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AN HISTORICAL ANALYSIS OF THE CHANGING BUSINESS LIFE OF NEW YORK CITY. (3 VOLUMES)

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LD3907
1940
13-3403
Schoenberg, Samuel.
An historical analysis of the changing
business life of New Yorh city.
A study
of industrial and occupational trends
for the jjurpose of determining the
probable future need for business work­
ers in New York c i t y . ..
New York,
1940.
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Thesis (Ph.D.) - New York university,
School of education, 1940.
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LD3907
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Schoenberg, Samuel.
An historical
1940
analysis of the changing business
lixe of New York c i t y . .. 1940.
.S3
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A54351
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Ann Arbor, Michigan 48106
T H IS D IS S E R T A T IO N HAS BEEN M IC R O F IL M E D E X A C T L Y AS R E C E IV E D .
I
? ft
AN HISTORICAL ANALYSIS OP THE CHANGING BUSINESS
LIFE OP NEW YORK CITY
A Study of Industrial and Occupational Trends
for the Purpose of Determining the Probable
Future Need for Business Workers in New
York City
SAMUEL SCHOENBERG
Submitted in partial fulfillment of the
requirements for the degree of Doctor of
Philosophy in the School of Education of
New York University
1940
•oeeptaa
PLEASE NOTE:
S o m e pages m a y have
in d isti nct print.
Fi l med as received.
U n i v e r s i t y M i c r o f i l m s , A X e r o x E d u c a t i o n Com p a n y
PREFACE
When this study was first projected in 1935, very lit­
tle concrete Information was available about New York City
business life.
Many smaller communities in the United States
had been surveyed, but an analysis of the business and in­
dustries of New York City presented too large a problem for
any individual investigator.
The United States Census of
Business taken in 1935, and reported in 1937, for the first
time brought light upon aspects of business life that had
heretofore been largely the subject of conjecture.
Since
then, many new government agencies have been formed, penetra­
ting more and more phases of our economic life.
I am indebted in no small way to Associate Professor
Herbert A. Tonne, of New York University, whose interest in
occupational trends has encouraged me to go beyond the rou­
tine treatment of occupational data, and to Professor Willford
I. King, of the Graduate School of Business Administration,
whose advice on statistical techniques in economic trends has
been of inestimable value.
Samuel Schoenberg,
December 1939
A54351
TABLE OF CONTENTS
PART I
INTRODUCTION
Chapter
I.
II.
Page
The Problem.........................................
1
Purpose and. Educational Implications...........
Analysis of Problem........................... ..
Delimitations of the Problem....................
2
4
7
Sources of Data....................................
Statistics...............
When Statistics are Lacking.....................
Evaluation of Source Material..................
Method of Correcting Data.......................
III.
Other Contributions...........
10
10
11
13
14
15
PART II
MANUFACTURING
I.
II.
III.
Introduction........................................
18
Sources of Data..................................
Limitations of Census Returns for Compara­
tive Studies...................................
19
24
Trend in Factoiy Employment.......................
25
Early Manufactures..............................
Beginning of the Factory System in This
Country........................................
Manufacturing in New York City.................
25
Business Workers in Manufacturing Establish­
ments ............................
26
28
33
Trend in Salaried Employees and Clerical
Employees......................................
36
Year to Year Fluctuations in Ratio of Clerks...
37
Analysis of Probable Factors Influencing the
Composition of the Personnel of Manufactur­
ing Establishments............................
41
Summary.................
47
(oontinued)
ill
Page
Chapter
IV.
Business Workers in New York City Manufactur­
ing Establishments............................
Trends in Salaried Employees in New York
City.........................................
Comparison With the United States, New York
State, the New York Industrial Area and
Manhattan....................................
Comparison With Other Manufacturing Cities...
V.
Conclusions Regarding Trends of Business Work­
ers in General and New York City in Partic­
ular, With Forecasts of Probable Future
Trends..........
Conclusions Concerning Salaried Employees in
New York City Manufacturing Establish­
ments........................................
Conclusions Concerning Manufacturing in New
York City in General........................
50
50
54
56
59
60
62
PART III
WHOLESALE AND RETAIL DISTRIBUTION
I.
Introduction.....................................
Sources of Data...............................
Other Studies..................................
II.
Wholesale Distribution..................
Definition of Terms...........................
Relative Position of the City of New York as
a Wholesale Center..........................
■Occupational Analysis of Workers in Whole­
sale Distribution...........................
Summary and Conclusions— Future Trends in
Wholesale Distribution and Employment in
the City of New Y o r k ........................
III.
Retail Distribution..............................
64
66
68
69
69
70
84
92
98
Relative Position of New York City as a Re­
tailing Center..............................
98
Trend in Retail Employment in New York City
by Type of Establishment s ..................
105
Occupational Distribution of Workers in Re­
tail Distribution...........................
110
(continued)
lv
Chapter
Page
Summary and Conclusions— Future of New York
City as a Retail Center and Occupational
Distribution of Workers.......................
120
PART IV
FINANCIAL INSTITUTIONS
I.
Introduction.......................................
Definition of Terms.............................
Sources of Data and Other Contributions........
Early Development of Financial Institutions in
New York City.................................
The Financial Center Today.......................
II.
Banks...............................................
124
124
125
128
129
131
Comparative Position of New York City as a
Banking Center................................
131
Trend of Employment in Banks...................
137
Occupational Distribution of Workers in Banks..
143
Changes in Efficiency of Employees in Banks....
146
Summary and Conclusions Concerning the Future
of New York City as a Banking Center and
Source of Employment for Business Workers
in Banking.....................................
148
III.
Security Brokers and Dealers......................
152
Trends in the Security Business and the Rela­
tive Position of the City of New York as a
Center for This Business......................
152
Trend of Employment in the Security Business...
154
Occupational Distribution of Workers in the
162
Security Business.............................
Summary and Conclusions.........................
165
IV.
Insurance Establishments.......................
Growth of the Insurance Business...............
Employment In the Insurance Business...........
Occupational Distribution of Workers in In­
surance........................................
Summary and Conclusions.........................
V.
168
169
170
177
186
Central Administrative Offices....................
190
(continued)
v
Page
Chapt er
VI.
VII.
Sources..........................................
New York City as a Center for Central Adminis­
trative Offices...............................
Trend of Employment in Central Administrative
Offices........................................
Conclusions.............. ;......................
191
Other Financial Institutions......................
208
Building and Loan Associations.................
Instalment Finance and Personal Finance Com­
panies.................
Real-Estate Agencies and Brokerage Offices
Summary..........................................
209
Financial Institutions as a Whole.................
217
Summary and Conclusions.........................
217
192
197
206
210
211
215
PART V
PUBLIC UTILITIES
I.
II.
Introduction........................................
Sources..........................................
220
Gas and Electric Light and Power Conpanies.......
223
Relative Position of New York City.............
Business Workers in Electric Light and Power
Companies......................................
Gas Companies....................................
III.
220
224
225
227
Transit Companies..................................
229
Place of New York City as a Transit Center
Business Workers in Street Railway Companies...
229
230
IV. Telephone Companies................................
236
Growth of the Industry in New York City.......
236
Relative Position of New York City in the
Telephone Industry............................
236
Business Workers in Telephone Companies. ....
237
Changes in Productive Efficiency of Workers
in Telephone Companies
......
239
(continued)
vi
Chapter
V.
VI.
Page
Interstate Carriers..................
242
Business Workers in Railroad Companies.........
Business Workers in Telegraph Companies........
243
243
Conclusions Affecting Employment of Business
Workers in Public Utilities in General and
New York City in Particular.....................
246
PART VI
SERVICE AND OTHER INDUSTRIES AND BUSINESSES
NOT INCLUDED ELSEWHERE
I.
Introduction.......................................
250
Hotels.............................................
252
Rela-tive Position of New York City.............
Proportion of Business Workers in Hotels......
252
253
Places of Amusement...............................
256
Relative Position of New York City.............
Occupational Distribution of Workers in Amuse­
ment Enterprises.............................
256
257
Construction Establishments.......................
259
Relative Position of New York City.............
Occupational Distribution of Workers...........
259
261
Business Services.................................
265
Relative Position of New York City.............
Public Accountants..............................
Occupational Distribution of Workers in Busi­
ness Service Establishments.
.............
268
268
VI.
Other Services.....................................
271
VII.
Establishments Engaged in Non-Business Functions.
273
II.
III.
IV.
V.
269
PubLic or Civil Service.........................
273
Government Employees in New York City..........
274
Occupational Distribution of Employees in
Government Service............................
276
Business Workers in Professional Offices......
277
(continued)
vii
Chapter
VIII.
Page
Summary...........................................
Relative Position of the City of New Y ork
Business Workers In Service Industries and
Public Service...............................
280
281
282
PART VII
OCCUPATIONS
I.
II.
III.
IV.
Occupations as a Phase of Business Life........
Comparison Between Employment and Occupation
Statistics....................................
Analysis of Problem............................
Sources of Dat a
..........................
Other Studies of Occupational Trends..........
284
285
285
287
Occupational Trends in the United States........
292
Conclusions Concerning General Occupational
Trends..............
295
Occupational Trends in the City of New York by
General Divisions of Occupations..............
304
Analysis of Changes in Occupational Distribu­
tion in New York City........................
312
Trends in Business Occupations in the City of
New Y o r k ........................................
318
Sources and Method of Procedure..........
Analysis of Changes in the Trends of Specific
Business Occupations.........................
V.
VI.
284
320
334
Comparison in the Trends of Business Occupations
in New York and Other Cities..................
350
Forecasts of Probable Future Trends of Business
Occupations in General and New York City in
Particular......................................
356
General Trends Affecting All Parts of the
Country............................
357
Trends in New York City........................
358
Trends in Specific Business Occupations.......
363
(continued)
viii
Page
Chapt er
PART VIII
SUMMARY AND CONCLUSIONS
I.
Summary of Trends in Businesses and Industries... 368
Manufacturing....................................
Wholesale Distribution..........................
Retail Distribution.............................
Financial Institutions..........................
Public Utilities..................
Services.........................................
Summary of Employment in New York City by In­
dustries in 1935..............................
II.
Summary of Trends in the Occupational Distribu­
tion of Workers......................
Occupational Distribution of Workers in
Various Industries............................
Trends in the Occupational Distribution of
Business Workers as Shown by Statistics of
Industries and Businesses.....................
Comparison in the Occupational Distribution of
Workers in Industries and Businesses in New
York City and the Restof the Country..........
Conclusions Based Upon Statistics of Occupa­
tions..........................................
III.
368
369
370
371'
372
372
373
379
380
383
387
389
Some Educational Uses and Implications of This
Study............................................
394
Bibliography.......................................
399
Appendix...........................................
425
A.
B.
Explanatory Notes Describing Procedure in
Adjusting Original Census Statistics on
Occupations for Nevr York City and in
Estimating Figures Where Original Data
Are Incomplete............................ 425
Supplementary Tables........................ 441
ix
LIST OF TABLES
Table
number
' I.
II.
III.
w IV.
' V.
VI.
VII.
VIII.
IX.
X.
XI.
XII.
Page
number
Number of employees In New York City manufactur­
ing establishments and per cent of the United
States total....................................
31
Number of office and factory workers in selected
New York State factories, 1914 to 1938........
39
Changes In the productive efficiency of wage
earners and salaried employees in manufactur­
ing establishments in the United States,
1849-1935.......................................
44
Occupational distribution of workers in New York
City manufacturing establishments.............
51
Number of wholesale stores In New York and Kings
Counties and New York State in 1845, 1855,
and 1865........................................
72
Merchandise entering Into the wholesale trade of
New York City and the United States, 1859-1935
75
Employment in manufacturers1 sales offices and
sales branches in New York City and the United
States, 1929-1935..............................
82
Occupational distribution of workers in whole­
sale establishments in leading wholesale cit­
ies, 1935.......................................
87
Retail establishments in 1840 in leading coun­
ties, New York State and the United States....
99
Number of retail stores and groceries in New
York and Kings Counties, and New York State,
1845 and 1855................................... 100
Number and per cent of workers in retail-stores
in New York City, classified by type of store,
1929, 1933, and 1935...........................
109
Comparison in the occupational distribution of
workers in department and variety stores in
New York State, 1913, 1921, and 1935.......... 113
(continued)
x
Table
number
XIII.
XIV.
XV.
XVI.
XVII.
XV I I L
XIX.
XX.
XXI.
XXII.
XXIII.
XXIV.
XXV.
Page
number
Occupational distribution of workers in various
types of retail stores in the United States,
1935............................................
119
Number of persons employed in financial insti­
tutions, by cities and counties, 1935, with
per cent of total United States, in each city
or county......................................
130
Clearing house exchanges of banks in the United
States and New York City, with per cent of
total exchanges in New York City.............
133
Debits to individual accounts in the United
States and leading cities, ifith per cent of
total United States for each c i t y ............
135
Number of persons engaged in banking and bro­
kerage In leading cities, New York State,
and the United Sta.tes, 1870 and 1880.........
139
Employment in national banks in the leading fi­
nancial cities in the United States, ex­
pressed in per cent of the total for the
United States..................................
140
Employment in banks in New York City, leading
states, and the United States, 1935..........
142
Comparison in the occupational distribution of
workers in banks in New York State and the
United States, 1870 and 1880.................
144
Comparison in the occupational distribution of
employees in banks in New York City, New York
. State, and the United States, 1 9 3 5 ...........
145
Trend in the amount of deposits per employee in
banks in the United States, 1870-1935........
147
Trend in the average number of employees per
national bank in the United States, 1918-1937
147
Proprietors and employees of security brokers
and dealer firms in New York City, leading
states, and the United States, 1935..........
158
Comparison in the number of employees and pro­
prietors of security brokers and dealer
firms in the United States and New York City,
1936, 1938, and 1939..........................
160
(continued)
xl
Table
number
XXVI.
XXVII.
XXVIII.
XXIX.
XXX.
XXXI.
Page
number
Employment In New York Stock Exchange mem­
ber firms, 1938...........................
161
Occupational distribution of the personnel
of security brokers and dealers in New
York City and the United States, 1936
and 1 9 3 9 ...................................
164
Growth of the insurance business in New
York State.................................
169
Number of persons engaged in Insurance in
leading cities, New York State, and the
United States, 1870 and 1 8 8 0 .............
172
Comparison in the occupational distribution
of workers in insurance companies in New
York State and the United States, 1870
and 188 0...................................
178
Comparison in the occupational distribution
of persons engaged in the insurance busi­
ness in the United States, 1910 and 1930.
179
XXXII.
Trend in the per cent of total workers in
insurance engaged in clerical and office
work, 1870 to 193 5 ...................
185
XXXIII.
Distribution of salaries, commissions, and
expenses paid to agents and other em­
ployees of life-insurance companies in
the United States, 1900 to 1 9 3 5 .....
186
XXXIV.
XXXV.
XXXVI.
XXXVII.
Central administrative employees in manu­
facturing establishments in the United
States, 1923-1937................. .......
198
Number and per cent distribution of employ­
ees in central administrative offices of .
manufacturing establishments in leading
states, 1929 and 193 7.....................
200
Number and per cent distribution of employ­
ees in central administrative offices
in leading states, 1935...................
202
Number and per cent distribution of employ­
ees in central administrative offices
(auxiliary units) of wholesale organiza­
tions in leading states, 1 9 3 5 ............
203
(continued)
xil
Table
number
Page
number
XXXVIII.
XXXIX.
XL.
XLI.
XLII.
XLIII.
XLIV.
XLV.
XLVI.
XLVII.
XLVIII.
XLIX.
L.
Distribution of employees in chain-store
organizations in the United States in
193 5 ...........
204
Number and size of the chains domiciled in
each state, 1935..........................
205
Number of employees and proprietors engaged
in real-estate offices in leading cities
with the per cent of the total United
States in each city, 1935...............
214
Number and percentage of business workers
in central electric light and power com­
panies in the United States and New York
City, 1902-1932...........................
226
Number and percentage of business workers
in New York City transit companies, num­
ber of passengers carried annue.lly and
number of oassengers per employee, 1908193 6 ..... ‘ ................................
232
Number and percentage of business workers
in telephone conpanies in the United
States and New York City, 1903-1937.....
238
Number and percentage of business workers
in the railroads of the United States,
1880-1937.................................
244
Occupational distribution of business work­
ers in land and ocean cable and tele­
graph companies in the United States,
1880-1937.................................
245
Hotel employees and proprietors in New York
City, 1929-1935...........................
252
Percentage of office and other business
workers in hotels of leading cities in
the United States, 1935..................
254
Composition of personnel in amusement en­
terprises, 1933 and 1935.................
257
Value of building construction in New York
City from 1900 to 1936....................
260
Percentage of business workers in the con­
struction industry in the United States
and leading cities, 1929............
262
(continued)
xlii
Table
number
LI.
LII.
LIII.
LIV.
LV.
LVI.
LVII.
LVIII.
LIX.
LX.
' LXI.
LXII.
Page
number
.Comparison in the occupational distribution
of workers in the construction industry
in New York State, 1929 and 1 9 3 5 ............
263
Number of workers in buslness-service estab­
lishments in New York City, with per cent
of total United States in each business,
1933 and 1935 ...............................
267
Number of public accounting establishments
reported" in New York City business direc­
tories, 1850-1935.... .....................
269
Number of workers in New York City in various
types of services, other than business ser­
vices, with the per cent of the total Unit­
ed States in each business.................
271
Number and distribution of employees in New
York City classified civil service, 1916
to 1937......................................
274
Comparison in the occupational distribution
of gainfully occupied persons in the
Federal, state, and city government ser­
vice in the United States, 1910 and 1930...
276
Comparison in the occupational distribution
of business workers in professional estab­
lishments in the United States, 1910 and
1930 .........................................
279
Number of persons engaged in gainful occupa­
tions in the United States, classified by
general divisions of occupations, 1820-1930
293
Number of persons, sixteen years of age and
over, employed in specific business occu­
pations in the United States, 1870-1930....
299
Number of persons, ten years of age and over,
engaged in each of the general census divi­
sions of occupations in the City of New
York, 1820-1930.............................
306
Population statistics for the City of New
York, 1790-1930.............................
307
Per cent distribution of gainfully occupied
persons in the City of New York, by general
census divisions of occupations, 1820-1930.
309
(continued)
xlv
Table
number
LXIII.
LXIV.
LXV.
LXVI.
LXVII.
LXVIII.
LXIX.
LXX.
LXXI.
LXXII.
Page
number
Total number of persons (male and female),
ten years of age and over, engaged In
clerical occupations in the City of New
York, 1855-1930.......
325
Total number of males, ten years of age
and over, engaged in clerical occupations
in the City of N ew York, 1870-1930........
326
Total number of females, ten years of age
and over, engaged in clerical occupations
in the City of New York, 1870-1930 ........
327
Total number of persons (male and female),
ten years of age and over, engaged in
selling occupations in the City of New
York, 1855-1930.........
328
Total number of males, ten years of age and
over, engaged in selling occupations in
the City of New York, 1370-1920...........
329
Total number of females, ten years of age
and over, engaged in selling occupations
in the City of New York, 1870-1930........
330
Total number of persons (male and female),
ten years of age and over, engaged in the
management, administration, and financing
of all types of business in the City of
New York, 1855-1930........................
331
Total number of persons (male and female),
ten years of age and over, engaged in non­
office clerical occupations in the City
of New York, 1870-1930.....................
332
Summaries of the number of persons, ten
years of age and over, engaged in the
four types of business occupations in the
City of New York, 1855-1930...............
333
Per cent of total gainfully occupied per­
sons, ten years of age and over, engaged
in each business occupational group in
New York City, with separate figures for
males and females, 1870-1930..............
347
(continued)
xv
Table
number
LXXIII.
LXXIV.
LXXV.
Page
number
Probable occupational distribution of gain­
fully occupied persons in New York City,
in 1940 and 1950...........................
359
Estimates of number of persons tbat will be
engaged in specific business occupations
in New York City in 1940 and 1950........
364
Summary of trends in the percentage of cler­
ical workers in various industries in the
United States..............................
384
xvi
LIST OF DIAGRAMS
Diagram
number
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Page
number
Employees In New York City manufacturing es­
tablishments expressed in numbers and in
per cents of the United States total,
1820-1937................................
32
Trend in the percentage of business workers
in manufacturing establishments in the
United States................................
35
Trend in the relative number of office and
factory workers in selected New York State
factories, 1914-1938................
39
Trend in the per cent of total wage earners
employed by incorporated manufacturing estab­
lishments...........
42
Trend in the number of wage earners and number
of salaried employees required to produce a
million dollars of annual product............
45
Trend in the percentage of business workers in
manufacturing establishments in New York
City...........................................
52
Comparison of the trend in the percentage of
salaried employees in manufacturing estab­
lishments in the Boroughs of Manhattan and
the Bronx, New York City, New York State, and
the United States.............................
55
Comparison of the trend in the percentage of
salaried employees in manufacturing estab­
lishments in the ten most important manufac­
turing cities in the United States...........
57
Wholesale establishments in 1840.
Relative
capital invested and number in New York
County (City), New Yo.x State, and impor­
tant commercial counties, expressed in per
cents of the United States total............
72
Trend in the amount of merchandise entering
into the wholesale trade of New York City
and the United States, 1859-1935............
76
(continued)
xvil
Diagram
number
11.
12.
13.
14.
15.
number
Comparison in the relative number of whole­
salers, Importers, and exporters in nine
leading wholesale cities in 1900, 1910,
1920 and 1930, expressed in p e r cents
of the to.tal for the United States........
78
Comparison In the relative number of total
workers in wholesale establishments by
cities in 1929, 1933, and 1935, expressed
in per cents of the total for the United
States ........
80
Comparison in the percentage of business
workers in wholesale establishments in the
United States, New York State and leading
cities......................................
88
Comparison in the per cent of total United
States population, wholesale sales, whole­
sale establishments, and various classes
of employees in New York City, 1935........
90
Retail establishments in 1840.
Relative num­
ber of retail stores and capital invested
in New York County (City) and other impor­
tant commercial counties in the country
expressed in per cents of the United
States total...............................
99
16.
Comparison in the relative number of retail
dealers in nine leading cities in 1900,
1910, 1920, and 1930, expressed in per
cents of the totalfor the United States..
102
17.
Comparison in the relative number of total
workers in retail establishments by cit­
ies, 1929, 1933, and 1935, expressed in
per cents of the total for the United
States......................................
104
Comparison in the distribution of total
workers and employees in independent,
chain, and other stores, New York City,
1929 and 1935..................
106
18.
19.
Percentage of business workers in retailing
establishments in leading states.........
116
(continued)
xviii
Diagram
number
20.
21.
22.
Page
number
Comparison In the relative number of employ­
ees In financial institutions by cities,
expressed in per cents of the total for
the United States, 1935.....................
130
Trend in debits to individual accounts for
banks in the United States and leading
cities.......................................
136
Comparison in the relative number of persons
engaged in banking and brokerage of money
and stock in each of the leading cities of
the United States, 1870 and 1880, expressed
in per cents of the total for the United
States.......................................
139
23.
Trend in relative employment in national
banks in New Y 0rk State and the leading cit­
ies in the United States, expressed in per
cents of the total for theUnited States... 140
:24.
Comparison in the relative number of employ­
ees in banks in New York City and leading
states in 1935, expressed in per cents of
the total for the United States.............
142
Trend in the sales of listed securities on
the N ew York Stock and N ew York Curb Ex­
changes with the amount of new corporate
Issues.................
153
Comparison in the number and per cent of t o ­
tal stock brokers in the United States in
leading cities, 1910, 1920, and 1930.......
156
Comparison in the relative number of total
workers with security brokers and dealers
in each of the leading states in the coun­
try and New York City in 1935, expressed
in per cents of the total for the United
States...............
158
25.
26.
27.
28.
Comparison in the relative number of persons
engaged in insurance in each of the lead­
ing cities in the United States, 1870 and
1880, expressed in per oents of the total
for the United States.......................
172
(continued)
xlx
Page
number
Diagram
number
29.
30.
31.
32.
33.
34.
35.
36.
Comparison in the number and per cent of
total insurance agents in the United
States in leading cities, 1910, 1920, and
1930.........................................
174
Comparison in the relative number of employ­
ees in insurance carriers home offices,
branch and managerial offices of insurance
carriers, insurance agencies, and all in­
surance establishments in leading states in
1935, expressed in per cents of the total
for the United States.......................
176
Percentage of business workers in the insur­
ance business; carriers, home offices, a n d
branch offices and agencies in New York
State and the United States, 1 9 3 5 ..........
181
Comparison in the relative number of employ­
ees in central administrative offices of
manufacturing establishments in the lead­
ing states of the country, expressed in
per cents of the total for the United
States, 1929 and 1 937......................
200
Comparison in the relative number of employ­
ees in central administrative offices in
1935, expressed in per cents of the total
for the United States........ .............
202
Comparison in the relative number of employ­
ees in central administrative offices
(auxiliary units) of wholesale organiza­
tions in 1935, expressed in per cents of
the total for the United States............
203
Comparison in the amount of sales and num­
ber of retail units operated b y home of­
fices of retail chains located in leading
states in 1935, expressed in per cents of
the United States total.....................
205
Comparison in the number and per cent of
total real-estate agents and officials in
the United States in leading cities, 1910,
1920, and 1930..............................
213
(continued)
xx
Diagram
number
37.
38.
39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
Page
number
Trend
In the percentage of business workers
In electric power and light companies In
Nexit York City and the United States.......
226
Trend
in the percentage of business workers
In street railway companies in New York
City, New York State, and the United
States.......................................
234
Trend In the percentage of telephone opera­
tors and clerical employees In the United
States and in the New York Telephone Com­
pan y .........................................
238
Trend
in the percentage of clerical employ­
ees and executives in the railroads of the
Unit ed S t at e s ...............................
244
Trend in the number of persons engaged in
general divisions of occupations, United
States, 1820-1930...........................
294
Changing proportions in general divisions of
occupations, United States, 1820-1930.....
296
Trend in the number of persons engaged in
specific clerical occupations, United
States, 1870-1930...........................
300
Trend in the number of persons engaged in
specific trade occuoations, United States,
1870-1930....................................
302
Trend in the number of persons engaged in
general divisions of occupations, City of
New York, 1820-1930, with estimates for
1940 and 1950 ...............................
308
Changing proportions in general divisions of
occupations, City of New York, 1820-1930...
310
Trend in the per cent of total occupied per­
sons for each of the census divisions of
occupations in the City of New York, 18201930.........................................
311
Trend in the number of total persons (males
and females) engaged in specific clerical
occupations in the City of New York, 18551930.........................................
335
(continued)
xxi
Diagram
number
49.
50.
51.
52.
53.
54.
55.
56.
Page
number
Trend in the number of males engaged in spe­
cific clerical occupations in the City of
New Y 0rts:, 1870-1930..........................
337
Trend in the number of females engaged in
specific clerical occupations in the City
of N ew York, 1870-1930.......................
339
Trend in the number of total persons (males
and females) engaged in specific selling
occuoations in the City of New York, 18551930..........................................
340
Trend in the number of males engaged in spe­
cific selling occuoations in the City of
New York, 1870-1930.......................
342
Trend in the number of females engaged in
specific selling occupations in the City of
New York, 1870-1930 ..........................
343
Trend in the number of total persons (males
and females) engaged in managerial, finan­
cial, and administrative occupations in the
City of New York, 1870-1930.................
344
Trend in the number of total persons (males
and females) engaged in communication and
other non-office clerical occupations in
the City of New York, 1870-1930 ..............
346
Trend in the percentage of total gainfully
occupied persons engaged in each of the
four types of business occupations in the
City of New Y 0rk, with separate figures for
total persons, males and females............
348
57.
Comparison in the trend in the number of
clerical workers and salespersons per 10,000
total population in leading cities, 1900,
1910, 1920 and 1 9 3 0.......................... 351
58.
Comparison in the trend in the number of
clerks, stenographers, and accountants per
10,000 total population in leading cities,
1900, 1910, 1920 and 1930...................
59.
352
Estimates of probable fhture occupational dis­
tribution of gainfully occupied persons in
New York City.in.1940 and 1950, wit h distri­
bution for 1930.......... .................... 360
(continued)
xxii
Diagram
number
Page
number
60.
Comparison in the number of workers in
the leading Industries and businesses
in New Y 0rk City, 1935....;.............. 374
61.
Relative importance of N ew York City as a
center for employment in various indus­
tries and businesses, expressed in per
cents of the total United States work­
ers in each industry or business in
1935.......................................
62.
376
Comparison in the percentage of business
brokers in various Industries and busi­
nesses in the United States, 1935........ 380
xxlil
PART I
INTRODUCTION
CHAPTER I
THE PROBLEM
Purpose and Educational Implications of the Problem
Educators are becoming more and more aware that their so­
cial responsibility extends beyond "perpetuating the outworn tra­
ditions of the past,"'*’ and that they must concern themselves with
discovering "If possible, directions In which society must move,"
and "In preparing people to understand and live In a society which
2
will be far different from that in which they were born.
This responsibility Is perhaps greater for those who are en­
gaged in preparing the youth of today for the business of tomor­
row.
The Vocational Survey Commission of the City of New York
recognized this obligation in 1932, when It expressed a need for
3
"scientific foresight based upon a scientific hindsight"
for the
purpose of anticipating possible or probable shifts and changes
in employment. The United States National Resources Committee, in a study
of education in relation to occupational trends, also concluded
that "any well-planned (educational) program that looks toward a
1.
2.
3.
New York University Bulletin. School of Education.
1933-34, p. 13.
L o o , olt.
Report. June 30, 1932.
2
more adequate adjustment of the population to occupational op­
portunity must be based on careful and detailed analysis of oc­
cupational trends and the changing demands that the various oc­
cupations are making upon the skill, the Intelligence, and the
social qualities of the workers."'1"
The importance of Information on occupations, such as num­
ber of employees in each occupation and the trend of such em­
ployment, was emphasized in the recently issued report of the
President's Advisory Committee on Education, which felt that
"Such information presented in its historical, geographical, and
technological setting would go far towards providing Individuals
with a broad, objective and factual basis for making the choice
of an occupation, and deciding upon the kind of training to pursue."„2
Associate Superintendent William E. Grady, in charge of
vocational education in New York City, takes the attitude that
the value of a vocational school depends upon its ability to
keep abreast of new industrial developments and to foresee fu.3
ture trends.
However, notwithstanding the extensive facilities now
available for accumulating and distributing occupational in­
formation, and the innumerable studies and surveys that have
been made of specific business fields and analyses of specific
occupations,
it is evident that a wide lag between the occupa­
tional demands of economic life and the training provided by
1.
2.
3.
Report of the Committee on Population Problems. 1938, p. 213.
Report of the Committee. 1938, p. 104.
Board of Education of the City of New York, Report on
Vocational Schools. 1939.
3
the schools still exists.
This lag may be attributed to the following causes:
1.
The delay between the making of a survey of the Industry or
occupation and placing the results of the study Into the educa­
tional program. *
2.
The time required for the training process, which frequently
results In the training received becoming obsolete by the time
it Is completed.
The survey of exlsting conditions and the Job
analysis both have their ple.ce In vocational commercial educa­
tion, but It appears that, in view of the changing character of
economic life, there is likewise need for a study of the future
trends in the demand for general and specific classes of business
workers based upon an analysis of both the past and the present.
It is hoped that this will provide another basis for planning for
the future educational needs of the city.
It is recognized that "all prediction as to probable fu ­
ture trends is essentially speculative, but, since planning must
of necessity involve a certain amount of prediction, the accu­
racy of which is largely determined by the extent, accuracy, and
pertinence of the data upon which it is b a s e d , t h e
sive, accurate,
more exten­
and pertinent the data, the more extensive, ac­
curate, and reliable will be the prediction to be drawn.
In
view of the more extended scope of the data to be compiled in
this study as compared to other studies of occupational trends
*
Franklin J. Keller, in an unpublished report makes the state­
ment that it takes at least five years before the results
of a survey are reflected in changes in the curriculum.
1. William Rosengarten, The Size and Trends of Occupations in
the United States from 1880 to 1930 and a Consideration of
Their Significance for Education.
Master of Arts thesis,
New York University, 1931.
4
it should provide a more substantial basis for predicting prob­
able future business life in the city than has heretofore been
available.
Analysis of Problem
The modern community produces and distributes economic
goods and services through the agency of enterprises or busi­
ness establishments, conducted either by individuals or artifi­
cial bodies known as corporations, and occasionally by govern­
mental agencies.
These agents perform their functions today
through the efforts of their owners as well as with the aid of
the individuals they employ.
These enterprises are generally described as being engaged
in industries if their primary function is the production of
goods or services.
The term business is usually applied to the
distributive functions as well as to the activities of all of
the auxiliary functionaries who facilitate production.
The
work of the people engaged in these industries and businesses
is described as their occupation.
Any study of the economic
life of a community must of necessity take into consideration
both its Indus tries, business establishments, and occupations.
During the early stages in the economic development of
this country, industrial and business units were necessarily
small, with the result that the occupations of the people would
usually parallel the industries and businesses of the community.
Larger economic units, wit h their accompanying specialization in
occupation, have widened the distinction between the Industry or
business representing the field of industrial or business activ-
5
ity and the occupation which may or may not be directly related
to a specific Industry or business.
Clerical workers represent occupations that may be found
in all of the general industrial and business divisions,
as distribution, manufacturing, finance,
such
transportation, and
other utilities, as well as professional activities and public
service.
Any study attempting to determine the future need for
any type of worker must not only consider the occupational trends
in that field, but also the trends in the underlying industries
and businesses in which those persons are employed.
Analyses by Industries
For convenience in tracing the trends in various indus­
tries, these will be grouped into the following general classi­
fications, based largely upon those followed by the New York
1
State Employment Office.
Manufacturing
Distrlbut ion
Wholesale
Retail
Financial Institutions
Banks
Security dealers and brokers
Insurance establishments
Central administrative offices
Miscellaneous financial
institutions
Public Utilities- Transportation
and Communication
Gas and electric light and
power companies
Transit lines
Telephone and telegraph companies
Interstate carriers
!•
New York State Department of Labor, Indus trial Bulletin,
published monthly.
6
Service and Other Industries and
Businesses
Hotels
Places of amusement
Construction contractors
Business services (including ad­
vertising agents and accountants
Personal services
Repair services
Public and professional service
Since the basic objective in determining the trends in
these businesses and industries will be to ascertain the prob­
able future need for business workers in New York City in each
of these industries, only such data as reflect this demand will
be considered.
Some of the pertinent data would be:
1.
G-eneral trends in each industry or busi­
ness as reflected by number of em­
ployees or volume of business
2.
Relative position of the City of New York
in each industry or business and the
factors influencing the localization
of the industry
3.
Occupational distribution of workers in
each business or Industry in general
and the City of New York in particular
into the following general functional
groups:
a.
Proprietors, salaried offi­
cials, and executives
b.
Office and clerical employees
c.
Direct salespersons
d.
Nonbusiness workers or wage
earners (production, op­
eratives, maintenance, etc.)
The object here is to determine the propor­
tion of business workers to total workers
in each industry.
4.
Such other factors that may influence the oc­
cupational distribution of workers in each
7
business or Industry In the City of
New York.
These would be changes in
the following:
a.
Average size of establishment
b.
Form of business organization
c.
Productive efficiency of workers
Analyses of Occupations
A proper understanding of the trends In business occupa'
tions is dependent upon an analysis of the following:
1.
General occupational trends for the country
as a whole
2.
The location of the occupations within the
City of New York
3.
a.
Trends in the general census
divisions of occupations to
show the relationship between
trends in business occupations
to those of other occupations
b.
Trends in specific business occu­
pations
Interpretation of the changes in occupational
distribution and an analysis of probable
causes for the purpose of arriving at es­
timates of future trends
Delimitations of Probl em
The President's Advisory Committee on Education came to
the conclusion that occupational data "should be supplemented on
a regional, state and area basis" and that much of the value of
such statistics will not be obtained unless it can be related
to conditions of specific localities.-*1.
Report of the Committee. 1938, p. 104.
8
#
The Olty of New York
Occupational data on a state basis are readily available.
In the system of reports followed by the various government
bureaus, statistics are usually broken down by states, and much
less frequently by cities and counties.
However, there is some
question as to the value of a single industrial or economic in­
dex for as large an area as a state,'*' as industrial and occupa­
tional distribution would vary greatly in different parts of the
state, particularly in a state as large and diversified as New
York.
Were this study intended for other than educational pur­
poses, it would have been planned to cover the New York metro­
politan district, embracing not only the City of New York, but
the various adjacent communities which are closely integrated
with the Industrial, commercial, and financial life of the city.
However, the educational policies of the city are at present
largely determined by the political unit; i.e., the New York
municipal government.
Moreover, adequate da.ta would not be
available for many of the smaller communities which go to make
up the New York metropolitan district.
The City of New York has undergone numerous changes in
*
1.
Although the city is officially known as the "City of New
York," both that term and the term "New York City" will
be used in this study to refer to the present area of
Greater New York.
The popular* use of the term "New York
City" in newspapers, business and even scientific studies,
other than official documents, would appear to justify
its use here for the purpose of securing greater variety
of expression.
Ohio State University, Bureau of Business Research, Indus­
trial and Commercial Ohio. Part 4, p. 57.
9
area during the period covered by this study.
For the purpose
of making the data for the various periods comparable, they will
be applied, wherever possible, to the present area of Greater
New York, embracing the Boroughs of Manhattan, Bronx, Brooklyn,
Queens,
and Richmond.
ures are
On a number of occasions, where no fig­
available for New York City, New York State figures
will be used, particularly
in those industries and businesses
that are known to be coneentra.ted in New York City.
It
may best
is recognized, of course, that trends
forNew York City
be interpreted by comparison with figures for other
cities and the United States as a vfoole.
Much data will there­
fore be given for the United States as a whole to indicate basic
trends, as well as for the more important cities to permit com­
parisons, although the major objectives of this study will be to
determine the trends of business enterprises and occupations in
New York.
Period
The period of time to be covered in this historical study
will be largely determined by the data available and the period
necessary to establish determinable trends.
1937 have been set as a possible limitation.
The years 1820 to
CHAPTER II
SOURCES
Statls tics
The varied character of the industries covered in this
study would imply a similar wide range of statistical sources.
The Federal and state censuses are obviously the most important
primary sources of data on industries and occupations.
In ad­
dition, reference will be made to the reports of the numerous
government agencies, both Federal and state, which today branch
out into almost every aspect of economic life.
A general list of primary sources of statistical data is
given here.
The specific sources to be used for each industry
or business will be listed at the time the industry or business
is analyzed.
United States Bureau of the Census:
Census Reports on Occupations
Census of Manufactures
Census of Distribution
Census of Electrical Industries
Census of Business
Annual reports of the following Federal agencies:
Interstate Commerce Commission
Comptroller of the Currency
Security and Exchange Commission
Federal Communications Commission
Reports
New
New
New
New
New
New
of state agencies:
York State Census
York State Public Service Commission
York State Transit Commission
York State Banking Department
York State Insurance Department
York State Department of Labor,
Industrial Bulletin, and special reports
11
Private agencies:
Reports of the New York Stock Exchange
New York Telephone Company, Annual Reports
Business directories:
It was the original intention to use business directories
extensively as a source of data particularly in those Indus­
tries that have been inadequately covered by the Federal cen­
sus or other government agencies.
A preliminary study of cer­
tain aspects of New York City business establishments based upon
this source alone proved of doubtful value, since the only in­
formation that could be secured from these directories was the
number of establishments in each industry and their location
within the city.
The number of establishments alone, however,
has been found to be a most inaccurate measure of growth, since
it fells to take into consideration the change in the average
size of establishments.
Actually, the number of establishments
or companies engaged in manufacturing, banking, public-utilities,
and probably other industries and businesses, have decreased
during the past thirty years, because of the Increase in the
size of the average establishment, although there has been an
increase during the same period in employment, amount of busi­
ness, and other items which reflect actual growth.
When Statistics Are Lacking
Although it should be apparent that statistics form the
basis for the greater part of this study, there are certain as­
pects of business life where statistics are either lacking or
would fail to give a true and complete picture of the situation
at the time.
Moreover, reference to other sources may be nec-
12
essary to determine controlling factors and conditions not fully
described by numbers alone.
Records and papers pertaining to firms in New York City
are scarce
and,
even where they are available,
the Information
they contain is "spotty" and does not give an adequate picture
of the industry as a whole during that period.
One of the most
important sources of business information in the past has been
found to be the business guide books or annuals, published os­
tensibly for the purpose of furnishing visiting merchants to the
city with Information about its businesses, but at the same time
providing an advertising medium for the merchants in the city to
describe their business in some detail.
Although there is much
puffing in the information they contain, their importance as a
contribution to the literature of business history lies in the
fact that they are contemporary documents and cannot help but
throw light upon the development of business in New York City.
A partial list of these business annuals and guides is given in
the bibliography.
Hunt13 Merchants Magazine and its successor, Commercial
and Financial Chronical. contain a wealth of material on busi­
ness in this country during the past hundred years.
Although
essentially secondary sources of statistics, these publications
*
The Chamber of Commerce of the State of New York and the
New York Historical Society have been constantly seeking
business papers belonging to New York City concerns.
The librarian of the Chamber of Commerce of the State of
New York has given assurance that there is very little
available to investigators outside of the collections of
these two libraries, which in themselves are very meager.
13
have heen found to be of value in reflecting contemporary opinion.
Evaluation of Source Material
Unfortunately, census figures are not always the indispu­
table facts they are sometimes presented to be in popular mater­
ial.’1' Any attempt to use the data in the form in which they are
given in the original census reports for comparative purposes
without first determining whether the data are comparable would
2
lead to misleading and erroneous conceptions.
Comparative studies of tfye data compiled at the different
censuses becomes difficult with a constantly changing basis for
classification.
Carelessness and misinterpretation of instruc­
tions by the census enumerators have likewise added to the pos­
sibility of error in the census figures.
While much of the difficulty in comparing economic cen­
sus data might have been avoided if greater care had been exercised in the preparation of the earlier censuses,
that this difficulty will always exist.
it is likely
"The changes in class­
ifications alone, which are necessitated by the steadily increas
ing, diversification and specialization of industry, throw com1.
2.
#
William C. Hunt, The Federal Census of Occupations,
American Statls tlcal Association Publications, XI
(1909), p. 468.
P.K. Whelpton, Occupational Groups in the United States,
American Statistical Association Journal. XXI (1926), p. 335.
Prior to 1850, the chief objective of the Federal Census
was to provide an enumeration of the inhabitants for the
purpose of establishing a basis for political r ^ r e sentation. Beginning with the 1810 Census, the questionnaires
called for other data besides number, sex, color, and
age of the population, but questions of an economic na­
ture were considered of secondary importance b y both the
enumerator and the person providing the information.
14
parison out of gear everywhere."^
It should also be kept In mind that the United States Bu­
reau of the Census compiles Its data on occupations at tenyear intervals.
The tenth year may occur, and frequently has
occurred, at times when business conditions are not normal,
with the result that a distorted picture is given rather than
that of the true long-term trend.
A better indication of the
true trend is possible when figures are given at five-year in­
tervals, as in the case of electrical industries, and manufac­
turing from 1899 to 1919, and still better with the biennial
reports of the Census of Manufactures since 1919.
Method of Correcting: Data
The method used for securing comparative figures for the
general census divisions of occupations in the City of New York
2
is largely based upon the procedure followed by Whelpton in
securing similar comparative figures for the United States.
The
nature of each adjustment is explained in the notes given in
the Appendix, pages 427 to 431.
The value of many of the census reports is considerably
reduced for this study by their failure to provide separate
"break-up" of data for New York and other cities.
In frequent
cases, it was possible to estimate the figures for the city by
means of other data.
The procedure in arriving at each of these
estimates is described in the Appendix, pages 426 and 427.
1.
2.
S.N.D. North, Manufactures in the Federal Census. American
Economic Association Publications, Series 2, Cl89?-99),
p. 300.
P.K. Whelpton, Occupational Groups in the United States, Amer­
ican Statistical Association Journal. XXI (1926),
p o « 335—343.
CHAPTER III
OTHER CONTRIBUTIONS TO THIS FIELD
Although a thorough search of all known sources and ref­
erences has disclosed no other study related to this in either
scope or objective,
several important contributions have been
made in connection with various aspects of the industries, bus­
inesses, and occupations included in this study.
These are in­
cluded in the chapters in which these industries, businesses,
and occupations are analyzed.
A few of the more general stud­
ies are mentioned here.
Regional Plan of
By far the
New York and Its Environs
most extensive survey of economic life in New
York City was made by the staff retained by the Committee on
Regional Plan of New York and Its Environs.
gan work in 1922
This committee be­
making "studies of physical, economic and
cial conditions with view of preparation of a plan
so­
dealing in
broad outline with problems of the physical growth of the New
York Region."1
Although the main objective of these studies W as
to examine the industries and commercial enterprises of the city
for the purpose of determining the physical space required to
accommodate them, such as width of streets, size of buildings,
etc., the eight volumes of the report contain a. wealth of ma­
terial related to the trends of these enterprises in the city
1.
Regional Plan of New York and Its Environs. Vol. I,
Introduction.
16
with particular relation to their location within the city.
There is very little in this survey related to specific voca­
tions or occupations, or to the number of persons employed in
the various enterprises.
Vocational Survey Commission
This commission was organized in 1930 "to study our exist­
ing
vocational training program, Investigate local industrial
conditions and needs, and ascertain in what additional ways the
demand of our community for adequate trade training may be met.
In the report of the commission,
as of June 30, 1932, the
purpose of the survey is given in greater detail, as well as the
findings of the committee after one and a half years of study
and research.
Although this survey was intended to include the
printing trades, garment trades, building trades,
opportunities
for Negro workers, the food Industry, the various types of com­
mercial work, and so forth, until all of the major industries
of the greater city were covered,
the work of the commission
was suspended in 1932, with but part of the survey completed.
New York City Committee on Local Industries
The director of civics of the New York City Department of
Education, headed a committee in 1931 and again in 1934 "to
draw up an outline for the study of the business of living as
related to the vocations and industries of New York City."
This committee made no original research, but assembled avall1.
Board of Education, City of New York, Journal. July 23,
1930, p. 1939.
17
able data which resulted in the present New York City syllabus
on "economic citizenship."^
Occupational Trends in New York City
This contribution, prepared by the Personnel Research Fed­
eration, under the direction of Walter V. Bingham, for the Ad ­
justment Service of New York City, shows the changes in the num­
ber of gainful workers per 10,000 total male or female workers
in New York City in each of the important specific occupations
for the period 1900 to 1930.
The statistics here used have
been drawn exclusively from the volumes on occupations of the
Decennial Censuses of the United States.
No attempt has been
made to adjust figures which may not be comparable, or to trace
the trends in underlying industries or businesses.
Trends in Business Occupations
This study b y Herbert A. Tonne of New York University,
which appeared in the Journal of Business Education. October,
November, and December, 1933, traces certain trends in the busi­
ness occupations for the United States as a whole.
It is based
entirely upon United States Census data.
Other studies covering specific industries or businesses
are listed at the time these industries or businesses were ana­
lyzed.
A more complete list of contributions to this and re­
lated fields may be found in the Bibliography.
1.
Board of Education, City of New York, New York City
Syllabus in Economic Citizenship. 1937, foreword.
PART II
MANUFACTURINGCHAPTER I
INTRODUCTION
The term "manufacturing" is today applied exclusively to
factory industries.1
It does not cover the so-called hand and
neighborhood industries, such as carpenter and custom-tailor
shops, or those engaged in repair services (exoept railroad re­
pair shops) which are otherwise included with the service in­
dustries.
Neither does it include firms engaged in building con­
struction, which are treated separately with construction estab­
lishments.
It does, however, Include a few industries, such as
printing and publishing, whose activities are not manufacturing
in the sense in which the term is generally understood.
2
Although every phase of manufacturing may properly be
considered part of the business life of the city, our concern
here is chiefly with the many functions of a purely business na­
ture which are today considered Indispensable and ancillary to
the actual manufacturing process.
1.
2.
United States Bureau of the Census, Biennial Census of
Manufactures. 1927, p. 6.
United States Bureau of the Census, Census of Business.
1935, Personnel and Pay Roll in Industry and Business,
p. v.
19
The distributive and financial functions which manufac­
turers have transferred to other specialized agencies will be
studied in those parts dealing with these distributive and fin­
ancial agencies.
In this part, devoted to the manufacturing in­
dustries, our problem centers around the administrative, finan­
cial, and distributive functions still being performed by the
manufacturing establishment.
The study of manufacturing and its auxiliary business func­
tions, like all other phases of New York City life, has two as­
pects:
1.
Development of the function in general
2.
Localization of the function in New York City
Emphasis will be placed upon those factors which affect employ­
ment trends for business workers in general and New York City in
particular.
Sources of Data
Few phases of our economic life have been canvassed and
recorded as thoroughly as production, although the returns for
the census years prior to 1870 leave much to be desired in the
1
way of accuracy.
United States Census of Manufactures
The first United States Census of Manufactures was taken
in 1810, although data as to the number of hands employed were
not provided until 1820.
The results, however, were considered
so unsatisfactory and so incomplete that no manufacturing census
1.
S.N.D. North, Manufactures in the Federal Census, American
Economic Association Publication. Series 2 (1897-99),
p. 257.
20
was taken in 1830.1
The Census of Manufactures was resumed in
1840 and continued every tenth year . until 1900, when the peri­
od was reduced to five years.
Since 1921, the Census of Manu­
factures has been taken biannually.
able for New York and Kings Counties
Separate figures are avallsince the first census.
Data on office, administrative, and managerial workers in
manufacturing establishments unfortunately do not go back so
far.
ft
The 1879 Census gave the number of officers and clerks,
mechanics, watchmen and laborers, and operatives for the textile
2
manufacturing industries only.
The 1889 Census extended the
detailed analysis of the classes of employees to all industries
and provided statistics as to the number of clerks, proprietors,
and factory hands.
Since 1899, the United States Census of Manu­
factures has classified workers in manufacturing estaHishments
as to proprietors, salaried persons, and wage earners, and pro1.
*
#
&
2.
North, op. clt.. p. 328
Since the 1850 Census, manufactures are reported as of
the preceding year, 1849, 1859, etc., inasmuch as the
statistics are based upon the reports submitted by
manufacturing establishments covering their activities
during the year preceding the decennial census year.
Fortunately, New York County corresponded with the city
of the same name.
Kings County Included the City of
Brooklyn and several small villages.
The counties of
Queens and Richmond, although at present part of New
York City, were negligible factors in manufacturing
prior to consolidation.
The United States Census of Occupations in 1870 reported
the number of clerks in manufacturing establishments.
The number so recorded, however, appears to be too
small to warrant their consideration here.
Statistics of Manufactures in the United States. 1880,
p. 955: "The factory system, as we understand it
today, was most prevalent in the textile industries."
21
vi&ed the number of each class of worker.
The term "salaried
person" has been used consistently to Include salaried offi­
cers, superintendents, and clerks.^
Data on salaried employ­
ees have been reported in all the quinquennial and biennial Cen­
suses of Manufactures with the exception of 1931.
Data on sala­
ried employees for cities, however, have been omitted in the pub­
lished returns for the biennial Censuses beginning with 1921.
A
very complete occupational analysis of workers in manufacturing
establishments was given in the 1909, 1914, and 1919 Censuses of
Manufactures.
Separate figures are available for these years on
the number of salaried officers of corporations,
superintendents
and managers, clerks and other salaried employees, as well as
wage earners and proprietors and firm members.
A detailed anal­
ysis was again made at the 1935 Census of Manufactures, when,
in addition to the occupational groups already mentioned, sep­
arate figures were made available for the first time on the num2
ber of technical employees in manufacturing establishments.
State Compiled Statistics
The State of New York has likewise been active in compil­
ing data on manufactures of the state and its cities.
These
state statistics may be classified into the following groups:
1.
2.
United States Bureau of the Census, Biennial Census of
Manufa,ctures. 1923, p. 6: "In general office employees
are classified as salaried officers and employees and
factory workers as wage earners..while factory super­
intendents and foremen are treated as salaried em­
ployees if not engaged in manual labor in addition to
their supervisory duties." See also 1933 Census of
Manufactures, p. 8.
United States Bureau of the Census, Biennial Census of
Manufactures, 1935, p. 7.
22
New York State Census
The first attempt to obtain statistics of manufactures was
made In 1821.
From 1835 to 1875, the state complied and pub­
lished statistics of manufactures every ten years.
Reports of the New York State Factory Inspectors
Factory Inspection began In 1886,
although the reports of
the Bureau were not sufficiently complete to be comparable un­
til the beginning of the twentieth century.
Unfortunately, the
records have not a.lways been published or even preserved.
The
first published reports to show separate figures as to the num­
ber of office workers and factory operatives were for the years
3
Another such report was issued for 1912-1913,
a
a
5
third for 1932,
and the latest for 1937.
For the intervening
1903-1904.
2
years, they were either not compiled in a form in which they
could be used, or were not published.
The term "office force"
as used by the factory Inspectors does not permit of comparison
with the term "clerks" or "salaried employees" used by the Unit­
ed States Census Bureau.
The factory inspectors recorded as of­
fice workers only those actually employed in an office located
1.
2.
3.
4.
5.
New York State, Bureau of Labor Statistics, Annual
Report. 1887.
New York State, Report of Bureau of Factory Inspectors
in Annual Report of the Department of Labor, 1903-1904,
Vol. I, pp. 111.44-111.45.
New York State, Department of Labor, Statistics and In­
formation Division, Annual Industrial Directory. 1912.
New York State, Department of Labor, Directory of New York
State Manufaoturers. 1932.
New York State, Department of Labor, Directory of New York
State Manufaoturers. 1937.
23
on the same premises as the factory.
Since factory inspectors
did not visit locations which did not come under the provisions
of the factory inspection le.w, they entirely omitted in their
count all employees in factory offices and sales-rooms located
away from the factory.^"
Reports of Earnings and Employment of Office Workers
in Hew York State Factories
The New York State Department of Labor has collected data
on the trend of employment of office workers in New York State
factories during the month of October for every year since 1918.
2
These statistics are published annually in either the October,
November, or December issue of the Industrial Bulletin
3
together
with the total number of employees
for the same factories.
Al ­
though the data are based upon the
returns of only about one-
third of all the factories in the state, they are accepted by
the State Department of Labor as sufficiently representative to
permit yearly comparisons.
Since the same number of factories
are included each month, the data are intended to reflect changes
in the rate of employment rather than changes in the actual num­
ber employed.
1.
2.
3.
New York State, Department of Labor, Report of the
Commissioner of Labor. 1914, p. 91
Industrial Bulletin. November 1930, p. 45: "Collection
of data on office workers in factories was actually
begun in September 1914, but not called for again
until November 1918.
Published monthly by the New York State Department of
Labor, Albany, N.Y.
Superceded the Labor Market
Bulletin. October 1921.
24
Limitations of Census Returns for Comparative Studies
A great deal of care and caution must be used In making com1
parlsons between data secured from different census enumerations.
Data Complied before 1899 can only with great difficulty and with
not too much accuracy be compared with those compiled subsequently,
since In that year the Bureau of the Census began Its practice of
2
omitting the hand industries from the statistics of manufacturing.
Another change occurred In 1914, when the census was restricted to
industrial plants with an annual product valued at $5,000 or more.
The previous minimum had been $500.
Where these two factors are
significant, as they cannot fall to be in determining the ratio of
office to factory workers in manufacturing concerns, comparison
becomes impossible unless the data are based upon comparable types
of establishments.
The United States Bureau of the Census has
been able to reclassify the returns for 1899 to make them compar­
able with 1904, but the ends of accuracy have been best served by
placing all data prior to 1899 in a separate category.
The change
of 1914 has not been so significant inasmuch as the total number
#
of workers was not materially affected.
1.
2.
*
See page 13.
Biennial Census of Manufactures. 1927, p. 6: "The factory
system; the censuses of 1904 and subsequent years have
been taken in conformity with the provision of law
directing that the canvas shall be confined to manufac­
turing establishments conducted under what is known as
the factory system, exclusive of the so-called neighbor­
hood, household, and hand industries.11
Establishments with an annual product of less than $5,000
do not normally employ many workers.
The difference in
the number of workers reported under both methods was
less than two per cent in 1914.
The only figures mate­
rially affected are number of establishments and number
of proprietors.
CHAPTER II
MANUFACTURES IN GENERAL AND FACTORY EMPLOYMENT IN
NEW YORK CITY
Early Manufactures
The period associated with the settlement and westward ex­
pansion of this country was not one conducive to manufacturing.
An abundance of cheap land and fertile soil offered strong Incen­
tives to a man to enter the field of farming.'*"
As long as there
were people in other countries to buy his surplus crops and send
him in return the fabricated goods he needed, he had little in­
centive to make for himself those things which he could secure
elsewhere with less effort.
In those rare cases in which local
conditions were fe.vorable for fabricating goods, any extensive
form of manufacturing was actively opposed by the mother country.
England, in common with all other oolonizing countries of the
time, adhered to a colonial policy which actively opposed manufactures in the colonies.
2
A certain amount of fabrication was of course done even
in
a distinctively agricultural society; but this was largely done
in
the home by the women and children who were not engaged in the
1.
Malcolm Keir, Some Economic Factsin the Development of
Manufacturing in the United States, Education. XXXVIII
(March 1918), p. 493.
Ibid., p. 497: "Thus when In 1731, the hat industry of
America gave evidence of superseding hats of English
manufacture, the English makers petitioned parliament,
and despite the fact that the raw material fur was
cheap In this country and that fully ten thousand per' sons were actively engaged in this business in New York
and New England, parliament prohibited this manufacture
in colonies in 1732."
2.
26
actual farm work.
Industry.3,
This was classified as household or domestic
Likewise certain mechanical pursuits as distinguished
from manufacturing had to be carried on In every community.
The
carpenter, the mason, the blacksmith and other specialized trades­
men found a need for their services to build and repair those
goods necessary for maintaining an agricultural society.
This
2
has been classified as the handicraft stage of production.
Beginning of the Factory System in This Country
The embargo of 1808 may be said to mark the beginning of
2
American manufactures.
Not only did the American agricultur­
ists find the market for their products cut off, but they were un­
able to secure the many fabricated goods they needed.
It was dur­
ing this period that the factory,, as we understand it today, first
became profitable in this country.
The factory system had already been in existence in England
for some time.
It remained for the blockage of American ports to
provide the stimulus required to start new enterprises.
Accord-
ingly, the first successful American factory was established in
1.
2.
3.
F.T. Carlton, History and Problems of Organized Labor.
Boston: D.C. Heath & Company, 1920, p. 22.
F.W. Taussig, The Tariff History of the United States.
p. 9: "They made many objects and performed many services
which are now the objects of manufacturing production and
of extensive trade . . . . Production of this kind neces­
sarily takes place at the locality where consumption goes
on."
Ibid..p. 16: "The Berlin and Milan decrees of Napoleon and
the English orders in Council, led, in December 1807, to
the Embargo.
The Non-Intercourse Aot followed in 1809.
War with England was declared in 1812. During the war,
intercourse with England was prohibited and all import du­
ties were doubled........... This series of restrictive
measures blocked the accustomed channels of exchange and
production, and gave an enormous stimulus to those bran­
ches of industry whose products had before been imported."
27
1814.^
The significant changes brought about are thus summar-
lzed by Clark:
2
1.
Labor was specialized and workers were organized
into departments.
2.
Cost accounting was introduced and buying and
selling systemlzed.
"In a word, the commercial, technical, and operative elements of
a factory were brought together in accordance with an intelli­
gent plan and so co-ordinated as to make a more efficient pro3
ducing unit than had hitherto existed in this country."
We have here the beginning of the separation of the busi­
ness and productive functions of industry.
The early artisan of
either the domestic or handicraft stage was both mechanic and merchant,
since he both produced and distributed goods and services.
Greater specialization of the functions of production fol­
lowed the organization of larger manufacturing establishments and
with it came the division of workers into shophand or factory op­
eratives, foremen, superintendents, managers, clerks, and pro­
prietors or officials of corporations.
1.
2.
3.
*
V.S. Clark, History of Manufacturing in the United States.
Vol. I, p. 450. See also Keir, op. olt. . p. 581
Clark, o]3. olt. . p. 450.
See also Carlton, c>e . clt..
p. 22,
Loc^
.
Since it was his trade which distinguished him from simi­
lar merchant artisans of the period, he was recorded in
such statistics that we have as a mechanic, rather than
as a merchant. Many writers, when referring to early
census returns on occupations, have been led to distor­
ted conceptions of the early economic life of this coun­
try since these merchant-artisans were included in tab­
ulations of mechanics.
The impression given is that
manufacturing and mechanical work was more important in
the economic life of the period than was actually the
case.
28
Manufacturing In New York City
If manufacturing held out little attraction to the farmers
of colonial America, It provided still fewer Inducements to the
early residents of New York City.
True, agriculture was not par­
ticularly profitable,1 but the
people of thecity found
their
work chiefly In exchanging the
agricultural products of the col-
2
onles for the manufactured goods produced abroad.
The prime rea3
son for the existence of the colony was trade, which provided
4
the chief source of employment to early New Yorkers.
The embargo of 1808 (see
page 26) hit New York particularly
hard, not only because Its merchants were no longer able to en­
gage In their usual commercial pursuits, but geographic limita­
tions made manufacturing comparatively difficult In New York City.
A contemporary writer In 1814 described the situation as follows:
1.
2.
3.
4.
John Adams Dix, Sketch of Resources of the Clt.v of New Y o r k .
1827.
Chapter I: "For agricultural industry, the Island
had little natural attraction.
It is broken and sterile,
compared to superior productiveness of contiguous soils."
American Manufactures, Hunt1s Merchants1 M agazine. V
(August, 1841), p. 12"4l "At this period"^ 1805-1815) the
colony of New York was enabled to pay for the foreign
fabrics Imported from Great Britain by being permitted
to exchange their provisions, and those of New Jersey,
as also horses and lumber, with the foreign sugar colo­
nies, for money, molasses, cocoa, Indigo, cotton and
wool." See also MacPherson1s Annals of Commerce, p. 124.
A.E. Peterson, New York as an Eighteenth Century Municipal­
ity. Chapter II: "Whatever the motives that led Europeans
to settle at other places on our Atlantic coast, no one
questions that trade inspired the settlement of Manhattan
island."
Porter E. Belden, New York. Past, Present and Future. 1849,
p. 123: "Foreign commerce furnished the original and,
for a long period, the principal employment of its inhab­
itants. "
29
In population, trade, and rapid progress of
every kind of Improvement, New York, for
reasons which must appear obvious, has long
enjoyed a preeminence over every other city
In America.
The fatal war, however, In whloh
the United States and Great Britain are in­
volved, must inevitably tend to check its
growing prosperity.
The great mass of the
inhabitants, having been heretofore entirely
engaged in commercial pursuits, and the
peculiar genius for enterprise, which has
always formed a distinguishing characteris­
tic in the American merchants, existing emin­
ently to the exclusion of domestic pursuits,
it must necessarily follow that some con­
siderable time will elapse before their views
1
and exertions can be directed to other channels.
Water power at that time was by far the most important
source of power and it was a natural tendency for such manufac­
turing establishments as were established at that time to locate
2
near streams and falls.
Early writers comment frequently upon
the absence of water power on the island and ascribe to it the
difficulty of establishing manufacturing in the city on any ex3
tensive scale.
To encourage manufacturing in New York State, the legisla­
ture passed a law in 1811 permitting the incorporation of manu4
facturlng establishments.
By 1827, thirty one such firms had
5
been incorporated under that law.
1.
2.
3.
4.
5.
Thomas R. Stamford, Oltlzen1s Directory and Stranger1s
Guide Thru the City of New Y o r k . 1814, p. 10.
Anna Maud Hulse, The Distribution of Manufactures in the
United States in 183 5 . Master's dissertation,
University of Chicago, 1913, p. 6.
Edmund M. Blunt, Picture of New Y o r k . 1828, p. 413.
Also, J.A. Dlx, op. clt.
James Hardie, The Description of the Citi of New Y o r k .
1827, p. 329.
Loo, olt.
30
Trend In the Relative Position of New York City
as a Center of Employment In Manufacturing
Table I and Diagram 1 trace the trend in the number of
employees in New York City manufacturing establishments and the
per cent of the total for the United States.
Because of changes
in census procedure (see page 24), data for the years 1820 to
1889 are listed separately from the figures for the years 1899
to 1937, as the statistics of manufacturing employment for these
two periods are not comparable.
Figures before 1320 are not
sufficiently complete to be included hei’e (see page 19).
Changes in the type of establishment included in the Cen­
sus of Manufactures somewhat obscure actual trends in manufac­
turing employment, although it is apparent that the peak of
such employment in New York City was reached in 1919.
Since
that -year, there has been a gradual decline in number of employ­
ees in New York City manufacturing establishments.
Relative manufacturing employment in New York City as mea­
sured b y per cent of total United States employees in manufac­
turing has risen steadily from 4.3 per cent for 1840 to 10.9
per cent for 1889.
From 1899, when figures were restricted to
*
actual factories for the first time, to 1914, the per cent of
total United States manufacturing employment in New York City
remained fairly steady at about 8.8 per cent.
1929, the per cent has declined steadily.
From 1914 to
The slight increase
in 1935 is probably of little significance as the long-term
trend still appears to be downward.
31
TABLE I
Number of Employees In New York Olty Manufacturing Es­
tablishments and Per Cent of United States Total
Year
1820
1840
1849
1859
1869
1879
1889
Year
1899
1904
1909
1914
1919
1929
1935
1820-1889 Including Hand Industrie s
Number in Thousands
Total
New York
Kings
New York
County b
and
County a
Brooklyn
(Brooklyn)
1.4
17-.0
80.3
90.2
129.4
227.4
354.3
.2
2.7
7.2
12.8
18.6
47.6
109.3
(c)
455.7
957.1
1,311.2
2,054.0
2,732.6
4,251.5
1.6
19.7
87.5
103.0
148.0
275.0
463.6
1899-1957 Excluding Hand Industries
Number in Thousands
Tota]
Greater
Wage
Salaried
Earners
Officers
New York
and Em­
ployees
389.
465.
554.
585.
639.
563.
485.
44.
64.
97.
116.
151.
140.
114.
433.
529.
651.
701.
790.
703.
599.
United
States
United
States
5,077.
5,988.
7,405
7,987.
10,419.
10,176.
8,455.
Per Cent
of Total
United
States
(a)
.4.3
9.1
7.9
7.2.
10.1
10.9
Per Cent
of Total
United
States
8.5
8.8
8.8
8.8
7.6
6.9
7.1
a) Includes what was the City of New York before consolidation
(1898).
Corresponds to the present County of New York.
b) Data given are for Kings County before 1869 and for the City
of Brooklyn beginning with that year. Although Kings
County at that time contained several other smaller com­
munities, these were comparatively unimportant in manufac­
turing and should not affect the totals for comparative
purposes.
c) Data for the total United States not tabulated.
Sources:
1820,
1840,
1849,
1859,
1869,
1879,
United States Census Office,
Digest of Accounts of Manufacturing Establishments.
Compendium of the Sixth Census.
Statistical View of the United States, Compendium, p. 283.
Manufactures of the United States in 1859.
Statistics of Wealth and Industry, v. III.
Tenth Census, Report on the Manufacturing of the United
States.
Statistics of Cities.
1889, Report of the Manufacturing Industries of the United
States at the Eleventh Census, 1890, p. II,
Statistics of Cities, p. 393.
(Continued on p. 33).
32
Sources (continued from preceding page):
1899, Twelfth Census, v. VIII, Manufactures, Part 21, p. 081,
United States Bureau of the Census.
1904, Census of Manufactures.
1909, Thirteenth Census, v. VIII, Manufactures, pp. 236 and
240; v. IX, Reports "by States with Statistics of
Principal Cities.
1914, Census of Manufactures, pp. 31 and 108.
1919, Fourteenth Census, v. IX, Manufactures, p. 1058.
1921, 1923, 1925, 1927, Census of Manufactures.
1929, Fifteenth Census, Manufactures, v. Ill, Reports hy
S*t£l*fcS S •
1931, 1933, 1935^ Biennial Census of Manufactures.
_
_
100,000
1820
lb
mo
im ?
m
8J.5
1859
1869
1010
_
OP e
T
i'lP
I.o
X
’
jrfiS
1 0 0,0 0 0 300,000 *00.000 300,000 taOOjOOP
c m t
71X
J
O
O
O
goqooo
of 7.779.
trit.TM O S
T
*
T
«
*
g
20
4.1 y/ssss.
U vss/////////,
10.1
1575 275.0
188? 467.6
i
i
Exchuom o R kmo In p v s rn x B *
18??
433.0
1?04
J290
(pSIO
m L
70L0
TZfr
1?0?
1?I4
1?J?
79010
W .0
W
i?35' 5f).0
76
/////SSSs.
tl ’
Diag. 1. Employees in New York City Manufacturing Estab­
lishments Expressed In Numbers and In Per Cents of
the United States Total, 1820-1937
Source: United States Census of Manufactures (see Table I,
page 31).
CHAPTER III
BUSINESS WORKERS IN MANUFACTURING ESTABLISHMENTS
Statistical sources are silent regarding the number of
clerical workers in early factories.
Such data as may be avail­
able regarding individual concerns rarely mention more than one
«
or two clerks even in the larger companies.
Most establishments
however, were comparatively small, as measured by present stand­
ards, the average number of employees per establishment, in 1849,
1
being seven.
Lee Galloway, in his discussion of the develop­
ment of modern business organization, calls our attention to the
fact that "The size of the representative firm under a system
which compelled the master to be a skilled artisan, a shrewd fin­
ancier, and an able salesman, but insisted on each article bear­
ing the impress of his individual skill, must of necessity have
been very small."
2
The comparatively small number of these clerical workers
may account in part for the failure of those in charge of the cen­
sus of manufactures before 1880 to distinguish between factory and
office workers in manufacturing establishments.
#
1.
2.
The schedules
Early business directories and guide books occasionally
contained descriptions of manufacturing establishments.
G o o d r i c h ^ Picture of New Yo r k , published in 1827, lists
the Sterling Works, manufacturers of brass, copper, and
steel products in New York City.
It employed between
300 and 400 persons at various times and was managed by
a president, 13 directors, 2 clerks, a superintending
manager, and an agent, p. 413.
United States Bureau of the Census, Statistical View of
the United States. Compendium. 1854.
Business Organization, p. 6.
34
merely called for the single classification "number of hands em­
ployed, " although a distinction was made between males, females,
and youths.
The figures given in the 1870 and 1880 Censuses of
Occupations,'1’ while presumably giving the number of clerks in
manufacturing establishments, cannot be accepted as being complete,
inasmuch as the total number of such workers reported was 5,681
in 1870 and 10,114 in 1880, representing, respectively, 0.27 and
0.37 per cent of the total workers reported in the Census of Man­
ufactures for the corresponding years.*
A detailed statement of
the manner in which the United States Census Bureau and the New
York State Department of Labor have provided data on clerical
workers in factories since 1880 is given on pages 21 to 23.
Diagram 2 shows the trend in the percentage of business
workers in manufacturing establishments of the United States.
From 1899 to 1935, the per cent of total workers employed as sal­
aried employees and proprietors is given.
the remainder.
not comparable.
Wage earners represent
Earlier figures have been omitted since they are
The lower part of Diagram 2 gives the distribu­
tion of business workers into the more specialized occupational
groups of clerks, superintendents and managers, and salaried of­
ficials and proprietors for those years for which such data were
available.
It has been possible here to include some comparable
data for 1879 and 1889.
1.
*
United States Bureau of the Census, Ninth Census (1870),
Vol. 3; Tenth Census (1880), Population, p. 893.
It is probably more accurate to use these figures than
the number of persons reported in the Census of Occupa­
tions engaged in manufacturing, mechanical and mining
industries.
36
1**ot
dALAfl/CO EMPt-OYee*
Year
Pen C t t t r
ie??
190 4
'// / // / // / // / // A
1909
1914
1919
1922
1}25
V)2S
1927
w m
1929
1933
1?J5
C lerks
Yena
1*79
1069
1909
i'9«
1919
2995
S o P fH liH T K N O a itr *
fr
_
S a ^ A H I C O O F W S « * tS
6 P«©pri»tor S
fknCtm
129
SC7
7*
892
/ /////SS/A/Ss
,
YSS//SSS/S//J
/AY/S/S/S/S/A
V*
y/vYSSSS/SA
7-11
YY'AAYSa
Dlag. 2. Trend in the Percentage of Business Workers In
Manufacturing Establishments in the United States
Source: United States Census of Manufactures (see Appendix,
page 443).
36
The per cent of total persons employed as clerks, salaried
superintendents, etc. (as Included In the term "salaried em­
ployees"), has Increased steadily from the earliest year for
which comparahle data are available until 1921.
Since that year,
the percentages as indicated by the data provided In the biennial
censuses do not reflect any definite major trend, although, after
central administrative office employees are added, the net change
for the ten year period shows an increase in percentage.
ures for 1933 and 1935 show a decrease.
Fig­
Although the period may
be too short to warrant the conclusion that the trend in the pro­
portion of salaried employees in manufacturing establishments is
definitely downward, there are other indications that such a
trend is probable.
The per cent of proprietors In these establishments has
declined steadily at each census period.
Clerks In Manufacturing Establishments
It must be remembered that the discussion in the preceding
pages relates to salaried employees. which Includes not only
clerks, but also salaried officers, superintendents, and mana­
gers.
Separate figures for each of these groups are available
for 1909, 1914, 1919, and 1935.
Separate figures for clerks were
not called for at any of the Censuses of Manufactures taken be­
tween IS79 and 1935.
The lower part of Diagram 2 shows that the trend for clerks
alone is not dissimilar from the trend for all salaried employees.
*
That the downward trend is not due to cyclical changes in
business activity is brought out in a subsequent dis­
cussion on pages 37 to 40.
37
In addition, by using the classification "clerks" in manufactur­
ing establishments, it becomes possible to include for compara­
tive purposes data for the census years 1879 and 1889.
Figures
for these two periods were omitted from the chart indicating trends
in the number of salaried employees, as the figures given for
clerks in 1879 and 1889 did not Include all salaried employees *
When the comparison in the percentage of clerks in manufac­
turing establishments is carried back to 1879, it becomes apparent
that, in factories, the trend towards a higher percentage of
clerks really first began at the beginning of the twentieth cen­
tury.
Data for 1879 are of course based only upon the returns
*
for the textile industries.
Year-to-Year Fluctuations
Our study is, of course, concerned chiefly with major long­
term trends.
However,
census years may occur in years during
which economic conditions are not considered normal. and the data
collected during those periods may materially affect any long­
term pattern by indicating a trend which is merely temporary.
How
do periods of prosperity and depression in manufacturing affect
the number and ratio of office to factory workers in manufactur­
ing establishments?
Fortunately, sources are available which
should enable us to answer this question.
The data described on page 23 and published annually in the
*
Since the textile industries were the first to develop the
factory system in this country, it is reasonable to assume
that in these industries the percentage of clerks was no
smaller than in other industries.
The factory system is
generally accepted as leading .to greater specialization in
factory functions and a greater demand for persons to per­
form specialized clerical duties.
38
Industrial Bulletin furnish the number of office and factory
workers In a selected group of New York State factories for every
year from 1918 to 1936.
