Chapter V.The Causes of Sweating.§ 1.The excessive Supply of Low-skilled Labour.--Turning to the industrial system for an explanation of the evils of "Sweating," we shall find three chief factors in the problem; three dominant aspects from which the question may be regarded. They are sometimes spoken of as the causes of sweating, but they are better described as conditions, and even as such are not separate, but closely related at various points.The first condition of "sweating" is an abundant and excessive supply of low-skilled and inefficient labour. It needs no parade of economic reasoning to show that where there are more persons willing to do a particular kind of work than are required, the wages for that work, if free competition is permitted, cannot be more than what is just sufficient to induce the required number to accept the work. In other words, where there exists any quantity of unemployed competitors for low-skilled work, wages, hours of labour, and other conditions of employment are so regulated, as to present an attraction which just outweighs the alternatives open to the unemployed, viz. odd jobs, stealing, starving, and the poor-house. In countries where access to unused land is free, the productiveness of labour applied to such land marks the minimum of wages possible; in countries where no such access is possible, the minimum wages of unskilled labour, whenever the supply exceeds the demand, is determined by the attractiveness of the alternatives named above.A margin of unemployed labour means a bare subsistence wage for low-skilled labour, and it means this wage earned under industrial conditions, such as we find under the "sweating system." In order to keep the wage of low-skilled labour down to this minimum, which can only rise with an improvement in the alternatives, it is not required that there should at any time exist a large number of unemployed. A very small number, in effective competition with those employed, will be quite as effectual in keeping down the rate of wages. The same applies to all grades of skilled labour, with this important difference, that the minimum wage can never fall below what is required to induce less skilled workers to acquire and apply the extra skill which will enable them to furnish the requisite supply of highly-skilled workers. Trade Unions have instinctively directed all their efforts to preventing the competition of unemployed workers in their respective trades from pulling down to its minimum the rate of wages. The strongest of those have succeeded in establishing a standard wage less than which no one shall accept; unemployed men, who in free competition would accept less than this standard wage, are supported by the funds of the Union, that they may not underbid. Unions of comparatively unskilled workers, who are never free from the competition of unemployed, and who cannot undertake permanently to buy off all competitors ready to underbid, endeavour to limit the numbers of their members, and to prevent outsiders from effectively competing with them in the labour market, in order that by restricting the supply of labour, they may prevent a fall of wages. The importance of these movements for us consists in their firm but tacit recognition of the fact, that an excessive supply of unskilled labour lies at the root of the industrial disease of "sweating."§ 2. The Contributing Causes of excessive Supply.--The last two chapters have dealt with the principal large industrial movements which bear on this supply of excessive low-skilled labour; but to make the question clear, it will be well to enumerate the various contributing causes.α. The influx of rural population into the towns constantly swells the supply of raw unskilled labour. The better quality of this agricultural labour, as we saw, does not continue to form part of this glut, but rises into more skilled and higher paid strata of labour. The worse quality forms a permanent addition to the mass of inefficient labour competing for bare subsistence wages.β. The steady flow of cheap unskilled foreign labour into our large cities, especially into London, swollen by occasional floods of compulsory exiles, adds an element whose competition as a part of the mass of unskilled labour is injurious out of proportion to its numerical amount.γ. Since this foreign immigration weakens the industrial condition of our low-skilled native labour by increasing the supply, it will be evident that any cause which decreases the demand for such labour will operate in the same way. The free importation from abroad of goods which compete in our markets with the goods which "sweated" labour is applied to make, has the same effect upon the workers in "sweating" trades as the introduction of cheap foreign labour. The one diminishes the demand, the other increases the supply of unskilled or low-skilled labour. The import of quantities of German-made cheap clothing into East London shops, to compete with native manufacture of the same goods, will have precisely the same force in maintaining "sweating," as will the introduction of German workers, who shall make these same clothes in East London itself. In each case, the purchasing public reaps the advantage of cheap labour in low prices, while the workers suffer in low wages. The contention that English goods made at home must be exported to pay for the cheap German goods, furnishes no answer from the point of view of the low-skilled worker, unless these exports embody the kind of labour of which he is capable.δ. The constant introduction of new machinery, as a substitute for skilled hand-labour, by robbing of its value the skill of certain classes of workers, adds these to the supply of low-skilled labour.ε. The growth of machinery and of education, by placing women and young persons more upon an equality with male adult labour, swells the supply of low-skilled labour in certain branches of work. Women and young persons either take the places once occupied by men, or undertake new work (e.g. in post-office or telegraph-office), which would once have been open only to the competition of men. This growth of the direct or indirect competition of women and young persons, must be considered as operating to swell the general supply of unskilled labour.