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VOLUME 21, NO. 1-2 BRICK MANUFACTURING WINTER-SPRING, 1963
CHAIRMAN'S
COMMENTS
Henry E. Kendall
Chairman
N. C. Employment
Security Commission
North Carolina has attained the
reputation as the number one brick
manufacturing- state in the nation.
KtNDALL Our land is "blessed with an abun-dance
of clay and shale," a substance
of quality brick, reports the author of one of the articles
included in our ESC QUARTERLY edition on brick
manufacture.
We wish to enhance this statement and credit the
men of initiative who have developed the brick industry
within North Carolina. Reading the stories submitted
by our brick makers, it becomes evident that since the
turn of the century the industry has experienced multi-ple
changes as mule power and hand labor gave way to
automation and intricate machinery. When new methods
were needed the industry developed them. Seeking
added efficiency, the industry devised the tunnel kiln.
When fast, up-to-date handling devices were needed,
they evolved from industry trial.
So, North Carolina is a major supplier of brick to
builders across the United States. Today, brick is not
only a building material of strength and durability, but
through mass production of various shapes, sizes and
colors it has added another dimension. It appears that
the use of brick is limited only by the builder's or
architect's imagination.
During 1962 our brick makers produced 688,000,000
bricks, a significant 47 percent increase over production
figures 10 years ago. As does every element of industry,
brick manufacturers contribute beneficially to our State
and its people, and, speculating on the next 10-year
period, industrialists predict it to be a time of high
employment and additional production records. Their
experience and ingenuiety validates, indeed, this opti-mism.
In 1963, the U. S. Department of Labor observed its
50th anniversary and the Federal-State public employ-ment
service became 30 years old. This is a significant
period of service to the nation, and on the opposite page
we have reprinted from a Washington publication the
statements made on this occasion by U. S. Secretary of
Labor W. Willard Wirtz and by Robert C. Godwin,
Administrator of the Bureau of Employment Security.
With every graduating senior class of high school
and college students North Carolina's labor force must
absorb a new group of young, ambitious job seekers.
Economists tell us that rural population is deplenishing,
with both Negro and white farm people turning to the
city for employment. Cities grow and consume, resident-ialize,
zone and join, tear down, rebuild, market and
purchase. Employment opportunities come with growth
and expansion and thousands of new workers bid for
jobs, employment demands becoming enormous and
skills more essential. Beginning in this edition of the
ESC QUARTERLY is a series of articles which we hope
to continue for several issues—the study of labor market
conditions as they exist in our State's cities. Our local
Labor Market Analysts have prepared these stories
which begin on page 27.
(See COMMENTS, page 46)
The E. S. C. Quarterly
(Formerly The U.C.C. Quarterly)
Volume 22, No. 1-2 Winter-Spring, 1963
A special edition devoted to brick manufacturing in
North Carolina, another Tar Heel industry which
ranks first in the nation.
Issued at Raleigh, N. C, by the
EMPLOYMENT SECURITY COMMISSION
OF NORTH CAROLINA
Commissioners
Thomas B. O'Conner, Forest City; Dr. Maurice Van
Hecke, Chapel Hill; R. Dave Hall, Belmont; W. Benton
Pipkin, Reidsville; Bruce E. Davis, Charlotte; and Dr.
James W. Seabrook, Fayetteville.
State. Advisory Council
Public representatives: James A. Bridger, Bladenboro,
Chairman: Sherwood Roberson, Robersonville; W. B.
Horton, Yanceyville; Mrs. D. C. Lewellyn, Dobson; Em-ployer
representatives: A. I. Tait, Lincolnton and G.
Maurice Hill, Drexel; Employee representatives: Melvin
Ward, Spencer, AFL and H. D. Lisk, Charlotte, CIO.
HENRY E. KENDALL Chairman
R. FULLER MARTIN Director
Unemployment Insurance Division
JOSEPH W. BEACH Director
State Employment Service Division
H. E. (Ted) DAVIS Editor
Public Information Officer
Sent free upon request to responsible individuals,
agencies, organizations and libraries
Address: E.S.C. Information Service,
P. O. Box 589, Raleigh, N. C.
INDEX APPEARS ON PAGE 46
Cover Legend
Seemingly about to topple, pallets of bricks stand four and five deep
on the clay-rich soil of Lee County, one of North Carolina's most
abundant brick-producing areas. Brick yards are common sights to
North Carolinians and the dusty red haze of the factory is familiar
to many communities. North Carolina produces more brick than any
other state in the nation, and the pallets in the cover photo will
not stand long before they are shipped out to the construction site.
ESC QUARTERLY
NEW DIMENSIONS FOR LABOR
As the U. S. Department of Labor this year observes its 50th anniversary, it looks also to the high
significance of the relationship between that occasion and the 30th anniversary of the Federal-State
Public employment service. For no effort is closer to the central concern of the Department of Labor
than is that carried on daily by the State and local offices of the Employment Service.
It happens also that as we observe these anniversaries, we are faced with what is perhaps one of
the most imposing national tasks ever placed before any sector of Government. Indeed, the whole ques-tion
of employment, unemployment, and manpower utilization—with which we are so directly concerned
—has been characterized by President Kennedy as "the number one domestic challenge of the 1960's."
It is a challenge today underscored by a persistent 5- to 6-percent rate of unemployment.
The factors which have created this situation are well apparent to the men and women in the pub-lic
employment offices, but two of them are particularly deserving of attention. The first is dramatically
illustrated in the fact that 1 million more people will be reaching the age of 16 this year than did last
year. The second relates to a drastic decline in our average annual increase of new jobs in the private
economy. Between 1947 and 1957, that increase ran at a rate of about 1.9 percent a year; since then it
has dropped to around 0.9 percent. In new job totals, that means that where we were experiencing an-nual
gains of 700,000 during the first period, that figure has declined to about 175,000 in the second.
Population expansion is thus combining with declining job creation in the private sector to set the stage
for a task of unprecedented magnitude for both the Department of Labor and the public employment
service.
For the Employment Service, the basic challenge ahead is one of becoming, in a true sense, the
"Community Manpower Service Center" in every labor market area which the USES serves. If its 30-
year history of testing placement and related activities has always sugested the validity of this concept,
new missions assigned to it under the Area Redevelopment Act and the Manpower Development and
Training Act serve to reemphasize it.
For both these acts are dependent for their success principally upon the welding of a community of
interests in towns, cities, and areas all across the country. In most instances, the required leadership
and unifying influence will have to come from the local office of the Employment Service. That leader-ship
and that influence ought to extend, in addition, to a point beyond basic implementation of the train-ing
activities these acts envision. MDTA and ARA, more importantly, reflect a whole new American
philosophy toward manpower problems, particularly unemployment, and suggest a whole new dimen-sion
to the traditional Federal-State employment service role. The Service, in all its offices, should now
function as the focal point for whatever varieties of effort each community directs toward the full and
effective use of its labor force.
In a new form of cooperation with the Employment Service as it pursues that end, there is at work
today in the Department of Labor a new agency of Government which we have termed the Manpower
Administration. This arm of the Department brings together all of our missions relating to employment,
unemployment, and manpower utilization in general. It is constructed around a framework of three
existing departmental agencies: the Bureau of Employment Security, the Bureau of Apprenticeship
and Training, and the Office of Manpower, Automation, and Training. The Manpower Administration
will seek to weld the work of all Department personnel engaged in this field into a common effort which,
we hope, will in time contribute towards a solution of "the number one domestic challenge of the 1960's."
It is to that purpose that I hope that all of us can dedicate ourselves on this the occasion of the
anniversary year we share.
W. Willard Wirtz
Secretary of Labor.
ESC QUARTERLY 3
THE EMPLOYMENT
SERVICE
CHALLENGE
A STATEMENT
FROM THE
ADMINISTRATOR
THE 30th anniversary of the nationwide public employment service
system created by the Wagner-Peyser Act is a milestone in the
human affairs of this country. Our history of service is a story of
people—those many millions who have benefited in some measure by
the many-sided activities of the United States Employment Service and
its affiliated State Employment Services, and the thousands of dedi-cated
public employees who have made these services possible. In an
age when big numbers are all too commonplace, who can regard lightly
the human aspects of a cumulative total of 325 million farm and non-farm
job placements? And in a program which is 30 years old, a reflec-tion
of pride in public service is shown by the fact that over 4,000
Federal and State employees have been with the employment security
system for at least 25 years. Since 1933, the Employment Service has
encountered the massive impact of the Great Depression, the demands
of a global war and several lesser involvements, and a series of short
yet intense recessions and recoveries. Today it faces the challenge of
a peacetime economy whose demands are in many ways equal to, or
greater than, the crises which preceded it.
At the time the Wagner-Peyser Act created the employment service
system, few could foresee the giant strides that would come in science
and technology and the evolving philosophy of public responsibility and
participation in national affairs. The Employment Service has shown
during this period that it is a living institution by adjusting to, and
moving with, the times. From its early emphasis on matching men and
jobs, it has expanded its mission to include manpower development and
utilization, dissemination of labor market information, widespread im-provements
in the mechanism of the labor market, and final emergence
as a fully functioning community manpower center.
In 1961, the President assigned to the employment service system
much of the responsibility for carrying out the new Federal manpower
programs. These programs not only imposed a heavy workload on the
existing machinery, but also created some new and complex problems.
For example, improvement in the ES and new responsibilities involved
the absorption of 4,700 added workers. There was the problem of fitting
program such as those under the Area Redevelopment and the Man-power
Development and Training Acts into ES operations. The move to
separate physically the locations of the Employment Service and the
Unemployment Insurance Service offices in larger metropolitan areas
was designed to improve efficiency and to recreate the image of the
Employment Service as a manpower agency intead of an unemployment
office.
Our Federal-State relationship, which is an outstanding contribution
to the science of administrative organization, has enabled us to weather
difficulties and crises. Although this is a Nation of striking difference
among the States, and even in communities within each State, the Em-ployment
Service is one of a few agencies organized to reach down
from the national to the community level, with full recognition of
State and local differences and their expressions. We shall continue to
move forward with a unanimity of purpose.
Despite all the problems and complications of this important task on
which we are embarked, we can have strong hope for success in it. The
mission ahead is a challenging one that demands intelligence, imagina-tion,
cooperation, and plain hard work. It is a sobering though to real-ize
that what we do directly concerns so many of our fellow human
beings, their livelihood, and their aspirations. I have no doubt that our
experience and dedication will make us equal to our responsibilities.
Robert C. Godwin
Administrator,
Bureau of Employment Security.
ESC QUARTERLY
ESC Manpower Study Discloses
Critical Shortage In
Hospital And Medicare Occupations
From The Bureau of Employment Security Research
The Bureau of Employment Secur-ity
Research study of manpower and
training- needs for medical and health
service occupations has disclosed a
perplexing situation in the labor
supply-demand in North Carolina's
hospital and other medicare institu-tions.
Results of the study, which was
completed in June, show a critical
need for trained hospital workers at
a time when hospital employment is
at an all time high in North Carolina.
In many areas there are surpluses
of labor, including underemployed
people who lack the necessary quali-fications
for obtaining employment.
On the other hand, labor shortages and
job vacancies exist in these same
areas because of the lack of workers
trained in many occupations.
Representing the composite think-ing
of administrators, directors, and
other staff members of more than 400
North Carolina hospitals and other
medicare agencies and institutions,
the study was requested by the State
Board of Education because officials
recognized the lack of workers with
specialized training for occupations in
the medical and health field. The State
agency intends to use survey findings
to compare trained worker demand
for growth and replacement needs
with the anticipated trained worker
supply from on-the-job training pro-grams,
schools and other educational
institutions. The study provides a
basis for expanding present training
programs and initiating new one.
Employment Offered
Hospitals are widely recognized for
their treatment and care of patients
and for diagnosis and disease re-search.
Their increasing economic im-portance
is not so widely recognized,
but it cannot be overlooked. Hospitals
represent major markets for innumer-able
goods and services—and for em-ployment.
The survey disclosed that medical
and health employment during the
first quarter of 1963 in the institutions
studied was approximately 39,600
persons. During 1940 there were just
slightly over 15,000 persons engaged
in hospital and other health service
occupations in North Carolina. By
1950, employment had nearly doubled,
and by 1960 hospital and medicare
employment had jumped to more than
47,000 persons and has continued to
grow.
In 1960, about 67 percent of the
total medical and health service em-ployment
was in hospitals.
According to ESC research analysts,
the following developments since 1940
help explain rapid employment gains
in the health service field:
(1) Increased expenditures for
medical research, rapid advances in
medical knowledge and treatment, and
the discovery of new medical tech-niques
and drugs.
(2) Rise in personal income en-abling
the general public to afford
more health services.
(3) Completion of 56 new hospitals
in North Carolina since 1945, and,
under the .Federal Hill-Burton Act,
initiation of more medical facility
projects in North Carolina than in
any other state.
(4) Rapid expansion of subscription
to health insurance programs en-couraging
people to seek hospital and
medical care more readily.
(5) Increasing numbers of older
persons and the rising public interest
in the medical care for these older
people.
(6) A greater understanding and
increased attention to prevention of
illness and to the value of professional
medical care.
(7) Continued medical care for
veterans and their families.
(8) Trend toward shorter work
week for medical and health service
workers.
These influences are expected to
persist in the future. The demand for
new workers, coupled with the demand
for additional workers who will be
needed to replace those who withdraw
from work, retire, or leave the field
for other reasons, presents many op-portunities
in North Carolina for em-ployment
in this field during the '60's.
According to the survey, hospital
and medicare employment (in survey-ed
establishments) by the end of 1963
will approach 42,850 persons and
nearly 50,000 by end of 1966.
Training Inadequate
Thirty-four occupations were sur-veyed
because employment in this
group is expected to increase more
rapidly than employment in the whole
medical and medicare service field. All
employment in this field will advance
by 25 percent by the end of 1966, while
gains in the 34 selected occupations
will rise by 29 percent.
