TABLE 3.-Estimated saw-timber volume on unreserved lands in eastern Oregon, by species and county, as of Jan. 1, 1943 TABLE 4.-Estimated saw-timber volume on unreserved lands in eastern Washington, by species and county, as of Jan. 1, 1943 TABLE 5.-Summary of estimated saw-timber volume on unreserved lands in Oregon and Washington, by State and region, as of Jan. 1, 1943 1 Ponderosa pine in western Oregon and western Washington included in "other conifers." 'Pulp species include western hemlock, mountain hemlock, the balsam firs, Sitka spruce, and Engelmann spruce. In western Oregon and western Washington "cedars" includes western red cedar only; other cedars included in "other conifers." Hon. JAMES E. MURRAY, APPENDIX V WAR MANPOWER COMMISSION, Portland, Oreg., July 28, 1944. Chairman, United States Senate Committee to Study Problems of American Small Business, c/o Multnomah Hotel, Portland, Oreg. DEAR SENATOR MURRAY: On July 20, 1944, we received instructions from our regional office in San Francisco, to prepare certain information, as it applies to the State of Oregon, and were requested to submit 50 mimeographed copies to your committee, meeting here in Portland today, July 28, 1944. Under separate cover you will please find the above-mentioned copies of the material prepared by the Administrative Office of the Oregon War Manpower Commission. Very truly yours, EMORY R. WORTH, POPULATION AND EMPLOYMENT TRENDS IN THE PORTLAND METROPOLITAN AREA CONCENTRATION OF IN-MIGRANTS The concentration of migrant workers in Oregon is, for the most part, confined to the area surrounding the city of Portland. For many years, Portland has been the State's leading shipping terminus and manufacturing center. Because of water facilities for handling ocean-going vessels, it is natural that the Portland area has become one of the important shipbuilding centers on the Pacific coast. The city of Vancouver, Wash., situated on the Columbia River about 8 miles from Portland, is located within the Portland metropolitan area and it is there that the largest shipyard is located. Because of the early interpretation that labor market areas include surrounding districts within a reasonable commuting distance, the War Manpower Commission has aways considered the Portland metropolitan area to include the counties of Clackamas, Columbia, Multnomah, and Washington in Oregon, and Clark County in the State of Washington. EXTENT OF IN-MIGRATION OR OUT-MIGRATION In 1940 this area had a population of 522,000. According to ration book registrations, the area population stood at approximately 702,000 in May 1944. However, since January 1944, there has been a substantial net out-migration from the area. It is believed that this net loss is not reflected in current ration-book registrations. Consequently, it is our opinion that this figure should be adjusted downward. War Manpower Commission estimates on the net population loss since January 1944, is between 20,000 and 25,000 people, involving some 10,000 workers. Therefore, the current area population is estimated in the vicinity of 680,000. This represents a net increase of 158,000 (30 percent) over the 1940 census figure. Military withdrawals are excluded. This remarkable population growth is not distributed uniformly over the five counties comprising the Portland metropolitan area, but is pretty much limited to the cities of Portland, Oreg., and Vancouver, Wash., and surrounding districts. As a matter of fact, Columbia County has experienced a slight population loss since 1940. Assuming an additional population loss in the more remote sections of Washington, Clackamas, and Clark Counties, it is estimated that the cities of Portland and Vancouver and surrounding districts have experienced a net population increase of about 160,000 since 1940. This figure is substantiated by a sample survey recently completed by the census people. GROWTH OF WAR INDUSTRIES Industrially speaking, the greatest impact of this large population growth is evidenced in new ship construction and ship repair. In 1940 fewer than 500 workers were employed in this industry. A of May 1, 1944, total employment in the shipbuilding and repair industry was approximately 116,000, Two other important war industries are new to the area since 1940. These are aluminum reduction and refining and the manufacture of aircraft parts. At the present time, about 1,700 are employed in the aluminum industry and about 1,900 in the manufacture of aircraft parts. In comparison, it is seen that the growth of employment in shipbuilding and repair has been so large that increases in other industries are almost negligible. It is estimated by the War Manpower Commission that the total labor force in the area is now 325,000. This represents an increase of about 131,000 over the 1940 census figure. As mentioned above, the three industries new to the area currently employ a total of 120,000 workers. This leaves only about 11,000 of the net increase in the labor force to be distributed among all other industries in the area. Although up-to-date information on employment trends in the smaller metal trade shops is not available, it is estimated that about 125 of these shops located in the vicinity of Portland and Vancouver have not increased their total employment by more than 2,500 since 1940. It is believed that the remaining 8,500 of the net increase in the labor force may be found in the trade and service industries located in the area, especially in the vicinity of Portland and Vancouver. The rise in the employment in certain trade and service industries is the result of the increased demand for these services brought about by the increased population. Some trade and service industry groups have shown substantial decreases, but these have more than been offset by employment gains in such groups as wholesale distribution, retail general merchandise, retail general foods, eating and drinking places, and general repair services. INTENT OF WAR WORKERS TO REMAIN AFTER THE WAR Information on the intention of war workers to remain after the war is limited to the results obtained in a survey conducted by the Kaiser interests. This survey of the three Kaiser yards was conducted last January and the results were published in the local newspapers during the latter part of February. The results revealed that of 81,881 workers interviewed 50,016 stated they had come into the area within the last 3 years. Of these 50,016 newcomers, 25,960 (51.9 percent) indicated that they want to remain in the area after the war. It was further revealed that of the 25,960 workers who indicated that they wanted to stay after the war, about 10,654 (41 percent) were definite in their intention of staying, while 15,306 (59 percent) indicated that they would stay if they had work to do. The following technique represents some pretty rough application of statistical methods to available data. The following approach is used to answer the question, "How many workers now in the Portland-Vancouver area do you estimate to have come from outside the area, and, assuming the results of the Kaiser survey to be substantially correct, how many of these workers will want to remain after the war? The estimated net population