HO 
 
 CORNELL 
 
 UNIVERSITY 
 
 LIBRARY 
 
LABOUR 
 
 AND 
 
 THE NEW SOCIAL ORDER 
 
 \ REPORT ON RECONSTRUCTION 
 
 Cornell University Library 
 HC256.2 .L12 
 
 olin 
 
 3 1924 029 964 651 
 
 PRICE ONE PENNY 
 
 THE LABOUR PARTY, 
 I, Victoria Street, London, S,W, 
 
L-13. 
 
 The Jollowing Draft Report on the General Policy of the 
 Party on " Reconstruction " has been prepared by a Sub- 
 Committee of the Executive for the consideration of the Party ; 
 and is submitted by the Executive to the annual Conference 
 at Nottingham, not for adoption, but with a view to its being 
 specifically referred to the constituent organisations for dis- 
 cussion and eventual submission to the Party Conference to 
 be arranged for Jtme next, or a special Conference should a 
 General Election render it necessary. 
 
 ^(irfiary 1st, 1918. 
 
LABOUR 
 
 AND 
 
 THE NEW SOCIAL ORDER 
 
 A DRAFT REPORT ON RECONSTRUCTION 
 
 IT behoves the Labour Party, in formulating its own pro- 
 gramme for Reconstruction after the war, and in criticising 
 the various preparations and plans that are being made 
 by the present Government, to look at the problem as a whole. 
 We have to make clear what it is that we wish to construct. It is 
 important ta empliasize the fact that, whatever may be the case 
 with regard to other political parties, our detailed practical pro- 
 posals proceed from definitely held principles. 
 
 THE END OF A CIVILISATION. 
 
 We need' to beware of patchwork. The view of the Labour 
 Party is that what has to be reconstructed after the war is not 
 this or that Government Department, or this or that piece of 
 social machinery ; but, so far as Britain is concerned, society 
 itself. The individual worker, or for that matter the individual 
 statesman, immersed in daily routine — ^like the individual soldier 
 in a battle— easily fails to understand the magnitude and far- 
 reaching importance of what is taking place around him. How 
 does it fit together as a whole ? How does it look from a dis- 
 tance ? Count Okuma, one of the oldest, most experienced and 
 ablest of the statesmen of Japan, watching the present conflict 
 from the other side of the globe, declares it to be nothing less 
 than the death of European civilisation. Just as in the past the 
 civilisations of Babylon, Egypt, Greece,. Carthage and the great 
 Roman Empire have been successively destroyed, so, in the 
 judgment of this detached observer, the civilisation of all Europe 
 is, even now receiving its death-blow. We of the Labour Party can 
 so far agree in this estimate as to recognise, in the present world 
 catastrophe, if not the death, in Europe, of civilisation itself, 
 at any rate the culmination and collapse of a distinctive industrial 
 civilisation, which the workers will not seek to reconstruct. At 
 such times of crisis it is easier to slip into ruin than to progress 
 
into higher fonns of organisation. That is the problem as it 
 presents itself to the Labour Party to-day. .. 4.u 
 
 What this war is consuming is not merely the security, tne 
 homes, the livelihood and the lives of millions of innocent femihes, 
 and an enormous proportion of all the accumulated wealth of the 
 world, but also the very basis of the peculiar social order in which 
 it has arisen. The individualist system of capitalist production, 
 based on the private ownership and competitive administration 
 of land and capital, with its reckless "profiteering" and wage- 
 slavery; with its glorification of the unhampered struggle for 
 the means of life and its hypocritical pretence of the " survival 
 of the fittest " ; with the monstrous inequality of circumstances 
 which it produces and the degradation and brutalisationj both 
 moral and spiritual, resulting therefrom, may, we hope, indeed 
 have received a death-blow. With it must go the political system 
 and ideas in whichi it naturally found expression. We of the 
 Labour Party, whether in, opposition or in due time called upon to 
 form an Administration, will certainly lend no hand to its revival. 
 On the contrary, we shall do our utmost to see that it is buried 
 with the millions whom it has done to death. If we in Britain 
 are to escape from the decay of civilisation itself, which the 
 Japanese statesman foresees, we must ensure that what is presently 
 to be built up is a new social order, based not on fighting but on 
 fraternity — not on the competitive struggle for the means of bare 
 life, but on a deliberately planned co-operation in production and 
 distribution for the benefit of all who participate by hand or by 
 brain — not on the utmost possible inequality of riches, but on a 
 systematic approach towards a healthy equality of material cir- 
 cumstances for every person born into the world — not on an 
 enforced dominion over subject nations, subject races, subject 
 Colonies, subject classes, or a subject sex, but, in industry as well 
 as in government, on that equal freedom, that general conscious- 
 ness of consent^ and Hiat widest possible participation in power, 
 both economic and political, which is characteristic of Democracy. 
 We do not, of course, pretend that it is possible, even after the 
 drastic clearing away that is now going on, to build society anew 
 in a year or two of feverish " Reconstruction." What the Labour 
 Party intends to satisfy itself about is that each brick that it helps 
 to lay shall go to erect the structure that it intends, and no other. 
 
 THE PILLARS OF THE HOUSE. 
 
 We need not here recapitulate, one by one, the different items 
 in the Labour Party s programme, which successive Party Con- 
 ferences have adopted. These proposals, some of them in various 
 publications worked out in practical detail, are often carelessly 
 derided as impracticable, even by the politicians who steal them 
 piecemeal from us I The members of the LabourParty? W 
 
selves actually working by hand or by brain, in close contact 
 with the facts, have perhaps at all times a more accurate apprecia- 
 tion of what is practicable, in industry as in politics, than those 
 who depend solely on academic instruction or are biased'by great 
 possessions. But to-day no man dares to say that anything is 
 impracticable. The war, which has scared the- old Political 
 Parties 'right out of their dogmas, has taught every statesman 
 and every Government official, to his enduring surprise, how 
 very much more can be done along the lines that we have laid 
 down than he had ever before thought possible. What we now 
 promulgate as our policy, whether for opposition or for office, 
 is not merely this or that specific reform, but a deliberately thought 
 but, systematic, and comprehensive plan for that immediate social 
 rebuilding which any Ministry, whether or not it desires to grapple 
 with the problem, will be driven to undertake. The Four Pillars 
 of the House that we propose to erect, resting upon the common 
 foundation of the Democratic control of society in all its activities, 
 may be termed, respectively : 
 
 (a) The Universal Enforcement of the National Minirnum ; 
 
 (b) The Democratic Control of Industry ; 
 
 (c) The Revolution in National Finance; and 
 
 (d) The Surplus Wealth for the Common Good. 
 
