The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-01-20
WAGES AND WORKERS.
Another Criticism OF Q Famous Plan OF
Profit Sharing,

To THE EDITOR OF THE SuS-Str: Is
II OF benefit TO workers generally that the
Ford employees get At least IS a day?
Without doubt all who usually profess
10 speak for labor will say that the work
ora generally will benefit. because there
will he a tendency to increase wages IN
other factories. II wages were increased
generally there would be no benef. to
the Ford workers. As each additional
factory advances wages the Ford en-
p,oy"es lose so much of the benefit Of
the Increase In their pay. The Ford
workers are benefited because they re-
ceive relatively more than others
But out OF whom must the increase
come? out OF those workers who do not
ge, tho Increase And n all got the in
crease there would IN reality be no in
crease: for II IL not on tho amount Of
wages that men live. but on the quantity
of commodities that their wages buy.
There Is certain amount Of commod-
ties produced annually for general con-
sumption II the Ford employees get
100000 worth more this year than
they got last year, there will he 10000
O00 worth less for the others. No one
can question that. Now II II We're so
that THE others must be or might he
the capitalists, perhaps even the capital
lists would he satisfied. but the others
can he none other than the workers them
selves.
Take the Ford factories for example,
The 20, 900 or more workers are EN-
piOyed In plants the cost Of construction
and equipment of which We will assume
Is S2o,0o0,0o0. Assume that Ford is sat
isncd with 10 per cent, profit on the cost
OF his plant and other capital employed,
That would be s9,000,00o. II the wages
" the building mechanics and machinery
builders were increased In the Ford man
ner tho cost Of such n plant would be APP
prONimatcly $4,000. 600. And II he was
gracious enough to cut his rate OF profit
to per cent. he would still expect $4,000
600 a year
But another thing. II at the new rate
the cost of reproducing "A similar plant and
running Il came 10 $4,000. 600, then the
value OF the existing plant would be s4o,.
I 600 GOO, In which event Mr.. Ford would
| be gamer by s20,u0o, 1000 for abso.utel,
nothing. without considering reason.
: able Iitr of profit OF the valu" OF tn,
: plant. or course II Ford gains by tn,
general increase of wages other capital
! lists would also gain. II capitalists gen
| orally gain IL means that their share o
the annual production Is greater II thc!i
| share IL greater the share OF the workers
must be less.
II high wages insures a greater shar'
! " the annual product to the capitalists
| why L. it tina, the efforts Of capitalist
| generally are to keep wages down" Tina
/ is another question. The answer may III
| Indicated this way Capital II interested
! In getting the greatest annual produc
| possible, L, would rather have pc
! cent. on 1000. 900 units than 10 per cent
on 10000 units. II is also better 70
! the workers that capital get "A small rat
ON a large quantity than IA large rat" n
"A small quantity. In other words. /
| wages wer" excessively high opportunit,
for doing business would be lessened
NJ. i. g.
| PROVIDENCE, Il. l., January 10