The organization of the working-man and that of the employer have grown

steadily, and the nation itself has virtually played the rôle of an

attentive but neutral spectator. In the case of direct conflict the

sympathy of the country has almost always been on the side of the

working-man, since in the concrete case the most impressive point was

generally not the opposition between capital and labour, but the

personal contrast of the needy day-labourer and the rich employer; and

the sentimentality of the American has always favoured the weaker

classes. The nation however, has shown an equal amount of sympathy

toward capital whenever a general matter of legislation was in question;

that is, whenever the problem has seemed more theoretical than personal.

In such cases the capitalists have always been felt to be the pioneers

of the American nation by putting their enterprise into all sorts of new

undertakings, applying their capital and intelligence to economic life;

so that they have seemed to a greater extent in need of national

protection than the workman, who may always be easily replaced by some

one else.

Considering the matter as a whole, it can be said indeed that the nation

has preserved a general neutrality, and let both parties virtually

alone. A change has very recently taken place. The new conditions of the

industrial struggle make it clearer day by day that there are three

parties to the conflict, rather than two; that is, not only capitalist

and labourer, but also the general public, which is dependent on the

industrial output, and therefore so immediately concerned in the

settlement of differences as to seem, even in concrete cases, entitled

to take active part. The turning-point came perhaps during the coal

strike in the winter of 1902–03, when the President himself stood out to

represent this third party. But we must follow the development more

minutely—must speak of the labour organizations as they exist to-day, of

the results of legislation, of the weapons employed by the labourers and

those used by the capitalists, of their advantages and disadvantages,

and of the latest efforts to solve the problem. Three forms of

working-men’s organizations can be discriminated to-day—the Knights of

Labour, the independent trades-unions, and the federated trades-unions.

The Knights of Labour are by principle different from both of the other

groups; and their influence, although once very great, is now waning.

Their fundamental idea is a moral one, while that of their rivals is a

practical one. This is, of course, not to be taken as meaning that the

labour unions pursue immoral ends or the Knights of Labour unpractical

ones. The Knights of Labour began very modestly in 1869 as a secret

organization, somewhat like the Free Masons, having an elaborate

initiation and somewhat unusual procedures. Their constitution began

with the motto, “Labour is noble and sacred,” and their first endeavours

were for the intellectual uplifting of the labourer and opposition to

everything which made labour mean or unworthy. The order grew steadily,

but at the same time the practical interests of different groups of

working-men necessarily came into prominence. In the middle eighties,

when they gave up their secret observances, the society had about a

million members, and its banner still proclaimed the one sentiment that

industry and virtue not wealth are the true measure of individual and

national greatness. Their members, they insisted, ought to have a larger

share of the things which they produced, so as to have more time for

their intellectual, moral, and social development. In this moral spirit,

the society worked energetically against strikes and for the peaceful

settlement of all disputes.

Its principal weakness was perhaps that, when the membership became

large, it began to take part in politics; the Knights demanded a reform

in taxation, in the currency, in the credit system, and a number of

other matters in line with state socialism. It was also a source of

weakness that, even in local meetings, working-men of different trades

came together. This was of course quite in accordance with the ethical

ideal of the society. As far as the moral problems of the workmen are in

question, the baker, tailor, mason, plumber, electrician, and so on,

have many interests which are identical; but practically it turned out

that one group had little interest in its neighbour groups, and

oftentimes even strongly conflicting interests were discovered. Thus

this mixed organization declined in favour of labour societies which

comprised members of one and only one trade, so that at the present time

the Knights of Labour are said to number only 200,000 and their

importance is greatly reduced. It is still undoubted that the idealistic

formulation in which they presented the interests of labour to the

nation has done much to arouse the public conscience.

At the present time the typical form of organization is the

trades-union, and between the independent and the federated

trades-unions there is no fundamental difference. There are to-day over

two million working-men united in trades-unions; the number increases

daily. And this number, which comprises only two-fifths of all

wage-earners, is kept down, not because only two-fifths of the members

of each trade can agree to unite, but because many trades exist which

are not amenable to such organization; the unions include almost all men

working in some of the most important trades. The higher the employment

and the more it demands of preparation, the stronger is the organization

of the employed. Printers, for instance, almost all belong to their

union, and in the building and tobacco trades there are very few who are

not members. The miners’ union includes about 200,000 men, who represent

a population of about a million souls. On the other hand, it would be

useless and impossible to perfect a close organization where new

individuals can be brought in any day and put to work without any

experience or training; thus ordinary day-labourers are not organized.

