and a growth of 62,637 for St. Louis 
County, or a net increase for the city and county of 56,725. It can be seen from 
this that over the past 10 years the normal increase in the population, city and 
county, has been approximately 5,700 per year, and on this basis about 8,500 of our 
estimated 40,000 increase would represent normal growth, and the other 31,500 
an abnormal increase from migration due to defense employment. 

Our estimate of 31,500 persons migrating into the city and county in the past 18 
months is based upon consideration of a number of factors. One of these is the 
number of dwelling units that have been taken up since April 1, 1940. The census 
reported 16,300 vacant dwelling units in St. Louis City and over 4,500 in St. Louis 
County, a total of 20,800. A check made by the Work Projects Administration 
in January 1941 showed approximately 21,000 units for sale or for rent. In the 
meantime, however, approximately 4,600 dwelling units had been constructed. 
A vacancy census made by the St. Louis Post Ofhce in August 1941 reported 
slightly more than 6,800 vacancies in the metropolitan delivery area, with about 
3,500 additional units under construction, a total of approximately 10,300 shortly 
available. Some of these reported as under construction must be discounted, 
however, as this includes approximately 1,000 units in two housing projects which 
replace demolitions and do not represent net gains. Neither is it possible to make 
a direct comparison between the post-office count and that of the fnited States 
Census or that of the Work Projects Administration, as the bases for counting 
were different. We can be certain from this, however, that at least 10,000, and 
probably about 12,000 to 13,000 dwelling units have been taken up by new families 
in the past 18 months. Not all of these, of course, are directly chargeable to 
migration. The marriage rate in th(> area has been nuich higher in the past year 
than in any previous period, which means that an unusually large number of 
couples are setting up housekeeping. We also know that during the depression 
period many families had doubled up on housing and that with the increase in 
employment opportunities, much "undoubling" has taken place. 



The general employment situation also offers further evidence of considerable 
increase in population. Indications arc that approximately 640,000 persons are 
at work in the St. Louis area, including the Illinois portion, while the United States 
Census of April 1940 reported a total labor force of 616,000. Many of these 
additional workers have come from the ranks of those not previously coimted as 
members of the labor force, but many others have undoubtedly come as a result of 
migration into the area. This is discussed in greater detail in a later section, but 
it does indicate beyond a doubt that population has increased. 

Figures regarding the school enrollment of 1941 as compared to the opening of 
school inl940 do not throw much light upon the population situation. The de- 
crease in school enrollment in the city of St. Louis is approximately 3,500, with 
most of the decrease occurring in the academic and technical high schools. School 
enrollment in the county has increased about 2,500, a figure which could be ac- 
counted for by the normal population increase. This does indicate, however, 
something of the characteristics of the individuals and families who have come into 
the area. 

We do note that the migrants into the area are not of the usual nature. Mi- 
grants to the St. Louis area are traditionally from the rural sections to the south, 
southeast, and southwest. Information regarding the present group insofar as 
they have arrived, shows that they come from widely scattered sections of the 
country. One principal of a city school located in a rooming-house area, who 
enrolled approximately 300 new students this year of a total enrollment of ap- 
proximately 900, reports that these families have come from 21 different States, 
with only a small proportion coming from out-State Missouri. As most of the 
defense work in this area so far has been construction work, this report would fit 
into the general pattern. We do not know, of course, whether these construction 
workers will tend to stay in St. Louis for later defense jobs, or whether they will 
attempt to move on to other construction projects and to be replaced by factory 
and production workers. 

Our estimate of the composition of the 40,000 population increase is as follows: 





of work- 


16, 700 
15, 000 



1 7, 500 


Migrant families - - 


Migrant individuals - - - 



40, 200 

26, 325 


' At 45 percent of the total population group, a known figure for St. Louis. 

2 No allowance is made for additional rooming houses opened up for individuals. 

This indicates a ratio among the migrant workers of 15,000 individuals to 7,500 
family members, or a ratio of 2 to 1. Past experience with the rural-urban 
type of migration into the St. Louis area has shown us that well over one-half of 
such migrants are normally lone persons. We believe that this ratio would run 
much higher in the present type of migrant, as surveys have shown that many 
of the family men who would normally bring their families with them have left 
them at home under present circumstances, apparently on the theory that a 
defense job may be temporary.' The fact that most defense jobs so far have been 
construction jobs requiring skilled workers would also lead us to believe that 
these migrants are older than the usual run. Such workers would most likely 
be those who had established homes in other communities, and we doubt if they 
would break up such homes unless they were sure of employment in the city. 
Advance reports from the Work Projects Administration survey of defense migra- 
tion just completed in St. Louis are that the proportion of lone persons to family 
persons in migrant workers is running over 60 percent of the total. From all of 
these factors, we do not believe that our estimate of 2 to 1 is very far out of line 
with present conditions. 

It could also be noted from the above break-down that this analysis would 
account for approximately 7,175 homes. We have made no allowance here for 
additional homes being taken up for use as boarding houses. We know that 
many formerly vacant residences are being so used, but because of lack of informa- 
tion as to the number or proportion, we have not attempted to estimate it. 

1 See Community Problems in Defense Areas, by T. J. Woofter, Jr., Director of Research for the Federal 
Security Agency. Also borne out by a study of Defense Housing in Louisville, Ky,, made by Real Estate 
Analysts, Inc., of St. Louis. 


(2) Employtnenl in the St. Louts area will ahortly level off at or near the present 
figure of 640,000 employed. — Wo oxpcct tho toiidoiicy toward unornijloymrnt in 
certain fields to soon offset the further increases to be expected from defense 

The best available estimates we have been able to obtain of the number of 
workers needed on defense projects during the coming year arc from the Research 
Bureau of the St. Louis Chamber of Conmicrce. A recent survey made by them 
(which will undoubtedly be reported in full to this committee) reveals that the 
largest producers of defense materials here, and this includes all large contracts, 
will employ a])proximately G8,400 workers when operating to scheduled capacity. 
This point will not be reached, however, before midsummer of 1942. In the mean- 
time, these y)lants are now employing 31,400 persons, exclusive of construction 
workers, so that a net of 37,000 production workers will be added to the labor 
force of these plants over the next 10 months. 

There are certain factors that will tend to offset this net increase in defense 
employment. Chief of these will be imemployment as a result of material short- 
ages or priorities. No definite figures as to the size of this group in St. Louis are 
currently available, but we can accept the national estimate of 2,.500,000 to 
3,000,000 in the coming winter. As St. Louis has slightly more than 1 percent 
of the national labor force, we would expect resulting unemploj'inent locally of 
25,000 to 30,000 persons. This and other factors are discussed more fully in 
later sections of the statement. 

The currently employed group includes between 30,000 and 40,000 construction 
workers as against a normal force of about 11,000 for this area. These 20,000 to 
30,000 are working on temporary or defense construction which will shortly be 
terminated. Some of them may go on to jobs in other centers, and many will 
undoubtedly change to production jobs, but in any case, they will offset an equal 
number of production workers yet to be hired. 

The above estimate of emploj-ment need include only Avorkers on defense proj- 
ects and makes no allowance for service workers. This group is often estimated 
at 1 service worker for each 10 manufacturing or production workers, but we do 
not believe that this ratio would hold for St. Louis. The service trades here were 
estabhshed prior to the advent of the defense projects, and as such projects 
represent only about a 15-percent increase in the general employment in the area, 
we believe that these service trades will accommodate the increase without any 
substantial change in their employment levels. It is also true that most such 
service workers, if it was necessary to hire new ones, are already at work and are 
represented in the total of 640,000 currently employed. Wo should also note 
that priorities and allocations will undoubtedly affect many portions of the retail 
sales trade, which will tend to offset any future employment increases there. 

(3) The labor force of the St. Louis area as at present constituted can meet all de- 
mands now in sight, and no further in-migration will he necessary to supply employ- 
ment needs. — The only way to check this conclusion with an^' degree of accuracy 
is to balance present employment and employment needs against the available 
labor force of the area. 

Here again for a picture of the production workers needed on defense projects, 
we go back to reports of the Research Bureau of the St. Louis Chamber of Com- 
merce. Their survey shows that the defense projects in this area will employ 
approximately 68,400 workers when operating to scheduled capacity, a point 
which will be reached about midsummer of 1942. In the meantime, these plants 
are now emi)loying 31,400 workers, exclusive of construction workers, so that a 
net of 37,000 additional will be needed. 

While this need of 37,000 workers is anticipated, there are certain groups that 
we know can bo supplied from the local labor force. At least 8,000 of thsee are 
expected to be women. The 1940 census recorded an available supply of 15,400 
unemployed women in St. Louis City alone. Many of these have probably ob- 
tained work in the meantime, but against this we must also balance the fact that 
increased employment opportunities can and will draw many additional women 
into the labor market. 

It is expected that at least 4,000 of the additional workers will be Negroes. In 
view of the unemployment among Negroes, approximately 15,000 in St. Louis 
City in 1940, there is no doubt that the labor force can supply any needs from this 
group. If we take the 8,000 women and the 4,000 Negroes from 'the 37,000 needed, 
we have 25,000 white men and boys to be supplied between now and next summer. 
About one-fourth of these will be unskilled, and three-fourths skilled or semiskilled. 
This gives us some picture of the needs yet to be supplied. 

The last factual report upon the condition of the labor force m St. Louis comes 
from the census of 1940. Reports for St. Louis City only are available. They 


show that of a total labor force in the city of 381,000, 324,000, or 84.9 percent, 
were employed; 3.7 percent were working on public emergency work and an addi- 
tional 11.5 percent seeking work, making a total unemployed group of 14.1 per- 
cent. Of the 57,000 unemployed, about three-fourths were men and one-fourth 
women. Three-fourths were white and one-fourth Negro. At that time in St. 
Louis City the following persons were available for employment: 





67, 739 


Male-- . 

42, 338 




10, 721 


74 7 

Negro _ . 

25 3 

Female. . . 

15, 401 




10, 921 




Negro .... 


While complete census reports are not available for other portions of the metro- 
politan area, other information is available which enables us to build up a picture 
of the labor force. For example, we know from census reports that 46.7 percent 
of the population of the city is usually found in the labor force, and that approxi- 
mately 40 percent of the population of St. Louis County is either working or look- 
ing for work. From the general character of the populations, we can also conclude 
that the Illinois portion of the metropolitan area would follow the same general 
pattern as St. Louis City, so that we can build up the following composite labor 
force for the entire area as of April 1, 1940: 

St. Louis City 

St. Louis County 

East Side 

Total in labor force 




109, 692 
125, 316 

616, 510 

523, 417 
93, 093 




2 84.9 

> Percent of population. 
' Percent of labor force. 

The normal increase of the population, approximately 7,000 annually for the 
area, would have increased this labor force by 4,700 by September of 1941, making 
a total available labor force at that time under normal conditions of 621,190. 

We previously estimated, however, that the population of St. Louis City and 
County has increased in the past 18 months by 40,000, and that 26,325 of this 
would represent additions to the labor force. A comparable population increase 
on the Illinois side would represent 10,000 persons, with 4,500 workers, a total 
addition of 30,825 to the labor force of the area. 

A large number of persons who do not ordinarily consider themselves as candi- 
dates for work are also known to have joined the labor force because of the 
increased job opportunities. No accurate figures regarding the size of this group 
are available. We know, however, that they come largely from three sources: 
(1) From those who in recent years have been counted as part of the school group, 
but who are now either looking for work or working. We know from previous 
studies that high-school enrollment in St. Louis City practically doubled between 
1930 and 1940, and it was the general conclusion that young people were going to 
high school because they could not find work. This trend has been reversed. 
High-school enrollment in St. Louis City at the beginning of this school year was 
1,700, or 7 percent, less than last year. Enrollment in the technical high schools 
decreased 20 percent from last year. (2) Women who, while not normally classed 
as part of the labor force, have either accepted jobs or are looking for them. 
This would include housewives, mothers, and single women who are attracted by 
employment opportunities and a chance at what they believe to be big wages. 
(3) Elderly or retired workers, particularly in the skilled trades, who have been 


drawn hack into the labor force by the need for their skills and the attraction of 
hitili wanes and overt iine pay. We do not believe tlial tiiis group will include 
many unskilled workers. 

We grunt that any attempt to meastire the number of person.s so drawn in is a 
risky procedure, l>ut if we are to have any picture of the i)resent lal)or force, some 
estimate is necessary. We believe that this group will include approximately 
35,000 persons. This will rej)resent slightly more than 5 jx^rcent of the original 
labor force and, we do not beli(>ve, is very far out of line witii actual conditions. 

The labor force of the metropolitan area would now ])res(!nt the following 

Labor force as of Apr. 1, 1940._. CI 6, .510 

Workers due to increased population 30, 825 

New workers drawn into the labor force 35, 000 

Labor force as of Sept. 30, 1941 682, 335 

Reports from the Bureau of Labor Statistics give us a fairly accurate index of 
employment in the St. Louis metropolitan area. We previously pointed out that 
623,417 persons were employed on April 1, 1940. Monthly reports compiled since 
that time indicate that the employed group had increased by approximately 
80,000 up to July 1941. with a total working force of 618,904 at that time. If 
employment continued at approximately the same rate, this group would have in- 
creased to about 640,000 by September 1941. The employment situation would 
then have been as follows: 

Estimated labor force 682, 335 

Employed __. 640,000 

Unemployed 42,335 

There are many indications that there is still a large backlog of unemployed 
in the St. Louis area. The active file of the Missouri State Employment Service, 
serving St. Louis City and County, throughout the summer numbered consistently 
around 80,000 applications, and has never been below 70,000 for any month in 
1941. The figure for September was 70,877. Work Projects Administration rolls 
for St. Louis City and County have fallen only slightly below the July figure, and 
now stand at ai)proximately 8,800. General relief rolls, which were cut in July 
and August by the elimination of most employable single persons, still number 
5,233 cases, of which approximately 820 are classed as employable. During the 
month of September, over 23,000 persons in St. Louis and St. Louis County 
received unemployment compensation checks. These account for a total of 
over 32,000 employables receiving compensation or assistance in St. Louis City 
and County alone. 

From all of these indications, we are quite sure that our estimate of 42,335 un- 
employed is certainly not too high, and may actually be too low. 

An additional factor that will serve to check withdrawals from the labor force 
within a few months will be the leveling off of Arm\^ service. At the present 
time approximately 10,000 St. Louis City and County boys have been called 
under the Selective Service Act or have enlisted. It is expected, however, that 
by the first of the year discharges will equal inductions, so that there will be no 
further net loss to this source. 

All of these factors give us strong indications that the St. Louis labor force as at 
present constituted can meet any future labor demands that are now in sight, and 
that no further in-migration will be necessary. There may, of course, be a few 
skilled occupations in which shortages will exist, and importations for this pur- 
pose may be necessary, but the number involved will be small. It is also possible 
that additional defense contracts or plants may be awarded in this area and 
throw the whole picture as we now see it out of line. However, if employment 
levels off, as we anticipate, the labor force will be able to fill all jobs, and there 
will still be a large reserve of unemployed. 

(4) Persons now in St. Louis will obtain the best jobs both in defense industries 
and in regular private employment, which means that those migrating into the 
city after this time, if they secure employment at all, will be forced to take the 
lower-paid jobs. 

Most of the defense plants have developed employment policies which will 
make it almost impossible for recent arrivals in the St. Louis area to secure any 
of the skilled or semiskilled jobs. The old policy of "gate hiring" has practically 
passed out of existence. Most firms have set up training schools where produc- 
tion employees are given several weeks training and paid a beginning wage during 


the training period, in advance of the need in the plant. They are also building 
up new eniplovnient files of current applications, so that when the need arises, 
they will have the necessary employees lined up. Requisitions for training jobs 
are being filled through the State employment oflace, which does not accept ap- 
plications from persons in the city less than 30 daj-s. 

All of this is evidence that the defense firms are planning their employment 
needs prettv far in advance so that they will not be caught short when employees 
are needed 'to begin operations. It also indicates that there will be little oppor- 
tunity for an outsider coming into the St. Louis area to secure anything other 
than an unskilled job in defense plants. 

We have alreadv mentioned the fact that the active file of the Missouri State 
Emplovment Service in this area numbered over 70,000 in September. This 
file is "known to contain applications of many persons who are now employed 
but who wish to change to better jobs. Much of this changing is a readjusting 
process, as manv persons were undoubtedly employed below their occupational 
skills. There are also other evidences of much shifting of employment. There 
are reports, for example, of beauty operators leaving that employment and going 
into factorv work because the hours and wages are better. There are also reports 
of shortages in domestic service because persons normally employed there can 
secure better wages on factory jobs. 

Several labor pools have been set up in this area to facilitate the transfer of 
skilled or semiskilled workers from jobs closed because of material shortages to 
defense jobs. 

Estimates recentlv made by the Office of Production Management and pre- 
sented to this comrnittee at the time of its Washington hearings show that ap- 
proximately 85 percent of the defense employment in the State of Missouri will 
be professional, skilled, and semiskilled workers, and only 15 percent unskilled 
jobs. We know that most migrants, particularly those who will be coming in 
from now on, are unskilled workers so far as factory employment is concerned, 
and that few of them will be eligible for defense jobs. 

All of this indicates that migrants to the city, and particularly those coming 
in this winter, will not be able to get into defense jobs, but will find it necessary, 
if thev secure emplovment at all, to take private employment. We anticipate 
that most of them will fall into the unskilled and domestic workers, the lowest- 
paid groups. 

(5) Migration to the St. Louis area will continue. — We base this conclusion 
upon past experience, and rather largely upon our knowledge of human nature. 
Present migrants to the city are getting jobs. The general publicity in news- 
papers and other media is that of boom-town employment, and the general 
public believes that there is no more unemployment. It is extremely difficult 
to convince the average person of the facts about the employment situation; it 
will be even more difficult to convince the marginal rural family that there is 
little or no opportunity for it in the city. 

Missouri State Employment Service in its radio publicity, and a number of 
other agencies, have constantly attempted to discourage unplanned migration, 
and have urged people to register at their local employment offices so that planned 
transfers of needed labor could be made. We know, however, that as long as the 
people at home receive word of employment being secured in the city, they will 
continue to migrate, and this migration will continue until unemployment becomes 
so large that there is no misunderstanding the condition. 

We expect the real wave of this migration into the St. Louis area to begin about 
midwinter. There are current reports of shortages of farm labor in the surround- 
ing territorv, and current wages for farm labor are higher than in recent years. 
This will tend to keep these persons at home until the harvest season is com- 
pleted. How long the wave of migration will continue depends entirely upon the 
emplovment situation and upon how rapidly the reserve of unemployed builds up. 

We have pointed out in an earlier section of this statement that migration to 
the citv during the past year has been of a different character than that usually 
found. "^ Migrants to St. Louis in the past two decades have been largely from 
southeast Missouri, Arkansas, southern Illinois, and western Kentucky, Tennessee, 
and Mississippi. Migrants during the past year have been from points widely 
scattered throughout the United States, with little centralization from any one 
section. We believe this was because this migration has been largely one of 
skilled and construction workers, rather than the usual unskilled, rural resident. 
We anticipate that the migration in the winter of 1941-42 will return to some- 
thing of its old character; that is, the migrants will come from contiguous rural 
territory, will be largely unskilled in respect to urban employment, and will prob- 
ably consist of a higher proportion of families than during the past year. 


It is this group of unnecessary migrants that will need the help of the social 
agencies during the coining winter. We anticipate that most of them will fail to 
secure employment, and that a large proportion will become stranded in St. Louis. 
Under such circumstances, they will undoubtedly rely first upon the support of 
relatives and friends in the city, and secondly upon the support of welfare agencies, 
before they return to their marginal existence on the farm. 


The chief interest of all this to us at the Social Planning Council lies in its 
effect upon the welfare structure and activities of the agencies involved. The 
shifting employment picture will have drastic effects upon the work of certain 
agencies, particularly those in the public field, and the rapidly growing popula- 
tion as a result of improved employment opportunities will result in tremendously 
increased pressures in certain fields of welfare activity. These agencies look to 
the Council for information and leadership which will enable them to meet these 
increased pressures. 

In dealing with the problems arising from defense activities, we have attempted 
to maintain and to encourage our cooperating agencies to maintain a balance and 
perspective in all considerations. This is sometimes difficult for agencies or organ- 
izations who deal with only one segment of a field of service or with only i)artof 
a particular problem, and do not have at hand the information as to over-all con- 
ditions or what is happening in other parts of the field or in other sections of the 
welfare structure. It is at that point that the coordinating machinery of the 
Social Planning Council, equipped to make the entire picture available to all 
agencies and all fields, is particularly valuable. 

It is often difficult to distinguish between pressures with in-migration as the 
underlying cause and those arising from some other source, just as it is some- 
times difficult to make the distinction between pressures caused by increasing 
employment and by increasing population. This seems to us, however, to be 
more or less immaterial. It is the increased employment opportunities that have 
caused the increased migration and population growth in the area. There is little 
point in quibbling about where in this sequence our difficulties originated. 

This becomes apparent, however, if we attempt to analyze the effects upon the 
welfare structure and activities; most of the current problems and expected diffi- 
culties reflect unmet needs of the past which are intensified by the pressures of 
the emergency period, rather than new problems brought in with the incoming 
population. The functioning agencies have experienced all of these in the past 
in greater or less degree and, given careful planning and sufficient funds, can easily 
be equipped to meet them as they arise. 

Perhaps the best way to illustrate the effects of increased employment and 
population on the welfare structure is to analyze the picture field by field. 

Services to families and individvals.- — This field includes the various types of 
public assistance (such as Work Projects Administration, general relief, aid to 
dependent children), the private family- welfare agencies, private agencies dealing 
with lone persons, and agencies and institutions serving aged persons. 

It is in this field that the effects of applications by nonresidents of the area 
are most likely to be felt. These would come in the public general-relief cate- 
gory, cared for in St. Louis by the St. Louis city and county offices of the State 
social-security commission, and in the private-family agencies. The current pol- 
icy of the social-security commission is to accept applications from nonresident 
families on a temporary basis only, pending the return of the family to its legal 
residence. This is an administrative regulation of the social-security commission 
caused in the main by a long-continuing shortage of sufficient funds for general 
relief; it is not a part of the social-security law in Missouri. 

Private agencies in the field have no such regulation. They accept nonresident 
families according to the needs and problems of the family, and may keep them 
in the community or may advise a return to the home community. In this respect 
we notice a change that seems to bo taking place in the practice of the private 
family agencies toward nonresident families. ITnder former employment condi- 
tions a careful analysis of the condition of the family usually indicated that an 
adjustment could be made much better with the family returning to their original 
home. This was usually advised by the agencies. We note now, however, that 
good employment conditions make agencies more optimistic regarding the secur- 
ing of employment in St. Louis, and many of them are currently maintaining non- 
resident families pending employment. This change illustrates the flexibility of 
practice among the private agencies and the facility with which they can adjust 
their practices to changed conditions or needs. 


The case loads of the private agencies have changed very little in recent months. 
There is a slight upward trend which has continued for several years and reflects 
largely the increased service programs of the agencies and an increased number 
of cases in that category, with the number of relief cases remaining approximately 
the same. 

We do, however, note a definite upward trend in applications from nonresident 
families. This trend is unmistakable, but a slight one and does not at the present 
time seem to be increasing at an alarming rate. Agencies report that these families 
apply to them usually for one of three reasons, because they have lost a job re- 
cently obtained, because the family needs advice on health matters and steering to 
proper medical care, or because tliey desire help in getting a job. These families 
have been in town varying lengths of time, some applying after being here only a 
few weeks, and some after several months. At the present time the number is too 
small to form any definite conclusion regarding this phase of the problem. 

Interestingly enough, the agencies also report that a number of families are mov- 
ing out of St. Louis to jobs that have been obtained in other cities. Here again 
the number is not sufficiently large to enable us to draw a definite conclusion, 
but in certain sections of the city there seem to be almost as many moving out 
as there are nonresidents appl5'ing for assistance. 

The effects of priorities upon employment are just beginning to be felt; a few 
scattered cases have been reported by the agencies. One interesting case was 
reported in this connection of a man who had lost two jobs because of material 
shortages; his own small private business was forced to close, and a job which he 
immediately obtained was soon closed out for the same reason. 

One of the most serious problems facing the family welfare agencies at the pres- 
ent time is that of housing for their families. All report that it is almost impossible 
to obtain housing for an evicted family, probably because the landlord prefers 
obtaining cash rent from an employed individual to taking a chance with one 
receiving relief from either a public or a private agency. Many families are com- 
ing to agencies asking steering to available homes. This condition is particularly 
acute in those sections of the city where most newly arriving families attempt to 
settle, and there are many indications that housing is becoming an acute problem 
in all the low-rent sections of the city and county. 

The local offices of the State social security commission report a general lessen- 
ing of applications for general relief, largely in the employable group, which has 
resulted in a considerable shift in the proportion of employables on general 
relief. Six months ago from one-third to one-half of the general relief cases were 
classed as "employable." At the present time only 15 to 20 percent are so 
classed. The September report of the St. Louis City office has the following to 
say regarding the current condition of its case loads, a condition which is matched 
in the county office. 

"There were 61 percent fewer applications received for public assistance in 
September 1941 than in September 1940. Applications for old-age assistance 
have decreased 68 percent, applications for aid to dependent children have de- 
creased 6 percent, and for general relief 71 percent. The decrease in applications 
disposed of each month, however, has not been so great because of the large 
group of old-age assistance and aid to dependent children applications pending 
from previous months. At the beginning of September 1940 there were 3,871 
old-age assistance and 1,569 aid to dependent children applications pending. 
By September 1941 these numbers had been reduced to 1,808 pending old-age 
assistance applications and 356 pending aid to dependent children applications. 

"The disposition of large numbers of pending old-age assistance and aid to 
dependent children applications during the past year has had the eff'ect of increas- 
ing the case loads in these assistance categories. Between September 1940 and 
September 1941 the number of cases receiving old-age assistance increased 17.5 
percent; the number receiving aid to dependent children increased 25 percent. 
At the present time, the number of old-age assistance and aid to dependent 
children cases closed each month about equals the number of applications approved 
for assistance. Should this trend continue, the old-age assistance and aid to 
dependent children case loads in St. Louis will reach stationary amounts soon 
after the first of the year, when it is estimated that pending cases will be on a 
current basis. 

"The general relief case load reflects directly the decline in applications. The 
number of general relief recipient cases decreased 30.5 percent between September 
1940 and September 1941. Restrictions in funds, following the legislative appro- 
priations in July, resulted in the closing of many general relief cases, but these 
"forced" closings account for less than one-third of the total closings in the general 
relief load. Increased employment and the general bettering of business conditions 


are largely responsible for the decline in applications and load. The rate of decrease 
per month lias been low, but stc^ady. Jt is still too earlif, however, to predict a con- 
tinuation of such decrease over the next few months. The general relief case load 
fluctuates widely with chaiiges in economic conditions, and any unfavorable swings in 
the business tr(7ids of non dtfcnse industries or any slackening of the defense activity in 
St. Louis is sure to be follmred by an irtcrease in a})plicntionsfor relief."^ 

Apjilications for assistanee by nonresident lon(> men have been showing a con- 
sistent and steady decline in past months. This is particularly apparent when the 
present period is compared with the same months of last year, and the condition 
exists equally in those agencies otlering service and relief to nonresidcTit men and 
in the shelters giving temi)orary care. We believe that this is due to the fact 
that under present emj)lo3inent conditions in the St. Louis area, any able-bodied 
lone man can soon finrl a job sufficiently remunerative to enable him to be self- 
supporting. The fact that h^ss tiMuporary care is reciuested would also indicate 
that there are fewer such men tra\ cling at the jjresent time. 1"lie only exception 
to this downward trend is noted by the local organization for aid to veterans, which 
reports a considerable increase in requests bj' tliose veterans who have migrated to 
St. Louis and are asking assistance until they receive their first pay check, or are 
requesting treatment or hospitalization due to sudden illness or an acute condition i 
of a chronic illness. 

Ajjplications by nonresident girls and women have increased. The local 
Travelers Aid Society reports that they tend to congregate in centers of increasing! 
population and in defense areas and also are following the concentrations of service! 
men. Travelers Aid also re])orts that they have returned some nonresident] 
families to their homes because they failed to secure employment in defense indus- 

We anticipate a continuing increase in applications from nonresident families and^ 
we think this may well reach serious proportions by the early part of 1942. If oui 
previous estimates as to the employment situation and continuing in-migratioi 
prove to be accurate, there will be large numV:)ers of rural fainilies coming to thid 
area through the winter months, and few of them will secure attractive, if any^ 
emploj^ment. Such families will attempt to get by on the assistance of frienc" 
or to apply to family welfare and relief agencies before they are willing to give uj 
and return to their former homes. The fact that the present trend of ajiplicationfi 
from nonresidents is steadily upward indicates that the advent of cold weathe^ 
and the increasing migration will result in a more serious situation. 

We also anticipate increasing applications from newly unemployed who are forcec 
out of work by material shortages and priorities, and continually increasing 
difficulties in securing housing for families in the lower economic levels. This' 
latter problem, particularly, will undoubtedly reach serious proportions before 
the winter is over. Those organizations or institutions caring for the aged have 
felt few if any effects as a result of defense employment or migration. Institu- 
tions particularly tend to continue on a fairly even keel, with practically no change 
in population levels and none anticipated during the coming winter. 

We previously noted in the report of the Social Security Commission the ten- 
dency of old-age assistance rolls to level off. This agency also reports that so far 
they do not notice any appreciable number of these recipients obtaining defense 
employment. Most of them live as members of families rather than as lone 
persons, and what few effects have been felt are those felt by the family groups. 

We anticipate some slight decrease in old-age-assistance rolls arising through 
two circumstances: (1) Those recipients of old-age assistance who possess certain 
skills needed in defense industries but have been unable to secure employment in 
the past will tend to obtain jobs under the present employment situation. A few 
such cases have already been reported, but we doubt if the number will be large, 
as there are few skilled workers among the recipients of old age assistance. (2) 
Those living as members of families will be indirectly benefited by the improve- 
ment of conditions in these families. This group will also l)c small. 

Services to children. — This field inchides all of the various children's institutions 
in St. Louis and St. Louis County and those public and private agencies dealing 
with foster home care for children. We have also included in this group some ob- 
servations upon the aid-to-dependent-children program administered by the State 
social security commission. (The commission's statement as to the condition of 
the caseloads" in this program was included in the previous section.) 

The practices of the agencies in this field in regard to applications for care by 
nonresidents vary widely. Most of the institutions for children accept children 
from outside St. Louis City and County, but such acceptances are on the basis of 

' Italics are ours. 


applications from the home area of the child, so that while they might be nonresi- 
dents of this area, they are actually not so considered by the institution. The 
foster care agencies are not likely to receive or accept applications for placement 
of children from nonresident families. Under most circumstances such families 
would be referred to family welfare agencies. The Board of Children's Guardians, 
a foster home agency financed l)y the city of St. Louis, is limited, of course, to 
legal residents of St. Louis. Residence requirements for an aid-to-dependent- 
children allowance are set by State statute. The day nurseries in most cases have 
no restrictions uiion residence, and accept children from families who have just 
arrived in this area if the familj- circumstances seem to merit day nursery care for 
the children. 

We believe it safe to say that none of the agencies in this field are feeling any 
pressures directly chargeable to migration. Many of them are, however, feeling 
such pressures as a result of improved employment conditions, largely due to the 
fact that many mothers are apparently going to work to supplement family 

The day nurseries report a steady and rather constant increase in the number of 
applications, beginning to be particularly noticeable in the spring of 1941. This 
increase in aj^plications reflects directly the tendency for more mothers of young 
children to obtain employment. Most of the nurseries are unable to accept the 
bulk of these applications, although investigation shows that thej' would under 
normal conditions merit day nursery care. The situation is complicated by the 
fact that day nurseries in this area were already operating at full capacity and 
facilities have not been expanded so far to allow for a like increase in load. Some 
expansions are now being planned. 

Applications for foster day-care of children are also reported to be increasing, 
although slightly. Programs for foster day-care may offer a partial solution to the 
day-nursery problem, but they can scarcely be expected to absorb the increased 
demand in this field without setting up additional nurser.v facilities. Foster day- 
care is still a comparativel.y new method of caring for children and its full possibil- 
ities are not yet well known, particularly in the St. Louis area. 

We anticipate a continued increase in applications for day-care of children of 
working mothers at least as long as the employment situation continues to be 
favorable. This tendency toward working mothers may also affect the aid to 
dependent children load. Current grants in the city of St. Louis for aid to depend- 
ent children average $25.05 per family and $10.54 per child. With employment 
conditions what they are, it is easily possible for any woman who has worked 
before and has a skill that is currently in demand to earn far more than this in 
defense or in general private industry. When income from employment tends to 
pass the allowance level, these mothers will prefer to work and place their children 
during the day and forfeit their right to aid to dependent children grants. Infor- 
mation currently at hand does not indicate that this is yet happening in appreciable 

We also anticipate an increased need for protective services for children. Such 
services are now being rendered almost entirely by the private agencies, but a 
recent survey by the United States Children's Bureau recommends that such a 
program be set up by the city of St. Louis. There are some evidences that the 
demand for such services is already increasing slightly. As more and more chil- 
dren unaccustomed to city life are brought into the area, they will be needed still 
more. We should note that, in our opinion, the demand up to the present time 
represents more an unmet need of the past than increased pressures due to the 
defense program. 

One direct result of the defense program which is rapidly becoming acute with 
child-placing agencies is the shortage of foster homes. Agencies have always had 
difficulty in keeping a reserve supply of satisfactorj' foster homes available; under 
present conditions, they are not able to keep up with current needs. This is caused 
largely by two factors: (1) Families can receive a larger return for the unused 
space in their homes by renting rooms to defense workers. This also means less 
work and worry for the woman of the house than caring for foster children. 
(2) Many women who formerly were willing to take foster children in their homes 
now prefer to obtain jobs on the outside. It will be noted that both of these 
reasons are more directly connected with the improvement of employment 
conditions than they are with migration. 

Group work and recreation services. — This field includes the settlement houses and 
neighborhood group work centers operated by private agencies, and parks, play- 
grounds, and community centers operated by city departments and boards of 


In this particular field there are no restrictions as to residence of adults or 
chiUlri-n involved. Facilities of the neifj;hl)orhood settlements and tiie municipal 
recreation centers and facilities may be used without question by residents and 
nonresiilents alike. 

So far, pressures upon this group of agencies have changed verj' little from trends 
of recent years. We do note, however, slight increasing demands on those pro- 
grams operated for the younger age groups. There are indications here that many 
mothers are now working and are allowing the agencies to supervise their children 
during out-of-school hours. A number of agencies report difTiculty in getting 
younger children out of the buildings in the evening, presumably because their 
parents are not at home to receive them. It has been the practice to have all 
younger children out of the building by 9 p. m. so that programs after that time 
could be concentrated on older age groups. 

There are also evidences of slightly decreasing demands on those programs oper- 
ated for the ujjper teen age and older groups. Members of these groups are many 
of them working and have more money tlian they have experienced in the past, 
and are more inclined to buy their recreation on the outside. The agencies also 
report considerable difficult}' in planning programs that will continue to hold the 
interest of these groups. 

The division of ])arks and recreation of the city of St. Louis reports steadily 
increasing attendance at parks, playgroimds and recreation centers. Pressures 
upon recreational centers were exceedingly heavy during the summer season, and 
a very heavy program is being planned for the winter season to take care of people 
coming in. They report that their athletic leagues are overcrowded with teams 
and that they have difficulty in finding enough play space for the leagues which 
wish to participate. They have also been asked to provide space for daytime 
leagues for groups working night shifts in defense plants. 

Pressures on all types of recreational activities are also increasing. Attendance 
at the zoo, art museum, parks, and other activities sponsored by municipal organi- 
zations or departments has been very heavy all summer and shows a continuing 
upward trend. This is particularly true of the various types of commercial recrea- 
tion, such as movies, bowling alleys, taverns, and similar establishments. We 
believe this reflects not only the increased number of people in the community, 
but more directly the increased employment. As employment has increased over 
20 percent in the past 18 months, there are also 20 percent more people with pay 
checks in their pockets and ready to spend them. 

Hospital and health services. — Included in this field of service are all clinics and 
hospitals, public and private, and the various health agencies. 

Practices of this group concerning care for nonresidents vary according to the 
sponsorship of the service. Public clinics and hospitals, both city and county, do 
not accept nonresident cases, either in the clinic or hospital, except as emergency 

The privately operated clinics and hospitals also have varying practices on 
applications by nonresidents for free care. A few accept them without question. 
Some make a policy of not accepting any nonresidents for free care, and others 
do not accept them unless they have been in town 6 months or more, with a few 
extending the period to 1 year. These practices, of course, do not apply to emer- 
gency cases. The practice is usually quite flexible, as most admitting is done 
either through a medical social service department of the clinic or ho.spital or 
through a regularly established admitting service, and allowances can be made 
for any unusual situation by the professional workers on duty there. 

Those patients who are able to pay their own way are, of course, accepted with- 
out question in any of the private hospitals. 

The general trend of visits to clinics is downward, with most of the decrease 
being found in public clinics, and a less rapid decrease in the use of private clinics. 
This decrease in clinic attendance has been particularly marked since April of 1941. 
At the same time, most of the clinics report a slight but general increase in a])pli- 
cations from nonresidents. It is our opinion that the decrease in the use of clinics 
represents a generally improved financial condition in this group of people, as 
with the large increase in employment more of them are able to purchase private 
medical care. 

Both clinics and hospitals report a general increase in auto and in industrial 
accident cases, although no figures are available to show the extent of this. As 
employment in the area has increased slightly more than 20 percent in the past 
IS months, an increase of 20 percent in industrial accidents could be expected. 
It is our opinion, and that of the clinics and hospitals, that the increase is more 
than this, probably due to the employment of untrained personnel and possibly 
also to a speed-up in industrial operations. Many of the clinics also report a 


general improvement in patients' incomes, which means a general moving up in 
the type of hospital care purchased, that is, patients who were formerly in the 
"free" class are now moving up to "part pay", and former part-pay patients are 
moving up to "full pay". Many clinic patients are also now able to purchase 
their own medication and appliances. Clinics also report that some patients have 
been able to secure defense jobs after rejection by the draft board and correction 
of physical defects. 

Perhaps the most serious situation in the health field in this area at the present 
time is the matter of hospital facilities for the care of the acute sick. This condi- 
tion is directly complicated by the in-migration of over 30,000 additional popula- 
tion as a result of defense employment, and will become more serious if this 
migration continues as we expect. 

A study of the adequacy of hospital facilities for care of the acute sick in the 
city and county made last month by the social planning council shows that there 
are available in the community a total capacity of 6,266 beds. With our esti- 
mated population of 1,130,000, we have a present rate of 5.5 beds per thousand 
persons, compared to an accepted rate for industrial urban centers of 5 per 

St. Louis, however, is known as a medical center, and its hospital facilities serve 
an area much wider than the city and county. Any measure of adequacy must 
take this factor into account. The study shows that during the first 8 months of 
1941 only 80 percent of the days' care were rendered to residents of the city and 
county, a condition which has continued for many years. If the bed capacity is 
discounted to this extent, we obtain an actual rate of 4.5 beds per thousand, and 
have the following picture of facilities actually available to residents: 

Beds necessary (at rate of 5 per 1,000) 5, 650 

Beds available (80 percent of 6,266) 5, 040 

Existing deficit - 610 

At the present time, then, St. Louis city and county have an actual deficit of 
610 beds. Some additions are planned in the next few months, but we also esti- 
mate, as pointed out in previous sections of this statement, that the population of 
this area will increase by an additional 40,000 by the end of 1942 due to additional 
migration into the area. If this occurs, we will then have a deficit of approxi- 
mately 775 beds. 

It is also generally agreed by hospital authorities that a further test of the 
adequacy of hospital facilities of a given community is the extent to which they 
are used. The above-mentioned study further shows that during the first 6 
months of 1941 the average occupancy in 20 private hospitals with a bed capacity 
of 3,734 was 80 percent. The two major public hospitals, St. Louis City for 
white persons, and Homer G. Phillips for Negroes, show occupancies respectively 
of 84 and 82 percent. 

The American Medical Association estimates that the optimal rate of occu- 
pancy in general hospitals approximates 75 to 85 percent. It is clear from this 
that St. Louis facilities, with occupancies of 80 percent in private hospitals and 

84 and 82 percent in the two major public hospitals, the two groups representing 

85 percent of the local capacity, are well within the danger zone. 

Another indication of the crowded facilities is the fact that the hospitals are 
actually turning away patients because of lack of room. One large hospital with 
an average occupancy of 87 percent for the first 6 months of this year, reports 
that it has actually turned away over 400 persons since the first of the year, in 
addition to keeping a large waiting list. The increasing population and the fact 
that more money is available with which to purchase hospital care is rapidly 
making the situation more acute. 

The real danger in this situation, of course, lies in the fact that there is little 
current reserve available for use in case of emergencies. There are no available 
beds in the general hospitals; approximately 100 beds are available in the municipal 
isolation hospital, and approximately 250 beds in the industrial hospitals could be 
made available for general use in case of a serious epidemic or disaster. 

The hospital and health division of the Social Planning Council, with the full 
cooperation of the Medical Association and other interested groups in the city, is 
currently at work on this situation. The facilities of the community could be 
expanded considerably if funds were available for the purchase of equipment 
necessary to open up unequipped wings or sections in existing hospitals. It 
does not seem necessary at the present time that additional buildings be con- 
structed. The margin is so slight, however, that the entire picture may change 
almost overnight. 

60396— 42— pt. 23 4 

^730 ^'^- I-<^>L'IS HEARINGS 

City ami county health olhcials r('i)ort that thcro is real danger of serious 
epidemic or disease during tlie cominn winter. Indications an; that this scictiou 
of the country is due for a reoccurrence of the pericnlic tin epidemics. Then; are 
also many danjiers inherent in the fact that large numbers of unvaccinated and 
unacelimated families have moved into the area and are being crowded into 
substandard housing. 

There are also real dangers in the lack of projjer sanitation and sewage facilities, 
particularly in certain sections of St. Louis County. Facilities there have long 
ai)proached inadecpiacy, and are not built to accommodate the jiopulation increases 
that are coming in certain areas. Many trailer camjjs and emergency housing 
locations are si)riiiging up in unincorporated and unserved sections. 

Another comjilication of the defense j)rogram and the shifting population is 
found in the fields of food insi)ection and similar health measures in certain defense 
areas. Unlicensed boarding houses in former jirivate homes, restaurants estab- 
lished overnight in tents in defense areas, and similar conditions are ta.xing the 
inspection facilities of municijml authorities to the utmost. 

Municipal and county health authorities are, however, fully aware of 
dangers and arc taking all i)ossible steps to meet them. These conditions 
will undoubtedly be reported to the committee in greater detail bj' the health 


In the preceding sections, we have given the practices regarding nonresidents 
in the various fields, and the conditions as we find them now, together with the 
developments likely to result from the defense program. These statements have 
been based on the assumption that the local aspects of the program will continue 
with little change in size or character through 1942. 

There is also the question, however, of what will happen if and when the defense 
program is terminated, particularly as this will concern those individuals and 
families requiring some form of assistance through some part of the health and 
welfare structure. While this is a very difficult question to answer, because 
obvioush' so much depends upon the timing of the termination, it is not one that 
can be ignored. 

We have pointed out the practices regarding nonresidents in the various fields. 
In general, these take two forms: (1) Restrictions of the public agencies are in 
most cases set by statute, although some have been added b}- administrative 
regulation because of lack of funds, (2) private agencies show little discrimination 
regarding nonresidents, and what practices are in effect are flexitjle and can 
quickly be changed when the need arises. 

The field of principal interest in considering the postemergency period is that of 
family welfare and general relief. The public agency operating in this field, the 
Social Security Commission of Missouri, has no legal limitations upon the granting 
of relief to nonresidents. The current regulation which limits such relief to 
emergency cases pending their return to legal residence is administrative only, 
and was probabl}- caused by the extreme shortage of funds for general relief. If 
additional funds were made available either by State appropriation or by Federal 
grant, there would be no reason why tliis regulation could not be immediately 
lifted, and full provision made for general relief to nonresident families and 
individuals. The private agencies, which carrj' a comparatively small portion 
of the general relief load of the community, have always been extremely flexible 
in their regulations regarding care for nonresidents, and what regulations have 
been in effect have in most cases also been dictated by a shortage of funds. 

The seriousness of the i)ostemergency period for nonresident families and 
individuals will depend upon when the emergency period ends. The St. Louis 
area is extremely diversified in its industrial production, and with a normal 
tapering off of defense orders and emergency production, could probably absorb 
a reasonable number of defense employees. However, if the emcrgencj- period 
should end soon, let us say within the next year, the situation will be extremely 
bad. There will be large numbers of families and individuals in the city, many 
of them unemployed or in groui)s most likely to be laid off innnediately, who will 
not yet have established any kind of residence which would make them eligible 
for relief or assistance. Migration would also still be gohig on, and transfers 
between cities and between rural and urban sections would still be in i)rogrcss. 

If, however, the emergency jx-riod should continue until 1943 or 1944, we do not 
believe the effects would be quite so bad. Migrating grouj^s would then have 
become more or less established in some connuunity, and the problem would be 
the expected one of readjustment from defense production to normal peacetime 
production. This problem in itself would he bad enough, but, as we see it in this 


area, it is not likely to involve the additional question of nonresidence of large 

So far as general relief and assistance in St. Louis is concerned, it will not require 
any revision of local or State laws to make full benefits of the local programs avail- 
able to nonresidents. Some uniform jjolicy between States would be of decided 
advantage in adjusting interstate difficulties, difficulties which are already well 
known to this committee. It is entirely possible that if the problem is anything 
like as large as we all expect it to be, that Federal assistance in general relief for 
both transients and resident employable persons will be needed, the amount of 
assistance depending upon when and under what circumstances the emergency 
period ends. 

The legislative committee of thv Social Planning Council is already on record as 
approving Federal matching of State funds for general relief to transients and 
employables, provided these funds are administered by the same State agency 
administering the balance of the general relief program. 

As this problem of postemergency adjustment appears to us now, it is largely 
one of early recognition, careful planning and organization, and sufficient funds. 
The timing and speed of the readjustment which is sure to come will determine to 
a large extent the seriousness of the problem. 


So far in this section we have been discussing needs of the families and individ- 
uals and the caseloads of service agencies as they are affected by the defense pro- 
gram. There are, however, two administrative problems which should be men- 
tioned here, namely, increasing prices, principally on food, and the difficulties 
of holding agency personnel. While not directly connected with migration, these 
factors do condition the ability of the agencies to meet the demands made upon 
them, and we believe are of interest to this committee. 

Retail food prices in the St. Louis area have increased approximately 18 percent 
in the past year. The Bureau of Labor Statistics index was 97 in September of 
1940, and 114.6 in September of 1941. This increase has had two direct effects 
upon the ability of agencies to meet demands. Institutional agencies, a large 
part of w'hose expenditures are for food, have had these expenditures increased 
accordingly, while their budgets, regardless of whether they come from public 
funds, from the community chest, or are raised by the agency, have not been 
increased proportionately to allow for it. 

Those agencies granting direct assistance to individuals or families find them- 
selves in a comparable situation. Figures compiled by the home economist and 
dietitian employed by a grouj) of local family agencies indicate that the cost of 
those foods used by families on relief has increased even more than the general 
retail price index. The Bureau of Labor Statistics increase was 18 percent; 
there was a comparable increase of 25 percent in relief food. Approximately 85 
percent of the general relief grant to families is customarily expended for food, 
so that a 25-percent increase in the cost of food would mean that the same grant 
would purchase 20 percent less food. As most of the agencies have been unable 
to increase their grants to families, and none of them have been able to increase 
grants by a sufficient amount to balance the increased food cost, this price rise 
has been borne to a large extent by the families on relief, in the form of decreased 
food consumption. 

Other prices in the St. Louis area, particularly those for fuel and clothing, have 
also increased, but none so much as that of retail food. 

There is a serious shortage of proper personnel in many of the agencies. This is 
most serious in the hospitals, where large lumibers of nurses and other hospital 
employees have gone into Army and Navy service. A Government grant has 
been made to local nursing schools to provide for additional faculty and scholar- 
.ships for the training of additional nurses. The full effects of this program, 
however, will not be felt for almost 3 years. Under Red Cross auspices, a train- 
ing program for emergency nurses is now being set up which will provide a short- 
time course for practical nurses. Many former nurses now married arc also re- 
turning to work, but most of these are already on the job, so that little further 
improvement can be expected from this source. Here also the situation is similar 
to that pointed out in our previous discussion of hospital facilities, that is, the 
present situation is fairly well in hand, but the community possesses no reserve for 
use in case of emergency. 

Group work and recreation agencies have also felt the personnel shortage 
through the loss of large numbers of their volunteer workers to the armed forces. 
This type of work normallj' attracts the young, single man, who, of course, has 


been the first to enlist or the first to be drafted. This shortape was first felt last 
6j)rinfi when the rocruitiiig of eiiinp counsellors for the summer camp program was 
started, and has since become acute in the winter programs of many agencies. 
lOmergency recruiting and training programs are being set up in the city to help 
alleviate this shortage. 

Many of the agencies have also lost much of (heir professional personnel to more 
attractive positions in the defense set-up, and similar losses have occurred in 
clerical personnel. Welfare positions are as a rule rather poorly paid, so that 
present employment opportunities with their increasing salaries have attracted a 
large number of agencj^ employees. 


We should also like to bring to the attention of this committee another condi- 
tion resulting from the backwash of the national-defense program, a condition 
not often considered in an analysis of that program. This refers to the social 
deterioration of certain geographical areas of the community as a result of the 
location in or near them of defense projects. We can best illustrate this by 
describing these results in relation to two areas, one in St. Louis City and one in 
St. Louis County. 

The first is the area northwest of the small-arms ammunition plant of the 
United States Ordnance Department, located at Goodfellow and Bircher Boule- 
vards. Construction on this plant is not complete, but the result of its location 
is already apparent. As first planned, the plant occupied a tract of approximately 
125 acres divided by Goodfellow Boulevard, all of the tract being zoned for in- 
dustrial use. Later expansions have enlarged it to include an adjacent city park, 
a tract owned by the board of education and held for a new high school, and ap- 
proximately 20 adjacent city blocks already in use for residence purposes. Taking 
over the residence area entailed the condemnation and WTecking of approximately 
50 dwellings, man}- of which had just been completed. The total area of the plant 
is now over 280 acres. 

A description of the residence area Ij'ing immediately north and west of this 
plant, most of it in St. Louis City, extending into the eastern portion of St. Louis 
County, will serve to illustrate our point. Prior to the advent of the small arms 
plant, this section ranked higher than the city average in proportion of land de- 
voted to residential and industrial uses. All social indicators stamped it as a 
solid, middle-class, residential section, bordering on industrial sections. Eighty- 
six percent of the horiies in the area were one-family dwellings, and 62 percent 
were owner-occupied. This compared to home ownership in St. Louis City 
proper of only 31 percent. Many of these dwellings were frame, and many had 
been constructed or improved by the owners themselves, who had lived there 
for many years. Sixty-eight percent of the residents owned cars, compared to a 
city figure of 50 percent. Fortj-nine percent had telephones, compared to a city 
figure of 35 percent. The area was lower than the city figures on practically all 
health rates. 

Most of the residents are factory workers or white-collar workers within the 
lower salary brackets. Families tend to run in general larger than the city aver- 
age, and most of the section had the character of a middle-class neighborhood, 
w^ell established, with a deal of pride in homes, gardens, and lawns. Certain sec- 
tions, particularly those bordering on St. Louis County, were recently developed 
as subdivisions with single-family homes selling at four to six thousand dollars. 
Many of these new homes were taken over with the expansion of the small-arms 

A short drive through the area will show what has happened to it. The estab- 
lishment of this 280-acre plant, said to be the largest in the world, has made a 
complete change in the character of the area. Aside from those residents who 
were forced to move by the condemnation of their homes, many others have left 
because of the dirt and turmoil of the plant construction. Many homes have 
been turned into boarding houses and rooming houses. Front lawns that were 
formerly well-kept and were the pride of the owners are now used for parking 
lots. Ornamental fences have been torn down, and lawn decorations destroyed. 
Tent restaurants, taverns, and cheap business enterprises are on practically every 
corner. In short, the area now- has the character t)f a typical blighted residence 
area in a factory section. 

As a second example, we point out the conditions in the nort Invest section of 
the county, in and surrounding the city of Ferguson. The situation here is 
similar, but the community differs from that around the small arms plant. Fergu- 
son lies at the center of a large triangle, with the small arms plant on one side, 


the new turret plant of the Emerson Electric Co. on another, and the municipal 
airport, including the new plants of Curtiss- Wright Corporation and the 
McDonnell Aircraft Corporation on the third. 

Ferguson is one of the oldest communities in St. Louis County. It is a well- 
established, suburban city, with 5,700 inhabitants in April 1940. It lies about 
5 miles out from the city limits, separated by an intervening strip of semi-rural 
land. Ninety-seven and a half percent of the homes are one-family dwellings, 
one of the highest figures for any city of the county, and 72 percent are owner- 
occupied. Ferguson also is a community of families larger than the average. 
It was typical of the older, well-established, suburban communities, of which there 
are several around St. Louis. 

The picture is now completely changed. The population has increased by an 
estimated 1 ,000, and several thousand additional persons have moved into the 
areas immediately surrounding the cit3^ Housing is extremely congested, and 
former residences are being expanded into multi-family dwellings. Trailer 
camps of 10 to 200 trailers have sprung up in surrounding unincorporated and 
uncontrolled territories. Sewage facilities are over taxed, and the health hazards 
in nearby areas are probably the worst in St. Louis County. A great number of 
women are working without adequate protection and care for their children. 
There are evidences of organized and commercialized prostitution. 

This community, in addition to the problems of .social deterioration due to an 
influx of new people and new conditions, is now faced with the problem of com- 
munity planning and organization on a scale never before known to them. 
As early as June of 1941, these problems were recognized in Ferguson, and com- 
munity leadership was brought to bear upon them. Mass recreation has already 
been instituted, and other committees are being started to deal with problems 
of health, welfare, education, and similar ones. 

It is possible that the community was frightened and over anxious in its first 
recognition of these new problems, but, if so, this over anxiety was beneficial in 
that it resulted in quicker organization of community forces to meet them. 

We have presented here the direct effects of the defense projects upon two 
different types of communities, one a section of the city and the other a suburban 
community. We do not present these in any sense of criticism of the choice 
of location for these projects, as we recognize that the immediate needs of the 
defense program may over shadow the possible elfects of that program. We do 
wish, however, to bring these effects before the committee, so that the social 
results in terms of community deterioration can be recognized. The blighting 
effects upon these and other similar communities will be felt long after the emer- 
gency has been passed. 

Exhibit A.^ — Defense Housing Needs in St. Louis County 

report by e. g. steger, director, social planning council of st. louis and 
st. louis county, st. louis, mo. 

Housing needs. — In our previous statement to this committee, we emphasized 
in several sections the serious housing situation both in St. Louis City and St. 
Louis County and the health hazards in several sections of the county as a result 
of the large number of families living in trailers and other emergency housing. 
Since the completion of our main statement, additional information regarding 
these conditions has become available; information which we believe will be of 
value to this committee, and which may aid in the solution of the problem. 

At least 700 families in St. Louis County are now living in emergency housing. — 
This is the estimate of health authorities who have the job of inspecting trailer 
camps and tourist camps. Approximately 500 of these families are living in 
trailers. The largest camp in the county, which has received a great deal of 
publicity, has approximately 125 trailers; this formerly was a picnic grove which 
has been turned into a trailer camp. The second largest camp accommodates 
from 75 to 100 trailers and the next largest from 50 to 60. There are also 5 or 6 
other "legitimate" camps furnishing trailer facilities. In addition, there are an 
estimated 200 trailer camps scattered throughout the county, in unlicensed and 
more or less uncontrolled locations. Many of these are in groups of two or three, 
located in back yards and similar places where they purchased facilities from the 
home owner. 

Obviously this is an exceedingly difficult situation to control. Many of the 
smaller communities in the county have been forced to pass restrictive legislation 
to keep the small camps from springing up in the community. In one city a 
group of six or eight trailers immediately across the street from the business 

3740 ^1' Lons hearinc.s 

district, was forcod to move through legal i)roceedings b(!Cau«e of lack of proper 
sanilation. Such camps offer many health hazards and are potential sources of 
epidemics and disease. 

We also wish to call to the committee's attention the effect of such living con- 
ditions on the families involved. Practically all of these trailers are owner-oo- 
cu]iied; nevertheless the location is at the whim of the landlord and they may 
he forced to move on short notice. Many of these trailer families have children, 
and, while trailers have been tremendously improved in recent years, we submit 
that they are a very unsatisfactory e(|uii)ment for home life. 

Many of the tourist camps in St. Louis County have also been turned into 
])ermanent residences for d(>fense workers. Health authorities estimate that ap- 
proximately 200 units of housing are so occu])ied at the present time. While 
health and sanitary controls of tourist camps are much more easily administered 
than of trailer cam])s, the hazards are still great. The families also have 
an even more insecure tenure than those in trailer cam])s, for while these trailer- 
camp occupants at least own their own trailers, tourist-camp occupants have 
nothing to hold them to the snot. 

In addition to the 700 families in St. Louis County, there are many others in 
emcrqcnc]! housing in other portions of metropolitan St. Louis. — The Farm Security 
Administration recently established a Government-operated trailer camp with 
approximately 50 units in the outskirts of Wentzville, St. Charles County, next 
to the Weldon S}:)rings TNT plant. Other privately operated groups are located 
in the outskirts of St. Charles and similar ones on the east side. We estimate 
that approximately 1,000 families are living in emergency housing in the metro- 
politan areas of St. Louis. 

Coo])erative housing may offer the sohition to this situation, with decided ad- 
vantages to the Government in the cost of defense housing, many advantages to 
the defense workers in terms of morale and home tenure, and with possil)ilities 
for a more stable housing situation in the emergency ])eriod. Charles F. Palmer, 
Federal Coordinator of Defense Housing, on November 14, announced that 
a cooperative housing ])lan was available for defense workers; that groups of 
such workers could organize and apply at the Federal Housing Administration 
for mortgage insurance under Defense Housing Title VI, which permits insur- 
ance up to 90 percent of the appraised value of the home. We understand that 
a revolving fund is contemplated which would assist cooperative groups in 
setting up such housing develoi^ments. 

St. Louis County is ideally located for such a project. As pointed out in our 
previous statement, many large projects, including the small arms plant, Emerson 
Electric, Curtiss- Wright airplane plant, and others not so large are located in 
the northwest section of the city-county area. Immediately' across the Missouri 
River from the north section of the county is the Weldon Springs TNT plant, 
directly accessible to the new superhighway into St. Louis County. A recent 
check made at the TNT plant, when workers were going off duty, shows that 9 
out of every 10 cars turn toward St. Louis County. These and other factors 
make St. Louis County the logical location for a defense housing program. 

Cooperative housing rather than direct Gov(!rnment control of defense homes 
would save the Government millions of dollars of defense housing expenditures 
and would meet a definite need not now met by any of the current programs. 
It would offer quick relief from the ])ressure of inadequate housing in this area 
and would hold temporary housing to a minimum. Adequate housing would 
serve as a protection against labor discontent and undue labor turn-over in 
defense industries. 

It seems to us that a cooperative housing plan also offers additional advantages 
to the defense worker and his family. It would keep morale of industrial workers 
in defense plants at a high level and would offer the following among other 

(1) It would give the individual defense worker a chance of participating in 
the building of his own home. 

(2) It would safeguard the equity of the individual worker and his family and 
would safeguard the security of home tenure. 

(3) It would reduce construction cost through mass purchasing and po-ssibly 
prefabrication, and through elimination of undue speculative profits of private 

(4) It would make housing available to industrial workers on a sound basis 
and within the ability of the worker to pay and at the same time improve housing 

Such a plan tcould also have stabilizing advantages for both the community and 
the individual during the post-emergency period. — As against a Government-owned 
and operated project, a cooperative plan would offset some of the dangers of 
large-scale Government operation of housing during the readjustments of the 


post-emergency period. As against privately financed and controlled housing, 
such a plan would enable the individual to have a home within his at)ility to pay 
and with his equity protected by his cooperative group instead of through his 
own efforts as an individual owner. 

If such a project were set up in a semirural section, with two or three acres of 
land for each home there would also be a definite subsistence value during this 
period. The owner, from his own land, would be able to meet part of his own 
family's needs during a possible period of unemployment. Such a subsistence 
homestead would also have the advantage of resale to old-age pensioners, recip- 
ients of old-age and survivors insurance, and retired workers who could supple- 
ment their cash income by the products from their own plot of ground and would 
probablj' be enabled to live without additional supplementation. 



This report is made at the request of Mr. Jack B. Burke, field investigator. 
House Committee on Defense Migration, on the points suggested in his letter of 
October 31, 194L 

(1) "General organization of the St. Louis National Defense Training Program." 
An organization chart of the national defense training program is attached.' 

(2) "Total placements of trainees, etc." The school's report on placements 
to October 1, broken down into various areas of training, is attached. This 
report is based on, (a) placements made by the school upon employer requests, 
(6) reports of trainees to the school, and (c) upon reports from employers to the 

(3) "The working arrangements between your office and the Missouri State 
Employment Service." The schools and the employment service cooperate 
fully to the extent of the facilities of each. A "consultant" from the Missouri 
State Employment Service attends all meetings of the school's advisory com- 
mittees, and the Missouri State Employment Service and the school are repre- 
sented on the "Council of Administrators" as required by the State department 
for vocational education. 

(a) In accord with the regulations issued by the United States Office of Edu- 
cation, requisitions for enrollees are made \)y the school on the Missouri State 
Employment Service for the pre-emploj'ment courses. It has been found neces- 
sary to supplement these requisitions by enrollments at the school, with subse- 
quent registration with the emploj^ment service. 

(6) Enrollments in supplementary courses for upgrading men employed in de- 
fense industries are made at the school through the advice and assistance of 
employers and laljor organizations. 

(c) The defense program reports to the employment service on the evaluation 
of each trainee completing a pre-employment course. 

(d) The defense program reports to the employment service all placements 
from pre-emplo3'ment courses made by the school from requests of emjiloyers and 
also reports to the employment service self-placement of individual students who 
send this information to the teachers. 

The employment service makes no report of placements to the defense program 
office. Therefore, our records of placements are made solely from reports re- 
ceived from the trainees by our follow-up system and from reports by employers 
direct to the school. 

(e) By direction of official circulars from the office of education, the Missouri 
State Employment service is to furnish the school information concerning the 
areas of training needs and the number of trainees required on calendar dates. 
Only one such report has been received from the employment service in the 18 
months of our program, and that report contained no information of use to the 

(4) "The relationship between your office and the Office of Production Man- 
agement training-within-industry program." The training-within-industry pro- 
gram has supplied the school with information leading to the introduction of new 
classes in both supplementary and pre-employment training. Each of such classes 
gives direct contact between the school and a specific defense industry. Plans 
have been considered and are now ready to be put into operation for the training 
of instructors for the training-within-industry program. 

(5) "The need for instructors in the program." At the inauguration of defense 
training in both pre-employment and supplementary classes, competent teachers 

> See p. 8743. 


from the school force were available and competent mechanics could be found to 
supplement the school force, on either full or part-time basis. All men taken from 
industry were given teacher-training courses in service and supervised by the 
trained teachers from technical high school. It has been increasingly difTicult to 
obtain properly qualified men from industry to augment our teacher force or to 
fill vacancies left l)y resignations. 

(6) "Your opinion of the relationship between management, the Missouri State 
Employment Service, and your office, in.sofar as employment statistics are con- 
cerned." This topic has been largely covered in No. 3. Our experience has been 
that the employment service has not reported to the school employment statistics 
upon which either preemployment or supplementar\' courses of tiaining could be 
based. This has not had a detrimental effect on the program as the technical 
schools have for j^cars maintained close connections with employers' associations, 
labor unions, and individual employers. The schools' connection with industry 
has made possible preemployment training under national defense with a highly 
satisfactory rate of placement. Supplementary classes, which far outnumber the 
preemployment in registrations, are set up from information furnished by industry 
to the schools' coordinators and heads of departments. 

(7) "The above suggestions are not intended to limit the extent or scope of your 

(a) The introduction in September of this year of a State and local "Council of 
Administrators" consisting of one representative each of the school, the National 
Youth Administration, and the employment service has in no way been helpful to 
the national defense training program and has been detrimental in that it has 
hampered the usefulness of our local "advisory committees." 

(b) The St. Louis public schools are greatly encouraged in the conduct of the 
national defense training program by the increasing support obtained from em- 
ployers and labor organizations, especially for the supplementary program for 
employed men. We are further encouraged by the prospects of having some part 
to play in the training-within-industry program which can produce operators on 
the machines and with the materials required in defense industries. 

(c) We are further encouraged by the great increase in interest expressed by 
employers and labor organizations in the development of apprenticeship programs. 
During the past year the school has doubled the number enrolled as apprentices 
with either an employer or a joint apprenticeship committee of industry and labor. 
This increase is largely due to the cooperation between the school and the United 
States Department of Labor Apprenticeship Bureau. 

To: F. J. Jeffrey, Assistant Superintendent. 

From: Alex M. Robson. 

Subject: Report on Jack B. Burke's letter asking for (a) organization chart, 

(h) placement record. 
Date: November 17, 1941. 

Part I: Organization chart is attached. 

Part II: (a) Total placement record of trainees from July 24, 1940, to October 
1, 1941: 

1. National defense training program in St. Louis, Mo 1, 012 

2. Regular day trade training Hadley Tech High 768 

Total 1,780 

Part II: (b) A break-dowm of the various types of training given: Welding, 
gas and arc; machine shop; aircraft sheet metal; auto mechanics; electrical (U. S. 
Navy); inspection (Army ordnance); aircraft wood forming; aircraft lay-out. 

Trade training ofTered by the St. Louis board of education (September 
1940 to October 1941): 

(a) Total evening trade extension 1, 566 

(b) Total day part-time trade extension 252 

Total 1,818 

Enrollment of trainees in all training given by the St. Louis board of edu- 
cation (as of Oct. 1, 1941): 

National defense training program 1, 052 

Smith-Hughes trade extension 1, 818 

Occupational trade training (above ninth grade at Hadley Tech) — 1, 678 

Occupational trade training (above ninth grade at Washington Tech). 250 

Evening school adult education for supplementary training 6, 800 

Total 11,598 



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Exhibit A. — Negro Enrollment in the National Defense Training] 
Program of St. Louis, Mo. 

November 28, 1941. 
Col. Harry 1). McliuinE, 

Director, Office of Civilinn Defense, 

City Hall, St. Louis, Mo. 
Mv Dear Colonel McHride: The following .supplementary report is sub- 
initted in answer to a statement made by a representtaive of the St. Louis Urban 
League at the hearing before the House Committee on National Defense Migra- 
tion on November 20. This statement was to the effect that the national defense 
training program in St. Louis did not enroll colored men for jjreemployment 
training in i)rf)portion to enrollment of white men. 

In answtT the following report of enrollment for the month of September and 
October 1941 in civilian prcemployment courses is submitted: 

Preemployment civilian enrollees, National Defense Training 


»S7. Louis 



Hadley Technical High School (white) 



Washington Technical High School (colored). 


Total -. - 



Percentage of colored enrollees.. 


It should be noted that the percent of colored in the enrollment for preemploy- 
ment training classes is much larger than the percent of colored population in 
this city. 

Additional classes under the national defense training program are carried on 
at the Hadley Technical High School for the white in the training of enlisted men 
from the United States Naval Reserve, and the St. Louis program would be 
pleased to include a similar course for the colored if the Navy so requested. 

Other classes are carried on at the Hadley Technical High School for white, 
under the national defense training program for supplementary instruction to 
up-grade men employed in defense industries, and at the present time none for 
the colored. The St. Louis schools will provide supplementary training classes 
for colored whenever the defense employers in this region employ colored 

Respectfully yours, 

F. J. Jeffrey, 
Assistant Superintendent. 


The issue of paramount importance today in the St. Louis area is no different 
from the general situation confronting other industrial centers throughout the 
United States, namely: Is it the intent and purpose of admhiistrators of the Federal 
Government, particularly the Office of Production Management, to see that the 
available local labor supply is definitely made an integral part of the national- 
defense program in that locality, with certain basic assurances of protection, as 
set forth in the statement of Office of Production Management labor policy 
announced September 17, 1941? 

If olitaining the maximum production of essential materials and equipment 
within the shortest period of time is the fundamental problem confronting our 
Nation today, is it to be expected that the fullest attainment can be acquired 
merely by awaiting the voluntary cooperation of that portion of industry and 
management who are rendering very little, if any, actual support to such objective 
policies of the national-defense program? 

Certai ily, if maximum results are accomplished without further delay, it will 
definitely recpiire not only the fullest utilization of the available local labor 
supply, but will likewise mean that aU available plant space, equipment, and 


facilities must also be made a component part of this undertaking. Every 
indication shows that in numerous cases management is still pursuing the policy 
of "business as usual" and the most abusive of such hang-over practices is the 
fact that certain defense contractors are stimulating in-migration of labor by 
needless advertising for outside workers, despite the fact that all reports indicate 
a sufficient supply of qualified resident workers, many of whom are already being 
deprived of their regular employment by priority orders. 

Organized labor has more reason than any other element in the population to 
be concerned with the fullest use of its productive capacity', both for defense and 
for the manufacture of essential consumers' goods. Experience has shown that 
labor suffers first ajid most from lay-offs and from higher prices caused by short- 
ages, and it has most to lose from any failure to defend our democracy. Therefore, 
the fundamental problem which must receive the attention of industry, labor, and 
government is to utilize the local labor supply affected by priorities unemploy- 
ment in the defense program, where every such individual can make his contribu- 
tion to victory in the battle of production. 

The record will show that to the best of its ability organized labor has in the 
past, and will in the future, render every possible support to the present einergency 
program; however, hasn't it become quite obvious that affirmative action must 
be taken so as to bring into alinement that portion of industry, primarily defense 
contractors who have not as yet demonstrated their willingness to render full 
cooperation, by adopting a policy to give first preference to the available local 
labor supply? 

As an observation in behalf of the Congress of Industrial Organizations in the 
State of Missouri, and particularly in the St. Louis area, might I emphasize that 
we firmly believe that industry holding defense contracts, both prime and sub, 
should be required, not requested, to operate along the objective lines of giving 
preference to the available local labor supply in every instance where either a 
plant expansion program or a new plant is being utilized for defense production. 

It is likewise our very definite contention that all defense contractors should be 
required to procure their additional labor requirements through an authorized 
local labor agency, such as the appropriate branch office of the Missouri State 
Employment Office. Let me point out that both the Missouri State Industrial 
Union Council and the St. Louis Industrial Union Council, central bodies of the 
Congress of Industrial Organizations have by appropriate resolutions instructed 
all component local unions to cooperate fully with the Missouri State Employ- 
ment Service by participation in a complete registration program whereby aU 
members, their respective skills and complete work experience record will be made 

Such procedure will result in the Federal-State Employment Service being pro- 
vided with a complete listing and classification of the local labor supply, a sub- 
stantial portion having already been deprived of their regular employment and 
with every indication that an additional percentage will likewise be affected by 
further priority curtailment during the coming winter months. 

In-migration in the St. Louis area, with its attendant social problems, has 
reached an alarming stage alreadj^ and will become much more serious when the 
large defense plants actually get into production, imless some reasonable measures 
of safeguard are applied. It is obvious that too much stimulation and encourage- 
ment is being given to outside labor because of uncontrolled and unwarranted 
advertising, gate hiring, and scouting beyond the commuting distance. 

Those defense employers who advertise for tool and die makers or other similar 
skills are pursuing an absurd practice because they simply gamble on getting such 
mechanics to respond, and it serves to create the impression that St. Louis firms 
must go outside of the community for the necessary labor. In fact the result is 
that following every such burst of needless advertising there is an influx of all 
types of workers, few of whom can be utilized, due to the lack of essential skil's, 
and those who were hired have probably deprived a qualified resident worker of a 
job to w^hich he is entitled. 

The St. Louis Industrial LTnjon Council is, indeed, vitally concerned about the 
evils of in-migration of labor since such practices tend to inflict additional and 
unnecessary hardships on the members of our organization who are affected by 
actual or anticipated priorities unemployment. 

The present total membership represented by our organization is approxi- 
mately 55,000, and includes a great variety of skilled, semiskilled and unskilled 
workers who normally are employed as production or assembly operators in the 
following general categories of mass-production employment: 


CoNORKss OF Industrial Organizations Affiliates and Type op Industry 


Anialgatnatcd Clothing Workers, manufacture and alterations of men's and 
boys' wearing apparel. 

United Automobile Workers, assembly of passenger automobiles and com- 
mercial trucks. 

United Construction Workers, construction and repairing of residential and 
commercial buildings. 

Electrical and Radio Workers, assembly of various electrical appliances for 
home and commercial use. 

Flat Glass Workers, manufacture of products used in assembly of passenger 
automobiles, etc. 

Leather and Luggage Workers, manufacture of varied items used for general 
public consumption. 

United Mine Workers, District No. 50 (involving several groups): (1) Genera, 
maintenance and service occupations in connection with public utilities; (2/ 
manufacture and processing of drugs, cosmetics, and other related items for 
consumer and commercial use; (3) manufacture of chemicals, pigment, and other 
related items for both commercial and consumer use. 

Retail and Wholesale Employees, manufacture, processing, storage and dis- 
tribution of various essential commodities necessary for both consumer and 
commercial uses. 

United Shoe Workers, varied line of occupations in connection with the manu- 
facture of products for all general uses. 

Steel Workers Organizing Committee, production of boxcars, streetcars, 
commercial auto bodies, and a wide variety of machine-shop work, including 
processing of steel; also a diversified line of steel fabrication products, all of which 
are used extensively by both the consumer and commercial buyer. 

Textile Workers Organizing Committee, manufacture or processing of a varied 
line of products utilized by other industries and for general public consumption. 

Note. — This listing is merely a brief sketch of a portion of the industries and 
occupations represented by the Congress of Industrial Organizations, through 
the St. Louis Industrial Union Council, and is not intended to present a complete 
analysis of such pertinent data. 

Particular attention is directed to the fact that priority orders have already 
had a definite effect on consumer production in the automotive, electrical appli- 
ance, and steel fabrication industries and since the Congress of Industral Organi-| 
zations in St. Louis represents a substantial portion of the total number of work- 
ers engaged in such occupations, it should be readily understood that our organi- 
zation is vitally concerned in having their skill, ability, and service made a part of 
the local defense production program. 

Additional priority orders in the future are likely to affect other basic industries, 
such as clothing, chemicals, glass, retail and w^holesale, warehouse, shoe, and 

Even though an industry is fortunate enough to obtain the essential materials 
required to continue in regular production, there is no doubt that the curtailment 
of production in certain other industries will tend to decrease the demand for 
consumer products, since decreased earning power is definitely reflected in the 
output of other industries within the community. 

priority rights 

All resident workers deprived of their regular employment by reason of priority 
orders and those w'ho are subject to further priority curtailment should receive 
priority rights on any defense job in the locality in accordance with the following 

(1) Those workers, who b.y their past work experience, are qualified to handle 
a defense job, should be referred and hired immediatelj^ 

(2) Those W'Orkers who lack certain essential skills should be referred to the 
national defense training program for a period of supplemental training, and then 
to the job. 

(3) All workers assigned to defense training for a limited period of time should 
receive their unemployment benefits while serving in such preparatory capacity. 

(4) All workers who have establi-shed seniority with their original employer 
should be furnished with a certificate of hire by the defense empl )yer. 

(5) Such certification to be handled by the defense contractor (new employer) 
and copies of same furnished to — 


(a) The worker involved, either for his own records or to be filed with his respec- 
tive local union. 

(6) The former employer where seniority was acquired. 

(c) The local office of the State employment service. 

(d) The new or certifying employer to retain a copy for his own records. 

Our organization is convinced that every efTort should be made to have local 
industry apply the Office of Production Management labor policy in its fullest 
aspects, namely: 

(1) Defense contractors agree to give first preference to the local labor supply 
when hiring new employees for expansion of production. 

(2) Management of nondefense industries, where production has been cur- 
tailed and workers laid off due to priority orders, agree to recognize the certifica- 
tion and maintenance of the seniority rights of those employees who are compelled, 
or who elect to accept, to transfer to such defense employment. 

Application of such labor policy, whereby defense contractors recruit their new 
employees, primarily from the local community, throueh the Federal-State 
Employment Service in cooperation with labor organization, will permit the 
registration of all skills of "all available workers and provide for the fullest use of 
the local labor supply. Likewise, it will make possible an orderly transition of local 
labor to defense jobs during the present emergency, and later, orderly transition 
of the same workers to their original jobs when the defense program is concluded. 

Recognition of, and adherence to, such labor policies will likewise tend auto- 
matically to minimize or eliminate the evils of gate-hiring, the use of fee-charging 
agencies, unregulated labor recruitment by scouting or needless advertising, and 
the creation of placement centers by defense contractors or other agencies. 

Organized labor's view has always been that its offices know more about the 
conditions incident to hire, welfare, and the movement of workers than any out- 
side interests. However, it is convinced that the objective policies of the Office 
of Production Management as they apply to labor market management represent 
an opportunity of cooperating with the Federal and State governments to the 
end that reliance can be placed upon such organizations not only to continue to 
protect the best interest of the workers as the unions have but to make the 
registration and placement of union workers more effective throughout a broader 
industrial field. 

If management, primarily defense contractors, does not cooperate with the 
Federal-State Employment Service to the same full extent that organized labor is 
now doing, labor has no alternative than to beheve that these objective policies 
are mere window dressing and lack force or potency, and that "business as usual" 
by organized labor might well be the best method of protecting its membership. 

All affiliates of the Congress of Indu.strial Organizations in the State of Missouri, 
and primarily in the St. Louis and Kansas City defense areas, are prepared to 
cooperate 100 percent with the Missouri State Employment Service in both the 
registration and placement of workers, and are in the process of rendering such 
actual cooperation. However, without definite assurance from the Office of 
Production Management and United States Employment Service that the local 
labor agency, namely, the Missouri State Employment Service, can and will 
continue to get all job openings in these important centers, it is useless for the 
organized labor groups to hope for a great deal of assistance from the Employment 
Service. Furthermore, without the essential cooperation from defense con- 
tractors which will result in actual placement of workers, the present program of 
all-out registration of the local labor supply is simply an extravagant waste of the 
taxpayers' money, because it is expensive to accomplish such registration on a 
scale broad enough to produce concrete and effective results. 

It is the general opinion that the various affiliates of the Congress of Industrial 
Organizations within the State would be very reluctant to withdraw from such 
registration and employment program and resort to the policy that organized 
labor can best attend to organized labor's needs, but rather, would insist that 
holders of defense contracts demonstrate the same degree of genuine interest in 
the national defense program by providing the final link to such chain, namely, 
that the available local labor supply be given first preference to all defense job 
openings in the respective area. 


Isn't it absurd and extravagant for the Federal Government on fixed-fee and 
cost-plus contracts to permit certain companies holding such defense contracts to 
set up their own employment centers on a huge scale with the introduction of 
practices which make them not only competitive and detrimental to other local 

g748 ^'^'- I^UIS HEARINGS 

industries, but competitive with the Federal-State Employment Service? There 
is no sound or lofjical reason for the maintenance of separate employment centers 
when an acco|)tal)le employment service, operated and regulated by P'ederal- 
State statutes, already exists in the locality. 

What will be the effects of the defense program in the St. Louis area, in terms 
of increased employment, priorities unemployment and population increases, 
with their attendant social problems and possible housing shortage? A common- 
sense, nonhystcrical consideration of the defense program and its many involve- 
ments is l)adly needed. Any tendency to accept the theory that unemployment 
will be completely wijied out in this area, by reason of the defense program, should 
be refuted immediately when full consideration is given to the facts in the case: 

(a) While employment is expanding in various defense industries in the locality, 
(6) employment in nondefense industries is being curtailed by reason of priority 
orders on certain essential materials. 

Various available estimates on the number of production workers needed on 
defense projects during the coming year reveal that 12 of the largest producers of 
defense materials in the St. Louis area — this includes all large contracts — will 
eventually employ better than 68,000 workers when operating at their scheduled 
capacity. It is estimated, however, that such employment figure will not be 
reached before the middle of 1942, and at the present such plants are now employ- 
ing approximately 31,500 workers, excluding construction workers; therefore it is 
possible that an additional 37,000 employees will be added to the working force 
during the coming 9 months. 


An analysis of this potential working force of 08,000 employees reveals some 
very interesting facts; namely, approximately 10,000, or about one-seventh, will 
be nonproductive and engaged in administrative, clerical, or service duties, while 
the balance, or 58,000, will be engaged in productive occupations. It is likewise 
estimated that about 13,000, or one-fifth of the total number of employees, will 
be women, which would indicate that about 55,000 men will eventually be em- 
ployed in various defense occupations, not all of which will be productive work. 

Recent surveys conducted by the Social Planning Council of St. Louis, by the 
St. Louis office of the Missouri State Employment Service, and by the organized 
labor groups, indicate that the St. Louis labor supply, as presently constituted, 
can furnish all the workers needed to meet the current demands of the local defense 
program. A recent report of the Social Planning Council summarized the local 
labor situation as follows: 

"While a need of 37,000 workers is anticipated, there are certain groups that 
we know can be supplied from the local force. At least 8,000 of these are expected 
to be women. The 1940 census recorded an available supply of 15,400 unemployed 
women in St. Louis City alone. Many of these have probably obtained work in 
the meantime, but against this we must also balance the fact that increased 
employment opportunities can and will draw many additional women into the 
labor market. 

"At least 4,000 of the additional workers will be Negroes. In view of the un- 
employment among Negroes, which was approximately 15,000 in St. Louis City 
in 1940, there is no doubt that the area can supply any needs in this group. 

"If we subtract the 8,000 women and the 4,000 Negroes from the 37,000 needed, 
we have 25,000 white men to be supplied between now and next summer. About 
one-fourth of these will be unskilled, and three-fourths skilled or semiskilled. 

