t
Profit Sharing Movement
Advantages of a System That Establishes a Community of
Interest Between Employers and Employed Views
of Some of Its Prominent Advocates Will
Eliminate Strikes Achievements of Its
Most Conspicuous Supporter.
By JAMES A. EDCER.TON.
IS the next great step In Industrial
evolution to be in the direction of
profit sharinB? Is this to be the
solution of strikes and labor trou
bles, the ushering in of n better day
tor employers and employees alike?
I' Sea to both questions decidedly yes if
sucn men as President Roosevelt, An
drew Carnegie, Melville K. Ingnlls, the
railroad magnate, and Arthur James
Balfour, ex-premler of Great Hritaln.
can be accepted as prophets. In the
past few 'weeks utterances from these
men and others have approved profit
snaring in the strongest terms. Carne
gie even goes so far as to say in effect
that the present wage system is doom
ed. He would have the. workers made
partners in the business, jf, O. Nelson,
the St. Louis manufacturer who for
more than twenty years has practiced
the division of profits, advocates that
L. not only employees, but customers, be
given their pro rata of the returns that
their purchases produce. The United
States Steel corporation encourages its
workmen to buy stocks. Even John
D. Rockefeller apparently has enough
and la willing to let other people share
r profits at least In everything except
standard Oil. He approves the princi
ple. If he would go as far as Nelson
and divide profits with his customers
be might belp some in oiling the
wheels of general prosperity. While it
is to be feared that bis approval is
more In theory than practice, it is
something to gain his "assent to the
righteousness of the idea. It shows
that there are limits to men taking
.ANDREW
CARNEGIE
TEES'
THHO-KOOSEVEliT
UNOMWtOO r
cotvkicht
PROMINENT ADVOCATES OF THE
Lwhat others create. Some of us had
I begun to fear there were none, or at
least none which the captains of in-
Idustry would recognize.
New Business Partnership.
Here is to the new business partner
ship consisting of capitalist, worker
land consumer! It sounds fine, but all
I the time I am pinching myself to be
Isuro I am awake. Heretofore the cap
italist has been the whole firm. The
worker was only a poor relation, while
I the consumer was a rank outsider who
got it from both sides. Is It possible
that In future the high financier and
the captain of industry are going to
nana back a little of what they take
I from us? Carnegie says so, but I am
afraid to believe It for fear another
Brise in trust prices will come along to
shatter my dream. To bo perfectly
Ihonest, the only sort of profit sharing
have ever been up against has had
the candy on the other end that is, my
profits have been shared by the food
list, tbo landlord, the clothing trust
and all tho other benevolent corpora-
ion gentlemen who claim the Goddess
of Liberty on the dollar as their afllnl-
v. If Roosevelt, Carnegie, Ingalls and
alfour know of any kind of profit
sharing that does not give the trusts
the profit and the people all the
aring, I am for it
The president's last annual message
aks of the matter in this wise:
"I believe in a steady effort, or per-
aps it would be more accurate to say
steady efforts. In many directions
bring about a condition of affairs
ader which the men who work with
or with brain, the laborers, the
eristendents, the men who produce
the market and the men who find
market for the articles produced,
u own a tar greater shire than at
at of tM wealth they protege
and be enabled to invest it in the
tools and instruments by which all
work is carried on. As far as possible
I hope to sec a frank recognition of
the advantages conferred by machin
ery, organization and the division of
labor, accompanied by an effort to
bring about a larger share in the own
ership by wageworker of railway, mill
and factory. In farming this simply
means that we wish to see the farmer
own his own land."
Inasmuch as these recommendations
of Mr. Roosevelt do not require con
gressional action and so cannot be
man-handled by Uncle Joe Cannon,
there is some chance for them. The
kind of profit sharing believed In by
congress is that in which some benev
olent seeker of special prlvllc is
willing to divide his pile for the pur
pose of getting votes. I hope our
august lawmaking bodies will not re
gard this ds an Insult. They ought
not to, for I have often defended them
from sweeping denunciations. Besides,
insulting congress is a prerogative of
the president alone.
Great Equal Partners.
Andrew Carnegie, who has built so
many libraries that we need no longer
borrow books from our friends and
forget to return them, is even more
optimistic and sees labor marching to
the heights along the profit sharing
road. He says no corporation founded
on the old lines can hope to compete
with one 'in which the workers have
an Interest and are given special re
wnrds for good service. He foresees
m w
v cwnc oint -tV d-c
PROFIT SHARING PRINCIPLE.
a day when capital and labor will bo
I equal partners in all industrial enter
I prises. He does not speak on the sub
ject as a theorist alone, having prac
ticed for years, taking his most effi
cient workmen Into the business. It
was on his recommendation that the
steel trust Invited its employees to be
come stockholders.