ζ. In London another temporary, but important, factor must be noted. The competition of provincial factories has proved too strong for London factories in many industries. Hence of late years a gradual transfer of manufacture from London to the provinces. A large number of workers in London factories have found themselves out of work. The break-up of the London factories has furnished "sweating trades" with a large quantity of unemployed and starving people from whom to draw.Regarded from the widest economic point of view, the existence of an excessive supply of labour seeking employments open to free competition must be regarded as the most important aspect of the "sweating system." The recent condition of the competition for casual dock-labour brought dramatically to the foreground this factor in the labour question. The struggle for livelihood was there reduced to its lowest and most brutal terms. "There is a place at the London Docks called the cage, a sort of pen fenced off by iron railings. I have seen three hundred half-starved dockers crowded round this cage, when perhaps a ganger would appear wanting three hands, and the awful struggle of these three hundred famished wretches fighting for that opportunity to get two or three hours' work has left an impression upon me that can never be effaced. Why, I have actually seen them clambering over each other's backs to reach the coveted ticket. I have frequently seen men emerge bleeding and breathless, with their clothes pretty well torn off their backs." The competition described in this picture only differs from other competitions for low-skilled town labour in as much as the conditions of tender gave a tragical concentration to the display of industrial forces. This picture, exaggerated as it will appear to those who have not seen it, brings home to us the essential character of free competition for low-skilled labour where the normal supply is in excess of the demand. If other forms of low-skilled labour were put up to be scrambled for in the same public manner, the scene would be repeatedad nauseam. But because the competition of seamstresses, tailors, shirt-finishers, fur-sewers, &c., is conducted more quietly and privately, it is not less intense, not less miserable, and not less degrading. This struggle for life in the shape of work for bare subsistence wages, is the true logical and necessary outcome of free competition among an over supply of low-skilled labourers.§ 3. The Multiplication of "Small Masters."--Having made so much progress in our analysis, we shall approach more intelligently another important aspect of the "sweating system." Mr. Booth and other investigators find the tap-root of the disease to consist in the multiplication of small masters. The leading industrial forces of the age, as we have seen, make for the concentration of labour in larger and larger masses, and its employment in larger and larger factories. Yet in London and in certain other large centres of population, we find certain trades which are still conducted on a small scale in little workshops or private houses, and those trades furnish a very large proportion of the worst examples of "sweating." Here is a case of arrested development in the evolution of industry. It is even worse than that; for some trades which had been subject to the concentrating force of the factory system, have fallen into a sort of back-wash of the industrial current, and broken up again into smaller units. The increased proportion of the clothing industries conducted in private houses and small workshops is the most notorious example. This applies not only to East London, but to Liverpool, Leeds, Sheffield, and other large cities, especially where foreign labour has penetrated. For a large proportion of the sweating workshops, especially in clothing trades, are supported by foreign labour. In Liverpool during the last ten years the substitution of home-workers for workers in tailors' shops has been marked, and in particular does this growth of home-workers apply to women.A credible witness before the Lords' Committee stated that "at the present moment it would be safe to say that two-thirds of the sweaters in Liverpool are foreigners," coming chiefly from Germany and Russian Poland. In Leeds sixteen years ago there were only twelve Jewish workshops; there are now some hundreds.Since a very large proportion of the worst sweating occurs in trades where the work is given out, either directly or by the medium of sub-contract, to home-workers, it is natural that stress should be laid upon the small private workshops as the centre of the disease. If the work could only be got away from the home and the small workshop, where inspection is impracticable, and done in the factory or large workshop, where limitations of hours of labour and sanitary conditions could be enforced, where the force of public opinion could secure the payment of decent wages, and where organization among workers would be possible, the worst phases of the malady would disappear. The abolition of the small workshop is the great object of a large number of practical reformers who have studied the sweating system. The following opinion of an expert witness is endorsed by many students of the question--"If the employers were compelled to obtain workshops, and the goods were made under a factory system, we believe that they could be made quite as cheaply under that system, with greater comfort to the workers, in shorter hours; and that the profits would then be distributed among the workers, so that the public would obtain their goods at the same price."[25] It is maintained that the inferior qualities of shoes are produced and sold more cheaply in the United States by a larger use of machinery under the factory system, than in London under a sweating system, though wages are, of course, much higher in America. Moreover, many of the products of the London sweating trades are competing on almost equal terms with the products of provincial factories, where machines are used instead of hand-labour.§ 4. Economic Advantages of "Small Workshops."