The Unpopular Review, Volume II Number 3 by Various

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But in our stage of evolution, the tip, like the larger prizes, is part of
the general stimulus to the best exertion and the best feeling, and is
therefore legitimate; but it, like every other stimulus, should not be
applied in excess, and the tendency should be to abolish it. The rich man
often is led by good taste and good morals to restrain his expenditure in
many directions, and there are few directions, if any, in which good taste
and good morals more commend the happy medium than in tips. Excess in
them, however, is not always prompted by good nature and generosity and
reciprocation of spontaneous kindness, but often by desire for comfort,
and even by ostentation. But all such promptings require regulation for
the same reason that, it is now becoming generally recognized, the
promptings of even charity itself require regulation.

The head of one of the leading Fifth Avenue restaurants once said to the
writer, substantially: "We don't like tips: they demoralize our men. But
what can we do about it? We can't stop it, or even keep it within bounds.
Our customers will give them, and people who have too much money or too
little sense, give not only dollar bills or five dollar bills, but fifty
dollar bills and even hundred dollar bills. We have tried to stave off
customers who do such things: we believe that in the long run it would pay
us to; but we can't."

When all the promptings of liberality or selfishness or ostentation are
well regulated, we will be in the ideal world. Until then, in the actual
world, it is the part of wisdom to regulate ideal ethics by practical
ethics--and tip, but tip temperately.

* * * * *

And now to apply our principles to a wider field.

The ideal is that all men should have what they produce. The ideal is also
that all men should have full shares of the good things of life. These two
ideals inevitably combine into a third--that all men should produce full
shares of the good things of life. But the plain fact is that they
cannot--that no amount of opportunity or appliances will enable the
average day laborer to produce what Mr. Edison or Mr. Hill or even the
average deviser of work and guide of labor does. Then even ideal ethics
cannot say in this actual world: Let both have the same. That would simply
be Robin Hood ethics: rob the man who produces much, and give the plunder
to the man who produces little. Hence comes the disguising of the schemes
to do it, even so that they often deceive their own devisers. What then do
practical ethics say? They can't say anything more than: Help the less
capable to become capable, so that he may produce more. But that is at
least as slow a process as raising the servant beyond the stage of tips.
Meantime the socialists are unwilling to wait, and propose to rob the
present owners of the means of production, and take the control of
industry from the men who manage it now, and put it in the hands of the
men who merely can influence votes. These men certainly are no less
selfish and dishonest than the captains of industry, and are vastly less
able to select the profitable fields of industry, and organize and
economize industry; whatever product they might squeeze out would be
vastly less than now, and it would stick to their own fingers no less than
does what the politicians handle now. Dividing whatever might reach the
people, without reference to those who produced it, could yield the
average man no more than he gets now. That's very simple mathematics. One
of the saddest sights of the day is the number of good people to whom
these facts are not self-evident.

In no state of human nature that any persons now living, or the grandchild
of any person now living, will witness, could such conditions be
permanent. Their temporary realization might be accomplished; but if it
were, the able men would not be satisfied with either the low grade of
civilization inevitable unless they worked, or with being robbed of the
large share of production that must result from their work. The more
intelligent of the rank and file, too, would rebel against the conditions
inevitably lowering the general prosperity, and they would soon realize
the difference in industrial leadership between "political generals" and
natural generals. Insurrection would follow, and then anarchy, after which
things would start again on their present basis, but some generations
behind.

But I for one do not expect these experiences, especially in America: for
here probably enough men have already become property holders to make a
sufficient balance of power for the preservation of property. If not, the
first step toward ensuring civilization, is helping enough men to develop
into property holders, and _continue_ property holders, which general
experience declares that they will not unless they develop their property
themselves.

AN EXPERIMENT IN SYNDICALISM

During the last twenty years New Zealand has tried many social and
economic experiments; these experiments have been made by her own
Legislature, and her own people; and as a rule they have been remarkably
successful: during the last few months she has had the experience of a new
one conducted by strangers, and made at her expense. Fortunately there is
reason to believe that this one will be found to have resulted in benefit
to New Zealand and its people, while it may prove of service to older and
larger countries. It is probable that the most widely known of New
Zealand's experiments is that which aimed at doing justice to employers
and employees alike by the substitution for the Industrial strike of a
Court of Arbitration, fairly constituted, on which both Workers and
Employers were equally represented. This law has been branded by the
supporters of the usual Strike policy with the name of "Compulsory
Arbitration," the object being to discredit it in the eyes of the workers,
as an infringement of their liberty. The title is unfair and misleading.
Unlike most laws, it never has been of universal application either to
Workers or Employers, but only to those among them that chose to form
themselves into industrial Unions, and to register those Unions as subject
to the provisions of the Statute. The purpose of the Statute was an appeal
to the common sense of the people, by offering them an alternative method
of settling disputes and securing that fair-play for both parties which
experience had shown could seldom be secured by the strike. The law, which
was first introduced in 1894, had gradually appealed both to workers and
employers, as worth trying, and before the close of the last century it
had rendered the country prosperous, and had attracted the attention of
thoughtful people in many other parts of the world to the "Country Without
Strikes." Efforts were made in several countries to introduce the
principle of the New Zealand Statute, but with very little success, as it
was generally opposed both by workers and employers:--the workers feeling
confident they could obtain greater concessions by the forceful methods of
the strike, and the employers suspecting that any Court of Arbitration
would be likely to give the workers more than, without arbitration, they
could compel the employers to surrender.