Is It tho specter of socialism that has
frightened so many of our leading men
Into their sudden advocacy of profit
sharing? The president's message
gives ground for that inference, while
Mr. Carnegie intimates the same when
he says:
"The Idea of making workmen share
holders and dividing a share of the
profits among those rendering excep
tional service will probably encounter
the opposition of tho extremists on
both sides, the violent revolutionist of
capitalistic conditions and tho narrow,
grasping employer whose creed is to
purchase his labor as ho does his ma
terials, paying the price agreed upon
and ending there. But this opposition
will, wo believe, amount to little. It
will even speak well for tho new idea
if scouted by tho extremists and com
mended by the mass of men who are
on neither dangerous edge, but in the
middle, where usually lies wisdom."
The laird of Skibo continues:
"So far wo have a list of 180 manu
facturing concerns in the United States
which have welfare departments, sales
of stocks to workmen or other modes
of adding to their wages or forms rec
ognizing the community of Interest be
tween employers and employed. Eight
een of the principal railroad companies
In America have established systems
of pensions for their employees as ex
tra recompense, the cost borne exclu
sively 'by the corporations. The pen
sion feature, Uke profit sharing, la
mating great neaaway ana promises
soon to be universal."
Eliminator of Strikes.
Melville IS. Ingalls, chairman of the
board of the Big Four railroad, puts
his advocacy of the new Idea on the
ground that it will eliminate strikes.
"I believe that profit sharing Is the
only sure means of doing away with
the possibility of such disputes," he
says. "If every railroad would adopt
the principle I doubt If we would have
any more strikes. If every industrial
corporation would adopt it I doubt if
there would be any more lockouts.
Make the laboring man your partner,
recognize him In the division of profits
ns well as in the determination of the
cost of production, and you'll go far to
do away with these difficulties that
have been interfering with our Indus
trial progress for so many years."
I quote all these utterances to show
their emphasis and significance. Sure
ly a new era Is dawning In the econom
ic world when men of this character
come out for an idea that a few years
ago was regarded as tho cxtremcst rad
icalism. Tet profit sharing Is no new
thing, especially In Europe. In France
It has been In successful practice for
half a century or more, and there are
now scores of co-operative concerns
throughout that country. In England
the Rochdale plan has long been fa
mous, and with It as a model many
other profit sharing schemes have
sprung Into existence. Just now the
movement has been given a new Im
pulse in Great Britain, the speech of
ex-Premlcr Balfour before mentioned
referring to a number of new co-operative
enterprises of importance. Prof
it sharing has not gained so great a
vogue on the continent outside of
France, yet there are a few concerns
in Germany, Switzerland and else
where that are practicing the princi
ple. Host Conspicuous Supporter.
In America this form of co-operation
is of more recent date. The Proctor &
Gamble company, after suffering from
a great many strikes, adopted profit
sharing and has had no serious labor
troubles since. About the same time,
1880, N. O. Nelson, a millionaire brass
manufacturer of St. Louis, took up
tho plan and has since been Its most
conspicuous supporter in the country.
As already stated, Nelson not only In
cludes his employees, but his custom
ers, in the division of dividends. He
has also given his workmen an ever in
creasing share in the business, gradu
ally withdrawing from ownership him
self. The experiment has proved emi
nently successful. One of Mr. Nelson's
Innovations was to found a town In
Illinois, which took its name from Le
clalro, the practical founder of profit
sharing In France. It Is one of tho
boasts of this town that it has never
had any other government than the
state laws and yet has never known a
crime. In it there Is no renting, each
workman owning his own home and
paying for It as he can. Nelson lives
among his employees in a house but
little more pretentious than theirs. One
of his cherished ideas is that it is a
bad habit for captains of industry to
get rich, since they have a higher mis
sion In serving the public.
I used to know Nelson about the
time lie was in the St. Louis city
council, where he had something to
do with Inaugurating the reform wave
that finally brought Joseph V. Folk
to the front. He Is an unpretentious
man, ever in sympathy with all ad
vauccd movements and freely helping
every worthy cause and sincere indi
vidual that appeals to him. One of
bis pet Ideas In the council was to sell
city franchises at public auction, but
In this he was defeated. He promoted
causes like the fresh air mission, free
steamboat trips for the poor, work
ingmen's culture clubs, traveling li
braries and kindred movements that
would add to the happiness and intelli
gence of others. He once had a hand
some home In St. Louis, but gave it
up to live among his own people at
Leclalrc. Here he has established
clean social amusements, reading
rooms, literary and discussion clubs,
public lectures, and has encouraged
tbo people to beautify their homes and
make an Ideal village.
Nelson O. Nelson was born in Nor
way in 1844 and came to this country
in childhood. He was educated in the
common schools of Missouri and served
as a private in the Union army during
tbo civil war. ne started life as a
clerk and made his own way. In 1872
he established his manufactory of
plumbers and steam fitters' supplies
which he is now turning over to his
employees.