 The various detailed proposals of the Labour Party, herein 
 briefly summarised, rest on these four pillars, and can best be 
 appreciated in connection with them. 
 
 THE UNIVERSAL ENFORCEMENT OF A NATIONAL 
 
 MINIMUM. 
 
 The first principle of the Labour Party — in significant contrast 
 with those of the Capitalist System, whether expressed by the 
 Liberal or by the Cqnservative Party — is the securing to every 
 member of the community, in good times and bad alike (and 
 not only to the strong and able, the well-born or the fortunate), 
 "jof all the requisites of healthy life and worthy citizenship. This 
 is in no sense a " class " proposal. Such an amount of social 
 proteofion of the individual, however poor and lowly, from birth 
 to death, is, as the economist now knows, as indispensable to 
 fruitful co-operation as it is to successful combination ; and it 
 affords the only complete safeguard against that insidious Degrada- 
 tion of the Standard of Life, which is the worst economic and 
 social calaniity to which any community can be subjected. We 
 are members one of another. No man liveth to himself alone. 
 If any, even the hiimblest, is made to suffer, the whole community 
 and every one of us, whether or not we recognise the fact, is thereby 
 injured. Generati&n after generation this has been the corner-stone 
 of, the faith of Labour. It will be the guiding principle of any- 
 Labour Government, 
 
The Legislative Regulation of Employment. 
 
 Thus it is that the Labour Party to-day stands for the universal 
 application of the Policy of the National Minimum, to which 
 (as embodied in the successive elaT3orations of the Factory, Mines, 
 Railways, Shops, Merchant Shipping, and Truck Acts, the 
 Public Health, Housing, and Education Acts and the Minimum 
 Wage Act — all of them aiming at the enforcement of at least 
 the prescribed Minimum of Leisure, Health, Education, and 
 Subsistence) the spokesmen of Labour have already gained the 
 support of the enlightened statesmen and economists of the world. 
 All these laws purporting to protect against extreme Degradation 
 of the Standard of Life need considerable improvement and 
 extension, whilst their administration leaves much to be desired. 
 For instance, the Workmen's Compensation Act fails, shamefully, 
 not merely to secure proper provision for all the victims of accident 
 and industrial disease, but what is much more important, does 
 not succeed in preventing their continual increase. The amend? 
 ment and consolidation of the Factories and Workshops Acts, 
 with their extension to all employed persons, is long overdue, 
 and it will be the policy of Labour greatly to strengthen the staff 
 of inspectors, especially by the addition of more men, and women 
 of actual experience of the workshop and the mine. The Coal 
 Mines (Minimum Wage) Act must certainly be maintained in 
 force, and suitably amended, so as both to ensure greater uniformity 
 of conditions among the several districts, and to make the District 
 Minimum in all cases an effective reality. The same policy will, 
 in the interests of the agricultural labourers, dictate the perpetua- 
 tion of the Legal Wage clauses of the new Corn Law just passed 
 for a term of five years, and the prompt amendment of any defects 
 that may be revealed in their working. And, in view of the fact 
 that many millions of wage-earnersj notably women and the less 
 skilled workmen in various occupations, are unable by combination 
 to obtam wages adequate for decent maintenance in health, the 
 Labour Party intends to see to it that the Trade Boards Act is 
 suitably amended and made to apply to all industrial employments 
 m which any considerable number of those employed obtain less 
 than 80s. per week. This minimum of not less than 30s. pfer week 
 (which will need revision according to the level of prices) ought 
 to be the very lowest statutory base line for the least skifled 
 
 tt^'LTetSin^dom!' "°"^"' ^ ^"^ ^^^"P^*^^'^' '^ ^ P*^« °^ 
 
 The Organisation op Demobilisation. 
 
 But the coming industrial dislocation, which wUI inevitablv 
 follow the discharge from war service of half of all the woS 
 population imposes new obligations upon the communitv Th! 
 demobilisation and discharge of the eight mimo™e^ear^s 
 
now being paid from public funds, either for service with the 
 Colours or in munition w'ork and other war trades, will bring to , 
 the whole wage-earning class grave peril of Unemployment, 
 Reduction of Wages, and a lasting Degradation of the Standard 
 of Life, which can be prevented only by deliberate Natibnal 
 Organisation. The Labour Party has repeatedly called upon 
 the present Government to formulate its plan, and to make in 
 advance all arrangements necessary for coping with so 
 unparalleled a dislocation. The policy to Which the Labour 
 Party commits itself is unhesitating and uncompromising. It 
 is plain that regard should be had, in stopping Government orders, 
 reducing the staff of the National Factories and demobilising 
 the Army, to the actual state of employment in particular in- 
 dustries and in different districts, so as both to release first the 
 kinds of labour most urgently required for the revival of peace 
 production, and to prevent any congestion of the market. It 
 is no less imperative that suitable provision against being turned 
 suddenly adrift without resources should be made, not only for 
 the soldiers, but also for the three million operatives in munition 
 work and other war trades, who will be discharged long before 
 most of the Army can be disbanded. On this important point, 
 which is the most urgent. of all, the present Government has, 
 we believe, down to the present hour, .formulated no plan, and 
 come to no decision, and neither the Liberal nor the Conservative 
 Party has apparently deemed the matter worthy of agitation. 
 Any Government which should allow the discharged soldier or 
 munition worker to fall into the clutches of charity or the Poor 
 Law would have to be instantly driven from office by an outburst 
 of popular indignation. What every one of them who is not wholly 
 disabled will look for is a situation in accordance with his capacity. 
 
 Secueing Employment for All. 
 
