E.S.C. quarterly |
Previous | 50 of 63 | Next |
|
small (250x250 max)
medium (500x500 max)
Large
Extra Large
large ( > 500x500)
Full Resolution
|
This page
All
|
The E. S. C. Quarterly VOLUME 5, NO. 4 (FORMERLY UTHE U.C.C. QUARTERLY") FALL 1947 NORTH CAROLINA HAS RAW MATERIALS, WORKERS, NATURAL AND FINANCIAL RESOURCES FOR MORE, BETTER AND LARGER RURAL INDUSTRIES MACHETES, brush axes, jungle hooks, are also used for box-ing trees for naval stores, turpentine HOOKED RUG mak-ing is an important and remunerative home industry in rural areas of North Carolina PUBLISHED BY Employment Security Commission of North Carolina (Formerly "Unemployment Compensation Commission of North Carolina") __ KALtlGH, N. Q. mml uKIVlRSITYT LIBRARY PAGE 82 THE E. S C. QUARTERLY FALL, 1947 The E. S. C. Quarterly Volume 5 ; Number 4 Fall, 1947 Issued four times a year at Raleigh, N. C, by the EMPLOYMENT SECURITY COMMISSION OF NORTH CAROLINA Commissioners : Mrs. W. T. Bost, Raleigh; Judge C. E. Cowan, Morganton; C. A. Fink, Spencer; R. Dave Hall, Belmont; Marion W. Heiss, Greensboro; Dr. Harry D. Wolf, Chapel Hill. State Advisory Council: Capus M. Waynick, Raleigh, Chair-man; Willard Dowell, Raleigh; H. L. Kiser, Charlotte; Dr. Thurman D. Kitchin, Wake Forest; Robert F. Phillips, Ashe-ville; Mrs. Dillard Reynolds, Winston-Salem; Mrs. Bmil Rosenthal, Goldsboro; W. Cedric Stallings, Charlotte. HENRY E. KENDALL Chairman R. FULLER MARTIN Director Unemployment Compensation Division ERNEST C. McCRACKEN Director North Carolina State Employment Service Division M. R. DUNNAGAN Editor Informational Service Representative Cover illustrations represent typical North Carolina industries under the unemployment compensation program or related activities. Cover for Fall, 1947—Two activities representative of the numerous types of rural industries in North Carolina. Top—Hooked rug making is engaged in by members of many rural families in their homes and yards. This scene is in a home on US Routes 19-25 in Yancey County. Sold to summer visitors and by contract to retailers. Bottom — Machetes are made by Council Tool Co., Wananish, pro-ducers of several kinds of hand tools. They were used extensively in jungle operations of U. S. marines and sol-diers in World War II. Yes, that's K. Clyde Council, pres-ident, on right. These and most of the other pictures in this issue were made by John Hemmer, State News Bu-reau, Dept. of Conservation and Development. Sent free upon request to responsible individuals, agencies, organizations and libraries. Address: E. S. C. Informational Service, P. 0. Box 589, Raleigh, N. C. CONTENTS PAGE Rural Industries Committees 82 Balanced Economy Demands More Rural Industries 83 By Dr. L. D. Baver. More Rural Industries to Boost State's Income 8 4 By Paul Kelly Materials, Labor, Capital, for Rural Industries 86 By W. C. Guthrie Rural Electric Power Adds Impetus to Industry 90 By David D. Barber, Jr. Many Types of Rural Industries Now Operating _ 91 Water, Surface and Ground, Vital to Industries ._ 93 Surface, By W. H. Riley; Ground, by M. J. Mundorff. Garment Making Plants Should Increase in State 97 By Milton M. Croom. Investigations of 85,000 Claimants for Benefits 98 By Hugh M. Raper Industrial Opportunities Abundant in This State 99 By Marshall L. Shepherd Employment Increasing and Shifting in the State 102 By Silas F. Campbell Employment Service Tests Aid State's Industries 10 4 By Lois Clarke State-Community Planning Needed for Employment 106 By Ernest C. McCracken Facts on All Types of Industries for Prospects .. _107 By Philip Schwartz Industries, If Sound, Wanted by All Communities . „109 By Paul Kelly Small Firms in Small Communities Gain Rapidly 110 By Silas F. Campbell RURAL INDUSTRIES COMMITTEES Governor R. Gregg Cherry has appointed two spe-cial committees to promote and aid in the extension of rural industries in North Carolina. One is the Operating Committee of eight members, all but one located in Raleigh, and the General Committee, com-posed of 100 members throughout the State, with three or four, all railroad officials, residing outside the State. The Operating Committee consists of Dr. L. D. Baver, N. C. State College, chairman; Paul Kelly, Dept. of Conservation and Development, secretary; Dr. Clarence Poe, T. E. Browne, Dan E. Stewart, Randall B. Etheridge, Dean I. O. Schaub, State Col-lege, and T. V. Rochelle, High Point. The General Committee of 100 members includes the following: Lt. Gov. L. Y. Ballentine, Miss Ella Stephens Barrett, W. K. Beichler, William C. Book-er, J. Melville Broughton, G. W. Coggin, Miss Kath-erine Dennis, Clyde A. Dillon, Dr. J. S. Dorton, Col. A. L. Fletcher, E. Y. Floyd, Fred Greene, H. G. Isley, W. B. Logan, M. G. Mann, Gwyn H. Price, L. L. Ray, W. Kerr Scott, Dr. J. L. Stuckey, Paul S. Vecker, Dr. D. S. Weaver, all of Raleigh; George Ashford, Red Springs ; W. B. Austin, Jefferson ; John C. Baskervill, Lenoir; S. W. Black, Jr., Charlotte; Tom Bledsoe, Greensboro; Joseph H. Bryan, Greensboro; C. S. Bunn, Spring Hope; James W. Butler, Goldsboro; Harry B. Caldwell, Greensboro ; Fayette Cloud, Liles-ville; George S. Coble, Lexington; Dr. R. E. Coker, Chapel Hill; G. D. Conant, Wilmington; K. Clyde Council, Wananish; Brice T. Dickson, Gastonia; R. S. Dickson, Charlotte ; W. W. Eagles, Macclesfield ; Alonzo C. Edwards, Hookerton; B. B. Everett, Pal-myra ; James S. Ficklin, Greenville ; J. H. Fields, Wilmington ; C. A. Field, Wilmington ; E. K. Garner, Charlotte ; L. Lee Gravely, Rocky Mount ; C. D. Gray, Gastonia ; Dr. I. T. Haig, Asheville ; Robert M. Hanes, Winston-Salem ; Leo H. Harvey, Kinston ; S. T. Henry, Spruce Pine ; W. H. Herndon, Sanford ; Miss Harriet L. Herring, Chapel Hill ; George Watts Hill, Durham ; Dr. S. H. Hobbs, Jr., Chapel Hill ; Mr. Hol-brook, Statesville ; Josh L. Home, Rocky Mount ; Joe Howard, Greensboro; Gordon C. Hunter, Roxboro; J. P. Jobb, Wilmington ; Millard F. Jones, Rocky Mount ; W. L. Jones, Goldsboro ; Mose Kiser, Greens-boro ; Marshall Lake, Charlotte ; John Paul Lucas, Jr., Charlotte ; Wade Marr, Elizabeth City ; James G. K. McClure, Asheville; H. A. Morgan, Smithfield ; R. E. Nance, Lumberton ; Reeves Noland, Waynesville ; Lass Nowell, Ahoskie; Carroll Overton, Salisbury; Roy A. Palmer, Charlotte; Mayon Parker, Ahoskie; Thomas J. Pearsall, Rocky Mount; J. Hawley Poole, West End ; S. T. Proctor, Fuquay Springs ; D. Hiden Ramsey, Asheville ; R. Grady Rankin, Gastonia ; Reu-ben B. Robertson, Canton ; Carroll P. Rogers, Tryon ; Fred S. Royster, Henderson ; J. T. Ryan, High Point R. Flake Shaw, Greensboro ; Frank O. Sherrill, Char-lotte ; H. H. Singleterry, Albemarle ; Miles J. Smith, Salisbury; J. Brantley Speight, Winterville; Charles H. Stone, Charlotte ; Harry H. Straus, Pisgah Forest; (Continued on page 105) FALL, 1947 THE E. S. C. QUARTERLY PAGE 83 Balanced Economy Demands More Rural Industries By Dr. L. D. Baver, Dean, School of Agriculture and Forestry, N. C. State College, and Chairman, State Rural Industries Operating Committee The soundest economy that a state can have is a balanced industrial and agricultural life. Agricul-ture should provide the products of the soil that can be processed into articles of commerce. It should provide for the food that is consumed by its popu-lace. Industry should provide the opportunities for the employment of labor that will serve as a market for the products of the farms and for the transforma-tion of the raw materials from the soil into economic wealth. Industry, to be effective in a stable economy, should be widely scattered throughout the state and not concentrated in just a few areas. Industries may be large and small. Contrary to the opinion of many people, it is not a small number of larger industries that makes a state great. It is the distribution and strength of the smaller industries that play the sig-nificant role. True, a state cannot get along with no large industries. Likewise, it cannot make progress only with the larger ones. North Carolina is noted for its textile, furniture and tobacco industries. These three industries have added wealth and strength to the State, particularly in the Piedmont and adjacent areas. Interestingly enough, all of these industries process the products of the soil and of the forest. The soil and the forest happen to be our major natural resources. But, the industrial pattern of the State does not present a picture of maximum economic stability. At the pres-ent, most of the industrial plants are concentrated in a few cities and urban communities. For example, 95% of all the industries are located west of Raleigh. Only 5% of industrial North Carolina is in the east-ern section of the State. Ten counties with only 21 % of the population are responsible for 46% of the industrial employment. In spite of the fact that the soils of North Carolina produce a wide variety of crops that lend themselves to processing and manu-facture, only 15% of the industries of the State are engaged in activities outside the fields of textiles, tobacco and wood. As one looks into the future, he is impressed great-ly with the necessity of having more industries scat-tered throughout the rural areas of the State. This is particularly true of eastern North Carolina. The need for more industries is there. The opportuni-ties for meeting this need are there. Let us look at the employment situation in agri-culture in the future. Farm mechanization is already here. Cotton pickers are picking cotton on farms in the State now. There will be more of them. The other phases of mechanical cotton production will be put into operation rapidly throughout the State. This is the one important way that production costs can be cut down so that we can afford to grow cotton. What will this mean? Less labor required in the cotton fields. Research rapidly is solving the prob- NOTE—Dr. Baver resigned, effective January 1, to become Director of the Experiment Station of the Hawaiian Sugar Planters' Association at Honolulu. lem of mechanizing the peanut crop. What will happen when the labor requirements of peanut har-vesting are materially reduced? More labor avail-able for other purposes. There is even cause at this time for suggesting that less labor will be required in the future in the growing of the tobacco crop. All of these statements simply mean that the large num-ber of persons now on the farms of the State will not be required in the future to farm the lands of the State. What will we do with them? They must seek industrial employment someplace and that place is in the respective communities in which they are displaced from the farms. In other words, we need rural industries just to solve a sociological problem that lies ahead,—just to give employment to people that will no longer be needed to farm. But there are other reasons why we need rural industries. We need them to increase the overall per capita and per family income in the State. A state that sells the products of its soil at wholesale prices outside the State and then buys the processed goods back at retail prices is losing money. It is not the money that is paid for the production of the raw material that adds up large income figures. It is the money that goes into the wages of skilled and semi-skilled workers who process the raw material that counts. North Carolina is sending too many of its raw materials outside the State for processing for its own economic good. Let us use one glaring example—peanuts. North Carolina is second in the nation in the production of peanuts. But, where are the peanuts processed into peanut butter, peanut candies, peanut crackers and the like? In North-ampton County, the number one peanut county in the nation ? NO ! In Chicago, Cincinnati, Philadel-phia and other cities where the only contact of the Granny Donaldsen, of Marble, Cherokee County, created and makes "cow blankets'', one of the unusual products of Southern Highland handicrafts. A humane activity, but the poor cows get little benefit. The blankets are used largely as wall ornaments. PAGE 84 THE E. S. C. QUARTERLY FALL, 1947 average citizen with a peanut in the shell is at a baseball game. Last winter I went into the grocery stores of Elizabeth City, which is at the very doors of the peanut belt, to look for processed peanut products. All of the peanut candies, except an in-expensive peanut bar, and all the peanut butter came from outside the State. Even small bags of shelled peanuts offered were put up in Philadelphia. Other similar examples could be cited for other products of the soil. Similar examples could be given for the mineral resources that are so abundant in the mountain area of the State. Then we need rural industries to help us develop a balanced system of agriculture in the State. North Carolina has been primarily a one-crop type of agri-cultural State. This is especially true in the tobacco, peanut and cotton belts. Nearly everyone is agreed that what North Carolina agriculture needs most is diversification. This means livestock and poultry, fruits and vegetables. But livestock needs feed crops. Livestock and poultry producers need mar-kets for their products. Fruit and vegetable farm-ers need markets also. These requirements of agri-cultural diversification can only be met by feed mills strategically located throughout the farming areas so that the farmer can market his grain and also purchase his concentrates. There must be cold stor-age plants for both animal and horticultural prod-ucts. There must be more freezer lockers and quick-freezing plants. There must be marketing facilities for grading and packing. Now, none of these plants will require a large labor force to run them. How-ever, in their total aggregate, they will give employ- ( Continued on page 112) More Rural Industries To Boost State's Income By Paul Kelly, Assistant Director, N. C. Dept. of Conservation & Development A higher level of living is one of the most natural and worthy objectives of any community or state, and such an attainment depends, to a major extent, upon the incomes of the people. North Carolina has gained national acclaim on her progress record, in many respects, during the last several decades. However, in spite of this progress, the State has lagged in the per capita earn-ings of her citizens. Records compiled by the U. S. Department of Commerce ranked North Carolina in 42nd place in the per capita income of $316.00 in 1940, compared with the national average of $575.00. Although the per capita income for North Caro-lina for 1945 had increased to $732.00, the national average had jumped to $1,150.00, and the State drop-ped to 44th place among her sister states. By com-parison, the earnings for the average New Yorker for the same year was $1,595.00. One of the most logical means of increasing the earning capacity of the people is through the process-ing of more of our raw materials into finished man-ufactured products. Almost without exception, the most prosperous states are those where industrial-ization has progressed to the greatest degree. Greater industrialization means not only a better and a surer income for the producer, but, in addition, provides more employment opportunities and usually some profit for the developer. See Need for Local Industries For some years, the State has worked through a systematic advertising program and a vigorous fol-low- up campaign through the Division of Commerce and Industry of the Department of Conservation and Development toward inducing manufacturers to establish new plants in North Carolina. These activ-ities have been carried on in cooperation with Cham-bers of Commerce, railroads, power companies, and other civic and promotional agencies. During all this time the need has been felt for more adequate facilities for encouraging and promoting what are called home or local industries. At the same time, those concerned with the development program rec-ognized the desirability of greater diversification in industry. About the middle of 1945, Dr. Clarence Poe, editor of The Progressive Farmer, called the attention of Governor R. Gregg Cherry and a group of State leaders to the urgency of a rural industry program in North Carolina. He cited, in particular, the accom-plishments of a movement of this nature in Georgia and the fact that with increased mechanization of the farm that larger numbers of laborers would need to seek employment elsewhere as machinery continues to reduce the requirements for manual labor on the farm. In November, 1945, Governor Cherry called to-gether about 100 business, agricultural, and educa-tional leaders from all sections of the State and a number of State officials at Raleigh, in a two-day conference to discuss plans for rural industries. In calling the meeting, Governor Cherry said that North Carolina needed to expand industrially to assure full employment and a more balanced economy. Special committees were appointed and met in individual sessions. Definite plans were discussed and suggestions were submitted by the various com-mittees on forestry, crop processing, food processing, minerals, dairy products, repair services and mar-keting services. Governor Cherry then appointed a committee of nine men known as an Operating Com-mittee to assist more actively in carrying out the rural industries program in the State. A Rural In-dustries Branch was established in the Division of Commerce and Industry of the Department of Con-servation and Development. Governor's Operating Committee The General Rural Industries Committee appoint-ed by Governor Cherry includes representatives of all State agencies concerned with agricultural and FALL, 1947 THE E. S. C. QUARTERLY PAGE 85 industrial development in North Carolina, farm or-ganizations, industrial promotional agencies, public utilities, transportation companies, trade groups, and business and professional organizations working toward the development of the State. The Operat-ing Committee is made up largely of officials repre-senting the State agencies concerned chiefly with industry and agriculture and business leaders. Mem-bers of the Operating Committee are Dr. L. D. Baver, director of the Agricultural Experiment Station and Dean of the School of Agriculture and Forestry, N. C. State College, Raleigh, Chairman ; Dean I. 0. Schaub, N. C. Agricultural Extension Service, N. C. State College, Raleigh; T. E. Browne, N. C. Department of Education, Raleigh; Felix A. Grisette, director of the then N. C. State Planning Board, Raleigh ; Ran-dall B. Ethericlge, Division of Markets, N. C. Depart-ment of Agriculture, Raleigh; Dr. Clarence Poe, publisher of The Progressive Farmer, Raleigh ; T. V. Rochelle, president Globe Parlor Furniture Co., High Point; Dan E. Stewart, assistant to the Vice-Presi-dent, Carolina Power and Light Co., Raleigh; and Paul Kelly, Assistant Director of the N. C. Depart-ment of Conservation and Development, Raleigh. A series of eleven regional meetings was held throughout the State, beginning November 18 and ending December 11, for the purpose of discussing both the need and the opportunity for small indus-tries in each section of North Carolina, utilizing the products of each community as well as the surplus labor, and the available financial resources. Each meeting took in a number of neighboring counties, thereby covering every county in the State. These meetings were attended by bankers, business, civic, agricultural, industrial, and educational leaders and State officials. The type of industries and services discussed would create more jobs, increase the per capita earning power, raise the standard of living, decrease the exodus of labor from the State, utilize the available financial resources in the State, and thereby con-tribute to the stabilization of the farm population, and make North Carolina a much better balanced State from an economic standpoint. Although the term Rural Industries has no strict classification, it usually applies to small enterprises, located in rural areas, utilizing nearby resources, and developed by local interests. Local Meetings On Program Since the eleven meetings, the program has been pushed along vigorously and the first results are now in evidence. The Rural Industries Branch chose to follow what appeared to be the most logical proced-ure in prosecuting the program; and that was to determine, through its own studies and with the advice of experts in the cooperating agencies and elsewhere, various lines of manufacturing which appeared to offer the best opporunity for immediate development. These ideas have been passed along to interested potential developers and the general public. Truckloatl of vegetable shipping baskets from the plant of the Corbett Packing Co., Wilmington, near which port city is located one of the best truck growing areas in the eastern part of the State. The basic form of these suggestions is a series of briefs presenting a few logical reasons which seem to point out a demand for manufacturing plants of a certain type and proposing that interested devel-opers give mature consideration to their possibilities. To date, five of these briefs have been prepared and circulated generally throughout the State. They have also received publicity in the press and by radio. Among the new types of enterprises suggested for development in the first five briefs are food and vegetable processing, small wood-using industries, potato processing, feed manufacture, and projects related to the poultry industry. In some instances, the briefs are contributed by experts in other agen-cies. Plans are to continue the issuance of these briefs as long as logical opportunities for new indus-trial development are apparent. Another group of publications under the title of Resources-Industry Series has been initiated. These bulletins elaborate on opportunities and give some specific suggestions concerning procedure in setting up a certain type of manufacturing plant. Some of the publications in this series are prepared by the Department and others by cooperating agencies. Bulletins Give Information Three bulletins in this series have already come from the press, one on the preservative treatment of fence posts, another on the roofing manufacture, and the third on opportunities in dehydration. Two man-uscripts were furnished by cooperating agencies. The response to the publications was immediate and wide-spread. Results from the suggestion of fence post treating plants have been most pleasing. Since the issuance of the publication, six or more plants have been brought into operation, more are under construction and probably a score or more are under consideration. The Department had no previous record of the exist-ence of a plant of this nature in the State. Although the roofing industry bulletin has been off the press only a few weeks and the cost of a plant (Continued on page 114) PAGE 86 THE E. S. C. QUARTERLY FALL, 1947 Materials, Labor, Capital, For Rural Industries By W. C. Guthrie, Division of Commerce and Industry, Dept. of Conservation and Development North Carolina has a population of 3,571,623 ac-cording to the 1940 United States census. The average density of population is 68 persons per square mile. Approximately 70 percent of the popu-lation are whites and 30 percent are Negroes. The greatest portion of her people are native born, and spend most of their lives within the boundaries of the State. The State has a total area of 52,286 square miles, comprising 100 counties. There are 48,666 square miles in land area. The greatest length of the State is over 500 miles, and the greatest width is 188 miles. There are three main physiographic regions in North Carolina, namely, the Mountain Region, the Pied-mont Region, and the Coastal Plain Region, thereby presenting a wide variety of natural resources, agri-cultural and industrial development, as well as beau-tiful scenic and fine recreational opportunities. During the war years North Carolina formed plans to develop within the State new and enlarged commercial and industrial enterprises. Much thought was given to the utilization of raw materials, labor, and the available financial resources that would enable these plans to result in the actual establish-ment of such industries and enterprises. These plans are now being put into effective peacetime use, and are beginning to show tangible results in many sec-tions of the State. In 1945 the State Department of Conservation and Development announced that 387 new industries and expansions, involving an investment totalling $84,- 000,000 were recorded in the State. Some began construction in 1945, and others have been delayed due to the critical shortage of building materials. Of these, 225 were new plants located in the State in 1945 involving an investment of $47,000,000, em-ploying 16,000 workers whose annual payroll was estimated to be $21,000,000. Industrial plants num-bering 162 and already operating in the State, an-nounced plans to invest $36,000,000 for expansion purposes, thereby employing an additional 18,000 workers who would receive an additional $25,000,000 per year in wages. Heading the list in North Carolina was the textile industry followed by other industries in numerical order, such as food and kindred products, furniture and finished lumber products, stone, clay and glass products, paper and allied products, chemicals and allied products, tobacco manufacture, and other classified industries including non-ferrous metals, machinery, lumber and timber basic products, and miscellaneous industries. With the expansion of in-dustrial activity comes the expansion of small busi-ness enterprises throughout the State. (Mecklenburg County leads the other counties in the State in new industries, followed by Guilford, Wake, Durham, Gaston, Buncombe, and Alamance in that order). Special attention is being given small rural indus-tries for the purpose of utilizing the available raw materials in the various communities throughout the State, as well as the available labor supply. The banks in the State have credit resources of nearly $2,000,000,000, and are most anxious to see North Carolina expand industrially and commercially; and are making more small loans today than ever before since their establishment. Average Income Too Low There is a definite need for North Carolina to fur-ther develop rural industries in each county through-out the entire State in order to produce a better over-all economy for the State as a whole. This is shown by the following figures released in a special report of the United States Department of Commerce giving the per capita income of individuals according to states for the year 1945, the national average being $1,150.00: New York, $1,595.00; California, $1,480.00; Con-necticut, $1,449.00; Washington, $1,407.00; Dela-ware, $1,381.00; New Jersey, $1,373.00; District of Columbia, $1,361.00; Illinois, $1,360.00; Massachu-setts, $1,321.00; Rhode Island, $1,200-$1,300; Ohio, $1,200-$1,300; Michigan, $1,200-$1,300; Nevada, $1,200-$1,300; Oregon, $1,200-$1,300; Pennsylvania, $1,100-$1,200; Indiana, $1,100-$1,200; Wisconsin, $1,100-$1,200; Iowa, $1,100-$1,200; Kansas, $1,100- $1,200; Nebraska, $1,100-$1,200; North Dakota, $1,100-$1,200; Montana, $1,100-$1,200; Colorado, $1,100-$1,200; Maine, $1,000-$1,100; Vermont, $1,000-$1,100- Minnesota, $1,000-$1,100; Missouri, $1,000-$1,100; South Dakota, $1,000-$1,100; Wyom-ing, $1,000-$1,100; Utah, $1,000-$1,100; Idaho, $1,000-$1,100; Florida, $900-$l,000; New Hamp-shire, $900-$l,000; Texas, $900-$l,000; Arizona, $900-$l,000; Virginia, $900-$l,000; West Virginia, Edwards Printing office is located deep in the hills of Yancey County and does a big mail order business in all the eastern states. The presses and linotype machines are run by steam boiler power. His only help is tico children. FALL, 1947 THE E. S. C. QUARTERLY PAGE 87 $800-$900 ; Oklahoma, $800-$900 ; New Mexico, $800- $900; Tennessee, $800-$900 ; North Carolina, $700- $800; Alabama, $700-$800; Georgia, $700-$800 ; Louisiana, $700-$800 ; Kentucky, $700-$800 ; South Carolina, $600-$700; Arkansas, $600-$700; Missis-sippi, $500-$600. The average per family income for North Carolina in 1940 was $1,386.00. The average for the nation was $2,133.00. The per family income is less than the average for the State in 80 counties of the 100 in the State. The most direct means to increase the standard of living is to increase the per capita and the per family income. In 1940 the per capita farm income was $181.00. The average for the nation was $388.00. The counties that are more industrialized are the counties that have the largest per capita in-comes. Also the standard of living in these counties is higher than in counties having few or no industries. The wide difference between individual income in North Carolina and other parts of the nation can be due largely to the greater industrialization in states of the north, east, and middle west. Sections of the nation, as well as sections of the State, have the largest per capita income where there are industrial and commercial industries. Many Counties Lack Industries The North Carolina State Planning Board obtain-ed the following figures showing that the majority of all industry in North Carolina is too highly con-centrated in a few urban communities : 46.5 percent of all industrial employment is concentrated within only 10 counties. These counties contain only 21.4 percent of the total population. Only 34 counties have as many as 25 percent of total employment en-gaged in manufacturing. Sixty-six counties are thus under-industrialized. Only 37.7 percent of all in-dustrial employment is in these 66 counties. In these 66 counties, industrial employment accounts for only 16.4 percent of all employment. There are 60 coun-ties which have no city containing as much as 5,000 population. There are 61 counties in which there is no Chamber of Commerce. Recent surveys of loca-tions of newly established industries and expansions of existing industries are in those same communi-ties which are already highly industrialized. The above facts and figures show there is a definite need in North Carolina for the establishment and the development of rural industries and services in each county throughout the State. They would create more jobs, increase the per capita earning power and income, decrease the exodus of labor from the State at its age of greatest productivity, and thereby contribute to the stabilization of the farm population of the State. It should be the purpose and desire of the people of the State to establish and develop industries and services so as to dispose of every product and raw material we have in the form of merchandise and products as purchased by the consumer, thereby utilizing the raw materials and surplus labor in each community in the State. This m % iPfTl i :****l^^ "Largest in the world" is the claim of the proud owner of this overshot waterwheel, which no longer operates a rural in-dustry. However, it is used to attract visitors to the tavern at Gay, Jackson County, in the Cherokee Indian Reservation. would make for a much better and well balanced economy throughout all of North Carolina. Farming operations in the south will be almost