Showing posts with label July 1962. Show all posts
Showing posts with label July 1962. Show all posts

Friday, July 25, 2025

News in Review: Wall Street slump (1962)

The News in Review column from the July 1962 issue of the Socialist Standard

Wall Street slump

Wall Street got the twitch last month and so did London and the Bourses on the Continent. The newspapers rushed out pictures of the panic in 1929 and then had to set their City Editors to work to explain why 1929 cannot after all happen again.

Everybody seemed to have forgotten that just before 1929 the financial experts were assuring us that the crash which was in fact just around the corner could never happen anyway. If this does not make the experts of 1929 look very impressive in retrospect, it must also teach us that the forecasts of all capitalism's economic experts are not worth very much.

Nowadays the experts are fond of pointing out the precautions which (they are confident) would prevent a runaway boom like the one which preceded the 1929 crash and therefore (they reason) would also prevent the crash itself.

This ignores the fact that slumps are not the result of an attack of jitters on the Stock Exchange; rather is it the other way round. Nineteen-twenty-nine was one of capitalism's classic crises and no amount of stock juggling could have averted it.

Nor should we assume that hotheaded speculation is dead. The Observer correspondent in New York reported that the “intellectuals" of Wall Street thought that: “By the end of last year the market had reached heights that brokers now, without blushing, describe as insane." and quoted one New York broker:
"The way some of (the big brokers) have been pushing over-priced stocks at naive investors is nothing short of criminal."
Perhaps a repeat of 1929 is not so impossible after all. For some of the experts were mystified by Wall Street’s 1962 twitch. The Guardian said: "The continuing retreat is puzzling commentators in that there seems to be no apparent reason for it. Mr. Walter Heller, President Kennedy's economic adviser, said there were no economic grounds for the condition of the market." Does this fill us with confidence that capitalism’s economists could not be taken unawares by a repeat of 1929? It does not.

Capitalism could have something up its sleeve, just as it had thirty-three years ago, to surprise the experts and impoverish the rest of us.


Liberal Party promises

Nobody can accuse the Tories of not being worried about the Liberal revival. Faced with the fact that some of the electorate undoubtedly find the Liberal Party attractive, the Conservatives have set out to prove that the very allure of Liberal policy lies in its irresponsibility.

This is being done in the time- honoured way of accusing the Liberals of pushing vote-catching policies without also mentioning that they would increase taxes to finance them. Mr. Iain Macleod has estimated that full application of the Liberal policy would put another eleven shillings on income tax. Most workers are convinced that they are the people who pay taxes: to them, the prospect of a standard income tax rate of 18/9d. in the pound must have seemed like black nightmare.

To back up his case. Mr. Macleod had his research boys dig out some choice examples of Liberal promise-mongering. He quoted Liberal policies for spending more on roads and education, for increasing pensions, repaying post-war credits and much more besides. The Liberals claimed that Macleod‘s quotes were taken out of context.

Yet in one way Macleod had a point, even if he did not know that he was making it. All capitalist political parties have to make a lot of attractive promises and boast that they can do things which they know are beyond their abilities. The Tories, for example, said in 1951 that they would stop prices rising.

Such promises can be effective vote-catchers. The one snag is that a party which is liable to be returned to power cannot make its promises too extravagant, because that would only make their betrayal that much more obvious. On the other hand, the more remote from power a party is, the more reckless its promises can be. The Liberals have little immediate prospect of becoming the government of British capitalism.

We may be sure that if the Liberal revival really gets under way their promises will become dimmer and more sober as the votes mount up. And if they ever get into power again most of the promises will disappear. Grimond and his men would run British capitalism in roughly the same way as the parties they now decry.


End of Eichmann?

No time was wasted, after the Israeli President bad written the quotation from the Bible across the petition for reprieve, in sending Adolf Eichmann to his death and scattering his ashes into the sea.

Why was Eichmann executed? For revenge? One man cannot adequately expiate the murder of six million people; a split-second execution is hardly revenge for the years of pitiless concentration camp horrors.
P
erhaps nearer the mark were those observers who think that the whole thing—the abduction, the trial, the execution—was meant to establish Israel as a political reality among the other capitalist nations. Political acts in themselves do have significance and for Israel to put to death the man who organised the extermination of the Jews is significant indeed.

Israel has asserted her power—even if, in terms of capitalist legality, she had little right—to bring the Jews' tormentors to book.

But what else has Israel done?

Perhaps she has made a martyr of the clerk-like Eichmann. Racial theories still live in capitalism's jungle; the execution of Eichmann could be the grain of sand around which they crystallise and flourish.

There is no easy explanation of the Eichmanns of the thirties and forties; Nazi Germany will remain a horrifying enigma for a long time to come. But we can say that part, at any rate, of the reason for the electoral success of the Nazis was the crisis of German capitalism after 1918 and the despair and cynicism which this bred in the minds of the German working class. In this mood, they would have supported anyone who sounded as if he had the answer to their problems. And Hitler, with his race mania, sounded like that to them.

Capitalism is always liable to convulsion and in any case it will never stop looking for scapegoats for its own shortcomings. This means that racial hatred is still with us and that even the madness of the Nazis need not be very far away.

The world may not have seen the last of its Adolf Eichmanns.


Coal profits

The nationalised coal mines made £28.7 million operating profit last year. If the Coal Board were a normal commercial company, said chairman Lord Robens when he announced these figures, it would be paying a dividend of 2½% from its profits.

But the coal mines are not, of course, a normal concern. The N.C.B. is liable to pay out on fixed interest stock and loans, which means that its dividend payments bear no relation to its working profit.

Last year the N.C.B’s interest payments came to £42.4 million, which turned its working profit into an accounting deficit of £13.7 million.

There are three things to be said about this.

Firstly, nationalising the coal mines was obviously a good move from the point of view of those who get the £42.4 million interest from a profit of only £28.7 million; much more than they would have got from Lord Robens' two-and-a-half per cent!

Secondly, the fact that millions of pounds profit is being wrung from the coal mines is proof—if anymore were needed—that nationalisation does not alter the capitalist nature of society. For profit, in private or state industry, can only come from the exploitation of workers in the industry.

Which brings us to the third, conclusive point. Many workers in this country were misled into supporting nationalisation because they thought it had something to do with common ownership. The figures which the National Coal Board has produced, and those which the other nationalised industries turn out year by year, show up that it was nothing of the kind.

Letter: Co-partnership, Fact or Fantasy? (1962)

Letter to the Editors from the July 1962 issue of the Socialist Standard

‘John Lewis’ replies

Dear Sir,

In the article in your March issue on Co-Partnership—with particular reference to the John Lewis Partnership—there are so many statements which are not in accordance with the facts, that I should be grateful if you would publish this letter in order to correct the quite erroneous impression which your article might create.

The Partners—and the definition you quote is a perfectly happy one, “persons associated with others in business of which they share risks and profits’—are, in fact, joint owners. All the ordinary share capital—the equity—of all the companies is held, either directly or indirectly, by the John Lewis Partnership Trust Ltd. on behalf of all members of the Partnership. You say “the workers in the J.L.P. no more share the profits than do the employees of various concerns who have in recent years taken up the idea known as profit sharing”, This is palpably and demonstrably untrue. Several companies in recent years have issued shares to their employees as a means of profit sharing, but the number of shares so issued is fixed arbitrarily by the Board concerned and the balance of the profit is distributed amongst the holders of the ordinary shares, who may be, and usually are, members of the general public. In the J.L.P. none of the general public can own a J.L.P. ordinary share—they are all held in trust for the “Partners ’—and all of the profit that would otherwise go to ordinary shareholders goes, under irrevocable settlements in Trust, in one way or another to the Partners themselves.

You go on to say that ’’the so called profits are no more than part of their wages—a bonus and an incentive for harder work”. Entirely untrue. The J.L.P. pays wages which are at least as high, if not higher, than their competitors pay and this sharing of profits is something entirely additional and is given pro rata according to their salaries whether they work harder or not. This is pure profit which in most other businesses would go to outside shareholders. It is not irrelevant in this connection to note that last year profits distributed to Partners or applied; for their benefit amounted to £1,500,000—a sum of money which could, had the Founder of the J.L.P. —Mr. J. Speden Lewis—decided to retain the business himself, have gone into his own pocket or, had he decided to float the Company in the normal way, into the pockets of outside shareholders of ordinary shares.

You dismiss gaily the amenities which the J.L.P. offers on the grounds that most of the amenities are also offered—and sometimes bettered—by their competitors. This clearly is no place to go into the detailed merits of amenities offered, but it can be confidently stated that no other comparable organisation offers better or even as wide a scope of amenities. Virtually every type of leisure time activity both intellectual and sporting is catered for and subsidised, e.g.. music, drama, chess, painting, sailing and all normal sporting activities. In addition there are residential clubs at Cookham on the Thames, at Stockbridge in Hampshire and at Liverpool. Partners can also buy subsidised tickets for operas, plays and concerts.

You seem to find it strange that Partners should be prosecuted for alleged dishonesty. This is quite incomprehensible. If, for example a Partner steals, that Partner is stealing from his fellow workers—universally regarded as being one of the most despicable forms of anti-social behaviour. It is surprising that it appears that you take exception to such a course of action.

The committees and councils of the J.L.P. are, you say, “supposed to be democratic bodies but in fact have a large percentage of members nominated by management and in every case are nearly always biased in favour of management This is particularly true of the General Council of the firm". Here the figures speak for themselves. In the Central (Not General) Council of I36 members, 28 are “nominated” by the management and 108 are freely elected by the members of the Partnership.

Legal ownership of the Partnership is vested not in ’’the Board of Directors and the Chairman”, but in the Trustees of the Partnership, who hold it for all present and future members of the Partnership. The powers of the Chairman are certainly wide, but they are limited by a written constitution and a breach thereof on his part could lead to his displacement by the democratically elected Central Council.

