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A STUDY OF BRITISH LABOR
BY
ARTHUR GLEASON
NEW YORK
HARCOURT, BRACE AND HOWE
1920
COPYKIQHT, 1920, BY
HARCOURT, BRACE AND HOWE, INC.
THE OUINN ft BODEN COMPANY
RAHWAV. N. J.
CONTENTS
PAGE
[NTRODUCTION 3
SECTION ONE
CHAOS AND ASPIRATIONS
CHAPTER
I. CHANGE 5
II. A REVOLUTION WITHOUT A PHILOSOPHY 9
III. LABOR THE UNREADY 25
SECTION TWO
THE YEAR
I. THE BRITISH COAL COMMISSION 33
II. ROBERT SMELLIE 56
III. THE NATIONAL INDUSTRIAL CONFERENCE 70
IV. YOUTH AT THE STIRRUP. — THE LABOR PARTY CONFERENCE AT
SOUTHPORT 79
V. THE CONGRESS AT GLASGOW 112
VI. THE RAILWAY STRIKE AND THE FOURTEEN .... 136
SECTION THREE
THE WAY THEY DO IT
I. THE WAY THEY Do IT 147
II. GENTLE REVOLUTION. 1 152
III. GENTLE REVOLUTION. II. . 161
I. WORKERS' CONTROL (BY FRANK HODGES, SECRETARY OF THE
MINERS' FEDERATION) 169
II. THE SHOP STEWARDS AND WORKERS' COMMITTEE MOVEMENT
(BY J. T. MURPHY) 184
III. THEIR IDEAS (BY J. T. MURPHY) 201
v
vi CONTENTS
CHAPTER PAGE
IV. SELF-GOVERNMENT BY RAILWAYMEN (BY C. T. CRAMP,
PRESIDENT OF THE NATIONAL UNION OF RAILWAYMEN) . 212
V. THE ENGLAND THE WORKERS WANT — WHEN — How (BY
ROBERT SMILLIE, OF THE MINERS' FEDERATION) . . . 215
SECTION FIVE
PROBLEMS
I. WOMEN 223
II. BOTTOMLEY 240
III. WARBLINGTON.— THE OLD ENGLAND 243
SECTION SIX
THE SUMMING UP 249
APPENDIX
SECTION ONE
THE EMPLOYERS
I. FEDERATION OF BRITISH INDUSTRIES. — THE CONTROL OF IN-
DUSTRY.— REPORT OF THE NATIONALIZATION COMMITTEE . 281
II. EVIDENCE OF THE RIGHT HONORABLE BARON GAINFORD OF
HEADLAM TO THE COAL INDUSTRY COMMISSION . . . 302
III. MY DREAM OF A FACTORY (B. SEEBOHM ROWNTREE) . . 306
I. NATIONAL INDUSTRIAL CONFERENCE REPORT (APRIL 4, 1919) 317
II. THE BUILDERS' PARLIAMENT ........ 339
III. JOINT STANDING INDUSTRIAL COUNCILS (THE WHITLEYS) . 358
SECTION THREE
THE WORKERS
I. MEMORANDUM ON THE CAUSES OF AND REMEDIES FOR LABOR
UNREST 37*
II. THE NATIONALIZATION OF MINES AND MINERALS BILL . . 304
III. PRECIS OF EVIDENCE (G. D. H. COLE) 409
CONTENTS vii
SECTION FOUR
THE JUDGMENT
CHAPTER PAGE
I. COAL INDUSTRY COMMISSION ACT, 1919 (THE SANKEV RE-
PORT) 422
II. GOVERNMENT OFFER TO RAILWAYMEN 441
SECTION FIVE
THE PUBLIC
I. THE ENGLISH MIDDLE CLASS 446
II. ORIGINS OF BRITISH SOCIALISM 455
III. THE NEW CLASS OF GOVERNMENT SERVANT . . . .477
IV. WHAT PEOPLE SAY 487
INDEX ... 507
INTRODUCTION
THIS book tells what the workers want, in their own words.
It is not an interpretation by an intellectual of what he thinks
labor ought to want. It is the human record of British labor
as it goes to victory, reported by an American for Americans.
It tells what the explosive ideas are which have long lain un-
discharged in human consciousness. It tells in their own
words who the leaders are, what the strikes meant, what the
workers have won, and what they seek. Labor at home is an
agitation; in Britain it is forming public opinion. The trade
unions are an integral part of the State. The great trade-
union Socialists are successfully fighting the sweep of anarchy
from Eastern and Central Europe and the murderous bitter-
ness of American industrial relations.
In this book the writer completes a five years' study of
the British. He attended the conferences, met groups of
trade unionists, talked personally with the leaders. He sat
through the two sessions of the Coal Commission, attended
the National Industrial Conference.
One of the chapters in the book is by Robert Smillie, miner,
founder of the Triple Alliance, most powerful trade-union
leader in Europe. Mr. Smillie answers for American readers
the questions which millions of people have been asking:
"What kind of England do the workers want?" "When?
How soon ? " " How ? By bloodshed, universal strikes, or
votes ? By public opinion or organized pressure ? " Mr.
Smillie describes the revolution now under way, how the vic-
tory will be won, and the date of the achievement. He says,
" It is a race between Socialism and revolution. Socialism
is the only program of reconstruction that is offered."
The Appendix gives in full the important documents of the
4 INTRODUCTION
social revolution. It gives the famous memorandum of the
trade unions to the National Industrial Conference — sup-
pressed by the Government. It gives the profit-sharing
scheme of the Coal Owners ; the payment-by-results scheme of
the 16,000 leading firms, known as the Federation of British
Industries. It gives the Report of the Builders' Parliament,
signed by three employers and the workers, calling for
the abolition of " the owner," and the end of profit-making.
It gives the demands of the Miners for full workers' con-
trol. It details the evidence of the Coal Commission on
the new type of Government servant which nationalization
demands and which Sidney Webb produces. It places the
Middle Class, and shows the origins of British Socialism
in the revolutionary mind of the British people.
The old British industrial system is dying. It was decaying
long before 1914. It was killed by the War. It was the system
of private enterprise, directed by the profit-making motive
of the ruling group, and operated by the mass of workers,
driven by fear and hunger. Through organization the work-
ers have obtained such control over industry as to render it
unworkable at their will. They refuse to give high produc-
tion except on their own terms. Their terms are a new
industrial system — the Socialist State,1 with workers' control.
They have presented their ultimatum. Step by step the
new order is being established. It is being done without
armed insurrection, or bloodshed. It is gentle revolution of
the good-humored British brand. It may appeal at one or two
points to America, torn by hysteria and bitterness. England
for centuries has created the institutions which other nations
perforce copied in order to survive.
England to-day is creating a new great society while the
rest of the world is swaying in class-combat, or sunk in
despair, or menaced by reaction.
defined by the Labor Party.
SECTION ONE
CHAOS AND ASPIRATIONS
CHAPTER I
CHANGE
BRITAIN is faced by universal unrest in the working class
and by a demand that economic power shall be shifted from
the owners of capital to the workers. In good faith many
men are stating that this social revolution (which is world-
wide) is the work of Marx and Sorel, or of a handful of
" middle-class politicians," " intellectuals," " agitators," and
"Jew Bolshevists." In short, that the conquest of human-
ity's thinking which Jesus and his eleven disciples and his
multitude of later followers in nineteen hundred years could
not accomplish, has been wrought in one generation by a
small self-seeking incompetent group; and that the masses
of people everywhere (exactly, the human race) has been
led astray like sheep. But the causes lie deeper than " Bol-
shevik gold."
Britain is the text of the world revolution because her
history promises that she will devise staunch channels for
this new impulse of the human spirit, as she has done down
the generations. With many failures she has maintained a
tradition of freedom of speech, and of liberty for the indi-
vidual, which gives a temperate climate for social revolution.
And she possesses a political instinct for compromise and ad-
justment, which enables her to construct the machinery for
profound change. I venture to predict that England will
make an adjustment early and sane, and that she will be the
first country to enter the new age equipped and unembittered.
The ideas which are now remolding institutions in Eng-
5
6 CHAOS AND ASPIRATIONS
land and in Europe have lain hidden in the heart of hu-
manity through the ages. They are " high explosives." They
are dangerous to established things. They mean the over-
throw of privilege. They have a long history. They rode
the imagination of several of the Hebrew prophets. They
reappeared in a few passages of Plato. They took shape
in the " natural law " of the Latins and the Churchmen.
They were reborn in the beginnings of England, and flared
and flickered from John Ball to the Chartists. They flashed
briefly in action a few times in France. It is naive to confuse
their origins with the researches of a German exile in the
British Museum, or with a middle-class Bergsonian in
Boulogne.1
But they never received a trial. They welled up from
man's suffering and aspirations only to be forced back to
the deeper regions of his unconscious life, where they con-
tinued their subterranean tunneling, a stream seeking the
light. The instinct for freedom, the desire for equality, never
died.
These ideas have taken on the expression of each period
in which they struggled for mastery. The expression of
them to-day is:
The workers wish to be the public servants of community
enterprise, not the hired hands of private enterprise.
They refuse to work longer for a system of private profits
divided in part among non-producers.
They demand a share in the control and responsibilities of
the work they do (not only welfare and workshop conditions,
but discipline and management and commercial administra-
tion).
They demand a good life, which means a standard of living
(in terms of wages and hours) that provides leisure, recrea-
tion, education, health, comfort, and security.
Or, putting these desires into the compact phrases of agi-
tation: The workers are using their economic and political
1The statement of these ideas, historically, and their pedigree are
given in the Appendix, Section 5, Chapter II.
CHANGE 7
power to obtain nationalization of key industries, joint con-
trol in the management of them, a minimum wage, a basic
wage, a shortened working week, a capital levy on war
profiteers.
Before the War, these ideas about property, profits,
privilege, freedom in work, equality, public service, the State,
were rapidly approaching their time of testing in action.
From the beginning of the twentieth century a revolutionary
period was in swing. The War speeded up the pace.
The War weakened Government by Parliament or Con-
gress. It left naked and unashamed a little inner group of
executives ruling the State, which was Government by inner
Cabinet. We have even learned (from such partial revela-
tions as Henderson and Barnes have made) that not all of
this tiny group were fully consulted. Accordingly we saw
Government by Lloyd George. For the possession of his
person, the great organized groups struggle. Disregarding
the debating society of Parliament, and going directly to
the sacred presence of the chief of the State, financiers,
business men, the press, and trade unions present their de-
mands. Public opinion is the timorous cry which the middle
class and the unorganized fringes of society make at the
spectacle of the struggle.
Labor was weakened politically by the War. Its elected
representatives were powerless on policy. Its manifestoes
were scraps of paper.
But its industrial action was amazingly strong — an as-
tonishment to itself. It needed but the threat of a strike
for swift redress in the scale of living. One gesture from
Smillie, and Asquith reversed Government policy on coolie
labor. Labor had only to shake its puissant locks to see a
ripple of respectful wonderment pass over the face of so-
ciety. It was not the only factor in production. But it
learned that it was one of the indispensable factors. The
poor began to dream dreams. From the chambers of their
buried life ancient hopes rose again.
For the first time in history partly conscious of their power,
8 CHAOS AND ASPIRATIONS
the workers now determine to create a social order in which
they share the benefits, the responsibility, and the control.
Huge arrears of ignorance and incompetence remain to be
overcome before this new estate can administer deftly and
smoothly. In the transition period, much hangs on the de-
cision which individuals of the possessing class will make.
If the experts, the men of directive capacity, the managerial
group, and other useful members of the middle class are
surly at the change, and refuse to work the machinery of pro-
duction, there will be more trouble than the western world
has yet seen. Only by determined good-will can the next
ten years be made even tolerable.
CHAPTER II
A REVOLUTION WITHOUT A PHILOSOPHY
THE " arbiters of contemporary events " are the workers, but
they do not fully know it. The center of authority is in labor,
but it exercises its authority only in spurts and spasms.
Failure to recognize this latent power of labor is to lose
track of where " the ball " is and to whom it is being passed.
It is to concentrate attention on the blanketed figures at the
side lines, who madly dance up and down and scream.
Mr. James A. Farrell, president of the United States Steel
Corporation (at the sixth National Foreign Trade Convention,
April, 1919), said: "Production is always a question of
profit," and he called it " a fundamental law."
Fundamental laws, like general principles, have a way of
escaping under sharp analysis, like a netted jellyfish.
That he meant " profit " in its meaning of reward for
private effort is proved by his preceding and qualifying
sentence in which " he called for such legislation on com-
merce as to render the enterprise competitive."
The luxury of an incentive of unlimited rewards to induce
idle capital to invest has been purchased in Britain by low
wages to manual workers and low salaries to managers,
technical men, and men of directive and administrative
ability. This gamble and adventure of sliding scale returns
to capital have been proved to be a luxury. What is more
needed is an incentive to managers and to manual workers
to give high production. Private enterprise, private owner-
ship, which aims at profits for shareholders, has failed to
give the needed incentive to workers by hand and brain.
Large sections of workers refuse any longer to operate the
system of private enterprise: that treadmill of muzzled oxen
which grinds out profits for shareholders. The social revolu-
9
10 CHAOS AND ASPIRATIONS
tion, now under way in Britain, has been hastened by this
fact that the capitalists and employers * have lost control of
labor. Labor in certain of the key industries refuses longer
to work for a system of " private enterprise " and " private
profits." In America " private enterprise " is a religious idea,
closely interwoven with the ideas of " God " and " Coun-
try." To challenge it is to pass under such scornful censure
as met the atheist in the days of State religion. But in Britain,
war-profiteering destroyed the last vestige of reverence for
" private enterprise " as a religious idea. And intellectual
respect for " private enterprise " was undermined by the
Coal Commission, where the coal owners were unable to
construct a case against the naive questioning of Mr. Smillie
and Mr. Sidney Webb.
The lords (a Duke, an Earl, and some Marquises) made a
better showing in their defense of royalties (for which they
give no work, but receive 5^ pence on every ton raised in
Britain) than the coal owners made in their defense of
profits. The reason was simple. The coal owners waged
their combat on facts, and were routed because facts were
against them. The lords fell back on mysticism — the great
tradition of the upper class — religion, morality, the sacred-
ness of property. The voice of each of them rang with
conviction (except the voice of the very charming Marquis
of Bute, who lisped). To state a belief in things unseen is
an act of faith, and always inspires respect among intelligent
persons. So when an engaging red-haired youth, named
the Duke of Northumberland, uttered his conviction that
England would go down if his unearned income was touched
the King's Robing Room rang with applause.
The very moderate and minor amendments which the
workers have already obtained, arouse a loud cackle of dis-
may. When the knife really enters there will be a cry. To
obtain a standard of well-being which merely puts them on a
level with that of corresponding American workers in pre-
1 With the good-will of labor withdrawn, their " property " loses
in value.
A REVOLUTION WITHOUT A PHILOSOPHY 11
war days, the British workers have had to take determined
action, which is described as revolutionary, and which will
dislocate the industrial system as it existed before the War.
It will take many years, perhaps a generation, to work out
these demands for a decent minimum, and meanwhile pro-
duction will suffer, prices in competitive foreign trade will
go against the British exporter. It now requires a revolution
to accomplish what in a country of richer natural resources,
of higher wages, of modern machinery, would have taken
place automatically. So long has justice been denied that
the simplest changes mean drastic reconstruction, with an
upset. So simple and elementary a step as, for instance, the
transfer of the key industries to public ownership, will be
bitterly fought. Britain was a 29-shilling-a-week country.
Year after year and up to the day of the War, men were
underpaid. Britain conducted her business (commerce and
industry) on a wage scale so low as to give no well-being
to the mass of manual workers, and primary poverty to a
considerable proportion of them. Now there is going to be
poverty for all. The upper classes put off paying the
score. They played their system of underpay till it was
over-ripe. Now there isn't enough machinery ready to ease
them into plenty. Labor is at the door and. demands the
greatly higher wage. Too late for gentle adjustment. Now
it is pay the wage and lessen the hours, and lose the mo-
nopoly grip on foreign markets. It is poverty for all.
The price Britain paid for building an economic system
on a foundation of human misery is this:
1. Her men of directive managerial administrative ca-
pacity loafed on their job. They failed to install sufficient
modern standardized machinery in industry. They saved
costs by cheap labor, instead of saving costs by high pro-
duction through modern machinery and high wages.
2. Sections of the upper middle class and the upper class
lived on the community through the ownership of land, royal-
ties, wayleaves, speculative shares. A more equalitarian so-
ciety would have driven them into the ranks of the producers.
12 CHAOS AND ASPIRATIONS
To-day they are being forced to work. As M. Jouhaux, sec-
retary of the French Federation of Labor, said on June 26:
" The world stands before the bankruptcy of the (middle
class."
3. Low wages affected the British working class:
(a) by leading to the emigration of some of their
sturdy, adventurous, ambitious stock;
(b) deterioration in physique of sections of the indus-
trial population;
(c) the lessening of efficiency not alone through di-
minished vitality but also by breeding bad habits of
ca' canny, i.e., of slack work, or restricted produc-
tion. >
(This wide-spread system of trade-union restrictions was
of course necessary as a protection against overwork, long
hours, the strain of speeding up on impaired reserve
strength.)
There was a hot time coming to Britain, and it has come.
There is nothing that can stop the tumble, for the mass is
in motion. The day of reckoning would have come if there
had been no war.
The middle class are protesting vigorously at being auto-
matically abolished. They do not turn their wrath upon the
economic system which in its ebbing has left them high and
dry, as the tide leaves a boat on the beach. They turn their
wrath upon labor, whose high wages are to them the visible
sign of their own decay, and therefore seem to them the cause
of that decay. But they fail to ask why their own incomes
have not lifted. If they had asked the question, they would
have found the answer. They cannot better their incomes
because they do not " strike." And the reason they do not
strike is because they cannot. If they struck, nothing would
happen. The crops would still grow, the harvesters would
still come bringing in their sheaves. Engineers would roll
the Liverpool trains into Euston Station. Coal would be
hewn. Girls would still stitch. Folks would continue to be
be fed and clothed and transported. The solar system would
A REVOLUTION WITHOUT A PHILOSOPHY 13
revolve, and the little wheels of industry would revolve. Life
and the human race would go on untroubled, without blinking
an eyelash if the middle class rose in a splendid 'fury and
established a soviet and the dictatorship of the respectable.
Theirs would be a heroic gesture, but a gesture in the void.
They are not of the stuff to make earth tremble.
Their difficulty is that they do not perform a function
which is any longer essential. As their function fails, their
" rights " fade away.
The Nineteenth Century was the last century of the middle
class — " that portion of the community to which money is
the primary condition and the primary instrument of life." 1
They were the individual middlemen, and that function is
being taken over by the vaster organization of distribution,
by chain stores, by co-operative societies, by great emporiums.
They were the collectors of little individual pools of capital,
and that function is being taken over by the big trusts and
nationalized industries, which use their own productive effi-
ciency in terms of present profits to accumulate for reserves,
extensions, and new embarkations. As the process of col-
lective expropriation proceeds, through the capital levy, death
duties, profits tax and income tax, this section of the
middle class is going to be gently and almost painlessly elim-
inated.
But there are groups in the middle class who do perform
a function. What of them?
A large section of the " salariat," the black-coated pro-
letariat, are already forming their associations and trade
unions and getting into the game. Britain has the Railway
Clerks' Association of station-masters, agents, and chief
clerks. The Post Office and Civil Service has a Postmen's
Federation of 65,000 members, a Postal and Telegraph Clerks'
Association of 27,000, the Fawcett Association of 6,000, the
new Society of Civil Servants, the Association of Staff
Clerks, and others. The National Union of Teachers has
100,000, and is so thoroughly organized as to call strikes
1 No definition of the middle class, yet devised, is adequate.
14 CHAOS AND ASPIRATIONS
and win wage advances. There is a Union of Engineering
Foremen and a Federation of Brain Workers. The Associa-
tion of Engineering and Shipbuilding Draughtsmen is a
trade union and a part of the labor movement. The Associa-
tion of Industrial Chemists is on the way.
While the useless and festering mass of the middle class
can be extracted without damage to the body politic (without
any notice even being taken, except for the momentary cry
at the peak of the operation), the same swift skilled treatment
is not possible or desirable for these living members, just
listed. Neither hot air nor gas could disguise the loss, if
anything rude were done to managers, deputies, supervisory
grades, professionals, superintendents, foremen, brain work-
ers. Many of their associations have joined and are joining
the labor movement. Others are resolute in keeping clear.
The miners have often kept themselves clear of the labor
movement. Thus, when Lloyd George harnessed in the Brit-
ish trade unions to the unified purpose of the State (includ-
ing later the execution of the secret treaties), the miners
refused to sign away their power. Being a key industry, they
could enforce their will. It is possible that in these next
five years we shall witness similar behavior on the part of
powerful professional associations like the doctors. They
could not go down to extinction like the bulk of the middle
class, because they perform a supremely important function,
and it is conceivable that they may prefer a lone Guild — or
Soviet — role to that of affiliation to the Labor Party.
On the other hand, the teachers in recent annual confer-
ence frankly confessed their debt to labor, and a section of
teachers from the Rhondda Valley, avowedly under the in-
fluence of the miners' example, successfully led the confer-
ence to demand workers' control.
I heard the drowned voice of the technical expert at the
National Industrial Council; Sir Robert Home and Lloyd
George had got their industrial community nicely lined up
into two neat compartments — employers and workers. And
suddenly out of the dim hall came a small voice of protest,
A REVOLUTION WITHOUT A PHILOSOPHY 15
and the protestant walked to the platform and spoke his
piece of how he represented a large group of technical em-
ployees.1 He was promptly squelched by the Government
officials, who implied:
"Why is life full of these alien particles? They tear
through paper programs. They poison the pipe of peace."
At any moment this pathetic invaded little neutral may
become the Serbia that precipitates the class war, or the Bel-
gium over whose dead body as a moral emblem the Big Ones
fight. Always the fight is said to be on behalf of the Little
Nation. The royalty owners and coal owners pleaded that
rich rewards should go to directive capacity. Then the rec-
ords were dug up and it was found that a large percentage of
colliery managers received £400 a year.
These lively remains of the middle class will have to be
incorporated in the new social order.
The Guild of Insurance Officials numbers 10,000 and in-
cludes all branches of insurance staffs from branch man-
agers to junior clerks. There is the Bank Clerks' Union. The
Professional Workers' Federation numbers 174,000, and in-
cludes the National Union of Teachers, the Incorporated
Association of Assistant Masters, the Customs and Excise
Federation, the Second Division Clerks' Association, the As-
sociation of Assistant Mistresses. The National Union of
Journalists, which met in delegate meeting on Good Friday,
represented 4,000 members, out for " salaries and hours." A
representative said : " The gentleman who turns out the gas-
lamps in front of my house is paid more than my colleague;
the other gentleman who calls to record the figures on my
gas-meter is paid more than I am."
These organizations range from group meetings to trade
unions, but they are alike in their consciousness of function
and in their demand to win representation in the State be-
cause of that function. Organized management, organized
technical and scientific knowledge and skill is, then, in some
1 The Society of Technical Engineers.
16 CHAOS AND ASPIRATIONS
instances, joining the labor movement. In other instances, it
is an independent force in industry.
These organizations are of more importance than the
Middle Classes' Union, recently formed, which will not be
effective, because, failing to represent function, it will be
unable to exert industrial pressure. So its resolutions will
pass into the Morning Post, instead of into law. It has no
power to combine, because it does not perform essential serv-
ices. If it attempts to break strikes by black-legging, it will
create disorder and will be eliminated by any Government
which seeks law and order.
The organizer of the Middle Classes' Union is Kennedy
Jones, M.P. He says:
In almost every country in Europe to-day the middle classes
are being attacked, i. Who are the middle classes? 2. What can
the middle classes do, even if they organize and combine? The
middle classes are all those unorganized citizens, from the point
of view of voting power, who stand between the organized and
federated worker on the one hand and the smaller, but almost
equally powerful class, who stand for organized and consolidated
Capital on the other. The middle classes are that large body in
the nation who work with their heads rather than their hands,
and in whom by far the greater part of the national brain is con-
centrated. They comprise all the professions, learned and other-
wise, shopkeepers, and clerks, and those who help to manage in-
dustries and businesses of every sort. To these classes belong both
the soldier and the sailor, the stockbroker and the clergyman, the
barrister and the architect, the grocer and the solicitor, the author
of great works and the men and women whose writings are con-
fined to ledgers.
At question time a lady asked if there was any objection
to younger branches of the aristocracy, " who are as poor as
church mice," joining the Union.
The chairman replied that if any impoverished earl wished
to join the Middle Classes' Union, they would be glad to
welcome him.
In advertising for members, the Union announces :
A REVOLUTION WITHOUT A PHILOSOPHY 17
The Union has been formed to protect the great, hitherto unor-
ganized, Middle Classes, against the insatiable demands of Labor,
the Power of Capital, the indifference of Governments.
There are many definitions of the middle class as seen by
itself. Here are a few:
Those members of the Community who work with brain and pen.
Lying between Capital and Labor.
Every one between the artisan and the aristocrat.
A state of mind.
People with small fixed incomes.
Bernard Shaw says that a middle-class man is a man who
would refuse anything less than a five-pound fee.
The Middle Classes' Union is amusing, but unimportant.
It is unimportant because all that is effective in it will seek
expression through other groups — the professional associa-
tions and trade unions.
To sum up what has been said on the middle classes.1 (i)
The non-functioning sections are being squeezed out of ex-
istence. (2) Some of the supervisory grades are joining the
labor movement. (3) Some groups of managers and other
brain workers, such as doctors, are keeping themselves clear
of either armed camp of capitalist or labor. They are
likely to find themselves in the position of a neutral State,
lying between two great powers. (4) The artist, research
scientist, creator of values, will have the same lot in these
next few years as he has always known. The swaying of
forces in combat cannot make him more lonely than he has
been in the modern world. He will not be less lonely until
a free humanity is able to enjoy creative work. His sym-
pathies run with the disinherited who now, at long last, climb
to power. But he has no illusions that their sympathies will
be with him.
Certain theorists profess to see in the British labor move-
ment pure syndicalism. Thus, I quote from J. W. Scott,
1 See Appendix, Section Five—" The Middle Class."
18 CHAOS AND ASPIRATIONS
lecturer in moral philosophy in the University of Glasgow:
" Syndicalism and Philosophical Realism " :
Much current philosophy [by which he means the evolutionism
of Bergson and the realism of Bertrand Russell] would, if
true, essentially justify what is sometimes spoken of as the new
philosophy of Labor. Syndicalism is the voice of the failure of
something. The placing of the chief end of men in economics
and in the salvation of a class is of the nature of a relapse. It
is the failure of the long effort to achieve the good for man as
such — the good, not of one class, but of all classes. Syndicalism
is the failure of the socialistic idea to prove its fitness for po-
litical power. It is the very voice of socialism at the confes-
sional, confessing its inability to do what it set out to do, namely,
run a State.
It is true that a few extremists talk in Bergsonian terms
of the change. " The march of events." " The revolutionary
moment." " The instinctive movement of the masses." They
have gone on from Marx to Bergson. In the old patter, the
economic conditions were going to ripen inevitably till the
proletariat took over power. Now, " the march of events "
is " an instinctive movement " of the people.
But to imply that British labor is syndicalist is an intellec-
tualistic feat which could only have been carried through an
entire book by a very young philosopher living in the Clyde
area. In general, British labor has no philosophy,1 no general
outlook, but deals in piecemeal gains by compromise and
opportunism, with a floundering sureness, like the land-
progress of a seal. It has, however, determined on those
gains (such as, for instance, to consolidate the wage-gains
made during the War), and those gains are ripping the old
order into small bits. Labor is at the beginning of the
changes which it will put through in the next ten years.2
Those changes seek to obtain:
L Minorities have a philosophy. The passage refers to the mass.
2 And a full generation at least will be required to " constitution-
alize" and stabilize the changes. The next few years will see more
unrest than Britain has known in a century.
A REVOLUTION WITHOUT A PHILOSOPHY 19
1. A higher standard of living than the average wage of
any industry yet affords.
2. More leisure than the working day, as set in any in-
dustry, yet allows.
3. Housing (actually in brick, not on paper).
4. A regulation of private profits.
5. The nationalization of public utilities.
6. Joint control in management throughout industry.
7. Taxation to distribute the wealth of the community.
8. The elimination of unemployment.
9. The creation of a good life by education.
The common people are seeking a cure for what their bril-
liant young champion, R. H. Tawney, calls " the sickness of
acquisitive society." They are, as Arthur Henderson puts it,
in " moral antagonism " to national effort for private gain.
They are literally sick to death of the life they have known,
as organized and governed by the owners of land and capital,
the instigators of war, the manipulators of peace with public
phrases and private promises. With them in their quest for
a good life are the noblest of the Church, such as William
Temple. With them are many of the trained economic and
industrial minds of England's elite, such as J. A. Hobson,
Tawney, Webb, Cole, Brailsford.
But, for all that, the task is gigantic because the status quo
has an immense specific gravity, all its own. Inertia is woven
into the fiber of human nature.
Because of some brilliant pamphlets the friends of labor
looked to it for a cavalry charge through the disorganized
hosts of privilege. They hoped for a flying squadron, in
perfect battle formation, led by some plumed champion, to go
spurring and prancing towards a clearly seen objective, while,
falling back before them, the old order would be shouting its
surrender. Nothing of the sort has happened. The imme-
diate gains of labor are being made sectionally and not by
the unified movement. They were largely made in 1919 by
the power of the Triple Alliance, headed by Robert Smillie,
the miner. He is the greatest leader of labor in this gen-
20 CHAOS AND ASPIRATIONS
eration.1 He is simple and homely, of rugged integrity,
of a devotion to his followers unmatched since Keir Hardie
and Alexander Macdonald. But he and his Triple Alliance,
in 1919, acted alone, and then waited for the other millions
of labor to catch up and receive the distributed gain. Labor
is weaker in influence and slower to act than was anticipated.
The clue has not been found. The leader of all is not in
sight. The organization is not perfected. So the mass
movement drives on under the urge of its instinct to a
series of next-steps, after the path has been broken by the
miners and railwaymen.
There is an utter absence of central government in British
trade unionism. If trade unionism had a punch mated to its
bulk, it would have knocked out some of its enemies before
this. But its punch must be made through the Parliamentary
Committee of the Trades Union Congress, and the P. C. is so
perfectly balanced with historical characters, leaders with a
past, forlorn hopes, and men to memory dear, that it is rever-
ent in the presence of authority, and eminently solid and safe
in an age of crisis. It is sometimes in part a blend of bar-
tered votes. The ancients are occasionally on it, the dis-
credited, the defeated. All the lazy kindliness of English
nature wreaks itself on the P. C.
There is J. B. Williams, who wails that the littlest union
is never listened to. So on to the P. C. he goes.
There is W. J. Davis, the oldest active trade unionist. It's
a pity not to give it to the fine old man.
There's Havelock Wilson. We swatted him proper in three
votes. We hate his policy. So, like good fellows, we'll shove
him aboard.2
Then a dashing young leader of British Bolsheviks prances
down the aisle and swaps votes for one or two more
places. And by the time the consolation prize and auction
features are cared for, the membership is buried deep in
1 In personality, Smillie is much like Eugene Debs. But the British
democracy has not yet sent him to jail.
8 Until 1919, when they pushed him into the sea.
A REVOLUTION WITHOUT A PHILOSOPHY 21
cotton wool, and there is little decisive action for another
year.
But not only is there this temperamental slowness of the
British, there is at the moment a climate of disillusionment.
Most of the Government program of reconstruction — hous-
ing, land, education — has temporarily fallen down. Some day
it will greatly eventuate, but not to-day. The people after the
War had looked for a logical fourth act to the drama, with
stern justice meted to the wicked, rewards and happiness to
suffering innocents, and a general sense of well-being. But
they found that a fever had burned them till they were rest-
less instead of satisfied. They found that they had fed on
poison so that they were mortified instead of purged. A
weariness set in, a carelessness of what comes after, and, as
undertone to the celebration of p'eace, " the quiet weeping
of the world." A suppressed bitterness of suffering long
endured, inequalities of sacrifice, the nag of old wounds,
unemployment, and hate — these are the deposits of the heady
tonic of war. One has the sense of a gathering doom, some-
thing slowly cumulative through the four years of prelude,
and now thickening for the crash and chaos. The face of the
sun is darkened over the earth that is black, and the veil of
all the temples is rent. Faith has died with the death of the
young men. " Only within the scaffolding of these truths,
only on the firm foundation of unyielding despair, can the
soul's habitation henceforth be safely built." Belief and
hope — we are beyond those eager projections of man's de-
sires. This sadness and despair condition all efforts of
group or individual. For the moment, the full devastating
vision of the futility of human effort has fallen on Europe.
England shares in this. Why believe in the power of labor to
redeem a world where all things come to dust?
I have a friend in the Ministry of Labor, who, falling
under this disillusionment, and seeing with Scotch acumen
the limitations of labor, frankly questions its right to rule.
He said to me : " I am a little doubtful about accepting labor
as the coming power. So I have been putting two questions to
22 CHAOS AND ASPIRATIONS
myself recently. Which side would I have been on at the
time of the French Revolution? And in an earlier day, would
I have been in the mob that cried ' Crucify him ' ? I wonder
now if I am making the refusal to accept a gain of the
human spirit."
But it has become academic to debate whether we shall
accept life and labor. The only matter for practical men now
to consider is the system to be erected on the ruins of pri-
vately owned and controlled industry. Which industries shall
be immediately purchased by the community ? How many and
which of the functions of management shall immediately pass
under the control of the workers? How shall this power of
the producers register itself in Parliament? Shall there be a
Special House of Producers inside Parliament? Or a Na-
tional Industrial Council outside? And what shall be the
relation of that to Parliament?
As soon as trade-union organization passes 50 per cent (of
male adult manual workers), the power of it is so great that
it must function directly upon Congress or Parliament, if the
State is to remain under constitutional Parliamentary author-
ity. Only because the American Federation of Labor con-
tains a minority of workers, has Mr. Gompers failed to recog-
nize the subversive character of his teachings. If labor does
not possess a political party, it must by the law of its own
growth break out in unlawful demonstrations.
Mr. Gompers, the syndicalists, and the revolutionaries of
Switzerland and Italy do not believe in the political expression
of labor. But British labor prefers to work along constitu-
tional lines, and does not desire to be forced to make its
democratic gains by direct action. It was driven to its recent
powerful and victorious use of the industrial weapon by the
failure of Parliament to carry out its pledges. The miners
believe that such theories as Mr. Gompers holds will lead a
State to destruction. Let labor organize for the ballot, and
vote in the measures it desires. That is why the miners sent
some 25 representatives to the House. That is why Mr.
Smillie has always devoted a large portion of his time to
A REVOLUTION WITHOUT A PHILOSOPHY 23
political propaganda. He believes that the State should rule
industry, and that the will of the workers should express
itself constitutionally. Occasionally the miners jog the State
into remembering some of its promises, by a pointed resolu-
tion.
In the mass of resolutions passed by labor gatherings, it is
sometimes difficult to tell which are significant.
There are pious resolutions.
Moderate pressure.
And direct-action-if-you-disregard-it.
Conscription is in the third category. Sending British boys
to Russia has recently passed over from the temperate zone of
Number Two to the hair-trigger of Three. It is the anger
and fierceness of the voice, the fervor of the Hear, Hears,
that betray whether the nerve has been touched that vibrates
to action. Labor, as a mass, is ignorant of foreign affairs in
general, and its policy is often the skilful and sane head-work
of its recognized intellectual leaders. Whereupon the Con-
gress or Conference dutifully but dully votes Yes, and
straightway forgets what manner of policy it thundered to
a waiting world. It is doubly hard for an outsider to tell
the difference between a blank cartridge, noisy but impotent,
and a smokeless Maxim-silenced bullet. Sometimes the poli-
ticians go wrong and think that a stick of dynamite is a
stick of candy. Mr. Lloyd George picked up conscription
and thought it could be chewed. If any other man had been
equally playful, it would have blown his head off. At that, it
jarred him.
The British prefer not to face a thing ahead of time. They
rely on their reserve strength to see them through. So, right
now, they are working a greater change than their talk about it
reveals. And it is going to be done with an accompaniment
of severer suffering than they let themselves realize. The
impulses and desires of millions of individuals are finding
expression. Innumerable transient particulars are drifting in
the stream of tendency. We speak of " labor " as if it were
a static thing, when often what we mean is a certain fierce-
24 CHAOS AND ASPIRATIONS
ness of some of the younger men, or a flicker of brief group-
unity in aspiration or resentment. But in spite of all those
separate particles of unique disposition, there is a common
direction in their striving. Pushed on by the movement itself,
they drift toward the sea, and already they are caught in
the groundswell of the storm.
CHAPTER III
LABOR THE UNREADY
THE War caught British labor unprepared. It required three
years for the workers to find themselves and begin to shape
a policy. So it is with the coming of peace. The post-war
world demanded a policy, and labor was unready. If there had
been a determined program backed by 6,000,000 convinced
workers (and their families) it would have won its way
against the Government, Parliament, the middle class, and big
and little business.
And by a program I do not mean a political pamphlet, like
Labor and the New Social Order, however brilliant and well-
balanced. The authentic aims of labor were stated in that
eloquent document, but they are clothed in the terms of
political change and Government administration, and their
appeal is to the political consciousness. Now the political
consciousness of labor is undeveloped, because its political
experience is slight. Instinctively it turns to industrial action,
because its desires and impulses have long gone out along that
track.
A labor program would have carried the day, had three
" if s " been granted.
(1) If British labor had been united.
(2) If the leaders had been agreed.
(3) If the Parliamentary Committee of the Trades Union
Congress were a central executive of trade-union govern-
ment.
Actually labor was in disarray, with war-weariness, chronic
inertia, large conservative blocs, and little revolutionary cliques
moving in various directions.
Its leaders were at loggerheads on aim and method (from
"more production" to "direct action").
25
26 CHAOS AND ASPIRATIONS
The Trades Union Congress is " an unorganized public
meeting unable to formulate any consistent or practical
policy," and its Parliamentary Committee represents very
perfectly the inertia, the weariness, the conservatism of the
membership.
A year has gone since peace of-a-sort came to the British
Isle. With the beginning of the year sectional strikes broke
loose. The aim of the workers was to hold war wages with
reduced hours. The miners went further and aimed at a
slightly better standard of living than that of pre-war days.
But so well tutored in misery and servility were all the work-
ers of Britain that no industry asked for an average that
should exceed $800 a year, and even these faint-hearted de-
mands for a wage of from $600 to $800 a year were called
revolutionary. And the same cries of ruin came from the
owners of land and capital as had come from their God-
fearing ancestors when it was proposed to remove tiny chil-
dren and pregnant women from heavy work underground in
the mines.
Then followed the Coal Commission and the National
Joint Industrial Conference; extra-Parliamentary extempo-
rized devices to save the face of Parliamentary Government,
when the power had moved. The Coal Commission was the
tribunal before which the old order humbly appeared. The
National Joint Industrial Conference was an affair of em-
ployers and workers where the Government figured in the
position of referee, second, and sponger-off. It mopped up
the spilled, received blows, congratulated each side, and noted
how many points had been scored. It finally announced " No
decision," and another great expectation faded. Mr. Lloyd
George appeared at that conference with all the irrelevance
of a beautiful woman on a battlefield.
England is slowly building new organs of government (both
in legislation and administration) outside of Parliament.
Political questions will still be handled at Westminster, but the
economic life of the nation will largely function through
trade unions, industrial councils, and shop committees. A
LABOR THE UNREADY 27
political Parliament is powerless to grapple with these eco-
nomic questions, because it is not present where these vital
forces are visibly active. What the Russians grabbed for
too swiftly in Soviets and workers' committees, England is
attaining step by step stumblingly in the Shop Stewards'
Movement and shop and pit committees. It is control
of industry by the producers (including, of course, foremen,
managers, draughtsmen, directors, technical advisors).
If by revolution is meant general economic paralysis or
riot, the British worker does not wish revolution. If by revo-
lution is meant the transfer of economic power from the
middle class to the workers, — an organic change — that change
is slowly, sectionally, painfully being made. And the worker
does not mean to watch this process eventuate in the fullness
of time, himself standing by as a casual spectator. He is
determined to see the process fulfilled in this generation. He
plays his part in bringing it to pass. He prefers settled order
to wholesale experimentation, but he does not prefer settled
order to piecemeal experimentation.
The British are trying to include all the revolutionary
aims at once: the conquest of power, the suppression of
counter-revolution, and the smooth working of the new
order. (And yet take them one step at a time.) Their method
is the persuasion of the intellectuals, the winning over of
the salariat, the splitting of the middle class, and the conse-
quent inclusion of useful middle-class members in the .Labor
Movement. The upper class is negligible. It has never been
sharply differentiated. There are few old families. Most are
like Smithson, who to his amazement became Duke of Nor-
thumberland. Those who have not been graduated from mid-
dle-class groceries, tea, beer, and soap are a small group as
compared with the community.
The Government has been caught as unaware by peace
as it was by the German Army pounding down on Paris in
August, 1914. Its "schemes," and "approved sites," and
" strongly worded circulars," are to the tidal rip of the mass-
in-motion, as the British Naval Reserves that went to save
28 CHAOS AND ASPIRATIONS
Antwerp were to the Prussian legions and the 1 6-inch guns.
I have seen both exhibitions. They are the twittering of
sparrows in a thunderstorm. In the London Sunday Times
for June 8th, Frederic C. Howe is quoted as saying : " Great
Britain has not carried through a single one of the great
ideas included in her reconstructive program." He is cor-
rect. No houses. A few hundred soldiers settled on the
land. The acquisition of land at landlords' prices.
The " literature " of any of these subjects is voluminous,
the schemes multitudinous. Of action there is little. Of
determined policy, none. . Everything is left to drift. It is
the first two years of war over again. Then, there were the
French to hold the pass, while England groped instinctively
toward final resolute action. God has always granted Eng-
land time to grope. He is a slow and constitutional worker
Himself, using trial and error. The devil is a fiery revolu-
tionary. Who will win?
The owners of land and capital have made large conces-
sions inside the old social structure. These will not suffice.
Labor demands a radical change in the division of the prod-
uct, and in the terms of ownership and management. Until
this is granted, there will be increasing unrest, recurring
strikes, and diminished production, leading ever nearer to
national financial disaster. To save their country, the own-
ers of land and capital must make a sacrifice comparable to
that of the volunteer soldiers. The first signs of trouble
were manifest last winter, and within three years they will
begin to force the issue. I believe that the change will be made
peaceably and constitutionally. I believe that the Coal Com-
mission will be the precedent for reorganizing the great in-
dustries. In short, Smillie (backed by the industrial pressure
of the Triple Alliance) was an arbiter of event, and labor or-
ganization is the instrument of the British constitutional social
revolution.
The change, now being wrought, will break into revolution *
^he orthodox revolution of force, with paralysis, riot, and blood-
shed.
LABOR THE UNREADY 29
if it is thwarted by the employers and the Government. B.ut
if the ruling class yield, the change will be made constitu-
tionally. The leaders of labor wish to make the transition to.
the Socialist State, managed by the workers, without loss
of life or loss of productive power. The first step only has
been taken in this change. The far greater steps remain to be
taken. The younger men wish to take them in the next two
years. The older men, say, five, ten, fifteen years.
The change, in any case, is being made within the frame-
work of a huge debt, worn-out plant, a falling volume of pro-
duction, fatigue, and bitterness. The sooner the workers
share the knowledge and the responsibility of these menacing
fundamental conditions the safer for the structure of society.
The War has brutalized and embittered all relationships from
family life to political procedure. Violence and immorality
are temporarily embedded in the consciousness of some of the
nation. So any wildness is possible, but I think bloodshed is
improbable. I think the overwhelming force of the trade
unions will awe the possessing classes into submission. The
workers, once in power, will realize for the first time that, as
the legacy of the War, they are faced with primary poverty
for the next twenty years. No nationalization, nor workers'
control, nor shop committee, can devise a machinery for escape
from the iron law of diminished wealth, lessened productivity.
But for the first time the workers will sit in at the banquet
which now will be dead-sea fruit.
The financial situation is the most serious of any since the
years following 1815. The debt approaches £8,000,000,000.
A daily expenditure of nearly £4,000,000 goes gaily on. Hours
are decreased and wages increased on a falling market. Un-
employment benefit was paid to half a million persons. Be-
tween 10,000 and 20,000 rich persons are spending £50,000,000
or more a year in luxury.1 And all this orgy is being written
off against future productivity. The Government postpones
the day of liquidating the War by creating more debt.
1This is a pre-war estimate, and is probably to-day an under-
estimate.
30 CHAOS AND ASPIRATIONS
Within three years, two things are inevitable :
A capital levy.
Hard work and greater production from all the community.
But labor will not give its fullest effort until —
The system of private profits is altered.
Workers' share in control is granted.
Full facts of industry are revealed by share in management.
There is no use in beating the big drum of high production,
as Professor Bowley and W. L. Hichens and the rest are
doing, unless the division of the product of industry is organ-
ized on a new basis. As long as the Dukes and Marquises
take royalties from every ton of coal, and Lord Tredegar's
"Golden Mile" of railway (3 double tracks, I mile long)
pays him, taxes not deducted, £19,000 a year on an original
outlay of £40,000, labor will not speed up to pay the interest
on war debt. These facts from the Coal Commission are
reverberating through the island.
The temper of the returned soldier will be the determining
factor in all this. The sacredness of life and property no
longer deters him from an impatient rush to the thing he
wants.
Britain has the " Young Men in a Hurry " — the 10 to 25 per
cent of the workers who demand a new social order without
delay. She has the-not-more than 1,000 wild men (in all
Britain) who would destroy the present order at a stroke by
tying up industry, and would establish a dictatorship on the
lines of Lenine.
She has the 20 or 25 per cent of " Old Timers " — the older
order of trade unionists, who desire gradual amelioration in-
side the existing order. These men (Walter Appleton, Have-
lock Wilson, Sexton, Tillett, Seddon, Stanton, Roberts, Clem
Edwards) rank much as Gompers does in America.
In between these strata lie the 50 per cent of silent voters,
with whom the final decision rests. Whether they move con-
LABOR THE UNREADY
31
stitutionally step by step, or instinctively in a swoop, will
set the history of the next five years.
The giants of the year have been Smillie, Hodges, Clynes,
and Henderson. Clynes is the consummate voice of the elder
labor statesmen. Hodges is the one young man of British
labor expressing the aspiration of workers' control. Smillie
is the rugged personality of the order of Lincoln, who by
moral authority and human sympathy is the greatest figure in
labor of this generation. Henderson is the adept, honest poli-
tician who thunders common sense. He is less gifted than
Clynes, but he has a policy. He is a battering ram of the
center, where Clynes is a brake.
The " private enterprise " type of young man is pretty sure
to emigrate in these coming years to some one of the busi-
ness republics.
The socialized miner, railwayman, engineer, shipbuilder,
cotton operative, will be the governing class of Britain-
national service, good wages, workers' control.
The rate of exchange will be determined between a business
republic (Canada, United States) and the socialist state1 of
Great Britain; and the relative general level of well-being
will then determine the number and quality of emigration.
It is safe to predict that a million or more persons will in
any case emigrate. But that is only the accumulation of the
average rate (200,000 a year for five years of damming up).
My trips to the North of England and to the Midlands
have convinced me that the situation is more disturbing than
Government officials realize. They receive their information
from the old-line trade-union officials, and they sit in their
barracks at Whitehall exchanging memoranda, writing de-
1 The word " socialism " is used throughout this book in the British
sense. It means a progressively changing social organism, where key
industries pass one by one under public ownership, where public
utilities are municipalized, with areas of industry under voluntary
co-operation, and other areas in private hands, and with private prop-
erty widely distributed. The British mind is neither syndicalist nor
communistic. It will seek to preserve all that is useful in the old
order, and is sure to preserve religiously much that is obsolete.
32 CHAOS AND ASPIRATIONS
tailed reports. They rarely talk with the militant leaders,
with the rank and file, or with the returned soldiers.
Thus, at Coventry, I heard George Morris, District Or-
ganizer of the Workers' Union (350,000), say of a certain
major, who was head of a jam manufactory :
He received so much a head for sending the boys out to the
front, and now I suppose he is buying back their dead bodies for
his jam.
The official and upper class tendency is to underestimate
the volume of the currents now running. At present they are
running under the surface. They are largely instinctive and
subconscious. But with an obstacle to dam them, they would
swirl up through the crust. They can still be canalized con-
stitutionally. God is very good to the English, and he may
give them a moratorium.
SECTION TWO
THE YEAR
CHAPTER I
THE BRITISH COAL COMMISSION
THE sessions were held in the House of Lords. The scene is
a beautiful high chamber, of gold, blue, and red — the King's
Robing Room — with scenes from the Round Table on the
walls. Fronting each other in informal but dramatic way
are the two systems of financial control (private enterprise
and nationalization) and the two theories of management
(autocratic and democratic). There are twelve commission-
ers and a judge. Three commissioners are coal owners, three,
miners, three are " impartial " representatives of allied great
industries, three are " impartial " economists, representative
of democratic ideas. Mr. Justice Sankey is of the new order
of judge. He gives liberty to the witnesses to tell their story
in their own way, and full scope to the commissioners for
cross-examination. There are no restricted areas into which
Dwners might pass with their profits discreetly cached or
syndicalists with loose, destructive theories of minority con-
trol. Sankey has a brisk suavity, with a delightful smile,
ind a firm will. He is a thorough gentleman, and in sweet
and patient fashion rescues an unlettered and muddled witness
and states the worker's case for him. He never employs
his rich humor against simple persons, ignorant and sincere.
But he shakes with judicially suppressed laughter when Sid-
ney Webb goes to the mat with a protesting statistician.
Quite right, you are quite within your right in putting the
question." When there was wrath at one witness, and the
twelve commissioners raised their voices together, the justice,
who is a large man, rose and in his blandest tone said, " Thank
33
34 THE YEAR
you, gentlemen, thank you for all contributing at once."
And when labor, in herd formation, trampled one famous
expert to the flatness of his own shadow, Sankey subdivided
for them the limits of their death-dealing function : " For
questions of the industry, Mr. Smillie; statistical, Sir Leo;
policy, Mr. Webb," said he. And he implied that treatment
from one of them was enough for any particular authority
who wandered into the witness chair, which itself began to
take on the atmosphere of the electric chair at Sing Sing.
I saw one owner, Mr. Thorneycroft, waiting his turn, eying
it with a grizzled gloom. No such latitude of questioning
has ever before been permitted in an official industrial inves-
tigation. Here you had a miner cross-examining a million-
aire employer, and driving him into a corner from which he
did not escape. And an owner asking a miner, " What do
you really want?"
Of the three miners, Robert Smillie will be dealt with in
the next chapter. Herbert Smith is the vice-president of
the Miners' Federation. Frank Hodges is the secretary; he
is a brilliant young miner, associated with the Guild Social-
ists and their ideas. He is clean-shaven, brown-eyed, lean,
and forceful — a workingman with education, and touched
with the hope of workers' control. To such a man, represen-
tative of the youth of the labor movement, wages loom less
largely than the vision of a spiritual freedom through widen-
ing functioning. If Smillie is the greatest personality thrown
up by the labor movement and the summation of a century
of struggle, Hodges represents the promise of the coming
generation, which will inherit the power. The Guild Social-
ists of the miners, the industrial unionists of the railwaymen
and transport workers (fed on the propaganda of the Labor
College), and the shop stewards of the metal workers are
some of the youth of the labor movement. Already cotton is
beginning to stir to the same winds of doctrine. And when
these five industries move, Britain alters its center of equi-
librium. The young are about to be heard.
Typical of the views of Mr. Hodges are the following :
THE BRITISH COAL COMMISSION 35
The miners have been excluded from management, although
they offered a plan for increasing the output. I assure you that
is the root of unrest. We have submitted hundreds of instances
of mismanagement — ineffective clearance, want of trams.
We have the changing ideas of one million men in relation to
their industry — their wish to be taken into confidence, their wish
for directive control. What alternate scheme do you suggest?
Do you propose to cast that aspiration away?
Of the three keen friends of labor at the table, "it is a
work of supererogation " (as President Hadley says) to in-
troduce Sidney Webb, the greatest mind in the Labor Move-
ment.
Sir Leo Chiozza Money was a Coalition Liberal in the
last Parliament (he is now of the Labor Party). He was
on the Blockade Committee, and the War Trade Advisory
Committee, and associated with the Ministry of Munitions.
Later he became Parliamentary secretary to the Ministry of
Shipping. His writings are well known. His facile manipu-
lation of statistics gives him the uncanny prestige of a Sher-
lock Holmes. Sir Leo is a little Diabolo — of Genoese blood;
his black eyebrows against the pallor of his face make tiny,
incipient horns. He has darting eyes. He is efficient in every
motion, selecting his pamphlet out of a pile, and turning the
pages with his left hand, doing everything the one best way.
He grows impatient with the muddle-headed witnesses, flicks
his wrists, crosses his legs and drywashes his hands, irritably
implying, "Is this the sad lot we have to deal with?" A
little man like a lightning bug.
R. H. Tawney is fellow of Balliol College, Oxford, a pro-
moter of the Workers' Educational Association, was director
of the Ratan Tata Foundation of the University of London,
is a writer of studies in economics. His hand is visible in the
Report of the Committee on Adult Education and the Report
of the Archbishop's Fifth Committee of Inquiry: on Chris-
tianity and Industrial Problems. He is in the line of the
long English tradition of the governing class — university
training and established church affiliation. And, like many
36 THE YEAR
of the church and the twin universities, he has aimed the
tradition at social change. A main drift of his thought is:
An acquisitive society reverences the possession of wealth, as
a functional society would honor, even in the person of the
humblest and most laborious craftsman, the arts of creation. To
recommend an increase in productivity as a solution of the indus-
trial problem is like offering spectacles to a man with a broken
leg, or trying to atone for putting a bad sixpence in the plate
one Sunday by putting a bad shilling in it the next. As long as
royalty owners extract royalties, and exceptionally productive
mines pay 20 per cent to absentee shareholders, there is no valid
answer to a demand for higher wages. For if the community pays
anything at all to those who do not work, it can afford to pay
more to those who do. A functional society would extinguish
mercilessly those forms of property rights which yield income
without service. There would be an end of the property rights
in virtue of which the industries on which the welfare of whole
populations depends are administered by the agents and for the
profit of absentee shareholders. [The Hibbert Journal, April,
1919.]
Abounding in good humor, Tawney hazes each witness,
and chortles with merriment when the gentleman, still smil-
ing back, sinks in the bog. Thus, an owner testified that
profits were needed in order to reward good management.
" I know nothing of these things," said Tawney ; " I sup-
posed that profits were paid to the capital invested. Tell
me, do profits go to the manager ? "
No one seeing this care-free, lovable young person would
guess that two years ago he lay for thirty hours in No Man's
Land, bleeding his life away. What saved him was the
fact he had previously drunk his canteen of water, and, being
parched, the blood so thickened as to form its own protective
clot. When the statement is made of labor conferences,
"These are graybeards and fathers in Israel; where are the
young and coming leaders?" the answer would include
Tawney and Hodges.
The three members of the commission representing em-
THE BRITISH COAL COMMISSION 37
ployers generally are Arthur Balfour, Sir Arthur Duckham,
and Sir Thomas Royden. The three coal owners are: J. T.
Forgie, R. W. Cooper, and Evan Williams.1 These three
coal owners make, each in his own way, an impression of
sincerity and staunch character, with human compassion. The
inquiry reveals simply that they, like the miners, are caught
in an obsolete organization, functioning creakily in this new
century. On the fourteenth day of the inquiry, like the
French nobles they died as gentlemen should, with Justice
Sankey, of old-world courtesy, officiating at their last rites.
One witness said, " I give my opinion without hesitation " ;
but he had not yet crossed the zones of fire. To state it in
terms made popular by a world war: The heavy emplace-
ments were broken by the 1 6-inch gun of the miners' presi-
dent. There was no brushing away the plump of those shells.
Then followed the clean long-distance hits of the middle-
calibered Hodges gun, carefully aimed, effective at any
range.
Herbert Smith wheels up about once every eight hours — a
short, squat howitzer, which rumbles in heavy Yorkshire
till it has cleared its throat, then drops a single fat charge,
messing the whole landscape, and retires for the day still
smoking and grunting.
Sidney Webb is the machine-gun, shooting three sharp-
nosed ones before the first has sunk into soft flesh — a rat-a-
tat-tat which mows down everything in sight, with a bright,
eager innocence. Smokeless and well-camouflaged, it seems
to say, " I am only a little one, and I wouldn't hurt a
fly."
Tawney isn't a big gun at all. He is the song the sirens
sang, that wooed ships to the rocks. He is the pied piper that
leads astray. With rumpled hair and the boyish charm of
Will Irwin, he lures the witnesses to a Peter Pan chase in
the forest far away from their safe home — and " Now you
are lost," he says. Then he smiles up at Sir Leo Money,
1 Later, the places of Sir Thomas Royden and Mr. Forgie were
taken by Sir Allan Smith and Sir Adam Nimmo.
38 THE YEAR
that lonely sniper in a tree who picks out the fat heads and
cracks them.
By the time the tired business man or tangled statistician
has received the attentions of labor's Big Six, he is carried
away on a stretcher while the half-dozen kindly non-combat-
ant financiers, across the table, look distressed, and either
Mr. Balfour or Mr. Cooper rushes forward, too late, with a
bandage and a stimulant. They had not expected to attend
a slaughter. Then Mr. Justice Sankey with the Olympian in-
difference to the presence of death of a General Headquar-
ters Staff, calls, " Next."
The collapse of the coal owners' witnesses was best de-
scribed by Mr. Alexander M. Thompson of the Daily Mail:
First comes Mr. Smillie, who glares at the poor gentleman
from under his shaggy eyebrows like a Yorkshire terrier looking
for a nice fat part to get a bite at. There is Mr. Hodges, the
terrier's young apprentice, who, whenever his turn comes round,
gets his teeth in playfully but usefully. There is Mr. Herbert
Smith, bluff and burly, bull-dog type, who does not intervene
much, but, when he pounces, sticks. Next sits Mr. Webb, of the
suave smile and velvety voice, a fox in lamb's clothing, who purrs
on the witness till he has hypnotized his suspicions and then
proceeds to snap bits out of him.
Mr. Tawney has the public-school accent, and rumpled hair of
the predestined Fabian, and he confuses the witness to the verge
of distraction by running round and round him, as if looking for
a chance to spring at the back of his calves. Finally there is
Sir Leo Chiozza Money, black and white, sharp as a needle, with
painfully visible teeth, who gets very angry and snarls most
fearsomely.
Altogether the wtiness has a nasty time. He begins usually
with a very self-satisfied air — an air of " I've-not-come-to-argue-
I'm-telling-you." He oozes facile economic platitudes and looks
round for applause. But he doesn't utter many words before he
begins to sit up and metaphorically jump. Bit by bit he loses
his sweet complacency and gets annoyed. Then the pack severely
rebuke him, tell him not to lecture, and bait and badger him
till he fidgets wrath fully and looks inclined to gibber.
THE BRITISH COAL COMMISSION 39
As one of the witnesses for the coal owners said:
We haven't prepared any case. We have come prepared to
answer your questions.
And the past of these witnesses fluttered into the King's
Robing Room like the forgotten wives of a bigamist. Thus
Mr. Webb reminded one that he had once prophesied the
ruin of the industry if an eight-hour act was passed, but
that the output actually equaled under the act what he had
said it would be without the act.
Over all the conferences presides that spirit of keep-your-
shirt-on which is a national characteristic. The authentic
voice of Britain spoke when (with 800,000 men voting a
strike) Sir Arthur Duckham queried, " Is there any real un-
rest in the coal-fields or does friction exist only in this
room?" Just so I saw bored British officers adding up ac-
count books in Ypres (on November i, 1914, the " first bat-
tle of Ypres ") when eight-inch shells were breaking in the
city.
The unrest that created the Coal Commission is buried deep
in more than a century of suffering. It dates back to days
when miners were slaves, bound to their pit for a lifetime.
It passed on to the little children who spent their childhood
in darkness at hard labor. It came through fiercely during
the War. In the early months of the struggle, 300,000 miners
volunteered with an eager patriotism. They volunteered in
such numbers as to limit seriously the supply of coal. Then
came the revulsion of feeling when some of their overlords
conducted business as usual. It is well reported in the
words of Vernon Hartshorn, miners' agent in South Wales,
and member of the executive of the Miners' Federation of
Great Britain. On November 27, 1916, he wrote :
i
Our experience of the desire of the coal owners to make undue
profits at all costs while the nation has been at death grips with
the enemy has resulted during the War in the feeling of the mass
of the workmen towards the owners hardening into positive hatred
and contempt. In normal times it will be as impossible . for the
40 THE YEAR
miners and coal owners of the South Wales coal-fields to work
together on the old lines as it will be for the Entente Powers
ever to resume relations with Prussian militarism.
With the War ended victoriously, with the least danger of
injury to the export trade of the last two generations, the
miners pressed their case for redress. So Mr. Lloyd George
had Parliament set up this Coal Commission.
Many commissions have come and gone, in a hundred
years, with nothing left of their findings except fat bluebooks
in the northwest aisle of the British Museum, where young
Fabians come and browse. Several governments have turned
hot agitation into tired minutes, and, smiling, put the ques-
tion by. In fact, there has been no better device by which
embarrassed cabinets could evade action and satisfy an
angrily buzzing electorate than to call a royal commission,
sitting for six months, with a gentle body of recommendations
which come so long after the uproar that no one remembers
that any commission has sat with the patience of a hen in
the barn-loft. In this way has been built up the literature
of the British social revolution. H. G. Wells' young friend,
Frederick H. Keeling, who fell in France, found it "a great
sensation to feel the stream of British bluebooks flowing
through one's brain." But the effects of the radical mind
working through a royal commission, though far-reaching,
were slow. What was immediately needed with a million
miners about to strike was not a nugget of radicalism for
Graham Wallas' next book, but a policy, swiftly enacted, for
a basic industry. So these innovations were made:
1. This commission was made statutory. "A royal com-
mission would not answer the purpose," said Mr. Lloyd
George ; " it would not have the necessary powers. We have
decided to have a statutory commission with authority of
Parliament behind it, with the same power as now rests in a
court of justice."
2. Its findings on wages and hours become law, instead of
(in the words of Bonar Law) "making reports which in
THE BRITISH COAL COMMISSION 41
ordinary circumstances might be put in the waste-paper basket.
We are prepared to adopt the recommendations in the spirit
as well as in the letter." x
3. On other commissions, impartial persons had been se-
lected from the governing class, men committed to " private
enterprise." Mr. Smillie insisted that equally impartial per-
sons in equal numbers should be selected from groups whose
economic theories were not based exclusively on the 1830
school. In short, there is no such thing as an impartial per-
son, therefore hold the balance even.
4. The wide area of the terms of reference. In a study
of the coal trade (in Tracts on Trade) made in 1830, the
statement appeared:
The coal owner receives twelve shillings and ninepence. This
sum he receives to remunerate him for the labor and capital
employed in winning the colliery, to insure him against the risk
of the accidents attendant upon this hazardous trade (such as
the vicissitudes of explosions and inundations).
Such impertinent and extraneous questions as the effect of
those expensive " explosions " on the lives of the miners have
in this commission intruded into the conference. The trade is
now regarded as " hazardous " for the miner as well as for
the money.
Those old-time commissioners used to be rebuked by wit-
nesses, when the commissioners overstepped the terms in
which a great landholder or industrial captain should be inter-
rogated. Such matters as wages and the personal habits of
workers were proper. But profits were not the concern of the
community or the Government. For instance, in the Report
of the JSelect Parliamentry Committee on Coal (1873) we
read:
Your committee have not entered into an examination of the
profits of colliery proprietors since the rise in prices.
1Mr. Lloyd George rejected the findings of the Commission on na-
tionalization. Almost the entire labor movement has pledged itself to
"compel" the Government to enact those findings.
42 THE YEAR
But they accepted unsupported statements from coal own-
ers of the miners feasting on champagne and making a
pound a day. In that Parliamentary committee of 1873, the
owner was asked, "If it is a fair question, what were your
profits ? " The owner felt it was not a fair question and did
not answer it. Those were days before the Webbs, the Ham-
monds, Charles Booth, and Seebohm Rowntree had educated
Britain. So we find the 1873 committee reporting :
As no standard can be laid down to fulfil the conditions of
health, social comfort, or moral existence, it must be left to the
general feeling of the workmen, improved by education, to pre-
scribe the proper limits for their labor.
Never has so much of mere human stuff entered into the
consideration of important officials as in this 1919 Coal Com-
mission. Bonar Law summed its work of the first fortnight
as : "A bigger advance at one time by far towards improving
the conditions of the men engaged in industry than has ever
taken place." What is that advance ?
1. An Easter egg present of $35,000,000 in back pay.
2. " Seven hours " of work underground.
3. Six hours in 1921 "probably." ("Probably" is the
official word in the report.)
4. The distribution of an additional sum of $150,000,000
as wages among the colliery workers (2 shillings a day).
5. Voice in management.
6. Condemnation of "the present system of ownership
and working."
7. Raises the standard of living, shortens the hours of
work, and converts into responsible public servants 1,100,000
men and youths employed in 3,300 mines (comprising with
their families between four and five million persons — one-
ninth of Great Britain).
In 1913, the 1,100,000 miners received £82 a year (about
$400). With the cost of living increased by 115 per cent,
their wages have gone up to £169 a year, which was an in-
crease of 106 per cent. To this £169 a year is now to be
THE BRITISH COAL COMMISSION 43
added about £27 a year, making £196 a year (about $650,
at present exchange). A seven-hour day will mean that the
men are underground, taking the average, 7 hours and 39
minutes. Small wonder that the representative business men
of the commission have ordered these improvements; $650
is not extravagant pay for the father of a family. Seven
and a half hours of some of the hardest and most dangerous
work in the world is enough. What was the evidence that
swung public opinion against " private enterprise " in
mining?
1. Royalties paid to the owners of the soil (who do not
own the mines or work them) are $30,000,000 a year. A
pure " property " tax at the expense of the miner and the con-
suming public. Steadily it was emphasized that on every ton
of coal, on every article of manufacture, " there was," in Mr.
Webb's words, " a tribute due to property, exclusive of any
service rendered to the article."
2. Profits for 1916 were $185,000,000.
3. In June, 1918, 2 shillings sixpence a ton added to the
price of coal to lessen the loss to weaker collieries, thus en-
hancing the profits of the prosperous collieries ; an instance of
" economic rent." The coal controller tacked on this figure
at a guess. Sir Arthur Lowes Dickinson, chartered account-
ant, Government witness, in answer to Mr. Webb said, " If
profits had been pooled it would not have been necessary to
put prices up."
4. The need for pooling of wagons.
5. The need for the sinking of new shafts and improve-
ment of old ones.
6. A divisional inspector of mines said he " had been down
into pits where the roads were very low and inconvenient,
and he had told the managers they ought to have bigger roads
and bigger tubs." But they usually said they " could not do
it and make a profit."
When asked if this implied that if they got greater produc-
tivity, and the nation got more coal, they would get less
profit, the witness replied it was so.
44 THE YEAR
Sir Richard Redmayne, chief inspector of mines, the head
of the Production Department of the Control of Coal Mines,
technical adviser to the controller of coal mines and chairman
of the Imperial Mineral Resources Bureau, said:
That the present system of individual ownership of collieries
is extravagant and wasteful, whether viewed from the point of
view of the coal-mine industry as a whole or from the national
point of view, is, I think, generally accepted. This is a some-
what daring statement, but I am prepared to stand by it. It
conduces to cut-throat competition between owners selling coal,
and is preventive of the purchase of materials necessary for the
carrying on of the separate enterprises at prices favorable to the
coal owners. Advantages which would result from collective pro-
duction would be (a) enhanced production; (b) diminished cost
of production; (c) prevention of waste.
These advantages, he explained, would be due to the fol-
lowing factors:
(1) Prevention of competition, leading to better selling prices
for exported coal being secured.
(2) Control of freight.
(3) Economy of administration by curtailment of managerial
expenses.
(4) Provision of capital, allowing of quicker and more expen-
sive development of backward mines.
(5) More advantageous purchase of materials.
(6) Reduction of colliery consumption. This is very high in
some mines. The average for the United Kingdom is 6 per cent,
and the consumption altogether about 16 million tons.
(7) More harmonious relations between the workmen and the
operators, due to steadier work and adequate remuneration of
workmen.
(8) Obliteration to a great extent of vested interest and of mid-
dlemen. From the collective production of essentials it is a very
small step to collective distribution. This would hit hard at the
middleman, who is a serious item in the cost to the consumer.
(9) Unification of the best knowledge and skill, leading to
greater interchange of ideas and comparison of methods. If good
THE BRITISH COAL COMMISSION 45
results were obtained at one mine and bad in another, these
results would be open for all to benefit therefrom.
He added that he had approached the whole question from
these points of view — the greatest possible production of coal
at the least possible cost with the greatest possible safety, the
health of the workmen with the highest standard of life, and
an increasing standard of life. It was a great mistake to sup-
pose that a lower standard of efficiency followed a higher
standard of comfort. Mr. Smillie then questioned Sir Rich-
ard Redmayne :
The miners love their children as much as other people?
I have known cases of families, orphaned by mining explosions,
whose children have been adopted by other miners who have for-
gotten who were their own children and who were the adopted
children.
From your own experience in mining districts do you feel that
the time has come when there ought to be a revolution in the
housing of the working-class population, especially amongst
miners ?
As a house is, so is the individual ; as is the individual, so is the
state.
Have you in Scotland seen houses owned by mine-owners worse
than anything you have ever seen in Durham or Northumber-
land?
I visited one village in particular in Scotland, and I have seen
no houses in any part of the United Kingdom comparable in bad-
ness to those particular houses.
Take it from me that the average earnings of the adult mining
population prior to the war were under 253. a week. Is it pos-
sible to raise a family in the state that it ought to be kept?
It would be hard.
Mr. Smillie remarked that a number of mine owners had
assisted the Government during the War in various ways.
He asked Sir Richard if he believed they had given as honest
service to the Government as they gave to their own business.
The witness answered yes.
46 THE YEAR
May I take it that if the nation take over the mines we might
expect the same gentlemen to give the same service to the nation ?
I can only express the pious hope that they would.
In answer to Frank Hodges (representing the miners), the
witness said there were three alternatives to the present state
of affairs. One was nationalization; another was ownership
by the owners in combination; the third was ownership by
owners and workmen. He dared say there was a fourth,
which was known as syndicalism, and which meant owner-
ship of the mines by the miners.
Mr. Smillie, in a series of questions, submitted that thou-
sands of lives had been sacrified before mine owners had
been compelled to introduce life-saving machinery, such as
winding controllers and apparatus for changing air currents.
7. Accidents, John Robertson, chairman of the Scottish
Union of Mine Workers, said, killed 55,000 persons in the
mines in fifty years. In the last twenty years, 160,000 per-
sons were injured each year, or a total of 3% millions. One
in every seven is injured each year. " Mining is more deadly
than war. The miner is always on active service. He is
always in the trenches."
8. Mr. Roberston gave as an instance of housing Hamilton,
with a population of 38,000, of whom 27,000 lived in one-
or two-room houses. Some of the miners live in some of the
worst houses in Britain. With sincere feeling, Mr. Arthur
Balfour said, " If the situation is as you describe, it must be
put right."
Mr. Forgie questioned a witness about the five-days-a-week
policy adopted by the Lanarkshire miners, and asked if the
Lanarkshire miner was not unpatriotic in so reducing his
work. The witness repudiated the suggestion.
He declared, " The Lanarkshire miner is not unpatriotic.
He gave 14,000 men, at a bob a day, to fight the Germans.
He considers that in working five days a week he has done
his duty by the State, and people who complain of miners
not working more ought to get their own coal out and have
five days underground themselves."
THE BRITISH COAL COMMISSION 47
9. Better conditions increase production. In Durham
there is the greatest profit in Great Britain, and in Durham
there is a shorter working day than the present act of the
miners proposes. It was alleged that brains and machinery
could double the production. Low wages and long hours
lessen production.
10. The life of a miner. Vernon Hartshorn said:
The miner never gets more than two hours a day of sun. Every
movement he makes in his pit clothes leaves its mark. Twelve
years I worked so. I would come home so tired that I lay down
on the hearth-stone in front of the fire for hours. In the early
morning, to be hauled out of bed was like going to the gallows.
One man in seven is injured every year. I have seen six men
go out from a little home in the morning, and the six, father,
son-in-law, and four sons, brought back charred corpses at eve-
ning. Men are blown to pieces. The miner can never ask for
an armistice. The miners will no longer consent to be regarded
as hands, to turn out profits for idle shareholders. They wish to
be useful public servants. State ownership is inevitable. Unless
the demand for state ownership is granted, syndicalism or bol-
shevism will take the place. If this is not conceded at this time,
a movement will be under way that will take another form than
nationalization. If an increase in the standard of living cannot
be obtained, the miners say, " We'll change jobs."
In rebuttal, the coal owners submitted:
1. There is a desire to ruin coal owners, and so create
nationalization.
2. Machinery exists for dealing with questions of dis-
pute.
3. Best management in the world in British coal mines.
4. Success spread by private enterprise.
5. Where will capital come from?
6. Sterilize all the knowledge of the directors of collieries.
7. Would give miners preponderant representation. Mr.
Evan Williams said, " Do you think any Government would
dare appoint any minister of mines without consulting Mr.
Smillie?"
48 THE YEAR
8. The gigantic scale of collective bargaining was given
as one of the causes of unrest.
9. Kill the export trade.
10. Put up the price of iron and steel.
11. The good manager will say, "Why should I worry to
keep my neighbor going ? "
12. No poverty among the miners.
13. Conditions for them are being improved.
If this rebuttal seems meager to the reader, it is not so slim
as the case of the coal owners appeared to a visitor at the in-
quiry. The Daily News in a special article has expressed it
thus:
No one who attends its proceedings can help coming away with
the impression that it is the mine-owners, and not the miners,
whose case is on trial. So skilfully have Mr. Smillie and his
colleagues managed the proceedings that they have become vir-
tually a labor tribunal, before which the coal owners and mag-
nates from other industries have to plead their cause. More than
once, especially when Mr. Smillie or Mr. Webb has let himself
go, I have been reminded of reports of the proceedings of revo-
lutionary tribunals in France or in Russia. No wonder that one
employer, at the end of a long cross-examination, remarked, " I
am not at all happy."
This atmosphere arises largely from the frankly challenging
attitude which the miners' representatives are taking towards the
existing industrial system as a whole — an attitude which is in-
creasingly prevalent throughout the world of labor. Mr. Smillie
confiscates mining royalties with a wave of the hand; they are,
he says, " stolen property." To arguments about the danger to
British trade of granting higher wages and shorter hours, the
miners reply that the first necessity is that a reasonable standard
of life and leisure should be secured to the miner. In short, if
the present industrial system will not bear higher wages and
shorter hours, they suggest, not low wages and long hours, but
a change in the industrial system. This attitude clearly puzzles
some of the employers' witnesses. They do not want, they ex-
claim, to keep down wages, provided only that they can be
assured that trade will not suffer. They cannot understand Mr.
THE BRITISH COAL COMMISSION 49
Smillie when he claims that the workers' demand for a reasonable
standard of life takes precedence of the " rights of property."
" But that is property," said one witness representing the iron and
steel trades — and he said it with such an air of puzzled finality
that there was nothing more to be said.
Fighting desperately, but too late, the owning class pressed
into the second session of the coal inquiry. The Commission
ceased to be a laboratory for the collecting and classification
of facts, and became the battleground of angry opinion. Econ-
omists, statisticians, owners, Earls, Marquises, a Duke chal-
lenged, pleaded, and defied. Frank Hodges, the miner, said
to Harold Cox, the individualist, " Your philosophy wouldn't
count much against the determination of a million men."
All layers of society were probed — strata, imbedded in Eng-
lish life since Henry VIII. England passed in review : classes
and castes. One learned what they look like, how they talk,
and what philosophy of possession cheers them.
The first session dealt with advances in wages and a re-
duction in hours. The second session dealt with the future
organization and government of the industry. At the close
of the second session, the chairman, Justice Sankey, declared
for nationalization of the mines, with a form of joint control.
Throughout both sessions, the capitalist system was on trial.
It was condemned.
The most dramatic, though the least important, witnesses
were the noble lords — Durham, Dunraven, Dynevor, London-
derry, Tredegar, Bute, Northumberland. It is easy to show
why Smillie was right in summoning these lords. Their ex-
amination was a farce. They were bored or surly. Questions
on their titles were absurd. But the fact that they had to
come when summoned by a miner was a moral victory. And
the word of it ran through Britain. Smillie was the lord
high executioner, the judge, the people's man, and in the name
of the people had issued orders to the privileged class, which
they unwillingly but humbly obeyed.
What one felt in the examination was that Mr. Smillie was
the gentleman, and that they were just a little caddish. His
50 THE YEAR
wider social experience, knowing the many lives of men, his
gentleness of conscious power, his sense of equality, letting
pass for a man even a millionaire parasite, all these enabled
him to be scorned and patronized and outwitted without at all
being defeated, or ceasing to be the head of the table. Smillie
let them outplay him and wound him, because every blow they
dealt him was aimed at the working class, and revealed their
animus. So he was defeated by the lords in the King's Rob-
ing Room, but won a victory over them in the nation. Their
retorts to his simple questions were swift, skilful, at times
witty, and scored a brief success with the immediate audience.
But when those answers passed out into the larger audience
of the nation, it was found that in winning the skirmish they
had lost the War. Such a word was Tredegar's when he said
that the military service of the soldiers did not entitle them
to land.
The Earl of Durham is gray-haired, with gray mustache
and tight-packed lips; a tall, alert man. He owns the coal
under 12,411 acres of land. He takes 5 pence a ton in royal-
ties and a penny a ton for wayleave.
DURHAM : No one has disputed my ownership.
SMILLIE: We are disputing it now. I am trying to be as fair
as possible, to examine without bitterness. We allege
that no title deeds exist that justify your ownership.
The State is the owner.
So, one by one, entered and passed the representatives of
ancient families: Lord Dynevor, scholarly, pale, shy, with
spectacles, stone deaf in the right ear. Lord Dunraven, feeble,
on a cane, white hair at sides, and bald top, white mustache,
ruddy face. The Marquis of Londonderry, in khaki, with a
long head, and a high forehead.
TREDEGAR: [Lord Tredegar, over six feet tall, broad-shouldered,
reserved, handsome, bald, smooth-shaven, lean — a quite
royal person] : " I am rusty about titles because I have
been four and a half years at war, and haven't gone
into family history."
THE BRITISH COAL COMMISSION 51
Later:
I don't see why service to the country entitles a man
to land.
SMILLIE: Landlords claim land because the King gave it for
services rendered in war. We wish a more equitable
division among those who served hi this war.
The Marquis of Bute, a small, dark man, like a Latin, with
an abundant, lively mustache, shy, and attractive. He was
told that he governed more coal than New Zealand.
The Eighth Duke of Northumberland is a small, homely,
freckled, sincere man. He has red hair, which makes a rusty
leakage upon his neck, inset eyes, a red mustache. He is
lean, hard-working, with a well-concealed but intense core
of mysticism. His mysticism blends religion, royalty, prop-
erty.
" I shall do my utmost in the House of Lords to oppose
nationalization," he said. " The Miners' Federation don't
want nationalization of minerals. I think they want complete
control of land and all industries."
" I am out for taking over land," said Mr. Smillie.
" This plea for nationalization," went on the Duke, " is only
a step to something more drastic and revolutionary — the con-
fiscation of land, and so on. I don't think it will stop at
nationalization. Joint control isn't the thing."
Sir Leo Chiozza Money asked the noble Duke : " What par-
ticular service, as coal owner, do you perform ? "
" As owner, no service."
He further said : " I object to miners having the monopoly
of coal."
" Is it right for one man to have such a monopoly as you
have?"
" I think it an excellent thing."
To the Duke of Hamilton's agent, Mr. Smillie said : " Just
outside the wall of the Duke's palace on the west side are
some of the most miserable homes in Great Britain. From the
Hamilton estate, a large number of miners went to war from
52 THE YEAR
the collieries. This is their country in what sense? The
Duke's royalties were defended by miners. Is it not his duty
to watch out for miners' families ? "
Ways and Means saw most clearly of any paper that every
clever answer given by an Earl to Mr. Smillie was a
coffin nail in private property, private enterprise, the profits
system. Ways and Means is E. J. Benn's organ of concilia-
tion, backed by enlightened employers. It said :
Peer after peer has been made to confess that he is the owner
of a fortune by reason of the foresight of an ancestor three
or four hundred years ago. Lord Durham, for example, is draw-
ing an income of a thousand a week out of ancient land, most
of which was acquired by various means by his ancestors in a
long past century. Lord Dunraven is a more interesting case.
He is drawing an income from coal secured under common land;
the surface appears to belong to the public and the mines to
Lord Dunraven.
Those like ourselves who are interested to preserve the basis
of society and to save this country from the terrors of anarchy
and syndicalism will do well to recognize that there is a good
deal more behind the cross-examination of these dukes than the
mere question of the future of our coal mines. Mr. Smillie, and
more particularly Mr. Sidney Webb and Sir Leo Money, with
whom he is acting, are engaged in the first serious round of an
organized onslaught upon property of all kinds. These mineral
rights, wayleaves, and other relics of mediaeval barbarism will be
held up to the world as representative of property, and the case
having been established for restoring to the public the property
in the coal under common lands will, if great care is not taken,
be skilfully twisted into the case for robbing the owners of other
forms of property, such, for instance, as industrial capital.
It therefore seems to us that the interests of industry are very
definitely opposed to those of the present owners of land, andj
the best way to preserve the rights of capital employed in useful
industrial pursuits is to disown any association with dukes and
landowners.
Here in this second commission, we have God's plenty. Not
only do all social classes come stumbling in and plead for lease
THE BRITISH COAL COMMISSION 53
of life, but all kinds of knowledge and opinion, the dogmas
of the privileged, and the aspirations of the disinherited.
Here for sheer competence of fact-knowledge, held in easy
mastery and control, we have the incomparable two — Sidney
Webb and Sir Richard Redmayne. For the delicate hesitations
of the academic scientist, we have a group of economists, with
opinions tentative, qualified, unready for a choice of action.
Workers' control is debated by Hugh Bramwell, Sir Hugh
Bell, Frank Hodges, Evan Williams, and William Straker.
Lord Gainford states that the coal owners prefer nationaliza-
tion to granting any executive control to the workers. Lord
Haldane tells the need of educating a new type of public
official — an administrator, who will find his expression in
serving the community. Miners' wives testify to the condi-
tions under which they live.
On June 6th, with regard to the 112 witnesses who had
been called on this particular part of the inquiry, the analysis
of the classes of witnesses was as follows:
Coal owners, exporters, merchants, and factors, fifteen wit-
nesses ;
Mine managers and surveyors, five witnesses;
Miners and miners' wives, six witnesses;
Consumers, on behalf of employers, seven witnesses; on
behalf of the workers, three;
Scientific economists, twelve;
Finance, three;
Costing, two;
State control and Civil Service, three;
Safety and health, six;
Mechanical and electrical improvements in mines, three;
State ownership abroad, five ;
And the most numerous class of witness listened to — the
royalty owners, twenty-five.
The balance making up the 1 12 are miscellaneous witnesses,
who cannot be conveniently grouped in any particular
class.
The New Statesman (June 28, 1919) said :
64 THE YEAR
What at present distinguishes the mining industry from most
of these other cases is not that it is more inefficient, but simply
and solely that the miners are strongly enough organized and
determined enough to make the continuance of the present system
impossible. As fast as the workers in other vital industries take
up the same attitude as the miners, and are strong enough to do
so with effect, national ownership is bound to follow as a neces-
sary consequence, and Sir John Sankey, or his successors on
future commissions, will be bound to recommend national owner-
ship as the only way out of the impasse resulting from private
capitalist control.
But the wisest word on the Coal Commission is that of Mr.
Justice Sankey in his final report:
A great change in outlook has come over the workers in the
coalfields, and it is becoming increasingly difficult to carry on
the industry on the old accustomed lines. The relationship be-
tween the masters and workers in most of the coalfields in the
United Kingdom is, unfortunately, of such a character that it
seems impossible to better it under the present system of owner-
ship. Many of the workers think they are working for the
capitalist, and a strike becomes a contest between labor and capi-
tal. This is much less likely to apply with the State as owner,
and there is fair reason to expect that the relationship between
labor and the community will be an improvement upon the rela-
tionship between labor and capital in the coalfields.
Half a century of education has produced in the workers in
the coalfields far more than a desire for the material advantages
of higher wages and shorter hours. They have now, in many
cases and to an ever-increasing extent, a higher ambition of
taking their due share and interest in the direction of the industry
to the success of which they, too, are contributing.
The attitude of the colliery owners is well expressed by Lord
Gainford, who, speaking on their behalf as a witness before the
Commission, stated: "I am authorized to say on behalf of the
Mining Association that if owners are not to be left complete
executive control they will decline to accept the responsibility of
carrying on the industry, and, though they regard nationalization
as disastrous to the country, they feel they would in such event
be driven to the only alternative — nationalization on fair terms."
THE BRITISH COAL COMMISSION 55
It is true that in the minds of many men there is a fear that
State ownership may stifle incentive, but to-day we are faced in
the coalfields with increasing industrial unrest and a constant
strife between modern labor and modern capital.
I think that the danger to be apprehended from the certainty
of the continuance of this strife in the coal-mining industry out-
weighs the danger arising from the problematical fear of the
risk of the loss of incentive.
CHAPTER II
ROBERT SMILLIE
THE Coal Commission was Robert Smillie. He created it.
His miners nominated four of the twelve members and had
the " refusal " or acceptance on approval of two more. It
was Smillie who demanded that the first findings should be-
come law (instead of being gently shelved, as has been the
way with royal commissions for a century). It was he who
made sure that the questions discussed would include profits.
It was he who held the witnesses fronting the costs and gains
of the industry in terms of the human welfare of the
miners.
What can a statistician say when he is asked, " Is it right ? "
And what becomes of a coal owner who has his profits ex-
posed in one moment, and, in the next, the tuberculous one-
and two-room homes in which he houses his workers? The
inquiry was outrageous and unfair. What chance had a man
who had never been questioned as to his profits, and the ab-
sentee incomes of his stock-holding friends — who had dwelt
in the secure and favoring play of upper-class conditions,
where intimate details are not discussed between gentlemen —
against representatives of the miners whose houses have been
visited by welfare committees, whose budgets have been scru-
tinized by expert accountants, whose wives have been taught
thrift by the resident Duchess? What fair spirit of sport
was it to pit an owner who confessed he could not keep order
and good-will among a few hundred of his " hands," against a
man who had organized 800,000 two-fisted fighting men into
an unbreakable brotherhood, a man who inside of three weeks
can change an overwhelming strike vote into a greater major-
ity for industrial peace? In future inquiries, it will be de-
sirable in the interests of fair play that the captains of in-
56
ROBERT SMILLIE
57
dustry shall put forward representatives who are measurable
to the labor leaders.
Sir Daniel Macaulay Stevenson, ex-chairman Scottish Coal
Exporters' Association, chairman of the Committee for the Sup-
ply of Coal to France and Italy, member of the Controller of
Coal Mines Consultative Committee, and head of the firm of
Messrs. D. M. Stevenson and Company, was called:
SMILLIE: I suppose you will agree with me that about 80 per
cent of the colliery houses in Lanarkshire owned by
the mine owners are not fit to live in and ought to
be destroyed.
WITNESS: I have not seen them lately, but they were a disgrace
to any country.
SMILLIE: Then they are worse now if you have not seen them
lately.
WITNESS: I did wonder whether any new ones had been put up.
SMILLIE: No. No new ones have been put up. If any new
houses are put up, unless there is some government
subsidy, they will be out of the reach of the miner
with a small family. Would you tell us as a social
reformer in what way you are going to improve the
conditions of our people if it is not by giving higher
wages and shorter hours. That is our method. What
is it you propose?
Witness appealed to the chairman on the ground that
the question was hardly fair.
SMILLIE: But you endeavor to get this commission to report
against the miners on the ground that it would kill
the export trade.
Said the Times:
There will be no difference of opinion among dispassionate
readers on one point, which is that of the three parties concerned
the miners come out far the best. Their case was better pre-
sented, but it was also a better case than that of the Government
or the mine owners. We do not say that the miners' demands
are justified in full, but the coal controller's department and the
mine owners cut a sorry figure.
58 THE YEAR
Ways and Means, E. J. Benn's organ for enlightened em-
ployers, said:
Any one who takes the trouble to read the case of the miners
as explained by Mr. Smillie to the prime minister must agree
that there is no answer to it. It is, of course, possible to argue
that sudden changes in wages cause dislocation and have effects
far wider than those who ask for them probably understand, but
that, after all, is only the argument of expediency and does not
affect the bare justice of the case. Mr. Smillie shows that the
miner, upon whom the whole of industry depends, has hitherto
lived a life of great hardship on a poverty wage, and he is not
prepared to continue on those terms. It is as well that these
root facts should be recognized and that it should be generally
understood that very radical changes must be made. To this
extent we are all with the miners.
It is important that the American reader should get Smillie
into his mind, because the knowledge will make present hap-
penings and the events of the next five years intelligible.
Robert Smillie is the spear-head of the British labor move-
ment. Let me briefly introduce him in picture-postcard
fashion :
PUBLIC LIFE
1. Has helped to build up the strongest industrial union in the
world (800,000 miners).
2. Was head of it.
3. Was head of the strongest industrial combination yet made,
one and a half million men of the miners, railwaymen, and
transport workers — the Triple Alliance.
4. Is the most powerful labor leader in Great Britain.
5. Has been three times offered a governmental position.
6. Member of the statutory government Coal Commission,
whose findings became law.
7. Forced the government to appoint half the members subject
to the miners' approval.
8. Obtained for his miners the largest single wage increase
in amount ever granted in Europe.
9. Ended the system of private ownership of minerals in
Great Britain.
ROBERT SMILLIE 59
PERSONAL LIFE
1. Was born in Ulster, 63 years ago.
2. Came to Scotland as a lad and has lived there ever since.
3. Began work in a shipyard on the Clyde at the age of fourteen.
4. Became a collier at sixteen years.
5. Supported a family of six in the year 1888 on 16 sh. 6d. a
week.
6. Is a Socialist.
7. Can not be bought by money, or place, or flattery.
8. Has great prestige to-day in Britain, but will destroy it
to-morrow if he sees an uncompromising unpopular course to
steer which he believes will bring a democratic gain.
9. Has taken part in many commissions of inquiry into serious
mining accidents — fires, explosions, floodings. Has gone into
many pits for examinations.
10. Takes his relaxation with an old pipe and a game of
billiards.
11. Has seven sons — two of whom went into the army, two
were conscientious objectors, three worked in the mines. One is
now a shop steward.
Speaking for the old order, Viscount Esher writes a book,
After the War, and addresses it to Robert Smillie (instead
of to the public) because " he represents and leads the most
advanced sections of the Labor Party." He says :
I have not the honor to know you, but here in Scotland they
say you are an honest and good man. Your aims I assume to
be pure. You have enjoyed the experience of intelligent par-
ticipation in improving the lot of your fellow- workers. You see
before you, stretching into immeasurable space, a new prospect
for those upon whom the labor of the world has fallen heavily.
Your sense of duty impels you to take a lead in bringing into
relation your considered opinion and the law of the land. You
wish, perhaps in arbitrary fashion, to supply the driving force
that is required to bring about political and social change, that
you believe to be beneficent. I do not share your faith in
democracy as a form of government. But we agree in love of
our country and fidelity to the men of our race. For their sake,
use your influence, to bid your friends and associates pause at
60 THE YEAR
the threshold of these undetermined issues, and to make sure
before sweeping away any institution deeply rooted in historic soil
that it is in truth an obstacle.
And later, Esher added : " An eminent authority expressed
surprise that the prefatory note should have been addressed
to a person of whom he had never heard. He has heard of
him now. I selected Mr. Smillie as being, so far as I could
judge, the leader of the new democracy into whose hands the
supreme control of the destinies of our country was about to
fall. I see no reason to change my opinion."
Speaking for the Liberals, the Nation said :
There are only two personalities in the British trade-union
movement to-day round which legend grows and flourishes. One
is Mr. J. H. Thomas; but Mr. Thomas suffers as a legendary
figure from making too many speeches for much of him to remain
unknown. He is a personality, beyond a doubt; but his force
depends upon constant expression. He is a powerful speaker, and
an extraordinarily able manager of men; but no one, except
perhaps Mr. Garvin, could think of him as a " hero." Robert
Smillie counts as the biggest man in the labor movement by
virtue of just that touch of the " heroic " which Mr. Thomas
lacks. He speaks, and speaks well; but his silences count for
more than his speech. He has the power of making his presence
felt, and exerting his influence, often without doing or saying
anything at all. He can do this, not only because, where he does
speak, it is usually to the point, but also because his personality
can be felt as soon as the man himself is present.
What manner of man is this leader of the miners who, holding
no official position outside his own federation, has become the
real leader of the industrial labor movement in this country?
He is a Scotchman, and he still lives, on the mere occasions
when he is able to be at home, in a small mining town of
Lanarkshire.
He approaches all problems first as a miner, and seems as if
he widened his view to take in other things by a conscious effort.
That effort, however, he almost always successfully makes. Other-
wise he could not feel or retain his commanding position not
only among the miners but in the whole trade-union world. He
ROBERT SMILLIE 61
belongs, of course, to the "left wing," quite apart from any
question arising out of the War. He has been, from the beginning,
a Socialist, and has played his part in labor politics without los-
ing his grip of industrial affairs or his close touch with the
rank and file of the trade-union movement. He is not loved
by the old school of trade-union leaders, because his conception
of trade unionism is essentially active and constructive, whereas
they often desire nothing better than to continue in the old rut.
He is thus a man of ideals as well as a patient worker for their
accomplishment.
Those observers who knew only of his newspaper reputation
have been surprised at his skill and alacrity in cross-examination
on the Coal Commission. He has, no doubt, consciously used his
chance for purposes of public propaganda. But, in addition, he
has shown an amazing power of asking pertinent and searching
questions of every witness. This is no novel development. He
has long ago built up a great reputation by his work on other
commissions of inquiry, especially commissions on great mining
disasters such as the Senghenydd inquiry a few years before the
War. He has an excellent technical knowledge of mining and
mining law, reinforced by the lessons of a long personal expe-
rience. His mind is orderly and logical, and he can be relied on
not to lose his clearness of head, no matter how difficult the
matter in hand. He knows his job thoroughly, and he never allows
his propagandist zeal to get the better of his cautious judgment.
He is growing old, of course; and often he gives the impres-
sion of being ill and tired. For years he has been constantly
overworked endeavoring to deal at once with the affairs of the
Scottish miners in Lanarkshire and with those of the Miners'
Federation in London. Now he will be fixed permanently in
London, and his vigor and power of work should be largely in-
creased. His absences in Scotland have always prevented him
from taking the place in the administration of the labor move-
ment nationally which belongs to him by virtue of influence and
personality. In the future he will probably play a much bigger
part, not only in the affairs of the miners, but in those of labor
as a whole. That he is needed no one can well doubt — the labor
movement requires above everything the force of a personality
strong enough to co-ordinate its isolated groups and infuse it with
a clear vision and a common policy.
62
THE YEAR
The Observer in a special article says, " One of the great-
est barristers of the time has said that Robert Smillie's cross-
examinations have been brilliant." Speaking for the landed
Tories, the Morning Post says, " Unquestionably the two most
powerful figures on the Coal Commission are the chairman,
Mr. Justice Sankey, and Mr. Smillie, the dour, sour, and
moody, but very able leader of the miners."
Benjamin Talbot, of the National Federation of Iron and Steel
Manufacturers, is on the stand: Mr. Smillie elicited from the
witness that the wages of the iron and steel trade were largely
regulated by a sliding scale, and that since the outbreak of war
wages had been increased 100 per cent, while the working hours
were now being reduced from twelve to eight.
SMILLIE : Did you ever hear of the wonderful phrase " scien-
tific management" in America?
TALBOT: Yes.
" Scientific management " means the largest possible
output at the smallest possible cost?
Cost per ton.
The smallest possible cost means the smallest wages
to the worker?
No, they get higher wages in America.
It requires four tons of coal to produce a ton of steel.
Can you tell me what the royalty on coal is?
Sixpence per ton.
So that the idle class gets 2sh. out of every ton of
steel manufactured. Have you any idea of asking that
that burden should be taken off?
That is property.
Oh, yes, property is sacred, but life is not sacred. You
are anxious to prevent miners from having shorter
hours and higher wages, because it will ruin the coun-
try, while the idle class, who have never been down
a mine to produce coal at all, and have never seen a
mine, are getting 2sh. for every ton of steel produced.
Is that not a burden on the steel manufacturer?
Yes, but I say it is their property. You cannot con-
fiscate it.
ROBERT SMILLIE 63
Well, it is stolen property.
That is a matter of argument.
Which is the more humane: the abolition of royalties
or the granting of better conditions to miners?
The humane part, of course, would be the miners.
I do not say for a moment that the workers in the
iron and steel trade are too well paid, but is it fair to
come here and say that your own workers' wages have
been increased by 100 per cent and their hours reduced
one-third, and then oppose any claim so far as the
miners are concerned? Is that altogether fair? Are
you happy in coming here?
I am not happy at all.
You are representing a very large number of share-
holders, directors, and people of that kind?
Not many directors, but two or three times as many
shareholders as workmen.
Do you know if any of them have an income of less
than £500 a year?
I cannot tell.
Are there any of them who have an income of £20,000
a year?
I do not know.
Do you know anything at all about them?
I do not know their private affairs.
Do you think it fair to keep practically in starvation
and housed worse than swine people that you admire?
I hope it is not starvation, Mr. Smillie.
It has been in the past.
It is with amusement that the trade-union world reads of
this " discovery " of their leader. They have known for ten
years that they had a representative who could match the
leaders of any group. And the discovery matters not at all
to Bob Smillie, who walks unrecognized to his day's work
down Southampton Row, buys matches of the paralyzed sol-
dier in front of the Imperial Hotel, smokes his aged pipe, and
listens to what the other man tells him. He is still the simple
miner, though president of the federation of the " God Al-
64 THE YEAR
mighty Miners" — the roughest, strongest, merriest of the
workers of Britain, who take their pleasures fiercely, not
seeing much of the sun. He has given a new set to the labor
movement of Britain. He converted his miners to nationali-
zation, preached workers' control, and yet steered them clear
of the syndicalist myth. He won the eight-hour day for them,
has just won the seven-hour day, and by 1921 will have for
them the six-hour day. He is a hater of war who can silence
a mob, and who is believed in by the largest following any
labor leader has yet had.
The Herald says :
You see these things as Smillie sees them, quick and vivid,
and anger rises in your throat at the horror of perils unaverted
and the shame of reward unpaid. When he speaks it is as if
the inarticulate millions spoke through him. He insists not on
the profit or loss of high wages but. on the shame of not paying
them; not on the wisdom or unwisdom of good conditions but
on the crime of not conceding them. He does not argue — he
states, and each statement stabs like a sword-point. He asks no
mercy and shows none. I think his eyes have always before
them the sordid lives and heartbreaking labor of those men in-
the dark underground who breathe the fetid air in which horses
may not live and men must.
I have been told by those who have followed him around
in the lodge meetings how a hush falls on the group when he
comes in; the little mark of respect of strong men for the
greatest leader of their time. The rank and file has had two
recent opportunities to register its opinion of Smillie. One
was in electing a full-time president; Smillie's majority was
overwhelming. The other was in electing representatives for
the Royal Coal Commission, men who should determine the
policy and future of the industry; Smillie and two men in
sympathy with his ideas were chosen. On recent figures, " Bob
wishes it" gives a vote of 75 to 90 per cent in favor; "Bob
will not like it" totals 90 per cent against.
The Weekly Dispatch says:
ROBERT SMILLIE 65
In his dress and general appearance Smillie is plain to the verge
of shabbiness. In an old gray suit, a heavy top-coat and light
felt hat, he presents anything but an uncommon figure. It is only
on looking closely into his face that one realizes the great char-
acter behind the grim, set face. It is no secret that when public
control of the mines takes place Smillie will have a leading part
in whatever executive is established.
The head of 300,000 transport workers, Robert Williams,
writes, " The one man who can above all others inspire us
with confidence and therefore direct the storm is Smillie —
the man with the proletarian instinct."
The " unofficial rank and file " movement, which has torn
the engineering trades into temporary disarray, helped to sup-
ply driving force to the Miners' Federation because their
chief was not an isolated official but a humble-minded member
of the movement, who keeps in step with the young genera-
tion.
A writer in Ways and Means (June 14, 1919) says:
The feature which commands the homage paid to him is his
class temperament and the enduring fealty which springs from
it. He has not merely sympathy with the proletariat; he has
fellow feeling. He can be trusted implicitly; he is constitutionally
incapable of defection.
There is one trait in Smillie which the workman most reveres.
He has attained to high distinction, has become a power in the
land, and still he lives in the little house in Larkhall which was
his home in the days when he was an obscure working miner.
It is a neat wee house, now his own property, built for about
£70 many decades ago by a building society, its original two rooms
multiplied by extensions to four as the family — after the fashion
of miners' families — increased to seven or eight children. The
house stands in the village street, a clean respectable " row," but
unmistakably a " row." Here Smillie may still be met of a week-
end, playing the homely host to his multitude of local friends.
He signalizes his escape from the Robing Room atmosphere by
discarding cigarettes and briars for the plebeian clay pipe, and
assumes the garb proper to the miner seated at his own fireside
66 THE YEAR
at the close of his day's work — the old pair of trousers and vest
with the shirt sleeves rolled-up.
He is the canniest negotiator on conciliation boards whom
the owners have to face. He can outpoint them on knowledge
of the industry, and he has an instinct for knowing when to
yield and when to hit hard. His alone of the thirty-three
great unions of Britain kept its workers clear of the Treasury
Agreement of March, 1915, when Lloyd George induced the
labor leaders to sign away their power. Again he struck
hard in the name of the Triple Alliance when the Government
was going to introduce coolie labor. He warned Mr. Asquith,
and the cheap labor did not come. With the same skill he
accepted the decisions of the Coal Commission and held the
miners from striking.
His instinct as a trade unionist is greater than his instinct
as a politician. His judgment in politics lacks the long ex-
perience of his industrial life. So he sometimes takes extreme
positions which offend the middle-of-the-way Briton. His at-
titude on the War would have wrecked another public man
in Great Britain but it did not lose him one follower.
He has a curious modesty; perhaps it is timidity. He does
not like to enter new activities ; he likes to move in the areas
of his proved competence. Thus, he has in time past refused
election to the Parliamentary Committee of the Trades Union
Congress. And yet he could have made that body into a fight-
ing force, instead of letting it continue year after year a
respectable, powerful, useful, but slow-moving group. Mr.
Smillie said to me, " Some of the trade-union leaders have
thought their function is that of brakeman, to lessen the speed
of the movement. But I think that the leader's job is that
of stoker, to bring fire and driving power."