"An analysis of the census reports as of April 1, 1940, .shows that the labor force 
in the St. Louis area at that time was approximately 616,000 persons; 523,000, 
or 85 percent, of these were employed, while 93,000 were unemployed or working 
on emergency Government programs. 

"Reports from the Bureau of Labor Statistics show an increase of approximately 
86,000 in the employed group through June of 1941, the last month for which 
reports are available. If this increase has continued at approximately the same 
rate, by the end of September an additional 30,000 persons should have been 
employed. This would make a total of 640,000 persons in this area working in 
private employment at the end of September. 

"This totaffigure of 640,000 workers includes from 30,000 to 40,000 construc- 
tion workers. The local construction industry normally employs about 1],00(» 
workers, so that from 20,000 to 30,000 of these are on temi)orary projects, and can 
expect to be laid off during the next few months. Many of these temporary 
workers will undoubtedly transfer to production jobs. 

"From the present employment of 640,000 workers as compared to the labor 
force of 616,000 18 months ago, it would seem that all of the unemployed had been 


absorbed in this area. We know, however, that this is not the case, since Work 
Projects Administration rolls for the city and county are still approximately at 
the July level of 8,500 persons. The general relief rolls have decreased only 
slightly. The active file at the State employment office still numbers around 
80,000 applications, a figure which has been fairly consistent for many months, 

"We are forced to conclude, therefore, that the labor force has been materially 
increased during the past 18 months. Such an increase could come from only two 
sources: (1) In-migration from surrounding territory into the metropolitan area; 
(2) the drawing into the labor force of persons who have in the past considered 
themselves as outside the force, but who are now seeking employment. Proof of 
this is found in the decline in high school and vocational school enrollment in the 
public schools this year. Also, many women may be expected to reenter the labor 
market as employment opportunities multiply. 

"The normal population increase for this area would also have added approxi- 
mately 5,000 workers to the labor force during the past 18 months. 

"Another drain on the labor force has been the drafting of young men for the 
armed forces. There are at present between 9,000 and 10,000 local boys in this 
group. Beginning within the next few months, discharges will probably offset 
further draft calls, so that there will be little further drain upon the labor force 
from this source. 


" 'Priorities unemployment,' a new term to the American vocabulary, will 
have serious effects during the coming winter. It is difficult to forecast just 
what these effects will be, as verv little is known as to when and where this con- 
dition will strike. National estimates, however, are that from 2,500,000 to 
3,000,000 persons will be thrown out of employment this winter from this cause. 
As the St. Louis area accounts for slightly* more than 1 percent of the national 
labor force, our share of this total would be at least 25,000 to 30,000. 

"The effects of this are already being felt. Several smaller firms in the area 
have been forced to close down because of a shortage of materials. The drastic 
cuts in auto production are expected to throw between 3,000 and 4,000 men out 
of work before the end of the year. Recent priority regulations on construction 
materials may have other serious effects on that field of employment. 

"These and other similar factors will tend to offset increases in employment 
from defense and other causes, so that we may shortly expect a leveling off of 
the employment curve." 

Careful consideration of all factors as they relate to employment opportunities 
and the resulting in-migration of labor can best be visualized by the fact that 
30,000 to 40,000 persons have been added to the population of St. Louis and St. 
Louis County during the past 18 months. Only about one-fourth of this number 
is the normal population increase, therefore from 20,000 to 30,000 persons have 
migrated to this area due to expanding defense employment,. Basically, it can 
be assumed that employment trends in the St. Louis area will soon enter a leveling- 
off stage since the effects of priority unemployment in certain industries are apt 
to offset any indication of increased employment in the defense industries. 

The present available local labor supply is sufficient to meet all expansion 
demands that are known to date and no further in-migration is necessary to 
supply the needed defense workers; in fact, if further in-migration is invited or 
stimulated, it will simply mean that qualified resident workers with seniority in 
local industry, who have been deprived of their regular employment by priority 
orders, will be deprived of their opportunity to employment in the local defense 
plants and consequently will be forced to join the vicious and endless movement 
of migratory workers with the hope of obtaining work in some other community 
faced with the same fundamental problems. 

Exhibit A. — Labor Policy and Defense Unemployment 


Sidney Hillman, director of the Labor Division of the Office of Production Man- 
agement on September 17, 1941, issued the following six statements of policy 
which labor and management will be expected to follow in handling labor problems 
arising out of the curtailment of production in the automobile industry. 

The statements of policy were prepared at a series of conferences in Detroit, 
Mich., participated in by representatives of the leading automobile manufacturers, 


the United Automobile Workors-CoiiKrcss of IiuUistrial Organizations, the U. S. 
Eniploynient Service, and the Labor Division of the Office of Production Manage- 
ment. The text of the six statements follows: 

Statement No. 1. 

Where a man working on nondefense production is laid off and obtains defense 
employment with another company, and that fact is certified to liis former com- 
pany, he will not have to report back for civilian production work in order to 
protect his seniority so long us he retains the defense emi)loyment to which he waa 
certified. If he shifts from one defense employment to another, there must be 
a recertification as to his new defense employment. Employers concerned with 
the application of this policy will work out arrangements which will result in the 
maximum possible acceleration of the defense program. 

Statement No. 2. 

Transfers of employees to defense work shall be by seniority in the following 

First, those fully qualified for skilled or semiskilled jobs on the basis of past 
experience and training. 

Second, those who can qualify within the period normally given to new 

When management and representatives of the workers are agreed that no em- 
ployees or an insufTicicnt number of employees with seniority are available in the 
first group, new, fully qualified employees will be hired. 

Statement No. S. 

W^hen hiring new employees for defense work, qualified applicants working on 
nondefense work with seniority in local industry will be hired before workers 
coming from other localities. When so hiring, the qualified applicant with the 
longest seniority record will receive preference. 

The senior employees among those working in plants where employment is 
decreasing who can be spared; who elect to accept such defense employment; 
and who are found acceptable will be the first released with full protection of 
their seniority rights. 

Statement A^o. 4- 

Skilled tradesmen laid off, partially employed, or employed at occupations other 
than their trade or its equivalent in defense usefulness, will be released upon their 
request, with protection of their seniority rights, for full time defense work (40 
hours per week) at their trade. The need for these workers in defense employ- 
ment wiU be certified to the worker's employer. 

Statement A^o. 5. 

The above policies are to be construed as a pattern for industry and labor to 
follow and are not retroactive. It is understood that their application is a local 
community problem and must be worked out on the basis of cooperation between 
plants in a community and the workers involved. 

The operating machinery to effect this point will be set up at an earlj' date. 

Statement No. 6. 

1. Kecall of employees: An employee loaned or laid off, whether unemployed 
or currently emjiloyed on defense or nondefense work, must report back for defense 
employment to the company with which he holds his original seniority, if and 
when called, on notice of at least 1 week. Recall of employees to defense work 
presupposes, and management will endeavor to provide, full-time employment, 
contingent upon the availability of the essential tools, material and facilities. 
Skilled tradesmen will be subject to recall only for full-time defense employment 
at their trades or equivalent. 

2. Defense training: For the purpose of these policies, defense training is to 
be considered defense employment, provided there is an understanding between 
the employer and the employee that tlie employee is being trained for a specific 
pay-roll job. 


Exhibit B. — Registration of Congress of Industrial Organizations 
Members with State Employment Service Offices 


Officers, Representatives, and ttiembers of Congress of Industrial Organizations 

Greetings: Enclosed herewith for your benefit and guidance is copy of self- 
explanatory resolution recently adopted by the annual convention of the Missouri 
State Industrial Union Council and the last regular meeting of this organization; 
likewise, a copy of industrj'-wide provisions for the handling of transfers and 
placement of auto workers, such having resulted from a series of conferences 
between representatives of United Automobile Workers, Congress of Industrial 
Organizations, Office of Production Management, United States Employment 
Service, and management of the automobile industry. 

Serious study should be given to the details of both enclosures and your organiza- 
tion is urged to render all possible cooperation in a speedy registration of your 
members with the St. Louis office of the State Employment Service, in order that 
a sufficient supply of experienced, qualified production workers will be available 
for referral to various defense production plants located in St. Louis and vicinity. 

It is obvious that the American Federation of Labor craft unions will make 
every possible attempt to place their members on such jobs, even to the extent of 
endeavoring to place construction workers on various production operations which 
can only be construed as absurd and ridiculous. Such policy being fostered 
solely for the purpose of perpetuating American Federation of Labor members 
on the defense projects irregardless of whether they are actually qualified to 
perform the essential operations required to produce the maximum amount of 
results for the National Defense Program. 

Certainly under the circumstances, it is imperative that all local unions render 
the degree of cooperation that will be instrumental in providing the maximum 
benefits to your membership. 

Further information on such program will be made available upon request. 
Fraternally yours, 

Luther M. Slinkard, Secretary. 

[The resolution referred to above is as follows:] 


Whereas the national defense program of the United States Government calls 
for complete utilization of manpower as well as materials and productive facilities; 

Whereas the Office of Production Management has designated the United 
States Employment Service as the official defense employment agency and has so 
notified employers; and 

Whereas the offices of the Missouri State Employment Service, a component 
part of the United States Employment Service, does not have available complete 
work history and data and skills of all workers in the city of St. Louis; and 

Whereas this information is necessary to the Federal defense program in order 
to utilize to the best advantage the available skills of all workers and to guarantee 
success to the defense effort; and 

Whereas such complete registration of members of local unions affiliated with 
the St. Louis Industrial Union Council and the subsequent methods of referral of 
such registered workers will work to the advantage of both organizations and 
their members: Therefore be it 

Resolved, That this organization go on record urging the immediate registration 
of all Congress of Industrial Organizations memVjers at the employment service 
office in such order and such manner that those members who may be first affected 
by dislocation of employment through the defense program will be registered 
first, those who may subsequenth' be affected registered next and finally those 

60396— 42— pt. 23- 

3752 '^'''- '•<"l^ UKAIMNCS 

workers who arc now ciiiplo} rd in (icfcnsc occupations rcKistcM'cd in order that a 
conii)k'to employment pattern may he availal)le; and he it furtlier 

licsolvcd, 'riiat each U)cal union follow the pattern of re^isl ration of its members, 
as laid down by the annual convention of the Missouri State Industrial Union 
Cotmcil, through consultation with the regional lahor su})ply committee of the 
Social Security Board and the Odice of Production Management; and be it finally 

Rcsolvdl, That such program of registration he promoted and coordinated 
through the St. Louis Industrial Union Council and each local iiiiion he instructed 
to forward regular reports of their supporting activity in behalf of their member- 

Exhibit C. — Program for Union Registration 


Each local will furnish the employment office with nieml)ershi)) lists of its 
members. This list should be in alj)habetical order and contain the full name 
and street address of each member. These lists will be used in some very impor- 
tant checking by the employment service as to previous registration, etc., and 
will he used in making arrangements for the registration of the members of the 
various locals. 

A representative of the employment office will contact the head of each local 
and make arrangements with the executive of the local as to the dates of registra- 
tion and the number that can be handled on any designated date. The emi)loy- 
ment service will furnish each l)usiness agent and shop steward with a letter, 
copy of which is attached. Included with this letter will l)e a self-registration 
form complete with an occupational check list and instructions on how it is to 
be filled out. Each member will fill out the self-registration form before appearing 
for his interview and this form will be checked l)y the officers of the local, or the 
shop stewards, for completeness and legibility prior to the interview. 

The employment service will have on hand at the place of registration, sufficient 
interviewers to handle the number of members scheduled at the designated time 
and those interviewers will cover very completely with the member, the informa- 
tion he has put on his self-registration form. 

As each work sheet is completed, the applicant will be given an employment 
service identification card, containing his name, social security number, and date 
of application. The work sheets will then be sent to the office of the employment 
service where they will he transcribed on the regular application cards. Super- 
visors will then classify each card, according to the work record and qualifications 
of the applicant. 

Upon completion of the program for eacn local, the local will receive from the 
employment service a list showing classifications of each member. In this con- 
nection, it is desirable that any questions asked by the membership relating to 
the registration program be first taken up with the executive of the local who, in 
turn, can get the required information by calling his employment-service repre- 

In the event of mass lay-offs, due to seasonal iiidustries or the curtailment of 
activity in non-defense industries, the employment service should be notified of 
such as soon as possible. Registrations of these workers can then be scheduled 
and every provision made to help place these workers in other joVjs. 

Any change of address should be forwarded to the employment service bj^ the 
secretary of the local. 

It is suggested for the convenience of the union memherslii]:) and to relieve 
congestion in the employment office that the interviewing he done at the union 
hall. However, this is not absolutely necessary and arrangements can he made 
to interview in the employment office or at any place that is agreeable to both 
the membership and the em])loyment office. The details on this can be worked 
out with each local by its officers and the employment service representative. 


Attached arc two forms: (1) A preliminary registration form and (2) an occu- 
pational check list. These are needed by the St. Louis office of the Missouri 
State P'.mployment Service to quickly and adequately register your skills in this 
defense-registration program. If you have registered with the employment 
office before, you should also fill this out, since your application already in file 



may not be complete. Fill in all spaces, answering every question. Please 
print all information requested on both forms. 

Occupational check list. 

The attached occupational check list should be checked first as it will be helpful 
to you in filling out the registration form, which is also attached. Fill in all items 
pertaining to yourself on the occupational check list which is attached, checking 
all jobs which you can do or have done. This will be extremely helpful to the 
interviewer and will be checked very carefully with you at the time of your 
interview. This information may be used in placing you on some defense job. 

In case you do not find listed some job you have done, circle the name of the 
job on the list that is closest to the job you have performed and this will l)e 
covered with you by the interviewer at the time of interview. 

Preliminary registration form. 

Most of the entries are self-explanatory. You will observe that on the lower 
half of the face of the registration form there are four boxes. If you are a skilled 
or unskilled worker, fill in only the top box as indicated, and ignore the rest. 
This form is a universal form and is used for all types of workers. You may 
ignore, of course, any questions concerning commercial workers, personal service 
workers, or agricultural workers. 

At the bottom of the page you will note a space "Use this space to show any 
other kind of work experience you have had." In this space list such items as 
your hobbies, special machines on which you have skill, or other work which you 
can do or have done and have not listed elsewhere on this form. 

On the reverse side, fill in all of the spaces and describe clearly, exactly what 
you did on each job beginning with your last job or the one you have now, and 
working back to your first job. On any of these jobs in which you used a machine, 
indicate whether you merely operated it, or adjusted it and set it up. If you are 
a construction worker, or if you have worked for a great many employers, list 
the five most important jobs. 

Form ES-574 

Federal Security Agenct 
Social Security Board 

Occupational Check List 
(Inventory of Skills for National Defense) 

1. Name 5. Present job 

2. Address 6. Present employer 

3. Telephone number 7. Address 

4. Social Security number 8. Business or industry 

This inventory is being taken to find out the skills of the working population 
for purposes of national defense. In the space after the occupations listed below, 
place a check mark (»/) only after the job or jobs in which you have had experi- 
ence or for which you have completed training and which are different from your 
present job. 


Absorberman. .-_ 

Airplane coverer. 

Airplane machinic 

Airplane woodworker 


A rniorer 

Asbestos worker 


Autoclave operator 

Automobile-body repairman 

Automobile-generator repairman. 

A utomobile mechanic 

Automobile radiator man 


Bakelite mixer 

Ball warper tender 

Band sawyer _. 

Barrel chanberer 

Barrel driller 

B arrel polisher 



Barrel reamer 

Barrel rifler 

Barrel roller 


Bending-roll operator 

Bessemer converter blower, 

Bovoler, eye glasses 

Blacksmith _. 

Bleacher operator 


Boring-machine operator-.. 

Boring-mill operator 



Cable splicer 


Canvas worker . 

Card grinder 










Cement finisher 



Milling-machine operator 






Model maker. 

Crane operator 


Cut-off-saw operator 

M older operator 


Motor analyst 


Motorcycle repairman .. 

D ie asse mbler 

Optician.. . 

Die (iesigiier- 

Ornaiiienlal-iron worker 

Die nialier 

Ordnanceman . 

Die setter 


Dishing-machine operator 

Panel maker 

Dope mixer 

Pipefitter . 


Planer operator 

Drawer-in, hand 


Dresser tender 




Drill-press operator. _ 

Profiling-machine operator 

Drop-haninier operator 

Propeller mechanic 

Dynamic balancer 

Pulpit man 


Rad io-ch assis aliner 

Electric-motor repairman 

Radio repairman 


Refrigerating engineer 

Rib-frame builder ... 

Explosives operator 


Fabric worker 


Filer . 

Roller . 

Finisher, watch manufacturing 

Sand-control man 



Shaper operator .. .. .. 

Fuselage-frame builder 

Sheet-metal worker. 

Oas-producer man - 

Ship fitter 

Gear cutter . .. 

Slubber tender .. .. .. 

Spar builder 



Still operator . . . 

Structural-steel worker 


Substation operator . 


Heat treater 

Tail-surface-frame builder. 

Tempernr.. __. 

Template maker . . 


Textile machine fixer 

Time-study man 

I'inner, automatic 

Tool designer . . 

Tool-grinder operator 

Tracer. _ 

Trainer, watch manufacturing 

Transformer rebuilder. 

Tube bender ... 

Tubing-machine operator 

Underturner, watch manufacturing 


Varictv-saw operator 


Weaver . 


Wheel cutter, watch manufacturing 

Wire chief 

Describe briefly your experience or training in the jobs you have checlced: 


Please do not write below this line. 

Remarks (for use bj- State Emploj-ment Service): 


This form has been given to you to save your time and for your convenience. 
Please answer all the questions you can and return the form as the interviewer 
instructs you. 

(Please print) 






















12345678 1234 1234 









If you have had experience in any of the following kinds of work, indicate same 
in the proper space below. 

Use the reverse side of this sheet to show your former employers and the kind 
of work you have done for each employer. 

For skilled and unskilled workers: 









For commercial workers: 






For personal services: 

sr. i.oris iii:aki.n(;s 








For agricultural workers: 



Use this space to show any other kind of work experience you have had. 

Employment Record 
Answer the Questions Asked Below for Each PJmployer You Have Worked for 













Exhibit D. — Certification of Hire for Defense Work 

defense work" (form SES 326 WHICH IS BEING USED IN THE STATE OP 

When an employer hires a worker for defense work who was fornierlv employed 
by another firm with which he acquired seniority, that fact shall be promptly 
certified to that employer with which original senioritv was acquired Certi- 
fications shall be made on Form SES 326 (sample below) provided for this pur- 
pose and shall be prepared in quadruplicate. The distribution of this form shall 
be as below: 

1. One copy to the worker involved (who will turn it over to his local union 
or retain for his own record). 

2. A copy for the certifying employer's file. 

3. A copy to the former employer where senioritv was acquired. 

4. A copy to the local office of the State Employment Service. 

Note. — The responsibility for requesting certification rests with the individual 
member affected. 



Re: .. 

•Certification of hire for defense work. 


SES 326 

Code classification 

Seniority date 

To Thia is to certify that as of we have 

(Name of company or corporation) (Date) 

employed on defense work as a formerly 

(Name of person) 

■employed by our firm as a 

(Name of skill or classification) 


(Name of company) (Title of person in charge of persoimel or employment) 


To protect your seniority rights, it is necessary and to your advantage to see 
to it that this card is made out by your defense employer and a copy sent to the 
employer with which original seniority was acquired. You should also see to it 
that your new employer furnishes you with a copy which you should turn over 
to your union or keep for your own record. 

Exhibit E. — The Glass Industry and the National Defense Program 

report by r. j. reiser, president district no. 4, federation of glass, ceramic 
and silica sand workers of america, representing crystal city local, 

NO. 63 

Crystal City Local, No. 63, of the Glass, Ceramic, and Silica Sand Workers 
of America, represents the employees of the Pittsburgh Plate Glass Co. at all 
•of its glass factories. 

This supplementary report relates the relationship in the flat glass industry 
in Jefferson County to employment in the automotive industry and the national 
defense work. 

The Pittsburgh Plate Glass Co. operates six flat glass factories, three producing 
plate glass and three producing sheet (window) glass; both polished plate glass 
and sheet glass are used to produce laminated safety glass for automotive vehicles. 
Plate glass is used to produce tempered case-hardened glass also used in auto- 

One of these six flat glass plants is located in Crystal City, Mo. being designated 
as works No. 9, Pittsburgh Plate Glass Co. At this factory plate glass is manu- 
factured, a portion of which is made into case-hardened glass for automobiles; 
another portion is used along with flat (window) glass in laminating automobile 

The Crystal City plant obtains its natural gas via pipe line from Louisiana, 
and its electric power via transmission line. Silica sand, a major raw material 
used in the glass is obtained from a sand mine operated as a part of the factory. 

The extent to which this factory is adaptable to defense production, and the 
■extent to which this factory has already undertaken defense work in terms of 
employment on such work is as follows: 

First. The following tabulation will indicate the extent to which facilities of 
this company are now engaged in direct defense work. 


Number of 

engaged in 
direct de- 
fense work 

for direct 


Machine Shop No. 9, Crystal City, Mo 




Second. We regard the flat glass industry as an essential industry. Glass 
products are going directly and indirectly into the national defense program. 
A partial list of the uses includes airplanes, naval vessels, military trucks, motor- 
ized equipment, optical glass, gas masks, glazing for airports and hangars, glazing 



for factories producing military supplies, glazing for Army cantonments and 
defense housing, and glazing for transportation equipment, etc. Despite the 
foregoing, the fact remains that a total curtailment of automotive production 
will dislocate approximately 4,000 of this comimny's employees; a 50 percent 
reduction would seriously disru|)t the local economy. 

Concerning the extent to wiiich tiie glass industry in general, and this company 
in particular is adaptable to defense ])roduction, and a forecast for the next 12 
months in that regard, we regret to state that so far as we know, plant ec|uii)ment 
for the production of flat glass is not convertible to other uses, either military 
or nonmilitary. In modern production of flat glass a continuous tank oi)eration 
is involved. The molten glass (lows from a contimiously operated tank onto 
and through aiHu>aling lehrs designed, in the case of plate glass (which is manu- 
factured at Works 9, Crystal City, Mo.) to produce a rough rolled glass, and in 
the case of sheet (window) glass, to jiroduce a fire-finished product. To produce 
polished jilate glass, the rolled glass is i)assed to grinding and polishing tables 
where the fiiuil finished surface is produced by abrasive and polishing wheels. 

There are inherent limitations in the equij)ment essential to the production of 
flat glass which probably precludes any conversion of that equipment to other purposes. 

The following recapitulation of actual average employment for the 12 months' 
period to August 31, 1941, of all flat glass plants of Pittsburgh Plate Glass Co., 
and the monthly break-down for Works No. 9 at Crystal City, was prepared by 
the central office of the company to show the percentage of workers involved in 
the ])roduction of a\itomotive glass, and the reduction that would be eflFected in 
direct ratio to the reduction of automotive production. 

Recapitulation — all flat glass plants 

(I) number 
of employees 

(II) percent 
engaged in 
glass produc- 

(III) number 
engaged in 

glass produc- 

The employment shown in 
column III will be reiluced 
in direct ratio to the reduc- 
tion of automotive produc- 

WorksNo. 1 

Works No. 4 

Works No. 9 










Works No. 10 - _ 

WorksNo. 11 

WorksNo. 12 





Note. — The employment figures above reflect full day continuous employment per man. 

Works 9 — Plate glass-^ Crystal City, il/o. — lieccrd of actual employment for the 12 
months' period ending Aug. SI, 1941 

















Number of 





Percent en- 
gaged in 

glass pro- 


Number en- 
gaged in 

glass pro- 


1, 6C0 



After 50-percrnt curtailment 
of automotive production, 
the employment shown in 
column III will be reduced 
50 percent 

Note.— The employment figures above reflect full day continuous employment per man. 


On the basis of the foregoing figures, a ready computation on the pending 
69 percent curtailment of auto production can be made. 

The union contract makes the following provisions which would be applied 
when a reduction of the force or working hours is necessary: 

"Should any department in a factory be partially or permanently discontinued 
•due to the installation of new machinery or technological changes, then such 
emplo3'ees who have been affected shall be given an opportunity to transfer to 
the bottom of the promotion schedule in another department in the same plant 
providing they are qualified and meet the following requirements: 

"First. Any employee having 5 years' or more seniority in that department or 
plant can displace an employee with less than 3 j^ears' plant seniority, or 

"Second. Any employee having 10 years' or more seniority in that department 
■can displace any emplo3-ee with less than 5 years' plant seniority." 

The contract provides further: 

"All available work will be equally divided among regular employees in any 
department who have worked in excess of 6 months in that department. Should 
equal distribution of work available result in such employees receiving less work 
than 24 hours per week, a reduction of force will be made so that the remaining 
employees will receive such minimum of hours of work per week." 

At the present moment, the two departments to be most imminently affected, 
the Duplate and Herculite departments, are engaged in the processing of safety 
glass. The Duplate department has an average of 590 employees, and Herculite 
an average of 114. Their working hours have fluctuated from 23 to 36 hours 
per week in the past month. In order for employees to be laid off, work hours 
would have to drop below 24 per week for the entire department. Then sufficient 
w'orkers would be laid off so that the remaining ones would have 24 hours per 
week. These lay-offs would be on a seniority basis. Of course, the present 
workweek could be reduced materially by overnight cancelation of present 
orders, or by failure to secure additional orders. Thus, the company is unable to 
forecast future possibilities of steady employment or mass lay-offs with any 
degree of accuracy. 

In one report that w^as available to us the company made the following statement: 

"We regard the flat-glass industry as an essential industry. Glass products 
are going directly and indirectly into the national-defense program. A partial 
list of the uses includes airplanes, naval vessels, glazing for airports and hangars, 
glazing for factories producing military supplies, glazing for Army cantonments 
and defense housing, glazing for transportation equipment, etc. Despite the 
foregoing, the fact remains that a total curtailment of automotive production 
would directly and indirectly dislocate approximately 4,000 of this company's 
employees; a 50-percent reduction in automotive production will dislocate approxi- 
mately 2,000 of this company's employees. The number dislocated at any inter- 
mediate point can be readily determined. At a number of plant locations this 
company provides practically the only source of employment with the result that 
suspension of operations would seriously disrupt the local economy." 

This statement, and principally the last sentence, is pertinent to this local plant 
and Jefferson County. The twin cities of Crystal City and Festus are dependent 
on the plant's operations for the major percentage of their income. It is on the 
plant's continued full-time operations and resulting pay roll that many retail 
establishments are depending and any major reduction would cause a spreading 
dislocation of workers in these establishments. The balance of the county would 
be affected to some degree by the same reduction as all workers are not residents 
of the twin cities. 

The company's annual pay roll was approximately $2,967,000 for the year 1939, 
and $3,334,000 for the year 1940. This year's pay roll wall approximate 1940. 
This sum removed from a county with a population of 32,000 would have serious 
economic effect. 

An additional factor that must be coupled with any reduction of working hours 
would be the natural tendency of any workers faced with a reduced pay check to 
migrate to other points. To some degree this is already happening. Workers 
have left the plant to accept defense employment in the St. Louis area. Some of 
them are going despite plant seniority of years because they fear that the plant's 
shut-down might throw them out of work at a time when defense employment had 
reached a peak, and thus they would be without employment. Securing St. Louis 
employment would, in many instances, necessitate the worker moving to that 
point, thus adding to the burden on St. Louis housing conditions and removing 
any income from this locality. 

The company expresses the belief that they doubt the conversional possibilities 
of the plant would be suitable for defense production. No survej' of the plant 
has been made by any Government agency. 

8760 ST. Loiis ]ii:.\i{i.\r,s 

As the local plant's output koos in a largo dogreo to tho Chrysler C^c, there 
might be a cross check nmde with this organization that would reveal the future 
trend of orders and thus be a means of estal)lishing some estimate of future pro- 
duction. This could be made by comparing potential car-production figures 
against stock on hand, and on order at the local jjlant. 



The twin cities consisting of Crystal City and Festus, Mo., with a population 
of appro.ximately 10,000 are in a serious condition. 

Located in practically the center of Jefferson County and center of trading; 
and the most important contributor to the expenses of the State and the county, 
can and may become a ghost town unless some type of Government help is 

Our leading industry — glass made by the Pittsburgh Plate Glass Co. in Crystal 
City— is forced to go on a 3-day basis until the first of the vcar, and then may close 
from time to time. This is one of the results of the curtailment of auto j/roduc- 
tion which is supposed to be cut still more, and upon which the twin cities 
practically exist. 

In Jefferson County we have unemployed at the present time 1,336 men and 
536 women according to the latest report of the Missouri unemployment records 
of the twin cities. With 2,000 more laid off totally or part time, vou can readily 
see our j^redicament. 

Xow, then, there must be something the Government can do for us with all of 
the following information: 

1. Inasnnich as most all of these people that are unemployed, and those that 
may be, are already housed (they either own their home or rent homes already 
built) ; all live within a radius of 10 miles, housing and transportation problems 
would not happen in Jefferson County. 

2. We are located 38 miles from the city of St. Louis and are near the Weldon 
Springs project. Also are conveniently located for another family plant to tie in 
with the other two, saving excessive freight, time, etc. 

3. We have natural gas. 

4. We have four sources of electric power instead of one so that current is 
available at all times, and electric power will not be a problem. 

5. We have two railroads — the Missouri Pacific and the Frisco. 

6. We have a four -lane highway extending all the way to St. Louis. 

7. We have the Mississippi River all along the whole east side of Jefferson 

8. We have 230 acres of rough grounds we will give the Government for any 
type of project; such as storing of and making ammunition. 

9. We have the best silica sand deposits in the United States of America for 
use in molding steel, etc. 

10. We have approximately 400 homes on Federal Housing Administration 
under titles I and II in which the Government has $600,000 or more at .stake. 

11. We also have a factory building that occupies 30,000 square feet of space 
consisting of three divided floors with a power elevator, and is equii)ped with the 
latest type water sprinkler against fire. 

(a) The above was used by Ely Walker as a shirt factory. This could be put 
into use as the Government has given them much work. If a little persuasion 
were used in awarding them contracts so that some of the work could be done in 
Festus, the building we are referring to will, and can, take care of employing about 
300 to 400 peoi)le, which would help a little. 

12. Lead smelter within 4 miles. 

Our commimity of 10,000 needs some type of project for defense to prevent a 
ghost town, and with the above good requisites there is no reason why this com- 
munity isn't given some type of a national defense project. 

We have everj^thing that is needed, and the Government will encounter no 
difficulties in housing, employment, transportation, electric power, natural gas,. 
etc. We can and are able to deliver the goods easier, quicker, and better from 
Our twin cities or surrounding county. 


Exhibit F. — Jefferson County's Facilities for Defense Needs 

inter-office communication to e. w. dwyer, district supervisor, from 

ed. f. cummings, manager, crystal city office, missouri state employ- 
ment service 

December 1, 1941. 

We would like to submit this report as a supplementary one to our report of 
November 28, 1941, which concerned the effects of automobile production curtail- 
ment to the Pittsburgh Plate Glass Co. of Crystal City and the area as a whole. 
This report endeavors to outline the facilities and natural advantages the county 

Transportation facilities are particularly good. Two railroads, the St. Louis- 
San PVancisco (Frisco) and the Missouri-Pacific serve the county. Highways 
provide easy access to St. Louis and vicinity. Highway 61 is four lane wide 
north from Festus and Crystal City. Also situated on this highway are the towns 
of Herculaneum, Kimmswick, Imperial, and Barnhart, as well as several smaller 
communities. The recently completed Highway 25 provides a new two-lane 
road to Ste. Genevieve and the South. Highway 21, now nearing completion, 
will provide facilities for the central portion of the county. 

The Mississippi River Fuel Co.'s pipe line passes through the county 1 mile 
north of Festus and supplies the area with natural gas. The Union Electric Co. 
brings power from four sources. Silica sand deposits are of the best in the coun- 
try. A smelter operated by the St. Joe Lead Co. at Herculaneum is capable 
of further expansion. 

The county is located on the western bank of the Mississippi River, just south 
of St. Louis County. Festus and Crystal City are 28 miles south of St. Louis 
city limits with a combined population of 10,000, while De Soto is 14 miles farther 
south with a population of 5,000. 

Festus and Crystal City are dependent largely on the Pittsburgh Plate Glass 
Co. for employment and income. It is estimated that 75 percent of the homes 
are owned by the people who occupy them. Federal Housing Administration has 
financed 400 homes involving an estimated $600,000. In addition to any of the 
glass plant facilities that might be utilized, there is a building of 30,000 square 
feet located in Festus. This building has three floors and was formerly used by 
the Ely Walker Dry Goods Co. to manufacture clothing. Its contains a sprinkler 
system and power elevator. 

De Soto is dependent both on the car shop of the Missouri-Pacific Railroad 
which employs some 400 men and the International Shoe Co. branch plant. 
Both industries are subject to seasonal fluctuations. De Soto has a vacant 
building, one-story high, which contains 1,400 square feet. This is a modern 
building with steel sash windows forming a considerable portion of all four walls. 
This plant formerly housed a hat factory. 

Both the twin cities of Festus and Crystal City, and De Soto have a considerable 
supply of skilled power sewing machine operators, mostly women, who are so 
situated that they are available for local employment but not elsewhere. It has 
been pointed out that the establishment of a defense industry along the lines of 
garment manufacture would thus be assured of an ample supply of workers. A 
survey made in July of this year showed 450 women skilled and available in this 

It has also been pointed out that the area is well situated for the establishment 
of additional plants to tie into the munition making group in St. Louis and vicinity. 
The storage dump of the U. S. Cartridge Co. on Highway 66 includes part of 
Jefferson County in its acreage. The rolling and some hilly contours of the area 
lends itself to this field when the safety factor is considered. 

One factor that is causing considerable unrest is the possibility that lack of 
employment in the area will cause a migration to St. Louis because of defense 
employment there. This is already becoming noticeable. If further curtailment 
of glass plant employment eventualizes, this migration might reach an alarming 
peak, unless some other source of employment is available to the workers. 



November 26, 1941. 

Tho indisputable loyally of the Negro to his country and community i.s a well 
ostablishotl fact. Ilis contribution in every major conflict is an enviable record 
of many who deny him of his rights and jirivileges for which he has shed blood 
to protect. No other group can rightfully say that it harbors no saboteurs, fifth 
columnists, or responds to subversive propaganda which is contrary to our 
American democratic way of life. 

For this record of loyalty and service to our country, many of these citizens are 
denied participation in the accepted advantages of a democracy, the right to work 
at a livelihood of his own choosing — not because of their inability to perform, but 
because of their color. 

The Urban League, representing these loyal citizens, has virtually exhausted all 
legitimate and peaceful means to gain racial inclusion. Appeals have been 
made to all Federal governmental agencies, city administrative ofTicials, and each 
segment of the community, including the various branches of the chamber of 
commerce, as well as private and public contractors and union ofllcials. 


There are 108,000 Negroes in St. Louis, plus an additional 32.000 within the 
metropolitan area (1940 census). Of this number, over 40,000 are employable 
(Urban League estimate). According to the St. Louis Chamber of Commerce 
there are 2, .^00 factories producing over 70,000 diflferent items for national defense. 
Over $600,000,000 worth of contracts have been placed in St. Louis. It is esti- 
mated by the Post-Dispatch (August 17, 1941) that over 200,000 people will be 
attracted to St. Louis. We know that many of these will be Negroes, conse- 
quently increasing economic and racial problems. 

On January 23, 1941, the Urban League conducted a survey of plants receiving 
large contracts. Out of 88 concerns, 56 were contacted. Excluding heavy industry 
and the shoe industry, these plants did not average 3 Negro workmen per jilant. 
Of the 38 industries with contracts for more than 8100,000, with the same exclu- 
sions, no Negroes are hired in a skilled capacity and only a very few as menials. 
To our knowledge, this condition has not been changed to any noticeable degree 
by the President's ultimatum on no discrimination. 

At present, discrimination against Negro workers falls into two principal cate- 
gories: Construction and production. 


Without doubt in this category the unions are the principal obstruction. Many 
contractors prefer and seek Negro labor. While displaying democratic charters, 
many American Federation of Labor locals openly discriminate against lilack 
workers. Since the late twenties the Urban League has fought the lily-white 
policies of the St. Louis American Federation of Labor building trades. Attached 
to this statement is a request by a local contractor who wishes to respect his 
contractual agreement with the Government to hire Negro workmen. This request 
was flatly refused. 

It is a matter of public record how the Hoisters' Union, headed by Buck Newell, 
refused to let hoisters who were employed by local concerns join the union or 
continue on their jobs as Negro engineers. This was in spite of the company's 
willingness to pay the exorbitant union fees (1931 Urban League files). 

Representatives of the contractor and Army (Weldon Springs) admitted to the 
Urban League and Government officials that their hands were tied because of the 
dictatorial policies of the local building trades, and it was over the latter's protest 
that the three Negro painters, the only skilled local of the American Federation of 
Labor were given work on this project (Februarj^ 28, 1941). These men were 
•denied work cards by their own union organization to which dues were being paid. 

The bricklaj^ers' membership (600 as of May 1941) was insufficient to cover 
local and Government work. The membership was open to nonresidents, while 
at the same time, two Negro members with "transferred cards in good standing" 
were continuously denied work. 

On June 9, 1941, at 10 a. m., three Negro craftsmen for each of thebrickmasons, 
cement finishers, and carpenters local, followed John Church's advice (secretary 
of building trades) and applied for membership only to be turned down in two 
instances, and advised in the last instance that cards would be issued if work were 


available. At the moment, copies of letters requesting Negro workmen were in 
the hands of union officials. 

In February 1911 a trip to the Western Cartridge Co., of Illinois, demonstrated 
how vicious this discrimination has become. Union officials in control of national 
defense housing refused to consider Negro craftsmen unless all white men of this 
vicinity were working, and the St. Louis building trades would give consent. One 
local of Wood River told of an incident of "tar and feathering" a contractor in 
1921 because he wished to work a few Negroes in the construction of a high school, 
ironically named Lincoln. 

Our experience with the building trades and their "practices of exclusion" in 
St. Louis causes us to question which is the stronger — the Government's expressed 
policj- of nondiscrimination, or the union's undemocratic policy which denies jobs 
and prevents Negroes from obtaining the quota of employment definitely set up 
for them by the Government. 


In this category, the employer appears responsible in the majority of cases. 
In the production of steel, Negroes share well in employment, but few are in the 
skilled brackets. By being in the unskilled brackets, these workers are easily 
replaced by technological improvements. 

The U. S. Cartridge Co. is the only concern which has indicated plans for Negro 
workers in production. Efforts to talk with holders of large contracts, either 
individually or collectively through the chamber of commerce, have failed. 

When the chamber of commerce presented a survey of plants for Government 
consideration for granting national defense contracts, the Urban League sub- 
mitted a list of 1,500 skilled and semiskilled men for labor supply. Repeated 
efforts to be heard have been unsuccessful. 

Negro women workers are an unknown entity in national defense jobs. The 
needle trades of St. Louis enjoys many large contracts. The International 
Ladies Garment Workers LTnion has concluded an agreement with Urban League 
officials expressing fairness and the willingness to work with Negroes. It is now 
the responsibility of the employers who have for years placed the exclusion on 
the doorstep of the unions. 

Carter Carburetor, holding over $1,335,535 in contracts, does not employ a 
single Negro. This can be multiplied many times by the many other large 

As the Nation pushes its rearmament program with the avowed purpose of 
defending democracy, it is ironic that democracy should be forgotten to permit 
discrimination against our own minority race in selecting workers for defense 

Again I repeat: Which is subordinate? The Government's expressed policy 
of no discrimination or the unions' policy of discrimination in which many em- 
ployers share? 

Exhibit A. — St. Louis Employers, Unions and Negro Workers ^ 



L'nfortunately, St. Louis is known as being one of the worst labor spots in the 
country. Last month, high Army officials publicly announced that because of 
apparent irregularities in labor leadership, resulting in undue labor stoppages, 
parts of the remaining unfilled Army orders will be transferred to other cities and 
plants. Labor leaders in other sections of the State have stated to Urban League 
officials that their organizations do not wish to have anything to do with many 
St. Louis labor leaders because of their ruthless and racketeering methods. 
This, as a preclude to a factual account of a struggle for jobs in behalf of the Negro 
worker, should explain many problems facing the St. Louis Urban League. 

The struggle for defense employment in St. Louis has certain unique aspects. 
With the exceptions of the shoe industry, steel industry, and textile industry, the- 
job prospects are still in the construction stage. Even at this period we may 
safely analyze the job opportunities for the Negro worker. 

The St. Louis Chamber of Commerce, in a recent survey, estimated that the 12 
major defense plants in the St. Louis area will require 68,400 workers when oper- 
ating at scheduled capacity. Approximately 37,000 are now employed. Exclud- 
ing construction workers, 31,400 are now working in these plants and in the next 

' This is essentially the material which was contained in an article which appeared in the November 
issue of Opportunity Magazine. 

3764 S'''- i^uis iii:a HI NT. s 

10 numlhs 37.000 will bo added. A survey of those .same plants indicated that 
58,000 i)ro(luctic)n workers will l)e employed to 10,400 nonproduction workers. 
Of this number, 5"), 400 will bo men and 13,000 will be women. Tho local labor 
8upi)ly can meet this demand as there are 93,000 workers in this area available 
for emjjloyment, in spite of selective service and risinu; employment figures. To 
this number must be added technical workers and the normal immiffration which 
should approximate 7'). 000 workers. Over $700,000,000 in defense; orders have 
lioon allocated to metroi)olitan St. T,ouis. There are approximately 140,000 
Nofiroes in this anvi, of which lOS.OOO live within the corporate; limits of St 
Ivouis. Out of this number ()3,000 are employable and avaihiljle for national 
defense work. Tho loajjue finds its jobs increasingly difficult as, like Kansas 
City in tho western part of the State, St. Louis is socially and traditionally 
southern without many of the labor advantages of cities in tho solid South. 

To reiterate, jobs at present fall into two categories: Construction and produc- 
tion. Let us examine the black workers' ])light in the construction field directly 
related to national defense. At peak periods of construction the cost j)lus fixed-fee 
job (small-arms plant) employed l,r)00 Negro laborers out of a crew of 4,500 
laborers (9,000-man pay roll). Thirty miles from St. Louis the Government 
built a TNT plant, employed 6,000 men, of which 000 wore Negro laborers. 
Twenty miles from St. Louis, 100 Negro laborers worked on the construction of a 
powder plant dumi). 

The only skilled men em]iloyed in this immediate vicinity at present are the 
throe Negro union painters working at $15 per day as the result of the persuasion 
and coercion of the Urban League and Office of Production Management repre- 
sentatives in joint conference with the contractors. In spite of the Negro union- 
ists being in good standing with the white parent local, they were excluded from 
this employment as these were "white union men's jobs." These are the only 
skilled Negro craftsmen working in this area. The auxiliary local numbers 
7 men, of which are active. The white parent local numbers 2,300 men and 
refuses the Negro local more men. 

Two months ago. 12 Negro union bricklayers were working on a private union 
job. Only two of these men were St. Louisans (10 were from Kansas City) 
and their memberships were received in Tennessee and forced u]ion the brick- 
layers' local by the league during the time the national convention of brick- 
layers met in St. Louis. The local refuses to admit more Negroes or to grant 
work to these men whoso qualifications are beyond question. 

Tho Urban League is continuing its 15-year fight against the exclusion of the 
American Federation of Labor building trades in St. Louis which has received 
national recognition for being one of the most entrenched and racket-ridden 
groups in the country. In these years the league has been directly responsible 
for or ])articiy)ated in the fight which has given the black craftsmen a painters' 
auxiliary, plasterers' auxiliary, and two brickmasons with cards. Negroes par- 
ticipate in over 36 locals and internationals in St. Louis, many holding responsible 
positions. The Negro Building & Hod Carriers' Union has been organized for 
years, but recently fell into the hands of the receivers and management of the 
international vice president of the white local. The white local has been exposed 
as racket-ridden and 4 leaders have been indicted by the grand jurv for the theft 
of $6,000. 

The building trades make no secret of their exclusion of the black craftsmen, 
and 1 week ago defied a conference with the mayor and Government officials on 
this matter. After many conferences and much persuasion, tho league. Govern- 
ment officials, and Mr. E. J. Bradley, vice president of the Brotherhood of Sleeping 
Car Porters, forced the car]ienters' local to give examinations to 15 Negro car- 
penters on the strength of a proportional clause in a Negro housing jirojoct which 
is now under construction, and which both unions and contractors are ignoring. 
St. Louis proper has no defense housing; the closest being at Alton, 111., for the 
Western Cartridge Co. When league representatives a])])roached those con- 
tractors, they referred to a "gentlemen's closed shop" agreement with the Ameri- 
can Federation of Labor unions which exclude Negroes. In conference with 
these unions they were told of the contractors' willingness to employ Negro 
craftsmen. The unions refused membership until all white craftsmen were 
employed, which obviously meant nonresident as well as local, as union books 
were open to these journeymen. Those unionists reminded the league reiirosen- 
tatives that the community would not stand for Negro craftsmen, and referred 
to 1921 when a white contractor, building a Wood River, 111., high school ironically 
named "Lincoln," was tarred and feathered for employing Negroes. We wore 
in Wood River, the closest town to this housing project, talking with the same 


The Negro housing project has a 3.2 percent Negro skilled craftsmen clause, 
based on the 1930 census ])ercentage of Negro craftsmen within the total St. 
Louis population. The Government officials, the mayor and the league have been 
unable to force the local housing authority, contractor, or union to honor this 
signed contract. Last week the industrial secretary prepared a list of eligible 
complainants for a suit to be filed by the local N. A. A. C. P. against the contractor 
and housing authority. If an injunction is granted it will force the employment 
of cement finishers, carpenters, brickmasons, and other craftsmen of which the 
contractor admits he is in need and which the union cannot or has not supplied. 

Our experience indicates that this is purely a local matter, as in cooperation 
with other groups and Government officials, the league made it possible for 150 
Negro carpenters to work on the same job with white carpenters in the construc- 
tion of Fort Leonard Wood, a distance of 140 miles from St. Louis, but outside 
of the jurisdiction of the St. Louis building trades. 

In the field of production the efforts are less complete in many details due to 
the present stage of employment and the traditional prejudices of employers 
and workers. One can safely say that in construction, the area of obstruction is 
definitely on the union's part; in production — both unions and employers ar^ 
equally responsible. 

When the St. Louis Chamber of Commerce received advance information that 
the United States was to prepare for defense, it set a pace for the other large cities 
by compiling data on all types of St. Louis production which could be utilized by 
the Government for purposes of defense. Likewise the St. Louis Urban League 
received "closed information" that the metropolitan committee on preparedness 
of the chamber of commerce was conducting this cataloged survey. Conse- 
quently, the league surprised and probably embarrassed the committee, and cer- 
tainly the labor supply chairman wlio at that time was the head of the local 
State employment service with certain convictions on Negro labor and agencies, 
by placing in their hands a catalog of 1,500 Negro workers' names who could be 
used to produce national-defense material, but who were in many instances 
denied employment not because they lacked skill but because of their color. 

The local Curtiss-W^right plant was increasing production and workers. Locally 
this company has a long record of working Negroes only in the traditional jobs. 
This has greater complications than earnings lost to the Negro community, as the 
local board of education refuses training to Negro youth based on local industries' 
employment categories and specifically Curtiss- Wright. Out of 3,000 workers 
only 30 Negroes were employed and these as porters. After much persuasion 
by the league and other groups, the Curtiss- Wright management agreed to use 
Negroes in other categories providing the experiment of training and use of 
Negro craftsmen in the Buffalo parent plant was a success. On October 1, 
15 Negroes were called in for interviews, only 4 were employed and the reason 
for the exclusion of the remaining 11 was that their formal training was so 
superior to the presently employed whites that friction would certainly develop. 
Confirmation was received from a high Government official that workers within 
the plant have circulated and signed a petition stating that "we, the undersigned 
white workers, do not wish to work with Negroes." The league has made certain 
suggestions on this matter and the results are unknown to date. It should be 
said that St. Louis is one of the few cities where the American Federation of 
Labor aircraft locals control the Curtiss- Wright plant. 

The previously mentioned 68,000 workers needed in national-defense production 
will be working in 5 principal categories: Administrative and technical, clerical, 
skil'ed, semiskilled, and untrained. Because of the traditional attitude of labor 
and the board of education on training at this stage, Negroes can expect employ- 
ment only in the latter 2 categories. This conclusion is based on a recent survey 
by the league and the recent cataloging of 1,000 workers with training and experi- 
ence which would qualify them for work as foremen, supervisors, and adjusters 
for one of the local arms plants. There are many with the educational l^ackground 
and aptitude for training which could qualify them if given short training courses. 
Many could transfer skills. A fewer number were machinist helpers and still 
fewer, machinists. College men and persons with mechanical backgrounds con- 
stitute the majority of the men interviewed. There are unlimited numbers for 
unskilled production work. 

The most hopeful prospect in production work is with the small-arms plant with 
which the league is working to absorb large numbers of skilled and unskilled 
Negro workers, women as well as men. Approximately 3,000 will be employed, 
of which 400 will be supervisors, foremen, and machine adjusters. A 6 to 8 weeks, 
course of instruction will be given men in these catagories with pay while learning. 
The league has interviewed over 1,000 who will receive preferential consideration. 


I'^inal selection and training will start as soon as labor disputes and slow construc- 
tion permit thci)lantto be conijileted and as soon as the bullet machines are deliv- 
ered — now 2 months late. Negroes will make .30 caliber rifle bullets, while .50 
caliber machine-gun bullets will be madt; by whites. Our calculations are that 
also over 500 Negro traditional jobs will be available. 


Now what is to happen to the Negro women in this total defense picture? 
The league has not overlooked this problem, yet our efforts have been less success- 
ful. So far, greatest relief has come through national defense indirectly. As 
white womanhood has left the formerly traditional Negro job for higher paying 
and better working conditions in national defense, the job she leaves Ijehind has 
returned to Negro women workers. In St. Louis, the Negro woman in national 
defense is still an unknown entity. The needle trades of St. Louis enjoy huge 
contracts. Prior to national defense, this industry received the league's arduous 
attention. After 8 years of buck passing, months ago, a 4-point agreement 
was made with the International Ladies' Garment Workers' Union and the 
league. This agreement placed clearly the responsibility for Negro exclusion 
on the doorstep of the employer. In St. Louis this industry is controlled by a 
minority which has a history of persecution and to whom our arguments arc now 
more vital and meaningful than they were 2 years ago. So far, only 1 plant 
has employed Negro power-machine operators (24), and the league has now 2 
very good prospects, 1 of which is a factory chain. According to plans, women 
will be used in large numbers in the production or small arms. Women will 
operate tempering machines, bullet-jacket trimming machines, packing and 
gaging automatic machines, and be employed as inspectors. 

The urban League is continuing to develop among employers a greater aware- 
ness of the availability and capabihty of Negro workers for semiskilled and skilled 
types of emjiloyment in nondefense as well as defense industries. Success in 
replacing a white painter with a Negro union painter in our large Negro hospital 
led to efforts to obtain employment for Negroes with the General Motors plant, 
Southwestern Bell Telephone, as well as smaller plants and hotels. 

Armed with the President's Executive order, a survey was made by the league 
of 57 out of 87 plants holding contracts. When construction, heavy industry, 
and the shoe industries were excluded, these plants contacted did not average 
2 Negroes per plant. Out of 12 plants holding the largest contracts, only 4 
employed Negroes and these were in the traditional jobs. This does not mean 
that the Executive order has not been of service. Other than as an additional 
tool of persuasion, its effects are not very apparent. 

In talking with production employers all will admit good Intentions and 
knowledge of such an order, but only two representatives of large concerns 
have expressed concern over the President's order and how to be loyal in face of 
local prejudice and tradition. The league anticipates greater compliance through 
governmental projects rather than nondefense industries. One thing is certain, 
the unions' leadership and membership are generally indifferent. 

The league is quite concerned over the recent announcement that the building 
trades and the local State employment office are planning a registration of union 
membership which means the transfer of construction workers into production 
workers. We are certain such a plan is not aimed primarily at the Negro workers, 
but will certainly mitigate against them because of the traditional exclusions 
existing in the building trades previously mentioned. Certain safeguards have 
been promised. We shall continue to remind the obstructionists that democracy 
demands full ])articipation. 

Exhibit B. — Some Examples of Discrimination Against Negroes 
statement of evin s. mathews and blyden a. steele, of st. louis, describing 

instances of negro DISCRIMINATION 

August 11, 1941. 
We, the undersigned, were summoned Frida.y, August 8, 1941, by telegram 
from Edward Donnell}', secretary of the Bricklayers, Masons, and Plasterers' 
International Union No. 1, of Missouri, to report to bricklayers' headquarters at 
once for work on a Federal project. After leaving our jobs and returning to 
homes and to the home local, we were sent to work on National Youth Administra- 
tion center at Leffingwell and Montgomery Avenues, for Saturday and Sunday, 


August 9 and 10. After quitting time Saturday, we were told by the man in 
charge of the work that we would not be needed next day, Sunday; that they 
would finish up with the five white bricklayers, who also worked Saturday. We 
left and later got our tools. 

Reported to the secretary, Edward Donnelly, 4020 Page Boulevard, Monday 
morning, August II, 8 o'clock. Inquired if we were summoned for only I day's 
work on a Federal project. Donnelly stated that it was expected that the two 
of us would do the entire masonry alone, approximately a week's work. However, 
he had no explanation for the fact that five other bricklayers were used and our 
services were dispensed with after 1 day's employment. Then we inquired for 
employment at the small-arms plant. When this request was made, Donnelly 
stated that he had canvassed several contractors and found only one who would 
give us employment; some small contractor with bungalow work, for which the 
union scale is only $1.25 per hour. This work we did not choose to accept, and 
asked to be certified from No. I for w^ork at the small-arms plant. In answer to 
this, he stated that he does not send bricklayers from the hall for employment at 
the plant, that all hiring is done at the plant. While we were in this conversation 
with Donnellj', several bricklayers came in and transacted business with him. 
One was a bricklayer who made his final payment on his initiation fee and signed 
his application blank for international union membership. Another was a 
bricklayer from Iowa who paid for and secured a working privilege permit to 
work in the jurisdiction of No. 1 of Missouri. After making continuous requests 
for employment at the small-arms plant, Donnelly suggested that we go there, as 
all bricklayers were hired at the plant. 

We immediately left and went to the small-arms plant. As we approached the 
employment gate which was open, we saw one-half dozen or more bricklayers 
within the gate. Also inside the gate was Leo Havey, business agent of No. 1, 
and Art Smith, the bricklayers' steward at the small-arms plant. Just ahead and 
going into the gate was the bricklayer from Iowa who had received a working 
privilege permit. We went inside the gate as several other bricklayers did, and 
waited while Art Smith took the names of two bricklayers, including the brick- 
layer from Iowa. Immediately we requested employment in the plant. He 
turned and said, "Havey has something for you fellows"; that the hiring is done 
at the hall, and suggested we go to the hall. He then went into the employment 
office. Havey had disappeared into the employment office as we approached the 
gate. Then Smith went into the office and called the two bricklayers, whose 
names he had just taken, into the employment office. All of this took place 
within the enclosure between the gate and office door. Two or three other 
bricklayers, whose names had not yet been taken, came in the enclosure and 
approached the door, then went in the door, and we went in also. One was the 
bricklayer who had just paid his initiation fee. Inside the office some man of 
the personnel department approached these two bricklayers and asked if they 
were bricklayers. They said "yes," and he told them where to line up and wait 
to be employed. He turned and asked us what we wanted. We told him we 
were also bricklayers and were applying for employment in the plant. He told 
us to wait outside the door and said he was not ready for us yet. We told him 
we were merely seeking employment and wanted to see Havey or Smith, who 
were hiring the bricklayers. He told us that it was too crowded inside, although 
other prospective workmen continued to come in the door. When we again 
stated our business there, he then turned and called a city police officer and told 
him to put us out. We quietly complied with the officer's request and stepped 
outside the door. 

Outside the employment office we explained to the patrolman that we were not 
trouble-makers — that we were trying to exercise our rights as citizens of a democ- 
racy and were trying to participate in the defense program as was proclaimed and 
ordered by President Roosevelt on June 25, I94I. Suddenly three or more 
uniformed guards of the Burns Detective Agency appeared within the enclosure 
to clear all to the outside of the gate. We explained our position to the head 
guard who remembered that one of us (Steele) had applied through him for 
permission to see Mr. Marshall, at the main gate, about a month previously in 
regard to employment. While conversing with the guard. Art Smith passed by. 
We again requested employment at the small-arms plant. In answer to this, 
he told the guard we belonged outside the gate. 

After discussing the matter with the guard, the patrolman, and gatekeeper, 
they all informed us that the hiring as far as they see and know, is done through 
the union local. We went out of the plant gate. We returned, as was suggested 
by guards and gatekeeper, to our local office to again apply through the hall for 
employment. Donnelly was emphatic in stating that he does not send brick- 

60396 — 42 — pt. 23— — 6 

5;768 ST. unis ukauincjs 

layorji to tho plant, althoush we saw sovoral of tho l>rickla.vor< nvho woro at the 
hrioklayors" offioo earlier that inoriiin^; at the same time we were there) po into 
the ofiice and be hired. When he insisted that the hiring is all done out there, 
we nv^uested that he call the employment office and state that we were in the 
union hall and were desirous of empK)yment. He called atui s^Hike to Havey. 

At the end of their conversation, he said that the job was Knuled up for the day. 

I^ter. about 12 o'clock, we got authoritative information that Mr. Marshall, 
pt^rsoi\nel manager for Kruco Const met ioi\ Co., stated that he needed 100 brick- 
layers or mort\ but that he cai\not hire us unless No. 1 of Missouri says so. 

We n^turiied again on Wednesday, .\ugust 13. about 9 a. m., to seek employment 
at the small arms plant. When we approacheil the gate, there were about 12 
bricklayers inside and the bricklayer steward was taking their names. One 
bricklayer fn.Mii Virginia, who had not as yet received a working-privilege permit 
from our local. w:is being hired. Several other bricklayers came inside the gate 
with their plumlvrules wrapped as is frequently done by bricklayers when 
traveling, which indicated they were from other cities or States. The bricklayer 
.-teward took the names of all bricklayers within the gate and then asked aloud if 
there were any mort^ bricklayers. We immediately stated that we were there for 
employment and that we were bricklayers and asked to be employed. The brick- 
layer stewarii turned away and said: "You fellows must think you are something 
special.'" We then :u<ked Havey why were out-of-town bricklayers being hired 
and we have paid-up vmion cards in this local and have applied for employment 
since the job tirst started. Havey replied: "Go to the hall — there's work for you 
there." The men whose names were taken, were taken into the employment office 
where the fingerprinting and other routine of employment are completed. We 
then left the site of the plant. 

Later we went to the hall and had a lengthy conference with Mr. Fitzmaurice 
and Mr. Donnelly. Mr. Fitzmaurice admitted that our nonemployment at the 
small arms plant was due to discrimination. He also admitted that 100 brick- 
layers were needed at the small arms plant. He stated that the international 
union and the local would not raise any objection if we were given employment 
there and he insinuated that it was the fault of the construction company and its 
representatives. AVe then asked if he would go to the employment office while we 
applied for work so that if we were refused, he could state that the international 
union and the loc:U would have no objections to our employment. He stated that 
he did not want to put anyone on the spot and declined to go with us to the plant. 

I^ter the same day. we learned that the Office of Production Management 
representative. Mr. E. R. Quick, was in the city investigating the matter. We 
had a conference with Mr. Quick Thursday morning at 10 a. m. August 14. The 
conference lasted a couple of hours and we placed the matter in detail before him. 
At the end of this conference he asked us to give him the entire next day, Friday, 
to arrange for our employment with Messrs. Havey. Marshall and Fitzmaurice 
and told us to call him at 5 p. m. Friday. We asked if we should apply again for 
employment Friday morning, but he suggested that we wait until we hear from 
him at o p. ni. 

Later Mr. Quick stated that he had failed to arrange the conference as he had 
hoped but that he had talked individually to those involved but the result was that 
he could not bring about our employment at the plant. 

August Ui. 1941, we received a letter from the international union stating that 
the matter of our employment at the small arms plant was entirely beyond their 
control and that they were unable to be of any assistance. 

Be it further understood that one of us (Steele') applied at the small arms plant 
in writing the first week bricklaying began, to Mr. Marshall, personnel director 
at the Fruco Construction Co., for employment. At a later date, we sent two 
more letters of application, one to Mr. Marshall, and one to Mr. Voirol, dated 
.luly 20. 1941. 

We. the undersigned bricklayers, declare the above to be a true statement of our 
t^fforts to obtain employment at the small arms plant. 4300 Goodfellow Avenue, 
."^t. Louis. Mo., being built by the Fruco Construction Co. for the United States 
Government on cost-plus-fee basis: said employmejit has been denied because of 
race and color. 


^416 Xorth Whittier Avenue, St. Louis, Mo. 
Blydex a. Steele, 
4o96 Garfield Avenue, St. Louis, Mo, 


Exhibit C. — Request by Contractok for Xegro Labor 

June 10, 1941. 
Re: No. 1-1, Carr Square Village, St. Louis, Mo. 

Mr. .John L. Church, 

President, Building and Construction Trades Council, 

1220 North Grand, St. Louis, Mo. 
Dear Sir: Our contract with the hou.sing authority states that we are to 
employ 3.2 percent Negro skilled mechanics on this project. At the present 
time we have no Xegro mechanics in our employ. It is imperative that we live 
up to this part of our agreement. 

We can use this percent of Negro labor at this time and would like to know if 
the building trades are in position to furnish these men at this time. 
Yours very truly, 

J. E. Dunn Construction Co., 
A. .J. Tnis, Superintendent. 



The Chairman. Various members of the committee will now ask 
you questions. Afterwards, if some thought occurs to any of you 
which has not been covered, you will be permitted to express your- 

Now, Mr. Mayor, can you tell the committee how much migra- 
tion, planned or unplanned, there has been into the St. Louis indus- 
trial area since June 1940? 

Mayor Becker. Mr. Chairman, it has been variously estimated. 
I have seen statements in the press, varying between 80,000 and 
200,000 for St. Louis and St. Louis County. However, there is no 
accurate check that we can make. A real survey would show over 
40,000, I should say. I can say to you that somewhere in the neigh- 
borhood of 40,000 would be a better approximation of the migration 
brought about by reason of our defense plants here. That is for St. 
Louis and St. Louis County. 

The Chairman. ^Miat is the population of St. Louis? 

Mayor Becker. Over 800,000. There are over 1,000,000 between 
St. Louis and St. Louis County. 


I hope the members of the committee will bear in mind that St. 
Louis is a peculiarly situated city. It is not in any county. We have 
St. Louis County and the city of St. Louis, distinct and separate. 
St. Louis for itself has municipal functions as well as county functions, 
but it lies in no county. So we are still in a section, so far as area is 
concerned, that was given us in 1876, and we have never been able to 
increase our area for the city of St. Louis. St. Louis County, immedi- 
ately adjoining, embraces a section with a municipal area, just as in 
St. Louis. You may drive into incorporated towns without knowing 
you are passing from the city of St. Louis into a completely different 
county. This should be kept in mind, for the reason that here you 
are dealing with the city of St. Louis itself and with the county 
separately. But they are, in point of fact, parts of one industrial 
area. AMien we speak of the St. Louis industrial area, we speak of 

8770 ^'l' J-<" I^ HKARINGS 

tlu' section lyiiiji; innncdijitcly across the lino, going into Illinois, in 
addition to St. Louis and St. Louis County. 

The Chaiuman. The county of St. Louis has about 200,000? 

Mayor Beckiou. About 275,000. 

The Chairman. Wliat is the })oi)ulation of that part of Illinois 
which lies just across the river and is included in the St. Louis defense 

Mayor Reckeh. East St. Louis has about 90,000, and the whole 
ar(>a has about 250,000. You have over there the Tri-City area, so- 
called — East St. Louis, Granite City, and Alton, in Madison County. 
Contiguous to East St. Louis, directly north, that section includes a 
quarter of a million ])(>rsons. 

The CiiAiUiMAN. Is there any duplication of taxes between county 
and city? 

Mayor Becker. No; they are separate. 

We have 114 comities in the State, and in addition to those we have 
the city of St. Louis. So we have really 115 counties. St. Louis has 
all the responsibilities of a county. 

The Chairman. Wliat would you do if you wanted to make appli- 
cation to the Federal Government for assistance in building a sewage- 
disposal project? 

Maj^or Becker. The county would proceed as an independent 
entity. The comity has enjoyed many benefits by reason of its prox- 
imity to St. Louis. It has grown in population. It has the advantage 
of larger space. Half of the county is still an agricultural area, but 
you might say the other half is really the same as our city here. It 
has the same problems, largely. It is made up of incorporated cities. 

The Chairman. When you campaign for mayor of St. Louis, do 
you go out to the county of St. Louis? 

Mayor Becker. No; we stay within our own confines. We make 
the 28 wards here. Our city has no county judges or county court. 
We have a city set-up, and take on, in addition to it, the iiecessaiy 
State officers, who have their offices here. 

Mr. Arnold. Mr. Gvvinncr, the mayor gave a figure of 40,000 in- 
migrants. Has any survey been made to determine how many of these 
migrants have secured jobs? 

Mr. GwiNNER. As nearly as we can figure, the total number of un- 
employed in the area has dropped from 90,000 to 45,500. Now, some 
of those jobs undoubtedly went to residents. It is impossible to tell 
how many of the migrants got jobs. The number of employed jumped 
from about 525,000 to around 645,000. 

Mr. Arnold. That is an increase of 120,000. 


Mr. Curtis. In terms of dollar value, what is the volume of defense- 
contracts in this area. Air. W^hiteside? 

Mr. Whiteside. L^p until November 1, as far as we were able to 
determine, it was about $591,000,000. I should say that in addition 
to that there have been some contracts let here, particularly for defense 
plant operations where the production order has not been stated. 
They are orders of a more or less secret nature. There are other 
orders for su])sistence items, which are not reported. Tliev would 
raise that total, in our estimation, by $150,000,000 or $200,000,000;. 


SO roughly, we would say that $750,000,000 in defense contracts have 
been awarded here since the beginning of the defense program. 

Mr. Curtis. In general, that money goes for what tj^pe of product? 

Mr. Whiteside. It is probably as broad a spread as in any area. 
It goes for the construction of aircraft and aircraft parts, ammunition, 
ammunition components and supplies, clothing, machinery, ordnance 
equipment, all types of equipment to go into camps and camp build- 
ings, such as camp bakeries and the like. For instance, there are pack- 
ing materials, transportation equipment, cables, photographic equip- 
ment, and a miscellaneous category for hospitals and athletics. 

Mr. Curtis. Would you give us a list of the major firms that have 
these contracts and the number of workers employed? 

Mr. Whiteside. I don't have that with me, but I will be very glad 
to supply the committee with such a list. 

Mr. Sparkman. Mr. Karches, could you give us .an estimate of 
the peak employment required by these contracts? 

Mr. Karches. Mr. Wliiteside would be better equipped to answer 
that. There have been various estimates. 

Mr. Whiteside. Referring to the mayor's statement, I would like 
to call your attention to the fact that this area includes the east side 
of the river. The 12 largest defense contractors will, at their peak, as 
they now estimate, require approximately 70,000 workers. They 
now are employmg more than 30,000, so there will be a net addition 
of fewer than 40,000 to their present employment. 

Mr. Sparkman. Have those figures been broken down accordmg to 
skills and types of labor required? 

Mr. Whiteside. I haven't broken them down. I imderstand the 
plants have broken them down, and have been working with the 
public employment service in such a break-down. 

skilled labor 

Mr. Karches. You might estimate 30 to 35 percent will have to 
be skilled. 

Mr. Whiteside. I want to be absolutely clear. I didn't say that 
40,000 would have to be brought in from outside the area. I want to 
make it clear that these plants, at their peak employment period, 
will need probably 40,000 more workers, but many of these may be 
residents rather than migrants. 

Mr. OsMERS. I wonder if Mr. Slinkard coidd tell us if he knows 
where these workers are to come from. 

Mr. Slinkard. There are several channels through which those 
38,000 or 40,000 employees needed by the expandmg defense pro- 
gram might be requisitioned or procured. 

Primarily, however, there is the problem of unemployment among 
those people who have in the past been working on what today are 
deemed nondefcnse items, and are rapidly being affected by priority 
imemployment. What the ratio of that priority unemployment will 
be, what the total number affected in that manner will be, remains to 
be seen. It is expected by various organizations in the community 
to be a large number. In fact, I would say that a greater portion if 
not all of the needed 38,000 or 40,000 can be found available in one 
capacity or another here in the St. Louis area. 

§772 ^'''- '-'"■^ iii:akin(;s 

Mr. OsMKRS. Ml', rivviniicr, lias your organization inado any 
ostimalc of llic local labor supply? 

Mr. (iwixxKU. Wr (jtrurc it at <S(), ()()() for the entire nietroi)olitan 
area. That includes about ;iO,()()0 incoming migrant workers in the 
past IS months — not normal ])opulation increase. It is estimated that 
;K),0()0 to 35,000 have entered the labor market who would not 
normally have been in it. 


Mr. OsMERS. How many of those arc available to fill the need 
mentioned here of 38,000 to 40,000 new workers? 

Mr. G WINNER. We figure the present unemployed group is 43,000 
to 45,000. 

Mr. OsMEKS. i\Ir. Slinkard, in your opinion could these labor 
needs have been filled in the community without migration? 

Mr. Slinkard. Yes. 

Mr. Karches. May I add that we circularized some 1,500 com- 
panies in Missouri, asking various questions, one of which was: 

"Ap])ioximately how many workers now in your employ may be 
unemployed because of priority unemployment?" 

Of the 1,200 or 1,500 questionnaires sent, we had about 20 percent 
response. In the group covered, there were 5,546 workers to be imem- 
ploycd on account of priorities. In St. Louis, 130 concerns answered 
that questionnaire, which represents approximately 60 percent of the 
replies. However, more defense contracts are concentrated here in 
this area than elsewhere in the State. 

I wish to add that I believe we have sufficient labor in this area to 
take care of our needs. There may be some dislocations from the 
effects of priorities, but diversified industry, with which we are 
blessed here, may be the means of absorbing these; people. 

Mr. OsMERS. In some other areas where they do not have the 
diversification you have in the St. Louis area, thousands of people are 
becoming unemployed due to priorities. In view of this fact, have you 
noticed any constant flow of migration into St. Louis — needless migra- 
tion we might call it — as a rcsidt of priority unemployment elsewhere? 

Mr. Slinkard. I would reply to a portion of your question, leaving 
off the latter part which refers to priority unemployment elsewhere, 
because I don't think all the migrants might fall in that categoiy. 

I might say they are attracted in many cases by needless advertising 
on the part of some of the defense contractors. For instance, a 
defense plant which may be in need of a particidar skilled worker, by 
the mere insertion of an ad in out-of-city or out-of-State newspapers 
requesting tool and die makers, may draw a few qualified tool and die 
makers into St. Louis; but at the same time this advertisement is 
likely to attract an even greater number of persons who are not tool 
and die makers and who have no essential qualifications. 

A more practical approach to the problem in case tool and die makers 
are needed is through th(> accepted employment services, which can 
first determine whether that type of worker is available in this area, 
and second, if not available, can requisition such persons from some 
area where priority unemployment may be having its effect. 

Mr. Karches. I have headed the industrial relations office in St. 
Louis and I know some of the employment procedures. Checking 


them from time to time, I find that employment managers generally 
make an effort to minimize the numbers of people whom they attract 
from other areas, and try to hire men on the basis of their record in 
local industry, except for jobs requiring higher skills, such as tool and 
die makers. 


The ChaiRxMAN. Gentlemen, we have gone into that problem in 
our investigation, and we have found that some private employment 
agencies have been dealing in interstate commerce, in arranging for 
people to go across State lines, through the advertisement of jobs. 
We have also found that some labor contractors have been taking poor 
people, 35 in a truck, and treating them worse than cattle, with no 
stops at all, from Texas to Michigan, from Florida to New York. 
This committee, therefore, introduced a bill for the regulation of private 
employment agencies and labor contractors. I was unable to go to 
Hastings, Nebr., to open our recent hearings there, for the reason that 
all week we had in Washington people from all over the country testi- 
fying regarding the committee's two bills. 

Mayor Becker. Are those bills passed? 

The Chairman. The hearings are now before the House Labor 
Committee. This is the first time in the history of the United States, 
as far as I laiow, that any reform of this nature has been undertaken. 
We have been very busy in this country in the last 165 years. We 
have made regulations concerning interstate commerce in iron and 
coal and other resources, but we have done nothing concerning human 
interstate commerce. That is why we are now trying to approach 
this problem. We are not attacking the honest employment agency, 
but w^e are after those fellows who cheat poor people in search of work. 

From Nebraska, for example, 32,000 farmers have gone out in 8 
years. They take to the road. They don't know where to go, and they 
run into these private employment agencies. Many of them have 
been victimized. It is a shame and a disgrace. They should have 
been helped right at home, before they left; they should have been 
provided with information as to job opportunities. When they take 
the road they should be treated at least like human beings. These 
farmers who pull up stakes and leave because the farm is gone do not 
change overnight morally and spiritually. They are still good citizens 
of the United States. 

Mayor Becker. I have just glanced through this analysis of the 
bill. It takes up the very questions we have been discussing.^ 

The Chairman. The same hazards await people coming to St. 
Louis, Trenton, Hartford, Los Angeles, or Seattle. That analysis 
says in plain language just what the bill means, and we may want 
your support for it when the time comes. 

Mayor Becker. I should like to bring to the committee's atten- 
tion certain things I have observed — I am speaking primarily as 
mayor — among the people that have come in and contacted the 
mayor's office, and in the mail which goes over my desk. 

I 11. K. 5510, a bill to regulate private employment agencie.^^ engaged in interstate commerce, now pending 
before the U. S. Congress. 



There lias l)een a very lat«;e influx of labor to our city, and a good 
portion of it has l)e(>n attracted seemingly hy newspajx'r articles with 
reference to the hundreds of millions of dollars awarded in contracts 
here. For e.\ami)le, you learn that we are having built here by the 
Government the largest small-arms ])lant in the world, which ulti- 
niati'ly will employ 30,000 or 40,000 people. The facts are correct, 
but when that story is given out through the newspapers, tlic fact 
should also be stated that here in St. Louis we still have, despite the 
building of new plants and the expansion of others, a considerable 
nund)er of nnem])loyed. 

When they were building Fort Leonard Wood, we still had about 
50,000 unemployed. At the present we have 43,000 unemi)l()yed. 
At the same time, those men wdio are working on the building 
of the TNT plant and on the small-arms plant — and there are 
thousands of them, working three shifts a day — will some day come 
back into the labor market. As those buildings are completed, that 
group of men — and they are skilled workers too, because they are 
working on fireproof buildings required skilled labor — will come 
back into the class of unemployed. That is something that has not 
been stressed. Li addition to the 43,000 unemployed people here in 
St. Louis, with these Government emergency buildings being built, 
we still have that group of potential unemployed. 

When Fort Leonard Wood was completed, as fast as they were 
through, the workers came right back into St. Louis. Those men 
had the best opportunity and a far larger percentage of those men 
got jobs than did our workmen resident here in St. Louis. 


Mr. Sparkman. Mr. Mayor, may I interrupt to suggest that a m 
large number of those skilled construction workers are not restricted f 
to this local area for their operations? For example, in my home 
town there is being built a large defense plant, and a great many of 
the skilled structural steel workers on that plant are coming from 
St. Louis. 

Mayor Becker. And when you arc through with them, they come 
back here. 

Mr. Sparkman, Those highly skilled w^orkers are not restricted to 
a small area. They operate pretty well all over the country. 

Mayor Becker. Provided there is employment elsewhere for them. 
You take your ow^n community. You see the same thing happen in 
your community. You have skilled workers, and they will leave and 
go back to the places they came from. 

We are not worried as much about our skilled labor as we arc about 
the 43,000 unemployed, with migration still coming in. They come 
in every day, mostly in cars. Sometimes they are stranded upon the 
street. Their gas runs out even before they get to a destination or 
can put the car on a lot. That is happening every day, and it is going 
to continue just as long as you have newspapers to carry the facts as 
additional contracts are given out. That is our problem. 

The Chairman. Mr. Mayor, w'c find comparable conditions in other 
defense centers. My own opinion is that the Federal Government has 


not been entirely successful with the Federal Employment Office, nor 
have the State employment agencies. 

Let me give you an example. Do you know, Mr. Mayor, and gentle- 
men of this panel, that a couple of months ago in Washington evidence 
was introckiced that there were at that time 5,000,000 unemployed 
employables on the agencies' registers in the United States? ' 

Mayor Becker. May I ask you, Mr. Tolan, as of what date that 

The Chairman. About June. In mid-June the committee went to 
San Diego and held a hearing there. San Diego has 1 housing project 
of 3,000 units, which houses about 10,000 people. I asked them how 
they were affected with regard to skilled and unskilled labor. They 
said they had no trouble at all, excepting with the painters. Well, I 
had in my office, I don't know how many letters from painters in the 
San Francisco area who wanted jobs — good painters. So I had to go 
back and write them all letters. In other words, there is some missing 
link there. 

Another problem we found in Baltimore and other places was that 
the management or employers won't go to employment agencies. 
They would rather have the men pile up at the plant gate and inter- 
view them themselves. 

I think we have to do something about it, to get the Federal Gov- 
ernment on the job and create a more efficient clearing house for em- 
ployment. If you employ your local people, skilled or unskilled, when 
this war is over you will have averted excess migration. 

Mayor Becker. Absolutely. 

The Chairman. This committee has heard testimony in Detroit 
and Washington concerning the increased problem of priority unem- 
ployment. Priority unemployment in some parts of the country, 
combined with so-called defense booms in others, inevitably leads to 
heavy migration of workers. The committee would like to have the 
opinion of the panel as to the degree to which the St. Louis area has 
worked out methods of minimizing this migration. 

Congressman Curtis will ask the questions. 


Mr. Curtis. Mr. Karches, one of the means which this committee 
has advocated to minimize defense migi-ation is subcontracting. We 
are interested in the full use of the labor supply for defense, and have 
taken the position that subcontracting will help to avert major dis- 
locations. What arrangements have been made by manufacturers 
and other interested groups to secure their share of defense contracts 
through subcontracting in St. Louis? 

Mr. Karches. There are several means. One is to educate the 
manufacturer to use the facilities provided by the Government, the 
Contract Distribution Division of O. P. M. seeks to establish a closer 
relationship with the manufacturer. 

Another means of stimulating subcontracting is to encourage defense 
clinics of a type that would be practical for the small manufacturer — 

• See testimony of Arthur J. Altmever, chairman, Social Security Board, Washington hearings, pt. 17, 
p. 6782. 

,S77G ^'''- ''<»'i^ HKARiN(;s 

that is, to <i:ivo liiin an opportunity to view small component parts 
that mijj;ht lit into his particular operations. 

Another would be — and they »i'c now attempting it — to make visits 
to the prime contractor, to get contracts. A number of those meetings 
have been ell'ected between sniull manufacturers and the prime con- 
tractor. One (hfliculty here, however, as (U'scrib(>d by a large prime 
<lcf(>nsc couti-actor in this locality, is that he has bid in at a certain unit 
l)rice for a certain item, and to let it out to any small contractor or 
small miuuifacturer would cause him to assume a loss. Th{>re is no 
protection for that indivi(hial. He is very much interested, in this 
particular instance, in participating in any constructive program of 
that nature. 

Another efl'ect — and this does not pertain to defense contracts as 
much as to the operations, inventories, control orders, and priority 
orders — is that individuals have found that their suppliers are unable 
to supjily them because they are furnishing nuiterials to the various 
or'dnance divisions for contracts to be completed as late as 1945. 
They find the suppliers sympathetic with their problem but they 
usually say, "We are feeding the inventories of the various ordnance 

Mayor Becker. Air. Tolan and gentlemen of the committee, as wc 
look over and try to find the crux of our priorities situation, there has 
constantly recurred to us in the investigation that I have made the fact 
that our Government has not impressed sufficiently upon those who 
get these tremendous contracts that they should not, in order to carry 
out parts of that contract, go into the building of additional machinery, 
when such machinery is existent in some other plant. 


Now, as one concrete illustration, we have here in St. Louis a con- 
cern that has 11 machines of a general type that requires die makers, 
tool makers, and other skilled labor to operate. These machines roll 
out metal to the finest, thinnest dimensions. The Ford Co. got its 
last big contract, for which the Ford people are now putting in addi- 
tional plants and equipment. They will require lor this particular 
Government contract 4 machines of the identical type of which there 
arc 11 in St. Louis today. This concern, just as soon as the Ford 
contract was made public, sent a member of its staff to see the Ford 
man and to explain that they had 11 machines ready for use, of 
the exact type that the Ford Co. needed. But they couldn't get 
that subcontract. They were told that the entire plant would be 
completed there in Detroit and that they would build 4 new machines 
instead of using those that were already in vSt. Louis. That is one 
specific instance to illustrate my point. 

This committee before whom we ai"e appearing can be heard, and 
any suggestion that you make is bound to be given notice and pub- 
licity. There is this one angle to be stressed, namely, that any large 
contracts which r(>quire additional machinery to be set up should be 
re(^\amined, and if that machinery is available, no matter where, 
the business ou"ht to be subcontracted. 



One other note on priorities: Here in St. Louis we have a concern 
that employs 160 people. The amount of brass that they need in 
connection with their output is so small that you could not make a 
brass cuspidor out of the metal that they use in a week's time. Yet 
that little essential piece of brass they cannot get under priorities. 
You are going to throw out of employ emnt 160 people for a little 
amount of brass that can't make any appreciable difference in the 
defense program. 

You members of this committee are practical men, who have trav- 
eled all over the country. You are men of experience. You get 
information not from one community alone, but in its ramifications 
and variations in each town you visit. You hear various versions of 
it, but the underlying trouble is the same. I say that if you would see 
to it that any decision under the priority rule is based upon the facts of 
each individual case, gentlemen, you would do much to solve this ter- 
rible priority situation, wliich every large community feels. 