Despite your remarks that “J.L.P. workers are. if anything, worse off than workers employed elsewhere”, it is a fact that of our 15.000 members. 55%, have been with us over 3 years and 41% over 5 years. They are all at liberty to go elsewhere anytime they please.

The Founder of the John Lewis Partnership has said that the Partnership is a possible advance in civilisation and perhaps the only alternative to communism. Could it be that the success of this experiment has got “under the skin” of the Socialist Standard?
Yours faithfully.
H. C. Pugh
Public Relations Department.
John Lewis and Company Ltd.


Our reply
Mr. Pugh says “there are so many statements which are not in accordance with the facts” that the article on co-partnership might create an erroneous impression. In fact, the only error was our reference to the Central Council as the General Council.

Apparently Mr. Pugh is happy to accept our definition of “partners" taken from the Concise Oxford Dictionary, but he has ignored the important qualification which we were careful to stress. So, let us repeat that partners have definite—tangible-legal ownership in Capitalist enterprises and in the surplus value extracted from their employees. If this is borne in mind, it is quite clear that J.LP. workers have no stake in that concern.

Even accepting the definition from the Concise Oxford Dictionary without any qualifying statement, however it is still impossible to fit J.L.P. workers into the category of “partners" unless you want to go into an “ Alice in Wonderland " realm of fantasy and double-talk. For years now the J.LP. has referred to its employees as partners, even though they have come and gone as in any other capitalist concern and in all that time have had no legal ownership in the firm any more than workers have for example in the nationalised industries.

The fact is of course that the J.L.P. workers, like workers anywhere in the world, sell the only thing they have to sell, their ability to work. The wage they receive for expending their energies on behalf of the J.L.P. takes into account not only the actual money received, but includes the various amenities referred to by Mr. Pugh, and part of this wage is the so-called "profits" which we repeat are but a bonus and an incentive to harder work; it is actually referred to by the J.L.P. as a “general bonus" in various issues of their Gazette. Profit is unearned income—money which is realised by investing in industry and it only goes to those who have the necessary legal title. In other words, to those who possess stocks and shares etc. This obviously has no relevance to the mass of J.LP. workers.

Dividends
Mr. Pugh says that “none of the general public can own a J.LP. ordinary share . . ." by which he presumably means that no one can hold any of the 612.000 deferred ordinary shares of J.L. Partnership Ltd.. 6,995 ordinary shares of the Odney Estate Ltd., and 75 shares of the Leckford Estate Ltd. These are held by the J.L.P. Trustees who are also represented on the J.LP. Board. The implication to be drawn from the above statement apparently is that there is no exploitation of the workers in the J.LP. But Mr. Pugh does not mention the £287,000 paid out as dividends upon the preferred ordinary and preference stocks of the company and its subsidiaries, and no mention is made of the actual amount of debenture interest paid out in 1961. According to the Gazette of 3rd June. 1961 Loans and Debentures amounted to £10,227,619 and the interest of Outside Stockholders in Subsidiaries amounted to £6,841,389.

Mr. John Bedford. Chairman of Debenhams Limited, in an interview given to the Gazette touched upon this. He was asked about the efficiency of the Partnership by comparison with Debenhams. He said he thought "his own group's profitability was higher, but it was difficult to make a comparison without knowing exactly what capital was tied up to produce the Partnership’s results. Debenhams made a return to the Stock Exchange giving such information; the Partnership, he thought, did not."

We have already touched upon amenities, but as Mr. Pugh maintains that no other "comparable organisation offers better or even as wide a scope of amenities", it would be as well to deal with some of his figures. 55% of the 15,000 staff have been with Lewis's over 3 years and 41% over five years. “They are all at liberty to go elsewhere any time they please". Apparently they do so, for these figures from another angle show that out of 15,000 staff, 45% have been less than three years with the J.LP. and 59% have been there less than five years. Making allowance for normal wastage for retirement and other reasons it would seem that quite a large numbercome to Lewis's, find they do not like it, and go elsewhere. If on balance pay and conditions are so favourable in the J.L.P. they should be able to maintain a labour turnover much lower than this.

It can happen, of course, that a firm competes for labour by offering a combination of pay and amenities which really are above the average. What happens in that case is that they get a large number of applicants for vacancies and are able to pick the best: best qualified, best trained, and best from a health point of view. They are, therefore, paying above average wages but getting above average efficiency. The other side of the picture is that some other firms cannot or do not want to compete in this way, so they get the least efficient workers and pay wages below the average. Whether the J.L.P. fits into the latter category is anybody’s guess, but one thing is certain and that is that they do not fit into the first category; the staff wastage figures make that crystal clear.

Special Facilities
Mr. Pugh gives information about the special facilities offered to J.LP. staff. Different firms of course use different attractions. Some offer their employees four weeks holiday, luncheon vouchers, and so on. Other employers are able to offer free or cheap travel. Some workers have free or very cheap accommodation, food, clothes, shoes etc., or loans for house purchase at very low interest rates. But it is only necessary to look at the consequences to see that these are not additions to wages. It is obvious that free travel for railwaymen is a necessary accompaniment of low money wages, and the same thing can be found elsewhere.

Mr. Pugh says that we “seem to find it strange that Partners should be prosecuted for alleged dishonesty." But he has again missed the point we were trying to make. A man cannot steal from himself and the very fact that prosecutions take place means that someone else is the legal owner of the stolen goods, not the J.L.P. workers. Apparently Jones Bros, of Holloway (a member firm of the J.L.P) are under no such illusions as Mr. Pugh. They have installed a buzzer theft trap and anyone caught between two white lines near the staff exit when the buzzer goes, is asked by the watchman to empty his pockets, or may even be taken to a private room to be searched. (See Observer 22-4-62).

Regarding the Councils, in particular the Central Council. Mr. Pugh himself tells us “In the Central Council of 136 members. 28 are ‘nominated’ by the management and 108 are freely elected by the members of the Partnership." The nominated members amount to just over one fifth of the Council; in other words, one in five are there on behalf of the management. In actual fact, as many as a third of the members of the Central Council could be appointed by the management, according to the J.L.P. rules. This still doesn't take into account the very high percentage of management members amongst the "freely elected”. A quick glance through the Gazette reveals that this year's council is no different from previous councils, the majority of them being management employees.

Council representation and the percentage of nominated councillors have in fact been the subject of some discussion on the Central Council only recently. The following was reported in the Gazette of 25th November as part of the discussion of the Central Council:—“Ex-officio members are also a matter of concern to a number of Councillors. Need they be so large a proportion? ” "While they could number over thirty in the Central Council when Rank and File Councillors only numbered thirteen the situation was appalling, said one Councillor.” It can be seen from this that our statements in the article on co-partnership were perfectly correct and that Mr. Pughs’ phrase “freely elected” amounts to precisely nothing.

Says Mr. Pugh “Legal ownership of the Partnership is vested not in the Board of Directors and the Chairman, but in the Trustees of the Partnership . . ." What we actually said—we were referring to the Councils at the time—was that the Councils have no real power and that this is vested as in all capitalist concerns in the people who have legal ownership represented in this case by the Board of Directors and the Chairman. The Central Board and its Chairman have the real power; the real decisions are taken by the Central Board. Surely we do not have to cite the various decisions taken by the Board which are printed so regularly in the Gazette?

In conclusion Mr. Pugh along with Mr. Lewis apparently thinks “that the Partnership is a possible advance in civilization and perhaps the only alternative to communism" and that the success of this experiment has got "under the skin of the Socialist Standard." To which we would say that co-partnership, like nationalisation both at home and abroad, and in Communist Russia in particular, is just another way of running capitalism. One can certainly not consider co-partnership therefore as a “possible advance in civilization”. That will only come with Socialism.

In the meantime' no amount of word juggling is going to conceal the degrading business of the exploitation of the working class even though it may go under the guise of co-partnership and claim to he an "advance in civilization”. We say again that co-partnership schemes have nothing to offer the working class.
JONQUIL.

By-Elections: The Government’s reverses (1962)

From the July 1962 issue of the Socialist Standard

That was an interesting flurry of by-elections. Now that the votes have been counted, the shouting has died and the government are left with some nasty wounds to lick, it is time for the summing up. Not, mark you, in the sense that the political correspondent of the Daily This or the Sunday That has summed up. They can tell us efficiently enough why one candidate beat another, and what effect this might have upon the government. There is need, now, for a different perspective to be put on these matters. What are the by-elections worth? Will they change anything?

The government are certainly in difficulties although there is of course nothing unusual in that. Have we ever known a government which has not run into squalls in its attempts to organise capitalism? Even so, at least one of the present problems is in some ways unique. We refer, of course, to the Common Market negotiations, which face the British capitalist class with their most agonising decision for a long time. The gamble they took years ago, that the European Economic Community would not become a viable enough organisation to cast doubt on the value of the Commonwealth Preference system, has not come off. This has left the British ruling class in the humiliating situation of having to bargain away some of their cherished advantages for a chance at the European market—provided they can also break the stony resistance of de Gaulle.

Should they abandon New Zealand to its fate in the world meat and dairy market? Can they persuade the six in Europe to let them keep the protective tariffs for some Commonwealth products and still take advantage of the Common Market? These problems are such that the Empire builders in the palmy days of Victoria never thought to be confronted with. Neither did their modern counterparts in the Conservative Party. That is why the Tories—and the Labour Party, for that matter —are split over the Common Market.

Nor is all well on the home front, where the government are desperately trying to hold a broken line on their wages policy. Keeping wages in check has always been a problem for capitalism's governments, in this country and abroad. For governments are there to run society in the interests of its ruling class, who rule because they own. The ruling class are the people, in one way and another, whom we work for and who pay us our wages. The big problem, for us as well as for them, is that the more we get as wages the less they get as profit. That is why wages are such a persistent cause of dispute to capitalism and why governments have to try to hold them down. Since the war, with employment at a high level, the pressure has been for wages to go up. And since the war, from Cripps' freeze to Lloyd’s pause and guiding light, governments have tried to keep them in check.