--The question we have to answer is this--Why has the small workshop survived and grown up in London and other large cities, in direct antagonism to the prevalent industrial movement of the age? It is evident that the small workshop system must possess some industrial advantages which enable it to hold its own. The following considerations throw light upon this subject.1. A larger proportion of the work in sweating trades is work for which there is a very irregular demand. Irregularity of employment, or, more accurately speaking, insufficiency of employment--for the "irregularity" is itself regular--forms one of the most terrible phases of the sweating system. The lower you descend in the ranks of labour the worse it is. A large number of the trades, especially where women are employed, are trades where the elements of "season" and fashion enter in. But even those which, like tailoring, shirtmaking, shoemaking, furniture and upholstery, would seem less subject to periodic or purely capricious changes, are liable in fact to grave and frequent fluctuations of the market. The average employment in sweating trades is roughly estimated at three or four days in the week. There are two busy seasons lasting some six weeks each, when these miserable creatures are habitually overworked. "The remaining nine months," says Mr. Burnett, "do not average more than half time, especially among the lower grade workers."This gives us one clue to the ability of the small workshop to survive--its superior flexibility from the point of view of the employer."High organization makes for regularity; low organization lends itself to the opposite. A large factory cannot stop at all without serious loss; a full-sized workshop will make great efforts to keep going; but the man who employs only two or three others in his own house can, if work fails, send them all adrift to pick up a living as best they can."[26]Since a smaller sweating-master can set up business on some £2 capital, and does not expect to make much more profit as employer than as workman, he is able to change from one capacity to the other with great facility.2. The high rent for large business premises, especially in London, makes for the small workshop or home-work system. The payment of rent is thus avoided by the business firm which is the real employer, and thrown upon the sub-contractor or the workers themselves, to be by them in their turn generally evaded by using the dwelling-room for a workshop. Thus one of the most glaring evils of the sweating system is seen to form a distinct economic advantage in the workshop, as compared with the large factory. The element of rent is practically eliminated as an industrial charge.3. The evasion of the restrictions of the Factory Act must be regarded as another economic advantage. Excessive hours of labour when convenient, overcrowding in order to avoid rent, absence of proper sanitary conditions, are essential to the cheapest forms of production under present conditions. It does not pay either the employing firm or the sub-contractor to consider the health or even the life of the workers, provided that the state of the labour market is such that they can easily replace spent lives.4. The inability to combine for their mutual protection and advantage of scattered employés working in small bodies, living apart, and unacquainted even with the existence of one another, is another "cheapness" of the workshop system.5. The fact that so large a proportion of master-sweaters are Jews has a special significance. It seems to imply that the poorer class of immigrant Jews possess a natural aptitude for the position, and that their presence in our large cities furnishes the corner-stone of the vicious system. Independence and mastery are conditions which have a market value for all men, but especially for the timid and often down-trodden Jew. Most men will contentedly receive less as master than as servant, but especially the Jew. We saw that the immigrant Jew, by his capacities and inclinations, was induced to make special efforts to substitute work of management for manual labour, and to become a profit-maker instead of a wage-earner. The Jew craves the position of a sweating-master, because that is the lowest step in a ladder which may lead to a life of magnificence, supported out of usury. The Jewish Board of Guardians in London, though its philanthropic action is on the whole more enlightened than that of most wealthy public bodies, has been responsible in no small measure for this artificial multiplication of small masters. A very large proportion of the funds which they dispensed was given or lent in small sums in order to enable poor Jews "to set up for themselves." The effect of this was twofold. It first assisted to draw to London numbers of continental Jews, who struggled as "greeners" under sweaters for six months, until they were qualified for assistance from the Jewish Board of Guardians. It then enabled them to set up as small masters, and sweat other "greeners" as they themselves were sweated. It was quite true that the object of such charity was the most useful which any society could undertake; namely, that of assisting the industrially weak to stand on their own legs. But it was unfortunately true that this early stage of independence was built upon the miserable dependence of other workers.6. But while, as we see, there are many special conditions which, in London especially, favour the small workshop, the most important will be found to consist in the large supply of cheap unskilled labour. This is the real material out of which the small workshop system is built. In dealing with the other conditions, we shall find that they all presuppose this abundant supply of labour. If labour were more scarce, and wages therefore higher, the small workshop would be impossible, for the absolute economy of labour, effected by the factory organization with its larger use of machinery, would far outweigh the number of small economies which, as we have seen, at present in certain trades, favour and make possible the small workshop. Every limitation in the supply of this low-skilled labour, every expansion of the alternatives offered by emigration, access to free land, &c., will be effectual in crushing a number of the sweating workshops, and favouring the large factory at their expense.§ 5. Irresponsibility of Employers.