H
I L L N I
S
UNIVERSITY OF ILLINOIS AT URBANA-CHAMPAIGN
PRODUCTION NOTE
University of Illinois at
Urbana-Champaign Library
Brittle Books Project, 2010.
f" O n . 16 &
AS
AN ASSOCIATION
WITH AN
"OBJECTIVE
"'Where there is no vision the people perish.'
Any association if it would survive, must
have some objective ... founded upon righteous-
ness, justice, equity and humanity. An
organization lacking in these fundamentals
is doomed to failure."
'F 3THE
".]a li y TTHE
MAH
A AAT
"If we care what men think,
we must care what men do.
Our economic system must
be justified to the many who
have little, and not to the few
who have much."-LAW
AND LABOR.
COPYRIGHT NOTIFICATION
In Public Domain.
Published 1923-1977 in the U.S.
without printed copyright notice.
This digital copy was made from the printed version held
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It was made in compliance with copyright law.
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2010
ANNUAL ADDRESS AND JOINT REPORT
OF
J. EDWARD STILZ, Retiring President
ANDREW J. ALLEN, Executive Secretary
ASSOCIATED EMPLOYERS OF INDIANAPOLIS, INC.
Twentieth Annual Meeting, Feb. 8, 1924
To THE MEMBERS OF THE
ASSOCIATED EMPLOYERS OF INDIANAPOLIS, INC.
Your President, now retiring, desires, jointly with the
Secretary, to express a few pertinent thoughts on this
occasion, the 20th Annual Meeting of the Associated
Employers of Indianapolis. It is not necessary to discuss
the various phases of Association activity since members,
and non-member friends, have been kept informed on
industrial matters through the Associated Employers'
Digest and other printed literature. You will profit also,
by reading the Secretary's "Story of Industrial Indian-
apolis" for 1923-a narrative depicting the city's steady
and substantial development in every line of industrial,
commercial and financial enterprise. It will run as a
serial in the Association's monthly Digest beginning in
March.
The subjects we desire particularly to touch upon now
.concern, (a) the need and value of employe education in
the economics of management and employment relations;
(b) the responsibility that will rest upon every voter this
spring in helping to nominate capable men for public
office at the primaries and, (c) to emphasize that every
organization must have as its "objective" a platform of
sound American ideals and principles.
PAUSE TO REFLECT
"Where there is no vision, the people perish." During
the centuries that have elapsed since the utterance of this
proverb by the wisest man of his day, it has lost none of
its force and effectiveness, but is quite as applicable at
this moment as it was at the time of its utterance; and
it applies with equal appropriateness to a nation, a race,
or an organization.
Any association, if it would survive, must have some
objective toward which and for which, it will strive.
And if it would permanently endure, such objective
must be founded upon righteousness, justice, equity and
humanity. An organization lacking in these fundamental
principles is doomed to failure.
We are observing the twentieth anniversary of the
Sestablishment of the Associated Employers of Indian-
apolis and as we stand upon the threshold of a new year,
it is fitting that we should pause to reflect upon the
.purposes of our organization, its accomplishments and
its future aims, that we may determine whether or not
we have justified the Association's existence, and whether
the future holds out for it a sufficient promise of the
attainment of those objects which its continued existence
must impel us to seek.
Among the foremost ideals of the Associated Employers
of Indianapolis has always been the endeavor to bring its
members to a realization of their individual and collective
responsibility in helping the organization measure up to
r- the highest standards of citizenship in support of the
advanced position it has always taken in civic and
industrial affairs. These purposes are recognized by
this Association as necessary factors in the creation of a
wholesome public sentiment on industrial matters, be-
lieving that an intelligent public understanding of the
economics of labor relations is just as necessary to the
welfare and progress of the community and to its sta-
bility and tranquillity, as the maintenance of the national
interest was to the winning of the war.
OUR "OBJECTIVE"
The aims and "objective" of the Associated Employers
of Indianapolis are stated in its Declaration of Principles,
to-wit:
"1. We believe in harmonious industrial re-
lations between employer and employe and
that the latter shall receive adequate com-
pensation and timely advancement for his
services measured by his individual efforts.
We shall not countenance any employer who
does not pay a fair day's wage for a fair day's
work, nor any employe who shirks a fair day's
work for a fair day's pay.
