PROFIT SHARING.

Manawatu Herald, Volume XLI, Issue 2017, 19 August 1919, Page 2

PROFIT SHARING.

IT is pleasing to note, says the New Zealand Employers’ Industrial Bulletin, that the profit-sharing principle has recently found acceptance in several important business undertakings in this Dominion, and the directors of those concerns are to be congratulated upon the progressive spirit which they display. . , These examples • of co-partnership, profit and bonus sharing give a valuable lead to other New Zealand firms, and point the way, towards enlightened methoefs of recognising the human element 'underlying the wage contract. It is not contended that such schemes constitute by any means a full or final decision of the whole question of improving industrial relations, but they do most certainly involve important principles which must be recognised and adopted if our local industries are to make the pi’ogress which alone can bring greater prosperity to a large section of the employers and workers of the Dominion, We venture to again commend this matter to the earnest consideration of employers in industries where employment is at present —or can become—permanent in its nature. The principle of bonus-sharing may be considered the first step; profit-sharing—on whatever basis may suit each business or -industry—can follow/and finally co-partnership stands as a complete and unassailable success in cases where it can be reasonably and honestly adopted. To secure a full measure of active co-opei’atidn between the business and its employees, and to bring about hax’mony, stability, and general progress and benefit for all, some recognition and some matex-ial incentive must be granted to the individual units which constitute the operative entei'pi’ises as a Avhole. Particularly in the eai’lier stages of the adoption of Any plan of this nature, a sacrifice on the part of the employing capitalists may be involved, but this monetary sacrifice must, if the scheme is honest 'in intention

and sound in principle, bring in the long run benefit which can be secured in no other way.