He has a native gift of simple English that rises to " rugged
eloquence," as the Daily Mail says. When he protested
against the blockade because it was starving German children,
I heard him say, " It was a disgrace for Germany to kill by
hellish machines of war our women and children. It is a
disgrace for us now to starve the babies of Germany. All
ROBERT SMILLIE 67
children are our children. Yea, and I think of the aged peo-
ple; the rank and file who are like ourselves." When Smillie
forced Lloyd George to act, he said, " The mine owners say,
' We invested our money in those mines and they are ours.' I
say we invest our lives in those mines. . . . We say the
miner's time should start when his risk starts. . . . When
we are burning coal, either in the domestic grate or for steam-
raising or for any other purpose, we are really burning the
lives of men. As the old song ' Caller Herrin ' says, ' Ca'
them lives o' men ' — because of the risk in getting it."
Burns and Scott, Dickens and Shakespeare, have been his
reading. He knew Keir Hardie, and has felt his influence
through many years. Smillie is a Socialist of the " left," a
member of the Independent Labor Party, an untiring preacher
of the new economics. Thus, " I found," he commented,
" that we were cutting coal at 10 pence a ton while a certain
Duke was drawing a shilling a ton royalty, and making
£210,000 a year out of it. It occurred to me there must be
something wrong. ..."
When a witness at the coal inquiry spoke of the high cost of
building a ship being due in large part to wages, and there-
fore that the immense profits to shipowners were justified,
Mr. Smillie pointed out, " But the wage-earner receives only
one chance, and the profits of the ship continue to come."
Said a dapper witness, a city man, " Oh, the Miners' Federa-
tion and the miners are not the same," and said it with a
giggle and a smirk to the side. " The Miners' Federation
are the miners," said Smillie, looking straight at the man.
He squirmed, blushed, and went silent. One does not contra-
dict a natural forc^.
Mr. Smillie leans over the table and watches a witness
testifying to the conditions in which miners work and live,
seeing his own past days. Particularly as he listened to
Vernon Hartshorn and to John Robertson (of the Miners'
Executive), he seemed to glow till he was incandescent. He
gathers himself slowly, his voice husky as he opens his cross-
examination, then booming at its height, but always with a
refrain in it of sad and bitter experience : something ominous,
68 THE YEAR
and yet something tender, in the tone. He is tall and gaunt.
His frame is stooped from threescore years of struggle.
There is an overhanging quality to him — in his position at
the table, in his shoulders, his nose, his eyebrows. His face
is seamed from early hardship, with a line down the forehead,
and the nose, strong and large, slightly aslant. His is the
saddest face I have ever seen, but it is rugged. No one is
awkward who has no self-consciousness, and there is a
rhythm of natural motion to him in every gesture and as he
walks. After the first day, no one doubted who was head of
the Coal Commission. The pity of it is that he isn't twenty
years younger; great power has come to him when he is old
and is indifferent to it.
The whole personality is full of suffering, and the voice
has a cadence of wistfulness, but the man is set in granite,
with a fighter's jaw. He talks to premiers as man to man,
and no mob has yet howled him down. He is the voice of
a million and a half men, and he will be heard. When he is
talking quietly along with you, he suddenly sinks into a
silence. And then in a moment he will come up to the sur-
face out of that deep still pool in which he lives his real life.
When I see him, I think of that line of Carlyle's about the
inner life of the old warrior king, " a great, motionless, in-
terior lake of sorrow, sadder than any tears or complainings."
To the miners, Smillie is a symbol of their dark life un-
derground, and of their climb to the sunlight and to power.
" Bob will not like it," says a miner at a lodge meeting, and
the proposal is squelched. There was a meeting where a
famous labor leader was making an attack on the miners,
because the leader's union had lent money, as yet unpaid, to
the miners. Smillie rose from the balcony over the speaker's
head, walked to the balcony rail, and said, " What the miners
owe, the miners will pay." It was as effective for the flam-
boyant orator and the audience as, " I bring you peace with
honor." The moral authority of Lincoln or Mazzini was not
in the words spoken or the acts achieved. It rested in the
deeper and unconscious being below the threshold. So it is
not possible to chart the slowly gathering force of Robert
ROBERT SMILLIE 69
Smillie, which, day by day, asserts itself increasingly over
keen minds like the leaders of industry and the Government
experts at the Coal Commission. It has taken him sixty years
to burn his way with a slow fire into the consciousness of
Great Britain. The moral authority can be very simply ex-
plained. He speaks from a deeper level of being than other
men. He was fortunate in being born a man of the common
people, who would understand him and follow him. He is
misunderstood by the " general public," which wishes a facile
opportunism. Speaking of tragic things (of 1,200 deaths a
year in the mines, of 150,000 accidents) he troubles our
lighter moods. But to those that know him by shared ex-
perience, his leadership is unshakable. Keir Hardie had the
quality of making large masses of men follow his lead be-
cause he believed in men, and Keir Hardie is dead. Of the
living labor leaders of England, Smillie is most like him.
The future is hearer in Britain than elsewhere. It is just
over the horizon line. I heard Smillie say to a labor group,
" I am hopeful, aged as I am, to see a free electorate. With
us are all the best of the thinkers of the country." This
sense of a coming emancipation is strong in him. He believea
he is leading men in the last charge of all. And with that is
the knowledge that he cannot be touched. The day is gone
forever when a champion of democracy can be jailed or si-
lenced. Smillie is like Debs in his fierceness for justice, his
forthright speech. But he lives in Britain, not in America.
Some millions of men would rise if hands were laid on him.
As they say in Scotland, " The heather would blaze," and out
of Scotland and Wales, Durham, Northumberland, and the
3,000 mines, a fire would come that would not die down. He
carries always this sense of the multitude that backs him and
the promised land just ahead.
Toward the end of March, 1920, the cable brings word
that Smillie has resigned from the presidency of the Miners.
But, living, he can not remove his personality and influence
from the movement. And not even death would undo his
work, nor utterly quench the forces released by his prevail-
ing will.
CHAPTER III
THE NATIONAL INDUSTRIAL CONFERENCE
FEBRUARY 28, 1919
YESTERDAY the peace parliament of employers and workers
convened by the British Government met in the Central Hall.
Five hundred workers were present and three hundred em-
ployers. The workers represented general workers, the
Triple Alliance of miners, transport workers and railway
men, the engineering trades, shipbuilding, cotton, and also
those trades which have been gathered in under the Whitley
council scheme. Of the Whitley councils Sir Robert Home,
the new Minister of Labor, said, " The great positive reform
to which one looks with the most hope for the prevention of
industrial disputes in the future is the scheme which Mr.
Whitley's committee submitted to the country not long
ago. There can be no question at all that the whole move-
ment of modern life is in favor of the workmen being al-
lowed some share in the control of industry in future." But
it was noticeable at this parliament of producers that the
Triple Alliance brought in its own separate proposals, and
that the Amalgamated Society of Engineers refused to be
bound by any action taken at this conference.
The Whitley councils, in other words, while they have al-
ready been set up in twenty-six organized trades and are
about to spread out over twenty-four more, so that already
they are covering the working activities of two and a half
million persons, have nevertheless failed to prevail in the
storm centers of the industrial world. They have not taken
hold of the miners, railway men, shipbuilders, engineers, and
TO
NATIONAL INDUSTRIAL CONFERENCE 71
cotton spinners and weavers. Conciliation has only been ac-
cepted as the necessary climate of these next months in those
smaller occupations which are not the pivotal industries of
Great Britain.
The conference may be the result of a suggestion which
Mr. Clynes has been pushing ardently in recent weeks for
what he calls an industrial council — a council of all the trades
employers and unionists. It will be seen that this gathering
together of all producers in industry amounts to a super-
Whitley council. We have the shop committee, the works
committee, the district council, the joint standing national
council in the given industry which has come in under the
Whitley scheme, and now finally we have this collection of
all the trades which have come in under that scheme. Thus
gradually some sort of organization is being attempted in the
industrial arena, comparable to the organization of the State
for matters political.
The resolution passed by the conference reads :
That this conference, being of opinion that any preventable dis-
location of industry is always to be deplored, and in the present
critical period of reconstruction may be disastrous to the interests
of the nation, and thinking that every effort should be made to
remove legitimate grievances and promote harmony and good will,
resolves to appoint a joint committee, consisting of an equal num-
ber of employers and workers, men and women, together with a
chairman appointed by the government, to consider and report to
a further meeting of the conference on the causes of the present
unrest and the steps necessary to safeguard and promote the inter-
ests of employers, workpeople, and the state, and especially to con-
sider (i) questions relating to hours, wages, and general condi-
tions of employment; (2) unemployment and its prevention; and
(3) the best method of promoting co-operation between capital
and labor.
As industry draws nearer to organization and a constitu-
tion, it is interesting to see its constituent parts. Those in-
vited to yesterday's meeting were:
72 THE YEAR
(1) ALL JOINT INDUSTRIAL COUNCILS. These bodies, which are
created in pursuance of the Whitley scheme, are established only
in industries in which both the employers and the workpeople are
well organized in their respective associations, and they consist of
equal numbers of representatives of associations of employers and
trade unions. They cover 26 industries.
(2) ALL INTERIM RECONSTRUCTION COMMITTEES. These com-
mittees have been formed in industries where, owing to various
reasons, progress towards the formation of joint industrial coun-
cils has been slow. They also consist of equal numbers of repre-
sentatives of associations of employers and trade unions, and they
cover 35 trades.
(3) ALL TRADE BOARDS. These are composed of representatives
of the employers and workpeople, with several nominees of the
minister of labor. Their primary function is the fixing of legal
minimum rates of wages, but they also deal with industrial condi-
tions generally. They number 13.
(4) THE PARLIAMENTARY COMMITTEE OF THE TRADES UNION
CONGRESS. This represents more than 4,000,000 members of British
trade unions.
(5) THE PARLIAMENTARY COMMITTEE OF THE SCOTTISH TRADES
UNION CONGRESS. This represents about 250,000 members of Scot-
tish trades councils, Scottish sections of British trade unions, and
trade unions with a wholly Scottish membership.
(6) THE GENERAL FEDERATION OF TRADE UNIONS. This repre-
sents about 800,000 members of trade unions federated mainly for
financial purposes. Most of the unions are also affiliated to the
Trades Union Congress.
(7) THE NATIONAL ALLIANCE OF EMPLOYERS AND EMPLOYED.
A body formed at the end of 1916 to promote co-operation of em-
ployers and employed for the welfare of the workers and the
efficiency of industries.
(8) THE FEDERATION OF BRITISH INDUSTRIES. This organiza-
tion comprises over 800 individual manufacturing firms and about
170 trade organizations, representing over 16,000 firms in many
trades. It was formed since the outbreak of the war to promote
the interests of the manufacturing industry, and it is allied with
the British Empire Producers' Organization, the British Imperial
Council of Commerce, and the British Manufacturers' Corpora-
tion.
NATIONAL INDUSTRIAL CONFERENCE 73
(9) EMPLOYERS' FEDERATIONS AND TRADE UNIONS COVERING THE
FOLLOWING TRADES: Coal-mining, iron and steel, engineering and
shipbuilding and ship-repairing, cotton, boot and shoe, railways,
docks, and other transport, printing, explosives, lace, tinplate, heat-
ing and domestic engineers, and general workers and women
workers.
Among the eight hundred delegates it was impossible to
discriminate between workers and employers, except for
" Bob " Williams in a class-conscious flannel shirt and muffler.
Sir Allan Smith, president of the Engineering and Employ-
ers' Federation, might have been taken by a visitor from
Mars for a pale, intense, sincere Clyde revolutionary. And
the traveler from New Zealand would have selected Thomas,
Brownlie, and Stuart-Bunning as millionaire proprietors,
shrewd, far-seeing, conscious of power.
Yesterday, just across the street from the Central Hall,
Princess Pat was being married. A large crowd was outside
the Abbey as the delegates emerged from the grim debate;
and Princess Pat appeared, a princess no longer, having
stooped to a union with the second son of a Scottish earl
instead of mating with the son of a royal house. It was the
final gesture of royalty, coinciding with the advent of the
workers to a share in power.
II
The first half of this chapter is left with the date line and
the text as it was then written. So, a truer picture (moving
picture) of changing events is given. The conference was
born in hope. An excellent report was issued by the sub-
committee. It will be found in the Appendix. And a strong
statement was made by the trade-union half. This also will
be found in the Appendix. But of results the summer saw
none. Labor began to suspect that the conference, like the
Coal Commission, was one more of Mr. George's flashing
improvisations — a way of getting rid of difficulty by post-
ponement
74 THE YEAR
In October the trade-union side of the Provisional Joint
Industrial Committee issued this statement:
Apart from the proposal to form the National Industrial Coun-
cil, the most important of the recommendations unanimously
agreed to by the employers and Trade Unionists were those deal-
ing with hours of labor. It was agreed that a Bill should be
introduced, laying down a maximum 48 hours' week, with provi-
sions under strict safeguards for variation of the hours in either
direction, and that this Bill should " apply generally to all em-
ployed persons." This recommendation, together with others, was
unanimously accepted by the Second Industrial Conference, which
met on April 4th.
The whole time between April and now has been spent in a
vain endeavor to get the Government to accept these joint pro-
posals. The main difficulty has arisen in connection with the
Government's desire to exclude altogether from the Hours Bill
certain classes of workers, of whom the most important are agri-
cultural workers, seamen, and supervisory workers.
Apparently this Industrial Council is to fade. But indus-
try immediately and imperatively needs some sort of func-
tional representation. The Parliamentary Committee of the
Trades Union Congress is too feeble a body.
A careful Government study of the Whitley councils, as
now operating, will be found in the Appendix. It will be seen
that they are serving a purpose in establishing wages and
hours. "A case — a very real case — can be made out for
them in the matter of wages and hours/' said J. J. Mallon
(in November, 1919).
But they have not functioned in "workers' control" to
any such extent as the creators of them hoped.1 Such per-
sons as Mallon, J. A. Hobson, and F. S. Button fashioned
them to be a training ground in responsible administration of
working conditions, the processes qf production, " discipline
and management," the allocation of raw material. Instead of
1 The Builders' Parliament has been the finest flower of the Whitleys
as well as one of the roots from which they sprang. The Builders'
Report will be found in the Appendix.
NATIONAL INDUSTRIAL CONFERENCE 75
expanding in these directions, the councils have tended to
concentrate on wages and hours. They have been tardy in
forming District Councils and Workshop Committees. In
certain instances, they have left all the stiffer work to the old
Conciliation Boards, and have regarded their own function
as a sort of welfare committee. In other instances, such as
the Woollen Board, the vital questions have been handled by
a group outside the Whitley council in which the workers
were a minority and steadily voted down. In other instances
(such as the Packing Case Makers and the Bakers) one
side or the other has — at least, temporarily — withdrawn.
For all that, sections of labor have found a redress in
Whitleys which they never knew before. The fair-minded
student will give them at least two years more of experimen-
tation, before ruling them out as impotent. They are now
serving as slightly improved Conciliation Boards.
If the Whitleys survive, they will demand an all-inclusive
body, to tie together their activities. They will demand some
such body as this half -realized Industrial Council.
Harold Laski (in Chapter I, Section 7, of Authority in
the Modern State) writes:
Provision must be made for some central authority not less
representative of production as a whole than the state would
represent consumption. There is postulated therein two bodies
similar in character to a national legislature.
The extremist view is always of value in shapening the
issue. Mr. Tom Mann, secretary of the Amalgamated So-
ciety of Engineers, was quoted in the Daily Express of No-
vember 14, 1919:
I do not want to attack Parliament. It is too silly a game.
When we have in our own hands what we want, Parliament, so
far as I am concerned, will be welcome to go on dealing with
what is left over. Do not forget that we are 90 per cent of the
crowd, and when we get going Parliament will be left high and dry.
My type of man does not expect to see any parliamentary insti-
76 THE YEAR
tution improved. I am in agreement with those who contend that
Parliaments, as we have known them, have served their purpose.
Present-day evolutionary developments in industry demand at
least the supersession of the existing sectional trade unions, and
the recognition of the fact that for concerted action to be really
effective the whole field of a given industry must be the area on
which action must be taken.
Our power, when it is obtained, would be primarily one of
organization, and in many instances that would manifest itself
at the discussion table, and the manifestation would suffice. If
not, organization by industry implies a co-relation of all such in-
dustrial organizations with a common understanding among all
workers in the country.
I am not anticipating anything in the nature of a big crash.
There would not be much chance for any alternative policy by the
time our organization was complete.
National Industrial Council, the Whitleys, the Parliamen-
tary Committee of the Trades Union Congress, are all part
of the one problem: How shall the forces of production —
the trade unions as they become all-inclusive of the workers
— function through a central authority?
Industry has been a lawless affair in Great Britain. The
trade unions have grown in power until they include in their
ranks over 60 per cent of all wage-earning men. Keeping
step by step with this growth in numbers has come an in-
creasing consciousness of power. It is the power of pro-
ducers. But unfortunately the modern State has only worked
out its machinery for the representation of consumers. As
a result the worker has had to act lawlessly outside the
channels of government. Thus, the bankers and business men
have formed their local Soviets, known as Chambers of Com-
merce, and through them have brought pressure to bear on
Parliament. Similarly, when Mr. Robert Smillie, representing
the Federation of Miners, numbering 800,000, wanted to get
something done he did not go to his parliamentary represen-
tative. He went and called on the Prime Minister and got
it done.
NATIONAL INDUSTRIAL CONFERENCE 77
The employers had become as anarchistic as their employees
and many of them were speaking of the business or factory
"as my business, my factory." These employers had gotten
the idea that both the worker and his work were a com-
modity to be bought and sold in the open market. They
failed also to realize that the product when finished by the
factory did not actually belong either to the so-called owner
nor yet to the workers, but that it is the product of the
community, on which the first charges to be levied are those
for the labor spent in its creation, both of hand and brain.
The year 1913 and the first half of 1914 saw these two
lawless forces of employer and employed marching up ever
closer to a battle which would have tied up England, would
have destroyed the power of production and lessened the na-
tional income. Then came the War, and with it a great wave
of patriotic feeling on the part of the workers. So keen
were they to help that they signed away the rights and pro-
tections which it had taken them a hundred years of struggle
to create. The employers were able to temper their own
patriotism with a due measure of self-regard and obtain the
right to an increased profit of 20 per cent over the piping
days of peace. The workers responded to this class con-
sciousness on the part of the great owners with the Shop
Stewards' movement and the ever-growing demands for
workers' control.
As Frank Hodges, secretary of the miners, says:
A careful and far-seeing statesman would foresee the whole of
the possible developments along these lines for the next ten or
fifteen years; and he would make provision for creating institu-
tions which would give a natural outlet to these desires. So
keenly is this aspiration feared by the employing classes that they
would willingly declare an armistice in this fight. They have, in
fact, offered an armistice in certain industries, and they propose
a remedy which will give the workmen some outlet for their de-
sires. They come forward with the proposition of Whitley Coun-
cils, co-partnership, profit-sharing. A thousand and one schemes
are afoot which purport to give the workers some form of con-
78 THE YEAR
trol, but which, upon careful analysis, only make them more
amenable and more useful in the prolongation of the capitalist
system. There can never be any equality, there can never be har-
mony (whilst we do not quarrel with individuals), there can never
be any real brotherhood existing between those who buy our
labor and those who have to sell.
But the institutions have not yet been created.
CHAPTER IV
YOUTH AT THE STIRRUP.— THE LABOR PARTY
CONFERENCE AT SOUTHPORT
[Historically, diplomacy has been the last phase of civil
government to yield to democratic control. With the rise of
social and economic, no less than dynastic and military, factors
in international relations, we are witnessing a shift through-
out Europe to what President Wilson called the " counsels of
common men." Since the days when a group of British
textile operatives sent their message to Abraham Lincoln
that they were with the North on the slavery issue, what-
ever the effect of the blockade and the stand of the British
cotton trade, British labor has groped towards some part in
foreign policy. At the close of June, at Southport, the British
Labor Party broke the precedents of twenty years in the po-
litical labor movement in England, and called on the trade
unions to prepare to bring direct action (strikes) to bear on
a political issue. That issue was one of foreign affairs —
self-determination in Russia. What direct action on the
British plan means — as distinct from revolutionary strikes on
the Continent — is interpreted in these dramatic debates on
nationalization of the mines (political interference with a
primary industry) and Russian intervention (industrial inter-
ference in political policy). They registered a new stage in
the relations of the political and industrial arms of the British
labor movement.]
THE first annual conference of the British Labor Party since
the armistice has built its program for the coming year.
The conference moved decisively to the left, but it is a left of
79
80 THE YEAR
the British brand. British labor is not a revolutionary mi-
nority European sect; it is a great organized group that ex-
pects to take over the Government within a few years. It
made its fighting issues:
1. To nationalize the mines (as the first step in the na-
tionalization of all the great public utilities).
2. To end intervention in Russia, by direct action (of the
British brand).
This conference was held at Southport — that summer city
on the western coast — on June 25-27. The conference moved
to the left because Smillie and Hodges moved it (stated in
terms of personality). Or, stated in terms of economic power,
it moved to the left because the Triple Alliance drove it
Smillie has given the lead to labor, politically and industrially,
by his victories in the Coal Commission. And only second to
him is the brilliant, moderate young miner, Frank Hodges,
who in a speech of five minutes spitted Ben Tillett, the old
dockers' leader, who preceded him, and overthrew John
Robert Clynes, former food controller, who followed him.
Hodges pleaded for direct action (of the British brand) on
Russia, and carried the convention by a majority of 958,000
votes. Henderson, through a cold, had lost about three-
quarters of his voice, which reduced his volume of tone to
that of other delegates. And with the passing of his cast-iron
bass, he seemed to have lost a little of his alertness and
strategic intuition. He and the others of the Labor Party
Executive were ill-advised in not immediately accepting the
Hodges statement as party policy. The vote rolled over them
as it rolled over the right. And now they must accept it.
There is an accent to victorious youth that ought to be recog-
nized at the first hearing. The young are not in the saddle,
but their foot is on the stirrup.
A year ago, in a time of division that split the middle-class
parties, Clynes, Henderson, and Thomas represented the heal-
ing and concessionary elements which made labor cohere.
This year Cramp (with his 450,000 railwaymen), Smillie and
Hodges (of the miners) were the forward-pushing leaders
YOUTH AT THE STIRRUP 81
behind whom two million out of the three million men repre-
sented took up the new lines.
When the conference turned to such issues as conscription,
Russia, the blockade, the peace treaty, it became clear that so
far as the British workers are concerned the War is over.
The old wounds dealt and received by " jingo " and " pacifist,"
" knock-out-blow " and " negotiation " are healing. Indeed
that was evident before, at the annual meeting of the trans-
port workers, when the scarred warrior, Ben Tillett, made a
brave speech calling off his feud against the German people.
And the Labor Party now gave great applause to Ramsay
MacDonald, for the best speech he has made in five years,
when he urged a real league of nations and the acceptance of
Germany within it, and the cure for hate, and the healing of
the nations. Only one dissentient to an anti-blockade resolu-
tion among nearly a thousand delegates was heard — the
staunch and famous leader of the dockers, James Sexton.
But the conference refused to listen to him, and he subsided
into that grim humor which carries him through these piping
days of peace when he is left stranded on the extreme right —
the last of the Die-Hards and Bitter-Endians.
Then, in the true English tradition, to balance all that
thrust and dynamic, the delegates elected, at the head of the
poll for the Executive Committee, Sidney Webb, sane, con-
stitutional, who works to have the social revolution come as
gently as a change of clothes.
The British Labor Party has added a half million to its
paid membership and now numbers 3,013,129. The trade
unions send 2,960,409. There are 389 trade councils and
local labor parties, and 4 Socialist societies. The member-
ship of the Socialist societies is 52,720; but of that member-
ship 80 per cent is trade union. Ben Tillett estimates the
trade-union membership of the British Labor Party to be 99
per cent of the total membership. In 1914 the membership
was 1,612,147. In the four years of war, the party, instead
of splitting like the Liberals, has almost doubled its member-
ship. At the recent general election it polled a vote of 2,244,-
82 THE YEAR
945. Its earlier election vote was 505,690. W. H. Hutchin-
son, of the Amalgamated Society of Engineers, was elected
chairman of the party for the coming year. He has a well-
balanced trade-union record for a generation.
Ramsay MacDonald received forty-six separate nomina-
tions, and was unanimously re-elected treasurer. Arthur
Henderson remains secretary, the leader of the party. The
elements of right, center, and left are so blended in the Ex-
ecutive Committee,1 that all one can say is that it is represen-
tative of the entire labor movement.
The European right has been waiting for the lead from
British labor to quash the Eastern left that takes its inspira-
tion from Lenine. And the Italian and French left have been
waiting for a strike lead from; the British left. Neither side
got satisfaction. British labor agreed to join Italian and
French labor in holding demonstrations against Russian inter-
vention on July 20 and 21. That is the British substitute.
" Demonstrations " meant orderly meetings on Sunday and
Monday, as a constitutional release for wrath.
On the last day of the conference, a loud-lunged group of
ex-soldiers in the gallery bellowed the proceedings to a stand-
still till they received the promise that their friend, Bob
Williams, should address them on pensions and wages. The
episode is one of many hundreds that reveal the state of mind
of a type of returned soldier. He demands immediate
changes. To get them "he will resort to direct action. The
War has imbedded violence in his consciousness. This is a
dangerous element in the State; it will require all the tact
and the fundamental sanity of the labor leaders to canalize
this unruly force. During the War it could be aimed against
the enemy; now it is being aimed against institutions, con-
ventions, and persons. In private life, it has taken expres-
sion in crimes in so large a number of cases that one police
commissioner has issued a public warning. Williams is at
1The women members are Dr. Ethel Bentham, Mary Macarthur,
Mrs. Philip Snowden, and Susan Lawrence (a member of the London
County Council).
YOUTH AT THE STIRRUP 83
this moment busy on a program with the Ministry of Labor
to meet the demands of discharged disabled soldiers. It is
interesting that the Government has to call on labor leaders of
the left to save constitutional government from grave dis-
turbance.
Labor's vote for direct action on Russia means a series of
steps through the Labor Party Executive, Parliamentary Com-
mittee of the Trades Union Congress, delegate meeting of the
Triple Alliance, the Trades Union Congress itself, and,
finally, through the rank and file vote of each union. Labor
is well aware that minority action could hold up the business
of any government. But the Labor Party does not wish to
be scuttled later by its own mutineers. So as it draws near
to its day of power, it quits thumbing its nose at authority,
and calculates the distant effect of its present action.
Such is a summary of the conference. There was nothing
wild. But there was profound feeling concerning Russia, a
feeling which, should the Government disregard it and con-
tinue to send supplies to the anti-Bolshevik generals and
admirals, will (not immediately but ultimately) lead to sec-
tional strikes. There was a " feeling " that a general election
will come fairly soon, and that the miners have supplied a
fighting electoral issue in "nationalization." There was a
demand for radical leadership, as expressed in the greeting to
such men as Cramp, Smillie, Hodges, and Williams. It is in
the main the trade unionists who are heading the swing to
the left, and not alone the political Socialists (as in the past).
But underneath this shift one feels the caution of the British
temperament. At least one-quarter of the leaders are of the
old wages-and-hours type, to whom swift change is distressing.
In addition, there is that immense mass of silent voters who go
only as fast as they are convinced. The result will be no
sudden political overturn. Election by election the workers
will continue to gain seats, till one day the half-way mark is
crossed and the balance of political power has passed to them.
84 THE YEAR
ii
The nineteenth annual conference of the British Labor
Party gathered in the Palladium Theater — a " palace of
varieties " — a large modern building with a red-glowing in-
terior, which seated delegates on the main floor, and over five
hundred visitors in the gallery. The last half hour before the
leaders arrived, carpenters and electricians were tinkering
with the press tables. A local musician sat at the great organ
and filled the building with his music from the Offenbach
Barcarole and from Italian opera, submerging us in deep
chords. As the delegates gathered, one was impressed by the
success of the movement. It is a long stride from the day
when labor met in the gloom of the Lambeth Baths. The
free gift of the Palladium was one instance, the presence of
Southport's mayor in full blue regalia another.
J. McGurk, of the Miners' Federation, sought as chair-
man to set the keynote by his address, which, like a king's
speech, is supposed to be a composite of the responsible beliefs
of the full Executive Committee. McGurk is a square, burly,
witty Irishman. He would shine in a mass meeting or a
small rough-house group; but the present area was slightly
beyond his range. He attempted to harmonize differences,
but his address rather served to reveal the temper of the
conference on Russia, conscription, and direct action. He
said:
We all deplore the Bolshevist excesses. We all decried the
czarist excesses, but the British government did not assist the
1905 revolution by sending men, munitions, and materials to those
who were fighting the battle of democracy against autocracy,
... So long as this policy of intervention in Russia is pursued,
there can be no question of disarmament, and the alleged need
for retaining conscription in this country will remain. If the
government counts on being able to bluff the workers indefinitely
on these lines, it will be sadly disillusioned. I do not say this
by way of a threat; it is a simple and common statement of fact:
the workers of Great Britain will not have conscription, and we
YOUTH AT THE STIRRUP 85
shall resort to every legitimate means to bring about its with-
drawal.
In the reception of this passage, it was plain that the chair-
man was playing on a live nerve of the majority present. The
feeling deepened as he went on:
A movement is already afoot to employ the strike weapon for
political purposes. This would be an innovation in this country
which few responsible leaders would welcome. . . . We are
either constitutionalists or we are not constitutionalists. If we
are constitutionalists, if we believe in the efficacy of the political
weapon (and we do, or why do we have a labor party), then it
is both unwise and undemocratic because we fail to get a majority
at the polls to turn round and demand that we should substitute
industrial action. ... It appears to me to be less likely that
they will be ready to give their adhesion to industrial action to
enforce political demands and ideas. It would therefore be a
misfortune if the movement were to be torn asunder by efforts
to force the adoption of the strike policy for political aims.
It was clear from the buzz of comment and interruption
that the delegates were determined to deal with Russia and
direct action. Their repressed feelings began to come through.
The liveliness started when the report of the Executive Com-
mittee was read. A paragraph told of sending a telegram of
welcome to President Wilson. A delegate of the (anti-war)
British Socialist Party, William McLaine, protested. He
said:
President Wilson is the commercial traveler for American capi-
talism. It is necessary for him to speak as if he were an idealist,
and thus to be used by the Allied imperialists to obtain labor
support in their own countries. The old phrases of annexation
would not have availed. In America, in President Wilson's own
country, Socialists and labor men are in prison, such men as
Eugene Debs and Victor Berger. Let President Wilson speak
when his house is in order. Labor will do well when it relies
on itself instead of on President Wilson. He came into the Wajr
86 THE YEAR
when American capital was committed and ready to come. His
policy is opposed to that of the working-class.
Arthur Henderson here intervened with his note of au-
thority :
I hope that this debate will not be pursued. When we sent the
telegram, we were then hopeful that President Wilson would
translate his ideals into terms of the treaty. We sent it in the
trust that his ideals might be realized much nearer than they are.
It was only a minority of the delegates who were so mis-
taken as to believe that Mr. Wilson had acted with hypocrisy.
The large majority dismissed the matter in the sympathetic
silence given to a well-meaning man who had been outplayed
by stronger men. And Henderson's requiem closed the inci-
dent. Wilson will not again figure in the deliberations of
British labor. No delegate in all the hall applauded his name.
A sense of disillusionment in him and in the peace is wide-
spread among advanced workers. The same kindliness that
covers the Antwerp and the Gallipoli expeditions will surround
the sleep of the Fourteen Points. One lasting result the
American President has wrought — he has altered the vocabu-
lary of idealism. At this labor conference, phrases about
" open covenants " and " democracy made safe " were scrupu-
lously avoided, and the aspirations of the workers were put
into pedestrian and realistic words, with the emphasis on ap-
plications rather than on general principles. Ideology of
language has now been relinquished to the imperialists.
One issue became clear. Should British labor use direct
action, industrial pressure, the strike, to pull the troops out of
Russia? If so, should the Labor Party say so? Or should it
be left to the Trades Union Congress ? Should a political ques-
tion be settled by the industrial weapon? This is an old and
familiar doctrine, but the application of it to the Labor Party
is new to British experience. The Executive Committee, in its
report, took the ground that if the " British labor movement
is to institute a new precedent in our industrial history by
YOUTH AT THE STIRRUP 87
initiating a general strike for the purpose of achieving not
industrial but political objects, it is imperative that the trade
unions, whose members are to fulfil the obligations implied
in the new policy and whose finances it is presumed are to
be involved, should realize the responsibilities such a strike
movement would entail and should themselves determine the
plan of any such new campaign."
Robert Williams rose from his place as member of the Ex-
ecutive Committee of the Labor Party. He is the secretary
of nearly 400,000 transport workers, who are sailors, dockers,
riverside workers, ship loaders, and vehicular workers. He is
a giant of a man, over six feet, in the prime of manhood, with
large features — big mouth, a jutting nose, a loud voice, and a
gift of Kiplingesque language. He wears a drooping tie like
a neck-bouquet, and has huge hands. He is the "average
sensual man," seen through a magnifying glass, and looks
like a super-drummer. In speaking, the touch of charlatan-
ism disappears, and the strength that has lifted him from
poverty to leadership comes through. He chews his words
with vigor and accentuates ch's and c's. He hisses his attacks,
bitter and fearless :
There are members of the Parliamentary Committee who are
more reactionary than the House of Lords. Their action has been
a smoke screen to protect the reactionaries of the government.
We are told that certain forms of action are unconstitutional. Is
the war against Russia a constitutional war? One day that scion
of the house of Marlborough, Mr. Churchill, the would-be dic-
tator, gloats over the success of the Koltchaks, the Denikines and
Manneheims, who seek to crush the Russian workers' republic.
And, then, when the Red army wins, Mr. Churchill says, " We're
only in a sort of war with Russia."
Mr. Churchill has thrown down the challenge, and I am pre-
pared to say that at least one million of the pick of the working-
class movement will accept his challenge on the maintenance of
conscription, and the crushing of a working-class republic. If the
leaders don't take action constitutionally, then the rank and file
will take action. As a trade union official, I wish no conscription.
The government is attempting to get the same power over the
88 THE YEAR
workers industrially as in the war. We have a proof in the
infamous army circular. [Exposed by the Daily Herald.]
But the military cannot be relied on to crush a working-class
movement. I am credibly informed that the navy is even less
reliable than the army. The police are less reliable than the navy.
Let the conference decide whether it is possible to promote indus-
trial action for political action — to use what our French friends
call faction directe.
Then followed the demonstration of the three days. A
gray, bent man rose in the center of the hall, and acclamation
grew till it was a tidal wave. For a moment or two the dele-
gates broke into song, while Robert Smillie walked to the
front.
He came to them from his long battle on the Coal Commis-
sion where, with the equal help of Hodges and Sidney Webb,
he had won a wage gain and a shortening of hours that give
his miners a good life. And more than that he had won; for
he had obtained a majority decision in favor of nationalization
and workers' share in management, which in the end will
make his miners into public servants. He would wrest the
minerals from the Dukes and hand the mines over to the com-
munity. As the foreign delegates testified, he had given the
pace to the labor movement of Europe. The past and present
of the man were about him — his almost fifty years of strug-
gle and his part in the march of labor. He stood a foot away
from where I sat. His bent figure and lined face are pa-
thetic, but it is not the pathos of failure — it is the pathos of
the old warrior.
" Don't spare 'em, Bob," came a voice from the gallery.
Smillie said in part:
The Executive Committee has taken the position of every ex-
ploiter, capitalist, and politician. What they fear more than any-
thing else is direct action. Direct action may be constitutional
action. Labor leaders were tied up under the munitions acts and
the strike made illegal. The rank and file could only protest.
The actions of the trade unions should have been kept free.
YOUTH AT THE STIRRUP 89
[Smillie kept the miners free by refusing to enter the Lloyd
George Treasury Agreement.]
Where do political questions end and industrial questions begin?
Politicians say that the nationalization of mines is political, but
does the conference condemn the miners who made up their minds
they would strike if they did not get nationalization of mines?
To me nationalization is a great labor question. Starved and
kicked and kept in miserable houses for generations, the miners
have been building up fortunes for the privileged class. Are the
organized miners not to use the power of their organization to
improve their conditions by nationalization of mines? Yea, and
our Executive Committee is now congratulating the miners.
Is the action of the government constitutional? The present
government is sitting through fraud and corruption. They have
deceived and lied. Is the labor movement to take no action? But
no person proposed a stoppage of work to overthrow the govern-
ment. . . . We want to take constitutional means in order to
prevent later the taking of unconstitutional means. It will be
safer for the trades unions and the Labour Party to meet calmly
and constitutionally than to wait until a revolution breaks out
in some part of the country, which might sweep from one end
of the land to the other. We of the Triple Alliance wanted the
whole labor movement to have a voice in deciding the question.
The Parliamentary Committee has denied us the right to meet
the whole of the trade union movement. So we have called a
conference of the three bodies in the Triple Alliance. We would
have preferred a wider movement. We do not wish to fight labor's
battle sectionally. It is our duty to let the workers know we
are behind them. I appeal to the Executive Committee to with-
draw this paragraph, because it is a slap in the face to those of
us who are working for what we believe to be the rights of the
workers.
James Sexton replied. Sexton is head of the 50,000 dock
laborers. He is the grizzled veteran of many battles for the
better condition of the less-skilled and less-organized work-
ers. His long years of responsible position have schooled him
to patience and the piecemeal gain. He has a constitutional
distrust of the radical mind. He has a large forehead with
90 THE YEAR
beetling brows over inset eyes. His speech is jerky but forci-
ble, given in a rough voice of sincerity. He is respected by
labor and possesses a large measure of influence.
" Hello, Jimmy, another forlorn hope," said a delegate as
Sexton came to the front. Sexton replied:
It may be a forlorn hope, but I do not think so. My friend and
colleague, Williams, has put the case for direct action. I agree
with Mr. Smillie that it is difficult, and sometimes almost impos-
sible, to separate political from industrial questions. Is there a
man or a woman in the trade union movement who would not
take industrial action for the nationalization of the mines? . . .
Against conscription no man is stronger than myself. But is there
not an easier way of dealing with Mr. Churchill at the next gen-
eral election? Four years of good sound agitation [Voice: "How
about Russia?"] is better than the risk of civil war. . . . You
are letting loose an element now rife in the trade unions which
you cannot control. I am a revolutionist of a social character,
but I do not believe in letting mad dogs loose.
J. Bromley answered him. He is a man in middle life,
head of 40,000 men in the Associated Society of Locomotive
Engineers and Firemen. In the past his organization has been
at odds with the National Union of Railwaymen, but he and
Cramp have reached agreement. They and their rank and
file are as radical as the miners. Bromley said:
I am not going to call men mad dogs. The organized labor
movement will have to blend the two — political and direct action
— to save itself from destruction. I compliment the Triple Al-
liance on their action. Every one of the government pledges has
been broken. Are we to take that lying down? . . . Unless the
intelligent and aggressive minority give leadership, the trade union
movement is going down in a welter of inaction. . . . The rank
and file have backed us in our strikes. Let us show them that
we are coming at last.
He was followed by W. Brace, M.P., of the South Wales
miners. Brace (like T. Richards, McGurk, and Adamson)
YOUTH AT THE STIRRUP 91
represents the more conservative element among the miners,
just as Smillie, Hodges, Robertson, Straker, Hartshorn, and
Herbert Smith represent the majority element. Brace is " a
splendid figure of a man" with raven-black hair, big, black
mustachios like a benevolent pirate of the Main, and a power-
ful physique. Brace regarded the use of industrial action to
settle political questions as a " slippery slope," but agreed with
Smillie that it is difficult to distinguish between industrial
and political questions. He said:
The driving power behind nationalization of mines was from
organized labor, but to set up the Coal Commission legislative
enactment was necessary. It was the political party that set up
the statutory commission. These paragraphs in the executive
report suggest that the question of direct action should be settled
by the trade unions alone. But it should be settled by both the
industrial and political sides of the movement.
Then Henderson made the second move for the executive
and the question was put by, to be fought out when a resolu-
tion in the agenda should come up in regular course. It was
to return twice more till it was decided. And it was to be
decided against Henderson, Brace, Sexton, Tillett, and Clynes,
and in favor of Smillie, Hodges, Bromley, Williams.
in
No labor conference would be happy unless some foreign
delegate had been prevented by a government from attend-
ing. This time two Frenchmen had been turned back by the
French, or the Home Office, or the police. They were Fros-
sard and Jean Longuet, the stormy petrel of labor meetings.
The conference strongly protested and gave all the more em-
phatic applause to Ramsay MacDonald, himself the subject of
earlier embargoes, who had recently returned from central
Europe. He spoke to a resolution in favor of admitting Ger-
many to the League of Nations and the revision of the harsh
provisions of the treaty. MacDonald has a personality which
92 THE YEAR
appeals to many races and nationalities. It is an international
personality, possessed also by Longuet, Vandervelde, and
B ranting; Jane Addams has it notably among women. This
means that he talks a language understood by humanity, and
carries a sympathy which crosses frontiers. Hindus, Irish, and
Russians are as much attracted to MacDonald as French and
Italians. It " takes it out of him " to speak. A sob broke
from him after one of his passages. Henderson is a sincere
politician without the artistic touch — he persuades and man-
ages people. MacDonald carries overtones and moves people.
Both men have a quality of healing that banishes hate and
division. MacDonald quoted Bolingbroke on the treaty of
Utrecht, two hundred years ago : " Each of our Allies thought
himself entitled to raise his demands to the most extrava-
gant height. They had been encouraged to do this first by
the engagements we had entered into with several of them,
with some to draw them into the War, with others to prevail
upon them to continue in it." The origin of war, said Mac-
Donald, was the stupidity of the nations that made peace,
and he went on:
The iniquitous conduct of Germany against France in 1871 is
now being punished. Let it be punished in such a way that there
will be no nation, twenty, thirty, or forty years hence, that will
rise up and say, " We are going to wipe out the peace of 1919."
We could say that if Germany were in our position, she would
do worse. I agree that she would. I have never said anything
else. Neither in making war nor in making peace am I going
to copy militarism. A peace made by Germany never would have
been acquiesced in.
Another kind of peace is the peace of punishment. Germany
must bear the burdens of her acts. That is punishment, but
punishment is most effective with a reserve of justice. The man
who confuses passion with punishment is not punishing as a judge
delivering justice, but as a man destroying his enemy.
There is a third peace that settles the problems of Europe
and tames those evil passions.
There is in Europe a great menace of militarism created by
YOUTH AT THE STIRRUP 93
the Scheidemanns and Noskes on the one hand, and the Churchills
and Paris conferences on the other.
There are still the war-makers — old people, with a gouty foot
by the fireside, who wish to be heroes and patriots.
The League of Nations is the one hope. It is bad as it stands,
but we must make it better — no longer a league of national execu-
tives, but a league of peoples. All our old enemies must be in it.
We wish a peace out of the simple heart of man, out of the
common experience of man. The old governing order gives way
before the simple humanitarian ideas of the common people. They
are marching, marching, marching to conquer the land. Over the
well-nigh countless graves of Europe the grass is growing. Al-
most one can hear the simple soothing murmur of the growing
grass, a music rising till the guns are stifled and stilled by it.
In our own hearts, in our passions, let it be that peace shall rule.
An added proof that the War is over was furnished by the
London Times in saying of this speech : " He perceptibly
stirred the feelings of some of his hearers. On the whole it
was a moderate utterance from such a quarter, and it would
probably be endorsed by men of all shades of opinion in the
party."
On a Thursday afternoon, the stage rilled with friendly
visitors from Europe and Asia. McGurk as chairman was
gasping for breath in the strange tongues that broke loose at
his right and left.
The foreign delegates made clear seven things :
1. They voiced the desire for a working-class International.
2. They expressed the wish that England should give the lead
to the social movement of Europe. (This appeal to England as
the pace-setter is from the elder constitutionalists of the Berne
conference, like Branting, who look to Henderson and Stuart-
Bunning to keep a steady keel without tipping to the left. It is
equally felt by the unrepresented left of Italy and France, who
wish the younger blood of England to shake loose from the step
by step methods, and indulge in a revolutionary semi-Russian
program, looking toward a new International of the Moscow
order.)
94 THE YEAR
3. They gave assurance that the Coal Commission had rever-
berated throughout Europe and heralded a new social order. The
European movement has been stimulated by the miners' victory.
4. They demand that Britain should join Italy and France in
demonstrating against Russian intervention.
5. They testified that the international labor movement is the
nucleus for a league of peoples.
6. They testified that the paramount need is for peace, bread,
and work — credits and raw material — an end of the twenty-three
wars now raging.
7. Unconsciously they revealed sadness, almost despair. Some
of them are surrounded by chaos and look ahead to bankruptcy
and disaster. Europe is falling to pieces, and looks to England
for help and stability.
One speaker advanced like a priestess. Annie Besant has
returned to her own, after her twenty-six years in India,
where she has traveled far toward the " dweller in the inner-
most." Wherever she goes, dusky, turbanned Hindus guard
her. She has had a hand in three deep-reaching insurgencies.
Far back in the '705, she and Bradlaugh stood trial for mak-
ing public knowledge to lessen the birth-rate of Great Britain.
Years later she was one of those first Fabians, with Webb and
Shaw and Bland, who published the volume that " permeated "
England, and helped to break ground for last month's Coal
Commission. With the aid of the Babus she has given trans-
lations of the Hindu writings, including the " rare and
precious Lord's Song" of the Bhagavad-Gita. From time to
time in the last generation the East has stirred with aspira-
tions and the whisper of her name has flown across the con-
tinent.
Annie Besant stood quietly under the greeting of the dele-
gates, an old woman, with thick white hair in waves across
her head. She wore a rich robe-like dress of cream-yellow,
gracious to the eye, and cunningly wrought at the cuffs and
bodice in dyed stuffs of many colors, patterned of tiny threads.
" Comrades of the long ago," she began. Her voice caught
up the gathering with its rhythm, every sentence taking its
YOUTH AT THE STIRRUP 95
full curve. The effect of this strange presence, returned to
the West for what unguessed purpose, was compelling on the
audience, who ceased to be a labor conference and became for
a moment a dumb and waiting people, expectant of the word :
!
There are only two ways from serfdom to liberty — the way of
reform and the way of revolution. Will you not help us in India
to reforms that will avoid revolution? Mr. Montagu's bill does
not give us a central government. The British Labor Party at
Nottingham endorsed India's claim to self-government. We come
now to ask you for your help in gaining from Parliament that
home rule which you have already declared has long been our
right. You may say to us, " But you have the blessings of British
rule, and why would you barter that for the winning of home
rule?" We want it to secure those things that make a people
contented and prosperous — for longer lives and shorter hours and
food for all. But why should we seek to prove to you why we
want home rule? It is for you, if you deny us the right, to
prove your right to make the denial.
Home rule is the right of every nation, that it may carry out
its mission in the world; and you can never have the true Inter-
national until you have nations that are able to unite.
We would plead with you, the mother of all free institutions —
to your consciences, your honor, your traditions — to you who
sheltered Mazzini and welcomed Garibaldi, will you not help
us?
The League of Nations is a league of white nations to exploit
colored nations. It should be a league of free peoples. In India,
there is the last autocracy in the world. But when you went out
to fight for freedom, India sprang to your side. She has an autoc-
racy still, and no date to the ending of it. By the passion of
her enthusiasm, then, Britain may judge of her disappointment
to-day.
Give us some power in the center, and let India through her
councils speak. Help us to drive a gap in that citadel of autoc-
racy, and India will widen the gap till the walls fall.
Some of her children are still-born, and half her population live
on one meal a day. You are sorry for your starving enemies.
Will you not also be sorry for your friends?
Give us freedom, and our people shall not starve. Give us
96 THE YEAR
home rule, and we will do for ourselves what you are unable
to do for us. Give us a chance of raising a mighty nation, a
nation of glorious traditions, and let it go forward with you, a
free nation among the free nations that make your common-
wealth, and Indians will bless your name in the future, and be
glad at last that you landed in India as merchants.
IV
Henderson and Webb believe that a general election will
soon come, and they are pushing nationalization to the front.
The resolution with respect to it was therefore one of the two
most important to come before the conference. The situation
is this: the Coal Commission by a majority found for na-
tionalization; Lloyd George and Bonar Law have pledged
their word to make its findings law; vested interests inside
and outside of Parliament are determined to prevent this.
Henderson says :
It is a matter of enormous significance that the conference is
confronted with a very real working-class achievement in the
majority recommendation of the Coal Commission in favor of
nationalization of mines and minerals, and recognition of the right
of the workers to a share in the control of the industry. . . .
They are calculated to hasten the dissolution of the unnatural
alliance of parties that masquerade at present as a coalition gov-
ernment. They provide labor with a first-class issue upon which
to base its electoral campaign. I hope and believe that the con-
ference will seize the opportunity presented to it and will rally
the whole of the forces of the organized movement to a joint effort
to carry these recommendations into effect.
Around this issue of nationalization the fight is forming
from all sides. It will be the political and industrial issue
of the next five years. The Duke of Northumberland and
the Morning Post see it as clearly as Henderson and Smillie
and Webb.
The Morning Post for June 27th says:
YOUTH AT THE STIRRUP 97
The old lines of party cleavage have no doubt been obliterated,
but only to range in a less artificial antagonism the great, endur-
ing conservative elements in the country, who stand for reasoned
progress, based upon the established order, and the revolution-
aries who, in their impatience to make experiments, would put
everything that is worth having to risk. It is time for every man
to-day to decide on which side he stands, and no better test could
be afforded than this issue of the nationalization of the coal
mines.
Havelock Wilson of the sailors ranges himself with the
Post. A committee of conservative members of the Parlia-
mentary Coalition has been formed to fight nationalization.
Coal will kill the coalition, the coal report will transform
political parties and will force Lloyd George to make his de-
cision as to his own future, whether he shall be the radical
campaigner, or the rising hope of the ancient landowner.
Such was the atmosphere in which the resolution on coal came
before the conference. John Baker of the Iron and Steel
Trades Confederation (85,000 members) moved the resolu-
tion. H. Nixon, of the 20,000 blast furnacemen, seconded
it. It was a clever device to have these metal trades, kindred
to coal, line up behind the miners.
A resolution on national finance was brought in by the
I. L. P., the railwaymen, and four local labor parties. It
called for a graduated system of conscription of wealth, the
taxation of land, accumulated capital, incomes and profits, a
national bank.
Briefly, the situation is that the national debt amounts to
one-half of the pre-war total capital value in land, mines,
railways, building and commercial industry. When the
troubled and disastrous financial condition of Britain is real-
ized— as it must be within three years — this plank of the labor
program will come to the fore. It is a challenge, (i) to
the possessors of wealth to hand over a larger fraction of
98 THE YEAR
their capital and income; (2) to the captains of industry to
mitigate unchecked " private enterprise " and " private prof-
its " in order to win the co-operation of labor, which balks at
operating under the old system; and (3) to the labor leaders
to tell the rank and file that " the new heaven and new earth "
has been postponed by the War, and that hard work inside the
industrial democracy is a necessity for even a scanty measure
of prosperity.
The morning of the last day opened with Henderson's
reading of a statement that "the delegates of the labor and
Socialist movements in Great Britain, France, and Italy,
meeting in Southport," had arranged for a general working-
class demonstration on July 20 and 21, to take, in each country,
" the form best adapted to its circumstances and to its method
of operation." This meant that orderly public meetings of
protest would be held so far as British labor was concerned.
The foreign delegates — d'Arragona, Renaudel, Jouhaux, and
Branting — all of them belonging to the right, had made it
clear that working-class feeling against Russian intervention
had grown so intense that organized expression must be found.
These middle-aged conservative men had sat up late o' nights
with the British Executive Committee, revealing the gather-
ing storm, and devising a lightning-rod.
Then the conference passed on to its most dramatic piece
of business — the resolution on direct action. Councillor R. J.
Davies, of the Manchester and Salford Labor Party, moved
it and seconds came from G. Deer, of the British Socialist
Party, and C. G. Ammon, of the Fawcett Association of
7,000 post-office employees.
Neil Maclean, M.P., one of the Scottish members from
the storm center of the Clyde, said :
No war has been declared on Russia. No war credits have
been voted. The war is unconstitutional on the part of the gov-
ernment. We are in the war because 1,600 millions of British
YOUTH AT THE STIRRUP 99
capital is invested in Russia. Three cabinet ministers, Sir Eric
Geddes, Austen Chamberlain, and Walter Long, have money in-
vested in Russia, and wish Koltchak to win. Our troops use
weapons made by British armament firms who have money in-
vested in Russia, the Birmingham Small Arms Company among
them. In the House of Commons men who call the Labor Party
Bolshevik hold shares in Russian companies, and allow the boys
of the working-class to be sent to fight for their capital. The
dowager empress of Russia can enter this country without dif-
ficulty, but labor's two delegates from France are turned back.
As between the czarist, Koltchak and Bolshevik regime, I stand
by the Bolshevik regime. So I call on labor to assist those of
us who are in the House of Commons, who wish to withdraw
our troops.
Up to this point, the more extreme radicals only had spoken.
They did not represent a voting strength of more than per-
haps 5 per cent of the conference. Ben Tillett spoke for
the other extreme. He has a famous history from the days
when he and John Burns and Tom Mann fought the dock
strike. Tillett still leads the dockers. He is a short, clean-
shaven, black-haired, grim-lipped fighting man. He has a
square chin and in repose is like a small hunk of granite. In
action he is fierce and springy with a panther-swiftness of at-
tack. At his best he is magnificent, and he was at his best.
A few days before, he had carried the transport workers
in his plea for working-class forgiveness of the Germans — a
noble plea. Now he was brilliant in his defense of the old
trade-union way of carrying on the class war. Tillett said:
For thirty-five years I have been a direct actionist. From the
source that moves this resolution, I have been subjected to the
bitterest persecution. This is a political conference. It has no
right to ask the industrial movement to take economic action
without consulting the members — pit, shop, and branches. The
words of the resolution are camouflage to cover the sinister intent
of the resolution. The trade union movement cannot take this
action without exhausting every avenue of reason and argument.
There has never yet been a revolution of the workers. Workers
100 THE YEAR
have gone blindly into revolutions, led by the middle-class and by
professional politicians. Then the workers, like Samson, had their
eyes gouged out; the politician benefited and the workers suf-
fered. If we are to take revolutionary action, it must be organ-
ized, and it must offer a chance of success. Always, the men
who have been most blatant for bloodshed have skulked out of
trouble. The lions on the platform have been rats when the sol-
diery turned out.
The Triple Alliance can't do these things. There is too much
talk of the Triple Alliance. It is a body subordinate to discipline.
Miners and railwaymen and transport workers can't be led by
the nose. Their constituents must be consulted before action is
taken. The conference should hand over industrial action to the
proper body.
In Russia to-day no trade union meeting can be held. Under
the Trotsky-Lenine government, no life is sacred, no property
is stable. There is absolute chaos by direct action.
When we go to war for our class rights, we must know what
we are doing. When the fighting comes, I shall not be far
behind. It is a mistake for this conference to insult the workers.
The trade union movement will not allow you to boss them.
Tillett was eloquent and witty, throwing his invective at
high speed. His was a white-hot speech of deep emotion by
a man of native gifts. It was a speech that might have won
the conference, if any but two men had tried to reply.
The younger of the two rose, and a thousand men broke
into applause. Frank Hodges did not hear the applause.
He was thinking of the young men — absent from this con-
ference of the elderly — whose voice he was. He is thirty-
two years old, grave and determined; sharply-chiseled with a
jutting jaw. The young miner from South Wales has a
deep, steady voice, with a rolling quality, conveying hints of
reserve strength. His record at the Coal Commission was
known to every man in the hall. And as he spoke, the words
of Tillett seemed " personalities," a little wild and touched
with hot feeling. Calmly, but with a sweep of conviction
and a measured force of considered argument, Hodges lifted
the conference above bickerings. He said:
YOUTH AT THE STIRRUP 101
The resolution is an expression of opinion that the labor move-
ment, because of its weakness, has not accomplished its hopes
with regard to intervention in Russia. And it says, let us acknowl-
edge our political weakness and approach the body possessing
industrial strength with a view to effective action being taken.
Those words must not be misunderstood.
They mean that the Parliamentary Committee would be invited
to call a Trade Union Congress and put a resolution of this char-
acter on the agenda. The experience of the Labor Party Execu-
tive and of the Triple Alliance with the Parliamentary Committee
offers no hope. But we hope that this conference will succeed
where they failed in influencing the committee. It is not sug-
gested that the Trades Union Congress can make a declaration
as to an immediate strike. The effective action may be such
action as each union must determine according to its constitution,
but the conference could make a recommendation to the unions
leaving them individually to discover the way of carrying it into
effect.
We have got beyond the discussion of whether we are to sup-
plement political action with industrial action. If I understand
the position, the parliamentary party would welcome that kind
of industrial support which would add to its authority in the
House of Commons. The miners' strike found its way on to the
floor of the House of Commons. Do the opponents of the reso-
lution believe that at no time is it right for the trade union move-
ment to go to the aid of the political Labor Party?
The two wings of the movement ought to be in harmony. The
parliamentary party must not only represent geographical areas.
It must represent the strength that has accumulated in the trade
union movement.
If the resolution fails, we in the Triple Alliance are driven
back upon ourselves. We do not wish to be. But if there is no
other way, we must use within the constitution of the Triple Al-
liance the industrial force concentrated there, and our members
will have the authority to give us the sanction to declare what
industrial action we shall take. I trust the members of the
Parliamentary Committee will heed this resolution.
This country can move through to the social revolution differ-
ently from any other country, but if you deny it the right to
move through constitutional channels, provided by the Labor
102 THE YEAR
Party and trade union movement, you bring into being those ele-
ments of social chaos and disaster which may not be the best for
the country in the long run.
This was a clean-cut exhibition of personal power put out
in easy mastery of a group. The Executive Committee now
made its fourth attempt to turn a tidal wave into a pool. It
put forward Clynes.
War-time food controller, he is not only head of 350,000
general workers but the most famous representative of the
million unskilled and semi-skilled organized workers, who are
approaching more and more to amalgamation. He is an op-
ponent of direct action for political objects. He has swung
powerfully to the right as the Triple Alliance has leaned to
the left, and has written and spoken boldly against their ac-
tion. He is the most powerful brake in Britain on their
course. Clynes never indulges in personalities. He has a
cold-chiseled brain, a limpid speech. In mental equipment
he is the Elihu Root of the labor movement, with consider-
able physical resemblance. He is only outreached when he
meets a man of equal moderation, dignity, and clarity, if that
man has youth and is for the moment at least the voice of the
aspirations of the coming generation. Clynes said (to a ouzz
of interruption) :
I have always believed that organized labor should use without
limit the trade union weapon for industrial ends. When it is a
question of wages, or hours of labor, or workshop conditions,
there must be no restraint upon the extremest use of the strike
weapon. But I refuse to use that weapon for so clear and
obvious a political purpose as that mentioned in this resolution.
Mr. Hodges has' put a very generous interpretation on the reso-
lution. Its purpose is not only " effective action " but " unre-
served use of the industrial weapon." [Here came a question
from a delegate.]
I was in the government for work I was not ashamed to do,
and I left the government because I could not separate myself
from a movement which, even when I believed it to be wrong,
YOUTH AT THE STIRRUP 103
is a movement I want throughout my life to be associated with.
The last time we assembled in a labor conference, we were be-
ginning a great political struggle and we announced that we had
360 ready for the fight. We went to the constituencies believing
in democratic government through parliamentary institutions. In
60 cases only were our candidates returned, and 300 rejected —
and rejected in the main by the great working-class constituencies
where most of our propaganda had been carried on. We should
not deceive ourselves by saying that workingmen were deceived
by designing knaves and politicians. The true explanation is that
the workingmen were not ready. Either we must believe in par-
liamentary government or reject it altogether. We must not say
that the results are splendid when we succeed and that they are
not to be recognized when we fail. We have heard a lot about
the " ruling classes " and the " governing classes." The class
which has the power to rule in this country is the class represented
by this conference. There are twenty million working men and
women on the burgess roll. Are we to say that those twenty
millions are foolish enough to elect only the weakest of the labor
candidates and to reject all the wise ones? In any case those
who were returned represent the choice of the rank and file.
The conference ought not to shirk its responsibility. It should
not throw the responsibility back upon the executives of the dif-
ferent unions. We are for the moment the choice of the rank
and file. It must be noticed that the conclusion of the resolution
is a definite piece of advice and will be interpreted throughout
the country as a suggestion to the trade unions to use the strike
weapon for political ends. We hope to see the day when, instead
of there being a great crowd of capitalists and non-Socialists
in the House of Commons, there will be a labor and Socialist
government. What, then, would any class which opposed the
action of that government be entitled to do? [A voice, " Strike."]
Does that mean that any class which had the power should have
the right to terrorize a labor government by using whatever means
or manoeuvers were at its command? [A voice, "Let them try."]
Is that admitted? This course of action would be a blow, not
at a government but a blow at democracy. It would do a greater
and more permanent harm to the true interests of the working-
class than to those of any other class. There would be millions
of men in the street, with riot and bloodshed. Do we hope by
104 THE YEAR
creating disturbance in this country to secure peace in the world
abroad? The more turmoil there is here, the more, surely, will
continue the state of distraction which exists in other lands. It is
a socialistic principle to educate people to the acceptance of our
principles, and I am prepared to preach those principles until
they are applied.
We are stronger now than the rich. We do not want our peo-
ple distracted by this movement, but educated. For thirty years
I have been a Socialist. I remain one. I was taught by Keir
Hardie. I am willing to go on until those principles prevail, not
by blood and tears, but by parliamentary power.
In Hodges' speech, note that he did two things. He threw
the question, " Do the opponents of the resolution believe
that at no time is it right for the trade-union movement to
go to the aid of the political Labor Party ? " This was the
same sort of challenge which Clynes used a year ago when
the question of calling the labor members of the Government
out was to the fore : " Are you for the war, or against it ? "
Because the question demanded an answer and did not receive
it, Hodges, like Qynes twelve months ago, carried the confer-
ence.
The other keynote of Hodges' speech was : " The Parlia-
mentary Party must not only represent geographical areas.
It must represent the strength that has accumulated in the
trade-union movement." The philosophy of the younger ele-
ments of labor is in that passage. It is a statement of func-
tional representation, of guild socialism, of industrial union-
ism, of producers' share in control, of pluralistic sovereign-
ties, of the federal principle. The whole recent impulse and
forward thrust of labor is in it. The National Industrial
Council and the Coal Commission were a recognition that a
geographical Parliament is not enough for groups of citizens
with special interests. The old British State shakes with the
contest between vast aggregations of capital in the key indus-
tries and the new " iron battalions " of organized labor in
those key industries. They are not functioning through Par-
liament, or a constitution, or a community organization. It
YOUTH AT THE STIRRUP 105
is a battle of powerful minorities, unrecognized, unrepre-
sented, rebels and franc-tireurs, swaying in the night.
A card vote was taken on the resolution for direct action,
and 1,893,000 were in favor, and 935,000 against it. So by a
majority of 958,000 British labor had swung to the left.
The resolution on conscription went through with a whizz,
and yet, oddly enough, it called for the same exercise of the
power of organized labor as the resolution on Russia. David
Kirkwood moved it. He is the well-known shop steward of
the Clyde area, who was deported from Glasgow because of
his activities. One would expect to find him a fire-eater, of
revolutionary mind. Actually, he is a sober, restrained fam-
ily man, of open, attractive face, and with the richest accent
of burring r's in the labor movement. I have encountered him
before, and always he is the quietest performer of the day. '
Each time I see Kirkwood I have the feeling that, if he
followed his wish, he would be home with the kiddies out of
the turmoil. Fifty years ago, the sort of person he is would
have been a pillar of the kirk, saving money for the educa-
tion of the bairns, a quiet home-body. He has been forced
into his rebellion by the injustice to workers. He made his
stand. Being stubborn, he couldn't back down once they
started harrying him. They seized him, deported him, and
created a labor leader.
In the view of the political constitutionalist, Philip Snow-
den, the votes registered :
Less an approval of the use of industrial action to attain po-
litical objects than an intense disapproval of the foreign policy
of the Allies. The abstract question of using the industrial
weapon for political purposes was not really under discussion. If
that had been the issue the vote probably would not have been
so decisive. The proposal is to take such means as are at the
disposal of labor to achieve the one definite object of stopping
Allied intervention in the internal affairs of Russia and Hungary.
By direct action the British workers mean first of all a
consultation by every trade union of its rank and file. This
106 THE YEAR
is a process requiring many weeks. They mean consultations
between the committees of the Labor Party and the Trades
Union Congress. They mean a thrashing out of the matter
on the floor of the congress at Glasgow on September 8th.
They mean a house-cleaning in the Parliamentary Committee.
They mean Clause 8 of the summarized constitution of
the Triple Alliance, which reads: "Joint action can only be
taken when the question at issue has been before the members
of the three organizations and decided by such methods as
the constitution of each organization provides." They mean
after that a series of next steps — action in support of this
process of group judgment. In taking these steps, they mean,
to safeguard methodical development, freedom of speech and
of the press, the right of assembly, suffrage, a Government
responsible to Parliament, the traditional institutions. They
would regard it as a calamity if industrial pressure should
lead to the abandonment of the political labor movement.
They desire a fundamental structural change without the
shedding of blood or the loss of productive power. But they
mean that British troops shall not longer be used for the
numerous and growing wars of the continent. They mean
that the pledge to soldiers of return to civilian life shall be
fulfilled. They mean that the Government shall not disregard
the voice of the British people against special unconstitutional
wars as expressed in three recent by-elections.
If the war against Russia continues and grows, if trade
unionists are conscripted and retained for a political policy on
which the electorate was never consulted, then the threat
of direct action by the trade unions will so grow in volume
and menace (through the constitutional channels listed above)
that there will be sectional strikes; and in the end a general
election will be forced, and this political question (Russia
and conscription) will be solved by political methods. That
is direct action of the British brand.
The situation out of which sprang this sugar-coated, cotton-
wrapped bombshell is this: Labor in the key industries, or-
ganized approximately on the lines of industrial unions, have
YOUTH AT THE STIRRUP 107
reached for power in the chaos that followed war. The for-
ward movement of labor issues from these key industries.
The craft unions, and the conservative older trade unionists,
are troubled by this forward movement Some oppose it.
Some seek for a harmonizing principle inside the old scheme
of things. In the end sectional unionism is doomed, and there
will be ever-closer co-operation between the industrial unions.
The Triple Alliance is the focal point of industrial unionism,
as it spreads over increasing areas.
There will be many defections. Havelock Wilson has
announced his intention of withdrawing his sailors from the
Triple Alliance on its political activities. Ben Tillett, James
Sexton, and James Wignall are sure to oppose this pressure
of the Triple Alliance on the State, and they, with Wilson,
are redoubtable fighters, with the honorable scars of many
battles in defense of the working class. They have a power-
ful following.
Few women even rise to try to speak from the floor. It was
at the fag end of the opening day that the first woman's voice
was heard. My wife, who attended this conference, writes:
Like the weak voice of a drowning person pipes through the
confusion the appeal of a woman. She wails, phantomlike — " Mr.
Chairman," over and over. What chance is there for a woman
in a man's meeting? None. The man that yells hardest wins
out; therefore women will never have a chance.
Those that really know the labor movement, like Dr. Mar-
ion Phillips — the organizer of women — tell me that we are
wrong in this; that women are preferentially treated.
I must leave it as my impression of half a dozen labor con-
ferences that women as yet with difficulty gain a hearing. I
believe that there is a superiority, a subconscious scorn, on the
part of male British labor, just as there is in a large number
of the middle class. Finally on the last day, one woman
pleaded in despair:
" Is a woman allowed to speak ? "
It was still largely a conference of middle-aged men.
108 THE YEAR
Young Britain was heard only in the voices of the soldiers,
and Cramp, Hodges, and a few more. Honesty, sincerity,
dogged sure-footedness — these are the qualities. Insistent on
justice, they are; one voice carries above all the hubbub, car-
ries and is understood. A group who cannot be hustled, and
cannot be frightened, slow to anger, but dangerous when
roused as they well proved in Flanders. Informal, homely,
these men take their calling without undue seriousness. Many
were smoking their pipes — there was pipe-lighting all over the
room, one, two, three, matches flaring, and then the glow
and smoke-cloud in the dusky background. It was an effect
like the lighting of miniature camp fires, one catching from
another till sometimes it swept across the room. All sorts
of accents filled the air — Scotch, Welsh, Irish, and the fifty-
seven provincial dialects. Dozens of little splits broke loose
among the men. Then the steam roller flattened them into
harmony. " For God's sake, unite," became the anxious cry
as the hours waned.
Henderson is a constitutionalist, moderate, seeking har-
mony and unity. His tactics were obvious. He hoped by
playing up mine nationalization to divert the ardor of the
miners from Russia, and so avoid the question of direct action.
But the Triple Alliance is ready to take on other fights than
its own, and tactics do not avail in the path of a batter-
ing ram.
But a momentary difference on method is not unknown
to British labor. I have given a wrong impression if any
reader thinks that the leaders of the center and right will not
line up with Smillie as he forces into law the findings of the
Coal Commission. Ben Tillett and Sexton, McGurk and
Brace, Clynes and Henderson, will be there. On July 2,
Brace informed the House of Commons :
The exigencies of the war have made the nationalization
of railways, mines, and all the key industries of the land inevitable.
Of the conference as a whole, Henderson has written, " In
YOUTH AT THE STIRRUP 109
several respects it is the most important gathering in the
history of the politically organized movement." Of those who
composed it and those others in the movement, the Minister
of Labor, Sir Robert Hprne, said on June 23 :
The country owes the position of victory which it has accom-
plished to the efforts of the trade unions of Britain. The most
steadying influence throughout the war and that upon which the
government was able most persistently and confidently to rely
was the help which it obtained from the great trade unions of
this country.
It is of high political importance that we in America learn
to know these men of labor. For Curzon and Carson, Milner
and Churchill are fast becoming spectral, but Clynes and
Thomas, Gosling and Hodges, will one day be among the
governors of Britain.
SIGNOR D'ARRAGONA'S MESSAGE
Secretary of the Italian Federation of Labor, belonging to the
right of the movement. As such his speech was the
most disturbing of the day. A responsible-looking
elderly man of fine, Roman features, of high
dignity, tall and spare:
The Italian organization of labor is one of recent formation,
barely a quarter of a century old — the product of Socialistic
propaganda. As the result of the war, Italy is almost on the verge
of bankruptcy. She is in a revolutionary state of mind. To the
masses, only one solution seems possible — the social revolution.
There is no coal, iron, raw materials. Temperament and economic
conditions both are at work. The Italian Federation of Labor
has demanded a constituent assembly and the socialization of land.
They hear that the English miners are obtaining nationalization
of mines. Before the war the federation numbered 300,000, and
now 800,000. Before the war, the Italian Socialist Party num-
bered 50,000, and now 100,000. The Socialists have 42 Deputies,
and control 300 communes, including Milan and Boulogne.
110 THE YEAR
The situation is so grave that I anticipate in a short time an
attempted revolution — a revolution with bloodshed. The results
may not be large, but a rising is almost inevitable. I belong to the
right, but I see no other way out.
HJALMAR BRANTING'S MESSAGE
One of the useful men of Europe, a Socialist of the old stock,
anti-Prussian, anti-Bolshevik, pro- Ally. He is of heavy
bulk, and looks like a responsible statesmanlike
•walrus, with a walrus's mustaches.
The fall of the Hohenzollerns has been the cause of a demo-
cratic gain in Sweden. I anticipate that both houses of our legis-
lature will be social -democratic for the majority of members after
the next general election. They will then probably enact an eight-
hour bill, and obtain a further reduction of military service. The
party has been enormously struck by the report of the British
Coal Commission, and the step forward it represents. This report
will have an incalculable influence over the world wherever the
workers struggle against capitalism.
Our Swedish Socialist Party is not going to desert the old lines
of Socialist effort for the new formulae offered to-day [the Bol-
shevik theory of dictatorship].
PIERRE RENAUDEL'S MESSAGE
Ftench Socialist of the moderate right. With vivacity and
mental lightness, an inner gleam, he speaks at ever-
increasing tempo, till it becomes the roll of
a mitrailleuse, piercing, shattering,
inciting to action.
Jaures predicted that war would be followed by revolution. The
revolution is taking different forms in the nations according to the
nature of their government. In the autocracies it takes the most
violent form. In France, of an older democracy, socialism, pro-
gressing, will lead to revolution in forms less violent.
The peace treaty and League of Nations do not fulfil the ob-
jects and intentions of the working-class. Colonial territories have
been annexed without giving Germany a share.
YOUTH AT THE STIRRUP 111
M. VAN ROOSBROECK'S MESSAGE
Of the Belgian Labor Party.
Here chimneys smoke. There they are dead. Trade union
membership has increased from 120,000 to 429,000. In politics the
situation is not so favorable. We are on the eve of our greatest
electoral battle for universal equal suffrage. Hundreds of thou-
sands are out of work for lack of machinery and raw materials.
M. JOUHAUX'S MESSAGE
Secretary of the French Confederation Generate du Travail
[the C. G. T. — the federation of trade-unions]. A solid
individual with a ruddy face set off by close
cropped chin whiskers, a long black
mustache, black hair.
The world stands before the bankruptcy of the middle-class.
The principles of labor must now be realized to save the nations
from bankruptcy. There must be such a manifestation of the
power of the proletariat that all will know they have left behind
the period of servitude. The C. G. T. has made its own protest
against the peace treaty, and insisted on a peace, free from any
annexations however disguised with phrases.
CHAPTER V
THE CONGRESS AT GLASGOW
THE British Trades Union Congress at Glasgow in September
reaffirmed the stand taken by the Labor Party at Southport in
June. It declared overwhelmingly for nationalization of the
mines and for compelling the Government to enact the Sankey
report, which called for nationalization. The congress re-
fused to vote against direct action and voted itself ready to
call a special congress if the Government refuses to national-
ize mines, to abolish conscription, and to withdraw the troops
from Russia — to call it for the purpose of deciding what ac-
tion should be taken to enforce its will upon the Government.
The men who forged and welded conference opinion on
these lines of nationalization, direct action, Russia, and con-
scription were Smillie, Hodges, and Clynes, along with Hen-
derson as fraternal delegate from the Labor Party.
The decisions of the congress are the result of the Smillie-
Hodges policy (as definite as the Henderson policy). They
are new for the industrial arm of the British labor movement.
A struggle is near between labor and the Government. As I
brought out in my interpretation of Southport, direct action
does not mean a general strike. It means the threat of indus-
trial pressure in order to achieve aims (nationalization, Rus-
sia, conscription) through the constitutional means of govern-
ment and Parliament, forcing, if necessary, a general election.
Thus history is in the making at this moment in England,
history as significant as the Russian Revolution. Labor is at-
tacking the basis of the old British order. That is an im-
portant fact. The convention was the little funnel through
which slowly gathered forces of the past flowed through into
the future. The labor movement has no more unified pro-
gram or central government than the Allies in 1914, but it
112
THE CONGRESS AT GLASGOW 113
forms a line-up, and the events of the next five years are al-
ready determined and made inevitable by the Coal Commis-
sion, Southport, and Glasgow, by the Triple Alliance and by
Smillie. For, the policies adopted by the Glasgow Congress
mean that the industrial union of miners is the strongest single
element in Britain and that it has a masterful technique. But
there follows a typical British touch. Lest any one should
grow unduly excited, the congress in one of its last acts drove
the miners off the Parliamentary Committee, and made of
this committee for the coming year as safe and respectable a
body as in its days of stodginess.
An advanced policy and a slow-stepping executive. The
British worker still reserves his right of dissent and protest.
He wishes his revolution to come as organic change, gradually,
with footnotes and reservations. As yet he has no intention
of going out on general strike for a political end. He wishes
to use the threat of his industrial power as the method of
forcing government to go to the country. No large body of
British labor as yet considers striking on a political issue with-
out first testing public opinion by a constitutional election. It
is perplexing to an outsider but traditional and logical to the
British. Force the pace but don't run off the highway. The
motivation is the desire for unity. Labor does not mean to
split to either the left or the right, but to move only so fast
as will hold in unity over five million workers.
Eight hundred and forty-eight delegates were in attendance
in St. Andrews Hall on September 8, and to the best of their
ability they represented 5,265,426 working men and women.
In general it has been true that there is nothing slower, surer,
and drearier than a trades-union congress. It has always
moved like a tortoise — but it scrapes along in its hard-shell
way to the goal. It would be futile to run down the list
of pious, unanimous resolutions presented in the agenda, res-
olutions on pensions for mothers, old-age pensions, free trade,
control of industry, Parliamentary procedure, care of the
blind, amalgamation. For a generation some of them have
been duly moved and dully seconded. It is a demonstra-
THE YEAR
THE CONGRESS
Trade Group Delegates Membership
Building Trades 35 265,092
Clothing Trades 38 235,886
Cotton Operatives 34 100,106
Dock Laborers and Seamen 69 308,660
Engineering and Shipbuilding 42 575.253
General Laborers 97 M33.548
Metal Workers 101 39O,oo6
Miners 172 683,900
Printing and Paper Trades 32 I37,57<>
Railwaymen 22 545,531
Weavers 93 362,584
Miscellaneous Trades 113 526,390
848 5,265,426
tion of the soundness, the sanity of British labor. The
Government can be handed over to them to-morrow, to-night.
No seismic tremor will follow their advent. They will in-
herit the power with all the sobriety of the elder tory
rulers. They partake a little of the nature of peasant pro-
prietors. They do not wish to spill the beans. Nothing
rash, they seem to say; we have a living wage; hours
are no longer killing — let us build our tabernacle in this
place.
In truth the young men are not here. The next generation
is ten years away, and the returned soldiers remain to be heard
from.
Poverty and unemployment and cold will begin to strike
in with the next three years. Events may disarrange even a
level-headed program. Moreover, British labor has no cen-
tral government. The congress has no direct executive power.
Its Parliamentary Commitee of sixteen members, chosen from
as many trades, is not a central executive. Originally it was
chosen to serve very much as later the Labor Party functioned.
Congress is a statement of the mass opinion of powerful,
elderly delegates, and its Parliamentary Committee is the
resultant of the ambitions of many separate trades.
THE CONGRESS AT GLASGOW 115
The New Statesman on August 30 said :
The total trade union membership in the United Kingdom now
reaches probably n or 12 per cent of the census population and,
taking males only, well over 50 per cent1 of the whole of the adult
male, manual-working wage-earners of the nation. The accumu-
lated funds of the British trade unions can not nowadays fall far
short of ten millions sterling. Until the Trades Union Congress
takes its executive duties a little more seriously and provides, as
its steadily growing funds easily enable it to do, for a much
stronger secretariat, the trade union movement and every separate
union will continue to suffer the consequences of the disorganiza-
tion to which they are subject. Trade unionism in this country
as an industrial force is suffering seriously from lack of leader-
ship. It is the Parliamentary Committee of the Trades Union
Congress that so far as industrial policy is concerned supply that
leadership.
Furthermore, while the labor group in Parliament has been
numerically stronger since the December elections than ever
before, it has been lamentably v/eak in leadership, ideas, and
the fighting edge of opposition. (The British believe in the
opposition as an essential element in government.) The ab-
sence of four men in particular left labor in the House of
Commons as a feeble voice. W. C. Anderson, that much-
loved, sweet-tempered, fearless leader of the left, died. Philip
Snowden and Ramsay MacDonald were defeated because of
their orthodox Socialist stand on the issue of the War. Hen-
derson was defeated in December in a constituency where he
was not personally known, which he had little time to visit,
and where accordingly misrepresentation could be used in a
khaki election. But the mills ground fast for him, and the
net result of the last nine months is that his position in
Parliament, in political labor, and in trade unionism is stronger
than at any previous moment in his life. He radiates power
and victory. He is at the beginning of his larger career.
Although on the fourth day the results of Widnes were not
1 It is in April, 1920, 60 per cent.
116 THE YEAR
known, Henderson came before the congress as fraternal
delegate in the unmistakable mood of triumph. Of opposition
there was none. He is at the center and heart of British
labor, the very loud voice of their common sense.
A little of the fervor of labor's welcome to him was due
to the talk of the American delegate, J. J. Hynes, who pro-
tested against the visit of British labor leaders to preach
political labor and reiterated the opposition of American
labor to political action. This fell strangely on British ears
at a crisis when swift and large political expression is the
only lightning rod that will save the constitutional structure
from being scorched. The delegates heard him courteously
but greeted Henderson with great enthusiasm. Henderson
will not be unseated by the A. F. of L. On the fifth day,
his victory at Widnes was announced to the clamant joy of
the congress. Henderson won, first, on his war record, which
converted a tory stronghold into a labor constituency. Since
Widnes was established thirty years ago as a constituency, it
has sent an unbroken representation of tory-conservative-
unionist representation. Henderson turned the large Decem-
ber coalition majority into a labor majority of nearly one
thousand. He won also because of his campaign on opposi-
tion to the Government, particularly on Russian policy. The
day is over when lies about pro-Germanism are anything but
boomerangs, and when a British army can be retained in
Russia.
As a fraternal delegate Henderson said :
It is time we cease to think and talk in terms of propaganda, and
begin to think and talk in terms of constructive responsibility.
There are three things I want to ask you to do. First, to make
up the leeway between the trades represented at the congress and
the numbers represented in the Labor Party. If we can get the
two and a half millions added to the three millions it would tell
at the next general election. The next thing is greater co-opera-
tion between the congress, through its Parliamentary Committee,
and the Labor Party through its executive, so that we can go to
Geneva next February and bring together the most powerful inter-
THE CONGRESS AT GLASGOW 117
national that has ever been created. Representation of the pro-
ducers through the Parliamentary Committee, representation of
the consumers through the Co-operative International, and repre-
sentation of the citizens through the Labor Party — then we shall
have a force standing for world peace such as we have never
had before.
Finally, I ask you to use all your influence, through both the
industrial and political wings of the movement, to terminate the
life of the present government as speedily as you possibly can. I
make that demand because the government are doing things with-
out the mandate of the people, particularly with regard to Ireland
and Russia. We ought to terminate the government's existence
and have an appeal to the country on conditions much more nor-
mal than the deceptive conditions that prevailed last December.
The first outstanding action of the conference was what
amounted to a vote of censure (carried by a majority of
710,000) of the Parliamentary Committee for refusing to call
a special congress to decide what action, if any, should be
taken because of conscription, Russian intervention, the block-
ade, and conscientious objectors. In moving the reference
back of the Parliamentary Committee's report Robert Smillie
said:
Personally I feel that the Parliamentary Committee does not
have the confidence of the trade union movement. Take the ques-
tion of our blockade. Under it hundreds of thousands of old men,
women, and children were being starved to death. Whoever were
to blame for the terrible war, the young and the aged could not
be blamed. These were done to death by our blockade. I always
have it in my mind that the time would come again when we
shall have to meet the fathers and brothers of those people in the
international movement; and that if the voice of British labor
was silent on the question, we could hardly raise our eyes and look
into the faces of those men and shake them by the hand.
The question of Russia was surely of sufficient importance. It
might be said that that was a political question with which trade
unionists ought not to deal. There is no greater labor question
in the world than intervention in Russia. If the capitalists and
capitalist governments — our own amongst them — manage to crush
118 THE YEAR
out the Socialist movement in Russia led by Lenine — which God
forbid — and begin to develop with cheap labor, as they intend to
do, the enormous natural resources of Russia, they will be able
to flood our markets with cheap commodities, without having re-
gard to the suffering that might be caused here.
Although it was passed with little discussion, one of the
most important resolutions of the week was that of the Ware-
house and General Workers' Union for the setting up of an
industrial parliament of labor. The Parliamentary Commit-
tee was instructed to prepare a scheme " whereby the trade-
union movement in the future will, on all questions of national
and international importance, adopt a common policy and
speak with a united voice." The grounds urged in support
were the need for industrial adjustments on a national basis ;
the co-ordination of labor claims made through existing in-
dustrial councils; the prevention of overlapping and under-
cutting of demands and " the desirability of reviewing the
decisions of industrial councils, such as those that may aim
at the ultimate establishment of compulsory arbitration and
the riveting upon the nation of a wide system of protective
tariffs."
The second victory for the miners came in the passage by
an immense majority of a resolution reciting that the Gov-
ernment had rejected the Sankey coal report and adopted in
its place a " scheme of district trustification of the industry,"
and pledging the congress to " co-operate with the Miners'
Federation to the fullest extent with a view of compelling
the Government to adopt the scheme of national ownership
and commission " and, in the event of the Government's re-
fusal, to convene a " special congress for the purpose of de-
ciding the form of action to be taken."
In urging the nationalization of the mines, and action by
the congress to " compel " the Government, Smillie said :
It cannot be said that the trade union movement has acted rashly
on this question. Since 1882 the congress has passed forty-two
resolutions dealing with the general principle of nationalization —
THE CONGRESS AT GLASGOW 119
sometimes a general collectivist resolution calling for nationaliza-
tion, sometimes a land nationalization resolution, and occasionally
a mines nationalization resolution. It is over twenty years since
the congress affirmed the principle that the minerals lying under
the surface of the soil, which was not created by man, ought to be
the wealth of the state and not of individuals.
I want our fellow-workers to believe that we are endeavoring
to be straight and honest with them. We do not desire the na-
tionalization of the mining industry for ourselves alone. There is
nothing of the syndicalist idea in our claim at the present time.
The time may come when the industries of the country, mining
and other, may advance a step farther than we are asking at
present. But it is not in our interest alone that we are asking
for nationalization.
The miners were entitled to expect that if the commission
recommended nationalization the government would carry out its
findings. The miners were twice dissuaded by Frank Hodges and
myself from acting on their ballot vote and declaring a strike.
They believed that the government would carry out what they
thought was its pledge. The government and the press thought
that when the prime minister made a statement the matter was
ended.
This question can only end with the nationalization of the
mines. I have no desire to have a strike in any industry. I hoped
that common sense would secure justice for them, but while I
hold that view I also realize that a time may arrive when it
would be criminal for a labor leader to advise anything else than
a strike. I have advised strikes when men were being brutally
treated by brutal employers. I would do the same again. The
miners knew that a long stop of their industry would bring poverty
and suffering to thousands of homes outside the mining industry.
In view of that they felt it was their duty to carry with them,
if they could, the whole trade union movement. If they have
established the justice and the necessity for the nationalization
of the mines, they ask trade unionists not to leave the fight for
it on the shoulders of the miners alone. I have no doubt that,
if the miners were of the mind to do it, they could within a month
stop every mine in the country until the mines were nationalized.
That would lead to the stoppage of the railways and all industries
dependent on coal. They do not want that. They believe that
120 THE YEAR
the thing ought to be done constitutionally, as it was called by the
government.
J. H. Thomas followed, and put his 450,000 railwaymen
behind the miners:
I recognize the importance of output and the seriousness of the
situation, but the country is not going to get output, and has no
right to ask for output, if there are people whose contribution to
output is nil, and who receive the maximum benefit from the out-
put of other people. I congratulate the miners on the great
service they have rendered to the trade union movement by the
conduct of their case before the commission. They have shown
themselves statesmen in coming to the congress, because had they
attempted to take action " on their own," I should have been the
first to condemn them. I believe that state ownership of mines
is interwoven with the prosperity of the country, and because I
believe that the country is greater than a section, greater than
this movement, I second the resolution wholeheartedly.
The solitary delegate who opposed was Havelock Wilson,
head of the Sailors' and Firemen's Union of 65,000 members.
He is pathetically ill with a trembling paralysis. After rising
to speak he had to sit down, and from his chair he continued
his minority talk with humor and lucid statement. He has
an admirably clear and resonant voice, with perfect enuncia-
tion, a rhythm of tone and language, and all done naturally
and without apparent effort at oratory. But in reality he is
an artist, a master of the spoken word. It was not from any
lack of respect for his great gifts, his former record as a
labor leader, his vigor, his courage, that the congress defeated
him in his candidacy for the new Parliamentary Committee
and cheered loudly when his downfall was announced. The
defeat and the demonstration were administered because his
opinions are hostile to the views of 90 per cent of the workers,
because of his attempts to split labor, because of his associa-
tion with wealthy men, because of his use of the anti-labor
press (such as the Morning Post), because of his employment
THE CONGRESS AT GLASGOW 121
of direct action against the workers in refusing to carry labor
delegates to international gatherings. The enemies of British
labor have found in Wilson one of their staunchest, boldest
champions. To labor he seems a lost leader, with something
of the pathos and shame of Noah. I found myself saddened
in this passing of the stricken, gallant, old man. I regretted
that any one rejoiced. No one seeing him will forget that
quivering, forespent figure. No one who heard him will ever
forget the rise and fall of his voice, those unstrained intona-
tions that went winged to the furthest gallery.
" The State are not the proper people to manage industry,"
he said. " Can you point to one single thing that it has made
a success of?"
" The War," boomed a man, and the congress roared its
delight.
Tom Shaw put the mighty and conservative forces of cot-
ton behind the miners, and William Brace, the miners' M.P.
of the right, followed him. Smillie then summed up :
Mr. Thomas said, and Mr. Brace agreed with him, that the
government's reply is likely to be No. Their reply depends upon
the determination of this congress. If we approach the govern-
ment in that spirit, telling them that we believe they are not
going to move, they will not move. That is not the way to move
governments. Over 5,000,000 members are represented at this
congress. People say that those 5,000,000 have no right to dictate
terms to the nation, but what do the 5,000,000 represent? They
represent a large part of the nation, and I want the congress
to pass this resolution with the determination that the govern-
ment must act and the government will act.
A card vote was demanded, and resulted as follows:
For nationalization 4,478,000
Against 77,000
Of that 77,000, Havelock Wilson's union includes 65,000.
The debate shifted to another footing when Tom Shaw,
of the textile workers, moved for a declaration against " in-
dustrial action in purely political matters." He said:
122 THE YEAR
Every one in this country knows that so far as the trade
union movement is concerned there are two outstanding figures
in the advocacy of industrial action — Robert Smillie and Robert
Williams. Their idea of industrial action is to create a revolution
in this country, and their idea of government is the soviet system
of Russia. We were told only yesterday that Lenine was the
great teacher of the age. I say that Russia is not free — her peo-
ple have no chance of determining their own destiny. I say she
is not socialistic. If socialism means anything, it means the
nationalization of the means of production, distribution, and ex-
change, and their administration by the whole nation for the
good of the whole nation. That condition of affairs does not
obtain, and never has obtained, under the Lenine regime in Russia.
To call it a republic is a misuse of terms. I cannot understand
the mentality of any man or woman in this congress who pro-
claims that state of society a republic in which the people are
denied the right to decide their own destiny and are governed
literally at the end of a rifle.
Arthur Hayday, M.P., of the general workers, seconded
Shaw's resolution. James H. Thomas, head of the railway-
men, rose to oppose the resolution, but he did it so skilfully
that half of the newspapers next morning said he had favored
it. It is not the least of Mr. Thomas' faculties — this of walk-
ing the tight-rope between respectability and revolution. He
desires to hold public opinion and also his " radical " rank
and file, who are increasingly moved by Cramp, Hodges,
Smillie, guild ideas, the London Labor College, and other in-
fluences of the left. The vigor of his personality and the
volume of his voice disguise the delicate balancing which he
has done for a year. Actually he saw and said that labor could
not give up its strike weapon, but that the weapon was a
dangerous double-blade for the wielder as well as the
victim.
Frank Hodges, secretary of the Miners' Federation, fol-
lowed, and held the tense interest of the delegates as he had
done at Southport. Later in the sessions Clynes was to hold
it by the same power of reasoned statement— from the oppo-
site angle. They are separated by a generation in years, and
THE CONGRESS AT GLASGOW 123
their addresses put the case for and against direct action for
political ends more tellingly perhaps than ever before in the
industrial debates that are stirring all England.
Mr. Hodges has within the year become the voice of the
young radicals of the movement. His influence is already on
a level with that of Clynes and Thomas of the center, and of
Sexton and Shaw of the right. He revolted from Ruskin Col-
lege, and is a graduate of the famous Labor College (the in-
stitution of Noah Ablett and W. Craik, where modern Marx-
ism is taught and propaganda frankly exploited as an element
in workers' education). Only a little past thirty years of
age, Hodges has learned one secret of influence — the secret
that Clynes once gave away in private conversation. Said
Clynes :
" From my study of Mr. Balfour I learned the lesson that bigoted
raillery can never prevail against the carefully cultured self-
restraint of a truly forceful personality." Then Clynes watched
the contrast between Mr. Asquith and a playful literary Parlia-
mentarian.1 " Never once had I heard Mr. Asquith risk a wit-
ticism for the sake of pleasing either the House or himself. Not
once has he allowed himself to forget that the safest weapon of
leadership in so polyglot a House is dignity, and that the constant
exercise of this weapon covers a multitude of sins. The longer a
man of intellect sits in the House of Commons, the more certain
does he become, that more politicians are undone by their jests
than by their somber opinions."
Mr. Clynes has put his finger here on one of the sources
of his own power over multitudes of men, and that of Hodges,
Henderson, Thomas, Cramp, and Gosling. The power lies in
high seriousness of tone, moderation in statement, absence
of "personalities," cheap, clever phrases, mob oratory. And
failure in this has led to a diminished influence in men of
such commanding ability as Ben Tillett, with his fierce, un-
trammeled invective, and Robert Williams, with his fagade
of bright, scarlet phrases.
1 Augustine Birrell.
124 THE YEAR
Mr. Hodges said:
The present discussion reminds me of a debate which you can
hear every week in the average debating society. It is academic:
it disposes of nothing. It simply asks this Congress to come to
conclusions on an abstract question, when presently you will have
an opportunity of coming to conclusions on concrete questions
which raise this principle. But as the matter has not been dis-
cussed, and we have had a revelation of the mind of Mr. Shaw,
it is just as well that the discussion should proceed. Mr. Shaw
has revealed what I had suspected was in the minds of many peo-
ple who oppose those whom they describe as direct actionists. He
said, to my surprise, that the desire of the direct action movement
is to establish the Soviet system of government in this country.
There is nothing more remote from the truth. / do not believe
that with the characteristics of the British race, and with our tra-
ditions and institutions, a Soviet system of Government would ever
become adaptable to our country. But that does not influence me
in analyzing to what extent the labor movement exercises its func-
tions in our own country, and whether it exercises them effectively,
politically, or industrially.
What is the classic argument against direct action? It is the
election of November last — the new Parliamentary register, which
gives twenty million people the vote. Because twenty million
people have the vote, and had the opportunity to exercise it last
November and failed to rise to the occasion, the opponents of
direct action say, " Until you have another election, you must not
use industrial pressure upon the instrument you yourselves created
last year." That is the classic argument. Let us analyze it. That
Parliament was brought into being largely, and admittedly, by the
vote of the working class, but a working class that had been
buried in ignorance, caused by a system which had oppressed their
mentality for generations. They had not developed a political con-
sciousness sufficiently to see the value of returning three hundred
or four hundred labor men to the House of Commons. Besides,
they had no history of achievement to teach them the contrary
on the part of the Labor Party of older days. The greatest
source of education to a political democracy is the achievement
of some power or party which alleges to represent them. If one
wished to be vitriolic, one would say to the Labor Party:
THE CONGRESS AT GLASGOW 125
"Where are the goods that you are supposed to have de-
livered?"
Having elected that Government to power, having been taught
to believe, in their half-awakened political consciousness, that the
Coalition would do for them things that the Labor Party said
they would do if they were returned to power, this same elec-
torate, after having had months of experience of the work of the
Government they created, in my judgment have arrived at a stage
of political thought and experience which gives them this new
conclusion that "if we had another opportunity, we would not re-
turn a Coalition Government to power." But the electorate are
denied the opportunity. A by-election here and there will not
materially influence a party which has gained power by a misrep-
resentation of its own principles. It will not give up authority
because of a few internal political dissensions. Its majority sub-
stantially is what it was in November of last year, and it con-
tinues to act as though it represented the wishes and desires of
the electors. I challenge that conception. And it is because no
political constitutional channel is opened up for the people that
men have to resort to the philosophy and concept of direct action.
The Labor Party has done all it is humanly possible to do.
I am astonished that, in view of the impotence of the Labor
Party, caused by circumstances over which it has no control, it
does not more frequently come to the industrial movement and
say, " We are overweighted and crushed by a great political
despotism. Come to our assistance in order that we may have
power at our elbow to shatter the institution and re-mold one on
better lines."
Mr. Thomas can find no definition which clearly discriminates
between a political question and an industrial question. Is a purely
political matter one which seems so remote from industrial mat-
ters as neither to influence them nor be influenced by them? Let
us take an example. Suppose this Government comes to Parlia-
ment and says, " We have decided to embark on a new war."
That would be a political question, but it would have industrial
and social effects, and if such a Parliament did such a thing would
it not be morally and socially right for the Labor movement to
test its capacity for resistance to the project? It might go down.
Its capacity for resistance or attack might not be so great
as some of us fondly hope it would be, but to challenge this
126 THE YEAR
right to make the attack is to misunderstand the function of a
Labor movement, whether it be political or industrial. The con-
tinuance of the Defense of the Realm Act, and the continuance
of conscription, are purely political questions, but who will deny
that they affect us in our industrial lives and in proportion as they
affect us industrially they become industrial questions? // at any
time in the history of a political institution it prevents the expres-
sion of force and power which can be found in an institution out-
side it, that institution is responsible for the concept of direct
action, and not the Labor movement.
The greatest propagandist of direct action is Mr. Lloyd
George himself. He teaches us the elements of direct action,
and he must accept the consequences of perpetuating a political
institution which we believe to have outgrown its functions and
become anomalous. On the abstract question of the rights of the
workers to use direct industrial action for political purposes, I
hold that the workmen's rights are unchallenged and unchal-
lengeable. Members of the Labor Party — I would warn you —
because it is politicians for the most part who have urged their
philosophy against us — I would warn you that the time is not far
distant when you yourselves will have to come to the industrial
movement and say " we must have your assistance and support to
accomplish something which to us is fundamentally right in the
interests of humanity." I feel sure that you will come, because
circumstances will compel you to come. For these reasons I ask
the Congress not to be led into a decision in favor of this resolu-
tion because of its academic, abstract, and mischievous character.
If you want to express your views on direct action let it come on
conscription, on Russia, on military intervention in trade disputes.
If you decide that you will not take industrial action on these
questions, it will not be because you have accepted the philosophy
of continuous political action, it will obviously be because you have
come to the conclusion that conscription, military intervention in
Russia, and military intervention in trade disputes, are not big
enough questions to justify you in action.
I ask the Congress to turn down this resolution. When in
future a conference is called to give its decision on the question
of direct action versus political action, let it be upon a concrete
fact, and if that fact is big enough, if it is unsocial enough, if
it is sufficiently in antagonism to the best interests of the working
THE CONGRESS AT GLASGOW 127
class, I have no fear that the working classes will not say, "We
will use to the very fullest capacity the power that we feel we
possess to rid society of a tradition and an institution which
dwarfs and threatens and thwarts the working class wherever they
turn." The antagonism between political and direct action will
grow. It wiU reach its pinnacle when the industrial classes chal-
lenge the existence of the capitalist system. I warn you in
preparation for that day, which may be far distant or may be
near: Do not create a new tradition which will effectively prevent
you from acting at the great historical moment.
It is wise to report Mr. Hodges at length, because he is the
most promising and already the most powerful young man in
British labor. Unlike most of the older leaders, he has a policy
and a philosophy. It is as necessary to learn his mind as that
of Lord Robert Cecil and Sidney Webb, if we wish to under-
stand modern Britain.
After a brisk and brilliant debate, the previous question was
put — which means " passing the buck," an evasion of the
issue. The congress refused to decide against direct action.
If they had passed this resolution, it would have put them
in this position: if they went to the Prime Minister, and he
refused their request, they would then have been pledged not
to exert the only pressure immediately open to them.
James H. Thomas, in moving the resolution on Russia and
the military service acts, and, failing repeal and withdrawal,
the calling of a special congress to decide what action shall
be taken, said:
The unfortunate thing in discussing Russia is that those who
demand some clear statement of policy or who protest against
men being conscripted for one purpose and used for another, are
invariably met, not with a statement of the case, not with a
defense of policy, but the war-cry that they are sympathetic to
Bolshevist rule. I will only answer that by saying that, so far
as this congress and the labor movement are concerned, we refuse
to give the right to any government in any country to interfere,
to dictate, or attempt to mold that policy which must be the duty
of the people themselves.
128 THE YEAR
Smillie supported the resolution, saying:
It was put by Mr. Shaw that all our efforts in the direction of
direct action were for the purpose of endeavoring to bring about
a revolution. Personally I give that the lie direct. I am pre-
pared to accept that sort of thing from dukes and capitalists, and
capitalist newspapers, but it is too mean, too contemptible, for
one comrade to say of another. We have been charged also with
conspiracy and sedition. Any man who at all times keeps before
his eyes the sufferings of his class, and recognizes that capitalism
is the cause of that suffering, will always be charged with trying
to foment revolution.
I have for thirty years preached the necessity of an industrial
revolution in this country, and I will go on preaching that, so long
as my life continues. Life at the present time, and in the past,
has not been worth having, and it is our business to advocate an
industrial revolution. I do not desire to see an armed or a bloody
revolution. I am an evolutionary revolutionist.
Tom Shaw himself followed in support:
On the vital issue there is no difference of opinion. Not a man
in this congress believes in intervention in Russia. We should not
shed one drop of British blood on an internal Russian quarrel.
Conscription is bad in essence, and is not to be tolerated in peace.
I shall welcome the time when we come to grips with the question
whether or not the working people shall adopt direct action. Mr.
Smillie will find that I am as keenly with the majority as he can be.
Then it was that Clynes answered in a speech, so clear,
reasoned, and moving, that the congress responded in round
after round of applause. It was entitled to the same respect
and received it, as the statement of the new order by Smillie
and Hodges. No other man in the British labor movement
is comparable to these three in reaching the mind and heart
of a multitude with the memories and traditions, the hope
and aspirations of their group inheritance, projected in wide
survey and touched by personal suffering.
Mr. Clynes said:
THE CONGRESS AT GLASGOW 129
I do not mind a special Congress being called if an unsatis-
factory answer is received from the Government in regard to the
great questions referred to in the resolution. When the Congress
is called we shall have an opportunity to see what the desires of
the rank and file are. Meantime, I hope you will allow some
reference now to the other subjects referred to by Mr. Smillie.
It is possible for one to get into a habit of mind of believing
that he is the only just man in the movement; that when he
calls it is to be hoped that all other men will follow; that when
he leads the lead must be in the right and wisest way. Now it is
possible for that man to be mistaken and not know it.
I go as far as any one in the desire to see property nation-
alized which should be the property of the nation. The mines,
minerals, waterways, land, the whole of the great factors which
are the arteries of the national life, ought, in my judgment, to
be nationally owned and democratically and nationally controlled.
The question is not one of what ought to be done, it is a ques-
tion of how you are going to do it, and it is possible for men
to have quite honest differences of opinion on matters of policy
and questions of method.
The older I have got in this work the more I have seen the
futility of methods of violence. Mr. Smillie does not want, of
course, violent methods at all, but that is the first thing that direct
action will get for us. Bring out your millions of men, tell them
they are coming out for a day only, a trifle, a strike for twenty-
four hours, and perhaps it will run into forty-eight. Having got
two days you will want two days more. It is far easier to get
your men out than to get them back, and all the time your Gov-
ernment and the other remaining parts of the community, you
imagine, will be doing nothing. They will simply be waiting for
the moment of labor's victory. Surely all experience is against
any such lame and impotent conclusion as that. You cannot bring
millions of men out to begin a great struggle like this without
anticipating a condition of civil war.