If North Carolina's expansion and
replacement needs are to be met,
3,950 additional workers will need
training in the selected occupations
by the end of 1963, and by year-end
1966 this need will increase to about
11,500 workers.
Hospitals, medical institutions and
schools now do extensive training in
many of these occupations. However,
the survey indicated that this training-will
meet only 54 percent of the needs
by the end of 1963 and only 73 percent
of the needs by the end of 1966. Thus,
additional training will be required to
meet anticipated shortages of about
1,820 workers at the end of 1963 and
3,075 workers at the end of 1966.
Occupational shortages likely exist
in other medical and health service
areas not studied such as offices of
private physicians and dentists, and it
is believed that overall net training-needs
shown in this report are conser-vative.
Making the survey, ESC Labor
Market Analysts contacted employers
personally and asked for information
about:
(1) Current vacancies.
(2) Present employment.
(3) Anticipated employment to meet
future expansion and replacement
needs by the end of 1966.
(4) Trainee output by the end of
1966 from on-the-job training and
training affiliated schools, where ap-plicable.
400 Institutions Surveyed
Estimates included in this report
represent anticipated needs for 210
hospitals and clinics, 193 nursing and
rest homes, 75 health departments and
21 other medical facilities.
(Continued)
ESC QUARTERLY
Existing1 job vacancies for workers
in surveyed occupations during- the
first quarter of 1963 numbered 1,540,
or 39 percent of the estimated addi-tional
training needs by the end of
1963. Current need for registered
nurses accounted for 650 of the im-mediate
trained worker needs in all
occupations revealed by the survey.
Anticipated trainee output for as-sistant
housekeeper, physical therapy
technician and hospital equipment
servicemen will supply less than 20
percent of the expected total need for
each occupation by the end of 1966.
Trainee output will furnish less than
50 percent of the total trained worker
need by the end of 1966 for each of
the 16 occupations studied. Those oc-cupations
for which a substantial, but
inadequate, amount of training and
education is planned include re-gistered
nurse, medical-record tech-nician,
clinic technician and practical
nurse. Planned training is expected to
supply more than 75 percent of total
demand for each of these occupations
by the end of 1966.
Most Significant Need
Eleven of the 34 surveyed occupa-tions
represent more than 95 percent
of the net requirements for trained
workers at the end of 1966. The fol-lowing
occupations show the most
significant needs for training:
However, it is over optimistic to as-sume
that all of those to be trained
will enter and stay in this profession.
So by the end of 1966, the need will
likely be considerably higher than in-dicated.
How To Be Used
The completed survey, in booklet
form, is now available through the
Employment Security Commission's
Bureau of Employment Security Re-search.
It is believed that the survey
can be used by management officials
interested in the prospective avail-ability
of trained medical and health
service manpower in planning their
own occupational needs more efficient-ly.
School authorities may find the
survey beneficial in planning cur-riculums
because academic and voca-tional
training programs can be be
planned on the basis of occupational
manpower requirements and resources.
Results of the survey can be used by
young people interested in making an
informed choice of a career, or by em-ployment
counselors and high school,
college and vocational school coun-selors.
Since information about occupa-tional
labor supply and demand are
essential for civil defense emergencies
and for manpower purposes, civil de-fense
and mobilization people can
practically use the hospital and
BY THE END OF 1963
Title Need
Nurse, Registered-Graduate 531
Nurse, Practical 368
Nurse Aide 278
Orderly-Attendant 161
Secretary-Stenographer, Medical 96
Ward Clerk -. 63
Cook 63
Medical Technologist 61
Laboratory Technician, Medical 50
Surgical Technician 37
Housekeeper, Assistant 31
BY THE END OF 1966
Title Need
Nurse Aide 815
Orderly Attendant 440
Nurse, Practical 319
Secretary-Steno, Medical 280
Ward Clerk ' 228
Cook 195
Laboratory Technician, Medical 176
Nurse, Registered-Graduate 97
Surgical Technician 82
Medical Technologist, 74
Housekeeper, Assistant 70
During the first quarter of 1963,
about 1,540 trained workers were
needed to fill job vacancies which
existed in all surveyed occupations
combined. Remember, 95 percent of
the present job vacancies were in-cluded
in the above 11 occupations.
Note that the demand for registered
nurses ranks first in net training-needs
by the end of 1963, but drops to
eighth position by the end of 1966.
medicare survey. It may also encour-age
training under the Federal Man-power
Development and Training Act
and the Area Redevelopment Act.
A Basis for Education
The Employment Security Commis-sion
engaged in this study to provide
a basis from which training needs can
be evaluated so that appropriate voca-tional
education programs may be
planned. However, simply establishing
the needs for training will not solve
the problem of worker supply and
demand imbalance. Effective planning
and cooperative action is required be-tween
employers, staffs of training-facilities,
educational institutions, and
other agencies to help provide an
ample supply of workers for occupa-tions
in which the demand exceeds the
supply.
It also indicates the need for pro-moting
a greater interest on the part
of high school graduates and other in-dividuals
in continuing their education
and training for jobs in these needed
occupational fields.
It is hoped that employers can be
encouraged to anticipate their em-ployment
needs and to train as many
of their own workers as possible. More
assistance might be provided em-ployers
in devising training for
occupations requiring short training-periods
such as nurse aides, orderly-attendants,
and ward clerks. Present
training programs should be evaluated
or re-evaluated in light of present
job requirements. On-the-job training-should
be expanded and promoted to
include occupations for which trained
woi-kers are needed, thereby accomp-lishing
much to reduce shortages in
such occupations as medical secre-taries,
medical-record technicians, etc.
Possibly more- extension courses could
be instituted for currently employed
individuals in the hospital and medi-care
fields, with employers participat-ing
in these training programs by
offering incentives to those who re-spond
to this plan.
No U.l. Coverage
Relatively few medical and medi-care
workers employed in North Caro-lina
are covered by the unemployment
insurance program. Therefore, em-ployment
figures were not available
from this source for establishing a
universe and generally results were
not expanded to take into account non-surveyed
users. It was not feasible to
contact all medical and health service
establishments during the survey due
to the large number of small units
with few employees. Indications are,
however, that the survey coverage is
adequate since census data for total
employment in North Carolina medical
and health services was about 47,000
in 1960, while the total employment in
surveyed establishments during the
first quarter of 1963 was about 39,650,
with about 23,800 being in surveyed
occupations. Thus, approximately five-sixths
of the employment was actually
included.
Once again, a manpower survey,
this time in the medical service pro-fessions,
has indicated that ample job
opportunity will be available for
those who qualify, and education is
the best insurance against unemploy-ment.
ESC QUARTERLY
THE BUSINESS
DEVELOPMENT
CORPORATION
OF NORTH CAROLINA
. . . FINANCING TARHEEL
BUSINESS AND INDUSTRY
H. POWELL JENKINS
Executive Vice President, BDC of North Carolina
The first state development credit
corporation was established in the
State of Maine in 1949 and started
operations in 1950—13 years ago.
Since that time, similar corporations
have been established and are operat-ing
in all of the New England States
and in New York, New^Jersey, North
Carolina, Maryland, South Carolina,
Kentucky, Virginia, Mississippi, Ar-kansas,
Florida, and several other
southern and mid-western states. The
interest in these corporations has
been increasingly active and a large
number of other states have either
passed legislation or it is pending or
being considered. These are privately
owned and privately financed cor-porations.
We have been told by
quite a number of prominent banking
and government officials that North
Carolina has the best of these cor-porations,
and it seems the word has
gotten around for over the past sev-eral
years we have received inquiries
about the Corporation from banking
and state government officials in
perhaps half the states of the Union
and many foreign countries. In addi-tion,
the Raleigh office has been
visited by groups of state government
and bank officials from a number of
states in the Union and from 18 to
20 foreign countries.
Unless Refused
In 1955 it was determined that
North Carolina had every attraction
for industry, except long-term financ-ing,
which is needed in many cases
for the establishment of new industry,
the expansion of existing industry,
and the bringing in of industry from
other parts of the country, particul-arly
small industry. For this reason
the Business Development Corpora-tion
was created. This would supple-ment
the many existing attractions,
including natural resources, location,
climate, power, transportation, and
adequate labor. The need was beyond
the conventional lending available
through existing financial institu-tions,
and in fact, the BDC cannot
make any loan unless it has been
refused by at least one bank or other
financial institution. While the Cor-poration
is strictly a private institu-tion,
it works very closely with the
several departments of State govern-ment
and cooperation is excellent.
The Corporation was created under
the provisions of Chapter 1146 of the
Session Laws of 1955, as subsequently
amended, for the purpose of promot-ing,
stimulating, developing, and
advancing the business prosperity
and economic welfare of the State of
North Carolina. It encourages and
assists through loans, investments,
and other business transactions in
the location of new business and in-dustry
in this State, rehabilitates and
assists existing business and industry,
which tends to promote the business
development and maintain the eco-nomic
stability of our State. It coope-rates
and acts in conjunction with
other organizations, public and pri-vate,
in the promotion and advance-ment
of industrial and agricultural
developments in this State. It is a
business organization and all finan-cial
assistance rendered is on a basis
that full repayment with interest is
expected.
The Board of Directors of the Cor-poration
consists of 21 members. All
are prominent and outstanding busi-ness
and professional men of our State
and give generously of their time
in directing the affairs of the Cor-poration.
Two-thirds of the directors
are elected by the members and one-third
by the stockholders. Annually,
the directors elect an Executive
Committee, which is representative of
the Board, a Loan Committee con-sisting
of men well qualified for that
purpose, officers and General Counsel.
$11 Million Available
The Corporation has an authorized
capitalization of $1 million, all of
which has been paid in cash by more
than 1800 stockholders. Stockholders
and members of the Corporation at
their annual meeting on February 4,
1963, amended the Charter to increase
the authorized capital stock to $2
million. In addition, banks, insurance
companies, building, savings and loan
associations and other financial in-stitutions
may become members of
the Corporation, and in so doing agree
to lend to the Corporation, on call on
a pro rata basis, funds that are small
compared to the individual institution
but collectively they create a large
reservoir of funds. At present, the
funds available from our financial in-stitution
members total $7,186,500.
Also, to supplement the funds avail-able
from our members, the Corpora-tion
has obtained $2,500,000 in loans
from the Small Business Administra-tion
under Section 501 of the Small
Business Investment Act of 1958. At
present, these three sources of funds,
together with reserves, make more
than $11 million available to the
Corporation. The funds available to
the Corporation have constantly been
on an increase since its beginning,
and plans have been made which we
hope will result in a further sub-stantial
increase during 1963.
Since the Corporation started ope-rations
in April, 1956, its volume of
activities has been far greater during
this period than many of those par-ticipating
in its establishment an-ticipated
when the Corporation was
being organized. As an example, it
was originally contemplated that the
volume of the company would even-tually
reach $10 or $11 million in
total resources. BDC has already
(Continued)
ESC QUARTERLY
reached those proportions. It has dur-ing
this period (up to March 31,
1963) approved 193 loans totaling
$27,028,665, including $2,971,887 of
participations by other financial in-stitutions
in several of the individual
loans. The largest loan approved thus
far is for $600,000 and the smallest is
$2,000.
Of the total amount of the Cor-poration's
approvals, 67 percent has
been to assist in the financing of the
construction of new or the expansion
of existing plant facilities; 24 per-cent
for acquisition of machinery and
equipment; six percent for working
capital; and three percent for debt
repayment. Loans approved were to
assist in creating 20,550 jobs and in
maintaining existing employment of
13,081; total, 33,631. In addition, it
is estimated that five indirect jobs
are created for each full-time em-ployee
(totaling more than 160 thou-sand).
Loans totaling more than $16
million have already been disbursed,
maintaining this job ratio of em-ployment.
Others will be disbursed
as plan construction is completed.
In addition to contributing to em-ployment
in 1962, these plants pur-chased
products from 10,672 farmers;
17,803 farmers received benefits from
operations of the plants; and, $32,-
443,611 of North Carolina farm prod-ucts
were purchased. It should be
noted that the latter figures are
based upon cases where loans have
been actually disbursed and do not
include the undisbursed commitments
or those in which members of our
staff have assisted in obtaining loans
from other sources. Further improve-ments
in operations by the same com-panies
and those for which present
loan commitments will be disbursed
within the next few months are ex-pected
as follows for 1963: Number
of farmers from whom products will
be purchased, 14,617; total number
of farmers to receive benefits from
the plants, 23,013; and, $45,805,472
of North Carolina products to be
purcha sed.
Looking At The Map
Loans have been made from Mur-phy
to the seacoast and to many
types of business and industry, new
companies moving in or establishing
branch operations in the State, some
newly created companies within the
State, and others that have been long
established in North Carolina. Each
W. F. FANCOURT CO., GREENSBORO, INDUSTRIAL CHEMICALS SEABROOK BLANCHING CORP., EDENTON, PEANUTS
HAMMARLUND MGR. CO., MARS HILL, ELECTRONICS KOHLER AND CAMPBELL CORP., GRANITE FALLS, PIANOS
ESC QUARTERLY
of these loans have resulted in an
increase in employment and an ex-pansion
of production.
Looking at the map on our office
wall in Raleigh, a visitor finds that
BDC has made many useful and in-teresting
loans. Among the purposes
are: financing facilities for the manu-facture
of electronics in all three sec-tions
of our State, eastern, piedmont,
and western, with large employment;
a p : ckle plant which at the height
of last season had nearly 600 em-ployees,
of which well over one-third
of them are employed the year round,
and a company which contracts for
thousands of acres of cucumbers
from farmers in its area; a straw-berry
plant to process great quanti-ties
of North Carolina's luscious
strawberries; a peanut blanching and
processing plant unlike any other in
the country which processed approxi-mately
10,000 acres of North Caro-lina
peanuts in 1962; several poultry
processing plants with annual pro-duction
capacity in excess of 60
million birds a year located in the
eastern, p: edmont, and western sec-tions
of the State and having more
than 2,000 employees with additional
benefits to hundreds of farmers and
others; many textile plants from
Murphy to the seacoast; manufactur-ing
almost every type of wearing
apparel; a ceramic tile plant, which
is the only one within several states,
which produces an excellent quality
of tile; furniture and woodworking;
metals; shoe manufacturing; several
grain storage and grain manufactur-ing
facilities; industrial paper; and,
industrial and medicinal gases.
