The Economic Organisation of England

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There has been a quickening of the employers' conscience ; and to this the State by its factory legislation and the pressure of the workpeople themselves through their unions have both contributed in no small measure. And yet the vast change that has taken place in business or- ganisation since Comte's time has evidently tended towards weakening even further the personal tie between employer and employed, and towards putting fresh ob- stacles in the way of any policy on the part of employers wh...ich aims at anything besides commercial profit. My reference of course is to the introduction of the limited liability joint-stock company, for which the English date is 1862. The joint-stock method has facilitated the provision of capital for business purposes beyond all expectation : but it has inevitably still further de- personalised the relations of labour and capital. More- over, it has made the situation far more difficult in other ways. Directors feel themselves to be trustees for the shareholders, and morally bound, as such, to sacrifice philanthropy to gain.

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