 The Labour Party iijisists — as no other political party has 
 thought fit to do — ^that the obligation to find suitable employment 
 in productive work for all these men and women rests upon the 
 Government for the time being. The work of re-settling the 
 disbanded soldiers and discharged munition workers into new 
 situations is a national obligation ; and the Labour Party 
 emphatically protests against it being regarded as a matter for 
 private charity. . It strongly objects to this public duty being 
 handed over either to committees of philanthropists or benevolent 
 societies, or to' any of the military or recruiting authorities. The 
 policy of the Labour Party in this matter is to make the utmost 
 use of the Trade Unions, and, equally for the brainwbrkers, of 
 the various Professional Associations. In view of the fact that, 
 in any trade, the best organisation for placing men in situations 
 is a national Trade Union having local Branches throughout 
 the kingdom, every soldier should be allowed, if he chooses,- to 
 
have a duplicate of his industrial discharge notice sent, one month 
 before the date fixed for his discharge, to the Secretary of the 
 Trade Union to which he belongs or wishes to belong. Apart 
 from this use of the Trade Union (and a corresponding use of the 
 Professional Association) the Government must, of course, avail 
 itself of some such public machinery as that of the Employment 
 Exchanges ; but before the existing Exchanges (which will need 
 to be greatly extended) can receive the co-operation and support 
 of the organised Labour Movement, without which their operations 
 can never be fully successful, it is imperative that they should- 
 be drastically reformed, on the lines laid down in the Demobilisa- 
 tion Report of the " Labour After the War " Joint Committee ; 
 and, in particular, that each Exchange should be placed effectively " 
 under the supervision and control of a Joint Committee of 
 Employers and Trade Unionists in equal numbers. 
 
 The responsibility of the Government for the time being, in 
 the grave industrial crisis that demobilisation will produce, 
 goes, however, far beyond the eight- million men and women 
 whom the various Departments will suddenly discharge from 
 their own service. The effect of this peremptory discharge on 
 all the other workers has also to be taken into account. To 
 the Labour Party it will seem the supreme concern of the Govern- 
 ment of the day to see to it that there shall be, as a result of the 
 gigantic " General Post " which it will itself have deliberately 
 set going, nowhere any Degradation of the Standard of Life. 
 The Government has pledged itself to restore the Trade Union con- 
 ditions and "pre-war practices" of the workshop, which the Trade 
 Unions patriotically gave up at the direct request of the Govern- 
 ment itself; and this solemn pledge must be fulfilled, of course, 
 in the spirit as well as in the letter. The Labour Party, moreover, 
 holds it to be the duty of the Government of the day to take all 
 necessary steps to prevent the Standard Rates of Wages, in any 
 trade or occupation whatsoever, from suffering any reduction, 
 relatively to the contemporary cost of living. Unfortunately, 
 the present Government, like the Liberal and Conservative Parties, 
 so far refuses to speak on this important matter with any clear 
 voice. We claim that it should be a cardinal point of Government 
 pplicy to make it plain to every capitalist employer that any 
 attempt to reduce the customary rates of wages when peace 
 comes, or to take advantage of the dislocation of demobilisation 
 to worsen the conditions of employment in any grade whatsoever, 
 will certainl;^ lead to embittered industrial strife, which will be 
 in the highest degree detrimental to the national interests : and 
 that the Government of the day will not hesitate to take all 
 necessary steps to avert such a calamity. In the great impending 
 crisis the Government of the day should not only, as the greatest 
 employer of both brainworkers and manual workers, set a good 
 example m this respect, but should also actively seek to influence' 
 private employers by proclaiming in advance that it will not^ 
 
itself attempt to lower the Standard Rates of conditions in public 
 employment ; by announcing that it will insist on the most 
 rigorous observance of the Fair Wages Clause in all public i 
 contracts, and by explicitly recommending every Local Authority 
 to adopt the same policy. 
 
 But nothing is more dangerous to the Standard of Life, or so 
 destructive of those minimum conditions of healthy existence, 
 which must in the interests of the" community be assured to every 
 worker, than any widespread or continue^ unemployment. It 
 has always been a fundamental principle of the Labour Party 
 (a point on which, significantly enough, it has not been followed 
 by either of the other political parties) that, in a modern industrial 
 community, it is one of the foremost obligations of the Government 
 to find, for every willing workerj whether by hand or by brain, 
 productive work at Standard Rates. . 
 
 It is accordingly the duty of the Government to adopt a policy 
 of dieEberately and systematically preventing the occurrence of 
 unemployment, instead of (as heretofore) letting unemployment 
 DceUf; andTlieh seeking, vainly and expensively, to relieve the 
 uneSaployed. It is now known that the Government can, if 
 it "chooses, arrange the public works and the orders of National 
 Departments and Local Authorities in such a way as to maintain 
 the aggregate demand for labour in the whole kingdom (including 
 that of capitalist employers) approximately at a uniform level 
 from year to year; and it is therefore a primary obligation of 
 the Government to prevent any considerable or widespread 
 fluctuations in the total numbers employed in times of good or 
 bad trade. But this is not all. In order to prepare for the 
 possibility of there being aihy unemployment, either in the course 
 of demobilisation or in the first years of peace, it is essential 
 that the Government should make all necessary preparations 
 for putting instantly in hand, directly or through the Local 
 Authorities, such urgently needed public works as (a) the rehousing 
 of the population alike in rural districts, mining villages, and 
 town slums, to the extent, possibly, of a million new cottages 
 and an outlay of 300 millions sterling ; (6) the immediate making- 
 good of 'the shortage of schools, training colleges, technical 
 colleges, &c., and the engagement of the necessary additional 
 teaching, clerical, and administrative staffs ; (c) new roads ; 
 (d) light railways ;' (e) the unification and reorganisation of the 
 railwaj^ and canal system ; (/) afforestation ; (^) the reclamation 
 of land ; {h) the development and better equipment of our 
 ports and harbours ; (i) the 'opening up of access to land by 
 co-operative small holdings and in other practicable ways. More- 
 over, in order to relieve any pressure of an overstocked labour 
 market, the opportunity should be taken, if unemployment should 
 threaten to become widespread, (a) immediately to raise the 
 school-leaving age to sixteen ; (6) greatly to increase the number 
 of scholarships and bursaries for Secondary and Higher Education ; 
 
10 
 
 and (c) substantially to shorten the hours of labour of all yoilng 
 persons, even to a greater extent than the eight hours per week 
 contemplated in the new Education Bill, in order to enable them 
 to attend technical and other classes in the dajrtime. Finally, 
 wherever practicable, the hours of adult labour should be reduced 
 to not more than forty-eight per week, without reduction of the 
 Standard Rates of Wages. There can be no economic or other 
 justification for keeping any man or woman to work for long 
 hours, or at overtime, whilst others are unemployed. 
 
 Social Insurance against Unemployment. 
 
