"If we consider the sales made by the store, we find after deducting the cost of raw material, that at least fifty per cent of the goods purchased by our people, are really the products of the skilled labor of the farm: such as crockery, furniture, willow ware, picture frames, brushes, clothing, underwear, bed furnishings, and goods from the tailoring, dress-making and millinery departments. From this showing it will appear, that the store becomes a home market each year, for farm products to the amount of $112,500. To this, let us add the sums of sales through the restaurant, and those made through the markets of the outside world. Altogether, we have a grand total of $787,500 for the market value of farm products last year.
"Does this exhibit appeal to you as a reasonable basis for the accumulated savings named in your questions?"
"I am sure the exhibit has astonished me greatly! Your figures and statements are both fascinating and convincing. They are all, most excellent arguments in favor of co-operative methods. I now perceive that even on the basis of present conditions, a five per cent profit turned into the insurance fund, at the end of the first ten years, will amount to the extraordinary sum of $200,000. With this magnificent fund, you can afford to extend the scope of your original plan! How will you dispose of it? At what age do you propose to retire the active workers?"
"Yes, our original plans have been changed, and very much enlarged. The insurance fund has grown so rapidly, that it was deemed wise to expend a portion of it, in building a hospital for the accommodation of our farm people, and perhaps a few outside patients. Last year, a two-story and basement brick building, was erected just in the heart of our finest shrubbery dotted lawn, some distance from the public square. It is large enough for about one hundred patients. Viewed from any point, it presents a charming appearance. It is conceded by all to be the handsomest structure on the farm. Inside, with its polished floors, magnificent windows, large rooms, high, beautifully frescoed walls and ceilings, dainty couches, cozy chairs, and wide, breezy halls, with picture-laden walls; every condition is present to satisfy the highest ideal of sick-room comfort. Brighter, sunnier, more health-inspiring rooms never soothed, charmed or healed a nerve shattered patient!
"Under the supervision of the sanitary committee, the hospital at present, is in charge of a young surgeon employed by the company. His services are utilized in teaching and preparing a class of trained nurses. He also teaches the members of the chemistry and physiology clubs, in their new study rooms at the hospital. At a later period this surgeon will be superseded by two of our own people. A young woman and a young man, both with some previous knowledge of pharmacy, who have been in charge of the drug department at the store; have recently developed a strong desire to take a thorough course of medicine and surgery at some leading school. Upon the recommendation of the general manager, approved by a unanimous vote of the co-operators, the expense of this schooling is to be taken from the insurance fund, with the understanding however, that after graduating, they are to relieve the company of the expense of a hired surgeon, by taking permanent charge of the hospital, or as our people have christened it, the 'Temple of health.'
"Relative to the question of retiring members of the company; much thought and discussion on the part of our officers and co-operators, has been required, to properly and wisely fix the age at which such retirement shall take place.
"Many important questions have been considered. Our present colony, as you know, is composed of young people, as a rule not yet thirty years of age. Individually they possess strong, disease-resisting, vital organizations, which have been reinforced by harmonious, mental and physical development. This immunity from disease to such a large extent, has been still further strengthened and fortified, by the beneficial effects of our organized sanitary, social and industrial methods. These methods have lifted the weary burden of toil from our people, and substituted therefor, a light exhilarating labor, simply healthful exercise. Under such favorable conditions, our workers ought to reach the age of fifty, with health and vigor still unimpaired. For the reasons named, very few of our co-operators, outside the ranks of the mother's club, are at present entitled on account of either illness or accident, to draw their wages from the insurance fund. Fortunately, so far, not one has become permanently disabled! All things considered, it was not unexpected, when a final vote on the question was taken, that a majority was found to be in favor of fixing the age of retirement at fifty years.
"This decision will give the farm company, twenty years in which to prepare for the event. In the light of our past experience, no one doubts our ability to accumulate an adequate fund, with which to meet the additional drain upon it. This drain will prove a heavy one, as the retired pay of the co-operators, who have reached the age of fifty, has been fixed at two-thirds of their present pay, that is, fifty dollars per month or $600 per annum. Premising that the maximum number on the retired list at any one time will not exceed fifty; the total annual retired pay will then amount to $30,000.
"The following plan has been devised to meet this additional expenditure. It has been demonstrated conclusively, that five years hence, the income of the farm, will warrant the increase of the wages of each member of the company, to $1,500 per year. At least $1,200 of this amount, will be spent at the store or restaurant. We shall then have a new basis for calculating the five per cent profit for the insurance fund; that is, $600,000 annually, which will give $30,000 each year for the fund. Allowing that savings at the present rate, $20,000 per annum, for seven and one-half years, aggregating $150,000; will prove ample for incidental needs, until the time for the retirement of the first co-operator! We calculate that fifteen years of savings on the new basis, will give us twenty years hence, a fund of $450,000 to commence with.
"If practical experience should prove that larger savings are necessary; an additional two and one-half per cent profit, may be set aside for this fund, without seriously curtailing the sums devoted to educational and missionary purposes. This will surely cover all possible contingencies. More especially, as seven and one-half per cent of all retired pay, will come back to the fund as profits on purchases—active workers having taken the place of the retired members. Considering the generous annuity provided by this insurance, together with the fact that the wants of the pensioners will become fewer as age increases; doubtless, at the end of each year, many of them will turn back into the fund, considerable sums of unused pay.