PROFIT SHARING A SUCCESS.

Colonist, Volume LIV, Issue 13382, 3 April 1912, Page 2

PROFIT SHARING A SUCCESS.

The remarkable .success of an.experiment in profit sharing in, Yorkshire has attracted .attention in Britain lately. Twenty yoars ago Mr. T. Q. Taylor became the sole proprietor of the woollen manufacturing business oi" Messrs. J. T. and J. Jlatley, Limited, and he began ut once, to give effect to a longcherished idea of profit sharing. At first only managers and foremen were included, but in 1596 the benefits were ■extended to all the workpeople, and in order to carry out this larger project Mr. Taylor converted the business into a private limited liability company. The scheme provides that 5 per cent, interest must bo paid on capital and allowance made for depreciation, and that any remaining .profit shall bo divided between capital and labour. Any percentage of profit beyond 5 per cent, that lis received by capital is also declared on ! the year's total ■ wages. The labour | dividend is paid in the form of shares in the company and the bonus is doubled in the- case of workers who have served for.-more than five years and own shares equal to half a year's wages. The success of this scheme-has been phenomenal. A sum of nearly j £90,000 lias been paid in dividends to the workpeople, who now own nearly half the shares-of the company. The | workers' dividend last year, was at the rate of 10 per cent., and the employees of the firm are contented and keenly, anxious to advance its interests. .Mr. Taylor believes /thai profit sharing is the true solution of modern industrial •; problems. "We want," ho says, "to' promote a public opinion in favour of I profit shoring, which will prevent strikes. The timo is ripe for it, because- things cannot possibly go on as they are without disaster to tho world." Mr. Taylor, who always describes himself as the life manager of the factory, tolls employers who may ))f inclined to wards-profit sharing that they should not make any conditions about trado unionism or "try any dodges about wagon."