"Never bid another do what you can do yourself.

"Never covet what is not your own.

"Never think any matter so trifling as not to deserve notice.

"Never give out what does not come in.

"Do not spend, but produce.

"Let the greatest order regulate the actions of your life.

"Study in your course of life to do the greatest amount of good.

"Deprive yourself of nothing that is necessary to your comfort, but live in honourable simplicity and frugality.

"Labour then to the last moment of your existence."

Most men have it in their power, by prudent arrangements, to defend themselves against adversity, and to throw up a barrier against dest.i.tution. They can do this by their own individual efforts, or by acting on the principle of co-operation, which is capable of an almost indefinite extension. People of the most humble condition, by combining their means and a.s.sociating together, are enabled in many ways to defend themselves against the pressure of poverty, to promote their physical well-being, and even to advance the progress of the nation.

A solitary individual may be able to do very little to advance and improve society; but when he combines with his fellows for the purpose, he can do a very great deal. Civilization itself is but the effect of combining. Mr. Mill has said that "almost all the advantages which man possesses over the inferior animals, arise from his power of acting in combination with his fellows, and of accomplishing, by the united efforts of numbers, what could not be accomplished by the detached efforts of individuals."

The secret of social development is to be found in co-operation; and the great question of improved economical and social life can only receive a satisfactory solution through its means. To effect good on a large scale, men must combine their efforts; and the best social system is that in which the organization for the common good is rendered the most complete in all respects.

The middle cla.s.ses have largely employed the principle of a.s.sociation.

No cla.s.s has risen so rapidly, or done more by their energy and industry to advance the power and progress of England. And why? Because the most active have always been the most ready to a.s.sociate, to co-operate, and to combine. They have combined when they were attacked, combined when they had an abuse to destroy, or a great object to accomplish. They have a.s.sociated together to manufacture articles of commerce, to make ca.n.a.ls, to construct railways, to form gas companies, to inst.i.tute insurance and banking companies, and to do an immense amount of industrial work. By combining their small capitals together, they have been able to acc.u.mulate an enormous aggregate capital, and to execute the most gigantic undertakings.

The middle cla.s.ses have accomplished more by the principle of co-operation than the cla.s.ses who have so much greater need of it. All the joint stock companies are the result of a.s.sociation. The railways, the telegraphs, the banks, the mines, the manufactories, have for the most part been established and are carried on by means of the savings of the middle cla.s.ses.

The working cla.s.ses have only begun to employ the same principle. Yet how much might they accomplish by its means! They might co-operate in saving as well as in producing. They might, by putting their saved earnings together, become, by combination, their own masters. Within a few years past, many millions sterling have been expended in strikes for wages. A hundred millions a year are thrown away upon drink and other unnecessary articles. Here is an enormous capital. Men who expend or waste such an amount can easily become capitalists. It requires only will, energy, and self-denial. So much money spent on buildings, plant, and steam-engines, would enable them to manufacture for themselves, instead of for the benefit of individual capitalists. The steam-engine is impartial in its services. It is no respecter of persons; it will work for the benefit of the labourer as well as for the benefit of the millionaire. It will work for those who make the best use of it, and who have the greatest knowledge of its powers.

The greater number of workmen possess little capital save their labour; and, as we have already seen, many of them uselessly and wastefully spend most of their earnings, instead of saving them and becoming capitalists. By combining in large numbers for the purposes of economical working, they might easily become capitalists, and operate upon a large scale. As society is now const.i.tuted, every man is not only justified but bound in duty as a citizen, to acc.u.mulate his earnings by all fair and honourable methods, with the view of securing a position of ultimate competence and independence.

We do not say that men should save and h.o.a.rd their gains for the mere sake of saving and h.o.a.rding; this would be parsimony and avarice. But we do say that all men ought to aim at acc.u.mulating a sufficiency--enough to maintain them in comfort during the helpless years that are to come--to maintain them in times of sickness and of sorrow, and in old age, which, if it does come, ought to find them with a little store of capital in hand, sufficient to secure them from dependence upon the charity of others.