Methods That Have Succeeded.
Profit sharing has taken many forms
with us, some of which have not been
notably successful. The most common
plan has been that of selling stocks to
wor&men. Whether It is because of
suspicion of the stock market, lack of
means or lurking enmity to their em
ployers, the men have not fallen over
each other in the scramble to Invest.
The plan has by no means proved a
failure, but has gono so haltingly that
thcro must be some inherent defect in
It A method that has succeeded much
better has been that of pensions and
rewards for extra service. One firm
divided Its workers into grades accord
ing to efficiency. To the most efficient
a large dividend, or rather bonus, was
voted, to the next grade one-half as
much and to tbo lowest grade nothing
at all. Splendid results have attended
this plan wherever put into force. An
other plan that succeeds well Is to pre
sent the men stock in the company for
meritorious service. This is one of
the methods of Mr, Nelson.
Regardless of the particular form It
may Anally assume, however,- It la cer
tain that the new ldoa of profit shar
ing will spread rapidly through all In
dustries and will inaugurate a new era
tn the relations of croltal and labor.
Farm mid
Garden
GATE FOR THE SNOWDRIFT.
Stmpts Plan For Open Way In and
Out.
There is no snow cleaning In tho
country. The farmer breaks his way
' through the drifts with difficulty.
I There is more play for tho winds In
the country than thero Is in tho city,
and when tho .snaw accompaules the
I wind the drifts impede travel and
I clog the ways about the farm. The
gateway must be kept clear because
' that is the way in as well as the way
i out. Unless the gate Is constructed In
a manner that will readily yield to the
' GATB CLOSED.
I Impediments. It is about as good as no
gate. In the plan suggested herewith
I is n partial solution of the difficulty
I which so often confronts the farmer
at this season of the year. Two cuts
arc pictured. They show a gate which
1 can be readily adjusted in caso of
snowdrifts.
It is easily made from ordinary
lumber. A 1 by 0 upright is used for
the two lower boards, 1 by 4 for the
upper ones. The uprights at the binge
post are double 1 by 4, one piece out
side and the other inside the bars. The
upright at the latch side may be tho
same weight of stuff or slightly light
er and fastened In the same way. In
stead of nailing the bars to these up
rights, bolts are used, one for each
bar at each end. The lowest board Is
notched, as shown, and the double
GATE OPEN.
brace used from the top of the latch
post to tho bottom of the hinge post.
For the braces 1 by 3 stuff Is strong
enough. These may be held In place
at tho top by a single bolt. They are
joined near the bottom with a bolt
which engages with tho notches when
the gate is raised, as shown in tho
rut.
J Tuberculosis In Animalc.
The International congress on tuber
culosis which recently met in Wash
ington, ns a whole, dealt especially
with human tuberculosis, but consld
, erable attention was directed to tuber
culosis In domestic animals and nota
bly to questions dealing with the milk
and meat supply and with tho lnspec
j Hon of these products. One of the
I seven sections Into which the con-
gress was divided devoted Itself espe
cially to those topics, and the general
addresses before tho congress, as a
I whole, included a lecture by Profess
I or Barnard Bang of Copenhagen on
I "Studies In Tuberculosis In Domestic
Animals and What We May Learn
Regarding Human Tuberculosis." An
I extended discussion followed the re
I affirmation by Trofessor Dr. Robert
! Koch of Berlin of his theory as to the
j nonldcntlty and nontransmlsslblllty of
I human and bovine tuberculosis, after
which a resolution was unanimously
adopted recommending "that preven
i tlve measures bo continued against
bovine tuberculosis and that the pos
sibility of the propagation of this to
man bo recognized."
The very extensive exhibits from
the various countries In America and
Europe attracted much attention and
presented n vast amount of lllustra-
I tlve material of rare educational val
ue. Phases dealing especially with the
prevention and treatment of tho dis
ease in its early stages predominated,
there being a great variety of models
of sanltorla and special appliances.
Same Here.
The oldest man In our town
Cannot recall, by heck,
A winter when he got so few
Snowballs in the neck.
Louisville Herald.
Social Distinction.
Boss What's the trouble down thero?
Mike Aw, the driver of tho steam
roller wants to be called a chauffeurs
Northwestern Academlan.
Merely a Suggestion.
Wills of rich men oft remind ns.
If In our graves we'd rest content.
We should in dying leave behind ns
For heirs and lawyers not a cent.
Judge.
Made a Noise. .
Church You say he's a very quiet'
man?
Gotham Yes, unless he's eattngV-1
Xonkera Statesman.
r
III
In Melodrama.
He njm he once supported Booth
And tells us how
It Jan him to support, forsooth,
X sawmill bow.