We have felt it more than any other, probably because we have 386 
types of industry, out of some 480 that the Government lists. If you 
could in some way have whoever is handling priorities consider how 
much an individual manufacturer needs of a given material, as com- 
pared Mdth the total number of men to be thrown out of w^ork for the 
lack of such material, that would be most helpful. I have men come 
in to me every day asking: ''Can you do this or that? We have to 
shut dowTi this or that department, and if we shut down this depart- 
ment, our overhead will be so high that we will have to stop the entire 
plant." In many cases the complete set-up makes a imit whereby 
the manufacturer can have a little profit; but if he closes down one of 
the divisions of that unit, his overhead isn't cut in the same pro- 
portion. These men are facing that situation. We in our community 
are worried about what w^e are going to do with the plants as they shut 

The Chairman. This committee has been hammering at problems 
of that kind. Unfortunately, the defense effort did not begin at the 
beginning. We should have had an inventory, to start off with. 
We should have asked: How much material have w^e in the United 
States? How much machinery can be used for defense? How much 
labor have we in the United States? The committee has hammered 
on that, and recommended it in our report, and now I can say to you 
that Washington is getting a complete inventory. 

Chances are, Mr. Mayor, they didn't loiow about those 11 machines 
that you mentioned. But you see, there is the problem — we have 
never been provided wdth an inventory of what we had. For example, 
let us say we have a hundred million tons of steel. The American 
people are not going to object if we need 50,000,000 tons for the ships 
and the Army and national defense. But if we have 50,000,000 tons 
left after the defense needs are provided, the people of St. Louis have 
a right to object if there is not an equitable distribution of that 
50,000,000 tons. To that end there should be kept, in regional of- 
fices, an inventory of the material and labor supply. You shouldn't 
have to go to Washington. You should have the information right 
here. The American people are willing to sacrifice in this war, but 
they don't want to suffer unjustly. 

§778 ST. Loris ni:A KINGS 


Mr. Karches. The maiuifacturers arc very much interested in tlie 
recent cfTorts of Mr. Odhim in allocating critical materials for a certain 
l)(>rio(l of thne to cover the needs of small firms, so that they may 
remahi hi o])eration. There are <:;armcnt companies that can t get 
needles. That is another case to add to the one that the mayor has 

A move was made by the various procurement offices of the Quarter- 
master Cori)s, to ]H'rmit them to allocate contracts with some discre- 
tion in various localities, not accordmg to bid prices, but according 
to what could best be done for a particular community, and even 
allot the contracts to various industries within a community. Those 
are two steps in the right direction, as agreed upon by a number of 
manufacturers here, 

Mr. Slinkard. Plans to do a comprehensive job of inventorying 
the facilities of industry and the labor supply have been proposed 
numerous times during the past year, not only by labor but by man- 
agement and by communities. I am firmly convinced, as the record 
will show, that those plans have not received conscientious considera- 
tion. It is well and good to assume that an agency in Washington is 
heading up the program. That is as it should be. But it is not 
humanly possible for the personnel of such an agency to handle all the 
ramifications of this program. Therefore by industries and by com- 
munities there should be established "industry councils," W'ith equal 
representation of labor and management, and with the Government 
sitting in as coordinator, to analyze the plant facilities, the labor supply 
in the community and the manner in which these can be put to the 
best use in production for the defense program. 

Speaking of St. Louis in particular, our organization is convinced 
that every effort should be made to have local industry apply the 
O. P. M. labor policy in its fullest aspects. One is that defense con- 
tractors agree to give first preference to the local labor supply when 
hiring new employees for their expansion of production. 

Second, and right along with that, the defense contractor is to give 
serious consideration to subcontracting, to use as much as possible 
of the available plant facilities for the manufacture of parts that can 
go into the completed item; because unless these plant facilities and 
such W'Orking personnel are utilized in that fashion, the plant is going 
to become idle and the employee personnel is going to be thrown into 
the bracket of those deprived of employment by reason of priorities. 

In addition to that, management of nondefense industries wiiere 
production has been curtailed by reason of priority orders should 
agree to recognize the certification and maintenance of seniority 
rights of those employees wdio elect to accept transfer to defense 


The maintenance and certification of seniority rights while they are 
working on defense — on a temporary job of a year or two — woidd 
eliminate a second evil, namely, mass unemployment, with no orderly 
transition, when the defense program starts bogging. For example, 
if a nondefense employer finds it necessary to reduce production and 
lay off 25 or 50 percent of the force, as is happenmg dailj" in St. 


Louis, the first procedure should be to utiHze tliose people in the 
defense expansion program. H they have the essential skills they 
should be hired immediately; if not, they should be referred to a train- 
ing program, and upgraded by supplemental trammg; and while in 
such a "training period, they should receive unemployment benefits 
in an even greater amoimt than our present State law provides. 
Then, when upgraded to fill the job specifications, they should be 
certified to specific defense jobs. 

If that is done in the present emergency, you will have an orderly 
transition of resident workers; you will obtain the fullest use of the 
local labor supply. And it is extremely important that recognition of 
seniority on the part of nondefense employers be established so that 
when the defense program is completed and those same people are 
again thrown out of work, they can revert to their original employ- 
ment, with their regular seniority status. In this way you will elimi- 
nate the second evil, of havmg migratory labor taking jobs of local 
workers, or of local management supplying its employment needs on 
a hit-or-miss basis with whomever they can get at whatever wage scale 
they care to pay. 

Mr. OsMERS. Mr. Chairman, I think that both Mayor Becker and 
Mr. Slinkard have made very valuable contributions. Possibly, I be- 
lieve that because their ideas so closely fit in with my own. I think 
that the policy of the Government with respect to plant expansion 
has been positively brutal. I represent a highly mdustrialized dis- 
trict. We have plants closing 2 miles away from a huge plant under 
construction. In addition to the stupidity of that policy, I would 
lilve to pomt out its effect on national defense. Every time we erect a 
new plant we take steel and copper and other supplies that are vitally 
needed for the sinews of war, and we transfer labor and skills into the 
construction of unnecessary new plants, which will be white elephants 
after the war is over. I have industries in my district that are going 
to throw 50 and 75 men out of work because they can't get a couple 
of hundred pounds of lead, or some other material; and in the face of 
that, we have huge plant expansions going on throughout the country. 

We have just come from Nebraska. There are little factories in all 
those communities out there, where farming is the backbone of the 
economic life of the State. Those little factories are being choked 
to death because they can't get the tiny amomit of materials that they 
need to continue producing. 

I think the Government should adopt some policy whereby ma- 
terials will be allocated with some thought as to the percentage of 
materials to the dollar value of the completed products and the amount 
of labor employed. I don't think we will have an intelligent policy 
unless we adopt a method such as that advocated by Mr. Slmkard, to 
have committees of men and management, under the guidance of 
Government, and to allocate these materials as equitably as is humanly 

We have to go into the field of subcontracting. We are trying to 
improve our efforts now, but so far our progress has been miserable. 
I think the work of the Labor Division of O. P. M. has collapsed 
completely. They have been unable to enlist the full support of 
labor for the program. 

Mr. Curtis. In asking this question, I am not challenging anyone's 
patriotism or motives. In the case of this concern which had avail- 

gySO ^'''- I-'^^'I^ HKAKINCS 

able 1 1 niiicliincs very much like tli(> 4 new ones to be used in thc- 
ncw Ford ])l)Uit, docs that type of company bavc any roprcscntatioii 
amonj; (lie dollju-a-ycMi' men makin<i; policy in Washington? 


Mayor Beckku. That particular concorn which has those 11 nui- 
chinos availal)l(> isn't large enough to give you a doUar-a-year man, 
but every single request that has been made of it by the Govei'nment, 
in any way, shape, or form, has been carried out completely. That 
concern is 100 percent back of the defense effort. And I want to say 
this before this committee. I wish that you could have been here on 
Ai'inistice Day to have observed the parade that was given here, in 
order to se(> the attitude of the public here in St. Louis. I have letters 
in my files which say that nevei' anywhere has a turn-out en masse 
been observed like that Armistice parade. We had 8,500 soldiers from 
Fort Leonard Wood, and they bi'ought comph^te units heie, e.\ce])ting 
tanks. And our public, a thousand miles from the coast, in this 
emergency — which is a good distance which makes you feel that this 
community is not going to be bombed — w^as 100 percent back of the 
emergency plan. Now, whether or not individually they may have 
been agreed on foreign policy or emergency plans was not evidenced, 
but it showed that in this comnnmity the die is cast, and it is 100 
percent back of national defense. 

Mr. Curtis. Perhaps I didn't make my question clear. Without 
a doubt many of these men who have been loaned by industry to the 
Government, I would say all of them, are true patriots. But as long 
as we follow that system, small industry does not have the men to 
loan to the Government to help formulate policy. 

Mayor Becker. The small plants are willing and ready to loan 
their key men. They are ready and willing and able to serve; and 
just as soon as the Government finds that it can use them, they are 
ready to go. These men in the small ])lants, doing work in their own 
communities for civilian defense, and working out methods of doing- 
something the Government wants done, are showing as good citizen- 
ship as those who have gone to Washington. 

Mr. Curtis. I agree with you. 

Mayor Becker. This is one of the largest cities in the United 
States, and speaking as its executive head, I want to say that there 
has been no request that has not been complied with by our small 
industries or our citizens as a whole. 

When the Government came in here and decided to increase the 
small-arms plant from one able to produce 3,000,000 cartridges to one 
with an output of 9,000,000 cartridges a day, as a result of changes 
in th(> world, and when it needed acres anfl city blocks for additions 
to that plant it might just as well have gone over the line and taken 
adjoining i)roperty. But when the Government said, "This is what 
we want," although it took a public park in that section, our citizens 
in that area of the city got out of their homes overnight in order to 
allow dredges and the other equipment for the work of (wpansion to 
come in there. 

Mr. Curtis. I know that is very true. 

The Chairman. We are now about 15 minutes behind, and we 
have to work undcn- schedule. 



jMr. Arnold. I have a question for \h'. Jeffrey. To what extent 
ai'e local training programs geared to actual and prosjjective produc- 

Mr. Jeffrey. They are adjusted as closely as we are able to make 
them, based on the information we have. We feel always the lack 
of accurate information as to the future labor needs. We feel also 
the lack of information on how many men are now being thrown out 
by priorities, men who can be transferred with the smallest amount 
of retraining. We work through various organizations — labor, manu- 
factmers, employers — getting as much information as possible. 

]\lr. Arnold. You proceed on that information? 

]Mr. Jeffrey. Yes. The small arms plant has its own training 
program, for which the Government has made allowance in the 
contract. They know what their needs are going to be. They have 
set up their own trainmg schools for head men, foremen, straw bosses, 
and maintenance men, which is just what they should do, because it 
is a highly specialized operation. They have been paying those men 
the prevailing wage while training them. Those men in turn will 
give a few hours of training to their operatives as they get into pro- 
duction. There is no problem with regard to the training through 
the schools in connection with that particular plant. 

Mr. Sparkman. Alay I ask you, Mr. Jeffrey, since you started the 
vocational training program, how many persons have been placed 
in defense work? 

Mr. Jeffrey. Up to the 1st of October, the number of men given 
preemployment training, training for new jobs, has been 1,012. 
That is the figure that is determined by follow-up methods of the 
school. As to out-training, there have been about 1,800. The 
remaining 800 may or may not be placed. We do not know. 

Mr. Arnold. Mr. Steger, to what degree had the defense program 
succeeded m decreasing the volume of unemployment in St. Louis 
before priorities began to make themselves felt? 

Mr. Steger. As far as general relief is concerned, there has been 
an all-around decrease. The percentage is very small, but it has been 
steady. However, we expect an upturn on the basis of the priorities 
now in effect. 

Mr. Curtis. Mr. Walker, the committee understands that your 
organization has made a survey of the total employment of members 
of your race in St. Louis in defense plants. Can you supply us with 
the results of your survey? 

employment of negroes 

Mr. Walker. I can to this extent. I can say that of the 108,000 
Negroes in the city of St. Louis itself — we have about 140,000 in 
the entire metropolitan area — at no time, even the peak construction 
period of the small arms plant, were there more than 1,500 Negroes 
employed, and all of these were employed as unskilled laborers. 
On all national defense contracts, as such, at no time did the peak 
rise over 2,500. 

We estimate approximately 63,000 employable Negro workers in 
St. Louis. I am unable to say definitely how many are employed or 


iineiiiployod. The last siirvoy made of iniciiiployinciit in St. Louis by 
the W. r. A. study indicalt'd" bctwccu 1,',, ()()() and 18, ()()() uiicniployed 
Nofjro workers. We do know that most of the Ne<2;n) workers in this 
area are forced into the unskilled brackets because of certain exclusions 
practiced by certain unions and many employers. 

We have ordy three Ne^jroes workinj^ as skilled men with union 
cards on national defense jobs and these are painters who were foiced 
on the St. I^ouis Building Trades by the Government and Urban 
League representatives. 

I would like to add also that this is particularly important l)ecause 
we are experiencing migration at the same time we have this ever- 
increasing large number of residents who cannot find work, not be- 
cause they are unskilled, but because th(\v are Negroes. 

This ])roblem likewise concerns Mr. Slinkard, especially as to what 
the policy shall be in the labor pool established for the transfer of 
construction workers into production work, because Negroes are 
excluded from the construction field, as such, with the exception of 

Mr. Slinkard. Insofar as defense construction is concerned, the 
C. L O. has been excluded ahnost entirely; and going further, I would 
say that in the opinion of my organization it is assumed that the con- 
struction worker will follow Ids particular trade and will therefore con- 
tinue to be migratory to a certain extent. Certainly with thousands of 
qualified production workers being thrown out of employment in 
the St. Louis area by reason of priorities, we are going to object 
strenuously to any qualified construction workers being permanently 
located here for the purpose of becoming production workers at the 
expense of resident qualified production workers who have followed 
that occupation. 

We feel that there is sufficient construction work to be done on the 
national defense program to justify further migration of the qualified 
construction worker. 

Mr. Walker. May I add just this bit on priorities? We are 
particularly concerned with the phght of the Negro worker as far as 
priorities are concerned because the Negro worker has not been 
permitted to participate in the defense program, and priorities have 
dislocated a number of workers. 

Mr. Curtis. What are some of the industries in which Negroes 
are now working? 

Mr. Walker. They work for the ordinary manufacturer, the small 
manufacturer. They have been excluded from certain industries, 
such as steel, and we only have 35 workers at Curtiss-Wright. In 
all the remaining 386 industries in St. Louis, the Negroes are not 
employed in any appreciable proportion to their number. They are 
working in the traditional jobs in St. Louis, for the most part. 

Mr. Curtis. What arrangements have you made with employers 
and with the State employment service for the placement of your 
men in industry? 


Mr. Walker. We have had repi^ated conferences with the State 
employment service and have approached the chamber of commerce 
and the labor supply committee for the instruction of workers in every 
capacity from manufacturing to transportation. We have discussed 


the matter with the C. I. O. We have attempted to discuss the mat- 
ter with the A. F. of L., which has been for the most part unkindly 
disposed except witli reference to unsldlled labor, plasterers, and 

Mr. Curtis. Are you having much success? 

Mr. Walker. I am sorry to say we are not having much success 
in the building trades. 

Mr. Curtis. Are your people largely residents of tliis metropolitan 
area, or have you had a lot of them come in here? 

Mr. Walker. We can't get the residents to working. We are 
concerned with the residents, but we are also noticing considerable 
migration. I don't know the figures. The school board has pro- 
duced certain figures, and coming across our employment desk we 
have noticed letters from migrants. But for the most part we can 
say that neither migrants nor the majority of our residents are getting 

Mr. Curtis. How are you getting along with the training programs? 

Mr. Walker. I would prefer Mr. Jeffrey to answer that question. 

Mr. Curtis. Is there any comment you wish to make, Mr. Jeffrey? 


Mr. Jeffrey. I understand that insofar as the building industry 
is concerned, which has been up to this time the largest employer in 
defense, there is no training program for white or colored, as the 
unions and contractors dealing with the direction of construction 
workers have not felt the need of training for the people they employ. 
There has been in this city, as compared with other large centers, such 
as Milwaukee and the eastern cities, need of only a comparatively 
small amount of training for the semiskilled operator. We have not 
yet reached the point, except in the aircraft industry, where that need 
has been a large factor. Our training program therefore has been 
confined, so far as both white and colored are concerned, to the 
training for those jobs in which there is some prospect of employment. 
That is the condition that is laid down by the Government to control 
that part of our system which is called defense training. At Govern- 
ment expense we train white men in welding, machine operations, and 
in the aircraft industry. We are training colored men in chipping 
and welding because there are possibilities of employment in that 
line so far. According to reports from industry and employment 
services, there are no prospects of employment for the colored in the 
machine line or the aircraft line. For the wliites we have good oppor- 
tunities in the contiguous area around St. Louis. 

Mr. Walker. May I add briefly that our experience is a little bit 
different from that described by Mr. Jeffrey insofar as training is con- 
cerned. We have found ourselves in a vicious circle. We are not 
trained for the jobs when the jobs are available, and then it is too late 
to train our men. Only one company so far with a large national 
defense contract has indicated a willingness to accept Negroes as 
machinists or in the skilled category. 

Our board of education has not given us that training. So we are 
virtually barred. We have been promised a training course for 
production workers, but it was on an independent basis rather than 
hj a publicly supported institution, such as the board of education. 

60396— 42— pt. 23 7 


The Chairman. Mr. Muyor, and Colonel McBride, I wish to say 
that det'|) concern has hccn expicssod by witnesses appearing; before 
this coniniittee in various parts of the country as to what is going to 
happen after this spending has taken place and after your defense 
plants shut down here in St. Louis and throughout the country. 
VVhat is going to be the result here, Mayor? 


Mayor Becker. We are expecting a depression after this emergency, 
probably greater than we had after the World War, by reason of the 
fact that this present emergency defense j)rogram is so nuich larger, 
so much more extensive. It is so comprehensive and it reaclies into 
so many fields that we never covered in the first ^\'ol•ld War. 

We are perhaps in a little more difficult situation than other large 
cities because we have here in our area so much of this defense work, 
with the TNT plant and the Curtiss Wright plant and the small arms 
plant in the St. Louis area alone. 

When the emergency is over, with all these contracts that we have, 
the cessation of production will cut through all this like a knife, and we 
will be sitting here with all those people on om- hands. They have to 
be taken care of. We have been working very hard in figuring out 
and completing plans for various kinds of work which we hope the 
Government will be able to start immediately when the defense 
program ends. In other words we are doing our share of planning 
constructive work — that is, work of a kind and character which 
leaves a permanent structure, something that is worth while. In 
other words, for every dollar that the Government puts into this plan 
of action we suggest something that is beneficial to the State and com- 
munity, and to the Nation as well. 

We are planning on that and hoping that out of these various 
programs we are setting up the Government will be able to finance 
for our community its share in proportion to our needs resulting from 
the number of emergency plants which the Government has placed 

The Chairman. We are very much interested in any plans that will 
cushion the post-war shock. This committee will appreciate it very 
much if you would send us the plans that you have already mentioned. 

Mayor Becker. Would you like us to give you in detail the various 
plans which we are working on? 

The Chairman. Yes; everything you have; because we are about 
the only ones who can do anything al)out ii. 

Mayor Becker. You are the ones we want to contact, and we will 
appreciate the opportunity to hand you a detailed description of these 
various programs. 

Mr. Steger. There is an immediate as well as a post-emergency 
problem which has to do with housing. I w^ould like to add to our 
written statement a supplement on that problem which was brought 
out through Mr. Palmer's release on cooperative housing. 

The Chairman. We would appreciate having that very much. If. 
as a result of this hearing, something occurs to you gentlemen of the 
panel, we will keep our record open for a week or 10 days, and we will 
make your additional statements a part of the record. 

We appreciate your coming here, and thank you very much. 



The Chairman. We will now hear from the Governor's panel. 
This group consists of the following persons: 

Mr. William W. Anderson, director, State Planning Board, State 
Office Building, Jefferson City, Mo.; Mr. James Doarn, Missouri 
State Employment Service, 1101 East Capitol Avenue, J(>fferson City, 
Mo.; Mr. J.'^ W. Burch, director, extension service, college of agri- 
culture, University of Missouri, Waters Hall, Columbia, Mo.; Mr. 
Lloyd W. King, State superintendent, department of public schools, 
Capitol Building, Jefl'erson City, Mo.; Mr. Proctor Carter, Missouri 
State Social Security Commission, State Office Building, Je /person 
City, Mo.; Captain W. J. Ramsey, State highway patrol. State Office 
Building, Jefferson City, Mo.; Dr. James Stewart, commissioner, 
Missouri State Board of Health, State Office Building, Jefferson City, 

Gentlemen, we appreciate your coming here. Mr. Anderson, I have 
been advised by the committee staff that Governor Donnell has 
designated you and various others to represent him at this hearing 
today. I wish you would present to the Governor our deep appreci- 
ation for his assistance in havuig you gentlemen come here. Please 
give him our very kindest regards. 

Mr. Anderson. I will be glad to. 

The Chairman. The prepared statements which have been handed 
in by the members of this panel are much appreciated, and they will 
be made a part of the record. 

(The statements referred to above are as follows:) 


The State agencies represented on the State panel have each prepared material 
in detail concerning their respective interests. The panel consists of: James 
Doarn, assistant director, State employment service; Dr. James Stewart, commis- 
sioner, State board of health; Hon. Lloyd W. King, State superintendent of 
schools, in charge of defense training; J. W. Burch, director, agricultural extension 
service; Proctor Carter, assistant administrator, social securit}' commission; 
Capt. W. J. Ramsey, State highway patrol; and William Anderson, director of 
State planning board and executive secretary of State council of defense. 

In order to give a bird's-eye view of the situation in Missouri, there are listed 
some general State-wide observations in brief form. 

Normally about 70 percent of the manufacturing of the State is located in the 
St. Louis and Kansas City areas. About 99 percent of the defense production 
contracts have been alloca'ted to firms in St. Louis and Kansas City. This does 
not include cpntracts for construction nor does it include subcontracts. There- 
fore, the bulk of migration due to production of goods is toward the two metro- 
politan centers. 

In addition to the production of defense goods there is considerable defense con- 
struction. Much of this is located in the metropolitan centers for plant facilities, 
but large defense construction projects such as cantonments and manufacturing 
plants are being constructed in rural areas. To these projects there has been 
considerable migration of construction labor. These projects, however, are of 
relatively short duration and the migrant workers move on to other projects when 
the work has been completed. 

From reliable reports, there appears to be a decided (but not a measured) 
migration from the smaller communities of the State to the industrial centers. 

There also appears to be an excess of in-migration over out-migration from the 
State as a whole, this excess going largely to the two metropolitan centers. 

The problem of unemployment caused by material shortages due to priority 
regulations is relatively unimportant at present but may become acute in certain 
industries as the emergency continues. 

g78G ^'^'- J-^i'i'"^ iii:akin(;s 

There is 8<ill ft siiriilus of labor, mainly in the iinskiiicd classes. Shortages, 
however, do exist in ecrtain skilled classes in Missouri as elsewhere. 

There is an adeeniate sui)|)Iy of construction labor available to suj)ply the 
demand for any anticipated construction project. 

At the present time there are .SG.OOO workers engaged on Work Projects Admin- 
istration jirojects, and there are 11.000 aj^jilicants who have beeu approver! but 
are uiui-ssigned because of insuflicient funds. In addition, it is estimated Hint 
there are apjiroximately 17.r)00 j)er.sons who, if they made application, would be 
eligible on tlie basis of need for Work Projects AdiDinistrat ion assistance. Tlie 
total is 04,000 ])er.sons, wliicli indicates tlic employment problem has not been 
licpiidated becau.'^e of the defense program. 

The problem of direct i)ublic assistance lias not presented itself in areas where construction projects have been completed, as was anticipated. For the 
most part the workers were migratory and as soon as the job was completed in 
one place they moved on to anotiier construction i)roject. When the 
construction work on defense jjrojects finally ceases, there is likely to be a .serious 
problem of relief. It is tmticipated that there will be large numbers of migratory 
workers stranded. The funds to care for the existing direct relief load in Missouri 
are inadequate. Should there be any in the relief load the State authori- 
ties will be unable to cope with it. 

The constriiction of defense projects has created acute problems in rural areas 
where local facilities arc inadequate and local authorities are unable to cope with 
them. Some of the problems created are: 

Because of rapid increase and relatively large concentrations of population, the 
limited existing facilities for health protection are overtaxed. comnmnities 
are unable to finance the needed health facilities and there is considerable delay 
in obtaining necessary outside a.ssistance, and it appears this assistance will be 
inadequate to provide the urgently needed facilities. 

With the concentration of population, settlements, small communities and shack 
towns arc springing up outside of present towns. Because of this uneconomical 
and improper distribution of population in newly developed areas, school and 
health facilities have to be provided at excessive costs. Housing in a majority 
of the cases in these newly developed areas is inadequate and of a veTy poor 

There are ways and means provided for controlling the distribution of popula- 
tion through county zoning and planning. An enabling act pa.ssed by the last 
session of the general assembly will permit counties in defense areas to do county 
planning and zoning, but this is dependent upon local leadership and up to the 
present time local authorities have not availed themselves of this procedure. 

One of the most serious problems in connection with construction of defense 
projects is the displacement of families because of large areas of land being taken 
over by the Government for defense purposes. In three of the large areas there 
were a total of about 1,143 families dispossessed of their farms of which approxi- 
mately 307 were indigent and dependent upon public assistance. Slow payment 
for the land taken over, loss of crops, inadequate payments, and the difficulty in 
finding new farms constitute serious problems. 

The construction of defense projects in rural areas has increased the traffic over 
certain roads as high as 965 percent with a corresponding increase in accidents of 
417 percent. 

There are so many Federal, State, and local agencies dealing with the problems 
in defense areas, some of which have conflicting authorities and cherished pre- 
rogatives, that it is difficult if not impossible at times to develop an orderly plan 
of procedure. Some way should be found to more efTectively coordinate the 
efforts of the numerous agencies, all sincerely trying to do their part* in improving 
local conditions caused by the disruption due to the defense effort. 

Exhibit A.— Problem Area Analysis, Missoi ri Valley Region 


The study was conducted during a 2-week period, June 1 to 14, inclusive. The 
first persons with whom contacts were made were WMlliam Anderson, director of 
the Missouri State Planning Board, Jefferson City, and Ross J. Silkett, bureau of 
agricultural economics, representative for Missouri, Columbia. Both of these 
gentlemen were especially helpful in supplying files on the tiff problem, furnishing 
stenographic service, and generallj- giving suggestions and assistance in many 


different ways. The first day on the job was spent in conferring with Anderson 
and Silkett and in getting oriented on the procedure to take in the short time that 
could be spent on the study. 

On June 3, much helpful information was secured in participating in a confer- 
ence of the special tiff committee held in the conference room of State board of 
health, Jefferson City. (The minutes of this meeting are attached.) The period 
from June 4 to June 10, inclusive, was spent in Washington County getting, at 
first hand, the picture of the problem in the area. The period from June 11 to 
June 14, inclusive, was spent in Jefferson City, drawing together a brief tentative 
report and getting the viewpoint of certain State agencies on the soundness of the 
recommendations to be inserted in the report. Mr. C. Woody Thompson, senior 
planning technician of the National Resources Planning Board, Omaha, was in 
Jefferson Cit}^ during 2 days of this period, June 12 and 13, and rendered a real 
service in offering advice and assistance in preparing the tentative draft of the 
report. Not only did he help in this part of the work, but he also took the tenta- 
tive draft of the report with him to Omaha and agreed to edit it and also to prepare 
the very important, condensed, summary statement. Too much emphasis cannot 
be placed on Mr. Thompson's part in this study; before the time it was undertaken, 
while it was underway, and after the tentative draft of the report was turned over 
to him on June 14. 

In addition to the three men named above, the following persons were inter- 
viewed during the period of study: Rt. Rev. William Scarlett, Bishop of St. Louis 
(Episcopal) chairman of Gov. Forrest C. Donnell's five-member committee on the 
tiff problem; James W. Cox of the unemployment compensation commission; 
Paul D. Kelleter, forest supervisor, Clark National Forest; J. W. Burch, director, 
agricultura? extension, University of Missouri, and a member of the Governor's 
committee; D. Howard Doane, St. Louis, member of the Governor's committee; 
R. W. Brown, president, Missouri Farm Bureau Federation; Dr. Harry F. Parker, 
Commissioner of Health for Missouri; Dr. H. A. Buehler, State geologist; Miss 
Charity Bye Schanks, home economics agent, Potosi; W. C. Wolfe, Superior 
Mineral Co., Cadet; Paul Cornielson, Farm Security Administration supervisor, 
Washington County, Potosi; Ernest Pearce, owner of tiff land and brick plant, 
Potosi; Rev. John H. Cook, Catholic pastor at Tiff, Mo. (he has been there for 
18 years); Bruce Miles, manager of the National Lead Co.'s holdings, Potosi; 
Carl Ross, district supervisor, Farm Security Administration, Cape Girardeau, 
Mo.; J. J. Riggle, Farm Security Administration special projects supervisor, 
Washington, D. C; Richard G. Taylor, in charge of Missouri State Employment 
Service, Flat River, Mo.; Walter Swearengen, deputy administrator of the Na- 
tional Youth Administration for Missouri, Jefferson City; Conrad Hammar, 
professor of agricultural economics, University of Missouri; John K. Brownell, 
forest ranger in charge of station near Potosi; William Nice, forest ranger (in 
charge of emergency program which is employing 325 Work Projects Administra- 
tion workers in forest work until end of fiscal year) Potosi; and Mr. Neustadter, 
superintendent, barite sales division plant, of National Lead Co., Potosi. 

An especial effort was made throughout the study to get the viewpoint of 
Federal and State supervisors on the recommendations that were to be made in 
this report. As a consequence, the recommendations in part TV of this report 
are in line with what at least one responsible administrator, in each of the agencies 
affected, would recommend as the desirable activity for his agency in the area. 

Much attention is being directed toward the tiff problem in Washington County 
at the present time. The Governor's committee, previouslv referred to, will 
make its report in July 1941. The function of the National Resources Planning 
Board is to cooperate with this committee wherever possible and furthermore, the 
National Resources Planning Board should check from time to time to see to what 
degree the recommendations of this report are being carried out in the area. This 
dual responsibility can be executed through Mr. William Anderson, director of the 
State planning board, and secretary of the Governor's special five-man committee 
studying the tiff problem. 


The population trend in Washington County has been upward, the increase 
being particularly large during the past decade. The total population in Wash- 
ington County by census years has been as follows: 1910, 13,378; 1920, 13,803; 
1930, 14,450; and 1940, 17,492. This is an increase of 21.1 percent between 
1930 and 1940 as compared with a 4.7 increase between 1920 and 1930. During 
the past decade, only seven counties in the State had a higher percentage in- 
crease. One of these was St. Louis County, The other six — Butler, Dunklin, 


Mississippi, Now Madrid, Pemiscot, and Scott— are located in the extreme south- 
east corner (if the Stati;. Mcasiinid against the population increases in coujities 
bordcrinp Washington County, tlic increase in this county is not particularly 
siKiiificanl. The increases in population in bordering counties between 1930 and 
1940 were as follows: Crawford, 12.5 percent; Franklin, 11 percent; Iron, 8.3 
percent; JetTcrson, 10.2 percent; and St. Francois, 0.3 percent. 

The population of Washington County is definitely rural. There are four in- 
corporated places in the county and their combined population in 1940 of 2,952 
accounted for oidy 17 percent of the county's total. The figures for these towns 
in 1930 and 1940 are as followtj: 


Iroiidfilo , 

Mineral Point. 











The net gain in population of the towns of Washington County between 1930 
and 1940 was 788, which fact shows that there were 2,254 more persons living 
in outlying sections of the county in 1940 than in 1930. 

The major employments of the county may be classed under three headings, 
namely, tiff mining, farming, and timber work. Aside from the information 
which is available from the Census of Agriculture on number of farms, the num- 
bers in these employments will have to be estimates. The problem is complicated 
in that many persons farm and also mine tiff; others farm and do some timber 
work. In a prepared statement which he read at the conference before Gov. 
Forrest C. Donnell on the Washington County tiff problem (April 14, 1941), 
Mr. E. S. Richeson, secretary of the Potosi Chamber of Commerce, stated that 
there were approximately 1,500 families whose chief occupation is that of hand 
mining tiff. Those 1,500 families, he said, average 41^. persons per family, which 
means that a total of 6,750 persons may be put in this category. According to 
the 1940 census, there were 1,428 farms in the county. Statistics obtained in 
1935 show that 57.8 percent of all farm operators in "^ the county have supple- 
mentary nonfarm incomes, leaving only 42.2 percent full-time farmers. This 
latter percentage would be equivalent to approximately 600 farms. Assuming 
that there are the same number per family among the farmers as among the tiff 
miners, that would mean a total of 2,700 persons in this category. It should be 
noted here that this figure is based on the assumption that there are the same 
number of persons employed full-time on farms as there are full-time farm op- 
erators. This does not allow for hired laborers on farms (figures not available), 
although their number is probably not large. The balance of the farm operators 
in the county (that is 828, or the difference between 600 full-time farm operators 
and the total figure of 1,428 for all farms) probably is, for the most part, engaged 
in tiff mining or in timber work and is included in Mr. Richeson's figures for 
those emplojments. 

Mr. Richeson's report states that there are 650 families who have been, or are 
now, sawmill workers, small farmers, or timber workers. This group may be 
referred to as the timber workers of the county. Assuming the same number" 
per family in this group as for tiff miners, there would be 2,925 persons in this 

A recapitulation for all 3 major employments, taking into account their over- 
lapi)ing, and using thiS basis of estimate, would show approximately 2,750 families 
engaged in tiff mining, farming, and timber work. A total of 12,375 persons 
wou'd be dependent for their income on these 3 employments. 

In dealing with the income of the tiff worker, Mr. Richeson's report shows that 
the average production of tiff by all hand miners does not exceed 5,000 tons per 
month. The price of tiff is from $5.75 to $6.50 per ton. Assuming that the 
average price is $6 per ton, the landowner receives on an average 60 cents per ton 
royalty and the hauler receives from $1 to $1.50, depending on the distance 
hauled. This leaves for the miner from $3.30 to $4 per ton. The average ton- 
nage per month per family, according to Mr. Richeson's figures, is about 3}^ tons, 
or the e(|uivalent of $12 to $15 per month income per family. The same report 
states that the cash income of those in the category of timber workers is far lower 
than that of the tiff miners. Comparable data on the cash income from farming 
are not available. 

It is to be regretted that data on a complete labor survey of Washington County 
cannot be incorporated in this report. This survey, now being conducted (June 


1941) by the Missouri State Employment Service, would yield much more definite 
information on the situation in the major employments than has been possible to 
present above. The labor report will be available early in July 1941. 

The general impression gained from observing conditions in the area, and from 
conversation with persons in the area and elsewhere, is that hand mining of tiff 
is a declining industry. It might also be added that the price of tiff fluctuates 
widely. At the present time, because of general prosperity, there is an active 
demand for tiff. The situation in the county now — bad as it is — probably is not 
so bad as it would be in a period of inactive demand. 

With cash incomes at the levels above described, it is hardly necessary to add 
that the relief load is extremely heavy in Washington County. According to Mr. 
Clarence Keathley, secretary-director of Social Security at Potosi, more than one- 
third of the population of the county is receiving some form of Government aid. 
Through the three programs of aid to dependent children, general relief, and old- 
age assistance, the State of Missouri spent $57,650.12 in 1940. The Federal ex- 
penditures in the above-named categories plus those of the National Youth Ad- 
ministration, the Civilian Conservation Corps, and the Work Projects Adminis- 
tration amounted to $505,684.22 in the same year. This would be a combined 
total by Federal and State agencies for aid in the above-listed categories of 
$623,334.34 in 1940. This figure does not give the whole picture because it does 
not include the value of the services of the Farm Security Administration, the 
State crippled children's commission, the State board of health, the expenditures 
of the county for the care of the indigent, the amounts of local sponsor's contribu- 
tion for Government programs, and the value of contributions by State and local 
private organizations. Speaking of sponsor's contribution. Colonel Casteel, of 
the State Work Projects Administration, reported that Washington County has 
made a sponsor's contribution of onl.y about 9.2 percent of the work that has been 
done there. During the history of the Work Projects Administration, the Work 
Projects Administration and sponsors have spent $1,559,024 in W^ashington County. 
In addition to this amount, approximately $66,000 has been spent in the sewing 
room in the county, 

II. Factors Affecting Employment and Income Stability 

The major occupations in Washington County may be classified under three 
headings: Tiff mining, farming, and timber work. Each will be discussed sepa- 
rately and following that an attempt will be made to give a composite picture of 
the general situation that now exists within the county. 

Tiff mining. — Although tiff has been mined for many years in Washington 
County, there is still an abundance of the mineral underlying the soils of the 
county. Of course, the richer and more readily available deposits probably 
have been exploited. Therefore, the problem in the occupation of tiff mining 
does not result from the exhaustion of a resource as is the case of the timber 
worker, and in a somewhat lesser extent, of the farmer. On the contrary, the 
tiff miner is faced with a technological change in the mining of tiff which very 
definitely affects all those engaged in the occupation of hand mining. 

Not one but many factors probably account for the change from hand to 
machine mining of tiff in the county. Mechanized mining is less expensive, 
it makes possible more complete recovery of the mineral, and the extension of 
mechanized mining in the county is only following the trends in mining found in 
other sections of the United States where the mineral is produced. The problem 
of hand mining versus mechanized mining was brought into sharp focus by the 
National Labor Relations case. 

This case originated in Washington County and is now before the National 
Labor Relations Board. The National Labor Relations Act requires that em- 
ployers bargain with the union which represents the majority of their employees. 
Jack Sullivan, for the local Congress of Industrial Organizations union, filed 
charges that a certain employer (Blount, et al) was not bargaining with the 
union. A hearing was held in November 1940 and the trial examiner (Josef L. 
Haktoen) in his intermediate report (dated February 10, 1941) made certain 
recommendations but the National Labor Relations Board has not yet handed 
down its decision. The question to be decided is whether the hand miners are 
independent operators or employees of the landowners. If they are employees, 
they will then come under the provisions of the Fair Labor Standards Act of 1940. 
If the landowners are held as employers, they must limit the miner's working time 
to 40 hours per week and see that each earns the minimum prescribed by the 
Fair Labor Standards Act. It is estimated that a miner's earnings now are 
approximately 20 cents per hour or less. The statute calls for 30 cents per hour. 
The employer would not only be obliged to pay that amount but he would also 



be held liable for the period since October 1938 when the Fair Labor Standards 
Act went into elFect. As a consequence of this case and pending decision the 
landowners are wary about hand mining. One landowner expresses the view- 
poMil very well ni the following words: "In the face of that accruing liability 
It would be cheaiKT to chop olT (he royalty (from each ton of tiff mined on his 
land) and stop (he liability than to collect the royalty and let the liability accrue " 

Ihat mechanized mining is coming into the county rapidly no one will deny 
iLvcn the casual observer driving over the county is impressed by the number of 
new w^ashers being erected. 

Farming.— Census figures lend support to the general impression one gets in 
viewing the agriculture of the county, namely, that the land is not farmed as 
extensively or intensively as in the past. In the face of an in rural 
population, (here has been a decrease in the acreage of land u.sed for crops in 
the county between 192«» and 1939. On those farms reported by cen.sus enumera- 
tor.s, o'i.OO.) acres were used for crops in 1929, 47,043 acres were used in 1934 and 
44,331 were used in 1939. This is a reduction of about one-eighth in the 10-vear 
period. Ihe census also shows that there were fewer milk cows and poultry on 
farms in 1939 then there were 10 years earlier. In some categories there were in- 
creases in production but in many the trend was the same as that for milk cows 
and poultry. Between 1935 and 1940 there was a decrease in the number of 
farms of the county from 1,539 to 1,428. This decrease occurred in the small 
farms as mdicated by the following figures from the 1940 census: 

Size of farms 

in 1935 

in 1940 



Under 10 acres 






10 to 29 acres 

30 to 49 acres 

50 to 69 acres 

70 to 99 acres 

100 to i:i9 acres... 

140 to 179 acres 

180 to 219 acres 


220 to 259 acres 

260 to 379 acres 



380 to 499 acres... 

500 to 699 acres . 

700 to 999 acres 

1,000 acres and over 

Another impression one gets in visiting the area is that, as a general rule farm- 
ing IS not being earned on as effectively as it might. This statement apphes to 
big farms as well as to little farms. A well managed farm— and there are a 
number in the county — stands out as something unusual. With rather poor man- 
agement as the rule, the farms have deteriorated although they are not yet beyond 
recovery. Ihe soil, although not the best, is productive as is amply demon- 
strated by the produce grown. 

Bringing together these facts and general impressions, one can say that the 
occupation of farming is being neglected for various reasons. Apparently, this is 
true of the small garden plot as well as the larger general farm. Land ownership 
and leasing is of a rather mixed and confusing pattern in Wa.shington County 
Assurance of a more permanent tenure with a fixed and habitable place of resi- 
dence, and the responsibility accompanying both, would undoubtedly raise the 
prestige of farming as an occupation with some of the residents of the county 

J lyyiber work.— The occupation of the timber worker differs from that of tiff 
miner and farmer in that the resource from which he once earned a livelihood is 
almost exhausted and the time when this resource can be rehabilitated is a good 
many years in the future. What little timber remains is being used. These 
timber workers are dependent upon what few ties they can make from the inade- 
quate timber stand that is being used. 

R^sinrie.—To present a composite picture of the general situation as it exista 
within Washington County is to attempt the impossible. One alternative is tc 
enumerate some of the factors in the picture. This obviates the necessity of 
coming to one general conclusion. The following is a brief statement of some 
of the factors that must be considered in planning any program for the county wi 

1 It IS a county in which a large percentage of the people has a low standard! 
ol living. Washington County is not unique in this respect. Probably manyl 
other counties in the United States are as bad off. Many of the people are ofT 
Irench descent but one must not get the impression that those of low standards^ 


are all of French descent or that all the French in the county are to be placed 
in this category. Nothing could be further from the truth. But viewing those 
of French descent for a moment one can get some insight into their background. 
The French element is easier to study because one can go further back into its 
historj^ than in the case of some of the later arrivals. Many of the French that 
came to the county constituted the overflow — the misfits — from the French 
settled counties — the better agricultural counties — to the east. 

A large percentage of the people care little about whether their children attend 
school, their dwellings are shacks, they are perfectly content with living as they 
are, they have no sense of the value of money earned, and they are shiftless. 
This statement makes one vulnerable to criticism, for someone might propose 
that these people are creatures of their environment. Give them the oppor- 
tunity to earn a decent wage, to build a livable home, and matters would l)e dif- 
ferent with them. Although there would be some difference of opinion on this 
point, the fact is that society does have a duty to make it possible for these 
people's children to make the choice whether they shall go on living as their 
parents do or improve their standard. While harsh things have been said about 
these people, it should be said to their credit that they are not criminally inclined, 
and residents of the community do not complain even of petty thievery. 

The facts are that people who are weak — economically, intellectually, and 
physically — are usually exploited. These people, generally speaking, are weak 
in the first two categories and many of them, because of poor nutrition, are weak 
in the third. They show the marks of exploitation — past and present — in their 
faces. Exploitation breeds distrust, and distrust of everything new is a serious 
obstacle in the way of bettering conditions in Washington County. 

2. The peculiar land ownership pattern was referred to previously. Spanish 
land grants preceded the rectangular land survey, and ribbon farms were carved 
out of these square or rectangular blocks. Then there are large landholdings 
of tiff land on which miners live. The following are some of the larger land- 


National Lead Co. (Barite sales division) 16, 000 

Potosi Tie & Lumber Co 12, 000 

Washington Land & Mining Co. (Shapleigh interests) 6,000 

Payrole Mining Co 3,000 

W. C. Wolff 1,500 

H. L. White 1, 200 

B. A. Blount et al 800 

Lester Kerney 600 

McGregor Brother 500 

Approximately 1,000 families live on these 41,600 acres. In some cases, the 
owner provides the houses. In other cases, the miners build their own houses. 
Washington County is a county of wide diversity of land ownership. For example, 
alongside the rows of huts that constitute the publicized Paw Paw Patch is a 
large farm with an extraordinarily large complement of farm buildings. In 
many parts of the county, the medium-sized farm, which is the bulwark of most 
rural communities, does not exist. 

3. Stores are particularly numerous over the countryside. One is located at 
almost every crossroads. All seem to be doing a good business. One might 
suggest that these stores are the symbols of present-day exploitation of the tiff 
miner. In general, prices are high, goods are of inferior quality, the business is 
done on a credit basis, and the miner has little "money sense." Such a combina- 
tion means exploitation. Furthermore, it is reported that some storekeepers 
encourage the miner in his disinclination to raise a garden. He is told — and he 
probably wants to hear it — of how foolish it is to tend a garden wlien he can be 
digging tiff and, with the money thus obtained, buy vegetables at the store. 

4. Speaking advisedly, the present movement for "doing something for the 
tiff miner" did not originate with him. (It is not to be inferred here that he does 
not need help, for the fact has been proved beyond all doubt.) Those interested 
in the movement were not altogether thinking of the tiff miner. The store- 
keeper, for example, wants Government help so that he can sell more goods to 
the miner. Those interested in the introduction of machine mining want to 
prepare the way for that by having the Government ease the shock for the miner. 
Those in business in Potosi and those charged with the responsibility of county 
government have somewhat similar motives. Perhaps this is stating the case 
too bluntly and it would be better to state that there was an element of self- 
interest mixed in with the altruism of the citizens of Washington County in 
attempting to "do something for the tiff miner." 


5. Local loadorship tliat has the good will of a sizable block in the county 
is sadly lackiiiK. Landholdtrs apparently have not demonstrated to the tiff 
miner that they are working for the latter's best interests. Perhaps even if 
the landholders were doing infinitely more than the small amount they are doing, 
they would still not be able to get the workers' good will. The local leadership 
that does exist, for the most part, is recruited from the ranks of landholders or 
those closely associated with <hcm. 

It is the quite general opinion that the tiff miners, as a group, are temperamental 
in their reactions to public questions. They show inclination to reverse their 
thinking on public questions on short notice. This, added to the fact that they 
are a rather inarticulate group, makes the development of local leadership difficult. 

IIL Directions of Readjustment 

Before outlining the economic and physical readjustments for the area, a word 
may be necessary to explain what might appear to be imdue emphasis on agri- 
culture, forestry, and land use in the suggestions that follow. The emphasis is 
so placed after careful consideration has indicated that stress should be laid on 
these factors, for they are fundamental in the long-time economy of the area. 
The fact must not be lost sight of that Washington County is a part of the Ozarks, 
and in all consideration it is imperative that this county be treated in terms of 
the broader area in which it belongs. Thus, Washington County possesses all 
of the disadvantages and the advantages of Ozark agriculture. The main disad- 
vantage may be summed up in the words "low farm income," which results in a 
standard of living at or near the subsistence level. The advantages are that a 
family in this region may make a low income go farther in providing the necessities 
of life than in many other .sections of the United States. Nature has provided 
a comparatively mild climate, wild fruits and berries, and a supply of trees that 
may be used for a shelter and for fuel. Because low income is the rule rather 
than the exception, the individual family enjoys a certain degree of peace of mind 
in the knowledge that its position is about as good as that of its neighbor. 

The emphasis purposely is placed on agriculture and forestry for the reason that 
"tiff" mining appears to have reversed the normal order of "putting first things 
first." Agriculture and forestry have been in partial, if not total, eclipse. The 
contrary relationship should exist, however, thereby relegating tiff mining to 
secondary position. Until the time comes that tiff mining is looked upon as a 
source of supplementary income to the rank and file of agriculturists and timber 
workers in Washington County, there can be no lasting solution to their problems. 
Old residents of the county state that that was the situation of a generation or 
more ago. Reverting to an order which has existed may be easier than striving 
to attain a condition which is without precedent. 

The first major adjustment is to put a large part of the area of Washington 
County into the use for which it is best adapted. Prof. H. H. Krusekopf of the 
soils department, University of Missouri, has prepared a general land map of 
the county which, until such time as a soil survey is made, probably is the best 
information available on the general land classes of the area. His report and map 
show that although all of the county is very hilly, the soils in the western half of 
the county are uniformly stony and of low productivity. According to Professor 
Krusekopf "in this area very little of the upland is suited to farming although 
some can be utilized for rough pasture. In general, it is a region of forest land. 
The creek bottoms are successfully farmed, and include most of the arable land. 
The agrfcultural possibilities in this section are very limited." The area to which 
he refers comprises more than half of the area of Washington County. It should 
be emphasized that the border lines are not exact and definite delineation is not 
possible until information from a soil survey becomes available 

A definite step toward the needed readjustment took place in 1934 when the 
Clark National Forest was created to embrace an area comprising ajjproxinjately 
the southwest quarter of the county. Approximately 132,000 acres of Washington 
County are in this national forest. Of this total, the Federal Government owns 
68,000 acres, or approximately one-half of the area within the national forest. 
Probably the Forest Service can acquire eventually up to 75 percent of this area. 
If additional funds were available and approval given, the forest area could be 
extended to take in 147,000 additional acres in Washington County. This would 
more than double the present area in national forest. Increasing the area to this 
size would put to forest use the section of the county that Professor Krusekopf 
designates as "a region of forest land." It could reasonably be assumed that the 
Government might eventually purchase 75 percent of the extended area. Follow- 
ing these assumptions, the Forest Service might eventually own, in round numbers. 


200,000 acres of laud in the count3^ Such a program, in addition to insuring that 
the soils of approximately the western half of the county would be in the use for 
which they are best adapted, would create a labor market for many Washington 
County people. Mr. Paul Kelleter, supervisor of the Clark National Forest, 
stated that if funds were available for work on the 68,000 acres now owned in the 
county, the Forest Service would be in position the first year to give 200 days 
employment to a total of 892 men. Since certain of the work can be done only 
once in about 10 years, the succeeding year the employment would drop to 200 
days for 250 men. These latter figures probably would represent the amount of 
labor required annually to care for the 68,000 acres. Increasing the acreage of 
Government-owned land to 200,000 would triple the area thus owned, Vjut it 
would not result in a three-fold increase in the amount of labor required. Certain 
of the labor on the present area of national forest is of an overhead character 
which would not be increased proportionally with the extension of the area in 
forest. With the national forest in Washington County more than double its 
present size, and with 75 percent of the land in the forest owned by the Govern- 
ment, it is conservatively estimated that if funds were available, the Forest 
Service would be in a position year after year to give 200 days employment for 
500 men, or if preferred, 100 days employment annually for 1,000 men. 

The second major adjustment is to develop a program for the eastern half 
(actually less than half of the area of the county) of the county which will assure 
the use of the resources of the area in such manner that the greatest benefit will 
result to the residents of the region. In this description of the eastern half of 
Washington County, Professor Krusekopf states that "the soils are not every- 
where stony, although there are areas of rough land. The soils are dominately 
brown in color and more productive than in the west half of the county." This 
portion of the county is a combination of (1) mixed forest grazing and some crop 
land, and (2) rotation crop land. For the purposes of this report, this division 
need not be stressed since the suggested adjustments are for the entire eastern 
half of the county. However, in putting into force anj' of the suggestions made 
for this area, the delineation would be a most necessary guide. Again it may be 
advisable to remark that a soil survey would make these delineations more definite. 

The task of suggesting adjustments for the eastern half of the county cannot 
be simplified in the sense of making one general readjustment as was the case of 
forestation for the western half of the county. The problem calls for many, not 
one, adjustments. However, one adjustment stands out as being fundamental. 
It is for some plan of putting people on small tracts of agricultural land. This 
can be brought about by public acquisition or leasing and subsequent lease or 
resale. The characteristics of the people, their part-time employment, and the 
peculiar characteristics of the land ownership in the area, as previously described, 
all justify such a program. Furthermore, to prove effective, such a program must 
be planned on a comparatively large scale. In this the Farm Security Adminis- 
tration has the facilities for playing the major role. This organization could 
begin its work with the subsistence units; e. g., cow, garden, etc., and work into 
the development of cooperative landholding and leasing associations. 

The suggestions so far may have indicated a cleavage between east and west 
sections of the county. They were thus presented merely to bring in sharp focus 
twomajor lines of action and not in anj^ sense is it the intention to make any dis- 
tinction in the over-all suggestions for the area. The county should be considered 
as a unit and all programs to be eff"ective must be well coordinated. 

In discussing Washington County as a whole there are many pressing problems 
but none more significant than that dealing with the educational facilities for 
young people. The boys and girls do not have adequate facilities — and many 
are not taking advantage of the facilities they have to equip themselves for service 
as productive citizens. Training of a vocational character is inadequate and that 
which exists is reaching only a comparatively small group of young people. The 
finances of the county are being strained to provide even a modest school system. 
Too much cannot be expected from the local schools in the development of voca- 
tional training programs. This type of education is expensive to install and to 
teach. Under such circumstances, it appears reasonable to urge that the National 
Youth Administration give generously of its facilities to these underprivileged 
youths. It would seem that the National Youth Administration offers the one 
major opportunity for developing skills among many boys and girls who are in the 
county now because they do not know the trades that would give them entree to 
jobs elsewhere. 

When all factors are considered, it is with the youth of the county that the 
hope for better conditions rests. One cannot get too optimistic about changing 
the ways of persons who have already lived most of their lives. Consequently, 

g794 '^'''- I'OUIS HEARi:XGS 

stress sliould be laid on lielpiiit; the boys and Kirls to readjust themselves. Acquir- 
ing a skiii, as was ineiitioiied above, is one inii)ortant angle of the education 
propnuns. Tlie National Youth Administration also can help in another way. 
Tlirou>;li its residence centers, it can teach how to live better by accjuirinj? home 
talents, and by taking advantage of even the modest means that may be at one's 

The suggested readjustments found in the preceding pages may be criticized 
on the grt)unds that they stress, unduly, wluit governmental agencies, rather 
than private initiative, can do for Washington County. For the immediate 
future — unfortunate as it may be — Government activity seems the major alterna- 
tive. Furthermore, it would appear that laying the base for a long-time remedial 
program is also Govenunent's role. The jjosition of ])rivate industiry in the future 
depends in large measure upon the degree of widsoni displayed by various govern- 
mental agencies in making their long-time plans for the count}'. Consec(uently, 
one of the most important recommendations that can be made is for research into 
the possibilities for developing small industries within the area. The same state- 
ment can be made concerning research into the best uses for agricultural land. 
For example, the rehabilitation of forests will open up possibilities for industries 
built ui)on the processing of wood products. The role of Government agencies is 
to develop a specific program of research into the utilization of forestrj' products. 
The role of private initiative is to take these findings and develop industries which 
will give employment to people of the county. 

IV. Recommendations 


1. Through Federal action. 

(a) Extend the boundaries of the Clark National Forest to include an additional 
147,000 acres of Washington County land. Continue the program of land accpiisi- 
tion in the yiresent area of the National Forest, and the area within the extensiony 
until the Government owns approximately 200,000 acres of forest land in the 
county. This acreage would be approximately 75 percent of the area of the 
extended national forest in the area. Make funds available so that the Forest 
Service will be in a position to give emplojanent for 500 men for 200 days a year, 
indefinitely. This employment figure is based on an estimate of the manpower 
needed to care adequatel.y for the national forest in Washington County, after 
the present area is extended to include an additional 147,000 acres. 

(6) Inaugurate an extensive Farm Security Administration program of public 
land acquisition, or leasing, of agricultural land in the county for the development 
of cooperative landholding a;id land leasing associations. 

(c) Develop a specific program of research into the utilization of agricultural, 
forestry, and mineral resources of Washington County. In this program, the 
facilities of the Regional Research Laboratory of the United States Department 
of Agriculture, the Forest Products Laboratory, the Bureau of Mines, and other 
Federal agencies should be made available. In particular, it is urged that the 
Forest Products Laboratories should consider the establishment of pilot plants 
for the production of wood products. 

(d) Establish National Youth Administration residence facilities at Bonne 
Terre and enlarge workshop opportunities at that point sufficient to accommodate 
100 additional bo3^s from Washington County. Enlarge the present residence 
center at Steelville to accommodate an additional 50 to 60 girls from Washington 

£. Through Slate action. 

(a) Develop a county land-use planning program in the county. In view of 
the proportions of present Government programs and the suggested new programs 
in the county, it is imperative that the necessary machinery be set up for coordi- 
nation of all activities. The county land-use planning program provides the 
nucleus for this coordination and for the working out of cooperative relationships 
between the three levels of government — Federal, State, and local — in the county. 
An agreement for a unified effort for better land utilization and the rehabilitation 
of rural families, patterned along lines of the agreement recently adopted in the 
Pond Fork unit of the Mark Twain National Forest, is urgently needed. How- 
ever, in Washington County this agreement should cover the whole county and 
should provide a liroader approach and a membership of local as well as State 
and Feclcral agencies. (This recommendation, although placed under the heading 
of State action, really calls for action in all three levels of government.) 


(6) Make a complete soil and land-use survey of the county. This survey 
should precede (o) any extension of national forest area, and (6) any Government 
program of acquisition or leasing of agricultural land. 

(c) Periodically, there should be \a\wT surveys by the Missouri State Employ- 
ment Service, similar to the one being made in June 1941 as a basis for regulating 
the public labor load. 

(d) Maintain a full-time complete health unit for Washington County for 
curative as well as preventative work. 

(e) Develop Washington Park. This park is about 50 miles from St. Louis 
and only a short distance from the populous lead-belt area of St. Francois County, 

(/) Make possible the creation of soil-conservation districts so that the services 
of the Soil Conservation Service could be made available for Washington County. 

S. Through local action. 

(a) Established vocational education — vocational agriculture, vocational home 
making, and possibly industrial trades and industrial education — in at least one 
school in Washington County. 

(b) Rigidly enforce the compulsory State school-attendance law. 

(c) Cooperate in land-use-planning activity to insure program coordination. 



1. Revise the 1932 school ]3lan for Washington County to assure that school 
facilities are meeting the needs of the area. The possibilities of school coiisoi- 
dation, bus transportation for pupils, relocation of families, and vocational train- 
ing should be especially emphasized. 

2. Make an exhaustive study of the industrial utilization of the mining and 
forestry resources of the county with the \iew in mind of finding jobs for Wash- 
ington County people in industries now utilizing the products or in industries 
which would be created because of new uses which might be found. To state 
specific examples, further research might be conducted into the economic fcasil-ility 
of establishing a charcoal plant, a brick plant, and an establishmeno for the manu- 
facture of corrugated cardboard from Missouri oak. 

3. Conduct an exhaustive survey of the adaptability of the area for truck 
gardening and of the markets for such produce. 





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Api)anoose Comity lias hoen the suhjVct of many a social analysis. I^ocause 
of tliis, and more jiarticularly hocaiise of the factors which have prompted such 
analysis, many local leaders are convinced that the time for action has been "now" 
for s(>voral years. 

Protilpins of the area center about the coal industry, whose development 
broufiht in tiiousands of jjcot^Io l)ut whose decline has not l^eon accomianicd by 
jiroportionate emigration. Without coal mining, Ai)]'anoose County might have 
achieved its j)eak po])ulation as far back as 1870 instead of 1920. 

The coal is still available in large reserve. Loss of railroad markets and com- 
petition from better grades of coal, as well as other types of fuel, have curtailed 
l)roduction. Increased knowledge of combustion, better pre] aration such as 
(loaning, sizing, and waxing hold promise of retaining or ex]ianding present mar- 

Eventual doT>letion of eastern coal reserves and more immediate reduction in 
jietroleuin av.nilable for domestic civilian consumi)tion may increase considerably 
the demand for Iowa coal and, proportionately, for A])))anoose County fuel. If 
so, the miners are ready to do the job, although their average age is increasing 
each year. 

Local leaders, however, have come to the conclusion that in agriculture, rather 
than mining, lies the hope of the county's excess miners for subsistence and, on a 
modest standard of living, independence. Particular interest attaches to a sub- 
sistence farming plan pre] ared in some detail by local peoi le and presented to 
Farm Security Administration representatives in 193S. Action on this plan on a 
trial 1 a>is seems warranted without delay. Local leadership will be supplied, but 
Government loans ap])arfMitlv nre required 

In the ideas and energies of the local people are many signs of hope. EstablLsh- 
ment in past j'ears of the -Appanoose County Soil Conservation Association, active 
partici])ation in the program of the Chariton Basin Planning Board, crea*^ion of an 
areal iiublic health unit, and continued indications of personal nijlingness to con- 
tribute toward the solution of common problems are strong evidence that morale 
and l('ad(>rship have not been destroyed. 

In 1930 the report An Approach to County Planning — Appanoose County, was 
issued by the Iowa State Planning Board. A wealth ot factual material including 
the results of some original study, plus preliminary plans for recreational, tran.s- 
portation and other development, were incor])orated in the publication. Local 
businessmen, public officers, engineers, farmers, and others contributed valuable 
time and information. 

From this rejiort has been obtained much of the background information for 
the present areal analysis. The latter would be improved by the inclusion of 
many illustrations, maps, and graphs from that source, but unfortunately these 
are not readily available except through the dismemberment of several co])ies of 
the TMiblication itself. Reference is hereby made to that report as being the most 
productive single source of information about Appanoose Count}'. 

I. Characteristics of Employment 

The population of Appanoose County was higher in 1920 than in any other 
census year before or since, although in 6 of its 17 townships, the peak was actually 
reached in 1870. Except for 1917 and 1918, the year 1920 also saw the highest 
production of coal in the county. From more than 30,000 people in 1920 the 
population dropped to 24,835 in"l930 and 24,245 in 1940. 

The United States Census of Occupations indicates that there were in the 
county about 2,900 miners in 1920 and about 1,600 in 1930. The 1935 Census 
of Business shows 1,564 employed in mines and quarries, the latter undoubtedly 
accounting for only a small portion of the figure. 

Thus in a period of two decades the county lost 20 percent of its population 
(about 1,900 families) including about 1,400 or 48 percent of its miners. Annual 
coal production, however, in the same period dropped from over l]4 million tons 
to less than one-half million tons, while total man-days employment in the mines 
fell from over 700,000 to less than 200,000. Decline of the railroad market has 
been responsible for almost all this change. The 2 factors of decreased tonnage 
and decreased man-days per ton combined to effect more than a two-thirds 
decrease in employment while the actual number of miners decreased one-half. 

The 1930 Census of Unemployment indicated a total of 1,075 unemployed 
persons in Appanoose County. Of these, 543 were temporarily idle from their 
jobs, and 532 were out of work but able to work and looking for it. Of the 1,200 
relief families in 1935 the head of the family was listed as a miner in 40 percent 



of the cases. Work Projects Administration project employment for the 24 
months ending June 1941 showed a fairly uniform total of 400-500. 

All these factors point toward the conclusion that Appanoose County has an 
excess of some 400-500 miners. 

The 1935 Census of Business gives the following employment and pay-roll 
figures for the commercial industrial group: 

Table I. — Appanoose County employment and payroll, 1936 

Number of 


> 2, 572 



GO. 8 















Pay roll 


County total 

Mines and quarries 


Ma nufacturing_ 


Service - 

Insurance, real estate, and finance 





275, 000 

187, 000 

126. 000 

29, 000 

39, 000 

16. 000 

80, 000 




1 Not including 488 active proprietors plus unenumerated proprietors in manufacturing, mining, and 

Mining leads the commercial-industrial group in employment and is the No. 1 
source of unemployment, yet agriculture is the leading industry with twice the 
income and two-thirds more employment than mining. 

The farm population rose from 8,927 in 1930 to 9,694 in 1935, an illustration 
of the back-to-the-folks depression migration. In 1940 the total population on 
farms and in unincorporated communities was down to 9,423. Farm employ- 
ment in 1935 stood at 2,485, comprising 2,304 farm operators and 181 hired help. 

From a census standpoint, only 8,413 people were in the urban group in 1940, 
all towns except Centerville, the county seat, having less than 2,500 population. 
From an Appanoose County viewpoint, however, there were 14,822 persons in 
the 11 incorporated towns to 9,423 on farms and in unincorporated places. The 
1930-40 ijopulation drop of 600 persons occurred almost entirely in the latter 

Early miners from England, Wales, and Scotland were followed by Swedish, 
Italian, and Jugoslav workers. The latter two nationalities now predominate 
among the foreign-born group and comprise about one-twentieth of the population. 

An accelerating decrease in the percentage of young people and increase in the 
proportion that are over 45 years of age explains the disinclination of the residual 
population to follow the trail of economic opportunity. 

II. Factors Affecting Employment and Income Stability 

A. use capability of basic natural resources 

Although practically all the land is in farms and almost 40 percent in crops, 
only about one-fourth of the total area of the county is made up of highly produc- 
tive soils. The topography is mainly rolling, characterized by many short, steep 
slopes. This combined with the shallow surface and low absorption capacity of 
the typical soils has resulted in widespread serious erosion. Limestone and in 
most cases phosphate applications are needed for maximum production, especially 
for legume crops. 

Probably about one-fourth of the area was originally timbered with hardwoods. 
Much of this has been entirely cleared. Practically all that remains is used as 
woodland pasture, preventing the establishment of new growth. Less than 
1 percent of the county is now used exclusively for timber, and little of this gets 
the management needed for profitable timber production. 

Much of the count}' is underlaid by a low grade of bituminous coal, easily ac- 
cessible for .shaft and drift mining. High in moisture content, the local coal tends 
to "slack down" or disintegrate and to heat in storage. Because it cannot be 
stored for long periods, it cannot be mined uniformly throughout the year. 
Washing decreases the ash content but does not materially reduce the high sulfur 
content. An area about equal to that currently under lease has been worked 
out. Coal reserves are estimated as adequate for many centuries at present 
production levels. 

There are considerable, fairly well distributed deposits of limestone suitable for 
agricultural and road purposes. In view of the high acidity of the soil, the preva- 

60396 — 42— pt. 23 8 



lence of local limestone is particularly fortunate. Sizeable deposits of gypsum 
are of doubtful economic value. 

The climate is favorable to feed crop and livestock production. The growing 
season averages 100 to 170 days. The animal rainfall averages about 35 inches 
(it falls below 30 inches about 1 year in 3) and is usually well distributed through 
the growing season. 

Farm water supplies are mostly taken from cisterns, shallow wells, and artificial 
ponds and are frcHiucntly ina(le(|u;ite. Natural springs furnish some water in the 
rougher areas. Larger supi)lies of ground water r('(|uire drilling ()00 to 2,500 feet 
ancl even at such levels are limitefl. The terrain and soil are adai)ted to surface 
storage, but this is used only for the city supply at Centerville and for fire i)rotec- 
tion at Moulton. 

Opportimities for capitalizing on the local scenic and recreational advantages 
have been only slightly realized. The Suggested Comity Park and Parkway 
System which constitute figure 37 in the aforementioned A])])anoose County 
report should be a stimulus in this direction. The count}- is rich in Mormon 
history, and is crossed by two separate Mormon trails. 


Farming covers over nine-tenths of the land, produces twice as much income as 
mining and is predominantly made up of family sized commercial units raising 
field crops and livestock. About one-fourth the farms are part-time subsistence 
units under 50 acres and another one-fourth have from 50 to 109 acres. Re- 
sources and income per farm are relativeh' low, especially for these smaller units. 
About three-fourths of the part-time farms are operated by miners, whose average 
cash income for the year 1935 was $270. 

Tenancy historically has involved about one-third of the farms but since the 
middle 20's has risen to 46 percent in 1930, reversing the trend to 44 percent in 
1940. Insurance companies and other corporations owned 13 percent of the 
farm land in 1937, 14 percent in 1939, a figure slightly above the average for the 

Technological changes including the adoption of hybrid corn, restricting corn 
acreage to a smaller portion of the better land imder the Agricultural Adjustment 
Administration program, and violent weather variations during the last 10 years 
obscure any trend in yields of crops which may be associated with declining 
productivity of the county as a whole. 

Fifteen shipping mines, mostly unionized, produced about two-thirds of the 
average annual county total of 400,000 tons of coal in 1938 and 1939, and employed 
61 percent of the workers. Seventy local mines, mostly nonunion, accounted for 
the rest of the production and employment. Although the basic union wage is in 
the neighborhood of $5 per day for company men and $1 per ton for miners, it is 
reported that the usual rate in local mines is about $2 per day. A significant trend 
in the industry is the increase of local mine tonnage at the expense of shipping 

Table II. — Employment and production in Appanoose County coal mines, 1938-39 ' 

Type of mine 


Tons pro- 

Miners and 

Other under- 
ground employ- 




days em- 


days em- 


days em- 



290, fi09 
120, 550 
138, 581 












Local - 




« Report of the State mine inspectors. 

The market for Appanoose County coal is limited largelj' to the western two- 
thirds of the State, better grades of Illinois and other eastern coal controlling 
the eastern Iowa market. Because of its chemical and physical properties, the 
local coal is not economically adapted to certain industrial uses such as in the 
manufacture of plastics. With proper burning, however, it gives good heat at 
reasonable cost. 

Ten incorporated towns in addition to the county seat serve the area. The 
latter, Centerville, dominates the retail trade and farm marketing of the county. 



Half the other towns lost and half gained population in the past decade. Several 
communities probably are and should be doomed to extinction or relegation to the 
rural cross-roads class as the result of curtailment of mining and proximity to 
superior trade centers. 

All incorporated communities are served by rail transportation. The major 
rail traffic movements are northeast and southwest, with minor movements 
north and southeast. The county is well situated to participate in transconti- 
nental traffic. 

The highway system is adequate as to mileage, but low tax resources and ex- 
tremely rough topography in some areas have resulted in poorly maintained road- 
beds. ' Half the mileage in county trunk roads, three-fourths the mileage in county 
local roads, and practically all the mileage in local land service roads are yet unsur- 

Farm buildings are poor in Quality and home conveniences are conspicuously 
absent. According to the 1930 census, a lower percentage of farms in Appanoose 
Countj' had automobiles, electricity, water systems, telephones, or radios than 
in any other county in Iowa. Average annual per capita income for the entire 
county is only three-fourths the State average. Annual per capita income from 
the business industry employment group in 1935 was $730. 

Formation in past years of a county soil conservation association, recent 
increases in agricultural liming and a growth of erosion-control consciousness 
indicate a realization of local problems upon which poverty and ineffective organi- 
zation have hitherto prevented action. 


A major portion of the county's area is subject to serious sheet and gully erosion. 
Almost one-third of the population is on relief. Total relief costs, which have run 
as high as $30,000 per month, are still exorbitant, have yet to produce any improve- 
ment in the ability of the clients to become self-reliant. In fact, the development 
of a relief career philosophy is a real threat. Although about average among 
Iowa's 99 counties as to population, Appanoose is exceeded by only 8 counties in 
number of unemploj-ment benefit claims and payments. 

Table III. — Percent of population receiving relief in Appanoose County,^ January 

1937 through April 1941 














1937 .. . 














1938. _ 






' Prepared by State Department of Social Welfare; includes persons on general relief, Work Projects 
Administration, old-age assistance and aid to the blind minus duplication as represented by those receiving 
general relief and Work Projects Administration or old-age asistance. Of particular interest is the apparent 
trend toward a uniform month-to-mouth load, in contrast to the former situation in which mining activity 
reduced the winter relief list. 

Illiteracy is the highest in the State. Low property valuations and income 
prevent adequate school support on the basis of present financing. In spite of 
the fact that the people in city, town and consolidated school districts of Appanoose 
County bear tax burdens half again as great, in proportion to the tax base, as the 
State average, thev raise less than two-thirds as much school money per census 

Social institutions and programs are far less numerous and less active than in 
the average Iowa county. Although soil depletion and erosion plus curtailment 
of mining have forced emigration of one-fifth the population since 1920, unemploy- 
ment is still a major problem. 

Declining in total numbers, and more especially in the age groups under 45 
j-ears, the people exhibit a weakened resistance to the palliative of direct relief, 
and a dulled initiative in solving their problems. Despite greater unemploy- 
ment, reportedly fewer people from Appanoose than from surrounding counties 
have left home to seek work in the expanding defense program. 

III. Direction of Readjustments 

Needed adjustments in mining include: (a) Application of more uniformity in 
wage standards between shipping and local mines, and (6) improvement in con- 


suiiier appi-al and storiiiR qualities of the local coal tliroiiKli washiiig, waxing, or 
oiling, and sizing. These treatments will be ccononiieally ju.stifiecl for certain 
markets. Further utilization by local in(lu.stry, existing and potential, would 
help not only in raising the total demand l)ut also in s[)reading employment 
through the summer months. Encouragement of more local industry at the 
I)resent time is an attitude considered with caution by many local people who fear 
the after elfects in case strictly peacetime economics do nf)t warrant continuation. 

In the field of agricultural adjustment the smaller commercial farmers need 
increased resources through one or more of the following: (a) Increased acreage. 
(b) Application of conservation materials and tcchnic|ucs. (c) Additional operat- 
ing cajjital for which they may be unable to (lualify from commercial sources. 
(d) More stable teimre relationships, including increased owner-operation. 

.Adjustments in most of these directions are now occurring under the stimulus of 
existing programs. The conservation features of Agricultural Adjustment 
Administration, the standard loan and conservation works programs of Farm 
Security Administration and education in farm and home management j)ractices 
by the Extension Service could well be exj^anded, especially to provide more 
service to the farmers on the smaller and poorer farms. The tenant purchase 
program and a Soil Conservation district program (for which a petition is under- 
stood to be in process of circulation) should be inaugurated. Many small soil- 
conservation structures arc required, and farm water facilities should be improved, 
including development of more farm ponds. 

Certain lands which arc too severely depleted and eroded, such as all or most of 
Union Townshij), should be retired by public purchase (either by the United 
States Forest Service or the Land Utilization Section of the Soil Conservation 
Service) and maintained in forest or permanent pasture. It is understood that a 
start has been made toward purchase of land in Union Township, which is located 
W'ithin the Chequest Forest purchase area. 

The failure of either emigration and resettlement or development of new local 
industries to take up the slack in mining employment means that some 500 
families must be provided with new opportunities for self-support or else provided 
with continued public support. Except for the alternatives of (a) no assistance 
and (h) a national resettlement policy, we face the question of how to maximize 
the self reliance of these families in their present locations. 

Although depleted from its original status, the soil is yet the major continuing 
resource of the area. Its utilization in solving or at least mitigating the problems 
of the unemployed in Appanoose County has been proposed on two different 
bases. One program would establish each family on approximately 80 acres, 
with a modest amount of simple equipment and a budget providing for a maxi- 
mum consumption of the products of home labor. Living standards would not 
be high, but subsistence w'ould be possible without other employment. A detailed 
"subsistence farming plan" was prepared by the Chariton Basin Planning Board 
in 1938 and presented to representatives of the Farm Security Administration. 
Tentative approval was indicated but no action has developed. 

The other program would provide smaller tracts, probably up to 40 acres, for 
part-time farming or gardening to supplement w^inter employment in the mines. 
Both programs are already in effect on an individual basis, and probably there is 
further need for both. Advocates of each favor a rather extensive program with 
public assistance and expert guidance. They differ, however, in their views on 
(a) the permanency of what is now a surplus population and (b) the effect of a 
subsistence farm program on the present commercial farm economy of the area. 

The downward trend in population, particularly among the younger age groups, 
indicates a long-term natural solution to the problem of overpopulation. For 
many years, however, its effects must be faced. A major present problem, there- 
fore, is to help establish on the land those miners adapted by experience or capa- 
bilities to subsistence farming, while at the same time protecting insofar as possible 
the commercial farmers of the area. 

IV. Program 



1. Purchase a majority or all of the land in Union Township for forest and 
related uses. 

2. Inaugurate an extensive Farm Security Administration program for tenant 
farm purchase, rehabilitation and improvement of the economic status of the small 
commercial farmers. 

3. Establish a Farm Security Administration program to make loans and pro- 
vide guidance for subsistence farmers on a probationary basis leading to permanent 


units of 80 acres or more for families which prove adaptable. It is suggested that 
this program be started with development of about 25 units. 

4. Through the Agricultural Adjustment Administration program encourage 
further agricultural liming, permanent pasture and other approved practices on a 
conservation rather than production control basis. 

5. Through the Soil Conservation Extension Services and others educate the 
farmers to follow conservation rather than exploitation principles, and assist 
them in construction of small erosion control structures, farm ponds, Jetc, and in 
following proper land use practices. 


1. Through the Agricultural Extension Service, extend home management and 
farm management assistance to more of the smaller and poorer farms. More home 
consumption of farm products is a special need where cash income is so low as in 
this area. 

2. Establish a State-aid program for schools and extend its benefits to Appa- 
noose County. 

3. Through the State department of health, extend the activities of the areal 
health unit. 

4. Through the State Conservation Commission, establish additional park 
areas connected if practicable with trailways. 


1. Establish a county soil conservation district to obtain the maximum services 
of the Soil Conservation Service. 

2. Cooperate with the State department of public instruction in studying and 
effecting school consolidation. 

3. Maintain vocational education programs, including the fields of agriculture, 
home-making and industrial trades, in Centerville. 

4. Maintain a realistic attitude toward relief, employment, and economic op- 
portunity, and assume leadership in carrying into effect programs already pro- 
posed for development of subsistence farms. 

5. From the 1936 Approach to County Planning; Appanoose County, prepared 
by the Iowa State Planning Board, and in the light of developments since then, 
proceed to a county plan which takes into account: (1) Probable future popula- 
tion distribution (including a flexible program for part-time farming to relieve 
mining unemployment but not create an excess of capital investment in units 
which ultimately may prove too small for complete agricultural independence), 
(2) consolidation of schools, (3) readjustment of county and local roads to the 
expected poi^ulation pattern, (4) development of the county's recreational po- 

6. In connection with this county plan, prepare a series of definite projects 
and establish budget-calendar status for each. 


Public works should promote the conservation and improvement of basic natural 
resources, the materials for self-reliance on the part of Appanoose County resi- 
dents, instead of adding to their future financial burdens while aff"ording tem- 
porary employment. 

1. A Conservation works program to build small erosion-control structures, 
terraces, farm ponds, etc., should accompany better land use practices by the 
farmers themselves. Establishment of a coimty Soil Conservation district will 
open the way for official sponsorship of Work Projects Administration projects 
to perform much of this needed work. 

2. Public water supplies should be provided for a few communities whose 
economic prosjjects warrant the corresponding indebtedness. Moulton (with a 
present supply only for fire protection), Mystic (whose star is fading but whose 
capital investment justified protection) and Moravia (whose wide lots pose a 
special assessment problem but whose property values and stable population 
warrant such construction) should be considered for water supply systems in a 
future public works program. 

3. Road and school construction should be undertaken only if in accord with 
the county plan for future development and the probable pattern of population 

4. Additional public improvements in the towns should be constructed only 
after critical consideration of future population and income prospects. Projects 
requiring considerable maintenance at public expense should be especially avoided. 




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I. C'hauacteuistics of ICmI'LOYMENT 

Hartoii Arch nrcji of central Kansas is an oil producinp; region but i)redoniinantly 
an agricultural region. There is a small amount of salt mining and flour milling. 
The population in 1935 was 157,131. Total employment is 33,380, divided 50 
percent on farms and 50 percent in towns. The towns arc principally service, 
sui)ply, transjjortation, and county seat centers. 

Most of tiie oil workers are from outside areas and temporary in area. It is 
diflieult to determine number of oil workers as they are rei)orte(i from town and 
country. The suj^jjly and refining centers are in towns and most of drilling and 
oil production on farms. Approximately 15 jiercent of the workers arc engaged 
in oil work, 3 jiercent in salt industry, 1 i)crcent in flour milling, and 81 jiercent 
in agriculture and service, supply, transportation, etc., principally for agriculture. 

Over $40,000,000 have been paid in bonuses, rentals, and royalties to land and 
royalty owners in the Oil Belt during the past 11 years. All th s money did not 
go to the farmer because much of the royalty is now owned by investors living 
outside the area. To determine how much would require detailed study. 

Towns in oil area received much su])p(jrt by service to oil industry. A large 
number of residents of the area have directly benefited by oil industry, although 
local jiopulat'on obtained very little employment work, in oil industry. Public 
assistance is about two-thirds average for the State. In 1939 about 11 percent 
of the population of the area was dependent on public assistance. 

The central Kansas oil area is located in the middle of a strip from North 
Dakota to central Texas that lost population between 1930 and 1940, yet this 
area gained. Population went from 147,500 in 1930 to 162,500 in 1940, an in- 
crease of about 15 000 persons, which is a 10 jiercent growth over the 1930 figure. 
The increase was undoubtedly due to oil development. 

As petroleum development work ncars completion most of the oil workers w'ill 
'eave the area. This may be within the next 5 or 10 years. Within the next 5 
j'ears a very marked decline in oil workers should be apparent. The area will 
again become predominantly an agricultural region. 

Aside from national and international factors of market and jirices, all agri- 
cultural and related employment and income is drastically and directly affected 
by alternate ])criods of adequate precipitation and drought. A heavy emphasis 
on cash grain crop, particularly wheat, has resulted in an unstable economy for 
the area. 

Development of marketing cooperatives indicates cooperative attitude of the 
people in the area; also shown by willingness of majorities in some of the counties 
to cooperate with Agricultural Adjustment Administration, soil erosion, and 
forestry programs. 

II. Factors Affecting Employment and Income Stability 

BASIC natural resources 

The land is the most important basic natural resource. Land types range 
from good bottom land, some of which can be irrigated, to rough and hilly up- 
lands with steep rocky slopes. Some of the land is pvit to its best use, but most 
of it is not. The land has high productivity during years of sufficient rainfall. 
In general, the use of fertilizer has not increased the productivity sufficiently to 
warrant its use. Rainfall averages 26 inches a year in the southeastern part of 
the area and 22 inches in the northwestern part of the area, but fluctuates widely 
from year to year and within the year. Crops are usually good during years of 
high precipitation and poor during years of low precipitation. Grasshop])ers and 
rust also operate against crop successes. There is a large supply of salt in the 
area at depths shallow enough to be mined economically. It is being taken out 
slowly and will last a long time; estimated at several thousand years at present 
rate of production. Eni])loyment does not fluctuate much. About 3 percent of 
the i)opulation is supported by this industry. 