All of these projects employ large
numbers of people, thus aiding in
the economic improvement of our
great State.
More Than Just S'tting Back
On occasion, BDC has been criti-cized
because it has had no losses in
its loans thus far with a suggestion
that perhaps the Corporation has
been too conservative in its lending
policies. There is much more to the
operations of the Corporation than
the processing of loan applications
and the disbursing of loans (which
require a complete analysis and un-derstanding
of each case), and then
just sitting back while the repay-ments
roll in. It is doubtful that any
lending institution has ever had a
loan where a loss was expected at the
time the loan was made. Therefore,
it is obvious that much happens after
a loan is approved. The servicing of
our loans after disbursement requires
a great deal more attention from our
staff than the processing and disburs-ing
of new loans. We are continuously
aware that if BDC suffers a loss from
a loan, then the borrower suffers a
much greater loss. Therefore, much
of our time and effort is given to
counseling borrowers in an effort to
see that the loan accomplishes at
least the purpose intended in the first
place. We believe our efforts have
resulted in the successful operations
of some of our borrowers who other-wise
might have had rather tough
going. As an example, we quote a
few words in a letter from one of
our borrowers, who after thanking
us again for our help financially and
our opinions and advice, stated that
"you have truly taken a firm headed
for bankruptcy and made it possible
for us to swiftly get back on the
road to recovery." Today, that busi-ness
has very successful operation
and employs about 300 people.
Of course, the BDC office in Ra-le1'
gh is very busy trying to determine
which proposals are sound and which
are unsound and further, those bor-rowers
with only an idea they wish
to try at someone else's expense. For
instance, there have been those who
wanted 100% financing for a patent
of a machine, although the market
is already flooded with similar ma-chines
already manufactured in this
State by existing companies. But,
Officers
JOHN P. STEDMAN Chairman of the Board
R. A. BIGGERS President
H. POWELL JENKINS Executive President
W. B. PIPKIN Vice President
CHARLES C. CAMERON Treasurer
FRANK A. CELLA Assistant Treasurer
WILSON F. YARBOROUGH Secretary
DORLESE W. COOPER Assistant Secretary
General Counsel
POYNER, GERAGHTY, HARTSFIELD AND TOWNSEND
Attorneys at Law
JENKINS
the applicant thinks he can produce
better at a lesser cost. And, there
was an applicant who wanted a loan
to finance an almost patented gadget
which was so secret that he would
not discuss the gadget even with us.
These, of course, were declined.
There are no legal restrictions as
to the size or terms of loans to be
made by the Corporation, but the
applications are determined by poli-cies
of the Board of Directors and by
actions of our Loan Committee.
There are no fixed yardsticks in con-sidering
loan applications, but each
case is considered entirely on its in-dividual
merit. However, the financ-ing
must be on a sound basis from
the standpoint of the local area as
well as our Business Development
Corporation because it would be a
disservice to the community and all
concerned to assist in financ ;ng an
unsound proposition. The Enabling
Act, under which the Corporation was
organized, and the Corporation's
Charter, are very broad and flexible.
Much is left to the policies of our
Board of Directors and Executive
Committee and the actions by our
Loan Committee.
Management Counseling
Another activity of the Corporation
is that of business management coun-seling
in which our staff in Raleigh
has been of considerable assistance
to business management in cases
where loans were not obtained from
our Corporation as well as in cases
where loans have been made.
The Corporation has a printed form
for filing applications for financial
assistance. It asks the kind of ques-tions
and requests the sort of infor-mation
that any lending inst : tution
should. The forms may be obtained
from the office in Raleigh. Generally,
it is very helpful for the prospective
loan applicant to discuss his plan with
the officers of the Corporation before
preparing the application form as it
assists in a more expeditious pro-
(See CORPORATION, Page 44)
ESC QUARTERLY
BRICK CAPITOL
OF THE NATION
GILBERT A. MELAND, BRICK & TILE SERVICE, INC., GREENSBORO, N. C.
North Carolina holds the position
as the number one brickmaker in the
nation, according to State Con-servation
and Development Depart-ment
Director Robert L. Stallings, Jr.
Figures just released for 1962 show
that a total of 688 million bricks were
produced in North Carolina during
that year, accounting for 10 percent of
the 6.8 billion bricks produced na-tionally.
This represents a gain of
6% percent over the preceding year
for the North Carolina clay industry
and a whopping 47 percent increase
over that of 10 years ago.
Ten years ago North Carolina stood
in fourth place in the nation as a
brick manufacturer. The climb to the
number one spot is a perfect example
of how our State's natural resources
can be turned into jobs and income for
North Carolinians. It is estimated that
the State's brick industry adds about
50 million dollars each year to its
economy.
Why this phenomenal growth and
consumption here in North Carolina?
First, the State is blessed with an
abundance of very good brick clays
and shales. According to industry en-gineers
all recognized specifications
for brick establish 3,000 pounds as a
minimum strength for the top grade.
Recent tests indicate that the aver-age
strength of North Carolina brick
to resist crushing is over 11,000
pounds, an excellent testimonial to the
quality of raw material available.
Perhaps equally important is the
fact that local brick manufacturers
have sufficient confidence in their
product and their future to create
facilities necessary to make the prod-uct
available in quantity and quality.
This is evidenced by the fact that
North Carolina has the largest con-centration
of modern tunnel kilns in
the Nation. The tunnel kiln is a prod-uct
of years of technical know-how
and is the most modern, most efficient
method of producing brick today.
Each tunnel kiln can produce from
30 to 75 thousand units daily.
Brick production today is a far
cry from what it was just a few years
ago. A visit to a typical plant reveals
how raw clays are blended into proper
proportions, extruded and cut to
proper size by automatic machinery,
loaded on kiln cars, dried and burned
to some 2,000 degrees Fahrenheit, and
cooled—all within a matter of 72
hours. Bricks are then packaged to
facilitate automatic loading and un-loading
of literally thousands of
bricks in a truckload.
Where and when are these bricks
used? One has only to drive through
modern residential subdivisions, to
observe the North Carolina landscape
being dotted with new, modern in-dustrial
buildings, to see our educa-tional
facilities being expanded, to
see the shopping centers, to observe
the many churches under construction.
The answer is obvious.
Also, it is not unusual to see older
residential buildings or older churches
being given a brand new look by ap-plication
of brick on the exterior as
a remodeling material. Not to be for-gotten
is the engineer's role in the
use of brick. In cases where the pub-lic
cannot actually see the use of
brick such as sanitation facilities,
utilities or structural system areas
where bricks are being used for its
strength in addition to its aesthetic
qualities.
The brick industry is keenly cogni-zant
of the fact that it must have
skilled craftsmen to put their product
in the wall and to insure that North
Carolina will always have an adequate
supply of brickmasons to handle this
tremendous output of brick. Conse-quently,
industry officials cooperate
with the State Department of Public
Instruction, Division of Trade and
Industrial Education, the Construc-tion
Apprentice Council of the Asso-ciated
General Contractors, and the
North Carolina Department of Labor
Division of Apprenticeship and Train-ing.
Young men with an aptitude for
bricklaying are encouraged and given
opportunities to pursue this trade and
become journeymen bricklayers in this
rewarding field.
While North Carolina is the brick
capital of the Nation, the existing
production facilities are capable of
higher production, and the brick in-dustry
intends to do just that!
10 ESC QUARTERLY
Because of the modern economical methods used in the pro-duction
of brick, the "in-the-wall" cost of brick in North Caro-lina
is as low, if not the lowest, as any place in the U. S
Brick in combination with steel rods (reinforced brick masonry)
was the suitable structural material selected by the engineer
in the design of this 80-foot diameter waste treatment plant
'blessed by an
abundance of
natural clay
and shale/7
When all brick construction is used in structures such as this
magnificent Hones Hosiery plant in Winston-Salem,, the local economy also gains because of the local material and labor used
Brick is used abundantly in home construction. Whether the
'ZV J* ,s ?on*em mon P°'<»Y. traditional, or modern, the one com! denominator is brick in varying designs and patterns.
When this street was widened, the use of reinforced brick
allowed the engineers to have an attractive brick finish retaining
wall that would harmonize with the residential neighborhood.
Brick placed on sand without mortar is not limited to the back- yard patio. Here the architect incorporated the same popular concept in a large terrace of an elementary school building
ESC QUARTERLY 11
wmmm
hhee quality of North Carolina clay
and shale is excellent for the manu-facture
of brick and clay products.
Producing approximately 10 percent
of the nation's brick supply, Tar Heel
manufacturers use shale for about 95
percent of their products, and often
blend shale with surface clay. This
material is trucked from its deposit
site to the plant where it is crushed
in primary and secondary crushers,
then screened through heated, 10-
mesh wire screens. The subsequent,
finely textured material is conveyed
to pub mills where water is added
and the material is thoroughly mixed.
^A vacuum is applied, extjAcfh
the raw materiaf|^ll|i|m
sjSggj^ij^s&s
In tlfoWatmqgi^
ed at gradually i ;g ten
K tuges- up |6 2Q04",di^ti|^M__
.,-'*' This is the- .process- whl^^ffffl^^
, --^ brick- ihj^jNstrotfg, '-and Ji'reproofciggf
'
•j^s^SMK^^uie~*z"is ; maintain^
gradually cooled as Uieyl *om#--fcom
the. kiln. When jeoflded, 4he£ are a
finished .product, . ready for delivery
12
M -3*3
ESC QUARTERLY
BOREN OFFERS OYER 600 COMBINATIONS
BY J. KENNETH THOMAS
"In 16 short years, from nothing
but a vacant lot to an industrial com-plex
stretching across Piedmont North
Carolina into South Carolina; ship-ping-
brick into 16 states; providing a
living for over 400 families; and
making eastern U. S. A. beautiful
and fireproof," is the exciting story
of Boren Clay Products, located at
Pleasant Garden just south of Greens-boro.
The amazing growth of this com-pany
came as another chapter in the
story of "North Carolina, the Brick
Capital of the Nation," a leadership
primarily due to a lucky break plus
Tar Heel initiative, according to Orton
A. Boren, President of Boren Clay
Products and its brick making affili-ates.
The luck, says the brick and tile
manufacturer, comes from the fact
that nature heavily endowed the
State with high-grade materials for
making quality clay products. Since
Tar Heels traditionally make the
most of their lot, they have capitalized
on these clays and shales to the
fullest. The availability of these raw
materials combined with the energy
and genius of Tar Heel brickmakers
has made them members of the num-ber
one brick manufacturing state in
the nation, with Boren and its sub-s
; diaries being1 the leading supplier of
brick in North Carolina. The organi-zation
h^s a capacity close to ?00 mil-lion
brick equivalents annually.
The present Boren group resulted
from consolidation with Kendrick
Brick and Tile of Charlotte and Mon-roe
in 1961, and the prior acqu; sition
of Broad River Brick Company, Gaff-ney,
South Carolina, in 1960. Another
Boren affiliate is the Rockingham
Block and Ready Mix Company in
Spray, N. C.
Architects and engineers have his-torically
favored "materials indigen-ous
to the region," especially when
such local building materials offer
advantages such as high quality at a
bargain. Tar Heel designers are said
to lead the nation in developing new
and ingenious ways to do things bet-ter
with brick. Who else, for example,
would have conce ; ved the very popu-lar
reinforced brick masonry swim-ming
pools?
Boren, like other Tar Heel manu-facturers,
has from its beginning con-curred
with the desire to provide a
variety of brick and clay products for
use by architects and engineers, en-joying
a reputation as "custom brick
makers" with over 600 combinations
varying according to size, shape, color,
and texture desired. Boren's hand-made
brick, manufactured much as
it was in the old days and noted for
its natural beauty, adds grace and
charm to many of the most beautiful
buildings on the Eastern Seaboard.
Boren also pioneered in the develop-ment
of factory-produced special
shapes made to exacting specifications,
recognizing early the need to facilitate
the work of architects and brick-masons.
In addition to supplying brick needs
of the State and the eastern portion
of the United States, Boren and its
subsidiaries have heavily emphasized
community affairs and service. Boren
employees are active in a w: de variety
of church and civic functions.
Every 42'/i minutes, 1000 brick emerge from the exit of one of the two modern tunnel
kilns shown above. During their 36-hour trip through the kilns, green brick were fired
as carefully as a cook bakes a cake to emerge with that true beauty that comes only
from brick. Many combinations of size, color, shape and texture are produced here.
'
;' ;
# rp
^Wir
^L: -.
w&z ^... jm| jjj'^^ ' A
Shown above is one of the many machines that enable Boren to
provide a variety of shapes, styles, and colors in modern face brick.
The Company enjoys the reputation as a "customer brick maker."
It produces hand made brick, much as it was in the old days.
Native North Carolina materials are the key to beautiful Boren
brick. A front end loader blends Chatham County shale with Guilford
County shale to produce a distinctively North Carolina product.
Modern material handling equipment greatly facilitates operations.
ESC QUARTERLY 13
A 200 ACRE PURCHASE CONTAINED VAST AMOUNTS OF CLAY AND SHALE
From The Hanford Brick Company, Burlington, N. C.
Hanford Brick Company of Bur-lington
is a direct result of the ma-chine
age. Ed R. Hanford, Sr., and
brother J. W. Hanford were partners
in road and bridge construction
utilizing real horse power and drag
pans. But in 1927 it became evident
that 150 mules and many laborers
could not compete with powerful
earthmoving machinery which was
being developed.
