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was set up, equalling $145,729.33, to meet any extraordinary catastrophe or emergency. The fund earned a surplus of $400,314.22 and paid dividends to its policy holders, amounting to $347,541.45. The average dividend in the various groups for the first policy period ending December 31st, 1914, was 14.8%, whereas the average dividend for the next policy period was 15%, and for the third policy period ending December 31st, 1915, 16%. Thus, then, insurers in the State Fund have not only benefited by rates that are on the average 20% below the manual rates of the stock and mutual companies, but they have received in addition, substantial dividends, which, when credited upon the premiums for the next policy period, result in very materially reducing the cost of insurance.

BUREAU OF MEDIATION AND ARBITRATION

During the year this bureau was under the control of Third Deputy Commissioner William C. Rogers. At the time of writing, however, the bureau is under the supervision of Mr. Frank Bret Thorn of Buffalo.

Excellent work has been accomplished in the way of settling strikes, as well as by effecting agreements before strikes were called. The report of the bureau appended hereto gives the detail of strikes and labor difficulties in which the Department has been of service.

BUREAU OF STATISTICS AND INFORMATION

The former Workmen's Compensation Commission, realizing the great need of accurate statistical data relating to industrial. accidents and their compensation was preparing to undertake statistical studies on a large scale. This would have meant a statistical bureau to do work similar to that being done by the statistical bureau of the Labor Department, and would have resulted in a very substantial increase in the cost of the operation of the Commission. Through the consolidation of the two departments, the Bureau of Statistics of the Labor Department was enabled to take over the statistical analysis of industrial accidents and compensation cost.

Aside from the great practical value of such information to all concerned in this state, New York, because of its leading position among industrial states, has the opportunity to provide some of the most important accident statistics in the country. Of the work of the Bureau of Statistics and Information that in this field is clearly of the very first importance.

OFFICIAL BULLETIN

In order to disseminate information relative to the activities of the Department, as well as other information, and to publish notices required by law to be published, the Commission established the "Bulletin " which is issued monthly for free distribution. As editor of the Official Bulletin, the Commission appointed Willard A. Marakle of Rochester.

In addition to the matters required by law to be published, it has been the aim of the Department to publish from time to time, through this medium, articles with regard to the operation of the various bureaus and divisions of the Department. A very valuable feature of the Bulletin is the publication of the written opinions of the Commission in compensation cases. These opinions are not only in great demand by insurance companies and large employers of this state, but there is an increasing demand from all states in the Union for them.

The Commission has endeavored to have the Bulletin entered as second-class mail matter by the U. S. postal authorities. Unfortunately it has been unable to accomplish such a result. The Federal laws permit the entry of Bulletins of State Health Departments, Departments of Education and Agricultural Departments as second-class mail matter. There is no provision, however, permitting the entry of such publications by Departments of Labor or Industry. The Commission is now endeavoring, in co-operation with the labor departments of other states, to have such a law enacted by Congress. The extension of second-class mail privileges to the "Bulletin" would result in a very substantial saving to the state in the cost of postage.

BUREAU OF EMPLOYMENT

The Employment Bureau is a new activity in the State of New York. There has been much controversy as to whether the problem of unemployment is a state or a municipal problem. It seems to be generally recognized at the present time that unemployment is as much a state problem as is education. The first State Employment Office was opened in Brooklyn in 1914. Other offices have been established in Albany, Syracuse, Rochester and Buffalo. These offices are doing splendid work.

The report of the Director of the Bureau of Public Employment which is submitted herewith is worthy of the careful study of any one interested in the subject.

The principal thought in the management of the bureau has been not only to bring the jobless and the job together, but to bring to the job the person who is looking for that particular kind of a job and is qualified to fill it. It has been necessary to convince employers of labor that the bureau can supply them with the kind of employees they want and who can give satisfaction. By learning in detail just the kind of an employee an employer wants, it has been possible to furnish from lists of those registered for employment, an employee who can satisfactorily fill the place. In this way the employee is satisfied, the employer is well pleased and the bureau has rendered a real service to both.