Workmen are for the most part disposed to a.s.sociate; but the a.s.sociation is not always of a healthy kind. It sometimes takes the form of Unions against masters; and displays itself in the Strikes that are so common, and usually so unfortunate. Workmen also strike against men of their own cla.s.s, for the purpose of excluding them from their special calling. One of the princ.i.p.al objects of trades-unions is to keep up wages at the expense of the lower paid and una.s.sociated working people. They endeavour to prevent poorer men learning their trade, and thus keep the supply of labour below the demand.[1] This system may last for a time, but it becomes ruinous in the end.

[Footnote 1: On the 31st January, 1875, a labourer in the employment of Messrs. Vickers, Sheffield, who had not served an apprenticeship, was put on to turn one of the lathes. This being contrary to the rules of the union, the men in the shop struck work. It is a usual course for men of the union to "strike" in this manner against persons of their own condition, and to exercise a force not resting in law or natural right, but merely on the will of a majority, and directly subversive of the freedom of the individual.]

It is not the want of money that prevents skilled workmen from becoming capitalists, and opening the door for the employment of labouring men who are poorer and less skilled than themselves. The work-people threw away half a million sterling during the Preston strike, after which they went back to work at the old terms. The London building trades threw away over three hundred thousand pounds during their strike; and even had they obtained the terms for which they struck, it would have taken six years to recoup them for their loss. The colliers in the Forest of Dean went back to work at the old terms after eleven weeks' play, at the loss of fifty thousand pounds. The iron-workers of Northumberland and Durham, after spending a third of the year in idleness, and losing two hundred thousand pounds in wages, went back to work at a reduction of ten per cent. The colliers and iron-workers of South Wales, during the recent strike or lock-out, were idle for four months, and, according to Lord Aberdare, lost, in wages alone, not less than three millions sterling!

Here, then, is abundance of money within the power of working-men,--money which they might utilize, but do not. Think only of a solitary million, out of the three millions sterling which they threw away during the coal strike, being devoted to the starting of collieries, or iron-mills, or manufactories, to be worked by co-operative production for the benefit of the operatives themselves.

With frugal habits, says Mr. Greg, the well-conditioned workman might in ten years easily have five hundred pounds in the bank; and, combining his savings with twenty other men similarly disposed, they might have ten thousand pounds for the purpose of starting any manufacture in which they are adepts.[1]

[Footnote 1: "The annual expenditure of the working cla.s.ses alone, on drink and tobacco, is not less than 60,000,000. Every year, therefore, the working cla.s.ses have it in their power to become capitalists (_simply by saving wasteful and pernicious expenditure_) to an extent which would enable them to start at least 500 cotton mills, or coal mines, or iron works, _on their own account_, or to purchase at least 500,000 acres, and so set up 50,000 families each with a nice little estate of their own of ten acres, on fee simple. No one can dispute the facts. No one can deny the inference."--_Quarterly Review,_ No. 263.]

That this is not an impracticable scheme, is capable of being easily proved. The practice of co-operation has long been adopted by workpeople throughout England. A large proportion of the fishery industry has been conducted on that principle for hundreds of years. Fishermen join in building, rigging, and manning a boat; the proceeds of the fish they catch at sea is divided amongst them--so much to the boat, so much to the fishermen. The company of oyster-dredgers of Whitstable "has existed time out of mind,"[2] though it was only in 1793 that they were incorporated by Act of Parliament. The tin-miners of Cornwall have also acted on the same principle. They have mined, washed, and sold the tin, dividing the proceeds among themselves in certain proportions,--most probably from the time that the Phoenicians carried away the produce to their ports in the Mediterranean.

[Footnote 2: Reports on the Paris Universal Exhibition, 1867, vol. vi., p. 252.]

