Daily capital journal. (Salem, Oregon) 1903-1919, 1905-07-11
BRIBERY OF
EMPLOYEES

The reports Of all the chambers of
commerce in Germany refer to the
widespread evil of the bribery Of em-
ployes, and legislation to stop the
practice is invoked. Consul l-General
Guentber Of Frankfort writes Of the
movement as follows. He says;
"of bate manufacturers and indus
triad concerns have 30 loudly and fro
quently complained of the bribery of
their employees that we have become
convinced that IL is hight time to re-
sort to the last means-legislative 40
tion. We, therefore, most respectful
ly pray that the imperial ministry sec
TO IL that the act on unfair competi-
tion be amended by adding a clause
making II a penal offense for any one
to bribe the employees Of other firms
by the offer or gift Of money or pres
ents, directly or indirectly, or TO ac-
cept such bribes.
A bribery case Of this kind was tried
before court in Zwickau, Saxony, in
1908, in which the accused stated in his
defense that the practice Of bribing
employees was quite an ordinary busi.
ness method. Nowadays IL is not pos
sible for a manufactures 10 attend in
person 10 all purchases Of raw mate
rails, machine fittings and supplies @
quired for his factory. He cannot con
troll how they are TO be applied and
used, but must, TO large measure, In
trust the matter TO various employees,
on whose Judgment or decision he re-
lies. The business and the success Of
the firm depend largely upon tho tech
nical and moral qualifications Of the
employees charged with this trust.
persons furnishing supplies com
pete with each other by bribing en-
ployes TO obtain contracts or orders,
and this system has become a fixed
condition. Some employees receive
presents of goods or money! others
are paid a percentage on the amount
of the supplies delivered TO their
firms, and the receipts from this dis
honest source am unit to considerable
sums. Ordinary foremen derive as
much as several thousand marks annu-
ally from this side income. This usage
has become so common that supply
agents advertise in the newspapers
holding out brides, and the employees
do not deem il wrong to accept pres
ents or percentages. When the SUI
pervision is close in the office or fac
tory, the negotiations and arrange
ments are carried on at the employees
homes.
"In order 10 introduce the supplies
of the favored and bribing establish
ment employees oftentimes do not
shrink from resorting to criminal ae-
tion, and apply deleterious stuffs TO
other goods so as to lamage them or
make them inferior, waste the mate
rials, or knowingly order supplies dan
gerous to those working them up.
These machinations are used to crowd
out goods on which raseally employees
have not received bribes and to give
for selling supplies from
a house which pays tribute. This
abuse prevails in department stores
and large retailing establishments. IL
is also an open secret that in the
awarding Of public contracts frequent
" those firms are successful which
have secured the aid Of corrupt Off
sials by bribing them. All preeau-
lions and efforts heretofore taken TO
stop this demOralizing practice have
proved unaVailing. The only hope left
Is that legislation with severe penalties
viii have a deterring influence"