--The third view of the sweating System lays stress upon its moral aspect, and finds its chief cause in the irresponsibility of the employer. Now we have already seen that this severance of the personal relation between employer and employed is a necessary result of the establishment of the large factory as the industrial unit, and of the ever-growing complexity of modern commerce. It is not merely that the widening gap of social position between employer and employed, and the increased number of the latter, make the previous close relation impossible. Quite as important is the fact that the real employer in modern industry is growing more "impersonal." What we mean is this. The nominal employer or manager is not the real employer. The real employer of labour is capital, and it is to the owners of the capital in any business that we must chiefly look for the exercise of such responsibility as rightly subsists between employer and employed. Now, while it is calculated that one-eighth of the business of England is in the hands of joint-stock companies, constituting far more than one-eighth of the large businesses, in the great majority of other cases, where business is conducted on a large scale, the head of the business is to a great extent a mere manager of other people's capital. Thus while the manager's sense of personal responsibility is weakened by the number of "hands" whom he employs, his freedom of action is likewise crippled by his obligation to subserve the interests of a body of capitalists who are in ignorance of the very names and number of the human beings whose destiny they are controlling. The severance of the real "employer" from his "hands" is thus far more complete than would appear from mere attention to the growth in the size of the average business. Now it must not be supposed that this severance of the personal relation between employer and employed is of necessity a loss to the latter. There is no reason to suppose that the close relation subsisting in the old days between the master and his journeymen and apprentices was as a rule idyllically beautiful. No doubt the control of the master was often vexatious and despotic. The tyranny of a heartless employer under the old system was probably much more injurious than the apathy of the most vulgar plutocrat of to-day. The employé under the modern system is less subject to petty spite and unjust interference on the part of his employer. In this sense he is more free. But on the other hand, he has lost that guarantee against utter destitution and degradation afforded by the humanity of the better class of masters. He has exchanged a human nexus for a "cash nexus." The nominal freedom of this cash relationship is in the case of the upper strata of workmen probably a real freedom; the irresponsibility of their employers has educated them to more self-reliance, and strengthened a healthy personality in them. It is the lower class of workers who suffer. More and more they need the humanity of the responsible employer to protect them against the rigours of the labour-market. The worst miseries of the early factory times were due directly to the break-up of the responsibility of employers. This was slowly recognized by the people of England, and the series of Factory Acts, Employers' Liability Acts, and other measures for the protection of labour, must be regarded as a national attempt to build up a compulsory legal responsibility to be imposed upon employers in place of a natural responsibility based on moral feeling. We draft legislation and appoint inspectors to teach employers their duty towards employés, and to ensure that they do it. Thus in certain industries we have patched up an artificial mechanism of responsibility.Wherever this legal responsibility is not enforced in the case of low-skilled workers, we have, or are liable to have, "sweating." Glancing superficially at the small workshop or sweating-den, it might seem that this being a mere survival of the old system, the legal enforcement of responsibility would be unnecessary. But it is not a mere survival. In the small workshop of the old system the master was the real employer. In the modern "sweating" den he is not the real employer, but a mere link between the employing firm and the worker. From this point of view we must assign as the true cause of sweating, the evasion of the legal responsibility of the Factory Act rendered possible to firms which employ outside workers either directly or indirectly through the agency of "sweaters." Although it might be prudent as a means of breaking up the small workshop to attempt to impose upon the "middleman" the legal responsibility, genuine reform directed to this aspect of "sweating," can only operate by making the real employing firm directly responsible for the industrial condition of its outdoor direct or indirect employés.This responsibility imposed by law has been strengthened as an effective safeguard of the interests of the workers by combination among the latter. In skilled industries where strong trade organization exists, the practical value of such combination exceeds the value of restrictive legislation."In their essence Trade Unions are voluntary associations of workmen, for mutual protection and assistance in securing the most favourable conditions of labour." "This is their primary and fundamental object, and includes all efforts to raise wages or prevent a reduction of wages; to diminish the hours of labour or resist attempts to increase the working hours; and to regulate all matters pertaining to methods of employment or discharge, and modes of working."[27] Engineers, boiler-makers, cotton-spinners, printers, would more readily give up the assistance given them by legislative restriction than the power which they have secured for themselves by combination. It is in proportion as trade combination is weak that the actual protection afforded by Factory and Employers' Liability Acts become important. Just as we saw that sweating trades were those which escaped the legislative eye; so we see that they are also the trades where effective combination does not exist. Where Trade Unions are strong, sweating cannot make any way. The State aid of restrictive legislation, and the self help of private combination are alike wanting to the "sweated" workers.