When machinery moved in the de-mand
for mule power ceased.
Intending to retire their livestock,
the Hanford brothers purchased 200
acres of land several miles south of
the small community of Burlington.
They soon discovered that this 200
acres contained a vast amount of
shale and clays usually associated
with brick manufacture. With this
knowledge, and having a readily avail-able
supply of fuel from the timber
which covered much of their newly
acquired acreage, the Hanford
brothers purchased a non-operating
brick plant in Liberty, N. C. One-hundred
and fifty mules and a caravan
of wagons transported the disassembl-ed
plant to its present location in
Burlington in one day, a phenomenal
feat in those days and it was the
subject of discussion from local folks
for many weeks thereafter.
The spring of 1928 found the new
brick plant in full operation. Bricks
were manufactured from March
through September because the soft
bricks were air dried under open
sheds and freezing weather would not
permit year 'round production. Bricks
were fired by burning cord wood. To
cook one updraft type kiln containing
180,000 bricks required 100 cords of
wood. The total annual capacity of
the plant was then about 2.5 million
bricks.
Since then all the original equip-ment
has succumbed to the march of
progress. We continually search for
the best equipment obtainable to
manufacture brick. In 1930 the type
of brick available was number one
common. Price was $8.00 per thou-sand.
Delivery was by wagon and
there were 12 employees.
In 1931, two round-type kilns were
constructed, allowing brick to be
fired more uniformly throughout the
kiln and eliminating the soft salmon
brick which were always present in
the corners of the up-draft type kilns.
These new kilns were fired by coal,
another step toward a controllable
temperature which gave a more uni-formly
burned brick.
In the years that followed many
advances were made in brick manu-facture.
Hand loading gave way to
automatic loading with a winch type
loader, the first of its type to be used
in this area. Also of major importance
was the elimination of the old open
air drying sheds and the installation
of a new drying kiln which utilized
waste heat from the firing kilns. This
allowed brick to dry more quickly,
thereby tripling the total production
of the plant. The new vacuum de-airing
pugging process was added
which permitted the use of clays that
heretofore had not been used. Addi-tional
round kilns were constructed
to take care of the increased produc-tion.
These improvements permitted
brick manufacturing to continue
through 12 months instead of during
the warm months of the year.
By 1938 we were manufacturing
four types of bricks. The price per
thousand was $12.00. Delivery was in
small trucks, production seven mil-lion
bricks, and employees numbered
20.
In 1939, Hanford Brick Company
became incorporated and Edwin R.
and Edward R. Hanford, Jr., became
officers of the Corporation. These men
are the twin sons of the founder and
head the manufacturing team today.
During the war years, production
was curtailed.
Foreseeing the growth of North
Carolina's economy, plant manage-ment
in 1945 began replacing equip-ment,
expanding facilities, and con-centrating
on an intense program of
research in the field of better burn-ing
methods. Much time, hard work
and money was spent in an effort to
burn brick with the powdered coal
process. In theory, the idea was ex-cellent
but proved to be untenable in
practice. Although the idea was
dropped, the effort by the Company
proved again its forward thinking and
readiness to adopt new procedures.
In rapid succession, new experiments
in firing brick led Hanford Brick
Company to initiate the most drastic
experiments in the southeastern part
of the United States in the method of
firing brick. A coal shortage forced
the experiment to use fuel oil to fire
brick. This proved to be most success-ful.
The process shortened the firing
period, increased production, and
eliminated the many problems con-nected
with the use of coal.
Further experiments revealed a
revolutionary system of loading and
unloading brick from round kilns us-ing
a fork lift. This new machine
could load and unload the kiln at the
rate of 100,000 bricks per day. Pre-viously,
the job had required 11 men.
In 1952 Piedmont North Carolina
received its first natural gas line.
Again Hanford management took the
opportunity to better the brick burn-ing
process and remodeled its kilns
for natural gas firing, an experiment
which proved to be the most success-ful
method to date.
By 1952, Hanford Brick Company
manufactured four kinds of brick. De-livery
was being made by medium
trucks. Production was 10,000,000
bricks each year and we employed 30
people.
Nineteen-fifty-five marked the be-ginning
of another major expansion
program that to date has not lost its
momentum. Prior to his death in 1957,
E. R. Hanford, Sr., sanctioned his
company's ambition to move forward.
Foreseeing the greatest industrial
expansion that has taken place in
this country's history and with a
firm faith in the economy of North
Carolina, Hanford undertook its
greatest expansion program. From the
clay pits to brick storage yards, all
processes of the Company were mod-ernized
with the latest equipment
available, including many exclusive
improvements.
Today, from what was originally
200 acres of grazing and timber land,
there exists a modern tunnel-kilns
brick plant adjacent to the city limits
of Burlington and Graham. Hanford
Brick Company, Inc., is eagerly look-ing
forward to serving and growing
with the heart of Piedmont North
Carolina. We extend an invitation to
visitors to see our modern step-by-step
manufacturing process of brick,
the oldest man-made building product
known to man.
We produce more than 300 colors
and textures of brick today. Price per
thousand is $42.00. Delivery is made
in large pack hauler trucks. Produc-tion
capacity is 35,000,000 bricks
each year and we employ 75 people.
14 ESC QUARTERLY
The Moland-Drysdale Corporation
FACE BRICK -:- COMMON BRICK
North Carolina has just recently re-ceived
official recognition from the
U. S. Department of Commerce of its
status as the "Brick Capital of the
Nation." Western North Carolina has
made a substantial contribution to
North Carolina's outstanding record
in attaining this high level of produc-tion
of brick, putting Ohio into second
place. And in western North Carolina,
the Moland-Drysdale Corporation,
and brick are synonomous, and you
cannot talk brick without associating
it with the Moland-Drysdale Corpora-tion.
This Company was organized in
1923 by Bruce Drysdale who is still
the President of the Corporation. He
was formerly advertising manager of
John Lucas and Company, paint
manufacturers of Philadelphia, and
while on a business trip to western
North Carolina prior to 1923 fell in
love with the beautiful country and
foresaw a tremendous potential for
the clays of the area.
The first plant was established at
Etowah, North Carolina, with the
purchase of approximately 300 acres
of land. Many of the area's industrial
plants were built of brick made at
this Etowah operation. One example
is the large American Enka Corpora-tion
plant at Enka, N. C.
The Etowah operations included
11 round, down-draft kilns. These
kilns were operated until 1955.
In 1943, Drysdale bought the old
Fletcher Brick Company at Fletcher,
N. C, and operated round, down-draft
kilns at this location until 1951, at
which time the first modern tunnel
kiln was built for the Fletcher opera-tions.
The second tunnel kiln was con-structed
at the Fletcher Company in
1953 and the third tunnel kiln in
1955. At this time the Etowah opera-tions
were discontinued.
The decision to discontinue the
Etowah operations and to concen-trate
on the Fletcher operations was
based on three important factors: (1)
the availability of natural gas as a
firing fuel; (2) the close proximity
to a major highway, and (3) the
close proximity to a railroad. High-way
25, which is a major north-south
artery, and the railroad are directly
in front of the plant.
The fourth tunnel kiln was con-structed
in 1961. This gave the
Fletcher operations a capacity of 40
million bricks each year.
The Moland-Drysdale Corporation,
through its Fletcher operations, manu-facturers
approximately 25 different
shades and textures of brick. These
brick are shipped over the entire east-ern
part of the United States from
Massachusetts to Florida and from
Michigan to Louisiana.
There are approximately 100 em-ployees
in all the operations of the
Moland-Drysdale Corporation. It has
an annual payroll of approximately
$400,000. The manufacturing plant
(Fletcher operations) is located on
approximately 300 acres of land which
bears both buff and red clays.
The Moland-Drysdale Corporation
was one of the first companies to make
light-colored brick in the South. Over
the years the proportion of light-colored
brick to red brick has in-creased
until at the present time about
60 percent of the production of the
Fletcher plant is light-colored brick
and about 40 percent is red brick.
An ultra-modern office building in
Hendersonville houses the offices of
the M o 1 a n d-Drysdale Corporation.
In this office is a complete display of
the products made at its Fletcher op-walls
of the office are constructed of
brick of various kinds to give an
authentic "in-the-wall" sales appeal
to prospective customers.
Since the offices of the Moland-
Drysdale Corporation are located in
a highly popular resort area, there
are a large number of visitors annual-ly
from all parts of the country. Visi-tors
are not only well impressed with
the beauties and opportunities of
western North Carolina, but they also
become well aware that the Moland-
Drysdale Corporation plays a vital
role in the economy of this region
and will continue to play this role in
the years to come.
ESC QUARTERLY 15
MANUFACTURERS OF S H A L_E FA_CE AND C O t
big WKgaai i i-S"
INCORPORATED IN
19 9
Cunningham Brick Company was
founded in 1909 by two brothers, J. H.
Cunningham and C. D. Cunningham,
and their brother-in-law, W. H. Os-born,
all of Greensboro. The plant was
originally located in Greensboro, but
because of an insufficient supply of
suitable clay and shale in that area
the plant relocated at its present site,
about six miles southwest of Thomas-ville
in Davidson County. There an
abundant supply of pre-Cambrian
shale was found which, when blended
with local clay, forms the ideal ma-terial
for the manufacture of varied
colors and textured brick.
In 1925, the entire plant burned,
causing an estimated $100,000 loss to
buildings and equipment. Within a
year the firm had rebuilt and was
making brick from an entirely new
plant, costing in excess of $150,000.
After the loss from fire, the Company
decided that it should never take the
risk of another disaster from fire. The
new plant was constructed without a
single piece of wood or other type of
flammable material, and to this day
th ; s has continued to be the policy of
the Company in all its construction.
Prior to 1953, brick, were burned
in what was known as periodic or
"beehive" kilns. Approximately 75,000
unburned bricks were "set" in these
kilns, and using coal for fuel, were
hand-fired for about five days. Another
four or five days were required for
the brick to become cool enough for
handling.
Today the method of burning has
been entirely revolutionized. Brick,
ire burned by the most modern method
known to the industry. The tunnel
kiln process, which is automatic and
COM P/\NV
uses natural gas as a fuel, produces
a much better brick, more uniform in
size and color than heretofore pos-sible.
Cunningham Brick Company manu-factures
a wide variety of face brick
in size, texture and color. Although
most of their bricks are sold through-out
North Carolina, a great many are
shipped to such places as New York
City, Boston, Philadelphia, Washing-ton,
etc.
Sales offices are located in Greens-boro,
Winston-Salem, Salisbury and
at the home office in Thomasville. Of-ficers
of the Company are J. H. Cun-ningham,
founder and President;
R. M. Middleton, Vice-President and
General Manager; and Conald Beck,
Secretary and Treasurer.
Since the disasterous fire in 1925
which destroyed the plant, Cunning-ham
Brick Company has taken its
place in the economy of North Caro-lina.
Management of the company is
proud of its association in an industry
which has earned its number one rank-ing
in the United States.
ISENHOUR BRICK COMPANY LISTS
MANY FIRSTS IN 67-YEAR HISTORY
Isenhour Brick Company of Salis-bury
was established in 1896 by G. W.
Isenhour. At the turn of the century,
his four sons became active in the
industry. C. W. Isenhour remained
in Salisbury to manage the local
p] ant. In 1919 Lewis C. Isenhour es-tablished
Sa^ford Br; ck Company at
Sanford, N. C, and it is now one of
the largest brick companies in the
nation. G. M. and Rufus Isenhour
establishes! Yadkin Brick Company
around 1951.
Th°se plants are now being operated
by third generation Isenhours.
The Isenhour plants have been first
in many facets of the br^ck industry
in North Carolina. Around 1900 when
all plants in the State made brick
only during the summer months, the
Isenhour plant put in the first dryer
to permit all year 'round operations.
Around 1916, Yadkin Brick Com-pany
at New London, N. C, produced
the first face brick in the State. The
Company was the first in the State
to use round, periodic kilns to fire
coal instead of wood.
In 1937, Isenhour Brick Company,
Salisbury, built the first continuous
car tunnel kiln for the production of
brick in the Southeast.
In 1942, a new and improved type
of dryer-kiln combination was de-veloped
that made all other types of
continuous kilns obsolete. This type
of kiln is now in use all across the
country.
In 1949, Isenhour Brick Company
sponsored the organization of Taylor
Clay Products, a plant to make buff,
white, grey brick and tile in the State
by using refined fire clays from dis-tant
points and utilizing some of the
high grade minerals of North Caro-lina.
The combined production of Isen-hour
Brick Company and Taylor C^y
Products is approximately 80 million
bricks per year. These products are
marketed in all sections of the East
from Boston to Tampa, Florida.
Both plants employ approximately
200 persons, and the company con-tinues
to seek new and more efficient
manufacturing methods.
16
MODERN ASSEMBLY AT ISENHOUR
ESC QUARTERLY
HYDRAULIC LOADING FACILITATES DELIVERY
Pine Hall—- "The Mark Of Enduring Quality"
From The Pine Hall Brick & Tile Co., Winston-Salem, N. C.
With over half a century of experi-ence
in the field, the fine Hall brick
and Pipe Company supplies brick and
related clay products tor many types
of structures. From small beginnings
to the Company's present location on
Shorefair Drive in Winston-Salem,
Pine Hall Brick and Pipe Company
has continued to seek better ways of
serving customers with better pro-ducts.
Located in Pine Hall community a
few miles from Winston-Salem, plant
number one has fourteen round kilns
in operation daily. Plant number two,
a few miles north of plant number
one, produces vitrified clay pipe in a
variety of sizes. At the third plant,
near Madison, N. C, huge tunnel
kilns are in operation day and night,
producing brick around the clock. Pine
Hall's total production is over 650 tons
of clay products a day.
The Company's facilities at the
three manufacturing plants include
both round kilns and tunnel kilns.
