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i Profit Sharino IVOovement I
'- Advantages of a System That Establishes a Community of
V ; Interest Between Employers and Employed Views
J ; ' of Some of Its Prominent . Advocates Will
;: .' Eliminate Strikes Achievements of Its
I'. , Most Conspicuous Supporter.
w . By JAMES A. EDGER.TON.
IS the next great step in industries
. evolution to be in the direction of
profit sharing? Is this to be the
,. t solution of strikes and labor trou
blea. the ushering m of a better day
for ' employers and employees alike?
ITes to both questions deeidedly yes if
such men' as President Roosevelt, An
drew, Carnegie, Melville B. Ingalls, the
railroad magnate, and Arthur James
Balfour, ex-premier of Great Britain,
,can be aeeepted as prophets. In tbt
,past few weeks utterances from these
men and others have approved profit
haring in the strongest terms. Carne
gie even goes bo far as to say In effect
jthat the present wage system is doom
ed. He would have the workers made
partners in the business. N. O. Nelson,
(the St. Louis manufacturer who for
more than twenty years has practiced
the division of nroiits.-advocates that
not only employees, but customers, be
'given their pro rata of the returns that
jthelr, purchases produce. , The United
.States Steel corporation encourages its
-workmen to buy stocks. Even Joha
D. Rockefeller apparently has enough
And Is willing to let other people share
'profits at least in everything except
Standard Oil. lie approves the princi
ple. If he would go as far as Kelson
And divide profits with bis customers
be mfeht heln sumo In nlllnc thu
iwheels of general prosperity. While it
is to be feared that his approval Is
.more in theory than practice, it is
something to gain his assent to tht
righteousness of the idea. It shows
that, there are limits 'to men taking
and be enabled to Invest It In the
tools and Instruments by which all
work Is carried on. As far as possible
I hope to see a frank-recognition of
the advantages conferred by machin
ery, organization and the division of
labor, accompanied by an effort to
bring about a larger share In the own
ership by wageworker of railway, mill
and factory. In farming this simply
means that we wish to see the farmer
own his own laud."
Inasmuch as these recommendations
of Mr. Roosevelt do not require con
gressional action and so cannot be
man-handled by Uncle Joe Cannon,
there is some chance for them. The
kind of profit tfeharing believed In by
congress is that in which some benev
olent seeker ox' special privilege is
willing to divide his pile for the pur
pose of getting votes. I. hope our
making great headway and promise
soon to be universal." . . .
; i teluninator cf Strikes. '
Melville E, Ingalls, chairman of the
board of the Big Four railroad, puts
his advocacy of the new idea on the
ground that it will eliminate strikes.
,"I believe that profit sharing Is the
only sure means of doing away with
the possibility , of, such disputes," be
eays. "If every railroad would adopt
the principle I doubt If we would have
any more strikes.: If every industrial
corporation would adopt it I doubt if
there . would be any more lockouts.
Make the laboring man your partner,
recognize him in the division of profits
as well as in the determination of the
cost of production, and you'll go far to
do away with these difficulties that
have been interfering with our indus
trial progress for so many years."
I quote all these utterances to show
their emphasis and significance. Sure
ly a new era is dawning in the econom
ic world when men of this character
come out for an idea that a few years
ago was regarded as the extremest rad
icalism. Yet profit sharing Is no new
thing, especially In Europe. In France
it has been in successful practice for
half a century or more, and there are
now scores of co-operative concerns
throughout that country. In England
the Rochdale plan bas long been fa
mous, and with It as a model many
other, profit sharing- schemes have
sprung into existence. . Just now the
movement has been given a new im
pulse in Great Britain, the speech of
ex-fremier tiairour oeiore menuonea
gard this as an "insult They ought referring to a number Of new co-oper-
not to, for I have often defended them
from sweeping denunciations. Besides,
insulting congress is a prerogative of
the president alone.
Great Equal Partners.