The number of two million thus represents the most important trades, and

includes the most skilled workers.

The oldest trades-union in America is the International Typographical

Union, which began in 1850. It is to be noticed at once that the

distinction between national and international trades-unions is a wholly

superficial one, for in the hundreds of so-called international unions

there has been no effort to stretch out across the ocean.

“International” means only that citizens of Canada and, in a few cases,

of Mexico are admitted to membership. It has been the experience of

other countries, too, that the printing trades were the first to

organize. In America the hatmakers followed in 1854, the iron founders

in 1859, and the number of organized trades increased rapidly during the

sixties and seventies. The special representation of local interests

soon demanded, on the one hand, the division of the larger societies

into local groups, and, on the other, the affiliation of the larger

societies having somewhat similar interests. Thus it has come about that

each locality has its local union, and these unions are affiliated in

state organizations for purposes of state legislation and completely

unified in national or international organizations. On the other hand,

the unions belonging to different trades are pledged locally and

nationally to mutual support. But here it is no longer a question, as

with the Knights of Labour, of the mixing up of diverse interests, but

of systematic mutual aid on practical lines.

The largest union of this sort is the American Federation of Labour,

which began its existence in Pittsburg in 1881, and has organized a

veritable labour republic. The Federation took warning at the outset

from the sad fate of previous federations, and resolved to play no part

in politics, but to devote itself exclusively to industrial questions.

It recognized the industrial autonomy and the special character of each

affiliating trades-union, but hoped to gain definite results by

co-operation. They first demanded an eight-hour day and aimed to forbid

the employment of children under fourteen years of age, to prevent the

competition of prison labour and the importation of contract labour;

they asked for a change in laws relating to the responsibility of

factory owners and for the organization of societies, for the

establishment of government bureaus for labour statistics, and much else

of a similar sort. At first the Federation had bitter quarrels with the

Knights of Labour, and perhaps even as bitter a one with socialistic

visionaries in its own ranks. But a firm and healthy basis was soon

established, and since the Federation assisted in every way the

formation of local, provincial, and state organizations, the parts grew

with the help of the whole and the whole with the help of the parts.

To-day the Federation includes 111 international trades-unions with 29

state organizations, 542 central organizations for cities, and also

1,850 local unions which are outside of any national or international

organizations. The interests of this Federation are represented by 250

weekly and monthly papers. The head office is naturally Washington,

where the federal government has its seat. Gompers is its indefatigable

president. Outside of this Federation are all the trades-unions of

railway employees and several unions of masons and stonecutters. The

railway employees have always held aloof; their union dates from 1893,

and is said to comprise 200,000 men.

The trades-unions are not open to every one; each member has to pay his

initiation fees and make contributions to the local union, and through

it to the general organization. Many of the trades-unions even require

an examination for entrance; thus the conditions for admission into the

union of electrical workers are so difficult that membership is

recognized among the employers themselves as the surest evidence of a

working-man’s competence. Every member is further pledged to attend the

regular meetings of the local branch, and in order that these local

societies may not be too unwieldy, they are generally divided into

districts when the number of members becomes too great to admit of all

meeting together. The cigarmakers of the City of New York, for example,

have a trades-union of 6,000 members, which is divided into ten smaller

bodies. Every single society in the country has its own officials. If

the work of the official takes all his time, he receives a salary equal

to the regular pay for work in his trade. The small organizations send

delegates to the state and national federations; and wherever these

provincial or federal affiliations represent different trades, each of

these trades has its own representative, and all decisions are made with

that technical formality which the American masters so well. In

accordance with this parliamentary rigour, every member is absolutely

pledged to comply with the decisions of the delegates. Any one who

refuses to obey when a strike is ordered thereby loses all his rights.

The rights enjoyed by the members of the trades-unions are in fact

considerable. Firstly, the local union is a club and an employment

agency, and especially in large cities these two functions are very

important for the American working-man. Then there are the arrangements

for insurance and aid. Thus the general union of cigarmakers of the

country, which combines 414 local unions having a total membership of

34,000 men, has given in the last twenty years $838,000 for the support

of strikes, $1,453,000 for aid to ill members, $794,000 for the families

of deceased members, $735,000 for travelling expenses, and $917,000 for

unemployed members; and most of the large unions could show similar

figures. Yet these are the lesser advantages. The really decisive thing

is the concessions which have been won in the economic fight, and which

could never have been gotten by the working-men individually.

