Evening star., 1952-02-08
Stassen Urges COP.
To Foster Sharing Of
Profits With Labor
By Gould Lincoln
Star Stnff carraspondanf

6' 0CdSSeL, CduU1udVC 4OA tA1e xVC~
publican presidential nomination,
called last night upon the Repub-
lican Party to take the lead in
bringing about voluntary profit
sharing system" for American
business and labor.
Charging that the Truman ad-
ministration has deliberately tried
to stir up antagonism of labor
against business and to clamp in
creased controls on both, MFR.
StaSSen said:
For the future freedom and
well-being Of the American people,
our Republican Party should de-
velop increased friendliness with
labor and lead to greater harmony
between labor and business.
Mr.. Stassen, former Governor
Of Minnesota and now president of
the University of Pennsylvania on
leave, made this accommodation
at a Lincoln Day dinner, given by
the Alexander Hamilton Club of
Baltimore. He was introduced by
Gov. McKeldin Of Maryland. and
his speech was broadcast.
1T is my view," Mr.. Stassen
told his audience, that, since
profits are the key to the Ameri-
can economic system, the only
sound base for long term harmony
between labor and capital in
America rests in the development
OF voluntary profit-sharing with
employees throughout American
business" ~
Would Be Voluntary.
Proflt-sharing, Mr.. Stassen said,
must be brought about volun-
tarily."
II am against Government i'm
posing conditions on either man
agement or labor" he said. "The
method ! recommend is to give
more favorable tax treatment to
those corporations who would
share their profits with their
workers and at the same time
persuade them that it is the right
and just and wise thing to do"
Mr.. StaSsen said such profit
sharing system should include
every one, from the Office boy
to the head of the company. #
1t is to be successful he con-
tinued, there must be sufficient
earnings to pay good wages; to
pay a fair return to those who
have invested their money in o.
company, and in its plant and
equipment; to set aside some re-
serves for the future expansion
and for research.
If all these things are taken
care Of and the company can
earn still more money and show
q profit, then that profit should
be shared, under a definite plan,
with every man and woman who
took part In the operation of the
company" # 81
No Rights to Manage.
He said it must be understood
clearly the responsibility Of the
management is to manage the
company. and the fact that profits
are shared does not give the en-
ployes the right to interfere in
management. Otherwise. the great
advantage Of the American Sys-
tenn, with its effective manage
ment of business, would be lost.
and I'VE would have the bad re-
suits which come when either
Government or committees run a
business"
He said further that profit
sharing must not be a substitute
for good wages. The extra profits
must be shared also by the in
vestors and owners as well as the
employees, he added. Such syS-
tenn, he contended, would "end
the threat of socialism and ma
tionalization and controls over the
economy of America. 1t would
be great step in the evolvement
Of the modern. peoples capitalism
in our country. It would also
show the people elsewhere now
suffering under socialism the way
to turn for their own best future" ;"
Labor" said Mr.. StasSens lis
not commodity. I say we should
develop our American economic
system so that every human being
in it, in some form, takes part
with dignity, in the final results,
and benefits from every major
part of that system. This in
cludes the profits"
Congratulates Marylanders.
Mr.. Stassen congratulated the
people of Maryland on the leader
ship which Republican Gov. Nc
Keldin has given in his admins
tration. He said:
1T is well worth noting that this
State of Maryland, normally con-
sidered Democratic, has been won
by a liberal and humanitarian
Republican Governor with for
ward Hooking, modern program.
while States which are normally
Republican, like Illinois. Indiana
and Ohio, have been lost by a
very conservative and semi-isola-
zionist hierarchy. There Is a very
important lesson in these hard
facts, if the Republican leaders
of our Nation would but open
their minds to see it,"
Mr.. Stassen warned that it
would take a hard driving. color
full campaign and a definite con-
structive liberal Republican plat
form to drive out of Washington
"the money-wasting, taX-steaiing,
hate-peddling, losing. Tru-
man administration" in next No
vemher'S election.
Vn e>l l.