The Tories have presented their wages policy as sober and responsible and have damned anybody who runs counter to it as the blackest of black sheep. Mr. Macmillan told the last Conservative women’s conference:
Some employers, selfishly secure in the knowledge that they can recoup themselves from higher prices at home, may give in too easily to unreasonable demands. Some unions, arrogant with organised power, will try to grab too large a slice of the cake.
This, and the other speeches in the same style, may have impressed the well-hatted Tory women but its effect upon, say, the dockers and the nurses (who, said the Prime Minister, should have a large and immediate increase — “ If we could be guided solely by our hearts ”) and the other workers in the pay queue was probably negligible.

Because workers, whether they are “respectable” civil servants or less “respectable” dockers, and whether they are called selfish and arrogant or any other name, will always struggle to improve their wages. They cannot get away from it; the relationship of worker to employer which pervades capitalist society sees to that. While capitalism lasts, there will always be a class struggle over wages and other conditions of employment.

But if the Common Market and wages are two of the government’s worries, can we say that they had any influence on the by-elections? Do workers weigh up such matters and cast their vote accordingly? If they do, there must be a crushing majority in this country in favour of the Common Market, to judge from the lost deposit of the anti-Common Market candidate in Derbyshire West. And if the workers do weigh up the issues involved in an. election, how thoroughly do they do so? They apparently missed the fact that the post war Labour government, despite its professions to having human interests at heart, started the British hydrogen bomb programme and took this country into the Korean war, which might at one stage have exploded into a world conflict. Whatever the reasons for the Labour Party's defeat in 1951, its zeal for prosecuting capitalism's wars was not amongst them.

Similarly, the Conservative Party is kept in power by the ignorant docility of the working class. The Tories do not see their votes decline as a result of their being the men who gambled with world war in their Suez adventure. They do not lose M.P.'s because they are the government in charge of the British bomb tests, which play their part in poisoning the atmosphere in the search for an all-powerful weapon of destruction. If the Tories do suffer a decline, as they did in 1957 and 1958, it is not for these reasons and they can soon come bouncing back into favour and into an even more secure majority, as they did in 1959.

Why, then, are the votes at present running against the government? The people who profess to know —the newspapers’ political correspondents — have their theories. The Guardian thinks that it can be put down to “impatience” (they are impatient with the government themselves); The Economist has spoken of ineffective public relations; another observer has said the electorate are “bored” with the government. If these reasons have any substance, it would be nice to know why the electoral mood can change so easily. Were the workers bored and impatient in 1958 but patiently interested enough in 1959 to put in an overwhelming Tory vote? And why, basically, are they bored and impatient?

The truth is that workers vote for capitalism, whether it is capitalism organised by a Labour or a Conservative government. These governments can often be made to look foolish and impotent by the caprices of the very social system they are trying to run. The Attlee government did look foolish over the 1947 fuel crisis and over potato rationing. The Tories are impotent to control the opposing pressures of wage claims and the temptation to inflate the currency. It is an easy thing to poke fun at a government which is in such difficulties. Yet simply to vote against a government, to switch support from one capitalist party to another, is just as foolish and futile. And worse; because to do this is to fly in the face of all facts, all the evidence, all history, it is a depressingly ignorant thing that the millions of working class voters do at election time.

Yet we do not need to look very hard at the world around us to realise that there is a desperate need for an end to the political ignorance of the workers. Consider, for example, the letter which The Guardian published on June 1st. last; a tragically moving letter from a mother whose little girl had died from leukaemia. This mother is convinced that her child's death was caused by radiation from bomb tests and perhaps she is right. Some radiation, we know, is natural but we also know that bomb tests can cause leukaemia and other frightful illnesses. And the men who decide on the bomb tests also know this, of course. The mother wrote bitterly of the world’s important statesmen assuring us that the danger from tests is “negligible” and of what the word means. For her, ‘negligible” risk meant a baby obese from the multitude of drugs which were pumped into her, a baby choking on its own blood in the night and crying for help to a helpless mother.

This is capitalism. The bomb tests go on, regardless of the pain and suffering they cause, because they are necessary to capitalism, and that is what the bored and the impatient and the ignorant vote for. That is the perspective in which we must view the by-elections. The dead child's mother pleads for the major political parties to take notice of what the ordinary people of this country want. But in fact she can only get the sort of world she wants when the ordinary people decide that they will not leave their wants to be interpreted by political leaders, major or minor. It is worth thinking over this one, the next time we have to put those crosses on the Ballot papers.
Ivan

Thursday, July 24, 2025

Capitalism in the Caribbean - Part 2 (1962)

From the July 1962 issue of the Socialist Standard


The economy of the West Indies underwent a transformation following the abolition of slavery—from a primitive form of capitalism with many feudal features to full capitalism based on wage labour.

With the loss of its tied labour force, the plantation system of agriculture broke down, and the sugar owners faced quick ruin. It was to prevent this sudden loss of their labourers that the sugar plantocracy in many islands introduced a transitory state between slavery and wage-labour—“apprenticeship”. Under slavery, of course, no wages were paid, the slave being kept by his owner and encouraged to grow his own food. Until the sugar owners could buy the labour-power of the “free'’ workers the ex-slaves were “apprenticed” to the estates. They had to work for their former owners for about three-quarters of the week without pay, and from their earnings for the remaining quarter they were able to buy their “freedom" when their apprenticeship ended.

In their efforts to reduce the cost of producing the sugar the owners were forced to introduce labour-saving machines; this became even more necessary in face of competition from sugar planters in other parts of the world, notably the East Indies and the U.S.A., and the introduction of beet-sugar farming in Europe and the U.S.A. To make matters worse for the West Indian sugar owners the British Government drastically cut the subsidy which it had long paid for West Indian sugar when it became apparent that cheaper sources of sugar were available elsewhere. In addition, West Indian cotton and tobacco were virtually eliminated from the world's markets during the middle of the nineteenth century by improved farming in the southern states of America and Eli Whitney's cotton saw-gin.

To combat the twin capitalist problems of the rising cost of labour-power and the falling price of sugar, the West Indian sugar owners were forced to re-organise their industry; apart from introducing mechanisation, absentee ownership was discouraged, immigration (especially of European skilled artisans) encouraged, and serious attempts were made to build up an adequate, dependable, labour force.

In the islands with a long history of slavery, like Barbados, Antigua, and St. Kitts, there was an adequate supply of labour-power but in fast developing countries with little history of slavery (especially Trinidad and British Guiana) the shortage of labourers was acute. To these two countries, therefore, came regular shiploads of peasants from Madeira and India—indentured labourers who signed contracts or bonds to work on the estates as “free" workers. The workers from Madeira did not measure up to the exacting working conditions on the sugar estates in the tropics, but the Indians were quite at home. These “East Indians" were largely responsible for the agricultural wealth of Trinidad and British Guiana, and now number about half the population of Trinidad.

Although sugar-cane farming is the “monoculture" of the West Indies, other agricultural crops in different islands are important sources of profit for sections of the owning class. The (American) United Fruit Co., of which Elders and Fyffes are a subsidiary company, usually lakes about half of Jamaica's large banana crop. Citrus fruit, coffee, and cocoa are also grown on a considerable scale in certain islands. Grenadian planters enjoy a virtual monopoly of the spice trade in the West Indies.

Timber was, and is, the main industry in British Honduras. Timber, including hard woods, is also grown in Jamaica. Trinidad and British Guiana. The tourist industry, catering mainly for vacationing Americans, has developed considerably especially in Jamaica and is now a major source of profit for hotel and shop keepers; on the Jamaican north coast prices are quoted first in U.S. dollars. Trinidad is unique among the West Indian territories in having two important mineral deposits. The famous Pitch Lake, discovered in Raleigh's day, is the only source of natural asphalt in the world; despite competition from synthetic pitches produced during the refinery of oil. profits of the Trinidad Lake Asphalt Co. still assure a comfortable income for its shareholders.

In addition, oil was found in Trinidad towards the end of the nineteenth century. Although production has increased phenomenally since then, Trinidad's contribution towards the world's total oil production is less than half of one per cent; and because of the unsatisfactory geological formation of the oil-bearing layers, the cost of producing oil in Trinidad is among the highest in the world. However, its geographical position plus its stable government gives its oil industry a special importance in the eyes of British and American capitalists. After the second world war, American capitalism entered the Trinidad oil industry by acquiring a large field and the largest refinery. To prevent further American economic invasion, British Petroleum (half-owned by the British Government on behalf of the British capitalist class) recently took over three “independent" oilfields.

The bauxite industry (in Jamaica and British Guiana) is an important recent addition to West Indian capitalism.

As capitalism improved its methods of production in the Caribbean, so also it improved its methods of administration, to control the growing working class and to assure profits for the owners. In British territories, Crown Colony government superseded the inefficient and self-interested rule of the sugar plantocracy. Crown Colony government which has lasted, with few modifications, until the present time of the “wind of change", was largely responsible for the introduction of organised health services, thereby virtually eliminating the two killing diseases cholera and yellow fever and providing a reasonably fit working class. It also built a greatly improved transport system, the British mode of law-making and enforcement and a rudimentary educational system.

The French islands had always been closely tied to France, the colonial assemblies (which were instituted in 1787) being only advisory in character. Following emancipation, attempts to decentralise the islands' administration were abandoned, and Martinique and Guadeloupe became departments of metropolitan France, which they are today.

The development of capitalism in the larger islands of Cuba, Haiti and the Dominican Republic, and Puerto Rico is inextricably bound up with the interests of United States capitalism: capital investment, trading rights, and military bases for the defence of the Panama Canal.

