The systems of so-called out-of-work benefits maintained by the Iron Molders, Pattern Makers, Tobacco Workers, Granite Cutters, Leather Workers on Horse Goods, and Locomotive Firemen, as has already been noted, merely exempt the unemployed member from payment of national dues. This is a device to retain members in "good standing" during unemployment.
The system maintained by the Iron Molders is the most important of those in operation. The history of the introduction of this benefit by the Iron Molders' Union illustrates the conditions many unions face in building up a system of relief. As a union develops benefits the dues required of members are larger. The unemployed member thus finds himself heavily burdened by the dues he must pay his union at the very time he needs most the protection afforded by the benefit. The establishment of the out-of-work benefit in the Iron Molders' Union was the direct result of the inauguration of a system of sick benefits in 1896. Members in arrears for dues for a period longer than thirteen weeks were excluded from sick relief. The limitation aroused serious dissatisfaction. It was felt that if an unemployed member could not be aided, at least he should be protected against the loss of his right to benefits. Some local unions paid the dues of their unemployed members, but in a period of depression the burden became too great. In October, 1897, two years after the inauguration of the sick benefit, the national union of the Iron Molders assumed the responsibility of paying the dues of unemployed members. All members of six months' standing, who were not in arrears for more than four weeks' dues, became entitled to relief from the payment of dues for thirteen weeks during any fiscal year. The out-of-work benefit does not begin, however, until two weeks after the member has become idle.[[176]] The national union issues through the local unions out-of-work stamps which are received in payment of dues.
The fund for paying the dues of unemployed members is supported by a weekly tax of one cent on each member. For 1898 the income of the out-of-work relief fund was $6,861.61, while the disbursements were only $1278, representing 7100 out-of-work stamps. In the whole period (1897-1907) since the inauguration of the out-of-work benefit, the revenue has more than sufficed for the disbursements. Although the 1899 convention transferred $10,000 of the surplus to other funds, on June 20, 1907, there remained in the fund the sum of $125,021, nearly twice as much as had been expended. The Union has not passed through a period of depression since the system was established, and the officers have insisted that wise policy requires the maintenance of a large reserve.[[177]]
The exemption of unemployed members from the payment of dues takes many forms. The Tobacco Workers' Union provides that members out of employment shall be granted twelve weeks in which to pay dues before they may be suspended from the Union.[[178]] The Granite Cutters' Association provides that any member in good standing and out of employment for two months or more shall be exempt from half of his dues.[[179]] The Brotherhood of Leather Workers on Horse Goods grants exemption from payment of dues for a period of thirteen weeks in any one year to unemployed members.[[180]] The Brotherhood of Locomotive Firemen provides that any member out of employment and unable to pay his dues or assessments shall not be expelled, and that the local lodge must pay his dues for one quarter. It is optional with the subordinate lodge as to whether or not it shall keep the member in good standing for more than one quarter.[[181]]
The regulations enforced by the unions concerning the remission of the dues of unemployed members are less stringent than the rules governing the larger money out-of-work benefit. In the first place the period of good standing required before a member is entitled to assistance is shorter. A member of the Iron Molders is eligible to the benefit after six months of good standing. The Granite Cutters require only a two months' membership.[[182]] Moreover, the rules as to registration are less strict. In the Iron Molders' Union an unemployed member must report the date of the beginning of his idleness at the first regular meeting after he has been discharged and must report in person at every regular meeting of his local union; otherwise he cannot claim the benefit. The Leather Workers have the same provisions. The Tobacco Workers require idle members claiming indulgence in the payment of dues to report to the local financial secretary twice each week.[[183]]
The cost of the exemption of dues in none of the unions is large. The following table gives the chief facts concerning the benefit in the Iron Molders' Union for the period 1900-1906:
| OUT-OF-WORK RELIEF IN THE IRON MOLDERS' UNION. | |||
|---|---|---|---|
| Year. | Number of Stamps Issued Yearly. | Value of Out-of-work[[184]] Stamps | Cost per Memberper Year. |
| 1900 | 23,436 | $ 5,859.00 | $0.12 |
| 1901 | 26,349 | 6,587.25 | .12 |
| 1902 | 10,389 | 2,597.25 | .04 |
| 1903 | 26,073 | 6,518.25 | .04 |
| 1904 | 92,685 | 23,171.25 | .27 |
| 1905 | 24,906 | 6,226.50 | .07 |
| 1906 | 16,676 | 4,169.00 | .04 |
| Average | 31,502 | $7,875.50 | $0.10 |
The great variations in the number of out-of-work stamps issued is due, of course, to variations in the amount of unemployment. The annual amount of unemployment per capita, so far as it is measured by the number of stamps issued, varied from less than one fourth of a week in 1902, 1903 and 1906 to one and one half weeks in 1904. The per capita cost of maintaining the benefit varied from four cents in 1902, 1903 and 1906 to twenty-seven cents in 1904.