The Lambertville record. [volume] (Lambertville, N.J.) 1872-1968, 1888-10-17
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THE GODIN FACTORY.
METHODS OF THE COOPERATIVE
ESTABLISHMENT AT LIEeE.

ESTABLISHMENT AT LlEGE.
A Peculiar scheme of Industrial Distribu-
tion-Division Betwsen Capital, Labor,
Talent and "Nature'--How the stock
Changes Hands-Resu1ts.
AS with his social palace, SO in his scheme
OF industrial distribution, n Godin's ideas
were colored by Fourierist recollections.
Before 1880 nj. Godin had merely set apart
certain SUMS, 900 or 210,000-out of the
profits of the year to be distributed among
his men as bonus; but in 1890 he converted
the business into a commandite company, and
introduced complicated system Of arrange
ments for realizing effectively Fouriers prin-
ciple of just division Of the produce of in
dustry, the division between capital, labor
and talent, according to the Importance OF
their several contributions. 1t is true he
thought this principle theoretically defective,
because talent was only particular kind OF
labor, ami because nature, which Fourier
wholly ignored, was, in Godjn's opinion, as
important contributor to production as any
ef the other three. Natures share in the di-
vision ought, he thought, to be appropriated
BY the state partly by means of the nation
alization of land for the purpose OF letting 1t
cut to all sorts of productive societies, and
partly by means of heavy graduated sue
eession duty; and the funds thus obtained
ought to be employed In establishing sys-
tenn of universal insurance against sickness,
accidents, age and vicissitudes generally.
But In the meantime, so long as the laws OF
private inheritance and private property in
land remained unmodifed, and the state
49, HAHN IN
natures share, Individual producers must
each set asiderthat share for themselves, and
consequently the first part in NJ Godin's an
nuai division is IS per cent. of the whole net
profits to reserve fund for purposes Of per-
sonal insurance. Ia passing may say that
besides this every workman Is obliged to pay
to that fund per cent. on his wages, that in
1888 the fund amounted to 100000 francs,
and in the three years 1t had existed at that
time more than $4,000 francs had been paid
out of it for sick relief and pensions on a
comfortable scale.
Next to natures deal comes the deal OF
talent or intelligence, and that also is Rxed
at % per cent. The director alone on. Godin
during his lifetime) got and gets u per cent.
of the profits, in addition to his salary of
1900 francs. In 1888 this 10 per cent.
amounted to more than four times his salary.
Half the profits going thus in equal shares to
nature and intelligence, the other half re-
manning to be divided between the factors,
capital and labor. Capital had already re-
ccived per cent. interest and labor had Of
course already received its weekly wages, all
before there was any calculation Of profit at
all, and M. Godin concluded that the proper
principle now was TO give capital a share of
the remaining half Of the profits in proper
ton to the amount of interest it received,
and labor in proportion to the wages 1t had
received In 1888 the total amount of interest
paid was $50, 900 francs on 1900, 900 francs Of
capital, and the total wages paid was !, 1856, GOO
francs, SO that of this remaining half of the
profits some nine-tenths go to the deal OF
labor.
NJ. Godin's scheme, however, by no means
ends here; his object was to make the em-
ployes in the final result owner of the
capital Of the business, and with this view he
decided that the laborer's share of the profits
should not be paid Immediately into their
hands, to be used at their discretion, but
should be applied TO buy for them shares in
tho business In this way the business is
gradually ftriifng into the hands Of the labor
ers engaged in 1t. In 1888 they already pos
sessed stock amounting 10 nearly two millions
OF francs, and though the capital has been
raised to 5000, 600 francs, it viii only tale a
few more years for it to DO acquired entirely
by the employees. Tho interest on the shares
they possess they receive like their wages, to
spend as they will.
M. Godin states, in his book on govern
ment, that the average amount Of indirect
taxation on articles Of consumption paid per
head In the familistere Of Guise is seventy
Eve francs, and turning to books Of statistics
we find that the average for France generally
is only thirty francs The people of the
familistere live, therefore, two and q half
times better than tho rest Of the French
Their working day is ten hours, and they
have besides common holidays, two special
fete days of their own every year-the Feast
Of Labor on the first Sunday in May and the
Feast Of Infancy on the FIRST Sunday in
September
The director, who at the head OF the whole
place, Is an autocrat in all business affairs
He Is elected-that is, since 1Ss0--but he is
elected for life, and his management is un-
controlled. He chooses the foremen and makes
the bargains. Next below him stand the
group that elect him, the associes, numbering
sixty-eight in 1888, who must have worked at
least FIVE years in the foundry, be men of
good education and stainless life and possess
not less than 500 francs of capital in the
business Their privileges are large like
their requirements. They elect themselves
by occupation, share In the profits on twice
their wages, can osly be expelled from the
association by vote Of two-thirds of their
own peers ttbe other associes), have the first
right to work when work is short and retire
on pension Of two-thirds of their wages or
salaries. After them come ninety-five So
cietaires, chosen by the manager and admin
istrative council, sharing the profits on one
and one-half times their wages, and getting a
pension on one-third of them; 573 partici-
pants, similarly chosen, and sharing ON their
simple wages only; 25S auxiliaires, WHO as
yet get no share IN the profits, except through
their interest in the insurance fund, and $50
interesses, who are allowed to retain stock
they have inherited, though they have no
further interest in the concern.
The stock, which is only being gradually
taken up year by year, must, when it is all
taken up, be again parted with in the same
way, the first shareholders being then obliged
to sell out their shares to the new corners.
During the interval tho shares may appar-
emily be held by widows or other persons not
in active employment, but at the end Of tho
term they must always return to the possess
sion Of actual laborers, and SO the way is
Enoothed for the retirement Of the older gem
Grafton and the accession OF the younger
Good Words
A New Fire Detector.
An ingenious method Of detecting q Gre in
its inactive stage, whereby better protection