Your Government would not be standing idly by. The stop-
page of the industrial and social life of the community would
require on the part of the Government some attempt to keep
things going, some attempt to get food and supply the immediate
needs of life. In the comparatively small disputes that we have
had in this and other countries we have seen how soon the tend-
130 THE YEAR
ency to violence has been- manifested, and how soon riot and
bloodshed have been the consequences of action of this
kind.
Direct action is blessed in the possession of an attractive name ;
it is blessed in nothing else. It means the breaking of workmen's
heads and the breaking of women's hearts. It would give to
every other section of the community the right, in the days of a
Labor Government, to imitate the bad example which Labor had
set. We fought, and have been fighting, for years as long as
the oldest man in this Congress remembers, for Labor to capture
the political machine. That part of the battle has been won, and
as soon as the working man has got the means to capture it we
tell him that the course is without hope; we allege literally that
he has no sense how to use the enormous voting power which
he possesses. You are taking a line which weakens the hand of
the Parliamentary Labor Party, you are confusing the mind of
our own class in the country, you are alienating the sympathy
of the great masses of well-meaning men and women of other
classes than our own, without whose sympathy and support you
cannot hope to capture the political machine, and become the Gov-
ernment in place of the Government you have now in existence.
Imagine the Labor Government in power. It is certain that
it will not long have been in office before a few millions of people
will allege against it that it is exhausting its powers, it has no
mandate for this and no authority for that. Do you mean that
in those days those who disagree with the action of your Labor
Government will have a right to resist your laws, to trample
on your decisions, and to resist by unconstitutional action the
administrative and legislative acts of the Labor Parliament? Are
you going to concede, in the days of Labor's power, to every
other class which is put under your authority the right to resist
your laws as you say you have the right now to resist them, by
the use of the strike weapon? You will, I say, set to all other
classes the bad example that you ought to be the first to avoid.
Having got your political power your next step is political agita-
tion. Do not delude yourselves with the conviction that your class
is united. If they are not united enough to go willingly and intel-
ligently to the ballot box you deceive yourselves by thinking that
you can drag them out of the workshop against their will, or
that, having got them out, they will fight as an intelligent and
THE CONGRESS AT GLASGOW 131
united body until victory is won. That is the mistake which the
direct actionists are making.
Taunt me if you will with being more or less of a fogey, if I
say that I believe enduring and sure progress must be slow prog-
ress. I deliberately assert that that is the doctrine of all history.
Do men think so highly of themselves as to believe that in this
their time they somehow have been ordained completely to turn
the world round, and change the condition of things, so that when
they have finished nothing more remains for mankind to do? This
is an old country. It is only within the last half century that
the working classes have got any power. They have not yet got
the consciousness of it, but the power they have got — this right
to vote, the hallmark of real liberty, the stamp of the free man,
which makes the poor equal to the rich — nay, which would make
him superior to the rich if he would unite and use his right, the
right of education, the right to unite and collectively apply the
great constitutional power he acquired. All these things are new.
We have not yet learned how to use them wisely.
I am well content, looking along the centuries, to see that my
class in the day in which I happen to live have acquired this
enormous power. I am content if I can do a little to teach them
how wisely to use the power. Looking ahead I can see Labor
in the seats of power, and I want Labor's laws to be respected
and observed, just as I ask Labor to observe and respect them
now. I agree with all you can say against the Government, for
I have said it to their face, in regard to conscription and Russia,
and each one of our other grievances. But what a state of social
turmoil must there eternally be if each aggrieved class in the
country is to claim this right to revolt.
To get conferences specially arranged in order that we. might
deliver speeches to each other is a waste of trade union money
and our own energies. Are we, each time a man's head is full
of fine language he would like to hurl at some Minister, to get
together a special platform for him? Does it mean that our
friend Mr. Robert Williams must have a special public oppor-
tunity of selecting the particular adjectives with which he will
choose to call Mr. Churchill a liar? We have more important
business than this to do. Our business is not so much that of
converting our enemies, as of converting our friends, and we will
not convert our friends by threats. Labor is only beginning to
132 THE YEAR
learn how to govern. We are just on the threshold of the wise
use of the enormous authority we have acquired, and while you
are asked to use your pressure to get your Government to con-
form to your wishes on conscription and Russia, I beg you not
to go further and challenge the existence of the State, and claim
the right to a class dictatorship. Workmen who say they cannot
be driven but can be led must also concede to other Britons of
other classes the same feeling. You must lead them, persuade
them, guide them, convert them, and when you have done that
they will join you in seeking to change the conditions which op-
press them equally with yourselves.
This is the most comprehensive and exalted expression in
the past year of the philosophy of a labor leader of the older
generation. There is perhaps no greater debater in the labor
movement.
The resolution was carried with only two voices raised in
protest.
" The most important trades-union congress in the history
of the British labor movement " came to an end with a debate
on the question of Ireland. The question was raised on the
following special resolution, moved by J. H. Thomas:
This congress views with alarm the grave situation in Ireland,
where every demand of the people for freedom is met by military
rule. The congress once again reaffirms its belief that the only
solution is self-determination, and calls upon the government to
substitute military rule by self-determination as the real means
whereby the Irish people can work out their own emancipation.
This congress expresses its profound sympathy with our Irish
brethren in their hour of repression.
With the new Parliamentary Committee inclining toward
the earlier conception of the function of a trade-union move-
ment, the fighting policy (labor is nothing if it is not militant)
clearly depends for its dynamic and its direction on the chair-
man. J. H. Thomas was elected chairman of the Parliamen-
tary Committee and therefore chairman of next year's con-
gress, and of any special congress. His summing up of the
THE CONGRESS AT GLASGOW 133
congress is of importance because it reveals what he considers
the mandate given to him, and shows in what direction he will
exercise his leadership. He says:
The congress felt that after the appointment of a royal commis-
sion to consider and report on this matter (the mines) the gov-
ernment were morally bound to accept the findings of the
commission. There can be no doubt that the workers are behind
the miners in the demand for nationalization, not, let it be ob-
served, because of any benefits to accrue to the miners as miners,
but on the much broader and sounder ground of a proposition of
interest and benefit to the state as a whole. The principle was
clearly put that no section of the state is greater than the state
as a whole, and it is in that spirit that the proposal was carried.
Considerable confusion exists with regard to the vote on direct
action. There was no vote for one simple reason, that the word-
ing of the resolution submitted could have been construed as
giving away the right to strike under any circumstances.
On conscription there is only one thing to say — we succeeded
in crushing German militarism and we were told that among the
other advantages would be a reduction on military expenditure.
This year's budget gives the answer, and the fact that the number
of men — volunteers — in the army to-day is greater than the pre-
war standard is sufficient comment on the situation.
In short, the labor movement, through its congress at Glasgow,
is not only alive to where we are drifting, but intends to play
its part to save the country from ruin.
Inside the Parliamentary Committee, in these years of crisis,
Thomas has unflinchingly given his vote to the side of inter-
nationalism. This coming year, therefore, the Parliamentary
Committee can be counted on for five things :
1. To work in closer harmony with the executive of the labor
party.
2. To co-operate in the labor and Socialist international.
3. To stiffen up and strengthen the National Industrial Council.
4. To get a move on the Parliamentary Committee in general
business. Thomas is a hustler in execution when he receives a
mandate.
134 THE YEAR
5. To watch carefully the currents running through the rank
and file, and not seek merely to suppress them.
It is probable that we shall see either a general election or
special congresses within the next few months. Such a special
congress might well force a general election. The congress
will deal with a " burning issue," not with the abstract ques-
tion of direct action. It would prefer a general election to a
general strike. It is not ready to substitute the congress for
Parliament. But it showed at Glasgow that it is determined
to have a representative Parliament and a democratic Gov-
ernment.
Any one reading this report of congress would gather that
Smillie, with the organized power of the miners back of him,
was the chief figure of the congress. He was. He had so
carried the congress in his stride that the 847 other delegates
could do no less in their British self-respect than assert that
they, too, were among those present, and defeat the miners'
candidates for the Parliamentary Committee, and re-elect
most of the group they had just censured. It was either that
or make him the lone leader of all labor. This is something
they have never done for any man.
The Glasgow Herald (an anti-Smillie paper) said on Sep-
tember 12, " Events have conclusively shown that Mr. Smillie
is the dominating personality of the congress." The New
Statesman of September 13 said :
However wrong his methods may be, the indisputable fact re-
mains that Mr. Smillie has done more than all the parliamentary
labor leaders put together to make a continuance of Mr.
Churchill's Russian adventure impossible. Without him and his
direct actionist friends it is, to say the least, doubtful whether
the labor view on this vital question would have obtained any hear-
ing at all. There is surely something there to be remedied.
Alexander M. Thompson, the labor writer of the Daily
Mail, says of the vote for nationalization:
THE CONGRESS AT GLASGOW 135
That is the net result of one strong, determined man's grim
tenacity to one fixed and unalterable idea. The only possible end
to the fight on which he has entered, Mr. Smillie solemnly told the
congress, is the nationalization of the mines, and his impassioned
advocacy of that end carried the assembly like a rushing mountain
torrent. It was a speech of great eloquence, evidently intense feel-
ing and persuasive discretion. The result of the vote was never in
doubt, but Mr. Smillie's oratory made assurance doubly sure.
The difficulty of disposing of Mr. Smillie was that no leader
was more in control of his rank and file. Where other leaders
have split their following, he had the backing of his miners.
They have been resolute constitutionalists in their trade-union
and congress proceedings. To attack Smillie personally is im-
possible. His honesty in agreements has been testified to by
Lord Askwith in the House of Lords. His personal life is
the pride of Lanarkshire workers. He is attacked politically
by most of the press of Great Britain. The wearing effects
of such criticisms are cumulative.
All sections of the left had united on Smillie in making
him their spokesman. They were pushing him out upon every
strategic platform. He had dominated the Coal Commission,
the Southport labor conference, and the Glasgow congress. In
the quality of his utterances I feel that he is stretching him-
self beyond the power of his physique, that he is at the end
of his working life and knows it, that we are listening very
literally to the " last words " of one who will be a tradition
in Britain.
CHAPTER VI
THE RAILWAY STRIKE AND THE FOURTEEN
THE railway strike resulted in a settlement — not in a victory
for either side. The Government has stabilized wages for
the next twelve months, and has opened the whole question
for fresh discussion. What is called its " definitive " offer is
thus thrown back into the melting-pot. The railwaymen will
continue at their war wages till next autumn.
For the first time a representative body of trade-union
leaders acted as mediators in a wage dispute. They did not
make the terms of settlement, but they continued to bring the
two parties into negotiating touch with each other. They
made the railwaymen and the State " behave."
The mental attitude of the committee was expressed by Mr.
Clynes, who said that, like all trade-union leaders, he re-
garded the terms originally offered to the lower grade rail-
waymen as the beginning of a deliberate attempt to bring
the general subsistence wage back to the 1914 level, and this
return to intolerable conditions he emphatically declared must
be resolutely resisted by all classes of organized workers.
" The Prime Minister himself has urged us," he said, " to
be audacious in our demands. We are too anxious for the
prosperity of industry to follow his advice, but we do not
think we are showing audacity in insisting that the shameful
industrial conditions of pre-war days shall not be restored.
For the efficiency of the nation and the welfare of the State
we think it our duty to stand firm for the upward progress of
the people's standard of life."
The fourteen men who brought about peace were appointed
by the conference of trade unions called by the Transport
Workers' Federation.
136
RAILWAY STRIKE AND THE FOURTEEN 137
Mr. H. Gosling (President, Transport Workers' Federa-
tion).
Mr. R. Williams (Secretary, Transport Workers).
Mr. J. R. Clynes (President, General Workers).
Mr. A. Henderson (Secretary, Labor Party).
Mr. Muir (Electrical Trades Union).
Mr. E. Bevin (Bristol Dockers).
Mr. J. O'Grady (Furnishing Trades).
Mr. J. T. Brownlie (Engineers).
Mr. J. W. Bowen (Postmen).
Mr. T. E. Naylor (Printing Trades Federation).
Mr. R. B. Walker (Parliamentary Committee, Trades Union
Congress).
Mr. C. W. Bowerman (Secretary, Trades Union Congress).
Mr. F. Hodges (Miners' Secretary).
Mr. G. H. Stuart-Bunning (Postmen, Parliamentary Com-
mittee, Trades Union Congress).
The Westminster Gazette, October 7, 1919, says:
To us the experience of this time seems to be something like
the discovery of a new principle which ought next time to serve
first instead of last. This is the role of the neutral trades, which,
acting as mediators between the Government and the railwaymen,
found the way out which baffled the disputants. The eleven, or
the fourteen, as they subsequently became, played a new part of
the utmost importance, and played it, by common consent, with
great discretion and moderation. If they became a permanent
part of the machinery of conciliation, and it became a regular
practice to consult them at a given stage in a dispute, we ought
to get rid of a great part of the suspicion which attaches to the
ordinary forms of conciliation and arbitration.
i
Mr. Arthur Henderson handed me this statement on the
same point:
The " fourteeen " representatives appointed by the Trades Union
Congress were all of them connected with Labor Organizations
whose interests were affected by the crisis. They held as between
138 THE YEAR
the Railwaymen and the Government a position of very great
delicacy. They confined their efforts mainly to bringing the two
parties together, leaving them to settle the dispute for themselves
and taking very little part in the discussion upon the merits of
the Railwaymen's case between the Railwaymen and the Govern-
ment. But they kept in close touch with both sides, almost from
hour to hour, making suggestions to one side or the other, re-
starting negotiations which seemed to have broken down, and being
present at the joint discussions when, as a result of their efforts,
these discussions were resumed. Because of the vast interests
involved they were anxious to avoid an extension of the Strike
which would have had incalculable consequences, but as the nego-
tiations dragged on they became more and more convinced that
the original attitude of the Government towards the Railwaymen's
claims would have to be considerably modified if a catastrophic
breakdown of industry was to be averted.
It was a peace without victory — a peace with honor, which
in my judgment did essential justice to the Railwaymen,
and it contained a promise of a generally satisfactory solution
of the whole wage question which, as a result of the war,
has passed into a new phase. I am not sanguine enough to think
that the settlement will prove a millennium, or that the employing
classes have undergone a miraculous change of heart. There were
many activities in this strike which showed how near we were to
a real struggle of class, and showed also how destructive that
struggle must be. Many things were said which were better for-
gotten, some things were done which ought never to have been
possible, but the settlement stands as a prime achievment of re-
sponsible Trade Union leaders who intervened in the struggle not
simply in the interests of their own class but to serve the best
interests of the community. It points the way to that developing
partnership of the Trade Unions in the control of industry which
is the working class policy.
Those Trade Union leaders who have been closely concerned
with important industrial events during the present year are com-
pelled to recognize that the failure to secure organization of a
national industrial council has been nothing short of a disaster.
The spirit which pervaded the discussions between employers and
Trade Unionists in the joint committee set up by the joint Indus-
trial Conference called by the Government last February, en-
RAILWAY STRIKE AND THE FOURTEEN 139
couraged the hope that one great defect of our industrial system
would be removed. Had the National Council existed, I am con-
fident that the dispute between the Government and the Railway-
men's Union would never have developed into the actual stoppage.
If I am asked why the unanimous recommendations of the Em-
ployers' and Workpeoples' representatives have not been carried
out, I can only reply that the responsibility does not rest with
them but rather with the Government which has been unwilling
to regulate the hours of all employed persons by legal enactment.
It is of the utmost importance that every effort should be made
to remove the bad impression thus created and to restore the con-
fidence of organized labor, which will make it possible for the
producing classes to feel that they are really partners in in-
dustry and that their interests lie in securing the conditions of its
success.
In the Daily News for October 7 and 8 Mr. Harry Gosling,
President of the National Federation of Transport Workers,
writes :
What men like myself are now setting ourselves to do is to
construct a new channel by which the force of the movement may
be regulated. Already a proposal has come out of the strike that
we should form a central executive empowered to act for the
whole body of Trade Unionism in negotiations with the Govern-
ment. At present each unit of Labor has a substantial head, but
there is no head at all for the whole Labor movement when it
comes to a matter of industrial action. This new body would be
similar in constitution to the executive of the Trade Union Con-
gress but more closely knit, more powerful and more readily
brought into action.
You may argue that such a body would be a danger to the State,
because it would be a rival to the executive of Parliament, which
is the Cabinet. My reply is that a gigantic movement calls for
a powerful instrument. If no such powerful instrument is in
existence the movement will break bounds and chaos result. To
put it bluntly, you must either have this or something very much
worse.
The time has come when the political Cabinet must take an
industrial partner. The young men are demanding it, and although
140 THE YEAR
it may be easy enough to chloroform old men like myself, you
can't chloroform the rising generation. Let us work, then, with
all our might to establish co-operation rather than rivalry between
these two forces within the one nation.
I know a very great authority who has worked out what it cost
him to " win " a certain dispute. It cost in the first year after
the "victory" something like 30 per cent in depreciation of out-
put owing to discontent, and a number of years passed with a
declining loss in each, till he got back to the normal. A " vic-
tory" for capital involving an unconditional return to work is
always at bottom a defeat. Lord Devonport beat us at the Docks
in 1912. He won.
But ask Lord Devonport to-day how much he won, and if he
replies frankly, you will get a surprising answer. Year by year
ever since 1912 we have been " getting our own back." It had
to be done, but nevertheless it has been a bad thing — for Labor,
for Capital, for the community.
It is my hope that the railway strike will induce the general
public to think along these lines. Unless they do, all the efforts
of the mediators cannot prevent the coming of a class war. Such
a war, if it comes, will be intensified as a result of the great
European war. The war showed a great number of men that
force is indeed, a very effective thing. It taught them to think
of sheer force as the live end of any cause.
Moreover, these men who have come back from the war do not
regard mere physical consequences quite in the light they did
before. We find, therefore, that those who have fought at the
front are the most difficult to control and restrain in time of crisis.
Let the nation take warning.
During the crisis the State laid aside its sovereignty and
sacred impersonality and became, very simply, two men, Sir
Eric Geddes, representing the employing class, and Mr. Lloyd
George representing the middle class. It became a noisy,
short-tempered, clever advocate, scoring points; a lively fel-
low— an amalgam of a grim, strong man, who clicks his
teeth as he utters ultimata, and of a charming temperamental
man, enjoying the debate. This brisk entity of the State
advertised its case in the newspapers, chalked up big snappy
RAILWAY STRIKE AND THE FOURTEEN 141
posters on the billboards, and flashed jolly controversial state-
ments on the movie screens. The State revealed itself as a
very human, likable, one-sided, rather inaccurate person. It
finally came as a relief when those eminently judicial persons,
Henderson, Gosling, Clynes, Brownlie, entered and lifted the
dispute into the atmosphere of statesmanship.
As usual of late, Parliament did not act in the crisis. As
the British Weekly puts it, "We have had on the one hand
the inner Cabinet, and against them the trade unions, and be-
tween the two the House of Commons has nearly come to the
ground." Parliament has been out of the main current of
events during the War. And it was just its luck to be in re-
cess at the time of the strike. It would not have been able to
function because the industrial struggle selects committees of
producers for its arena, but Parliament could have talked.
The strike showed that motor transport, as developed by
the War, has added a new medium of communication. The
Government had secretly organized a skeleton service for
transport of food, milk, and other necessaries, and a system
of civil helpers. As the result, the paralysis of the railway
service was not a paralysis of the daily social life of the com-
munity.
Of this new organization Mr. Lloyd George said:
I have to take this opportunity of thanking the multitudes of
volunteers who came to the rescue of the State in these circum-
stances. They have come in their thousands and tens of thousands.
In February I came to the conclusion that there were signs that
this was coming. I felt it my duty to leave the Peace Conference,
because matters at home needed our attention. Under the Home
Secretary the Government built up a civilian organization to meet
the situation. The organization has worked well.
Robert Williams, Secretary of the National Federation of
Transport Workers, says of this organization:
The strike shows that there are hundreds of thousands of able-
bodied men who are willing to assist in breaking a strike and
142 THE YEAR
contribute some temporary useful service in order to cling
to their domination over, and dependence upon, the organized
workers.
The loafers from the Piccadilly clubs went down to the Under-
ground Railways in order to break Trade Unionism, and then to
go back to their lotus-eating existence with a feeling of victory
over the exploited. That is no new thing. The one encouraging
feature in the dispute is that few if any workers blacklegged
upon their fellow workers. The blacklegs in the main consisted
of military and naval units, together with the young cubs of the
middle and upper classes, who hate and fear Trade Union possi-
bilities.
Out of the dispute there must instantly emerge some organiza-
tion which will be sufficiently powerful to challenge all the vested
interests organized to prevent Labor's steady progress. The less
one says of the Parliamentary Committee the better.
The British Weekly, October 9, said:
We must get hold of these dukes and earls who helped us with
the railway, and set them to work in some other manner.
The whole experience has enormously strengthened labor,
because it has made clear the fact of class hostility and because
it has emphasized the immediate need of labor unity, central
government, a general staff, and a mass program. A " light-
ning " strike, unannounced to the Triple Alliance, unexpected
to other trade unionists, must be made impossible. The effect
of the dispute is that trade unionism will strengthen its cen-
tral government. This will be done in one of three ways,
either by increasing the executive power of the Parliamentary
Committee, or by forming a special sub-committee of the
National Industrial Council, or by making permanent such a
body as " The Fourteen," who engineered the settlement of
the railway strike.1
1 The Trades Union Congress of December, 1919, took steps toward
forming a strong central executive body.
RAILWAY STRIKE AND THE FOURTEEN 143
Further, the strike has revealed the difficulties of reaching
public opinion. The newspapers mainly represent business
and middle-class interests. Their handling of the facts, their
emphasis on one set of facts as distinct from another set, their
appeals to herd instinct, rendered their accounts of the strike
ex parte. Of the persons I talked with I found that their
opinion of the strike was made up 50 per cent of personal
discomfort and 50 per cent from the newspaper which they
read. The atmosphere of these days of crisis was passionate
rather than temperate.
The Times said, " Like the war with Germany, it must be a
fight to a finish."
J. H. Thomas said, " That the nation was nearer a civil
war than it has ever been before cannot be questioned."
The immense difficulties of a country which has always
paid misery wages to a large proportion of its workers and
has maintained a mean standard of living, can be realized by
the wage-scale offered to the railwaymen by the Government.
Here, for instance, is the " definitive " scale sent by Sir
Auckland Geddes on September 19 to the National Union of
Railwaymen for the Goods Department:
Small
Goods Depot Staff London Provinces Places
Porters, Sidingmen, Lift Attendants,
Gatemen, Watchmen, etc 47/~ 44/~ 4<V~
Callers-off, Cranemen, Loaders, Gas
Enginemen, etc Si/- 487- 437-
Checkers, Storekeepers, Gaugers,
Warehousemen, Timekeepers . . 55/~" 52/~ 4^/-
Working Foremen, Searchers and
Tracers, Senior Checkers, etc.. s8/- ss/- so/-
Translate this into American money. A wage of from $8.40
to $12 a week was offered to men who had fought the War
and are trying to rear a family. The men struck in order to
keep the wage which they had gained during the War, and
which averaged a few shillings above the Government offer.
The men involved included porters of all kinds, ticket col-
THE YEAR
lectors, conductors, baggagemen, shunters, checkers, carmen,
platelayers.
The Right Hon. C. F. G. Masterman writes :
An attempt was made to force a large reduction of money wages
upon a large class of Government servants. It was made in
secret. It was made without the sanction of a Parliament. It
was made without any public discussion whatever.
And he speaks of " the curious campaign of advertisement
— a campaign in which the railwaymen's funds competed
against taxpayers' funds in part forcibly contributed by the
railwaymen themselves, who thus paid for their own attempted
defeat."
As high an authority as Mr. Sidney Webb believes that
" there is a policy of generally lowering wages, there is an
intention, in some quarters, of ' smashing the trade union by a
fight to a finish/ and this railway strike was deliberately in-
tended and provoked."
The Government attempted to reduce wages and failed.
The settlement is a compromise and a postponement. The
real fight will come later. " The railwaymen have checked
the first attempt to reduce the wages of all manual workers."
Labor no longer trusts officials and Government. Labor
believes that they speak in a Pickwickian sense, that their
promises are swinging doors.
The New Statesman says :
It is men like Sir Eric Geddes — clever, strong, fundamentally
stupid men — who make revolutions. And it is men like Mr. Lloyd
George and Mr. Bonar Law — men who do not tell the truth and
who thus undermine the foundations of public confidence — who
prepare the way for the Geddeses.
\
Mr. Asquith at the Lord Mayor's banquet of 1911 laid
down the three principles on which a Government might act
in time of strike. " The Executive Government must provide
RAILWAY STRIKE AND THE FOURTEEN 145
the machinery and facilitate the methods of conciliation. It
must maintain order, and secure the community at large against
the stoppage of supplies and the suspension of services which
are indispensably necessary for the maintenance of its every-
day social life."
SECTION THREE
THE WAY THEY DO IT
CHAPTER I
THE WAY THEY DO IT
As fast as full pressure is brought, the opposition gives
ground. That is why there are not any jutting flames, and
bloody futile riots, and the other theatricalities of orthodox
revolutions. Here Ramsay MacDonald eats breakfast with
Lloyd George, and debates direct action with Mr. Balfour.
Tawney goes prancing out with a coal owner whom he has
relieved of superfluous gains. Sir Allan Smith and Mr. Ar-
thur Henderson spend many hours in hatching a plot against
autocracy in industry. A great employer begs his shop stew-
ards to catch up more of the slack and bite off a bigger share
in factory management.
It seems comic opera to the European revolutionary (like
the time when Arthur Henderson opened a banquet, including
international reds from the continent, with an invocation to
the Almighty). But it isn't comic opera. And it looks like a
Dorcas sewing circle to the American business men and the
stalwarts of the National Civic Federation. But it isn't a
meeting of maiden aunts. It is neither wild nor innocuous.
It is British. It disguises the fact that a vast shift has been
made. That famous moment of history has come when a
nation ushers in another class to power.
What will happen if demands are not granted ? I heard Mr.
Sidney Webb one evening tell what would have happened if,
when the miners pushed, the door had not opened. Then I
read it word for word in the New Statesman (of March 29,
1919). So I am justified in stating that Mr. Webb says:
147
148 THE WAY THEY DO IT
If the Miners' Federation had rejected the terms offered by the
Government and had withdrawn, on the expiry of the strike
notices, the labor of their eight hundred thousand members; if
the National Union of Railwaymen and the Associated Society of
Locomotive Enginemen and Firemen had been equally recalcitrant
with regard to their own quarrel with the Government, and had
drawn out their half a million members ; if the Transport Workers'
Federation, which had its own claims, had cast in its lot with the
miners and railwaymen, as it was probably bound in honor to do,
Great Britain would have been nearer a social revolution than
any one had previously thought possible. These organizations,
united in what is called the Triple Alliance, comprise, with the
families of their members, something like seven million persons,
or one-sixth of the whole population of Great Britain. A struggle
between them and the Government must have been fierce and re-
lentless. It must have been short, for the whole country would
have been, in a week or two, fireless, foodless, trainless, and wage-
less. The Government would necessarily have stuck at nothing
to suppress what would have been — lawful as it was — essentially
an act of civil war; within twenty- four hours the whole country
would have been in military occupation. The Ministry of Food,
which has in its hands the greater part of the supply, here or
arriving, of the principal foodstuffs on which the whole popula-
tion depends, must necessarily have taken in hand the food dis-
tribution. Whilst it worked, by an extemporized staff, such at-
tenuated train service as would have been possible, the whole fleet
of motor lorries which the War Office has at its command would
have been organized as an auxiliary transport service. The min-
ing districts would have been strongly garrisoned with soldiers,
and the Government had made precautionary preparation for other
steps of which we prefer to say nothing. Never in the whole his-
tory of this country should we have seen such a display of force
against a popular movement, itself absolutely unexampled in mag-
nitude.
The miners, railwaymen, and transport workers, on their side,
would have commanded great resources. In withdrawing their
labor, after due notice, they would have committed no illegality.
Their aggregate accumulated funds amount to several millions
sterling. More important even than their corporate funds, and
less vulnerable, are the very considerable individual savings of
THE WAY THEY DO IT 149
their members, which would have been freely advanced in support
of their corporate action, and above all the credit that would
have been at their disposal. Up and down the kingdom the mining
districts and the great railway centers are the special strongholds
of the Co-operative Movement, of which an enormous proportion
of the million and a half strikers would have been members.
Nothing could have prevented the fifteen hundred Co-operative
Societies from allowing their own members credit for their weekly
purchases, and this would have been freely granted, at least up to
the amount of the members' share capital and deposits. No action
of the Government could have prevented the English and Scottish
Co-operative Wholesale Societies, which have their own farms,
their own flour mills and bakeries and their own food factories,
from supplying their own constituent societies. And the million
and a half miners, railwaymen and transport workers would
probably have found allies. It would not take much to bring out
the electrical workers, the engineering and shipbuilding trades, and
all the organized vehicular workers. If food ran short, from
whatever cause, the men would have marched to the food — with
unimaginable consequences if they were stopped by the carefully
planned military cordons which the War Office had prepared. If
the Government had, to use Mr. Bonar Law's words, used all its
resources to put down what it would have regarded as civil war,
and had, in some unforeseeable way, succeeded, it would probably
have kindled such a flame of industrial rebellion, or at least set
smoldering such a persistent resentment, as would have had po-
litical as well as industrial consequences that no man can measure.
The Government should remember that there might be such a
thing as a " stay in " strike, to which beaten men, smarting under
a sense of injustice, are apt to resort, even against all the efforts
of their Trade Unions. If, on the other hand, the whole kingdom
was smitten with paralysis by a month's lack of coal — and even
an omnipotent Government cannot get any considerable quantity
of coal hewn without the hewers — and the Ministry had been
driven to accept (as, in our opinion, — which we expressed last
week — would have happened) the terms dictated by the workmen's
Executive Committees, this country would have come very near
to the end of Parliamentary Government. Once the strike had
started, it could not have ended, whatever the result, without the
gravest national disaster.
150 THE WAY THEY DO IT
On the same theme, Mr. Robert Williams, Secretary of the
National Federation of Transport Workers, and therefore one
of the big chiefs of the Triple Alliance, speaks with authority :
I
The Triple Industrial Alliance is by far the greatest attempt
made in this or any other country to win for the workers " Tem-
poral Power." One can hardly say whether we shall see it in
use during the next few weeks: that is a matter for speculation.
A prominent member of the sub-committee of six once remarked
that the Alliance could be used only on one occasion. He meant
that if it failed, it would be useless for all time; whereas, if used
with success, it would leave the working class masters of the
industrial and political situation.
I am not sure that I am quite in agreement with that prophecy.
For instance, the Triple Alliance has been tested during the war.
It is fairly well known that the politicians had made up their
minds to introduce 300,000 colored indentured laborers into this
country in 1917 to relieve more of our own workers for the or-
ganized butchery in France and Flanders. That outrage, connived
at by Mr. Lloyd George, was thwarted by the action of the Triple
Alliance, and ships carrying the colored workers to be landed at
Southampton were diverted to Marseilles. This at least shows
that the Alliance can be used with some effect, although strike
action was avoided by the capitulation of the Government. On the
other hand, I can readily foresee the power of this organization
used again and again without the workers establishing for them-
selves economic freedom. Everything must depend upon the
mental, as well as the industrial preparedness at any given time
when action is contemplated.
That quotation shows Mr. Williams in one of his two
moods — his mood of careful statement. As in Belgium and
Switzerland, you have to understand two languages in order
to know what the shindig is really about, and where the mean-
ing lies. Mr. Williams (like many another Briton) is some-
times loud on the hustings, but always cautious in committee.
He hangs a " To Let " sign on Buckingham Palace, and re-
turns to work out the patient details of a wage increase for
port and harbor employees. And because a trade of his fed-
THE WAY THEY DO IT 151
eration has pledged its word, he helps in the dreary committee
work of an industrial council for one of his trades, although
he has no great faith in the blessed word of Whitley. There
is Ramsay MacDonald, the prize orator of internationalists,
than whom there is no more canny, responsible man on foreign
affairs in Downing Street.
The British like to be energized by loud explosions into a
dignified, sure-footed motion. They carry a shock absorber
which lets the machine bump rocks without jarring the occu-
pants. They have a gyroscope which sucks up all the careen-
ing and holds a steady keel. But do not think that the tide
isn't running with a brisk wind and splashy waves. In high
excitement, American newspaper correspondents ferried over
from France when the British miners struck.
" The big show is on," they said, " the social revolution has
come."
And then I saw only one of them in daily attendance at
the Coal Commission, where the social revolution was taking
place. The shock absorber and the gyroscope were at work,
so that Mr. Justice Sankey did not seem to be continuing the
tradition of Robespierre. The landowners lost their minerals,
but nobody lost his head. Fires still burn, though the miners
have taken over an additional $150,000,000 a year.
CHAPTER II
GENTLE REVOLUTION
THE workers have the instinct for property. And a hundred
years of experience with " private enterprise " has led them
to believe that under it there is no reasonable chance of prop-
erty owning for the majority of workers.
They desire a reasonable reward for hard work, initiative,
and thrift. And " private enterprise," they are convinced, fails
to give that reward to the mass of producers, because it ear-
marks the reward for the small group of financing and mar-
keting agents, and for absentee capital.1
They claim that the man willing to work should be permit-
ted to work. And they know that the organization of industry
under " private enterprise " has carried with it a " fringe of
unemployment," that from 2 to 10 per cent of willing workers
are periodically out of work.
They wish production. And they have often seen " private
enterprise " defeat their energy by undercutting in piece rates
1 Management has been shockingly underpaid in many British
industries.
The following figures relate to 57 per cen . of the collieries in the
United Kingdom:
Salary, including Bonus and Number of Managers
value of House and Coal 1913 1919
£ loo or less 4 2
£101 to £200 134 3
£201 to £300 280 29
£301 to £400 164 251
£401 to £500 81 213
£501 to £600 51 146
£601 to £700 27 75
Over £700 23 77
152
GENTLE REVOLUTION 153
the increment of productivity which they make. They have
seen " private enterprise " restrict output — not according to
the need of the consumer, nor according to the laws of pro-
duction for use, but in relation to the prices of the market —
prices based on a system of private profits.
They believe that prosperous (that is, well-paid producers)
are the best consumers, and are themselves the best market.
They believe that under-consumption is the disease of " pri-
vate enterprise."
In short, the workers will no longer work for unrestricted
"private enterprise," with its profits for a small group, its
competing interests (and consequent lack of unified, efficient
management), its failure to instal modern machinery and to
use scientific research, its underpay, overwork, bad housing,
preventable accidents, proletarian disease, and its negation of
constitutional government in industry.
As the Times says :
We are, in truth, in the throes of a national crisis not less
fateful and in some respects more dangerous than the war from
which we have just emerged unscathed as a nation. This crisis
has not been created by the war. We were drawing towards it
before the war.
And again:
The truth is that we are passing already through a social revo-
lution. Psychologically, indeed, it has been accomplished, not
completely, but sufficiently to warrant the word " revolution."
Most people perceive that a social turnover, which has changed
the status of classes and their relation, has occurred, but they are
puzzled and confused about it. Some regard it as temporary and
expect to see it pass; they underrate its significance. Others mis-
read it in another way. They see in it an opportunity for realizing
some theoretical form of society which happens to appeal to them.
They would narrow it to some particular end of their own.
Others, again, are simply bent on getting as much as they can
out of it. The labor questions are part of these confused and
half -conscious aspirations, which imply a tremendous clash of
154 THE WAY THEY DO IT
interests. The process of settling them means the translation of
the revolution already subjectively half accomplished into defined
and concrete forms which will possess stability and permanence.
It is a gigantic business, needing clear vision and calm thinking,
for it is all new.
What is the nature of the revolution?
Mr. James H. Thomas, head of the railwaymen, has an-
swered :
The demands of the workers can be summarized under four
heads — first, shorter hours; second, higher wages; third, share in
control ; and fourth, the nation to own those things that are essen-
tial to the life of the nation, such as transport and mines.
The first two demands are to abolish poverty and its ef-
fects. The last two are to establish freedom.
On hours, the sub-committee of the Industrial Conference
obtained the unanimous vote of the employers, on a univer-
sal forty-eight-hour week. The miners have obtained a
seven-hour day (in two years, with certain provisos, a six-
hour day). Lord Leverhulme is preaching a six-hour day,
and installing it in his plant. A forty-seven-hour week has
come into force throughout the engineering and shipbuilding
trades. A forty-eight-hour week is not an eight-hour day.
An eight-hour day is a forty-four-hour week (Saturday half
holiday). This will be the second step of which the Indus-
trial Conference demand is the first. Lord Leverhulme's six-
hour day may be the third step in the national program.1
On wages, the sub-committee of the Industrial Conference,
with a unanimous vote of the employers, has declared for a
basic minimum wage. The workers demand that war wages
be made permanent.
As regards joint control, the Government is committed to
the principle by the Whitley reports. The workers have no
desire (after the war experience) for bureaucratic control of
1 But hours have never been fully studied — the proper da}', not for
a month or year, but for the working life, and the differential accord-
ing to occupation.
GENTLE REVOLUTION 155
capitalist enterprise. They wish public ownership, direct ad-
ministration, local government, and joint control. It is worth
while to define exactly what is meant by joint control. Mr.
G. D. H. Cole was chosen Secretary of the Trade Union Rep-
resentatives of the Industrial Conference. In the report
which he and Arthur Henderson signed, it is stated that " the
Whitley scheme, in so far as it has been adopted, has done
little or nothing to satisfy " the demand for " a real share in
industrial control."
Elsewhere he has stated:
It is a great mistake to think that the miners or the railwaymen
want merely the adoption of the Whitley Report. The railway-
men — including both the National Union of Railwaymen and the
Railway Clerks' Association — have rejected the Whitley Report,
and the miners have shown not the smallest desire for its adop-
tion in their own case. The sort of control which these bodies
have in mind is something different, and something which, to the
ordinary business man, will seem far more " revolutionary." For,
whereas the Whitley .Report merely secures the full recognition
of the right of collective bargaining, without in any way changing
the status of the parties to the bargain, the miners and the rail-
waymen are seeking a real share in control.
What, then, do the miners mean exactly by this share in con-
trol? They mean at least two things, and to each of these
things they attach the greatest possible importance. In the first
place, they want equal representation on the national Commis-
sion or Committee which exercises central and general control
over the mining industry; and, in the second place, they want
equal representation upon committees exercising control over par-
ticular pits.
It would be wrong to regard these demands merely as the re-
sult of " extremist " agitation. Indeed, the " extremists " are
seeking not joint control, but complete and exclusive control of
the whole mining industry as a part of a general and compre-
hensive social revolution.
This demand must be sharply distinguished from that of
exclusive control by the manual workers : a demand by a small
156 THE WAY THEY DO IT
percentage only of the workers. Mr. Smillie has made this
distinction clear. To Mr. Lloyd George, on February 21, 1919,
he said:
There is no miner in this Miners' Executive of ours who has
any desire to do anything for the purpose of wantonly interfering
with the industries of this country. But, although the newspapers
pay particular attention to some of us, pointing out that I, for
one, am a Syndicalist, who wishes to take the mines over for the
miners and work them for the interests of the miners and not
of the State, that is absolutely untrue; neither is there any mem-
ber of the executive committee of this Federation, as far as I
know, who has any such idea. Our desire is to have the mines
nationalized, taken over and worked in the interests of the State,
in order that there may be — and we know there can be — not
merely an enormous addition to the output, but a considerable
reduction in the cost if the State were working the mines.
Mr. Vernon Hartshorn is miners' agent in South Wales,
member of the Executive of the Miners' Federation, and mem-
ber of Parliament. On this point of nationalization and joint
control he said :
At the present time, the miners are in a frame of mind in which
they are prepared to treat fairly and recognize all the interests
that have grown up in industry. But if these demands are not
granted, Syndicalism, or, if you like to call it, Bolshevism, will
take the place of the demands the miners are putting forward
at the present time.
This demand for joint control must be equally distinguished
from that modified control which would begin and end with
welfare devices, social outings, and working conditions in the
sense of lavatory accommodation. This is the kind of " joint
control " which a delegation of American business men thought
they found in the North of England.
To the Coal Commission, Emil Davies, general manager of
the Banking Corporation, financier, economist, and London
County Councilor, testified to the need for joint control as a
brake on the revolutionary movement:
GENTLE REVOLUTION 157
I think the psychological effect upon the miner of these big
dividends and of these capital bonuses is bad for the nation and
bad for the industry. I think it is quite conceivable that the
miners or railway workers might ask more than the conditions
of the industry justify, but so long as these men see big dividends
and, every few years, a lot of bonus shares which makes the
dividend look smaller than it really is, and every two or three
years they see new shares being offered below the market price,
and they find a lot of local people holding a few hundred shares
making hundreds of pounds, they think naturally that the industry
is making millions. Let these profits be pooled over the whole
industry, as they would be if the industry were nationalized, and
let the men have their representatives on the Board of Manage-
ment so that they know there is no hankey-pankey, and it would
be possible to show the miners and railway workers that there
did come a point when they were asking more than the industry
could stand. My point is, and I am thinking of the trade and
industry of this country, that so long as the present state of things
goes on you will not get the men into what you would call a rea-
sonable frame of mind.
Towards nationalization the first steps have been taken.
The competitive private profits system has been three times
in the year officially condemned by distinguished captains of
industry, appointed by the Government. The Coal Commis-
sion's report — as accepted by the Government — was signed
by Mr. Justice Sankey, Mr. Arthur Balfour (managing di-
rector of steel works at Sheffield, and former Master Cutler),
Sir Arthur Duckham (engineer, Director of Aircraft Produc-
tion, and of the Ministry of Munitions), Sir Thomas Royc'en
(shipowner, railway and bank director).
Their report states :
The present system of ownership and working in the coal in-
dustry stands condemned, and some other system must be sub-
stituted for it, either nationalization or a method of unification
by national purchase and or by joint control.
Sir Richard Redmayne, the Government's principal coal
official, states :
158 THE WAY THEY DO IT
That the present system of individual ownership of collieries
is extravagant and wasteful, whether viewed from the point of
view of the coal mining industry as a whole or from the national
point of view, is, I think, generally accepted.
Speaking for the Government on the system of transporta-
tion and the supply of power (railways, waterways, canals,
roads), Sir Eric Geddes, Minister of Ways and Communica-
tions, has stated to the House of Commons:
In the past, private interest made for development, but to-day,
I think I may say, it makes for colossal waste.
We must forego the luxuries of competition, we must forego
private interest and local interest in the interest of the State.
It would be nothing short of criminal to let the old system of
competition between light railways and roads, railways and canals,
and between different docks go on. You must make one block of
capital do the work now, not two. You cannot afford it.
Of course this will come as a shock to some idealists who
believe in individualist effort. We all have our dreams, and many
of us have our dream islands which we think of in the morning
before we get up. I have no doubt that the dream island of the
trader is full of courteous railway canvassers offering cheap fares,
light rates, and fast special trains. But when he has had his cold
bath in the morning that goes. And this is a cold bath which the
country has got to take. The transportation agencies of the coun-
try to-day are barren and paralyzed, and we have got to get them
right. Therefore I feel sure that if the House decides, the era
of competition is gone. It must logically put every means of
transportation under the one control and you must not leave out
anything, otherwise you will have competition immediately, and
you have got to trust somebody or some one to get co-ordination
and the fullest possible utilization of everything the country
possesses.
The day of private enterprise and private profits in public
utilities is ended, because the workers demand a higher mo-
tive for production than the creation of wealth for a few.
It is misleading to write of Whitley Councils and the Indus-
trial Councils, as if they were love feasts where capitalist
GENTLE REVOLUTION 159
employers and workers have seated themselves in amity, with
a common aim and a new spirit.
The new spirit in labor is to abolish poverty and to win
freedom. Mr. R. W. Cooper, the coal owner, asked Mr.
Straker, of the Miners' Executive, the most searching ques-
tion since Pilate's. He asked the miner, " What is freedom ? "
And Mr. Straker answered :
" So long as men are what they are, they desire to
know and understand that which affects their own life
so closely.
COOPER: "You will agree that if a man feels he is getting his
fair share of the produce of his labour he will be satis-
fied from the domestic or comfort side of the question."
STRAKER: "I suppose that would satisfy him. If he were get-
ting his fair share he ought not to have any more."
COOPER : " Is there any other aspect of the matter upon which
he would desire to be satisfied ? "
STRAKER : " The desire that every true man has to be free."
COOPER : " In what sense do the men desire to be more free
than now ? "
STRAKER : " There is a freedom of the mind, ever seeking to
understand. Otherwise a man would be no better than
a brute."
COOPER : " There I agree with you that his mind should be
free. But in what way do you suggest that a miner's
mind is not free ? "
STRAKER : " The opportunity for knowledge of the industry they
are engaged in."
COOPER: "What knowledge do they desire to have of the
industry ? "
STRAKER : " The commercial side of it."
COOPER : " I have dealt with that."
STRAKER: "You have only dealt with the cost."
COOPER : " And the profits ? "
STRAKER : " How those profits are made."
COOPER : " What else is there ? "
STRAKER: "The men object to these profits being collected by
any few individuals."
COOPER : " What difference does it make to him whether the
160 THE WAY THEY DO IT
profits are made by the few or the many or the collec-
tive body called the State ? "
STRAKER : " Because he realizes now that he is a citizen of the
State."
COOPER : " Do you really think either you or I feel our citizen-
ship any greater because the Post Office of this country
is run by the Government and not by somebody else ? "
STRAKER : " Most decidedly."
COOPER: "You surprise me."
CHAPTER III
GENTLE REVOLUTION
ii
THAT British instinct for compromise and social change which
has often saved the State from disaster is once again at work.
Sir Arthur Conan Doyle recently stated :
Some critic has finely said that if the Day of Judgment were
to come, a British non-com, officer would still be found imploring
his neighbors not to get the wind up.
\
Violence, mental excitement, overstatement, the British
shrink from. The Latin motto, " Nothing that is violent en-
dures," could well be their motto. They wrangle, and at the
eleventh hour compromise. But the compromise will not be
made on the basis of the status quo.
No paper in England is keener than the Daily Mail in scent-
ing where the chase is going. After the Coal Commission it
said:
We do not know how many colliery shareholders would be
needed to do the work of a million miners, but we imagine that
if they desire to maintain the principle of private ownership in
national necessities after this crisis, they will have to get together
and dig promptly and vigorously.
National ownership does not necessarily involve Civil Service
management. But it does mean the elimination of what the men
dislike intensely — namely, working under hard conditions and at
the risk of their lives for private profit. As we have often said
in these columns, the contrast between the lives of the men who
get the coal and the lives of those who get the profits is too great.
161
162 THE WAY THEY DO IT
Mr. J. R. Clynes writes:
For the temporary purposes of war private interests had to
give way. For the permanent purposes of peaceful reconstruc-
tion private interests must also give way. It is only upon this
basis that real and beneficial changes can be effected. The com-
munity must have means to protect itself against personal self-
seeking, and if State supervision or co-operative action in trans-
port or other agencies can give us a higher level of efficiency than
we now have, many forms of competition must be relegated to the
stage of a past age, and must no longer be tolerated upon any
ground of the individual profit previously enjoyed.
That excellent organ of the Unionists, the Observer (on
April 13, 1919), says:
Men like Clynes could have been kept in the Government. Men
like Mr. J. H. Thomas or Mr. Henderson could have been brought
into it, or brought back to it. How? We pointed out at the
beginning of December and before the General Election that the
proper thing was to face the inevitable in time. Ministers were
bound to consent to the nationalization of transport. They would
find themselves compelled to nationalize the electric power to
drive the transport. How then could they avoid nationalizing
the mines — the fuel which provides the power? These things
hung together. They made the great Triad of national recon-
struction after war.
Now the Government is doing under pressure what it would
not do for political reasons. It has been kicked, pushed, and bun-
dled towards nationalization of the inseparable Triad — transport,
driving-power, fuel — without being able now to gain any of the
political advantages that timely action would have secured.
And again:
They (the workers) are not to be satisfied even by the largest
sort of multifarious program not stamped by any leading idea
showing in its greatness some proportion to the upraised and
mighty spirit in which this people engaged in Armageddon. They
are not too grateful for even the biggest things of a quite in-
evitable kind.
GENTLE REVOLUTION 163
Housing on a heroic scale, the new organization of public
health, the unified handling of national transport, land settlement,
land acquisition by the cheapest and most rapid processes which
can be devised without treating the land-owning interest more
unfairly than any other — all these necessary things, splendid as
they are, the country would have expected from any Government
whatever. From Mr. Lloyd George the country expected some-
thing far more. It wanted a policy not only improving vastly
the old order, but laying definitely the foundations of a quite
new order.
By this summary of quotations from conservative
sources, I am seeking to show that Britain has accepted the
" social revolution." The condemnation of private enterprise
in public utilities is widespread. The next step is how to take
over these vast public services.
The power of setting the pace and the direction of social
change has passed out of the hands of the Coalition Govern-
ment into the hands of such men as Smillie, Hodges, Clynes,
and Henderson. Smillie has been the indisputable leader of
the industrial movement. He (because of the organized min-
ers) was the driving force which was slowly carrying Britain
over from a society of classes into a society based on economic
equality. Henderson and Clynes are the politically minded
leaders, who will formulate the methods by which that change
will be constitutionally made. The men are complementary.
Smillie and Hodges will occasionally outrun the general pub-
lic (though not the rank and file of labor). Henderson and
Clynes see how to transmute the mass momentum into legis-
lative proposals which will win public opinion. The loss of
any of these men would be serious, because it would tend to
throw the now irresistible but wisely moving industrial forces
into violence. They are bulwarks of order, and against Brit-
ish order and method and constitutional adaptation the Euro-
pean storm as yet beats in vain.
" Each side cares more for order than for its program,"
said Mr. Bertrand Russell to me.
After the brilliant pamphlet, Labor and the New Social
164 THE WAY THEY DO IT
Order, Americans expected an evangelistic sweep by British
workers, like the Victory Loan and prohibition and Billy Sun-
day. But the British believe that a crusade always means a
slump. So they go on permeating the community, steadily
gaining, and what they grasp they hold. They are indifferent
to loud applause for their spectacular hits and indifferent
to impatience with their dour slowness. They have been a
hundred years on the present task. They are willing to de-
vote a few more years to the job. They care not at all for
comments from the side-lines. They are not running a movie
show of social revolution. They are patiently on the way to
industrial democracy.
In labor conferences there is a flare of wrath, and then
the group is shaking with laughter. All the time, humor
plays over the gathering: a sharp wrangle, and then it is
emptied of intensity by a jovial thrust. Thus, the delegate
from Paddington, suffering from a sense of grievance, had a
voice like a siren, and would not be comforted. Another dele-
gate said, " I move that he be absolutely eliminated," and the
incident was over.
It is in humor where the English nature comes through to
expression. The head of an aircraft factory said recently:
A smaller explosion than the Russian may occur here, but it
will be a humorous one if we have it. It is not fair to give the
show away, but the British working man has a very keen sense
of humor. He is realizing it is not a difficult matter to get
what he wants, and I think he will get it quite readily.
He went on to describe the social change as " the humorous
revolution."
British workers are sometimes like small boys who ring
the front-door bell and from an area watch the gouty house-
holder come in pajamas and with a candle. And when they
find he is trembling with fear and rage, they never let him
sleep again.
If some of the governing and employing class were not so
deadly earnest about the sacredness of property and their
GENTLE REVOLUTION 165
rights as a master class, there would not be half the fun in
shocking them. When the Duke of Northumberland and the
Saturday Review call Mr. Smillie and Mr. Webb robbers, the
joke is so good that labor goes on with it. If the titled wit-
nesses had joined in the laugh on themselves at the Coal Com-
mission, that part of the joke would be shorter lived. But
when their organs, the Morning Post, the Outlook, the Sat-
urday Review, and the Globe (under its old management), de-
clared that the Earl of Durham, the Marquis of Londonderry,
and the Duke of Northumberland had proved themselves well-
nigh the equal in wit and dialectics of Mr. Smillie, and that
noble blood could produce personalities as resourceful as
those from the coal pits of Lanarkshire, there was a Carroll-
like quality that called for more heads off. At least a flicker
of this humor will be needed to understand the British social
revolution.
The Government is learning its lesson from disastrous by-
elections and the blows of the Triple Alliance that useful de-
vices for conciliation, slow-moving bits of moderate social
reform, and modified conscription, must not be used as sub-
stitutes for peace and a new social order. J. L. Garvin, that
responsible Conservative friend of Mr. Lloyd George, de-
scribes the situation more severely : " He has let his genius
get itself up to the armpits in a quagmire of opportunism and
contradiction," and speaks of "the Prime Minister's increas-
ing absorption in practical shifts and contrivances to serve
the immediate emergency."
The first compromises have been made. Better machinery
for negotiation has been set up. Some employers are already
enlightened. The trade-union leaders are constitutionalists.
Ninety-nine per cent of the workers desire to carry through
without bloodshed or anarchy.
1. The immediate crisis has been partially met.
2. The fundamental causes of unrest have not been dealt
with.
3. Means have not been devised to deal with these funda-
mentals.
166 THE WAY THEY DO IT
4. Reasonable time will be required and granted to con-
struct the machinery of transition.
5. The " big battle " will therefore be postponed, while
the immediate necessary work of reconstruction is
carried on. Peace, food, and work are wanted.
The present extemporized machinery of negotiation is use-
ful for two purposes :
1. It will help to tide Britain over the present crisis of
demobilization, unemployment, and maladjustment.
2. It will afford a debating club and a technique of dicker-
ing, when (after these months of acute strain) the
fundamental questions are being discussed.
What has become ever clearer in war days and the unde-
fined days since, is a nation's need of political capacity as
distinct from executive capacity and business capacity. It is
not what is the most efficient thing as seen by' the military,
revolutionary, administrative, business, or scientific mind,
working in an ideal world, but what is the possible thing in a
society of forty million human beings. Scientific manage-
ment, high production, industrial conferences, commissions,
and Whitley schemes, will not alone solve the tangle. Na-
tionalization of public utilities, joint control, the limitation of
private profits, a high standard of living for the producers,
production for the use of the consumers, the elimination of
unemployment, and democratic finance are the solutions.
These fundamental changes are in their nature political. It
is not a machinery of conciliation that is chiefly demanded.
It is a fundamental economic change to be accomplished by
legislation. The day of reckoning up the costs of the War
has been postponed. When the cost is faced, and strikes
recur, there is only one method that will save England in con-
stitutional government. And that is a Parliament obedient
to the will of the people, enacting laws to express that will.
It is too late in history to elect Coalition, Tory, Reactionary
ministries.
Back of housing, health, and education lies the need for a
more widely distributed wealth. It is the poverty of the
GENTLE REVOLUTION 167
workers that is the creator of bad conditions. The remedy is
in part fiscal. By taxation, wealth must be more widely dis-
tributed. Then a more equal society will demand, create, and
receive the conditions of life that include reforms in housing,
health, and education. The British will submit to these
changes, because they see it is better to work a change con-
stitutionally than to shatter the scheme of things. They
recognize that the change must be drastically and swiftly
provided for. They are preparing for the economic change in
the same spirit in which the Parliament of last century voted
a franchise extension which destroyed its own majority. The
British are politically minded. They will carry over the
bridge that leads from capitalism to an equalitarian society
much precious freight. They mean to carry economic stabil-
ity and prosperity across with them, and achieve a radical
social change constitutionally rather than by violence. In the
process of this change, taxation will be an instrument of
Government.
To the Coal Commission Sidney Webb said:
" My idea of a Socialist State is one where there is a great deal
more private property than now. Ten million families would have
property, and therefore there would be more accumulated capital."
SECTION FOUR
WHAT THE WORKERS WANT
CHAPTER I
WORKERS' CONTROL
By FRANK HODGES, Secretary of the Miners' Federation of
Great Britain
[Frank Hodges is the most powerful young man in Britain.
He is Secretary of the Miners' Federation. He was born at
Chepstow in 1888. At fourteen he was at work in a Mon-
mouthshire colliery. At twenty years of age he won a min-
ers' district scholarship for a course at Ruskin College, Ox-
ford. In 1909 he and other young class-conscious students
revolted against the teaching, and founded the Central Labor
College, where the revolutionary germ could be intensified.
Later, he went to France and learned the language, and then
he studied the organization of the C. G. T., the Federation
of Trade Unions.
He returned to his life as a Welsh miner, and at twenty-
five years of age was elected miners' agent — a position of
power. From that he became a member of the Executive of
the South Wales Miners, and so to his present job, where he
and Smillie have ruled the most potent industrial union in
the world. He is a convinced believer that the industrial
power of trades unionism is so great that the change to the
Socialist State, with workers' control, can be made peaceably,
in the next " ten, fifteen, twenty years."
Hodges has the culture, the manners, the background, of a
university man of the upper class. But he carries a con-
sciousness of the delegated power of a million working men.
His dangers will be those called out by so youthful and as-
169
170 , WHAT THE WORKERS WANT
tonishing a career: bitterness, conceit, the flattery of the
privileged destroying his belief in his mission and leading him
into compromise.]
I PROPOSE to establish a case for self-government of the coal
mining industry. This question has a very practical import at
the present moment. The discussion about the industry has
passed beyond the mere academic, and so have the proposals
for its reconstruction. In dealing with it one has to remem-
ber it is rather a question of immediate politics, and any
scheme that one would initiate has to bear relation to prac-
ticability. It is no use now to describe broadly the industry
under Guild Socialism. That would savor perhaps of an
academic smack. What we have to do, is to discuss proposals
for the government of the industry now, in the light of our
own views, as to how the industry might ultimately be gov-
erned. The coal industry is the most important in the coun-
try, other than agriculture. I always place agriculture in the
premier position because it carried along our social life before
coal was discovered, and it will do so after coal has been
fully exploited and used up, so that strictly speaking, coal oc-
cupies the second place in our national life, because all mod-
ern industries now in a state of mechanical development de-
pend upon coal. It is true to say that its existence as an in-
dustry of first-class importance is to some extent threatened.
Oil is a realized fact, and if there are sufficient quantities of
oil in the earth, with the application of scientific minds to the
production of oil, it might hasten out the coal era in a shorter
period than we are prepared to admit.
It is an industry which I think, on the whole, has been
fairly efficiently managed under private ownership. I say
that with some qualification, because an industry can never
be thoroughly efficiently managed under private ownership,
but within its limitations it has been to a large extent a suc-
cess. For example, on the productive side, it has managed
to produce 287 million tons per annum, a remarkable achieve-
ment in the British coal-field. It cannot be said that it was a
WORKERS' CONTROL 171
failure, if production reached such a tremendous figure. Be-
cause it is really a difficult occupation. Coal is not easy to
exploit, it has to be wrung out of the earth at great cost. We
must give credit to private capitalism for having brought the
technique of the industry up to a point where it was capable
of producing such an amount as 287 millions per annum.
In the year 1913 it apparently ceased to expand, and that is
the point I think at which capitalism broke down in the in-
dustry. There are many who will say, " Yes, that was due to
the War." Well, apparently that is so, because the War has
brought into existence rather new factors, or given point to
factors already in existence, which have made for this de-
parture from expansion, this contraction in the industry. In
six years we are down in this industry by practically 70 mil-
lion tons — a great decline. Many factors have contributed to
that decline. There has been a decline in technique, a decline
in the physical means for producing, a decline in machinery,
in rolling-stock, in the character of the underground workings.
There has not been the same maintenance in the underground
workings, which has made possible the continuance of output
at the pre-war figure, but what has been the most marked fac-
tor since 1914 is the awakening consciousness among the men
engaged in the industry. I must give full weight to all con-
tributory factors, otherwise I should not be a proper person to
discuss the matter. But, having given full weight to all fac-
tors, physical and technical, there is this remarkable factor,
which has been accentuated during this War. This growing
consciousness that all is not well in the industry: that the
men engaged in the industry now, and their forefathers, have
been bereft during the whole of their lives of anything like a
voice in the direction of the industry. That fact has left the
workman in a state of antagonism towards the system of con-
trol. I would emphasize that as the principal factor which
has made for the decline in the industry. (True, there has
been a reduction in hours, the output per unit engaged is
down; but one could give reasons for that, apart from this
growing feeling which is more individual in its character than
172 WHAT THE WORKERS WANT
anything else.) It is the feeling of lack of position and re-
sponsibility in the industry which has left this feeling of an-
tagonism. If you cannot have co-operation in any industry
between the technical people and the manual, you cannot ex-
pect productivity. That feeling has been expressed very
definitely in many ways for some time. I had sent to me a
few days ago a copy of a scheme, a very remarkable scheme,
propounded by South Wales miners, for the future control
of the industry.1 It was the work of extremely thoughtful
men, and one could see in it a feeling of bitterness because of
the complete detachment from the control of the industry by
the men engaged in it. I studied that scheme, but could not
accept it. At the same time, however, we have there an expres-
sion in a more or less concrete form of the desires of men
who have quite a distinct ambition for effective control in the
industry itself. I am going to make a broad generalization.
Until you give expression, or find avenues for this desire, the
output will not materially increase. It will increase, it is true ;
I think it must, because of the slight improvements that must
take place in the technical and physical factors ; but the indus-
try will never reach the pre-war position until the avenues
are provided for this desire, which is very manifest among
men in the industry. I use that South Wales scheme as an
illustration of what is going on among the men. But this de-
sire has found expression in broader aspects. It has been
officially expressed by the Miners' Federation of Great Britain,
which body, naturally, has to try to establish a scheme which,
if put into actual operation, would in itself create an avenue
or provide means by which their known desires could be at-
tained. As most of you know, that scheme has been embodied
in a definite bill2 for, sooner or later, presentation to the
House of Commons. That bill has been given a sort of legal
color through the instrumentality of Mr. Slesser, barrister at
X"A Plan for the Democratic Control of the Mining Industry."
Published by the Industrial Committee of the South Wales Socialist
Society.
2 The Miner's Bill for Nationalization. See Appendix.
WORKERS' CONTROL 173
law. Such a scheme, sooner or later, must have a legal col-
oring.
The Miners' Federation has refused the Government offer
of workmen on the board of directors, under the capitalist
system. They will not put workmen on the directorate either
of a national council or of a district committee. They do
not wish minority control with private ownership.
I think for the first time in the history of the industry we
have a scheme which makes provision for complete govern-
ance of the industry by the people engaged in it. I do not
know of any other industry that has yet evolved as complete
a scheme as this. It has not been accepted by the Govern-
ment, it is true. The scheme, which was agreed to, or sug-
gested, by Mr. Justice Sankey,1 is by no means as complete
as this scheme, but it is a step towards it, and in order to
give you an idea as to the character of it, it will be just as
well to make a comparison between this and the Sankey
scheme.
The scheme for the future governance of the mining in-
dustry, as expressed in the Miners' Federation Bill, was a
scheme which divided the industry up into parts, intended to
remove it entirely from the domain of bureaucratic influence.
The industry is national in its character, and therefore the
machinery for its governance must be so. It is suggested that
the industry shall be, in the first place, a national asset. It
shall be owned by the nation. Of course, the Government
themselves have decided that minerals shall be owned by the
nation, presumably because that did not conflict with the
capital interests already in the industry. If it had, I do not
think the Government would have been quite so ready to
nationalize other people's property as they were. But they
have not accepted, in fact they have rejected, the scheme for
the national ownership of the industry as an asset on the
productive side. That was the basis upon which the whole
of our scheme rests — that the mines as well as the industry
1 The Final Report of Mr. Justice Sankey. See Appendix, Section Four.
174 WHAT THE WORKERS WANT
must be national property. Unlike the syndicalist scheme, it
is not intended that the industry shall be owned by the peo-
ple engaged in it. That is anti-social in character, and would
sooner or later, if effected by force, break up. For Syndical-
ism the majority of British workers have no desire. If the
workers used a particular commodity (like coal) for the pur-
pose of holding up the community and smashing the system
at one stroke, the result would be that some substitute com-
modity would be found. The workers prefer a series of steps
leading towards the goal, to a holocaust that would cause
universal suffering. The social aspect of this scheme is seen
in the fact that the industry and the raw material — the coal —
must be national assets, but the production must not be con-
trolled and determined by the Government. On the contrary,
the Government will have by no means a controlling voice in
the industry. We suggested that one-half of what we call a
National Mining Council should be people directly appointed
by the Miners' Federation of Great Britain, the other half
to be composed of technical experts, commercial men, and the
remaining one or two to be the nominees of Parliament itself,
so that there will be a definite link between Parliament and
the industry through the Parliamentary nominees and through
the Minister of Mines. Now that, of course, presupposes
a good deal. The Miners' Federation of Great Britain is not
at present sufficiently powerful or comprehensive to have
within its ranks the technical workers engaged in the industry.
It has only made provision so far in a limited way for a man-
agerial staff. There has been great prejudice against the
managerial staff, to some extent warranted, caused by pres-
sure constantly brought to bear upon the managers by inter-
fering boards of directors. I am not quite sure even now
whether the Miners' Federation of Great Britain are suffi-
ciently removed from that old influence to permit of the tech-
nical staff, the brain-workers, having complete access to the
federation and thus to become members of that organization.
It is regrettable, but a fact which must be taken into consid-
eration. The technical workers of the Mining Council could
WORKERS' CONTROL 175
not at present be directly appointed by the Miners' Federa-
tion. It is a fact that sooner or later we shall arrive at that
stage when technical men, men of great ability due to their
natural qualities and to their careful and elaborate education,
will be able to come in. When we make provision for them
to come in, we shall be jointly in a position to nominate our-
selves the personnel of the National Council. Even if our own
scheme came into operation, we should have to leave viery
largely the appointment of the technical staff to the Man-
agers' Unions, as they exist to-day, small and ill-defined in
character, or we should have to leave their appointment to the
Ministry of Mines. That is the immediate stage — we shall
have to go through that. The Miners' Federation Bill made
provision for that. It must be agreed that that is a weakness
in any such scheme if the technical men have to be appointed
by bodies outside the industry. t
The Sankey scheme, on the other hand, does not permit of
anything like that representation, even of the Miners' Fed-
eration, upon the council. It is true, the Sankey scheme
makes provision for the National Mining Council. It would
remove from the industry the influence of capital, sharehold-
ers, etc. It is true, there would be a Minister of Mines
under the Sankey scheme, but as the Miners' Federation could
not appoint the technical workers, the representation on the
National Mining Council would not be as to one-half the
representatives of the industry and the other half represen-
tatives of the nation; less than half would be the representa-
tives of the men engaged in the industry, whilst it would give a
preponderance to the Government, the consumers. The Gov-
ernment says, if we appoint people to act on the National Min-
ing Council, they will be there in a representative capacity
and will represent the consumers. I am not prepared to make
that inference from the appointment of Government nomi-
nees. Anyhow, even under the Sankey scheme, which we
think should be adopted, there is provision for the election
of representatives of the workers in the industry, acting on
that national body, both on the manual and the technical
176 WHAT THE WORKERS WANT
side, which if realized must represent the greatest step for-
ward yet attained, because these things only come into exist-
ence upon the established fact that the influence of capitalism
goes out. It might be argued that the Sankey scheme is more
social in its character than even the Miners' Federation
scheme, for a preponderance of the consumers or Govern-
ment's representatives would indicate that the industry itself
was controlled by, and subject to, the decisions of the people
not engaged in the industry, and, therefore, of a very definitely
social character.
Well, the argument I would level against the criticism that
the Miners' Federation scheme is anti-social is that as the
workers, both technical and manual, get into definite control
of a great industry, by having a preponderance of power,
they would realize their dependence and interdependence upon
other industries, and they would realize that any movement
they might initiate which had for its object the raising of the
condition of the men engaged in this industry, at the expense
of men engaged in other industries, would be fatal. There
would be a growing consciousness of that, because of the
growing responsibility.
After all, the miners cannot consume the coal they produce.
It must be exchanged for the material things that go to make
up a miner's life, and I should say that if the miners, because
of their preponderance of influence, wanted to take a rise out
of the community, the retaliation would be so immediate that
they would not proceed. They would realize the interde-
pendence of their industry on other industries in the country.
That is a matter of education.
If the National Mining Council represented all the control
miners were going to have, one would say it is no different
from what they have now. To elect five people out of over
1,100,000 men to represent the rest would not be effective
control. You will find that the delegation of their responsi-
bilities by 1,100,000 men to five men would not be to provide
anything like a personal interest to the 1,100,000. We will
find that in any scheme we may propound, what we are up
WORKERS' CONTROL 177
against all the time is the apparent willingness to delegate
responsibility to others, and it is natural that that should be
so; and yet one deplores it. To see the readiness that men
have in them to delegate responsibility to other people, and
at the same time to criticize those other people for not carry-
ing out the work efficiently, often makes one pessimistic.
Happily, that is not all the control contemplated. If that were
all I should not be advocating it. There is devolution in the
scheme of control for the governance of this industry. Devo-
lution, because only with it can you get individual freedom to
the individual man.
Theorists have spoken of various motivations for work —
" the motive of public service," the " incentive of citizenship
in an industrial democracy." But these excellent ideals will
only be realized in many years, through universal education.
But the incentive on which we of the Miners' Federation rely
is more practical than these. The miner realizes increasingly
the need of producing coal, in order to exchange it for other
commodities which he wishes for a good life. His interest is
not in raising wages with prices going up and outdistancing
wages. His interest is in working out a relationship with all
other workers, which will bring in to him a flow of goods, in
return for his own product. The maximum of production (in
relation to short hours and health) is to his interest.
What the miner wishes, if I understand him, is a moral
relationship to his fellows. That means security, status,
where his work — the product of it — goes to them for their
use ; and their products come to him, and all for the creation
of a good life. For true property — the property which a man's
personality inhabits — home and heirlooms — the miners have
a strong desire. But they are curiously lacking in any ac-
quisitive instinct, any desire for heaping up possessions.
The second stage in our scheme for the governance of the
coal-mining industry is to create district councils. The
functions of the National Mining Council would be in the
direction of determining how the industry is to be developed,
to determine such things as national surveys of the coal-fields,
178 WHAT THE WORKERS WANT
and, through the medium of their experts, very largely of
allotting areas in the country in which new pits had to be sunk.
They would be the persons to determine the annual output of
coal, to determine the price of the coal, and to determine the
various qualities of the coal that had to be consumed in par-
ticular ways. They would also deal with the finance of the
industry. It is contemplated that the finances shall be deter-
mined by the National Mining Council as distinct from the
Exchequer. It is also suggested that a sinking fund should
be founded by the National Mining Council to meet the de-
preciation of machinery, etc. It would also determine,
through representation from authorities beneath, what econ-
omies of a national character could be effected in the indus-
try. Also what surplus, after the sinking fund had been es-
tablished, could go into the National Exchequer to provide
social amenities. It would be the connecting link between
the industry and the nation.
But in the District Mining Councils, it is contemplated that
they should be more or less in keeping with the existing
district or geographical areas. For example, there would be
a District Council for South Wales, for the Midlands, Staffs,
North Wales, Derby, etc. These District Mining Councils
under our scheme would be largely composed in the same
manner as the National Mining Council, i.e., one-half directly
elected in that district by men engaged in the district — and
as you will not have immediately an industrial union, the
other official unions would expect to have a voice in deciding
who should represent them technically. There would also be
representatives of the National Mining Council on the District
Mining Council. They would function in this way. They
would be responsible for carrying out the broad policy laid
down for the district by the National Mining Council. It
would know the output expected to be produced from its
area; it would know the different classes of coal in these
areas which were to be directed into the different channels
of consumption. There would be no interference by the
National Mining Council in the internal administration of
WORKERS' CONTROL 179
that district. There would be no overbearing interference
from the central authority because largely the general terms
agreed to by the National Mining Council have been already
agreed to by the people in the District Councils. They would
be left largely to work out for themselves the efficient produc-
tion of coal in their particular area. They would be respon-
sible for the mechanical improvements in the mines in their
district. They would make suggestions as to the type of ma-
chinery that should be used, and would have regard to the
adaptability of certain positions of the coal-field to certain
types of exploitation and would determine where central pump-
ing stations or central generating stations should be erected.
They would not determine wages, but see that the wages in
their areas corresponded with the wages in the other areas.
In fact, wages would be largely co-ordinated by the Central
Mining Council, which would be a very desirable thing.
The same criticism applies to the District Mining Council as
to the National Mining Council. In South Wales there are
250,000 men engaged in the mining industry. If a district
council was comprised of ten properly elected representatives
of the workers, exclusive of the technical representatives, it
would not be quite satisfactory, I am sure, if that were to be
regarded as the full degree of control that these 250,000 men
had in the industry. It is this desire to get away from the
notion that other men should govern for the majority that
we are constantly insisting upon.
Behind the District Mining Councils, fifteen of which I
think would largely cover the industry, we have the pit or
colliery committees. Now the colliery committees are the best
means, the most democratic means, by which the mass of the
workers can express themselves. The miners might express
themselves only once in five years or once in three years when
they were electing their nominees to sit upon the National
Mining Council, and only once a year when they appointed
their representatives on the District Council. Under this
scheme they can express themselves every day at the colliery.
For at the colliery it is contemplated that there should be set
180 WHAT THE WORKERS WANT
up a Pit Committee comprised exclusively of the managerial
and manual workers — the technical and the manual workers.
The manager by legislation has been made legally respon-
sible by the Government to the Government for the " govern-
ance of the mine." His powers and duties are explicit in the
matter of safety. The manager under workers' control would
be responsible to the Pit Committee. On a disputed matter,
he would probably have the right of appeal against the work-
ers to the District Committee. He would be the elected, the
delegated, representative of the workers, in executive control
of them. He would have the same sanctions, the same author-
ity which the trade-union official has to-day. It is the respon-
sibility, the authority, of the delegated person.
Jointly, they would be responsible for the good governance
of that mine. They would work to try to get their particular
pit to come up to the productiveness under the regulations laid
down for it by the District Mining Council. Suppose a dis-
trict council were to say that Pit A, with its six seams of
coal in operation, could produce 1,500 tons of coal a day, and
that after due consideration has been given to the geographical
position of that mine, the disturbance in the coal seams and
strata generally, that particular mine could produce coal at a
definite cost. The committee at that particular colliery Would
have for its object the production of coal up to that amount,
and at that cost. There would be no need to increase above
that figure, because, if so, that would disturb the general pro-
ductivity for that particular area, and the result would be
that having produced an excess for that area they might find
the cost, later on, would have been increased per ton because
of the depreciation that sets in as a result of having unneces-
sary idle days at the colliery. They would be a joint body
responsible not only for production but for their own safety
in that mine. Instead of, as now, the Government having
to appoint mine inspectors to see that a mine is being properly
conducted in accordance with the Mines Regulation Act, and
instead of the managers of collieries having to appoint what
are known as deputies or examiners to see that a mine is
WORKERS' CONTROL 181
working in such a way as to give the maximum security to
the men consistent with production at the maximum profit,
it would be the business of this committee working with the
men to see that every man should be responsible for his own
safety, or to appoint safety inspectors responsible to the com-
mittee. We would then bring into our circle a larger and
larger group of men, as we invest them with that responsi-
bility. They would have to be educated to understand that
in an ever-widening circle, they had a particular task to per-
form, and they would then soon understand the essential
purpose of that task. They would see that it was their busi-
ness to get their fixed quota of coal from that particular col-
liery, with the maximum security of the men engaged, at the
minimum cost of production. It may be urged that this is
too much to hope for — that the men are only interested in
drawing their wages, that they do not mind what the output
is, that they are not concerned as to the general conditions of
safety, that they do not mind the cost of production. How
can we expect them to change from that mental attitude to
the one I have described? To elect their Pit Committees, to
put forward ideals, both on the managerial side and on the
manual side — how can we expect such a change can take
place without considerable chaos? I do not think the jump
will be quite so sudden, because of the lack of self-reliance,
due to no fault of the miners. As a matter of fact, they are
educated to the average point of working-class education if
not rather above; but they have not yet been blessed with
the opportunities of getting that kind of education which
could lift them out of the influence of the wage-system
mentality. That will all be a question of time before we can
get the most insignificant man at a colliery to take an active
part or to assume active responsibility in his work. That will
take time — ten, fifteen, twenty years, but after all, that is
not much in the history of the working class, and certainly it
is a short time as compared with the history of the wage sys-
tem. First of all, there would be a ready willingness to dele-
gate responsibility to their Pit Committee, but as they grew in
182 WHAT THE WORKERS WANT
experience of the work of their Pit Committees, so would their
social outlook grow, and as that grows so will their willing-
ness grow to accept responsibility; so will their interest grow.
Sometimes I feel that there is a great mountain of indiffer-
ence even in the mining movement. I know the reason for
that indifference. But it can be reduced to smaller and smaller
proportions, even though men act blindly in the initial stages
in electing men to control their pit. Out of the most deplor-
able willingness to delegate responsibility to others will come
an increasing reluctance to delegate responsibility to others.
You will never have a state in society where you will not
find responsibility delegated, but it will grow, in my judgment,
smaller and smaller. We must expect the old willingness to
delegate, to manifest itself under this scheme, but it will
gradually disappear. That may be optimism, but it accounts
for all my faith in the labor movement. It will get further
away from the slave idea of delegating responsibility, but as
long as the working class has that outlook they will be slaves.
Workers' control is a means, and not an end. Work in the
modern industrial world is unpleasant for the majority of
workers. They will find their expression as human beings
outside the working hours — in the use of leisure for family
life, education, recreation, a hobby. Control they will use to
get efficient management and machinery, with which to shorten
hours to the minimum which is consistent with the essential
work of high production. Control, they wish, to save them
from the waste and insecurity and long hours of the present
system, which leaves no secure and creative leisure. A mini-
mum of work consistent with a production which will give suf-
ficient commodities for a good life for all workers: they will
use control to obtain that. But control will never of itself be
an answer to the instincts thwarted by standardized machine
industry. The answer will be found outside of working hours.
I am quite sure that in this scheme for control of industry
which I have had to sketch in very general terms in order to
give, as it were, a general grasp of it, we will see how near
that is to a concept of Guild Socialism. It is an attempt to
WORKERS' CONTROL 183
establish it, but it would certainly not result in Guild Social-
ism, but in a Guild. We must have all our essential industries
as guilds before we can have Guild Socialism. Progress will
be accelerated in the other industries in proportion as this
scheme is successful. It must inevitably be successful, though
we must go through much trouble before we reach our goal. I
would have people consider these definitely constructive ideas
as applied to coal-mining, because they have for their object
the bringing into the industry the active participation of every
man engaged in it. These ideas are of a social character, not
anti-social in any way, and only along these lines can we have
real industrial democracy.
CHAPTER II
THE SHOP STEWARDS AND WORKERS'
COMMITTEE MOVEMENT
By J. T. MURPHY
[Mr. Murphy is chairman of the Sheffield Workers' Com-
mittee and has been one of the dozen leaders of the shop
stewards' movement in Great Britain. By general consent of
those in the movement he is regarded as the most brilliant
" extreme left " interpreter of their aims, methods, and struc-
ture. At present, the unofficial shop stewards' movement is
at ebb tide, because of the percentage of unemployed in the
metal trades. The man at the gate determines the status of
the man at the bench. The official shop stewards' movement
is in the position of having succeeded : it has won recognition.
So the movement — official and unofficial — is for the mo-
ment non-militant. It will resume and heighten its activity
through the next five years. The shop stewards' movement
is "official," when the trade unions are in executive power
over the individual shop stewards and their committees. It
is " unofficial " when it is elected regardless of craft, as rep-
resentative of all grades of workers in an industrial group,
when it acts extra-constitutionally of the trade unions, refusing
to recognize the authority of the national and district union
officials, and when it pursues " larger ends " than matters of
welfare, output, and rates agreements — namely, " ever-increas-
ing control of the workshp."]
IT is very questionable indeed whether the men who were re-
sponsible for the creation of the position of shop steward
within the trade unions anticipated the important part the
shop stewards were destined to play in the history
184
THE SHOP STEWARDS 185
of the working-class movement. For years, the shop
stewards had been performing quite a subordinate part in
their organizations, when suddenly they were swept into the
limelight of great events. Statesmen interviewed them, met
them in conference, and addressed meetings under their con-
trol. The press abused them as agitators and the official
trades-union leaders looked upon them with reproach.
These incidents, however, were but the outward signs of
the beginning of an epoch in the history of industrial labor
organizations. Two important developments followed the
outbreak of the War — an industrial revolution 1 on the one
hand and legislative enactments which gagged the activities
of the trades unions on the other.
The further the industrial revolution proceeded the greater
were the demands on the trades unions and the less capable
were they of response. Of necessity, the problems were
thrust back for solution to the places from which they arose,
viz., the workshops, and hence the growth of the shop stew-
ards and workers' committee movement.
The outsider, prone to think in static terms, usually wants
to know what kind of " organization " the " Workers' Com-
mittee" happens to be, what is its structure, how many con-
tributors there are to its funds, and so on.
The student of labor organizations, however, will be well
advised not to attempt to measure the righting strength or
influence of this "movement" (I say movement advisedly)
in these terms or he will make great mistakes in his estimates.
There is a definite form of organization advocated and
recognized, it is true, but only approximations, more or less
remote, in existence. Briefly expounded, the structural as-
pects of the movement are as follows: The unit of organiza-
tion is the workshop or industrial group. In each workshop
a committee of stewards or delegates is to be elected. These
delegates should be elected as workers and not by trade, etc.
Each workshop committee should elect a delegate to a
1 New machinery, the scrapping of old practices and processes, the
bringing in of dilutees.
186 WHAT THE WORKERS WANT
works committee. All the workshop committees in a local-
ity should also have delegates to a local council or workers'
committee, which is departmentalized according to industry.
The national structure would be similar to the local work-
ers' committee on a larger scale, thus giving national industry
departments with their executive committees within a Na-
tional Workers' Council or congress.
The immediate significance and power of the committees
varies from time to time as different crises arise. • But the
movement as a whole has greater significance than any of its
immediate manifestations may appear to indicate. What that
" greater significance " is will be clearer when we have ex-
amined its growth and character.
Prior to 1914 there were not many shop stewards, and
what there were belonged mainly to the skilled organizations.
Their functions consisted largely of examining pence cards
of members, safeguarding the " trade " from encroachments
by other sections of labor, keeping the shops clear of non-
unionists as far as possible, sometimes taking grievances up
and interviewing the foreman, or reporting matters to the
trade-union branch. It will be clearly recognized, therefore,
that to a very large section of trade unionists shop stewards
were not unknown persons, although they might not all have
troubled to elect them. The stewards also were not organ-
ized as such, but were under the jurisdiction of their separate
organizations. However, there were the elements in the
workshops when the impetus to the industrial developments
was given by the urgencies of war.
These developments, it must be observed, were such that
there was a general invasion of the trades by all kinds of
what had been outside labor. The drastic changes involved
were not long in producing trouble, but prior to the disputes
on dilution the Clyde engineers were due to receive an ad-
vance in wages in January, 1915. They had been bound by
a three years' agreement up to this date and had fallen behind
other districts. The manoeuvering of the employers and the
faint-hearted muddling of the officials over months of nego-
THE SHOP STEWARDS . 187
tiations resulted in an unofficial strike. The organization thus
brought into being became known later as the Clyde Workers'
Committee. It was composed of stewards elected in the work-
shops. In its early stages, there were delegates from engi-
neers,1 boilermakers, blacksmiths, shipwrights, coppersmiths,
sheet iron workers, electrical trades, joiners and carpenters,
gas and general workers, and coopers. Now it should be
observed that these stewards or delegates might be officially
or unofficially elected, but all combined together in the Clyde
Workers' Committee which functioned unofficially.
This duality has its obvious advantages and disadvantages.
There is the possibility of complete unanimity on some par-
ticular issue, of official and unofficial committees. There is
the possibility, as in the dispute referred to, of complete rank
and file opposition to the official body.
Varying degrees of influence come between these two posi-
tions, but the point to be observed is that at some moment,
according to the nature of the crisis which may arise, the
power of the unofficial committee may be equivalent to the
sum-total of the trades-union membership in the locality. For
example, at the time of the 1915 Clyde dispute all the engi-
neering shops of any note were affiliated, representing about
45,000 workers. At a later date, however, when the Clyde
Workers' Committee had extended its area of delegation and
included delegates from Miners' Reform Committees, cap
and hat workers, teachers, railwaymen, building trades, etc.,
whilst potentially it was much greater, it probably could not
count on even 45,000 for immediate support.
Being composed of delegates it reflects the degree and na-
ture of the activity among the rank and file. If the latter are
apathetic, the committee is correspondingly weak. If, also,
the officials are responsive to the demands of the rank and file,
the unofficial committee may be neglected, and the natural
tactics adopted are those of combined effort. Individual mem-
bership is only retained through the delegates except in small
firms where little group organizations exist. To count the
1 Engineers are machinists.
188 WHAT THE WORKERS WANT
individual membership at any moment is out of the question
and would be worthless for estimating the power of the or-
ganization.
There it is, partly official, partly unofficial, taking all labor
for its province, as sensitive to the life of the workshops and
factories, etc., as any organization can be.
The details of the workshop organization vary, but vary as
they may, the workshop is the unit of organization. Radiat-
ing from the Clyde, committees of a similar character to the
Clyde Workers' Committee have sprung up in Edinburgh,
Invergordon, Aberdeen, Dundee, Dunfermline, Rosyth, Leith,
Greenock, Kilmarnock, and Dumfries, and all of them send
delegates to a Scottish council in Glasgow.
Now it may be asked, what are the functions of these
bodies? There are few activities which they do not pursue
within the limits of the working-class struggle. They have
fought on wages issues, on dilution of labor, on the raising of
rents, were partly responsible for the English Rent Act,
conducted extensive propaganda, fought on the political issues,
and controlled a variety of matters in the workshop. They
are loosely formed, potentially great in power, and sensitive
to any issue which stirs the workers. Their rules, structure,
principles, and objects read as follows:
STRUCTURE
The unit of organization shall be the Workshop Committee,
composed of the stewards elected in the various departments.
Stewards shall be elected, irrespective of the particular Trade
Union they belong to.
The Plant Committee shall be composed of representatives from
the department committees.
The local or district committee shall be composed of representa-
tives from the various Plant Committees.
The National Administrative Council shall be composed of an
agreed-upon number of representatives, who shall be elected by
ballot of the whole of the affiliated local Committees.
No committee shall have executive power, all questions of policy
and action being referred back to the rank and file.
THE SHOP STEWARDS 189
PRINCIPLES
Direct representation from the workshop to Committees.
The vesting of control of policy and action in the rank and file
OBJECTS
To obtain an ever increasing control of workshop conditions,
the regulation of the terms upon which the workers shall be em-
ployed, the organization of the workers upon a class basis to
prosecute the interests of the working class until the triumph of
the workers is assured.
SHOP RULES
The employers shall have no jurisdiction over the election of
any shop committee.
The Stewards shall be the recognized medium to conduct any
negotiations on workshop grievances.
No individual bargaining shall take place between the workers
and representatives of the employers.
Any proposed changes to existing shop practices or conditions
in the various departments shall be first notified to the stewards
of the departments through the Secretary of the Works Com-
mittee.
Stewards and the requisite officers shall be elected for six
months, and may be eligible for re-election.
There shall be frequent shop meetings to report progress.
All questions involving dispute shall be referred to the rank and
file for mandate.
The effect of this movement on official organizations will
be seen when we deal with its growth in other centers. I
have shown how the Clyde Workers' Committee arose in a
crisis arising out of a wages issue in 1915. The next commit-
tee I will use to illustrate the varying character of the move-
ment is the Sheffield Workers' Committee.
This did not come into being until early in 1917. In fact,
the Clyde Workers' Committee remained isolated for a con-
siderable period, and it was not until the industrial changes
and the call for the withdrawal of skilled workers for the
190 WHAT THE WORKERS WANT
army had aroused the English workers that there was any
important development. The birth of the Sheffield Workers'
Committee followed a crisis produced by the wrongful with-
drawal of an engineer into the army. For some months
strenuous efforts had been made to get the skilled engineers
to elect stewards. What propaganda did not effect, the crisis
accomplished. Within a fortnight the number of shop stew-
ards elected officially rose to about 350. They were all mem-
bers of the skilled organizations. The officials could not func-
tion in the crisis and the stewards formed an unofficial stew-
ards' committee. They struck work, won the issue, and this
incident set the movement going in town after town. Imme-
diately after the strike it was decided to invite the unskilled
and women workers to organize with them, form workshop
committees, and form the Sheffield Workers' Committee.
This step was urged to control the dilution of labor, the prin-
cipal idea being to enforce the payment of the proper rates of
wages as the workers were transferred from one kind of
labor to another. This committee grew in power, in the en-
gineering industry primarily, until between 20,000 and 30,000
engineering workers were associated with . the committee.
Again it must be observed that, although associate member-
ship cards were issued, at no time in the history of the com-
mittee did more than a few thousand contribute regular sub-
scriptions. This committee extended itself to workers in
other industries, such as building workers, tramway workers,
and miners.
Two important developments must now be observed. The
extension of unofficialism and the reaction on the official or-
ganizations. A crisis may unite many organizations. A crisis
may also be a disintegrating force. The fight on military
service united a number of skilled workers. The dilution
issue brought these into line with semi-skilled laborers and
women workers. The extension of dilution to other than war
work, plus the further call for skilled workers for military
service, divided them again and revived official activity, es-
pecially in the skilled unions.
THE SHOP STEWARDS 191
This happened with the May strike of 1917 on the issues
just mentioned. This strike was unofficial, though much of
it was conducted by the local official committees acting un-
constitutionally. It was a big strike, involving at one time
about 200,000 workers. The Scottish workers did not join
in, nor did all the English workers at the same time. It
started in a few centers : Manchester, Sheffield, Coventry, and
then spread to London, Luton, Southampton, Crayford, Bol-
ton, Bradford, Leeds, Liverpool, Barrow.
Afterwards stewards' committees sprang up in all direc-
tions. A national conference was called in the Milton Hall,
Manchester, in August, 1917, at which delegates attended
from the following towns : Manchester, Barrow, Bolton, Brad-
ford, Bristol, Chatham, Coventry, Crayford, Dalmuir, Els-
wick, Halifax, Invergordon, Leigh (Lanes), Leeds, Liverpool,
Newton-le-Willows, Salford, Stockport, Clyde, London, and
Sheffield.
A national committee was set up to co-ordinate the activi-
ties of the local unofficial committees. Not all of these were
workers' committees. They ranged from craft union steward
committees to committees, such as the Clyde Workers' Com-
mittee already described.
The unconstitutional action of the official committees led
to the formation of another national committee of engineering
trades unions, and in the various localities attempts were made
to combine the stewards and bring them wholly under official
jurisdiction. This met with varying degrees of success.
The Clyde Workers' Committee retained its complete inde-
pendence of official control and stands to-day with much wider
scope than ever before. The Sheffield Workers' Committee
suffered. Officialism revived and took considerable strength
from the Sheffield Workers' Committee, but was and is dis-
organized in itself. A multitude of unions exist with no con-
nected policy or organization. There may be hundreds of
stewards (to obtain exact figures is impossible at present)
among the 50,000 engineering workers there, but they are
acting separately.
192 WHAT THE WORKERS WANT
The Sheffield Workers' Committee stands independent at
low water mark among the engineering workers, but extend-
ing in influence among the miners, tramwaymen, and the like,
in and about the locality. So low an ebb did it reach that it
had to resolve itself into practically a propagandist body of
industrial unionists. Its extension to other industries than
engineering is rapidly reviving its delegatory character.
On the other hand, the Coventry workers have been de-
veloped on different lines. Coventry is mainly an engineering
center and the organization of the workers there was confined
to engineering workers. From almost complete unofficialism
it has swung in the opposite direction and carried with it a
number of the features they were striving to obtain unoffi-
cially. First of all, the engineering trade unions in the local-
ity, embracing about 40,000 workers, formed the Coventry
Engineering Joint Committee. The shop stewards at one
time had their committee outside this, whilst still remaining
members of the organizations. Now, however, the unofficial
committee is confined to a few firms and in the rest, official
control is exercised.
SHOP RULES AND INSTRUCTIONS FOR STEWARDS
The shop rules and instructions to stewards by the trade
unions are as follows:
1. That the Coventry Engineering Joint Committee shall be the
Executive Committee over all Shop Stewards and Works
Committees affiliated. Any change of practice in any shop
or Works must receive the consent of the Joint Engineering
Committee before being accepted by the men concerned.
2. That all nominees for Shop Stewards must be members of
Societies affiliated to the C.E.J.C. (Coventry Engineering
Joint Committee).
3. Stewards shall be elected by ballot for a term not exceeding
six months ; all retiring Stewards to be eligible for re-election.
4. Each Section shall be able to elect a Steward, irrespective of
Society.
THE SHOP STEWARDS 193
5. The Stewards of each Department shall elect a Chief Steward.
6. The Chief Stewards of Departments shall constitute the
Works Committee, who, if exceeding twelve in number, can
appoint an Executive Committee of seven, including Chairman
and Secretary.
7. All Stewards shall have an official Steward's Card issued by
Joint Committee.
8. Each Steward on being elected, and the same endorsed by his
Society, the Joint Committee Secretary shall send him an
official card.
9. The Steward must examine any man's membership card who
starts in the Shop in his Section. He should then advise
the man to report to his respective Secretary, and give him
any information required on rates and conditions, etc. There
shall be a show of cards every month to ascertain if every
member is a sound member, and if any member is in arrears
eight weeks, he must report to the Chief Steward.
10. If there is any doubt of any man not receiving the district
rate of wages, the Steward can demand to examine pay
ticket.
11. Any member accepting a price or time basis for a job must
hand record of same to his Section Steward, who shall keep
a record of times and prices on his Section of any work, and
hand the same to Chief Shop Steward.
12. The Chief Steward shall keep a record of all times and prices
recorded to him by Sections of his Department. On a Section
being not represented, he shall see to the election of Steward
for such Section.
13. Any grievance arising on any Section must be reported to
Chief Shop Steward, who shall, with Steward on Section and
man concerned, interview foreman or manager. Failing re-
dress, the Chief Steward then to report to the Works Com-
mittee.
14. The Works Committee shall be empowered to take any case
of dispute before the Management, not less than three to
act as deputation.
15. On the Works Committee failing to come to any agreement
with the Management, they must immediately report to fhe
Engineering Joint Committee, who shall take up the matter
with the Firm concerned, a representative of the Works Com-
WHAT THE WORKERS WANT
mittee to be one of the deputation. It is essential, pending
negotiations, that no stoppage of work shall take place with-
out the sanction of the Engineering Joint Committee.
16. A full list of all Shop Stewards must be kept by the Joint
Committee. Any change of Stewards must be reported to
the Joint Committee's Secretary.
17. The Joint Committee shall be empowered to call meetings
of Stewards at any Works; also meetings of all Chief
Stewards in the district when the Joint Committee so decides,
if necessary.
18. If, at any time of dispute, the Engineering Joint Committee
decides upon withdrawal of its members from any Firm or
Firms, the Stewards shall be issued a special official badge
from this Committee with the idea of assisting to keep order,
if necessary, in the interests of the members concerned.
It should be noted that there are a few societies unattached
to the joint committee, such as the draughtsmen and tool-
makers. But these join with them on any important
issues.
There are about a dozen large firms in Coventry with works
committees and in all about 400 stewards or delegates. At
one time, in a crisis, there were 1,000 stewards. The differ-
ence between these figures indicates the changes on the " un-
rest " barometer. A further feature of great importance to
every observer of the psychological changes in the working-
class outlook and the future character of industrial organiza-
tion is contained in Rule 4 : " Each section shall be able to
elect a steward, irrespective of society."
This had been advocated by the unofficial movement for
some time, although in its early stages and in the majority
of the committees to-day the structure of the shop commit-
tees follows that outlined in The Workers' Committee.1 The
writer readily agrees that the development is a sound one and
experiments in several shops on the Clyde and in other places
have justified the efforts in this direction.
Wherever the sectional unions can be eliminated it is all to
1 Pamphlet by J. T. Murphy.
THE SHOP STEWARDS 195
the good. Every crisis has proved that, wherever they are
retained, whether in the workshop or out of it, in joint com-
mittee, and the like, they act as disintegrating factors. The
experience of the Coventry Engineering Joint Committee pro-
vides a classic example in the embargo dispute of 1918. All
the societies on the committee were agreed on the issue and
yet two of the societies broke away and precipitated a sectional
strike.
Two features in the structural objectives are now clearly
indicated. First, the all-embracing character of the move-
ment, and second, its elimination of sectional unionism in the
workshops.
Turning our attention to the activities within the shops, as
distinct from the harnessing of particular agitations, we have
to observe the variations according to the degree of internal
development of the workshop organization.
It will be well to compare, therefore, the Coventry instruc-
tions with the agreement arrived at between the trades unions
and the Employers' Association:
Copy of
MEMORANDUM OF AGREEMENT
between
ENGINEERING EMPLOYERS' FEDERATION
and
Steam Engine Makers' Society.
United Machine Workers' Association.
Society of Amalgamated Toolmakers, Engineers, and Machinists.
United Kingdom Society of Amalgamated Smiths and Strikers.
Electrical Trades Union.
National Society Amalgamated Brassworkers and Metal Me-
chanics.
United Journeymen Brassfounders, Fitters, Turners, Finishers,
and Coppersmiths' Association of Great Britain and Ireland.
Amalgamated Society of Coremakers of Great Britain and
Ireland.
Workers' Union.
196 WHAT THE WORKERS WANT
National Union of General Workers.
National Amalgamated Union of Labor.
National Amalgamated Union of Enginemen, Firemen, Me-
chanics, and Electrical Workers.
Blacksmiths and Ironworkers' Society.
REGULATIONS REGARDING THE APPOINTMENT AND
FUNCTIONS OF SHOP STEWARDS
London, December 20, 1917.
IT IS MUTUALLY AGREED AS FOLLOWS :
With a view to amplifying the provisions for avoidance of
disputes, it is agreed:
1. The workmen who are members of the above named Trade
Unions employed in a Federated establishment may appoint
representatives from their own number to act on their behalf
in accordance with the terms of the Agreement.
2. The representatives shall be known as Shop Stewards.
3. The method of election of Shop Stewards shall be determined
by the Trade Unions concerned. Each Trade Union parties
to this Agreement may appoint Shop Stewards.
4. The names of the Shop Steward and the shop, or portion of
shop, in which they are employed, and the Trade Union to
which they belong, shall be intimated officially by the Trade
Union concerned to the management on election.
5. Shop Stewards shall be subject to the control of the Trade
Union and shall act in accordance with the Rules and Regu-
lations of the Trades Union and Agreements with employers,
so far as these affect the relations between employers and
workpeople.
6. In connection with this Agreement, Shop Stewards shall be
afforded facilities to deal with questions raised in the shop,
or portion of the shop, in which they are employed. In the
course of dealing with these questions, they may, with the
previous consent of the management (such consent not to be
unreasonably withheld), visit any other shop, or portion of a
shop, in the establishment. In all other respects they shall
conform to the same working conditions as their fellow-
workmen.
7. Employers and Shop Stewards shall not be entitled to enter
THE SHOP STEWARDS 197
into any agreement inconsistent with agreements between the
Engineering Employers' Federation or Local Associations and
Trades Unions.
8. The functions of Shop Stewards, so far as they are concerned
with the avoidance of disputes, shall be exercised in accord-
ance with the following procedure:
(a) A workman or workmen desiring to raise any ques-
tion in which he or they are directly concerned, shall
in the first instance discuss the same with his or their
foreman.
(b) Failing settlement, the question shall, if desired, be
taken up with the management by the appropriate Shop
Steward and one of the workmen directly concerned.
(c) If no settlement is arrived at, the question may, at the
request of either party, be further considered at a
meeting to be arranged between the management and
the appropriate Shop Steward, together with a depu-
tation of the workmen directly concerned.
At this meeting the Organizing District Delegate
may be present, in which event a representative of
the Employers' Association shall also be present.
(d) The question may thereafter be referred for further
consideration in terms of the provisions for avoidance
of disputes.
(e) No stoppage of work shall take place until the question
has been fully dealt with, in accordance with this
Agreement and with the " Provisions for avoiding
disputes."
9. In the event of a question arising which affects more than
one branch of trade, or more than one department of the
works, the negotiations thereon shall be conducted by the
management with the Shop Stewards concerned. Should the
number of Shop Stewards concerned exceed seven, a depu-
tation shall be appointed by them, not exceeding seven, for
the purpose of the particular negotiation.
10. Negotiations under this Agreement may be instituted either
by the management or the workmen concerned.
11. The recognition of Shop Stewards is accorded in order that
a further safeguard may be provided against disputes arising
between the employer* and their workpeople.
198 WHAT THE WORKERS WANT
12. Any question that may arise out of the operation of this
Agreement shall be brought before the Executive of the
Trade Unions concerned, or the Federation, as the case
may be.
The agreement retained the recognition of the individual
societies inside the workshops as well as out.
The Coventry Engineering Joint Committee has gone fur-
ther and eliminated the division in the shop, and a number
of firms have their works committee elected irrespective of
society, whilst all their activities come under the control of
the Engineering Joint Committee. The activities go a little
further than those described in the agreement quoted and
they come very close to the Whitley proposals. They meet
the employers once a month and discuss anything for the
comfort and welfare of the workpeople and ways and means
for facilitating output.
The unofficial committees take the trade-union rates agree-
ments, etc., as something to be enforced as a minimum, using
them simply as a means to larger ends. These larger ends,
however, are what distinguish them from all the other com-
mittees.
They work for " an ever-increasing control of the work-
shop " until all the functions of management pass into the
hands of the working class as a means to the complete expro-
priation of the employing class as such. These committees on
their own cannot go further than the rest of the committees,
but through their membership within the official committees
and out of them, they perform several functions. They reach
out to all sections of labor ; they are continually experimenting
with details of organizations such as the elimination of sec-
tional unionism in the shops, and they stand at the center of
all movements in the localities where they have become thor-
oughly established, capable of harnessing crises which may
lead to revolutionary developments.
In these features we recognize their relationship to indus-
trial unionism of the various schools from the Chicago Con-
THE SHOP STEWARDS 199
vention of 1905 until now. The value of counting heads I
have already commented on. Whilst there are National Com-
mittees co-ordinating some twenty committees in England
and some twelve Committees in Scotland, this by no means
represents the growth of the movement. Among the miners
are scores of reform committees. Among the railwaymen
are also many reform committees. These are not linked up
with the rest whilst they are akin.
As a movement it is therefore incapable of measurement
with a yardstick. Its outward manifestatjons vary. A period
of unemployment dissipates the strength of the unofficial com-
mittees and consequently sends energy back again into official
channels. A crisis may sweep official (particularly the local
officials) and unofficial elements along together. In such a
crisis the personnel of the unofficial committees may become, in
the crisis, the personnel of the movement as a -whole. For ex-
ample, the writer was at one and the same time a member of
a trade-union district committee, convener of stewards for
the same trade union, and Secretary of the Workers' Commit-
tee in the district. A crisis came. The official trade-union
committee suspended themselves, and the stewards worked
through the Workers' Committee.
To sum up the position : the Workers' Committee movement
is extending through the British labor movement and mani-
festing itself in a variety of forms and directions. It is asso-
ciated with definite revolutionary ideas, and is intent on abol-
ishing capitalism.
It is the result of the application of industrial unionist
ideas to historically produced situations without a complete
breakaway from the organized trade unions. Whether the
complete merging of the trade unions and the complete
adaptation to the demands of the epoch we have now entered
can be accomplished rapidly enough is doubtful. Event fol-
lows event so rapidly and old organizations are so slow to
change that time may cast them on the scrap heap.
