The Democratic banner. (Mt. Vernon, Ohio) 1898-192?, 1916-12-12
What Sympathy
Effected
A Labor Day Story
By BARBARA PHIPPs

What is the trouble between you
and The menY
They want an advance Of 10 per
cent"
Now, Miss Quintard. daughter OF the
president of the Quintard Manufactur-
ing company, instead of spending her
time in social requirements gave it to
the employees of the concern of which
her father owned controlling inter-
est. She visited the sick. helped the
women put their children in proper ap-
parel. supplied needful provisions and
otherwise ministered to their wants
While the father was absorbed In pay
ing dividends the daughter was sym
pathizing with the workers.
What dividends are you paying,
papaT' asked Dora.
Twelve per cent"
What is a fair interest on money!"
THAT depends. The government can
borrow on as low as per cent inter
est. A good railroad per cent stock
is usually worth par. Manufacturing
stocks should pay from per cent as
uphhih'
What is the market price of Quin-
tard stock?'
zone hundred and seventy"
"Supposing you should add 10 per
cent to the mems wages. what divi-
dends could you payT
From to o per cent, think"
"And what would be the market
value of the stock while you were pay
ing. say per cent?"
THAT would vary In different manu-
featuring concerns. In our case, where
we have steady demand for our
goods. fair surplus and much money
invested In the plant. the stock should
sell at about $130'
You say that a railroad stock selling
at par and paying per cent is fair
| investment. Isn't manufacturing
stock selling at $3.50 and paying per
cent better oneY'
That's a question for the investor.
| l should consider them about equally
good !. knowing all about the affairs
Of the Quintard company, would prefer
to hold its stock at $130 on an per
cent basis to a good railroad stock at
! par paying per cent"
Don't you think, papa, that you
could grant this increase of wages and
still give the capital invested in the
company fair dividendT
What a smart little puss" said the
father, embracing his daughter. why
don't you set up for walking dele
gate?. You would easily prove to the
operatives that they are being treated
unfairly, that capital is getting the
| lions share of the profit accruing from
their labor. Having proved to them
that they are entitled to 10 per cent
advance, you could then prove that
they should try for another 10, and 30
on. till the bubble burst"
What do you mean by the bubble
| burstingT
Suppose wages were to be increased
till only a fair dividend is earned;
nothing is laid up for supplies; the ma
chInery wears out or new mechanical
devices must be introduced to meet a
reduced cost of manufacture. Or sup
pose war breaks out and we are shut
off from our foreign markets. Where
are we7 Stranded. Where are the
operatives? Thrown out of employ
ment. And you know what that
means. 1t is starvation"
"Yes, papa, but you are paying IL
per cent dividends. How can you pay
that and add to your surplus2"
"All investments are liable to turn
out loss of the capital involved.
Manufacturing stocks are considered
especially uncertain. II is difficult to
get capital for them or TO hold it when
you have got II. To hold our capital
in the Quintard company we have been
paving out all our net earnings In divi-
dends My plan has been to do this
till confidence Is acquired and some
thing more than our present dividends
earned Then | will reduce the divi-
dends and place the reduction and the
additional amount earned to surplus
account. When have provided sur
plus sufficient TO keep the stockholders
from holting and my men employed in
case OF year OF loss instead OF profit
ihltuu w pHN HiShNi N"SNo 'h"N -
II see no more snags ahead"
"Why don't you explain that posi-
tlon TO the employees as you have ex-
planned II 10 me?"
Such a course would be impractica-
BILE for many reasons"
That was the end Of the dialogue,
but II was not the end OF Miss Quin-
tard's thoughts on the subject. She
formed a plan to give to the employees
what the president could not do otfi
cially-an inkling of the situation. She
went to the women whom she had
helped-those she could best trust--anc
gave them to understand that she
knew 1t TO be the best interest OF tho
operatives that they should let wei
enough alone for the present. trusting
10 the president TO get the business Of
the Quintard company into such con
dition that he could meet their de
mands without injury TO them or th'