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Wage Chronology No. 4: Bituminous Coal Mines

Supplement No. 5-1959

THE FIFTH AMENDMENT to the National Bituminous Wage Agreement of 1950 was signed at Washington, D.C., on December 3, 1958, by representatives of the United Mine Workers of America (Ind.) and the Bituminous Coal Operators' Association. On the following day, the amendment was signed by the president of the Southern Coal Producers Association, and a majority of other bituminous mine operators followed suit by January 1, 1959.

The amended contract was effective as of December 1, 1958, and was made subject to termination on or after November 30, 1959, by 60 days' notice from either party. It provided a $1.20-a

day wage increase effective January 1, 1959, and an increase of 80 cents a day beginning April 1, 1959. An increase in annual vacation pay was also stipulated.

The contract, signed by commercial operators, added a "Protective Wage Clause" whereby mine operators agreed that all coal mined, purchased, or otherwise acquired by them would be produced under terms and conditions of work as favorable as those provided in the contract. A Joint Industry Contract Committee was established to enforce this provision. The contract signed on behalf of the "captive" operators did not include this clause.

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TABLE 1. CHANGES IN BASIC WAGES AND HOURS IN BITUMINOUS COAL MINES IN THE APPALACHIAN AREA

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Jan. 1, 1959 (amendment dated Dec. 3, 1958).

5-6

8

Apr. 1, 1959 (amendment dated Dec. 3, 1958).

5-6

72 72

Jan. 1, 1959 (amendment dated Dec. 3, 1958).

5-6

8

Apr. 1, 1959 (amendment dated Dec. 3, 1958).

5-6

Inside Tonnage and Piece-Rate Workers &

71⁄2

72

$1.20 a day increase....
2$.80 a day increase....

Flat amount added to previous 8 hours'
pay.
Do.

1 The schedule of mine operation provided in the National Wage Agreement of 1950 does not represent a guaranty of the stipulated hours or days of work.

Since April 1, 1945, the contracts have provided that the lunch period be staggered without any interruption or suspension of operations throughout the day.

2 $1.20 a day increase.... Addition to daily tonnage or piece-rate earnings increased to a total of $13.45 plus 6 of such tonnage or piece-rate earnings.

2$.80 a day increase.... Addition to daily tonnage or piece-rate earnings increased to a total of $14.25 plus % of such tonnage or piece-rate earnings.

Data pertain only to pick mining, machine loading, cutting (short wall), and dead-work (yardage).

TABLE 2. CHANGES IN RELATED WAGE PRACTICES IN BITUMINOUS COAL MINES IN THE APPALACHIAN AREA

Effective date

Provision

Paid Vacations

Jan. 1, 1959 (amendment dated Dec. 3, Increased vacation pay from $180 to $200. 1958).

Applications, exceptions, and other related matters

TABLE 3. FULL-TIME DAILY AND WEEKLY PAY AND STRAIGHT-TIME HOURLY RATES FOR SELECTED OCCUPATIONS IN BITUMINOUS COAL MINES, APPALACHIAN Area, 19591

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Wage Chronology No. 30:
Anthracite Mining Industry
Supplement No. 3-1958-59

ON OCTOBER 30, 1958, the anthracite coal mine operators received from the United Mine Workers of America (Ind.) formal notice of termination of contract, effective December 31, 1958. This notice of termination was in accordance with provisions of the agreement signed in November of 1956.

Contract talks began at Wilkes-Barre, Pa., on December 8, 1958, and continued until agreement on terms was announced on January 14, 1959. In

A-Changes in Basic Wages in Anthracite Mines, 1959

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Amount of wage change

Days per week

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Outside Company Workers

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14.3 cents an hour increase:
$1 a day.

Inside Company Workers

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Amount of wage change

Days per week

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14.3 cents an hour increase:
$1 a day.

Contract Workers

$1 increase per start, or 14.3
cents an hour.

addition to a general wage increase effective February 1, 1959, the mine operators agreed to increase royalty payments to the miners' health and welfare fund and to raise vacation pay. "As an aid to enforcement of contract provisions," a new clause permits union representatives to inspect company records on data relating to wages, hours, and working conditions.

