Higher Education and Business StandardsHotchkiss, Willard E. (Willard Eugene)
Philosophy
Higher Education and Business Standards
Hotchkiss, Willard E. (Willard Eugene)
Business education; Business ethics
The union in this case was fortunate in being represented by a
high-minded man who was a real statesman. The firm selected a trained
economist as labor expert, and he soon had an employment department in
operation. Together these men and their colleagues have kept peace in
the concern and have developed and expanded the machinery for settling
disputes into a model of industrial-relations organization.
Some four years after the strike the business head of the firm
testified in a public hearing that he should scarcely know how to
conduct his business without the organization which now obtains for
dealing collectively with labor. He also in the same hearing expressed
the view that a large employer is a trustee of the public, responsible
for the measure of public welfare in which his business results; and
this man, remember, is not a reformer or even a radical, but just a
successful business man.
In this bit of labor history there were, no doubt, many fortunate but
uncontrollable factors which, otherwise combined, would have brought a
less happy result. But two things stand out: first, the laborers
listened to wise counsel--they were well led; and second, the
employers, when they consented to make an agreement, gave the plan
adopted their genuine support. Combining good citizenship with business
sense they were able to understand the new social influences that make
the formulas of 1880 a poor gauge of efficiency factors in 1910. They
are now enjoying the benefits of their willingness to learn.
The effect of social forces is seen under different circumstances and
from an entirely different angle in the present halting policy of
American railroads.[2] Here, in addition to other social elements in
the question, is the fact of definite government control. This
circumstance has accustomed railway managers to look at both the
internal and the public factors in their success. A number of years
ago, before Mr. Justice Brandeis became a member of the Supreme Court,
he pointed out, as many others have since done, that the railroads were
looking too much to the government factor, and too little to the
economy and effectiveness of their own internal administration. Even
though we concede this point, it is still clear that the highest
efficiency of our railroads must wait upon a clarification of policy
with respect to the great social fact affecting railway operation--the
fact of government control. We may not approve the precise manner in
which the railroads respond to this fact, but obviously they cannot be
efficient and ignore it.
[2] Referring to the situation early in 1916 when this sentence
was written.
Public-domain text, read in full here on John Shaqi.
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