The labor world. [volume] (Duluth, Minn.) 1896-current, 1908-01-18
SECRETARY TAFT'S VIEWS ONTHf
SUBJECT OF CAPITAL A(D lAboP
Declares That Great Aggregaons Wealth Properly Employed
Widened the Field of Labor and Were @ Be Welcomed
Only the Improper Use Was 10 BE- Condemned
Thoughtful and Intelligent Labor NJ Feeling of Hostility
toward Combinations of Capital Engaged in Lawful Bus
mess Methods for the Common Good

toward Combinations of Ca
mess Methods for
NEW YORK, Jan. 15.-The,7 secre-
tary of war must have prepared his
address at Coopers' Union, with a de-
termination to modify his former atti-
tude towards labor. He said in part:
Labor Needs Capital.
Labor needs capital to secure the
best production" said Mr. Taft, "w.aile
capital needs labor in producing any
Fthing. The share of each laborer in
the joint product .4s affected not ex-
actly, but in a general way, by the
amount of capital in use as compared
with the number Of those who labor.
The more capital in use, the more
work there is to do, and the more
laborers are needed. Manifestly, it is
in the direct interest of labor that cap
ital shall increase rather than the
number OF those who work. Nothing
is so likely to make wealth idle as
insecurity Of invested capital and
property. It follows, as a necessary
conclusion that to destroy the. guaran-
the interest of the workingman.y
'"The las two generations have wit
messed a marvellous development, it
has been effected by the assembly and
enforced cooperation Of simple ele-
ments that previously had been sepa-
rately used. The organization of pow
erful machines or Of delicate devices
by which the producing power of one
man was increased so to 100-fold, was
however, not the only step in this
great progress. Within the limits of
efficient administration the larger the
amount to be produced at one time
and under the management, the less
| the expense per unit.
"The laboring man should be the
last to object to the rapid accumula-
| VINO use it for the reproduction OF
capital
Organization 10 Beneficial.
Arguing that the effect Of organized
labor has been beneficial in securing
better terms for the whole working
community and brought about an anne
| lioratio of the conditions of the la
borers in another way. Secretary
Taft declared that the attention given
by labor un1bns to remedial legislation
has been Of more direct interest than
| even that, of philanthropists.
s. 8 ii I sas, I ~
tinued, "is that the organization 81 la
bor-the labor union-is a permanent
condition In the Industrial world. It
hase come to stay. If the employer
would consult his own interests he
must admit this and act on it. Under
existing conditions the blindest course
| that an employer Of labor can pursue
is to decline to recognize labor unions
as the controlling influence in the labor
| market and to insist upon dealing only
| with his particular employees.
''Tne time has passed in which that
attitude can be assumed with any hope
| of successfully maintaining 1t. What
| the wise manager of a corporate en-
terprise employing large number of
! laborers will do is to receive the lead
ers Of labor unions with courtesy and
respect and listen to their claims and
arguments as they would to the man.
ayers of any other corporate enter-
prise with whom they were to make
an important contract affecting the
business between them. At times
some leaders are intoxicated with the
immediate power that they exercise in
representing thousands of their fellow
workers, and are weak enough to ex-
hibit a spirit Of arrogance. Dealing
with them is trying to the patience OF
the employer. So, too, propositions
from labor unions sometimes are SO
! exorbitant in respect to the terms OF
employment as literally to deprive the
manager Of the control which he ouEht
to retain over the laborers employed
in his business. This is to be expected
in Y comparatively new movement, and
is not to be made a ground for con-
| demning it.
ION the other hand, the arrogance
Is not confined to one side. We all 81
us know that there are number o1
employers who have the spirit Of in
tolerance and sense Of power because
of their immediate resources, and thai
their attitude is, neither conciliatory
nor likely to lead to any adjustment
Of difference. The wise among the
employers Of labor and the labor lead
ers are those who discard all appear
ance of temper or sense Of power and
= attempt by courteous and calm dis
cussion to reach common ground
Believes in Arbitration.
On the subject Of arbitration hi
argues for the adjustment of labor
differences by submission to an impair
tialtribunal and agreement to abide by
it's judgment, and in this connection
commended the Massachusetts plan.'
This method, he declared, had practi.
cally been adopted by Presiden
Roosevelt and had shown substantial
and practical results. That is pro
vision Of law by which an impartia
tribunal shall investigate all tae condi
tions surrounding the dispute, talk,
sworn evidence, draft a conclusion /,
4 ~ -.