After abolition in the British islands, the British Government pressed for the end of slavery in Cuba, whose sugar was underselling Jamaican sugar. The United States opposed British intervention, and later took the opportunity to gain firm control of Cuban affairs by a decisive and speedy military victory. The excuse for this was the loss of American property in the Cuban civil war of 1895 and the sinking of the American warship Maine in Havana harbour. Although American forces withdrew in 1902, American governors had effectively made Cuba a "friendly" country, and the establishment of the naval base at Guantanamo left no doubts about United States interest in the island.

Despite the oft-stated “principle" of the American State Department in the "self-determination and self-government of small nations”, Cuba has never been free of the intervention of American capitalism, political and military. U.S. naval forces were sent to Cuba in 1912 to protect American property during a Negro revolt, and the U.S. marines were sent in 1917 by President Wilson, also “to protect American lives and property". This touching concern for Cuban affairs apparently paid off. because as a result of the boom in sugar after the first world war a greatly increased concentration of wealth fell into the hands of American capitalists.

The growth of Cuban nationalism brought, first, the dictatorial regime of Machado, then in 1933-4 the left-wing government of Batista. With a history of strong left-wing parties (Cuba is the only country in the Caribbean with a Communist Party of any influence, thought to be a result of Spanish immigration during the 1920's), Cuba was the natural birthplace of Fidel Castro and his followers who seized power in 1958 and have ruled the island since then with all the trappings of a police state.

The Dominican Republic and Haiti have been of minor importance to the United States, both as markets and sources of capital, and any American interference there has been largely because of the islands strategic value. Both states of the island of Hispaniola have developed with dictatorial governments, and are at an uneasy peace with each other. Haiti is economically poor: the country is governed by a mulatto élite and the rest of the population are illiterate Negro peasants. The Dominican Republic, which is largely populated by descendants of Spanish settlers, is richer by virtue of sugar farming and the modest influx of American capital. The dictatorial regime of General Trujillo, which had ruled the country with no pretences of democracy for almost thirty years recently lost its iron control and the Trujillos were deposed. It is still loo early to say whether more democratic institutions for ruling the working-class will emerge; in the meantime the country has been "de-Trujillo-ised ” to the extent of the capital of Ciudad Trujillo being renamed Santo Domingo, the name given it by Columbus.

After centuries of Spanish rule, Puerto Rico was ceded to the United States in 1898 by the Treaty of Paris. America wished to gain control of the island (especially the fort of San Juan), not so much for her own use, but to prevent this strategic outpost failing into the hands of rival imperialist gangs. The sugar industry in Puerto Rico attracted American capital, and within a few years three or four American Corporations gained control of the industry and acquired more than half of the land suitable for cane growing. Although nominally American citizens. Puerto Rican workers soon discovered that, despite housing schemes, improved medical services, etc., they extracted little benefit from possessing American passports. It has been estimated that the average per capita income in Puerto Rico is less than one-fourth of that in the United States. In an attempt to relieve unemployment, the Puerto Rican government has encouraged emigration to the U.S.A., where, especially in New York, Puerto Rican immigrants meet similar problems that West Indian immigrants encounter in Great Britain.

No account of American capitalism's interference in the Caribbean would be complete without reference to the military bases in various West Indian islands granted to the United States during the early stages of World War Two by the British Government in return for fifty-odd old destroyers. The destroyers have all gone (some were reported to have sunk on their first Atlantic crossing), but the bases remain. They are a constant source of annoyance to West Indian politicians. especially Dr. Eric Williams. Premier of Trinidad and Tobago, who has apparently dedicated himself to the task of wresting the naval base of Chaguaramas in north-west Trinidad from the American Government.
Michael La Touche

The Passing Show: Agitators (1962)

The Passing Show Column from the July 1962 issue of the Socialist Standard

Agitators

It has been an accepted ruling-class myth for a long time now that strikes are caused by people called agitators. Whenever industrial trouble breaks out, the management’s bloodhounds set out to track down “the agitators”, the sinister background figures who are at the bottom of it all. The papers try to convince us that the workers concerned are perfectly happy with whatever wages and conditions the management sees fit to grant them, and that they would work away at their benches making ever greater profits for their masters without a single complaint — were it not for “the agitators". This must be one of the least convincing theories ever produced, even by a ruling class. It received another severe blow recently, at Ford’s Dagenham works. Here, as at many other factories, these powerful agitators who bring the men out on strike when they don’t really want to stop work are usually identified as the shop stewards. At the end of May the Ford Motor Company rejected outright a pay claim, not offering even sixpence a week more. So the shop stewards, ”the agitators”, called a one-day token strike in protest. But the men simply turned down this proposal, and continued work.

With the band in front

This underlined still further the obvious fact that workers come out on strike when they want to come out on strike, and not merely at the behest of agitators. No agitator in the world could make men strike if they didn't want to. Shop stewards, men who serve on strike committees, and so on, simply march with the band in front. Children love to run to the head of processions, and march in front of them, to pretend that they are the leaders. But if the band turns off down a side street, the “leader” has to go with it or be left marching on his own, a general without an army. And there is no sadder sight than that.

All day and every day

We are often treated in the press to learned articles about “the real reasons” for the trouble at any industrial plant where there have been a number of stoppages. But there is no need to go beyond the fact that the workers are exploited, plus the methods adopted by managements to screw out ever more surplus value. It is now agreed by almost everybody that the tasks which the workers have to do to stay alive are boring, monotonous, repetitive, soul-destroying, and offer no opportunity whatever for them to satisfy their basic human creative instincts, their need to do a job in which they can take a pride. The correspondent of the Observer (3-6-62) quoted one of the men at Dagenham:
The monotony of the work is another thing that gets you down. You take the Anglia handbrake. Putting it in involves turning four screws, 30 handbrakes an hour, all day and every day.
This particular job consists of putting in 120 screws every hour in every working day throughout the foreseeable future. The worker has to do every two minutes exactly what he did in the last two minutes. These newspaper articles, surely, are tackling the problem from the wrong angle. What causes astonishment to the impartial observer is not that there should be so much trouble at Ford’s, but that there should be so little elsewhere.

Salvation of souls

There is so little beauty in the lives of people living under capitalism, and such a large proportion of the few beautiful buildings remaining to us from earlier ages is destroyed every time we have a war, that one would think what we have is worth preserving. But some authorities in the Church of England believe otherwise, Not long ago the President of the Society of Antiquaries of London was protesting that the Chancellor of the Diocese of Ely had decided to demolish three ancient parish churches — Denton, built largely in the seventeenth century, and Woolley and Islington (Norfolk) which are mediaeval. In reply to this protest, a reverend gentleman from Worcester said that the purpose of the Church “is the salvation of souls and not the provision and upkeep of museums and ancient monuments.”

It is as if the worshippers of Athena Parthenos decided to knock down the Parthenon which was built as a temple for Athena, on the grounds that nobody now wants to pray to Athena in it—which of course nobody does. The fact that a particular superstition was once practised in a particular building doesn't make it any the less beautiful, but obviously the diocese of Ely sets more store upon the preservation of superstition than of beauty.

Cloisters

A similar instance of the benefits of private ownership is the case of William Randolph Hearst and the Spanish cloisters. Hearst, it appears, never even saw the cloisters, which dated from the twelfth century; but he heard that the monks in a remote part of Spain were prepared to sell their cloisters, so he sent along one of his employees to buy them. He then had to assuage the anger of the local villagers (real or pretended) at the removal of this relic by further large payments to them. Next he hired workmen to dismantle the cloisters stone by stone, had a sawmill built to make the cases to pack the stones in, and then had an extra twenty-one miles of railway constructed to transport the stones when they had been packed. They were taken all the way to Hearst’s gigantic fake castle at San Simeon in the United States, and there stored in enormous warehouses along with other art treasures which Hearst had bought from every corner of the world. This vast collection, not even unpacked, was still there when Hearst died years later.

Amber fountains

The next actor in this tragic farce is George Huntingdon Hartford II, an American multi-millionaire who has bought Hog Island near Nassau in the Bahamas, re-christened it Paradise Island, and is now at a cost of twenty-five million dollars turning it into a fantastically luxurious kind of Super-Cinerama playground for other multi-millionaires. A double room at the Ocean Club is said 'continued bottom left to cost up to £50 a day. It is not yet finished. Above the Ocean Club a “gently rising succession of terraces" is to be constructed, and at the summit, above the illuminated swimming pool, the purple creepers and the amber fountains, there will be erected, and floodlit, William Randolph Hearst’s twelfth-century Spanish cloisters. Huntingdon Hartford bought it. complete with packing-cases, from Hearst’s estate. But there is one small fly in the ointment. The plans for the cloister cannot now be found, and no-one knows how the stones are supposed to go together.

It seems that everything that capitalism touches, it defiles.
Alwyn Edgar

Notes on Russia: Russia and world trade (1962)

From the July 1962 issue of the Socialist Standard

In recent years there have been many signs that Russian industry is becoming more and more interested in finding foreign markets for its products, from ships and motor cars to oil and from timber to diamonds.

Immediately after the Communists captured power in Russia in 1917 they introduced State control of all foreign trade largely because they feared that German and other exporters would undercut Russian home industries with a flood of cheap goods. It was the aim of the Russian Government to restrict imports to those articles regarded as essential and to pay for them by exporting surpluses produced in home industries. There was at that time no urge to expand trade and in 1938 the volume of foreign trade was only fifty per cent of what it had been before they came to power, though trade was expanding fast in the world as a whole. But by 1959 with the successful building up of great manufacturing industries Russia had come into line with the general expansion of foreign trade, and her imports and exports had recovered so far that they were half as large again as in 1913 and three times what they had been in 1938.

