In no country has the labor-union movement achieved a greater degree of organization than in England.[6] The movement has been economic, turning to politics only in recent years; it concerned itself with wages and conditions of labor, not with party programs and Parliamentary candidates.
The characteristic feature of English trade-unionism is collective bargaining, long since introduced into America, but unknown in most European countries. The English unions also organized insurance societies called "Friendly Societies."[7]
For many years the laws regulating labor unions had been liberally construed by the courts, and the unions had done very much as they pleased. Two decisions have been rendered during the last decade that threatened the unions' existence both as a political and economic force.
In 1900 the Taff Vale Railway Company brought suit against the Amalgamated Society of Railway Servants, charging the men with conspiring to induce the workmen to break their contracts with the company. The court enjoined the union from picketing and from interfering with the men in their contractual relations with the employing company, and assessed the damages at $100,000 against the offending union. The House of Lords, sitting in final appeal, affirmed the judgment of the trial court. This virtually meant the stopping of strikes, for strikes without pickets and vigilance would usually be unavailing. It also meant financial bankruptcy.
A second far-reaching decision was made by the House of Lords in December, 1909, when the "Osborne Judgment" was affirmed, granting to one Osborne, a member of the Amalgamated Society of Railway Servants, an injunction restraining the union from making a levy on its members, and from using any of its funds for the purpose of maintaining any of its members, or any other person, in Parliament. The unions had taken it for granted that they had the legal right to contribute out of their funds to political campaigns, and to pay the labor members of Parliament a salary out of the union treasury.[8] The court held such payments were illegal, on the ground that they were ultra vires. The charter of the unions did not sanction it.[9]
The English workman has not only had the trade union for a training school in practical affairs, but the co-operative movement began here; and here it flourishes, not as widely spread among the poorer workmen as in Belgium, but among the better-paid workers it is very popular.
It is singular that the only practical result left of Owen's stupendous plans was the little co-operative shop, opened in 1844 at Rochdale, with a capital of $140 and a gross weekly income of $10. Owen did not start this shop, but a handful of his followers were the promoters of the tiny enterprise. The co-operative union to-day embraces wholesale, retail, productive, and special societies, with nearly 3,000,000 members, increasing at the rate of 70,000 a year, and doing $550,000,000 worth of business annually.
There is also a rapidly growing co-partnership movement, especially in the building of "garden suburbs" and tenements. In 1903 there were two such companies, with $200,000 worth of property. In 1909 they had increased to 15 associations, with over $3,085,000 worth of property. The membership is not confined to workingmen, but they form the bulk.[10]
From the beginning of the modern labor movement we see that the British workmen have shown a strong tendency to organize. Their organizations included at first only the skilled workers. There was a gulf between the trained worker and the unskilled worker. The latter, forming the substratum of poverty, were too abject for organizing.
These two great bodies of workers, skilled and unskilled, have been gradually brought together and their interests united. The Taff Vale and Osborne judgments have forced them into politics. The unskilled have been given the benefit of the experience of the skilled, and a fair degree of homogeneity and group ambition has been reached.