Petroleum reserves in the area are estimated at about 600,000,000 barrels; 
possibly 300,000,000 more may be discovered. Production should continue at a 
declining rate for about 20 years, most of the oil being produced in the next 10. 
Even though most of the oil workers will have left the area within the next 5 
years the })avments to rovaltv owners will continue as long as oil is produced. 
An estimated $115,000,000 will be paid to royalty owners during the life of the 
oil production, a large i)aTt of it going to residents in the area. This income will 


have a marked effect on the economy of the area. The money is Ix'lng paid to 
the owners because they fortunately hap])encd to own some land that i)roduced 
"oil. Farmers may refuse to recognize the importance of a stable agricultural 
economy while oil is paying them an income without having to do any work for it. 


Tax and Federal bank loan delinquencies are not serious. Income to farmers 
from oil has operated to relieve seriousness of bad years from 1930 on. This 
helped many farmers to weather the period fairly well even though the value of 
agricultural production fell — in bad years to as little as one-sixth that of good 
years. Those farmers not aided bj^ oil suffered as severely as farmers in other 

Wheat production declined during the drought years but production is rapidly 
rising again. This year, 1941, a bumper wheat crop is expected. This may tend 
to lessen the efforts on the part of the farmers for reorganization. The farmers 
have demonstrated their ability and willingness to cooperate. 

Employment in salt and flour milling industries has been small but fairly 

The oil industry will be stimulated by recent increased demands for petroleum 
which should tend to retard emigration of oil workers for a year or two. Royalty 
payments for a time should increase. This will not affect the ultimate return from 
oil, mainlv affects rate of return. 


Current problems are largely internal; land planning and farm planning. 
Average size of farms large enough to make good working units. Most farm 
units are not balanced; too much wheat on most farms and not enough pasture. 
Not enough livestock, not enough gardening. Too little attention given to wind 
and water erosion. Tenant operation too high. 

Harvest labor peak, sore spot in employment stabilization. Recovery of 
petroleum should be by most economic means to the Nation and to producers. 

Proper disposal of salt water produced with the oil, so that it does not pollute 
ground waters or contaminate oil-producing horizons. 

Petroleum industry will have largely run its course in the next 5 or 10 years. 
Area will then revert back to its original state of being almost entirely an agri- 
cultural area. As oil resources are depleted land values should decline as part of 
the land value on farm land in the Oil Belt is based on petroleum reserves. 

III. Direction of Readjustments 

Emphasis should be placed on proper utilization of land; soil conservation 
against the forces of wind and water, crop diversification and crop rotation; proper 
care of land to protect moisture such as contour plowing, terracing, strip cropping, 
cloddy plowing, use of basin lister and chisel. Ground waters should be protected 
against salt water pollution in oil fields, ponds and storage reservoirs should be 
built. Control of grazing — prevention or overgrazing. Planting of shelterbelts 
and windbreaks, afforestation and reforestation. 

The area should ultimately be composed of well balanced, self-supporting farm 
units. Crop diversification should markedly reduce harvest labor peak. 

IV. Recommendations 
over-all recommendations 

Help families to become self-supporting through reorganization of farm operating 
units, making suitable sizes w^here necessary, but in nearly all cases placing them 
under systems of use adapted to the climate and the soil. Create a State agency 
to manage, lease, and dispose of tax-reverted and other State lands to efi'ect 
adjustments desired in size and types of farms. 

Create some financing agency to aid farmer in securing the funds to buy the 
machinery, put up buildings, and acquire additional land where necessary to effect 
reorganization. Create more soil-conservation districts under the State law. 
These districts, in addition to having authority to carry on soil-conservation work, 
can work out land plan and farm-management plan for individual farm units — 
this work being done with cooperation of Agricultural Adjustment Administration, 
State colleges, experiment stations, and other such agencies now^ engaged in 
agricultural studies. 


Create State enabling acts to insure that adjustments effected are not undone by 
a temporary return of good prowinu weather and good prices for cash crops. 

Kit her Federal or State agency or both should conduct research into study of 
petroleum reserves to determine how to obtain greatest amount of recovery and 
by most economical means. Troblcms of saU-watiT jiolhition by poorly plugged 
wells and salt-water-disposal methods .should be studied with aim toward correction. 

Create authorities for tlood-control projects to prevent much of damage to 
crops, roads, bridges, and towns in tlood-plain areas. 


Pviblic works can accelerate general program of readjustment. 

1. Develop water resources fully and in ways to encourage shifts to suitable 
tvpes of agriculture. Provide for construction of small individual and medium- 
sized irrigation projects in the Arkansas River Valley. 

2. Inaugurate a rural works program of conservation to provide needy farmers 
with a source of income while transition to stable agriculture is going forward. 
Such a program should include terracing, fencing, regrassing, planting of shelter- 
belts and windbreaks, erection of stock tanks, reservoirs, flood-control projects, 
etc.. road construction, particularly on second- and third-class roads; grading, 
some surfacing and building of bridges so that they may not wash out during 
flood stages. 

3. Establish research agencies to gather hydrologic data, study oil and gas 
resources, and study sociological and psychological problems of the agriculturalists. 

4. With decline of oil development many of the rural towns in the Oil Belt will 
undoubtedly decrease in population. Studies should be conducted with regard to 
distribution of public works so that they may be properly applied to population 
that will be more or less permanently affected by reorganization. Studies should 
also be conducted to determine effects of the immigration and emigration of the 
oil workers on farm and rural population, and town and public services. 

Exhibit B. — Problems in Area Adjacent to Camp Crowdeb 
report prepared by direction of gov. forrest c. donnell, state of missouri' 

I. Introduction 

(a) descriptive 

Camp Crowder, new Army replacement center is located immediately south 
and southeast of the city of Neosho, embracing a total of approximately 66.500 
acres in the southern portion of Newtou County and northern portion of Mc- 
Donald County. The cantonment proper consisting of the administrative 
buildings, barracks and accessory buildings, is now under construction in the 
northwestern section of the reservation about 2 miles south of Neosho. Present 
plans provide for about 16,000 soldiers but it is understood that later extensions 
may be constructed to increase the total to approximately 35,000. Many factors 
combine to make the site selected for the camp a very superior one showing 
evidence of careful consideration of all essentials required in such an establishment. 


The topography of the northw-estern section on which the cantonment proper 
is being constructed is comparatively level consisting mainly of prairie. The 
southern, southeastern, and eastern sections are mainly rugged in character with 
numerous streams and side hill slopes in excess of 10 to 15 percent in many cases. 
The prairie areas are mainly open land, the rugged and side hill areas mainly in 
woodlands. The area varies from about 1,000 feet to 1,300 feet above sea level. 

' Contributions to this report were made for the various divisions of the State government by the follow- 
ing persons: St;ite Board of Health, Dr. James Stewart. State Health Commissioner, and W. Scott Johnson, 
Chief Public Health Engineer: State Highway Department. Carl Brown. Chief Engineer; State Depart- 
ment of Educ-ation, I.loyd King. State Superintendent, and Dr. N. E. Viles, Director of School Building 
Service: Agricultural Extension Service, J. W. Burch, Director; State Highway Patrol, Captain W. J. 
Ramsey, .\.cting Superintendent: Public Service Commission, Fred Stuecfc, Commissioner; Missouri 
State Employment Service, Will S. Denham, Director: Social Security Commission, and Parke M. Banta, 
Administrator; supplemented, edited, and condensed by State Planning Board, William Anderson.direo- 
tor, in collaboration with the National Resources Planning Board, John Noyes, consultant. 




Many towns and cities are within 30 to 40 minutes drive of the camp by auto- 
mobile. Nearby communities are Neosho (population 5,318), approximately 
2 miles; Joplin (population 37,144), approximately 20 miles; Webb City (popula- 
tion 7,035), approximately 25 miles; Carthage (population 10,585), approxi- 
mately 23 miles; Granby (population about 1,500), approximately 11 miles; 
Seneca (population 1,091), approximately 16 miles; Goodman (population 321), 
approximately 6 miles; Anderson (population 900), approximately 13 miles; 
Monett (population 4,395), approximately 28 miles. 

The possibilities of ample labor supply for camp construction are excellent. 
Three railroads, five truck lines, and three bus lines serve the area. Two major 
United States highways, a major State route and several minor highways pass 
through or adjoin the camp reservation. Adequate supply of electric power, 
natural gas, and other similar facilities are available. Opportunities for recrea- 
tional activities are excellent. 

(D) Financial data of municipalities in area 




Bonded indebtedness 





$1, 788, 130 




412, 200 




125, 000 


85, 000 

20, 960, 605 


. 2, 305, 470 

349, 790 

297, 680 

232, 105 

172, 290 


15, 550 






30, 500 


48, 000 

17, 000 













310, 000 

122, 000 

Webb City 


12, 500 




II. Existing Conditions in Area 

(A) industry and labor 
(1) Industries. 

Industries in the area have been mainly agricultural and the income has been 
derived almost entirely from agricultural and allied pursuits. Manufacturing of 
food products, food containers, farm machinery, garments, and other articles are 
important activities of Neosho. Mining is an important enterprise in certain 
portions of the area, Joplin being an important industrial center for the vast tri- 
State lead- and zinc-mining territory. Principal agricultural activities have been 
dairying and the raising of sheep, hogs, beef cattle, strawberries, apples, and other 
fruits, together with some wheat, hay, and feed. 

Newton County as listed in a report of January 1941 had 4,225 farms averaging 
92.7 acres in size, of which 47 acres was cropland. Land-tenancy records indicated 
an increase of from 31.5 percent in 1920 to 40.2 percent in 1935, and records for 
1940 show a slight increase above the 1935 figure. The 1939 census lists 7,300 
horses and mules, 30,420 cattle, of which 17,890 are milk cows, 3,730 sheep, 
13,800 hogs, and 142,620 chickens. Income per farm gave the operator and family 
a fair standard of living, carrying with very few foreclosures, a 35 percent mortgage 
indebtedness of land value. 

Communities in the general area have been reasonably prosperous with con- 
servative increase in population. Adjacent mining areas, Granby among them, 
have been subject to slumps in activity in the past. Neosho increased in popula- 
tion from about 4,800 in 1930 to 5,318 in 1940. Its industries were expanding 
before the establishment of Camp Crowder. The Pet Milk Co., Carnation Milk 
Co., Fred Kline Plow Factory, Price Box & Basket Co., the Cudahy Packing 


Co., Smith lirothers Garment Factory, Neosho Nur.'^rry Co., and (jtlicr industrie.s^ 
last v<'ar employed approximately 800 persons with a yearly pay roll of about 

(2) Labor. 

Within a radius of af)proximately (\r^ miles of the camp, and embraeiiifj parts 
of Missouri,, Oklahoma, anfl Arkansas, there is a population of well oyer 
a half million people. Approximately fine-half of this number is in Missouri and 
within the radius there are some 20 cities with more than 1,000 population and 
oy(>r 1 10,000 persons in rural communities of less than 100 poi)ulation. Pre.sent ions point to a sufTicient labor sujjply in most of the trades for camp con- 
struction although other projects at Fort Smith, Ark., Muskopee, Tex- 
arkana, and Chouteau, Okla., and in Parsons and Baxter Springs, Kans., may 
draw on the supply materially. 


(/) Railroad, truck line, and bus facilities. 

Main lines of three railroads .serye the area. The San Francisco & St. Louis 
Railroad, the Missouri & Arkansas, and the Kansas City Southern all pass 
through Xeosho immediately north of the cantonnu^nt area. The Kansas City 
Southern passes through the northwest section of the camp. Fiye truck and 
three bus lines serve Neosho and adjoining areas. 

(2) Highwarjs. 

United States Highway 71 from the Arkansas State line to Joplin and beyond, 
adjoins the west portion of Camp Crowder. Alternate United States Highway 
71 cniinects Neosho with Ca.rthage. U S CO connects Neosho with Seneca and 
the Okl.ihoma State line on the west and Granby and Monett on the east. State 
Route S(> connects Neosho with Fa.irview and Cassville on the east. Route A4 
in McDonald County connects Anderson and Cassyille. Routes D and H 
connecting Stella with Neo.sho and Granby, respectively, pass through the camp 


(/) Electric supply. 

Ample electric supply for local requirements has been available, generated in 
the steam plant of the Empire District Electric Co., located in Riverton, Kans., 
and the hydroelectric plant located at Ozark Beach on the White River near 
Forsyth, Mo. These two generating plants are interconnected by transmission 
lines carrying energy at 132,000 and 66,000 volts. They are supplemented with 
two additional smaller hydro plants. A 33,000-yolt transmission line extends 
through Neosho. Total production capacity of companies in southwest Missouri 
connected to the Empire svstem is approximately 132,575 kilowatts. Total 
peak load for the year 1940 for the combined system was 70,990 kilowatts. 

(2) Natural gas. 

Natural gas is the general fuel used for heating in Neosho. A 4-inch line now 
serves Neosho, supplied from a 10-inch line extending from Kansas through 
Aurora to Springfield. The gas system in Neosho is owned by the Cities Service 
Gas Co. 

(S) Telegraph and telephone. 

Telegraph and telephone service to the Neosho area has been ample for local 
needs up to commencement of camp construction. 

(4) Water supply. 

Nineteen municipalities within a radius of 25 miles of Camp Crowder are served 
by public water supplies. With the exception of Joplin, which uses Shoal Creek 
for supply, all of these municipalities use drilled wells. Private water supplies 
in the area consist primarily of drilled wells although cisterns, dug wells, and 
springs are also used to some extent. In most instances private water supplies 
are not properly protected to exclude contamination and therefore cannot be 
depended upon as sources of supply. 

Neosho has three deep wells ranging in depth from 1,000 to 1,250 feet. There 
is no emergency supply. The present .system is available to the entire popula- 
tion within the city limits. Bacteriological record is reported as unsatisfactory. 
Two springs which have furnished water for Neosho at intervals will be abandoned 
since they are located in the area acquired for the camp reservation. 

The municipal supplies in the area are under constant supervision of the State 
board of health including regular inspections and bacteriological examinations, 


in order to maintain and assure water of safe quality. Private or semipublic 
supplies obviously cannot receive the desired regular supervision without addi- 
tional public health personnel. 

(.5) Sewage disposal. 

Eight municipalities within a 25-milo radius of Camp Crowder are provided 
witli municipal sewerage systems. These cities are Carterville, Carthage, Carl 
Junction, Joplin, Monett, Neosho, Sarcoxie, and Webb City. Of the above, the 
systems at Carthage and Monett are the only ones providing complete treatment. 
Primary treatment only is in effect in Joplin, Neosho, and Sarcoxie. The other 
cities do not provide treatment of the sewerage. 

The sewerage treatment of Neosho consists of primary settling, separate sludge 
digestion, and sludge-drying l)eds. Due to the inclusion of industrial wastes in 
the treatment, the efficiency of the plant is only about 45 percent. 

Individual privies and septic tanks constitute the only means of sewage disposal 
in other municipalities and in the rural areas. Such facilities in most instances 
are not properly constructed and constitute an odor nuisance as well as a menace 
to health. 

(6') Garbage and refuse disposal. 

Joplin is the only municipality in the area that exercises control over the collec- 
tion and disposal of garbage and refuse. The other municipalities have no organ- 
ized method of collection and disposal- 


Vacancies reported early in 1940 for Joplin, Carthage, and other adjacent 
communities are now practically all occupied and there has been a definite firming 
of rents m those areas. Granby has had a number of housing vacancies mostly 
substandard in character. The more desirable homes in this locality are now 
becoming occupied because of the renewal of minmg activities. Other commun- 
ities closely adjacent to the camp, such as Seneca, Goodman, and Anderson have 
had very few vacancies and practically all of these of suitable character are now 

Neosho which increased in population approximately 18)4 percent from 1930 to 
1940 and which has absorbed an average of some 30 to 40 new homes per year for 
the past several years is now fully occupied. Many single-family homes now 
house two or more families and many homes are taking in roomers and boarders 
due to construction activities at the camp. 

Several tourist-camp cottages have been rented for the duration of the construc- 
tion period and several trailer camps have been established in the area. 


The general area has several first-class high schools, one third-class high school 
district, and a number of rural districts. This area is densely populated and a 
number of the rural schools have two rooms each. Most of the rural schools and 
many of the buildings in the high-school districts were crowded prior to the estab- 
lishment of the camp. This was particularly true in Carthage, Joplin, Neosho, 
Seneca, and Anderson. Some of the rural school districts have been or will be 
absorbed into the camp area. In all except one or two districts teachers have 
been employed and it is expected that school work wiU continue until about 
January 1, 1942. 


Hospital facilities are available in the following communities: Joplin (218 
beds); Carthage (59 beds); Webb City (25 beds); Neosho (37 beds); Stella (35 
beds) ; Anderson (3 beds) ; Cassville (12 beds) ; Aurora (21 beds) ; Wheaton (8 beds). 
With few exceptions all of the hospitals in the area are under private ownership. 
In addition to the above the Jasper County Tuberculosis Sanitarium, a public 
institution containing 115 beds, is located at Webb City. 

Jasper County is the only one in the area that is provided with a county health 
department. This consists of a health officer, two part-time assistants, one 
public health engineer, three public health nurses, and two clerks. 

The city of Joplin maintains a city health department consisting of a part-time 
health officer, three sanitary inspectors, one laboratory technician, and one clerk. 

The State board of health's district office serving this area, exclusive of Jasper 
County, is located at Monett, the staff consisting of a health officer, 2 public 
health engineers, and 3 nurses. Since the district covered includes 13 counties, 
health service for any one county must necessarily be limited. 

3312 ^'' •'<"I^ IIKAKINCJS 

Most, of the counties and larp;e imiiiicipnillies are y)rovi(led with ])art-tiuie 
health oHieers. liecause of the; limits on their time, but little imhlic health work 
can be expected from them. 


Xo unusual problems were encountered in connection with old-a«e assistance 
and aid to dei)endent children programs in the Neosho area prior to establishment 
of the camp. The numbers of recipients were not out of proportion to those 
receiving aid in other counties in that j>art of the State. Excei)t for the mining 
area near Granby, the general relief problem has been mostly that of the sub- 
sistence farnter, th<> farm laborer, anrl the unemployed and unemployable persons 
in towns. Farn^ers and emi)loyal)le persons have received aid or work through 
the Federal Security .\gency or Work Projects Administration. Those not 
assisted by these programs or unable to work have been assisted through the 
general relief and surjilus con^modity program. Of 70 families receiving general 
relief in September 1941 only 8 had a member of the family able to work. Grants 
have been sn\all and aid has been mainly in the form of food and clothing. Present 
number of cases receiving recent assistance in Newton County under the public 
assistance division of the State social security commission and the amounts 
expended follows: 







1, 189 





12, 696. 90 

4, 458. 90 

2 5, 772. 34 

September 1941. 

Old-flffp nssistancp 

Do. ' 





23, 412. 84 

> Children. 

' This amount includes $I,].'i0.12 for food to schools and institutions and .$4,622.22 for food and clothins: to 

The county court also provides $1,500 a year for emergency assistance, and 
$5,000 yearly for medical care. 

A child welfare worker has been engaged in supervision of problems in Newton 
County since 1936. At present, 48 families containing 89 children are receiving 

Two private agencies, the Local Charities and the Neosho Charity Association 
have rendered assistance on emergency cases in the past. Their funds are limited 
and they can only take care of a small number of cases. 

(h) recreation 

Numerous facilities for amu.sement and recreation exist in the larger com- 
munities of Joplin and Carthage. Neosho has a new municipal auditorium with 
a seating capacity of 1,212. This building is used for dances, meetings, social 
gatherings, amateur theatricals, and similar activities. A State armory in Neosho 
is available for dances with a capacity of 400 couples, and the high school gym- 
nasium may be used for indoor softbali, basketball, and dances, when not in for 
school purposes. 

There are two moving picture theaters in Neosho and a third is being con- 
structed, all under the same ownership and on the main square around the county 

Although there are numerous large privately owned open areas in the city and 
county where children could probably play, if they wished, there is a scarcity of 
publicly owned park and play areas. Neosho has one park of approximately 3 
acres opposite the Big Spring Inn, which contains some playground equipment 
and a wading pool for small children. Most of this area is for passive recreation 
only. School grounds, in area, are generally below recommended minimums. 
Neosho has a high school stadium which, however, is a considerable distance from 
the high school. The community also possesses a private nine-hole golf course. 

Good fishing and hunting opportunities in season abound in the general area 
particularly in the more rugged areas of Newton County and in McDonald County. 
Many areas adjacent to streams offer excellent camp sites. Swimming and 
canoeing are popular sports especially along the river at Noel and other similar 



In Newton Count}', Neosho supports the only librarj'. For its population of 
5,318, there has been available $1,561.25 for library service. The 23,621 remaining 
citizens of Newton County have no library service. 

McDonald County has no library service and no expenditure has been made for 
library service. 

The combined counties of Newton, McDonald and Jasper are serving a popula- 
tion of 60,080 with an expenditure of $21,855.58 and leave 86,924 persons unserved. 

The combined counties of Newton, McDonald, Jasper, and Lawrence are 
serving a population of 68,413 with an expenditure of $23,961.57 and leave 103,188 
persons unserved. 

The combined counties of Newton, McDonald, Jasper, Lawrence, and Barry 
are serving a population of 73,022 with an expenditure of $24,374.98 and leave 
132,343 persons unserved. 

Although the combined libraries in these areas show a collection of 111,952 
volumes, the expenditures of only $25,374.98 including all costs of running the 
libraries argues against substantial Ijook collection. 


Complete data on law enforcement staffs for Newton and McDonald Counties 
has not yet been secured. It is reported, however, that prior to establishment of 
the camp effective control has been administered. Neosho's police force up 
until a few months ago, consisted of a chief and three men, two patrolmen serving 
at night and one by day. Recently, two additional patrolmen have been appointed 
and a patrol car placed in use. 

Traffic control, formerly a very minor problem, has lately become quite serious 
in the business section of Neosho and on the main highways. No fire protection 
apparatus exists except in the larger communities. Neosho has 1 fire truck with 
a supply of about 750 gallons , purchased in 1923. It has 1,100 feet of hose in 
good condition, having been reconditioned in 1939. The force consists of 12 
members, 1 full-time man on the fire truck, and volunteers paid for each trip. 


No airport at present, exists near the camp although there is an emergency 
landing field on US 60 only a short distance west of the cantonment area. 

III. Problems, Present or Anticipated, in Area and Facilities for Solving 


(A) industry and labor 
(1) Industry. 

Principal activitj' of the area around Neosho until completion will be the con- 
struction of the camp. Shipment of materials will crowd existing facilities for the 
next few months. Local industries will suffer some inconveniences for this period 
and require adjustments to meet new^ demands. Retail trade in Neosho and 
nearb}^ communities will suffer some loss from farmers moving from the locality 
but will no doubt benefit considerably during the construction period and in fact 
during the entire occupation of the camp, with the inevitable increase in population. 

Local industries engaged in canning milk will probably experience a consider- 
able loss in supply. Manufacture of containers for fruit and other products will 
experience a loss in demand. 

Increased need for vegetables and farm produce will require revisions in farm 
operations and crop production. 

{2) Labor. 

Labor demands during the period of the camp construction including turn-over 
are estimated to require over 30,000 construction and clerical workers to complete 
the present program by January 15, 1942. Principal requirements anticipated 
are 10,000 laborers, 7,500 carpenters, 2,500 truck drivers, 1,000 electricians, 600 
painters, 500 bulldozer and tractor operators, 500 crane-derrick and trenching- 
machine operators, and 500 watchman. Though peak employment of approxi- 
mately 12,000 was originally anticipated, at the present time approximately 
14,000 are employed on the project. 

During the camp construction period especially, private industry, retail busi- 
ness, and farmers will doubtless have difficulties in obtaining labor at wage scales 
they can afford. With the construction workers have come the unions and a 
much higher wage scale than formerly existed in the area. 




(/) Rnilnuid, truck line, and hiis fncilities. 

l^ailroad, truck liiu', and bus facilities ai)pcar to have been readily expansible 
and to have kept up with the construction ])ronrani to date. Their ample facilities 
indicate that there will be no difliculty in solviiif!; any |)roblem.s that come up 
during camp occupation. 

{£) Highways. 

Traffic on State and 'Federal liiKlnvuys has increased considerably since establish- 
nuMit of the canii). It will continue to be ^reat in the jx'riod of occupation. 
Many of the local roads in both counties and adjoining connnunities will receive 
increased use. 

Listed below is a comparison of the average traffic on certain highways adjacent 
to Neosho for August 1940 and August 1941 and for a 24-hour average day. 

Route 60 just east of Neosho 

Route 71 south of route 60 at Neosho limits 
Route 71 between Anderson and Goodman 

Route 60 west of Oranby 

Route 71 south of McEUiany-- 

August average, 
week and day 




2. 980 

Percent of 
over 1940 


Portions of routes D and H within the camp area will be closed to puV^lic use as 
well as many minor county highways. Some communities, particularly Stella, 
and many farmsteads outside of the reservation find themselves cut off from 
former direct lines of travel. Many types of pavement adequate prior to camp 
establishment are becoming inadequate with increased use. 


{1) Electric supply. 

The resources and available electric supply of the Empire District Electric Co. 
and its interconnections with generating plants of other companies, appear to 
promise ample supply for all future demands of Camp Crowder and adjacent areas. 
The problem apparently giving most concern to representatives of the Empire Co. 
is sufficient notice of the quantity of power that will be required for the camp, and 
the time of delivery. It may be necessary to enlarge the transmission line capacitj' 
to Joplin-Springfield circuit. This can be done rapidly if material can be secured 
and sufficient time allowed for construction. Should much expansion V^e necessary. 
Federal aid in the granting of priorities and purchase of equipment may be 

(2) Natural gas. 

No considerable problem is anticipated .so far as supply of natural gas is con- 
cerned. From present indications there is a sufficient suppl.y of natural gas avail- 
able in the .Joplin and Neosho areas to satisfy increased demands. A larger 
extension than the existing 4-inch line can be extended south from the existing 
10-inch gas line between Kansas and Springfield, if required. 

The Shell Pipe Line Co. and the Ajax Pipe Line Co. have oil pipe line extending. 
through tlie area near Neosho. 

(S) Telegraph and telephone service. 

Notice from the Federal Communications Commii3sion indicates that the Postal 
Telegraph Cable Co. and tlie Western finion Telegrai)h Co. are both making 
arrangements to extend service into the Neosho area, thereby taking care of the 
Government's needs. 

It is understood that the Southwestern Bell Telephone Co. has been making 
large invesunents for taking care of the Government's requirements. The com- 
pany is now preparing to install 2,500 additional telephone lines to be available 
for new subscribers in Joplin, Neosho, and Webb City. Eighteen hundred of 
these lines are for .Joplin, 500 for Neosho and 200 for Webb City. It is understood 
that the conii)any is well prepared to take care of any necessary increases in use. 


(4) Water supply. 

The inevitable increase in population in certain sections of the area will empha- 
size the need for protection of water supply. Inspections by the State board of 
health are being furnished to various conununities l)ut isolated private and semi- 
pul)lic supplies cannot he adecpiately safeguarded unless present i)ublic health 
staffs are increased. Any considerable increase in population will recpiire addi- 
tional sources of supply in many of the municipalities and an improvement in 
many cases in the facilities for water treatment. In most cases additional supply 
can best be secured by additional drilled wells. 

Water supply for the camp is being provided by damming Shoal Creek at a 
j)oint just north of Neosho city limits, raising the water level about Sleet. With 
approximately 400,000 square miles of drainage area ample supply should be 
available at all times. 

Neosho water supply which was scarcely adeciuate for the city's needs prior to 
camp construction will require considerable increase. Two possible sources are 
(1) by means of additional deep wells and (2) by use of impounded water from 
Shoal Creek. In connection with the latter source, the Armj- has granted per- 
mission to the city of Neosho to construct an intake tower within the impounded 
area for water supply. Plans prepared by the consulting engineer for the Neosho 
City Council are based on the use of this source of supply and include several 
miles of additional water line extensions, a pump at Shoal Creek, and a purifica- 
tion plant north of the. city. The total estimated cost of this improvement as 
planned amounts to $324,208.10. It is stated that the extensions and improve- 
ments as planned would provide adequate water supply for a total population of 
approximately 15,000 people. A thorough investigation should be made of the 
first mentioned possible source of supply, namely, that from additional drilled 
wells, before the city is committed to the use of the Army source at Shoal Creek, 
and the considerable expense of new pipe installations and treatment plant. 
One difficulty of a decision as to the type of source for additional water supply is 
the lack of knowledge as to probable expansion of Neosho due to the establishment 
of the camp. Should Neosho double or triple its present population, it is ques- 
tionable whether adequate water supply could be obtained from additional deep 
wells and it would seem that Shoal Creek as a source would be the logical solution. 
Should Neosho's increase only amount to a few thousand in population, additional 
deep wells would probably supply the anticipated needs. 

Isolated housing developments which may spring up in rural areas will doubtless 
be forced to drill wells for their su[)ply. Control of such developments by the 
State board of health is urgent. 

{5) Sewage disposal. 

Problems of adequate sew'age disposal confront all of the communities in the 
area. An increase in population will emphasize these problems. The Joplin 
treatment plant has been greatly overloaded for some time and requires replace- 
ment. The system in Neosho will require sewer extensions and additional treat- 
ment plant facilities. The consulting engineer for Neosho has made recommenda- 
tions for extension and improvement of the disposal facilities and extension of 
approximately 43,000 lineal feet of sewer lines. As planned, the new" disposal 
system will include both primary and secondary treatment. The design as sub- 
mitted is a flexible one which would permit of future extensions in the event that 
an unpredictable increase in population occurs. As now planned the system 
w^ould provide disposal facilities and main sewer lines for a total population of 
approximately 12,000 at an estimated cost for the extensions of $263,000. 

Even with present populations, sewer extensions and additional treatment 
plants are essential in many of the other communities in the area. A considerable 
increase in population in any of these communities will increase the urgency of 
these improvements. 

(6) Garbage and refuse disposal. 

Necessity for safeguarding health throughout the area makes desirable the 
control of all methods for collection and disposal of garbage and refuse, particu- 
larly in the more closely built up commvmities. AVhether collections are made 
by "the city or by private individuals licensed by the city, control of collections 
and disposal should be in the hands of public officers and according to methods 
approved by the State board of health. Neosho is now considering possible 
future construction of an incinerator for garbage and resfuse disposal. 

gglg ST. LOl'IS HKAI{IN(;S 


Problems in housing will doubtless become among the most serious confronting 
the area. 

(i) Housing construction workers and families. 

Many construction workers engaged at the camp from out of town localities 
have left their families at home. Many of those who have brought families have 
found accommodations of more or less satisfactory types in existing homes at 
Neosho and other nearby communities, in tourist cabins and several trailer 
camps that have sprung up in Neosho and in rural areas adjoining, especially 
along Highway 71. Most of the new accommodations arc unsatisfactory in 
character and of temporary construction. Unless considerable expansion in the 
construction program takes place, the housing problem for construction employees 
will be of short duration. However a program which would involve additional 
construction at the camp for the next 2 or 3 years will make it necessary to pro- 
vide housing for most of the workers engaged, since with the more prolonged 
activity, they will want to bring their families to the area. 

{2) Housing for new permanent residents. 

With the inevitable increase in population following the establishment of 
Army camps, such as for families of Army officers, civilian employees^ and addi- 
tional employees of retail and business firms brought into the area as a result of 
the camp activity, considerable additional housing may be required. It is 
difficult to estimate with any degree of accuracy at this time the probable in- 
crease in population and the locations of residence sites. Estimates of previous 
influx of population in similar areas have varied from 50 to 137 percent of the 
soldier population of the camp. The November 15 issue of the local newspaper 
at Neosho contained a statement by the Camp Crowder Commandant that 
there will be a need for 725 homes for families of officers and noncommissioned 
oflScers by January or February 1942. 

Since there are practically no vacancies in Neosho and adjoining communi- 
ties housing for the new population will have to be provided by some means. 
The three methods most applicable would he: (a) Housing by private enterprise 
with perhaps Federal Housing Administration guaranteed loans, (b) permanent 
housing by Government financing, and (c) temporary housing by Government 
financing. Probably but a limited amount of housing may be expected by the 
first method. The Federal Housing Administration office at Kansas City has 
stated that loans for about 500 new homes could be insured by the Federal 
Housing Administration in the entire defense area, which includes Joplin, Carth- 
age, and Webb City as well as Neosho, and that the bulk of those insured would 
have to be located at Carthage and Joplin. 

(S) Housing evacuated families. 

Within the Newton County portion of the 66,500 acres selected for Camp 
Crowder there have been, or will be, approximately 547 farm families consisting 
of some 1,717 individuals, removed from the area. While probably the greater 
proportion of these evacuated families will locate on other farms if they can be 
secured, some of them may prefer to live in the various communities, or in new 
housing developments which may be constructed. 


Increased pupil population in general area, removal of pupils from certain 
areas to new location, abandonment of elementary schools within the area, loss 
of district property, loss of assessed valuation in districts not wholly absorbed, 
outstanding debt obligations, and increased enrollments in various school districts 
create many problems difficult of solution. 

(1) Loss of school property and territory. 

Five rural school districts in Newton County and three in McDonald County 
are wholly absorbed in the camp reservation. Three in Newton County and 
three in ]\IcDonald County are partially absorbed. Existing laws indefinite on 
disposition of property or funds on hand in rural (three-director) districts ab- 
sorbed by camp. Slany of those partiallj- absorbed may need additional school 

The following high school districts will also lose some nonresident or tuition 
pupils now living in the camp area: Neosho, Stella, and Goodman. It is quite 
likely that Neosho and Goodman will receive an increased enrollment, however, 
from new residents. 


(;?) Loss of assessed valuation and debt loads. 

Some districts only partially absorbed will lose a considerable part of their 
assessed valuation and tax income. This is more serious in districts having 
a bonded indebtedness. The district of Stella, bonded to the limit, will lose 
one-half to two-thirds of its assessed valuation. 

(S) Location of housing projects. 

If housing projects in the larger towns of Neosho, Joplin, and Carthage are 
located on separate and segregated tracts of land, new school plants may be 
needed. If located at points accessible to existing plants, facilities can in most 
cases be provided with additions to existing school buildings. 

(4) Increase in school popiilation. 

School enrollment will probably be closely related to housing projects which will, 
in turn, depend to some extent on the development of water and sanitary facilities, 
and on road conditions. Several of these communities have sewerage and water 
facilities. The contemplated improvement of the facilities in other communities 
will become factors in the probable school population. There seem to be indica- 
tions that Neosho and the surrounding territory may have the greatest enrollment 
increases as a result of this particular camp. Since these schools are now crowded, 
anv substantial increase in enrollment will make it necessary to provide additional 
buildings. These may be temporary or permanent, depending on the need in 
each particular area. "^ In most cases, added funds will be needed for school 
operating expenses for the current year and for the next school year. 

(f) health 

Increased population in the area wiU add considerably to the problems of safe- 
guarding health. All communities in the area should adopt the State board of 
health standard milk ordinance and the standard ordinance regulating eating 
and drinking establishments and should provide for proper enforcement of same. 
The public health and sanitation needs and requirements of the area demand the 
service of adequate trained public personnel to accomplish satisfactory results. 
Existing sanitation ordinances in the communities of this area are not satis- 
factorily enforced due to lack of personnel and additional ordinances and regula- 
tions will be of Uttle value unless trained personnel are provided to enforce them. 

Requirements indicate a shortage of 250 to 300 hospital beds before any defense 
activities were started. An increased population will considerably increase the 
desirable minimum. 

Public comfort stations are necessary in manj^ of the communities, especially 
in Neosho, and the need for them will be greater with the growth in population. 
Adequate control and servicing of such establishments for prevention of ep. demies 
is essential. 


Problems in social welfare and relief will undoubtedly become more acute. 
Transients to the area will probably increase, and some workers and families 
seeking emploj'ment and unable to find it, or stranded at the end of construction, 
will have to be returned to their legal residence. Additional members to the 
local social security office staffs will probably be necessary. The relocation of 
evacuated families has brought out many problems requiring solution. Many 
of the individuals, forced to move, are finding it impossible to obtain new housing 
accommodations at rates they can pay from allotments previously granted. 
Children's problems will become more acute, lack of proper housing causing 
unrest, and many cases of delinquency and truancy. Illness of wage earners or 
other members of the family bring requests for assistance. Because there are 
few able-bodied or skilled persons in relief families, the increase in employment 
has had little effect on the number of persons receiving a.ssistance, but because 
of increased cost of living, it has caused a lowering of standards of living. All 
these problems are likely to increase after termination of the construction period 
and in the period after the closing of the camp, though this may be many years 
in the future. 

To meet the problem of moving families in the area the same general plan is 
being followed that was used in relocating families iii the Fort Leonard Wood and 
Weldon Springs areas. This is a cooperative plan worked out between the land- 
use planning committee of the United States Department of Agriculture, Bureau 
of Agriculture and Economics, the Farm Security Administration, the county 
extension agent, and the State social security commission. Limited funds make 
many of the problems difficult to work out. Doubtless Government aid will he 
necessary to finance many of the solutions of the problem. 



Prol)U'iii> of rt'crcatioii iiiclu(K' those for residents of the general area, both in 
coiuniuiiities and in rural areas, and for soldiers wlien off tlie camp reservation. 
Play areas in the locality are few. Mr. .John Giiyer, Federal Coordinator of 
Service Oriiani/ations, and ('apt. J. H. Trout, Salvation Army representative of 
the United Service Organizations, have sjient several days in the region consider- 
iiig recreational problems and a citizens' advisory board has been formed in Neosho. 
Consideration is being given to the possible leasing or purchase of a four-.story 
brick building, owned by the Haas estate, within a block of the courthouse in 
Neosho for United Service Organizations head(juarters. Ojjportunities for .social 
contacts for soldier personnel of the camp sliould be included in any studies of the 
recreational i)roblem. 

Plans for solution of recreational problems cannot be made with any definiteness 
until the future camp jjopulation is known and until information as to future 
location and size of housing develo])ments is obtainable. Determination of these 
factors may not be complete lor several months. 

Neo.sho and other communities in the region need additional parks and play 
areas. Adequate provision for these features should be made in any housing or 
planning programs. 


Study of the data on library .service contained in division II reveals that facilities 
are much below desired minimums. Whether considered from the educational or 
recreational standpoint, increased and improved library facilities .should be pro- 
vided to satisfy normal civilian demands with further expansion to serve, the 
inevitable increases both for selectees in the camp and increased civilian population. 


Increased population in the areas will undoubtedly bring a decided increase in 
criminal activities. Police forces for both county and city will recpiire enlarge- 
ment. Greater traffic How on the highways will also increase the problem. The 
State highwav patrol has oppened an office at the closed Civilian Conservation 
Corps camp at the west edge of Neosho with Sergeant Kahler in charge. A total 
of 10 men will be on duty and service will be rendered for all 24 hours of the day. 
Radio broadcastinja; equipment is soon to be installed and telephone service is 
already in use. One patrolman has been assigned to do special duty with a 
safety car working in tlie area. 

Additional housing developments will of course require additional facilities 
for fire protection. The water supi)ly extension plan for Neosho has been re- 
ported as ample for anticipated incresacd fire protection needs. Quite likely if 
Neosho expands to any great extent additional fire apparatus and fire stations 
will be neces.sary. ^ ... . . 

Within the camp area in Newton County alone some 547 families, consisting 
of 1,717 individuals, have been or will be removed. families operated 
farm's averaging 80 acres in size. Approximately 2,431 dairy cattle were farmed 
in the area. There were 410 farm owners and 137 renters in the area. The 
number of families unable to move without financial assistance is 236. 
who have secured loans number 208. Figures for McDonald County are not yet 
available. The majority of farmers evacuated would prefer to return to farms 
though very few suitable farms in the State are for sale or rent. Most serious 
problems encountered are: (1) Finding a farm in desirable location and within 
price range, (2) funds to purchase farm and make move until he receives payment 
from the Government; (3) if a tenant, where to find a farm to rent and the funds 
to move, since he mav not receive any payments from the Government; (4) difli- 
culty of moving feed and livestock long distances with the present great demand 
for trucks; (.')) keei)ing high ])roducing livestock from going to markets; (G) for 
farmers desiring to stop farming, difficulty in selling livestock and machinery at 
fair prices because of low demand in area; (7) farmers desiring work from the 
camp project until completion with later expectation of returning to farm, and 
housing and maintaining his familv and livestock in the interim; (8) housing of 
older people in towns when able to pay their own way; (9) securing farm help at 
reasonable wages. 


Acquisition of the (id, 500 acres reservation by the Government, with it^s nu- 
merous homes and farms reduces consid(>rably the taxable personal and real 
estate propertv in both Newton and McDonald Counties. It is understood that 


the Government's plan of acquisition provides for payment of real-(>state taxes 
for botli 1941 and 1942. Newton County officials have stated that the loss in 
personal property taxes would probably more than be made up by increased taxes 
from merchants and new homes in the area. Although it is open to question, it 
is quite likely that increased land values in the region would justify higher assess- 
ments which would bring in additional taxes equal to or greater than the losses. 

IV. Recommendations 


Information as to the future of the camp and probable number of soldiers is 
incomplete. Quite likely the War Department has not made final decisions on 
these matters, and possibly these decisions cannot be made at this time. Plans 
for future extensions of existing facilities for housing and other requirements 
should probably be on a minimum basis for the present, yet sufficiently flexible 
to permit of expansion. Requirements likely to be most urgent for the next 
year or more include additional housing, together with necessarj^ community 
facilities: Schools, improved traffic facilities, adequate police and fire protection, 
provisions for safeguarding health and social welfare, and adequate recreational 
facilities. Careful planning is necessary to properly coordinate all of these 


(1) Increased population estiynates. 

Based on a population of 16,000 soldiers at the camp, and using a ratio of 50 
percent for probable increase in population, we may exi^ect a minimum increase 
in the area of 8,000 persons. At a rate of 3 persons to the family the minimum 
would amount to approximately 2,667 homes. Based on a population of 35,000 
soldiers at the camp and a ratio of 137 percent we would have a probable maxi- 
mum increased population in the area of 47,950 persons. Though it is difficult 
to believe that any such increase in population is likely to occur the necessity for 
a flexible plan becomes apparent. 

Since the demand for additional housing facilities will soon become urgent, it 
is recommended that steps be taken immediately tow'ard the completion of plans 
and specifications for from 300 to 600 housing units. It is recommended that a 
site be selected near Neosho and that all necessary preliminary arrangements be 
completed so that bids could be called for on short notice and construction work 
proceed very soon thereafter. Construction of additional housing projects 
could foUow as necessitated by future demands. 

(2) Locations for housing developments. 

Important considerations influencing selection of sites for housing projects are: 
(a) Convenience, (6) availability to utilities, (c) transportation facilities, (d) 
•schools, (e) recreational facilities. Factors combining most of the essentials and 
good economics indicate that most of the housing should be located in com- 
munities which now have most of the required facilities, such as Joplin, Carthage, 
Neosho, Seneca, Goodman, Granby, and Anderson. Probably Neosho will 
receive the great proportion of new housing developments. It offers many 
inducements. It is closest to the camp. It is an attractive and healthy com- 
munity. Its w^ater-supply sj^stem could be expanded to serve a population 
several times greater than its present population. Its proposed sewage-disposal 
system is to be located at a point where it could serve an area of over 12 square 
miles north of the camp, which would provide ample space for a total population 
of 30,000 or more without crowding. Excellent transportation facilities are 
available. Possible electric supply and natural gas supply is adequate. School 
plant facilities could probably be expanded as easily and as economicallv as at 
any other point. The topography, while hilly in manj- places, is suitable for 
development with proper planning. 

(3) Financing of hoiisirig developments. 

Three tj^pes of possible financing are (a) by private enterprise with private 
capital; (6) by private enterprise with Federal Housing Administration guaran- 
teed loans; (r) by one or more of the Government defense housing agencies. 

It is unlikely that any great amount of housing will be constructed under (a). 
The designation of the region as a defense area by the President, making possible 
the guaranteeing of loans by Federal Housing Administration under title IV will 
no doubt stimulate construction especially of single family, permanent homes by 
private enterprise. Present limitations imposed bj- Federal Housing Administra- 

8820 ^'^'- ^•<^>ii^ nKAiuN<js 

tion on the ontiiv (lefoiisc area call for insurance on a niaxiinuiu of 500 houses 
with probably not more than 100 of tlu'-si- for Isoosho. It is probable that the 
greater proportion of new homes will have to be provided directly by Govern- 
ment housing agencies. 

(4) Types of homes. 

Types of homes that are recommended are (a) single family permanent homes 
in communities, {b) single family permanent homes in rural areas (c) single family 
and row houses of temporary nature of the demountable types (d) temporary 
dormitories for unattached men. 

Neosho and most of the cities near the camp are essentially single-family com- 
munities. Permanent single-family homes in these places could be erected up 
to the limit of possible future absorption. 

Many single-family homes in rural areas on small subsistence farms of from 1 to 
5 acres could be permanently absorbed by the region. Mr. Ralph Tennis, Farm 
Security Administration supervisor in Newton County has been investigating 
this phase of the housing program. 

Temporary housing of the demountable types should be constructed on tracts 
removed from permanent housing jirojects, for families who will reside in the 
region only during the period of the emergency. Dormitories for unattached 
men could also be of demountale types for eventual removal. 

In Neosho several tracts adjoining existing water and sewage lines are immedi- 
ately available for development. Several sites have recently been optioned for 
home sites in the city limits or closely adjacent. One such tract with Federal 
Housing Administration insured homes jwill soon be under construction on Ceme- 
tery Road. Fifty-six homes on lots approximately CO by 135 feet are being 
planned. In addition there are a great many vacant lots interspersed in the 
residential sections to which water and sewage facilities are now available. 
Private enterprise should be urged to use these lots for new homes wherever 


Lack of definite information as to requirements of Camp Crowder make it 
difficult to anticipate needs. From information secured to date the following 
improvements are recommended. 

0) United States Highway 71. 

It is recommended that the cut-off west of Neosho due north of the intersection 
of U S 60 and U S 71 be constructed, as shown on the accompanying map between 
points A and B. It is also recommended that U S 71 be widened to four lanes 
from Neosho to Goodman, since this portion of the highway is receiving and will 
continue to receive the brunt of increased traffic. U S 71 from Neosho north is 
a high tj'pe portland cement concrete highwaj-. From Neosho south it is an inter- 
mediate type of bituminous road and increased traffic in this section will undoubt- 
edly make additional surfacing necessary, at least between Goodman and Neosho. 

{2) Alternate United States Highivay 71. 

It would be desirable to construct a bypass for this highway from U S 71, west 
and north of Neosho, if it is possible. Study should proceed immediately on the 
solution of this problem. The considerable increase in traffic on the narrow- 
section through the city makes this bypass desirable. Alternate U S 71 north of 
Neosho is a high type portland cement concrete highway. 

(5) State Route 86. 

This highway is gravel-surfaced. With the increased traffic, consideration 
should be given to installing a higher type of surfacing, or applications of dust 

U) State Route 44. 

This route connects Anderson and Stella. The read is probably adequate for 
present and future traffic, but the surfacing being of gravel, consideration should 
be given to applications of dust palliatives. 

(5) Routes D and H. 

Considerable portions of these roads are being removed from use, since they 
are located in the camp reservation. The portion of Route D south of Neosho 
to the camp boundaries will doubtless receive increased use since it is likel\- to be 
one of the access roads to the cantonment, and since housing developments will 
eventually be constructed in nearby areas. This road may require widening, 
and application of a higher type of surfacing would be desirable. 


(6) Other necessary road improvements. 

Immediate studies should be made for a direct connection east and north of 
Stella to Route 86. The town of Stella, because of the eventual abandonment of 
portions of Roads D and H, will be cut off from direct connection with Neosho, 
its principal trade center. This connection with Route 86 will offer the best 
substitute for present connections. 

Many local county roads serving farms adjoining the camp will require im- 
provements, and consideration should be given to additional arterial highways 
which will make these farms as easily accessible to main roads of travel as they 
were prior to establishment of the camp. Studies should be made for a peri- 
meter road aroimd Camp Crowdcr at the south and north and on the east by 
connecting with the proposed highway from Stella to Route 86. 


(/) Water supply. 

Until more definite knowledge is available as to anticipated population increases 
in the various communities of the area, definite recommendations as to increased 
water supply cannot be made. Joplin and adjoining communities are certain 
to receive considerable increases because of proximity to defense activities at 
Baxter Springs and Parsons, Kans., as well as from Camp Crowder. The principal 
need for Joplin is the reconstruction of the water treatment plant to meet modern 
requirements. Carthage and other communities adjoining the area, such as 
Anderson, Granby, Goodman, and Seneca, could doubtless obtain sufficient 
water to meet increased demands by drilling additional wells. Except for the 
necessary improvements for Joplin, decisions for all of the above-mentioned 
communities should be delayed until more is known about projected housing 
developments for these areas. 

At Neosho the problem of additional w-ater supply and improvements for 
present supply are likely to become acute very soon. The city council, from 
investigations bj' their consulting engineer, is convinced that the best method 
for furnishing additional supply is by the use of the impounded water of Shoal 
Creek, with construction of an intake tower and treatment plants. The State 
board of health feels that further investigation should be made of the possibilities 
of obtaining necessary additional supply be means of additional drilled wells. 
Whichever of these methods is the proper one to follow^ should be determined 
as soon as possible and funds obtained from local bond issues and by Govern- 
ment grants which would permit of immediate installation of the necessary im- 
provements. Since Neosho is quite likely to receive the greatest increase in 
population, plans for additions to the water supply system should be sufficiently 
flexible to take care of all possible future demands. 

{2) Sewage disposal system. 

Practically all of the communities in the area adjoining Camp Crowder need 
additional and improved sewage-disposal facilities. As previously stated many 
of these communities are entirely lacking in sewer systems and treatment plants, 
other have sewer systems without treatment plants, and very few have complete 
treatment plants. Communities which are most likely to receive increases in 
population, such as Joplin, Carthage, Granby, Seneca, Anderson, and Goodman, 
should plan immediately for necessary extensions and improvements. At 
Neosho, construction of the additional sewage-disposal plants should proceed 
immediately and also the extension of the necessary main sewer lines to serve 
the areas most likely to be used for housing developments. Improvement of 
service in the existing built-up sections, while doubtless important, is primarily 
the responsibility of the citj- itself. Flexibility of plan to provide for unforeseen 
but possible future maximum increase in population is essential. 

(3) Electric and natural-gas supply. 

Electric and natural-gas supply resources are reported as ample for all needs of 
the region, including Camp Crowder, although increase in capacity of supply 
lines may be necessary. The utility companies are prepared to make such 
installation, as soon as they have been instructed as to the needs of Camp Crowder, 
and probable locations of new housing developments. 


Definite recommendations for schools in the camp area cannot be made until 
the locations of additional housing developments are determined. If new hosuing 
units are provided within the present city limits or at the edges of the town of 
Neosho, and the other towns, the increased school population probably could be 

8822 ^''- •'<'i'^ iii:ai{i.\(;s 

cared for by makiiifi additions lo existing buildings. Now segregated housing 
developments might make it necessary to erect new school buildings. 

Lack of early dehnite information on the anticipated life of the camj) and the 
maximum camp population makes it essential to i)lan for the schools in the camp 
area a tlexil)le i)rogram. liuilding i)lans should be so organized that exi)ansion is 
feasii)le as needed. To this end, some of the following reconunendations arc set 
up in steps. As school enrollment iiuTeases justify, the following improvements, 
given in the order of prol)al)le need in each district should be considered. (More 
detailed reconunendations for these various steps are on file in the office of the 
State department of education.) 

^[tiderson.- — A new elementary building. Remodel high school, add second 
separate luiit as a vocational building. 

AWZ. — No j)resent indication of new building needs. May need helj) to 
comi)lete building now under construction. 

Carthage.- — A new junior high school. Added elementary rooms. 

Jnplin. — May need new rooms. (Effect of Spring River nitrate i)lant should 
be felt here.) 

Seneca. — Need a four-room addition. Separate vocational and music building. 

Goodman. — Probably need new rooms. Development of other municipal 
improvements a factor. 

Neosho. — May need additions to three elementary buildings. New shop 
buildings. If new poi)ulation is widely spread ma.y need new elementary buildings. 
Large enrollment increases may make it necessary to plan new junior high-school 

Additional funds for operating expenses for the current year will probably be 
needed in all of the above-mentioned districts, particularly in the districts of 
Neosho, Goodman, Anderson, and Seneca. Most of these schools now have 
crowded classes and can absorb only a few pupils. 

Money paid for school property in the rural districts by the Government should 
be paid through the county superintendent into the countrj- treasury to the credit 
of these districts. The county superintendent should supervise the disposition 
of school supi)lies and equipment. 

Governmental purchasing agencies should provide funds to retire existing dis- 
trict debts in proportion to the percentage of the total district assessed valuation 
absorbed by the camp area. Districts losing revenue producing assessed valua- 
tion should receive sufficient funds to recompense for such losses. 


At the present time there are a total of 418 beds available in the various hospitals 
in the area, most of these in Joj)lin and adjacent cities, in addition to the 115 beds 
of the Jasper County Tuberculosis Sanitarium. The State board of health esti- 
mates a probable need of from 350 to 400 additional hospital beds for the area 
based on a conservative anticipated population increase. A considerable num- 
ber of the hosi:)ital bed increase should be in or near Neosho to properly serve the 
population closely adjacent to Camp Crowder. It is reconnnended that immediate 
steps be taken to construct the necessary hospital facilities to fulfill these 

Additions to staffs of public health organizations should keep pace with the 
increased needs for enforcing sanitation ordinances and for pure milk and food 
control. The State board of health reconunends for the Neosho area the follow- 
ing: For Newton County, a city-county health department with l)oth the city 
of Neosho and Newton County participating, and staffed by one full-time health 
officer, one part-time assistant health officer, one i)ublic-health engineer, two pub- 
lic-health mu'ses, and one clerk; for McDonald County, one public-health engineer, 
assigned to this county under the direction of the district health officer, whose 
services would supplement tliosc rendered to this county by the existing district 
health unit; for Jasi)er County, in addition to the existing personnel, one full-time 
assistant health officer, one public-health engineer, and one su])ervising jjublic 
health nurse; for Lawrence County, one county health dei)artment staffed by one 
full-time health officer, one part-time assistant health officer, one j)ublic-health 
engineer, one public-health nurse, and one clerk; for Bany Country, a similar staff 
as for Lawrence County. 

County regulations should immediately be passed and enforced for controlling 
proper sanitation for "nnishroom" housing developments, trailer and tourist 
canijjs, dormitory developments, and eating and entertainment establishments 
that are springing up in tlie rural areas adjacent to the camp, in order to control 
these developments until effective planning and zoning legislation is put into 


Many of the communities in the area particularly those closely adjacent to the 
camp should construct and properly maintain public comfort stations near the 
business and amusement sections of their cities. Such establishments properly 
controlled would greatly reduce spread of epidemics and relieve many of the 
objectionable features of sudden population increases. 


(1) Financial aid. 

Local and State funds being limited, Government funds will probably be required 
to work out satisfactorily many of the problems. The amount of these funds 
should be determined and made available as soon as possible to the extent required. 
Increases in personnel of local staffs will be necessary to handle the problems with 
the increase in populations, especially for handling children's problems. 

(2) Evacuated families. 

It is recommended that more rapid payment be made by the Government on 
farms vacated hx establishment of the camp, and that payment also be made for 
removal of stock, and other possessions to new localities. Payment for moving 
should be made to both owners and tenants. Loans or grants of assistance from 
the Farm Security Administration are available to families who cannot make their 
own financial arrangements for moving. This, however, places the family in a 
position of asking for assistance through a welfare agency which they would not 
have had to do under ordinary circumstances. Since thej' are being forced to 
move, it seems only right that financial provision should be made for their moving. 

(3) Probable increases in cases needing relief. 

With the increased population in Neosho and other areas in the region will come 
the inevitable increase in cases needing aid and guidance. Government agencies 
should cooperate with local and State organizations in the solution of these prob- 
lems. Many families, who ordinarily would not need assistance, may require 
some type of help if new housing developments do not keep ahead of influx of 
newcomers. Federal grants should be made to assist :'n solving the problems of 
transient workers and their families who may need temporary assistance or aid in 
moving to their legal places of residence and for other emergencies that are certain 
to occur because of the establishment of defense projects in the area. 


Definite recommendations as to type and amount of recreational facilities 
cannot be made until resuts of various studies bj- John Guyer and others are 
completed, until more definite information as to probable soldier population in 
the camp, and of the location, types, and sizes of housing deve opments, is known. 

Comparative lack of park and play areas in the region close to the camp has 
been previously noted. Considerable further study should be given to the inclu- 
sion of adequate areas for these purposes within the various communities them- 
selves, particularly Xeosho, and in any housing developments that will be con- 
structed. It is the practice of various Government housing agencies to make 
such provision and to include community buildings if necessary. It is recom- 
mended, however, that Neosho and various other communities in the area give 
immediate study to location and acquisition of desirable tracts within the city 
limits or closely adjacent for such use. 


It is recommended that the police officials of the various communities and 
counties take steps toward the provision for additions to their staffs to take care 
of the inevitable increase in criminal and traffic problems as the need arises. 

Since construction of new housing units will increase the responsibilities of the 
fire department, it is recommended that the officials of these departments give 
immediate study to possible location of new headquarters, additional equipment 
and increased staffs. Since locations of new housing developments will influence 
the location of fire stations, advance information should be secured, if possible, 
to anticipate the requirements. Approval of plans submitted by developers of 
housing projects by fire departments should be required before any permit for 
construction is issued, in order to reduce fire hazard to a minimum. 


Many of the communities in the area, and particularly Neosho, should give 
immediate consideration to the preparation t)f planning and zoning studies and 

g§24 ''^'' '■'>''•'" iiK.\KiN(;s 

regulations fe)r control of land suixiivision. With the nni.sluoom growth that is 
likely to occur under sponsorship of private speculators whose only interest is to 
make money, there may be areas of considerable size developed which may be- 
come contiinious trouble sources, difficult of correction. While a certain amount 
of control can be exercised by communities who may furnish water supply or 
sewage disposal for these developments, most effective control is obtainable by 
passage of legislation adopting a definite city plan, and zoning and land subdivision 
regulations. Such a plan and accompanying legislation should be prepared im- 
mediatel}' so that developers may be informed as to locations in which they can 
start construction. Planning is important in order to determine the locations of 
major thoroughfares and proper coiniections with minor thoroughfares, location 
of schools and other public structures, location of parks and play areas, widths, 
types of pavements and gradients of streets, and other important factors. Zoning 
is essential to control use of land, to prevent undue and indiscriminate location 
of warehouses aiul industrial and retail store activities, to protect residential 
values by prevention of multiple-family houses in single-family sections, to prevent 
the location of nuisances in high-class residential neighborhoods and .similar un- 
desirable practices. Land subdivision regulations are necessary to provide ade- 
quate set-back lines, to govern the location of streets with regard to topographs 
and adjacent city streets, to control types of pavements on streets which, if dedi- 
cated, may become a source of constant expense, to limit the minimum size of 
lots in certain areas, and to insure a development that is related to the city plan. 

In addition to the communities, Newi;on and McDonald Counties should immed- 
iately set up i)lanning and zoning commissions for the control of unincorporated 
areas especially near the cantonments. Although many developments have 
sprung up in the last month or two iu these areas, control of further developments 
of these types can be exercised, if immediate steps are taken. 

While it is not the desire of the State, Federal or local governments to limit 
legitimate use of property in any way, some control of use of property where such 
use results in injury to adjacent property, or to the public welfare, should be made 

Neosho is taking immediate steps toward the preparation of planning and zoning 
studies. Lieutenant Colonel Teachout. executive officer at the camp, is hopeful 
that Newton County will take immediate steps in this direction. Doubtless 
McDonald County and the various communities in the area will adopt similar 
procedure as soon as the need is apparent. 

Neosho itself, a citj' of considerable charm and natural beauty, suffers at present 
in man}- of its areas, from a street plan which was laid out without relation to the 
topography. The so-called gridiron system of street planning should never be 
adopted in a locality where the topography is as varied as it is in many sections of 
Neosho. In its extensions of new streets, Neosho should give particular consider- 
ation to a well-planned .street system which wilLfit its topography. Such a plan 
will result in a simplified and less expensive sewer system, a maximum use of prop- 
erty for residential and other purposes, minimum possible gradients to roads and, 
incidentally, a much more attractive city. 


Studies toward aiding in the solution of the many problems that will arise in 
the post-defense period should be started immediately. All possible steps should 
be taken to relieve the shock of sudden transition from emergency period to 
post-defense period and to prevent so far as possible extensive loss of employment, 
the consequent immense reduction in national income, large migrations of popu- 
lation, increased relief and social problems, and so far as possible, the inevitable 
mental, moral and financial depressions which follow'. Not only the variou> 
Government agencies, local. State, and Federal, but industrial and business organi- 
zations are giving serious study to this vital problem. Proper planning and fore- 
sight can go far in solving many of the problems that will arise in this post-defense 
period. No general formula will solve the manv individual problems of each 
special area. Planning for the areas adjacent to Camp Crowder, and its citizens, 
should begin as soon as possible and the proper machinery set up for relieving the 


Exhibit C.—Dkfense Problem Areas Adjoining Weldon Springs Ordnance 
Works, Weldon Springs, Mo. 

report prepared by john noyes, consultant, national resources planning 


March 31, 1941. 
I. Introduction 

The War Department has acquired in part, and will soon complete acquisition 
of a tract of approximately 17,900 acres in St. Charles Countj', Mo., for the pur- 
pose of manufacturing TNT and DNT. The official designation of the plant is 
the "Weldon Springs ordnance works." The purpose of this report is to present 
various facts in connection with this plant, the problems arising from its location 
in this area, and recommendations leading toward the solution of some of these 

II. The Plant 

(A) description 
/. Factors influencing location. 

The Weldon Springs ordnance works for the manufacture of TNT and DNT 
to be made under the direction of the Atlas Powder Co. near Weldon Springs, 
Mo., has been located on a tract of approximately 17,900 acres. The tract lies 
southwest of and adjoins Highway 61 and adjoins the Missouri, Kansas, & Texas 
Railway, which follows the shore line of the Missouri River. Important factors 
in the location of the reservation at this point were: (1) Accessibility to ample 
water supply, approximately 15,000,000 gallons per day being necessary for the 
manufacture of TNT and DNT; (2) accessibility to railroad facilities; (3) acces- 
sibility to a main defense highway; (4) sparsely built-up neighborhood at a con- 
siderable distance from large population centers; (5) varied and relatively rugged 
topography with considerable timber growth. 

2. Lay-out of -plant. 

According to present plans, 6 production lines for manufacture of TNT and 2 
for manufacture of DNT are to be constructed and placed in operation by Sep- 
tember 1, 1941. It is quite possible that enlargement of the plant to as many as 
16 lines may take place later. The 8 lines now being constructed are located 
several hundred feet apart, approximately in the center of the tract. The entire 
tract is being enclosed with a high chain-link fence. It is intended that only 1 
entrance to the tract be provided, located at the present Highway 94 entrance 
near Highway 61 at Weldon Springs. AU employees and visitors will be required 
to enter at this point. 

A pumping plant will be erected adjoining the shore line of the Missouri River 
near the present location of the town of Hamburg. 

S. Construction. 

At present over 1,200 men are employed in constructing the 8 production lines 
and it is expected that this number will be graduallv increased to a peak of between 
3,000 and 4,000 workers. 

4. Operation. 

It is expected that the plant, at least in part, will be in operation after Septem- 
ber 1, 1941, and that operations will continue during the emergency, which from 
present estimates should not be more than 5 years, possibly considerably less. It 
is expected that the eight lines will be in operation 24 hours a day, in three shifts. 

(B) necessities created 
1. Housing. 

A major consideration of the management of the ordnance works is adequate 
housing for its employees. 

(a) During construction. — During the construction stage there is not considered 
to be a housing problem. It is estimated that approximately 75 percent of present 
construction workers come from St. Louis and St. Louis County, 15 percent from 
St. Charles, and 10 percent from other points in St. Charles County, especially 
Wentzville. Several of the workers have found accommodations in homes in St. 
Charles County and a comparatively small number are living in trailers at Wentz- 
ville, Weldon Springs, and other points. With the increase of construction work- 
ers, it is possible that more trailer camps may spring up in the area adjacent to 
the reservation. 



(b) During oprroliuit.' Maj. C. K. DuHon aixl officials of the Atlas Powder Co. 
are of tlio opinion that a iiiininiimi of 100 new housing units would l)e needed for 
employees at the TNT-DN'r plant. The opinion is based on the assumption that 
from i,500 to 2,000 employees will he engaged in the work. It is expected that 
necessity for homes will on .starting of work about September 1, 1941. 
There is a po.ssibility that if the plant is considerably increased in size that the 
number of workers may be increased to 2,500. 

Major Dutton considers it most imjiortant that 75 to 100 of the key workers 
reside within 4 to 6 miles of the entrance to the plant, on good roads, and with 
telephone connections. These men would be subject to immediate call to the 
l)lant in case of emergency. 

I'Mfteen homes for principal executives, seven or eight for Army oflRcials, and 
seven or eight for Atlas Power ('o. officials, will be constructed on the reservation. 

From best information available to date, employees for operation of the plant 
after September 1, 1941, may be classed about as follows: 


Annual salary 


of total 


Helpers and general labor 

Foremen, odice helpers, assistant supervisors of departments 



$1,500 to $2,000 
$2,000 to $3,000 
$2,500 to $3,000 
Over $3,000... 

Note.— Quoting from Major Button's letter of Mar. 18, 1941, he states: "It might be said at this time that 
about 15 percent of the help needed could be obtained from the immediate area. It is reasonable to believe 
that a great number will come from St. Louis City and County area." 

S. Transportation. 

Construction workers have made satisfactory arrangements as to transportation 
from St. Charles, St. Louis, St. Louis County, and other points by grouping to- 
gether for travel by automobile and by temporary bus service from St. Charles 
and St. Louis County. It is expected that similar means of transportation will 
be available from main residential locations after the plant is in operation. 

III. Resultant Effects on Area 


1. Population and taxes. 

Residents of two small communities, Howell and Hamburg, within the bounda- 
ries of the tract, with a total population of approximately 200 and in addition a 
rural population of over 500, have been forced to move from the site. Of the 
approximately 247 parcels making up the tract, approximately 22 owners w-ere 
nonresidents. Approximately 192 of the parcels were farms with approximately 
6,000 crop-acres. It is known that at least 11 owners with families have left the 
county to locate in other places, and i)robably there are more, though records are 
not complete as to this. 

The assessed valuation of real estate, personal property, etc., removed from 
taxation because of the acquisition of the tract by the War Department amounts 
to approximately $411,000. 

£. Highways. 

Approximately 33 miles of county highways and farm-to-market roads will be 
removed from use, of which about 28 miles are gravel surfaced and in good con- 
dition. Three steel bridges and numerous pipe and l)ox culverts form part of the 
construction of these roads. Approximately 10}^ miles of State Highway 94 
will be vacated. Closing of these roads will cause considerable inconvenience to, 
communities to the west and southwest of the reservation. 

3. Schools. 

One public high school for approximately 150 students and 4 grade schools for 
approximately 100 students will be closed to the i)ublic, requiring the construction 
of a new consolidated high school and grade school and redistribution of school 
population. Until the new school building is completed, a serious problem in 
providing transportation to other school locations will exist. 

4. Cemeteries. 

There are 27 cemeteries included within the tract, requiring eventual possible 
removal of over 700 bodies. It is jjossible, however, that many of these cemeteries 
may be allowed to remain, with visiting days arranged for at various times. 



Major Dutton states that there will be two types of waste resulting from the 
operation of the plant. One will be the type ordinarily encountered in any com- 
munity or residential development such as sewage, and the other type will be of 
toxic material remaining after the process of manufacture of TNT-DNT. The 
first type of waste will be adequately taken care of by means of sewage-disposal 
systems and septic tanks; and the second type, the toxic wastes, will be piped from 
the production lines to a central collection station where it will be treated to 
neutralize any remaining acids and then put through a series of steam evaporators. 
The residue, resembling heavy dark molasses, then will be burned in a rotating 
kiln, leaving a resulting small amount of harmless ash, easily disposed of. Major 
Dutton is certain that with the adequate means planned for disposal of waste 
there will be no danger of contamination of the waters of the Missouri River, nor 
nuisance to the general area. 


Major Dutton states that due to the large size of the tract and the central 
location of the plant buildings, there should be practically no structural danger 
outside the boundaries of the tract in the event of explosion. He considers, how- 
ever, that any new housing developments that might be constructed should be 
located 4 or 5 miles away from the plant. 

IV. Major Problems 
(A) highways 
/ . State highways and farm-to-market roads. 

(a) Highivay 9/,. — The portion of Highway 94 passing through the reservation 
and providing direct connection between towns in the southwest portion of the 
county and the county seat at St. Charles will be closed to public use, thus requir- 
ing a considerably greater distance by automobile from these points. For ex- 
ample, the town of Defiance which is approximately 21 miles from St. Charles by 
Highway 94, requires travel by existing county roads west and north of the plant 
of approximately 36 miles. Residents of communities in the southwest portion 
of the county, such as Defiance, Augusta, New Melle, and others adjacent are 
protesting vigorously against the inconvenience caused by the additional mileage 
necessary, much of it over narrow roads which have steep grades and many sharp 
curves. There are approxunately 13 miles of roadway in Highwav 94 and Farm- 
to- Market Road D within the reservation itself. 

As a solution to this problem Mr. Carl Brown, chief engineer of the Missouri 
State Highway Department, has requested that the War Department compensate 
the State highway department to the amount of $310,000 for the construction of a 
road along the shore line of the Missouri River and another closelv adjacent to the 
west line and north line of the tract, both roads connecting with Highway 61. 
Objection to the roadway along the river has been expressed bv Major Dutton 
and other officials of the War Department on the ground that the prevention of 
sabotage at the proposed pumping station would be made more difficult. It is 
understood, however that the State highway department would be willing to 
close the highway along the river during the emergency when the plant is in 
operation, if the War Department requires this. It is expected that both roads 
if constructed, will be gravel surfaced. 

(6) State Highway 61. — This highway, which is one of the major highways of the 
State connecting St. Louis with Wentzville, will receive considerable additional 
traffic during construction of the plant and its operation until the end of the 
emergency. The State highway department is, at the present time, constructing 
a relief lane approximately 300 feet in length on either side of the entrance to the 
plant. Construction of this additional lane will provide one-wav traffic for east- 
bound and west-bound traffic with the present slab. It is quite likely that the 
relief lane will later be extended to the Daniel Boone Bridge and to the western 
boundary of the plant site, a total of approximately five miles, costing a total of 
approximately $275,000, part of the expense of which it is expected will be borne 
by the Government. 

Originally it was proposed to construct a grade separation at the intersection of 
Highway 61 and the entrance road to the plant, but because of the probable 
delay in obtaining steel trusses for a bridge, an electric traffic signal will provide 
control of traffic at this point. A connection is also being made between Highway 
61 at a point southeast of the entrance with one of the county roads entering 

^§28 ^'*''- i'"ii^ moAKiNiis 

Wcldon Springs, which will roliovo a considerable anionnt of the traffic load at 
this intersection. 

(c) Highway K, Jarvi-to-markcl road. — From Highway 61 to the city of O' Fallon 
it is projiosed to construct a direct connection between Highway 40 at O'Fallon 
and Highway 01. Connection at Highway 61 would l)e approximately l}^ miles 
northwest of the entrance of the plant. The distance between the entrance of 
the plant and the city of O'Fallon would be reduced to appro.ximately 7 miles. 
Part of the road has already l)ecn completed, using existing county road.s. This 
entire roadway would be gra\'cl surfaced and possil)ly later may be black-topped. 
This road would provide a direct connection with Farm-to- Market Road M, 
passing through the town of O'Fallon and coTuiecting with State Highway 79. 

(rf) Proposed road connecting relocated Highway 94 and Cottleville. — A new road 
from relocated Highway 94 near north boundaries of plant site to present High- 
way' 94 near Cottleville would be desirable in the event that this relocated High- 
way 94 is the only connection that may be u.sed during the emergency between 
communities in the southwest portions of the county and the county .seat at St. 
Charles. This road would reduce the distance to St. Charles by approximately 2 
miles. Such a connection would also be desirable in that it would reduce traffic 
near the plant entrance and would connect directly with proposed Highway K 
which would make a more direct route to the city of O'Fallon and HighAvay 79. 

(e) Extension of Farm-to- Market Road T to Augusta. — Present county roads 
connecting the area between Augusta and Cappeln are hilly and tortuous and 
.should be improved. This extension of Road T would have been desirable even 
if the ordnance works had not been located in this area, but its necessity is em- 
phasized because of the closing of a portion of Highway 94. The distance by 
roadwaj' from Augusta to Highway 61 is approximately 2 miles less by proceeding 
through Defiance and present detours of Highway 94. This new farm-to-market 
connection would reduce considerably the travel time between Augusta and 
Wentzville, and since the only public high schools in the west portion of St. 
Charles County are at these two points, improved roads between them would be 
most desirable. Construction of this improved farm-to-market road would com- 
plete the 100-mile farm-to-market road program started by the countj' highway 
commission some years ago. 

(/) Highway 94 to be black-topped. — The State highway department expects to 
black-top Highway' 94 between the plant entrance and the end of the present 
black-top surfacing at the intersection of Farm-to-Market Road N and Highway 
94 through Weldon Springs, a distance of approximately 4K miles. 

2. County highways. 

The county highway engineer reports that there are approximately 33 miles of 
county highways within the reservation which will be closed to public use. Ap- 
proximately 28 miles are gravel surfaced. Three steel bridges and numerous box 
and pipe culverts are included. 

Mr. Earl C. Gray, county clerk of St. Charles County, states that the county 
highway commission expects but little in the way of compensation for the roads 
vacated except for constructing connecting links between existing county roads 
and new roads replacing highway 94 around the reservation. They will also 
request the right of removal of three steel bridges within the site and some of 
the culverts, or compensation for the value of these items\ 


1. Existing housing situation. 

(a) St. Louis and St. Louis County. — From a conference with Mr. F. W. Pejj- 
ping, chief underwriter of the Federal Housing Administration, St. Louis; Mr. 
Rene Dusard, chief architect and Mr. J. A. Estes, executive assistant, informa- 
tion was obtained that by date of April 1, 1940, there were 16,334 vacant dwelling 
units in the city of St. Louis and 4,913 vacant dwelling units in St. Louis County. 
These vacant dwelling units were either for sale or for rent. Other vacancies in 
the city on which information was not obtainable as to whether for sale or rent, 
were 1,601 for the city and 431 for the county, making for city and county a 
total of 23,279 vacancies. Mr. Pepping is of the opinion that the figures on 
vacancies have not been materially reduced since* the date when compiled. It 
is probable that at least 50 percent of these dwelling units would be habitable, 
a total of approximately 11,640. 

Mr. Pepping stated that the Federal Housing Admini.stration at this date has 
commitments to insure loans, when dwelling units now imder construction are 
completed and sold, for 1,175 single familj' dwelling units and in a addition 
commitments for 825 dwellings under construction, for whicli buyers have been 


secured, a total of approximately 2,000. The total habitable dwelling units now- 
available in St. Louis and St. Louis Countv, therefore, probaV>lv is in excess of 

Approximate distances between points in St. Louis and St. Louis County and 
the entrance of the TNT plant by highway and approximate time necessary by 
automobile are as follows: 

St. Louis city limits (Skinker and Clayton Roads), 35 minutes, 23}4 miles. 

North and South Road (Brentwood Boulevard) and Clayton Road, 30 
minutes, 22 miles. 

Manhassett Milage, 30 minutes, 22 miles. 

Lindbergh Boulevard and intersection of highway 61, 21 minutes, 17}4 

Bellefontaine, 11 minutes, OVo miles. 

Chesterfield, 10 minutes, 9 miles. 

Gumbo, 8 minutes, 6 miles. 

St. Louis and St. Louis County, especially portions east of Lindbergh Boule- 
vard, in general are well provided with schools, recreational facilities, public 
utilities, and transportation. Planning and zoning of St. Louis County is now 
in progress and has been in effect in the city for many years. 

Note.— Time necessary for travel to the Ordnance Works entrance frcm many places in St. Louis County 
would not exceed travel time to work of the majority of employed persons new living in the County. For 
example, by street car from Clayton to downtown St. Louis requires approximately 40 to 45 minutes, and 
W'ebster Groves frcm tO to 60 minutes. By automchile the time frcm Clayton and Webster Groves to 
downtown -St. Louis is 30 to 35 minutes. Other points across town in the County by public conveyance 
require even longer periods from distant points. 

(6) St. Charles County and its communities. — It has been reported from several 
sources that there are practically no housing vacancies anywhere in St. Charles 

2. Existing facilities in St. Charles County (population 25,562 in 1940 census). 

(a) St. Charles, Mo. {population 10,810, 1940 census). — The city has an ade- 
quate public water supph' and sewers for the major part of the area within the 
city limits. There are a number of undeveloped tracts within the citj' limits 
and immediately adjoining in the county, particularly in the area between Blan- 
chett Park and Linden wood College, that may be serviced as to water supply and 
sewers and which would be suitable for housing projects. While a considerable 
amount of additional acreage in the county adjoining could be serviced as to water 
supply, very little of it could be serviced by the sewer system, due to topography. 

The city has one 4-year public high school and one 4-year parochial high school, 
four public and three parochial grade schools, a junior high school for white 
students and a grade and high school for the colored. In addition there is L'nden- 
wood College for Girls, wdth a 4-year course leading to a degree. 

St. Charles has two modern hospitals, capable fire and police departments, a 
large public park with a modern swimming pool and a private golf course in con- 
nection with the St. Charles County Club. It is well equipped with moving- 
picture theaters and other means of entertainment. 

St. Charles is approximately 14 miles by roadway from the entrance to the 
TNT plant. Transportation by bus has been recently provided from St. Charles 
to the TNT plant. Bus and railroad transportation to the city of St. Louis are 
available, St. Charles being on the main bus line between St. Louis and Kansas 
City and on two railroads, the Missouri, Kansas & Texas Railroad and the 
Wabash Railroad. 

There is a considerable housing shortage in St. Charles at the present time. 
Several new homes have been built within the last few years within the city limits 
and in the county closely adjacent to the city limits. 

Additional w^orkers are being employed by the American Car & Foundry Co. 
and by a new International Shoe Co. plant which expects to employ about 300. 
The St. Mary's Oil Engine Co. has recently been sold to a new- syndicate and it is 
expected that this plant will be reopened shortly. When at capacity, several 
hundred people are employed at this plant. Many of the residents of St. Charles 
are employed in St. Louis and St. Louis County. 

Estimates of various residents of St. Charles contacted seem to indicate that 
the city could absorb at least 100 homes after the emergency is over. 

(6) St. Peters (population 305, 1940 censris). — St. Peters does not have public 
water supph', but recently passed a bond issue for construction of sewers. This 
city is approximately 10 miles from the entrance of the TNT plant by roadway. 

There is a 2-year parochial (Catholic) high school in St. Peters, parochial grade 
school and a pul>lic grade school. 

^^^2 ^'''- '*" '^ iii:ai{in<;s 

St. Peters is serviced by a injiiii bus line which operates between St. Louis and 
Kansas City on highway 40 and also by the Wabash Railroad. 

(r) O' Fallon {population 6 IS, WZ/O census). — O'Fallon is constructing a jjublic 
water supply system which is almost completed and also sewers and sewage dis- 
po.sal system. This city will i)e the closest iiicorporaterl community to the 
entrance of the TNT plant, with the completion of roadway K, a total of approxi- 
mately 7 miles. 

There is an adecpiate public grade school, a parochial grade school and a 
parochial 4-year high school in the city. 

O'Fallon is serviced by bus lines operating on highway 40 and by the Wabash 

As part of the bond issue for water supply and sewage disposal, O'Fallon is 
installing fire protection facilities for the community. The water supply is se- 
cured from St. Peters' sand at a depth of 833 feet. .\n elevated storage tank has 
been erected with a capacity of 75,000 gallons and a flow of 58 gallons per minute. 
The cost of the water supply system, tank, etc., is approximately $50,000 and of 
the .sewage disposal system approximately $40,000. 

Mr. N. D. Schwendeman, c'ashier of the bank at O'Fallon is of the opinion that 
25 or 30 homes could be absorbed by the community after the emergency is over. 
There are several tracts of land between the main part of the town and highway 
40 that would be very suitable for housing projects and which could be serviced 
by the water and sewer systems. 

(d) Wentzville (popidation 752, 1940 census). — The citj' is served by an ade- 
quate water supply system, sewers and sewage disposal system. Water was ob- 
tained from St. Peters' sand at a depth of 813 feet and stored in an elevated 
tank holding 75,000 gallons. 

There are approximately 100 vacant lots within the built-up section of the city 
which would be available for homes on streets in which sewers and water supply 
are available. Undeveloped tracts adjoining the city to which water and sewer 
lines could be extended at reasonable expenses are available for housing projects. 
There has been some building activity in Wentzville in the last few years and 
several new homes have been constructed. The city has no funds for extension 
of water and sewer lines to these undeveloped areas, so that the expense of such 
extensions would have to be added to the cost of any development. 

Wentzville has a 4-year combined high and grade school under construction 
which it is expected is likely to be crowded with students from the city and con- 
tiguous territory. The existing combined grade and high school will be torn 
down upon completion of the new building, and rebuilt as a colored school. 

Wentzville is located at the intersection of highway 40 and highway 61 and is 
serviced by bus lines operating on both major highways. It is also serviced by 
the Wabash Railroad. 

Wentzville is equipped with a fire department and fire engine and numerous 
fire hydrants located through the city. 

There is a small moving-picture theatre, but no public parks or playgrounds. 

(e) Cottleville. — Cottleville, which is unincorporated, with a population of ap- 
proximately 150, is located approximately 4 miles from the entrance to the TNT 
plant by roadway. It does not have water supply or sewage disposal. 

