The coal famine began to tell upon the iron-workers. The furnaces were often laid off for want of coal. The principal causes of the bad supply of coal arose from shorter hours of labour, and higher wages for less work. Yet a bonus of three and a quarter per cent, was allowed on the wages and salaries received by the _employés_ during the year 1871. The co-operative stores continued to be very productive, and many of the members saved considerable sums of money. In the next year, a bonus of three and a half per cent, was divided. But difficulties were in store. The coal famine continued. The employers of labour held meetings to resist the successive advances of wages, and to counteract the operations of the trades unions. Mr. Head strongly urged the men to hold together: "Cease to be deluded," he said, "by these trades unions. Save all you can, and with your savings provide against the day of sickness--a day which is sure to come sooner or later. Provide for old age; read good books,--you have every chance now, with a free library in the town. Give credit to others for wishing to be straightforward and honest as well as yourselves; and in every way I would ask you to act as reasonable, straightforward, sensible English workmen ought to do. Show that you can appreciate being well used, that you can appreciate those who put themselves to trouble that they may do you good; and beware lest, by want of sympathy, you drive the best of the employers out of the business, and retain those alone who are despotic and tyrannical. Cease to follow those who are actuated by self-interest, or by blind impulse; who do not care a bit if they get you into trouble, provided only they serve their own selfish ends. Such men are but blind leaders of the blind, and if you follow them you will eventually find yourselves deserted, and lying hopelessly and helplessly in the last ditch." It was of no use. The men's wages went up twenty per cent.; and there was an end of the bonuses. The coal famine continued. The masters, instead of making profits, made immense losses. The price of iron went down. The mills stood idle for two months. The result was, that when the masters next met the workmen in public meeting, Mr. Waterhouse, the auditor, reported that "while the gross earnings of the year have exceeded the expenditure on materials, wages, and trade charges, they have been insufficient to cover the full amounts to be provided under the co-operative scheme for interest on capital, depreciation, and the reserve for bad debts; and that consequently it was his duty to declare that no amount was at present payable as bonus either to employers or employed." No further report was issued in 1875, excepting an announcement that there was no dividend, and that the firm did not intend to continue the co-operative scheme any longer. During the time that it lasted, the _employés_ had received about eight thousand pounds in bonuses.