This period Includes years of every shade
of business activity, and should furnish some basis for evaluating
census returns for major long-term trends by making adjustments
whenever a census year occurs In a year when economic conditions
are not normal.
The figures provided are for New York State only and not
for the United States or New York City.
Although the ratio of
office workers to total workers in factories would not be the same
for'the State of New York as for the City of New York or the en­
tire country (see page 54 ), the rate of annual change, as influ­
enced by periods of depression and prosperity, should not vary
materially in the City of New York, State of New York, or United
States.
Table II gives the number of office and factory workers in
selected New York State factories for the years 1914 to 1938, to­
gether with the per cent of office workers.
Although the data are
based upon the returns of only about one third of all the facto­
ries in the state, they are accepted by the State Department of
Labor as sufficiently representative to permit yearly comparisons.
Since the same number of factories are included each month, the
data are intended to reflect changes in the rate of employment
rather than changes in the actual number employed.
For the purpose of showing the relative rates of change for
both types of workers in factories, the figures have been charted
on rate of change paper (Diagram 3).
Comparison has been made
39
TABLE II
Number of Office and Factory Workers In Selected New York
State Factories, 1914 to 1938
'.'ear
Total a
Workers
1914
1918
1919
1920
1921
1922
1923
1924
1925
1926
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
500,704
587,040
576,848
576,686
471,796
527,738
556,236
495,131
509,858
506,147
484,819
475,753
496,578
436,866
374,357
312,750
365,719
378,019
409,245
445,007
472,578
424,934
a)
Factory
Workers
463,368
538,158
525,283
522,620
424,379
479,569
506,288
447,847
462,191
458,246
438,677
429,405
447,933
339,206
332,565
277,863
330,408
340,837
370,545
404,271
426,103
380,894
Office
Workers
37,336
48,882
51,565
54,066
47,41?
48,169
49,948
47,284
47,667
47,901
46,142
46,348
48,645
47,660
41,792
34,887
35,311
37,182
38,700
40,736
46,475
44,040
Per Cent
Office
Workers
7.46
8.33
8.94
9.38
10.05
9.13
8.98
9.55
9.35
9.46
9.52
9.74
9.80
10.91
11.16
11.15
9.66
9.84
9.46
9.15
9.83
10.36
These figures were secured during the month of October and in­
clude shop and office employees only from factories that em­
ploy about 38 per cent of all factory employees in the state.
Sources: Labor Market Bulletin. 1914 to 1923, superceded by Indus­
trial Bulletin. 1924 to 1938. Published monthly by the New
York State Department of Labor.
Diag. 3. Trend in the Relative Number of Office and Factory
Workers in Selected New York State Factories, 1914-1938
40
easier by placing both groups of workers on the same oycle, the
scale for office workers being 10,000 to 100,000 and for faotory workers 100,000 to 1,000,000.
Examination of Table II and Diagram 3 discloses several
decided tendencies which may be summarized as follows:
1.
The ratio of office workers to factory workers Is highest
during the so-called years of business depression, when the to­
tal number of factory employees is lowest.
The only years dur­
ing which the percentage of office workers in factories reached
ten per cent were the depression years of 1921, and 1930, 1931,
1932, and the recession year 1938.
Stated in other terms, the
percentage of office workers in factories increases during those
years when manufacturing and total factory workers increase:
2.
This leads us to the conclusion that while actual number of
factory office workers will decline with any reduction in manu­
facturing activity, they do not decline so rapidly as the non­
office workers.
Likewise, with Improvement in manufacturing
conditions, the demand in factories does not increase so rapidly
for office workers as for other factory workers.
3.
Since 1918, the annual ratio of office workers in manufac­
turing establishments to other factory workers as disclosed by
the data for New York State given in Table II does not indi­
cate any major long-term trend, but apparently reflects cycli­
cal changes in business activity.
Unfortunately, data as to
the number of office workers in factories were not given before
1914 in the New York State labor market reports.
This prevents
their use for long-term trend purposes since the major changes
41
4
occurred during the years prior to 1919.
Analysis of Probable Factors Influencing the Composition
of the Personnel of Manufacturing Establ1shments
The changes that have been taking place in the ratio of
office workers to factory workers (or wage earners) In manufac­
turing establishments have been summarized In the foregoing
pages.
Some attempt will now be made to determine the forces
which are causing these changes and the probable extent to which
they may continue to influence the occupational distribution of
workers in manufacturing in the future.
Development of the Corporate Form of Business
Organization
i
Since 1904, the number of manufacturing establishments
using the corporate form of organization has increased at each
*
The figures for 1914 and 1918, the next year for which
these data were available, do indicate a definite
trend upxirard in the proportion of office workers.
See
page 54 for trends in salaried employees.
The differences in percentages of clerks in factories
for the same year as indicated by the United States
Census returns for New York State (see page 54) are
probably due to the difference in the method of col­
lecting data, the difference in the type of business
establishment included in the figures, and the dif­
ference in the types of positions included in the
term office workers as used by the New York State
Department of Labor and clerks as used by the United
States Census Bureau.
The larger percentages indicated
in the United States Census returns are probably due
to the inclusion in the census of manufacturing estab­
lishments of persons performing clerical duties in
factories, and clerical workers and salespersons em­
ployed in offices and salesrooms located away from
factories.
The State Department of Labor includes only
office workers located on the same premises as the
factory.
(Compare also with returns of the New York
State factory inspectors, page 51.
42
census period.
As Illustrated in Diagram 4, these corpora­
tions have employed a constantly increasing proportion of the
total wage earners engaged in manufacturing.
The United States
Census does not give any data as to the character of ownership
of manufacturing establishments before 1904.
However, accord­
ing to an analysis of figures contained in Moody's Manual of
I n v e s t m e n t corporations accounted for about 55 per cent of
the total capital in manufacturing in 1900 and only 8 per cent'
in 1898.
It is apparent from these figures that the corporate
form of organization was comparatively unimportant in manufac­
turing before 1898, that the greatest rate of Increase occurred
between that year and 1900, and that, since 1900, it has in­
creased in relative importance until it accounted for 90 per
cent of the total wage earners in manufacturing in 1929.
89.9
55.0
80
40
50
10
*S9*
1900
ajot
Diag. 4. Trend in the Per Cent of Total Wage Earners Employed
by Incorporated Manufacturing Establishments.
Source: See Appendix, pages 441 and 442 for United States fig­
ures upon which these per cents are based.
1.
Moody's Manual of Investments. 1900, p. 51.
pp. 441 and 442.
See Appendix,
43
Increase In the Size of the Average
Manufacturing Establishment
The average number of workers* per establishment has In­
creased steadily from 1899 to 1935 as shown by the following
Year
1899
1909
1919
1939
1935
1937
Average ilumber of workers
per establishment
25.4
28.1
49.9
50.2
50.5
52.0
Comparative figures for the years before 1899 are not avail­
able, because the Censuses of Manufactures taken prior to that
year included hand Industries.
The large Increase In the aver­
age number of employees per manufacturing establishment in the
United States in 1919 is due to the exclusion of establishments
with an annual product of less than $500.
Changes In Productive Efficiency
Both the number and occupational distribution of workers
in manufacturing are undoubtedly influenced by variations in the
productive efficiency of these workers.
Changes in the produc­
tive efficiency of both wage earners and salaried employees,
based upon data contained in the United States Census of Manu­
factures, are shown in Table III and illustrated in Diagram 5.
*
Includes all employees and proprietors.
#
These figures were secured by dividing the total number of
workers; i.e., salaried employees, wage earners, and pro­
prietors, by the number of establishments reported by the
United States Census of Manufactures.
44
TABLE III
Changes in the Productive Efficiency of Wage Earners and
Salaried Employees in Manufacturing Establish­
ments in the United States, 1849-1935
Original Census
Figures
Value
Whole­
of To­ sale
tal
Price
Year Product Index
in Mil­ Numbers
lions
Figures Adjuslted With
Wholesale Price ICndex Numbers
Number of Employ­
Value of Product
Per
ees per Million
Per
Salar­ Dollars Annual
Total
Product
in Mil­ Wage
ied
lions
Earn­ Ernploy- Wage
c Salaried
er*1
Earners Employees
ee°
Factory and Hand Industries
1849 1,019
1859 1,886
1869 3,386
1879 5,370
1889 9,372
1899 13,000
1899 11,407
1904 14,618
1909 20,450
1914
1919
1921
1923
1925
1927
1929
1931
1933
1935
a)
b)
c)
d)
e)
23,988
62,042
43,653
60,556
62,714
62,718
70,435
41,350
31,359
45,760
Secured
value
Secured
total
Secured
value
Secured
total
Data on
60.1
61.0
93.5
53.8
57.4
52.2
1,696
3,092
3,621
9,133
16,328
24,904
1,772
(e)
2,359
(e)
1,763
(e)
3,342
(e)
3,840
(e)
4,693
(e)
Factories with Annual Product
Exclud;Lng Hand Industries
21,852 4,636
52.2
60,034
24,486
4,566
47,179
59.7
30,251 4,673
67.6
38,293
Factories with Annual Product
35,225 5,109
36,579
68.1
31,129
138.6
44,763 4,974
44,726 6,438
97.6
39,028
60,195 6,858
100.6
44,392
45,151
103.5
60,592 7,227
45,941
95.4
65,742 7,873
72,990 8,258
46,579
96.5
56,644 8,705
73.0
(e)
47,586 7,857
65.9
51,339
57,200 7,751
53,160
80.0
564.3
424.0
567.2
299.2
260.4
213.1
(e)
(e)
(e)
(e)
(e)
(e)
over $500
215.7
223.0
218.8
16.7
21.2
26.1
over $5000
195.5
27.1
200.6
31.9
25.5
155.1
145.4
22.4
138.4
20.7
126.8
19.7
120.9
18.5
114.9
(e)
127.3
16.9
129.0
18.8
by dividing total number of wage earners into total
of annual product.
by dividing total number of salaried employees into
va.lue of annual product.
by dividing total number of wage earners by total
of annual product.
by dividing total number of salaried employees by
value of annual product.
salaried employees not available for these years.
Sources: Adjusted product per wage earner until 1929 available
in Handbook of Labor Statistics, 1931 Edition, p. 614.
This t a b l e w a s extended to 1936 and also applied to sala­
ried employees by using statistics contained in the United
States Census of Manufactures.
45
OtrEMPLO VJCC2
900 r
800 _
700
bOO
500
toftloir £V*ar*er\S
ZOO
100
30
39
3 f Y . W i e o E m p l o y s * s,
20
J-889
ie &
1 9 0 *1 9 0 9 1 1 *1 *1 3 ? i j a i k i ^ n i i y y s
1921 lyzsinyiyn
Diag. 5. Trend in the Number of Wage Earners and
Number of Salaried Employees Required to Produce
a Million Dollars of Annual Product
For corresponding figures, see Table III (last two
columns).
Source: United States Census of Manufactures
46
In Ijlagram 5, the relative efficiency of workers in manufactur­
ing establishments is shown in number of workers required to
produce an annual product of one million dollars after the val­
ue of the annual product has been adjusted with wholesale price
index numbers to compensate for changes in prices.*
Number of
wage earners and value of product go back to 1849, but number
,
of salaried employees is shown only since 1899, the first year
such comparable data were available.
In 1849, 564 wage earners were required to produce the
same quantity of merchandise produced by 115 wage earners in
1931.
Productive efficiency declined slightly in 1933 and
1935, as reflected in the increase to 127 wage earners per
million dollar annual product in 1933, and 129 wage earners in
1935.
The number of salaried employees required to produce the
same quantity of merchandise increased from 16.7 in 1899, the
first year for which these data were available, to 31.9 in
1919.
That year apparently marked the turning point, with the
number of salaried employees reduced to 16.9 persons per mil­
lion dollars of annual product by 1933.
These figures, of
course, cannot be considered as a measure of the changes in the
productive efficiency of salaried employees.
In fact, the in­
crease in the production per wage earner may to some extent be
*
Since the value of the annual product does not indicate
the actual quantity of goods produced because of the
frequent change in the price level, the index numbers
of wholesale prices as furnished by the United States
Bureau of Labor Statistics (Handbook of Labor Statis­
tics) have been used to adjust the annual values of
products in order to place them on a quantity of goods
basis.
47
due to the efforts of the increased number of salaried employ­
ees who are responsible for the planning and routing of work in
factories, two factors generally recognized as having led to
greater industrial efficiency.1
It was not considered neces­
sary to chart the trend in the number of proprietors required
to produce the same quantity of goods; as, in view of the data
shown in Diagram 2 (page 35), the number of proprietors per
million dollars of annual product would show considerable de­
clines during this period.
Summary
On the basis of the data illustrated in Diagram 2, page
35, the per cent of salaried employees in manufacturing estab­
lishments in the United States increased from 6.9 per cent in
1899 to a maximum of 14.87 per cent in 1929.
it declined regularly until 1935.
Since that year,
The trend in the per cent
of clerical employees, which constitute the major part of the
workers Included under "salaried employees." is substantially
the same as for salaried employees.
The increase in the ratio of clerical and other salaried
employees in manufacturing establishments to 1929 may be large­
ly attributed to the development of larger factory units under
corporate management and improvement in the productive effi­
ciency of wage earners in manufacturing.
The large factory has
created new employment opportunities in cost accounting and
1.
H.K. Hathaway, On the Technique of Manufacturing, The
American Academy of Political and Social Science,
Annals. LXXXV (September, 1919), pp. 230-234.
48
shop management, as well as permitted the transfer of clerical
duties formerly performed by either the proprietor or "wage
earners" to clerical employees performing these duties exclu­
sively.
Greater progress has apparently been made towards In­
creasing the productive efficiency of wage earners than for sal­
aried employees, with the result that the number of wage earners
required to produce a given quantity of goods declined at a
greater rate than the number of salaried employees.
The apparent decres.se in the ratio of salaried employees
in manufacturing since 1929 may be attributed to more recent d e ­
velopments -in office techniques and devices that have been intro­
duced to take care of the added volume of clerical work.
"Fur­
ther progress in the simplification and the mechanization of ad­
ministration must be expected; and these developments must tend
to restrict the expansion of employment opportunities, at least
in certain categories of white collar work."1
In addition, the
trend towards nev; incorporations of manufacturing establish­
ments has, in all probability, already reached the saturation
point where most existing concerns which are likely to select
that form of organization have already done so.
"The fact that
92.1 per cent of the gross value of manufactured products and
89.9 per cent of the wage earners employed in 1929 were repor­
ted by incorporated establishments attests to the nearly univer­
sal adoption of the corporate form of organization by the more
2
important manufacturing establishments."
1.
2.
Herman K. Brunck, Public Utilities, Transportation, Distri­
bution and Service, in Migration and Economic Opportunity.
by Goodrich and others, p. 484.
United States Bureau of the Census, Manufacturing. 1929,
Vol. 1, p. 94.
49
The near future would therefore call for a gradual slow
decline in the ratio of clerical workers in manufacturing es­
tablishments with variations from period to period in accord­
ance with changing business conditions as shown in Diagram 3,
page 39.
This ratio should inorease during periods of low manu­
facturing activity and decrease when business improves.
The ratio of proprietors in manufacturing establishments
has declined steadily since 1899.
This is undoubtedly due to
the transfer of privately owned manufacturing establishments to
corporations and the increase in the average size of the manu­
facturing establishment.
This decline is not likely to contin­
ue much further in the future.
CHAPTER IV
BUSINESS WORKERS IN NEW YORK CITY MANUFACTURING
ESTABLISHMENTS
We have already seen how the development of the modern fac­
tory has resulted in greater specialization among factory work­
ers and that the United States Bureau of the Census began provid­
ing separate da.ta on salaried employees in manufacturing estab­
lishments in 1899, although some data were also available for
1879 and 1889 (see pages 20 and 37).
The purpose of this chapter will be to determine the trends
in the number and proportion of business workers in manufactur­
ing establishments in New York City as compared to the country
as a whole and other important manufacturing cities.
While the
general conclusions developed in Chapter III, regarding major
trends in the number and per cent of salaried employees, should
apply equally to New York City, certain other forces peculiar to
cities in general and New York City in particular may likewise
influence trends and make the local trend differ from that of
the rest of the country.
Trends in Salaried Employees in New York City
Table IV and Diagram 6 give in tabular and graphic form,
respectively, data on the per cent of total workers in New York
City manufacturing establishments employed as salaried employees
for the period 1899 to 1935.
Similarly, for the years 1889, 1909, 1914, and 1919,
51
TABLE IV
Occupational Distribution of Workers in New York City
Manufacturing Establishments
Numbers in Thousands
A- United States Census Data
Salaried Officers
and Employees
Year
44
64
97
116
151,
140?
114
1899
1904
1909
1914
1919
1929
1935
Proprietors
and Firm
Members
21a
25
29
31
35
22a
12a
Wage
Earners
Total
Workers
454
554
680
732
825
725
611
389
465
554
585
639
563
485
B- United States Census Data (Detailed Occupational Analysis
for Years Such Data Are Available)
Clerks
Year
Officers
of Corpor­
ations
Superinten­ Proprietors
and Firm
dents and
Members
Managers
Wage
Earners
Total
Workers
233
212
13
1889
8
680
554
29
16
1909
81
732
585
31
21
1914
95
825
639
35
37
114
1919
C- Data Compiled by New York State Factory Inspectors
Total Employees
Office Force
Factory Workers
Year
1903-04
1912-13
1932
1937
a)
b)
c)
569
642
455
562
29
41
49
59
598
683
504
621
Estimated.
No figures given in census reports.
Employees of central administrative offices not included.
In censuses, prior to 1925, the central administrative
employees were allocated to individual plants and in­
cluded with the salaried employees of that city.
Figures for this year are not complete, but are limited
to the fifty most Important industries.
Sources: Parts A and B, same as for Table I, pages 31 and 32.
Part C, New York State, Department of Labor, Annual Report,
1903-1904; Annual Industrial Directory of New York State,
1912-1913; Directory of New York State Manufacturers, v. II,
Metropolitan Area; Industrial Directory, 1937.
52
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an additional analysis is made* of the employees actually en­
gaged in clerical work, superintendents, and salaried offi­
cers.
In addition, it has been possible to use data compiled
by the New York State factory Inspectors to provide another
series of comparable data.^
Although both of these sources pro­
vide a reasonably comparable series of figures on business em­
ployment in New York City manufacturing establishments, there
is considerable variation in the per cents in both series for
the same periods.
The smaller proportion of clerical workers
reported by the New York State factory Inspectors is probably
due to the exclusion of clerical workers employed by manufac­
turing establishments, but located in showrooms and offices in
other buildings than that in which the factory is located.
&
It is apparent from these figures that the proportion of
salaried employees in New York City manufacturing establish­
ments apparently reached its maximum in 1929, and then declined
slightly in 1935.
A similar trend is indicated for clerks only,
although the United States Census figures for clerks in New York
0
City manufacturing establishments do not go beyond 1919,
The figures collected by the New York State factory in­
spectors are particularly important here since they bring the
*
#
&
0
Data on the number of clerical employees in New York City
manufacturing establishments was not given in 1879, or
for any of the census periods following 1919.
See pages 22 and 23.
See footnote, page 41.
Although the United States Census of Manufactures called
for this Information at the 1935 Census, the returns
were not tabulated for cities.
54
•
trend up to 1937.
There is obviously a decline in the propor­
tion of clerks in New York City factories from 1932 to 1937.
Despite the discrepancies in the proportion of clerks in New
York City factories as indicated by United States Census and
New York Labor Department figures, they both agree in indicat­
ing a definite rise in the per cent of clerks in factories up
to 1929-1932 and a downward trend to 1935-1937.
That this is
not due to cyclical changes in business conditions alone is
indicated by the discussion on pages 37 to 40.
Comparison with the United States. New York State.
the New York Industrial A r e a , and Manhattan
A more accurate description of the relative position of
the City of New York as a field of employment for .clerical and
other business workers in factories may be obtained by compar­
ing the proportion of salaried employees in relation to all
workers in manufacturing establishments in New York City with
similar figures for the United States, New York State, the New
York industrial area, and Manhattan.
The United States Census
of Manufactures fortunately makes this comparison possible for
at least the decennial census years and 1935.
It is apparent, according to Diagram 7, that the.per cent
of salaried employees is highest in Manhattan manufacturing es­
tablishments, with New York City, New York industrial area, New
York Sta.te, and the United States following in the order named.
Not only have these areas ranked in this order in 1935, the
last year for which these figures are available, but this has
been true for every previous census year for which separate fig-
55
ures on salaried employees are given.
Likewise, the per cent of salaried employees in manufac­
turing establishments has increased with each census period up
to 1929 for all of the political and economic units of which
New York County (Manhattan) is a part.
The more concentrated
the area is to New York County, the greater has been the ra.te
of increase in salaried employees.
Between 1919 and 1929, the
apparent tendency has been for the proportion of salaried em­
ployees to become fairly steady.
From 1929 to 1935 the ten-
Per Cent of Total Workers in Manufacturing Establishments Engaged as Salaried Employees
1899
1909
1919
1929
1935
Year
10.7
15.6
20.4
21.5
21.2
9.7
9.0
14.3
13.2
18.3
19.0
17.6
18.7
- 8.1
6.9
12.6
10.5
16.2
13.5
16.6
14.9
16.3
12.6
Manhattan and
Bronx
New York City
New York Indus'
trial Area
New York State
United States
Sources: See Appendix, page 445 , for original census figures
(including sources) upon which the
these
s per cents are based.
Manhattan and Bronx
20
+~
15
New York City
New York Industrial
New York State
United States
10
.
5
Diag. 7. Comparison of the Trend in the Percentage of Salaried
Employees in Manufacturing Establishments in the Boroughs of
Manhattan and the Bronx, New York City, New York State, and
the United States
56
dency has been obviously downward, although the rate of de­
crease in the proportion of salaried employees has been much
greater for the entire country than for the City of New York
or the Boroughs of Manhattan and the Bronx.
The trend in the per cent of proprietors in manufactur­
ing establishments has been downward in all areas.
However,
this downward trend has been less marked in Manhattan and New
York City than in the other areas.
Comparison with Other Manufacturing Cities
Are the trends regarding salaried employees in manufac­
turing establishments as summarized in the preceding pages true
only of New York City or has a similar trend existed in all
other important manufacturing cities of the country?
Diagram
8 based upon original United States Census figures as given in
the Appendix, page 442 shows the trend in the proportion of sal­
aried employees in manufacturing establishments for the ten
United States cities which in 1929 had the largest number of
manufacturing employees.
As previously mentioned, the number
of salaried employees in 1935 is not readily available for all
of the cities listed.
•Examination of this diagram permits the following con­
clusions:
1.
The per cent of salaried employees in manufacturing estab­
lishments is generally higher in important manufacturing cities
than in the United States as a whole.
The only exceptions are
the cities of Baltimore, Cleveland, and Detroit, and then only
in 1929.
5?
Per Cent of Total Manufacturing Workers in Each City
Engaged as Salaried Employees
Cities arranged in order of rank in 1929
Cities
1899
1909
1919
1929
Los Angeles
New York
Boston
Chicago
St. Louis
Pittsburgh
Philadelphia
Baltimore
Cleveland
Detroit
11.9
10.2
12.9
12.6
12.1
7.7
7.3
8.2
8.3
11.6
13.6
14.3
15.3
15.3
14.3
13.7
11.2
10.8
12.1
13.5
16.1
18.3
18.0
17.9
18.8
16.7
14.2
13.7
16.5
15.1
21.2
19.0
18.8
17.3
16.0
16.0
15.5
14.6
14.0
12.2
6.9
10.5
13.5
14.9
United States
See Appendix page 442 for sources of data and original
census figures upon vrhlch these per cents are based.
. LoMnsuM
OwMmkC
ity
O
C
T
«
m
iMKMO
hiVSmtH
1»i.raM
r»Srttrms
• Omurutatuc
LIVIUMp
Pc o u j *
s
'
/
s'
Diag. 8. Comparison of the Trend in the Peroentage
of Salaried Employees in Manufacturing Establish­
ments in the Ten Moat Important Manufacturing
Cities in the United States
58
2.
The per cent of salaried employees In New York City manu­
facturing establishments increased at a rate greater than in
other important manufacturing cities of the country, with the
exception of the City of Los Angeles.
In actual number of sal­
aried employees, the City of New York has of course always
ranked first because of its greater size.
In terms of propor­
tion of salaried employees to total workers in manufacturing,
New York City ranked fifth in 1899, but'advanced to third posi­
tion in 1909 and first in 1919.
Los Angeles, because of the
presence of the motion-picture industry which employs a large
proportion of salaried employees, ranked first in 1929.
•3.
Up to 1919 the per cent of salaried employees in the manu­
facturing establishments in the western cities of Chicago, St.
Louis, Cleveland,
and Detroit had increased steadily.
Between
1919 and 1929, these per cents declined sharply in the same
cities.
The only cities to show increases in per cent of sal­
aried employees in manufacturing were the eastern cities of
New York, Boston, Philadelphia, and Baltimore.
9
CHAPTER V
SOME GENERAL AND SPECIFIC CONCLUSIONS REGARDING TRENDS OF
BUSINESS WORKERS IN MANUFACTURING INDUSTRIES IN GENERAL
AND NEW YORK CITY IN PARTICULAR, WITH FORECASTS OF
PROBABLE FUTURE TRENDS
Certain conclusions appear possible from the data pre­
sented in the preceding chapters that should permit some basis
for determining the probable future need for business workers
in the manufacturing Industries of New York City.
The following conclusions regarding the trend of sala­
ried employees in manufacturing establishments in general have
been based upon the data contained in Chapter III.
1.
The proportion of salaried employees in manufacturing es­
tablishments has increased steadily, beginning with the latter
part of the nineteenth century.
This trend has apparently run
its course a.nd appears to be showing declining tendencies.
The
increase in the proportion of salaried employees in manufac­
turing establishments has paralleled the rise in the corporate
form of ownership and increase in the average size of the manu­
facturing establishment, as well as the increase in the produc­
tive efficiency of wage earners in manufacturing.
The recent
downward trend in the proportion of salaried employees may be
due in part to the reaching of a temporary saturation point in
the transfer of ownership of manufacturing businesses from pri­
vate individuals to corporations, as well as to the development
of a higher degree of efficiency in the work of the salaried
60
employee in manufacturing in keeping with a similar Increase
in the productive efficiency of the wage earner.
2.
The proportion of salaried employees in manufacturing es­
tablishments will in all probability continue to decline slow­
ly with increasing efficiency in the administrative and dis­
tributive departments of manufacturing and then remain fairly
stationary, fluctuating in accordance with the degree of busi­
ness activity.
The per cent will increase during years of low
manufacturing activity and decline with any increase in prod­
uction (see pages 37
3.
to 40).
In actual numbers, salaried employees in manufacturing es­
tablishments will decline in relationship to the total number
of employed persons, because of the decrease in the total num­
ber of workers in manufacturing.
Specific Conclusions Concerning Salaried Employees
in New York City Manufacturing Industries
While the foregoing summary leads to the general conclu­
sion that salaried employees in manufacturing establishments
will decline both in number and per cent of total manufacturing
workers in the United States, the following conclusions, based
upon the data presented in Chapter IV, would indicate that the
proportion of salaried employees in New York City manufacturing
establishments will continue to be greater than the proportion
of salaried employees in manufacturing establishments in most
other parts of the country.
1.
New York City has declined in relative importance as a
manufacturing center (pages 30
and 31 ).
61
2.
With the removal of factories from the city, manufacturing
establishments have In many oases left their offices or part of
1
their office staffs in New York City.
This Is supported by
the data In Diagram 7 and 8, which show that the per cent of
salaried employees In manufacturing establishments in the City
of New York has been increasing at a greater rate than the per
cent of similar employees in the manufacturing establishments
of the entire country, New York State,
and the New York Indus­
trial area, or in most of the other important manufacturing clt
les In the United States.
The concentration of such workers
has been greatest in the Boroughs of Manhattan and the Bronx.
In the absence of legal restrictions, agencies performing
productive, distributive, and financial functions will tend to
locate in those communities that are most favorable for the ef­
ficient performance of their respective functions.
tee on Regional Plan of New York and Its Environs,
The Commlt-
2
in its
thorough study of the future space needs of the city, came to
the conclusion that several forces are at work tending to trans
fer the productive agencies of the city itself to the outlying
regions.
In the competition for space in Manhattan Island, and
to a lesser degree, the rest of the city, manufacturing plants
1.
2.
Warren S. Thompson and P.K. Whelpton, Population Trends in
the United States. p. 34: “The movement of manufacturing
plants into less congested areas does not generally in­
volve a like movement for their office work. . . .Fur­
thermore, in the case of large concerns with several
plants in different localities, there appears to be an
increasing tendency to centralize their office work for
all plants in some large city and particularly New York
City."
The Regional Plan of New York and Environs. Vol. lb,
pp. 18-25.
62
are at a disadvantage as compared to distributive and financial
establishments.
Labor supply and costs have likewise greatly
influenced the transfer of productive plants to other cities.
Since, in the long run, business enterprises will tend to lo­
cate in regions most favorable to their successful pursuit, pro­
ductive plants have found it profitable to transfer their pro­
ductive departments from Manhattan to other parts of the city,
the New York industrial area, other parts of the state, and even
the more remote parts of the country.
However, the Influences
which determine the location of the administrative and distrib­
utive functions have been strong enough to advise the reten­
tion of the office and salesrooms or at least part of them in
New York City.
Conclusions Concerning Manufacturing in
New York City in General
It is reasonable to assume that the laws governing the
economic use of land, if they continue to operate in New York
as they have in the past,"1- will force the actual work of pro­
duction to be transferred elsewhere.
Wages and other demands
of organized labor have always been higher in larger cities,
and there is no reason to assume that they will not continue to
be so.
The municipal government of Hew York has been conscious
of this outward trend of manufacturing plants, but has consid­
ered it undesirable for the city1s welfare.
It accordingly au­
thorized a special representative of the comptroller to make an
industrial survey of the city and devise some means to overcome
1.
R.M. Hurd, The Principles of City Land Values, as quoted in
Regional Plan of New York and Environs. Vol. lb, p. 24.
63
this exodus.^
However, this may only be considered as another
quixotic attempt on the part of government to stay the normal
progress of economic laws, since It must eventually realize
that the most economic and efficient use of the city1s resources
will result in the ultimate greatest benefit to the city and
its residents, although it may change the character of its busi­
ness life and the employments of its inhabitants.
However,
the city has by no means reached the point where
it can no longer house manufacturing plants economically, and
there is reason to believe that there will always be certain
types of manufactures that will continue to flourish within the
city.
Proper planning may result in greater utilization of cer­
tain areas of the city that should delay any removal of manufac­
turing plants on a large scale for many years to come.
The central administrative offices of multi-unit manufac­
turing establishments have not been included in this section
since they represent a distinct type of New York City business
life.
They will be analyzed separately in Part IV in connection
with financial institutions.
1.
Charles E. Murphy, Report to Hon. Frank J. Taylor.
Comptroller of the City of New York on Industrial
Survey of New Y o r k . December 30, 1936.
PART III
WHOLESALE AND RETAIL DISTRIBUTION
CHAPTER I
INTRODUCTION
It Is generally recognized that New York City owes Its
economic supremacy primarily to fundamental advantages which
it possesses as a trading c e n t e r . T r a d i n g in its broad sense
refers to the exchange of goods produced over large areas and
as such sometimes includes the ancillary functions of finan­
cing, transportation, and a variety of business services such
as advertising.
This part will, however, be confined to the
study of those agencies which are engaged in the exchange of
merchandise, either at wholesale or retail, in international
and domestic trade.
Manufacturing establishments, although al­
so engaged in the distribution of the merchandise they produce,
are not here included with wholesalers,
except where they main­
tain separate offices or establishments for the sale of their
products.
Establishments primarily engaged in manufacturing
are discussed in Part II.
*
As in all other phases of this study,
the analysis will
1. Regional Plan of New York and Environs. Vol. 1, p. 283.
*
See general outline to be followed in the study of indus­
tries and businesses, p. 6.
65
be largely confined to those factors in the development of
trade in the City of New York which affect distribution as a
field of employment for business workers in New York City.
These would appear to be:
1.
Trends in the relative position of New York City
as wholesale and retail centers, with an analysis of the fac­
tors influencing these trends
2.
Occupational distribution of workers in the whole­
sale and retail businesses in general and New York City in par­
ticular
3.
The future opportunities for business workers in
the wholesale and retail merchandising business in New York
City
Kind of merchandise traded as well as changes in the type
of trading establishments will be analyzed only where they af­
fect employment in the field of distribution in New York City.
The United States Census of Distribution distinguishes
between wholesale and retail distribution.
Unfortunately, this
division has not always been possible in the past.
Changes in
the functionaries engaged in the distribution of economic goods
and services have been many and frequent during the past hun­
dred years and any attempt to trace trends is complicated by
changing practices and terms.
Many of the persons reported in
the early censuses as bootmakers, dressmakers, or enga.ged in
other hand trades, frequently devoted as much of their time to
trade and distribution as they did to production.
Similarly,
dealers in imported and factory produced goods would frequently
66
sell at both retail and wholesale, although usually preferring
to be known as wholesalers.'1'
Sources of Data
Notwithstanding the wealth of data collected by the Unit­
ed States Census at frequent intervals concerning the manufac­
turing, agricultural, and mining activities of the nation, the
many persons engaged in the so-called nonproductive activities
of trade have for a long time been the real forgotten m e n .
Al­
though commerce had for a long time been the major field of em­
ployment in the City of New York (see page 28), it xtfas not un­
til shortly before 1929 when "a change in national emphasis
O
from production to distribution was readily discernible."
Distribution was becoming an increasingly important segment of
the country's economic system in number of employees, volume
of business, and number of employees, and a.s such was included
within the scope of the Fifteenth Census of the United States.
The United States Census of Distribution covering the
year 1929 provides the first complete enumeration of wholesale
find retail business in the United States, with a detailed analysis of employees for cities.
A second census was taken in
1933 as part of the Census of American Business and a third in
1935.
1.
2.
*
A survey of wholesale and retail distribution was again
Rode1s New York City Business Directory. New York:
Charles R. Rode, 1855, Introduction.
United States Bureau of the Census, Census of American
Business. 1933, Wholesale Distribution, Vol. 1, p. 1.
A preliminary canvass of distribution was made in 1926 in
eleven cities, but did not include New York City. See
Bibliography, page 411.
67
made in 1937, but information on employment was not Included.
The data in these censuses are reasonably comparable but cover
too short and abnormal a period to provide a basis for predict­
i ng long-term trends.
Other scattered data are a.vailable in both United States
and New York State Census returns, but, as would be expected,
their lack of uniformity greatly limits their use for compara-tive purposes in tracing trends.
The United States Census of 1840^ gave the following data
on the business of the country:
Number of commercial houses in foreign trade
Number of commission houses; capital Invested
Retail dry goods, grocery, and other stores;
capital Invested
Lumber yards and trade; capital invested;
men employed
Internal transportation; men employed
Butchers, packers, etc.; men employed;
capital Invested
The New York State Census for 1845, 1855, and 1865^ gave
the following data:
Number of hotels, inns, and taverns
Wholesale stores
Retail stores
Groceries
The
United States Census Reports on Occupations from 1870
to 1930 Included data on the number of
persons engaged as"whole­
salers, importers, and exporters" and "retail dealers."
These
two groups of course do not include all persons employed in
wholesale and retail trade, but only proprietors and managers.
Figures for other occupations related to trade such as sales­
persons, clerks, and clerks in stores cannot be used here as no
1.
2.
Compendium of the United States Census. 1840.
New York State, Secretary of State, Census for 1845
(also 1855 and 1865).
68
t
distinction has been made between workers in wholesale and re­
tail trade.
Other Studies
In 1925, the Committee on Regional Plan of New York and
Environs^ made a detailed study of distributive agencies in the
City of New York.
Although its primary purpose was to secure
data for determining space required, width of streets, zoning
regulations, etc., it nevertheless probably represents the most
exhaustive study made up to the present time of wholesale and
retail trade of the City of New York and its environs.
directories were the chief sources of information.
Trade
Conclusions
concerning trends in the size and amount of wholesale and retail
distribution in New York City are admittedly Inadequate because
the data are based entirely upon number of establishments.
No
attempt was made to determine trends in employment.
Although the New York State Department of Labor has usual­
ly confined its investigations to factories, it did prepare two
surveys of working conditions in New York State retail estab­
lishments, particularly large department stores and five and ten
2
cent store organizations.
The data contained in these two sur­
veys will be used for comparison with the more recent United
States Census of Distribution figures.
1.
2,
Regional Plan of New York and Environs. Vol. lb, The Wholesale Markets; Factors Influencing the Loca-tion of the
Central Shopping District of New York.
State of New York, Factory Investigating Commission,
Fourth Report. 1915, Vol. II.
The Employment of Women in Five and Ten Cent Stores, Depart­
ment of Labor, Special Bulletin. No. 109, September 1921,
prepared by Division of Women in Industry.
CHAPTER II
WHOLESALE DISTRIBUTION
Definition of Terms
The term wholesale establishment as used In this chapter
follows closely the definition used in the United States Cen1
sus of Distribution;
and includes all establishments engaged
primarily in the purchase or sale of goods on a wholesale basis.
In addition to wholesalers of the conventional type, the Census
covers brokers, commission merchants, manufacturers'
sales of­
fices and branches, selling agents, and others whose business
it is to sell merchandise in wholesale quantities to other
wholesalers, retail establishments, and industrial and commer­
cial consumers.
It does not include those establishments primarily en­
gaged in the manufacture of goods, but selling their products
at wholesale directly from the factory without the aid of sales
branches,
sales offices, or agents.
These establishments are
included in Part II, covering manufacturing.
Neither does it
include advertising agencies and similar establishments engaged
in providing services related to distribution.
These have been
included with business service establishments (Part VI).
Like­
wise, brokers and dealers in real estate, securities, and in­
surance have been included in the Part IV, Financial and Bank­
1.
United States Bureau of the Census; Census of Business.
1935. Wholesale Distribution. Vol. 1, p. 5.
70
ing establishments.
Where establishments are engaged in both
wholesale and retail distribution, or other combinations of
manufacturing or service, the United States Census procedure
in classifying them with the group in which more than fifty
per cent of their business lies has been followed.
It is therefore apparent that the data in this chapter
do not cover all sales at wholesale, or all workers who are en­
gaged in the wholesale function.
Relative Position of the P .3 & T . of New York as a Wholesale Center
In order to furnish some picture
of the trend in the im­
portance of New York City as a wholesale market, it
is neces­
sary to refer to the scattered sources previously mentioned
(see page 66).
Although most of these figures are obviously
not comparable and cannot be charted on the same scale to show
a long-term trend in either wholesale employment or trade, they
nevertheless should be of value in showing the status of whole­
sale merchandising during various periods in the city's econom­
ic history.
Early Census Statistics. 1840-1855
New York City in 1840 controlled
about one third
of the
wholesale business in the United States, as shown by Diagram 9,
which gives the capital invested in commission houses, number
of commission houses, and number of commercial houses in for­
eign trade for New York and other leading counties, expressed
in percentages of the total for the United States at the time.
Philadelphia and Suffolk County (Boston) ranked second and
71
third in foreign-trade houses, with New Orleans and Suffolk
County ranking second and third, respectively, in capital In­
vested In the commission-house business.
Since wholesale dis­
tributive agencies were largely dependent upon water transpor­
tation during this period, the wholesale establishments were
located almost entirely on the Atlantic and G-ulf seaboard.
Before the completion of the Erie Canal in 1825, New York
was generally recognized as being second to Philadelphia in
commercial importance.
Comparative figures of domestic whole­
sale trade are of course lacking, but contemporary writers re­
cording the business activities during this period of water
transportation have commented that "the opening of navigable
communication from the Hudson to the Western lakes gave New
York the whole of the direct lake trade, and made the City of
New York the greatest competitor with New Orleans for the trade
of the west."1
The country merchants of the period would fre­
quently order shipped to New York for final reshipment goods
purchased elsewhere, with the result that "wholesale houses of
long standing in other cities" would move to New York solely on
account of the transportation advantages afforded by a location
2
in that city.
New York State Census figures for 1845 and 1855, as shown
in Table V, do not permit comparison with the entire United
States, but they do show that, in 1845, 78 per cent of the
1.
2.
Hunt1s Merchant's Magazine. XV (1846), p. 459.
T. Morehead, The New York Mercantile Register for
1847-48.
New York: George F. Nesbitt, 1847,
Introduction (advertisement).
TABLE V
Number of Wholesale Stores in New' York and Kings
Counties and New York State in 1845,
1855, and 1865
1845
Number
New York County
Kings County
Total
New York State
a)
1855
Per Cent
of State
Number
1865
Per Cent
of State
1,981
77.99
4,289
88.69
(a)
20
.79
69
1.43
(a)
2,001
78.78
4,358
90.12
2,540
100.00
4,836
100.0
4,835
No figures for counties in 1865 census.
Source: New York State, Census for the State of New York
1845, 1855 and 1865.
Pen
C e n t o f U n it e d
10
CowNty
State » T o t a u
20
50
Cent
New Yo a k
Ci ty
ihz
J
N’
e h /Orlea U' 13.82
* 9
Suffo lk
(CtoarorJ)
?.ao
3.C>
10. lie
P h ila d e lp h ia
1J8
13.8
QALTinoAE
NTei«lionrc
S t» re
Diag. 9. Wholesale Establishments in 1840.
Relative Capital
Invested and Number in New York County (City), New York
State, and Important Commercial Counties, Expressed in
Per Cents of the United States Total
Source: United States Census, 1840.
figures, see Appendix, page 447.
For original census
73
"wholesale stores" In the State of New York were In New York
County, and that, in 1855, 88.7 per cent of such stores were
located in New York County.
No figures for number of whole­
sale stores were given for counties in 1865.
These figures
definitely show a trend towards greater concentration of the
wholesale function in New York City during the period covered.
Statistics of Merchandise Entering
Wholesale Trade. 1859- 1937
Unfortunately census date, covering the wholesale trade in
New York City during the years 1855 to 1900 are not available,
■^he Federal Census of Occupations did report the number of per­
sons employed as "wholesalers and traders" for 1870, 1880, and
1890, but combined these figures with "retailers" in the tables
for cities, thus making them of no value for local studies.
The trend in the wholesale business in New York City dur­
ing the years following 1860 may in part be traced through
statistics of merchandise entering into the wholesale trade of
the city, for which figures are available,
such as merchandise
imports and exports and merchandise manufactured in the city.
These, of course, do not Include domestic agricultural and min­
ing products and merchandise manufactured in other parts of the
country, but sold through New York wholesale houses.
In the
absence of more complete figures concerning the wholesale trade
of New York, it is felt that these data will throw some light
upon certain aspects of that trade during a very Important
period in the economic development of the city and country.
In Diagram 10, the value of merchandise manufactured in
74
New York City, as well as the value of merchandise exports and
Imports passing through the Port of New York from 1859 to 1937,
have been charted on rate of change paper to show the relative
changes in some of the merchandise entering into the New York
wholesale market.
A comparison is also made between the trend
In the merchandise manufactures and foreign trade in New York
City and the United States.
The changes in the relative position of New York City in
this trade are also reflected in the figures in Table VI (page
75), giving the per cent of the total United States manufactures,
imports, exports, and total trade for New York City.
Imported goods represented a much larger proportion of the
merchandise entering into New York City wholesale trade in 1860
than in 1935.
The value of foreign trade cleared through the
Port of New York* exceeded the value of goods manufactured in
New York City up to about 1885, when an expansion in manufac­
turing brought the value of manufactured goods well above the
New York City foreign trade.
This continued to the war and post­
war period of 1914-1919, when the value of merchandise entering
into the city's foreign trade again exceeded its manufactures.
This did not last long, however, as the value of manufactures
continued to expand at a greater rate than foreign trade until
1929.
The figures since that year reflect the recent depression
and partial recovery of both manufactures and foreign trade, a l ­
though local manufactures have continued to increase in relative
*
The Customs District of New York includes the cities of
Newark and Perth Amboy.
This is also referred to as the
Port of New York.
75
TABLE VI
Merchandise Entering Into the Wholesale Trade of New York
_____________ Olty and the United States
Amount in Millions
New York City
Year
1859
1869
1879
1889
1899
1904
1909
1914
1919
1921
1923
1925
1927
1929
1931
1933
1935
Manufactures
193
394
650
1,063
1,173
1,527
2,027
2,293
5,261
4,328
5,310
5,324
5,722
5,908
4,374
2,861
3,666
Foreign
Trade
Total
Merchandise
504
872
1, 503
1, 923
2, 098
2, 634
3, 413
4, 197
10, 781
7, 390
8, 627 •
9 >172
9 ,491
9, 964
6, 305
4, 116
o, 439
311
478
853
865
925
1,107
1,386
1,904
5,520
3,062
3,317
3,848
3,769
4,056
1,931
1,255
1,823
United
States
Manufactures
and Foreign
Trade
2,574
4,125
6,849
11,019
13,331
17,070
23,425
28,247
73,866
50,647
68,515
71,851
71,768
30,075
45,865
34,484
50,082
Per Cent of Total United States in New York Citya
Manu­
factures
Imports
Exports
Total
Foreign
Trade
10.23
11.61
12.10
11.34
10.28
9.91
8.49
8.39
8.01
62.25
64.45
71.65
35.40
66.78
59.40
52.89
48.94
50.67
23.95
50.13
43.86
40 .68
37 .41
36 .50
43.64
36 .31
34.60
55.20
57.66
57.67
52.52
48.08
46.59
46.68
42.07
42.18
Year
1859
1869
1879
1889
1899
1909
1919
1929
1935
a)
Total
Manufactures
and Foreign
Trade
19.58
21.14
21.94
17.49
15.74
14.57
14.60
12.44
10.96
Figures for exports and Imports are for the Port of
New York, which Includes the cities of Newark and
Perth Amboy.
Source: Manufactures, United States Census of Manufactures
(see Table I, pages 31 and 32) Foreign Trade, Statis­
tical Abstract of the United States, 1937, p. 462.
NEW YORK UNIVERSITY
SCHOOL OF EDUCATION
«
LIBRARY
•
76
Amount m
.M illio n *
90,000
8CUMC
60,oa
20,000
10,000
4000
Aftti/VT
At
Msnc
ytiiiiddtiui
ej? 1?«M *
200
i*j*
.1515
^
T
r
e
n
d
in the Amount of Merchandise
• ;.^•••1
5nt,
ering Int° the Wholesale Trade of New
—
York City and the United States, 1869-1936
■/
1*57
7?
importance in the wholesale trade of the city.
The importance of foreign trade to the City of New York
is clearly brought out by the figures in Table VI (page 75),
which show that, whereas New York City manufactures have va­
ried between 8 and 12 per cent of the total for the entire coun­
try, the Port of New York during the same period accounted for
50 to .70 per cent of the total Imports in the country.
It is
therefore evident that during a period when merchandise enter­
ing into the trade of the country was largely Imported, New York
and other cities having superior facilities for handling these
imports would exceed in volume of wholesale business.
United States Census Reports on Occupations, 1900-1950
Diagram 11 furnishes a comparison in the relative number
of persons who reported their occupation as wholesale dealer,
importer, or exporter for the nine leading wholesale cities,
expressed in per cents of the total for the United States.
The
figures are limited to the census years 1900, 1910, 1920, and
1930, since, at the 1870, 1880, and 1890 Censuses, the tables
for cities failed to distinguish between wholesale and retail
dealers.
Although it is not felt that the number of persons re­
ported as wholesalers is an adequate measure of growth in the
*
wholesale business,
these figures nevertheless are of some
value in showing the changes in the relative importance of the
City of New York and other cities as centers of wholesale dis*
These figures cover proprietors and managers only.
Clerks,
salespersons dnd other employees are not included (see
page 67).
78
P e r Gen-t
1
1 *
*
o f U n tie d & ia,£.e&
5
j
*
1 11
■
10
I ■
'T o 'i& .l
* ■
*
15
20
S7r r
19.49
I
'///////////////////////////////////^ ^ ^
Nev YotH f
City
13. b3
10. 99
4.74
Chicane
4.U>&
4.Z8
T.99
a
.37
T^xiljuielphia. 8.95^
iib
hosAnoeles
3.3b
i.zs
f?
k 1
1.30
D e tr o it
l.lb
.88
.86
1.48
SxnVuTKJuo
1.74
139
1.85
St. Louis
B o ito n
1950
19Z0
1910
lyoo
Cleveland
Diag, 11* Comparison in the Relative Number of Wholesalers,
Importers, and Exporters in Nine Leading Wholesale Cities
in 1900, 1910, 1920 and 1930, Expressed in Per Cents of
the Total for the United States
Sources: United States Census Reports on Occupations, Por
original census figures upon whioh these per oents have
.been based, see Appendix, page 448,
79
tribution during these years when establishments engaged in dis­
tribution were not otherwise covered by the Federal or state
Census.
New York apparently reached its relative peak in 1920,
when 21.25 per cent of the total wholesalers in the country re­
side in New York City.
In 1930, it returned to approximately
the same position as 1910, with 15.49 per cent of the United
States total.
In 1900, the per cent was only 10.99.
Chicago and Philadelphia have consistently maintained sec­
ond and third place, respectively, but, beyond that, the remain­
ing cities have changed relative positions frequently.
While
the older eastern centers of wholesale trade such as New York,
Philadelphia, and Boston appear to have passed their relative
peaks and are definitely showing downward tendencies, the newer
western and mid-western cities of Los Angeles, Cleveland, and
Detroit are becoming increasingly Important as wholesale mar­
kets.
Older western cities such as St. Louis and San Francisco
likewise show declines with Chicago barely holding its own.
United States Census of Distribution. 1929. 1 955. and 1955
Diagram 12 is based upon the comparatively comprehensive
Censuses of Distribution of 1929, 1933, and 1935 and shows the
distribution of total workers in wholesale establishments in the
leading wholesale cities in 1935.
Unfortunately, it is difficult to arrive at satisfactory
conclusions concerning trends for these six years, 1929-1935,
because these data cover a period that is not only too short,
60
"ftr Cant of United S t u t a a T otdl
5
J.O
iff
N e w York.
City
1307
1+59
Chicago
VhiMolphiA
ZP
}0
3lZ6
znm
ZjosA nyelos
0ost«n
Z.Jb 5
2.5V .
2.2*1?
2.M
2.33)|
3ar>Fh*n&sco
zzm
2.ai|
2.
2k
S i. L o u t s
ffl
1955
T h ir o it
m
1?33
J.M
1 W
U A
C le A J tL x n d
3.5eP
1.521
Diag. 12. Comparison in the Relative Number of Total
Workers in Wholesale Establishments by Cities, in
1929, 1933, and 1935, Expressed in Per Cents of the
Total for the United States
Souroes: United States Census of Distribution. For original census figures upon which these per cents
have been based, see Appendix, page 448.
81
but also generally considered economically abnormal.
In comparing these figures with those In Diagram 11,
due consideration should be given to’the fact that data from
the Census Reports on Occupations give the number of proprie­
tors and managers only, and are based upon the residence of
the wholesaler rather than the location of the business.
New York City, Chicago, Philadelphia, and Los Angeles
continue to maintain their same relative positions as whole­
sale centers.
On the whole, cities other than New York appear
to have a larger per cent of the total United States wholesale
employment In Diagram 12 (1929-1935) than in Diagram 11
(1900-1930).
Trend In Manufacturers1 Sales Offices and Branches
Although wholesale establishments in general in New York
City have failed to show much of an increase in terms of total
United States wholesale employment during the years 1929 to 1935
(see Diagram 12), out-of-town manufacturers are showing a def­
inite trend towards maintaining their own sales offices and
sales branches in New York City (Table VII).
Manufacturers' sales offices In New York City during this
period have shown an actual Increase in number of employees
despite the large declines in general wholesale employment.
In
terms of per cent of the total United States, this has Increased
from 22.6 per cent in 1929 to 26.04 per cent in 1931 and 27.71
per cent in 1935.
Employment in manufacturers' sales branches, which repre-
82
sent sales offices that keep stocks, has declined somewhat In
actual number of employees during the same period (Table VII),
In line with the general decline In wholesale employment, but
has nevertheless made substantial Increases in terms of the to­
tal for the United States, increasing from 16.17 per cent in
1929 to 18.58 per cent in 1935.
TABLE VII
Employment in Manufacturers’ Sales Offices and Sales Branches
in New York City and the United States, 1929, 1933 and 1935
Year
1935
1933
1929
1935
1933
1929
Manufacturers' Sales OJffices
Per Cent of United
Number of EmiDlovees
United States States in New York City
New York City
27.71
42,895
11,887
26.04
39,652
10,325
22.60
21,410
4,838
Manufac-turers’ Sales Branches
18.58
211,280
39,260
16.26
193,177
31,403
16.17
306,878
49,608
Sources: Same as for Diagram 12, page 80.
Conclusions Concerning the Relative Trend of
the Wholesale Business in New York City
with an Analysis of Probable Causes
The data illustrated in Diagram 10 (page 76) as well as
the figures given in Table VI (page 75), throw some light upon
the probable causes for the changes in the relative position of
New York City as a center of wholesale distribution.
The per
cent of totalUnited States wholesale trade conducted in
York City was
New
comparatively high in 1840 (Diagram 9, page 72)
largely because the bulk of the manufactured goods sold at whole
sale during that period was
cent of total
imported.
In 1900, when the per
United States wholesalers in New York City was as
low as 10.99 per cent (Diagram 11, page 78), New York City marm*.
83
factures and foreign trade had also declined at a greater rate
than the combined manufactures and foreign trade of the United
States.
Between 1900 and 1910, the relative position of New
York City wholesale trade increased to 15.62 per cent; in all
probability because of the improved position of New York City
as a manufacturing center during this period.
The year 1920,
however, marked the culmination of the post-war period when
the value of merchandise entering into the New York City for­
eign trade exceeded the value of the merchandise manufactured
in the city for the first time since approximately 1885.
Due
to the fact that New York City accounts for a much larger pro­
portion of the country's foreign trade than manufactures (see
Table VI, page 75), it follows that New York's proportion of
the country's wholesale business would be greater during those
years when foreign trade increases in relative importance.
By
1929, the relationship between manufactures and foreign trade
returned to approximately the same relative position as 1909,
and continued thus to 1935.
The decline in the per cent of
wholesale employment in New York City in 1933 (Diagram 12, page
80) may also be traced to a decline in the value of foreign
trade as compared to manufactured goods during the same year.
It is therefore apparent that much of New York's suprem­
acy as a wholesale center is due to its predominant position
in the foreign trade of the country.
This will become increas­
ingly significant if manufacturing continues to leave the city.
The dispersion of manufacturing throughout the country
and the development of new manufacturing centers, such as
84
Detroit and Los Angeles, have obviously helped to establish
these cities as wholesale centers.
Improved transportation facilities throughout the coun­
try has tended to overcome some of the advantages New York
City had as the center for domestic trade.
The growth of large
population centers at a distance from New York City has also
tended to locate wholesale establishments closer to centers of
population.
Wholesale distribution may definitely be classified as a
function that is conducted most effectively in large cities.
This concentration of wholesale trade in the larger urban cen­
ters is clearly indicated by the fact that the nine cities
listed in Diagram 12 with but 14.83 per cent of the total popu­
lation of the United States in 1930 have 39.48 per cent of the
total workers in wholesale trade in the United States in 1929,
34.43 per cent in 1933, and 38.37 per cent in 1935.
Figures for the years 1929, 1933, and 1935 show a def­
inite Increase in the proportion of workers in manufacturers'
sales offices and sales branches in New York City.
Some of this
increa.se is undoubtedly due to the removal of factories from
the city, but the retention of a sales office or branch (see
page 61 ).
These figures would also indicate that manufacturers
are distributing their products to a greater extent through
their own sales offices and branches rather than through whole­
salers.
Occupational Analysis of Workers in Wholesale Distribution
85
An analysis of employment trends in wholesale distribu­
tion for the purposes of determining a program in business edu­
cation must necessarily take into consideration the different
occupational groups included in wholesale establishments.
Both the 1929 and the 1935 Censuses of Wholesale Distri­
bution provided such an analysis of employment, but comparison
between these two periods is made difficult because of lack of
uniformity in the occupational classifications used.
The oc­
cupational analysis of employment in wholesale establishments
to be of value in business education should include separate
figures for the number of persons engaged in each of the fol­
lowing functional groups:
1.
Proprietors and executives of corporations
2.
Sales persons
3.
Office and clerical workers
4.
All others, including production, maintenance,
warehouse, and other workers of a non­
clerical nature
Business education is concerned with the first three of these
functions.
Because of changes in classifications used during these
two Censuses, few conclusions concerning trends are possible.
Earlier figures giving the occupational distribution of workers
#
in wholesale establishments are not available.
*
The United States Census Reports on Occupations for the
years 1870, 1880, 1910, and 1930 permit some occupational
analysis of employment in establishments engaged in
trade during those years, but, since figures for both
retail and wholesale establishments have been combined,
the analysis is of little value here.
86
Analysis of the rather complete figures In the 1935 Cen­
sus of Business should permit comparisons In the occupational
distribution of workers In wholesale establishments between
New York and other leading wholesale cities, New York State,
and the country as a whole.
Table VIII and Diagram 13 show the distribution of work­
ers in wholesale establishments in each of the following occu­
pational groups: office and clerical employees, outside sales­
men, inside salesmen, salaried officers, proprietors, and ware­
house employees.
Table VIII also contains data on the number
and per cent of total workers In wholesale distribution engaged
as part-time employees as well as those employees which have
not been classified by occupation.
These consist in part of
persons engaged in other types of work such as delivery, main­
tenance, service, etc., and, In part, employees in very small
concerns whose duties are not specialized.
All of the percent­
ages are based upon the total number of workers, which is de­
fined here as the total number of employees in wholesale estab­
lishments during the week of October 21, 1935 (considered by
the Census Bureau as most representative) plus the number of
partners and firm members reported during the year.
*
The average number of employees reported is usually greater
than the number of employees analyzed by occupations.
This is due to fact that many of the smaller establish­
ments failed to classify employees by occupations.
See
1935 Census of Business. Wholesale Distribution. Vol. V,
p. 14.
If the per cents for each of the occupational
groups were based upon the number of employees analyzed
only, they would all be somewhat higher than given in
Table VIII.
The relationship between cities would not
be materially affected, however.
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Diag. 13. Comparison in the Percentage of Business Workers
in Wholesale Establishments in the United States, New
York State and Leading Cities, 1935
Source: United States Bureau of the Census, Census of
Business, 1935, Wholesale Distribution, v. V.
See Table VIII, page 87 for original census figures
upon whioh the above per cents are based.
89
It is apparent from Diagram 13, which compares the occu­
pational distribution of workers in New York City with those
in the United States as a whole, the State of New York, and the
eight other leading wholesale cities in the country, that the
per cent of office and clerical workers, and salaried officers
plus proprietors is higher in the City of New York than in any
of the other cities, the State of New York, or the country as
a whole.
In proportion of office and clerical workers, the
City of New York with 23.15 per cent of its wholesale workers
engaged in that capacity compares with 17.45 per cent for the
entire country.
San Francisco with 22.39 per cent and Chicago
with 21.52 per cent rank second and third, respectively.
Sim­
ilarly, the per cent of wholesale workers engaged as salaried
executives is considerably higher in the City of New York than
for the country as a whole or other wholesale centers.
On the
other hand, the proportion of workers in wholesale establish­
ments employed as salespersons, both inside and outside, is
smaller in New York City than in any of the other cities in­
cluded in this ta.ble or the country as a whole, although the
variations for the cities are comparatively small.
The propor­
tion of warehouse employees in New York City wholesale estab­
lishments is definitely lower than in other cities.
The per
cent distribution of "other employees" is of little signifi­
cance because of the variety of occupations included in this
group.
The relative importance of New York City as a center of
employment in the various occupational groups in wholesale es-
tabllshments Is indicated graphically in Diagram 14.
It would
at>pear from this chart that although the City of New York In
1935 contained but 5.72 per cent of the total population of the
United States, it had 23.58 per cent of the executives in whole­
sale establishments, 21.92 per cent of the office and clerical
workers, and 17.29 per cent of the total proprietors of the
country.
The per cent of total workers was 16.53.
The per
cent of warehouse employees was lowest with 13.61 per cent with
inside salespersons, and outside salespersons following with
14.73 and 16.2 per cent, respectively.
'FferCant o f U nited S tates To ta.1
S
15
. JO
'Ra/ovhutaon
S jlI
oj
I
20
Fu u>Hi Mi
f//////f//l//fiilii/iiiiiiiiiiiii/in im iii/iu iii/i/i//i//n i///i///i/ii/////i///////////fj///fi
executives
OfficebClerical
Hoprieion
Total Workers
Total Cnpfajm
0»t*ide Selling
Inside.Selling
\Jajehotfse Em/il.
Hot Timt Empi.
Estafetutaooti
Diag, 14. Comparison In the Per Cent of Total United States
Population, Wholesale Sales, Wholesale Establishments,
and Various Classes of Employees In New York City, 1935
Source: United States Bureau of the CensuB, Census of Business,
1935, Wholesale Distribution, ▼. V.
91
3ome Ooncluslons Concerning the Occupational Distribution
of Workers In Wholesale Establ1shments
The proportion of administrative and office workers In
wholesale establishments is higher in the City of New York than
in the country as a whole, the State of New York, and other im­
portant wholesale cities in the country.
This is similar to the
situation found in New York City manufacturing establishments
(see pages 54 to 58).
Some of the probable causes given for the
greater proportion of such workers in New York City manufactur­
ing establishments would be equally true here (see pages 59 to
61).
Although there is no production function connected with
the wholesale establishment, New York City wholesale houses ap­
pear to have found it desirable to maintain as much of their
"nonbusiness" functions outside of the city as possible.
This
is particularly true of warehousing.
The proportion of salespersons in wholesale establishments
is fairly uniform throughout the country.
The sales function
is apparently one that is not usually performed away from the
location of the wholesale establishment.
Salespersons are dis­
tributed in greater proximity to centers of population than any
of the other classes of business workers.
This is particular-
%
ly true of "outside salesmen," which includes traveling salesmen
The warehousing or storage function is apparently less
important in the City of New York than in other cities or the
country as a whole.
This may in part be due to higher land
values in the City of New York, which makes its use for stor­
age space comparatively more expensive, as well as the tenden­
cy to locate warehouses nearer to centers of consumption through
92
out the country (see pages 88 and 89 ).
Future Trends In Wholesale Distribution and Employment
In the City of New York
It Is difficult to make many conclusive statements con­
cerning the future trends of wholesale distribution as a
source of employment in New York City because of the compara­
tively short period for which comprehensive statistics are
available.
However, the few clearly defined trends affecting
the future of wholesale distribution in general and the oppor­
tunities for future employment In the wholesale business in
New York City in particular are of sufficient importance to
warrant their summarization here.
The City of New York controlled its largest proportion of
the toted United States wholesale business during the middle
of
the nineteenth century, particularly during the time such trade
consisted largely of imported commodities.
The earliest fac­
tor influencing the location of wholesale establishments in the
City of N ew York was the Port of New York.
When the major part
of the manufactured goods and a large part of the raw mater­
ials consumed were imported from other countries, it was nat­
ural that the ports of the country should also be the places
where bulk would be broken and the merchandise reshipped to
other centers of population.1
Exceptional transportation facilities to other parts
of the country aided in continuing this advantage to the city,
1.
See Diagram 9, page 72, and Table V, page 72, which show
the supremacy of the City of New York as a wholesale
center from 1840 to 1855.
93
with the result that wholesale establishments In other parts of
the country found It more convenient to transfer their place of
business to New York where trans-shipment facilities were supe­
rior (see page 71).
With the development of manufactures in this country dur­
ing the middle of the nineteenth century (see Table I, page 31),
the importance of imported commodities in the country's whole­
sale business was considerably decreased.
Nevertheless, since
the City of New York also assumed the position of first manu­
facturing city in the country (see page 30), it was natural
that the merchandise produced in that city should also be mar­
keted there.
The twentieth century, however, has brought con­
siderable dispersion in manufactures throughout the country.
With the development of newer midwestern and western manufac­
turing centers, such as Detroit and Los Angeles and expansion
in the older cities of Chicago, St. Louis, San Francisco, and
Cleveland, wholesale distribution similarly became more widely
scattered.
Improved transportation facilities in other parts
of the country have also tended to reduce the supremacy which
New York City formerly held as a national market.
Since manufacturing establishments usually sell their prod­
ucts at wholesale, dispersion of factories has tended to effect
a similar trend towards the dispersion of wholesale establish­
ments (see pages 78 and 80).
However, transfer of the manu­
facturing plant from the City of New York has not always meant
a transfer of the entire office and sales departments (see
pages 61 and 62 ).
On the contrary, reduction in the number of
94
manufacturers in the city has been accompanied by a correspond­
ing increase in the number of manufacturers' sales branches and
offices in the city (see Table VII, page 82).
Probably one of the most potent forces compelling whole­
sale establishments to locate nearer their customers has been
the tendency in recent years towards hand-to-mouth buying on
the part of retailers, Induced largely by the uncertainty of
business conditions.
Nearness to the customer has become an im­
portant factor in filling orders promptly, and, in some lines,
retailers have become accustomed to receive the merchandise the
same day ordered.
Multi-unit wholesale establishments have
solved this problem by retaining all the advantages of a cen­
trally located main office in New York City, with warehouses,
showrooms,
sales offices, and service stations located at points
convenient to the population served.
Conclusions Concerning Occupational Distribution
in Wholesale Trade
Although New York City is not likely to continue to in­
crease in relative Importance as a center of wholesale trade
for the United States, there is indication that a greater pro­
portion of the total administrative, office, and clerical work­
ers in wholesale distribution will continue to be employed in
New York City, with the productive and warehousing functions
gradually being relegated to other sections of the country.
This may be due to the advantages which the City of New York may
have for the performance of the administrative functions of bus­
iness, as has also been found to be the case in other Industries
95
(see pages 61 and 62), and the constantly increasing land val­
ues which make the location of warehouses more economical else­
where.
This specialization in the location of wholesale func­
tions will be emphasized with any increase in the number of
multi-unit establishments, since consolidations of independent­
ly owned establishments usually result in the transfer of a
large part of the administrative and managerial functions to
the central administrative office in New York and other large
cities.*
Sales and warehouse workers are distributed in more
direct relationship to centers of consumption.
Changes in Efficiency of Workers in Wholesale Distribution
The effect of technological improvements Increasing the
efficiency of workers in wholesale distribution is not as yet
discernible.
Such data as amount and volume of trade per em­
ployee are available for too short a time and for too abnormal
a period of business activity to permit definite conclusions.^
No Improvement is distributive efficiency in wholesale estab­
lishments is apparent to correspond wit h the increase in pro­
ductive efficiency as reflected in the statistics of manufac­
tures (see pages 43 to 47).
That such improvements may be ex­
pected in the future is a natural result of the shift in em­
phasis from production to distribution that has been previously
described (see page 66).
*
#
This is analyzed in greater detail in Part IV, Financial
Institutions, Chapter V, Central Administrative
Offices.
This information is available for 1929, 1933, and 1935.
See Appendix, page 449.
96
Future of Wholesaling
The future of wholesaling in general as a distinct phase
of economic life has not been discussed in this chapter.
The
general trend, however, has been summarized by Director General
Dodd of the Wholesale Dry Goods Institute as follows:
There have been questions about this
economic function (wholesaling), and
theorists have from time to time an­
nounced that they have found ways to
eliminate it. But no practical man
with e>iperlence in the field of distri­
bution has ever countenanced such spec­
ulation.
So long as we have at least
two factors in this country— great dis­
tances and wide diversification in prod­
ucts— we shall have the wholesaler,
whether we call him b y that name or by
some other name.
There must continue to be central dis­
tributive agencies, central reservoirs
of supply— anticipating and providing for
market needs, breaking down and re-assembling carload and less than carload ship­
ments, warehousing, financing, selling,
and assuming risks. . . .1
Similarly, a.s long as there remains a need for the func­
tions outlined above, whether they be performed by establish­
ments calling themselves wholesalers,
sion merchants, manufacturers'
jobbers, agents, commis­
sales offices, and sales branches,
or even government controlled agencies, their location, like
the location of all other economic functions, will be largely
influenced by the presence of factors which are conducive to the
economic and efficient performance of these functions.
The City
of New York should continue to be most favorably suited for
1.
The New ’Wholesaler. The Story of the Second Annual Conven­
tion of the Wholesale Dry Goods Institute, January 22-23,
1929.
97
for the performance of the administrative and clerical functions
of wholesaling just as it has in manufacturing and most of the
other industries studied.
CHAPTER III
RETAIL DISTRIBUTION
"In the study of the distribution of economic functions
performed in the metropolitan area, the part played by the re•
taller calls for special attention and consideration.
He sup­
plies the final line in the long chain of operations that con­
nects the producer with the great mass of c o n s u m e r s . T h e
United States Census of Distribution defines retail distribu­
tion as covering "the entire process of purveying goods to ul­
timate consumers for consumption or utilization, together with
services incidental to the sale of goods.
The distinguishing
characteristic of the retailer is that the business is done in
a retail manner, in a place of business open to the general pub­
lic."2
Relative Position of New York City as a Retailing Center
As in the case of wholesale distribution, data on retail
stores must be gathered from a variety of sources and pieced
together in order to give some picture of the trend of the re­
tail business in New York City.
1.
2.
Regional Plan of New York and Environs, The Central
Retail Shopping District of New York and its
Environs. in Vol. lb., p. 17.
United States Bureau of the Census, Census of Business.
1935; Retail Distribution, Vol. 1, p. 1-01.
99
Early Statistics. 1840. 1 8 4 5 . 1855
Table IX and Diagram 15 are based upon United States Census
figures for 1840.
TABLE IX
Retail Establishments in 1840 in Leading Counties, New York
State and the United States
Dry Goods, Grocers
and Other Stores
Counties
New York
Kings
Philadelphia
Suffolk (Boston)
Ba-lti more
New Orleans
Cook
St. Louis
New York State
United States
Number
3,620
209
2,078
583
1,310
1,881
102
214
12,207
57,565
Capital Invested
Per Cent
Total Unit­
ed States
6.29
.36
3.61
1.01
2.28
3.27
.18
.37
21.21
100.00
.
Amount
$1,000
14,649
516
17,385
4,213
6,795
11,018
409
3,875
42,136
250,302
Per Cent
Total Unit­
ed States
5.85
.21
6.95
1.68
2.71
4.40
.16
1.55
16.83
100.00
Source: United States Census Office, Sixth Census (1840), Com­
pendium of the Enumeration of the Inhabitants and Statis­
tics of the United Strtcs.
_
__
_________
P e * t C N T QP.T o t h u V n WSO STATffS
a
H
ew
20
Voak
Nsw O r l c p m s
B a l t im o r e
fiijfMmsm or
SurrotK OBo*to *)
V ////S A
ftgTAlEsro/kE*
CHPlT/U. TfVKSrtO
Sr. Louis
Diag*
Retail *siauxxBnnwai#B
letabllehnente In
Relative
Number
of *
Lag. 16.
jlo .
neiaix
*** 1840.
*0 ™ .
**«**- •~ --”
- " 7
Retail Stores and Oapltal Invested In New York County (Oity)
and Other Xqportant Counties In the Country Nxpressed in
Per Cents of the United States Total
100
It is apparent from the foregoing table and diagram that
New York County, which at that time was co-extensive with the
City of New York, had 6.29 per cent of the total dry-goods,
grocery, and other stores in the entire United States.
This
compares with approximately two per cent of total population.
Compared with wholesale establishments of which approximately
thirty per cent were located in New York City (see Diagram 9,
page 72), retailing at that time was far from being a concen­
trated business. Phlladelphili and New Orleans ranked second and
. third, respectively, with 3.61 and 3.27 per cent of the total
retail stores in the country, although, in amount of capital
invested, Philadelphia actually exceeded New York City.
Figures taken from the New York State Census for 1845 and
1855 are given in Table X.
TABLE X
Number of Retail Stores and Groceries in New York and Kings
___________Counties, and New York State, 1845 and 1855__________
1845
Retail Stores
Groceries
Number
Per Cent
Number
Per Cent
Total
Total
Counties
New York State’
New York State
New York
4,209
34.34
1,964
33.51
Kings
655
5.34
6.19
363
New York State 12,257
100.00
5,860
100.00
1855
New York
9,617
42.54
3,426
32.88
Kings
2,359
10.43
1,120
10.75
New York State 22,607
100.00
10,421
100.00
*
Sources: Census of the State of New York for 1845 and 1855.
101
There is no concentration of the state1s retail business
in New York City in 1845 and 1855 comparable to the practical
monopoly which New York City had of the state's wholesale bus­
iness during the same years (see page 72).
The proportion of
stores and groceries in New York City was very close to the pro­
portion of population.
Census of Occupations. 1900, 1 9 1 0 . 1920. and 1950
Diagram 16 based upon United States Census Reports on Oc­
cupations furnishes a comparison in the relative number of per*
sons who reported their occupations as retail dealer.
As in
the case of wholesalers (see page 77), the figures are limited
to the years 1900, 1910, 1920, and 1930, since, at the 1870,
1880, and 1890 censuses, the figures for wholesale and retail­
ers were combined in the city tables.
However, since retail
organizations are on the whole smaller than wholesale establish­
ments, the number of retailers reported is a reasonably satis­
factory mes-sure of the relative importance of the various cit­
ies in the retail business.
The following conclusions are possible from an examina­
tion of Diagram 16:
1.
The proportion of total retailers in the country appears to
*
As in the case of wholesalers (see page 77), these figures
cover proprietors and managers only.
Clerks, sales­
persons and other persons are not Included.
102
'Pe.vCant of (/nitecf StAtes Tota.1
5
____
10
■
i
20
i 15
WewYor/f
Citj,
Chicago
VhilajltlphUL 2&bi W B S h .
fS
Detroit
Si.Louis
Boston
San fhwwsco
.a
1930
1910
1910
1900
Clevfcbrrf
Dlag. 16. Comparison In the Relative Number of Retail Deal­
ers In Nine Leading Cities In 1900, 1910, 1920 and 1930,
Expressed In Per Cents of the Total for the United States
Souroes: United States Census Reports on Occupations.
For original census figures upon whloh the above per cents
are based, see Appendix, page 451.
1.03
have declined slowly but regularly from 1900 to 1930 for the old­
er trading centers' of New York City, Philadelphia, Boston, St.
Louis, San Francisco, and Cleveland.
Los Angeles and Detroit,
on the other hand, have Increased in relative importance.
Chi­
cago has remained fairly stationary.
2.
The rates of change from one census period to another in
terms of per cent of total United States are considerably smaller
for retail distribution than for wholesale distribution (com­
pare with Diagram 11, page 78).
3.
There Is considerably less concentration among cities In re­
tail distribution than in wholesale distribution (compare with
Diagram 11, page 78).
United States Census of Distribution. 1929. 1933, 1955
Diagram 17 provides a comparison in the relative number
of total workers in retail establishments in the United States
for the leading retail centers in the country in 1929, 1933,
and 1935.
These figures differ from those in Diagram 16 in that they
are based upon the total number of workers xvhlch includes both
proprietors and employees and not only proprietors and managers.