In our own time, co-operation has been practised to a considerable extent. In 1795, the Hull Anti-Mill Industrial Society was founded. The reasons for its a.s.sociation are explained in the pet.i.tion addressed to the Mayor and Aldermen of Hull by the first members of the society. The pet.i.tion begins thus: "We, the poor inhabitants of the said town, have lately experienced much trouble and sorrow in ourselves and families, on the occasion of the exorbitant price of flour; and though the price is much reduced at present, yet we judge it needful to take every precaution to preserve ourselves from the invasions of covetous and merciless men in future." They accordingly entered into a subscription to build a mill, in order to supply themselves with flour. The corporation granted their pet.i.tion, and supported them by liberal donations. The mill was built, and exists to this day. It now consists of more than four thousand members, each holding a share of twenty-five shillings. The members belong princ.i.p.ally to the labouring cla.s.ses. The millers endeavoured by action at law to put down the society, but the attempt was successfully resisted. The society manufactures flour, and sells it to the members at market price, dividing the profits annually amongst the shareholders, according to the quant.i.ty consumed in each member's family. The society has proved eminently remunerative.

Many years pa.s.sed before the example of the "poor inhabitants" of Hull was followed. It was only in 1847 that the co-operators of Leeds purchased a flour-mill, and in 1850 that those of Rochdale did the same; since which time they have manufactured flour for the benefit of their members. The corn-millers of Leeds attempted to undersell the Leeds Industrial Society. They soon failed, and the price of flour was permanently reduced. The Leeds mill does business amounting to more than a hundred thousand pounds yearly; its capital amounts to twenty-two thousand pounds; and it paid more than eight thousand pounds of profits and bonuses to its three thousand six hundred members in 1866, besides supplying them with flour of the best quality. The Rochdale District Co-operative Corn-mill Society has also been eminently successful. It supplies flour to consumers residing within a radius of about fifteen miles round Rochdale[1]. It also supplies flour to sixty-two co-operative societies, numbering over twelve thousand members. Its business in 1866 amounted to two hundred and twenty-four thousand pounds, and its profits to over eighteen thousand pounds.

[Footnote 1: Its history is given in the Reports above referred to, p.

269.]

The Rochdale Corn-mill grew out of the Rochdale Equitable Pioneers Society, which formed an epoch in the history of industrial co-operative inst.i.tutions. The Equitable Pioneers Society was established in the year 1844, at a time when trade was in a very bad condition, and working people generally were heartless and hopeless as to their future state.

Some twenty-eight or thirty men, mostly flannel weavers, met and formed themselves into a society for the purpose of economizing their hard-won earnings. It is pretty well known that working-men generally pay at least ten per cent. more for the articles they consume, than they need to do under a sounder system. Professor Fawcett estimates their loss at nearer twenty per cent. than ten per cent. At all events, these working-men wished to save this amount of profit, which before went into the pockets of the distributers of the necessaries,--in other words, into the pockets of the shopkeepers.

The weekly subscription was twopence each; and when about fifty-two calls of twopence each had been made, they found that they were able to buy a sack of oatmeal, which they distributed at cost-price amongst the members of the society. The number of members grew, and the subscriptions so increased, that the society was enabled to buy tea, sugar, and other articles, and distribute them amongst the members at cost-price. They superseded the shopkeepers, and became their own tradesmen. They insisted from the first on payments in cash. No credit was given.

The society grew. It established a store for the sale of food, firing, clothes, and other necessaries. In a few years the members set on foot the Co-operative Corn-mill. They increased the capital by the issue of one-pound shares, and began to make and sell clothes and shoes. They also sold drapery. But the princ.i.p.al trade consisted in the purchase and sale of provisions--butchers' meat, groceries, flour, and such-like.

Notwithstanding the great distress during the period of the cotton famine, the society continued to prosper. From the first, it set apart a portion of its funds for educational purposes, and established a news-room, and a library, which now contains over six thousand volumes.

