Railway Rates: English and Foreign
Part 11
Per mile. Per train mile. Coaching £889 3s. 10d. Goods and Minerals 1,356 9s. 8½d.
The results of the working of the German railways for the year 1884 were as under:--
Total of State Railways. Private Railways. all Railways. Gross receipts £44,621,504 £4,127,569 £48,749,073 Expenses 24,267,185 2,206,937 26,474,122 ----------- ---------- ----------- Net receipts £20,354,319 £1,920,632 £22,274,951
The expenses being 54·38, 53·47, and 54·31 per cent., respectively, on the receipts--
The average amount per mile and per train mile of the following receipts:--
Coaching receipts £12,989,912 Goods and Mineral 33,591,675 Miscellaneous 2,167,486 ----------- £48,749,073 being Per mile. Per train mile. Coaching receipts £575 3s. 4¼d. Goods, &c. £1,486 9s. 10¾d.
The private railway companies in Belgium are not required to furnish the Government with returns similar to those supplied to the Board of Trade in this country. It is, therefore, difficult to obtain complete information on this head. But the results of the working of the State railways, which, as has been explained, form more than 71 per cent. of the whole system of the country, are accessible, and may for this purpose be taken as fairly representative.
Gross receipts of the State railways for the year 1884, viz.,
Coaching £1,620,565 Goods and Minerals 3,088,109 Miscellaneous 98,970 ---------- £4,807,644 and the expenses to 59·72 per cent. £2,871,268 ---------- leaving net receipts £1,936,376
Thus, the average amount of the gross receipts per mile, and per train mile respectively, is
Per mile. Per train mile. Coaching £840 3s. 1¾d. Goods and Minerals £1,600 5s. 11½d.
On the State, Holland, Dutch Rhenish, Dutch Central, and Brabant Railways, which comprise more than 90 per cent. of the whole railway system of Holland, the gross receipts for the year amounted to--
Coaching £1,137,687 Goods and Minerals 859,797 Miscellaneous[62] 90,270 ---------- 2,087,754 the working expenses to 1,137,595 or 54·49 per cent. ---------- and the net receipts to £950,159
The gross receipts yielded an average of--
Per mile. Per train mile. Coaching £744 3s. 0¼d. Goods and Minerals 562 6s. 4¾d.
[62] It is assumed that some receipts for cattle traffic are included in this item.
The foregoing figures are summarised for convenience of comparison in the following tabular form:
+-----------------------------+--------------+-------- | GROSS RECEIPTS. | | +--------------+--------------+ PER CENTAGE | COUNTRIES. | | per train | OF GROSS | % of | per mile. | mile. | RECEIPTS.[63]|Expense +------+-------+-------+------+-------+------+ on | [64]| | [65] | | [66] | |Receipts |Coach-| Goods,|Coach- |Goods,|Coach- |Goods,| | ing. | &c. | ing. | &c. | ing. | &c. | ----------------+------+-------+-------+------+-------+------+-------- | £ | £ | | | | | United Kingdom | 1,592| 1,997 | 4/2 |5/11 | 42·58 | 53·42| 52·77 England & Wales | 1,918| 2,397 | 4/2½ |6/0 | 42·57 | 53·20| 52·80 France | 889| 1,356 | 3/10 |9/8½ | 38·68 | 59·03| 56·45 Germany | 575| 1,486 | 3/4¼ |9/10¾ | 26·79 | 67·29| 54·31 Belgium (State) | 840| 1,600 | 3/1¾ |5/11½ | 33·71 | 64·23| 59·72 Holland. State, |} | | | | | | Dutch Rhenish, |} | | | | | | Holland, Dutch |} 744| 562 | 3/0 ¼ |6/4¾ | 54·49 | 41·18| 54·49 Central and |} | | | | | | Brabant |} | | | | | | Railways. |} | | | | | | ----------------+------+-------+-------+------+-------+------+--------
[63] In calculating these per centages, the “Miscellaneous” receipts have been included in the gross receipts.
