The Greeneville daily sun. (Greeneville, Tenn.) 1918-1920, 1919-10-07
BY GEORGE W. PERKINS.

ing the problem Of the workers fair
share.
take 1t that everyone believes that
we cannot go back to the old condi-
tionS that we must move forward TO
an even better relationship than that
expressed by the term employer and
employee" You ask: what Is this
newer relationship to be and what term
will express it," | answer that be.
lieve it must be partners. II l am
right then the next question Is how
can this relationship be worked out
so as to bring the best results to all
concerned?
Twenty-Five years ago became con-
vinced that only through profit sharing
that was real, honest and open could
we hope to find anything like a satis-
factory and permanent method of ar
rlving at the workers fair share.
Profit Sharing Not Philanthropy.
| do not look upon profit sharing
as philanthropy or form of benevo-
lence. do not put it in the same class
with gifts at Christmas time or bonuses
at the end of the year. | do not APP
prove or believe IN any plan that even
SavorS OF giving man something for
nothing.
The profit sharing believe In is the
kind that is real; the kind that pro-
notes thorough and efficient c0-opera-
lion between employer and employee
the kind that makes partners of
employees; the sort Of profit sharing
that is practiced between partners in Il
business Anything short of this Is
bound to result in failure and will
widen rather than narrow the breach
between employer and employee,
Close observation, coupled with con-
siderable experience, has convinced
me that practically all the many fall
urcs in profit sharing, both in this
country and in Europe have occurred
because at bottom the plans were not
honestly devised nor eQuitably worked
ont.
In the past the man who was not ed
ucated or trained to think independ-
entity struck because he wanted 50 a
lay II he was only getting SLID and
for quite a period labor differences
were settled on this basis ! believe
that we are rapidly passing out Of that
period, for our laborng people are so
well educated and so able to think in
dependently that, IN many cases, they
are no longer striking for n definite in
crease in wages, but for what they re-
gard as a fairer proportion Of the
profits of the business In which they
are engaged.
II am right about this, then we are
rapidly leaving behind the period when
labor disputes could be settled by n
mere increase In wages and are enter
ing the period when profit sharing in
some form must be practiced.
Outline of Correct Profit Sharing
Plan.
A good many years Of actual expert.
ence have made me very optimistic re,
garding protit-sharing plans worked
out along the following lines:
FrSt-Every business has, frst Of
all, to earn operating expenses, de-
probation and fair returns on honest
capitalization.
Second believe that every bust
ness should consider that the compen-
sttion paid employees is for the pur.
pose Of earning a sum Of money suffi-
Client to pay the aforementioned
items.
Third believe that any profits
over and above such sum should, on
some percentage basis, be divided he.
tween tive capital used in the business
and the employees engaged in the busl.
ness.
FOURTH believe that in neither
case gnould these profits he immedl.
atcIy withdrawn from the business
that they should be left in the business
for a reasonable length of time to pro.
tect and increase its financial strength
and safety; that in the case Of capital
its share of these profits should he
carried TO surplus; that in the case
Of employees their share OF these prof
its should be distributed to them In
some form Of security representing ar
interest in the business. and that each
employee should he required to hold
such security for reasonable length
Of time, say tls@e to five years.
Fifth believe that the employees
share of these profits should be allott &c
to them nearly as possible on the
basis of Ehe compensation they re-
ceiye, Up to date this has proved tC
be the best method
Results Attained by Proper Plan.
Now, let us see what such a plaI
means: In the first place, 1t means
that under such an arrangement eacr
employee becomes a working partner
In the business. He is on the same
DAILY SUN WANT ADS PAY.