Andrew Carnegie, who has built so
many libraries that we need no longer
borrow books from our friends and
forget to return them,. Is even more
optimistic and sees labor marching to
the heights along the profit sharing
road. lie says no corporation founded
on the old lines can hope to compete
with one in which the workers have
an interest and are given special re
wards for good service. He foresee
corvicT cum Mir J'l 1
PROMINENT ADVOCATES OF THE 'PROFIT SHARING PRINCIPLE.
a day when capital and labor will be
equal partners in all industrial enter
prises. He does not speak on the sub
ject as a theorist alone, having prac
ticed for years, taking his most effi
cient workmen into the business. It
was on his recommendation that the
steel trust invited its employees to be
Is it the specter of socialism that baa
frightened so many of our leading men
into, their sudden advocacy of profit
a'Tank ouSr"wne PreB message
what others create. Some of us had
begun to fear there were none, or at
Jeast none which the captains of in
dustry would recognize,.
New Business Partnership.
Here is to the new business partner
' ship consisting of - capitalist, worker
and consumer! It sounds fine, but all
the time I am pinching myself to be
sure I am awake. Heretofore the cap
italist has been the whole firm. The
worker was only a poor relation,: while
the consumer, was
got it. from, both sides. Is it possible
that in future the high financier and
the captain of industry are going to
hand .back" a little of what they take
from us? 'Carnegie says so, but I am
afraid to believe it for. fear another
rise in trust prices will come along to
shatter my dream. ;To be perfectly
honest, the only sort of profit sharing
I . have ever been tip against has had
the candy on the other end that is, my
profits have been shared by .the food
trust, the. landlord, the clothing trust
and all the other benevolent corpora-
tion gentlemen. w.ho claim. the Goddess
. of Liberty' on the dollar as their affini
ty. If Roosevelt, Carnegie, Ingalls and
Balfour know of any kind of profit
sharing that does not give, the trusts
all the profit and the people all the
sharing, I ata for it. , ' . ; f
'-. The president's last annual message
speaks of the- matter in this" wise:
"t believe in a steady effort, or per
haps it would be more accurate to say
Jn steady efforts, in : many : directions
' to bring' about a condition of affairs
under, which the men who work with
hand ;or with, brain, the laborers the
r superintendents, the riien who produce
for the market and the men, who find
Mr. Carnegie Intimates the same when
he says: ... ; .,r.;,. -.
"The, idea of making workmen share
holders and dividing & share of the
profits among those rendering excep
tional service will probably encounter
the opposition of the extremists on
both sides, the violent revolutionist of
capitalistic conditions and the narrow,
grasping employer whose creed is to
purchase his labor as be does bis ma
terials, payings the price agreed upon
and ending there. But this opposition
will, we believe, amount to little. It
will even speak well for the new idea
if scouted by the extremists and com
mended by the mass of men who are
on neither dangerous edge, but In the
middle, where usually lies wisdom.
The laird of Skibo continues:
. ?So far we have a list of, 180 manu
facturing concerns in the United States
which have welfare departments, sales
of stocks to workmen or other modes
of adding to their wages or forms rec
: ognizing the community of interest be
tween employers and employed. Elgbt
sen of the principal railroad companies
in America have established systems
of pensions for their employees as ex.
ative enterprises of importance. Prof
it sharing has not gained so great a
vogue on . the continent outside of
'France, yet there are a few concerns
In Germany, Switzerland and else
where that are practicing the princi
ple. Host Conspicuous Supporter.
In America this form of co-operation
is of more recent date. The Proctor &
Gamble company, after suffering from
a great many strikes, adopted profit
sharing and has had no serious labor
troubles since. About the same time,
1886, N. O. Nelson, a millionaire brass
manufacturer of St. Louis, took up
the plan and has since been its most
conspicuous supporter in the country.