[64] Coaching receipts embrace receipts from passenger and such other traffic as is carried by passenger trains, as nearly as can be classified.
[65] Coaching receipts embrace receipts from passenger and such other traffic as is carried by passenger trains, as nearly as can be classified.
[66] Coaching receipts embrace receipts from passenger and such other traffic as is carried by passenger trains, as nearly as can be classified.
From the above table it appears that the percentage of the working expenses upon the gross receipts on all the railways in Germany is 54·31 per cent., and on the State lines in Belgium 59·72 per cent. as compared with 52·77 per cent. in the United Kingdom. But analysing these figures, we find that the relative proportion of the whole receipts from the passenger traffic of the German railways is 26·79 per cent., and of the Belgian State railways 33·71 per cent., as compared with 42·58 per cent. in the United Kingdom. This difference, due to the greater development of passenger traffic in this country, considerably affects the comparison of the results of working. The ratio of working expenses in the United Kingdom, where the proportion of net revenue from passenger traffic is greater, and that from goods is less than in Germany or Belgium, is reduced to the advantage of the goods traffic. If the revenue from passenger traffic in the year 1885, on the railways in the United Kingdom, had only been the same per train mile as in Belgium, the working expenses in the case of the former would have been raised to 59 per cent. The profits derived from passenger traffic are not only advantageous to the shareholders, but beneficial to the trade of the country. They have enabled the companies to pay moderate dividends, and also to carry merchandise traffic at a less profit. Any reduction in the revenue from passengers would cripple the railway companies, and prevent them being in as good a position to provide the accommodation, afford the facilities, and charge such rates as are required to develop the trade of the country.
Sir Bernhard Samuelson’s reference to passenger fares calls only for a few remarks. Taking the average fares charged in this country per mile to be 2d. first, 1½d. second, and 1d. third class, with a reduction in return tickets, there is no very substantial difference between those fares and the fares charged in Holland and Germany (except that in the latter country there is a fourth class on some trains). Nor do fares here (including the Government duty), materially differ from those charged on the railways in France. The fares in Belgium are, for the reasons already stated, lower than those in this country. But if to the nominal fares is added the charge which would be made for the same weight of luggage as that which is carried free in this country, the difference is reduced.[67]
The receipts per train mile from coaching traffic are 3s. 1¾d. and 3s. 4¼d. in Belgium and Germany respectively, as against 4s. 2d. in the United Kingdom; a difference which, assuming that only the same receipts per train mile on the present train mileage were earned by the railways in this country, would involve a loss of revenue from £6,000,000 to £7,000,000 per annum. On the other hand, the receipts per train mile, from merchandise and mineral traffic, in the other countries, compare very favourably with those in the United Kingdom; they are 9s. 8½d. in France, and 9s. 10¾d. in Germany, as compared with 5s. 11d. in the United Kingdom. Even in Belgium and Holland, where rates are low, the receipts are 5s. 11½d. and 6s. 4¾d. respectively; results which, considering the low transit and other rates in the former, and the transit and special bargain rates in the latter, are satisfactory. Such figures show that, in addition to the advantages of better gradients and slower speed of trains, wagons and trains are more fully loaded than in this country; they show, too, that notwithstanding the low tariff rates in many cases, the additional charges referred to in Appendix I., page vii--over and above the tariff rates--must yield a substantial revenue. Nor should we lose sight of the fact that traffic receipts in this country include, to a much greater extent than in those countries, charges for loading and unloading.
