William Theodore Barnard

“ Railroading is rapidly advancing beyond the boundaries of a mere business, and into the dignity of a profession requiring extensive knowledge of many branches of science, technical training of a high order, and already requires a devotion to corporate interests from its staff-officers and many subordinates that necessitates the sacrifice of their independence, and all opportunity of securing competence in other channels, while it has not branches or departments in which intelligence, energy, and scrupulous honesty are not required. ”

“ The danger is, however, more imaginary than real, for no one will deny the right of a corporation, or any employer contracting for labor, to impose such conditions as a precedent to employment as its interests and judgment dictate, and to select preferably those willing to help protect themselves and dependents from the effects of a hazardous service. ”

“ Philanthropy and benevolence find no resting-place in the bosoms of the average railroad shareholders; at least few think of beginning their charities among the homes of their people; therefore, to enlist their pecuniary support of any costly plan for helping railroad operatives, it must be shown to pay the shareholder. Treating the subject from a purely business stand-point, let us see if it pays our great corporations to rest their connection with their employés upon the mere payment of current wages. ”

“ Though quite generally the real underlying cause of strikes and labor agitations, among rail-way people especially, is unequal enforcement of discipline, irregularity in or unequal distribution of work, debts incurred through the misfortunes—rather than, as a rule, through the fault—of the operatives, inducing restlessness, etc., their discontent usually forces itself upon the attention of the railway director in the first instance as a wages question. ”

“ But the unparalleled rapidity with which railway, mining, and manufacturing industries dependent thereupon have sprung into existence in America in the last three decades, calling for an ever-increasing supply of labor skilled in the manipulation of coals and metals, and their products, has had the effect of directing the attention not only of those immediately or by contiguity interested, but also of the general public, to all that pertains to the welfare of workers in that field. ”

“ That the managers of such great interests as those of our railroads and mammoth manufacturing establishments who pioneer a reform of this character must possess great nerve and resolution as well as influence, goes without saying; but the constant strife and competition now prevailing, necessitating most rigid economies, which almost always result in curtailment of wages and in strikes, must of themselves gradually force corporations to concert measures for securing permanent control of their forces, and none can be so effective as those that look to a community of financial interests. ”

“ Therefore, a wise policy, if not higher considerations than those of self-interest, should prompt the managements of large corporations to provide, even at considerable expense or financial risk, not only for the protection of their employés from, or indemnity for the effects of, injuries, but also for their physical, mental, and moral improvement, so as to render them contented, zealous, and forbearing. ”

“ Such action by financiers and railroad directors, whose keen business perceptions, stimulated by close competition, are not apt to be misdirected or clouded by philanthropical or sentimental ideas, shows how important they regard the cultivation of bonds of sympathy and fellowship with their armies of operatives— susceptible as they are of an organization and discipline as perfect and efficient as distinguished the greatest armies of history. ”

“ There are few intelligent railroad managements that will not fully admit that, as the result of proverbial improvidence, their employés are, as a class, discontented, migratory, and exceptionally difficult to reach with moral and economical teachings; and they must clearly perceive, in the words of a recent writer, that "there is marked tendency to trust to luck in the future for themselves and their families, instead of making provision ahead, which exercises a demoralizing effect upon the whole character, and directly affects the interests of their employers." ”

“ To recapitulate the many serious disadvantages and losses, direct and indirect, suffered by our railroads through strained relations with their employés, though recognized and felt with anxious solicitude by their executive and administrative officers, would little interest the general public; nor, indeed, as a rule are railroad investors apt to give serious attention to what they consider matters of administrative detail beneath their notice, until, at last, they force themselves into prominence by threatening their profits or speculations. ”

“ While railroads nor other corporations employing large masses of labor can withhold their employés altogether from improvidence and recklessness, from the consequences of which the employer must generally suffer, they can, by means kindred to those above suggested, compel their people to provide for their future welfare, and in other ways elevate their standard of efficiency ”

“ By uniform and consistent dealing with misdemeanors, not only is discipline preserved, but the culprits and all others concerned are made to understand that justice only will be administered, while harsh criticism and complaints of injustice receive no sympathy; the standard of service is elevated and its efficiency increased; and all fear of personally incurring the displeasure of superior officials, and the consequent currying of favor—generally to the company's disadvantage—are obviated. ”

“ It is not always true, in the history of railroads or other corporations, that the one paying the highest wages is best served. The company that is most forward in caring for the general welfare of its employés, particularly in the matter of providing support for those disabled, aged, and of long service; that holds all its officials to a rigid responsibility for arbitrary or tyrannical exercise of power ”

“ It is far better to have it at once understood that self-interest is to be the governing consideration on both sides; that as the employé expects to profit by his participation in such a scheme, so does the railroad, from its participation therein, not at the expense but through the promotion of its workmen's interests. The latter, by yielding a small percentage of their pay, can secure to themselves all the benefits derivable from the most judiciously prepared scheme of insurance and mutual benefit that the light of the present age can afford ”

