Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1905-05-11
AN EXPERIMENT IN CORPORATION
STORES.
drank c. Partridge in the vermonter.)

STORES.
drank c. Partridge in the Vermonter.)
Aside from questions involving Inn
nediately the price OF wages and hours
Of labor, the corporation store. where
it exists. is one Of the most criticized
roints in the relations OF Industrial cor
porations with their employees. Such
criticism often ovc'looFs the distinction
between enterprises located in or near
large centers of population, and So hav.
lng no need of such stores. and those
isolated from, larg" cities or towns, III
the case of which they are often ne
tessity or great convenience 1t must
be admitted. however. that like many
W he, things in themselves necessary or
proper corporation stores are capable OF
abuse, and thac whether deserving 1t or
not they are more usually adversely crit
ici2cd. In view of these conditions. an
experiment begun by the Vermont Mar
lie Co.. in May, 1903 in connection with
it's corporation stores would perhaps be
rf interest to other corporations SINH
larry situated and to any Interested In
the problems involved in the relations
between employers and their employees.
'rhe Vermont Marble Co. has at its
uuarries and works i'll Vermont about
twenty-five hlndreG employees. It's
business Is scattered over a consider
able district in Rutland county. VT.
and requires some fifteen miles of rail
road to connect its different nuatries,
mills and shops. It's princlpal works in
! tho order OF their Importance are located
| at Proctor. West Rutland and Center
Rrtland. Proctor. the headquarters OF
| the business, is Il village of about 900
! hundred people. It Is isolated from any
cihcr town OF considerable size, and is
lstirctivolv Il ono industry town-de-
pendent enough upon that industry so
! that it has never been fslt that out
side capital tc tho extent required for
| a large first class store WoIld bc like
| ~ to he attracted. The company has
always believed and still believes that
! from 'he nature Ut the case it ought
to maintain in that village a fifst-claas
stove for the accommodation Of its EN-
plnyees. anL that situated as that viii
layc is. it's people would not h. PROV dcd
with the variety and quality OF goods
which they ought to have nor at econom-
icul prices except through me instru-
mentality of a store such as the COM
Iany with it's capital and facilities is
able to maintain. Al Center Rutland
there rs no other store except shat main
tanned by the company. h1t there is an
electric road into Futlar3 situated a
mile and a half away. At West Rut-
land there is not other store in the im-
, mediate vicinity of the Quarries. but
there arc several. none OF them large.
in the small village little way distant.
The necessity for the company t, main
tam stores ut Center Rutland and West
Rutland is less than at Proctor. but it
haa always felt that it vas rendering
its employees at both thos, places a real
service by ma rtaning them. While
the Proctor stor' which is larger than
tho othe, two combncd s necessity.
the latter are At least convenience.
Although these stores dld not escape
their share of criticism from outside
against all corporation stores. they
We're. as conducted very sitisfHctory 10
the conpany's employee and any pro-
position to abolish them would have
been equally unsatisfactory For many
years they have boon run at as low a
margin If profit as safe business would
warrany. In 1902 on q business almost
rs large as they had ever done until
then. the per cent. Of profit to the com
pany on their entire sales for the year
WAS only SO per cent. They endeavor,d
; TO make IL speciality of staple goods and
necessities and in some cases through
the facilities of the company were able
10 make a marked Reduction from the
regular price. For example. fO- years
the employees Of the company have had
coal delivered at their houses by these
stores at fror, so to Is per cents. pei
ton cheaper than it was sold in the
, nighborng city of Rutland or could
, be boug4l. anywhere in the vicinity. This
, was accomplished by the company
, buying the same in connection With its
coal FOR commercial uses and being
, willing tn forego the profit upon it.
About two years ago Herr Krupp, tho
, head of the great krupp company il
Germany died, and at that time in one
, OF the articles descriptive of the indus
, trial betterment features of the krupI
business mention VAS made Of the divi
sion of the profits Of its stores among
; its employees. This came to the atten
ton of the management of the Vernon
, Marble Co., and that company. upor
lines which II devised to fit sits owl
case. began May I, 1905 the experiment
in question. At that time the compan.
announced that it proposed to Ovid,
among its employees according t
their trade at each store the entire por
fit. Of that store. The management o
Il the store was continued in the hands o
- the company. 4 representative commit
!. tee. however. OF five employees was ap
pointed for each of the stores to TAX,
= consultative part in its E.anacemcn
- and particularly to supervise and au
: lit the settlement of it's business an,
> the distribution % It's profits at tine en-,
) of the year. These committees an
y from time to time consulted and sug
= Ecstions are sought from them as &
u changes or improvements which woul
y help tho service but the real rcsponsi
bility for the management Of the store
=" has continued as before in the company
', which advances all Of the money requr
y cd for their business and through it
h. exc cutive officers directs their genera
" policy. The purpose has been to conti,
" ue to keep the prices of the stores a
:. low as possible and assure reasona bl
:. margin OF profit.
y The total sales for the first eigh
" months. that is from May I. 1873.