A private promoter has secured options on considerable acreage adjoining 
Cott'eville with the idea of developing a private housing project. It is understood 
that difficulties in financing the project will be encountered and that lack of water 
supply and sew^age facilities will be a serious obstacle to deve'opment. The town, 
however, is well situated for such a development. 

There is a public grade school in Cottleville and a parochial grade school. .\ 
consolidated 4-year public high school at or near Cottleville to replace the existing 
high school at Howell, is contemplated. If this school is constructed, there 
would be a dist'nct advantage to any housing project that might be developed in 
this area. 

According to a rural housing report for the Wcldon Springs TNT-DNT ord- 
nance plant area prei)ared by Mr. Ross J. Silkett & Associates at the request of 
the Secretary of Agriculture for the National Defense Commission, a tract of 67 
acre-: near Cottleville has been optioned by the Farm Security Administration 
for farm subsistence homesteads on tracts of from 5 to 10 acres each, and it is 
understood that if constructed, these homes would be available for employees at 
the ordnance works during the emergency. 

Cottleville is not located on any of the railroad lines and is not served by trans- 
l)ortation excejit by the temporary bus line from St. Charles to the entrance of 
the ordnance Avorks to which it is ckxsely adjacent. 

(/) Weldon Springs. — Weldon Springs, unincorporated, with a pojiulation of 
approximately 80, is the nearest connnunity to the entrance of the ordnance works. 



It is not serviced with water supply nor sewage disposal system. Tliere are two 
grade schools in Weldon Springs area and doubtless it would be a location for 
temporary trailer and tourist camps, at least during the emergency. A small 
trailer camp is already in existence. The town is without facilities for fire 

(g) Dardcnne.—DsLvdenne can hardly be dignified by the name of a town, since 
it consists of a public school, a church building, and a few houses. It is located 
approximately 5}2 miles by roadway from the entrance to the ordnance works. 
In the neighborhood of Dardenne there is a tract of approximately 90 acres which 
has been optioned by the Farm Security Administration for homesteads of 5 to 
10 acres each for the possible construction of farm subsistence homesteads which 
would be available to workers at the ordnance plant during the emergency. 
Dardemie is not serviced with transportation facilities at the present time, nor 
with public utilities. 

(h) Other co7nmiimties. — Other communit'es closely adjacent to the TNT- 
DNT ordnance works, but not as accessible to the main entrance, would be New 
Melle, Defiance, Matson, Augusta, and others. Augusta is the largest of these 
communities, is incorporated and has a population within the corporate limits of 

It is not considered that these communities would be as desirable for housing 
workers of the ordnance works as the other communities previously listed, because 
of the greater distance to travel, lack of water, and sewage disposal facilities. It 
is possible, of course, that some of the workers at the plant after it goes into opera- 
tion would live in this neighborhood, but they would be scattered and com- 
paratively few in number. 

(J) Rural section of county. — Much of the area of the county within 4 to 6 miles 
of the entrance to the ordnance works would be suitable for rural homes, particu- 
larly on existing hard-surfaced roadways. Telephone and electric service are 
available on most of these roads. Water supply could be provided by cisterns, 
dug wells, or shallow drilled wells. Information at hand indicates that drilled 
wells provide approximately 10 gallons per minute at a depth of 90 to 100 feet. 
Sewage disposal could be provided by means of small individual septic tanks and 
disposal beds. 

3. Preferred locations for new housing. 

Considering existing facilities, the most advantageous locations for new housing 
of ordnance workers in St. Charles County, whether sponsored by private enter- 
prise or by the Government, are (1) for housing projects and individual house 
units, selected tracts in St. Charles, O'Fallon, and Wentzville; (2) for farm sub- 
sistence housing, grouped or individual, various locations near Dardenne and 
Cottleville adjoining hard-surfaced roads, selected for fertility of soil, good dra n- 
age, good water supply and sanitation possibilities, electric and telephone accessi- 
bility, proximity to schools, and future salability after the emergency. 

4. New housing requirements. 

(a) Rent levels. — Based on Major Dutton's estimates in his letter of March 18, 
1941, for a minimum of 1,500 employees, the following permissible monthly rents 
result, assuming an allowance of not more than 25 percent of salary for that 



Rents per 



Rents per 


$1,500-$2,000 _ 

$30 to $40. 
$40 to $50. 

150 - . 

$2,500 to $3,000 

$3,000 and up 

$50 to $60 

225 _ 

$2,000 to $2,500 


$60 to $75 


(b) Estimated number of neiv units in incorporated communities. — If 150-house 
units are built in incorporated communities in St. Charles County, it is recom- 
mended that 80 units be constructed in the city of St. Charles, 40 units in the city 
of Wentzville, and 30 units in the city of O'Fallon. 

Probably these should be homes for the higher salaried groups and ke.v workers 
who should live as close to the plant as possible. While this group could afford 
rents of from $50 to $75 per month, houses constructed to rent at a lower rent 
level would undoubtedly have greater sale value after the emergency. It is 
reasonably certain that the number of imits mentioned above would be absorbed 
by the communities after the emergency. 


(c) Estiniolcd /lumber of new units in. rural areas. — It is recoiiiiiicndcd tliat 
from 2'A) to SoO rural housiufi; units on farm subs'stence hornosteads, in groups 
and t)n individual sites, be const rucird in areas adjacent to Cottleville and 
Dardenne. Homes of this tyi)e slunild be construeted niain'v for the low income 
groups, persons able to pay from $30 to $40 jier month, Ijut it is considered 
preferable to i)uilfl homes that wou'd rent from $20 to $30 per month, since they 
would undoubtedly have better sale vahie after the emergeney. Mr. Uoss 
Silkett, n his report, indieat(s that a mininnim of 333 such homes cou!d jjrobably 
be aljsorbed in these areas by farm owners now living in substandard dwell ngs 
or l)y tenant farmers, and through future sales to persons in the larger communities 
desiring such acccunmodations. 

As an alternate for farm subsistence homesteads for lower salaried workers, 
housing projects with a density of 10 or 15 families per acre, might be built in 
conununities such as O'Fallon or \\'entzville and provide the necessary low rents 
It is very questionable, however, as to whether this type of home wou'd have any 
considerable amount of sale value after the emergency is over, and it would seem 
pre erable to erect single family homes if possible. 

(d) Housing other workers.- — Major Button has estimated that approximately 
15 percent, or a probable minimum of 225, might be persons now residing in 
areas adjacent to the tract. Very likely most of these would be in the lower 
income group. The remaining 475 to 575 employees in this group, able to pay 
rents of from $30 to $40 per month, would probably be required to find housing 
accommodations in St. Louis or St. Louis County, as would the remaining 300 
workers able to pay in excess of $40 p(!r month. 

(e) Further studies necessary. — Further study of new housing requirements for 
employees of the ordnance works should be made. It is unlikely that private 
enterprise will be able to secure financial Vjacking for new housing except in the 
incorporated communities such as St. Charles, St. Peters, O'Fallon, and Wentz- 

If the Weldon Springs ordnance works were an organization for permanent 
manufacture over a considerable period of time there would be no question but 
that 100 percent housing for the employees of the ordnance works would be desir- 
able. Because of the comparatively short time that the plant is expected to 
operate, all precautions should be taken to keep new housing within limits of 
future absorption by the region after the emergency, and thus prevent future 
possibility of "ghost towns." 


St. Charles is in considerable need of a comprehensive city plan and zoning 
study. This enterprise should be undertaken by the city itself and an outside 
consultant should be employed to prepare necessary plans and ordinances. 

Wentzville and O'Fallon should give consideration to planning and zoning. 
Assistance on this work might be rendered by the Missouri State Planning Board, 
since the city would probably not be in a position to engage a consultant for the 
work. Mr. M. I. Parker, of the Missouri Inspection Bureau, who has been 
advising these two cities on requirements for water supply to reduce insurance 
costs, has urged the cities to adopt building codes, fire prevention, and fire limit 
ordinances. He is hopeful that these cities will receive as much help as possible 
from the Missouri State Planning Board in this work. 

St. Charles County as a whole and including its numerous unincorporated 
communities should liave the authority to control development through planning 
and zoning, especially in the neighborhood of the entrance to the ordnance works 
on Highway 61, where there is immediate likelihood of various roadside stands, 
filling stations, and similar developments being constructed. Unless controlled 
they will create a hazard to traffic, a sanitation prol)leni and offense to the eye. 
Similar developments are gradually creeping in throughout the entire length of 
Highway (U and trailer and tourist camj)s will doubtless be developed very 
shortly. Immediate legislation is to be desired which would result in the control 
of such establishments. At the present time the only control over such develop- 
ments is that exercised by the State board of health as to sanitation and water 
supply, and by the State highway department as to approaches. 

V. Other Problems 


As has been stated, approximately 700 persons have been removed from the 
area included within the ordnance works reservation. Most of these have 


moved to other points in St. Charles County. Some redistribution of students 
is necessary and the addition of many new students, children of plant employees 
livinj? in the county, will doubtless require added facilities in various existing 
schools and possibly new schools in some instances. Construction of a new 
consolidated high school and grade school is being considered in the Cottleville 


There are satisfactory recreational facilities in St. Charles, but Wentzville 
and O' Fallon are lacking in parks and playgrounds and should undertake a 
program for construction of such facilities. Housing projects in any of these 
communities should be provided with play areas, especially for younger children. 

Fort Zumwalt, a State park of approximately 60 acres, is located on Highway 
40 Til near the city of O'Fallon. It is understood that this reservation will 
soon be improved by CCC workers, but it is not anticipated that this area may 
be used for active recreation. 

Babler State Park is located approximately 15 miles from the main entrance 
of the ordnance works reservation and the Cuivre River recreation area approxi- 
mately 30 miles from this point. 

A private recreational project is being considered near Wentzville, which 
would include a large lake made by damming up Peruque Creek. Information 
is lacking as to the certainty that this project will be undertaken. 

For employees who will reside in St. Louis and in St. Louis County, especially 
in the incorporated areas, there are numerous parks, playgrounds, public and 
private swimming pools, and other recreational areas available. 

VI. Summary 

Principal problems and recommendations for their solution outlined above 
resulting from the location of the Weldon Springs ordnance works in St. Charles 
County, Mo., include the necessary construction of new roads to replace High- 
way 94, new roads to O'Fallon and Cottleville; the construction of additional 
housing accommodations at St. Charles, O'Fallon, Wentzville, and rural portions 
of the county; control by planning, zoning, establishment of a building code 
and subdivision regulations and including necessary legislation to effect such 
control; and additional school and recreational facilities. 


prepared by will s. denham, director, state employment service division, 

jefferson city, mo. 

November 21, 1941. 

We are enclosing a list of ]jrime defense contracts allocated to the State of 
Missouri divided by cities firms receiving them. However, we have never 
received through any governmental agency any information regarding subcon- 
tracts allocated to firms in the State of Missouri. Information in regard to sub- 
contiacts has been secured from newspaper publicity, civic publications, and 
individual employer contacts. In regard to this, this agency would appreciate 
any information as to any source from which we could secure the amounts and 
names of firms securing subcontracts. 

In regard to the estimate of the number of workers displaced by material 
shortages, our statement in the last Labor Market Report still remains true. 
The numVjer of individuals so far displaced by material shortages is small, but 
there is every indication that this number will be increased within the next sixty 
daj's. However, there is a qualifying condition in practically all of the reports 
we have secured from employers likely to be affected, and that is that these firms 
will have to close down unless their facilities are utilized in the defense program. 
One of the objectives of this service in securing the reports of material shortages 
is to closel}' cooperate with the Contract Distribution Service so that whatever 
facilities these plants have may be utilized in the manufacture of defense products. 
Specific reference to the effect of priorities in the automotive industry in St. Louis 
will be found in the Labor Market Report proper, as will the report in regard to 
the glass industry in Crystal City. 



We are also attachiiifj; the proKram outlined by the Bureau of lOmployment 
Security designed to i)r<)vi(ic defense training for workers. The reports proper 
contain the [recommendations of the Employment Service as to the number of 
individuals to be trained within the next six months, which proposals have been 
approved by the State Council of .\dministrators for Defense Training, and also 
in the latest reportthenumber of individuals who are being trained in accordance 
with these proposals.' 

In regard to employers' specifications with respect to age, color and nationality 
which may aflfect the full utilization of the local labor supply it has been our 
experience that, as a whole, these factors have not prevented the full utilization 
of our local lalior supply. Employers, especially in the skilled occupations, are 
up-grading workers, diluting jobs, and removing all age restrictions on workers. 

We wish to bring to the attention of the Committee the remarkable cooperation 
that the Missouri agency has secured from the metropolitan newspapers. These 
newspapers, in order to i)revent useless migration of labor, have refused to accept 
advertising from out-State firms where the advertising would tend to cause migra- 
tion from the St. Louis and Kansas Cit}' areas of those individuals who are needed 
in these areas. These newspapers voluntarily have done a splendid job in cooper- 
ating with the Employment Service and with the Regional Labor Supply Com- 
mittee to accomplish this purpose. 

Exhibit A. — Labor Market Report, Unemployment Compensation Commis- 
sion OF MissouKi, Jefferson City, Mo. 

September 15-October 15, 1941 

The impact of material shortages and priorities has as yet resulted only in small 
displacements of labor in the State of Missouri. Complete surveys are now being 
made and there is every indication that the labor displacements due to material 
shortages and priorities wall become more widespread within the next 60 days. 

The labor-market developments during the period of this report follow in general 
the trend as indicated in previous reports. On the basis of present prime defense 
production contracts in the sum of $390,000,000, approximately 60,000 production 
workers, the number estimated in previous reports, will be required. 


With the exception of Camp Crowder, located at Neosho, and the ammonia 
plant located at Louisiana, defense construction has passed the peak of employ- 
ment. A summary of developments in major construction projects is as follows: 

Type of project 


Number of 
men work- 
ing Oct. 
15, 1041 

Peak em- 

Ammunition plant.. 

TNT and DNT plant 

Airplane company 

Airplanc-gun-turret plant-. 



Ammunition plant 



Auxiliary Army buildings. 

Ammonia plant 


St. Louis...- 







Kansas City 

Fort Leonard Wood. 





14, 600 











> 182 

1 10, 939 














' Approximate. 

The supply of construction workers in the State of Missouri remains adequate 
to meet present construction needs in the State. 

' Copy of the report referred to is held in committee flies. 




Reports from 298 employers, 138 in St. Louis, 102 in Kansas City, and 58 out- 
State, whose industrial activities are of significance to the progress of the national- 
defense program indicate that within the next 6 months these employers expect to 
hire 17,247 workers, 10,377 in St. Louis, '.6,817 in Kansas City and 53 out-State. 
A summary of these expected hires by occupation is as follows: 

September 1941 to February 194^ 




1 to2 

2 to 4 


5 to 6 

Total - 






Chemist, inorganic _ - 














Electrical engineer 

Mechanical engineer 





Draftsman, mechanical ... ... 


Manager, production . 


Inventory clerk 

Clerk, general office . . . 





Yard clerk 

Production clerk 




Receiving clerk 









Tool clerk 




Fireman III . . 

Porter II . 



Elevator operator, freight . 


Grounds keeper I 

Carver hand T 


Nitroglycerin-nitrator operator 

Still operator ... ... . 


























































Welder, acetylene 

Machinist II . . . . .. . 




Lay-out man 

Job setter II .. ... 



Tool maker. 



Die maker II 






Die setter I 


Tool maker .• _. .. 


Tool inspector 


Tool hardener. 


Engine-lathe operator . . 



Turret-lathe operator 

Milling-machine operator II ... . . 



Boring-mUl operator 

Shaper operator I.. 

Planer operator II 

Cylindrical-grinder operator 

Inspector (machine shop) 




Sheet-metal worker II 

Do.... . .. 



Sheet-metal lay-out man 


Sheet-metal worker, aircraft 



Molder, bench .. 



Molder, floor . . 

Machine molder, squeeze. 

Fit-up man . ... 












• 16 







Structural-steel worker 

Ornamental-ironworker ... . 


Template marker, structural steel 

Welder, arc . . . 





Welder, acetylene 

Welder, combination 




Blacksmith II 

Heat treater II 







Hardness inspector 


Electrician.. . . 


Electrical repairman 


Assemblers, electrical 


Lens grinder 

Painter, car 



Patternmaker, metal 


Patternmaker, wood 

Bricklayer II 




Carpenter I . .. 



Carpenter, finish 

Carpenter, rough II 


Carcenter. streetcar 



September 1941 to February 19^2 — Continued 


Painter I 

Steam fitter .- 

T.ocdiiiotivo engineer II 

Slrtti()ii;iry engineer 

Klcclric-bridpi' crane operator 

Loc'oiiiotive-crane operator - 

Millwrichl , 

Urakcnian, air 11 ., 

AutDinohilc mt'dianic 

AiitniiKiliilc-hody repairman, metal , 

.Mainlcnanci' iiuclianic II 

Elfviilor n'i)airitian 

IiistruitU'iit ri'pairman.- - 

'rool-firiiuicr operator 

Hatteryiiian II 

Foreman (ammunition) , 

P'oreman (machine tools and accessories)... 

Foreman (machine shop) 

Box maker, wood, III 

Stationary cnKineer . , 

Sini;le-spin(ile-(lrill-press operator 

Floor assembler (machine sliop) 

Grinder (automobile manufacturing) , 

1'iirret-lathe operator, automatic .., 

MilliiiL'-iuactiiiie operator, automatic 

I)orint;-nuiehini' (jperator, automatic 

Si'iLil -siur.dle-drill-press operator , 

.Miiltiple-siiiiidle drill press operator .-. 

Kadial-drill-i)ress operator 

Sin'.de-siiindle drill press operator 

Internal keyseating-machine ojierator- 

Screw-machine oi)erator, semiautomatic-,. 
Lathe ojierator, automatic 1 _ 
Disk-LTiniier operator _- 

Kli lor assembler 

Sandblast x I 

Chipper, foundry 

Molder helper III -. 

Boiler tester 

Kivet catcher 

Bucker-up II 

Riveter, hydraulic 

Riveter, pneumatic I 

Rivet heater, electric 

Chiinier, metal - 

Welder, spot 


Punch-press operator I. 

Punch-press operator, hand 

Wire-screen weaver, machine 

Sheet-metal worker helper 

Sheet-metal fabricating machine operator.. 

Briike operator, h ird - 

Refr it'i-rator-trim assembler 

T>ib )rer, nrocess (machine manufacturing) . 

Solderer I 

Welder h Iper, acetylene 

Final assembler I. 

Riverter, aircraft 

Car trinuner II 

Painter, spray I , 

Painter, rough 

Roofer, asphalt, tar, and gravel.. 

Pipe-fitter helper ■ 

ChaulTeur II 

Truck driver, heavy.. 

Truck driver, light . 

Packer .. 

Fireman, stationary boiler 

Beltman I 

Machinist apprentice 

Electrician apprentice 

Boilermaker . .. 

Sheet -metal worker apprentice 

Ornamental iron-worlcer apprentice. 

Laborer, process (wood w^jrking) 

Laborer, process (furniture) 

Laborer, process (anununition) 

Laborer, process (machine shop) 

Laborer, process (foundry) 

Welder, acetvlene 

Stock clerk II 

Laborer, process (iron and steel) 























































1 to 2 2 to 4 

months months 



















September 1941 to Fehrxiary 194'2 — Continued 



Laborer, process (boiler making) 

Laborer, process (forging) 

Laborer, process (machine tool and accessories) 

Laborer, process (electrical equipment) 

Laborer, process (automobile manufacturing) 

Laborer, process (locomotive, car building and repairing) 

Laborer, building 

Laborer, railroad 

Laborer (furniture) 

Laborer (ammunition) 

Laborer (iron and steel) 

Laborer ( foundry) 

Laborer (boiler making) 

Laborer (forging) 

Laborer (heat treating) 

Laborer (locomotive, car building and repairing) 

Laborer (automobile manufacturing) 

Laborer (electric equipment) 

Oiler I 

















1 to 2 







2 to 4 


5 to 6 


At the present time in St. Louis the aircraft industries are emplojnng approxi- 
mately 6,000 workers and it is expected that this figure will be increased to approxi- 
mately 14,000 when the peak of production is reached in July 1942. Previous 
figures for production workers for the Airplane Gun Turret Plant, which should 
be completed during January or February 1942, remain at 5,000. 


At the present time, the munition and powder plants of St. Louis are employing 
approximately 1,400 men and by September 1942, will employ 29,000. 

In Kansas Citj^ at the present time there are 2,400 workers in the munition 
plant with an estimated 6,000 to be emploj^ed within the next 6 months. 


Reports from 298 employers covering industrial activities essential to the 
national defense program indicate the following demand in selected metal- working 
occupations and the supplj^ of qualified and available workers registered with the 
Employment Service: 

Demand and supply, selected metal working occupations, State-wide 



hires from 

September 1941 

to January 1942 

Qualified and 
available v, 

Machinist II- 

Lay-out man 

Job setter II 

Die maker II 

Die setter I 

Tool maker 

Tool inspector 

Tool hardener 

Engine-lathe operator 

Turret-lathe operator 

Milling-machine operator II 

Boring-mill operator 

Shapcr operator I 

Planer operator 11 

Cylindrical-grinder operator 

Sheet-metal worker II 

Sheet-metal lay-out man 

Sheet-metal worker, aircraft. 



















It is to be noted from these demands that shortages are very apparent in the 
machinist, tool, and die makers and aircraft occupations. 

3840 '^'^'^ ^''^^^'i^ iJEAUL\(;s 


The shortage of sewing-machine operators continues and during the month 
permission was secured for the training of power sewing-machine operators, which 
previous to this time was not on the approved Hst of occupations for defense 


A subcommittee on farm labor has been organized in every county in the State 
and the extension service has a list of committee members in all but 15 counties. 
The report submitted by subcommittees indicates that no shortage of regular farm 
labor exists. Apparently, the suppl}- of seasonal labor for harvest ing some crops 
is rather scarce, due largely to the fact that wages paid farm labor are relatively 
low in comparison with wages in other occupations. A rise in the wages paid 
farm labor would insure the necessary supply of seasonal labor, according to sub- 
committee reports from the counties. However, it is becoming increasingly ap- 
parent that farm labor will become more difficult to secure and that it will be 
almost impossible to secure hands at rates people have been accustomed to paying 
in the last several years. 


The inventory of fully qualified and available workers in selected occupations 
as of October 18, 1941, shows that in the State of Missouri there are 14,910. There 
is further indication that employers are beginning to upgrade workers and dilute 
jobs in order to meet the increasing stringencies in all of the metal craft and 
machinist classifications. 


Training within the State is progressing according to the schedule set up by 
the council of administrators for defense' training. A summary of these training 
classes is as follows: 

VE-ND ' training plan, as of Oct. 15, 1941 

1. Total number of training areas in State 18 

2. Total enrollment' in all areas 3, 494 

3. Total number of courses in all areas 165 

4. Total number of above areas offering supplementary courses 10 

5. Total number of above areas offering preemployment and refresher 

courses 13 

6. Total number enrollees in supplementary classes 1, 243 

7. Total number enrollees in preemployment and refresher 2, 251 

8. Total number of areas offering National Youth Administration defense 

training 6 

9. Total number of enrollees in National Youth Administration defense 

training classes 651 

Regular National Youth Administration training program, as of Oct. 15, 1.941 

1. Total number of training areas in State 25 

2. Total enrollment in all areas 5, 433 

3. Total number of courses in all areas 139 

OSY^ training program, as of Oct. 15, 1941 

1. Total number of training areas in State - 42 

2. Total enrollment in all areas 966 

3. Total number of courses in all areas 88 

4. Total number of above areas offering Civilian Conservation Corps training. 7 

5. Total number of Civilian Conservation Corps courses 9 

6. Total enrollment in Civilian Conservation Corps courses 120 

' Vocational Education-Natioiinl Defense Training Program. 
' Out-of-School Rural and Nonrural Youth Training Program. 


Preemployment defense training by occupations {Oct. 15, 1941) 



ber of 

in train- 

Aircraft riveting- 

Springfield.. ..- 




Flat River 


North Kansas City 


St. Louis 




Flat River 


Aircraft sheet metal . 


St. Charles 


Kansas City 


Joplin . . 


Hannibal .. 




Jefferson City.. 


St. Louis 




Total .. . . 


St. Louis 



Chipping (metal or air hammer) 


Kansas City 

Electric welding 


St. Louis 




St. Louis 



Oxyacctylene welding 


Kansas City 


North Kansas City 

Fort Leonard Wood . ... 




St. Louis.. 


Gas welding 


General welding (type not designated) 

Kansas City 


St. Louis .... 


St. Charles 






Clayton .. . 






Kansas City. 





Foundry work.. 


Jefferson City. 

Metal work (bench or general).. 




Kansas City 


Jefferson City 


St. Louis 


North Kansas City 


St. Joseph 




Flat River 
















Sheet metal work (general) 


St. Louis .- - 


St. Joseph 


Kansas City 

Clayton . 


Total -- . . 


Jefferson City 


Tool and die making or Jigs and fixtures 






3842 ^'^^- '><»''i^ iii;auin(;s 

VE-SIJ supplementary training in Missouri {Oct. lf>. 1941) 




Machine shop courses. 


WcMinj;. - 


Sheet metal work 

Aircraft sheet metal. 
Aircraft jia; building. 
Teacher training _ .. 
Explosives . 

Drafting and hiymii - 


Aircraft foremanship. 


Chipi)iniJ (air hammer). 
In plant training 

Bonne Terre. 



Kansas City. 


St. Joseph 

St. Louis 

Fort Leonard Wood . 



Kansas City 


St. Louis. 

Wood pattern making and machine shop Bonne Terre . 

Fort Leonard Wood. 


Bonne Terre 

St. Louis - 


Ft. Leonard Wood 



North Kansas City 

Kansas City 

St. Louis 

St. Louis 

St. Louis... 









While the e.xact figures are not available, there is a decided migration from the 
smaller communities in the Stale of Missouri to the larger cities. Many small 
communities report that due to higher wages local communities are being sapped 
of their skilled workers. Kansas City especially reports a large in-migration at 
the present time. 

Labor Market Developments 

area 1 (st. lotjis) 

On October 1, 1941, there was submitted to the Bureau an exhaustive survey 
of the labor market developments in the greater St. Louis area. 

Section A 

Decreases in employment due to material shortages. 

No large lay-offs have as yet occurred because of material shortages or produc- 
tion curiailnient. The only large lay-off reported was of 116 Avorkers at the 
Chevrolet Motor Co. This lay-off occurred around September 15, but all of 
those dismissed were recalled after a short period of time. 

There are indications that production curtailment in the automotive industry 
might be reflected in some lay-offs at the Fisher Body Co. and Coverolet Co. to 
become effective to some extent in December and early next year. Some 200 
men were laid off at Fisher Body in July 19-41 and possibly another 400 might be 
affected around December 1941 and January 1942. Chevrolet might lay off 
some 200 or 300 men again around the latter part of this year and January of 


next year. At present Chevrolet is working at capacitj^ and is actually hiring. 
The effect of the curtailment at Ford Motor Co. is not yet known. The plant 
is now en)plo3ang its full force. 

A few plants a^e beginning to lay off workers because of the curtailment of 
production by industries as brought about by the Office of Production Manage- 
ment in Washington. In St. Louis the industrial curtailment is being felt by 
small lay-offs in plants within industry. A number of firms have applied to the 
Division of Contract Distribution, Office of Production Management, asking for 
consideration for materials or defense contracts. 

Surve3's have already been made of the smaller plants mentioned" and of the 
Curtis Manufacturing Co., the Medart Manufacturing Co., and the Wagner 
Electric Co., as a first step in getting information on the numl^er of workers 
likely to be laid off and the classification of work done by these men. 

The Pittsburgh Plate Glass Co. located in Crystal City employing 2,200 workers 
has been effected by the curtailment of automobile manufacturing. This firm's 
production is primarily that of auto glass and reduction of auto production has 
already been felt. Eighty-six production workers in one department of 430 
have been definitely laid off and the balance are on a 3-day week. In another 
department of 110 the entire department is not workuig but the workers are not 
discharged. This latter group comprises electric furnace operators and helpers. 


In the case of/public training, the courses have been arranged to meet the hiring 
schedules of the various companies. As a result, about 80 percent of the gradu- 
ates of aircraft and machine operating classes are finding work. It is difficult, 
if not impossible, to indicate the reasons why the remaining 20 percent of these 
graduates from the aircraft and machine operating classes are not obtaining 
employment, as there are among them students with good as well as inferior 

In the welding classes the percentage of the total number of graduates placed is 
even higher. The chief reason for not getting a job in this trade seems to be an 
unwillingness on the part of the graduates to accept a beginner's job at a low rate 
of pay. 

The percentage of auto mechanic graduates placed is low. All indications are 
that there has been only a very small increase in the demand for auto mechanics. 

All of the graduates from the chipping class, which is for colored persons, have 
been placed. 

The placement record of the private aircraft schools is entirely satisfactory, 
although there is often a month or more lag between graduation and placement. 
About one-fourth of their graduates leave town for jobs. 

It is impossible to check on the graduates of the various private welding schools 
because of the unreliable information given out. 

There is no change contemplated in the set-up of training courses at the present 
time, except that the Wellston school is attempting to secure equipment to give 
a more diversified machine operation course, principally on grinders. The peak of 
preemployment training will probably be reached this year and the trend will then 
be to supplementary training. 

In September there was announced a National Youth Administration defense 
production training program for young women for men's jobs on defense machines. 
Ten women, between 17 and 25 years of age, are being given training to familiarize 
them with machine work and related training, as well as actual experience in 
handling lathes, presses, and grinding machines. After preliminary tests for 
manipulative dexterity and aptitude the trainees get introductory shop training 
and then are admitted into the machine shop. 

Fifty girls are now in training at Hadley Vocational School on double needle 
and special sewing machine operations in classes sponsored by the Employment 

The listings of public training (preemployment and supplementary), private 
training (preemployment) and on-the-job training classes and enrollment follow 
the report in appendix A. 


Some construction workers are leaving the St. Louis area for Neosho and 
Louisiana, Mo., where there are large construction projects under way. Also, 
there are some going to the State of Louisiana and to other Southern States where 
construction projects are located. These are primarily skilled construction 
workers, such as carpenters, bricklayers, etc., and also include construction 
estimators, expediters, draftsmen, and foremen. 



A very few clerical workers, particularly legal stenographers and stenographic 
typists, have been sent to Louisiana, Mo. 

There is very little or no migration of machinists, tool makers, etc., to sections 
outside the St. Louis area. 

A survey of our intake activities shows for a 30-day period that over 344, or 
5 porc(Mit, of our new applicants coming to our office were nonresidents of this city. 

Of this influx the greatest portion, or about 90 percent, come from southeast 
Missouri, Arkansas, and the towns along the Mississippi River and the eastern 
counties of Illinois. These people are both men ancl women, having a wide 
range in ages and are princij^ally looking for defense jobs. Newspaper and radio 
accounts largely for their being here. 

Tlie St. Louis metropolitan clearance area which includes St. Louis, Crystal 
City, Washington, St. Charles in Missouri, and East St. Louis, Alton, Belleville, 
Granite City, and Edwardsville in Illinois, has accounted for the orderly migra- 
tion of about 127 workers from Crystal City, 20 from Alton, 100 from East St. 
Louis, 25 from Edwardsville, and 20 from Belleville to serve as trainees for pro- 
duction on ordnance or for guard jobs. 

There appears to be no particular problem of migration in and out of workers 
in this area. 

Aircraft manufacturers have come to the employment service to recruit workers 
from training classes, both from the St. Louis area and outside of the area, and 
also to recruit workers from private schools in order to use the testing facilities of 
our office to cull out ineffective workers. 

Recruitment methods. 

Scouting is still being carried on by industrial plants to secure highly trained 
personnel such as engineers, designers, tool makers, and key personnel. 

In order to keep in close touch with the needs of the United States Cartridge 
Co., an employee of the State employment service has been assigned on a perma- 
nent basis with responsibility for all relationships between this office and the 
plant named. This individual has been given a company badge, picture, etc., 
and has free run of the employment office and the training plant, thus enabling 
the employment service to know at all times the needs of the United States 
Cartridge Co. and its employment problems. 

At a recent meeting with the company officials of United States Cartridge Co., 
the policy of hiring at the gate was discussed and reasons given for its continu- 
ance. They stated that if a qualified applicant applies to them for work and their 
personnel department directs him to the employment service, he will go to 
McQuay-Norris or some other plant and get a job instead of coming to the 

Arrangements have been made with the central officers of both the American 
Federation of Labor and the Congress of Industrial Organizations unions for the 
registration of their total membership. The object of tliis registration is to care- 
fully interview all members in the two organizations in an attempt to determine 
skills not used and to be ready to negotiate transfers into defense industries if 
and when the time comes. 

In St. Louis there are 14 American Federation of Labor labor councils and 212 
locals, and also there are 20 union councils and 79 locals in the Congress of 
Industrial Organizations. 

The American Federation of T^abor program is included in the following trades: 


Building trades 

Brewery workers 


Garment workers 

Hotel and restaurant employees 

In the Congress of Industrial Organizations program arc included the following: 

Iron workers 

Boot and shoe workers 

Union labor trades 




Clothing workers 
Communications workers 

Construction workers 
Automobile workers 
Electrical workers 
Federal workers 
Glass workers 

Fur workers 

Leather and luggage workers 

Mine workers 

Newspaper workers 

Optical workers 

Woodworking trades 

Retail and wholesale employees 

Plvwood and veneer workers 


The secretaries of the central councils for these organizations have estimated 
that there are approximately 50,000 individual Congress of Industrial Organiza- 
tions rhemberships in this territory and 128,000 individual American Federation 
of Labor memberships. 

Pirating of workers. 

Pirating of workers is still taking place between firms producing ordnance. 
For example, screw-machine operators are being offered more money by one firm 
to induce them to leave another. Efforts by Office of Production Management 
representatives to effect promises of nonaggression are of no avail in one or two 
places. Ordnance manufacturers indicated that they would effect a transfer of 
workers from plants affected by priorities or curtailment of production only when 
production jobs were available. There was an expressed readiness to discuss the 
proposal when the time was ripe. 

A newspaper article written in the Globe-Democrat and quoting N. B. Pollister 
of Busch-Sulzer Bros. Diesel Engine Co. in September described a loss of skilled 
mechanics to other defense industries. It made appeals to workmen on a basis 
of more continuous work over a longer period, although at a lesser scale. It 
insured workers' jobs until 1944. It appealed to the skilled workers 60 years 
old or more, who knew their jobs and also to the Missouri State Employment 
Service, the American Federation of Labor and the Office of Production Manage- 
ment to scan the personnel of non-defense industries for firms threatened with 
shut-downs by priorities. 

This office is planning a comprehensive registration of high-school students 
between 16 and 18 years of age. Discussions with the various school principals 
are anticipated to make plans for the registration and to foster closer relationship 
and understanding between school advisers and employment counselors and to 
encourage school advisers to visit the employment office. This program should 
place the employment service more firmly in the minds of these young people 
who are registered and who are soon to become active participants in the labor 

The registration is to begin about November 1 and thus should assist in making 
an additional supply of available applicants who might assist in the Christmas 
rush, even though they are enrolled in school. 

Other develoTpments. 

Labor disputes in the St. Louis area are now at a minimum. The only contro- 
versy of any note, which threatens to become of extreme importance, is a juris- 
dictional dispute at the TNT plant involving machinists and hoisting engineers. 
If an agreement is not reached soon, a general strike of 7,000 American Federation 
of Labor machinists has been threatened. Of this 7,000 80 percent are working 
on defense orders. The question in dispute is based upon who has the right to 
bargain for 22 mechanics employed b}' Fraser-Brace Construction Co. Recently 
60 machinists at the United States Cartridge Co. went on a sympathy strike. 

Strikes are still in effect at three large hotels and cold storage companies. None 
of these has as yet affected the labor supply for defense industries. 

The strike of Local 1080 of the Congress of Industrial Organizations Steel 
Workers Organization Committee, closing four automobile and truck-body 
companies and involving some 350 welders, metal workers, assemblers, and press 
and shear operators was settled on October 10. A general increase of 6 cents 
per hour was allowed for the present and an additional 4 cents in January 1942. 

Transportation offers no problems and evidence indicates that such will be true 
for some time to come. 

Housing for the present is adequate. 

Section B 

Labor developments in the construction industry. 

From all indications there continues to be an adequate supply of building labor- 
ers available for any construction activities in sight. 

Edwin Meinert, secretary of the carpenters' union (American Federation of 
Labor) states that the peak employment for carpenters was reached during the 
months of June, July, and August, and that the level of employment for carpen- 
ters will soon begin to decline rather rapidly. He estimated that at the peak of 
employment about 5,500 American Federation of Labor carpenters were working 
on defense and other large projects. About 4,000 men are members of the 
St. Louis local and the 1.500 come from the outside. At the present, about 900 

SS^Q ^''- J'*'ii^ iii;ai{i.\(JS 

of tlicsc iiu'ii fidiii tlic outside, \\n\v nu)\<'(l into other ureahs or have .secured jobs 
outside of the huildiiiK trades. The local has issued stop orders on further niijfra- 
tion tg the area and has not experienced any difficulty in filling all orders for 

Itesidential builders liave experienced difficulties in k('('i)iii>; llicir carpenters and 
cement finishers because of the wages and hours difi'ereiit ial on defense and heavy 
types of const ruction jobs. Also there has been a serious material shortage in 
residential building. ])art icularly in plumbing sujjplies and fi.xtures, consec|uently 
there has been an indirect curtailment of job opportunities for all of the l)uilding 
trades in the residential field. 

This fact makes a large supply of construction workers available for defense 
projects and also makes them available for defense production if they possess the 
requisite secondary skills. 

Iron workers, electricians, and sheet-metal workers have been somewhat scarce 
and there has been some tendency to grade down job specifications. 

lOdward Donnelly, secretary of the bricklayers' union, reports tio sliortage of 
bricklayers for defense projects. Tlie local has been able to meet practically all 
needs and many extra have been availal^le to them from the outside areas. At the 
present time a considerable number of Ijricklayers are experiencing lay-offs. 

The American Can Co.'s new $2,000,000 plant is now in the first stages of con- 
struction. This should develop considerable demand for carpenters and other 
workers in the building trades, and should in turn counteract some of the lay-offs 
on defense projt^cts which are nearing completion. 

The following paragraplis will l)riefly describe the labor situation applied 
spacifically to (lie various large defense construction projects in the 8t. Louis area: 

Emerson Electric Co. — The Emerson l']lectric Co. is still in the early stages of 
construction work on a gun turret plant which is to be completed somewhere near 
March 15, 1942. At the present time, it is estimated that the plant is between 
one-fourth and one-third completed and the peak of employment has been reached 
for all occupations except that of carpenters and laborers. The peak of tftese 
two classes will be in November of this year. It is not expected that there will 
be any difficulty in filling these openings due to the layoffs on other projects. 

Cnrliss-Wright Aircraft Corporiiliott. — The plant expansion for this concern has 
readied about 90 percent comi)letion, l)ut recently a small, old factory building 
has been emptied and removed, and in its place is being erected a new building 
to become a i)art of the main factory. This is the last phase of the job, and a 
small increase of workmen is expected temporarily in their respective trades. It 
is anticipated that this project will be com])leted next month; consequently, 
layoffs may be expected soon. 

United States Cartridge Plant. — The construction of this plant has reached 
approximately 40 percent completion and the peak emjjloyment for all trades 
will be reached in November 1941, with emphasis probably on carpenters, brick- 
layers, and painters. Cirading and foundation workers will soon graduallj' 
decrease. All workers for this project are being supj^lied by the unions and there 
has been no recruiting through the Missouri State Employment Service, except 
a number of clerical and professional workers. There is still some hiring taking 
place on this project, but no difficulty is anticipated in finding those iifH'ded. 

Weldon Spring Ordnance Plant. — The coiistruciton of this ordnance plant has 
reached somewhere near 55 percent ct)mpleti()n and is to l)e totally completed by 
April 1942. Peak employment for all occupations except carpenters and cement 
finishers was reached (his month. The pcnk for carpenters and cement finishers 
will be reached in Novem])er. Mechanics and laborers are being furnished by 
the American Federation of Labor union locals. Apparently there has been no 
serious material difficulties. There is no layoff expected soon. 

Jefferson Barracks. — This project, consisting of the construction of a (),000-man 
cantonment, is practically completed and the lalH)r force is being rai)idly dismis.sed. 
The job is now in the clean-up stages. The completion of this i)rojec( will release 
ap{)roximately 3.000 construction workers, which includes ()0 carpenters, 100 
laborers, 10 electricians, 12 sheet-metal workers, 5 i)lumbers, and G iron workers. 

Clinton-Pedbody Terrace.- The construction of (his housing jiroject has reached 
approximately 35 percent completion and the probable final conii)letion will be 
in July 1942." All of (he labor is furnished by (he union locals wi(h no Missouri 
State Employment Service participation. The employers s(a(e that the out- 
standing diffiiculty which they are experiencing is a large labor turn-over due to 
a feeling among the workers that they can get in more time on the various defense 
projects. Peak employment has been reached and no more hiring is anticipated. 
There are no expected lay-offs within (he nex( month. 

Carr Square Village. — This housing i)n)jec(, as tha( above, is about 35 percent 
completed with final completion abou( July 1942. All skilled labor is furni-sbpf^ 


by the American Federation of Labor locals and there is no Employment Service 
participation. Peak employment was reached on this project in August and there 
is no expected lay-off within the next month. 

Labor developments in ordnance manufacturing. 

United States Cartridge Co. — There are about 2,000 now employed, 850 of which 
are in training and the remainder working at the tool and machine shop, in the 
personnel department and in the downtown office. 

There is an open request for machine adjustors for training. These men are 
being hired as they can use them. At the present we are meeting their demands 
through this office and the metropolitan clearance. 

Supervisory workers are needed and are hard to locate. Clearance has gone 
out to Illinois, Indiana, and Wisconsin, in an attempt to locate 80 men. Tool 
inspectors, precision grinders, and cost accountants are scarce and have been 
cleared through Illinois, Indiana, and Wisconsin. Women line inspectors are 
being recrtiited here with testing a part of their specifications. Some 125 women 
are being interviewed and given tests. 

At the present, orders placed are predominantly for supervisors, inspectors, 
foremen, clerical, production clerks, tool makers, tool crib clerks, etc.; that is, 
those who will have key positions when production actually gets under way. 

McQuay-Norris Ordnance Co. — This concern has been cooperating with the 
Missouri State Employment Service to fill some key positions. At the same 
time they have seen fit to advertise under their own name in some of the industrial 
centers in the North and East. 

Requisitions are now being filled for such jobs as tool grinders, gage makers, 
heat treaters, centerless grinder operators, automatic screw-machine operators, 
inspectors, tool makers, and screw-machine foremen. Clearance orders have 
gone out for production superintendents, gage makers, centerless grinder operators 
and set-up men, tool makers, tool designers, and tool grinders. 

At the present time, there are some 640 persons employed, 150 of which are 
office and clerical, and 490 are in training as screw-machine operators. 

Atlas Powder Co. — The employment service is receiving 100 percent cooperation 
from this firm, and while they are taking applications in their own office and filling 
some of the jobs from these ajoplications, they have not as yet resorted to advertis- 
ing or calling any of the fee agencies. 

Production is just now getting under way and large orders have gone out for 
foremen, guards, box makers, stenographers, firemen, acid men, pipe fitters, and 
welders. Evidence indicates that the existing labor supply in this area will be 
adequate to meet demands. Some key positions are still being filled from outside 
the State. About 40 trainees were sent to Joplin to receive instruction so as to 
act as supervisors and foremen when the St. Louis plant went into production. 

Emerson Electric Co. — The turret division has some 600 on the pay roll at the 
present. Of these, 400 are being trained as foremen, supervisors, and trainers. 

Their schedules call for first production of turrets in November of this year 
with a gradual stepping up to 100 in February, 200 in March and April, 300 in 
May, and on to 1,000 per month within the next few months. 

Equipment schedules call for lathe, drill press, milling machine, precision 
grinder, shaper, hand screw machine, turret lathe, automatic screw-machine, 
boring, tapping, vertical milling machine and gear-cutting machine operators to 
a total of some 800 men as indicated in their present production planning. These 
men are to be trained as indicated in the preceding paragraphs on training. 

Labor developments in the machine tool industry. 

The Landis Machine Co. has very quickly broken down its operations into 
simple jobs. They have their own tool and die makers and no shortage of man- 
power at present exists. 

In the industry in general where skilled workers are needed they are very hard 
to obtain, but no urgent demands are being made. 

In general, there are shortages of machinists, die makers, tool makers, milling 
machine operators and set-up men, engine lathe operators and set-up men, turret 
lathe operators and set-up men, power brake men, shop foremen, automatic screw 
machine set-up men and precision grinders. 

Labor developments in the aircraft industry. 

In the aircraft industry the current requirements for machinists and tool and 
die makers is short by some 100 workers. 

Experienced final assemblers and sheet-metal fabricating machine operators 
are needed at Curtiss- Wright and are being recruited from outside of the area. 

60396 — 12— pt. 23 11 


Sufficient sheet metal aircraft workers for present needs are available from the 
training schools in St. I.ouis and outlying areas. 

Labor developments in the clothing and shoe industry. 

At the present time, the garment industry is slow, due to the fact that this is the 
sample-making period. The power machine operators that were laid off for this 
cause have been absorbed in other industries, such as the underwear, men's robes, 
etc. In a period of 6 weeks, this area will be experiencing again the decided short- 
age of trained power machine operators. 

This is also true of the shoe industry. We have utilized all of the experienced 
operators in this industry by transferring them to similar industries such as 
leather novelties, women's belts, etc. 

The Evr-Klean Seat Cover Co. experienced a severe curtailment of their ma- 
terials which necessitated the closing of one of their shifts. This created a mass 
lay-off of about 50 power machine operators, but these have been quickly absorbed 
in other industries making barrack bags, army tents, etc. 

Labor developments in the clerical and professional field. 

In the professional field there has been a definite increase in the demand for 
engineers, both civil and mechanical, but especially for mechanical. The supply 
of qualified applicants in this field is so depleted that an acute shortage exists. 

There is also a marked shortage of pharmacists with an age range of 30 tO' 
40 years. 

The demand for clerical workers continues to be very high. The majority of 
calls are for stenographers, billers, and bookkeeping machine operators. The 
supply of young men (jualified to fill these jobs seems to be almost exhausted. 
This has been caused by the draft taking qualified people out of industry and an 
effort to replace them by j'ounger boys, or those having definite draft deferment 
ratings. Many employers are expressing a willingness to take young men w'ith 
typing ability and train them on the jobs. This is especially true of billing 
machine operators. The fact that many young men who previously would have 
been interested in clerical work are now entering other fields which offer training 
and much greater remuneration on the job causes the demand to much exceed 
the supply. 

Labor developments in the sales field. 

There has been no appreciable change in the sales situation over the last 30 
days and there is no indication of any change before Christmas. There is a 
steady demand for retail sales help in neighborhood stores and a noticeable lack 
of experienced qualified applicants. The outlying stores have begun to broaden 
age restrictions and there is an upward trend in wage offers. No shortening of 
hours is noticeable as yet. There are some stores, mostly chains, substituting 
women for men whenever possible. 

There has not as .yet been much change in the wholesale field, although there is 
an increasing luunber of slow deliveries and curtailments due to priorities. There 
are an increasing niunber of men available in the various manufacturing trades 
who were earning from $1,800 to $3,600 annually as salesmen. For the most 
part, these men have no special skills or training other than salesmanship. With 
some exceptions, the tendency is to cut down the number of salesmen since dis- 
tribution is no longer a problem. 

Sales of intangibles, particularly insurance and investriients, have increa.sed 
considerably. There has been a noticeable tendency to increase the number of 
salesmen and to raise wages and commissions in these fields. 

Retail sales of all kinds have increased considerably and there are numerous 
openings for women although the wage level has remained about the same. The 
number of women available for sales work has been restricted due to better job 
opportunities in factories. This situation is expected to become more intense and 
perhaps a serious shortage of qualified sales applicants will develop. 

Labor developments for service and domestic workers. 

The demand for .service workers has increased about 25 percent during the past 
6 months while the supply has decreased drastically as they continue to accept 
better paying jobs in other fields. Although there are still people available for 
jobs, they prefer to remain unemployed and wait for better paying jobs than to 
accept a jol) in this line. 

The most acute shortages are in the following types of workers: Soda dis- 
pensers, bus boys, bellhops, beauty operators, and elevator operators. 

The domestic field is similar to that of the service workers. Demand for 
domestics has increased about 42 percent during the last 6 months while from the 
supply side, there is a noticeable tendency for those capable of domestic work tO' 
"hold off" for factorv work. 



Although the salaries paid domestic workers have increased nearly 100 percent 
the work incentive in this line seems to be of diminished perspective as compared 
to that of other lines. 

The situation at this time does not look very hopeful; the supplj^ will certainly 
continue to diminish and the demand to increase. 

Restrictive employer specifications. 

There appears to be no problem in this area at present due to restrictive em- 
ployer specifications. Something might develop later as the supply diminishes 
but for the present there is no problem. 

Provision for effective utilization of the labor supply. 

At Curtiss- Wright, plans are still in operation as described in the last report. 
Training is being given in machine-tool operation as a break-down of machinist 
and tool-maker classifications. A full-time supervisor of training has been hired 
to guide foremen training, upgrading training and machine-tool and sheet-metal 

McDonnell Aircraft Corporation is still training within its own plant to upgrade 
sheet-metal lay-out men, sheet-metal fabricating operators, machine-tool operators, 
and others. 

Busch-Sulzer Diesel Engine Co. has broken down its machinist assembly job 
according to specifications for the job as set up by the Navy. As we understand 
it, the Navy is supplying the jigs and fixtures, and the job specifications for 
assembh'. However, up to the present time, the jigs and fixtures are not on the 
job and Busch-Sulzer is using their Diesel engine assemblers for the Navy job of 

The Office of Production Management is working through Mr. Cardwell to get 
this plant into a training production for production-line assembly. The Office 
of Production Management is furnishing the training, the place, and is giving the 
supplementary training courses. 

Training will probably be given on lathes, drill presses, milling machines 
grinders, shapers, hand screw machine, etc., as outlined under industries in ord- 
nance production. Some of these trainees will come from the old plant and will 
be upgraded. 

Curtiss-Wright has lowered its .specifications on machinists so as to take on 
less experienced men and those over the 65-year range. 

A more general acceptance of the break-down of skills such as tool makers and 
machinists is evidenced throughout the city. 

In the production plants the 6-day week with two 10-hour shifts is coming into 
being. Also the 9-hour day and the two-shift program is getting some recognition. 
This may be in part to meet the high hourly wages paid in plants operated for the 

The registration of all Congress of Industrial Organizations and American 
Federation of Labor members with check lists for skills and the search for certain 
classes of workers should greatly assist in the orderly transfer of workers to other 

Four hundred and thirty firms used the employment service for the first time 
during the 5-week period ending October 17. 

Appendix A. Public training (preemployment) 



Number of 

Hadley & Wellston 

Machine operators, engine lathe, mill- 
ing lathe, shaper, etc. 
-do .. 


National Youth Administration 

Do . 

Hadlev & Wellston 

Woodworking ... . 

Aircraft sheet metal riveting and as- 
sembly, hand forming. 



Hadley & Wellston 



Auto mechanic 


Washington Tech 



A. Labor market developments in the area. 

1. Decreases in employment due to material shortages and priorities. — While 
complete surveys and careful checks on all industries which might be afl'ected by 



material or quota priorities are heiric: niade at the present time, only in scattered 
instances so far have actual lay-olfs of workers occurred due to this factor. Check 
sheets are heing obtained from all autouKjtive workers at Fisher liody, Chevrolet, 
and Ford Motor Cos. pending information as to actual reduction of pay rolls 
due to quota curtailment. Low stock i)iles within the metalcraft industry are 
being watched almost daily as possibilities for lay-offs to enter the i>icture. Place- 
ment statistics within the local office maintain about the same average as in the 
last few months, with the nuijority of increased em])loyment occurring in i)lant8 
processing defense contracts. Miscellaneous employment opportunities are in 
general slightly better than a few months ago due to an increase in retail and 
service business. 

2. Training. — Training within the area is progressing nicely according to the 
schedule set up by the council of administrators for defense training. At present 
there are 340 trainees in school, with 92 others on the waiting list ready to go 
into training when vacancies in the classes permit. Additional code C, or poten- 
tial trainees, arc being interviewed each day, so that little difficulty is anticipated 
in the near future in keeping the defense training classes properly supplied wi+h 

There are 338 workers who have completed training in 11 different occupational 
groups and are considered partially ciualified anrl available for referral as a result 
of this training either public or private. The number of workers made available 
by public national defense training courses will be considerably accelerated 
within the next month or so when the new training facilities outlined in last 
month's re[)ort become available. 

Under present needs and demand schedules, training is adequate to keep up 
with current requirements, and plans for expansion indicate that this condition 
will prevail in the future. 

3. Migration into and out of the area. — In order to ascertain the extent of in- 
migration into the Kansas City area, a com))lete check has been made on the 
status of 2,518 ap])licants registering in the local office between September 15, 
and October 1, 1941, as to their j^eriod of residence within this area. The results 
of this check, as shown l^elow, indicate that 38.13 percent have lived within the 
local area less than 1 year. A finer break-down shows that of this group 14.87 
percent have lived within the area less than 1 month. A study on the basis of 
3 months' residence found 26.83 percent of the new applicants falling within this 
group. A study of new applications of persons residing in the area less than 6 
months showed 32.27 percent of all new applicants falling within this group. 
Only 61.87 percent of new applications taken in the local office within this period 
have resided in the local office area over 1 year. As indicated in the chart, this 
study was made in separate age groups and by sex. The results of the check 
show that a majority of the in-migrants are men, and the largest percentage of 
these are in the age group from 18 to 35. 








In Kansas 

City area 

less than 1 


In Kansas 

City area 

less than 3 


In Kansas 

City area 

less than 6 


In Kansas 

City area 

less than 1 


In Kansas 
City area 
over 1 year 

Total aU 














A ---- 






























B -. 






E - 

14 87 

26 83 

32 27 

38 13 

61 87 











Line A represents age group 18 to 35. 

Line B represents age group 36 to 50. 

Line C represents age group 51 and over. 

Line D represents total of all age groups. 

Line E represents total of sex groups. 

Line F represents grand total of groups. 

■Column 1 represents persons who have been in the area served by the Kansas City ofRce less than 1 month. 

■Column 2, less than .3 months. 

•Column 3, loss than 6 months. 

Column 4, less than 1 year. 

Column 5, over 1 year. 

Column 6, totals for male and female. 

Column 7, combined total of male and female. 



While no detailed studies have been possible as to workers leaving the area, 
clearance activities and results of talking to numbers of applicants within the 
local office would indicate that a good many men are following defense construc- 
tion jobs from this area, hence leaving the local labor market temporarily. 

4. Changes in methods of recruiting labor. — In occupations of stress in the local 
labor market, field calls have been made to industries employing such workers to 
recruit through cooperation of the respective employers any migratory workers 
appearing direct at the employers' gates who are not immediately needed for open 
jobs within the employers' businesses. Continuing cooperation with labor unions 
and civic organizations has stressed the necessity of complete registration of all 
local workers at the employment office. Visits to all local draft boards and meet- 
ings with employment committeemen have set up the basis for complete coopera- 
tion in the handling of returning selectees. 

Also, in addition to news items in the local papers, Kansas City has been selected 
as an experimental office in the use of display advertising in the want ad sections 
of the two metropolitan newspapers. Single-column seven-inch ads have been 
inserted by the regional office of the Social Security Board instructing applicants 
in ten occupations of stringency to report to the local employment office for inter- 
view. Salaries in this ad have been listed at from 65 cents per hour to $350 per 
month as starting wages. Occupations covered were tool designers, aircraft 
sheet-metal workers, floor molders, wood-pattern makers, engine lathe operators, 
all-around machinists, milling-machine operators, tool makers, and loftsmen. 

In addition to these methods, check sheets have been distributed in the three 
motor assembly plants, Fisher Body, Chevrolet, and Ford, and the local office 
has put on a night shift until 10 o'clock each evening to reinterview all automobile 
workers as scheduled from the respective plants and union organizations. Also 
during the night shift, employed workers who cannot report during the day are 
instructed to come in for interview, and within this group a few needed men are 
being recruited from nondefense industry and from jobs where full skill is not 
being utilized. 

As a further check augmenting the items listed in the chart from 1 to 7, addi- 
tional studies have been made during the current month within the local office 
as to the number of workers currently in the labor market but unemployed and 
currently in the labor market but employed. In the case of new applicants who 
are unemployed, the break-down shows the percentage of those who were last 
employed in the Kansas City area and those who were last employed outside the 
Kansas City area, regular and temporary, by sex. Column 10 presents some 
rather interesting figures as to the number of employed workers registering at 
the local office during the current month, with a total in all age groups, male and 
female, of 18.51 percent of new applicants falling in this category. Column II 
shows the percentage of new applicants in the local office during the current 
month who were entering the labor market for the first time, and column 12 
shows the percentage of workers who were reentering the labor market. 

Last employment in 
Kansas City area 

Keguiar Temporary 





Last employment outside 
Kansas City area 

Eegular Temporary 







at time of 





labor market 

first time 



















































Line A represents age group 18 to 35. 
Line B represents age group 36 to 50. 
Line C represents age group 51 and over. 
Line D represents total of all age groups. 
Line E represents total of sex groups. 
Line F represents grand total of groups. 

gg52 ST. LonS IIKAKIN(;S 

A further study of the applicants in the local office duriuR the current month, 
columns 13 and 14, shows a break-down of percentages of ai)i)Hcants expressing 
preference in placement within certain occupational groups following the lines of 
their regular occupations. Column 14 indicates the percentage of these people 
making apiilicalion in tlie local office who expres.sed no occupational preference 
at the time of interview. 

In many instances wliere aptitudes and some knowledge of the industry war- 
ranted, ai)plicants expressing preference in occupations other than their regular 
work were found to be candidates for defense training to make them qualified and 
availal)le for the occupations of their i^refcrence. 



Occupational preference 

No preference 

Regular occu- 

Other than regu- 
lar occupation 















55. 18 


B - 




D - 


E --- 



93 43 




Line A represents age group 18 to 35. 
Line B represents age group 36 to 50. 
Line C represents age group 51 and over. 
Line D represents total of all age groups. 
Line E represents total of sex groups. 
Line F represents grand total of groups. 

B. Labor market developments in important industries in local office area. 

The major industries affecting the labor market in the Kansas City area are the 
food-processing industry, the garment industry, and the metalcraft industry. 

1. The food-processing industry. — (a) Relation of demand to supply of labor: 
Labor requirements within this industry call for no special training of the majority 
of workers, so that new workers may be inducted into a great number of the jobs 
from many diversified occupational groups. While demand for labor has shown 
some increase within the current month, supply has proven entirely adequate and 
no difficulties are anticipated in the near future. 

(b) Restrictive employer specifications: There are no restrictive employer 
specifications within this industry that would limit seriously the employability 
of available applicants. 

(c) Utilization of the local labor supply: Very largely throughout the food- 
processing industry local labor supply is being utilized in both majority and 
minoritv groups, with race, creed, or color having little effect on utilization. A 
great number of female workers are used in the packing, wrapping, and boxing of 
food items within this industry, which further adds to the flexibility in the handling 
of orders from these firms. 

2. The garment industry. — (a) Relation of demand to supply of labor: Nearly 
all the major plants in tliis industry have Government contracts for the making 
of Armv or Navy garments, hats, caps, and accessories. The heaviest demand 
for labor within the industry is for powder sewing-machine operators, in which 
occupation fluctuation in employment is so violent as to make any control or 
check of the situation valid only momentarily. In general, so far it has been 
possible to keep up with current demand except in a few instances where employers 
have been unable to get the quality of operators required at the moment they 
w6rG nGGciccl. 

(b) Restrictive employer specifications: Employers within the area are reticent 
to accept beginning w^orkers in many instances because of the expense involved m 
the necessarv training for line production within the industry. Also, older workers 
are frownedupon because in many instances they are "too slow" to keep up with 
the line production pressure. A few employers are taking some trainees into their 
plants at the present time, but very few of them will use any of the older workers 
with Work Projects Administration training in sewing rooms who might otherwise 
be available for power-machine jobs if the qualification requirements w^ere a little 
less stringent. 


(c) Other employment conditions: Employment within this industry is very 
largely dependent upon experience in the handling of the types of materials and 
products, as for instance, coat workers are not considered qualified by cotton 
dress manufacturers, and vice versa. 

3. The metalcraft industry.- — (a) Relation of demand to supply of labor: 
Within this industry, supply would be lagging considerably behind demand if all 
possible expansions were to be met in the four and five code skilled groups. 
However, training, upgrading, job dilution, and extended recruitment are enabling 
the local office to handle the situation so that as yet no major retarding of produc- 
tion has entered the picture. 

(6) Restrictive employer specifications: Many employers within this industry 
-are still using skilled men on jobs which do not require their full skill, and every 
effort is being made by the local employment office to rectify this situation as 
rapidly as possible. In some instances, job changes are inherent in the situation 
as better job opportunities requiring full skill of workers become available and 
workmen change jobs to improve their employment status by the utilization of 
their full skills. 

(c) Utilization of the local labor supply : Every conceivable recruitment method 
has been instigated by the local office to locate and register the entire available 
labor supply for this industry so that there will be no lost skills locally. 

(d) Other employment conditions: Material priorities have entered the picture 
in this industry so that it is anticipated that a few curtailments or shut-downs may 
occur in nondefense plants, making these workmen available to plants with high 
priorities ratings on materials for defense production. While this factor has 
not entered the local market sufficiently to occasion much change of employment 
a,s yet, a number of smaller plants within the industry are expecting to experience 
this difficulty within the next few months. Most of the major plants in the 
industry are either producing or expecting momentarily to receive a sufficient 
volume of defense contracts to keep them busy for some time. 

4. The chemicals and allied products industry. — (a) Relation of demand to sup- 
ply of labor: Within this group, the major plant is the new Remington Arms 
Go's, small-arms-ammunition plant at Lake City to which a great deal of coverage 
has been given in previous reports. With the exception of a few skilled cate- 
gories in which clearance has been requested, the supplj' of workers is believed to 
be entirely adequate to meet the demand both in this plant and in other plants 
within the industry group. There are approximately 2400 workers on the 
Remington Arms pay roll at the present moment, with an estimated maximum 
of around 6,000 to be employed. 

(6) Restrictive employer specifications: It is planned that most of the workers 
in the Remington plant will be trained on the job, so that no difficulty is antici- 
pated in finding the required number of people to fully staff this plant. 

Approximately 1,500 women will be employed as machine operators, which will 
further simplify the completing of the induction schedule as shown in last month's 
report. In some instances, the requirement of proof of citizenship has retarded 
the hiring of a few older workers born in States not maintaining these records at 
the time of their birth, but in many of these cases, affidavits and other docu- 
mentary evidence have been accepted so that this has not proven a major difficulty. 

(c) Utilization of the local labor supply: As previously reported, nearly all the 
workers in the Remington plant will be local people, with the possible exception of 
a few highly skilled men who are being recruited from outside the area to meet 
current demands. 

(d) Other employment conditions: While other plants within this major group 
are all minor parts of the local labor situation, a few smaller firms are expected to 
experience difficulty due to a shortage of some chemicals required in their produc- 
tion. This, however, is such a small factor in the local labor market that the 
over-all effect will be negligible. 

5. The trans-portation equipment industry. — (a) Relation of demand to supply of 
labor: The major plant within this industrial group is the North American Avia- 
tion Cprporation across the river in Kansas. Due to the artificial barrier of the 
State line between the local office area and this plant, the entire metropolitan 
area is affected by the staffing requirements of this plant. 

So far no actual production has been started, but sheet-metal trainees are being 
given their final week of training in the plant at the rate of 50 per week, 25 trainees 
from Missouri and 25 from Kansas. The first group of 25 sent to the plant on 
October 6 has resulted in 17 of the 25 being placed on the North American Aviation 
pay roll. It is anticipated that this schedule will be continued for some time before 
it can be increased to meet the requirements of actual production. It is our 
understanding that the first main jigs in the plant are still in the process of building 
and that it will be after the first of the year before the first plane is rolled off the 



lino. MiscollaiiooiKs workers arc bciiifi hired from holli sicies of the State Hue, but 
as yet no diffieiiltios liave Ixcii experienced. 

\\ith tlio necessity of training all sheet-metal workers through the national 
defense training school before induction into the plant is possible, and with these 
facilities bein^; aumnenled to produce an adequate supply of workers as needed, no 
difliculties are anticipated in supplying the necessary workers to this j)lant. 

(h) Restrictive employer specifications: Ho far no restrictive employer .specifi- 
cations have entered the picture to retard the proper staffing of the plant. 

(r) Utilization of the local labor su{)ply: The local employment odice is con- 
tinuing to test for referral to the schools all candidates showing aptitudes and 
physical qualifications for this work who express an interest in qualifu'ng them- 
selves for aircraft production through training or w^ho have the training or funda- 
mental ciualifieations for work in the plant. There is still a backlog of several 
thousaiui tested candidates for training who will be called into training as rapidly 
as facilities for training are avilable. Statistics as to the present status of this 
training appear in the early part of this report. 

fi. Anticipated hirings by firms reporting under ES-270 program. — Reports from 
102 employers in Kansas City whose industrial activities are of significance to the 
organization of the national defense program indicate that within the next 6 
months these employers expect to hire 6,817 workers. Summary of these expected 
hirings, by occupations, is as follows: 

Summary of employer labor needs, September 1941 to February 19^2 




1 to 2 

2 to 4 

5 to 6 







Mechanical engineer 





















































Draftsman, mechanical . 



Inventorv clerk 

Yard clerk . . 



Production clerk 






Stock clerk II . ... 



Tool clerk 


Porter II 

Elevator operator, freight . . 


Grounds keeper I.. 

Machinist II 


Job setter II . ...... 


Die maker II 

Tool maker.. 


Tool inspector . 


Tool hardener . _ 


Engine-lathe operator .. 




Milling-machine operator II . . 


Inspector _ 

Sheet-metal worker II 


Sheet-metal worker . . 




Welder, arc 

Welder, acetylene 

Welder, combination . 






Electrical repairman 


Lens grinder ... . 


Patternmaker, metal 

Bricklayer II . . 



Carpenter I . 


Carpenter, finish 

Painter I 




Steam fitter 


Locomotiye engineer II .. . . 



Stationary engineer 



AtUomohile mechanic 



Elevator repairman 


Instrument repairman . 

Tool-grinder operator 


Battervman II 


Foreman (machine tool and accessories) 



In the revision of the labor marPcet areas of the State, this area comprising 51 
counties and serviced by 16 offices of the employment service was made to cover 
the north half of the State except those few counties within the St. Louis and 
Kansas City metropolitan areas. This area includes most of the better grade 
agricultural land wliere grain and stock raising predominate. The larger cities 
in the area are normal trade centers with little industriahzation except in St, 
Joseph, which has a population of approximately 100,000. Elsewhere the 
scattered industries are small independent factories or branch plants of larger 
concerns located in St. Louis. Since August 1940 this area has received approxi- 
mately $1,500,000 in defense contracts. However, the greater portion of these 
contract commitments have been for the manufacture of garments for the armed 

Decrease in employment due to material shortages and priorities. 

Decreases in employment due to material shortages and priorities have been 
insignificant. A few small employers are complaining of material shortages but 
resulting lay-offs represent only a small total. Private construction which has 
been quite active is slowing down and some workers are being released. A candy 
company in St. Joseph employing 350 workers announced it would discontinue 
business because of failure to negotiate a satisfactory union agreement but there 
is possibility of a change in attitude of the owners. Cereal manufacturers in 
St. Joseph are contemplating seasonal lay-offs. A structural steel company in 
St. Joseph engaged in the fabrication of structural steel is anticipating a lay-off of 
a small number of workers caused by material shortages. 

A shoe factory at Hannibal is shut down undergoing a changeover from ladies' 
to men's shoes and all of its 800 employees will be reemployed about December 1, 
A company manufacturing metal furniture in Hannibal expects to lay off approxi- 
mately 115 employees due to material shortages. 

Training of workers. 

Although the area has not been affected materially by national defense con- 
struction or production, defense training continues at several points. Recent 
reports from the State Advisory Committee for Vocational Education show the 
following enrollments in preemployment refresher and supplementary training 
courses: Aircraft sheet metal, 98; welding, 26; bench metal working, 13; machine 
shop, 24; tool and die making, 17; and specific machine operating, 466: total, 644. 
National Youth Administration residential training centers have been established 
in Louisiana and Fulton. Training in industry courses in sewing machine opera- 
tion are being conducted in Marshall with 87 enrollments. Practically all trainees 
completing these course have been placed. The University of Missouri at Colum- 
bia is conducting classes in machine-shop practice and has liad no difficulty in 
placing trainees. An airplane propeller plant in Columbia has had some difficulty 
in securing workers in some skills and is now training gluers and whittlers in its 
plant. Elsewhere very little in training is reported. 


Migration from all points in the area, except Louisiana, continues, particularly 
construction workers, and some who have not left are waiting for orders from 
defense areas. Louisiana recently received the first major defense project in this 
area and is sharing with St. Louis, Neosho, and the other areas this immigration. 
Many of the workers have left the State, notably to the west coast. 

Other developments. 

Stoppage of work because of labor disputes has not been noticeable. Few 
strikes have been reported and they have been settled quickly. Labor pirating 
has not become evident although some competition for workers is developing in 
lower salary ranges in restaurants and retail stores. 


Throughout the area there are seasonal demands for agricultural workers. 
The difficulty in obtaining workers has been due to low wages offered rather than 
to unavailability of workers. Where wages have been reasonably comparable to 
wages paid in other lines, the supply of seasonal as well as regular farm workers 
has been adequate. 



Construction of the anhydrous-ammonia plant at Louisiana has been slowed 
down by rains. The land has been acquired, contour survey completed, and the 
survey crew is layinfj; out plans for buildings. Some grading has been done for 
the erection of temporary ollJces. The construction quartermaster has been 
recruiting office workers through the Employment Service but there are less than 
100 workers on the contractor's pay roll. The peak employment on the project 
is still indefinite but it is cjuite probable the previous estimate of 5,700 should 
be reduced. Indications are that a large percent of workers will b(! laborers of 
which there is an abundant suj)ply. Some skilled workers are inmiigrating and 
these with those awaiting clearance orders through other oflices will be sufficient 
for all contemplated needs. 

Other industries. 

Other industries in specific defense categories are not important in the area but 
there is one that seems important to the defense ])rogram. The largest ceramic 
clay deposits in the world are in this area. Firebrick and kindred products are 
essential to construction of foundries and power i)lants in ships. The three com- 
panies in this line at Mexico produce an important part of the world's supply. 
They are working at capacity but have no difficulty in obtaining workers as they 
hire unskilled laborers and train them in their plants. 

Nondefense industries are having no difficulty in obtaining workers. 

This area includes 10 counties in the southwest corner of the State served by 
the Joplin, Monett, Nevada, Carthage, and Neosho offices of the employment 
service. The northern half of the area is good farming land under which are 
extensive soft-coal deposits. The principal crops in the southern half are straw- 
berries, grapes, apples, and large acreages of beans and tomatoes which are 
contracted to many small canneries. Joplin, the largest city and chief trade 
center, is within the Tri-State lead and zinc mining field, largest in the country. 
The major defense activity in this area is the construction of Camp Crowder at 

Decrease in employment due to material shortages and priorities. 

The general trend of employment is upward. Lay-ofTs, other than a few sea- 
sonal workers, have been negligible. Only one employer has reported any 
decrease in employment because of material shortages. Sixteen employees of 
this company^have been reduced to part-time employment because of shortage 
of spring wire and sheet metal. 


Present enrollments in vocational education, national defense, training courses 
include 55 aircraft sheet-metal workers, 60 machinists and machine operators, 
12 wood and metal jig builders, and 14 welders. The National Youth Adminis- 
tration is training about 100 in its radio and carpentry shops. The only private 
school is training its students to pass Army and Navy tests in heavy welding. 


For the past 3 or 4 months, immigration in the area has been heavy due to 
publicity concerning the large Army cantonment now under construction near 
Neosho. Many of these moved into the area to establish residences so they might 
have preference in employment on the project.. In the carjx'iitry line alone over 
2,200 applicants are registered. A recent iKUising survey by the chambers of 
commerce of Joplin, Webb City, and Carthage revealed that 1,700 i)ersons had 
moved into these cities in 90 days. Smaller towns have had corresj)onding and tourist and trailer camps and farm houses are crowded. 

Other developments. 

There has been a noticeable increase in nvnnl)er of employers using the emi)loy- 
ment service for the first time and a corres])onding decrease in advertising job 
openings in the newspapers. There are no labor disputes and no competition 
for labor although mine owners have had some difficulty in retaining adequate 
forces because of voluntary quits, presumably for better paying jobs in other 


After a slow start because of rains and difficulty in moving farm residents from 
the site, construction of Camp Crowder at Neosho is making headway. Over 


7,000 workers have been hired since our last report bringing the total employed 
on the project to nearlj' 10,000. It is anticipated a total of 30,000 workers will 
be employed, including normal turn-over. Clearance is being used in order to 
secure union workers although the supply of nonunion workers in the area would 
be sufficient for the job. No difficulty exists or is anticipated in obtaining workers. 
Completion date has been set back from January 15, to March I, 1942. 

Other industries. 

Nondefense industries are operating normally with some increase in retail 
trade. There are no labor shortages. 

This area covers 22 counties in the south-central part of the State served by 
Springfield, Lebanon, West Plains, and Rolla offices and a branch office at Waynes- 
ville. The northern part of the area is devoted primarily to general farming. 
Fruit and vegetable raising, particularly apples and tomatoes, are important 
activities in the southern part. Springfield is the largest shipping point for eggs 
and poultry, live and dressed, in the Southwest. Dairying has been developed 
extensively in this area. The major defense activity in this area centers around 
Fort Leonard Wood located in Pulaski County. With the exception of Fort 
Leonard Wood and the Army hospital at Springfield, this entire area has only 
received defense contracts in the amount of approximately $700,000, all of the 
contracts being for the manufacture of various items of clothing for the armed 

Decrease in employment due to material shortages and priorities. 

There have been no material changes in employment in this area during the 
month. No firms have been seriously afi'ected by reason of material shortages. 
Vegetable canning factories are closing for the season but the resulting lay-offs 
constitute no problem as these workers are mostly farm people who live in the 
vicinity. Since the completion of the Government hospital at Springfield there 
are many unemployed carpenters and construction workers awaiting referral to 
defense projects. Supplementary construction at Fort Leonard Wood is on the 
decline but only a few workers have been released. 


At Springfield, preemployment refresher courses are being conducted with 
enrollments as follows: General sheet metal, 135; aircraft sheet metal, 20; aircraft 
riveting, 20; welding, 15. Defense training courses in welding, machine shop, 
and wood pattern making are conducted by the National Youth Administration 
with present enrollment of 75 to SO. A school for sewing-machine operators is in 
operation in Lebanon. There is practically no in-training in the area. 


There has been no migration into this area recently. A few construction 
workers are leaving and many others are awaiting calls to other areas. 

Other developments. 

Due to lack of any great demand for workers there has been no development 
of any importance in competition for labor or in the manner of obtaining em- 


Agriculture with its processing and marketing facilities provide the principal 
income of the area. The relation of demand to supply of labor at present is 
practically in balance. 


The construction of auxiliary buildings and housing facilities at Fort Leonard 
Wood comprise the main construction activities in the area. At present 1,300 
workers are employed b}' 3 contractors in this vicinity but peak employment 
has been passed and completion dates of all projects set for November and Decem- 
ber. Public Works Administration construction projects amounting to $1,000,000 
have been approved for the area and are expected to absorb construction workers 
released from other projects. 


This area covers 18 counties in the southeast corner of the State served bv 
employment service offices at Flat River, Sikeston. Cape Girardeau, Poplar Bluff, 

8858 S'^'- I'<Jl'I''^ IIKAIUNCIS 

Kemictt aiul Cnruthersvillo and a l)raiich office at Picdiiioiit. Tlio six counties 
in the southeast corner of the area are fine river jjottoni hinds reclaimed through 
drainage canals. They an; used for raising vegetal)les and cotton. The balance 
of the area is subniarginal farm land with cattle raising as the ijrincipal activity. 
The largest single lead mine in t lie world is in St. Francois County employing 2,300 
workers. Througliout most of tiie area are branch plants of shoe and garment 
industries with headquarters in St. Louis. The ])rocessing of cotton crops is also 
a major industry. 

Decrease in employment due to material shortages and priorities. 

Only two employers have reported decreased cmploj'ment as a result of material 
shortages, felt and steel, and the number of employees affected in small. Since the 
cotton picking is 85 percent complete a large number of agricultural workers are 
being released but their releases will cause no problem as many of them are return- 
ing to their homes in the hill country or in other States. Those who will remain 
in the vicinity can be reemployed as service workers from which occui)atioiis they 
were recruited. Cotton compressors and gins will shut down about November 15. 
Private construction is declining and some workers are being released. 


Sixty trainees are enrolled in aircraft courses at Flat River and O. S. Y. and 
N. Y. A. training is being conducted at several points. Courses include welding, 
carpentry, auto mechanics, electricity and office machine operation. Several shoe 
and garment factories are conducting in-training. 


As the cotton season draws to a close there is the usual emigration of agricultural 
workers from the area. As elsewhere in the State, cari)enters and construction 
workers leave as buildings are completed and a few other workers leave for defense 
jobs in other States. 

Other developments. 

Some competition for w^orkers on service and sales groups has developed in 
shorter hours and higher w^ages. One strike involving 230 garment workers is in 
progress with a possibility of quick settlement although some of the workers are 
applying for employment at other plants. Pa}- increases of 50 cents per day have 
been granted to 2,300 workers of the largest lead mine in the world. 


Increased wages was the deciding factor in attracting sufficient migratory 
workers for harvesting the cotton. From $1.25 to $2 per hundred was paid which 
is from one-half to twice last year's rate. There is positive indication that share 
cropping will be much more prevalent in cotton growing in 1942 than in the past, j 

Other industries. I 

This area has no major defense contracts but the numerous shoe and garment 
factories are working at capacity. There is a shortage of sewing machine operators 
so it has been necessary to hire inexperienced workers and train them on the job. 




Exhibit B.— Prime Defense Contracts Allocated to the State of Missouri 


Indxistry and attwunt of contracts awarded 

Acme Uniform Cap Co — 

Adams, S. G., Co 

Adams Net Turne Co 

Adjustable Engineers Cap 


Airtherm Manufacturing 


Alligator Co 

Alex Manufacturing Co.. 

Aloe, A. S., Co 

American Car & Foundry 

Manufacturing Co 

American Foundry & 

Manufacturing Co 

American Manufacturing 


American Thermometer 


Atlas Powder Co 

Axelson Manufacturing 


Baars, E. N., Manufactur- 
ing Co 

Beehler Steel Products... 
Bemis Brothers Bag Co.. 

Benwood Linze Co 

Broderick & Bascom Rope 


Brown Shoe Co 

Buck-X-Ograph Co 

Busch-Sulzer Bros 

Canvas Products Co.. — 

Carter Carburetor Co 

Century Electric Co 

Chevrolet Motors Corpo- 
ration (Chevrolet divi- 

Chicago Pneumatic Co — 

City Ice & Fuel Co 

Cohmibia Quarry Co 

Continental Can Co 

Correct Cap Co 

Curtis Manufacturing Co. 
Curtiss-Wright Corpora- 

Diagraph Bradley Stencil 
Machine Manufactur- 
ing Co 

Duke Manufacturing Co. 
Elder Manufacturing Co. 
Emerson Electric Manu- 
facturing Co 

Evers, Henry, Manufac- 
turing Co 

Fairbanks, Morse & Co — 
Frank & Meyer Neckwear 


Fritz, Geo. J., Foundry & 

Machine Co 

Funk Brothers Hat & Cap 

GafTncy-Kroese Electric 
Supply Co 

Gcneraf Cable Corpora- 

General Engineering & 


Glasner Brothers, Inc 

Gomp Electric Co 

Grady Manufacturing Co. 

Gross & Janes Co 

Guendler Crusher & Pul- 

Hager, C, & Sons Hinge 

Manufacturing Co 

Hail Corporation 

Heikert & Meisel Truck 


Hickman, William & Co. . 

Hussman, Legonier Co 

Independent Concrete 

Pipe Corporation 

Industrial Aid for the 


International Hat Co 

International Shoe Co 

Jackes-Evans Manufac- 
turing Co 

Jasper Blackburn Prod- 
ucts Corporation 

Knickerbocker Clothing 


Knight.jW. B., Machinery 


Laclede -Christy Clay 

Products Co 

Lammert Furniture Co... 

Landis Machine Co 

Larkin Packer Co 

Lehmann Machine Co 

Lepshers, A., & Sons Rope 


Lincoln Engineering Co.__ 
McCabe-Powers Auto 

Body Co 

McQuay-Norris Manu- 
facturing Co 

Majestic Manufacturing 


Mallinckrodt Chemical Co. 

Maloney Electric Co 

Marks-ilass Korreckt Co. 

