“As the Craft-Gilds everywhere had sunk down to mere societies for the investment of capital, and as their dividends depended entirely on the exclusion of competition, it was unavoidable that the spirit of gain should lead them to restrictions which became always more oppressive for the public. The annoyances they caused were considerably increased by a process which, after the sixteenth century, was of frequent occurrence in all countries; those Craft-Gilds namely, which had hitherto comprised kindred crafts, split up into several, according to the individual trades. These then watched each other with the utmost jealousy in order to prevent encroachments on their mutual rights, and continually fought each other in endless lawsuits. Thus, for instance, the Fletchers and Bowyers in London separated themselves into two corporations in the reign of Elizabeth. One might wonder that, on the one hand, the workmen, whose position was so much deteriorated by the degeneration of the Craft-Gilds, did not at once overthrow their dominion, as the Craft-Gilds had formerly superseded the degenerated Gilds of the patricians, and that, on the other hand, the State did not, in the interest of the public, take any steps towards the abolition of the Gilds, which had already been desired so often. But as to the working-men, though their position, and especially their prospects, had been greatly deteriorated by this degeneration of the Craft-Gilds, their interest was rather a reformation, than the abolition, of those bodies. The Craft-Gilds maintained a number of regulations, which protected the working-men, and in consequence of which their material position appears comfortable and free from cares, if compared with that of the factory hands at the beginning of this century, when these regulations no longer existed. Uprisings of working-men are therefore to be found in those days only in consequence of infringements of Gild-regulations. But as for a reformation of the Craft-Gilds according to the interests of the working-men, the latter were not powerful enough to carry it out against their masters. These still held strongly together in their Gilds, and did not yet, as in later times (and as formerly the patricians), rival each other in weakening competition. The State also had changed, and no longer consisted, as before, of an organisation of many smaller states. As, after the sixteenth century, the State became in all countries continually more centralised by its kinds, it was not possible for the journeymen to act with the same facility as the craftsmen had acted in former times in the towns. Moreover, owing to the men’s isolated method of working, they had not yet acquired the same feeling of solidarity, or the same consciousness of the power of masses, as our factory hands since have. And as to the State abolishing the Craft-Gilds, Kings used the bourgeoisie as a support; first, as Henry VII. in England, against the nobility; and then, because they needed them for pecuniary reasons.... The causes of the overthrow of the Craft-Gilds arose in the bourgeoisie itself. These causes were, the rise of large capital, and its investment in manufacture. The 2nd and 3rd Philip and Mary already indicates the commencement. After stating that ‘the rich clothiers do oppress the weavers, some by setting up and keeping in their houses divers looms, and maintaining them by journeymen and other persons unskilful; some by engrossing of looms into their hands, and letting them out at such unreasonable rents as the poor artificers are not able to maintain themselves by, and much less their wives and families; some again by giving less wages for the workmanship of cloth than in times past, whereby they are forced utterly to forsake their occupations, etc.; it is enacted that no clothier, living out of a city, burgh, or market-town, shall keep more than two looms, nor more than two apprentices,’ etc. In short, the Act endeavours to protect the small masters against the competition of the rich capitalists. But neither this Act nor all the other attempts of the corporations could restrain the process of development, which, especially in consequence of a series of technical discoveries, threw manufacture altogether into the hands of the large capitalists. Handicrafts, and the corporations together with them, lost continually in importance, and only made themselves hated and despised in their endeavour to arrest the natural progress of event.”

Let us sum up the origin and development of the Guild.

1. We have the family united for the protection of all its members, standing by each other, liable for each other.

2. Next we have the association of neighbours together, of many families, to form guilds of religion and brotherly love and mutual protection.

3. The crafts are found uniting for trade purposes, regulating the production, jealously watching the standards of work, fixing hours of work and prices, excluding foreigners, and importing raw material. These trade unions had no powers other than those obtained by common agreement.

4. The formation of a Merchant Guild.

5. The rise of a City aristocracy who usurp the power, own the City land, impose taxes, and are insolent towards the craftsmen.

6. The revolt of the crafts against the aristocracy and their ultimate victory after a long struggle.

7. The creation of trade or craft companies, not guilds, solely for trade purposes, under ordinances approved by the Mayor.

8. The conquest of power by the new companies.