South Bend news-times. (South Bend, Ind.) 1913-1938, 1919-06-06
RUNS BUSINESS
AS REPUBLIC To
CURE LABOR ILLS
Experiment in industrial De-
mOCraCy" Tried in Fort
Wayne Wins Recognition.

Nf@N lONht june % aahuldC- /
turers and union labor leaders an /
over the United states are said TO be
watching with interest and sympathy /.
the experiment IN industrial democ- /
racy which IS now being conducted .
IN five cities-Fort Wayne. Ind.
shelton. Conn. Cleveland o.: Pater-
son. y. J., and Brooklyn. ~ Y.-and
which. II is believed by some Of
them, will scotch if it does not pre-
vent bolshevism in Industrial centcrs
where II is put into effect.
The originator Of the plan. John
Leitch. an efficiency engineer. start .
ed II among 500 employees Of a Fort
Wayne piano factory It's basis was
the constitution of the United States
The factory was administered by
senate. house Of representatives
and a cabinet corresponding 10 the
aids and advisors OF the president
It's success Is said 10 have been inn
mediate and permanent Yale univer-
sity. the National Council OF De-
Tense and the National Association OF
Manufacturers are said 70 be few
OF the bodies that areg investigating
the merits OF the plan
Is Not a Panacca.
=. Edmund David, head OF a silk
manufacturing corporation in Pater-
son. y. J.. who was instrumental IN
introducing the system IN his fac
tory in that city about a year ago, /
fnHarr h.
ton at the results attained and said
he hoped. ultimately. 10 establish I
similar working conditions in four
other OF his mills in York. Reading.
Scranton and Beavertown, Pa The
Paterson manufacturer. however. !
said the new system should not be
considered a panacea or adaptable TO
all kinds and sizes or industrial es-
adjustments.
Its outstanding feature" said
Mr.. David, lis the ungrudging rec /
ignition. on the part Of the employ
er OF the workers right TO a voice
in the determination OF matters
which are OF vital interest 10 him, |
which lends the additional dignity
70 his position which self-sOvsrn- /
ment invariably carries with it,
Lay Down s3rOad Rules.
Industrial democracy or, cOnsu- |
tutionalism in industry" he said,
was first explained 10 tne workers. |
a broad and fundamental set OF
rules adopted which was to guide /
management and workers. The four /
cornerstones Of this business edifice !
were justice, cooperation. economy
nd &c
ice. This policy, asst he supreme law I.
OF the establishments. has never /
failed TO suggest a solution when \
troublesome questions arise"
In proof of the systems prac- /
ticability MIR. David pointed out that /
last winter. when almost every other /
silk mill in Paterson was closed as
the result Of a strike, the David mill |
was not affected. but maintained full ]
production and was kept in cOntin- |
uous operation as by members OF one |
contented and harmonious family.
Directors Choose Executives.
Explaining the operation Of the |
plan. Mr.. David said the cabinet /
consists or the executive officers Of |
the company chosen by directors of 4
the corporation. II has the power of /
veto and may initiate Legislation" |
as we'll as make suggestions to the /
senate and house.
Neither the senate or house are
obligated 20 adopt the cabinets rec /
concentrations and when they do !
they have the power TO amend them. |
The cabinet, THEREFORE, instead OF !
issuing orders, is merely a part OF !
the democratic control OF the whole !
plant.
The senate explained NIr. Da- !
vid. is composed OF the foreman |
and department heads. IL may ini- |
tiate legislation which, before going
20 the cabinet for approval. must be
accepted by the house.
Elect House Secretly.
"The house is elected by a secret |
vote OF ali the workers in the mill. |
one representative for every 20l
workers. The house meets weekly |
on company time. Much ar the leg
islatfve work IS done by committees
appointed by the presidents of tho
senate and house
There Is a review board 70 which |
a discharged worker may appeal his
case, and a board OF appeals giving
each worker an opportunity for the |
redress Of grievances. real or fancied. /
at the hands OF a department head" |
Every two weeks a dividend" b. !
paid 70 each worker who has scored |
a certain number OF points in eff
cheney. economy. punctuahty and /
~oorf1awftv IF r-or-L