This change of trend found expression during June of this year at the Conference of the Russian bloc countries in Moscow, which dealt with industrial and trade relations with each other and with the rest of the world. They are reported (Times 9 June, 1962) to have “expressed their desire for the further expansion of foreign trade with capitalist countries”, and also supporting a call for an international conference to set up a worldwide organisation to promote trade, and remove discriminatory actions by one country against another. Doubtless, from the Russian government’s standpoint, the latter proposal is directed against the development of the European Common Market and the possibility of Britain joining it, both of them developments that may threaten Russia’s position as expanding exporter in world markets.
Edgar Hardcastle

Notes on Russia: Squaring the circle (1962)

From the July 1962 issue of the Socialist Standard

Alongside the development of Russia as a great capitalist trading power it is interesting to look at the attempt made by Stalin a few years before his death to square Russian policy with Marxist principles.

Frederick Engels in his Socialism, Utopian and Scientific (1892) had written that with the capture of power and “the seizing of the means of production of society, production of commodities is done away with, and simultaneously, the mastery of the product over the producer ". He also wrote that as a first step “The proletariat seizes political power and turns the means of production into State property.”

Someone put the question to Stalin, why was it that years after capturing power the Russian Communist Party still continued commodity production, i.e. production of articles for sale. Stalin, in his Economic Problems of Socialism in the U.S.S.R. (Published in Moscow in 1952) set out to answer the question. He did so by arguing that in the first of the two passages quoted above Engels meant all the means of production, and the Russian Government had in fact taken possession of only some of them, the industrial means of production, but not the agricultural means of production.

This in itself is a hollow excuse as far as Engels is concerned because Engels certainly did not write, or think, that 35 or more years after gaining political power an essential part of the means of production would still not have been taken over.

But Stalin had another and even more curious defence. It was that Engels had had in mind the one country, Britain, in which agriculture had in 1892 been “capitalised” and concentrated; and Stalin then expressed doubt whether Britain could abolish commodity production, because of its dependence on foreign trade.

Why Stalin's thoughts were concerned with the problem of foreign trade was made clear elsewhere in Stalin’s book because he had realised that Russia too was becoming more dependent on foreign trade. He wrote: -
. . . it will soon come to pass that these countries will not only be in no need of imports from capitalist countries but will themselves feel the necessity of finding an outside market for their surplus products, (p. 36)
By “these countries” Stalin meant Russia and the other miscalled “socialist” countries.

Though Stalin's tortuous “explanation” may have satisfied his questioner it landed him in the further dilemma that while Engels had seen the capture of power and the ending of commodity production bringing to an end “ the mastery of the product over the producer”, for Mr. Stalin the producers in Russia and the other countries were increasingly coming under the “necessity” of finding foreign markets for exports, just like the rest of the capitalist world.

The recent big increase of prices of meat and other foods in Russia in order to increase the income of the collective farms and peasants and encourage them to raise output and efficiency of production, shows that the problem of agriculture is still far from being settled. British capitalism solved the problem in 1846 from the standpoint of the industrial capitalists by abolishing the corn laws which protected the landed interest and maintained high food prices. Agriculture was allowed to decline, cheap food was imported from abroad which kept prices (and wages) low and enlarged the profits of the manufacturers and shipowners. Russia now is in a somewhat similar position since the Russian Government could lower its own food prices if it allowed the importation of cheap food from America and other countries in which agricultural production is more efficient and cheaper. But this of course would involve problems even greater than those faced by British capitalism over a century ago.

To put the matter into perspective from a socialist point of view it need only be added that trade problems are capitalist not socialist. The idea of “socialism in one country” is a false one. In a capitalist world there can only be capitalist economy, with its associated need for commodity production and foreign markets. Socialism is an international concept and in that framework such problems do not exist.
Edgar Hardcastle

Wednesday, July 23, 2025

Finance and Industry: The experts are fallible (1962)

The Finance and Industry Column from the July 1962 issue of the Socialist Standard

The experts are fallible

The economic experts of capitalism—the City Editors, the economists, the financial seers—sit on something of a pedestal. Whatever twists and turns the economy may take, they are never caught without a remedy. Their readers, political parties, even governments, hang upon their words.

Which makes it very embarrassing for everybody, if the experts are shown to be as fallible as the rest.

Mr. Samuel Brittan is the Economic Editor of The Observer and last year, like all men in his position, he was expected to comment on the Selwyn Lloyd “pay pause” Budget. This is what he wrote, on September 3rd last:
I have a feeling that Mr. Selwyn Lloyd is going to surprise many people by his success in carrying out his economic policies . . . many of the people who are now most vociferous in denouncing him may be loudest in his praise a year from now.
Mr. Brittan went on to point out that in some ways the Lloyd policy was following behind events and then gave his reasons for thinking that ". . . Mr. Lloyd has been so much luckier than his predecessors . . ." 

Now—almost a year after—what does Mr. Brittan think of the Lloyd policies? Is he loud in his praise? He is not. He has been doing his homework in The Economist and has been impressed by an article in the 12th May issue of that weekly which drew some striking comparisons between the Lloyd squeeze, and what has followed it, and the Butler squeeze of 1957 and what followed that. This is what Mr. Brittan wrote in The Observer of 10th June this year:
On both occasions the same kind of arguments have led to the same mistakes. Mr. Selwyn Lloyd too often gives the impression of believing that history began in July, 1961, and has not devoted enough time to studying the mistakes of his predecessors.
And later in the same article:
Government financial measures have in recent years actually accentuated the trade fluctuations that they were supposed to control. 
If Mr. Brittan was wrong, a year ago, when he expected the Lloyd policies would be lucky enough to succeed, he could of course equally be wrong now that he is criticising the Chancellor. Capitalism is a baffling system which can catch out the experts. But if that is going to happen, there is no point in basing experts, is there?


By a few shares

A new campaign is announced by the Wider Share Ownership Committee, aimed as its name suggests to encourage more people to buy shares. It would seem to have timed its effort rather badly. After the recent Wall Street debacle we would imagine that many a small investor has gone back to his account in the Savings Bank or the old sock under the bed.

The number of shareholders in the U.K. has apparently increased over the past ten years from about a million to 3½ million. Much of this increase is presumably accounted for by firms like ICI distributing shares to their workers and to lots of small men being persuaded on to the stock exchange band-wagon by tales that capitalist inflation and prosperity were here to stay.

It will be interesting to see what success the campaign has and we hope the Committee will oblige us in due course with details of the number of shareholders in say six or twelve months time. They should make interesting reading, especially if there have been a few more stock exchange shocks in the interim.

At the same time, an analysis of how many hold how much would be useful as well as instructive. We have an idea that the greater part of those 3½  millions hardly matter when it comes to working out who really own stocks and shares.


Do they know?

Our editorial this month deals with the recent stock exchange shake-ups and makes the point that they basically reflect the general unease amongst capitalists concerning present economic prospects.

This unease has spread to most sectors of the economy and is obviously causing our politicians and their advisers some real headaches. Nor, in spite of the long words they like to use and their knowing looks, do they seem to have much idea of what to do about it all.

For example, hardly had Mr. Selwyn Lloyd finished warning us that he might have to lake fresh steps to tighten up demand than he calmly goes and cuts the minimum H.P. deposit from 20 to 10 per cent. Only a little while before, he had eased some of the restrictions on the banks. When it is remembered that he was apparently worried only a few weeks ago about a hire purchase boom, it all seems rather strange.

Some cynics have tried to explain the quick turn round as a by-election gimmick to help the Tories in their present political troubles. Perhaps so. But we have the shrewd suspicion that it only requires capitalism to go into the faintest suggestion of a spin for all the politicians and their economic experts to lose their balance. To be quite frank, we don't think really they have a clue.


The Gold Rush

One further thing we have heard for several years past from our experts is that with the new theories about money, credit, and the general control over capitalism, the importance of gold has become a thing of the past. Some of them have even gone so far as to regard it as a myth, a hoax that has been shown for what it really is by the new economic theory.

Unfortunately, our capitalists only seem to think there may be something in these theories when there is little chance of their being put to the test. Immediately things begin to get uncertain, they forget all about the theories and rush us quickly as they can into gold. Which explains the present sudden interest in gold mining shares and the heavy buying of the metal itself.

This is the classic way the capitalists have always acted in times of stress. Not currency, not stocks and shares; but lovely, shiny, golden, gold. As for economic theory, they will come back to that after the crisis has blown over.

Karl Marx, over a hundred years ago, would have found it a quite natural thing for the capitalists to do. He for one was under no delusion about the importance of gold to the capitalist system. The universal equivalent he called it, and universal equivalent it still is.
Stan Hampson

Prices in the news (1962)

From the July 1962 issue of the Socialist Standard

On the principle that only the rare and unexpected happening is “news”, and as prices have been going up for about twenty years it is at first sight surprising that newspapers still give so much space to reports of higher prices. Maybe the editors and reporters constantly hear politicians promises that there will be no more rising prices, and each time a promise is broken they are so shocked that they feel impelled to tell their readers about it. But this, if true, would only show how unobservant newspaper men are, because broken promises are even more common and less noteworthy than jumps of prices. But the latter are common enough.

The International Labour Office publishes each month in the International Labour Review a record of price movements in about ninety places in different part of the world and the.overwhelming majority of them show prices moving upwards.

In this country the average retail price level is nearly a fifth higher than it was six years ago and in the group covering rent, rates, house repairs, etc. the increase is over 40 per cent.

Among the recent price increases have been the jump in the prices of meat and potatoes, both attributed to temporary shortages. Meat prices were reported to have gone up by 10% to 20%, while potatoes now cost more than twice as much as a year ago.

Naturally the indignation reached Westminster and came into the fight at by-elections. At West Lothian the Communist candidate Mr. G. McLennan spoke about it.
If the boss cuts your wages by several shillings a week you would immediately reach for your jackets, but the Tories have brought about a real cut in wages through price increases. (D. Worker 7.6.62.)
According to the Daily Worker reporter who listened to this speech, “Gordon McLennan had a good reception when he criticised the steep raise in the prices of potatoes, other vegetables, meat and butter No-one can object to the logic of the statement that when prices go up, and until the workers can win a compensating wage increase, their wage will buy less, just as it would if the wage itself were reduced.