Measuregraph Co 

Medart, Fred Manufac- 
turing Co 

Metal Goods Corporation. 
Mever Brothers Drug Co. 
Midwest Piping & Supply 


Mines Equipment Co 

Monsanto Chemical Co.. 
1 12, 375 Morose Cap Co 




150, 925 

52, 640 


39, 605 

19, 343 

58, 145 


14, 632 

980, 000 
6, 390, 000 

754, 900 




37, 687 

177, 243 
6, 084, 735 

297, 692 
9, 611,471 

281, 490 

1, 335, 534 

32, 736 

23, 951 

364, 919 

4, 335 

17, 760 

14, 344 

184, 484 


126, 749, 616 

21, 505 

65, 032 

103, 948 

30, 565, 360 

296, 670 
19, 222 

49, 090 

40, 289 


7, 240 

12, 819 

8, 955 
5, 696 

160, 650 

158, 862 

135, 275 


1, 247 

95, 430 


11, 137 


10, 917, 590 

1, 775, 054 





Industry and amount of contracts awarded — Continued 

Mound City Cap Manu- 
facturing Co., Inc $146, 190 

Mound Tool Co 15,191 

National Lead Co 1, 090 

New Era Shirt Co 19, 800 

Parks Air College 3, 630 

Pet Milk Co 167,197 

Phillips-Drucker IS, IGO 

Pleetox Products Co 2,160 

Premium Cap Co 1,013,723 

Priesmeyer Brothers 

Trunk Co 59,625 

Pyramid Clothing Manu- 
facturing Co 9, 450 

Rawlings Manufacturing 

Co 24,369 

Rice-Stix Dry Goods Co _ _ 543,154 

Roval Bedding Co 149,099 

St. Louis Car Co 744, 600 

St. Louis Cordage Mills,,. 107, 749 
St. Louis Embroidery 

Works 33,955 

St. Louis Screw & Bolt 

Co 8,568 

St. Louis Steel Products, _ 223, 657 
Schaeffer Brothers & 
Powell Manufacturing 

Co 62,656 

Scullin Steel Co 1, 502, 560 

Sefton Fibre Can Co 1,726,219 

Shampaine Co 16,074 

Shapely Cap Co 271,231 

Shell Oil Co 576,146 

Shillington Box & Lumber 

Singer Sewing Machine 

Smith & Davis Manufac- 
turing Co 

Society Brand Hat Co 

Southern Equipment Co,. 
Stix,Baer,& Fuller Co _.. 

Swift, John H., Co 

Uniform Lettering Works, 


Union Cap Co 

United Drug Co 

United States Cartridge 


Valley Electric Corpo- 

Vi-Jon Laboratories, Inc 

Wackman Welded Ware 


Wagner Electric Corpora- 

Warner, Win. R., & Co., 


WenzelH., Duck Co 

Western Cartridge Co 

Western Last Co 

Wcstinghouse Electric 

Supply Co 

Wrought Iron Range Co_ _ 

$13, 58] 


301, 005 
441, 211 
105, 905 
110, 250 


165, 232 

32, 404 

87, 279, 790 

23, 734 

46, 203 

90, 548 
1, 555, 798 

47, 041 

18, 600, 000 
56, 750 

12, 853 

Total 318,532,052 


Industry and amount of contracts awarded 

Air Communications, Inc.. 

Aircraft Accessories Cor- 

American Scale Co 

Baker-Lockwood Manufac- 

Battenfield Grease & Oil 

Bettinger Trunk Manufac- 
turing Co 

Burlington Overall Manu- 
facturing Co 

Butler Manufacturing Co__ 

Carnie-Goudie Manufactur- 
ing Co 

Columbian Steel Tank Co, 

Continental Hat & Cap 

Cowden Manufacturing 

Crawford Manufacturing 

Dart Truck Co 

Dewey Portland Cement 

Empire Cap Manufactur- 
ing Co 




























Empire Mattress Co 

Frischer, Paul J 

Fruehauff Trailer Co 

A. Fromhold 

Goodenow Textiles Co 

Hardware & Supply Cor- 

Independent Awning Co__ 
International Harvester 


Ismert-Hincke Milling Co_ 
Kansas City Cap Manu- 
facturing Co 

Kansas Flour Mills Cor- 

Kanter Bedding Co 

Keystone Trailer & Equip- 
ment Co 

Koch Butchers' Supply Co. 
Lee, H. D., Mercantile 


Lerner Bros. Cap Co 

Luce Manufacturing Co 

National Cast Iron Pipe 


Neevel Manufacturing Co. 

$94, 240 

8, 291 

4, 465, 040 

1, 391 

470, 367 

25, 420 

19, 400 
127, 500 


54, 627 
29, 803 

467, 729 
24, 080 

503, 546 

239, 898 

40, 197 
455, 218 




Inditslry anil aviount of conlracta awarded — Continued 

New Mexico Airport Cor- 

l)()ration $23, 2r)0 

Roininpton Anns Co 73, 575, 2()1 

Rodney Milling Co 29, 875 

Soidlitz Paint & Varnish 

ShefTiold Steel Corjioration. 

Snower Manufacturing Co_ 

Speas Co 

Standard Asbestos Manu- 
facturing & Insulating 


689, 083 

2, 055 

34, 916 

437, 666 

Transcontinental & West- 
ern Air, Inc $36, 120 

Turner Uni-Drive Co 3, 321 

Unicon Co 430,699 

Union Wire Kope Co 103, 342 

Western Laundry Machine 

Co 12,003 

Wilde Drop P^'orge & Tool 

Co 200,400 

Wittc Engine Works 7, 443 

Total 91,619,417 

Standard Steel Works 4, 879, 465 


Induslry and amount of contracts awarded 


California Manufactur- 
ing Co $15,097 

Moniteau Mills 247, 152 

Chaffee: Chaflfee Manufac- 
turing Co 8,068 

Farmington: Rice-Stix Dry 

Goods Co 222,000 

Gideon: Gideon-Anderson 

Lumber Co 202, 500 

Holden: Hipsh. Inc 42, 175 

Jefferson City: Oberman & 

Co 477,627 

Joplin: Miller Manufactur- 
ing Co., Inc 223,593 

Kennett: Ely Walker Dry 

Goods Co 24,310 

Mexico: A. P. Green Fire 

Brick Co 78,569 

St. Joseph: Sun Manufac- 
turing Co 76, 000 

Salem: Ely & Walker Dry 

Goods Co $218,448 

Sedalia: J. A. Lamy Manu- 
facturing Co 1 99, 4 90 

Slater: Rice-Stix Drv Goods 

Co ". 266,812 

Southeast Missouri: Gross 

& Janes Co 6,962 


Citizens Drug Co 4, 675 

Oberman & Co 479, 382 

Tipton: A. F. Martin Manu- 
facturing Co 198, 997 

Warrensburg: Brookfield- 
Garrison Manufacturing 
Co 77,910 

Webb Citv: Atlas Powder 

Co 1 683,230 

Total 3,752,997 

Exhibit C. — Report of Workers Displaced as a Result of Shortages of 

Materials or Parts 

Report by Missouri State Employment Service, Jeffersoyi City, Mo. 



Number workers 
to be laid off 

Date of lay-off 

Bt. Louis; 

Nov. 13, 1941.— Manufacturing bedsprings 


175 semiskilled 

Dec. 15, 1941. 

and spring products. 

Nov. 1, 1941.— Manufacturing weather-strip 


3 skilled 



5 semiskilled 



100 skilled 

50 already off. 

coin vending machines. 

50 semiskilled 

Remainder off. 

.50 unskilled 

Jan. 15, 1942. 

Nov 1.3 1941 — Manufacturing pencils, ciga- 


2 skilled 

Dec. 15, 1941. 

rette lighters, and pocltet knives. 

23 semiskilled 


2 unskilled 


Nov. 13, 1941.— Manufacturing metal stanij)- 


20 .skilled 

Jan. 15, 1942. 

ings, tools, and repair machine shop. 

80 semiskilled 


25 unskilled 


Nov. 12, 1941.— Manufacturing metal furni- 


2 skilled _. 

Nov. 15, 1941. 


32 sciiiiskilled 


Nov. 12, 1941.— Manufacturing thermometers 


35 uiiskilhHL 

Nov. 7, 1941. 

and thermostats; telescopic gun-sight 




S5 unskilled. 



Report by Missouri State Employment Service, Jefferson City, Mo. — Continued 



Number workers 
to be laid off 

Date of lay-off 

St. Louis — Continued. 

Nov. 1, 1941.— Manufacturing commercial 
display fireworks. 

Nov. 6, 1941.— Steel rolling mill 


Nov. 13, 1941. — Manufacturing bedsprings, 
cots, beds, etc. 

Nov. 10, 1941.— Manufacturing sash and 








6 semiskilled 

106 unskilled 

121 unskilled 

15 skilled 

105 semiskilled 




Sept. 13, 1941. 

Oct. 15 to Nov. ], 1941. 
Oct. 1, to Nov. 1, 1941. 
Dec. 1, 1941, to Jan. 15, 


Oct. 3, to Nov. 1, 1941. 


Kansas City: 

Nov. 13, 1941.— Manufacturing steel oil drums, 
tanks, airplane parts. 

Nov. 13, 1941.— Manufacturing steel tanks 

Oct. 28, 1941.— Manufacturing, automobiles.. _ 

Oct. '28, 1941.— Manufacturing automobile 
Out-State; Manufacturing hats 

50 skilled 

150 unskilled _ 

100 unskilled 

10 skilled 

160 semiskilled 

150 semiskilled 

50 unskilled 

75 skilled 

Oct. 18, to Oct. 24, 1941. 

Oct. 20, 1941. 
Nov. 1, 1941. 



Nov. 3, 1941. 

Exhibit D. — Preemployment Defense Training by Occupations 
Report by Unemployment Compensation Commission of St. Louis, Nov. IS, 1941 



Number of 

Number in 


North Kansas City 

St. Louis.- 

St. Charles 







Flat River 


Aircraft sheet metal 


St. Charles 

Kansas City .. 


Joplin. . . 





St. Louis. - . 




St. Louis 

Kansas City . 




Chipping (metal or air hammer) 


Electric welding 


North Kansas City... 
St. Joseph 




St. Louis 

Kansas City 



Oxyacetylene welding. . ... ... 



North Kansas City. . . 
Fort Leonard Wood... 


Total. _ .. 


St. Louis 



Gas welding 


Kansas City.. .. ... 

General welding (tvpe not designated) . 


St. Louis 

St. Charles 




Clayton . 




Kansas City 



Foundry work 


Metal work (bench or general) ... 

Jefferson City 


60.396 — 42 — pt. 23- 




Report by Unemployment Compensation Commission of St. Louis, Nov. 13, 1941- 




Number of 

Number In 

Machine operation (for specific machine operations) 






Kansas City 


Jefferson City 


St. Louis 


St. Joseph 


riavton -. 


Flat River 



Louisiana .. 
















St. Louis .. . .. 


St. Joseph 


Kansas City.. 




Webster Groves 




Vocational education- — National defense supplementary training in Missouri 

Machine shop courses: 

Bonne Terre 



Kansas City 


St. Joseph 

St. Louis 

Total - 


Fort Leonard Wood. 



Kansas City 


St. Louis 

St. Charles 


Wood pattern making and ma- 
chine shop: 

Bonne Terre 

Fort Leonard Wood 


Sheet-metal i work: Bonne Terre. 









Teacher training: Fort Leonard 

Wood 50 

Typing: Fort Leonard Wood 120 

Army ordnance inspectors: St. 

Louis 30 

Explosives: Joplin 25 

Drafting and lay-out: 
North Kansas City. 

Kansas City 

St. Louis 






Aircraft foremanship: 


St. Louis 




Louis. _ 

(air hammer) : St. 



Kansas City training 157 

St. Louis training 495 

Other training 682 

Grand total 1,334 

Exhibit E. — Migration in Missouri 

report by walter erb, district supervisor in charge of farm placement, 
missouri state employment service, .tefferson city, mo. 

The problem of migration in Missouri i.s not so much one of immigration as it 
is migration. This statement is made on the basis of observations both in the 
field of farm labor and unemployment insurance benefit payments, particularly 
of a multi-State nature. 



Southeast Missouri, or perhaps one would better say the seven counties in 
the extreme southeast corner of Missouri, constitutes one of the largest farming 
areas in the United States and, until recent years, has been an area in which corn 
and cotton have been the principle crops, with cotton, of course, being the crop 
requiring vast numbers of seasonal workers with two specific peaks during the 
year, namely, the cotton chopping in the spring, and cotton picking in the fall. 
In this area a certain amount of migration occurs annually and is usually from a 
south to north direction. This is not the entire migration, however, but is further 
supplemented by what we term mobile labor — that is to say, small farmers from 
the hill section to the north and northwest of this area, plus small farmers from 
Tennessee and Kentucky, who, during the peak seasons in this area, supplement 
their farm income by the cash income that they can secure by moving into the 
area to perform this day-labor work; and who, upon completion of the crop, 
return immediately to their own farms. Such an arrangement, therefore, obvi- 
ously reduces the problem of migration to a considerable extent. There is, how- 
ever, some migration during the spring of people from the South and Southwest, 
who have been following the strawberry crop through north central Arkansas into 
Illinois in the vicinity of Anna and Murphysboro and thence on to Wisconsin and 
Michigan for other early fruit harvests. Even in this group there is a certain 
portion that, upon the completion of the cotton chopping in the southeast section 
of Missouri, turn westward again to the bean fields and to other truck crop areas 
in Arkansas and Louisiana. 

In southwest Missouri, in a section of four counties consisting of Newton, 
McDonald, Barry, and Lawrence County, which comprise one of the principal 
berry areas in the Midwest, considerable immigration occurs with the progress of 
the strawberry harvest from Louisiana northward. Many of these people move 
on from this harvest to the potato harvest in the Kaw Valley and to small berry 
crops farther north. Here again a goodly portion of the harvest workers is made 
up of the mobile labor from the hill country to the east and northeast of the area. 
There is one other area in Missouri that uses large numbers of temporary farm 
labor, namely, the Orrick Bottoms located along the Missouri River from Lexing- 
ton in Lafayette County westward to the eastern edge of Kansas City. This 
area is a large potato-producing section and during the 4-week harvest period of 
June through July has always used large numbers of extra harvest hands. In 
this latter area, which lies at the border of one of the principal coal mining sections 
of the State, much of the labor for the harvest period is composed of the miners 
who are unemployed during the summer months which is a slack season for the 
mining industry. There are, however, many migrant workers that come into 
this section during the harvest season each year, who as a rule upon completion of 
the harvest in that area, move northward to the Red River Valley. In conjunc- 
tion with the southwest Missouri strawberry area, as an item of additional informa- 
tion, I am submitting with this report a copy of a "Brief Study of Seasonal 
Workers — Southwest Missouri," made from the registration records of workers 
during the 1940 berry picking season and which, I believe, will give you additional 
information as to the general direction and pattern of movement through the area. 

In the initial paragraph of this report I mentioned multi-State payment of 
unemployment insurance claims: If you will take a map of Missouri you will note 
that in the area between the southwest and southeast corners, which are referred 
to as principal crop areas, that there are a series of counties which, beginning 
the Arkansas line and running north toward the central part of the State and the 
Missouri River, are mountainous and represent the major portion of the Ozark 
area in the State. The bulk of this land is marginal and in the early days of our 
State was principally a lumbering area. There is still some lumbering activity, 
such as tie and stave-bolt cutting, carried on to considerable degree. Due to the 
marginal type of land and the background of the people who have settled this 
section of Missouri, it is not surprising that we find large numbers of the people in 
this area who migrate from their homes in the hills into the North and Northwest 
part of the United States following the lumber industry found there, and in addi- 
tion many who go into the Western States for the beet harvest, broomcorn 
cutting, as well as the fruit picking and packing of the Pacific Northwest and who, 
upon completion of this employment, return to their homes in Missouri in the off 
seasons of such employment and there carry on the limited farming activities 
suited to the area. 


Exhibit F. — Seasonal \\ Orkeus in the Strawbehuy Harvest of Southwest 



Tlio production of strawberries in Missouri is very largely confined to four 
counties in southwest Missouri. Within this area the jirincipal berry growers' 
associations are located in \eoslio — Newton County, in Anderson — McDonald 
County, and at Butterfield, Jvxeter, Cassville, Monet t, and Purdy in Barry 

Usually the number of pickers moving into this area ran into the thousands. 
Such workers, of course, have presented many problems to these small communi- 
ties in the past. 

The Missouri State Employment Service this year established a farm placement 
service for the first time, and initial effort and emphasis has been pointed toward 
being of service to the growers (employers) engaged in producing, harvesting, and 
shipping of seasonal crops by taking over the task of handling the labor needed in 
such crops, and through this effort to be of service to the worker by knowing where 
harvest hands are needed and to route them with a minimum of effort and loss of 
time on tlieir part. 

Through registration of local farm workers and by close cooperation with the 
growers through their respective associations, every effort was made to meet all of 
their work requirements with local labor and to discourage in every way possible 
the moving in of workers from other areas. This, to a rather large degree, was 
accomplished through two methods. 

1. Publicity. — Newspaper and radio publicity prepared by the department of 
information stressed the fact that the local labor supply was sufficient to meet all 
of the needs in the berry harvest. 

2. Cooperation loith neighbor State farm -placement division. — Arkansas has a 
highly developed farm placement service covering the entire State, and since their 
berry crop precedes the one in Missouri, it is the general rule of the harvest worker 
to move north with the crop. 

By keeping the Arkansas Employment Service informed of our needs, their field 
offices were in a position to advise people not to trek into Missouri since the crop 
was small and there were sufficient local pickers to handle it. 

There were, however, several hundred workers w'ho moved into the area during 
the harvest, and the following data has been compiled from the registrations taken 
by our interview^ers stationed in the various towns of the area during the season. 
' Principal methods of travel are by car, car and trailer, truck, or hitchhiking. 
The amount of camping and cooking equipment was very meager in most instances. 
Most of these migrant workers camp wherever space will permit in or around the 
town and as close to the berry sheds as possible in order to insure being close to 
any work opportunities that might arise. 

A review of these migrant workers' cards indicate that a majority come in for 
the berry season only and upon its completion return directly to their homes, and 
that still others follow one crop after another between the neighboring States. 

It is also interesting to note that those workers coming from Kansas point 
toward U S 66, which will place them at Joplin, northwest of the berry area; 
those from north or east, U S 66 and U S 60; those from the southwest — Oklahoma 
and Texas, U S 44 and U S 60, striking into Missouri at Seneca at the west edge 
of the area; while those following the crops from the South through Louisiana and 
Arkansas move into the area via 71 or 37, de])ending on whether they were work- 
ing in the spinach crop at Fort Smith or in the berry crop at Bald Knob and 




■Jo Springfield' 


Bed arrows indicate 
poiais of eat^* 

ggQg ST. Loris iii:akin(!S 

Table indicating number of worker groups, by Stale, going on to other crops 











to no 




Arkansas - 





Indiana . . . 





Kansas - - . 


1 1 



Oklahoma . . . 




1 1 





1 Rivet driver — "Trying to find place to follow trade." 

' Machinist — "Trying to find place to follow trade." 

3 Plumber and pipe fitter— "Trying to find place to follow trade." 

Only one worker in the entire group indicated that he was registered at another- 
employment ofhce. Four indicated trade skill and each of these was working along 
at any job available as he moved on trying to find some place where he might find 
stead}- employment at his trade. 

Types of transportation 
Total registered 173 


Car trailer. 


Truck 13 

Railroad side door 4 

Bus 2 

Hitchhike > 101 

' For grouping, all persons who did not use any of the first 5 types of transportation have been classed 
as hitchhikers. This will include those who have through arrangement arrived at the berry harvest by 
riding with other worker groups coming to the harvest. 

It is also interesting to note the small percentage of this group who indicate 
occupations other than agricultural labor, and a break-down on this basis is shown 

Seasonal farm workers, by occupations 

Barber 1 

Blacksmith and tool sharpener 1 

Carpenter 2 

Construction labor 4 

Machine oiler 1 

Miner 4 


Smelting hand 


Seasonal workers — Strawberry picking, southivest Missouri 
[Number registered by States) 



Age group 









h- 1 
























Under 16 









16 to 17 -. 


18 to 19 



















21 to 24 -. 


25 to 29 













30 to 34 


35 to 39 











1 ?s 

40 to 44 











45 to 49 


50 to 54 










55 to 59 









60 to 64 

1 3 

65 to 69 





I 5 

70 to 74 



75 and over 

1 Each of these figures includes one applicant who indicates that he is not from any particular State. 

State, city, and color 




of depend- 

Age range 
of depend- 

TjTDe of trans- 
portation used 


1 white 

-. do- .. 






12 to 46.... 




Do .. 


Do .- 

.... do 




Do - 

-- do- 

10 to 33-... 




do.. ._ 





.- do 









12 to 39...- 
12 to 38.... 






-- do 


8 to 38 



.- do . 



.- do.- 



...do_ .. 



Do.i .. 

do.. .. 


Do - - - - 

.. do 



Do - .-. 

-. do-- 



Do .. 



. do 








.... do 


Do.i . . - . 

-- do 


14 to 41-... 



-- do-- 





.. do 



. do 


14 to 46..- 

Car truck. 











Do - . 

.. do 


Do... . 



- do 





12 to 44.... 



.. do 


Do - 







.. do 



10 to 22..- 











16to38— - 
16 to 42.... 
12 to 22.... 


Do... - 

.. do 

Car truck. 


Do . - 

- do 



. - do 



.. do 


Do .... 

.... do 



.. do 





.... do 


Do : 

.- do 





.- do 




Do . . 

. do 




-. do 




14 to 52.... 





.- do 










Seasonal workers — Strawberry picking, southwest Missouri — Continued 

state, city, and color 




of depend- 

Age range 
of depend- 

Type of trans- 
portation used 

ARKANSAS ( 132)— Continued 
1 white 





■ "29" 




14 to 26.... 
















IDAHO (1) 



Pick-up truck. 















1 white 




IOWA (2) 




KANSAS (67) 

1 white 






12 to 44... 






14 to 29.... 
16 to 20.... 





.. do 







12 to 45... 
10 to 28.... 
22 - . 



Do -. 

do. - 

Car trailer. 

















-. do 








Do - 

12 to 46.... 
12 to 43.. -. 













. do 
















-. do -- 

.... do 









.... do 







16 to 38-..- 





.. do 





Clayton Hill' 1 white 














. do 




Do ... 









do .... 



Poplar Bluft" 1 white 









29 -.-. 


Kich Hill: 
1 White 


Do - 


10 to 37.... 






10 to 38.... 
10 to 24.... 








Van Huren: 



Do - 




Seasonal workers — Strawberry picking, southwest Missouri — -Continued 

State, city, and color 



Age ofdepend- 

Age range 
of depend- 

Type of trans- 
portation used 

MISSOURI (3C)— continued 

AVest Plains: 
1 white 



















Male ... 


OHIO (2) 


Do . 



1 white - . 







do . 








14 to 20.... 


Do .... ... 









. do .. 


Do .... 



























. do 





.. do - .. 

16 to 24.... 
12 to 26..-. 



.... do 


Do -. 




Do - 

. do 





Do . 



18 to '38.... 











... do 


Do ... 







. do 



Do . 

. do 







Do ... 





. do 



Do . . 













. do 








16 ... 





.. do 






10 to 40.... 

6 to 28 













Single -. 




14 to 37.... 























Do ^ 

. do 

























1 white 





TEXAS (9) 

1 white .. 






16 to 35.... 






. do 









NONE (3) 

1 White 







Do. L 



- do 


§g72 S'A'- 1-(>1'1^ IlKAKINCS 




July 10, 1941. 

For your advaiico iiifoniiiitioii wo arc attaching a copy of the official Instruc- 
tions and Policies and Administrative Procc(hircs (iovcrning the Conduct of the 
National Defense Training Programs of the I-'edcral Agency.' 

A 3-day meeting was recently held in Chicago to give thorough stud}' and con- 
sideration to this program. This conference was attended by directors of the 
employment services, National Youth Administration, and tlie dej)artnient of 
education administrators of the 48 States, also the regional and Washingtoii 
officials of the Bureau of Employment Security, the National Youth Administra- 
tion, and the rnited States Department of lOducation. 

Tlie chairman of the conference at Chicago was Col. Ffank McSherry, the 
newly ai)i)ointed National Director of Defense Training. Colonel McSherry i» 
on the pay roll of the Federal Security Agency and serves as liaison officer betweer 
the Federal Security Agency and the Office of Production Management. 

Colonel McSherry, as Director of Defense Training, will direct and supervise 
all national defense training programs carried on jointly through the coordinated 
efforts of the State employment services, the State departments of education and 
the National Youth Administration. He will have field agents to assist him and 
the constituent State agencies in carrying out assigned duties and responsibilities. 

As chairman of the conference, Colonel McSherry dwelt ujjon the extreme im- 
portance and urgency of immediately initiating this defense training program to 
serve the needs of employers who have contracts for defense production. Con- 
gress has appropriated many millions of dollars for this defense training program. 
The sums appropriated have been earmarked for defense training work projects 
and training courses that must be geared to the specific needs of contractors for 
defense production. It is estimated that approximately 4,000,000 skilled men 
must be obtained for defense production in the coming year. All the training 
possible will very likely fail to produce enough skilled men to meet anticipated 
needs but training for defense industries must be pressed to the utmost and serve 
as far as possible in the national emergency. 

The responsibilities of the Employment Service have been tied down closely in 
this program. We will be the designated agency to make the necessary employer 
contacts and recommend the necessary and specific training courses to be given. 

Y'ou will note from the attached procedures and instructions that a council of 
State administrators, consisting of three members, is to be in active charge of the 
defense training program in Missouri. This council will consist of one member 
appointed from the administratiev office of the State employment service, one 
member from the administrative office of the State department of education, and 
one member from the State office of the National Y^oiith Administration. Y^ou 
will also note that similar councils of like representation will be established in 
each of the local communities operating defense training programs. 

We would like for you to particularly note the following which we quote from 
the attached instructions: 

"The F^mployment Service shall make available currently to each member of 
the council of administrators in each community and each State the labor demand 
and supply data and information on labor market developments obtained from 
its registration and placement activities and its employer and other community 

"On the basis of such information, the Employment Service shall make recom- 
mendations to the council in each community as to the need for training for de- 
fense occupations in that community, giving the number of workers needed, the 
dates they are needed, and the occupational specifications that should be met by 
the trainees in order that they may be placed in employment. Such recommenda- 
tions shall be made promptly on the first of each month." 

From the above alone it can be seen that the Employment Service has a very 
large and urgent responsibility. Not later than August 1, we will be expected to 
make the proper recommendations to the local and State councils of administra- 
tors in regard to training needs. This means that we must obtain from employers 
holding defense contracts the specific data for their training needs as outlined 
above. It means that we need the production schedules of those employers, the 
occupational specifications for each job in the production line for which trainees 
will be needed, and the number of workers needed for such jobs and the date 
svich workers are needed. 

1 Held in committee flies. See Training Programs, Detroit hearings, pt. 18, p. 7498ff, 



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AGE Of NE* iPtllC«^'TS (WALE) 

c'.nsflii- 42— rt. 2rt (Face p. 8872) 


It is of paramount iiiiijortancc that all olliccs in the .Service he prepared to re- 
port oil such needs of employers as hold contracts for defense production. We 
trust that our offices will leave nothing undone to collect this necessary informa- 

We will shortly hold meetings with the necessary staff members of our admin- 
istrative and local offices to give further study and training regarding our part of 
tliis program. Likewise the proper local councils will sliortl}' be set up by the 
State councils. At this particular moment you will not have to concern your- 
selves with the operating mechanism that will be set up. You do need to con- 
cern younselvcs, however, with getting the closest possible check on all defense 
contracts and all dfeiise jjioduction in your community and with collecting all 
the necessary information from the employers holding such contracts. This is 
the only urgent action expected from you until such times as we hold meetings 
with the necessary local statf members to further go into this program. 

We would like to impress upon you that the attached information is for your 
own office organization so that you can get set in advance for the work that must 
be done. We ask that no publicity stories or newspaper or radio releases be given 
out in regard to this program unless you receive specific instructions in regard to 

We are forwarding additional copies of the attached instructions in accordance 
■with the recjuirements of our various offices. 




The interstate movement of farm labor created by defense industries and 
selective training is of two types. 

1. A general movement to industry from all over the State of farm boys, 
small farmers, and hired farm labor. 

2. A heav}' movement of these same people in areas where defense activities 
are located such as Weldon Spring, Camp Leonard Wood, Camp Crowder, 
St. Louis, and Kansas Cit}'. 

The No. 1 type of movement is of a more permanent type while the No. 2 
type creates a severe shortage for a few months but after general construction is 
over many of them return to their homes and old jobs. 

Labor movement and labor shortages are tied very closely to types of farming 
areas, soil fertility, custom and defense activities. 

As to the general labor situation in Missouri, I quote from a paper by Dr. 
C. E. Lively on The Population of Missouri, Its Condition and Trends, as to 
migratory labor. 

"The State of Missouri is not characterized by a large volume of migratory 
agricultural labor. Although the year-round hired man is disappearing and farm 
operators rely largely upon seasonal labor, either regular or casual, a very large 
proportion of such labor is of local origin. Map 2 shows the number of wage 
laborers employed on the farms of Missouri during the week of Sei)tember 24 
to 30, 1939, by counties, as enumerated by the 1940 Federal Census of Agriculture. 
The number of laborers employed, as indicated by these figures, is probably near 
the maximum for southeast Missouri because of cotton picking. The number is 
probably much below the maximum for the small fruit area of the Southwest, the 
corn-hog area of the Northwest and possibly for others. However, the general 
picture of the State based upon these figures is accurate in emphasizing that most 
wage labor in agriculture is employed in the Southeast cotton delta, the South- 
west small fruit area, the Northwest corn-hog area and the truck and fruit areas 
near St. Louis and Kansas Cit\'. Apparently there is less tendenc}- now than 
formerly to use unskilled Ozark workers in the better farming sections of northern 
Missouri, and reports are that Ozark laborers are little used in the cotton-pro- 
ducing lowlands. On the other hand, considerable seasonable labor from Arkan- 
sas and other points south has been reported working at the picking of cotton and 
small fruits in southern Missouri. On the whole, it would appear that the agri- 
cultural economy in Missouri is moving toward the employment of relatively less 
migratory seasonal labor and more local mobile labor." 

These labor conditions in 1939 and the trends so stated by Dr. Lively are now 
undergoing some changes which have up to date shown as affecting agriculture. 





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County labor suhconunitteos, laiul-use planning coininittccs rci)orts of October 15 
and Noveiuln'r lo, Iflll, .sliowi'd sonic rather unusnal changes which I am going 
to bring out by type of farming areas of the State in my report of the areas. 
My reason for using these areas is to more nearly tie down our labor problem so 
something can be done about it. 

Area lA, made up by the counties of Atchison, Holt, Nodaway, Andrew, 
Carroll, Clinton, Clay, Hay, Lafayette, and Saline, located in the Northwest 
corn and meat producing area, normally employs at)Out 050 hired hands to the 
county in addition to the young men who have remained at home and are thought 
of as family labor. This area has a high investment in farm machinery per farm 
and is mostly tractor operated. The land is fertile and very i)roductive. With 
defense activities, many of the farmers' sons, and young farm laborers are going 
to the Army and in emjiloyment of industry. This brings about two problems — • 
one, a smaller supjjly of labor and, two, a shortage of farm labor homes on farms. 
The reason for house shortage is that young single laborers and farmers' sons 
lived in the operator's house, while the labor replacing these young men are married 
men with families. To an agriculture that has not long enjoyed increased prices 
this brings a fairly serious problem and one that is hard to say the exact outcome. 

Possibilities are: 1. increased mechinization which is hard for this area to 
go much further; 2. decrease production down to family labor; 3. build or repair 
tenant houses. 

The labor subcommittees of this area report: 

1. Labor adequate until spring. 

2. Anticipated farm machinery shortage may make labor situation more acute. 

3. It is doubtful if farm income will be high enough to pay labor comparable 
wages to industry. 

4. Trend is to mechanized farming to offset labor requirements. 

5. This area has some labor shortage the entire year. 

6. Migratory labor that has in the past come in from south Missouri is going 
on defense work this year. 

7. Increased farm wages have failed to pull farm labor in because of more 
money in defense and where factory jobs are obtainable labor seems to prefer 

In looking at these subcommittee reports, it should be kept .in mind that 
farmers are used to a great deal of labor and when shifting begins and they liave 
three or more regular hired hands in 1 year, it appears to them there is a shortage. 
While industry would not notice this, the farmer has some training to dc with all 
hired men to operate his equipment and care for his livestock. This changing 
causes much inefficiency in operation and higher production cost. 

Area IB, made up of the counties of Worth, Gentry, Harrison, Mercer, DeKalb, 
Daviess, Grundy, Caldwell, Livingston, Linn, Chariton, and Howard with the 
exception of Chariton, only hire about one-half as many farm hands as area I A 
or an average of about 350 to the county. This area not so highly mechanized 
and with a little lower production that lA generally is operated on a more extensive 
basis with the operator's family labor and I think its problems are expressed in 
its labor subcommittee's report. 

1. Labor shortage anticipated in spring. 

2. May be some shortage for corn gathering if weather remains unfavorable, 

3. Railroad building in Mercer County causing some shortage. 

4. Housing for farm labor not available. 

5. Deferring farm boys from selective service would help farm labor and hous- 

6. Farm units requiring some labor but not a full-time man are tending to 
cut operations to be handled by family or increase to full-time man if additional 
land can be .secured. 

Area IC, made up of Putnam, Schuyler, Sullivan, Adair, Macon, and Ran- 
dolph Counties is a more rolling and extensive type of farming counties. The 
average county in this group hires about 267 farm laborers. .\t present, however, 
they may have to hire more to fill in for family labor that has gone on defense 
work in the future. Their trends and problems are well expres.sed in the sub- 
committees reports and are what one would expect to find in the less productive 
land with more extensive farming. 

1. Labor adecjuate until spring. 

2. Farm returns not sufficient to pay increased wages. 

3. Tendency to cut farm operations to family size in less productive areas. 
Area ID. for the sake of this report, is divided in a north and south part, the 

counties of Scotland, Clark, Knox, Lewis, Marion, Shelby, Ralls, and Monroe 
forming the north part and the counties of Audrian, Pike, Lincoln, Montgomery, 
Callaway, and Boone forming the south part. 


The north half of this area with the exception of the Mississippi River bottoms 
is an extensive livestock and dairy farming area using mostly family labor for 
farm operation. The average county of this group only has approximately 300 
hired farm labprers. These laborers are largely regular hands on a monthly 
or weekly paj' basis. They too, may face some of the increased employment of 
area IC, if family labor moves to the Army and defense industries. The trend 
of operators to meet this is to cut down operations or increase size of units using 
machinery and some amount of labor. 

The south part of this area hires twice as much labor per count}' with an 
average of approximately 650 hired laborers to the county. I would attribute 
this largely to custom set up by early settlers which were from the Southern 
States and were used to large amounts of hired labor. The farming unit and 
productivity has something to do with it also the bottom lands of the Missouri 
and Mississippi Rivers. This area reports a serious labor shortage due to de- 
fense activities in St. Louis and Louisiana, Mo. This is especially true in Pike 
and Lincoln Counties, both hiring up to 750 and 900 farm laborers. 

This movement is of both types, permanent and short-time duration. As to 
the extent of the seriousness, it cannot be ascertained before spring of 1942. 
The subcommittee from the area as a whole reflects mostly the south half of 
the area and is as follows: 

1. Defense activities in and near St. Louis, also ammonia plant at Louisiana, 
Mo., have caused an acute shortage of farm labor in this area. 

2. Farm income and production per acre in this area will not support rate per 
day requested by farm labor. 

3. South half of this area one of the most serious in the State. 

Area IE, made up of the counties of Cass, Bates, Johnson, Henry, Pettis, 
and Cooper hire an average of 523 farm laborers to the county with Pettis and 
Cass Counties running up to approximately 700. The subcommittee reports 
show this area up as to problems of farm labor. However, they do not show 
that this area in the past has supplied much of northwestern Missouri's migrant 
labor until this year when most of the surplus labor and small farm operators 
went into the Kansas City, Camp Crowder, and Fort Leonard Wood defense 
activities. The report of the committees is as follows: 

L Cannot pay sufficient wage increase to get labor. 

2. Work Projects Administration workers reluctant to take farm labor be- 
cause of length of working day and no time off. 

3. There are only a few full-time hands employed but need is increasing be- 
cause small farmers are selling out and going in defense work and farm boys 
are going into defense work and selective service. 

4. Larger operators showing some tendency to cut operations to families' 

5. Pettis County making close farm labor survey on a township basis. 

Area II, composed of Buchanan, Platte, and Jackson Counties employ generally 
1,200 farm laborers to the county. The statement of their problems by the sub- 
committees brings out the migration that has taken place and the position of the 
farmers in regard to hiring labor with industry of Kansas City increasing. 

Committees' report : 

1. Labor shortage apparent now. 

2. Farm boys gone into industry. 

3. Not sufficient housing for farm labor families. 

4. Labor shortage mostly on dairy farms — fluid milk prices have not advanced 
sufficiently to pay increase necessary to compete with industry. 

Area III, composed of St. Charles and St. Louis Counties employs large amounts 
of labor especially in St. Louis County where it is reported 1,798 farm laborers. 

This county has had an increase of approximately^ 8 percent in population this 
year and uses quite a bit of migratory labor. It is stated that available labor 
will decide the truck crop acreage for 1942. 

The committee reports are — 

1. Acute labor shortage expected in spring of 1942. 

2. Migratory labor moves on into industry . 

3. Conditions similar to area IV. 

Area IV, made up of the counties of Warren, Moniteau, Cole, Osage, Gasconade, 
Franklin, Jefferson, St. Francois, Ste. Genevieve, Perry, Bollinger, and Cape 
Girardeau on the average doesn't hire a large amount of farm labor. The average 
county hiring about 390 per county with a high in Franklin Covuity of 975 and 
the next in Cape Girardeau of 490. However, it has borne the brunt of a large 
part of defense migration to St. Louis, Weldon Springs, and ('amp Leonard 

3878 S'^'- I'Ouis HEARINGS 

Tlio coniinittee.s express it us follows: 

1. Kiirin hihor shortafie of reffuiiir farm and dairy farm hands. 

2. I.ahorcrs ^one to defense work as unskilled securing $62 per week — also 
affect inji school teachers. 

3. Migratory labor does not fill need. 

4. Fanners are reducing operations due to anticiiKdcd labor shortage. 

5. Dairy herds being sold down to family size. 

G. Shortage of skilled labor as tractor operators and mechanics. 

7. Small farm operators selling out. 

Area V-A, composed of Morgan, I^Miton, Hickory, Camden, Miller, Laclede, 
Pulaski, Maries, and Phelps are Ozark counties and hired oidy about 150 farm 
laborers to the coiuity. This area and areas V-P and VI are surplus labor 
counties and the defense activities have given them some ojiportunity to adjust 
to better employment. However, in many cases it is the best emj)loyed of farm 
labor and small operators from those areas that are moving to defense work 
because of their adaptability. 

The committees report it as follows: 

1. Shortage of labor anticii)ated in spring. 

2. Production would not paj' higher wages and farmers will let acreage go 

3. Building of Camp Leonard Wood depleted this area. 

4. Small farmers selling livestock on market going to work in industry leaving 
farms idle. 

5. Large operators tending to cut down to family lal)or because farm returns 
do not justify farm wage necessary. 

It is too early yet to say how defense activity is going to affect the agricultural 
production in this area. 

Area V-B, composed of the counties of Washington, Crawford, Dent, Iron 
Madison, Reynolds, Shannon, Carter, Wayne, Oregon, Ripley, Stone, Taney, 
and Ozark. These counties are commonly called Ozark counties, with a very 
extensive type of farming, mostly pasture except in the bottom land. The 
average county in this group employs ajoproximately 160 hired hands. This is 
a surplus labor area generally. In the building of Fort Leonard Wood, this area 
supplied much of the unskilled labor. In the past, many of these laborers in this 
area have gone to the Kansas wheat fields and some of them into Iowa to shuck 
corn. A few months ago Washington County reported a large surplus of labor. 
That was at the time of the building of Fort Leonard Wood. Recently their 
report shows that most of the employable young men of Washington County 
have moved into defense work in St. Louis and into additional work created by 
defense activities in the mining of lead and tiff in Washington County. The 
subcommittees from these counties for the area report: 

1. Part of this area affected as area V-A, because of Fort Leonard Wood. 

2. Some labor swapping going on as usual. 

3. Shortage of labor to cut fuel wood for town. 

4. Some labor in the past has gone to Kansas wheat fields. 

5. Use of Work Projects Administration labor on farms seems overrated. 
Area VI, made up of the counties of Vernon, Barton, St. Clair, Cedar, and Dade, 

lies in the western wheat production region with some corn and small grain. 
This area employs approximately 300 farm laborers to the average county and 
some additional labor generally through the year in the harvesting of prairie hay 
and wheat. Numbers of laborers have gone from this area to the building of 
Camp Crowder at Neosho. They also went to Fort Leonard Wood and some 
have gone into Kansas City and the small arms plants for defense work. A 
number of young men have also gone to the Army from this area. A large percent 
of this area is heavily machine oi)erated. The increase in machinery to cut down 
use of labor could not be exi)ected. The committees rej)()rt: 

1. Shortage of carpenters and skilled men to repair farm buildings. 

2. One coimty reported 175 men on Work Projects Administration not fit for 
farm labor because of physical defects, age, training, and transportation. 

3. Small operators are selling out, most of the large ones are cutting down their 
own operations. 

4. Prairie sections which are machine operated mostly by the operator not 
much change is expected. 

The cctnnnittee reports that an increase in wage to $3 per day and dinner will 
not draw lalxjr required. This is probably true while the large construction is 
going on in the Tri-State area from Neosho, Mo. and westward. No particular 
labor shortage is anticipated at present, however, there may be some in the 
spring. It might also l^e understood that we may be using on land as labor some 


persons who we feel now are not fit for farm labor. If that should come about 
this will show a large diflferential in wages paid on a basis of efficiency to produce 
work on the farm. 

Areas VII and VIII, made up of the counties of Jasper, Lawrence, Barry, 
Newton, and McDonald, are located in the southwest corner of the State which 
is a fruit and dairy area. Large dairy plants are located at Neosho and the towns 
of Carthage and Joplin are supplied with fresh milk from this area. This area 
normally hires about 400 farm hands per county, and is now placed at the dis- 
advantage of the large amount of building going on in the Tri-State area around 
Neosho, Mo., Oklahoma, and in Arkansas. The building of Camp Crowder, also 
the increased activity of the lead mines will draw manv laborers from farms and 
small operators from farm operations. This has been a labor surplus area in 
recent years, but with the opening up of the lead mines, increased activity, farm- 
ers are going to feel a shortage in berry picking, fruit harvesting ne.xt year. If 
prices of these products will be sufficient, labor may not be so hard to secure. 
The committee reports: 

1. Regular farm help is short. 

2. Building of Camp Crowder at Neosho, increased activity of lead mines 
munitions plants, defense project, in Oklahoma and Arkansas make this area in 
for a labor shortage ne.xt spring and probably this winter. 

3. There will probably be some cutting of' dairy herds to family size. 

4. Fruit harvest and strawberry picking is expected to suffer unless prices are 
sunicient to pay high labor. 

5. Small farmers selling out and going into defense work. 

Area IX, made up of the counties of Polk, Dallas, Greene, Webster, Wright, 
Texas, Christian, Douglas, and Howell, commonlv thought of as the Ozark pla- 
teau area, produces quite a bit of dairy products with small herds in general. 
However, there are a few large dairy herds through this area. It is also a sur- 
plus labor area and there has been a migration of farm boys from this area to 
central and northern Missouri, Iowa, and Kansas at times of peak labor load on 
farms. This area has supplied quite a large number of workers for the camp 
building of Fort Leonard Wood, Camp Crowder, and to St. Louis for defense 
work, and Weldon Springs. There seems to be no immediate problem as to suf- 
ficient labor to maintain this area, however, with smaller farmers closing out 
which normally give some labor off of their own farms, it might cause a little 
labor disturbance but not a complete shortage. This area hires on the average, 
about 360 farm laborers per county, with Greene County as a high with 837 
The next highest to that is Polk with 467 laborers, and a low in Dallas County 
of 72 laborers. The committee reports for this area are: 

1. The northern part of this area has been a surplus farm labor area where 
farm boys and men went to central and northern Missouri, Iowa, and Kansas to 
follow wheat harvesting and corn gathering. However, many of these men are 
now in defense work. 

2. Truckers, tradesmen, and skilled workers have followed the camp buildings. 

3. Some small farmers are closing out and some of the larger farms tend toward 
cutting down their operations. 

4. A shortage of fuel wood cutters for this area. 

Area X-A, made up of the counties of Butler, Stoddard, Scott, and Mississippi. 
Ihis IS the second largest farm labor emplovment area in Missouri. These four 
counties hire an average of about 2,000 men jper county, with a high in Mississippi 
County of 5,400 laborers and a low in Butler County of 441, which is largely in 
the south and eastern part of that countv. This is a cotton area of the boot 
heel of Missouri, with some livestock in the north tier of counties of the area. 
Ihis area and area X-B hire 49 percent of all the farm labor hired in Missouri. 
Ihe committee reports for the area: 

1. Labor enough to meet present demand except for skilled workers. 

2. Definite increase in sharecropping to meet labor needs. 

5. Wage hands and share croppers expected to move to defense work this 
winter and not return. 

4. Scarcity of year around farm hands that present farm income will permit 

5. Labor housing in the area is still a problem. This area generally has a large 
aniount of migrant labor in cotton picking and cotton topping. 

I think there is a much fuller report to be given in regard to this area from 
other sources. 

Area X-B, composed of the counties of New Madrid, Pemiscot, and Dunklin 
ihese three counties hire 38 percent of all the farm labor hired in Missouri with 
an average of about 10,700 farm laborers per county. This is a strictly cotton 

60396 — 42— pt. 23 13 

g880 S'^'- I'f'UIS HEARINGS 

country and larger farm ownership tracts using largo amount of farm labor. 
The commit tec reports that some influx of farm labor from factories has started 
from factories that have closed down. I^abor is not expected to stay after cotton 
picking. Labor problems anticipated next spring of trained tractor men, ma- 
chine operators, also a shortage in cotton gins. This area is attempting to sta- 
bilize its labor situation by changing to sharecropping which creates smaller farms 
and the use of more family lal)or and not so much employed labor. This area 
has always been heavy in migration in and out in times of heavy cotton picking 
and chopping. It is also starting in the production of some vegetables which re- 
quire additional labor. A very productive area with fairly good farm income 
per capita, also a very high population per county. As to exact labor conditions 
for 1942, they cannot ho anticipated. It will depend on the amount of share- 
cropping and defense work to draw people from the area. 


Defense Training" in Missouhi 

I. administrative organization 

The national defense-training program is administered in Missouri by the State 
board for vocational education, which has as its executive officer the State su- 
perintendent of schools who also serves as State director of vocational education. 
On a parallel with the other vocational divisions in the State dejjartment of edu- 
cation, the division of national defense training was estalilished by the State 
board to inaugurate, administer, and supervise the defense training for the 

The State board for vocational education consists of the following: 

Forrest C. Donnell, Governor Member. 

Dwight H. Brown, secretary of State Secretary. 

Roy S. McKittrick, attorney general Member. 

Lloyd W. King, State superintendent of schools President. 

(The State board for vocational education is also the State board of education.) 
The personnel of the division of national defense training in the State depart- 
ment of education includes Mr. Hollis Dahlor, State director of defense training, 
eight State supervisors, an auditing supervisor, an equipment supervisor, and a 
supervisor responsible for finance. These men are responsible for the promotion, 
administration, and supervision of the program on the State level. The defense- 
training programs are administered on the local level by the local superintendent 
of schools through the local director of vocational education, the local coordina- 
tor, or a local director of defense training. In two centers of the State in which 
industries are concentrated, supervisors have been emploj'ed to coordinate and 
direct defense-training activities in the schools of these areas. 

2. placement of trainees 

It has been impossible to ascertain the exact number of persons who have 
been placed in employment as a result of training received in defense classes. 
Many have received jobs locally, in other cities of Missouri, or in other States, 
who have not reported back to .the local supervisor of defense training or to the 
local office of the Missouri State Employment Service. In many instances, local 
plants employ all trainees who successfully complete certain defense courses. 
A few plants have placed standing orders for all trainees who subsequently com- 
plete defense coui-scs being conducted by given public schools. 

The following table gives the cunnilative enrollments and placements in Mis- 
souri's program of defense training as indicated by statistical reports from local 
supervisors. It should be noted that trainees enrolled in VE-ND supplemen- 
tary classes are employed workers. The figure ajjpearing in this column indi- 
cates the number who changed jobs while enrolled in the supplementary classes. 
Since these statistical reports are submitted at the conclusion of each course, 
placement figures quoted are far below numbers actually placed. 



Statislical summary of national defense training program in Missouri — Julu 1 1940 

to Oct. 31, 1941 

Number of schools offering. 

Number of classes 

Number of different courses taught 


Number of trainees placed 1 









14, 264 















for Na- 


26, 922 

1 Includes only those trainees placed while enrolled in courses. 

The following outline of procedure indicates the working arrangements exist- 
ing between the division of defense training of the State department of education 
and the Missouri State Employment Service. 

(o) From employers of the" State of Missouri State Employment Service se- 
cures specifications which form the basis for defense training programs These 
specifications include the special abilities, skills, and understandings required to 
perform jobs within industry. 

(6) The Missouri State Employment Service secures labor needs Reports 
showing the number of types of skilled workers to be needed bv industry are 
submitted regularly to the division of defense training. 

(c) The Missouri State Employment Service registers persons eligible for 
training and refers them to the schools in which training can be provided 

(d) After the student has completed his training in defense classes, he is referred 
bacli to the employment service for placement. A summarv of his training to- 
gether with the recommendations of his instructor, is forwarded to the placement 


The State director of vocational training for defense workers received recently 
from the United States Office of Education a special release in which was out- 
lined a cooperative plan for the training within Industrv Branch of the Office of 
i;roduction Management in the training of these kevmen. The following quota- 
tion from the above-mentioned release indicates the working relationships which 
are to exist between the division of defense training and the Office of Production 
Management in the development of this program. 

flu ^^J^^^^ future a representative of the Training Within Industrv Branch 
of the Office of Production Management will probablv call on vou about a pro- 
gram of intensive instructor training for first-line supervisors in defense indus- 
tries. You will be asked to sponsor the program jointlv with the training within 
industry district representative. This intensive training was developed by the 
training withm industry branch and State departments of vocational education 
together with this office, from long-accepted help training material. It contains 
the minimum essentials designed to help the foremen start workers on new 
]obs. Following is a brief outline of the suggested steps in the inauguration of 
this program: 

1. A training within industry district representative will contact the State 
director for working out the program. 

2. Training within industry will contact defense industries and make arrange- 
ments for an organizational meeting of industry representatives to consider the 

3. Following this meeting, if a plan is accepted by industry, a selected group 
of not more than 20 men will attend an Office of Production Management train- 
ing institute for 20 hours of intensive instruction in job instructor training methods. 
Ihis institute will be conducted by training within industry. 


4. Those who successfully complete the 20-hour training will conduct 10-hour 
training sessions for sui)ervisors. ^^'llen the instructor holds these sessions on 
his own time, he is entitled to additional pay and may be carried on the State 
pay roll, paid from defense funds to be charged to supervision, or he may be 
paid in any manner provided in the State plan. If the sessions are held on time 
covered by the instructor's regular salary, he may not draw additional compen- 
sation. The most successful of these trainers may be used to conduct training 
institutes for the training of additional instructors. 

5. First contacts and general arrangements for plant instructor training 
sessions will be made by training within industry consultants. 

G. The first contacts will be followed up and final arrangements will be made 
by someone selected l)y the State director to act as local supervisor of the program 
in cooperation with training within industry. This individual should be selected 
in advance of the holding of the organizational meeting and the training institute 
and should attend these in order to become thoroughly familiar with both the 
content of the condensed job instructor training and the plan of operating the 
program. First contacts with the plants and general arrangements for the 
instructor training sessions will be made by training within industry consultants. 

This program is being succes.sfully staged in a numljer of States and seems to 
meet an urgent need of industry. It should not be considered a complete in- 
structor training or foremanship training program but should be regarded as 
supplying a most urgently needed first step. It should be followed up with 
whatever training is indicated by the individual situation. 


Securing competent instructors who have had recent industrial experience 
has been and still is one of the greatest problems confronting those responsible 
for the administration of the national defense training program. Insofar as it 
has been possible to do so, part-time instructors for defense classes have been 
drawn from the ranks of .skilled labor. A few skilled industrial workers are 
employed as full-time instructors. Several industrial arts and day trade 
teachers are now employed in the defense training program. Every possible 
source has been exhausted in the search for teachers. Because of the shortage 
of competent instructors, many planned and approved classes have been delayed. 
Since instructors are not available in certain fields of work, it wiU be impossible 
to conduct several classes that have been approved. 



The State Social Security Commission was created by an act of the Fifty- 
ninth General Assembly in June 1937, and has responsibility for administration 
of the following programs: 

Old-age assistance. 

Aid to dependent children. 

General relief. 

Child welfare. 

Distribution of Federal surplus commodities. 

Certification service for Civilian Conservation Corps. 

Certification service for Work Projects Administration. 

The State law gives the Commission broad powers in establishment of rules 
and regulations governing the assistance programs, and establishes certain basic 
eligibility requirements for assistance payments in the different categories. The 
State Commission fimctions under a comprehensive plan of administration, 
which is in conformity with the Federal social security law. atid the requirements 
of the Federal Social Security Board. 

The Fede al Government participates with the State in the old-age assi.stance 
and aid to dependent children programs to the extent of matching State funds 
dollar for riollar, and also makes a Federal grant for child welfare services. 

The State Social Security Commission has an office in every county in the 
State and the city of St. Louis, and maintains a staff in each office for the purpose 
of carrying out the manifold duties of the law in regard to the assistance pro- 


grams. In each county there is established, under the law, a commission of four 
members, appointed on a bipartisan basis, to serve in an advisory capacity to 
the local ofhce of the Social ISecurit}' Commission. 

The following are the requirements for public assistance in Missouri, including 
residence requirements: 

Old-Age Assistance 


Persons to be eligible must meet the following requirements: 

1. Be 65 years of age or over. 

2. Be incapacitated from earning a livelihood and not have sufficient income or 
other resources, whether such income or resources is received from some other 
person or persons, gifts or otherwise, to provide a reasonable subsistence, compat- 
ible with decency and health, and is without adequate means of support. 

3. Have resided in the State 5 j'ears or more within the 9 years immediately 
preceding application for assistance, and for 1 year next preceding date of appli- 
cation for assistance. (Sec. 9407, Revised Statutes 1939.) 

The law further provides that benefits shall not be payable to any person who: 

(1) Has made an assignment or transfer of property for the purpose of render- 
ing himself eligible for benefits; 

(2) Owns or possesses cash or negotiable security in the sum of $500 or more; 

(3) Owns or possesses property of any kind or character in excess of $1,500 or 
has an interest in property the value of which exceeds said amount; 

(4) Is married and actually living with husband or wife, if the value of his or 
her property, or the value of his or her interest in property together with that of 
such husband or wife exceeds $2,000; 

(5) Is an inmate of any public institution at the time of receiving benefits. 
An inmate of such an institution may, however, make application for such bene- 
fits, which if granted, shall not begin until after he or she ceases to be an inmate; 

(6) Has earning capacity income, or resources, whether such income or re- 
sources is received from some other person or persons, gifts or otherwise, sufficient 
to meet his needs for a reasonable subsistence compatible with decency and health 
(sec. 9406, Revised Statutes 1939). 


The maximum monthly assistance grant, under the law, shall not be in excess 
of $30 for each person approved for old-age assistance, and is not to exceed $45 
in the case of husband and wife living together, each of whom is drawing an 
assistance check. 

Aid to Dependent Children 

Children to be eligible must be — 

1. Under the age of 14 years, or 

2. Between the ages of 14 and 16, if the child is regularly attending school, or 
is physically or mentally incapable of attending school. 

3. Deprived of parental support or care by reason of death, continued absence 
from the home, or physical or mental incapacity of a parent. 

_ 4. Must be living with father, mother, grandfather, grandmother, brother, 
sister, stepfather, stepmother, stepbrother, stepsister, uncle, or aunt. 

5. Must have resided in the State for 1 year immediately preceding the appli- 
cation for benefits, or who was born within the State within 1 year immediately 
preceding the application and whose mother has resided in the State for 1 year 
immediately preceding the birth. (Sec. 9408, Revised Statutes 1939.) 


The amount of assistance which is granted is based upon the need in each 
individual case, but in no instance can it exceed $18 for one child, and $12 for 
each additional child living in the same home, provided the maximum amount 
does not exceed $60 for any single household. 

General Relief 

The general relief program, which is administered entirely from State funds 
does not have specific eligibility requirements set up for it. The law defines 


general relief aa aid or relief in cases of public calamity. (Sec. 9396, Revised 
Statutes 1939.) 

Before the general relief proRram was established, the responsibility for the 
support of the poor rested on the fountv court for the inhabitants of each county. 
(Sees. 12<)r)0 and 12953, Revised Statutes 1929.) 

The following is a definition of an inhabitant as it relates to county support of 
the poor: ''No j)erson shall be deemed an inhabitant within the meaning of this 
article, who has not resided in the county for the space of 12 months next preced- 
ing the time of any order being made respecting such poor person, or who shall 
have removed from another county for the purpose of imposing the burden of 
kee])ing such jwor person on the county where he or she last resided for the time 
aforesaifl." (Sec. 12952, Revised Statutes 1929.) However, the county court 
shall at all times use its discretion, and grant relief to all persons without re- 
gard to residence, who may require its assistance. (Sec. 12954, Revised Statutes 

During and following the depression years, the county courts were unable to 
meet the increasing requests for aid from persons in need and, therefore, it became 
necessary to make appropriations from State funds for general relief. At the 
present time general relief is provided largely from State appropriations rather 
than county funds, although in some counties a part of the relief granted is 
provided locally. 


General relief, during the current bienniuni, has been almost wholly restricted 
to unemployable y)ersons and some employable families in which there are chil- 
dren, because of the Inadequacy of available funds. 

The following residence requirement has been established as a policy of the 
commission: "A person in making application for general relief must reside in the 
State for 1 year immediately preceding application for assistance. Temporary 
assistance may be granted to nonresidents during the period while verification of 
their residence in another State is made, and authorization is obtained to return 
them to their place of legal residence." 


No specific amount of assistance is set up by law to be granted for general 
relief. Relief funds are allotted to the counties each month on the basis of 
number of cases which local offices of the commission estimate will need help 
during the month, and after taking into consideration funds available for the 
biennial period. 

Other Programs 

Surplus commodities, furnished by the Federal Surplus Marketing Administra- 
tion, are distributed to persons in need by the State social security commission. 
The State social security commission also acts as the selecting agency in Missouri 
for the Civilian Conservation Corps, and as a referral agency in designating 
persons eligible for employment under the program of the Federal Work Projects 

Division op Child Welfare 

The child welfare division of the State social security commission has re- 
sponsibility for developing service and protection to those children who have 
no parents or relatives who can care for them. There are four departments in 
this division as follows: Supervision of child caring agencies and institutions, 
supervision of juvenile probation, foster care department for State wards, and 
child welfare services. 

Policies Concerning Nonresidents 

Since the Federal transient program was discontinued in 1935, the care of 
transients has fallen almost entirely on local communities, due to the fact that 
State relief funds have been very limited. Because there were no special appro- 
priations for transients, and no definite organization set up to meet the problem, 
the needs of this group have been met in varying degrees, dependent upon local 
funds and attitudes. In general, aid to transients during the past few years 
has been discouraged, and in many instances, poor practices have developed 
in the counties, such as the purchase of gasoline to enable the person or family 
to leave the locality, or temporary assistance with food. 

In the old age assistance and aid to dependent children programs, the State 
policy has been to allow recipients to visit out of State 6 months. This is extended 


in individual cases where the health of the individual will not permit return 
within this period. 

In the general relief program, under State policy, State funds may be used to 
grant assistance to transients for a temporary period while their legal residence 
is being verified. However, limited State funds for relief has made the use of 
this policy very restricted. 

The main defense areas in Missouri which have attracted large numbers of 
workers outside of the local areas are as follows: 

Area: Defense projects 

Pulaski and Texas Counties Fort Leonard Wood. 

St. Charles County Weldon Springs ordnance plant. 

St. Louis City Several projects with defense priority. 

Jackson County Small arms munitions plant. 

Newton and McDonald Counties Camp Crowder. 

The problem of assistance to transients has as yet been small in these areas. 
In the Fort Leonard Wood area, which has attracted the largest number of 
outside workers, it was anticipated that there would be a residue of stranded 
workers at the end of construction. However, this was not true, since almost 
all of the workers were able to leave the area without any assistance, and moved 
on to other points where employment opportunities had developed as a result 
of other defense projects. 

Caseload Statistics 

The attached tables show the general relief, old age assistance, and aid to de- 
pendent children caseloads, and amount of assistance granted in the State during 
the past 12 months. 

On the old age assistance and aid to dependent children tables it is to be noted 
that there was a sharp decrease in the average old age assistance and aid to de- 
pendent children grants in July, 1941. This is due to the fact that legislative 
appropriations for these programs were insufficient to maintain payments on 
their former basis. As a result, much difficulty is being experienced by old age 
assistance and aid to dependent children recipients in all parts of the State, and 
especially in those defense areas where rents have risen and costs of other neces- 
sities of life have increased greatly. 

The rise in rents is forcing public assistance clients to move to very inadequate 
living quarters. Families are moving together and old age assistance clients 
are being forced to move in with children. Such conditions cause crowding and 
disturb family relationships. Newton County reports an Aid to Dependent 
Children case of seven persons moving into a two-room house, in which another 
family was already living. St. Charles County reports four families living in 
chicken houses. Pulaski County reports instances of two and three families 
living in houses which would ordinarily accommodate one family. 

During the period from October 1940, to October 1941, there was a decrease 
of 9,455 cases in the number of general relief cases making the present total case 
load the lowest it has been since the beginning of State-wide general relief in 1932. 
The current decrease has been almost entirely in the cases classified as "employ- 
able," there being a decrease of 8,878 "employable" cases in that period. The 
limited amount of State funds for relief during the past few years has placed 
most of the emphasis on granting assistance, first, to the unemployable group, 
and secondly, to those employable families in which there are minor children. 
Relief funds for employables have been, of necessity, used sparingly and at no 
time has sufficient money been available to care for all employable families in 
need of relief. 

A more limited State appropriation for the biennium 1941-42 necessitated 
further restrictions on relief to employable familes which were effected during 
the months of July and August 1941. These, in part, account for the present 
reduced size of the general relief caseload. Reduction in caseload from June to 
September 1941 amounted to approximately 5,200 cases, in comparison with an 
average reduction of somewhat less than 1,000 cases during each of the earlier 
months of the year as a result of seasonal decrease in need and increased employ- 
ment opportunities. 

It is not possible to determine exactly how many cases which were closed as a 
result of administrative policy would not have been closed under previous policy. 
It is clear that the number to which relief was discontinued due to administrative 
policy was substantially in excess of the number which would have been closed 
had the trend evidenced in previous months continued. It is equally true that 
the number of families to which relief was discontinued, who have subsequently 
obtained employment, is unknown. 


Under the present policy of the Slalo social security commission, general relief 
may be granted to unomployablo families, and to those employalile families who 
have children under 18 years of age, if resources of such families are insufficient 
to provide 70 percent of the budgetary needs. The fact that there has not been 
more evidence of unmet needs called to the attention of the State commission by 
clients and communities since the restrictions of July and August were placed into 
effect, would seem to indicate a considerable absorption of persons no longer 
receiving relief through employment resulting directly, or indirectly, from defense 

Further evidence of increased employment with a resulting decrease in need 
has been founri in: 

1. The employment of certain older persons who have been previously con- 
sidered unemjiloyable. 

2. The smaller monthly rates of increase in old age assistance and aid to depend- 
ent children recipients. 

3. A greatly decreased number of applicants for Civilian Conservation Corps 

While it is not possible to forecast the extent of the relief problem which would 
be created by curtailment of present defense activities, it is almost certain that 
there will be a substantial increase in need for public assistance if the present 
activity decreases and no other employment is available. 

At the present time, Missouri's public assistance programs are not meeting 
budgetary needs of families under care, and an increase in the number of families 
needing assistance would result in one of two alternatives; either a further decreased 
level of care for all families, or, restriction of relief to substantially the group now 
under rare and failure to meet the needs of persons applying as a result of increased 

In October 1941 the average amount of relief was $14.48 for all cases, or an aver- 
age of $17.57 per family case, and $9.67 per single person case. An increase in migra- 
tory workers would have the same effect as an increased number of unemployed 
resident persons. As present funds are insufficient to meet the needs of resident 
families, it would seem clear that they could not be stretched to include migrants. 
Local funds are also inadequate, constituting less than 4 percent of the total 
expenditures for general relief. It would not appear that any substantial number 
of migratory workers could be cared for from this source. 

Removal of Families from Defense Areas 

Other problems which have been brought about by defense developments have 
occurred as a result of the displacement of families because of large areas of land 
being taken over by the Government for Army location. The areas which were 
taken over in Missouri were entirely rural. This relocation of families caused a 
housing shortage, a shortage of available farms and many changes in the famiPes' 
normal life. Some farm families were forced to move to town. Farm families 
had to move to entirely new areas where they were imknown, and many were 
forced to move over 100 miles to find other farms. There was insecurity due to 
the slow payment for land and loss of crops. Many families had no cash with 
which to move, and tenants had no way of obtaining credit for moving expenses. 
The following tabulation gives the number of families who were forced to move as a 
result of national defense developments, and shows the break-down of the number 
of cases who were receiving public assistance from the Social Security Commission. 

Total families displaced 
Fort Leonard Wood area: 

Pulaska County 310 

Texas County.. 20 

Total 330 

Weldon Springs ordnance plant: 

St. Charles County 184 

Total _ 184 

Camp Crowder: 

Newton Countv 547 

McDonald County ' 82 

Total 629 

> Estimated. 



Public assistance families displaced 

Fort Leonard Wood area: 

Pulaska County 90 

Texas County 

Total 90 

Weldon Springs ordnance plant: 

St. Charles County 17 

Total 17 

Camp Crowder: 

Newton County 118 

McDonald County 82 

Total 200 

Displacement of Workers Due to Defense Priorities 

The eflfect of displacement of workers due to defense priorities has not been 
reflected to any considerable extent in increased applications for assistance at the 
local offices of the State social security commission. Recent reports from the 
St. Louis city office indicate that there has been no appreciable increase in applica- 
tions which could be attributed to the fact that workers are losing their jobs 
because of the closing of plants and industries due to priorities placed on materials. 

The St. Louis County office of the commission reports that some workers have 
been displaced in the sales division of the automotive industry because of the 
decreased production of automobiles. 

The Jackson County office of the commission, which area includes Kansas 
City, estimates that approximately 10 applications for assistance are being 
received each week from persons who had been working for firms that are now 
unable to obtain supplies because of priorities. The director of the Jackson 
County office predicts that unless some action is taken to protect small firms 
as the defense program expands in Kansas City and the effect of priorities is 
consequently felt more strongly, that the relief problem will become increasingly 

Number of old age assistance recipients and amount of payments, October 1940-41 

Year and month 

Number of 

Amount of assistance 


per re- J 
















116, 192 
115, 752 
109, 238 
109, 140 

108, 349 
106, 746 
104, 370 

503, 309. 60 
490. 072. 10 
477, 080. 30 
452, 045. 30 
0,39, 891. £0 
997, 340. 00 
969, 982. 00 
950. 256. SO 
949, 008. 50 

1, 597, 335. 65 
1, 564, 702. 63 

$12. 88 




Number of aid to dependent children recipients and amount of payments, October 


Year and month 







May - 









Number of recipients 


14, 278 
14, 206 
14, 0,58 
13, 937 
13, .503 
13. 230 
13, 179 

13, 181 


32, 9C9 
32. 942 
32, 485 
32, 297 
30, 945 
30, 944 

31, 078 
29, 413 

Amount of assistance 


$328, 438. 15 
327, 354. 05 
407. 9,54. 81 
403, 293. 25 
396, 465. 1 1 
394, 336. 59 
393, 563. 31 

318, 165. 48 
298, 199. 15 




$22. 97 





10 14 

Number of cases receiving relief and amount of assistance, October 1940; October 1941 

Year and month 

Number of recipients 




Amount of assistance 


























15, 439 
15. 481 
16. 825 
18, 854 
20. 708 
22. 396 
24, 102 
25, 251 

25, 787 

26, 101 

25, 923 
25, 183 
24, 894 

10 212 
10 819 

12, 092 

12, 965 
12, 850 
IS, 847 
14, 136 
15, 039 
14, 968 
14, 729 

13, 678 

210 966.73 
208. 729. 30 
271.046. 11 
316, 262. 60 
3.58. 015. 46 

330 204. 61 
314, 485. 55 

$17. 57 

15. 04 



$14. 48 
13. 09 
13. 12 
13. 89 



NOVEMBER 26, 1941 

With the advent of the national defense program, Mi.ssouri was confronted 
with an unprecedented traffic problem. The demand for labor, especially of the 
skilled type, caused a migration not only from the outlying sections of the State, 
but also from the surrounding States to the defense project areas. The majority 
of the laborers come in private automobiles and these combined with the many 
trucks used to material to the areas increased congestion and traffic 
accidents with which the existing highway facilities have been unable to cope. 
The function.'il design of the roadways permits the rapid, safe passage of only a 
limited number of vehicles and there is little that the police or the drivers can 
do to increase the capacity of these roadways. Whatever contributions can be 


made toward improving the traffic situation can only be in regard to reducing 
accidents. This is accomplished by the slowing up of traffic and is in no way 
consistent with an adequate transportation system. Traffic accidents in this 
case are a true barometer of our inadequate transportation system. Thus, the 
problem reduces itself, not to accident reduction but to the fundamental problem 
of efficient transportation. 

Automotive transportation is essential to organized society and will continue 
to be essential long after the defense projects have been eliminated. A critical 
analysis of the present highway and traffic situation in Missouri proves that 
engineering alone can solve the problem of congestion. This can be accomplished 
by the reconstruction of existing roadways and by construction of new, modern 
roads designed to carry modern traffic. 

The following is a list of the defense-project areas and a short summary of 
conditions around each: 

I. Fort Leonard Wood 

Fort Leonard Wood is located in the south central portion of the State and has 
so far been the greatest problem connected with the defense projects. The high- 
way's giving access to this area are U S 66, Missouri 17 and 28. Over these 
roads there has been a 965-percent increase in traffic flow, resulting in a 417-per- 
cent increase in accidents. This has been due to the migration of some 50,000 
workers into the area and due to the fact that many of these workers commuted 
up to 30 miles during the construction period; also to the fact that a majority of 
the construction material was trucked into the area, since there was no railroad 
transportation to the camp proper. At the present time, construction has almost 
ended in the camp itself, but there is in contemplation construction of a new air- 
port located near Vichy, Mo., which will bring in a large number of workers. 
Although the construction period is almost ended, the traffic flow is still four 
times greater than normal. With the increased traffic flow the accident rate rose 
alarmingly and consequently made this area still more of a problem. The present 
flow has appeared to stabilize itself, which means that this area will continue to 
be a constant problem, due to tne strain on the capacity of the roads involved. 

The above conditions are more readily understood when it is realized that this 
camp was constructed in a county with a population of less than 11,000 people. 
Into this county, with housing facilities for 11,000 people, moved the 50,000 
workers and many thousand soldiers, and the work was concentrated in one small 
section. It was necessary for these workers to scatter far and wide over three 
counties to find homes and all had to be adjacent to the only main highway in 
the area so they would have access to their work. 

II. Camp Crowder 

This camp is located in the southwestern part of Missouri. The access roads 
are U S 71, U S 60, and the county roads in the vicinity. At the present time 
there are about 16,000 workers from this camp and it is expected that the traffic 
flow will increase from 300 to 500 percent over the preconstruction period. All 
of these roads were built to carry ordinary traffic for a sparsely settled locality. 
Much of the slow traffic has been eliminated, due to the fact that most of the 
material is taken directly into the camp by rail. 

The nitrate and loading plants just across the Missouri line in Galena, Kans., 
are other causes for the traffic increase, since many of the workers in these plants 
commute from Carthage, Joplin, and Carl Junction. The problem here will not 
be so great as that at Fort Wood, even though the roads are already overloaded. 

Ill, Weldon Springs TNT Plant 

This plant is located near the metropolitan district of St. Louis on U S 40 and 
61. Approximately 15,000 workers are now employed, and in this instance there 
has only been a 250-percent increase in traffic. Since the production personnel 
is expected to be equal to, if not greater than the construction personnel, no 
lessening of traffic can be expected here. The bomber plant now under construc- 
tion at Lambert Airfield has added its share of traffic to U S 66. Almost all of 
the workers at the TNT plant and the bomber plant commute from the city of 
St. Louis and its suburbs. 

IV. Small Arms Plant at Lake City 

This plant is located near Missouri 7 just east of Kansas City, Mo. The access 
roads are U S 24, U S 40, and Missouri 7. There has been a 1,670 percent in- 
crease in traffic and very little increase in the number of accidents. Most of the 


congestii)n here is caused by the fact that, traffic is bottlenecked 

Kansas City, Mo., and i)y the Armoiir-Swift-Rurlington Bridge City and Kansas City pro])er. The roads are heavily overioaaeci. i ne 

contention has been lessened somewhat by staggering the working shifts of the 

people employed at the plant. 

both in North 

between North 

verloaded. The 

V. Ammonia Plant Near Louisiana 

This plant is located just south of Louisiana and its access roads are Missouri 79 
and the many county routes. All of these roads are built to handle local traffic 
in a farming community. The plant employs about 1,000 workers. The cars of 
these workers have overloaded the roads, but the problem arises not from con- 
gestion, but from possible accidents. 

It can readily be seen from the problems resulting from construction in these 
areas, both metropolitan and out-State, that in all instances road facilities have 
been inadequate to handle the traffic increase adjacent to defense projects. 


November 22, 1941. 

The health problems created by national defense activities in Missouri have 
been investigated and reported upon in detail by various State and national agen- 
cies. Such reports by the State board of health and the United States Public 
Health Service are available for the various areas concerned. It is a fact that no 
area involved had entirely satisfactory health facilities before the emergency 
existed, however, this varied all the way from practically nothing to reasonably 
adequate, based on average prevailing conditions. Consequently, it is an ex- 
tremely difficult, if not an indeterminable problem, to define the exact extent that 
the present emergency has caused conditions detrimental to public health. 

Further, the magnitude of the problem, even in the immediate future, has been 
difficult to determine due to lack of definite information concerning the size and 
demands of the defense projects and to what extent any particular locality will be 
selected as recipient of the impact. 

Purpose of This Report 

It is the purpose of this report to,'in general, summarize the health problems 
existing to date in Missouri due to national defense activities — their cause, nature, 
need for control, and factors retarding satisfactory control. More detailed infor- 
mation is available in above mentioned reports. 

Areas Involved 

1. Fort Leonard Wood, Seventh Corps Area Training Center, capable of hous" 
ing a military population of 35,000 to 40,000, located in Pulaski County, having 
a population of 10,772 (1940). There were no cities over 400 population (1940) 
in Pulaski Countv before the emergencv and the two largest cities within a radius 
of 45 miles of the" fort are Rolla, 5,141 (1940) and Lebanon, 5,025 (1940). 

2. Camp Crowder under construction at present reported to be planned for a 
military population of 18,000 located in Newton County, population 29,039 (1940), 
about i mile south of Neosho, county seat, population 5,318 (1940). The largest 
cities within a 25-mile radius are Joplin, population 37,144, and Carthaee, 10,585. 

3. Lake City Small Arms Plant— Jackson County, population 477,828 (1940), 
within 20 miles of Kansas City and Independence. Construction just completed — 
employees estimated at 4,000 to 6,000. 

4. Anhydrous ammonia plant located near Louisiana, population 4,669, Pike 
County, under construction at present will require 1,000 to 1,500 workers; perma- 
nent employees estimated at 450. 

5. Weldon Springs Ordnance Works, practically completed, located in St. 
Charles Countv, 14 miles from St. Charles, population 10,803, county seat; will 
employ 2,000 to 3,000 persons. 

6. St. Louis metropolitan area — Jefferson Barracks — located in this area and is 
having a considerable increase in military population. In addition, the numerous 
defense industries in St. Louis City and St. Louis County as well as East St. Louis 
will increase the population of this area variously estimated from 25,000 to 200,000 


Facilities Essential to Health Peotection 

1. Safe, adequate water supply. 

2. Adequate and efficient sewerage system. 

3. Well controlled and supervised general sanitation including milk and food 
sanitation, garbage and refuse disposal, mosquito control, etc. 

4. Adequate housing facilities. 

5. Sufficient hospital facilities, well operated. 

6. Adequate, experienced health personnel constituting an organized health 

Health Problems 

Health problems in these defense areas are created due to (1) the rapid increase 
in population, (2) limited existing facilities for health protection overtaxed due 
to rapid population increase, (3) inability of these communities to finance needed 
facilities, (4) delay in financial assistance from outside sources, and (5) recognized 
danger of spreading epidemic diseases due to migrations of large numbers of people. 

In practically all of these areas the facilities such as water supply, sewerage 
systems, hospital beds, etc., either do not exist at all or are not adequate for 
present increases in population. As an example, the city of Waynesville, nearest 
city to Fort Leonard Wood, did not have, and still does not have, a public water 
supply or sewerage system. The Fort Leonard Wood area had, and has at present 
only 40 hospital beds available in priv^ate institutions, whereas, it is estimated 
that at least 200 beds will be required to be distributed about equally at Rclla, 
Waynesville, and Lebanon. 

Housing in all areas is a problem although work has already started to remedy 
this situation. From the health standpoint, the lack of water and sewage facili- 
ties is one of the greatest drawbacks to satisfactory housing. General sanitation 
control including milk sanitation, garbage and refuse disposal, mosquito control, 
etc., are not effective in most of the defense areas due to insufficient local funds 
and personnel. 

Adequate organized health units including health centers, health physicians, 
sanitary engineers and nurses were lacking in all of these areas except Jackson 
and St. Louis Counties before the emergency existed. Since that time four full 
time county health units have been established in the Fort Leonard Wood Area, 
additions have been made to the personnel of Jackson and St. Louis County units 
and also to the district health office having jurisdiction over the Neosho area. 
These expansions in local health services have been possible through the loan of 
limited personnel from the United States Public Health Service and Federal funds 
from title V and VI of the social security law. However, there has been practically 
no increase in these funds for Missouri since the emergency began, consequently, 
sufficient personnel is not available to do a satisfactory job in any of these areas. 

In addition to adequate full-time personnel, a satisfactory health and medical 
care program cannot be maintained without the facilities indicated above as well 
as local law enforcement personnel and local facilities for incarceration and 
detention. The latter are particularly essential to control venereal disease which 
is showing a rapid increase among the troops. Further, we are entering the second 
winter of the emergency with no additional hospital facilities in any of the areas 
and alread}' the threat of a serious influenza epidemic is indicated. 

Local funds and local leadership are for the most part insufficient and lacking to 
even attempt a solution or control of the many existing health problems. The 
facilities of the State board of health are being strained to the limit to provide the 
meager health organizations in existence. No additional funds for this board 
will be available until the next legislature convenes in 1943 and the problem 
continues to increase and become more acute. 

Additional facilities, such as water and sewage works in certain defense areas 
will be provided through Defense Public Works probably within the next 6 to 9 
months or about 18 months after the emergency started. However, we are 
informed that in the newer defense areas, such as Neosho, no funds will be available 
from the present appropriation from the Lanham community facilities biU. 

As previously indicated, limited loaned health personnel have been made 
available from the LTnited States Public Health Service. This personnel is inade- 
quate in number and the plan from an administration standpoint is not entirely 
satisfactory. These .statements concerning Defense Public Works and the 
United States Public Heatlh Service are no reflection on the sincerity and earnest- 
ness of these Federal agencies to do the best possible under the legal restrictions 
and deficiencies of the program as established by Federal statutes. 



1. 'i'liat to a grcalor or loss degree in all defense areas in Missouri, faeilities as 
well as health organizations, are lacking or deficient to provide adcr|uatc public 
lieaith protection from conditions created in whole or in part by the national 

2. That local ability to cope with this added health problem is lacking, at least 
in the inunediate future. 

3. That a conscientious effort is being made to provide aid and assistance from 
Federal and State sources within statutory limitations. However, the defense 
created health emergency has been developed more rapidly and is far ahead of the 
present program to provide for adequate healt h protection in areas. 


DONNELL— Resumed 

Tho Chairman. Mr. Anderson, one of the first things the committee 
would Hke to learn from the panel is the degree to which the (h>fense 
program has caused population movements within the State and at- 
tracted persons from outside the State into Missouri in the hope of 
getting defense work. 

Mr. Anderson. I think Mr. Doarn is familiar with that. 

Mr. Doarn. For some time in the various local offices of the 
Employment Service, particularly in St. Louis and Kansas City, we 
have been keeping a record with respect to the place of former resi- 
dence of persons registering with our local office in Missouri. That 
seems to indicate that in the two metropolitan areas of St. Louis and 
Kansas City, 15 percent of our new applications each month are com- 
ing from rural Missouri and from points outside of the State. 

The Chairman. Can you give us an idea of the principal defense 
projects in Missouri responsible for inducing this movement and 
where they are located? 

Mr. Doarn. The principal manufacturing projects in Missouri — 
those engaged in production work — are located in Kansas City and 
St. Louis. There are some manufacturing plants elsewhere in the 
State and some cantonment projects under construction. There is the 
Camp Crowder project at Neosho, a rural section of the State, and the 
anhydrous-ammonia plant to be constructed at Louisiana, 100 miles 
north of St. Louis. 

The bulk of the production work, to the extent of $300,000,000, has 
been allocated to St. Louis. There has been $100,000,000 allotted in 
Kansas City. 

Mr. Curtis. Are there any areas in tho State especially affected 
by out-migration? 

Mr. Doarn. I have some figures with respect to the break-down of 
people registering, showing the percentage coming from rural Missouri 
and those coming from other States. 

Mr. Curtis. In addition to that, have you any locality where whole 
families are picking up and moving and going outside of Missouri? 

Mr. Doarn. No, sir. 

Mr. Anderson. From newspaper reports there apparently is some 
of tliat going on in Kansas City. People are leaving Kansas City, 
particularly for the west coast, to work in the aircraft plants. There 
are a number of schools in Kansas City training workers for the air- 
craft industry, and the pupils are leaving as fast as they are trained. 


