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Babbage, Charles, 1792-1871

"On the Economy of Machinery and Manufactures"


314. One of the difficulties attending such a system is, that
capitalists would at first fear to embark in it, imagining that
the workmen would receive too large a share of the profits: and
it is quite true that the workmen would have a larger share than
at present: but, at the same time, it is presumed the effect of
the whole system would be, that the total profits of the
establishment being much increased, the smaller proportion
allowed to capital under this system would yet be greater in
actual amount, than that which results to it from the larger
share in the system now existing.
315. It is possible that the present laws relating to
partnerships might interfere with factories so conducted. If this
interference could not be obviated by confining their purchases
under the proposed system to ready money, it would be desirable
to consider what changes in the law would be necessary to its
existence: and this furnishes another reason for entering into
the question of limited partnerships.
316. A difficulty would occur also in discharging workmen who
behaved ill, or who were not competent to their work; this would
arise from their having a certain interest in the reserved fund,
and, perhaps, from their possessing a certain portion of the
capital employed; but without entering into detail, it may be
observed, that such cases might be determined on by meetings of
the whole establishment; and that if the policy of the laws
favoured such establishments, it would scarcely be more difficult
to enforce just regulations, than it now is to enforce some which
are unjust, by means of combinations either amongst the masters
or the men.


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