But the same logic seems to have escaped the Daily Worker in its editorial comment on the 30 per cent increase of meat prices in Russia and 25 per cent increase for butter. Instead of sympathising with the Russian workers and denouncing the Russian Government for copying the Tories the editor (2 June. 1962) found himself sympathising with the Russian Government for having to make the “difficult” decision to put up prices rather than spend less on armaments. The editor called it a “temporary" sacrifice on the part of the town workers and described it as being “a redistribution of income among the working people, by which those in the countryside will benefit while those in the towns will temporarily make sacrifices".

This would sound reasonable if Russia were a country in which equality of income prevailed with everyone on approximately the same standard; but that is not a fact, only the promise made and broken by Lenin, and conveniently forgotten by his successors.

On the contrary, Russia is a country of extreme inequality and, unless the situation has changed in recent years, among the comparatively rich are collective farmers and traders, who stand to benefit from the higher prices.

In any event the increase of meat anJ butter prices in the towns means a very different thing for the Moscow men and women street sweepers on a wage of about £12 a month, and the Russian “space and atomic scientists . . . bringing home wage packets of more than £20,000 a year” (John Mossman, D. Mail Moscow corespondent, 5 June, 1962.)

If you want to know whether there is any hope that prices, after climbing up for 20 years will climb down again, the answer is that it could happen, but for the workers it will not produce any benefit. Prices were falling for about 15 years from 1920 to 1935 and the workers were just as badly off as now and curiously the economists and businessmen and politicians were then hoping and praying that world prices would rise again particularly for foodstuffs, so that the world’s farming populations would be able to buy more British factory products and make industry busy again.

The world is still full of economists and politicians who say that a price system is a necessity as well as a convenience of twentieth century society, but who in practice are always complaining about the way the price system works; demanding that it be interfered with, either by government action to hold prices down or by government subsidies to increase the price paid to the manufacturer or farmer.

Unlike the non-socialist parties, all of which have their particular proposals for interfering with the way the price system works, we as socialists have no proposals to make except that the price system should be abolished along with capitalism for which it is a necessity.

The theory behind movements of prices is that if left to find their own level in the market a shortage of supply will send up the price and encourage the production of additional supplies to make good the shortage. Conversely an over-supply by depressing the price, will drive some suppliers out of business and make the price a profitable one again.

Socialism, with production carried on solely for use, without sale or price or wage or profit, will have no need for mechanism to adjust production to consumption in a reasonable fashion through the market. Meeting need will be the measure to which the volume of production will be directed, not with the idea of constantly adjusting supplies up and down to market demands (as happens under capitalism) but aiming always to have a sufficient margin of surplus and capacity to meet changes of consumption.
Edgar Hardcastle

50 Years Ago: The Unhappy Rich (1962)

The 50 Years Ago column from the July 1962 issue of the Socialist Standard

Replying to Mr. H. G. Wells apropos of his article on “What Labour Wants” (quoted “Daily News” 5.6.12.), Mr. John Ward, MP remarks: “I am bound to say that I have never in all my experience met with any evidence of jealousy on the part of the working classes in reference to the employment (!) of the wealthy. All the elaborate pictures of envy, hatred, and uncharitableness are practically the outcome of the imagination. In their special way the working people get as much pleasure out of life as the wealthier classes.”


Of course they do ! The pleasure is all theirs, John. And believe me, they haven’t a bit of thought for the rich. Look what ingratitude they show when the rich come along and offer to share their profits with them, or take them into partnership. It really isn’t good enough John, and I’m glad you’ve had the courage to speak your mind. Look at the fun they’ve been having just lately—going on strike, fighting inoffensive bobbies, upsetting the equilibrium of trade, in fact, playing the very devil generally. Of course, it’s all a part of their pleasure “in their special way.” When they are not having fun of this description I suppose they are busy with motor-cars, their yachting trips and their racing stables, which they quite overlook the cares and responsibilities that the unfortunate rich are compelled to undergo. You see, John, the question of what to do with their income is such a serious one, they haven’t time to spare a thought for anyone but themselves. 


Selfishness, of course. But the time is coming, John, when the rich will be relieved of their “employment” and its consequent anxieties and responsibilities, and given a rest. In fact, I believe the need for them will be abolished altogether. So you can console yourself, John, with the thought that their woes will soon be over. I can assure you they’ll get all that’s coming to them.

[From the Socialist Standard, July 1912.]

Obituary: Bert Humphreys (1962)

From the July 1962 issue of the Socialist Standard

A letter from Auckland, New Zealand informs us that Bert Humphreys died recently at the age of 78. He joined the Auckland Branch of the Party in 1932 and was always a tower of strength right through, until the death of his wife some time ago. Next to his family. Socialism was his only interest.
Phyllis Howard


Blogger's Note:
This short notice about the passing of Comrade Humphreys was actually part of the Branch News column from the July 1962 issue, but I thought it merited its own post.


Branch News (1962)

Party News from the July 1962 issue of the Socialist Standard

Wembley Branch has continued active and has seized the opportunity afforded by finer weather to step up efforts. Regular canvasses are still being held at the rate of one a month and a combined canvass and meeting was held at Portsmouth on June 17th. Alternating with Ealing Branch, meetings are being run every other Thursday at Earls Court throughout the Summer Season. All members arc urged to give these their utmost support.

Locally, the branch has plans for advertising its meetings by poster on Railway. Station hoardings in the area and suitable posters are being designed. Lectures and discussions are held every other Monday and these are always advertised in the local press. Often, outsiders attend and help to liven proceedings. A film show “The German Story" was scheduled for June 18th, but we go to press too early for a report on it. We hope to do this next month.

Glasgow have made a very good start and by the end of May four outdoor meetings had been held, average audience 100. Literature sales and collections amounting to nearly £5. The last indoor meeting of the winter season was held at Woodside Halls where the audience was 57 and literature sales and collection was £4. Stimulated by the activity of the elections in the Kelvin Ward, the Comrades are working harder than ever to get Socialist message over to the workers.

Comrades McCarthy and R. Mitchell went to Belfast to assist the World Socialist Party of Ireland in the recent election campaign. Fourteen members attended and supported a meeting in Blitz Square on Sunday, May 27th. Some comrades travelled from Armagh. Two sympathisers assisted the Party members and the audience at one time numbered 100. Literature was sold and a collection taken. In addition a door-to-door distribution of leaflets was made; a tour of the constituency with a public address system, stopping on the way at various housing estates to hold meetings. Leaflets were stuck on all suitable spaces—as one comrade said: "The public must have thought we were paper-hangers gone mad but to us it looked good".

The result was that the W.S.P. of Ireland polled 62 votes. Press statements had been given and three papers reported them in full. Our comrades Mitchell and McCarthy were most impressed by the well-organised hard work put in by the Irish members and commented on the pleasure it was to be of some help to them.

Coventry Group are still going strong and have moved to better premises which they feel sure will be advantageous. The Group has written to Party members in nearby Rugby and Leamington Spa with news of the Group’s activities and it is hoped that they will be able to join in and before long form the nucleus of a Coventry Branch. The Group is also contacting Birmingham Branch with a view to pooling their resources for propaganda generally.

A comrade writes from Wellington, New Zealand that several sympathisers are scanning local newspapers for reviews of the January Socialist Standard which contained articles on the Common Market as copies were circulated to the press. The main point of interest at the moment is the tape recorded lectures which members are able to pass around and so interest many more people than if they had to travel long journeys for discussions. Wherever possible members attend meetings of various organisations in order to meet people and discuss the Party case by way of questions and talks after meetings.

Swansea Branch recently had a debate with the local Liberals. 6 /- worth of literature was sold. Forty people attended and many showed great interest in the Party's point of view. A member met the prospective Liberal candidate recently and he agreed that Socialism would come eventually and that the Socialist Standard was the finest political journal on the market. It is likely that another debate will ensue before very long. In general the Socialist Party is becoming well known in the district. Maybe it won't be all that long time before another branch functions in Swansea?

. . . 

Last but not least. An appeal in last month’s issue for donations to help our propaganda work has resulted in some donations from London. Let more follow. Two comrades from Australia sent £10 to help the cause. This example will be encouraging to all those who wish to bring Socialism nearer.
Phyllis Howard

New Reprint of Art, Labour and Socialism by William Morris (1962)

Party News from the July 1962 issue of the Socialist Standard





Blogger's Note:
This 1962 pamphlet was a reprint of the SPGB's 1907 pamphlet with an added modern assessment. Reprinted below is the foreword from the 1962 Executive Committee, plus the modern assessment.



Art, Labour & Socialism by William Morris

With a Modern Assessment

Foreword

An address that William Morris delivered at University College, Oxford, was reprinted by him in the magazine Today, in February 1884, under the title “Art Under Plutocracy”.

In 1907 the larger part of it was published by the Socialist Party of Great Britain in pamphlet form as Art, Labour and Socialism.

It has long been out of print and we are issuing it again because, in the words of our Foreword to our original edition:
“It is not often that an accepted master in the arts can express himself with lucid brevity in the language of the common people; and even less frequently is that master able to scientifically diagnose the conditions of his own craft”.

“It is therefore the more refreshing to discover a work by an admittedly great figure in the artistic world which gets down surely to rock bottom facts, and in a style of quite charming simplicity establishes the connection of art and labour, and the conditions of labour which, after all—and however distasteful the information may be to the school of the ‘Intellectuals’—art is, in the final analysis, no more than a reflection”.

“We do not claim for Morris that he was always a convincing and consistent instructor in economics. Indeed, his work in this direction, regarded as a whole, entitles him to no more than a place in the category of the Utopians . . . But this does not blind us to the fact that Morris occasionally struck shrewdly at the pretensions of a vainglorious and shoddy intellectuality, placed art in its proper perspective, and did effective service by his unequivocal insistence upon the necessity, not only of passive working class discontent with, but active working class revolt against, the system of society that enslaves them, robs them of the results of their labours, and incidentally deprives them of that joy in the work of their hands which stands for him at the very foundation of art”.
Executive Committee

Socialist Party of Great Britain

February 1962

 

A Modern Assessment

I. Morris and His Work

Most of the writings about Morris concentrate upon his work as a poet, interior decorator, printer and designer of coloured glass windows, but neglect the other side of his activities: speaker, teacher, and writer about Socialism.