completely mechanized during the next few years, which will bring larger family-size farms and greater diversification. This will reduce the number of farm-ers in the population and will make available workers for employment in rural industries. This will bring drastic changes in farming operations. Industries Develop Community In August, 1944, the Long Island Star Journal pub-lished an article about people and stated "A FAC-TORY MEANS THIS : Thousands of you now work-ing in factories around the borough will be interested in the following findings of the Queensboro Chamber of Commerce anent the importance of a manufactur-ing plant in your community ... A factory employ-ing 150 will support from 1,000 to 1,200 persons and cause 300 homes to be built. It will fill a 22-room schoolhouse using 18 teachers. In normal times this factory will put 320 autos into the community and support 33 stores with total annual sales of $500,000. It will enable 24 professional people, priests, rabbis, ministers, doctors, dentists, lawyers, teachers, musi-cians, and others to live in the community Further it will pay about $533,600.00 annually for transportation and buy the products of 6,600 acres of land which involves the farmers' output. And it will provide a payroll of between $190,000.00 and $200,000.00 a year and establish a tax foundation of $2,500,000.00 .... No wonder we want to keep our factories and little industries and our business-men." Dr. Paul W. Chapman, Dean of the College of Agriculture of the University of Georgia, had the following to say in an address he made on April 24, 1946, at Edgewater Park, Mississippi : "Anyone who cares to investigate how the consumers' dollar is divided will perhaps be surprised to discover how small a part of it goes into the pockets of the farmer. Of the cotton goods dollar, the farmers gets 7.5 cents. PAGE 88 THE E. S. C. QUARTERLY FALL, 1947 The grower gets 11.6 cents out of the tobacco dollar. Farmers get, on an average, 35 cents of the fresh fruit and vegetable dollar and 40 cents of the milk dollar. When all food products are lumped together, the division of the consumers' dollar is as follows: producer 37 cents, processors 27 cents, transporters 7 cents, brokers 1 cent, wholesalers 6 cents, and re-tailers 22 cents. The point in citing these figures is not to consider whether the farmers gets a fair share, but to point out that more pennies out of the dollar the consumer spends for farm products go to pay commercial and industrial workers than are paid to the growers of the products. The conclusion of this observation is that the south should render more of the services and earn a larger part of the sum which consumers pay for farm products and raw materials produced in the region. One of the most significant observations which can be made about a program for the development of rural industries and services is, however, that there are virtually no other income-creating possibilities open to the rural community." Since the initiation of Governor R. Gregg Cherry's program for the promotion of industries located in rural sections, utilizing nearby raw materials and labor, and financed by local capital, the Division of Commerce and Industry has participated to the full extent of its facilities. The raw materials and products that are in exist-ence and found throughout the mountain, piedmont, and coastal plain regions may be divided into four main classifications, namely, (1) Forestry Products; (2) Agricultural Products and Services, Seafood, Livestock Products—Dairy Products—Poultry Prod-ucts; (3) Mineral Products; (4) Textile Products. Under each of these groups are listed some of the industries and services that are vitally needed and should be developed, thereby utilizing the raw mate-rials in the State and make for a better balanced economy in North Carolina. Forestry Products Sufficient North Carolina has more than 100 tree species. It is not advisable at this present time to establish in-dustries using softwoods above the rate already scheduled for the pulp and paper industry, excepting hemlock and Virginia pine. Any industry that will use the less sought-after hardwoods is in a good po-sition to obtain raw materials. It is not advisable to establish industries using the better hardwood spe-cies. There are exceptions such as small plants using favored woods, both hardwoods and softwoods, for more highly valued products than do present industries. They will likewise meet stiff competition in obtaining raw materials. There is a good supply of cheap stumpage of scar-let, chestnut, water oaks, hickories, black gum and similar species, also short length and narrow width lumber that is obtained from the sound portion of cull trees. Industries utilizing foresty products may be grouped into six classifications as follows : (A) Woods work industries. 1. Logging 2. Pulpwood cutting Pickle packing assembly line runs 80 feet, to left JfO feet and left again 18 feet to pasteurizer and labeling machine. Twenty-four packers deftly fill jars, supplied from behind them, place filled jars on conveyor belt to go 200 feet to packing cases. At right is row of pickling tanks. This is the plant at Mount Olive. Another big plant is at Faison. (B) Primary industries starting with the wood—lumber plants and sawmills, thus well adapted to rural com-munities, and producing such items as: 1. Lumber (including sawn ties) 2. Veneer 3. Shingles 4. Hewn ties 5. Poles and piles 6. Fuelwood 7. Pulpwood 8. Fence posts 9. Dimension stock 10. Extract woods and bark 11. Cooperage (baskets, hampers, barrels, crates) 12. Handles for tools and vehicle parts 13. Shuttle blocks 14. Excelsior 15. Picker sticks, bobbins, hickory splints, insulator pins, turnings, crating 16. Fiberboard 17. Smoking pipes (C) Secondary industries starting with the wood after it has passed through one of the primary plants. 1. Furniture—household—novelty—souvenir—toys, sporting goods 2. Boxes, baskets, crating 3. Planing mills 4. Car construction and repair 5. Caskets 6. Dowels and skewers 7. Fixtures 8. Flooring 9. Sash, frames, doors, and other mill work lo! Woodenware and novelties—toys 11. Preservative treatment of fence posts 12. Building materials—all types not specified else-where 13. Venetian blinds 14. Farm implements (D) Industries utilizing logging and manufacturing wastes, such as the unutilized part of cut trees, wood left on the ground, high stumps, tops, butts, short or cull logs and bolts, logs split in felling; trees ruined in logging and trees soon to die; utilization of primary manufac-turing wastes such as slabs, edgings, trims, veneer cores, shavings, and sawdust. Sawdust is the largest single item of unused manufacturing waste. 1. Wood flour (produced from sawdust and shavings) 2. Plastics—woodfilled and lignin bonded (produced from sawdust, lignin, waste pulp and other mill waste). FALL, 1947 THE E. S. C. QUARTERLY PAGE 89 (B) Other industries that offer opportunities for small rural industries : 1. Small charcoal plants using forest waste 2. Plants producing wooden plugs tor paper rolls 3. Wood turning plants 4. Plants producing essential oils from cedar, pine, gum, etc. 5. Plants producing prefabricated farm buildings 6. Laminated flooring—TVA process—use of wood lot cuttings and low grade hardwoods 7. Construction of small boats 8. Broom and mop plants 9. Organic chemicals—resins, rosin chemicals used in manufacture of rayon (from destructive distilla-tion of wood) . (F) Plants using hickory as primary source of raw material 1. Agricultural implements 2. Boxes, baskets and crating 3. Car construction and repair 4. Conduits, pumps, wood pipe 5. Dairy, poultry supplies, etc. 6. Dowels and skewers 7. Electric equipment 8. Furniture 9 # Handles 10. Scientific instruments 11. Ladders 12. Machinery 13. Patterns and flasks 14. Tobacco pipes 15. Sash, doors, general millwork 16. Ship and boat building 17. Shuttles, spools, bobbins, looms 18. Sporting and athletic goods 19. Toys 20. Motor vehicles 21. Woodenware and novelties 2 2. Hickory block flooring or paving blocks could be made from waste wood 23. Dimension stock for sale to other plants AGRICULTURAL PRODUCTS AND SERVICES, SEAFOOD, LIVESTOCK PRODUCTS—DAIRY PRODUCTS — POULTRY PRODUCTS 5. Cold storage plants 6. Quick freezing plants 7. Egg grading stations (C) Seafood products 1. Quick freezing plants 2. Cold storage plants 3. Canneries (D) Food plants 1. Community food preservation center 2. Canneries 3. Freezer lockers 4- Cold storage plants 5. Syrup mills 6. Grist mills 7. Flour mills 8. Pickle making plants 9. Kraut plants 10. Vinegar plants 11. Bakeries (E) (F) (G) (A) (R) Dairy products 1 Creameries 2.' Milk plants 3. Ice cream plants 4. Cheese plants 5. Condenseries for milk (condensed milk) 6. Powdered milk plants Poultry products 1. Egg and poultry marketing centers 2. Dressing plants 3. Hatcheries 4. Egg drying plants Sweet potatoes and Irish potatoes 1. Packing sheds 2. Curing houses 3. Shredding mills 4. Dehydrators 5. Starch plants 6. Freezing plants Fruits, vegetables 1. Curb markets 2. Wholesale markets 3. Canning plants 4. Grading and packing sheds 5. Cold storage houses 6. Freezing plants 7. Dehydration units 8. Juice extraction plants 9. Jelly, jam, glazed fruit plants Field crops 1. Seed cleaning plants 2. Warehouses 3. Grain elevators 4. Seed treating plants 5. Dehydrators 6. Potato chip plants 7. Storage facilities for cotton, feed, grains, hay, (H) seeds, and sweet potatoes and other crops Peanut, pecan, soybeans 1. Shelling plants 2. Waxing and grading plants 3. Butter making plants 4. Candy factories 5. Oil mills 6. Salting plants (I) Cattle, sheep, hogs 1. Sales barns 2. Packing houses 3. Abattoirs 4. Meat curing plants 5. Freezer locker plants 6. Cold storage plants 7. Wool grading centers 8. Rendering plants 9. Feed mills 10. Leather working plants, shoe manufacturing plants (J) Farm supply plants 1. Feed mixing plants 2. Legume dehydrators 3. Fertilizer plants 4. Farm machinery plants 5. Farm tool plants 6. Spray equipment plants 7. Rural repair services for household and farm ma-chinery and equipment—such as machine shops, etc. 8. Storage batteries—wet and dry 9. Guano plants Drying seaiveecl at Beaufort, used in the production of agar-agar, a gelatinous substance or in the form of white powder, used as a soldifying agent in administering cultures (bacteria). In great demand during the war period. INDUSTRIES AND ENTERPRISES RELATIVE MINERAL AND CHEMICAL RESOURCES (A) Plants producing the following: 1 # China clay 2. Dinnerware (Continued on page 113) TO PAGE 90 THE E. S. C. QUARTERLY FALL, 1947 Rural Electric Power Adds Impetus To Industry By David D. Barber, Jr., Principal Engineer, North Carolina Rural Electrification Authority Prior to 1935, benefits from electric power lines in rural North Carolina were limited to those few rural people who had the foresight into its possibili-ties and the money necessary to underwrite the ad-venture. At the beginning of the year 1935 our rec-ords show that 1885 miles of rural electric lines serv-ing 11,588 rural consumers were in operation. This represented electric service to approximately 3.2% of the farms in our State. The national percentage at that time was 10.9%. Through the public clamor for electricity in the rural areas of our State the legislature created the North Carolina Rural Electrification Authority as a service organization to assist our people in their quest for rural electric service. With the combined efforts of the other State agen-cies together with the agricultural leaders both on the State and county levels and the federal govern-ment, this office can now report that as of July this year our records show 38,800 miles of rural lines serving 234,000 rural consumers, which means that 54.2% of the farms in our State now have electric service, the national percentage being 61%. This is a far cry from the situation as it existed in 1935, and it shows the forward strides being made in our State as well as efforts being made to keep abreast of the national progress. This rural electrification advancement was accom-plished through the construction programs of the rural electric cooperatives, financed through the fed-eral REA loan funds, the privately owned utility companies, cities and towns who operate electric systems and other local public agencies. All of us who are directly or indirectly associated with rural electrification should not relax for a mom-ent on the splendid progress to date for it is only half completed. The remaining half will be even more difficult to accomplish than the first half since in the remaining are included the remote and less populated regions. However, through the rural elec-tric cooperatives full area coverage program which is already well under way and the general tendencies of other agencies in the State furnishing electric power in rural areas to lean towards a broader cov-erage the job ahead can be done; although it will require complete coordination of all these agencies into one unselfish aim—that being to see that all rural areas are electrified. (Continued on page 92) Exhibit at State Fair, Raleigh, of rural indus-tries on rural electric lines of N. C. Rural Electrification Authority cooperative associations. Ribbons are from points where cooperatives are located to placards on margins of map. Items in exhibit are made on lines of eight of the 32 cooperatives in the State. (Most of them are listed on opposite page.) FALL, 1947 THE E. S. C. QUARTERLY PAGE 91 Many Types Of Rural Industries Now Operating Types of rural industries now operating success-fully in North Carolina are indicated by a partial list of those picked up by representatives of the North Carolina Rural Electrification Authority on rural electrification cooperative lines, on lines of electric public utilities companies in the State and on city and town electric lines. Many others are operated by water power direct and by steam boilers, and some by hand and by horsepower. The incom-plete list follows : On REA Cooperative Lines D. & P. Pipe Works, Sparta, Processing roots into smoking pipes. Farmers Package Co., near Burgaw, Processing veneer into vegetable baskets and hampers. A. J. Hatcher, RFD, Selma, Manufacturers of wheels and axles for tobacco farm gathering wagons. Henry Brown, RFD 3, Hillsboro, Woodworking shop turning out tables of various kinds for the home. Cecil Bell, Rt. 2, Statesville, Hay drying operation. Smith Upholstery Co., RFD 2, Mocksville, Upholster-ing furniture. Clinard, RFD 1, Harmony, Artificial flowers. Charles D. Boger, Hide and Tallow Co., Processing greases and tallow from animal parts. Wade Smith, RFD 2, Mocksville, Processing animal feeds. Carolina Pyrophyllite Co., RFD, Staley, Mining Py-rophyllite and processing talc for cosmetics and other uses. Bare and Sons Broom Works, RFD 2, Staley, Manu-facturing brooms of various types. Glenn Art Pottery, RFD 1, Steed, Produces all kinds of pottery. Currie Mills, Highfalls, Manufactures cotton yarn and twine. Richland Roller Mill, RFD 2, Ramseur, Processes flour and feeds. Garland Allred, RFD 1, Franklinville, Cement blocks. Richardson Brothers Cabinet Works, Woodworking shop producing kitchen cabinets. Coleridge Bending Plant, near Coleridge, Furniture plant producing straight chairs. North State Pottery, RFD, Sanford, Produces all kinds of pottery. House of Wakefield, RFD, Sanford, Producers of cos-metics. Oscar T. Barham, RFD, Wake Forest, Operating a cucumber grader. Moore County Casket Works, Glendon, Manufactur-ers of caskets. J. H. Perry, RFD, Creedmoor, operating peach grader. Maxwell and Maxwell, RFD, Wadesboro, Woodwork-ing shop to produce mouldings, window and door frames, screens and other specific jobs. Case G. Westergreed, RFD, Pantego, Cold storage facilities for flowers and bulbs. Carolina Flower Farms, RFD, Plymouth, Cold stor-age facilities for flowers and bulbs. A. D. Swindell, RFD, Pantego, Operates Irish potato grading machine. S. W. Wilkinson, RFD, Pantego, Operates Irish po-tato grading machine. L. H. Johnson, RFD, Pantego, Freezer locker plant and meat packing. J. P. Bailey, RFD, Wake Forest, Machine shop—re-pair work. On Public Utilities Company Lines Council Tool Co., Wananish, Manufacturer of hand tools. Mathis Fence Post Treating Plant, RFD, Clinton, treating fence posts. R. H. Curry, Derby, Miller, grinding grains. N. K. Wood Preserving Co., Wade, preservative treat-ment of woods. W. R. Bonsai Co., RFD, Lilesville, reinforced hollow concrete floor and roof slabs, sacked dry ready mixed concrete. Maxwell Insecticide Co., RFD, Cary, processors of insecticides. Mt. Croghan Mfg. Co., Mt. Croghan, Manufacturers of tool handles such as axes and hoes. Taylor Food Company, RFD, Cary, Peanut butter, salted peanuts, potato chips, cracker sandwiches. William Holding, RFD, Wake Forest, Hay drying operation. J. C. Smith, Bear Creek Road near Asheville, Manu-facturers of shuttles. Mr. Foncis, RFD, Waynesville, Cold storage facilities for apples. J. H. Brodie, RFD, Henderson, Hay drying operation. Semi-Rural Industries Dockery Laboratories, Rockingham, Processors of insecticides. Mt. Olive Pickle Co., Mt. Olive, Processing cucumbers into pickles. Millikan & Thomas, Asheboro, abattoir and chill room. Cannady Dehydration Co., Four Oaks, Dehydrating sweet potatoes into feed meal. Charles D. Roberts, Canton, Cutting dogwood blocks for shuttles. Henderson Wood Products, Henderson, Garment hangers. C. A. Royston, Maxton, Manufacturers of baby cribs. Southland Shirt Co., Candor, making shirts. Candor Handkerchiefs, Candor, making handker-chiefs. Marmoc Inc., Aberdeen, making table cloths and aprons. Roxboro Mattress Co., Roxboro, Manufacturers of mattresses. The J. C. Edwards country store five years ago is noio the Edwards and Gaddy feed and seed cleaning establishment, the first rural industry started after cooperative rural electrifi-cations came to the Wadesboro area. PAGE 92 THE E. S. C. QUARTERLY FALL, 1947 RURAL ELECTRIC POWER ADDS IMPETUS TO INDUSTRY (Continued from page 90) Going Into Isolated Areas The picture would not be complete unless we look into the future. Reports indicate that there are still approximately 130,000 farms without electricity, Information received from the various agencies fur-nishing electric service to the rural areas indicate they now have under construction or authorized for construction an additional 11,700 miles of rural lines to serve an additional 47,500 rural consumers of which approximately 34,000 would be farm connec-tions. This construction is hoped to be completed within a year. However, due to material deliveries it may take longer than expected. Farmers are finding out through electricity on the farm how they can make their family living con-ditions as modern and convenient as their city neigh-bors and how rural power on the farm will make their farming operations more profitable so that they may enjoy these farm home conveniences to the full-est extent. This is resulting in never before heard of electric power requirements which necessitates system improvements to heavy up the rural power systems to meet these unprecedented demands. These system improvements are being accomplished where necessary as quickly as materials become available. I have heard the remark made several times that rural power lines being built would light up the farm home and possibly run the motor on the electric water pump or refrigerator, but were too light for operating heavy equipment on the farm or power loads for rural industries and could not be utilized. This is not true, since a line so designed would surely not fill all the needs of rural electrification. On the other hand it is true with rural electric power lines as well as most any other thing built by man, there are limitations. However, the engineer can plan the changes and additions for system improvements necessary to provide the power requirements when that limit is reached, on existing rural power lines, for most any type of rural industry. Power for Rural Industries The production of raw products, which our State is blessed with, should be handled through local pro-cessing and manufacturing plants into finished con-sumer goods to a much greater degree than is being accomplished at present. The widespread construc-tion of rural power lines will prove an adequate and long awaited facility by which rural industries can now be given impetus by individuals, groups of indi-viduals or corporations. In addition to being a source of power, rural elec-tric lines are also a means by which the proposed rural industry can be located near the source of the raw product or located on basis of other considera-tions affecting its feasibility rather than as hereto-fore at usually just one spot and that being where electricity was available in or adjacent to a town. As examples, grading, waxing, packing and load- Dogwood Blossoms, made of silver in a process discovered and developed by Stuart Nye, are produced in quantity in his back-yard near Asheville, where he has a nice little plant. Nye became a silversmith by accident, when lie bought the tools of a fellow hobbyist. He has a payroll of $40,000 a year and his silver dogivood blossoms (North Carolina's State floiver) go all over the country. ing of agricultural products. Through rural electri-fication these can now be accomplished in local com-munities rather than loaded and hauled into a dis-tant town. Also associated rural industries, at these points, might be sweet potato shredding mills and dehydrators. Local millers can set up small local rural indus-tries for grinding and processing grains for human consumption or processing grains into feed for ani-mal consumption right in the area where the grains are grown and required. In the past the location was determined usually by two main items, a stream of water which could be utilized for power or a town where electric power was available. Rural electric power is gradually increasing the farm income through the establishment of grade A dairies. Through rural power other rural industries pertaining to dairying are made possible such as local milk collection routes and processing stations, which could include creameries, pasteurizing plants, milk plants, ice cream plants, cheese plants, conden-series, and possibly powdered milk products for human consumption and when surpluses occur for animal feed supplements. Can Develop Many Industries Peanuts and pecans are produced in abundance in our State. Rural electrification provides possibili-ties for rural cracking and shelling plants, waxing plants, butter making plants, candy and cracker plants, oil mills and salting plants. To those rural people who raise flowers and bulbs commercially rural electricity provides unusual op-portunities. Through rural power, cold storage fa-cilities can be made available right out on the farm whereby flowers and bulbs can be definitely control-led, when gathered, assuring the producer that his product will reach even the far distant market in excellent condition to demand the top market prices. Rural power has only started in opening up the way for unlimited possible rural industries in the (Continued on page 111) FALL, 1947 THE E. S. C. QUARTERLY PAGE 93 Water, Surface and Ground, Vital To Industries SURFACE WATER By W.H. Riley, Principal Engineer, Water Resources and Engineering Division, Department of Con-servation and Development The State of North Carolina is blessed with a bountiful supply of good water. Throughout the whole State we find an abundance of water that is very low in dissolved solids. For this reason indus-tries have been attracted to North Carolina for water that will be suited for their particular needs. This State has been very fortunate in having this great natural resource and should take every precaution to use it wisely. With wise planning water can be made man's best friend, but without wise planning it can be man's greatest enemy. The Division of Water Resources and Engineering of the Department of Conservation and Development is doing every-thing in its power to see that the water of the State be used to the advantage of the greatest number of inhabitants. Water, unlike coal and other minerals, is fluid in character and cannot be saved by hoarding. Unless water is used by man the greatest resource is being wasted. Herbert Hoover once said, "True conserva-tion of water is not the prevention of use. Every drop of water that runs to the sea without yielding its full commercial returns to the nation is an eco-nomic loss and that loss in all its economic implica-tions can be computed in billions." Highest Uses of Resources It is generally agreed that the highest uses of water resources are: ( 1 ) For source of supply for water-works serving the public for domestic and municipal purposes. (2) For purposes of sanitation by the conveyance (Continued on page 94) Water, uncontrolled, can be a very destructive element. Scene is flood condition of Cape Fear River, near Lillington. Two lines, center, are sidewalls of highway bridge, almost com-pletely inundated. Bridge spans normal body of water, indi-cated by space between rows of trees. Highway is completely covered on near side. GROUND WATER By M. J. Mundorff, Associate Geologist, Ground Water Division, U. S. Geological Survey, Coop-erating tvith N. C. Mineral Resources Division Ground water is one of North Carolina's most val-uable and important natural resources. Most of the rural population use water from wells or springs and more than 300,000 people in 175 municipalities de-pend upon ground water. Thousands of industrial establishments in every section of the State depend partly or entirely upon ground water supplies. It is estimated that about 40,000,000,000 gallons of ground water are used yearly in the State. The actual value of the ground water used in North Carolina, calcu-lated at rates paid by consumers in cities, probably is about $20,000,000 a year. Ground water, unlike mineral and rock deposits which in time are mined out, is continually being replenished by rainfall. If the rate of withdrawal does not exceed the rate of replenishment, ground water can be withdrawn year after year and there will still be as much left in the ground as there was at the beginning. Only a small fraction of the poten-tial ground water supply is now being utilized. In order that ground-water supplies might be more effectively utilized, the North Carolina Department of Conservation and Development began a coopera-tive project, in 1941, with the U. S. Geological Sur-vey. The purpose of the project is to determine the nature and extent of the aquifers, the quantity and quality of water obtainable from them, to develop criteria for choosing locations for drilling and dig-ging wells, to determine the chances of increasing the yield with increasing depth of well, and to ascertain the areas capable of supplying large quantities of water for industrial development. Several reports giving results of the investigations have been published by the North Carolina Depart-ment of Conservation and Development. They are as follows : Information Circular 3, "Selected Well Logs in the Coastal Plain of North Carolina"; Bul-letin 47, "Progress Report on Ground Water in North Carolina" ; "Hydrologic Data on the Neuse River Basin, 1866-1945"; and Bulletin 51, "Ground Water in the Halifax Area, North Carolina." Several other reports are in the process of being published or are being prepared at the present time. Importance of Ground Water to Rural Industry Rural industries, because of their generally small size, usually cannot afford the expense of installing a filter plant required when surface water is used; therefore most of them depend upon ground-water supplies. Although the total amount of ground water available in the State is enormous, and large supplies are available at many places, there are numerous other localities where the supplies are definitely lim-ited. A complete understanding of the possibilities of a prospective industrial site is necessary to insure (Continued on page 95) PAGE 94 THE E. S. C QUARTERLY FALL, 1947 SURFACE WATER (Continued from page 93) of sewage and industrial waste after suitable treat-ment, when and where needed. (3) For water for manufacturing and industrial purposes, for development of power, for agriculture and for navigation. The use or uses for which any particular stream or body of water lying within a drainage area should be reserved, depends partly on the economic activi-ties of the people living therein; the physical char-acteristic of the country through which the stream flows, and the prevailing climatological conditions. Hence the problem of conserving our water resources through judicious development has been and will continue to be threefold in nature. It is necessary to determine not only what prevailing economic con-ditions dictate as the purposes a particular water resource can best serve, but also, the characteristics with which the stream has been endowed by nature ; and then by engineering processes, to bring it under control of man for the realization of that benefit. The first two steps in the subjection of these fluid resources are governmental functions; the third is in the realm of private operations except where the use is of a municipal nature. North Carolina has not, as yet, awakened entirely to a consciousness of the need for the rational utilization of her streams, but a large part of the work of the Water Resources and Engineering Division are related to the second step, namely, the determination of the natural char-acteristics of her surface streams. North Carolina is developing rapidly into an in-dustrial state. If this State is to prosper in the future it must grow industrially, since industry is the backbone of our civilization. Without data on the quality and quantity of the water, industry can-not be attracted to North Carolina. With the growth of industry can be expected the growth of munici-palities ; and with the growth of municipalities can be expected a greater demand for water. Life and civilization cannot exist without water. Already a number of towns and cities in North Carolina have outgrown their present water supplies and are look-ing for additional supplies. Requests are being re-ceived constantly for data on streams for domestic and industrial use. Stream Gaging Records Floiv In virtually all phases of water resources use, a knowledge of the day-by-day variations in the quan-tity of water flowing is the basis upon which must be predicated any sound procedure for allocation or development. To be of greatest value, observations of flow must be continuous and carried on for a long period. This work is still comparatively young in the State, but its growth can be seen in the following table : Flow of water pumped from a 400-foot deep toell drilled in 1946 to supply water for the town of Taylorsville. A test of the amount of supply showed a flow of 120 gallons over a 24-hour period. No. of Automatic Year Stations Recorders 1920 .___ 8 1925 45 8 1930 75 45 1935 _ . 