The amended agreement was effective as of February 1, 1959, and may be terminated on or after January 31, 1960, upon 60 days' notice given by either party.

The following tables 1 bring the anthracite mining industry wage chronology up to date.

1 For the basic chronology and earlier supplements, see Monthly Labor Review, November 1952 (pp. 528–534), April 1954 (pp. 425-426), and February 1958 (pp. 178-179).

Applications, exceptions, and other related matters

Applications, exceptions, and other related matters

Flat amount, which together with earlier increases now totaled $9.117, added to daily tonnage or piece-rate earnings as previously computed.

C—Changes in Related Wage Practices in Anthracite Mines, 1959

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Applications, exceptions, and other related matters

Not to apply if employee had been instructed not to

report to work or in case of emergencies or circumstances beyond company control.

Pensions reduced to $30 a month.

In accordance with pay-as-you-go operations, $50-8-month

pension to be restored on a month-to-month basis, beginning with September 1958 payment.

Feb. 1, 1959 (amendment dated Jan. 14, Operators' contribution to welfare and retirement fund 1959).

increased to 70 cents a ton produced or used.

$

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Relative Importance of
CPI Components, December 1958

THE RELATIVE IMPORTANCE of each item in the Consumer Price Index depends on its importance, or weight, in the spending of city wage-earner and clerical-worker families and on price changes for the items customarily bought by such families. At the time of periodic revisions in the index, when new value weights are introduced, the relative importance of each item is equivalent to its importance in average annual family expenditures in the year to which the new weighting structure relates. These basic value weights represent not only total family expenditures for the various items, but also the specific quantity and quality of each item at the unit price prevailing at the time of the expenditure survey. While the quantity and quality of each item priced for the index are held constant during the periods between revisions, changes in prices may change the importance of the various commodi

ties in relationship to one another, since the inder is calculated by multiplying the expenditure weight for each item by the change in its price, Thus, if prices of all items changed at the same rate, their relative importance in the index would not change, but if food prices, for example, rise ; and clothing prices fall, food will increase in importance relative to clothing.

Table 1 illustrates the difference between changes in relative importance and changes in family expenditures since 1935–39. Comparison of column 3 with column 2 and column 6 with column 4 shows the effect of weight revisions based on changes in consumer spending habits.? On the other hand, comparison of columns 2, 4, and 7 with columns 1, 3, and 6, respectively, shows the effect of price changes only. Thus, expenditures for food actually accounted for a little more i than 35 percent of the family budget in 1935–39. By January 1950, prices for food had increased relative to other commodities and services and

1 Occasional adjustments in the items priced must be made, of course, to take account of such changes as the replacement of ot! item by another or the introduction of a new Item.

TABLE 1. PERCENTAGE DISTRIBUTION OF FAMILY EXPENDITURES AND RELATIVE IMPORTANCE OF CPI COMPONENTS,

SELECTED PERIODS [Relative importance figures shown in roman are based on family expenditure surveys. Italics indicate relative importana

computed from index value weights adjusted for price change since the preceding family expenditure survey]

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After revision

December

1958

After adjustment

Before re

vision

Actual 1950

Estimated

1952

(2)

(3)

(4)

(5)

(6)

(7)

100.0

100.0

100.0

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Group

1935-391

Before ad-
justment

(1)

All items.

100.0

Food.
Housing.
Apparel.
Transportation..
Medical care
Personal care..
Reading and recreation..
Other goods and services.

35.4
33. 7
11.0
8. 2
4.0
2. 4
2.9
2.4

1 Value weights based on expenditure survey of 1934-36.

? In January 1950, an “interim adjustment" was made in the index to cor. rect an accumulated bias in the rent figures and to take account of changes in population and family spending patterns, pending completion of a comprohensive revision then in progress.

* In December 1952, a comprehensive revision of the Index introduced new weights based on estimates of family expenditures in 1952, derived from the

Survey of Consumer Expenditures in 1950, with adjustments for intervening changes in prices and family buying habits. The 1950 expenditure figura relate to wage-earner and clerical-worker families in large cities only, wheres the 1952 figures cover such families in cities of all sizes.

* Includes "home purchase" not included in earlier relative important figures and not in column 5.

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