Likewise it sometimes happens that organizations of labor are conducted without just regard for the rights of the employer or of the public; methods and practices are adopted which, because unworthy or unlawful, are deserving of public censure. Such organizations of labor bring discredit and suspicion upon other organizations which are legitimate and useful, just as is the case with improper organizations of capital, and they should be similarly dealt with. We ought not, however, to allow the occasional failure in the working of the principle of the organization of labor to prejudice us against the principle itself, for the principle is fundamentally sound.
In the further development of the organization of labor and of large business, the public interest as well as the interest of labor and of capital will be furthest advanced by whatever stimulates every man to do the best work of which he is capable and to render useful service, by a fuller recognition of the common interests of employers and employed, and by an earnest effort to dispel distrust and hatred and to promote good-will.
Labor unions have secured for labor in general many advantages in hours, wages, and standards of working conditions. A large proportion of the workers of the world, however, are outside of these organizations, and unless somehow represented are not in a position to bargain collectively. Therefore, representation of labor to be adequate must be more comprehensive and all inclusive than anything thus far attained.
Representation on the employers’ side has been developed through the establishment of trade associations, the purpose of which is to discuss matters of common interest and to act, in so far as is legally permissible and to the common advantage, along lines that are generally similar. But here also representation is inadequate. Many employers do not belong to employers’ associations.
In the United States during the war, the representation of both labor and capital in common councils was brought about through the War Labor Board, composed equally of men from the ranks of labor and capital, together with representatives of the public. When differences arose in industries where there was no machinery to deal with such matters, the War Labor Board stepped in and made its findings and recommendations. In this way, relatively continuous operation was made possible and the resort to the strike and lockout was less frequent.
In England there have been made during the past years various important Government investigations and reports, looking toward a more complete program of representation and coöperation on the part of labor and capital. One is the well-known Whitley Report, which owes its distinction to a single outstanding feature, namely, that it applies to the whole of industry, the principle of representative government.
The Whitley Plan seeks to unite the organizations of labor and capital by a bond of common interest in a common venture; it changes at a single stroke the attitude of these powerful aggregations of class interest from one of militancy to one of social service; it establishes a new relation in industry.
“Problems old and new,” says the report, “will find their solution in a frank partnership of knowledge, experience, and good-will.”
Another investigation and report was made by a Commission on Industrial Unrest, appointed by the Prime Minister. This Commission made, among others, the following interesting recommendations:—
(1) that the principle of the Whitley Report as regards industrial councils be adopted;