84 80 1940 131 127 1942 124 122 1946 132 132 This program is carried on by a cooperative agree-ment with the U. S. Geological Survey, U. S. Engi-neers, Tennessee Valley Authority and other agen-cies. The drop in the number of stations in 1942 was caused by the war time curtailment of funds from one of the cooperating agencies. Having re-covered from this loss it is now hoped that a con-tinual growth can be maintained. The demand for information of this nature is constantly increasing and must be supplied if North Carolina continues to grow as it has in the past. The value of automatic recorders cannot be stress-ed too much. With the use of automatic recorders a complete picture of the rise and fall of the stream can be obtained, and from this all information in regard to the flow can be more accurately obtained. Streams are constantly changing the elevations of their surfaces, so that a continuous record is the only possible means to arrive accurately at the max-imum, minimum and average flow of any stream. Not only do streams change in their elevation of surface but often they change in the amount of dis-charge at any given elevation. This change necessi-tates a continuous program of discharge measure-ments. To maintain a good record requires a num-ber of measurements each year at as many different elevations as possible. Several branch offices are maintained throughout the State to reduce the cost as well as to have a man near enough to reach the stream when measurements are needed. FALL, 1947 THE E. S. C. QUARTERLY PAGE 95 Chemical Water Analyses If North Carolina is to compete with neighboring States in presenting data to attract new industries, a thorough investigation of the chemical character of its streams must be undertaken. An investment of this sort pays very large dividends through in-creased tax income from industries, and added em-ployment to local people. Many industries require water supplies of specific quality suitable to their particular processes and needs. Several industries have located in North Caro-lina because they were able to find water suitable for their processes within the State. If the State is in a position to supply data of this nature upon request industries will be attracted to the State and will in turn increase the tax income and give employment to local people. The need for this data has been felt for a long period, and steps have been taken to secure the data. In the past these analyses have been made by several organizations working in cooperation with the Water Resources and Engineering Division. The majority of these were made by Dr. E. E. Randolph of the Chemical Engineering Department of State College and the U. S. Geological Survey in Washington, D. C. Others were made through fellowships to students in college and some by chemists employed by the State. These analyses have been a great help; but with increasing demands and the desire to be of more service to the State better arrangements had to be made. In 1943 an agreement was made with the U. S. Geological Survey whereby a laboratory was established in the State. Under this agreement we are now getting a continuous study of the chemical character of the streams of North Carolina. GROUND WATER (Continued from page 93) selection of a site where adequate ground-water sup-plies can be obtained. Ground, Water in Piedmont and Mountain Sections On the accompanying map, hydrologic unit areas 5 to 9 are in the Piedmont and Mountain sections of Map or NORTH CAROLINA DROLOCIC UNIT-AREAS 1. Sand and clay, with shells, shell rock, and marl. Miocene and pliocene age. Chiefly the Yorktown formation but also includes the Castle Hayne and Trent marls near the south-ern boundary of the area. Large amounts of water from wells 100 to 400 feet deep. Water is hard, at places contains objectionable iron. Deeper water is brackish. 2. Sand, clay, shell rock, marl, and limestone. Includes Peedee, Castle Hayne, Trent, and Duplin formations and Pliocene deposits. Very large amount of water available in most parts. Wells yield up to 1000 gallons a minute. Water usually hard. Brackish water at depths of 200 to 600 feet below the surface. 3. Sand, clay, and marl of the Yorktown formation of Miocene age. Moderate amounts of water from sand lenses. Water frequently hard, (b) Sand and clay of Cretaceous age beneath the Yorktown formation. Also some Eocene deposits in eastern part of area. Large amounts of soft water available except along western margin of the area. Yields of 300 to 60 gallons a minute at many places. 4. Sand, clay, argillaceous sand and sandy clay; some limestone and marl in eastern part of area. Includes Tuscaloosa, Black Creek and Peedee formations of Cretaceous age . Large quantity of water available except in extreme western part. Yields of 500 gallons a minute possible at most places. Water soft, low in dissolves, solids, sometimes high in iron. 5. Sandstone, shale, mudstone, conglomerate, rareky limestone. Commonly lenticular, cross-bedded, arkosic. Triassic age. Rock are bedded, dip horizontal to 4 5 degree. Small supplies of water at most places (5 to 2 5 gallons a minute). Moderate supplies (to 100 gallons a minute) in some places. Water generally moderately hard to very hard, sometimes contains objec-tionable amount of iron. 6. Schists, phyllites, slates, shales, and metamorphosed volcanics. In part of igneous and in part of sedimentary origin. Generally moderately small to moderate (10 to 15 gallons a minute), occasionally moderately large supplies (to 300 gallons a minute). Water frequently contains objectionable amount of iron. 7. Albite-chlorite schist, quartzite, slate, shale, and limestone. Chiefly derived from sedimentary formations. Bedding us-ually distinct. Pre-Cambrian and Cambrian age. Generally moderate supplies of water. Wells yield from 5 to 50 or more gallons a minute. Water usually soft, except from wells in limestone. 8. Gneiss and schist, chiefly feldspar-biotite gneiss and schist included in the Carolina gneiss. Derived principally from sedimentary rocks. Pre-Cambrian age. Moderate to moderately large amounts of water. Industrial and municipal wells average about 50 gallons a minute. Best supplies obtained in coarser phases where dip is fairly low. Water soft to moderately hard. 9. Granites and gneisses, slight to severe metamorphism. Includes Cranberry granite, Henderson granite, Blowing Rock gneiss, Bessemer granite, Whiteside and Yorkville granites and similar rocks of igneous origin. Generally small, sometimes moderate, rarely moderately large supplies, of water. Best supplies are from more highly metamorphosed rocks. Only a few gallons a minute from wells in unsheared rocks. Water moderately soft to hard. PAGE 96 THE E. S. C. QUARTERLY FALL, 1947 the State. Ground water in these sections, the cen-tral and western part of the State, occurs chiefly in consolidated rocks. The rocks are principally igneous and metamorphic rocks but include two belts of con-solidated sediments, the Deep River and the Dan River belts of Triassic rocks. Water occurs in, and moves through, the rocks in fractures, joints, cleav-age and bedding planes and similar openings. Where such openings are plentiful, larger supplies are found than where the openings are few and small. Granites that have been sheared and fractured are fairly good aquifers. Horizontal joints are im-portant to the occurrence and movement of ground water in these rocks. Industrial and municipal wells in such rocks yield an average of about 40 to 50 gallons a minute. Wells in massive granite will yield little or no water. The fractures and crevices in granite become fewer and smaller with depth so that drilling beyond 250 or 300 feet is rarely justified. At some places the slates and schists and some gneisses are the most prolific aquifers in the Pied-mont and Mountain sections, but at other places these rocks yield only small amounts of water. It seems that the coarser textured rocks in which the cleavage planes, planes of schistosity and bedding planes are closely spaced, dipping moderately to rather steeply, are the best. Quartz veins are im-portant in some of the slates and schists and some of the wells intersecting such veins yield large amounts of water. Many wells drilled in favorable locations in these rocks yield 50 to 100 gallons a minute, and a number of wells yield 100 to more than 300 gallons a minute. At less favorable locations, where the cleavage and schistosity are poorly developed and where the angle of dip is very low, the yields are much less. As with granite, the openings in these rocks decrease with depth, so that the quantity of water entering a well below 300 feet generally is small. Water from most wells in schist and from a majority of the wells in gneiss is soft, but some wells in slate yield moderately hard water. Some wells in the schist and slate yield water containing consider-able iron. The Triassic sedimentary rocks generally do not yield as much water as the igneous and metamor-phic rocks. Although yields of as much as 100 gal-lons a minute have been obtained at several places relatively few wells yield more than 25 gallons a minute. Yield of wells in these rocks are prone to decline greatly when the well is pumped steadily. The coarse-grained strata yield more water than the fine-grained strata, and locations near diabase dikes, which have fractured the strata, generally are more favorable. Of the Triassic rocks, the Dan River belt appears to be somewhat better as an aquifer than the Deep River belt. Diorite and gabbro generally yield only a few gallons a minute, and yields of 25 gallons a minute or more are unusual. The water at many places is hard. When selecting sites for rural industrial establish-ments which are to use ground water as a source of Fontana Dam, a rural industry groivn up, built in Swain County by TVA to control flood waters and supply cheap water power to rural and urban communities and industries. Fourth highest dam in world, J/51 feet high, with 117-foot fluctuation in water level. Shore line is 215 miles long. Power house at high. This is a reservoir dam to fill lower dams, 'village, converted, is popular mountain resort. Construction supply the geology should be considered as outlined above. Areas of massive granite, and of flat-lying slate, schist, or gneiss should be avoided if possible. Areas underlain by diorite or gabbro are especially undesirable. In selecting locations for drilling wells, the follow-ing factors should be considered : Texture: Coarse-grained rocks generally are bet-ter aquifers than fine-grained ones. Jointing and fracturing: Places where the rock has many joints or is otherwise fractured are most favorable. Schistosity, cleavage, and bedding planes : Places where these planes are closely spaced and prominent, and where they dip at moderate angles are preferable. Quartz veins : These are usually considerably frac-tured and are important in the movement of ground water. Some of the best wells in the Piedmont ob-tain their water from quartz veins. Dikes: The rocks adjacent to many dikes have been fractured by the injection of the dike and wells drilled into these fractured zones at many places yield more water than the undisturbed rock. This is particularly true of the Triassic strata. The dikes themselves at most places are poor aquifers. Thickness of weathered mantle: A thick layer of residual weathered material overlying the bedrock is an indication that the rock has interstices through which ground water can circulate. Furthermore, this weathered layer serves to store and feed water into the fractured rock below. Topographic location : At many places the rock is so deeply covered by soil and subsoil that little can be seen of the structure and texture of the rock. At many of these places topography gives clues as to the con- ( Continued on page 114) FALL, 1947 THE E. S. C. QUARTERLY PAGE 97 Garment Making Plants Should Increase In State By Milton M. Croom, Assistant Industrial Engineer, Division of Commerce and Industry, Dept. of Conservation and Development Opportunities now existing in the garment manu-facturing field in North Carolina can be envisioned by comparison with the situation which faced manu-facturers of cotton cloth in this State at the end of World War I, when the production of Southern cot-ton mills was overshadowed by that of the well en-trenched cotton manufacturing industry of New England. At that time North Carolina mill owners were faced with weighty problems, such as labor sup-ply in traditionally agrarian communities, inadequate power sources, and marketing difficulties, for the opinion prevailed in some quarters that Southern workers could not make quality materials. Today North Carolina has more cotton mills and produces more cotton cloth of a higher total value than any other state in the union. Much of this cloth is bleached, dyed and finished in the State, and shipped to garment manufacturers in many parts of the nation. Only a small part of this production is fabricated into garments within the State, however. Factors Favor Expansion A number of factors favor the expansion of the ready-to-wear garment industry in North Carolina. The most important of these factors are : 1. A potentially large supply of high type workers is available. 2. Nearness to sources of raw materials. 3. Managerial "know-how" exists, and is being developed. 4. Availability of capital. 5. Nearness to markets. Each of these subjects is discussed briefly below: 1. Labor. Large areas of North Carolina are still predominantly agrarian in nature. Ninety-five per-cent of North Carolina's industry is located west of Raleigh, chiefly in the Piedmont section of the State. The villages and towns of the farming sections offer very limited employment opportunities, particularly for women. Thus a potentially large labor supply is available. Practically all of these women, who are potential employees of new garment factories, al-ready possess some skill in the sewing arts, and only a short period of adjustment would be required to enable them to become competent operators in a gar-ment factory. A number of women living in towns which do not now have clothing plants have expressed an interest in obtaining this type of work in their home communities. 2. Raw Materials. Fabrics of great variety are produced and finished in this State and shipped to distant factories. Many of the garments made by these out-of-state factories are shipped into this State to be sold. North Carolinians pay for these needless handling and shipping services, and lose the income from processing the cloth into garments to other sections of the country. Located as it is in the very heart of the nation's cloth making industry, North Carolina's position with respect to sources of supply for a growing garment industry is unparalleled. This fact greatly enhances its competitive position in re-lation to the existing garment making centers of the nation. 3. "Knoiv-How." North Carolina already has a number of clothing factories. Some of them are very large, integrated corporations making nationally known products ; others are small concerns. Well qualified, ambitious employees of these older com-panies welcome opportunities to assume positions of leadership in, and to grow with, new enterprises. Garment Fabrication Instruction The growing importance of the garment industry in this State is recognized by the faculty of the N. C. State College School of Textiles. The writer is in-formed that new courses in garment fabrication are to be introduced in the curricula of the textile school in the near future. Growth of the garment industry in the State will be furthered by this excellent train-ing offered by one of the world's best textile schools. 4. Capital. The garment industry is adaptable to small factories of relatively low capitalization. These factories are organized on the assembly line princi-ple. From about 15 to 40 people are required to perform the various operations on a single asembly line. A factory may have one or several assembly lines. Therefore, the number of people employed in clothing factories varies from a score to several thousand. However, a great many clothing factories have less than 100 employees. The capital required to start a small clothing fac-tory is capable of being raised by almost any town or village in North Carolina, provided only that there is an earnest desire on the part of the leading citizens to accomplish this purpose. A small plant employing 16 to 20 people making a single garment such as children's dresses might be started with a capitaliza-tion of $10,000. This would take care of all items except the building, which could be rented. Larger concerns employing from 100 to 150 people would require a minimum capital of about $60,000 to $100,- 000. These larger units should enjoy a better com-petitive position than the very small ones, due to the excessive burden of overhead which handicaps small enterprises. It should be pointed out, however, that many of the largest manufacturing enterprises of the State, and of the nation, started as very small concerns which grew to their present size and emi-nence due to their owner's ingenuity in keeping over-head to a minimum, and the assidious manner in which the profits of these concerns were turned back into the business. (Continued on page 112) PAGE 98 THE E. S. C. QUARTERLY FALL, 1947 Investigations Of 85,000 Claimants For Benefits By Hugh M. Raper, Supervisor, Reports and Analysis, UC Division, Bureau of Research and Statistics More than 85,000 special investigations were made by the Employment Security Commission, or its deputies, in connection with claims filed during the fiscal year 1946-1947. These investigations were of claims under both the Employment Security and the Readjustment Allowance Programs. There was an average of one investigation for each sixteen periods compensated. The conditions that led to these investigations sometimes arise at the time the claimant files his initial claim, but the investigations are frequently made as a result of circumstances arising during the weekly reporting in a claim series. At the time the initial claim is taken, sometimes it is found that the claimant has been separated from his employment for reasons, such as misconduct, voluntary quit, and other causes, which may be cause for a disqualifica-tion. Or, it may be that in the claims-taking process a question may arise with regard to the claimant's ability and willingness to accept suitable employment which has been tendered. This condition, when in-vestigated and found as a fact, results in his being disqualified for benefits for a period of four to twelve weeks with a like reduction in potential benefit rights. In the fiscal year ending June 30, 1947, there were 23,982 investigations completed by the Claims Dep-uties involving claimants filing claims for unemploy-ment compensation. In the same period there were 54,035 investigations involving veterans seeking Ser-vicemen's Readjustment Allowances. This means then that the nineteen Claims Deputies set for hear-ing 78,017 cases, and from the facts developed at each hearing prepared a determination either allowing the claim, disallowing the claim, or imposed a dis-qualification, i.e. postponement of benefits and possi-bly a reduction in the potential benefit rights. The following table classifies the results of these determi-nations into three categories : DISPOSITION OF CASES BY CLAIMS DEPUTIES DURING FISCAL YEAR 1946-47 Percent All Determinations 100.0 Allowed—No Penalty 43.2 Claim Disallowed 40.3 Disqualification imposed 16.5 All No. 78,017 33,713 31,542 12,852 Program Emp. Sec. Readj. Al. 23,982 9,629 9,472 4,881 54,035 24,084 21,980 7,971 It can be seen that the majority, 56.8 percent, of the claimants investigated were found to be ineligible for benefits at the time of filing or were subject to a disqualification which postponed and reduced their potential benefits. The Employment Security Law makes provision for the claimant or other interested party to appeal any determination made by the Commission or any of its deputies. In the fiscal year 1946-1947 less than one percent of the Claims Deputy determinations were appealed. Under the E. S. Program there were 2164 cases appealed with 1933 of the appeals being made by the affected claimant; 222 by the employer (s) ; and, 9 by the Commission itself. Under the Readjustment Allowance Program there were 4705 appeals filed by the veterans involved. The effect of the Appeals Deputy's review was that under the E. S. program 1552, or 92 percent, of the claims deputies determinations were affirmed while 612 cases were modified or reversed. Under the Re-adjustment Allowance Program 4700 decisions, 68 percent, were made which affirmed the Claims Dep-uty's finding. The issues involved in the 2164 ap-pealed cases decided by the appeals deputies under the Employment Security Program are as follows : All Decisions __ 2164 Ability, Availability, and Unemployed 1744 Voluntarily Separated 252 Misconduct of Worker 100 Suitability of Work 59 All Other Issues : 9 (Continued on page 105) Dehydrating eggs is verging on dig business, but the little black hen definitely conducts a rural industry, and many of the operations are rural. Dehydrated eggs from the plant of the Coble Dairy Products Co. at Wilkesboro supplies many bakeries with the egg siibstance needed in cakes and other bakery products. FALL, 1947 THE E. S. C. QUARTERLY PAGE 99 Industrial Opportunities Abundant In This State By Marshall L. Shepherd, Former Asst. Industrial Engineer Division of Commerce ad Industry, Dept. of Conservation and Development Much can be done about our State's low per capita income. Something is being done about it, but it is necessary that a much, much more unanimous and sustained initiative come into the North Carolina picture before the State's 1945 average of $726 can reach that of the nation, which was $1,158 that same year. The native Carolinian reacts with a characteristic Southern pride in the industrial achievements of his State when he hears that 432 new and proposed manufacturing enterprises decided to move into, or were created within his State in the last half of 1946. His pride becomes even more pronounced when he realizes that those new industries will have employed more than 12,000 additional North Caro-linians at an average annual rate of $1,765. It fascinates him also to know that these plant invest-ments of more than $20,000,000, after operating for only one year, will have returned to the communities in which they are located about $20,000,000 in pay-rolls alone and notwithstanding the values added to the processed products through manufacture. The capital returns to the investors in these plants are of major consideration to these stockholders, whether out of State or domestic, and are of greatest value to the State when under resident ownership. The national industrial picture reached its highest degree of expansive development during and immed-iately following World War II. The latest U. S. Cen-sus data (1939) showed 184,230 manufacturing in-dustries in the nation. Then North Carolina's indus-tries totaled 3,225 or 1.75 ft of the total number in the country. This gives an average of 3,838 industries for each of the states. This state had 613 industries less than this average. There was only one manu-facturing enterprise per 1,107 North Carolinians; while in the United States as a whole, there was an industry for each 715 people. This may be an answer for those who bear the concept that North Carolina's population won't justify industrial expansion suffi-cient to increase the per capita income of its people to the national average without creating an abnormal competition in the labor market. This State's government is doing more in the field of industrial promotion than in the past, through its agencies such has the Division of Commerce and In-dustry. This enlarged emphasis is based upon the basic needs of our people, sound purposes, and the challenge of unprecedented opportunities to which the State's citizenry is becoming more enlightened. To discuss in the abstract, this State's industrial opportunities, is somewhat futile indulgence. This practice is most frequently observed in print and oratory. Its greatest achievement is to stimulate general interest. Industrial opportunity is an ex-ceedingly relative combination of opportunity fac-tors. A pattern of factors when logically exploited by "know how", adequate capital and enlightened management should result in a profitable industrial enterprise. One of the State's greatest single ob-stacles is the shortage of industrial "know how" as it applies to the specific industries in which the State is least developed, some of which seem to offer the greatest opportunities. The following tabulation, deducted from the U. S. Census of 1939, comprises some of the industries which are not developed in North Carolina : INDUSTRY TOTAL NO. ES-TABLISHMENTS N.O. U.S. FOOD & KINDRED PRODUCTS: Baking powder, yeast and other leavening com-pounds None Chewing gum _. Chocolate and cocoa products " Corn sirup, corn sugar, corn oil and starch __ Macaroni, spaghetti, vermicelli and noodles .. Malt " Oleomargarine, not made in meat packing estab-lishments Preserves, jams, jellies and fruit butters ._ Quick frozen foods " Sausage casing, not made in meat packing estab-lishments " Special dairy products TEXTILE MILL PRODUCTS AND OTHER FIBER MFG.: Artificial leather & oil cloth Carpet yarn, woolen and worsted Cloth sponging and miscellaneous special finishing _. Dyeing and finishing woolen and worsted .. Felt goods, wool, hair, and jute (except woven felts and hat bodies and hats) Finishing of men's and boy's hats of fur felt, wool felt and straw Hat bodies and hat fur felt Hat bodies and hat wool felt Hats straw Hatter's fur Knitted gloves Knitted outerwear (except knit gloves) contract factories Lace goods Linoleum, asphalt felt base and other hardsurfaced floor covering, not elsewhere classified _. Processed waste and recovered wool fibers—con-tract factories Silk broad woven goods—contract factories Silk broad woven goods—regular factories or job-bers engaging contractors Silk narrow fabrics Woolen & worsted manufacturers—contract factories APPAREL & OTHER FINISHED PRODUCTS MADE FROM FABRICS & SIMILAR MATERIALS: Children's infant's wear, not elsewhere classified — made in contract factories Children's infant's wear, not elsewhere classified made inside factories or by jobbers engaging contractors Children's coats—made in contract factories .. Children's coats made in inside factories or by job-bers engaging contractors Children's dresses made in contract factories Children's dresses made in inside factories or by jobbers engaging contractors 47 27 39 35 328 52 18 171 36 37 51 36 18 112 63 37 151 43 12 i i 37 20 233 63 17 27 37 82 100 76 22 103 45 108 114 182 PAGE 100 THE E. S. C. QUARTERLY FALL, 1947 TOTAL NO. ES-TABLISHMENTS INDUSTRY N.O. U.S. Clothing, leather and sheep lined 97 Coats, suits, and skirts (except fur coats) made in contract factories 846 Coats, suits, and skirts (except fur coats) made in inside factories or by jobbers engaging con-tractors " 1.120 Corsets and allied garments " 272 Curtains, draperies, and bedspreads, contract fac-tories 75 Dress & semi-dress gloves and mittens: cloth, cloth and leather combined " 49 Embroideries, other than Schiffli machine products, contract factories " 357 Embroideries, other than Schiffli machine products, made in regular factories or by jobbers engaging contractors 54 Embroideries: Schiffli machine products 398 Fur coats and other fur garments, accessories and trimming " 2,175 Handkerchiefs made in contract factories 20 Hat and cap materials; trimming, etc. " 55 House dresses, uniforms and aprons made in con-tract factories " 255 House furnishings (except curtains, draperies and bedspreads) " 472 Men's and boy's hats and caps (except felt and straw) — - 270 Men's and boy's suits, coats and overcoats (except work clothing) made in contract factories " 1,078 Men's and boy's underwear made in contract fac-tories 10 Men's neckwear made in contract factories 34 Millinery ____ " 1,050 Raincoats and other waterproof garments (except oiled cotton) 76 Robes, lounging garments and dressing gowns " 264 Trimming (not made in textile mills) stamped art goods and art needlework contract factories " 395 Trimmings (not made in textile mills) stamped art goods, vast needlework made in regular factories or by jobbers engaging contractors " 227 Trousers (semi-dress) wash suits and washable service apparel " 297 Women's and misses' blouses and waists made in contract factories _ " 132 Women's and misses' blouses and waists made in inside factories or by jobbers engaging contractors 170 Women's and misses' clothing not elsewhere classi-fied made in contract factories " 100 Women's and misses' clothing not elsewhere classi-fied made in inside factories or by jobbers en-gaging contractors — " 231 Women's & misses's dresses (except house dresses) made in contract factories __ " 1,490 Women's and misses' dresses (except house dresses) made in inside factories by jobbers engaging contractors _ - 1,426 Women's neckwear, scarfs, etc " 107 FURNITURE AND FINISHED LUMBER PRODUCTS: Cork products — " Laboratory, hospital and other professional furniture " Casts and related products " Matches " Mirror frames and picture frames ._ " PAPER AND ALLIED PRODUCTS: Coated and glazed paper __ " Pie cut paper and paperboard and converted card-board " Pulp goods (pressed, molded) " Wallpaper _. ..__ _.__ __ " PRINTING, PUBLISHING, AND ALLIED INDUSTRIES: Books, publishing and printing " Books, publishing without printing " Electrotyping and stenotyping, not done in print-ing establishments " Gravure, rotogravure and rotary photogravure (in-cluding preparation of plates) " Greeting cards (except hand painted) " 35 82 48 28 182 140 121 14 46 150 556 234 24 109 TOTAL NO. ES-TABLISHMENTS INDUSTRY N.C. U.S. CHEMICALS AND ALLIED PRODUCTS: Ammunition " 13 Bluing " 13 Bone black, carbon black, and lamp black — " 53 Coal tar products, crude and intermediate " 49 Colors and pigments " 89 Essential oils " 14 Explosives _ _ " 80 Glue and gelatin " 80 Grease and tallow (except lubricating greases) " 310 Hardwood distillation and charcoal mfg. ._- " 43 Linseed oil, cake and meal " 25 Lubricating oils and greases not made in petroleum refineries " 232 Mucilage, paste and other adhesives, except glue and rubber cement " 64 Plastic materials " 38 Salt " 40 Soap and glycerin " 264 Writing ink " 15 PRODUCTS OF PETROLEUM AND COAL: Beehive coke " 29 Fuel briquets " 32 Oven coke and coke-oven byproducts " 83 Petroleum refining " 485 Roofing, built-up and roll; asphalt shingles; roof coating (except paint) ~. " 129 RUBBER PRODUCTS: Reclaimed rubber " 10 Rubber boots and shoes (including rubber soled foot-wear with fabric uppers) " 13 Tires and inner tubes " 53 LEATHER AND LEATHER PRODUCTS: Leather gloves and mittens " 233 Leather goods not elsewhere classified " 160 Leather: tanned, curried, and finished, contract factories " 111 Small leather goods " 118 Suitcases, brief cases, bags, trunks, and other luggage " 329 Women's pocket books, hand bags and purses " 286 STONE, CLAY AND GLASS PRODUCTS: Abrasive wheels, stones, paper cloth and related products — - " 124 Cement " 160 China firing and decorating (for trade) " 24 Clay products (except pottery) not elsewhere classified " 99 Clay refractories, including refractory cement (clay) " 165 Flat glass _ " 37 Floor and wall tile (except quarry tile) " 49 Glass containers " 77 Gypsum products — " . 