The largest of these is the 365-foot
tunnel kiln with a capacity of 80,000
bricks a day. It was the first of its
size in the South. As the soft brick
travel through the kiln, they are
burned at temperatures exceeding
2,000 degrees Fahrenheit. This is the
process tnat makes brick hard, strong,
and fireproof.
North Carolina's wealth of natural
resources include large deposits of
fine clay and shale necessary for the
manufacture of brick and other clay
products, and Pine Hall's prospectors
locate these deposits after testing
various possible areas. When a min-ing
site has been selected, it is first
loosened by dynamite, and then shovel
and trucking crews go into action in
excavating and transporting the raw
material to the plants.
When a prospector takes samples
of clay and shale, samples are then
tested in Pine Hall's laboratory for
shrinkage, water absorption, strength,
and other characteristics. Keeping in
mind that the quality of basic raw
materials is essential for the quality
of the finished product, the research
department helps make certain that
the clay and shale to be mined will
be up to constant high standards. The
superior quality of Pine Hall products
is the result of combining top-grade
ingredients and flexible production
facilities with the skill and experience
of production employees and the tech-nical
know-how of our ceramic en-gineers.
Constant testing of products
by independent testing laboratories
further assures that all standards for
quality are regularly met.
Only brick combines so many quali-ties
into a single building material.
North Carolinians benefit as tax
payers and citizens because brick helps
make buildings attractive, permanent,
safer and more economical to main-tain.
Brick also offers the homeowner
a better investment through quality
construction that will remain sturdy
and attractive for generations.
This view shows the mining operation. Huge power shovels dig into
the deposits and fill the fleet of trucks which transport the clay and
shale to Pine Hall's manufacturing plants near by. Soil is previously
tested by company lab technicians for shrinkage, wager absorption,
strength and other characteristics suitable for brick manufacture.
From the blending mill, brick raw material is sent to the extruder
to be pressed out through a forming die. From this continual priable
column taut wires, shown at top of photo, cut the material into
bricks. Bricks then travel through kilns which bakes them hard,
strong and fireproof. In the ki'lns temperatures exceed 2000 F.
New electrically heated screens sift and sort the clay and shale in
Pine Hall's plant near Madison, N. C. Clay and shale are carefully
mixed and blended. The Company's two other plants are located
in the Winston-Salem area. Total production is over 650 tons
of clay products a day and kilns are in operation day and night.
A conveyor belt system speeds the newly formed brick to the work-ing
area where Pine Hall employees load them on rail cars for
movement to the kilns for burning. The largest kiln is a 365-foot
tunnel with a capacity of 80,000 bricks a day, the first of its size
in the South. Pine Hall facilities include both round and tunnel kilns.
ESC QUARTERLY 17
Clay pipe in use is not often seen,
as brick is, but is nonetheless impor-tant
to all of us. Imagine a city with-out
its clay "life lines." Underneath
lawns and streets Pine Hall vitrified
clay pipe works day and night to
keep communities clean and sanitary.
Because of its strength and durability,
vitrified clay pipe meets the exacting
specifications of all building codes and
public health authorities. Pine Hall
clay products include clay flue liners.
clay wall coping, drain pipe, well
pipe, flashing block, flue thimbles, clay
stove pipe, fire brick, and fire clay.
From Stanly Shale,
100,000 Bricks Daily
Bricks by the millions, by the hun-dreds
of millions, come streaming
from kilns all over North Carolina
each year. Nothing can beat the per-manent
qualities and beauty of brick,
and North Carolinians have discovered
this fact in a big way, from Murphy
to Manteo, as brick constructs homes,
factories, schools, churches, and even
fallout shelters.
With many designs and textures to
choose from and with a variety of
colors available, contractors and archi-tects
from all over the State have
specified brick in their designs and
construction. The result is that North
Carolina is now producing more bricks
than any other state in the Union.
Located almost in the center of the
brick capital is Stanly Shale Products
of Norwood. With two tunnel kilns
spouting out over 100,000 bricks daily,
this plant supplies many in-State
builders as well as to builders up and
down the Eastern Seaboard. Original-ly
built in 1920, the Company had sev-eral
owners before it was purchased
by Sanford Brick and Tile Company
of Sanford in 1949. At that time, with
60 men on the payroll and a daily
production of about 25,000 bricks, a
new expansion program was started.
Today, production is up to 100,000
bricks each day with only about 30
men on the payroll. This makes Stanly
Shale Products one of the most mod-ern
and efficient brick-making con-cerns
in the State.
The company is an "at-home" in-dustry,
having little or no importing
to do outside the State. Raw material
used is the abundant shale found on
the hillside behind the plant. The
finished product is a brick, clean, uni-form,
and durable, which has and will
continue to make vital contributions
to the growth and well-being of the
people of North Carolina.
PLANT AND FACILITIES OF STATESVILLE BRICK COMPANY, STATESVILLE, N. C.
Statesville Company Recounts Many
Changes In Brick Industry Since 1900
J. E. Rankin, Vice President
Looking back over more than 55
years of service to the building trade
is synonymous with the progress that
has taken place in the manufacturing
and distribution of brick at States-ville
Brick Company, as well as most
other brick manufacturers of North
Carolina.
During a good part of the early
1900's, machine-made brick were
made almost exclusively of clay ex-truded
and cut with an end cutter,
dried in open air sheds and fired in
what was considered at that time very
modern round down draft kilns. These
kilns, in the up-to-date plants of that
time, were replacing the old rectangu-lar
wood fired kiln that was com-pletely
rebuilt at each firing. The
outer walls, as well as the inside,
were made of unfired brick. Shortly
after the round down draft kiln came
the development of the waste heat
dryer, which made brick manufac-turing
year 'round business, plus
contributing a great deal to more
economical production.
About 1910, the side cutter had
been developed but the end cutter
was most generally used until the
1920's. De-airing was developed on the
brick machine in the early thirties to
help make a more mechanically per-fect
brick. Whereas, formerly most
plants made smooth common and
smooth select brick, more now started
making textured face brick as well.
Then in the late 1940's, as car tun-nel
kilns became perfected, a dryer
was developed which made it practical
to set brick from the brick machine
directly on the kiln cars and without
rehandling, first dry then fire them
on the same cars. This eliminated one
costly handling of the brick.
Along with the tunnel kiln in the
early 1950's came a trend to improve
the quality of brick by using two or
more clays and/or shales with sup-plementary
properties. Textured face
brick had increased tremendously per-centage
wise over the smooth common
brick and development of colors for
textured brick gave the consumer a
wide range of colors and textures to
select from; consequently, resulting
in the possibility of having several
blocks of houses made of brick with
each of them different, either in color,
texture or size.
After the war, with the tremendous
scarcity of building materials, the
concrete block was developed. This
product has made great inroads into
what had formerly been a common
brick market for commercial con-struction
and foundation market for
residential construction. E. R. Ran-kin,
president of Statesville Brick
Company, saw a great need for de-veloping
a large ceramic unit with
the good qualities of brick, and a
cheaper in-the-wall cost, that brick
manufacturers could use to compete
18 ESC QUARTERLY
and regain the lost back-up and par-tition
wall market.
We began experimenting in the
late 1940's with materials and meth-ods
of forming in an effort to arrive
at something to fill the gap. This
project was later taken over by Brick
and Tile Service and the work was
transferred to North Carolina State
College Engineering Experiment Sta-tion.
After several years of work it
was finally given up as it did not
appear practical, due to some of the
phases of processing.
Statesville Brick Company was
determined that a large hollow, light-weight
facing unit could be made,
and financed another project at North
Carolina State Engineering Experi-ment
Station. After several years of
disappointments, a breakthrough
finally came and it was then decided
to build a pilot plant and experiment
with full size machinery and kiln.
Proving the experiments carried on
in the laboratory on a full size scale
was successful, and work was begun
on designing a plant to manufacture
these units, which we call "Bricbloe."
After a lot of thought, discussion and
drafting, we came up with what we
though best suitable in the way of
machinery, dryer, kiln and layout to
do the job.
When the plant was finished and
in production there was not a hitch
in the process, and the first "Bricbloe"
produced were of excellent quality.
After the "Bricbloe" were in produc-tion,
some qualities showed up that
it was desirable to improve upon.
These improvements were made
through the cooperation of laboratory
and plant. Laboratory work still con-tinues
on investigations of possible
new raw materials, the development
of colors, etc.
To get a comparative figure of the
benefit of automation of today, our
production in the early years was
110,000 brick per week with 20 men
on the payroll, as compared with our
present production of 1,070,000 brick
per week with only 60 men.
Not only has a revolution taken
place in the manufacture of brick,
but also in their delivery. We, as
other small plants, in 1907 and for
a number of years thereafter, de-livered
brick in Statesville with
teams of mules and wagons. Several
of the larger plants of those days
were shipping brick over the state
by rail where there were no local
plants to serve the need.
In the early twenties, Fontaine
came out with a truck mounted body
that would handle 1,000 brick on a
pallet, and this was a great improve-ment.
All excess production above
local needs was then shipped by rail
until the mid thirties with the advent
(See STATESVILLE, Page 46)
ESC SURVEYS BRICK INDUSTRY WAGES
By Lonnie Dill, Bureau of Employment Security Research
North Carolina's expanding econ-omy
has provided a greatly increased
market for one of the State's smaller
industries. During 1962, the State's
brick production surpassed that of
Ohio to become the largest brick man-ufacturer
in the Nation.
The brick industry is not new in
North Carolina. Early settlers and
their slaves were employed in the in-dustry.
Nor has the basic process of
producing brick been changed for
thousands of years. Increased produc-tion
in North Carolina as well as in
other sections of the country has been
brought about by improved equipment
used by the industry.
Bricks have a low value-to-weight
ratio and are therefore seldom pro-duced
more than 200 miles from the
site where they are to be used. The
increased demand for brick in fac-tories,
office buildings, retail stores
and homes has provided the expanded
market for which North Carolina
brick manufacturing firms are pro-ducing
today.
Recently the Bureau of Employment
Security Research was requested to
conduct a wage survey for selected oc-cupations
in the industry. The request
came from one of the larger brick
companies and when completed, the
survey revealed that brick manufac-turing
firms are located in almost a
quarter of North Carolina's 100 coun-ties.
Only the Tidewater section of
the State is not represented. Most of
the brick manufacturing firms in
North Carolina employ fewer than 50
workers and brick makers in the State
seldom employ more than 100 persons.
The establishments selected to be
covered in the study included all North
Carolina firms employing 20 or more
workers who were primarily engaged
in the manufacture of brick and struc-tural
clay tile as defined in the 1957
edition of the Standard Industrial
Classification Manual. Only one firm
meeting these requirements declined
to cooperate in the survey. Another
firm paid wages so similar to those
(See WAGE SURVEY, Page 46)
BRICK AND STRUCTURAL CLAY TILE INDUSTRY
OCCUPATION WAGE SURVEY
February, 1963
br^
b
««rt
m
,t
ntS
f
inCl
?
de
i
d ln
.
M
hlS™ rVey Sre Primarily engaged in manufacturing
J f-jIaIstructural clay tile. The sample was limited to manufacturing firms
identified by Standard Industrial Classification Code Number 3251
Statewide Total Surveyed Coverage-Per Cent
Establishments 34 Establishments 29 Employment Establishments 85.3 2,109 Employment 1,970 Employment 93.4
STATE SUMMARY OF STRAIGHT-TIME HOURLY PAY RATES
FOR EXPERIENCED WORKERS
,
Number Most Prevalent Wage Average of Maximum
Job Title w °l ^ ate JtHn^" M<>st Preval- Wage Rate
7= Workers From To_ ent Wage Paid
Clay Grinder
Kiln Drawer (Periodic Kiln)
Kiln Fireman (Periodic Kiln)
Kiln Fireman (Tunnel Kiln)
Kiln Placer (Tunnel Kiln)
Kiln Setter (Periodic Kiln)
Kiln Unloader (Tunnel Kiln)
Maintenance Man,
General Utility
Offbearer
Pugmill Man
Hand Trucker
Power Trucker (Forklift)
, Training rates and premium payments for overtime, holidays.'Thift differentials an/'al,,! bonuses are excluded. Incentive earnings and cost-of-living bonuses are included
j^b
S
occu
e
r
V
s
a rangeS averaees al'e weighted in terms of the number of firms in which the
STRAIGHT-TIME HOURLY PAY RATES FOR SELECTED ENTRY JOBS
87 $1.10 $1.64 $1.31 $2.00
89 1.15 1.55 1.29 1.64
36 1.15 1.64 1.34 1.64
159 1.20 1.80 1.38 2.20
121 1.15 1.60 1.31 2.20
66 1.25 1.90 1.45 2.17
312 1.15 2.00 1.41 2.19
126 1.15 2.22 1.55 2.95
245 1.10 2.04 1.39 2.51
58 1.15 2.00 1.40 2.00
57 1.00 2.17 1.25 2.17
90 1.10 1.69 1.32 2.00
Job Title
Clay Grinder (Trainee) $ .90
Kiln Fireman, Tunnel Kiln
(Trainee) 1.00
Maintenance Man (Trainee) 1.00
Offbearer (Trainee) .90
Pugmill Man (Trainee) 1.00
Most Prevalent Wage Rate
From To
$1.33
1.45
1.36
1.28
1.29
Average of Most
Prevalent Wage Rate
$1.14
1.20
1.20
1.15
1.17
ESC QUARTERLY 19
NORTH CAROLINA BRICK AND STRUCTURAL CLAY TILE MANUFACTURES
Taken from Employer's Quarterly Reports
ALAMANCE COUNTY
Hanford Brick Co Burlington
CHATHAM COUNTY
Pine Hall-Pomona Corp Gulf
Sanford Brick Corp • • ^n[t
Cherokee Brick Co Moncure
CLEVELAND COUNTY
C T. Bennett Kings Mountain
Costic Brick Co KinSs Mountain
CUMBERLAND COUNTY
Ideal Brick Co., Inc Linden
DAVIDSON COUNTY
Cunningham Brick Co Thomasville
DUHHAM COUNTY
Triangle Brick Co., Inc Durham
Borden Brick Tile Co Durham
FORSYTH COUNTY
Piedmont Brick Co Winston-Salem
GASTON COUNTY
Kendrick Brick & Tile ... Mt. Holly
GUILFORD COUNTY
Borden Clay Products Co Pleasant Garden
Pine Hall-Pomona Corp Greensboro
HALIFAX COUNTY
Nash Brick Co., Inc Rocky Mount
HARNETT COUNTY
Norwood Brick Co Lillington
J. A. Senter Brick Co Lillington
HENDERSON COUNTY
The Fletcher Brick Co Hendersonville
LEE COUNTY
Borden Brick Tile Co Sanford
Lee Brick Tile Co., Inc Sanford
Sanford Brick Corp Colon
MECKLENBURG COUNTY
Kendrick Brick & Tile Co. . Charlotte
MONTGOMERY COUNTY
Mt. Gilead Brick Co Mt. Gilead
ROCKINGHAM COUNTY
Webster Brick Co., Inc Roanoke Va.