§ 1.The excessive Supply of Low-skilled Labour.--Turning to the industrial system for an explanation of the evils of "Sweating," we shall find three chief factors in the problem; three dominant aspects from which the question may be regarded. They are sometimes spoken of as the causes of sweating, but they are better described as conditions, and even as such are not separate, but closely related at various points.
The first condition of "sweating" is an abundant and excessive supply of low-skilled and inefficient labour. It needs no parade of economic reasoning to show that where there are more persons willing to do a particular kind of work than are required, the wages for that work, if free competition is permitted, cannot be more than what is just sufficient to induce the required number to accept the work. In other words, where there exists any quantity of unemployed competitors for low-skilled work, wages, hours of labour, and other conditions of employment are so regulated, as to present an attraction which just outweighs the alternatives open to the unemployed, viz. odd jobs, stealing, starving, and the poor-house. In countries where access to unused land is free, the productiveness of labour applied to such land marks the minimum of wages possible; in countries where no such access is possible, the minimum wages of unskilled labour, whenever the supply exceeds the demand, is determined by the attractiveness of the alternatives named above.
A margin of unemployed labour means a bare subsistence wage for low-skilled labour, and it means this wage earned under industrial conditions, such as we find under the "sweating system." In order to keep the wage of low-skilled labour down to this minimum, which can only rise with an improvement in the alternatives, it is not required that there should at any time exist a large number of unemployed. A very small number, in effective competition with those employed, will be quite as effectual in keeping down the rate of wages. The same applies to all grades of skilled labour, with this important difference, that the minimum wage can never fall below what is required to induce less skilled workers to acquire and apply the extra skill which will enable them to furnish the requisite supply of highly-skilled workers. Trade Unions have instinctively directed all their efforts to preventing the competition of unemployed workers in their respective trades from pulling down to its minimum the rate of wages. The strongest of those have succeeded in establishing a standard wage less than which no one shall accept; unemployed men, who in free competition would accept less than this standard wage, are supported by the funds of the Union, that they may not underbid. Unions of comparatively unskilled workers, who are never free from the competition of unemployed, and who cannot undertake permanently to buy off all competitors ready to underbid, endeavour to limit the numbers of their members, and to prevent outsiders from effectively competing with them in the labour market, in order that by restricting the supply of labour, they may prevent a fall of wages. The importance of these movements for us consists in their firm but tacit recognition of the fact, that an excessive supply of unskilled labour lies at the root of the industrial disease of "sweating."
§ 2. The Contributing Causes of excessive Supply.--The last two chapters have dealt with the principal large industrial movements which bear on this supply of excessive low-skilled labour; but to make the question clear, it will be well to enumerate the various contributing causes.
α. The influx of rural population into the towns constantly swells the supply of raw unskilled labour. The better quality of this agricultural labour, as we saw, does not continue to form part of this glut, but rises into more skilled and higher paid strata of labour. The worse quality forms a permanent addition to the mass of inefficient labour competing for bare subsistence wages.
β. The steady flow of cheap unskilled foreign labour into our large cities, especially into London, swollen by occasional floods of compulsory exiles, adds an element whose competition as a part of the mass of unskilled labour is injurious out of proportion to its numerical amount.
γ. Since this foreign immigration weakens the industrial condition of our low-skilled native labour by increasing the supply, it will be evident that any cause which decreases the demand for such labour will operate in the same way. The free importation from abroad of goods which compete in our markets with the goods which "sweated" labour is applied to make, has the same effect upon the workers in "sweating" trades as the introduction of cheap foreign labour. The one diminishes the demand, the other increases the supply of unskilled or low-skilled labour. The import of quantities of German-made cheap clothing into East London shops, to compete with native manufacture of the same goods, will have precisely the same force in maintaining "sweating," as will the introduction of German workers, who shall make these same clothes in East London itself. In each case, the purchasing public reaps the advantage of cheap labour in low prices, while the workers suffer in low wages. The contention that English goods made at home must be exported to pay for the cheap German goods, furnishes no answer from the point of view of the low-skilled worker, unless these exports embody the kind of labour of which he is capable.
δ. The constant introduction of new machinery, as a substitute for skilled hand-labour, by robbing of its value the skill of certain classes of workers, adds these to the supply of low-skilled labour.
ε. The growth of machinery and of education, by placing women and young persons more upon an equality with male adult labour, swells the supply of low-skilled labour in certain branches of work. Women and young persons either take the places once occupied by men, or undertake new work (e.g. in post-office or telegraph-office), which would once have been open only to the competition of men. This growth of the direct or indirect competition of women and young persons, must be considered as operating to swell the general supply of unskilled labour.