The period covered here is admittedly too short and abnormal to
warrant conclusive statements, although, in most instances, the
data do appear to indicate a continuation of the trends indicated
in Diagram 16.
The City of New York, however, shows a relative
increase in 1935, with Chicago showing a decline.
As in the
case of the figures taken from the United States Census Reports
on Occupations, most relative changes in retail employment for
1929, 1933, and 1935 are very small.
104
of
H r C c -rrt
5
U n i t e d S tJ Lie* Tot&J.
10
IS
20
i£Sr
City
77b
7 25
735
Chicago
5 .U
a
as
WeuYcrK
'P iiila d t lp h iA
+ .0 5
2.2+
2-30
L 05Angelas
2 .8 5
IS O
2.U7
D e tr o it
l.+ S
1.50
C o st on
B a ltim o re
1.55
l.Z ie
1 .3 3
1.35
•98
1.0*
.50
i.07
Cle.\je.LaJi4
1.11
1.03
St. ItO uiS
10+
103
1.(75
SA7) Ftjtkjsco
Uscshin^tan
'P itts b u rg h
.1
.&»
1.11
.4*7
l$3S
53
1 9Z}
.84
.80
.92
Dlag. 17.
Comparison In the Relative Number of Total Workers
in Retail Establishments by Cities, 1929, 1933 and 1935,
Expressed In Per Cents of the Total for the United States
Sources:
United States Census of Distribution.
For original census figures, see Appendix, page 451.
105
Trend In Retail Employment In New York Olty
by Type of Establishment
A very satisfactory classification of retail establish­
ments from the point of view of employment was made by the New
York State Factory Investigating Commission in connection with
its Investigation of working conditions in retail establish­
ments:^
1.
Large, centrally located department stores
with thousands of employees, in reality
many stores under one roof
2.
Smaller general stores
3.
Five and ten cent restricted price stores
4.
Specialty stores (wearing apparel, food, etc.)
5.
Mail-order houses
To this list may be added chain stores which have gained
prominence since the foregoing investigation was first made.
Since small general stores and mail-order houses are com­
paratively unimportant in New York City, the analysis of retail
distribution in New York City will be limited to chain stores,
department stores, five and ten cent variety stores, and all other
stores consisting chiefly of specialty shops.
Chain Stores
These stores are deserving of special consideration in this
study, since, in common with all other fonns of multi-unit organ­
izations,
they materially affect the occupational distribution
of workers in stores.
1.
Employment is affected principally by the
New York State Factory Investigating Commission, Fourth
Report. 1915, Vol. II, pp. 51-174.
106
fact that buying and many of the administrative functions are
usually centralized in a main office or offices.
Similarly,
proprietors and firm members are replaced with salaried man­
agers and executives.
"Although multi-unit operations under one ownership and
control are numerous in other business fields,
such as banks,
hotels, finance companies, newspapers, manufacturers, whole­
salers, and even semiprofessional service organizations, it is
..1
in the retail field that they are most highly developed."
The trend in chaln-store operation in the City of New York
is illustrated in Diagram 18.
As in the case of all other
charts based upon the 1929, 1933, and 1935 Censuses of Distri­
bution figures, due consideration must be given to the abnormal
business conditions prevailing during this period.
Tb-iaJ.
'Indtptytdmrrts
1>2 9
TJorKmrs
72.ee
r n m r n m
73. OS
23.2
\2.m
■IJ35
Employ*.**
c fmxrt* 30.24 Oftfff 33?
W
m nunm u m
,
\
1J35
C *i\-r P / j T « z * u r / o «
9
.
=
***
J
V JLM
1
i
Dlag. 18. Comparison In tbs Distribution of Total Yorkers
and Employees In Independent, Chain, and Othsr Stores
In the City of New York, 1920 and 1936
Soureess United States Osnsus of Distribution, l9£9 and 1936.
For original osnsus figures of lumber of stores, propri­
etors, employees, total workers and net sales Apr the
various types of stores, ses Appendix, page 4 y .
_
1.
United States Bureau of the Census, Census of Business.
1935; Retail Chains. p. 5.
107
It nevertheless appears from this diagram that In number
of employees and number of total workers, the independently op­
erated retail store appears to be in the ascendency again in
,pi
New York City. life'per cent of total retail emoloyment in New
^
% d
York City ci^tin s'tore^ is still close to 30 per cent.
Department Stores
Department stored in New York City are numbered among the
largest single employers of business workers in the city.
Their
large size naturally permits specialization in employment such
as is possible in few other types of business.
As in the case of chain stores, it is impossible to ar­
rive at definite conclusions concerning the future of the de­
partment store in New York City from the statistics for the
brief period of six years covered in the United States Censuses
of Distribution.
However, examination of the scattered figures
on department-store employment, extending as far back as 1911,
permits the assumption that the number of department-store em­
ployees in New York City does not appear to have grown at the
same rate as population or retail trade in- general.
A survey**” of New York City stores made between January
1S11 and January 1912 shows a total, employment, of 55,727 in the
£
fifteen department stores listed.
This number would probably
1.
*
National Civic Federation, Working Conditions in New York
Stores (Made in co-operation with the Retail Dry Goods
Association), National Civic Federation Review. July
15, 1913.
Several large stores were apparently not included in this
investigation, notably John Wanamaker1s.
108
be larger If figures for stores which apparently were not in­
cluded in the investigation were added.
Employment in New
York City department stores as reported by the United States
Census of Retail Distribution in 1929, 1933, and 1935 is as
follows:
1929
1933
1935
54,983
39,989
43,686
These latter figures include many of the smaller department
stores that
It
were
not included
in the1911-1912 investigation.
is probable that the relative
decline in the depart­
ment store as a source of employment has been Induced some­
what by the development of smaller shopping centers throughout
various other parts of the New York shopping area, and by the
location of chain stores at points convenient to their custom­
ers.
These chains appear to have combined the advantages of
large-scale organization with those of the local specialty
store.
Comparison in Trend of Different Types of Retail Stores
The distribution of all retall-store employment in New
York City into department, five and ten cent variety, and spe­
cialty stores for the period 1929 to 1935 is shown in Table XI.
It is apparent from these figures and Diagram 18, page 106,
that the per cent of total retail employment has declined in
department stores and increased in five and ten cent variety
and specialty stores.
In Diagram 18, it was shown that rela­
tive employment in chain stores also declined.
109
TABLE XI
Number and Per Cent of Workers In Retail Stores In
New York City, Classified by Type of Store,
1929, 1933, and 1935
Number of Workers
Type of
Store
1929
Per Cent of Total
1933
1935
1929
1933
1935
Department
55,013
39,998
43,695
12.42
11.01
10.29
Five and Ten
10,002
9,966
10,774
2.26
2.74
2.54
85.32
86.25
87.17
Specialty
377,787
313,327 370,254
Total
442,802
363,291 424,723 100.00 100.00 100.00
Sources: United States Bureau of the Census, Fifteenth
Census (1930), Retail Distribution, New York State;
Census of American Business, 1935, Retail Distribu­
tion, v. II; Census of Business, Retail Distribution,
1935, v. II.
Summary of Trends in the Retail Trade of New York City
The data available on the retail trade in New York City,
presented in this chapter, would appear to Indicate that the
retail business serves a comparatively small area and must of
necessity (except in the case of mail-order houses) be located
near the customers they serve.
This has reduced the possibil­
ity of concentration of this business in any city or group of
cities.
Large cities, including New York, however, have usu­
ally accounted for a larger proportion of the total retail em­
ployment of the country than would be Justified by their popu­
lation.
This has been due to the fact that retail shopping cen­
ters of large cities usually serve an area greater than the
population of the city.
New York City department and specialty
110
stores have drawn upon the residents of near-by cities and towns.
As these out-of-town sections develop and establish their
own shopping centers, frequently with branches of local or na­
tional chain systems,
their dependence upon the central retail
district is reduced.
New York City in common with most other
important cities accounts for a constantly decreasing proportion
of the total retail business and employment in the United States
(Diagram 16, page 102).
Some of this dispersion of the retail
business has undoubtedly been due to a corresponding disper­
sion of population previously noted.
Most of it is probably
due to the development of retail chain stores which have brought
the advantages of large store operation to smaller communities
and made them less dependent upon the stores of the big city re­
tail center.
This has been reflected in the decline in depart­
ment-store employment in New York City from 1911 to 1935 (page
108).
Occupational Distribution of Workers in Retail Distribution
The United States Census of Distribution called for this
information for the first time in 1935.
Each store was asked
to report the actual employment for the week ending October 26,
1935, or, in the case of a highly seasonable business, for a
week of normal employment during the business season.
Retail
establishments were requested to classify their employees for
the week into executives and salaried corporation officers, of­
fice and clerical, selling, waiters and waitresses, and other
employees.
Full and part-time employees are listed separately.
Ill
"The classification of employees according to the different oc­
cupational groups was not always clear-cut or absolute.
Many
workers perform a variety of functions, thus making It diffi­
cult to classify such employees Into a particular group.
The
stores were requested to classify these employees performing a
number of functions In one group only, the group to be based
upon the function which demanded the major portion of their
time."1
The figures on employment for the representative week do
not include all stores.
Many retail establishments failed to
give this information, either because they had no employees or
were unable to answer this inquiry.
The number of employees
not included in the occupational analysis is relatively much
greater than in the case of wholesale establishments.
This num­
ber has been determined by deducting the number of employees
included in the occupational analysis
from the monthly employ­
ment figures reported for October of the same year.
of proprietors was obtained from the same tables.
The number
All per cents
are based upon the total number of •workers; i.e., proprietors
plus total employees for the month of October.
Trend in Occupational Distribution
Since the United States Census of Distribution furnished
data on the occupational distribution of workers in retail es­
tablishments for the first time in 1935, no comparison is pos­
sible with preceding years for retail establishments as a whole.
1.
United States Bureau of the Census, Census of Business.
1935, Retail Distribution. Vol. V, Employment and Pay
Rol l , p. 12.
112
Fortunately, some scattered data are available In connection
with Investigations of employment In department stores and
1
2
five and ten cent variety stores In 1913 and again'In 1921
by the New York State Department of Labor.
This analysis ap­
plies only to the two types of stores mentioned.
Table XII is intended to compare the occupational dis­
tribution of employees In department and variety stores for
the years 1913, 1921, and 1935.
The 1913 and 1921 analyses are
based upon a sampling of employees investigated by the New York
State Department of Labor in the investigations previously men­
tioned.
The 1935 figures are those contained In the United
States Census of Business for 1935.
The classifications for
the three periods were made as nearly uniform as possible.
A few conclusions are possible from the figures presented
in the table on page 113 and those preceding.
As no figures
are given for executives and salaried corporation officers for
*
1913 and 1921,
the per cents for all of the other occupational
groups are fractionally higher than they would be if figures
1.
2.
*
New York State Factory Investigating Committee, Fourth
Report. 1915, Vol. II, pp. 51-174. Although this inves­
tigation was presumed to include employment in depart­
ment, neighborhood, and variety stores, the small num­
ber of neighborhood stores analyzed (only 1,788 em­
ployees were analyzed in this group) prevents the use
of these figures as representative of all types of re­
tail stores. Department stores with 64,597 employees
analyzed included an almost complete census of this
group.
State of New York, Department of Labor, The Employment of
Women in Five and Ten Cent Stores. Special Bulletin
No. 109, September, 1921.
The original investigations did not include salaried
officers or executives.
113
TABLE XII
Comparison In the Occupational Distribution of Workers In
Department and Variety Stores In New York State,
1913, 1921, and 1935
Department Stores
Occupational
Groups
Number of Employees
Ana.lyzed0,
1935
1913
1921
Executives and
salaried corpor­
ation officers
Cb)
Office and cler­
ical employees
9,987
Selling employees 32,986
Waiters and
waitresses, etc.
Other employees
(delivery, ser­
21,624
vice, etc.)
Total
1,195
8,178
19,986
Per Cent in Each
Occupational Group
1913
1921
1935
(b)
3.03
15.46
51.06
20.77
50.75
806
64,597
2.05
9,216
33.48
23.40
39,381
100.00
100.00
Var lety Stores
Executives and
salaried corpor­
ation officers
Office and cler­
ical employees
Selling employees
Kitchen help,
waitresses, etc.
Others (plant,
porters, un­
classified)
Total
54
41
127
93
1,523 1,483
371
6,139
26
501
203
844
1,788 1,893
7,896
(b)
172
2.85
.52
6.71
78.34
4.70
77.75
1.38
6.34
10.72
10.69
100.00 100.00
100.00
(b)
5.20
85.18
9.62
a)
Does not Include all employees In these stores, but only
those Included In the occupational analysis,
b)
Executives were not Included in this investigation.
Sources: New York State Factory Investigating Commission,
Fourth Report, 1915, v, II, p. 54 (1913 figures); The
Employment of Women in Five and Ten Cent Stores, New
York State, Department of Labor, Special Bulletin, No,
109, p, 10 (1921 figures); United States Census of
Business, Retail Distribution, v. V (1935 figures).
114
for executives and salaried corporation officers were Included.
The number in this group was probably relatively much smaller
than in 1935, since many of the department stores in 1913 were
still managed by proprietors and firm members rather than cor­
poration officers.
The proportion of office and clerical employees in depart­
ment stores has increased between 1913 and 1935 Just as has been
the case with office workers in other types of business hereto­
fore analyzed (see pages 36 and 37).
Some of the more probable
causes are greater centralization and specialization of all
clerical work in the office departments and an increased need
for office workers to perform the routine work of modern store
management and control.
changed materially.
The proportion of salespersons has not
The decline in the proportion of "other
employees" from 1913 to 1935 cannot be attributed to any decline
in the "other services" rendered by department stores to its
customers, but rather to increased efficiency in performing
these services.
Delivery employees, which probably represent
the largest proportion of this latter group, have very materially
increased their efficiency with the use of motor vehicles.
Variety stores on the other hand show a larger per cent
of office and clerical workers in 1913 and 1921 than in 1935.
This may be attributed to the greater concentration of office
work in the main office of variety stores operated by chain or­
ganizations and the increase in the five and ten cent store busi­
ness transacted by chain-store organizations.
Office workers in
the central offices of chain stores are not included in these
115
figures.
If they were, it is quite probable that the total per
cent of office workers would show an increase over 1921 and
1913.
The proportion of selling employees in variety stores
appears to have declined, probably because of the introduction
of lunchrooms employing an increasing number of kitchen workers
and waitresses.
Occupational Analysis of Workers in Retail
Establishments by States
Unfortunately, data on the occupational distribution of
workers in retail establishments are not available for cities.
The United States Census of Distribution for 1935 gives this in
formation for states only.
Diagram 19 illustrates the per cent
distribution of office and clerical employees, executives and
officials, proprietors and partners, and waiters and waitresses
in the retail stores of New York State and five other states
that ranked highest in number of retail employees in 1935.
These states are sufficiently scattered throughout the country
to permit a comparison in the occupational distribution of re­
tail workers throughout the country.
Comparative figures are
also given for the entire United States.
It is apparent from Diagram 19 that the per cent of of­
fice and clerical workers does not vary materially in retail es
tablishments throughout the country.
bution and manufacturing,
*
Unlike wholesale distri­
the per cent of office and clerical
As in the case of wholesale distribution, all per cents are
based upon the total number of workers, which includes all
employees as of October 1935, in addition to the total
number of firm members and proprietors (see pages 110 and
111).
116
O W ct &
CMrkAl
St/tTS
PKft
f n e v t iiM * &
OMsmJi _
fr
•«*■* Cswr
Pen Cmi*r
10------- « r orvr--------------
NtwYo**
271 2485
P tM tS V L V A M A 4 8 1
1«
Zk32l
IU IN t tS
IP
255?
128
21/5
CnuptmmA
Wtrfwcr*
4.90
30
220 «>2
AH
22J 1;
:jxMB2SS2Z2M V S S S 4
CCmxtkoSmtcs
435
&
*H
'yssysr
//yy/s's<ssy^^^
Moiior* fr
■Jnlliny Cmplotpsa
S
tats
WaHro$oH
10
ns*
GCarr
Nkwlbiui
Vtmwamtm 2238
liixwota
CAurofftfifl
Um.noSt*tc$ ZJ.
Dlag. 19. Percentage of Business Workers In Retail Istabllehoents In Leading States, 1935
Source* United States Bureau of the Census, Census of Business.
1935,. Retail Distribution, ▼. V., p. 166.
for original oensus figures upon whleh the abore per oents
art based, see Appendix, page 453,
117
workers in New York State retail establishments Is not higher
than in all the other states analyzed.
Of the six states listed
in this table, New York State ranks fourth with 4.36 per cent
compared with 4.25 per cent for the country as a whole, 5.49
per cent for Illinois, 4.87 for Massachusetts, and 4.81 per
cent for Pennsylvania.
If separate figures were shown for New
York City, it is probable that the per cent of office and cler­
ical workers would not vary materially from that for New York
State.
It is at any rate apparent that the forces which have
been responsible for the concentration of office and clerical
•
workers in New York City in the fields of manufacturing and
wholesale distribution do not appear to apply to retail distri­
bution.
This is probably due to the fact that retail estab­
lishments are necessarily required to be closer to the centers
of population they serve directly and are therefore not usually
in a position to locate their warehouse, selling and administra­
tive departments in different cities.
Chain stores are of course a notable exception, but since
the employees in central administrative offices are not included
in these tables, they have not affected the figures in Diagram
19.
If employment figures for these offices were included In
this occupational analysis, it is quite probable that New York
State and New York City as the most important location of the
home offices of chain stores
would in all probability show a
larger proportion of office workers than other states or cities.
*
Central administrative offices of retail chain organiza­
tions are discussed in Part IV, Financial Institutions,
Chapter V.
118
Occupational Distribution of Workers by Types of
Retail Establishments
The variation In the occupational distribution of workers
in the various types of retail establishments is Indicated in
Table XIII, which gives the number and per cent of total work­
ers engaged as office, sales, and executive workers and propri­
etors in department, five and ten cent, other chain stores, spe­
cialty and total stores.
The average number of employees for
each type of retail establishment is also given because of its
affect upon the occupational distribution of employees.
As
this information is not available for New York City, figures for
the
United States as a whole are used here.
The department
stores show the largest proportion of cler­
ical and office workers.
This does not necessarily imply that
the retail distribution of the merchandise sold by department
stores requires a greater amount of office or clerical work.
It
is quite probable, however, that the larger size of department
stores permits greater specialization in the work of their em­
ployees than in most
In the case of
of the .smaller establishments.
the smaller specialty stores, many of the
clerical duties are performed by salespersons or the proprie­
tors as incidental to their regular sales or executive duties.
It is obvious that with an average of but three workers to an
establishment, little specialization in duties is possible.
Proprietors constitute about one third of this number.
Selling
■
workers constitute another large group with office and cleri­
cal workers accounting for but 3.46 per cent of the total workers.
119
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120
The largest group consists of unclassified retail-store employ­
ees, food workers, and porters, but probably consist largely of
singLe employees whose duties a r e ’"general,11 with selling pre­
dominating.
Chain stores Including five and ten cent variety stores,
which are chiefly controlled by chain-store organizations, show
a still smaller proportion of office employees.
This, however,
is due to the fact that much of the clerical work normally con­
ducted in the Independently operated store would be done away
from the store in a general or central administrative office of
the chain-store operating company.
Employment In such offices
in 1935 accounted for 6.29 per cent of the total workers in
chain-store companies.*
When to this figure is added the 4.72
per cent representing clerical workers in stores, the proportion
of clerical workers in the chain-store business appears compar­
atively large.
This again may be attributed to a high degree
of specialization in work, resulting from large organizations.
Conclusions
Future of New York as a Retail Center
Retailing like all other types of business serving the
public directly will continue to concentrate near the centers
of population they serve.
The growth of retailing as a source
of employment will follow fairly closely the growth of popula­
tion in the New York shopping area.
New York City, in common
with other large cities, serves as a shopping center for a con­
siderable part of the outlying area and to the large numbers of
persons who come to the city dally on temporary visits.
*
See Part IV, Financial Institutions, Chapter V.
The
121
development of chain stores operated by large organizations has
brought to many of the outlying sections of the city the advan­
tages of large-scale distributive methods.
Occupational Distribution of Workers in Retail Trade
The occupational distribution of workers in retail es­
tablishments will continue to be Influenced by two factors:
1.
The development of larger stores will bring with it greater
specialization in services, although the actual amount of each
type of work may not be materially affected.
2.
The development of chain-store systems will result in greater
concentration of the administrative and office functions con­
nected with retailing, in central administrative offices, which
in turn will continue to be concentrated in the larger cities
in general and New York City in particular.
The occupational distribution of workers in retail estab­
lishments does not vary materially in different parts of the
country, and,
if central administrative office employees are ex­
cluded, the per cent of office and clerical workers in New York
State retail establishments is close to the average for the
country.
Changes in Retall-Store Organization Affecting Employment
There are indications that the large centrally located
department store has been losing ground to the Improved spe­
cialty store located at greater convenience to the homes of the
shoppers.
Chain-store organizations have brought to these spe­
cialty stores the advantages of large-scale organization.
122
Some decline in chain-store employment is also noted between
1929 and 1935.
The type of retall-store operation may not materially af­
fect total employment, but it does affect the occupational dis­
tribution of the workers.
The future of chain stores is likely to be largely influ­
enced by future public opinion and legislation.
An increase in
chain stores would result in a decline in the proportion of pro­
prietors and office workers in neighborhood stores and an in­
crease in the proportion of salaried officers and managers.
Em­
ployees in central offices of chain stores would si so Increase
since much of the office work conducted in individually oper­
ated stores would be performed in the main office, and, since
Hew York City is the home of a large proportion of these chain
systems (see Table XXXIX, on page 205), office workers in New
York City will increa.se proportionately.
Specialization in employment increases with the size of
the establishment.
The vast majority of neighborhood specialty
stores will continue to consist of the proprietor and perhaps
one employee.
The various functions of retail distribution will
in all probability continue to be divided among these two, with
little specialization in employment.
The average retail worker
will also continue to be a person who sells, buys s o m e .merchan­
dise, helps with the records, answers the telephone, and pro­
vides other services that are expected of the retailer.
123
Future of Retailing
The future of retailing like the future of wholesaling
as a distinct kind of business Is largely dependent upon its
ability to continue to provide a service for which the con­
sumer would be willing to pay.
Growth in population and the
multiplication of needs stimulated by the introduction of new
commodities have tended to increase the importance of the re­
tailer in the social economy.
The function of retailing is not eliminated when the manu­
facturer attempts to sell his product direct to the consumer
through factory-controlled stores, or when stores likewise at­
tempt to reach out and control the wholesale and productive
agencies in the fields of merchandise they retail.
This com­
bination of functions under one management merely serves to
change classifications of the functionary, without in any way
eliminating production or distribution as a function.
What
form the retailer of the future will assume is merely a matter
of conjecture, but it is quite certain that as long as people
will continue to ha.ve individual needs that will have to be
satisfied in retail quantities,
the workers in retail distri­
bution will continue to find a need for their services.
TABLE QF CONTENTS
VOLUME TWO
Chapter
Page
PART IV
FINANCIAL INSTITUTIONS
I.
Introduction...........................................
Definition of Terms................................
Sources of Data and Other Contributions............
Early Development of Financial Institutions in
New York City.....................................
The Financial Center Today.........................
II.
Banks..................................................
124
124
125
128
129
131
Comparative Position of New York City as a
Banking Center....................................
131
Trend of Employment in Banks.......................
137
Occupational Distribution of Workers inBanks
143
Changes in Efficiency of Employees in Banks......
146
Summary and Conclusions Concerning the Future of
New York City as a Banking C e n t e r and Source
of Employment for Business Workers inBanking...
148
III.. Security Brokers and Dealers.........................
Trends in the Security Business and the Rela­
tive Position of the City of New York as a
Center for This Business................ ........
Trend of Employment in the Security Business
Occupational Distribution of Workers in the
Security Business.................................
Summary and Conclusions............................
IV.
V.
152
152
154
162
165
Insurance Establishments..............................
168
Growth of the Insurance Business..................
Employment in the Insurance Business..............
Occupational Distribution of Workers in In­
surance...........................................
Summary and Conclusions............................
169
170
177
186
Central Administrative Offices.......................
190
(Continued)
Chapter
VI.
VEI.
Sources..........................................
New York City as a Center for Central Adminis­
trative Offices...............................
Trend of Employment in Central Administrative
Offices........................................
Conclusions......................................
191
Other Financial Institutions.......................
208
Buiiding and Loan Associations.................
Instalment Finance and Personal Finance Com­
panies.........................................
Real-Estate Agencies and Brokerage Offices
Summary..........................................
209
192
197
206
210
211
215
Financial Institutions as a Whole..................
217
Summary and Conclusions.........................
217
PART V
PUBLIC UTILITIES
I.
II.
III.
Introduction..............
220
Sources........................................
220
Gas and Electric Light and Power Companies........
223
Relative Position of New York City..............
Business Workers in Electric Light and Power
Companies.......................................
Gas Companies.............. *.....................
224
Transit Companies....................................
Place of New York City as a Transit Center
Business Workers in Street Railway Companies....
IV. Telephone Companies.................................
225
227
229
• 229
230
236
236
Growth of the Industry in New York City.........
Relative Position of New York City in the
Telephone Industry.............................
236
Business Workers in Telephone Companies.........
237
Changes in Productive Efficiency of Workers
in Telephone Companies.........................
239
(continued)
Chapter
V.
VI.
Page
Interestate Carriers...............................
242
Business Workers in Railroad. Companies.........
Business Workers in Telegraph Companies.......
243
243
Conclusions Affecting Employment of Business
Workers in Public Utilities in General and
New York City in Particular.....................
246
PART VI
SERVICE AND OTHER INDUSTRIES AND BUSINESSES
NOT INCLUDED ELSEWHERE
I.
Introduction........................................
250
II.
Hotels..............................................
252
Relative Position of New York City.............
Proportion of Business Workers in Hotels......
252
253
Places of Amusement................................
256
Relative Position of New York City.............
Occupational Distribution of Workers in Amuse­
ment Enterprises..............................
256
Construction Establishments........................
259
Relative Position of New York City.............
Occupational Distribution of Workers...........
259
261
Business Services..................................
265
Relative Position of New York City.............
Public Accountants..............................
Occupational Distribution of Workers in Busi­
ness Service Establishments..................
268
268
III.
IV.
V.
VI.
VII.
Other Services...................................
Establishments Engaged in Non-Business Functions.
257
269
271
273
Public or Civil Service.........................
273
Government Employees in New York City..........
274
Occupational Tistrlbution of Enroloyees in
Government Service............................
276
Business Workers in Professional Offices......
277
(continued)
Chapter
VIII.
Page
Summary.......
Relative Position of the City of Mew York......
Business Workers in Service Industries and
Public Service........
280
281
282
PART IV
FINANCIAL INSTITUTIONS
CHAPTER I
INTRODUCTION
As In the case of all other phases of this study, the
development of financial Institutions in the City of New York
will be analyzed chiefly with the object of determining the
present and future opportunities that they may afford for the
employment of business workers.
This would imply:
1.
An analysis of the probable trends in the
various financial activities in the
United States
2.
The relative position of New York City as
a center for these financial activities
3.
The occupational distribution of workers in
these financial institutions
Definition of Terms
The term "financial institution" covers a wide variety of
establishments performing an equal variety of services that are
more or less closely related.
The 1935 United States Census of
Business conveniently groups these establishments into the fol­
lowing classifications:
1.
Banks (national banks, state banks, private
banks, mutual savings banks, industrial
125
banks, and foreign bank agencies)
2.
Financial institutions other than banks
(security brokers and dealers, 'Federal
savings and loan associations, state
building and loan associations, in­
stallment finance companies, personal
finance companies, mortgage and farm
mortgage comoanies, and "miscellaneous"
institutions not classified separately
because of extreme incompleteness in
coverag^
3.
Insurance companies (carriers, home offices,
branch offices, and insurance agencies
and brokerage offices)3
4.
Real-estate a -encies (realestate agencies
and brokerage offices)^
To this list of financial establishments another group of
organizations will be added;
5.
Central administrative offices of manufac­
turing, distribution, and public-utility
companies
Although the United States Census of Business failed to
include these offices with financial institutions, they are
nevertheless considered here to perform functions that are
closely allied to many of the institutions usually classified
as financial.
Their comparative concentration in the City of
Hew York makes their inclusion particularly important in any
analysis of the economic life of that city.
Sources and Other Contributions
While much has been written about the banks, the New York
1.
2.
3.
4.
United States Bureau of the Census, Census of Business.
1935, Banks. p. li-iii.
Financial Institutions Other than Banks, p. iii-vl.
Insurance, p. lli-v.
Real Estate Agencies, p. ill.
126
Stock Exchange, the insurance companies, a.nd other financial in­
stitutions in New York that should help in determining their
present and future importance in the business activities of the
city (see bibliography), very little Information is available
concerning number of employees.
This is particularly notice­
able when one realizes that number of establishments, amount
of deposits, capital, and other similar data have been consid­
ered a matter of public concern and have been reported annually
by both state and Federal bureaus for the past hundred years.
The United States Census of Business in 1935 made the
first compa.ratively complete analysis of employment in finan­
cial institutions in the United States.
For some unexplained
reason, however, t his>analysis did not provide separate figures
for New York or other cities.
The United States Comptroller of the Currency,
to whom all
national banks report annually, began calling for number of em­
ployees and officers in 1936.
During previous years, amount of
salaries paid were the only data related to employees that were
reported.^
An exception was made in 1913 when the exigencies
2
of the war reauired a count of employees in national banks.
State banks, trust companies, private banks, and mutual savings
banks report annually to the New York State Banking Department,
but these report only the financial condition of these banks
1.
2.
United States Comptroller of the Currency, Annual Report.
1937, p. 107: "Number of officers and employees were
first called for separately in the six month period
ended June 30, 1936."
United States Comptroller of the Currency, Annual Report.
1913, Vol. I.
127
with no information on employment.
The Federal Deposit In1
surance Corporation in its annual report for 1935 gave the
number of employees in insured commercial state banks.
Sep­
arate figures for New York City were not given.
The Securities and Exchange Commission
2
beginning with
1936 reported the number of employees with brokers and dealers
that a.re registered with the Commission.
Exchange
3
The New York Stock
in 1938 made a survey of employment in New York Stock
Exchange houses as of January 1, 1937, and 1938.
No similar
survey was made by the New York Curb Exchange.
Although New York City insurance companies report annual­
ly to the New York State Insurance Department, no data on em4
ployment are given.
The United States Census Reports on Occupations for the
censuses taken in 1870 and 1880 gave the number of persons em­
ployed "in banking" and "in insurance."
At the censuses of
1910, 1920, and 1930, the number of persons engaged in the fol­
lowing occupations were listed separately: bankers and bank of­
ficials, stock brokers, loan brokers and pawn brokers, realestate agents and officials,
managers and officials of insur­
ance companies and insurance agents.
With the possible excep­
tion of real-estate agents and Insurance agents, all of these
1.
2.
3.
4.
Federal Deposit Insurance Corporation, Annual Report.
year ending December 31, 1935, pp. 222 and 226.
Securities and Exchange Commission, Second Annual Report.
Fiscal year ended June 30, 1936.
Table 10, p. 116.
New York Stock Exchange, Department of Public Relations,
Employment in New York Stock Exchange Houses, Press
release dated July 16, 1933.
New York State Insurance Department, Annual Report of
the Superintendent.
128
occupations represent proprietors and officials in financial
institutions.
Clerks and many other types of workers in these
establishments are not separately classified.
The 1890 and
1900 censuses combined bankers, brokers, and other financial
occupations in a way as to make the results of little value
h ere.
Early Development of Financial Institutions in New York City
The history of financial institutions in the City of New
York is in a large sense ah epitome of the financial history
of the country.
The supremacy of the City of New York as the
financial center of the country is today unquestioned.
Conant tells us that "this supremacy, however, was not
undisputed in the early days of the Republic.
On the contrary,
Philadelphia was an important center, partly because it was the
seat of the Continental Congress and the Federal Government,
partly from the existence there of large fortunes and enterprls1
ing financiers. . . . "
New York's importance as a financial center may be said
2
to date from 1784 when the Bank of New York was organized.
About twenty years later, the First Bank of the United States
was established.
The large earnings of these pioneer institu­
tions led to considerable business for brokers in bank stock, it
was this that brought about the establishment of the New York
Stock Exchange.
1.
2.
It started informally in 1782 and organized
Charles A. Conant, The Financial Development of New Y o r k .
in Progress of the Empire State. Vol. I, p. 59.
One Hundred Years of Banking in New York, Banking Law
Journal. XVII, p. 129.
129
formally in 1817.^
The opening of the Erie Canal in 1825 gave New York a
tremendous impetus as a commercial center.
By 1861, the city
has attained a commanding commercial position.
A constantly
Increasing volume of merchandise passed through the Port of
New Y 0rk.
"As this was financed largely by New York banks,
the out-of-town banks were led to carry deposits in New York
institutions.
New York was rapidly assuming a position of
financial supremacy.
By this time, in addition to 52 banks
and the United States Sub-Treasury, many fire-insurance com­
panies, trust companies, and the New York Produce Exchange
Q
and the Clearing House were located in this city."
The Financial Center Today
The relative position of the City of New York today as
a center of employment in financial Institutions is shown by
Table XIV and Diagram 20, based upon figures prepared by the
United States Bureau of the Census from the Census of Business
in 1935.
3
According to these figures, the City of New York
accounts for 19.4 of all employees in banks, insurance com­
panies, and agencies, security brokers and dealers, real-estate
agents and dealers, and other financial institutions in the
country in 1935.
2.
3.
New Ynrk Stock Exchange, Historical Publishing Co., pp.
13-21.
Ralph W. Roby and Donald H. Davenport, Factors Influencing
the Location of the Financial District. p. 33.
Personnel and Pay Roll in Industry and Business and Farm
Personnel by Counties.
130
TABLE XIV
Number of Persons Employed in Financial Institutions, By
Cities and Counties, 1935, With Per Cent of Total
United States, in Each City or County
Number of
Employees
Per Cent of
Total United States
New York City
Chicago
Philadelphia
St. Louis
San Francisco
Suffolk County (Boston)
Essex County, N.J.
Total New York Indus­
trial Area (outside
New York City)
176,958
50,572
34,941
12,335
19,052
25,484
25,103
19.40
5.55
3.83
1.35
2.09
2.79
2.75
39,719
4.36
Total New York State
212,870
23.34
Total United States
911,978
100.00
City or County
a)
Banks, insurance companies and agencies, security brokers
and dealers and other financial institutions.
Source: United States Bureau of the Census, Census of Business,
1935, Personnel and Pay Roll in Industry and Business, and
Farm Personnel by Counties.
'R t / t
C e n tr Of= T o t mi. Un tTmo JSt a t £S
.5
lO
If
20
n i
N e w Yonrc Crrv IMoj
Chicago
£99
U S V V9«K
^mg.1
‘PHJLAPeLTHIA 3&b\
fiurrocK count Y
G c v ro rv
G a s ** CovNrr,l\I.T. 2.7i
3 an HtAwcisco
2.0J
Sr. Louts
1,
NtwYow State 23.51
Diag. 20. Comparison in the Relative Number of Employees In
Flnanolal Institutions by Cities, Expressed in Per Cents
of the Total for the United States, 1935
1
CHAPTER II
BANKS
The United States Census of Business in 1935
classifies
the following types of financial institutions as banks:
National banks
State banks
Private banks
Mutual savings banks
Industrial banks (including Morris Plan)
Federal Reserve banks
Joint Stock Land banks
Foreign banking agencies
The w ork of each of these functionaries in the banking
business is fully described on page lii of the census report
previously mentioned.
Comparative Position of Hew York City
as a -Banking Center
The early development of banking in New York City has
been briefly outlined on page 128.
The more recent growth of
the City of New York as the banking center of the country will
be tra.ced from the statistics available.
Because of the great
variation in the size of banks, number of banking institutions
alone is a most inadequate measure of comparison.
There are no
figures indicating the amount of business done by banks, cor­
responding to net sales of firms engaged in distribution.
1.
Banks, p. ii.
It
132
is probable that debits to individual accounts
#
represent the
most significant measure of volume of transactions, but unfor­
tunately these figures have been made available by the Federal
Reserve Bank only since 1919.
Clearing-house exchanges rep­
resenting the amount of checks cleared through the bank clear­
ing organization of the city extend bac k to at least 1882.
Table XV gives the amount of clearing-house exchanges in
New York City and for the entire United States, as well as the
per cent that Mew York City bears to the total for the entire
country.
The actual amounts of the exchanges, obviously, have
closely followed the trends in economic conditions, since bank
clearances have for a long time been considered an excellent in­
dex of business trends.
Our interest in this table lies large­
ly in the trend in the relationship between New York City and
the rest of the country.
This trend is briefly summarized as
foilows:
1.
New York City bank clearances during the years 1882 and
1936 varied between 53.81 and 76.25 per cent of the total for
the United States.
2.
There appears to be no clearly defined trend in the per cent
of total United States bank clea,rances.
The per cent was over
70 in 1882, 1884, and again between 1928 and 1933.
*
It was 53.81
This represents debits or charges on the books of reporting
member or nonmember banks to deposit accounts of indivi­
duals, finns, and corporations, and of the United States,
state, county, and municipal governments, Including debits
to savings accounts, payments from trust account, and cer­
tificates of deposit paid.
Figures do not include debits
to the accounts of other banks or in settlement of clear- .
ing-house balances, payments of cashiers' checks, charges
to acpense and miscellaneous accounts, corrections and
similar charges.
133
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Abstract
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030
S3
Statistical
u
o
Source:
Clearing
House Exchanges of Banks in the United
With Per Cent of Total Exchanges in
States and New
New York City
York
City
£
O 53 +S
•H
PCO
134
per cent in 1894 and 58.36 per cent in 1936.
Table XVI shows the amount of debits to individual ac­
counts for banks in the cities of New York, Chicago, Boston,
and Philadelphia together wit h the total, for the entire country
In each case, the per cent of the total United States has been
computed.
The amount of debits to individual accounts is shown
graphically on rate of change paper in Diagram 21.
In amount of debits to individual accounts, whioh repre­
sent an excellent measure of volume of transactions, New York
City banks account for about half of the total for the United
States with Chicago, the second leading city, varying around
sight per cent.
No apparent trend is indicated for New York
City for the period for which these figures are available, al­
though New York City does appear to show a tendency to decline
in relative importance since 1933.
Perhaps the greatest single factor in concentrating the
banking business of the country in New York City has been the
tendency on the part of out-of-town banks to keep their sur­
plus funds on deposit with New York City banks.
Under the pres
ent National banking law, interior banks are permitted to carry
portions of their reserve funds in so-called correspondent
banks located in the central reserve cities, of which there
were three; New York, Chicago, and St. Louis.
beginning,
From the very
New York City enjoyed a decided preference over the
other cities as the central reservoir for the funds of the coun
try.
These additional funds have not only created the need for
additional employees in banking,
"but ha.ve assisted in carry-
135
TABLE XVI
Debits to Individual Accounts in the United States and
Leading Cities, With Per Cent of Total United
States for Each City___________________
Amount in Millions
Year
1919
1920
1921
1922
1923
1924
1925
1926
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
Total
United
States
New York
City
Per Cent
of Total
United
States
455,294
483,026
399,036
439,364
463,726
491,691
570,064
607,956
673,861
806,405
935,027
661,957
481,357
322,366
232,706
331,937
374,170
428,606
244,119
241,430
207,095
239,855
238,396
263,530
313,374
339,055
391,558
500,211
603,089
384,639
263,834
167,964
148,449
165,948
184,006
208,936
53.62
49.98
51.90
54.59
51.41
53.60
54.97
55.77
53.11
62.03
64.50
58.11
54.31
52.10
52.51
49.99
49.18
48.75
Amount
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
Boston
Philadel­
phia.
25,240
25,268
27,540
22,074
17,346
12,603
11,128
13,290
14,762
16,942
22,840
25,678
28,253
22,254
17,840
11,097
10,645
13,030
14,741
15,974
City of
Chicago
33,595
37,954
30,832
32,331
35,279
35,723
40,470
42,839
45,970
51,162
58,739
47,094
35,065
23,823
21,939
26,326
31,111
36,612
Per Cent
of Total
United
States
7.38
7.86
7.73
7.36
7.61
7.27
7.10
7.05
6.82
6.34
6.28
7.11
7.28
7.39
7.76
7.93
8. 31
8.54
Ln Millions
San
Francisco
15,052
18,384
16,987
15,055
11,179
7,742
6,899
8,181
9,568
10,638
Los
Angeles
11,199
12,912
14,622
11,999
9,288
6,561
5,590
6,437
8,021
10,216
Detroit
10,225
13,427
14,759
11,693
9,051
6,255
3,807
6,621
8,733
10,616
Source: Statistical Abstract of the United States, 1937, p. 269
136
t-t^oeu
PHt*
Dlag. 21. Trend in Debits to Individual Accounts for Banks
In the United States and Leading Oltles
*
13?
ing on financial undertakings that would otherwise have been
1
out of the question."
Trend of Employment in Banks
In tracing trends in employment in New York City banks,
reference will be made to the United States Census Reports on
Occupations,
the Annual Reports of the United States Comptrol­
ler of the Currency, and the United States Census of Business
for 1935 (see pages 126 and 127).
The figures contained in
these widely separated sources are obviously not comparable.
They are nevertheless of value in showing the changes in the
relative position of New York City as a center for banking em­
ployment in the United States.
United States Census Reports on Occupations. 1870-1880
The changes in the classifications used in the Census of
Occupations to report persons employed in banking do not per­
mit of comparisons over extended periods of time.
Satisfactory
figures of employment in barking as contained in occupational
statistics are available only in the returns of the censuses
taken in 1870 and 1880, when all persons employed in banks were
specifically designated as "clerks and bookkeepers in banks,"
"other employees in banks," and "officials in banks."
At the
subsequent censuses, clerks in banks were included with the gen­
eral classification "clerks."
1.
Parker H. Willis, Wealth and Banking in New York State,
in Alexander C. Flick, History of the State of New
York. Vol. VIII, Chapter IV, p. 118.
138
Table XVII and Diagram 22 furnish a conparison in the
number of persons engaged in banking and brokerage of money
and stock in 1870 and 1880, in the leading cities of the Unit­
ed States with the per cent of total employment in each city.
The figures for the cities of Brooklyn and New York were e ombined to make comparison possible with the City of New York of
today.
New York City in 1870 and in 1880 ranked far ahead of all
other cities in per cent of total bank employment, with the cit­
ies of Philadelphia, San Francisco, Boston, and Chicago follow­
ing in the order named.
During this ten-year period, between
1870 and 1880, New York City appears to have lost some of its
supremacy to these other cities.
The inclusion of stock brokers
in this table in all probability does not materially affect the
relative position of the cities during this period.
Annual Reports of the United States
Comptroller of the Currency
Unfortunately, the reports of the United States Comptrol­
ler of the Currency cover national banks only.
They, however,
provide practically the only recent source of data on bank em­
ployment that would permit Borne analysis of the recent trend in
bank employment in New York and other cities in the country.
Table XVIII and Diagram 23, based upon data contained in
the annual reports of the Comptroller of the Currency, trace
the trend in the per cent of total employment in national banks
in the country for New York and other cities for the period be-
139
TABLE XVII
Number of Persons Engaged In Banking and Brokerage in
Leading Cities, New York State, and the United
States, 1870 and 1 8 8 0 _______________
Number
1870
1880
Per Cent of Total
JUniied States
1870
1880
2,625
1,228
3,853
3 ,664
1 ,529
5 ,192
12.56
5.88
18.44
11.85
4.94
16.79
460
434
401
361
296
303
1 ,085
925
773
632
419
376
2.20
2.08
1.92
1.73
1.42
1.45
3.51
2.99
2.50
2.04
1.35
1.22
7,058
7 ,744
33.78
25.04
20,896
30 ,928
100.00
100.00
Cities
New York
Brooklyn
Total
Philadelphia
San Francisco
Boston
Chicago
New Orleans
St. Louis
New York State
United States
Sources: United States Census Office, Ninth Census (1870), v.
I, Statistics of Population; Tenth Census (1880), v. I,
Statistics of Population.
Petf CV/vr of T otol . Z/t*iT£& SrA-rars
^
<'
11
______
ifewYOAK A NO
0 AOonuYN
pM/c^OfibA/A
'////////A
Saa nvtvc/sM
BOS TO*/
’
//////A
C hicago
1/////A
■1880
N e *j O a lc a v s
S* LOut*
////////////////// IBJO
1ZZ
143
Diftc 22.
Comparison in the Relative Number of Persons En­
gaged in Banking and Brokerage of Money and SJook in Each
of the Leading Cities of the United States,
fna.. 2 *
Expressed in Per Cents of the Total for the United States
20
140
TABLE XVIII
Employment in National Banks in the Leading Financial Cities
in the United States, Expressed in Per Cents of the
Total for the United States
City
Nov.
1918
1925a
1930a
1935a
Dec.
1936
June
1937
New York City
San Francisco
Chicago
Los Angeles
Boston
Philadelphia
10.41
1..47
4.10
.88
1.80
2.61
11.01
1.28
3.34
1.40
2.45
2.19
11.03
5.80
3.05
3.63
3.05
1.98
11.57
7.03
6.36
3.50
2.90
1.98
11.57
7.72
6.36
3.46
2.63
2.04
11.62
8.05
6.45
3.46
2.61
2.02
New York State 15.17
15.76
15.87
15.87
15.84
15.72
a) Estimated.
Figures for 1918, 1936 and 1937 were based upon
employment data given in the Annual Reports of the United
States Comptroller of the Currency for those years (See
Appendix,, page 455 for original employment figures). Per
cents for 1925, 1930 and 1935 were estimated by using the
payroll statistics given in the Annual Reports for these
years.
Sources: United States Comptroller of the Currency, Annual Re­
ports, 1918, 1925, 1930, 1935, 1936, and 1937.
Los A n w l m
Bost'on
Pwi.Aott.rmA
4»1«
us o
to** usr
Diag. 23. Trend In Relative Employment in National Banks in
New York State and the Leading Cities in the United States,
Expressed in Per Cents of the Total for the United States
>
ijzs
141
tween 1918 and 1937. *
The per cent of total national bank employment in New
York City has increased slightly during this nineteen-year per­
iod from 10.15 to 11.41 per cent.
The rate of Increase has
been much higher for the cities of Chicago, San Francisco, and
Los Angeles.
The older financial centers of Boston and Phila­
delphia show little comparative change.
United States Census of Business, 1955
Although this census furnished employment data for all
types of banks,
separate figures were not given for Nevr York
or other cities.
However, the availability of other data for
New York City, such as number of emoloyees in national banks,
and the amount of bank deposits for all types of banks, make it
possible to estimate employment in New York City banks other
than national banks.
#
The distribution of bank employment in the leading states
and New York City in 1935 is shown graphically in Diagram 24,
with the accompanying figures given in Table XIX.
According to
these figures, New York City in 1935 accounted for 18.87 per
cent of the total United States employment in all types of banks.
This compares with 23.13 per cent for the entire State of New
York, and 8.87 and 7.33 per cent for Pennsylvania and Califor­
nia, respectively.
*
.#
The relative position of these cities as shown in Table XVIII
will to a certain extent be influenced by the oroportlon
of national banks in each city.
See Appendix, p. 455 for method used in arriving at estimates.
142
TABLE XIX
Employment in Banks In New York City, Leading States, and
the United States, 1935
State
Number of
Employees
Per Cent of
Total U.S.
New York
Pennsylvania
California
Illinois
Massachusetts
Ohio
New Jersey
Texas
Missouri
Michigan
61,645
23,643
19,523
18,938
12,200
12,113
9,131
9,084
8,308
7,346
23.13
8.37
7.33
7.11
4.58
4.55
3.43
3.41
3.12
2.76
New York City
50,272
18.87
United States
266,458
100.00
Source: United States Bureau of the Census, Census of Business,
1935, Banks.
"P tr*
C m n /T
10
o f
T o ta l.
________
15
U * it s
.p
5t/»tt»
20
CtHT
tfcft/Yomn
23Ji|
VsMNSVLVMIA W?\
C rlifohni* 733.
iL b tN O It
711
MASSHtMUStTTS
■*09
Oh i o
NmiJmnstrSM
M
issouri
JilZ
M /c n « « a m
2.79
u York
Diag. 24. Comparison in the Relative Number of Employ­
ees in Banks in New York City and Leading States in
1935, Expressed in Per Cents of the Total for the
United States
15
143
Occupational Distribution of Workers In Banks
The nature of the work performed by banks permits the
classification of their employees into three general groups:
1.
Clerical employees
2.
Nonclerical employees
3.
Executives and officers
The first group Includes a large variety of specific oc­
cupations, but, in the absence of more detailed information,
the term "clerk" would be adequate for our purpose.
The non­
clerical employees would include watchmen, attendants, porters,
and maintenance workers.
1870-1880
The United States Census Returns on Occupations for these
two periods furnished the information for Table XX, which shows
the number of persons engaged in the three occupational groups
in banks in New York State and the United States for-1870 and
1880, as well as the per cent of total workers in each occupa­
tional group.
During both 1870 and 1880, the proportion of clerks in
New York State banks was considerably higher than for the en­
tire United States.
On the other hand,
"officials" and "other
employees" represented a much larger proportion of the workers
in banks in the United States than in New York State.
For
both the state and the country, the trend during this ten-year
period appears to be towards a smaller proportion of clerks
and an increase in the proportion of executives.
The period is
too short, however, to warrant serious consideration of this as
144
TABLE XX
Comparison in the Occupational Distribution of Workers in
Banks in New York State and the United States, 1870 and
Occupational
G-roup
Clerks and book­
keepers
Other employees
Officials
Totals
Number gm ployees
New York
United
States
State
2,741
93
380
3,214
7,103
424
2,738
10,265
Per Cent of Total
New York
United
States
State
85.28
2.89
11.83
100.00
69.2.0
4.13
26.67
100.00
76.72
6.30
16.98
100.00
65.13
6.79
28.08
100.00
1880
Clerks and book­
keepers
Other emoloyees
Officials
Totals
a)
2,558
210
566
3,334
10,2.57
1,070
4,421
15,748
Separate figures by occupations for employees of banks were
not given for cities in 1870, and 1880.
However, because
of the predominant position of the City of New York in
the banking employment of the state (See page 140) the
proportions given here are sufficiently representative
for the city.
Sources: United States Census Office, Ninth Census (1870), V.
I, Statistics of Population; Tenth Census (1880), I, Statis­
tics of Population.
a trend, but it is apparent that even in 1870 and 1880 the pro­
portion of office workers in banks was greater in New York State
than in the country as a whole.
The United States Census Reports on Occupations attempted
an analysis of employment by industries in 1910, and again in
1930, but in both cases the figures for banks were combined with
brokers of all types, making the results of little value
here.
145
1955
Table XXI Based upon data contained in the United States
Census of Business taken in 1935 gives the number of persons
employed as "executives and corporation officers" and "all oth­
er employees" in banks in New York City, New York State, and
the United States.
The term "all other employees" as used here
refers to all employees other than executives and officers and
1
includes clerks as well as nonclerical workers.
As previous­
ly mentioned,
this information was not given for cities.
The
data given here for New York City are estimates based upon available figures (see page 140 ).
TABLE XXI
Comparison in the Occupational Distribution of Employees
in Banks in New York City, New York State, and
the United States, 1935
Number of Employees
Per Cent of Total
Executives
All
Others
Executives
All
Others
New York City
3,489
46,733
6.94
93.06
New York State
6,220
55,425
10.09
89.91
58,482
207,976
21.95
78.05
United States
Source: United States Bureau of the Census, Census of Business.
1935, Banks.
'
It is apparent from these figures that the proportion of
executives and officers is considerably lower in New York State
and New York City than in other parts of the country.
1.
Banks. p. 11.
This is
146
in all probability due to the greater average size of New York
banks.
The average number of employees for national banks in
New York City in 1935 was 825, compared with 28.4 for New York
State and 17 for the entire country.
Changes in Efficiency of Employees in Banks
The number of employees required to perform the work of
banks,
as in the case of other industries, is largely determined
by changes in the productive efficiency of these workers.
Ac­
curate measures of productive efficiency in bank work are not available comparable to "value of product" in manufacturing or
"sales" in wholesale and retail distribution.
Amount of depos­
its, amount of bank clearings, and debits to individual accounts
are probably the best available indices of bank activity.
Changes in the relative efficiency of bank workers over a
period of years are reflected to a certain extent by the fig­
ures in Table XXII, which gives the amount of deposits in banks
in the United States in 1870, 1880, and again in 1935, the three
years for which total bank employment figures are available.
Here it is apparent that the amount of deposits per employee has
increased substantially from 1870 to 1935.
Amount of bank clear­
ings and debits to Individual accounts are not available for
1870 and 1880.
Trend in the Number of Employees per Bank
The information furnished by the Comptroller of the Cur*
Based upon figures contained in the Annual Report for 1935
of the United States Comptroller of the Currency.
Data
for total banks are not available as the United States
Census of Business did not give figures for New York City.
147
rency of the United States on the national banks of the coun­
try as summarized in Table XXIII makes this analysis possible.
TABLE XXII
Trend in the Amount of Deposits Per Employee in Banks in
the United States, 1870-1935
Year
Deposits
in
Millions
(Dollars)
Number of
Employees
Deposits Per
Employee in
Thousands
(Dollars)
1870
775.1
20,896
37.1
1880
2,222.1
30,928
71.8
1935
51,586.1
266,458
193.6
Sources: Deposits, United States Comptroller of the Currency,
■ Annual Reports; Number of Employees 1870 and 1880,
United States Census Reports on Occupations (see Table
XVII), 1935, United States Census of Business (see Table
XXI).
TABLE XXIII
Trend In the Average Number of Employees Per National Bank
in the United States, 1918-1937
Year
Number of
Employees
Number of
Banks
Number of
Employees
Per Bank
1918
86,845
7,705
11.2-7
1935
114,102
5,431
21.01
1936
118,167
5,374
21.99
1937
122,423
5,299
23.10
Sources: United States Comptroller of the Currency, Annual
Reports, 1918, 1935, 1936 and 1937.
148
While the number of employees in the national "banks of
the United States has increased substantially from 1918 to 1937,
the number of banks has actually declined from 7,705 to 5,229,
with the result that the average number of employees per nation­
al bank in the United States has increased from 11.27 in 1913
to 23.10 in 1937.
Conclusions Concerning the Future of New York City as a
Banking Center and Source of Employment for Business
Worke rs in Banking
New York City in 1935, with 60.33 per cent of the total
bank clearings in the country and 49.18 per cent of the total
debits to individual accounts for banks in the United States
would appear to have a greater share of the banking business of
the country than is indicated by the 18.87 per cent of total
banking employees in that city.
This may be partly due to great
er efficiency on the part of New York City bank employees be­
cause of larger organizations and greater opportunities of mech­
anization of specific tasks, but probably to a greater extent
this may be attributed to the existence of very large accounts
in New York City bsjiks and corresponding larger transactions.
It is obvious that the clerical work required to record the re­
ceipt or payment of a check for $100,000 is not a hundred times
as great as that required to record a check for $1,000.
Such figures as are available do not show any recent im­
portant change in the relative position of New York City as a
banking center or source of banking employment.
is apparent,
it is downward.
If any change
The amount of clearing-house ex­
changes which go back to 1882 appear to reflect cyclical
|
149
changes.
The per cent of these exchanges cleared In Hew York
City has not followed any clear-cut trend.
Similarly the a-
mount of debits to individual accounts in New York City banks
do not Indicate any change in the relative importance of New
York City as a banking center.
In terms of actual employment, there is but little change
from the 18.44 per cent representing the proportion of total
banking employment in 1880 (page 139 ) and the 18.87 per cent of
1935 (page 141 ).
During the intervening years, for which no
data are available, numerous changes in this per cent have prob­
ably occurred.
The more complete figures for national banks
likewise show little change in the relative position of New York
City in the number of national bank employees in the entire
country (page 140 ).
Although the relative position of New York has changed but
little, numerous changes have taken place in the relative posi­
tion of other financial centers of the country.
and,
Philadelphia
to a lesser extent, Boston have definitely fallen in rela­
tive importance, with the western cities of Chicago, San Fran­
cisco, and Los Angeles showing large increases.
As in the case
of manufacturing and wholesale distribution, these changes re­
flect the gradual dispersion of business throughout
the country.
The fact that New York City has been able to maintain its posi­
tion of relative importance in the face of the development of
these new and widely dispersed banking centers is in itself an
indication that its relative position as a future banking cen­
ter will not change materially.
150
Because of the nature of the service rendered by banks,
clerical employees have constituted the major proportion of
their personnel.
The proportion of such employees has been
consistently higher in New York State and New York City banks
than in banks throughout the country as a whole.
Executives
and officials, on the other hand, have been relatively more nu­
merous in banks throughout the country than in New York State
and New York City (see pages 144 and 145 ).
Tills is undoubt­
edly due to the comparatively greater size of New York State
and New York City banks (page 145 ).
There is indication that the productive efficiency of
the worker in banking has shown a tendency to increase (see Ta­
ble XXII, page 147).
Much of this Increase in efficiency has,
of course, been due to the increase in the average size of bank­
ing establishments (page 147 ) and probably more recently to the
gradual mechanization of many operations performed in a bank.
It is unlikely that this mechanization has been completed.
As
a result of recent efforts of banks to reduce their operating
expenses in the face of declining revenues, the next figures
to be published will probably show continued increases in pro­
duction per employee.
The continued increase in the average
size of banks as shown in Table XXIII, page 147 will also tend
to encourage greater mechanization of the work performed in
banks.
Since we are not likely to expect any relative increase
in banking operations in New York City, the continued increase
in the productive efficiency of bank workers means a gradual
151
decline in relative employment In that field in New York City.
Legislation restricting the activities of banks also
tend to reduce employment in that Industry, but, since the usual tendency has been for these restricted activities to be
transferred to some other type of financial institution, the
net change in financial employment is not affected.
Certain conclusions affecting the future of New York City
as a center for all financial institutions will be discussed
in the concluding chapter of Part IV covering financial insti­
tutions.
CHAPTER III
SECURITY BROKERS AND DEALERS
Security brokers and dealers are defined as establish­
ments engaged primarily In the flotation, purchase, sale, and
brokerage of stocks and bonds.'1' Within this broad classifica­
tion, there Is considerable specialization, particularly since
the development of legislation restricting the operations of
security dealers and brokers.
Trends in the Security Business and the Relative Position
of the Clt£ of New York as a Center for this Business
Although information on employment In this business has
been meager in the past, volume of sa.les by dealers and bro­
kers In listed securities is available for the various security
exchanges for a long enough period to indicate trends.
Ade­
quate data are lacking for volume of business done in securi­
ties that are dealt in "over the counter."
Trend in the sales of listed securities on the New York
Stock Exchange, the New York Curb Exchange, as well as the amount of new securities issued during recent years is shown in
Diagram 25.
the counter."
These figures do not Include securities sold "over
If the latter were included in the chart, they
probably would follow the same trend in volume of sales as the
listed securities.
1.
United States Bureau of the Census, Census of Business.
1935, Financial Institutions Other than Ba n k s . p. ill.
iWW
itfui/evs
o r
s h a r k s
2100
VOLimC OF TRADING
S t o c k s
new YORK STOCK CXCHRNGC
_____
_____
N £ H ro m rt G unO K * c n * n o t
2000
700
bOO
500
300
200
200
T 0 1 U M £ OF TRADING
tȣU
Y O R K
S T O C K
N E H
Y O R K
C U R O
'BONDS
_____
E X C H A N G E
_
_
_
_
_
_
_
_
E X C H A N G E
3000
2000
JfcKHf
JSB h
C qrpqt\ r
t
£
Ca y i t h l
Is s u e *
A r --A;
----- -------------------- ---- -
•
..... -
----------
\
I
\ l
\ j —
----- 1 9 )0
1
)
0
0
57 * 0
1 ) 2 0 1 ) 3 0
Dlag. 25. Trend in the Sales of Listed Securities on the New
York Stook and New York Curb Exchanges With the Amount of
New Corporate Issues
Source:
and Financial Ohronloal.
■
154
It Is apparent from this diagram that volume of new and
listed security sales parallels fairly closely the development
and expansion of the corporate form of business organization.
The first period was between 1898 and 1905, the second during
the post-war period, and the last beginning in 1926 and reach­
ing its peak in 1929.
Before the advent of the corporate form
of business ownership in manufacturing and distributive enter­
prises, the business of security dealers and brokers was lim­
ited to the sale of government, bank, and railroad bonds and
stocks.
The security business a.s an important source of em­
ployment in the City of New York can be said to date with the
beginning of the twentieth century.
Pew businesses fluctuate in amount of business trans­
acted a.s do dealers and brokers in stocks and bonds.
It nat­
urally follows that employment in this field fluctuates with
the volatile changes in the supply and demand for securities.
Trend of Employment in the Security Business
Employment trends in the New York City security business
will be traced through the United States Census Reports on Oc­
cupations for 1910, 1920, and 1930, the 1935 Census of Busl*
The list of New York Stock Exchange transactions in 1870
as reported in the Commercial and Financial Chronicle.
XII (January 7, 1871) contains the names of 41 railroads,
7 coal companies, 2 gas companies, 2 mining companies,
3 land Improvement, 1 telegraph, 2 stea,mship, 5 express,
and 4 miscellaneous companies.
The 1880 list, as reported
in the Commercial and Financial Chronicle. XIII (January
8, 1881T] contains the names of 80 railroads, 26 coal
and mining companies, 4 telegraph, 4 express, 2 gas,
1 steamship, and 12 miscellaneous.
No manufacturing com­
panies are Included in either list.
155
ness, the reports of the Securities and Exchange Commission
for the years 1936 to 1939, and the New York Stock Exchange
Survey of 1938 (see pages 126 and 127).
United States Census Reports on Occupations
At the Censuses of Occupations taken in 1870 and in 1380,
security "brokers and dealers had apparently not yet reached a
sufficiently important status to be classified separately.
Em­
ployees of "brokers of money and stocks" were included with em­
ployees in banking (see page 137).
That the number of such em­
ployees was small may be estimated by the comparatively smell
number of securities outstanding and sold on the various ex­
changes at the time (see footnote, page 154).
At the 1910, 1920, and 1930 Censuses, stockbrokers were
classified separately.
Diagram 26 gives the number of persons
engaged in that occupation during 1910, 1920, and 1930 in New
York City and in the eight other leading cities of the country,
with the per cent of the total for the United States in each
city.
These figures do not include clerks and other employees
of stockbrokers, but only proprietors and executives.
They
nevertheless give some indication of the relative employment
and trend of the security business in these cities.
Although
the actual number of stockbrokers in New York City more than
doubled between 1920 and 1930, the per cent of total stockbro­
kers for the country in that city declined from 26.5 per cent
in 1910 to 16.68 per cent In 1920, and again to 15.06 per cent
in 1930.
Similar relative declines occurred in the eastern cit-
156
N umbbi t
ok
Stock &
"fieri Ca n t - o k Umrmo SrrArrms T b rrtu
kokmas
2£
XTshf Yon* C ity
f
10.6ft
4.1+0 7 / / / / / / / / / / / / / / / / / / / / /
C m /m
±
o o
r,n
t
—
632
LjOSAa/OELCS
3>J5
605
324
P“
Sa /JHiArxusoo
Jf
8r
‘
Pm l a p k l p m a
5.03
VsxmoiT
1294
'tie
?3
Sr. Loots
1.27
LIB
122
224
3.22
Cl m b l a n
•±130
1920
1910
L
J
Diag. 26. Comparison in the Number and Per Cent of Total
Stook Brokers in the United States in Leading Cities,
1910, 1920 and 1930
Souroes: United States Census Reports on Oooupations,
1910, 1920 and 1930.
**
157
les of Boston and Philadelphia.
On the other hand, the cit­
ies of Chicago, Los Angeles, and San Francisco have been gain­
ing in relative numbers of stockbrokers.
The comparative de­
cline in New York City stockbrokers may to some extent be due
to the larger establishments in New York City requiring rela­
tively fewer owners and executives, but there has probably
been a corresponding reduction in relative employment.
This
may be attributed to the tendency of New York City security
houses to establish branch offices in other cities in order to
be nearer their customers.
The introduction of private tele­
phone lines has made it possible to place the orders for exe­
cution on New York security exchanges through these branch offices without much loss of time.
1955 Census of Business
Table XXIV and Diagram 27 show the number of active pro­
prietors, total employees, and total workers occupied with se­
curity brokers and dealers in the United States, New York State,
and eight other states leading in employment in this business
in 1935.
Estimates for New York City xirere added. ^
The supremacy of the State of New York, which in the field
*
#
Many of the stockbrokers in 1930 were living in the suburbs
of New York City and therefore were not included with the
occupation returns for New York City.
These estimates were secured by determining the per cent of
proprietors and employees engaged in New York City secur­
ity dealers and brokers registered with the Securities
and Exchange Commission in 1936 in relation to the total
of such proprietors and employees in New York State.
The same per cent was applied to the New York State fig­
ures given in Table XXIV to determine estimates for New
York City employment in this field, in 1935.
158
TABLE XXIV
Proprietors and Employees of Security Brokers and Dealer
Firms in New York City, leading States, and the Unit­
ed States, 1935
Total
Workers
Per Cent
of U.S.
Active
Proprietors
Total
Employees
Nextf York
Illinois
California
Pennsylvania
Massachusetts
Ohio
Michigan
Missouri
Minnesota
4,029
478
401
457
449
233
132
137
66
36,356
7,260
5,259
4,769
4,514
2,332
2,141
1,381
1,318
40,385
7,738
5,660
5,226
4,963
2,565
2,273
1,518
1,384
47.44
9.09
6.65
6.14
5.83
3.01
2.67
1.78
1.63
New York Citya
3,561
35,136
38,697
45.45
United States
7,807
77,329
85,136
100.00
States
a)
Estimated by using figures reported by Security and Exchange
Commission.
Source: United States Bureau of the Census, Census of Business,
. _
1935, Financial Instltutlons pther Than Banks.
"Pern Cant or TOtal Unitso Statics
XO
Sen Yqak
I
S tats
20
30
40
AfM
l l in o is
Ca
l if o r n ia
'Rc/ i n s v l v a n i a
4J1
H A S S A C H tfS fT T -S
O hio
U lC H lO A N
M
is s o u r i
U
i
M lW f C S O T A
IV)
NTew Yo r k
C itY
ASA5
Diag. 27. Comparison in the
With Seourity Brokers and
States in the Country and
in Per Cents of the Total
Relative Number of Total Voxkers
Dealers in Saoh of the Leading
New York City in 1936, Expressed
for the United States
159
of securities is practically synonomous with the City of New
York, is apparent when of a total of 85,136 persons engaged
in this business in the United States in 1935, 40,385 or 47.44
per cent are in New York State and, of these, 38,697 or 45.45
#
per cent of the total are in New York City.
This is probably
as great a concentration of an important business in a single
large city as will be found in this study.
Unfortunately, it
is impossible to estimate the figures for other cities, al­
though,
Judging from the figures given for the states, the cit­
ies of Chicago, Philadelphia, Boston, San Francisco, Los An­
geles, and Pittsburgh probably make up another 27 per cent.
1956-1959 Securities and Exchange Commission
The Securities and Exchange Commission began compiling
data.on firms registered with the Commission under the provi­
sions of the Securities and Exchange Act in May 1936.
This
information is as present available for states and New York
City (see page 127).
Table XXV gives the number of proprietors and employees
of registered security dealers and brokers in the United States
and in New York City with the per cent of the total in New
York City.
These figures furnish the only recent comparable
figures indicating trends in employment in this industry.
The
period of approximately three years covered by these figures,
however, is much too short to indics.te conclusive trends, al*
Although all of these figures fall short of the total per­
sons actually employed in this business in 1935, because
of an inadequate coverage of the industry by the Census
of Business, the relationship between city, state, and
the rest of the country is probably correct.
160
though the following facts are apparent:
1.
The per cent of total United States employment in New York
City has declined steadily during this three-year period from
50.32 per cent in 1936 to 49.25 per cent in 1939.
2.
The decline in the number of employees and number of total
workers between May 27, 1936, and January 31, 1939, may be at­
tributed to a corresponding decline in volume of security sales.
TABLE XXV
Comparison in the Number of Employees and Proprietors of
Security Brokers and Dealer Firms in the United
States and New York City. 1956. 1958. and 1959
NEW YORK CITY*
Date
May 27, 1936
Jan.31, 1938
Jan.31, 1939
Partners
and Officers
Employees
5,766
5,477
5,822
41,049
37,642
35,853
Total
Workers
Per Cent of
United Stat
46,815
43,119
41,675
50.32
49.25
49.25
93,035
87,545
89,961
100.00
100.00
100.00
UNITED STATES
May 27, 1936
Jan.31, 1938
Jan.31, 1939
16,973
16,082
18,186
76,062
71,463
71,775
Source: Securities and Exchange Commission, Annual Reports.
a) The Securities and Exchange Commission in a letter dated
March 25, 1939, explains the New York City figures as
follows: "It is to be noted, however, that the above
personnel figures for New York City registrants report
all their employees in one category, without regard as
to whether the employees were working in New York City
or in out-of-town offices of these New York registrants.
Likewise, the personnel of registrants in other parts
of the United States working in New York City branch
offices is not included for similar reasons."
The
somewhat higher per cent of total United States employ­
ment shown in Table XXV of 50.32 per cent in 1936 com­
pared with the 45.45 per cent reported in Table XXIV
is probably due to the inclusion in Table XXV of em­
ployees of New York City dealers and brokers located
in out-of-town branches.
161
1 938. New York Stock Exchange
The New York Stock Exchange made a survey of employment
in member firms in 1938.
The results are summarized in Table
XXVI below:1
TABLE XXVI
Employment in New York Stock Exchange Member Firms, 1938
January 1, 1938 (Includes all firms 652)
Number
Offices
New York City
Out-of-town
Foreign coun­
tries
Total
Number
Employees
Per Cent
Total
692
26,726
56.50
1,078
19,329
40.86
67
1,245
2.63
1,837
47,300
100.00
January 1, 1937 (Estimate based upon
reports of 647 member firms)
Total
100.00
51,740
Source: New York Stock Exchange, Press Release dated July
16, 1933. Also information solicited by correspondence.
The somewhat surprising fact is revealed here that only
56.50 per cent of total employees of New York Stock Exchange
houses are located in New York City.
Unfortunately, since in­
formation was available for the first time as of January 1,
1938, no indication of a trend is possible.
The typical member of the New York Stock Exchange is a
"commission broker" who derives his business from the public
1.
Unpublished figures contained in a letter from the New
York Stock Exchange, dated November 28, 1938.
These
will subseoxuently be published in the Annual R eport
of the New York Stock Exchange.
162
and must establish his office where it would be most convenient
to his clients.
These clients, of course, are not confined to
New York City, but are scattered all over the country and even
in foreign countries.
This has led to some scattering of ex­
change members throughout the country as well as to the estab­
lishment of branch offices by New York City firms wherever
there is sufficient business to make it profitable.
These
branch offices are connected with the main office in New York
with a system of direct wires, making it possible to place or­
ders in the New York market without delay.'1' Usually no small
part of the staffs of these branch offices have originally
come from the main office in New York City.
Occupational Distribution of Workers in the Security Business
The nature of the security business is such that with
the exception of the comparatively few persons employed as por­
ters, guards, etc., most employees in this field fall into the
general designation of "business workers."
The general classi­
fications of business workers present in any distributive busi­
ness are likewise applicable here:
1.
Office and clerical employees
2.
Selling employees
o,
Proprietors, officers and executives
No Indication of a long-term trend is possible because
in all Census Reports on Occupations, which provided for some
classification of workers by industries, workers in security
1.
Ralph W. Roby and Donald H. Davenport, Factors Influencing
the Location of the Financial District, p. 41.
163
houses were combined with banks, although It should be obvious
that the difference in the character of the service furnished
by both of these financial institutions, as well as the dif­
ference in the methods by which business is secured, should re­
sult in a different occupational distribution of workers.
The Security and Exchange Commission furnishes an occupa­
tional analysis of the personnel of registered security bro­
kers and dealers in New York City and the United States.
Table XXVII classifies these workers into partners, of­
ficers and executives,
salesmen, traders,
customers1 men, and
others, the latter representing other office and clerical work­
ers.
Comparative figures and per cents are given for New York
City and the United States for the years 1936 and 1939.
Num­
ber of employees per establishment is also given because of its
affect upon the occupational distribution of employees.
"Other" employees, which represent clerical and other of­
fice workers, constitute the greatest number of employees in
this business.
The per cent of such employment in New York
City security establishments is consistently higher than in the
United States during both years.
Salesmen, on the other hand,
are more numerous out of town than in New York City brokerage
and security houses.
and executives.
This is true also of partners, officers,
Customers' men are relatively more numerous
in New York City, whereas the per cent of traders varies but
little.
During the four-year period covered by this table, the
proportion of "other" or clerical workers has declined, with
164
TABLE XXVII
Occupational Distribution of the Personnel of Security
Brokers and Dealers in New York City and the
United States, 1936 and 1939
May 27, 1936
Number
New York
United
States
City
Per Cent
New York United
States
City
Partners, Officers
and Executives
Salesmen
Traders
Customers' Men
Others
5,766
3,655
1,655
4,124
31,615
16,973
13,852
3,286
5,732
53,192
12.32
7.81
3.54
8.81
67.53
18.24
14.89
3.53
6.16
57.17
Total Personnel
46,815
93,035
100.00
100.00
January 31, 1939
Partners, Officers
and Executives
Salesmen
Traders
Customers' Men
Others
5,822
3,586
1,556
4,103
26,608
18,186
14,384
3,170
5,804
48,417
13.97
8.60
3.73
9.85
63.85
20.22
15.99
3.52
6.45
53.82
Total,Personnel
41,675
89,961
100.00
100.00
Number of Workers per Establishment
May 27, 1936
January 31, 1939
25.1
20.6
16.1
13.4
Source: Security and Exchange Commission, Annual Reports,
1936 and 1939.
the proportion of executives, salesmen, and customers' men show­
ing corresponding increases.
The proportion of traders varied
but little.
The larger proportion of clerical workers in New York
City security houses and the higher proportion of selling work-
165
ers in out-of-town offices is readily explained by the fact
that selling workers coming in direct contact with the custom­
er must locate nearer these centers of distribution.
The cler­
ical work of the security business can Just as readily be done
in Hew York City where the transaction is very often completed.
The considerably larger proportion of executives in outof-town houses is probably due to the smaller average size of
these houses.
The increase in the per cent of executives from
1936 to 1939 may be attributed to the decrease in the average
number of employees per establishment during that period.
Summary and Conclusions Affecting Employment in
Hew York City Security Houses
The security business in this country expanded with the
development and expansion of the corporate form of business or­
ganization and reached its peak in 1929.
Volume of security
sales fluctuate widely from year to year.
Although the number of stockbrokers in Hew York City in­
creased one third from 1910 to 1920, and more than doubled be­
tween 1920 and 1930, Hew York City's per cent of the total num­
ber of stockbrokers in the United States declined during the
same period.
The direct telephone lines and other devices for
transmitting information quickly has reduced the need for being
near the Hew York market and made it desirable for security
dealers to locate either branches or separate organizations in
cities throughout the country where they can be nearer the cus­
tomers they serve (page 157 ).