Pine Hall-Pomona Corp Madison
ROWAN COUNTY
Isenhour Brick & Tile Salisbury
Taylor Clay Prod. Co " Salisbury
SAMPSON COUNTY
Sampson Brick Co., Inc Roseboro
Patterson Brick Co Roseboro
STANLY COUNTY
Yadkin Brick Yards, Inc New London
Sanford Brick Corp Norwood
STOKES COUNTY
Pine Hall-Pomona Crop Walnut Cove
UNION COUNTY
Kendrick Brick Tile Co. . .
Monroe
WAKE COUNTY
Cherokee Brick Co., Inc Raleigh
WAYNE COUNTY
Borden Brick Tile Co Goldsboro
NORTH CAROLINA CONCRETE AND BLOCK PRODUCTS MANUFACTURERS
Taken from Employer's Quarterly Reports
ALAMANCE COUNTY
King Brick & Pipe Co Burlington
ANSON COUNTY
Harwards Block & Tile Wadesboro
BRUNSWICK COUNTY
Centry Corporation Southport
BUNCOMBE COUNTY
Concrete Products Co Asheville
Asheville Concrete Mat Asheville
CABARRUS COUNTY
Triece Concrete Co. Inc Kannapolis
CALDWELL COUNTY
Caldwell Cinder Block Hudson
CARTERET COUNTY
Morehead Block Tile Co Morehead City
CATAWBA COUNTY
Catawba Dunbrik Co. Inc Hickory
Austin Setzer Block Co Newton
CLEVELAND COUNTY
Shelby Concrete Prod Shelby
Fred J. Wright & Son Kings Mountain
COLUMBUS COUNTY
Grainger Block Co., Inc Tabor City
CRAVEN COUNTY
Stevenson Brick Co., Inc New Bern
CUMBERLAND COUNTY
Cape Fear Concrete Prod < Fayetteville
Fay Block Co Fayetteville
Cape Fear Block Co. Inc Fayetteville
DAVIDSON COUNTY
Craver Building Block . . .... Lexington
DUPLIN COUNTY
Carolina Millwork Warsaw
DURHAM COUNTY
Carolina Block Co Durham
H. O. Concrete Block Co Durham
Adams Concrete Prdt Durham
EDGECOMBE COUNTY
Tarboro Concrete Bldg Tarboro
Southern Concrete Prod Rocky Mount
Car. Concr. Block Works Rocky Mount
Superior Concrete Wks Tarboro
FORSYTH COUNTY
Leonards Brick & Cone Winston-Salem
Motsingers Block Plant Winston-Salem
Dixie Concrete Product Winston-Salem
GASTON COUNTY
Concrete Products Cherryville
Dixon Block Co., Inc Belmont
GUILFORD COUNTY
Car. Quality Block Co Greensboro
Structural Concr. Prod Greensboro
HALIFAX COUNTY
Thompson Concr. Prod Roanoke Rapids
HAYWOOD COUNTY
Canton Block & Pipe Co Canton
HENDERSON COUNTY
Gilbert Concrete Prdts. .
Hendersonville
HYDE COUNTY
Jarvis Concrete Prod Engelhard
IREDELL COUNTY
Moose Concrete Product Statesville
Ostwalt Norwalk Vault J/ "-?,"
Superior Masonry Co Statesville
JOHNSTON COUNTY
Dixie Block Co - .___; LENOIR COUNTY
Smith Concrete Pdts „„,„,,, MACON COUNTY
W. A. Hays Franklin
MARTIN COUNTY
Robersonville
Four Oaks
. . .Kinston
Robersonville Ice
• -^KLENBURG COUNTY
Charlotte Block, Inc Char otte
Superior Block Co Inc
Char otte Autry Concrete Prdts. ..._ ^^ ....Charlotte
Lynches Concrete B^^^ -^^
Dixie Concrete Prod w! Ston Quality Concrete P^
p^<fc^<***** ^'"
"^ EHzabeth City Brick .-^^ C0UNTY • **«** °*
Asheboro Concrete Prod
isheboro
Autoclave Block Corp^.^.^^.^^ -Asheboro
Rockingham Blk. & Ready R .S Reidsville Block ft Con. ^^.
„ . r,„ Salisbury
Johnson Concrete Co. . . -^Ly- COUNTy
_ .. . -o, „v Albemarle
Southeastern Block guRRY C0UNTY
Dixie Concrete Product Mount Airy
Surry Concrete Product VANCE C(HJNTY
Greystone Concrete Prod.^ -^^ •; Henderson
Adams Concrete Product pSeieh
Standard Concr. Prodt. Oo^- ^^ **«*
Maymead Block Co., Inc. .„^^ Boone
Byrds Block & Tile Co N. Wilkesboro
Standard Concrete Prod. •
•
WILSON COUNTY
Linstone, Inc .„„-•, YADKIN COUNTY
White Bros. Block & Bid Jonesville
N. Wilkesboro
Wilson
20 ESC QUARTERLY
Bates Wins
Election
As" 64 IAPES
President
North Carolina's new president of
the State IAPES chapter can relish
his office with the sweet taste of vic-tory
that comes after defeat. When
Edson Bates won the highest office
in the International Association of
Personnel in Employment Security's
local chapter at the group's annual
convention in Winston-Salem, the
honor came one year after he lost
the same election by a mere handful
of votes at the IAPES meeting in
Ealeigh. Old time IAPES members
recall the '62 election as "one of the
closest."
But the 1963 election went for
Bates, and the 44-year-old Supervisor
of Industrial Services for the Em-ployment
Security Commission has
taken over leadership of one of the
nation's most active chapters with a
membership of 700 employees of the
Employment Security Commission.
"It's my sincere hope that the chap-ter
will continue to grow both in
membership and activity," Bates com-ments,
"and will continue to be a
source of inspiration and ideas de-signed
to improve the professional
competence of the Commission's em-ployees.
"The IAPES is an organization
which provides an opportunity for
employees to meet, discuss mutual
problems and through high caliber
speakers learn methods of providing
better service in all aspects of their
work," believes the new president. "It
also provides occasions for sociali-bility.
This cannot be overlooked, but
it is not the main purpose of the
organization."
Joining Bates as new 1963 officers
of the organization are Ben Johnson,
Supervisor of Employer Relations,
eastern Vice President; Paul Fels-burg,
manager of the local ESC office
in Bryson City, western Vice Presi-dent;
and Shelby Green, ESC Busi-ness
Office, as Treasurer.
Bates is originally from Georgia,
but moved to North Carolina when
he was 16 years old. He is a graduate
of Lee Edwards High School in Ashe-ville
and attended Asheville-Biltmore
College.
A 2%-year WWII Air Force vet-eran,
he was recalled in 1950 and
served a year's active duty during
the Korean conflict.
Bates joined the Commission in
1946 as a claims taker in the Bryson
City local ESC office and remained
there until 1954, serving as supervis-ing
interviewer in charge at Murphy.
He was also assigned Veterans Em-ployment
Representative at Bryson
City. His appointment as Claims
Deputy came in October, 1954, and
Bates subsequently operated from the
Greensboro local office.
A promotion to Occupational
Analyst came one year later. In De-cember,
1956, he was promoted to his
present position as Industrial Serv-ices
Supervisor and is in charge of
21 people of that division, including
the Commission's Field Center.
Bates is no newcomer to IAPES
activities, although his term as presi-dent
marks his first elective office.
He has served as Chairman of the
group's Membership Committee, and
as Chairman of the chapter's Activi-ties
Committee. In 1962, he was the
Employment Security Commission's
central office representative to the
State IAPES and has been a member
of the International Membership
Committee. Bates has attended five
International conventions.
Being president of an organization
is not unfamiliar, either. He has
served as president of the Lion's Club
in Bryson City, as Commander of the
American Legion Post, Bryson City,
is past Chef-de-Gare of Voiture 1307
of the 40 and 8, Cherokee, and is also
past president of the couples' class
of the Hillyer Memorial Christian
Church in Raleigh where his family
is active in church affairs.
He is married to the former Buell
E. Woodard of Bryson City. Bates
and his wife now make their home
in Cary, just outside Raleigh, with
12-year-old Allen and eight-year-old
Beverly Bates.
New President Bates (seated) poses with the IAPES Executive Committee at its first meeting.
Standing from left to right are: Past President J. B. Harris of Raleigh; Doug Carter, central
office representative to the Committee; Conrad Forbes, Winston-Salem, Committeeman-at-large;
Shelby Greene, central office, IAPES Treasurer; Carolyn Harper, central office, Secre-tary;
and Paul Felsburg, Bryson City,, western Vice President. Ben Johnson of Raleigh, eastern
Vice President, was absent when the photograph was taken.
ESC QUARTERLY 21
WINSTON-SALEM HOSTS 300 IAPES MEMBERS
The North Carolina chapter of the
International Association of Person-nel
in Employment Security held its
26th annual convention at Winston-
Salem's Hotel Robert E. Lee, March
28-29, with about 300 members attend-ing
the two-day affair.
The association is composed of Em-ployment
Security Commission em-ployees
engaged in job placement, un-employment
insurance, and other ac-tivities
of the State agency. There are
about 23,000 members in the Inter-national
Association.
Marcel Guay of Montreal, Canada,
president of the international group,
discussed the affairs of the associa-tion
and described its growth through-
Kit the world. He said IAPES now has
three chapters in Asia, and one, in
Japan, has about 3,000 members.
There are also chapters in Iran and
Indonesia, he said.
Other speakers at the convention
included Dr. Frank Fuller, president
of the N. C. Personnel and Guidance
Association, and Dr. Charles F. Car-roll,
Superintendent of the State De-partment
of Public Instruction. Fuller
spoke on "The Role of High School
and College Counselors," saying that
many public school counselors are bet-ter
trained than college counselors be-cause
most colleges do not require
training of their counselors as public
schools do.
A good counselor, he said, needs in-formation
and good records and the
school counselors obtain these. Fuller
said he also believed Employment Se-curity
Commission counselors should
work closer with school counselors.
"We could cut down on the number of
dropouts (in school) if we could do
something about part-time and sum-mer
placement," he said. "The more
than one-half (of students) who don't
go on to college need your help," he
said, addressing the convention.
"School counselors aren't in the job-placement
business, and the ESC
should work with them to gain in-formation
which would help in the
placement of students."
Superintendent Carroll, who is also
a member of the President's panel of
vocational education consultants, spoke
on "Education for a Changing World
of Work." He told about the work of
the President's panel. "We have not
found a proper means for evaluating
the vocational progress in the coun-try.
This whole idea of employment
constitutes one of the greatest do-mestic
issues we have, but we can see
a ray of hope."
One of the greatest needs in the
vocational field, Carroll said, is an
increase in counseling. He also said
the panel report shows "there are few
jobs for high school dropouts." Ac-cording
to Carroll, the federal govern-ment
wants $60 million allotted for
vocational education. "This amount
is not enough for 87 million people.
The panel recommended that it be
increased to $400 million," he said.
"Unfortunately the administration
has seen fit to appropriate only a
meager amount. We've been wading
around in vocational education. It's
time we got wet," he said.
The educator told the assembled
group of ESC personnel that "voca-tional
education is just as important
as any education." He said the sec-ond
largest educational program in
the United States is that conducted
by industry, costing $12 billion an-nually
to update and train workers
already on the job. "Adults retrain
three times in their lifetime to keep
abreast of job changes," he added.
"North Carolina is 23rd in trade and
industrial education in the nation,
and third in agricultural vocational
education."
J. B. Harris of Raleigh, Supervisor
of ESC Field Representatives, and
1962 president of the State IAPES,
DR. CHARLES CARROLL
Department of Public Instruction
BATES and HARRIS
New President and Old
presided at the meeting. Mayor John
Surratt of Winston-Salem welcomed
the convention to the city.
The second-day session included the
election of 1963 officers and a panel
discussion of "Youth Services in the
Community." Gilbert Fleming of the
Winston-Salem ESC office, Koula D.
Litchos of Statesville, Jerry White of
Raleigh, Jennie Craig Watson of Gas-tonia
and Sarah S. Norwood of Ashe-ville
participated as panelists.
Claude E. Caldwell, merit system
supervisor, later talked on "Merit Sys-tem
Changes."
Duke Amerson (left) accepts the third place merit award for
William Underseth ot Jacksonville. Stella Hottman, central office,
received the second place award. Elmer Van Court of the Field
Center took tirst place tor editorship of the IAPES magazine, and
Clarence Bass ot the Field Center received honorable mention.
Meneta Proffit of North Wilkesboro, Chairman of the State
IAPES Essay Committee, presents awards to the essay contest
winners. Not pictured is the tirst place winner, Helen Caldwell
of Raleigh. Hal Jaynes. central office, (right) took second place
and Clarence Bass of the Field Center was awarded third place.