68 Hotel china .-_ " 17 Lime ._ " 269 Mineral wool " 58 Natural graphite, ground and refined " 6 Porcelain electrical supplies " 42 Sand lime brick bldg. tile _ _ " 27 Statuary and art goods (except stone and concrete) factory products " 126 Steam and other packing, pipe and boiler covering.... " 134 Tableware, pressed or blown glass and glassware not elsewhere classified _' " 115 Terra cotta 12 Vitreous china plumbing fixtures " 25 Whiteware " 31 IRON AND STEEL AND THEIR PRODUCTS, EXCEPT MACHINERY: Automobile stamping " 90 Blast furnace products " 81 Bolts, nuts, washers and rivets made in plants not operated in connection with rolling mills " 155 Cold rolled steel sheet and strip and cold finished steel bars made in plants not operated in con-nection with hot rolling mills " 43 Doors, window sash frames molding and trim (made of metal) ,_. " 205 Enameled iron sanitaryware and other plumber's supplies (not including pipe or vitreous and semi- vitreous china sanitaryware) " 259 FALL, 1947 THE E. S. C. QUARTERLY PAGE 101 INDUSTRY TOTAL NO. ES-TABLISHMENTS N.C. U.S. INDUSTRY TOTAL NO. ES-TABLISHMENTS N.C. U.S. Enameling, painting and lacquering .. Files — Firearms Forging iron and steel made in plants not operated in connection with rolling mills Galvanizing and other coating carried on in plants not operated in connection with rolling mills Heating and cooking apparatus except electric, not elsewhere classified _.. ._ Malleable iron casting _____ Nails, spikes, etc., not made in wire mills or in plants operated in connection with rolling mills .... Sates and vaults Saws Screw machine products and wood screws _. Springs steel (except wire) made in plants not operated in connection with rolling mills Steam and hot water heating apparatus (including hot water furnaces) _ __ Steam fittings regardless of material Steel barrels, kegs, and drums Steel casting _ Steel works and rolling mills Tin cans and other tinware not elsewhere classified- ... Vitreous enameled products including kitchen, household and hospital utensils Wire drawn from purchased rods ,___ Wrought pipes welded and heavy riveted work in plants not operated in connection with rolling mills " NON-FERROUS METALS AND THEIR PRODUCTS: Alloying and rolling and drawing of nonferrous metals except aluminum " Aluminum products (including rolling and drawing and extruding) not elsewhere classified " Aluminum ware, kitchen hospital and household except electrical appliances) " Clocks, watches and materials and parts (except watch cases) " Collapsible tubes " Electroplating, plating, polishing " Engraving on metal (except for printing purposes )~ Gold and silver leaf and foil " Jeweler's findings material " Jewelry (precious stones) " Lapidary work " Lighting fixtures " Silverware and plated ware _._ " Tin and other foils (except gold and silver foil) " Watch cases " Automotive electrical equipment " Carbon products for the electrical industry and manufacturers of carbon or artificial graphite " Communication equipment " Electrical appliances " Electrical measuring instruments " Office and stove machines not elsewhere classified " Oilfield machinery and tools " Electric lamps " Radios, radio tubes and phonograph " Wiring devices and supplies " X-ray: therapeutic apparatus and electronic tubes .... " AGRICULTURAL MACHINERY (EXCEPT TRACTORS Blowers; exhaust and ventilating fans " Cars and trucks, industrial " Construction and similar machinery (except min-ing and oil field machinery and tools) " Internal combustion engines ___ _ " Foundry equipment, domestic " Machine-tool, and other metal working machinery accessories, metal cutting and shapping tools and machinist precision tools " Machine tools " Measuring and dispensing pumps " Measuring instruments, mechanical (except elec-trical measuring instruments, watches and clocks.. Metal working machinery and equipment not else-where classified __ _ " Mining machinery and equipment — _ " ): 80 22 23 207 83 138 83 36 16 87 345 53 68 181 64 164 253 248 55 95 49 188 162 32 74 14 643 94 26 82 886 90 568 150 12 42 84 31 227 138 59 123 223 55 224 146 84 77 55 199 74 42 954 200 38 68 178 65 Paper mills, pulp mill, and paper products machinery __ Scales and balances Sewing machines, domestic and industrial Steam engines, turbines, and water wheels Stokers, mechanical, domestic and industrial Tractors __ Vending, amusement, and other coin operated machines AUTOMOBILES AND AUTOMOTIVE EQUIPMENT: Automobile trailer (of attachment to passenger cars) TRANSPORTATION EQUIPMENT EXCEPT AUTOMOBILES: Aircraft parts including aircraft engines Locomotives (including frames and parts; rail-road, mining and industrial) Motorcycles, bicycles, and parts MISCELLANEOUS INDUSTRIES: Artist's materials Beauty shop and barber shop equipment Buttons Carbon paper and inked ribbon Children's vehicles Costume jewelry and costume novelty jewelry other than fine jeyelry Dental equipment and supplies _ Dolls (except rubber) Fabricated plastic products not elsewhere classified.. Fire extinguishers, chemical Furs dressed and dyed Hair work ___ Hand stamps, stencils, and brands Jewelry cases and instrument cases Lamp shades Models and patterns (except paper patterns) Musical instruments, parts and materials not else-where classified _ Needles; pins, hooks and eyes, and slide and snap fasteners Ophthalmic goods, lenses and fittings Organs Optical instruments and lenses Pens, mechanical pencils, and pen points Photographic apparatus and materials and projec-tion equipment except lenses Piano and organ parts and materials Pianos Professional and scientific instruments (except surgical and dental) Sporting and athletic goods not elsewhere classi-fied Surgical and medical instruments Surgical supplies and equipment not elsewhere classified Tobacco pipes, cigarette holders _ Umbrellas, parasols, and canes — Wool pulling _ Yes, talk about opportunity to the young "Tar Heel" or the native capitalists, or the educator. This challenge is yours. Please accept it now before the distant exploiters of our North Carolina oppor-tunities arrive. It might even be profitable for our State to give more weight to these specific oppor-tunities in planning the technical education to which its youth shall be subjected for this and the next generations. The pinnacle of that higher average per capita income for North Carolinians is indeed dimly seen unless we take our opportunities and make our own future. 99 56 39 18 61 30 51 79 125 15 36 42 72 316 58 44 289 131 84 216 28 145 42 289 132 128 663 101 58 91 .",4 30 7(1 160 23 35 218 350 50 360 32 90 17 PAGE 102 THE E. S. C. QUARTERLY FALL, 1947 Employment Increasing And Shifting In The State By Silas F. Campbell, Director, Bureau of Research and Statistics, ESC Even of more interest than the industrial distribu-tion of changes in employment since the war is the change in the geographic distribution of employment. It was known that there was a considerable intra-state shift in the active labor force during the war which it was felt might bring serious consequences in the process of readjustment and result in depress-ed areas which would find it impossible to employ dislocated war workers or to induce the necessary population reshift. Feiv Depressed Areas in State Native North Carolinians, as a general rule, dis-like moving from place to place within the State, although thousands annually accept readily employ-ment in other states because of what they believe to be better opportunities and better wages. However, when it comes to choosing a place within the State Peanuts definitely are big business, but many of the operations are rural and many rural industries are being and can be built around the lowly goober. These are extra large peanuts being sacked after cleaning and grading. Processing plants are located at Enfield and Edenton and numerous plants for further refining are being established in the State. to live, even a brief residence in a new location is calculated to create ties which one is reluctant to break. While there are some of those depressed areas, the effect of war contract cancellation on employment in the State was greatly restricted. Only a few coun-ties had less employment in 1946 than in 1945. These are mostly areas in which war production meant new structures, machinery and equipment which could not be turned to civilian production. Such establishments were represented by munitions plants, shipyards, air craft plants, modification plants, air-ports, and some types of military bases. As a product of reconversion, interest attaches to the disposition that has been made or is being made of plants established in the State for war produc-tion, as well as the increase in privately operated manufacturing plants as a result of the war. Information published by the Federal Reserve Bank on "Capital Augmentation in the War Period" discloses that 164 plants were added to North Caro-lina's industrial facilities, exclusive of public utili-ties and government operated plants, an increase of 5.1 percent over 1939. Disposition of War Plants As to the disposition of publicly financed war in-dustrial facilities, of the three sold in North Carolina, National Carbon Co. of Charlotte, Wrights Auto-matic Machine Co., Durham, and Floating Concrete Dry Docks at Wilmington operated by the Loftis Tidewater Construction Co., the first two were bought by their war-time operators, and the last by Robertson Chemical Co. for warehouse and storage yard. One war production plant, the Fairchild Engineer-ing and Aircraft plant at Burlington, has been leas-ed for five years to the Western Electric Co. Only one war plant in North Carolina has been declared surplus—The National Carbon Co. of Mor-ganton. Three plants remain on which no disposal action has been taken. These are the Newport News Shipbuilding Co. plant at Wilmington, The Ammuni-tion Loading Plant at Charlotte, and the Carbide Carbon Chemical Co., Fire Control Equipment plant at Winston-Salem. These three plants represent an aggregate cost of more than $37,000,000. Increase General Throughout State The only counties in which employment in 1946 was less than in 1945 are Dare, Forsyth, New Han-over, Onslow, Pasquotank, and Yancey. In all except Yancey the decline is fully accounted for by cessa-tion of war production. In Yancey there were only 51 fewer workers on the average than in 1945. The gains in employment are fairly well distribut-ed. The Mountain Region experienced the greatest relative gain, 11.1 percent, with an increase of ap-proximately 6,000 workers; the Piedmont Plateau FALL, 1947 THE E. S. C. QUARTERLY PAGE 103 Black Rock Sawmill, operated by the Davie Tree Go. on Soco Gap Roar! in Swain County, near the edge of the Cherokee Indian Reservation, Qulla Boundary. Most of the workers are Cherokee Indians. Notice the many homes and business houses in the embroynic lumber stacks. 10.0 percent with an increase of about 36,000 work-ers, and the Coastal Plain 1.5 percent, with an in-crease of little more than 1,000. There were no outstanding gains in any area. Guilford County led with a gain of 5,813 workers. Mecklenburg was next with an increase of 4,877. Gaston was third with an increase of 3,953; Cabar-rus, fourth with a gain of 3,440, and Buncombe fifth with a gain of 3,428. New Hanover suffered the greatest loss with a drop of 6,247 workers, and Forsyth was next with a loss of 2,066. Nearly all counties had more covered employers in 1946 than in 1945, indicating, not merely an expan-sion of existing industries, but the entry of new firms in all sections of the State. Only Dare, Onslow and Yancey had fewer employers than in 1945 and the total decline for the three counties was only nine, Onslow County losing seven of these. Wages Increase In Most Counties There was also a wholesome gain in total wage payments in nearly all counties, the total being less only in Dare, Pasquotank, Onslow, and New Han-over. The grand total increased by 23.8 percent and exceeded one billion dollars for the first time in the history of the State. Individual wage increases were also general throughout the State, with an average increase of 11.4 percent, bringing the average weekly wage from $31.10 in 1945 to $34.64 in 1946. The average was less than in 1945 only in the counties of Swain in the Mountain Region, and Dare, Pasquotank, Craven, Pamlico, Brunswick and New Hanover in the Coastal Plain. Stability of State's Industry That covered employment in 1946 was more than 93,000 above the pre-war level, and nearly 60,000 above 1945, and that, of the 356,000 veterans who have been released in North Carolina, only 4,568 were registered for work on June 30, 1947 with local employment offices, speaks not only for the stability of North Carolina industry, but for its capacity to expand and meet the opportunities of a promising future. That these opportunities are attracting new cap-ital and managerial ability is shown by the fact that between December 31, 1945 and December 31, 1946 3,503 establishments were added to those already operating under the Employment Security Law. Al-lowing for consolidations, transfers and suspensions, the average number of firms reporting in all four quarters of 1946 exceeded the number for 1945 by 1,799. State Labor Turnover High It is true that during this year there was a great amount of labor turnover as returning veterans and war workers sought a proper readjustment to fit their occupational skills. No figure is available as to the actual number who were hired in order to attain this 60,000 increase in non-agricultural em-ployment over 1945, but some idea may be gained of the size of the turnover by the fact that the Employ-ment Service Division during the year found jobs for 123,128 non-agricultural workers and 59,095 agri-cultural workers, making a total of 182,223 place-ments of which 57,236 were veterans. Not all the traffic comes through the Employment Office. Of the total number of accessions, the Service places on an average between 15 and 20 percent of the total. On a basis of the total non-agricultural placements in 1946 this would mean that in order to obtain a net increase of 60,000 in covered employ-ment, more than 800,000 persons were hired during the year in covered or non-covered employment. This, of course, is high and does not lend support to the claims frequently advanced for North Caro-lina as to the stability of its industries. However, in this case it was a problem of readjustment rather than of instability of industry, for, as the record shows, total employment was at a high level through-out the year. Furthermore, a large portion of this turnover was in non-covered employment such as domestic or pub-lic service, also seasonal tobacco processing, and can-not be said to reflect turnover rates in industry. According to the United States Department of Labor's "Monthly Labor Review," the average acces-sion rate in manufacturing industries during 1946 was about 7 percent, as against North Carolina's 8.9 percent for all types of industry as calculated from the above estimate of turnover. State in Fortunate Position It may be concluded from the foregoing that one year of reconversion in North Carolina has put the State in a specially fortunate position. It has almost unlimited natural resources and home grown raw material ; and, despite temporary dislocations, its facilities for manufacture have been materially ex-panded. Its labor force was never so great, and the demand for its products never so strong. Full util-ization of its manpower and completed manufacture of its raw materials should crown the achievement of this decade. PAGE 104 THE E. S. C. QUARTERLY FALL, 1947 Employment Service Tests Aid State's Industries By Lois Clarke, Feature Writer, in The Raleigh (N. C.) Times A relatively new, though a highly beneficial and vitally necessary, Tar Heel project is the aptitude testing and trade testing service rendered by the Employment Service Division of the North Carolina Employment Security Commission. This testing service was begun about ten years ago after a number of years of developmental work. The Employment Service's occupational analysts now have the job of training personnel in local offices to administer tests, score and interpret them, and to assist in selling employers on the idea of using test selected workers. The analysts also must see that conditions are proper for administering the tests. Of the 70 employment offices in the State from Eliz-abeth City to Murphy, 43 have aptitude tests, 27 have stenographic tests, and all have oral trade tests. Use of Tests Time-Saver The tests are used in staffing new plants and in transferring workers within or between industries. For example, when one department in an industry folds up, workers there are tested to see if they will fit into another branch. Results of the tests have cut down labor turnover, have reduced learning time and have increased production. Individual employ-ers have written that they are "delighted to find competent new workers," that the devices are great time-savers; that the use has "cut down training time 30 percent and that the tests have increased production 35 percent" over that turned out by non-tested applicants. One employer wrote that he had been skeptical, but he had found after a number of years that the services proved their worth. Another said enthusi-astically, "not one worker has been considered for employment until he has passed these tests." Miss Lancaster is timing and testing two stenographers. Miss Geraldine Gay and Miss Fyne, on their aptitudes in the Paper and Pencil Tests, one of several used in the local offices of the Employment Service to test the aptitudes of applicants for certain types of work. They are in the State office of the Employment Service. Aptitude test on the Peg Board. The speed with which the applicant can transfer the pegs from one hoard to another gives a good idea of finger dexterity and the aptitude for certain types of jobs. C. C. Love, occupational analyst in the State office of the Employment Service division, owns the fingers. In developing a test, the job involved is first ob-served and thoroughly analyzed. Then a group of experienced workers, from 15 to 30 in number, are given tests to determine which they can do best. Scores are taken, and the tests approved when there is a high degree of correlation between scores and the production rate of those tested. Over 200 Test Batteries Two to five tests are usually combined for one job—this combination is called a test battery. Then the device is put on trial to ensure its value. This is, in general, the way all the tests are developed, so there is little element of uncertainty in them. There are over 200 test batteries for individual jobs in such industries as textile, hosiery, garment, machine shop, retail trade, radio manufacturing and clerical work. Types of devices vary from the finger dexterity board tests to the high speed typing and shorthand tests. Finger dexterity tests are given to select sewing machine operators, aircraft riveters, knit-ters, loopers and radio manufacturing workers. In addition to the tweezer dexterity, pencil and paper tests are used for weavers. Probably the most minutely accurate tests are those for typing and stenography, because they are prepared with a time limit on each line of dictation. Each test is uniform and there is accurate timing on each. Dictation tests are scaled to 80, 96 and 100 words per minute. Typing tests are scored as to the number of strokes, with deductions made for errors. Color Blindness Test One of the most fascinating of all is the Ishihara color blindness test, issued to aid in selecting weav- FALL, 1947 THE E. S. C. QUARTERLY PAGE 105 ers, rug hookers, and electricians. The test is so named for Dr. Shinobu Ishihara, a professor of ophthalmology (the science of the eye and its dis-eases) at the Imperial University of Tokyo in Japan. The test has been used by the Army and the Navy, and by optometrists throughout the nation. It has proved one of the most reliable in existence for test-ing color blindness. Oral Trade Questions are particularly useful in testing workers in the skilled trades. They are de-veloped by asking hundreds of questions of skilled workers on the job and then verifying the answers in other localities. Bricklaying is a good example of a trade for which these questions are used. mm m iiiiiiiimi Finger board aptitude test, to determine linger dexterity and aptitude for certain jobs in which efficient use of the fingers is important, is being given by Miss Blanche Lancaster, chief occupational analyst, to two members of the office staff, C. G. Love, occupational analyst, and Miss Lemoine Fyne, steno-grapher, in State office of the Employment Service Division. General Aptitude Test Battery The General Aptitude Test Battery, known in the Service Division as the GATB, is the most complete group of tests the service has. The purpose is to assist in counselling people with placement problems —those who have not decided on a life's work. Re-quiring two and a quarter hours to administer, it measures 10 basic aptitudes, such as, numerical or verbal ability, motor speed, aiming, clerical percep-tion, form perception, finger and manual dexterity, and spatial perception—this last indicating the abil-ity to "visualize" objects of two or three dimensions. The GATB has received nationwide publicity in trade magazines and in some of the large newspapers. Its fame has also spread through the use for service-men who have disabilities sustained while in the Armed Forces and who are forced to change their work. Although the test battery has been in the experi-mental stage for four years, and still is, it can be interpreted in 20 broad types of work. Some exam-ples are accounting and related subjects, plumbing, heavy metal structure work, routine clerical work, creative writing and translating, inspecting, com-puting and general recording, artistic drawing and related jobs, and drafting and similar jobs. Tests Indicate Efficieficy Total results of the tests in the GATB are known as a profile. The tests are graded and the minimum scores which have been arrived at are set up. Each person's score is recorded and compared to the min-imum ; anything above the minimum indicates a po-tential in the field. A person tested can be strong in more than one field, or (though this is exceptional) he can be strong in every field. The evidence is not conclusive, all it does is show a person's strong points. Other factors must be considered for him to make a success in any field, such as willingness to work and desire to succeed. The person himself must, of course, make the final decision as to his course of action. He alone can determine the results of his action. Despite the fact that the GATB is still in the expe-rimental stage, the Employment Service Division is undeniably filling a great need in North Carolina. No testing device can be perfect but constant ex-perimenting and improvements have brought tests of the Employment Service Division to the point where some employers cannot do without them and where praise from others has been widespread. INVESTIGATIONS OF 85,000 CLAIMANTS FOR BENEFITS (Continued from page 98) Under the Employment Security Program only 240 cases were reviewed by the Commission itself. Not all of these cases were the result of appeals from claimants or employers for in some cases, such as strikes, the Commission renders the decision based on the record developed for it in a special hearing. The Commission has a right to be proud of the record of its deputies for rendering determinations which are for the most part accepted by the claim-ants and other interested parties, and from the fact that at each subsequent review stage the prior de-cision is usually affirmed. RURAL INDUSTRIES COMMITTEES (Continued from page 82) B. B. Sugg, Greenville ; Glen Swicegood, Kinston ; A. L. Thompson, Greensboro ; J. G. Thornton, Wilming-ton; J. E. S. Thorpe, Franklin; C. W. Tilson, Dur-ham; T. B. Upchurch, Jr., Raeford; Isaac Van Horn, Asheville; Ralph Van Trine, Durham; E. H. Wasson, Charlotte; Lionel Weil, Goldsboro; J. V. Whitfield, Wallace; J. E. Winslow, Greenville; Dallas T. Daly and J. F. Dalton, Norfolk Va.; Gilbert T. Wood, Roanoke, Va. PAGE 106 THE E. S. C. QUARTERLY FALL, 1947 State-Community Planning Needed For Employment By Ernest C. McCracken, Director, North Carolina State Employment Service Division, ESC Prior to and immediately following V-J Day vari-ous economists, statisticians, and others who pro-fessed to have an intimate knowledge of labor market and employment conditions, filled our newspapers and magazines with scholarly predictions of employ-ment conditions which we might expect during the years following the war. In both industrial and employer groups the estimates of future production and predictions of employment levels were subjects for considerable discussion in the airing of wide differences of opinion. As we look back over our experiences here in North Carolina it is very evident that those who predicted mass unemployment were seriously wrong and yet at the same time there have been sections of our State where there were not jobs for the civilian workers or the veterans who returned seeking em-ployment. It is somewhat remarkable, in the short period of time since the Army, Navy, and Marine Corps began demobilization of the men and women who served during the last war, that at the present time less than four percent of the 400,000 North Carolinians who served during this war have failed to find employment. At the same time there is danger that we might allow ourselves to be lulled into a sense of false security by conditions as they pres-ently exist and fail to examine employment problems that may have serious effect on our entire economic structure during the next few years. One of the most important of these problems is the location of possible areas of unemployment in the State and determining through careful analysis what solution can be found to these problems. Both Surplus and Shortage During August and September 1947 when, through-out the greater part of the State there was reason-ably high employment, it is difficult to believe that in some of the western counties, and in some of the eastern sections where workers were attracted dur-ing the war by shipbuilding, camp construction, and other military activities, there are unusually large groups of unemployed workers. Potentially, these workers are available for transfer to other sections of the State. Actually, however, they are to a great extent anchored to their present locations because of the lack of housing facilities in those areas where there is a demand for employees. A second problem that must be considered is the possible displacement of workers now employed in industry or agriculture by the introduction of new methods of production or technological changes which now seem inevitable. In agriculture alone re-duction in acreage in certain crops in the State may displace hundreds of workers now employed in the growing and harvesting of those crops. In addition to reduction in acreage, further mechanization in the entire agricultural industry—which should gain momentum with the availability of new machinery — will displace numerous workers for which no accu-rate estimates are available. The third problem that must be faced directly during the next three years is the location of em-ployment for veterans and other persons who are now attending the various colleges and universities. It is well known that every college and university in the State is filled to its maximum capacity with stu-dents who expect jobs to be available for them when their education has been completed. Unfortunately, in the past, many of the native young men and women who have graduated from our universities have found it necessary to migrate to industrial centers in other states to find employment. As a result we have lost not only the investment the State has in their educa-tion but have also lost the earning capacity which they might have brought to this State, as well as the contributions they might have made to the develop-ment of our economy. Seasonal Employment Problem The fourth problem which we have faced for years we will continue to face. It is the problem of finding additional employment for the thousands of persons who, during the year, are engaged for only short periods of time on jobs of a seasonal nature. Obvious-ly, it would be impossible for industry of this nature to continue to operate if this labor supply were not available, but if we expect to maintain reasonable levels of income for this group of people a great deal of emphasis should be given to the problem of addi-tional seasonal employment for the periods of time when they are presently unemployed. These problems are of vital interest to the Employ-ment Security Commission because of their effect upon the economic structure of the State. We will continue studying and evaluating the scope and na-ture of these problems and will work with individual organizations, other State departments, and private enterprise in seeking to find their solution. While employment and employment conditions are necessarily both statewide and national problems, it becomes very evident that they are also very vital community problems. While State organizations and national organizations may provide impetus to and assistance in, solutions to these problems, they cannot be effective without interest and participation on the part of community groups. In areas where there is serious unemployment or the prospect of unemployed workers it appears that at least one step can be taken to alleviate this condi-tion. New enterprises which can offer employment must be brought into these localities. Civic organizations, governmental organizations, and employer and employee groups of every com-munity should ask the following questions : FALL, 1947 THE E. S. C. QUARTERLY PAGE 107 1. Does our area have a place for expansion of em-ployment opportunities? 2. Have we, as a community, given adequate atten-tion to the study of the immediate future for our area? 3. Does our area have plans for further develop-ment and diversification of our agricultural areas to provide a more stable agricultural economy and a more stable income for our farm popula-tion? 4. Do we, as a community, know where additional industry is needed, and the types of industries that could be developed, based on the characteris-tics of the labor supply in the community, and the natural advantages of the area? Community Planning Program
Object Description
Description
Title | E.S.C. quarterly |
Date | 1947 |
Digital Characteristics-A | 36 p.; 5.92 MB |