 In so far as the Government fails to prevent Unemplojrment — 
 whenever it finds it impossible to discover for any willing worker, 
 man or woman, a suitable situation at the Standard Rate-^the 
 Labour Party holds that the Government must, in the interest of 
 the community as a whole, provide him or her with adequate 
 maintenance, either with such arrangements for honourable 
 employment or with such useful training as may be found practi- 
 cable, according to age, health and previous occupation. In 
 many ways the best form of provision for those who must be 
 unemployed, because the industrial orgahisatjoh of the com- 
 munity so far breaks down as to be temporarily unable to set 
 them to work, is the Out of Work Benefit afforded by a well- 
 administered Trade Union. This is a special . tax on the Trade 
 Unionists themselves which they have voluntarily undertaken, 
 but towards which they have a right to claim a public subvention — 
 a subvention which was actually granted by Parliament (though 
 only to the extent of a couple of shillings or so per week) under 
 Part II. of the Insurance Act. The arbitrary withdrawal by the 
 Government in 1915 of this statutory right of the Trade Unions 
 was one of the least excusable of the war economies ; and the 
 Labour Party must insist on the resumption of this subvention 
 immediately the war ceases, and on its increase to at least half 
 the 'amount spent in Out of Work Benefit. The extension of 
 State Unemploymei\t Insurance to other occupations may afford 
 a convenient method of providing for such of the Unemployed, 
 especially in the case of badly paid women workers and the less 
 skilled men, whom it is difficult to organise in Trade Union's. 
 But the weekly rate of the State Unemployment Benefit needs, 
 in these days of high prices, to be considerably raised ; whilst no 
 industry ought to be compulsoyily brought within its scope against 
 the declared will of the workers- concerned, and especially of 
 their Trade Unions. In one way or another remunerative em- 
 ployment or honourable maintenance must be found for every 
 willing worker, by hand or by brain, in bad times as well as in 
 good. It is clear that, in the twentieth century, there must be 
 ijo question of driving the Unemployed to anything so obsolete 
 and discredited as either private charity, with its haphazard and 
 
11 
 
 ill-considered doles, or the Poor Law, with the futilities and 
 barbarities of its " Stone Yard," or its " Able-bodied Test Work- 
 house." Only- on the basis of a universal application of the 
 Policy of the National Minimum, affording complete security 
 against destitution, in sickness and health, in good times and 
 bad alike, to every member of the community of whatever age 
 or sex, can any worthy social order be built up. 
 
 THE DEMOCRATIC CONTROL OF INDUSTRY. 
 
 The universal application of the Policy of the National Mini- 
 mum is, of course, only the first of the Pillars of the House that 
 the Labour Party intends to see built. What marks oft this Party 
 most distinctively from any of the other political parties is its 
 demand for the full and genuine adoption of the principle of 
 Democracy. The first condition of Democracy is effective per- 
 sonal freedom. This has suffered so many encroachments during 
 the war that it is necessary to state with clearness that the com- 
 plete removal of all the war-time restrictions on freedom of speech, 
 freedom of publication, freedom of the press, freedom of travel 
 and freedom of choice of place of residence and kind of employ- 
 ment must take place the day after Peace is declared. The 
 Labour Party declares emphatically against any continuance of 
 the Milita]^ Service Acts a moment longer than the imperative 
 requirements of the war excuse. But individual freedom is of 
 little use without complete political rights. The Labour Party 
 sees its repeated demands largely conceded in the present Repre- 
 sentation of the People Act, but not yet wholly satisfied. The 
 Party stands, as heretofore, for complete Adult Suffrage, with not 
 more than a three months' residential qualification, for effective 
 provision for absent electors to vote, for absolutely equal rights for 
 both sexes, for the same freedom to exercise civic rights for the 
 " common soldier " as for the officer, for Shorter Parliaments, for 
 the complete Abolition of the House of Lords, and for a most 
 strenuous opposition to any new Second Chamber, whether 
 elected or not, having in it any element of Heredity or Privilege, 
 or of the control of the House of Commons by any Party or Class. 
 But unlike the Conservative and Liberal Parties, the Labour 
 Party insists on Democracy in industry as well as in government. 
 It demands the progressive elimination from the control of industry 
 of the private capitalist, individual or joint-stock; and the 
 setting free of all who work, whether by hand or by brain, for the 
 service of the community, and. of the community only. And 
 the Labour Party refuses absolutely to believe that the British 
 people will permanently tolerate any reconstruction or perpetua- 
 tion of the disorganisation, waste and inefficiency involved in the 
 abandonment of British industry to a jostling crowd, of separate 
 private emj^loyers, with their niinds bent, not on the service of 
 the community, but — by the very law of. their being; — only on the 
 
12 
 
 utmost possible profiteering. What the nation needs is un- 
 doubtedly a great bound onward in its aggregate productivity, 
 But this cannot be secured merely by. pressing the manual workers 
 to more strenuous toil, or even by encouraging the " Captains of 
 Industry" to a less wasteful organisation of their several enter- 
 prises on a profit-making basis. What the Labour Party looks 
 to is a genuinely scientific reorganisation of the nation's industry, 
 no longer deflected by individual profiteering, on the basis of the 
 Common Ownership of the Means of Production ; the equitable 
 sharing of the proceeds among all who participate in any capacity 
 and only among these, and the adoption, in particular services 
 and occupations, of those systems and methods of administration 
 and control that may be found, in practice, best to promote, not 
 profiteering, but the public interest. 
 
 Immediate Nationalisation. 
 
 The Labour Party stances not merely for the principle of the 
 Common Ownership of the nation's land, to be applied as suitable 
 opportunities occur, but also, specifically, for the immediate 
 Nationalisation of Railways, Mines and the production of Electrical 
 Power. We hold that the very foundation of any successful 
 reorganisation of British Industry must necessarily be found 
 in the pro'<rision of the utmqst facilities for transport and com- 
 munication, the production of power at the cheapest possible rate 
 and the most economical supply of both electrical energy and 
 coal to every corner of the kingdom. Hence the Labour Party 
 stands, unhesitatingly, for the National Ownership and Adminis- 
 tration of the Railways and Canals, a,nd their. union, along with 
 Harbours and Roads, and the Posts and Telegraphs — not to say 
 also the great lines of steamers which could at once be owned, 
 if not immediately directly managed in detail, by the Govern- 
 ment—in a united national service of Communication and Trans- 
 port ; to be worked, unhampered by capitalist, private or purely 
 local interests (and with a steadily, increasing participation of 
 the organised workers- in the management, both central and 
 Iftcal), exclusively for the common good. If any Government 
 should be so misguided as to propose, when peace comes, to 
 hand the railways back to the shareholders ; or shotild s'how 
 itself so spendthrift of the nation's property as to give these 
 shareholders any enlarged franchise by presenting them with the 
 economies of unification or the profits of increased railway rates ; 
 or so extravagant as to bestow public funds on the re-equipment 
 of privately-owned lines — all of which things are now being 
 privately intrigued for by the railway interests— the Labour Party 
 will offer any such project the most strenuous opposition. The 
 railways and canals, like the roads, must henceforth belong to 
 the public, and to the public alone. 
 