22 ESC QUARTERLY
Citizen Times Photo by Ewart Ball
Asheville Kicks off "Jobs for Youth" Campaign
Asheville city, school and industrial leaders met together
in April to kick off the 1963 "Jobs For Youth" campaign
in Buncombe County at the Asheville local office of the
Employment Security Commission. Attending were (L-R):
John McGeary, Asheville Dept. of Labor; Clarence Brantley,
ESC coordinator in Asheville; Clyde Holtsclaw, high school
principal; Robert C. Carpenter, Bank of Asheville; Ross
Ballew, Sayles Biltmore personnel manager; Harry Clarke,
executive secretary of WNC Industries; Beach Keller, Ashe-ville
ESC office; George Fridl, personnel manager of Square
D; and Charles Dermic!,, Asheville director of public works.
Brantley said that plans were made to use the ESC office
as a clearing house in channeling over 1,000 unemployed
youth and 1,400 anticipated by school's end to profitable jobs
locally and keep them from migrating out of the mountain
area. He said the effort is part of President Kennedy's youth
employment program. The ESC plans a full-time Supervisor
of Youth Services later in 1963 to work with local groups.
YOUTH EMPLOYMENT SERVICE ESTABLISHED IN CUMBERLAND COUNTY
By Jim Green, Staff Writer, Fayetteville Observer, Fayetteville, N. C.
Youth employment in the Cumber-land
County area is expected to take
a swift jump forward during the com-ing
months.
This prediction, released by the
Employment Security Commission, is
based on the recent organization of
the Youth Employment Service in
Fayetteville.
This new agency is the first of its
kind in North Carolina, and one of
the first established in this country.
The service is in answer to a youth
employment problem which President
Kennedy recently presented to the
public. Since that time, the Employ-ment
Security Commission has made
advancing efforts to solve the prob-lem.
A group of young volunteers re-cently
met at the local office in an
effort to launch the employment pro-gram.
The 12 volunteers include two
receptionists, two to take applications,
two placement members and three
teams of canvassers composed of two
per team.
Following the President's appeal,
E. E. (Pip) Reed, youth coordinator,
decided to establish the Youth Em-ployment
Service (YES) in this area.
Public response has intensified dur-ing
the past few weeks.
Jobs Offered
Both permanent and part-time jobs
are being offered in this area. S. T.
Cherry, manager of the local office,
pointed out that many jobs go vacant
that could be filled by youths in this
section.
He added, however, that there are
not enough vacancies to employ all
area youths, but there is a demand
for a number of young workers.
The jobs, both on volunteer and
paid basis, range from harvest work-ers
to life guards. Although the vol-unteer
workers receive no financial
compensation, they gain experience
which may later lead to a paid posi-tion.
This new program will offer oppor-tunities
for potential high school
dropouts and keep the idle hands oc-cupied
during the summer vacation.
The Fayetteville office, which has
been concerned with the youth prob-lem
for several years, has pointed out
that hundreds of youths and other
job seekers look for employment, then
are forced to migrate into other areas
of the state and nation.
The reason for this, Cherry ex-plains,
is that this area's economy is
affected continuously by the inward
and outward migration of displaced
individuals from the farms and in-dustrial
workers separated from their
jobs as a result of automation.
Industrial Growth
According to a report issued by the
Fayetteville office, the total industrial
growth in the Cumberland County
area has been meager, with manufac-turing
even less. Consequently, great
numbers of youths become school
dropouts, and high school and college
graduates migrate from the area after
completing their education.
Reed said federal funds may soon
be available to promote the program.
If such funds are appropriated, the
Fayetteville office would seek $15,130.
The funds would be utilized for
and within the Youth Employment
Service. Of the requested total, $2,703
would be used to provide pay for the
staff currently working on a volunteer
basis.
A total of $9,074 would be utilized
to subsidize the work-recreation seg-ment
of the program. This anticipates
two groups, composed of 15 youths
per group, being paid for accomplish-ing
four of work and two hours of
recreation under supervision each day,
five days a week, over a 13-week
period.
The remaining $2,453 would be set
aside to provide for a survey of all
youths enrolled in the local school
systems in each year from 1956
through 1962 to determine current lo-cations,
work history, work status,
and migratory habits.
Program Aims
The new program will concern it-self
with the causes of school drop-outs
and their elimination; the sum
of youths entering the labor market
annually; opportunity for employ-ment;
training youths to gain a live-lihood;
and studies and surveys to
(See YOUTH, Page 35)
ESC QUARTERLY 23
APTITUDE TESTS GIVEN HIGHWAY PATROLMEN
BY B. R. CHAMBERLAIN, JR.
Occupational Analyst, Employment Security Commission
I Purpose
"This study rvas conducted to
determine the best combination
of aptitudes and minimum scores
on the General Aptitude Test
Battery for the occupation of
VIII Conclusions
"On the basis of the results of
this study, Aptitudes . . . with
minimum scores of ... , respec-tively,
are recommended as
norms for . . . ."
So begins and ends each technical
report for each Specific Aptitude
Test Battery developed from the
Employment Security Commission's
GATB. Each step of the develop-mental
process progresses with dull,
inflexible sameness, defying deviation
from standards. Yet, each study is
unique and interesting in its prob-lems
and in the suspense contained
in the missing links of the above
Conclusions. Each study is satisfying
if results prove to be of the value
anticipated.
One such study is now in progress
to develop a test for troopers of the
North Carolina State Highway Pa-trol.
If successful, it will enable the
Employment Service to establish a
continuing program for the test-selection
of Highway Patrolmen.
While responsibility for checking ref-erences
and making the final selection
must remain with the H: ghway Pa-trol,
this preliminary service should
result in substantial reduction of
time involved in screening and some
increase in caliber of personnel hired.
Provision for uniform initial screen-ing
by the Employment Service of-fices
across the State should also
reduce the number of applicants who
make the trip to Patrol headquarters
in Raleigh only to be rejected by
screening.
Personnel of the Institute of Gov-ernment
at Chapel Hill, the Highway
Patrol, and the ESC are cooperating
to achieve these aims. A casual con-versation
between Donald Hayman,
Assistant Director of the Institute,
and Edson E. Bates, Jr., ESC's In-dustrial
Services Supervisor, initiated
plans for the project which became a
reality in February, 1963. Patrol Offi-cials
were highly receptive when
approached with the suggestion that
a test might be developed to imple-ment
their employment goals. Col.
David T. Lambert, Commanding Offi-cer
of the Highway Patrol, and mem-bers
of his staff, including Major
C. R. Williams, Lt. E. W. Jones, Lt.
C. B. Pierce, and Lt. W. S. McKinney,
have been both instrumental in mak-ing
necessary arrangements and help-ful
in providing the miscellaneous
data necessary to the success of the
project.
Valid, Reliable Results
As in all test development projects,
it is necessary to collect a wide variety
of information to obtain valid, reliable
results. Aptitude test scores, some
measurement of actual proficiency on
the job, and an analysis of the aptitu-dinal
factors involved in the work
comprise the information necessary
to develop a specific aptitude test
battery. In addition, personal data
such as age, education, and experience
of the subjects, the test administra-tor's
notes pertaining to persons
having difficulty with mechanics of
taking the test, and miscellaneous in-formation,
including methods used in
selecting persons for the job, must
be collected to check the reliability
and validity of test and criterion
scores.
CHAMBERLAIN
The General Aptitude Test Battery,
on which this test will be based, is
composed of eight paper and pencil
tests and four apparatus tests which
combine to form nine aptitudinal
areas—general learning ability, ver-bal
aptitude, numerical aptitude, spa-tial
perception, form perception,
clerical perception, motor coordina-tion,
finger dexterity, and manual
dexterity. This Battery, evolved
through painstaking processes of
elimination by test psychologists of
the United States Department of La-bor,
Bureau of Employment Security,
represents the nine discrete aptitudes
found to be required by various occu-pations.
A suitable occasion for ad-ministering
this test to patrolmen
was found during their February,
March, and April refresher training
sessions held at the Institute of Gov-ernment.
Assistant Institute Director Elmer
O. Eddinger, who is responsible for
the training, selected the time for
testing five groups of about 60 patrol-men
each. These arrangements com-bined
the advantages of mass testing
without disrupting Patrol activities
and of reducing the effect of chance
factors by obtaining a large sample.
Some measurement of job profici-ency,
such as production records,
piecework earnings, or supervisory
ratings, must be obtained as a cri-terion
with which to evaluate the
significance of test results. In this
case, supervisory ratings were chosen
as the most reliable measure of the
patrolman's job performance. A stan-dard
rating scale, developed by the
Bureau of Employment Security, was
reviewed with Col. Lambert, Lt.
Jones, and Lt. McKinney to ensure
the suitability of each question for
rating the work involved. Division
sergeants will rate the personnel be-cause
first line supervisors would
logically know best the ability of each
of his subordinates. Questions were
carefully designed to rate the men
only on factors controlled primarily
by aptitudes. While personality traits,
cooperativeness, and other non-apti-tudinal
characteristics of an individ-ual
are important, they are of no
value for comparison with aptitude
test scores and are therefore excluded
from the rating form.
Checking and Cross Checking
Aptitudinal analysis of the job
plays a vital but primarily negative
role in the development of a test.
Industrial Services Supervisor Edson
Bates, and Tom J. Bumgarner and
Carl B. Harrelson, Jr., Occupational
Analysts of the Employment Security
Commission, studied the duties of
Highway Patrolmen to determine
which of the nine aptitudes were in-volved
in the work. Working inde-pendently
and without knowledge of
24 ESC QUARTERLY
test or criterion results, each decided
which aptitudes were totally irrele-vant
to job performance and which
were strongly involved, or important,
in one or more frequently recurring
tasks. These decisions were based on
knowledge of aptitudes measured by
the tests and experienced judgment
in reducing tasks to aptitudinal com-ponents.
Checking and cross-checking the
data collected for the Highway Patrol
study embraces at once the most
tedious, the most seemingly time-wasting,
the most frustrating, and
yet the most vitally important step
in developing an SATB. To justify
faith in end results, one must deter-mine
how much trust may be placed
in the pertinence and accuracy of each
bit of data used. In so far as practical,
any variables in testing conditions,
factors which may bias results, evi-dence
of invalid data, and data ba^ed
on subjective judgments are scruti-nized,
tested, and cross-checked care-fully
to prevent contamination of
final results. The computations are
tedious, time seems wasted when re-sults
bear out a preconceived opinion,
and flaws found in the data can be
frustrating. But these tests, based on
the GATB, are accorded national
recognition for excellence because of
the rigid requirements for caution in
the standardized procedure for vali-dating
the tests against job perform-ance.
Sum Of Two Judgments
Ensuring the value of test scores
has already begun. The test admin-istrator's
statements concerning ap-parent
nervousness, lack of motiva-tion,
or similar problems result in
discarding any test scores not be-lieved
to be an accurate measurement
of the individual's aptitudes. Factors
which may affect the scores of groups
of individuals are checked by com-paring
mean scores and standard de-viations
on each aptitude for those
affected against those not affected.
Variables of this kind in this project
include using different forms of the
test, testing morning and night ses-sions,
and including persons having
had less than a normal amount of
sleep the previous night. While time
of testing and test form used are not
expected to produce significantly dif-ferent
results, there was considerable
reason to question the scores of per-sons
who had had only two to five
hours of sleep and were tested either
before or after a day of classroom
training. It is, I believe, a tribute to
the morale and self-discipline of the
North Carolina State Highway Patrol
Troopers that there was no signifi-cant
difference between scores of
those who were relatively well rested
and those who were not.
Occupational Analyst Charles Love (standing
class ot patrolmen at the Institute of Govern
Love observes the work of patrolmen D. M.
officers were given the tests and test results
A strongly subjective element is
necessarily involved in supervisory
ratings. Standard procedures require
the rater to evaluate each man twice
at intervals of two to four weeks.
This procedure permits correlation of
the two sets of ratings to test the
consistency of the rater's opinion,
and, since the ratings usually corre-late,
the sum of two judgments is
considered more accurate than either
judgment alone. In the rare cases
when ratings do not correlate signifi-cantly,
both sets may be used sep-arately
in comparison with test data.
A further check is made by correlat-ing
age, education, and experience
with the ratings. Significant correla-tions
here may indicate that raters
are subconsciously influenced by these
factors, or that these factors are in-fluencing
job performance.
Since aptitudes are not influenced
by age, education, or experience with-in
the range of the tested group, it is
, right) explains the test procedure to a
ment in Chapel Hill. In the bottom photo
Hinton (left) and L. S. Hoist. Almost 200
are now being correlated by ESC analysts.
important to eliminate this influence
from the ratings. This may be done
by adjusting the top or bottom limits
of the range as necessary to exclude
all but a homogeneous remaining
sample or, under certain conditions,
by statistical treatment of the cri-terion.
The final step in maximizing the
validity of data to be used is com-bining
the aptitudinal judgment of
three analysts. Only those aptitudes
so designated by a majority of the
analysts are considered either impor-tant
or irrelevant for test develop-ment
purposes.
After all data has been carefully
checked and accepted for use, the
mean, the standard deviation, and
the correlation of criterion scores
with aptitude scores are computed.
Within the group of nine aptitudes,
both the three or four having the
highest mean scores and up to four
(Continued)
ESC QUARTERLY 25
aptitudes having the lowest standard
deviations are considered statistically
important, provided, in the latter
case, that each is significantly below
the known standards deviation for
the entire population. Any aptitude
designated irrelevant by aptitudinal
analysis is eliminated from further
consideration at this point. Of the re-maining
aptitudes, any which corre-late
significantly with the criterion
are used as trial norms. Those neither
eliminated nor already selected as a
trial norm are checked as to relative-ly
high mean, relatively and signifi-cantly
low standard deviation, and
analytical importance. Since each of
these three factors indicates some de-gree
of relationship between the
aptitude and the group tested or the
job they perform, any aptitude to
which two of the three factors apply
is also used as a trial norm.
