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IRON New York, August 1931 ESTABLISHED 1855 VOL. 128, No. WILL WAGE REDUCTIONS PROMOTE BUSINESS REVIVAL? JOSEPH SNIDER persistence the business depression has brought growing agitation for wage reduc- tions. matter such grave concern not only wage earners but also business executives and the public large has naturally incited vehement controversy. the present, wage rates have been main- tained surprisingly well during this depression. Although, sure, numerous reductions have been made, they have been less frequent and much less drastic than during former depressions. This has been due the belief, held quite generally during recent years, that high wages are conducive prosperity, and also the resolutions made year and half ago under President Hoover’s leader- ship that wages would not reduced the current emergency. But the depression has become un- expectedly severe that wage reductions have become more numerous during recent months and agitation for widespread downward revisions, thorough- going readjustment labor costs, has gained con- siderable momentum. Wage Cuts Stimulate Buying? The publisher our leading financial newspaper, recent radio address, expressed his conviction that …
IRON New York, August 1931 ESTABLISHED 1855 VOL. 128, No. WILL WAGE REDUCTIONS PROMOTE BUSINESS REVIVAL? JOSEPH SNIDER persistence the business depression has brought growing agitation for wage reduc- tions. matter such grave concern not only wage earners but also business executives and the public large has naturally incited vehement controversy. the present, wage rates have been main- tained surprisingly well during this depression. Although, sure, numerous reductions have been made, they have been less frequent and much less drastic than during former depressions. This has been due the belief, held quite generally during recent years, that high wages are conducive prosperity, and also the resolutions made year and half ago under President Hoover’s leader- ship that wages would not reduced the current emergency. But the depression has become un- expectedly severe that wage reductions have become more numerous during recent months and agitation for widespread downward revisions, thorough- going readjustment labor costs, has gained con- siderable momentum. Wage Cuts Stimulate Buying? The publisher our leading financial newspaper, recent radio address, expressed his conviction that “resistance inevitable wage adjustments important obstacle business recovery.” elaborated his view follows: Suppose shoe manufacturer has thousand employees. prosperous times makes shoes retail pair and pays his employees day. Now finds that people will not pay for his shoes. cannot make shoes sell for less, must close his does find that people are willing buy the same shoes $3.50 pair and that can make shoes sell that price wage scale say day. Which better—a closed factory, thousand unemployed and con- tinued business depression theoretical day, factory running, thousand people working, and business revival actual day? There practical limit the demand for prod- ucts industry except the price the consumer. General industrial prosperity will return just soon all goods are priced figure that the final consumer willing pay. many impor- tant lines the only remaining obstacle such pric- ing the insistence labor leaders that wage scales established period the greatest gen- eral prosperity shall not diminished one iota, even though the cost living has already fallen over per cent. Quite the opposite vein the following state- ment the industrial commissioner the State New York, reported the financial press few the depression has increased duration prevailing opinion wages has undergone marked change. the time the Hoover con- ferences there was general adherence the view that wages should maintained, since cut the income workers would mean propor- tionate reduction purchasing power. Today many advocate wage reduc- tions means stimulating buying and increasing employment. The thesis the wage deflationists carefully examined the author, who associate professor business statistics Harvard University. comes the conclusion that their contentions are not well founded. Wage reductions, his opinion, cannot justified the ground that they will stimulate business revival. dictated necessity. admits, however, that they may ially cant. ded tion 361 months ago: “The industries that cut wages defeat their own ends. The purchasing power must kept where the wage-earning class will find easy buy the things the manufacturer wants sell.” Both these positions cannot sound. one side, maintained that wage rate reductions will increase employment and will permit commodity price reductions, which turn will stimulate pur- chasing and consequently promote general business revival. the other side, maintained that wage reductions will curtail purchasing power— and purchases—and therefore retard rather than promote business revival. Where does the truth lie? one position sound and the other faulty both fail give correct answer the wages problem? The following discussion represents attempt throw little light these questions. The reasoning support the view that wage reductions will stimulate buying consumers, hence promoting business revival, takes its start- ing point the fact that wage payments are cost production industry. Consequently, wages can reduced costs production will decline. the next step the reasoning, lower costs production will mean lower selling prices. Finally, lower prices will attract consumers whose increased purchases will stimulate business. Price Reductions Discourage Purchases examining this reasoning let begin with the later steps the argument and work back. First all, then, will lower prices tempt consumers purchase greater volume? the answer “Yes!” then, course, business revival will pro- moted; but, the answer business revival will not promoted but will all probability retarded. will helpful distinguish between the probable reaction consumers the long run during more less normal business conditions and their probable reaction business depression. the former situation price reductions may expected stimulate buying, the extent the in- crease depending the character the demand for the commodity question. But severe business depression price reductions are rather more likely discourage large-scale buying than bring about. While prices are falling many buyers hold off entirely and others buy only their minimum re- quirements, with the hope that they may able fill their needs later even lower levels. the judgment consumers whose income has declined and who are fearful the future goods have not got the bargain counter long there good chance that they will cheaper tomorrow. matter record, while prices have been falling sharply month month during this depres- sion, buying has also dwindled. Our standard sta- tistical measures wholesale and retail prices and wholesale and retail trade have shown concurrent declines. Inventories, especially the hands consumers, must worn down the irreducible minimum and the belief that prices have reached their bottom must become widespread before large- scale buying can expected. 