He was already an international figure in the art world when the poverty, squalor and ugliness that constantly confronted him led him to probe into the problem, and he began to take an interest in Socialism, and finally came to study Marx’s Capital.

He joined the Social Democratic Federation, which claimed adherence to Marxism, in 1881. However, he soon became dissatisfied with its reformist policies and its electioneering tactics. He left the organisation along with Eleanor Marx, Belfort Bax, Frederick Lessner (and old associate of Marx in the production of the Communist Manifesto) and Marx’s son-in-law Edward Aveling. They then formed the ‘Socialist League’ in 1884. Along with Bax he edited the ‘League’s’ Journal The Commonweal. In the first number of this journal, on the front page, there appeared an ‘Introductory’ by Morris and the ‘Manifesto’ of the League. The beginning of the ‘Introductory’ was as follows: – “We beg our readers’ leave for a few words in which to introduce them to this socialist journal, The Commonweal. In the first place we ask them to understand that the Editor and Sub-Editor of The Commonweal are acting as delegates of the Socialist League, under its direct control; any slip in principles, therefore, any misstatement of the aims and tactics of the League, are liable to correction from the representatives of that body. As to the conduct of The Commonweal, it must be remembered that it has one aim—the propagation of Socialism”.

This was certainly an innovation and a very promising start. A few paragraphs from the League’s ‘Manifesto’ will further indicate how far Morris and his associates had progressed in understanding:
“Fellow Citizens,

We come before you as a body advocating the principles of Revolutionary International Socialism; that is, we seek a change in the basis of Society—a change which would destroy the distinctions of classes and nationalities.

As the civilised world is at present constituted, there are two classes of Society—the one possessing wealth and the instruments of its production, the other producing wealth by means of those instruments but only by the leave and for the use of the possessing classes.

These two classes are necessarily in antagonism to one another. The possessing class, or non-producers, can only live as a class on the unpaid labour of the producers—the more unpaid labour they can wring out of them, the richer they will be; therefore the producing class—the worker—are driven to strive to better themselves at the expense of the possessing class, and the conflict between the two is ceaseless. Sometimes it takes the form of open rebellion, sometimes of strikes, sometimes of mere widespread mendicancy and crime; but it is always going on in one form or other, though it may not always be obvious to the thoughtless looker-on.

We have spoken of unpaid labour: it is necessary to explain what that means. The sole possession of the producing class is the power of labour inherent in their bodies; but since, as we have already said, the richer classes possess all the instruments of labour, that is, the land, capital, and machinery, the producers or workers are forced to sell their sole possession, the power of labour, on such terms as the possessing class will grant them.

These terms are, that after they have produced enough to keep them in working order, and enable them to beget children to take their places when they are worn out, the surplus of their products shall belong to the possessors of property, which bargain is based on the fact that every man working in a civilised community can produce more than he needs for his own sustenance.

This relation of the possessing class to the working class is the essential basis of the system of producing for a profit, on which our modern Society is founded.”
Although this was written so long ago, how well it fits conditions today, despite the claims that capitalism has changed and society has progressed. There is a further quotation from the ‘Manifesto’ which makes the comparison even more apt:
“Nationalisation of the land alone, which many earnest and sincere persons are now preaching, would be useless so long as labour was subject to the fleecing of surplus value inevitable under the Capitalist system.

No better solution would be that of State Socialism, by whatever name it may be called, whose aim it would be to make concessions to the working class while leaving the present system of capital and wages still in operation: no number of merely administrative changes, until the workers are in possession of all political power, would make any real approach to Socialism.

The Socialist League therefore aims at the realisation of complete Revolutionary Socialism, and well knows that this can never happen in any one country without the help of the workers of all civilisation.”
The last three paragraphs show how far in advance Morris was in relation to the Socialism in one country Communists, the Labour Party, and the multitude of reformers who misuse the word Socialism.

As this pamphlet shows, what was of abiding interest to Morris was to build up a Socialist system, devoid of wage-slavery and degrading toil, in which conditions would enable the producer to find joy in his labour, and would therefore enable him to make articles that were both useful and beautiful.

In Art, Labour & Socialism Morris had something worthwhile to say to his generation; we must consider now whether it is relevant to the conditions of today—and tomorrow. Some of the problems are examined in the following pages.

II. Has Machinery Lightened Labour?
In Art, Labour & Socialism Morris invited his readers to look at the purpose for which employers had used machinery. Like Marx before him, Morris agreed with John Stuart Mill who had written in his Principles of Political Economy:
“It is questionable if all the mechanical inventions yet made have lightened the day’s toil of any human being.”
Mill went on to say:
“They [machines] have enabled a greater population to live the same life of drudgery and imprisonment, and an increased number of manufacturers and others to make fortunes.”
One evil consequence of the introduction of machinery was that it increased the employment of women and children in the factories. Sir William Ashley in his work, The Economic Organisation of England (Longmans, 1921, page 161), wrote of this development:
“The new machinery rendered the work physically so light that it became possible to employ women and children in large numbers; and the sinking of capital in costly machinery made it seem in the interest of employers to work that machinery as continuously as possible. Neither the employment of children nor excessive hours were absolutely new phenomena. Both had been seen in the domestic workshop. But the employment of children was now systematised and extended on a vast scale; and excessive hours, instead of being an occasional episode, say once a week, became a regular thing, every day in the week.”
In the same year that Mill’s work was published, 1848, Marx and Engels had written in the Communist Manifesto:
“ . . . in proportion as the use of machinery and division of labour increases, in the same proportion the burden of toil also increases, whether by prolongation of the working hours, by increase of the work exacted in a given time, or by increased speed of the machinery etc.”
Marx, Mill and Ashley were writing of a period when machinery was taking away the livelihood of craftsmen and forcing them to work in factories under harsh conditions and for long hours. Since then, as the working hours of most workers have been much reduced and child labour in factories has been made illegal, we may ask to what extent the statements made by Marx and Mill in 1848 would be true today. We can accept that there are fewer workers doing jobs which involve heavy lifting, hauling, hammering, excavating and other hard physical effort, but along with a fairly general shortening of the working day and working week labour has been intensified, the speed of machines has increased (and with it the number of accidents) and more workers are compelled to perform monotonous repetition work which can be as tiring as heavy physical labour. It is the aim of employers to exact as much effort in the shorter working week as before, a fact making itself felt in the workers’ fatigue at the end of the day and the week.

The claim made in the early days of machine production that machinery lightens the labour and increases the comfort of the worker is being made now for automation; but again the high capital cost is leading to a worsening of conditions—this time in the increase of shift working. Mr P. G. Hunt of the Labour Relations Staff of the Ford Motor Company wrote about this in 1958. After claiming that with automation “almost invariably . . . the physical effort of the operator is vastly reduced or even completely eliminated”, he went on:
“A further factor that emanates from the high initial cost of automated plant is the need to recoup on capital outlay within a reasonable period, which can be achieved only by high utilisation of the equipment concerned. Such a recoupment in turn can be achieved only by longer hours, and longer hours mean shift working. . . . There is no denying the unpopularity of shift work particularly night work—with the majority of those who are called upon to operate it. It seems clear, however, that the trend towards such working must continue and increase, and that automation is at least in part responsible for this” (Financial Times, 1 December 1958).
Even the reduced hours of work are an illusory gain because, with the concentration of manufacture in big industrial areas, workers are compelled to travel longer distances between home and work.

Machinery has clearly failed to give that lightening of toil that it could have given and that economists and employers claimed in the early days that it would. We have an illustration of this in the picture that industrialisation presents to workers in less developed countries. Far from being invited to enjoy the prospect of having machines to lighten toil for them, and raise their standard of living with less effort on their part, they are being told by their leaders to be prepared to work harder: Mr Jomo Kenyatta, leader of Kenya Africans, hit on the appropriate phrase of calling on his followers to be prepared to work as hard as white men! (Daily Express, 6 November 1961).

 III. The Employers’ Attitude to Machinery
We live in a world in which each day brings news of inventions and discoveries in the field of industrial machinery and methods; but not all of them are applied. Some never get beyond the stage of being tested; they are ideas that will not work in a practical way. But some which are proved to be technically sound and practical never come into commercial use. As it is put in a pamphlet on Automation: “Technically about every industrial operation could be made automatic but economically many are impracticable” (What is this Thing called Automation; published by ASSET). It is only the economically practicable ones that are of interest to employers, the ones that will increase their profit.

There could be no clearer illustration of this than the fact that employers, after installing new machinery, will even remove it if it does not pay. Over a century ago a Government Commission of Inquiry into the conditions of hand-loom weavers reported instances in 1834 “where employers gave up machinery and went back to hand labour as it was cheaper” (Industrial and Commercial Revolutions in Great Britain in the Nineteenth Century, Professor L C A Knowles. Second Edition, page 119). That happening in Britain in 1834 has its recent parallel in USA. The pamphlet on Automation referred to above relates how “In Cleveland, Ford management reverted to hand insertion of small liner bearings in the engine-block because automation of this process was uneconomical”.

What most commonly determines whether a new machine will be economic is the level of wages of the workers whom the machine will displace. It follows from this that variations of wage levels can cause machinery to be economic in one place and not in another and at one time and not at another.

Marx wrote about this in the eighteen-sixties:
“Hence the invention nowadays of machines in England that are employed in only North America; just as in the sixteenth and seventeenth centuries machines were invented in Germany to be used only in Holland, and just as many a French invention of the eighteenth century was exploited in England alone” (Capital, Vol. I. Kerr Edition, 1906, page 429).
It is not labour-saving as such that the capitalist seeks, but cost-saving, and if for any reason wages are relatively low the capitalist will be quite content to carry on production by methods which employ large amounts of labour. As Marx put it, “Nowhere do we find a more shameful squandering of human labour-power for the most despicable purposes than in England, the land of machinery”.