[67] The passenger fares, excluding and including the charges for luggage, are:--
SCALE PER MILE OF PASSENGER FARES,
Excluding charge for luggage. ----------+--------------+----------------------------- Distances.| FRANCE. | BELGIUM. ----------+----+----+----+--------------+-------------- | | | | Express. | Ordinary. | | | +----+----+----+----+----+---- | 1st| 2nd| 3rd| 1st| 2nd| 3rd| 1st| 2nd| 3rd | | | | | | | | | 10 Miles | 191| 143| 105| 150| 110| 080| 117| 095| 065 50 Miles | 191| 143| 105| 148| 109| 073| 116| 088| 059 100 Miles | 191| 143| 105| 147| 109| 073| 116| 087| 058 ----------+----+----+----+----+----+----+----+----+----
+--------------+---------------------------------- Distances.| HOLLAND. | GERMANY. ----------+----+----+----+--------------+------------------- | | | | Express. | Ordinary. | | | +----+----+----+----+----+----+---- | 1st| 2nd| 3rd| 1st| 2nd| 3rd| 1st| 2nd| 3rd| 4th | | | | | | | | | | 10 Miles | 160| 130| 080| 176| 129| 091| 153| 117| 082| 017 50 Miles | 160| 130| 080| 169| 127| 089| 150| 113| 075| 038 100 Miles | 160| 130| 080| 169| 127| 089| 150| 113| 075| 038 ----------+----+----+----+----+----+----+----+----+----+-----
Including charge for luggage. ----------+--------------+----------------------------- Distances.| FRANCE. | BELGIUM. +----+----+----+--------------+-------------- | | | | Express. | Ordinary. | | | +----+----+----+----+----+---- | 1st| 2nd| 3rd| 1st| 2nd| 3rd| 1st| 2nd| 3rd | | | | | | | | | 10 Miles | 225| 177| 105| 197| 157| 127| 165| 142| 112 50 Miles | 216| 160| 105| 176| 129| 083| 145| 107| 069 100 Miles | 215| 159| 10 | 175| 129| 078| 145| 107| 063 ----------+----+----+----+----+----+----+----+----+----
+--------------+---------------------------------- Distances.| HOLLAND. | GERMANY. +----+----+----+--------------+------------------- | | | | Express. | Ordinary. | | | +----+----+----+----+----+----+---- | 1st| 2nd| 3rd| 1st| 2nd| 3rd| 1st| 2nd| 3rd| 4th | | | | | | | | | | 10 Miles | 220| 180| 110| 204| 148| 094| 181| 136| 082| 047 50 Miles | 202| 165| 101| 197| 146| 089| 179| 132| 075| 038 100 Miles | 202| 165| 101| 197| 146| 089| 178| 132| 075| 038 ----------+----+----+----+----+----+----+----+----+----+----
In the passage which we have quoted it is said that “the cost of materials” on the Continent is, “generally speaking, higher.” One cannot help observing the inconsistency of maintaining that the competition of the other countries by enjoying low railway rates injures the export trade of this country, and that the railways here have the advantage of obtaining fuel and rails cheaper. Is the latter statement clearly well-founded in view of the fact that German rails have been laid on some of the English lines, and that engines have also been supplied by Continental firms competing with home makers? The truth, probably, is that for the purposes of the present comparison the prices of coal and materials at the pits and works in each country may be taken to be about the same; that here, as abroad, there is great diversity of circumstances; that in each country some companies, whose railways are near collieries and ironworks, have the benefit of the lowest prices, while others obtain their supplies by sea or rail at an enhanced cost.
The chief item of expense in the working of railways, and that which is of the greatest importance in making any comparisons intending to show that railway rates in this country should be reduced, is that of wages; an item of expenditure ignored in the above statement. Here they are generally higher, and the hours of labour are fewer, than in any of the other countries referred to. It is difficult to make an absolutely trustworthy comparison of the actual sums paid in salaries and wages. Different systems of payment exist; the allowances made to the staff on the Continental lines in the way of house rent, &c., and the amounts contributed by the companies to the superannuation and other benevolent funds ought not to be forgotten; such contributions, especially in France, amount in a year to a considerable sum. On the whole, however, we may arrive at an approximately correct estimate by taking the total amounts paid in salaries and wages and the average amount paid per man per year. The following is the percentage of wages as compared with the total working expenses.[68]
[69] England 60·33 per cent. [70] France 46·75 ” [71] Belgium 57·92 ” [72] Holland 48·57 ”
[68] GERMANY.--The “Statistische Nachrichten Von den Eisenbahnen” shows the expenses for salaries and wages paid by the German railways (exclusive of 38,166,114 marks under the heading of shunting expenses, as it is not known whether this item includes anything for wages) to be 48·46 per cent. of the gross working expenses, but as this information differs from that otherwise obtained, and it is not known whether the latter includes any staff expenses in respect of new works, it is not considered desirable to base any conclusions on either set of figures until they are verified.
