Show AUTHENTIC STATEMENT special to THE EXPRESS BABSON DISCUSSES PROFIT SHARING BABSON PARK MASS jul july 23 there Is to no panacea for lythe the labor problem it iii began when one man started to 1 or r another it will continue so long lg as 99 th there ro is an employer em mAntion ship when I 1 was assistant secretary of labor I 1 was asked to speak on labor pro problems bleim I 1 before a washington audience on my way to the appointment I 1 1 stopped d in william B wilson s office and asked for bome suggestions lie ho replied yon you might begin by telling them that years vears from tonight soa someone neone will be speaking on the same saino subject on the same spot profit sharing and profit sharing plans grow with prosperity and decline in periods of depression most profit sharing plans aro an for wages only arc are not dependent on the productivity of the workers but dependent mainly on the ability and generosity of the management the business boom during and following the first world war brought the tile profit sharing idea ito to the notice of the general public elwire are numerous PC profit sharing plans in operation in the united states many have prospered grospe prospered red because became we have had boom oom business with increasing the me real test will win come when eamma daline and when there them will be no profits the recent large earnings ot of industry have stimulated labor union leaders to oak ask and for fyr increased wages seven sen rounds have been granted and we are now vow facing a request tor for an eighth round this demand wig meet with stronger resistance than previous de manda mands because business is to look ing ahead to readjustment and loew wor promas after all profit depends an on on profit it oh sharing aring labor union I 1 leaders are am not too profit sharing sh arine but fw for annual vases and fringe benefits bener fits they res realize that profit profits depend on management wid I 1 1 business conditions A business may make a million dollars dollan in one year and toil fail the e next year profit profits are ar a A managerial aarl pro problem how a business enterprise Is managed determines its success or failure fad lure the management must pay the current rate of wages it if it Is necessary to borrow money to the plants facilities BO so that labor can van be employed management must pay the current rate of to in dorest on outstanding bonds or else go broke management must nioca stiff for goods produced and Is therefore ros res as to what la is received for commodities produced Farther furthermore more a manager must be a business forecaster ex banding candling facilities when a perd iod of good business is comia 9 but trimming his sails when a ix period of readjustment Is in th the 0 offing on top of all this his com company tany must pay heavy taxes after all these obligations arc are met if there is anything loft left that Is pr profits the raw imai mu tenial derial purchaser la is a great actor factor in determining profits it therefore la Is seen wen that profit sharing haring sl rewards towards depend little upon the wage such plana plans are am most successful stul in large business enterprises that are well established and mim aged especially if producing a pa patented n d p 1 va t having a continual andyk demand in WOT or peace profit sharing la is often h hard on small business concerns because they do not have he the reserves to carry them through or to adver advertise tisie profit sharing Is a coneway streett it may act ss as a wage during Pett periods lOdl of prosperity ana good but bu as a source of trouble li if a company maere a ION km labor la is to share SIM pr profits odite but la Is mot nka willing to snare loa speaking peaking from I 1 gave away over am one million dollars to my employed eo ew from 19 1913 3 to 1925 there la in no doubt but what the money passed out did a lot of good to the redpa enta I 1 am faed that t wo we tried the continued on page 18 10 STATEMENT continued from page 9 and gave ft a thorough ceol during was only a bew wew pan of the program we realy tried industrial aft an both cum to ani an unfortunate ending glace hen better plans hava haw been beeri tried by othera spraying tomatoes for blight ia Is a preventive measure not a cure growers should not wait until disease lymp tonu are prevalent to begin spraying |