362—The Iron Age, August 1931 Proceed- ing further with amination the ing, will wage accompa- nied necessarily price reduc- tions? Al- though, sure, wage re- ductions will mean lower costs production, cannot assumed that pro- ducers will pass along, the form lower prices, the savings costs. the long run, lower costs bring lower prices, where competition among ducers effective. But the emergency busi- ness depression developments not necessarily work out they the long run. Such savings costs production would result from wage cuts will represent immediate and certain im- provement the financial condition the producers concerned. the other hand, the savings costs are passed the form lower prices, im- provement financial condition will not imme- diate and not certain since the producers will bene- fit only the event that lower prices stimulate buy- ing. Lower Prices Not Necessarily Follow Wage Cuts illustrate simplified fashion: Let as- sume that manufacturer has reduced wage rates such extent that during the ensuing year his wages bill will reduced $1,000,000. makes change the selling prices his products, the saving $1,000,000 his costs production will represent corresponding addition his earnings. Now, the other hand, let assume that de- cides pass along the consumers, the form lower prices, the $1,000,000 saved through wage cuts. the consumers not increase their pur- chases, the manufacturer has not profited all the result wage cuts. His costs will $1,000,000 less during the ensuing year, but his sales volume the lower prices will decline correspondingly. however, the lower prices tempt the consumers increase their purchases (in physical units) amount sufficient represent the same sales volume (in dollars) the manufacturer formerly, the manufacturer just well off, but better than had not passed along the savings from his wage cuts the form lower prices. Only lower prices bring about considerable increase buy- ing consumers—so much that sales volume will actually larger than formerly—will clearly the advantage the manufacturer reduce prices following wage cuts. Whether not manufacturers will profit pass- ing wage reductions the form lower prices is, therefore, least problematical. selling prices are reduced, the certainly realizable benefits from wage cuts will given the hope securing greater, but uncertain, benefits. time ~ | 7 depression the benefits which are sure are premium. Moreover, was indicated above, the probabilities are very much against increase buying result lower prices. would appear unwarranted, therefore, assume that manufac- turers general will reduce selling prices result wage cuts. Prices Can’t Lowered Proportion Wage Cuts But even more important, considering the in- fluence wage reductions upon business revival, the fact that wage cuts will reduce purchasing power because prices cannot well lowered full proportion wage cuts. This reason the basic fact that wage payments are only part the total costs production. Raw material costs, interest, taxes, advertising and all other costs will not come down because wage cuts, but they must all covered the selling price. wage pay- ments represent per cent, let say, the total costs production, then per cent wage cut will permit only per cent reduction selling prices. illustrate this, let assume that one day’s output factory one unit, which sells for $10, that the day’s output produced one worker who paid for his day’s work, and that the wage cost per cent total cost production. Let assume also, for simplicity, that the selling price just covers the cost production without leaving profit—not rash assumption depression. The production costs are thus $10 and are divided equally between wage payments and all other costs (raw materials, etc.). Now, wages are reduced per cent, that 50c., the total cost production will fall $9.50. The selling price might low- ered $9.50, but further, while the wage pay- ment will fall, course, $4.50. Quite clearly, the purchasing power the worker with reference the output the factory will reduced. Before the wage cut could buy the unit output with two days’ work ($10 price and wage) but after the wage cut cannot ($9.50 price and $4.50 wage). Wage Deflation Means Reduced Buying Power may make the generalization from this sim- plified case that the purchasing power the wage earners the country will reduced wide- spread wage cuts, even though selling prices are reduced the full amount possible the result wage cuts. may reach the fur- ther conclusion, also, tual purchases the total body con- will tend re- duced. This ap- pears probable not only because the wage earners constitute the largest group consumers, but also because other consumers not included the wage-earning group will not tempted the price reductions add materially their purchases. Many these buyers may fact repelled price reductions, and others, those having great resources, will not in- fluenced appreciably the lower prices, since they customarily buy what they care use largely irre- spective price. The proposition that wage reductions will stimu- late buying commodities thus appears rest upon unsound assumptions and faulty reasoning. period severe depression, when fear the domi- nant emotion, price reductions are more likely intensify the practice buying cover minimum requirements only, rather than call forth buying increased volume. Moreover, the probabilities are that selling prices will not fact reduced ap- preciably result wage cuts, since period business distress manufacturers will reluctant pass along, the form lower