Mr. Arnold. The committoe has noted that there is an increase in 
traffic accidents since the defense program started, particularly in 
rural areas, where the cantonments and ammunition plants are located. 
I wonder if Captain Ramsey can tell us the facts on that. 

Captain Ramsey. Yes, sir; there has been a decided increase in 
those places because of the fact that these highways were not built to 
handle the traffic they are now handling and because the workers, 
when they come to these jobs, come in old, dilapidated jalopies, 

Mr. Arnold. Under the bill recently signed by the President, I 
assume that you expect to get additional road facilities in those 

Captain Ramsey. That is right. 

Mr. Arnold. And thereby greatly reduce traffic accidents? 

Captain Ramsey. Yes, su*. 


Mr, Sparkman. Dr. Stewart, I would like to ask you a question 
with reference to the health conditions prevailing throughout the 
State. We have found, going about, that there is great need for 
increased facilities, including medical care, in these expanded areas. 
Would you tell us something about the conditions that may prevail 
here and the health problems growing out of them? 

Dr. Stewart. Our first cantonment is Fort Leonard Wood, located 
in Pulaski County, which is a very rural county. 

Mr. Sparkman. How far is it from St. Louis? 

Dr. Stewart. About 140 miles; and it is in a strictly rural section. 
That is our first cantonment. Then, down in the southwest portion 
of the State, we have now under construction Camp Crowder, another 
cantonment, where we have, as I have said — ^and I may be just a 
httle bit strong in my statement — no hospital facilities whatsoever. 

Just referring to the question asked of Captain Ramsey a minute 
ago, we had 781 deaths in ^Missouri from traffic accidents in 1940. 

We have no Avay of taking care of those people. We have an influx 
of people, as he has said, in all kinds of conveyances, and they are 
living in shacks and tents and lean-to's, and even, in a few isolated 
cases, in caves, if you please. 

We have a venereal-disease problem to an extent that we might say 
w^e have a "red light district" in Missouri from the city of St. Louis 
all the way through on Highway 66, taking in Fort Leonard Wood, 
and down into Camp Crowder, in the southwest part of the State. 

There is a question and a problem of control. The increase of 
venereal disease has been very great, as reported by the officials of 
Camp Leonard Wood. 

We are just at the present moment threatened with an epidemic of 
influenza such as we experienced last winter, when we had to convert 
our Trachoma Hospital into a hospital for hifectious diseases. We are 
in dire need of hospitals through that section. It has been so reported 
to the P. W. A. and the United States Public Health Service. We have 
many public health units throughout the State and particularly through 
that section, and we are douig all we can with the facilities we have 
at hand. We feel that the need of constructing a hospital or two in 
that area is most urgent for the safety of the civilian population. The 
Army can take care of its people, of course, but there is nothing at all 


lhrou<rh tliat soctioii to protect those peojjle who have been brought 
in because of tlie construction work on the cantonments. 

Mr. Si'ARK.MAN. Are appHcations being made for assistance under 
the Lanham Act? 

Dr. Stewart. Yes. We have received some assistance. For ex- 
ample, the Government has been approached for a health center at 
Waynesville, the nearest point to Fort Leonard Wood. We have a 
temporary building there at the present moment. Our request has 
been approved. We also have had a health center approved at 
Lebanon, some 30 or 40 miles away. 

A school has been approved for Waynesville, as well as a water and 
sewerage project for that community. 

Mr. Sparkman. So you feel that some relief is being obtained? 

Dr. Stewart. Some relief in the very near future, and it is very, 
very badly needed. But the greatest need at the present time — and 
the Public Health Service has been made acquainted with that fact 
as well as the P. W. A. — is the need for hospitals. I am sure that 
would be a great relief. In fact, it is absolutely essential that we have 
some relief of that sort, and very promptly. 


Mr. Sparkman. Mr. King, let me ask you a similar question with 
reference to the school burden. Have you felt an increased demand 
on the school system of Missouri from the increased population load? 

Mr. King. We have made a number of surveys in the affected cen- 
ters. Some of the need is being met through that first bill that was 
passed for some additional building. One has already been approved 
at Waynesville. But our immediate problem is the maintenance and 
operation of the school plants that have increased enrollments due to 
the influx of workers. In our State, as the State aid for education is 
based on attendance estabhshed in the previous year, an increased 
load coming in now would not be reflected in increased State aid for 
this year. So our problem is to have sufficient maintenance and oper- 
ation money in certain areas to permit tliem to operate their schools 
until they have established their increased attendance, thereby 
qualifying them for State aid. 

Mr. Sparkman. I believe under the Lanham Act maintenance and 
operation money is not let out, at least none of it has been let out yet. 

Mr. Arnold. Captain Ramsey, I wonder if you would be able to 
tell me for the record what places in the rural areas under your juris- 
diction have been most afflicted with traffic accidents. 


Captain Ramsey. The first one would, of course, be Fort Leonard 
Wood, w^hich is located in the hills of Missouri. The roads were buOt 
for the transportation of possibly not over a fourth of what they are 
now carrying. 

Mr. Arnold. The load has been mcreased fourfold? 

Captain Ramsey. Yes. The second is Camp Crowder at Neosho. 
The third one is the Weldon Springs Ordnance Works at St. Louis. 
The fourth is the Lake City plant at Kansas City. And now there 
is the ammonia plant at Louisiana, Mo., mider construction. So far 
we have not had much of a problem at that place. 


Another factor that increases the accident rate materially is that 
the men in service are given furloughs of short duration. They have 
their own cars. They start home, and in order to have as much time 
as possible, they ride at a rate of speed that is not in accordance with 
the road conditions. The recommendation that I have to make is 
that soldiers on furlough be required to use service trucks, with a 
good service driver out of their own organization. I think we would 
eliminate at least 50 percent of the accidents in the State if that 
were done. 

Mr. Arnold. But you are convinced that additional road facilities 
are required? 

Captain Ramsey. Very badly, 

Mr. Curtis (to Mr. King). Have you noticed any community in 
which the decline of population has been so large as to occasion the 
closing of schools or the laying off of teachers? 

Mr. King. The only place that has happened is where the Govern- 
ment has bought land for a camp or a cantonment. 

Mr. Curtis. And if a school happened to be located on such a site? 

Mr. King. The families have moved out because of the purchase by 
the Government of that property. I don't call to mind any example 
of any local school district being depopulated by any other kind of 


Mr. OsMERS. Dr. Stewart, I was very much interested in your 
remarks, and I am wondering if you are familiar with the contentions 
and conclusions of Dr. Parran and Dr. Vonderlehr in their recent 
book on the subject of venereal disease at Army camps. ^ 

Dr. Stewart. Yes, sir. 

Mr. Osmers. From a review of that book, I gather that they 
recommend that the Army itself, acting through its commanding 
generals at various camps and defense points, exercise its authority 
in stamping out the prostitution leading to this increase in venereal 

Dr. Stewart. That is true. They are doing that. They are also 
aiding, in conjunction with our health centers, in the maintenance of 
venereal prophylactic clinics. The Army is doing that w^th the 
assistance of the State health departments. 

Mr. OsMERS. Have any results been noticed? 

Dr. Stewart. No; I am very sorry to say that the report that I got 
from Fort Leonard Wood just a few days ago was that as far as their 
cantonment was concerned, venereal disease was increasing. 

Mr. Osmers. It is a horrible commentary on our Army, because 
they did not accept any boys who were infected. 

Dr. Stewart. That is true, and the fact remains that nothing is 
being done in a tangible way to control the infected prostitutes. 

Mr. OsMERS. Cannot the State of Missouri exert its police power? 

Dr. Stewart. We could exert our police power if we had a place to 
incarcerate the prostitutes. 

Mr. Osmers. It is a lack of facilities, you mean? 

' Reference is to Plain Words About Venereal Disease, by Thomas Parran and R. A. Vonderlehr. New 
York, 1941. Drs. Parran and \'onderlehr were witnesses before the committee in July 1941 and their testi- 
mony on this subject appears in Washington hearings, pt. 17, pp. 670G-6707 and 6997H5999, respectively. 

60396— 42— pt. 23 14 


Dr. Stkwaht. Yos. Wc lack (lio f!K'iliti(>s to put them uiulcr obser- 
vation and treat tlieni and (lisclmi.t^e tlieni with orders to get out of tlie 

Mr. OiSiMKUS. And liave tlieni <j:o to some other town? 

Dr. Stewart. That is their business. But I say it is a serious 
factor afl'ecting the health of our Army. 

Mr. OsMERS. It is the greatest health factor facing the Army. It is 
a concern to this committee because the migration of infected persons 
from one ])}irt of the rnitcni States to another is a tremendous health 

Dr. Stewart. I don't thiidv it is the wise thing for any health 
d(>partnient or healtii official to thinlv that these ])eople are going to 
migrate to another community; but it is our duty to take these ])atients 
and clean them up and possibly by so doing teach them the folly of 
their w^ays and maybe send them on happy and in a condition in which 
they cannot infect some of these other chaps. 

Mr. OsMERS. You are extremely hopeful. 

Dr. Stewart. I am only that way because of the situation, if you 

Mr. Osmers. In the Missouri law, does the State board of health 
have ample authority? 

Dr. Stewart. The State board of health has wide powers in the 
control of infectious and contagious diseases. 


Mr. Osmers. Because of the lack of faci.ities it is impossible for 
you to carry out those powers? 

Dr. Stewart. Even our personnel is somewhat limited, but that is 
to be taken care of if we get the facilities to handle these peoj)le. The 
same goes for any other infectious disease. If we are afllicted with a 
serious epidemic, we liave no place to care for the victims. The same 
is true of accidents. When two or four people ai-e killed in an auto- 
mobile accident and three or more are injured, where can wc take 
them? They can't take them in the Army hosjjital. Thej'^ have to 
depend on the community hospitals, and bed capacity is very limited. 

Mr. Osmers. Do you think it would be possible or wise to have the 
Army liospitals at some of these points open up to local civilians? 

Dr. Stewart. That would be something if it could b(> done under 
the rules of the Army. They would recpiire upsetting all of the Army's 
regulations. This condition has b(MMi brought about by the defense 
program and these cantonments. It has been wished on the State of 
IVIissouri, and we'd like to have some lielp. 

Mr. Osmers. I certainly think you are (entitled to it. 

defense training courses 

Mr. King, you have been in charge of all defense training? 

Mr. King. It is administered by the State board of vocational 
education, of which I am the director. 

Mr. Osmers. What are the relations betwcu^n the various training 
schools and em{)lovment services with respect to the referral of stu- 
dents to industry on the completion of training? 

Mr. King. We have a cooperative arrangement with the Employ- 
ment Service. First we have a council of administrators that is made 


up of roprosontatives from my office, a rcpresentativo from the em- 
ployment office, and a representative from the National Youth Ad- 
ministration. That council meets periodically and clears interdepart- 
mental relationships. 

We look to the Employment Service to indicate to us the t3'^pe of 
framing that is needed and the number of men to be trained. Then, 
upon the advices that are given to us by the Employment Service, 
through an advisory committee on a State wide level we set up a policy 
with reference to the approval of courses that come to us from the 
local districts. 

Mr. OsMERS. For the State as a whole, have you figures on the total 
number trained and placed since the beginning of the training 

Mr. King. Yes; I have it broken down. Roughly, 50,000 have been 

Mr. OsMERS. And placed? 

Mr. King. Our records would indicate about 10,000 were actually 

Mr. OsMERS. 10,000 of the 50,000 have been placed? Do you have 
any break-down on the number of Negroes trained and placed during 
the same period? 

Mr. King. No; I don't have it here by wdiites and Negroes. I have 
it by courses. 

Mr. OsMERS. Are there any figures available on that subject? 

Mr. King. Yes. 

Mr. OsMERS. I think, Mr. Chairman, they might be of value if 
supplied by Mr. King. 

Mr. King. I will be glad to supply them. 


Mr. Arnold. Mr. Doarn, what arrangements have you had for 
placing workers enroUed \^ith you as available for employment? 

Mr. Doarn. We operate our registration and placement offices in 
38 areas in the State. All applicants applying at the offices are care-, 
fully interviewed and classified as to occupational aptitudes, as based 
upon education, experience, and other factors. We maintain in those 
same offices a regular staff assigned to contact employers. 

Our placement figures are running 20,000 to 35,000 a month. In 
St. Louis we placed about 6,200 persons. The remanider w^ere placed 
in the other parts of the State. About 50 percent of our placements 
have run in Kansas City and St. Louis, and the balance is not in strictly 
rural areas, but in smaller metropolitan areas throughout the State. 

Mr. Arnold. Did you place workers in nondefense as well as defense 
work? Have you any record of the workers placed in defense industry 
since June 1940? 

Mr. Doarn. Yes; I have. I can break that down by individual 
pi'ojects. On the Fort Leonard Wood project, during 1940, 43,000 
individuals were employed. Of that mimber 30,000 were placed 
through the State employment service. 

On the Camp Crowdor projc^ct at Neosho, there are now about 
15,000 iiulividuals working, and 100 percent of them were cleared 
through the local employment offices at Joplin and Neosho. 

All the construction labor on the Remington Arms plant at Kansas 
City was referred and cleared through the State employment service. 

S89S ST. LOUIS he:arings 

At tho anhydrous ftinmoiiia i)lant at Louisiana, Mo., both contrac- 
tor and (luaitcnnastor cooperated 100 percent. While only 100 or 
200 individuals are workinr;; there, 80 percent of them were chosen 
thr(»usj;h the local einjiloynient olhce. 

\N'ilh plants holding defense contiacts in St. Louis — not production 
work — we have placed S,800 individuals in 1941 so far. The amount 
of bushiess that wc arc doing with holders of defense contracts in St. 
Louis varies from 30 percent upward, and I might say that that per- 
centage ratio of placements through the employment service to indi- 
viduals working is increasing steadily; and whereas 3 to 6 months ago 
the percentage of workers being selected was very low, there is every 
hulication that from this time out it will be 50 percent and upward. 

Mr. Arnold. That is a very good percentage. 

Mr. DoARN. I can give you that by mdividual firms for St. Louis 
if you would like to have it. 

Mr. Arnold. I think we should like to have it for the record if you 
can do it. Is that included in your statement? 

Mr. DoARN. Yes. 

Mr. Arnold. We were told by Major Maloney, of the Connecticut 
State Employment Service, that his office had placed men in one-third 
of the jobs from June 1 940 to June 1941 . Can you give the committee 
a comparable estimate in terms of percentage for the State of Missouri 
for that period? 

Mr. Doarn. Not on a State-wide basis. It would be almost impos- 
sible to do it. It varies from locality to locality and depends on cer- 
tain local situations. In Kansas City, when there was a close-working 
relationship and understanding between the local office of the State 
employment service and A. F. of L. unions w^ho had jurisdiction on 
that particular job, all of those placements were cleared through our 
office. In St. Louis, in the construction projects here, none of the 
construction workers was cleared through the employment office, but 
among the production workers the ratio is higher in St. Louis. 

Mr. Arnold. You would say that the relationship is becoming 
closer and your percentages are rising rapidly? 


Mr. Doarn. On Camp Crowder it has been 100 percent through 
the State employment service. At Fort Leonard AVood it was 75 per- 
cent. On production w'orkers alone and production placements in St. 
Louis at the present time it is 30 percent, and from the present time 
on it will be 50 percent or greater, with every indication that it will 
be much higher. 

Mr. Sparkman. Mr. Doarn, let me ask you this. You mentioned 
the job in the Kansas City area where there is very close cooperation 
between the local employment office and the A. F. of L. How were 
those requisitions made? Did the employer requisition the help 
through your office, then you made the referral, and then they were 
qualified by affiliating with the unions? Or w-as the requisition made 
to the union and the union then requisitioned your office? 

Mr. Doarx. They were made directly to the employment office in 
Kansas Cit^^ We made the referrals and the arrangements had been 
made for the registration of miion members to be employed. They 
were registrants in our files. 


Mr, Sparkman. Wliat about nonunion members? Do they have 
any chance at all? 

Mr, DoARN. No more on that type of project than on any project 
where there is an understanding bet^veen employer and union with 
respect to employment. 

Mr. Sparkman, Suppose j'^ou have a nonmember of the building 
trades. Could he qualify by joinmg and then registering with you? 

Mr. Doarn. That is not a pomt, not on a construction project of 
that kind. There is no point to it. 


Mr, Sparkman. Certainly. If the employer would ask only for 
union mxcmbers, you would refer only union members to him. But 
how would the individuals who are not union members qualify? 

Mr. Doarn. By havmg an understandmg with the union. 

Mr. Sparkman. Then such a worker would have to come back to 
show you he had joined the union. Wasn't that true at Neosho? 

Mr. Doarn. At Neosho it was worked pretty much both ways. In 
other words, in certain crafts the workers were referred to the office 
and we determined whether they were to be union or nonunion on 
orders that we had. If we had available union people they were re- 
ferred. In cases where we had orders for certain types of workers and 
we did not have registered union members, we selected from our files 
on the basis of qualifications, and these people were referred from 
local employment offices to the union and then cleared to the con- 

Mr. Sparkman. When these requisitions are made of you, do you, 
in making the referrals, pick out the names referred without any con- 
trol or act on the part of the union? Do you pick out the individuals 
to be referred, rather than the unions? 

Mr. Doarn, I would say so; yes. You see, those projects are 
pretty large, and in some cases you will find that certain organizations 
will want a continuous clearance. That depends upon the relation- 
ship and understanding that you might have. I would say that as 
far as we are concerned, in Kansas City and Neosho and at Fort 
Leonard Wood, the employment service was pretty free to make its 
own selections with respect to those chosen from union groups. 

Mr. Sparkman. You gave preference to those in the immediate 
vicinity, and gradually widened and lengthened your registers as the 
need arose? 

Mr, Doarn. That is right. On the Fort Leonard Wood project 
there were workers from all but one or two counties in the State of 
Missouri. We didn't try to do it that way and we didn't keep a 
tabulation on that until after the project was completed, but it was 
rather interesting and significant to note. We found that the largest 
number of workers came from the siuTOunding communities. There 
were about 3,000 or more people referred from West Plains, Mo., 60 
or 70 miles from the camp, and probably another 3,000 from Lebanon, 
the first town of any size on the west, and probably 2,000 or 3,000 
from Jefferson City immediately north of that. As you got farther 
away from the cantonment site it became evident that the referrals 
from those areas were progressively smaller. 


Mr. Curtis. Air. liurch, has the defonsc program had specific 
cdVcts oil tlu^ rural pc'oph> of the Stai(^? Docs thorc appear to l)e any 
teiuleiic^^ for tlie rural people (o move toward defense centers? 

Mr. Jiuiicn. The farm help luis. The hired help. 

Mr. Curtis. Has it been an individual migration, with farm men 
and boys going to get these jobs, but with families not moving? 

Mr. Bi;h('ii. Generally, that is true. 


Afr. Curtis. Mr. King, I wonder if you eouhl estimate the extent to 
wlueh rural youth is being attracted to defense centers? 

Mr. KiNC. 1 could not venture an estimate. The reports are that 
these rural youth are going to defense centers in great nimib(>rs, and 
one reason for thinking that this is true is a decline in enrollments in 
the National Youth Administration. However, it is sometimes pos- 
sible for us to secure cnrollees on this out-of-school youth program out 
in the rural areas. 

Air. OsMERS. Air. Doarn, has the Alissouri State Employment Serv- 
ice any estimate of the number of men displaced by priorities unem- 

Air. Doarn. Not of those actually displaced as of tiiis moment, but — 
to broaden that group a little — those displaced iioav and likely to be 
displaced within the next 80 days. In St. Louis there are firms upon 
which \vc have reports. There are undoubtedly other individuals wdio 
are out of w^ork as a result of priorities, particularly those in the smaller 
establishments with whom we would not huve any contact. I would 
say that Avithin the next 30 days, about 2,000 to 2,500 wall be displaced 
because of priorities in St. Louis. 

Air. OsMERs. How about the whole State? Are there any figures 
on that? 

Air. DoARN. In Kansas City there are about 850, and out-State 
about 950. 

Air. OsMERs. That w^ould make the figure around 4,000. Have 
you any way of estimating w^hat percent that makes of the total? 
You w^ould not know wdiat these small plants are going to do, or how^ 
much partial employment there wall be? 

Air. DoARN. No, sir; I would not. 

Mr. Carter. I w^ould like to make a statement for the record. 
The Social Security Commission is responsible for the administra- 
tion of general relief. I want to state that under present appropria- 
tions of the State general assembly, it was necessary about midsummer 
for us to remove under our administrative policy employable persons 
on relief rolls in this State other than those families in which there 
were minor children. We anticipate that if there is any stoppage of 
defense activities with the resultant throwing out of work of persons, 
and if to any great extent priority unemployment takes place in 
Alissouri, we are going to have a very difficult situation, because funds 
are so inadequate that w^e are very limited in what w^c can do for 
employable peojde. 

So any great increase in relief needs for residents ornonrcsidents is 
going to carry with it grave consequences to the State. Nonresidents 
are required to live in Alissouri for a year before they are eligible for 
relief except on a temporary basis. I merely w-anted to point that 
out. If there is anything the Federal Government might do in 
assisting the States in the matter of general relief, it would be welcome. 


Mr. Sparkman. You mean a fourth category? 
Mr. Carter. That woukl have our whole-hearted approval. 
The Chairman. We have made that recommendation to Congress. 
Thank you very much, gentlemen, for commg here. 
Our next witness is Mr. Davis. 


The Chairman. Mr. Davis, will you give us your full name and 
address and occupation for the record? 

Mr. Davis. Chester C. Davis, president, Federal Reserve Bank, 
St. Louis, formerly of the National Defense Advisory Commission. 

Mr. Sparkman. You might add a veteran before this committee.^ 

Mr. Davis. I am delighted to renew my acquaintance with the 
members of the committee. I have filecl with the committee a 
general statement which I will not repeat, with your permission, Mr. 

(The statement referred to above is as follows:) 


November 24, 1941. 

My occupation since April 15 has provided little opportunity for direct observa- 
tion of the effects upon labor supply of the expanding defense program. Yon 
may recall that I discussed particularly with your committee the importance of 
locating new Government defense plants outside of regions of heavy industrial 
concentration. I also discussed the importance of spreading the load of defense 
effort wideh' through subcontracting in order to make opportunity for the employ- 
ment of labor in the defense effort without forcing long-distance migrations. 

Complete statements have been made to your committee showing the location 
of defense plants that have been provided for since my previous meeting with 
your committee. It is unnecessary, therefore, to go into that, beyond expressing 
my opinion that the defense authorities have done a good job in scattering those 
later plants in areas that had not been directly reached by the earlier program. 

I would prefer not to go into the question of subcontracting, for recent steps 
have been taken in Washington which greatly enlarge the scope of activities in 
that direction and it is too early to draw any conclusions as to the degree of 
success that will be attained under the direction of the division of contract dis- 

As you know, I was particularly concerned to see that the defense program 
provided an opportunity for the rural labor supply in areas where farm income 
was low. Since my resignation from the National Defense Advisory Com- 
mission, I have had no organization to study these questions, and my opportunity 
for observation has been limited. Reports from Washington, however, indicate 
that there has been a considerable increase in the volume of migration from rural 
areas, in response to the opportunities for employment in defense industries. 
But the reports which we have also indicate that the effect of this migration has 
been very unevenly felt in the rural areas; some have had extensive movements 
out, others have had very little. The rural areas which have been unable to 
provide adequate school facilities and have a large rate of natural increase have 
been less affected by this movement than other more favorably situated areas. 

There is still a large reservoir of unemployed and underemployed population in 
the rural areas of the Nation. This reservoir is located in areas where there is 
no farm labor shortage, and little or no demand for additional workers in agri- 
culture. Some steps have been taken to train these people for jobs in defense 
industries, but much remains to be done if we are to utilize our full resources of 
manpower in this defense effort. 

I am told that the management at the powder plant in Radford, Va., found 
that the workers whom they recruited from the nearby rural areas are an excep- 
tionally capable group of employees. Thej" quickly learned the skills which are 

' Chester C. Davis also appeared before the committee on December 11, 1940, at hearings held in Wash- 
ington, D. C. 

8902 ^'^- ^^oins hkakixcjs 

noodod iiiul they liave shown remflrkable morale and ondmance. Experiences 
like this make it clear that we oufj^ht to go much further than we have done in 
looking to our rural jjroblem areas as jilaces from which to get workers who could 
be trained for agricultural or industrial jobs. 

The information about this movement is somewhat scattered and not at all 
complete. The Farm .Security .\dnunistration has been asking its county super- 
visors to report regularly on the number of families in the program who have 
moved from farms to towns and cities. The latest report which is available is 
for the 3 months — June, July, and .August, in 1941. For the entire country they 
rejiort that 4 out of every 1,000 rural families on the program moved to a town 
or city during that time. The rate of this movement was greatest in the New 
England and northeastern industrial States and in the Pacific Coast States. 
But in the Southern States, where the pressure of population on agricultural 
resources is greatest, the migration was least. In the belt of States from South 
Carolina across to Louisiana and Arkansas, only 1 family out of 1,000 was reported 
as having moved. 

It is, of course, true that this does not indicate all of the movement from the 
farms of these low-income farm families to towns and cities; for in many instances 
the family stays on the farm while one or more of the members, usually the grown 
sons or daughters, move to a town or city. Again, the New England States and 
the northeastern industrial States, as well as those on the Pacific coast, in this 
Farm Security Administration survey, report rates somewhat above the average 
for the United States as a whole. The region which includes Te.xas and Okla- 
homa also has a rate well above that for the entire countr\'. But the other 
Southern States as a whole had rates below the average for the country. 

When one examines these figures somewhat closely, one is impressed by the 
fact that the extent of this movement from the farms is very uneven. Some 
counties seem to have much more of it than others, and in many there was little 
or no movement reported among the Farm Security Administration borrower 

This unevenness in the distribution of the migration seems also to be one of 
the findings of the surveys of migration into defense areas. The "Vtork Projects 
Administration has made some surveys which show that the extent of the migra- 
tion from farms into these areas differs considerably from one center to another. 
In their study of recent migrants into Chicago, for example, they found that 
nearly one-fourth of the workers had come from farming; but in Akron, Ohio, 
only 12 percent came from farming; and in Fort Wayne, Ind., it was only 6 percent. 
Migrants to defense areas, like migrants under other conditions, usually go only 
short distances. The smaller centers generally have only a limited area wn'thin 
which they recruit migrants and our industrial plant is not at all evenly distri- 
buted over the Nation. 

About a year ago, the Department of Agriculture, in cooperation with the 
Purdue Agricultural Experiment Station carried on some studies of rural youth 
in that State. Recently they checked up to find what had happened to the young 
people who were present when the surveys were first made. They found, as 
one would expect, that some of the young people had gone into the Army, others 
had gone into nonfarm employment, and some of them in defense plants. But 
it seems especially significant to me that they found that the rate of migration 
from the farm was considerably greater in the sample area in northern Indiana, 
which is nearer the centers of industrial employment than in southern Indiana,, 
which is somewhat farther away. The young people in the southern Indians 
area had had fewer educational and vocational training opportunities than those 
in the areas in the northern part of the State, and in addition to the difference 
in distance, they apparently were also less well able to compete with the younj 
people from the more prosperous parts of the State. 

Planning for Post- War Problems 

Naturally, all of us in this district, as well as elsewhere in the United Statesj 
are concerned over what is going to happen after the defense effort lessens. One 
of the topics suggested for me to discuss was the extent of the work now beinj^ 
done by Government agencies to study these problems. Many Federal agenciesj 
as well as a large number of private research organizations, are engaged in studies 
along this line. I have been provided with an outline of the scope of study no\ 
being carried on by a number of Federal agencies, which I am glad to put ii 
the record. It was supplied me by Mr. Ralph H. Danhof of the Office of 
Defense Relations of the Department of Agriculture. 

Your committee will undoubtedly go into these matters in greater detail ii 
Washington. The wide diversity of this field of study and the number of agencic 


involved suggests the importance of coordinating the studies under some central 
leadership and direction. The National Resources Planning Board, which is 
giving thought to the problem of coordination, is, I believe, wholly advisory in 
its relationship to other governmental agencies. 

Post-Defense Planning Activities of the Federal Government 

I. National Resources Planning Board: 

A. Coordinate and facilities post-defense planning work in all Government 


B. Prepare special plans with regard to the following: 

(a) Demobilization (finding jobs for men in service, retaining, etc.). 

(b) Public works and activities (prepare detailed, specific public 

works proposals). 

(c) Industrial production (conversion of defense industries, replace- 

ment of obsolescent plant and equipment, etc. May be 
handled by Production Planning Board of Office of Production 

(d) Expanding service activities (medical care, schools, recreation, 


(e) Greater security (new forms of social security, programs for 

relief and work relief, nutrition program, etc.). 
(/) Financing post-defense measures (coordination of planning of 

fiscal polic}-). 
(g) International scene. 
II. Department of Agriculture: 

A. Rural public works (conservation, adjustment in land ownership and 

occupancy, new land development, etc.). 

(a) Cropland and pasture. 

(b) Range land. 

(c) Forest land. 

B. Development of rural facilities and services. 

(a) Facilities: 

1. Rural electrification. 

2. Rural housing. 

3. Sanitation. 

4. Rural roads. 

5. Marketing facilities. 

6. County agricultural office buildings, etc. 
(6) Services: 

1. Medical care. 

2. Development of cooperatives. 

3. Education. 

4. Nutrition. 

5. Rural cultural facilities. 

C. Agricultural-industrial relations. 

(a) Interest of farmers in industrial employment and foreign trade 
after the war. 

(6) Means of keeping full employment and high industrial produc- 
tion after the war. 

(c) Problems caused by changes in foreign farm production and 

trade policies. 

(d) Decentralization of industry. 

(e) Problems in distribution of farm products. 
III. Department of Commerce: 

A. Bureau of Foreign and Domestic Commerce: 
(a) International Economics: 

1. Study of the international financial position of the United 

States in terms of balance of payments by cyclical 

2. Study of effects upon our foreign trade and finance of 

complete British defeat. 

(a) On our raw material supplies. 

(b) On our trade with Europe. 

(c) On our economic relations with Latin America. 

(d) On our economic relations with Canada, 
(fe) National economics: 

1. Development of business data for more effective operation 

of industrial policy and marketing. 

2. Post-war industrial adjustments. 


IV. Federal Rcsorvo Board: 

A. Study of clTccts of our economy of enlarged defense program and 

probable changes in American external trade resulting from war and 
post-war developments. 

B. Study of relations of taxation and of public expenditures to post-defense 

employment and development of proposals in the fiscal and monetary 

C. Study of post-defense housing and urban rehabilitation. 

D. Study of British Commonwealth-American relations, including an 

analysis of the German organization of Europe. 
V. Department of State: 

A. Group discussion and analysis of various post-war problems as relief of 
a prostrate Europe denuded of raw materials. Representatives of 
other Government agencies are invited to attend the meetings. 
VI. Treasury Department: 

A. Studies of post-war taxation and debt policy. 

B. Federal, State, local fiscal relationships. 
VII. Department of Labor: 

A. Bureau of Labor Statistics: 

(a) Study of post-war shifts of industrial employment opportunity 
and migration of laborers. 


The Chairman. When you appeared before our committee in 
Washington, you devoted considerable attention to decentralization 
in the defense program. The committee would like to have your 
estimate as to what has been happening in the w^ay of plant decen- 
tralization during the last year. 

Mr. Davis. In the months leading up to my previous appearance 
before your committee, I had taken, as a member of the Defense Com- 
mission, the position that if this Nation is to mobilize its full man- 
power for defense production it must make provision for tapping the 
unemployed and unsatisfactorily employed people out on the farms 
and in the small towns, as well as the enrolled unemployed in the 
cities; that to do so it was important to locate new Government- 
financed industry that could be operated outside the areas of present 
industrial concentration; and that, in order to reach other areas where 
skilled labor and labor supply is available, it was important to spread 
the work both through prime contracts and subcontracts insofar as 
possible. Now, in the plants that have been located and financed by 
the Government since I appeared before the committee, I believe the 
Government has done a very good job from the standpoint of the 
principles which I favor. I have a feeling that the new plants, par- 
ticularly the munitions plants, have been brought out into the country 
in areas where there is a rural labor supply available. They have 
done a very good job in the Plant Site Board, the O. P. M., and the 
Army and the Navy in handling this problem. On the second ap- 
proach, that is, spreading the work through new prime contracts with 
new suppliers and developing subcontracting, I want to say that in 
this district the Defense Contract Office has done an excellent job. 
Particularly when you take into consideration the lack of support 
which I felt they had from the Army and Navy, and when you con- 
sider the inadequate finances they have had with which to carry on 
their work out in the field. Now, as you know, a change has been 
made. A new Division of Defense Contract Distribution has been 
created in O. P. M. It is too early to say what the results are going 


to be from this change. But I have hopes that they are going to do 
even a better job in that hne than has been done heretofore because I 
beUeve they are going to get better support from the Army and Navy 
than they received in the earher effort. And I am sure they are going 
to have a lot more money to work with than the men who worked in 
the field before. 

The Chairman. As president of the Federal Reserve bank here, 
have you had many calls upon you from small businessmen for finan- 
cial assistance in connection with the defense program? 


Mr. Davis. Some, but not many. The Defense Contracts Office 
of Contract Distribution has built up a mailing list of all of the men 
in all of the firms in this area that are equipped to do any kind of 
defense production. They send them, once a week or perhaps oftener, 
a little defense bulletin which lists all information for prime contractors 
and subcontractors which appears to fit the facilities of this area. 
This bulletin also takes up the question of financing arrangements for 
firms or individuals who want to tackle some of this defense work, but 
may not have the working capital or financial backing to handle it. 
We have stood ready, as the R. F. C. has stood ready, to back up any 
prospective contractor or subcontractor who knows how to do a job 
and has, or can get, the facilities with which to do the job — to assist 
them in any financial arrangement they need. I believe the fact that 
we haven't had many calls indicates that lack of financing has not 
been the limiting factor in getting these industries going here. 

Mr. Curtis. Do you read these weekly announcements of requests 
for bids that these men get? You glance at them occasionally? 

Mr. Davis. Yes. 

Mr. Curtis. We discovered at our rural hearings in Nebraska that 
sometimes they had only 3 days after receiving those bids in the mail 
to have them back on the east coast, and at most they had 7 or 8 days. 
And sometimes these bids call for some mmor changes in their plant 
and for additional financing. Do you think this fact might be one 
of the reasons why they aren't jumping in and coming to you for 

Mr. Davis. Yes. I would say that the local offices do the very 
best they can to get these bids out to local prospective bidders as 
fast as they can, but unless the contracting authorities in Washington 
make provision for that, you can't expect to get these bids in. 

Mr. Curtis. In a further effort to get rural areas and small plants 
to take part for the mutual good of everyone concerned, do you think 
it would be well if production engineers could be made available with 
sufl&cient authority to cut a few corners and get them adjusted and 
started on a negotiated contract to see what they could do? 

Mr. Davis. Yes, The plans of the local office wdiich will be dis- 
cussed w^th the committee this afternoon, contemplate going just as 
far in that direction as authorities in Washington will permit. We 
found considerable reluctance in the Army and Navy to go into any 
new channels in getting their supplies. I excuse them largely on the 
grounds of the pressure for speed. As I stated to your committee 
early last spring, they had to get the contracts out. It was easier 
for them to go to firms they had previously dealt with, and the ten- 


(loiu'v was to coiicontnitc the orders in that direction and not make 
much provision for reaching out. 

Mr. OsMERS. Do you anticipate any difficulty in financing the 
sinaher subcontractors in tlie coming year by the use of the present 
financial channels of the country? 

Mr. Davis. I do not. 


Mr. Sparkman. Mr. Davis, getting back to the proposition of 
getting these bids out on time, you referred to the contracting author- 
ities back in Wasliington. Who are they? 

Mr. Davis. The Army, the Navy, 

Mr. Sparkman. Are they the ones we should go to in order to have 
the tunc limitation corrected? 

Mr. Davis. They are the final contracting authorities. They may 
take advice from the civilian authorities like O. P. M. and you might 
get modifications if O. P. M. brings enough pressure on them. Never- 
theless, as Mr. Knudsen was continually reminding us on the old 
Defense Commission, it is the Army and the Navy that are the 
contracting authorities. 

The Chairman. When you appeared before our committee in 
Washington you advanced, as one of the possible cushions for the 
post-war economic shock, a public works program. Has your view 
changed in any way since that time or have you any new ideas? 

Mr. Davis. I have some new ideas about it, but they all tend to 
emphasize the necessity of being prepared with far-reaching public 
works programs to cushion the effects, if and when this defense effort 
slackens off. I have added to my statement, a report on what the 
several Government departments and agencies in Washington are 
doing in long-range studies relating to the post-war period, 


The Chairman, Do j^ou feel that the economic shock of the post-war 
period will be even greater after this present emergency than it was 
after the first World War? 

Mr, Davis, It doesn't need to be. This is going to demonstrate, 
in my opinion, that you can bring about a larger utilization of our 
manpower and our resources than w^e have ever done before, when 
you go at it hard enough, I think it can be done after war is over and 
you don't need to go into the deflationary course we experienced after 
the last war. What happens in the future always depends on what 
you do in the present, and if thinG:s are permitted to get too far out of 
Ixand and if we have a serious inflationary situation now, it will make 
the post-war period that much worse, 

Mr, OsMERS. Wouldn't the natural consequence of your remarks 
be that we must have very stringent price-control regulation in this 

Mr. Davis. I favor it, 3'es, sir. 

Mr. Osmers, Would you favor it on agricultural commodities and 

Air, Davis. By means appropriate to the respective ends. 


Mr. OsMERS. Would 5^011 favor such a scheme as they have adopted 
in Canada whereby wages are adjusted in accordance with the general 
index of living costs? I believe that is their proposal. 

Mr. Davis. That is right. Whether it is a completely adequate 
adjustment or not, I wouldn't want to say. It is going to take action 
on a great many fronts to hold things from going into an inflationary 
spiral. No single thing can do it alone. 

Mr. OsxMERs. Wouldn't .vou say the spiral is pretty well started? 

Mr. Davis. I don't think it is out of hand yet. It has certainly 
shown the tendency to start, particularly in prices and wages, where 
the defense demand is greatest. Unjustified prices should be pre- 
vented in agricultural products and you should move to prevent this 
by means appropriate to the end. Wages also should be brought 
under control; I don't know whether this price-control bill is planning 
to do this or not. 

Mr. OsMERS. We have had evidence in the Nebraska area that the 
cost of producing a product next year is going to be higher than it is 
this year because of the shortage of labor and also because of other 
factors entering into it such as the rise in the cost of farm implements 
and supplies. 

You are much more optimistic on the post-war situation than I am. 
I am thinking for the moment of the fiscal situation that will confront 
us after the war is over. I am presuming that we may have a debt 
of $150,000,000,000 or $200,000,000,000, and many of the remedies 
that have been proposed for the post-war period hinge directly on the 
expenditure of Federal funds. Do you anticipate any Government 
financial diflficulties at that time? 

Mr. Davis. Again that depends pretty much on the pohcy we 
pursue at the present. 


Mr. OsMERS. How would you change our present policy to prepare 
us for that period? 

Mr. Davis. I would propose a courageous and adequate tax program 
through this period. If we follow the policy of holding prices reason- 
ably within bounds and then taxing additional national income that 
results from the Federal war expenditures, we needn't end up with a 
public debt as large as the one you mention. If we do those things 
I don't anticipate any financial difficulties after the war is over. 

Mr. OsMERS. Yes, but the point is we have not done those things. 
In my judgment Congress thus far has not levied the taxes that are 
required by the present situation. Our taxes are extremely heavy 
based on our concept of the last 15 years, but based on the money we 
are now spending our tax program is entirely inadequate. I feel 
certain that, as a means of avoiding the awful truth of taxation, we 
are going to have several proposals for forced savings. Forced savings 
as a means of controlling inflation; forced savings as a means of financ- 
ing the program; forced savings to do a great many things; but after 
aU is said and done at the end of the war any forced-savings plan will 
present a Government obligation. Would you favor a forced-savings 

Mr. Davis. Not as a complete substitute for scientific taxation. 
I would say, however, that forced savings represents curtailed con- 


sumor buying power, which, to the extent that it is made available 
after the war, will lower the necessary contribution to the public 
works program. 

Mr. OsMERS. There is a good deal in that. It will conserve buy- 
ing power now when we certainly don't need buying power and give 
it to us after tlui war when we will need l)uying })ower to get going 
again. It also pi-events consuiner competition from entering the 
price field when a limited supply of goods is available. Do you have 
any ideas about taxing income at the source rather than through the 
methods we use today? 

Mr. Davis. I am not advocating a 15 percent withholding tax at 
the source now but it may become advisable somewhere along the line. 
But I am not a tax expert. Has your connnittee invited Alvin 
Hansen to appear before it? 

The Chairman. No. 

Mr. Davis. I just received a confidential preprint of a pamphlet he 
is workhig on for the National Resources Planning Board, which 
takes up this whole question extraordinarily well. I mention Hansen 
as he may be employed by the Federal Reserve Board in Washington 
to help organize a study in this field. I think you would find it 
stimulathig to hear from Mr. Hansen. 

Dr. Lamb. I think the committee would undoubtedly benefit by 
hearing him. 

Mr. Davis. Ho is probably the outstanding authority on this sub- 
ject in the country at the present time. 

The Chairman. Dr. Lamb, will you make contact with Mr. Hansen 
when you get to Washington? 

Mr. Sparkman. Mr. Davis, I would like to ask you a question 
along this same line. You speak of the necessity of taxing part of 
the excessive earnings by individuals, I presume? 

Mr. Davis. No, corporations and individuals. 

Mr. Sparkman. How are you going to levy a tax within the confines 
of the Constitution that will not also hit that man who is on a steady 
salary, whose salary has not been increased but has been badly 
affected by the increased cost of livhig? 

optimistic about post-war planning 

Mr. Davis. I don't know. I imagine men who are experts in that 
field could be able to throw some light on it. I don't thhik I can. 

Mr. Sparkman. There is one other question. Discussing what is 
going to happen wdien this emergency is over, you say that if it is 
properly planned we ought not to have the same degree of shock we 
had at the end of the last war. Is it your opinion that we have 
approached it with more planning than we did m the other war? 

Mr. Davis. Yes, definitely. 

Mr. Sparkman. So you feel optimistic to that extent? 

Mr. Davis. I believe it can be done. I believe it is important to 
have a really high degree of coordination in all these defense plans 
and programs. 1 doubt if that has been developed yet. But if we 
do those things I think it is possible to avoid the mistakes of the 
last war. 


Mr. OsMERS. We always seem to be late on these proposals. We 
are now starting to think of subcontracting. We are late on that. 
We should have thought about that in the very earliest stages of the 
program. I hope we won't be late on these proposals that have 
been made to aid the situation after the war. 

Mr. Davis. I do, too. 

Mr. Curtis. Do you think we ought to plan something to follow 
the post-war plans? We are talking about the defense program and 
a work program to take care of things after it stops. What are you 
going to have when that stops? 

Mr. Davis. You are dead right. There never is any point where 
things stop off clean-cut. These things stretch on in endless chains. 

The Chairman. Thank you very much, Mr. Davis. 

We will stand adjourned until 1:30 o'clock. (Whereupon at 12 
o'clock the committee recessed until 1:30 p. m.) 



afternoon session 

House of Representatives, 
Select Committee Investigating 

National Defense Migration, 

Washington, D. C. 
The committee met at 2 p. m. in the city hall, St. Louis, Mo., Hon. 
John IT. Tolan (chairman) presiding. 

Present were: Representative John H. Tolan (chairman), of Cali- 
fornia; Laurence F. Arnold, of Illinois; Carl T. Curtis, of Nebraska; 
Frank C. Osmers, Jr., of New Jersey; and John J. Sparkman, of 

Also present: Dr. Robert K. Lamb, staff director; John W. Abbott, 
chief field investigator; Jack B. Burke, field investigator; and Ruth 
Abrams, field secretary. 

The Chairman. The committee will please come to order. Our 
first witness will be Mr. Holland. 


The Chairman. Mr. Holland, will you give the reporter your fuU 
name and occupation? 

Mr. Holland. Lou E. Holland, President of the Mid-Central 
Associated Defense Industries, Inc., Kansas City, Mo. 

The Chairman. Mr. Holland, I want to say to you, on behalf of 
the committee, that we appreciate very much your coming here at 
what we know to be something of a sacrifice. 

Mr. Holland. I am glad to be here. 

The Chairman. We are very grateful to you because we feel the 
need of your testimony. The prepared statement you submitted will 
be incorporated in the record. 

(The statement referred to above is as follows:) 


November 24, 1941. 

The Mid-Central Associated Defense Industries, Inc., is the outgrowth of a 
study by the Mid-Central War Resources Board of the problems confronting 
small business. 

In May 1940 Mayor Gage of Kansas City, Mo., called in for conference three 
other mayors of this community: Mayor Sermon of Independence, Mo., Mayor 
McCombs of Kansas City, Kans., and Mayor Hecker of North Kansas City, Mo., 
to determine what could be done in this area to aid in the defense program. As a 
result of that conference, the Mid-Central War Resources Board, a nonprofit 


60::;96 — 12 — pt. 23 15 


corporation, \vas organized. The mayors of Kansas and western Missouri were 
made directors of the corporation and an operating committee of 11 were elected 
to serve for 1 year. The names of this committee appear on our letterhead. 

We proceeded to have 15,000 cjucstionnaires printed and distributed. From 
these we obtained information on all kinds of business as represented in the cities 
and towns throughout this area. The enclosed questionnaire shows the type of 
information received from 142 towns, representing many lines of business. 

As soon as the survey was comjileted, a break-down was made of each industry, 
and this information was forwarded to Washington to give them an idea of our 
potential production along given lines. We succeeded in obtaining several large 
orders for cotton goods, and today we have about 19 companies busy on work 
garments, uniforms, underwear, hats, caps, etc. The total volume runs into 
millions of dollars. 

In November, last 3'ear, I read in the papers that there was a shortage of 
machine tools. I went to Washington, carrying with me a break-down of the 
machine tools in this area. I talked to J. C. Nichols who represented this area 
with the Advisory Commission on National Defense and to Dr. Isador Lubin. I 
showed him the list of machine tools and told him that if a plan could be worked 
out to use the tools where they were, there would be no housing problem involved, 
no waiting on tools, and no shortage of mechanics and the economics structure of 
the conmiunities would not be upset. Dr. Lubin was very much impressed and 
later called and asked me to see Mr. Morris Cooke. Mr. Cooke advised me that 
the plan I was working on was what Germany did, and that England did not 
make much progress until she devised a way of using the smaller plants. 

I talked with several men in the Army and Navy and was told that their regu- 
lations would not allow them to place contracts with these small concerns; that 
the thing for them to do was to associate themselves with a big company, allow 
the big company to bid on a prime contract and, if successful, spread the work 
out among the smaller plants. I advised them that I had gone to two of our 
largest concerns with that sort of a proposal — their reply was that the Govern- 
ment had surveyed their plants, chey were quite certain they intended to use 
their facilities, and that they would have all they could do and that they would 
not consider playing "wet nurse" to a lot of small plants. I can readily under- 
stand their attitude and from their standpoint they were probably correct. 

I was told repeatedly in Washington to get a large firm to bid on work and 
have them farm it out to the smaller plants. I have just related how that works. 

On December 17, 1940, I wrote a letter to the National Defense Commission, 
sending the letter direct to Mr. J. C. Nichols for presentation to the committee. 
I quote this letter in its entirety: 

December 17, 1940. 
National Defense Commission, 

Washinglon, D. C. 

Gentlemen: Many large manufacturing plants are being built in the United 
States as factories for the production of articles which the Government urgently 
needs in its extensive national defense program. Still more of these large plants 
will have to be built in the near future if the program is to succeed. Generally 
speaking, each of these extensive plants is being built with a single purpose in 
mind. By this, I mean that each of the plants is being built to manufacture 
some special item necessary to the rearming of our Armj' and Navy. These 
plants will employ large numbers of people. Many of them are being built where 
the housing of these workers presents a problem which will probably only be met 
by building new housing facilities. 

It is my belief that at lea^t a certain sizable percentage of the national 
defense work can be done by a well organized utilization of existing plants, few 
of which are being permitted participation in the program, because of their 
inability to make complete the items necessary in this emergency. 

The Mid-Centra! War Resources Board of Kansas City started last July to 
oVjtain information on the various manufacturing plants in our area. Knowing 
of the shortage of machine tools, we have assembled facts as to location, available 
man power and machine power. From our observation, 90 percent of tlie smaller 
plants will not be reached through the ordinary channels of defense contracting. 
Most of these i)lants could not handle a Government contract m its entirety, 
as they have neither the money nor the facilities for the completion of a much 
needed article of defense. 

In our opinion, a practical way of immediate utilization of both machines 
and manpower in these small plants would be to set up a local coordinating 
and technical agency to handle details of contract and assembly, farm out to the 


cooperating plants the parts each is best equipped to manufacture; the completed 
parts to be dehvered to the coordinating agency for assembly and delivery. 

This arrangement carries the defense program to the smaller towns and 
factories. It gives employment to idle men and idle machinery. There is no 
housing problem concerned — immediate production would result. There is no 
waiting on machine tools or plant construction and when the defense program is 
over, the economic structure is less disturbed as the men are in their own com- 
munit}'. These shops are all eager to do their part as evidenced by many letters 
and personal contacts. 

If this program can be worked out, we stand ready to immediately make 
available the use of hundreds of shops, thousands of pieces of equipment, and the 
necessary man power. 

One day this preparation for war will be finished. If it continues to be the 
policy of the Government to ignore small existing plants and to continue to build 
large, single-purpose plants, the finish of the program will find us with a greatly 
unbalanced industrial and economic picture. It will also find us ■with skilled 
workers living in Go\ernment housing projects with no employment ahead of 
them and probably with an inability to return to their former employment 
because, imless these small plants are included in the rearmament program, they 
will, when the program is finished, have disintegrated from forced idleness and 
the removal of essential equipment. Already, attempts are being made daily 
to purchase, from these small plants, machine equipment at highly inflated values, 
for use in the larger plants which are under construction. 

I have the detail of these shops right down to the last machine tool, size, type, 
and all of the information necessary to apply it and its operator to do this needed 
work. I firmly believe favorable consideration of this project by the Defense 
Commission will greatly stimulate production in a practical, economical way. 

Mid-Central War Resources Board, 
Lou E. Holland, President. 

Late in December a program was announced to open offices in the Federal 
Reserve bank districts throughout the Nation, for the purpose of bringing the 
smaller industries into the defense picture. Mr. Robert L. Mehornay headed up 
that departnient. On January 24, 1941, I wrote a letter to Mr. Mehornay and 
enclosed a chart which had been carefully worked out by engineers that would 
show how the small manufacturers could be brought into production for the 
defense program. I received no reply to this letter. 

In February I had a long talk with Mr. Mehornay and told him that if they 
would place a man in each of their contract service offices who had authoiity to 
select items suitable to manufacture in the area and would use a form of organ- 
ization similar to that suggested in my letter to him, they could immediately 
get production and get all of the snail plants in the country busy. Mr. Mehernay 
informed me they had another plan; that they were going to force prime contrac- 
tors to subcontract. We had a quite lengthy discussion on that subject and I 
advised him the plan would not work as successfully as he thought it would, 
because it was unfair to a prime contractor who had a perfcrmance Loud up with 
the Government to force him to subcontract a part of that work and he lesp nsible 
for the subcontractor. » 

I was not successful in convincing Mr. Mehornay as to our plan, but about 3 or 
4 months later I talked with him and he said he should have listened to me; that 
he had discovered I knew what it was all about and that he was having a great 
deal of difficulty in getting prime contractors to willingly sul)contract any part of 
their work. I knew the attitude of prime contractors because 1 had talked with 

In January this year, while in Detroit, I received a telegram from Mr. Pierce 
Williams who was in the office of Mr. Morris Cooke, asking me to stop off in 
Chicago to see a concern and that they had an order for tanks and were d sirous 
of farming out or subcontracting a i art of the order. I immediately went to 
Chicago, contacted this concern— they inquired whether or not we had any No. 4 
milling machines or any Warner-Swasey lathes. I replied yes — they then said 
they wanted to buy them. I explained that we did not want to disturb our 
economic set-up by allowing machines to be taken out of the area, but that we 
wanted to obtain work for those machines where they were. The man I was 
talking with said to think twice about selling those machines; we are going lo make 
all this work under our own roof and we are going to get the machines to do it. 

I was told on one trip to Washington to contact a man in the Army who wanted 
some work done. I contacted him over the '] hone and he said "you are the man 
who has a large list of radial drills" and I replied yes. He then said "we want to 


buy them." I told him thoy were not for salo. I went down to the Mimitions 
Building and had a talk with him, attcniDting to pet some work for our idle ma- 
chines. He turned me over to a colonel — I showed him our list of cqui])ment, 
asked him if there wasn't something we could do to hel)) out in this emergency and 
his re])ly was "those farmers out there can't work to our tolerances." 

Along about May of this year, I saw i)riorities coming and I heard testimony 
before the Truman committee by a man from Office of Production Manag(;ment 
who testified the further we got into the defense i)rogram the more idle machines 
and the more idle men we were going to have. 

I called a group together in our area and suggested to them they investigate the 
])racticability of organizing a corjjoration to handle defense contracts. I told them 
I could not assure them they would ever receive a dollar's worth of work, but I felt 
it would strengthen their position if they were able to take a ccnitract in its entirety, 
whereas as individual concerns they could not bid on a complete job. These men 
thought well of the idea and the result was that we formed a corporation known as 
the Mid-Central Associated Defense Industries, Inc. 

We bid on a job of bore sights for the Navy and were awarded the contract on 
September 2, 1 941. We have 30 concerns in the con^oration. Each concern owns 
10 shares of stock, no more, no less, and 16 of these concerns will participate in 
this order. The work is going forward in fine shape and I am firmly convinced 
that the work turned out by this combination of shops will be entirely satisfactory. 

While we are experiencing some trouble getting materials, they are starting to 
come through. One of the problems confronting us is the fact that manufacturers 
of precision instruments have withdrawn certain large sizes of micrometers from 
the market and have issued a list of discontinued items to the dealers, which they 
say is "in the interest of national emergency." They go on to state "we request 
you do not call for any of these discontinued items; however, if you do, the orders 
will be canceled l)y us." Due to the fact these large-size precision instruments 
have been withdrawn from the market, we are asking the Government to loan us a 
full set of items that we are to manufacture and from these we will make gages to 
use in connection with the various parts which we manufacture. 

I am greatly concerned about the small businessman. Our Government has 
apparently set up two standards of procedure in the letting of defense contracts. 
To the big fellows, they say "take it and make it on a cost-plus-a-fee basis. The 
Government purchases land, erects buildings, fully equip them with new machin- 
ery, give them educational orders and large contracts, with no possible chance for 
the big concern to lose. The small manufacturer either cannot get work or else is 
forced to bid and if successful, the chances are he will lose on the contract as he is 
unfamiliar with the particular work he is doing. 

Thousands of boys have left the Middle West to work in the airplane factories on 
the east and west coasts. Many of the cities and towns throughout the Middle 
West are suflfering because their skilled craftsmen could not find work at home and 
have left for the congested centers where they can obtain much higher wages, 
and the populations of our towns are on the decrease and in many instances only 
common labor is left. The purchasing power of this class is not sufficient to allow 
the stores to carry on in a profitable way and the income of the cities has dropped 
to a point where they cannot render their customary service. 

Exhibit A. — Articles of Incorporation and Bylaws of Mid-Central Asso- 
ciated Defense Industries, Inc., Kansas City, Mo. 

Know all men y:)y these presents that we, the undersigned, desirous of forming 
a corporation under the laws of the State of Missouri and more specifically under 
article 6, chapter 33, of the Revised Statutes of Missouri of 1939 and amendments, 
relating to manufacturing and business companies do agree as follows: 

First. The name of the company shall be 

Second. The home office of the corporation shall be in Kansas City, Jackson 
County, Mo. 

Third, (a) The total capital of the corporation shall be and consist of 1,000 
shares of conunon stock of no par value, fully paid and nonassessable. 

(6) The amount of capital with which the corporation is to commence business 
is $2,000 in lawful money of the United States; and the number of shares of the 
corporation stock that will be issued fully paid therefor are 200. 

(c) All of the shares of the corporation shall be voting shares and at all meeting 
of the shareholders for any purpose and at all elections for directors, each holder 
of shares in this corporation shall be entitled to cast one vote for each share of 


stock held as bj' law provided, and shall be entitled to participate in all dividends 
as shall be ordered by the Board of Directors. 

(d) The capital shares of the corporation shall be issued only in units of 10 
shares each, and no shareholder shall at any time own or vote more than 1 unit 
(10 shares) of the common stock of this corporation. The Board of Directors, 
pursuant to resolution, may offer or dispose of any authorized, unissued, units of 
shares for such consideration and upon such terms as they shall, in the exercise 
of their discretion, deem advisable. 

(e) In the event of the dissolution of the corjioration, its balance of assets or 
funds above its liabilities shall be distributed wholly and ratably among holders 
of shares of stock in the corporation. 

Fourth. The names and places and residences of shareholders and number of 
shares subscribed by each are: 

Name . Residence No. of shares 

Fifth. That the Board of Directors shall consist of directors, 

and may be increased at any annual elections of stockholders, but the total may 
not at any time exceed 21. The directors agreed upon for the first year are: 

Sixth. That the duration of the corporation shall be perpetual. 
Seventh. That the corporation is formed for the following purposes: 

(a) To promote and aid the national defense of the United States of America 
and in connection therewith to cooperatively promote and utilize the resources 
and facilities of the midcentral trade territory of the United States, as a trade 
association, or otherwise. 

(b) To aid in, supervise, or directly manufacture, assemble, purchase, sell, 
barter and exchange, store, transport, distribute, brokerage, and otherwise acquire, 
deal in or dispose of, manufactured articles, finished merchandise, raw materials, 
machine tools, machinery, parts or appurtenances therefor, or any other essential 
article, alone or in association with other corporations, firms, or individuals. 

(c) To buy, sell, or otherwise acquire, hold, own, use, manage, improve, main- 
tain, develop, rent, transfer or exchange real estate; to trade in and deal with 
real property improved or unimproved; to rent or lease manufacturing, storage, 
or transportation facilities separate and apart and independent of land, buildings, 
or housing connected therewith, and to sublease or otherwise offer said facilities, 
with or without profit, in the furtherance of the objects and powers of the corpo- 

(d) To buy, sell, own, and hold stock, bonds, or obligations of other corpora- 
tions, firms or individuals, for the purpose of investment or control, more specifi- 
cally for the fulfillment of any of the purposes of this corporation, direct or through 
partially or wholly owned subsidiaries, to borrow or loan money or other assets, 
all as permitted by law. 

(e) To enter into, make, perform, or carry out contracts of every sort and kind 
which may be necessary to the business and purposes of the corporation with any 
firm, person, or corporation (private, public, or municipal), the Government of 
the United States, or any State, Territory, or Colony of the United States, or any 
foreign government, so far as and to the extent that same may be done and per- 
formed by corporations organized under the stock corporation laws of Missouri. 

(/) To do all and everything permitted under the general powers of corpora- 
tions, as conferred upon them by the stock corporation laws of the State of Mis- 
souri, and to do any and all things that may be necessary to the business aforesaid 
not otherwise provided for in these articles, which are not in conflict with the 
laws and constitution of tho State of Missouri, or the laws, treaties, and Constitu- 
tion of the United States. 

In testimony whereof we have set our hands and seals this day of 

, 1941. 

Bylaws of 

article i 

Name and location 

Section 1. The name of this corporation shall be 

Sec. 2. Its general offices shall be located in Jackson County, State of Missouri. 
The office of the secretary shall be at the same place and all books and records of 


the corporation shall bo kept thereat. The office of the Treasurer shall be at the 
same place and f^hall be kept within the State of Missouri; and all earnings, 
income, profits, and moneys collected by the corporation shall be in charge of the 
treasurer until same are disbursed or divided by the directors. 

Sec. 3. Other oflices for the transaction of business may be located at such 
other places as the board of directors shall from time to time determine. 


Corporate seal 

Section 1. The corporation shall have a seal, round in form, which shall have 
inscribed around the outer edges the words and in its 


center the words "corporate seal." Said seal may be used by causing it or a 
facsimile thereof to be impressed or affixed or reproduced or otherwise. 


Stockholders' meetings 

Section 1. All meetings of the stockholders for the election of directors shall 
be held at the principal office of the corporation. Special meetings of stockholders 
for any other purpose maj' be held at such other place as shall be stated in the 
notice of the meeting. 

Sec. 2. The annual meeting of the stockholders after the year 1941 shall be 

held on the first Monday of in each year at 10 a. m., 

when the.v shall elect, bj' a plurality vote, a board of directors and transact such 
other business as maj^ properly be brought before the meeting. 

Sec. 3. The holders of a majority of the stock issued and outstanding and 
entitled to vote thereat, present in person or represented by proxy, shall be 
requisite and shall consitute a quorum at all meetings of the stockholders for the 
transaction of business, except as otherwise provided by law, by the articles of 
incorporation, or by these bylaws. If, however, such quorum shall not be present 
at any meeting of the stockholders, the stockholders entitled to vote thereat, 
present in person or b,v proxy, shall have power to adjourn the meeting from time 
to time, without notice other than announcement at the meeting, until a quorum 
shall be present. At such adjourned meeting at which such a quorum shall be 
present, any business may be transacted which might have been transacted at 
the meeting originally notified. 

Sec. 4. At each meeting of the stockholders every stockholder having the right 
to vote shall be entitled to vote in person or bj^ proxy appointed by an instrument 
in writing subscribed by such stockholder. Except in elections of directors, each 
stockholder shall have one vote for each share of stock having voting power regis- 
tered in his name on the books of the corporation. At all elections of directors, 
each stockholder shall have the right to cast as many votes in the aggregate as 
shall equal the number of shares of voting stock held by him, multiplied by the 
number of directors to be elected, and he may cast the whole number of votes for 
one candidate or may distribute his votes among one or more of the candidates, 
as he sees fit. 

Sec. 5. Written notice of the annual meeting shall be mailed to each stockholder 
entitled to vote thereat at such address as appears on the stock book of the cor- 
poration at least 30 days prior to the meeting. 

Sec. 6. Special meetings of the stockholders for any purpose or purposes, unless 
otherwise prescribed by statute, may be called by the president and sliall be 
called by the president or secretary at the request in writing of a majority of the 
board of directors or at the request in writing of stockholders holding 10 percent 
or more of the entire capital stock of the corporation issued and outstanding and 
entitled to vote. Such request shall state the purpose or jjurposes of the proposed 
meeting. Business transacted at all special meetings shall be confined to the 
objects stated in the call. 

Sec. 7. Written notice of a special meeting of stockholders, stating the time, 
place, and object thereof, shall be mailed postage prepaid, at least 30 days before 
such meeting to each stockholder entitled to vote thereat at such address as 
appears on the books of the corporation. 




Section 1. The property and business of the corporation shall be managed by 

its board of directors, in number, one of whom shall be a citizen and 

resident of the State of Missouri. Directors shall be stockholders and shall be 
sworn to the faithful discharge of their duties. They shall be elected at the annual 
meeting of the stockholders and each director shall be elected to serve until his 
successor shall be elected and shall qualify, A transfer by a director of his stock 
in the corporation shall operate as an automatic resignation of his office. 

Sec. 2. If the office of any director becomes vacant by reason of death, resigna- 
tion, retirement, disqualification, removal from office, or otherwise, the remaining 
directors, providing they constitute a quorum, may choose a successor who shall 
hold office for the unexpired term in respect of which such vacancy occurred, or 
until the next election of directors. 

Sec. 3. In addition to the powers and authorities by these bylaws expressly 
conferred upon it, the board may exercise all such powers of the corporation and 
do all such lawful acts and things as are not by statute or by the articles of incor- 
poration or by these bylaws directed or required to be exercised and done by the 

Sec. 4. Directors as such shall not receive any stated salary for their services 
but by resolution of the board a fixed sum and expenses of attendance, if any, may 
be allowed for attendance at each regular or special meeting of the board, provided 
that nothing herein contained shall be construed to preclude any director from 
serving the corporation in any other capacity and receiving compensation therefor. 

Sec. 5. The first meeting of each newly elected board shall be held at the princi- 
pal office of the corporation immediately following the adjournment of the annual 
meeting of the stockholders in each year. 

Sec. 6. Regular meetings of the board may be held without notice at such time 
and place as shall from time to time be determined by the board. 

Sec. 7. Special meetings of the board may be held at the principal office of the 
corporation or at such other place or places, within or without the State of Mis- 
souri, as shall from time to time be determined by the board. Special meetings of 
the board may be called by the president on at least 10 days' notice to each director, 
either personally or by mail or by telegram. Special meetings shall be called by 
the president or secretary in like manner and on like notice on the written request 
of directors. 

Sec. 8. At all meetings of the board a majority of the directors shall be neces- 
sary and sufficient to constitute a quorum for the transaction of business and the 
act of a majority- of the directors present at any meeting at which there is a quorum 
shall be the act of the board of directors, except as may be otherwise specifically 
provided by statute or by the articles of incorporation or by these bylaws. 

Sec. 9. The directors may bj^ resolution appoint members of the board as an 
executive committee to manage the business of the corporation during the interim 
between meetings of the board. 



Section 1. The officers of the corporation shall be chosen by the directors and 
shall be a president, one or more vice presidents, a secretary, and a treasurer. 
The secretary and the treasurer may be the same person. 

Sec. 2. The board of directors, at its first meeting, after each annual meeting 
of stockholders, shall choose a president from its own number, and a secretary and 
a treasurer, and any number of vice presidents who need not be members of the 

Sec. 3. The board may appoint such other officers and agents as it shall deem 
necessary, who shall hold their offices for such terms and shall exercise such powers 
and perform such duties as shall be determined from time to time by the board. 

Sec. 4. The salaries of all officers and agents of the corporation shall be fixed by 
the board of directors. 

Sec. 5. The officers of the corporation shall hold office until their successors are 
chosen and qualify in their stead. Any officer elected or appointed by the board of 
directors may be removed at any time by the affirmative vote of two-thirds of the 
whole board of directors. If the office of any officer becomes vacant for any 
reason, the vacancy shall be filled bj' the board of directors. 

8918 '^'^'- I^UL'KS IIKAKINOS 

Sec. 0. The president. — Tho president shall be the chief executive ofTicer of the 
corjjoration; he shall preside at all meetiiiffs of the stockholders and directors; 
he shall have general and active manaKcnient of the business of the corporation, 
and shall see that all orders and resolutions of the board are carried into effect. 
He shall execute boiifls, mortgages, and other contracts requiring a seal, under the 
seal of the corjjoration and shall have the general powers and dut ies of supervision 
and management usually vested in the office of president of a corporation. 

Sec. 7. The vice presideiil.- 'llie vice president siiail, in the absence or disability 
of the president, perform tlie duties aiul exercise the jiowers of the i)resident, and 
shall perform such other duties as the board of directors shall jjrescribe. 

Sec. 8. The secretary.- — 'I'he secretary shall attend all sessions of the board and 
all meetings of the stockholders and record all votes and the mimites of all pro- 
ceedings in a book to be kept for that purjjose. He shall give, or cause to be given, 
notice of all meetings of the stockholders and of special meetings of the board of 
directors, and shall perform such other duties as may be prescribed by the board 
of directors or jM-esidcnt, under whose suj)ervision he shall be. He shall be sworn 
to the faithful discharge of his duty. He shall keep in safe custody the seal of the 
corporation, and when authorized by the board, afhx the same to any instrument 
requiring it, and when so affixed, it shall be attested by his signature or by the 
signature of the treasurer or the assistant secretary. 

Sec. 9. The treasurer. — The treasurer shall have the custody of the corporate 
funds and securities and shall keep full and accurate accounts of receipts and 
disbursements in books belonging to the corporation and shall deposit all moneys, 
and other valuable effects in the name and to the credit of the corporation, in such 
depositories as may be designated by the board of directors. He shall disburse 
the funds of the corporation as may be ordered by (he board, taking proper 
vouchers for such disbursements, and shall render to the president and directors, 
at the regular meetings of the board, or whenever they may require it, an account 
of all his transactions as treasurer and of the financial condition of the corporation. 
If required by the board of directors he shall give the corporation a bond in such 
sum, and with such surety or sureties as shall be satisfactory to the board, for 
the faithful performance of the duties of his office, and for the restoration to the 
corporation, in case of his death, resignation, retirement, or removal from office, 
of all books, papers, vouchers, money, and other property of whatever kind in his 
possession or under his control belonging to the cor])oration. 



Section 1. The funds of the corporation shall be deposited in such bank or 
banks as the directors shall from time to time designate and shall be withdrawn 

upon check or order over the signature of any of the officers of the 

corporation duly empowered to sign checks. 

Sec. 2. The board of directors shall have the power to authorize the borrowing 
of money from banks, individuals, Federal agencies, or other sources, with or 
without security, upon such terms as they, in their discretion, shall determine, 
and may pledge therefor any asset, earnings, contract, subcontract, or other thing 
of value of the cori)oration, alone or in conjunction with other corporations, firms, 
or individuals. 

Sec. 3. The permanent capital of the corporation having been planned merely 
to cover the organization needs of the corporation, and it being intended that its 
operations shall result in no profit to itself, and the corporation shall, from time to 
time, have need of funds wherewith to defray administrative and other expenses, 
the board of directors is empowered to authorize the establishment of an operating 
fund and to determine how and on w-hat basis contributions to said fund shall be 
made from time to time by the members (stockholders). 


Certificates of stock 

Section 1. The certificates of stock of the corporation shall be numbered and 
shall be entered in the books of the corporation as they are issued. They shall 
exhibit on their face the name of the corporation, the State of its incorporation, 
the name of the registered holder, the number of shares of each and every class 
represented thereby, the par value of shares having a par value and the number 
of shares without par value, the total nvimber of shares of each and all of the several 
classes of stock which the corporation is now or hereafter authorized to issue, the 


par value of shares having a par vahie and any other provisions which may be 
required, either by law or by the articles of incorporation. The certificate of stock 
shall be signed by the president or a vice president and the treasurer or an assist- 
ant treasurer or the secretary or an assistant secretary. 

Sec. 2. The corporation shall have a first lien on any of the shares of its capital 
stock and all dividends declared and accruing to said shares for any indebtedness 
of the respective holders thereof to the corporation. 


Transfers of stock 

Section 1. It being the primary purpose of this corporation to function as a 
trade association without pecuniary profit, devoting its efforts and powers to 
furthering the collective affairs of its members (stockholders), and to that end 
having restricted ownership to not inore than 1 unit of 10 shares of its capital 
stock, shares of stock may only be transferred by the shareholder, in a complete 
unit and only to a corporation, firm, or individual whose type of business and 
interests are similar to, connected with, and congenial to those of the other share- 
holders. The board of directors shall be the sole judge as to whether or not said 
shares shall be transferred. Should the board of directors authorize the transfer 
of said shares it shall be the duty of the corporation to issue a new certificate to 
the person entitled thereto, cancel the old certificate and record the transfer 
upon its books. 

Sec. 2. The board of directors shall have power to close the stock transfer 
books of the corporation for a period not exceeding 30 days preceding the date of 
any meeting of stockholders or the date for the payment of any dividends, and 
only such stockholders as shall be stockholders of record on the date so fixed shall 
be entitled to notice of and to vote at such meetings, and any adjournment thereof, 
or to receive payment of such dividend. 

Sec. 3. The corporation shall be entitled to treat the holder of record of any 
share or shares of stock as the holder in fact thereof and accordingly shall not be 
bound to recognize any equitable or other claim to or interest in such share on the 
part of any other person, whether or not it shall have express or other notice 

Sec. 4. The board of directors may direct a new certificate or certificates to be 
issued in place of any certificate or certificates theretofore issued by the corpora- 
tion alleged to have been destroyed or lost upon the making of an affidavit of that 
fact by the person claiming the certificate of stock to be lost or destroyed and the 
board of directors when authorizing such issue of a new certificate or certificates, 
may, in its discretion and as a condition precedent to the issuance thereof, require 
the owner of such lost or destroyed certificate or certificates, or his legal repre- 
sentative to advertise the same in such manner as it shall require and/or give the 
corporation a bond in such sum as it may direct as indemnity against any claim 
that may be made against the corporation. Any such new certificate shall be 
plainly marked "duplicate" upon its face. 

article IX 


Section 1. Dividends upon the capital stock of the corporation may be declared 
in such amount and payable at such time or times as the board of directors, in its 
discretion, shall determine, but only out of such sources as shall at the time be, 
under the laws of the State of Missouri, authorized sources for the declaration 
and payment of dividends. 

Sec. 2. Before payment of any dividend or making any distribution of profits, 
there may be set aside out of the surplus or net profits of the corporation such sum 
or sums as the directors from time to time, in their absolute discretion, think 
proper as a reserve fund to meet contingencies, or for equalizing dividends, or 
for repairing or maintaining any property of the corporation, or for such other 
purpose as the directors shall think conducive to the interests of the corporation. 

article X 


Section 1. Amendments to these bylaws may be made by a vote of the stock- 
holders representing a majority of all the stock issued and outstanding at any 
annual stockholders meeting; or at any special stockholders meeting when the 


proposed anicndiiuMit lias lioon set out in tlio notice of such inoeting. At least 
30 days' notice of any nieetin>< called for the ])uri)ose of ameiidiuK these bylaws 
shall be given to the stockholders and such meeting, if not otherwise called, shall 
be ordered by the directors on the written application of at least three stockholders. 



Section 1 . The fiscal year shall begin on the day of 

in each year. 

Sec. 2. The directors shall present a written report of the accounts and the 
amount of business of the corporation to all the stockholders upon a written 
request by one-third of the stockholders of the corporation. 

Sec. 3. Whenever under the })rovisions of these bylaws notice is required to be 
given to any director or stockholder, it sliall not be construed to mean personal 
notice, but such notice may be given in writing, by mail, by dei)ositing the same 
in the post office or letter box, in a post])aid sealed wrapper, addressed to such 
director, or stockholder, at such address as appears on the books of the corpora- 
tion, or, in default of other address, to such director or stockholder at the general 
Eost office in the city of Kansas City, Mo., and such notice shall be deemed to 
e given at the time when the same shall be thus mailed. 

Sec. 4. Any stockholder or director may waive any notice required to be given 
under these b3'laws. 

Exhibit B. — Questions Asked in Manufacturer's Data Report 

prepared by mid-central war resources board, city hall, 
kansas city, mo. 

1 . What do you manufacture? (State principal articles.) 

(a) State volume and character of present business and general condition 
of plant. 

(b) Financial strength and possibilitj'^ of enlarging. 

(c) Possible volume expansion with existing facilities. 

(d) Have Government orders been handled heretofore? 

(1) If so, state character of Government contracts, including descrip- 
tion of products or equipment furnished. 

(2) Were such orders for war purposes? 

(e) Are you now furnishing to the Government products, equipment, or 
materials? (State quantity, value.) 

(/) Have you ever presented bids for Government contracts or are you 
making an effort to secure orders? 

(1) If so, where and what type? 

2. Is your business a seasonal business? (If so, at what season is it best to 
take on additional work?) 

3. Give square footage of floor space. (State area now in use and area available 
for expansion of present activity.) 

4. Size, number, and stories of buildings; fire proof or not; location in city or 

5. What percent of your plant capacity is available for new business? 

6. Give square footage of ground area exclusive of ground occupied by buildings, 
and how much expansion possible. 

7. Is your plant on a railroad siding? (Give description of transportation 

8. What power is used? (Steam, electricity, gas, water.) 

9. Raw materials used, and source. 

10. Source and cliaracter of water supply. 

11. What is the average number of employees? 

(a) How many of these are skilled? (1) Tool makers, (2) machinists, 
(3) mechanics, (4) machine operators, (5) woodworkers, (6) miscellaneous. 

(b) How many of these are semiskilled? (List bj' trade.) 

(c) How many common labor? 

{d) Availability of skilled and unskilled lal)or. 

(e) Describe housing conditions and availability of housing for additional 

12. List all machine tools, woodworking equipment and all classes of manu- 
facturing and foundry equipment, giving number of each kind, size, and capacity. 


age, condition, and maker's name. (Example: 10 Warner-Swassey Turret Lathes — 
up to 3J^-inch capacity — new 1939. Four Power Breaks — 6 to 12 feet >i-inch 
capacity — new 1988.) 

13. Do you work under union or nonunion labor conditions? 

14. Do you completely finish products in your own plant? If not, what do 
you buy, and what geographical sources do you ship to or receive from? 

15. Do you produce products that are raw materials or semifinished materials 
for other industries? If sO; name. 

16. Do you want a war contract? 

1 7. Would you work on other than cost-plus contracts? 

IS. State in what way general representation of this area at Washington could, 
in your judgment, be advantageous to you. 

Exhibit C. — Industrial Conditions in 18 Towns in Kansas City Area 



Horio7i, Kans., J. S. Henderson, mayor. 

Do you have industries in your town? 

Chief industrial facility, Rock Island Railroad shops. 

If so, are they working to capacity? 

No; prior to 1930, 700 men; now, 25 men. 

Is any of the work for national defense purposes? 


How many young men have been called in the draft? 

None in draft, owing to county quota being filled by National Guard units and 
Army and Nav}' enlistments. 

How many skilled workers have left to work on defense projects in other com- 

Estimated at 50. 

What is 3'our increase, or decrease, in population due to the above reasons? 

United States census 1930, 4,049; 1940, 2,855; 29-percent loss estimated in addi- 
tional losSj military service and defense work, 10 percent. 

What is the general outlook for the future of yoiu- community? 

Without additional industrial activity Horton faces further sharp loss of 
population, and the economic welfare of the remaining citizens will be seriously 
further impaired. Whereas, Horton of 12 years ago with a population of about 
4,000 had upward of 700 men employed in the railroad shops at good wages, the 
period since has seen the loss of the best salaried class to the town, and a greatly 
diminished earning power by the remainder. The loss of population has been 
severe, but the loss of per family income has been much greater. 

Among the most serious prosi^ects is the continued departure of the young men 
and women from the town, manj^ of the most energetic and capable seeking loca- 
tions elsewhere because of lack of opportunity here to earn a livelihood. Their 
loss in future years of public and community service is a disaster to the long-term 
outlook of Horton and vicinity. Very many families too, life-long residents here, 
have Ijeen forced to leave their homes for new locations. 

On the other hand, Horton has excellent facilities to provide ideal living condi- 
tions for hundreds of additional people, providing the present nearly idle industrial 
facilities of the Rock Island shops are put to use — and they are available for use 
in the defense and the post-defense plan. 

Splendid public and parochial schools are available with accommodations much 
beyond their present use; likewise is this true of the churches, commercial loca- 
tions, housing, utilities, governemental and recreational facilities. 

Briefly, without additional industrial employment Horton faces a future of 
diminishing living and economic standards and its unusual and valuable natural 
advantages will be wasted. 

Given a defense industry Horton will regain many of its old citizens and wel- 
come new ones, and will resume and increase its usefulness as a typical American 
agricultural and industrial city of self-reliant, home-owning, contented citizens. 

What can we do to help the situation in your locality? 

A recommendation for the use of the advantages offered for immediate useful- 
ness in the defense program by the city of Horton would be helpful and greatly 

g922 ^T. u^ris HKAiiiNcs 

Yates Center, Kans., R. V. Stall, Mayor. 

Do you have industries in your town? 

Small repair shops. 

If so, are thev working to capacity? 


Is any of the work for national defense purposes? 


How many young men have been called in the draft? 

About 2o." 

How many skilled workers have left to work on defense projects in other 

None but students. 

What is your increase, or decrease, in population due to the above reasons? 

Very little either way. 

What is the general outlook for the future of your community? 

The immediate future looks prosperous or fairly so for our community, but I 
am uneasy as to the distant future, say 2 or 3 years hence. 

I think if strikes in industry could be halted and wages kept from pjramiding, 
it would be a great help to our community, as the way things are going it creates 
a spirit of dissatisfaction among our workers and places our farmers at a dis- 
advantage, as the present trend will cause the price of all machinery which they 
us? to rise to an unreasonable height. 

In a nonunion town such as this is. common labor is getting from 30 to 50 cents 
per hour; you can imagine what this means when the product which they buy is 
produced by labor getting 90 to SI. 50 per hour. 

Ottaica, Kans., L. C. Geiger, rjmyor. 

Do you have industries in your town? 


If so, are they working to capacity? 


Is any of the work for national defense purposes? 

A little of it. 

How many young men have been called in the draft? 

One hundred and seventy-five. 

How many skilled workers have left to work on defense projects in other com- 

Three hundred and twenty-five. 

What is your increase, or decrease, in population due to the above reasons? 

Decrease of 850. 

TMiat is the general outlook for the future of your community? 

Frankly, the immediate future of Ottawa and Franklin County is none too 
bright. Our loss of population is in our workers of the county. Our relief load 
remains virtually constant. 

What can we do to help? 

The Santa Fe shops at one time employed nearly 500 men. Their present 
pay roll is approximately 30. 

These shops might be used very satisfactorily for defense purposes if the Santa 
Fe so desired. Your influence to get these shops transferred to a freight-car 
manufacturer whose operations are expanding might put these shops to good 

Coffeyville, Kans., J. D. Byers, mayor. 

Do j-ou have industries in your town? 


If so, are thev working to capacitv? 


Is anv of the work for national defense purposes? 

One. ' 

How many young men have been called in the draft? 

About 225 including Troop B. 

How many skilled workers have left to work on defense projects in other 

Approximately 200. 

What is your increase, or decrease, in population due to the above reasons? 


Decrease about 800. 

What is the outlook for the future of your community? 

The future outlook for our connnunity is very good. We are doing consider- 
able home building and city improvement work. However we desire very much 
to see some of our machine shops and foundries get some direct or suborders 
under the national defense program. 

Barnes, Kans., P. E. Davis, mayor. 

Do you have industries in vour town? 


How man}- joung men have been called in the draft? 

One thousand five hundred registered from this county. 

How many skilled workers have left to work on defense projects in other 

Unknown, but many. 