As already stated, Nelson not only in
cludes his employees, but his custom
ers, in the division of dividends. He
has also given his workmen an ever in.
creasing share in the business, gradu
ally withdrawing from ownership him
self. The experiment has proved emi
nently successful. One of Mr. Nelson's
innovations was to found a town in
Illinois, which took its name from Le
clalre, the practical founder of profit
sharing in France. It is one of the
boasts of this town, that it has never
had any other government than the
state laws and yet has never known a
crime. In it there is no renting, each
workman owning his own home' and
I paying for it.as.be. can. .Nelson lives
among bis employees in a house but
little more pretentious than theirs. One
of bis cherished ideas is that it is a
bad habit for captains of industry to
get rich, since they have a higher mis
sion in serving the public.
I used to know Nelson about the
time he was in the St. -Louis city
council, where , be had something to
do with' inaugurating the reform wave
that finally brought Joseph W. Folk
to the front. He is an Unpretentious
man, ever in sympathy with all, ad
vanced movements and freely helping
every worthy cause and sincere indi
vidual that appeals to him. One of
his pet ideas in the council was to sell
city franchises at public auction, bnt
in this he was defeated. He promoted
causes like the fresh air mission, free
steamboat trips, for the poor, work-
ingmen's culture clubs, traveling 11
braries and kindred movements that
would add to the happiness and intelli
gence of others. He once bad a hand
some home in St. Louis, but gave it
up to live among his own people at
Leclaire. - Here be has established
clean social amusements, reading
rooms, literary, and discussion clubs,
public lectures, and has encouraged
the people to beautify their homes and
make an ideal village. .
Nelson O. Nelson was born in Nor
way in 1844 and came to this country
in childhood. He was educated in the
common schools of Missouri and served
as a private In the Union army during
the civil war. He started life' as a
clerk and made his own way. In 1S72
he established his manufactory of
plumbers and steam fitters' supplies
which be is now turning over to his
Methods' That Hare Succeeded
Profit sharing has taken many forms
with us, some of which have not been
notably successful. ; The most common
a market for the ..articles produced, i tra recompense, the cost borne exclu-
shnll own a' far greater share than at , sively by the corporations. The pen
present of the wealth they produce slon feature. Hke profit, sharing, It
The. foods we eat furnish energy
for the body just as burning coal
makes steam for an engine.
The experiments of prof.
Frankland, Ph. D., of London,
show that cod liver oil yields two
and one-half times more energy
than starches or sweets.
is pure cod liver' oil combined
with hypophosphites of lime and
soda. It forms fat, gives strength,
enriches the blood, invigorates
trie nprvp anil rorrairc licence
Scd this advertisement together with name of
paper ta which it appcan.jrour addreas and fear
cents to cover postage, aod we wlH send yon a
T-ompJete Handy Atlas of the World" ,. ?
SCOTT & BOWNE, 409 Pearl Street Kern York
Ads That ever Pay-
, . We. estimate that every year is wasted
$100,000,000 on ads that should never
'-. run. '. ; ; ; "
That . $125,000,000, is being spent an-
nually ; to accomplish what $25,000,000
should do.-,. - ;
. I! such ads were put to comparative
test, they would all be discarded. And
- -each would teach a lesson which one nev
er could forget. " :
That is why we pay such remarkable E
. . salaries, to 1 members of our ' Copy Staff.
One of these writers receives $1,000 per
" week. ' '; ..
Yet. . we. have .known these men to
" make, in one month, for one client, .more
than all of the writers make in a year.
The Many-Man Power
We employ on our Copy Staff the ablest
men we. know. We have picked them
out, in the course of years, by. the bril
liant results we have -seen them accom
plish. ' : .
No one else pays for such talent what
' we pay. So we attract here the very best
in the field..
- Then, in this vortex of advertising
this school of a myriad experiences
these men multiply their powers.
Yet we never permit any one of these
men to work out a campaign alone. There
is too much at stake.
One man can't know all the pitfalls.
One man has limited knowledge, limited
ideas and experience. And nd one man
can average human nature.
Our Advisory Boards
So these men meet in Advisory Boards
to work out the 'campaigns we take up.
. Our two - Boards in,. New. York . and
Chicago consist of twenty-eight men..
Each . has a record of unusual success.
Each is a master of advertising . ;
And all of them are learning, air the :
time, from scores pf new undertakings.'