PROMISSORY CAR, FARE NOTES
Minneapolis (Van Wilt Save Tempora
rily Pennllets from Walking.
If you get on a Minneapolis street
car and find that you are broke or
have a ten or twenty dollar bill that
the conductor cannot change you will
not have to get off and walk. No, in
deed! the conductor will merely give
you n little Blip of paper which will
be a note promising to pay tho street
railway company the amount of your
fare at tho first opportunity.
Street car conductors In Minneapolis
were recently furnished with these
slipB, which read: "This certifies that
I am indebted to the Twin City Rapid
Transit company 5 cents nonpayment
of fare. I promise to forward this
amount Immediately to the office of
the company."
Passengers who persuade the con
ductors to trust them and then forget
to remit may be sued if the company
finds It needs the money badly.
Blggeit Flo Farm In the World.
John W. Gates and James Hopkins
of Diamond match fame have gone
into partnership In the establishment
of the largest fig farm In the world,
says a Galveston (Tex.) dispatch. It
is In Jefferson county, not far from
the Gates estate at Port Arthur, Tex.,
and more than 5,000 acres arc being
planted In fig trees. Tho two capital
ists own nearly 15,000 acres of fine
land, and they are planning to put all
of this into fruit growing before an
other season has passed. Expert fruit
growers from California and Florida
have been brought to Galveston for
the purpose.
MEANS
MUCH
To the level-headed young
man, a bank account,
added to a determination to
make it larger, means
much. The names of many
such are enrolled on
our books and the number
is steadily increasing.
Are you among the number?
Honestiale, Pa.
I ONLY $
FOR
By a recent urrtiitgcinciit with Mic iMiblislicrs w arc
able to offct
The New York Tribune Farmer
The "Human Life"
and THE CITIZEN
FOR ONE YEAR FOR $2.00
in Vn: TRIIJJ'M? 1'AUMUlt isn thoroughly practical, hclnfu .up-to-date
Illustrated national weekly Special naires for Horses. Cattle, Sheen, etc..
and most elabsratc and reliable market leports. .--..
Dr. C. I). Smpuri. the best known veterinary surgeon In America writes
regularly forTllKTKI
care and feeding of nil domestic animals, and his articles meet tho needs of
every practical working farmer, and interest every man or woman in 'tho
city or town who owns n horse or cow.
The "Human Life" Is a monthlv magazine with tho world's best contributors.
Sample copies of the three publications
sent on application to
THE CITIZEN,
Honesdale, Pa.
"The Era of New Mixed Paints !
This year opens with a deluge of new mixed paints. A con
dition brought about by our enterprising dealers to get some kind
of a mixed paint that would supplant CHILTON'S MIXED
PAINTS. Their compounds, being new and heavily advertised,
may find a sale with the unwary.
THK'ONIiY;rijACE:iNlIONESDAIiEM Tflll'P UIYEI1 D1IUTC
, AUTHORIZED TO HANDLE LnlLIUIt O ml ACU I Allt I O
IsJADWIN'S PHARMACY.
There are reasons for the pre-eminence of CHILTON PAINTS:
1st No one can mix a better mixed paint.
2d The painters declare that it works easily and. has won
derful covering qualities.
3d Chilton stands back of it, and will agree to repaint, at his
own expense, every surface painted with Chilton Paint that
proves defective.
4th Those who havo used it are perfectly satisfied with it,
and recommend its use to others.
LINCOLN'S LAST STORY.
Told to a Congressman Night Before
the President Wat Assassinated.
What was doubtless the last story
told by President Lincoln and which
has heretofore escaped publication
was recently related to the house of
representatives by General Kelfer of
Ohio, says a Washington dispatch. A
bill to reorganize the militia' of the
District of Columbia was under dis
cussion. It met the criticism of Gen
eral Kelfer, who said it reminded him
of a story told by President Lincoln
the night before he was assassinated
to the late Hon. Samuel Shellabarger,
for many years a member of con
gress from Ohio.
Mr. Shellabarger, said General Kel
fer, called at the White House to re
quest the appointment of a constitu
ent, to a staff position. "That reminds
me of a story," responded President
Lincoln. "There was a woman living
on the banks of the Sangamon in the
early days who bad the reputation of
being able to make a good white shirt.
An Irishman about to get married or
dered a shirt from her for the cere
mony. She made the shirt and
starched It, but when the Irishman
put it on he found that the starch
went all the way around, and be re
turned It for reconstruction, with the
comment that he didn't want a shirt
that was nil collar.
"The trouble with you, Shellabar
ger," Mr. Lincoln remarked, "is that
you want the army nil staff and no
army."
Good Wlvee.
A wife, domestic, good and pure,
like snail, should keep within her door.
But not, like snail, with silver track.
Place all her wealth upon her back.
MECHANICS' BANK.
2.00
ALL !