[69] These figures may not be absolutely accurate, but every effort has been made to make a fair comparison. To obtain them, each of the twelve largest companies, owning in the aggregate 11,538 miles, have supplied the information.
[70] The six great companies.
[71] The State railways, from the published report.
[72] The State, Holland and Dutch Rhenish railways, from information kindly supplied by them.
The hours of labour are an element in the matter. We do not go into detail, or endeavour to make a precise comparison. But it will not be disputed that, as a rule, they are fewer here than on the Continental lines. Here, too, there is, comparatively speaking, very little Sunday duty, which is far from being the case abroad. On most of the railways in this country it is the practice to provide at the company’s own cost clothing for such of their staff as wear uniform. The Dutch companies also supply some members of their staff with clothing. But in France, Belgium, and, generally, in Germany, the cost of clothing supplied to the uniform staff, which has been omitted in the comparisons, is deducted from their wages by instalments.
For the reasons already stated, there is no small difficulty in comparing the rate of wages per day or per week. Although in this country annual allowances such as bonuses for good conduct are known, wages are, as a general rule, fixed sums per day or per week, increasing according to the importance of duties and service. On some of the Continental railways the allowances are in some instances a considerable percentage of the fixed wages.[73]
The following table has been prepared from the best information that could be obtained on the subject, and it may fairly be taken as an approximate estimate of the average wages paid:--[74]
[73] See Note on page 136.
[74] NOTE.--There is a difference between the statements of revenue receipts and working expenses given in the “Statistische Nachrichten Von den Eisenbahnen” and those otherwise obtained, but not of a material character for the present purpose.
+--------------+--------------- GRADE. | ENGLAND. | FRANCE. ---------------------------+--------------+--------------- Engine Drivers per day | 5/0 to 7/6 | 4/0 to 4/8 | | Firemen ” | 3/0 to 4/6 | 3/0 to 3/4 | | Guards, Passenger per week | 21/0 to 40/0 |} | |} 20/0 to 38/6 Guards, Goods ” | 22/0 to 32/6 |} | | Signalmen ” | 18/0 to 30/0 | 18/6 to 32/0 | | Porters, Passenger ” | 15/0 to 17/6 |} | |} 14/0 to 17/0 Porters, Goods ” | 18/0 to 24/0 |} | | Shunters ” | 16/0 to 26/0 | 14/0 to 17/0 | | Platelayers ” | 15/0 to 23/0 | 12/8 to 20/0 ---------------------------+--------------+---------------
+--------------+---------------+-------------- GRADE. | GERMANY. | BELGIUM. | HOLLAND. --------------------------+--------------+---------------+-------------- Engine Drivers per day | 3/3 to 5/0 | 3/3 to 3/7 | 3/4 to 4/2 | | | Firemen ” | 2/6 to 3/3 | 2/0 to 2/5 | 2/2 to 2/11 | | | Guards, Passenger per week|} | | |} 15/0 to 26/0| 18/6 to 34/0 | 13/0 to 21/0 Guards, Goods ” |} | | | | | Signalmen ” | 16/0 to 23/0 | 12/0 to 17/6 | 14/0 to 22/0 | | | Porters, Passenger ” |} | | |} 16/0 to 20/0| 13/0 to 17/6 | 14/0 to 17/6 Porters, Goods ” |} | | | | [76]| Shunters ” | [75] | 15/0 to 29/0 | 15/0 to 22/0 | | | Platelayers ” | 12/8 to 14/6 | 12/0 to 17/6 | 12/0 to 14/0 --------------------------+--------------+---------------+--------------
[75] Shunting Masters 20/0 to 26/0.
