The Black Hills union and western stock review. [volume] (Rapid City, S.D.) 1904-19??, 1909-01-01
LhDUn AND
CAPITAL
THE SUBJECT OF AN INTEREST
ING ARTICLE FROM THE PEN
OF ANDREW CARNEGIE.
PREDICTS THAT LABOR WILL
RISE HIGHER AND BECOME
SHARE HOLDER IN BUSINESS

New York, December 2S.- "In
the future, Labor is to rise still
higher. The joint stock form opens
the door to the participation of labor
as shareholder in every branch of
business. In this, the writer be-
lieves, lies the final and enduring So
luton of the labor question. Moth
ing can stand against the direct man
against the direct management of
owners. We are only pioneers
whose duty is to start the movement,
leaving to our successors its full and
free development as human society
advances"
These are striking statements
found in an article by Andrew Car
negie in the forthcoming January
number Of the Worlds Work made
public today. An editorial note
states that the article is taken from
Mr.. Carnegie's new book problems
Of Today" and that it is published
in the magazine "because of the re-
markable-it might be called even
acknowledgements he makes of
the continued improvement in the
position of labor till profit sharing
dtes its perfect work and the labor
CIR and the capitalist become the same
man,"
Mr.. Carnegie tells of the begin
n'ngs made by the Carnegie Steel
company many years ago, by max
ing from time to time forty odd
young partners, who paid for their
interest in the business by their
notes, payable only out of The profits
of the business. Great care, Mr..
Carnegie says, was taken to admit
workers of the mechanical depart
ment which had hitherto been ne
elected by employers. Speaking
further on of the combination of
many steel works into one United
States Steel Corporation he says that
the problem presented was not al
together new, ''for individual and
listed since joint stock companies
were formed. The former had un-
doubtedly great advantages over the
later. Able men managing their
own works, in competition with large
bodies of shareholders employing
salaried managers, were certain to
distance their corporate competito s.
and did so. Nothing can stand
against the direct management Of
owners"
Going on to speak of the expert
ment of the United States Steel Cor
poration in interesting it's officers
and employees in it's shares Mr.. Car
negie says that "every corporation
could we'll afford to sell shares to
its saving workmen giving prefer
ence in repayment at cost as first
charge in case Of disaster, just as
present laws provide first for the me-
chanic's lien and for homestead ex-
emption. This is due to the work.
ing man who necessarily buys the
shares without knowledge, and is
own advantage, but for the benefit
of the company as well-the advan-
tage Of both"
The writer points out that "just
as the mechanical world has changed
and improved, so the world of labor
has advanced from the slavery of
the laborer to the day of his abso-
lutte Independence, and now to this
day. when he begins to take his prop
er place as the capitalist-partner of
his employer We may look forward
with hope to the day when it shall
be the rule for the workman to be
partner with capital, the man of at
fairs giving his business experience
the working man in the mill his ms
chanical skill, to the company, both
owners of the shares and so fa1
equally interested in the success OF
their joint efforts, each indi:pens.
able, so that without their cooper.
alton success would be impos-' -le.'
Replying to the possible chorg'
of being over-sanguine, Mr.. Carnn
gle declares himself convinced tfa
1.-The huge combination, and eve:
the moderate corporation, has re
chance in competition with the pa".
nership. which embraces the princi
pal officials an dhas adopted the sys
TEN of payment by bonus or rewac;
throughout it's work. The latter ma,
be relied upon, as rule, to earl
handsome dividends in times Of lie
preston, during which the former
coducted on the old plan. will in cu
an act al loss. and perhaps land i
financial tmbarrd sment.
BY way of illustration, he cites th
case Of Filene Stores, of Boston
which he SAYS he's zone f7~+'ce
of all n the direction of ma
employees shareholders. The estat
lishment, he says, seven to nine hur
dred men, the capital stock is hel
by TIE employees, and is returne
to the corporation at its valu
should TIE emrloyee leave the Sc
vice. Every share of stock belols
to son one working in the tore
'Tne most important advance" sa1
Mr.. Carnegie sis that all question
az = 5,,si.saa TO arbftratinn y,
only complaints OF disputes. Il
wares. SCOPE of work, aud tenure