 In the production of i^lectricity, for cheap Power, Light, and 
 
18 
 
 Heating, this country has so far failed, because of hampering 
 
 f)rivate interests, to take advantage of science. Even in the 
 argest cities we still " peddle" our Electricity on a contemptibly 
 small scale. What is called for, immediately after the war, is the 
 erection of a score of gigantic " super-power stations," which 
 could generate, at incredibly cheap rates, enough Electricity 
 ,for the use of every industrial establishment and every private 
 household in Great Britain ; the present municipal and joint- 
 stock electrical plants being universally linked lip and used for 
 local distribution. This is inevitably the future of Electricity. 
 It }s plain that so great and so powerful an enterprise, affecting 
 every industrial enterprise and, eventuaJly, 'every household, 
 must not be allowed to pass into the hands of private capitalists. 
 They are already pressing the Government for the concession, 
 and neither the Liberal nor the Conservative Party has yet made 
 up its mind to a refusal of such a new endoA^ment of profiteering 
 in what will presently be the life-blood of modern productive 
 industry. The Labour Party demands that the production of 
 Electricity on the necessary gigantic scale shall be ttiade, from 
 the start (with suitable- arrangements for municipal co-operation 
 in local distribution) a national enterprise, to be worked exclusively 
 with the object of supplyfiig the whole kingdom with the cheapest 
 possible Power, Light, and Heat. 
 
 But with Railways and the generation of Electricity in the 
 hands of the public, it would be criminal folly to leave to the 
 present 1,500 colliery companies the power of " holding up " 
 the coal supply. These are now all working under public control, 
 on terms that virtually afford to their shareholders a statutory 
 guarantee of their swollen incomes. The Labour Party demands 
 the immediate Nationalisation of Mines, the extraction of coal 
 and iron being worked as a public service (with a steadily increasing 
 participation in the management, both central and local, of the 
 various grades of persons employed) ; and the whole business 
 of the retail distribution of household coal being undertaken, 
 as a local public service, by the elected Municipal or County 
 Councils. And there is no reason why coal should fluctuate; 
 in price any more than railway fares, or why the consumer should 
 be made to pay more in winter than in summer, or in one town 
 than another. What the Labour Party would aim at is, for 
 household coal of standard quality, a fixed and uniform price 
 for the whole kingdom, payable by rich and poor alike, as unalter- 
 able as the penny postage-stamp. 
 
 But the sphere of immediate Nationalisation is not restricted 
 to these great industries. We shall never succeed in putting the 
 gigantic system of Health Insurance on a proper footing, or 
 secure a clear field for the beneficent work of the Friendly Societies, 
 or gain a free hand for the necessary development of the urgently 
 called for Ministry of Health and the Local Public Health Service, 
 until -the nation expropriates the .profit-maldng Industrial 
 
14 
 
 Insurance Companies, which now so tyrannously exploit the 
 people with their wasteful house-to-house Industrial Life 
 Assurance. Only by such an expropriation of Life Assurance 
 Companies can we secure the universal provision, free from the 
 burdensome toll of weekly pence, of the indispensable Funeral 
 Benefit. Nor is it in any sense a " class " measure. Onl^r by 
 the assumption by a State Department of the whole business 
 of Life Assurance can the millions of policy-holders of all classes 
 be completely protected against the possibly calamitous results 
 of the depreciation of securities and suspension of bonuses which 
 the war is causing. Only by this means can the great staff of 
 insurance agents find their proper place as Civil Servants, with 
 equitable conditions of employment, compensatipn for any dis- 
 turbance and security, of tenure, in a nationally organised public 
 service for the discharge of the steadily increasing functions of 
 the Government in Vital Statistics and Social Insurance. 
 
 In -quite another sphere the Labour Party sees the key to 
 Temperance Reform in taking the entire manufacture and retailing 
 of alcoholic drink out of the hands of those who find profit in 
 promoting the utmost possible consumption. This is essentially 
 a case in which the people, as a whole, must assert its right to 
 full and unfettered power for disaling with the licensing question 
 in accordance with local opinion. For this purpose, localities 
 should have conferred upon them facilities 
 
 (a) To prohibit the sale of liquor within their boundaries ; 
 
 (6) To reduce the number of licences and regulate the con- 
 ditions under which they may be held ; and 
 
 (c) If a locality decides that licences are to be granted, to 
 determine whether such licences shall be under private 
 or any form of public control. 
 
 MUNICIPALISATION . 
 
 Other main industries, especially those now becoming mono- 
 polised, should be nationalised as opportunity offers. Moreover, 
 the Labour Party holds that the Municipalities should not confine 
 their activities to the necessarily costly services of Education, 
 Sanitation, and Police; nor yet rest cpntent with acquiring 
 control of the local Water, Gas, Electricity, and Tramways ; 
 but that every facility should be afforded to them to acquire 
 (easily, quickly, and cheaply) all the land they require, and to 
 extend their enterprises in Housing and Town Planning, Parks, and 
 Public Libraries, the provision of music and the organisation of 
 recreation ; and also to undertake, besides the retailing of coal, 
 other services of common utility, particularly the local supply of 
 milk, wherever this is not already fully and satisfactorily organised 
 by a Coroperative Society. 
 
15 
 
 Control of Capitalist Industry. 
 
