CHAPTER III
THE WAR PERIOD—AN INTERREGNUM
The period of our participation in the Great War, so
far as any bearing upon the principles or theories of wages
was concerned, actually constituted an interregnum. Dur-
ing part of the year 1917 and the whole of 1918, the
previous movement toward constructive change practically
ceased. It was lost sight of in the all-absorbing problem
of maintaining and accelerating industrial production for
essential war purposes.
While the war was going on, “wages and hours of
labor,” as has been correctly stated, “were rarely deter-
mined upon a sound or scientific basis. As a rule, the
governing factor was necessity. . . . Speeding up and
increasing production were the first considerations in every
industry ; the cost was a factor of second importance or
of no importance whatsoever. . .. Employers began
bidding against each other for skilled workers, and soon
found themselves obliged to resort to the same tactics to
secure any kind of labor. . . . This meant that wage-rates
were adjusted largely on the basis of the maximum de-
mands of employees as modified by the maximum con-
cessions which could be wrung from employers.”
NecessaARY CONTROL oF CAPITAL AND LABOR
This end was finally accomplished by the government
arranging a truce for the period of the war between capital
and labor, and the establishment of the War Industries
Board, the Labor Policies Board, and the National War
gan Tie Industrial Code,” Lauck and Watts. Funk & Wagnalls Company,