prices, the sav- ings costs actually realized through wage cuts. And most important, since wages are only part the total costs production industry and since, this account, selling prices cannot we!l low- ered proportion wage cuts, general reduction wages will reduce purchasing power and, conse- quently, tend retard rather than stimulate buying. Related the argument that wage reductions will stimulate buying the argument that wage reductions will increase employment. Which bet- ter, has been asked, maintain high wage rates with many factories idle due the inability operate with such high labor costs, have these factories running with lower wage rates? There may number individual plants now shut down which could resume operations with substantial wage reduction. Wage reductions these cases might indeed desirable, but the number employed throughout the country would increased only very slightly thereby. Necessity May Dictate Wage Revisions If, therefore, further wage reductions are put into effect during the coming months—and they may be—let them not justified stimulus business revival. Necessity may perhaps dictate re- ductions. obvious that plant which has suf- fered drastic reduction its output and its prices, and which operating loss, cannot con- tinue indefinitely. wage cut may mean sufficient reduction costs production per- mit the company operate profitably. Whether does not, the persistence operations loss will sooner later force the plant take any means possible cut down its costs. Many forward- looking and socially-minded employers are hoping that business revival may come before seems necessary make wage cuts, but they are also fully aware that the time may come when cuts can longer postponed. Such employers face possible wage reductions squarely matter hard necessity and are not claiming that wage cuts will increase buy- ing employment contribute business revival. The Iron Age, August 1931—363 — q il q 7 | 7 = ~ > | q 1 - Photograph by John P. Mudd for tne Midvale Co. PROPER determination the sizes which the ingots are cast first consider- ation the layout the equipment and practice steel mill, for not only conve- nience operating the plant but also tonnage and quality product hinge upon the ingot sizes selected. Advantages gained the employment ingots larger than the sizes necessary for the product rolled are mostly involved the fact that fewer ingots, large size, need poured and handled, which tends toward greater production and lower cost, with fewer movements and less trouble general way operating. Other advantages may accrue connec- tion with the allowance the proper amount reduc- tion and working the rolling large sections. However, each plant there limit the ingot sizes used for the various products, beyond which the advantages are outweighed the disad- vantages, and becomes expedient limit the ingot size. expedient also maintain few sizes possible, thus limit the amount equip- ment and the attendant complication handling both the equipment and the ingots. Each Plant Has Its Own Problem Setting the ingot size for any rolled section particular mill individual problem and number considerations enter into its solution. One these the ability cut the product the ingot proper lengths, avoiding shorts (too short re-roll). After this satisfied, connection with the determination the amounts top and bottom crop, other consider- ations involve the quality the steel, the convenience for the passes rolling and the capacity the mill arrangement for handling long lengths (before cut- ting). 364—The Iron Age, August 1931 WHAT SIZE SHOULD THE STEEL INGOT JOSEPH MILLER Cleveland Determination the top and bottom crops depends upon the severity the specifications and upon the quality desired the rolled product. The different grades steel also have influence upon this crop- ping, and ingot sizes and shapes are designed reduce the effects segregation high-carbon and other steels which are prone nature segregate. While there are many variations from any set practice, the rule cast high-carbon and other high-metalloid steels ingots moderate size, and rectangular instead square section, effort particularly. The high-metalloid steels are liquid lower temperature and therefore stay liquid longer than soft steels, and the segregation has full oppor- tunity take place large ingots, while with mod- erate-size ingot rectangular section the cooling hastened, and the segregation therefore does not pro- ceed far. this way greater yield may procured. the case soft steels the objection large ingot not pronounced, the steel not liquid long its nature. However, too large size tends very strongly soft, mushy centers, which subsequent hot working often prove too weak and show all the effects deep piping. This shows particu- larly press forging large pieces. Large-size ingots are more frequently observed crack, due the unequal cooling strains, and this results rejections for surface flaws the billets blooms and the finished product. There variance opinion this point, but, the whole, the rule accepted after many observations and variant results from observations made special cases special plant practice. 4 + § 4 | Usually the practice, rather the history, the plant start with small medium-sized ingots and work larger sizes. This has advantage that the size that best meets the conditions can determined practice. Examples Ingot Sizes Use Some the ordinary ingot sizes use are follows: The new rail mill the Weirton Steel Co. has adopted the 24-in. ingot, which standard for the Weirton plant. The rail and structural mill the Inland Steel Co. employs very large ingot—being now 29-in., weight tons. The product, rail blank, cut into two parts and reheated before finishing, the section becomes too cold hold shape and dimen- sions rolled direct. both plants the Jones Laughlin Steel Cor- product, 18-in. ingot with bottle top em- ployed the South Side works for the 40-in. three- high blooming mill particularly, and 25-in. for large sections. the rail mill Gary rails are rolled direct without reheating from ingots, and other products the Gary works from various sizes ingots. very good general-purpose ingot 24-in., weighing around four tons, even 22-in. ingot may serve most purposes. Large shapes will require special ingot and not possible get along with one size all times the plant rolls diversified product. Two general