In spite of the dispersion of the security business
166
throughout the country, New York still Is the principal secur­
ity market of the United States, accounting during the period
1935 to 1939 for about one half of the personnel in this busi­
ness in the country (Tables XXIV, XXV, and XXVI).
Data on the occupational distribution of workers in this
field are available for too short a period to be conclusive.
It nevertheless appears probable that m o r e of the clerical work
connected with this business will be done in New York City, and
an increasing proportion of the sales employees located in the
branch or out-of-toxim offices (Table XXVII).
In all types of
offices, both New York and out-of-town, the tendency is towards
a smaller per cent of office workers and an increase in the
sales personnel, such as salesmen and customers' men.
This may
be due to improved efficiency on the part of the office staff
or to the need for greater sales pressure in the face of de­
clining business.
Employment figures for this business are not available
for a Ion?:; enough period to indicate changes in the productive
efficiency of workers.
Much of the work performed in security
houses can be mechanized.
This is, of course, more applicable
#
to clerical than to selling workers.
The combination of forces affecting the employment of
business workers in the security business in New York City
would appear to lead to the general conclusion that the rela­
tive number of New York City workers in this field will decline,
*
Recent changes in the procedure for clearing stocks and
bonds through the New York Stock Exchange are said to
have effected a saving of six per cent in the "back
office" expense.
167
with selling employees declining at a much greater rate than
clerical employees.
The actual number of workers will vary
with the supply and demand for securities, which is something
that no one has yet been able to forecast with certainty.
The security business will continue to perform the func­
tion of financing the business of the country by distributing
the securities of corporations as well as municipal,
and Federal governments.
state,
The extent to i«hich their business
may be curtailed by regulation and legislation is not as yet
determinable.
CHAPTER III
INSURANCE ESTABLISHMENTS
The insurance business embraces a number of different
types of establishments.
The types of insurance businesses to
be included will follow closely the classifications used by
the United States Census of Business of 1935.^
These fall in­
to the following broad classes:
Carriers:
All types of insurance coverage are included.
How­
ever, companies reporting title insurance or the guarantee of
mortgages as their principal insurance activity are included
with other financial institutions.
State insurance funds have
been omitted.
Home offices:
The principal United States office of foreign
carriers have been considered the home office for our purposes.
Brs.noh offices:
These include all offices considered as branch,
departmental, or managerial offices by the various carriers.
Insurance agencies and brokerage offices:
This classification
includes insurance agencies, subagencies, and brokerage offices
identifiable as business establishments.
These may be described
as the retailers of the insurance business.
A further classification is made of insurance carriers by
kind of insurance carried.
The classes listed in the Census of
Business are life, fire and marine, and casualty, surety, and
1.
Insurance. pp. ill, iv, v.
169
miscellaneous
Object of Study
As in the case of all other aspects of this study, our
interest in the Insurance business will be confined to an anal­
ysis of the opportunities it will afford for business employ­
ment in the City of New York in the light of trends in the in­
dustry and past employment statistics.
growth of the Insurance Business
The tremendous growth of the insurance business in New
York State is indicated by the following table which shows the
total assets of insurance companies by tyoe of insurance for
ten-year periods from 1894 to 1934.
No separate figures are
available for New Yo^k City.
TABLE X X V i n
growth of the Insurance Business in New York State
Kind of
Insurance
Company
Life
Fire and Marine
Casualty and
Surety
Fraternals,etc.
Title and mort­
gage
Retirement
systems
Total
Total Assets in Millions of Dollars
1894
1904
1914
1924
1934
1,056
256
2,454
404
4,637
741
9,007
1,783
19,091
2,123
19
22
70
41
186
151
764
416
1,088
751
4
25
97
172
89
421
1,357
2,994
5,812
12,142
23,563
Source: New York State Insurance Department, Annual Report.
1935, v. I, p. 10.
1.
Insurance. pp. ix, x, xi.
170
Marine insurance was the principal business of the early
New York companies and as such was conducted largely in New
York City near the center of maritime traffic.
The same com­
panies soon branched out to cover fire and other risks inci­
dental to the conduct of business.
During the past forty years,
however, the greatest gain has been in the field of life in­
surance, a business which is dependent more upon population
than upon commerce.
The insurance principle is today being applied to cover
a constantly increasing number of risks, with the result that
the insurance business has become a relatively Important source
of employment.
In 1934, 830 private insurers were authorized to trans­
act business in New York State.
On the basis of assets, these
companies represent 84 per cent of all legitimate insurance ln1
terests in the United States.
Employment in the Insurance Business
The sources to be used in tracing the relative trend of
insurance employment in New York City will be the United States
Census Reports on Occupations for 1870 and 1880 as xirell as for
the period 1910, 1920, and 1930, and the United States Census
of Business for 1935 (see pages 126 and 127).
United States Census Reports on Occupations
As in the case of banking, satisfactory figures of the
1.
New York State Insurance Department, 0£. olt.. p. 10.
171
number of persons In the Insurance business were available for
the first time as a result of the Censuses taken in 1870 and
1880, when all persons employed in Insurance companies were
s-oeclfically designated as "clerks and bookkeepers in insur­
ance companies," and "officials of insurance companies."
No
such distinctions were made at the subsequent censuses.
Table XXIX and Diagram 28 show the number of persons en­
gaged in insurance in the leading cities of the United States
in 1870 and in 1880, with the per cent of total employment in
each city.
Figures for the cities of Brooklyn and New York
xvere combined to make comparison possible with the City of New
York of today.
New York City in 1870 had but 10.07 per cent
of the total persons occupied in the insurance business in the
United States and 12.06 in 1880.
Although there was a sub­
stantial increase in the relative position of New York City
during this ten-year period, the city had a considerably small­
er proportion of the country's insurance workers than it did
of banking employees (see page 139).
The cities of Philadel­
phia, Chicago, Boston, San Francisco and St. Louis follow in
the order named.
The three eastern cities of New York, Phila­
delphia, and Boston show increases during the ten-year period,
whereas all of the western cities show relative declines.
The United States Census Reports on Occupations for the
years 1910, 1920, and 1930 did not classify clerks in insur­
ance companies separately, but did furnish separate figures for
"managers and officials of Insurance companies" and for "in­
surance agents."
Data for managers and officials do not re-
TABLE XXIX
Number of Persons Engaged in Insurance in Leading Cities,
New York State, and the United States, 1870 and 1880
Number
Cities
1880
1870
New York
Brooklyn
Total
Boston
Chicago
Philadelphia
San Francisco
St. Louis
New York State
United States
Per Cent of Total
Unit;ed States
1880
1870
6.80
5.24
5.26
4.83
12.06
10.07
730
674
1,404
1,207
934
2,141
243
559
303
262
540
409
505
575
813
306
1.74
4.01
2.17
1.88
3.87
2.30
2.85
3.24
1.76
1.72
2,695
3,949
19.33
22.25
13,941
17,750
100.00
100.00
Sources: United States Census Office, Ninth Census (1870),
v. I, Statistics of Population; Tenth Census (1330), v.
I, Statistics of Population.
P e n Cm.r*T o p
fifeh/ Y o a k a m o
To t a l .
U n it s d JSt a t s s
IZ.06
Bnooirov/w
’Pmumoei.PHi/A
Cmemao
Q ostoh
Oa h Ph a h c is c o
SB
S t.Louis
WttsJ VonK
S tatk
Diag. 28. Comparison In the Relative Number of Persons Engaged
In Insurance In Eaoh of the Leading Cities In the United States
1870 and 1880v Expressed In Per Cents of the Total for the
United States
173
fleet the trend of general employment In Insurance companies,
hut indicate rather the trend of "executives and officials."
The number of Insurance agents as reported during this
same period furnishes perhaps the best available measure of the
trend of insurance employment in cities for the years 1910,
1920, and 1930.
Diagram 29, which gives both the number of in­
surance agents reported in the nine leading cities of the Unit­
ed States for each of these census years, as well as the per
cent that each city has of the total for the country, indicates
the following trends:
1.
The actual number of insurance agents increased consider­
ably in each of the cities listed, the Increase froiA 1920 to
1930 being at a greater rate than from 1910 to 1920.
The aver­
age increase from 1920 to 1930 is approximately one hundred per
cent.
2.
In per cent of the total United States employment in this
occupation, New York City increased from 8.25 per cent i n '1910
to 8.88 per cent in 1920, but declined to 7.95 per cent in 1930,
with a net decline for the twenty-year period.
The same is
true for the cities of Philadelphia, St. Louis, Boston, and
Cleveland.
since 1920.
Chicago and San Francisco show relative declines
On the other hand, the cities of Los Angeles and
Detroit show constant increases in per cent of total United
States insurance a.-ents.
The total per cent for these nine cit­
ies showed a decline from 1920, indicating that insurance agents
are being dispersed over a larger area., probably in closer re-
174
It v n a e a o f I n su r a n c e A g e n t s
10
.We w Yokh C '/tv
71th Cttrr o f Uh/tco Statss T ’
f tau
20
1
~I
~1
20,42 7 ■
iai t a
2
T
3
4
5
6
7
r
i
i
i
i
E
C h ic a g o
1$
ssp
k
vxyy///+
y///yyy/yy////xjr/xz^/y/^
,
P h il a d e l p h ia
5.m
3,032
Z\S5 __
CiOSA n OElK s
422
VSL
F "
s?o r
r/s/s*
Dmrmoir-
3,768 m
H U
m
f
S t. l o l h s
3 ,0 0 9
2.254 ^
2,330 P
v/s/A
Saw Faavoiacc
2,711
1,808
8BS
8 » « r< V
.63
J.Oi
CLEVEL AH
100
2.111
1.021
.82
35
792
•*>
i?30
1720 '////////////////////////////////////
J
13201
Dlag. 29. Comparison In the Number and Per Cent of Total
Insurance Agents In the United States In Leading
Cities, 1910, 1920, and 1930
Bouroes: United States Census Reports on Occupations, 1910,
1920 and 1930.
i
!
175
latlonshlp to population.
It will be noticed that the per cent
of insurance agents in New York City during the years 1910 to
\
1930 is considerably lower than the per cent of total United
States insurance employees reported in 1870 and 1880.
This
does not necessarily indicate a relative decline in total in­
surance employment in New York City, since the 1870 and 1880
figures included all employees.
As will be shown la.ter, a larg­
er proportion of the total office workers in insurance are em­
ployed in New York than the per cent of total insurance agents.
United States Census of Business. 1955
This census furnished separate data for the different
types of insurance establishments, such as insurance carriers,
home offices,
insurance carriers, branch offices, and insurance
s,gencies (see page 168 ).
Unfortunately, as in the case of bank­
ing and other financial institutions, the Census of Business
did not publish figures for the various cities except for in­
surance agencies.
Moreover, there does not appear to be a sat­
isfactory measure of volume of business by cities to permit an
estimate of the proportion of New York State employment in New
York City.
Diagram 30 shows the relative position of the leading
states as a source of employment in the three types of insur­
ance offices.
It is apparent from this diagram that New York
State with 28.14 of the total insurance home-office employment
in the country predominates as the location of home offices of
Insurance carriers.
third, respectively.
Connecticut and New Jersey are second and
In number of insurance carrier branch-
176
In s u r a n c e C
arriers
H
~Rb r*
JO
TJb n Yo r h
to
arriers3 ravc»
Zfatrjro S«rfi.s
Ce/v-r o p
26
Of f i c e s
10
10
2&X1
C o n n e c t ic u t
P.S[
N e u -J e r s e y
P-lf\
M assac husetts
In s u r a n c e C
Offices
ome
8 -i0 \
I l l in o is
PENNSYLVANIA
M a r Yl a n o
C a l if o r n ia
M is s o u r i
M ic h ig a N
^jUDiRNR
I n s u r a n c e A gen c i e s
N e N y'
o v .x
14.20\
N eu )Je r s e y
l.bo\
A
ll
I
nsurance
I
sta& u s h m e n t s
C On/n/EVTtcur 144
Massachusetts
3.5&|
I l l in o is
^NNSYLUAN'A
M a r y l a n o
Oh i o
TEXAS
California
M
i ss ouri
M iohkzriJ
Iu J U 'A N A
’J E n ) V o e r c C :T /'’) 4 4
Dlag. 30.
Comparison in the Relative Number of Employees in
Insurance Companies (Carriers, Home Offices and Branch Of­
fices, Insurance Agencies and All Insurance Establishments)
in Leading States in 1935, Expressed in Per Cents of the
Total for the United States
Source: United States Census of Business, 1935, Insurance.
See Appendix, page 455 for original census figures.
177
office employees, New York State accounts for 18.65 per cent of
the country's total.
Illinois Is second with 10.02 per cent
and Pennsylvania third with 9.62 per cent.
Employment in the
"branch offices of insurance carriers Is obviously distributed
much more widely than in home offices.
In insurance agencies,
which represent the retailers of the insurance business, the per
cent of total employment in New York State is still less, 14.20
per cent.
Separate figures for this group are available for
New York City and show that 9.44 per cent of the total workers
(including proprietors and employees) in real-estate agencies in
the United States are in New York City.
This does not indicate
any important concentration of this business in that city.
Insurance carrier branch-office and insurance agency em­
ployment appear to be distributed in closer relationship to
population than the home offices of insurance companies.
Some
explanation of this will be found in the occupational analysis
of the workers in each of these types of insurance establishments
and the functions performed by each.
Occupational Distribution of Workers in Insurance
Workers in the insurance business fall into the following
general groups:
1.
Clerical employees
2.
Direct selling employees
3.
Executives and officers
4.
Other employees
Because of the nature of the service supplied by insurance
establishments,
selling is a much more important function than
178
has been found to be the case with most other financial lnstltutions.
1870-1880
Table XXX, based upon data contained In the Census Reports
on Occupations taken during these two periods, shows the occupa­
tional distribution of workers in insurance in 1870 and in 1880.
Selling employees are not listed separately at these censuses,
but form the major part of the group designated as "other em­
ployees."
The information is limited to Nexv York State and the
United States, since no analysis was made of the New York City
figures.
TABLE XXX
Comparison in the Occupational Distribution of Workers in
Insurance Companies in New York State and the
_______________ United States, 1870 and 1880________________
1870
Number Employees
New York
State
Clerks and book­
keepers
Other employees
Officials
Totals
Per Cent of Total
United
States
New York
State
United
States
436
1,568
16.18
11.25
2,117
142
2,695
11,611
762
13,941
82.26
5.27
100.00
83.29
5.47
100.00
1880
Clerks and book­
keepers
Other employees
Officials
Totals
892
2,830
22.59
15.94
2,631
426
3,949
13,146
1,774
17,750
66.62
10.79
100.00
74.06
9.99
100.00
Sources: United States Census Office, Ninth Census (1870), v.
I, Statistics of Population; Tenth Census (1880), v. I,
Statistics of Population.
179
In comparing figures for New York State and the United
States, it is apparent that the proportion of clerical workers
was higher in New York State than in the country as a whole,
whereas the per cent of "other employees," consisting largely
of selling employees, was higher in the United States than in
New York State.
The variations in the per cent of officials
were not important.
The per cent of clerical employees increased in 1880 over
1870 for both the state and country as a whole.
The per cent
of "other employees," which Includes selling employees, declined
and the per cent of officials Increased during the same period.
1910-1950
Table XXXI is based upon an analysis of persons employed
TABLE XXXI
Comparison in the Occupational Distribution of Persons Engaged
in the Insurance Business in the United States, 1910 and 193D
Occupational
Group
Executives
Professional
workers
Clerical and
office
Selling in­
cluding
agents
Mechanical,
et<?.
Totals
1910
Number
9,639
Per Cent
Total
6.30
1930
Number
29,308
Per Cent
Total
5.78
296
.19
4,372
.86
57,318
37.47
209,736
41.34
85,264
55.74
257,163
50.69
447
152,964
.29
100.00
6,720
507,299
1.32
100.00
Sources: United States Bureau of the Census; Thirteenth Census
(1910), Population, v. IV, Occupation Statistics; Fifteenth
Census (1930), Population, v. V, Occupation Statistics.
180
in the insurance business in the United States as reported by
the Census of Occupations in 1910 and 1930.
During this twenty-year period, the per cent of clerical
employees has continued to increase from 37.47 per cent in 1910
to 41.34 per cent in 1930.
Sales employees which are classified
separately here still represent the largest single occupational
group, but show a decline from 55.74 per cent in 1910 to 50.69
per cent in 1930.
Executives have declined slightly.
Profes­
sional as well as nonclerical employees, while still a very small
proportion of the total personnel in insurance, show considerable
increases during this period.
1955
The United States Census of Business provided a more com­
plete analysis of Insurance employment in 1935 for both the
United States and New York State. Separate figures are avail­
able for the different types of insurance offices described on
page 168.
In the absence of separate figures for the City of New York,
the comparison will be made between the State of New York and the
entire country.
It should not be assumed that the ratios for the
City of New York would be the same as for the state, although,
in view of the Important part of the total state's insurance em­
ployment located in New York City, the relationship should be
particularly high.
Diagram 31 shows the per cent distribution of persons em­
ployed as office and clerical employees, direct selling employ­
ees, executives, salaried officers and proprietors in insurance
181
Q p Pi C€
10
amo
C
l s h ic a l
20
"
<96541
77-751
Hons
Omits
I
Branch
E n P e o ru s
30
40
I
I
“P t n
SO
Cknt
60
o r Httac
70
I
0wic *5
Ih s u r m c c 53.9?
A»cnc«is AS&zl
I n SVAANCS
CrffEAt. f t -
L
420;
tKTE Orrns 3C6Q
Oioccr
S tL L in o
EM PLorees
Hone
Omen
t
Branch
46.61
Omen
49.50
XNSVAAMCC 1&8S
Aocmocs 2616
tvSUMAMCf
&f?cw. ft- 255<
tatc omceslSSf
E x c c i /r/vse, S a l a m i c p O f f / c s m & " P n o m iE T O P s
Hons
Of f ic
h
/s/x//ys/sssssrs/s//sy//x/ssr
s
Branch
Off ten
iNSUMKt
Am n i a *
Zmsiwancc
.
6 ffCAi.Cs- z£$|
T F ttt Q m tA *3% **
Blag. 31. Percentage of Business Workers in the Insurance Buslnel
Carriers, Home Offices, and Branoh Offioes and Agencies In Nev|
York State and the United States, 1935
Souroe: United States Census of Business, 1936, Insurance.
See Appendix, page 456 for original census figures.
181
O f p i c c amo C l s a i g a l
20
xo
,
E n P L o rtts
30
40
'P e n C * * r r
o r T b rA t,
SO
60
TO
90
I
D iffe iT
S
c l l in g
E
m p l o y e s
cur/vc», S a l a a / e p O f f / cers & 'P r o p r ie t o r s
2
NCM/ V O R rf S M t t
V N lflO
$ T A fM
5
Percentage of Bus1ness Workers in the Ineuranoe Business;
s, Hone Offices, and Branoh Offloes and Agenoies In Mew
ate and the United States, 1935
lted States Census of Business, 1935, Insurance*
endlx, page 456 for original census figures*
182
carriers (home offices), insurance carriers (branch offices),
and insurance agencies, as well as for insurance and real-estate
agencies.
This occupational distribution of workers by type
of insurance functionary shows the wide variation in the type
of worker required for home offices of carriers, branch offices,
and insurance agencies.
Insurance Carriers (Home Offices)
The personnel of home offices of insurance carriers in
both the State of New York and the entire country consists large­
ly of office and clerical workers.
In New York State, the per
cent is 86.5 compared with 77.7 for the entire country.
other hand,
On the
direct selling employees and executives and salaried
executives are relatively more numerous in insurance home of­
fices throughout the country.
The larger per cent of direct sell
ing employees is readily explained b y the fact that sales work­
ers a.re necessarily distributed in greater relationship to the
population they serve.
The greater proportion of office and
clerical workers is probably due to a larger proportion of the
company's general administrative office work being conducted in
New York State main offices.
The smaller proportion of execu­
tives and salaried officials in New York State may be readily
ascribed to the larger average size of the offices of New York
State insurance carriers.
The average number of employees per home office is 40
for the entire country compared to 294 for New York State home
offices.
Furthermore, only 12.9 per cent of the carriers in
the United States report subsidiary offices, compared to 29.4
183
per cent of the Insurance carriers in New York State.
»
Much of
the office and clerical work for the branch office is done in
the main office of the company.
Insurance Carriers (Branch, Departmental and Managerial Offices)
Direct selling employees represent the most numerous group
in branch offices in the entire United States with 49.58 per
cent of the total employment, with office and clerical employ­
ees slightly less with 42.12 per cent.
offices,
In New York State branch
clerical workers are most numerous with 47.25 per cent,
with direct selling employees not far below lirith 46.61 per cent
of the total employed.
Executives and salaried officers, as in
the case of home offices, are comparatively fewer in New York
State than in the country as a whole.
The function of the branch office of the insurance carrier
is apparently more directly related to sales than the home of­
fice.
The larger proportion of clerical workers in New York
State branch offices may be due to a larger proportion of the
clerical work connected with the insurance transaction being
conducted by the branch office when the branch office is located
in the State of New York.
As in the case of home offices, the
smaller proportion of executives in New York State branch of­
fices is probably due to the larger average number of employees
in New York State offices, 32 compared to 15 for the entire country.
*
1.
1
Based upon data contained in the United States Census of
Business. 1935, Insurance. Table 1, p. 1.
United States Census of Business. 1935, Insurance. Table
1, p. 9.
184
Insurance Agencies and Brokerage Offices
Proprietors represent a much more important element In the
personnel of insurance agencies and brokerage offices, as well
as insurance and real-estate offices, than has been the case with
insurance carriers.
The proportion is much higher for the en­
tire country then for New York.
This is due to the fact that the
average insurance agency is a comparatively small organization
managed by the owner, with an average of 3.6 employees per es­
tablishment in New York and 2 for the country as a whole.^
Office and clerical employees form the largest single group
of employees for both groups of insurance agencies, with the per
cents for New York State considerably higher than for the entire
country.
Direct selling employees are, inversely, more numer­
ous throughout the country than in New York State.
These varia­
tions in per cents may be due to differences in the method of
conducting an insurance agency business or to the slightly larger
average size of the New York State agency, which permits greater
specialization in work.
Trend of Occupational Distribution in Insurance 1870-1955
Throughout this entire period, or at least for those years
for which information is available, the proportion of office and
clerical workers in New York State insurance offices has been
higher than for the entire country.
The proportion of office and clerical employees in the in­
surance business has increased steadily as shown by the follow­
ing summary based upon the data contained in the foregoing pages:
1.
United States Census of Business. 1935, Insurance. Table
1, p. 15.
185
TABLE XXXII
Trend In the Per Cent of Total Workers In Insurance Engaged
in Clerical and Office Work, 1870 to 1935
New York State
1870
1880
United States
11.25
15.94
16.18
22.59
1910
1930
1935
37.47
41.34
*
#
52.25
67.57
It Is not contended that the figures for the various peri­
ods are completely comparable, but there can be little doubt that
there is sufficient evidence here to indicate a definite trend.
This increase in the proportion of office and clerical
workers in insurance may be due to changes-in the methods of se­
curing insurance business, as well as increase in the average
size of the insurance establishment, with resulting greater spe­
cialization in functions and duties.
It is also quite possible
that the missionary work performed by the direct salespersons
and agents throughout the early years of insurance in this coun­
try is gradually reducing the need for the direct salesman and
placing a greater part of the work in distributing insurance ser­
vices upon the worker in the office.
This is further illustrated with the following figures on
life-insurance companies based upon figures published in the In­
surance Yearbook of the Spectator Company.^
Although these figures are of course affected by changes
*
1.
Average for all types of insurance establishments (see
Appendix, p .456).
Summarized in the Statistical Abstract of the United States.
1937, p. 278.
186
in the wage and salary schedules paid to both groups of work­
ers, the general trend is nevertheless clearly defined.
Life-
insurance companies apparently require a larger proportion of
agents or direct selling workers than do the general run of in­
surance companies.
The general trend in the proportion of sales
workers required is definitely downward.
TABLE XXXIII
Distribution of Salaries, Commissions, and Expenses Paid
to Agents and Other Employees of Life-Insurance
Companies in the United States, 1900 to 1935
Year
Per Cent of Total Salaries, Commissions
and Employee Expenses Paid to
1900
1910
1920
1930
1933
1934
1935
Agents
Other Employees
82.46
77.09
80.72
78.75
73.84
74.77
75.33
17.54
22.91
19.28
21.25
26.16
25.23
24.67
G-eneral Conclusions
The insurance business in New York State has multiplied
approximately seventeen times during the past forty years (Table
XXVIII, page 169).
Although fire and marine insurance were o-
riginally the most important types of insurance carried by New
York companies, the greatest increase has been in life insurance.
Actual employment in the insurance business in New York
City has increased considerably from 1870 to 1930 (Table XXIX,
and Diagram 29, pages 172, 174).
Despite this very large in­
crease in actual numbers, New York City accounts for a smaller
proportion of the total United States insurance agents in 1930
187
than in 1920.
The per cent of office workers in the insurance business
has increased from 11.25 per cent in 1870 to 52.25 per cent in
1935 for the entire country.
In New York State insura.nce estab­
lishments, the per cent of such workers has increased from 16.18
in 1870 to 67.57 per cent in 1935 (page .185).
It is apparent
that the proportion of office employees has been consistently
higher in New York State (no separate figures are available for
New York City) than for the entire United States.
The figures
in Table XXXIII (page 186) also show that a constantly smaller
proportion of the total salaries paid by life-insurance companies
are being paid to agents.
The reduction in the relative number
of agents and corresponding increase in office workers in the in­
surance business during this period may best be explained by a
decline in the need for direct solicitation of insurance business,
with a corresponding increase in the proportion of insurance busi­
ness placed direct with the office.
The insurance business actually consists of a number of dif­
ferent types of businesses, each varying in factors influencing
location and growth as well as in composition of personnel.
Un­
fortunately, separate data for the va.rious functionaries in this
business were available for the first time in 1935, with the re­
sult that comparisons with preceding periods are not possible.
However, an examination of the factors Influencing the location
and personnel of the various types of insurance businesses may
assist in indicating trends.
Insurance carriers representing the companies that assume
188
the risk and maintain large cash resources and reserves find it
desirable to locate near the financial center of the country.
The practice of dividing large risks among several insurance car­
riers has also tended to concentrate their home offices in socalled insurance centers.
Favorable state legislation has also
influenced the location of insurance con?)any. home offices in such
states as Connecticut and New Jersey, states that do not other­
wise rank high in financial and commercial Importance.
The con­
tinued presence of the financial center of the country in New
York City would imply a continuance of the maintenance of home
offices in that city in the absence of state legislation that
would make it desirable for Insurance companies to locate elsewhe re.
The greater part of the work done in the home office is
clerical (see Diagram 31, page 181), and this largely of a rou­
tine type that may readily be transferred to other communities
where clerical labor is readily available and not otherwise oc­
cupied.
Such a transfer of office labor has been seriously con­
sidered in the pa.st.'*'
It is obvious that Insurance companies
would find lower rentals, if not also lower wage and salary
levels, a sufficient Incentive to make the move, were it not for
the fact that the larger insurance companies have found it good
publicity to acquire their own buildings in New York City.
This
considerably lessens the possibility of their removing much of
their home-office staff in New York City to other cities in the
1.
Goodrich and others, Migration and Economic Opportunity,
p. 302: "It has been suggested that certain of the In­
surance companies and other businesses employing very
large staffs of routine clerical workers, might find it
more economical to transfer a considerable fraction of
their work to lower rent comraunities."
189
nea.r future.
The situation with branch offices of carriers and agencies
is quite different.
Their function is chiefly to solicit and
distribute the insurance services of the carriers and as such
they must locate in closer proximity to the consumers of their
services.
Branch offices and agencies, like the retail dealers
of merchandise, will continue to follow population movements.
The routine type of work which constitutes the greater part
of the office work of the Insurance companies is particularly
vulnerable to mechanization.
Centralization of the administra­
tive and office functions of these companies in large cities,
such as New York, will make the introduction of highly specialized
machines profitable and in the long run reduce the proportion of
office workers required to carry on the insurance business of the
country.
The proportion of agents has already been reduced as
previously mentioned on page 186.
An inevitable continued ex­
pansion in both the old and new types of insurance should make
up for the "increased efficiency" of workers in this business.
It is apparent that in the insurance business, as has been
the case with manufacturing, distribution, and security dealers
and brokers, the tendency has been towards a greater concentra­
tion of the office and administrative functions in New York City
of companies doing a national business.
Persons engaged in direct
selling are not concentrated in any particular location, but are
distributed in fairly close relationship to the consumers of the
services they sell.
The proportion of proprietors and executives
has varied with the size of the insurance establishment, declining
with every increase in the average number of employees per estab­
lishment.
CHAPTER IV
CENTRAL ADMINISTRATIVE AND EXECUTIVE OFFICES OF MANU­
FACTURING, RAILROAD, PUBLIC UTILITY, MINING, CHAIN
STORES, AND OTHER BUSINESS ESTABLISHMENTS
The United States Bureau of the Census defines an admin­
istrative office as a separate establishment maintained in con­
nection with the activities of multi-unit manufacturing or busi­
ness organizations.
The personnel of offices located at the
same addresses as manufacturing plants or at the addresses of
establishments engaged in wholesale or retail distribution or
other types of business are included with the employees of these
buslne sses.'1'
The typical executive or central administrative office is
concerned with the administration of financing, marketing, and
2
production.
The financial operations of the administrative of­
fice are, however, the functions that distinguish it from the
sales office, branch office, or purchasing office, and which jus­
tify the inclusion of this type of establishment with financial
institutions.
Many of these offices of course also serve as
sales, purchasing,
and production or engineering offices, but,
in the absence of detailed figures, the entire personnel is in1.
2.
Census of Business. 1935, Personnel and Pay Roll in
Industry and Buslness. and Farm Personnel, by Counties,
page xviii.
Ralph W. Roby and Donald H. Davenport, Factors Influencing
the Location of the Financial District, p. 43.
191
eluded with central administrative employees.
Sources
Actual employment figures are meager.
At the United States
Censuses of Manufactures for 1909, 1914, 1919, 1921, and 1923,
data in regard to such employees were collected on a separate
"administrative schedule" and were tabulated and included with
those for salaried employees of the manufacturing plants.
At
the Censuses of Manufactures for 1923, 1925, and 1929, the total
of such employees for the entire country was separately reported.
1
2
Figures for each state were also given in 1929 and in 1937.
The 1929 Census of Mines and Quarries reported the total
number of central administrative employees of companies in these
industries in the United States.
3
At the United States Census of Business in 1935, the total
number of central administrative office employees engaged in all
4
industries Included in the census were reported by states.
The
number of employees in auxiliary offices of wholesale establish5
ments were also reported separately by states.
Total central
office employees of retail chain stores in the United States were
reported for 1933 and 1935.
1.
2.
3.
4.
5.
6.
6
Manufactures. 1929, Vol. 1, p. 5.
Manufactures. 1937, Central Adminlstratlve Offices.
Mines and Quarries.1929, p. 23.
Census of Business.1935, Personnel and Pay Roll in
Industry and Business, and Farm Personnel, pp. 1 to 9.
Census of Business. 1935, Wholesale Distribution. Vol. 1,
United States Summary, p. 120.
Census of Business. 1935, Retail Chains, p. 16.
192
New York City as a Center for Administrative Offices
None of the statistics available gives separate figures
for New York City.
The Regional Plan of New York, in an anal­
ysis of the New York City financial district in 1925, arrived at
the conclusion that "this group of executive offices of business
enterprises occupies more floor space in the office buildings of
the financial district than any other business activity."^
In
addition, these offices of national and international companies
also occupied considerable space in the Grand Central area and
other parts of the city.
Development of the Central Admlnlstratlve Office. Based
Upon Statements of Contemporary Financial Writers.
etc.
"It is well known that a majority of the great combinations
of the country have been planned, and in a large part organized
p
in New York City."
Many of these concerns, although still di­
rected from New York offices, conduct no part of their opera­
tions in New York City.
The railroads of the country represented the first group
of enterprises to be combined into a smaller number of integrated
systems.
These combinations were largely effected by New York
bankers, who continued to assume important parts in the manage­
ment of the various systems after their consolidation, and in­
1.
2.
Roby and Davenport, o£. clt..p. 43.
Jeremiah W. Jenks and William H. Lough, The Development of
the Industrial Combination, in Charles A. Conant, Progress
of the Empire State. Vol. I, Chapter VI, p. 187.
193
fluenced the location of the principal office of the enlarged
railroad company in New York City.
Charles A. Conant in 1913
remarked that "Railroad systems which formerly had their head
offices in Boston or the Nest have come to New York.
The re­
sources of six great systems alone, amounting to $7,000,000,000,
represent more than half the railway capital of the country."
Data on employment in New York offices of railroad companies are
not availa.ble.
The number of railroad companies maintaining of­
fices in New York is an Inadequate measure,
greatly in size and number of employees.
since railroads vary
It is reasonably safe,
however, to repeat the report of the Central Mercantile Associa­
tion made in 1915 "that every imoorta.nt railroad system in the
2
United States has a New York office."
Every railroad with se­
curities listed on the New York Stock Exchange in 1939 that oper­
ates under its own name has a New York office.
This was veri­
fied by checking the list against the New York Telephone Direc­
tory.
"In the initial days of electric lighting, it was the gen­
eral practice for 'parent1 companies to issue a license for a
given city or territory and to take in return for its apparatus
and its patent a certain proportion of stocks and bonds of the
local company organized.
. . .Boston, New York, Philadelphia,
Pittsburgh, Cleveland, and Chicago are the principal centers at
3
which such securities have been marketed."
This has been the
1.
2.
3.
Progress of the Empire State. Vol. I, Introduction.
Your Stupendous New Y o r k . 1915.
United States Bureau of the Census, Census of Electrical
Industries. 1902, Central Electric Light and Power
Stations, p. 18.
194
fore-runner of the holding company In the field of public utili­
ties, embracing not only electric power and light companies, but
also gas companies, water companies, and street railways.
Plants
located in various parts of the country were thus brought under
one management.
The central office of the holding company, which
really represented the financial department of the various opera­
ting companies, found it profitable to establish central purchas­
ing and engineering departments.
These holding companies usually
maintain small offices in the states in which they are incorpo­
rated, but the bulk of their office organization is more likely
to be close to the financial centers of the country, where they
can best finance the operations of the companies they control.
The executive offices of the industrial multi-unit estab­
lishment is of more recent origin, following closely the periods
of amalgamations,
consolidations, and mergers.that characterized
industry in this country during the past four decades.
The trend
is thus summarized by Jenks and Lough:
Up to 1393, the movement was not widespread.
In
that year the securities of only twenty indus­
trials of any importance were listed on the Hew
York Stock Exchange.
From 1893 to 1897 the busi­
ness depression made the formation of great enter­
prises Impossible.
In 1898, however, the movement
was resumed, and during the five years from 1898
to 1903 reached the culmination of its activity.
In the three years, 1898-1900, 149 large combina­
tions, with a total capitalization of $3,578,650,000,
were formed.
The great majority of the large com­
binations now existent were formed in those years.
Since 1903 only a few combinations of any impor­
tance have been formed.
The leading industries
i
suitable for such organization were already formed.
New York City has been the headquarters for this whole
1.
J. W. Jenks and Wm. H. Lough, £ 2 . clt.. p. 196.
195
1
movement.
Many of these combinations were incorporated and fi­
nanced by private bankers, who retain an interest in the manage­
ment of the business.
"Such a connection tends to tie the execu­
tive or administrative office of the concern to the financial
3
center."
H. Parker Willis adds that legislation favorable to
the growth of corporations also helped the process of concentra­
tion of industries and businesses.
The limited liability prin­
ciple had been introduced by the New York State Legislature soon
after its adoption in the British Companies Act, dating from the
4
year 1362.
The states of New Jersey and Delaware, however, had
legislation apparently no less favorable for the formation of
corporations,
since about two thirds of all the large combina­
tions formed between 1898 and 1900 were incorpore.ted in the State
of New Jersey.
The capitalization of the Delaware incorporations
5
was about equal to that of New York during the same period.
Actually, the state of incorporation has but little bearing upon
the location of the executive or central administrative office
of the corporation.
A number of the largest industrial corpora­
tions in the country conduct their annual meetings in one or
two buildings in Jersey City, which space they usually rent for
the occasion.
In the City of Wilmington, Delaware, a surprising­
ly small number of persons maintain the "principal" offices of
hundreds of corporations located throughout the country, that
1.
2.
3.
4.
5.
J.W. Jenks and Wm. H. Lough, _op. c l t . . p. 197.
Ralph W. Roby and Donald H. Davenport, Factors Influencing
the Location of the Financial District, p. 43.
Wealth and Banking in New York S t a t e . in History of the
State of New York, Vol. VIII, Chapter IV*] (Flick,
editor), p. 135..
L o c . clt.
Moody's Manual of Investments. 1900, p. 51.
196
have found it desirable to incorporate under the laws of that
state.
The location of their executive office is largely dic­
tated by financial expediency and the convenience of the per­
sons forming the corporation.
The years from 1926 to 1929 witnessed another period of
consolidations and mergers which embraced not only railroads,
public utilities, and manufacturing enterprises, but also whole­
sale and retail chain organizations, financial Institutions, and
even service and professional establishments.
The location of
the financial and security markets of the country again desig­
nated New York City as the scene for these combinations, with the
result that many industrial and commercial organizations, engaged
in performing some economic service in a distant pa.rt of the
country, find their executive or administrative office in New
York City.
In 1926, R.W. Roby"*" made an analysis of the 232 leading
corporations
in the country to determine whether they maintained
a New York office.
Of the 232 firms, 167 or 72 per cent had a
New York office listed in the New Y 0rk Telephone Directory.
A similar a.nalysls of all firms listed on the New York
Stock Exchange on March 1, 1939, is given here.
The New York
Telephone Directory was examined to determine whether these firms
maintained an office in that city.
Of the 852 companies whose
stocks are listed on the "big board," 649 or 76.2 per cent have
a.New.York office.
1.
*
Of the remainder, 42 or 4.9 per cent are
Roby and Davenport, ojd. clt. . p. 48.
These were companies whose stocks were selected by The
Standard Statistics Company to form their stock price
index numbers for industrial groups. They Included com­
panies of every type.
197
holding companies or subsidiary railroads that no longer operate
under their own names, although their securities are still in
the hands of the public.
As previously mentioned, number of corporations is an in­
accurate measure of relative importance.
The 161 corporations
which do not maintain a New York office in all probability do not
represent the equivalent in total assets, capitalization, or em­
ployment of two or three of the larger corporations who do main­
tain an office in New York City.
The trend towards an increase
in the maintenance of New York executive offices is very clearly
indicated here, however, even for the comparatively recent period
of 1926 to 1939.
Trend of Employment in Pentral Admin1strat1ve Offices
The various sources listed on page 191 will be used to pre­
sent some picture of the number and proportion of persons em­
p loyed in central administrative offices of manufacturing, whole­
sale, and retail organizations and the geographic distribution
of these workers and the trends during recent years.
Census of Manufactures. 1925-1957
The United States Census of Manufactures was the first to
report central administrative offices separately.
Totals for
the United States are available for the years 1923, 1925, 1929,
and 1937 (see page 191).
Figures for 1935 were estimated from
*
other sources.
In the following table, the number of central
administrative employees in manufacturing establishments is com*
Number of central administrative office employees in whole­
sale establishments and retail chain stores deducted from
total number of central administrative office employees
(see p a g e 201 ).
198
pared with the total number of salaried employees in manufactur­
ing establishments reported during the same years:
TABLE XXXIV
Central Administrative Employees in Manufacturing Establlshments in the United States, 1925-1957_________
a)'
Year
Central Adminis­
trative office
employees of
manufacturing
establishments
1923
1925
1929
1935
1937
86,378
84,646
208,363
100,966 a
122,109
Total other
salaried em­
ployees in
manufacturing
1,356,000
1,342,000
1,567,000
1,076,000
1,216,993
Per Cent
Central
office
employees
of total
salaried
employees
6.37
6.31
13.30
9.38
10.03
Number of central administrative office employees in whole­
sale establishments and retail chain stores deducted
from total number of central administrative office em­
ployees (see page 201 ).
Sources: United States Bureau of the Census, Biennial Census
of Manufactures, 1923 and 1925; Fifteenth Census (1930),
and Payroll in Industry and Business; Census of Manufac­
tures, 1937, Central Administrative Offices.
It is apparent that the greatest increase in these employ­
ees in manufacturing establishments took place between the years
1925 and 1929, a period which has previously been described as
marking the second greatest period of industrial combinations in
the history of the country.
In 1923, only 6.7 per cent of all salaried employees in
manufacturing establishments in the United States were employed
in central administrative offices, by 1929, the tier cent of
such employees had increased to 13.3 per cent.
A substantial de­
cline, however, has taken place from 1929 to 1935, with a small
199
increase again in 1937.
The years 1929 to 1935 mark a cessation
of the period of industrial combinations with a corresponding de­
cline in new financing.
A decrease in the number of central ad­
ministrative employees who are largely concerned with these fi­
nancial operations xms therefore to be expected.
Geographic Distribution of Central Administrative Em­
ployees in Manufacturing 1929-1957
Table XXXV and Diagram 32 show the distribution of cen­
tral administrative employees of manufacturing establishments in
the leading states in the United States in 1929 and 1937.
Sep­
arate figures were not given for New York City or other cities.
However, since central administrative offices are usually located
in important financial and commercial cities, the state sum­
maries are in most cases synonomous with the totals for the lead­
ing cities in these states as follows:
New York State, New York
City; Illinois, Chicago; Pennsylvania, Philadelphia and Pitts­
burgh; etc.
According to these figures, New York State in 1937 accounted
for 25.27 per cent of these workers..
than in 1929.
This was 1 per cent more
Ohio, comprising the cities of Cleveland and Cin-
cinnatti,.was second in 1937, with less than half the central of­
fice employees of New York.
In a.ctual numbers, all states show
substantial declines from 1929 because of.the reasons given on
pages 198 and 199.
Census of Business. 1955
The Census of Manufactures taken in 1935 failed to give
200
TABLE XXXV
Number and Per Cent Distribution of Employees in Central
Administrative Offices of Manufacturing Establish­
ments in Leading States, 1929 and 1957__________
State
Number of Employees
1929
1937
Per Cent of Total
United States
1929
1937
New York
Ohio
Illinois
Pennsylvania
Michigan
California
Massachusetts
Missouri
50,521
16,918
29,559
27,494
8,593
11,688
8,278
7,849
30,858
14,318
13,710
12,948
7,003
5,467
3,901
3,432
24.25
8.12
14.19
13.20
4.12
5.61
3.97
3.77
25.27
11.73
11.23
10.60
5.74
4.48
3.19
2.31
United States
208,363
122,109
100.00
100.00
Sources: United States Bpreau of the Census, Fifteenth Census
(1930), Manufactures, v. I, General Report, Table 2, p.
43; Census of Manufactures, 1937, Officers and Employees
of Central Administrative Offices (press release)^
__
"Ptn Cc/vr o r Tbrtu, Um it m P S ra re s
IVe w K jak.
Oh io
iL L tM Q IS
P C N ItiY L V A triA
/////////////////;
Ca l ir o A M iA
1937
ilAiSAcarjeTzs
*9*9
r n r n m
H
js s o v tlx
I
Diag. 32. Comparison in the Relative Number of Employees in
Central Administrative Offioee in Manufacturing Establish­
ments in the Leading States of the Country, Expressed in
Per Cents of the Total for the United States, 1929 and 1937
201
figures for central administrative offices of manufacturing es­
tablishments, but the Census of Business for the same year made
it possible to determine the total number of such employees in
all types of business included in that census.
Since the num­
ber of central office employees in wholesale distribution and
in chain stores were reported separately in connection with the
special censuses in these fields, it ws.s possible to approximate
the number of central office employees in manufacturing by sub­
tracting the first two from the total central administrative em­
ployees reported, the assumption being that all those included
#
in this census were in either one of these three fields.
Total Number of Central Administrative Employees in the
United States Classified by Industries as Reported
in the Census of Business, 1935
Wholesale distribution
(auxiliary units) Includes
warehouses
30,718
Retail chain stores
73,655
Manufacturing (estimated as remainder)100,966
Total reported
205,339
These figures of course do not Include central administra­
tive office employees of railroad and public-utility companies
which were not included in the 1935 Census of Business, or of
mining companies (unless also engaged in manufacturing) which in
1929 reported 4,602 such employees in the United States.77^
*
#
There are probably an additional small number of central ad­
ministrative office employees connected with multi-unit
financial institutions, hotels, etc.
This number appears to be unusually small to those persons
who have had occasion to visit the New York offices of
metal mining and oil-producing companies.
It is probable,
hoxvever, that since most of these companies have manufac­
turing and refining subsidiaries, they have been included
with manufacturing central a.dminlstrative offices.
202
Table XXXVI and Diagram 33 show the geographic distribution
of central administrative employees in all types of business in
1935.
In that year, New York State had 25.49 oer cent of the
total number of these workers in the United States.
Illinois
was far below with 8.88 per cent with the rest scattered through­
out the United States.
TABLE XXXVI
Number and Per Cent Distribution of Employees in Central
Administrative Offices in Leading States,1935
States
Number
New York
Illinois
Ohio
California
Pennsylvania
Michigan
Missouri
Massachusetts
52,337
18,236
17,211
15,671
15,721
9,449
9,057
8,918 .
UNITED STATES
205,339
Per Cent of
Total U.S.
25.49
8.88
8.38
7.63
7.61
4.60
4.41
4.34
100.00
Source: United States Census of Business, Personnel and
Payroll in Industry and Business, a.nd Farm Personnel,
pp. 1 to 9,
.iiwiiii.itamrtjMMMMm
P «? Cent or Uhited 5 tatcs Hjtal.
_5_________ 20
1C
■tins
KewTtonn S t a t s
Xcc/HOts
Onto
CAUirOANIA
PiENNS T L V A N l A
M
ichigan
M
issouri
M assachusetts
Dlag. 33. Comparison in the Relative Number of Employees In
Central Administrative Offloes In 1935, Expressed In Per
Cents of the Total for the United States
ZS
203
Wholesale Auxiliary Units,^ 1955
Table XXXVII and Diagram 34 show the number and per cent
distribution of employees In auxiliary or central offices of
multi-unit wholesale establishments In the leading states of the
United States in 1935.
New York State here again leads all oth­
ers, with 18.32 per cent of the total employment In the United
States.
TABLE XXXVII
Number and Per Cent Distribution of Employees in Central
Administrative Offices Auxiliary Units of Wholesale
_________ Organizations In Leading States, 1935___________
State
Per Cent of
Total United
Stages
Number of Employees
18.32
9.44
9.24
6.89
4.74
4.61
4 4.42
4.06
5,628
2,899
2,837
2,117
1,456
1,415
1,357
1,248
New York
Illinois
Ohio
Missouri
Texas
Pennsylvania
California
Mlchi gan
Sources: United States Bureau of the Census, Census of Business,
1935, Wholesale Distribution, v. I, p. 120;_______
'Pen
~
£e*rr o r T
otjsu
U
n
i
t
e
d
_
N e w Yo r h
I I I taiqts
Oh i o
H zssovrz
T exas
“POMNSYL VAJfZA
Ca l i f o r n i a
Dlag* 34* Comparison in the Relative Number of Employees
in Central Administrative Offioes (Auxiliary Units) of
Wholesale Organisations in 1936, Expressed in Per Cents
of the Total for the United States
204
Retail Chains, 1955
Although multi-unit operations under one ownership and
control are numerous in other business fields, in terms of num­
ber of units or proportion of total business conducted, they are
most highly developed in the retail field.1
Although employ­
ment in central offices of these retail chains falls below sim­
ilar employees of manufacturing establishments, the ratio of
these workers to total workers in retail chain-store organiza­
tions is higher than in most other industries or businesses.
TABLE XXXVIII
Distribution of Employees in Chaln-Store Organizations
in the United States in 1935
Place of Employment
Number of
Employees
Per Cent of
Total
1,071,694
Stores
91.46
«
6.29
Central Offices
73,655
Warehouses
26,322
2.25
1,171,671
100.00
Totals
Source: United States Bureau of the Census, Census of Business,
1935, Retail Chains, p. 33.
Data on central office employees of chain-store organiza­
tions by states or cities are not available, but Table XXXIX
and Diagram 35 show the per cent distribution among the leading
states of the number of retail units and amount of sales of the
chain store organizations domiciled in each state.
It will be
seen that New York State leads with 39.02 per cent of the total
sale8 and 33.44 per cent of the- total retail units.
1.
The propor-
United States Bureau of the Census, Census of Business.
1935, Retail Chains, p. 5.
205
TABLE XXXIX
Number and Size of the Chains Domiciled In Each State, 1935
Number
of
Chains
Per
Cent
Total
United States
6,079
100.00
139,810
California
Illinois
Massachusetts
Michigan
Minnesota
Missouri
New York
Ohio
Pennsylvania
Texas
484
493
277
241
155
264
841
400
390
302
7.96
8.10
4.56
3.96
2.55
4.34
13.83
6.58
6.42
4.97
11,037
13,099
6,687
3,334
2,536
3,764
46,754
11,492
10,266
3,585
7.89
600,834
9.37 1,310,769
4.78
364,207
2.38
209,461
1.81
106,565
2.69
187,109
33.44 3,301,196
8.22
613,950
7.34
506,244
2.56
133,612
7.10
15.49
4.30
2.48
1.26
2.21
39.02
7.26
5.98
1.58
3,847
63.27
112,554
80.48 7,333,947
86.68
TOTAL
a)
Number of
Retail
Unltsa
Per
Cent
Total
Sales
Per
Cent
100.00 8,460,611 100.00
Not the number of units operated within the state.
Source: United States Bureau of the Census, Census of Business,
Retail Chains.
206
tion of central office employees would probably follow a sim­
ilar ratio.
It vrould therefore appear that a larger proportion
of the toted number of the central office employees in chainstore organizations is employed in New York State, and conse­
quently New York City, than is the case with either wholesale
or manufacturing establishments.
Conclusions Regarding the Trend of Workers in New York City
Central Administrative Offices
The period of industrial mergers, which characterized the
beginning of the twentieth century and again between 1926 and
1929, was responsible for the development of a distinctive type
of business organization, ostensibly part of either a manufac­
turing, wholesaling, or retailing establishment, but really en­
gaged in activities closely allied to the financial Institutions.
These central administrative offices reached their peak in
1929, end declined during the years following when the need for
new financing was reduced.
New York City has been and will continue to be the most im­
portant center for these central administrative offices.
There
are indications that a larger proportion of these offices will
be established in New York City.
A combination of fan tors, such
as the location of the leading security exchanges, investment and
other bankers, and nearness to the greatest market in the country
have made New York City the choice of an executive office for
the leading railroad, public-utility, manufacturing, wholesale,
and retail chain-store companies in the country.
The continued amalgamation of establishments located in dif­
20?
ferent parts of tlie country has at least for the time being been
discontinued, partly because of unsettled business conditions,
and partly due to legislation which has tended to discourage
many of these combinations, particularly in the field of public
utilities and retail chain stores.
The centra.1 administrative
office is essentially the child of the multi-unit establishment,
and will develop with any continued development of the chain sys
tern in any phase of business.
Central administrative office employees of manufacturing
establishments constituted in 1935 about one half of the total
central administrative office workers (page 201).
A slight in­
crease in the concentration of these workers in New York State
is noted for the period 1929 to 1937.
Centra.1 office employees of retail chain organizations rep
resent the second largest group, with approximately one third of
their offices in New York City in 1935 (page 205).
Auxiliary
or central, office employees of xirholesalers represent a compara­
tively small group, with IS.32 per cent of these workers in NewYork City during the same year (page 203).
The concentration of central administrative offices in
large cities, particularly New York, has probably been one of
the more important factors in increasing the relative number of
office and clerical workers in that city, with a corresponding
relative decline in other parts of the country.
CHAPTER VI
OTHER FINANCIAL INSTITUTIONS
In addition to the more common types of financial insti­
tutions analyzed in the preceding chapters, there are several
other types of establishments furnishing financial or related
services which are not of sufficient Importance numerically to
warrant separate treatment.
These will be discussed briefly in
this chapter.
The United States Census of Business for 1935
1
lists the following, which have not otherwise been covered:
Savings and loan associations
(state and Federal)
Instalment finance companies
Personal finance companies
Mortgage and farm-mortgage companies
Bank clearing houses
Commercial paper houses
Commodity exchange brokers
(excluding spot dealers)
Factors
Foreign exchange brokers
Investment trusts
Money exchanges and money order companies
Real estate Investing and holding companies
Security exchanges
To this list have been added real-estate agencies and bro­
kerage offices, which although the subject of a separate census
report are Included here with financial Institutions.
2
Unfortunately, employment data are not available for many
of these financial establishments.
Moreover, the size of the
personnel of many of the organizations listed here, such as se­
curity exchanges, clearing houses, etc., is small in comparison
1.
2.
Financial Institutions Other Than Banks, pp. lii, iv, v,
and vi.
Real Estate Agencies.
209
with the economic value of the functions they perform.
Several
of the more important of these businesses, in terms of employ­
ment, will be separately analyzed.
Building and Loan Associations
These associations have shown considerable growth since
1934 largely as a result of the National Home Owners Loan Act of
1935, which provided for the creation of private institutions
under Federal charter, with the result that they are today con­
sidered the largest single factor in the nation's home mortgage
finance.'*’
2
The following figures Indicate the growth of these asso­
ciations since 1934 in terms of number of associations and amount of estimated assets.
Year
(June 30)
1934
1935
1936
1937
1938
Number of
Federal
Associations
370
851
1,135
1,286
1,346
Estimated Assets
(in thousands)
41,402
304,569
655,192
986,297
1,213,874
Since these associations are permitted to lend over an area
of not exceeding fifty miles of their locations, theirs is a
purely local business, and as such need not be concentrated in
business areas, but rather distributed in fairly close relation­
ship to population and homes.
They undoubtedly have and will
continue to take over some of the business being conducted by
1.
2.
Federal Home Loan Board, Sixth Annual Report. 1937-1938,
p. 43.
Loc. clt.
210
savings banks.
In 1935, according to the United States Census of Busi­
ness,'1' there were only 877 persons employed in Federal and state
building and loan associations in New York State.
j
This repre-
sented but 2.76 per cent of the total for the United States.
In view of the increase in the number and size of these associa­
tions since 1935, it is probable that the number of employees
in this business showed a corresponding Increase since 1935.
How­
ever, because of the limitations to the size of the area in which
they may operate, no concentration of establishments of this
type may be expected in New York City similar to that of other
i
types of financial institutions.
Instalment Finance and Personal Finance Companies
Instalment finance companies are defined as companies financing the sale of articles on the instalment plan.
2
Personal
finance companies are companies engaged in making small loans
to individuals, usually secured b y chattel mortgages, etc.
3
In 1935, only 2,695 persons (including proprietors) w-ere
employed in New York State Instalment finance companies
1,695 with personal loan companies.
5
4
and
These represent 14.01 and
i
l
}
i
\
I
j
•
\
}
j
t
10.12 per cent of the total employment in this field in the Unit-
\
[
ed States.
The recent introduction of the instalment principle into
more and more types of retail services has undoubtedly increased
"
1.
2.
3.
4.
5.
i i
»
Financial Institutions Other Than Banks. p. 6.
Ibid. p. iv.
Ibid. p. v.
Ibid. p. 9.
Ibid, p. 12
•
j
.t
ji
;j
i|
|
i
j
'j
r
_ _ _ _ _ _
f
211
these figures considerably slnoe 1935.
Many retail establish­
ments, formerly engaged In a cash business only, have, through
arrangements with these finance companies, Introduced the sale
of their goods on a credit basis.
Continued expansion of this
service should result In an increase in the number of office
workers, since credit sales usually require a larger amount of
clerical work than do cash sales.
Like all retail services, how­
ever, there is no apparent reason for concentration of this busi­
ness in any area, other than population.
Real-Estate Agencies and Brokerage Offices
Although real-estate agents do not necessarily perform fi­
nancial functions, they have been included here with financial
organizations, because of the frequent combination of real-estate
agency work with insurance and mortgage financing, and the gen­
eral investment character of real estate.
Real-estate agencies
have been the subject of a special report by the United States
Census of Business for 1935,'*’ which defines them as offices "whose
income from reel estate consists principally of commissions and
fees derived from such activities as real estate sales, real-es-
■2
tate rentals, real-estate management, appraisals, etc."
Real-Estate Agents and Officials. 1910. 192 0 . and 1950
The real-estate business attained a period of considerable
importance in 1930, when 32,107 persons were reported engaged as
real-estate agents and officials alone.
The figures of course do
not represent total employment in the real-estate business, since
1.
2.
Real-Estate Agencies.
Ibid.. p. ill.
212
they do not Include clerical workers, salespersons, etc.
The
trend In actual numbers In that occupation and the per cent of
the United States total In each of the leading cities in the
United States Is illustrated in Diagram 36.
The number of real-
estate agents and officials did not vary much between 1910 and
1920, but, between 1920 and 1930, the number in New York City
increased two and a half times.
most of the other cities.
Similar increases occurred in
In terms of per cent of the total for
the United States, New York City has increased from 10.49 per
cent in 1910 to 13.38 in 1930, although the per cent went down
to 8.7 in 1920.
Real-estate activity is closely related to growth of cit­
ies and the conditions of the general Investment market.
The
lack of mobility of the commodity dealt in makes it imperative
that at least a part of the personnel be located near the prop­
erty sold, although the need for financial services often dic­
tates the location of some part of the office staff near the fi­
nancial center.
Table XL, based upon 1935 United States Census of Busi­
ness figures, gives the number of persons employed in real-es­
tate offices in the leading cities of the United States with the
per cent of the United States total in each city.
Comparing
these figures with the data in Diagram 36, an apparent decline
appears.
In 1935, only 4,759 persons were engaged as proprie­
tors and employees in the real-estate business in New York City.
The 1930 Census Reports on Occupations records 32,107 real-estate
agents and officials alone, without including clerical and sales
213
Pen Ce n t df U m ted States T o t a l
//u M 0 c rr in T h o u s a n d s
b
10
8
10
n*»v y'omiTcmf
3 2 ,1 0 7
1 2 ,9 8 1
/ // // // / // // // // / A
.---------------,
23,200 | ............. J
Las Ano^lks
15, m
i\)s s
3,276
Ch i c a g o
1 2 ,5 2 7
YSSSSSSS/
//////
5,b04
4,2)8
V e rn o iT
<e,Z7j>
’<•%
4 01-
2,355
'////SS
p
. .
j— I
S a n Fhnvcjsc-o
4185
$%
Sr. L o w *
2,i n
1,132
£,146
OLE!fBLAHJ?
hfill
. 840
B
‘ooro*J
1,778
£3)6
1*14
1)30
1)20 Y /////////S ///////S //S //S //Y /
i)io
I
J
Dlag. 36. Comparison in the Number and Per Cent of Total RealSstate Agents and Officials in the United States in Leading
Cities, 1910, 1920, and 1930
Souroes: United States Census Reports on Occupations, 1910,
1920, and 1930,
12
214
workers.
Even if the 3,871 persons reported as engaged In com­
bined insurance and real-estate offices are included, it is ap­
parent that the real-estate business has shown a tremendous de­
cline since 1930.
That this is due largely to changes in the
investment market has been previously explained.
New York City
in 1935, however, did not lose in relative importance.
The real-estate business is obviously scattered through­
out the country, concentrating in places that are momentarily
undergoing expansion programs.
Los Angeles, Detroit, Washing­
ton, D.C., and Miami, Florida, are cities of this type, since
real-estate employment is higher there than would be expected
by the population of these cities.
TABLE XL
Number of Employees and Proprietors Engaged in Real-Estate
Offices in Leading Cities with the Per Cent of the To­
tal United States in Each City, 1955________
Number
Cities
Per Cent
Employees
Total
of Total
Active
Proprietors Part Time & Workers
United
Full Time
States
New York, N.Y.
Los Angeles, Cal.
Detroit, Mich.
Chicago, 111.
Philadelphia, Pa.
Miami, Fla.
San Francisco
Cincinnatti, Ohio
Boston, Mass.
Washington, D.C.
1,097
562
270
245
230
132
150
102
119
56
Total United
States
13,903
3,662
689
662
685
462
253
212
217
118
251
4,759
1,251
932
930
692
385
362
319
307
307
15.82
4.16
3.10
3.09
2.30
1.28
1.20
1.06
1.02
1.02
16,172
30,075
100.00
Source: United States Bureau of the Census, Census of Busi
ness, 1935, R eal-Estate Agencies.
215
A larger part of the real-estate business In New York City
consists of the management of property than would be the case In
most other cities.
This Is due to the fact that a considerably
larger proportion of the New York City population lives in rented
quarters.
In addition, the large office and loft buildings in
the business sections of the city require the services of realestate agents and managers.
This business, of course, is much
steadier than the business of real-estate brokers and dealers
concerned with the sale of properties.
The latter is highly vol­
atile in character and follows fairly closely the trends of the
investment market.
Summary
The actual number of employees in the numerous types of
financial institutions mentioned in this chapter do not appear
to be as large as would be expected by the relative importance
of the businesses in the economic life of the community.
Such
businesses as instalment finance and personal finance companies,
although growing in importance, are still relatively unimportant
in terms of number of employees.
Like savings banks and other
services depending upon consumer or retail business, these are
not concentrated in New York City, but are distributed in more
direct relationship to population.
Real-estate agents and dealers are the most important group
in this chapter.
The business of real-estate dealers is almost
as volatile as that of security dealers, fluctuating with the
demand for real estate.
Because of the nature of the commodity
sold, which obviously cannot be transported, the business is dis­
216
tributed in fairly close relationship to population, with peaks
of activity during expansion periods, such as has recently oc­
curred in Florida and Los Angeles.
The management of real-es­
tate, however, is a business that is dependent upon rented apartments and business office and loft space, such as would be
more common in cities such as New York than in smaller communi­
ties.
CHAPTER VII
FINANCIAL INSTITUTIONS AS A WHOLE
SUMMARY
The various types of financial institutions which perform
the financial functions of business have been described in the
preoeding chapters.
It has been shown that these activities
have been located in the City of New York because of the advan­
tages which the city possesses for the economic performance of
each of these functions.
Their interrelationship, however, is
perhaps the chief factor that keeps them together.
The banks in New York City are there largely because of
the commerce of the Port of New York.
The insurance companies
came to New York because of the presence of the banks and other
business houses.
Likewise, the security and other organized ex­
changes find New York the logical center for their activities
because of their close connection with other financial institu­
tions.
Similarly, the administrative offices of the leading in­
dustrial, railroad, and public-utility companies are In New York
City because of the presence of the banks, stock exchange, and
other financial services.
The directors and officers of these
banks, Insurance, industrial, railroad, and public-utility com­
panies frequently serve on the boards of several companies.
It
is therefore desirable that they be located close together.
"High land values" apparently do not drive out financial
institutions, as would be the case with manufacturing and most
218
types of wholesale distribution.
It has been shown that bank­
ing houses can outbid all other types of establishments for loca­
tions they deem desirable for their business."*’ Labor costs
likewise have not been an important factor in determining the
location of financial offices.
Taxes, unless prohibitive, are
not decisive.
Financial, managerial, and administrative services, consist­
ing largely of ideas, can be transmitted with little loss of time
and relatively little expense to any part of the world.
In the
distribution of these financial services, where personal contact
is Important such as in the sale of Insurance and securities,
locations nearer the centers of population have been found to be
desirable.
As in the case of manufacturing and merchandising, persons
engaged in selling financial services are usually located in
closer relationship to population centers.
Office workers, on
the other hand, are concentrated more in New York City.
Likewise, as in the case of distribution, the function­
aries engaged in furnishing financial services have undergone
considerable change, many of these changes taking place during
the past twenty years.
With the development of the corporate
form of business ownership, the financing of "big business" has
been largely removed from the hands of banks and turned over to
investment bankers and security dealers.
At the other extreme,
instalment and personal finance companies have taken over the
financing of consumer needs.
1.
Legislation and regulation have had
Regional Plan of New York and Environs, Vol. I, p. 41.
219
no small part in changing the functions of financial institu­
tions.
However, no matter what the name, there is every indi­
cation that we shall continue to need the services of financial
institutions, and that New York City will continue to be an im­
portant center for their operations.
PART V
PUBLIC UTILITIES
CHAPTER I
INTRODUCTION
Under this classification will he included those estab­
lishments that are concerned with providing the basic services
of transportation and communication, as well as light, heat,
and power.
Their public character is attested by the fact that
civilized life as we understand it today would collapse com­
pletely if the services they perform were completely eliminated.
For convenience in analysis, public utilities will be
classified into the following general divisions:
Electric light and power companies
Street railway or transit companies
Telephone companies
Interstate carriers
Railroads
Interstate bus lines
Interstate motor truck companies
Telegraph companies
Sources
Public utilities, with some minor exceptions,
were not in
eluded in the 1935 Census of Business, as they were adequately
*
The 1935 Census of Business included establishments engaged
in Interstate bus and Interstate trucking, since these
companies do not as yet report to the various publicutility commissions.
covered by the various Federal and state governmental bodies
to which they report annually.
The sources to be used in this
analysis have been selected with the view of their usefulness
in meeting the general purpose of this study: employment oppor­
tunities for business workers.
The United States Census of Electrical Industries, 1902
to 1932, taken at five-year intervals, covers central electric
light and power stations,
phone companies.
street railways, telegraph and tele­
Some aspects of the electrical industries
were reported in connection with the decennial censuses of 1880
and 1890.
Data on employment have, in most cases, been given
for the United States and individual states.
No "breakdown" of
data for cities was made except for the year 1902.
The United States Interstate Commerce Commission, in its
Annual Report furnishes employment data on railroads in the Unit'
ed States, and up to 1933 similar figures on telephone end tele­
graph companies in the United States.
The Federal Communications Commission since 1933 reports
annually on the telephone and telegraph companies of the United
States.
The sources mentioned above contain few figures for the
City of New York.
For these data, reference will be made to
the various commissions to which these companies report.
These
are the New York State Transit Commission, for data on local
transit companies from 1921 to 1936, and the New York State Pub­
lic Service Commission, Second District for New York, for data
222
prior to 1921.
Electric light and power companies are reported
by the New York State Public Service Commission, from 1921 to
1936, and the New York Public Service Commission, Second Dis­
trict for New York, for data prior to 1921.
Employment statis­
tics for the New York Telephone Company are not usually pub­
lished, but are available since 1925 in the Annual Reports of
the company on file at the office of the New York Public Service
Commission in New York City.
CHAPTER II
GAS AND ELECTRIC LIGHT AND POWER COMPANIES
New York was one of the first cities to secure the ad­
vantages of a central system for furnishing artificial gas for
heating and lighting.
With the development of electrical power,
it was prompt in establishing a central electric power and light
plant to retail current to factories, offices, and households in
the community.
Manufacturers of artificial gas for illumination and heat­
ing have for a long time been included with manufacturing estab­
lishments in the Census of Manufactures.
Gas and electric power
and light companies are undoubtedly manufacturing establish­
ments.
The semipublic character of their functions, the method
these companies use in distributing their products, as well as
the monopolistic character of their organization, however, serve
to classify them as public utilities.
As in the case of manufacturing establishments, our in­
terest in gas and electric light companies will be confined to
an analysis of the opportunities they afford for the employment
of business workers.
Since the United States Census Includes gas companies with
manufacturing establishments and reports electric power and light
companies separately in connection with the Census of Electri­
cal Industries, a similar division will be made here.
224
Relative Position of New York City
In Electric Power and Light Companies
The following figures Indicate the per cent of total Unit­
ed States employment In central electric light and power compa*
nies In New York City.
1902
1912
1917
1922
1927
1932
8.92
11.97
10.95
11.45
11.66
12.23
The nature of the service rendered by electric power and
light companies considerably reduces the possibility of the In­
dustry concentrating In certain areas.
Electricity is still a
product that can be transmitted economically only for compara­
tively short distances.
The fact that the per cent of total
United States employment in electric companies In New York City
is higher than the per cent of population Is undoubtedly due to
the demands for electric current b y the Industries and other
business enterprises of New York City.
The relative increase
In the per cent of total electric light and power employment in
New York City corresponds with the relative improvement of New
York City as an industrial and business center.
Large indus­
trial and business centers naturally use more electricity per
capita than small rural and residential communities.
It Is prob­
able that, with the decreasing Importance of New York City as a
manufacturing center, some relative decline may be expected in
the future.
*
The per cents are based upon the figures of total employ­
ment in central electric light and power companies for
New York City and the United States, contained in Table
XLI (page 226).
225
Business Yforkers In Electric Light and Power Companies
Diagram 37 and Table XLI show the trend In the per cent
of total employees In electric light and power companies employed
as office and clerical workers, and salaried executives and of­
ficials in New York City and the United States as a whole.
Since the United States figures were secured from the Unit­
ed States Census of Electric Industries and the New York City
figures from the New York State Public Service Commission, there
may be some variation in the method of classifying workers into
occupational groups.
Unfortunately, comparison beyond 1922 be­
comes impossible, since no occupational distribution of workers
was given in the Census of Electrical Industries since that year.
Similarly, no occupational distribution of workers in New York
City electric companies is possible before 1908.
Prom 1902 to 1922 the proportion of clerical employees in
electric power and light companies of the United States has in­
creased about three hundred per cent.
It is quite probable that,
if 1927 and 1932 figures were available, they would show a con­
tinuance of that upward trend.
Figures for New York City show
an increase from 26.69 per cent in 1912 to 33 per cent in 1932.
The New York City proportions of clerical workers are slightly
higher for the same years than for the entire country.
If the
New York staffs of public-utility holding companies were includ­
ed, the per cent of total public-utility clerical workers in New
York City would be increased still more.
It is quite probable
that the slightly higher per cent of clerical workers in New York
226
TABLE XLI
Number and Percentage of Business Workers In Central
Electric Light and Power Companies in the United
States and New York City, 1902-1932
United States
Year
1902
1907
1912
1917
1922
1927
1932
*
Number of
Total
30,326
47,632
79,335
105,541
150,762
251,020
244,573
Employees
Clerical
Per Cent
of Total
3,916
6,872
19,120
27,865
45,384
#
*
9.95
14.43
24.10
26.40
30.10
*
*
New York City
Number of Employees Per Cent
Clerical of Total
Total
#
«
2,706
«
*
«
2,534
26.69
9,494
30.94
3,577
11,562
5,513
31.94
17,261
9,587
32.29
29,260
9,871
33.00
29,914
No data.
Figures for salaried executives were omitted as
the New York City figures were not comparable with those
for the United States.
Sources: United States Bureau of the Census, Census of Elec­
trical Industries, Electric Railways, 1902, 1907, 1912,
1917, 1922, Electric Railways and Affiliated Bus Lines,
1927, 1932.
New York State Transit Commission, Seventeenth
Annual Report for the Calendar Year, 1937, p. 217.
40
Vi
M 'T t p
1507
sn-„.-e s
m
Diag. 37* Trend In the Percentage of Bueinees Workers in
Eleotrio Light and Power Companies in New York City
. and the. United Btates
227
City gas lighting and eleotrio companies may be due to the fact
that some of the planning, purchasing, and even office work for
the smaller utility companies throughout the country is being
done by the parent company, which is usually located in some
large city.
The New York City gas lighting and electric compa­
nies have Included the employment figures for the Consolidated
Gas Company (now the Consolidated Edison Company), which was
both an operating and holding company.
Clerical workers in electric light and power companies ap­
pear to be relatively more numerous than in the average manufac­
turing establishment or other business engaged in the production
of goods or services.
This may be attributed to the relatively
larger size of public electric power and light companies, which
permits of greater specialization of duties, and the fact that
accounts must be kept with a large number of individual consum­
ers.
Figures for the United States show a gradual decline in
the proportion of officers.
This reflects the gradual increase
in the average size of these companies.
Although comparable fig­
ures for New York City are not available, they would probably
show a similar trend.
Gas Companies
Comparison between gas lighting companies in New York City
and the United States is not feasible since the statistics for
gas companies in the United States were compiled on a different
basis as part of the United States Census of Manufactures.
The
New York City figures shown in the Appendix, page 458 , are com-
228,
piled from the reports filed with the New York State Public
Service Commission.
The latter figures show that in 1909, 22.7 per cent of
all employees in New York City gas lighting companies were
clerks and office workers.
The percentage increased gradually
to 1917-1929, when it reached a peak of 28.34 per cent.
Since
then it has declined slightly, varying between 24 and 28 per
cent.
CHAPTER III
TRANSIT COMPANIES (STREET RAILWAYS)
Although the terms "transit company" or "street railway"
have been used generally to apply to the companies furnishing
local transportation to the public, there has been, and is,
considerable variation in the form of service rendered.
This
service may take any of the following forms:
Horse-drawn vehicles
Electric street railways
Elevated and subway lines
(Rapid Transit lines)
Motor bus lines
Few types of business have gone uhrough the technological
developments that have characterized the companies furnishing
transportation to the-residents of large cities.
It is also ap­
parent that there have been similar frequent changes in the oc­
cupational distribution of workers engaged in this industry.
Persons engaged in the so-called "business" occupations, how­
ever, will receive our major attention.
Place of New York City as a Transit Center
The following figures show the per cent of total United
States employment in street railways in New York City from 1902
230
to 1932.*
1902
1907
1912
1917
1922
1927
1932
15.09
15.41
13.45
15.59
12.74
15.08
20.35
The business of providing local transit is obviously an in­
dustry that must of necessity be conducted entirely at the loca­
tion where the service is used.
The apparent large proportion of
this Industry in New York City is not due to any tendency towards
concentration, but rather the result of grovrth in the size of the
city with a corresponding greater need for transportation.
It
is a natural conclusion that in smaller communities the compara­
tively shorter distances between homes and business mean less
need for public transportation facilities.
It is also undoubt­
edly true that the proportion of persons using private vehicles
for transportation is higher in these same smaller towns.
Fewer
and more costly public transportation facilities and less con­
gested streets and parking areas make the operation of a private
car more advantageous in smaller towns.
Business Workers in Street Railway Transit Companies
Business workers in this Industry would fall into two gen­
eral classes; office employees and officers.
*
Ticket and sta-
United States figures were taken from the Census of Elec­
trical Industries. New York City figures from the
Annual Reports of the New York State Public Service
Commission to 1921 and Annual Reports of the New York
State Transit Commission, from 1921 on. 1902 figures
are from the United States Census of Electrical Indus­
tries. See Appendix, page 459 , for original figures
upon which these per cents have been based.
231
tlon agents are a closely related business group, but will not
be Included here.
Figures of office employees and officers In New York City
transit companies for every year from 1908 to 1936 are given in
Table XLII, together with the per cent distribution of total em­
ployees In each occupational group.
The proportion of office employees In New York City tran­
sit companies was 4.56 per cent in 1908, Increasing fairly
stead­
ily to 8.74 per cent in 1935, and declining slightly to 8.71 In
1936.
On the other hand, the proportion of executives remained
close to about .4 per cent from 1908 to 1926, and then declined
steadily to .12 per cent in 1936.
