ters respecting such grievance or dispute in writing to a board of arbitrators to hear, adjudicate, and determine the same. Said board shall consist of five (5) persons. When the employees concerned in such grievance or dispute as the aforesaid are members in good standing of any labor organization which is represented by one or more delegates in a central body, the said central body shall have power to designate two (2) of said arbitrators, and the employer shall have the power to designate two (2) others of said arbitrators, and the said four arbitrators shall designate a fifth person as arbitrator, who shall be chairman of the board. In case the employees concerned in any such grievance or dispute as aforesaid are members in good standing of a labor organization which is not represented in a central body, then the organization of which they are members shall designate two members of said board, and said board shall be organized as herein before provided; and in case the employees concerned in any such grievance or dispute as aforesaid are not members of any labor organization, then a majority of said employees, at a meeting duly held for that purpose, shall designate two arbitrators for said board, and said board shall be organized as hereinbefore provided: Provided, That when the two arbitrators selected by the respective parties to the controversy, the district judge of the district having jurisdiction of the subject-matter shall, upon notice from either of said arbitrators that they have failed to agree upon the fifth arbitrator, appoint said fifth arbitrator.

SEC. 2. Any board as aforesaid selected may present a petition in writing to the district judge of the county where such grievance or dispute to be arbitrated may arise, signed by a majority of said board, setting forth in brief terms the facts showing their due and regular appointment, and the nature of the grievance or dispute between the parties to said arbitration, and praying the license or order of such judge establishing and approving of said board of arbitration. Upon the presentation of said petition it shall be the duty of said judge, if it appear that all requirements of this act have been complied with, to make an order establishing such board of arbitration and referring the matters in dispute to it for hearing, adjudication and determ nation. The said petition and order, or a copy thereof, shall be filed in the office ofi the district clerk of the county in which the arbitration is sought.

SEC. 3. When a controversy involves and affects the interests of two or more classes or grades of employees belonging to different labor organizations, or of individuals who are not members of a labor organization, then the two arbitrators selected by the employees shall be agreed upon and selected by the concurrent action of all such labor organizations, and a majority of such individuals who are not members of a labor organization.

SEC. 4. The submission shall be in writing, shall be signed by the employer or receiver and the labor organization representing the employees, or any laborer or laborers to be affected by such arbitration who may not belong to any labor organization, shall state the question to be decided, and shall contain appropriate provisions by which the respective parties shall stipulate as follows:

1 That pending the arbitration the existing status prior to any disagreement or stri ke shall not be changed.

2. That the award shall be filed in the office of the clerk of the district court of the county in which said board of arbitration is held, and shall be final and conclusive upon both parties, unless set aside for error of law, apparent on the record.

3. That the respective parties to the award will each faithfully execute the same, any that the same may be specifically enforced in equity so far as the powers of a court of equity permit.

4. That the employees dissatisfied with the award shall not by reason of such dissatisfaction quit the service of said employer or receiver before the expiration of thirty days, nor without giving said employer or receiver thirty days written notice of their intention so to quit.

5. That said award shall continue in force as between the parties thereto for the period of one year after the same shall go into practical operation, and no new arbitration upon the same subject between the same parties shall be had until the expiration of said one year.

SEC. 5. The arbitrators so selected shall sign a consent to act as such and shall take and subscribe an oath before some officer authorized to administer the same to faithfully and impartially discharge his duties as such arbitrator, which consent and oath shall be immediately filed in the office of the clerk of the district court wherein such arbitrators are to act. When said board is ready for the transaction of business it shall select one of its members to act as secretary and the parties to the dispute shall receive notice of a time and place of hearing, which shall be not more than ten days after such agreement to arbitrate has been filed.

SEC. 6. The chairman shall have power to administer oaths and to issue subpoenas for the production of books and papers and for the attendance of witnesses to the

same extent that such power is possessed by the court of record or the judge thereof in this State. The board may make and enforce the rules for its government and transaction of the business before it and fix its sessions and adjournment, and shall herein examine such witnesses as may be brought before the board, and such other proof as may be given relative to the matter in dispute.

SEC. 7. When said board shall have rendered its adjudication and determination its powers shall cease, unless there may be at the time in existence other similar grievances or disputes between the same class of persons mentioned in section 1, and in such case such persons may submit their differences to said board, which shall have power to act and adjudicate and determine the same as fully as if said board was originally created for the settlement of such difference or differences.

SEC. 8. During the pendency of arbitration under this act it shall not be lawful for the employer or receiver party to such arbitration, nor his agent, to discharge the employees parties thereto, except for inefficiency, violation of law, or neglect of duty, or where reduction of force is necessary, nor for the organization representing such employees to order, nor for the employees to unite in, aid or abet strikes or boycots against such employer or receiver.