sizes, however, often will suf- ficient and the larger should rectangular cross- section. always highly desirable limit the num- odd sizes molds, etc., and hard have them the proper condition for pouring. Factors Influencing Design Ingots Ingot design dependent upon broad experience for its rules, and one without that experience can hope design proper ingot shape. fact, even plants where that experience available improper designs are found, and changes are made with much caution, the field ingot design uncharted. The difference the dimensions rectangular shapes usually thought best set 2-in. The radius inside the corners, found trial, should not too large, the corners will crack rolling. This radius too small affects the mold life; however, this the lesser evil. often made 2-in. with suc- cess. Taper from top bottom the mold section variable, also. too little, the ingot will not strip after the mold surface becomes little rough; the life the mold shortened and the number sticker ingots increased. too great, the tendency deepen the pipe and secondary piping noticeable. This often made total, with success. Height ingot comparison with the cross-sectional dimen- sions very important, within somewhat liberal var- iations. is, course, necessary pour different heights ingots the same mold produce the proper amount good steel cut lengths. However, too long ingot will contain too great amount the secondary piping, and too short ingot will con- ingot should made large, permit great deal mechanical work the steel the mill, depends upon what made. Beyond certain size increase appears undesir- able. the other hand, too small ingot, even for small product, means too great complication handling and conse- quently excess cost production. Some these limiting considerations are analyzed this article. tain too great amount primary piping and top crop proportion the good steel. But these varia- tions are-beyond the variations required varying the heights for cutting. How Much Mechanical Work the Steel? There supposition that requires extra- large ingot produce large and heavy sections, that sufficient hot work may done the steel. This true certain degree only, for, after cer- tain amount reduction has been accomplished, the working has been sufficient and further increase the ingot size not necessary. This especially the case when billets are reheated for finishing, and also with billets and blooms that are reheated and forged. fact, the manner the reheating has much with the final state the steel the amount the reductions taken. considerable amount experimental work has been done this subject the amount reduction necessary make good forgings, negative con- clusion drawn—that possible overdo it, that the extra-large ingot employed inferior its structure and internal conditions. Not much work has been followed with rolled sections, the practice for the most part follow the roll pass design and allow metal fill properly. For instance, one mill, 24-in. are rolled from 25- in. ingots. Occasionally specification calls for definite amount minimum reduction. This round and square bars large section for the most part, and these sections that the condition the metal hardest control. Often the large bars the metal coarse grained and irregular, and must improved reason for taking precautions specifications secure the proper amount hot work. The Iron Age, August 1931—365 > 4 on > > a - j Py » NEAR end assembly line two inspection pits, each ft. long, have been con- structed for final inspection under sides chassis and body. EARRANGEMENT production facilities and installation new equipment have in- creased efficiency per cent building trucks the plant Dodge Brothers, Inc., Detroit. spreading out the work and making the changes gradually, the company made the revision without interfering with manufacturing operations. Among the major improvements are relocation the final assembly line, thus reducing substan- tially the handling materials; chain conveyor carry bodies along the body assembly line; substi- tution lacquer for enamel finishing truck chas- sis, thereby cutting down the amount space needed for this work; cold-yoke equipment for riveting the chassis frame; new process drying freshly- painted truck bodies and cabs; and bonderizing all sheet-metal parts protect them from rust and from subsequent peeling curling the paint enamel. its former position the final assembly line paralleled the west side the building, close the wall that was impossible store material both sides, necessitating extra handling parts from the storage side the line the other. Re- location the assembly line has rectified this sit- uation, enabling workmen both sides the line have materials within easy reach. estimated that this change has resulted saving per cent handling parts. 366—The Iron Age, August 1931 SAVING COSTS FROM NEW PLANT ARRANGEMENT BURNHAM FINNEY Detroit editor, The Age Under the old system the workman along the body assembly line pushed the body hand the next operation after finishing his particular job. This sometimes meant pile-ups, with serious stallation chain conveyor has saved per cent time and doubled the efficiency the line. Prior being bonderized enameled, sheet- metal parts are put through automatic washing machine and drying oven. The loading end the oven adjoins the receiving dock where materials are brought into the plant. Parts are placed hand roller conveyor which carries them through spray caustic solution and thence through hot- water rinse. Inside the washing machine the nozzles are placed such positions that the liquid thor- oughly cleanses the metal. Parts then are trans- ported through the oven, which heated tem- perature 400 deg. Passage through the wash- ing machine and drying oven takes min. Parts are discharged from the oven wire screen platform, where those not bonderized are picked workman and hung over- head monorail conveyor through the enameling process. After moving through spray booth, where they receive coat enamel, they pass into dry- ing oven. This built overhead permit utilization floor space underneath for other pur- poses. The entire enameling process, including four coats and the drying period, consumes one hour. ~ é 4 4 f | | ODGE BROTHERS, has increased efficiency manufacturing its trucks per cent rearranging production facilities and in- stalling new equipment. Relocation the final assembly