The trend In the proportion of clerical employees appears
to have followed a trend fairly similar to that of most other
industries.
The increase in the proportion of office workers
may be attributed to a gradual, decline in the number of persons
required to perform the actual work of furnishing the transpor­
tation services because of the introduction of labor-saving de­
vices, such as the transfer from two-man to one-man streetcars,
introduction of automatic doors on rapid transit trains, intro­
duction of automatic turnstiles.
It is apparent that no simi­
lar developments in the office work of these companies have tak­
en place.
The total number of employees in New York City transit com­
panies has declined ffrom 38,588 in 1908 to 30,592 in 1936, al­
though the number of office employees has actually increased from
232
TABLE XLII
Number and Percentage of Business Workers in New York Olty
Transit Companies, Number of Passengers Carried Annual­
ly and Number of Passengers Per Employee, 1908-1936
Numbel? of Employees
Per Cent
Annual Passengers
Office Offi­
Total
Office
Offi­ Number
Per
Year Employees cers
Employees Employees cers
in
Employee
Millions Thousands
1908
1909
1910
1911
1912
1913
1914
1915
1916
1917
1918
1919
1920
1921
1922
1923
1924
1925
1926
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
1,760
2,122
1,678
1,791
1,764
1,702
1,677
2,059
2,121
2,565
2,710
2,701
2,412
2,738
2,678
2,748
2,875
2,907
2,907
2,938
3,196
3,124
3,024
2,983
3,056
2,971
2, 880
2,857
2,665
123
203
140
145
147
140
132
137
116
136
103
99
138
150
146
147
154
155
148
101
88
65
60
55
53
56
45
42
38
38,588
36,377
36,383
38,887
37,984
39,454
38,308
39,652
39,195
44,398
43,241
42,203
40,271
38,705
38,296
38,023
38,908
39,389
38,694
40,276
41,108
40,502
40,789
38,631
37,076.
34,780
33,533?'
32,703?’
30,592
4.56
5.83
4.61
4.61
4.64
4.31
4.38
5.19
5.41
5.78
6.27
6.40
5.99
7.07
6.99
7.23
7.39
7.38
7.51
7.29
7.77
7.71
7.41
7.72
8.24
8.54
8.58
8.74
8.71
.32
.56
.38
.37
.39
.35
.34
.35
.30
.31
.24
.23
.34
.39
.38
.39
.40
.39
.38
.25
.21
.16
.15
.14
.14
.16
.13
.13
.12
1,365
1,411
1,544
1,616
1,694
1,785
1,831
1,829
1,923
1,949
2,011
2,127
2,422
2,555
2,654
2,749
2,856
2,906
2,969
3,071
3,151
3,225
3,257
3,144
2,968.
2,796?
2,891°
2,915°
3,047
35.4
38.8
42.4
41.6
44.6
45.2
47.8
46.1
49.1
43.9
46.5
. 50.4
60.1
66.0
69.3
72.3
73.4
73.8
76.7
76.2
76.7
79.6
79.9
81.4
80. i
76.7?
79.6°
81.4°
87.4°
a)
Does not include employees of the Independent Subway System,
as employees of this line were classified on a different
basis.
b)
Includes figures for the Independent Subway System.
Source: New York State Transit Commission, Seventeenth Annual
Report for Calendar Year, 1937, p. 217.
233
1,760 In 1908 to 2,665 In 1936.
Despite the actual decrease In the total number of workers
In New York City transit, companies, the number of passengers car­
ried by these companies has multiplied approximately two and a
quarter times during the same period.
In 1908, one employee was
needed to transport 35,400 passengers annually; in 1936, the ef­
ficiency of one employee had been so increased that he could car­
ry 87,400 passengers per year.
Comparison With Rest of Country
How does the proportion of office workers in New York City
street railway companies compare with the proportion of such
workers throughout the country?
Diagram 38 shows this Informa­
tion for New York City, New York State, and the United States
from 1902 to 1932.
During every year for which comparable data
were available, the proportion of clerical and office workers
was higher in the United States than in New York City.
This is
the first industry analysis in which this situation has been
true.
Obviously, some of the forces that have influenced a great­
er concentration of office workers for most industries in New
York City do not appear to apply to street railway employees.
The somewhat larger proportion of office workers in street rail­
way companies in the United States as a whole may be attributed
to the difference in the type of transportation furnished.
The
proportion of clerks and other salaried employees is smaller in
the case of subway and elevated lines, which obviously predom-
834
C le ric a l 0 Office Workers
IV
■Piriifit
Officials
M anagers ar>e
Superintendents
Tfcr £V»f
2
3
I 1--
’T o 'ta l-E m p lo y e e s
J
1J32
i * * l
.67
116
1 )2 7
1.0*
312
a
1)22
1)17
8
1)12
1)07
1)02
!b
1.02
J.65
241,
jwt
f c
N b
flT«Ki VbrAf ciiy
tfe%* YorKSUA* _______________________
Onitctf A * i u I
I
Diag. 38* Trend In the Percentage of Business Workers in
Street Railway Companies in Mew York City, New York
State and the United States
Souroes: Data for the United States and New York State; Unit­
ed States Census of Heotrioal Industries. Data for New
York City; Prior to 1921, New York State Public Service
Commission; Since 1921, New York State Transit Commission.
The original figures upon which the per cents given in the
above diagram are based are available in the Appendix, page
469.
235
inate to a greater extent in New York City.
*
Officials and managers have declined steadily throughout
this period in city, state, and nation.
This may be readily at­
tributed to an increase in the relative size of the companies
in this business.
The smaller proportion of such employees in
New York City transit companies is likewise due to the fact that
these companies in New York City are usually larger than in the
country as a whole.
Per cent of Salaried Employees in Transit Companies in the
United States by Type of Operation
1932 1927
Motor bus lines (Operated by electric railways) 12.77 14.03
Subway and elevated lines
5.70 5.00
Surface lines only
12.27 11.22
Total Transit Lines
11.12 10.52
(Based upon figures contained in the United States Census of
Electrical Industries. 1927 and 1932).
CHAPTER IV
TELEPHONE COMPANIES
Growth of the Industry In New York City
New York received Its first telephone service In 1877,
when the Telephone Company of New York was formed.
Numerous
changes In organization took place until the New York Telephone
Company emerged in 1896.
This has since become the sole agen1
cy in the telephone industry in New York City, aside from the
operations of the American Telephone and Telegraph Company,
which operates the long-distance lines from the city.
In 1893, fifteen years after the telephone had entered
New York City, only about ten per cent of the business concerns
#
had that service.
At that time, the number of telephones in
what is now Greater New York was about 14,000.
By 1899 re­
peated reductions in the cost of service led to an Increase to
around 50,000.
Between 1900 and 1920, the number of telephones
multiplied fifteen times.
2
Relative Position of New York City in the Telephone Industry
The following figures represent the per cent the employees
1.
*
2.
K.A, Wilson,"The Telephone Problem in the World's Largest
Metropolitan Area,* Bell Telephone Quarterly. October
1934, p. 3.
The charge for a business telephone individual line,
metallic circuit, was a flat rate of $240 per year.
K.A. Wilson, o]o. clt.. p. 10.
237
of the New York Telephone Company bear to the total telephone
company employees In the United States for the years Indicated
(see Table XLIII).
1927
1932
1936
14.41
15.46
15.98
The New York Telephone Company covers an operating area
somewhat greater than that of New York City.
These figures, on
the other hand, do not take into consideration the New York City
employees of the parent company, the American Telephone and Tele­
graph Company.
Approximately a sixth of the average daily telephone con­
versations over the nationwide Bell System originates from the
1
telephones of this area.
Business Workers In Telephone Companies
In addition to the clerical and office workers, and sala­
ried executives listed as business workers In other utility com­
panies, telephone operators are also Included here, because op­
erators of private exchanges employed in various types of busi­
nesses are usually reported as office workers.
Diagram 39 based upon figures contained in the United States
Census of Electrical Industries shows an Increase In the pro­
portion of clerks, stenographers, and other clerical employees
In United States telephone companies from 10.28 per cent in 1902
to 16.37 per cent in 1922.
During the same period, there has
been no material change in the proportion of operators, whioh has
1.
K.A. Wilson, op. pit., p. 15.
238
TABLE XLIII
Number and Percentage of Business Workers In Telephone CornNumber of Employees
Year
Total
Per Cent of Total
Telephone
Office
and
Clerical
Operators
Office
and
Clerical
Telephone
Operators
United States
1902
1907
1912
1917
1922
1936
1937
78,752
131,670
183,361
244,490
290,333
281,822
295,088
1925
1927
1932
1935
1936
1937
1938
60,462
54,065
51,633
45,018
45,022
45,313
43,158
8,097
14,018
31,327
34,327
47,538
54,959
56,825
New York
10,255
10,308
12,500
11,622
11,539
11,418
10,644
39,858
72,518
96,332
138,971
159,558
123,652
129,984
10.28
10.65
17.08
14.04
16.37
19.50
19.2.6
50.61
55.08
52.54
56.84
54.96
43.87
44.05
31,024
26,449
20,138
15,696
15,913
16,222
15,242
16.96
19.07
24.21
25.82
25.63
25.20
24,66
51.31
48.92
39.00
34.87
35.34
35.80
35.32
Sources: 1902-1922, United States Census of Electrical Indus­
tries.
1936, 1937 Annual Report of the Federal Communica­
tions Commission.
New York Telephone Company, 1925-1938,
Annual Report of the company.
r.i g
p n o n B
O P t m a r o t f
tmPLovBsy.
i9o *
1907
lju
19*7
i 9«
i?as 19*7
493*
Diag. 39, Trend in the Peroentage of Telephone Operators
and Clerloal Employees in the United States and in the
Mew York Telephone Company
239
varied between 50 and 56 per cent of the total employees.
Diagram 39 also gives comparative figures for the New York
*
Telephone Company
for the period 1925 to 1938.
The proportion
of clerical employees in the New York Telephone Company Increased
from 16.96 per cent In 1925 to 25.82 per cent In 1935, and then
declined to 25.63 per cent in 1936, 25.20 In 1937, and 24.66 per
cent In 1938.
The figures for the entire United States show a
similar Increasing trend in the per cent of clerks up to 1936
followed by a decline in 1937.
The proportion of office work­
ers In the New York Telephone Company is obviously much higher
than for telephone companies throughout the country.
The trend in the proportion of telephone operators has
been downward, with the per cent of these workers consistently
less in New York City than in the country as a whole.
Changes in Productive Efficiency of Workers In Telephone
Companies
Some explanation for the difference In the occupational dis­
tribution of employees in the New York Telephone Company as com­
pared to all telephone companies in the United States may be found
In the fact that New York City telephone operators ar§ able to
take care of a larger number of telephone calls per operator,
chiefly because of the greater use of the dial system in New York
City.
Dial service, under metropolitan area conditions, has been
found to be faster and more accurate than manual.?*
1.
Therefore,
The New York Telephone Company operates in a territory that
extends beyond the City of New York, although the vast
majority of its employees works in that city.
K.A. Wilson, 02 . clt.. p. 21.
240
dla,l service has become a major factor in metropolitan service
progress, since 1922, when a dial office was placed in opera­
tion in New York City as the beginning of the program of con­
version.1
The United States Bureau of Labor Statistics in a study
of the effect upon employment of the substitution of the dial
telephone system for the manual system came to the conclusion
that this conversion will decrease the employment opportunities
2
for operators about two thirds.
No corresponding development Increasing the efficiency of
office workers in telephone companies appears to have been pres­
ent before 1935, when slight declines in the proportion of such
workers first became apparent.
Aside from workers actually employed with the telephone
companies, the telephone industry has had a considerable influ­
ence upon employment in other fields, particularly in New York
City.
As developed in the chapter on central administrative of­
fices, it has contributed to the concentration of the administra­
tive and managerial functions in New York City (see page 218).
A large number of persons are also engaged in operating approx­
imately 28,000 private branch telephone exchanges that are used
in offices, department stores, factories, hotels, hospitals, and
apartment houses in the New York area.
This represents over one
third of the total number of P.B.X. switchboards in service in
the fifty largest cities in the United States.
1.
2.
The borough of
M.B. French, "Improvements in Telephone Service," Bell
Telephone Quarterly. January 1933.
United States Bureau of Labor Statistics, Labor Review.
February 1932, p. 235.
241
Manhattan alone has a fourth of the country's total.
In 1934,
there were approximately 35,000 attendants employed at such
switchboards In the New York area.
In New York City, they out-
number the central office operators by about three to one.
1
These employees are not Included with the personnel of the tele­
phone companies, but are usually classified with the office work
ers of the Industry in which they are employed.
1.
K.A. Wilson, 0 2 . clt.. p. 28
CHAPTER V
INTERSTATE CARRIERS
Under this classification are Included several industries
in the field of transportation and communication that are en­
gaged in operations which extend over comparatively large areas.
In most cases, It has been found difficult to distribute these
companies and their employees on a geographic basis, other than
along broad regional lines, which obviously are of little value
in determining the relative importance of these industries In
New York City.
Companies that fall into this group would be railroad com­
panies and telegraph and cable systems.
No attempt will therefore be made to allocate the employ­
ees in these industries according to cities.
The proportion of
the total employees in these Industries in New York City would
probably be as great as In the case of other utility companies,
which have averaged about fifteen per cent of the total for the
entire country.
This would be in addition to the employees in
the home or central administrative offices of these companies,
which in the majority of cases are in New York City (see pagel93).
The analysis of these industries will therefore be con­
fined to the occupational distribution of employees in these
companies, with particular attention to the trend in the propor­
tion of business workers to total employees.
243
Railroad Companies
Business workers In railroad companies would fall into the
*
usual two groups: clerical and office workers and executives.
Station agents perform closely related business functions, but
are not included here because of the difficulty in securing a
series of comparable figures.
The trend in the proportion of business workers in the
railroad companies of the United States is indicated in Table
XLIV and Diagram 40.
The proportion of business workers in rail­
road companies increased steadily from 2.07 per cent in 1880 un­
til it reached the peak of 16.8 per cent of total employees in
1930.
Prom that year on, it began to decline, going back to 14.01
per cent in 1937.
Office workers in railroad companies he.ve ap­
parently followed the same trend as in all other industries pre­
viously analyzed.
The reasons are probably similar: greater spe­
cialization of duties and improvement in the operating efficiency
of wage earners at a greater rate than improvement in the opera­
ting efficiency of office workers.
The decline in the relative
number of office workers since 1930 probably reflects the ten­
dency towards greater efficiency on the part of office workers
as a result of improved devices and mechanization of the opera­
tions performed in the office.
Telegraph Companies
Figures for telegraph oompanies tell very much the same sto­
ry (Table X L V ) .
*
Here during recent years the introduction of the
Recent reports of the Interstate Commerce Commission have
included professional and general employees wit h office
employees in railroads.
244
TABLE XLIV
Number and Percentage of Business Workers In the Railroads
of the United States, 1880-1937
Number of Employees
Year
Office
and
Clerical
Total
1880
1890
1895
1900
1905
1910
1916
1920
1925
1930
1935
1936
1937
418,957
730,017
785,034
1,017,653
1,382,196
1,699,420
1,599,158
2,022,832
1,744,311
1,487,839
1,010,661
1,089,957
1,337,993
8,655
22,239
26,583
32, 265
51,284
76,329
179,246
258,621
378,063
249,969
166,176
171,561
187,451
Executives
and
Assistants
3,375
5,160
7,941
9,585
11,242
14,868
17,246
22,110
16,261
16,313
12,147
12,349
12,503
Per Cent of Total
Office
Executives
and
and
Assistants
Clerical
2.07
2.97
3.39
3.17
3.71
4.49
11.21
12.79
15.94
16.80
16.44
15.74
14.01
.81
.69
1.01
.94
.31
.87
1.08
1.09
.93
1.10
1.20
1.13
.93
Sources: 1880 and 1890, Decennial Census of the United States,
Report on Transportation.
Data for other years taken from
the Annual Reports of the Interstate Commerce Commission.
1B9Q
•19V
1B?5
If 0 0
ifO f
Dlag. 40. Trend In the Percentage of Clerloal Employees
and Executives In the Railroad Companies of the
United States
245
teletype and other devices for transmitting messages have all
hut completely eliminated the need for the Morse telegrapher
with telegraph companies.'*’
TABLE XLV
Occupational Distribution of Business Workers in Land
and Ocean Cable and Telegraph Companies In the United States,
1880-1937
__________________________ _
Year
1880
1902
1907
1922
1932
1936
1937
k)
Number
Total Em ­
ployees
14,928
27,627
28,034
68,632
66,723
76,390
72,820
Per Cent of Total Employees in Industry
Telegraph Messengc
Salaried
Employees Clerks Officers Operators
(Total)
2 , 26
3.00
14.88
32.16
37.89
29.62
29.52
2.51
.50
29.16
2.99
28.49®'
28.37
1.13
1.15
64.50
47.39
16.54
17.18
34.43
26.98
26.87
27.13
33.04
32.97
includes managers of local offices and solicitors.
Sources: United States Bureau of the Census, Tenth Census (1880);
Census of Electrical Industries, Telephones and Telegraphs,
1902, 1907, 1912; Telegraphs, 1917, 1922, 1927; Telephones
and Telegraphs 1932; Federal Communications Commission,
Annual Report, 1936 and 1937.
New services Introduced by the telegraph companies to make
up for the loss of business due to the greater use of the tele­
phone and other communication devices have created a relatively
greater need for messengers.
Business workers in telegraph and
cable companies, which may properly be said to include clerks,
managers, officers,.telegraph operators, and messengers, made
up 89.62 per cent of the total personnel of this industry in 1937.
1.
United States Bureau of Labor Statistics, Labor Review.
February 1932, p.
CHAPTER VI
CONCLUSIONS AFFECTING- EMPLOYMENT OF BUSINESS WORKERS
IN PUBLIC UTILITIES IN GENERAL AND NEW YORK CITY
IN PARTICULAR
The industries analyzed under the general term "publlo
utilities" are engaged in the production of services that are
usually consumed at the place of production.
therefore
largely determined by the
area they
serve.
Their location is
consumption needs of the
Population is an important factor, but it is
apparent that the relative importance of a city in these indus­
tries would parallel its relative importance as an industrial
and business center.
Office and clerical workers represent a surprisingly large
proportion of the total employees in these industries.
The per
cents for the United States and New York City, wherever avail­
able, are summarized as follows:
Per Cent
New York City
Electric light and power
33.00
G-as lighting companies
27.55
Street transit companies
8.24
Telephone company
25.63
Railroad companies
(No data)
Telegraph and cable companies
"
United States
(No data)
"
9.11
19.50
16.44
28.49
Figures for electric light and power, gas lighting, and street
transit companies are for 1932, telephone and telegraph compa­
nies, 1936, and all others, 1935.
In every one of these industries for which data extending
over a period of time were available, the proportion of office
247
and clerical workers has increased steadily up to the period
1930-1935, when the proportion of such employees began to show
a tendency to decline.
On the other hand, the proportion of
persons engaged in either producing or performing the servloes
rendered by these companies has declined continually.
Very marked technological improvements have characterized
all of these industries with the result that the operating ef­
ficiency of wage earners or operatives has increased substan­
tially.
In street transit companies, a smaller number of employ­
ees are required today to transport approximately two and a quar­
ter times the number of passengers carried in 1908.
No compara­
ble developments affecting the work of office employees in these
industries has been apparent, with the result that the propor­
tion of such employees in relation to the total personnel in the
industry has Increased.
It is probable that the slight relative
decline in the number of these office and clerical workers since
1930-1935 reflects an attempt to increase the efficiency of of­
fice workers through greater mechanization of the clerical opera­
tions.
As in the case of manufacturing, it is also probable that
part of the increase in the efficiency of wage earners may be
attributed to the organization work done in the office, or that,
inversely, greater specialization of duties, greater mechaniza­
tion of work, more planning, and systemizatlon created a greater
need for office workers to record, systematize, and plan the
work done by wage earners.
In either case, it is apparent that
the future indicates a gradual reduction in the relative number
of office workers, unless technological improvements in the pro-
248
ductive departments continue at a faster rate than In the of­
fice departments.
The proportion of salaried executives has declined In most
Industries where separate figures are available.
This may be
considered usual whenever the average size of companies Increases.
Despite the fact that public-utility operating companies
are very largely controlled by multi-unit establishments, there
does not appear to be any unusual concentration of office em­
ployees in New York City, as has been found to be the case in
manufacturing and other types of businesses.^
This may be due
to the fact that office employees of holding companies are not
included with the employment statistics given here.
In the case of electric light and power companies and
telephone companies, the proportion of office workers is slight­
ly higher in New York City than in the United States.
This, how­
ever, is not due so much to any concentration of office workers
for out-of-town companies as to the relatively greater efficiency
of wage earners and operatives in New York City telephone and
electric light and power companies, requiring relatively fewer
wage earners, and increasing the proportion of office and other
employees.
On the other hand, office workers in street transit
companies are relatively less numerous in New York City transit
companies than in the country as a whole.
This may be attrib­
uted to the distinctive character of the transit service conduct­
ed in New York City.
Rapid-transit companies which predominate
in New York City employ relatively fewer office workers than do
1.
See Manufacturing, p. 57; Wholesale distribution, pp.
86-87; security dealers, p. 163.
249
street railway and motor bus lines (see page 235).
No figures on steam railroad employment In New York City
are available.
These would probably show a certain degree of
concentration of railroad office employees in New York because
of the location in that city of the executive and central ad­
ministrative offices of the principal railroads in the country
(see page 193).
The future of the gas and electric light and power, trans­
portation, and communication enterprises in New York City is
closely tied up with the future of the manufacturing, wholesale,
retail, and financial establishments they serve.
PART VI
SERVICE INDUSTRIES NOT INCLUDED ELSEWHERE
CHAPTER I
INTRODUCTION
There now remain a few other fields of industrial and busi­
ness activity that have not yet been analyzed.
These will be
grouped in this section under the single designation of service
Industries.
The businesses and industries to be discussed in­
clude: hotels, amusement enterprises, construction contractors,
business services, personal services, and repair and custom in­
dustries.
The common characteristic of these Industries is that
they are engaged in the production of services that do not enter
into commerce, but are usually consumed at the place of produc­
tion.
A chapter on public or civil service has been added to in­
clude that very important and constantly increasing source of
employment.
As in the case of the industries and businesses previous­
ly analyzed, the service and other industries and businesses to
be studied in this section will be studied chiefly in relation
to their place in the business life of New York City and the
probable effect they will have upon the future need for busi­
ness workers in that city.
The sources consist largely of the United States Census of
Business for 1935, covering service establishments, amusements,
251
construction, and hotels, the 1933 Census of American Business
covering services, amusements, and hotels, and the Decennial
Census of 1930 covering construction and hotels.
In the case
of business services, New York City business directories will
be used to supplement the census data.
The reports of the va­
rious civll-service bodies will be used as a basis for the
chapter on public employment.
CHAPTER II
HOTELS
The hotel Industry, from the point of number of employ­
ees, may be considered one of the Important industries In New
York City.
The 36,893 persons engaged In this field in New
York City in 1935 exceeded the number engaged in street tran­
sit companies or in the electric light and power companies in
the same city.
The trend of such employment for the three periods for
which census data are available is briefly summarized as fol­
lows:
TABLE XLVI
Hotel Employees and Proprietors in New York City,
1929, 1933, and 1935
Number of Workers
Year
1929
1933
1935
Employees
41,874
24,255
36,752
Proprietors
225
232
141
Total
Workers
42,099
24,487
36,893
Per Cent Total
United States
14.88
10.94
14.24
Source: United States Bureau of the Census, Census of Busi­
ness, 1935, Hotels, Table 14,-pp. 44-46.
Obviously, in view of the abnormal conditions prevailing during
the period covered by these censuses, no indication of a trend
is possible from these figures.
Comparison with the figures for
the other cities (see Appendix, page 457 ) shows that the hotel
industry is dependent upon the presence of commercial, indus­
trial, and financial enterprises.
That New York City is the most
253
Important center in the United States for transients requiring
hotel services is undoubtedly due to the presence of the other
enterprises already mentioned, as well as to the added cultural,
political, and other activities which naturally gravitate to the
meti’opolis of the nation.
The 14.24 per cent of the total hotel
employment in the United States is considerably in excess of the
city's share of the country's population (5.72) for the same
year and more closely approximates its share of the nation's bus­
iness.
Proportion of Business Workers in All-Year-Round Hotels
Table XLVII shows the per cent of total hotel workers in
each of the leading cities in the United States engaged in the
following business occupations: office and clerical employees,
executives and proprietors.
It is quite apparent that the proportion of office and
clerical employees in New York hotels does not vary much with
the country as a whole, but it is considerably smaller than in
some of the other larger cities, particularly Chicago, Los An­
geles, and San Francisco.
The chain system is fairly common in
the hotel business, but it is unlikely that much of office work
connected with the operation of even the chain hotels is con­
ducted away from the hotel.
Likewise, hotels are engaged in
furnishing a service, which like that of the public-utility com­
panies described in the preceding section, cannot be convenient­
ly transported, but must of necessity be consumed at the place
produced.
This naturally does not permit the location of any
part of the personnel at any distance from the place where the
254
service is to be rendered.
The proportion of proprietors and executives is probably
determined by the size of the average hotel.
Cities having com'
paratlvely large hotels show a smaller ratio of proprietors and
executives.
There does not appear to be any relationship be­
tween the size of establishment and ratio of office workers in
hotels.
TABLE XLVII
Percentage of Office and Other Business Workers in Hotels
of Leading Cities in the United States, 1935
____
Per Cent of Total Workers8,
City
Office
and Cler­
ical Em­
ployees8
Executives
and Sala­
ried Officersa
Propri­
etors
Number of
Workers
Per Hotel
New York City
6.96
1.08
.38
96.1
Chicago
Philadelphia
Detroit
Los Angeles
Cleveland
St. Louis
Baltimore
Pittsburgh
San Francisco
Boston
9.08
6.00
8.44
9.15
4.78
6.54
6.72
7.96
11.25
5.99
1.89
1.25
1.14
.73
.75
.80
.80
1.36
1.62
1.71
1.77
1.89
2.42
10.09
2.11
2.24
2.68
1.40
7.06
.28
35.7
49.1
30.1
New York State
6.09
.93
3.41
61.4
United States
6.92
1.02
7.92
27.3
a)
36.0
36.6
47.3
85.9
97.6
Per cents based upon total number of employees and pro
prietors.
Source: United States Bureau of the Census, Census of Business,
1935, Hotels, Table 10A, p. 32.
Both the number and occupational distribution of the per­
sonnel of hotels are largely determined by the particular type
of hotel service furnished.
Hotels doing an extensive restau­
255
rant business have a much larger number of employees for the
same number of rooms than hotels not particularly a.ctive in
this field.
The larger number of kitchen and serving employees
tends to reduce the proportion of office and clerical workers.
CHAPTER III
PLACES OP AMUSEMENT
The type of business Included under this classification
is listed in detail in the special report Places of Amusement
issued in connection with the 1935 Census of Business,
Relative Position of New York City in the Amusement Business
Employment figures for this industry are available for
1933 and 1935 as follows:
Number of Workers in New York Citya
Year
Employees
Proprietors
Total
Workers
Per Cent
of United
States
1933
9,928
952
10,880
7.37
1935
17,562
1,301
18,863
9.98
a)
These figures are proba,bly Incomplete because of the
transient and temporary character of many of these
enterprises.
Source: United States Bureau of the Census, Census of Business,
1935, Places of Amusement; 1933, Services, Amusements,
Hotels.
*
The specific types of amusement enterprises Included are
amusement devices, amusement parks, bands and orchestras,
baseball and football clubs, sport and athletic fields
and sports promotors, bathing beaches, billiard and
pool parlors and bowling alleys, boat and canoe renting
service, circulating libraries (commercial), dance halls,
studios and academies, horse and dog racetracks, riding
academies and skating rinks, swimming pools (not in­
cluding municipal), theaters (legitimate stage and mo­
tion picture), theatrical productions, and other amuse­
ments,
For a description of each type of business, see
United States Census of Business, 1935, Places of
Amusement. pp. vi, vii, vlii, and ix.
257
The very substantial increase in employment in this field
between 1933 and 1935 reflects the improvement in business con­
ditions during this period.
This is obviously a business that
is exceptionally sensitive to fluctuations in economic condi­
tions.
Services rendered by these establishments are of a type
that are more in demand in large cities.
This accounts for the
larger proportion of total United States employment in this in­
dustry in New York City than would be justified by its popula­
tion.
Occupational Distribution of Workers in Amusement Enterprises
Although information on the number of clerical employees
was requested at the 1935 Census of Business, misinterpretation
of the term by persons responding to the reports prevents the
use of this material.^
However, data on the number and propor­
tion of proprietors and employees are available, as shown in
Table XLVIII which compares the composition of the personnel in
amusement enterprises in New York City with the United States.
TABLE XLVIII
Composition of Personnel in Amusement Enterprises,
1933 and 1935
Year
Proprietors
Employees
Number Employees
Per Establishment
Per Cent Distribution
United States
New York City
1935
1935
1933
1933
16.51
8.75
6.89
20.52
83.48
91.25
93.11
79.48
8.49
4.19
Source: United States Bureau of the Census, Census of Business,
1935, Places of Amusement; 1933, Services, Amusements, Hotels.
1^
Places of Amusement, p. xl.
258
New York City amusement enterprises have a much smaller
proportion of proprietors than amusement enterprises through­
out the country, because of the larger average size of the New
York City amusement enterprise.
CHAPTER IV
CONSTRUCTION ESTABLISHMENTS
The 1935 Census of Business defines a construction estab­
lishment as "a place In or from which are conducted the esti­
mating, bidding, selling, and other central or branch office
activities relating to construction."^
tions at the site of construction.
This includes opera­
The Census classifies con­
struction establishments further into general contractor, gen­
eral contractors-building, general contractors-highway, gener­
al contractors-heavy, operative builders, and special trade con­
tractors.2
Employment in this field is subject to wide fluctuations
as shown by the following figures for New York City:
Number of Workers in Contruction
Year
Number
Employees
Proprietors
Total
Per Cent
of Total
United
States
1929
106,350
931
107,287
10.54
1935
39,499
4,928
44,427
10.49
Source: United States Bureau of the Census, Fifteenth Census
(1930), Construction Industry; Census of Business, 1935,
Construction, v. II.
In 1929, the construction industry was one of the major
industries of the city in number of workers.
with the street railway and hotel businesses.
1.
2.
Construction Industry. Vol. II, p. vlil.
Ibid., p. ix.
In 1935, it ranked
260
Although comparable employment statistics for the con­
struction business in New York City are not available before
1929, some measure of the trend of that Industry in New York
City is given by the following figures showing the value of
building construction in New York City from 1900 to 1936:
TABLE XLIX
Value of Building Construction in New York City from
1900 to 1936
Year
Estimated Cost
in Thousands
Year
1900
1910
1920
1925
1929
1930
78,292
194,059
221,266
946,917
861,220
353,058
1931
1932
1933
1934
1935
1936
Estimated Cost
in Thousands
305,167
54,858
49,888
53,065
108,935
162,866
Source: F.W. Dodge Corporation.
It is apparent that the construction business is subject
to wide yearly fluctuations, which makes an analysis of trends
very difficult.
Construction establishments do not confine their activi­
ties to their home city as shown by the following figures from
the 1930 Census;1
PROPORTION OF TOTAL CONSTRUCTION
WORK PERFORMED IN HOME CITY
Total United States
New York City
Boston
Ohio ago
Cleveland
1.
57.1
71.3
28.5
70.5
57.4
United States Bureau of the Census, Fifteenth Census (1930),
Construction Industry. Table 3.
261
Detroit
Los Angeles
Philadelphia
St. Louis
San Francisco
74.7
64.9
56.2
64.4
51.9
Larger cities apparently perforin a greater proportion of
their construction work In their home city, probably because of
the greater opportunities for such work.
Occupational Distribution of Workers In Construction
The fact that not all of the work done by contractors Is
performed In their home city would indicate that they can lo­
cate their home office where most convenient.
Large firms en­
gaged In the construction contracting business are more likely
to be located In big cities, where they maintain their office
and planning departments.
Wage earners on the other hand are
more likely to be recruited from the area in which the construc­
tion work is to be done.
This is reflected in the following oc­
cupational analysis of business workers in this industry in
1929 when complete figures for cities were available.
It is apparent that the proportion of officers and cler­
ical staff Is higher In New York City than in most cities and
the country as a whole (Pittsburgh alone of the larger cities
exceeding New York).
foremen.
The same is true for superintendents and
The proportion of proprietors and firm members on the
other hand is lower in New York than in most other cities.
The higher ratio of clerical workers and officers in New
York City construction establishments may to some extent be due
to the probable larger proportion of Incorporated businesses
with salaried officers taking the place of firm members, but
262
much is also due to the fact that the New York City construc­
tion firms maintain a larger proportion of their administrative
and planning departments in New York City.
TABLE L
Percentage of Business Workers in the Construction Industry
in the United States and Leading Cities, 1929
Proprietors
and Firm
Members
City
Officers
and Cler­
ical Staff
Superin­
tendents,
Foremen
Wage
Earners
United States
2.66
5.82
4.28
87.23
New York City
.87
7.92
4.94
86.27
Boston
Chicago
Cleveland
Detroit
Los Angeles
Philadelphia
Pittsburgh
St. Louis
San Francisco
.92
1.76
.56
2.16
3.49
1.99
1.46
1.61
3.06
4.10
7.04
4.83
6.99
7.08
6.93
7.96
6.95
6.19
3.52
4.40
4.34
4.75
4.21
4.63
4.21
4.20
4.58
91.46
86.80
90.27
, 36.10
85.2.2
86.45
86.36
87.23
86.17
Source: United States Bureau of the Census, Fifteenth Census
(1930), Construction Industry.
Comparison in the Occupational Distribution of Workers in the
Construction Industry. 1929 and 1955
Comparison between the 1929 a n d 1955 figures is made dif­
ficult because different occupational. classifications were used
at both censuses of the construction industry, and figures limit­
ed to states and geographic regions in 1935.
However,
some in­
dication of the changing occupational distribution of workers in
this industry is possible by an analysis of the figures for New
York State during both periods.
Because of the different occupational groupings used in
both censuses, the comparison will be limited to total salaried
263
employees (which includes clerical staff, corporation officers,
technical employees, and foremen), proprietors, and wage earn­
ers.
TABLE LI
Comparison in the Occupational Distribution of Workers
in the Construction Industry in New York State,
1929 and 1935
Occupational Group
Per Cent of Total Workers
1935
1929
1.52
8.80
Salaried employees
12.03
13.54
Wage earners
86.45
77.67
Proprietors
Source: United States Bureau of the Census, Fifteenth Census
(1930), Construction Industry; Census of Business, 1935,
Construction, v. II.
Proprietors in 1935 represented a much larger proportion
of the personnel in the construction industry in New York State
than in 1929.
The ratio of salaried employees is also some­
what higher, with wage earners naturally showing a relative de­
cline equal to the gains in the other two groups.
This increase
in the ratio of salaried employees to total workers in the con­
struction industry between 1929 and 1935 appears to have occurred
at a time when the ratio of salaried employees in most other in­
dustries declined (see pages 36 and 53), but it may readily be
ascribed to the very substantial decline in the construction
business during this six-year period (see page 259), a decline
even greater than that of most other industries.
Proprietors
and office and technical employees usually form the skeleton
staff of construction contractors when little or no construction
264
Is actually being done.
Wage earners are usually employed when
#
contracts are acquired and work begun.
*
Compare this with a similar situation in factory employ'
ment.
See Manufacturing, page 40.
CHAPTER V
BUSINESS SERVICES
Under this classification are included establishments en­
gaged in furnishing services to businesses, as compared to per­
sonal services which are intended to meet personal needs, and
repair and custom industries, which are closely related to manu­
facturing and production.
The United States Census of Business for 1935
1
lists the
various types of businesses that are Included in this classi­
fication and describes each business in detail.
These are re­
peated here because of their significance in a study of busi­
ness occupations:
Adjustment and credit bureaus, and collection agencies
Billboard advertising service
Blueprinting and photostat laboratories
Coin-operated machine rental and repair service
Court reporting and public stenographic agencies
Dental laboratories
Disinfecting and exterminating service
Duplicating, addressing, mailing, and mailing-list
service
Employment agencies
Freight forwarders and custom-house brokers
Insurance-claim adjustment offices (independently
operated)
Linen, coat, apron, and overall supply service
Photo-finishing laboratories
Sign-painting shops
Ticket agents and brokers, and travel bureaus
Title and abstract companies
Window-cleaning service
Other business services (advertising representatives,
armored-car service, booking agents' offices,
bottle exchanges, business, financial, and sta­
tistical reporting service, copywriters, de1.
Service Establishments. Vol. II, pp. x, xi, xii.
266
tective agencies, distributing service, messen­
ger service, packing service, press-clipping
service, protective agencies, theater-ticket
agents and brokers, ticker service, transpor­
tation terminals (independently operated),
truck freight brokers' offices, weighing ser­
vice, window-display service)
The total employment in these businesses in New York City
in 1935 was 48,369, which represented 24.4 per cent of the to­
tal for the United States.
To this list must be added advertising agencies and broad­
casting stations, which in 1935 were reported separately by the
United States Census Bureau.^"
Other firms engaged in furnishing business services on a
professional level, such as accounting firms and attorneys, were
not included.
Figures concerning these activities will be sup2
plemented with data from business directories.
Table LII furnishes a summary of employment in the business-servlce establishments included in the United States Cen­
sus of Business for 1933 and 1935, for which separate figures
are available, together with the per cent of the total United
States employment in each business in New York City.
It is apparent that New York City predominates as a cen­
ter for most types of business services.
1.
2.
Unfortunately, separate
Census of Business. 1955. Advertising Agencies and
Broadcasting.
Trow's Business Directory published by R.L. Polk & Co.,
New York City, is the successor of the Wilson Business
Directory which has been published continuously since
1850.
Philips' Business Directory, published by the Philips
Directory Co., New York City, is being used for 1930
and 1935 as the Trow Business Directory was not pub­
lished during these two years.
267
TABLE LII
Number of YJorkers in Business-Service Establishments in New York
City W ith Per Cent of Total United States in Each Business,
1933 and 1935
______
*
935
1933
Per
Per
Pro­ Employ­
Pro­ Em­
Business
pri­ ees
pri­ ploy­ Total Cent
Total Cent
Service
etors
etors ees
U.S.
U.S.
Adjustment
and credit
bureaus
Advertising
agencies
Billboard ad­
vertising
agencies
Blueprint
and photo­
stat lab­
oratories
Dental lab­
oratories
Duplicating,
addressing,
and mailing
service
Employment
agencies.
Linen, coat,
apron sup­
ply
Sign-paint­
ing shops
Radio Broad­
casting
Y/indow clean­
ing
70
2,447
2,517
19.13
177
3,747
3,924
30.79
4
379
383
21
307
328
189
639
80
261
3,121
3,270 16.68
a
6
579
585 10.50
25.69
37
542
579 29.57
728
21.39
333
980
1,313 19.11
622
702
28.85
178
1,404
1,582 27.97
404
665
35.89
348
660
1,008 33.61
67
1,158
1,225 27.59
551
378
1,929 11.89
a
a
343
149
127
470
9.40
754
s.
a
134
1,579
754
6.04
1,713 25.92
All other
business
service
workers'5
a
1,801 34,364 36,165
Total business
workers13
a
3,604 45,519 49,123 24.40
a)
Insufficient data.
(b) Excluding accountants, etc.
Sources: United States Bureau of the Census, Census of American
Business, 1933, Services, Amusements, and Hotels; Census of
Business, 1935, Service Establishments, v. II. In 1935, radio
broadcasting and advertising agencies were included in separate
reports designated Radio Broadcasting and Advertising Agencies.
268
figures were not given for several other business-service es­
tablishments which are probably largely concentrated in New
York City, such as freight forwarders and custom-house b r o ­
kers, independently operated insurance-claim adjustment of­
fices, ticket agents and brokers and travel bureaus, and title
and abstract companies.
In 1935, 36,165 of the 48,369 per­
sons reported employed in business-service establishments in
New York City were combined in the single designation "other
business services," which included all the other business ser­
vices listed on page 265•
Figures for some of these businesses
1
are available for the United States only.
It is also quite
probable that New York City employment in such businesses as
freight forwarding and custom-house brokerage would exceed that
of many of the business services specifically listed in Table
L II.
Public Accountants
These furnish a business service that should be included
in this chapter.
Unfortunately, the United States Census of
Business combined workers in this business with architects, com­
mercial artists, and engineers in the single designation Pro­
's
fesslonal Service Businesses.
Figures for this group were not
given for New York City in 1935, although in that year New York
State accounted for 12,446 or 25.03 per cent of the total em­
ployees in this group in the United States.
1.
2.
Proprietors and
United States Bureau of the Census, Census of Business,
1935, Service.Establishments, v. II, p. 1.
Non-Profit Organizations. Office Buildings. Miscellaneous.
p. 1.
269
firm members are not included.
Some measure of the growth of
public accounting enterprises in New York City is available in
the number of public accountants listed in New York City busi­
ness directories.
In Table LIII, an actual count is given of
the number of public accounting establishments listed in Trow*s
Business Directory from 1850 to 1920 and Philips' Business Di­
rectory for 1930-1931 and 1935.
TABLE LIII
Number of Public Accounting Establishments in New York City
as Listed in New York City Business Directories, 1850-1955
Year
1850
1860
1870
1880
1890
Number of
Firms
14
7
11
31
62
Year
Number of
Firms
1900
1910
1920
1930
1935
192
460
1,612
1,451
1,317
The public accounting business apparently reached impor­
tant proportions during the period 1910 to 1920, when the in­
come tax was generally introduced.
Recent figures of the number of accounting establishments
are an inaccurate measure of employment, since establishments
are larger, with a greater average number of employees.
Occupational Distribution of Workers in Business
Service Establishments
No information on the occupational distribution of work­
ers in this field was furnished by the United States Census of
#
Business.
The proportion of proprietors for all establishments
Except for broadcasting stations.
270
included with business services (except advertising, broad­
casting stations, and accountants) was 7.45 per cent in 1935
(see Table LII, page 267).
This, however, varies widely for
the different types of business services.
The nature of the
service rendered by these establishments would Indicate that
the greater proportion of the employees were engaged in some
type of business occupation.
CHAPTER VI
OTHER SERVICES
All other remaining service businesses for which data are
available will be combined in this chapter, because their func­
tions and the occupations of most of the people they employ fall
outside of the field of business education.
The following table gives the number of proprietors, em­
ployees, and total workers and the per cent of the total United
States for each of the grouos of service industries listed in
1
the United States Census of Business for 1935.
TABLE LIV
Number of Workers in New York City, in Various Types of
Services, Other Than Business Services, With the Per
Cent of the Total United States in Each Business___
Number of Workers
Proprietors Employees
Personal Services
41,146
37,035
78,185
Per Cent
of Total
u -s^
11.82
Automobile repair
services
2,348
7,403
9,751
14.05
Other repair
services
5,789
3,257
9,046
8.80
Custom industries
4,435
3,952
8,387
2.60
850
3,773
4,623
20.12
54,568
55,424
109,992
9.83
Tyne of Service
Business
Miscellaneous
services
Total
Total
Source: United States Bureau of the Census, Census of Business,
1935, Service Establishments, v. II.
1.
Service Establishments. v. II. For description of the spe­
cific types of businesses included in each group, see
pages vil to xxi.
Figures for the more important indi­
vidual businesses are also available for New York City
on page 172.
272
Personal services represent an industrial group that is
numerically more important than any other group of service bus­
inesses.
Most of these businesses are engaged in furnishing a
service to individuals and as such usually locate near the pop­
ulation they serve.
The per cent of the total United States
workers in New York City for each of these service businesses
with the exception of custom industries is larger than New York
City's share of the country's population in the same year (5.72
per cent).
This is probably because these services are in great­
er demand in large cities.
No information is available as to' the number and propor­
tion of business workers in these businesses, other than num­
ber of proprietors, although in view of the type of service they
render and the very large proportion of proprietors, indicating
comparatively small establishments, there is not much opportun­
ity for the employment of business workers except in the very
few larger firms.
CHAPTER VII
ESTABLISHMENTS ENG-AGED IN NONBUSINESS FUNCTIONS
Although this study is concerned primarily with an anal­
ysis of the economic life of the city, some mention must be
made of those activities which, while not primarily concerned
with the performance of business functions, employ persons who
are engaged in the business occupations that fall within the
scope of this study.
Some of these would be: employees of city, county, state,
and Federal governments, engaged in government functions (em­
ployees of public utility and other business enterprises con­
ducted by government agencies have, of course, been Included
with the analysis of the specific industry); personnel of in­
dividuals, firms, and institutions engaged in furnishing pro­
fessional services, such as physicians, dentists, lawyers, etc.
In the absence of adequate statistics, a few general
statements tirlll be made to summarize the relative position of
these fields as sources of business employment in New York City.
The sources of data for civil-service employees will be the an­
nual reports of the Municipal Civil Service Commission of the
City of New York, the New York State Department of Civil Ser­
vice, and the United States Civil Service Commission.
Public or Civil Service
The recent large expansion in the number of employees in
the various city, county, state and Federal governments is a
274
matter of common knowledge.
Some of this employment is, of course,
of an emergency character and temporary In nature.
Much of It Is
permanent and reflects the Increase in the place and function of
government in economic as well as all other phases of life. Some
of it, such as the operation of the Independent Subway System in
New York City, is distinctly commercial in character and as such
ha.s been included with the public-utility section of this study.
Number of Government Employees in New York Olty
There is no actual count of the number of persons in New
York Olty employed by the city, county, state, and Federa.1 gov­
ernments, as state and Federal employees are not classified ac­
cording to the city in which they are employed.
Available data
will be used, however, to arrive at an estimate.
The following figures show the growth of employment in the
New York City classified civil service.
TABLE LV
Number and Distribution of Employees in the New York City
Classified Civil Service, 1916 to 1937
Year
1916
1921
1925
1929
1931
1932
1933
1934
1935
1936
1937
Number of Employees
Nonlabor
Total
37,427
54,322
57,416
41,209
70,409
50,887
62,063
86,263
67,196
94,443
89,400
63,888
90,411
65,630
85,796
62,487
64,722
89,002
71,706
95,573
80,380
107,147
Per Cent
Nonlabor
68.90
71,77
72.27
71.95
71.15
71.46
72.59
72.83
72.72
74.71
75.02
Source: Municipal Civil Service Commission of the City of New
York, Annual Report, 1916-1937.
275
The nonlabor group includes clerks, as well as policemen,
firemen, and others who were required to take some form of lit­
erary test.
These are largely the employees that would benefit
from some form of business education if merely for the purpose
of assisting them in passing their examination.
It is inter­
esting to note that the proportion of city employees in this
group has increased fairly steadily since 1916.
The total number of city, county, state, and Federal gov­
ernment employees may be estimated by allocating to New York
City, county, state, and Federal employees on the basis of pop­
ulation, as follows:
Estimated Number of Federal, State, County, and City
Government Employees in New York City, 1935
New York State and County
28,552a
United States Executive Service
41,152b
New York City Civil Service
89,002°
New York City Teachers
35,130^-
Total
a)
b)
c)
d)
193,836
Based upon 56.59 per cent (Ratio New York City to New York
State population) of 50,455, the total number of New
York State and County employees in 1935.
(State of New
York, Department of Civil Service, Annual Report, 1935).
Based upon 5.72 per cent (Ratio of New York City to total
United States population) of 719,440 employees in the
United States Executive Civil Service, 1935.
(United
States Civil Service Commission, Annual Report, 1935).
Municipal Civil Service Commission of the City of New
York, Annual Reports.
City of New York, Superintendent of Schools, Annual Report,
1935.
276
The importance of government employment is thus clearly
indicated.
Without inoludlng employees on WPA and PWA govern­
ment projects, government agencies in New York City in 1935
ranked above all financial institutions and service establish­
ments as a source of employment.
Occupational Distribution of Employees in Government Service
Unfortunately, the personnel of most city, state, and Fed­
eral bureaus is given by department rather than by occupation.
Nevertheless,
some basis for determining the proportion of cler­
ical employees in government service is furnished by the follow­
ing figures taken from the 1910 and 1930 Census Reports on OcTABLE LVI
Comparison in the Occupational Distribution of Gainfully Oc­
cupied Persons in the Federal, State and City Government
_______ Service in the United States, 1910 and 1930___________
Occupational Group
Officials
Public Safety
(excluding soldiers,
sailors, and marines)
Professional employees
Clerical employees
Skilled trades
Labor, and other un­
skilled workers
Total Civil Service
Soldiers, sailors,
marines
Total Government
Service
1910
Number Per Cent
1930
Number
Per Cent
17.46 •
130,095
14.19
199,316
7,393
67,867
20,742
44.45
1.65
15.14
4.62
297,414
47,791
182,455
70,828
32.44
5.21
19.90
7.73
74,799
16.68
188,163
20.53
448,388
100.00
916,746
100.00
78,271
84,365
132, 830
532,753
1,049,576
Source: United States Burea.u of the Census, Thirteenth Census
(1910), Population, v. IV, Occupations; Fifteenth Census
(1930), Population, v. V, General Report, Occupation
Statistics.
277
cupatlons for the entire country.
A comparison with an earlier period is possible with the
following figures furnished for New York State in 1875, as a re­
sult of the New York State Census of that year.
Occupational Distribution of Government Employees in
New York State in 1875
Occupational G-roup
Number
Clerks
Officials
Other employees
978
3,189
9,828
Per Cent
6.99
22.78
70.23
Source: Secretary of State, New York State, Census of the State
of New York for 1875.
It is apparent from the foregoing figures that the propor­
tion of clerical workers in government service has increased from
1875, when it was about 7 per cent in New York State, to 15.14
per cent in 1910 and 19.90 in 1930.
This increase in the ratio of clerical workers in govern­
ment service may best be explained by a greater need for cleri­
cal workers to perform the new services assumed by the govern­
ment during these years, and greater specialization of duties, a
factor tha.t has been common in increasing the ratio of clerical
workers in all industries previously analyzed.
Business V orkers
In Professional Offices
There were 505 law firms listed in Philips' New York City
Business Directory for 1935.
tablishments only.
These represent the number of es­
Many of these law firms employ lawyers, law
clerks, as well as stenographers and general clerks.
It is dif­
ficult to estimate the number of such clerical employees with
278
any degree of accuracy, although Judging from the demand for law
stenographers and other clerks law offices should represent an
important source of clerical employment in New York Olty.
Physicians, dentists, and persons in related professions
frequently employ assistants who usually combine clerical with
clinical duties.
There has recently been a marked tendency for
groups of physicians to locate in the same office where they are
able to avail themselves jointly of clerical and laboratory ser­
vices that would not be possible otherwise.
Statistics are of
course not yet available as to the number of such employees, al­
though employment agencies report an increasing demand for re­
ceptionists and other clerical workers who have some training in
duties related to the dentist's or physician's office.
Office
workers in hospitals and institutions would also fall into this
group.
Some comparison between 1910 and 1930 in the proportion of
clerks and other business workers in professional establishments
is possible from the figures in Table LVII, based upon data con­
tained in the United States Census returns on Occupations for
1910 and 1930.
It is apparent that the ratio of office workers and sales­
persons with professional firms and institutions has increased
substantially during this period.
Larger organizations with a
corresponding greater specialization of duties have probably been
an important factor.
279
TABLE LVII
Comparison in the Occupational Distribution of Business Workers
in Professional Establishments in the United States, 1910
and 1930
Occuoational Group
Number
Office workers
(clerks, book­
keepers. stenog­
raphers)
Salespersons, etc.
Others
Total 8
a)
1910a
Per Cent
Number
1930
Per Cent
70,556
4.12.
252,528
7.41
3,264
.19
10,753
.32
1,638,669
95.69
3,145,666
92.27
1,712,489
100.00
3,308,947
100.00
Professional establishments here also include amusement
enterprises, which in 1930 represented about 13 per
cent of the total professional workers in that year.
Sources: United States Bureau of the Census, Thirteenth Cen­
sus (1930), Population, v. IV, Occupations; Fifteenth
Census (1930), Population, v. V, General Report, Occupa­
tion Statistics.
CHAPTER VIII
SUMMARY
The industries and activities included in this section
employ a surprisingly large number of people in New York City.
Civil service alone ranks after manufacturing, distribution,
and public utilities in number of employees in 1935, with the
service industries employing approximately the same number.
The
number of workers engaged in the businesses, industries, and ac­
tivities included in this section was 447,655 in 1935, or more
than the number engaged in retail distribution or any other ma­
jor industrial or business group except manufacturing.
Information on trends is available only for a few of
these phases of New York City business life, but it is safe to
say that all of these activities ha.ve shown considerable growth
since the turn of the century.
Hotels, amusement enterprises,
and most of the service Industries, being essentially engaged
in furnishing services in the non-necessity class, have been ex­
ceptionally hard hit during the depression period, and show
marked declines between the two census periods of 1929 and 1935
when data on these industries were compiled.
This decline, how­
ever, should be temporary and as business improves many of the
employees released as a result of the Increased efficiency of
workers in the goods producing industries should find employ­
ment in new service Industries devised to Improve living stand­
ards, and in the expansion and improvement of old services,
281
which are rapidly becoming necessities in city life.
The construction Industry is subject to wide fluctuations
in activity.
Employment in this field has dropped considerably
since 1929, although the relative position of New York Olty in
this field has not changed.
Public or civil service alone of all the major fields of
economic life included in this section has shown continued ex­
pansion since 1929.
It is quite probable that the business d e ­
pression in part has been responsible for the assumption of added
functions b y government.
Government employment apparently does
tend to take up some of the slack in private employment.
Relative Positions of New York Olty in These Fields of Work
Most of the businesses and activities Included in this
section are located near the population they serve.
struction industry is an exception.
The con­
Because of this factor, we
cannot expect concentration of these activities in certain areas where service is rendered for distant localities, as in
the case of manufacturing or wholesale distribution.
Certain
industries, however, like hotels, amusement enterprises, per­
sonal and auto-repair services, are b y their very nature urban
industries, since they are dependent upon the industrial and
commercial life of the city.
New York City therefore accounts
for a larger proportion of the workers in these industries than
would be justified by its population alone.
Government services
are likewise more common in urban than in rural communities.
In
the absence of state and Federal employment figures for New York
City* it ls impossible to determine the proportion of total gov­
282
ernment workers in that city.
Because, of the importance of New
York City as a commercial and financial center, it is but nat­
ural that that city should serve as a center for firms engaged
in furnishing business services, such as advertising, adjust­
ment and credit bureaus, etc.
Business Workers in Service Industries and Publ1c Service
The proportion of clerical workers in most service indus­
tries is small, largely because of the comparatively small size
of the average establishment, which consists of a proprietor and
an average of less than two employees.
Under these conditions
clerical and sales functions are usually performed by the pro­
prietor and the other workers in connection with their other du­
ties.
The business services are an exception of course.
The
ratio of business workers here should be high for such enter­
prises as advertising agencies, credit agencies, etc., but low
for window-cleaning service establishments, sign-painting shops,
etc.
The bulk of the business workers in the functions analyzed
in this section should be in public employment.
The exception­
ally large proportion of clerical \rorkers in this field, 19.9
per cent in 1930, if applied to the total number of government
workers estimated in New York City— 193,836 in 1935— should in­
dicate a total of 38,573 clerical workers, which is more than
the number of clerical workers in banking, in Insurance, and in
the security business in New York City, and not much less than
the number in wholesale establishments.
In the few fields of economic activity in this section for
which comparable data are available over a period of years, the
283
trend has been definitely towards an increase in the proportion
of clerical and other business workers.
hotels and public service.
This has been true for
In the construction Industry, com­
parable figures are available only for the abnormal period of
1929-1935.
The ratio of clerical and other business workers ap­
pears to be higher here in 1935 than in 1929.
This, however,
should not be accepted as a trend, but rather the result of an
extreme decline in activities in this industry during these two
periods.
Comparative figures are available for the ratio of office
and other business workers in the construction and hotel indus­
tries for New York and other cities.
The ratio of office and
other business workers is higher for New York City construction
contractors than for firms engaged in the same business in other
cities, probably because the administrative and planning depart­
ments are usually located in large cities, without regard to the
location of the construction work.
Hotels, on the other hand,
represent one of the very few industries where the proportion
of office and clerical employees is not higher in New York City
than in most other cities, or the country as a whole.
This may
be due to the distinct character of the service rendered by New
York City hotels, as well as to the probability that hotel or­
ganizations do not usually locate the various departments of
their business in different cities, even in the case of chain
establishments.
.'Ifcaais a«eeptoa
IfesJ
I
&
I
16, 1940
5
February
.
TABLE OF CONTENTS
VOLUME THREE
Chapter
Page
PART VII
OCCUPATIONS
I.
II.
III.
IV.
Occupations as a Phase of Business Life............
Comparison Between Employment and Occupation
Statistics.......................................
Analysis of Problem...............................
Sources of Data....................................
Other Studies of Occupational Trends.........
284
285
285
287
Occupational Trends in the United States...........
292
Conclusions Concerning General Occupational
Trends
....................................
295
Occupational Trends in the City of New York by
General Divisions of Occupations.................
304
Analysis of Changes in Occupational Distribu­
tion in New York City...........................
312
Trends in Business Occupations in the City of
New York...........................................
318
Sources and Method of Procedure..................
Analysis of Changes in the Trends of Specific
Business Occupations............................
V.
VI.
284
320
334
Comparison in the Trends of Business Occupations
in New York and Other Cities......................
350
Forecasts of Probable Future Trends of Business
Occupations in General and, New- York City in
Particular.................................
356
General Trends Affecting All Parts of the
Country..........................................
357
Trends in New York City........................
358
363
Trends in Specific Business Occupations..........
(continued)
Chapter
Page
PART VIII
SUMMARY AND CONCLUSIONS
I.
Summary of Trends In Businesses and Industries.... 368
Manufacturing....................................
Wholesale Distribution..........................
Retail Distribution.............................
Financial Institutions..........................
Public Utilities................................
Services.........................................
Summary of Employment in New York City by In­
dustries In 1935..............................
II.
Summary of Trends in the Occupational .Distribu­
tion of Workers.................................
Occupational Distribution of Workers in
Various Industries............................
Trends in the Occupational Distribution of
Business Workers as Shown by Statistics of
Industries and Businesses.....................
Comparison in the Occupational Distribution of
Workers in Industries and Businesses in New
York City and the Rest of the Country........
Conclusions Based Upon Statistics of Occupa­
tions. ....................................
III.
368
369
370
371
372
372
373
379
380
383
387
389
Some Educational Uses and Implications of This
Study.............................................
394
Bibliography........................................
399
Appendix............................................
425
A.
B.
Explanatory Notes Describing Procedure in
Adjusting Original Census Statistics on
Occupations for New York City and in
Estimating Figures Where urlginal ">ata
Are Incomplete...........
Supplementary Tables.........................
425
441
PART VII
OCCUPATIONS
CHAPTER I
OCCUPATIONS AS A PHASE OF ECONOMIC LIFE
In the general Introduction to this study, (see pages 4 to 7)
the business life of New York City was divided into two major
divisions:
1.
Industries and businesses engaged in providing
goods and services
2.
Individuals engaged in the occupations directly
related to the same activities
The previous chapters have been largely concerned with the
development of these industries and businesses in general and
their location in New York City in particular.
In this part,
an analysis will be made of the occupations, of the persons en­
gaged in these industries.
Comparison Between Employment and Occupation Statistics
Occupational data provide another approach to the study
of the economic and business life of a community.
Census fig­
ures for occupations are based upon the reports of individual
workers, whereas Industrial data are based upon the reports of
the business establishment.
While it may appear that both re­
turns should in the long run agree, such is rarely the case.
the first place, the Individual in reporting his occupation is
In
285
asked to give the type of work in which he is usually engaged
although he may at the moment he unemployed or temporarily oc­
cupied at some other form of work.
The business organization
is usually required to report the number of persons actually em­
ployed on a particular date (or in some cases the average for
the year).
Analysis of Problem
The general procedure followed in all phases of this study
will likewise be applied to the study of occupational trends.
A
proper understanding of the trends in business occupations in
the City of New York is dependent upon an analysis of
1.
General occupational trends for the country as
a whole
2.
The location of the occupations within the City
of New York
3.
a.
Trends in the general census divisions
of occupations to show the relation­
ship between trends in business oc­
cupations to those of other occupa­
tions
b.
Trends in specific business occupations
Interpretation of the changes in occupational dis­
tribution, and an analysis of probable causes
for the purpose of arriving at estimates of
future trends
Sources
The popular and almost exclusive use of census statistics
*
of occupations for the purpose of determining occupational trends
is probably due to the wealth of data available on the occupaAll of the studies in occupational distribution listed on
pages 28? to 290 and in the bibliography are based entirely
upon United States Census Reports on Occupations.
286
tlons of the population.
In connection with the decennial cen­
sus, the United States Government has compiled data on the oc­
cupations of the people since 1820.
The State of New York has
likewise collected data on the occupations of Its Inhabitants
during the Intervening periods from 1845 to 1875.
The nature
and scope of these data are shown In tabular form on pages 439
and 440 of the Appendix.
The limitations to the use of United
States Census statistics of occupations and the method of cor­
recting these figures are described In some detail on pages 13
to 14.
Occupational returns of individuals are always Included
in the place of residence of the worker, although he may be em­
ployed In some other city or state.
Industrial returns are in­
cluded In the reports for the city and state where the establish­
ment Is located without regard to the residence of the employ­
ees.
In the case of the City of New York, xtfhere large numbers
of persons work in the city but have their residences In West­
chester County, Long Island, or in the State of New Jersey, the
discrepancy is particularly large.1.
Census figures for occupations have been used as measures
of demand,
2
although it would appear that the reports of busi­
ness enterprises would more nearly correspond to demand and oc­
cupational data represent supply.
Such distinctions however have
little value in studying long-term trends as over "long periods
1.
2.
United States Census Office, Report of the Manufactures
of the United States. 1880, p. xxvlii.
"Comparison
Between the Statistics of Occupations and the Statis­
tics of Manufactures."
0. Milton Hall, How Occupational Trends are Studied,
Occupations. XII (February, 1934), p. 28. .
287
1
of time," supply follows demand, very closely.
It is generally admitted that "Confident forecasts of fu­
ture possibilities cannot be made simply from statistics of oc­
cupational distribution, past and present.
Nevertheless, the
facts here pictured as to long time trends are basic.
They fur­
nish a point of departure from which the student of changing oc­
cupational opportunities will go on to explore other sources of
2
information."
Other Studies of Occupational Trends
Studies using occupational data for the purpose of deter­
mining past and future trends have been fairly numerous during
recent years.
However, all but one are general in scope, cover­
ing the entire country and in most cases all occupations.
There
have of course been several studies made of occupational trends
in specific cities other than New York City.
listed below.
A few of these are
3
Occupational Trends in New York C ity; Prepared by the Per­
sonnel Research Federation Under the Direction of
Walter V. Bingham. 1935
This study is based entirely upon uncorrected United States
1.
2.
3.
Hall, loc. olt.
W.V. Bingham, Occupation Trends in New York City. National
Occupational Conference, p. iii.
John D. Beatty and Herbert G-rau, Our Changing Occupations.
Pittsburgh: Pittsburgh Personnel Association, 1933. Des­
cribes changing occupational distribution in the United
States, Pennsylvania and Pittsburgh.
Willard E. Parker and S. Park Harman, Trends of Work in the
Rochester Ar e a . Covers years 1900-1930.
The Civic Com­
mittee on Unemployment and the Public Employment Center,
1934.
Emmett H. Welch, Employment Trends in Philadelphia. Years
1900-1930.
Harrisburg, Pa.: Department of Labor and In­
dustry, State of Pennsylvania, 1933.
288
Census figures for the period 1900 to 1930 and gives the number
of persons engaged in each occupation for every 10,000 employed
population of the sex.
The data are illustrated with bar graphs.
The authors frankly admit that "confident forecasts of future
possibilities cannot be made simply from statistics of occupa­
tional distribution, past and present."
The apparent object is
to present graphically data on occupations as provided by cen­
sus figures.
The chief criticism lies not only in the narrow­
ness of its scope, but also in the use for comparative purposes
of figures that are not comparable.
Occupational G-roups in the United States. 1820-1920;
P.K. WhelptonTSorlpp Foundation)^- 1926
This study attempts to secure a series of comparable fig­
ures for workers in the general census divisions of occupations
in the United States from 1820 to 1920.
The method developed
in correcting the original census figures has in a general way
been followed in this study in correcting the New York City fig­
ures for the general census divisions of occupations.
The com­
parative figures given in this study are probably as accurate as
any available and have been used in Chapter II in connection with
occupational trends in the United States.
Unfortunately the oc­
cupational division "clerical occupations" was combined with
"trade and transportation,"
1.
American Statistical Association Journal. XXI (1926),
pp. 335-343.
289
Shifting Occupational Patterns; Ralph G. HurlIn
and Meredith B. Givens. 1953
This Is another general study of changing occupational
distribution In the United States.
It limits the data to per­
sons over sixteen years of age on the theory that the results
would he more accurate.
Original census figures are corrected
in order to provide a comparable series of data, although Infor­
mation is not always given as to the method used in arriving at
estimates or making aijustments.
Trends are indicated for gen­
eral census divisions of occupations as well as for selected
specific occupations.
Several tables from this study have also
been used in Chapter II.
2
Occupational Changes Since 185 0 ; M..Z. Jones. 1953
This study gives the number of employees in selected spe­
cific occupations per million of population as shown by the Cen­
sus of Occupations 1850-1930.
Data are for the United States.
No information is given whether adjustments were made in the
original census figures.
The Size and Trends of Occupations in the United States from
1880 to 1930 and a Consideration of Their Significance
for Education; William Rosengarten. 1951
The primary purpose of this study is to furnish nation­
wide data on trends in occupations to supplement such local sur1.
2.
3.
President’s Research Committee on Recent Social Trends in
the United States. Chapter VI.
Some aspects of this study are also reported in the Per­
sonnel Journal. Vol.XI (February, 1933), pp. 280-288
(Ralph G. Hurlin, Some Occupational Changes from 1870
to 1930).
United States Bureau of Labor Statistics, Monthly Labor
Review. XXXVII (November, 1933), pp. 1017-1027.
Master of Arts thesis, New York University, 1931.
290
veys as may be made for purposes of determining educational
policy and program.
Unfortunately, it does not provide ade­
quately for changes in occupational classification.
Changes in the Occupational Pattern of New York State;
Bradford F. Kimball, for the Educational Research
Division. New York State Education Department^1957
United States Census statistics of occupations were used
for the years 1910 to 1930.
Trends are traced for general cen­
sus divisions of occupations, for specific occupations, and for
social-economic groups.
Forecasts of future trends are made.
No attempt was made to use figures prior to 1910.
There is some question as to the value of a single occuO
pational index for as large an area as a state,
since occupa­
tional distribution would vary greatly in different parts of
the state, particularly when it does not form an economic unit.
The classification of workers in industries by socio-economic
groups by use of occupational statistics is very faulty, as the
Census Reports on Occupations do not classify most clerical work­
ers by Industries.
2
Trends in Business Occupations; Herbert A. Tonne. 1955
This is an earlier organized attempt at an interpretation
of occupational trends dealing specifically with business occu1.
2.
3.
University of the State of New York, Educational Research
Studies. 1937, No. 2.
Bureau of Business Research, Ohio State University,
Industrial and Commercial Ohio, Part 4.
Journal of Business Education. IX (October, November, and
December, 1933).
291
patlons.
suses.
The opinions are based on the 1930 and prior cen­
The system used In grouping business occupations has
with certain modifications been adapted In classifying busi­
ness occupations In this study.
Other studies of occupational trends are listed In the
Bibliography.
CHAPTER II
OCCUPATIONAL TRENDS IN THE UNITED STATES
The numerous studies of occupational trends In the United
States described In the previous chapter reduce the necessity
for much original investigation in this general field, partic­
ularly since the analysis of occupational distribution in the
United States is only incidental to the major objective of this
study.
The United States Census figures have already been made
fairly comparable by both Whelpton and Hurlin (see page 288).
In this chapter, the data on occupational trends in the United
States already available will be used in accordance with the
general plan of this study (see page 285).
Table LVIII has been taken without change from the Whelpton
study described on page 288.
These figures have been brought
up to date by adding 1930 census data.
The first part of this
table gives the number of persons engaged in gainful occupa­
tions, classified by general divisions of occupations from 1820
to 1920.
The second part of the same table interprets these
data in terms of per cent of occupied persons.
As previously
described, these figures in some cases represent estimates and
in a large number of instances variations from the original cen­
sus figures to provide for the changes in classifications and
other basic defects which would otherwise make the figures non­
comparable.
Diagram 41 which follows traces on rate of change paper
293
TABLE LVIII
984
3,052
2,112 1,090
1,706
965
597
1,213
408
947
264
602
379
176
305
168
207
89
15
147
109
11
81
8
All
Occupations
Professional
Service
6,063
4,207
4,219
3,076
2,403
1,622
1,318
1,003
735
520
386
288
Fishing
Domestic
Personal
vice
13,898
10,433
7,989
5,444
3,650
2,122
1,347
783
415
207
122
72
Lumbering
Trade and
Transportation
14,111
12,919
10,629
7,854
5,969
4,185
2,746
1,932
1,261
792
524
350
Mining
Manufacturing
and Mechani­
cal Industries
10,472
10,923
11,704
10,699
9,770
8,505
6,904
6,287
4,965
3,718
2,773
2,071
and
Ser­
Agriculture
193(5^
1920
1910
1900
1890
1880
1870
1860
1850
1840
1830
1820
'
Year
Number of Persons Engaged in Gainful Occupations in the
United States, Classified by General Divisions of
Occupations, 1820-1930
(Thousands Omitted)
177
217
174
121
112
49
29
23
13
9
6
5
73
53
68
69
60
41
28
30
12
12
9
6
48,830
41,854
37,454
29,073
23,319
17,390
12,927
10,531
7,697
5,420
3,940
2,881
.36
.52
.46
.42
.48
.28
.22
.22
.17
.17
.15
.17
.15
.13
.18
.24
.26
.24
.22
.28
.16
.22
.23
.21
Per Cent of Occupied Persons
1930
1920
1910
1900
1890
1880
1870
1860
1850
1840
1830
1820
a)
21.45
26.10
31.2.5
36.80
41.89
48.90
53.41
59.70
64.51
68.60
70.38
71.88
28.90
30.63
28.38
27.01
25.60
24.07
21.24
18.35
16.38
14.61
13.30
12.15
28.46
24.93
21.33
18.73
15.65
12.20
10.42
7.44
5.39
3.82
3.10
2.50
12.42
10.05
11.26
10.58
10.31
9.33
10.20
9.52
9.55
9.59
9.80
10.00
6.25
5.05
4.55
4.17
4.06
3.46
2.93
2.90
2.69
2.71
2.77
2.81
2.07
2.60
2.58
2.05
1.75
1.52
1.36
1.60
1.16
.28
.28
.28
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
This study contains data only up to the 1920 Census.
The 1930
figures are based upon the returns of the Fifteenth Census
of the United States, Population, v. V., which have been ad­
justed to conform with the classifications used in this table.
Source: B.H. Whelpton, Occupational Groups in the United States
American Statistical Association Journal. XXI (1926), pp.
339-340.
894
Diag. 41, Trend in the Number of Persons Ingaged in General Civi
Oooupations in the United States, 1820-1930
Sourcet P. H. Whelpton, Oooupational Groups in the United States
for 1930 based upon statistiss oontained in the United States
port8 on Oooupations, 1930.
11. Trend in the Number of Persons Engaged in General Divisions of
ipations in the United States, 1880-1930
P. H. Whelpton, Occupational Groups in the United States. Figures
1930 based upon statisties oontained in the United States Census Be­
ss on Oooupations, 1930.
t
295
the relative trends in the major occupational divisions in the
United States.
Diagram 42 shows the trend in occupational dis­
tribution in the United States expressed in per cent of total
occupied persons.
Conclusions Concerning General Occupational Trends
The student of American economic life does not have to
look far for concrete evidence that economic life in the United
States has changed considerably since 1820.
In addition to the
many economic changes that have taken place in every civilized
country, certain developments peculiar to a pioneer nation have
brought about a much greater change in occupations than in older
countries such as England or France.
In 1820, this country was
fundamentally agricultural in character.
According to the ad­
justed figures provided by Uhelpton (see Table LVIII, page 293),
about 72 per cent of the employed population of the country was
engaged in agricultural occupations, with but 12.15 per cent in
manufacturing and 2.5 per cent in trade and transportation.
At
the time the 1930 census was taken, the occupational pattern of
the country had changed radically.
Agriculture furnished the
occupation for only 21.4 per cent of the nation’s population,
manufacturing a.nd mechanical trades accounted for 28.9 per cent
of the country’s workers, and 28.5 per cent were engaged in
trade and transportation.
Agriculture is the traditional basic occupation of newly
developed countries.
The decline in the importance of agricul­
ture in the economic life of this country is in part due to the
natural evolution through which countries pass as their popula-
296
4
&
*
*
J
s no sh id
a a id n o o o
iv io j.
jo .znso «3d
297
tlon increases, particularly when natural resources are present
in sufficient quantity to make other occupations profitable;
and in part to technological developments which have consist­
ently decreased the proportion of the nation’s workers required
to furnish the food and raw materials needed.
The per cent of total occupied persons engaged in manu­
facturing and mechanical occupations has Increased at each cen­
sus period until 1920.
in 1930.
A slight relative decline was reported
The trend in the manufacturing industries has already
been covered in Part II, Manufacturing, based upon data furnished
by the United States Census of Manufactures.
Figures secured as
a result of the Census of Occupations disclose a fairly similar
trend.
By 1930, continued improvements in manufacturing pro­
cesses with accompanying increases in the productive efficiency
of workers in manufacturing (see pages 43 to 47) have resulted
in a shifting in emphasis from production to distribution.
The proportion of persons engaged in trade and transpor­
tation has Increased at a greater rate than that of any other
general occupational division.
This was 2.5 per cent in 1820 or
about one fifth of the workers in manufacturing and mechanical
industries, and 28.6 per cent in 1930 or practically equal to the
per cent engaged in manufacturing and mechanical work.
The ex­
pansion in the trade and transportation Industries is closely
tied up with the development of manufactures and the dispersion
of population throughout the country.
This has previously been
discussed in the chapters covering wholesale distribution (see
page 93 )•
298
The proportion of persons engaged in domestic and personal
services has been remarkably stable, although there probably
has been considerable shifting In employment In specific occu­
pations within this group.
Professional services has shown a
steady growth since 1850.
Clerical occupations are not listed separately in the in­
dustrial. classifications used in Table LVIII (page 293), but
in Table LIX, figures for this group are given for the period
1870 to 1930, the figures prior to 1910 being based upon adjust­
ments made by Hurlin and Givens (see page 289) to compensate
for changes in occupational classifications.
The increase in
the per cent of total occupied persons engaged in clerical oc­
cupations has been very pronounced, rising from 1.7 per cent in
1870 to 8.2 per cent in 1930 (see Appendix, p a g e 460 ).
Table LIX as well as Diagrams 43 and 44 throw additional
light upon the trends in the specific occupations with which
this study is primarily concerned.