Wliat is your increase, or decrease, in population due to the above reasons? 

Don't have exact figures but decrease in county to Fort Riley, Kans. 

What is the general outlook for the future of your community? 

I would say that in a general way the future is anything but promising. It 
is an agricultural community, devoted largely to farming and livestock in normal 

This year, crops are going to be very short. There can be but little activity 
in livestock when there is no feed or grain to fatten them for market. There 
is but little emplo3'ment to be had for those who depend on wages or salary for 
a livelihood. 

The effects of such a situation obviously are very discourageing to the business- 
men and merchants of the town. In fact, aid from somewhere is imperative. 

What can we do to help the situation in your locality? 

Barnes is located on the Missouri Pacific Railroad, is intersected by State 
Highways No. 9 and No. 15, the latter intersecting National Highway No. 36, 
10 miles north of the town. It is not only conveniently located but has a group 
of very active citizens who will assure the success of any industry that may be 
located here. There is available a nucleus of skilled men and women who are 
industrious and that have proven their worth under proper supervision. 

The vital need is sufficient capital to start them going in some way that will 
make a real contribution to the Federal Government's program of defense. 
Such assistance will in the judgment of practical businessmen serve a threefold 
purpose. It would provide employment, save business, and aid in the defense 
of America. The need is for immediate action. 

Independence, Kans., F. M. Wilhelm, mayor. 

Do vou have industries in vour town? 


If so, are they working to capacitv? 


Is any of the work for national defense purposes? 


How many young men have been called in the draft? 

Seventy-three to date, 142 quota. 

How many skilled workers have left to work on defense projects in other 

One hundred, estimate. 

What is your increase, or decrease, in population due to the above reasons? 

Approximately 200. 

What is the general outlook for the future of your community? 

From an agriculture standpoint the outlook is good. 

We will lose additional men to the draft and if current news reports are correct 
we will lose our skilled workmen to defense industries. We have one plant 
that has the space and desire to work on defense contracts but they have been 
unable to secure contracts. 

This plant is the Atchinson Revolving Door Co. and they have space to work 
approximately 300 men and are willing and able to expand if necessary. Other 
smaller plants are also willing to cooperate. 

What can we do to help? 

§924 ^'l'- I><^HMS HKAUIN(JS 

Wo boliovo the futuro of the Midwost is at stako in tlio fiituro of tho towns 
botwiHMi S.OOO ami oO.OOO. If thoso to\vi\s art> n>bhod of tlioir manpower ami 

f)opulation tlio wholo sii-tion will go ilowii with tlu-ni. It stvins to us that the 
argor corporations should not bo allowed to bid in additional defense coiitrarts 
whon their eapaeitv h;\s been reached. These corporations can inulorbid the 
smaller companies in the Midwest and therefore it is impossible for the smaller 
companies to accept subcontracts froni the larger ci>rporations. 
This is a bottleneck that can be adjusted by proper coopiMation. 

Afacon, Mo., Chas. R. S/i(i/<', .\fnijor. 

Do you have industries in your town? 

Yes; see below. 

If so, are they working to capacity? 

Very few. 

Is anv of the work for national dofen.'^e purposes? 

Yes. " 

How many young men have botMi called in the draft? 

07, including volunteers. 

How many skilled workers have left to work on defense projects in other 

.\bout 100. 

\Miat is vour increase, or decroase. in population duo to the above reasons? 

Very little. 

What is the general outlook for the futuro of vour comnuinitv? 


Strip mine — approximate capacity 65 percent, will probably be increased 50 
jx^rcent the coming year. Pit mines and drift mines, approximate capacity 50 
percent, could be incrcjised 100 percent with a little more development. 

Crojuiicry — manufactures butter, ice, and ice cream, approximately one-third 
capacity being used. 

Grain elevator — approximately one-half capacity being used. 

Chicken hatcheries — approximately 50 percent. This is a seasonal business, 
but could do more. 

Laundry — full capacity, could use several more experienced employees. 

Poultry houses, and farmer's exchanges, approximately 50 percent capacity. 
Those businesses do very little processing of poultry products, mostly shipped out. 

The coal business is the main defense project in this comnumity. 

Macon is located at the crossing of the St. Louis-Des Moines line of the Wabash 
Railway and the Kans:v> City-Chicago line of the Burlington Railway. Also on 
the junction of U. S. Highways 30 and 63 making it available and of easy access 
to all kinds of travel and shipping, both heavy and light. 

There is opportunity for development iu the processing or agriculture products 
in this community far beyond the point already reached, and also there is some 
labor — nonskilled labor — available. 

Anthony, Kans., E. I'ndcncoiyi, Mayor. 

Do you have industries in^your town? 

Two machine shops. 

If, so, are they working to capacity? 


Is anv of the work for national defense purposes? 


How many young men have been cjilled in the draft? 


How manv skilled workers have loft to work on defense projects in other 


WTiat is your increase, or decrojiso, in population due to the above reasons? 

Two hundred. 

What is the general outlook for the future of your community? 

Verv gloomy outlook for future due to the fact that population is moving to 
industrial centers, farm territory is getting smaller due to population thinning 
out and what small industries the smaller communities have are moving to the 
larger population centers. 


What can we do to help? 

Farm out national defen!so contractH to sinallor conirnunities equipped to handle 
them and decentralize industries more. 

Paola, Kans., A. A. Bryan, Mayor. 

Do you have industries in your town? 


If so, are they working to capacity? 


Is any of the work for national defense purposes? 


How many young men have been called in the draft? 

Two hundred and eight, including liattery F. 

How many skilled workers have left to work on defense projects in other 

J^stimated 25. 

What is your increase, or decrease, in population due to the above reasons? 

About 300. 

What is the general outlook for the future of your community? 


What can we do to help the situation in your locality? 

Get lactories. 

We have application for shell-loading plant which would aid for area of 40 miles 

We have a coat factory which could make uniforms and would have done so 
but for organized labor friction. 

We have a good machine shop, could make small tools. 

We have three main-line railroads and in good watershed, Bull Creek, Wea 
Creek, and Marais Des Cygus River. 

We could use an airport and have good locations at reasonable price. 

We need labor for farms as farm labor has been depleted, no young men left in 

We have State home guard unit to prevent strikes and sabotage. 

We have two good mills, for flour and feed; oO acres of lake 2 miles or town. 

We could hou.'^e peoplf at reasonable and nonwartime rates. 

We are on U. S. Highway 109 and 1 mile of Kansas 68; very few dirt roads in 
county and practically none in our city. 

We are the county seat of Miami County. 

Fort Scott, Kans., Harry C. Brooka, Mayor. 

Do you have industries in your town? 


If so, are thev working to capacity? 


Is anv of the work for national defense purposes? 


How many young men have been called in the draft? 

Thirty-nine and eighty-one in battery. 

How many skilled workers have left to work on defense projects in other 

One hundred and fifty. 

What is your decrease, in population due to the above reasons? 

Your hundred. 

What is the general outlook for the future of your community? 


What can we do to help? 

We are losing our skilled labor and young men to cities having defense orders. 
^^'e need factories and defense orders for our small shops. 

Osawatomie, Kans., W. H. Weber, Mayor. 
Do you have industries in your town? 
Several small machine shops. 


If so, nre they working to capacity? 


Is any of tlie work for national defense purposes? 

No. " 

How many skilled workers have left to work on defense projects in other coni- 

PerlKips as many as 20. A number have returned since to resume work as 
machinists, etc., in the Missouri-Pacific shops in Osawatomie. 

What is the general outlook for the future of your conununity? 

Increased railroad business. 

What can we do to help the situation in your locality? 

You can get in touch with R. F. Colbert, E. A. Vest, H! E. Newhouse, all owners 
of small machine shops in this city, Stith-Cassida Motor Co., Nichols Motor Co., 
and the McQucary Motor Co., of this city. All of those shops are equipped to 
do certain tyi)es of machine work. The motor companies, could, with the neces- 
sary special machinery, recondition ])lane and auto engines. 

Osawatomie has a large number of advantages favoring the location of defense 
industries here: (1) An almost unlimited water supply (two rivers and a lake); 
(2) a municipally owned water and light plant, in a position to supply electricity 
at lowest rates; (3) the center of rich oil and gas fields, with production which 
might be used in the manufacture of munitions; (4) as the division point for the 
Missouri Pacific Railroad, it is e.xcellent transportation facilities; (5) a good 
supply of skilled workers, including machinists, locomotive mechanics, etc. 

Warsaw, Mo., G. R. Bresee, Mayor. 

Do you have industries in j^our town? 

Have small gun stock factory. 

If so, are they working to capacity? 


Is any of the work for national defense purposes? 


How many young men have been called in the draft? 


How many skilled workers have left to work on defense projects in other 

None, except carpenters. 

What is your increase, or decrease, in population due to the above reasons? 


What is the general outlook for the future of your community? 

There is nothing especially encouraging in the outlook so far as this community 
is concerned. We have no industries of any consequence. The main business 
is farming and considerable tourist and week-end fishing, with nothing to indi- 
cate that it will be much different to what it has been in the past. 

What can we do to help? 

The thing that would help this community more than anything else would be 
to have some small factories located here to provide a pay roll. The city of War- 
saw has water and sewer facilities, electric lights and is located on the Lake of 
the Ozarks on good concrete road and other good State highways so that it is 
easily accessible from any direction and is also located on branch of Missouri 
Pacific Railroad and is, we think, well located to be convenient for anv kind of 
small factory. The Bishop Mill here is equipped to make all kinds of rifle stocks 
and does make a large number of them that are sold to privare buyers, and their 
plant could be enlarged to make larger numbers and different varieties. 

Hamilton, Mo., Roy A. McCoy, Mayor. 

Do you have industries in your town? 

Two large mills and two hatcheries. 

If so, are they working to capacity? 


Is any of the work for national defense purposes? 

Not directly. 

How many young men have been called in the draft? 

Estimated 12. 

How many skilled workers have left to work on defense projects in other 

NATiuN^\L defexsp: migratiu:s' 8927 

Possiljly a half dozen. 

What is your increase, or decrease, in population due to the above reasons? 

None, as families remain here. 

What is the general outlook for the future of 3'our community? 

Good from an agricultural and stock raising standpoint. (The J. C. Penney 
farms are located here, which is his home town). W^e need, however, factories and 
industries which will give us a pay roll. We have considerable unskilled and 
some skilled labor in our community. 

What can we do to help? 

As noted above, we need factories and industries, to put our people to work. 
Our location is excellent, being on the main line of the Burlington Railroad, with 
National Highway 36 and State Highway 13 running through the town. We 
are 45 miles east of St. Joseph and 70 miles northeast of Kansas City. 

The city administration and chamber of commerce will be glad to cooperate 
with anyone looking for a location of any kind. 

Hamilton has a population of only 1,700, but we think it one of the best towns 
of its size in the State and we surely would appreciate some help in getting lined 
up for a defense industry. 

Harrisonville, Mo., James D. Idol, Mayor. 

Do 3'ou have industries in your town? 

Foundry and brick plant. 

If so, are they working to capacity? 


Is any of the work for national defense purposes? 


How man}- young men have been called in the draft? 


How many skilled workers have left to work on defense projects in other 

Not over 25. 

Wliat is your increase, or decrease, in population due to the above reasons?' 

Very little. 

What is the general outlook for the future of your community? 

Since this is an agricultural community the future of course depends on crop' 
production and the price. 

W^hat can we do to help? 

It it were possible to help get full production at the Gwathmey Foundry and 
the United Brick & Tile Co. plant here it would mean a great deal. The brick 
plant has just reopened this month but its continued operation is doubtful and 
hinges entirely on future orders. Our community is naturally interested in any 
industry we are capable of handling. However I believe it would be far better 
to bring our present resources to full production before we attempt to move in 
additional industry, unless the labor available could be used in the new industry. 

Grandview, Mo., Garad Murray, Mayor. 

Do you have industries in your town? 


If so, are they working to capacity? 


Is anv of the work for national defense purposes? 


How many young men have been called in the draft? 


How many skilled workers have left to work on defense projects in other 


W^hat is your increase, or decrease, in popiUation due to the above reasons? 

Decrease of 27. 

W^hat is the general outlook for the future of your community? 

It is feared that our laborers will be attracted to localities where defense projects 
are in oj^eration and locate their families there and that the established businesses 
of the town will suffer from this loss. 

W^e also luiderstand that the new clause or article pertaining to defense hous- 
ing via Federal Housing Administration does not include our community and 
we believe that this will hinder this as a further development for homes. 
60396—42 — pt. 23 16 

8928 s'i'- i-oi'is iiKAUiNdS 

What can we do to help? 

Quite some time l)aek we suhmittefi a site for a projiosed auxiliary airport and 
factory site. After due consideration of other sites to our knowledge submitted 
to date, we contend that the one submitted l)y us is far the most practical and 
has more possibilities for the mutual benefit of all concerned. 

We feel that a concentrated effort in behalf of the above firoposition would 
result in its early realization and a proven benefit to Kansas City, our town 
and community, and a material link in the defense program. 

Neosho, Mo., Glen Woods, Mayor. 

Do you have industries in your town? 


If so, are thev working to capacity? 


I.S anj' of the work for national defense purposes? 

I have sold small orders. 

How many young men have been called in the draft? 


How many skilled workers have left to work on defense projects in other 


What is your increase, or decrease, in population due to the above reasons? 

Five-percent decrease. 

What is the general outlook for the future of your community? 

We consider the future outlook, with some outside assistance, to be favorable. 

What can we do to help? 

We have several small industries, such ^s foundry and machine .shops, wood- 
working plant, garment factory, all active but in need of more business, together 
with several hundred available laborers looking for some profitable employment; 
this would be of material assistance to our city and community. 

Trenlon, Mo., M. L. Elledge, Mayor. 

Are the industries of your town working to capacitv? 


Is any of the work for national defense purposes? 


How manv voung men have been called in the draft? 


How many skilled workers have left to w^ork on defense projects in other 

One hundred and fifty. 

What is your increase, or decrease, in population due to the above reasons? 

Two hundred and fifty decrease. 

What is the general outlook for the future in your community? 

Insufficient industries to furnish necessary employment. 

What can we do to help the situation in ,vour locality? 

Subcontract defense work. 

Several industries here not working to ca]:)acity that could get in position to 
handle subcontract work in connection with defense program. 

Tractor Parts & Service Co. do welding and machine work of all kinds; also 
the Trenton Machine Works. 

Swift (fe Co. maintains a plant here, and we have good rail and truck service. 

The Trenton Mining Co. operates a coal mine here during the winter months. 

Have a municii)al light and water plant equipped to furnish an abundance of 
both power and water at very reasonable rates. 

Joplin, Mo., Dr. V. E. Kenney, Mayor. 
Do you have industries in your town? 

If so, are they working to capacitv? 
Is any of the work for national defense purposes? 


Yes; small orders at Rogers Iron Works, Miller Manufacturing Co., and 
McNeal Machiner}' Co. 

How many young men have been called in the draft? 


How manj"- skilled workers have left to work on defense projects in other 

Approximate^' 1,400 from Jasper County. 

What is your increase, or decrease, in population due to the above reasons? 

Approximately 1,500. 

What is the general outlook for the future of your community? 

The general outlook for the future of our community is extremely discouraging 
at the present time for this reason: Joplin is faced with an acute unemployment 
problem, due to the fact that Joplin is largely a mining town and our mines are 
not operating at full capacity now. 

What can we do to help? 

To relieve this situation we need defense projects in our area. Joplin is justified 
in requesting that we do have some sort of national defense project here, as we are 
fully equipped, both from the standpoint of natural resources and manual labor, 
to. handle this type project. Also, we have access to 7 railroads in our city, which 
is a decided advantage for the location of any defense project, 


Mr. Curtis. Will joii describe for the committee the fimctions of 
the Mid-Central Associated Defense Industries, Lie? 

Mr. Holland. It is an outgrowth of the Jvlid-Central War Re- 
sources Board, of which I am president. That board was a fact-find- 
ing organization. We made a survey of the State of Kansas and west- 
em Missouri. We have the records of 142 cities and towns in there 
and we laiow the type of work that those towns can do. After an 
intensive study and after repeated trips to Washington I became 
firmly convinced that these small communities had no place hi the 
defense picture imder the present set-up. The Mid-Central Associ- 
ated Defense Industries, Inc., is an organization which I set up, com- 
posed of 30 small concerns that could handle a contract m its entirety 
if given an opportunity. 

Mr. Curtis. Mr. Holland, will you tell us a little about 3"our back- 
groimd and experience? 

Mr. Holland. I started ui as a boy and learned the machinist's 
trade in a bicycle factory back in Rochester, N. Y. 1 worked at it 
for 5 years and 3 months. I later took up photoengraving. At the 
present time I am president of the Holland Engraving Co. m Kansas 
City, and the Holland Corporation and the Double Rotary Sprinkler 
Co. The Holland Corporation has been put out of busuiess by 

Mr. Curtis. What did vou make? 

Mr. Holland. Electric etching machmes for the photoengravmg 

Mr. Curtis. Wliat materials did you need that were shut off? 

Mr. Holland. Electric generators. 

Mr. Curtis. You have been a resident of Kansas City, Mo., for 
*ome time? 

Mr. Holland. Since 1902. 

Mr. Curtis. You have also been active in the civic life of the city? 

Mr. Holland. I served 2 years as president of the chamber of 
commerce and 3 years as president of the Associated Advertising Clubs 
of the World. I acted for 3 years as managing director of the cham- 
ber of commerce of Kansas Cit\^ — from 1928 to 1931. 


Mr. Curtis. In reference to tho Mid-Conlral Associated Defense 
Industries, Inc., where are your articles of incorporatioTi filed? 

Mr. lIoLL.vxD. In tlie State of Missoui-i. 

Mr. CuuTis. What is the nund^e:!- of shares? 

Mr. Holland. I think there are 2,500 shares. 

Mr. Curtis. And what is the vahie per sliare? 

Mr. Holland. I don't know wh 'ther there is a i^ar vahie on them 
or not. There is room in the corporation for 250 concerns if we care 
to take th?m in. There are 30 in the corporation now. Each con- 
ceiT owns 10 shar?s of stock and each concern has 1 vote, so a 
harp' concern has the same voice as a small concern. 

^Ir. Curtis. Does the concern maknic; some profiit distribute it to 
them or is it a profit cor])oration as much as an organization for 
mutual liel])? 

small business pool 

Mr. Holland. It is a mutual-help organization more than a profit 
corporation. It was organized when I saw priorities coming and I 
saw that these little concerns were going to be unable to carry on 
and that as individual shops they couldn't take a job in its entirety. 
Subcontracthig has not been any too successful and the thought 
occurred to me that if 1 put a combination of shops together and 
pooled their resources and got every type of machine in this pool, 
they could then bid on and handle prime contracts. 

Mr. Curtis. Have you received any contracts yet? 

Mr. Holland. Yes; we have received a contract from the Navy 
for bore sights to the extent of $268,000, and I have spread it out 
among 16 of the member shops. 

The Chairman. Do you know whether your plan has been adopted 
in any other plants in the United States? 

Mr. Holland. I don't think it has been adopted by, other plants 
in exactly the same way. There is, of course, the York plan. And 
there are some others where they have a big corporation that acts 
as a niothei- hen, we might say, and takes in some smaller ones to 
do some of the work that they didn't do m their own organization; 
but insofar as I know, this is the first pool that is made up of small 

Mr. Curtis. What, generally speaking, do you classify as a small 

Mr. Holland. Well, of course, the entire Middle West is made 
up of small industries. Even our largest industries are comparative!}' 

Mr. Curtis. What is the largest one in your corporation? 

Mr. Holland. The largest that we have in our corporation are the 
Locomotive Materials Co. of Atchison, Kans., and the Butler Manu- 
facturing Co. of Kansas City, Mo. 

Mr. Curtis. How many men will they employ? 

Mr. Holland. I presume that they will employ from 400 to 600 
men each. 

Mr. Curtis. Will you be able to meet the delivery schedule imder 
your contract with the Navy? 

Mr. Holland. We will more than be able to meet it if we can 
obtain the materials. We are just now getting materials, though we 
have had the contract since September 2. 


Mr. Curtis. Does the delay occur in securing priori ties or in 
getting delivery after you get a rating? 


Mr. Holland. We got a priority rating A-l-B which came with 
the order. Just last week, we obtamed the aluminum on the order. 
Some 2 weeks ago we got some of the steel. We have not secured the 
brass yet. 

Mr. Curtis. When did you make this contract with the Navy? 

Mr. Holland. Bids opened on August 13, as I remember it, and 
we were notified on September 2 that we had been awarded the con- 

Mr. Curtis. Are the prices you paid for these materials, which are 
bemg delivered to you at this belated time, the same you would have 
paid if you had gotten them when you made your bid? 

Mr. Holland. We haven't run into any serious difficulty there. 
I believe in one mstance we did find that the price was a little higher 
than it was when we made our bid. 

Mr. Curtis. What has been your experience in relation to your 
ability to bid on items offered by the Procurement Divisions of the 
Army and the Navy? Have you found a variety of items within 
the range of your resources? 

bidding restricted by time limitations 

Mr. Holland. I might explain that this way. If you would study 
the Government Advertiser that comes out every Thursday — I receive 
it on Thursday, because I pay for it to come air mail — and you look 
down the list, you will find invitations to bid, numbers of them in 
every issue. The bids are to be opened in 4 to 10 days from the 
time you receive those advertisements. It is impossible to send to 
Washington and get the blueprints and to bid intelligently on a job 
and have it there in the time allotted. 

Mr. Curtis. That has been the story that we have heard through- 
out the entire Middle West. 

Mr. Holland. It can't be done. I might elaborate on that just 
a moment, if you care to hear it. Shortly after this corporation was 
formed I received notice from the Bureau of Supplies and Accounts 
that they were going to ask for bids for bore sights. I didn't know 
what a bore sight was, but I sent for the blueprints and after looking 
the blueprints over I saw that it was somethmg that our combination 
of industries could make just as well as anybody could. However, 
I don't think there is a single plant west of the Mississippi River that 
could have handled this particular job. Not one plant. We had 
about 8 days on that, 9 days, before the bids were to be opened. We 
worked solidly for 8 days and on Sunday I had 8 men at my house 
who worked from 10 o'clock in the morning until 5:30 in the after- 
noon, and on Monday night, I took a plane for Washington, because 
the bids opened at io o'clock Tuesday morning. That shows how 
closely we are working on that particular job to get it in. 

;Mr. Curtis. If you had broken the proverbial shoestring you 
would never have made it. 

Mr. Holland. Never in the world. 

g932 •^'''- I^o'l^ HKA KINGS 

Mr. C'l'inis. Coinniciit luis Ix'cii mndc fi-('(|U('iitly in tlic h(>Mriii<:;s 
of this {■ominittcc thai, snuill iiijichiiic shops find it (lifliciilt to mod 
{\\o close mjicliiiU' spcciticiilioiis for orchuiiicc work. Have you any 
observation in r('<j;ai"(l to that (lucstion? 

Mr. Holland. 1 have a lot of ohservatioiis. One of the paits 
used oil this job for the Navy calls for 5,625/1 (),0()Oths of an inch 
plus nothinti-, minus 2/10,00()ths. That is pretty close measure- 
ments. Now, we put that particular part into the sliop of the Bnm- 
son Instrument Co., who manufaclure siu-veyirii!; insti'uments, ami 
are accustomed to precise work. They don't need the 2/lO.OOOths 
leeway. Th(>y can make it e.xax't if necessary, l)Ut I wouldn't dare 
to put it into some of the other shops. That is why I think that 
in a pool such as we have, where you have (>very type (»f industry. 
you can put into the ])arti<Mdar shoj), tht> thinu' they are l)(>st qualified 
to do. 

SHOirr.voK of gages 

Mr. Curtis. Another statement ficquently heard is that a shoi'tage 
of ^ii^os of all types prevents many i)rime contractors from sub- 
contractine: their work. Can you furnish the committee with any 
information along this line in terms of your own experience? 

Mr. Holland. I am jz'lad you brouo:ht that (juestion up, because, 
in this particular Navy job, some of the tolerances are very close. 
I am particularly anxious that this ho as t2;ood a job as they can make 
for the Navy, and it is g:ohig to be. We have to have micrometers 
up to 13 inches m size to measm-e accurately some of the parts that 
we are making. We needed about $400 worth of micrometers in 
our own office for final inspection and for the Navy insp(^ctor to use 
on these things, and some of the plants needed micrometers. So I 
ordered about $400 worth of precision insti-uments from the Elfelt 
Hardware Co. in Kansas City. They placed the order, I think, 
with the L. S. Starrett Co. of Athol, ]\rass., who have b(>en making 
precision instruments since 18S0. The next day the Elf(>lt Hardware 
Co. called me on the telephone and quoted from a bulletin tliat they 
had just received. It said, "a new list of discontinued items in certain 
sizes m the interest of the national emergency." Now the metal 
involved in the making of a micrometer is nil. It doesn't amount 
to anything. It is a precision instrument, and if there was ever a 
need for precision gages, it is at this time whcTi we are making so 
many precision items. He went on to say, "We request you not 
to call for any of these discontinued items. However, if you do, 
the orders will be canceled by us." Now, I don't care how close a 
small manufacturer could work; if he received a subcontract, or if 
he is workhig on a prime conti'act aiid cannot obtain gages, he wouldn't 
dare put a tool on a piece of metal, and the small bushiess would be 
wiped out entirely. To offset this I had made a request of the 
Navy that they send us a complete set of the items that we are to 
manufacture, and we will have one firm make a gage for ovory one 
of those items and use that gage because we caimot oi)tain precision 
instruments to measure them by. 

Mr. CuRTLs. Would you carc^ to state the degree to whicli your 
corporation or pool plan can b(> adapted to the needs of other 

Mr. Holland. I think it will work in practically every community 
in the United Stat(>s. I think it is the practical way for small business 


to haiullc (l(>tViiso contracts. I will tell you why. It is because, 
ill eflect. every man who takes part in a coiitraet really becomes a 
prime contractor. He is not a subcontractor. In this little pool 
that we have with 16 concerns working now, each one of those con- 
cerns is watching to see that the other fellow doesn't slip in any way, 
because the job is going to be judged in its entirety, and any one man 
can spoil the Avork for everybody connected with it. I think the 
plan is thoroughly practical. 

Air. Curtis. Coming back to the question of the control of your 
corporation — 1 believe 3"ou said all firms have the same number of 
shares of stock; that means equal voting strength, regardless of 
whether they are a firm tliat employs 100 people or 500. 

Mr. Holland. Yes, sh-. 

Mr. Curtis. And you thiidv that is probably the best solution? 

Mr. Holland. I think it is. 

Mr. Curtis. I want to ask you this question. How would small 
manufacturers, who have been making products that did not require 
precision instruments and did not call for processes of fine tolerances, 
fit into this sort of picture? 


Mr. Holland. They might fit in very well. I think England has 
gone through that. About a month ago I had the pleasure of lunch- 
ing with George Thompson who is one of the heads of the British 
Labor movement. I lunched with him and William Green in Wash- 
ington, and I asked Mr. Thompson that very question. He said, 
"It has been our experience in the first place that we didn't need the 
tolerances that our engineers were calling for. But we have been sur- 
prised at the way these small plants could follow a tolerance if given 
an opportunity." I think the best answer to that is that the boys in 
the Midwest have been repairing tractors and old Ford cars and that 
sort of stuff, and they have not been compelled to come down to 
2/10,000tlis, but if given a gage they soon get the feel and they can do 

Mr. Curtis. As you may know, this committee has taken the posi- 
tion that it is absolutely necessary to bring the small machine plants 
into the defense program to get the production which this country 
needs for defense work. The committee likewise wishes to see labor 
dislocations and unnecessary migration held to a minimum. Have 
you specific recommendation to help accomplish these objectives? 

Mr. Holland. Yes, I made a suggestion to the Defense Commission 
on December 17th of last year. At about Christmas time they came 
out with the announcement of the contract service. I had a long talk 
with Mr. Mehorney at that time, and I begged him to set up a plan 
that would use the men and their machines in the communities where 
they were, and not disturb the economic condition of those communi- 
ties. I talked with Dr. Lubin about it. Dr. Lubin said that my plan 
was very sound. I taU^ed with Morris Cooke and he said it was 
very sound. I talked with the Army and Navy about it, and I was 
told by them that the regulations would not allow them to use an 
organization like that. And one "brass hat" in the Army informed 
me that "those farmers out there couldn't work to our tolerances." 
I think it is thoroughly practical to distribute this work out among 
these shops. I think that they already have the organization that 


could liandlo it. I think Mr. Odium should he givon the power 
throutrh his Contract Distrihution Ofliccs to plnce the whole contract 
instead ol" he.i^iriuo; these fellows to suhcontract. As it now is, the 
small manufacturer hids on somethinfj he has m^ver s(hmi before; 
there is no time allowance for educational work; the low bidder o;ets 
the contract and stands a jrood chance of losin<^ money on the job. 
I don't care how complicated the machine is, if you take it apart and 
you put one piece in this room and one piece in that room and scatter 
it all over and look at the pieces individually, it ceases to be a com- 
plicated piece of machinery. It is only complicated when all these 
parts are put to<2;ether and the machine functions as an inteo;ral whole. 
Many of these fellows can make these parts just as well as anybody 
can, and 1 suggested that to Mr. Mehorney. 

Mr. Curtis. You mean to carry this out along the line of authoriz- 
ing someone to go to these places and negotiate a contract fitted to the 
plant and the equipment and the labor supply that they have there? 

Mr. Holland. Yes, sir. For instance, the Ordnance Department 
of the Army has had men in the field for years making surveys of 
plants. The Contract Service has made a survey. The Navy has 
made a survey. All they could do until now is to go in and ask to see 
that man's equipment and list it, and catalog it. They could advise 
him that Pontiac or somebody else has a job and that he should write 
to them to see if they want to farm out part of it to him. We would 
save a lot of time and effort and get some place if what I suggest were 
■done. Most of the ordnance men know their business and what is 
required. He could walk into a plant and say, "Can you make that?" 
and they would say, "I don't know, I think I can," and he would say, 
"We will find out what you can do. Let us see you make 1 or 2 
and find out your costs and I will be back here. We need 10,000 
units of this part." 


Mr. Curtis. In so doing you would eliminate the cost of plant 
-expansion a great deal. 

Mr. Holland. Yes. 

Mr. Curtis. And congestion with its needs for further housing and 
schools and sanitary facilities. 

Mr. Holland. Yes, sir. We are congesting these communities 
like the city of Detroit and some of the cities on the east and the west 
coasts. We are ])utting men in there by the thousands and giving them 
mass instructions on how to upset America. You can't do that with 
these boys in the Midwest. Distribute your work and you will solve 
many of these ])roblems. 

Mr. Curtis. In distributing these conti-acts to fit what the firm is 
able to do, would you give leeway to local wage levels and freight lates? 

Mr. Holland. I would. 

Mr. Curtis. One other thing about your organization. How 
many full-time employees do you have in your corporation? 

Mr. Holland. So far I hav^e devoted all of my time for 15 months 
with no pav whatever. I have a young lady whom I pay $25 a week, 
who looks after my correspondence for the Mid-Central War Resources 
Board — that is our original organization. The office of the Mid- 
Oentral Associated Industries, Inc., is in the same oflTice on. the 


Twenty-sixth floor of the city hall, and up to now I have had one man 
on my pay roll whom I am j^aying $300 a month. 

Mr. Curtis. Mr. Holland, we are most grateful to you for your 
testimony here, and as I have just come from two hearings held in 
areas where there are many small businesses I would say that you have 
expressed the hopes of the small businessman in your recommendation 
for more time in which to get bids in, and your recommendation that 
contracts be negotiated to fit whatever the manufacturer can do. 

The Chairman. Of course, Mr. Holland, we have to keep our minds 
on the thought about our own committee. We are a Committee on 
Defense Migration. We are trying to help in the solution of that 
problem. I think the statement you made is the most interesting 
thing I have heard. The more people that leave their homes and go 
to Detroit and Concord or Trenton, N. J., and these other places, the 
greater the problem is going to be of the migration in post-war years. 

Mr. Holland. Yes, sir. 

The Chairman. As to the corporation you speak of, I am no 
mechanic but I can readily see how small plants which probably 
couldn't do a job alone, by uniting and getting together can do an 
excellent job. 

Mr. Holland. That is right. 

The Chairman. I wonder if it is possible for us to have a copy of 
your articles of incorporation and bylaws. 

Mr. Holland. I have them here. 

The Chairman. Could you give us a copy? I will have them 
incorporated in the record as an exhibit.^ 

Mr. Holland. Yes, sir; I can. 

The Chairman. Speaking for myself only, I think it is the most 
entrancing suggestion I have heard throughout the United States. 

Mr. Holland. Mr. Tolan, we need capacity production by both 
the large and the small plants if we are going to win this war, with 
strikes outlawed. We have got to have that, and I think we have got 
to take control immediately. I say "we." I am thinking of you 
gentlemen in Congress. We must not allow the favored few to take 
all of the business of this Government because if we do that we are 
going to handicap ourselves and we are going to delay our output of 
much-needed items. 


The Chairman. Before I left Washington on Monday I received 
the following information from different offices in Washington: In 
August of this year 48.4 percent of the Army orders went to 10 States. 
In September the percentage rose to 70.8. In October it rose to 85.4 
percent. With the Navy, 56 companies in the United States held 
75 percent of the contracts. Now, Mr. Odium of the O. P. M. is in 
favor of taking care of the small plant for at least a period of 6 months 
to give them a chance to adjust themselves. Mr. Nelson of S. P. A. B. 
doesn't agree with him, but you v.-ill agree with me when I say this: 
We in Washington have got to get into our heads that after all is said 
and done, civilian morale is just as important as Army and Navy- 
morale. You can't separate them. 

' See p. 8914 et. seq. 

8936 ST. r/)iiis hrarixgs 

Mr. Holland. Yes, sir. 

The Chairman. And so as wo go into this (lofo.iis(> program full 
speed ahead we must thiuk a litUe hit ahout our folks at home, and 
wlien these small husinesses go down you are just hurting th' morale 
of the Americiin peoj)le. 

Mr. Holland. I feel tlu^ strength of our liherty lies in the iTule- 
pendent small connnunity, in the independent merchant and the 
indei)ende.nt small manufacturer, and we are trying to preserve our 
liberty. If we are, then we must preserve these smaller communities 
and small busniesses. 

Coming on the train 1 read a statement in News We(^k that Donald 
Nelson made, and I can get Donald Nelson's viewpoint because he is 
the head of a big corporation — Sears, Roebuck. But I think if you 
get out in these small communities and got out among small business- 
man and ask tlumi what Sears, Roebuck ever did for them you will 
get none too favorable an answcii-. Yet they arc outlining the program 
for small business and big business alike. He made this stat(^ment 
last Thursday in Boston: That employees of a big company thrown 
out of a job get just as hungry as the worker in a 1-man plant. That 
statement was in answer to JVIr. Odium's plea for the small plants. 
Possibly that is so, but there is this difference. You take these 
plants that employ 18,000 and 20,000 people, and if you lay off 
2,000 or 3,000 men no doubt it will affect the economic life of that 
community. But supposing you are laying off 2,000 or 3,000 men in 
these smaller communities. You are destroying a hundred small 
communities that are the backbone of America, and that is what we 
are doing in that program right now. 

Mr. OsMERs. Among other proposals, Mr. Holland, you made the 
proposal that we outlaw' strikes, and however worthwhile the objective 
sought might be, don't you believe that we must take into considera- 
tion the rising cost of living that is affecting all of us, and that we 
cannot settle one question without settlmg the others? We cannot 
arbitrarily say to labor: You are forbidden from seeking wage in- 
creases, but we as a Nation reserve the right to increase your cost of 
livmg without any regard to wduit you are earning. 

Mr. Holland. I am glad you brought that qu?stion up because I 
am heartily in favor of union labor. I have employed it for 30 years 
and have a card in the photoengravers' union myself. A^Tiat I say 
about union labor I say about myself. I have nothing against union 
labor but I am thhd<ing hi terms of America's being on an all-out 
production schedule. We must not tie up our production by allow- 
ing these strikes to shut up airplane factories or steel works, because 
that throws eveiybody out of gear all the way down the line. I hope 
we can do somethmg like the President suggests or that you men can 
get up a way to keep these men at work and settle disputes by arbi- 

Mr. OsMERS. I wanted to get your views particularly with respect 
to price conti'ol and controlling the cost of living. I know you are 
familiar enough with defense centers in the United States to know 
that we ai'e re({uiring some of our deftmse workers to live in inhuman 
conditions and ])ay excessive rents and other costs, and those things 
have to be taken into consideration. 

Mr. Holland. Yes; you bet they should, but a lot of that is very 
unnecessary because W(^ have idle buildings all over the nation that 
could have been used and saved the construction of new plants. 


And we have thousands of idle machines that could have been used 
where they are histead of takmg these men and congestmg them in 
certain areas and makuig it necessary for them to hve in places not 
fit for human beings to live in. 
Mr. OsMERS. I agree with you. 


Mr. Holland. I talked with Mason Britton, Chief of the Machine 
Tool Department of O. P. M. Mason told me that 5 years ago the 
volume of machine tools manufactured in this country was worth 
$29,000,000; that last vear there were $500,000,000 worth; and this 
year it will be $800,000,000 worth. And I asked why. He said: 
"We have got to have them." I said: "We have thousands of machine 
tools that are idle. Wliy not use them?" He answered: "They are 
old machine tools. We have to have new machines." Now they found 
in England that they didn't have to have new machines. They used 
these plants where they were, and the small plant in England is 
indispensable. First they tried liftmg the machines from the plants 
and putting them in one big plant, and they found they were building 
targets for Hitler, so they devised a plan of using the machines 
where they were and having a truck go around and pick up the parts, 
to be delivered to the central base. I was in the plant of one of the 
leading machine tool manufacturers in this country. He has orders 
on his books that will carry him for years, and I spent about 4 hours 
there. I asked this man how many of his orders were for general- 
purpose machines and what percent were for single-purpose machines. 
By a single-purpose machine I mean for instance a huge machine 
built for drilling an airplane crankcase. By an all-purpose machine 
I mean one like a lathe or a drill press or a gear cutter or something 
like that. So I said: "How many of your orders are for single- 
purpose machines?" He said: "Less than 5 percent." So I said: 
"Then over 95 percent of your orders are for all-purpose machines?" 
He said: "That is correct." So it appears that w^e have tied up these 
machine-tool industries and we are tying up our steel and we are 
making new machines to replace machines that are already in existence. 

The Chairman. Thank you very much, Mr. Holland. 

Will Mr. Peter R. Nehemkis, Jr., please come forward? 


Mr. OsMERS. We are very sorry that Mr. Odium has been ill 
and cannot appear before us today. I have gone over your statement 
as well as time permitted. I must say that it is a very important 
statement for the committee to have. 

(The statement referred to above is as follows:) 


This statement is submitted to the Committee Investigating National Defense 
Migration in pursuance of its request. I appear for Mr. Floyd B. Odium, Director 

8938 ^'l'- I^l^I« IIKA KINGS 

i)f the Division of Contnict Distribution, who is unable to respond to the 
coniinit tec's invitation because," of illness. 

Jleforo beginninu; my testimony, may I say that the Division of Contract 
Distribution welcomes this opportunity to acquaint the committee with its 
work and the proj^ress which it is making since its establishment last September. 
C'ons^ressional incpiiries such as this committee is conducting are inherent in our 
democratic processes. The scholarly and objective studies which this com- 
mittee has undertaken have sharpened our understandinu; of the defense effort. 
British experience as well as the dictates of common sense make it plain that 
avoidable migration of workers is inimical to national defense. 


The Division of Contract Distribution was established pursuant to an Executive 
order of the President issued on September 4, 1941. (See exhibit A.) It super- 
seded the Defense Contract Service, a bureau of the Office of Production Manage- 

The underlying reason for the promulgation of the Executive order was stated 
succinctly in the White House statement accompanying the issuance of the order: 
<<* * * -pjjg Executive order was issued in furtherance of a determined move 
on the part of the Administration to help the smaller business units of the country 
obtain a fair share of the defense orders, and to prevent, so far as possible, dis- 
location of industry and unemployment of workers in plants where production 
has been curtailed by priorities and material shortages." (See exhibit B.) 

The major steps by which the foregoing objectives were to be achieved were 
also set forth in the White House statement. They are: 

1. The breaking down of larger orders of supplies into smaller units, and 
sjjreading the purchases among more firms and in all localities possible. 

2. Providing assistance through the Labor Division of Office of Production 
Management in retraining and obtaining reemployment for workers who are 
unemployed as a result of the shutting down of some plants or reduction 
of their output. 

3. The effective distribution of defense contracts to the smaller business 
enterprises, as yet largely unused, through an expanded use of subcontract- 
ing, contract distribution, and the pooling of plant facilities. 

4. Bj^ providing a staff of industrial and production engineers to formulate 
and execute specific plans for the conversion of nondefense industries and 
plants to defense production. 


The operating sections of the Division have been divided into the following 

1. Procurement Branch. 

The functions of this unit are: 

(a) To assist the procurement agencies in preparing their bids and specifica- 
tions at their source in such a manner as will permit the taking of prime con- 
tracts by smaller manufacturers, and pools of such mamifacturers. 

(&) To secure from the procurement agencies as much advance information as 
possible as to their requirements, so that the field organization may be advised in 
ample time to bring such information to the attention of all potential sources of 

(c) To find special facilities required by the procurement agencies. In this 
connection the Procurement Branch will work closely with the Facilities Section 
described later. 

(d) To assist the procurement agencies in finding available facilities for sub- 
contracting work for pending prime contracts so as to enable the procurement 
agencies to negotiate prime contracts retjuiring a high percentage of subcontract- 
ing in lieu of plant expansion. 

(c) To assist the procurement agencies in speeding the defense program by 
encouraging more subcontracting of existing prime contracts. 

(/) To have investigated for the procurement agencies, where requested, causes 
of delay, special engineering difficulties, etc. 

(g) To assist in the maintenance of national morale by bringing to the atten- 
tion of the procurement agencies industries which have been forced to release em- 
ployees due to lack of materials. 

In carrying out the foregoing work, arrangements have been completed with 
the armed services for competent and qualified technicians of the Division to be 


represented in the various procurement establishments. This will enable the 
Division to participate directly at the source of defense procurement. 

2. Conversion Se-clion. 

The work of Conversion Section relates to: 

(a) Plants and industries in areas where sufficient distress has arisen to warrant 
"certification" to the armed services and the recommendation of specific remedial 
programs with respect thereto. (In a subsequent section there will be presented 
the manner in which distressed areas are "certified" together with a statement 
showing the communities which have been certified to date and the number of 
distressed communities now under study.) 

(h) The early conversion of plants and industries from civilian to defense 

3. Engineering and Planning Branch. 

Engineering and Planning were grouped together in one branch since the fijinc- 
tions of each are closely correlated. This branch is a service unit rather than an 
executive unit. It includes a corps of skilled production, management, and in- 
dustrial engineers (whose number is being increased daily) to be drawn upon for 
advice and help by any other of the various branches, sections, and units as the 
occasion arises. 

4. Operations Branch. 

Operating directly under the Deputy Director is the Chief of Operations. 
Under this branch there are the following operating sections: 

(a) Field Management Section. 

This section deals with all administrative matters relating to field operations, 
including budgets, persoimel, information, progress reports, and general super- 

(b) Training Section. 

This section deals with the training of new personnel. It will conduct train- 
ing schools in various parts of the country in order to equip new personnel to 
serve effectively in the work and activities of the Division. 

(c) Finance Section. 

This section furnishes to the field offices all information relating to financial 
questions and procedures. It also assists the field organization in solving specific 
financial problems affecting business enterprises, especially the smaller business 
units. It furnishes financial advice to other Divisions of Office of Production 
Management as well as to the other sections and units of the Division of Contract 
Distribution. The section undertakes studies of the capital and credit needs of 
subcontractors and the smaller business enterprises generally in order to formulate 
appropriate remedial recommendations for presentation by the Director General 
and Associate Director General of Office of Production Management. 

(d) Educational Section. 

This section directs and advises the field organization on matters relative to 
exhibits, clinics, etc., and specificalh^ formulates and executes Nation-wide pro- 
grams relative to exhibits of "bits and pieces" in pursuance of the directive of 
the Executive order. 

(e) Certification Section. 

This section deals in the field investigation of areas reported as distressed by 
the Labor Division of Office of Production Management or which in any other 
manner comes to its attention. 

(/) Contract Placement Section. 

The Contract Placement Section carries the burden of the Division's traffic. 
The bulk of the inquiries from the field offices and from individual concerns and 
organizations are directed to this section. Under the Contract Placement Sec- 
tion there are the following units: Pooling, Prime Contracting, Subcontracting; 
and Procedure. Each unit is charged with the responsibility of furnishing to the 
field organization all information helpful to the field under these several head- 
ings. They also advise and counsel the field organization as to the handling of 
specific cases. 

ig) Facilities Section. 

The Facilities Section locates by bulletin and correspondence to the field, 
special facilities which the procurement agencies may require, as reported by the 

3940 ^'^'- I^UIS HEARINGS 

various sections of the Profiirciiienl liranch of the Division. This section also 
locates facilities required Ijy prime contractors, sucii reciuests originating either in 
Washington or in the field. Tiiis section also supervises the niuintenance of 
facility cards in the field oflices. It endeavors to coordinate all information re- 
lating to facilities which has been comjjiled by other agencies and department* 
of the Government. 

(h) Program and Procedure Section. 

The Program and Procedure Section edits, indexes, correlates, and prepares all 
information which is helpful to the functioning of the field organization. 

(t) Progress and Reports Section. 

The Progress and Reports Section secures from the field semimonthly reporte 
and statistics as to progress. 

6. Field offices. 

Prior to the establishment of the Division of Contract Distribution, the prede- 
cessor organization — the Defense Contract Service — had 39 field oflices. These 
offices were set up along Federal Reserve district lines — a principal field office 
being located in each Federal Reserve district and physically housed in the 
Federal Reserve banks and their branches. 

Under the Executive order creating the new division, the field organization 
was required to be established along State lines. By establishing the State as the 
unit of operation it was believed that the field organization would be drawn closer 
to the industrial areas and to the sources of production — both actual and potential. 
The division now has 67 field offices located in 39 States. (Exhibit C contains a 
list of the principal offices and branch offices of the Division of Contract Dis- 

Additional offices and branch offices will be opened in other cities as rapidly as 
a competent persoiuiel can be trained 

As of November 15, 1941, the total personnel of the Washington office was 279. 
The field personnel constituted 734. 

It is contemplated that in order to carrj' out effectively the functions and 
duties of the division, a staff of approximately 3,800 persons — largely engineers — 
will be required. To this end, the director has submitted to the Bureau of the 
Budget a request for $23,470,725 to cover the cost of operating the division for a 
12 month period. 

6. Advisory committees. 

The Executive order provides for tw'o advisory committees — one, a Small 
Business Advisory Committee; the other, an Engineering Advisory Committee. 
The Executive order states that "the committees shall, from time to time, upon 
request by the director, make findings and submit recommendations to the 
Director with respect to procurement practices and procedures; contract place- 
ments and distribution; industry conversion problems; formation of local pro- 
duction associations; subcontracting; and for silch other matters as the Director 
may require advice and assistance." 

Both advisory committees have been established and are functioning. The 
Small Business Committee consists of manufacturers representing every region 
of the Nation. Its chairman is Mr. Walter Finke, president of the United States 
Junior Chamber of Commerce. The Engineering Committee includes among its 
members some of the country's outstanding industrial, management, and produc- 
tion engineers. Its chairman is Mr. George Armstrong, president of the Associa- 
tion of Consulting Management Engineers, Inc. 


The committee has requested an expression of opinion with respect to the 
technical and financial facilities and resources of the small, mcdiiun- and large- 
sized companies. An adequate response to this ()uestion is not possible within 
the time available for the presentation of this statement. Data are available in 
the hearings, reports, and special monographs of the Temjiorary National Economic 
Committee and are, no doubt, familiar to the connnit tee's staff. However, cer- 
tain general observations ma^' be made at this time insofar as they bear on the 
work of the Division. 



The smaller units of business enterprise are, numerically overwhelmingly pre- 
ponderant. In its study, the Problems of Small Business,' the Temporary 
National Economic Committee stated: "Of the 2,400,000 business units in the 
Nation, more than 92.5 percent are small (with less than $250,000 in total as.sets) 
and about 6.5 percent are intermediate (with $250,000 to $5,000,000 in total 
assets). Only about 1 percent of the business population, by almost any system 
of measure, is large business." 


While small business enterprises constitute the vast majority of all business 
units, they do not appear in equal numerical preponderance in all groups or 
subgroups of industry. Small business is to be found, in the main, wherever the 
capital requirements for adequate operation are small. The smaller units will 
be found "wherever small-unit machinery or other equipment is as efficient for 
the given purpose as the large and costly plant. Also, the personally operated 
type of enterprise is prevailingly to be found wherever the preference of consumers 
favors a product marked by some distinct individuality, a service involving per- 
sonal contact, or an especially intimate response in other respects to the varieties 
of consumer demands. It is further found wherever the administrative advan- 
tages of largeness are not conclusive in determining survival. "- 

The trade (retail and wholesale) and service areas are by far the largest strong- 
holds of the smaller enterprises. Although construction and manufacturing are 
the focal point for the larger business units, they, nevertheless, each contain 
numerous and important smaller business units. To quote again from the report 
of the Temporary National Economic Committee: 

"While the building supply industries, classed as manufacturing, include certain 
heavy concentrations, the construction industry itself is the least concentrated of 
business categories. Even among the 14,574 incorporated units, there were in 
1936 but 31 construction corporations in the large business group (using total 
assets as a measure of size). These were 0.2 percent of all the corporations in this 
field, but they accounted for 10.5 percent of the gross receipts. The intermediate 
size group, with 1,066, or 7.3 percent of the 14,574 construction corporations in 
this field, accounted for 25.4 percent of the gross business. 

"Of the 14,574 construction corporations, 13,477, or 92.5 percent, were small 
units, each having than $250,000 in total assets. These reported 64.1 percent 
of the total sales in this field. In 1938 the Social Security Board found that there 
were 98,831 employing units in this industry, which, when compared with the 
14,574 corporations, indicates an overwhelming preponderance of unincorporated 
units in construction. 

"This industrial division is obviously the focal point for many of the greatest 
business corporations. Yet small manufacturing units are numerous and import- 
ant. For manufacturing establishments, complete data for units with $5,000 or 
more in annual value of product are available from the Census of Manufactures. 
Using the vahie of the annual product as the measure of size, and assuming 
$250,000 and $5,000,000 in product value to be the dividing lines of our size 
groups, it is found that, of the total of 166,794 manufacturing establishments both 
incorporated and unincorporated, in 1937, with a minimum product value of 
$5,000, only 1,653, or 1 percent, were large, in that the product of each was valued 
at $5,000,000 or more for the year. These few large establishments, however, 
accounted for 42.8 percent of the total product value of all manufacturing in- 
cluded in the Census of Manufactures. The intermediate size group comprised 
29,899 establishments, or 17.9 percent, and turned out 45.3 percent of the total 
value of product. Small manufacturing, with 135,242 establishments, or 8i;l 
percent of the total, each producing less than $250,000 in product value, accounted 
for 11.9 percent of the total product value of manufacturing tabulated. How 
much the inclusion of the smallest manufacturing concerns (with less than $5,000 
anruial production) would affect these percentages, is unknown." 

From the foregoing discussion it is apparent that, although we know the general 
business area in which our clients, so to speak, are to be found, we do not know 

1 Monograph No. 17, Temporary National Economic Committee, 76th Cong., 3d sess., p. 248 ct seq. 

2 Ibid., at 251. 


with any decree of particularity who they are. In the next few months we shall 
in larfie part liave tlie answer to this cpiestion through the operation of our facili- 
ties inventory. 


^^ itli respect to the capital and credit needs of the smaller business enterprises 
■considerable data are available, including the hearings of the Senate Hanking and 
Currency Committee (7Gth Cong., 1st sess., on S. 1482 and S. 2343), and the 
liearings of the Temporary National I'X'ononu'c Committee, 'i'he summary of 
the findhigs of the Temporary National l-iconomie Conunittee ' shows: 

"With respt'd to equity capital.- ^nrdU Ijusiness bv and large lacks adequate 
equity capital with which to finance its operations. Jn default of adequate ecpiity 
capital, small business is compelled to rely largely upon mortgage and sliort-tcrm 
-credit. One reason for the inability of small l)usiness to obtain ecpiity capital 
'lies in tlie fact that it does not have the same access to the capital markets as does 
large business, since that machinery is adapted largely to the needs of big busi- 

"One difficulty which must be taken into consideration in supplying equity 
capital to small business is its resistance to imj)airing its control or sharing its 

"With respect to credit. — (a) Long term: Small business faces the same difficul- 
ties in obtaining long-term credit as it does in obtaining equity capital, since the 
existing credit facilities are not geared to deal with the speciarand peculiar needs 
•of the smaller enterprise. 

"(6) Short term: Although sliort-term credit appears to be more available than 
either equity capital or long-term credit, nevertheless, small business experiences 
■difficulties in obtaining short-term credit from the regular commercial banking 
sources. Short-term credit is, however, obtained through intermediary credit 
agencies, and from trade creditors, at charges which are frequentlv high and upon 
terms which tend to be onerous. 

"The difficulties experienced by small business in obtaining adequate financing 
result from two sets of circumstances: (1) the intrinsic operative characteristics 
of small business which have been previously noted; (2) the risk involved in in- 
dividual transactions." 

The impact of national defense upon the smaller business enterprises has not 
served materially to ease their credit and capital problems. Some months ago 
the Financial Section of the Division of Contract Distribution made a study of 
the financial position of several hundred subcontractors participating in various 
phases of defense production. It was found that 40 percent of the subcontractors 
had a submarginal credit rating, and would, therefore, experience difficulties in 
obtaining credit from the normal banking channels. It has subsequently been 
found that a considerable proportion of these subcontractors have, in fact, been 
inadequately financed. 

The Executive order states that the Division is to provide through the regular 
•commercial banking channels, the Reconstruction Finance Corporation and the 
Federal Reserve Banks and their branches, the necessary financing facilities for 
prime contractors, subcontractors and local industrial defense production associa- 
tions as well as to "recommend from time to time such additional financial pro- 
cedures or machinery as shall be required to ensure maximum utilization of exist- 
ing plant and tool facilities for defense purposes." 

This policy is being carried out by the Financial Section of the Division. Be- 
tween 400 and 500 inquiries arc l)eing received in the Washington and field offices 
each month regarding the availability of working capital alone. 

The maximum of cooperation has prevailed between the Division and the private 
and governmental agencies of finance. The policy of the Division has been to 
direct all possiVMe credit inquiries to the commercial banks in the first instance. 
When these channels have been unable to meet the needs, recourse was had to the 
Reconstruction Finance Corporation or the Federal Reserve banks or to the 30 
percent advance payments made to prime contractors by the armed services. 

A summary of the Division's experience with respect to the adequacy of the 
■existing sources of financing follows: 

1. Both governmental and private banking channels would appear to have 
exercised to the limit of their authority and resjionsibility financing to the smaller 
enterprises as prime contractors and subcontractors. However, neither the public 
nor private agencies are able to justify the risking of the funds of their depositors, 

' Ibid., at pp. 261-262. 


noteholders, or appropriations by the Congress in the case of the submarginal 

With a vastly augmented production load schedu'ed for the coming year, the 
financing of the submarginal enterprise whose facilities are required wiU present 
a serious problem. 

2. The 30 percent advances to prime contractors by the fighting services are 
customarily made promptly and without undue delay. However, experience has 
shown that it is extremely difficult to induce the prime contractor to permit these 
moneys to percolate down to the subcontractor, where there is generally a pressing 
need for working capital. It is the considered opinion of the financial section of 
the Division of Contract Distribution that this indirect method of financing sub- 
contractors by making advances through the prime contractor is not only cumber- 
some but inadequate for existing needs. 

The Division is now preparing a comprehensive report on the entire problem of 
financing and conversations are now taking place between representatives of the 
Division and governmental officials and private banking executives to the end 
that a practical, remedial program may be evolved. 


In order to overcome certain of the disadvantages which confronted the smaller 
business enterprises in their desire to participate in the defense effort, Mr. Odium 
was early of the opinion that legislation was essential to overcome certain legal 
impediments which stood in the way of the armed services carrying out the terms 
of the Executive order. Experience has amply demonstrated that the average 
business concern — especially the smaller unit — is generally unable to estimate the 
cost of production for military items on the basis of competitive bidding. Exist- 
ing legislation, for example, makes it impossible for the Navy to award a regional 
contract if there is a responsible low bid from outside the region. Further, 
bonding requirements have also served as a deterrent to the participation of the 
smaller enterprises despite the fact that the armed services have endeavored to 
the fullest extent possible to liberalize their requirements. 

These and similar procurement practices it was believed, if eliminated, would 
aid materially not only the smaller enterprises but the armed services as well. 
Accordingly, Mr. Odium requested counsel to the Division to prepare a draft of 
appropriate legislation. Several weeks have been spent in conferring with counsel 
to the armed services and other interested governmental departments and agencies. 
The draft bill is now before the Bureau of the Budget for approval prior to its 
submission to the Congress. 


Shortly after Mr. Odium assumed his office he requested each of the 56 companies 
which hold 75 percent of the defense orders to adopt as their individual policy the 
President's policy of spreading defense work widely through subcontracting. 
To the extent that these 56 concerns had not already adopted adequate arrange- 
ments for subcontracting, Mr. Odium has requested them to do so. Moreover, 
each company was requested to designate a top executive who would become the 
liaison officer of his company to our Division, just as the Army, the Navy, the 
Maritime Commission have delegated ranking officers for this purpose. Excellent 
response from the 56 corporation has been received. Most of them have declared 
their adherence to the policy of spreading defense work widely. Conferences have 
been had during the past week with specific companies on the need for wider sub- 
contracting. When the contract placement section of the Division completes its 
organization and is adequately staffed, all phases of existing subcontracting, or the 
absence thereof, by the large holders of defense contracts can be explored ade- 
quately and programs effected to the end that defense production will be accelerated 
and orders spread widely. 

The armed services have cooperated with the Division in the carrying out of the 
Executive order. Both the Army and Navy have established contract distribu- 
tion divisions paralleling our own organization. Each of the services has caused 
to be issued the necessary directives to their procurement establishments for the 
implementation of the policy enunciated in the Executive order. As an example 
of the manner in which the armed services have endeavored to cooperate in the 
policy of spreading defense orders, the following experience of the Corps of En- 
gneers may be cited. In July 1941, to procure a small lot of trailers, the Corps of 
Engineers solicited bids from only four manufacturers. Following the promulgation 
of the Executive order, in November 1941, to procure a small number of trailers, 

60396— 42— pt. 23 17 

8944 ^^'- I><^^H'IS HIiLVRINGS 

tho Corps of I'^nginocrs submitted invitations to 80 possible sources of supply, all 
field oflices of the Division of Contract Distribution and the 6 engineer procure- 
ment districts. I'-ach of the invitations were accompanied by a copy of the speci- 
fications and drawings. Under a directive from the Chief of Engineers, dated 
October 20, 1911 , all division engineers, the 51 district engineers, and the 6 engineer 
procurement districts were instructed, in conformity witli the policy of the Execu- 
tive order, among other things, to discourage "all or none" bids; wherever feasible, 
proposals issued or negotiations started were to contain an optional clause stating 
the maximum award to any one bidder; awards were to be made on a regional 
basis and to as many i)roducers within a region as was practicable. 

This is but one of many similar instances where the services have endeavored to 
carry out the new policy of spreading defense work. 


We are endeavoring to staff our new field offices and add to the staffs of exist- 
ing otfices practical businessmen and competent engineers so that any manu- 
facturer or shop owner will be enabled to obtain at first hand — without the 
necessity of coming to Washington — every type of technical a.ssistance — a.ssist- 
ance with respect to subcontracting, production problems, conversion, procure- 
ment practices, financial aid, etc. In short, no businessman should feel the need 
of coming to Washington for assistance. 

To overcome a frequent criticism by manufacturers that specifications fre- 
quently require too close tolerances for certain types of work, Mr. Odium has 
appointed an engineering committee which is now exploring this problem with 
the armed services. 


It is sometimes assumed or inferred that the Division of Contract Distribution 
exercises authority with respect to contract letting. This is not the case. Con- 
tracts for defense items are let solely by the armed services. The following para- 
graphs of section 1 of the Executive order determine the scope of authority of 
the Division with respect to procurement: 

"(a) Formulate and promote specific programs for the purchase of supplies for 
the Army and Navy in smaller units but among a greater number of firms and 
in as many different localities as possible. 

"(b) Formulate and promote modifications in Federal procurement practices 
and procedures relating to negotiating contracts, bidding practice, performance 
and bid bonds, and other practices and procedures, to the end that there shall be 
a wider distribution of defense contracts and purchases." 

"(e) Promote and stimulate subcontracting wherever feasible." 

Section 2 of the Executive order is also relevant. It reads: 

"2. To insure unity of policy and coordinated consideration of all relevant 
factors involved in the formulation and execution of industry conversion pro- 
grams, and contract distribution and subcontracting procedures, all such pro- 
grams or procedures shall clear through the Division of Contract Distriljution." 

Many persons, who have given careful study to the problem of subcontracting, 
are of the opinion that subcontracting has not proved to be a success because, 
among other factors, it has not been dealt with at the source. To state the 
matter somewhat differently: The starting point for a subcontracting program 
is in the planning stage rather than after a contract has been negotiated. Previous 
efforts to stimulate subcontracting have resulted in inadequate results largely 
because the problem was not attacked sufficiently early in the procurement 
planning stage. Accordingly, to remedy this basic defect, Mr. Odium has ar- 
ranged for technical members of the staff to be represented in the various procure- 
ment branches of the services. In this way it is believed that subcontracting 
programs can be worked out at the time of procurement initiation and thereafter 
become consummated in the subsequent contract negotiations. 

For the month of October the Division's branch offices were able to arrange a 
total of 538 prime contracts and 1,615 subcontracts, totaling $178,658,529, as 
compared with $139,700,000 for the month of September and $97,000,000 for 


The committee has inquired with respect to the authority of the Division of 
Contract Distribution in connection with the construction of new plants or addi- 
tions to existing plants. As the committee is aware, all such applications are 
presented to, and approved by, the Plant Site Board of the Office of Production 


Management. The Division is represented on the Board. In addition, all appli- 
cations for plant expansion are submitted to the Division for recommendations 
with respect to the availability of existing facilities. Upon receipt of such appli- 
cations, the Division, through its Subcontracting Section, endeavors to ascertain 
through the Division's Engineering Section or the nearest branch office or offices- 
to the applicant whether or not there are existing but unused facilities capable 
of producing the item for which new or additional plant expansion is requested. 
In the event such available facilities are discovered, the potential sources of 
supply and the applicant for expansion are brought together and an effort made 
to have the applicant utilize such facilities in lieu of its program for new con- 

The foregoing procedure illustrates the disadvantage of initiating subcontracting 
after the planning for a project has been completed. For one thing, there is 
present an unfavorable time element; weeks and months of planning may have 
entered into the conception of the particular project. Nevertheless, a decision 
on the feasibility of a particular expansion program and the possibilities of sub- 
stituting existing facilities must be reached in a matter of hours. Plainly, the 
place for a determination of the feasibility of subcontracting is not at the Plant 
Site Board but at the planning center of the particular procurement establish- 
ment which requires the additional source of supply. 


Recognizing that the impact of priorities and raw material shortages would 
cause serious dislocations to labor and industry, Mr. Sidney Hillman early last 
summer appointed a committee of staff members of Office of Production Manage- 
ment to prepare recommendations for dealing with the problem of "priorities 
unemployment." Among the recommendations of this committee was the pro- 
gram of certification adopted by the Council of the Office of Production Manage- 
ment on August 19 (and embodied in the directive of the Under Secretary of War 
to the Chiefs of the Supply Arms and Services under date of September 5, 1941, 
a copy of which has been spread in the records of the committee), by which com- 
munities threatened with priority unemployment may be certified by the Division 
of Contract Distribution to the armed services for special consideration in the 
award of contracts. 

The certification of communities or industries is the joint undertaking of the 
Priorities Branch of the Labor Division (Office of Production Management) and 
the Division of Contract Distribution. At the request of the Priorities Branch 
of the Labor Division or upon its own initiative, community surveys are made 
by the Bureau of Employment Security. The completed surveys are transmitted 
to the Priorities Branch. If the community is certified, the Priorities Branch 
transmits copies of the community survey to the Division of Contract Distribu- 
tion together with a letter of certification. Through its engineering and technical 
staff, the Division of Contract Distribution analyzes the defense potential of 
the plants or industries involved and recommends a remedial program to the 
armed services. 

Ten areas, including more than 75 plants, have been certified by the Division 
to the armed services. The total of such contracts amounts to $28,337,099.91. 
(See exhibit D.) 

Under study at the present time are some 100 areas which face potential distress 
from priorities unemployment. 



The several functions of the Division are set forth in the Executive order. 
Paramount among the Division's responsibilities is "the development of programs 
for the conversion of plants and industries from civilian to defense production, 
with the assistance of the Government if necessary." 

Here, indeed, our American engineers may expect to find the greatest challenge 
which has ever confronted their profession. If thej' do their job with dispatch 
and intelligence the greatest industrial plant in the world will out-produce the 
Axis powers. If they succeed in effecting an orderly transition from a peacetime- 
economy to a wartime economy. Hitler will be defeated. If they fail democracy, 
too, fails. 

While the committee has heard testimony recently on the shifting of peacetime 
facilities to wartime production, and is, therefore, familiar with the underlying 
problems incident to conversion, it may not, perhaps, be amiss to restate by way 
of preliminary discussion certain aspects of the larger problem. 


American iiidustrj' is not unfamiliar with the complexities of conversion. 
Indeed, the greatest tribute to the ability of American industry to shift its produc- 
tive facilities from civilian to war production was paid us by Field Marshal Von 
Hindeiil)urg when he said at the end of the other war that it was our industrial 
mobilization which caused Germany's downfall. 

Grosvenor Clarkson, author of the authoritative Industrial America in the 
World War, has written of this earlier war effort by American industry as follows: 

"The carpet manufacturer could not make shells, but he could make blankets 
and ducks. The dredging contractor who was ambitious to make airplanes, but 
could not, could excavate berths in shipyards. The makers of refrigerators could 
turn to hos})itaI tables. Horseshoe makers could not make automobile tires, but 
overnight they could take to making trench picks. The toy manufacturer thought 
he could make surgical instruments, but came into his own in packing cases. 
When curtailment hit the stove business, it w^as found that the idle plants could 
be turned to making grenades and trench-mortar bombs, which are largely cast- 
ing jobs. The corset maker found that he could easily master belts for the 
Medical Corps. The piano factories and furniture men got their chance in the 
fuselages and wings of airplanes. The makers of automobile motors took to the 
Liberty engine like a duck to water. Even the talking-machine people landed 
right side up with facilities adaptable for the making of seaplanes." 

Today, I believe it can be said that American industry is doing an even more 
remarkable job of adapting its facilities to wartime production. For one thing, 
the strategy and tactics of the war of maneuver involving essentially a motorized 
and mechanized army has confronted industry with technical problems which it was 
not called upon to meet during the other war. For another thing, as I have had 
occasion to say elsewhere: "The modern mechanized and motorized army is im- 
potent unless it has adequately harnessed to it the workshops of a nation's indus- 
try. For behind the highly mechanized fighting equipment and material of the 
modern army lie the forges, the lathes, the drill presses, the machine tools, the 
jigs, dies, and patterns, and the assembly lines of industrial production. The 
technique of the war of movement requires not only a superb organization of 
fighting men and material, but also the highest degree of coordination between 
industry and the armed services. Indeed, the modern theater of war lies as much 
along the transmission belts of industry as it does in the actual areas of combat. 
Today, the fighting forces are but the cutting edge of a gigantic machine tool." 

When you stop to consider the almost insuperable obstacles and difficulties 
which have confronted the majority of American businessmen during the past 
18 months in their endeavor to obtain defense work, in attempting to ascertain 
what was w-anted and whom to see, it has been a heartening and encouraging 
spectacle to observe industry's response to the call for mobilization. 

Some confusion, however, appears to exist with respect to what is actually 
involved in the processes of conversion. 

I would not say that a conversion had taken place when a shoe manufacturer, 
for example, enters into a contract for the supply of army shoes and in fulfilling 
the contract shifts a part or all of his working force and equipment. 

Nor would I say that a conversion had occurred when a shop, which normally 
depends upon miscellaneous screw-machine contracts for automotive plants, takes 
on a subcontract for some fuse components and produces them by resetting a few 
of its automatics. 

These two illustrations of adaption to wartime production are in reality merely 
shifts of market, involving (it is true) appreciable, but relatively incidental, 
changes in design of products. 

Again. I should not say that we were talking about conversion when a manu- 
facture of oil well pumps builds an entirely new plant and equips it with new 
machinery for making a defense item which is altogether foreign to his commercial 
experience, as for example, antiaircraft guns. 

Similarly, we are not describing the process of conversion in the case of a manu- 
facturer of soft drinks who enters into a contract with the Government for the 
management of an ammunition-loading plant. 

These processes — although they are of the utmost importance — are to be con- 
sidered as the creation of additional plant capacity to be used exclusively for 
defense production. 

What, then, is conversion? 

I regard conversion as a more narrow and inclusive process. Conversion, as I 
see it, is the process of shifting existing tpols, equipment, facilities, man hours, 
and floor space, to munitions, armament, and other defense production. 

For example: Where the shop which has been repairing flour-mill equipment 
turns to machining parts for naval antiaircraft guns, we have a case of conver- 
sion in the true sense of the word. 


Or where the plant which has manufactured knitting goods machinery turns 
to the production of recoil mechanisms for machine guns, we have an illustration 
of conversion. 

Or where the maker of internal gear-rotating pumps takes on an order for fire- 
control instruments, we have a conversion. 

In each of these illustrations, conversion has taken place because existing 
equipment and facilities have been put to work on jobs which were foreign to 
their original design and purpose. 

Aside from the inherent engineering difficulties attendant upon the conversion 
of civilian industries to war production, we are now faced with an additional 
complicating factor. In his testimony before the House Banking and Currency 
Committee recently, Mr. Bernard M. Baruch had occasion to say: "Because 
the conversion of facilities from peace to war production was not begun soon 
enough, we now face virtually overnight, widespread dislocations, temporary 
unemployment, and possible business failures. What this postponement has cost 
the country it is impossible to reckon." 

The problem is, indeed, serious. Today, virtually the entire consumer dur- 
able goods industry faces a critical shortage of raw materials. A list of the in- 
dustries already subject to priorities and curtailment orders indicates the extent 
to which American industry has already been affected or is likely to be affected 
in the near future: Automobiles, silk manufacturers, refrigerators, vacuum 
cleaners, furniture manufacturers, office appliances, cooking utensils, sewing ma- 
chines, radios, metal fasteners, iron and steel foundries, brass foundries, clean- 
ing establishments, producers of various textile products using silk, rayon, nylon, 
and various scarce chemicals, building construction, rubber tires, other rubber 
goods, washing machines, coin machines, jewelry and ornaments, electrical house- 
hold appliances, stoves, tableware, incandescent lighting, manufacturers using 
cork, electroplating establishments, die casting establishments, and agricultural 

It is in this sector of the economy, moreover, that the smaller business enter- 
prises — those which are less able to withstand any prolonged shrinkage in busi- 
ness activity — are largely to be found. As Mr. Baruch has so well said: "The 
huge industrial concerns have the technical skill, the management, the capital 
resources to withstand shocks and to make necessary adjustments, even if given 
short notice. The average small businessman has no such margin of safety 
and may be forced into bankruptcy before he awakens to what has hit him. 
Such bankruptcies impair production and have an adverse effect upon morale. 
Under total defense civilian morale becomes as important as military morale." 

I say our problem is serious because material shortages have already occurred; 
plants have already been compelled to shut down; and workers have already 
been thrown out of jobs. 

No one can predict with any degree of accuracy the trend of "priorities unem- 
ployment." Some estimates indicate an unemployment of 2,000,000; others 
believe the figure will run even larger. 

For a considerable sector of business there would appear to be no other alter- 
native except to convert or perish. 

Moreover, because we have been late in drawing our blueprints for the large- 
scale conversion of heavy and light industry, there is bound to be a certain 
amount of suffering. What must be done will now have to be undertaken under 
far more adverse conditions and with greater hardships than if we had our master 
blueprints ready. 

Conversion cannot be undertaken in a vacuum. Whole industries cannot be 
shifted over in the absence of a knowledge of (a) resources (what we have) and 
(6) requirements (what we need). The preparation of a conversion program is, 
therefore, in reality an end product. It is the meshing and gearing of the data 
with respect to the available plant facilities and tools of every part of the Nation 
(resources) with the material requirements of the Army, the Navy, the Maritime 
Commission, and the Lend-Lease Administration (requirements). 

We are only now beginning to undertake the enormous job of finding out what 
our physical resources are and breaking down the vast material requirements of 
the armed services. I shall have more to say on this subject in a subsequent 

It must also be borne in mind that we are compelled to approach our task 
under a time handicap: To set up a program for the conversion of an industry 
takes time — time, to make an organized study of the facilities; time, to ascer- 
tain where a particular industry can fit into the over-all procurement needs of 
the fighting services; time, for the industry to make the necessary production 
and cost studies; time, for retooling; and finally, time, before a contract is 
ultimately placed and f uU employment resumed. 

8948 ^'^- T^OUIS HEARINGS 

It is this interim period which is the critical one. For during this period plants 
must be "fed" raw materials or cease their operations. It is duriiifj; this critical 
period that there must prevail complete sj'nchronization of eflort between the 
application of priorities, the allocation of supplies, and the drawing of the engi- 
neering blueprints looking to ultimate conversion. Each must mesh and gear 
into the other if an orderly and intelligent transition is to be eflfected. 

I indicated previously that we have just begun the enormous task of ascertain- 
ing what our physical plant resources are as well as the material needs of the 
Mihtary Establishment. Each of these aspects of the problem of conversion 
merits discussion. 


The so-called allocated facility lists of the armed services under the industrial 
mobilization plan disclose as of August 1941 a survey of 25,000 plants. Of this 
number 11,998 have been selected by the Army-Navy Munitions Board for 
defense production and 6.GG2 have received either a prime contract or a subcon- 
tract. These selected plants have been allocated to "problem items" in the 
procurement schedules. Of the 184,000 establishments reported in the Census 
■of ATanufactures of 1939, the 6,662 concerns which have received either prime or 
subcontracts represent only 3 percent of this category of potential manufacturing 

In addition to the foregoing data, there is available in the field offices of the 
Division facility records with respect to some 40,000 plants. It is probable 
that these data to some extent duplicate the allocated facilities listing of the 
Army-Navy Munitions Board. Even if it be assumed that in this figure there 
is no duplication, it would at best represent only a fraction of the vast sea of 
available but unused plant and tool capacity of America. We have yet to learn 
the extent of our potential producing power. 

Accordingly, we are undertaking in every part of the Nation an inventory of 
facilities not being used for defense work. This inventory will include the facili- 
ties and equipment of plants which are now idle or partially idle as well as those 
■which are being employed on nondefense production. Such a census to be of 
genuine significance must be dynamic, that is to say, it must be kept current. 
In this respect we can profitably borrow^ from the experience of the British "area 
boards" concerning whose functions and operations Mr. Morris L. Cooke has 

As a corollary step to the foregoing, we are undertaking a systematic exami- 
nation of the allocated facility lists of the armed services, making current correc- 
tions to such lists so that we may know at any given interval of time what 
proportion of the allocated capacity is being used on munitions production and 
what proportion is still available for an expanded munitions program. ! 

Finally, w^e are also undertaking to catalog the machine and tool 'comple- 
ments now being used in the production of the various munitions, ordnance, air 
and naval equipment, with sufficient break-down to show the machine comple- 
ments being used on the various components of these items. Only through such 
a catalog will we know with clarity what we are looking for as we approach 
the problem of finding additional capacity for a greatly augmented "victory 


Until we have available and readily accessible "shopping lists" for all of the 
military items required but not yet ordered, no large-scale conversion program 
can leave the paper stage and move over into reality. Until the requirements 
of the Military Establishment are broken down into "bits and pieces" subcon- 
tracting must operate on a "hit or miss" basis; and industrial pools must con- 
tinue to exist as mere paper pools. Such lists are now in the course of preparation. 

It cannot be reiterated too often that conversion is nothing more than a kit of 
tools: On the one hand, a current facilities inventory and a catalog of machine 
and tool complements; on the other hand, shopping lists of military requirements; 
and "market place" exhibits of "bits and pieces." 

Each of these tools, so to speak, must be built up around the other. It is 
futile to talk about converting the manufacturers of refrigerators, for example, 
until and unless you know what defeiise items are needed; what tools and machine 
e(|uipment is required for the particular production; and, finally, whether the 
refrigerator industry possesses the necessary complement of equipment to under- 
take the job. 

Again, it cannot be emphasized too strongly that it is essential for the small 
machine shop owner and manufacturer to sec with his own eyes, to feel with his 


owTi hands — to bite with his teeth, if necessar}- — the part or component, the 
production of which is desired. 

A machine gun, or an antiaircraft gun in its entirety is a comphcated piece of 
mechanism. So is a washing machine. But once you "explode" any of these 
machines into their parts and components, the average shop mechanic will find 
any number of "bits and pieces" which are no different from the type of work 
he normally turns out. 

We are prone to forget that an automobile is not produced by Ford or Chrysler 
alone. It is the assembled product of himdreds of "feeder" plants — small, medi- 
um and large — situated in every part of the country, feeding South Bend, Flint, 
and Detroit, and other motor centers with a steady stream of parts ranging from 
clutch springs to crankshafts and from grinding wheels to headlamp sockets. 
A score of industries help keep the assembly lines of the automotive industry 
moving. The same principle must also be applied in defense production. 

The mechanics of little industry whose accumulated skills turned out refrigera- 
tors, washing machines, vacuum cleaners, radio tubes, automotive parts, gas 
ranges, stoves and the like, can and will apply those same skills to the produc- 
tion of tanks, guns, and planes. 

Defense production is by no means exclusively a "close tolerance" program. 

The first step in making available "shopping lists" of defense items has been taken 
by the Division. On November 10, three special exhibit trains — each loaded with 
five cars of "bits and pieces" and a full complement of officer personnel from the 
armed services and the Maritime Commission, together with representatives of the 
Division and other departments of Office of Production Management — departed 
one for the industrial Northeast, one to the Midwest, and one to the far West and 

A summary of the results of the first 5 days of operations — November 11 to 
November 15 — during which period 9 cities were covered, shows that 7.490 
manufacturers availed themselves of the opportunity to inspect the various mili- 
tary items. During these first 5 days of operations, the Navy discovered sources 
of supply which were assuming critical proportions. At Wilmington, Del., for 
example, the Navy Bureau of Aeronautics found 17 sources of supplies for which 
difficulties had developed. As a result of the visit to Providence, R. I., it ap- 
peared likely that from 4.000 to 6,000 jewelry workers' Jobs might be saved by 
employment on the fabrication of heavy needles and aircraft tie rods for the Navy. 

In addition to the foregoing, the Division has sponsored defense clinics for the 
exhibition of "bits and pieces" in New York, Chicago, Kansas City, and Los 
Angeles. Additional clinics are being planned for other cities. 

Plans are now under way to establish permanent exhibits of "bits and pieces" 
in the various field offices. The first two such exhibits will be opened in St. 
Louis and in Chicago. 

In this connection, our technicians have already "exploded" a tank into its 
component parts for the purpose of ascertaining which parts are susceptible to 
farming out. Similarly, other items such as planes, antitank guns, antiaircraft 
guns will be broken down, their parts labeled as to the quantities needed and the 
machine tools and operations required for their production and placed on exhibit 
where the small shop owner can determine if he is capable of producing a part or 
component. As the "victory program" develops, the Division will endeavor to 
anticipate urgently required items through providing, on the one hand, market- 
place exhibits and shopping lists, and, on the other hand, potential facilities capable 
of entering into their production. 


For effectuating the conversion program the Division is utilizing three broad 
basic techniques: (a) An expanded system of subcontracting; (h) the breaking 
down of large orders of supplies into smaller units, and spreading such orders 
among the smaller enterprises (still largely unused) as new prime contractors and 
subcontractors; and (c) the pooling into single units, under unified managerial 
direction, of scattered machine and tool shops, or units of an industry shut down as 
a result of material shortages. Implementing these techniques there must also 
prevail a constant search for new substitutes; conservation of existing materials; 
and the standardization and simplification of design. 

With the enormous requirements which have been imposed upon the nation's 
production facilities by the hemisphere defense and lend-lease requirements, we 
shall shortly be confronted with a battle on a front other than production — the 
battle for capacity. The pooling of scattered machine shops and units of an 
industry into a single aggregate under unified managerial direction is, therefore, the 

8950 ^^'- I^OUIS IIKA KINGS 

only practical answer. Moreover, as a result of the widespread dislocations of 
industry and labor resulting; from material shortages, there is no other way of 
aggregating individual plants and shops lacking the necessary complement of 
machine tools and equipment than through a widespread systx^m of regional and 
locality pools or cooperative production associations. 

Accordingly the following devices contemplating some form of regional organiza- 
tion are being emjjloyed by the Division to discover heretofore untapped sources of 
supply and jilants for conversion to defense production: 

1. All i^lants on the "allocated facility list" of the armed services which are not 
now cnii)loycd at estimated capacity are being analyzed in order to ascertain how 
they may be brought into defense production. 

2. A search is being made of plants now engaged in civilian production whose 
complement of machinery is comparable to those now employed on defense pro- 
duction and who are, therefore, potentially equipped to produce defense items. 

3. A careful scrutiny is being made of plants which, although they lack comple- 
ments of machine tools and equipment matching those now utilized in armament 
production, nevertheless, do possess a working nucleus of comparable equipment. 
Wherever feasible, these plants arc being brought together into pools. 

By approaching the problem of conversion on an industry and