"2. We are unalterably opposed to the principle
of the closed shop. It is un-American, illegal
and unfair to the independent workman who
does not desire to join a union, to the employer
who prefers to operate an open shop and to
the public. Therefore, we shall defend the
right of every workman to be free to dispose of
his time and skill advantageously, and we
shall maintain the right of every employer
to conduct an open shop.
"3. We are strenuously opposed to lockouts,
strikes, sympathetic strikes, boycotts and
kindred evils. We will resist those selfish
interests which through coercion, false state-
ments and violence, disrupt the relations of
peace and unity existing between the just
employer and his employes.
"4. Law and order are essential to the com-
mercial progress and development of any city.
We pledge our support to the properly con-
stituted authorities for the impartial enforce-
ment of law and the strict maintenance of
order at all times and in all places, so that our
community may enjoy its constitutional and
inalienable right to peace, liberty and security
for life and property."
"CAPITAL" AND "LABOR"
It is perhaps unfortunate that we have come to sepa-
rate men into two groups, one designated as "capital"
and one as "labor," and that it has seemed necessary to
distinguish between these two groups, for in a very large
sense all are "capitalists" and all are "laborers."
He who employs money, wealth, or property in the
conduct of industry, must also exercise mind and body,
and use his physical attributes to a very considerable
extent, if he would succeed in any venture, and thus
"capital" and "labor" are combined in the individual.
In like manner, he who employs his hands and feet,
his physical senses, as well as his mind, "capitalizes"
his physical resources, the talents with which nature has
endowed him and thus, combining "labor and capital,"
becomes a "capitalist." And just as a man's house is his
castle, though it consists of but one room, so do his
faculties constitute his "capital" of which none can
deprive him.
The glory of the American workingman, is that he can
exalt and dignify his labor through his inalienable right
to work when and where he will, free from the restraint
of those who, through misguided ambition, seek to divest
him of that right. Inasmuch as all men must derive their
subsistence through their own efforts, and as the common
good is affected by that which influences any portion of
the whole, so industrial peace is a thing greatly to be
desired as bestowing the greatest good upon the greatest
number.
The laborer is worthy of his hire, and in like manner he
should be ambitious to make the labor worthy of the
recompense, So too, should he that is served recognize
the merit of the service, and compensate accordingly, so
that through a mutual recognition of responsibilities, a
full day's work may receive a full day's pay, and a full
day's paywill produce a full day's work.
MUTUALITY OF INTEREST
The employer and employe have much interest in
common, 'and a better understanding by each of the
problems confronting the other will not only increase
their mutual respect and forbearance, but will serve to
solve those problems to the greater advantage of all.
This can be brought about by a closer relationship be-
tween these two groups, not through the instrumentality
of any outside influence, which would have its own
selfish interests to serve, but by a more direct contact
within each organization of management.
Education is the great channel through which the
forces of co-operation may flow toward the fullest appre-
ciation of that mutuality of interest which should exist
between employer and employe, and if pursued along
proper lines, must result in greater tolerance on the part
of the former, and a greater breadth of vision and an
enlarged perspective on the part of the latter.
The Associated Employers has no quarrel with
organized labor, per se; it recognizes and concedes to
groups of employes their unquestioned right to perfect
an organization for their mutual benefit and helpfulness,
just as employers have that right for their own benefit.
In order, however, that peace and unity may prevail, and
the orderly processes of production and distribution shall
not be interrupted, but may be continued unabated to the
benefit of the common good, it is necessary that each
group obey,, not only all statutory laws that govern
society, but that each must in like manner, observe those
moral obligations which exist as a matter of right and
not of legal enactment; and each must respect the rights
and interests of the other, in order that the good of all
may best be preserved.
Generally speaking, an individual, acting separately
and independently, has the undoubted right to work or
cease to work at will, just as an individual, under like
conditions may use or dispose of his property according
to his own pleasure. But just as, for the benefit of
society, the law restrains any group of individuals, acting
collectively, from controlling its property to the detriment
of the public, so a group of individuals should feel that
it has no moral right, acting in unison, to cease its
activities or leave its employment, in such manner as to
stop the wheels of production activity, and thereby sub-
ject any other group and the public, to serious loss and
inconvenience. Experience has proven that such action
is not necessary to the accomplishment of any righteous
end, but that with the passing away of the old order, full
justice will be accorded employes if they will approach
employers with that same spirit of fairness and con-
sideration which they themselves expect and desire.