Figures for the specific
clerical occupations of clerk, bookkeeper, and stenographer,
which have been charted on rate of change paper in Diagram 43,
show very sharp relative increases until 1910, with a tendency
to level off clearly indicated in 1920 for bookkeepers and ste­
nographer £,and with a similar decline in the rate of increase in
1930.
The occupation of "stenogre.pher" being more recent in ori­
gin shows a much greater rate of increase.
The number of clerks
did not show a decline in rate of increase until 1930.
The com­
bined figures for all three clerical occupations show a fairly
regular rate of increase to 1920 with a definite decline in the
rate in 1930.
The trend in the increase in the proportion of persons en-
299
TABLE LIX
Number of Persons, Sixteen Years of Age and Over, Employed
in Specific Business Occupations in the United States,
1870-1930
Thousands Omitted
Occupation
1870
1880
1890
1900
1910
1920
1930
Total, Trade and
Transportation
Total Trade
1,104
1,741
2,969
4,445
6,223
3,447
7,360
4,215
9 r963
6,094
31
713
42
863
58
1,106
74
1,328
84
1,703
470
59
811
93
1,232
164
1,509
179
2,377
224
125
224
284
526
73
106
162
222
2,776
3,145
3,869
781a 1,635
777
388
314
111
2,952
1,540
609
3,935
2-,102
810
253
484
731
930
30
60
70
93
Wholesale Dealers
Retail Dealers
Sales people and
■ Clerks, in stores
Commercial Travelers
Real Estate and
Insurance Agents
Bankers, stock &
loan Brokers
Total Transportation
Telephone, Telegraph
. Operators
Total Clerical
Occupations
Clerks
Stenographers
Bookkeepers
cashiers accts.
Messengers and of­
fice boys & girls
a)
16a
376a
23a
510
n
Q
194
28
105
7
36
19
11
23
8
206
145a
3
a
330
228
lla
86a
543a
330
33
a
159
6
21
o
50
5
52
74
Based upon estimates as figures available have different classi­
fications.
Source; R.G. Hurlin and Meredith B. Givens, Shifting Occupational
Patterns, Chapter VI in Report of the President’s Research
Committee on Recent Social Trends in the United States,
p. 281, Table 6.
gaged in clerical occupations as shown by the statistics of occupa­
tions is also supported by the statistics of employment in the va­
rious industries and businesses analyzed in Parts II to VI.
Statis­
tics of occupations, however, furnish additional Information on the
l a a feifc
1980
Diag. 43. Trend in the Number of Persons Engaged in Speoifio
.Clerioal Occupations, United States, 1870-1930
301
distribution of workers in specific business occupations.
"Un­
classified clerks" were much more numerous in 1870, when special­
ization in office work was uncommon, because of the comparatively
small size of the average office.
The occupation of stenographer
first became of numerical importance in 1890.
By 1900, these spe­
cialized clerical workers served to decrease the relative number
of clerks not otherwise classified.
The growth in the number of
stenographers began to show first signs of an approaching satura­
tion point in 1920.
This trend was accelerated by 1930.
Con­
tinued specialization of workers in offices during recent years
has decreased the need for stenographers and bookkeepers and in­
creased the relative number of office workers included under the
general classification of "clerk."
This may readily be attributed
to the increase in the size of the average business establishment.
Specialization in office work at first appears to have re­
sulted-in the division of these workers into general clerks, stenog­
raphers, and bookkeepers.
As specialization and mechanization of
office duties continued, a greater proportion of clerical workers
were included in the general classification "clerk" for want of a
better occupational designation.
The trend in specific trade occupations is shown in Diagram
44.
The greater rate of Increase of salespersons and clerks in
stores than retail and wholesale dealers is in all probability also
due to the increase in the average size of the wholesale and re­
tail establishment.
The sharp increase in the number of bankers,
stock and loan brokers, as well as real-estate and insurance agents,
reflect the general expansion of business and enterprise in gen-
tjg flO '
Whou
1.&C0
^JLQO
1900
Diag* 44. Trend in the Number of
Persons Engaged in Specific
Trade Oooupations, United States,
1870-1930
1670
1000
303
eral during this period.
Commercial travelers alone appear since
1920 to have entered a period of declining Importance.
This may
he due to changing practices in merchandising.
Hurlin and Givens1 attribute the increase in the proportion
of the working population engaged in the ’’urban" occupations of
trade, manufacturing, and the professions to a great migration
from farm to city Induced by a number of factors such as Increased
efficiency of farming and attractions of urban life.
While this
may have been a contributory factor, it nevertheless appears to
be placing the cart before the horse, since it is more reasonable
to assume that the trend, to cities is due more to a demand for peo­
ple to engage in those occupations that can best be carried on in
the city.
1.
Shifting Occupational Patterns. Chapter VI, in Report of
the President's Research Committee on Recent Social
Trends in the United States.
CHAPTER III
OCCUPATIONAL TRENDS IN THE CITY OP NEW YORK BY
GENERAL DIVISIONS OF OCCUPATIONS
The trends In occupational distribution for the coun­
try as a whole as described in the foregoing chapter provide
a starting point for studying the occupational trends for spe­
cific sections of the country.
Occupational trends for the City of New York a.re influ­
enced by two sets of factors:
1.
Factors influencing occupational trends
in general
2.
Factors influencing the location of occu­
pations within the City of New York
Chapter II has presented those trends in occupational
distribution and in business occupations which are basic and
common throughout the country.
Chapter III outlines the trend
in occupational distribution in the City of New York and shows
the relationship between the so-called business occupations
with other occupational groups in the city.
Chapter IV pro­
vides an analysis of the trends in specific business occupa­
tions in the city.
The difficulties encountered in comparing figures for
the various census periods are of course also present when
using the tables for cities.
However, the task of making the
figures for cities comparable is considerably complicated by
the fact that occupational date, for cities are by no means as
305
complete as for states or for the entire country.
Table LX gives the adjusted figures for the various cen­
sus divisions of occupations In the City of New York from 1820
to 1930.
Many changes in the original figures were necessary
in order to make the figures for the different census periods
reasonably comparable.
The specific method used in making each
adjustment or estimate where no figures are available is des­
cribed in the explanatory notes given in the Appendix, pages
427 to 431.
Table LXI supplements Table LX by providing population
statistics for the City of New York.
This table gives the to­
tal population of the city for the same area covered by the
occupation statistics, the population over ten years of age,
the per cent of population over ten years of age, the popula­
tion over ten years of age gainfully occupied and the per cent
of total occupation gainfully occupied.
The data in Tables LX and LXI have been charted on rate
of change paper (Diagram 45), in order to show the relative
changes in the various occupational divisions in the City of
New York, total population, population ften years of age and
over, and total occupied persons over ten years of age.
Occupational distribution in the City of -New York by gen­
eral census divisions in terms of per cent of total occupied
persons is shown in Table LXII.
Diagrams 46 and 47 show the
trend in per cent of total occupied persons for each of the
general divisions of occupations.
306
TABLE LX
Number of Persons, Ten Years of Age and Over, Engaged In
Each of the General Census Divisions of Occupations in
the City of New York, 1820-1930
952.3
370.5§
168.0
241.4
1910
10.8
873.5
324. 6%
127.4
306.3 424.3$
Si
334.0 271.3b
60.9 2,531.4
41.0 2,152.4
1900
1890
10.3
5.2
608.6° 244.Od
c
437.1 149.7d
79.4° 235.6° 147.5
45.2® 178.9° 97.2
1880
3.4
331.ot 104.6d
26.0e 128.0° 63.4^
1870
2.4
224. lS.
65.8d
17.1®
92.6
1860f
2.3
160.6
44.8
14.7
68.6
1855
2.3
125.0
34.0
11.3
53.7° 19.7
1850®
2.2.
96.7
25.7
8.8
42.2
1840h
j
1830
2.2
50.1
13.5
4.7
2.2
29.3
8.4
1820 J
1.8
16.9
5.2
Trade
c
169.8
Total Gainfully
Occupied
Public Service
Not Elsewhere
Included
7.7
Clerical
Occupations
1920
Service
68.2 3,187.5
Personal
297.8
and
448.8 552.61
Domestic
254.9
Professional
Service
536.4 %
Manufacturing
and Mechanical
Trades
7.6 1021.2
Agriculture,
fining and Fish-
1930
Year
Tran sp o r t at io n
and Communication
|
|
(Number in Thousands)
116. let 28.5e 1,470.0
75.4^ 16. 2g 1,004.9
55. Od 11.08
722.4
41.2
36.4& 10.2e
489.8
28.8
24.9
6.0
350.7
19.2°
4.6°
269.8
15.0
14.8
3.6
209.0
23.3
7.4
7.9
2.1
111.2
2.9
14.5
4.4
5.0
1.3
68.0
1.7
8.9
2.5
3.2
.8
41.0
Q.
For explanatory notes, see Appendix, pages 427 to 431.
Sources: United States Census Office,
Fourth Census, Census for 1820,
Sixth Census of Enumeration of the Inhabitants (1840).
Ninth Census (1870), v. I, Statistics of Population.
Tenth Census (1880), v. I, Statistics of Population, pp.
893
and 865.
Eleventh Census (1890), Report on Population, Part 2.
Twelfth Census (1900), Special Reports on Occupations, p. 634.
United States Bureau of the Census, Thirteenth Census(1910),
Population, v. IV, Occupation Statistics, p. 184.
Fourteenth Census (1920), Pooulatlon, v. IV, Occupations, p.
130.
Fifteenth Census (1930), Population, v. IV, Occupation
Statistics, New York, p. 52.
4
307
TABLE LXI
Population Statistics for the City of New York
Year
1790
1800
1810
1820
1830
1840
1850
1855
1860
1865
1870
1880
1890
1900
1910
1920
1930
Total
Popu­
lation
38
66
105
135
223
360
654
848
1,093
1,037
1,362
1,764
2,280
3,437
4,767
5,620
6,930
Population
Years of
Number in
Thousands
Over 10
Age
Per Cent
Total
Population
Population Gainfully
Occupied
Per Cent
Number in
Total
Thousands
Population
£3
53
77a
101
166
266
496
b
813
768
b
b
b
b
b
4,523
5,817
79.7
73.2
74.5
74.4
73.9
75.8
b
74.4
74.1
b
b
b
b
b .
80.5*.
83.9
41
68
111
209
270a
350
308
490
722
1,005
1,470
2,152
2,531
3,187
30.37
30.49
30.86
• 31.96
31.8
32.0
35.96
40.95
44.07
42.77
45.15
45.04
46.23
a)
Estimated.
b)
Age groups listed In tables for the City of New York do
not permit classification of population over ten years
of age.
Sources: United States Census Office,
Fourth Census, Census for 1820,
Sixth Census of Enumeration of the Inhabitants (1840).
Ninth Census (1870), v. I, Statistics of Population, x.
Tenth Census (1880), v. I, Statistics of Population,
pp. 893 and 865
Eleventh Census (1890), Report on Population, Part 2.
Twelfth Census (1900), Special Reports on Occupations,
p. 634.
United States Bureau of the Census, Thirteenth Census
(1910), Population, v. IV, Occupation Statistics, p. 184.
Fourteenth Census (1920), Population, v. IV, Occupations,
p. 130.
Fifteenth Census (1930), Population, v. IV, Occupations
Statistics, New York, p. 52.
m
9 ^
s
El so less leeo
1970
1880
leyo
ijoo
Diag. 45. Trend in the Number of Persons.Engaged in Oen
of Oecup ions, City of New York, 1820-1930 with Est
and 1950
lOVP
1659 1 6 8 0
1880
m d in the Number of Persons. Engaged in Oeneral Divisions
Lons, City of New York, 1820-1930 Nith Estimates for 1940
309
TABLE LXII
Public Service
Not Elsewhere
Included
14.1
17.3
9.4
2.1
100.0
1920
.3
37.6
14.6
6.6
12.1
16.8
9.5
2.4
100.0
1910
.5
40.6
15.1
5.9
15.5 ■ 12.6
7.9
1.9
100.0
1900
.7
41.4
16.6
5.4
16.0
10.1
7.9
1.9
100.0
1890
.5
43.5
14.9
4.5
17.8
9.7
7.5
1.6
100.0
1880
.5
45.8
14.5
3.6
17.7
8.7
7.6
1.5
100.0
1870
.5
45.8
13.4
3.5
18.9
8.4
7.4
2.1
100.0
1860
.7
45.8
12.8
4.2
19.6
8.2
7.1
1.7
100.0
1855
.9
.46.3
12.6
4.2
19.9
7.3
7.1
1.7
100.0
1850
1.1
46.2
12.3
4.2
20.2
7.2
7.1
1.7
100.0
1840
2.0
45.1
12.1
4.2
21.0
6.7
7.1
1.9
100.0
1830
3.2
43.1
.12.4
4.2
21.3
6.5
7.4
1.9
100.0
1820
4.4
41.2
12.7
4.2
21.7
6.1
7.8
1.9
100.0
Total
Sources: Based upon figures given in Table LX (page 306).
Occupied
Transportation
and Communica­
tion
8.0
Gainfully
Clerical
Occupations
16.8
and
Service
Domestic
Personal
32.1
Professional
Service
.2
Trade
1930
u
a$
Q)
Manufacturing
and Mechanical
Trades
JH
Agriculture, Min­
ing and Fishing
Per Cent Distribution of Gainfully Occupied Persons in the
City of New York, by General Census Divisions of Occupa­
tions, 1820-1930
310
'■SN/O S
V 3 d aaidflOOQ
ATindNIV*}
1VJ.OJ. d O J .N J 3 W3U
o T4
o
'S'5
>•
•H
n
* 9..M
5
" I *
t ■n
® fl
P«-H
— I;
rl
va
owt**,
>*0
«
oi
^nnjw/vg
N
40
^
xmO
"
»»d
O %-4
312
Analysis of Changes in Occupational Distribution in New
York City by general Census Divisions of Occupations
Changes In the occupational pattern of New York City
(Diagram 45, page 308, and Diagram 46, page 310) are not as
pronounced as might have been expected In a period of over a
hundred years in a phenomenally growing city such as New York,
When compared to the great changes that have taken place in
the occupational distribution of the people of the country as
a whole (see Diagram 41, page 294) the city appears to be
almost static.
On closer analysis, this conclusion does not appear to
be so surprising.
The primary purpose for the settlement of
New York was commerce,^
Commerce furnished the original and,
for a long period, the principal employment of its inhablo
tants.
It is difficult to prepare estimates of comparable
occupational figures prior to 1820, but contemporary writers
of the period report that prior to the Napoleonic Wars (18121815)
"the great mass of the inhabitants. . . .were entirely
3
engaged in commercial pursuits,"
New York City, like all ur­
ban communities, was never important as a place for agricul­
tural employment.
The general shifting of employment from
that occupation, therefore, did not affect the occupational
distribution of New York as it obviously did the country as a
whole•
1.
2.
3.
John Adams Dix, Sketch of the Resources of the City of
New Y o r k . 1829, p. 9.
E. Porter Belden, New Y o r k . P a s t . Present and Future.
1849, p. 123.
Citizen1s Directory and Stranger1s guide Thru the City
of New Y o r k . 1814, p. 10.
313
Some of the more significant changes in the trends of
the general divisions of occupations will he summarized here
in order to show the relationship between trends in business
occupations and the other occupations followed in the City of
New York.
Figures of the number of persons engaged in the manufac­
turing and mechanical industries are frequently misleading, as
they include such occupations as tsllor, shoemaker, and other
artisan-merchants who were engaged in both production and dis­
tribution.
Unlike the figures for the United States, which
show an uninterrupted increased in the proportion of manufac­
turing and mechanical occupations up to 1920, the proportion
of gainfully occupied persons in Hew York City engaged in these
occupations reached its maximum in 1855, when 46.3 per cent of
the city's workers were reported engaged in occupations includ­
ed in this group.
Since that year, this percentage has de­
clined consistently at each census period, rea.ching the low
of 32.1 per cent in 1930.
All of the factors, which during
recent years have tended to result in a decline in the rela­
tive employment in manufacturing in general, are of course ap­
plicable to New York City (see page 297 and Manufacturing,
pages 30 and 31).
In addition, a combination of other forces
previously described in connection with the analysis of the
manufacturing industries in New York City (see Manufacturing,
page 61) have resulted in an exodus of manufacturing plants
from New York, and a decline in the rate of new factories es­
tablished in the city.
314
The fluctuations in the per cent of occupied persons
engaged in trade in New York City have not been very wide,
nor do they appear to have followed any particular trend, as
indicated by the fact that in 1880 and in 1920, with forty
years Intervening, the same per cent of total workers were
engaged in trade.
The proportion of total occupied persons
engaged in trade probably reached its peak some time before
1812 (see page 311).
This proportion declined steadily un­
til 1840 and then began to rise again until 1900.
A reversal
in trend again occurred in 1930, when the per cent of trade
workers reached the highest figure for the 110 years for which
this information is available.
The drop in the relative im­
portance of trade in New York City during the years 1830 to
1860 undoubtedly reflects the expansion in manufacturing ac­
tivity during this same period.
The relative increase from
1870 to 1900 marks a period of expanding markets, induced by
the expansion of manufacturing and the dispersion of popula­
tion throughout the country.
The relative decline in 1910
and in 1920 can only be explained by the increase in the num­
ber of clerks in trading activities, and their inclusion in
another occupational group.
The big increase in 1930 is prob­
ably due to the general shift from production to distribution
that developed throughout the country that year.
The per cent of occupied persons in transportation and
communication has shown remarkably little change from 1820 to
1920.
This may appear to be surprising in view of the tre­
mendous expansion in transportation and communication faclli-
315
ties that has taken place in New York City during this peri­
od.
This expansion has, however, been accompanied by a cor­
responding improvement in the productive efficiency of work­
ers in these industries (see Public Utilities, pages 232 and
339).
There has been a very marked increase in the propor­
tion of these workers in 1920 and 1930, largely as a result of
the expansion of the use of the telephone.
In Diagram 47 (pa-ge 311), the three occupational divi­
sions related to business,
"trade, transportation and commun­
ication," and "clerical occupations," have been combined, in
order to give a more comprehensive view of the trend in these
related groups.
This group shows an uninterrupted increase in
the ratio of these workers to total workers from 1840 to 1930.
It is the field of clerical occupations that makes up
for most of the decreases in the other occupational groups.
This group has increased from 6.1 per cent in 1820 to 17.3
per cent in 1930.
The per cent of occupied persons engaged
in clerical work in New York has not only been consistently
larger than in the country as a whole, but the rate of increase
has also been greater.
The probable causes for this trend
have already been outlined in connection with the analysis of
the various industries and businesses, and in the preceding
chapter outlining the general changes in the occupational pat­
tern of the country as a whole.
The probable causes for the
greater proportion of clerical workers in New York City has
similarly been discussed in connection with the various indus­
tries and businesses.
Trends in the specific business occu-
316
patlons will be discussed in the following chapter.
Professional occupations have shown a steady relative
increase since 1870, although the rate of increase in New
York City has not been much higher than for the country as a
whole.
Although the per cent of personal service workers has
not varied very much in the country as a whole (see Table
LVIII, page 293), workers engaged in these occupations in New
York City have steadily declined in relative importance up to
1920.
An increase was shown in 1930.
The New York City fig­
ures reflect the transfer of many of the services formerly
performed by household workers to business establishments.
The transfer of such services is likely to be greater in cit­
ies than in the country as a whole.
The increase in 1930 is
probable due to a partial recovery from the big drop in 1920,
induced by the war period when domestic and personal service
employment were largely reduced because of the exigencies of
the war.
The proportion of public service workers in New York City
as shown in Table LXII (page 309) has not changed much dur­
ing this period.
This is probably because these figures in­
clude only persons not otherwise classified.
If clerical and
professional employees were included, it is quite probable
that public service occupations would show substantial in­
creases in relative importance.
The foregoing analysis of the general divisions of oc­
cupations leads to the conclusion that New York City is losing
317
ground In the manufacturing and mechanical occupations; It
is holding its own in transportation and communication, and
expanding during recent years in trade occupations, although
no more than the country as a whole.
est
Increase in clerical occupations.
It has shown the great­
This concentration of
clerical and administrative work in the City of New York has
been repeatedly emphasized in the occupational analysis of
employees in manufacturing and wholesale establishments and
most of the other industries and businesses covered in the
preceding parts of this study.
CHAPTER IV
TRENDS IN BUSINESS OCCUPATIONS IN THE CITY OF NEW YORK
The trends in the general census divisions of occupa­
tions as presented in the preceding chapter, while providing
important indices of
major trends in the economic life of the
City of New York, do
not furnish the detailed
information re­
quired to permit their use in planning a program in business
education.
The terms "trade occupations" and "clerical occu­
pations" are much too broad and cover a multiplicity of occu­
pations that vary greatly in educational preparation required.
Moreover, under the industrial classification of "tra.de" are
included such occupations as "laborer," "porter," "delivery­
man," etc., which do not usually fall within the scope of bus­
iness education.
This chapter is therefore Intended to under­
take a more detailed
analysis of the business
occupations of
as far back as data are
available, in
the City of New York,
order to provide another basis for determining the future bus­
iness life of the city.
The term "business occupation" a.s used in this study
refers to the occupations of those persons engaged in the dis­
tribution of economic goods and services and in the manage­
ment, administration, and financing of production and of all
other types of economic services.
Herbert A. Tonne in his study
of "Trends in Business Occupations"^ gives a convenient classi1.
Journal of Business Education. October, November, and
December, 1933.
319
fioation
of business occupations, by placing them In several
groups according to the nature of the work done.
These have
been classified into the following functional groups:
1.
Clerical workers— persons engaged in record
keeping and communication or correspondence
2.
Sales workers— persons engaged in selling
goods and services
3.
Managerial workers— persons engaged in the
management and administration of all
types of business
The specific occupations included within each of these
groups vary in several instances from the arrangement fol­
lowed in the Tonne study.
In addition to these three groups
of business occupations, another group of workers will be
added.
Although rarely included in any discussion of business
occupations, they nevertheless perform a highly specialized
business function and appeal* to fall within the sphere of bus­
iness education.
4.
This group will be listed as
Communication or nonoffice clerical workers
— persons engaged as telephone and tele­
graph operators, mall carriers, etc.
The group "clerical workers" would appear to correspond
somewhat to the "clerical occupation" classification used in
the United States Census Reports on Occupations from 1910 to
1930.
"Clerical workers" as listed here, hovrever, do not in­
clude agents although these are included in the census divi­
sion "clerical occupations."
On the other hand,
"clerks in
stores" which in the census reports are Included in "trade"
are here listed with "clerical workers."
The classification "sales workers" as used here varies
320
considerably from the "trade occupations" division as used In
the United States Census,
since the latter Includes such occu­
pations as "laborers," "porters," etc., In trade, with which
business education Is not concerned.
Managerial workers are not listed separately in the cen­
sus reports, but are distributed throughout all of the ten oc­
cupational divisions used by the United States Census.
Com­
munication and other nonoffice clerical workers, however, have
been included in the "trade" and "communication" divisions by
the United States Census.
Sources and Method of Procedure
As in the case of other phases of this study, before at­
tempting to compara data for different periods the data must
first be made as accurate and as comparable as possible.
The more general limitations to the use of original Unit
ed States Census figures on occupations for comparative pur­
poses have already been described (pages 13 and 14).
The ele­
ment of error is considerably increased with every attempt to
confine the data to specific occupations, or to specific cit­
ies, since in addition to 'all the errors of classification
found in the general major divisions
of occupations may be ad­
ded errors of subclassification as well as errors of omission.
In order to devise suitable methods for correcting the origi­
nal census figures so as to make them as comparable as possi­
ble,
some of the factors which have contributed to this diffi­
culty are here listed:
321
Errors In Classification
Whereas census enumerators may agree when classifying
workers In general occupational divisions such as "clerical
occupations" or "occupations in trade," they do not always
agree when distinguishing between clerks, stenographers,
bookkeepers, or salespersons.
The study of trends in specific business occupations
as reported by the United States Census Is considerably com­
plicated by the use of the term "clerk" to apply to a wide
range of occupations that vary considerably In educational re­
quirements.
Persons engaged in such varied occupations as of­
fice clerk, salesmen in store, and bartender would list their
occupation as clerk, and possibly be classified as such by
the Census Bureau.
The instructions given to the enumerators
by the Census Bureau give some indication as to the types of
workers to be included in each specific occupational designa­
tion, although analysis of the published figures would indi­
cate that those in charge of compiling and gathering the fig­
ures did not always follow the instructions as well as they
might have.
Much has already been written about "clerks in stores"
(see Appendix, p a g e 438 ).
There is no question but that enu-~
merators have consistently confused the occupation of "clerk"
as used in this study and the so-called "salesclerk" who
should properly be classified as a salesperson.
*
This very
See "Instructions to Enumerators Concerning the Return
of Occupations at the 1890 Census." Appendix, pages
437 and 438.
322
consistency has however tended to make the figures for "clerks"
fairly comparable since 1890, although for each census year
the number of "clerks" is probably overestimated and the num­
ber of "salespersons" underestimated.
The figures for 1870
and 1880 need adjustment as no instructions at all were given
to enumerators at these censuses concerning the proper class­
ification of these two occupations (see Appendix, pages428 and 432).
The effect of this error in classification is completely
lost when figures for clerks and salespersons are combined as
in Tables LXIII, LXIV, and LXV (pages 325, 326, and 327) and
Diagrams 48, 49, and 50 (pages 335, 337, and 339).
The trend
line for these combined occupations is decidedly more regular
than the line for either of the two separate occupations.
Like­
wise, errors in distinguishing between clerks and bookkeepers,
and female clerks and stenographers are obliterated when the da­
ta for the confused occupations are combined, as was also done
in tables and diagrams mentioned above.
Combining totals of
two or more occupations in this way may result in a figure that
is much more accurate than the totals for the individual occupa­
tions, but falls to provide accurate information concerning the
trends in the individual occupations.
Finer distinctions in occupations were not always pos­
sible during the earlier years of business life in this coun­
try.
"As communities advance in Industrial character functions
become separated and distinct occupations become recognized."^
1.
United States Census Office, Population of the United
States at the Eleventh Census. 1890, p. lxxix.
323
Changes in methods of doing work, changes in nomenclature,
and specialization in business functions present an inherent
defect in quantitative statistical data, of the type contained
in the occupational census returns.
"It must be borne in mind
that the number of persons who are reported under a certain
specified occupation does not necessarily embrace all the per­
sons who perform the duties usually associated with that title,
but only those who discharge such duties to the exclusion of
other gainful occupations or at least as their -orincipal or
sole professed support."^
Thus the number of bookkeepers re­
ported in 1855, 1870, and 1880 may be comparatively small only
because clerks employed with small establishments performed
the work of the bookkeeper in addition to other tasks and were
recorded as "clerks."
of "error."
There is no w a y of correcting this type
However, it is something to be kept in mind in
attempting to evaluate any series of economic data extending
over a long period of years.
Errors of Omission
Data, as to the number of persons in specific occupations
are much less complete for cities than for states or the coun­
try as a whole.
Prior to 1910, information is available for
selected occupations only.
In many instances, totals are given
only for combined occupations, such as clerks, bookkeepers,
and salespersons, although the figures for each of these occu­
pations are separated in the state and national returns.
1.
United States Census Office, Population of the United
States at the Eleventh Census. 1890, p. lxxix.
i
The
324
1880 and 1870 Censuses combine figures into such groups as
"employees in banking," "employees in railroads," etc., al­
though the returns for states and country break up "employ­
ees" into clerks, managers, and other types of workers.
To
use the census figures in the various forms in which they ap­
pear in the original reports and to omit entirely data on oc­
cupations not given in the tables for cities would produce re­
sults that would be meaningless and misleading.
The proce­
dure to be used in estimating the missing data in order to
produce a series of figures that are reasonably accurate and
comparable are explained in the Appendix, pages 426 and 427.
Tables LXIII to LXXI listed on the following pages con­
tain these census figures after adjustments and estimates have
been made, in order to make comparison reasonably possible for
the years covered by the census.
cates pointedly:
However, as Whelptort^ indi­
"Although these revisions are believed to be
more nearly comparable throughout the period and to represent
conditions more accurately than the published census figures
on which they are based, there is little doubt but that still
better results could have been secured by referring to certain
unpublished tabulations which probably exist.
The Census Bu­
reau itself is the only agency in position to follow this plan
of work."
The occupations are grouped into the four classes of bus­
iness occupations described on page 319 .
For this phase of the
study, it was considered desirable to provide separate tables
1.
P.K. Whelpton, Occupational Groups in the United States.
325:
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Number
of M a l e s ,
Ten
Years
of Age
and
Occupations
in the
City
of New York,
Over, Engaged
1855-1930
in
Clerical
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331
TABLE LXIX
Total Number of Persons (Male and Female), Ten Years of Age and
In the Management, Administration and Financing of All Types of
the City of New York, 1855-1930
Occupations: All Are Proprie­
tors. Officials and Managers,
Unless Otherwise Mentioned
Manufacturing. Mining, etc.
Mining Companies
Manufacturing companies
Builders and contractors
Transportation and Communication
'Garages
Livery stables
Truck transfer, cab companies
Railroad officials and supts.
Street railroad officials and
superintendents
Telephone and telegraph com­
panies
Air transportation companies
Other transportation and com­
munication firms
Domestic and Personal Service
(/leaning, dyeing, press shops
Laundries
Hotels
Restaurants, Cafes, Lunchrooms
Billiard rooms and dance
halls
Saloons
Professional Service
Motion picture production
Pleasure resorts
Theatrical enterprises
Finance
Bankers and brokers
Insurance companies
Trade (excluding agents)
Retail dealers
Wholesale dealers
Floorwalkers and foremen
Other trade companies
Undertakers
Real estate
Agents
Agent8 not elsewhere
classified
Collectors
Credit men
Purchasing agents
Officials of Companies
Total Managerial Workers
Total Trade (including agents)
1930
1920
1910
64,99-0
175
55,083
9,732
10.808
3,516
5 9 .5 9 5 '
5 1 .4 8 0 I S
228
44,532
15,133
4.235
504
945
1,886
n
21,480
n
983
3,117
916
~59;w
254
55,554
3,976
7,098
1,890
402
2,362
818
219
144
1,318
55
418
k
372
k
1,667
23,326
T7?3S
3,989
2,216
14,122
1,064
18.438
T
2,494
2,154
9,126
528
16.941
a
11,578
2,894
2,849
6,190
3,330
3,148
789
670
4,338
1,530
1,261
2,102
12,339^
3,182
f
f
1890
983
a
a
2,584
3^144
■55¥
153
346
1,530
2,231
2,544
24.654 16.141 11.716
22,660 14,861 10,838
878
1,280
1,994
210.018 157,077 141,593
155,877 121,727 115,128
7,975
12,941 15,634
2,440
1,858
2,950
1,605
4,169
2,561
1,827
1,734
1,974
32,107 12,981 13,200
7,701
17,522 15,571
9,345
3^774
2,152
2,252
1900
a
3,
7,
5,050
7.179
7,179 V
a
95.172
85,436 677
4,653.
3,457* 2,
a
1,626
m
25,704 15,
4,22#
3,473
g
f
,45^
354,462 276^493 243^609 164,553 117'
227,540 172,648 149,294 118,876 84*
For explanatory notes, see Appendix, page 435,
Sources: Same as fo
331
TABLE LXIX
1 of Persons (Male and Female), Ten Years of Age and 0 ver, Engaged
.gement, Administration and Financing of All Types of Business in
the City of New York, 1855-1930
Are Propriei and Managers.
ie Mentioned
.ning, etc.
!S
lompanies
mtractors
id Communication
cab companies
.als and supts.
L officials and
its
1el egraph com;ion companies
;ation and com.rms
ional Service
ig, press shops
fes, Lunchrooms
and dance
rice
production
;s
;rprises
)kers
mies
agents)
3rs
id foremen
apanies
1930
64.990
175
55,083
9,732
10.808
3,516
3,117
916
1920
1910
537784" 59,893
254
228
55,554 44,532
3,976 15,133
4.235
7,098
1,890
504
402
945
1,886
2,362
818
219
144
1,318
55
418
k
372
k
1,667
23.326
..r>35'
3,989
2,216
14,122
1,064
18.438
1,773
2,494
2,154
9,126
528
16,941
1,261
789
2,102
2,384
670
4,338
1,530
2,394
2,849
6,190
1900
J 1880
1890
217480 T 3 ' , W
n
n Ti
21,480
1
n i
n
983
836
1870
5,507
n
4,834
n
n
1,052
n
759
934
677
'
983
836
a
a
55c
48c
a
a
300
24c
a
a
20c
3c
a
a
11.578 10,60 3
3,330
3,148
3,3] 9
7,26 4
13
7.248
7
6.810
2,674
1,097
1,602
2,463
•
3.144
254
346
153
1,530
2,544
2,231
24.654 16.141 11.716
22,660 14,861 10,838
878
1,994
1,280
210.018 157.077 1 4 1 ,593
155,877 121,727 115,128
7,975
12,941 15,634
2,440
1,858
2,950
1,605
2,561
4,169
1,827
1,734
1,974
32,107 12,981 13,200
7,701
17,522 15,571
5,050
1
3,477
64
2,681
j
t
7.179 4 ,210__ 3.565 2.383
7,179 4,210 3,334 2,308
231
75
a
a
95,172 70,886 55.225 40.032
85,436 67,863 54,458 39,695
4,653.
3,457 2,08pL
a
a
337
1,626
767
923
m
■ m¥
A
m
23,704 13,910 2,978 2,379
swhere
its
sanies
Workers
.uding agents)
9,345
3 774
2,152
2,252
12,389^
3,182
f
f
S
f
4.45^ 3 . 8 8 ^
354,462 276,493 243,609 164,553 117,646 75.875 57.197
227,540 172,648 149,294 116,876 84*796 68,203 42,411
lotes, see Appendix, page 435.
--------------i
4,22#
3,473
Sources: Same as for fcable LX (page 306).
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332
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333
TABLE LXXI
Summaries of the Number of Persons, Ten Years of Age and Over, E
Four Types of Business Occupations In the Olty of New York,
Total Persons (Males and Females))
T5301550"
Occupational (3-roup
1910
1920
107,70
167,684
245,532
281,140
399,471
Total Sales Workers
Managers In Sales Work
(Included In, above
69,96
93,546
171,450
124,798
139,465.
figures).
Sales Work (Exclud­
37,7
120,734
74,138
228,021
141,675
ing Managers)
97,23
147,539
270,768
424,333
552,538
Clerical Workers
117,64
243,609
164,553
354,462
276,493
Managerial Workers
6,58
8,285
49,509
20,701
55,796
Communication Workers
Total Persons In Bus­
259.20
655.812
594.515
1.184.550
878.297
iness Occupations
Total Occupied Per­
sons Over Ten
5,187,459 2,511,412 2,152,435 1,470,008 1,004,89
Years of Age
Total Males
91,20!
208,048
139,681
244,674
347,532
Total Sales Workers
Managers In Sales
Work (Included in
66,161
88,430
116,298
163,142
131,559
above figures)
Sales Workers (Ex­
25,03!
91,750
51,251
cluding Managers)
184,390
113,115
86,081
117,435
183,366
285,749
228,967
Clerical Workers
112,38!
156,873
335,735
231,073
Managerial Workers
262,198
5,391
12,370
5,861
17,346
13,810
Communication Workers
Total Males in Busi­
228,90'
331,420
518,559
ness Occupations
618,090
82o,220
Total Occupied Per­
sons Over Ten
753,67
2,324,599 1,839,685 1,566,240 1,102,571
Years of Age
rDotal Fema:Les
16,49!
Total Sales Workers
37,484
28,003
51,939
36,466
Managers in Sales
Work (Included in
3,79'
above figures)
8,500
5,116
8,308
7,906
Sales Workers (Exclud­
ing Managers)
12,70!
28,984
43,631
28,560
22,887
Clerical Workers
266,789
195,366.
87,402
30,104
11,151
Managerial Workers
5,26,
18,727
14,295
12,536
6,662
Communication Workers
32.163
8.331
2.424
21.986
1.19<
Total Females in Busi­
ness Occupations
361,310
30,30^
137,253
62,077
260,207
Total Occupied Females
OverTen Years of Age
862,860
251,21r
586,193
367,437
671,727
Sources: Totals taken from Tables LXIII to LXX, inclusive.
333
TABLE LXXI
the Number of Persons, Ten Years of Age and Over, Engaged in the
as of Business Occupations In the Olty of New York, 135y-l950
Total Persons (Males and Females))
1530”
iup
1 9 2 0 1 9 1 0
1500
1550
1550"
1570"
399,471
281,140
245,532
167,684
107,703
74,789
48,462
171,450
139,465.
124,798
93,546
69,963
54,458
39,695
228,021
552,538
354,462
49,509
141,675
424,333
276,493
35,796
120,734
270,768
243,609
20,701
74,138
147,539
164,553
8,285
37,740 20,331
97,236 ,63,462
117,646 175,875
6,586
5,559
8,767
41,192
57,197
1,498
18
1,184,550
878.297
655.812
394.515
259,203 3 63.227 108.654
?s
5,187,459 2,511,412 2,152,453 1,470,00811,004,8951'; 22,4421489,751
Total Males
91,205
38,354 45,861
208,048
139,681
244,674
347,532
■s
ffork
ive
i
ers
Jus-
Ln
0
3
ers
5I="
3
163,142
131,559
116,298
88,430
66,165
51,624
38,196
184,390
285,749
335,735
17,546
113,115
228,967
262,198
15,810
91,750
183,366
231,073
12,570
51,251
117,435
156,873
5,861
25,039
86,086
112,383
5,596
16,730
59,589
72,658
3,572
7,665
40,365
55,530
1,498
825,220
618,090
518,559
331,420
228,904
52,349 105,058
2,524,599 1,839,685 1,566,240 1,102,571
otal Females
rs
755,673 5 42,095 574,555
51,939
36,466
37,484
28,003
16,493
6,435
2,601
8,308
7,906
8,500
5,116
3,797
2,834
1,499
43,631
266,789
18,727
32.163
28,560
195,366
14,295
21,986
28,984
87,402
12,536
8.531
22,887
30,104
6,662
2.424
12,701
11,150
5,263>
1.190
3,601
3,873
3,217
187
1,102
561,510
260,207
157,253
62,077
50,504:
10,878
5,596
862,860
671,727
586,193
367,437
Ln
3lud^
3
cers
3usl3____
aales
Age
aJten from Tables LXIII to LXX, Inclusive*
827
1,667
251,217 1 30,349 115,396
334
for males, females, and for total persons.
These adjusted
figures have been plotted on rate of change (semilogarithmic)
charts, (Diagrams 48 to 55), in order to show the relative
trend in the number of men, women, and total persons ln each
of the specific business occupations.
Diagram 56 shows the
per cent distribution of total persons, men and women, among
the four types of business occupations.
Analysis of Changes ln the Trends of Specific
Business Occupations in the Olty of Hew York
In spite of all attempts to provide comparable data on
the number of persons engaged in each of the major specific
business occupations of clerk, bookkeeper, stenographer, and
salesperson, the confusion that has always existed in distin­
guishing between office clerks and salesclerks makes a truly
accurate trend line for these occupations impossible.
This
is of course an inherent defect in any attempt to trs.ce trends
in a specific occupation over as long a period as seventy-five
years.
However, when all clerical workers and salespersons
are combined as in Diagram 48, thereby obviating most errors
in classifications, the trend line becomes much more regular.
This probably represents the most accurate trend line of bus­
iness occupations in New York City.
The rate of increase for
these workers appears to be highest between 1855 and 1870,
tween 1870 and 1910, the intercensus rate of increase is re­
markably regular, although somewhat lower than between 1855
and 1870.
There is another drop ln the rate of increase be­
tween 1910 and 1930.
B e_
336
1970
1660
lfJjd
if o d
1?10
1?20
i*J0J1940
l^SO
ag. 48. Trend in the Number of Total Persona (Kales and Females)
Engaged in Speoifio Clerical Oocupations in the City of New
York, 1866-1930, With Estimates for 1940 and 1960
336
Clerks alone, or at least those persons who have re­
ported their occupation as "clerks," show a fairly regular,
rate of increase between 1855 and 1380.
A substantial de­
cline in this rate of increase occurred between 1880 and
1900, reflecting the introduction of the specialized cler­
ical occupation of stenographer.
The rate of increase in­
creased in 1910, but declined slightly in 1920 and again in *"
1930.
Bookkeepers show a sharp and fairly regular rate of in­
crease between 1870 and 1910, since which year the trend has
shown signs of leveling off.
The rate of increase for stenographers was much great­
er than for the other business occupations prior to 1920,
when this comparatively new occupation was introduced into
the business world.
The rate of increase declined in 1920
and again in 1930 indicating an approaching saturation point.
The trend for errand and office boys is most erratic,
probably because of the large element of error.
It is prob­
able that the drop in this group beginning with 1920 is due
to the increase in the school age of boys and girls.
Trends in the number of business workers are also
traced separately for men and women.
In Diagram 49, the num­
ber of male clerical workers appears to have increased at a
much smaller rate than the total number of male and female
workers (Diagram 48).
Stenographers show a fairly regular
rate of increase between 1890 and 1910, a sharp leveling off
in 1920, and an actual decrease in numbers in 1930.
1
Male book-
337
son)
M 70
Z880
1090
1900
1910
1520
JJ30
49. Trend in the Number of Males Engaged in Specific
Glerioal Oooupatione in the City of New York, 1870-1930
■
338
keepers show a very regular trend line from 1870 to 1910, a
slight decline in rate of Increase In 1920 and another In
1930 In line with the general trend for clerical workers (com­
pare with Diagram 48).
Diagram 50 showing the trend in the number of female
clerical workers indicates the relative unimportance of wo­
men in these occupations before 1890, with very sharp In­
creases up to 1920, a slight decline in the rate of increase
in 1920, and another sharper decline in the rate of Increase
in 1930.
Trend lines of females in clerical occupations show
a typical Gomperz curve, with a sharp rate of increase during
the earlier years when women were entering business in large
numbers and leveling-off periods reflecting the approaching
saturation point.
Combining all female clerical workers with
female salespersons gives a much more accurate picture of the
trend of female business workers, since errors in classify­
ing persons within the specific business occupations are there­
by eliminated.
Diagram 51 shows the trend on rate of change paper of
the total number of persons engaged in selling occupations in
New York City.
The general trend, as Indicated by the total
for all persons engaged in all selling occupations, follows ap­
proximately the same trend as the total for occupations includ­
ed in the general census division of "trade occupations."
The
latter of course includes nonselling workers such as laborers,
deliverymen,
etc.
As previously mentioned, salespersons have
increased at a much greater rate than have wholesale and retail
339
lefo
Ifoo
Ijio
xjSo
jjso
Diag. 50. Trend in the Number of Fe­
males Engaged in Speoifio Clerical
Oooupations in the City of New York
1670-1930
1B55
l»rd
1890
19j»O
fJOJ
v-
X?10
1?30
iJ4<7
ag. 61. Trend In the Number of Total Persons (Hales and Females)
Engaged In Specific Belling Occupations in the City of New Ycrk,
1865-1930, With Estimates in the Number for 1940 and 1950
341
dealers, the latter representing proprietors and executives.
This Is probably due to the Increase In the average size of
the trading establishment.
The rate of Increase In the num­
ber of salespersons we.s highest between 1855 and 1870.
It
declined somewhat by 1880, but continued at the same rate of
Increase until 1910.
The rate of Increase declined that year
and again In 1920, but shot up again in 1930 at approximately
the same rate that existed between 1870 and 1900.
Commercial
travelers have declined in actual numbers in 1920 and again
in 1930.
This is undoubtedly due to the practice of having
the buyer represented in New York City either through resi­
dent or visiting buyers.
Auctioneers, which represent anoth­
er group of selling workers, have shown a small though fairly
regular rate of increase.
Diagrams 52 and 53 show the trend in the number of per­
sons in selling occupations by sex.
Female salesworkers show
V*
the* typical Gomperz curve with the saturation point appear­
ing very close in 1920.
The increase in 1930, however, upsets
the picture.
Diagram 54 reflects the trend in the number of persons
(male and female) in managerial occupations in the City of New
York, classified by industry.
Proprietors and managers in
trade form the greater part of this group, with manufacturing
next in importance.
The trend for the total number of persons
engaged in managerial occupations shows a fairly regular trend
to 1910,
since which year the rate of increase has declined.
Telephone and telegraph workers make up the bulk of the
342
7S>04/Wi|d5
oP f t r ja u j
1670
1960,
18 JO
XJOO
uo
2?zo
a930
Diag. 62. Trend in the Number of Males Engaged in
Specific Selling Occupations in the City of New
York, 1870-1930
343
"TJowWs
Q-PVarao-ns
367 0
3 880
3990
3900
1910
3.920
2960
Piag. 63* Trend in the Number of Females Engaged in
Speoifio Selling Oooupations in the City of New
York, 1870-1930
%
344
itno
SB&O
■ii*o
1900
1910
1J20
JW
59so
Diag, 64. Trend in the Number of Total Persons (Males and
Females) Engaged in Managerial, Financial, and Adminis­
trative Occupations in the City of New York, 1870-1930,
With Estimates for 1940 and 1950
345
persons in the communication group of occupations (Diagram 55).
As might be expected, the number of persons in these occupations
Increased sharply from 1370 to 1890.
A temporary decline in the
rate of increase occurred in 1900, but the expansion was resumed
again at the 1910 Census and continued in 1920.
The figures for
1930, however, indicate that the saturation point is not far
off.
The gro\tfth in the proportion of business workers in New
York City in each of the four groups of business occupations is
shown in Table LXXII and Diagram 56 (pages 347 and 848)
in terms
of the per cent of total occupied persons.
While the per cent of total occupied persons engaged in
business occupations has Increased steadily with each census pe­
riod, the increase has been entirely in the employee group of
clerical, sales, and communication workers.
The proportion of
managerial workers has remained fairly stationary.
This is sup­
ported by the data on the number of proprietors and executives
in
manufacturing and other types of establishments for which
such information is available.
This has generally been attrib­
uted to the increase in the average size of business enterprises
with relatively fewer proprietors and greater number of employ­
ees.
The break-up of these data by sexes as shown by the same
Diagram indicates that despite the great relative increase in
the total number of persons In business occupations, the pro­
portion of men in these occupations has shown relatively lit­
tle change.
The 1930 census figures even shoxv a slight rela-
Wag. 56. Trend In the Number of Total Persons (Males
and Females) Engaged In Communication and Other
Non-Office Clerioal Occupations in the City of
New York, 1870-1930
347/
TABLE LXXII
Per Cent of Total Gainfully Occupied Persons, Ten Years
of Age and Over, Engaged in Each Business Occupa­
tional Group in New York City, with Separate
Figures for Males and Females, 1870-1930
Per Cent of Total Gainfully Occupied Persons
Manager­
Communica­
Total
Sales
Clerical
Business
Workers
tion
ial
Workers
Workers
Workers
Workers
Year
1930
1920
1910
1900
1890
1880
1870,
7.15
5.64
5.61
5.04
3.76
2.31
1.79
17.33
16.90
12.58
10.04
9.68
8.78
8.41
11.12
11.01
11.32
11.19
11.71
10.50
11.68
1.55
1.43
.96
.56
.66
.49
.31
37.15
34.98
30.48
26.33
25.32
22.58
22.19
Per Cent of Total Male Ga3Lnfully Occupied Persons
1930
1920
1910
1900
1890
1880
1370
12.29
12.44
11.71
10.65
11.42
10.99
10.78
7.93
6.15
5.86
4.65
3.32
3.09
2.05
14.44
14.25
14.75
14.23
14.91
13.40
14.83
.75
.75
.79
.53
.72
.62
.40
35.41
33.59
33.11
30.06
30.37
28.10
28.06
Per Cent of Total Female Gainfully Occupied Persons
1930
1920
1910
1900
1890
1880
1870
30.92
29.08
14.91
8.19
4.44
2.15
.72
5.06
4.25
4.94
6.23
5.06
2.00
.95
2.17
2.13
2.14
1.81
2.10
1.78
1.44
3.73
3.27
1.42
.66
.47
.10
.00
41.88
38.83
23.41
16.89
12.06
6.03
3.11
The per cents in the above table are based upon figures
in Table LXXI.
tive decline for male clerical workers.
Male sales workers are
the only group of male business workers that show an Increase
in trend.
Managerial workers have' remained fairly stationary.
Comparison with the trend for women makes it apparent that the
large relative and actual increase in clerical, sales, and com-
348
§
■pem c e n t
rats
of
5
total
g a in f u l l y
10
15
r~ i
1?30
1)20
p ern s o n s
o c c u p ie d
20
25
r
m a l e
&
9s
SO
////////////////<
fe m a le
AO
45
m
/////Mi/m
/////////////
1J1Q
1300
///////////
18)0
////////>
1880
21
If
w m
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Slag, 56. Trend In the Percentage of Total Gainfully Oeoupled
Persons Engaged In Eaoh of the Pour Types of Business Ooou-
349
munication workers in New York City has been almost entirely
due to the increase in the number of female workers.
CHAPTER V
COMPARISON IN THE TREND OP BUSINESS OCCUPATIONS
IN NEW YORK AND OTHER CITIES
The position of the City of New York as a center of em­
ployment for business workers may best be determined by com­
parison with other large cities and the country as a whole.
This comparison is made on the basis of number of persons per
10,000 total population engaged in each of the business occu­
pations for which comparative figures are available, such as
clerks, stenographers and typists, accountants and bookkeepers,
and salespersons, in each of the ten cities in the United
States leading in employment in these business occupations.
In Diagram 57, the total number of persons in all three
clerical occupations (clerks, stenographers, and bookkeepers)
per 10,000 total population are given for each of the cities
considered, together with the number of salespersons for the
same number of total population.
Diagram 53 shows the trend in the number of clerks, sten­
ographers, and bookkeepers per 10,000 population in each of the
same cities.
"Clerks in stores" have been included with clerks
here as in Table LXIII (page325 ).
There apparently is considerable variation in the ratio
of clerks to total population in the ten cities included in
these diagrams, the range in 1930 varying from 511 for Detroit
to 877 for San Francisco.
This compares with 337 for the en-
361
JtoK3EA i n l a w O ccupational Qaoap Jkn i%QO0 Ttoxc IbnrtATzotr
.
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1900
DIm * 67. Ooaparlaon in tha Traad la
Par 10,000 Total Population la Loading Oil
Olorloal Vorkei
900, 1910, 1980
i n l a w Occupational Gboup.Aa iQOOO TOtal Sopvlatzon
Total
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aoa in tha Traad in tha
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352
S u m s eh i n e a c h O c c u p a t io n v e il io t ooo T o t a l T o p v c a t io j y
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325
ss&s&sa
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ill
T
1990
2980
1920
1900
Dlag. 56. Comparison in the Trend In the Number of Clerks,
Stenographers, and Aooountants Per 10.000 Total Population
in Leading Cities, 1900, 1910, 1920 and 1930
353
tire United States.
Most of these cities, including the coun­
try as a whole, show an! Increase in this ratio of clerical oc­
cupations to total population at each census period from 1900
to 1930.
The exceptions are Boston, Chicago, Cleveland, and
Detroit.
The City of San Francisco has the largest number of cler­
ical workers per 10,000 total population in 1930, with New York
City second and Chicago third.
At the 1920 Census, Chicago led
these ten cities in relative number of clerical workers, with
San Francisco second and New York City third.
Chicago and San
Fran cisco were again first and second respectively in 1910,
but the City of St. Louis ranked third, Boston fourth, and New
York City fifth.
In 1900, Chicago was again first, with New
York City second, Boston third, and San Francisco fourth.
It is apparent that, although New York City has always
exceeded all other American cities in number of clerical work­
ers, it has not always led in ratio of such clerical workers to
population.
Its position in this respect seems to have improved
since 1910, as in 1930 it was second only to San Francisco, al­
though below San Francisco and Chicago in 1920 and fifth in 1910.
Some explanation for the greater proportion of clerical
workers in certain cities may be found in the analysis of the
city's industries and business establishments.
The concentra­
tion in a city of such businesses as banking, security trading,
and wholesale distribution would usually reflect in a corres­
ponding large proportion of clerical workers.
San Francisco is
an important banking and wholesale center for the Pacific coast.
354
This has probably been responsible for the large number of cler­
ical xrorkers in that city in relation to population.
Whereas
the City of San Francisco ranked fifteenth in manufacturing em­
ployment in 1935, it was sixth in wholesale employment and sec­
ond in national bank employment.
The proportion of clerical
workers is obviously much lower in manufacturing Industries
than in wholesale distribution or banking (see pages 35, 88,
and 145).
New York City, in addition to being the most important
financial and wholesale center in the country,
is also the lo­
cation of about one fifth of the central administrative offices
in the country (see page 207).
The fact that it does not rank
first in ratio of clerical workers to population is undoubtedly
due to its also being an Important manufacturing center.
As
manufacturing employment declined in relative importance in
New York City from 1910 to 1930, the ratio of clerical workers
to population increased.
The decline in the ratio of clerical workers to popula­
tion in such cities as Chicago, Cleveland, and Detroit is prob­
ably the result of manufacturing expansion in these cities.
Boston is still an important center of clerical employment,
largely because of its position in wholesale trade, central ad­
ministrative offices, and financial enterprises, but it is los­
ing ground to New York City, which with modern communication
and transportation is near enough to perfoim the managerial and
administrative functions for New England.
Sales workers in both wholesale and retail distribution
355
are usually located In fairly close relationship to popula­
tion.
The fact that New York City is the most important
wholesale center in the country does not give New York City
a larger ratio of salespersons.
Why the ratio of salespersons
should be higher in the Pacific coast cities of Los Angeles
and San Francisco is difficult to determine.
The State of Cal­
ifornia as a whole has the highest proportion of gainfully oc­
cupied persons in trade occupations.’'’
This Kimball ascribes
to the frontier character of that state, and the phenomenal
growth of population since the turn of the century, which has
been reflected in the "boom" character of its real-estate expanslon and many other trade activities.
1.
2.
2
Bradford F. Kimball, Changes in the Occupational Pattern
of New York State. p. 143.
Ibid., p. 145.
CHAPTER VI
FORECASTS OF PROBABLE FUTURE TRENDS OF BUSINESS
OCCUPATIONS IN GENERAL AND IN NEW YORK
CITY IN PARTICULAR
It is generally assumed that "A study of trends should
eventuate in predictions and in planning based upon these pre­
dictions.
These predictions must assume that the same influ­
ences will operate in the future which have operated in the
past.
One cannot foresee depressions, wars, changes in gov­
ernmental policy, changes in the economic system, revolution­
ary discoveries of science, and the like.
Thus, it should be
borne in mind that there are Inherent limitations in the mak­
ing of predictions."^
Despite the possibility of unknown forces always devel­
oping to upset calculations Intended to look into the future,
factors entering into economic life follow a surprisingly reg­
ular trend, when viewed over a long period of years.
That this
has been true for the United States and New York City may read­
ily be seen by examining Diagrams 41 and 45.
The one hundred
and ten years covered by these charts have been marked by four
wars and a number of major economic depression periods.
While
these may have temporarily Influenced the figures, if they hap­
pened to have occurred during a census year, they have probably
had little effect upon the long-term trend.
1.
As a matter of
Bradford F. Kimball, Changes in the Occupational Pattern
of New York State. p. 9.
357
fact, extreme variations from the normal trend In economic da­
ta are considered by statisticians as a possible index of er­
ror in figures.
General Trends Affecting all Parts of the Country
Clerical and communication workers have apparently reached
a point where the rate of increase has shown definite signs of
declining.
The proportion of persons engaged in clerical oc­
cupations should decline slightly in 1940 and again in 1950.
This may be attributed to the following factors:
1.
The centralization of industry and business with
its accompanying greater complexity and
need for clerical workers has apparently
begun to approach a saturation point
(see page 59).
2.
There are indications that with technological
developments in clerical tasks, the produc­
tive efficiency of office workers has grad­
ually begun to keep pa.ce with similar pro­
ductive efficiency in production (see cages
47, 48)
Of all business occupations, the number of salespersons
shows the highest relationship to population (see pages 91,351).
Changes in the proportion of salesworkers are influenced large­
ly by changes, in the average size of trading establishments.
Here again it is not likely that trading concerns in the future
will continue to increase at the same rate as in the past.
This leads to the conclusion that the ratio of salespersons to
copulation or occupied persons will remain fairly constant.
1.
W.H. Lefflngwell, The Changing Functions of Business
Education, Eastern Commercial Teachers Association,
Seventh Yearbook. 1934, Chapter V, p. 55.
This
article shows that changes in economic habits and
institutions evolve slowly.
358
Managerial workers are inversely affected; that is,
their relative number decreases with every increase in the
size of the average business establishment (see page 49).
It is probable that the downward trend in the proportion of
managerial workers will be stopped as the saturation point
for concentration in business and industry is reached.
The shifting in emphasis from production to distribu­
tion that was first indicated at the 1930 Census should re­
sult in a continued increase in the proportion of persons en­
gaged in trade occupations at the expense of manufacturing
and agriculture.
Communication workers, consisting largely of telephone
operators, should show a relative decline in numbers, partly
because expansion in this field has reached a plateau or satur­
ation point, and partly because technological developments
have considerably increased the productive efficiency of these
workers (see page 239).
Trends in New York Cit.v
The future character of New York City's occupational dis­
tribution is closely tied up with the future character of its
Industrial and commercial enterprises.
It is reasonable to expect a continued increase in the
proportion of the city's working population to be devoted to
functions of a purely business nature, such as distribution,
finance, e.nd the administration and management of manufactur­
ing and public-utility enterprises, with the actual production
work gradually being transferred to other areas.
359
It therefore follows that although the trend In the num­
ber of clerical workers in general has apparently reached a
plateau the forces leading towards further concentration of
the business functions in New York City will continue to oper­
ate, with the result that the increase in the number of busi­
ness xirorkers in New York City will increase at a greater rate
than in the United States as a whole.
Numerical estimates of the probable number of persons in
each of the general occupational divisions have been made by
extending the lines in Diagram 45 (page 308) to 1940 and 1950
on the same rate of change paper.
Due allowance has been made
for other influencing factors that may be anticipated, such as
probable population and probable number of occupied persons.
These estimates are given in tabular form in Table LXXIII, toTABLE LXXIII
Probable Occupational Distribution of Gainfully Occupied
Persons in New York City in 1940 and 1950
Per Cent of Total
Numbers in Thousands
Occupational
Divisions
1930a
1940
1950
5.6
6.9
6.2
Agriculture
Manufac turi ng
1021.2 1100.0 1200.0
536.3 625.0 740.0
Trade
Professional Ser­
254.9 335.0 418.0
vice
Domestic and Per­
448.8 540.0 620.0
sonal Service
Clerical Occupa­
tions
552.6 630.0 690.0
Transportation
and Communica­
297.8 328.0 340.0
tion
Public Service
(Not otherwise
98.0
86.0
68.1
classified)
4111.6
3186.6
3650.0
TOTAL
a)
1930
1940
1950
.22
32.05
16.83
.17
30.14
17.12
.14
29.19
18.00
8.00
9.18
10.17
14.08
14.80
15.08
17.34
17.26
16.78
9.35
8.99
8.27
2.14
100.00
2.36
100.00
2.38
100.00
Table LX, p . 306.
j*.
360
gether with the per cent of total occupied persons In each oc­
cupational division.
The per cent distribution has been il­
lustrated in Diagram 59.
Pam CenrDisrmioifTion/
1990
n
_XO_______a0
o t T o t a l G/tnvruuLV O c c i / f ' c o
30_______4O_______SO_______60
TO
So
90
100
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1 )3 0
timm
ji
,1
il
T h A n a F o *TATlOi
w
S
-
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CfefAie m u
OCCvMTlo.l
irV
‘PomC• T/c Cr "Pn
■p* nsovoi, Posno
<S(Ki/iC(
S£^i/«k-
lemrimni
Dlag. 59. Estimates of Probable Future Occupational Distribu­
tion of Gainfully Occupied Persons in New York City in 1940
and I960, With Distribution for 1930
The number and per cent of persons engaged in agricultur­
al occupations will naturally show both an actual and relative
decline as outlying areas continue to be converted into resi­
dential and business communities.
The number of persons in manufacturing and mechanical
*
trades should increase slightly in 1940 and again in 1950, but
the per cent that these bear tc total employed persons should
decline from 32 per cent to approximately 30 per cent in 1940
and 29 per cent in 1950.
The trend is partly supported by fig­
ures on employment in manufacturing furnished by the United
States Census of Manufactures during the intercensal years of
1931, 1933, and 1935 (see page 32).
1
361
The decline in domestic service workers that was first
indicated in the 1920 Census should probably continue at a
decreased rate to 1940 and 1950.
This however,
should be more
than made up by an expansion in the number of persons engaged
in personal service industries such as beauty parlors, laun­
dries, restaurants, etc.
Employment in the beauty-parlor bus­
iness has expanded tremendously since 1930 as shown by the 1935
Census of Business figures.^
Persons in this group are engaged
in occupations that are probably influenced by changes in eco­
nomic conditions to a greater extent than most other industries
(see page 280).
The per cent of persons in this occupational
division would very much depend upon whether the 1940 and 1950
censuses are taken during years of good or ooor business.
general trend, however, should be upward.
The
Increasing produc­
tive efficiency of workers engaged in the production of goods
should increase the standard of living and direct business en­
terprises to the furnishing of personal services.
Professional service should continue to increase in rela­
tive importance, because of the increase in educational stand­
ards for engaging in certain occupations, placing them in a pro­
fessional or semiprofessional level, the increasing complexity
of business organization and government control requiring the
services of accountants and lawyers, and the development of spe­
cialized professional services which are usually located in
large cities.
1.
Services Establishments. Vol. I, p. 172 (10,606 employees
and 3,956 proprietors of beauty shops reported in 1935
compared with 6,342 employees and 2,591 proprietors in
1933).
362
The figures for public service include only those per­
sons not otherwise classified.
Officials, policemen,
firemen,
military end navy men represent the bulk of this group.
The
upward trend of the persons in this occupational division
would be considerably greater if clerks, professional workers,
and others engaged in the newer phases of government activity
were included.
Recent changes in the hours of employment of
firemen and expansion in the police and military services should
result in a moderate increase in the relative number of persons
in this group.
Unless new services in transportation and communication
develop, the proportion of persons in these' fields should de­
cline in 1940 and again in 1950.
Technological developments in
these industries clearly indicate a contraction in the relative
number of persons required to perform these services in the
city (see page 247).
The per cent of total workers in this di­
vision should decline from 9.35 per cent in 1930 to approximate­
ly 9. per cent in 1940 and 8.3 per cent in 1950.
Trade represents a group of occupations that should go
to make up for some of the loss in manufacturing employment.
Manufacturing establishments leaving New York frequently leave
their salesrooms and offices in the city (see pages 60 and 81).
Trade on the whole will occupy an increasingly greater propor­
tion of the total population of the future and New York City
should continue to have a fairly steady proportion of these work­
ers.
By 1940, the per cent of total gainfully occupied persons
in this field should be approximately 17.12 per cent and 18.
363
per cent by 1950.
Clerical workers on the whole should occuoy a decreasing
proportion of the total number of workers In the country.
Be­
cause of the Increasing concentration of clerical and adminis­
trative work in New York City (see pages 55, 88, 164 and 207)
the per cent of office and clerical workers in New York City
should not be as great as in the country as a whole.
nite relative decline, however, is Indicated.
A defi­
By 1940, the
per cent of clerical workers in New York City should be about
17.26 per cent compared to 17.34 per cent in 1930.
By 1950,
the per cent of such workers should probably decline to approx­
imately 16.8 per cent.
Trends in Specif 1c Business Occupations
Similar estimates have also been made of the probable num­
ber of persons in each of the specific business occupations,
by extending the trend lines in Diagrams 48, 49, and 50 (pages
335, 337 and 339) to 1940 and 1950.
These figures are given
in Table LXXIV together with the estimated number of persons en­
gaged in each business occupation per 10,000 total population.
Where information is available as to probable future conditions
that might modify these statistical estimates,
such information
was accordingly used in adjusting the estimates.
Here again it
must be borne in mind that accuracy in estimates decreases with
each finer distinction in occupational classification.
Of the three clerical occupations Included in the census
of occupations,
crease.
"clerks” should show the largest rate of in­
Office workers in the future will, because of the prob-
364
TABLE LXXIV
Estimates of Number of Persons That Will Be Engaged in
Specific Business Occupations in New York City in
1940 and 1950
Occupation
Number of Persons in 1,000£
U.S. Censusa
1930
Number per 10,000
Total Population
Estimates
1940
1950
1940
1950
Bookkeepers
Clerks
Stenographers
Total
Messengers
and office
boys-glrls
Total Clerical
Occupations
106
327
94
526
120
400
98
618
133
440
105
678
155
516
126
797
162
535
128
325
26
12
12
15
14
553
630
690
813
839
Salespersons
195
230
266
297
324
Managerial
Workers
354
420
450
542
547
Population
6,930
7,750
8,220
10,000
10,000
a)
See Tables LXIII, LXVI and LXIX.
able Increase in the size of the average business office, in­
clude a larger proportion of workers performing highly special­
ized duties, but included in the single designation "clerk" for
want of a better term.
These "clerks" may in turn beggaln
classified into such special groups as office machine opera­
tors and shipping clerks, but the greater number will continue
to be listed as "clerks" since it is obviously impractical to
furnish a separate designation for each of the many specialized
jobs.
Much of this increase in the relative number of clerks
will be at the expense of stenographers and bookkeepers.
The
number of stenographers per 10,000 total population should con-
365
tinue to decline, with the number of bookkeepers increasing
slightly.
Although the ratio of clerical workers to total occu­
pied persons should probably decline in New York City in 1940 and
1950 (see page 259), there should be a substantial increase in
the number of clerical workers per 10,000 total population in 1940
and another smaller increase in 1950.
This is because clerical
occupations will not show as large a rate of increase as some oth­
er occupational groups, particularly trade and professional ser­
vice.
The ratio of salespersons to population should show the same
.slow but steady increase that has characterized this occupation in
the past.
The number of salespersons usually bears a very close
relationship to population.
The probable increa.se in the size of
the average business establishment will, however, tend to increase
the number of salespersons per 10,000 total population and keep
down if not actually decrease the number of managerial workers,
consisting largely of retail and wholesale dealers.
These numbers and ratios are naturally based upon the pres­
ent area of New York City.
Increasing the size of the municipal­
ity by including adjacent communities that are today suburban will
of course affect the. numbers, but should not materially affect the
per cent distribution of occupational groups other than agricul­
ture, as the residents of these suburban areas are even today
largely employed in the industries and businesses of New York City.
Actual numbers are also dependent
upon population growth
366
in the city and the proportion of persons of employable age.
The latter in turn is influenced by Immigration, migration,
and birthrate.
Population figures of the city from 1931 to
1938 have been used to chart the trend for 1940 and 1950 (see
Diagram 45, page 308).
The proportion of persons of employ-
^
able age will naturally be increased by the declining birth­
rate, which should in time be partly offset by the increasing
proportion of children required to attend school.
Although statistics of occupations do not reflect em­
ployment, but the type of work engaged in by the population
when employed,
conditions.
they are nevertheless influenced by business
During periods of business activity, the number
of gainfully occupied persons is increased to include many mar­
ginal workers; women, children, and others who enter the em­
ployment market when opportunities for employment and wages are
attractive.
During periods of business depression, these mar­
ginal workers remain at their household work and school, and
are not included in the number of gainfully occupied persons.
If the census of occupations were taken today (December, 1939),
the proportion of total population returned as gainfully occu­
pied would be less than in 1930, because of the poorer busi­
ness conditions, prevailing today compared to the last census
year.
Thus, if comparatively poor business conditions continue
in 1940 at the time the Federal Census is taken, the per cent
of gainfully occupied persons should be at least five per cent
less than the estimates, given here, with the number of persons
engaged in the various occupations also correspondingly lower.
367
Changes in business conditions also affect the occupa­
tional distribution of workers as has been shown in the anal­
ysis of office and factory workers in manufacturing establish­
ments (see page 39).
During depression periods, a larger pro­
portion of the occupied population will report being engaged
in clerical occupations than during active business periods.
PART VIII
GENERAL SUMMARY OF CHANGES IN THE INDUSTRIES. BUSINESSES,
AND OCCUPATIONS OF NEW YORK CITY WITH PREDICTIONS
AS TO PROBABLE FUTURE TRENDS
CHAPTER I
SUMMARY OF TRENDS IN BUSINESSES AND INDUSTRIES
An attempt will be made in this chapter to summarize
some of the changes that have taken place in the business life
of New York City as reflected by available statistics of in­
dustrial and business activities and to interpret the probable
effect of these changes upon the future business life of the
city.
Manufacturing
Because of a scarcity of water power, New York lagged as
a manufacturing center before 1849.
With the introduction of
other sources of power, New York City due to its advantages as
a. source of labor, capital, and accessible raw materials rapid­
ly became the leading manufacturing city in the country.
Em­
ployment in this industry expanded until 1919, when an alltime peak: was reached, although the relative importance of New
York City as a manufacturing city began to decrease in 1914
(pages 29 and 30).
The production of transportable goods has
apparently become an industry that may be carried on profitably
369
outside of cities.
The development of the factory system permitted a high
degree of specialization in functions, not only in the work
of individuals and departments, but also establishments.
Al­
though productive plants have found it profitable to transfer
their manufacturing departments from Manhattan to the New York
industrial area and other parts of the country, the removal of
factories from New York City did not always mean a complete re­
moval of the office and sales departments, as these depart­
ments were engaged in functions for which the city itfas par­
ticularly suited (page 61).
Wholesale Distribution
New York City from its very beginning was essentially a
commercial city.
Its natural geographic advantages of loca­
tion, aided by natural and artificial waterways, made trade,.,
both foreign and domestic, the leading industry and occupation
of its people for a long time.
The City of New York controlled the largest proportion
of the total United States wholesale trade during the middle
of the nineteenth century, particularly during the time such
trade consisted largely of imported commodities (pages 70 to
77).
Exceptional transportation facilities to other parts of
the country aided in continuing this advantage to the city,
with the result that wholesale establishments in other parts
of the country found it more convenient to transfer their place
of business to New York, where transshipment facilities were
370
superior (page 71).
With the development of manufactures in this country,
during the middle of the nineteenth century, the importance of
imported commodities in the country's wholesale business was
considerably reduced.
Nevertheless,
since the City of New York
also assumed the position of first manufacturing city in the
country, it was natural that the merchandise produced in that
city should also be marketed there.
With the development of
newer midwestern and western manufacturing centers such as
Detroit and Los Angeles, and expansion in the older cities of
Chicago, St. Louis, San Francisco, and Cleveland, wholesale
distribution similarly became more widely scattered.
Improved
transporta„tion facilities in other parts of the country have
also tended to reduce the supremacy which New York City for­
merly held as a national market.
Wholesale employment in general will be concentrated to
a lesser extent in New York City in the future, although some
of this decrease may be made up by an increase in employment in
manufacturers'
sales branches and sales offices in that city.
Retail Distribution
Changes in the proportion of total retail business con­
ducted in New York City have not been as great as for the
wholesale business.
Likewise, there has been considerably less
concentration of this business in New York than in wholesale
merchandising.
Retailing like all other types of business ser­
ving the public directly will continue to concentrate near the
centers of population they serve.
The growth of retailing as
371
a source of employment will follow fairly closely the growth
of population in the New York shopping area.
New York City,
in common with other large cities, serves as a shopping cen­
ter for a considerable part of the outlying area and to the
large numbers of persons who come to the city daily on tem­
porary visits.
The development of chain stores operated by
large organizations has brou^it to many of the outlying sec­
tions of the city the advantages of large-scale distributive
methods and has tended to disperse retail employment over a
larger area than formerly.
Financial Institutions
The supremacy of New York City as a financial center may
be traced directly to the Port of New York.
The banks located
there primarily to finance the commerce of the city.
The in­
surance companies came to New York because of the presence of
the banks and other business houses.
Likewise, the security
and other organized exchanges found New York the logical cen­
ter for their activities because of their close connection with
other financial Institutions.
Similarly, the administrative o f ­
fices of the leading industrial, railroad, and public-utility
companies located in New York City because of the presence of
the banks, stock exchange, and other financial institutions.
The directors and officers of these banks, insurance, indus­
trial, railroad and public utility companies frequently serve
on the boards of several companies, which makes it desirable
that they be located close together.
Financial, and managerial services consisting largely of
372
Ideas can be transmitted with little loss of time and rela­
tively little expense to any part of the world.
In the dis­
tribution of those financial services where personal contact
is important, such as in the sale of Insurance and securities,
locations near the centers of population have been found to
be desirable.
The relative Importance of New York City as a financial
center would undoubtedly have continued to increase, were it
not for the development of other financial centers throughout
the country.
It is probable that the city will, however, re­
tain its relative position as a banking,
security, and insur­
ance carrier center, and improve as a center for central ad­
ministrative offices of multi-unit establishments.
Public Utilities
Public utilities are engaged in the production of ser­
vices that are usually consumed near the place of production.
Their location is therefore largely determined by the consump­
tion needs of the area they serve.
Population is an important
factor, but it is apparent that the relative importance of a
city in these industries would parallel its relative importance
as an industrial and business center.
The future of the gas and electric light and power,
transportation, and communication enterprises in New York City
is closely tied up with the future of the manufacturing, whole­
sale, retail, and financial establishments they serve.
Services
The service Industries have probably shown their great-
373
est growth since the turn of the century (page 280).
Hotels,
amusement enterprises, and most of the service industries,
being essentially engaged in furnishing services in the non­
necessity class, have been exceptionally hard hit during the
depression period.
This decline, however, should be temporary
and, as business improves, many of the employees released as
a result of the increased efficiency of workers in the goodsproducing industries should find employment in new service in­
dustries devised to improve living standards, and in the ex­
pansion and improvement of old services, which may gradually
become necessities in city life.
Employment in public and civil service has continued to
expand since the 1929 depression period.
It is quite probable
that the business depression has been in part responsible for
the assumption of added functions by government agencies.
Gov­
ernment employment apparently does tend to take up some of the
slack in private employment.
We can readily anticipate an in­
crease in the relative number of employees in the public and
civil service to perform the work of the new functions assumed
by Federal, state, and city governments.
Summary of Employment in New York City by Industries in 1935
Employment in all industries and businesses in New York
City for which statistics are available are summarized in Dia­
gram 60, in order to show their relative importance in New York
City business life in 1935.
*
Manufacturing in tha.t year em-
The year 1935 was selected because United States Census
of Business data were available for many industries
and businesses that year.
374
NTJnaER OF W O R K E R S
100,000
KAMurAcnmme
CEMRLoyjTES
200.000
400,000
4 * 0 PROFR/ErOFSj
400,000
9 0 0 , 0 0 0
b O Q O O O
021,000
TAIL DlSTfCbVTlOtf
229.425
at./e UTn.tnm
i v i u
S m m v / o s
iNANCtm, iNmrrruTiom
£ R V / C &
G S T 4 3 X . t t H M K N T S
191 462
193, 836
1 79, 0*0
236, 5 M
O m cm .s 46,000
35,509
FZo t m ^ i
36. 893
IB , 863
Diag* 60, Comparison in the Number of Workers in the
Leading Industries and Businesses in New York City,
1935
375
ployed the largest number of people, 611,000; retail distri­
bution was second with 424,723 and wholesale distribution
third with 218,415.