Nevertheless, to-day not a few men hold off from the unions and get rid

of paying their dues, because they know that whatever organized labour

can achieve, will also help those who stay outside.

The main contention of these trades-unions refers to legislation and

wages, and no small part of their work goes in fighting for their own

existence—that is, in fighting for the recognition of the union labourer

as opposed to the non-union man—a factor which doubtless is becoming

more and more important in the industrial disputes. Many a strike has

not had wages or short hours of labour or the like in view, but has

aimed solely to force the employers officially to recognize the

trades-unions, to make contracts with the union delegates rather than

with individual men, and to exclude all non-union labourers.

The newly introduced contention for the union label is in the same

class. The labels were first used in San Francisco, where it was aimed

to exclude the Chinese workmen from competition with Americans. Now the

labels are used all over the country. Every box of cigars, every brick,

hat, or piano made in factories which employ union labour, bears the

copyrighted device which assures the purchasing public that the wares

were made under approved social and political conditions. The absence of

the label is supposed to be a warning; but for the population of ten

millions who are connected with labour unions, it is more than a

warning; it is an invitation to boycott, and this is undoubtedly felt as

a considerable pressure by manufacturers. The more the factories are

thus compelled to concede to the unions, and the more inducements the

unions thus offer to prospective members, and the faster therefore these

come in, the more power the unions acquire. So the label has become

to-day a most effective weapon of the unions.

But this is only the means to an end. We must consider these ends

themselves, and first of all labour legislation. Most striking and yet

historically necessary is the diversity in the statutes of different

states, which was formerly very great but is gradually diminishing. The

New England states, and especially Massachusetts, have gone first, and

still not so fast as public opinion has often desired. In the thirties

there were many lively fights for the legislative regulation of the

working hours in factories, and yet even the ten hours a day for women

was not established until much later; on the other hand, the employment

of children in factories was legislated on at that time, and in this

direction the movement progressed more rapidly.

A considerable step was taken in 1869, when Massachusetts established at

the expense of the state a bureau for labour statistics, the first in

the world; this was required to work up every year a report on all

phases of the labour question—economic, industrial, social, hygienic,

educational, and political. One state after another imitated this

statistical bureau, and especially it led to the establishment of the

Department of Labour at Washington, which has already had a world-wide

influence. During the seventies there followed strict laws for the

supervision of factories, for precautionary measures, and hygienic

improvements. Most of the other states came after, but none departed

widely from the example of Massachusetts, which was also the first state

to make repeated reductions in the working-day. Here it followed the

example of the federal government. To be sure, the reduction of the

working-day among federal employees was first merely a political

catering to the labour vote, but the Federation kept to the point and

the separate states followed. Twenty-nine states now prescribe eight

hours as the day for all public employees and the federal government

does the same.

The legislative changes in the judicial sphere have been also of

importance for trades-unions. According to Old English law at the

beginning of the nineteenth century, it was conspiracy for workmen to

unite for the purposes which the trades-unions to-day hold before

themselves. This doctrine of conspiracy, which to be sure from the

beginning depended largely on the arbitrary interpretation of the

judges, has been weakened from time to time through the century, and has

finally given away to legal conceptions which put no obstacles in the

way of the peaceful alliance of working-men for the purpose of obtaining

better conditions of labour. They especially regard the strike as lawful

so long as violence is not resorted to. Nearly all states have now

passed laws which so narrow the old conception of criminal conspiracy

that it no longer stands in the way of trades-unions. Other legal

provisions concern the company stores. In some mining districts far

removed from public shops, the company store may still be found, where

the company buys the articles needed by its employees and sells these

things to them at a high price. But nearly every state has legally done

away with this system; it was, indeed, one of the earliest demands of

the trades-unions.

There have been great improvements too in legislation relating to the

responsibility of employees. The Anglo-Saxon law makes an employer

responsible for injury suffered by the workmen by reason of his work,

but not responsible if the injuries are due to the carelessness of a

fellow-workman. The penalty fell then on the one who had neglected his

duty. It was said that the workman on taking up his duties must have

known what the dangers were. But the more complicated the conditions of

labour have become, the more the security of any individual has depended

on a great many fellow-labourers who could not be identified, so that

the old law became meaningless. Therefore, the pressure of trades-unions

has in the last half century steadily altered and improved the law in

this respect. American state law to-day virtually recognizes the

responsibility of the employer for every accident, even when due to the

carelessness of some other labourer than the one injured.