line has saved per cent handling parts. Sheet-metal parts are protected against rust being bonderized. Truck chassis now are lacquered instead being enameled, this simple change reducing the amount space needed the assembly line from 180 ft. ft. new method drying freshly-painted truck bodies and cabs has substantially reduced the time required for this work. Cold-yoke equipment used for riveting the chassis frame. Equipment for bonderizing all parts which are exposed the weather new feature the plant. Bonderizing consists covering the entire surface each part with non-metallic, paint-ab- sorbent coating (known Bonderite), chemical action making the coating part the metal. The new surface obtained bonderizing rough, thus assuring permanent adhesion between enamel and metal. The enamel penetrates the rough, porous surface the bonderized metal, insuring lasting bond. With this permanent coating protecting the metal, parts cannot rust deteriorate under the worst weather conditions. Parts bonderized are placed rack, which then submerged vat filled with Bonderite so- lution for min., depending the size the MATERIAL process assembly into trucks moves generally from right left and then turns toward top drawing, along left side. n n | The Iron Age, August 1931—367 2 \ SAC | | | | lest | | | on | < ial s- n- re 4 OLD rivets in. diameter, driven into place portable cold- yoke riveting machines, gether the chassis, insur- ing tight fit and elimi- nating shrinkage. parts, and then are passed into adjoining vat for hot-water rinse. Two 12,000-gal. vats are used for this purpose. The racks are lifted into and out the vats overhead crane, parts having been delivered small trucks from the washing machine and drying oven the bonderizing department. After bonderizing, parts are stored nearby until they begin their journey through the enameling process already described. Heretofore truck chassis were enameled, whereas now they are lacquered. This single change reduced 368—The Iron Age, August 1931 the amount space needed the assembly line for this work from 180 ft. ft. Lacquer more expensive than enamel, but the added cost more than absorbed the saving heat and space. The lacquer dries almost instantly after applied, that prolonged drying period unnecessary. substantial saving time has resulted from the new method drying freshly-painted truck bodies and cabs. Formerly, bodies were painted, they were shunted off the side the line dry the open air. This required from three four PRIOR being bonder- ized enameled, sheet-metal parts are put washing drying oven. end workman places part overhead pass through enameling bonderizing de- partment. el p. p. hours for each body, during which time all work the body had suspended. eliminate this loss time and speed general operations, electrically-heated drying oven, 120 ft. long, has been installed directly over the conveyor line. Twelve minutes after the body enters the oven, emerges completely dried and ready worked on. Portable cold-yoke riveting machines have re- HEET-METAL are protected against rust being submerged filled solution, followed hot water rinse (fore- ground). Bonderizing consists covering the entire surface each part with non-metallic, paint-absorbent coating, chemical action making the coating part the metal. placed the old system hot riveting for riveting to- gether the chassis frame. this method cold rivets in. diameter are driven into place, insuring tight fit and eliminating the shrinkage which inevit- ably follows hot rivet’s cooling. Along the assembly line high-cycle electric tools have replaced pneumatic equipment, with gain sequence. Near the end the assembly line two inspection pits, each ft. long, ft. deep and ft. wide, similar drain pits gasoline service sta- tions, have been constructed for final inspection the under sides chassis and body. Rollers have been installed the end the line test panel in- struments and the motor every truck before leaves the plant for road and track test. inside railroad freight dock 275 ft. long has been erected for the receipt incoming materials. right angles the dock are five manufacturing bays, served overhead cranes which pick ma- terials the dock and deliver them along the assembly sub-assembly lines. This arrange- ment protects parts from the ravages the weather and does away with the necessity having central storage facilities for the housing parts until they needed. The saving floor space effected the new ar- rangement makes possible store, inside the building, completed trucks ready for delivery. Special-equipment trucks, which represent im- portant part Dodge truck manufacture, now are built separate structure away from the main plant. This department has been reequipped with special tools for machine work, mill work, painting and other operations, making economical pro- duce any the 500 special units found among the 3500 different trucks comprising the Dodge line. Costs Cut Modern Methods the largest our copper mining com- panies able produce copper cost about 6c. according writer Mining and Metallurgy. this company used the methods and equipment available 1915, but paid present wages and bore present costs supplies and taxes, all which are much higher than then, metal produced from the same grade ore would, said, cost more than obvious that industry bound attract new capital too rapid rate, says the author, selling prices and, therefore, profit margins not truly re- flect such fundamental changes those cited above, lowered cost production. The benefits these changes inevitably inure the public lowered prices, and industry widening markets. The Iron Age, August 1931—369 er- ed, ind jan ad le- | USING STEEL BUILDING THE PRIVATE RESIDENCE THOMAS FOSTER Chairman, National Bridge Works, Long Island City, GOOD many attempts have been made the last few years develop improved house construction, but the actuating motive has introduce into the great housing in- dustry the largest quantity specific material— such steel, concrete, brick gypsum—without con- sidering its proper relation the production the economical house. This article will not consider the use steel from this limited point ‘of view. Steel has legitimate relationship the private dwelling, and this effort determine what that relationship may be, always keeping mind that the real problem provide well-built, desirable, economical house the correct