 Meanwhile, however, we ought not to throw away the valuable 
 experience now gained by the Government in its assumption of 
 the importation of wheat, wooj, metals, and other commodities, 
 and in its control of the shipping, woollen, leather, clothing, 
 boot and shoe, milling, baking, butchering, and other industries. 
 The Labour Party holds that, whatever may have been the 
 shortcomings of this Government importation and control, it has 
 demonstrably prevented a lot of " profiteering." Nor can it 
 end immediately on the Declaration of Peace. The people will 
 be extremely foolish if they ever 'allow their indispensable indus- 
 tries to slip back into the unfettered control of private capitalists, 
 who are, actually at the instance of the Government itself, now 
 rapidly combining, trade by trade, into monopolist Trusts, which 
 may presently become as ruthless in their extortion as the worst 
 American examples. Standing as it does for the Democratic 
 Control of Industry, the Labour Party would think twice before 
 it sanctioned any abandonment of the present profitable centralisa- 
 tion of purchase of raw material ; of the present carefully organised 
 " rationing'," by joint committees of the trades concerned, of 
 the several establishments with the materials they require ; of 
 the present elaborate system of "costing" and public audit 
 of manufacturers' accounts, so as to stop the waste heretofore 
 caused by the mechanical inefficiency of the more backward 
 firms ; of the present salutary publicity of manufacturing pro- 
 cesses, and expenses thereby ensured ; and, on the information 
 thus obtained (in order never again to revert to the old-time 
 profiteering) of the present rigid fixing, for standardised" products, 
 of maximum prices at the factory, at the warehouse of the whole- 
 sale trader, and in the retail shop. This question of the retail 
 prices of household commodities is emphatically the most 
 practical of all political issues to the woman elector. The 
 male politicians have too long neglected the grievances of the 
 small household, which is the prey of every profiteering combina- 
 tion ; and neither the Liberal nor the Conservative Party promises, 
 in this respect, any amendment. This, too,' is in no sense a 
 "class " measure. It is, so the Labour Party holds, just as much 
 the function of Government, and just as necessary a part of' the 
 Democratic Regulation of Industry, to safeguard the interests of 
 the community as a whole, and those of all grades and sections of 
 private consumers, in the matter of prices, as it is, by the Factory 
 and Trade Boards Acts, to protect the rights of the wage-earning 
 producers in the matter of wages, hours of labour, and sanitation. 
 
 A REVOLUTION IN NATIONAL FINANCE. 
 
 In taxation, also, the interests , of the professional and house- 
 keeping classes are at one with those of the manual workers. 
 
16 
 
 Too long has our National Finance been regulated, contrary 
 to the teaching of Political Economy, according to thfe wishes 
 of the possessing classes and the profits of the financiers. The 
 colossal expenditure involved in the present war (of which, against 
 the protest of the Labour Party, only a quarter has been raised 
 by taxation, whilst three-quarters. have been borrowed at onerous 
 rates df interest, to be a burden on the nation's future) brings 
 things to a crisis. When peace comes, capital will be needed 
 for all sorts of social enterprises, and the resources of 'Government 
 will necessarily have to be vastly greater than they were before 
 the war. Meanwhile innumerable new private fortunes are 
 being heaped up by those who have taken advantage of the 
 nation's needs ; and the one-tenth of the population which owns 
 nincrtenths of the riches of the United Kingdom, far from being 
 made poorer, will find itself, in the aggregate, las a result of the 
 war, drawing in rent and interest and dividends a larger nominal 
 income than ever before. Such a position demands a revolution 
 in national finance. How are we to discharge a public debt 
 that may well reach the almost incredible figure of 7,000 million 
 pounds sterling, and at the same time raise an annual revenue 
 'which, for local as well as central government, must probably 
 reach 1,000 millions a year ? It is over this problem of taxation 
 that the various political parties will be found to be most sharply 
 divided. 
 
 The Labour Party stands for such a system of taxation as will 
 yield all the necessary revenue to the Government without 
 encroaching on the prescribed National Minimum Standard of 
 Life of any family whatsoever ; without hampering production 
 or . discouraging any useful personal effort, and with the nearest 
 possible approximation to equality of sacrifice. We definitely 
 repudiate all proposals for a Protective Tariff, in whatever specious 
 guise they may be clbaked, as a device for burdening the consumer 
 with unnecessarily enhanced prices, to the profit of the capitalist 
 employer or landed proprietor, who avowedly expects his profit 
 or rent to be increased thereby. We shall strenuously oppose 
 any taxation, of whatever kind, which would increase the price 
 of food or of any other necessary of life. We hold that indirect 
 taxation on commodities, whether by Customs or Excise, should 
 be strictly limited to luxuries ; and concentrated principally 
 on those of which it is socially desirable that the consumption 
 should be- actually discouraged. jWe are at dne with the manu- 
 facturer, the farmer, and the trader in objecting to taxes inter- 
 fering with production or commerce, or hampering transport 
 and communications. In all these matters — once more in contrast 
 with the other political parties, and by no means in the interests 
 of the wage-earners alone— the Labour Party demands that the, 
 very definite teachings of economic science should no longer be 
 disregarded. 
 
 For the raising of the greater part of the revenue now required 
 
17 
 
 the Labour Party looks to the direct taxation of the incomes 
 above the necessary cost of family maintenance ; and for the re- 
 quisite effort to pay off the National Debt, to the direct taxation 
 of private fortunes both during life and at death. The Income 
 Tax and Super-tax ought at once to be thoroughly "reformed in 
 assessment and collection, in abatements and allowances and in 
 graduation and differentiation, so as to levy the required total 
 sum in such a way as to make the real sacrifice of all the tax- 
 payers as nearly as possible equal. This would involve assessment 
 by families instead of by individual persons, 'so that the burden 
 is alleviated in proportion to the number of persons to be main- 
 tained. It would involve the raising of the present unduly 
 low minimum income assessable to the tax, and, the lightening 
 of the present unfair burden on the great mass of professional 
 and small trading classes by a new scale of graduation, rising from 
 a penny in the pound on the smallest assessable income up to 
 sixteen or even nineteen shillings in the pound on the highest 
 income' of the millionaires. It would involve bringing 
 into assessment the numerous windfalls of profit that 
 now escape, and a further differentiation between essen- 
 tially different kinds of income. The Excess Profits Tax 
 might well be retained in an appropriate form ; whilst so long 
 as ]i|ining Royalties exist the Mineral Rights Duty ought 
 to be increased. The steadily rising Unearned Increment of 
 urban and mineral land ought, by an appropriate direct Taxation 
 of Land Values, to be wholly brought into the Public Exchequer. 
 At the same time, for the service and redemption of the National 
 Debt, the Death Duties ought to be regraduated, much more, 
 strictly collected, and greatly increased. In this matter we need, 
 in fact, completely to reverse our point of view, and to rearrange 
 the whole taxation of Inheritance from the standpoint of asking 
 what is the maximum amount that any rich man should be per- 
 mitted at death to divert, by his will, from the National Ex- 
 chequer, which should normally be the heir to all private riches 
 in excess of a quite moderate amount by way of family provision. 
 But all this will not suffice. It will be imperative at the earliest 
 possible moment to free the nation from at any rate the greater 
 part of its new load of interest-bearing debt for loans which ought 
 to have been levied as taxation ; and the Labour Party stands 
 for a special Capital Levy to pay off, if not the whole, a^very 
 substantial part of the entire National Debt — a Capital Levy 
 chargeable like the Death Duties on all property, but (in order to 
 secure approximate equality of sacrifice) with exemption of the 
 smallest savings, and for the rest at rates very steeply graduated, 
 so as to take only a small contribution from the little people and a 
 very much larger percentage from the millionaires. 
 