[76] Includes Foremen.
Passing over the fact that in this country porters to attend to passengers’ luggage are provided by the companies, that the class goods rates here include loading and unloading, which they frequently do not abroad, and that, generally speaking, a greater number of men are employed on the railways in this country, there remains the fact, that the difference between the percentage of wages paid on foreign railways, as compared with the total cost of working the railways, and the percentage of wages paid in the United Kingdom is upwards of £4,000,000. There is, moreover, a great difference in the amount paid per person in England, as is shown by the returns of the twelve companies who have supplied the information, viz.:--[77]
£ s. d. England 62 10 0 France 47 12 0 Belgium 41 2 3 Holland 34 3 10
[77] NOTE.--ENGLAND--On some railways the 1st Class drivers are allowed a premium of £10 a year for good conduct, and both drivers and firemen are allowed lodging money, and also Sunday labour at the rate of 8 hours per day. Signalmen are allowed bonuses for good conduct from £1 to £5 per annum, and guards are allowed travelling expenses from 1/6 to 2/6 per day and night.
FRANCE--Premiums to drivers and firemen are allowed for economy of fuel, regularity of service, and lodging expenses. Guards receive lodging money when they have to sleep out and a percentage on the excess fares collected, amounting together to about £4 15s. a year. Sums varying from £2 to £10 per annum are allowed to the inferior grades of staff who have to reside in Paris and other large towns where living is dear.
GERMANY--The staff are classified into 5 divisions, all of which (except Class 1, which includes Ministers, Presidents, &c., who do not receive allowances), in addition to their fixed wages, receive allowances for house rent, which vary according to the town in which they reside. The towns are also classified into six divisions as under:--
+----+---------+-------+-------+-------+----- | A | 1 | 2 | 3 | 4 | 5 ---------------+----+---------+-------+-------+-------+----- Staff in Class | £ | £ s. d.| £ s.| £ s.| £ s.| £ Do. 2 | 60 | 45 0 0 | 36 0 | 30 0 | 27 0 | 27 Do. 3 | 45 | 33 0 0 | 27 0 | 24 0 | 21 0 | 18 Do. 4 | 27 | 21 12 0 | 18 0 | 15 0 | 10 16 | 9 Do. 5 | 12 | 9 0 0 | 7 4 | 5 8 | 3 12 | 3 ---------------+----+---------+-------+-------+-------+-----
Head guards are in the 4th Class, under guards 5th, 1st Class Signalmen 4th, and Porters and shunters 5th. Engine drivers, firemen and guards are allowed expenses when away from home. Porters are not paid by the railway companies, but are allowed to charge the passengers fixed fees.
BELGIUM--Engine Drivers and firemen are allowed premiums for economy of fuel and regularity of working, amounting to as much as £20 a year for drivers and £10 for firemen. Guards are also allowed bonuses for regularity of working.
HOLLAND--Enginemen and firemen are allowed premiums for economy in fuel, varying from 3d. to 2/-per day; and a mileage allowance in addition. Guards also receive an allowance over a certain number of miles travelled. Porters are not employed by the companies; but in return for the privilege of being allowed on the stations, they clean windows, sweep offices, &c., and perform other services for the companies.
The amount paid per person by the English railway companies, whose lines comprise 11,538 miles, a gross revenue of £52,904,920, and the total aggregate expenses of which amount to £27,731,876, would probably be too high an average for the United Kingdom. Assuming, however, the difference in the amount per person paid in England as compared with the other countries to be an average of only £10, and that the cost of wages in this country could be reduced to that extent, there would be a saving of about £3,500,000 per annum.[78]