use the proper materials. The importance the use steel relation the private residence proportion its ability make possible improved construction re- duced cost. Residence construction the United States totals more than three billion dollars year, about one-half 4 370—The Iron Age, August 1931 which single and two-family houses costing under $20,000. The average residence costs about $4,500. The woman chooses the home and every woman’s ideal home costs more than she can afford pay. good site essential and too high percentage the cost may spent for the land; after which beauty architecture and then convenience are the most im- portant factors selling house. When these require- ments have been satisfied economy necessarily asserts itelf, that permanence and safety construction are not given the serious consideration they deserve. obvious that these requirements must provided without additional cost. Housing Cost Doubled and Automobiles Halved Leonard Reaume, president the National As- sociation Real Estate Boards, delivered address Chicago some months ago which pointed out that during the last years, when the price the IG. Poulson house under demoli- tion, showing graphically the steel structure, how was put together and how well stood the test time. This build- ing, told The Age Jan. 29, 1931, was taken down not long ago and was found excellent state pres- ervation. q 7 ess out the Ford automobile has been cut two and its efficiency doubled, the single-family dwelling has doubled price without corresponding increase comfort, durability beauty. book written years ago, Wells ex- pressed his opinion the method building small house follows: find incredible that there will not sweep- ing revolution the methods building during the next century. The erection house wall, come think it, astonishingly tedious and complex business; the final result exceedingly unsatisfactory. has been lot recently follow detail the process building private dwelling-house, and the solemn succession deliberate, per- fectly satisfied men who have contributed each many days his life this accumulation weak compromises has enormously intensified constitu- tional amazement fellow-creatures. The chief in- this particular house wall the common brick, burned earth, and but one step from the handfuls clay the ancestral mud hut, small size and permeable damp. Slowly, day day, the walls grew tediously up, melody tinkling easy erect well-built house this method, substituting non-combustible materials for those ordi- narily used wood-joist construction, but the result too costly for the average home owner. The only possibility for economy, therefore, the method construction, and most this saving must accom- plished the labor the building site. The fact must faced that improved construction cannot fur- nished moderate cost without complete revolu- tion the method assembly and erection. Archi- tectural and engineering skill must applied from the foundation the roof. The present waste home building, which the Department Commerce sets per cent, can eliminated the skillful assem- blage the right materials. Put the Question All Existing Methods this necessary improvement construc- tion methods accomplished? Obviously will require patient research, accurate IG. 2—Detail ceil- ing floor steel fram- ing the Niels Poulson house. Eight main mem- bers four different angles were gether the center with four minor members four other angles, shown. vv the many attempts which have been made extend the use steel the construction private residences much effort has been expended the mere sub- stitution steel member for corre- sponding wooden member. This idea said deep students this subject erroneous. The structure should de- signed complete and harmonious whole, using steel and other materials wherever they can best adapted the purpose hand. This would not mere substi- tution one material for another similar characteristics, but would furnish new type structure differing from its prede- cessor most construction details and only that incloses rooms for human occupancy. This article the first series telling what has been done and out- lining some the developments which the future likely bring forth. study and careful experiment. The profit derived from such approach has been overwhelmingly dem- onstrated the electrical industry. has expanded and prospered because thousands persons are em- ployed one organization study and devise new methods and uses for electrical power. The same true the automobile industry. motor manufac- turer’s advertisement reads: The search for better ways doing things mever ending. Today’s methods, however suc- cessful, can never taken wholly right. They represent simply the best efforts the moment. Tomorrow must bring improvements the methods The Iron Age, August 1931—371 | ting pout an’s im- ire- rve. ded > the day before. The perfection new machine saved $500,000 year such little thing one bolt. There every reason believe that the housing industry would also profit such efficiency. organization devoted research work hous- ing methods and materials was suggested Dr. Angell when was president the Carnegie Cor- poration, and Frederic Keppel, the present head the corporation, his report for 1929, says: foundation devoted the study housing problems and equipped experiment different types design and construction would have the chance make contribution inestimable sig- nificance toward the improvement present condi- tions. Grosvenor Atterbury, distinguished New York = 2 architect, has for the past years carried active research into the possibilities reducing the cost building small homes and has made number prac- tical demonstrations this possibility Forest Hills, New York. The City Housing Corpn., the beginning its operations Radburn, J., realized the need research for better construction. The company set temporary research “laboratory” and made number experiments, using some Mr. Atterbury’s ideas. The conclusion was that any new process building the small house must meet three requirements: must supply the structural shell the house. must contain within itself exterior finish. must also constitute interior finish. But these experiments proved great dis- BRODERICK Lit 2E Fig. 4—System standard unit steel construction developed Broderick. This was described The Age March 18, 1926. Iron Age, August 1931 appointment, they did not