Workmen's advocate. (New Haven, Conn.) 1883-1891, 1888-08-11
LAB0R'S SURPLUS.
" SAVED" BY THE BOSS FOR
HIS RAINY DAY,
A Little Argument for Wage Work
ers - Brain Work Amply Re
warded by the Owner of
the Brain-labOr's
Capital Gone.

one OF the most ancient and ven
cradle arguments advanced in sup
port and justification of the wages
system is that in times of depression,
because of the inability of the work
crs to advance the means necessary
to tide them over till the return of
commercial prosperity, capital, that
is, the employing class, advances
what is necessary; or to put it in
another way, they furnish present
work and present pay and wait till
the return of prosperity to recoup
themselves. This is, on the face Of
it, somewhat plausible, for it fre-
quently does happen that a manufac-
turer keeps on making goods, though
there is no present market. 1t was
the observation of this fact that gave
rise to what is known as the wage
fund theory which Mr.. George com
bats in his third chapter Of " Prog
ress and Poverty" 1t is not our
purpose to here elaborately discuss
this question, but we will give the
facts of case which actually took
place some years ago in Ottawa, the
narration of which would seem to
supply an answer to the wage fund
theory.
One of Ottawa's great lumber
kings, whom we will call B, met n
gentlemanlwhom we will call Mr.. d,
on the train one day, and said to
him that as he knew that he, d, had
q good deal of influence with the
workmen at his, BIS, mill, he would
ike his assistance to show the men
that a reduction in wages which he
contemplated was not only justified
by the state Of the trade, but that it
was really in the true interests of the
men themselves.
He put the case thus: 81 have, "
said he, ga very large stock of lum-
Der on hand, and there is absolutely
no demand. | don't like to discharge
any of my men, some Of whom have
been with me ever since | com
menced business. Yet | can't afford
to keep my mill running piling up
unstable stock, and pay the wages
| am paying. Now, if the men will
consent to a reduction sufficient to
enable me to pay the interest on the
capital | must sink, | will keep the
mill running until the market i'm
proves. But, really, they can't ex-
pect me to sink money and pay in
terest merely to keep them in en-
ployment.
d said he certainly made out a
much stronger case than was usually
put forward as an excuse for reduc-
ing wages; but" he said, 81 would
like you to answer me few ques-
tons before consent to speak to
your men. You have been in bust
ness now about twenty years, have
you not? ?"
eyes" B replied, somewhere
about that time"
"And," added d, you are re-
puted to be worth about a million
and a half. Is that about right"
Well, yes; perhaps a little less
than that"
d" You came to Canada, | believe, "
said d, "poor, and began life as a
clerk at a small salary, and after a
time you rented mill, getting a
little assistance in the way of money
from some friends. Am | right"
" Yes-quite right. Some friends
advanced me two thousand dollars,
and that was the foundation of my
fortune. But | don't see what you
are driving at.
"Wait a little" said d, "and
you'll see presently. Besides your
very satisfactory bank account you
own your mills and some eight or
ten valuable water lots. Am |
right"
eyes, but don't quite see"
Pardon me; Just a question a
two MORE" said d. "You own