 Over this issue of how the financial burden of the war is to be 
 borne, and how the necessary revenue is to be raiised, the greatest 
 political battles will be fought. In this matter the Labour Party 
 
18 
 
 claims the support of four-fifths of the whole nation, for the 
 interests of the clerk, the teacher, the doctor, the minister of 
 religion, the average retail shopkeeper and trader, and all the 
 mass of those living on small incomes are identical with those of 
 the artisan. The landlords, the financial magnates, the possessors 
 of great fortunes will not, as a class, willingly forego the relative 
 immunity that they have hitherto enjoyed. The present unfair 
 subjection of the Co-operative Society to an Excess Profits Tax on 
 the "profits " which it has never made — specially dangerous as 
 " the thin end of the wMge " of penal taxation of this laudable 
 form of Democratic enterprise — will not be abandoned without a 
 struggle. Every possible effort will be made to juggle with the 
 taxes, so as to place upon the shoulders of the mass of labouring 
 folk and upon the struggling households of the professional men 
 and small traders (asi was done after every previous war)— whether 
 by Customs or Excise Duties, by industrial monopolies, by unneces- 
 sarily high rates of postage and railway fares, or by a thousand 
 and one other ingeniovis devices — an unfair share of the national 
 burden. Against these efforts the Laboiir Party will take the 
 firmest stand. 
 
 THE SURPLUS FOR THE COMMON GOOD. 
 
 In the disposal of the surplus above the Standard of Life society 
 has hitherto gone as far wrong as in its neglect to secure the 
 necessary basis of any genuine industrial efficiency or decent 
 social order. We have allowed the riches of our mines, the rental 
 value of the lands superior to the margin of cultivation, the extra 
 profits of the fortunate capitalists, even the material outcome of 
 scientific discoveries — ^which ought by now to have made this 
 Britain of ours immune from class poverty or from any widespread 
 destitution — ^to be absorbed by individual proprietors ; and then 
 devoted very largely to the senseless luxury of ah idle rich class. 
 Against this misappropriation of the wealth of the community, 
 the Labour Party— speaking in the interests not of the wage- 
 earners alone, but of every grade and section of producers by 
 hand or by brain, not to -mention also those of the generations 
 that are to succeed us, and of the permanent welfare of the com- 
 munity—emphatically protests. One main Pillar of the House 
 that the Labour Party intends to build is the future appropriation 
 of the Surplus, not to the enlargement of any individual fortune, but 
 to the Common Good. It is from this constantly arising Surplus 
 (to be secured, on the one hand, by Nationalisation and Municipali- 
 sation and, on the other, by the steeply graduated Taxation of 
 Private Income and Riches) that will have to be found the new 
 capital which the community day by day needs for the perpetual 
 improvement and increase of its various enterprises, for which we 
 shall decline to be dependent on the usury-exacting financiers. 
 It is from the same source that has to be defrayed the public 
 
19 
 
 provision for the Sick and Infirm of all kinds (including that for 
 Maternity and Infancy) which is still so scandalously insufficient ; 
 for the Aged and those prematurely incapacitated by accident or 
 disease, now in many ways so imperfectly cared for ; for the 
 Education alike of children, of adolescents and of adults, in which 
 the Labour Party demands a genuine equality of opportunity, 
 overcoming all differences of material circumstances ; and for the 
 organisation of public improvements of all kinds, including the 
 brightening of the lives of those now condemned to almost cease- 
 less toil, and a great development of the means of recreation. 
 From the same source must come the greatly increased pu"blic 
 provision that the Labour Party will insist on being made for 
 scientific investigation and original research, in every branch of 
 knowledge, not to say also for the promotion of music, literature 
 and fine art, which have been under Capitalism so greatly 
 neglected, and upon which^ so the Labour Party holds, any real 
 development of civilisation fundamentally depends. Society, 
 like the individual, does not live by bread alone — does not exist 
 only for perpetual wealth production. It is in the proposal for 
 this appropriation of every Surplus for the Common Good — in 
 the vision of its resolute use for the building up of the community 
 as a whole instead of for the magnification of individual fortunes — 
 that the Labour Party, as the Party of the Producers by hand or 
 by brain, most distinctively marks itself off from the older political 
 parties, standing, as these do, essentially for the maintenance, 
 xmimpaired, of the perpetual private mortgage upon the annual 
 product of the nation that is involved in the individual owner- 
 ship of land and capital. ■ 
 
 THE STREET OF TO-MORROW. 
 
