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The increase granted to Water Service Repairmen from $1.25 to #1.46 per hoar, effective March 1, 1950* was a reclassification based upon work performed. Prior to that date, the Water Servioe Helper assisted the Superintendent, whereas subsequently the Water Servioe Repairmen have charge of the labor gang, and pursuant to Sec. 2 (d) of the Regula­tion, such increase is excluded in calculating general in­creases. Insofar as our laborers are concerned, their duties in addition to excavating ditches include cutting pipe and preparing connection and assisting in making taps to water mains. The increase from #1.09 to #1.25 par hour granted March 1, 1950, was partly in recognition of the class of work performed and partly to reduce the disparity between rates paid our employes and rates paid by plumbers and,pipe line contractors to Helpers performing the same work as our em­ployes, and which rates are, as follows: Jan. 15. 1950 Oct. 1, 1950 # 1.50 per hour #1.75 per hour The helpers are now negotiating for an increase plus welfare fund payment of 8/i per hour similar to that granted Plumbers effective February 1 , 1951. It appears that the adjustment in rates of pay of Water Service Repairmen and Laborers m ay properly be excluded pursuant to Sec. 2 (d) in computing proposed increase, and in view of the understanding with these employes that they would be granted the same increase as Railroad employes, I recommend reconsideration of our request for 12— 1/ 2^ increase retroactive to February 1 , 1951. As in Mr. B ennett’s opinion application of 3-4/10i increase effective March 23» 1951 might prejudice an applica­tion for increases which we feel these employes are entitled to, we have deferred increasing wages 3—4 / 10p as authorized by your letter of March 23rd, 1951* There is another feature which I believe should be given consideration. Our mechanics and laborers are not organized, and, therefore, we have not been subjected to de­mands of the local trade unions. Agreements between local labor unions and plumber and pipe line contractors require the use of plumbers assisted b y apprentices or helpers in per­formance of the same class of work that is performed by our employes, and should our employes join the local unions, we would undoubtedly receive demand for union rates of pay.