In the mean time the statutory substitute for the strike continued to
succeed in New Zealand. Nearly every class of town workers, and some in
the country, had formed Unions, and registered them under the arbitration
law. With a single trifling exception, that was speedily put an end to by
the punishment of the Union with the alternative of heavy fine or
imprisonment, the country was literally as well as nominally a country
without a strike. And it was something more than that: its prosperity
increased year by year, and its production of goods--agricultural,
pastoral, and manufactured--increased at a pace unequalled elsewhere. Yet
the prosperity was most apparent in its effect on the conditions of the
workers: under the successive awards of the arbitration court, wages had
steadily increased until they had reached a point as high as in similar
trades in America, while the cost of living was very little more than half
the rate in any town in the United States. To all intelligent observers
these facts were evident, and could not be concealed from the workers in
other countries, especially in Australia, as the nearest geographically to
New Zealand and commercially the most closely connected.

The effect, however, on the workers of Australia was not what might have
been expected. Attempts had been made by some of the State Legislatures to
introduce arbitration laws more or less like the New Zealand statute, but
with very partial success. From the first these laws were opposed by the
leaders of the Labor Unions, who naturally saw a menace to their influence
in the fact that they became subject to punishment if they attempted to
use their accustomed powers over their fellow unionists. The example of
New Zealand was lauded in the Australian Legislatures and newspapers, and
even in the courts, till at last a feeling of strong antagonism was
developed among the more advanced class of socialistic Labor men, and it
was decided by their leaders to undertake a campaign in the neighboring
Dominion against the system of settling industrial questions by courts,
and in favor of substituting the system of strikes, with their attendant
power and profit to the Labor leaders. The first steps taken were sending
men from Australia or England on lecturing tours through New Zealand, to
create dissatisfaction with the Arbitration Courts by representing them as
leaning to the side of the employers, and ignoring the claims of the
workers. When this had gone on for about a year, workers of various
classes were induced to cross from Australia, and join the Unions in New
Zealand, for the purpose of influencing their fellow unionists to
disloyalty towards the system under which they were registered. These men
were generally competent workers and clever agitators, and many of them
soon obtained prominence and official position in the Unions. As was
natural, a good many of these new-comers were miners--either for coal or
gold--and many of them joined the miners' union at the great gold mine
known as the Waihi, from which upwards of thirty million dollars worth of
gold had been dug, and which was still yielding between three and four
million dollars a year. There were nearly a thousand miners employed
there, and all of them were members of a Union that was duly registered
under the Arbitration statute.

There had been several questions in dispute between the miners and the
owners, and these had been referred to the Arbitration Court some time
before the arrival of the new Australian miners. The result, while it
favored the Union in some respects, favored the Company in others, and
this fact was used by the new-comers to convince the older hands that the
Court had been unfair, and that they could secure much better terms for
themselves if they would cease work, and so inflict immense loss by
permitting the lower levels of the mine to become flooded. After a few
months the Union decided to take advantage of the provision of the law
which enabled any registered Union to withdraw its registration at six
months' notice. When the time had expired, the Union repeated the demand
which had been refused by the Court, and on the refusal of the Company to
agree, a strike was at once declared, and the whole of the miners ceased
work. This had the effect, within a very short time, of rendering all the
deeper levels of the mine unworkable. Close to the mine was a prosperous
little town occupied chiefly by the miners and their families, most of the
houses being the property of the mining company, and the men continued to
occupy the houses while the strike was in progress. Other miners were
found who were ready to take their places, but the men in possession
refused to move out, and threatened with violence any miners that should
attempt to work the mine. The men who had been prepared to work, finding
this to be the position, withdrew. As there was no actual violence shown,
there seemed to be a difficulty in the way of any interference by the
Government: so several months passed, during which the mine lay idle while
the miners on strike continued to occupy the houses and pay the very
moderate rents demanded from employees of the company. This they were able
to do partly from their savings, partly from the sympathetic contributions
from Australia, and partly by some of the miners having scattered over the
country and got work on the farms, and throwing their earnings into the
common fund.