RADICALISM DESTROYS
The great majority of American employes are loyal,
patriotic and peace loving, abundantly willing to plead
their cause and compose their differences in the natural
and orderly course of affairs, but the thorn that infests
the flesh of the industrial body, is the agitator, the
radical so-called leader, who thrives upon the strife and
turmoil he can succeed in stirring up; who has his own
selfish interests to serve, and who is not interested in the
welfare of those whom he professes to serve but who,
under the guise of protecting their welfare, feathers
his own nest.
To the end that employes generally may appreciate
the extent to which they sacrifice their own independence
by following these misguided leaders, and the ultimate
benefits which flow to them by direct and unprejudiced
negotiation, there devolves upon employers a sacred duty
in the matter of education along those lines which will
promote the welfare of their employes and tend to pre-
serve the proper industrial equilibrium.
"I want the wage-earners to understand the problems,
the anxieties, the obligations of management and
capital," said former President Warren G. Harding,
"and I want the employers in industry to understand the
aspirations, the convictions, the yearnings of the millions
of American wage earners. Out of this understanding
will come the unanimous committal to economic justice,
and in economic justice lies that social justice which is
the highest essential to human happiness."
EMPLOYE EDUCATION
Plans to make "employe education" in the economics
of industrial relations one of the foremost activities of
the Associated Employers during this year, have been
tentatively worked out by the Association's Directors,
who recognize that national necessity today demands
that every employer and every organization concerned
with production, and with the retention of efficient
working forces, should institute as a permanent business
policy, some plan of educational program among em-
ployes in the economics of management, business and
industrial relations.
A moral obligation rests not only on the workmen, but
of the President and general officers as well, that the
department heads and foremen should learn from each
and impart to the employes under them, the viewpoint
of others and the economic facts upon which industry
is conducted.
If your employes are not informed in these respects,
"Why should you have their good will?" it has been
asked, "and if they are so informed how can you fail to
have their good will?"
The question confronting employers today is whether
they are taking full advantage of the potential good will
of the average employe, to educate him in the principles
of business and the problems of industry. In the under-
taking to educate your employes along these lines,
"there is no escape from the problems but there is great
hope," says Law and Labor. "If we care what men
think, we must care what men do. Our economic system
must be justified to the many who have little, and not to
the few who have much."
RESPONSIBILITIES OF CITIZENSHIP
There is ahead of us a year of great political importance
and each tax-payer and citizen has a personal responsi-
bility in seeing to it at the primaries this spring, that all
men nominated and elected to public office, whether
Federal, State or Municipal, are truly representative of
the majority will of the whole people. The United
States is today undergoing the "acid test" and this
country needs in public and private affairs, the guidance
of courageous and outspoken men who appreciate that
upon their shoulders rests the responsibility of preserving
for the country's sake and for posterity, the ideals,
principles and guaranties upon which this illustrious
Republic is founded.
The danger to this country today is two-fold; there is
danger in the destructive doctrines being preached on
every hand because of the license enjoyed by radicals
under the privilege of free speech, and there is danger in
the increasing number of their deluded followers. Men
are needed in public office who will uphold our established
and cherished institutions; who will defend the rights of
person, property and individual initiative; who will
guard the sacredness of the law and the inviolableness of
the courts; men who will resolutely and militantly oppose
any man, or "bloc" and any organization of men that
attempts to deny or abridge these American safeguards
of citizenship.
It is time for the teacher and the preacher, business
men and' the newspapers, employers, employes, and for
everyone who loves not only America, but who loves
human liberty and civilization, to awaken to the serious-
ness of the struggle now engulfing the world in the
effort of radicalism to rule or ruin.