Digital Collection | North Carolina Digital State Documents Collection |
Digital Format | application/pdf |
Title Replaces | U.C.C. quarterly** |
Audience | All |
Pres File Name-M | pubs_serial_escquarterly19471950.pdf |
Pres Local File Path-M | Preservation_content\StatePubs\pubs_serial_escquarterly |
Full Text | The E. S. C. Quarterly VOLUME 5, NO. 4 (FORMERLY UTHE U.C.C. QUARTERLY") FALL 1947 NORTH CAROLINA HAS RAW MATERIALS, WORKERS, NATURAL AND FINANCIAL RESOURCES FOR MORE, BETTER AND LARGER RURAL INDUSTRIES MACHETES, brush axes, jungle hooks, are also used for box-ing trees for naval stores, turpentine HOOKED RUG mak-ing is an important and remunerative home industry in rural areas of North Carolina PUBLISHED BY Employment Security Commission of North Carolina (Formerly "Unemployment Compensation Commission of North Carolina") __ KALtlGH, N. Q. mml uKIVlRSITYT LIBRARY PAGE 82 THE E. S C. QUARTERLY FALL, 1947 The E. S. C. Quarterly Volume 5 ; Number 4 Fall, 1947 Issued four times a year at Raleigh, N. C, by the EMPLOYMENT SECURITY COMMISSION OF NORTH CAROLINA Commissioners : Mrs. W. T. Bost, Raleigh; Judge C. E. Cowan, Morganton; C. A. Fink, Spencer; R. Dave Hall, Belmont; Marion W. Heiss, Greensboro; Dr. Harry D. Wolf, Chapel Hill. State Advisory Council: Capus M. Waynick, Raleigh, Chair-man; Willard Dowell, Raleigh; H. L. Kiser, Charlotte; Dr. Thurman D. Kitchin, Wake Forest; Robert F. Phillips, Ashe-ville; Mrs. Dillard Reynolds, Winston-Salem; Mrs. Bmil Rosenthal, Goldsboro; W. Cedric Stallings, Charlotte. HENRY E. KENDALL Chairman R. FULLER MARTIN Director Unemployment Compensation Division ERNEST C. McCRACKEN Director North Carolina State Employment Service Division M. R. DUNNAGAN Editor Informational Service Representative Cover illustrations represent typical North Carolina industries under the unemployment compensation program or related activities. Cover for Fall, 1947—Two activities representative of the numerous types of rural industries in North Carolina. Top—Hooked rug making is engaged in by members of many rural families in their homes and yards. This scene is in a home on US Routes 19-25 in Yancey County. Sold to summer visitors and by contract to retailers. Bottom — Machetes are made by Council Tool Co., Wananish, pro-ducers of several kinds of hand tools. They were used extensively in jungle operations of U. S. marines and sol-diers in World War II. Yes, that's K. Clyde Council, pres-ident, on right. These and most of the other pictures in this issue were made by John Hemmer, State News Bu-reau, Dept. of Conservation and Development. Sent free upon request to responsible individuals, agencies, organizations and libraries. Address: E. S. C. Informational Service, P. 0. Box 589, Raleigh, N. C. CONTENTS PAGE Rural Industries Committees 82 Balanced Economy Demands More Rural Industries 83 By Dr. L. D. Baver. More Rural Industries to Boost State's Income 8 4 By Paul Kelly Materials, Labor, Capital, for Rural Industries 86 By W. C. Guthrie Rural Electric Power Adds Impetus to Industry 90 By David D. Barber, Jr. Many Types of Rural Industries Now Operating _ 91 Water, Surface and Ground, Vital to Industries ._ 93 Surface, By W. H. Riley; Ground, by M. J. Mundorff. Garment Making Plants Should Increase in State 97 By Milton M. Croom. Investigations of 85,000 Claimants for Benefits 98 By Hugh M. Raper Industrial Opportunities Abundant in This State 99 By Marshall L. Shepherd Employment Increasing and Shifting in the State 102 By Silas F. Campbell Employment Service Tests Aid State's Industries 10 4 By Lois Clarke State-Community Planning Needed for Employment 106 By Ernest C. McCracken Facts on All Types of Industries for Prospects .. _107 By Philip Schwartz Industries, If Sound, Wanted by All Communities . „109 By Paul Kelly Small Firms in Small Communities Gain Rapidly 110 By Silas F. Campbell RURAL INDUSTRIES COMMITTEES Governor R. Gregg Cherry has appointed two spe-cial committees to promote and aid in the extension of rural industries in North Carolina. One is the Operating Committee of eight members, all but one located in Raleigh, and the General Committee, com-posed of 100 members throughout the State, with three or four, all railroad officials, residing outside the State. The Operating Committee consists of Dr. L. D. Baver, N. C. State College, chairman; Paul Kelly, Dept. of Conservation and Development, secretary; Dr. Clarence Poe, T. E. Browne, Dan E. Stewart, Randall B. Etheridge, Dean I. O. Schaub, State Col-lege, and T. V. Rochelle, High Point. The General Committee of 100 members includes the following: Lt. Gov. L. Y. Ballentine, Miss Ella Stephens Barrett, W. K. Beichler, William C. Book-er, J. Melville Broughton, G. W. Coggin, Miss Kath-erine Dennis, Clyde A. Dillon, Dr. J. S. Dorton, Col. A. L. Fletcher, E. Y. Floyd, Fred Greene, H. G. Isley, W. B. Logan, M. G. Mann, Gwyn H. Price, L. L. Ray, W. Kerr Scott, Dr. J. L. Stuckey, Paul S. Vecker, Dr. D. S. Weaver, all of Raleigh; George Ashford, Red Springs ; W. B. Austin, Jefferson ; John C. Baskervill, Lenoir; S. W. Black, Jr., Charlotte; Tom Bledsoe, Greensboro; Joseph H. Bryan, Greensboro; C. S. Bunn, Spring Hope; James W. Butler, Goldsboro; Harry B. Caldwell, Greensboro ; Fayette Cloud, Liles-ville; George S. Coble, Lexington; Dr. R. E. Coker, Chapel Hill; G. D. Conant, Wilmington; K. Clyde Council, Wananish; Brice T. Dickson, Gastonia; R. S. Dickson, Charlotte ; W. W. Eagles, Macclesfield ; Alonzo C. Edwards, Hookerton; B. B. Everett, Pal-myra ; James S. Ficklin, Greenville ; J. H. Fields, Wilmington ; C. A. Field, Wilmington ; E. K. Garner, Charlotte ; L. Lee Gravely, Rocky Mount ; C. D. Gray, Gastonia ; Dr. I. T. Haig, Asheville ; Robert M. Hanes, Winston-Salem ; Leo H. Harvey, Kinston ; S. T. Henry, Spruce Pine ; W. H. Herndon, Sanford ; Miss Harriet L. Herring, Chapel Hill ; George Watts Hill, Durham ; Dr. S. H. Hobbs, Jr., Chapel Hill ; Mr. Hol-brook, Statesville ; Josh L. Home, Rocky Mount ; Joe Howard, Greensboro; Gordon C. Hunter, Roxboro; J. P. Jobb, Wilmington ; Millard F. Jones, Rocky Mount ; W. L. Jones, Goldsboro ; Mose Kiser, Greens-boro ; Marshall Lake, Charlotte ; John Paul Lucas, Jr., Charlotte ; Wade Marr, Elizabeth City ; James G. K. McClure, Asheville; H. A. Morgan, Smithfield ; R. E. Nance, Lumberton ; Reeves Noland, Waynesville ; Lass Nowell, Ahoskie; Carroll Overton, Salisbury; Roy A. Palmer, Charlotte; Mayon Parker, Ahoskie; Thomas J. Pearsall, Rocky Mount; J. Hawley Poole, West End ; S. T. Proctor, Fuquay Springs ; D. Hiden Ramsey, Asheville ; R. Grady Rankin, Gastonia ; Reu-ben B. Robertson, Canton ; Carroll P. Rogers, Tryon ; Fred S. Royster, Henderson ; J. T. Ryan, High Point R. Flake Shaw, Greensboro ; Frank O. Sherrill, Char-lotte ; H. H. Singleterry, Albemarle ; Miles J. Smith, Salisbury; J. Brantley Speight, Winterville; Charles H. Stone, Charlotte ; Harry H. Straus, Pisgah Forest; (Continued on page 105) FALL, 1947 THE E. S. C. QUARTERLY PAGE 83 Balanced Economy Demands More Rural Industries By Dr. L. D. Baver, Dean, School of Agriculture and Forestry, N. C. State College, and Chairman, State Rural Industries Operating Committee The soundest economy that a state can have is a balanced industrial and agricultural life. Agricul-ture should provide the products of the soil that can be processed into articles of commerce. It should provide for the food that is consumed by its popu-lace. Industry should provide the opportunities for the employment of labor that will serve as a market for the products of the farms and for the transforma-tion of the raw materials from the soil into economic wealth. Industry, to be effective in a stable economy, should be widely scattered throughout the state and not concentrated in just a few areas. Industries may be large and small. Contrary to the opinion of many people, it is not a small number of larger industries that makes a state great. It is the distribution and strength of the smaller industries that play the sig-nificant role. True, a state cannot get along with no large industries. Likewise, it cannot make progress only with the larger ones. North Carolina is noted for its textile, furniture and tobacco industries. These three industries have added wealth and strength to the State, particularly in the Piedmont and adjacent areas. Interestingly enough, all of these industries process the products of the soil and of the forest. The soil and the forest happen to be our major natural resources. But, the industrial pattern of the State does not present a picture of maximum economic stability. At the pres-ent, most of the industrial plants are concentrated in a few cities and urban communities. For example, 95% of all the industries are located west of Raleigh. Only 5% of industrial North Carolina is in the east-ern section of the State. Ten counties with only 21 % of the population are responsible for 46% of the industrial employment. In spite of the fact that the soils of North Carolina produce a wide variety of crops that lend themselves to processing and manu-facture, only 15% of the industries of the State are engaged in activities outside the fields of textiles, tobacco and wood. As one looks into the future, he is impressed great-ly with the necessity of having more industries scat-tered throughout the rural areas of the State. This is particularly true of eastern North Carolina. The need for more industries is there. The opportuni-ties for meeting this need are there. Let us look at the employment situation in agri-culture in the future. Farm mechanization is already here. Cotton pickers are picking cotton on farms in the State now. There will be more of them. The other phases of mechanical cotton production will be put into operation rapidly throughout the State. This is the one important way that production costs can be cut down so that we can afford to grow cotton. What will this mean? Less labor required in the cotton fields. Research rapidly is solving the prob- NOTE—Dr. Baver resigned, effective January 1, to become Director of the Experiment Station of the Hawaiian Sugar Planters' Association at Honolulu. lem of mechanizing the peanut crop. What will happen when the labor requirements of peanut har-vesting are materially reduced? More labor avail-able for other purposes. There is even cause at this time for suggesting that less labor will be required in the future in the growing of the tobacco crop. All of these statements simply mean that the large num-ber of persons now on the farms of the State will not be required in the future to farm the lands of the State. What will we do with them? They must seek industrial employment someplace and that place is in the respective communities in which they are displaced from the farms. In other words, we need rural industries just to solve a sociological problem that lies ahead,—just to give employment to people that will no longer be needed to farm. But there are other reasons why we need rural industries. We need them to increase the overall per capita and per family income in the State. A state that sells the products of its soil at wholesale prices outside the State and then buys the processed goods back at retail prices is losing money. It is not the money that is paid for the production of the raw material that adds up large income figures. It is the money that goes into the wages of skilled and semi-skilled workers who process the raw material that counts. North Carolina is sending too many of its raw materials outside the State for processing for its own economic good. Let us use one glaring example—peanuts. North Carolina is second in the nation in the production of peanuts. But, where are the peanuts processed into peanut butter, peanut candies, peanut crackers and the like? In North-ampton County, the number one peanut county in the nation ? NO ! In Chicago, Cincinnati, Philadel-phia and other cities where the only contact of the Granny Donaldsen, of Marble, Cherokee County, created and makes "cow blankets'', one of the unusual products of Southern Highland handicrafts. A humane activity, but the poor cows get little benefit. The blankets are used largely as wall ornaments. PAGE 84 THE E. S. C. QUARTERLY FALL, 1947 average citizen with a peanut in the shell is at a baseball game. Last winter I went into the grocery stores of Elizabeth City, which is at the very doors of the peanut belt, to look for processed peanut products. All of the peanut candies, except an in-expensive peanut bar, and all the peanut butter came from outside the State. Even small bags of shelled peanuts offered were put up in Philadelphia. Other similar examples could be cited for other products of the soil. Similar examples could be given for the mineral resources that are so abundant in the mountain area of the State. Then we need rural industries to help us develop a balanced system of agriculture in the State. North Carolina has been primarily a one-crop type of agri-cultural State. This is especially true in the tobacco, peanut and cotton belts. Nearly everyone is agreed that what North Carolina agriculture needs most is diversification. This means livestock and poultry, fruits and vegetables. But livestock needs feed crops. Livestock and poultry producers need mar-kets for their products. Fruit and vegetable farm-ers need markets also. These requirements of agri-cultural diversification can only be met by feed mills strategically located throughout the farming areas so that the farmer can market his grain and also purchase his concentrates. There must be cold stor-age plants for both animal and horticultural prod-ucts. There must be more freezer lockers and quick-freezing plants. There must be marketing facilities for grading and packing. Now, none of these plants will require a large labor force to run them. How-ever, in their total aggregate, they will give employ- ( Continued on page 112) More Rural Industries To Boost State's Income By Paul Kelly, Assistant Director, N. C. Dept. of Conservation & Development A higher level of living is one of the most natural and worthy objectives of any community or state, and such an attainment depends, to a major extent, upon the incomes of the people. North Carolina has gained national acclaim on her progress record, in many respects, during the last several decades. However, in spite of this progress, the State has lagged in the per capita earn-ings of her citizens. Records compiled by the U. S. Department of Commerce ranked North Carolina in 42nd place in the per capita income of $316.00 in 1940, compared with the national average of $575.00. Although the per capita income for North Caro-lina for 1945 had increased to $732.00, the national average had jumped to $1,150.00, and the State drop-ped to 44th place among her sister states. By com-parison, the earnings for the average New Yorker for the same year was $1,595.00. One of the most logical means of increasing the earning capacity of the people is through the process-ing of more of our raw materials into finished man-ufactured products. Almost without exception, the most prosperous states are those where industrial-ization has progressed to the greatest degree. Greater industrialization means not only a better and a surer income for the producer, but, in addition, provides more employment opportunities and usually some profit for the developer. See Need for Local Industries For some years, the State has worked through a systematic advertising program and a vigorous fol-low- up campaign through the Division of Commerce and Industry of the Department of Conservation and Development toward inducing manufacturers to establish new plants in North Carolina. These activ-ities have been carried on in cooperation with Cham-bers of Commerce, railroads, power companies, and other civic and promotional agencies. During all this time the need has been felt for more adequate facilities for encouraging and promoting what are called home or local industries. At the same time, those concerned with the development program rec-ognized the desirability of greater diversification in industry. About the middle of 1945, Dr. Clarence Poe, editor of The Progressive Farmer, called the attention of Governor R. Gregg Cherry and a group of State leaders to the urgency of a rural industry program in North Carolina. He cited, in particular, the accom-plishments of a movement of this nature in Georgia and the fact that with increased mechanization of the farm that larger numbers of laborers would need to seek employment elsewhere as machinery continues to reduce the requirements for manual labor on the farm. In November, 1945, Governor Cherry called to-gether about 100 business, agricultural, and educa-tional leaders from all sections of the State and a number of State officials at Raleigh, in a two-day conference to discuss plans for rural industries. In calling the meeting, Governor Cherry said that North Carolina needed to expand industrially to assure full employment and a more balanced economy. Special committees were appointed and met in individual sessions. Definite plans were discussed and suggestions were submitted by the various com-mittees on forestry, crop processing, food processing, minerals, dairy products, repair services and mar-keting services. Governor Cherry then appointed a committee of nine men known as an Operating Com-mittee to assist more actively in carrying out the rural industries program in the State. A Rural In-dustries Branch was established in the Division of Commerce and Industry of the Department of Con-servation and Development. Governor's Operating Committee The General Rural Industries Committee appoint-ed by Governor Cherry includes representatives of all State agencies concerned with agricultural and FALL, 1947 THE E. S. C. QUARTERLY PAGE 85 industrial development in North Carolina, farm or-ganizations, industrial promotional agencies, public utilities, transportation companies, trade groups, and business and professional organizations working toward the development of the State. The Operat-ing Committee is made up largely of officials repre-senting the State agencies concerned chiefly with industry and agriculture and business leaders. Mem-bers of the Operating Committee are Dr. L. D. Baver, director of the Agricultural Experiment Station and Dean of the School of Agriculture and Forestry, N. C. State College, Raleigh, Chairman ; Dean I. 0. Schaub, N. C. Agricultural Extension Service, N. C. State College, Raleigh; T. E. Browne, N. C. Department of Education, Raleigh; Felix A. Grisette, director of the then N. C. State Planning Board, Raleigh ; Ran-dall B. Ethericlge, Division of Markets, N. C. Depart-ment of Agriculture, Raleigh; Dr. Clarence Poe, publisher of The Progressive Farmer, Raleigh ; T. V. Rochelle, president Globe Parlor Furniture Co., High Point; Dan E. Stewart, assistant to the Vice-Presi-dent, Carolina Power and Light Co., Raleigh; and Paul Kelly, Assistant Director of the N. C. Depart-ment of Conservation and Development, Raleigh. A series of eleven regional meetings was held throughout the State, beginning November 18 and ending December 11, for the purpose of discussing both the need and the opportunity for small indus-tries in each section of North Carolina, utilizing the products of each community as well as the surplus labor, and the available financial resources. Each meeting took in a number of neighboring counties, thereby covering every county in the State. These meetings were attended by bankers, business, civic, agricultural, industrial, and educational leaders and State officials. The type of industries and services discussed would create more jobs, increase the per capita earning power, raise the standard of living, decrease the exodus of labor from the State, utilize the available financial resources in the State, and thereby con-tribute to the stabilization of the farm population, and make North Carolina a much better balanced State from an economic standpoint. Although the term Rural Industries has no strict classification, it usually applies to small enterprises, located in rural areas, utilizing nearby resources, and developed by local interests. Local Meetings On Program Since the eleven meetings, the program has been pushed along vigorously and the first results are now in evidence. The Rural Industries Branch chose to follow what appeared to be the most logical proced-ure in prosecuting the program; and that was to determine, through its own studies and with the advice of experts in the cooperating agencies and elsewhere, various lines of manufacturing which appeared to offer the best opporunity for immediate development. These ideas have been passed along to interested potential developers and the general public. Truckloatl of vegetable shipping baskets from the plant of the Corbett Packing Co., Wilmington, near which port city is located one of the best truck growing areas in the eastern part of the State. The basic form of these suggestions is a series of briefs presenting a few logical reasons which seem to point out a demand for manufacturing plants of a certain type and proposing that interested devel-opers give mature consideration to their possibilities. To date, five of these briefs have been prepared and circulated generally throughout the State. They have also received publicity in the press and by radio. Among the new types of enterprises suggested for development in the first five briefs are food and vegetable processing, small wood-using industries, potato processing, feed manufacture, and projects related to the poultry industry. In some instances, the briefs are contributed by experts in other agen-cies. Plans are to continue the issuance of these briefs as long as logical opportunities for new indus-trial development are apparent. Another group of publications under the title of Resources-Industry Series has been initiated. These bulletins elaborate on opportunities and give some specific suggestions concerning procedure in setting up a certain type of manufacturing plant. Some of the publications in this series are prepared by the Department and others by cooperating agencies. Bulletins Give Information Three bulletins in this series have already come from the press, one on the preservative treatment of fence posts, another on the roofing manufacture, and the third on opportunities in dehydration. Two man-uscripts were furnished by cooperating agencies. The response to the publications was immediate and wide-spread. Results from the suggestion of fence post treating plants have been most pleasing. Since the issuance of the publication, six or more plants have been brought into operation, more are under construction and probably a score or more are under consideration. The Department had no previous record of the exist-ence of a plant of this nature in the State. Although the roofing industry bulletin has been off the press only a few weeks and the cost of a plant (Continued on page 114) PAGE 86 THE E. S. C. QUARTERLY FALL, 1947 Materials, Labor, Capital, For Rural Industries By W. C. Guthrie, Division of Commerce and Industry, Dept. of Conservation and Development North Carolina has a population of 3,571,623 ac-cording to the 1940 United States census. The average density of population is 68 persons per square mile. Approximately 70 percent of the popu-lation are whites and 30 percent are Negroes. The greatest portion of her people are native born, and spend most of their lives within the boundaries of the State. The State has a total area of 52,286 square miles, comprising 100 counties. There are 48,666 square miles in land area. The greatest length of the State is over 500 miles, and the greatest width is 188 miles. There are three main physiographic regions in North Carolina, namely, the Mountain Region, the Pied-mont Region, and the Coastal Plain Region, thereby presenting a wide variety of natural resources, agri-cultural and industrial development, as well as beau-tiful scenic and fine recreational opportunities. During the war years North Carolina formed plans to develop within the State new and enlarged commercial and industrial enterprises. Much thought was given to the utilization of raw materials, labor, and the available financial resources that would enable these plans to result in the actual establish-ment of such industries and enterprises. These plans are now being put into effective peacetime use, and are beginning to show tangible results in many sec-tions of the State. In 1945 the State Department of Conservation and Development announced that 387 new industries and expansions, involving an investment totalling $84,- 000,000 were recorded in the State. Some began construction in 1945, and others have been delayed due to the critical shortage of building materials. Of these, 225 were new plants located in the State in 1945 involving an investment of $47,000,000, em-ploying 16,000 workers whose annual payroll was estimated to be $21,000,000. Industrial plants num-bering 162 and already operating in the State, an-nounced plans to invest $36,000,000 for expansion purposes, thereby employing an additional 18,000 workers who would receive an additional $25,000,000 per year in wages. Heading the list in North Carolina was the textile industry followed by other industries in numerical order, such as food and kindred products, furniture and finished lumber products, stone, clay and glass products, paper and allied products, chemicals and allied products, tobacco manufacture, and other classified industries including non-ferrous metals, machinery, lumber and timber basic products, and miscellaneous industries. With the expansion of in-dustrial activity comes the expansion of small busi-ness enterprises throughout the State. (Mecklenburg County leads the other counties in the State in new industries, followed by Guilford, Wake, Durham, Gaston, Buncombe, and Alamance in that order). Special attention is being given small rural indus-tries for the purpose of utilizing the available raw materials in the various communities throughout the State, as well as the available labor supply. The banks in the State have credit resources of nearly $2,000,000,000, and are most anxious to see North Carolina expand industrially and commercially; and are making more small loans today than ever before since their establishment. Average Income Too Low There is a definite need for North Carolina to fur-ther develop rural industries in each county through-out the entire State in order to produce a better over-all economy for the State as a whole. This is shown by the following figures released in a special report of the United States Department of Commerce giving the per capita income of individuals according to states for the year 1945, the national average being $1,150.00: New York, $1,595.00; California, $1,480.00; Con-necticut, $1,449.00; Washington, $1,407.00; Dela-ware, $1,381.00; New Jersey, $1,373.00; District of Columbia, $1,361.00; Illinois, $1,360.00; Massachu-setts, $1,321.00; Rhode Island, $1,200-$1,300; Ohio, $1,200-$1,300; Michigan, $1,200-$1,300; Nevada, $1,200-$1,300; Oregon, $1,200-$1,300; Pennsylvania, $1,100-$1,200; Indiana, $1,100-$1,200; Wisconsin, $1,100-$1,200; Iowa, $1,100-$1,200; Kansas, $1,100- $1,200; Nebraska, $1,100-$1,200; North Dakota, $1,100-$1,200; Montana, $1,100-$1,200; Colorado, $1,100-$1,200; Maine, $1,000-$1,100; Vermont, $1,000-$1,100- Minnesota, $1,000-$1,100; Missouri, $1,000-$1,100; South Dakota, $1,000-$1,100; Wyom-ing, $1,000-$1,100; Utah, $1,000-$1,100; Idaho, $1,000-$1,100; Florida, $900-$l,000; New Hamp-shire, $900-$l,000; Texas, $900-$l,000; Arizona, $900-$l,000; Virginia, $900-$l,000; West Virginia, Edwards Printing office is located deep in the hills of Yancey County and does a big mail order business in all the eastern states. The presses and linotype machines are run by steam boiler power. His only help is tico children. FALL, 1947 THE E. S. C. QUARTERLY PAGE 87 $800-$900 ; Oklahoma, $800-$900 ; New Mexico, $800- $900; Tennessee, $800-$900 ; North Carolina, $700- $800; Alabama, $700-$800; Georgia, $700-$800 ; Louisiana, $700-$800 ; Kentucky, $700-$800 ; South Carolina, $600-$700; Arkansas, $600-$700; Missis-sippi, $500-$600. The average per family income for North Carolina in 1940 was $1,386.00. The average for the nation was $2,133.00. The per family income is less than the average for the State in 80 counties of the 100 in the State. The most direct means to increase the standard of living is to increase the per capita and the per family income. In 1940 the per capita farm income was $181.00. The average for the nation was $388.00. The counties that are more industrialized are the counties that have the largest per capita in-comes. Also the standard of living in these counties is higher than in counties having few or no industries. The wide difference between individual income in North Carolina and other parts of the nation can be due largely to the greater industrialization in states of the north, east, and middle west. Sections of the nation, as well as sections of the State, have the largest per capita income where there are industrial and commercial industries. Many Counties Lack Industries The North Carolina State Planning Board obtain-ed the following figures showing that the majority of all industry in North Carolina is too highly con-centrated in a few urban communities : 46.5 percent of all industrial employment is concentrated within only 10 counties. These counties contain only 21.4 percent of the total population. Only 34 counties have as many as 25 percent of total employment en-gaged in manufacturing. Sixty-six counties are thus under-industrialized. Only 37.7 percent of all in-dustrial employment is in these 66 counties. In these 66 counties, industrial employment accounts for only 16.4 percent of all employment. There are 60 coun-ties which have no city containing as much as 5,000 population. There are 61 counties in which there is no Chamber of Commerce. Recent surveys of loca-tions of newly established industries and expansions of existing industries are in those same communi-ties which are already highly industrialized. The above facts and figures show there is a definite need in North Carolina for the establishment and the development of rural industries and services in each county throughout the State. They would create more jobs, increase the per capita earning power and income, decrease the exodus of labor from the State at its age of greatest productivity, and thereby contribute to the stabilization of the farm population of the State. It should be the purpose and desire of the people of the State to establish and develop industries and services so as to dispose of every product and raw material we have in the form of merchandise and products as purchased by the consumer, thereby utilizing the raw materials and surplus labor in each community in the State. This m % iPfTl i :****l^^ "Largest in the world" is the claim of the proud owner of this overshot waterwheel, which no longer operates a rural in-dustry. However, it is used to attract visitors to the tavern at Gay, Jackson County, in the Cherokee Indian Reservation. would make for a