Criterion Split
The entire sample of Highway Pa-trolmen
must be divided into two
groups according to their ratings.
This is called the criterion split.
Those having the lowest ratings are
designated "poor workers" and norm-ally
comprise about one-third of the
total sample. In this study the overall
proficiency of the troopers will result
in a lower proportion designated as
the "poor worker" or low criterion
group. The remainder are considered
the "good worker" or high criterion
group.
Each aptitude selected for trial
norms is checked, singly and in com-bination
with others, against the cri-terion
split for selective efficiency.
The mean minus the standard devia-tion
rounded to the nearest multiple
of five is used as a central cutting
score for each selected aptitude. Four
additional potential cutting scores
are established by adding and sub-tracting
five and ten points respec-tively
to each central cutting score.
The number of persons in the high
or low criterion groups who fail to
exceed each potential cutting score
for each aptitude is tallied. Many of
the combinations of aptitudes and
cutting scores can be eliminated from
further consideration at this point on
the basis of excessive cutting or ex-tremely
poor selectivity.
Remaining aptitude and cutting
score combinations are tried in pairs,
the best several of which are selected
as basic pairs. This process is re-peated,
adding all remaining aptitude
and cutting score combinations, to
form three aptitude and then four
aptitude combinations with specific
cutting scores for each aptitude.
Usually a substantial number of three
and four aptitude combinations have
a markedly higher selective efficiency
than any others, and only these are
(See TROOPER, Page 46)
At award ceremonies at the Caswell Building in Raleigh ESC Supervisor of Evaluation and
Training Irma Johnson receives her 30-year certificate and pen from ESC Chairman
Henry E. Kendall. About 20 department heads and fellow old timers gathered in the
Chairman's office to see the presentation and give Miss Johnson their congratulations.
Supervisor of Evaluation and Training First
Commission Employee To Attain 30 Years' Service
The first employee with the State
Employment Security Commission to
complete 30 years' service with the
agency was honored earlier this year
as ESC Chairman Henry E. Kendall
presented service pin and certificate
to Supervisor of Evaluation and
Training, Irma Johnson.
A graduate of Duke University
with a BA degree, Miss Johnson be-gan
work with the State Department
of Labor in 1933. When the General
Assembly created a free employment
service under this agency, she re-opened
the Raleigh State employment
office, one of five in the State, in
1933. Her work began with the Na-tional
Reemployment Service.
In 1936 the Unemployment Com-pensation
Act was passed in North
Carolina and the Employment Service
Division became part of the Unem-ployment
Compensation Commission.
During this time Miss Johnson was
an, interviewer in the Raleigh local
office.
In 1941 she was transferred to the
State office as a training technician.
She stayed in this position for six
months and was subsequently pro-moted
to Training Supervisor. In
1949 all evaluation and training for
both Unemployment Insurance and
Employment Service Divisions were
combined and Miss Johnson has been
Supervisor of this joint service ever
since.
Irma says her group has trained
every interviewer who has come with
the Commission since 1950. "I can-not
estimate the number, maybe 75
interviewers every year and numer-ous
central office people."
Taking congratulations and good
natured kidding from fellow old
timers in the Chairman's office, Irma
said she'll be around for many more
years with the ESC.
. . . AND THIS YEAR WILL SEE
OTHER 30 YEAR EMPLOYEES
Irma Johnson was the first em-ployee
of the ESC to complete 30
years service with the Commission,
but by the end of 1963 there'll be
many more employees to join this
circle.
The following people are employees
who will complete, or who would have
completed 30 years service with the
Commission by the end of 1963:
Rebecca F. Boyct, Interviewer,
Greensboro; Earle W. Rrockman,
Manager, Gastonia; Lee J. Craven,
Manager, Raleigh; Simon P. Davis
(retired), Manager, Bryson City;
Lillian P. Grimes, Interviewer, Roa-noke
Rapids; Sherwood E. Hobby (re-tired),
Accounting Clerk, Central Of-fice;
Janie L. Holoman, Interviewer,
Roanoke Rapids; Irelene L. Kistler,
Interviewer, Greensboro; Anne B.
Knowles, Labor Market Analyst, Char-lotte;
Mollie A. Poag, Interviewer,
Winston-Salem; Mary E. Powell,
Stenographer, Raleigh; Henry I.
Shepherd, Area Supervisor; Margue-rite
B. Smith, Stenographer, Winston-
Salem; Mrs. J. W. Strickland (re-tired),
Raleigh; Myrtle R. Watters,
Interviewer, Durham; Floyd I. White,
Farm Placement Interviewer, Eliza-beth
City; and Carl M. Baber (de-ceased),
Manager, Mt. Airy.
26 ESC QUARTERLY
Cm jm, H \RLOTX
A Labor Market Study by Anne B. Knowles, Charlotte ESC Office
The Charlotte labor* market area
includes all of Mecklenburg County
and is located in the progressive . in-dustrial
piedmont section of the State.
It has a potential labor supply and
commuting pattern of a 30-mile ra-dius
where over half-million people
reside.
The area has experienced remark-able
growth during the past 13 years.
In 1950 its population was over
197,000 persons. In 1960 it increased
to over 272,000 and the population is
expected to pass 300,000 persons by
mid summer. The largest city in the
two Carolinas with over 200,000 peo-ple
living within its corporate limits,
Charlotte has a diversified economy
and is one of the nation's major dis-tribution
centers with home and
branch offices of many national firms
located here.
In March, 1963, the civilian labor
force of the area was estimated at
134,350, total employment, 129,350,
and total unemployment of 4,700
persons.
Non-agricultural wage and salaried
workers employed in the area total
113,725 with about 84,925, or 75 per-cent,
employed in non-manufacturing.
Trade stands out as the major em-ployer,
providing jobs for about
31,600 people or 37 percent of the
non-manufacturing total. Service is
second with 14,500, or 17 percent of
the workers. Transportation, com-munications,
and utilities is the third
largest employer with 13,025 or 15
percent of the workwers.
Favorable Diversification
The manufacturing segment em-ploys
about 28,800 persons with 6,550
or about one-fourth of this number
employed in textile mill products (in-cluding
hosiery). New industries
coming into the area have favorably
broadened Charlotte's diversification
of manufacturing operations which
has naturally resulted in a decreasing
importance of the textile field. Second
in number employed is food and kin-dred
products with 4,075 workers fol-lowed
by chemicals with 2,850, which
is currently the fastest growing in-dustry
in the area. Although manu-facturing
accounts for only a little
more than one-fourth of the wage
and salaried workers, it is important
because all types, except tobacco, are
represented here.
Grouping self-employed and unpaid
family and domestic workers to-gether,
an estimate of 14,745 people
are employed, ranking about equal to
the number of service employees.
Farm employment is constantly
lessening because as the metropolitan
city expands the number of farms de-crease.
An estimate of 1,180 persons
are now employed on farms of the
area.
With the large number of currently
employed workers, the output of
goods and services are below the
area's capacity to produce and does
not represent the maximum purchas-ing
power.
Arrayed before us is a growing
and increasing labor force with more
and better educational opportunities
being offered young people as well
as older workers interested in up-grading
their skills. Three, four-year
colleges and two, two-year colleges
are located in Mecklenburg County.
Three business schools and an Indus-trial
Educational Center serve the
area.
Unemployment
Unemployment, estimated at 4,700
persons in March, is about 3.5 per-cent
of the labor force. Unemploy-ment
is influenced by the large num-ber
of new entrants each year of
high school and college graduates as
well as in-migration from other areas.
About 20 percent of the unemployed
are experienced clerical and sales
persons. Twenty percent of the un-employed
are skilled, 23 percent are
semi-skilled and the remainder are
classified in entry occupations, 15
percent; unskilled, 11 percent; serv-ice,
6 percent; and professional, six
percent.
This unemployment represents un-used
manpower, and new additions to
the labor force are constantly en-larging
our production and service
potential. About 2,800 students are
expected to complete high school in
ESC QUARTERLY 27
THE CUTTER BUILDING
June. Of this number about 1,500 are
expected to enter the labor force.
Other students plan to further their
education, go into the armed services,
leave the area, or in some cases girls
will get married and not seek work.
Nineteen hundred and sixty-three
promises little, if any, reduction in
the number unemployed since new
and re-entrants to the labor market
are expected to exceed new and addi-tional
job availabilities. Nor will in-dustry
be able to absorb all workers
released from their present employ-ment
by mechanization, automation,
and technological advances. The very
young, the unskilled, the semi-skilled,
and older workers may add to the
number of unemployed.
Reasons For Unemployment
Some workers are unemployed be-cause
they are untrainable due to
lack of education. Some are unem-ployed
because they want white collar
jobs and they are blue collar material.
Some workers, primarily women,
cannot work night shifts and most
manufacturing firms operate two
shifts or rotating shifts and most
stores stay open until nine or ten
p.m. which requires staggered work-ing
hours. Reflecting a down-trend
for such persons, unskilled and semi-skilled
job prospects continue to be
limited.
Likely To Remain
The Charlotte area is now classfiied
by the Department of Labor as a "C"
area, or one of moderate unemploy-ment.
For the past ten years the
area has been classified in this cate-gory
and likely will remain in this
classification in the foreseeable fu-ture.
During the past ten years more
than 34,000 persons have been added
to the area's payrolls which indicates
that employer needs for personnel
both present and future can be met.
Job opportunities are plentiful in
the area. An average of about 400 to
CELENESE CORPORATION OF AMERICA
500 jobs are listed with the local
Employment Security Commission
office at all times. With shortage oc-cupations
existing in certain profes-sional,
clerical, and skilled jobs, some
jobs go unfilled because of mis-matching
of demand and supply.
Turnover in the area is generally
low although some job-hopping is in
evidence, mainly the occupations on
the shortage list. Wage differences
appear to play an important part Jn
this.
; * ,
Average earnings in the area for
factory workers during February,
1963, were $72.50 for a work week
of 40.5 hours. An average factory
worker earned $1.79 per hour during
the month.
Potential Unlimited
The potential for the area's growth
is unlimited. Since the Korean War,
the area has experienced a construc-tion
boom. The downtown area has
had a "face-lifting." Nineteen indus-trial
parks and 23 shopping centers
have been erected in all sections of
the city. The structure of banking in
the area has changed considerably.
Several mergers have occurred and
many br-anches established to extend
customer service, making Charlotte
the financial center of the two Caro-linas.
An excellent system of first class
highways radiate in all directions
from Charlotte which provides ex-cellent
facilities for commuting.
Ninety-six motor freight terminals
and warehouses are located here
available for inter and intra-state
hauling. Air transportation plays an
important part, also. Four railroads
serve the city and four interstate
passenger bus companies run regular
schedules offering ready transporta-tion
to near and far distant parts.
Electrical power is supplied by Duke
Power Company. Available to both
residential and industrial consumers,
natural gas is supplied by the Pied-mont
Natural Gas Company. Tele-phone
service is provided by Southern
Bell Telephone Company and Western
(See CHARLOTTE, Page 46)
FORD CORPORATION CUYAHOGA PRODUCTS, INC.
28 ESC QUARTERLY
GREENSBORO
A Labor Market Study By Charles 0. Forbis, Greensboro ESC Office
HIGH POINT
The Greensboro-High Point stand-ard
metropolitan statistical area is
encompassed by the boundaries of
Guilford County, and in terms of the
1960 population, is the second largest
city in the state. With an area of
651 square miles, a population of over
246,000 persons and a labor force
approaching 123,000 workers, Guil-ford
County is truly "the pivot of
the Piedmont." Once a predominantly
textile community, Greensboro's in-dustrial
growth during the past
decade has resulted in a much greater
diversification. Prior to 1958, employ-ment
was concentrated in the manu-facturing
segment of the County.
Since that time, however, non-manu-facturing
industries have emerged as
the principal employer, accounting for
(Continued)
ESC QUARTERLY 29
FURNITURE MARK, HIGH POINT
almost 60 per cent of total non-agri-cultural
wage and salary employment.
The labor market situation com-pared
to other areas in the State and
nation is very good. Unemployment
is slightly over three per cent of the
County's civilian labor force, while
the national ratio stands at more than
six per cent. Over 3,000 firms employ
more than 120,000 workers in Guil-ford
County. Of this total, around
103,000 are non-agricultural wage
and salaried workers; almost 14,000
are self-employed, unpaid family or
domestic workers; and the remainder
are in agriculture. In 1961, wage pay-ments
to employees covered by un-employment
insurance amounted to
more than $349 million. The average
weekly wage of all covered employees
was $78.
Manufacturing, textiles, furniture,
and apparel industries dominate the
employment picture and together ac-count
for almost two-thirds of the
44,000 workers employed in the seg-ment.
Among other manufacturers are
producers of food and kindred pro-ducts,
cigarettes, chemical and allied
products, paper goods, fabricated
metals, and machinery. These smaller
groups give added diversity to the
County's economy.
Non-Factory Payrolls
The importance of the non-manu-facturing
division to the area is
brought out by the fact that of all
persons gainfully employed, 62 per-cent
(76,000) are on non-factory pay-rolls.
Among these industries, trade
and service dominate with trade ac-counting
for about 21,000 workers and
service providing employment for
some 10,000 individuals. Construction
employment averages about 7,000;
transportation, communications and
public utilities over 6,000; finance, in-surance
and real estate about 6,000;
and government almost 10,000.
While the non-farm economy was
changing, agricultural economy was
changing, also. According to the 1960
census, the number of persons work-ing
in agriculture declined by about
1,500 between 1950 and 1960. As might
be expected, there occurred only a
negligible decline in the acreage har-vested
since changing farm methods
reduced the need for workers. The
principal products in terms of acre-ages
devoted include corn, wheat, to-bacco,
and livestock grazing.
Labor Potential
One asset necessary for industrial
expansion is labor, and Guilford
County has an ample supply. This
group can be divided into two broad
categories: those persons actively
seeking work (the unemployed) and
those who would accept jobs under
favorable circumstances. Current es-timated