UNDERWRITING PEACE AND PROGRESS
The Associated Employers of Indianapolis has dedi-
cated its activities to underwriting the industrial peace
and progress of the city's factories, stores, banks and
mercantile establishments, as well as that of their em-
ployes. Its mission is to enlighten public opinion on
labor relations, to promote understanding, harmony,
loyalty, production and co-operation between employers
and employes; to discourage costly and needless strikes,
to curb abusive and uneconomic employment practices;
to expose destructive movements; to uphold freedom of
contract and rights of employment; to encourage law
enforcement; to insist upon public order, and to in every
way, promote and sustain the national reputation of
Indianapolis as a safe place for management and labor
in which to live, invest and work.
Although our Association is industrial in character
and largely confines its activities to matters relating to
labor conditions and employment relations, it has con-
sistently and earnestly co-operated over a long period of
years with the Chamber of Commerce, Board of Trade,
Merchants Association and other civic, trade and
business organizations in all undertakings that tend
toward a bigger, better and more prosperous Indianapolis.
In legislative matters, during sessions of Congress and
the General Assembly, the Associated Employers of
Indianapolis has been active in keeping its members
informed on pernicious proposals affecting the interest of
employers and employes, and in urging them to support
worthy legislation. At times also the Association has
had occasion to inquire into city ordinances, and has
helped its members defeat some such proposals, while
assisting them also to secure the enactment of needed
ordinances such as the "anti-picketing and "anti-
banner carrying" ordinances. The Association has at
all times encouraged and supported public officials in the
impartial and fearless enforcement of law and order.
It has given its aid in the apprehension and prosecution
of law-breakers, and insists upon the protection of the
person, property and rights of both employers and
employes. As a result of our Association's "objectives,"
Indianapolis has acquired national recognition as a city
of industrial peace. The community rests upon a solid
foundation of confidence, mutual understanding, indus-
trial growth and business prosperity, largely because its
employers have high ideals in the employment relation.
The "objectives" of the Associated Employers of
Indianapolis have, therefore, helped to produce a healthy
community.sentiment and a condition of desirability for
labor, for the merchant, for the jobber, the banker and
the manufacturer, and those employers and employes
who experience the least amount of labor troubles are
the greatest beneficiaries of this situation.
"OBJECTIVES" BRING RECOGNITION
Our condition of civic growth and prosperity benefits
all businesses, because industry and commerce are neces-
sarily affected in the highest degree with a vital public
interest in their economic relation to enterprise, banking
and social welfare. Indianapolis is known throughout
the country today, as a safe place for business investment
and as one of the best cities for laboring people in which
to live and work. "The Union," a local labor paper
sums up the situation in these words:
" Indianapolis is in many respects, one of the
most desirable places of residence and em-
ployment in the country. There is a general
freedom here from industrial strife, wages are
good and the living conditions for families of
workers are not better anywhere. Strikes are
fewer than in any other manufacturing center
and its large industrial population is more
than passing prosperous. Indianapolis holds
a distinguished place among the cities of the
United States for a record of industrial peace,
which condition is produced as a result of a
real desire on the part of the employers to do
their share to better the conditions of the
working people."
Newspapers and publications throughout the country
have frequently told the story to the Nation with the
result that Indianapolis has received much favorable
advertising to which is attributable in some degree, its
steady and permanent progress. Here is one example:
Sixty-five leading merchants and manufacturers of
Peoria, Illinois, published a full page advertisement in
their local newspapers some time ago in which this
compliment was paid to the city:
"Indianapolis recognizes that an American has
the right to work, and is entitled to the fullest
protection while he works. The city is careful
in protecting the interests of its people, and
offers every resource to protect employes while
at work and on the way to and from work. It
pledges the police powers of the city to guard
workers against any verbal abuse and physical
threats. There is no radicalism in this Indian-
apolis attitude; rather is it conservatism. It
injures no just man and no just cause."
CONCLUSION
In conclusion, your Officers and Directors are impressed
with a sincere realization of their and your responsibility
in measuring up to the high standard of citizenship the
Association has attained at home and abroad, in sustain-
ing and promoting righteous civic and industrial affairs.
It has been a pleasure and a high honor for your President
and Secretary to be associated in this work with these
twenty-four Directors who are all representative men of
large business responsibility and who appreciate your
confidence in trusting the destiny of the Association to
their care.