much better and well balanced economy throughout all of North Carolina. Farming operations in the south will be almost completely mechanized during the next few years, which will bring larger family-size farms and greater diversification. This will reduce the number of farm-ers in the population and will make available workers for employment in rural industries. This will bring drastic changes in farming operations. Industries Develop Community In August, 1944, the Long Island Star Journal pub-lished an article about people and stated "A FAC-TORY MEANS THIS : Thousands of you now work-ing in factories around the borough will be interested in the following findings of the Queensboro Chamber of Commerce anent the importance of a manufactur-ing plant in your community ... A factory employ-ing 150 will support from 1,000 to 1,200 persons and cause 300 homes to be built. It will fill a 22-room schoolhouse using 18 teachers. In normal times this factory will put 320 autos into the community and support 33 stores with total annual sales of $500,000. It will enable 24 professional people, priests, rabbis, ministers, doctors, dentists, lawyers, teachers, musi-cians, and others to live in the community Further it will pay about $533,600.00 annually for transportation and buy the products of 6,600 acres of land which involves the farmers' output. And it will provide a payroll of between $190,000.00 and $200,000.00 a year and establish a tax foundation of $2,500,000.00 .... No wonder we want to keep our factories and little industries and our business-men." Dr. Paul W. Chapman, Dean of the College of Agriculture of the University of Georgia, had the following to say in an address he made on April 24, 1946, at Edgewater Park, Mississippi : "Anyone who cares to investigate how the consumers' dollar is divided will perhaps be surprised to discover how small a part of it goes into the pockets of the farmer. Of the cotton goods dollar, the farmers gets 7.5 cents. PAGE 88 THE E. S. C. QUARTERLY FALL, 1947 The grower gets 11.6 cents out of the tobacco dollar. Farmers get, on an average, 35 cents of the fresh fruit and vegetable dollar and 40 cents of the milk dollar. When all food products are lumped together, the division of the consumers' dollar is as follows: producer 37 cents, processors 27 cents, transporters 7 cents, brokers 1 cent, wholesalers 6 cents, and re-tailers 22 cents. The point in citing these figures is not to consider whether the farmers gets a fair share, but to point out that more pennies out of the dollar the consumer spends for farm products go to pay commercial and industrial workers than are paid to the growers of the products. The conclusion of this observation is that the south should render more of the services and earn a larger part of the sum which consumers pay for farm products and raw materials produced in the region. One of the most significant observations which can be made about a program for the development of rural industries and services is, however, that there are virtually no other income-creating possibilities open to the rural community." Since the initiation of Governor R. Gregg Cherry's program for the promotion of industries located in rural sections, utilizing nearby raw materials and labor, and financed by local capital, the Division of Commerce and Industry has participated to the full extent of its facilities. The raw materials and products that are in exist-ence and found throughout the mountain, piedmont, and coastal plain regions may be divided into four main classifications, namely, (1) Forestry Products; (2) Agricultural Products and Services, Seafood, Livestock Products—Dairy Products—Poultry Prod-ucts; (3) Mineral Products; (4) Textile Products. Under each of these groups are listed some of the industries and services that are vitally needed and should be developed, thereby utilizing the raw mate-rials in the State and make for a better balanced economy in North Carolina. Forestry Products Sufficient North Carolina has more than 100 tree species. It is not advisable at this present time to establish in-dustries using softwoods above the rate already scheduled for the pulp and paper industry, excepting hemlock and Virginia pine. Any industry that will use the less sought-after hardwoods is in a good po-sition to obtain raw materials. It is not advisable to establish industries using the better hardwood spe-cies. There are exceptions such as small plants using favored woods, both hardwoods and softwoods, for more highly valued products than do present industries. They will likewise meet stiff competition in obtaining raw materials. There is a good supply of cheap stumpage of scar-let, chestnut, water oaks, hickories, black gum and similar species, also short length and narrow width lumber that is obtained from the sound portion of cull trees. Industries utilizing foresty products may be grouped into six classifications as follows : (A) Woods work industries. 1. Logging 2. Pulpwood cutting Pickle packing assembly line runs 80 feet, to left JfO feet and left again 18 feet to pasteurizer and labeling machine. Twenty-four packers deftly fill jars, supplied from behind them, place filled jars on conveyor belt to go 200 feet to packing cases. At right is row of pickling tanks. This is the plant at Mount Olive. Another big plant is at Faison. (B) Primary industries starting with the wood—lumber plants and sawmills, thus well adapted to rural com-munities, and producing such items as: 1. Lumber (including sawn ties) 2. Veneer 3. Shingles 4. Hewn ties 5. Poles and piles 6. Fuelwood 7. Pulpwood 8. Fence posts 9. Dimension stock 10. Extract woods and bark 11. Cooperage (baskets, hampers, barrels, crates) 12. Handles for tools and vehicle parts 13. Shuttle blocks 14. Excelsior 15. Picker sticks, bobbins, hickory splints, insulator pins, turnings, crating 16. Fiberboard 17. Smoking pipes (C) Secondary industries starting with the wood after it has passed through one of the primary plants. 1. Furniture—household—novelty—souvenir—toys, sporting goods 2. Boxes, baskets, crating 3. Planing mills 4. Car construction and repair 5. Caskets 6. Dowels and skewers 7. Fixtures 8. Flooring 9. Sash, frames, doors, and other mill work lo! Woodenware and novelties—toys 11. Preservative treatment of fence posts 12. Building materials—all types not specified else-where 13. Venetian blinds 14. Farm implements (D) Industries utilizing logging and manufacturing wastes, such as the unutilized part of cut trees, wood left on the ground, high stumps, tops, butts, short or cull logs and bolts, logs split in felling; trees ruined in logging and trees soon to die; utilization of primary manufac-turing wastes such as slabs, edgings, trims, veneer cores, shavings, and sawdust. Sawdust is the largest single item of unused manufacturing waste. 1. Wood flour (produced from sawdust and shavings) 2. Plastics—woodfilled and lignin bonded (produced from sawdust, lignin, waste pulp and other mill waste). FALL, 1947 THE E. S. C. QUARTERLY PAGE 89 (B) Other industries that offer opportunities for small rural industries : 1. Small charcoal plants using forest waste 2. Plants producing wooden plugs tor paper rolls 3. Wood turning plants 4. Plants producing essential oils from cedar, pine, gum, etc. 5. Plants producing prefabricated farm buildings 6. Laminated flooring—TVA process—use of wood lot cuttings and low grade hardwoods 7. Construction of small boats 8. Broom and mop plants 9. Organic chemicals—resins, rosin chemicals used in manufacture of rayon (from destructive distilla-tion of wood) . (F) Plants using hickory as primary source of raw material 1. Agricultural implements 2. Boxes, baskets and crating 3. Car construction and repair 4. Conduits, pumps, wood pipe 5. Dairy, poultry supplies, etc. 6. Dowels and skewers 7. Electric equipment 8. Furniture 9 # Handles 10. Scientific instruments 11. Ladders 12. Machinery 13. Patterns and flasks 14. Tobacco pipes 15. Sash, doors, general millwork 16. Ship and boat building 17. Shuttles, spools, bobbins, looms 18. Sporting and athletic goods 19. Toys 20. Motor vehicles 21. Woodenware and novelties 2 2. Hickory block flooring or paving blocks could be made from waste wood 23. Dimension stock for sale to other plants AGRICULTURAL PRODUCTS AND SERVICES, SEAFOOD, LIVESTOCK PRODUCTS—DAIRY PRODUCTS — POULTRY PRODUCTS 5. Cold storage plants 6. Quick freezing plants 7. Egg grading stations (C) Seafood products 1. Quick freezing plants 2. Cold storage plants 3. Canneries (D) Food plants 1. Community food preservation center 2. Canneries 3. Freezer lockers 4- Cold storage plants 5. Syrup mills 6. Grist mills 7. Flour mills 8. Pickle making plants 9. Kraut plants 10. Vinegar plants 11. Bakeries (E) (F) (G) (A) (R) Dairy products 1 Creameries 2.' Milk plants 3. Ice cream plants 4. Cheese plants 5. Condenseries for milk (condensed milk) 6. Powdered milk plants Poultry products 1. Egg and poultry marketing centers 2. Dressing plants 3. Hatcheries 4. Egg drying plants Sweet potatoes and Irish potatoes 1. Packing sheds 2. Curing houses 3. Shredding mills 4. Dehydrators 5. Starch plants 6. Freezing plants Fruits, vegetables 1. Curb markets 2. Wholesale markets 3. Canning plants 4. Grading and packing sheds 5. Cold storage houses 6. Freezing plants 7. Dehydration units 8. Juice extraction plants 9. Jelly, jam, glazed fruit plants Field crops 1. Seed cleaning plants 2. Warehouses 3. Grain elevators 4. Seed treating plants 5. Dehydrators 6. Potato chip plants 7. Storage facilities for cotton, feed, grains, hay, (H) seeds, and sweet potatoes and other crops Peanut, pecan, soybeans 1. Shelling plants 2. Waxing and grading plants 3. Butter making plants 4. Candy factories 5. Oil mills 6. Salting plants (I) Cattle, sheep, hogs 1. Sales barns 2. Packing houses 3. Abattoirs 4. Meat curing plants 5. Freezer locker plants 6. Cold storage plants 7. Wool grading centers 8. Rendering plants 9. Feed mills 10. Leather working plants, shoe manufacturing plants (J) Farm supply plants 1. Feed mixing plants 2. Legume dehydrators 3. Fertilizer plants 4. Farm machinery plants 5. Farm tool plants 6. Spray equipment plants 7. Rural repair services for household and farm ma-chinery and equipment—such as machine shops, etc. 8. Storage batteries—wet and dry 9. Guano plants Drying seaiveecl at Beaufort, used in the production of agar-agar, a gelatinous substance or in the form of white powder, used as a soldifying agent in administering cultures (bacteria). In great demand during the war period. INDUSTRIES AND ENTERPRISES RELATIVE MINERAL AND CHEMICAL RESOURCES (A) Plants producing the following: 1 # China clay 2. Dinnerware (Continued on page 113) TO PAGE 90 THE E. S. C. QUARTERLY FALL, 1947 Rural Electric Power Adds Impetus To Industry By David D. Barber, Jr., Principal Engineer, North Carolina Rural Electrification Authority Prior to 1935, benefits from electric power lines in rural North Carolina were limited to those few rural people who had the foresight into its possibili-ties and the money necessary to underwrite the ad-venture. At the beginning of the year 1935 our rec-ords show that 1885 miles of rural electric lines serv-ing 11,588 rural consumers were in operation. This represented electric service to approximately 3.2% of the farms in our State. The national percentage at that time was 10.9%. Through the public clamor for electricity in the rural areas of our State the legislature created the North Carolina Rural Electrification Authority as a service organization to assist our people in their quest for rural electric service. With the combined efforts of the other State agen-cies together with the agricultural leaders both on the State and county levels and the federal govern-ment, this office can now report that as of July this year our records show 38,800 miles of rural lines serving 234,000 rural consumers, which means that 54.2% of the farms in our State now have electric service, the national percentage being 61%. This is a far cry from the situation as it existed in 1935, and it shows the forward strides being made in our State as well as efforts being made to keep abreast of the national progress. This rural electrification advancement was accom-plished through the construction programs of the rural electric cooperatives, financed through the fed-eral REA loan funds, the privately owned utility companies, cities and towns who operate electric systems and other local public agencies. All of us who are directly or indirectly associated with rural electrification should not relax for a mom-ent on the splendid progress to date for it is only half completed. The remaining half will be even more difficult to accomplish than the first half since in the remaining are included the remote and less populated regions. However, through the rural elec-tric cooperatives full area coverage program which is already well under way and the general tendencies of other agencies in the State furnishing electric power in rural areas to lean towards a broader cov-erage the job ahead can be done; although it will require complete coordination of all these agencies into one unselfish aim—that being to see that all rural areas are electrified. (Continued on page 92) Exhibit at State Fair, Raleigh, of rural indus-tries on rural electric lines of N. C. Rural Electrification Authority cooperative associations. Ribbons are from points where cooperatives are located to placards on margins of map. Items in exhibit are made on lines of eight of the 32 cooperatives in the State. (Most of them are listed on opposite page.) FALL, 1947 THE E. S. C. QUARTERLY PAGE 91 Many Types Of Rural Industries Now Operating Types of rural industries now operating success-fully in North Carolina are indicated by a partial list of those picked up by representatives of the North Carolina Rural Electrification Authority on rural electrification cooperative lines, on lines of electric public utilities companies in the State and on city and town electric lines. Many others are operated by water power direct and by steam boilers, and some by hand and by horsepower. The incom-plete list follows : On REA Cooperative Lines D. & P. Pipe Works, Sparta, Processing roots into smoking pipes. Farmers Package Co., near Burgaw, Processing veneer into vegetable baskets and hampers. A. J. Hatcher, RFD, Selma, Manufacturers of wheels and axles for tobacco farm gathering wagons. Henry Brown, RFD 3, Hillsboro, Woodworking shop turning out tables of various kinds for the home. Cecil Bell, Rt. 2, Statesville, Hay drying operation. Smith Upholstery Co., RFD 2, Mocksville, Upholster-ing furniture. Clinard, RFD 1, Harmony, Artificial flowers. Charles D. Boger, Hide and Tallow Co., Processing greases and tallow from animal parts. Wade Smith, RFD 2, Mocksville, Processing animal feeds. Carolina Pyrophyllite Co., RFD, Staley, Mining Py-rophyllite and processing talc for cosmetics and other uses. Bare and Sons Broom Works, RFD 2, Staley, Manu-facturing brooms of various types. Glenn Art Pottery, RFD 1, Steed, Produces all kinds of pottery. Currie Mills, Highfalls, Manufactures cotton yarn and twine. Richland Roller Mill, RFD 2, Ramseur, Processes flour and feeds. Garland Allred, RFD 1, Franklinville, Cement blocks. Richardson Brothers Cabinet Works, Woodworking shop producing kitchen cabinets. Coleridge Bending Plant, near Coleridge, Furniture plant producing straight chairs. North State Pottery, RFD, Sanford, Produces all kinds of pottery. House of Wakefield, RFD, Sanford, Producers of cos-metics. Oscar T. Barham, RFD, Wake Forest, Operating a cucumber grader. Moore County Casket Works, Glendon, Manufactur-ers of caskets. J. H. Perry, RFD, Creedmoor, operating peach grader. Maxwell and Maxwell, RFD, Wadesboro, Woodwork-ing shop to produce mouldings, window and door frames, screens and other specific jobs. Case G. Westergreed, RFD, Pantego, Cold storage facilities for flowers and bulbs. Carolina Flower Farms, RFD, Plymouth, Cold stor-age facilities for flowers and bulbs. A. D. Swindell, RFD, Pantego, Operates Irish potato grading machine. S. W. Wilkinson, RFD, Pantego, Operates Irish po-tato grading machine. L. H. Johnson, RFD, Pantego, Freezer locker plant and meat packing. J. P. Bailey, RFD, Wake Forest, Machine shop—re-pair work. On Public Utilities Company Lines Council Tool Co., Wananish, Manufacturer of hand tools. Mathis Fence Post Treating Plant, RFD, Clinton, treating fence posts. R. H. Curry, Derby, Miller, grinding grains. N. K. Wood Preserving Co., Wade, preservative treat-ment of woods. W. R. Bonsai Co., RFD, Lilesville, reinforced hollow concrete floor and roof slabs, sacked dry ready mixed concrete. Maxwell Insecticide Co., RFD, Cary, processors of insecticides. Mt. Croghan Mfg. Co., Mt. Croghan, Manufacturers of tool handles such as axes and hoes. Taylor Food Company, RFD, Cary, Peanut butter, salted peanuts, potato chips, cracker sandwiches. William Holding, RFD, Wake Forest, Hay drying operation. J. C. Smith, Bear Creek Road near Asheville, Manu-facturers of shuttles. Mr. Foncis, RFD, Waynesville, Cold storage facilities for apples. J. H. Brodie, RFD, Henderson, Hay drying operation. Semi-Rural Industries Dockery Laboratories, Rockingham, Processors of insecticides. Mt. Olive Pickle Co., Mt. Olive, Processing cucumbers into pickles. Millikan & Thomas, Asheboro, abattoir and chill room. Cannady Dehydration Co., Four Oaks, Dehydrating sweet potatoes into feed meal. Charles D. Roberts, Canton, Cutting dogwood blocks for shuttles. Henderson Wood Products, Henderson, Garment hangers. C. A. Royston, Maxton, Manufacturers of baby cribs. Southland Shirt Co., Candor, making shirts. Candor Handkerchiefs, Candor, making handker-chiefs. Marmoc Inc., Aberdeen, making table cloths and aprons. Roxboro Mattress Co., Roxboro, Manufacturers of mattresses. The J. C. Edwards country store five years ago is noio the Edwards and Gaddy feed and seed cleaning establishment, the first rural industry started after cooperative rural electrifi-cations came to the Wadesboro area. PAGE 92 THE E. S. C. QUARTERLY FALL, 1947 RURAL ELECTRIC POWER ADDS IMPETUS TO INDUSTRY (Continued from page 90) Going Into Isolated Areas The picture would not be complete unless we look into the future. Reports indicate that there are still approximately 130,000 farms without electricity, Information received from the various agencies fur-nishing electric service to the rural areas indicate they now have under construction or authorized for construction an additional 11,700 miles of rural lines to serve an additional 47,500 rural consumers of which approximately 34,000 would be farm connec-tions. This construction is hoped to be completed within a year. However, due to material deliveries it may take longer than expected. Farmers are finding out through electricity on the farm how they can make their family living con-ditions as modern and convenient as their city neigh-bors and how rural power on the farm will make their farming operations more profitable so that they may enjoy these farm home conveniences to the full-est extent. This is resulting in never before heard of electric power requirements which necessitates system improvements to heavy up the rural power systems to meet these unprecedented demands. These system improvements are being accomplished where necessary as quickly as materials become available. I have heard the remark made several times that rural power lines being built would light up the farm home and possibly run the motor on the electric water pump or refrigerator, but were too light for operating heavy equipment on the farm or power loads for rural industries and could not be utilized. This is not true, since a line so designed would surely not fill all the needs of rural electrification. On the other hand it is true with rural electric power lines as well as most any other thing built by man, there are limitations. However, the engineer can plan the changes and additions for system improvements necessary to provide the power requirements when that limit is reached, on existing rural power lines, for most any type of rural industry. Power for Rural Industries The production of raw products, which our State is blessed with, should be handled through local pro-cessing and manufacturing plants into finished con-sumer goods to a much greater degree than is being accomplished at present. The widespread construc-tion of rural power lines will prove an adequate and long awaited facility by which rural industries can now be given impetus by individuals, groups of indi-viduals or corporations. In addition to being a source of power, rural elec-tric lines are also a means by which the proposed rural industry can be located near the source of the raw product or located on basis of other considera-tions affecting its feasibility rather than as hereto-fore at usually just one spot and that being where electricity was available in or adjacent to a town. As examples, grading, waxing, packing and load- Dogwood Blossoms, made of silver in a process discovered and developed by Stuart Nye, are produced in quantity in his back-yard near Asheville, where he has a nice little plant. Nye became a silversmith by accident, when lie bought the tools of a fellow hobbyist. He has a payroll of $40,000 a year and his silver dogivood blossoms (North Carolina's State floiver) go all over the country. ing of agricultural products. Through rural electri-fication these can now be accomplished in local com-munities rather than loaded and hauled into a dis-tant town. Also associated rural industries, at these points, might be sweet potato shredding mills and dehydrators. Local millers can set up small local rural indus-tries for grinding and processing grains for human consumption or processing grains into feed for ani-mal consumption right in the area where the grains are grown and required. In the past the location was determined usually by two main items, a stream of water which could be utilized for power or a town where electric power was available. Rural electric power is gradually increasing the farm income through the establishment of grade A dairies. Through rural power other rural industries pertaining to dairying are made possible such as local milk collection routes and processing stations, which could include creameries, pasteurizing plants, milk plants, ice cream plants, cheese plants, conden-series, and possibly powdered milk products for human consumption and when surpluses occur for animal feed supplements. Can Develop Many Industries Peanuts and pecans are produced in abundance in our State. Rural electrification provides possibili-ties for rural cracking and shelling plants, waxing plants, butter making plants, candy and cracker plants, oil mills and salting plants. To those rural people who raise flowers and bulbs commercially rural electricity provides unusual op-portunities. Through rural power, cold storage fa-cilities can be made available right out on the farm whereby flowers and bulbs can be definitely control-led, when gathered, assuring the producer that his product will reach even the far distant market in excellent condition to demand the top market prices. Rural power has only started in opening up the way for unlimited possible rural industries in the (Continued on page 111) FALL, 1947 THE E. S. C. QUARTERLY PAGE 93 Water, Surface and Ground, Vital To Industries SURFACE WATER By W.H. Riley, Principal Engineer, Water Resources and Engineering Division, Department of Con-servation and Development The State of North Carolina is blessed with a bountiful supply of good water. Throughout the whole State we find an abundance of water that is very low in dissolved solids. For this reason indus-tries have been attracted to North Carolina for water that will be suited for their particular needs. This State has been very fortunate in having this great natural resource and should take every precaution to use it wisely. With wise planning water can be made man's best friend, but without wise planning it can be man's greatest enemy. The Division of Water Resources and Engineering of the Department of Conservation and Development is doing every-thing in its power to see that the water of the State be used to the advantage of the greatest number of inhabitants. Water, unlike coal and other minerals, is fluid in character and cannot be saved by hoarding. Unless water is used by man the greatest resource is being wasted. Herbert Hoover once said, "True conserva-tion of water is not the prevention of use. Every drop of water that runs to the sea without yielding its full commercial returns to the nation is an eco-nomic loss and that loss in all its economic implica-tions can be computed in billions." Highest Uses of Resources It is generally agreed that the highest uses of water resources are: ( 1 ) For source of supply for water-works serving the public for domestic and municipal purposes. (2) For purposes of sanitation by the conveyance (Continued on page 94) Water, uncontrolled, can be a very destructive element. Scene is flood condition of Cape Fear River, near Lillington. Two lines, center, are sidewalls of highway bridge, almost com-pletely inundated. Bridge spans normal body of water, indi-cated by space between rows of trees. Highway is completely covered on near side. GROUND WATER By M. J. Mundorff, Associate Geologist, Ground Water Division, U. S. Geological Survey, Coop-erating tvith N. C. Mineral Resources Division Ground water is one of North Carolina's most val-uable and important natural resources. Most of the rural population use water from wells or springs and more than 300,000 people in 175 municipalities de-pend upon ground water. Thousands of industrial establishments in every section of the State depend partly or entirely upon ground water supplies. It is estimated that about 40,000,000,000 gallons of ground water are used yearly in the State. The actual value of the ground water used in North Carolina, calcu-lated at rates paid by consumers in cities, probably is about $20,000,000 a year. Ground water, unlike mineral and rock deposits which in time are mined out, is continually being replenished by rainfall. If the rate of withdrawal does not exceed the rate of replenishment, ground water can be withdrawn year after year and there will still be as much left in the ground as there was at the beginning. Only a small fraction of the poten-tial ground water supply is now being utilized. In order that ground-water supplies might be more effectively utilized, the North Carolina Department of Conservation and Development began a coopera-tive project, in 1941, with the U. S. Geological Sur-vey. The purpose of the project is to determine the nature and extent of the aquifers, the quantity and quality of water obtainable from them, to develop criteria for choosing locations for drilling and dig-ging wells, to determine the chances of increasing the yield with increasing depth of well, and to ascertain the areas capable of supplying large quantities of water for industrial development. Several reports giving results of the investigations have been published by the North Carolina Depart-ment of Conservation and Development. They are as follows : Information Circular 3, "Selected Well Logs in the Coastal Plain of North Carolina"; Bul-letin 47, "Progress Report on Ground Water in North Carolina" ; "Hydrologic Data on the Neuse River Basin, 1866-1945"; and Bulletin 51, "Ground Water in the Halifax Area, North Carolina." Several other reports are in the process of being published or are being prepared at the present time. Importance of Ground Water to Rural Industry Rural industries, because of their generally small size, usually cannot afford the expense of installing a filter plant required when surface water is used; therefore most of them depend upon ground-water supplies. Although the total amount of ground water available in the State is enormous, and large supplies are available at many places, there are numerous other localities where the supplies are definitely lim-ited. A complete understanding of the possibilities of a prospective industrial site is necessary to insure (Continued on page 95) PAGE 94 THE E. S. C QUARTERLY FALL, 1947 SURFACE WATER (Continued from page 93) of sewage and industrial waste after suitable treat-ment, when and where needed. (3) For water for manufacturing and industrial purposes, for development of power, for agriculture and for navigation. The use or uses for which any particular stream or body of water lying within a drainage area should be reserved, depends partly on the economic activi-ties of the people living therein; the physical char-acteristic of the country through which the stream flows, and the prevailing climatological conditions. Hence the problem of conserving our water resources through judicious development has been and will continue to be threefold in nature. It is necessary to determine not only what prevailing economic con-ditions dictate as the purposes a particular water resource can best serve, but also, the characteristics with which the stream has been endowed by nature ; and then by engineering processes, to bring it under control of man for the realization of that benefit. The first two steps in the subjection of these fluid resources are governmental functions; the third is in the realm of private operations except where the use is of a municipal nature. North Carolina has not, as yet, awakened entirely to a consciousness of the need for the rational utilization of her streams, but a large part of the work of the Water Resources and Engineering Division are related to the second step, namely, the determination of the natural char-acteristics of her surface streams. North Carolina is developing rapidly into an in-dustrial state. If this State is to prosper in the future it must grow industrially, since industry is the backbone of our civilization. Without data on the quality and quantity of the water, industry can-not be attracted to North Carolina. With the growth of industry can be expected the growth of munici-palities ; and with the growth of municipalities can be expected a greater demand for water. Life and civilization cannot exist without water. Already a number of towns and cities in North Carolina have outgrown their present water supplies and are look-ing for additional supplies. Requests are being re-ceived constantly for data on streams for domestic and industrial use. Stream Gaging Records Floiv In virtually all phases of water resources use, a knowledge of the day-by-day variations in the quan-tity of water flowing is the basis upon which must be predicated any sound procedure for allocation or development. To be of greatest value, observations of flow must be continuous and carried on for a long period. This work is still comparatively young in the State, but its growth can be seen in the following table : Flow of water pumped from a 400-foot deep toell drilled in 1946 to supply water for the town of Taylorsville. A test of the amount of supply showed a flow of 120 gallons over a 24-hour period. No. of Automatic Year Stations Recorders 1920 .