develop anything prac- tical value. Must Utilize Economically the Best Materials Available None the constructions designed further the use specific materials has succeeded producing small house that could supersede the present frame construction. accomplish this result organization must unprejudiced and concerned solely with the problem efficient and economical utilization the best materials available, always keeping mind the requirements the home owner: Beauty, con- venience, and negligible cost for upkeep and obso- lescence. true that there per cent waste the building industry, the elimination that waste would make available better construction without addi- tional cost—and waste never necessity. possible give full value the home owner, the builder and the mechanic. Everybody should profit the production good homes and the consequent stimulus this three-billion-dollar industry. But more than financial considerations are involved; the welfare the entire population vitally affected. President Hoover says: Adequate housing goes the very roots the well being the family, and the family the social unit the nation. more than comfort that involved, has the important aspects health and morals and education and the provision fair chance for growing childhood. Nothing contributes more for greater happiness for sounder social stability than the surroundings their homes. inevitable that some individual organiza- tion will have the vision see the possibilities the home-building industry, and the energy and ability develop this largest and most antiquated our great industries. Two corporations have made arrangements spend considerable amount money for experi- ments find the best way producing satisfactory house. What Has Been Done Years Past PPARENTLY the first steel frame house the United States was that built 1890 Niels Poulson what now Eighty-eighth Street and Shore Road, Brooklyn. Mr. Poulson was born Denmark 1843. came this country 1864, bricklayer with little schooling. studied architecture and be- came draftsman, but gave that for ornamental iron work, then its hey-day. later became part- ner the Hecla Iron Works, Brooklyn. Mr. Poulson applied his wits and energy building house with complete steel framework made out angles and flats for walls, floors and partitions. This shown completely Fig. that description necessary, except note that practically all main dimensions this house, such windows and doors, and intervals between spaced windows, were divisible in. This interesting view the unit measurements used recent constructions. The plas- ter was evidently placed directly the brickwork. The exterior the house was copper paneling with medal- Middle Corner Middle Tier Corner Lower Tier LowerTier Fig. 3—Pipe design Suspension Steel Concrete Co. 1909, using connecting wires conjunction with metal lath for ceilings, floors and walls. lions, cornices, moldings and other ornamentations. was fastened the steel frame with copper rivets. Rigidity was furnished the 8-in. brick walls and the 4-in. tile partitions. Bolts were used fasten the framework together. There was corrosion except small amount the bottom the sill, where the cop- per stopped the same line the steel. The nuts were easily removed from the bolts. The floor framework 4-in. 1-in. bars shown Fig. Jute cloth fastened hangers resting the bars made the plaster base. Wood forms were placed straddle the bars, making webs about in. deep the sides the room and none the center. These webs supported concrete floor several inches thick placed wire mesh. Mr. Poulson showed genius for using materials new way rather than substituting one material for another. Evidently his conception house was: have cheap framework for supporting all loads and prevent cracks plaster. exterior covering that would pleasing the eye, weatherproof, fireproof and with up- keep cost. Walls and partitions that would give heat and sound insulation and fireproof. Floors that would fireproof. construction that would reveal itself. His construction was ornamental, but did not build ornaments. took the materials hand, being (Concluded page 398) The Iron Age, August 1931—373 ive CONSERVATION THROUGH HEET scrap baling can into three Sheet and tin plate mills which bale mings from the sheets they man- ufacture; manu- facturing plants producing stamp- ings, particularly automobile facto- ries, which bale trimmings from stampings and also spoils; scrap yards, which bale accumulations new scrap received from smaller plants that cannot afford their own baling plant, and which also bale old sheet scrap, such automobile bodies and parts, metal fur- niture and other sheet-metal products. addition ordinary black sheet scrap de- scribed above, there are considerable quantities pro- duced galvanized scrap, tin scrap, terne plate, enameled and painted sheets. These grades are not desirable the open-hearth mills clean, black clippings, although most the mills accept small percentage off-grade material with shipments baled scrap. Some chemical plants remove the zinc tin from galvanized sheets and from tin plates and obtain black sheet scrap by-product which, course, baled and shipped the mills. Tin cans and other poor-grade materials are and utilized sashweight foundries. Certain grades steel, for instance high-silicon sheets such used electrical industries, have baled separately and are utilized raw material only mills that produce such steel. the other side, nice new clippings with low-phosphorus analysis are very desirable for electric furnaces and command premium. These, rule, should made smaller bales than those generally used open-hearth fur- naces. Each the three groups mentioned above, namely the sheet and tin plate mills, manufacturing plants and scrap yards, requires different type baling plant meet particular conditions. Mills baling un- annealed scrap must have much heavier equipment, and also more powerful. Stamping plants, particularly automobile factories, use less powerful equipment, but the baling plant has organized for high pro- duction. Scrap yards, which bale miscellaneous sheet scrap, new and old, must have plant flexible enough meet the constantly changing conditions. sheet tin plate mills the baling plant care- fully planned insure the most efficient method 374—The Iron Age, August 1931 a ITH the great increase the use sheet steel for making miscellaneous products has come