But the lumber market went steadily down and the operators appealed again for a lower wage. This time it was admitted by both sides that the price of everything would have to come down this winter to a lower level, and they would find a way to let down wages and living costs at the same time. So they called in the local merchants of Coos Bay, who agreed to the same facts and promised to make a 15 per cent. cut at once. This was sufficient to cover the cut in wages, and the only persons affected were the merchants, who admitted they had to pocket the loss anyhow.

This instance is illuminating, because it shows how far this idea can be carried and how much trouble can be avoided by men getting together with those to whom they pay wages and coming to an understanding.

Works in Unsteady Market.

If the lumber market should be bad all winter it is apparent the strain would be too great for even so elastic an organization as the “Four L’s,” but by what it has already done it has proved what can be done by human contact. If it can work at all in the lumber industry, which is subject to a very unsteady market, it could certainly work in any other industry. Nor is lumbering a kid-glove industry. The average lumber operator is a plunger, and until the “Four L’s” got started it was always a question of whether the operators were going to “break the back” of labor or whether the loggers were going to “break the back” of the operators.

None of the concerns which have seriously adopted the “industrial council” system pretend they have solved everything. They say they are simply restoring the human relationship which was lost through the growth of industry. They pretend to have found no new principle. Some go in for profit-sharing as a stimulus, others say it is not desirable. That is a matter of opinion. The important consideration is the spirit with which the problem is approached. The mere fact that the management of a factory wishes to introduce such a system would indicate it has not a pinchpenny attitude. But those who oppose it, mostly labor leaders, hold that it is a farsighted scheme to get a bunch of faithful slaves who acquiesce in the smooth arrangements prepared in council, so that they become wage-slaves of the most hopeless kind. They also say, and with justice, that the system removes the incentive for joining labor unions, and, even though the management plays perfectly fair with union men, unions wither up and die, as they get no nourishment.

Makes Men Feel Safer.

At the rate at which the “industrial council” idea is catching on it can be safely predicted that it is going to interfere with the growth of industrial unionism which would otherwise begin to show itself. It has a tendency to make men feel surer of their jobs, which induces them to buy homes and unite their destinies with the industries they serve. It makes them feel they have a stake in the industry. If the spirit behind the movement is wrong this could, as Mr. Fitzpatrick said, lead to a sort of chattel-slavery. But I have noticed in the few plants with “industrial councils” which I have been in that there was a spirit of service. I notice that the bigger American plants have become in a sense institutions, they have a code of conduct developed out of the special world which the institutions create. The people who get the dividends are far away, but the management and the plant are in intimate daily contact.

As I wandered through these plants, each with its own life, it occurred to me that within these plants was developing what the modern sociologists call the social conscience. If it has not such a spirit it does not succeed. The calculating employer who is only pretending mutual interest will not get the service in return.

These same modern sociologists hold that the present era is chiefly remarkable for having created the individual conscience, and the next era will produce the social conscience. They point to Russia and maintain that the theories of Lenine develop the social conscience. Any one will go so far as to say that a social conscience is necessary if Lenine’s ideas are to have a fair show. It would be ironic if the social conscience were to develop quicker in the despised American bourgeois republic than in Bolshevik Russia.

FARMERS’ GROUPS PORTEND FAR-REACHING CHANGES IN NATION’S ECONOMICS