Thisody of men forms the ablest ad
vertising corpsever brought into existence.-
No Extra Charge
tOne duty of these Boards is to pass ,
judgment on advertising problems subr
mitted. They are glad to consider, with-,
out charge or obligation, any question
you desire to submit. " ''"' , ';
They will tell you what is possible and
what is impossible so far as men can
Why We Succeed
Then these 'men in conference work
out the campaigns of our clients. Meth
ods, plans and copy all the problems of
selling and advertising are all decided
here. ' .
Each brings to bear a wealth of exper
ience. Each one contributes ideas. And
they do not finish nntil the campaign ap
pears to be irresistible.
That is why we succeed. That is wlvy
we have grown, through the growth of
our clients, to our present enormous pro
Thus we make one dollar, often, do
the work of ten. Thus we develop, for
every client, all of his possibilities.
Back of these men we employ more
than 200 people, each one of them skilled
in some department of advertising.
This incomparable service costs the
price of the commonplace. We handle
advertising on the usual agent's com
We multiply results to multiply adver
tising. We create successes because suc
cesses expand. And our revenue comes
We spend on copy what other , great
agencies spend on soliciting, and we con
sider it better spent. ,.
- Before we had Advisory Boards, too
many campaigns failed to bring back
their cost. Other , agents have the same
Now. our failures are so rare, and our
successes so great, that our business has
multiplied many times over.
So we need to charge nothing extra.
We can better afford to keep accounts than; .
to kill them. ,
. The service which pays our clients best
is the service that best pays us.
We 'have written a book about this
New Way a book that tells what it has
done. Every man who spends a dollar
in advertising owes to himself its peru
sal. The book itself is a brilliant example
of our advertising powers. Please send
this coupon for it. . . : .........
To Send to Lord 4c Thomas, New York or Chicago.
S for their book, "Tha New Way in Advertising."
Please state name, address and business. Also
me position mat inquirer noias in me easiness.
SECOND NAT'L BANK BLDG.
FIFTH AVE. and 28th ST.
Lord & Thomas
. NEWSPAPER, MAGAZINE .
AND OUTDOOR .
67 WABASH AVE.
Both our offices are equally equipped in every department, and the two are connected by two private telegraph wires.
.Thus they operate as though all men in both offices were under a single roof. ..Address the office nearest you.
plan baa been 'that of selling stocks to
workmen. Whether it is because of
suspicion of the Btock market, lack of
means or lurking enmity to their em
ployers, the men have not fallen over
each other In the scramble to invest
The plan lias by-no means proved a
failure, but has gone so haltingly that
there must be somejnherent defect in
it. A method that Jias succeeded much
better has been'that'of pensions and
rewards for extra service. One firm
divided its -workers into grades accord
ing to efficiency .,;ivTo the most efficient
a large dlvldend.'or rather bonus, was
voted, : to the nextlgrade one-half as
much and t the lowest grade nothing
at nil. Splendid resultsnave attended
this plan wherever put into force. An
other plan thajt succeeds, well Is to pre
sent the meh stock in the company for
meritorious service.". This is one of
the methods of Mr. Nelson.
Segardless of the particular form it
may finally assume, however, It Is cer
tain that tbe: new idea of profit shar
ing will spread rapidly through all In
dustries and will inaugurate a new era
in the relations of capital and labor.
: CHINA'S GREAT: REFORMER.
- , -'.r- . .. -.- sr--
Deposed Grand Councilor Has . Bean
Called Empire' .Strongest Man. t
: yuan Shi. Kal," the egreat viceroy of
Chill province, ..who was. recently ; dis
missed from the office .of , grand conn
cUor and commander In chief of the
Chinese forces, was one of the most
influential and powerful statesmen Id
the Chinese empire. " ..
The reason given ; for. his dismissal
is that he baa i rheumatism of the leg.
The dictiprdered:'"i'uan Shi Kai to
vacate all his offices and to return to
his home, addlng,'"Thils our clemency
toward him is manifested."