___ 8 1925 45 8 1930 75 45 1935 _ . 84 80 1940 131 127 1942 124 122 1946 132 132 This program is carried on by a cooperative agree-ment with the U. S. Geological Survey, U. S. Engi-neers, Tennessee Valley Authority and other agen-cies. The drop in the number of stations in 1942 was caused by the war time curtailment of funds from one of the cooperating agencies. Having re-covered from this loss it is now hoped that a con-tinual growth can be maintained. The demand for information of this nature is constantly increasing and must be supplied if North Carolina continues to grow as it has in the past. The value of automatic recorders cannot be stress-ed too much. With the use of automatic recorders a complete picture of the rise and fall of the stream can be obtained, and from this all information in regard to the flow can be more accurately obtained. Streams are constantly changing the elevations of their surfaces, so that a continuous record is the only possible means to arrive accurately at the max-imum, minimum and average flow of any stream. Not only do streams change in their elevation of surface but often they change in the amount of dis-charge at any given elevation. This change necessi-tates a continuous program of discharge measure-ments. To maintain a good record requires a num-ber of measurements each year at as many different elevations as possible. Several branch offices are maintained throughout the State to reduce the cost as well as to have a man near enough to reach the stream when measurements are needed. FALL, 1947 THE E. S. C. QUARTERLY PAGE 95 Chemical Water Analyses If North Carolina is to compete with neighboring States in presenting data to attract new industries, a thorough investigation of the chemical character of its streams must be undertaken. An investment of this sort pays very large dividends through in-creased tax income from industries, and added em-ployment to local people. Many industries require water supplies of specific quality suitable to their particular processes and needs. Several industries have located in North Caro-lina because they were able to find water suitable for their processes within the State. If the State is in a position to supply data of this nature upon request industries will be attracted to the State and will in turn increase the tax income and give employment to local people. The need for this data has been felt for a long period, and steps have been taken to secure the data. In the past these analyses have been made by several organizations working in cooperation with the Water Resources and Engineering Division. The majority of these were made by Dr. E. E. Randolph of the Chemical Engineering Department of State College and the U. S. Geological Survey in Washington, D. C. Others were made through fellowships to students in college and some by chemists employed by the State. These analyses have been a great help; but with increasing demands and the desire to be of more service to the State better arrangements had to be made. In 1943 an agreement was made with the U. S. Geological Survey whereby a laboratory was established in the State. Under this agreement we are now getting a continuous study of the chemical character of the streams of North Carolina. GROUND WATER (Continued from page 93) selection of a site where adequate ground-water sup-plies can be obtained. Ground, Water in Piedmont and Mountain Sections On the accompanying map, hydrologic unit areas 5 to 9 are in the Piedmont and Mountain sections of Map or NORTH CAROLINA DROLOCIC UNIT-AREAS 1. Sand and clay, with shells, shell rock, and marl. Miocene and pliocene age. Chiefly the Yorktown formation but also includes the Castle Hayne and Trent marls near the south-ern boundary of the area. Large amounts of water from wells 100 to 400 feet deep. Water is hard, at places contains objectionable iron. Deeper water is brackish. 2. Sand, clay, shell rock, marl, and limestone. Includes Peedee, Castle Hayne, Trent, and Duplin formations and Pliocene deposits. Very large amount of water available in most parts. Wells yield up to 1000 gallons a minute. Water usually hard. Brackish water at depths of 200 to 600 feet below the surface. 3. Sand, clay, and marl of the Yorktown formation of Miocene age. Moderate amounts of water from sand lenses. Water frequently hard, (b) Sand and clay of Cretaceous age beneath the Yorktown formation. Also some Eocene deposits in eastern part of area. Large amounts of soft water available except along western margin of the area. Yields of 300 to 60 gallons a minute at many places. 4. Sand, clay, argillaceous sand and sandy clay; some limestone and marl in eastern part of area. Includes Tuscaloosa, Black Creek and Peedee formations of Cretaceous age . Large quantity of water available except in extreme western part. Yields of 500 gallons a minute possible at most places. Water soft, low in dissolves, solids, sometimes high in iron. 5. Sandstone, shale, mudstone, conglomerate, rareky limestone. Commonly lenticular, cross-bedded, arkosic. Triassic age. Rock are bedded, dip horizontal to 4 5 degree. Small supplies of water at most places (5 to 2 5 gallons a minute). Moderate supplies (to 100 gallons a minute) in some places. Water generally moderately hard to very hard, sometimes contains objec-tionable amount of iron. 6. Schists, phyllites, slates, shales, and metamorphosed volcanics. In part of igneous and in part of sedimentary origin. Generally moderately small to moderate (10 to 15 gallons a minute), occasionally moderately large supplies (to 300 gallons a minute). Water frequently contains objectionable amount of iron. 7. Albite-chlorite schist, quartzite, slate, shale, and limestone. Chiefly derived from sedimentary formations. Bedding us-ually distinct. Pre-Cambrian and Cambrian age. Generally moderate supplies of water. Wells yield from 5 to 50 or more gallons a minute. Water usually soft, except from wells in limestone. 8. Gneiss and schist, chiefly feldspar-biotite gneiss and schist included in the Carolina gneiss. Derived principally from sedimentary rocks. Pre-Cambrian age. Moderate to moderately large amounts of water. Industrial and municipal wells average about 50 gallons a minute. Best supplies obtained in coarser phases where dip is fairly low. Water soft to moderately hard. 9. Granites and gneisses, slight to severe metamorphism. Includes Cranberry granite, Henderson granite, Blowing Rock gneiss, Bessemer granite, Whiteside and Yorkville granites and similar rocks of igneous origin. Generally small, sometimes moderate, rarely moderately large supplies, of water. Best supplies are from more highly metamorphosed rocks. Only a few gallons a minute from wells in unsheared rocks. Water moderately soft to hard. PAGE 96 THE E. S. C. QUARTERLY FALL, 1947 the State. Ground water in these sections, the cen-tral and western part of the State, occurs chiefly in consolidated rocks. The rocks are principally igneous and metamorphic rocks but include two belts of con-solidated sediments, the Deep River and the Dan River belts of Triassic rocks. Water occurs in, and moves through, the rocks in fractures, joints, cleav-age and bedding planes and similar openings. Where such openings are plentiful, larger supplies are found than where the openings are few and small. Granites that have been sheared and fractured are fairly good aquifers. Horizontal joints are im-portant to the occurrence and movement of ground water in these rocks. Industrial and municipal wells in such rocks yield an average of about 40 to 50 gallons a minute. Wells in massive granite will yield little or no water. The fractures and crevices in granite become fewer and smaller with depth so that drilling beyond 250 or 300 feet is rarely justified. At some places the slates and schists and some gneisses are the most prolific aquifers in the Pied-mont and Mountain sections, but at other places these rocks yield only small amounts of water. It seems that the coarser textured rocks in which the cleavage planes, planes of schistosity and bedding planes are closely spaced, dipping moderately to rather steeply, are the best. Quartz veins are im-portant in some of the slates and schists and some of the wells intersecting such veins yield large amounts of water. Many wells drilled in favorable locations in these rocks yield 50 to 100 gallons a minute, and a number of wells yield 100 to more than 300 gallons a minute. At less favorable locations, where the cleavage and schistosity are poorly developed and where the angle of dip is very low, the yields are much less. As with granite, the openings in these rocks decrease with depth, so that the quantity of water entering a well below 300 feet generally is small. Water from most wells in schist and from a majority of the wells in gneiss is soft, but some wells in slate yield moderately hard water. Some wells in the schist and slate yield water containing consider-able iron. The Triassic sedimentary rocks generally do not yield as much water as the igneous and metamor-phic rocks. Although yields of as much as 100 gal-lons a minute have been obtained at several places relatively few wells yield more than 25 gallons a minute. Yield of wells in these rocks are prone to decline greatly when the well is pumped steadily. The coarse-grained strata yield more water than the fine-grained strata, and locations near diabase dikes, which have fractured the strata, generally are more favorable. Of the Triassic rocks, the Dan River belt appears to be somewhat better as an aquifer than the Deep River belt. Diorite and gabbro generally yield only a few gallons a minute, and yields of 25 gallons a minute or more are unusual. The water at many places is hard. When selecting sites for rural industrial establish-ments which are to use ground water as a source of Fontana Dam, a rural industry groivn up, built in Swain County by TVA to control flood waters and supply cheap water power to rural and urban communities and industries. Fourth highest dam in world, J/51 feet high, with 117-foot fluctuation in water level. Shore line is 215 miles long. Power house at high. This is a reservoir dam to fill lower dams, 'village, converted, is popular mountain resort. Construction supply the geology should be considered as outlined above. Areas of massive granite, and of flat-lying slate, schist, or gneiss should be avoided if possible. Areas underlain by diorite or gabbro are especially undesirable. In selecting locations for drilling wells, the follow-ing factors should be considered : Texture: Coarse-grained rocks generally are bet-ter aquifers than fine-grained ones. Jointing and fracturing: Places where the rock has many joints or is otherwise fractured are most favorable. Schistosity, cleavage, and bedding planes : Places where these planes are closely spaced and prominent, and where they dip at moderate angles are preferable. Quartz veins : These are usually considerably frac-tured and are important in the movement of ground water. Some of the best wells in the Piedmont ob-tain their water from quartz veins. Dikes: The rocks adjacent to many dikes have been fractured by the injection of the dike and wells drilled into these fractured zones at many places yield more water than the undisturbed rock. This is particularly true of the Triassic strata. The dikes themselves at most places are poor aquifers. Thickness of weathered mantle: A thick layer of residual weathered material overlying the bedrock is an indication that the rock has interstices through which ground water can circulate. Furthermore, this weathered layer serves to store and feed water into the fractured rock below. Topographic location : At many places the rock is so deeply covered by soil and subsoil that little can be seen of the structure and texture of the rock. At many of these places topography gives clues as to the con- ( Continued on page 114) FALL, 1947 THE E. S. C. QUARTERLY PAGE 97 Garment Making Plants Should Increase In State By Milton M. Croom, Assistant Industrial Engineer, Division of Commerce and Industry, Dept. of Conservation and Development Opportunities now existing in the garment manu-facturing field in North Carolina can be envisioned by comparison with the situation which faced manu-facturers of cotton cloth in this State at the end of World War I, when the production of Southern cot-ton mills was overshadowed by that of the well en-trenched cotton manufacturing industry of New England. At that time North Carolina mill owners were faced with weighty problems, such as labor sup-ply in traditionally agrarian communities, inadequate power sources, and marketing difficulties, for the opinion prevailed in some quarters that Southern workers could not make quality materials. Today North Carolina has more cotton mills and produces more cotton cloth of a higher total value than any other state in the union. Much of this cloth is bleached, dyed and finished in the State, and shipped to garment manufacturers in many parts of the nation. Only a small part of this production is fabricated into garments within the State, however. Factors Favor Expansion A number of factors favor the expansion of the ready-to-wear garment industry in North Carolina. The most important of these factors are : 1. A potentially large supply of high type workers is available. 2. Nearness to sources of raw materials. 3. Managerial "know-how" exists, and is being developed. 4. Availability of capital. 5. Nearness to markets. Each of these subjects is discussed briefly below: 1. Labor. Large areas of North Carolina are still predominantly agrarian in nature. Ninety-five per-cent of North Carolina's industry is located west of Raleigh, chiefly in the Piedmont section of the State. The villages and towns of the farming sections offer very limited employment opportunities, particularly for women. Thus a potentially large labor supply is available. Practically all of these women, who are potential employees of new garment factories, al-ready possess some skill in the sewing arts, and only a short period of adjustment would be required to enable them to become competent operators in a gar-ment factory. A number of women living in towns which do not now have clothing plants have expressed an interest in obtaining this type of work in their home communities. 2. Raw Materials. Fabrics of great variety are produced and finished in this State and shipped to distant factories. Many of the garments made by these out-of-state factories are shipped into this State to be sold. North Carolinians pay for these needless handling and shipping services, and lose the income from processing the cloth into garments to other sections of the country. Located as it is in the very heart of the nation's cloth making industry, North Carolina's position with respect to sources of supply for a growing garment industry is unparalleled. This fact greatly enhances its competitive position in re-lation to the existing garment making centers of the nation. 3. "Knoiv-How." North Carolina already has a number of clothing factories. Some of them are very large, integrated corporations making nationally known products ; others are small concerns. Well qualified, ambitious employees of these older com-panies welcome opportunities to assume positions of leadership in, and to grow with, new enterprises. Garment Fabrication Instruction The growing importance of the garment industry in this State is recognized by the faculty of the N. C. State College School of Textiles. The writer is in-formed that new courses in garment fabrication are to be introduced in the curricula of the textile school in the near future. Growth of the garment industry in the State will be furthered by this excellent train-ing offered by one of the world's best textile schools. 4. Capital. The garment industry is adaptable to small factories of relatively low capitalization. These factories are organized on the assembly line princi-ple. From about 15 to 40 people are required to perform the various operations on a single asembly line. A factory may have one or several assembly lines. Therefore, the number of people employed in clothing factories varies from a score to several thousand. However, a great many clothing factories have less than 100 employees. The capital required to start a small clothing fac-tory is capable of being raised by almost any town or village in North Carolina, provided only that there is an earnest desire on the part of the leading citizens to accomplish this purpose. A small plant employing 16 to 20 people making a single garment such as children's dresses might be started with a capitaliza-tion of $10,000. This would take care of all items except the building, which could be rented. Larger concerns employing from 100 to 150 people would require a minimum capital of about $60,000 to $100,- 000. These larger units should enjoy a better com-petitive position than the very small ones, due to the excessive burden of overhead which handicaps small enterprises. It should be pointed out, however, that many of the largest manufacturing enterprises of the State, and of the nation, started as very small concerns which grew to their present size and emi-nence due to their owner's ingenuity in keeping over-head to a minimum, and the assidious manner in which the profits of these concerns were turned back into the business. (Continued on page 112) PAGE 98 THE E. S. C. QUARTERLY FALL, 1947 Investigations Of 85,000 Claimants For Benefits By Hugh M. Raper, Supervisor, Reports and Analysis, UC Division, Bureau of Research and Statistics More than 85,000 special investigations were made by the Employment Security Commission, or its deputies, in connection with claims filed during the fiscal year 1946-1947. These investigations were of claims under both the Employment Security and the Readjustment Allowance Programs. There was an average of one investigation for each sixteen periods compensated. The conditions that led to these investigations sometimes arise at the time the claimant files his initial claim, but the investigations are frequently made as a result of circumstances arising during the weekly reporting in a claim series. At the time the initial claim is taken, sometimes it is found that the claimant has been separated from his employment for reasons, such as misconduct, voluntary quit, and other causes, which may be cause for a disqualifica-tion. Or, it may be that in the claims-taking process a question may arise with regard to the claimant's ability and willingness to accept suitable employment which has been tendered. This condition, when in-vestigated and found as a fact, results in his being disqualified for benefits for a period of four to twelve weeks with a like reduction in potential benefit rights. In the fiscal year ending June 30, 1947, there were 23,982 investigations completed by the Claims Dep-uties involving claimants filing claims for unemploy-ment compensation. In the same period there were 54,035 investigations involving veterans seeking Ser-vicemen's Readjustment Allowances. This means then that the nineteen Claims Deputies set for hear-ing 78,017 cases, and from the facts developed at each hearing prepared a determination either allowing the claim, disallowing the claim, or imposed a dis-qualification, i.e. postponement of benefits and possi-bly a reduction in the potential benefit rights. The following table classifies the results of these determi-nations into three categories : DISPOSITION OF CASES BY CLAIMS DEPUTIES DURING FISCAL YEAR 1946-47 Percent All Determinations 100.0 Allowed—No Penalty 43.2 Claim Disallowed 40.3 Disqualification imposed 16.5 All No. 78,017 33,713 31,542 12,852 Program Emp. Sec. Readj. Al. 23,982 9,629 9,472 4,881 54,035 24,084 21,980 7,971 It can be seen that the majority, 56.8 percent, of the claimants investigated were found to be ineligible for benefits at the time of filing or were subject to a disqualification which postponed and reduced their potential benefits. The Employment Security Law makes provision for the claimant or other interested party to appeal any determination made by the Commission or any of its deputies. In the fiscal year 1946-1947 less than one percent of the Claims Deputy determinations were appealed. Under the E. S. Program there were 2164 cases appealed with 1933 of the appeals being made by the affected claimant; 222 by the employer (s) ; and, 9 by the Commission itself. Under the Readjustment Allowance Program there were 4705 appeals filed by the veterans involved. The effect of the Appeals Deputy's review was that under the E. S. program 1552, or 92 percent, of the claims deputies determinations were affirmed while 612 cases were modified or reversed. Under the Re-adjustment Allowance Program 4700 decisions, 68 percent, were made which affirmed the Claims Dep-uty's finding. The issues involved in the 2164 ap-pealed cases decided by the appeals deputies under the Employment Security Program are as follows : All Decisions __ 2164 Ability, Availability, and Unemployed 1744 Voluntarily Separated 252 Misconduct of Worker 100 Suitability of Work 59 All Other Issues : 9 (Continued on page 105) Dehydrating eggs is verging on dig business, but the little black hen definitely conducts a rural industry, and many of the operations are rural. Dehydrated eggs from the plant of the Coble Dairy Products Co. at Wilkesboro supplies many bakeries with the egg siibstance needed in cakes and other bakery products. FALL, 1947 THE E. S. C. QUARTERLY PAGE 99 Industrial Opportunities Abundant In This State By Marshall L. Shepherd, Former Asst. Industrial Engineer Division of Commerce ad Industry, Dept. of Conservation and Development Much can be done about our State's low per capita income. Something is being done about it, but it is necessary that a much, much more unanimous and sustained initiative come into the North Carolina picture before the State's 1945 average of $726 can reach that of the nation, which was $1,158 that same year. The native Carolinian reacts with a characteristic Southern pride in the industrial achievements of his State when he hears that 432 new and proposed manufacturing enterprises decided to move into, or were created within his State in the last half of 1946. His pride becomes even more pronounced when he realizes that those new industries will have employed more than 12,000 additional North Caro-linians at an average annual rate of $1,765. It fascinates him also to know that these plant invest-ments of more than $20,000,000, after operating for only one year, will have returned to the communities in which they are located about $20,000,000 in pay-rolls alone and notwithstanding the values added to the processed products through manufacture. The capital returns to the investors in these plants are of major consideration to these stockholders, whether out of State or domestic, and are of greatest value to the State when under resident ownership. The national industrial picture reached its highest degree of expansive development during and immed-iately following World War II. The latest U. S. Cen-sus data (1939) showed 184,230 manufacturing in-dustries in the nation. Then North Carolina's indus-tries totaled 3,225 or 1.75 ft of the total number in the country. This gives an average of 3,838 industries for each of the states. This state had 613 industries less than this average. There was only one manu-facturing enterprise per 1,107 North Carolinians; while in the United States as a whole, there was an industry for each 715 people. This may be an answer for those who bear the concept that North Carolina's population won't justify industrial expansion suffi-cient to increase the per capita income of its people to the national average without creating an abnormal competition in the labor market. This State's government is doing more in the field of industrial promotion than in the past, through its agencies such has the Division of Commerce and In-dustry. This enlarged emphasis is based upon the basic needs of our people, sound purposes, and the challenge of unprecedented opportunities to which the State's citizenry is becoming more enlightened. To discuss in the abstract, this State's industrial opportunities, is somewhat futile indulgence. This practice is most frequently observed in print and oratory. Its greatest achievement is to stimulate general interest. Industrial opportunity is an ex-ceedingly relative combination of opportunity fac-tors. A pattern of factors when logically exploited by "know how", adequate capital and enlightened management should result in a profitable industrial enterprise. One of the State's greatest single ob-stacles is the shortage of industrial "know how" as it applies to the specific industries in which the State is least developed, some of which seem to offer the greatest opportunities. The following tabulation, deducted from the U. S. Census of 1939, comprises some of the industries which are not developed in North Carolina : INDUSTRY TOTAL NO. ES-TABLISHMENTS N.O. U.S. FOOD & KINDRED PRODUCTS: Baking powder, yeast and other leavening com-pounds None Chewing gum _. Chocolate and cocoa products " Corn sirup, corn sugar, corn oil and starch __ Macaroni, spaghetti, vermicelli and noodles .. Malt " Oleomargarine, not made in meat packing estab-lishments Preserves, jams, jellies and fruit butters ._ Quick frozen foods " Sausage casing, not made in meat packing estab-lishments " Special dairy products TEXTILE MILL PRODUCTS AND OTHER FIBER MFG.: Artificial leather & oil cloth Carpet yarn, woolen and worsted Cloth sponging and miscellaneous special finishing _. Dyeing and finishing woolen and worsted .. Felt goods, wool, hair, and jute (except woven felts and hat bodies and hats) Finishing of men's and boy's hats of fur felt, wool felt and straw Hat bodies and hat fur felt Hat bodies and hat wool felt Hats straw Hatter's fur Knitted gloves Knitted outerwear (except knit gloves) contract factories Lace goods Linoleum, asphalt felt base and other hardsurfaced floor covering, not elsewhere classified _. Processed waste and recovered wool fibers—con-tract factories Silk broad woven goods—contract factories Silk broad woven goods—regular factories or job-bers engaging contractors Silk narrow fabrics Woolen & worsted manufacturers—contract factories APPAREL & OTHER FINISHED PRODUCTS MADE FROM FABRICS & SIMILAR MATERIALS: Children's infant's wear, not elsewhere classified — made in contract factories Children's infant's wear, not elsewhere classified made inside factories or by jobbers engaging contractors Children's coats—made in contract factories .. Children's coats made in inside factories or by job-bers engaging contractors Children's dresses made in contract factories Children's dresses made in inside factories or by jobbers engaging contractors 47 27 39 35 328 52 18 171 36 37 51 36 18 112 63 37 151 43 12 i i 37 20 233 63 17 27 37 82 100 76 22 103 45 108 114 182 PAGE 100 THE E. S. C. QUARTERLY FALL, 1947 TOTAL NO. ES-TABLISHMENTS INDUSTRY N.O. U.S. Clothing, leather and sheep lined 97 Coats, suits, and skirts (except fur coats) made in contract factories 846 Coats, suits, and skirts (except fur coats) made in inside factories or by jobbers engaging con-tractors " 1.120 Corsets and allied garments " 272 Curtains, draperies, and bedspreads, contract fac-tories 75 Dress & semi-dress gloves and mittens: cloth, cloth and leather combined " 49 Embroideries, other than Schiffli machine products, contract factories " 357 Embroideries, other than Schiffli machine products, made in regular factories or by jobbers engaging contractors 54 Embroideries: Schiffli machine products 398 Fur coats and other fur garments, accessories and trimming " 2,175 Handkerchiefs made in contract factories 20 Hat and cap materials; trimming, etc. " 55 House dresses, uniforms and aprons made in con-tract factories " 255 House furnishings (except curtains, draperies and bedspreads) " 472 Men's and boy's hats and caps (except felt and straw) — - 270 Men's and boy's suits, coats and overcoats (except work clothing) made in contract factories " 1,078 Men's and boy's underwear made in contract fac-tories 10 Men's neckwear made in contract factories 34 Millinery ____ " 1,050 Raincoats and other waterproof garments (except oiled cotton) 76 Robes, lounging garments and dressing gowns " 264 Trimming (not made in textile mills) stamped art goods and art needlework contract factories " 395 Trimmings (not made in textile mills) stamped art goods, vast needlework made in regular factories or by jobbers engaging contractors " 227 Trousers (semi-dress) wash suits and washable service apparel " 297 Women's and misses' blouses and waists made in contract factories _ " 132 Women's and misses' blouses and waists made in inside factories or by jobbers engaging contractors 170 Women's and misses' clothing not elsewhere classi-fied made in contract factories " 100 Women's and misses' clothing not elsewhere classi-fied made in inside factories or by jobbers en-gaging contractors — " 231 Women's & misses's dresses (except house dresses) made in contract factories __ " 1,490 Women's and misses' dresses (except house dresses) made in inside factories by jobbers engaging contractors _ - 1,426 Women's neckwear, scarfs, etc " 107 FURNITURE AND FINISHED LUMBER PRODUCTS: Cork products — " Laboratory, hospital and other professional furniture " Casts and related products " Matches " Mirror frames and picture frames ._ " PAPER AND ALLIED PRODUCTS: Coated and glazed paper __ " Pie cut paper and paperboard and converted card-board " Pulp goods (pressed, molded) " Wallpaper _. ..__ _.__ __ " PRINTING, PUBLISHING, AND ALLIED INDUSTRIES: Books, publishing and printing " Books, publishing without printing " Electrotyping and stenotyping, not done in print-ing establishments " Gravure, rotogravure and rotary photogravure (in-cluding preparation of plates) " Greeting cards (except hand painted) " 35 82 48 28 182 140 121 14 46 150 556 234 24 109 TOTAL NO. ES-TABLISHMENTS INDUSTRY N.C. U.S. CHEMICALS AND ALLIED PRODUCTS: Ammunition " 13 Bluing " 13 Bone black, carbon black, and lamp black — " 53 Coal tar products, crude and intermediate " 49 Colors and pigments " 89 Essential oils " 14 Explosives _ _ " 80 Glue and gelatin " 80 Grease and tallow (except lubricating greases) " 310 Hardwood distillation and charcoal mfg. ._- " 43 Linseed oil, cake and meal " 25 Lubricating oils and greases not made in petroleum refineries " 232 Mucilage, paste and other adhesives, except glue and rubber cement " 64 Plastic materials " 38 Salt " 40 Soap and glycerin " 264 Writing ink " 15 PRODUCTS OF PETROLEUM AND COAL: Beehive coke " 29 Fuel briquets " 32 Oven coke and coke-oven byproducts " 83 Petroleum refining " 485 Roofing, built-up and roll; asphalt shingles; roof coating (except paint) ~. " 129 RUBBER PRODUCTS: Reclaimed rubber " 10 Rubber boots and shoes (including rubber soled foot-wear with fabric uppers) " 13 Tires and inner tubes " 53 LEATHER AND LEATHER PRODUCTS: Leather gloves and mittens " 233 Leather goods not elsewhere classified " 160 Leather: tanned, curried, and finished, contract factories " 111 Small leather goods " 118 Suitcases, brief cases, bags, trunks, and other luggage " 329 Women's pocket books, hand bags and purses " 286 STONE, CLAY AND GLASS PRODUCTS: Abrasive wheels, stones, paper cloth and related products — - " 124 Cement " 160 China firing and decorating (for trade) " 24 Clay products (except pottery) not elsewhere classified " 99 Clay refractories, including refractory cement (clay) " 165 Flat glass _ " 37 Floor and wall tile (except quarry tile) " 49 Glass containers " 77 Gypsum products — " . 