problem getting rid the scrap. This too bulky for convenient use charging open- hearth furnaces, unless baled otherwise compacted. Some the considerations affecting this matter are brought out this article, together with statement the differing character the baling operations (1) plants which make the sheets, (2) plants which use the sheets and (3) scrap yards handling old products. handling the loose scrap the baler and finished bales into the railroad cars. rule, the press lo- cated near rail- road track and the press auto- matically delivers the bale means conveyor into the cars. Conse- quently the main problem the method handling the loose scrap. most cases the loose scrap handled directly from the shears into boxes located alongside. more modern installations the scrap automatically drops from the shears into boxes placed under them. These boxes, which contain from tons scrap, are brought the baler electric crane, some instances industrial tractor system. The scrap deposited alongside the baling press and fed into the press directly raking into the baling cham- loading hopper, generally operated compressed air, which hinged the baling press. This hopper being filled while the press mak- ing bale and, soon the bale made, the next charge quickly dumped into the baling chamber, thus cutting down appreciably the time required for loading the baler. not unusual for scrap press sheet tin plate mill handle tons more hour unannealed side end scrap from sheets. important that the equipment built with high factor safety and fool-proof possible. The operators rule are recruited from common labor and breakdowns are very expensive; because, the baler shut-down for repairs, means that the mill must ship the scrap loose. This not only means loss revenue which would derived from the baling operation, but also disorganizes the produc- tion the mill, because requires additional crane capacity handle the loose scrap into the cars, and usually mills have crane capacity spare. manufacturing plants the scrap generally the shape trimmings from stampings, and also defective stampings. this scrap very bulky, par- ticularly large amount spoiled stampings such press with much larger baling chamber than those used sheet mills. But the machines not have powerful, because the steel soft and re- quires less pressure for baling. The loose scrap, most cases, handled man- | | ~ { 7 7 we BALING BULKY SCRAP, HENRY JACOBSON Chief Engineer, Galland-Henning Mfg. Co., Milwaukee ner similar that vogue steel mills—the scrap being deposited boxes placed alongside the stamp- ing presses and then handled crane the press. some instances, where the factory layout permits, conveyor placed alongside stamping presses, which carries the scrap directly pile next the baling press, from which the press fed. pre- loading charging hopper rule used increase the production. Usually, the bales are discharged automatically the conveyor and thus carried into gondola cars. Baling press equipment automobile plants must breakdowns. the baling press shut down, the scrap presents such problem that may disorganize the entire production, account its bulky nature. The third group baling plants presents dif- ferent problem from the first two groups because, stated before, these plants have flexible meet constantly changing conditions. The scrap they bale varies from day day and not uniform manufacturing plants. The scrap received either carloads from large shippers, truck from local sources. Sometimes the scrap handled directly the baling plant and worked immediately. other times placed storage piles for future use. Likewise, finished bales are either handled directly from press into gondola cars for immediate shipment the mills, piled for storage. This, course, makes difficult lay out plant that would com- pare efficiency with those scrap producing estab- lishments. Yet the modern scrap yard baling equip- ment must combine flexibility with low operating cost, and some installations are very successful that respect. modern baling press installation scrap yard has large baling chamber, most the scrap here baled bulky. Yet press must capable pro- ducing standard-sized bales which should not exceed in. any dimension, that they may easily loaded into open-hearth charging boxes. Investment such plant quite large and, therefore, the plant must have sufficient capacity bring satisfactory returns. best, the cost baling easily twice high manufacturing plants which bale their own scrap. And the bales, made old scrap, will sell approximately ton less than those made new scrap. former years (and even now) most the baling scrap yards was confined new sheet clippings. However, the producers such scrap gradually equipped themselves with baling presses, this source supply tended disappear and the loose scrap be- came harder obtain and consequently more expen- sive. Asa result, the margin between loose and baled scrap becoming less attractive the scrap yard operator and really only those equipped with the most modern baling plant can afford handle this com- modity. Consequently the scrap yards have commenced pay more attention baling old scrap. This partic- ularly means discarded automobiles and similar sheet- metal products which heretofore were being taken city dumps, creating nuisance any community because their unsightly appearance and also be- cause the expense the city handling this refuse. Considering the great value this scrap from the standpoint conserving our natural resources, this case principally the iron ore, can readily see that the time not far distant when such dumps will out existence altogether, and all discarded sheet- steel products will returned industry for remelt- ing after proper preparing through baling. 1929 the total ingot production the United States amounted 56,000,000 tons. The total ton- nage handled scrap yards was approximately 30,- 000,000 tons. This plainly indicates how scrap re- places iron ore, limestone and coal. is, therefore, obvious that all scrap that now goes the dumps should salvaged conserve our ore deposits. Many steel mills are readily buying such scrap, classified No. bales, course lower figure than bales made new, clean clippings, because the lower yield that can obtained from such old scrap open-hearth furnaces. Unfortunately, many mills refuse utilize this kind scrap which, there- fore, drug the market certain distri