increase of 160,000 excludes military withdrawals. Reports on military withdrawals are conflicting and range anywhere from 29,000 to 50,000. Assuming 40,000 to be a fair figure, then population increase including military withdrawals is about 200,000. Sample surveys in defense housing projects show the average family to be about 3.17 persons. Therefore, 200,000 people represents 63,000 families. (200,000÷3.17.) Sample surveys among housing projects indicate about 1.2 workers per family, therefore, 63,000 families represents 75,000 in-migrant workers (63,000X1.2). On the basis of the Kaiser survey, 51.9 percent of 75,000, or 39,000 in-migrant workers will want to stay after the war. EXISTING MANPOWER SHORTAGES The Portland metropolitan area is still classified as a critical labor market area. This classification remains in force because a large number of additional workers are needed to raise employment to the level that employers state is necessary to meet contractual obligations or services necessary to meet the minimum requirements of essential industries. According to the most recent information compiled from employer ES-270 reports, 20,535 additional workers are needed in 96 selected establishments in important industries by November 1, 1944. Industrially speaking, these additional needs are distributed as follows: The above figures on additional manpower needs do not include replacements. As mentioned elsewhere in this report, there has been a substantial net loss of workers since January 1944 because of out-migration. According to information available to the War Manpower Commission a high separation rate continues in important war industries. The estimate of 20,535 additional workers does not include the need for workers to replace those leaving for other areas. APPENDIX VI Hon. JAMES E. MURRAY, WILLAMETTE HYSTER Co., Washington, D. C. DEAR SENATOR: Answering your letter of July 13 I will try to outline a few of our problems, which may or may not be representative of other small businesses. Our entire line of peacetime products have been tremendously popular with all branches of the service for wartime use, so we have been required to expand our normal production some 10 or 12 times. We have carefully tried to guard against accepting obligations which, in our opinion, would jeopardize the future of our business, but because of our small size we have been quite ineffective in dealing with the Government. Some of the clauses in the so-called standard Government contracts have introduced hazards, which in our judgment a small company could not afford to assume. But because we have not been able to bring sufficient pressure to bear, we have been told that other companies were accepting these same clauses and have been threatened with compulsory orders (one having actually been served upon us) and with the possibility of our plant's being taken over by the Government. Notwithstanding the fact that evidence was produced that we could meet a sudden demand for an unusually large production of one model of our winch if given the same assistance on priorities and expediting that the Government would give anyone else, the Army insisted that a very large company, the American Car & Foundry Co., produce this winch of our design. In order to protect our post-war business and to prevent tools and patterns for winches we have developed from becoming available to competitors, we insisted that this large order come through us, the manufacturing to be done by American Car & Foundry Co., as our subcontractor. Since their price was higher than our total selling price, we suffered a substantial loss on the order because of Office of Price Administration ceilings. In setting up for production on this order American Car & Foundry Co., were required to come to some of our regular sources of supply on the west coast. This supports our original contentions that the order could have been supplied by our plant. Another source of our difficulties has been the forward pricing program insisted upon by the Army and Navy whereby prices on each model of our equipment have been reduced to a narrow margin of profit notwithstanding the fact that any excess profits were removed by renegotiation. We have been losing money on straddle trucks since the beginning of Office of Price Administration price ceilings but have been able to continue to furnish this equipment supported by profitable operations on other lines of our machinery. However, now that the forward pricing program has required each model to stand on its own feet profitwise, we have been forced to refrain from offering additional straddle trucks even though they are badly needed in the war effort and are now stuck with large orders already accepted. The Office of Price Administration will give us no relief on our ceiling prices for this equipment. Although termination settlements have not yet come along, we are worried over our securing a fair settlement that will leave us in the same position as we were before the war. We have large inventories on hand to fill the great volume of Government orders on hand. Unlike most companies in war work, we are still manufacturing our same peacetime products. The inventories on hand in some cases would last us 20 years, during which time the model would have become outmoded many times. Moreover we could not afford to put this material on our shelf at the present high prices obtained from emergency sources in many cases, using high overtime rates for around-the-clock production, and at the high subcontracting costs, which have been many times the cost of manufacturing in our own plant. Our post-war position and the future of our company depends largely upon securing fair termination settlements. These statements are not made from the standpoint of criticism, but only to outline to you some of our problems. We feel that everyone connected with the war effort with whom we have come in contact has been very sincere and has done his best. Nevertheless we have suffered because of our small size. Very truly yours, HYSTER Co., EUGENE CALDWELL, General Manager. STATEMENT OF JOHN W. KELLY, OREGON My name is John W. Kelly, my position is executive director of the Oregon Post-war Readjustment and Development Commission, which was created by the Oregon Legislature in 1943 on recommendation of Gov. Earl Snell. Office address is Statehouse, Salem, Oreg. The object of the commission is to correlate the post-war program and obtain a view of what may be anticipated in the transition period. Under the law creating this agency, the commission has no authority to impose its will upon any political subdivision within the State. It cannot tell a community to do this or that, nor can it assume part of the costs of preparation of blueprints or of acquiring sites as is the case in New York, California, and Michigan. In brief, each community is absolutely free to select its most-needed project or projects without interference from the Governor's commission. When the legislature created this agency it named as members in the bill the heads of various departments and authorized Governor Snell to designate members. As a result, the body contains representatives of the American Federation |