It is the same in our own times. Machinery is manufactured in one country or locality where wages are low for use elsewhere in relatively high wage areas.

It was the scarcity of workers in rural areas of Britain and America during the two world wars that led to a great increase in the use of machinery that had been long available. Milking machines were being marketed for many years before labour-shortage caused them to be taken up in considerable numbers. The Encyclopaedia Britannica has the following on the use of these machines in USA: “The shortage and the high price of desirable labour for milking cows has extended the use of milking machine” (1950 Edition, Vol. 6, page 983). Even so it was estimated that in 1944, nearly 30 years after such machines were available, only 25 to 30 per cent of American dairy farmers used them.

Sometimes new machines are brought into use not because they directly save labour or cost, but because they give additional precision, which is of course indirectly profitable for the manufacturers selling the products of the machine in competition with other, less efficient products. And sometimes the gain is simply speed of production. It may be good business for a company to use machinery which is quicker, but the products of which are more costly, if by this means the products can be put on the market for quick sale, in advance of the cheaper but more slowly completed products of rival firms.

This is a particular example of a widespread waste that results from capitalist competition. The successful competitor who captures the market is not concerned that his success may mean the bankruptcy of unsuccessful rivals and the consequent breaking up of plant and machinery which could still be useful. When competition is keen it will induce profitable companies to scrap their own plant and machinery while it still has years of useful life before it in order to install costly improved machinery that will enable them to keep ahead in the race for markets.

The picture of capitalism’s use of machinery is hardly complete without reference to the construction of a £30,000 mail bag, power machine shop in Leicester Prison in November 1961, ending the years-long prison labour of hand-stitching. Mechanisation was needed “to meet the mail bag supply demands from the Post Office”.

IV. Socialism and Work
The establishment of socialism will bring far-reaching changes in production and distribution, flowing logically from the ownership of the means of producing wealth being transferred to the whole of society.

The products of labour will no longer be privately owned; incomes from property ownership and from employment will alike disappear, along with buying, selling, and profit-making.

In distribution the principle will be “according to need”, and, of course, without the double standards that now exist throughout the capitalist world, of best quality for the rich, and varying degrees of shoddiness for the poor; which, in turn, presupposes that in production every person will give “according to his or her ability” and will see to it that there are no poor quality goods turned out.

Unfettered access to educational and training facilities will enable all to acquire knowledge and skill and end the existing barriers between unskilled and skilled, manual and mental labour.

Great demands will be made on the productive capacity of society but there will be ample means of satisfying them. With the ending of capitalism enormous additional resources of men and materials will become available through stopping the waste of arms and armaments, and the innumerable activities that are necessary only to capitalism, including the governmental and private bureaucracies, banking and insurance, and the monetary operations that accompany every branch of production and distribution. On a conservative estimate this release of capacity will double the number of men and women available for the work of useful production and distribution. In addition, we may expect a continuing annual increase of productivity resulting from the accumulation of skill and knowledge and of productive equipment.

With these large additional resources at its disposal society will easily be able—if need be with some loss of productivity in particular fields—to end excessive hours of work, harmful speed and intensity, and unnecessary night and shift work, and to use machinery to replace human labour for types of work that cannot be other than unpleasant. This socialist policy will be a reversal of the capitalist policy applied in the nationalised coal industry, the head of which, Lord Robens, can declare that “there are literally thousands of jobs in industry which can give no satisfaction to the workers and never could” and can at the same time be increasing anti-social hours of work by pressing for shift working round the clock in order to avoid “expensive machinery” standing idle for a large part of the 24 hours (Times, 9 October 1961, and Sunday Telegraph, 9 July 1961).

Morris and Marx stated a positive attitude to labour, but before considering what they said it will be useful to examine the criticism that both were viewing the problem in relation to the ruin of craftsmanship by machinery, and that in the present century the problem is a different one and needs a different approach.

Marx and Engels, in the Communist Manifesto to which reference has already been made, wrote about the advent of machinery in the late eighteenth and early nineteenth century:
“Owing to the extensive use of machinery and to division of labour, the work of the proletarian has lost all individual character, and consequently all charm for the workman. He becomes an appendage of the machine, and it is only the most simple, most monotonous, and most easily acquired knack, that is required of him.”
One critic of Marx was the late Henri de Man who published a study of machine work in Germany in the early nineteen-twenties, part of which was republished in England under the title Joy in Labour (George Allen & Unwin, 1929).

His criticism was that Marx drew a general conclusion about machine work based largely on the textile industries and that while that conclusion remained unquestionably applicable to “large strata of the working class . . . there are other strata to which the technical developments of the last eighty years have made it completely inapplicable, so that of them the reverse is true” (page 85).

Henri de Man’s two conclusions were that even under capitalism “the existence of detail work is not necessarily a cause of distaste for work” and that it is not impossible for skilled machine work to give the work full satisfaction even though much machine work fails to do so. We can accept both points, but they do not affect the validity of the general principle behind Marx’s words. Marx was not arguing that work with machinery is necessarily an evil. Like Morris, he recognised that it would be a positive gain if much unpleasant and degrading manual work was done by machines: as already mentioned, one of his charges against British capitalists was that they had failed to replace labour of that sort by machinery because it did not pay them to do so.

Following on the same train of thought Marx maintained that Socialism would do what capitalists had failed to do and that “in a communist society (*) there would be a very different scope for the employment of machinery than there can be in a bourgeois society” (Capital Vol I, Chapter XV, Section 2).

In a speech made in 1856 Marx had this to say of the possibilities of machinery: “Machinery, gifted with the wonderful power of shortening and fructifying human labour, we behold starving and overworking it”.

(*) In the middle of the nineteenth century Marx preferred to use the word communism because of the current misleading ideas associated with the word Socialism. Later on, he used the two words interchangeably to mean what the SPGB means by Socialism: which, of course, has no relationship to the misuse of the terms Socialism and Communism as applied to Russia today.

The central point of Marx’s criticism was that man should not be an appendage of a machine, doing monotonous work robbed of all individual character and charm, any more than he should be doing manual work of a like kind.

There are three principles that can be applied to work and production. The capitalist would like to have a working class which “lives to produce”; working class life being subordinated to the need of producing profit. A second attitude is that of many non-socialist workers and trade unions, that workers should “produce to live”; work being accepted as a necessary evil, to be kept to a minimum, and “life” to be lived in the leisure hours.

Marx and Morris took a third view, that the aim for a society of free men and women should be that work is part of life, no more to be neglected than other intelligently conducted human activities.

Marx, writing in 1875, stated his view with force and passion:
“ . . . when the slavish subordination of the individual to the yoke of the division of labour has disappeared, and when concomitantly the distinction between mental and physical work has ceased to exist; when labour is no longer the means to live, but is in itself the first of vital needs; when the productive forces of society have expanded proportionately with the multiform development of the individuals of whom society is made up—then will the narrow bourgeois outlook be transcended, and then will society inscribe upon its banners ‘from everyone according to his capacities, to everyone according to his needs’” (From Marx’s Criticism of the Gotha Programme, SLP Edition, page 9).
There is a certain irony in the situation that while many workers are content to accept tedious, repetition work as a necessity some employers have themselves discovered that its damaging effect on the workers is such that it does not pay. The Economist (2 December 1961), writes about this discovery:
“In the early years of scientific management it was presumed that the greater the breakdown of jobs into their component parts, the greater the efficiency. The trouble with this, however, was that men came to be treated as mere extensions to their machines. Today, industrial theorists have come to realise that beyond a certain point the simplification of work creates so many problems of boredom and dissatisfaction among workers that diminishing returns may set in. as a result, in many firms the pendulum has begun to swing back a little, and some tasks are being deliberately re-combined to make their execution more complex”.
It will be seen that Marx posed the same issue as did Morris. Is it still a real issue? Some people think that automation will abolish all work problems, and that we shall have workless production:
“Today our life is largely shaped by having to produce goods for our feeding, for our clothing, and so on. Suppose we could just turn on a spigot and have all these basic things just as we now have water?” (Robert Jungk, Guardian, 2 November 1961).
That idea came into the minds of many people (Robert Owen among them) in the early days of machinery; but for the foreseeable future it is a fantasy. Not that it would be technically impossible to build a factory operated by very few workers (this is an early possibility); but that is not production without workers, any more than the automatic telephone system or the driverless train system is production without workers. What has been going on for a century or more is the progressive elimination of workers from some manual operations, with simultaneous increased numbers of machine-making workers in the metal, engineering and electrical industries and of workers in engaged on maintaining the machines. Overall, there is a continuing small net saving of labour, but no dramatic developments that would change the present dependence of production on human labour in some form or other.

What then should be the Socialist attitude to the issues posed by Marx and Morris? There is no doubt what the answer must be. In a free society, depending for its healthy functioning on agreement and voluntary co-operation, in which “the government of persons will have given way to the administration of things”, people will not wish to spend the working part of their lives as human automatons serving machines, any more than as human automatons performing monotonous manual operations. The principle must be that people in a Socialist society shall be able to bring to all the various aspects of life, including work, all qualities of body and mind, skill, knowledge, thought and imagination.

Arts, crafts and machine techniques will all have their place as Marx and Morris would have urged. The difference since their day is that powers and methods of production have become vastly greater and more varied; which means that man’s power to control the conditions of his life is correspondingly greater. He has potentially must greater freedom of choice and it is inconceivable that under Socialism man will decide to enslave himself to productive processes of his own making.

We are confident that the reader will find Morris’s work ideas worth thinking about, including that most important idea of all, that in order to get a better system of society it is necessary to get rid of Capitalism and establish Socialism.