The services of your Directors are unpurchasable in
private enterprise, yet they and other Committees have
been willing at all times, to serve the membership without
expectation of reward or credit. They have been content
in the knowledge that their efforts are a valuable con-
tribution to civic endeavor in the safe and sane develop-
ment of a bigger and better Indianapolis. Your Directors
are freely giving their valuable time, energy and ex-
perience to organization work in your behalf and mem-
bers are at all times welcome to their counsel, assistance
and advice. The Directors are assured that the member-
ship joins in these expressions of appreciation of their
very valuable services and in extending thanks to them
for their untiring devotion to these affairs.
It has been well said that: "The individual employer
should not be content with desiring an association to
help him when he has a strike and to help other em-
ployers when they have strikes, but he should give his
active moral and financial assistance to the organized
effort to make his city a place in which the spirit, of the
community forbids industrial warfare." It is the hope
and belief of your Officers that with a continuance of the
patriotic and unfaltering co-operation of a law-abiding
citizenship, the good influence and usefulness of this
Association will be further and materially extended
during the ensuing years. Respectfully submitted,
J. EDWARD STILZ, President
ANDREW J. ALLEN, Secretary
ASSOCIATED EMPLOYERS OF INDIANAPOLIS, INC.
February 8, 1924
HOW THE "OBJECTIVE" OF INDUSTRIAL
INDIANAPOLIS IS BEING REALIZED
Being excerpts from "A Narrative of Industrial Indianapolis," by
Secretary Andrew J. Allen of the Associated Employers of Indianapolis,
which will run for several months as a serial in the Association's monthly
Digest, beginning in March.
Facts and figures that every citizen should know, will be presented,
depicting a steady, substantial and permanent civic growth: a story of
unstinted activity, expansion, peace and progress in every department of
industry, commerce and finance.
The Associated Employers Digest is a monthly membership bulletin
and those employers who desire to receive it regularly should join the
organization.
Indianapolis, the twenty-first city in the United States,
is essentially a manufacturing center. Its factories to the
number of 1250, manufacture 850 distinct articles, repre-
senting an industrial investment of $230,000,000 as com-
pared with $87,500,000 in 1914-an increase in 7 years
of $142,500,000. The total value of the city's manu-
factured products in a single year has reached $427,000,-
000, or more than three times the value of our industrial
output in 1913. The leading industries of Indianapolis in
commercial lines in 1923, classified from the viewpoint
of value of manufactured products, were as follows: Meat
Packing, Automobiles, Auto Accessories, Metal Trades,
Machine Shops, Food Products, Wearing Apparel, Print-
ing Trades, Grains and Cereals, Furniture and Phar-
maceuticals.
There are 56,000 adult wage earners employed in the
city's industrial plants. Salary earners in office, factory
and store, greatly increase the total number of all groups
of workers, the approximate number being 150,000-
from 7000 to 10,000 of whom are said to be unionized.
The present population of Indianapolis is given as
350,000 in the latest Census Bureau estimates. The
city's average population increase during the 'past three
years has been about 1000 per month. In 1920 the
population was 314,194 and in 1922 it was 342,718. The
prediction has been made by local business men that by
1935 the population of Indianapolis will reach 500,000.
Our people must see to it that these newcomers possess
the qualifications that make desirable citizens whose
talents will be directed in constructive channels rather
than along destructive lines. This is an important civic
responsibility and cannot be evaded with safety.
BUILDING AND HOME RECORD
Residential growth as represented in the 1923 building
statistics for Indianapolis afford added proof that the
city is thriving industrially. Its previous building record
was shattered in 1923 when a total of 15,767 permits were
issued (an increase of 14 per cent over 1922), representing
a valuation of $27,144,494. This was a gain of 3.57 per
cent over the 1922 total of $26,110,607. Building valua-
tions for previous years were $12,794,556 in 1919;
$15,284,119 in 1920 and $18,328,965 in 1921.
In the volume and value of building construction last
year, Indianapolis stood nineteenth among the twenty-
five principal cities of the country included in a national
building survey which covered 266 leading cities and
towns. Local building operations in 1923 were dis-
tributed as follows:
Homes 2828 $12,467,197
Tenement Houses 24 877,550
Concrete Block Buildings 228 625,589
Buildings (Fire proof) 40 5,558,865
Buildings (Non-Fire Proof) 161 2,736,525
The remaining permits and valuation include mis-
cellaneous, stables and sheds, repairs and alterations, the
last mentioned item totaling 8003 permits and $2,879,155
valuation.
