Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1903-01-01
Steel Trust Announces Plan by
Which It's Employees Will
Secure Stock
WORKERS TO SHARE IN PROFITS
Billion Dollar Combine Will Give All
Employees a Chance to Buy Shares
of the Trust at Low Fisures-cer-
tain Percentage of Earnings Will
Go to the Employers as Bonus.

!
cular, one to the stockholders and tn
other to the officers End employees. tn
| United States Steel Corporation an
nounces it's intention to inaugurate
system whereby the humblest workman
on it's rolls may, if he desires, become
permanent stakeholder and share in tn
profits of the corporation.
| The scheme is the result of months o
preparation by the finance committee o
the corporation, and the circulars ar
signed by George Perkins, chairman
| The plan is said to have originated witt
Mr. Perkins. The circular to TIL
stockholders points out the apparen
advantage Of the plan which was de-
from the president Of the steel cor
poration himself, to the man with thu
pick and shovel working for one of tn:
subsidiary companies"
The circular goes on to say at thi:
time there are about $4,000 stockhold.
ers. who, it is believed, would feel s
greater sense of security in the cor
poration's earning power If they knew
that officers and managers generally
We're willing to enter into a contract by
which part of their compensation fol
services rendered shall be paid only
after the realization of $4,000, 0Ot
profits. This represents interest or
bonds, dividends on stocks and reserve
for sinking funds.
The plan inviting officers and en-
.p!oyes to participate is divided into two
parts. Part one prescribes that from
the earnings of the corporation during
the year 1902 there will have been SET
aside at least s2,000,000 and as much
more as is needed for the purchase of al
least $4,000 shares of preferred stock
which will be Offered as follows to en-
p,oyes of the corporation and constitu-
#ent companies:
At present the corporation and sub
sidiary companies employ about 16S.00(
men, who it is proposed to divide into
these six classes:
Glass A will include all those who re-
ceive salaries Of $4,000 year or over
Glass r will include all those who re-
ceige salaries of from $4,000 to $4,000
q year.
Glass c will include all those who re-
ceiye salaries Of from $4,000 to 500 a
Year.
Glass D will include all those who re-
ceive salaries of from $4,000 to $4,000 a
yeac.
Glass E will include all those who re-
ceive salaries of from $500 to $4,000 a
year.
Glass F will include all those who re-
ceive salaries of $500 d year or less.
The preferred stock will be offered to
any employee during January at $500
per share. Its closing price today was
SS5.S7.
Employees can subscribe for an
amount of stock not exceeding the sum
by certain percentage of
their annual salaries as shown In this
table:
Glass b, per cent: class G. 10 per
cent: class D, - per cent; class f, Id
per cent; class r, 20 per cent.
In part two of the plan 1t is explain
ed that the corporation has been and is
now making changes in the salaries of
men occupying official or semi official
positions and the directors have ap-
proved these recommendations Of the
finance committee.
Whenever $S0,000,000 and less than
$50 ,OOO, 900 is earned during 1903 / per
cent shall be set aside.
Whenever S90,000,000 and less than
500, 100000 is earned during 1903, IL
per cent shall be set aside.
Whenever $100.OOO,0OO and less than
$110, 100000 is earned during 1903, Ia
per cent shall be set aside.
Whenever $110,OO0,000 and less than
$3.50, 100000 is earned during 1903, 1.6
per cent shall be set aside.
Whenever $120,000,000 and less than
$3.50, 100000 is earned during 1908, is
per cent shall be set aside.
Whenever si30,000,000 and less than
$40, 100000 is earned during 1903, 2
per cent shall be set aside.
Whenever $140,0G0,000 and less than
is earned during 1908,
per cent shall be set aside.
Whenever s15O,000,000 and less than
$3.50, 900 is earned during 1903, 2.5
per cent shall be set aside.
The question of what constitutes
profits is to be determined by the
dnance com,mittee, who, it is stated,
will have no interest in the profit-shar-
ng plan.
Each shareholder is to receive GER
.ifcate for his interest containing these
provisions:
First That If he remains continuous
y in the service of the corporation or
Of one or another of it's subsidiary COM
,anies for five years the stock shall be
delivered to him and he may do as he
likes with it.
Second That If he dies or becomes
otally or permanently disabled while
n the employ of the corporation or of
me or another of it's subsidiary colnpa-
lies the stock will be delivered to his
state or 10 him.
Third. That he can draw the divi-
lends declared on the stock while it is
leld for his account and he remains in
he employ of the corporation or of one
II another of its subsidiary empanies.
Fourth That If without previous con-
ent voluntarily he shall have quilted
he service of the corporation or of its
companies, he shall forfei
i'll right to this stock and in such case