Page:American Journal of Sociology Volume 1.djvu/706

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THE AMERICAN JOURNAL OF SOCIOLOGY

stopped; but there was enough mischief in some to create actual trouble, which it was not well to risk. The proposal was immediately called off, and the work went on in the usual way. There has been a considerable increase of those who leave in 10 per cent. The idea of getting the LeClaire departments, one by one, converted into coöperative shops on a safe basis, has not been abandoned by the company. The only reason for requiring a payment out of wages was to make them in part pay for it themselves, which was apparently the only course that would make them take the necessary interest in it.

The Nelson company has founded a workmen's town, supports schools and kindergartens, libraries, places of amusement, assists a cooperative store, and in various other ways evinces its extraordinary interest in the welfare of its employes. It is not claimed by the company that there is no lessening of its profits, though it repudiates any philanthropic basis for its action. However, it must be admitted that a higher standard of justice here prevails than any one can expect to become immediately prevalent in the business world.[1]

The Rice and Griffen Manufacturing Company, of Worcester, Mass., employ 115 hands in the manufacture of mouldings, sashes and blinds. In 1887 a plan of profit sharing was introduced which is still continued. Interest at 6 per cent, is reserved, and the net profits are divided equally between the employers and those employés who have worked in the company's shops for six months. The bonus has amounted to 4 per cent, on wages some years, though for several of the past years there have been no profits to divide. The firm is of the opinion that the division has not lessened the profits of the firm.

The Procter and Gamble[2] firm, one of the oldest and best known manufacturers of soaps in the United States, located at Ivorydale, a small suburb of Cincinnati, Ohio, have practiced profit sharing since 1887. They employ about 500 laborers,

  1. Two Examples of Successful Profit Sharing by Professor F. W. Blackmar in The Forum for March 1895, is perhaps the most accessible of the many articles written concerning Mr. Nelson's endeavors.
  2. See the article on Two Examples of Successful Profit Sharing in The Forum for March 1895.