The Bismarck tribune., 1931-09-30
Gerard Swope's Plan
(New York World telegram

VNCW 4OAA VO1AN- 4CAO6A es4AH
Upon the forward looking thought
and initiative of great industriailsts
hangs the fate of capitalistic democ-
racy. That SO many American lead
ers of industry are now realizing this
and acting on it is the most hopeful
of all current signs.
Last night Gerard Swope, presi-
dent of the General Electric Co..
talked to the National Electrical
Manufacturers Association on the
sterilization of industry. What he
said might have sounded, to horri-
fled ears of an older generation, like
the doom of competition, the tri-
umph Of Socialism with a capital
"S."
But, thanks be, we have progressed
far beyond that generation. We can
spell socialism today with small
"s' and without a shudder. We ac-
cept sound socialistic principles like
workmen's compensation and old age
pensions as natural developments in
enlightened democracy. And the old
economic theories of cutthroat COM
petition, and devil -take-the- -hindmost
already seem barbarous.
Therefore, when Mr.. Swope urges
the formation of great trade assocla-
tions, representing employers and
employees, which shall outline trade
practices, establish m ethods OF
standard accounting. stabilize prices
and employment and, in fact, con!l Of
production in each industry, few will
Shrek the old protests in the once
sacred name of competition. Nor Is
his insistence that the participating
companies in each industry must
adopt employe plans providing for
life and disability insurance, pen
sions and unemployment instance,
anything to dismay progressive en-
ployers of this era.
Under the system proposed IF a
worker for some good reason left
his original employer and went into
the service Of another concern he
would not thereby forfeit his PEN
sion, his insurance, hts unemploy-
ment insurance contributions or his
status under workmen's compensa-
tion." All these accumulated gains
would be transferred along with the
worker. Security and stability of
employment would be thereby in
creased.
Mr.. Swope would have each and
all OF these trade associations under
the supervision Of the Federal Trade
Commission or a bureau Of the De-
partment Of Commerce or some fed
eral supervisory body specially con-
stituted.
Here, then, from another head OF
one of the biggest companies in one
J, Of the country's biggest industries Is
, plan. It is a plan for employers
to study. It Is plan for organized
labor to ponder-for much would de-
pend upon the willingness of the la
Dor unions to adjust themselves to
1t. In detail it may be improved. In
, spirit no fault can be found with 1t.
For 1t Is based on the new, never
more to be surrendered principle
that the continuous security anc
, well being Of millions Of workers il
every iota as important as the profits
and dividends of capital that EN-.
ploys them. It Is the rational so.
cialization of industry by industry IT,
self. But that IS not a socialism any
: intelligent twentieth century mine
fears.
Curiously enough. Mr.. swope'.
proposed trade associations recall tht
I old trade guilds Of the Middle Ages
! when each trade strove to safeguard
its standards, its dignity and tn
just pride Of its workers.
: But there Is nothing medieva
about what Mr.. swope would worl
t toward. On the contrary, it is tn,
|. very essence Of modern economi,
. progress. The future of capitalism
as The World Telegram has insisted
depends on it. Every big industrial
list who declares for 1t and works TO-
e 1t by just that much strengthens tn
defenses Of democracy.