Indianapolis is known as a home-owning city. Eighty-
five thousand families occupy 79,000 dwellings, thirty-
five per cent of which are owned by the occupants. The
last census placed Indianapolis first among all cities over
200,000 population in the number of homes per 1000 of
population. Five thousand new homes were built in
Indianapolis during the past two years. A new dwelling
was completed here in 1923 for each 35 minutes of day-
light time according to report of the Indiana Bell Tele-
phone Company.
FINANCIAL STABILITY
The physical growth of Indianapolis is reflected in the
assessed valuation of property which was over $600,000,-
000 at the beginning of 1923. This city ranks eighth
among all the larger cities in a per capita wealth of
$1,913.17, and its average per capita debt is $64.25
according to the U. S. Census Bureau which states that
$78.68 is the average per capita indebtedness of all
other cities with more than 100,000 population.
Thirty-three per cent of the city's population have
individual incomes exceedinag $1800 per year, and the
fifty-eight Building and Loan Associations have invest-
ment deposits from home owners and other thrifty
people, approximating $56,000,000. Indianapolis is re-
garded as a panic proof city. Its thirty-five banks and
trust companies have resources of more than $200,000,000
which showed an increase of $40,000,000 in 1923. The
amount of bank deposits totaled $142,831,756 on
December 31, 1923, or about $416.76 per capita as
follows: National Bank deposits $72,271,319; State
Banks $18,924,649; Trust and Savings Companies
$51,635,788.
The bank clearings in Indianapolis passed the billion
dollar mark in 1923 for the first time in the city's history,
amounting to $1,049,631,280. This was $148,000,000
more than in 1922 and about $115,000,000 higher than
the 1920 peak period of post-war inflation. It is pre-
dicted that Indianapolis bank clearings in 1924 will
pass the two billion dollar mark. The prosperity of the
city is also indicated by the local post-office receipts for
1923 which totaled $3,741,607.20, an increase of $433,-
663.61 or 13.11 per cent over 1922. Postmaster Bryson
predicts that the 1924 receipts will exceed $400,000,000.
HEALTHY SCHOOL ENROLLMENT
"Conditions of health and school enrollment tend to
show that, (a) Local employers are earnestly co-operating
in the collective effort to promote mental and physical
hygiene through improved and healthful working con-
ditions and, (b) There is a minimum of child labor in
Indianapolis. In a list of 39 cities, Indianapolis ranked
thirty-seventh in expenditures in 1920, for health service,
according to the American Journal of Public Health.
The city's per capita health expenditures over a ten year
period, is given as 45.1 cents. The average per capita
cost of other large cities for health service is stated as
70.4 cents, and the highest per capita cost indicated in
the table was 104.9 in Bridgeport, Conn.
Illiteracy in Indianapolis has been reduced to 2.1
per cent largely because of the enormous school enroll-
ment which has increased two and one-half times in 23
years. Today, the approximate high school enrollment
is 10,000 whereas in 1900 it was 2251. The present
enrollment in the city's elementary grade schools is about
52,000 and in 1900 it was 27,000. Since 1915 alone, there
has been a total increase of 12,865 in school enrollment,
an average of 1,196 each year for grade schools and 642
for high schools in Indianapolis.
The high school enrollment over a period of years has
been far ahead of the grade schools, and indicates that
our population is thrifty and prosperous to a degree that
enables these boys and girls to prepare themselves for
higher learning. Living conditions here are such as to
render it unnecessary for the city's youth to contribute
towards the family income by entering upon a livelihood
immediately upon leaving the elementary schools. The
community is benefited by this higher type of citizenship
for which it pays $58.38 per capita, according to Chas.
Kettleborough, Director of t"% :Indiana State Legislative
Reference Bureau, who say; that this includes a total
school debt for Indianapoli of $8,488,000 and a total
city debt of $9,852,336. The cost of school maintenance
in Indianapolis according to the U. S. Census Bureau,
was $4,082,000 in 1922, an increase of 149 per cent over
1917 which was $1,637,000 ur a per capita cost of $5.55;
the per capita in 1922 was $12.19.
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