Evening star., 1923-11-21
Urges Labor Rules.
Writer Would Have All States in
Union Pass Laws.

To the Editor Of The Star:
II is desirable that capital and
labor should have 4 well recognized
basis upon which to meet and TO ad-
just all difficulties.
Would not this be accomplished by
the passing of laws in all the states
Of the Union, or, failing that, by
passing union labor rules, that every
manufacturing plant or industrial
concern should each year set aside
from its net earnings a sum OF not
more than per cent on the capital
invested as dividends for the stock
holders or for the owner OF the bust
ness: that then the remaining net
profits should IL. divided into two
equal portiors-one to be added to
the amount OF the dividends and one
to be distributed among the wage.
earners. in proportion to the earnings
Of each individual worker
Henry Ford has always followed
this plan In effect. though not In de-
tail. AS a result there has never been
accumulated a greater fortune in the
same length of time by any man In
the history of the world, nor one who
has been more generous in dividing
with his employees the earnings from
his business. nor yet ono whose hun
dred thousand employees are more
loyal to their work and to their en-
ployer.
There are many other large manu-
featuring concerns where this plan
Of prof1t-sharing has been put in
force. with the result Of such in
creased efficiency On the part Of the
employees that there has been little
or no lessening of the profits to em-
ployers.
The w1ge-earner who knows that
he is part of the institution with
which he is connected, and that he
IS to receive a share Of all the profits.
will work more interestedly and con-
Scientiously. with the result that the
output will be nearly or quite doubled
by the industry and efficiency of the
And If this plan were to be pu.
into general operation it would to a
large extent act for tho prevention
of wage slavery. child labor. tene-
ment-house labor, and, in fact. all
today. It might not at first sight be
an attractive proposition to the en-
ployer whose every effort heretofore
has been to depress wages, to secure
labor for the lowest possible price
and to strain every nerve to swell
the profits OF the employer, but after
fair trial of this plan, would not
all objections to 1t disappear and the
generosity OF the employer be more
than repaid by equal or even in
creased income from capital invested
AS / believe myself to have been
the first newspaperman to suggest
this idea Of profit-sharing. which was
in a letter to one OF the great New
York dailies some twenty-five or
more years ago, I am interested to
see the plan. which has been so sue.
cessfuI wherever tried. and which has
been Of such great benefit to the
wage-earners, extend to all the in.
dustries in this country.
If the plan OF prodt.sharing has
been a failure anywhere. 1t would be
Interesting to know about 1t.
In some cases, the manufacturer
say, but who is to bear share OF the
losses? There can be no losses, un.
less, owing to lack OF good manage.
ment on the part OF the employer
And II capital is shy OF financing
profit.sharing industries it is very
easy for employees to finance theiI
own industries by forming stock
|, companies where each employe be.
comes q stockholder to the amour,
of 500 or more. With the present
conditions prevailing In our indus.
| tries. which promise to continue fol
a long time to come. there would bt
little or no possibility OF losses.
EDWIN =. VAN AIKEN.