Whichever may be the case, the ideas associated with the
Workers' Committee have come to stay. If the official move-
200 WHAT THE WORKERS WANT
ment can adapt itself, then the nature of its adaptation will
be on the lines indicated by the Workers' Committee. If it
cannot, then the latter will win through unofficially. At
least, the times appear to indicate such conclusions to the
writer.
CHAPTER III
THEIR IDEAS
By J. T. MURPHY
[This chapter is on the ideas, the men, the instinctive mass
movement, and the economic conditions, which have helped
to create and shape the small revolutionary wing of British
labor. An American will note that the impulse has received
a little of its earlier shaping from an American movement.
This is natural, because a partially suppressed labor move-
ment, such as that of unskilled labor in the United States,
swings to the left. This chapter makes clear the philosophy
that lies hidden in some of the shop stewards' movement. Mr.
Murphy sets out the effect of political parties, educational
classes, the propaganda of industrial unionism, and the syn-
dicalists, on the growth of the unofficial industrial movement
of Great Britain, including the shop stewards' movement. The
shop stewards created during the War many of the workers'
committees to which Mr. Murphy refers.]
THE long, steady growth of the trade-union movement in
Great Britain has presented us with phenomena of such a char-
acter that the industrial unionists, who set out to build new
industrial unions to compete with and ultimately wipe out the
trade unions, stood little chance of success. Every attempt to
establish the I.W.W. on a large scale has failed. The organi-
zation known as the Industrial Workers of Great Britain,
which later changed its name to the Workers' International
Industrial Union [Workers' Union], and stood for practically
the same organization as the I.W.W., reached a member-
201
202 WHAT THE WORKERS WANT
ship of about 4,000 at best. The Building Workers' Indus-
trial Union has been subject to a similar fate, and for ex-
actly the same reasons which determined the form and
character of the Workers' Union. The pioneers of the
Workers' Union — Tom Mann and Charles Duncan — looked
to this union as an all-embracing union of the working
class.
But because there existed prior to its formation, large,
stable organizations of skilled workers, whose vested interests
and traditions had not yet been thoroughly disturbed, they
could only absorb or enroll those workers who were outside
these unions. Hence the Workers' Union became largely a
union of general labor, unskilled and semi-skilled. That it
enrolled numbers of skilled men is true, but ere long they
were arranging agreements with skilled unions with regard
to what is called poaching of members. The vested interests
of the unions, such as out-of-work pay, superannuation, sick
benefit, and so on, produced a conservatism which has been
a considerable bulwark against the onslaughts of the I.W.W.,
the Industrial Workers of Great Britain, and such-like organi-
zations. It must not be thought, however, that because these
organizations are small that the propaganda of industrial
unionism has had no effect.
Since 1903, when the Social Democratic Federation split on
the issue of industrial unionism, the small but vigorous body
known as the Socialist Labor Party has carried on a persist-
ent propaganda. Its principal center was Glasgow, and in
this city the Industrial Workers of Great Britain thrived best,
and here also probably more experiments have been tried in
the application of the industrial unionist principles than in
any other town in Britain.
James Connolly, the Irish labor leader, who perished in
the Easter rising, was one of the pioneers of industrial union-
ism in Glasgow, and his pamphlet, Socialism Made Easy, is
still widely sold. The Socialist Labor Party remained small in
membership for a long time, but the small group of men who
THEIR IDEAS 203
were trained in their classes * have 'since played a prominent
part in the struggles toward industrial unionism through the
many industrial fights in Glasgow and elsewhere.
The Socialist Labor Party started its own press, and from
here have come incessantly for years thousands of Daniel De
Leon's 2 pamphlets, and Kerr's social science and sociological
publications. However insignificant the party membership
may have been, the effect of the work of the press has been
influential in the fermentation of ideas on industrial unionism.
The Independent Labor Party has never stood for industrial
unionism. The British Socialist Party did not, until a year
ago it half-heartedly supported it. The tendency of these
two political parties is to support trades unionism, and stress
the conquest of Parliament. But through numbers of their
branches the publications have circulated and a goodly number
of the members of each party now propagate the Socialist
Labor Party slogan.
The Socialist Labor Party, from its inception, was so severe
in its restrictions on the liberty of its members so far as
theory and practice were concerned, that its development was
retarded. Since the Russian Revolution and the many experi-
ences of its members in the industrial conflicts of the last
1 Under the tuition of T. Bell, editor of the Socialist, and ex-
president of the Scottish Ironmolders, and T. Clarke of the Engi-
neers, the classes have since played a prominent part in the struggle.
In the classes, the works of Marx, Engels, Morgan, De Leon, were
thoroughly studied. Hence we find the materialist conception of
history stressed as a means to understand social movements, and
industrial unionism offered as the solution to society's problems.
From the classes came A. MacManus, chairman of the Shop Steward
Workers' Committee, J. W. Muir, of the Clyde Workers' Committee,
and W. Paul. The latter is not connected with the industrial move-
ment. He is, however, a speaker of considerable ability, and has done
much to spread the class movement in the Midlands. For a con-
siderable period some of the speakers simply reflected De Leon, and
it was not until they had passed through many experiences that we
can see an independent direction given to the impulse towards indus-
trial unionism, coincident with the peculiarities of British Labor
History.
2 See Appendix, Section 5, Chapter 2.
204 WHAT THE WORKERS WANT
four years, there has been a recasting of the constitution,
which now recommends the same kind of industrial organiza-
tion as the Workers' Committees. Their preamble reads, after
making the same declaration with regard to the class struggle
as that of the I.W.W., drawn up at the 1905 Chicago Con-
vention, " The unit of organization industrially is the work-
shop or yard committee, wherein the workers are organized
as workers, irrespective of craft, grade, or sex. These com-
mittees are co-ordinated by the formation of Works or Plant
Committees, composed of delegates from each workshop or
yard committee. The Plant or Works Committees are co-
ordinated by delegates from each of these committees, in a
village, town, city, or district, forming a Workers' Council,
in which there are also delegates from the residential com-
mittees, these latter being the units of the social aspects of the
organization." 1
In addition to the Socialist Labor Party, there are the
Workers' Socialist Federation, the British Socialist Party, and
the Communist League, advocating practically the same struc-
ture. Certain tactical differences exist between these organi-
zations which are delaying the fusion of these bodies into a
single Communist Party. When it is considered, too, that a
section of the Independent Labor Party is working in accord
with those mentioned, the amount of political propaganda,
assisting the spread of the Workers' Committee ideas, will
be recognized. However insignificant the outward structural
appearances may be, the latent ideas among the organized
workers are of no small volume. The outstanding figures of
the British Socialist Party, so far as this workshop movement
is concerned, are W. Gallacher and George Peet. They are
known more by their activities in this movement than by
their membership of a political party. Gallacher is the chair-
man of the Clyde Workers' Committee. Peet is the national
Secretary of the Workers' Committees. The activities of
the political bodies, apart from the Socialist Labor Party, until
1 For this development, no doubt A. MacManus, T. Bell, and J. T.
Murphy are mainly responsible.
THEIR IDEAS 205
recently have been rather meager so far as industrial unionism
is concerned. The Socialist Labor Party was largely cen-
tered in Scotland, but nevertheless had an extensive influence.
England has been subject to propaganda influences from two
other directions, vis., the Central Labor College,1 and syndi-
calist propagandists, such as Tom Mann. With regard to
the Labor College, which is now the possession of the Na-
tional Union of Railwaymen and the South Wales Miners'
Federation, the clear-cut Marxian teaching conducted there
has resulted in the production of a number of active industrial
unionists, who have gone back particularly to the Welsh coal-
fields and exercised great influence. The students produce a
magazine of their own called the Plebs Magazine, and by
forming classes in many towns and districts, they give an
impetus to working-class education. Every week hundreds of
classes under the auspices either of the Labor College or
the Socialist Labor Party, or some local Labor College
group, now affiliated to the Labor College, are 'grappling with
economics, industrial history, and like subjects. The effect
was commented upon by the Government Commissioners of
Industrial Unrest in 1917, particularly in South Wales. In
nearly every large town classes, varying from thirty to eighty
members, are attending several nights per week during the
winter months. The writer, during the whole of last winter,
for example, had two classes per week, with an average at-
tendance of forty students. Other teachers were doing like-
wise. Now, when it is remembered that these classes to which
I refer are producing industrial unionist students capable of
expressing themselves, it will be realized that weighty forces
are persistently at work throughout the whole of the trade-
union organizations, suggesting and applying the principles
for which they stand. In South Wales in particular, men
such as Noah Ablett, Reynolds, and Mainwaring, with many
others, have succeeded in making marked advances in the
1 Now, the Labor College. It has 27 students in residence, but
through correspondence and tutorial classes, it reaches 6,000 students
a year.
206 WHAT THE WORKERS WANT
direction of industrial unionism, not by creating a fresh or-
ganization, but by modifying the existing organizations and
bringing the South Wales Miners' Federation in part under
their control.
With regard to the syndicalists, Tom Mann 1 has been un-
iTom Mann, regarded 'by many as the "Stormy Petrel" of the
British Labor movement, has had a remarkable influence in several
important directions. His efforts to organize the unskilled workers
are well known. So also the part he Clayed in the Dockers' strike of
1889, and the transport strike of 1911. His positive contributions lie
in those directions, along with his amalgamation propaganda as exem-
plified in his campaign for syndicalism. His anti-parliamentarism
created a prejudice against him for a long time, which now becomes
an asset, as the feeling against parliamentarism becomes more general.
But for some reason he has not yet given, he entered and topped the
poll in the Amalgamated Society of Engineers Parliamentary candi-
date election. It is this apparent vacillation in tactics and his repeated
appearance in unexpected quarters that have created a certain amount
of distrust as to his capacity to hold the leading-strings of an organi-
zation such as the A.S.E. He has tried to become General Secretary
of this Society several times and failed, but he succeeded in getting
this position in 1919. He likes the freedom of the " free-lance," to
be a working-class gladiator in any part of the arena where the fight
is raging, and whilst preaching organization chafes at the restraint
which organization imposes. He has had a dramatic career, a wide
experience, and is, besides being an agitator, capable of leadership.
But any office will sit lightly upon him for the temperamental reasons
I have indicated. At sixty-four he is full of vitality, and the glamor
of the fight is upon him. He may head a revolutionary movement, he
may finish his career as an agitator, but for him to settle down as a
mundane official seems to those who know him as likely an event as
to see him settle down as a poultry keeper. In any case he has ren-
dered good service to the industrial unionist movement by his amalga-
mation propaganda and his support of the Workers' Committees.
Mann picked up American industrial ideas in Australia, and further
studied syndicalism in France. On his return to England, he launched
a powerful propaganda upon the public platform and through
pamphlets and the press. He did much to popularize the idea of the
shorter working day.
He received an ovation at the Trades Union Congress of December,
1919. As Secretary of the A.S.E., the king craft union, he is now
inside the citadel, and his influence upon the machinists will be
powerful in these critical years.
THEIR IDEAS 207
doubtedly the outstanding figure. But again the movement
takes the form of propaganda for amalgamation of existing
organizations. It is in the direction of amalgamation that
industrial unionism has found expression in this country until
the rise of the unofficial fighting workers' committees. There
has been an amalgamation movement -in the engineering in-
dustry. The rise of the unofficial shop stewards' movement,
however, meant the suppression of the amalgamation com-
mittees.
Such have been the main elements giving direction to the
tendencies towards the modification of the industrial organi-
zation of the working class. They have now undergone a
marked change, and because they represent the advanced guard
of the movement, with consciously formulated ideas, it is well
that we should observe the character of the change.
The 1905 I.W.W. Convention in America formulated a
scheme of organization by industry. Each industry was to
have its own particular union and these unions to be feder-
ated into one big organization. The National Guildsmen
of this country, as well as the old industrial unionists, still
stand for this form of organization. It should be mentioned
in passing that Cole and Mellor of the National Guilds League
have helped considerably in the way of spreading these ideas
among trade unionists. The change from this position since
the Russian Revolution has been marked, and the left wing
of the Socialist movement now express themselves more in
terms of Communism. The quotation from the platform of
the Socialist Labor Party indicates the difference. The Com-
munists recognize the need of departmentalization according
to industry, but insist on the industry being subordinate to
the class character of organization. They therefore propa-
gate a class organization with departments within it corre-
sponding to industry. The difference may not appear to be
much, but on close examination it is a matter deserving care-
ful consideration.
Organization by industry involves the recognition of each
industry and each industry-union as a separate entity, and
208 WHAT THE WORKERS WANT
the executives thereof would be responsible to each industry's
workers alone. It would tend to produce a psychology of a
sectional character, too, in that the primary thought would
be to defend one industry's workers against the others.
On the other hand, the Communists urge that the class
principle should be applied throughout, and just as all the
workshop committees of any plant, whether composed of
building workers, transport workers, or engineers, are united
in the Works Committee, so also the works of a locality should
be united in the Workers' Committee or Council.1 Then any
departmental committee set up would be responsible, not sim-
ply to a department, but to the whole council.
The rival scheme of organization in relation to the existing
trade unions should be noted too. Organization by industry
has its problems, there is no doubt. The National Union of
Railwaymen approximates to an industry union; the miners
are approximating it; the engineering workers, particularly
the skilled workers, are trying to shape themselves in the same
direction. Now there exists, at the same time, the General
Workers' Union, the Workers' Union, the National Amalga-
mated Union of Labor, which are about to be fused. All
these have workers spread over quite a number of industries.
If, therefore, organization by industry has to be established,
this huge body of about a million workers will have to be
divided up among those unions which approximate to the
industry unions.
The Communists, on the other hand, say Amalgamate
them all into one big union, and make internal departments to
meet any peculiar demands of industry.
If it be asked how all these bodies, political, educational,
1 The term " workers' committee " is applied when the strike com-
mittee takes on a class character. Most of the committees come into
being, either directly or indirectly, from strikes. The word "com-
mittee " was used to distinguish it from the Trades Council. Perhaps
" workers' council " will supersede " workers' committee." The British
" workers' committee " is akin to the " workers' council " on the con-
tinent, which is in part a standardization of the old extemporized
strike committee.
THEIR IDEAS 209
propagandist, are related to the Workers' Committee move-
ment, I have to answer that their literature is distributed in
the workshops and trade-union branches; their propagandists
address workshop meetings ; their classes are open to all work-
ers, for the members of all these bodies are personally part of
the industrial movement too. And it must not be forgotten
that wherever the workers extend their organizations in the
factories, wherever they assume responsibility, such activities
stimulate the demand for classes, for literature, and the like.
Whilst the political parties, the educational bodies, the
propagandists, are directly contributing to the most revolu-
tionary aspects of the working-class movement in every re-
spect, there are other bodies more moderate in political out-
look, who are nevertheless contributing to the structural
developments. Ruskin College, the Independent Labor Party,
the Workers' Educational Association, while not revolution-
ary bodies, direct considerable attention to the established
structure of the trade-union movement and its developments.
The Whitley report proposals and all schemes immediately
adaptable to the existing order, appeal to these members of
the working-class movement. Their attempts to apply them
bring them up against the structural problems of trade union-
ism, and thus their practical experience compels them to
contribute to the solution of the workers' difficulties on the
very same lines as the extremists.
A simple illustration will make this clear. They wish the
workers to share in control of their conditions in workshop
and factory. To effect that, they must shift their ground from
the trade-union branch to the workshop. There, to have any
organization at all, they must get the workers sufficiently in-
terested to elect a shop committee. Immediately the problem
of sectionalism is upon them. Experiment follows experi-
ment to overcome the difficulties involved until it is eliminated.
Thus are they doing the same thing as the extremists, vis.,
organizing the workshops and factories. The pressure of
economic circumstances does the rest.
For it must be clearly understood that, while all the efforts
210 WHAT THE WORKERS WANT
I have enumerated are going on, the workers as a whole
have no conscious purpose. They do not visualize a new
society and consciously march forward towards it. An ever-
increasing minority do that as the economic struggle proceeds,
but the mass moves intuitively, consequent on the pressure
of circumstances.
"If I am asked, " What England do the workers want ?
When ? How ? " I have to reply that very few indeed can do
more than state general abstractions in answer to these ques-
tions.
The minorities of a people fight out consciously the differ-
ent general concepts and methods. Meanwhile the social
forces move, rise in their power, and the minority, conscious
of the mightiest of these, anticipates it, interprets it, har-
nesses it, marches on to victory. Through long periods there
appears to be an equilibrium of forces and society appears
static. But it is never so. The elements within it are ever
moving and the periods of great change inevitably come again,
not because of the wonderful ability of some particular person,
or the conscious purpose of a people. They are moved by the
simple concrete experiences of every day, and the interaction
of these experiences produces mass movements which launch
them all into mightier issues than they dreamed. Call them
herd movements, if you will. Until humanity has evolved
an organization of society which will uniformly express and
satisfy the needs of humanity, and by its natural activity
thrust responsibility in uniform fashion upon all its constitu-
ent parts, so that a real social consciousness is developed, we
shall witness these movements. They will be harnessed by
minorities, express themselves through existing machinery as
far as possible, but will not hesitate to create new machinery
as circumstances press upon them and the old fails to respond.
The political parties, the educational bodies, the propagan-
dists, and their relationship to the elements of change within
the industrial working-class movement, I have attempted to
describe. The result is that we can see a structure developing
and certain leading ideas coming to be focused. How these
THEIR IDEAS 211
ideas are going to be translated in actual programs has not yet
been clearly defined by any one. What we do see at present,
is a multitude of demands in terms of wages, and reduced
hours of labor, and, coming more and more to the front, the
two big issues of nationalization and control of industry (or,
rather, part control). These two latter indicate the tendency
to converge upon big things. Whatever ideas we may have on
these, whether they be regarded as reformist or otherwise, the
salient features of them are revolutionary in character, indi-
cating the nearness of vast changes in social relationships. At
the same time structural modifications are proceeding and
every dispute produces elements which are contributory to
the Workers' Committee organizations. These demand more
detailed attention. But sufficient for the moment to have in-
dicated the political, educational propagandist contributions to
the new movement, and at the same time to have recognized
the limitations of the visions of the people and the responsi-
bilities upon the minorities.
CHAPTER IV
SELF-GOVERNMENT BY RAILWAYMEN
By C. T. CRAMP, President of the National Union
of Railwaymen
MR. C. T. CRAMP is President of the National Union of Rail-
waymen, with 450,000 members. He and Mr. Thomas have
just passed through successfully the railway strike in which
the Government attempted to reduce wages from the war levels
and failed. Mr. Cramp was educated at the Labor College,
where economics are taught on a Marxian basis. Frank
Hodges, Secretary of the Miners, is a graduate of the same
college. Both men are Socialists with a fundamental belief in
industrial unionism, which they are helping to carry out in their
unions. The miners and the railwaymen are two of the most
" radical " organizations in Great Britain. Mr. Cramp is very
exactly a representative of his rank and file.
In a recent talk, Mr. Cramp said to me :
We have obtained a Ministry of Transport. That is perhaps
in part the results of our demands for full workers' control. Hav-
ing our Ministry of Transport, we have now presented our de-
mands for control. We are urging a joint board which shall
control all railways. One-half of the representatives will be ap-
pointed by the unions, and one-half by the House of Commons.
Their function will be not only the administration of conditions
but the running of the whole concern. That means the admin-
istration of the detail of traffic and also the administration of
the commercial side. The unions will elect representatives to this
Board of Control. But the election will not result in making these
men permanent officials out of touch with their rank and file.
They will be re-elected every three years. Under the Joint Board
we shall have Area or District Boards. These Boards will deal
with the administration of the principles laid down by the Central
212
SELF-GOVERNMENT BY RAILWAYMEN 213
Joint Board. The Area Boards will in the same way contain
representatives of the Government and of the men, half and
half. For the Railway shops we shall have Shop Committees
elected from the various grades.
So the total organization will be a Central Board, District
Boards, and Shop Committees, with the workers making up half
the membership and the community represented by the other half.
Up to the present time we have not negotiated anything tangible
with the Government. Almost as soon as the Ministry of Trans-
port took office we entered into conflict with them. We are hope-
ful that within a few months we shall have succeeded in estab-
lishing joint control by the workers.
I have been interested in the Plumb Plan and I recognize the
suggestiveness in giving separate representation to the manage-
ment. But we feel that it is best first to get the principle of
workers' control accepted, and second to get the central idea em-
bodied in the new form of administration, and then later to
go into details of arrangement if necessary. Until recently
managerial directors were perhaps as a class hostile to the idea
of joining with the workers in control. But the experience of
the last year has convinced them that they too had something to
gain by coming in with the manual worker.
In any case, the recent strike struggle will have made it easier to
get the principle of joint control accepted. Under State owner-
ship and under joint control, we shall retain the right to strike,
and we claim it as a full right. There will be no yielding on
that point. For the settlement of disputes, we shall trust to the
good sense of the management and the men.
What we are building up is a new functional idea of the
State. Geographical representation did not meet the full need.
My personal opinion is that certain representatives in Parliament
must be provided from the industries as industries, so that we
shall have industrial representation. In that way we should have
a body competent to decide on great industrial questions.
In propagating the idea of workers' control, we have published
articles in trade journals, made large numbers of platform
speeches and appeared before Labor Congresses. We have not
drawn up our demands in any sense of adjusting them to the
ideology of capitalism. We ultimately want to destroy capitalism
altogether. The influences that have strengthened the idea of
214 WHAT THE WORKERS WANT
workers' control were the revolt of a few years ago against
excessive bureaucracy and State socialism. The propaganda of
French syndicalism has something to do with the spread of the
idea, and then such writing as appeared in the New Age x helped.
The workers desired to devise a system of social control that
would master slavery in the new form in which it was appearing,
namely that of bureaucracy. So altogether there came the gath-
ering of these new ideas and the shaping of them into our present
demand for workers' control laid before the Premier.
1 An organ of Guild Socialism. Compare these demands with the
Government offer of 25% of advisory control. See Appendix, Sec-
tion 4, Chapter 2.
CHAPTER V
THE ENGLAND THE WORKERS WANT— WHEN—
HOW
By ROBERT S MILLIE, of the Miners' Federation of
Great Britain
[This chapter is a digest of Mr. Smillie's conversations with
the writer, letters to him, and public talks, corrected by him
for use here. He answers the questions which many have been
putting. What kind of society is it which the workers want?
When do they expect to begin to get it? How are they going
about it?
Mr. Smillie answers that they wish a Socialist society, which
will not be bureaucratic, nor State socialistic. So, with every
demand for nationalization, they include a demand for workers'
control, which means decentralization of power. They expect
to effect this change in society (of public ownership of the key
industries and of land, with management by the workers) by a
series of gains in Parliament, till finally they have a majority
of seats, which will give them a labor Government. Then
legislation will be passed which will establish the Socialist
society. The method of this change is not by bloody revolu-
tion, but by education and propaganda and votes. The philo-
sophical statement of the goal is neither State Socialism nor
Syndicalism, but Guild Socialism. Details of change have al-
ready been made, and will continue to be made each month.
But to bring to pass the real transfer of economic power to
the workers will require " five, ten, fifteen years." 1
Such are in summary the views of the greatest labor leader
of this generation.]
1 This summary, also, has Mr. Smillie's approval as a statement of
his position.
215
216 WHAT THE WORKERS WANT
I DISCUSSED with a wealthy and Christian coal owner the other
day the question of Socialism, and I told him it was
absolutely impossible to square the Sermon on the Mount with
present-day commercial conditions. My friend admitted that,
but said, " Well, but we are in it and what are we to do ? "
When I examined witnesses at the Coal Commission I had
before me not only my little village in Lanarkshire, and the
poverty and the miserable homes there, but the slums of the
great cities and the palaces and the mansions of the idle class.
Any one knowing the poverty of the people and the terrible con-
ditions existing in the mining community for so many years and
realizing that the robbing classes, " who toiled not, neither did
they spin," had been living on the money that should have gone
to feed, clothe, house, and educate his class, would be a knave
and a traitor to his people if he did not keep it in mind, and
let the other class know that he had not forgotten it.
One who truly represents the workers has always before his
eyes the misery, the infant mortality, the death rate, of his
class, and the position of the upper class. Always he has in
his vision this contrast.
The Coal Commission gave me the opportunity of getting
into respectable company. I had the opportunity of speaking
with dukes. We were not introduced. Some of them in the
witness-chair were not sure of their minimum living wage
within a few thousands. But they were very nice.
It has been alleged in certain quarters that I desired to score
against those dukes. I had no such desire; but with my col-
leagues I wished simply to arrive at the truth. We do not
blame them as individuals at all, but the system of which they
are a part is wrong, and we wanted them to come to give us
the information desired, with a view to helping us to put it
right.
Dukes, earls, and marquises, as well as capitalists, are en-
titled to be content, but the working people, landless and dis-
possessed, and living in the slums, God never expected them to
be content with these conditions.
I am out to rouse the people to the dignity of man. It
THE ENGLAND THE WORKERS WANT 217
is not true to say that I am out to breed rebellion or bloody
revolution if that can be avoided. Rather I wish to convince
the people that it is their business to unite, by constitutional
means if possible, to overturn the present system and enable
the people to live happier lives.
We are not going to sit down content with the present state
of affairs. No man has the right to call himself a man who
sits down contented with matters as they are. The vast
majority of men and women and children are the exploited
class who have never more than a fortnight or three weeks'
savings to keep them going until another pay-time comes
round. I have not been able to convince myself that one party
should live on the best things which are produced, and the
other party, the producers, continually be kept on the verge of
starvation. As a child I was taught that it was God's doing.
It is not God's doings, but man's doings. It is no use being
discontented unless one spreads the discontent as far as one
can. Five hundred peers own a third of this country, four
thousand landlords own half, and the other half is held by
the smaller people. If we could prove to any of those titled
people, back to the time of William the Conqueror, that they
had soiled their hands with honest toil, they would commit
suicide.
In recent years the younger generation of mine workers have
had greater opportunities of at least an elementary education,
and the schoolmaster has been abroad amongst them in the
shape of what is sometimes termed the agitator, and it has set
many of them thinking and asking themselves the question
whether it is necessary for the mining population, which with
its families numbers almost an eighth of the population of the
country, to continue living practically on the verge of starva-
tion, badly housed, and with no voice at all in the determina-
tion of their own destiny.
Up to recent years the mine owners (who, it is true, have
latterly met the men's representatives and recognized their
organization as a body to be negotiated with) declined to sup-
ply any information about the inner working of the industrial
218 WHAT THE WORKERS WANT
concerns; and they have denied, in fact, the miners' right to
question the justification of the enormous profits which were
being earned in the trade whilst wages were continually kept
down to the mere existence point.
The thinkers amongst the miners have by persistent agitation
amongst their fellows broadened the outlook of the minds
of the mine workers, and have undoubtedly brought about the
claims which have recently been promulgated for a higher
standard of life and for a reorganization of the mining in-
dustry on lines which would give the mine workers a voice in
the industrial as well as the commercial side of the business.
To put it quite plainly, they have arrived at the conclusion
that the lives of mine workers which are invested in the mining
industry ought to count on at least as high a plane as the
capital which has been invested by the owners of the mines.
My boys and your boys were " out there." * They were told
they were fighting for the honor of their country. We can't
afford to shed the blood of the young, when such as they can-
not claim the land they have defended. Was it for their land
that the lads laid down their lives and spilt their blood ? Was
it really for their own land? No; but for the land of those
people who are wrongly in possession of it, and who would
never let them live a day unless payment is made of whatever
blackmail may be agreed to. If we are still going to leave
the land which the men have defended in the hands of a few
people, and also retain conscription, it will mean that our lads
have died in vain, and their blood will rise and cry out against
us.
The co-operators have recently been purchasing some land,
but I am not out for a few acres of land for the co-operative
movement ; I am out for the whole of the land of the country.
I sometimes wonder if a millionaire can have a soul. It seems
almost impossible that a man who is enormously wealthy can
possess a soul and know that thousands of little children are
dying from want and starvation in the slums, largely as the
outcome of his possessions. The King and Queen are said to
1 Mr. Smillie had two sons at the front.
THE ENGLAND THE WORKERS WANT 219
have visited the slums, but it is well known that they very
seldom see a slum at all. Kings and Queens ought to have
sufficient intelligence to know this.
The worst feature of the Coal Commission was not the
question of profiteering — and the Government was more guilty
of profiteering than the employers were — it was the housing.
The dreadful conditions disclosed were known to the ruling
and possessing classes long ago, and they need not hold up
their hands in holy horror now. The characteristic individual-
istic movement was absolutely without soul. It is sometimes
suggested that if the workers had decent homes they would
not keep them clean, but when the workers withdraw their
wives and daughters from service in the rich man's home, will
that class keep their houses tidy ? Will the Countess keep her
daughter clean?
Feeling these things, I can't avoid giving expression to them.
When I was a lad, I began to wonder why the Duke of Hamil-
ton had two hundred thousand pounds a year, and I got fifteen
bob a week. For doing nothing, he received a shilling on
every ton of coal raised, and I got eleven pence for risking my
life.
We have willing and skilled workers, and a beautiful
country. It is not God's fault at all that our people are not
prosperous and happy. All that is needed is to organize the
land and machinery to produce. Our workers will produce, if
we get the guarantee that production is not to make million-
aires, but to make comfortable happy homes. I want to pro-
duce. The workers want to produce.
But there never can be industrial peace until the land is
nationalized, until the railways, mines, and key industries are
nationalized; and until the workers have control of the con-
ditions of their working life, along the lines of the Miners'
Bill, and the railwaymen's demand. Whitley Councils are not
what we mean, nor the National Industrial Conference, nor
grievance committees. We mean control of all the processes,
of discipline and management, commercial, financial — a joint
control, half by all the workers, half by the State. The miners
220 WHAT THE WORKERS WANT
and their leaders attach the utmost importance to the question
of the collective ownership of the mines, not so much in their
own interests as in those of the general community. They feel
that private ownership has failed to develop this great national
industry on the lines on which it might have been developed,
and that it is only by collective ownership that it is possible to
introduce the reforms that are necessary to increase output
and probably reduce the selling price of coal by improving the
machinery of production.
To do nothing, is an experiment, having bad results week
by week. Reversion to pre-war conditions is an experiment
fraught with grave peril, so we start from the assumption that
some forward step must be taken. High productivity cannot
be got without giving the workers a share in control. The
problem is to reconcile the working classes with the State.
It is a race between Socialism and revolution. Socialism is
the only program of reconstruction that is offered. Against it
are arrayed all the forces of disorganization. Socialism desires
Government as the expression of the collective will and aspira-
tion. In bringing it to pass, we wish to use the trade unions
and the Political Labor Party as the forces.
I think that an effort should now be made to spread the
Triple Alliance idea beyond its present borders. There is really
no reason why all the large and important unions should not
be banded together for defensive purposes. I think that it
will become the duty of this alliance ultimately to fight the
question of conscription. Some of the trade union leaders
have conceived and expressed their function as that of brake-
men, to lessen the speed of the movement. Their job should
be that of stoker, to bring fire and driving power. Those
leaders signed away their executive power in the Treasury
Agreement.1 As a result, some of the unions are without
leadership. The engineering unions should be the kings of
the industrial movement. But, because of their internal dis-
sensions, the Government does not consider them with the
1 A war-time agreement of unions with the Government. Mr.
Smillie kept his miners out of it.
THE ENGLAND THE WORKERS WANT 221
anxious solicitude which it gives the railwaymen, for example.
Then too, some trade union leaders have rebuked local and
district strikes as " unauthorized," but these strikes often are
the result of a local grievance which should have been taken up
and dealt with by the central executive. All this operates to
separate the leaders from the rank and file.
The working classes do not yet know what they can do.
When they know that the power is theirs, in five, ten, fifteen
years, there will be an avalanche. Then they will elect a labor
Parliament and create a labor Government. In the County of
Durham, already they have seen that they have the power, and
they have obtained the majority of the county council, believing
that the administration of the laws is as important as the
making. When they awake to the knowledge of their power,
they will possess Britain. A process of education is going on.
The Coal Commission helped in this. For some years now, in
peace time, there have been each week three to four thousand
meetings a week throughout the island. From three to four
thousand platforms, economics have been taught to the people.
This will continue till they vote their way to power, unless in
the meantime the privileged classes, alarmed at the progress
made by labor, may precipitate a conflict which might end in
revolution.
SECTION FIVE
PROBLEMS
CHAPTER I
WOMEN
THE women of the Labor Party held a conference at South-
port on June 24th — the day before the Labor Party met. One
hundred and fifty-four delegates were present. Miss Susan
Lawrence, of the Labor Party Executive, and member of the
London County Council, was in the chair.
Mrs. M. E. Hart of Wigan came to the platform with loud
applause. She is one of the three miners' wives who testified
before the Coal Commission. Two members of the Commis-
sion have stated that the Commission was unanimous on the
point that the evidence of these women was of the best, being
straightforward, to the point, and well given. The need of
better housing and of pit-head baths — the matter of their
evidence — was agreed on by the Commission. This was the
first time that working women have given sworn testimony
before a Statutory Commission. The Saturday Review, repre-
senting the aristocracy and gentry, called their testimony
" twaddle," and was deeply moved by the evidence of the
Duke, Earl, and two Marquises, in behalf of their royalties.
But the Commission was unanimous against the plea of the
royalty owners and in favor of the plea of the miners' wives.
Mrs. Hart is a strongly built, stout, apple-cheeked woman, with
brown hair. She told the conference of her experience as a
witness in the King's Robing Room.
I was a little bit afraid, before I went in, because I expected
to see a leading assembly, with a judge in the chair looking at
223
224. PROBLEMS
me over his spectacles. I had never been in a House of Lords.
But Mr. Justice Sankey, instead of being a severe judge, appeared
to be a jolly-looking gentleman. He came and shook hands with
us, and told us we did not need to be afraid, but just to talk to
him. That is what I did. I thought to myself, " I'll give it you."
We told him about back-to back houses, and the internal com-
plaints of women caused by heavy weights. We told him of
whole families in two rooms. I have seen eleven houses backing
on one yard, with their refuse in one tub. The dust comes off
from that tub like smoke. We want pit-head baths. We miners'
wives want to be clean the same as gentlemen's wives.
Mrs. Andrews of Rhondda, South Wales, another miner's
wife, said:
I investigated a case in the Rhondda Valley where the baby
was born in a cellar, with the walls mildewing: the only place
the family had to live and sleep in. I found out that the mine-
owner — the employer of the baby's father — did not live near the
mine — those mine-owners do not live near the place in which they
get their money. He had his dogs living in kennels fitted with
electric light. I do not want the dogs to have a worse time, but
I want human beings to have as good a time as those dogs.
Mrs. Despard is a tiny but stately old lady, with lace on her
white hair. Under the eternal mist of England, she wears a
long black rubber coat, which emphasizes the straightness of
her gallant little figure, the lovely whiteness of her hair, and
her eagle profile. She demanded that housing be made a
national question, " as much as war."
Dr. Marion Phillips is the chief woman officer (that means
organizer) of the Labor Party. She is fitted for the long,
hard job. The first impression she makes, which long acquaint-
ance only strengthens, is that of wholesomeness and sanity.
She has enthusiasm and the scientific mind. There are only
a dozen persons in Britain who know as much of food con-
ditions as she. She understands with technical and detailed
intimacy the health situation. Her exact information enables
her to serve on Government committees and to present evidence
WOMEN 225
in the industrial area. She has brilliant color and vitality,
glossy black hair, and a large, powerful figure, picturesque in
a black tunic with two strands of yellow beads. She has a
sturdy stride and is a born " mixer." She is an admirable
public speaker, with a full voice that carries to the sleeper
in the last pew. She knows the news value of facts as against
idealistic phrasing, and the deadly instances she gave of specu-
lation in oils, affecting margarine, and cattle foods, and hence
the price of milk, appeared in most of the papers of Britain
next morning. She demanded a restoration of Government
control.
She had previously said :
The question is how soon control can be reinstated with regard
to oils, fats, and bacon. It is not so much the absence of pig-
breeding as the operations of the American trusts, and the ces-
sation of control. Actually there is a surplus so far as fats and
oils are concerned — those of which margarine is made.
Dr. Phillips also said:
It is unpaid work that makes the Labor Party great.
So, with eight million women able to vote, the women are
busy on organization and propaganda. But it will require
many years of work from the handful of leaders and the few
hundreds of awakened women to penetrate the shy, over-
worked, unaroused masses.
The new constitution of the Labor Party, which was adopted
in February, 1918, was in working order at the time of the
last annual conference in June, 1918. The three main features
affecting the work of women were the establishment of in-
dividual membership, the arrangements made for individual
women members to work together as Women's Sections of the
Local Labor Parties, and the inclusion of at least four women
on the Executive Committee of the party elected at the annual
conference. The granting of women's suffrage and the im-
pulse towards labor organization under the new constitution
has led to greater interest in politics being taken by women
226 PROBLEMS
generally and women's organizations than was formerly the
case.
Working in agreement with the women of the Labor Party
is the Standing Joint Committee of Industrial Women's
Organizations. The Standing Joint Committee of Industrial
Women's Organizations was founded in 1916 and, from time
to time since, its constitution has been amended in order that
it may better fulfil its objects. In general terms these are to
watch over the interest of working women, and help to carry
out the principles of the labor and co-operative movements
in so far as women are specially concerned. The committee
also acts as an advisory body on women's questions to the
Executive Committee of the Labor Party.
The committee now represents : the Women's Trade Union
League, the Labor Party, the Women's Co-operative Guild,
the National Federation of Women Workers, the Railway
Women's Guild. In order that it may be fully representative
of all women within the labor and co-operative movements
it invites representation from the Parliamentary Committee
of the Trades Union Congress, the Co-operative Union, and
" industrial organizations, of which a substantial number of
the members are women, which are national in character, and
are accepted by the committee."
The committee has been constant in its efforts to keep before
the labor movement and the whole community the special
interests of working women. Among these efforts must be
considered its work in many deputations to Ministers which it
has organized or in which it has taken part, when legislation
has been before Parliament, especially in relation to the
Ministry of Health Bill, the Emancipation of Women Bill, and
the question of women's unemployment.
Mary R. Macarthur is chairman; Margaret Llewelyn
Davies, vice-chairman, and Dr. Marion Phillips, secretary.
The year's work has been chiefly notable as recording in-
creased political activity among women, both nationally and
locally. For the first time women have stood for Parliament
under the auspices of the Labor Party : in a large number of
WOMEN 227
areas, labor women have been successful candidates at local
elections : both the scope and importance of women's work on
national administrative and consultative bodies have increased.
I think it fair to say that, with the exception of perhaps
fifty women, women as a group (up to the year 1920) did not
exercise the influence in industrial and political affairs in
Great Britain which they have exercised in recent years in the
United States.
Exceptional British women were as potent as certain women
are in our country. These exceptional women would include
Mrs. Sidney Webb, Mrs. Henry Fawcett, Mary Macarthur,
Margaret Bondfield, Dr. Marion Phillips, Margaret Llewelyn
Davies, Susan Lawrence, Mrs. Sanderson Furniss,' Margaret
McMillan, Maude Royden, Mrs. Pember Reeves, Mrs.
Pethick Lawrence, Mrs. Despard, Mrs. Philip Snowden,
Eleanor Rathbone, Dr. Janet Campbell. These women have
ranked in Britain as Jane Addams, Lillian Wald, Mary Drier,
Mary McDowell, rank in America.
Woman is the forgotten factor, which will upset the equa-
tion. Blithely officials and owners and labor leaders scheme
their man-made world, while six million women in occupations
(some of them emancipated, and most of them soon to have
a vote) alter every calculation made. Inferior status has been
and continues to be the economic position of women. Em-
ployers, the Government and trade unions, concur.
Mrs. Webb writes:
The inequality has, during the war, actually been embodied in
agreements between the men's trade unions and employers' asso-
ciations, coupled with a solemn bargain that after the war the
women should be excluded from the men's jobs.
G. D. H. Cole writes in An Introduction to Trade Unionism:
The great majority of skilled craft unions admit only male
workers, and would refuse to accept women on grounds of sex
alone, even if they were otherwise eligible for membership. Women
are not admitted into any of the craft unions in the engineering,
228 PROBLEMS
shipbuilding, or building industries. The transport unions on the
other hand, including the National Union of Railwaymen and the
Tramway Workers' Unions, have adopted the policy of organizing
women, and endeavoring to secure for them full rates. The part
played by women in framing the policy of the trade union move-
ment is still exceedingly small. .
The War Cabinet Committee on Women in Industry report
on this point:
The attitude of Trade Unions towards the employment of
women, in part dictated by men's ideas as to what work it is
decent and proper for women to perform, has also been influenced
by the fear of the effect of women's competition in ousting men
from occupations or in lowering their standard of life, a fear
justified by the fact that degradation of the standard invariably
followed the introduction, on account of its cheapness, of female
labor. In occupations in which women have established them-
selves the efforts of the men's Trade Unions have been directed
towards confining them to the processes which, in the men's
opinion, are the better suited to them, or to keeping them from
particular machines or tools, weights and sizes of implements, ma-
terials and products. This has been done rather by getting the
assent of employers to the rules of the Union than by written
agreements, though in some instances such agreements are extant ;
for instance, one between the Federated Associations of Boot and
Shoe Manufacturers and the National Union of Boot and Shoe
Operatives, made shortly before the war (sth May, 1914), which
provides for the gradual cessation of the employment of females
amongst male operatives in the clicking, press, lasting, and finish-
ing departments of the Boot Making Trade, in which operations
male labor was then almost exclusively employed. The men in
various trades have also refused to admit women to their unions,
and thus to give them the advantages of their organization — this,
in spite of the success in securing the interests of the workers
which had been effected in the Cotton Unions and was promised in
the Shop Assistants' Union, where women have been organized
with men.
There are some unions still existing that have admitted
women since 1850, but such unions first became effective in
WOMEN 229
the cotton trade forty years ago and only during the present
century have women been organized in considerable numbers
in other industries. According to The Labor Year Book of
1916, in the ten years previous to 1914 the numbers had gone
up from 113,715 in the textile and 15,369 in all other trades, to
257,281 in the former and 99,682 in the latter, or to a total of
356,963, made up as follows :
Cotton 211,084
Other Textiles 4<V97
Clothing 22,830
Shop Assistants 24,255
General Labor 23,677
Other Trades 19,295
Employees of Public Authorities 9,625
Total 356,963
This was between six and seven per cent of the number
employed.
Certain unions organize only women. There are craft
unions: Society of Women Welders, Manchester Union of
Women in the Bookbinding Trades. There are industrial
unions: Independent Women Boot and Shoe Operatives
Union, the Women Hosiery Workers' Union, the Women Silk
Workers of Leek. There are general labor unions: the Na-
tional Federation of Women Workers.
There are unions containing men and women: the textile
unions; the National Union of Printing and Paper Workers;
the National Amalgamated Union of Shop Assistants, Ware-
housemen and Clerks; the Amalgamated Union of Co-opera-
tive Employees.
War had strengthened the organization of women in trade
unions. There were about 750,000 female members. The
National Federation of Women Workers had 75,000. The
National Union of General Workers had 60,000 women in
their membership of 350,000. The National Amalgamated
Union of Labor had 35,000 in 175,000. The Dock, Wharf,
Riverside, and General Workers' Union had 8,000 women to-
230 PROBLEMS
bacco workers, 3,000 chocolate workers, and others. The
Workers' Union had 60,000 female workers. The National
Warehouse and General Workers' Union had 10,000. The
textile trades unions had 350,000 women. The National Union
of Railwaymen had 30,000.
The War Cabinet Committee reports:
The committee are not aware o'f any case outside transport in
which trade unions previously confined to men have admitted
women to membership. The question is understood to have been
mooted by the Amalgamated Society of Engineers, but the exclu-
sion of women has hitherto been based upon a demarcation of
skill rather than of sex. A small new union was formed within
the engineering trade by the Society of Women Welders, which
may prove to be a pioneer of skilled craft unionism among women.
It is, of course, too early at present to say whether the extension
of trade unionism among women which has been caused by the
war will be permanent or not. It seems probable that a decline
will follow the cessation of munitions work.
The best hope of real and permanent amelioration of the posi-
tion of women in industry lies in trade union action.
Textile trades engaged two-fifths of all women in industry,
and of all workers in textiles, four-sevenths were women.
Their trades-union organization had gone further in this in-
dustry than in any other.
In July, 1918, the total number of occupied women had,
according to Board of Trade figures, increased by twenty-two
and one-half per cent, or from just under six million to nearly
seven and one-third million as shown in the following table :
WOMEN
231
In July, 1918,
over (plus)
or under (— )
Number of In July, In July, Numbers in
Women Working 1914 1918 July, 1914
On their own Account or as
Employers 430,000 470,000 plus 40,000
In Industry 2,178,600 2,970,600 " 792,000
In Domestic Service 1,658,000 1,258,000 — 400,000
In Commerce, etc 505,500 934,5OO plus 429,000
In National and Local Gov-
ernment including Edu-
cation 262,200 460,200 " 198,000
In Agriculture 190,000 228,000 " 38,000
In employment of Hotels,
Public Houses, Theaters,
etc. . 181,000 220,000 " 39,000
In Transport * 18,200 117,200 " 99,ooo
In other, including Profes-
sional Employment and
as Home Workers 542,5oo 652,500 " 110,000
Altogether in Occupations 5,966,000 7,311,000 plus 1,345,000
Not in Occupations, but
over 10 12,946,000 12,496,000 — 450,000
Under 10 4,809,000 4,731,000 — 78,000
Total Females 23,721,000 24,538,000 plus 817,000
232
PROBLEMS
Trades
Estimated
number of
Females
employed
in July,
1914
Estimated
number of
Females
employed
in July,
1918
Differ-
ence
between
numbers
of
Females
employed
in July,
1914, and
July, 1918
Percent-
age of
Females
to total
number
of Work-
people
employed
Estimated
number of
Females
directly
replacing
Males in
Jan., 1918
July,
1914
July,
1918
Metal
170,000
40,000
863,000
612,000
196,000
147,500
44,000
32.000
23,100
49,000
2,000
594,ooo
104,000
827,000
568,000
235,000
141,500
79,000
>- 197,100
225,000
+ 424,000
+ 64,000
— 36,000
— 44,000
+ 39,ooo
— 6,000
+ 35,ooo
+ 93,000
+ 223,000
9
20
58
68
35
36
IS
4
3
25
39
67
76
49
48
32
IO
47
195,000
35,ooo
64,000
43,ooo
60,000
21,000
23,000
62,000
197,000
Textile
Clothing
Food, Drink, and
Tobacco
Paper and Print-
Wood
China and Earth-
Leather
Other
Government Es-
tablishments . . .
Total
2,178,600
2,970,600
+ 792,000
26
37
704,000
An inquiry on wages in 1906 showed that the average earn-
ings of operatives working full time in an ordinary week in
the four main divisions of industry proper were as follows :
Lads and
All
Men
s. d.
Textiles ......... 28 i
Clothing ........ 30 2
Metals .......... 33 ii
Miscellaneous ... 28 6
Boys
Women
Girls
Workpeople
s. d.
s. d.
s. d.
s. d.
10 5
15 5
8 ii
17 6
9 8
13 6
5 9
15 i
10 4
12 8
7 4
27 4
10 3
ii 7
6 6
21 7
The Labor Year Book of 1916 published an unofficial esti-
WOMEN 233
mate of the earnings of the employed and manual working
wage earners in the United Kingdom in the year 1912. It
gives the average earnings for adult employed manual working
women, working throughout the year, as IDS. lo^d. per week,
as against 255. gd. for men, and the average earnings of women
in situations as I2s. 4<1
The great majority of female workers in Great Britain were
before the war paid much less than a living wage.
The War Cabinet Committee sums up the war-change:
A comparison between the general level of women's wages with
that prevailing before the war, makes evident how far-reaching
are the changes involved. The Labor Gazette of January, 1919,
points out that whereas the total weekly advance to workers in
industry amounted to less than £400,000 in the five years 1910-
1914, in 1915-1916 (two years) it reached about £1,300,000, in
1917 £2,307,000 and in 1918 £2,783,000, or close on £145,000,000
a year affecting between five and six million persons. The pre-
war average of women's wages was estimated on a liberal basis
at 3d. an hour, or 135. 6d. a week.1 In the metal trades, by the
end of 1918, the rate was approximately doubled, and the average
earnings, including war wages, practically trebled. It is probable
that the average of women's earnings over the whole field of
industry proper were towards the end of the war nearer 355. than
305. weekly. There were approximately one million women
employed on munitions work, and their minimum rate, exclusive
of all overtime, night work, and excluding balances made on piece,
premium bonus or bonus on output, was 335. a week towards the
end of 1918. Against this are to be set the women's trades, such
as millinery and dressmaking, which felt comparatively little
influence from the war conditions, though even the trade board
minima rose considerably during the war. On the other side,
there were large numbers of women, e.g., those in the transport
trades, who replaced men at the men's rates and were generally
earning more than the munition workers. Even in a trade ap-
parently out of the main stream of munitions' influence, such as
1This is the Committee's estimate.
The Labor Year Book's is io/io>4d. for employed manual work-
ing women (1912).
234. PROBLEMS
cigar-making, the earnings of women now are estimated by the
trades union as being between 303. and £3 a week.1
But the promise of the Government (in the Treasury Agree-
ment) to the trade unions will, when fulfilled, bring the ex-
clusion from any establishment of women doing work which
was by practice exclusively men's work before the war. Be-
fore summer, 1919, 400,000 women were reported out of work.
And with the removal of the Wages (Temporary Regulation)
Act of 1918, wages of women are sure to tumble. The only
machinery to cope with this are the Joint Industrial Councils
and the Trade Boards.
The Joint Industrial Councils have made certain wage-
decisions in behalf of women. But because the women are
mainly employed in an auxiliary capacity, not separately
organized, and not directly represented, " it is conceivable that
women falling under the Joint Industrial Councils may find
their interests less efficiently safeguarded than if they were
under a Trade Board. Joint Industrial Councils are still some
way off any comprehensive regulation of women's wages." 2
By the 1913 extension of the Trade Boards Act, about 320,-
ooo women were brought inside that legal regulation of wages.
At least a million more could be fittingly brought inside trade
boards.
The immediate future is black for the working women of
Britain. Exploitation by employers, indifference on the part of
the Government, the ignorance and selfishness of male trade
unionists, the weakness of women, all these will play their part
in leaving women wailing at the gate. There will be no complete
solution until they organize in trade unions and until they use
the vote. No one is going to help them but themselves.
1 " The bulk of women were earning between IDS. and 155. before
the war, when 173. was the least sum a woman needed to maintain
herself decently. They now earn between 255. and 353. (i2/6d. and
i7/6d. by pre-war standards)." — "The Course of Women's Wages,"
by Dorothea M. Barton, read to the Royal Statistical Society, June 17,
1919.
2 Joint Industrial Councils are popularly known as Whitleys.
, WOMEN 235
Permanent gains have been made in the last seventy years
and in the last five years. State regulation of women's work
before the War was through the Factory Legislation enacted
from 1844 onwards. While much of the legislation was in the
interests of the cleanliness, health, and safety of workers
generally, parts had special application to young persons and
women in factories or workshops. It excluded women from
employment underground or in moving railway wagons, from
brass casting and certain processes in the manufacture of
white lead, and it imposed periodical medical inspection on
those engaged in lead processes in the making of china and
earthenware, with suspension or exclusion where liability to
poisoning was shown. Restrictions were placed on women
working between, or cleaning certain parts of, machines in
motion. Provision was made for separate rooms for meals and
separate sanitary accommodation. Women were prevented
from working at night — usually between 9 P.M. and 6 A.M. —
and (with an unimportant exception) on Sundays or the recog-
nized public holidays. Their working week was limited in the
case of non-textile industries to sixty hours, and the working
day to a maximum of ten and one-half hours and seven and
one-half hours on Saturdays ; spells without meal interruptions
were limited to five hours. In the textile trades the limits
were fifty-five and one-half hours for the week, ten for the
day and five and one-half on Saturdays, and four for spells.
Overtime was not allowed in the textile trade, and limited in
most others to thirty occasions in the year, and to not more
than two hours (including half an hour for a meal) on any one
date. Certain latitude was given in this respect in laundries.
The holiday and meal regulations for shops applied to men as
well as women, the only special shop regulation for the latter
obliging the employer to provide at least one seat to every
three shop assistants. An occupier of a factory or workshop
might not knowingly employ a woman within four weeks of
the birth of her child. A provision in the law applying to all
classes of workers which is claimed to have specially benefited
women workers, both home and out, is that which compels
236 PROBLEMS
clear information and particulars of the work to be done
and of the piece rates applicable to be given to piece-workers
before they commence work in the textile, clothing, and certain
other trades.1
Supervision of the health of the industrial worker has come
as the result of the War. Dr. Janet Campbell has given a con-
venient summary:
Special arrangements for the supervision of the health of em-
ployed men and women were almost non-existent before the war,
except in those trades scheduled by the Home Office as dangerous.
During the war an extended supervision has been considered
advisable, especially where women are employed, partly on account
of the peculiar dangers to health involved in handling various
high explosives, partly because the exceptionally heavy nature of
some of the work might result in definite physical injury, and
partly because of the long hours, night shifts, etc. It has been
suggested that when normal conditions return the care of the
health of workpeople should be developed rather than curtailed,
especially where women and young girls are concerned. Before
considering what is possible or desirable, it may be useful to set
out the powers already possessed by local authorities in regard
to medical examination and treatment.
Under the Notification of Births (Extension') Act, 1915, every
birth must be notified to the Medical Officer of Health within 36
hours, and under this Act and the Maternity and Child Welfare
Act, ipi8,2 the Sanitary Authority have power to make arrange-
1 See War Cabinet Committee's Report.
2 The State aid at present available for nursing and expectant
mothers is as follows:
(a) Maternity Benefit under the National Insurance Act, which is a
contributory benefit and which amounts to 305. or 6os. according to
whether the wife is insured as well as the husband. It is payable to
the mother herself at the time of the birth and its expenditure is un-
controlled and unsupervised. There is no doubt that the maternity
benefit has been of great service to many mothers at a period of finan-
cial stress and has enabled them at least to pay a doctor or a qualified
midwife.
(b) The Maternity and Child Welfare Act, 1918, empowers the Sani-
tary Authority to provide assistance for mothers who require it in the
WOMEN 237
ments for the health and welfare of mothers and young children.
The Education (Administrative Provisions) Act, 1907, placed
upon local education authorities the duty of medically inspecting
every child on admission to school and at such subsequent periods
as the Board of Education should determine. It also gave power
to the authorities to provide treatment for physical defects so
detected. The Education Act of 1918 imposes upon authorities
a duty to provide adequate and suitable treatment for children in
attendance at Public Elementary Schools. It also imposes a duty
to provide for the medical inspection of boys and girls under 18
years of age on admission to certain educational institutions, in-
cluding continuation schools, and on such other occasions as may
be prescribed by the Board of Education, in addition to giving
power to provide facilities for medical treatment. Under the
Factory and Workshop Act, 1901, the certifying factory surgeon
gives certificates of fitness for employment to children employed
in factories (but not in workshops) and to young persons under
the age of 16 which -are based on a personal medical examination.
The examination is often perfunctory, and as it is not followed
up by inspection and treatment is largely useless. In addition to
this duty the certifying factory surgeon is responsible for the
monthly examination, and, if necessary, the supervision of men
and women engaged in "dangerous" trades; further, all serious
accidents and cases of poisoning or of anthrax must be notified
to him. He also has certain duties in regard to compensation
under the Workmen's Compensation Act, 1906. When the young
person reaches the age of 16 he comes within the provisions of
the National Health Insurance Act, and is eligible for the bene-
fits of medical treatment, sick pay, etc., therein prescribed.
Provision has therefore already been made for medical inspec-
tion and treatment under the local education authority up to 18
years of age. When the new Education Act has had time to
become fully operative we may assume that the boy or girl enter-
ing industry will have been under regular medical care and super-
form of treatment by medical practitioners or midwives, advice or help
through Health Visitors, Maternity Centers or Infant Welfare Centers,
and food or milk for mother or child if required. Machinery for full
utilization of the powers thus granted is not yet in existence, but foun-
dations have been laid upon which a complete system of municipal
advice, treatment, and general help may eventually be constructed.
238 PROBLEMS
vision during the whole of school life and will have received
treatment for such physical defects as have revealed themselves.
The health records so obtained will indicate whether a child is
unsuited on physical grounds to enter any particular occupation,
and with the aid of the juvenile employment officers such children
should be directed to work which is not likely to prove injurious.
During the first three or four years of employment, some of the
most important from the point of view of physical health, the
young person will remain under the supervision of the school
medical officer, and will be subject to further periodical medical
examinations.
The main industrial battle of the next five years will be
fought out with women as an auxiliary body of labor, enjoying
inferior status. Their pay used to be somewhat less than half
that of men. During the War it rose to rather more than two-
thirds. It will fall to less than half. Munitions work was
not a gold mine for the operatives : it was, for the average, a
living wage. And this for the majority of the women was the
first time they had ever made a living wage. The vested in-
terest of the male, the active resistance of male workers, the
inertia and unscrupulousness of employers, the Pontius-Pilate
attitude of elected persons, all the old veiled hostilities will
again be aimed at the " saviors of the Empire."
" The assumption that men as such must receive higher pay
because they have families to support, and that women, as
such, should receive less because they have no such family
obligations, is demonstrably inaccurate to the extent of twenty-
five or even fifty per cent," says Mrs. Webb. And the per-
centage will grow higher as the fruits of the last war are
more fully garnered, and as the present military plans of the
Secretary of War are carried out into action. Just as the
pledge of the Treasury Agreement (that the women employed
in war work in substitution of men should receive the same pay
as the men they replaced) was cleverly broken by the Govern-
ment, for the most part, so future promises will be evaded till
the day comes when women have the bargaining power and
pressure of organization.
WOMEN 239
Many of the 400,000 ex-slavies will be driven back into
domestic service. There are 200,000 widows of working-class
men. There are fatherless children to be provided for. The
problem of " the treble strain of childbearing, wage-earning
and household drudgery " will be intensified in the grim days
of national poverty which England now enters on. " Lloyd
George's munition girls " — those " splendid women " — face a
future which will put the iron into their souls, and will slowly
but inevitably turn them into a political and industrial
organized group as powerful, as menacing, as the hosts of the
Triple Alliance.1
1The Labor Gazette of January, 1920, gives the latest (1918)
statistics on trade union and kindred membership. The total male
membership was 5400,000. The total female membership was
1,220,000. This is an increase of 36% in one year for women. The
approximate membership of women (no exactness is possible) was
Textiles 418,000
Clothing 120,000
Printing, paper 37,ooo
Shop assistants, clerks 74,ooo
Miscellaneous 282,000
"General" unskilled unions 212,000
Employees of public authorities 77,ooo
Total 1,220,000
CHAPTER II
BOTTOMLEY
[Horatio Bottomley, editor of the weekly, John Bull, is
selected here merely as a representative of those who distract
public opinion. The soldier and the worker read him and his
like. The problem is this : How are the statesmen of democ-
racy to convince the rank and file and to persuade all classes
in the democracy, when the channels of publicity are largely
in the hands of opponents ?]
ALL the preceding chapters have gone to show the just and
merciful elements in British character — the fine idealism of
General Smuts and Lord Robert Cecil, the broad-gauged pa-
triotism of some of the great employers, the level-headed labor
leadership of Smillie, Hodges, Arthur Henderson, and Clynes,
the sincere efforts in social reform of Government officials like
Dr. Addison, and Sir Robert Horne.
But to appreciate the struggle of these men, it is necessary
to know that there is an evil minority in the community who
would push this kindlier order of society back into the jungle,
if they could. " There are," as Lloyd George said on April
16, 1919, " wild men screaming through the keyholes."
Mr. Horatio Bottomley is representative of a strong and
large element in any society.1 It is the mob as distinct from the
democracy. We all have in us hate, revenge, fear, and grab.
He appeals with emotional force to this brute streak. He
1 Mr. Bottomley flourishes. In addition to owning and editing John
Bull, he partly controls the National News, the Sunday Evening
Telegraph, and he contributes the leading article to the Sunday Pic-
torial. The mainspring of his inner life he revealed in the House of
Commons on November 4, 1919 : " I am a Hun-hater. I live to hunt
the Hun. I intend to do it all the days of my life."
240
BOTTOMLEY 241
appeals to Britain in its heavy holiday mood — to the crowd of
the public house, the music hall, the prize fight, the dog fight,
the horse race, the professional football game, dirty humor, and
the spirit of sport on its savage gambling sides. His spiritual
allies are : the haters of the Irish, the commercial imperialists,
the militarists, some of the daily press, much of the Sunday
press, the Morning Post and the Saturday Review. He is the
voice of the bitter, greedy, hate-elements in our common
humanity.
On April 19, 1919, Mr. Bottomley wrote :
The things which matter are (i) indemnities; (2) the punish-
ment of the Kaiser; and (3) the future of the German colonies.
I don't trouble myself about the League of Nations dream — that
can wait. I am thinking of the ten thousand millions which, in
one way and another, the war has cost us; and the crimes and
atrocities which, in obedience to his command to " emulate the
example of Attila," the German soldiery have been guilty of, and
of those territories contiguous to various parts of the British
Empire which, before the war, were under the malignant sway
of Germany. I wipe out, therefore, not only the League, but
also the " Freedom of the Seas " — whatever that may mean —
"economic boycotts," and all the rest of it. And whilst the
Allies are groaning under the burden of war debt and taxation,
and Germany is either recovering herself — or concluding a Bol-
shevist bond with Russia and China — America is to " scoop the
pool ! "
Why have we an army on the Rhine— except to enforce our
will upon the enemy ? No ! there must be no more talk — no more
Little Tens and Big Fours — no more commissions. We have had
ample time to make up our minds — I believe, too, that France is
at one with us — and if Mr. Wilson doesn't agree with our de-
mands— well, we are much obliged for his assistance — late as it
was, when it came — and now he can go home. We have had just
about enough of his lectures and protestations, and there is splen-
did irony in the fact that the George Washington is the boat
which is to take him back.
What fools we have been ! And all to oblige Mr. Wilson, who
sat in his study, three thousand miles away from the battlefield,
242 PROBLEMS
writing " Notes " and drafting " Points," whilst France and
Britain and Belgium and Italy were being bled white ! To para-
phrase a well-known tag, " What fools we mortals be ! "
As I have said, in the House of Commons and out of it, the
British case has been too much influenced by the so-called idealism
of President Wilson.
Mr. Bottomley's attacks on Americans are frequent. He is
a prominent figure in Parliament. His ideal for his country
is that of a more vindictive Prussia. He attacks all that is
noble in England, and opposes the movement of the
democracy. He speaks fluently with the swing of a music-hall
monologist. With his facile and copious emotions, he has a
real pity for the " hard luck " of the poor. He rights against
slumland. He pours light on individual cases of injustice. He
has ready tears for ruined girls, particularly when the story
of their wrong will smack a little smuttily in the columns of
his weekly.
He is as powerful and disintegrating and dangerous to the
British community as Mr. Hearst is in America. With the
million circulation of his John Bull, his crowded meetings, and
his speeches in Parliament, reported throughout Great Britain,
he exercises a black magic on the mob consciousness.1 He is
one of those lusty growths which only come to their perfect
bloom in the climate of war. Safe from the slaughter, he
cheers on " an adequate army of occupation — that's the stuff —
and the only stuff — to give 'em." In that emotional revel,
which war is to this type of civilian, he rejoices in the spectacle
of nations bleeding.
1This hate is facile. It has at times been turned by mob publicists
against Serbia, France, Russia, America, Ireland, with the same force
and phrases as those used against Germany.
CHAPTER III
WARBLINGTON.— THE OLD ENGLAND
[This chapter is given by way of contrast. Old England
still lingers in a few of the villages and in by-streets of great
cities. It has a beauty which the modern world cannot create :
a beauty of nature, and of art, and of traditional association.
The tanks of civilization are bearing down on this. Will any
fugitive remnant at all be left?
The yew tree and the church and the ancestral home are a
portion of this inherited beauty, which was once resident in
both the natural world and the man-created world. Already
it is proposed to raze some of the old churches. Men like
Cunninghame Graham and W. H. Hudson have protested
against the destruction of the woodland life — many species of
birds, now seldom seen; the ponies of New Forest, wounded
and left to die by speeding motor-car drivers. In making all
things new, will the inheritors leave anything of Old Eng-
land?]
THERE are men who are fittingly placed in life, like a tree in
its soil. Such was George Herbert at Bemerton, and Words-
worth at Ambleside. Such is William Norris, rector of
Warblington, in the County of Hampshire. For forty years
he has gone in and out among his people, his ministry con-
necting their brevity of life with the past of their race, and
so bequeathing values to the future of which haste and change
would bereave them.
His house is entered through a long avenue of hundred-
year-old elms in double line, crossed, at one point, by lofty
oaks of a still older day, as if a Norman chancel were cut
by a transept of early English design. Overhead the topmost
branches meet in a rounded arch, curving from either side.
243
244 PROBLEMS
Under foot the rich undisciplined grass is tawny with butter-
cups. At the far end of the lane of trees, a sixth of a mile
distant from the entrance gate, stands the rectory, seen
through that swaying shadowy canopy like a blur of dull
gold. Down from the rectory to the intersecting oaks a
double row of daffodils come racing with their yellow-gold
through the months of February and March. These Lent
lilies, like the later buttercups, lend a touch of relieving color
to the cool shade of the oak and elm. A portion of the house
is three hundred years old, and on its south side, facing the
all-day sun and the English Channel, the shell of lichened
brick is pierced at ten points by windows, so that it is open-
eyed, and eager to gaze out on forty acres of fertile glebe,
grass land all, and on the precipitous tides at the rim of the
meadow. Those tides are seen lifting their full-bosomed
plenty, and then, as swiftly and silently, shoaling till the floor
of the earth thrusts through, with the wet green glistening
sea grass veiling the nakedness of mud flats, and white sea-
gulls camping in the trickling channels that dent the face of
the sea-bottom like sword-scars on a cheek.
For one hundred and twenty years the rector's people have
dwelt right here, grandfather and uncle, handing down " the
living " through the generations. Inside the home are rooms
of lofty ceiling and ample space. And so through dining-
room and drawing-room to the heart of the house, the study,
where the books flow up from the floor as high as the ceiling.
Two circular bookcases of mahogany are shaped to the curv-
ing walls, as if to the stern of a ship. The shelves are heavy
with sound pieces of book-making: an eighteenth-century edi-
tion of Swift, a second edition of De Quincey, Smollett, com-
plete Gibbon, South, many books of mysticism, novelists, poets,
philosophers.
The lifetime of the rector's reading is massed around him,
like silent troops ready to be mobilized on the instant call.
Here are sturdy editions of the time-defying paper and stitch-
ing, with levant covers touched by those smoldering colors
of autumn leaves, which make a library in early evening light
WARBLINGTON.— THE OLD ENGLAND 245
seem like the mulch of a late October forest. These are
books that could never fall from our hasty presses, but were
fashioned patiently for resisting the little casualties of human
ownership. Such furniture blends with a room which has sur-
vivid much occupancy, and still preserves its own aloofness,
unperturbed by what has fluttered across its threshold. In
the center of the room sits the man who has read his way
around the room. He reads and marks, volume upon volume
traced with his pencilings, so that later work is but heaping
up for transportation of crops already harvested and win-
nowed. Such quiet labor, so long maintained, the effort of
the days of a lifetime, falls inside the same compulsion which
ripens into stateliness the blown and casual seeds of the natural
world.
From " a little and a lone green lane " you come in sight
of his wide-roofed church, deep-set in elms and yew trees,
and hard by the solitary shaft of a castle. He has preserved
the old trees of the churchyard, clearing their bases of what
might clog their hold on a future life, wiping away the weeds
from tombstones, so that many quaint hopes of immortality
can again be pricked out by chance visitor and lingering com-
municant. Here he, too, in his mortal way, has taken root
and ripened, till he seems a part of his gracious landscape
and of his time-enduring transept.
The old north porch of oak is mellowed to the hue of stone.
Its barge-board and its swinging door have weathered six
centuries on duty there, and still the wood is hard and
ringing to the blow of knuckles. Once it served as the knee
of a ship, long before Columbus took to the sea-ways. In
its first youth heaving and washed on by salt, now in maturity
it is at rest on English soil, a shelter against fresh rains.
Where the chancel ceiling had fallen wholly to ruin the rector
rebuilt. Where the dark-beamed ceiling of the nave had been
overlaid with plaster by gross builders, his uncle, rector be-
fore him, struck away the whitewash and let those stalwart
ribs again reveal the weight they carry down the years.
" Thomas Hardy would not be displeased with this, you
246 PROBLEMS
know," he said. " He is an architect by training, and he
knows what is rightly done." The church is some of it six
hundred years old, and a little of it reaching back for a thou-
sand years in the rounded Saxon arches of the central tower,
with a scattered few red bricks of Roman baking glowing
through the gray.
But older than his church is the tree on the south side of
the chancel. Indeed it is likely that the church came there
in adoration of the tree, for such a tree would draw the early
piety of the Saxon villagers, and they would have raised
stones and shaped a worship to tell their reverence for so
living a growth. The rector led the way to that staunch yew
of a thousand years, with its twenty-six feet of girth. It
stands unpropped, with no feebleness of drooping outworn
member. " No better tree in England," he said. The butt
had formed and reformed in tangled mass to the height of a
man's head, as if the roots had leaped from their hidden life
under the earth and sought to climb toward the light. And,
beaten back in each age they had thickened their coil about
the parent stem in fierce possession, determined at least to
hold what was already gained, if fresh height and flourish
were to be denied. The teeth of storms had been fastened in
that clustered fiber, and then the angry indentations worn
smooth by the play of softer winds and gentler rains. And up
from the gathered strength at the base the trunk lifts itself
unwearied and straight. There is a patience to the ancient
thing, as if it were some grim old warrior, resting in the sun
after long toil — the face pitted with strife and sternness.
Unconsciously it leveled other matters to their due propor-
tion: the lives of men, with their little duration, spanning,
for all their heat, only the ripening of a few shoots from
the yew tree's central shaft. And it reduced to a proper
dimension the work of human builders whose cunning could
avail for only a brief term against crumbling. All man's
restoration is done each age from a fresh unrelated impulse,
the old secret lost. At best he can but patch antiquity, never
lead it on to inherit the future by invisible threads of con-
WARBLINGTON.— THE OLD ENGLAND 247
nection — never quite recover the early blitheness and happy
off-hand stroke that shepherded some slender pier into a
spray of efflorescence at its crown. But each new energy that
carried through the sap of the tree had unfolded itself within
the one enduring growth, a seamless garment from a silent
loom.
SECTION SIX
THE SUMMING UP
What is the good of all the wealth and comfort and glamor
of the Victorian age when the next two decades bring us to
the graves of ten million young men slain because of the base
passions of greed and domination which lurked below the smiling
surface of that age? The game is not worth the candle, and we
should rather welcome the new and difficult times on which we
are now entering.
For doubt it not, we are at the beginning of a new century.
The old world is dying around us; let it also die in us. Once
more in the history of the human race we hear the great Creative
Spirit utter those tremendous words, " Behold, I make all things
new." GENERAL SMUTS.
ENGLAND had won the War. By that process of Nature which
works so inevitably for her, she had acquired unsought terri-
tory. Her War-Premier had won his khaki-election, after
promising audacious things. The year of peace opened pro-
pitiously.
But at the moment that private enterprise, under the capi-
talistic system, was facing its brightest future, with weak
countries ripe for exploitation, with raw materials located and
controlled, with science equipped for turning them into stand-
ardized products, just at this pinnacle of power, an unex-
pected disease struck paralysis throughout the system.
Labor, on whose docility depended the extension of beneficent
Anglo-Saxon rule over lesser breeds, went "bad." For the
six years before the War, indeed, signs of trouble had been
increasing, but only cranks and experts had regarded them.
Then came the War with its healing touch. But even here,
the wholesale slaughter did not result in the enrichment of life
which was hoped for by both bishops and editors. Memories
249
250 THE SUMMING UP
of the Brotherhood of the Trenches fail to content the de-
mobilized Tommy with the England to which he returns. By
the guerilla warfare of sectional strikes and one-day stop-
pages, by the mass warfare of great strikes, by the steady
wear and wastage of slack work, petty obstructions, and
passive resistance, the workers pick and nibble and dynamite
the system to pieces. Capital no longer invests in growing
volume. Labor no longer works with heartiness. Industry
is running down.
Those who work are fighting those who own. The work-
ers no longer think that the shareholders are wiser than they.
An old Oxford friend said sadly to me :
Ten years ago, when I came into a crowded bus, a working-
man would rise and touch his cap and give me his seat. I am
sorry to see that spirit dying out.
The workers are beginning to use a manner of jair equal-
ity in dealing with those passengers who travel through life
on a first-class ticket. It is a spiritual change which will
register itself in new social institutions. The workers believe
that they have been "had." The porter, waiter, miner, ma-
chinist have penetrated the secret of the significant class, and
have found it is not fixed in the eternal scheme of things that
the workers should insure the harmonious leisure of a superior
caste. They are willing to take the risk of making funda-
mental economic changes in order to express this new con-
sciousness. If it is poverty the future holds, the worker is
willing to share it with the rich. If it is the carking worry
of responsibility, the agonies of the directorate in bossing,
the worker stands ready to lighten the load.
Certain ideas one believes to be knit into the fiber of a
people. Suddenly they fall away — outworn shells. So the
class idea falls away in England, just as the worship of the
Czar by Russians died in a night. Reverence for the gentry,
for the privileged, for the idle, has withered. With the idea
gone, the institutions built upon it go. Until Britons learned
THE SUMMING UP 251
the incapacity of the governing class, the selfishness of the
owners of land and capital, the Old Order and the Old Gang
were impregnable. That is the change in spirit, beginning to
show itself by 1910, but hastened by the War. In my opinion,
this change is the most profound in its grip on instinct, the
most far-reaching in its consequences, of any. All other
changes wait on that, and follow from that. An American
philosopher, Ralph Barton Perry (in The Present Conflict of
Ideals), has expressed the significance of this change in the
psychology of a people. He writes :
We have encouraged the poor to aspire to wealth, the ignorant
to seek light, and the weak to covet power. We have done more
than this — we have shown them the way. For we have com-
pelled every man to secure the rudiments of education and thus
to become aware of the world about him. We permit the organi-
zation of the democratic propaganda, we supply the motive, and
we bring every man within the reach of it. Last and most impor-
tant of all, we have distributed political power equally among men
of every station and condition; with the result that the very
few who are fortunate may at any time be out-voted by the
overwhelming majority of those who are relatively unfortunate.
Does any sane man suppose that what has been scattered broad-
cast can now be withdrawn? Or that those who possess the
opportunity and know it are going to refrain from using it?
From the day of the armistice, labor unrest increased. The
immediate occasions of the almost universal unrest were:
1. The fact that the labor vote in the December election did
not receive its proportionate representation in Parliament,
whereas a little over 50 per cent of voters elected over 75
per cent of coalition representatives. Labor's vote entitled it
to at least one hundred and twenty-five seats.
2. Mr. Lloyd George's attack on the labor leaders as " Bol-
shevists."
3. Widespread unemployment, numbering about one mil-
lion workers ; whereas
4. The Government was selling national factories (which
252 THE SUMMING UP
could have been used for national service) into private hands
and purposing to sell the new national shipyards into private
hands.
5. The increasing volume of proof of war-profiteering on
the part of a few and no evidence of a " New England " for
the many.
6. Lack of Government policy concerning demobilization.
7. Failure to apply Whitley councils to Government serv-
ices, such as the Post Office.
8. Failure to give a clear statement on nationalization of
mines and railways, on continuation of conscription, on
wages.
9. Failure to withdraw war restrictions, such as imprison-
ment of political prisoners, the continuation of D.O.R.A.
10. The jazz restlessness, the result of war weariness.
The great cities went dancing madly. There were a slack-
ness and abandon which I do not remember having seen in
nineteen years of visiting in England. War had bred a fatal-
ism, a carelessness about to-morrow. The soldier was tired
and sad and ready for excitement. The worker was tired
and bitter, distrustful of Government promises. The strikes
and threats of strike (engineering, shipbuilding, electrical,
transport, railways, mines) were aimed immediately at main-
taining the wage scales of the War and preventing unem-
ployment.
Mr. Lloyd George, pausing in his work at Versailles, came
home to cure unrest. In nothing are his touch and technique
swifter, surer, than in his improvisations for labor disturb-
ance. So this time he projected the National Industrial Con-
ference and the Coal Industry Commission. In each crisis,
he believes that what is wanted is a lightning rod, not an in-
surance policy. Each time he smiles and seems to say, " Why
so hot, little man ? "
So the months passed. Labor began the year at high revo-
lutionary speed, but there came a fade-away, because of:
i. The failure of strikes and uprisings (such as the Clyde
engineers, Yorkshire miners, the second police strike).
THE SUMMING UP 253
2. The influence of labor leaders affiliated to the Triple
Alliance — Will Thorne, Clynes, Thomas, Sexton, Tillett.
3. The influence of Arthur Henderson.
4. Realization of the nation's financial condition (state-
ments of Hoover and Lloyd George).
5. The enjoyment of labor gains already made — gains rela-
tive to other classes, former lot, and the general situation.
6. The discount of wildness or suddenness.
7. Too many issues — the movement jumped in various di-
rections, like a nest of grasshoppers.
8. Delay. It is impossible to hold a revolutionary pose.
The workers grow bored. The issues change. Revolution
must gallop like a motion picture. England had no Griffiths
to unroll it — there is no big boss of British labor.
Having come so far, labor was unprepared to go further.
The trade-union leaders after the War found themselves in
new conditions where they had no guiding experience. So
(with a half-dozen exceptions) they failed to give leadership.
Labor is unready, because it believes itself unready. It
has revealed this inner weakness by the feebleness of its Par-
liamentary opposition. With its sixty-two members it could
have made a fighting block in Commons, like the old Irish
group under Parnell. It could flay and finally slay the pres-
ent Government, which is -unpopular, inaccurate, mendacious,
and without a policy. Instead, the labor group has been tame,
humble-minded, without ideas, leadership, or militancy.
Labor showed its unreadiness in failing to follow the shop
stewards. The rank and file fell away from the workshop
movement.
Labor failed in influencing to any large degree the terms
of the Peace Treaty. Had it been united and determined, it
could have forced Versailles to save Europe instead of
wrecking it. It is convenient to blame Lloyd George or Wil-
son, but the real failure was the lack of international con-
sciousness among the workers. Their internationalism is
mainly a matter of friendly feelings. They rarely summon
their pressure to effect a change of Government policy. They
254 THE SUMMING UP
love abstract principles and ethical sentiments. They love a
leader who can talk in terms of the moral world. In fact,
the labor movement internationally is far from united. More
exactly, it is indifferent. Roused momentarily to interna-
tional consciousness by Mr. Wilson's arrival, it would have
rallied round him if he had conducted open diplomacy at the
conference. But with the case leaking away day by day, it felt
let down, shrugged its shoulders, and turned to domestic con-
cerns. A powerful minority section agitated against Russian
intervention. But the main body of labor is weary of Europe.
Labor, lacking the conviction of its mission to set up the
new order at once, nevertheless reacted with determined and
victorious power when its industrial gains were assailed. The
wage scales of the War have been held, while hours have been
shortened.1 In the more important industries the average in-
crease in rates of wages (including war bonuses) made since
the outbreak of war, lies between 100 and 120 per cent. Ex-
amples range from less than 60 to over 150 per cent.
If labor's year of peace failed to realize the crisp defiance
and brave synthetic program of the Sidney Webb manifesto
(Labor and the New Social Order), the Government made as
poor a score. Mr. Lloyd George summed up his peace pro-
gram and policy in a letter sent in July, 1919, to a coalition
candidate. He itemized the establishment of a Ministry of
Health, the Housing measure, the Ways and Communication
Bill, Land Acquisition, and Land Settlement. The best com-
ment on this is that of Mr. Clynes. He said : —
After ten months of a most powerful Parliament under a most
powerful Prime Minister, nothing has been'done in reconstruction.
But you cannot live on schemes, and the people are tired of
waiting for the land of promise. The work should have been
begun in the spring and summer. Never was a Government such
a failure. The hope of the future is the new-found power of
1The hours in the principal industries are now generally 44 to 48,
compared with 48 to 60 previously. Weekly time wages are generally
not reduced. No movement previously recorded has equalled this
"shorter week" of 1919.
THE SUMMING UP 255
labor properly used. The only solution is the plan of the Labor
Party — a levy on the capital of the country or a tax upon the
accumulated fortunes and profits made during the war.
Or to give the figures :
Twelve months after the armistice, a few hundred soldiers
had been placed on the land.
Instead of the 200,000 houses, or the 500,000, or the mil-
lion, 300 houses had been built at the end of fourteen months
of peace.
But the Government is like a tired man who takes on addi-
tional jobs, just because his judgment is blurred and his nerves
are strained by fatigue. In its moment of prostration, the
present Government is extending its powers. Throughout
this year of exhaustion, it has indulged in side-shows and
semi-wars and adventurous expeditions in several parts of
the globe. As the Ministry of Reconstruction (Pamphlet 37)
described it:
The process of self-determination of nations, we are told, will
initiate a new order of things, but is it to be believed that the
regions mentioned above * are yet in a fit state to govern them-
selves? A few British officers and men on the spot will be a
very salutary help in the settlement to come.
Over an area, vast before, and now increased, an area
seething with unrest, England, tired at the core, is trying to
send out currents of energy and control. But the dynamo is
spent, and the wires, that used to be charged with power,
hardly quiver from the feeble currents of the center.
Apart from a few lonely voices, labor is silent on this
hereditary instinctive policy of the Foreign Office and the
War Office. Labor is silent because it is ignorant of interna-
tional policy. It has grown up in the trust of these statesmen
of unblemished honor, who never boast, never explain. This
will be the last group to be doubted.
1 Armenia, Mesopotamia, Egypt, India, East Africa.
256 THE SUMMING UP
The Universal Strike
The lesson of England is not a new device for a factory. It
is a change of consciousness toward industry. The instincts of
the workers have revolted against competitive acquisitive organ-
ization. They refuse to work the system. It therefore slowly
crumbles. The institutions, registering this change, will be gradu-
ally created.
Dean Inge says: "The life of the town artisan who works in
a factory is a life to which the human organism has not adapted
itself." The deracinated life of the human herd in modern towns
is the condition and the instrument of large-scale industry. A
speeded-up machine production, whose products do not bring a
good life to those producing them, carries the germ of its own
decay. " A barbaric civilization, built on blind impulse and am-
bition, should fear to awaken a deeper detestation than could ever
be aroused by those more beautiful tyrannies, chivalrous or re-
ligious, against which past revolutions have been directed." 1
Human nature in industry has gone on strike. The decayed
autocracy of financiers and business men cannot be restored by
"profit-sharing" and "copartnership." The revolt is not against
details. It is against the purpose, products, methods, and condi-
tions of industry. The workers do not want the " wants " that
fill modern life, the splatter of the shops. Sections of them have
proved this by knocking off work for a day (or even two days)
a week, when they attain a moderate standard of living — the
level which Professor Zimmern defined to me as one of " reason-
able satisfaction."
Something in the industrial system offended the soul of the
worker. He resented the forced draught that played on his
working day. He saw " an immense accumulation of the apparatus
of life, without any corresponding elevation in moral standards,"
creating a civilization of " technical efficiency without love."
There came a moment when Napoleon's soldiers tired of the
grandiose and expanding campaigns of conquest. The motives
that had driven them wore thin. So it is with the workers. The
familiar compulsions no longer avail, the industrial organization
crumbles, and the mines and railways and factories become a
1 Santayana.
THE SUMMING UP 257
wasting asset. Militant strikes can be crushed by tanks and ma-
chine guns. But against the passive resistance of the human spirit
in the millions of workers the owners make war in vain. It is
a process of nature, a molecular change, invisible and universal.
This life-force can be re-enlisted only on its own terms.1
The tendency will (very slowly) be to make Britain more self-
contained. The rush of exports for overseas markets will gradu-
ally be lessened. The worker will have his garden, and supple-
ment his living from factory work with his home-grown products.
This will not mean a return to a pastoral society nor to handi-
crafts, but it will mean a better balance struck between industry
and agriculture. It means a production of necessary things — per-
haps a larger production than now — but the disappearance of
costly luxuries. As the head of a woman's wholesale dressmaking
firm said to me : " We no longer sell the $80 dress. But we sell
half-a-dozen $30 dresses, where we sold one before the war."
The experiment is an act of faith, like the French Revolution
and the creation of the American republic.
The present acute sag in productivity is not to be confused
with the long descending curve described above. As the immediate
result of the war the will to work has been disastrously weak-
ened. This is due to disillusionment, fatigue, the bad habits of
military life. People wish to spend money. They wish an escape
from the drab of khaki, the monotony of trench service. They
turn to color, light, sexual license — to the primitive desires of
the savage. All the thwarted instincts have been uncovered and
walk through society, naked and unashamed.
But this riot of barbaric impulse will not be long continued.
Wealth has been destroyed. It must be restored. The spiritual
reserves have been exhausted. Time will bring fresh supplies.
There is at present no vitality for reconstruction, for anything
beyond the momentary sensation. Slowly society will re-establish
its old controls.
But after the recovery from the present highly abnormal inertia
and recklessness, the same slow crumble, visible since the begin-
ning of the century, will continue. Irresponsible capitalism will
1 A 25 per cent of control will be offered at first as in the railways.
The changes will be made in digestible instalments. There will be no
Day of Judgment — only nibbling encroachments.
258 THE SUMMING UP
break down in the key industries one by one. These will pass
over into the control of the workers, as the mines and the rail-
ways are now passing.
And yet, after listing the limitations of the people, one
can only wonder at the speed with which they are recovering
from the War.
A year that began with a million unemployed ended with
only half a million. And that was the year of demobili-
zation.
The Government is bankrupt, but England is not bankrupt.
Inertia and irritability are widespread, but calmness and
common sense are returning.
British Traits
The central fact about Britain is the immense sanity of her
people. That sanity is compounded of a rich though deeply
hidden sense of humor, which saves the possessor from fa-
naticism and from pushing human affairs to a logical conclu-
sion— of an instinct for political compromise, which carries
the mass along in a natural unity (made up of apparently re-
pellent particles) and of a revolutionary mind, which frees
itself from old cramping institutions, and drives on to fresh
experiment.
Their compromise is not the acceptance of the status quo.
It is the registration of a new point touched in passing: it is
a momentary arrest in the process of becoming. There is a
centripetal force in the mass itself — a sense of the center and
a will to cohere — which holds its particles together, while it
moves on. So the " center " of a movement, like the labor
movement, is a shifting standard, a standard borne on by the
flood of change.
Their revolutionary mind does not dabble in bloodshed.
The British do not wish the spectacle of people whipped into
feverish excitement, and mowed down by machine guns.
That sort of herd instinct they believe is as blind and brutal
THE SUMMING UP 259
as the mob frenzy that drives men into lynching and war.
They think that the social revolution means a profound change
in consciousness, the product of a long teaching, the goal made
clear, and the way to reach it shown. So the new order comes,
because there is a change in the thinking of multitudes till
the old order falls like ripe fruit. British workers do not
follow cheap " revolutionaries," with a thirst for experience,
an impatience of long, hard work, lovers of excitement, build-
ing a bonfire to attract attention. They distrust violent-
minded men, because the violence is short-winded and
likely to attach itself to a number of things in turn. They
believe that violence is often the product of buried but un-
digested emotion, not about a cause or principle, but about
some unsolved personal inner conflict. They believe that
" nothing that is violent endures."
Since the immediate need of the next two years is produc-
tion of goods in exchange for essential imports, and of goods
to replace the vast waste of war (houses, rolling-stock, ma-
chinery), I do not see the British forcing an artificial eco-
nomic crisis in order to build a bran-new society out of a total
wreck. On the one hand, the workers will demand unceas-
ingly the acceptance of the new principles of nationalization
and workers' control. On the other hand, the workers will
grant time for the application of these principles in their mul-
tiple patiently devised details. To remold institutions to the
needs of to-morrow, to shape aspirations into a policy, re-
quires fundamental brain work which as yet is lacking. Im-
partial men, such as Justice Sankey and Sir Richard Red-
mayne, have condemned the old order as Lincoln condemned
slavery. It remains for the Government to seal the condem-
nation and begin building. If the principles are not accepted,
the workers now have it in their power to destroy the present
economic system. But they prefer the step-by-step method,
which means progressive organic change. This means the
installation of the Socialist State, with workers' control, not
by armed insurrection or sudden syndicalist paralysis, but by
votes and trade-union pressure, applied over a period of " five,
260 THE SUMMING UP
ten, fifteen years " (in Mr. Smillie's phrase) or " ten, fifteen,
twenty years" (in the phrase of Mr. Hodges),
Britain's business men, her governing group, will have to
accept the new position of labor in society, because they can
do nothing else. Only as equals in a progressively Socialistic
State will labor pull full stroke. As long as labor lags, and
strikes, and sulks, expenditure outpaces production, and capi-
tal evaporates. Bankruptcy is the only outcome of the pres-
ent process which is wasting away what was once a living
organism.
" We'll give them anything, if only they will work," I heard
a noble earl, who is a great employer, say. " We'll agree, be-
cause we have -to."
There will be no bloodshed in effecting this change, only a
creeping paralysis until the clamant demands for equality are
granted and enacted. But this crumble and fresh cohesion
will not be sudden.
Extremists of the Socialist Labor Party, and one or two of
the Guildsmen prophesy a logical and dramatic disintegration
in the next two years. But I think that their diagnosis is
over-simplified, and lacks recognition of the international eco-
nomic position. There is more elasticity to the capitalistic
system than they think. We are in the slump which has fol-
lowed every modern war, and which registers itself in the mal-
adjustment of demobilization and in a psychological state of
bitterness and unwillingness to work. These phenomena are
familiar to every country that has conducted a large-scale war.
They are only new to the experience of England, and have
resulted in stimulating {he prophetic gifts of her brilliant
young men.
Will the worker continue to practice ca' canny? He will
not, because he cannot. The economic position is such that
fear and hunger will operate once again as they used to op-
erate. The financial condition of Britain will be presented to
the workers by men like Lloyd George, playing on the nation-
alistic nerve. The worker is facing poverty under any sys-
tem, and poverty worse than any known in recent years. The
THE SUMMING UP 261
dramatic contest of workers and owners will be undercut by
primary poverty for the whole nation.
England is delicately balanced in a system of international
credits, of which America holds the purse. America can
manipulate food, raw materials, and credits. She has already
captured many of the South American markets, and will seek
to capture those of Central Europe. Unconsciously certain
of her governing group would see England reduced to a
minor outpost of the race. But they do not wish to let Eng-
land be ruined — merely to be weakened to the second rank.
Now this international economic process will divert labor from
any of the moving-picture performances which various groups
are prophesying.
The present maladjustment, then, which is in part the result
of tired nerves, will soon be followed by a period of produc-
tivity— replenishing of rolling-stock, houses, machinery. This
will still be financed on paper money.
Then comes the third period, that of paying for the War.
The poverty then will not come as the result of a crash, but
will slowly creep in. Wages will remain high, but prices
will climb. Many young men will emigrate. In that third
long period will come labor's chance.
Already the first period of demobilization and maladjust-
ment is merging into the second period of employment and
production. In the first half of the year 1919, a few of the
intellectuals in the trade-union movement were trying to
speed up the workers to the creation of an artificial crisis,
which would have found the workers unready, and so would
have weakened their movement. There was a brief period
when it looked possible to engineer a crash. The results
would have been poverty and subjection. The time has not
come for the final trial of strength between workers and
owners.
The Intellectuals
The intellectuals in the trade-union movement are not nu-
merous, but they are busy workers. So close is the harmony
THE SUMMING UP
in which they and the industrialists sing that it is difficult to
tell which portion of a manifesto in time of crisis is written
by an impassioned labor leader locked in combat with the
grim giants of capitalism, and which is the insidious philos-
ophy of a cool young social scientist from the serene close
of Oxford or Glasgow. I have been moved by the pure
proletarian accent of a broadside from a transport worker only
to find that it had been germinated and polished off in the
laboratory of a university thinker. I once asked a machinist
shop steward whether his well-known idea of the State was
the result of contact with a famous young university writer.
" I'm converting him," he replied.
And I asked the essayist how the matter stood.
" I'm converting him," he answered.
That is how close it is. It is an interwoven movement.
Both groups are enjoying the experience. The scholars revel
in the tough-minded reality of being at last a part of some-
thing with mass and motion. And the workers are pleased to
find themselves provided with a vocabulary and a philosophy.
To take one group of intellectuals, the Guildsmen, who have
powerfully affected the thinking of trade-union members. In
the last five years, the Guildsmen have done a service akin to
that done by Blatchford for a former generation. They
don't write as simply nor as vigorously as Blatchford did in
" Merrie England," but they, like him, are evangelists. They
have carried on excellent Salvation Army work in popular-
izing the idea of a British brand of syndicalism. They have
domesticated that immense dynamic. But for them, the Cen-
tral Labor College, the Socialist Labor Party, the I.W.W.,
French ideas, the phrases of Tom Mann, and the tracts of
Daniel De Leon would have perhaps been the only deposit
of syndicalism and industrial unionism. The result would
have been a small minority of workers over-stimulated with
a doctrine that omitted one-half the truth. But Orage, Cole,
Mellor, Hobson, Bechhofer, Reckitt, and a few others rendered
the alien vocabulary into a British blend which pleased the
palate like Lipton's tea.
THE SUMMING UP 263
This earnest, tiny group (a few hundred in all the King-
dom) appear in various service uniforms and play many parts.
As university graduates, they are at the heart of the Univer-
sity Socialist Federation. As Christians, they are Church
Socialists, sapping the Established Church. As Guildsmen,
they conduct a league, honeycombing the trade unions. As
investigators, they are the Labor Research Department, affil-
iated to important members of the trade-union movement.
As Fabians, they buffet Sidney Webb. As journalists, they
have entry to powerful newspapers and weeklies. As writers,
their books * are in some instances irreplaceable because of
the careful collection of facts and the understanding of cur-
rents of tendency. But their great service has been that of
agitators with a smashing generalization. Perhaps no group
of young, ardent men with a message ever had a more for-
tunate fate.
Workers' Control
Having done their job manfully, their function is ending.
What is wanted now is no longer agitation, but education.
What is wanted is training for the workers in self-govern-
ment. Fact studies are needed, and lines of functional de-
velopment suggested. The apocalyptical vision must now be
turned upon some pit or workshop, and show just where the
worker can take hold, and begin his career of control. I
attended both sessions of the Coal Commission hoping to
get something more than Wilsonian abstractions, but came
out by that same door wherein I went.2
No bridge is being built between their Day of Judgment —
which is to come within a year or two " when the capitalistic
system crumbles " — and the day of workers' control. The
system of workers' control presupposes four things: that
i. The workers wish control.
1 Such are An Introduction to Trade Unionism, Self-Governtfient in
Industry, The Payment of Wages.
2 See the evidence of G. D. H. Cole, Appendix, Section 3, Chapter
III.
264 THE SUMMING UP
2. The workers are capable of control.
3. The technical, managerial, and directive men will co-
operate.1
xThe organ of the railwayman, The Railway Review, on August 15,
1919:
"Those engaged in an industry simply are those persons essential
to the industry, from the new boy or girl to the general manager.
The boards of directors we will leave out of the account, as, although
they have been and perhaps now are essential, with the change of
ownership of railways they will become obsolete, even as the share-
holders who elect them and for whom they act will become obsolete.
" The hard fact that must be realized is that under any form of
ownership the assistance of the managerial classes in controlling
industry is not merely desirable, but necessary.
" In conversation with the manager of a manufacturing firm recently,
which owned a branch in Moscow, we asked him what was his out-
look there? 'We are doing very well there,' was the reply; 'they
cleared us out when the Bolsheviks came in, but in six weeks they
sent for us back to manage the place, the workmen could not run it
by themselves.' The moral is almost too obvious to dilate. There
were things in the control of industry of which the machine minder
had no conception until he faced them, and failed. The ' dictatorship
of the proletariat ' failed in practice because the ' rank and file '
failed to recognize that the management was an essential part of the
scheme of production. We have to win, not to destroy, the man-
agerial classes.
" So far as we are concerned in the railway industry, control by
those in the industry will follow a line of evolution perhaps almost as
unconsciously as the principle of ' recognition ' came into being. Rec-
ognition came with industrial power, and there is no definite date upon
which we could have said to have achieved recognition.
" Control is the evolutionary period following upon recognition,
and it can be said that in recognition there is the embryo of control.
Recently the Executive Committee of the National Union of Rail-
waymen decided that certain regulations with respect to men on
certain railways required readjustment, and notified the desire of the
men for rectification. The desires of the men operating through the
Executive of the Union were fulfilled, and in these recent examples
we have concrete evidence of the beginning of some measure of con-
trol by those at the bottom.
" There can be no fixed definition in the meaning of control. Evo-
lution impelled by the aggregate desire of those who share in the
THE SUMMING UP , 265
4. The consumer will acquiesce.
1 suggest that those four things are not obtainable within
one or two years, but are five to twenty-five years distant.1
Mr. Cole's inability to produce facts in substantiation of
his statement on workers' control 2 (his evidence on the
Derbyshire pit committees), was clearly a disappointment to
Mr. Justice Sankey, and forced him to turn to the public
administrator solution of Lord Haldane,3 rather than to a
formulation of workers' control. Mr. Justice Sankey incor-
porated the suggestions of Lord Haldane because he was in
easy mastery of his facts and because he dealt at length with
the problem of motive in industry. Sankey was forced to
reject the suggestions of the Guild witness, because, promis-
ing facts, he gave none, and generalizing on "aspiration,"
and " inspiration," he did not reveal knowledge of instincts
in industry. It is conceivable that a well-grounded statement
of workers' control might have won for the miners a recog-
nition that will now be delayed through a transition period of
several years.
Mr. Harold Laski reminds us that the French groups in
administration have not laid down dicta " whether, for exam-
ple, promotion would be self-regulating, or a matter of internal
choice, or of election by the members of the particular
service."
But Justice Sankey had to consider these very questions in
determining the constitution of the coal industry. And the
evidence and the Sankey Report show that Lord Haldane
and Sidney Webb and the London School of Economics had
labor of production must work its course, and in due order of
patience and time our object in spirit will be achieved in fact. The
consciousness of our aim must be the guiding line."
1 1 refer to the full program. The first steps have been taken. In-
creasing control is demanded by the rank and file. But what the per-
centage of control will finally be no one knows.
2 Appendix III, Chapter III.
3 Appendix V, Chapter III.
266 THE SUMMING UP
at least one sort of answer, which had a basis of facts in
collected experience but that the Guild Socialists had failed to
establish their case in the mind of the Judge.
Bureaucratic control by the Government is not acceptable to
Labor.
Control by manual labor is impossible except by long general
education and special training.
Control under a new type of State Administrator is the
Sankey solution. This will be acceptable to the miners in the
transition period (see Mr. Hodges' chapter).
Justice Sankey reports (see Appendix IV, Chapter I) :
"The war has demonstrated the potentiality of the existence
of a new class of men who are just as keen to serve the State
as they are to serve a private employer and who have been shown
to possess the qualities of courage in taking initiative necessary
for the running of our industry."
Professor Alfred Marshall says in Industry and Trade:
"Unless Guild organization develops some notion, of which it
at present seems to have made no forecast, it may probably drift
into chaos, from which relief can be found only in a military
despotism. In this matter (discipline), as in some others, Mr.
Cole seems to follow closely in the paths of St. Simon, Fourier,
and other early socialists of noble character and vivid poetic
imagination. The last new version of the Golden Age is to bring
out latent powers of goodness in human nature; the task of
regulation is to be as simple as it would be if all men were as
unselfish and earnest as the writer himself: the vast difficulties of
modern business organization are so completely left out of ac-
count as to imply that they have never been seriously studied."
But Professor Marshall also states :
." The State can now look to the main body of workers as the
source of much of that higher administrative work, which used
to belong almost exclusively to the well-to-do. This change was
emphasized by the Whitley Report, and it will be promoted by
Joint Industrial Councils; though their efforts may not reach far
THE SUMMING UP 267
towards a wide dissemination of the supreme tasks of conceiving
new ventures, weighing their promises and their risks, and making
a wise selection."
On this point of " upper control," Justice Sankey in his
Final Report states:
It is true that in the minds of many men there is a fear that
State ownership may stifle incentive, but to-day we are faced in
the coal fields with increasing industrial unrest and a constant
strife between modern labor and modern capital.
I think that the danger to be apprehended from the certainty
of the continuance of this strife in the coal-mining industry out-
weighs the danger arising from the problematical fear of the risk
of the loss of incentive.
As recently as 1916, acting in the capacity of president and
chairman, Harry Gosling was telling the Trades Union Con-
gress that workers' Control did not include commercial control.
The offer of the British Government to the railwaymen
gives through a Conciliation and Arbitration Committee equal
power to labor with that of management on questions inside
the area covered by collective bargaining. But the problem
is what percentage of Commercial Control has now come
under Collective negotiation. The Government offer is that
of a 25 per cent representation on an Advisory Com-
mittee to the Minister of Mines — 4 members out of 16. The
railway executives possess the other 75 per cent. How much
control would such an Advisory Committee possess? The
answer would probably be the same amount as the War Cabinet
had in relation to the Premier. That amount is a variable.
On many matters it is full control. On some, no control.
This 25 per cent of control represents a minimum first offer.
Manual labor (which itself is a composite of skilled, semi-
skilled, and unskilled) is only one functional group in the
community composed of many functional groups. The
financier, the administrator, the technical man, the engineer,
the salesman, the manager make six other groups. Much
268 THE SUMMING UP
recent discussion of workers' control has burked the problem
of co-ordinating these various highly self-conscious groups
inside self-government. It was not difficult to formulate the
demands of the workers in former generations, because the
instinctive reactions were simple to read. More money and
less work — that was as easy to hit right as to know what
a drowning man wants.
But when we enter the region of progressive self-govern-
ment, the devolution of power to associated groups, we pass
over from the psychology of the servile, suffering, rebellious,
but collectively unified consciousness of a mass to the various
reactions of those groups. We shall have " a revolt of the
technician, the electrician, the chemist, the artist, the de-
signer, the manager. We, too, want to have self-determina-
tion; we want to have control over our working life. The
function of the draughtsman is to draw plans; he will draw
plans as he likes, and will not be tyrannized over by the
manual workers for whom he is drawing plans."
Will the manual worker command in his own sphere, but
be in a position of obedience for those functions outside his
sphere? Capitalism has given a measure of freedom to the
expert.
Mr. Frank Hodges, speaking for the miners, accepts for
these next years a minority control by the manual worker
under nationalization. He looks to the day when the workers
shall have won over the managerial and technical men.
" When we make provision for them to come in, we shall be
jointly in a position to nominate ourselves the personnel of
the national council. They would be the persons to determine
the annual output of coal, to determine the price of coal.
They would also deal with the finance of the industry. It is
contemplated that the finances shall be determined by the na-
tional mining council as distinct from the Exchequer."
This process "will take time — ten, fifteen, twenty years,"
he says.
It is the conscious and influential minority of labor who
press for " effective " workers' control. The majority are
THE SUMMING UP 269
inert. Social workers in Sheffield have published an investiga-
tion into " The Equipment of the Workers." They found
three-quarters of the manual workers whom they studied to
be either imperfectly equipped or mal-equipped. This igno-
rance registers itself in indifference to extensions of democracy.