ζ. In London another temporary, but important, factor must be noted. The competition of provincial factories has proved too strong for London factories in many industries. Hence of late years a gradual transfer of manufacture from London to the provinces. A large number of workers in London factories have found themselves out of work. The break-up of the London factories has furnished "sweating trades" with a large quantity of unemployed and starving people from whom to draw.
Regarded from the widest economic point of view, the existence of an excessive supply of labour seeking employments open to free competition must be regarded as the most important aspect of the "sweating system." The recent condition of the competition for casual dock-labour brought dramatically to the foreground this factor in the labour question. The struggle for livelihood was there reduced to its lowest and most brutal terms. "There is a place at the London Docks called the cage, a sort of pen fenced off by iron railings. I have seen three hundred half-starved dockers crowded round this cage, when perhaps a ganger would appear wanting three hands, and the awful struggle of these three hundred famished wretches fighting for that opportunity to get two or three hours' work has left an impression upon me that can never be effaced. Why, I have actually seen them clambering over each other's backs to reach the coveted ticket. I have frequently seen men emerge bleeding and breathless, with their clothes pretty well torn off their backs." The competition described in this picture only differs from other competitions for low-skilled town labour in as much as the conditions of tender gave a tragical concentration to the display of industrial forces. This picture, exaggerated as it will appear to those who have not seen it, brings home to us the essential character of free competition for low-skilled labour where the normal supply is in excess of the demand. If other forms of low-skilled labour were put up to be scrambled for in the same public manner, the scene would be repeatedad nauseam. But because the competition of seamstresses, tailors, shirt-finishers, fur-sewers, &c., is conducted more quietly and privately, it is not less intense, not less miserable, and not less degrading. This struggle for life in the shape of work for bare subsistence wages, is the true logical and necessary outcome of free competition among an over supply of low-skilled labourers.
§ 3. The Multiplication of "Small Masters."--Having made so much progress in our analysis, we shall approach more intelligently another important aspect of the "sweating system." Mr. Booth and other investigators find the tap-root of the disease to consist in the multiplication of small masters. The leading industrial forces of the age, as we have seen, make for the concentration of labour in larger and larger masses, and its employment in larger and larger factories. Yet in London and in certain other large centres of population, we find certain trades which are still conducted on a small scale in little workshops or private houses, and those trades furnish a very large proportion of the worst examples of "sweating." Here is a case of arrested development in the evolution of industry. It is even worse than that; for some trades which had been subject to the concentrating force of the factory system, have fallen into a sort of back-wash of the industrial current, and broken up again into smaller units. The increased proportion of the clothing industries conducted in private houses and small workshops is the most notorious example. This applies not only to East London, but to Liverpool, Leeds, Sheffield, and other large cities, especially where foreign labour has penetrated. For a large proportion of the sweating workshops, especially in clothing trades, are supported by foreign labour. In Liverpool during the last ten years the substitution of home-workers for workers in tailors' shops has been marked, and in particular does this growth of home-workers apply to women.
A credible witness before the Lords' Committee stated that "at the present moment it would be safe to say that two-thirds of the sweaters in Liverpool are foreigners," coming chiefly from Germany and Russian Poland. In Leeds sixteen years ago there were only twelve Jewish workshops; there are now some hundreds.
Since a very large proportion of the worst sweating occurs in trades where the work is given out, either directly or by the medium of sub-contract, to home-workers, it is natural that stress should be laid upon the small private workshops as the centre of the disease. If the work could only be got away from the home and the small workshop, where inspection is impracticable, and done in the factory or large workshop, where limitations of hours of labour and sanitary conditions could be enforced, where the force of public opinion could secure the payment of decent wages, and where organization among workers would be possible, the worst phases of the malady would disappear. The abolition of the small workshop is the great object of a large number of practical reformers who have studied the sweating system. The following opinion of an expert witness is endorsed by many students of the question--"If the employers were compelled to obtain workshops, and the goods were made under a factory system, we believe that they could be made quite as cheaply under that system, with greater comfort to the workers, in shorter hours; and that the profits would then be distributed among the workers, so that the public would obtain their goods at the same price."[25] It is maintained that the inferior qualities of shoes are produced and sold more cheaply in the United States by a larger use of machinery under the factory system, than in London under a sweating system, though wages are, of course, much higher in America. Moreover, many of the products of the London sweating trades are competing on almost equal terms with the products of provincial factories, where machines are used instead of hand-labour.
§ 4. Economic Advantages of "Small Workshops."--The question we have to answer is this--Why has the small workshop survived and grown up in London and other large cities, in direct antagonism to the prevalent industrial movement of the age? It is evident that the small workshop system must possess some industrial advantages which enable it to hold its own. The following considerations throw light upon this subject.