After repeated appeals by the mine-owners to the Government, an
arrangement was made that the Company should employ miners willing to
become members of a new Union registered under the Arbitration statute,
and that the Government should send a police force sufficient to protect
these in working the mine, and also to enforce the judgment of the local
court in dispossessing the occupants of the houses belonging to the
Company. An attempt was made by the strikers to defy this police force and
prevent the new Union from working the mine; but when most of the new
unionists had been sworn in as special constables, and a number of the
militant strikers had been arrested, the others saw that they could not
continue the struggle, and within a week or two abandoned the district,
giving place to the members of the arbitration Union in both the mine and
town.

Thus the first strike organized by the "Federation of Labor" in New
Zealand resulted in a failure, but the miners thus defeated and driven
from the little town that had been their home, in many cases for a good
many years, were naturally embittered by their failure, and became an
element of mischief in other districts, and especially in the coal mines,
to which they turned when they found it hard to obtain employment in any
of the gold mines.

The Australian Federation of Labor and its branch in New Zealand fully
appreciated the fact that their first attempt to establish a system of
Unionism opposed to the one recognized by the law, having proved a
failure, it was necessary either to give up the attempt altogether or to
make it more deliberately and on a much wider scale. The method they
adopted was one that did credit to their foresight and determination. The
Australian Federation is, and has always been, highly socialistic in its
policy, and latterly its leaders have adopted and preached syndicalism, as
promising to give the workers the control of society. New Zealand, alone
among self-governing countries, having struck at the very root of their
policy by trying to substitute a statute and a Court for the will of the
associated workers, was a very tempting country for syndicalism. An island
country which, owing to climate and soil, was specially suited for the
production of all kinds of agricultural wealth beyond the needs of its own
people, must depend on free access to the ports of other countries. This,
it seemed plain, could be prevented by well managed syndicalism. It would
be only necessary to organize the seamen who worked the vessels that kept
the smaller harbors of such a country in touch with the larger ports at
which the ocean going ships loaded and unloaded; and to organize also the
stevedores at the larger ports. The bitterness of feeling that had
followed the destruction of the Waihi Union, and the loss to its members
not only of a good many months of good wages but of the homes they and
their families had occupied for years, was a valuable asset in such a
campaign. At first, of course, some of the working classes blamed the
agents of "The Federation of Labor" who were responsible for the
disastrous strike, but it was not difficult to turn attention from the
past failure of a single strike, to the certain success that must attend a
great syndical strike that would involve all the industries of the
country. Most, indeed nearly all, of the disappointed Waihi strikers were
ready to join with enthusiasm in carrying out the plans of The Federation,
and removed to the places where they could be most effective in preparing
the way for what they looked upon as a great revenge. Thus they either
joined the old Unions at the principal ports, especially Auckland and
Wellington, or formed new Unions, no longer registered under the
Arbitration statute, but openly affiliated to The Federation of Labor,
which had been established in New Zealand, but was really a branch of the
Australian Federation. The four principal ports of New Zealand, indeed the
only ports much frequented by the large export and import vessels, are
Auckland, Wellington, Lyttleton, and Dunedin, the two first named being in
the north island, and the other two in the south. Auckland is considerably
the largest city in The Dominion, containing at least 25,000 more
inhabitants than Wellington, which is not only the capital of the
Dominion, but also the great distributing centre for the South island and
the southern part of the North island, at the southern extremity of which
it is situated. The remarkable situation of Auckland, on a very narrow
isthmus about a hundred and eighty miles from the northern point of the
country, is no doubt largely responsible for the growth of the city, which
is the chief centre of the young manufactures of the Dominion, and the
largest port of export for almost all the country produces, except wool
and mutton, which are mainly raised in the South island. Thus it happens
that Auckland and Wellington are at present the chief shipping ports of
the Dominion, and it was to them that the Federation of Labor turned its
chief attention when its leaders had definitely decided to undertake the
campaign of syndicalism against the system of arbitration which had
prevailed for sixteen years.