The trade unions are controlled by a minority. Branch meet-
ing are poorly attended. Votes on vital industrial questions
are generally minority votes. On a vote on the 47-hour week,
64,000 out of 300,000 voted (21%) in the Amalgamated So-
ciety of Engineers.
The experience of the Wool and Cotton War Boards does
not suggest that the workers are awake to an opportunity of
control when it is offered, nor that they are ready to use
their power to make that opportunity permanent. It would
be profitable to supplement the large paper programs of
control with a fact study of how far actual control has pro-
ceeded, and what functions the workers are now willing and
ready to take over. The Guildsmen gave me two instances
— one of a young idealist in Leeds, whose first experiment
failed, and whose present experiment is so tiny as to indicate
little but good will. The other instance was that of a large
firm which forthwith failed. Going concerns like " Hans
Renold's " have reported that they wish their shop stewards
to take over more control. Mr. C. G. Renold instances the
matter of discipline, where the shop stewards requested him
to carry on and not give them the unpleasant job.
The path into workers' control is a thick tangle.1 The only
thing clear is that the workers wish more control. Some say
1 This is the British way : to push on into the jungle without a map
or a compass, but with an instinct for direction. They write good his-
tory of their journeying, a generation or a century later, but they keep
no chronicle of the day as it falls. They chop away at the facts till
vast heaps lie along their path. They attempt no collection, no clas-
sification, no analysis, no synthesis, till they near the end of what
would have been an easier journey, if they had used a scientific im-
agination. But no one else had ever made the journey, nor would
have made it but for the track they blasted.
270 THE SUMMING UP
(the syndicalists) they want complete control. But how
much of the ache would be alleviated by good living and
working conditions, no man knows. Their suffering is clear
to them. But the thing they suffer from and the remedy are
not clear. It was only ninety years ago that the workers
felt that the vote would represent the sum of their desires.
The miner, railwayman, machinist, reacts to his job. He
feels himself thwarted at certain points of the industrial proc-
ess. He longs to reach out and clear up the mess of routine
and red tape and mismanagement in which he finds his will
to work tangled. He talks over his disgusts and aspirations at
the branch or the public house. He meets other minds battling
like his. In one way or another, that experience of his is
passed on and intensified as it speaks to the experience of a
dozen, a hundred, a thousand others. That complex of im-
pressions, thwartings, and desires, warm and human, is wait-
ing to be sharpened and shaped into orderly thought and
then into a program of action. He is told he is throbbing be-
cause of British troops in Egypt. He wonders. But when
his wages are reduced, he does not need to be told that a
live nerve has been touched. Which functions of workers'
control as yet touch that live nerve?
Need of Psychology
The young intellectuals of Britain who show interest in
labor are singularly unaware of the nature of this material
under examination. The great instinctive movement of the
workers is pushing on. Theirs not to reason why. But it is
emphatically the business of students of the labor movement
to use the apparatus and technique which have been laid down
by men like Graham Wallas. They are telling the workers
what the workers want, without themselves possessing an
equipment in the data of modern psychology. They write
rationalistic paragraphs about " service " and " motives " and
" economic forces," without at all realizing that there are
instincts in industry which break those Victorian Oxford
THE SUMMING UP 271
ideas into fine splinters. There is much patient work to be
done in the psychology of the skilled worker, the unskilled,
the casual, the technician, the manager, before they can be at
all jammed into facilely devised categories and marshaled,
like two sets of chessmen, into neat opposing forces, to be
moved by the Capablanca of the intellectuals.
One of the distinguished English economists, himself a
Guildsman, writes me:
I have thought over your criticisms, and on the whole I
agree with them as to the method, though I am not sure they very
much affect the substance of the Guildsmen's conclusions. My
only criticism on Graham Wallas's work (which I admire) is that
it is sometimes a rearrangement under new categories of matter
which is already familiar, and which, when rearranged, does not
suggest very different conclusions. Granted that man is not
"rational," what is the practical application thereof? Presumably
that he should be as rational as he can. No doubt political terms
are likely to be strained when transferred to the sphere of eco-
nomics, e.g., " self-government " in industry. But is it necessary
to prove the psychological malaise which arises when men are
unable to exercise any effective control over their social environ-
ment? Is it not legitimate to assume it, and to argue on that
hypothesis?
I believe it is necessary to have a correct diagnosis before
applying the remedy. Otherwise, like ancient doctors, we may
bleed the patient white.
Another Guildsman has published the following, entitled
Graham Wallas on Democracy — the Fabianism of 1895:
Wallas has a sort of low-voiced Nonconformist sincerity
about him, which is only slightly spoiled by a tendency to occa-
sional bawling. There is a curious impartiality about his utter-
ance, an almost imbecile absence of preference, which exalts him
or degrades him according to the mood of the listener. ... It
can readily be discerned from what has been given above tbat,
in spite of a knowledge of social psychology and an array of
modern instances, Grabam Wallas is still the enlightened " Drey-
fusard."
272 THE SUMMING UP
In the Socratic dialogue of the New Republic (May 31,
1919), Walter Lippmann says:
I am inclined to believe that an effective social science is
impossible which does not seek the hidden motives behind overt
acts.
And Harold Laski responds:
We start with a complex of impulses — all of them strivings
for the realization of personality. We find that a state such as
our own can satisfy the strivings of relatively few of its members.
I am anxious to record my sense that the political scientists are
never going seriously to grapple with their problems until (like
Walter Lippmann and Graham Wallas) they realize the bearing
of psychological discovery.
The limitations of the group of Guildsmen (with notable
exceptions, including J. Paton and Frank Hodges) are an
ignorance of the facts concerning workers' control, and an
unawareness of the need for a psychological approach to the
material under investigation. Their brilliant and incompara-
ble pioneering now needs to be supplemented by the massive
and minute work of men like Sidney Webb, in one field, and of
Graham Wallas and Harold Laski, Lord Haldane and Mr.
Justice Sankey, in other fields.
They have not thought through on the problem of manage-
ment (technical, commercial, and executive).
Is the managerial group to be supplied from the ranks of
labor?
Is the present managerial group to be taken over by labor
and employed as a high-salaried class under labor control, as
now it is the servant of the capitalistic class?
Is the present managerial group to become a part of the
labor movement? If so, will it be merged, or remain a dis-
tinct group?
If a distinct group, will it have power in relation to its
numerical strength, or in relation to its functional value?
Schemes and bills for workers' control must as yet include
THE SUMMING UP 273
special representation for the technical and directive group —
along some such line as the Plumb plan. Otherwise the job
of " persuading " the managers will be as millennial as that of
Christianizing the capitalist. The engineering draughtsmen,
a few colliery managers, bank clerks, and the like, who have
been converted to a world fit for producers, are not a suffi-
cient answer to this problem of how to carry the managerial
group over into self-government.
The consumer must be safeguarded and so convinced. The
way has not been shown.
Shaw says, " Without qualified rulers a Socialist State is
impossible."
As usual, Webb has long been tackling this not by talking,
but by training administrators. Evidence on this, given by
Lord Haldane, will be found in the Appendix in New Class
of Government Servant.
The only detailed study of workers' control in Britain has
been made by an American, Mr. Carter Goodrich, under the
title of The Frontier of Control. His book is indispensable
for one who would know the area of control (much of it
negative, the control of restrictions and veto, and legislative
minima) which has already been obtained by the workers,
and the direction in which they are pushing their frontier into
new territory. His sharp analysis breaks up " discipline and
management" into their fact-content, and their psychological
hinterland. Mr. Goodrich's study is only a beginning. The
whole region of instincts in industry — in simple language,
what the workers want — remains to be plumbed and explored.
But his investigation shows what is needed.
In dealing with a matter like workers' control, or nationali-
zation, or a forty-eight-hour week, the British way is to let
trouble heap up through several years, denying there is any
trouble, till it bursts into a crisis. Then a scratch committee
of experts is appointed, who work at breack-neck speed, pool
their opinions, and produce a report of recommendations on
what to do to be saved. This is drafted as a Parliamentary
Bill, and becomes an act, a law. By this good-natured optimis-
274. THE SUMMING UP
tic postponing way of theirs, the British are able to enjoy life
as a series of emergencies which sometimes approach disaster.
But the actual legislation is often the result of long stealthy
patient propaganda. Ideas blow up and down the country-
side, like seeds on the wind, and at last find lodgment in the
collective mind. After many years they result in legislation.
A law once passed cannot be killed. It takes root and be-
comes an institution, altering society.
The tendency in British society has long been to idle at the
top and to pauperize at the bottom. Institutions have strength-
ened this tendency, because legislation has favored it. A large
section of the upper and middle class are small owners
(rentiers) and take life gently. Slackness has seeped into the
fiber of the race. In their attitude toward work, many Britons
— in all classes — have a faint scorn. The customer is at the
mercy of the shopowner or clerk, who continues whatever he
is amusing himself with, in order to teach the customer his
place. That the consumer has the right to call the tune for
the producer, is a truth not widely known in Britain. Work,
being scorned, has been poorly paid. Out of black poverty
have sprung the ills that now weight England down. Instead
of rewarding work with a living wage, she has let some of
her workers §ink into misery, and then she has slapped plas-
ters on the running sore. Increasingly, England has been us-
ing State doles and palliatives, and she has somewhat rotted
the sturdy English nature. She has built her philosophy of
social reform out of the statistics of misery.
The Year
This staleness has misled her enemies into believing that
recovery and renewal were not for her. Each generation they
have thought they saw her stumbling to ruin. But in her
heavy-hooved lumbering way she takes the seven-barred
gate.1
1 Maurice Hewlett wrote in The Daily News of October 15, 1919:
"The other day the village was celebrating the birthday of its La-
THE SUMMING UP 275
To sum up the year in simple sentences:
The reconstructive program of the Government is still a
paper scheme.
Labor has taken only its first step (wages and hours) to-
ward a new society.
borers' Union in a manner which used to be reserved for the coming
of age of the Squire's son.
"It was sober merry-making after our manner, yet one could feel
the undercurrent of a triumph not difficult to understand. Not a
man there but knew, or had heard his father tell, of how things used
to be. Ten years ago those men were earning sixteen shillings a
week for twelve hours a day; fifteen years ago they were earning
twelve shillings; thirty years ago they were earning nine shillings; a
hundred years ago they were on the rates, herded about in conscript
gangs under the hectorings of an overseer. Now — and it has seemed
to come all in a moment — the humblest of them earn their 363. 6d. ;
the head men their 403. ; their hours are down to fifty-four for the
week, with a half-holiday on Saturday; delegates of their kind sit at
a board in Trowbridge face to face and of equal worth with delegates
of their employers. All matters affecting their status, housing, terms
of employment, can be brought before the board ; and beside that, and
behind it, like a buttress, there is a Union, whose name recalls that
other grim fortress to which alone in times bygone they had to look
when old age was upon them. This new union has been in existence
here little more than a twelvemonth, but they know now that it has
spread all over England.
" They know more than that. They know that this plexus of
organizations is not only social, but political; they feel that the estate
of the realm which they stand for may soon become, and must before
long become, the predominant estate. They feel the rising tide
already lifting them off their feet. The elders are sobered by the
flood; but the young ones taste the salt water sprayed off the crest of
the wave, and look at each other, laugh and cheer. If they rejoice
they have good reason, knowing what they know; and if I rejoice
with them, I think that I have good reason too. This time three
years ago I sang at length of Hodge and his plow ; and looking back
and forth over his blood-stained, sweat-stained, and tear-stained his-
tory, I seemed to see what was coming to him as the crown of his
thousand years of toil.
" The peasant now has his foot on the degrees of the throne, and
has only to step up, he and his mates of the mine, the forge, the
foundry, and the railroad — to step up and lay hand to the orb and
scepter."
276 THE SUMMING UP
The emergence from the most costly, the most murderous
war in human history has been made in good order. Britain
has weathered a year of weariness, bitterness, disillusion, with
surprising success.
Such an achievement promises that the vast economic
changes of the next ten years will be made in British fashion
by conciliation, compromise, and constitutional methods. Only
wildness and folly from the Government, employers, owners,
and the middle class can now turn the workers from their
program of orderly conquest of power.
Little can be done in education for another year till the
reports of local boards are sent in. The dearth of teachers
will be felt for long. It will require several years to reap
results from the Fisher Education Act.
The Sankey report for nationalization of the coal mines has
been rejected by the Government. But no settlement will be
reached till the mines are nationalized.
The Government failed in its attempt to lower the wages
of the railwaymen. And now it has offered the railwaymen
the largest instalment of workers' control ever officially pro-
posed for a key industry, including seats -on the commercial
directorate.1
The nearer labor approaches its day of power, the more
does it slow up and develop responsibility, and the fainter
grow the voices of extremists. I think no intelligent person
fears excesses from labor. " I fear timidity and lack of im-
agination on the part of labor," said a University Liberal to
me. The leaders of labor are constitutionalists, who desire
neither bloodshed nor paralysis. They wish a steady next-step
progress to the Socialist State, with workers' control. Those
leaders are Smillie, Hodges, Clynes, -Henderson, Thomas,
Gosling.
It has been a year in which labor has been weak politically
and strong industrially, though in a manner jerky and sec-
tional. Labor is weak politically and yet so steady is the drift
1 See Appendix IV, Chapter II.
THE SUMMING UP 277
toward workers' control that at the end of the year in mu-
nicipal elections, labor won thirteen out of the twenty-eight
London boroughs, and captured the Mayoralty in sixteen more
cities and boroughs of Britain.
Three classes remain to be heard from when the echoes of
this year cease rolling :
1. The returned soldiers.
2. The young men, such of them as are left after a world
war.
3. The women.
One of tfie great thinkers of England has said, " I believe
that our industrial system is dying. ... It may be that the
industrial revolution was a biological mistake, that the human
organism is not adapted to that kind of life." In any case,
the workers are determined to control that industrial sys-
tem and to attack the " irremediable joylessness of human
condition."
APPENDIX
SECTION ONE
THE EMPLOYERS
CHAPTER I
FEDERATION OF BRITISH INDUSTRIES.1— THE CON-
TROL OF INDUSTRY.— REPORT OF THE NATION-
ALIZATION COMMITTEE
INTRODUCTION
BEFORE we attempt to deal with the important issues which will
be discussed in this Report, we desire to set out a few facts
regarding the conditions under which the industry of the world
is at present carried on.
Development of the Industrial System
At the present time the capitalist system is the basis of the
whole of the productive enterprise of the civilized world.
At the beginning of the igth century the population of England
and Wales did not much exceed 8 millions, and its standard of
living was low. By the end of the century the population was
nearly quadrupled, having reached a very much greater number
than can possibly be supported from the internal resources of the
country, and yet the standard of living of all classes of the com-
munity had been considerably raised. The great increase of pro-
duction which made this possible was entirely achieved under the
capitalist system.
Production cannot take place except through the previous
accumulation of wealth by the efforts and savings of individuals,
and the capitalist system has provided the best machinery hitherto
discovered for enabling and encouraging the individual to accumu-
late wealth and devote it to production.
It has preserved the fluidity which is needed to insure progress
and to encourage the re-adaptation continually necessitated by
changing conditions and new inventions and discoveries, while
1The Federation represents 16,000 firms and nearly five thousand
million pounds of capital.
281
282 THE EMPLOYERS
providing unequaled means of encouraging those engaged in pro-
duction to ascertain and fulfil the requirements of the individual
consumer.
The needs of a civilized population are so varied and its de-
mands change so rapidly that a considerable risk is involved in all
productive undertakings.
The capitalist system has offered the maximum inducement to
every citizen to take part in the great adventure of productive
enterprise, which has maintained the world and made civilization
possible. At the same time the risk of personal loss involved has
tended to restrain reckless and uneconomical production.
The above considerations apply with redoubled force to the
export trade, in which the risks are greater and the requirements
of the consumer more varied and more difficult to ascertain than
in the home trade. The population of this country could not
have existed and cannot continue to exist without a large export
of manufactured goods to pay for the raw materials and food-
stuffs which must be imported for its subsistence. The capitalist
system has afforded ideal means for developing our Export Trade.
Growth of Competition
In many cases the rapid increase of production led to the growth
of an intense competition, involving destructive undercutting of
prices and unnecessary duplication of activity and plant.
The elasticity of the capitalist system enabled it to adapt itself
automatically to the changing conditions, by the development of
large industrial combinations, thus decreasing unnecessary and
wasteful competition, and securing to the world the economies of
large-scale production.
Development of Combinations
This development is a normal and necessary feature of the
industrial evolution consequent upon the use of power-driven
machinery. Moreover we believe that the development has been
of definite benefit to the consumer by standardizing and steadying
production and reducing costs.
The Addendum to the Report of the Government Committee
on Trusts (Cd. 9236) which was signed by Messrs. Ernest Bevin,
J. A. Hobson, W. H. Watkins, and Sidney Webb contains the fol-
lowing statement : " We have to recognize that association and
FEDERATION OF BRITISH INDUSTRIES 283
combination in production and distribution are steps in the greater
efficiency, the increased economy and the better organization of
industry. We regard this evolution as inevitable and de-
sirable."
Moreover the commercial competition of other nations becomes
every year more and more intense. This makes the principle of
combination absolutely essential if British Industry is to hold
its own at home and abroad.
If, therefore, the present industrial system is to reach its full
efficiency as a means of satisfying the requirements of the com-
munity, the evolution towards large-scale organization must be
encouraged and not discouraged. At the same time it must be
remembered that the administration of large centralized concerns
is still in an experimental stage, and only experience can discover
how best to eliminate the inherent difficulties. Meanwhile the
development of combinations of capital is undoubtedly responsible
for some of the present unrest in the industrial world, for the
following reasons:
Relations between Producer and Consumer
The growth of monopolistic combinations has disquieted, and
occasionally led to the exploitation of the consumer, though this
latter feature has, almost certainly, been greatly exaggerated. In
this connection we would refer to the following statement by
Dr. J. W. Jenks, the well-known authority who has been intrusted
by the Government of the United States with the drafting of anti-
trust legislation: "Contrary to public opinion, a careful study of
the charts indicates that the effect of these combinations taking
their history as a whole has not been to increase prices to the
consumers, though at certain times and for relatively short
periods they have doubtless increased prices." (The Trust
Problem, Chapter IX).
Relations between Capital and Labor
The aggregation of capital into large units has led to the sepa-
ration of the owner of capital from the workers he employs.
Formerly the owner of capital generally took an active part in
the direction of his business. The business was on a small scale,
and he was directly in contact with his workers. Now the owners
of capital in any large concern may be hundreds of thousands,
284 THE EMPLOYERS
and the size of the unit is such that management must be by
deputies sub-divided into various grades, and little if any per-
sonal contact can exist between the owners of capital and the
men employed.
Waste of National Resources
Another disadvantage which has arisen from the rapid develop-
ment of industry has been the great waste caused in some of the
world's essential resources.
The need for some adequate safe-guarding of the interests of
the community in the future becomes evident, when we consider
the reckless using up of the future resources of the world, such
as has been manifest, for example, in the United States of
America. The voluminous Report of the American National Con-
servation Commission in 1909 gives the facts in striking detail.
We read there the story of " the robbing of the soil " by the
prairie farmer, the destruction of the forest by the " lumber
kings," the reckless exhaustion of the oil fields, the frittering away
of the potential water power, the neglect of irrigation, the loss of
wealth by coast-erosion and river inundation — showing in the
aggregate a vast economic waste.
THE DEMANDS OF LABOR
The remedies which the Labor and Socialist Parties suggest for
the difficulties which have been referred to above are :
1. Nationalisation
(a) To prevent the possible exploitation of the consumer by
the monopolies which may result from the centralization neces-
sary to the efficiency of certain industries and public services.
(b) To supervise and co-ordinate the development of essential
national resources.
2. Democratic Control by the Workers
To prevent the alleged exploitation of Labor by Capital, both
in regard to —
(a) Conditions of employment.
(b) Division of the rewards of industry.
FEDERATION OF BRITISH INDUSTRIES 285
I.— NATIONALIZATION
The word nationalization is used loosely to cover a great many
forms of communistic enterprise, e.g., State ownership, State
ownership combined with State management, municipal enterprise,
etc. These various forms all raise different considerations which
cannot be discussed in detail in a report of this character. We
propose therefore to set out our views by means of a number
of general statements.
State Management
We would begin by laying it down as a general proposition
that centralized management by a Government Department is
fatal to commercial efficiency and enterprise. We observe that
those members of the Government Committee on Trusts who
signed the Addendum to the Report of the Committee (Messrs.
E. Bevin, J. A. Hqbson, W. H. Watkins, and Sidney Webb) were
careful to safeguard themselves by stating that State ownership
does not necessarily imply State management, while Mr. Justice
Sankey in his Report on the Second Stage of the Coal Industry
Commission stated (see para, xlii.) that " Hitherto State Man-
agement has on balance failed to prove itself free from serious
shortcomings." The Hon. F. M. B. Fisher, who as Minister of
Trade and Customs in the Government of New Zealand (1912-
1915) has had practical experience of Socialistic Government,
made the following remarks in his evidence before the Coal
Commission :
" I hold the view that State monopoly is even a worse evil than
private monopoly — the latter must be efficient in order to resist private
competition on the one hand, and prevent the demand for State inter-
vention on the other. The State has no such grounds for efficiency."
Sir Keith Price, Director of the Raw Materials Section of the
Ministry of Munitions in 1915 and Deputy Director-General 1916
to 1917, in his evidence gave a full summary of the objections to
bureaucratic management, as follows:
"My experience of those Government factories which were in
existence previous to the war confirms me in the opinion that Gov-
ernment factories cannot be operated on competitive or economic lines,
286 THE EMPLOYERS
owing to the cumbersome nature of the procedure, which is inevitable
under Parliamentary and Departmental control.
"Among the objections against Government control to which I
attach importance are the following:
" I. The Management having so little say in : *
(a) The appointment and selection of staff;
(b) The grading of salaries ;
(c) The lack of authority in dealing with labor;
(d) The efficient maintenance of plant, i.e., the scrapping of
obsolete plant and the installation of up-to-date plant.
" 2. The weakness of any Government organization in purchas-
ing the raw material on competitive lines (a condition which did
not operate during the war owing to so many prices being controlled
and material being rationed).
"3. The weakness of any Government organization marketing its
products. I cannot see how this can be done satisfactorily on com-
mercial lines without acute controversy.
" 4. Political pressure will certainly be brought to bear whenever
questions of closing down inefficient or uneconomical concerns arise,
or even on lesser subjects."
We would add that all these difficulties appear to us to be
intensified under a democratic form of Government, and in con-
firmation of this it may be observed that the bureaucracy of
Germany under the Imperial system, which involved subjection to
the Imperial Executive and freedom from Parliamentary control,
came nearest to achieving an efficiency comparable with that of
private enterprise. It would, therefore, seem almost inevitable
that if a nationalized industry is to achieve any high degree of
efficiency it should be developed under a system of autocratic
control, and the greater the extent to which the industries of the
country are nationalized, the greater the danger that the Gov-
ernment will tend away from those ideals of true democracy which
have only just triumphed at the cost of so much suffering.
s-
Manufacturing Industries
These inherent weaknesses of State management account for
the fact that, while the State has at different times and in dif-
ferent countries undertaken a wide range of those important enter-
prises which aim at rendering a service open to the whole com-
FEDERATION OF BRITISH INDUSTRIES 287
munity, and has, to some extent, engaged in manufacture for its
own consumption, it has not, speaking generally, engaged in indus-
tries aiming primarily at the production of goods for exchange.
This is the most difficult class of productive enterprise, needing,
if it is to be successful, the most elastic and far-sighted manage-
ment, a close and continual study of individual requirements, and
constant re-adaptation to meet changing conditions of demand.
The State is obviously unsuited for enterprise of this kind, and
it is not surprising that, although State monopolies have been
established in certain products for purposes of revenue, the
results have in general been most unfortunate for the consumer.
The same can be said of municipal enterprise; this has never
engaged to any substantial extent in the production of goods for
exchange.
It is, in fact, impossible for this class of production to be
satisfactorily carried out unless the producer is subject at the
same time to the spur of possible profit and the curb of possible
personal loss. The civil servant or municipal employee should be
immune from the temptation of personal profit, while the body
which employs him (the State or Municipality), having the public
purse behind it, is liable to fluctuate between over-caution and
extreme recklessness.
It is further inconceivable that an industry owned or managed
by the State could enter into competitive trade in foreign coun-
tries in the present stage of human development, without
encountering difficulties both economic and political, which would
be disastrous to any hope of amicable international relations.
Every trade dispute would become a potential casus belli, every
unpaid account or broken contract the subject of an ultimatum.
And yet, as we have already pointed out, a great and increasing
export trade is an essential of continued existence to a highly
industrialized country such as Great Britain, dependent for a
large proportion of her essential foodstuffs and raw materials
upon her imports, and compelled to pay for them by the export
of manufactured commodities.
Public Service Industries
Where there is no question of meeting the varying requirements
of individual consumers, but only of supplying some public service
open to the whole community, different considerations arise. As
288 THE EMPLOYERS
is well known, a substantial proportion of the essential public
services, such as Transport, Supply of Water and Lighting, Drain-
age, etc., in many civilized countries, is in the hands of the State
or Municipality. The Nationalization or Municipalization of these
services has been accelerated by the fact that these forms of
enterprise can be run more or less by routine methods and are
conducted on the principle of increasing returns, that is to say,
in the words of J. S. Mill, " can only be carried out advantageously
upon so large a scale as to render liberty of competition illusory."
These services fall into different categories, which require separate
consideration. Our views in regard to them are summarized in
the following propositions:
1. There are certain public services, such as the provision of
Roads and Sewers, which must be handled by the State or
Municipality, because it is either impossible or undesirable to make
a direct charge for them.
2. There are certain public services which involve the exercise
of exceptional and arbitrary powers over individual or public
property and can more efficiently be conducted as monopolies.
Considerations of public policy often make it desirable that where
these are of purely local importance they should be conducted by
the Municipality.
3. In some cases successful results have been obtained by vest-
ing important public service organizations in special Commissions
or bodies of Trustees nominated by the chief users and the appro-
priate Public Authorities.
4. There are certain Public Services, the activities of which
must be co-ordinated over large areas if they are to obtain real
efficiency. We suggest that the most effective way of obtaining
this co-ordination will generally be to facilitate the amalgamation
or co-operative working of the different undertakings in each
area, subject to the safeguards necessary for the protection of
the Public.
Conclusion
Finally, we desire to record our emphatic opinion that in dealing
with industries or public services of whatever class, whether local
or national, any further extension of State monopolies should be
avoided not only for the reasons given above under the heading
of "State Management," but also because:
FEDERATION OF BRITISH INDUSTRIES 289
(a) The proper safeguard against private monopoly is not
the creation of State monopolies, which are much more dan-
gerous. The intervention of the State should aim, not at
removing, but at preserving so far as possible the advan-
tages of competition.
(&) There is very grave objection to the Government
being the employer of a large proportion of the voters upon
whose support it depends.
(c) The principal aim of the State must always be po-
litical; governments are organized for political and not for
commercial purposes and must always be overloaded with
political work which will be their chief concern.
(d) The existence of such monopolies makes it impossible
for the Government to be impartial in industrial matters,
and makes for political corruption.
(e) It has hitherto been found impossible for the State to
give sufficiently free play to local knowledge and experience
in connection with the services which it administers, and over-
centralization is hostile to progress.
(/) State administration is always found to involve serious
delay in the taking of decisions, even on matters of detail,
and to be deficient in that elasticity which is essential to
commercial success.
(g) The fact that any deficiencies in working can be met
out of revenue is often an irresistible temptation to uneco-
nomical working.
(ft) Owing to the close interdependence of our different
industries, the taking over by the State of one Industry for
what may be considered reasons of public policy may involve
the State in the necessity of taking over other Industries,
the Nationalization of which would be a disaster to the com-
munity.
RECOMMENDATIONS
(a) STATE REGULATION OF MONOPOLIES
But although we are averse to State Management, we recognize
that the public is entitled to some protection against possible
exploitation by monopolies. As we have already indicated, we
think the danger of this exploitation has been greatly exaggerated,
290 THE EMPLOYERS
but the fear of it exists and industry should, therefore, submit
to such intervention on behalf of the State as may be necessary
to remove the hostility to the idea of combination which undoubt-
edly affects certain sections of the public.
In our opinion, the principles on which State action should be
based are generally indicated in the Report of the Government
Committee on Trusts, and we are prepared to support those recom-
mendations of the Committee, which throw on the Board of Trade
the duty (i) of inquiring into any reasonable complaints, which
may be made with regard to the existence or action of any Trade
Association or Combine and referring any question which may
arise from their inquiry to a special tribunal for investigation and
report, and (2) of recommending to the State action for the
remedy of any grievances which the tribunal may find to be estab-
lished.
It will, however, be most important in carrying out any policy
of this kind to safeguard the position of the Export Trade, and
we regard it as essential:
(1) That no restriction should be placed on British Industry
which will prejudice its position in the export trade.
(2) That care should be taken not to publish or give
extended circulation to any information regarding the activity
of Trade Associations or Combines, which might be useful
to their foreign competitors.
(&) CONSERVATION OF NATIONAL RESOURCES
We are also of the opinion that the State should exercise the
supervision and control necessary to insure that the national re-
sources are not wasted, but are used to the best advantage of the
community; this should not involve the exploitation of such re-
sources by the State, and need not involve State ownership, but
only the amount of regulation necessary to prevent waste.
Note. — Co-operative Societies
Before leaving this branch of our subject, we desire to
mention one other form of enterprise which has done excel-
lent work for the community, and should have considerable
development in the future, though it can never cover more
FEDERATION OF BRITISH INDUSTRIES 291
than a small part of the whole field of production. We refer
to the work of the Co-operative Societies. These Societies
are Associations of consumers who unite voluntarily with the
idea primarily of supplying their own requirements. They
buy the greater part of their supplies in the ordinary mar-
kets and to that extent their work is distributive only. But
they have established factories and workshops for making
shoes, clothing, hardware, biscuits, etc., for their own con-
sumption. In this they have been fairly successful and their
success is due largely to the fact that they have an assured
market and confine themselves to making staple goods by
standard methods.
II.— DEMOCRATIC CONTROL
Scope of the Demand of Labor
According to a writer in the Round Table for June, 1916, " The
unrest in the industrial world to-day has not its roots solely in
poverty and want. There is something deeper still at work. Wage-
earners are filled with a vague but profound sentiment that the
industrial system, as it now is, denies them the liberties, oppor-
tunities and responsibility of free men."
This feeling of unrest, which is naturally more characteristic
of the intellectual section of Labor than of the rank and file of
the workers, has given rise to the demand, which the proceedings
of the Coal Commission have brought into prominence, for
" Democratic Control."
The scope of the demands of Labor under this head ranges
from a share in the control of working conditions to the taking
over of the whole function of the employer. Speaking generally
the advocates of " Democratic Control " ignore nationalization and
aim at placing the control of Industry to a greater or less degree
in the hands of the workers, thereby admitting what is undoubtedly
the fact, that neither Nationalization nor Municipalization will
substantially affect their position. The Manual Laborer when
working for the State, the Municipality, or the Co-operative So-
ciety is still a wage-earner and subject to discipline, and the rela-
tions between employers and employed are marked by the same
characteristics as under ordinary capitalistic employment.
292 THE EMPLOYERS
Mr. Gosling's Suggestions
As an example of the more moderate demand, we have the
suggestions put forward by Mr. Gosling in his Presidential Ad-
dress to the Trade Union Congress, 1916:
"Would it not be possible for the employers of this country . . .
to agree to put their businesses on a new footing by admitting the
workmen to some participation — not in profits, but in control? We
workmen do not ask that we should be admitted to any share in what
is essentially the employers' own business — that is, in those matters
which do not concern us directly in the industry or employment in
which we may be engaged. We do not seek to sit on the Board of
Directors, or to interfere with the buying of materials or with the
selling of the product. But in the daily management of the employ-
ment in which we spend our working lives, in the atmosphere and
under the conditions in which we have to work, in the hours of begin-
ning and ending work, in the conditions of remuneration and even
in the manners and practices of the foremen with whom we have to
be in contact, in all these matters we feel that we, as workmen, have
a right to a voice — even to an equal voice — with the management
itself. Believe me, we shall never get any lasting industrial peace
except on the lines of democracy."
But there has long existed a school of economic thought whose
demands go much further than this. The elusive idea of a form
of organization, in which the workers would have complete con-
trol of their lives and work, has given rise in the past to numerous
experiments in " Self-governing Workshops." The same aspira-
tion in a different form, applicable to modern large-scale indus-
tries, emerges to-day in the proposals of the Syndicalists and
the Guild Socialists.
Syndicalism
Syndicalists aim at the ownership of the means of production
by organized Labor, without any intervention by the State. They
are radically opposed to Socialism, holding that the State is the
great enemy, and that collective ownership by the State would
make the lot of the workers much worse than it is now under
the private employer.
Guild Socialism
Guild Socialists, on the other hand, hold that " the State should
own the means of production as trustees for the community; the
FEDERATION OF BRITISH INDUSTRIES 293
Guild would manage them, also as trustees for the community."
They hope to be able to include in their Guild both the manual
workers and the brain workers in the industry. The view of
Guild Socialists is that State Socialism takes account of men
only as consumers, while Syndicalists take account of them only
as producers.
The essence, however, both of Guild Socialism and Syndicalism
is to change the control of Industry " from above " into control
" from below." Both schools realize that State Socialism will
not do anything to improve the status of the manual workers.
Past Experiments in Co-operative Production
The history of past experiments in Co-operative Production
(whether of workers actually owning the shop and plant or of
men working co-operatively under contract with the owner of the
plant) shows that any policy of this kind must be fatal to our
national efficiency.
Associations of workers, which have been formed for the pur-
pose of carrying on Production, have found themselves unable to
cope with industries conducted on a large-scale, and in small-scale
industries they have failed to make headway against, or even keep
pace with, the capitalist system. In no country has any but the
smallest fraction of industry fallen into their hands.
The following are the more obvious defects of nearly all at-
tempts at Co-operative Production:
1. The difficulty of securing discipline and efficient management
when the manager is himself subject to those whom he has to
direct.
2. Self-governing Workshops have all been noticeable more or
less for the slowness and reluctance with which they have re-
acted to any industrial change. The workers are biased in favor
of the continuance of that to which their hands have become
adapted. They are slow to introduce new processes, slow to adopt
new inventions, slow to instal machinery, slow in altering designs
and patterns, and particularly slow to recognize the coming in of
some alternative to their own commodity.
3. Finally the gravest, and apparently the most insuperable,
drawback to this form of industrial organization is that the
manual working producers have no intimate or accurate knowl-
edge of the market for which they have to produce. They are
294 THE EMPLOYERS
not in direct contact with the consumer of their commodity. They
do not recognize his desires or caprices ; they are unable to foresee
what he would prefer — hence they are constantly finding them-
selves unable to dispose of their wares.
Production for exchange cannot be successfully carried on unless
the actual producer is under the direction of the commercial side.
Mr. Sidney Webb, in a draft report prepared for the Com-
mittee of the Fabian Research Department in 1916, summarizes
the position as follows:
"Attempts of Trade Unions to engage in industry have been uni-
formly and invariably financially unsuccessful, and no encouragement
should be given to any Trade Union to find any capital for industrial
enterprises, whether under its own control or by self-governing work-
shops or what is usually styled co-operative production."
And again:
"The self-governing workshop has, however, proved by universal
experience to be inapplicable to any industrial undertakings on a large
scale, and therefore affords us no plan of organization for the great
mass of modern industry. Even in the industrial enterprise that can
be carried on in a small way, the self-governing workshop, where
the workers enjoyed absolute autonomy, has proved by long and varied
experience to be, in all but very exceptional cases, neither stable, nor,
so long as it endures, economically efficient, and that where any com-
mercial success has been attained, it will be found that it has been
gained when there is a close market, nearly always a partially-tied
market, such as co-operative stores."
RECOMMENDATIONS
It is, however, impossible not to recognize that the theories of
the Syndicalists and Guild Socialists have arisen from a genuine
grievance, which demands and should receive some remedy. That
remedy, however, must not attempt to reverse the existing indus-
trial order, or it will, as recent events in Russia show, have
disastrous effects upon our economic system, from which the
workers themselves will be the chief sufferers.
Social grievances such as poor housing, insufficient educational
facilities, etc., are largely responsible for the idea of the class
war, which is at the bottom of much industrial unrest. These
are matters of primary importance, but the responsibility for the
FEDERATION OF BRITISH INDUSTRIES 295
evils which undoubtedly exist rests upon the community as a
whole, not solely upon employers, and the remedy for them must
be in the main political. Much, however, could be done by im-
provements in industrial practice (particularly on the part of the
Trade Unions), to give increasing opportunities for the advance-
ment of merit and so to a great extent remove the artificial
boundary between the classes. Quite apart from restrictions on
output the atmosphere of Trade Unionism has tended to discourage
emulation amongst the workers, and to prevent the able and indus-
trious worker from obtaining the position due to his abilities.
Putting these considerations aside, the difficulties can, we sub-
mit, be reduced to a fairly narrow compass, and ought not to be
incapable of adjustment, although it is impossible to put forward
remedies which will be universally applicable, owing to the very
great complexity and diversity of modern industry, in regard to
such matters as the size and methods of organization of the
different firms and trades; the difficulties of the relations and
organization of Trade Unions; the ratio and relations of skilled
and unskilled labor; the variations which obtain in the propor-
tion of capital employed to Labor costs; the degree to which the
works can be carried on by routine methods, etc.
It must be remembered that industry is a living organism, which
is undergoing a process of continuous development and growth.
We believe that all attempts to impose pre-conceived schemes of
organization can only result in hindering progress and may lead
to disaster.
This applies especially to those artificial schemes of reconstruc-
tion which find advocates among the extreme sections of Labor
in the different countries of the world at the present time. We
are convinced that the industrial system of the future can only
be built up on the foundation of present and past experience.
With these considerations in mind we proceed to consider pos-
sible developments under the two following heads : " Participa-
tion in Management " and " Participation in Profits."
(a) PARTICIPATION IN MANAGEMENT
Conditions of Employment
We are strongly of opinion that the workers in every industry
should be given the fullest possible voice in the determination of
296 THE EMPLOYERS
the conditions under which they are employed, provided this does
not encroach upon the operations of the Commercial Management
or lessen the proper authority of the foreman. Subject to these
qualifications we endorse most willingly the suggestions put for-
ward by Mr. Gosling in his Presidential Address already quoted.
Whitley Councils
Generally speaking, we think that the objects which we have
in view can best be obtained by carrying out, with all possible
speed, the recommendations of the Whitley Report in regard to
National and District Industrial Councils, where the conditions of
the trade permit. These recommendations have repeatedly been
approved by the Federation and we desire once more to state in
emphatic terms our approval of them, and especially of the pro-
posals for District Councils.
The recommendations of the Whitley Committee, if properly
carried out, will give the worker a new and honorable status.
In the National Council of the Industry and in the Joint Indus-
trial Council (the formation of which should result from the
recent National Conference of Employers and Trade Unionists)
his representatives will sit on an absolute equality with the
employers, and will have an equal voice in determining the gen-
eral conditions subject to which the Industry will be carried on.
The carrying out of these conditions will be a moral obligation
on the Commercial Management no less than on the Workers in
the individual firms.
But the success of these Councils must depend on the loyal
acceptance of their decisions by both sides. We understand that
some of the Councils are already applying for legislation to give
legal validity to their decisions. It is obvious that the general
adoption of this course would greatly increase the effectiveness
of the scheme.
Commercial Management
We have carefully considered the question how far the workers
can be given any share in the Commercial Management of the
business employing them, but we are convinced that it is unde-
sirable and impracticable to attempt this. The history of the
various experiments on the line of the " Self-governing Work-
FEDERATION OF BRITISH INDUSTRIES 297
shop " shows that any attempt of this kind would inevitably throw
Industry into confusion and weaken the productive force of the
nation.
The workers are legitimately interested in the general condi-
tions governing the industry in which they work, so far as the
industry as a whole is concerned, and should be given the fullest
possible voice in the settlement of general conditions, but the
Commercial Management must be kept as a separate department
which should be open to any person possessing the requisite
qualifications, but which must not be under the control of the
manual workers. For these reasons we agree with Mr. Gosling
that no solution can be found by offering the workers represen-
tation on the directorate. We have heard of certain large firms
who have adopted or are thinking of adopting this plan, but we
feel it impossible to make a general recommendation in favor
of such a practice.
Publicity in Regard to Trade Statistics
We regard it, however, as of the utmost importance that the
workers should be given a better insight into the industry which
employs them. We consider that they should have a greater
interest in their work and a clearer understanding of the financial
condition of their industry as a whole and of the difficulties in-
volved in the management and in the obtaining of markets.
It is difficult to suggest any definite arrangement which will be
generally applicable to all industries, but we believe that the
declared objects of several of the National Industrial Councils
which have been formed include provisions for the supply to the
workers of properly certified aggregate statistics for the industry
in regard to wages, manufacturing and selling prices, average
percentages of profits on turnover, and materials, costs, etc.
Works Committees
We believe also that, in Industries where circumstances admit
of their formation, Works Committees will do much to make the
worker realize that he is acquiring a new status in Industry. The
institution of these Committees should be encouraged in every
possible way, subject to the qualification that they should in gen-
eral be representative of the workers only, and should be regarded
298 THE EMPLOYERS
rather as a channel through which the workers can make such
recommendations as they desire to the Works Management.
Within these limits they should be given the highest possible
status.
(&) PARTICIPATION IN PROFITS
Before proceeding to deal with this part of our subject in detail
we desire to call attention to the analysis of the national income
before the war, made by Professor Bowley/ one of the outstanding
statistical authorities in this country, in his book entitled " The
Division of the Product of Industry," published 1919. This analysis
shows that "before the war the wealth of the country however
divided was insufficient for a general high standard; and there
is nothing yet to show that it will be greater in the future."
Professor Bowley concludes that:
"The most important task, — more important immediately than the
improvement of the division of the product — incumbent on employers
and workmen alike, is to increase the national product and that with-
out sacrificing leisure and the amenities of life."
"The problem of securing wages which people rather optimistically
believe to be immediately and permanently possible, is to a great
extent independent of the question of national or individual owner-
ship, unless it is seriously believed that production would increase
greatly if the State were the sole employer."
It would seem to follow from these conclusions that any pro-
posals for increasing the remuneration of the workers should be
framed in such a way as to give the greatest possible incentive to
increase the national production.
Proposals of this kind may be classified under three headings:
"Profit Sharing," "Pooling of Profits," and "Payment by
Results."
Profit Sharing
We are unable to make a general recommendation in support of
any system of profit sharing for the following reasons:
(a) So far as we can ascertain profit-sharing is not desired by
the workers, who are chiefly interested in securing high and
FEDERATION OF BRITISH INDUSTRIES 299
regular wages and not in obtaining what they regard as occasional
windfalls.
(&) Profits are not the correct basis for calculation of wages,
because the remuneration of the workers ought not to be made
dependent on the successes or failures of the commercial man-
agement.
(c) The general introduction of profit-sharing would lead to
great inequalities between the position of workers in different
works and industries, and this would give rise to a sense of dissatis-
faction and injustice.
(d) The schemes of profit-sharing at present in existence only
give a very small addition to the earnings of the workpeople, and
this must always be the case except where the capital engaged in
an industry bears a high proportion to the number of workers
employed.
The above criticisms do not, however, apply to the contributions
by employers, either individually or through their trade associa-
tions, to thrift, superannuation, accident, sickness, or unemploy-
ment funds. Where a policy of this kind can be adopted it will
do much to remove the feeling of insecurity and the fear of sick-
ness and old age which are a large factor in industrial discontent.
Pooling of Profits
We have considered the suggestion that some system might be
devised whereby after capital had received a certain return, and
the necessary allowance for depreciation and repairs had been
made, a part of the profits should be set aside for distribution
among the workers.
Schemes of this kind may be employed successfully in some
industries, but they are open to the general criticism which has
been made above in regard to profit-sharing, and it would be
impossible to devise a scheme which would be universally ap-
plicable. We are therefore unable to make any definite recom-
mendation on the subject.
Payment by Results
We consider it desirable, however, that, where possible, the
remuneration of the workers should be made to bear some pro-
portion to the efficiency of their own efforts, so that good and
regular work may be adequately rewarded without consideration
300 THE EMPLOYERS
of the rate of profit arising from the commercial management of
the business. We regard this as a matter of very great impor-
tance, and we desire to record the strongest possible warning in
regard to the injury which will be inflicted on the productive
forces of this country, if the agitation against the principle of
payment by results, now being carried on amongst certain sec-
tions of labor, proves successful.
At the same time we realize that the workers have some
excuse for their attitude in view of the fact that in some cases
individual employers have unjustly cut piece rates, when the activi-
ties of the workers have resulted in their remuneration being
largely increased.
If the system of payment by results is to become general, it
is essential that employers should establish equitable systems for
fixing piece rates, and that there should be some reasonable
procedure for the sanctioning by an impartial authority of any
adjustment which may prove necessary.
THE STATE AND INDUSTRY
In our recommendations regarding the relations between Capital
and Labor, no mention has been made of the functions of the
State. Generally speaking we believe that neither employers nor
employed desire the intervention of the State to settle their diffi-
culties, except as an impartial arbitrator. The principles of trade
union representation and collective bargaining are now fully
accepted by employers. We hope that both sides will show them-
selves increasingly ready to yield to the influence of public
opinion, and this tendency will, we believe, grow as the establish-
ment of Joint Councils gives greater opportunity for the friendly
discussion of difficulties and greater and wider appreciation of the
economic conditions under which industry is carried on. Nor,
as we have already pointed out, would the position of the worker
be substantially altered under State or Municipal ownership. He
would remain a wage earner, as he is under private enterprise.
Any concession which could safely be given to the worker by a
Governmental or Municipal employer can and should be given
by the private employer. We have already indicated what we
consider those concessions might be.
The function of the State in relation to Industry should be
FEDERATION OF BRITISH INDUSTRIES 301
confined to laying down minimum conditions for employment and
safeguarding the public, e.g., from the dangers due to the develop-
ment of monopolistic combinations, whether of Capital or Labor.
For the power of monopoly is not confined to organizations of
capital. The Trade Union which endeavors to exploit the com-
munity by withholding its labor is acting as much in restraint of
trade and should be subject to the same State control as the
Combine which endeavors to exploit the consumer by means of
a monopoly of its products.
CHAPTER II
EVIDENCE OF THE RIGHT HONORABLE BARON GAIN-
FORD OF HEADLAM TO THE COAL INDUSTRY
COMMISSION
I AM Vice-Chairman of Pease and Partners, Limited; a director
of T. and R. W. Bower, Limited, owners of Allerton Main Col-
lieries, Yorkshire; of the Broomhill Collieries, Limited, Northum-
berland; and have been engaged in the direction of collieries and
ironworks for a period of 37 years. I am a member of the
Durham Coal Owners' Association, and for many years have been
a member of the Executive Council of the Mining Association of
Great Britain. I am chairman of the National Association of
Coke and Bye-Product Plant Owners. I am a member of the
Committee of the Privy Council for Scientific and Industrial
Research.
I have occupied the position of patronage secretary to the
Treasury, and as a Minister of the Crown I have been Chancellor
of the Duchy of Lancaster, President of the Board of Education,
and Postmaster-General.
The evidence I shall give is given with the authority of the
Mining Association of Great Britain, but as it is a voluntary
association, it must be understood that anything I say cannot
legally bind any particular member of the Association, nor, of
course, any coal owners outside the Association.
Whilst we are prepared to give to the men full opportunity of
making representations through organized channels and having
those representations considered, yet any system which involves
joint control in the management between the owners and the work-
men is not only impracticable but will inevitably lead to the most
disastrous results in the interests of the country. I cannot con-
ceive of anything more futile than to attempt to manage a col-
liery by means of a committee or council upon which there was
an equal representation of the existing management and of the
302
BARON GAINFORD TO COAL COMMISSION 303
workmen's representatives. The working conditions of a mine
are not capable of being brought within such a system of control.
In the first place certain statutory regulations have to be carried
out for which the management alone can be responsible. Apart
from this, rapid decisions have constantly to be made in respect
of questions of safety and otherwise. To attempt to work col-
lieries by means of committees would mean that these committees
would become debating societies in which division of opinion
might be expected rapidly to develop, with all the consequent
results of want of cohesion and want of initiative. In my view it
appears to be not only impracticable, but inconceivable that such
a system of control and administration could possibly be intro-
duced in the interests of the country.
Any system of joint control, whether between the State or with
representatives of the miners, would be absolutely unworkable and
subversive of discipline and detrimental to national interests, and
I put it to one side at once, as there is no firm of employers
who would carry on the industry for a moment if they were not
going to continue to have the direction of the business and the
executive control of their undertaking; moreover, no self-
respecting engineer that I have met is prepared to take the respon-
sibility of working under any such system. It would not only
endanger the lives of working men, and destroy all efficiency, but
the property would be wasted, and the industry could not be run
as a commercial or practical proposition.
I am authorized to say, on behalf of the Mining Association,
that if owners are not to be left complete executive control, they
will decline to accept the responsibility of carrying on the industry,
and though they regard nationalization as disastrous to the coun-
try, they feel they would, in such event, be driven to the only
alternative — nationalization on fair terms.
RELATIONS WITH WORKMEN:
(a) Wages.
The wages of the workers in each district, instead of varying
with the selling price of coal, should be regulated with reference
to the profits resulting from the industry in that district. There
should be determined:
304 THE EMPLOYERS
(1) A minimum or standard rate of wages to be paid to
each class of workman in that district, and which for
the protection of the consumer should be fixed by
machinery to be set up in conformity with the pro-
posals of the National Industrial Council.
(2) The particular items of cost, other than standard wages,
which are to be included in the cost of production,
to be determined in each district by qualified account-
ants appointed by and representing each party.
(3) A standard rate per ton to provide a minimum return
for and redemption of owners' capital to be determined
for each district by qualified accountants, as above.
Any balance remaining after these items have been provided
for should be divided between Labor and Capital in proportions
to be agreed, the workmen receiving their proportion in the shape
of a percentage addition to the standard wage.
These additions to the standard rates of wages in each district
would vary in accordance with the variation of profits shown by
each periodical ascertainment in such district.
The ascertainments of the average profits of each district should
be made quarterly by the accountants.
As the owners might, in times of depression, be required to pay
a standard rate of wages when they would not be receiving the
standard return on capital, any deficiency in any quarter in the
standard return on capital should be made up out of the return
in any subsequent quarter or quarters, before making any division
between the owners and the workmen.
Questions arising with respect to any of the matters referred
to in this paragraph, and the settlement of which is not otherwise
provided for, shall be settled by the Joint District Committees or
Conciliation Board referred to in the next paragraph.
(b) Co-operation of Workmen and Owners.
Machinery should be set up for the purpose of arranging all
questions between the owners and the workmen, and making pro-
vision for the owners and workmen conferring upon all matters
of particular or general interest relating to safety, production,
efficiency, and the well-being of the workers.
This machinery should consist of the establishment, or continua-
(
BARON GAINFORD TO COAL COMMISSION 305
tion where already established, of Joint Pit Committees, or other
Consultative Local Committees without executive power. Any
questions not satisfactorily disposed of by any Pit or Local Com-
mittee should be referred to a Joint District Committee or Con-
ciliation Board to be composed partly of owners or their repre-
sentatives and partly of representatives of the workmen.
Districts should be those established under the Minimum Wage
Act.
CHAPTER III
MY DREAM OF A FACTORY
By B. SEEBOHM ROWNTREE
[Mr. Rowntree gave this talk to a group of social workers. He
is one of the heads of Rowntree and Co., the cocoa firm. He has
installed the Works Council. This dream is a program which he
is progressively enacting.]
WHEN I sat down to prepare my speech, I did so with the best
intentions. I wanted to give a formal and dignified address, deal-
ing with certain specific aspects of factory management. But
the formal and dignified address did not emerge. I found my mind
wandering over the whole field of factory administration, and I
began to dream of the kind of factory I should like to have, if
I could conduct things just in my own way. I am going to
content myself with telling you my dream.
First of all, I realized that business should be a form of national
service. We should not go into it merely to make money, but
keep the idea of service constantly before us. Our aim should
be to produce articles of use to the community under satisfactory
conditions, and place them on the market at a reasonable price.
While no business could continue unless it were run on sound
economic lines, we should always strive to subordinate the claims
of industry to the claims of citizenship. And as I dreamed of my
ideal factory, I resolved to bear that principle in mind.
Then in my dream I began to plan a great building. It occurred
to me that my factory need not be so ugly as many existing fac-
tories. I would get an architect to plan its outlines and propor-
tions so skilfully as at least to make it pleasing to the eye, and
not a blot on the landscape. I would plant creepers to climb up
its walls, and surround it with gardens and playings fields. I
would do my best to prevent smoky chimneys.
Again, as I should want to get hold of workers of the best
type, who came from good homes and were neat and clean, I
would take all possible pains in the planning of the inside arrange-
306
MY DREAM OF A FACTORY 307
ments of my factory. I would have suitable amenities — cloak-
rooms with hot water pipes just above the floor, so that clothes
could be aired, and, in case of wet weather, dried, ready to put
on again when the time came. There should be little racks over
the hot pipes, on which boots and shoes could be dried. Slippers
should be forthcoming for people who got their feet wet, and a
number of umbrellas in case of emergency. Good lavatory ac-
commodation, with hot water and towels, all conforming to a
very high standard of cleanliness, would be essential. Even indoor
equipment would need careful consideration. I decided, in my
dream, to enlist the services of a good dressmaker, who would
design overalls that any girl might be pleased to wear, and that
would help her to take a pride in herself and her work.
As for the workrooms, they should have a beauty of their own.
They should not suggest workhouses or penal institutions. I
would call in men of artistic ability to supply a color scheme which
was pleasing and which harmonized with the building. All the
walls should be covered with beautiful tints of color wash, and
some good pictures should be hung on them. Then I remembered
that even the poorest people often spend a few coppers on flowers,
and that a trifling outlay would make a great deal of difference
in the appearance of the rooms. So I determined to put plants
and flowers here and there, and make the whole place look more
homelike.
Then I remembered an interview with Dr. Kent, the famous
scientist. He told me how many factors affect the health of the
workers. The noise and turmoil of factories, for instance, were
often injurious to them. So I resolved that an engineer should
go all round my workrooms, everywhere trying to deaden the
throb of the machinery — and at the same time to banish every
offensive smell.
I next reflected that it is impossible to get more energy out
of a man than is put into him, and that it can only be put into
him through the alimentary canal. So I would have a first-rate
canteen in my dream factory. I would do more than supply the
bodies of the employees with a certain number of calories of fuel
energy. I recalled the rush and scramble of popular cafes in
London, and I knew that the meals I ate there did me very little
good. So my canteen should be restful, and pleasant in appear-
ance, that the hour spent there by the workers might be a time
308 THE EMPLOYERS
of real recreation. After all, the dinner-hour is the one substan-
tial break between two solid shifts of work, and I should want my
people to work as well in the afternoon as in the morning. I
would pay for the building, heating, lighting, and equipment of
the place, and I would ask the workers to pay for the service
and for the cost of the food, and, through an appointed com-
mittee, to unite with the head of the canteen in making the whole
thing a success.
From this I turned to another aspect of health. I would appoint
a works' doctor to be in attendance every day, and I would do
my best to find a really sympathetic man. Then, in view of the
extreme importance of clear vision, I would have an oculist to
test every worker's eyes without charge, and to fit him up with
glasses, if necessary. There should be a good dentist, and a com-
petent nurse, and there should be plenty of rest-rooms. In all
these things, I would try to keep the balance between myself as
a citizen and myself as a business man. From each standpoint,
I wanted my people to be vigorous, alert, and healthy, both good
workers and good citizens.
Now, what principle should guide me in fixing the working
hours of the factory? I remembered that I was living in a com-
petitive age, and I could only hold my own among other manu-
facturers, if I put my goods on the market at a certain price. My
working hours must enable me to carry on business successfully.
If my margin of profit were so low, my balance sheet so unsat-
isfactory that I could not even get an advance from the bank,
how should I realize my ideals? Clearly, it was essential to have
a good output; but yet, I did not want to fall into the old rut,
which had regulated hours for the last fifty years, and to start
work at six o'clock just because other people did.
" What," I asked myself, " is the minimum number of hours
in which the workers could produce the necessary output ? "
I saw that when it came to running an ideal factory, infinite
pains should be given to finding out the right answer to that
question. The employer would have to free his mind entirely
from prejudice, and old-fashioned ideas. He would have to ascer-
tain the output which would enable him to compete successfully
in the markets of the world. He would have to make use of
every scientific discovery to help him to secure that output, and
he would have to decide the number of hours which workers
MY DREAM OF A FACTORY 309
must contribute after due reference to all the other factors.
Clearly, I should need to keep my own brain in good working
order, in running my ideal factory.
Now, as regards Trade Unions, I would, from the very outset,
regard them as my friends. I would not set to work in a spirit
of animosity. The organization of the workers is not only abso-
lutely essential to their prosperity, but it is in the interests of
industry as a whole, including the employer. I should like to say
quite frankly to Trade Union leaders:
"Now, I want to do the square thing. I believe that I can
make my business successful, not only to my own advantage, but
to that of the workers, if we co-operate. But I need your help,
and I need your perfectly frank criticisms. Only, in all our nego-
tiations, let us keep one aim in view — namely, that all our actions
shall be based on justice. Let us avoid mutual suspicions, and
when we differ from one another, let right, not might, have the
casting vote."
I would encourage all my workers to join Trade Unions,
although, not being a Prussian, I would not force them to join.
But I would give them every facility, with a room in which to
meet, and opportunities for collecting their subscriptions. One
definite half-hour a week could be set apart for that purpose.
Mind, I would not have those subscriptions, or any other sub-
scriptions, collected in a casual happy-go-lucky manner, at all times
and seasons ! That would mean the devotion of so much thought
and energy to matters not directly connected with the work in
hand. And, in an ideal factory, I should want to get ideal value
out of every working hour.
As to the administration of my business, I should first of all
gather round me men of the right type with ideals and principles
similar to my own. For the highest posts, I would secure the very
best men I could lay my hands on, and pay them whatever was
necessary. Whether I paid my best men one, or two, or three
thousand a year would matter infinitely less than whether they
were the right men, men who not only had first-class business
ability, but sincere belief in human brotherhood.
As for managers, foremen, and forewomen, I would only employ
gentlefolk. I mean gentle-men and gentle-women. I would not
care what rank of life they came from, if they answered to that
definition in the best and truest sense. I should tell them that
310 THE EMPLOYERS
my ideals were high, and could only be realized with their help;
that if they failed me, I failed. Each of them should be a leader ;
and he who leads must be in the van, and know the right way.
Human beings may be driven, never led, never inspired, by those
who lag behind. This would mean a very high standard, both
for them and for myself. We should all have to be pretty good
to begin with, and to go on getting better and better, and never to
dream that we had completed our education.
I would encourage all the overlookers to form associations in
which they might discuss their duties and their functions in the
factory, as well as matters affecting their own interests. Their
primary object should be to adapt themselves in every possible
way to the heavy responsibilities and difficult tasks which devolved
upon them.
With regard to the workers, I should like them immediately to
undertake certain responsibilities. I would, temporarily at all
events, keep the financial and commercial side of the business in
my own hands, but so far as the industrial side was concerned, I
would ask the workers to co-operate to the fullest possible extent.
I would arrange for a system of Councils, including small sec-
tional Councils, to deal solely with matters affecting small groups
of workers, and departmental Councils, representing larger groups,
and a great Central Council, to deal with matters which concerned
the whole works. To that Council I would explain something of
my dreams and purposes. I would say : " Now, I want you to
co-operate with me in the conduct of this business. I want you,
more and more, to be responsible for its industrial administration.
But I am a practical man, and I realize that we must have good
sound government and no anarchy. Therefore, though our ulti-
mate object may be to make the works self-governing in all indus-
trial matters, we cannot do this at once. We must move cau-
tiously, and you must begin with a certain share of administra-
tion, and extend your boundaries as fast as is consistent with
safety."
Experience has shown that a committee, or council, especially
a large one, is not an effective instrument when it comes to con-
structive work. Its especial duty is to criticize. Therefore, while
I would submit various schemes to the whole Council, I should
recommend them to appoint small panels, or sub-committees, to
consider special matters.
MY DREAM OF A FACTORY 311
Such a Council might be taken into conference on such subjects
as the number of hours to be worked, and their arrangement. Of
course, I should insist on a certain standard of time-keeping. The
workers in my ideal factory would not saunter in and out just
as the spirit moved them. But I should not be wedded to any
particular scheme of time office rules, even if I had formulated
them myself. The Council would be quite free to formulate a
better one.
I should make no great addition to the factory without consult-
ing both the Central Works Council and the Council representing
the workers who would have to work in the addition.
Again, if a great rush of work were imminent, I would put the
facts before the Council, explaining the importance of supplying
the goods and satisfying the customers. I would ask them how
to put it through with the least strain on the workers. If, on
the other hand, things were slack, I should ask the Council to
advise me whether to reduce the staff, or to work short time, or
how to meet the emergency.
Such a Council would discuss all questions of education and
recreation, and it should have a voice in the appointment of over-
lookers. For example, I might nominate overlookers, and a sub-
committee selected by the Council might criticize my nomination,
or suggest other names. The final decision, here, would rest with
the management.
With regard to the highest officials, I would not initially con-
sult the Council. Their knowledge as yet would not enable them
to select, for example, a head chemist, or a head engineer. But
I should want their help in a very important matter — namely,
making it possible for every worker to rise from the lowest to the
highest rung of the ladder. Again, while standard wage rates
would still be fixed by the Trade Unions in conjunction with the
management, the workers would be free to discuss piece rates and
to point out any grievance or injustice through their chosen rep-
resentatives.
While the Council would be encouraged to make suggestions,
with regard to improved conditions in the factory, its functions
should not be one-sided. It should not become merely the mouth-
piece of dissatisfied workers. Definite responsibility would rest
upon it as a body, and if things went wrong in the works, I should
seek its help at once. Take, for instance, the question of theft.
312 THE EMPLOYERS
l
If that became serious, I might appeal to the Council and say:
"Now, I have done my best to remedy this evil. I have failed,
and you, the representatives of the workers, must have a try.
Exercise what fresh disciplinary measures you will. But create
such an atmosphere in the factory that people will scorn to
steal."
I would tell them that I remembered going round an Antwerp
Diamond Cutting Factory with a Trade Union Secretary. No
employers were in evidence. One workman pulled out of a drawer
a handful of diamonds of all sizes, and I said to the Secretary,
who was also a workman: " Do you never have anything stolen?
There are mere boys here ; do they never steal ? "
He answered that if a boy were to pilfer the least thing, no
Trade Union, in future, would admit him into membership.
I would ask the Council to get a similar spirit into our factory,
for it would be theirs as well as mine. And I should say to them :
" I want every worker in this place to play the game. It is a
great game, a man's game. I am trying to play it myself. If at
any time any of you think that I am playing foul, come and tell
me so to my face. But see that no single person plays foul. If
he does, the umpire's whistle must blow, and he must be warned.
If, after that, he still continues to play foul, he must be ordered
off the field.
" Be true umpires ! See that the game is played fairly and
cleanly on both sides, yours as well as mine."
Perhaps I would also tell them the following story, to illustrate
the fact that in the long run human beings win through by trusting
one another. At the time of a great industrial crisis in America,
when firms were " going broke " every day, an old-established
business was passing through a terrible crisis. The time came
when the employer did not know where to get money to pay his
wages. No bank would advance him a halfpenny, and the district
was seething with labor unrest. Well, one day his workers sent
a deputation, demanding to see him. He thought this meant the
end of all ! He had done his best, and he had failed. But he
received the delegation — they were surly-looking men. And one
of them said:
" Well, boss, we hear that you are in very deep waters, and
can get no money from the bank. Some of us have been putting
our heads together, and we want to do what we can to help you.
MY DREAM OF A FACTORY 313
We have a little money laid by; and we put it at your disposal,
to the last penny, if you want it."
I would exclude men from my factory who simply did not mean
to " play the game." I would not exclude a man who was trying
hard, just because he had made a bad start, any more than I would
exclude aliens from entering this country just because they were
aliens. But, just as I would not suffer aliens to lower the standard
of our national life, but compel them to live up to it, or quit,
so every worker, if he expected to remain in the factory, would
have to conform to its standards.
One indispensable thing in my ideal factory would be a really
good Works Employment Department. A worker should be made
to feel, from the very beginning of his career, that people
acknowledged his claims as an individual human being. When
inquiring about work, a newcomer should be shown into a com-
fortable, well- furnished waiting-room, and the Employment Officer
should be sympathetic and kindly. Boys and girls, men and
women, should all be received politely, and after engagement,
presented to the head of the department which they entered, not
in a haphazard fashion, perhaps by a mere lad, but with all due
courtesy, by a gentle-man or gentle-woman.
With regard to wages, I should of course recognize the fact
that wages are of two kinds. First, there is what has been called
the basic wage, and then there is the secondary wage. The
former represents the minimum sum which is necessary to enable
the worker to live as a member of a civilized community in the
twentieth century. The basic wage for a man should allow him
to live in a decent house, to marry, and to bring up a family of
normal size in full physical efficiency, with a margin for con-
tingencies and recreation. No man should work for less, in my
ideal factory, nor should any woman work without a wage which
would permit her to live in accordance with a similar standard
of comfort.
When I had seen to it that such wages were paid to the least
skilled workers, I would remunerate skill at its market value, de-
ciding this in conjunction with the Trade Unions involved. I
should not be so anxious about skilled men, who are much better
able to look after themselves.
But suppose I wanted to pay the basic wage, and could not
do so, owing to the competition of other manufacturers who tried
314 THE EMPLOYERS
to keep wages down, then I should go to the Minister of Labor
and ask him to establish a Trade Board for the whole industry.
On that Trade Board, I would try to impress the importance of
at least securing the basic wage and thus, instead of allowing
my competitors to "down" me, I should force them to rise to
my level.
I should have no objection to piece work. Very possibly, two-
thirds of the wage might be paid in the shape of day wage, which
a man would receive irrespective of the amount of work he did,
and the rest on piece, that is, so much per unit of work per-
formed. Ninety per cent of the wages, I imagine, could be dealt
with in that way. But if I thought the method unfair to such
day workers as cleaners, etc., who could not be put on piece
wage, yet were expected to work hard, I would in their case estab-
lish a room bonus, so that collectively they would be on part piece,
and have a direct interest in the amount of work they accom-
plished.
I would pay for all public holidays, and I would give every
worker a week's holiday, with pay. The officers would have
longer holidays, varying with the measure of their responsibility,
and the consequent strain upon them.
At this juncture in my dream it occurred to me that I was con-
templating a very costly enterprise. I ,told myself that ideals
were very expensive things, and I asked where the money would
come from.
I knew that employers had access to no bottomless supply of
wealth, out of which to meet any deficit occasioned by too rash
an attempt to realize Utopia. I should have to make my money
in my business, day by day. To meet an increased wage bill, and
the cost of other improvements, I should have to depend on one
of four sources: (i) the consumer, (2) my own profits, (3) my
own organizing ability and initiative, and (4) the energy and
efficiency of my workers.
Now, speaking generally, I could only tax the consumer in the
measure that my competitors were taxing him. A monopolist
could do more, but obviously if wage increases can only be ob-
tained at the cost of corresponding increases in prices, the worker
gets little or no advantage. As for profits, I know how often
a business only makes just enough profits to keep it going.
While, therefore, I should not be greedy in the matter of profits,
MY DREAM OF A FACTORY 315
I recognize that this fact alone would not enable me to carry out
my ideals. I decided that as regards the wherewithal for running
my ideal factory, to depend principally on myself and my
workers.
I would have the very best experts in my factory that I could
get — the best chemists, the best engineers, and the best psycholo-
gists. I would have a first-rate costing system. I would have
" scientific management," though I might not use that term. The
thing itself would soon become as natural and inevitable as typing
or shorthand. Without introducing any nigger-driving methods,
I would get the very best out of the American system. The work
in my factory should be done in the shortest possible time, yet
with the minimum of effort. Men who had studied the question
exhaustively should come and help me. Mind ! no one should be
overworked. No one should be encouraged or allowed to be " too
old at 40." But work would be so adjusted that every one would
do as much as he honestly could, though no more. If I tried to
run my works on the basis of some Government Offices, where
it really does not matter whether a job is done this week or next
— or this year or next, — I should soon have no works to run.
But every one who entered the factory should learn something
of its functions, and of his own relation to the whole. Too often
employers say, practically, to the newcomer : " Come along, that
is your room ; that is your job ; you may have to do it for twenty
years! The factory around you is really none of your business.
Your material comes from somewhere: that is our affair, not
yours. Your work is going somewhere — where it goes has noth-
ing to do with you."
That is, to my mind, a stupid attitude. It is neither human
nor businesslike. In my factory, I would try to interest every
worker not only in his own task, but in the great concern in
which he was a unit. I should show him how he was linked to
all the other workers, and to the whole world. Why should not
every boy and girl — in a Cocoa Works, for example, know some-
thing about physiology, the value of cocoa as a food-stuff, the
far land it comes from, and its destination?
Again, by charts and diagrams, I would let a worker see, day
by day, what progress he was making, even if it were only in the
art of cleaning windows. He could compare his skill and speed
one day with his skill and speed the day before, and with the
316 THE EMPLOYERS
performance of other workers. He could make work into a game
instead of drudgery.
Once more, in my dream factory, I would try to do away with
the fear of unemployment, and give every worker a sense of
economic security. A thoroughly adequate pension scheme, includ-
ing some provision for the widows and young children of workers,
would be an essential part of the program. The whole task would
bristle with difficulties, but I would find really able men to help
me. I would say to them : " Now, you are thinkers, pioneers,
makers of roads. You must study the experiments which have
been undertaken all over the world. You must find out what has
been done in America, France, Germany. You must ' put me
wise/: keep me up-to-date. You must be, as it were, industrial
commissioners, working out the problems that face us."
When I had banished fear from the minds of all my workers,
I would try to fill them with ambition. I would make bold experi-
ments, even if they sometimes failed. I would avoid the rut —
especially the circular rut, — and move forward, and persuade my
workers to move with me. I think that in time we should move
the world.
(At this stage, the maid came and told me that it was a quarter
past five, and that at half past five I had to give my lecture.)
SECTION TWO
MASTERS AND MEN
CHAPTER I
*
INDUSTRIAL CONFERENCE. — REPORT OF PROVI-
SIONAL JOINT COMMITTEE PRESENTED TO MEET-
ING OF INDUSTRIAL CONFERENCE, CENTRAL
HALL, WESTMINSTER, APRIL 4th, 1919
AT the Industrial Conference called by the Government and
held at the Central Hall, Westminster, on 27th February last, it
was resolved:
" That this Conference, being of the opinion that any pre-
ventable dislocation of industry is always to be deplored, and,
in the present critical period of reconstruction, might be
disastrous to the interests of the Nation, and thinking that
every effort should be made to remove legitimate grievances,
and promote harmony and goodwill, resolves to appoint a
Joint Committee, consisting of equal numbers of employers
and workers, men and women, together with a Chairman
appointed by the Government, to consider and report to a
further meeting of this Conference on the causes of the
present unrest and the steps necessary to safeguard and pro-
mote the best interests of employers, workpeople, and the
State, and especially to consider:
" i. Questions relating to Hours, Wages, and General
Conditions of Employment;
"2. Unemployment and its prevention;
" 3. The best methods of promoting co-operation between
Capital and Labor.
"The Joint Committee is empowered to appoint such Sub-
Committees as may be considered necessary consisting of
equal numbers of employers and workers, the Government to
be invited to nominate a representative for each.
"In view of the urgency of the question, the Joint Com-
mittee is empowered to arrange with the Government for
* 317
318 MASTERS AND MEN
the reassembling of the National Conference not later than
April 5th for the purpose of considering the Report of the
Joint Committee."
A Committee was elected accordingly, and the Government
nominated Sir Thomas Munro, K.B.E., to be Chairman.
The first meeting of the Joint Committee, which was addressed
by the Prime Minister, was held on March 4th, and the following
resolution was carried:
" That this Committee, in order that its work may be ac-
complished as expeditiously and thoroughly as possible,
divide itself into three Sub-Committees, with the following
terms of reference:
(1) To make recommendations concerning:
(a) The methods of negotiation between employers and
Trade Unions, including the establishment of a per-
manent Industrial Council to advise the Government
on industrial and economic questions with a view to
maintaining industrial peace.
(b) The method of dealing with war advances, and
(c) The methods of regulating wages for all classes of
workers, male and female, by legal enactment or
otherwise.
(2) To make recommendations as to the desirability of legisla-
tion for a maximum number of working hours and a
minimum rate of wages per week.
(3) To consider the question of unemployment, and to make
recommendations for the steps to be taken for its pre-
vention, and for the maintenance of the unemployed in
those cases in which it is not prevented, both during the
present emergency period, and on a permanent basis.
" Note. — Unrest and output to be discussed by the whole
Committee at its next meeting on statements previously sub-
mitted by the parties."
The Government were requested to nominate Chairman of the
Sub-Committees, and for this purpose the services of Sir David
Shackleton, K.C.B., and Professor L. T. Hobhouse, D.Litt., were
obtained, in addition to those of Sir Thomas Munro.
INDUSTRIAL CONFERENCE 319
The work of the Committee has proceeded almost continuously
till the present date. They have not considered it necessary or
practicable to take oral evidence, but numerous views and sugges-
tions in writing have been placed before them and considered.
Full information and statistics relating to the subjects under
consideration have, at the request of the Committee, been supplied
by the Ministry of Labor, the Home Office, and from other sources.
As appears from the terms of reference the Committee were
intrusted with the duty of suggesting means whereby dislocation
of industry, particularly at the present critical period, should be
prevented in the interests of the Nation. It was the expressed
opinion of the Conference that to secure this end it was necessary
that legitimate grievances should be removed, and that harmony
and goodwill should be promoted. The Committee were asked to
consider and report upon the causes of the present unrest, and
the steps necessary to safeguard and promote the best interests
of Employers, Workpeople, and State. In approaching the sub-
ject they were specially directed to consider certain specific
subjects.
In regard to these specific subjects there was general agreement
that there were difficulties affecting hours and conditions of
employment, wages, and the methods of their determination; that
the whole question of preventing unemployment and providing for
its consequence on the individual worker when it did occur called
for further provision; and that machinery for promoting co-opera-
tion between employers and employees should, where necessary, be
revised and improved, and should be extended to include other
industries where methods of negotiation and agreement do not
at present exist.
At the same time it has been realized that the field of inquiry
opened up by the terms of reference is a vast one, and that to
explore and report upon it as a whole would require a far closer
and more prolonged examination of its numerous aspects, both
political and economic, than could be even contemplated by the
present Committee in the short period of time allotted to them.
On the causes of industrial unrest and their suggested remedies,
the Trade Union representatives submitted a comprehensive memo-
randum, setting out causes and suggesting remedies. Several ques-
tions referred to in this memorandum have been the subject of
320 MASTERS AND MEN
consideration by the Committee, and recommendations are made in
this report which it is believed will provide effective means to
remedy or alleviate certain of the grievances which are advanced.
It has been impossible, however, to attempt any exhaustive
investigation into every aspect of unrest, to examine fully the
relation between under-consumption and unemployment, between
wage standards and purchasing power, the relationship of produc-
tion to the whole economic and industrial situation, and many
other fundamental but complicated matters of discussion. It was
the intention of the employers to submit a considered statement
on the subject of output or production. They have found it impos-
sible to complete a statement in the time at their disposal, but are
prepared to do so at a later date. For the purpose both of
carrying on future investigation into matters now affecting the
industrial situation and of keeping such matters under continuous
review in the future and advising the Government on them, it is
the unanimous view of the Committee that there should be estab-
lished some form of permanent National Industrial Council. The
recommendations of the Committee in regard to the functions and
constitution of the National Industrial Council which they propose,
appear below. It is sufficient at the present stage to record the
conclusion of the Committee that such a Council should be insti-
tuted, and to point out that in their view matters on which this
Committee themselves have been unable to make recommendations
would be appropriate subjects for consideration by that Council.
The questions to which special attention has been given by
this Committee in the time available are as follows:
(a) Maximum hours.
(6) Minimum wages.
(c) Methods of dealing with war advances.
(</) Recognition of, and negotiations between, organizations
of employers and workpeople.
(e) Unemployment.
(/) The institution of a National Industrial Council.
HOURS
In regard to Hours the Committee are unanimous in recom-
mending the principle of a legal maximum of normal hours per
INDUSTRIAL CONFERENCE 321
week for all employed persons. The number of hours they recom-
mend is 48, but they recognize that this number may be reduced
by agreement, and that there are also exceptional cases in which
it may be necessary that it should be increased.
They accordingly suggest that legal sanction should be given to
trade agreements for the reduction of hours, and that under cer-
tain conditions similar sanction might be given to such agreements
for the augmentation of hours. They propose that if there be a
desire for variation expressed by one party only, a conference
should be summoned, whose decision should, under ordinary cir-
cumstances, receive legal sanction.
They have not deemed it possible within the time at their dis-
posal, nor did they feel competent, to draw up a list of proposed
exemptions, but they consider that an interval should elapse after
the passing of the Act in which applications for exemptions should
be made and that inquiry should then take place into each case,
and the application of the Act should, if necessary, be postponed
in any particular case until the completion of such inquiry.
Thus some occupations may be altogether exempted from the
Act, while in others the maximum may be varied in either direc-
tion by agreement between the parties.
The Committee's detailed recommendations under this head are
as follows:
Maximum to be specified in Act
1. That the maximum normal working hours per week should
be 48, and that this maximum should be established by Act of
Parliament.
Act to be of General Application
2. That the Act shall apply generally to all employed persons,
but that provision shall be made for exemption from or variation
of the terms of the Act to be granted in proper cases, as follows:
Agreement to Substitute Lower Maximum
3. That where an agreement has been arrived at between rep*
resentative organizations of employers and employed in any trade
and by such agreement provision is made that the number of
working hours per week for that trade shall be lower than the
maximum established undei the Act, the Secretary of State or
322 MASTERS AND MEN
other appropriate Minister shall, if he has no reason to deem it
contrary to the public interest, make an Order prescribing the
lower number of hours as the maximum for that trade.
Agreement to Substitute HigJver Maximum
4. That where an agreement has been arrived at between rep-
resentative organizations of employers and employed in any trade
and by such agreement provision is made that the number of
working hours per week for that trade shall be higher than the
maximum established under the Act, the Secretary of State or
other appropriate Minister shall, if he has no reason to deem it
contrary to the public interest, make an Order prescribing for the
trade, the number of hours specified in the place of the maximum
established under the Act.
Application by one Party only for Variation of Maximum
5. That where in any trade representative organizations of
either employers or employed are desirous that the hours estab-
lished under the Act or an Order should be varied (either by
way of decrease or increase), and no joint representation has been
made in accordance with the two preceding paragraphs, the Secre-
tary of State or other appropriate Minister shall, on a request in
writing of the representative organizations of either the employers
or the employed concerned, summon a Conference of representa-
tives of such organizations to consider the advisability of the pro-
visions of the Act being varied in order to meet the requirements
of the particular trade in respect of which the request is made,
and in the event of a substantial agreement being reached as the
result of such conference an Order may be made by the Minister
in accordance with the provisions of the two preceding paragraphs.
Provision for Variation or Exemption by Order
6. That where in special trades an application is made for
variation of the number of hours established by the Act and no
agreement is arrived at in the trade, or where an application is
made for total or partial exemption from the Act, provision
should be made under the Act whereby, after consultation with
the National Industrial Council, a competent authority shall
inquire into the application and, where special necessity is proved,
the Secretary of State or other appropriate Minister may by order
INDUSTRIAL CONFERENCE 323
grant the application: provided that (a) where such variation or
exemption is granted the competent authority may attach condi-
tions thereto, and (&) variation under this clause. shall be granted
only where no agreement has been arrived at under preceding
paragraphs.
Provision respecting Orders Varying the Number of Hours
7. That Orders substituting in any trade a number of hours
beyond that established under the Act shall not be made unless
and until the appropriate authority is satisfied either that the rate
of wages payable in the trade is fixed on such a basis as to take
into account, for payment at an enhanced rate, any extra hours
worked, or that provision is made for the payment, as overtime,
of all hours worked over 48 in accordance with the provisions of
paragraph 10 below.
Provision for Publication of Orders
8. Before any Order becomes operative it shall be published
for a period of (say) one month to allow of objections being
made by either side. In default of such objections the Order
shall become operative on the date named. If substantial objec-
tion is made, the Secretary of State or other appropriate Minister
shall not make the Order until he has caused public inquiry to be
held.
Reference to Trade Boards
9. In any trade for which a Trade Board has been established,
any proposal to vary the maximum hours shall be brought before
the Trade Board for report.
Overtime
10. Overtime, especially systematic overtime, should be dis-
couraged, but it is recognized that in certain circumstances over-
time is unavoidable. The extent of overtime to be allowed in any
trade, and the conditions under which it may be worked, shall
be determined under the procedure laid down in the preceding
clauses for variation or exemption from the terms of the Act,
either (a) by the representatives of the Trade or (6) in the less
organized trades by the Trade Board, or, in default of either, by
the Secretary of State or other appropriate Minister, in accord-
324 MASTERS AND MEN
ance with general principles laid down by the Minister on the
advice of the National Industrial Council.
Overtime, when worked, shall be computed and paid for in
accordance with the custom of each particular trade in the sev-
eral districts concerned, provided that overtime shall in no case
be paid for at less than time and a quarter. Subject to agree-
ments and Orders made under the provisions of Clauses 4, 5,
and 6, no person shall be required to work more than 48 hours
without overtime payment.
Night Shift, Sunday, and Holiday Work
11. The Committee are of opinion that in any arrangement as
to hours and overtime pay the question of night shift ancl Sunday
and holiday work should receive special consideration by the
National Industrial Council.
Date of Act Coming into Operation
12. That the Act should not come into operation until the
expiry of six months from its date, and that in respect to a par-
ticular trade, where an inquiry under Clause 6 is pending or in
progress, the appropriate Minister shall have power by Order to
suspend the operation of the Act for a further period not exceed-
ing three months.
WAGES
The Committee have agreed that minimum time-rates of wages
should be established by legal enactment, and that they ought to
be of universal applicability. The Committee took full cognizance
both of the difficulties of determining on particular rates and of
dealing with exceptional cases. Having these considerations in
mind, they make the following recommendations:
1. Minimum time-rates of wages should be established by
legal enactment and should be universally applicable.
2. A Commission should be appointed immediately upon
the passing of the Act to report within three months as to
what these rates should be, and by what methods and what
successive steps they should be brought into operation. The
Commission should advise on the means of carrying out the
necessary administrative work.
INDUSTRIAL CONFERENCE 325
3. In the meantime Trade Boards should be established
forthwith in the various less organized trades where they
do not already exist.
4. The Commission should review the Trade Boards Acts,
especially with the object of facilitating and expediting as
far as possible the procedure in fixing and applying minimum
rates.
5. The Minister of Labor, on the recommendation of the
proposed National Industrial Council, shall appoint the Com-
mission, which shall consist of an equal number of represen-
tatives of Employers' Associations and Trade Unions, with
a Chairman nominated by the Government.
6. The Commission shall give adequate public notice of
its proposed findings and shall hear representatives of any
trade that may desire to be heard.
7. Where an agreement is arrived at between representa-
tive organizations of Employers and Trade Unions in any
trade laying down a minimum rate of wages, the Minister of
Labor shall have power, after investigation, to apply such
minimum rate, with such modification as he may think fit, to
all employers engaged in the trade falling within the scope
of the agreement.
NOTE. — The expression "trade" used in the above proposals
relating to maximum hours and minimum wages includes industry,
branch of trade or industry, occupation, or special class of work-
ers, whether for the whole country or a special area.
In regard to the methods of dealing with war advances the
Committee recommend:
(1) That the Wages (Temporary Regulation) Act, 1918, should
be continued in force for a further period of six months
from 2ist May, 1919.
(2) That the interim Court of Arbitration constituted under
that Act should hold an inquiry — sitting as a special court
for the purpose — as to the war advances which have
been granted, and the manner in which they have been
granted, whether by way of increase, of time rates
or piecework prices or by way of war bonus, or other-
326 MASTERS AND MEN
wise, and as to the effect of the i2l/2 per cent bonus to
timeworkers, and the jl/2 per cent to pieceworkers, and
should determine finally how these advances should be
dealt with, and in particular whether they should be
added to the time rates or piecework prices, or should
be treated separately as advances given on account of the
conditions due to the war.
Where machinery for negotiation exists in any trade or
industry no action shall be taken by the Interim Court
of Arbitration affecting such a trade or industry unless
and until such existing machinery, having been put into
operation with a view to arriving at a settlement by
agreement between the trade unions and employers' or-
ganizations concerned, fails to arrive at an agreement by
the ist September, 1919.
Where no machinery for negotiation exists in any trade
or industry, trade conferences representing the trade
unions and the employers concerned shall be called by
the Ministry of Labor within two months from 4th April,
1919, and no action shall be taken by the Interim Court
of Arbitration unless such conferences shall within that
time have failed to arrive at an agreement, in which case
the Court shall consider and determine the difference
under the powers conferred by the Wages (Temporary
Regulation) Act.
(3) That the parties should consider the desirability of insti-
tuting procedure for a national periodical review of the
wages of the trade of the country as a whole.
METHODS OF NEGOTIATION BETWEEN EMPLOYERS AND TRADE UNIONS
On the subject of methods of negotiation between employers
and workpeople, the Committee recognized the importance of
establishing an understanding on the question of " recognition."
Their opinion is as follows:
(a) The basis of negotiation between employers and work-
people should, as is presently the case in the chief indus-
tries of the country, be the full and frank acceptance of
the employers' organizations on the one hand and trade
INDUSTRIAL CONFERENCE 327
unions on the other, as the recognized organizations to
speak and act on behalf of their members.
(&) The members should accept the jurisdiction of their respec-
tive organizations.
(c) The employers' organizations and the trade unions should
enter into negotiations for the purpose of the establish-
ment of machinery or revision, if necessary, of existing
machinery, for the avoidance of disputes, and the ma-
chinery should provide, where in any question at issue
there are more than one employers' organization or trade
union representing the same class of employers or work-
people, a representative method of negotiation, so that
settlements arrived at will cover all parties concerned.
The machinery should also contain provisions for the
protection of the employers' interests where members of
trade unions of workpeople are engaged in positions of
trust or confidentiality, provided the right of such em-
ployees to join or remain members of any trade union
is not thereby affected.
UNEMPLOYMENT
The Committee feel that a satisfactory investigation of the
problem of unemployment would involve a far-reaching inquiry,
and in the limited time at their disposal they have not felt able
to do more than indicate briefly some of the steps which might
be taken to minimize or alleviate unemployment.
(a) Prevention of Unemployment
i. Organized Short Time. — It is already the practice in a large
number of trades to meet periods of depression by systematic
short time working. The Committee think that this method of
avoiding displacement of labor and the consequent risk and incon-
venience to the workpeople concerned has considerable value. In
this connection, they suggest that the machinery of the Joint In-
dustrial Councils or other joint representative bodies in each
industry affords a convenient method of controlling and regulating
short time working as a means of preventing unemployment.
Regard should be had at the same time to paragraph 8 below.
328 MASTERS AND MEN
2. Overtime. — During periods of depression in an industry,
overtime should only be worked in special cases which should be
determined in accordance with rules laid down in the case of each
industry by its Industrial Council or other joint representative
body.
3. Stabilizing Employment. — In order to provide against the
fluctuating demand for labor the Committee think that the Gov-
ernment should undertake the definite duty of stimulating the
demand for labor in bad times by postponing contracts of a non-
urgent character until it is necessary to promote a demand for
labor owing to falling trade. For this purpose in allocating Gov-
ernment orders consideration should of course be given to the
circumstances of the industry concerned. The Committee are of
opinion that much more effective action could be taken if all
orders for particular classes of commodities were dealt with by
one Government Department. It would further be an advantage
in order that the policy which they have indicated should be car-
ried out that all Government contracting should be supervised by
one authority. Local authorities should be urged to adopt a
similar policy with regard to work under their control.
4. Housing. — In order to meet the present crisis the Committee
recommend that the Government should without delay proceed
with a comprehensive housing program in order to meet the
acknowledged shortage of houses. By this means employment
would be secured primarily in the building and furnishing trades,
and indirectly in almost all other trades. The Committee urge
that where local authorities fail to utilize their powers to provide
suitable housing ascommodation, the Local Government Board
should take the necessary steps for the erection of suitable houses
in the area of the Authority and under special powers if necessary
compel local authorities to act in accordance with the housing
needs of the district.
5. State Development of Industry. — The demand for labor could
also be increased by State development of new industries such as
Afforestation, Reclamation of Waste Lands, Development of In-
land Waterways, and in agricultural districts the development of
light railways and/or road transport. These are some of the
measures which in the opinion of the Committee might be
adopted as a means of permanently increasing the demand for
labor.
INDUSTRIAL CONFERENCE 329
6. Underconsumption and Higher Production. — Whilst the
Committee recognize that these questions have a most important
bearing on the problem of unemployment, they are agreed that their
importance is such as to demand that far closer consideration
should be given to them than can be given by this Committee, and
it has already been indicated in an earlier paragraph of this
report that this is a matter which might appropriately be the sub-
ject of consideration by the National Industrial Council.
7. Efficacy of Industrial Councils. — The Committee feel that,
in regard to unemployment, as well as for other purposes, the insti-
tion of Industrial Councils or similar joint representative bodies
will develop a sense of common responsibility amongst employers
and employed, and that it will provide machinery through which
the trade, acting as a whole, can in many ways minimize or pre-
vent unemployment. In particular such Councils would be in a
position to collect information and make necessary adjustments in
an organized way to meet the ebb and flow of trade.
(6) Maintenance of Unemployed Workpeople
8. Provision of Maintenance. — The Committee are unanimous
in their view that the normal provision for maintenance during
unemployment should be more adequate and of wider application
than is provided by the National Insurance (Unemployment)
Acts. They think, moreover, that whatever may be the basis of
the scheme ultimately adopted, it should include provisions for
under-employment as well as for unemployment.
9. Education and Training. — Whether provision for unemploy-
ment is made on a contributory or non-contributory basis, the
Committee think that it is very desirable that the scheme should
include provisions for enabling the workers, whilst unemployed,
and in receipt of unemployment benefit, to get access, without
payment of fees, to opportunities for continuing their education
and improving their qualifications. This is specially desirable in
the case of young persons. It should be the normal arrangement
for young persons, that whenever unemployed, they should be
required to continue their education at centers where such facili-
ties are provided by the Local Education Authority.
10. Domestic Employment for Married Women and Widows. —
The effect on the labor market of the employment of married
women and widows, particularly those who have young children,
330 MASTERS AND MEN
was brought forward, but owing to the fact that the Committee
had no official information at their disposal, they felt they were
unable to express an opinion without having full particulars of
the circumstances and conditions under which the employment of
mothers is carried on. The Committee feel that the subject is so
important that a special inquiry should be immediately instituted
to investigate the whole matter, and thereafter submit a report.
11. Limitation of Child Labor. — The Committee are of opinion
that child labor is bad in principle, and in practice tends to de-
crease the chances of adult employment. For these reasons, with-
out going into details, the Committee think that the age at which
a child should enter employment should be raised beyond the
present limit.
12. Sickness Benefit and Old Age Pensions. — The opinion of the
Committee is that the amount of sickness and infirmity benefits
should be examined with a view to more generous provisions being
made.
In regard to Old Age Pensions, they consider that the age of
qualification should be reduced, that more liberal allowance should
be paid, and that the disqualification in respect of income should
be modified.
The Committee feel that these questions require immediate
consideration, and they urge the necessity of appointing a Com-
mittee to investigate them and report.
NATIONAL INDUSTRIAL COUNCIL
As already indicated in this report, the Committee are impressed
with the importance of establishing without delay some form of
permanent representative National Industrial Council.
The considered views of the Committee are as follows:
Preamble
A National Industrial Council should not supersede any of the
existing agencies for dealing with industrial questions. Its object
would be to supplement and co-ordinate the existing sectional
machinery by bringing together the knowledge and experience of
all sections and focussing them upon the problems that affect indus-
trial relations as a whole. Its functions, therefore, would be
advisory.
INDUSTRIAL CONFERENCE 331
Such a Council would have to be large in order to give due
representation to all the industrial interests concerned; at the
same time, it should be as small as is consistent with an adequate
representative basis. Since in any case it would be too large
for the transaction of detailed business, a Standing Committee,
large enough to insure that it will not be unrepresentative, will
be needed. The Council must be elected, not nominated, other-
wise its authority will not be adequate to the proper discharge
of its functions. The method of election must be determined by
each side for itself, subject to two conditions: first, that the
members must be representative of organizations, not of individual
employers or workpeople ; and, second, that the organizations con-
cerned adopt such a method of election or appointment that their
nominees can be regarded as fully representative.
In order that the Council may have the necessary independent
status and authority if it is to promote industrial peace, the Gov-
ernment should recognize it as the official consultative authority
to the Government upon industrial relations, and should make it
the normal channel through which the opinion and experience of
industry will be sought on all questions with which industry as a
whole is concerned.
In addition to advising the Government the Council should,
when it thought fit, issue statements on industrial questions or
disputes for the guidance of public opinion.
Objects
To secure the largest possible measure of joint action between
the representative organizations of employers and workpeqple, and
to be the normal channel through which the opinion and experi-
ence of industry will be sought by the Government on all ques-
tions affecting industry as a whole.
It will be open to the Council to take any action that falls
within the scope of its general definition. Among its more
specific objects will be:
(a) The consideration of general questions affecting industrial
relations.
(&) The consideration of measures for joint or several action
to anticipate and avoid threatened disputes.
332 MASTERS AND MEN
(c) The consideration of actual disputes involving general
questions.
(rf) The consideration of legislative proposals affecting indus-
trial relations.
(e) To advise the Government on industrial questions and on
the general industrial situation.
(/) To issue statements for the guidance of public opinion on
industrial issues.
Constitution
I. The Council
1. The Council shall consist of four hundred members fully
representative of and duly accredited by the Employers' organiza-
tions and the Trade Unions, to be elected as to one half by the
Employers' organizations and as to one half by the Trade Unions.
2. Subject to the conditions stated in Clause I, the method of
election and allocation of representatives shall be determined by
each side for itself. The scheme proposed by the Trade Union
members of the Committee for the election of Trade Union rep-
resentatives is shown in the Appendix to this report.
3. Members of the Council shall retire annually, and shall be
eligible for re-election by the organizations which they represent.
Casual vacancies may be filled by the side in which the vacancy
occurs, any member so appointed to sit until the end of the cur-
rent year.
4. The Council shall meet at least twice a year, and in addition
as often as the Standing Committee hereafter referred to deem
to be necessary.
5. The Minister of Labor for the time being shall be President
of the Council and shall, when possible, preside at its meetings.
There shall be three Vice-Presidents, one appointed by the Gov-
ernment to be Chairman of the Standing Committee hereafter
referred to, one elected by and from the Employers' representa-
tives on the Council, one elected by and from the Trade Unions'
representatives. In the absence of the President, the Chairman
of the Standing Committee shall preside, in his absence one of the
other Vice-Presidents.
The Chairman of the Committee shall be a whole-time officer,
INDUSTRIAL CONFERENCE 333
and shall have associated with him two secretaries, one appointed
by the Employers' representatives on the Council, one appointed
by the Trade Unions' representatives.
6. Voting. — The two sides of the Council shall vote separately,
and no resolution shall be declared carried unless approved by a
majority of those present on each side. Each side shall determine
for itself the method of voting.
7. Finance. — The expenses of the Council, subject to sanction
by the Treasury, shall be borne by the Government.
8. The Council shall be empowered to make Standing Orders
for the conduct of its business.
II. The Standing Committee
1. There shall be a Standing Committee of the Council, con-
sisting of 25 members elected by and from the Employers' rep-
resentatives of the Council, and 25 members elected by and from
the Trade Union representatives.
2. The method of election of members shall be determined by
each side of the Council for itself.
3. The Standing Committee shall be empowered to take such
action as it deems to be necessary to carry out the objects of the
Council. It shall consider any questions referred to it by the
Council or the Government, and shall report to the Council its
decisions.
4. The Standing Committee shall be empowered to appoint an
Emergency Committee and such Sub-Committees as may be
necessary.
5. The Standing Committee shall be empowered to co-opt rep-
resentatives of any trade not directly represented upon it for
the consideration of any question affecting that trade.
6. The Standing Committee shall meet as often as may be
necessary, and at least once a month.
7. The Government shall appoint a Chairman to the Standing
Committee, who shall preside at its meetings, but shall have no
vote. There shall be two Vice-Chairmen, one elected by and
from the Employers' representatives on the Committee, and one
by and from the Trade Union representatives. In the absence of
the Chairman, the Vice-Chairmen shall preside in turn.
8. The Standing Committee, with the consent of the Treasury,
334 MASTERS AND MEN
shall be empowered to appoint such secretaries and other officers
as may be necessary for the conduct of its business.
9. The Standing Committee shall be empowered to make Stand-
ing Orders for the conduct of its business.
10. Finance. — The expenses of the Standing Committee shall,
subject to sanction by the Treasury, be borne by the Government.
-REFERENCE CLAUSE
If any question arises as to the meaning or intention of this
Report, it should be referred for consideration to the National
Industrial Council.
SUMMARY
The views of the Committee on the questions with which they
have been able to deal in the time at their disposal, may be sum-
marized as follows:
Hours
(a) The establishment by legal enactment of the principle of
a maximum normal working week of 48 hours, subject to —
(&) Provision for varying the normal hours in proper cases,
with adequate safeguards.
(c) Hours agreements between employers and trade unions to
be capable of application to the trade concerned.
(d") Systematic overtime to be discouraged and unavoidable
overtime to be paid for at special rates.
Wages
(a) The establishment by legal enactment of minimum time-
rates of wages, to be of universal applicability.
(&) A Commission to report within three months as to what
these minimum rates should be.
(c) Extension of the establishment of Trade Boards for less
organized trades.
(d) Minimum time-rates agreements between employers and
trade unions to be capable of application to all employers
engaged in the trade falling within the scope of the agree-
ment.
INDUSTRIAL CONFERENCE 335
(e) Wages (Temporary Regulation) Act, 1918, to continue for
a further period of six months from 2ist May, 1919.
(/) Trade Conferences to be held to consider how war ad-
vances and bonuses should be dealt with, and, in particu-
lar, whether they should be added to the time-rates or
piecework prices or should be treated separately as ad-
vances given on account of the conditions due to the war.
Recognition of, and negotiations between, organisations of em*
ployers and workpeople
(a) Basis of negotiation between employers and workpeople
should be full and frank acceptance of employers' or-
ganizations and trade unions as the recognized organiza-
tions to speak and act on behalf of their members.
(6) Members should accept the jurisdiction of their respective
organizations.
(c) Employers' organizations and trade unions should enter
into negotiations for the establishment of machinery, or
the revision of existing machinery, for the avoidance of
disputes, with provision for a representative method of
negotiation in questions in which the same class of
employers or workpeople are represented by more than
one organization respectively, and for the protection of
employers' interests where members of trade unions of
workpeople are engaged in positions of trust or confiden-
tiality, provided the right of such employees to join or
remain members of any trade union is not thereby
affected.
Unemployment
(i) Prevention of Unemployment
(a) Organized short time has considerable value in periods of
depression. The joint representative bodies in each trade
afford convenient machinery for controlling and regulat-
ing short time.
(&) Government orders should be regulated with a view to
stabilizing employment.
(c) Government housing schemes should be pressed forward
without delay.
336 MASTERS AND MEN
(d) Demand for labor could be increased by State development
of new industries.
(2) Maintenance of Unemployed Workpeople
(e) Normal provision for maintenance during unemployment
should be more adequate and of wider application, and
should be extended to under-employment.
(/) Unemployed persons, and particularly young persons,
should have free opportunities of continuing their educa-
tion.
(<?) The employment of married women and widows who have
young children should be subject of a special inquiry.
(h) The age at which a child should enter employment should
be raised beyond the present limit.
(») Sickness and Infirmity Benefits, and Old Age Pensions re-
quire immediate investigation with a view to more gen-
erous provisions being made.
National Industrial Council
(a) A permanent National Industrial Council should be estab-
lished to consider and advise the Government on national
industrial questions.
(&) It should consist of 400 members, 200 elected by employers'
organizations, and 200 by trade unions.
(c) The Minister of Labor should be President of the Council.
(rf) There should be a Standing Committee of the Council num-
bering 50 members, and consisting of 25 members elected
by and from the employers' representatives, and 25 by
and from the trade union representatives, on the Council.
There has been apparent throughout the proceedings an earnest
anxiety on the part of the representatives, both of employers and
employed, to approach the subjects of their discussion in a spirit
of mutual accommodation so as to arrive at a satisfactory settle-
ment of outstanding difficulties. The Committee confidently be-
lieve that if effect is given to the recommendations now made,
and if the same spirit that has characterized the deliberations of
the Committee actuates the future consideration of other diffi-
culties that exist or may arise, much will have been done to pro-
INDUSTRIAL CONFERENCE 337
mote that spirit of mutual confidence which is a first essential to
the effective and successful conduct of industry in the interests of
employers and employed and the nation generally.
In conclusion, the Committee desire to say that they welcome
the steps now being taken in the direction of International regu-
lation of labor conditions, as they believe that a satisfactory ad-
justment of labor conditions on an International basis will have
a beneficial effect on industrial problems in this country.
THOS. MUNRO,
Chairman.
ALLAN M. SMITH,
Chairman of Employers' Representatives.
ARTHUR HENDERSON,
Chairman of Trade Union Representatives.
C. S. HURST,
Secretary.
APPENDIX
PROVISIONAL SCHEME FOR TRADE UNION REPRESENTATION ON
THE NATIONAL INDUSTRIAL COUNCIL
1. Each Union with more than 20,000 members is entitled to
separate representation on the following basis — one representative
for each complete 20,000 members up to 100,000, and one repre-
sentative for each further 50,000 after the first 100,000.
2. Any federation may, with the consent of the Unions forming
the federation, be represented on the same numerical basis, pro-
vided that no Union's membership may be counted twice over in
whole or in part, whether through two federations or once through
a federation and once on its own behalf.
3. The Societies are grouped in the following 20 groups:
(1) Mining and Quarrying.
(2) Railways.
(3) Other Transport.
(4) Iron and Steel Trades.
(5) Engineering and Foundry Workers.
(6) Shipyards.
338 \ MASTERS AND MEN
(7) Building and Woodworking.
(8) Printing and Paper.
(9) Cotton.
(10) Other Textiles.
(n) Boot and Shoe and Leather.
(12) Clothing.
(13) Food Trades.
(14) Distributive Trades.
(15) Agriculture.
(16) Clerks and Agents.
(17) Government Employees.
(18) General Labor.
(19) Women Workers.
(20) Miscellaneous Trades.
