The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1884-11-11
An Industrial Experiment in

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What we should Call q social science con-
gress was held, recently, at Blois, in France,
at which, among other things, some very in
teresting statements were made concerning
the experiments which have been tried to
promote the improvement of the material
and moral condition of workmen BY admit
ting them to participation IN the profits of
the business or manufacture which they
help to carry on. The first person to apply
this important principle in actual business
seems to have been the great Leclare, a
workman by birth and training, who bayirg
entered into business on his own sccount
with small capital saved from his earnings,
was inspired with the idea of using his lin
tied opportunities to put in practice thee
ry about which he had thought much. He
was, himself, but recently emaDcipated from
the dull and hopeless drudgery of journey
man, and could feel how much his new re-
sponsibility as master increased his energy
and with it the amount of work which he
could do in given time, and he resolved to
try whether the application of this stimulus
benefit of his men as well as himself Wild
as this sche me seemed to his friends Le-
claire carried 1t ont, on small scale at first,
but later on large one; and without, SO far
as he could see, any loss to himself, he sue
ceeded in improving greatly the material as
well as the moral condition of those whom
he employed, and left an example which is
every year more generally followed.
After Leclaire's first successful expert
l.
ID. Charles Robert, undertook to diffuse the
knowledge, and, if possible, the repetition of
it, in the industrial world, and it is perhaps
owing partly TO their exertons that about
eighty French man Rfacturers and contrac-
tors now deal with their workmen on this
principle, and within the last six years has
been established a society for the practical
study of the methods of participation by en-
ployes in the profits of business. Among the
enlightened employers who pursue this sys-
tenn is M. Chalk, the proprietor of re-
nowned Partisan printing Office, which main
tains twelve hundred workmen and keeps
more than a hundred presses in operation,
and the discussion of the subject at the con-
gress of Blois was slgnalized by the reading
of an admirable paper by him. Before
speaking of his own establishment, NJ.
Chalk remarked that many difficulties inter-
fered with the application of a system of
participation, the most serious OF these be-
ing, perhaps, the inability of workmen with
out capital to bear any share of the losses
which fall to the lot of most business men
so that it is necessary, in order to protect
the employer, who furnishes capital, from
the danger of gviog away all the profits in
good seasons, and bearing the burden of all
the losses in bad times, to arrange for re-
serving fund for contingencies. This is
easily done, and may prevent the to al col
lapse. in an unfavorable year, Of an expert
ment begun with entire success. The form of
participation is also unsettled, the practice of
different houses varying greatly. Some pay
over in cash to each workman his proper
tionate share of the profits at the end of each
year; while others pay nothing in cash, but
reinvest each mans profits in the business,
securing thus for him, without his control,
compound interest on his earnings.
The best course, NJ. Chalk thinks, lies be-
tween these two. As he well saws, although
the principal end of the participation is to
encourage habits of prudence, order, respon-
sibiliy and economy, it is not best TO push
benevolence TO ansterity; and the most sue.
cessful system is found TO be one in which
portion of each mans share of the profits is
paid over to him in cash at the end of the
year, to serve as an immediate reward for
the industry of the year, and as a stimulant
to renewed saving aud effort, while the rest
is invested in his name and for his benefit.
The dividend is paid annually, one-third in
cash, one-third as a credit on a reserve fund,
the whole of which can be drawn out when
the man leaves the Office, and the remaining
third as credit on a sort of approximation
and insurance fund. which can only be
drawn at The age of 60, or after 25 years of
service, or in case of death, when it is paid
over to the heirs of the deceased man.
Credits on both these reserved funds bear
| interest at the rate of per cent. per annum.
The average premium paid to the men in
the Chalk establishment for the last 12 wears
has been about II per cent. upon the amount
| of their wages, and the total sum paid TO
| them in this way during that time is S14O.-
| 600. In regard to the effect of the system
upon the workmen, NJ. Chalk saws that its
tendency to encourage economy and pru-
dence is shown by The fact that about one
half of the sum paid in cash every wear is at
once invested by the men in savings banks
| or in life insurance policies; and il is also
remarkable hat during the printers strike
| of 1878 only 90 men, out of the whole num-
ber employed quilted their places, and not
| one Of these vas participant in the profits.