“ Railroads, however, can make no such invidious distinctions against, perhaps, their most deserving servants, and hope to succeed in any insurance scheme they inaugurate. Such a plan must embrace all, if any. In considering percentages of railroad accidents the physical condition of employés is a comparatively small factor—entering but little into cause and effect—because in active railroading, as in army campaigning, the weak and diseased are soon eliminated, and the fittest only survive the exposure and physical strain to which they are constantly subjected. ”

“ All legitimate life and accident insurance companies, and indeed all the most solvent co-operative associations, select their risks, upon which they place a limit, imposing their own standard of physical qualifications. ”

“ Probably the serious contemplation of a division, no matter how minute, of their profits with those whose labor made them, would incite in the minds of our railway share and bond holders such alarm and opposition as would displace any management advancing such a proposition ”

“ Through the system of medical examination of applicants, through the improved sanitary condition of its shops, through the consideration and care and compensation paid employés when disablement necessitates cessation from labor, and through the prompt payment of sufficiently large death insurance, the standard of the service has been perceptibly raised, and it is securing a much more efficient and desirable class of labor, skilled and unskilled, and has, in some places, drawn the best material from competitive works, and holds its force with less difficulty and loss. ”

“ In old settled countries, where the labor market is overstocked and competition for place most active, little difficulty is experienced in enforcing such a prerequisite to employment; but in this country, where the rapid development of railroad interests usually creates a constant demand for labor, and where the dissatisfied employé of one road has only to step across the field, as it were, to be welcomed with perhaps increased pay by rival interests, it takes nerve to enforce such a provision. ”

“ Let them do away with nepotism in employment and promotion; accept the services only of those found to be expert workmen, physically as well as mentally qualified to fill responsible positions; then surround those selected with such material protection and attractions as will annul migratory instincts and anchor them by chains of self-interest, and they will have made safe provision against such disasters as that which overtook some of our Eastern lines in 1877. The motive of a railroad in thus meeting its employés more than half-way need not be concealed. ”

“ In Great Britain, it has become quite general for employers to seek release from personal liability, or from costs for damages or partial indemnity, by either subscribing to the several employés' liability insurance companies or by wide-spread attempts to evade their responsibilities under the law by inducing the workmen to contract themselves out of the act. ”

“ One result of the indifference of railroad managements toward their subordinates has been to array against them agencies most potent in fermenting discontent—secret societies, brotherhoods, and similar organizations; for it is a notorious fact that these mainly owe their success and strength to the assistance and relief they hold out to their members and their families in sickness, disablement, and death. ”

“ Yet, though they are prepared to admit that this fact makes it both right and a duty of the employer to interfere to correct the evil, as far as it is possible to do so, and that "if men need to be made provident, and to guard against adversity in sickness and old age by compulsion, then compulsion should be used," they are naturally slow to force an issue not absolutely vital, and which they fear may deprive them of help at time of need. ”

“ Thrown upon his own resources, the man who has constantly before him the perils of his vocation and the misfortunes that would result from inability to earn wages, naturally enrolls himself in any organization that promises the needed protection. ”

“ Abundant evidence is furnished by manufacturing and other corporations abroad that paternal care and solicitude for their operatives are not thrown away, but tend in no small degree to establish good feeling and community of interest, and that, instead of conflicting with the cold calculations of business economy, such care is in reality the prompting of self-interest best understood. ”

“ Railroad corps especially are, like armies, amenable to rigid discipline judiciously applied, and where the necessity for self-protection is so obvious the justice of the employer inaugurating and enforcing measures promotive of their mutual interests will always be early recognized, and opposition will be sporadic and short-lived. ”

“ Also, having learned of the pecuniary necessities of persons formerly in its service, and being anxious and solicitous that its present and future employés, although escaping accidents and sickness while in the discharge of duty, shall not find themselves without means of support whenever, through approaching old age or the contraction of infirmities, they become unable to perform the services assigned them or to earn a livelihood in other pursuits, it has added to the indemnity features of the plan its superannuation or annuity provision, which it commends to their consideration and adoption. ”

“ The writer has for a considerable time studied the relationship existing between the managers and employés of many of our large corporations, and his observations seem to justify the conclusion that, whereas, in no other business employing large bodies of labor is there a wider field for cultivating cordiality and reciprocity of interests between owners and employés than in railroading, also in no other business (except, perhaps, mining) have such opportunities been more neglected. ”

“ It is believed to be a fact that neither abroad nor in this country has an accident railway association—although some have carried heavy endowments—been successful for a lone term of years except where membership has been made compulsory. Many have been organized, and have lived for longer or shorter periods, but their sphere of usefulness is always very limited, and they gradually become inefficient and fall into disrepute or have to be reorganized at the sacrifice of good faith to old members. ”