Yuan Shi Kai-has been called the
strongest. -man in China and was regarded-
as mucli-more powerful that
14 Hung. Chang , was. - He is a thor
oughiy . practical man and brought
business methods-to -the administra
tion of the empires-He worked assld
nooBly for -the - advancement ; of -. the
Middle . Kingdom, and. bis . watchword
was. that China was capable of ac
complishing just, as much as, had Ja
pan. -He inspired a JiationaV patriot
ism.; which Is todajr doing much to
sweep away -middle'? age superstition
and rebuild the. empire, t He nas been
a member ofthe grand-council since
1907.. and-lir that year he rellnauished
the post of -viceroy;' of Chill, . hut it
was in this office that he gained, the
greatest renown. ,"
L Yuan Shi-Kai-organized no amy in
China thai astonished foreign military
critics' He succeeded in obliterating
all the popular and caste objections to
military service, so that the sons of
the nobility today are proud to appear
In uniform. He substituted modern
text books for ancient classics, he com
pelled the abolition of torture and
transformed Pekin from the filthiest
city in the world into a metropolis well
paved and cleanly kept, that compares
favorably with many cities of Europe
It is an uncontested fact that Yuan
Shi Kai encouraged and represented
the most progressive ideas in the cen
tral government. He was director gen
eral of trade and international relations
in Korea and. judicial commissioner of
Chill in 1807. la 1893 be was appoint
ed to the vice presidency of a board
with control of an -army corps and in
1899 to the vice presidency of the board
pf works. In the same year he was
made acting governor general of Chill.
In December of 1901 be was appoint
ed junior guardian of the heir appar
ent. In 1902 consulting. minister to the
council of government and in 1903 pres
ident cf the army reorganization coun
cil. -' . -
" .8ays Chicago Is Bad as Mail.
. Choosing as ' his text a : quotation
from Isaiah, "Hell hath enlarged lt
Belf.T and intimating that Chicago is
the new annex thereof,' the Rev. W.
H. Head, pastor of the Union Avenue
Methodist Episcopal church, proceeded
to discuss the topic, "Is Hell Worse
Than Chicago?" "In some respects
hell is no worse than Chicago," said
the clergyman. "Hell has no innocent
Dr temptations to the innocent" Mr.
Head said that about1 the only advan
tage Chicago had over hell was that
Chicago could be redeemed and hell
COUld nOt, - 4 : ,1 ;.
Crisp, Flavor Bits of Food, 1
made from Selected White Corn.
"THE TASTE LINGERS.".
. 10c and 15c Packages."
Postum Cereal Company, Limited,.
' . Battle Creek, Mich. .p. " .
A SqMre Deal
The money question for the past few months has been a rough .
one. People in all walks of life have been forced to borrow money.
We make a business of loaning money on furniture, pianos, horses, etc.
Don't allow your small bills to accumulate and worry ' you. A
client of ours owed $48 between four people; his salary was $14
weekly, rent $12 monthly. To have paid $2 weekly to each creditor,
combined with rent, would have left $3 per week to meet expenses,
buy clothes, etc. an impossibility, you will agree. He borrowed $50.
paid his rent, the loan payment, and had $9 each week to use as his
judgment dictates. Do likewise and avoid worry. '
t We believe in giving our customers . square deal from the time
they make their wants known to us. Unless our rates are explained,
to a customer, we had rather not deal with him; we never advertise
rates; we believe In being fair with our customers from start to fin
ish. You get a written statement with each loan, showing the entire
cost and the exact amount of rebate allowed if paid before due. -
. . - ' " '
. Our record and reputation for honest dealing for the past nine
years is our best reference. Call, write or phone us at once. .
r . ,
Phones West 514 and 6011; .38 Mitchell & Lynde BIdg, Rock Island.
Office hours S a, m. to 6 p. m. Open Wednesday and Saturday
evenings. w.. ,. tj , ......
. i. .-v-f. . .-. s.
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Ulcers and any mediral advice free to aU who write. V - v - -; .
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