The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1914-07-16
Cooperation Between Capital
and Labor
Engineering and Mining Journal

IN spite Of the never ending war
fare between employer and employee,
the interests of the two parties are in
the main Identical. They may contest
about the division of the returns of
their industry but to get any returns
aether. This must be in the process
of being made evident by the develop.
ments in the railway situation. The
railways have aeen repeatedly obliged
to grant increased wages and more
over to employ extra men, not really
needed This has reduced the rail-
way net earnings; in some cases near
ly to zero. The railways have sought
to raise their returns by raising freight
rates, but have been unable SO far to
O.. so, the Interstate commerce COM
mission, representing the public, hay
ing stood in the way. In the mean
While, the railways have been reduc-
ing expenses by reducing service. The
wall Street Journal has reported that
"a railways operating about 10000
miles OF road are now employing about
10000 fewer men than at the same
time in 1913. If the remaining roads
have reduced in the same proportion
the total reduction would De 100000
men, but probably it is less than that,
some Of the prosperous great western
lines not having been included in the
returns.
However, there has been unquestion-
ably great liquidation of labor, not
only in transportation. but also in min
ing and manufacturing. OF what avail
is it to- organized labor, especially the
railway men, to win increased wages
or employment for unnecessary men
and then lose their jobs or be put on
part time?
In a recent article in Engineering
Magazine Doctor Douglas dwelled up
on the destructiveness of the labor
movement as heretofore conducted and
with his philosophie perception pointed
out whittier it is leading us, and urged
a better recognition of things as they
are and must be; and a better atten-
ton to the principles of cooperation
Among other things he said:
But it should be possible to devise
a scheme by which capital and labor
would cooperate to the mutual benefi
of both. Consolidated capital, applied
to industrial operations, receives pro-
fitable return only when correct bust
ness methods are employed, and as {
rule individual manufacturing or trad
ing concerns are successful financial.
because they are engineered by som
single head of consummate ability. ii
is often a man who has risen from IA
ranks. but when rising he passes on
of the workingman's class into IL
capitalstic class, and does not carr
his fellow workingmen with him. Thl
is not necessarily because he lack
sympathy with his fellows, but becdus
no adequate machinery exists 70
throwing the forces of labor and cap
ital into the same channel. Profit
sharing has been tried and is possibl
in communities Of settled population
where the shop or the mill or the mine
and the men who own it and operat
it, reside in the locality permanent
from generation to generation. 1t
difficult to- apply it to our shifting IN
dustries and industrial population
But surely some other method or mu
tual participation in the common wei
fare might be devised. For instance
If labor unions were Incorporated, ant
their leaders were made ansWeraDl
for the administration of their funds
and the surplus funds were used TO
. investing primarily in the securities o
the identical enterprises in which tn
men were themselves working, th
men would thus become Joint owners
in the company. The amount that
single workman could invest woul'
be so small as to give him indiViiual
" an insignificant Influence; but IN
accumulated investment of nuinbe
Of men. handled through proxies o
Otherwise, as a single unit, might car
~ commanding voting power, AM
be great enough to secure representa-
ton on the board. Should that nap
pen, the influence of q highly intelh
gent workman, more intimately II
touch with the technical operation
of the company than the average al
rector. would be at once felt AM
would command respect.
"Whila not overlooking the Gus
oualifica ton under which the work
, man labors to improve his condltlo
materially, or disparaging for a mo
ment the excellent intentions and IN
beneficent results of private phllan
thropy and legitimate legislation, tn
fact is nevertheless patent that mel
Their the private nor the public FRIEND
of the working classes urge upon thel
the practice Of the virtue OF tempe
ance and prudence in their modes