The society continued to increase until it possessed eleven branches for the sale of goods and stores in or near Rochdale, besides the original office in Toad Lane. At the end of 1866, it had 6,246 members, and a capital of 99,908. Its income for goods sold and cash received during the year was 249,122; and the gross profit 31,931.

But this was not all. Two and a half per cent. was appropriated from the net profits to support the news-rooms and library; and there are now eleven news and reading rooms at different places in or near the town where the society carries on its business; the sum devoted to this object amounting to over seven hundred pounds per annum. The members play at chess and draughts, and use the stereoscopic views, microscopes, and telescopes placed in the libraries. No special arrangements have been made to promote temperance; but the news-rooms and library exercise a powerful and beneficial influence in promoting sobriety. It has been said that the society has done more to remove drunkenness from Rochdale than all that the advocates of temperance have been able to effect.

The example of the Rochdale Pioneers has exercised a powerful influence on working-men throughout the northern counties of England. There is scarcely a town or village but has a co-operative inst.i.tution of one kind or another. These societies have promoted habits of saving, of thrift, and of temperance. They have given the people an interest in money matters, and enabled them to lay out their earnings to the best advantage. They have also given the working people some knowledge of business; for the whole of their concerns are managed by committees selected at the general meetings of the members.

One of the most flourishing co-operative societies is that established at Over Darwen. The society has erected a row of handsome buildings in the centre of the town. The shops for the sale of provisions, groceries, clothing, and other necessaries, occupy the lower story. Over the shops are the library, reading rooms, and cla.s.s rooms, which are open to the members and their families. The third story consists of a large public hall, which is used for lectures, concerts, and dances. There are six branches of the society established in different parts of the town. A large amount of business is done, and the profits are very considerable.

These are divided amongst the members, in proportion to the purchases made by them. The profits are for the most part re-invested in joint-stock paper-mills, cotton-mills, and collieries, in the neighbourhood of Darwen. One of the most praiseworthy features of the society is the provision made for the free education of the members and their families. Two and a half per cent. of the profits are appropriated for the purpose. While inspecting the inst.i.tution a few months ago, we were informed that the Science cla.s.ses were so efficiently conducted, that one of the pupils had just obtained a Government Scholarship of fifty pounds a year, for three years, including free instruction at the School of Mines, Jermyn Street, London, with a free use of the laboratories during that period. There are also two other co-operative inst.i.tutions in the same place; and we were informed that the working people of Darwen are, for the most part, hard-working, sober, and thrifty.

The example has also spread into Scotland and the south of England. At Northampton, a co-operative society exists for the purpose of buying and selling leather, and also for the manufacture of boots and shoes. At Padiham and other places in Lancashire, co-operative cotton-mills have been established. The Manchester and Salford Equitable Co-operative Society "combine the securities and facilities of a bank with the profits of a trade." But the business by which they mostly thrive, is by the purchase and sale of food, provisions, groceries, draperies, and other articles, with the exception of intoxicating liquors.

The sole secret of their success consists in "ready money." They give no credit. Everything is done for cash; the profit of the trade being divided amongst the members. Every business man knows that cash payment is the soundest method of conducting business. The Rochdale Pioneers having discovered the secret, have spread it amongst their cla.s.s. In their "advice to members of this and other societies," they say: "Look well after money matters. Buy your goods as much as possible in the first markets; or if you have the produce of your industry to sell, contrive, if possible, to sell it in the last. Never depart from the principle of buying and selling for ready money. Beware of long reckonings." In short, the co-operative societies became tradesmen on a large scale; and, besides the pureness of the food sold, their profit consisted in the discount for cash payments, which was divided amongst the members.

Land and Building Societies const.i.tute another form of co-operation.

These are chiefly supported by the minor middle-cla.s.s men, but also to a considerable extent by the skilled and thrifty working-cla.s.s men. By their means portions of land are bought, and dwelling-houses are built.