If wholesale and retail distribution
were combined, however, the total number of workers in trade
would exceed that in manufacturing.
Public utilities,
civil
service, and financial institutions ranked in the order named
with 199,461, 193,836, and 179,048 workers respectively.
vice establishments followed with 158,564 workers.
Ser­
Consider­
ably smaller numbers were employed in central administrative
offices, construction establishments, hotels, and places of
amusement, in the order named.
Diagram 61 shows the relative concentration in New York
City in 1935 of each of the major industries and businesses.
This is expressed in per cents of the total United States work­
ers in each industry or business in New York City.
New York's
per cent of total United States population is also given to
permit comparison.
Of the businesses and industries included here, securi­
ty dealers and brokers lead with 45.5 per cent of the xrorkers
concentrated in New York.
Workers in business service estab­
lishments are second with 24.4 per cent of the country's total
in New York City.
Approximately 23.4 per cent of all central
administrative office employes in the United States are in
New York City, 20.3 per cent of the street railway
19.4 per cent of all employees in
employees,
financial institutions,
18.9 per cent of the banking employees in the country, 16
per
cent of the total telephone employees, and 15.7 per cent of
all wholesale workers.
Workers in hotels follow with 14.24
376
Ten Csnt
of
Total Umxcp Statss
10
20
$£CUfUTYVtAt.S:AsASS\
B usiness Scxtrccs^frf
C e n t r a *. Ao*t*sis23A
To a r<t/e.
O rr/C E S
9metT7iAii.wAxs 20!,
flfi/twciALjAsxtn/rv- 2$
T/o«/3(Tarmij
Ba
n k in g
-
1 9 .) |
TtccPHQnc CoRpy. &
W h o le s a le X>ismi- 05!
31rriOAf
H
o tels
& -2
A v t o T Ie p a w
± t-
Total Scm/ccs
511
Settv/ce.3
Ei£$£TAicLic-nr 12.2
Tknso\AL Scxv/ces 1LB
Ani/S8M£NT5
10.0
OthbaTLcpa/a
SB
’R e tta /e D /s t r t -
/.8
H'lMVCAcrmtNe
(■2
seta"css
■mmoAf
Custom. iNoumiss 2.<*
POPULATION
J.J
Blag. 61. Relative Importance of Mew York City as.a
Center for Employment in Various Industries and
Businesses, Expressed in Per Cents of the Total
Number of Workers in the United States in Each
Industry or Business in 1935
so
377
per cent.
When compared with New York City's share of the to­
tal population of the country in 1935, 5.7 per cent, these
would appear to he the only major business and industrial
groups which are concentrated in New York City to a substan­
tially greater extent than would be justified by its popula­
tion, indicating that New York City performs these functions
for other communities.
Public utilities, hotels, and some of the service indus­
tries represent businesses that show a fair degree of concen­
tration in New York City, despite the fact that their services
are generally consumed near the place of production.
This is
because they are needed in the city to perform the services re­
quired by the businesses and industries located there.
In the
case of personal services and amusements, New York City also
accounts for a larger proportion of the country's total than
would be Justified by its population alone, but only because
these are services that are usually more generally available in
urban communities.
Street railways,
included with public util­
ities, would also fall in this class.
In retail distribution, the 7.76 per cent which repre­
sents New York City's share of the total retail employment of
the United States corresponds, roughly to the population of the
retail area served by New York City retail stores.
Manufactur­
ing, despite the important place it still has in New York City
life, had but 7.16 per cent of its total workers in that city.
Unfortunately, complete employment figures for New York City
are not available for clvil-service workers, but in view of the
i
378
importance of the city's commerce and industries a consider­
able proportion of the government agencies of the nation and
state are also located here.
CHAPTER II
SUMMARY OP TRENDS IN THE OCCUPATIONAL DISTRIBUTION
OF WORKERS
Occupational Distribution of Workers in Various Industries
Trends in the industries and businesses of the city alone
will not completely determine the occupations of the people.
Industries and businesses differ widely in the occupational dis­
tribution of their personnel.
This is graphically illustrated
in Diagram 62, which furnishes a summary of the proportion of
business workers in some of the industries and businesses ana­
lyzed in this study.
Separate figures are given for clerks and
office workers, sales workers, and executives and proprietors.
Since the purpose of this chart is to show the basic differences
in the occupational distribution of xrorkers in various Indus- .
tries and businesses, figures for the entire country are used.
In a number of instances, Xirhere figures for the entire country
are not available, reference is made to New York City data,
although some variation from the figures for the entire coun­
try should be expected.
Likewise, where figures for 1935 were
not to be had, figures for the nearest yee.r were used.
Clerical Workers
It is natural that those businesses which are primarily
concerned with furnishing services related to management and
administration, financing and risk bearing, and investigating
and advising should have larger ratios of clerical workers than
360
Psa
C l e r ic a l .
10
20
C e n T o p T o t a l * “P e p l s o n n e l
O ffic e . E m p l o y e e s
30
<0
90
M
TO
80
amo
'Pmo»
Eke
i /*e PA/eroms
'*oism
10
10
30
3 A N K 5
S k c u a jt Y S k a lk a s ^ .
A ND&ROHSAS 37-17
T nsi /r a n c k
mix
E a r a *>liMn*uEi*r^-
Electric Light
_ _
AMO rOHJEfV*'
graph
C ompaq .
Ga s C onP A M ie/^ ZJ.,
TtyfPHONE Cof*PAW$S
W hole s a l e
in.
w:,WZ
£8TAGLISHMfNV5J'
'R a il a o a d s
S t a e e t 'T^ail ..
HA*> UlNEV**
&J.AMUFACTO*1*6
£ *TAT9 l ISHMK*P5
M otels
b.fa
CONST/fOCT/OtV
CarrrnAc.-rof\s
Retail
^
% w
ESTASL I9HMEN15T‘
N a p * f A f j y t T k u k T -M
ING An OffouSHlNL 9V»9*
m
m
m
m
m
PA9TMSNT
psTome*
S
Department
S
to rks
e l l in g
3 2 .3 2 , ----
. E m plo yees
J tE T A lL Z S T A B --------- 1--------- 1-------- 1
USH M EHTS CT O n ^ t/ j 0 --------1---------- .-------- 1 >
I
nsurance
? l9 ,
-----------1
------------*— i
E S T A & L lS H M E N T S r*^ --------1---------- j-------1
$£ci/«rrv VEAUXs-g
a n d 3*okeas
"I
---- ------
---- ---- 1— |
---- 1—
i 1
a) Based upon figures for 1936.
b) Based upon New York City
figures for 1932
o) Based upon New York City
figures for 1935
W ho lezal e
2a » -----------—
h
EZTA&U tH NiN TS ^ --------------------------1
Diag. 62. Comparison In the Percentage of Business Workers
In Various Industries and Businesses in the United States,
1636
381
those businesses engaged in the production of goods and mate­
rial services.
The proportion of clerical and office xrorkers
in banking institutions should come close'to the 78.05 per
cent reported as employees with the remainder,
consisting of officers and executives.
21.95 per cent
Security dealers and
brokers come second with 57.17 per cent, because the nature
of the service rendered requires greater sales pressure.
The
same applies to insurance establishments which are not fa,r
behind with 54.64 per cent office workers.
Advertising firms
would show similar ratios of clerical workers if data were
available.
Public utilities engaged in furnishing gas and electric
light and power, telegraph, telephone, and interstate trans­
portation also show very substantial ratios of clerical and
office workers.
This is probably due to the fact that these
companies are comparatively large and provide ample opportunity
for specialization in employment.
The gas, electric, and tele­
phone services are also usually sold on a monthly basis, necessitating added record keeping, a factor that should tend to in­
crease the ra.tio of office workers.
Firms engaged in buying and selling merchandise at whole­
sale rank next in proportion of office workers with 17.4g, al­
though this ratio obviously varies with the type of merchan­
dise sold (see Appendix, page 450).
The group having the lowest ratio of clerical workers is
ma.de up of industries engaged in the actual production of goods
and material services (as distinguished from firms giving ad­
vice or paper service).
Here
manufacturing leads
with 7.41 per
382
cent, hotels 6.92 per cent, and construction 4.43 per cent.
Specific manufacturing industries may vary widely in the ratio
of clerical workers, depending upon the quantity of planning
and paper work required to facilitate production (see Appendix,
page 446 ).
Thus printing and publishing firms have exception­
ally large ratios of office workers, varying from 14,62 per
cent for job printers and 40.43 per cent for publishers.
Retail establishments represent firms engaged in buying
and selling merchandise, but show a small ratio of clerical
workers— 4.25 oer cent— because of the comparatively small size
of the average retail establishment, with much of the clerical
work divided between the proprietor and the sales workers.
As
these firms become larger, as may be seen by the figures for
department stores, there is a substantial increase in the pro­
portion of office and clerical workers.
Sales Workers
Figures for sales workers are available only for a few
industries, where selling is a. primary function.
These are
wholesale and retail distribution, security dealers, and in­
surance establishments.
The ratio of such workers apparently
does not vary much with the different industries, as indicated
by the following figures:
retail establishments 27.9 per cent,
insurance establishments 26.56 per cent, security dealers 24.58
per cent, and wholesale establishments 2.2.37 per cent.
The
sales workers connected with manufacturing establishments at
the factory
#
and sales workers in public utility and other ser-
Employees of manufacturers' sales offices and branches
are included with wholesale establishments.
383
vice businesses are probably included with office and cler­
ical workers.
Executives and Proprietors
The ratio of these managerial workers is largely influ­
enced by the size of the average business establishment and
the extent to which the corporate form of business organization
is used.
Businesses usually in the hands of proprietors em­
ploying one or two workers, such as in the case of retail es­
tablishments, service establishments, motor-trucking establish­
ments, and construction contractors, have exceptionally large
rr.tios of proprietors.
On the other hand, industries that are
chiefly in the hands of comparatively large corporations, such
as manufacturing and the public-utility companies, show small
ratios of executives and an almost negligible per cent of pro­
prietors.
A large ratio of proprietors usually reduces the per
cent of office and sales workers, since in small establishments
the proprietor in addition to performing the necessary execu­
tive and managerial functions frequently also performs sales
and clerical duties, which in a larger firm would be performed
by sales and clerical employees.
Trends in the Occupational Distribution of Business Workers
as Shown by Statistics of Industries and Businesses
Available statistics for all industries where compar­
able data could be secured as summarized in Table LXXV show
very marked changes in the occupational distribution of their
personnel over a period of years.
Up to about 1930, all businesses and industries for which
384
TABLE LXXV
Summary of Trends in the Percentage of Clerical Workers in
Industries in the United States
Year
Manufac­
turing
(a)
1870
1879
1880
1889
1890
1895
1899
1900
1902
1904
1905
1907
1909
1910
1912
1913
1914
1916
1917
1919
1920
1921
1922
1923
1925
1927
1929
1930
1932
1933
1935
1936
1937
a)
Retail Stores Insur­
De­
Five ance
and
part­
Ten
(b) ment
11.25
1.19
15.94
3.07
Elec­ Street Tele­ Rail­ Tele­
tric
Rail­ phone roads graph
Compa­
Compa­
Light­ ways
nies
nies
ing
2.07
2.97
3.39
6.90
3.17
9.95
3.07
10.28
14.43
3.65
10.65
24.10
6.54
17.08
26.40
7.59
13.98
2.51
8.50
3.71
10.48 7.64
4.49
37.47
15.46
5.20
11.86 8.92
11.21
13.45 9.67
13.86
12.79
6.21
30.10
8.27
29.16
16.37
13.19
15.94
8.62
14.43
14.87
16.80
41.34
9.11
13.13
12.60 7.41 20.77
4.70
All salaried employees.
52.25
19.50
18.80
b)
16.44
15.74 28.49
14.01 28.37
Clerks only.
Sources: Manufacturing, Diagram 2; Department and five and ten cent
Insurance, Table XXXII; Electric Lighting companies, Table XLI, Bt
Diagram 38; Telephone companies, Table XLIII; Railroads, Table XIcompanies, Table XLV; Public service, Table LVI; Professional sej
LVII.
384
TABLE LXXV
>f Trends In the Percentage of Clerical Workers in Vari 0U8
Industries in the United States
itail Stores Insur­
)e^
Five ance
irtand
>nt
Ten
11.25
Elec­ Street Tele­ Rail­ Tele­
Rail­ phone roads graph
tric
Compa­
Compa­
Light­ ways
nies
nies
ing
ubllc Profes­
ersional
ice
Service
2.07
15.94
2.97
3.39
3.17
9.95
3.07
10.28
14.43
3.65
10.65
24.10
6.54
17.08
26.40
7.59
13.98
2.51
3.71
4.49
37.47
5.46
:L5.14
4.12
19.90
7.41
5.20
11.21
12.79
6.21
30.10
8.27
29.16
16.37
15.94
8.62
16.80
41.34
9.11
0.77
4.70
imployees.
52.25
19.50
18.80
b)
16.44
15.74 28.49
14.01 28.37
Clerks only.
irinp, Diagram 2; Department and five and ten cent stoajes, Table X H ;
3le XXXII; Electric Lighting companies, Table
*
3lephone companies, Table XLIII; Railroads, Table XLIV: Telegraph
ble XLV; PuftLic service, Table LVI; Professional service, Table
385
occupational information is available show a constantly in­
creasing ratio of office and clerical workers, with a corre­
sponding decline in the ratio of wage earners, representing
operatives and nonbusiness workers, during the same period.
The per cent of executives and proprietors has also shown a
declining trend although proprietors have declined at a much
faster rate than executives.
Unfortunately, extended figures
are not available for sales workers.
The factors that have been advanced as the probable
causes of this constant increase in the ratio of office work­
ers in practically all industries and businesses have already
been discussed in previous sections of this study, dealing
with each of the specific industries and businesses.
These
will be briefly summarized here:
1.
The increase in the size of the average business establish­
ment has permitted greater specialization in duties of workers.
Much of the clerical work
formerly done by the proprietor, wage
earners, or sal.es workers in connection with other duties would,
with an increase in the size of the establishment, be assigned
to a clerk.
The actual amount of clerical work would also be
increased beca.use of the additional planning and systemization
required by larger firms.
This is particularly noticeable in
those industries, such as manufacturing, for which figures ex­
tending over a period of time are available (page 43).
2.
The productive efficiency of wage earners in producing goods
and services has increased much faster than that of clerical
employees.
Some of this greater productive efficiency may
386
be traced to larger organizations and better planning, although
much of it is also due to technological developments.
This
trend has been Indicated in manufacturing (pages 43 to 47),
street railway companies (page 232), telephone companies (page
239).
Insufficient data are available for wholesale and re­
tail distribution.
A decreasing trend in the proportion of clerical employees first became apparent in manufacturing in 1933,
in rail­
roads in 1935, and in the telephone and telegraph industries
in 1937.
By that time, practically all industries which report
periodically on the number of their office and other employees,
began to show smaller ratios of business workers.
The probable cause for this reversal in trend may be
found in those same factors which were considered responsible
for the constantly increasing ratio of clerical and other salaft
ried employees up to 1932.
Industrial and business combina­
tions of smaller establishments have for the time being reached
a saturation point, and it is not likely that the size of the
average business establishment will continue to increase very
much, in the near future.
In addition, there are indications
that the productive efficiency of office workers has begun to
catch up with that of wage earners.
This was clearly indicated
in the case of manufacturing employees (pages 43 to 47).
This
greater efficiency in office work is probably largely due to
the increased mechanization of office operations.
There is un­
doubtedly considerable Improvement still possible before the
*
This liras the first census of manufactures after 1929 at
which data on salaried employees were reported.
387
1
work of the office reaches the efficiency of the factory.
When this time does come, the ratio of office to total work­
ers should remain fairly constant, fluctuating only with vary­
ing husiness conditions, increasing when business is poor and
declining when husiness improves (pages 37 to 40).
Comparison in the Occupational Distribution of Workers
in Industries and Businesses in New York City and the
Rest of the Country
In most of the industries and businesses analyzed in this
study for which information on the occupational distribution
of workers is available, the ratio of office workers is higher
in New York City than in other large cities or the country as
a whole.
This has been found to be true for manufacturing,
wholesale distribution, security dealers and brokers, telephone,
gas and electric companies, and construction contractors.
In
the case of backing and insurance companies, where figures on
occupational distribution a.re not available for New York City,
New York State figures show greater ratios of office workers
than other states or the country as a whole.
The only excep­
tions found are retail establishments, hotels, and street rail­
way companies.
In those industries, such as manufacturing,
*
where occupational data have been available over a period of
years, the ratio of office workers has been increasing at a
greater rate in New York City than in most other Important cit­
ies or the country as a whole.
This leads to the conclusion that those establishments
1.
W.H. Leffingwell, Business Education in a Changing Social
and Economic Order, Eastern Commercial Teachers Associa­
tion, Seventh Yearbook. 1934, Chapter V.
388
maintaining units in various parts of the country retain a
larger proportion of their executive and administrative de­
partments in Nex* York City than in other cities.
The trend
is definitely towards a still greater concentration of these
executive and administrative departments in Nex-r York.
When
left to their own resources, business establishments will
seek to locate the various divisions of their business in
those communities where they can be performed with the great­
est efficiency and economy.
The advantages which New York
City possesses for the performance of the managerial and ad­
ministrative functions of business have Induced many of the
multi-unit manufacturing establishments to locate their prin­
cipal or executive offices in New York City even though their
production departments may be scattered throughout the country.
To a lesser degree, this has been true of wholesale and retail
establishments and public utilities.
New York City hotels and
street transit companies are among the very fevr industries
that do not have a larger ratio of office workers than similar
enterprises in other cities.
This may be due to the distinct­
ly different type of service rendered by these industries in
New York City.
It is apparent that the rapid transit subway
system of New York City would require a different personnel
than the street car and motor bus systems of other cities (see
page 235).
Sales Workers
In those industries for which it has been possible to ob­
tain separate figures for sales employees, the proportion of
389
such employees in New York City does not appear to be larger
than in similar establishments in other cities.
The selling
function is apparently located in fairly close relationship
to population or to the consumers of the goods or services
sold.
This has been found to be true in the case of wholesale
and retail establishments, insurance companies, and security
dealers and brokers.
Proprietors and Executives
Most industries and businesses in New York City have
smaller ratios of proprietors and larger ratios of salaried
executives and officers than similar industries and businesses
in other cities.
This is because of the usually larger aver­
age size of New York City business establishments (with the
exception of manufacturing concerns), and the greater propor­
tion of incorporated firms.
Conclusions Based Upon Statistics of Occupations
The statistics of occupations secured from entirely dif­
ferent sources and analyzed in Part VII not only support the
conclusions contained in the preceding pages, but also give
added information on trends in specific business occupations.
Trends of Occupational G-roups
In New York City, the occupational distribution of the
total gainfully occupied persons has not varied much since
1820, compared to the great changes that have taken place in
the economic life of the nation.
This may be attributed to the
fact that commerce has been, and still is, the principal em­
390
ployment of its inhabitants.
The proportion of total occupied
persons engaged in trade in New York City probably reached its
peak some time before 1812.
This proportion declined steadily
until 1840 and then continued to rise again until 1900.
Be­
tween that year and 1920 declines were noted but a reversal of
trend again occurred in 1930, when the per cent of trade work­
ers reached the highest figures for the 110 years for which
this information is available.
The drop in the Importance of
trade in New York City during the years 1840 to 1860 undoubted­
ly reflects the expansion in manufacturing activity during this
period.
The relative Increase from 1870 to 1900 marks a peri­
od of expanding markets induced by the dispersion of manufac­
turing and population throughout the country.
The relative de­
clines between 1900 and 1920 are probably due to changes in oc­
cupational classification,
and the rise in 1930 represents the
shift from production to distribution that became apparent
throughout the country in 1929 (page 314).
The per cent of occupied persons in transportation and
communication has shown remarkably little change from 1820 to
1920.
This may appear to be surprising in view of the tremen­
dous expansion in transportation and communication that has
taken place in New York City during this period.
This expan­
sion has, however, been accompanied by a corresponding improve­
ment in the productive efficiency of workers in these indus­
tries (page 315).
The proportion of persons engaged in clerical occupations
in New York City has increased from 6.1 per cent in 1820 to
391
17.3 per cent In 1930.
The per cent of gainfully occupied
persons engaged In clerical work In New York has not only
been consistently larger than In the country as a whole, but
has also Increased at a greater rate at each census period
(page 315).
Figures for the separate clerical occupations of clerks,
bookkeepers, and stenographers show that unclassified clerks
were relatively much more numerous in 1370, when specializa­
tion in office work was uncommon, because of the comparatively
small size of the average office.
The specialized clerical oc­
cupations of bookkeeper and stenographer increased In Impor­
tance at the expense of "clerks," as business establishments
became larger and permitted this specialization.
Continued
specialization in clerical duties during recent years decreased
the proportion of stenographers and bookkeepers and introduced
a larger number of highly specialized clerical occupations that
were included with the general classification "clerk" for want
of a
better occupational designation (page 301).
While
the per cent of total occupied persons engaged in
business occupations has increased steadily vrith each census
period, the increase has been entirely in the employee group
of clerical, sales, and communication tforkers.
The propor­
tion of managerial workers has remained fairly stationary.
The break-up of occupational data by sexes shows that
despite the
great relative increase in the total number of per­
sons in business occupations, the proportion of males in these
occupations, with the exception of managerial Tirorkers, has
392
shown little change.
The large relative and actual increase
in the number of clerical, sales, and communication workers in
New York City since 1370 has been almost entirely due to an
increase in the number of female workers (page 343).
The ratio of number of clerical workers to population
ha.s Increased at each census period from 1900 to 1930 in most
cities of the United States, as well as throughout the country
as a whole.
This ratio varies widely with different cities,
depending upon the Industries, businesses, and functions that
flourish in the various cities.
Because of the large number
of New York City workers engaged in manufacturing, New York
City does not have the largest ratio of such clerical workers
to population, although it ranked second among large cities in
1930.
Its position in this respect has improved steadily since
1900, when it ranked but fifth among the same cities (page 353).
The ratio of sales workers to population is comparative­
ly constant in large cities, varying less from period to peri­
od and among cities than the ratio of clerical workers.
The
ratio of sales workers to population in New York City repre­
sents about the average for large cities (page 354).
Forecasts of Probable Future Trends
Clerical and communication workers have apparently reached
a point where the rate of increase has shown definite signs of
declining.
The proportion of persons engaged in clerical occu­
pations should decline slightly in 1940 and again in 1950 (page
357).
It is reasonable to expect a continued increase in the
393
proportion of the city’s working population to he devoted to
functions of a purely husiness nature, such as distribution,
finance, and the administration and management of manufactur­
ing, railroad and public-utility enterprises, with the actual
production work gradually being transferred to other areas
(page 358).
It therefore follows that although the trend in the num­
ber of clerical workers In general has apparently reached a
plateau, the forces leading towards further concentration of
the business functions in New York City will continue to oper­
ate with the result that the number of clerical workers in New
York City will Increase at a greater rate than in the United
States as a whole (page 359).
*
See Ta.ble LXXIII, p. 359, for estimates of probably dis­
tribution of gainfully occupied persons in New York
City in 1940 and 1950 by general occupational divisions,
and Table LXXIV, p. 364, for a similar estimate of the
probable number of persons that will be engaged in spe­
cific business occupations.
CHAPTER III
SOME EDUCATIONAL USES AND IMPLICATIONS OF THIS STUDY
The general significance of this study as a contribution
to the field of education has already been summarized in the
introductory statements on pages 1 to 4.
Although it may in
some cases afford a possible solution for specific school prob­
lems, it is Intended rather as a basic contribution to the eco­
nomic background of education.
The value of such knowledge about the economic life of
the community is emphasized In most of the recent criticisms
of our educational system.
Bradford F. Kimball remarks
"....that in the formulation of educational policies and educa­
tional planning, cognizance should be taken of social and eco­
nomic trends and their implication for education."'*'
Julius
B. Mailer feels that "Changes in occupational pattern are in­
timately related to the broader changes in the economic and so­
cial structure.
An attempt on the part of the school to de­
velop vocational orientation must be based upon an understand-
,,2
ing of broad social trends."
To attempt to apply the findings of this study, as sum­
marized in the foregoing chapters, to specific situations in
the schools of today, would involve a corresponding analysis
of the work of the schools, with a view of determining the ex­
1.
2.
Changes in the Occupational Pattern of New York State, p. 1.
School and the Community, p. 175.
395
tent to which they are, or are not, In agreement with the chang­
ing economic be.ckground of the community.
Such a critical anal­
ysis is obviously beyond the scope of any one study and might
well be made the subject of another thesis.
Nevertheless, a few generalizations of the more obvious
implications of some of the findings would appea.r to be in or­
der here.
The fallacy of following state and national programs or
curricula in commercial or vocational education in New York
City has been repeatedly illustrated by the many references to
the wide variations in the present, past,
and probable future
industrial and commercial opportunities in New York City, New
York State, and the United States as a whole.
Likewise,
statements that a disproportionate number of
students in schools throughout the oountry or state are study­
ing commercial subjects in relation to the opportunities for
employment cannot be applied to New York City, where in 1930
approximately 42 per cent of all gainfully occupied women and
35 per cent of all gainfully occupied men were engaged in oc­
cupations within the sphere of business education (page 244),
with the trend, in the per cent of these business workers in
New York City, still definitely upward.
Since statistics of industries and businesses show a con­
tinued increase in the concentration of industries, businesses,
and functions in New York City requiring greater proportions of
business workers, a continued expansion in business education
in that city would be Justified, if the schools are to antlci-
396
pate the employment needs of the businesses and industries of
the city.
The greatest rate of Increase In business workers has
been in the number of unclassified clerks, rather than in the
number of bookkeepers and stenographers.
Indications are that
this trend will continue in the near future, particularly in
New York City and other large cities.
This would call for ei­
ther more general business training and less specialized book­
keeping and stenography, or briefer courses in the highly spe­
cialized duties performed by the persons usually designated as
"clerks."
While specific techniques may change frequently, the oc­
cupational distribution of workers in New York City, on the
whole, changes very slowly; certainly much more slowly than in
New York State or throughout the United States.
This would seem
to indicate that once the educational system has been orientated
to the business life of New York City, it can plan without fear
of violent changes in the occupations of the population.
This
appears to be at variance with the conclusions made, by Kimball
based upon figures for New York State.
The "swift, unpredict­
able changes in the occupational pattern"’1' that he mentions
being disclosed from a study of figures for the state do not
appear to be apparent in the study of occupational trends in
New York City.
Such changes as have taken place in the business life of
New York City have been not so much in basic occupations or
functions as in techniques and the mechanics of business.
1.
Kimball, 0 £. clt.. p. 165.
No
397
attempt has been made to trace these latter changes in this
study or to forecast the probable future direction they will
take.
Such studies, at the present time, are not likely to
prove successful.
It is therefore reasonable to forecast that
business education of the future will be concerned less with
preparation in the unpredictable and ever changing techniques
and procedures, and more with training for the basic functions,
which up to the present time have followed a fairly steady and
«
predictable trend in New York City.
It is fortunate that, as the duties of business workers
become more specialized, there is less need for extended tech­
nical training in school for successful performance of these
duties.
The training of the future business worker, rather
than being confined to the acquisition of such skills and tech­
niques as bookkeeping and stenography, may take on a broader
scope such as courses in marketing, financing, and production,
together with the interrelationship of these activities; or
perhaps more highly specialized commercial fields such as the
retail or wholesale distribution of textiles, foodstuffs,
clothing, or securities, goods that have^and will continue to
form the basis of New York's business life.
The continued mechanization of industry and business and
the concentration of proprietorship and management in fewer
hands should tend to decrease the minimum qualifications for
business employees and should make possible the employment in
*
Some of these new social-economic goals of business educa­
tion are mentioned in the outline of the New York Univer­
sity program for training teachers for business education.
New York University Bulletin, XXXVII (February 16, 1937),
p. 56.
398
this field of persons of lower ability.
Present competition
for "white-collar" jobs may for the time being establish high­
er qualifications for many of these business occupations than
are justified by the nature of the duties performed, but the
return of normal business conditions should encourage the em­
ployment, for the more routine tasks, of persons with less ability.
On the other hand, the fewer managerial occupations
provide greater opportunities for the highest type of business
ability and training.
This is by no means intended as a complete summary of
the ways in which the findings of this study may prove of val­
ue.
Perhaps the material, contained in this study, might find
its greatest use as a source of Information on businesses a.nd
industries of New York City for a number of the courses in
this and related subjects now being offered in New York City
schools.
That teachers are also in need of Information on
"local, state or national trends in such matters as technologi­
cal developments, business trends, employment conditions, et
cetera" is also pointed out by Thomas L. Norton! "The business
teacher is frequently content to be a good classroom teacher
of his special' subject, without reference to what is happening
2
in the changing economic scene."
It is hoped that this will
be a worth-while start to the study of a phase of New York City
life that has heretofore been unaccountably neglected.
1.
2.
Education for Wo r k , p. 99.
Loc. cit.
M
K W C T X
The titles below have been selected because of their val­
ue in furnishing additional data on the various aspects of this
study.
Only those contributions have been annotated whioh pre­
sent content, or uses, other than that suggested by the title.
general Works on New York City Boonomio Life in general. In­
cluding contemporary annualg, guide ‘
books, studies, et oetera,
covering specifio periods. Many of the early works are ob­
viously out of print, although they are available in the col­
lections of the New York Public Library.
Albion, Robert g., and Pope, Jennie B., The Rise of New York
Port. New York: Charles Scribner^s Sons, 1939. Pp. xlv,
*2§6.
History of New York's commerce, 1815-1860.
Belden, Ezekiel P., New York: Past. Present and Future. New
York: g.P. Putnam, 1849. Pp. vill, 125.
Blunt, Edmund M., The Stranger*s guide to the City of New
York. London: Samuel Leigh, 1818. Pp. xvi, 14-304.
Explains methods of selling at wholesale and retail;
describes banks, Insurance and manufacturing companies
of the period.
Blunt, Edmund M., The Picture of New York and Stranger1s
guide to the Commarclal Metropolis of the £.£*ik* New York:
A.T. Goodrich, 1 8 2 8 . CAlso 1825). Pp. viii, 492.
A good source of data on business life in New York City
in 1826. Contains a chronological history of important
events to 1828, with emphasis on business.
Bonner, William Thompson, New York. The World1s Metropolis.
1625-4 to 1925-4. New York: R.L. Polk and Conpany, Inc.,
15247“ Pp. xvi, 17-958.
Very good analysis of business life in New York City.
Seme original data. Seotlons on "Wealth and Finance,"
"Merchandise and Merchandising."
Booth, Mary Louise, Hi story of the City of New York. New
York: W.R.C. Clark and Meeker. 1866. Pp. xix, 22-850.
Brown, S. (editor), Citizen (The) and Strangers1 Pictorial
and Business Directory of New York. New York: C. Spalding
and Company, 1855. Pp. 9-500.
Central Mercantile Association, Your Stupendous New York.
New York: Central Mercantile Association, 1915. Pp. 2-22.
Summary of commercial faots about New York City in 1915.
Cochran, Thomas C., New York in the Confederation: An Eco­
nomic Study. Philadelphia: University of Pennsylvania
Press, 1932. Pp. ix, 3-220. (Also Issued as Ph.D.
Thesis, University of Pennsylvania, 1932).
Colton, (Joseph H.) and Company. A fliynmayy Historical. Geo­
graphical. and Statistical_VleW~of the City of New"YorET
New York: J.H. Colton and Company, 1836. Q>. 46.
Comley. W.J.. Comlev's History of the State of New York: A
General R^vlST'of Her j e s o u r ^ s T l n ^ ^ l g i .^ a i f ^nd^
Commerce. New York: Comley Brothers, 18^7. Pp. 33-144,
331-656.
Conant, Charles Arthur, The Progress of the Empire State: His­
torical . Industrial. Financial. Literary. 2v. New York:
The Progress of the Empire State Cong?any, 1913. Pp. xix,
425 .
Disturnell, J., New York as It Is. 1833. New York: J. Dlsturnell, 1833. (Also 1§34, l§35T”l537, 1839-1840).
Contains considerable business data.
Dlx, John Adams, Sketch of the Resources of the City of New
York. New York: G. and C. Oarvill, 18§7.
104.
______________ The City of New York: Its Growth. Destinies
and Duties. New York: D. Appleton and Company, 1853. Pp.23.
Edwards, George William, New York as an Eighteenth Century
Municipality. 1731-1736. New York: Columbia University Press,
1917, Pp. 2-205. (Also Ph.D. Thesis, Columbia University,
1917).
Emerson, F.V., A Geographic Interpretation -of New York City.
Ph.D. Thesis7 University of Chicago, 1909. (Also in Geo­
graphical Society Bulletin. XL (1908), pp. 587-612, 726-738;
Also XLI (1909), pp. 3-21).
Analyzes the fundamental geographic facts in the growth
of New York City.
Engelhardt, George W., New York. The Metropolis: The Book of
its Merohants1 Association and of Cooperating Public Bodies.
New York: G.W. Engelhardt Company, 1902. Pp. 2&3.
A comprehensive account of business, finance, and other
aspects of economic life in the city in 1902.
Flick, Alexander (editor), History of the State of New York.
New York: Columbia University Press, 1933-1937. 10 volumes.
Girard, Steven, The Merchant *s Sketch Book and Guide to New
York City. New York: Steven Girard, 1844. Pp. 50.
Gives an excellent aocount of the advantages of doing bus­
iness in New York City in 1844 by a contemporary merchant.
Gobrlght, Christopher, and Pratt, The Union Sketch-Book. New
York: Pudney and Russell, 1860 (and 1861). Pp. xll, 168.
Hardie, James, The Description of the City of New York. New
York: S. Marks, 1 8 2 7 . Pp. 360.
Harrington, Virginia D., The New York Merohant on the Eve of
the Revolution. New York: Columbia University Press, 1535.
Pp. 389.
Good aocount of business life in New York City up to 1775,
with emphasis on the status of the merchant.
401
. The Place of the Merohant In New York
Colonial Life. New York History. XII (1932), pp. 366-380.
History and Commerce of New York. New York: American Publish­
ing and Engraving Company, 1891. Pp. x, 34-267.
Huebner, Grover G., The Eoonomlc Causes of New York's Suprem­
acy, In "The Greater Port of New York," Supplement, The
New York Evening Post. June 20, 1917.
New York and the Railroad Enterprise. Hunts Merchants Maga­
zine. XV (1846), p. 459.
Discusses the effect of railroads on the eoonomlc posi­
tion of New York City during this period.
Kettel, T.P., Commercial Growth and Greatness of New York. De
Bow's Review. V (1848), pp. 30-44.
King, Moses, Handbook of New York City. Boston: Moses King,
1893. Pp. 1008. (Also 1892)7
Good contemporary business data for 1892.
Lamb, Mrs. Martha J. and Mrs. Burton Harrison, History of the
City of New York. New York: The A.S. Barnes Company, 1877I8§0-1§967" 3 volumes.
Leonard, John William, History of the City of New York. 16091909. New York: Journal of Commerce and Commercial Bulletin,
1910. Pp. vll, 954.
Mayor's Committee on City Planning (Timothy J. Sullivan, Chalrman), Preliminary Report of Progress of Studles Made by
Works Progress Administration. New tf>rk: Mayor's Committee
on dity Planning, (Ulty of New York, 1936.
In 1923, the Regional Plan completed Industrial studies
of New York. Bringing these studies up-to-date was the
essential part of the work of this project.
McKay, Richard C., South Street: A Maritime History of New York.
New York: G.P. Putnam's Sons, 1934. Pp. xxli, 4607
Merchants' Association of New York, Some Facts About the New
York Market. New York: Merchants^ Association of New York,
1897.
Mltchlll, Samuel L., The Picture of New York. New York: I.
Riley and Company, 1807. Pp. vill, 2z3.
Morgan, Richard Price, Deollne of the Commeroe of the Port of
New York. University of Illinois; Studies I (1901), pp.
61-76.
Nettels, Curtis, The Economic Relations of Boston, Philadelphia
and New York, 1680-1715, Journal of Eoonomlc and Business
History. Ill (Feburary 1931).
New iork Commercial, & Souvenir of New York City. Old and New.
New York: New York Commercial, 1918. Pp. 369.
New York's Great Industries. New York: Historical Publishing
Company, 1884-1885.
New York Port and Its Disappointed Rivals 1815-1860. Journal
of Eoonomlc and Business History. Ill (August 1931), pp.
<502-629.
New York State. A History. Chicago: Lewis Historical Publish­
ing Company, Volume V.
O' Callaghan, E.B., Documentary History of the State of New York.
Igi. xv. Albany: wood Parsons and Company, 1849.
Seotion xxl; Papers relating to the trade and manufac­
tures of the Province of New York 1705-1757.
I
402
Peterson, Arthur E., New Yorkas an 18th Century Municipality,
Prior to 1731. New York: ColuimDla University Press, 1917,
Pp. xv, 1§9. (Ph.D. Thesis, 1917).
Pomerantz, Sidney Irving, New York. An American City. 17831803. New York: Columbia University Press, 1938. Pp. 531
(Ph.D. Thesis, Columbia University 1938).
Port of New York Authority, Commerce Bulletin. Issued monthly,
slnoe March 1929.
Current economic data pertaining to the Port of New York.
Regional Plan of New York and Its Environs (Committee of the),
Regional Plan (Survey) of New York and Its Environs. New
York: Regional Plan of New York dity and Its Environs,
1927-1931. 8 volumes.
A very significant contribution to the study of the eoo­
nomlc development of New York City and its environs. Spe­
cific studies are listed in this bibliography under the
names of the authors and topic oovered.
Ruggles, Edward, A Ploture of New York. New York: C.S. Francis
and Company, 1846. Pp. iv, 1727 (Also 1848).
Rush, Thomas E., The Port of New York. Garden City: Doubleday,
Page and Company, 1920. Pp. xiv, 361.
Scott, Jesup W., A Presentation of Causes Tending to Fix the
Position of the Future Great City of the World in the Cen­
tral Plan of North fmwr»i oa. Toledo: Blade Steam Book and
Job Print, 1 8 6 8 . Pp. 28.
Attempts to forecast growth of New York City. An inter­
esting early study of factors influencing the removal of
the center of the world's oommeroe from London to the
City of New York and thence to the Great Lakes.
Smart, Mary F. and Peterson, A.E., Historical Handbook of New
York. New York: City History Club of New York, 1934.
Stamford, Thomas R., Citizen1s Dlreotowr and Stranger's Guide
Through the City of New York.' New York: Thomas Stamford,
1814.
Stone, William Leete, History of New York City from the Discov­
ery to the Present Day. New York: Virtue and Yoreton, 187*2.
Pp. 252. (Also New York: E. Cleave, 1868).
Swan, Robert W., New Yr>rk from Village to Metropolis. New York:
Grosset and D u S a p 7 l 9 3 9 7 P p . 22.
Todd, Charles Burr, A Brief History of the City of New York.
New York: American Book Company, 1899, Pp. 303.
Todd, Frederick, Shall New York Become a Great Trading World?
Market World. I X ( M S T , pp. 470-473.
Van Pelt, Daniel, Leslie's History of Greater New York. New
York: Arkell Publishing Company, 1899. Pp. 415, 84.
Wilson, James Grant (editor), The Memorial History of the Oltr
of New York. New York: New York History Company, 1892-1893.
4 volumes. Volume IV, "Commercial History of the City of
New York, 1626-1806," by John Austin Stevens, pp. 498-550.
Windmuller, Louis, The Commercial Progress of Gotham. Chapter
IX, in Conant Progress of New York State. New York: The
Progress of the Empire State Company, 1913.
Reminisoences of early business in New York City.
403
General Referencea Covering Trends In Business Life In General;
Also Studies of Educational Implications of These Changes.
Adams, Thomas, Population. Values and Government! Studies of
the Growth and Pi atrlbu tion of Population and Land Values;
and of Problems of Government. New York: Regional Flan of
New York ana Environs, 1&S&. Volume II.
Barnhart, Earl W., "Trends In Commercial Eduoatlon," Chapter
I In Objectives and Problems of Vocational Education, edited
by E.A.Lee. New York; McGraw-Hill Book Company, Inc., 1928,
pp. 95-128.
Commerce Yearbook. 1930, Washington, B.C.: United States Depart­
ment of Commerce, 1930.
Major faotors In advancing Industrial efficiency.
Cunllffe, R.B., Vocational Guidance That Functions. Vocational
Guidance Magazine. XI, (January 1933), pp. 160-166.
Discussion of rapid changes taking place in the nature
of occupations and Jobs.
Eckert, Ruth E., and Marshall, Thomas 0., When Youth Leave
School. New York: MoGraw-Hill Book Company, Inc., 1938.
Pp. xvll, 360.
One of the reports of the New York State Regents' Inquiry
into the cost and character of education in this state.
Failor, C.W., Occupational Maladjustment. Vocational Quldanoe
Magazine. XI (February 1933), pp. 209-211.
Compares proportions of high school boys and girls who
plan to enter given occupations with the proportion eaoh
oooupatlon Is of aotual working population.
Federal Board for Vocational Eduoat ion, Sixteenth Annual Report
to Congress. Washington, D.C.: Government Printing Office,
1932. Pp. 177.
Discusses maladjustment between occupational distribution
and numbers in training.
Goodrich, Carter L., and others, Migration and Eoonomlo Oppor­
tunity. Philadelphia; University of Pennsylvania Press,
193(5. Pp. xvli,763.
An Important recent study of factors influencing the lo­
cation of Industries and businesses In the United States.
Haig, Robert Murray and MoCrea, Roswell C., Major Economic Fac­
tors In Metropolitan Growth. New York; Regional Plan of New
York and Environs, 1927. Volume la.
A study of trends and tendencies In the eoonomlo activi­
ties within the New York region.
Handbook of Labor Statistics. 1924-1926. Washington, D.C.:
United States Bureau of Labor Statistics Bulletin No. 489,
1927. Pp. xl, 828.
Seotlon on souroes and character of existing employment
statistics, pp. 125-155. Describes status of employment
statistics in 1926.
Handbook of Labor Statistics. 1931 Edition* United States Bu­
reau or*Labor Statistics,Bulletin No. 541, Washington, D.C.,
Government Printing Office, 1931. Pp. x, 923.
Section on Employment Statistics, pp. 139-212. Labor
statistics compiled by the Bureau of Labor Statistics and
Interstate Commerce Commission for various states; includ­
ing New York.
404
Handbook of Labor Statistloa. 1936 Edition. United States Bu­
reau of Labor Statistics, Bulletin No. 616, Washington, D.C.:
Government Printing Office, 1936. Pp. xv, 1151.
Contains an analysis of technological changes and labor
displacements. Telephone Industry, p. 728; Telegraph In­
dustry, p. 750.
Haney, Lewis H., Business and Combination. New York: The Mac­
Millan Company, 1921. Pp. xv, 523.
An analysis of the evolution and nature of business or­
ganization In the United States.
Hurd, Richard M., Principles of City Land Values. New York:
The Reoord and Guide, 1924. Pp. viii, 159.
Johnson, Emory R. (and others), The History of Domestic and
Foreign Commeroe of the United States. Whahington, D.C.:
Carnegie Institute of Washington, 1915. 2 volumes.
Johnston, J.B., Education Geared to a Changing World. School
and Society. XXXVIII (August 12, 1933), pp. 193-220.
King, Willford I ., The National Income and Its Purchasing Power.
New York: National Bureau of Economic Research, Inc., 19307”
Pp. 394.
Although primarily oonoemed with Income, also estimates
the number of workers, Including salaried employees, by
industries. Of value for method of proportioning work­
ing population among different Industries.
Kuznets, Simon, (National Bureau of Eoonomlc Research), National
Inoome. 1929-32. Washington, D.C.: Government Printing Of­
fice, 1934.
Useful for its method of estimating employment figures
for distribution for years prior to 1930.
Kuznets, Simon, National Inoome and Capital Formation. 1919195o. New York: National Bureau of Eoonomlo Research, Inc.,
1937. Pp. x, 86.
Contains a revision of previous estimates.
Lefflngwell, W.H., Business Eduoatlon In a Changing Social and
Economic Order. Eastern Commercial Teachers Association,
Seventh Yearbook. 1934, Chapter V, pp. 55-57.
Lewis, H.M., and others, Land Values. Distribution Within New
York Region and Relation to Verio us Factors on Urban Growth.
(Engineering Series No. 3)7 New York: Regional Plan of New
York and Environs, 1927).
See study by Thomas Adams.
Lomax, Paul S., Commercial Vocational Education. Journal of
Educational Sociology. March 1934, pp. 442-447.
Lyon, Leverett S., Education for Business. Chicago: University
of Chicago Press, 1931. Pp. xvi, 586.
Contains summary of several business occupational surveys.
Mailer, Julius B., School and the C[onunuilt£. New York: The
McGraw-Hill Book doiqpany, Ino., 1938. Pp. xlli, 360.
A study of the relation of the school to the social and
eoonomlc backgrounds of the community. One of the re­
ports of the New York State Regents' inquiry into the
cost and oharaoter of education In this state.
406
i
Marshall, Leon C., Industrial Society. Chicago: The Univer­
sity of Chicago Press, 1929-1930. 3 volutaes.
Contains many exoellent quotations and examples of con­
centration and specialization in industry.
Mills, Frederick C., Eoonomlc Tendencies in the United States.
New York: J.J. Little and Ives Company, 193&.
A publication of the National Bureau of Economic Research,
Inc. in oooperatlon with the committee on Recent Economic
Changes. Shows increase in productivity of workers.
Very little about salaried or business workers.
Moodv1a Manual of Railroads. Industrial and Corporation Securi­
ties. PubllsSed annually since 1900. New York: Moody*s
Manuals of Investment.
An important primary source of data on various industrial
and business enterprises.
New York University, Survey of the New York Market. Compiled
by the Bureau of Business' Researon for various newspapers.
New York: New York University, 1923.
Gives number of hotels; firms in office buildings; banks
and trust companies; manufacturing establishments; amuse­
ments and theaters, by districts in Manhattan, 1923.
Norton, Thomas L., Education for Work. New York: McG-raw-Hill
Book Company, 1938. Pp. xvili7 S§3.
One of the reports of the New York State Regents' inquiry
into the cost and oharaoter of education in this state.
Nourse and Associates, America's Oapaclty to Produce. Washing­
ton, D.C.: Institute of Eoonomlcs of the Brookings Institu­
tion, Publication No. 55, 1934. Pp. xill, 608.
Chapter XVII, "Merchandising,” contains estimates of num­
ber of persons ten years of age and over occupied in mer­
cantile pursuits, 1910, 1920 and 1930.'. Uses occupation
figures for 1910 and 1920. See also Chapter XVIII,
"Money and Credit."
Ohio State University, Bureau of Business Research. Industrial
and
Ohio. Part 4, 1928.
A study of Ohio similar to this. Conclusions are inter­
esting for comparison with New York City.
Penoe, Edith E., Some Economic Trends and Business Education.
National Business Education. Quarterly. IV (May 1936),
pp. 8-13.
Poor's Handbook of Investment Securities. Published annually
since 18^6. New York: Poor's Publishing Company.
Similar to Moody' a Manuals. See above.
President's Advisory Committee on Education, Report of the Com­
mittee. 1938. Washington, D.O.: Government Printing Office,
1938.
Includes a discussion of the need for oeoupatlonal infor­
mation for the purpose of making the vooatlonal-oommerolal education program more effective.
President's Conference of Unemployment. Reoent Eoonomlo Changes
in the United States. Report of the donmlttee on Recent Eoonomlc Changes. New York: McGraw-Hill Book Company, Inc.,
1929. 2 volumes.
Volume I, Chapter II, Part 1, pp. 79-95. Based chiefly
on census of manufactures data, this chapter describes
changes in industries.
406
Prosser, C.A., Vocational Advisement in a Changing Eoonomie
World. Vocational fluidance Magazine. XI (November 1932),
pp. 51-66.
Stresses rapid changes in character of occupations and
Jobs due to teohnologioal improvements.
Prosser, C.A., and others, Vocational Eduoation and Changing
Conditions. Washington, D.G.: Office of Education, Voca­
tional Education Bulletin, No. 174, 1934.
Southworth, Gertrude and Kramer, Stephen, Great Cities of the
United States. Syracuse: Iroquois Publishing Company, Inc.,
1§16. Pp. ix, 309.
A descriptive aocount and historical discussion of thir­
teen of the largest cities in the United States.
Spaulding, Francis T., Hi eh School and Life. New York: The
MoGraw-Hill Book Company, Inc., l(?38. jPp. xvii, 377.
One of the reports of the New York State Regents* inquiry
into the cost and character of eduoation in this state.
Standard Statistics Company, Statistical Bulletin and Earnings
Bulletin. Published monthly by Standard Statistics Company,
New York.
Important secondary source of statistical data on business
conditions.
Survey of Current Business. Published monthly by United States
Department of Commerce, Washington, D.C.
Gives detailed statistics on employment, some in terms of
indexes.
Thompson, Warren S., and Whelpton, P.K., Population Trends In
the United States. New York: McGraw-Hill Book Company, 1933.
415.
Of value in showing causes for growth of metropolitan
population, particularly New York City.
Tlldsley, J.L., Untangling Business Eduoation in New York City
Hlsh Schools. Journal of Business Education. Ill (January
1930), pp. 31-34.
Trend of Employment. Issued monthly by United States Bureau of
Labor Statistics, Washington, D.C.
Gives monthly statistics of employment in manufacturing
industries, fourteen non-manufacturing industries, build­
ing construction, executive civil service, and class I
steam railroads. Data are given by states and cities.
United States National Resources Committee, The Problems of a
Changing Population. Report of the Committee on Population
Problems. Washington, D.C.: Government Printing Office, 1938.
Analyzes educational policies in relation to occupational
trends (p. 213).
Vocational Survey Commission, Vocational Eduoation and Guldanoe
in New York City. (Report No. l). New York: Board of Educa­
tion, Cfity o? 'New York, 1932. IJi.90.
Weber, Adna F., The Growth of Cities in the Nineteenth Century.
Published for Columbia University by the MacMillan Company,
New York, 1899.
Chapter III, "The Growth of Conmercial Centers." Con­
tains a good analysis of the faotors.influencing the de­
velopment of commercial centers and cities.
407
Taussig, F.W., The Tariff History of the United States. G.P.
Putnam's Sons, 1 9 1 4 . Pp. xi, 465. [New edition, 1931,
Pp. xli, 536).
New York City Business and General Directories
The directories listed here are available In the New York
Public Library, local history division. In addition, all edi­
tions of the directories published by H.L. Folk and Company or
its predecessors (indicated with an *), are available in the
New York offioe of that company.
Early General Directories. 1786-1842
* Franks, David, The New York Directory. New York: Shepard
Kollook, 1786."' (Republished by J. Doggett, Jr., New York,
1851, and by Trow City Directory Company, New York, 1886).
* New York Dlreotory and Register. New York: Hodge, Allen And
Campbell, 1789-91.
* Duncan, William, The New York Directory and Register. New
York: T. and J. Swords, 1792-95.
Citizens' (The) Directory and Strangers' Guide Through the City
of New York. New York: George Lang, 1814.
* Longworth'g American Almanac. New York Register and City Dl­
reotory. New York: David Longworth, 1796-1817, Thomas
Longworth, 1818-1842.
Low, John, The New York Dlreotory and Register. New York: John
Buel, 17957
Meroein's City Dlreotory. New York Register and Almanac. New
York:
Meroein, 1820.
(J
Classified Business Directories
Jone'8 New York Mercantile and General Dlreotory. New York:
J.F. Jones, 1866
Disturnell, J., New York as It Is. 1837 (Including classified
directory of New York and Brooklyn) • New York: J. Disturnell,
1837.
* Doggett's The N»w Yr>rk Business Directory. New York: J.
Doggett, Jr., 1841-46.
Morehead, T., The New York Mercantile Register. New York:
George F. Nesbitt, 1847.
Aikin, Arminlus, The Merchant's Business Directory and Stranger's
Guide. New York: C.G. Dean, 1848. Pp. xi, 151.
American. (The) Advertiser. New York: J.P. Prall, 1849 (also
185TT.
Rode's New York City Business Directory. New York: C.R. Rode,
1850.
Richards, J.P., New York (inmmarclal List. New York: W.W. Rose,
.
408
Nev York City Mercantile and Manufacturers* Business Directory.
New Yoxfc: Mason Brothers, 185?.
Wlloox (The) Wholesale Business Directory of New York City.
New York: A.0. wlloox, 187§.
Rand* s New York City Business Directory. New York: The Rand
Directory Company, 1876-1891.
Murphy's New York City Business Directory. New York: National
Directory dompany, 18&£.
Hunt's New York Business Directory, New York: The Hunt Publish­
ing Company, 189b.
New York City Business Directory. New York: Puritan Publishing
Company, 19lB£l5357
Phillips' Business Dlreotory of New York City. New Yoric: W.
Phillips and dompany, 1870-1901; ThePhillips Dlreotory Com­
pany, 1902-05; William Hartz, 1906; John P. Dwyer, 1910-13;
John P. White, 1914-1929; The Phillips' Business Directory,
1930-1933; Phillips ana C om pany, 1933-37; Phillips Direc­
tories, Inc., 1938. (The following issues are available in
the New York Public Library: 1879-80, 1887-88, 1890-91,
1893-1905, 1906-07, 1910-13, 1924-38).
* Wilson's Business Dlreotory of New Yr>rk City. New York:
John P. Trow, 1850-1871; Trow City Directory Company, 18721885.
• Trow City Directory Company's (Formerly Wilson's) Business
Dlreotory of New York City. New York: Trow Dlreotory,
Printing and Bookbinding Company, 1885-1897.
♦ Trow's Business Dlreotory of Greater New York (By Boroughs).
New York: Trow Dlreotory, Printing and Bookbinding Conqoany,
1898-1914.
* R.L. Polk and Company's, Trow New York City Classified Busi­
ness Dlreotory. (Manhattan and Bronx). New York: R.L.
Folk and Company, 1914-1933/34.
Manufacturing
American Manufactures, Hunt* s Merchants* Magazine. V (August
1841), p. 124.
Bishop, James L. , A History of American Manufactures from 1608
to 1860. (With appendix containing statistics of the prin­
cipal manufacturing centers). Philadelphia: E. Young and
Cong>any, 1866.
Clark, Victor Selden, History of Manufactures In the United
States. 1607-1860. Washington, D.C.: darnegle Institute of
tfashlngt6TT7"1916-1928. 1929 edition, continuing study to
1914, published for the Carnegie Institute of Washington by
McGraw-Hill Book Company, Ino., New York.
Federal Reserve Bulletin. Published monthly by Federal Reserve
Board, Washington, D.C.
Regularly contains statistics on factory employment and
payrolls (by industries).
409
!
Hathaway, H.X., On the Technique of Manufacturing, The Amer­
ican Academy of Political and Social Science, Annals. LXXXV,
(November 1919), p* 174; (September 1919), pp. 230-234.
Describes the office and clerical work of manufacturing.
Industrial Bulletin. Published monthly by the New York State
Department of Labor, Albany, N.Y. Superceded the Labor
Market Bulletin, October, 1924.
In October of each year, a special study is made of the
earnings of office employees employed in New York State
factories. Shows number of office employees in New York
establishments and changes from preceding year. Reported
annually in the October or November issue of the Indus­
trial Bulletin.
Kelr, Malcolm, Some Economic Facts in the Development of Manu­
facturing in the United States. Education.XXXVIII (March
1918), pp. 493-503.
. The Localization of Industry. Scientific Monthly.
VlII (191§), pp. 32-48.
Analysis of the factors Influencing the looatlon of in­
dustries.
Murphy, Charles E., Report on Industrial Survey of New York City.
New York: Offloe of the Comptroller of the c1ty o f N e w York,
December 30, 1936.
New York State, Department of Labor, Annual Report. 1903-1904.
Albany: New York State, Department of Labor, 1904, Report of
Bureau of Factory Inspectors, Volume I, pp. Ill, 44-111, 45.
This and the following industrial directories contain a re­
port on the number of office and faotory workers In New
York City.
■
Department of Labor, Statistics and Information
division. Annual Industrial Directory of New York State.
1912-1913. Albany: New York State, Department of Labor,
1913.
. Department of Labor, Statistics and Information
Division, Annual Industrial Directory of New York State.
1913-1915. Albany: New York State, Department of Labor,
1915.
■
Department of Labor, Directory of New York State
Manufacturers. 1932, Volume II, Metropolitan area. Albany:
New York State, Department of Labor, 1932.
Dlreotory of New York State Manufacturers.
1937. New York: Journal of Commerce, 1937.
New York State Cens us
New York State, Secretary of State, Census of the State of New
York for 1835. Albany: Printed by Croswell, Van Benthuysen
and Burt, 1836. 56 tables.
Contains data on manufactures.
A
410
. Census of the State of New York for 1845.
Albany: Carroll and Cook, printers to the Legislature, 1846.
Pp. 571,
Contains data on manufactures, business and occupations*
. Census of the State of New York for 1851.
Albany: Printed by Charles van BentSuysen, 18^7. Pp. lxvi,
525.
Contains data on manufactures, business and occupations.
. Census of the State of New York for 1865.
Albany: Printed by Charles van Benthuysen and Sons, 1867.
Pp. oxxvi, 743.
n
» SSSSU S of thg .gt.ate of New York for 1875*.
Albany: Weeds, Parsons and Company, Printers, 1 8 7 7 . Pp.
xxxiv, 465.
Contains data on manufactures and occupations.
North, S.N.D., Manufactures in the Federal Census, Amerioan Eco­
nomic Association Publications. Series 2 (1897-99).
United States Census of Manufactures
Issued under the jurisdiction of various departments, de­
cennially from 1820 to 1899 (with the exception of 1830), quinquennially from 1904 to 1919 and biennially from 1921 to 1937.
At the decennial censuses beginning with 1850, the census of
manufactures covered the manufacturing activities of the pre­
ceding year.
United States Census Office, Fourth Census (1820), Digest of
Accounts of Manufacturing Establishments In the United
States. Washington, D.C.: Gales and Seaton, printers, 1823.
Pp. 64 leaves.
. Sixth Census (1840), Compendium of the Enum­
eration of the Inhabitants and Statistics of the United
States. Washington, D.C.: T. Allen, printer, 1841. Pp. 379.
. Seventh Census (1850), Statistical View of
the United States: Compendium. Washington, D.C.: A.O.P.
Nicholson, public printer, 1854. Pp. 400.
. Eighth Census (i860), Manufactures of the
United States In 1860. Washington, D.d.:" Government Print­
ing Office, 1865. Pp. ooxvii, 746.
Ninth Census (1870), Volume III, The Statistics
of Wealth and Industry. Washington D.C.: Government Print­
ing Offic6^ 1872. Pp. v, 843.
Tenth Census (1880), Report on the Manufactures
of the United States. Statistics of the Manufactures of
Cities.Washington, D.d.: Government Printing Office, 1882.
Pp. 32.
_______________ .Eleventh Census (1890), Report of the Manufac­
turing Industries of the United States at the Eleventh Cen­
sus. 1890. Volume I, Totals for States and Industries; Volume
II, Statistics for Cities. Washington, D.C.: Government
Printing Offloe, 1893.
411
. Twelfth Census (1900), Volume VIII, Manufac­
tures. Part 2. Washington. P.O.: Government Printing Office,
United States Bureau of the Census, Census of Manufactures.
1904*
United States Bureau of the Census, Census of Manufactures.
1904, Washington, D.C.: Government Printing Office, 1906,
. Thirteenth Census (1910), Volume VIII, Manu­
factures. Report and Analysis: Volume IX, Report by States
With Statistics of Principal Cities. Washington, B.C.:
Government Printing Office, 1913.
. Census of Manufactures. 1914. Washington,
D.O.: Government Printing Office. 1$16*
Fourteenth Census (1920), Volume VIII, General
Report and Analytical Tables: Volume IX, Reports for States
With Statistics for Principal Cities. Washington, D.C.:
Government Printing Offloe, 1923.
. Census of Manufactures. 1921, 1923, 1925, and
1937• Washington, D.C.: Government Printing Office*
. Fifteenth Census (1930), Manufactures. Volume
I, General Report; Volume III, Manufactures, fteoorts by
States. Washington, D.C.: Government Printing Office, 1933.
•
Biennial Census of Manufactures. 1931, 1933,
and 1935. Washington, D.d.:' Government Printing Offloe.
Census of Manufactures. 1935, Personnel Other
Than Wage Earners. Washington, D.C.: Government Printing
Office, 193^.
Wholesale Trade
Chamber of Commerce of the United States, Volume of Business
Performed in New York City, 1923, in Populations Purphasing
Power. Washington, D.C.: Chamber of dommerce of the United
States, 1925.
Chamber of Commerce of the United States, Domestic Distribution
Department, Retail and Wholesale Trade of Eleven Cities
(1926). Washington, D.d.: Claam'ber of Conmerce of the United
States, 1928.
Does not Include New York City data*
Converse, Paul D., Elements of Marketing. New York: Prentice
Hall, Inc., 1935. Pp. 892.
Dry Goods Economist, Fiftieth Anniversary. 1840-1896. Jubilee
Number. New York: Textile Publishing Company, 1896. pw
102
Describes development of various textile industries in
the United States and elsewhere. "The distribution of
textiles in the early part of the last half century.”
*.*102.
Filipettl, George, The Wholesale Markets, (originally Monograph
Number 11, Economic Series)• New York: Regional Plan of
New York and Environs, 1925.
.
412
Industrial Bulletin. Published monthly by the New York State
Department of Labor, Albany, N.Y.
"Employment In Trade." Changes in employment and pay­
rolls in wholesale and retail trade for New York State
and New York City have been reported monthly since Octo­
ber 1932. The tables are based upon reports from a
selected list of mercantile establishments and show the
per oent of change in the total number of employees from
one month to the next.
New Yo**h Tribune, The Finance and Commerce of New York, and the
United States. New ifork: New York Tribune, 1902.
Sohleffelln, w.H., and Company, One Hundred Years of Business
Life. 1794-1894. New York: WVif. ScETeffelin and Company,
1§§4. Pp. 50.
United States Bureau of the Census, Fifteenth Census of the
United States (1930), Census of Distribution, fflaolesale Dis­
tribution. State Series, New York. Washington, D.C.: Government Printing Offloe, 1933. Pp. 124.
. Census of American Business; 1933, Wholesale
Distribution. Washington, D.d.: United States Bureau of
the Census, Volume I, Summary of the United States, May,
1935. Pp. 78.
Contains detailed statistics for the United States, to­
gether with brief summaries by States, cities and coun­
ties. It also contains a brief description of the whole­
sale census, explanations of terms, classifications and
tables, and an analysis of wholesale trade for 1933 as
oompared with 1929.
Volume III, Middle Atlantic States (May 1935). Pp. 152.
Contains detailed statistics for New York City.
. Census of Business; 1935, Wholesale Distri­
bution. Washington, D.C.; United States Bureau of the
Census, 1936.
Volume I, United States Summary. May, 1937. Pp. xil, 136.
A national summary and analysis of all phases of whole­
sale distribution in 1935. Scope of the wholesale oensus is defined; the data for 1935 are analyzed; terms,
classifications and tables are explained.
Volume II, States and 26 Selected Cities. January, 1937.
Pp. xxviil, 218.
Presents number of establishments, net sales, expenses,
personnel, pay roll and stocks for each state and for
each of 25 selected wholesale trade centers. The data
are analyzed by types of operation and by kinds of busi­
ness.
Volume V, Employment and Pay Roll. March, 1937. Pp. 117.
Monthly employment data by kinds of business. Analysis
of employment and pay roll by occupational groups (ex­
ecutive, office and clerical, selling, eto.) for a rep­
resentative week of 1935.
413
Census Survey of Business; 1937-38, Washington, B.C.: United States Census Bureau, Wholesale Distribu­
tion, December, 1938. Pp. 149.
United States Summary, 29 States and 13 Large Cities.
Presents sales, pay roll and Inventory date for sample
number of wholesale establishments. No data on employ­
ees. Furnishes a comparison between 1935, 1936, 1937,
and first half of 1938.
Retail Trade
Davenport, D.H., and others, Retail Shopping and Financial Dis­
tricts In New York and Its Environs (Economic Series, No.
10), New York: New York Regional Plan of New York and Its
Environs, 1927.
A thorough study of the forces determining the location
of various types of retail shopping areas.
National Clvlo FederatIon,Working Conditions In New York Stores.
National Civic Federation Review. July 15, 1913.
A study of employment in 19 department stores In New York
City, January, 1911 to January, 1912, made in coopera­
tion with the Retail Dry Goods Association.
National Retail Dry Goods Association, Twenty-Five Years of
Retailing. 1911-1936. New York: National Retail Dry Goods
Associations, 1936. Pp. 276.
Dealing with the major developments of retailing during
the past quarter of a century.
New York State Faotory Investigation Commission, Fourth Report.
1915. Albany: New York State, Department of Labor, 1915.
Volume II, "Mercantile Establishments," pp. 51-174.
A study of employment In department stores, neighborhood
shops, and five and ten cent stores In New York and other
cities of the State.
New York State, Labor Department, Employment of Women In Five
and Ten Cent Stores. Special Bulletin, Number 109, Septem­
ber ,“T § 21.
See study by Elizabeth Pidgeon below.
Nystrom, Paul H., Retail Store Operation. New York: Ronald
Press Company, 1937. Pp. xvii, 792.
Contains a discussion of the history of retailing.
(Previous editions have title: Economics of Retailing).
Pidgeon, Mary Elizabeth, Women In Five and Ten Cent Stores.
Washington, D.C.: Government Printing Office, 1930.
United States Bureau of the Census, Fifteenth Census of the
United States (1930), Census of Distribution. Retail Distri­
bution . Retail Distribution. State Series, New York. Wash­
ington, D.C.: Government Printing Offloe, 1933. Pp. 265.
. Census of American Business: 1933. Retail
Distribution. Washington, D.C.: United States Bureau of
the Census.
Volume I, United States Summary.
Contains a general description of the Retail Census for
1933, definitions of terms and classifications, and
United States summaries, by kinds of business and states.
/
414
Volume II, General Statistics, by States and 13 largest
cities, by ELnds of business. Pp. vi, 209. May, 1935.
. Census of Business: 1935. Retail Distribu­
tion. June, 1937. Pp. 1-46, 2-45, 3-29, 4-19.
volume I, United States Summary.
Contains national summaries, under various classifica­
tions of the data presented In other volumes in detail,
a general description of retail trade in 1935; compari­
sons with the previous Retail Censuses of 1933 and 1929;
definitions of terms and classifications.
Volume II, County and City Summaries. December, 1936.
Pp. 234.
Volume IV, Types of Operation. Pp. 170.
Relative Importance of independent, chain and other types
of stores In each state and oltles with population over
500,000.
Volume V, Employment and Payroll. April, 1937. Pp. 211.
Monthly employment by hinds of business and employment
and pay roll for one week by occupational classes, for
country, States.
Retail Chains (Containing sections also on Ownership groups),
and Mall Order Houses. June, 1937. Pp. 52.
Detailed employment data by occupational groups for
various types of retail chains.
. Census Survey of Business 1937-38, Retail
Survey. January. 1939. Pp. vlii, 248.
Flnanolal Institutions
Chapman, John Martin, Concentration of Banking. New York:
Columbia University Press, 1934. Pp. XV, 388.
flniMiapni ai and Flnanolal Chronical. Published weekly, 1865
to date. Continuation of Huntfs Merchants* Magazine.
Reports New York Stock Exchange transactions and other
current business data.
Conant, Charles Arthur, "Flnanolal Developments of New York."
Chapter III of Conant. The Progress of the Empire State.
Volume I. New York: The Progress of the Empire State Company, 1913, pp. 59-107.
Eames, Francis L«, The New York Stook Exohanee. New York:
T.G. Hall, 1894. Pp. 139.
Stook exohange Indebted to him for most of few records
of its early history.
Federal Home Loan Bank Board, Sixth Annual Report. for the
Period July 1, 1957-June 50. 1§38. Washington. fi.'C.:
Government Printing Office, 1939.
Traces growth of Federal Home Loan banks in the United.
States.
Hardenbrook, William Len Eyck, Flnanolal New York. New York:
Franklin Publishing Company, 1897-1898. Pp. 382.
A history of the banking and financial Institutions of
the metropolis.
415
Jenks, Jeremiah W., and Lough, William H., "The Development of
Industrial Combination." Chapter VI of Conant, The Pro­
gress of the Empire State. New York: The Progress of the
Empire State Company, 1013.
Traoes the development of leading American corporations.
Lanier, Henry Wyeham, A Century of Banking in New York 18221922. The Farmers' Loan and Titust Company Edition. New
York: The Gilliss Press, 1922. Pp. 335.
Myers, Margaret G., The New York Money Market. Volume I,
"Origins and Development 18 9 1 - 1 9 1 3 . " New York: Columbia
University Press, 1931.
New York State, Insurance Department, Annual Report of the
Superintendent. 1935, Volume I. Alhiany: New York State In­
surance Department, 1936.
New York Stock Exchange, Department of Publio Relations, Em­
ployment in New York Stock Exchange Houses (1937 and 1938),
Press release, dated J u l y 16, 1938.
New York State Banking Department, Annual Report of the Super­
intendent of Banks Relative to Savings Banks. Published
annually. Albany: New York ‘State Banking department, 18591939.
_________
Annual Report of Banks of Deposit, and Discount.
Trust Companies and Private Bankers. Published annually.
Albany: New York State Banking Department, 1850-1938.
Pratt, Sereno S., "History of the New York Stock Exchange,"
Chapter VIII in Volume II of Conant, Progress of the Empire
State. New York: The Progress of the Empire State dompany,
1913, pp. 261-309.
Roby, Ralph W., and Davenport, Donald H., Factors Influencing
the Location o f the Financial District. New York: The
Regional Plan of New York and Its Environs, 1927.
Seaboard National Bank of New York. New York City Banks and
Trust Companies. New York: Seaboard National Bank and
Trust Company, 1928.
Covers last twenty-five years.
Securities and Exchange Commission, Second Annual Report
(Fiscal Year Ended June 30, 1936)1 Washington, D.C.:
Government Printing Office, 1937.
Personnel of brokers and dealers registered in 1936
(p. 116).
Stedman, Edmund Clarence, (editor), The New York Stook Exohange:
Its History. Its Contribution to National Prosperity. New
York: Stock Exohange History Company, 1905.
The New York Stock Exchange, Banks. Bankers. Business Houses of
the Great Metropolis. New York: historical Publishing Com­
pany, 1887. Pp. 17-208.
Willis, H. Parker, "Wealth and Banking in New York State,"
Chapter IV, in History of the State of New York: Flick,
Alexander C., (editor) Volume III. Uew York: Columbia Univer­
sity Press, 1933-1937.
United States Bureau of the Census, Eleventh Census (1890).
Report on Insurance Business in the United States. Washing­
ton, D.c 7: Government Printing Office, 18d4, 189o. 2 volumes.
Does not contain employment data.
416
_______________, Census (1930), Manufacturea. Volume I, General
Report. Washlngton. D.C.: Government Printing Office, 1933.
Central Administrative Offloe employees, p. 23; also
1919, p. 44.
. Census of Manufactures. 1937. Offloers and
Employees of Central jjjdmlnlstratlve Offices. Press release,
May 10 , 1939, p. £.
Securities and Exohange Commission, Seleoted Statistics on
Securities and on Exchange Markets. Washington. P.O.:
Securities and Exchange Commission, 1939. Pp. 48, A21-A35.
Part Four contains an analysis of employees with brokers
and dealers registered with the commission (pp. A-28, A,
30).
United States Treasury Department, Comptroller of the Currency,
Annual Report. Washington, D.C.: Government Printing Of­
fice, 1873-1937.
1918, Volume I, Number of employees In national banks;
1918-1937, Amount of annual salaries paid to employees In
national banks;
1936-1937, Number of employees In national banks. The
annual reports also contain summaries of banking activi­
ties during the year, with separate figures for New York
and other Important cities.
United States Bureau of the Census, Census of Business: 1935.
Washington, D.C.: United States Bureau of the Census,
Photoprinted.
Banks. United States Summary. November 1935. Pp. viil, 28.
Contains number of establishments, employment and pay
roll by geographic divisions aid states for various types
of banks.
Financial Institutions Other Than Banks. January, 1937•
Pp. viii, l6 .
Contains employment and other statistics for seourlty
brokers and dealers, Federal and state building and loan
associations, instalment finance companies, personal fi­
nance companies and mortgage and farm mortgage companies.
Insurance. April, 1937. Pp. xviil, 41.
Contains statistics of employment and number of estab­
lishments for insurance carriers, branch offices and
agents. Also contains detailed employment figures for
occupational groups in eaoh type of insurance establish­
ment for given week In October, 1935. An analysis of
data is also given In the Introduction.
Real Estate Agencies. May, 1937. Pp. viii, 39.
Contains employment data for various occupational groups
for real estate agencies and brokerage offices and insur­
ance and real estate offioes, for states.
Public Utilities
Dial Telephone and Unemployment.
(1932), pp. 235-247.
Monthly Labor Review. XXXIV
417
Displacement of Horse Operators In Commercial Telegraph Offloes. Monthly Labor Review. XXXIV (1932), pp. 501-515.
Federal Communications Commission. Annual Report. 1936 and
1937. Washington, D.C.: Government Printing 6fflce, 1937
and 1938.
These reports contain data on employment in telephone
and telegraph companies by occupational groups.
Interstate Commeroe Commission, Statistics of RAiiwaya in the
United States. Washington, D.d.: Government Printing Of­
fice. Published annually.
Lewis, Harold M., Translt and Transportation: a Study of Port
and Industrial Areas and Their Relation to Transportation.
Engineering Series No. 2. New ^ork: Regional Plan of New
York and Environs, 1926.
Moody, John, The RaijLranfl Builders. New Haven: Yale University
Press, 1919.
Gives Important facts about the history of railroad con­
solidation.
Myers, Gustavlus, History of Public Franchises in New York City.
Municipal Affairs. IV, pp. 71-207.
Survey of the history of public utilities in New York
City.
New York State, Report of the Pnbllo Service Commission for the
First District of the State of New YorklT' New York: Public
Service Commission for the First District of the State of
New York. Issued annually, 1907 to 1920.
Contains statistics of employment; 1910, Volume IV,
Statistics of Gas and Electric Companies (pp. 297-8);
1912. Volume III, Statistics of Gas and Electric Compan­
ies (p. 342); 1917, Volume III, Statistics of Gas and
Electric Companies, New York City (p. 324).
New York State, Public Servioe Commission. Annual Report.
Albany: Public Service Commission for the State of New York.
Published annually, 1920 to 1936.
Volume II of each annual report contains statistics of
employment for lighting corporations in New York City.
New York State, Factory Investigating Commission. Fourth Re­
port. 1915, Volume II. "Wages paid by the New York Tele­
phone Company to various classes of operatives in different
oltles of New York State," Albany: New York 3tate, Depart­
ment of Labor, 1915.
Data furnished by the New York Telephone Company includes
organization of force.
. Department of Labor. Special Bulletin. No.
