The History And Problems of Organized Labor

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Today by mere frugaHty and saving neither the wage earner nor the average salaried man can hope to become moderately well- to-do. In fact, he can scarcely save enough to keep him in his old age without lowering his standard of living. Multi- tudes of famihes in this country do not receive sufficient income to warrant any attempt to save for old age or for a "rainy day." In an epoch of small-scale industry, when com- petition was active and the capillarity of classes was consider- able, an old a...ge pension scheme might and probably would have discouraged thrift and foresight. But today, in an advanced industrial nation, the conditions of industrial life and the increasing immobihty of classes are such as to dis- courage individual frugaHty and savings. Under such con- ditions the validity of the argument that a non-contributory pension system will discourage thrift and foresight, may be questioned.
Sickness and old age are proUfic causes of dependency. The arguments in favor of a system of compensation for industrial accidents as a desirable and humane method of reducing the amount of want, suffering, and need of charitable aid, apply with added strength in the case of sickness insurance and old age pensions.


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