There is an increasing demand for the establishment of additional employment offices, both in the large cities and in farming communities, for the handling of skilled employees and farm labor. The Commission has been unable to meet these demands because of the lack of sufficient appropriations. As time goes on, however, the demand will become increasingly great and will be so insistent that the state should recognize the necessity of providing suitable appropriations for the establishment of additional offices.

BUREAU OF INDUSTRIES AND IMMIGRATION

While it is true that immigration has fallen off to a point where it has become almost negligible at the Port of New York, due to the European war, yet the Bureau of Industries and Immigration has completed a very successful and busy year. The somewhat prevalent notion that this bureau has to deal only with incoming aliens has been disproved by the activities of the bureau.

The bureau is responsible for the oversight of living as well as working conditions of aliens resident in this state. The inspections of temporary labor camps, including living accommodations at the canneries in summer months, investigations of complaints of extortion, frauds, wage difficulties and various other conditions have kept the bureau usefully occupied. Immigrant lodging houses also have been inspected and licensed.

The bureau has had under investigation for a long period of time conditions on the docks with regard to orders for railroad tickets, bought abroad and exchanged for railroad tickets on the docks. Certain practices there in force were brought to the attention of the Interstate Commerce Commission, and it is confidently expected that the vigorous action of the Bureau will result at least in vastly improving the conditions on the docks in respect to such transportation orders.

The report of the Chief Investigator of the bureau is submitted herewith and refers in detail to the activities of the bureau.

BUREAU OF FIRE HAZARDS, BOILERS AND EXPLOSIVES

The Legislature of 1915 abolished the office of State Fire Marshal, and by amendments to the Labor Law placed in the Department of Labor the functions of inspecting steam boilers in factories in the state, except in certain cities where other provision for such inspection is made by local laws or ordinances, and also the inspection and licensing of magazines for the storage of explosives.

This bureau was organized by the Industrial Commission by the appointment of George A. O'Rourke as Chief Engineer, Mr. O'Rourke having held a similar position in the Fire Marshal's office. Some ten boiler inspectors were also appointed, several of whom had served under the Fire Marshal. Funds have been insufficient to man the bureau sufficiently to cover the entire state. Good progress, however, has marked the work of the bureau. This bureau is practically self-sustaining; the fees received for boiler inspections and certificates of compliance issued for explosive magazines and turned into the State Treasury are equal to the cost of maintenance of the bureau. The bureau, between the time of its organization in June, 1915, and September 30th, turned into the state the sum of $6,840, of which

$5,185 was received for certificates of compliance issued for explosive magazines, and $1,655 for certificates of boiler inspection.

BUREAU OF INDUSTRIAL CODE

The act creating this Commission and abolishing the old Industrial Board, placed upon this Commission the obligation to continue the work of extending the Industrial Code, and revising it to meet changing conditions. Power was also conferred upon the Commission to vary the terms of the law or of the Industrial Code to meet a particular situation if a strict application of the law or code should work unnecessary hardship or there should be practical difficulties in the way. Such variation, however, should only be made if the spirit of the law or code were observed and public safety secured.

In order to carry out the vastly important work of code making and of properly considering applications for variations, the Commission organized a Bureau of Industrial Code with two deputy commissioners in charge. These deputies have made a large number of inspections of factories with a view to making recommendations as to variations, held hearings on the more routine cases, and reported their findings or conclusions to the Commission.

The Industrial Code deputies were provisionally appointed on July 16th, 1915. An open competitive examination for the position has been held by the Civil Service Commission. In view of the fact that up to the close of the fiscal year the eligible list had not been established and since it could not be ascertained whether the provisional deputies would pass sufficiently high to permit their permanent appointment, the work of formulating additions or amendments to the industrial code could not well be undertaken. The process of making such rules and regulations is slow and the work must be done with care and discrimination. Since the close of the fiscal year, however, the eligible list for deputy commissioner has been established and the provisional appointments of Deputy Commissioners Cullen and Eipper have been made permanent. With the permanent organization of the bureau it is expected that the great constructive work of the Commission along the lines of a wise and equitable industrial code will be taken up vigorously.

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