Thus on the whole a progress has been made all along the line. It is

true that some states have still much to do in order to come up with the

most advanced states, and the labour unions have still many demands in

store which have so far been nowhere complied with—as, for instance,

that for the introduction of the Swiss referendum, and so forth.

Government insurance is not on this programme—one point in which the

American working-man remains individualistic. He prefers to make

provision for those dependent on him, against old age, accident and

illness, in his own way, by membership in unions or insurance companies.

As a fact, more than half the labouring men are insured. Then too the

number of industrial concerns is increasing which make a voluntary

provision for their employees against illness and old age. This was

started by railroad companies, and the largest systems fully realize

that it is in their interest to secure steady labour by putting a

pension clause in the contract. When a workman takes work under

companies which offer such things, he feels it to be a voluntary

industrial agreement, while state insurance would offend his sense of

independence.

The state has had to deal with the labour question again in the matter

of strikes, lockouts, boycotts, and black-lists. During the last two

decades of the nineteenth century, there were 22,793 strikes in the

country, which involved 117,509 workers; the loss in wages to the

workmen was $257,000,000 and in profit to the employers $122,000,000;

besides that $16,000,000 were contributed to aid the strikes, so that

the total loss made about $400,000,000. The problems here in question

are of course much more important than the mere financial loss. About 51

per cent. of these strikes resulted successfully for the workmen, 13 per

cent. partially successfully, and in 36 per cent. the employers won.

Since 1741, when the bakers of New York City left work and were

immediately condemned for conspiracy, there has been no lack of strikes

in the country. The first great strike was among sailors in 1803, but

frequent strikes did not occur until about 1830. The first strike of

really historical importance was on the railroads in 1877; great

irregularities and many street riots accompanied the cessation of work,

and the state militia had to be called out to suppress the disturbances

in Cincinnati, St. Louis, Chicago, and Pittsburg. The losses were

tremendous, the whole land suffered from the tumults, and in the end the

working-men won nothing. When in the year 1883 all the telegraphers in

the country left their work and demanded additional payment for working

on Sunday, most of the country was in sympathy with them; but here too

the employers, although they lost millions of dollars, were successful.

In 1886 there were great strikes again in the railroad systems of the

Southwest.

The bitterness reached its highest point in 1892, when the Carnegie

Steel Works at Homestead were the scenes of disorder. Wages were the

matter under dispute; the company, which could not come to an agreement

with the labour union, proposed to exclude organized labour and

introduced non-union workmen. The union sought by the use of violence to

prevent the strangers from working; the company called for aid from the

state; the union still opposed even the militia, and actual battles took

place, which only the declaration of martial law by the governor, after

the loss of many lives, was able to suppress.

The Chicago strike in 1894 was more extensive. It began with a strike in

the Pullman factories in Chicago, and at its height succeeded in

stopping the traffic on a quarter of all American railroads. The

interruption of railway connections meant a loss to every person in the

country, and the total loss is estimated at $80,000,000. The worst

accompaniments of strikes soon appeared—riots, intimidations, assaults,

and murders. And again it was necessary to call out troops to restore

peace. Great wage disputes followed presently in the iron and steel

trades; but these were all surpassed in inner significance by the great

coal strike of the winter before last.

The conditions of labour in the anthracite coal mines of Pennsylvania

were unfavourable to the labourers. They had bettered themselves in a

strike in 1900, but the apparently adequate wages for a day’s labour

yielded a very small annual income, since there was little employment at

some seasons of the year. The working-men felt that the coal trusts

refused to raise the wages by juggling with arguments; the capitalists

tried to prove to them that the profit on coal did not permit a higher

wage. But the labourers knew too well that the apparently low profits

were due only to the fact that the trusts had watered their stock, and

especially that the coal mines were operated in connection with

railroads under the same ownership, so that all profits could be brought

on the books to the credit of the railroads instead of the mines. The

trades-unions thought the time was ripe for demanding eight hours a day,

a ten per cent. increase in wages, and a fundamental recognition of

trades-unions, along with a few other technical points. The organized

miners, under their leader, Mitchell, offered to wait a month, while the

points of difference might be discussed between both parties; Senator

Hanna, whose death a short time later took from politics one of the

warmest friends of labour, offered his services as mediator, and left no

doubt that the workmen would accept some compromise.

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