Coal Age

AUG 2012

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1930-1939 viable. Reviewing the 66-year history of the company and its operations near Rock Springs, Wyo., McAuliffe was able to put costs and wages into perspective. In 1890, the basic wage paid "white labor working inside the mine was $2.50 for a 10-hour day." On September 1, 1907, UP adopted the 8- hour day and under the new controls of the Code of Fair Competition for the Bituminous Coal Industry, a 7-hour day was established effective April 1, 1934. But despite a 210% rise in hourly labor costs, "the principal changes that have made it possible to produce coal today include the substitution of electricity for steam hoists and pumps. Electricity also made possible the present-day cutting machine, the haulage locomotive and the loading machine." After reviewing the new equipment cur- rently in operation, McAuliffe said it was mechanization, "the result of scientific tech- nique contributed very largely by the manu- facturers of mining machinery and equipment, reinforced by the U.S. Bureau of Mines, plus substantial capital investment, [that] has made it possible for the industry to pay wages in 1934 equivalent to 310 percent of the wage of 1890." Finally, in the August 1934 issue, Coal Age was able to once again report on expan- sion within the industry. Several stories in that issue treated the growth of the Grundy, Va., southern high-volatile fields. "Five to 10 years ago few would have been bold enough to predict that this generation would witness the opening of a new coalfield in southern Appalachian territory. And yet today the state of Virginia can boast of such a mining district. The first shipment of coal from the…Grundy field was made in May 1932 and now seven mines are in production." Coal Age would report on these mines throughout the rest of the decade as produc- tion expanded throughout the region. 1934 and 1935 marked slight increases in anthracite production as well. Though the anthracite industry was still weak and wan- ing, for its mid-decade 15 Annual "Numbers" issue Hale decided to feature the "Old Company" as it was still known: The Lehigh Navigation Company. Chartered in the early part of the 19th century, the old company was well known for innovation. "As part of the development of a system for recovering coal from heavily pitching seams, for example, Lehigh Navigation drove the first mining tunnel in the United States. Some of the earliest wet-cleaning processes were the brain children of its men. Again, at Hauto, Lehigh Navigation pioneered in mine-mouth generation of electrical energy. Today, Lehigh stands as a leader in anthracite stripping practices. When big shovels were regarded as suitable only for bituminous open-pit work, the Navigation company demonstrated its faith in larger- capacity buckets. Late 1930s Recovery, Expansion, Innovation & Labor Compromise In 1934, coal production began to rise out of the doldrums to just over 417 million tons. And while 1935 was not a break out year, at least production was steady, and even a bit more. Final numbers showed a small rise to 424 million tons. Steady incremental growth was the hope of the government officials who took control over the economy. However, "were tonnage the sole yardstick of progress, the record would not be particu- larly inspiring. But, in these unusual times, production figures may not tell the whole story," wrote Hale in his February 1936 edi- torial "The Balance Sheet for 1935." Price, production and competition targets were created and largely met. New Deal bureau- crats established economic zones to create wage and price uniformity. Operators con- tinued to fight labor gains, but both sides were eventually satisfied—for the most part—that the bleeding had stopped and peace was at hand. Stability allowed opera- tors to expand production in some zones and to innovate once again. Mechanization and cost cutting was still key and operators were largely free to increase productivity. Moreover, increased "underground mechanization—the devel- opment which enabled Midwestern mines to survive during the era of excessive dispar- ity in wage rates between what then were union and non-union fields—has been mak- ing real headway in the Appalachian area in the past year. Further expansion appears inevitable…" continued Hale. Importantly, mechanization helped low- er coal costs in comparison to other fuels. However, increased coal preparation and cleaning also helped hold the line. Though "slide-rule purchasers may complain that beneficiation is overdone, the producer who is interested in selling above slaughter levels knows the appeal modern cleaning, sizing and dustless treatment makes to the con- sumer. As a result, last year saw activity in the preparation phase...unmatched since 1931." In the September 1936 issue, Hale defended the industry against the jeremi- Home Creek Smokeless Coal Co. plant and retarding rope- and-button conveyor. This operation shipped the first coal from the Grundy field. *Coal Age, August 1934 72 www.coalage.com No. 2 mine, Buchanan County Coal Corporation. As yet, only this company has built houses for the miners. *Coal Age, August 1934 100th Anniversary Special Issue Mine-car plane, Buchanan County No. 2 mine; to be changed to monitor plane. *Coal Age, August 1934 August 2012

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