CHAPTER II
ORGANIZED PUBLIC SERVICE IN THE BUILDING
INDUSTRY
BEING THE INTERIM REPORT OF THE COMMITTEE OF SCIENTIFIC
MANAGEMENT AND REDUCTION OF COSTS, APPOINTED BY
THE INDUSTRIAL COUNCIL FOR THE BUILDING INDUSTRY
THE COMMITTEE
The Committee consisted of the following members:
Employers
Mr. R. B. CHESSUM London Federation of Building Trades
Employers.
" J. P. Cox, J.P Institute of Plumbers.
" T. FOSTER North Western Federation of B.T.E.
" T. GRAHAM Scottish National Building Trades Fed-
eration.
" H. T. HOLLOWAY London Federation of B.T.E.
" S. SMETHURST, J.P. ..North Western Federation of B.T.E.
" J. F. TURNER Scottish National Building Trades Fed-
eration.
" F. G. WHITTALL Midland Federation of B.T.E.
Operatives
Mr. J. ARMOUR Operative Stonemasons' Association (Scot-
land).
" W. CROSS Amalgamated Slaters Society of Scotland.
" J. H. EoMiSTON1 Operative Plumbers and Domestic Engi-
neers.
" T. GREGORY Manchester Unity of Operative Brick-
layers.
" R. JONES United Order of General Laborers of
London.
" H. J. WALKER Amalgamated Society of Carpenters, Cab-
inet Makers, and Joiners.
" W. WILLIAMS Operative Stonemasons' Society.
1 Mr. Edmiston retired owing to ill health, and was consequently
present at none of the meetings.
339
340 MASTERS AND MEN
Councilor R. WILSON Amalgamated Slaters and Tilers Provident
Society.
Co-opted
Mr. MALCOLM SPARKES was co-opted a member of the Committee
on April 9th, 1919.
INTERIM REPORT
To J. STORKS, ESQ., J.P. (Chairman),
The Industrial Council for the Building Industry
Sir,
We have the honor to submit the following Interim Report on
Organized Public Service in the Building Industry.
Introduction
1. This Committee was appointed to consider the question of
Scientific Management ' and Reduction of Costs with a view to
enabling the Building Industry to render the most efficient service
possible.
2. The terms " Scientific Management and Reduction of Costs "
do not at first sight suggest any very far-reaching inquiry, but we
decided unanimously at our first meeting that if we were to do
any really useful work we must review the whole structure of
the building industry in order to bring forward recommendations
that would be of real service.
3. Although in the fabric of our industrial order, the material
and the human sides are so intimately interwoven that it is impos-
sible completely to separate them, we found it useful to set up
two sub-committees to specialize respectively on the twin subjects
of production and distribution of the product. The recommenda-
tions of these two groups have been reviewed by the full com-
mittee, and are combined in the document we now present.
4. As our investigation proceeded, we became more and more
impressed with the immense possibilities lying latent in the new
system of industrial self-government implied in the constitution
PUBLIC SERVICE IN BUILDING INDUSTRY 341
of our Industrial Council, and we believe that, given the vision,
the faith and the courage, our industry will be enabled to lead
the way in the industrial and social re-adjustments that are
imminent.
We have glimpsed the possibility of the whole Building Industry
of Great Britain being welded together into one great self-
governing democracy of organized public service, uniting a full
measure of free initiative and enterprise with all the best that
applied science and research can render. The whole trend of
modern industrial development is already setting in this direction.
We have now much valuable experience of control by the State,
by the municipality, by the co-operative organizations of con-
sumers, by the joint stock company, and by individual private
enterprise. Most of these forms of control offer advantages, but
each of them presents serious defects.
5. We believe that the great task of our Industrial Council is
to develop an entirely new system of industrial control by the
members of the industry itself — the actual producers, whether by
hand or brain — and to bring them into co-operation with the State
as the central representative of the community whom they are
organized to serve. Nothing short of this will produce the full
development of the " team spirit " in industry, which is the key
to the whole problem of production; nothing short of this is
worthy of the high ideals for which our Industrial Council stands.
But such a reconstruction of our industrial fabric cannot be
achieved in a day. There are many problems that require patient
experiment, and experience must be purchased in the school of
trial and error. Our hope for the future lies in the liberation
and right direction of men's true generous qualities of goodwill,
enthusiasm, and adventure. They must be our constant guide,
and no fear of risks that seem to be involved must allow us to
deny them.
6. The recommendations that we now bring forward are there-
fore based upon their immediate availability, and are designed to
lay the foundation of an industrial system which, while giving
full play to individual enterprise and complete freedom from the
benumbing hand of bureaucracy, shall yet tend to develop that
sense of comradeship and solidarity that is so essential for effi-
cient service.
We believe that they will be much improved by full discussion
342 MASTERS AND MEN
and frank criticism in the Council, and we submit them in the
belief that if our industry will give a clear and courageous lead
in the direction we have tried to indicate, its example will be of
the greatest possible service to our country at this critical time
of transition.
The Problem Stated
7. It became clear at a very early stage that there are four
main factors that tend to the restriction of output. They are:
(a) The fear of unemployment.
(&) The disinclination of the operatives to make unrestricted
profit for private employers.
(c) The lack of interest in the industry evidenced by operatives
owing to their non-participation in control.
(</) Inefficiency, both managerial and operative.
8. We begin then with the question of employment.
In a report such as this it seems unnecessary to elaborate the
well-known seasonal difficulties with which our industry is con-
fronted. We therefore immediately proceed to indicate the lines
of remedy.
The Regularisation of Demand
9. The aim we have in view is the development of the highest
possible efficiency in a well organized building service. To this
end we consider it essential that the whole productive capacity
of the industry should be continuously engaged and absorbed, and
that a regular flow of contracts should replace the old haphazard
alterations of congestion and stagnation.
It is well-known that the proportion of public to private work
is very considerable, and that it is well within the powers of
public authorities to speed up or to delay contracts. We there-
fore recommend:
(a) That the Industrial Council shall set up a permanent Com-
mittee entitled The Building Trades Central Employment
Committee, with the necessary clerical staff.
(&) That each Regional Council shall similarly set up a Build-
ing Trades Regional Employment Committee.
PUBLIC SERVICE IN BUILDING INDUSTRY 343
(c) That each Local or Area Council shall similarly set up a
Building Trades Area Employment Committee.
(d) That each Committee shall consist of an equal number of
employers and operatives with one architect appointed
by the local professional Association of Architects or by
the R. I. B. A., as may be most appropriate.
10. The first duty of these committees would be to regularize
the demand for building.
(a) At the approach of slack periods, by accelerating new
building enterprises, both public and private, with the
co-operation of architects and local authorities.
(&) Conversely, at periods of congestion, by advising building
owners to postpone the construction of such works as
are not of an urgent character.
11. Except when modified by special arrangements we recom-
mend that the Central, Regional, and Area Employment Com-
mittees should co-operate with the appropriate State, county or
district authorities.
Although we propose that these Committees should consist of
producers only, we contemplate the fullest possible co-operation
with the Government and local authorities at every stage, not only
because they are important customers, themselves, but also because
they are the duly elected representatives of the consuming public.
12. We recognize that such a scheme would involve some measure
of restraint upon individual employers and realize that the small
non-federated employer would be an obstacle to its ordered work-
ing, but we are convinced that combined pressure by members of
the Building Trades' Parliament or its constituents should even-
tually overcome this obstacle. Such spreading over of work from
year to year and season to season will not of itself solve the whole
problem of providing a steady stream of work.
The Decasualization of Labor
13. We recommend that the second main function of the Local
Employment Committee shall be the decasualization of labor, and
the difficulty of providing employment during wet and bad seasons
has yet to be faced. We feel that a certain amount of investiga-
344 MASTERS AND MEN
tion is still needed in this direction and venture to suggest that the
Building Trades' Parliament should approach the representatives
of other industries and public authorities with a view to investi-
gating the possibility of "dove-tailing" or seasonal interchange
of labor.
There would appear to be a large volume of national and pri-
vate work which could be undertaken when the industry itself
could not usefully employ all its available labor, for example :
(a) Afforestation.
(&) Roadmaking.
(c) The preparation of sites for housing schemes.
(rf) Demolition of unsanitary or condemned areas in prepara-
tion for improvements.
14. The question of the method of paying men so engaged in
other occupations in bad seasons will be considered later in rela-
tion to the scheme we are recommending for the provision of
unemployment pay.
15. When all other methods of providing steady and adequate
employment for the operatives have been exhausted, then the
industry is faced with the question of its responsibility toward its
employees during possible periods of unemployment. We are con-
vinced that the overhanging fear of unemployment must be finally
removed before the operative can be expected whole-heartedly
to give of his best. Considerations of humanity and efficiency alike,
therefore, demand that provision shall be made by the industry
itself adequately to maintain the operative and his family during
any period of unemployment arising from causes outside his
control.
This accomplished, we believe that the whole atmosphere of
industry will experience a great and vitalizing change, and that
efficiency of production will be much increased.
1 6. We accordingly suggest that termination of employment
upon any job should be subject to one week's notice instead of
one hour (except in the case of a strike or lock-out) and that the
local Employment Committee should be immediately notified of
such approaching terminations and also of all vacancies occurring.
The machinery for filling vacancies already exists in the trade
union organization and should be developed to the greatest pos-
PUBLIC SERVICE IN BUILDING INDUSTRY 345
sible extent, in order to supplement the State Employment Ex-
changes, so far as the building industry is concerned.
Unemployment Pay
17. We further recommend that in cases of unavoidable unem-
ployment, the maintenance of its unemployed members shall be
undertaken by* the industry through its Employment Committees,
and that the necessary revenue should be raised by means of a
fixed percentage on the wages bills and paid weekly to the Employ-
ment Committee by each employer on the joint certificate of him-
self and a shop steward or other accredited trade union represen-
tative.
1 8. The amount of the percentage charge necessary to raise
funds for the maintenance of members unavoidably unemployed
will naturally depend upon the amount of the State subsidy for the
purpose, and also upon the efficiency of the Employment Com-
mittees in the matter of :
(a) Regularization of demand, and
(&) Decasualization of labor,
but it is already evident from past experience that the percentage
will certainly be small, and that a charge of 5 per cent would
probably be more than ample. An estimate of the revenue required
for the coming year should be laid before the Industrial Council
annually and the rate of percentage fixed accordingly.
19. While the collection of this revenue should be carried out
by the Employment Committees, the payments should be made by
periodical refund to the trade unions, who would thus become an
important integral part of the official machinery and would dis-
tribute the unemployment pay in accordance with the regulations
prescribed by the Industrial Council and its Committees.
20. Every duly registered member when prevented, for a period
to be fixed, from working at the proper craft at the full standard
rates of the district, should be entitled to unemployment pay,
whether the cause be sickness, accident, shortage of work, or stress
of weather. In all cases the amount would be inclusive of any
benefit under the State and Trade Unions schemes.
21. We further recommend that every registered member should
be entitled to one week's summer holiday pay per annum, and at
346 MASTERS AND MEN
the same scale and from the same fund as the unemployment
pay.
22. For purpose of this scheme "Members of the Industry"
would be trade unionists engaged therein, including the clerical,
technical and managerial staffs, who register with the Employment
Committees for participation.
23. During unemployment all men should receive half their full
wage, supplemented in the case of a married man by one-tenth of
his full wage for his wife and each of his children up to four
children, under sixteen years of age. When the industry becomes
responsible in this way for unemployment pay, apart from the con-
tributions which it already has to pay under the State Unemploy-
ment schemes, then two essential conditions must be fulfilled:
(i) The workers by more concentrated effort must increase effi-
ciency beyond the present standard; and (2) Management and
Capital must consent to a limitation being imposed upon their earn-
ings, and should be prepared to adopt methods on their side which
will lead to greater output.
We have attempted thoroughly to explore all possible objections
to the scheme which we are advocating, but the difficulties are not
sufficiently serious to shake our conviction that with increasing
goodwill will come higher production, and with better management
increasing surplus will be available.
24. The Unemployment Scheme recommended will perform two
functions at least. It will go far to secure the complete good-
will of the operative and make unnecessary certain restrictions
which exist, either tacitly or otherwise, on output; and, secondly,
by absorbing a certain amount of the surplus earnings of the
industry, it should tend to meet the disinclination on the part of
the operatives to make unrestricted profit for private employers.
25. It has already been recommended that during bad seasons
operatives should be encouraged to accept work in other occupa-
tions rather than unemployment pay. The question of remunera-
tion under such arrangements requires further consideration, and
we hope to deal with this in a later report.
26. It is hoped that this scheme will be so satisfactory that it
will be finally possible to relieve employers of their liability under
the Workmen's Compensation and the Employers' Liability Acts,
and to supersede all Trade Union Sickness and Unemployment
Benefits, and that the industry will obtain powers to contract out
PUBLIC SERVICE IN BUILDING INDUSTRY 347
of the State scheme. The danger of fraudulent claims upon the
Unemployment Fund has not been overlooked, but we believe
that ample safeguards will be found in the utilization of the trade
union organization for the payment of the money and oi the exist-
ing employment exchange facilities for registration of the unem-
ployed. Moreover, fraudulent claims cannot easily be put forward,
because unemployment will only result when the scheme for the
regularization of employment has failed to absorb any more labor.
The principle of Joint Committees to act as trustees for such a
fund does not appear to need any defense.
27. We frankly recognize here that we are again faced with the
fundamental difficulty that there still exist in the industry large
numbers of small non-federated employers, and on the other hand
operatives who are not trade unionists. Nevertheless, we feel that
the benefits of such a scheme will have a very material effect in
inducing employers and operatives to come into their respective
associations.
The Wages of Management
28. At this point it is necessary to state that the first question
discussed by the Committee was the possibility of the adoption by
individual firms of some scheme of profit-sharing or co-partnership
which would abolish the second factor limiting output. It immedi-
ately became clear, however, that such schemes secure no backing,
either by the trade union representatives or by the majority of the
operatives. All such methods of payment are strictly forbidden in
the rules of most trade unions in the industry. Hitherto the rea-
sons of this objection have been:
(1) The fear of increased unemployment.
(2) The fear of disintegrating influences being introduced
among the workers, thus weakening the authority of the
trade unions.
(3) The difficulty of applying most methods of payment by
results to the peculiar conditions of the building industry.
29. But it was found that the trade unions involved would be
prepared to reconsider their attitude if the surplus earnings of the
industry went not to individuals but to some common service con-
trolled by the industry as a whole.
348 MASTERS AND MEN
30. This brought us immediately to the consideration of the
wages of management. Here we were immediately faced with the
peculiarly difficult organization of the building industry. The ease
with which small businesses can be started with little or no capital,
makes it possible for many employers to carry on in the dual
capacity of manager and owner. Many of these men have no
proper system of accountancy or audit, and would be quite unable,
if asked, to differentiate between the wages of management and the
interest on their capital. Many of such concerns are exceedingly
unstable and, as is well known, are often a source of considerable
discredit and danger to the industry. In the larger firms the
managers are again usually principally concerned in the ownership
of the business, and, therefore, in view of the limitation of the
rate of interest on their capital, which we recommend in the next
section, they are directly and intimately concerned with the salaries
they would receive as managers. Thus, in any attempt to fix some
scale of remuneration for the different types of management we
are at once faced with the difficulty of the proper determination
of an adequate salary.
31. In parenthesis, we would here like to remark that no oppo-
sition to an adequate remuneration for management is likely to be
offered by the trade unions, who may discuss this scheme. We
feel sure that no fair-minded operative will hesitate to support
an adequate scale of salaries. The workman demands from the
management, as does the management from him, the highest pos-
sible efficiency, and respects it where he finds it. When that is
rendered his whole tendency is to insist that such service shall
receive adequate remuneration.
32. Various alternative suggestions were discussed, and rejected,
for example:
(a) To fix salaries in a definite proportion to foremen's wages.
(6) To fix them in a definite proportion to the profits of the
business or its turnover,
(c) To ascertain what the ordinary market value of a manager
would be.
33. We finally decided to recommend that the salaries of man-
agement might first be ascertained by each " Employer-Manager "
declaring what salary he has received or what he regards as his
PUBLIC SERVICE IN BUILDING INDUSTRY 349
due. These declarations should be periodically reviewed by the
Employment Committees appointed under this scheme, the first
review to ascertain data for possible revision in order to develop
a recognized standard of remuneration.
The Hiring of Capital
34. It will already have become evident that the whole concep-
tion of organized public service that we are developing, demands
the acceptance of three main principles as an essential preliminary
to that increase of efficiency without which the cost to the com-
munity cannot be reduced.
(a) Regular rates of pay to the operatives that will insure a
real and satisfactory standard of comfort.
(&) Salaries to owner-managers commensurate with their
ability.
(c) A regular rate of interest for the hire of capital.
35. These established, the whole atmosphere will be clarified,
the interdependence of the different sections will be better under-
stood and the " team spirit " will rapidly develop.
The investigation of the hire of capital was, therefore, one of
the most important, and, at the same time, one of the most dif-
ficult sections of our inquiry. One of the many unsatisfactory
features of the building industry hitherto, has been the precarious
nature of the employers' position and investments. There is no
need to enlarge upon this — it is well known to those engaged in
the industry. Recognizing then that confidence on the part of
employers and operatives alike, is essential for efficiency, we bring
forward proposals to secure that end.
In the first place it is necessary that the earnings of employers
should be clearly and definitely separated under two headings:
(a) Wages of Management or remuneration paid by the busi-
ness for personal service.
(6) Interest or the charges paid by the business for the hire of
capital.
Wages of management should depend on ability. Interest on
capital should depend on security and on the market price of
money.
350 MASTERS AND MEN
The principle of the limitation of the rate of interest on capital
has already met with wide acceptance in the industrial world, for
example, by debentures, preference, and loan stocks, as well as the
ordinary shares of public utility societies. But limitation demands
security, and security can only be given in return for a measure
of control. Supervision, limitation, guarantees form, therefore, the
triple keystone of the plan we now propose.
36. We recommend that approved capital, invested in the build-
ing industry, and registered annually after audit, shall receive a
limited but guaranteed rate of interest, bearing a definite relation
to the average annual yield of the most remunerative Government
Stock. The fixing of the ratio will have to be worked out by
further investigation, but we recommend that once determined
upon, the guarantee shall apply to all firms in the industry, except
where failure to earn the aforesaid rate is declared by the Com-
mittee on the advice of the auditors to be due to incompetent
management.
37. The granting of loans for development — a necessary corol-
lary of the scheme — will be dealt with in connection with the
surplus earnings of the industry, which forms the subject of a
later paragraph.
Accountancy and Audit
38. The regular employment of qualified accountants for the
service of the building industry is not only essential for the work-
ing of this scheme, but will add greatly to the efficiency of every
firm engaged therein. Moreover, as we shall show in a later sec-
tion, our Sub-Committee on Production came independently to the
conclusion that some such system of periodical accounting was
absolutely necessary in order to place the conduct of the whole
industry upon a more scientific and efficient basis.
39. And, just as the professional quantity surveyor is becoming
recognized as the qualified assessor as between the builder and
the building owner, so the professional accountant will become the
recognized assessor as between the builder, the whole body of
producers, and the larger community of which they form a part.
The Surplus Earnings of the Industry
40. While it may be urged that the measures so far projected
do not take any direct cognizance of the public interest, we believe
PUBLIC SERVICE IN BUILDING INDUSTRY 351
that a solution of this problem may be found in the control of the
surplus. We therefore recommend:
(a) That the amount of the surplus earnings of the industry
shall be publicly declared every year and accompanied
by a schedule of the services to which the money has
been voted.
(&) That it shall be held in trust by a National Joint Committee
of the Building Trades Industrial Council, and shall be
applied to the following common services, which will be
developed under the control of the industry as a whole.
(1) Guarantee of interest on approved capital as outlined in
par. 36.
(2) Loans to firms in the industry for purposes of develop-
ment.
(3) Education and research in various directions for improve-
ment of the industry, both independently and in co-
operation with other industries.
(4) Superannuation schemes for the whole registered per-
sonnel of the industry.
(5) Replacement of approved capital lost through no fault of
the management.
(6) Such other purposes as may be thought desirable.
41. We believe that this safeguard of complete publicity will
not only be very effective in creating public confidence in the
organized service of the building industry, but will also pave the
way to the scientific adjustment of prices, by providing the requi-
site information for the use of the Building Trades Industrial
Council. Every rise in prices disturbs public confidence, restricts
demand, and thus depletes both the unemployment and guarantee
funds and reduces the surplus ; while every fall in prices increases
public confidence, stimulates demand, and relieves both the unem-
ployment and guarantee funds.
And, while we hold that the creation of these common services,
financed by the surplus earnings of the industry, is necessary for
the development of the " team spirit " throughout its personnel,
we are convinced that the public will not only recognize their
value, but will reap a distinct benefit from an improved product.
Industries are so intimately interdependent that any increasing
352 MASTERS AND MEN
well-being in one must ultimately lead to the benefit of the others
and to the consumer in particular.
Conditions of Entry into the Industry
42. It is obvious that the important improvements we have out-
lined, will tend to make service in the industry more attractive, and
while the interests of this public service emphatically demand the
enrolment of every member who can be trained and utilized in the
building industry, we fully recognize that indiscriminate enrol-
ment must be prevented by careful regulation.
43. We therefore recommend that the development of the in-
dustry should be kept under constant review by the Employment
Committees, and that these committees should periodically notify
the trade unions as to the number of new members that may
apply for registration under the employment scheme, after a
suitable trade test or evidence of previous service in the
industry.
44. In anticipation of such periodical notifications we further
recommend that the trade unions should establish waiting lists
and that the periods of waiting should be utilized for technical
training, approved by the Building Trades Parliament.
45. Similarly the entry of new employers into the industry will
require careful regulation by the Employment Committees, in order
to insure that a high standard of efficiency is established and main-
tained in this connection. We recommend that no loans should
be made from the Development Funds (suggested in paragraph 40)
to new firms conducted by private enterprise. New private enter-
prise should always provide its own initial capital.
Scientific Management
46. Our recommendations, so far, have dealt mainly with the
development of the " team spirit " in industry — that subtle change
in the industrial atmosphere that will engender throughout the
whole personnel of the building industry the confidence, enthusiasm
and sense of common purpose, that are the necessary conditions
precedent to the full development and operation of really scientific
methods, on what might be termed the matenial side of the in-
dustry. To the consideration of this we now proceed.
PUBLIC SERVICE IN BUILDING INDUSTRY 353
Costing
47. An accurate system of costing is the only foundation upon
which the whole structure of scientific management can be safely
erected. Without efficient costing no estimator can frame quota-
tions with the reasonable certainty that he is not heading straight
for disaster. We believe that it should be possible for the industry
to adopt some simplified scheme for the use of builders who, at
present, do not undertake any proper costing. It was generally
agreed that many builders, especially those managing small busi-
nesses with a very limited capital, rely almost entirely on rule of
thumb methods, with the result that their estimating is blind,
faulty, and quite unscientific. In many cases no proper books are
kept. Such methods are a danger and discredit to the industry.
Moreover, this constitutes a great draw-back from the point of
view of organization and efficiency.
48. It is not proposed in this Interim Report to give a detailed
analysis of the whole of the evidence collected from witnesses, but
to summarize all that seems germane.
Evidence was taken from Mr. Malcolm Sparkes, formerly of the
firm of Messrs. H. G. Cleaver, Limited, regarding labor costing by
diagram. Mr. Danels, of the firm of Messrs. Higgs and Hill,
Limited, gave evidence regarding costing methods which enable
his firm to ascertain the costs of the various factors concerned
when determining contracts on a large scale. Mr. Chessum and
Mr. Whittall, members of the Committee, also submitted evidence
regarding methods of costing adopted in their firms. Papers were
read by Mr. C. F. Chance, of H. M. Factory at Oldbury, and Mr.
H. Vale of the Quantity Surveyors' Institute, with regard to a
bonus scheme, based on constants of labor. Every one of these
witnesses strongly emphasized the value of accurate costing, espe-
cially at the present time. Fluctuations in wages and the cost of
material make this an absolute essential of any modern business.
Moreover, a standard minimum system, adopted by the whole
industry, will preserve it from the errors of those builders who
are prone to accept contracts at less than cost price owing to their
negligence in estimating or keeping proper costs.
Essentials of a Minimum System
49. As a result of considering the evidence, it became clear
that some simple but generally applicable scheme of costing and
354. MASTERS AND MEN
accountancy is not only essential, but possible. And if such a sys-
tem be made part of the conditions of approval suggested in par.
36, we believe that it would be universally adopted.
50. We therefore recommend that the Building Trades Council
should promote such a scheme or schemes which will fulfil the
following conditions:
(a) Simplicity — i.e., not too unwieldy or detailed to be available
and useful for prompt results.
(&) Elasticity,
(c) Accuracy.
(We would here point out that the investigations and recom-
mendations of the Sub-Committee on Distribution, make it essen-
tial that the industry should endeavor to place such a scheme upon
a proper footing, for, without proper accountancy, their recom-
mendations would be of no avail.)
51. Further, we recognize that any such system would involve
routine, but the experience of those who have given evidence, tes-
tifies to the value of such routine, and to the small additional
outlay in skilled staff which it involves. Moreover, any such outlay
more than repays itself by increased efficiency.
52. Such a scheme should also provide some method of deter-
mining with speed and safe approximation and at any stage :
(a) The proportion of the cost of the various items of labor
to the total cost at any stage.
(&) The proportion of establishment charges to total costs,
(c) The proportion of the other factors involved.
(<f) Departmental costs.
53. We were aware, however, that the improvement in mana-
gerial or office routine was of itself not sufficient. We therefore
invited criticism, by operatives engaged in the various crafts, of
existing works organization. Here we found a remarkable unani-
mity of view that whatever mechanical readjustments are adopted
the greatest increase of production will come from mutual esteem
between management (in the wider sense including foremen) and
operatives.
54. The bulk of the evidence led us to the following additional
recommendations :
PUBLIC SERVICE IN BUILDING INDUSTRY 355
(a) That there should be more inducement to the most talented
operatives to increase their efficiency, and to undertake
positions of greater responsibility.
(6) That every care should be taken, especially in sub-contract-
ing work, to provide a sufficiency of plant.
(c) That production can be considerably increased by organiz-
ing the position of scaffolding and the disposition of
material, in order to arrange a continuity of employment
for the ultimate handler of the material. It is better for
the material to wait for the men than the men for the
material.
(d ) Workshops should be specially built or adapted for the pur-
pose in view, and should contain the best devices for
insuring the easiest possible manipulation of material.
(Very strong criticism was directed against many of the
existing workshops, which were considered quite unfit
for the nature of the work to be carried out in them.)
It is clear that a detailed study of processes and a variety
of experiments would afford in many cases considerable
increases in output.
(?) A better output will be obtained if the personal comfort
of the operatives is provided for by canteens, sanitary
arrangements, etc., whether at the works or on jobs.
Where such accommodation is provided, the operatives
should make fuller use of such facilities.
Works Committees
55. We realize that no uniform arrangements or recommenda-
tions beyond a minimum can be made, as local conditions vary so
considerably, nor can we presume to advise the individual employer
how to organize any particular operation. But we realize very
strongly the value of useful suggestions by the operatives. We
therefore recommend that this can be best utilized by the estab-
lishment of Works Committees upon which management and labor
may interchange their specialist knowledge and discuss questions
of mutual interest. Other benefits would undoubtedly accrue. The
value of joint organization would be brought more nearly home
to the whole of the employers and operatives alike, and thus the
work of the Building Trades Industrial Council would be more
keenly and nearly appreciated in all localities and workshops.
356 MASTERS AND MEN
Conclusion
In summing up the conclusions that we have reached, we would
again lay special emphasis upon the keynote of our work; the
development of the " team spirit " in industry which we believe to
be the only real solution of the whole problem of production.
This analogy of the athletic team conveys our meaning more
accurately than any other form of words we can devise — implying,
as it does, a fundamental basis of loyalty, enthusiasm, and efficiency
for a common aim.
It sounds across the whole industrial arena the trumpet call of
a new idea — the conception of our industry as a great self-govern-
ing democracy of organized public service.
We have endeavored, we hope successfully, to outline the true
foundation for such a consummation, namely:
Freedom and security for initiative and enterprise.
Complete removal of the fear of unemployment.
Salaries to management commensurate with ability.
Hire of capital at the market rate of good securities.
Provision of common services controlled by the whole industry,
and financed from its surplus earnings.
We have not hesitated to make great demands, for the emer-
gency and the opportunity are also great, and this is no time for
dalliance.
We believe that the spectacle of organized management and
labor, uniting their constructive energies upon a bold scheme of
reorganization and advance will transform the whole atmosphere
of our industrial life, and that the force of a great example is the
only thing that will lead the way to the commonwealth that all men
of goodwill desire.
We have the honor to be, Sir,
Your obedient Servants,
THOS. FOSTER, Chairman.1 R. JONES.
W. CROSS, Vice-Chairman. MALCOLM SPARKES.
J. ARMOUR. H. J. WALKER.
J. P. COX.1 W. WILLIAMS.
THOS. GRAHAM.1 R. WILSON.
T. GREGORY.
1 These three are employers.
PUBLIC SERVICE IN BUILDING INDUSTRY 357
Messrs. CHESSUM, HOLLOWAY, SMETHURST, TURNER, and WHIT-
TALL, while agreeing with some of the proposals contained in the
Report, do not see their way to sign it without important reserva-
tions.
CHAPTER III
JOINT STANDING INDUSTRIAL COUNCILS
(The Whitleys)
Notes on their Work, July, 1919, by the Ministry of Labor
I. — WAGES
ASBESTOS. — Existing time rates to be paid for 48-hour week. Rates
for piecework to be raised 15 per cent.
BEDSTEADS (METALLIC). — The Conciliation Board for this Industry,
which retains a separate existence, has been sitting to arrange
new piecework prices for the whole of the Industry.
BOBBINS. — An agreement was arrived at in November, 1918, pro-
viding for minimum wages of 6os. for skilled men, 535. 6d. for
lesser skilled men, 453. for laborers, and 255. 6d. for women,
with scales according to age for juvenile workers. In May,
1919, this agreement was superseded by an award of the Court
of Arbitration. This award which (excludes Scotland) gave
advances of 6s. per week to skilled men, 53. to lesser skilled
men, 45. to laborers and women, and 2s. 6d. to juvenile
workers.
BREAD BAKING. — Minimum wage fixed at 6os. in industrial areas,
553. in rural areas.
CHINA CLAY. — Agreement arrived at on 4th February, 1919 (dated
back to ist January, 1919), providing for payment to male
time workers of is. id. per hour (6d. of which is war wage),
overtime to be paid time and a quarter on weekdays and time
and a half on Sundays on repair work. Boys to receive a pro-
portionate increase of men's war increase, in proportion to
pay, with a minimum of is. 6d. per day, plus increase. Com-
petent blacksmiths, carpenters, and masons are to be paid a
minimum wage of is. 2d. per hour. Females on time work
are to receive a minimum wage of 253. per week. Piece-
workers will receive an increase of 2 is. 6d. per week in addi-
tion to the piecework rates existing at July, 1914.
COIR MAT AND MATTING. — 15 per cent increase on bonuses agreed
358
JOINT STANDING INDUSTRIAL COUNCILS 359
upon (20 per cent in Eastern Counties), pending general re-
vision of piece-prices.
ELASTIC WEBBING. — Council failed to agree on claim for uniform
and advanced rates of wages, and referred matter for arbi-
tration to Wages and Arbitration Department of Ministry of
Labor. Hearing took place on 22nd May. The Award (31 st
May) has given 325. for 48 hours to women of 20 years and
over, 100 per cent over pre-war rates to female pieceworkers,
and advances of 303. on time work and 75 per cent on piece-
work to men.
FURNITURE. — Standard rate for London upholsterers and uphol-
steresses and standard rate for women polishers in London
district settled by National Conciliation Board ( formed by the
Council), and approved under Wages (Temporary Regula-
tion) Act.
GOLD, SILVER, ETC. — 5 per cent increase on all rates for piece-
workers, to compensate for reduced hours.
HOSIERY (ENGLISH). — December, 1918. Additional bonus agreed
to, of ij^d. in the is. upon wages earned, making total of
6>^d. in all. In force till end of March, 1919. April loth,
1919, agreed that piece rates should be increased by 7J4 per
cent., 3d. an hour increase to be paid for overtime instead of
2d. increase now paid. Same weekly time rate to be paid for
shorter working week (48 hours).
HOSIERY (SCOTTISH). — Wage claims to be dealt with by full
Council or District Council according to general or district
character of claim.
LEATHER GOODS. — National minimum daily rate for males to be
is. 5d. per hour. Pieceworkers, male and female, to receive
an increase of \2l/2 per cent, pending the settlement of their
application. Female day workers not to receive less for a
48-hour week than they received for the longer working week,
pending the settlement of their present application.
LOCAL AUTHORITIES' NON-TRADING SERVICES (MANUAL WORKERS)
(ENGLAND AND WALES). — Agreement arrived at on overtime
rates, providing that after 47 hours per week have been
worked or otherwise accounted for by sickness covered by a
medical certificate or by employer's permission or instruction
to be absent, overtime shall commence, and the rates shall be
time and a quarter for the first three hours overtime, time and
360 MASTERS AND MEN
a half beyond three hours, and double time for Sundays,
Christmas Day, and Good Friday where that is recognized as
a general holiday, and proclaimed national holidays, but this
is not intended to affect any existing local arrangement which
is more beneficial to the employees and shall not apply to the
class of men whose overtime rate is dealt with by the Agri-
cultural Wages Board.
MATCHES. — Same wages to be fixed for 47-hour week as before
hours agreement.
PAINT, COLOR, AND VARNISH. — Men and women over 18 to receive
55. per week, under 18, 2s. 6d., on total war wage existing at
ist December, 1918. Proportionate advance to pieceworkers.
RUBBER. — Existing weekly time-rates allowed for 47-hour week.
No reduction in piece-rates. No increase to be made in present
basis of calculation for output bonus. This to include men
and women.
SAWMILLING. — The principle of a national minimum wage was
agreed upon by the Council, the country being divided for the
purpose into three groups: — (a) Large towns and ports; (&)
small towns; (c) country districts. The Council could not
agree as to the minimum hourly rates for each group and the
question was submitted to the Court of Arbitration. In June
the Court of Arbitration awarded as follows: — (a) Large
towns and ports — machinists is. 6d., laborers is. 3d. ; (6) small
towns — machinists is. 4d., laborers is. 2d.; (c) country dis-
tricts— machinists is. 3d., laborers is.
VEHICLE BUILDING. — An agreement was reached in January, 1919,
providing for a national minimum wage ranging from is. $d.
to is. 7d. per hour for skilled workers, and from is. id. to
is. 3d. per hour for lesser skilled workers and laborers.
WATERWORKS UNDERTAKINGS. — Agreement reached on overtime
rates, providing that payment for overtime shall not run until
after 47 hours for the day men or after 48 hours for the shift
men have been worked or otherwise accounted for by sickness
covered by medical certificate or by the employer's permission
or instruction to be absent ; provided that where a workman is
insured under the National Insurance Acts, such certificate
shall be obtained from the man's panel doctor, or where the
employing authority has been excepted from the Acts under
any approved scheme for sickness benefit, such certificate shall
JOINT STANDING INDUSTRIAL COUNCILS 361
be obtained from the medical practitioner provided for by the
regulations made by the employing authority. That time and
a quarter shall be paid for the first two hours and time and a
half afterwards; that time and a half shall be paid for all
Sunday work, reckoned according to local practice; the fore-
going to be without prejudice to higher rates where prevailing
at the present time. That where a man is called upon to start
work before the usual time or he is recalled after having left
work, he shall be paid time and a half for each hour worked.
That for the purpose of these resolutions the recognized na-
tional holidays be placed upon the same footing as Sundays.
WOOL (AND ALLIED) TEXTILES. — Wages to be settled locally by
District Councils. Some District Councils have already
reached agreement.
II. — HOURS
ASBESTOS. — Agreed that 48-hour week be established. Shift sys-
tem under consideration.
BOBBINS. — Normal working week of 48 hours, without reduction
of weekly pay of time or day workers, and with proportionate
adjustment in piecework wages, established by award of Court
of Arbitration in May, 1919.
BREAD BAKING. — The Government Committee of Inquiry into
Night Baking held its first sitting for the hearing of evidence
on ist May, and sat for 15 days, hearing over 50 witnesses.
Certain visits have also been paid to bakeries. A report (Cmd.
246) has been published.
CHINA CLAY. — Agreement reached fixing 42-hour week, without
reduction of wages.
ELASTIC WEBBING. — Agreed that 48-hour week be established from
7th April, 1919.
ELECTRICAL CONTRACTING. — Provision made for 47-hour working
week, with one break of 45 minutes' duration in the ordinary
full working day.
FURNITURE. — In accordance with a general agreement reached by
the Council a 47-hour week has been established in many
centers.
GOLD, SILVER, ETC. — Agreed upon standard week of 47 hours, with-
out reduction of wages.
362 MASTERS AND MEN
HOSIERY (ENGLISH). — Agreed that 48-hour week be established,
without reduction of wages.
HOSIERY (SCOTTISH). — Agreed that 48-hour week be established,
without reduction of wages.
LEATHER GOODS. — Agreed that 48-hour week be established.
LOCAL AUTHORITIES' NON-TRADING SERVICES (MANUAL WORKERS)
(ENGLAND AND WALES). — Agreement arrived at, providing that
the working week for day-men or women (manual workers) in
non-trading departments shall be not more than 47 hours, ex-
clusive of meal times; that any change in hours implied by
this resolution shall not entail any loss of pay; that the ques-
tion of a one or two-break day be left for local settlement;
that in no case where a smaller number of hours are worked
shall that number be increased. Further, that there shall be a
minimum of 12 days' holiday, including Christmas Day, Good
Friday where that is recognized as a general holiday, and pro-
claimed national holidays, with pay, per annum, to be arranged
by local agreement, but included in the 12 days there shall be
a period of not less than six consecutive days, provided that
the holiday shall not be claimed as a matter of right until after
such period of service as may be agreed upon locally, and
that if more advantageous terms exist no reduction shall be
made.
MATCHES. — Working hours reduced to 47 per week; no reduction
of rates. All Sunday work to be considered as outside the
47-hour week.
PACKING CASE MAKING. — 47-hour week adopted.
SAWMILLING. — National 47-hour week adopted, without reduction
in wages.
SILK. — 49-hour working week adopted for 3 months as an experi-
ment.
VEHICLE BUILDING. — 47-hour week adopted, without reduction of
wages.
WATERWORKS UNDERTAKINGS. — Agreement arrived at, providing
that the week of day workers shall consist of 47 hours (exclu-
sive of meal times), except where fewer hours are now
worked; that where the adoption of 47 hours entails a reduc-
tion in the number of hours worked there shall be no reduction
in wages ; that all hours worked above 47 shall be regarded as
overtime ; and that the question of a one or two-break day be
JOINT STANDING INDUSTRIAL COUNCILS 363
left for local settlement. Agreement further provides that for
shift workers (that is, those engaged in continuous work)
the week shall consist of not more than six eight-hour shifts
(inclusive of meal times) ; that if the working week now con-
sists of seven shifts or six shifts, as the case may be, the total
weekly wages, exclusive of overtime pay, shall be divided re-
spectively by seven or six, and thus shall the daily or shift
rate be determined; this rate shall be paid per shift, and all
time worked beyond the six shifts of eight hours shall be re-
garded as overtime.
WOOL (AND ALLIED) TEXTILES. — 48-hour week adopted. Details of
arrangement left to District Councils.
III. — DISPUTES AND CONCILIATION
Several Councils have devised machinery for dealing with dis-
putes and for undertaking conciliation duties. The principle
adopted in some cases is that such questions should be dealt with
by Shop or Works Committees or by District Councils where pos-
sible, the Council confining itself to questions affecting the whole
industry. Some Councils (e.g., Heavy Chemicals and Road Trans-
port) have appointed Traveling Arbitration Panels, and the Wool
(and Allied) Textile Council has established an Arbitration Panel.
The Furniture Council has formed a National Conciliation Board.
The Board has held five meetings, and has been successful in set-
tling several disputes referred to it. It has power, in the event
of disagreement, to appoint an independent arbitrator.
The Councils have recently been invited to express their views
with regard to undertaking conciliation where one or both parties
to the dispute are not represented on the Council; and in the
majority of cases the Councils have readily agreed to undertake
these duties when requested to do so.
IV. — WORKING CONDITIONS
RELAXATION OF WAR-TIME REGULATIONS. — The Pottery Council
has been asked to advise the Home Office as to the date when
the relaxation of the war-time Pottery Regulations should
cease.
364 MASTERS AND MEN
SAFETY APPLIANCES.— The Building, Furniture, and Sawmilling
Councils have decided to co-operate in advising the Home
Office as to the protection required on woodcutting machinery.
WELFARE COMMITTEES have been formed by the Building and
China Clay Councils.
IMPROVING FACTORY CONDITIONS. — The Home Office has been in
touch with the following Councils with a view to improving
factory conditions:
Furniture; Leather Goods; Packing Case Making; Paint,
Color, and Varnish; Pottery; Silk.
V. — APPRENTICESHIP
The following Councils, among others, have taken action with
regard to interrupted apprenticeship and juvenile education :
BOBBINS. — A scheme similar to that under consideration by the
Pottery Council (see below) is approaching completion.
BUILDING. — The Education and Apprenticeship Committee has
drawn up a scheme for the entry and training of all appren-
tices and recruits for the Building Industry. This has been
approved by the Council.
ELECTRICAL CONTRACTING. — A Sub-Committee has drawn up a
scheme of apprenticeship in the industry.
POTTERY; VEHICLE BUILDING. — The question of regulating the
entry of apprentices into the industry, and the provision of
proper training is engaging the attention of a Committee. A
scheme providing for the re-entry of apprentices returning
from war service has been approved.
WOOL (AND ALLIED) TEXTILES. — A Sub-Committee has been ap-
pointed.
VI. — EDUCATION
Education Committees have been set up by the following
Councils :
Building. Pottery.
China Clay. Silk.
Furniture. Vehicle Building.
JOINT STANDING INDUSTRIAL COUNCILS 365
These Commitees have been in close touch with the Board of
Education and Local Educational Authorities, and have discussed
such questions as Apprenticeship, Continuation, and Technical
Schools, etc.
Liaison Officers • i/e been appointed by the Board of Education
to act in an pl*-:sory capacity on most of the Joint Industrial
Councils.
VII. — STATISTICS AND RESEARCH
BUILDING. — The Council has appointed a Committee to consider
the question of Scientific Management and Reduction of Costs,
with a view to enabling the Building Industry to render the
most efficient service possible. This Committee has held sev-
eral meetings and has appointed two Sub-Committees to deal
respectively with questions of improving production and ques-
tions of the distribution of the product.
POTTERY. — A Statistical and Inquiries Committee has been ap-
pointed to inquire into the general problems of the industry.
This Committee has appointed a Sub-Committee to get infor-
mation on wages and making prices, also on the average per-
centage of profits on turnover.
VEHICLE BUILDING. — A Committee has been set up.
VIII. — ORGANIZATION, PROPAGANDA, AND PUBLICITY
(a) ORGANIZATION. — Action for improving the organization of
employers and workpeople has been taken by the following1
Councils :
^>ir Mat and Matting.
Leather Goods. Rubber.
Pottery. Tin Mining.
Electrical Contracting. — The Council has agreed that one of its
objects should be the elimination of the unorganized employer and
employee.
Pottery. — The Council has passed a resolution to the effect that
employers be requested to grant facilities to Trade Unions to go
366 MASTERS AND MEN
on to works for propaganda purposes and for enrollment at meal-
times, provided that no interference with the carrying on of the
operatives' duties is caused.
(&) PROPAGANDA AND PUBLICITY. — Most of the Councils have
from time to time issued reports to the Press.
Coir Mat and Matting. — The Council has issued and circulated
a leaflet giving a short account of the work and aims of the
Council.
Waterworks Undertakings. — The Council has issued a leaflet
giving the constitution and functions of the Council, a list of the
members and officers of the Council, and the resolutions on maxi-
mum hours of work and overtime rates adopted by the Council.
IX. — RELATIONS WITH THE OVERSEAS TRADE DEPARTMENT OF
THE BOARD OF TRADE
MATCHES. — This Council has been requested by this Department
to supply information as to:
(a) The encouragement of study and research with a view
to the improvement and perfection of the quality of
the product, and of machinery and methods for eco-
nomical manufacture in all branches of the industry.
(&) The preparation f and consideration of statistics and re-
ports relating to the industry throughout the world, and
the effect on the industry of Customs and Excise
duties.
The question of setting up Commercial Sub-Committees, charged
with the special work of dealing with matters in which the Board
of Trade is concerned, is receiving the consideration of several
Councils. In certain cases Commercial Sub-Committees are in
process of formation. In others the matter is delegated to a Gen-
eral Purposes or other Standing Committee. Liaison Officers be-
tween the Board of Trade and the Councils have been appointed.
In addition, most Councils directly affected by the question of
Import Restrictions have appointed deputations to state their re-
quirements to the Board of Trade Import Restrictions Committee.
JOINT STANDING INDUSTRIAL COUNCILS 367
X. — DISTRICT JOINT INDUSTRIAL COUNCILS
District Joint Industrial Councils have been formed o~ are in
process of formation by the National Joint Industrial Councils for
the following Industries:
Bread Baking.
Coir Mat and Matting.
Elastic Webbing.
Electrical Contracting.
Electricity Supply.
Furniture.
Gas.
Gold, Silver, etc.
Heavy Chemicals.
Hosiery (Scottish).
Local Authorities' Non-
Trading Services (Man-
ual Workers).
Matches.
Paint, Color, and Varnish.
Road Transport.
Rubber.
Sawmilling.
Waterworks Undertakings.
Wool (and Allied) Textiles.
Woollen and Worsted
(Scottish).
Most of the other Councils have the question of the formation
of District Councils under consideration. In some industries Dis-
trict Councils are regarded as unnecessary.
XL — WORKS COMMITTEES
Works Committees have been or are being set up under the
auspices of the respective Joint Industrial Councils for the follow-
ing Industries:
Bobbins.
China Clay.
Coir Mat and Matting.
Hosiery (Scottish).
Matches.
Pottery.
Rubber.
Tin Mining.
Woollen and
(Scottish).
Worsted
Several other Councils are at present considering the question
of the formation of Works Committees.
368 MASTERS AND MEN
PROGRESS OF THE ESTABLISHMENT OF JOINT
INDUSTRIAL COUNCILS
SHOWING ESTIMATED NUMBERS OF WORKPEOPLE IN EACH INDUSTRY
Number
Estimated No. of
of
Date set up
Workpeople
Council
Industry Employed in the
1918
Industry
i
Jan. ii ...
Pottery 64,000
2
May 29 . .
Building 553,ooo
3
July 16 ...
Rubber Manufacturing 58,000
4
July 20 ...
Gold and Silver, etc 30,000
5
July 23 . . .
Match Manufacturing 5,5oo
6
July 25 . . .
Silk 33,000
7
July 31 . . .
Furniture 85,000
8
Aug. 16 . .
Heavy Chemicals 30,000
9
Sept. 18 ..
Bread Baking, etc 99,000
10
Sept. 18 ..
Paint, Color, and Varnish 19,000
ii
Sept. 23 ..
Vehicle Building 28,000
12
Oct. i . ..
China Clay 9,000
13
Oct. 10 ..
Hosiery (English) 86,000
14
Oct. 21 . .
Metallic Bedsteads 8,000
IS
Oct. 22 . .
Bobbin and Shuttle 4,500
16
Oct. 23 . .
Made-up Leather Goods 42,000
17
Nov. 5 ..
Woollen and Worsted (Scottish) included in Wool
(and Allied)
Textile
18
Nov. 6
Hosiery ( Scottish) „ Included in
Hosiery (English)
19
Nov. 21 . .
Saw-milling 74,ooo
1919
20
Jan. 8 . . .
Wall-paper Making 3,000
21
Jan. 15 ..
Wool (and Allied) Textile 298,000
22
Jan. 17 ..
Tin Mining 6,000
23
Jan. 22 . .
Electrical Contracting 6,000
24
Jan. 24 . .
Packing-Case Making 24,000
25
Mar. 5 ..
Elastic Webbing, etc 4,000
26
Mar. 7 ..
Welsh Plate and Sheet 25,000
27
Mar. II ..
Road Transport 152,000
28
Mar. 12 . .
Asbestos Manufacturing 3,ooo
29
Mar. 20 ..
Coir Mat and Matting 3,ooo
30
Apr. 3 . . .
Waterworks Undertakings 17,000
31
Apr. ii ..
Local Authorities' Non-Trading
Services (Manual Workers).. 60,000
32
Apr. 30 . .
Gas Undertakings 94,000
33
May i
Electricity Supply 29,000
34
May 8 ..
Heating and Domestic Engineering 62,500
35
May 13 ..
Spelter 3,000
36
May 22 ..
Flour Milling 25,000
37
May 27 . .
Boot and Shoe Manufacture 160,000
38
June 24 ..
Iron and Steel Wire Manufacture 34,ooo
39
June 25 . .
Music Trades 5,500
40
July i ....
Printing 191,500
41
July 9 ....
Needles, Fish Hooks, and Fishing
Tackle 5,000
Total 2,438,500
JOINT STANDING INDUSTRIAL COUNCILS 369
(Note by the Author)
The British Government announced at the beginning of 1920
that 51 Joint Industrial Councils (Whitleys) had been set up.
These represent about 3,200,000 workers. The British lean back
on precedent and eye such new machinery as that of the Whitleys
with a Luddite suspicion. Industrial dealings are meshed in a
multiple technique of agreements and grades and rates. British
industry has a vast inherited network of collective agreements,
boards and joint committees of voluntary conciliation and arbi-
tration. By 1910 there were 1,696 collective agreements, covering
wages and hours, conditions of work, and interference with man-
agement. By 1913, there were 325 permanent Boards of Con-
ciliation. Collective bargaining, then, had through the last gen-
eration created its own machinery of diplomacy. Back of it lay
the threat of strike. Ahead of it rose the goal of legislative
enactment.
The Whitleys superimposed themselves upon this hereditary
intricate scheme. Their reception was mixed. They are serving
a purpose in establishing wages and hours. " A case — a very real
case — can be made out for them in the matter of wages and
hours," said J. J. Mallon (in November, 1919). "But," he added,
"the Government Bulletin, describing their work, is all but bare
of reference to any functions they fulfil in the training of workers
for participation in management."
Three Whitley Councils have been formed on which the Gov-
ernment as employer is represented. This marks the emergence
of the application of the Whitley Scheme in the non-industrial
and professional groups. The Admiralty Council and the Office
of Works Council have held their first meetings. The Civil
Service Council has met several times.
The Webbs' revised History of Trade Unionism appeared
in the spring of 1920. In it they say:
"After two years propagandist effort, it seems as if the principal
industries, such as agriculture, transport, mining, cotton, engineering,
or shipbuilding, are unlikely to adopt the Whitley Scheme. The Gov-
ernment found itself constrained, after an obstinate resistance by the
heads of nearly all the departments, to institute the Councils through-
out the public service. We venture on the prediction that some such
370 MASTERS AND MEN
schfcrrfe will commend itself in all nationalized or municipalized indus-
tries and services, including such as may be effectively ' controlled '
by the Government, though remaining nominally the property of the
private Capitalist — possibly also in the Co-operative Movement; but
that it is not likely to find favor either in the well organized indus-
tries (for which alone it was devised) or in those in which there are
Trade Boards legally determining wages, etc., or, indeed, permanently
in any others conducted under the system of capitalist profit-making."
If the Whitleys survive, they will demand an all-inclusive body,
to tie together their activities. They will demand some such body
as the half-realized National Industrial Council.
The relationship of manual labor to the State will not be deter-
mined by a vague group called "the public." The public must
be analyzed into its various groups of doctor, teacher, technician,
manager, miner, conductor. What Felix Adler calls the " lateral
pressure " of these groups on the warring member inside the
social organism will be of more potency than the pressure of a
mass called "the public," exercised from above. The British
railway strike was settled by the pressure of the great trade
unions (represented by 14 men) upon Lloyd George and the
railwaymen.
Whitleys and National Industrial Councils will only avail as
they become new institutions and give constitutional representa-
tion and expression to the working groups inside the State.
SECTION THREE
THE WORKERS
CHAPTER I
PRESENTED BY THE TRADE UNION REPRESENTATIVES ON THE JOINT
COMMITTEE APPOINTED AT THE NATIONAL INDUSTRIAL CON-
FERENCE, HELD AT THE CENTRAL HALL, LONDON, ON FEBRU-
ARY 27th, 1919
I. — THE CAUSES OF UNREST
No one can doubt the existence in the United Kingdom at the
present time of the most widespread and deep-seated unrest that
has ever been known in this country. The causes of this unrest
do not admit of any simple and comprehensive explanation. They
are various and diverse and different causes take the first place
in different districts and among different groups of workers. The
main outlines are, however, sufficiently distinct to admit of certain
broad and general conclusions, and this memorandum is an attempt
to describe some of the most important causes so far as they relate
to economic conditions. No attempt will be made to deal with
causes of a political character, although it is impossible to separate
these completely from economic causes. Thus, the representation
of Labor in Parliament not only has a political aspect, but also
provides, under favorable conditions, the best possible safeguard
for a constitutional ventilation of economic grievances, and the
under-representation of Labor in the present House of Commons
must therefore be classed, to this extent, among the economic fac-
tors, as well as among the political factors, in unrest. It must be
remembered that throughout the war the workers have been led
to expect that the conclusion of hostilities would be followed by a
profound revolution in the economic structure of society. Not
only social theorists, but also the most prominent spokesmen of the
371
372 THE WORKERS
Government, and not a few employers, have constantly told the
workers that we should never revert to the old conditions of in-
dustry and that an altogether higher standard of life and an alto-
gether superior status for the worker in industry would be secured
as soon as the immediate burden of hostilities was removed. The
Prime Minister himself has urged an official deputation from the
Labor Party to be audacious, and the promises of drastic industrial
change made by the Government are too numerous to chronicle.
The Prime Minister's own words to the Labor Party Deputation
are worth quoting. He said:
" I am not afraid of the audacity of these proposals. I
believe the settlement after the war will succeed in proportion
to its audacity. . . . Therefore, what I should be looking
forward to, I am certain, if I could have presumed to have
been the adviser of the working classes, would be this: I
should say to them audacity is the thing for you. Think out
new ways; think out new methods; think out even new ways
of dealing with old problems. Don't always be thinking of
getting back to where you were before the war; get a really
new world."
In view of the attitude now adopted by the Government in regard
to industrial reconstruction, these words of the Prime Minister
must be regarded as a material cause of Labor unrest.
/. — Lack of Policy
At the present moment the workers find themselves face to face
with disappointment. There is also no sign that any comprehen-
sive policy has been prepared, or even contemplated, by the Gov-
ernment or by the Employers, with a view to bringing about any
drastic change in industry. Everywhere the workers find either
the determination to revert as soon as possible to pre-war condi-
tions in the operation of commerce and manufacture, or, where the
question of reverting to pre-war conditions does not arise or con-
cerns primarily Labor, they find that few, if any, preparations have
been made for the introduction of real changes. The lack of any
comprehensive industrial or economic policy on the part of the
Government or the employers must therefore be regarded as one
of the principal factors in the present Labor unrest.
CAUSES OF AND REMEDIES FOR UNREST 373
2, — The Control of Industry
With increasing vehemence Labor is challenging the whole
structure of capitalist industry as it now exists. It is no longer
willing to acquiesce in a system under which industry is conducted
for the benefit of the few. It demands a system of industrial con-
trol which shall be truly democratic in character. This is seen on
the one hand in the demand for public ownership of vital indus-
tries and services and public control of services not nationalized
which threaten the public with the danger of monopoly or exploita-
tion. It is also seen in the increasing demand of the workers in
all industries for a real share in . industrial control, a demand
which the Whitley scheme, in so far as it has been adopted, has
done little or nothing to satisfy. This demand is more articulate
in some industries than others. It is seen clearly in the national
programs of the railwaymen and of the miners; and it is less
clearly formulated by the workers in many other industries. The
workers are no longer prepared to acquiesce in a system in which
their labor is bought and sold as a commodity in the Labor market.
They are beginning to assert that they have a human right to an
equal and democratic partnership in industry; that they must be
treated in future not as " hands " or part of the factory equip-
ment, but as human beings with a right to use their abilities by
hand and brain in the service not of the few but of the whole
community.
The extent to which workers are challenging the whole system
of industrial organization is very much greater to-day than ever
before, and unrest proceeds not only from more immediate and
special grievances but also, to an increasing extent, from a desire
to substitute a democratic system of public ownership and produc-
tion for use with an increasing element of control by the organized
workers themselves for the existing capitalist organization of
industry.
j. — High Prices
Among the more immediate and special causes of industrial
unrest the high prices prevailing for commodities of common con-
sumption take a prominent place. High prices in themselves cause
industrial unrest since the attempt is seldom, if ever, made to
374 THE WORKERS
readjust wages to a higher cost of living until the workers them-
selves strongly press their demands. The fact that the onus of
securing concessions which are necessary even to maintain Labor
in its present position is always thrown upon the workers, and
that strong resistance is practically always offered by the em-
ployers to such readjustments is a standing provocation to unrest,
and has been a very material factor during the time of increasing
prices through which we have been passing. Moreover, the
workers are convinced that the high prices which have prevailed
have not been unavoidable or purely due to natural causes. From
the very beginning of the war period the Labor Movement has
pressed upon the Government the adoption of measures designed
to keep down the cost of living, and although control over private
industry has been gradually extended, it has, in most cases, not
been sufficiently thorough or has been instituted far too late to
check materially the rising prices, and certainly too late to prevent
the amassing of huge fortunes at the public expense. The system
of control which has operated during the war has meant, in the
majority of cases, the fixing of prices at a level which will give
what is regarded as a reasonable margin of profit to the least
efficient concern, and this has meant, in case after case, the fixing
of prices which leave an entirely unnecessary balance of profit to
the more fortunately situated or more efficient establishments. In
these circumstances, unrest arises and the workers are strongly
convinced that the only way of keeping down prices is by taking
production and distribution into the hands of the public itself so
that the price can be fixed at such a level as to be fair in the
aggregate and so that gains and losses can be distributed over the
whole supply of each product. The fact then that control by the
State has usually been instituted too late, and the further fact that,
even when it has been put into operation, it has not had the effect
of reducing prices because the motive of private profit has still
been preserved, must be regarded as a most potent factor in aggra-
vating unrest and confirming working class suspicions of wide-
spread profiteering.
4. — Profiteering
The universal opinion among the working classes that profiteer-
ing has taken place during the war on an unprecedented scale
must also be reckoned as one of the most important causes of
CAUSES OF AND REMEDIES FOR UNREST 375
unrest. It is, of course, impossible to produce an accurate state-
ment of the extent and character of this profiteering, but an indi-
cation is given in the inclosures of the type of fact reported in
the newspapers which has been a powerful influence in convincing
the public that widespread profiteering is prevalent. (See inclo-
sures appended.) Indications have pointed to the fact that large
fortunes have been amassed as a result of the war by many sec-
tions among the employing and financial classes. The following
indications are those which have principally led to the impression
that extensive profiteering has been prevalent :
a. The reports in the newspapers of dividends, distribution of
bonus shares, distribution of dividends higher than pre-
war dividends after payment of excess profits duty, and
other reports showing that the prosperity of well-known
firms is greater than ever before as a result of the war.
b. The impression that large profits beyond those actually de-
clared in the form of dividends or bonus shares have been
accumulated by one or another of the following methods:
The placing of exceptionally large sums to the reserve be-
yond the increase in depreciation necessitated by war
conditions.
The equipment, by grant or out of excess profits at the
public expense, of new factories, etc., or the re-equipment
of old ones, which will be in a position to earn high
profits after the war.
c. The impression that the excess profits tax has operated not
so as to reduce the total amount of profit obtained by the
large concerns which have been in a position to secure
almost what prices they chose to ask for their commodi-
ties, but to increase prices and thereby maintain profits at
the same height as they would have reached if there had
been no excess profits taxation.
d. The constant references in Government reports and in the
newspapers, giving accounts of the progress of combina-
tion among firms which have led to the impression that
" vested interests " are becoming more powerful in the com-
munity than ever, and that there is a serious danger of a
great extension of private monopolies prejudicial to the
public, and that the Government is steadily fostering com-
376 THE WORKERS
bination among capitalists without adequate safeguards for
the public interest.
e. The fact that huge combinations of capitalists have been
formed during the war for the express purpose of influenc-
ing the Government, and the impression that these combina-
tions are listened to with far more attention by Government
Departments, than the representations made by Labor.
This list by no means exhausts the causes which have led the
workers to believe that widespread profiteering exists, but it would
be impossible to carry the matter further without entering into
considerable detail. It need only be said that profiteering in articles
of working class consumption, such as food, naturally produces a
more immediate and profound impression in working class circles
than profiteering which, although it may be even more extensive,
is not equally apparent to the ordinary man or woman. The work
of the Ministry of Food and of the Consumers' Council has done
something to diminish the suspicion among the workers of food
profiteering, but this suspicion is rapidly reviving as a beginning
is made of the removal of food control.
5. — Government Policy in Relation to Industry
The actions of the Government in relation to industry since the
general election have deepened the working class impression that
profiteering is prevalent. The sale of national ships, shipyards,
and factories is strongly resented by Labor, especially as this has
taken place at a moment when the ships might have been made of
the greatest use, in national hands, both in relieving the necessities
of the world and in preventing the creation of powerful shipping
monopolies. The shipyards might have been used to increase and
develop a national mercantile marine, and the factories, as well as
the shipyards, might have been turned to the task of useful peace-
time production, and might have been made a powerful factor for
the prevention of unemployment, both during the period of disloca-
tion and permanently. The words used by the Minister of Labor
at the Industrial Conference on February 27th have intensified
Labor's misgivings. Sir Robert Home said :
" The consideration which ultimately weighed with the Gov-
ernment was that the only chance of expediting matters at
CAUSES OF AND REMEDIES FOR UNREST 377
the present time was to restore confidence in private enter-
prise. ... If the Government was regarded as a competitor
in the industries which private enterprise was at present run-
ning they would never get proper work started again at all."
This is by no means the view of Labor, which holds strongly
that the development of national resources under public ownership
is the most urgent need of industry at the present time. The
eagerness of the Government to sell the national property and its
expressed determination to compete in no way with private inter-
ests in the task of production, even on such commodities as tele-
phones which are required by the Government itself in large num-
bers, and the hasty abandoning of national control over industry,
without any adequate safeguards for the future protection of the
consumer, have led the workers to ..he view that the Government's
first concern is the restriction of public ownership and the restora-
tion, at all costs, of the system of production for private profit.
Moreover, the refusal of the Government to come to any decision
on the question of mine and railway nationalization, despite defi-
nite promises made during the general election and although the
solution of this question is obviously vital to the problem of
industrial reconstruction as a whole, seems to show that no con-
structive industrial policy can be expected. Thus, disillusionment
and fear of exploitation in the future on an unprecedented scale
has made the workers think that their only remedy lies in taking
matters into their own hands.
6. — Unemployment
The prevention of unemployment and provision against unem-
ployment should have been one of the first thoughts of the Gov-
ernment as soon as the question of industrial reorganization began
to be considered. The workers fully understood that steps were
being taken to bring into immediate operation upon the conclusion
of hostilities a permanent scheme both for the prevention of unem-
ployment wherever possible and for the maintenance of the un-
employed where this could not be done. They now find that no
permanent provision has been made, and that the Government
actually proposes to withdraw the temporary provision for the
unemployed before instituting any permanent system of prevention
and maintenance. The reduction of the unemployment donation
378 THE WORKERS
before a comprehensive and permanent scheme of prevention and
provision has been brought into operation, will have the effect
of extending and increasing unrest. Moreover, the administration
of the unemployment donation has given considerable cause for
dissatisfaction, especially in the case of women, who are being
compelled in case after case to take jobs in sweated industries
practically at pre-war rates of wages.
We are of the opinion that the unequal distribution of wealth
which prior to the war kept the purchasing power of the ma-
jority of the wage earners at a low level, constituted a primary
cause of unemployment. During the Labor unrest debate in the
House of Commons, February, 1912, the Parliamentary Secretary
to the Board of Trade stated that the department had particulars
of wages paid to 7,300,000 workpeople, and further informed the
House that 60 per cent of the wage earners for whom they had
particulars were receiving less than 303. per week. From the Land
Inquiry Committee Report, published in 1913, we learn that about
60 per cent of the ordinary adult agricultural laborers received
less than i8s. per week, a substantial percentage being in receipt
of less than 155. per week.
In 1911 the Government appointed a Royal Commission to inves-
tigate the cause of a dispute affecting railway employees. The
union representatives submitted a statement showing the rates of
wages for railway war workers in 1906, as follows:
Per Cent of Total
No. Receiving £ i per week or less Number Employed
England and Wales 81,300 36.7
Scotland 12,960 45.2
Ireland 6,650 74.5
Showing over 100,000 workers employed in an industry not
affected by foreign competition not exceeding £i per week.
Sir G. S. Barnes, Second Secretary, Board of Trade, giving
evidence before a Select Committee of the House of Commons in
1913, supplied the following particulars of wages paid to women
workers.
In the Sugar Confectionery trades 40.5 per cent were receiving
less than los. per week, with an average wage of us. gd. Food
preserving 44.4, with an average of IDS. nd. The women employed
CAUSES OF AND REMEDIES FOR UNREST 379
in the hollow- ware trade to the number of 700 have been on strike
to obtain a minimum wage of los. for a week of 5 + hours.
In the calendering and machine ironing trade, of the women
over 18 years of age working full time, 32 per cent earned under
i os., and the average was us. 4d. for a 6o-hour week.
The above particulars of wages paid covering Railway Workers,
Agricultural Laborers, and a large percentage of women workers
indicate that a very large body of wage earners have received a
rate of wages limiting their power of consumption to such an
extent as seriously to limit the effective demand for all the essen-
tials of life, and as a consequence unemployment has been created
by under consumption.
7. — Wages and Earnings
The termination of hostilities caused a sudden reduction in the
earnings, though not in the wage rates, of huge classes of work-
ers, without any corresponding decrease in the cost of living.
This has, no doubt, to some extent intensified the unrest, but wage
grievances are not, at the present time, responsible for more than
a fraction of it. At the same time there are two aspects of the
wages problem in connection with which the uncertainty of the
present position is already causing serious unrest.
I. Most classes of workers have put forward demands for wage
increases and the incorporation in wages of war advances,
with a view not merely to maintaining their pre-war posi-
tion in relation to the increased cost of living, but to im-
proving their economic position. Failure to satisfy the
universal demand of the workers for a higher standard of
life will undoubtedly be followed by widespread unrest.
This applies not only to the highly organized, but also to
the less organized groups of workers. It is the universal
opinion among the workers that every worker, no matter
what the trade or occupation with which he or she is con-
nected, is entitled to a reasonable minimum standard of
life, and that the existing slow and cumbrous methods of
dealing with this problem by the gradual and piece-meal
extension of the Trade Boards Act, in face of persistent
obstruction and opposition, are entirely inadequate.
380 THE WORKERS
2. The wages (Temporary Regulation) Act is due to expire
in May. Unless steps are taken to renew it until perma-
nent provision has been made for dealing with wage rates
in the future, unrest will be gravely increased.
8. — Hours of Labor
Probably the most important immediate cause of unrest is the
question of hours of labor. Hours have been singularly little
changed for a very long time past, and before the war demands
were being made in many industries for a substantial reduction.
The workers are now urgently demanding a higher standard of
leisure, to be achieved by a reduction in working hours and the
abolition of systematic overtime. If matters are allowed to drift,
these demands will lead to serious unrest and possibly dislocation
in practically every industry in the country. There is a strong
opinion among the workers that the hours problem should be dealt
with as a whole with a view to the formulation of some maximum
limit applicable to all workers. Otherwise hours of labor will take
a prominent place in encouraging unrest for a long time to come.
p. — Housing
Side by side with the demand for. a higher standard of life and
leisure comes the demand for more and better housing accommo-
dation. Overcrowding has been an especially serious factor in the
creation of unrest in many centers during the war period, and
attention was drawn to this point in the reports on Industrial
Unrest prepared for the Government two years ago. . . . The
rapidly growing shortage of houses at the present time, and the
failure to build new houses, have done a great deal to undermine
working class confidence, and must now rank among the principal
factors of unrest.
10. — Recognition of Trade Unions
More than one dispute recently has centered around the ques-
tion of the recognition of trade unionism. Among Government
employees the Police Union has been refused recognition, and
serious unrest has thereby been caused. The Railway Clerks'
Association only secured partial recognition from the Government
CAUSES OF AND REMEDIES FOR UNREST 381
by the threat of an immediate strike, and even now serious trouble
is being caused by the attempts of the Railway "Lxecutive Com-
mittee and the companies to whittle down this recognition. There
has been serious delay in applying the Whitley Committee's Report
to any section of Government employees, and even now it has not
been applied to the Civil Service, with the result that this class of
workers is in a grave state of unrest. Among employees of private
firms recognition is still by no means completely or fully established
— a point which has been specially brought to our notice by one
Association, that of the Engineering and Shipbuilding Draughts-
men, which, although it includes practically all the draughtsmen
eligible for membership, is still refused recognition. Recognition
is still especially defective in the workshops, and it is clear that
the failure to provide for full recognition of Trade Union Or-
ganization in and out of the workshops is responsible for a good
deal of unrest.
ii. — Lack of Representative Machinery
One reason why the existing unrest in industry lacks co-ordina-
tion and is difficult to express in concrete terms is that there exists
no adequate machinery capable of giving constant expression to
the co-ordinated demands of the whole of the workers. Numerous
Committees and Conferences have been set up and summoned by
the Government for various industrial and economic purposes.
These have mostly been unsatisfactory and often of an unrepre-
sentative character. There is an urgent demand for an elective
body fully representative of Labor to advise the Government on
economic and industrial policy in general. The absence of such a
body is certainly one of the causes for the rapid extension of the
present industrial unrest and for its taking in some cases an indefi-
nite and incoherent form. Until some such really representative
body is brought into existence it is to be feared that unrest will
continue to possess a disorganized and largely unco-ordinated
character.
12. — The Attitude of the Government and the Employers
It is not possible to discuss the question of Labor unrest without
drawing attention to one important factor, both as causing of
382 THE WORKERS
unrest and as making it take unconstitutional directions. It is
unfortunately the fact that it has been much more difficult to get
prompt attention to industrial grievances during the war period in
those cases in which the workers, from patriotic motives, have
remained at work and endeavored to act by constitutional methods
than where they have come out on strike or threatened immediate
and drastic action. This suicidal policy of delaying remedial
action for grievances until the workers have decided to take mat-
ters into their own hands is responsible for a great deal of pre-
ventable unrest, and there is a general opinion that both employers
and the Government would be wise to take steps to insure that in
future, grievances, as soon as they arise and before they reach
the point of danger, should be promptly considered and dealt with
on sympathetic lines.
II. — REMEDIES FOR UNREST
To the foregoing statement we append certain general sugges-
tions as to remedies. We shall follow, as far as possible, in our
discussion of remedies the order of the paragraphs setting out the
causes of unrest.
/. — Control of Industry
(a) A substantial beginning must be made of instituting public
ownership of the vital industries and services in this country.
Mines and the supply of coal, railways, docks, and other means of
transportation, the supply of electric power, and shipping, at least
so far as ocean-going services are concerned, should be at once
nationalized.
(&) Private profit should be entirely eliminated from the manu-
facture of armaments, and the amount of nationalization necessary
to secure this should be introduced into the engineering, shipbuild-
ing, and kindred industries.
(c) There should be a great extension of municipal ownership,
and ownership by other local authorities and co-operative control
of those services which are concerned primarily with the supplying
of local needs.
(rf) Key industries and services should at once be publicly
owned.
(e) This extension of public ownership over vital industries
CAUSES OF AND REMEDIES FOR UNREST 383
should be accompanied by the granting to the organized workers
of the greatest practicable amount of control over the conditions
and the management of the various industries.
2. — State Control and Prices
(a) Where an industry producing articles of common consump-
tion or materials necessary to industries producing articles of com-
mon consumption cannot be at once publicly owned, State control
over such industries should be retained.
(&) State control has been shown to provide some check upon
profiteering and high prices, and this is a reason why it should be
maintained until industries pass into the stage at which they can
be conveniently nationalized.
(c) Many groups of capitalists at the present time are loudly
claiming State assistance in re-establishing their industries upon
a profit-making basis. There must be no State assistance without
strict State control.
5. — Profiteering
(a) A determined attempt should be made in each industry by
public inquiry through Royal Commissions to elicit all the facts
with regard to war profiteering.
(&) Organized Labor in each industry or service should have
the right of nominating half the membership of the Commission,
the other half being appointed by the Government to represent
interests similar to those represented by the Government nominees
on the Coal Commission. The Government should also, in each
case, appoint a Chairman. This principle should be adopted not
only in constituting these Commissions, but also in the other Com-
mittees and Commissions proposed in this memorandum.
(c) Such an inquiry should include not only firms directly en-
gaged in industrial production, but also subsidiary and trading
concerns, and that a comprehensive attempt should be made to dis-
cover the extent and effect of combination between firms, and to
lay bare any tendencies towards monopolistic combination which
are at present developing in British Industry.
(d) In view of the enormous burden of debt which has been
accumulated as a result of the war and of the methods adopted in
financing the war by loan rather than by direct taxation, steps
384 THE WORKERS
should at once be taken to remove a considerable part of this
burden by a graduated levy on capital from which property up
to £1,000 would be exempt.
4. — Government Policy in Relation to Industry
The policy of selling national factories, ships, and shipyards
should be immediately reversed, and both the ships and the ship-
yards and factories should be resumed by the State and operated as
national concerns in the interest of the whole community.
5. — Unemployment, Security, and Maintenance
(a) We are of the opinion that a general increase in wages
by improving the purchasing power of the workers would have a
general and permanent effect in the direction of limiting continu-
ous unemployment, by bringing consumption up to something more
like equilibrium with production.
(&) A special commission should be appointed immediately to
investigate and report within a specified limit of time, upon the
whole problem of unemployment in the widest sense, and the atten-
tion of this Commission should be especially directed to the prob-
lem of under consumption as a cause of unemployment, and the
possibility of instituting a State bonus.
(c) Pending the report of this Commission the Government
should at once address itself to the task of preventing unem-
ployment by all means within its power.
(d) We strongly urge the immediate creation of a central au-
thority to deal with the allocation of all Government contracts in
such a way as to steady the volume of employment and to co-
ordinate orders given by local authorities. This central authority
should co-operate closely with the National Industrial Council.
(?) A complete and comprehensive scheme of unemployment
provision extending to all workers on a non-contributory basis
should be instituted at the earliest possible moment, and this
scheme should provide for adequate maintenance of those workers
who are unemployed, and for the making up of maintenance pay
to those workers who are under employed. All unemployed work-
people under such a scheme would be entitled to a flat rate of
benefit. It would, however, be desirable that there should be, in
CAUSES OF AND REMEDIES FOR UNREST 385
addition to the flat rate, a supplementary allowance for dependent
children.
(/) This scheme should be administered directly through the
trade unions, the Government maintenance pay for the unemployed
being handed over in the form of a subvention to the various trade
unions to administer on behalf of their own members. Where in
any case direct administration through a trade union is not ar-
ranged, maintenance pay should be administered through the
Employment Exchanges, but if such a system of administration is
to carry any confidence the present organization of the Employ-
ment Exchanges must be drastically remodeled, and the Exchanges
must be placed under the direct control of Joint Committees equally
representative of the employers and trade unions.
(<7) In addition to the provision made under such non-contribu-
tory National scheme the State should assist Trade Unions to pro-
vide an additional benefit out of their own funds by giving a
subsidy from State funds equivalent to 50 per cent of the amount
expended by the Union on unemployment allowances.
(/t) Until this permanent provision is brought fully into opera-
tion it will be essential to continue, at least on the original scale,
the temporary system of unemployment donation instituted on the
termination of hostilities.
(t) It is absolutely necessary to make provision for a greater
degree of security on the part of the worker. The worker who
is threatened with arbitrary dismissal should, in all cases, have a
prior right of appeal to his fellow workers, and wherever dismissal
takes place on grounds other than those of demonstrated miscon-
duct, the worker who is dismissed should be entitled to a payment
proportionate to his period of service with the firm.
(;') Special provision should be made for the maintenance of
widows with dependent children, and for the endowment of
mothers, in order to prevent them from being forced into industry
against the interest of society.
6. — Wages
(a) A higher standard of living for the whole working com-
munity is not only desirable but immediately possible.
(&) Every worker should be entitled by law to a reasonable
minimum wage.
386 THE WORKERS
(c) Until full provisions securing this to all workers have been
brought into actual and complete operation, the temporary system
of regulating wages under the Wages (Temporary Regulation)
Act should continue.
(d) The principle of equal pay for men and women should be
universally applied, both on grounds of justice and in order that
there may be no degrading of conditions in any occupation through
the introduction of female labor.
7. — Hours of Labor
(a) A universal reduction of hours to a maximum of eight in
any one day, and 44 in any one week, is immediately necessary,
subject only to such modifications in particular industries or occu-
pations as can be clearly proved to be necessary for the efficient
carrying on of the service. All such modifications should be
allowed only on condition that the terms secured to the workers
in the industries so exempted from the strict operation of an
Eight-Hour Act should be not less favorable on the whole than
the terms accorded to workers under the Act.
(6) Power should at once be taken to reduce the number of
hours worked below eight by a simple procedure, such as that of
provisional order as soon as industry has been given time to
readjust itself to the new conditions.
(c) The eight hours which should be made a legal maximum
for all workers should not prevent the workers in any trade or
industry either from maintaining any better conditions which they
have already secured, or from securing better conditions in the
future.
(d) Power should be taken in any Act regulating hours where
a collective agreement has been arrived at between .repre-
sentative organizations securing a lower maximum of hours for
a particular trade or occupation, to make this lower maximum
compulsory for the whole trade, including those parts of it which
are unorganized or unfederated.
(e) Any measure regulating the hours of labor should also
include provisions for the prohibition of all systematic overtime,
and for the payment of all overtime worked at special rates.
(/) Special rates of pay should apply also to night work, Sun-
day, and holiday work, and night work should be abolished abso-
CAUSES OF AND REMEDIES FOR UNREST 387
lately for women and children and, wherever possible, for all
workers.
(<7) Steps should immediately be taken for the international
regulation of the hours of labor, and for the inclusion of a uni-
versal maximum in the terms of the International Charter of
Labor.
(fc) The fact that a trade has not reached a high state of or-
ganization should not be regarded as an excuse for long hours
or bad conditions of employment.
8. — Housing
(a) The housing of the people must be regarded as a national
responsibility, and the national resources must be utilized to the
fullest extent in order to secure the immediate provision of enough
houses to insure a great general improvement in housing condi-
tions for the whole people.
(&) If local authorities fail, under the conditions now offered
by the State, to provide houses, the State must itself at once
assume the responsibility of providing the houses which are neces-
sary, or of compelling the local authorities to do so.
(c) Far more regard must be given than in the past both to the
conditions which are necessary for the maintenance of public
health and to convenience and comfort of the working class house-
hold and especially of the housewife.
(rf) Provision must be made for the fullest participation of
working class representatives, including women, directly chosen
by the workers, in seeing that this scheme is carried properly and
completely into effect.
p. — Recognition of Trade Unions
All trade unions and federations and associations of trade unions
recognized by the Labor Movement itself must receive full recog-
nition both from the employers and from the State and the local
authorities.
jo. — Creation of Representative Machinery
Some national machinery fully representative of the employers
and of Labor to advise the Government in relation to all issues
affecting industry generally should be brought into being at the
388 THE WORKERS
earliest possible moment. This body should possess the full con-
fidence of Labor, and should have the most democratic constitution
that can possibly be secured. Without interfering where adequate
machinery already exists, such an industrial council would form a
useful medium for negotiation on questions affecting mutual rela-
tions of employers and workers in general, and on all questions
of general industrial and economic policy.
ii. — The Attitude of the Government and of the Employers
(a) A drastic change in the attitude of the Government Depart-
ments which deal with Labor is essential.
(&) It should be regarded as the duty of any Government De-
partment employing Labor or entering into contracts which involve
the employment of Labor, to insure for all workers in its direct
or indirect employment an adequate standard of life, and the best
possible conditions of employment.
(c) Any claim or demand put forward by a body of workers
should be immediately attended to, whether or not a strike has
taken place and whether or not notice of strike has been given,
without waiting for the organized workers to demonstrate their
determination to take action. The Government should aim at being
beforehand with unrest by removing all legitimate grievances as
soon as they arise.
(rf) The indefensible delay of the Ministry of Labor in setting
up Trade Boards must come to an end, and the machinery of the
Trade Boards Act must be put into operation at once for all the
less organized trades and occupations.
(e) The employer, if he desires to prevent Labor unrest, should
regard it as part of his responsibility to secure to all the workers
whom he employs the best possible conditions of life and the
earliest possible removal of all grievances.
(/) The habitual use now made by employers of machinery of
conciliation and negotiation for the purpose of delaying the settle-
ment of industrial demands must be discontinued.
(g) It is essential that all machinery of negotiation should be
capable of rapid operation, and that it should in no case be used
for the purpose of delaying a decision, and that with a view to
insuring that it will not be so used, all awards and agreements
should be made retrospective to the date of the original claim.
CAUSES OF AND REMEDIES FOR UNREST 389
CONCLUSIONS
The fundamental causes of Labor unrest are to be found rather
in the growing determination of Labor to challenge the whole
existing structure of capitalist industry than in any of the more
special and smaller grievances which come to the surface at any
particular time.
These root causes are twofold — the breakdown of the existing
capitalist system of industrial organization, in the sense that the
mass of the working class is now firmly convinced that production
for private profit is not an equitable basis on which to build, and
that a vast extension of public ownership and democratic control
of industry is urgently necessary. It is no longer possible for
organized Labor to be controlled by force or compulsion of any
kind. It has grown too strong to remain within the bounds of the
old industrial system and its unsatisfied demand for the re-organi-
zation of industry on democratic lines is not only the most impor-
tant, but also a constantly growing cause of unrest.
The second primary cause is closely linked with the first. It is
that, desiring the creation of a new industrial system which shall
gradually but speedily replace the old, the workers can see no indi-
cation that either the Government or the employers have realized
the necessity for any fundamental change, or that they are pre-
pared even to make a beginning of industrial re-organization on
more democratic principles. The absence of any constructive
policy on the side of the Government or the employers, taken in
conjunction with the fact that Labor, through the Trades Union
Congress and the Labor Party and through the various Trade
Union Organizations, has put forward a comprehensive economic
and industrial program, has presented the workers with a sharp
contrast from which they naturally draw their own deductions.
It is clear that unless and until the Government is prepared to
realize the need for comprehensive reconstruction on a democratic
basis, and to formulate a constructive policy leading towards eco-
nomic democracy, there can be at most no more than a temporary
diminution of industrial unrest to be followed inevitably by further
waves of constantly growing magnitude.
The changes involved in this reconstruction must, of course, be
gradual, but if unrest is to be prevented from assuming dangerous
390 THE WORKERS
forms an adequate assurance must be given immediately to the
workers that the whole problem is being taken courageously in
hand. It is not enough merely to tinker with particular grievances
or to endeavor to reconstruct the old system by slight adjustments
to meet the new demands of Labor. It is essential to question the
whole basis on which our industry has been conducted in the past
and to endeavor to find, in substitution for the motive of private
gain, some other motive which will serve better as the foundation
of a democratic system. This motive can be no other than the
motive of public service, which at present is seldom invoked save
when the workers threaten to stop the process of production by a
strike. The motive of public service should be the dominant mo-
tive throughout the whole industrial system, and the problem in
industry at the present day is that of bringing home to every per-
son engaged in industry the feeling that he is the servant, not of
any particular class or person, but of the community as a whole.
This cannot be done so long as industry continues to be conducted
for private profit, and the widest possible extension of public own-
ership and democratic control of industry is therefore the first
necessary condition of the removal of industrial unrest.
ARTHUR HENDERSON, Chairman.
G. D. H. COLE, Secretary.
ENCLOSURE A
Dividends.
Appended is a list of a few firms in various industries, showing the
dividends declared on deferred and ordinary stocks. Those afford a
rough measure of prosperity; no complete indication can be given
without an exhaustive examination of the concern's finances. Thus the
actual prosperity may be lower, if no dividends, or lower dividends,
have been declared in previous years, or if the ordinary shares repre-
sent a relatively small portion of the capital employed; on the other
hand, low dividends may be coincident with very large profits, where
these are placed to reserve, or capitalized as bonus-shares. An in-
crease in dividend, however, pretty definitely indicates a definite in-
crease in prosperity, though the corresponding inference cannot be
drawn from a decrease in dividend. In the list given below an
x denotes that the dividends are free of income-tax.
Shipping. — See Special Table.
CAUSES OF AND REMEDIES FOR UNREST 391
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n^iH^.ls
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.
I Et/i^fcS-^S ll£sKil§e j O :B^t^*
iLll£Pi:il-Plfe8«a ?s|ISli
o c/^ *^ *" P ^*^ ^i *^ ^j .5 o< c ^^ |^ * *? c a! ^ **^ *^ ^ *c ci
i»i C ^< aj rt w ^^ O (/} .j *^ 5 _• l^"" ^~^ "5 *j ^ ^ ^^ ^5 c3 O S *"
^.iM!llHiiiilliaJl!llig
^eupQswtf <,3 §o<^ §| ^fSa,^o^Jo gs^J
392 THE WORKERS
Coed and Iron and Steel Companies.
Pearson Knowles and Co., 45 per cent. (1918).
Sheepbridge Coal and Iron Co., 15 per cent, x (1917) i2l/2 per
cent, x (1918).
Walter Scott, 15 per cent, x (1917).
Consett Iron Co., 40 per cent, x (1917).
Staveley Coal and Iron Co., 15 per cent, x (1917), i2l/2 per cent.
x (1918).
Shott's Iron Co., 35 per cent, x (1917).
North Lonsdale Iron and Steel Co., 25 per cent. (1917).
Millom and Askham Hematite Iron Co., 15 per cent. (1917), 15
per cent. (1918).
Hadfields, Ltd., 30 per cent. (1917).
Consett Iron Co., 40 per cent. (1918).
Engineering (including Armaments) and Shipbuilding.
Birmingham Small Arms Co., 20 per cent, x (1917), 20 per cent.
(1918).
Vickers, Maxim and Co., i6l/2 per cent. (1917), 12^ per cent. (1918).
Armstrong Whitworth and Co., i2l/2 per cent. (1918).
Mather and Platt, 17^ per cent. (1917), 17^2 per cent, x (1918).
J. I. Thorneycroft and Sons, 17^ per cent. (1917).
Textile.
Bradford Dyers' Association, 17^2 per cent. (1917), i7l/2 per cent.
(1918).
J. and P. Coats (sewing cotton), 30 per cent. (1917), 30 per cent.
(1918).
English Sewing Cotton, 20 per cent. (1918).
Shipping Vale Spinning Co., 15 per cent, x (1918).
Pine Spinning Co., 20 per cent. (1918).
Holywood Spinning Co., 20 per cent. (1918).
Moorfield Spinning Co., 16% per cent. (1918).
May Mill Spinning Co., 53% per cent. (1918).
Lion Spinning Co., 35 per cent. (1918).
ENCLOSURE B
Bonus Shares, Etc.
Many companies have recently capitalized reserves by issuing bonus-
shares to the shareholders, either free, or at a price below the market
value. In this way money that has been accumulated as reserve funds
is distributed to the shareholders, and begins to earn dividends at
CAUSES OF AND REMEDIES FOR UNREST 393
the same rate as the ordinary shares. Thus Brunner Monds declared
a dividend of 27^ per cent, for several years, in one year they issued
bonus-shares, and declared only a dividend of II per cent, the follow-
ing year, although the amount received by the shareholders was
exactly the same as before.
ENCLOSURE C
Reserve Funds.
Many Companies are placing increasingly large sums to their reserve
funds, generally for the ostensible purpose of providing as much se-
curity as possible for the uncertain times ahead.
The General Electric Company, while declaring the same dividend
(10 per cent, x) for 1918 as for 1917, placed £100,000 to reserve in
1918 as against £40,000 in 1917, and carried forward £145,286, as
against £89,786.
In 1917 Leach's Argentine Estates placed £114,000 to reserve, as
against £12,800 in the previous year. Instances could be indefinitely
multiplied.
CHAPTER II
THE NATIONALIZATION OF MINES AND
MINERALS BILL, 1919
A BILL TO NATIONALIZE THE MINES AND MINERALS OF GREAT
BRITAIN AND TO PROVIDE FOR THE NATIONAL WINNING, DIS-
TRIBUTION, AND SALE OF COAL AND OTHER MINERALS
WHEREAS it is expedient that mines and minerals should be taken
into the possession of the State.
Be it enacted by the King's Most Excellent Majesty, by and
with the advice and consent of the Lords Spiritual and Temporal
and Commons in this present Parliament assembled, and by the
authority of the same, as follows :
i. (i) For the purpose of winning, distributing, selling, and
searching for coal and other minerals, there shall be established
by His Majesty by Warrant under the sign manual, a Mining
Council, consisting of a President and 20 members, ten of whom
shall be appointed by His Majesty and ten by the Association
known as the Miners' Federation of Great Britain.
(2) It shall be lawful for His Majesty, from time to time, to
appoint any member of the Privy Council to be President of the
Mining Council, under the name of the Minister of Mines, to hold
office during His Majesty's pleasure.
(3) The Members of the Mining Council, other than the Presi-
dent, shall be appointed for five years, but shall be eligible for
reappointment. Provided that His Majesty or the Association
known as the Miners' Federation of Great Britain respectively
shall have power to remove any person appointed by them and
appoint some other person in his place. On a casual vacancy
occurring by reason of the death, resignation, or otherwise of any
of such members or otherwise, His Majesty or the Miners' Fed-
eration of Great Britain, as the case may be, shall appoint some
other person to fill the vacancy, who shall continue in office until
394
THE NATIONALIZING OF MINES 395
the member in whose place he was appointed should have retired,
and shall then retire. The members of the Mining Council shall
devote the whole of their time to the business of the Mining
Council.
2. (i) The Minister of Mines and one of the Secretaries of the
Mining Council (to be known as the Parliamentary Secretary and
to be appointed by His Majesty) shall at the same time be capable
of being elected to and of sitting in the Commons House of Par-
liament.
(2) The Minister of Mines shall take the oath of allegiance
and official oath, and shall be deemed to be included in the First
Part of the Schedule to the Promissory Oaths Act, 1868.
(3) There shall be paid out of money provided by Parliament
to the Minister of Mines a salary at the rate of £2,000 a year, and
to the Parliamentary Secretary a salary at the rate of £1,500 a
year.
(4) The Minister of Mines and the Parliamentary Secretary
shall be responsible to Parliament for the acts of the Mining
Council.
3. (i) The Mining Council shall appoint a Secretary (to be
known as the Permanent Secretary), and such assistant secre-
taries and officers and servants as the Mining Council may, with
the sanction of the Treasury, determine.
(2) Subject to the provisions of Section II (2) of this Act,
there shall be paid to the Permanent Secretary, Assistant Secre-
taries and other officers and servants such salaries or remunera-
tion as the Treasury shall from time to time determine.
(3) There shall be transferred and attached to the Mining
Council such of the persons employed under any Government De-
partment or local authority in or about the execution of the powers
and duties transferred by or in pursuance of this Act to the Mining
Council as the Mining Council and the Government Department or
local authority may with the sanction of the Treasury determine.
(4) Notwithstanding anything in any Act, order, or regulation,
any society of workers, all or some of whose members are wholly
or partly employed in or about mines, or in any other manner
employed by the Minister of Mines, or the Mining Council, or a
District Mining Council, or Pit Council, or otherwise under this
Act, may be registered or constitute themselves to be a Trade
Union, and may do anything individually or in combination which
396 THE WORKERS
the members of a Trade Union or a Trade Union may lawfully do.
Provided further that notwithstanding any Act, order, or regula-
tion to the contrary, it shall be lawful for any person employed
under this Act to participate in any civil or political action in like
manner as if such person were not employed by His Majesty, or
by any authority on his behalf.
Provided, further, that no such person shall suffer dismissal or
any deprivation of any kind as a consequence of any political or
industrial action, not directly forbidden by the terms of his
employment, or as a consequence of participation in a strike or
trade dispute.
4. (i) The Mining Council shall be a Corporation to be known
by the name of the Mining Council and by that name shall have
perpetual succession, and may acquire and hold land without license
in mortmain.
(2) The Mining Council shall have an official seal, which shall
be officially and publicly noticed, and such seal shall be authenti-
cated by the Mining Council or a secretary or one of the assistant
secretaries, or some person authorized to act on their behalf.
(3) The Mining Council may sue and be sued without further
description under that title.
(4) Every document purporting to be an order, license, or other
instrument issued by the Mining Council, and to be sealed with
their seal, authenticated in manner provided by this Act, or to be
signed by a secretary or by one of the assistant secretaries, or any
person authorized to act, shall be received in evidence and be
deemed to be such order, license, or other instrument without fur-
ther proof unless the contrary is shown.
(5) Any person having authority in that behalf, either general
or special, under the seal of the Mining Council may, on behalf
of the Mining Council, give any notice or make any claim, demand,
entry, or distress, which the Mining Council in its corporate ca-
pacity or otherwise might give or make, and every such notice,
claim, demand, entry, and distress shall be deemed to have been
given and made by the Mining Council.
(6) Every deed, instrument, bill, check, receipt, or other docu-
ment, made or executed for the purpose of the Mining Council
by, to, or with the Mining Council, or any officer of the Mining
Council, shall be exempt from any stamp duty imposed by any
Act, past or future, except where that duty is declared by the
THE NATIONALIZING OF MINES 39?
document, or by some memorandum endorsed thereon, to be payable
by some person other than the Mining Council, and except so far
as any future Act specifically charges the duty.
5. ( i ) On and after the appointed day, save as in Sub-Section 3
of this Section, provided:
(a) Every colliery and mine (including all mines, quarries,
and open workings of ironstone, shale, fireclay, and lime-
stone, and every other mine regulated under the Metal-
liferous Mines Regulation Acts, 1872 and 1875, but not
including mines, quarries, or open workings of minerals
specified in the First Schedule to this Act), whether in
actual work, or discontinued, or exhausted, or abandoned,
and every shaft, pit, borehole, level, or inclined plane,
whether in course of being made or driven for commenc-
ing or opening any such colliery or mine, or otherwise,
and all associated properties (including vessels, lighters,
railway rolling stock, and all works, including works for
the manufacture of by-products, in the opinion of the
Mining Council belonging to any mine undertaking or
connected with any colliery or mine, and every house
belonging to the owners of any such colliery or mine,
which, in the opinion of the Mining Council, is usually
occupied by workmen employed at such colliery or mine),
(all of which are herein included in the expression
"mine ") ; and
(6) all coal, anthracite, lignite, ironstone, shale, fireclay, lime-
stone, or other mineral, excepting the minerals specified
in the First Schedule to this Act, whether at present
being worked or not worked, or connected or not con-
nected with any mine, beneath the surface of the ground
(all of which are herein included in the expression " min-
erals") ; and
(c) all rights and easements arising out of, or necessary to the
working of any mine or the winning of any mineral,
including all mineral wayleaves, whether air-leaves or
water-leaves, or rights to use a shaft, or ventilation or
drainage or other royalties, lordships, or rights in connec-
tion therewith, whether above or below the ground (all
of which are herein included in the expression " rights ")
398 THE WORKERS
shall be transferred to, vested in, and held by the Mining
Council in their corporate capacity in perpetuity, and
shall for all purposes be deemed to be royal mines, and
the minerals and rights thereof respectively.
(2) The Acts contained in the Second Schedule to this Act are
hereby repealed.
(3) Provided that the Mining Council may at any time before
the appointed day give notice in writing to the owner of, or person
interested in, any mine or minerals or rights, disclaiming, during
the period of such disclaimer, all or part of the property in such
mine or minerals or rights to the extent specified in the notice, and
thereafter such mine or minerals or rights shall, until such time
as the Mining Council shall otherwise determine, to the extent
specified in such notice, not vest in the Mining Council as provided
by Sub-section (i) of this section. Provided that in such case it
shall not be lawful for any person other than the Mining Council,
without the permission of the Mining Council, to work such mine
or minerals in any way. Provided further that on the termination
of such disclaimer by the Mining Council, such mine or minerals
or rights shall, to the extent of such notice, as from such date as
the notice may prescribe, vest in the Mining Council as if such
notice of disclaimer had not been given.
6. The Mining Council shall purchase the mines of Great Britain
in them vested by this Act (other than those which are the prop-
erty of the Crown at the time of the passing of this Act or which
have been disclaimed in whole or in part in accordance with Sec-
tion 5 (3) of this Act) at the price and in the manner provided
by this Act. Provided always that the value of any rights as
defined by Section 5 (i) (c) of this Act shall not be taken into
account in computing such price, for all of which no compensation
shall be paid.
7. (i) For the purpose of assessing the purchase price of mines
it shall be lawful for His Majesty, by warrants under the sign
manual, to appoint ten Commissioners, to be styled the Mines Pur-
chase Commissioners (herein called the Commissioners), of whom
one, appointed by His Majesty, shall be Chairman.
(2) Three of the said Commissioners shall be nominated by the
Association known as the Miners' Federation of Great Britain, and
three by the Association known as the Mining Association of
Great Britain.
THE NATIONALIZING OF MINES 399
(3) At the expiration of twelve months from the passing of
this Act, in the event of a majority of the Commissioners failing
to agree as to the purchase price of a particular mine or of its
associated properties, it shall be lawful for the Chairman himself
to fix the purchase price of such mine, which price shall then be
deemed to be the price fixed by the Commissioners, but, save as
herein expressly provided, the finding of a majority of the Com-
missioners voting on any question or as to the purchase price of
mines shall be final and conclusive and binding on all parties.
(4) It shall be lawful for His Majesty to remove any Commis-
sioner for inability or misbehavior. Every order of removal shall
state the reasons for which it is made, and no such order shall
come into operation until it has lain before the Houses of
Parliament for not less than thirty days while Parliament is
sitting.
(5) The Commissioners may appoint and employ such assessors,
accountants, surveyors, valuers, clerks, messengers, and other per-
sons required for the due performance of their duties as the
Treasury on the recommendation of the Commissioners may
sanction.
(6) There shall be paid to the Commissioners and to each of
the persons appointed or employed under this section such salary
or remuneration as the Treasury may sanction; and all such
salaries and remuneration and the expenses of the Commission
incurred in the execution of their duties, to such amount as may
be sanctioned by the Treasury, shall be paid out of moneys pro-
vided by Parliament.
8. (i) The Commissioners shall, as soon as may be after the
passing of this Act, cause a valuation to be made of all mines
other than those disclaimed, whether or not developed or working
or abandoned or exhausted, in Great Britain, showing what on
August 4th, 1914, and what at the date of the passing of this Act
was respectively the total ascertained value of each mine and its
associated properties and the rights, as defined by Section 5 (i)
(c) of this Act, therein, and the total ascertained value of such
mine and its associated properties respectively exclusive of such
rights ; and the owner of every mine and any person receiving any
rents, interest, or profit from any mine or possessed of any rights
therein or connected therewith, on being required by notice by
the Commissioners, shall furnish to the Commissioners a return
400 THE WORKERS
containing such particulars as the Commissioners may require as
to his property, rent, interest, profits, or rights in such mine.
(2) The Commissioners may likewise cause any mine to be
inspected, require the production of documents, or do any other
thing which may, in their opinion, be necessary to fix the purchase
price of the mine or its associated properties.
(3) The Commissioners in making such valuation shall have
regard to returns made under any statute imposing duties or taxes
or other obligations in respect of mines, or minerals, or rights, and
to any information given before or to any Commission or Govern-
ment Department, including the Coal Industry Commission consti-
tuted under the Coal Industry Commission Act. 1919.
9. (i) The purchase price of mines exclusive of associated
properties (other than mines in the possession of the Crown at
the time of the passing of this Act shall be computed subject to
the provisions of Sub-sections (2) and (3) of this section by ascer-
taining the average annual number of tons of minerals actually
raised during the five years preceding August 4th, 1914:
Provided that as regards coal-mines in no case shall the maxi-
mum purchase price, exclusive of associated properties, be taken
to be more than the following:
When 100,000 tons or less have been raised per s. d.
annum oji the average during such five pre-
ceding years, a capital sum equal to one such
year's output at 12 o per ton
When more than 100,000 tons have been raised
per annum on the average during such five
preceding years, a capital sum equal to one
such year's output at 10 o per ton
(2) The Commissioners in arriving at such computation shall
also have regard to the actual gross and net profits which have
been made in the mine during such years or thereafter and to the
amounts which may have been set aside from time to time for
depreciation, renewals, or development, and to the probable dura-
tion of the life of the mine, and to the nature and condition of
such mine, and to the state of repairs thereof, and to the assets
and liabilities of any mine undertaking existing at the time of
purchase which are transferable to the Mining Council under Sec-
tion 16 of this Act.
THE NATIONALIZING OF MINES 401
(3) Provided further that where a coal-mine, in the opinion of
the Commissioners, has not been fully developed, the amount which
would be raised under full development without any increase of
capital expenditure shall be taken as the average annual number
of tons raised, and the maximum purchase price in such case shall
be taken to be a capital sum equal to the product of such number
of tons and 123. or los. per ton respectively, for the purpose of
ascertaining the maximum value per ton under Sub-section (i) of
this section.
10. (i) The purchase price of any mine and such of its asso-
ciated properties as have been purchased, as ascertained under the
provisions of this Act, shall be paid by the Mining Council in
mines purchase stock to the persons who, in the opinion of the
Mining Council, have established their title to such stock. Pro-
vided that an appeal shall lie to the High Court under rules to be
framed by the High Court from the decision of the Mining Council
as to the title of any such persons, but for no other purpose.
(2) For the purpose of paying such purchase price the Treasury
shall, on the request of the Mining Council, by warrant addressed
to the Bank of England direct the creation of a new capital stock
(to be called "Guaranteed State Mines Stock"), and in this Act
referred to as " the stock," yielding interest at the rate on the
nominal amount of capital equal to that payable at the date on which
this Act received Royal Assent on what, in the "Opinion of the
Treasury, is the nearest equivalent Government Loan Stock.
(3) Interest shall be payable by equal half yearly or quarterly
dividends at such times in each year as may be fixed by the war-
rant first creating the stock.
(4) The stock shall be redeemed at the rate of one hundred
pounds sterling for every one hundred pounds of stock at such
times and by such drawings as the Treasury, on the recommenda-
tion of the Mining Council, may think fit.
(5) The stock may be issued at such times and in such amounts
and subject to such conditions as the Treasury may direct, and
may be issued as bearer bonds with quarterly or half yearly inter-
est coupons attached.
(6) The stock shall be transferable in the books of the Bank
of England in like manner as other stock is transferable under
the National Debt Act, 1870.
11. (i) Subject to the provisions of this Act, it shall be lawful
402 THE WORKERS
for the Mining Council to open and work mines and search for,
dig, bore, win, and deal with minerals and generally to carry on
the industry of mining, distributing, vending, and exporting, to-
gether with all other industries carried on in connection therewith.
Provided that it shall not be lawful for the Mining Council to
lease or sell any mine or minerals or rights to any person, associa-
tion, or corporation.
