The Catholic bulletin. [volume] (St. Paul, Minn.) 1911-1995, 1919-11-15
DR.. Ryan On Industrial Democracy


and a fVe-day week Should this do
mand be conceded in a considerable
part OF the industrial field the total
product would not suffice for a decent
livelihood for the masses. No mat
ter how high their money wages might
become, the increase in prices. owing
TO the scarcity of goods, would more
than offset the higher remuneration,
only few of the more powerful
groups would benefit.
NOW increased production can be
obtained only when the workers be-
come more interested in their tasks.
SO long as labor remains scarce. this
interest can be secured only bv Civ.
Ing the workers a greater share in
the management of industry, and
some share in its profits. These are
the two next steps toward Industrial
democracy.
Labor and Management.
Inc meaning of labor sharing in
the management is a very elastic
term, and it is used, like the wider
phrase, industrial democracy, to de-
note many different degrees of con-
troll. 1t first came into prominence
with the publication of the Whitley
Report in England about two wears
ago. In general the Whitley scheme
gives the work people a far greater
share than they have ever had in the
past IN determining the conditions I'M
der which the work is carried out.
rms is, OF course, rather vague, but it
definitely indicates that the workers
are to have much greater control
than they have had previously. We
can point out some things that labor
sharing in the management does not
mean. 1t does not mean a voice in
either the commercial or the financial
administration of a business. There
are two reasons for this: first, the
fact that these aspects of management
do not directly concern the workers:
second, the fact that the great body
OF the employees are not yet compe-
tent to participate intelligently. In a
general way, the workers should
share, through joint committees, in
the determination of: wages, hours,
shop conditions, shop discipline, the
engagement, transfer and discharge
of employees, the application of shop
rules and working agreements, well
fare activities, shortage of work, in
PRODUCTION of new machinery, the im-
proyement of industrial processes and
organization, apprentices, industrial
experiments and scientific manage
ment.
The general principle is that the
workers should participate in all
phases of management in which they
have direct interest and with re-
gard to which they possess knowledge
which will be of advantage to the
management. The two great gains to
be expected from the policy are demo-
cratic control by the workers which
will bring them self-respect, content
ment, interest in their work and a
sense of responsibility for the success
of the industry; and better man
agement through workers contribu-
ton of knowledge and interest
Sharing Profits.
The second step toward Industrial
democracy is a share in the profits
by the workers. This is merely an
extension and development of the fun
damental justification of private en-
terprise The directors of industry
have been allowed to seek and obtain
I'D ;to1x 10 re thpnrV
that this makes for industrial eff
cheney and reduction of prices to the
consumer What is proposed now is
that the whole body of workers be
permitted to take advantage OF this
method and inducement. Thus, not
only the directors but the whole body
of workers in an industry will become
interested in efficient and cheapened
production. Hence it is proposed
that capital should be accorded fixed
moderate per cent of return, and that
the surplus should be divided between
the management, capital and labor On
some fair basis of distribution. From
this the transition would be easy to
labor ownership of some Of the stock
in the corporation.
Through these two devices of labor
sharing in management and in the
surplus, labor and capital become
united in a genuine partnership.
They are steps toward industrial de-
mocracy because they are elements in
the only industrial democracy that
will be finally satisfactory. namely,
ownership by the workers individually
of a considerable part, If not the
whole, of the instruments of produc-
ton. The Plumb Plan for the opera
ton of the railroads is likewise step
in the direction of industrial democ-
racy, although it involves the idea of
the national guilds rather than that
of cooperative enterprise.
Opposing "Next Steps,"
These steps are opposed by all per-
sons who believe in Industrial autoc-
racy, that is, in an industrial system
in which the functions of ownership
and control are restricted to a small
class Of industrial supermen, while
the masses are regarded as incompe-
tent to do more than work under the
direction of their alleged superiors.
1t is substantially the same theory
the trnnnr