There had already been formed Unions of Waterside Workers and Seamen at
each of these ports; but they were in all cases registered under the
arbitration law, and of course subject to its penalties against both
officials and members in cases of any breach of the statute. The
Federation's agents proceeded to collect the members of these unions who
were in any way dissatisfied with the existing awards of the Arbitration
Courts, and to form them into new Unions outside the statute. They had
little difficulty in persuading the men that the new Unions would be free
to act in many directions that were barred to the members of the old
Unions. A good many of the men were thus persuaded to resign their
membership in the existing Unions, and as they were very often the most
active members, they gradually persuaded others to leave with them. There
was nothing either in the law or custom of the ports to prevent unionists
and non-unionists working together on the wharves or the coasting vessels;
so within a comparatively short time the members of the new Federation
Unions were more numerous than those that clung to the older ones. When
this became the case, the officials of the new Unions approached the
shipping companies with proposals for an agreement between them and the
Federation Unions in some respects more favorable to the employers than
the arbitration award under which the older Unions were working, and in
this way gained a position which enabled them to undermine the old Unions,
till they either died out for want of members or withdrew their
registration, and at the end of their six months' notice merged their
Unions in those of The Federation. The Federation's plans had been so
carefully prepared that there was little or no suspicion on the part of
the employers or of the public generally as to the true meaning of the
movement. It was evident, of course, that it indicated a revolt against
the arbitration law, but as the new unions appeared ready to give the
employers rather better terms than the old ones, many reasons were found
by employers for defending what began to be called the "Free Unions." In
this way things had gone on at the shipping ports for about two years from
the failure of the gold miners' strike at Waihi, before anything happened
to open the eyes of the public to the real meaning of what The Federation
of Labor had been doing. In that time the new Unions at each of the
principal ports of the country had quietly obtained the entire control of
the hands at waterside and local shipping, as well as of the Carters
Unions. The time had arrived when the syndicalists believed themselves
able to compel the public to submit to any demands they might see fit to
make.

The occasion finally arose, as might have been expected, at Wellington,
where the Federation of Labor had established its head-quarters. There was
no definite dispute between the employers and workers, but for a few weeks
there had been an uneasy feeling in relation to the Waterside Workers who,
it was said, were growing more lazy and slovenly in handling cargo on the
wharves and piers. A meeting had been called by The Federation to discuss
some grievances of the coal miners at Westport, from which most of the
coal landed in Wellington is brought. The meeting was called for the noon
dinner hour, and a number of the waterside workers engaged in discharging
cargo from a steamer about to sail, at once went to the meeting, and did
not return to work in the afternoon. The shipping company at once engaged
other men to finish their work, and when the men came back some hours
later, they found their places filled up. The new men belonged to the same
Union, but the men dispossessed demanded that the new ones should be
dismissed at once. When the company refused the demand, the men appealed
to the Council of the Federation, who at once called on the Waterside
Workers and Seamens Unions at Wellington to cease work. Within a few days
the position looked so serious that the Premier invited both parties to a
conference, at which he presided in person, in the hope of bringing about
an agreement to refer the matters in dispute to an arbitrator to be
mutually agreed upon. The officials of The Federation, however, said there
was nothing to submit to an arbitrator: they had made a demand, and unless
it was complied with by the shipping company and the Union of merchants at
Wellington who were in league with the Company in victimizing the men who
took part in the meeting in aid of the Coal-miners, the strike must go on.
The Merchants and Shipping Company's Unions pointed out that what had been
done was in direct opposition to the terms of the formal agreement signed
less than a year before, and they refused to have anything more to do with
the Federation on any terms. The conference thus ended in an open
declaration of war. The time had evidently come for the Federation of
Labor to make good the assertions so often made by its lecturers and
agitators, of its power to force the rest of the community to submission.
It would be difficult to imagine a more favorable position for carrying
such a policy into effect: New Zealand, it must be borne in mind, is a
country without an army. For some years past, it is true, a system of
military training for all her young men between eighteen and twenty-five
has been enforced by law, but except for training purposes, there is no
military force in the Dominion, either of regulars or militia; and it is
now forty-five years since the last company of British soldiers left its
shores. Law has been maintained, and order enforced, by a police force
under the control of the Government of the Dominion, and while the force
is undoubtedly a good and trustworthy one, its numbers have never been
large in proportion to the population. This year the entire force
throughout the country is very little more than 850, which includes
officers as well as men. It can hardly be wondered at that the officials
of The Federation of Labor were convinced that, if they could arrange a
general strike of the workers, the police force would be powerless to deal
with it. On the failure of the attempt of the Premier to bring about a
settlement between the parties by arbitration, the Federation proclaimed a
general strike of all Unions affiliated to themselves throughout the
country, and of all other Unions that were in sympathy with them in their
policy of giving united Labor the control of society. The order to cease
work was at once obeyed, as a matter of course, by all the Federation
Unions, which practically meant all the workers engaged on vessels
registered in the Dominion and trading on the coast, all workers on
wharves and piers, carters in the cities, and coal miners throughout the
country. The appeal for sympathetic assistance from Unions unconnected
with the Federation was largely successful in the chief centres, though it
was, of course, a direct defiance of the arbitration law under which they
were registered. It has since been discovered that in nearly every case it
was brought about by the unprincipled scheming of the secretaries,
assisted by a few of the officials, who called meetings, of which notice
was given only to a selected minority, and at which the question of
joining a sympathetic strike was settled by a large majority of those
present, but in fact in many cases a small minority of the whole
membership. The sympathetic strike of Arbitration Unions was mainly
confined to the cities, and Auckland, as the largest city, was the most
affected by it. In Auckland the members of practically every Union ceased
work, somewhere about ten thousand persons going on strike simultaneously.

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