1. A larger proportion of the work in sweating trades is work for which there is a very irregular demand. Irregularity of employment, or, more accurately speaking, insufficiency of employment--for the "irregularity" is itself regular--forms one of the most terrible phases of the sweating system. The lower you descend in the ranks of labour the worse it is. A large number of the trades, especially where women are employed, are trades where the elements of "season" and fashion enter in. But even those which, like tailoring, shirtmaking, shoemaking, furniture and upholstery, would seem less subject to periodic or purely capricious changes, are liable in fact to grave and frequent fluctuations of the market. The average employment in sweating trades is roughly estimated at three or four days in the week. There are two busy seasons lasting some six weeks each, when these miserable creatures are habitually overworked. "The remaining nine months," says Mr. Burnett, "do not average more than half time, especially among the lower grade workers."
This gives us one clue to the ability of the small workshop to survive--its superior flexibility from the point of view of the employer.
"High organization makes for regularity; low organization lends itself to the opposite. A large factory cannot stop at all without serious loss; a full-sized workshop will make great efforts to keep going; but the man who employs only two or three others in his own house can, if work fails, send them all adrift to pick up a living as best they can."[26]
Since a smaller sweating-master can set up business on some £2 capital, and does not expect to make much more profit as employer than as workman, he is able to change from one capacity to the other with great facility.
2. The high rent for large business premises, especially in London, makes for the small workshop or home-work system. The payment of rent is thus avoided by the business firm which is the real employer, and thrown upon the sub-contractor or the workers themselves, to be by them in their turn generally evaded by using the dwelling-room for a workshop. Thus one of the most glaring evils of the sweating system is seen to form a distinct economic advantage in the workshop, as compared with the large factory. The element of rent is practically eliminated as an industrial charge.
3. The evasion of the restrictions of the Factory Act must be regarded as another economic advantage. Excessive hours of labour when convenient, overcrowding in order to avoid rent, absence of proper sanitary conditions, are essential to the cheapest forms of production under present conditions. It does not pay either the employing firm or the sub-contractor to consider the health or even the life of the workers, provided that the state of the labour market is such that they can easily replace spent lives.
4. The inability to combine for their mutual protection and advantage of scattered employés working in small bodies, living apart, and unacquainted even with the existence of one another, is another "cheapness" of the workshop system.
5. The fact that so large a proportion of master-sweaters are Jews has a special significance. It seems to imply that the poorer class of immigrant Jews possess a natural aptitude for the position, and that their presence in our large cities furnishes the corner-stone of the vicious system. Independence and mastery are conditions which have a market value for all men, but especially for the timid and often down-trodden Jew. Most men will contentedly receive less as master than as servant, but especially the Jew. We saw that the immigrant Jew, by his capacities and inclinations, was induced to make special efforts to substitute work of management for manual labour, and to become a profit-maker instead of a wage-earner. The Jew craves the position of a sweating-master, because that is the lowest step in a ladder which may lead to a life of magnificence, supported out of usury. The Jewish Board of Guardians in London, though its philanthropic action is on the whole more enlightened than that of most wealthy public bodies, has been responsible in no small measure for this artificial multiplication of small masters. A very large proportion of the funds which they dispensed was given or lent in small sums in order to enable poor Jews "to set up for themselves." The effect of this was twofold. It first assisted to draw to London numbers of continental Jews, who struggled as "greeners" under sweaters for six months, until they were qualified for assistance from the Jewish Board of Guardians. It then enabled them to set up as small masters, and sweat other "greeners" as they themselves were sweated. It was quite true that the object of such charity was the most useful which any society could undertake; namely, that of assisting the industrially weak to stand on their own legs. But it was unfortunately true that this early stage of independence was built upon the miserable dependence of other workers.
6. But while, as we see, there are many special conditions which, in London especially, favour the small workshop, the most important will be found to consist in the large supply of cheap unskilled labour. This is the real material out of which the small workshop system is built. In dealing with the other conditions, we shall find that they all presuppose this abundant supply of labour. If labour were more scarce, and wages therefore higher, the small workshop would be impossible, for the absolute economy of labour, effected by the factory organization with its larger use of machinery, would far outweigh the number of small economies which, as we have seen, at present in certain trades, favour and make possible the small workshop. Every limitation in the supply of this low-skilled labour, every expansion of the alternatives offered by emigration, access to free land, &c., will be effectual in crushing a number of the sweating workshops, and favouring the large factory at their expense.
