The labor world. [volume] (Duluth, Minn.) 1896-current, 1919-03-08

Business is Doomed.
AS matter Of fact the insurance
companies have not a foot to stand on.
Their business is doomed. They should
nave gone out Of business with the
passage Of the first workingman's
act. Every argument
advanced in their behalf has been met
ind disposed of by foreign countries
ong before the first American state
Jared to venture into the business.
When the Washington state law had
,een in force for a trifle over a year
/ powder mill was blown up. There
vas but one in the state. The law
provided that all industries should be
classified according to hazard. This
one powder mill was in a class sepa-
ate and distinct from all other in
lustries. There was not sufficient
money in the powder mill fund to pay
he losses sustained from the explo-
ion, and from that day to this the
rivate companies have never lost an
portunity to parade the fact as a.
failure" of state insurance. The
Washington law has since been
mended to prevent any such deple-
ion Of fund in the future. The
Ierald took the word of the insur-
nee men the other evening and re-
erred to the matter, without stating
1at the same could not occur again
Washington.
They Pass Up Ohio.
But the insurance people seldom re-
er to the successful operation of the
'hio state insurance law. A repre-
entative from that state met them in
t. Paul two weeks ago and COM
letely f1oored the whole posse with
nanswerable arguments in favor of
ate insurance. The Duluth employ
S who permitted themselves to be
lfuenced by the local insurance men
uesday afternoon when they de-
ared against state insurance will be
;hamed of themselves in two years
the legislature passes state insur-
ice law. There isn't an employer in
hio who would go back to private
surance since he has had experience
lder the state fund plan.
Organized labor is in favor of state
surance, not that it wants the state
enter private business, but because
recognized that the state can ad-
mister Workingmen's compensation
,-- much lower cost than can the
ivate companies. The state cost of
'eration should not exceed 10 per
mt. The private companies must
we 40 per cent to make 1nything
of the business. This saving in
st will permit the state to pay more
mpensation to injured workingmen
thour increasing the cost to indus
-. This is a feature Of state insur-
ce that employers should recognize.
State Should Bear Cost.
Objection is made to provision in
bill now before the legislature re-
iring the state to bear a portion Of
cost of administration. Why
ouldn't the state bear this cost? The
--)ney that will be saved in handling
ury cases in this new manner, and
vast amount that has been saved
the taxpayers in doing away with
y trials in master and servant
;es justifies the advocates Of state
urance in asking that the state re-
ve employers of the whole burden
cost.
Then the insurance companies raise
point that the plan should not be
de compulsory, and this in spite of
fact that one Of their representa-
es introduced a bill IN Vi.e legisla-
which if passed would 1llaisS it
npulsory Of every employer il the
te to carry private insurance. There
but one monopoly which is justifi-
-e and that is a monopoly conducted
TURN TO PAGE TWO.