 The House which the Labour Piarty intends to build, the four 
 Pillars of which have now been described, does not stand alone in 
 the world. Wheje will it be in the Street of To-morrow ? If 
 we repudiate, on the one hand, the Imperialism that seeks to 
 dominate other races, or to impose our own will on other parts 
 of the British Empire, so we disclaim equally any conception of a 
 selfish and insular " non-interventionism," unregarding of our 
 special obligations to our fellow-citizens overseas ; of the corporate 
 duties of one nation to another ; of the moral claims upon us of 
 the non-adult races,^and of our own indebtedness to the world of 
 which we are part. We look for an ever- increasing intercourse, 
 a Constantly developing exchange of commodities, a steadily 
 growing mutual understanding, and a continually expanding 
 friendly co-operation among all the peoples of the world. With 
 regard to that great Commonwealth of all races, all colours, all 
 religions and all degrees of civilisation, that we call the British 
 Empire, the Labour Party stands for its maintenance and its 
 progressive development on the lines of Local Autonomy and 
 
20 
 
 " Home Rule All Round " ; the fullest respect for the rights of 
 each people, whatever its colour, to all the Democratic Self- 
 Government of which it is capable, and to the proceeds of its ow» 
 toil upon the resources of its own territorial home ; and the 
 closest possible co-operation among all the various members of 
 what has become essentially not an Empire in the old sense, but 
 a Britannic Alliance. We desire to maintain the most intimate 
 ^ relations with the Labour Parties overseas. Like them, we have no 
 sympathy with the projects of " Imperial Federation," in so far 
 as these imply the subjection to a common Imperial Legislature 
 wielding coerfcive power (including dangerous facilities for coercive 
 Imperial taxation and for enforced military service), either of 
 the existing Self-Governing Dominions, whose autonomy would 
 be thereby invaded ; or of the United Kingdom, whose freedom 
 of Democratic self-development would be thereby* hampered ; 
 or of India and the Colonlial Dependencies, which would thereby 
 run the risk of being further exploited for the benefit of a "White 
 Empire." We. do not intend, by any such " Imperial Senate," 
 either to bring the plutocracy of Canada and South Africa to the 
 aid of the British aristocracy, or to enable the landlords and 
 financiers Of the Mother Country to unite in controlling the growing" 
 Popular -Democracies overseas. The absolute autonomy of each 
 self-governing part of the Empire must be maintained intact. 
 What we look for, besides a constant progress in Democratic Self- 
 Government of every part of the Britannic Alliance, and especially 
 in India, is a continuous participation of the Ministers of the 
 Dominions, of India, and eventually of other Dependencies (per- 
 haps by means of their own Ministers specially resident in London 
 for this purpose) in the most confidential deliberations of the 
 Cabinet, so far as Foreign. Policy and Imperial Affairs are con- 
 cerned ; and the annual assembly of an Imperial Council, repre- 
 senting all constituents of the Britannic Alliance and all parties 
 in their Local Legislatures, which should discuss all matters 
 of common interest, but only in order to make recommendations for 
 the simultaneous consideration of the various autonomous local 
 legislatures of what should increasingly take the constitutional 
 form of an Alliance of Free Nations. And we carry the idea 
 further. As regards our relations to Foreign Countries, we 
 disavow and disclaim any desire or intention to dispossess or to 
 impoverish any other State or Nation. We seek no increase of 
 territory. We disclaini all idea of " economic war." We our- 
 slelves object to all Protective Customs Tariffs ; but we hold that 
 each nation must be left-free to do what it thinks best for its own 
 economic development, without thought of injuring others. We 
 believe that nations are in no way damaged by each other's 
 economic prosperity or commercial progress ; but, on the con- 
 trary, that they are actually themselves niutually enriched thereby. 
 We would therefore put an end to the old entanglements and 
 mystifieatioijs oi Secret Diplomacy and the formation of Leagues 
 
21 
 
 against .Leagues. We stand for the immediate establishment, 
 actually as a part of the Treaty of Peace with which the present 
 war will end, of a Universal League or Society of Nations, a 
 Supernational Authority, with an International High Court to 
 try all justiciable issues between nations ; an International 
 Legislature to enact such common laws as can be mutually agreed 
 upon, and an International Council of Mediation to endeavour 
 to settle without ultimate conflict even those disputes which are 
 not justiciable. We would have all the. nations of the world 
 most solemnly undertake and promise to make common cause 
 against any one of them that broke away from this fundamental 
 agreement. The world has suffered too much from war for the 
 Labour Party to have any other policy than that of lasting 
 Peace. 
 
 MORE LIGHT— BUT ALSO MORE WARMTH ! 
 
 The Labour Party is far from assuming that it possesses a key 
 to open all locks ; or that any policy which it can formulate will 
 solve all the problems that beset us. But we deem it important 
 to ourselves as well as to those who may, on the one hand, wish to 
 join the Party, or, on the other, to take up arms against it, to 
 make quite clear and definite our aim and purpose. The Labour 
 Party wants that aim and purpose, as set forth in the preceding 
 pages, with all its might. It calls for more warmth in politics, for 
 much less apathetic acquiescence in the miseries that exist, for 
 none of the cynicism that saps the life of leisure. On the other 
 hand, the Labour Party has no belief in any of the problems of the 
 world being solved by Good Will alone. Good Will without 
 knowledge is Warmth without Light. Especially in all the com- 
 plexities of politics, in the still undeveloped Science of Society, 
 the Labour Party stands for increased study, for the scientific 
 investigation of each succeeding problem, for the deliberate 
 organisation of research, and for a much more rapid dissemination 
 among the whole people of all the science that exists. A^id it is 
 perhaps specially the Labour Party that has the duty of placing 
 this Advancement of Science in the forefront of its political pro- 
 gramme. What the Labour Party stands for in all fields of life is, 
 essentially. Democratic Co-operation ; and Cp-operation involves 
 a common purpose which can be agreed to ; a common plan which 
 can be explained and discussed, and such a measure of success in 
 the adaptation of means to ends as will ensure a common satis- 
 faction. An autocratic Sultan may govern without science if 
 his whim is law. A Plutocratic Party may choose to ignore 
 science, if it is heedless whether its pretended solutions of social 
 problems that m^y win political triumphs ultimately succeed or 
 fail. But no Labour Party can hope to maintain its position 
 unless its proposals are, in fact, the outcome of the best Political 
 Science of its time ; or to fulfil its purpose unless that science is 
 
22 
 
 continually wresting new fields frona human ignorance. Hence, 
 although the Purpose of the Labour Party must, by the law of 
 its being, remain for all time unchanged, its Policy and its Pro- 
 gramme will, we Tiope, undergo a perpetual development, as 
 knowledge grows, and as new phases of the social problem present 
 themselves, in a continually finer adjustment of our measures 
 to our ends. If Law is the Mother of Freedom, Science, to the 
 Labour Party, must be the Parent of Law. 
 
 W. Speaight & Sons, Ltd., Printers, Fetter Lane, London, E.C. 4. 
 
LEfg lPHLtT binder" 
 h - Syroeute, N. Y. 
 i- J Slectron. Calif. 
 
 
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