68 Hotel china .-_ " 17 Lime ._ " 269 Mineral wool " 58 Natural graphite, ground and refined " 6 Porcelain electrical supplies " 42 Sand lime brick bldg. tile _ _ " 27 Statuary and art goods (except stone and concrete) factory products " 126 Steam and other packing, pipe and boiler covering.... " 134 Tableware, pressed or blown glass and glassware not elsewhere classified _' " 115 Terra cotta 12 Vitreous china plumbing fixtures " 25 Whiteware " 31 IRON AND STEEL AND THEIR PRODUCTS, EXCEPT MACHINERY: Automobile stamping " 90 Blast furnace products " 81 Bolts, nuts, washers and rivets made in plants not operated in connection with rolling mills " 155 Cold rolled steel sheet and strip and cold finished steel bars made in plants not operated in con-nection with hot rolling mills " 43 Doors, window sash frames molding and trim (made of metal) ,_. " 205 Enameled iron sanitaryware and other plumber's supplies (not including pipe or vitreous and semi- vitreous china sanitaryware) " 259 FALL, 1947 THE E. S. C. QUARTERLY PAGE 101 INDUSTRY TOTAL NO. ES-TABLISHMENTS N.C. U.S. INDUSTRY TOTAL NO. ES-TABLISHMENTS N.C. U.S. Enameling, painting and lacquering .. Files — Firearms Forging iron and steel made in plants not operated in connection with rolling mills Galvanizing and other coating carried on in plants not operated in connection with rolling mills Heating and cooking apparatus except electric, not elsewhere classified _.. ._ Malleable iron casting _____ Nails, spikes, etc., not made in wire mills or in plants operated in connection with rolling mills .... Sates and vaults Saws Screw machine products and wood screws _. Springs steel (except wire) made in plants not operated in connection with rolling mills Steam and hot water heating apparatus (including hot water furnaces) _ __ Steam fittings regardless of material Steel barrels, kegs, and drums Steel casting _ Steel works and rolling mills Tin cans and other tinware not elsewhere classified- ... Vitreous enameled products including kitchen, household and hospital utensils Wire drawn from purchased rods ,___ Wrought pipes welded and heavy riveted work in plants not operated in connection with rolling mills " NON-FERROUS METALS AND THEIR PRODUCTS: Alloying and rolling and drawing of nonferrous metals except aluminum " Aluminum products (including rolling and drawing and extruding) not elsewhere classified " Aluminum ware, kitchen hospital and household except electrical appliances) " Clocks, watches and materials and parts (except watch cases) " Collapsible tubes " Electroplating, plating, polishing " Engraving on metal (except for printing purposes )~ Gold and silver leaf and foil " Jeweler's findings material " Jewelry (precious stones) " Lapidary work " Lighting fixtures " Silverware and plated ware _._ " Tin and other foils (except gold and silver foil) " Watch cases " Automotive electrical equipment " Carbon products for the electrical industry and manufacturers of carbon or artificial graphite " Communication equipment " Electrical appliances " Electrical measuring instruments " Office and stove machines not elsewhere classified " Oilfield machinery and tools " Electric lamps " Radios, radio tubes and phonograph " Wiring devices and supplies " X-ray: therapeutic apparatus and electronic tubes .... " AGRICULTURAL MACHINERY (EXCEPT TRACTORS Blowers; exhaust and ventilating fans " Cars and trucks, industrial " Construction and similar machinery (except min-ing and oil field machinery and tools) " Internal combustion engines ___ _ " Foundry equipment, domestic " Machine-tool, and other metal working machinery accessories, metal cutting and shapping tools and machinist precision tools " Machine tools " Measuring and dispensing pumps " Measuring instruments, mechanical (except elec-trical measuring instruments, watches and clocks.. Metal working machinery and equipment not else-where classified __ _ " Mining machinery and equipment — _ " ): 80 22 23 207 83 138 83 36 16 87 345 53 68 181 64 164 253 248 55 95 49 188 162 32 74 14 643 94 26 82 886 90 568 150 12 42 84 31 227 138 59 123 223 55 224 146 84 77 55 199 74 42 954 200 38 68 178 65 Paper mills, pulp mill, and paper products machinery __ Scales and balances Sewing machines, domestic and industrial Steam engines, turbines, and water wheels Stokers, mechanical, domestic and industrial Tractors __ Vending, amusement, and other coin operated machines AUTOMOBILES AND AUTOMOTIVE EQUIPMENT: Automobile trailer (of attachment to passenger cars) TRANSPORTATION EQUIPMENT EXCEPT AUTOMOBILES: Aircraft parts including aircraft engines Locomotives (including frames and parts; rail-road, mining and industrial) Motorcycles, bicycles, and parts MISCELLANEOUS INDUSTRIES: Artist's materials Beauty shop and barber shop equipment Buttons Carbon paper and inked ribbon Children's vehicles Costume jewelry and costume novelty jewelry other than fine jeyelry Dental equipment and supplies _ Dolls (except rubber) Fabricated plastic products not elsewhere classified.. Fire extinguishers, chemical Furs dressed and dyed Hair work ___ Hand stamps, stencils, and brands Jewelry cases and instrument cases Lamp shades Models and patterns (except paper patterns) Musical instruments, parts and materials not else-where classified _ Needles; pins, hooks and eyes, and slide and snap fasteners Ophthalmic goods, lenses and fittings Organs Optical instruments and lenses Pens, mechanical pencils, and pen points Photographic apparatus and materials and projec-tion equipment except lenses Piano and organ parts and materials Pianos Professional and scientific instruments (except surgical and dental) Sporting and athletic goods not elsewhere classi-fied Surgical and medical instruments Surgical supplies and equipment not elsewhere classified Tobacco pipes, cigarette holders _ Umbrellas, parasols, and canes — Wool pulling _ Yes, talk about opportunity to the young "Tar Heel" or the native capitalists, or the educator. This challenge is yours. Please accept it now before the distant exploiters of our North Carolina oppor-tunities arrive. It might even be profitable for our State to give more weight to these specific oppor-tunities in planning the technical education to which its youth shall be subjected for this and the next generations. The pinnacle of that higher average per capita income for North Carolinians is indeed dimly seen unless we take our opportunities and make our own future. 99 56 39 18 61 30 51 79 125 15 36 42 72 316 58 44 289 131 84 216 28 145 42 289 132 128 663 101 58 91 .",4 30 7(1 160 23 35 218 350 50 360 32 90 17 PAGE 102 THE E. S. C. QUARTERLY FALL, 1947 Employment Increasing And Shifting In The State By Silas F. Campbell, Director, Bureau of Research and Statistics, ESC Even of more interest than the industrial distribu-tion of changes in employment since the war is the change in the geographic distribution of employment. It was known that there was a considerable intra-state shift in the active labor force during the war which it was felt might bring serious consequences in the process of readjustment and result in depress-ed areas which would find it impossible to employ dislocated war workers or to induce the necessary population reshift. Feiv Depressed Areas in State Native North Carolinians, as a general rule, dis-like moving from place to place within the State, although thousands annually accept readily employ-ment in other states because of what they believe to be better opportunities and better wages. However, when it comes to choosing a place within the State Peanuts definitely are big business, but many of the operations are rural and many rural industries are being and can be built around the lowly goober. These are extra large peanuts being sacked after cleaning and grading. Processing plants are located at Enfield and Edenton and numerous plants for further refining are being established in the State. to live, even a brief residence in a new location is calculated to create ties which one is reluctant to break. While there are some of those depressed areas, the effect of war contract cancellation on employment in the State was greatly restricted. Only a few coun-ties had less employment in 1946 than in 1945. These are mostly areas in which war production meant new structures, machinery and equipment which could not be turned to civilian production. Such establishments were represented by munitions plants, shipyards, air craft plants, modification plants, air-ports, and some types of military bases. As a product of reconversion, interest attaches to the disposition that has been made or is being made of plants established in the State for war produc-tion, as well as the increase in privately operated manufacturing plants as a result of the war. Information published by the Federal Reserve Bank on "Capital Augmentation in the War Period" discloses that 164 plants were added to North Caro-lina's industrial facilities, exclusive of public utili-ties and government operated plants, an increase of 5.1 percent over 1939. Disposition of War Plants As to the disposition of publicly financed war in-dustrial facilities, of the three sold in North Carolina, National Carbon Co. of Charlotte, Wrights Auto-matic Machine Co., Durham, and Floating Concrete Dry Docks at Wilmington operated by the Loftis Tidewater Construction Co., the first two were bought by their war-time operators, and the last by Robertson Chemical Co. for warehouse and storage yard. One war production plant, the Fairchild Engineer-ing and Aircraft plant at Burlington, has been leas-ed for five years to the Western Electric Co. Only one war plant in North Carolina has been declared surplus—The National Carbon Co. of Mor-ganton. Three plants remain on which no disposal action has been taken. These are the Newport News Shipbuilding Co. plant at Wilmington, The Ammuni-tion Loading Plant at Charlotte, and the Carbide Carbon Chemical Co., Fire Control Equipment plant at Winston-Salem. These three plants represent an aggregate cost of more than $37,000,000. Increase General Throughout State The only counties in which employment in 1946 was less than in 1945 are Dare, Forsyth, New Han-over, Onslow, Pasquotank, and Yancey. In all except Yancey the decline is fully accounted for by cessa-tion of war production. In Yancey there were only 51 fewer workers on the average than in 1945. The gains in employment are fairly well distribut-ed. The Mountain Region experienced the greatest relative gain, 11.1 percent, with an increase of ap-proximately 6,000 workers; the Piedmont Plateau FALL, 1947 THE E. S. C. QUARTERLY PAGE 103 Black Rock Sawmill, operated by the Davie Tree Go. on Soco Gap Roar! in Swain County, near the edge of the Cherokee Indian Reservation, Qulla Boundary. Most of the workers are Cherokee Indians. Notice the many homes and business houses in the embroynic lumber stacks. 10.0 percent with an increase of about 36,000 work-ers, and the Coastal Plain 1.5 percent, with an in-crease of little more than 1,000. There were no outstanding gains in any area. Guilford County led with a gain of 5,813 workers. Mecklenburg was next with an increase of 4,877. Gaston was third with an increase of 3,953; Cabar-rus, fourth with a gain of 3,440, and Buncombe fifth with a gain of 3,428. New Hanover suffered the greatest loss with a drop of 6,247 workers, and Forsyth was next with a loss of 2,066. Nearly all counties had more covered employers in 1946 than in 1945, indicating, not merely an expan-sion of existing industries, but the entry of new firms in all sections of the State. Only Dare, Onslow and Yancey had fewer employers than in 1945 and the total decline for the three counties was only nine, Onslow County losing seven of these. Wages Increase In Most Counties There was also a wholesome gain in total wage payments in nearly all counties, the total being less only in Dare, Pasquotank, Onslow, and New Han-over. The grand total increased by 23.8 percent and exceeded one billion dollars for the first time in the history of the State. Individual wage increases were also general throughout the State, with an average increase of 11.4 percent, bringing the average weekly wage from $31.10 in 1945 to $34.64 in 1946. The average was less than in 1945 only in the counties of Swain in the Mountain Region, and Dare, Pasquotank, Craven, Pamlico, Brunswick and New Hanover in the Coastal Plain. Stability of State's Industry That covered employment in 1946 was more than 93,000 above the pre-war level, and nearly 60,000 above 1945, and that, of the 356,000 veterans who have been released in North Carolina, only 4,568 were registered for work on June 30, 1947 with local employment offices, speaks not only for the stability of North Carolina industry, but for its capacity to expand and meet the opportunities of a promising future. That these opportunities are attracting new cap-ital and managerial ability is shown by the fact that between December 31, 1945 and December 31, 1946 3,503 establishments were added to those already operating under the Employment Security Law. Al-lowing for consolidations, transfers and suspensions, the average number of firms reporting in all four quarters of 1946 exceeded the number for 1945 by 1,799. State Labor Turnover High It is true that during this year there was a great amount of labor turnover as returning veterans and war workers sought a proper readjustment to fit their occupational skills. No figure is available as to the actual number who were hired in order to attain this 60,000 increase in non-agricultural em-ployment over 1945, but some idea may be gained of the size of the turnover by the fact that the Employ-ment Service Division during the year found jobs for 123,128 non-agricultural workers and 59,095 agri-cultural workers, making a total of 182,223 place-ments of which 57,236 were veterans. Not all the traffic comes through the Employment Office. Of the total number of accessions, the Service places on an average between 15 and 20 percent of the total. On a basis of the total non-agricultural placements in 1946 this would mean that in order to obtain a net increase of 60,000 in covered employ-ment, more than 800,000 persons were hired during the year in covered or non-covered employment. This, of course, is high and does not lend support to the claims frequently advanced for North Caro-lina as to the stability of its industries. However, in this case it was a problem of readjustment rather than of instability of industry, for, as the record shows, total employment was at a high level through-out the year. Furthermore, a large portion of this turnover was in non-covered employment such as domestic or pub-lic service, also seasonal tobacco processing, and can-not be said to reflect turnover rates in industry. According to the United States Department of Labor's "Monthly Labor Review," the average acces-sion rate in manufacturing industries during 1946 was about 7 percent, as against North Carolina's 8.9 percent for all types of industry as calculated from the above estimate of turnover. State in Fortunate Position It may be concluded from the foregoing that one year of reconversion in North Carolina has put the State in a specially fortunate position. It has almost unlimited natural resources and home grown raw material ; and, despite temporary dislocations, its facilities for manufacture have been materially ex-panded. Its labor force was never so great, and the demand for its products never so strong. Full util-ization of its manpower and completed manufacture of its raw materials should crown the achievement of this decade. PAGE 104 THE E. S. C. QUARTERLY FALL, 1947 Employment Service Tests Aid State's Industries By Lois Clarke, Feature Writer, in The Raleigh (N. C.) Times A relatively new, though a highly beneficial and vitally necessary, Tar Heel project is the aptitude testing and trade testing service rendered by the Employment Service Division of the North Carolina Employment Security Commission. This testing service was begun about ten years ago after a number of years of developmental work. The Employment Service's occupational analysts now have the job of training personnel in local offices to administer tests, score and interpret them, and to assist in selling employers on the idea of using test selected workers. The analysts also must see that conditions are proper for administering the tests. Of the 70 employment offices in the State from Eliz-abeth City to Murphy, 43 have aptitude tests, 27 have stenographic tests, and all have oral trade tests. Use of Tests Time-Saver The tests are used in staffing new plants and in transferring workers within or between industries. For example, when one department in an industry folds up, workers there are tested to see if they will fit into another branch. Results of the tests have cut down labor turnover, have reduced learning time and have increased production. Individual employ-ers have written that they are "delighted to find competent new workers," that the devices are great time-savers; that the use has "cut down training time 30 percent and that the tests have increased production 35 percent" over that turned out by non-tested applicants. One employer wrote that he had been skeptical, but he had found after a number of years that the services proved their worth. Another said enthusi-astically, "not one worker has been considered for employment until he has passed these tests." Miss Lancaster is timing and testing two stenographers. Miss Geraldine Gay and Miss Fyne, on their aptitudes in the Paper and Pencil Tests, one of several used in the local offices of the Employment Service to test the aptitudes of applicants for certain types of work. They are in the State office of the Employment Service. Aptitude test on the Peg Board. The speed with which the applicant can transfer the pegs from one hoard to another gives a good idea of finger dexterity and the aptitude for certain types of jobs. C. C. Love, occupational analyst in the State office of the Employment Service division, owns the fingers. In developing a test, the job involved is first ob-served and thoroughly analyzed. Then a group of experienced workers, from 15 to 30 in number, are given tests to determine which they can do best. Scores are taken, and the tests approved when there is a high degree of correlation between scores and the production rate of those tested. Over 200 Test Batteries Two to five tests are usually combined for one job—this combination is called a test battery. Then the device is put on trial to ensure its value. This is, in general, the way all the tests are developed, so there is little element of uncertainty in them. There are over 200 test batteries for individual jobs in such industries as textile, hosiery, garment, machine shop, retail trade, radio manufacturing and clerical work. Types of devices vary from the finger dexterity board tests to the high speed typing and shorthand tests. Finger dexterity tests are given to select sewing machine operators, aircraft riveters, knit-ters, loopers and radio manufacturing workers. In addition to the tweezer dexterity, pencil and paper tests are used for weavers. Probably the most minutely accurate tests are those for typing and stenography, because they are prepared with a time limit on each line of dictation. Each test is uniform and there is accurate timing on each. Dictation tests are scaled to 80, 96 and 100 words per minute. Typing tests are scored as to the number of strokes, with deductions made for errors. Color Blindness Test One of the most fascinating of all is the Ishihara color blindness test, issued to aid in selecting weav- FALL, 1947 THE E. S. C. QUARTERLY PAGE 105 ers, rug hookers, and electricians. The test is so named for Dr. Shinobu Ishihara, a professor of ophthalmology (the science of the eye and its dis-eases) at the Imperial University of Tokyo in Japan. The test has been used by the Army and the Navy, and by optometrists throughout the nation. It has proved one of the most reliable in existence for test-ing color blindness. Oral Trade Questions are particularly useful in testing workers in the skilled trades. They are de-veloped by asking hundreds of questions of skilled workers on the job and then verifying the answers in other localities. Bricklaying is a good example of a trade for which these questions are used. mm m iiiiiiiimi Finger board aptitude test, to determine linger dexterity and aptitude for certain jobs in which efficient use of the fingers is important, is being given by Miss Blanche Lancaster, chief occupational analyst, to two members of the office staff, C. G. Love, occupational analyst, and Miss Lemoine Fyne, steno-grapher, in State office of the Employment Service Division. General Aptitude Test Battery The General Aptitude Test Battery, known in the Service Division as the GATB, is the most complete group of tests the service has. The purpose is to assist in counselling people with placement problems —those who have not decided on a life's work. Re-quiring two and a quarter hours to administer, it measures 10 basic aptitudes, such as, numerical or verbal ability, motor speed, aiming, clerical percep-tion, form perception, finger and manual dexterity, and spatial perception—this last indicating the abil-ity to "visualize" objects of two or three dimensions. The GATB has received nationwide publicity in trade magazines and in some of the large newspapers. Its fame has also spread through the use for service-men who have disabilities sustained while in the Armed Forces and who are forced to change their work. Although the test battery has been in the experi-mental stage for four years, and still is, it can be interpreted in 20 broad types of work. Some exam-ples are accounting and related subjects, plumbing, heavy metal structure work, routine clerical work, creative writing and translating, inspecting, com-puting and general recording, artistic drawing and related jobs, and drafting and similar jobs. Tests Indicate Efficieficy Total results of the tests in the GATB are known as a profile. The tests are graded and the minimum scores which have been arrived at are set up. Each person's score is recorded and compared to the min-imum ; anything above the minimum indicates a po-tential in the field. A person tested can be strong in more than one field, or (though this is exceptional) he can be strong in every field. The evidence is not conclusive, all it does is show a person's strong points. Other factors must be considered for him to make a success in any field, such as willingness to work and desire to succeed. The person himself must, of course, make the final decision as to his course of action. He alone can determine the results of his action. Despite the fact that the GATB is still in the expe-rimental stage, the Employment Service Division is undeniably filling a great need in North Carolina. No testing device can be perfect but constant ex-perimenting and improvements have brought tests of the Employment Service Division to the point where some employers cannot do without them and where praise from others has been widespread. INVESTIGATIONS OF 85,000 CLAIMANTS FOR BENEFITS (Continued from page 98) Under the Employment Security Program only 240 cases were reviewed by the Commission itself. Not all of these cases were the result of appeals from claimants or employers for in some cases, such as strikes, the Commission renders the decision based on the record developed for it in a special hearing. The Commission has a right to be proud of the record of its deputies for rendering determinations which are for the most part accepted by the claim-ants and other interested parties, and from the fact that at each subsequent review stage the prior de-cision is usually affirmed. RURAL INDUSTRIES COMMITTEES (Continued from page 82) B. B. Sugg, Greenville ; Glen Swicegood, Kinston ; A. L. Thompson, Greensboro ; J. G. Thornton, Wilming-ton; J. E. S. Thorpe, Franklin; C. W. Tilson, Dur-ham; T. B. Upchurch, Jr., Raeford; Isaac Van Horn, Asheville; Ralph Van Trine, Durham; E. H. Wasson, Charlotte; Lionel Weil, Goldsboro; J. V. Whitfield, Wallace; J. E. Winslow, Greenville; Dallas T. Daly and J. F. Dalton, Norfolk Va.; Gilbert T. Wood, Roanoke, Va. PAGE 106 THE E. S. C. QUARTERLY FALL, 1947 State-Community Planning Needed For Employment By Ernest C. McCracken, Director, North Carolina State Employment Service Division, ESC Prior to and immediately following V-J Day vari-ous economists, statisticians, and others who pro-fessed to have an intimate knowledge of labor market and employment conditions, filled our newspapers and magazines with scholarly predictions of employ-ment conditions which we might expect during the years following the war. In both industrial and employer groups the estimates of future production and predictions of employment levels were subjects for considerable discussion in the airing of wide differences of opinion. As we look back over our experiences here in North Carolina it is very evident that those who predicted mass unemployment were seriously wrong and yet at the same time there have been sections of our State where there were not jobs for the civilian workers or the veterans who returned seeking em-ployment. It is somewhat remarkable, in the short period of time since the Army, Navy, and Marine Corps began demobilization of the men and women who served during the last war, that at the present time less than four percent of the 400,000 North Carolinians who served during this war have failed to find employment. At the same time there is danger that we might allow ourselves to be lulled into a sense of false security by conditions as they pres-ently exist and fail to examine employment problems that may have serious effect on our entire economic structure during the next few years. One of the most important of these problems is the location of possible areas of unemployment in the State and determining through careful analysis what solution can be found to these problems. Both Surplus and Shortage During August and September 1947 when, through-out the greater part of the State there was reason-ably high employment, it is difficult to believe that in some of the western counties, and in some of the eastern sections where workers were attracted dur-ing the war by shipbuilding, camp construction, and other military activities, there are unusually large groups of unemployed workers. Potentially, these workers are available for transfer to other sections of the State. Actually, however, they are to a great extent anchored to their present locations because of the lack of housing facilities in those areas where there is a demand for employees. A second problem that must be considered is the possible displacement of workers now employed in industry or agriculture by the introduction of new methods of production or technological changes which now seem inevitable. In agriculture alone re-duction in acreage in certain crops in the State may displace hundreds of workers now employed in the growing and harvesting of those crops. In addition to reduction in acreage, further mechanization in the entire agricultural industry—which should gain momentum with the availability of new machinery — will displace numerous workers for which no accu-rate estimates are available. The third problem that must be faced directly during the next three years is the location of em-ployment for veterans and other persons who are now attending the various colleges and universities. It is well known that every college and university in the State is filled to its maximum capacity with stu-dents who expect jobs to be available for them when their education has been completed. Unfortunately, in the past, many of the native young men and women who have graduated from our universities have found it necessary to migrate to industrial centers in other states to find employment. As a result we have lost not only the investment the State has in their educa-tion but have also lost the earning capacity which they might have brought to this State, as well as the contributions they might have made to the develop-ment of our economy. Seasonal Employment Problem The fourth problem which we have faced for years we will continue to face. It is the problem of finding additional employment for the thousands of persons who, during the year, are engaged for only short periods of time on jobs of a seasonal nature. Obvious-ly, it would be impossible for industry of this nature to continue to operate if this labor supply were not available, but if we expect to maintain reasonable levels of income for this group of people a great deal of emphasis should be given to the problem of addi-tional seasonal employment for the periods of time when they are presently unemployed. These problems are of vital interest to the Employ-ment Security Commission because of their effect upon the economic structure of the State. We will continue studying and evaluating the scope and na-ture of these problems and will work with individual organizations, other State departments, and private enterprise in seeking to find their solution. While employment and employment conditions are necessarily both statewide and national problems, it becomes very evident that they are also very vital community problems. While State organizations and national organizations may provide impetus to and assistance in, solutions to these problems, they cannot be effective without interest and participation on the part of community groups. In areas where there is serious unemployment or the prospect of unemployed workers it appears that at least one step can be taken to alleviate this condi-tion. New enterprises which can offer employment must be brought into these localities. Civic organizations, governmental organizations, and employer and employee groups of every com-munity should ask the following questions : FALL, 1947 THE E. S. C. QUARTERLY PAGE 107 1. Does our area have a place for expansion of em-ployment opportunities? 2. Have we, as a community, given adequate atten-tion to the study of the immediate future for our area? 3. Does our area have plans for further develop-ment and diversification of our agricultural areas to provide a more stable agricultural economy and a more stable income for our farm popula-tion? 4. Do we, as a community, know where additional industry is needed, and the types of industries that could be developed, based on the characteris-tics of the labor supply in the community, and the natural advantages of the area? Community Planning Program |
OCLC number | 26477199 |