§ 5. Irresponsibility of Employers.--The third view of the sweating System lays stress upon its moral aspect, and finds its chief cause in the irresponsibility of the employer. Now we have already seen that this severance of the personal relation between employer and employed is a necessary result of the establishment of the large factory as the industrial unit, and of the ever-growing complexity of modern commerce. It is not merely that the widening gap of social position between employer and employed, and the increased number of the latter, make the previous close relation impossible. Quite as important is the fact that the real employer in modern industry is growing more "impersonal." What we mean is this. The nominal employer or manager is not the real employer. The real employer of labour is capital, and it is to the owners of the capital in any business that we must chiefly look for the exercise of such responsibility as rightly subsists between employer and employed. Now, while it is calculated that one-eighth of the business of England is in the hands of joint-stock companies, constituting far more than one-eighth of the large businesses, in the great majority of other cases, where business is conducted on a large scale, the head of the business is to a great extent a mere manager of other people's capital. Thus while the manager's sense of personal responsibility is weakened by the number of "hands" whom he employs, his freedom of action is likewise crippled by his obligation to subserve the interests of a body of capitalists who are in ignorance of the very names and number of the human beings whose destiny they are controlling. The severance of the real "employer" from his "hands" is thus far more complete than would appear from mere attention to the growth in the size of the average business. Now it must not be supposed that this severance of the personal relation between employer and employed is of necessity a loss to the latter. There is no reason to suppose that the close relation subsisting in the old days between the master and his journeymen and apprentices was as a rule idyllically beautiful. No doubt the control of the master was often vexatious and despotic. The tyranny of a heartless employer under the old system was probably much more injurious than the apathy of the most vulgar plutocrat of to-day. The employé under the modern system is less subject to petty spite and unjust interference on the part of his employer. In this sense he is more free. But on the other hand, he has lost that guarantee against utter destitution and degradation afforded by the humanity of the better class of masters. He has exchanged a human nexus for a "cash nexus." The nominal freedom of this cash relationship is in the case of the upper strata of workmen probably a real freedom; the irresponsibility of their employers has educated them to more self-reliance, and strengthened a healthy personality in them. It is the lower class of workers who suffer. More and more they need the humanity of the responsible employer to protect them against the rigours of the labour-market. The worst miseries of the early factory times were due directly to the break-up of the responsibility of employers. This was slowly recognized by the people of England, and the series of Factory Acts, Employers' Liability Acts, and other measures for the protection of labour, must be regarded as a national attempt to build up a compulsory legal responsibility to be imposed upon employers in place of a natural responsibility based on moral feeling. We draft legislation and appoint inspectors to teach employers their duty towards employés, and to ensure that they do it. Thus in certain industries we have patched up an artificial mechanism of responsibility.
Wherever this legal responsibility is not enforced in the case of low-skilled workers, we have, or are liable to have, "sweating." Glancing superficially at the small workshop or sweating-den, it might seem that this being a mere survival of the old system, the legal enforcement of responsibility would be unnecessary. But it is not a mere survival. In the small workshop of the old system the master was the real employer. In the modern "sweating" den he is not the real employer, but a mere link between the employing firm and the worker. From this point of view we must assign as the true cause of sweating, the evasion of the legal responsibility of the Factory Act rendered possible to firms which employ outside workers either directly or indirectly through the agency of "sweaters." Although it might be prudent as a means of breaking up the small workshop to attempt to impose upon the "middleman" the legal responsibility, genuine reform directed to this aspect of "sweating," can only operate by making the real employing firm directly responsible for the industrial condition of its outdoor direct or indirect employés.
This responsibility imposed by law has been strengthened as an effective safeguard of the interests of the workers by combination among the latter. In skilled industries where strong trade organization exists, the practical value of such combination exceeds the value of restrictive legislation.
"In their essence Trade Unions are voluntary associations of workmen, for mutual protection and assistance in securing the most favourable conditions of labour." "This is their primary and fundamental object, and includes all efforts to raise wages or prevent a reduction of wages; to diminish the hours of labour or resist attempts to increase the working hours; and to regulate all matters pertaining to methods of employment or discharge, and modes of working."[27] Engineers, boiler-makers, cotton-spinners, printers, would more readily give up the assistance given them by legislative restriction than the power which they have secured for themselves by combination. It is in proportion as trade combination is weak that the actual protection afforded by Factory and Employers' Liability Acts become important. Just as we saw that sweating trades were those which escaped the legislative eye; so we see that they are also the trades where effective combination does not exist. Where Trade Unions are strong, sweating cannot make any way. The State aid of restrictive legislation, and the self help of private combination are alike wanting to the "sweated" workers.