Montana labor news., 1934-10-04

Continued from Page d.


cial consciousness OF some state legis-
latures that they continue to oppose
such a fine and worthwhile ideal as
the abolition OF child labor. Although
the codes have largely done away with
child labor, it is o as permanently
outlawed as if the amendment were
adopted as part OF the Constitution.
All of the opposition TO unemploy-
ment insurance did not come from the
employers, however. The officialdom
Of the American Federation Of Labor,
as late as three years ago, opposed a
so-called dole, on the ground that the
workers would lose their incentive to
join labor organizations and fight for
better conditions. This argument was
about as logical as others they ad-
vanced in regard to social ownership
and a labor political party.
As to the method Of providing un-
employment insurance, it should be a
national institution, administered on a
nationwide scale. The same applies to
old-age pensions and the six-hour day.
The various plans for unemployment
insurance that have been proposed on
a scale OF individual industries or
states have the same weakness in com-
mon. Few Of them were on a sound
actuarial basis and none were able to
lay up the reserves necessary for a
prolonged depression. Only a plan that
is national in scope and with the power
and resources Of the federal govern
ment behind it, can be effective.
The General Electric Co. several
years ago adopted a plan Of %unemploy-
ment insurance for their employees.
But it was inadequate to cope with a
long depression and was scrapped. The
Wisconsin plan, even though it is a
step in the right direction, if adopted
say, in 1880, would by this time have
ceased to function. Any kind Of insur-
ance, to be dependable, must be based
on sound actuarial principles and a
wide distribution of risk.
AS desirable as social insurance may
be, it will not eliminate the evils Of
the capitalist mode of production, but
it will greatly alleviate those evils.
Unemployment insurance will not end
unemployment but it is the best device
for enabling the jobless man to keep
his health and self-respect. In his
speech last Sunday, President Roose-
welt said he could not accept the idea
Of a permanent army Of unemployed
in this country, no matter how they
view the problem in European coun-
tries. But this fine sentiment was can
celled when he said we must rely on
private initiative and a fair profit to
business. Does the president really
think he can abolish unemployment so
long as industry is under private own
ership and dominated by the profit
motive?
Let us see how it works out. A num-
Der Of corporations producing the same
commodity, form a trade alliance and
divide the available business between
them. Each company's profit is linn
tied to what can be made on the quota
allotted to it. Each one will therefore
adopt every possible means Of reduc-
ing production costs. They will install
labor-saving machinery, speed up the
workers to the limit of endurance.
This increases the productive capacity
per man and inevitably throws more
men out OF work. 1t is one of the CON
tradictions Of the capitalist system and
one Of the reasons why unemployment
cannot be eliminated under capitalism,
no matter how enlightened or how
much regulated.
Granted that unemployment insur-
ance is better than a b~readline. But
what man is content to drag out a
barren existence on a few dollars a
week when he can see all around him
the resources, the machinery and the
technique to produce a happy and
abundant life?
We need a comprehensive system Of
social insurance, national in scope and
soundly financed. We would need such
a plan to take care of the accidents
and misfortunes of life that would oc-
cur in any society, no matter how well
organized. But large scale unemploy-
ment, such as we have now, can never
be banished under a capitalist system
of production. Only in a cooperative
society, with production organized for
use instead Of profit, can these millions
Of willing hands and brains be put to
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