(2) The Mining Council may, from time to time, in such man-
ner and on such terms as they think fit :
(a) subject to the general consent of the Treasury, appoint or
continue in employment or dismiss managers, engineers,
agents, clerks, workmen, servants, and other persons ; and
(&) construct, erect, or purchase, lease, or otherwise acquire
buildings, plant, machinery, railways, tramways, hulks,
ships, and other fixed or movable appliances or works of
any description, and sell or otherwise dispose of the same
when no longer required; and
(c) sell, supply, and deliver fuel, coal, and other products, the
result of mining operations, either within or without the
realm; and
(</) enter into and enforce contracts and engagements; and
(?) generally do anything that the owner of a mine might law-
fully do in the working of the mine, or that is authorized
by regulations under this Act or by this Act; and
(/) employ local authorities for any purpose they may think
necessary to carry out their duties under this Act, on such
terms as may be mutually agreed.
(3) In addition to the powers conferred on the Mining Council
by the last preceding sub-section, the Mining Council may, in such
manner as they think fit, work any railway, tramway, hulk, ship,
or other appliance for the purpose of winning, supplying, and
delivering coal or other products.
(4) The Mining Council may compulsorily purchase land or
acquire such rights over land as they may require for the purpose
of this Act, and shall have, with regard to the compulsory purchase
of land, all the powers of purchasers acting under the Land
Clauses Act, 1845, and the Land Clauses Consolidation (Scotland)
Act, 1845, or any other Act giving power to acquire land com-
pulsorily for public purposes, which may hereafter be enacted.
THE NATIONALIZING OF MINES 403
(5) With respect to any such purchase of land under the Land
Clauses Acts in Great Britain the following provisions shall have
effect (that is to say) :
(a) The Land Clauses Acts shall be incorporated with this Act,
except the provisions relating to access to the special Act,
and in construing those Acts for the purposes of this sec-
tion "the special Act" shall be construed to mean this
Act, and "the promotors of the undertaking" shall be
construed to mean the Mining Council, and " land " shall
be construed to have the meaning given to it by this
Act.
(6) The bond required by Section 85 of the Lands Clauses Con-
solidation Act, 1845, and by Section 84 of the Lands
Clauses Consolidation (Scotland) Act, 1845, shall be
under the seal of the Mining Council, and shall be suffi-
cient without sureties.
12. (i) The Mining Council shall, for the purpose of the carry-
ing on and development of the mining industry, divide Great
Britain into districts, and shall in each district constitute a Dis-
trict Mining Council of ten members, half of which shall be ap-
pointed by the Miners' Federation of Great Britain.
(2) The Mining Council may delegate to any District Mining
Council or Pit Council, such of their powers under this Act as
may conveniently be exercised locally, and the District Mining
Council shall upon such delegation have and exercise within their
district all the powers and duties of the Mining Council as may be
delegated to them.
(3) A District Mining Council shall, subject to the approval
of the Mining Council, have power within their area to appoint
Pit Councils for each mine or group of mines, composed of ten
members, half of which shall be members of the Miners' Federa-
tion of Great Britain, and nominated by the workers of the mine
or groups of mines aforesaid, and the District Mining Council may
delegate to such Pit Council such of their powers concerning the
immediate working or management of a particular mine or group
of mines as the District Mining Council may, subject to the ap-
proval of the Mining Council, think fit.
(4) The members of District Mining Councils shall be appointed
for three years, but shall be eligible for reappointment, and the
404. THE WORKERS
members of Pit Councils shall be appointed for one year, but shall
be eligible for reappointment.
13. (i) For the purpose of advising the Mining Council it shall
be lawful for His Majesty to appoint persons, to represent the
interests of consumers, to be known as the Fuel Consumers'
Council.
(2) The Mining Council shall have power to convoke at such
time as they think fit and under such regulations and conditions
as they may prescribe advisory conferences of representatives of
District Mining Councils, and the District Mining Councils shall
have power in like manner to convoke advisory conferences of
Pit Councils within their area.
(3) The expenses of the Fuel Consumers' Council, National and
District Mining Conferences shall, subject to the approval of the
Treasury, be paid by the Mining Council.
14. There shall be paid to each of the members of the Mining
Council, other than the President, such salary as the Treasury may
determine, and to the members of the District Mining Councils,
and to the Pit Councils, such salaries and emoluments as the Min-
ing Council, with the consent of the Treasury, may determine.
15. (i) The Mining Council shall cause full and faithful ac-
counts to be kept of all moneys received and expended under this
Act, and of all assets and liabilities and of all profits and losses,
and shall annually lay such accounts before Parliament.
(2) The Mining Council shall annually cause a balance-sheet of
accounts to be made, including a capital account and a profit and
loss account for each mine worked under thir Act.
(3) Such balance-sheet and statement shall 2 so prepared as to
show fully and faithfully the financial position of each such mine,
and the financial result of its operations for the year.
(4) All moneys raised under the authority of this Act shall, as
and when raised, and all other moneys received hereunder shall,
as and when received, be paid into a separate account called " The
National Mines Account."
(5) All moneys withdrawn from the National Mines Account
constituted under this Act shall be withdrawn only by the order
of the Mining Council or such other person as the Mining Council
may from time to time appoint.
(6) All moneys in the National Mines Account, or payable into
that account by any person whomsoever, and also all moneys owing
THE NATIONALIZING OF MINES 405
by any person under this Act, are hereby declared to be the prop-
erty of the Crown, and recoverable accordingly as from debtors
to the Crown.
1 6. (i) There shall be transferred to the Mining Council all the
existing assets and liabilities of mine undertakings and associated
properties, as and when they are transferred to and vested in the
Mining Council, other than liabilities for rights including royalty
rents, wayleave rents, or any other underground rents or charges,
payable or due at the time of the passing of this Act to any per-
son, all of which shall cease to be payable on and after the ap-
pointed day.
(2) On the passing of this Act, there shall be ascertained by the
Commissioners the amount of all moneys due to or from all mine
undertakings, and the findings of the Commissioners as to the
amount of such moneys shall be binding and conclusive on all
parties.
(3) The net amount of all moneys due to any mine undertaking,
after all debts due from any such undertaking have been deducted,
as ascertained under Sub-section (2) of this section, shall be paid
by the Mining Council to the persons to whom in the opinion of
the Commissioners such debts are due, and shall be deemed to be
expenses incurred under this Act. Provided that an appeal shall
lie to the High Court, under rules to be framed by the High Court,
from the decision of the Commissioners as to the title of any such
person, but for no other purpose.
17. (i) All sums expended or payable under this Act in carry-
ing out the provisions of this Act for expenses, or for salaries or
wages payable under this Act, or in the construction, erection, or
acquisition of buildings, plant, machinery, railways, tramways,
hulks, ships, or other appliances or works, or otherwise, shall be
payable out of moneys provided by Parliament.
(2) Provided that moneys received under this Act in respect
of the sale or export or supply of coal or other minerals (including
the moneys received from the Government Departments) may be
directly expended in or towards carrying out the purposes of this
Act.
18. After full provision has been made for all outgoings, losses,
and liabilities for the year (including interest on securities created
and issued in respect of moneys raised as aforesaid, and on moneys
paid out of the Consolidated Fund), the net surplus profits then
406 THE WORKERS
remaining shall be applied in establishing a sinking fund and,
subject thereto, in establishing a depreciation fund in respect of
capital expended.
19. (i) The Mining Council may, from time to time, make
such regulations as they think necessary for any of the following
purposes :
(a) The management of mines under this Act;
(&) the functions, duties, and powers of the District Mining
Councils, Pit Councils, and other bodies or persons acting
in the management and working of mines or distribution
and sale of fuel under this Act;
(c) the form of the accounts to be kept and the balance
sheets to be prepared in respect of mines under this
Act;
(d) the mode in which the sinking funds and other funds con-
nected with mines under this Act shall be held and admin-
istered ;
(e) generally any other purpose for which, in the opinion of the
Mining Council, regulations are contemplated or required.
(2) The Mining Council, before making or altering any regula-
tions or conditions of employment, including wages, as affect work-
men engaged in the mining industry, shall consult with the associa-
tion known as the Miners' Federation of Great Britain, and, in
the event of such representatives and the Mining Council failing
to agree, the matter in dispute may be referred to arbitration on
such terms as may be mutually agreed.
(3) Provided that nothing in this section shall be deemed to
interfere with the right of any employed person, subject to his
contractual obligations, to dispose of his labor as he wills.
20. (i) Every mine worked under this Act shall be managed
and worked subject to the provisions of the Metalliferous Mines
Regulations Acts, 1872 and 1875, tne Coal Mines Regulation Act,
1908, the Coal Mines Act, 1911, and any other Act regulating the
hours, wages, or conditions of labor in mines.
(2) There shall be transferred to and be vested in the Mining
Council all the powers and duties of the Secretary of State and
of any other Government Department imposed upon them by the
Metalliferous Mines Regulations Acts, 1872 and 1875, the Coal
Mines Regulation Act, 1908, the Coal Mines Act, 1911, or any
THE NATIONALIZING OF MINES 407
other Act regulating or affecting mines or the hours or conditions
of labor therein.
21. (i) It shall be the duty of the Mining Council to insure
that there is a sufficient supply of fuel at reasonable prices
throughout Great Britain, and for this purpose it shall be lawful
for the Mining Council, or for any local authority or Government
Department acting on their behalf, to establish stores and depots
and to employ vehicles and to use all other necessary means for
the selling of fuel and to sell fuel within the area of every local
authority, and, further, for this purpose it shall be the duty of the
railway companies or authorities of Great Britain to provide such
facilities for the conveyance of fuel as the Mining Council may
deem necessary to enable them to carry out the duties imposed
upon them by this section at rates not greater than such railway
companies or authorities are now entitled to charge for the con-
veyance of fuel.
(2) Where the Mining Council delegates to any local authority
all or any of their powers under this section, it shall be lawful
for such local authority to exercise all or any of the powers of the
Mining Council so delegated to them.
(3) All moneys had and received or expended by a local au-
thority under this section shall be deemed to be had and received
or expended on behalf of the Mining Council.
22. This Act may be cited as the Nationalization of Mines and
Minerals Act, 1919, and this Act and the Metalliferous Mines Regu-
lations Acts, 1872 and 1875, and the Coal Mines Regulation Acts,
1887 and 1908, and the Coal Mines Act, 1911, may be cited together
as the Mines Acts, 1872-1919, and shall come into operation on the
first day of the second month, which shall be the appointed day,
after the passing of this Act, and, save in the case of disclaimer,
all valuations, purchase, and transference of mines and minerals
to the Mining Council, and all other arrangements for the carrying
out of this Act shall be concluded on or before the first day of
the second year after the coming into operation of this Act.
23. This Act shall not apply to Ireland.
FIRST SCHEDULE
Minerals excluded from this Act:
Sandstone. Slate. Building Clay.
Granite. Chalk. Gravel and Sand.
Cherts. Flints. Igneous Rocks.
408
Session and Chapter.
Title or Short Title.
Extent of Repeal.
i William and Mary,
ch. 30.
An Act to repeal the statute
made in the fifth year of King
Henry IV. against multiplying
gold and silver.
The Whole Act
5 William and Mary,
ch. 6.
An Act to prevent disputes
and controversies concerning
Royal Mines.
The Whole Act
55 George III, ch. 134.
An Act for altering the rate
at which the Crown may exer-
cise its right of pre-emption of
Ore in which there is lead.
The Whole Act
I James I. of Scotland,
ch. 12.
Mines of Gold and Silver per-
tains to the King.
The Whole Act
12 James VI. of Scot-,
land, ch. 31.
Anent the Tenth Part of
Mynis.
The Whole Act
CHAPTER III
PRECIS OF EVIDENCE
SUBMITTED TO THE COAL INDUSTRY COMMISSION BY G. D. H. COLE,
M.A., FELLOW OF MAGDALEN COLLEGE, OXFORD; HON. SECRETARY,
LABOR RESEARCH DEPARTMENT; EXECUTIVE MEMBER, NATIONAL
GUILDS LEAGUE
INTRODUCTORY
1. IT is stated in paragraph IX of the Interim Report signed
by the Chairman and three other members of the Commission
that, " even upon the evidence already given, the present system
of ownership and working in the coal industry stands condemned,
and some other system must be substituted for it."
In this opinion I concur.
2. Six of the members of the Commission state in paragraph 3
of the Summary of Conclusions in their Interim Report that,
" in view of the impossibility of tolerating any unification of all
the mines in the hands of the Capitalist Trust ... in the interests
of the consumers as much as in that of the miners, nationalization
ought to be, in principle, at once conceded."
In this opinion I also concur.
3. In paragraphs X and XI of the Interim Report signed by
the Chairman and three other members of the Commission (but
not in paragraph IX) nationalization and joint control appear
to be presented as mutually inconsistent alternatives. Whether
this is so or not would appear to depend upon the parties among
whom the control is shared or divided.
4. In paragraph XII of the same report it is stated that no
scheme for joint control has been placed before the Commission;
but among the papers circulated to me is a statement submitted by
Mr. Straker, who gave evidence on behalf of the Miners' Fed-
eration of Great Britain, and this statement embodies a scheme
of national ownership combined with joint control by the miners
and the State.
409
410 THE WORKERS
With this scheme I am generally, and largely in detail, in agree-
ment.
5. In July, 1918, the Conference of the Miners' Federation
at Southport unanimously adopted the following resolution:
" That in the opinion of this Conference the time has
arrived in the history of the coal-mining industry when it
is clearly in the national interest to transfer the entire in-
dustry from private ownership and control to State owner-
ship, with joint control and administration by the workmen
and the State. In pursuance of this opinion, the National
Executive are instructed to immediately reconsider the Draft
Bill for the Nationalization of the Mines ... in the light
of the new phases of development in the industry, so as to
make provision for the aforesaid control and administration
when the measure becomes law."
This resolution seems to me to embody the policy that ought
to be adopted in the reorganization of the coal-mining industry
which is admitted to be necessary by all those members of the
Commission who have not a direct financial interest in the re-
tention of the existing system.
My reasons for desiring a system of ownership and control
similar to that advocated by Mr. Straker fall under a number of
heads :
(a) Reasons for desiring direct and adequate participation
by the workers in the management.
(b) Reasons for desiring participation of persons nomi-
nated by the State in the management.
(c) Reasons for desiring national ownership.
REASONS FOR WORKERS' PARTICIPATION
6. The workers employed in and about collieries should assume
a direct and increasing share in the management, not only in
order that the principles of democracy may be applied to indus-
trial organization, but also in the interest of the consumers and
of the community. We have reached a stage in certain vital
industries, including coal-mining, if not in industry as a whole,
when the workers will no longer consent to remain within the
boundaries of the wage-system.
7. By the wage-system I mean the system under which the
PRECIS OF EVIDENCE 411
worker sells his labor to an employer in return for a wage, and
by this sale is supposed to forego all right over the manner in
which his labor is used within the terms of the wage-contract,
all right to exercise control over the management of the industry
or service in which he is engaged, and all claim to the produce
of his labor or to the common product of the labor of himself
and his fellow-workmen.
8. Thanks to the growing strength and consciousness of Trade
Unionism, this wage-system is no longer fully and completely
operative. Trade Unions do constantly by collective regulation
of the conditions of labor, by collective bargaining, and by strikes,
exercise a certain control over the way in which the labor of their
members is used and even over management. But, excluded from
direct participation in management and control, Trade Unions
and workmen are confined in the main to the imposition of nega-
tive forms of control — i.e., virtually to a veto on certain methods
of using and organizing labor. Such negative regulation inevitably
tends to take a restrictive form, which becomes more severe as
Trade Unionism becomes stronger, until it threatens to break
altogether the system — the wage-system — in which it is enclosed.
9. In the words of the Memorandum submitted by the Labor
representatives to the recent Industrial Conference, " Labor has
now grown too strong to be controlled by force or compulsion
of any kind." The method of destroying Trade Union " restric-
tions " by a frontal attack upon Trade Unionism is therefore not
only undesirable but in practice impossible. The only alternative
is a frank acceptance of Trade Unionism, and an endeavor to con-
vert the negative (and therefore partially restrictive) control
which it now exercises into a positive (and therefore co-operative)
control.
10. In other words, the problem of industry at the present
time — and of the coal-mining industry in particular — is to enlist
the active co-operation of the workers and of their Trade Unions
in making the industry as efficient as possible.
11. This involves the establishment at once of the greatest
amount of industrial democracy (that is, of direct control by
the workers and their Trade Unions) that is immediately practi-
cable, and the most rapid extension of that control that is practi-
cable subsequently.
12. Such control is not only, or mainly, a question of wages,
412 THE WORKERS
hours, and conditions of labor as ordinarily understood: it in-
cludes the whole conduct of the industry, both in its productive
and in its business aspects. Especially does it include the whole
domain of financial and productive management and of super-
vision.
13. I am not unmindful of the enormous importance of technical
and expert assistance, both in normal mining operations and more
especially in carrying out the great changes that are necessary
in connection with the reorganization of the industry. But I am
of opinion both that technical and expert assistance can be com-
bined with control by the workers at least as well as with control
by private capitalists, and indeed that the natural affiliation of the
brain-worker is with the manual worker rather than with the
capitalist. To this point I shall return at a later stage.
14. In short, from the point of view of the coal consumer and
of the community as a whole, the only way of securing efficiency
in production — perhaps the only way of securing at all the con-
tinuance of the industry — is to enlist the active co-operation of
the workers by agreeing at once to the assumption by them of a
substantial share in control.
15. I shall now attempt to state the case for direct participa-
tion in control from the standpoint of the worker himself. Human
freedom, where it exists, is not a name, but a living reality. It
implies, not the absence of discipline or restraint, but the impo-
sition of the necessary discipline or restraint either by the indi-
vidual himself or by some group of which he forms, and feels
himself to form, a part. A democratic or " free" system of gov-
ernment is one in which every individual not only has a share or
vote, but also feels that his share or vote is of some effect by
virtue of his community with his fellow-sharers or fellow-voters.
16. This principle of freedom should apply to industrial organi-
zation, which forms in a modern community so important and so
insistent a part of a man's life. It does not apply under the exist-
ing system of conducting industry; and it cannot be made to apply
fully in a day or a year. But it should be our object to apply it
as fully as we can, and ever more fully.
17. If, then, a man must receive orders, he must, if he is to be
free, feel that these orders come from himself or from some
group of which he feels himself to be a part, or from some person
whose right to give orders is recognized and sustained by himself
PRECIS OF EVIDENCE 413
and by such a group. This means that free industrial organization
must be built on the co-operation, and not merely on the acquies-
cence, of the ordinary man, from the individual and the pit up to
the larger units.
18. Only the increasing adoption of this method of industrial
organization can give the sense of fair treatment and active
co-operation to the worker, and thereby through the removal of
unrest and the stimulation of effort, efficient production and service
to the consumer and to the community.
19. With the question of national ownership I deal at a later
stage; but I desire to point out here that national management
by itself will not secure the full co-operation of the workers.
State management means in practice management by a State
Department ; and a State Department is not a " group of which
the ordinary man feels himself to be a part." The workers under
State management are no more free, so far as the conditions
of their working life are concerned, than the workers under capi-
talist management. The question of joint control with the State
is dealt with further below.
20. Joint control with the present owners or with the consumers
would also be ineffective. The reasons for this are also dealt with
below.
REASONS FOR PARTICIPATION BY THE STATE
21. The "control of industry" includes two distinct functions,
the actual management of productive and distributive enterprise,
and the ultimate financial control. I desire to deal with these
separately.
22. The reasons for State participation in actual management
are, to a considerable extent, of only temporary validity. If the
whole effective working personnel of the mining industry were
combined in a single group possessed of a feeling of community,
and including not only the workers and clerks, but also all the
supervisors, professionals, and experts necessary to the conduct
of the industry, direct participation by the State in the normal
work of management would be unnecessary. It is my hope that
this position will gradually be reached, and, to that extent, that
direct State participation in management will be gradually with-
drawn.
23. Until this becomes possible, the State should appoint as its
414 THE WORKERS
representatives on the Mining Council (excluding for the moment
those appointed to represent the consumers) persons of profes-
sional or expert knowledge of mining operations.
24. The function of the State, therefore, in relation to produc-
tive management, is mainly that of safeguarding the technical
efficiency of the industry until the creation of a complete Mining
Guild becomes possible.
25. It is also suggested that the State appointments to the
Mining Council should include persons specially appointed to rep-
resent the consumers. Whether this also would be a transitional
measure I am unable to make up my mind. It is, however, clearly
necessary that the consumers of coal should have some means
of insuring that their views will be heard, especially in relation
to questions of coal distribution and the allocation of supplies to
various districts.
26. Direct appointment of the consumers' representatives by
organizations representing the main groups of coal consumers
has been suggested; but I am unable to agree to the suggestion
for two reasons:
(1) Because the groups of consumers are changing groups,
and therefore their names ought to be included in an Act
of Parliament (e.g., if coal distribution is made a municipal
and/or a co-operative monopoly, the retail coal trader, who
is now an important consumer, drops out of existence).
(2) Because I am unable to accept the view that an em-
ployers' association in, say, the steel industry is a proper
representative of the consumers. The workers in the steel
industry are fully as interested in the supply of coal as the
employers.
These reasons are not intended to exclude consultation by the
Government with consumers' associations in appointing the con-
sumers' representatives on the Mining Council. But, pending the
development of some more effective means of representing the
consumers on democratic lines, the State must be regarded as
the warden of the consumers' interests.1
1 Since writing this passage, I have been led to concur in the view
put before the Commission by Mr. Arthur Greenwood that there
should be a separate Coal Consumers' Council with advisory powers,
as an alternative to direct representation of the consumers on the
Mining Council.
PRECIS OF EVIDENCE 415
FINANCIAL CONTROL
27. I come now to the question of ultimate financial control.
This involves (a) scrutiny of the balance-sheet of the Mining
Council, (b) ultimate control of prices, (c) provision of capital,
(d) utilization of the balance of revenue over expenditure, and
(c) methods of expropriation, redemption, etc.
28. These are functions which concern the State as the repre-
sentative, not of the consumers, but of the community as an
association of neighbors or citizens. Whatever may be the future
structure of political society, they are for the moment functions
properly to be exercised by the people's representatives in Parlia-
ment.
29. At the same time, the existing organization of Parliament
does not provide for their satisfactory exercise. I suggest a
Committee of the House of Commons, presided over by the Min-
ister of Mines, to consult with the Mining Council, and to take
administrative action on these matters, subject to the sanction of
the House as a whole.
30. This implies that any surplus of mining revenue over ex-
penditure or of expenditure over revenue will pass into the Budget,
and that any fresh capital required, whether raised by special
mining stock or otherwise, will be provided by the State. At
the same time, the general financial management should be in the
hands of the Mining Council.
31. Both the Mining Council and the proposed House of
Commons Committee are often criticized on the ground that they
undermine " Ministerial responsibility." May I respectfully record
my conviction that, under existing conditions, " Ministerial re-
sponsibility" is mostly moonshine?
REASONS FOR NATIONAL OWNERSHIP
32. The objections brought against national ownership are
usually for the most part objections to bureaucratic control. The
above considerations, which presuppose national ownership, show
that there is no necessary connection between it and bureaucratic
control.
33. National ownership of the mines is necessary for three
principal reasons — (i) for the sake of the community, in order
416 THE WORKERS
to secure the fullest utilization and conservation of a vital natural
product in the common interest; (2) for the sake of the consumer,
in order to prevent exploitation and profiteering; (3) in order to
give the workers the sense of working for the community, and
not for the benefit of any private person.
34. Full utilization and conservation of our coal .resources can
only be secured by unified working, and real unification of work-
ing can only be secured by unified ownership.
35. This only leaves the two alternatives of a gigantic private
trust or monopoly (either under public control or otherwise) or
of national ownership.
36. A Coal Trust not under public control is obviously out of
the question.
37. War-time experience of State control without ownership
has proved the impossibility of either effective or efficient control
without ownership. Control without ownership involves huge
waste by the duplication of administrative machinery.
38. Moreover, in controlling prices without ownership the State
continually falls between the two stools of cheapness and plenty.
If it restricts prices, output is restricted; if it fosters output, it
can only do so by permitting high prices. The retention of the
motive of profit-making as the incentive in industry renders effi-
cient State control impossible.
39. In addition, the full co-operation of the workers by hand
and brain can only be secured if they feel that they are working,
not for private profit, but for the benefit of the community. Just
as national ownership is inadequate without workers' control, so
workers' control is inadequate without national ownership.
40. It has been suggested that the full co-operation of the
workers could be secured by a system of joint control between
owners and workers. But real control by the workers is impossible
as long as the industry continues to be conducted for the private
profit of the owners alone.
41. Where this is recognized, it is sometimes suggested that
the workers might be given, in law or in fact, a share in the
ownership by some system of indiviual or collective profit-sharing
or co-partnership.
42. In my opinion, this would not work in practice, because
the motives of the owners and workers are irreconcilable with
the system of private ownership.
PRECIS OF EVIDENCE 417
43. Even if it could be brought into operation, its effects would
be anti-social; for the profit-making motive is not improved
merely by increasing the number of shareholders. The coal in-
dustry requires to be worked as a national service, free from the
motive of profit-making.
44. In any case, it is hardly necessary to discuss this suggestion
in detail, for it would certainly be rejected by the miners, and,
as it has only been devised in the hope of making possible the
continuance of private ownership, it would thereby fall at once,
if it has not already fallen, to the ground.
EXPROPRIATION AND COMPENSATION
45. I do not desire to enter at all fully into this aspect of the
question, on which I am not an expert.
46. I desire, however, to emphasize my view that it would be
wrong to compensate the owners of mines or minerals on the
basis of their past or present commercial value.
47. My reason is that this value depends upon the control which
they have hitherto been able to exercise over Labor. To the
extent to which they have lost this control the commercial value
of their property has become unreal, and they l^ve no title to
compensation in respect of such value. They must not be placed
by compensation in a more secure or more favorable position
than other capitalists, who are also losing their control over
Labor on which their past profits have depended.
METHODS OF CONTROL
48. As I have stated, I am in general agreement with the
scheme of control put forward by Mr. Straker on March 14.
There are only two points which I desire to elaborate further
at the present stage.
49. The first point concerns the position of professional, techni-
cal, and supervisory staffs. The members of these staffs can
be roughly divided into two classes — (a) those whose function
is mainly expert, and (b) those whose function is mainly the
supervision or direction of other men.
50. In the case of class (a) the principle of selection must
be primarily based on " qualification " and expert knowledge. In
the case of class (b) it must be based primarily on personality.
418 THE WORKERS
51. I hold strongly that those men whose business it is mainly
to direct others should be chosen by those whom it is their
business to direct, either by ballot or through a Committee of
Selection or a Trade Union.
52. Where persons whose function is mainly directive must
also possess technical or professional qualifications, the range
of choice should be restricted to persons possessing the necessary
qualifications; but the principle of selection from below should
be preserved
53. There is not the same reason for the adoption of this
course in the case of persons whose function is mainly or ex-
clusively expert and advisory.
54. The second point concerns the question of centralization
and local initiative in control. I hold strongly that the full
co-operation of the workers can only be enlisted by a system of
control which is largely localized, and includes a considerable
element of direct control by the workers in each particular pit.
A system of joint control nationally, or even nationally and in
the proposed districts, will not be effective unless it is combined
with a system of pit control.
55. At the same time, pit control will probably not at the
beginning be capable of such full establishment as national and
district control. It is therefore of the greatest importance that
the system of control first established should be such as to admit
of an increasing element of devolution, both from the Mining
Council to the district, and from both to the pit.
CONCLUSION
56. In conclusion, I desire to emphasize my agreement with
the words of paragraph XV of the Interim Report signed by
the Chairman and by three other members of the Commission, that
" it is in the interests of the country that the colliery workers
shall in the future have an effective voice in the direction of the
mine. For generations the colliery workers have been educated
socially and technically. The result is a great national asset.
Why not use it?"
I believe that these words can only be made good in fact by
the adoption of national ownership combined with some such
system of control as that which Mr. Straker outlined to the
Commission.
PRECIS OF EVIDENCE 419
Evidence of George Douglas Howard Cole to the Coal Industry
Commission — May 2, 1919:
He spoke of:
"The aspiration on the part of a great proportion of the people in
industry, including many employers, managers, and workers, which is
an inspiration to serve the public."
" That motive of public service."
" Discipline by an organization in which you are conscious of your
own Citizenship in the Community."
"Where the pit committee has taken other functions (in addition
to control over absenteeism) into its hands, it has for a time in certain
districts been a very great success. I might mention certain Derby-
shire collieries."
Mr. Cole was then requested by Mr. Justice Sankey to return
to the Commission with the names of those Derbyshire Commit-
tees, which had a share in direction and had been a " very great
success."
He replied:
"My knowledge of these Committees is based on discussions with
the Derbyshire Miners' Association of those things happening. I do
not know the names of the pits the various people are employed in."
The Chairman replied:
" That piece of evidence is most important."
On May 6, Mr. Cole was recalled and said:
" I have communicated with the Derbyshire Miners' Association, and
they are getting information, but it has not yet arrived."
On June 4, he was recalled, and stated:
" I went to the Miners' Federation. I heard from them a few days
ago that they had been unable to get any information of value."
Mr. Justice Sankey:
" I do not understand that quite. You see you made some very
definite statements about conversations you had with regard to these
pit committees. I want you to tell me about that"
420 THE WORKERS
MR. COLE : " What I did was that I addressed a meeting of the
Derbyshire Miners' Council held at Chesterfield. I cannot
remember the exact date. It was either 1916 or the begin-
ning of 1917, and in the course of the discussion and in the
course of informal talking afterwards, a good deal was
said about the working of particular pit committees."
SANKEY: "Can you tell me the name of a single one of them?"
MR. COLE : " I am afraid I cannot."
SANKEY: "Have you written to the Miners' Agent in Derbyshire?"
MR. COLE : " I asked the Miners' Federation to get the information
for me and I only heard from them two or three days ago
that they had been unable to get it."
SANKEY : " I thought you were going to be good enough to get it
on your own account from Derbyshire ? "
MR. COLE : " I would have done that, only I thought I should get it
more effectively through the Miners' Federation, and I only
knew two or three days ago that they had failed to get it."
SANKEY : " It is such a very valuable suggestion to some of us who
have been thinking upon these matters, and who relied
upon your promise to give us assistance. Can you not do
anything more than that? Have you the name of the
Derbyshire agent with whom you had a conversation ? "
MR. COLE : " Amongst the people I had conversation with was Mr.
Frank Hall, secretary of the Derbyshire Miners' Associa-
tion."
SANKEY: "Have you written to him?"
MR. COLE : " No, because I only heard the Miners' Federation failed
to do it recently."
SANKEY: "Do you know his address?"
MR. COLE: "Yes."
SANKEY: "Is it possible for you to write to him?"
MR. COLE : " Certainly."
SANKEY: "You are leaving it very late. I relied a great deal upon
your promise to assist us. It leaves us in some difficulty.
I am very anxious to hear about these committees which
I regard as most important."
MR. COLE : " All I know about the matter is that subsequently they
broke down upon a disagreement between the owner and
the miners as to the matters which were legitimate to come
before them."
SANKEY: "What was the dispute about?"
MR. COLE: "I think the dispute was about the right of the miners'
representatives to bring before the committees matters
which were not connected with absenteeism purely, but
PRECIS OF EVIDENCE 421
which related to other circumstances of mine management
affecting output."
SANKEY : " Then I am afraid you cannot assist us further ? "
MR. COLE : " I will do what I can, but I do not quite see what I am
to do."
SANKEY : " Last time I was very anxious you should assist us with
that evidence. It would have assisted me personally very
greatly. As you cannot do it, I am afraid you cannot. I
am much obliged to you."
SECTION FOUR
THE JUDGMENT
CHAPTER I
COAL INDUSTRY COMMISSION ACT, 1919
REPORT BY THE HONORABLE MR. JUSTICE SANKEY, G.B.E.
(Chairman)
i. RECOMMENDATIONS
I
7 recommend that Parliament be invited immediately to pass leg-
islation acquiring the Coal Royalties for the State and paying fair
and just compensation to the owners.
II
I recommend on the evidence before me that the principle of
State ownership of the coal mines be accepted.
Ill
7 recommend that the scheme for local administration here-
inafter set out, or any modification of it adopted by Parliament, be
immediately set up with the aid of the Coal Controller's Depart-
ment, and that Parliament be invited to pass legislation acquiring
the coal mines for the State, after the scheme has been worked for
three years from the date of this Report, paying fair and just
compensation to the owners.
IV
The success of the industry, whether under private or State
ownership, depends upon productivity and upon every one doing his
best. The alarming fall in output has convinced me that at present
every one is not doing his best. I am not able to say whether this
422
COAL INDUSTRY COMMISSION ACT 423
is the fault of the management or of the workers or of both. Each
blames the other. The cause must be investigated, but, whatever
it may be, it is hopeless to expect an improvement in the present
atmosphere of distrust and recrimination. My prescription is the
old proverb, " Plenty of work and a heart to do it."
/ make this Report because I believe that the workers at present
employed can and will maintain an output of 250,000,000 tons a
year at least, which was the figure adopted in the Interim Report
of March 2Oth last, presented by me and my three colleagues. I
rely upon the honor of the men's leaders and of the men and of
all others concerned to achieve this result. In my opinion it can
and ought to be done. If the output per man continues to go
down the supremacy of this country is in danger.
VI
I recommend the continuance of the Coal Control for three
years from the date of this Report.
VII
I repeat paragraph XIX of the Interim Report of March 2oth
above referred to. The question of State ownership is one of
policy to be determined by Parliament in which all classes, inter-
ests, and industries are represented.
2. REASONS FOR THE STATE OWNERSHIP OF COAL ROYALTIES
VIII
Coal is our principal national asset, and as it is a wasting asset
it is in the interest of the State that it should be won and used
to the best advantage.
IX
The seams of coal are now vested in the hands of nearly 4,000
owners, most of whom are reasonable, but some of whom are a
real hindrance to the development of the national asset.
424 THE JUDGMENT
X
In certain areas the ownership of the seams of coal is in the
hands of many small owners some of whom cannot be found, and
this causes great delay and expense in acquiring the right to work
the mineral.
XI
Barriers of coal are left unworked between the properties of
various owners to an extent which, in many cases, is not neces-
sary for safe and proper working of the individual concern, and
millions of tons of the national asset are thereby wasted.
XII
Drainage and pumping are carried on in individual pits at heavy
unnecessary expense instead of under a centralized plan covering
a whole area. Further, lack of co-operation in drainage has in
the past been, and is at the present time, conducive to the aban-
donment of coal and collieries.
XIII
Boundaries of undertakings are arbitrary and irregular and
make coal in certain places difficult to work or not worth working.
I
XIV
Plots of land are let for building and the law allows this to be
done without the right of underground support, so that the coal
is worked from underneath, houses are damaged, and no compen-
sation is payable; this is not consistent with the public well-being.
XV
Under State ownership there will be one owner instead of nearly
4,000 owners of the national asset, and the difficulties caused under
the present system in regard to barriers, drainage, pumping,
boundaries, and support will largely disappear.
XVI
The State ownership should be exercised through a Minister
of Mines.
COAL INDUSTRY COMMISSION ACT 425
XVII
The interim report of the Acquisition and Valuation of Land
Committee has pointed out at least 14 defects arising from the
present system of ownership of the seams of coal, and proposes to
create a new sanctioning authority vested with power to issue com-
pulsory orders from time to time to remedy these defects as and
when they are in different cases found to exist.
XVIII
/ regard as preferable to this expensive piece-meal machinery
that the seams of coal should be acquired by the State once and
for all in one final settlement, together with all usual or necessary
easements and rights incidental thereto, together with power to
procure all such easements and rights in the future. If the State
only acquires the seams from time to time it means many arbitra-
tions, many intermediate settlements, enhanced delay, and increased
cost of administration.
3. METHOD OF PURCHASE OF COAL ROYALTIES
XIX
The value of each individual royalty owner's interest should be
assessed by Government valuers with an appeal to a specially con-
stituted tribunal.
XX
Such valuers should take into consideration :
(a) the properties where coal has been developed;
(&) potential properties where coal is known to exist and is
awaiting development;
(c) surface wayleaves and shaft rent in certain cases which
destroy the amenities of the neighboring property;
(d) the usual royalty charged in the district for the class of
coal in question ;
But not—
(e) properties in which the existence of coal is uncertain but
suspected; and
(/) underground wayleaves.
426 THE JUDGMENT
XXI
I also suggest that Parliament in laying down the principles of
valuation should consider whether it is not possible to fix a total
maximum sum which would form a pool to be allocated between
the various individual royalty owners in accordance with the fore-
going or any other principles which Parliament may adopt. The
advantage of this plan would be that the State would at once know
its total maximum liability.
4. REASONS FOR STATE OWNERSHIP OF COAL MINES
XXII
Coal mining is our national key industry upon which nearly all
other industries depend. A cheap and adequate supply of coal is
essential to the comfort of individuals and to the maintenance of
the trade of the country. In this respect, and in the peculiar con-
ditions of its working, the coal mining industry occupies a unique
and exceptional place in our national life, and there is no other
industry with which it can be compared.
XXIII
The other industries and consumers generally are entitled to
have a voice in deciding the amount of coal to be produced and
the price at which it is to be sold, which they have not had in the
past.
XXIV
The export trade in coal has greatly increased, and the system
of competition between many private colliery owners and ex-
porters to obtain orders frequently prevents the industry getting
the full value for the article.
XXV
The inland trade in coal has greatly increased, and the system
of distribution through the hands of many private individuals pre-
vents the consumer getting the article as cheaply as he should do.
It has been estimated that there are 28,000 retail distributors of
coal in the United Kingdom.
COAL INDUSTRY COMMISSION ACT 427
XXVI
In other words, there is underselling in the export trade and
overlapping in the inland trade.
XXVII
Passing to another phase of the difficulty, the lack of capital
in some mines and the lack of proper management in others pre-
vent the development of coalfields and the extraction of coal to
the best advantage for the benefit of the Nation.
XXVIII
There are in the United Kingdom about 3,000 pits owned by
about 1,500 companies or individuals. Unification under State
ownership makes it possible to apply the principles of standardiza-
tion of materials and appliances and thereby to effect economies
to an extent which is impossible under a system where there are
so many individual owners.
XXIX
It may be argued that the foregoing defects in the present sys-
tem could be removed by changes in the direction of Unification
falling short of State ownership.
XXX
But a great change in outlook has come over the workers in
the coalfields, and it is becoming increasingly difficult to carry on
the industry on the old accustomed lines. The relationship between
the masters and workers in most of the coalfields in the United
Kingdom is, unfortunately, of such a character that it seems im-
possible to better it under the present system of ownership. Many
of the workers think they are working for the capitalist and a
strike becomes a contest between labor and capital. This is much
less likely to apply with the State as owner, and there is fair rea-
son to expect that the relationship between labor and the com-
munity will be an improvement upon the relationship between
labor and capital in the coalfields.
428 THE JUDGMENT
XXXI
Half a century of education has produced in the workers in the
coalfields far more than a desire for the material advantages of
higher wages and shorter hours. They have now, in many cases
and to an ever increasing extent, a higher ambition of taking their
due share and interest in the direction of the industry to the suc-
cess of which they, too, are contributing.
XXXII
The attitude of the colliery owners is well expressed by Lord
Gainford, who, speaking on their behalf as a witness before the
Commission, stated: — "/ am authorised to say on behalf of the
Mining Association that if owners are not to be left complete
executive control they will decline to accept the responsibility of
carrying on the industry, and, though they regard nationalisation
as disastrous to the country, they feel they would in such event be
driven to the only alternative — nationalisation on fair terms"
XXXIII
It is true that in the minds of many men there is a fear that
State ownership may stifle incentive, but to-day we are faced in
the coalfields with increasing industrial unrest and a constant
strife between modern labor and modern capital.
I think that the danger to be apprehended from the certainty of
the continuance of this strife in the coal mining industry outweighs
the danger arising from the problematical fear of the risk of the
loss of incentive.
XXXIV
The object to be aimed at under State ownership is national co-
ordination of effort in respect of the production of the national
asset and of its export and inland supply.
5. METHOD OF PURCHASE AND CARRYING ON OF THE COAL MINES
XXXV
It is suggested that the State should purchase all the collieries,
including colliery buildings, plant, machinery, stores, and other
COAL INDUSTRY COMMISSION ACT 429
effects in and about the colliery at a fair value subject to the next
paragraph.
XXXVI
In addition, expenditure on development of the collieries (in-
cluding the provision of houses) incurred after a date to be fixed
and with the consent of the Controller of Coal Mines should be
repaid with interest at the rate of 6 per cent, per annum from the
date of the expenditure provided that if such expenditure has
become remunerative before the date of the purchase, the amount
of the sum payable by way of interest should be reduced by the
amount of the profits earned thereon.
XXXVII
In further addition the State should take power to purchase real
and movable property directly associated with the working of the
colliery not comprised in paragraph XXXV, other than the assets
at the colliery, at a fair value.
XXXVIII
In the case of composite undertakings the owners should have
a right to compel the State to purchase, and the State should have
the right to compel the owner to sell the whole undertaking if, in
the opinion of an arbitrator, the severance of the undertaking can-
not be economically or commercially effected. By composite under-
taking is meant an undertaking where a company or firm is carry-
ing on a colliery in addition to and in conjunction with another
works, e.g,, a colliery and a steel works.
XXXIX
Without prejudice to the powers recommended by the last para-
graph, it is a matter for careful consideration whether the coke
and by-product industry, which is at present only in its infancy,
should not be allowed to remain in private ownership.
XL
\
It is suggested that the bulk of the present officials engaged in
the coal mining industry, including the managing directors of com-
430 THE JUDGMENT
panics, should be offered an opportunity of remaining on at their
present salaries on a 5 years' agreement together with any in-
creases awarded from time to time.
XLI
The Civil Servant has not been trained to run an industry, but
the war has demonstrated the potentiality of the existence of a
new class of men (whether already in the service of the State or
not) who are just as keen to serve the State as they are to serve
a private employer and who have been shown to possess the quali-
ties of courage in taking initiative necessary for the running of an
industry.
XLII
Hitherto, State management of industries has on balance failed
to prove itself free from serious shortcomings, but these short-
comings are largely due to the neglect of the State to train those
who are to be called on for knowledge and ability in management.
XLIII
The experience of the last few years has, however, shown that
it is not really difficult for the British nation to provide a class of
administrative officers who combine the strongest sense of public
duty with the greatest energy and capacity for initiative. Those
who have this kind of training appear to be capable in a high
degree of assuming responsibility and also of getting on with the
men whom they have to direct.
XLIV
Finally, under State ownership it is always possible to lease a
mine to particular persons on terms agreeable to those who are
engaged in the production of coal thereat, and this principle can
be applied not only to a mine or a group of mines contained in
a particular district, but to a composite undertaking.
N.B. — If and when the coal mines are acquired by the State any
just claims of pioneer boring companies should be recognized, and
the State should take power to carry out exploratory borings.
COAL INDUSTRY COMMISSION ACT 431
6. THE SCHEME FOR LOCAL ADMINISTRATION
N.B. — The propositions put forward in this scheme must not be
regarded as recommendations, nor does the scheme aim at being
comprehensive. The time at my disposal only allows me to make
suggestions which it is hoped will be useful to Parliament.
Index to Scheme
Paragraphs
(i) Local Mining Council XLV-LIII
(ii) District Mining Council LIV-LXIV
(iii) National Mining Council LXV-LXXII
(iv) Finance and Publicity LXXIII-LXXVIII
(v) Safety, Health, and Research . . . LXXIX-LXXXV
(vi) Admiralty Coal LXXXVI
(vii) Export Trade LXXXVII-LXXXIX
/
(i) THE LOCAL MINING COUNCIL
N.B. — The object of this part of the scheme is to take advantage
of the knowledge of the workers by allowing them to sit on the
Councils for the purpose of advising the manager and to give them
an effective voice in all questions where their own safety and
health are concerned.
XLV
Every mine shall be under one duly certificated manager who
shall be responsible for the control, management, direction, and
safety of the mine and the extent and method of working, pro-
vided always that such manager shall not be personally liable for
conforming to any lawful order for safety made by the District
Mining Council.
XLVI
There shall be established at each mine a Local Mining Council
who shall meet fortnightly, or oftener if need be, to advise the
manager on all questions concerning the direction and safety of
the mine.
432 THE JUDGMENT
XLVII
The Council shall consist of 10 members of whom the manager,
under-manager, and the commercial manager shall be ex officio.
Four members shall be elected by ballot by the workers in or about
the mine and the remaining 3 members shall be appointed by the
District Mining Council. The members shall hold office for 2
years.
XLVIII
It shall be the duty of the Council to report fortnightly to the
Minister of Mines and to the District Mining Council any fall
in output and the cause thereof.
XLIX
If the manager refuses to take the advice of the Local Mining
Council on any question concerning the safety and health of the
mine such question shall be referred to the District Mining Council.
The contracts of employment of workmen shall embody an
undertaking to be framed by the District Mining Council to the
effect that no workman will, in consequence of any dispute, join in
giving any notice to determine his contract, nor will he combine
to cease work, unless and until the question in dispute has been
before the Local Mining Council and the District Mining Council
and those Councils have failed to settle the dispute.
LI
There shall be a commercial manager of the mine or group of
mines (which office, if the District Mining Council think fit, shall
be vested in the mine manager) whose duty it shall be, subject
to the control of the manager, to arrange for the purchase and
supply of stores in the mines and to take steps subject to the con-
trol of the district commercial manager for the disposal of its
output.
N.B. — It is thought that some of the present managing directors
of companies might be appointed the commercial managers.
COAL INDUSTRY COMMISSION ACT 433
LII
Each mine shall send in a costing account in the approved form
to the District Mining Council.
LIII
The workers at each mine shall be entitled to an output allow-
ance to be ascertained in an approved manner and divided among
them half-yearly.
(ii) THE DISTRICT MINING COUNCIL
N.B. — The object of this part of the scheme is to prevent the
bureaucratic running of the industry by causing it to be controlled
locally by a Council of fourteen, upon which there is equal repre-
sentation for the miners, for the consumers, and for the persons
acquainted with the commercial and technical side of the industry.
LIV
There shall be established in each mining district a District Min-
ing Council upon whom shall rest the main executive responsibility
of taking measures to secure the health and safety of the workmen
and the production of coal in the district.
N.B. — It is suggested that the mining districts be:
1. Scotland, East.
2. Scotland, West.
3. Northumberland.
4. Durham.
5. Cumberland.
6. Yorkshire.
7. Lancashire and Cheshire.
8. North Wales.
9. Nottinghamshire, Derbyshire, and Leicestershire.
10. Staffordshire, Worcestershire, and Shropshire.
11. Warwickshire.
12. South Wales and Monmouthshire.
13. Gloucestershire, Somersetshire.
14. Kent.
434 THE JUDGMENT
LV
The District Mining Council shall conform to any order for
safety made by the Chief Inspector of Mines, or by a Divisional
Mines Inspector, and shall not make an order in respect of safety
which is contrary to any Act of Parliament or regulations there-
under.
LVI
Subject to the direction of the Minister of Mines the District
Mining Council shall manage in its district the entire coal extrac-
tion, the regulation of output, the discontinuance of or the open-
ing out of mines, trial sinkings, the control of prices, and the basis
of wage assessment, and the distribution of coal.
LVII
In fixing the pit-head price under State ownership the following
items shall be provided for:
(a) a fair and just wage for all workers in the industry.
(&) the cost of materials, etc.
(c) upkeep and management, and development work.
(d) interest on the Bonds to be issued as the purchase price of
the coal royalties and coal mines.
(e) the contribution towards a sinking fund to redeem the
Bonds.
(/) a profit for national purposes.
LVIII
The District Mining Council shall be entitled to make arrange-
ments with local authorities or with private persons (including
in such term co-operative societies, companies, firms, and indi-
viduals) and in country districts, if permissible, with the local
railway station-master, for the sale and distribution of inland coal,
and with private persons, firms, and companies for the sale and
distribution of export coal, and shall have power to fix from time
to time the price above which coal may not be sold for household
and industrial purposes.
COAL INDUSTRY COMMISSION ACT 435
LIX
The District Mining Council shall consist of a Chairman and
Vice-Chairman, appointed by the Minister of Mines, and twelve
other members. Four members shall be elected by ballot by the
workers, and the remaining eight members shall be appointed by
the National Mining Council as follows:
Four to represent consumers (of whom in iron and steel dis-
tricts two at least shall represent the iron and steel trades,
and in shipping districts two at least shall represent recognized
coal exporters).
Two to represent the technical side of the industry, e.g.,
mining engineering, and
Two to represent the commercial side of the industry — pur-
chase of material and sale of output.
LX
All members shall hold office for three years, and shall be paid
a salary.
LXI
The District Mining Council shall meet at least monthly, and
oftener if need be.
LXII
The District Mining Council shall appoint all mine managers
and all commercial mine managers within its own district.
LXIII
The District Mining Council shall appoint a commercial com-
mittee, and a commercial manager whose duty shall be, subject to
the control of the commercial committee, to arrange for the pur-
chase and supply of stores for any mine and to take steps for the
disposal of the output of coal from his district.
LXIV
The contracts of employment of workmen shall embody an
undertaking to be framed by the District Mining Council to the
effect that no workman will, in consequence of any dispute affect-
ing a district, join in giving any notice to determine his contract,
nor will he combine to cease work, unless and until the question in
436 THE JUDGMENT
dispute has been before the District Mining Council and the Na-
tional Mining Council and those Councils have failed to settle the
dispute.
(iii) THE NATIONAL MINING COUNCIL
N.B. — The object of this part of the scheme is to get a body
composed of members of the District Mining Councils who shall
meet at stated intervals to discuss and advise the Minister of
Mines on all questions connected with the Industry. The Minister
of Mines will be assisted by a Standing Committee of 18 members
elected from and by the National Mining Council, who will meet
regularly for the purpose of superintending the operations of Dis-
trict Mining Councils. The Minister of Mines will sit in and be
responsible to Parliament.
LXV
There shall be established a National Mining Council, which
shall meet from time to time to discuss with and advise the Min-
ister of Mines upon all questions connected with the operation and
management of the industry.
LXVI
The Minister of Mines shall be appointed by the Government,
and shall sit in and be responsible to Parliament. Such Minister
shall superintend the operation of the District Mining Councils
and shall preside over the National Mining Council.
LXVII
The National Mining Council shall be formed as follows : — Each
District Council shall elect one member for every 5,000,000 tons
of output, provided that every district shall elect at least one
member.
LXVIII
The members shall be elected for three years and shall meet
once a year in London, once a year in Edinburgh, and once a year
in Cardiff and at such other times as summoned by the Minister
of Mines. Members shall be entitled to their traveling expenses.
COAL INDUSTRY COMMISSION ACT 437
LXIX
There shall be elected from and by the members of the National
Mining Council a Standing Committee of 18, six of whom shall
retire each year and shall not be eligible for re-election for the
next year. Six shall represent the workers, six shall represent
consumers, and six the technical and commercial side of the
industry.
LXX
The Minister of Mines shall be entitled, after consulting the
Standing Committee, to veto any resolution come to either by a
Local Mining Council or a District Mining Council, and in the
event of his so doing he shall state publicly his grounds for so
acting.
LXXI
No national alteration of wages shall be made without the con-
sent both of the Minister of Mines and the Standing Committee.
LXXII
The contracts of employment of workmen shall embody an
undertaking to be framed by the District Mining Council to the
effect that no workman will, in consequence of apy national dis-
pute, join in giving any notice to determine his contract, nor will
he combine to cease work, unless and until the question in dispute
has been before the National Mining Council and that Council has
failed to settle the dispute; provided that on the written request
of 15 members of the National Mining Council the Minister of
Mines shall convene a meeting of the Council within one month.
(iv) FINANCE AND PUBLICITY
LXXIII
The finances of each district shall be kept entirely separate, and
a return in the approved form shall be sent to the Minister of
Mines once a quarter.
LXXIV
An approved system of auditing shall be established for all ac-
counts.
438
The Treasury shall not be entitled to interfere with or to have
any control over the appropriation of moneys derived from the
industry. The said moneys shall be kept entirely separate and
apart from other national moneys, until the profit accruing from
the industry is periodically ascertained and paid into the Ex-
chequer.
LXXVI
It being of vital importance that the Mines Department should
be managed with the freedom of a private business, the present
Civil Service system of selection and promotion by length of serv-
ice, of grades of servants, of minuting opinions and reports from
one servant to another, and of salaries and pensions, shall not
apply to the servants attached to the Mines Department.
LXXVII
The Minister of Mines shall cause the following statistics to be
made public:
(a) the quarterly financial return from each district;
(6) the output from each district;
(c) the number of persons employed above and below ground;
(d) the cost per ton of getting and distributing coal, showing
proportion due to wages, material, management, interest,
and profit;
(e) the amount of coal produced per man per shift;
(/) the amount of absenteeism.
LXXVIII
Pending the acquisition of the coal mines by the State, the col-
liery owners shall continue to have and be subject to the rights
and liabilities conferred and imposed upon them by the Coal Mines
Control Agreement (Confirmation) Act, 1918, or any statutory
provision that may be substituted therefor as suggested in the
Interim Report of the 2oth March presented by me and my three
colleagues, or otherwise.
COAL INDUSTRY COMMISSION ACT 439
For providing for safety, health, and research there shall be a
corps of officers, as set out in the following paragraphs.
LXXX
For safety, the present system of Chief Inspector and Divisional
Inspectors shall be continued, and such inspectors shall continue to
perform the same duties as their predecessors, but the number of
inspectors shall be increased and shall be in proportion either —
(i) to the area, or
(ii) to the number of men employed, as, for example, one
inspector to, say, 5,000 men.
LXXXI
The appointment of such safety inspectors shall be made by the
Minister of Mines, to whom the inspectors shall report and be
responsible.
LXXXII
For health, there shall be appointed central and local inspectors
of health as distinguished from safety, who shall be charged with
the superintendence of the health and convalescence of colliery
workers.
LXXXIII
The appointment of such health inspectors shall be made by the
Minister of Mines, to whom the inspectors shall report and be
be responsible.
LXXXIV
For research, there shall be attached to the Ministry of Mines
a Research Section for the purpose of carrying out departmental
research work in safety, health, and economies in mining.
LXXXV
The appointment of such research staff shall be by the Minister
of Mines.
440 THE JUDGMENT
(vi) ADMIRALTY COAL
LXXXVI
The Admiralty and the War Office shall be entitled to requisi-
tion coal at any mine at a pit-head price equal to the lowest price
charged to any consumer.
(vii) THE EXPORT TRADE
LXXXVII
Any person shall be entitled to purchase coal for export from
any mine in the same way as he would have been entitled had
such mine remained in private ownership.
LXXXVIII
The State shall not make or give any undue or unreasonable
preference or advantage to, or in favor of, any particular persons
desirous of purchasing coal for export, nor shall the State subject
any particular person desirous of purchasing coal for export to
any undue or unreasonable prejudice or disadvantage whatsoever.
LXXXIX
Any exporter to whom coal is sold for export shall divide all
profits over is. per ton equally with the District Mining Council.
JOHN SANKEY.
20 June, 1919.
CHAPTER II
GOVERNMENT OFFER TO RAILWAYMEN
MR. JAMES H. THOMAS, secretary of the National Union of Rail-
waymen, announced on November 16, the Government scheme of
"joint control."
He said that there would be a Joint Board composed of 5 gen-
eral managers and 5 railwaymen (3 from the National Union of
Railwaymen and 2 from the Associated Locomotive Engineers
and Firemen). This corresponds to the old conciliation boards,
though with wider terms of reference.
A Committee of Appeal, composed of 12 members — 4 represent-
ing the men, 4 the companies, 4 the public, and an independent
chairman. This corresponds to the old Arbitration Boards, Com-
mittee on Production, Industrial Commissions, and Wages Boards.
Local committees for local disputes.
Four railwaymen to join the Railway Advisory Committee,
which is composed of 12 general managers. This representation
has been granted for years in certain industries.
Over all this remains in control the Ministry of Transport.
In making the announcement of this Government scheme, Mr.
Thomas said:
" Now, it is first proposed to set up a joint board on the railways —
on each railway, not on each system, but a board composed of five
general managers and five from the Associated Locomotive Engineers
and Firemen and the N. U. R. Three of these latter five will
represent ourselves, and two will act for the Associated Enginemen.
These ten people will be charged with the responsibility of conducting
negotiations in connection with the conditions of service. Nothing
whatever will be exempted from their consideration. That is to say,
we have not the old boggle of limiting ourselves to hours and wages.
The ten — five from each side — will have plenary powers, but only in
the sense that the men's side would be subject to their Executive
Committee. In the event of their failing to agree they will have the
right to call in another body.
"It is no use disguising the fact that, in the event of a railway
dispute, there is a great public opinion. That ought to be considered,
441
442 THE JUDGMENT
and in the event of a failure on the part of these ten (five from
either side) they will be able to refer the matter to another body of
twelve — four from the men, four from the railway companies, and
four from the public. But the working men are as much the public
as the capitalists are, and therefore, as regards two of the four, one
will be a Trade Unionist not connected with the railways and another
will be a representative of the great co-operative movement. In other
words, you will be able to bring to the review of your case a tribunal
on which the public will be represented. There will be an independent
chairman. We want you, however, clearly to understand that, while
they will be in a position to give recommendations and to advise and
suggest, neither body will have the power of taking away the right to
strike so far as the men are concerned. But obviously we would not
strike while a matter was being considered.
" That, in my judgment, is a first step towards some real machinery
for dealing with working conditions. But as railwaymen you know
perfectly well that there are thousands of things that happen locally
that are not national, but are peculiar to a district of a town or a
particular grade. In addition to what I have said, there will be set
up local machinery that will enable you locally to meet an equal
number of the managerial side and deal in the same way with all
local grievances that may arise. This will be of paramount impor-
tance to you, and will enable you to feel that you have some machinery
in connection with which, on questions of discipline, you will have a
free and absolute right of bringing in as your advocate not an
employee of the company, but your own Trade Union official, whoever
he may be, and chosen as you desire. That, so far, will be your new
machinery.
" But I have always believed, and I still believe, that the working
classes can give by their practical experience, by their knowledge, and
by their everyday work, something to the better government of any
business. I deny the possession of a monopoly of brains by the
employing classes, whoever they are, and I have never hesitated to
affirm that to general management the workers could contribute much.
Therefore, in addition to the scheme that I have just outlined, dealing
with hours and wages, three members, two from our Union and one
from the Associated Union, will join the Railway Advisory Com-
mittee, with co-equal powers to the general managers who sit there
themselves.1
"That is not only an innovation, not only a new departure, but it
enables you to compare the position now with the position a few
brief years ago, when, in Bristol, I was pleading for what is called
1 Later, 4 members (one from the Qerks).
GOVERNMENT OFFER TO RAILWAYMEN 443
official recognition. It is a change for the good. It shows the power
of organized Labor, and it is up to you to prove that the experiment
can be justified.
"While I should be foolish to suggest that this scheme will render
strikes impossible, I must seriously say that the new machinery, if
properly worked in a fair and genuine spirit on both sides, will do
much to make Trade Unionism not only a means of improving the
men's condition, but also to insure smooth working on the railways
of the country.
" I hope and believe that the railwaymen will accept the scheme not
as their final goal, not as the last word, but as one more stepping-
stone in the path that will enable us to say that as workers we have
co-equal power and co-equal authority in management. I hope also
that within a few weeks we shall be able to make an announcement
about the new standard conditions, but I would ask you to keep
clearly in mind the difficulty that we have to face owing to the
multiplicity of grades and companies. We must stabilize as far as
possible on one basis. The statements you have heard recently about
the cost of living coming down are mere moonshine. I am convinced
the tendency in the coming winter will be the other way. It is no
use talking about the old pre-war standard. The railwaymen intend
to keep the Prime Minister to his word. It is our duty to be not
only audacious, but our right to share in the new heaven and the new
earth that politicians have long promised us.
" The workers have to realize that side by side with their industrial
machine must they have political action. The results of the municipal
elections, the results of our own strike, and the consolidation of
Labor are a clear indication that before long Labor is destined to
govern this country."
On December 8, 1919, Sir Eric Geddes, on behalf of the Gov-
ernment, announced:
" 1. The present negotiations of wages.— On this no public statement
can yet be made. I fully appreciate the anxiety of the House, and
will make a statement at the earliest possible moment.
"2. An arrangement has been come to between the Government and
the two unions concerned in the conciliation grades on the railways
that, apart from the present negotiations, questions of wages and
conditions of service shall, during the period of the present control of
railways under the Ministry of Transport Act, be dealt with by a
central board, consisting of five railway managers and five repre-
sentatives of the trade unions, the latter being composed of three
from the National Union of Railwaymen and two from the Associated
444 THE JUDGMENT
Society of Locomotive Engineers and Firemen, with power to each
side to add a sixth member. Failing agreement by this central board,
matters in dispute falling into the category mentioned — wages and
conditions of service — will be referred to a national wages board,
consisting of four railway managers, four railway workers, or their
representatives, and four users of railways, of which one shall be
nominated by the Parliamentary Committee of the Trades Union
Congress, one by the Co-operative Union, one by the Federation of
British Industries, after consultation with other industrial organiza-
tions, and one by the Association of Chambers of Commerce after
similar consultation, with an independent chairman appointed by the
Government.
"It has been agreed by the unions concerned that no strike shall
take place on account of a dispute arising on these matters until one
month after the question in dispute has been referred to the National
Wages Board. Local committees, to which matters of purely local
and other than national importance are to be referred, will be set up,
and discussions are taking place at the present time as to their con-
stitution, scope, and function.
"3. The third matter which is forming the subject of conversation
by railwaymen is their representation in connection with the control
exercised under the Ministry of Transport Act. The Railway Execu-
tive Committee as such will cease to exist, probably on January i,
and an advisory committee will then be set up, which will consist of
twelve general managers and four representatives of the workers."
Will the new Railway Advisory Committee really run the rail-
ways? On December 10, 1919, Sir Eric Geddes said:
" During the war the railways were under the control of the Gov-
ernment, but, in fact, they were self-controlled, because the machinery
through which the Government exercised its powers was placed in
the hands of the General Managers of the Companies. From ist
January, 1920, the control, in so far as it now exists, will be exercised
by the Ministry of Transport, and the financial checking, which had
been so ably carried out by the Companies on each other on behalf
of the Government during the war, will now, to a greater extent, be
supervised by the Ministry and its financial officers. Instead of there
being, as some people thought, a greatly-increased control, the rail-
ways will, to a greater extent, be controlled by their own management.
It will be necessary, under the present abnormal conditions, that the
State should take a very large part of control in the wages question
and in rates and fares."
GOVERNMENT OFFER TO RAILWAYMEN 445
So this Railway Advisory Committee will not run the railways,
but will make suggestions. Sidney Webb states that railway
directors with whom he had talked believe that the system will
be turned back into private hands within a couple of years. Sir
Henry Thornton, a member of the Railway Advisory Committee,
has made this public statement :
" Nationalization of the railways is now only a remote possibility.
On the resumption of normal conditions British railways will be
operated upon a plan that lies between nationalization and private
ownership. The individual companies will continue to administer the
separate lines with representatives on and acting in conjunction with
a central board, composed of Government representatives and repre-
sentatives of railway labor. The new scheme will come into operation
in about eighteen months."
SECTION V
THE PUBLIC
CHAPTER I
THE ENGLISH MIDDLE CLASS
THE Middle Class has long been in control of English life. It is
possible now to write its history and show its qualities. And it is
possible because the Middle Class is passing. Lying between lords
of the soil and laboring men, or great nobles and rabble, or wealthy
and poor, or cultured and uneducated, or capitalists and artisans,
" The Middle Class is that portion of the community to which
money is the primary condition and the primary instrument of
life." For all my quotations (except where otherwise stated) I
am indebted to a recently published volume on The English Middle
Class, by R. H. Gretton, author of The King's Government.
• The first stirrings of consciousness in the Middle Class came in
the thirteenth century when " the conception of profit began to
replace that of payment for the exercise of skill. Among the
actual workers at a trade the weavers probably set on foot the
change. Some of them, instead of weaving the wool brought to
them, and then handing it over to the fuller and the dyer, would
conceive the idea of buying wool, weaving it, paying the fuller and
the dyer to work upon the fabric without handing over possession,
and finally taking it back to sell at an inclusive price which was
not merely the cost of the three processes."
" Now here we have at work a clearly financial conception, that
of trading profit. It depended upon a new idea of the power of
money. To put the case baldly, the possession of money by one
man was seen to be an opportunity for taking advantage of
another man who had none."
Inside the realm of King and lords, Church, yeomen, and peas-
ants, there grew and spread this new secretive inexpressive estate
of the Middle Class. Always keen in its instinct for profits, and
in its class consciousness, it perceived as early as the fifteenth
446
THE ENGLISH MIDDLE CLASS 447
century "the possibility of another kind of localizing of profits,
keeping them, not to this or that town so much as to a certain
stratum of the community." So developed two germs of evil —
"one, the creation of a wholly dependent working class, and the
other the sanction of trading monopoly."
"The change of the fifteenth century was that the capitalist
clothier owned the looms upon which the cloth was made, and the
weaver sank to the status of a hired man. As long as he possessed
his own loom he could work independently; when he used one of
a number of looms belonging to the clothier he had entered upon
the factory system."
" We discern in the Middle Class at its origin a quality which it
has never wholly lost, in spite of many modifications. Its instinct
was to live in a narrow circle, to keep trading profits in the hands
of a group, to make town administration a closely limited entity,
to do anything rather than throw experience into the common
stock. ... It had no brains for anything that happened outside
the limits of a known group of persons."
A gray layer of nondescript people inserted between the landed
aristocracy and the laboring class, it appropriated some of
the " rights " of those whom it shoved to either side. As it rose
into power, it pushed the guild journeyman down into a wage-
earning artisan, and induced him to part with his small freehold
and become a tenant by rent. Industrially and socially the Middle
Class by establishing itself at the center of the currency system
helped to perpetuate the lower class. It plays for its own integ-
rity to be bothered as little as possible by national and civic affairs,
to dodge individual assessments which would reveal its wealth and
therefore its power. Shy of public appearance, content for long
with wealth, leisure and security, though later risking security to
gain social recognition, at all times to the present day it has
guarded the hen that lay the golden eggs. And the hen was the
control of the money. With money, it bought skill, took over
the ownership of tools and machines, established itself on the land
and took rent, controlled the product of labor and therefore the
profits, and by the manipulation of money appropriated interest.
In return for exacting this various tribute from the community,
it fulfilled essential functions. In the higher values, it laid the
foundation of grammar schools and aided in developing endowed
schools and free education. It contributed to the building of the
448 THE PUBLIC
great cathedrals and the exquisite parish churches. It failed in the
spacious Elizabethan days to rise to true national consciousness
and so failed to give great names in artistic and patriotic expres-
sion in an age of great names (Sidney, Shakespeare, Raleigh,
Drake, Jonson, Frobisher, Bacon, Pembroke). But at a later time,
the neutral leisure of the Middle Class, with its detachment from
the common weal, served it well, for in its irresponsibility (some-
times with the aid of the fixed independent income of which
Darwin speaks) " it produced men who led the way to making lit-
erature and art professions for men of genius, and not mere
dependencies of the rich." Soon, to be sure, its scions bit the hand
that fed them, and " the artists, the poets, the novelists of the
nineteenth century were nearly all middle-class men who turned
more or less bitterly upon their origins, and helped to heap scorn
upon the Middle Class."
For long, there was practically only one kind of Middle Class —
a middleman class. Then it split up into large Capitalists who
were landowners as well as merchants; a lower rank of traders;
lawyers; secretaries and clerks. "Craft jealousy and secretive-
ness being translated into the sheer competitive individualism
which was increasingly to characterize the Middle Class. But it
was the same secretive spirit in a new form."
" The Middle Class could stand for nothing, because it had al-
ways stood for itself alone."
Inexpressive in art and warfare, aloof from politics, devoid of
national consciousness, unimaginative, unheroic, without logic,
without science, it has moved on its middle way, serving England,
developing trade and commerce, adapting itself to new frontiers,
fulfilling the necessary function of shopkeeper through changing
eras, providing a framework upon which the national life broad-
ened down from age to age, linking a mixed society, and " keeping
things together " for six centuries.
When the twelve million of needy wage-earners can no longer
find work to do or bread to eat, will " an upheaval far more terrific
than all the convulsions that rent revolutionary France sweep away
the colossal fabric of England's decaying civilization like a wisp
of straw " ? The rule of the Middle Class has never led to bloody
revolt of the sort let loose in the France of 1789 by the rule of
the nobles. The reason is clear :
" The position of privilege in England was a conscious one,
THE ENGLISH MIDDLE CLASS 449
built up by deliberate, if not wholly intentional, stages; the position
of privilege in France was one of unconscious, unthinking isola-
tion. The French nobleman believed himself to be by divine provi-
dence where he was; the English nobleman never attributed to
the Deity the victories of his own self-assertion. These differ-
ences had, in the lower ranks of the population of either country,
their corollaries. In England there always existed, in however
strained a condition, a tie of mutual comprehension which was
lacking in France. In the ordinary course of events this tie may
have amounted to very little. But at a crisis, it would come into
operation to prevent that feeling of conflict with a force entirely
beyond reason which drove the French nation headlong. The Eng-
lish populace, without ever formulating the situation to themselves,
felt that they understood the basis of the superiority of their own
upper classes; and for all the appearance of exclusiveness, it was
not a superiority behind absolute barriers. The barriers were in
the last resort only relative. There was no claim to any incom-
prehensible ' natural ' rights ; there was only property, held in a
way which any Englishman could understand."
It is the persistence of ancient upper class institutions in an age
that is Middle Class industrial, which has diverted the observer
into thinking that the upper class is in control of the State. But
the Middle Class has always behaved like the gentle snail which,
adrift in a hard world, slinks into the nearest shell, which had
once been the home of a quite other organism. With the exception
of the Cromwell episode, the Middle Class has never attempted to
set up middle-class institutions, preferring to handle existent insti-
tutions " in such a manner as to find a sheltered area for personal
profit under them. It abandoned the attempt to make a middle-
class state, and successfully proceeded to make the State Middle
Class."
It left the old constitutional forms and social organization stand-
ing, with the result that the nation regarded political movements
as the movements of Lords and Commons, instead of the acts of
rich merchants. For over two hundred years, the Middle Class
has influenced public affairs from behind the screen of old forms;
and the upper class of landed gentry, university men and Estab-
lished Church has been held responsible in the public mind for the
operations, actually carried through by the Middle Class. Those
operations included privileged trading, seizure of the land, manipu-
450 THE PUBLIC
lations of taxation, processes of stockbroking. Middle Class life
became an avenue to rank and station. Trade was a source of
wealth instead of a co-operative enterprise. Wages were not a
participation in profits, but the basis of the money-making machine
that ground out profits for a master-class at long distance remove
from the workers. Individualism was thus economic, as well as
moral and political in the Middle Class. " By subscribing to a
public loan they drew interest out of the national needs — the final
triumph of their many manipulations of the taxes." This com-
pleted the process of making England a Middle Class State, be-
cause the security for her finances ceased to be directly the land
or personality and became trading credit. And trading credit it
has remained even through these years of war. With trading
credit comes the National Debt, devoid of tangible security, based
on the national income and structure of credit — a charge against
the labor power of the nation, and therefore a mortgage on the
productivity of the workers held by the Middle Class.
A modern authority on trade states: "The supremacy of the
commercial classes was not favorable to peace. They were bitter
and blood-thirsty in the competition for new markets." The army
was put on a business basis, and " the Middle Class found in it, as
it had managed by degrees to find in most things to which it had
once objected, sufficient scope for money-making." There were
opportunities in contracting for supplies, in profits on army loans,
in a new career for its'sons.
English aristocracy is a recent affair. Omitting entirely the
mushroom growth of business lords, such as Lord Leverhulme, the
late Lord Rhondda, and Lord Northcliffe, who are simply Lord
Morgan, the Duke of Rockefeller, and Earl Harriman, we have
the fact that practically there are no English titles older than the
early Tudor period, and " the highest Class of the eighteenth cen-
tury was made up principally of the families which had risen in
the first land speculation of the Middle Class."
By the eighteenth century it " entirely colored the national out-
look and virtually controlled policy. ... It only gave advance-
ment to brains in so far as they were employed upon affairs of
money. . . . The upper class had become predominantly Middle
Class in substance. The lower class — the workmen, artisans, and
laborers — were securely enchained. Administration was in the
hands, or at least at the service, of the masters of trade and
THE ENGLISH MIDDLE CLASS 451
industry; the ancient rights and safeguards of the workman had
been deliberately allowed to become obsolete."
The American civilization, like that of the English, is Middle
Class. The ruling class with us is " that portion of the community
to which money is the primary condition and the primary instru-
ment of life." Middle class psychology colors our national outlook
and controls our policy, gives advancement to brains in part as
they are employed upon affairs of money, directs the workmen,
artisans, and laborers, stands at the levers of the giant machinery
of production and administration. The difference is that we have
no ancient screen of Church and landed gentry and Crown and
Lords to cover the operations with the mediaeval mistiness of
blurred tapestry. Slowly with us, too, the fight defines itself as
one between the Middle Class, entrenched by its control of the
currency, and those members of the community who aim at demo-
cratic control. The Middle Class is losing power, because it has
allowed machinery to gather large masses of workers in cities and
so has created a counter-organization.
Ownership of land and possession of titles made an upper
British Middle Class. " Gentility became simply a description
of a certain command of the conveniences and luxuries of
existence." And the upper stratum dissociated itself from its
origins and from the processes by which it had made money.
Under this upper stratum the modern manufacturers thrust into
prominence, laying hold of power because they had money through
their control of machinery, coal, and iron, the new banking sys-
tem, and the subdivisions of labor. " The brief by-product in
England of the Rennaissance of Learning expired as soon as the
Middle Class had decided upon gentility as its goal." Never at any
time in its long history has the Middle Class possessed appreciation
of the intellect. We are prone to indict the nineteenth century for
its commercialized and scornful estimate of pure thought, research,
artistic creation, moral values. But that is only because the Middle
Class entered upon the full control of society in the nineteenth
century. In its earlier history, also, it had believed that " to expect
to gain a livelihood by one's brain otherwise than in using it for
the production of commodities was impertinent." From the mer-
cantilism of the eighteenth century to the industrialism of the nine-
teenth and twentieth centuries was no great jump, economically,
nor did it require violent mental adjustments. The secretive indi-
452 THE PUBLIC
vidualistic psychology of the Middle Class merely became visible
to observers for the first time in seven centuries.
What the nineteenth century did accomplish was to render more
distinct and aristocratic the upper stratum of the Middle Class. It
looked down upon the busy uneducated modern capitalists and
traders and industrial masters, with their exploitation of wage-
workers and their conception of England as a successful trader.
The upper stratum finally separated itself so thoroughly from its
origins as itself to use the title Middle Class for those same capi-
talists, traders, and industrial masters. It was no idle dream that
made certain Tory statesmen force a union of the workers and the
landed gentry against that dull ungracious strenuous element in
the community to which money was the primary condition and the
primary instrument of life, which shirked public service and con-
tributed few generous ideas and sentiments to either local or na-
tional life. Thus in its old age, the Middle Class was left naked
in the sight of its enemies, and its form and lineaments were felt
to be unlovely, its philosophy dreary, its power unjust. Increas-
ingly it is losing control of the nation. It is no answer to this
fact of its diminishing power to say that money has become so
usual that we are all Middle Class to-day. The new forms of
social reconstruction, the principle of democratic control, are not
making money the primary condition and the primary instrument
of life. They seek to establish the principle of function as the
basis of society. If successful, they will abolish the Middle Class.
The fight of the worker to-day is not against the landed gentry,
the ancient Universities, the Established Church — the institutions
of an upper-class system. The real fight of the worker is against
the Middle Class, which secretly and pervasively has been the
actual governing class. It is the governing class because it is in
control of the economic system which conditions the life of the
community. It had swept away the resistances and had under-
mined the institutions of the upper class, because it had control
of money, the primary instrument of industrial organization. It
wasn't democracy that destroyed the Old England — democracy,
that noisy, frank, easily observed foe of caste. It was the ap-
parently innocuous, gently encroaching Middle Class that attacks
from the rear in undetected ways: the faithful pious plodding
Middle Class — the backbone of England — full of domestic virtues,
excellent in individual conduct.
THE ENGLISH MIDDLE CLASS 453
It has always succeeded in the past in conquering opposition
by permeating it. But its sly methods are powerless against the
principle of democratic control. " At the core of most of the
modern attacks upon the Middle Class domination of the State lies
a conception of a national organization without currency. So-
cialism and Collectivism proceed on an assumption that in the
perfect State there would be no coinage of intrinsic value, but
only some form of token for work done, exchangeable against a
supply of the necessaries of life. In other words, in order to get
rid of a Middle Class, it would be necessary, on these theories,
to get rid of what we understand at present by currency; which
is, from the reverse side, a striking confirmation for our theory
that currency has created the Middle Class." The critique of the
National Guildsmen on the wage-system is an expression of the
same instinctive attack on the Middle Class. Against this assault,
the Middle Class is powerless, because it is being deprived of its
only weapon.
Under the amazing economic shifts of the war, the phrase
" middle class " has quite ceased to be a true distinction of rank,
and " has become virtually a description of character." How
could it be otherwise when the tax rate opens its ponderous jaws
ever wider toward the conscription of riches? The movement
towards " workers' control " grows stronger with each year, and
workers' control is not a power given by the instrument of money,
but by the exercise of function.
In making a description of character, we have a right to
wander freely in the fertile fields of social psychology. For
middle class is the tag we use for labeling what is offensive,
unimaginative, blandly complacent, Puritanic, materialistic, com-
mercialized, and humdrum, in recent civilization. The Middle
Class has built for its workers and fcr itself what Emile
Hovelaque calls " the monotonous succession of smoke-grimed
cubes of brick, all similar and sordid, a symbol of the sordid
similar lives they shelter; the endless lines of wretched homes
which all round London, all over the greater industrial centers,
endlessly repeat, with the insistence of a maniac, their somber
invariable rectangles, cluster on cluster, mile after dreary mile of
mean and crushing hideousness, as though some spawn of insect
life had settled there and swarmed. Is it in order to produce an
architecture no higher than that of a coral reef, to bring into
454 THE PUBLIC
God's light such forms of life, such visions, such monotonies of
hideous depression that a society is born ? "
Spiritually how has it been with the Middle Class? It has re-
vealed "the epic of the Will which all English history unfolds."
It possesses the somber Sunday, day of rest and sadness, moral
virtues, earnestness, a prim conventionality, a sense of duty some-
times leaden in its petty severities, sometimes resolute in its
heroism, narrowness, love of action, the love of home and the
passion for adventure, " a gospel of conduct which," as Hovelaque
says, " can give its disciples the possession, not only of this world
but of the next, a monopoly of salvation and of Trusts — an
extraordinary mingling of practical and religious impulses, in turn
pitilessly realistic, and profoundly mystical, at once selfish and
disinterested, which inspire the soul of a Cromwell or a Cecil
Rhodes." The roots of the spiritual strength of the Middle Class
have been " in its Faith, and they draw their nourishment from
that extraordinary book, the Bible, whose fortune in England has
been so startling, and whose influence on the destinies of the
race all recognize."
As we speak the phrase " Middle Class," we see rise the mis-
shapen Chapel in a mean street, we hear the wheezing organ
lifting the hymn. We remember denunciation of Papists and the
immoral French. We see severity and ugliness, indifference to
ideas, a distrust of beauty. Arnold and Arnold Bennett have done
their work well. As in our use of " Mid-Victorian," we are ex-
pressing a revolt. A good deal of what critics are banging at
when they chastise England is " middle-classness." And middle-
classness is not peculiar to England. The English form is merely
a little more pious and a little drearier than that of other nations.
We could write a volume on middle class as a description of
character. But really what we should be writing would be the
record not of a middle class, economically defined and placed in
history, with a documented membership, but of our own subjec-
tive reaction to modern industrial civilization. It is time to
recognize that the Middle Class is losing its control of industrial
civilization.
CHAPTER II
ORIGINS OF BRITISH SOCIALISM
A CERTAIN few books must be read in order to catch even a
glimmering of what is working out in Britain. For no hasty
change is under way but a long-prepared event. From the thir-
teenth century the ideas now prevailing have simmered and
worked in British consciousness. These ideas were defeated and
suppressed, but they were the projection of an ineradicable instinct,
the instinct for equality. And now at last they emerge from their
long subterranean burrowing, and become the " arbiters of event."
The history of the next one hundred years will see these ideas
shaped into legislation, built into institutions, and incarnated into
an equalitarian society. To understand even a little of the British
social revolution, now in its gentle prelude, one must at least have
digested work of the Webbs, Graham Wallas, and the Ham-
monds, and the reports of many committees and commissions.
And »for understanding one stream of the thought that is re-
making Britain, we have Max Beer's History of British Socialism.
The quotations that follow are from this work, of which one
volume has already been translated into English.
In his preface, Beer says:
The English intellect, from its sheer recklessness, is essentially revo-
lutionary, probably more so than the French intellect. But since 1688
it has been the endeavor of English Statesmen and educators to impart
to the nation a conservative, cautiously moving temper, a distrust of
generalization, an aversion from carrying theory to its logical con-
clusions. ... In periods of general upheavals, however, when the
dynamic forces of society are vehemently asserting themselves, the
English are apt to throw their mental ballast overboard and take the
lead in revolutionary thought and action. In such a period we are
living now. Since the beginning of the new Century a new England
has been springing up. ... The masses are joining issue with the
classes upon the question of a redistribution of wealth and power.
A new Chartist movement has arisen and is daily growing.
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456 THE PUBLIC
Political Socialist labor and revolutionary trades unionism
have sought to substitute for the motive of personal profit and
the method of unrestricted competition some principle of organi-
zation more social and free. And the ideas back of this move-
ment are, as R. H. Tawney says, " not antiquarian curiosities, but
a high explosive, and an explosive which has not yet been fired."
Beer says that his twenty years' residence in England taught
him " how high an elevation of political and moral culture a nation
must reach before it can embark on a socialistic reconstruction
of society." All that makes the transfer of economic power in-
evitable took place through long years. The final steps in the
process were education, accessions to trade union organization,
and the Electoral Acts. The machinery of economic and of po-
litical power had thus been given to the working class. Remains
only the Act of Transfer. A revolution is the spectacular and
relatively unimportant ceremony of handing over the Keys of
power to the new masters. If the real work has not been pre-
viously accomplished, no bloody uprising can bring it to pass, no
rule of a minority can maintain it.
Beer deals with the argument of those who oppose next steps
and social reforms on the ground that they take the place of
fundamental measures.
Strictly considered this argument is directed not only against
parliamentary action, but against every kind of reform short of
revolution. It may be applied to factory legislation, to social
insurance, to trade unionism, and generally to all measures that
are aiming at amelioration. The error into which William Morris
fell, lay in regarding society as a mechanical contrivance, and reform
as a sort of patching up some defective parts of the machine. This
mode of viewing society allows of no other remedy than the complete
removal of the old machine and its replacement by another of a quite
different pattern. In reality, society is not a mechanical contrivance,
but a living organism in constant change and development, an organi-
zation capable of being developed into a higher form by legislation
and other measures granted to a new class rising in importance and
power in society. At first the influence of such reforms on the social
structure may be imperceptible, but with the increase of the quantity
of refi -ms, the alteration in the quality of society grows apace, until
it amounts to a revolutionary change, visible to all. Great social up-
heavals which are designated revolutions are the effect of the sudden
entrance of the revolutionary transformation into the region of poli-
ORIGINS OF BRITISH SOCIALISM 457
tics, or of the peremptory demand of a large portion of the nation
to give legal effect to it and redistribute political power accordingly.
The real revolution had been going on more or less silently for a long
time anterior to the upheaval, but it having been split up in particular
changes and reforms effected during long intervals, there was no con-
siderable resistance to its growth. The revolution in its dramatic or
sensational form is but an attempt to add up the particular changes
and reforms and bring out the sum total. The revolutionary character
of a reform does not depend on its volume and sweep, but on its
direction and nature. In our time, for instance, any reform is revo-
lutionary which tends to strengthen the working class and which makes
for national control and centralization of the means of production,
distribution, and exchange.
Liberalism was the creed of the middle class : — Free trade, free
speech, freedom of contract, freedom of the person. Liberal
politics dies with the middle class; and the final line-up between
the privileged and the disinherited begins.
In recent years, books which have moved the masses, shaped
their instinctive action, and prepared them for this final line-up,
have been (among many) Fabian Essays and Tracts, Henry
George's Progress and Poverty, Blatchford's Merrie England and
Britain for the British, Chiozza Money's Poverty and Riches,
Orage's National Guilds, Cole's Self Government in Industry.
But these are only recent ripples of a tide that is age-long.
Trade unionism as the instrument for overthrowing the economic
system, rather than merely bettering the condition of the worker
inside it — this is essentially British doctrine dating from the
1 830*8. The conception held so earnestly by opponents is essen-
tially a German conception. It believes in progressive betterment
under the existing order. It derives from the German belief in
the supremacy of the State, its unalterable nature, its perpetual
unchanging sovereignty. The State to such minds is a foundation
and a framework inside which the inhabitants may remodel the
rooms, shift the furniture and decorate the walls. But they must
not tinker with the underpinning.
The British radical, however, has always challenged the su-
premacy of the State from Gerrard Winstanley to Bertrand
Russell. He has held that he could reconstruct the affair from the
ground up, and build a more stately habitation for his soul. This
quality of his mind is the result of a long process:
458 THE PUBLIC
From the thirteenth century to the present day the stream of so-
cialism and social reform has largely been fed by British thought and
experiment. Mediaeval schoolmen and statesmen, modern political
philosophers, economists, poets, and philanthropists of the British Isles
have explored its course and enriched its volume, but left it to writers
of other nations to name and describe it.
And the ideas which nourished this range and freedom of mental
life go still further back to the Roman Empire and primitive
Christianity. The doctrines of the state of nature and of natural
rights are based on an idealization of the primitive conditions of
tribal society. Private property and civil dominion appear as the
origin of evil. In modified legal form, this became natural law
(jus naturale).
The philosophy of natural rights and natural law passed over
into Christian theology. According to Saint Isidore of Seville:
Jus naturale, is common to all nations and it contains everything that
is known to man by natural instinct and not by constitutions and man-
made law, and that is: the joining together of man and woman, pro-
creation and education of children, COMMUNIS OMNIUM POS-
SESSIO, ET OMNIUM UNA LIBERTAS, the acquisition of things
which may be captured in the air, on the earth and in the water, resti-
tution of loaned and entrusted goods, finally self-defense by force
against violence.
This definition of jus naturale contains, says Beer, first, the
usual characteristics as given in the Institutes; secondly, the doc-
trines concerning the state of nature (communism and universal
equal liberty).
The influence exercised by that system of thought in the develop-
ment of English, and generally European social and political specula-
tions could hardly be overestimated.
Thus, we have John Ball1 (as quoted in Froissart), saying:
1Died 1381. This was the age of the Peasants' Revolt. There was
a later peasants' rebellion in 1449, with Jack Cade in command. Fifty
years later, the Cornishmen rose, and in 1516 Sir Thomas More wrote
his Utopia, a Communistic criticism of social conditions. In 1549 half
of the English peasantry were in insurrection " to vindicate their
natural right to the soil and to the fruits it yielded to their labor. It
ORIGINS OF BRITISH SOCIALISM 459
" My good people, — Things cannot go well in England, nor ever will,
until all goods are held in common and until there will be neither
serfs nor gentlemen, and we shall all be equal."
By 1550, Communism lost its sanction in Church and State, and took
refuge with the extreme wing of Nonconformity, revolutionary ration-
alism, and working class organizations, while society at large moved
towards individualism, whose first manifestation was the Elizabethan
Age — an age of (pioneers, men of keen initiative. Its great inter-
preters, Spenser and Shakespeare, were both anti-communist and anti-
democratic.
The Diggers or True Levellers led a revolt of ideas, beginning in
1648. Gerrard Winstanley was the heart of the Digger Movement.
The industrial revolution (dating from about 1760) was ag-
gravated by the Napoleonic wars.
The experience necessary to mitigate the miseries and pains attendant
upon such a readjustment of society was wanting, and the empirical
go-ahead, not to say recklessly daring nature of the English mind, was
not apt to pause and inquire into the operation of the new economic
phase the nation was entering upon. . . . The terrible decade 1810-20,
the Luddites, the Spenceans, the Blanketeers, the conspiracies, Peterloo,
and Cato Street, were largely due to the errors, perhaps inevitable
errors, committed in the years from 1790 to 1800.
The same agitated period saw the beginning of the independent
political action of the working classes, the London Corresponding
Society (L. C. S.) forming the preface of its history. The
L. C. S. was formed in March, 1792.
The L. C. S. constituted a sort of democratic and social reform
seminary for labor leaders. From it issued most of the ideas and men
that made themselves conspicuous in popular movements up to the year
1820. Thomas Evans, leader of the Spenceans in the fateful years
1816-18, Colonel Despard (executed for high treason in 1805), John
Gales, later a supporter of Owen, Francis Place, and many others
received their education or impulses from the L. C. S. The United
Irishmen, when preparing for the insurrection, entered into communi-
cation with its leaders. By the Corresponding Act, 1799, which pro-
was the last great protest against the destruction of the village com-
munities. Their defeat marks the turning point in the history of Eng-
lish mediaeval communism."
460 THE PUBLIC
hibited all communication between political societies, the L. C. S. was
suppressed but it had already done its work; the movement had spread
to Lancashire and Yorkshire.
In 1810, the Edinburgh Review diagnosed the condition of the
nation in gloomy colors.
The great body of the nation appears to us to be divided into
two violent and most pernicious factions : the courtiers who are
almost for arbitrary power; and the democrats who are almost
for revolution and republicanism. ... If the two opposite parties
are once permitted to shock together in open conflict there is an
end to the freedom and almost to the existence of the nation.
In the present crisis, we have no hesitation in saying it is to the
popular side that the friends of the constitution must turn them-
selves. If the Whig leaders do not first conciliate and then restrain
the people; if they do not save them from their leaders they are
already choosing in their own body . . . the Constitution itself,
the Monarchy, and the Whig aristocracy will, in no long time, be
swept away. . . . The nation is on fire at the four corners. . . .
That the number of democrats is fast increasing with a visible and
dangerous rapidity, any man may satisfy himself by the common and
obvious means of information. It is a fact which he may read legibly
in the prodigious sale and still more prodigious circulation of Cob-
bett's Register, and several other weekly papers of the same descrip-
tion; he may learn it in every street of the manufacturing and
populous towns in the heart of the country. . . . The storm is most
evidently brewing over our heads at this moment, and if it cannot
be dispersed before it burst upon them, we do not know where is
our chance of being saved from destruction.
In March, 1812, Parliament passed a law for the protection of
machinery, punishing Luddite actions with death, and in the sec-
ond week of January, 1813, eighteen workmen died on the gallows
at York.
The City of London again became one of the foci of Liberal
thought, and on December 9, 1816, the Common Council told the
Prince Regent that the Government was corrupt and wasteful, and
that the late war was unjust and senseless. Following Cobbett's
cheap Register, a Radical and popular press, mostly weeklies,
appeared, such as Wooler's Black Dwarf, John Wade's Gorgon,
Carlile's Republican.
ORIGINS OF BRITISH SOCIALISM 461
Robert Owen was the central figure of British Socialism in the
first half of the nineteenth century. The shrewd cotton spinner of
New Lanark was reborn as a socialist. Private initiative, he saw,
would give to the laboring poor neither education nor employment.
The general diffusion of manufactures throughout a country generates
a new character in its inhabitants. For the success of this legislative
measure (the Factory Act), Owen worked for three years, until it
was embodied, in form of a compromise with the opposing interests,
in 1819. Owen says : " Manual labor, properly directed, is the source
of all wealth and national prosperity."
Owen, baffled in his ardent desire for immediate and tangible
results, interfered with even in his educational experiments in New
Lanark, failed to notice that he was making proselytes among intel-
lectuals, stimulating several critics, and creating an Owenite school
of thought destined to leave a deep impress on the movement of the
working classes and their socialist leaders.
The reign of George IV marks the rise of Liberalism and the birth
of the modern Labor Movement, political and socialistic. . . . Cap-
italism appeared to be on its trial — Socialism, at its birth, imbibed the
dogma that industrialism meant short spells of prosperity, followed
by chronic crises, pauperization of the masses, and the sudden advent
of the social revolution.
A boundless optimism pervaded the whole Owenite school, and it
filled its adherents with the unshakable belief that the conversion of
the nation to socialism was at hand or but a question of a few years.
The best periodical publication of orthodox Owenism was The Co-
operative Magazine (1826-30), which contains a great amount of con-
structive matter. . . . This is a subject of one of their debates:
" Would the arts and sciences flourish under the co-operative
system?"
In these debates the term "Socialist" must have been coined. It
is found for the first time in The Co-operative Magazine of November,
1827.
The policy of concession in preference to force becomes one of the
main characteristics of the history of the relations between Liberalism
and Labor. The idea of political equality, flowing from a purely
doctrinal and humanitarian source, expresses itself in Parliamentary
measures and softens the clash of antagonistic interests, which orig-
inates in field, factory, and mine, and finds its expression in trade
unionist action. Hence it comes that the economic action of Labor,
in passing through the atmosphere of Liberal Parliamentary politics,
loses its revolutionary edge and temper. The hard-bargaining and
unsentimental capitalist-employer becomes in Parliament a Liberal,
462 THE PUBLIC
and the Revolutionary Labor leader, when elected to Parliament, turns
into a reformer. This is the cause and source of the frictions between
Labor in the workshop and Labor in Parliament. And this is the
cause of the hatred of the ultra-conservative and the revolutionary
against Liberalism. On the one hand, Liberalism facilitates the rise
and movement of Labor, and is, therefore, hated and branded as
subversive by Conservatives; on the other hand, Liberalism prevents
the rising and moving working classes from falling into the extremes
of purely economic and revolutionary action, and is, therefore, hated
and branded as hypocritical, by Revolutionists.
Coleridge wrote:
We have game laws, corn laws, cotton factories, Spitalfields, the
tillers of the land paid by poor rates, and the remainder of the popu-
lation mechanized into engines for the manufactory of new rich men;
yea, the machinery of the wealth of the nation made up of the
wretchedness, disease, and depravity of those who should constitute
the strength of the nation. Meantime the true historical feeling, the
immortal life of the nation, generation linked to generation by faith,
freedom, heraldry, and ancestral fame, languishing and giving place
to the superstitions of wealth and newspaper reputation. Talents
without genius ; a swarm of clever, well-informed men : an anarchy of
minds, a despotism of maxims. Hence despotism of finance in gov-
ernment and legislation . . . and hardness of heart in political econ-
omy. Government by clubs of journeymen ; by saints and sinner
societies, committees, institutions; by reviews, magazines, and above
all by newspapers.
And Beer goes on to say:
The trend of conservative and religious minds towards mediaevalism
became pronounced, as it always will in Christian countries in times
of spiritual and social anarchy, or after a surfeit at the feasts of
reason and materialist conceptions of nature and life. The great
European minds have, since the Renascence, been oscillating between
Olympus and Golgotha, moving to and fro in search either of happi-
ness or redemption.
In spite of the increase in the population of the towns the par-
liamentary representation of the nation in 1830 remained the same in
character as it was in 1760. The entire economic revolution appeared
incapable of affecting the composition of Parliament in the slightest
degree. Only the hardest thinkers of the Lancashire workers, in
particular John Doherty, the leader of the textile operatives, dreamed
ORIGINS OF BRITISH SOCIALISM 463
of creating a political Labor Party with the trades unions for its
units. According to this plan the local and district unions were to be
affiliated for the sole purpose of dealing with matters affecting trades
unions, but all the unions should together form a National Associa-
tion to undertake the emancipation of the working class by means
of parliamentary and socialistic action. This plan only became realized
in the year 1899-1900 by the formation of the Labor Party. It is
obvious that the founders of the Labor Party had no conception
that seventy years earlier the idea of a similar organization had
originated. At that time it remained a mere dream, for during the
agitation for the Reform Bill the workers formed a part of the
political union for the middle and working classes.
The later months of 1831 saw the birth of the idea of a social-
revolutionary general strike. At that time, 1831-32, Benbow
owned a coffee-house at No. 205 Fleet Street, where he penned
his pamphlet on the social-revolutionary general strike. It bears
the title : Grand National Holiday and Congress of the Productive
Classes. It appeared towards the close of 1831 or in January,
1832, and was dedicated to the workers.
It said:
We suffer from over-population, so we are told. Good. Let us
count ourselves ; let us find out the large numbers of the working men
and the small numbers of the privileged class.
We find the term the general strike for the first time in the
Herald of Rights of Industry, April 5, 1834.
Owen made the attempt to displace private industry and competition
by means of peaceful co-operative establishments and wherever possi-
ble by a union between the workers and the capitalists. The object
of syndicalism was to expropriate the capitalists by continued hostili-
ties and to get the factories, workshops, and agricultural industries
into the hands of the trade unionists.
Up to the year 1832 the trades union movement passed through the
following stages of development: organization for the purpose of
mutual support, organization of a single trade for the purposes of
strikes and mutual support, finally organization of allied trades
(trades unions). These economic unions were non-political; their
members were either Tory or Whig, or adhered to Radicalism and
vied with the members of the other classes in struggling for a
definite political program. In any case, the economic unions of the
464 THE PUBLIC
workers only pursued aims which did not go beyond daily interests,
and which did not seriously affect the stability of the prevailing
system of society.
From 1832 onwards the position was changed. The organized
workers became anti-parliamentary for a time. They cut themselves
off from parliamentary politics, not for the purpose of observing
neutrality, but in order to fight against parliamentary action, and to
attain by means of trades unions what had hitherto been only con-
sidered possible of attainment by legislation. At the same time Robert
Owen came on the scene with his anti-parliamentary views and placed
before the trades unions the aim of converting society from capitalism
to socialism by means of productive co-operation.
Owing to its alliance with Owenism, trades unionism assumed a
Utopian character antagonistic to its essential nature. The eco-
nomically organized working class possessed no preconceived system
of society. It regarded class warfare as a means of raising wages
and lowering profits. For the time being it was not concerned
with what would happen if the profits sank to zero. As soon as the
struggle had strengthened the workers' organization sufficiently for
them to checkmate capital, they would take over the business of
production and would conduct it for the benefit of the workers. They
are, to use Henri Bergson's or Belfort Bax's phraseology, alogical.
The motto of the weekly, The Pioneer, was, " The day of our re-
demption draweth nigh." Its editor was James Morrison, a young,
self-taught operative builder, who began with Owenism and ended
with syndicalism. Beyond all doubt, Morrison must be regarded as
the originator of the syndicalist conception of class-antagonism on the
part of the working-classes.
It was proposed in 1833 that a general congress, to sit in
London, was to take the place of parliament and to regulate the
production of the whole country.
The Poor Man's Guardian (1832) wrote of this general period:
A spirit of combination has grown up among the working classes
of which there has been no example in former times. A grand
national organization which promises to embody the physical power
of the country, is silently, but rapidly progressing; and the object
of it is the sublimest that can be conceived, namely — to establish for
the productive classes a complete dominion over the fruits of their
own industry. Heretofore, these classes have wasted their strength
in fruitless squabbles with their employers, or with one another. They
have never sought any grand object, nor have they been united for
those they sought. To obtain some paltry rise, or prevent some paltry
ORIGINS OF BRITISH SOCIALISM 465
reduction in wages, has been the general aim of their turn-outs; and
the best result of their combinations, even when successful, was
merely to secure their members against actual want in the day of
sickness, or of superannuation. These and the like objects were only
worthy of slaves ; they did not strike at the root of the evil ; they
did not aim at any radical change; their tendency was not to alter
the system, but rather to perpetuate it, by rendering it more tolerable;
nay, they in some respects only aggravate the evils of the workman's
condition, as for instance, in benefit societies, of which the tendency
is to pinch the bellies and backs of the contributors to the fund, in
order to save the poor-rates, that is to say, the pockets of the affluent
classes, from the just claims of brokendown industry. An entire
change in society, — a change amounting to a complete subversion of
the existing " order of the world " — is contemplated by the working
classes.
Beer's comment is that all this has a remarkably modern sound.
In general, ever since 1833, the whole phraseology is modern. The
terms social democrat, trades unionism, strike, general strike,
bourgeoisie and proletariat, politics and anti-politics, class-warfare
and solidarity of classes, etc., have been in general use ever since
that period. Occasionally, and especially in reading The Poor
Man's Guardian and the Pioneer, it is possible to imagine one's
self transferred to the present day.
The incompatibility between peaceful socialism and fighting
syndicalism, hitherto hidden and unrecognized, began to make
itself noticeable from about the end of 1833.
The Crisis wrote — April 12, 1834:
The immediate consequences of any attempt to crush the efforts of
the popular mind, at this present juncture, will be a most resolute
determination on the part of the people to legislate for themselves.
This will be the result. We shall have a real House of Commons.
We have never yet had a House of Commons. The only House of
Commons is a House of Trades, and that is only just beginning to
be formed. We shall have a new set of boroughs when the unions
are organized; every trade shall be a borough, and every trade shall
have a council of representatives to conduct its affairs. Our present
commoners know nothing of the interests of the people, and care
not for them. They are all landholders. How can an employer
represent a workman? There are 133,000 shoemakers in the country,
yet not one representative have they in the House of Commons.
According to the proportion they bear to the population they ought
466 THE PUBLIC
to have twenty-five representatives. The same is with carpenters and
other trades in proportion. Such a House of Commons, however, is
growing. The elements are gathering. The character of the Re-
formed Parliament is now blasted, and, like the character of a woman
when lost, is not easily recovered. It will be substituted by a House
of Trades.
A writer in the Pioneer (1834) said:
. . . The growing power and growing intelligence of trades unions,
when properly managed, will draw into its vortex all the commercial
interests of the country, and, in so doing, it will become, by its own
self-acquired importance, a most influential, we might say almost
dictatorial, part of the body politic. When this happens we have
gained all that we want; we have gained universal suffrage, for if
every member of the Union be a constituent, and the Union itself
becoming a vital member of the State, it instantly erects itself into
a House of Trades which must supply the place of the present House
of Commons, and direct the industrial affairs of the country, according
to the will of the trades which compose the associations of industry.
This is the ascendant scale by which we arrive at universal suffrage.
. . . With us, universal suffrage will begin in our lodges, extend to
the general union, embrace the management of trade, and finally
swallow up political power.
Again, another writer in the Pioneer (1834) said:
Social liberty must precede political liberty. While we are in a
state of social slavery our right would be exercised to the benefit of
our tyrants, and we should be made subservient to the parties who
work for us for their purposes. No, before the horse is turned out
to enjoy freedom in the green meadow, he must be unharnessed from
the shafts of the wagon ; the galling rein that holds back his neck in
the collar must be loosened, the bit must be taken from his mouth,
and the collar itself from his shoulders; nor will he go forth
in the valley rejoicing in his strength, while the limber of the gear
hangs over his loins and encumbers his feet. To say, indeed, we shall
never be free until we have universal suffrage is saying nothing more
than we shall never be free until we are free. . . . Our position,
brethren, is not political, and it cannot become political with any
benefit to ourselves until we have found means to obtain a greater
independent weight in society. This can only be the result of Unions.
The workers tried to form the One Big Union — the "Grand
National Consolidated Trades Union" (1834).
