The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1868-03-21
[coNcLuDEp.l

low.
[coNcIUDED.
have taken hitherto the most elementary
instance Of the operationl pIopose-that Of
> trade society individually guaranteeing Abe
credit u It's own members, with without
other workers, as intending ,co-operators
Butt would be the most hazardous and
least eficacious mode Of carving out the
ioea. It would throw The whole risk Of every
g-srantee given upon single society. 1t
%0uii, in many cases, probably meet with
serious obstacles in the opposition which
the direct action II the trade society would
evoke amongst tho employers in the trade.
II has, therefore, seemed to me from the
first that The most favorable field for trying
he experiment would be one Of those IN
dcrtakings ia which the combined action Of
several trades is required to give a single
whole-as house building, ship-buildipg,
81. In both he instances I have menEoned1
We may find a group Of strong trade
societies, TO whom collectively the risk
Of guaranteeing single cooperative under
taking would be enthusiastically small. Let
" surpege a group II buiding operatives
associated Together, with funds enough to
maintain themselves Tor = few months, and
with she chance OF contract they can
show thgmSely Is capable Ct carrying it out.
They want timber, bricks, states, stones
plaster, paint, and few trifes besides 10
ali probability some tools beyond such stock
as they individually possess in other words,
credit rith the timber merchant, brick mer.
chant, slate merchant, &c. They want
probably, besides, some extra capital 10 pay
Tor filis Q, that item Of labor which happens
D.: to be represented in their body. And
they want surety or suTetles for their con
tract. Nog, Say that, supposinE they are
hn0wn to be capable and trustworthy, aud
the contract TO be decent and profitable
one. their various trade societies can alone
SUP lly them with ali they want-credit with
tbs L. srchants for all materials; credit with
bank Tor the extra capital, sureties for the
contract, which the societies should then re-
tain Is security. And when once she socie-
ues baTa agreed amongst themselves as to
the Limits VI their respective guarantees, The
thing may be done 50 as to save all scruples
10 tho merchant, vi" might perhaps feel
bound III honor to other customers not to
deal directly With officials Of trade societies
Il their own business, By the simple process
VI an interchange OF guarantees-the slater's
trade society, Tor instance, guaranteeing the
timber credit, with = private c0unter-guar-
autee from tue carpenters society, &c., &c.
The duration Gt az the guarantees, except
tnat of the contract, should be limited to the
perio- when me FIRST payments on acc ount
VIII IN be made If in any CO ses re-
newed after thai period, trts would be mat.
ter Ut special arrangement. On this footing,
suPposlDg tie employer So 7A'4A-, i is nert
10 impossible that arrJ ToSS should be s1s-
taineu on Tue sfedit guarantees, since = is
almost inYauabiy in the latter stages OF Tie
execution Of contract that loss Is ascer-
tanned. The least safe guarantee would be
the suretyship for the contract, which, in
deed, the trade societies might perhaps pru-
IDENTITY decline IN the beginning Of the exper
lmeEt; but here, also, what an enormous
advantage the guaranteeing trade societies
would have over any other guarantorl How
many ways would be, open TO them Of ma
king contract profitable to the cooper
torsS 1t is hardly too much 70 say that II
must be their own fault if the work should
result in loss to the builders There is, in
deed, The possibility that the other party to
the contTact.he person for whom the house
IS built-should not D. able to fulfil his en-
gagements. But this is seldom cause of loss
70 tie builder, " no has his lien for materials
anu WUkhlnAASitps OOnAt OuC EiSC Is uk uAl-
iy found 70 take over the contract. With
little boldness, the societies might often find
it to their benefit to take 1t themselves.
But let Us suppose that among the asso-
oiated building cperattses there are some
whose trade societies absolutely rtfuse-or,
feeling crippled by some receng contest, de-
C-ine-to take part in the operation. Need
this really be bindrance 10 our CO. opera
tors il other societies are willing 10 do so
Even Il their trade societies refuse TO epen
thcir purses, they VIII not surely refuse to
give 1hem, il really worthy, such recomnen-
dalton and moral support as they can and
then the operation becomes almost as safe q
one, il undertaken by a different society, as
if undertaken BY their own; or at all events
the mar yin OF extra risk may easily BE COW
ored by trihDg extra premium. There il
nothing, then, to pre- ut any rich and ac-
tiSe-ninded society Fl, / stepping in 10 fill
the void. Grsntg Of money from one society
to another, as we know, are Of every day oc-
culfsnee in times Of trade contests. How
much easier would it be for one society to
share for proportion in the necessary guar
antoes for some profitable undertaking, req
ceiF.Hg premium for the use Of its credit. !
But once admit that the business Of guar !
anteeing cooperating undertakings might beY
safely and pEohtablg entered upon, not only
by Inc trade societies directly concerned M
The respective undertakings, but by other Il
and il VII be seen, think, thai ne eventual /
form which such business should assulae
would be that Of underwriting, AZ practised |
~ LiCydS IN respect of marine Insurance I
The Subscribers at Loydis rooms 40 No,
loTm Jointly responsible association. excent /
Tor Ihs very limited purpose Of their g1bscrit-
lions, Tue business Of underwriting il car.
red on by each Of them on his Own accoont.
with his own capital, large or small. There
is a minimum, but no maximum, limit Of in |.
dividual insurance. When a policy istaken
lnto the room for underwriting, every one IA
Tree 70 take or refuse share of the risk. TO
Tx bis own share at or above the minimum.
ii ne WINS on the Venture or loses, he wins
or loses to himself in proportion to the risk
accepted and the premium fixed. And I'M
der these conditions, it has been found by
long experience that underwriting is a
perfectly safe business which fathers Of fam
lies may prudtnuy engage in that no man
need yer lose who keeps a due proportiop-s
between his ctnital and his risks, and steers
lear o. inc Ugh premiums which make
ortunes or mar them, but which only mean
increased hazard toNthe insurer.
Now, II is Just on such system that I
,hould like to see trade societies associxte +
ogether for promoting cooperative p,oduc-
ion by the guarantee Of cooperative ASSOC
retaining its own distfnct IN
lividuality, its own funds, its own ooudi, y
ians, lit choose, Of gnarzptee, but appor. ,
ioRing al sEislEs, exaeRt ths most hifing