Labour policy—false and true : $b A study in economic history and industrial economicsMacassey, Lynden Livingston
History
Labour policy—false and true : $b A study in economic history and industrial economics
Macassey, Lynden Livingston
Industrial policy -- Great Britain; Labor economics -- Great Britain; Labour Party (Great Britain)
The only way to attack the heresy is from the concrete illustration
drawn from the United States of America. There restriction of output is
not merely unknown, it is definitely repudiated by the Trade Unions.
Unfortunately, many labour intellectuals who have no knowledge of
American conditions pervert the facts and hold up to execration the
industrial organization in the United States of America. “Scientific
management,” they have told the British workman, “is merely cunningly
devised slavery in which the shackles of serfdom are so precisely
adjusted that the workman is a mere cog, helplessly and inhumanly
enmeshed in a grinding anti-social mechanism.” The average workman,
however, pays little attention to rhetoric and rodomontade, from
whomsoever it may emanate, and I have succeeded in satisfying bodies of
workmen as to the value of production by taking an American establishment
and giving the output, hours and remuneration per man per annum, or
any other convenient period of time, along with the output, hours and
remuneration per man for the same period in a comparable establishment
in England. The output will be expressed in pounds sterling of wholesale
market prices. This really does sink in. Then the moral can be driven
home. The vital truth can be shown that in a well-run establishment, as
output increases, the cost of the fixed charges per unit of production
decreases. Consequently every percentage increase in output—assuming no
“softening” of the selling price—results in a larger percentage increase
in the amount available for division between workmen and employer.
If that division is effected on equitable lines, there is an obvious
advantage to the worker. That is why the workman in the United States
of America can take home much higher real earnings than his brother in
this country. It is not difficult to satisfy the hard-headed practical
English worker that these higher American earnings are neither manna
dropped from heaven nor doles from more compassionate employers.
If there is scepticism as to the value to Trade Unions of production,
there is complete apathy as to the necessity of production for the
nation’s sake. What is wanted is to secure conviction of the need by
simple homely illustrations. The extent to which in any community
increased production conduces to plenty, and plenty to employment, good
wages, a higher standard of living, and low prices is beyond the present
ken of Labour. In other words, the proposition that the prosperity of a
country depends upon the production in the country obtains no credence
whatsoever; it is generally treated by working men as a sheer irrelevance.
Public-domain text, read in full here on John Shaqi.
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