ORIGINS OF BRITISH SOCIALISM 467
The employers, the press, and the State, attacked it. The law
courts convicted. Lock-outs and strikes exhausted some of the
funds. Officials embezzled some of the rest. The labor leaders
quarreled. In 1834, the One Big Union smashed.
John Francis Bray sang the requiem of the syndicalist move-
ment.
He wrote:
The capitalist and the employer have always ultimately been too
strong for them ; and trades unions have become, among the enemies
of the working class, a by-word of caution or contempt — a record of
the weakness of Labor when opposed to Capital — an indestructible
memento of the evil working of the present system in regard to the
two great classes which now compose society.
Labor turned to an independent labor policy, socialist aims,
peaceful and educational methods. At the end of 1835 the ap-
proach of Chartism proper was perceptible.
" Chartism " merely signifies democratic parliamentary reform.
The Chartists aimed to seize the reins of government as quickly
as possible : " Peaceably if we may — forcibly if we must."
The People's Charter was originated in the year 1837 to 1838
by the London Working Men's Association, and was drawn up by
the joiner, William Lovett. The People's Charter was nothing
more than a plain and clearly written Bill, containing the following
six points in the form of sections and paragraphs: (i) Universal
Suffrage, (2) Equal Electoral Districts, (3) Abolition of Prop-
erty Qualifications for parliamentary candidates, (4) Annual Par-
liaments, (5) Ballot, (6) Payment of Members of Parliament.
All the great manifestoes of Chartism, e.g., the Declaration of
Rights of 1831 and 1839, the three petitions of the Chartists in
1839, 1842, and 1848, refer to the law of nature as the irrefutable
proof of the justice of their democratic demands.
Chartism suffered up to the very last from the impossibility of
conferring upon the masses a firm and unified organization, since
the Corresponding Act (1817) did not permit of founding a na-
tional organization with branch societies.
" Chartism was not a movement of the lowest strata of society,
but of the best elements of the industrial population."
O'Connor said in 1839: — " Violent words do not slay the enemies
but the friends of our movement."
468 THE PUBLIC
O'Brien had written in 1838: — "Is there any hope that without
an entire change of the system the operative will be able to
command a fair day's wage for a fair day's work? The thing is,
in my opinion, impossible."
Ulterior measures proposed included:
1. Withdraw money from banks, and convert paper money into
gold and silver.
2. "Sacred month" (general strike).
3. Refuse payment of rents, rates, and taxes.
4. Arm themselves.
5. Elect by show of hands.
6. Boycott opposing newspapers.
But the day of the workers had not come — not even for full
political enfranchisement, and peaceful constitutional seizure of
power. The Chartist movement flickered, flared, and finally died
away. The leaders were harried; the rank and file dispersed.
Organization had not perfected itself. There was lack of social
knowledge. So economic power remained in the middle class,
and, as the consequence, political power, the control of the State.
Business men were the significant class. They knew what they
wanted. They had obtained it. They continued to hold it.
Reviewing what has been quoted, we see the origins of British
Socialism in the instincts of the workers. We hear the recurrent
expressions and explosions down the generations. We see the era
of machinery working a suppression of those instincts, but at the
same time creating slowly an organization of the wage-hands.
We see them blindly rebelling against the machines, and tricked
by electoral reform which still left them unenfranchised. We
witness :
The disillusionment of Labor and the consequent rise of revolution-
ary trades unionism or Syndicalism (1833-34), the growth of Chartism
or a Socialist Labor Party (1836-48) ; finally the rise of the Oxford
movement, Young England and Christian Socialism — all this stu-
pendous mental ferment in the years from 1825 to 1850 appears to be
repeating itself now on a larger and higher scale. ... Or is it a
mere coincidence that revolutionary trades unionism followed in the
wake of the agitation for the Reform Bill, 1832, and that Syndicalism
and general strikes have been treading upon the heels of the Con-
stitutional crisis that began with Mr. Lloyd George's Finance Bill?
. . . And is Tariff Reform destined to mark the close of the social
ORIGINS OF BRITISH SOCIALISM 469
ferment of the present day as the triumph of Free Trade marked
the close of the Chartist era? . . .
We have seen the idea of the general strike rising ninety years
ago, the idea of industrial unionism, class war, of the Parliament
of Producers, and of the Soviet representation.
For the last nine years the revolutionary tides have been run-
ning ever more strongly, and the war has heaped them still higher.
In the old days, as Beer points out, " radicals " were rewarded
in this fashion:
In 1834 — William Godwin was appointed gentleman usher.
In 1849 — Samuel Bamford was made doorkeeper at Somerset
House.
And now, in 1906 — John Burns entered the Cabinet.
Economic power is swiftly passing to the workers, and so po-
litical power registers the gain. Social knowledge is being placed
at their disposal. But the urge is the same as that which drove
the workers of 1830. The fundamental ideas remain. The buried
life awakens.
In the next section, we shall see Beer's estimate of the recent
years.
II
(This second volume of Beer's book has not appeared in English)
From the struggle and catastrophes between the beginning of
Chartism in 1825 and its end in 1855, " the lesson emerged that
the revolutionary policy of ' all or nothing,' of a sweeping
triumph by one gigantic effort, of contempt for reform and the
supreme value of a total and radical subversion of the old, were
foredoomed to failure and defeat. The generation that followed
Chartism went into Gladstone's camp and refused to leave it either
for the social Toryism of Benjamin Disraeli or for the social
revolution of Karl Marx."
The period 1855-1914 was:
(1) A ceaseless and more or less conscious struggle between
Socialists and Liberals for the sympathies and votes of the work-
ing classes.
(2) The development of socialism from revolutionary doctrine
to political practice.
470 THE PUBLIC
(3) The tendency towards the transformation of individualist
liberalism into social liberalism.
In 1884, John Burns called upon working men to rouse them-
selves from the slumber in which they had been sunk since 1848.
The economic depression which began in 1875 reached its lowest
depths in 1886. The dockers' strike of 1889 brought Ben Tillett,
Tom Mann, John Burns, Will Thome, Annie Besant, Eleanor
Marx, into leadership.
" Four-fifths of the socialist leaders of Great Britain in the
eighties had passed through the school of Henry George."
1881 — The Social Democratic Federation,1 founded by Henry M.
Hyndman, later to become the British Socialist Party, and then
to split further into the National Socialist Party (1916).
1884 — The Fabian Society guided by Sidney Webb, the greatest
mind in the labor movement of the last generation, perhaps the
most important intellectual figure in British labor since Robert
Owen.
1893 — The Independent Labor Party, founded by Keir Hardie,
and continued by Philip Snowden, Ramsay MacDonald, and
others.
1899-1900 — The Labor Party, in part guided by Ramsay Mac-
Donald, and later also by Arthur Henderson and Sidney Webb.
1903 — The Socialist Labor Party, founded by Scottish secession-
ists from Hyndman's Social Democratic Federation, "after the
model of the American Socialist Labor Party, led by Daniel De
Leon (died 1914), an extreme Marxist, who in the last years
of his life embraced syndicalist views."
British socialism in its long history went through these
phases :
1. Primitive Christian traditions, Minorite doctrines, and vil-
lage communities. " It bore a religious, ethical, and tribal char-
acter."
2. Constructing ideal commonwealths. " Its character was es-
sentially romantic."
3. Class war. " Unable to achieve reform, it rushed into the
revolution. Strange are the mental processes of man. They lead
him sometimes to the belief that, whilst he may be unable to
achieve a little by daily efforts, he may accomplish everything by
1In 1908, it became the Social Democratic Party.
ORIGINS OF BRITISH SOCIALISM 471
one supreme sacrifice. . . . Revolution is but the last act of a
long evolutionary process, or the sum total of gradually accumu-
lating reforms. Physical force is but an incidental phenomenon
of revolution."
4. The application of socialism to practical politics. " Its fore-
most exponent is Sidney Webb. Its character is exclusively and
consistently reformist. It has nothing to do with class warfare;
it does not address itself to any class, but to enlightened public
opinion."
" The Fabian Society by its intimate connection with the I. L. P.,
by its affiliation to the Labor Party, by drawing to its work some
of the most alert University Socialists, finally, by its close appli-
cation to all live questions of socialism and labor, has, after
thirty years of its existence, become the brain of the socialist
movement of the United Kingdom."
To Bernard Shaw and Sidney Webb, " the Fabian Society owes
its importance in the history of British socialist thought." They
gradually shook themselves free from the old socialist traditions,
separating themselves from the doctrinal bases and propagandist
methods of all socialist organizations. " Were his ardent tem-
perament and dour determination not counterbalanced by an
analytical intellect and sense of the ludicrous, Shaw would have
been a revolutionary leader."
"It makes no difference whether socialism is to be established
by reasoning from the labor value theory and class struggle,
which is Marxian, or from the theory of rent and collective effort,
which is Fabian." The point is to get the ideas and the phras-
ing which are adapted to the community that is to be per-
suaded.
" Socialism had to be adapted to democracy. This adaptation
has been performed by Sidney Webb. It represents the transi-
tion from Marxism to Fabianism, or from social revolutionary
doctrine to social practice." Conditions were ripe. The State
was ready to enact social reform. The trade unions had won
economic power. There was a public conscience on evils. " The
magnum opus of Fabian reform is the Minority Report on the
Poor Law. Socialism turns into a series of social reforms. The
socialist agitator gives place to the social investigator."
The attempts by strait sects and shibboleths and rigid abstrac-
tions to force socialism down the throat of the British worker
472 THE PUBLIC
had not succeeded. Then, the Fabians and the I. L. P. came along,
omitted the word socialism, used the British method of next step
compromise and succeeded enormously. Out of their work come
the Labor Party, where three and a half million trade unionists
are pushing a socialist program, but it is a socialism of practice.
" The speakers of the I. L. P., in their educational work among the
trade unionists, hardly ever referred to revolution and class-
warfare, but started from the ethical, nonconformist, and demo-
cratic sentiments which appeal most to British workmen."
As the I. L. P. waxed, the Social Democratic Federation waned
— waned and finally split. It was not the day for dogmas and
crashing finalities. The I. L. P. and a few Fabians are the dynamic
of the Labor Party. " The Labor Party stands for social reform
— for a socialistic re-organization of society by gradual steps, but
it is not social revolutionary. It has no final goal, but immediate
aims; it does not occupy itself with theories, but with practical
measures. . . . The rise of the Labor Party meant the beginning
of the end of Liberalism."
" The years from 1908 to 1914 formed a period of social up-
heaval which was essentially revolutionary." The war bred a
further change, away from quiet permeation, and political practice,
toward that increasing syndicalism which had been operating since
1910. Many of the young men began to want a stern code of
action, with an ultimate aim and a Day of Judgment in it. A new
fervor sweeps large masses, as the idea of workers' control seizes
their imagination. They turn to the pure doctrine of Marx in
labor colleges and study groups. So far as Britain is concerned,
Marx has for the first time entered the region of practical politics.
Once again the youths see themselves dramatically in the class
war, at " the great historical moment." The vision that lifted
itself in the 1830*3, and died in 1848, has flashed again into their
sight.
The Clyde area in Scotland and the valleys of South Wales are
two regions where the winds of doctrine now blow increasingly.
In particular, " the simple, emotional, and enthusiastic nature of
the Welsh working men was, and still is, averse from dilatory
tactics and parliamentary methods; it expects sensational deeds
in any popular agitation. Their temperament resembles that of the
French proletariat, but it is nourished and stimulated by primitive
Christian feelings rather than by logical inferences."
ORIGINS OF BRITISH SOCIALISM 473
The New Syndicalist Phase
"The syndicalist movement or revolutionary trade unionism is
differentiated from the socialist or collectivist movement by the
emphasis it places (a) on the economic factor as the primary for-
mative agent of social arrangements and social ethics, (b) on the
economic antagonism between Capital and Labor, (c) on the
direct action and struggle of the working class for its emancipa-
tion from the wage basis of livelihood or for the control of the
means of production by Labor itself, (d) on the trade union and
not on the electoral district as the focus of Labor power. Syndi-
calism, therefore, is averse from conciliation boards and industrial
agreements between employers and employees; it recognizes no
social peace or even truce as long as the wage basis prevails ; it is
opposed to parliamentary politics being made an integral and im-
portant part of the labor movement; it scorns social reform by
Liberal or Conservative or labor legislation; it refuses to believe
in the efficacy of a labor policy acting through parliamentary
representatives and labor officials. The syndicalist movement is
pre-eminently revolutionary; the socialist movement is largely re-
formist. The former puts itself deliberately outside the present
system of society in order the better to get hold of it and to shake
it to its very foundations ; the latter is working within the present
order of society with the view of gradually changing it. The
syndicalist knows therefore of no compromise; class warfare,
relentless and continual, is his supreme means. Starting from the
premise, (a) that economics rules social relations and shapes
social ethics, (b) that the economic antagonism between Labor
and Capital is irreconcilable, the syndicalist cannot arrive at any
other conclusions."
These principles may be termed the syndicalist form of
Marxism.
The first body to spread syndicalist views in Great Britain was
the Socialist Labor Party in Scotland, whose members originally be-
longed to the Social Democratic Federation but gradually came under
the influence of the Socialist Labor Party in the United States of
America and finally seceded from the S. D. F. in 1903. The leader
of the American Socialist Labor Party was Daniel De Leon, a
University graduate and a strict adherent of Marxism, who for a long
474 THE PUBLIC
time worked on the application of Marxist theories to the American
Labor movement.
The first symptoms of the operation of the new spirit manifested
themselves in the rebellion of many trade unionists against their
officials ; from 1908 onwards it became a difficult matter for the officials
of many trade unions to obtain from their members the ratification
of agreements and settlements entered into by them with the em-
ployers. The British workman, generally loyal, conservative, and docile,
began to refuse to follow his leader. Simultaneously some of the
students of Ruskin College expressed their dissatisfaction with the
spirit of the economic lectures delivered to them by some of their
teachers and formed a Plebs League for the purpose of counteracting
the influences which they thought served but the interests of the
capitalists. The Plebs students formed a section of the Industrial
Workers of the World and in 1909 seceded from the College and
formed a Central Labor College, at first in Oxford, then in London,
where the lectures and lessons are conceived in the spirit of the
syndicalist form of Marxism. It is supported by the South Wales
miners and railway men.
The ideas of Industrial Unionism streaming from America through
Scotland into England were supplemented and strengthened by the cur-
rent of syndicalism coming from France. After the excitement of the
Dreyfus affair and the disappointment with the Socialist Minister
Millerand, some of the Marxists and anarchists coalesced and turned
the French syndicalists or trade unions into the revolutionary Con-
federation Generale du Travail. French syndicalism has been more
theoretical and philosophical than American Industrial Unionism,
but in essence both of them represent the same revolt against so-
cialist and labor parliamentarism and official-ridden and petty trade
unionism.
The French influence was brought to bear on the British labor
movement by Tom Mann, who, after thirty years of truly Odyssean
adventures in the trade union and socialist movement of Great
Britain and the Colonies, went in June, 1901, to Paris in order to
see syndicalism at work. He " was much impressed with the attitude
of the revolutionary comrades in France, who had been able to
accomplish a magnificent work by permeating the unions and forming
the C. G. T." The journey to Paris was, however, by no means the
hegira of Mann. Unconsciously to himself he had imbibed in Australia
the spirit of the American I. W. W. His studies among the French
workmen were but the finishing touches to his conversion. After his
return from Paris he at once set to work to permeate the British trade
unions, which, as Mann admits, for some five or six years previously
ORIGINS OF BRITISH SOCIALISM 475
had carried on "an agitation for the closer combination of the
unions and for the adoption of different tactics."
In the meantime, Tom Mann and his brother industrial unionists,
among whom the most prominent was James Larkin, were exercising
considerable influence on the strike movement of those years, in
which the English transport workers, the British railwaymen, the
British miners and the Irish transport workers played so conspicuous
a part. Nothing like the general strike of the British miners in the
spring of 1912 had ever happened before. A comparison of this strike
movement with that of the years 1839-42 exhibits in an unmistakable
manner the enormous advance British Labor has made in organizing
and executive capacity. It is a growing and rising power ; its activities
are changing the structure of society.
Interpretation and Adaptation of Syndicalism
"Notable attempts at interpreting syndicalism and adapting it
to British mental and material conditions have been made by
several socialist intellectuals — G. D. H. Cole and a group of New
Age contributors. Cole sees in the new Labor movement the
inchoate expression of the desire of the more intelligent and
alert workmen for the control of production. He argues that the
socialist and labor parties and collectivist schools had been
regarding the social problem first and foremost as a problem of
distribution of the division of the national income.
" The trade union should do for modern industry what the guild
did for the mediaeval arts and crafts. Collectivism would form an
industrial bureaucracy; syndicalism — an industrial democracy.
Pending the consummation of this supreme end and aim, the
workers, if they desired an improvement of their condition, should
co-ordinate their forces, organize on the basis of industrial union-
ism and use the weapon of the strike, since political action could
achieve little, if anything at all. The Liberal reforms in the
years from 1906 onwards, for all the praise bestowed on them by
politicians, had practically done nothing to raise the conditions
of Labor. The strikes from 1911 to 1913 had raised wages, im-
proved the condition of labor and increased the respect for the
organized working class far beyond any so-called social reform
legislation could have done. Where the strike failed it was due
476 THE PUBLIC
to the obsolete form of trade union organization. The day of the
small union had passed. Large industry must be confronted with
greater unionism. The small trade union was wasteful. Labor
parliamentarism, as at present constituted, was a costly delu-
sion."
CHAPTER III
THE NEW CLASS OF GOVERNMENT SERVANT
MR. GRAHAM WALLAS, who was called as witness before the Coal
Industry Commission, said:
I am Professor of Political Science in the University of London,
and was a member of the MacDonnell Commission on the Civil
Service (1912-15). I am not a professed economist, but am familiar
with some of the political and administrative arguments for and
against " Nationalization." Many of the arguments which I have
heard used against nationalization seem to me to involve a confusion
between the results of large-scale organization and those of national-
ization. The village carrier is impelled to be efficient by different
motives from those which impel the State parcel-postman. But much,
if not most, of that difference would also be found if one compared
him with the man who delivers parcels for a large privately-owned
railway company; or if one compared a village shopkeeper with one
of the employees of a multiple-shop company, or of the Co-operative
Wholesale Society.
Nearly all students are, I believe, agreed that the advantages of
large-scale organization of some kind outweigh its disadvantages in
the case of railway service ; and some students believe that the balance
of advantage is on the same side in the case of the distribution of
food in urban areas. I myself believe, though I have no expert
knowledge of the technical facts, that large-scale organization of
some kind is an advantage in British coal-getting.
If so, the question is narrowed down to a comparison between
nationalization and other forms of large-scale organization. Appar-
ently, in the course of the discussion it is being further narrowed to
a comparison between the nationalization and large-scale private ad-
ministration with a considerable degree of State control. I shall
myself consider the problem of nationalization neither as an industrial
nor as a technical, but as an administrative problem.
It is proposed that the State should become responsible for the
appointment, discipline, promotion, and control of perhaps twelve
hundred thousand persons, men, boys, women, and girls, ranging from
the managers of great systems of pits down to pit-boys and girl
typists. My own opinion is that this will be an advantage to the
community if the State takes reasonable care in avoiding certain
477
478 THE PUBLIC
administrative dangers, and that it will be a disadvantage to the
community if such care is not taken.
The most obvious administrative dangers may be summed up as
follows :
(a) The coal-mining service might become corrupt in the ordinary
sense. Posts might be sold by those who had the power
to fill them, as posts in the British Civil Service were sold
in the seventeenth and eighteenth centuries.
(6) The service might get, in the American sense, "into politics."
Posts and promotion would be given as a reward for
political work or political subscriptions; and those who
opposed the party which for the moment dominated either
Parliament or the district concerned might be passed over
or dismissed, or refused work.
(c) The service might become, as some of the fifteenth and six-
teenth century guilds became, a " family affair." Officials
and workmen might acquire a customary right to appoint
or admit to employment their sons or other relatives. Out-
siders might only be admitted to work for which there were
few applications, and superior and inferior hereditary grades
would be thus created.
(<f) Or all or some of these evils might develop sporadically and
partially.
I should suppose that instances of all these evils might be found
in the existing private administration of the industry. Any improve-
ment in the conditions of the service which made admission to it
more desirable than admission to other forms of employment would,
of course, increase the danger, whether the industry were publicly or
privately owned.
In approaching similar problems in the Civil Service, the Royal
Commissions which have inquired into them (of which the Playfair,
Ridley, and MacDonnell Commissions have been the most important)
have separated the forms of service into (i) administrative and clerical,
(ii) technical, and (iii) manual.
The most elaborate system that has been built up in the British
Civil Service is that providing for admission to and promotion in
clerical and administrative work. The basis for this system is admis-
sion by open competitive examination in the subjects of a general
education. It is believed that a properly educated young man or
woman can be trained after appointment to do the administrative
work even of such a technical department as the War Office or the
Admiralty. The higher posts in this work are therefore normally
given to those who have been trained in it. If this system is used
NEW CLASS OF GOVERNMENT SERVANT 479
to any extent in the mining service it would probably be well to
require a certain knowledge of natural science in the examination,
even from the future clerks and secretaries of the service. The
present distinction between "Class I" appointments and those of a
lower grade might be modified; and promotion might mainly depend
rather on proved efficiency than on the examination by which the
original appointment was made. Perhaps it would be well to hold
the examinations not in London, but in the coal districts; so that
the mass of the candidates, especially for the minor clerical posts,
would normally come from those districts, and be familiar with their
conditions.
The appointment of technical officers under the State, such as
Government chemists, or engineers, or lawyers, or doctors, has hitherto
been somewhat haphazard. The Playfair and Ridley Commissions
practically ignored this problem. The MacDonnell Commission recom-
mended that in the appointment of young men and women for technical
posts reliance should mainly be placed on competitive examination in
technical subjects, and that in the appointment of older persons to
posts for which they might be expected to have been trained outside
the service, all posts should be advertised and applications should be
considered by technical committees of selection containing at least one
representative of the Civil Service Commission. Since the technical
work of coal mining is highly specialized, it would probably be found
that the best men for the higher technical posts would be selected
from those trained from youth in the service. If so, it will be neces-
sary to provide carefully against " regionalism " in promotion. A
brilliant young mining engineer should be able to look forward to the
chance of appointment to an important post outside his own district.
Care should also be taken that women shall be eligible for all work
for which their powers are suited. I believe, for instance, that some
of the best living " fossil botanists " are women.
The British State has hitherto given very little general attention
to the problem of the best way of appointing, promoting, and dis-
missing manual workers outside the Army, Navy, and postal service.
I do not know, for instance, that there exists in print any description
of the actual forces which influence the appointment or refusal to
appoint applicants for manual work in the State dockyards.
Appointment and promotion of manual workers to a service so
large and complex as the coal-mining industry would be a compara-
tively new problem. It should be carefully inquired into as soon as
nationalization is decided on, and continuously watched during the
development of the new system. The existing miners would, of
course, be taken over by the State, and any system of filling new
vacancies and making new appointments should probably be decen-
480 THE PUBLIC
tralized, and perhaps made to conform, as far as can be done without
loss of efficiency, to the best local traditions.
The evidence given before the various Commissions on the Civil
Service and my own administrative experience, both on the London
School Board and on the London County Council, suggest to me that
it would be well for the State, in taking over so large a new service,
to consider carefully the right way of dealing with those cases of
slackness and inefficiency (both on the administrative and on the
technical side) which do not amount to gross misconduct. This prob-
lem also exists, of course, in large-scale private industry.
If the mines are nationalized, and particularly if examination is to
be used to any considerable extent as a means of recruiting, it will
be found that the problem of employment is closely bound up with
that of the technical and general educational systems of the mining
districts. Those who are engaged in the organization of technical
education and research should be brought into close contact with the
whole system. A young engineeer or chemist, for instance, whom it
is proposed to promote to a higher grade of work, might well be
given a short leave of absence, together with opportunities of research,
either in Britain or in America, under the general direction of a high
technical expert.
All these administrative problems would exist, and would have to
be solved, whether the form of nationalization adopted were adminis-
tration by an ordinary Government Department or such a scheme of
joint Governmental and vocational control as that proposed by Mr.
Straker in his evidence.
An essential difference between coal-getting and other industries
consists in the fact that the existing coal deposits when once exhausted
cannot be renewed; so that each generation of the inhabitation of
Great Britain has to decide how far it will prefer the interests of its
successors to its own interest. In this all-important respect I believe
that nationalization would have an advantage over private ownership.
The same man will, I believe, when he is acting as a voter or Member
of Parliament or Minister, or State official be more influenced by
national interests in distant future than when he is acting as a share-
holder, or manager, or member of a trade union.
The Viscount Haldane, who was called as witness before the
Coal Commission, testified as follows:
Chairman: Lord Haldane, I think that you were Lord Chancellor,
and that you were Minister of War from 1905 to 1912? — Yes.
I am afraid I must ask you one or two questions about that in
order to lead up to the question that I desire to ask you. I think that
NEW CLASS OF GOVERNMENT SERVANT 481
during that time you had very considerable experience of, and were
responsible for, the reorganization of a great State Department?—
That was so.
Am I right in thinking that during that time you organized the
Territorial Forces of the Crown, and that also you provided for a
very speedy mobilization of our Forces in the event of the nation
being called upon to go to war? — That was so.
I think, as a result of your efforts, a very speedy mobilization of
our Forces was effected when war was declared against Germany? —
Yes. The thing we concentrated upon was extreme rapidity of
mobilization and concentration in the place of assembly, and that we
carried out.
I suppose it is no longer a secret, but war was declared on Tuesday,
August 4th, 1914, and I think within a matter of twelve or fourteen
hours, under the scheme of mobilization which you had prepared,
some of our troops were already in France? — Yes, within a very
short time : within a very few hours troops were in France.
How long was it before the whole of the British Expeditionary
Force was placed in the Field at the appointed place? — On Monday,
3rd August, 1914, at the request of the Prime Minister, I, as Lord
Chancellor, went back to the War Office and mobilized the machine
with which I was familiar. That was done at n o'clock upon Monday,
August 3rd, and the giving of the orders took only a few minutes;
everything was prepared years before.
How long was it before the whole of the Expeditionary Force was
able to be placed in France? — The whole of the Expeditionary Force
was ready to transport to France on the spot. It was ready, I should
think, within 48 hours. The War Council which was held decided
that four infantry divisions and a cavalry division should go at once,
and that a fifth division should follow in a week, and then another
division should follow a little later. That was carried out, as the War
Council directed, by the War Office.
The reason I am putting those questions is to show that you had
great experience in organizing a branch of the State. The problem
we have before us is, if nationalization should be decided upon,
whether the present Civil Service, or some remodeling of the present
Civil Service, would be in a position successfully to cope with the
problems that would face them if the coal industry were run na-
tionally?— Yes. What I should like to say something about, if you
will allow me, is the question of whether it is possible to train a body
of Civil Servants fit for rapid and efficient administration.
I have not had a precis from you because time has been rather short,
but I should be much obliged to you if you would now take up that
subject, and place your views before the Commission? — That brings
482 THE PUBLIC
me at once to what I am dealing with. In the Army some of these
administrative things are just as difficult and just as complicated as
any that occur in ordinary civilian business. They require qualities
which the ordinary Civil Servant is not trained to develop. They
require, to begin with, a great deal of initiative. No doubt it is true,
in peace time especially, that every officer looks to his superior;
but we encouraged, as far as we could, the principle of allocating
responsibility and encouraging initiative, telling a man what he had
to do in general terms, having first made sure that he was competent
to do it, and then showing that we held him responsible for doing
it and for doing it for the least money possible and in the swiftest
and most effective fashion. That was an ideal which we did not
succeed in wholly living up to, but it was a principle which seemed to
me to work out effectively. There is no doubt in that period some
extraordinarily efficient military administrators were trained up. I
hope this Commission will not think by " military administrative
officers" I mean the kind of people who have come in, justly or
unjustly, for a good deal of criticism before the public lately. Those
are mainly men not trained for the purpose. I am speaking of the
young men we took and then put through a special course of training.
The thing we found was that in this, as in everything else, education
is of vital importance, and then special education coming upon the
top of a sufficiently generally educated mind. We had no school
and we had no staff college in which to train our administrators, and
there was not the least prospect in those days of Parliament giving
us money for one. But we had another thing to hand: We took
the London School of Economics, with which some of the members
of this Commission are familiar. I myself approached the London
School of Economics, and with the very great assistance which I had
from a member of the Commission, Mr. Sidney Webb, I induced them
to take in hand the task of training 40 administrative officers for us
in each year. Courses were designed, and they were taught things
which they never could have learned in the Army. I think it will
be found if you inquire from others that that training was of enormous
advantage in France. There these young officers were serving — officers
on whom was placed enormous responsibility and also a great deal
of necessity for devising initiative for themselves. Englishmen, if
they have any aptitude for it, are particularly good at getting out of
tight places, and these officers, trained as they were to deal with all
sorts of problems, in France and Flanders showed very great capacity
in doing so. In Mesopotamia it was the same.
Do you think the class of men to whom you have been good enough
to direct our attention is a class of men who possess the qualities
of courage and of taking initiative? — Yes. I am very glad you have
NEW CLASS OF GOVERNMENT SERVANT 483
given me an opportunity to speak about that. There are some men
who have it not in them to take initiative or assume responsibility,
and they never will. I think, as a rule, in the civilian business world
these men fail as they fail in the Army. In the business world the
other men come to the top, and are picked out and chosen and put
to their work. That is not so usual in a service. It is more difficult
in the Civil Service where people come in according to rules and
succeed to places very largely according to seniority. In the army
and Navy, where selection obtains to a considerable extent, and ought
to obtain to a still greater extent, it is much easier. You pick a man
because he is particularly good at the sort of work you want him for.
You ask him to devote himself to administration, and, if he does,
you may get a man just as valuable and just as good as you will
find in the business world. It is quite true he has not got what is
the great impulse in the business world, namely, the desire to make
a fortune for himself, but he has another motive, which, in my
experience, is equally potent with the best class of men, namely, the
desire to distinguish himself in the service of the State. If he
thinks he will be recognized because of his public spirit and his devo-
tion to his duty, that public spirit and devotion to duty will make him
do anything: there is no sacrifice of himself he will not make. Of
course, I am talking of the best type of men, such as the men I came
across and saw in the Army. That class of man, I believe, exists in
far greater number in the two services than has been supposed at
the present time. I am only taking them as illustrations of sources
from which you can draw. I am not suggesting to this Commission
that they should nationalize under the Army and Navy, but I am only
saying why I think there is a source which is neglected from which
oublic servants might be drawn. You get these men and they have
been trained to a sense that they must be responsible even with their
own lives for the attainment of the object which you intrust to them
to accomplish.
We appear then to have created a sort of new class of (I will
call them for the moment) officials for want of a better term. What
is the future of those men if they have to remain in the Army or in
the Navy? — I will come to that in a moment, but I wish to say we
did not create them: they were there, but undeveloped. Splendid
material was there, but the nation had never thought of training them
in the right way. They had trained the commanding officer, but they
had never trained the administrator who was really just as necessary
to them. I want to say now that I do not think the State recognizes
the extent to which not only in the Army and the Navy, but outside
the Army and the Navy, there are young men in whom those qualities
can be brought out— the quality of initiative and the quality of devo-
484 THE PUBLIC
tion to duty, which are as powerful a motive as the motive of business
men if they are only developed in the right atmosphere.
Should I be right in saying that, in your opinion, there is a class
of man who combines the strongest sense of public duty with the
greatest energy and capacity for initiative? — In my opinion there is
a large class.
And that is a class that can not only be trained in the future but
which, in your view, is to hand at present? — They are to hand at
present. I have spoken of the Army because I know the Army and
perhaps because I love it, but it is certainly equally true of the Navy.
If I may say so, the Navy has given even less attention to this
question than we tried to do in the Army.
Speaking of that class, with regard to the coal industry, do you
think it would be necessary, if one drew or selected from that class
in the sort of way you have been good enough to tell us, to give
these men some special training to fit them for the coal industry in
the event of it being necessary? — I think so, and, if I may, I will
just put the steps which I think would be necessary. My idea for
the Army and Navy is that young men should not go into them too
early. With regard to the age of entry in the Navy (it is low enough
in the Army now, but too early in the Navy at the present so far
as I can judge) I should like to see it begin at 17 or 18 years.
I believe that is quite early enough, when a young man has a general
education. That would give an opportunity for the son of the working
man just as for the son of the duke to go into these services. It
will all depend upon whether he feels it in him, and whether he is
chosen on indications which satisfy those who have to make the
selection. At that age he will have gone in with an amount of
education which he does not get at the present time. I do not believe
in special schools, because they are never so good as the schools
which give a broad general basis on which to develop the mind. He
would then go in, and his first years of course would be thorough
education in his duty, naval or military. A little later he would
specialize more and more in those duties. He would go into the
field and go on board ship — whatever might happen — and then I
should like, if he has aptitude for what I may call general staff duties
as distinguished from others, to see him trained for those. If he is
the sort of young officer that has it in him and if he has the aptitude
for the other side equally, then encourage him to train for the
administrative side. That administrative side would have to be organ-
ized and developed and recognized to an extent which it has not
been up to now. Then when he was 25 or 26 he might feel, " Well,
I have great aptitude for administration. I have distinguished
myself so far as I have gone. But it is peace time and the Army
NEW CLASS OF GOVERNMENT SERVANT 485
and Navy do not seem likely to want me. I have a better chance
if I can serve the State in another Department." Then I should like
to see the State, having kept a watch over that class of officer and
selecting the best of them, put them through a special course of
training. I am not sure I know anything much better than the kind
of atmosphere we had in the London School of Economics. It was
purely civilian and free from militarism, and it was very good. There
they were trained in making contracts and in local government, in the
law of administration, in railway management, and a variety of other
things which they could choose, or all of which they could take. A
comparatively short course of that develops enormously and very
rapidly the capacity of a really first-rate man already trained in his
own profession. He becomes very capable and apt as an administrator.
I have seen it over and over again in officers of that kind who later
in life have gone into civilian administration, and they are very good
indeed. Then there is something else to be seen to. It is not at
present the business of the London School of Economics to teach
initiative. Initiative is a matter of the spirit and a matter of tem-
perament. Like courage and temperament, initiative can be developed.
I should like to see a school of the State teach the necessity of that
and the necessity of a man relying upon himself and making his own
decisions. As you see, I put education in a very wide and broad
sense as the foundation of the question whether you can train admin-
istrators for the service of the State.
On the question of salary, do you think the State would have to
raise the scale of salary to make it correspond with that which prevails
in private employment? — I am all in favor of paying good salaries,
because, in the main, you get what you pay for, and it is still more
clear that you do not get what you do not pay for. That is human
nature, and it is as strongly implanted in the miner as in the State
official. The State official, hitherto, has been the patient beast of
burden who has been underpaid, and whose salary has risen very
slightly compared with the cost of living. Equally good salaries do
not mean the salaries which rich men require in order to live as rich
men. Your general in the Army, your colonel, your captain, your
admiral in the Navy, your commander, live on what the rich man often
calls very little indeed, but their reward comes to them in another
way. They have social advantages which he has not. They are
rewarded by the public, by honors, and by positions which tell. I do
not like that being a monopoly of the fighting services. I want to
see it extended to the other administrative services of the State, and
I think it can be. It has been partly extended to the Civil Service,
and I want it extended to those larger Civil Services of which we
are speaking.
486 THE PUBLIC
Mr. Justice Sankey, as chairman of the Coal Industry Commis-
sion, reported:
The Civil Servant has not been trained to run an industry, but the
war has demonstrated the potentiality of the existence of a new class
of men (whether already in the service of the State or not) who
are just as keen to serve the State as they are to serve a private
employer, and who have been shown to possess the qualities of courage
in taking the initiative necessary for the running of an industry.
Hitherto, State management of industries has on balance failed to
prove itself free from serious shortcomings, but these shortcomings
are largely due to the neglect of the State to train those who are to
be called on for knowledge and ability in management.
The experience of the last few years has, however, shown that it
is not really difficult for the British nation to provide a class of
administrative officers who combine the strongest sense of public duty
with the greatest energy and capacity for initiative. Those who have
this kind of training appear to be capable in a high degree of assum-
ing responsibility and also of getting on with the men whom they
have to direct
CHAPTER IV
WHAT PEOPLE SAY
The Social Revolution
ON September 24th, 1919, the Manchester Guardian said:
Privilege of class, of wealth, of opportunity, and of birth is not
to be swept lightly away. The struggle will not be a short one, and
if at times both sides take breath to recover there is no need to
delude ourselves into the belief that we are yet all members of one
family with common objects and a common outlook. The new spirit
of Labor cannot live with any spirit of pure industrial efficiency which
denies to the worker essential human interests. The satisfaction of
these interests may be unprofitable and economically unwise. But it
is the whole point of the new Labor movement that it thinks less
in terms of economics and more in terms of self-development, self-
expression, and the capacity for power.
Viscount Esher on March 23rd, 1919, wrote (The Weekly
Dispatch) :
The new forces of democracy, reflected as they are in the awakening
of the vast masses of what are called the lower classes, are a far
greater dynamic power than were those of the middle class of a
hundred years ago. The danger, therefore, of disturbance is more
acute.
Dean Inge wrote on November 26th (Manchester Guardian) :
I believe that our industrial system is dying. It may be that the
industrial revolution was a biological mistake, that the human organ-
ism is not adapted to that kind of life. If so, we shall revert through
infinite discomfort and suffering, to a simpler economic structure and
a much smaller population.
Bonar Law said on June 5th, 1919:
It is idle to hide from ourselves that there is in our own country
something — not enough to frighten anybody, but more perhaps than
is generally recognized — something of a real revolutionary movement.
487
488 THE PUBLIC
On June 5th, 1919, Sir Robert Home said:
We have skipped a generation. Five years of war have taught
men more and created more aspirations than half a century of
peace.
Ramsay MacDonald in the Labor Leader of August 28th writes :
We cannot create a revolution, in the constructive sense in which
I use it, by superficial changes in wages and hours. That is only to
destroy the capitalist system, to throw certain groups of nations out
of the highways of great world commerce — or, at best, to readjust
capitalist relationships.
The war has ended British commercial supremacy. All that the
so-called patriots have done is to dig the grave of the British Empire,
and if all that we can do between the time of dying and burial is
to fight over the distribution of what remains of the old inheritance,
it is not worth doing.
The conflict in which we are interested is not that which is confined
within the walls of factories and counting houses, it is that broadened
out in its significance until it is seen as a conflict between the capitalist
and the industrial State.
Such combinations of workmen, as the miners and the railwaymen,
are in a position to fight as sections, and it is right that they should
do so. But they should fight as advance guards of the community.
Their battle is not theirs but ours. Herein lies the genius of Smillie's
leadership. From this is also apparent the short-sightedness of direct
action as opposed to political action, and the utter vanity of thinking
that under a democracy, or anything approaching to a democracy,
there is any practical value in a " dictatorship of the proletariat."
On March igth, J. T. Brownlie, Chairman of the Executive
Committee of the Amalgamated Society of Engineers, told of his
interview with the King:
The King at once said that it was in order to get an absolutely
frank expression of views that he had sent for me. Then I spoke
out. I explained that I had been a Socialist for a quarter of a century
and that I thought the time had come for a great and historical change
in social and industrial conditions. Such changes had been the history
of the race, and the evolutionary forces which had produced them
were assuredly as potent as ever.
WHAT THE PEOPLE SAY 489
Labor and Capital
R. H. Tawney (Daily News, July nth, 1919) says:
The truth is that we are all hampered in our efforts at clear
thinking by phrases which never meant much and now mean nothing.
One of them is, " Labor and Capital." This venerable formula is a
fraud and it is time that reputable writers ceased repeating it.
" Labor " consists of persons ; " Capital " consists of things or claims
to things. To lament "the strife" or to plead for "co-operation,"
between " labor and capital " is much as though an author should
deplore the ill-feeling between carpenters and hammers or undertake
a crusade to restore harmonious relations between mankind and their
boots. The muddle is not mended by the fact that by capital is meant
" capitalists." For the vice of the phrase is that it treats the claims
of " labor and capital " as co-ordinate. If they are, and were generally
recognized to be, co-ordinate, cadit quaestio. But the problem only
arises because an increasing proportion of mankind believes that the
world should be managed primarily for those who work, not for
those who own. To start by burying that fundamental issue beneath
smooth phrases as to " the common aim of industry " is to assume
the very point which requires to be proved, and which alone provides
matter for discussion.
Religion
On " The Religion of Labor," the Rev. R. W. Cummings (Vicar
of Hurst, Lancashire) writes (Daily News, September 5th) :
It is the futility of a religion of mere subjective metaphysical
idealism that needs emphasis to-day. It has been the so-called ma-
terialists who, by the methods of scientific economic reorganization,
have shown to a fumbling idealism the method by which justice and
fellowship could be woven into the physical texture of man's earthly
life. And it is the accredited champions of Idealism who are the fore-
most defenders of the pitiless and illogical competitive system which
Labor knows it must destroy, that it may rescue the soul of the
world.
Before we can appreciate what the "Religion of Labor" is likely
to be we must realize that the Labor movement is only incidentally
an economic revolution. Fundamentally, it is the practical expression,
in the field of politics, of a newly emerging philosophy of life that
has scant reverence for the beliefs and thought forms molded and
shaped out of the imperfect and even erroneous knowledge of the
490 THE PUBLIC
pre-scientific period. With perfect courage, candor, and intelligence
it is going to think out all the implications of historic materialism.
Whether this religion will be definitely Christian or not will depend
on the intellectual honesty and spiritual candor of the Church's
leaders; the present outlook is not hopeful. We shall not affect the
matter by abusing " materialism." If we would be hopeful we had
better accept the modern materialist movement, as of God, and, fol-
lowing the Divine method of the Incarnation, weave or incarnate into
it the ideals of fellowship and service and love. For only by weaving
these ideals into the material fabric of the common life can we
change them from the disembodied ghosts they are to-day into physical
embodiments of the attributes of God.
Nationalisation
On nationalization, the Bishop of Peterborough wrote in The
Times on March 2ist, 1919:
I doubt whether those who are not in close touch with the workers
realize the intensity of the feeling in favor of the nationalization of
those vital services on which the life of the community depends. As
a most conservative and law-abiding ticket collector said to me not
long ago, " We railwaymen want to feel that we are working as
directly for our country in peace as we fought for her in war," and
in saying so he was doubtless speaking for hundreds of thousands
of like-minded men and women.
Can we expect it to be otherwise? For nationalization is simply
the projection into the paths of peace of the spirit which captured our
industries', and still more our Armies, in war time, when no man
thought of personal profit, but all of the common weal.
The point I would venture to emphasize is that strong currents of
opinion in the country are setting towards such a revision of outlook
as will regard the great industries as national services rather than
private ventures.
Viscount Milner said on July i6th :
Whatever may be our own feelings and inclinations, it is impossible
to deny that there is an irresistible trend of opinion, not only in this
country but in all civilized countries, which will result in a greater
measure of public ownership, or public control in connection with
fundamental national industries such as coal.
The old industrial order is passing away, and we have to try to
WHAT THE PEOPLE SAY 491
lend a hand in the peaceful establishment of the new order. I believe
that in the future, as in the past, there will always be room for
private enterprise, but also believe the trend of modern thought, both
in regard to social and political development, is all in favor of greater
socialization of certain fundamental and basic industries, of which
coal must be one.
Capitalism
Bertrand Russell, in The Nation of June 7th, 1919, wrote:
The Labor Movement must be international or doomed to perpetual
failure; it must conquer America or forego success in Europe until
some very distant future. Which of these will happen, I do not profess
to know. But I do know that a great responsibility rests upon those
who mold progressive thought in America: the responsibility of real-
izing the new international importance of America, and of under-
standing why the shibboleths of traditional Liberalism no longer
satisfy European lovers of justice. The only right use of power is to
promote freedom. The nominal freedom of the wage-slave is a sham
and a delusion, as great a sham as the nominal freedom which the
Peace Treaty leaves to the Germans. Will America, in her future
career of power, content herself with the illusory freedom that exists
under capitalist domination? Or will her missionary spirit once more,
as in the days of Jefferson, urge men on along the way to the most
complete freedom that is possible in the circumstances of the time?
It is a momentous question; upon the answer depends the whole
future of the human race.
War
Of war, Lord Robert Cecil has said:
Do not be blinded by poets and historians. There has been a con-
spiracy not yet broken down to dwell on the glories of battle and
cover over its horrors. The truth is that war has always produced
these results, more or less marked according to the magnitude of
the struggle, and war always will produce these results. Lord Grey
has pointed out to you that a future war will be more terrible than
this one. I believe that that is a prophecy which may be made without
fear of falsification.
r
The Press
Jerome K. Jerome has clearly said what an increasing number
of the workers feel about the press. His article has been widely
used in the Labor papers:
492 THE PUBLIC
Nine-tenths of the press of this country is in the hands of a small
group of rich men who mean to rule the nation. It is the press that
has killed constitutional action. The press seeks to kill Free Thought
— to kill Free Speech. And it is succeeding. It has monopolized to
itself all the sources of information. It stands between the thinkers
and the people. It will not allow anybody but itself to be heard. It
poisons the mind of the people with false information. It suppresses
facts that it does not wish the people to know. It doles out to them
only such " news " as it considers good for them. It colors the truth
for its own purposes. It dresses up lies in plausibility. It is the
press and not Parliament that rules England to-day. Parliament only
registers its decrees, and the Government is nothing but its tame
executive. No politician who wishes to succeed dare flout its com-
mands. It makes and unmakes Cabinets. The Public Service is its
plaything. The press itself in its turn is ruled by the Capitalists.
It depends for its existence upon the great advertisers. In its turn
it is the instrument of the great financial interests and their aris-
tocratic dependents. The press is the enemy of the people. It has
usurped the entire authority of the country. Exempt from all re-
sponsibility, with neither a body to be kicked nor a soul to be damned,
it has become the most dangerous despotism that Democracy has ever
been called upon to face. The press of to-day exercises the same
vicious tyranny that in the Middle Ages was exercised by the Church :
the tyranny over men's minds. It rules by the same weapon : lies and
humbug.
The New Order
When General Smuts left England for South Africa, he gave
this statement on July i8th:
In spite of the apparent failure of the Peace Conference to bring
about the real and lasting appeasement of the nations to which we
had been looking forward, our faith in our great ideals should be kept
untarnished. The sting of bitterness should be taken out of the
great disillusion which is overtaking the peoples. Instead of sitting
down in despair as reactionaries or anarchists, we should continue to
march forward with firm step as those who have the Great Hope.
A new life, a new spirit is imperatively necessary if Europe is not
to fall backward and lag behind other continents in the great march
of humanity. Her lot is indeed pitiable beyond words. The Con-
tinent which is the motherland of our civilization lies in ruins, ex-
hausted by the most terrible struggle in history, with its peoples
broken, starving, despairing, from sheer nervous exhaustion me-
chanically struggling forward along the paths of anarchy and war,
WHAT THE PEOPLE SAY 493
and seeing only red through the blinding mist of tears and fears;
almost a mad Continent, more fit for Bedlam than for the tremendous
task of reconstruction which lies before it. It is the most awful
spectacle in history, and no man with any heart or regard for human
destiny can contemplate it without the deepest emotion.
Old ideals of wealth, of property, of class and social relations, of
international relations, of moral and spiritual values, are rapidly
changing. The old political formulas sound hollow; the old land-
marks by which we used to steer are disappearing beneath a great
flood.
Among the nations of the world this great country has in the past
enjoyed the most splendid reputation for political wisdom, generosity,
and magnanimity. Let this mighty Empire, in this great hour of vic-
tory and at the zenith of its power, win a great moral victory, so that
the ideals which have shaped the destiny of our great Commonwealth
of Nations may become the common heritage of the League of Na-
tions and of Europe. Only then will this war not have been fought
in vain, and the future garner the far off interest of our tears.
IRELAND
THE Labor Party's Irish policy is pretty clearly defined as far as
resolutions go, but opinion has not crystalized upon the exact
meaning to be attached to Conference resolutions. Two resolu-
tions are relevant. The first was adopted at the i8th Annual
Conference of the Party in London in June, 1918 — this Confer-
ence was really the program Conference held after the changes
in methods of party organization, and the resolution is based on
Labor and the New Social Order. It runs:
" That this Conference unhesitatingly recognizes the claim of the
people of Ireland to Home Rule, and to self-determination in all
exclusively Irish affairs ; it protests against the stubborn resistance to
a democratic reorganization of Irish government maintained by those
who, alike in Ireland and Great Britain, are striving to keep minorities
dominant ; and it demands that a wide and generous measure of Home
Rule on the lines indicated by the proceedings of the Irish Conven-
tion should be immediately passed into law and put into operation."
An amendment to delete the reference to the Irish Convention
was carried.
The second resolution is that adopted at the Amsterdam Meeting
494 THE PUBLIC
of the permanent Commission of the Internationale appointed at
Berne. It runs:
" The International Conference demands that the principle of free
and absolute self-determination shall be applied immediately in the
case of Ireland; affirms the right of the Irish people to political inde-
pendence; demands that this self-determination shall rest upon a
democratic decision expressed by the free, equal and secret vote of
the people, without any military, political, or economic pressure from
outside, or any reservation or restriction imposed by any Govern-
ment. The Conference calls upon the Powers at the Peace Confer-
ence to make good this rightful claim of the Irish people."
In mere terminology, the Amsterdam resolution goes consider-
ably beyond the Party resolution; and would cover the demand
for an Irish Republic if that were expressed in a plebiscite of the
Irish people. Strictly interpreted, of course, the resolution would
not rule out a plebiscite by districts, which would give Ulster
the opportunity of making its wishes known, leading possibly to
a partition of Ireland along the lines of strict self-determination.
The Labor Party would find it difficult, under the terms of this
resolution, to resist the demand of the Irish people for complete
severance from the Imperial system, and there is a section of
the movement which is quite logical in its view that if the Irish
people want a republic, they must have it, with complete control
over all their affairs, even the creation of a defense force, control
of their economic policy (meaning, possibly, protection), control
over their police, and of course no veto by the Imperial Par-
liament on any legislation of the Irish House or Houses.
This policy goes a good deal beyond what most Labor people
mean by a wide and generous measure of Home Rule. A majority
of the Party means Dominion Home Rule, which leaves foreign
policy, defense, and probably trade relations under the control of
the Imperial Parliament. It is true that Dominion Home Rule
should mean freedom for Ireland to determine its own fiscal
policy, like Australia and Canada now do; but many free-trade
advocates of Home Rule would hesitate before giving Ireland
freedom to impose a protectionist policy, which would probably
be directed against England.
Broadly speaking, it may be said, with some confidence, that
the Labor Party would accept Gladstonian Home Rule, Do-
WHAT THE PEOPLE SAY 495
minion Home Rule, or the Home Rule Act at present on the
statute Book, as an instalment. They want to get the Irish
problem settled, and the reference to a " wide and generous
measure" really means the utmost concession that can be wrung
from the dominant minority at the present time. It is not that
Labor is niggardly, or desires to limit the exercise of self-
determination by the Irish people, but that it regards politics as
the art of the possible, and would therefore accept almost any
instalment of political freedom which would be acceptable to the
Irish people, if only as an instalment, and thus get this problem
out of the way. They could not, on their principles, refuse an
Irish Republic, but there is a feeling that they ought to find some
means of preventing Ireland becoming a stepping-off place for a
continental invasion of the British island, or a mere outpost of
some one else's empire.
As yet it is fair to assume that the Party's Irish policy implies
that Dominion Home Rule is as far as they can go, with limita-
tions covering foreign policy, national defense, and fiscal affairs.
In the House of Commons on December 22, 1919, Arthur Hen-
derson said:
"Considering whether the Government scheme meant self-deter-
mination for Ireland or even for the whole of Ulster, he said the
Ulster Unionists had never asked for anything in the nature of a
separate Parliament. It was not proposed even to consult the whole
of the Ulster people by conferring on them the right of a county
vote. At best the Government scheme could be regarded only as a
half-hearted, unsatisfying compromise. The Government might have
produced its scheme on the lines usually described as Dominion home
rule minus the control of the navy and army and giving county option.
Another course, and one which he thought preferable, would be to
allow the Home Rule Act to have come into operation and to have
left to the Irish Parliament which would be summoned the working
out of its own constitution. That would have been the nearest ap-
proach to self-determination. The members of the Labor Party were
anxious to assist the Government in ending the long night of ill-will
and misunderstanding which had dominated the life of Ireland.
When the time of the final test came their attitude towards the
proposals would be determined according to the principle of self-
government"
496 THE PUBLIC
THE WEBB " HISTORY "
Twenty-six years after the original, the revised edition of the
"History of Trade Unionism" by the Webbs was published in
February of IQ2O.1 The trade union orders, prior to publication,
reached 19,000 — the largest edition of a serious work on an eco-
nomic subject ever published in Britain. The publication of the
Webb History in 1894 was as definite a landmark in the move-
ment of British democracy as the various acts that extended the
suffrage, or the Trade Disputes Act. The unions had worked in
the dark, piecemeal, instinctively. Here for the first time, they
found their knowledge pooled, and therefore available. What had
been blind groping became a little more conscious.
The Webbs find to-day over six million British workers in trade
unions — 60 per cent of all the adult male manual working wage-
earners. Trade union membership has doubled in the last eight
years.
" The growing strength of the Movement has been marked by a
series of legislative changes which have ratified and legalized the
increasing influence of the wage-earner's combinations in the gov-
ernment both of industry and political relations."
Among such are:
Trade Disputes Act — 1906.
Trade Boards Act — 1908.
Coal Mines Regulation (8 hours) Act — 1908.
National Insurance Act — 1911.
Trade Union Act — 1913.
Corn Production Act — 1917.
Trade Boards Extension Act — 1918.
The Decline
Among the changes of the last thirty years is the decline in
relative influence of the cotton operatives.
" The building Trades have lost their relative position in the Trades
Union world to nearly as great an extent as the cotton operatives.
They have, for a whole generation, supplied no influential leader."
1 In the United States, in the spring of 1920.
WHAT THE PEOPLE SAY 497
The Metal workers include Engineering or machinists, boiler
making and shipbuilding, the producers of iron and steel from
the ore. The Engineers (machinists) have greatly increased in
membership, but not in strength.
The printing trades have remained stationary.
A relative decline in influence among boot and shoe makers
has been manifest.
The Rise
In the same period of thirty years (1890-1920) :
" We have the rise to influence not only in the Trade Union Coun-
sels but also in those of the Nation, of the Women Workers, the
General Laborers, the ' black-coated proletariat ' of shop assistants,
clerks, teachers, technicians, and officials, the miners and the railway-
men, which has been the outstanding feature of the past thirty years."
" In 1920 we find the organizations of the despised section of general
laborers and unskilled workmen, some of them of over thirty years'
standing, accounting for no less than 30 per cent of the whole Trade
Union membership, and their leaders — notably Mr. Clynes, Mr.
Thorne, and Mr. Robert Williams — exercising at least their full share
of influence in the Counsels of the Trade Union Movement as a
whole."
" The total number of agricultural laborers in Trade Unions in
1920 probably reaches more than a quarter of a million, being about
one-third of the total number of men employed in agriculture at
wages."
"The outstanding feature of the Trade Union world between 1890
and 1920 has been the growing predominance, in its Counsels and in
its collective activity, of the organized forces of the coal-miners."
The Railway Strike
The Webbs give a summary of the railway strike. The Govern-
ment learned that Trade Unionism is not easily beaten, even when
all the resources of the State are put forth against it. The great
Capitalist organizations have seen the warning against their
projects of a general reduction of wages; and this is postponed,
at least, for a year. Labor has learned the magnitude of the
struggle, the need for skilled publicity work, and for a General
Staff.
498 THE PUBLIC
"A notable feature of the railway strike was a revolt of the Com-
positors and printers' assistants, who threatened to strike and stop the
newspapers altogether unless the railwaymen were allowed to present
their case, and unless abusive posters were abandoned."
" The Cabinet was certainly warned, by high military authority,
against attempting to use the troops."
Structure
"At present the forty-eight largest Trade Unions of the Country
concentrate a larger membership than the much praised forty-eight
Trade Unions of Germany did in 1914."
" Besides the active soldiers in the Trade Union ranks, to be
counted by hundreds of thousands, we had, in 1892, a smaller class
of non-commissioned officers made up of the secretaries and presidents
of local unions, branches and district Committees of National So-
cieties, and of Trade Councils; of these we estimate that there were,
in 1892, over 20,000 holding office at any one time. These men form
the backbone of the trade union world, and constitute the vital ele-
ment in working-class politics. . . .
" These non-commissioned officers of the labor movement, from
whose ranks nearly all the Trade Union leaders emerge, actually
determine the trend of working-class thought. Nevertheless, these
men are not the real administrators of trade union affairs. . . .
" The actual government of the trade union world rests exclusively
in the hands of a class apart, the salaried officers of the great societies.
This Civil Service of the trade union world numbered, in 1892, be-
tween six and seven hundred."
In 1920
" The affairs, industrial and political, of the six million trade
unionists, enrolled in possibly as many as 50,000 local branches or
lodges, are administered by perhaps 100,000 annually elected branch
officials and shop stewards. These may be regarded as the non-
commissioned officers of the movement.
" We estimate the total number of the salaried officers of all the
trade unions and their federations at three or four thousand.
" Whilst the movement has marvelously increased in mass and
momentum, it has been marked on the whole by inadequacy of leader-
ship alike within each union and in the movement itself, and by a
lack of that unity and persistency of purpose which wise leadership
alone can give. . . . The British workmen have not become aware of
the absolute need for what we may call labor statesmanship.
WHAT THE PEOPLE SAY 499
" It is, we think, only the Iron and Steel Trades Confederation that
has laid down and acted on the principle of intrusting the appoint-
ment of salaried officials to the Executive Committee, on the express
ground that popular election by ballot is not the right way to select
administrative officers.
" It looks as if any democracy on a vocational basis must inevitably
be dominated by a diversity of sectional interests which does not
coincide with any cleavage in intellectual opinions."
The State and Trade Unions
"The trade union itself has been tacitly accepted as a part of the
administrative machinery of the state.
" The getting and enforcing of legislation is, historically, as much
a part of trade union function as maintaining a strike.
"Trade unionism has, in 1920, won its recognition by Parliament
and the Government, by law and by custom, as a separate element in
the community, entitled to distinct recognition as part of the social
machinery of the state, its members being thus allowed to give — like
the Clergy in Convocation — not only their votes as citizens, but also
their concurrence as an order or estate. ..."
Trade Unionism is now distinctively represented on Royal Com-
missions and Departmental Committees. It has entered the inner
Councils of the Government, and is recognized as part of the
machinery of State administration. Trade unions are agents of
the National Insurance Scheme for sickness, invalidity, and ma-
ternity benefits, and the State Unemployment benefit.
"In practically every branch of public administration, from unim-
portant local Committees up to the Cabinet itself, we find the trade
union world now accepted as forming, virtually, a separate constit-
uency, which has to be specially represented."
" After two years propagandist effort, it seems as if the principal
industries, such as agriculture, transport, mining, cotton, engineering,
or shipbuilding are unlikely to adopt the Whitley Scheme. The Gov-
ernment found itself constrained, after an obstinate resistance by the
heads of nearly all the departments, to institute the Councils through-
out the public service. We venture on the prediction that some such
scheme will commend itself in all nationalized or municipalized indus-
tries and services, including such as may be effectively ' controlled '
by the Government, though remaining nominally the property of the
private Capitalist — possibly also in the Co-operative Movement; but
500 THE PUBLIC
that it is not likely to find favor either in the well-organized indus-
tries (for which alone it was devised) or in those in which there are
Trade Boards legally determining wages, etc., or, indeed, permanently
in any others conducted under the system of capitalist profit-making."
Workers' Control
From the collapse of Owenism and Chartism right down to
1910, the British Trade Unions thought of themselves as organi-
zations to secure an ever-increasing control of the conditions
under which they worked.
" They neither desired nor sought any participation in the manage-
ment of the technical processes of industry; whilst it never occurred
to a Trade Union to claim any power over, or responsibility for,
buying the raw materials or marketing the product.
" The pioneer of the new faith in the United Kingdom seems to
have been James Connolly. He was a disciple of the founder of the
American Socialist Labor Party, Daniel De Leon."
Then came Tom Mann, fresh from organizing strikes in Aus-
tralia, and inspired by a visit to Paris.
" The Syndicalist Movement had died down prior to the war, but
the Industrial Unionist Movement simmered on in the Clyde district
and in South Wales. Its chief organization is the Socialist Labor
Party. It was, we think, the moving spirits of the S. L. P. who were,
as Trade Unionist workmen, mainly responsible for the aggressive
action of the Clyde Worker's Committee between 1915 and 1918, and
also for the rise of the shop stewards' movement, and for its spread
from the Clyde to English engineering centers. At the present mo-
ment (1920) the S. L. P., owing to the personal qualities of its leading
spirits, J. T. Murphy and A. MacManus, holds the leading position
in the school of thought, which received a great impulse from the
accession of Lenin to power in Russia. But it remains a ferment
rather than a statistically important element in the Trade Union
world.
" The revolutionary Industrial Unionism and Syndicalism preached
by James Connolly and Tom Mann and other fervent missionaries
between 1005 and 1912 did not commend itself to the officials and
leaders of the Trade Unions. . . . But, like other revolutionary
movements in England, it prepared the way for constitutional pro-
posals. The bridge between the old conception of Trade Unionism and
WHAT THE PEOPLE SAY 501
the new was built by a fresh group of Socialists who called themselves
National Guildsmen. There was a rapid adoption between 1913 and
1920 by many of the younger leaders of the movement, and subject
to various modifications, also by some of the most powerful of the
Trade Unions, of this new ideal of the development of the existing
Trade Unions into self -organized, self-contained, self-governing indus-
trial democracies, as supplying the future method of conducting indus-
tries and services."
The Trades Union Congress of 1917 pressed the Government
to place the railways under a Minister of Railways, " who shall
be responsible to Parliament, and be assisted by national and local
advisory committees, upon which the organized railway workers
shall be adequately represented." x
At the Annual Conference in 1919 of the Postal and Telegraph
Clerks Association, the control demanded was not restricted to
securing better conditions of employment but aimed at participa-
tion in directing the technical improvement of the service.
The Miners' Bill is given in full at Section 3, Chapter 2, of the
Appendix. It is a demand for full joint control.
Direct Action
The most sensational examples of Direct Action were afforded
by the National Union of Sailors and Firemen in preventing
labor leaders from traveling.
" Another case was the withdrawal by the Electrical Trades Union
in 1918 of their members (taking with them the indispensable fuses)
from the Albert Hall in London, when the directors of the Hall
canceled its letting for a labor demonstration.
" The ' last word ' in Direct Action is with the police and the army,
and there not with the officers but with the rank and file. The vast
majority of Trade Unionists object to Direct Action, whether by
landlords or capitalists or by organized workers, for objects other
than those connected with the economic function of the Direct Ac-
tionists. Trade Unionists, on the whole, are not prepared to dis-
1 From that modest demand to the Joint Control demand of 1920
is the measure of the British Social Revolution. Harry Gosling, head
of the Transport Workers, has made the same psychological change
in three years.
502 THE PUBLIC
approve of Direct Action as a reprisal for Direct Action taken by
other persons, or groups. With regard to a general strike of non-
economic or political character, in favor of a particular home or
foreign policy, we very much doubt whether the Trades Union Con-
gress could be induced to endorse it, or the rank and file to carry it
out, except only in case the Government made a direct attack upon
the political or industrial liberty of the manual working class, which
it seemed imperative to resist by every possible means, not excluding
forceful revolution itself.
The New Unionism
"The Trade Unionist objects, more strongly than ever, to any
financial partnership with the capitalist employers, or with the share-
holders, in any industry or service, on the sufficient ground that any
such sharing of profits would, whilst leaving intact the tribute of rent
and interest to householders, irretrievably break up the solidarity of
the manual working class.
"The object and purpose of the New Unionism of 1913-1920 cannot
be attained without the transformation of British politics, and the
supersession, in one occupation after another, of the capitalist profit
maker as the governor and director of industry.
" Profound was the disappointment, and bitter the resentment, of
the greater part of the organized Labor Movement of Great Britain
when it was revealed how seriously the diplomatists at the Paris
Conference had departed from these terms (labor, Lloyd George and
Wilson Statements) in the Treaty of Peace which was imposed on
the Central Empires.
"The General Federation of Trade Unions may be said to have
now disappeared from the Trade Union world as an effective force
in the determination of industrial or political policy.
"Any history of Trade Unionism that breaks off at the beginning
of 1920 halts, not at the end of an epoch, but at the opening of a new
chapter."
The movement is seething with new ideas, but also is uncertain
of itself. It is groping after a precise adjustment of powers and
functions between Associations of Producers and Associations of
Consumers.
" As yet the mass of the people, to whom power is passing, have
made but little effective use of their opportunities. At least seven-
eighths of the nation's accumulated wealth, and with it nearly all the
WHAT THE PEOPLE SAY 503
effective authority, is still in the hands of one-eighth of the popula-
tion. The leisure class — the men and women who live by owning
and not by working, a class increasing in actual numbers, if not
relatively to the workers — seem to the great mass of working people
to be showing themselves, if possible, more frivolous and more inso-
lent in their irresponsible consumption, by themselves and their fami-
lies, of the relatively enormous share that they are able to take from
the national income.
" The truth is that Democracy, whether political or industrial, is
still in its infancy."
To state the democratic problem in fundamental form, "the
sea-saw is between the aspiration to vest the control over the
instruments of production in Democracies of Producers, and the
alternating belief that this control can best be vested in Democ-
racies of Consumers."
" The record of successive attempts, in modern industry, to place
the entire management of industrial undertakings in the hands of
Associations of Producers has been one of failure. In marked con-
trast, the opposite form of Democracy, in which the management has
been placed in the hands of Associations of Consumers, has achieved
a large and constantly increasing measure of success."
Not only is this shown in certain extensive fields of industrial
operation of Municipal and National Government, but in the suc-
cess in the importing, manufacturing, and distributing of household
supplies, of the voluntary Associations of Consumers known as
the Co-operative Movement.
A vocational democracy is now to be superposed on a democracy
based on geographical constituencies.
In each generation there is the intolerant fanaticism of en-
thusiasts insisting on some one form of democracy. To-day we
see a revival of faith in Associations of Producers, as the only
form that democratic organization can validly take.
"There would seem to be a great development opening up for the
Works Committees and the ' Shop Stewards.' "
The object and purpose of the workers comprise " nothing less
than a reconstruction of society, by the elimination, from the
nation's industries and services, of the Capitalist Profit-maker.
504. THE PUBLIC
Profit-making as a pursuit, with its sanctification of the motive
of pecuniary self-interest, is the demon that has to be exorcised.
' Co-partnership/ or profit-sharing with individual capitalists, has
been seen through and rejected. But the ' co-partnership ' of
Trade Unions with Associations of Capitalists — whether as a de-
velopment of ' Whitley Councils ' or otherwise — which far-
sighted capitalists will presently offer in specious forms (with a
view, particularly to Protective Customs Tariffs and other devices
for maintaining unnecessarily high prices, or to governmental
favors and remissions of taxation) is, we fear, hankered after by
some Trade Union leaders."
The above are a few extracts from the new " History." The
Webbs mop up every salient minute fact. They operate like a
vacuum cleaner. The student of British labor need hardly be
reminded that no other book on these recent years is so necessary
for him as the revised History of the Webbs.
GENERAL COUNCIL FOR LABOR
The special Trades Union Congress of December 9 and 10,
1919, passed this resolution:
" That . . . the Parliamentary Committee be instructed to revise
the Standing Orders of Congress in such manner as is necessary to
secure the following changes in the functions and duties of the
Executive body elected by Congress : —
" (i) To substitute for the Parliamentary Committee a Trades
Union Congress General Council, to be elected annually by Congress.
" (2) To prepare a scheme determining the composition and meth-
ods of election of the General Council.
" (3) To make arrangements for the development of administrative
departments in the offices of the General Council, in the direction of
securing the necessary officials, staff, and equipment to secure an
efficient Trade Union center.
"Further, the Parliamentary Committee be instructed to consult
with the Labor Party and the Co-operative Movement, with a view to
devising a scheme for the setting up of departments under joint
control responsible for effective national and international service in
the following and any other necessary directions: —
" (a) Research: To secure general and statistical information on all
questions affecting the worker as producer and consumer by the co-
ordination and development of existing agencies.
WHAT THE PEOPLE SAY 605
" (6) Legal advice on all questions affecting the collective welfare of
the members of working-class organizations.
" (c) Publicity, including preparation of suitable literature dealing
with questions affecting the economic, social, and political welfare of
the people, with machinery for inaugurating special publicity cam-
paigns to meet emergencies of an industrial or political character."
INDEX
Accidents in mines, 46
Accountancy and audit, 350
Adler, Felix, 370
Administration, 484, 485 ; coal
mines, local, 431 ; problem and
dangers, 477, 478
Admiralty coal, 440
Amalgamated Society of Engi-
neers, 206, 230
America, civilization, 451; finan-
cial position, 261
Americans, attacks on, Bottom-
ley's, 242
Andrews, Mrs., 224
Apprenticeship and the Whitley
Councils, 364
Aristocracy, 450
Army, 483, 484
Artists, 17
Aspiration, 265
Asquith, H. H., 123, 144
Audit, 350
Ball, John, 458
Basic wage, 7
Baths, pit-head, 223
Beer, Max, 455, 465; on the La-
bor Party, 462
Belgium, labor party, in
Bell, T., 203, 204
Benbow, 463
Benn, E. )., 52, 58
Bergson, 18
Besant, Annie, on India, at South-
port, 94
Births, 236
Blacklegs, 142
Board of Trade and the Whitley
Councils, 366
Bonus shares, 392
Books. See Literature
Bottomley, Horatio, 240
Bowley, Professor, 298
Brace, William, 121 ; on nation-
alization, 90-91
B ranting, Hjalmar, message to
British labor, no
Bray, J. R, 467
British Labor Party. See Labor
Party
British Socialist Party, 203, 204
British society, 274
British Trades Union Congress at
Glasgow in September, 1919,
action taken, 112; composition,
114; leaders of opinion and ac-
tion, 112; resolution as to di-
rect action, 127; resolution for
industrial parliament, 118; sum-
ming up of results, 132-133;
vote of censure, 117; vote on
nationalization, 121
British traits, 258
Bromley, J., on political and di-
rect action, 90
Brownlie, J. T., on his interview
with the king, 488
Building industry, Committee of
Scientific Management, mem-
bership, 339, 356; conditions of
entry, 352; organized public
service — interim report of com-
mittee, 339
Building Workers' Industrial
Union, 202
Burns, John, 469, 470
Bute, Marquis of, 51
Cabinet, industrial, 139
Campbell, Janet, 236
Capital, living, 349
Capital and labor, 283, 489
Capitalism, breakdown in coal in-
dustry, 171 ; railwayman against,
213 ; Russell, Bertrand on, 491 ;
Workers' Committee movement
and, 199
Capitalist system, 281
Caste, 250
Cecil, Lord Robert, on war, 491
507
508
INDEX
Central authority, 76
Central Hall, Westminster, 317
Central Labor College, 169, 205,
212, 474
C. G. T., in
Chartism, 467, 469; measures pro-
posed, 468
Chicago Convention of 1905, 204,
207
Child labor, 330
Children, employment, 237; health
and medical examinations, 238;
health and welfare, 236-237
Church, picture of an old Eng-
lish, 245
Civil service, 478, 481, 483, 486
Class idea, 250
Class warfare, 473
Clyde region, 472
Clyde Workers' Committee, 187
Clynes, J. R., at Glasgow, on na-
tionalization and violent meth-
ods, 129; at Southport, on di-
rect action and the power of
the workers, 102; industrial
council suggestion, 71 ; on com-
petition, 162; on failure of pres-
ent Government, 254; on po-
litical influence, 123 ; personal-
ity, 31, 102, 163; philosophy,
132; source of power, 123
Coal, collective production, 44;
output, 153
Coal Commission, 26; analysis of
classes of witnesses, 53 ; col-
lapse of owners' witnesses, 38,
39; composition, 37; Gain ford's
evidence, 302; Haldane's evi-
dence, 480; individual owner-
ship, 44 ; precis of evidence sub-
mitted by G. D. H. Cole, 409;
sessions, 33 ; significance, 28 ;
social revolution, 151; spirit
permeating conferences, 39; un-
rest that created it, 39; useful-
ness, 216, 221 ; Wallas's evi-
dence, 477; women witnesses,
223 ; work, 42
Coal industry, case for self-gov-
ernment, 170
Coal Industry Commission Act,
1919, report by Mr. Justice San-
key, 422
Coal mines, export trade, 440;
finance and publicity, 437 ;
safety, health, and research,
439; scheme for local adminis-
tration, 431 ; state ownership,
purchase and operation, 426, 428
Coal owners, 37; case of, 48; con-
demnation of system, 42 ; feel-
ing of workmen toward, 40; re-
buttal, 47
Coal royalties, state ownership,
423
Cobbett's Register, 460
Cole, G. D. H., 390 ; colloquy
with Mr. Justice Sankey, 265,
419 ; on syndicalism, etc., 475 ;
precis of evidence submitted to
Coal Commission, 409
Coleridge, S. T., on wealth, 462
Collective bargaining, 300, 369
Combinations, 464, 465 ; develop-
ment, 282
Commercial control, 267
Commercial management, 297
Committee, term, 208
Common policy, 118
Communism, 207, 458, 459
Communist League, 204
Communist Party, 204
Communists, 208
Community enterprise, 6
Competition, 158, 162, 289;
growth, 282 ; workers' opposi-
tion to the system, 256
Compromise, British instinct for,
5, 161, 165, 258, 472, 473
Compulsion of Government by
labor, 118, 121, 162; way they
do it, 147
Concerted action, 76
Concession, 461
Conciliation, 137, 473; notes on
Whitley Councils' work as to, 363
Connolly, James, 202, 500
Conscription, 23, 84, 87, 90, 127,
128, 133 ; Glasgow Congress' ac-
tion, 112; Southport Confer-
ence resolution, 105
Conservation, 290
Consumers, 278, 274; associations,
291, 502, 503; relations with
producers, 283
Contentment, 216, 217
Control of industry, as a remedy
for unrest, 382 ; commercial.
267 ; democratic, 291 ; germ,
264 ; indefinite meaning, 264 ; la-
INDEX
509
bor partnership, 138; objections
of Baron Gainford, 302-303;
percentage, 265, 267; railways,
213 ; report of committee on na-
tionalization, 281 ; sharing, 6, 7,
27 ; state, 285 ; value, 284 ;
workers' desire, 269; 373; see
also Joint control
Cooper, R. W., 159
Co-operation, 309
Co-operative Magazine, 461
Co-operative movement, 149, 218
Co-operative production, 293
Co-operative societies, 290
Costing system, 353
Costs, reduction. See Scientific
management
Councils, 310
Coventry Engineering Joint Com-
mittee, 192, 198
Cramp, C. T., on self-government
by railwaymen, 212
Crisis, how to meet, 165
Cummings, R. W., on the religion
of labor, 489
Daily Mail, 161
D'Arragona, Signer, message to
British labor, 109
Davies, Emil, on joint control,
156
Davies, Margaret L., 226, 227
Debs, Eugene, 20, 69
Decasualization of labor, 343
Decentralization, 215
De Leon, Daniel, 203, 262, 470,
473, SOD
Democracy, 291, 292, 452; social-
ism and, 471
Democracy, industrial. See In-
dustrial democracy
Democratic control, 291
Derbyshire Miners' Association,
419
Despard, Mrs., 224
Devonport, Lord, 140
Dignity, 123
Dilution, 185, 186, 188, 190
Direct action, 88, 123 ff., 131, 133;
demand for, 501 ; Labor Party
and, 83, 85 ; meaning of the
phrase to British workers, 105-
106; political aims and, 89, 90;
Southport Conference resolu-
tion, 98, 105
Directors, boards of, 264
Discontent, 217
Disputes, cost of winning, 140;
notes on Whitley Councils'
work as to, 363; railway, 441
District Joint Industrial Councils,
list of industries, 367
District Mining Councils, 177,
17.8, 433
Dividends, large, statistics, 390
Doctors, 17
Domestic service, 238-239
Dukes, 216
Duncan, Charles, 202
Dunraven, Lord, 50, 52
Durham, 47
Durham, County of, 221
Durham, Earl of, 50, 52, 165
Dynevor, Lord, 50
Earnings, large, statistics, 390;
surplus, 350; wages and, 379
Economic rent, 43
Economic system as foundation
of misery, n
Economic waste, 284
Edinburgh Review, 460
Education, 19, 205; effect on la-
bor, 251; importance, 482; in
mining industry, 480; Whitley
Councils and, 364
Education Act, 237
Elections, municipal, 277
Emergencies, British way in, 273-
274
Emigration, 31
Employers, 281 ; attitude to la-
bor, 381, 388; trade union ne-
gotiations, 326, 335
Employment, factory department,
313; stabilizing, 328
Engineering Employers' Federa-
tion, agreement with trade
unions, 195
Engineering workers, 186, 190, 192
England, beauty, 243 ; condition
in 1810, 460; kind the workers
want, 215; Old England, 243
English Rent Act, 188
Equality, instinct for, 455 ; labor's
feeling, 250; political, 461.
Equipment of workers, 269
Esher, Viscount, 59, 487
Export trade, 282, 287, 290; coal,
440
510
INDEX
Fabian Society, 470, 471
Factories, legislation, 235 ; Rown-
tree's dream, 306
Factory and Workshops Act, 237
Farrell, J. S., 9
Federation of industries, 281
Finance, mining industry, 415,
437; national conditions, 97;
situation, 29
Fisher, F. M. B., quoted on man-
agement, 285
France, federation of trade
unions, in; working class, no
Free speech, 492
Freedom. See Liberty
Fundamentals, 165, 166
Gain ford, Baron, evidence to Coal
Commission, 302
Gallacher, W., 204
Geddes, Sir Eric, on competition,
158; on Government offer to
railwaymen, 443
General Council for labor, 504
General Federation of Trade
Unions, 502
General strike, 468 ; term, 463
George, Henry, 470
Germany, 91
Glasgow, industrial unionism,
202 ; see also British Trades
Union Congress at Glasgow
Gompers, Samuel, 22
Goodrich, Carter, 273
Gosling, Harry, 501 ; on a labor
movement head, 139; sugges-
tions on control, 292
Government, attitude to labor,
381, 388; character of the pres-
ent, 253, 254, 255 ; condition in
1810, 460; labor compulsion,
118, 121, 162; policy in relation
to industry, 376, 384; railway-
men, offer to, 441 ; workers'
compulsion, 147 ; see also State
Government servant, new kind,
477
Grand National Consolidated
Trades Union, 466
Greenwood, Arthur, 414
Gretton, R. H., 446
Guild organization, 266
Guild Socialism, 170, 182, 214, 215,
292
Guild Socialists, 266
Guildsmen, 262, 263, 271, 272
Haldane, Viscount, 265; as wit-
ness before Coal Commission,
480
Hardie, Keir, 470
Hart, Mrs. M. E., 223
Hartshorn, Vernon, 47; on joint
control, 156
Hatred, 240, 241, 242
Health, coal mining industry,
439; industrial workers, super-
vision, 236; workers', 308
Health insurance, 237
Hearst newspapers, 242
Henderson, Arthur, 337, 390; at
Southport, 96; on international
movement and ending the gov-
ernment, 116-117; on Ireland,
495 ; on President Wilson, 86 ;
on the Southport Conference,
108-109; personality, 31, 163;
position as labor leader, 115
Herd movements, 210
Hewlett, Maurice, quoted, 274
Hobhouse, L. T., 318
Hodges, Frank, at Southport
Conference, 80; at Southport,
on direct action, 101 ; influence
and its secret, 123 ; on direct
action for political ends, 122,
123, 124; on industrial conflict,
77; personality, 31, 34, 163;
policy and philosophy, 127 ;
sketch of his life, 169; typical
views, 34-35 ; on workers' con-
trol, 170 ff.
Holidays, 314; work on, 324
Home Rule, 493
Home, Sir Robert, 488 ; on Gov-
ernment and industry, 376; on
trade unions, 109
Hours of work, 7, 308, 380, 386;
miners. 42, 43 ; recommendation
of Second Industrial Confer-
ence, 74; Smillie's services, 64;
weekly maximum, 320-321 ;
Whitley Councils' efforts in re-
gard to, 361 ; workers' de-
mands, 154
House of Commons, 465
House of Trades, 466
Housing, 19, 328, 380. 387; miners,
46, 219 ; miners', women's testi-
mony, 223, 224; soldiers', 255
INDEX
511
Hovelaque, Emile, 453, 454
Humor, British sense of, 164, 165,
258
Hyndman, Henry M., 470
Hynes, J. J., 116
Independent Labor Party, 203,
470, 471, 472
India at the Southport Confer-
ence, 94
Industrial and political questions,
89, 101, 121, 124
Industrial cabinet, 139
Industrial Conference. See Na-
tional Industrial Conference ;
Second Industrial Conference
Industrial conflict, 77
Industrial councils, 329
Industrial democracy, 164, 183,
475 ; Smillie as leader, 60, 62
Industrial revolution, 185; see
also Revolution
Industrial system, 487 ; condition,
277 ; development, 281 ; work-
ers' opposition, 256
Industrial unionism, 198, 468,
474 ; change : tendencies, 207 ;
ideas, 201 ; latent ideas, 204
Industrial Workers of Great
Britain, 201, 202
I. W. W., 201, 204, 207
Influence, political, 123
Inge, Dean, on industrial system,
256, 487
Initiative, 482, 483, 484, 486
Instincts in industry, 270, 273, 468
Intellect, 451
Intellectuals, 260, 261
International consciousness, 254
International movement, 116, 117
Ireland, 493; question at Glas-
gow, 132; self-determination,
494
Irish Republic, 404, 495
Iron and steel trade wages, 62
Italy, labor organization, 109
Jenks, J. W., on prices, 283
Jerome, J. K., on the press, 4QI-
492
John Bull, 240, 242
Joint control, 7, 19; coal indus-
try, 170; definition, 155; mines,
42; railways, 213; railways,
Government scheme, 441 ; work-
ers' demands, 154, 169
Joint Industrial Councils, progress
in establishing, workpeople in
each industry, 368; see also
Whitley Councils
Jones, Kennedy, 16
Jouhaux, M., message from
French C. G. T. to British la-
bor, in
Jus naturale, 458
Key industries, 107
Kirkwood, David, personality,
105
Labor, attack on old British or-
der, 1 12 ; basis of forward move-
ment, 106-107; changes sought,
list, 19; coming into power,
147; differences as to method,
108; effect of the war, 7, 249;
immediate gains, 19; inertia,
255, 257; latent power, 9; mid-
dle class and, 14; need of in-
dustrial cabinet, 139; philosophy
lacking, 18 ; philosophy of
younger elements, 104; political
expression, 22; religion, 489;
slowness, 275 ; unreadiness and
weakness, 253; weakness in
Parliament, 115
Labor and capital, 283, 489
Labor College, 169, 205, 212, 474
Labor leaders, 36, 115, 276; im-
portance of knowing, 109; past,
470; philosophy, 127, 132;
Smillie, 60, 62
Labor Party, 470, 472; direct ac-
tion, 83, 85; early dream, 463;
impotence, 125; Irish policy,
493; issues, 80; membership,
81 ; officers, 81-82; women and,
225 ; see also Southport Con-
ference
Land ownership, 217, 218
Landlords, 217
Larkin, James, 475
Laski, H. J., 75, 265; on psy-
chology of industry, 272
" Lateral pressure," 370
Law, Bonar, quoted, 487
Lawrence, Susan, 223
Leadership, 133; see also Labor
leaders
League of nations, MacDonald
on, 81, 91, 93
512
INDEX
Leisure, 19
Leisure class, 503
Liberalism, 457, 472; relations
with labor, 461
Liberty, 6, 458, 466; spirit to win,
159
Lippmann, Walter, quoted, 272
Literature, books which have
moved the masses, 457 ; com-
munistic, 209 ; socialistic, 455 ;
sociological, 203
Lloyd George, David, cure for un-
rest, 252; opportunism, 165;
peace program, 254
Local Mining Council, 431
London Corresponding Society,
459
London School of Economics,
482, 485
Londonderry, Marquis of, 50, 165
Lords, as witnesses in Coal Con-
ference, 49
Lovett, William, 467
Luddite actions, 460
Macarthur, Mary R., 226, 227
MacDonald, Ramsay, on league
of nations, 81, 91, 93; on the
labor conflict, 488; personality,
91-92
McGurk, J., address at South-
port, 84
Machinery, 468
McLaine, William, on President
Wilson, 85
Maclean, Neil, 98
MacManus, A., 203, 204
Management, coal industry, 152;
coal industry, state share, 413 ;
commercial, 297; objection to
bureaucratic, 285 ; problem, 272 ;
state, 285 ; wages of, 347 ;
workers' share, 296; see also
Scientific management
Managerial classes, 264, 272
Manchester Guardian, quoted,
487
Manchester national conference
of stewards' committees, 191
Mann, Tom, 75, 202, 205, 474,
500; life and influence, 206
Manual workers' equipment, 269
Markets, 293-294
Marshall, Alfred, on Guild or-
ganization, etc., 266
Marx, Karl, 472
Marxian teaching, 205, 212
Materialism, 490
Maternity and Child Welfare
Act, 236
Maternity Benefit, 236
Middle class, associations, 13 ;
bankruptcy imminent, 12; creed,
457; definition, 13, 17; future
prospects, 15 ; history and
qualities, 446 ; labor movement
and, 14; protests against condi-
tion, 12
Middle Classes' Union, 16
Military service, effect in organ-
ized labor, 190
Millionaires, 218, 219
Milner, Viscount, on nationaliza-
tion, 490
Miners, bill for nationalization,
172 ; condition, families, etc., 45,
47; condition in past, 39; con-
sciousness of wrong, 171 ; hous-
ing, 46; life of a miner, 47, 58,
216; strength of their union,
113; unrest, 55.
Miners' Federation, 172
Miners' wives, 223
Miners, accidents, 46; joint con-
trol, 219; ownership, 220; see
also Coal Commission ; Coal
mines ; Nationalization
Minimum wage, 7
Mining. See Coal industry
Mining districts, 433
Minister of Mines, 174
Minister of Railways, 501
Ministry of Labor's notes on
Whitley Councils, July, 1919,
358
Ministry of Transport, 212, 441
Mob element, 240
Mobilization, 481
Money, Sir Leo Chiozza, 35, 38
Money, 446, 452
Monopolies, 301 ; state, 287, 288,
289; state regulation, 289
Morris, George, quoted, 32
Morrison, James, 464
Mothers' health and welfare, 236
Motor transport, 141
Muir, J. W., 203
Municipal elections, 277
Municipal enterprise, 287
Munitions work for women, 238
INDEX
513
Munro, Sir Thomas, 318, 337
Murphy, J. T., 204; on shop
stewards and workers' commit-
tee movement, 184; on the
ideas of revolutionary labor,
201; sketch, 184
Napoleonic wars, 459
National Guilds League, 207
National Guildsmen, 501
National Health Insurance Act,
237
National Industrial Conference,
meeting of Feb. 28, 1919, 70;
party, constituent, 71 ; report by
subcommittee, 73 ; resolution,
71 ; results, 73 ; see also Second
Industrial Conference
National Industrial Council, 330,
336; constitution, 332; objects,
331; proposed, 74, 320; trade
union representation scheme,
337; Whitley Councils and, 3/0
National Joint Industrial Confer-
ence, 26
National Mining Council, 174,
436
National resources, conservation,
290; waste, 284
National Workers' Council, 186
Nationalization, 129, 133; Coal
Commission and, 96 ; coal own-
ers' position, 51, 53; committee
report, 281 ; definition, 285 ;
Glasgow Congress vote, 121 ; is-
sue at the front, 96; key indus-
tries, 7 ; Labor Party and, 83 ;
Milner, Viscount, on, 490; Min-
er's bill, 172; mines, 49, 80, 89,
90, 91 ; mines, Glasgow Con-
gress action, 112; mines, San-
key's report, 54; miners' report
rejected, 276; Peterborough,
Bishop of, on, 490 ; public utili-
ties 19, Smillie on, 118; value,
284, 285; Wallas, Graham, on,
477
Nationalization of Mines and
Minerals Bill, 1919, 344
Natural law, 458
Natural rights, 458
Navy, 483, 484
Negotiations of employers' and
workers' associations, 326, 335
Neutral trades, 137
New Age, 214, 475
New order, General Smuts on,
249, 492
Newspapers, disturbing element
m, 240, 241
Nobijity, 165, 216
Norris, William, 243
Northumberland, Duke of, 51, 96,
165
Notification of Births Act, 236
Old age pensions, 330
Old England, 243
" Old timers," 30
One big union, 208, 466, 467
Oratory, 123
Order, British love of, 163
Organization, by industry, 207,
208; large-scale, 477; Whitley
Councils and, 365
Output, restriction, 153, 342
Overtime, 323, 328
Owen, Robert, 461, 463, 464
Ownership, mines, national, 415;
private, 220; private and na-
tional, 161; public, 215; state,
267
Oxford movement, 468
Parliament, labor groups weak-
ness, 115
Parliamentary Committee of the
Trades Union Congress, cen-
sured, 117; character, 114, 115;
instruction for scheme of com-
mon policy, 118; slowness, 20,
26; Smillie and, 66; strength-
ened by Thomas, 133
Participation. See Control; Joint
Control
Patricia, Princess, 73
Paul, W., 203
Peace policy, 254
Peet, George, 204
Pensions, 330
People, will of, 166
People's Charter, 467
Perry, R. B., quoted, 251
Peterborough, Bishop of, on na-
tionalization, 490
Phillips, Marion, 107, 224, 226,
227
Piece work, 314
Pit-head baths, 223
Plumb plan, 213, 273
INDEX
Political capacity, 166
Political influence, 123
Poverty, 166, 274; abolishing,
159; as sequel of the war, 29;
British workers, n, 12; pros-
pect, 238, 239, 260, 261
Press, Jerome, J. K., on, 491-492;
mob and hatred elements, 340
Pressure. See Compulsion of
Government
Price, Sir Keith, on bureaucratic
management, 285
Prices, 261, 283, 373, 383
Private enterprise, 9, 52, 158, 163;
failure, 152; in America, 10;
mining, 43
Private interests, 162
Problems, 223
Producers' associations, 502, 503 ;
relations with consumers, 283
Production, 30 ; co-operative, 293 ;
regulating, 464 ; unemploy-
ment and, 328-329
Profiteering, 7, 374, 383
Profits, 36; conception, 446; pool-
ing, 299; private, 19, 157, 158;
questions as to, 41, 42, 43 ;
shareholders', 9; sharing, 298,
299; surplus earnings, 350
Property, miners, 43; rights, 49,
52; sacredness, 10, 62, 164
Psychology, change, 251 ; need of,
270
Public opinion, disturbers of, 240;
railway disputes, 441 ; reaching,
143 ; various quotations, 487
Public ownership, 215; see also
Ownership
Public service, building industry
report, 339
Public service industries, 287
Public utilities, 19, 163
Publicity, 240, 505 ; mining indus-
try, 437 : trade statistics, 297 ;
Whitley Councils and, 365
Radicals, rewards in the past, 469
Railway Advisory Committee,
441, 444, 445
Railway strike, 136; fourteen me-
diators list, 136, 137; govern-
ment and, 140; result, 142;
Webb summary, 497
Railwaymen, Government offer
to, 441 ; self-government, 212 ;
wages, 276; -workers' control,
264
Railways, joint control, 213; or-
ganization proposed, 213
Recognition, 326; of trade unions,
380, 387, 499 ; principle of, 264
Reconstruction, 28, 254, 257;
failure, 275
Rectory, an old English, 244
Redmayne, Sir Richard, on indi-
vidual ownership, 157-158; on
ownership of collieries, 44;
questioned by Smillie, 45
Reform, 456; revolutionary char-
acter, 457
Reform committees, 199
Regularization of demand, 342
Religion of labor, 489
Renaudel, Pierre, message to
British labor, no
Renold, C. G., 269
Report of Provisional Joint Com-
mittee at Industrial Conference,
Westminster, April 4, 1919, 317
Report on nationalization, 281
Representative machinery, 381,
387
Reserve funds, 393
Restriction of output, 153; fac-
tors, 342
Reverence, loss of, 250
Revolution, as organic change,
113; British attitude, 27, 28;
change by constitutional meth-
ods, 167 ; evolutionary, 128 ; gen-
tle, 152, 161 ; " humorous," 164 ;
social, 151, 153, 163; without a
philosophy, 9; workers and, 99-
100; workers' demands, 154
Revolutionary wing of labor, 201,
209
Rowntree, B. S., on the ideal fac-
tory, 306
Rhondda, 224
Rights, 458
Royalty, industrial conference
and, 73
Russell, Bertrand, on capitalism,
491
Russia, British Labor Party on
ending intervention, 80, 82, 85 ;
direct action in case of, 122;
Glasgow Congress action on,
112; Glasgow Congress discus-
sion, 117; intervention, 84, 85
INDEX
515
Safety in coal mines, 439
Salariat, 13
Sanity, 258
Sankey, Mr. Justice, 33, 54, 173,
285 ; colloquy with Cole, 265,
419; on a new class of men,
266; on administrative officers,
486; on incentive, 267; report —
Coal Industry Commission Act,
1919, 422; report on Coal Com-
mission, 54; report rejected,
276; women's testimony, 224
Scientific imagination, 269
Scientific management, 62, 315 ;
building industry, 340, 352
Scott, J. W., on syndicalism, 18
Second Industrial Conference,
April 4, 1919, 74; Report of
Provisional Joint Committee,
317
Sectional unions, 194
Self-determination, Ireland, 132;
nations, 255 ; various groups of
workers, 268
Self-government, in industry, 271 ;
railwaymen, 212; workshops,
292, 294
Seriousness of British labor lead-
ers, 123
Seven-hour day, 43
Sexton, James, at Southport, on
nationalization and conscription,
89-90
Shackleton, Sir David, 318
Shaw, G. Bernard, 471
Shaw, Tom, 121 ; on industrial ac-
tion in political matters. 122;
on Russia and conscription, 128
Sheffield Workers' Committee,
184, 189
Shop committees, 5°3
Shop steward, 503; regulation (of
certain trade unions) regarding
employment and functions, 196
Shop Stewards' movement, 27,
184; growth and character, 186;
organization, 185 ; philosophy,
201 ; structure, principles, ob-
jects, shop rules, 188
Short time, organized, 327
Slackness, 274
Slesser, Mr., 172
Slowness, British, 20, 21, 164
Slums, 218-219
Smillie, Robert, 19; appearance,
65 ; at Coal Commission, 49, 56 ;
at Glasgow, on the Russian
blockade and intervention, 117;
belief, 23; eloquence, 66; in
Southport Conference, 88; moral
authority, 68-69; on evolution-
ary revolution, 128; on joint
control, 156; on nationalization,
118; personal life, 59; person-
ality, 31, 62, 134, 163; power,
28; public life, 58; summary of
views, 215; traits, 65, 66; voice,
67, 68
Smith, A. M., 337
Smith, Herbert, 37
Smuts, General, on the new order,
249, 492
Snowden, Philip, 105
Social changes, unconscious, 209
Social revolution, what is said of
it, 487; see also under Revolu-
tion
Socialism, definition, 31 ; develop-
ment, 469; phases in history,
470; revolution and, 220
Socialist Labor Party, 202, 203,
205, 468, 470
Socialist Labor Party in Scotland,
473
Socialist society, 215
Socialist state, 29, 31, 259
Socialists, origin of term, 461
Soldiers, houses for, 255 ; re-
turned soldiers' demands and
feelings, 82
South Wales, 205, 472
South Wales miners, 172
South Wales Miners' Federation,
206
Southport Conference, June, 1919,
discussions, 84; foreign dele-
gates, 91, 93, 109; messages
from foreign labor leaders, 109;
resolution on conscription, 105 ;
resolution on direct action, 98,
105 ; summary, 79 ; women as
speakers, 107
Standard of living, 6, 19; miners,
42
Standing Joint Committee of In-
dustrial Women's Organiza-
tions, 226
State, aim, 289; development of
industry, 328; industry and,
300; monopolies, control, 285,
516
INDEX
289; ownership, purchase, and
operation of coal mines, 426,
428; ownership and purchase of
coal royalties, 423, 425 ; place
of, 457; see also Government
State management, 285
State ownership, 267
Statistics, Whitley Councils and,
365
Stevenson, Sir D. M., 57
Storrs, J., 340
Straker, William, 409; on free-
dom, 159
Strike committee, term, 208
Strikes, dangerous weapon, 122;
for political ends, 85, 87; gen-
eral, 463, 468; of May, 1917,
191; on political issues, 113;
principles of Government ac-
tion, 144; right to strike, 213;
universal, 256
Surplus earnings, 350
Sweden, labor, no
Syndicalism, 17, 156, 174, 214, 292,
464, 467, 468, 472, 500; British
brand, 262 ; French, 474 ; inter-
pretation and adaptation, 475 ;
new phase, 473; socialism and,
473
Syndicalists, 206, 270
Talbot, Benjamin, 62
Tawney, R. H., 35, 37 ; on labor
and capital, 489; views, 36
Taxation, 19, 166, 167
Teachers, condition, 14
"Team spirit," 341, 352, 356
Technical employees, 15
Technical officers, 479
Textile trades, 235 ; women in, 230
Theft, 311-312
Thinkers, 262
Thomas, J. H., at Glasgow, on in-
dustrial action in political mat-
ters, 122; Government scheme
of joint railway control, 441 ;
leadership, 133 ; on conscription,
127; on demands of workers,
154; on Ireland, on results of
Glasgow Congress, 132, 133; on
state ownership of mines, 120;
personality, 60
Tillett, Ben, on direct action and
revolution, 99; personality, 99
Titles, 450, 451
Trade, definition in committee re-
port, 325
Trade statistics, publicity, 297
Trade union leaders, 136, 220, 253
Trade unionism, atmosphere, 295;
conception, 457 ; development
before 1832, 463; intellectuals,
260, 261; membership, 496, 498;
new unionism, 502; representa-
tion, 499; slowness, 20; state
recognition, 300, 499; strength-
ening its central government,
142; structure in 1920, 408;
Webb History, revised edition,
496 ; women and, 228 ; workers'
control and, 500
Trade unions, 309; attitude to-
ward employment of women,
228; exclusively for women,
229 ; future common policy pro-
posed, 118; leadership, 115;
membership, 115; minority con-
trol, 269; negotiations with em-
ployers, 326, 335 ; old timers, 30 ;
partnership in control of indus-
try, 138; power, 29, 76; pres-
sure, 370; recognition, 380, 387;
scheme for representation on
National Industrial Council,
337 ; shop steward regulations,
196; value, 109; women's mem-
bership, 229, 239
Trades Union Congress, what it
is, 26
Trades Union Congress of De-
cember, 1919, 142, 206, 504; see
also British Trade Union Con-
gress, etc. ; Parliamentary Com-
mittee of the Trades Union
Congress
Traits. See British traits
Transport Workers' Federation,
136, 139, 141
Treasury Agreement, 220, 238
Treaty of Versailles, 253, 502
Tredegar, Lord, 50
Tree. old. 246
Triple Alliance, 19, 148, 150, 220
Trust, 312
Ulster, 494, 495
Under-consumption, 328-329
Unemployment, 19, 152, 316; as
cause of unrest, 377; dealing
with, 384; maintenance during,
INDEX
617
329, 336; pay, 345; preventing,
3?7,. 335
Unionism, industrial versus sec-
tional, 107 ; see also Trade
unionism
Universal strike, 256
Universal suffrage, 466
University Socialist Federation,
263
Unrest, causes and remedies, 295;
causes and remedies — memo-
randum of Joint Committee of
National Industrial Conference,
371 ; extent, 255 ; Lloyd George
and, 252; miners, 55; occasions,
251
Upper class, 27, 216, 250, 449, 452
Van Roosbroeck, M., message to
British labor, in
Violence, 129, 259
Wages, earnings and, 379; effect
of war on the question, 138;
increase, 254 ; iron and steel, 62 ;
low scale in past, 11, 12; medi-
ators in railway dispute, 136;
miners', 42 ; miners', Baron
Gain ford on, 303; notes on
Whitley Councils' work as to,
358; of management, 347; pay-
ment by results, 300; Pro-
visional Joint Committee on,
320, 324, 334; railway, scale of
Government, 143; railway war
workers in 19016; 378; sugges-
tions as to, 385 ; two kinds, 313 ;
women's, 232, 233 ; women's, fu-
ture, 234; workers' demands,
154
Wallas, Graham, 270, 271 ; as
witness before Coal Commis-
sion, 477
War, Cecil, Robert, on, 491; ef-
fect, 21, 252, 260; effect on coal
industry, 171 ; effect on labor,
7, 249 ; effect on women's wages,
233 ; poverty as sequel, 29
War advances, dealing with, 325
War Cabinet Committee on
Women in Industry, 228, 230,
233
War Office, 481
Warblington, 243
Waste, economic, 284, 290
Wealth, Coleridge on, 462; redis-
tribution, 455; taxation to dis-
tribute, 19; unequal distribu-
tion, 378
Weavers, 446
Webb, Sidney, 470, 471, 482; on
co-operative production, 294; on
the railway strike, 144; on the
workers' pressure on the Gov-
ernment, 147, 148; personality,
35, 37, 81
Webbs' " History of Trade Union-
ism," revised edition, 496
Whitley Councils, 74, 296; experi-
mentation, 75; failure, 70; notes
on their work, July, 1919, by
Ministry of Labor, 358; prog-
ress in 1920, 369; women's
wages, 234
Whitley reports, 154, 155
Widows, 239
Williams, Robert, on the Triple
Alliance, 150; personality, 87;
returned soldiers and, 82
Wilson, Havelock, defeat and
cause, 120
Wilson, Woodrpw, Bottomley on,
241, 242; British labor's disil-
lusionment in, 85, 86
Women, as Coal Commission
witnesses, 223; at Southport
Conference, 107; economic posi-
tion, 227; exceptional, list, 227;
future wages, 234; interests of
working women, 226; Labor
Party and, 225; Labor Party
conference at Southport, 223 ;
munitions' work, 238; prospects,
238; state regulation of work in
the past, 235 ; technical ability,
479; trade unions for, 229;
wages, 232, 233
Work, British scorn of, 274
Workers, as ruling class, 103 ; de-
mands in brief, 6, 7 ; ideas and
elements of change, 201, 210;
instincts rather than conscious
purposes, 210; power, 456, 469;
power, unrealized, 131, 221,
269; sense of humor, 164: so-
ciety they want, 215; thinkers
and, 262: see also Labor
Workers' committee, term, 208
Workers' committee movement,
184
518
INDEX
Workers' control, 169; basis of
system, 263-264; detailed study,
273; reason for, in the mining
industry, 410; trade unionism
and, 500 ; see also Control ;
Joint Control
Workers' council, term, 208
Workers' International Industrial
Union [Workers' Union], 201
Workers' Socialist Federation, 204
Working conditions, Whitley
Councils and, 363
Working women, 226; see also
Women
Workmen's Compensation Act,
237
Works committees, 297, 355 ;
Whitley Councils and, 367
Workshop control, 184, 198
Yew tree, 246
" Young Men in a Hurry," 30
Youth, philosophy, 104
Youth at the stirrup, 79, 80
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