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when once the principle of the minimum wage is conceded, coupled with the principle of sufficiency and security, to maintain those whom the minimum wage excludes from the area of normal employment.

      As to the first form:—

      A Proletarian group has struck a bargain with a group of Capitalists to the effect that it will produce for that capital ten measures of value in a year, will be content to receive six measures of value for itself, and will leave four measures as surplus value for the Capitalists. The bargain is ratified; the Courts have the power to enforce it. If the Capitalists by some trick of fines or by bluntly breaking their word pay out in wages less than the six measures, the Courts must have some power of constraining them. In other words, there must be some sanction to the action of the law. There must be some power of punishment, and, through punishment, of compulsion. Conversely, if the men, having struck this bargain, go back upon their word; if individuals among them or sections among them cease work with a new demand for seven measures instead of six, the Courts must have the power of constraining and of punishing them. Where the bargain is ephemeral or at any rate extended over only reasonable limits of time, it would be straining language perhaps to say that each individual case of constraint exercised against the workmen would be a case of compulsory labour. But extend the system over a long period of years, make it normal to industry and accepted as a habit in men’s daily conception of the way in which their lives should be conducted, and the method is necessarily transformed into a system of compulsory labour. In trades where wages fluctuate little this will obviously be the case. “You, the agricultural labourers of this district, have taken fifteen shillings a week for a very long time. It has worked perfectly well. There seems no reason why you should have more. Nay, you put your hands to it through your officials in the year so and so that you regarded that sum as sufficient. Such and such of your members are now refusing to perform what this Court regards as a contract. They must return within the limits of that contract or suffer the consequences.”

      Remember what power analogy exercises over men’s minds, and how, when systems of the sort are common to many trades, they will tend to create a general point of view for all trades. Remember also how comparatively slight a threat is already sufficient to control men in our industrial society, the proletarian mass of which is accustomed to live from week to week under peril of discharge, and has grown readily amenable to the threat of any reduction in those wages upon which it can but just subsist.

      Nor are the Courts enforcing such contracts or quasi-contracts (as they will come to be regarded) the only inducement.

      A man has been compelled by law to put aside sums from his wages as insurance against unemployment. But he is no longer the judge of how such sums shall be used. They are not in his possession; they are not even in the hands of some society which he can really control. They are in the hands of a Government official. “Here is work offered you at twenty-five shillings a week. If you do not take it you certainly shall not have a right to the money you have been compelled to put aside. If you will take it the sum shall still stand to your credit, and when next in my judgment your unemployment is not due to your recalcitrance and refusal to labour, I will permit you to have some of your money: not otherwise.” Dovetailing in with this machinery of compulsion is all that mass of registration and docketing which is accumulating through the use of Labour Exchanges. Not only will the Official have the power to enforce special contracts, or the power to coerce individual men to labour under the threat of a fine, but he will also have a series of dossiers by which the record of each workman can be established. No man, once so registered and known, can escape; and, of the nature of the system, the numbers caught in the net must steadily increase until the whole mass of labour is mapped out and controlled.

      These are very powerful instruments of compulsion indeed. They already exist. They are already a part of our laws.

      So much, then, for the first argument and the first form in which compulsory labour is seen to be a direct and necessary consequence of establishing a minimum wage and of scheduling employment to a scale.

      * * * * *

      The second is equally clear. In the production of wheat the healthy and skilled man who can produce ten measures of wheat is compelled to work for six measures, and the Capitalist is compelled to remain content with four measures for his share. The law will punish him if he tries to get out of his legal obligation and to pay his workmen less than six measures of wheat during the year. What of the man who is not sufficiently strong or skilled to produce even six measures? Will the Capitalist be constrained to pay him more than the values he can produce? Most certainly not. The whole structure of production as it was erected during the Capitalist phase of our industry has been left intact by the new laws and customs. Profit is still left a necessity. If it were destroyed, still more if a loss were imposed by law, that would be a contradiction of the whole spirit in which all these reforms are being undertaken. They are being undertaken with the object of establishing stability where there is now instability, and of “reconciling,” as the ironic phrase goes, “the interests of capital and labour.” It would be impossible, without a general ruin, to compel capital to lose upon the man who is not worth even the minimum wage. How shall that element of insecurity and instability be eliminated? To support the man gratuitously because he cannot earn a minimum wage, when all the rest of the commonwealth is working for its guaranteed wages, is to put a premium upon incapacity and sloth. The man must be made to work. He must be taught, if possible, to produce those economic values, which are regarded as the minimum of sufficiency. He must be kept at that work even if he cannot produce the minimum, lest his presence as a free labourer should imperil the whole scheme of the minimum wage, and introduce at the same time a continuous element of instability. Hence he is necessarily a subject for forced labour. We have not yet in this country, established by force of law, the right to this form of compulsion, but it is an inevitable consequence of those other reforms which have just been reviewed. The “Labour Colony” (a prison so called because euphemism is necessary to every transition) will be erected to absorb this surplus, and that last form of compulsion will crown the edifice of these reforms. They will then be complete so far as the subject classes are concerned, and even though this particular institution of the “Labour Colony” (logically the last of all) precede in time other forms of compulsion, it will make the advent of those other forms of compulsion more certain, facile, and rapid.

      * * * * *

      There remains one last remark to be made upon the concrete side of my subject. I have in this last section illustrated the tendency towards the Servile State from actual laws and actual projects with which all are to-day familiar in English industrial society, and I have shown how these are certainly establishing the proletariat in a novel, but to them satisfactory, Servile Status.

      It remains to point out in a very few lines the complementary truth that what should be the very essence of Collectivist Reform, to wit, the translation of the means of production from the hands of private owners to the hands of public officials, is nowhere being attempted. So far from its being attempted, all so-called “Socialistic” experiments in municipalisation and nationalisation are merely increasing the dependence of the community upon the Capitalist class. To prove this, we need only observe that every single one of these experiments is effected by a loan.

      Now what is meant in economic reality by these municipal loans and national loans raised for the purpose of purchasing certain small sections of the means of production?

      Certain Capitalists own a number of rails, cars, etc. They put to work upon these certain Proletarians, and the result is a certain total of economic values. Let the surplus values obtainable by the Capitalists after the subsistence of the proletarians is provided for amount to £10,000 a year. We all know how a system of this sort is “Municipalised.” A “loan” is raised. It bears “interest.” It is saddled with a “sinking fund.”

      Now