150, prepared by the Bureau of Women in Industry. Albany:
New York State Department of Labor, July, 1990.
Comprehensive report on telephone operators.
. Transit Commission. Seventeenth Annual Report
for Calendar Year. 1937. Albany: State of New York, Depart­
ment of Publio Servioe, Metropolitan Division, 1937.
Table 8 (p. 217) contains a summary of the number of of­
ficers and employees of New York City transit companies
by chief occupational groups, from 1908 to 1937. This
418
report also contains summaries of the growth of trans­
portation In New York City slnoe 1860.
New York Telephone Company, Annual Reports to the New York
State Fubllo Service Commission. Not published, but on
file with the New York State Public Servioe Commission,
80 Centre Street, New York.
Contains an analysis of employment In the New York Tele­
phone Company by occupations (1925 to date).
United States Bureau of Labor, Investigation of Telephone Com­
panies . (Senate Document No. 380, February, 1910). Washing­
ton, D.C.: United States Government Printing Office, 1910.
Includes data on number of employees and occupational
distribution.
United States Bureau of the Census, Eleventh Census (1890),
Report on Transportation Business In the United States,
volume I, Transportation dt Land." Washington, D.C.: Govern­
ment Printing Offloe, 1894. Pp. viii, 867.
. Census of Electrical Industries. Washington,
D.C.: Government Printing Office.
Street and Electric Railways. 1902, 1907, 1912, 1917, 1922.
flaUways and Affiliated Motor BusLlnes 1927, 1932.
Central Electric Light and Power Station. 1902, 1907, 1912,
1917, 1922, 1927, 1932.
Telephones and Telegraphs. 1902, 1907, 1912, 1932.
Telephones. 1917, 1922, 1927.
Telegraphs. 1917, 1922, 1927.
Wilson, K.A., The Telephone Problem in the World's Largest
Metropolitan Area. Bell Telephone Quarterly. Ootober, 1934.
Servioe Businesses, etc.
Civil Servioe Assembly of the United States and Canada, Civil
Servioe Agencies In the United States (a 1937 census),
dhleago: Civil Service Assembly of the United States and
Canada, 1938.
Furnishes the number of Federal, State and local govern­
ment employees In the United States, 1929-1936.
Committee of Inquiry on Public Service Personnel, Report on
Better Government Personnel. (Report of the Committee appointed
by President Roosevelt). New York: The McGraw-Hill Book Com­
pany, Inc., 1935.
Industrial Bulletin. Published monthly by New York State, Department of Labor, "Employment in Hotels."
Trend of enqployment in selected hotels in New York State
and New York City reported monthly, since January, 1934.
Separate figures given for office employees.
New York, City of, Municipal Civil Servioe Commission, Annual
Report.
Reports annually, the number of total employees in the
city oivll service with separate figures for labor and
non-labor employees.
United States Department of Commerce, Bureau of the Census,
1
419
Fifteenth Census of the United States (1930), Hotels. 1929.
Washington, B.C.: Government Printing Offloe.
Census of American Business; 1933, Services. Amusements and
Hotels. Washington, D.C.:United States Bureau of the Cen­
sus.
Volume I, United States Summary, by kinds of business and by
states. May, 193o. Pp. xxviii, 50.
Volume III, Statistics for Counties and Cities. May, 1935.
Pp. lv, 185.
Volume IV, Hotels: 1933 and 1929, (Compare 1933 and 1929
census data for hotels).
Census of Business: 1935. Washington, B.C.: United States
Bureau of the Census Lithographed.
Hotels (April, 1937). Pp. xii, 46.
Places of Amusement (April, 1937). Pp. xiv, 42.
Service Establishments. Volume I, United States Summary.
Volume II, Statistics for States. Counties and Cities (March,
1937). Pp. xxii, 269.
Volume III, Monthly Employment (Includes data for large cit­
ies). (March, 1937).. Pp. xxx, 101.
Advertising Agencies (March, 1937). Pp. 10.
Radio Broadcasting (October. 1936). Pp. vii, 75.
Construction Industry. Volume II, Employment by months, and
by occupational groups by States and cities, and kind of bus­
iness. (February, 1937). Pp. xxx, 164.
Fifteenth Census of the United States. (1950). Construotldn
Industry. Washington, B.C.: Superintendent of Boouments,
United States Government Printing Offloe, 1933. Pp. viii,
1362.
Occupations
Ayers, Leonard P., Constant and Variable Occupations and Their
Bearing on Problems of Vocational Education. New York:
Russell Sage Foundation, 1914. Pp. ll. (Reproduced in
Bloomfield, Meyers, Readings In Vocational Guidance. Boston:
Ginn and Company, 19lfc, p p . 141-149).
Analyzes 1910 occupation census data for cities into
categories of constant, less constant or variable.
Barnhart, E.W., Senior
Occupations Survey. Federal
Board of Vooational Education, Miscellaneous Number 405.
Washington, B.C.: Government Printing Offloe.
Beatty, John B., and Grau, Herbert, Our Changing Occupations.
Pittsburgh: Pittsburgh Personal Association, 1933. Pp. 26.
Besorlbes changing occupational distribution 1910 to
1930 in the United States, Pennsylvania, and Pittsburgh.
Breckinridge, Sophonisba P., Women In the Twentieth Century:
Their Political. Social. and Economic Activities. Recent
Social Trends, Monograph. New York: The McGraw-Hill Book
Company, Inc., 1933. Pp. xi, 364.
Clark, Harold F., Economlo Theory and Correct Occupational Blstrlbutlon. New York: Bureau of Publications, Teachers' Col­
lege, Columbia University, 1931. Pp. 176.
420
Coleman, P.E., Supply and Demand In Business Occupations.
Journal Business Education. VIII (November, 1932), pp. 17-19.
Coyle, Grace, L., Present Trends In Clerical Occupations. New
York: The Women's Press, 1§28. Pp. 44.
Dempsey, Mary V., The OoounfltlomLi Progress of Women. 1910 to
1930. Washington, D.C.: United States Department of "Labor,
Bulletin of Women's Bureau, Number 109, 1933. Pp. 86.
Shows changes in the occupational distribution of working
women, 1910 to 1930. Brings up to date earlier publica­
tion of the same title.
Edwards, Alba, The White Collar Worker. Monthly Labor Review.
Maroh, 1934. Employment Trends. (See below).
Erickson, Ethel, The Employment of Women in 0-rfloes. Washington;
D.C.: Government Printing Office, 1&254.
Hansen, Alvin H., Industrial Class Alignments in the United
States. American Statistical Association, Quarterly Publica­
tion. XVII (1920), pp. 417-425.
Reclassifies occupation statistics into various socio-eco­
nomic groups and shows changes from 1870-1910.
Industrial Classes in the United States in
1920'. American Statistical Association, Journal. 1922,
XVIII (1922), pp. 503-506.
Extends to 1920 his previous analysis of the relative
numerical importance of "industrial classes."
Hill, Joseph A., Women in Gainful Occupations. 1870-1920. Wash­
ington, D.C.: Bureau of the Census, Census Monographs, Novem­
ber 9, 1929. Pp. 416#
Hunt, William C., The Federal Census of Occupations, American
Statistical Association, Quarterly Publication. XI (1909),
pp. 467-485.
Describes scope and defects of various census of occupa­
tions.
Hurlin, Ralph G., Some Occupational Changes from 1870 to 1930.
Personnel Journal. XI (February, 1933), pp. 280-288.
Jones, M.Z., Trends of Occupations in the Population, Monthly
Labor Review. XX (1925), pp. 970-978.
Table gives number per million of total population in
about sixty occupations or occupational groups for eaoh
census year, 1850-1920.
Kimball, Bradford Fisher, Changes in the Occupational Pattern
of New York State. Albany: The University of the State of
NewTork, 19&7. Pp. 190.
Kltsen, H.D., Distribution of Workers Among the Occupations.
Teachers1 College Record. XXXIV (May, 1933), pp. 459-67.
Laidler, Harry W., Lightning Changes in Vocations. Iron Age.
January 2, 1930, pp. 68-9.
Describes rapid shifts out of manufacturing industries
to merchandising and servioe occupations or to unemploy­
ment.
Mann, Lawrence B., Occupational Shifts Since 1920. American
Statistical Association, Journal. March, 1929. Supplement,
being the papers and Proceedings of the 19th Annual Meeting
421
of 1ili8 A*8«A*
Of interest chiefly for its methods of arriving at es­
timates of numbers occupied in various oooupational
groups in the lnteroensal year 1927. Figures for 1920
are based on census of occupations.
New York State. Secretary of State, Census of the State of New
York for 1845, 1855, 1865 and 1875. (See pages 409 and 410).
New York Sun. Summary of the Sun* s Employment Survey. Issue
September 5, 1936, p. 2.
Compares employment in various industrial, and business
groups in 1929 and 1935.
Occupational Changes Since 1850, Monthly Labor Revlew. XXXVII
(November, 1933), pp. 1017-1027.
Continues to 1930, study of M.Z. Jones made in 1925.
Occupations in New York. New York: Adjustment Servioe, 1933.
Pp. 106.
A manual describing employment trends in about fifty
important occupations. Tentative forecasts of future
conditions are inoluded.
Occupations of the Population. Conference Board Bulletin. May
25, 1930. No. 41.
Describes shifts in six major occupational groups from
1820 to 1929.
Ogburn, W.F., and Tibltts, Clark, Occupations. American Jour­
nal Sociology. XXXIV (1929), pp. 1169-80.
Not statistical, but a general exposition of sociological
causes of oooupational shifts.
OJemann, R.H., The Constant and Variable Occupations of tfre
United States in 19&0. University of Illinois, Bulletin
No. 3o of Bureau of Research, 1927.
Purpose: to bring Leonard Ayers 1 1914 study up to date,
using 1920 Census figures..
President's Research Committee on Social Trends. Recent Soolal
Trends in the United States. New York: McGraw-Hill Book
Company, Inc., 1933. 2 volumes. Pp. 1568.
See particularly: Chapter VI, "Shifting Occupational
Patterns," by Ralph G. Hurl in and Meredith B. Givens;
Chapter XIV, "Activities of Women Outside the Home,"
by S.P. Breckinridge; Chapter XIV, "Labor Groups and the
Soolal Structure," by Leo Wolman and Gustav Peok.
Rosengarten, William, The Size and Trends of Occupations in the
United States.' New York: Unpublished M,A. Thesis, New York
University, 1931.
"A study and graphio presentation of the size and trends
of occupations from 1880 to 1930 and a consideration of
their significance for eduoation."
Slocumbe, C.S., Occupational Distribution. Past and Future.
Personnel Journal. XII (December, 1933), pp. 198-203.
Smith, Richmond Mayo, Statistics of Occupations in the United
States (Census). American Economics Association Publication,
n.s. No. 2, 1899, pp. 78-107.
A critical analysis of occupational census data.
422
Sutherland, Stella H., Population Distribution In Colonial
America. New York: Columbia University Press, 1936.
Furnishes some analysis of early New York occupations
from the muster rolls of the New York Provincial Troops,
1755-1764.
Ten Years' Change in Occupational Distribution. Personnel Ser­
vice Bulletin. September, 1932.
Data are given for New York City and for the oountry
as a whole.
Tonne, H.A., Changes in Business Occupations, Journal of Busi­
ness Education. VIII (January, 1933), p. 10.
_______________ , Trends in Business Occupations, National Busi­
ness Education Quarterly. IV (May, 1936).
Several articles covering various aspects of this
subject. Of these, only the following, and the con­
tribution by Edith E. Pence are particularly significant.
. Our Changing Business Life, National Business
Education Quarterly . IV (May, 1936), pp. 1-7.
An exoellent statement of the problem and the educa­
tional Implications involved.
. Trends in Business Occupations, Journal of
Business Education. X (October, 1933), pp. IQ-20; (November,
1933), pp. 17-18; (December, 1933), p. 12.
United States Bureau of the Census, Census of Business: 1935.
Personnel and Pay Roll In Industry ana Business, and Farm
Personnel, by Counties. Washington, D.C.: Bureau of the
Census, June, 1937. Pp. xi, 161.
A summary of employment data by oounties oontained In
the various reports of the 1935 Census of Business,
Manufactures, and Agriculture. The state and United
States summaries, pages 1 to 9, give these data in
much greater detail. The county figures, however,
are limited to such general groups as manufacturing,
retail, wholesale, financial Institutions, mines and
quarries, construction, hotels and miscellaneous.
United States Census Reports on Occupations
Issued in connection with the deoennial census of the
United States from 1820 to 1930 (with the exception of 1830).
United States Census Office, Fourth Census. Census for 1820.
Washington, D.C.: Gales and Seaton, 1821. 80 leaves.
_______________, Sixth Census (1840), or Enumeration of the
Inhabitants of the United States in 1840. Washington, D.C.:
Blair and Rives, 1841. Pp. 4^6.
. .
The Seventh Census of the United States (1850).
Washington, D.C.: R. Armstrong, public printer, 1853. Pp.
oxxxvi, 1022.
. Eighth Census (1860). Population of the Unit­
ed States in 1860. Washington, D.C.: Government Printing
Office, 18*55. Pp. ooxvii, 746.
423
. Ninth Census (1870), Volume I, Statistics of
Population. Washington, D.C.J Government Printing Office,
1872. Pp. 391.
. Tenth Census (1880), Volume I, Statistics of
Population. Washington, D.C.: Government Printing Office,
1883.
. Eleventh Census (1890), Special Census Report
on the Occupations of tne Population of the United States.
A s h i n g ton, D.C.: Government Printing Office, 1896. 3Pp.
127; also Report £& Population of the United States.
Volume II, 1897. Pp. cixxv, 824, vii, 141.
. Twelfth Census (1900), Special Reports. Occu­
pations at the Twelfth Census. Washington, D.C.': Government Printing Office, 19041 pp. ooixvi, 763.
United States Bureau of the Census, Thirteenth Census (1910),
Population. Volume IV, Occupation Statistics. Washington,
D.C.: Government Printing Offioe, 1914*
_______________, Fourteenth Census (1920), Population. Volume
IV, Occupations. Washington, D.C.: Government Printing
Offioe, 1923. Pp. 1309.
. Fifteenth Census (1930), Population. Volume V,
General Report. Occupations Statistics; Volume IV, Occupa­
tion Statistics (New York). Washington, D.C.: Government
Printing Office, 1933. Pp. 591 (v. V), Pp. 1796 (v. IV).
Whelpton, P.K., Occupational Groups in the United States.
Journal of American Statistical Association, XXI (1926),
pp. 335-343.
Bibliographies
Bibliography on Trends in Business Occupations. National Busi­
ness Eduoatlon Quarterly. IV (May, 1936), pp. 53-55.
References consist largely of business occupation sur­
veys and the educational significance of these surveys
and trends.
Brooklyn Public Library, List of Books on Greater New York.
Brooklyn Publio Library, 1906. Pp. 33. (2 ed. Brooklyn
Public Library, 1907. Pp. 34).
Eaton, Allen, A Bibliography of SocialSurveys. New York:
Russel Sage Foundation, 1930. Pp. lx, 467.
Hall, Milton 0.. How Occupational Trends are Studied. Occupa­
tions. XII (February, 1934), pp. 33-42.
A very comprehensive bibliography of references cover­
ing occupational trends, demand and supply, etc.
New York Public Library, Check List ofDirectories of the City
of New York in the New York Public Library. Bulletin New
York Publio Library. V (1901), pp. 190-195.
_______________ . Check List of Guide Books to New York City in
the New York Public Library. Bulletin New York Publio Li­
brary. V (1901), pp. 74-76.
, Cheok List of Works Relating to New York City
Commercial History. Bulletin New York Publio Library. V
(1901), pp. 42-59.
424
_______________ , New York City and the Development of Trade:
a Reading List. New York: New York Public Library, 1914.
~~
Selected List of References Bearing on the
City Plan of New York. New York: New York Public Library,
Mimeographed, 1913.
New York Research Council (Russel Sage Foundation), Civic
Bibliography for greater New Jfork. (Edited by J.B. Rey­
nolds for tne New York Research douncil). New York: Chari­
ties Publication Committee, 1911. Pp. xri, 296.
An excellent and thorough bibliography on New York City
classified by topics such as industry, occupations, etc.
Walter, Henriette Rose, Investigations of Industries In New
York City. New York: Vocational guidance and Employment
Servioe for Juniors, 1924.
Contains list of published studies 1905-1915.
Wheeler, Helen Ellis, A Bibliography of Descriptive Commercial
Occupational Studies. The Journal of Commercial Education.
LVII (January and February, 1928).
APPENDIX
A.
Explanatory Notes Describing Procedure in Adjust­
ing Original Census Statistics on Occupations
for New York City and in Estimating Figures
Where Original Data Are Incomplete.
B.
Supplementary Tables.
APPENDIX A
EXPLANATORY NOTES DESCRIBING- PROCEDURE IN ADJUSTINGORIGINAL CENSUS STATISTICS ON OCCUPATIONS FOR
NEW YOR K CITY A N D IN ESTIMATING FIGURES
WHERE ORIGINAL D ATA ARE INCOMPLETE
Procedure In Estimating and Correcting United States Census
Occupational Statistics for New York City
Where data for several occupations are combined In the
city reports, but listed separately in the state an d national
tables, the method used for separating these groups of occupa­
tions was to determine the ratios betw e e n the same occupations
in the figures for New York State and to b reak up the total as
given in the city tables on the basis of this ratio.
For ex­
ample, the 1870 Census reported a total of 7058 persons en­
gaged In banking in New York State.
Of these, 3844 or 54.5
per cent were bankers and brokers of money and stock, 2741 or
38.8 per cent were clerks a n d bookkeepers, 93 or 1.3 per cent
were other employees and 380 or 15.4 per cent were officials
of banks.
The tables for the Cities of New York and Brooklyn
show that a total of 3853 were engaged 11in banking" during that
same year.^ Applying the percentages secured from the New York
State figures to this total, we get the following estimates of
banking employees in New York City; bankers and brokers of money
and stock 2,100, officials of banks 208, clerks and bookkeepers
1,495 and other employees 50.
It was felt that the ratios for
New York State would provide a better basis for analyzing New
York City figures than would the ratios based upon data cover­
ing the entire country.
This method, however, was not applied
to those occupations where the distribution for New York City
would vary materially from that for the state.
Where data for specific occupations are omitted in the
city tables, but listed In the state reports, the missing fig­
ures may be estimated b y taking a similar occupation for which
New York City figures are available, and determining its ratio
to the state figures for the same occupation.
The same ratio
to New York State figures was therefore used to obtain figures
for the occupations not listed in the New York City tables.
If
figures are not available for a similar occupation, the figures
for the total of all trade occupations w e r e used.
In several
instances, no state or national figures were available, as the
specific occupation may have been included with some other
group during that particular census year.
The estimate was
then secured by plotting the figures for the years for which
data were available on rate of change paper and using the same
1.
United States Bureau of the Census,
tion.
Statistics of Popula­
427
rate of change for the missing years by extending the trend
lines.*
The original census figures on specific business occupa­
tions for the City of New York a n d for the City of Brooklyn,
prior to consolidation, are available in the original Census
Reports on Occupations (see Bibliography, page 422).
Area Included in the City of New York in the Tables
Giving Occupational Statistics for the City
Tables LX to LXII
From 1820 to 1860, the figures Include New York and Kings
Counties.
From 1870 to 1890, the figures include data for the
Cities of New York and Brooklyn.
Beginning w i t h the 1900 Cen­
sus, the figures include data for the five boroughs which now
comprise the City of New York.
The Inclusion of the Boroughs
of Richmond an d Queens in the 1900 figures does not materially
affect the comparability of these figures with those for p r e ­
vious censuses, because of the relatively small population in
these counties prior to their consolidation with the greater
city.$
The only exception w o u l d be the number of persons en­
gaged in agriculture w hich was materially affected by the then
relatively rural character of the outlying boroughs of Richmond
and Queens.
The unimportance of agriculture in New York City
occupational life, however, makes this a negligible considera­
tion in the preparation of these tables.
Explanatory Notes for Table LX
a)
The classification "clerks in stores" as provided in the
1910, 1920 and 1930 censuses, presumably to record the number
*
#
The apparent accuracy of an estimate was determined by chart
ing the data fo r specific occupations on semi-logarithmic
or rate of change paper, in order to check against any ex­
cessive or unexplainable change from preceding or subse­
quent periods.
This is b a s e d on the assumption that eco­
nomic data usually follow a reasonably steady trend line.
The population of the present area of the City of New Y ork
in 1890 (the last census year prior to consolidation) was
as follows: Manhattan, 1,441,216; Bronx, 88,908; Brooklyn,
838,547; Richmond, 51,693; Queens, 87,050; Total 2,507,414
The population of Richmond and Queens represented but
5.5 p e r cent of the total population in that year.
A
m ajor part of what is now the Borough of the Bronx was
annexed to the City and County of New Y ork on January 1,
1874.
Additional sections were added in 1895.
428
of persons employed in "clerical" or office w o r k in stores.
These workers were included in the general division "trade."
However, the earlier censuses of 1890 a n d 1900 did not dis­
tinguish between this type of clerk and the clerks employed
in industries.
Reference to comparative tables1 given in the
Census Reports for the 1910 and 1900 censuses, would indicate
that "clerks in stores" we re largely Included with other types
of clerks prior to 1910.
The latter procedure was followed
in this table in order to make the figures for "clerical o c ­
cupations" comparable for the different census periods.
Al­
though many of the persons returned as "clerks in stores"
were really salespersons,
it was not considered practical to
estimate the number of such salespersons, particularly since
it appears that the census enumerators wer e fairly consis-tent
in making this error at every census since 1890.3 The figures
are therefore reasonably comparable without further adjustments.
b)
When the occupational division "clerical occupations" was
first introduced at the 1910 census, the Bureau of the Census
apparently chose to classify "collectors, canvassers a n d other
unclassified agents" w i t h "clerical occupations."
It is dif­
ficult to a.pply this distinction to agents prior to 1910 as
the Bureau of the Census combined all agents under one designa­
tion and listed them under "Trade."
It w a s therefore felt
that a more accurate picture of the trend in "clerical occupa­
tions" w ould be secured by transferring "agents" from "cleri­
cal occupations" to "trade" in the 1910, 1920 and 1930 censuses.
c)
The United States Census of 1870, 1880, 1890, and 1900 and
the New York State Censuses of 1855 and 1865 report a large
number of employed persons as unclassified laborers.
In the
Federal Censuses between 1870 and 1900, these workers were in­
cluded in the general classification of "domestic and personal
service," although most of these laborers were admittedly en­
gaged in manufacturing, trade, transportation, and public ser­
vice.4 Beginning with the 1910 Census, laborers were classi­
fied as to the major occupational division in w h i c h they were
engaged, such as laborers in textile factories, laborers in
trade, laborers in railroad transportation, etc.
In order to
make the figures for the various occupational groups prior to
1910 comparable with those of the succeeding censuses, it is
important that the "unclassified laborers" be apportioned to
the occupational group to w hich they properly belong.
Unfor­
tunately, the published census reports for these periods pr o ­
vide inadequate data to permit an accurate distribution of la­
borers.
It w a s therefore necessary to use the distribution of
1.
2.
3.
United States Bureau of the Census, Thirteenth Census
(1910), Volume IV, P o p u l a t i o n , p. 54.
"Comparison be­
tween the 1910 and preceding censuses."
Ibid., p. 202.
Also, Fifteenth Census (1930), P o p u l a t i o n .
Volume V, p. 8.
See Appendix, p. 438.
429
laborers in the 1910 census as a basis for distributing la­
borers among the various occupational divisions prior to 1910.
The following table gives the number of laborers engaged in
each occupational division in 1910, in New York City, the ra­
tio of distribution among the various occupation divisions and
the distribution of laborers among these same divisions from
1855 to 1900 on the basis of these ratios.
Although there is
no assurance the.t the same ratios applied to each of these p r e ­
ceding census periods, it is evident that the addition of these
unclassified laborers to the occupational groups to which they
are allocated in Table LX, make these groups much more nearly
comparable with the same groups after 1910.
The rate of change
lines indicated in Diagram 45, page 308 appear much smoother
after these adjustments were made.
Distribution of Unclassified Laborers Among the Various General
Divisions of Occupations for 1855 to 1900 on the Basis of
the 1910 Distribution of Laborers Among the Same Occu­
pational Divisions
Occupational
Division
Number
Per
in
Thousands Cent
1910
1910 1855
Census
Numbers in Thousands
1880 1890 1900
1865 1870
Manufacturing
and mechan­
ical indus­
tries
74
56.
15
18
2.4
28
36
56
Transportation
33
25.
7
8
11
13
16
25
Tra.de
16
12.
3
4
5
6
8
12
Public Service
5
4.
1
1
2
3
4
Domestic and
Personal
Service
4
3.
1
1
1
2
2
3
132
100.
27
32
43
51
65
100
Total uncla.8Sified labor­
ers
2
d)
Separate data for the trade, transportation, and clerical
occupation divisions were not given before 1910.
Figures for
the individual occupations were therefore re-classified accord­
ing to the classifications used in 1910, 1920, and 1930.
Es­
timates were necessa.ry i n several cases as complete data on all
430
specific occupations were not available for cities.
However,
if the proportional rate of change for the occupations listed
Is determined and the same rate used for the occupations omitted, a fairly accurate estimate is possible, particularly
since the occupations for which data are available represent
between fifty and eighty pe r cent of the total to be included
in the group.
The total for the three groups of "trade,"
"transportation," and "clerical occupations" will not equal
the total for "trade and transportation" as used in the origi­
nal census reports for the following reasons: (l) In 1870 and
1880, "clerks" were classified by industry, such as clerks in
manufacturing, clerks in banking, clerks in railroads, etc.,
and included in the manufacturing, trade, transportation or
public service divisions.
In Table LX, all clerks are included
in "clerical occupations."
(2)
Unclassified laborers (see
page 429) were added to the tra.de and transportation groups
and deducted from domestic and personal service.
e)
Figures for the professional service, personal service, and
public service groups prior to 1910 x^ere made comparable with
figures for 1910, 1920, and 1930 by re-classifying the data
for specific occupations into the general classifications used
in the last three censuses.
The procedure followed was the
same a.s that used in classifying the occupations in the tra.de,
transportation, an d clerical occupation divisions.
f)
New York State Census data were given for individual oc­
cupations.
These wer e grouped into the general divisions of
occupations used in the 1930 United States Census.
The figures
for unclassified laborers were distributed among the various
occupational divisions in the same manner used in distributing
unclassified laborers included in the United Sta.tes Census for
1870-1900 (see Appendix, page 429 ). No information as to ages
or s e x of the persons included in the census is given in the
published returns, although the fact that such occupations as
seamstresses, laundresses, etc., are listed would indicate
that both sexes were included.
However, the total number of
employed persons reported in both the 1855 and 1865 censuses
fall short of the probable number of persons actually employed
in gainful occupations as estimated b y interpolating the fig­
ures for 1840 and 1870 on relative rate of change paper.
Fig­
ures for 1865 are admittedly incomparable, inasmuch as the
census was taken at the close of four years of x^ar while large
numbers of soldiers wer e still away from home and therefore not
included in the census.
The main value of the 1855 and 1865
New York State Censuses lies in the fact the.t they represent
the most complete figures on occupations in New York City prior
to 1870.
The percentage distribution of those reported in the
various occupations were applied to the increased probable to­
tal employed persons, with greater increases being made in those
#
Census tables giving occupations by cities prior to 1910,
give data for selected occupations only.
431
groups that were more likely to be overlooked by the State
Census enumerators.
g)
The United States Censuses for 1850 a n d 1860 did not pro­
vide separate occupational data for New York City.
The fig­
ures given i n Table LX are b a s e d upon the per cent distribu­
tion of the 1855 and 1365 New York State Censuses.
The total
number of employed persons Is estimated b y interpolating the
figures for 1840 and 1870 on the rate of change chart (Dia­
gram 45).
These estimates were further checked by comparing
them with the trend for these years in New York State.
h)
1840 United States Census,
(hi)
This census reports 6007
persons engaged in agriculture.
The 1845 New York State Census
reports 3437 "farmers and agriculturists."
Both of these fig­
ures appear* excessive when compared with the more detailed New
York State Census of 1855, which in turn appears to be slight­
ly under-estimated.
It is quite likely that the figures for
1840 and 1845 included young children a n d housewives who assist
ed with the farm work.
The estimate of 2,200 was secured b y
interpolating the flgires for 1820 and 1870 on rate of change
paper (Diagram 45).
(h2)
Persons reported b y the census as
being engaged in "manufacturing and trades."
(h3)
Persons re­
ported as being engaged in commerce.
(h4)
4,468 persons are
reported as being engaged in "navigation of the ocean, canals,
and lakes."
i)
No census data are available for the occupations of the
population in 1830.
The estimate of total employed persons is
obtained by using the 1840 ratio of employed persons to the
number of persons over 10.
The number of persons engaged in
the various occupational groups was b a s e d on the per cent dis­
tribution for 1820 and 1840.
J)
The three occupational groups reported in the 1820 census;
"persons engaged in agriculture, commerce, and manufactures,11
total but 14,200 or only 10.5 per cent of the total population.
They obviously do not include persons in the other occupational
groups.
Estimates of the number of persons engaged in profes­
sional service, domestic service a n d public service have been
estimated by extending backwards the "figures for 1840 a n d for
1830.
However, even with the inclusion of the groups not in­
cluded in the census, the total employed represent too small
a part of the total population.
The total number of employed
persons is estimated in the same manner as for 1830, namely,
by using the 1840 ratio of employed persons to persons over ten
years of age.
To attain this total number, the figures for man
ufacturing, trade, and agriculture have been increased propor­
tionately.
The adjusted figures when plotted on rate of change
paper (Diagram 45) indlca.te a much more regular trend than the
figures provided in the original census returns.
432
Explanatory Notes for Tables L X I I I . LXIV and LXV
a)
Included with "other clerks" In 1910 and 1920.
b)
Clerks in stores were listed separately and included with
"Trade occupations"in the United States Census Reports for
1910, 1920 and 1930.
Prior to 1910, "clerks in stores" were
apparently combined w i t h other clerks and listed under the
single designation of "clerks and copyists" (see Thirteenth
Census of the United States, 1910, Volume IV, Population,
page 54.
Comparison between the 1910 and the preceding cen­
suses).
The latter procedure was followed in this table in
order to make the figures for "clerics" comparable for the dif­
ferent census periods.
Although many of the persons returned
as "clerks in stores" were really salespersons, it was not con­
sidered practical to estimate the number of such salespersons,
particularly since it appears that the census enumerators were
fairly consistent in making this error at every census since
1890.
The figures are therefore reasonably comparable without
further adjustments.
c)
Probably Included w i t h "inspectors,
gaugers, and samplers."
d)
Number of clerks for 1900 was determined as follows:
Total persons reported
as clerks a n d copyists
Analysis
on same ratio as New York State figures
Clerks and copyists
Shipping clerks
Letter and mail carriers
80,838
5,647
3,047
Deducting mail carriers (not usually included
w i t h clerks)
Total clerks
e)
Probably included with other clerks.
above.
89,621
5.047
86,185
See explanation (b)
f)
The United States Census Reports on Occupations for 1890
gives the total figures for bookkeepers and clerks for males,
but provides separate figures for female clerks, and stenog­
raphers.
The number of male bookkeepers and clerks was deter­
mined by using the ratios for the New York State figures.
The
published census figures likewise fail to give the number of
female bookkeepers and accountants.
The figure given here is
an estimate based upon the New York State returns for the same
year.
433
New York
State
Ratios
for Males
Bookkeepers and accountants
Clerks a n d copyists
Stenographers and typists
Totals
19.9
78.2
1.9
100.0
Number
Males
15,108
59,368
1,442
75,918
Females
2,901
4,550
2,544
9,995
Total
18,009
63,918
3,986
86,133
g)
In the 1880 and 1870 Census Reports, clerks and bookkeepers
were classified according to industrial division, such as
clerks a n d bookkeepers in railroad companies, clerks and book­
keepers in banks, etc.
Figures for the Cities of New Y ork a n d
Brooklyn in many cases combined all employees in railroads,
banking, etc.
The analysis of these combined figures was made
on the basis of the figures f o r New Y o r k State.
h)
Stenographers or "shorthand writers" were probably in­
cluded w i t h clerks prior to 1890.
The number In either case
was small.
In 1870, a total of 45 shorthand writers was re­
ported for all New York State.
i)
Figures for the Cities of New York and Brooklyn were es­
timated by using state figures for messengers.
The compara­
tively small number reported as messengers at this census is
probably due to the fact that office boys and girls were in­
cluded w ith cleiks.
J)
Separate data for these specialized occupations are not available.
The total for these occupations however is included
In the total for the group.
Additional Explanatory Notes for Table LXIV
dd)
Number of male clerks for 1900 determined as follows:
Total males reported as clerks and copyists
80,564
Analysis on same ratio as New York State figures
Clerks an d copyists
Shipping clerks
Letter and mail carriers
Deduct mail carriers
71,888
5,647
3,029
not Included w i t h clerks in
census
Total male clerks
3.029
77,535
Add weighers,
611
78,146
434
Additional Explanatory Notes for Table L X V
dd)
Number of female clerks for 1900 determined as follows:
Total females reported as clerks and copyists
Analysis on same basis as New Y o r k State figures
Clerks and copyists
Shipping clerks
Letter and mail carriers
9,057
8,950
89
18
Explanatory Notes to Tables L X V I . LXVII and LXVIII
a)
Included with agents in 1910 and 1920 Census Reports, but
listed here under salesmen a n d saleswomen.
b)
Not incluled with salesmen in this census.
The number of
auctioneers was added to the total for salesmen for the census
years before 1910, to make the total comparable w i t h the cen­
suses for 1910, 1920 and 1930.
c)
Insurance agents included w i t h agents (See Table LXIX,
Ma-nagerial Workers).
It Is impossible to estimate the number
of insurance agents prior to 1910.
The occupation of insur­
ance agent, i.e., the person engaged in selling insurance is
essentially an occupation dating from the beginning of the 20th
century.
This should not be confused with the "insurance agent"
who is the agent of the insurance company in underwriting
risks.
This is essentially a managerial occupation.
The Uni t ­
ed States Census does not distinguish between these two.
Prior
to the 1910 census, insurance agents xirere largely of the latter
type.
d)
Hucksters and peddlers listed separately in the Census Re­
ports prior to 1910, are here included w ith retailers to con­
form with the procedure followed in the 1910 and subsequent
censuses.
e)
Foremen and overseers in stores.
This classification is not
comparable w i t h "floorwalkers and foremen in stores."
The
former includes managers a n d superintendents which were included
with "dealers" in the 1910 and subsequent censuses.
The total
for retail dealers an d floorwalkers and foremen in stores is
f8lrly comparable with the total for foremen and overseers in
stores plus dealers.
f)
No data given for New York City and Brooklyn.
Estimates
based upon trend in the number of auctioneers during these years
in New York State.
g)
Tables for cities give the total fo r wholesale and retail
dealers.
Impractical to separate these txro occupations on the
435
basis of the figures for Net/ York State, as the ratio for the
cities of New York and Brooklyn would vary materially from
that of the state in these two occupations.
h)
See explanation g, for Table LXIII, Appendix, page 433.
i)
No data for these occupations for the years indicated.
Oc­
cupation was either non-existent or the number too small to
warrant separate classification.
j)
Estimated (Table LXVIIl).
Explanatory Notes for Table LXIX
-
a)
Officials of transportation, Insurance and trade companies.
Included w ith officials of companies not specified.
It is not
considered practical to separate officials by industries on the
basis of the ratios for New York State, as the state distribu­
tion in these particular occupations w o u l d probably vary con­
siderably from that of the Cities of N e w York and Brooklyn.
b)
Figures for fanales are not given in the table for the Cit­
ies of New York and Brooklyn.
The estimates given here are
based upon the analysis of the New York State figures.
c)
Separate figures for these specific occupations were not
given for cities.
Total employees in the industry were given.
The estimates given here are based upon the analysis of the
New York State figures.
d)
Including advertising agents in 1910 and 1920.
In 1930,
advertising agents were grouped separately under trade.
e)
Original totals for agents as given in the census returns
for 1910 and 1920 were 8,168 and 16,386 respectively.
These,
however, included canvassers which w ere transferred to sales­
men (see Table LXVI) to conform with the procedure in the 1930
census.
f)
Included wit h "Agents
(Not elsewhere classified)."
g)
In 1910, credit men in stores were included w i t h salesmen
and sal esworne n .
h)
No figures for this occupation are given in tables for the
Cities of New York and Brooklyn.
Estimates are based upon New
York State figures.
i)
Estimated by extending trend line on rate of change paper.
J)
Includes real estate agents (included with "Trade" begin­
ning with 1910) and insurance agents (included wit h "sales-
436
persons" beginning with 1910).
It was not considered practical
to separate d ata for agents prior to 1910.
k)
Included w i t h other transportation and communication com­
panies.
l)
Not comparable with data for 1910, 1920 and 1930 (See
Table LXVlf.
m)
Included w 1th "agents" and "dealers."
n)
Separate data not available.
Figures for this specific oc­
cupation are included wit h the total for the group.
Explanatory Notes for Table LXX
a)
Included w i t h "agents" Table LXIX.
b)
Included w i t h employees railroad companies, express com­
panies, etc.
c)
Probably included under other classifications,
weighers, clerks, etc.
such as
437
How United States Census Reports on Occupations
Were Complied Inoludlng Periodic Changes In
Classification
The following material was secured from the United States
Census Report on Occupations for 1890.1
Prlor to 1850 no effort was made to obtain through the
census enumerators detailed statements as to occupations of
people, although in 1820 and 1840 in certain general cases,
classes of occupations was colled for.
At the 1850 census, the occupations were recorded of
free males over fifteen years of age.
These were listed under
323 occupational designations listed in alphabetical order,
without classification as to agriculture, manufactures and
xvithout details as to age and nationality.
At the 1860 census, a similar alphabetical list of occu­
pations of free persons over fifteen years of age was recorded,
without distinction of sex.
This list contained 584 occupa­
tions, but included no classification or description of persons
so occupied.
The 1870 census was the first census in which occupations
were tabulated for all persons, ten years of age and over,
with the additional information of age and nationality.
These
occupations were subdivided under four general heads namely:
agriculture, professional and personal services, trade and
transportation, manufactures and mechanical and min i n g indus­
tries.
This census reported 338 different occupational desig­
nations.
At the 1880 census, the classifications used in 1870
were maintained.
The number of occupation designations was
reduced to 265.
At the 1890 census, the same general classifications
were continued, although the number of occupations was again
reduced to 218.
The following changes in classifying specific
occupations were made (Only those affecting business occupa­
tions are listed):
Barkeepers, employers of warehouses, laborers
in trade and transportation, saloonkeepers and bartenders,
stewards and stewardesses, all of whom had formerly been in­
cluded in the general classification "Trade and Transporta­
tion" we re now to be listed under "Domestic and Personal
Services."
___________ All clerks, etc., wh o w e re formerly classified under
1.
United States Bureau of the Census, Report on Population
of the United S t a t e s . V. II, p. lxxv.
438
other groups were transferred to trade and transportation re­
gardless of where they were employed.
This included clerks in
government offices, hotels, manufacturing and mining companies
who were formerly listed under "Professional and Personal Ser­
vice," "Manufacturing" and "Mining" respectively.
The following explanation is given in the Reports of the
Fifteenth (1910) Census.1
From the Federal census of 1850 until 1910, such a large
proportion of the occupation returns were in general and in­
definite terms, that in many cases, exact classification, ac­
cording to specific occupation was impossible.
Therefore of
necessity, the classifica.tion followed was largely industrial
in form.
Occupations such as farmer, lawyer, etc., were care­
fully enumerated, but the remaining occupations were recorded
according to industrial groups.
With the 1910 census, it was decided that the proper ba­
sis for occupational classification is the worker and his work,
rather than the industry in which he was engaged.
The indus­
try however was to be used as a background or aid in classify­
ing the occupation.
This census report recognizes the diffi­
culties involved in making comparisons between census periods.
The five major occupational groups were increased to
eight.
It is doubtful whether complete figures on clerical
and other business occupations could be compiled from the cen­
sus returns prior to the 1910 census.
Clerks in Stores and Salesmen:
Although instructed specifically to the contrary, many
of the Thirteenth (1910) Census enumerators failed utterly—
as did the enumerators at preceding censuses to distinguish
between the clerks and the salesmen employed in wholesale and
retail trade.
The tendency was to return salesmen as clerks,
although their duties were in no sense clerical. As a result,
the statistics reporting the number in each of these occupa­
tions, respectively, are far from accurate.
This is indicated
by the fact that the number of salesmen and salesxromen reported
is less than three fourths the number of wholesale and retail
merchants and dealers, and by the further fact that there are
reported more than two clerks in stores for each five salesmen
and saleswomen.
Similar figures were reported in the Twelfth
Censu s.
1.
United States Bureau of the Census, Thirteenth Census
(1910), Population, Volume IV, p. 17.
2.
Ibid.. p. 202.
439
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Analysis of Occupational Statistics Contained in New York
State Census Reports, 1845-1875
Year
Classifications
Used
Type of Data Pro­
vided for City
of New York
Per Cent of
Total Popula­
tion Included
in Occupation
Returnsa
Farmers and Agri­
culturists
Merchants
Manufacturers
Mechanics
Attorneys
Clergymen
Physicians and
Surgeons
Separate tables for
New York and Kings
Counties
1855
Data given for
specific occu­
pations listed
in alphabeti­
cal order
Same as for 1845
29.9
1865
Same as for 1855
Same as for 1855
29.7
1875
Approximately
the same general
divisions of oc­
cupations and
designations of
specific occupa­
tions used in
the 1870 United
States Census of
Occupations
No data given for
counties or cities.
Totals given for
New York State only.
1345
a)
b)
(b)
Per cent is based upon the figures for the City of New York.
The population figures for the same area covered by the
occupation statistics were used.
Incomplete figures.
Sexes and Ages Included in Census: The published reports contain
no mention of the age or sex of the persons Included in the
New York State Census of Occupations, although from the na­
ture of the returns, it may be assumed that both sexes and
employed persons of all ages were included.
Time of Year Census Was Taken: No information available.
APPENDIX B
SUPPLEMENTARY TABLES
Original and Adjusted Statistics Used as a Basis
for Diagrams Contained In the Text
TABLE I
Character of’Ownership of Manufacturing Establishments In the
United States, 1904-1929
Owned by
Corporations
Number estab­
lishments
Number wage
earners in
thousands
Per cent of
total wage
earners
1909
1914
1919
51,097
69,501
78,151
91,517
101,815
3,863
5,002
5,650
7,875
7,945
70.63
75.62
80.30
86.58
89.89
122,866
109,144
1,221
393
214,383
210,959
9,096
8,839
Proprietorships
and oartnershipsa
Number estab­
165,083
lishments
Number wage
earners in
1,606
thousands
Totals
Number estab­
216,180
lishments
Number wage
earners in
5,469
thousands
a)
b)
1929
1904
198,990
1,613
268,491
6,615
98,959b
1,387
177,110b
7,036
Includes all other types of establishments.
The decrease in the total number of establishments in 1914
is due to the census being restricted to firms with an­
nual product over $5000.
Sources: United States Bureau of the Census, Census of Manu­
factures, 1904. Thirteenth Census (1910), v. VIII, Manu­
factures.
Census of Manufactures, 1914.
Fourteenth Cen­
sus (1920), v. IX, Manufactures.
Fifteenth Census (1930),
v. I, Manufactures.
442
TABLE II
Increase In Incorporated Companies Between 1898 and 1900
Total Capitalization of Companies Incorporated Prior to January
1. 1898
Type of Company
Thousands of Dollars
Electric power, compressed air
146,474
Others
56,755
Manufacturing, iron, steel, etc.
607.932
Total
811,161
Total Capitalization of Companies Incorporated Between January
1, 1898 and November 1, 1900
Electric power, compressed air, etc.
Manufacturing, iron, steel, etc.
Miscellaneous manufacturing companies
Total incorporated during period
Total incorporated prior to period
Total capitalization of all companies
on November 1, 1900
727,014
2,416,030
1,104,504
4,247,548
811,161
5,058,709
Source: Moody's Manual of Investments, 1900, p. 51.
TABLE III
Number of Salaried Employees in Manufacturing Establishments of
the Leading Manufacturing Cities in the United States, 18991929
Cities arranged in order of ranking in 1929
_________ (Numbers in Thousands and Fractions of a. Thousand)
1929
Cities
1899
1909
1919
New York
44
140
151
97
Chicago
90
86
32
55
17
46
Philadelphia
33
48
Detroit
5
30
31
13
Cleveland
24
5
32
12
St. Louis
9
15
25
21
Los Angeles
.7
9
21
3
Boston
13
20
18
8
6
15
Baltimore
16
9
Pittsburgh
6
17
12
11
United States
364
1,359
790
1,438
Sources: United States Bureau of the Census, Twelfth Census
(1900), V. VIII, Manufactures, Part 2. Thirteenth Census
(1910), v. IX, Manufactures, Reports by States with
Statistics of Principal Cities.
Fourteenth Census (1920),
v. IX, Manufactures.
Fifteenth Census (l930), v. Ill,
Manufactures, Reports by States.
443
TABLE IV
Occupational Distribution of Workers in United States
Manufacturing Establishments
Number in Thousands
Year
1399
1904
1909
1914
1919
1921
1923
1925
1927
1929
1931
1933
1935
Sala.ried Of­
ficers and
Employees
Wage
Earners
Total
Workers
5,278
4,713
201a
6,107
5,362
226
7,536
6,473
273
8,118
6,396
259
10,689
9,000
251
8,266
6,947
173
10,283
8,778
149
9,859
3,384
133
9,914
3,350
133
10,539
8,839
133
6,507
4
7,054
6,056
72
3,537
7,379
82
Analysis of Salaried Employees
Total
Superin­
Officers
Workers
tendents
of Cor­
and
porations
Managers
364
519
790
963
1,438
1,146.
1,356°
l)342b
1,431®
IjSo?13
d „
926°
l,076e
Detailed Occupational
Clerks
Year
1879
1889
1909
1914
1919
1935
Proprietors
and Firm
Members
4f
42S
476
724
1,034
633
54
81
43
132
135
133
146
281
308
336f
1,34?S
7,536
3,118
10,698
8,537
See following page for explanatory notes.
Sources: United States Census Office, Tenth Census (1880),
Report on the Manufactures of the United States.
Report of the Manufacturing Industries of the United
States at the Eleventh Census (1390).
Twelfth Census (1900), v. VIII, Manufactures, Part 2.
Census of Manufactures, 1904.
Thirteenth Census (1910), v. VIII, Manufactures.
Census of Manufactures (1914).
Fourteenth Census (1920), v. IX, Manufactures.
Census of Manufactures. 1923, 1925, 1927.
Fifteenth Census (1930), V. I, Manufactures, Chapter III.
(United States Summary, 1899 to 1929).
Census of Manufactures, 1935, Personnel Other Than Wage
Earners.
Biennial Census of Manufactures, 1931, 1933.
444
Explanatory Notes for Appendix
Table IV
a) Data on proprietors and firm members
were omitted at this
census.
The figure given here has been estimated on the ba­
sis of the trend indicated by using the figures for the 1889,
1904 and 1909 censuses.
b) Original figures given in the Census
of Manufactures do
not include data for employees of central administrative of­
fices for 1923 and subsequent years.
The numbers of such em­
ployees are as follows: 1923, 86,378: 1925, 85,646; 1929,
208,363 (full figures are given here;.
In each of these cases,
the number of central administrative employees given here was
added to the number of salaried employees reported in the cen­
sus in order to make the total number of salaried employees
comparable for all periods (See page 16, United States Census
of Manufactures, 19*29).
c) The number of central administrative employees was not
given for these years. It was therefore necessary to estimate
them on the basis of 1925 and 1929 figures.
The estimates are
as follows: 1927, 130,000; 1933, 123,000.
These figures have
been added to the total number of salaried employees reported
in the census, since they were not originally included.
d) Data relating to salaried personnel and proprietors omitted
at this census for purposes of economy.
e) Does not include central administrative employees or em­
ployees separately reported as being engaged in distribution
rather than production.
Their inclusion here would increase
the proportion of salaried employees, but would make compari­
son with the figures for New York City impossible.
f)
Classified data as to workers in manufacturing establish­
ments a.re available for this year only for textile industries
(United States Census of Manufactures, 1880, p. 955).
The fig­
ures given here are for these industries only. The total em­
ployed in all industries including hand industries is 2,732,595.
g) Figures given here are for the fifty most important manufac­
turing industries of 165 principal cities of the country (Unit­
ed States Census of Manufactures, 1890, p. 684).
The total for
all manufacturing establishments is 4,251,535.
This includes
hand industries.
The per cents for all industries would dif­
fer from those given above, but would not be comparable Xirith
data for later years which do not include hand industries.
445
TABLE V
Occupational Distribution of Workers in Manufacturing Estab­
lishments in the United States, New York State, The New
York Industrial Area, New York City and Manhattan
United States
Year
Salaried
Officers and
Employees
1899
1909
1919
1929
1935
364
790
1,438
1,567
1,076
1899
1909
1919
1929
1935
68
152
247
226
177
1899
1909
1929
1935
55
125
203
161
1899
1909
1919
1929
1935
44
97
151
140
114
1899
1909
1919
1929
1935
36
78
111
102
80
Number of Employees in Thousands
Proprietors
Wage
Earners
and Firm
Members
201
273
251
133
82
New York Sta1;e
37
47
49
28
14
Total
Workers
4,713
6,473
9,000
8,839
7,379
5,278
7,536
10,689
10,539
8,537
727
1,004
1,228
1,106
896
832
1,203
1,524
1,360
1,087
New York Industrial Area
540
789
35
918
778
Nev; York City
389
21
554
29
35
639
563
22
485
12
Manhattan and The Bronx
285
16
400
23
407
27
353
17
288
9
949
454
680
825
725
611
337
501
545
474
377
Sources: United States Bureau of the Census; Twelfth Census
(1900), v. VIII, Manufactures, Part 2; Census of Manufac­
tures, 1904; Thirteenth Census (1910), v. VIII and v. IX;
Census of Manufactures, 1914; Fourteenth Census (1920), v.
IX, Manufactures; Census of Manufactures, 1921, 1923, 1925,
1927; Fifteenth Census (1930), Manufactures, v. Ill; Biennial
Census of Manufactures, 1931, 1933.
Census of Manufactures,
1935, Personnel Other Than Wage Earners.
4
446
TABLE VI
Occupational Distribution of Business Workers in Manufacturing
Establishments in the United States Classified by Industry
Groups
Per Cent of Total Workers in
Each Occupation
Industry Group
All Industries (Total)
Food and kindred products
Textiles and their products
Forest products
Paper and allied products
Printing, publishing and
allied industries
Chemicals and allied products
Products of petroleum and
coal
Rubber products
Leather and its manufactures
Stone, clay and glass
products
Iron and steel and their
products, not including
machinery
Nonferrous metals and their
products
Machinery, not including
transportation equipment
Transportation equipment,
air, land and water
Railroad repair shops
Miscellaneous Industries
Clerical
Employees
Salaried
Officers
Proprietors
and Firm
Members
7.41
1.58
.95
7.69
3.23
3.85
6.43
2.15
1.25
1.68
1.49
2.52
.65
1.68
.21
26.73
10.17
3.81
2.17
2.69
.51
10.97
8.49
3.80
.57
.59
1.19
.05
.08
.43
5.28
1.84
.94
6.15
1.02
.20
8.40
2.06
1.11
10.44
1.54
.44
6.29
.24
7.43
.39
.12
2.58
1.61
40.43
2.73
2.18
14.62
4.76
4.43
4.33
2.93
4.97
1.48
1.59
2.73
.97
3.77
4.21
1.40
1.59
.30
Selected Soecific Industries®
Printing and publishing,
newspaper and periodical
Printing and publishing,
book, music and Job
Bread and other bakery goods
Men's clothing
Women's apparel
Knit goods
a)
These are industries which predominate in New York City.
Source: United States Bureau of the Census, Census of Manufac­
tures, 1935, Personnel Other Than Wage Earners and Salaries
Paid.
447
TABLE VII
Statistics Related to Wholesale Distribution Contained
In the United States Census Returns for 1840
County
New Yorka
Kings
.
Philadelphia
Suffolk0
Baltimore3New Orleanse
Cook^
St. Louis®
New York State
Total United
States
a)
b)
c)
d)
e)
f)
g)
Commission
Commercial Houses
Houses
in Foreign Trade
Number
Per Cent Numbei Per Cen1 Capital Per Cent
of U.S. Invested of U.S.
of U.S.
($1,000)
417
1
186
143
70
8
29.62
.07
13.21
10.16
4.97
.57
.07
33.30
918
4
63
89
108
375
4
24
1,044
31.86
.14
2.19
'3.09
3.75
13.02
.14
.83
36.24
$45,917
109
2,120
11,696
1,404
16,490
35
717
49,583
1
469
1,408
100.00
2,881
100.00
i1119,295
38.49
.09
1.78
9.80
1.18
13.82
.03
.60
41.56
100.00
New York County was coextensive with New York City of the
period.
Corresponds to Manhattan today.
Considerably larger in area and population than the city
of Philadelphia. Most of the wholesale establishments
were probably located In the city proper.
Covered a slightly larger area and population than the
City of Boston. About three per cent larger.
Covered about one third more population than the City of
Baltimore.
Coextensive with the City of New Orleans.
Covered two and half times the population of the City of
Chicago of the time.
Coextensive with the City of St. Louis.
Source: United States Census Office, Sixth Census (1840), Com­
pendium of the Enumeration of the Inhabitants and Statistics
of the United States.
448
TABLE VIII
Number of Wholesalers, Importers and Exporters in Leading
Wholesale Cities, 1900, 1910, 1920 and 1930
City
1930
1920
1910
1900
New Yoi*k City
Chicago
Philadelphia
Los Angeles
Detroit
San Francisco
St. Louis
Boston
Cleveland
12,941
3,960
1,976
1.974
1,249
1,195
790
710
697
15,634
3,442
2,172
902
353
1,283
1,056
946
550
7,975
2,183
1,840
498
449
658
662
736
413
4,653
3,385
1,209
156
373
785
1,066
618
310
Total United States
83,525
73,574
51,048
42,343
Sources: United States Bureau of the Census, Twelfth Census
(1900), Special Reports, Occupations at the Twelfth Cen­
sus; Thirteenth Census (1910), Population, v. IV, Occupa­
tion Statistics; Fourteenth Census (1920), v. IV, Occupa­
tions; Fifteenth Census (1930), Population, v. IV, Occupa­
tion Statistics by States.
TABLE IX
Number of Workers8- in Wholesale Trade by Cities,
1929, 1933 and 1955
Cities
New York City
Boston
Chicago
Cleveland
Detroit
Los Angeles
Philadelphia
St. Louis
San Francisco
1935
1933
1929
213,067
34,186
86,784
22,532
24,059
37,681
40,080
30,965
31,670
172,208
29,623
77,910
20,843
23,205
33,779
38,184
28,860
29,142
246,818
50,211
140,562
25,753
27,588
42,330
55,306
41,600
39,265
Total United States 1,357,778
1,317,407
1,695,814
a)
Includes total employees and proprietors.
Source: United States Bureau of the Census, Fifteenth Census
(1930), Wholesale Distribution, State Series.
Census of American Business, 1933, Wholesale Distribution,
v. I, II, III and IV.
Census of Business, 1935, Wholesale Distribution, v. II,
States and 25 Selected Cities.
449
TABLE X
Analysis of Wholesale Establishments in the City of
New York and the United States, 1929, 1933, and
1935
New York City
Number estab­
lishments
19,618 16,836 21,418
Net sales
9,618
7,376
$15,631
(millions)
Proprietors
13.7
9.5
11.3
(thousands)
Employees
199.3
154.7
237.3
(thousands) .
Total workers
213.1
166.0
246.8
(thousands)
Uni.ted Stai;es
169,654 164,170 176,V56
68,950
30,010
42,803
90.8
94.5
97.2
1,605.0 1,187.7 1,277.7
1,695.8 1,282.2 1,374.9
Analysis of Figures Before Adjustment With Wholesale
Price Index Numbers
Sales per
42,960 25,267 33,500
$65,873 47,676 48,254
employee
Number of em­
ployees per
establish­
9.46
7.23
9.19
9.31
7.23
12.10
ment
Number of
workers per
establish­
9.95
10.00
7.81
7.78
12.58
9.86
ment
Sales per to­
40,659 23,406 31,131
tal worker^
63,331 44,426 45,140
Analysis of Figures After Adjusting Net Sales With United
States Wholesale Price IncLex Numbers0
80.0
95.3
65.9
80.0
Index number0
95.3
65.9
Adjusted net
sales
(millions)
72,350 45,538 53,504
$16,402 11,193 12,022
Adjusted net
sales per
45,077 38,342 41,874
employee
$69,122 72,346 60,316
42,664 35,517 38,913
Total workers $66,454 67,416 56,424
a)
b)
United States Bureau of Labor Statistics.
Total number of workers is defined here as the number of
proprietors plus employees.
Sources: United States Bureau of the Census; Fifteenth Census
of the United States (1930), Census of Distribution,
Wholesale Distribution; Census of American Business, 1933,
Wholesale Distribution; Census of Business, 1935, Whole­
sale Distribution, v. I, United States Summary.
m
450
TABLE XI
Occupational Analysis of Workers in Wholesale Establishments
Classified by Kinds of Business, United States, 1955
Per Cent of Total Workers in Each Occupation
Office
Sala­
ProprlSalesmen
Ware­
Kind of Business
and
ried of­
Clerks Inside Outside house ficers etors
Total
17.45
6.90
15.34 15.34
6.64
7.10
Amusement and
sporting goods
26.53 10.62
14.00 11.13
7.97
7.74
Automotive
16.35 15.10
15.47
8.11
6.63
6.15
Beer, wines and
liquors
14.74
3.15
25.83 11.10
5.98
11.08
Chemicals and
paints
21.39
8.25
17.11 11.47 10.12
5.37
Clothing and
furnishings
17.39 10.24
18.06 10.63
8.83
10.92
Coal and coke
19.23
1.61
14.03
6.77
7.60
2.96
Drugs (full line)
25.27
5.12
12.. 16 33.68
4.27
.23
Drugs (specialties) 19.00
3.68
16.68 10.54
7.70
8.39
Dry goods (full
line)
21.05 17.44
20.21 14.35
3.54
1.10
Dry goods (spe­
cialty lines)
23.60
7.76
17.91 11.29
9.89
9.48
Electrical goods
28.50
8.77
18.37 13.34
7.96
3.26
Farm products—
raw materials
14.13
2.27
3.84 15.82
5.84
5.22
Farm products—
consumer goods
10.60
7.56
15.18 12.93
5.2.9
10.93
Farm supplies
15.64
4.64
7.71 21.12
5.38
5.80
Furniture and
house furnishings 19.85
7.80
14.58 13.12
8.53
8.36
General merchandise 32.06
7.34
12.09 27.19
3.79
1.22
Groceries (regular) 18.79
5.35
18.90 29.68
5.12
2.05
Grocieries a.nd foods
(specialties)
11.48
5.80
15.41 12.77
5.86
10.61
Hardware
23.64 11.55
16.48 21.04
5.51
1.43
Jewelry and op­
tical goods
23.82
7.50
9,07
3.92
7.47
10.05
Lumber and con­
struction goods
16.59
2.76
9.51 17.64
8.20
4.17
Machinery equipment
and supplies
21.25
7.32
17.89 10.91
8.87
5.86
Metals, metal work
20.02
2.74
10.90 25.00
7.46
2.67
Paper and products 20.93
5.69
23.37 16.59
8.15
5.11
Petroleum and
products
17.00
2.86
19.65 13.49
8.67
7.68
Plumbing and heat­
ing equipment
24.03
6.73
15.27 18.45
9.36
3.45
Tobacco and prod­
ucts (except leaf) 16.35
9.17
26.51 13. 11
5.97
10.94
Waste Material
6.07
1.19
1.29 20.93
5.07
12.13
Source: United States Census of Business, 1935, Wholesale
Distribution, v. V, p. 102.
451
TABLE XII
Number of Retail Dealers in Leading Retail Cities,
1900, 1910, 1920 and 1930
1930
City
New York
Chicago
Philadelphia
Los Angeles
Detroit
San Francisco
St. Louis
Boston
Cleveland
Total United
States
1920
1910
1900
155,377
58,976
38,752
24,547
22,660
12,733
14,338
12,888
12,370
121,727
45,050
35,652
11,966
14,504
11,133
13,607
12,267
11,616
115,128
37,869
34,260
7,572
7,904
11,369
13,307
12,452
9,606
85,436
29,513
28,004
2,748
5,292
9,742
9,903
11,338
6,433
1,703,522
1,328,275
1,195,029
869,759
Sources: United States Bureau of the Census, Twelfth Census
(1900), Special Reports. Occupations at the Twelfth Cen­
sus; Thirteenth Census (l910), Population, v. IV, Occupa­
tion Statistics; Fourteenth Census (1920), v. IV, Occupa­
tions; Fifteenth Census (1930), Population, v. IV, Occu­
pation Statistics by States.
TABLE XIII
Total Workers8, in Retail Trade by Cities, 1929, 1933,
and 1935
Cities
1935
New York City
424,723
Baltimore
53,641
Boston
69,104
Chic ago
199,172
Cleveland
58,843
Detroit
85,004
Los Angeles
101,020
Philadelphia
116,968
Pittsburgh
45,724
St. Louis
56,678
San Francisco
49,2.91
Washington, D.C.
46,884
Total United
States
5,472,212
a)
1933
363,291
51,890
66,578
192,032
55,598
72,463
90,021
104,952
40,073
51,614
48,196
55,629
1929
442,802
54,073
81,501
243,657
62,976
90,111
100,784
144,247
55,201
62,309
60,544
40,189
5,007,993
6,020,747
Includes total employees and proprietors.
Sources: United States Bureau of the Census, Fifteenth Census
(1930), Retail Distribution, State Series.
Census of American Business, 1933, Retail Distribution, v.
II, General Statistics, by States.
Census of Business, 1935, Retail Distribution, v. II,
County and City Summaries.
452
TABLE XIV
Retail Trade in New York City Classified by Types of
Operation, 1929 and 1935
1929
Number
Stores
Propri­
etors
88,544
Independents
Chains
10,741
All other types
3,751
103,036
Total
88,503
222
3,250
91,975
Type of Opera­
tion
Total
Total
Employees Workers
Net Sales
(millions)
233,220
116,058
11,549
350,827
321,723
106,280
14,799
442,802
3,023
1,127
123
4,273
223,619
93,708
6,263
323,590
318,624
93,863
12,236
424,723
2,055
737
56
2,848
1935
Independents
115,567
Chains
8,985
All other types
6,358
130,910
Total
95,005
155
5,973
101,133
Per Cent Distribution of Total Stores
________ 1929
______________________
Independent s
70.76
96.22
72.66
85.93
66.48
Chains
10.42
.25
30.22
24.00
26.38
3.2.9
3.34
2.86
All other tyoes
3.94
3.53
100.00
100.00
Total
100.00
100.00
100.00
1935
Independents
88.28
Chains
6.86
All other types
4.86
Total
100.00
a)
93.94
.15
5.91
100.00
69.11
28.96
1.94
100.00
75.02
22.10
2.88
100.00
72.16
25.88
1.96
100.00
Total workers are defined here as the total number of em­
ployees plus proprietors.
Sources: United States Bureau of the Census, Fifteenth Cen­
sus (1930), Census of Distribution, Retail Distribution,
New York; Census of Business, 1935, Retail Distribution,
v. IV, Types of Operation, p. 119.
453
TABLE XV
Occupational Distribution of Workers in Retail Estab­
lishments by States, 1935
Number of Pull and Part-Time Workers
Waiters
and
Waitresses
Office
and
Clerical
Selling
Employees
New York
31,901
180,289
52,675
19,800
Pennsylvania
21,443
121,985
28,218
6,489
Illinois
20,467
92,784
21,757
6,530
California
15,961
98,028
31,984
4,383
Ohio
13,186
95,535
25,116
7,026
Massachusetts
11,483
73,163
16,406
5,398
239,843 1,574,265
375,232
111,991
Unclassi­
fied
Total
States
United States
States
Partners
and Pro­
prietors
Other
Employees
Salaried
Officers
New York
181,621
132,208
133,074
731,568
Pennsylvania
117,333
73,875
76,440
445,783
Illinois
89,533
61,,173
80,895
373,139
Callfornla
95,597
64,119
60,697
370,774
Ohio
83,458
61,314
48,753
334,388
Massachusetts
45,426
42,106
41,660
235,642
United States 1,511,734
983,392
846,614
5,643,071
Source: United States Bureau of the Census, Census of Business
1935, Retail Distribution, v. V, p. 156.
454
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455
TABLE XVII
Number of Employees In National Banks, 1918, 1936 and 1937
Dec. 1936
Nov. 1918
City
New York City
Brooklyn
and Bronx
Neiv York
Baltimore
Boston
Chicago
Los Angeles
Philadelphia
Pittsburgh
San Francisco
St. Louis
Washington, D.C.
New York Sta.te
June 1937
9,045
226
13,662
244
14,229
258
8,819
644
1,576
3,558
767
2,266
1,247
1,273
1,006
475
13,178
13,418
472
3,110
13,973
482
3,195
7,903
4,238
2,476
1,280
9,862
1,102
850
5,024
2,412
1,313
9,121
1,060
809
18,710
Sources: United Sta.tes Treasury Department, Comptroller of
the Currency, Annual Report, 1918, v. I, 1936, and 1937.
TABLE XVIII
Number of Employees in the Various Types of Insurance Estab
lishments in Leading Sta.tes of the Country,
1935
___________ _
State
Insurance
Carriers
(Home
Office)
Insurance
Carriers
(Branch
Offices)
Insurance
Agencies
(a)
Total
Insurance
Establish­
ments
New York State
California
Connecticut
Illinois
Indiana
Maryland
Massachusetts
Michigan
Missouri
New Jersey
Ohio
Pennsylvania
Texas
United States
45,097
3,984
14,943
9,421
2,513
6,4-53
10,419
2,566
2,967
14,694
5,575
8,847
4,221
160,245
23,805
9,794
2,006
12,789
3,460
2,077
6,442
3,526
4,266
6,188
6,971
12,282
2,156
127,651
15,240
9,139
1,543
7,075
1,311
1,119
3,816
3,848
3,993
1,780
7,149
7,423
4,612
107,295
84,142
22,917
18,492
29,285
7,284
9,649
20,677
9,940
11,226
22,662
19,695
28,552
10,989
395,191
a)
Includes proprietors.
Sources: United States Bureau of the Census, Census of Busi
ness, 1935, Insurance.
456
TABLE XIX
Occupational Distribution of Workers in Insurance Establish­
ments by Type of Insurance Office, New York State and the
United States, 1935
___ ____
Number Employed in New York State
Occupational
G-roup
Executives and
Salaried Cor­
poration Of­
ficers
Office and
Clerical Em­
ployees
Direct Selling
Employees
Insurance
Carriers
(Home
Office)
Insurance
Carriers
(Branch
Offices)
Insurance
Agencies
Insurance
Agencies
and Real
Estate
1,341
271
1,613
691
39,028
11,249
8,228
2,719
368
11,095
2,413
873
All Other
Employees
Total Em­
ployees
Proprietors
4,360
1,190
180
357
45,097
---
23,805
---
12,434
2,806
4,640
1,826
Total Workers
in Industry
45,097
23,805
15,240
6,466
Number Employed in United States
Executives and
Salaried
Officers
11,032
2,983
6,226
4,482
124,593
53,765
37,563
18,643
13,621
63,295
28,064
8,359
7,608
127,651
---
1,216
73,069
1,428
32,914
Proprietors
10,999
160,245
---
34,226
20,844
Total Workers
160,245
127,651
107,295
53,758
Office and
Clerical
Employees
Direct Selling
Employees
All Other
Employees
Total Employees
Source: United States Bureau of the Census, Census of Business,
1935, Insurance.
457,
TABLE XX
Number of Employees in Year-Round Hotels In Leading Cities
of tbe United States With Per Cent of Total United
States in Each City
Cities
Active
Propri­
etors
United States
14,968
267,903
282,871
>100.00
35
480
240
225
48
105
44
220
431
5,992
20,949
6,395
41,874
5,015
4,866
5,176
5,787
1,950
6.027
21,429
6,635
42,099
5,063
4,971
5,220
6,007
2,381
2.13
7.58
2.35
14.88
1.79
1.76
1.85
2.12
.84
Boston
Chi cago
Detroit
New York
Philadelphia
St. Louis
Washington,. D.C,
Los Angeles
San Francisco
Average
Number of
Employees
Total
Workers
.
Per Cent
of Total
United
States
1933
United States
Boston
Chicago
Detroit
New York
Philadelphia
St. Louis
Washington, D.C.
33,684
190,183
223,867
100.00
36
379
211
232
121
151
60
3,922
16,099
4,455
24,255
3,292
3,754
4,553
3,958
16,478
4,666
24,487
3,413
3,905
4,613
1.77
7.36
2.08
10.94
1.52
1.74
2.06
234,573
4,947
16,956
4,910
36,752
4,145
4,414
4,937
5,953
6,396
259,064
4,961
17,271
5,035
36,893
4,229
4,520
4,975
6,617
6,892
100.00
1.91
6.67
1.94
14.24
1.63
' 1.74
1.74
2.55
2.66
1935
United States
Boston
Chicago
Detroit
New York
Philadelphia
St. Louis
Washington, D.C.
Los Angeles
San Francisco
24,573
14
315
125
141
84
106
38
664
496
Sources: United States Bureau of the Census; Fifteenth Cen­
sus of the United States (1930), Hotels, 1929.
Census of American Business, 1933, Services, Amusements,
and Hotels.
Census of Business, 1935, Hotels, p. 46.
458
TABLE XXI
Occupational Distribution of Employees in New York City
Gas Lighting Companies
Number of Employees
Year
Clerical
1909
1910
1912
191?
1920
1922
1925
1927
1929
1930
1931
1932
1,921
2,161
2,474
2,744
3,090
3,282
4,077
4,344
3,527
3,473
4,111
4,047
Managers
and super­
intendents
73
119
124
177
187
214
597
671
744
722
1,084
1,094
Tech­
nical
77
93
164
129
211
213
(a)
(a)
a)
(a)
(a)
(a)
Total Sal­ Wage
Total
Earners Employees
aried
Employees
2,071
2,373
2,762
3,050
3,488
3,709
4,674
5,015
4,271
4,195
5,195
5,141
6,390
7,377
8,237
6,631
7,604
9,392
9,969
10,729
9,530
10,266
10,295
9,547
8,461
9,750
10,999
9,681
11,092
13,101
14,643
15,744
13,801
14,461
15,490
14,688
Per Cent of Total Employees in Each Occupational Group
1909
1910
1912
1917
1920
192-2
1925
1927
1929
1930
1931
1932
a)
22.70
22.17
22.49
28.34
27.86
25.05
27.84
27.59
25.56
24.02
26.54
27.55
.86
1.22
1.13
1.83
1.69
1.63
4.08
4.26
5.39
4.99
7.00
7.45
.91
.95
1.49
1.33
1.90
1.63
(a)
(a)
(a)
(a)
(a)
(a)
24.48
24.34
25.11
31.51
31.45
28.31
31.92
31.85
30.95
29.01
33.54
35.00
75.52
75.66
74.89
68.49
68.55
71.69
68.08
68.15
69.05
70.99
66.46
65.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
Technical employees were not separately classified during
these years.
Source: New York State Public Service Commission, Second District
for New York, Annual Report 1909 to 1920.
New York State
Public Service Commission, Annual Report, 1922 to 1932.
459
TABLE XXII
Occupational Distribution of Employees in Street Railway
Comoanies, New York City, New York State and the
United States, 1902-1932
Number of Employees
New York City
Managers
Clerical
and Super­
and Office
Officials
intendents
Workers
Year
1890a
1902
1907
1912
1917
1922
1927
1932
a)
b)
c)
d)
476b
614
(c)
1,764
2,564
2,678
2,938
3,056
Wage
Earners
Total
Employee
(a)
18,555
20,627
(c)
36,073
41,697
35,472
37,237
33,967
19,031
21,241
34,113
37,984
44,398
38,296
40,276
37,076
147
136
146
101
53
New York and Brooklyn.
Includes Officials.
No data.
Included with Wage Earners.
New York State
1902
1907
1912
1917
1922
1927
1932
1902
1907
1912
1917
1922
1927
1932
897
1,476
188
170
136
231
33,192
46,001
34,413
47,878
4,479
3,605
3,655
3,318
221
223
207
173
263
561
453
409
56,471
49,529
47,990
41,124
61,434
53,918
52,305
45,024
United St ates
1,480
1,327
2,094
1,518
1,927
2,882
1,883
. 2,889
2,017
3,358
1,723
3,093
1,203
2,464
133,641
209,729
259,190
267,675
270,284
239,270
161,905
140,769
221,429
282,4-61
284,826
300,523
267,115
182,165
4,321
8,088
18,462
22,379
24,864
25,029
16,593
Sources: Statistics for New York State and the United States:
United States Bureau of the Census, Eleventh Census
(1890), Report on the Transportation Business in the
United States, v. I; Census of Electrical Industries,
Electric Railways, 1902, 1907, 1912, 1917, 1922, 192.7,
1932; New York City Statistics: New York State Transit
Commission, Seventeenth Annual Reoort for Calendar Year,
1937.
460
TABLE XXIII
Number of Persons Over Sixteen Years of Age Engaged In Gain­
ful Occupations Classified by General Divisions of Occupa­
tions, United States, 1870 to 1930
Service
Public
Clerical
Occupations
Mining
Professional
Service
Domestic and
Personal
Service
Trade and
Transportation
Manufacturing and
Mechanical Indus­
tries
Agriculture and
Allied Occupations
Year
Thousands Omitted
1930
10,242
13,790
9,963
5,448 3, 110
983 3,935
692
1920
10,524
12,425
7,360
3,605 2 ,203 1,083 2,952
642
1910
10,872
10,253
6,223
3,805 1 ,727
947 1,635
382
1900
9,802
7,537
4,445
2,726 1 ,196
576
781
260
1890
8,973
5,743
2,969
2,133
880
388
543
185
1880
7,830
4,033
1,741
1,437
543
252
330
107
1870
6,428
2,674
1,104
1,168
338
172
206
73
6.5 . 2.0
8.2
1.4
Per Cent Distribution
1930
21.3
28.6
20.7
11.3
1920
25.8
30.5
18.0
8.8
5.4
2.7
7.2
1.6
1910
30.3
28.6
17.4
10.6
4.8
2.6
4.6
1.1
1900
35.9
27.5
16.3
10.0
4.4
2.1
2.8
1.0
1890
41.2
26.3
13.6
9.7
4.0
1.0
2.5
.9
1880
48.1
24.8
10.7
8.8
3.3
1.6
2.0
.7
1870
52.8
22.0
9.1
9.S
2.7
1.5
1.7
.6
Source: Hurlin and Givens, Shifting Occupational Patterns,
Chapter VI in the President's Research Committee on
Social Trends, R ecent Social Trends in the United States.
NEW YORK U N I V E R S I T Y
SCHOOL OF EDUGATIO I
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