By means of a building society, a person who desires to possess a house enters the society as a member, and instead of paying his rent to the landlord, pays his subscriptions and interest to a committee of his friends; and in course of time, when his subscriptions are paid up, the house is purchased, and conveyed to him by the society. The building-society is thus a savings bank, where money acc.u.mulates for a certain purpose. But even those who do not purchase a house, receive a dividend and bonus on their shares, which sometimes amounts to a considerable sum.

The acc.u.mulation of property has the effect which it always has upon thrifty men; it makes them steady, sober, and diligent. It weans them from revolutionary notions, and makes them conservative. When workmen, by their industry and frugality, have secured their own independence, they will cease to regard the sight of others' well-being as a wrong inflicted on themselves; and it will no longer be possible to make political capital out of their imaginary woes.

It has been said that Freehold Land Societies, which were established for political objects, had the effect of weaning men from political reform. They were first started in Birmingham, for the purpose of enabling men to buy land, and divide it into forty-shilling freeholds, so that the owners might become electors and vote against the corn-laws.

The corn-laws have been done away with; but the holders of freehold land still exist, though many of them have ceased to be politicians. "Mr.

Arthur Ryland informs me," said Mr. Holyoake, in a recent paper on Building Societies, "that in Birmingham, numbers of persons under the influence of these societies have forsaken patriotism for profits. And I know both co-operators and Chartists who were loud-mouthed for social and political reform, who now care no more for it than a Whig government; and decline to attend a public meeting on a fine night, while they would crawl like the serpent in Eden, through a gutter in a storm, after a good security. They have tasted land, and the gravel has got into their souls."

"Yet to many others," he adds, "these societies have taught a healthy frugality they never else would have known; and enabled many an industrious son to take to his home his poor old father--who expected and dreaded to die in the workhouse--and set him down to smoke his pipe in the sunshine in the garden, of which the land and the house belonged to his child."[1]

[Footnote 1: Paper read at York Meeting of the National Society for Promoting Social Science, 26th Sept. 1864.]

The Leeds Permanent Building Society, which has furnished healthy tenements for about two hundred families, sets forth the following recommendations of the influence which it has exercised amongst the working cla.s.ses of that town: "It is truly cheering to hear the members themselves, at occasional meetings tell how, from small savings. .h.i.therto deemed too little for active application, they began to invest in the society: then to build or buy; then to advance in life, and come to competence, from extending their savings in this manner.... The provident habits and knowledge thus induced are most beneficial to the members. And the result is, that the careless become thoughtful, and, on saving, become orderly, respectable, propertied, and in every way better citizens, neighbours, and more worthy and comfortable. The employment of money in this useful direction encourages trade, advances prices and wages, comforts the working cla.s.ses, and at the same time provides the means of home enjoyments, without which such advances would be comparatively useless, and certainly uncertain."[1]

[Footnote 1: Letter of Mr. John Holmes, in Reports of Paris Universal Exhibition, 1867 vol. vi., p. 240.]

There are also exceptional towns and villages in Lancashire where large sums of money have been saved by the operatives for buying or building comfortable cottage dwellings. Last year Padiham saved about fifteen thousand pounds for this purpose, although its population is only about 8,000. Burnley has also been very successful. The Building Society there has 6,600 investors, who saved last year 160,000 or an average of twenty-four pounds for each investor. The members consist princ.i.p.ally of mill operatives, miners, mechanics, engineers, carpenters, stonemasons, and labourers. They also include women, both married and unmarried. Our informant states that "great numbers of the working cla.s.ses have purchased houses in which to live. They have likewise bought houses as a means of investment. The building society has a.s.sisted in hundreds of these cases, by advancing money on mortgage,--such mortgages being repaid by easy instalments."

Building Societies are, on the whole, among the most excellent methods of ill.u.s.trating the advantages of Thrift. They induce men to save money for the purpose of buying their own homes; in which, so long as they live, they possess the best of all securities.