CHAP, 6.—MINIMUM WAGE FOR WOMEN IN UNITED STATES 55
it somewhat difficult to increase the prices to the full extent of the
Increasing wages, on the other hand, the increase in these wages constitutes
only a very small percentage in the cost of production in
important industries.
As to whether the minimum wage has created any serious hardship
to important industries the situation as reported by some of the
States having such a law is as follows: ;
The industries of Massachusetts employing women have since the
establishment of the minimum wage law in 1912 increased their invested
capital from $1,308,018,171 in 1912 to $2.853,590,206 in 1924.
The value of the product increased from $1,596.734.445 in 1912 to
$3,126,187,145 in 1924.4
The Industrial Welfare Commission of California, in its annual
report for 1922-1924 (p. 15), shows that the number of establishments
In the mercantile, laundry, and manufacturing industries of that
Sige increased nearly 100 per cent in six years, the figures being as
ollows *
Establishments
1923 5,041
BO viii mimi mipiineiminsmsmipisimssmiin ty 174
LOD. cc iiss sm itimimiomimmieon By OT
The number of woman workers in these industries has increased
from 44,373 in 1919 to 76,566 in 1925. The Industrial Welfare
Commission concludes that industry has “not been throttled in
California.”
The Industrial Commission of Wisconsin ¢ states that in homework
manufacture industry was forced or kept out of the State (see
P. 48), but makes no similar observation for any other industry.
The statements of the representative employers’ associations of
California, quoted above, in general, do not indicate that business
has been handicapped in any serious way through the minimum wage.
A qualifying statement, however, is made on behalf of the Los
Angeles Chamber of Commerce, by 8S. C. Simons, manager of the
domestic trade department: +
It is our opinion that the general level has been materially advanced by the
minimum wage law, although it has undoubtedly operated to retard or hamper
certain industries here.
The minimum wage law has been generally credited with being one of the
Principal hurdles in the way of successful textile development here because of
the competition with other sections where this law is not in effect.
The conclusion follows that the minimum wage in States competing
With others which do not apply it creates a certain amount of difficulty
for particular industries, a difficulty, however, which does not
seem to be very considerable.
Establishments
919_____ 3077
1920_____ oo ______ 8244
1922 ____ 4.3850
Loss of Employment by Slow Workers
The deduction that employers would dismiss employees whose
work is not valuable enough to justify the payment of the minimum
Wage seems logical. The provision of practically all States that
© International Labor Office. International Labor Review, Geneva, January, 1928,
0. 27: “ Minimum Wage Legislation in the United States,” by R. Broda.
Nl Frankfurter, Felix ; Dewson, Mary W. ; and Commous, John R.: State Minimum Wage
~8Ws in Practice. New York, National Consumers’ League, 1924, p. 121.
“7 Letter dated Mar. 19, 1998.