SEC. 9. Each of the said board of arbitrators shall receive three dollars per day for every day in actual service, not to exceed ten (10) days, and traveling expenses not to exceed five cents per mile actually traveled in getting to or returning from the place where the board is in session. The fees of witnesses of aforesaid board shall be fifty cents for each day's attendance and five cents per mile traveled by the nearest route to and returning from the place where attendance is required by the board. All subpœnas shall be signed by the secretary of the board and may be served by any person of full age authorized by the board to serve the same. The fees and mileage of witnesses and the per diem and traveling expenses of said arbitrators shall be taxed as costs against either or all of the parties to said arbitration, as the board of arbitrators may deem just, and shall constitute part of their award, and each of the parties to said arbitration shall, before the arbitration [arbitrators] proceed to consider the matters submitted to them, give a bond, with two or more good and sufficient sureties in an amount to be fixed by the board of arbitration, conditioned for the payment of all the expenses connected with the said arbitration.

SEC. 10. The award shall be made in triplicate. One copy shall be filed in the district clerk's office, one copy shall be given to the employer or receiver, and one copy to the employees or their duly authorized representative. The award being filed in the clerk's office of the district court, as herein before provided, shall go into practical operation and judgment shall be entered thereon accordingly at the expiration of ten days from such filing, unless within such ten days either party shall file exceptions thereto for matter of law apparent on the record, in which case said award shall go into practical operation and judgment rendered accordingly when such exceptions shall have been fully disposed of by either said district court or an appeal therefrom.

SEC. 11. At the expiration of ten days from the decision of the district court upon exceptions taken to said award as aforesaid, judgment shall be entered in accordance with said decision, unless during the said ten days either party shall appeal therefrom to the court of civil appeals holding jurisdiction thereof. In such case only such portion of the record shall be transmitted to the appellate court as is necessary to the proper understanding and consideration of the questions of law presented by said exceptions and to be decided. The determination of said court of civil appeals upon said questions shall be final, and being certified by the clerk of said court of civil appeals, judgment pursuant thereto shall thereupon be entered by said district court. If exceptions to an award are finally sustained, judgment shall be entered setting aside the award; but in such case the parties may agree upon a judgment to be entered disposing of the subject-matter of the controversy, which judgment, when entered, shall have the same force and effect as judgment entered upon an award.

CHAPTER XII.

PROFIT SHARING, STATE AID, PUBLIC EMPLOYMENT BUREAUS, ETC.

ART. A. COOPERATION AND PROFIT SHARING.

SEC. 1. COOPERATIVE ASSOCIATIONS.--About a dozen States have statutes, usually of not very recent date, providing for cooperative associations in manufacturing or distributive industries1 (only distributive in Ohio and Michigan). They have rarely been taken advantage of, and there seems to be little general interest in such laws at the present time. The Wyoming constitution (10, 10) declares that "the legislature shall provide by suitable legislation for their organization;" but few new statutes are being enacted.

They are: Massachusetts (106, 9, 72, 73), Connecticut (1895-1904), New York (R. S., p. 1626), Pennsylvania (Dig., p. 389), New Jersey (Sup., p. 138), Ohio (3837), Michigan (3935, 3938, 3940), Illinois (32, 103-127), Wisconsin (1786b), Minnesota (29032912), Kansas (1456-1458), Maryland (23, 14, 15), California (Civ. C., p. 53, 1895, 183), Montana (Civ. C. 870-880).

Thus in Massachusetts:

For the purpose of cooperation in carrying on any business authorized in the two preceding sections [any mechanical, mining or manufacturing business except that of distilling or manufacturing intoxicating liquors, cutting, storing and selling ice, carrying on any agricultural, horticultural or quarrying business, printing and publishing newspapers, periodicals, books or engravings] and of cooperative trade, seven or more persons may associate themselves, with a capital of not less than one thousand nor more than one hundred thousand dollars.

Every corporation organized for the purposes set forth in section nine shall distribute its profits or earnings among its workmen, purchasers, and stockholders, at such times and in such manner as shall be prescribed by its by-laws, and as often at least as once in twelve months; but no distribution shall be made until at least ten per cent of the net profits has been appropriated for a contingent or sinking fund, until there has accumulated a sum equal to thirty per cent in excess of its capital stock.

No person shall hold shares in any coöperative association to an amount exceeding one thousand dollars at their par value, nor shall any stockholder be entitled to more than one vote upon any subject.

In New York:

SECTION 1. Any number of persons, not less than three, may associate and form an incorporation or company for the purpose of uniting their labor, capital and patronage, in any business or occupation upon the co-operative plan, upon filing in the office of the secretary of state a declaration, signed by the corporators, expressing their intention to form such a company, together with a copy of the charter proposed to be adopted by them.

SECTION 2. * * * no company shall be organized under this act with a capital of less than one thousand dollars,

* * *

SECTION 5. Companies organized under this act shall have the word "co-operative," Es a part of their corporate or business name wherever used, either in advertising or transacting their business.

249A-- -11

SEC. 2. PROFIT SHARING.-Besides cooperative associations, a law of Connecticut provides for the sharing of profits with employees by ordinary corporations. The authority of directors to do so would seem to require no legislation; and the practice is not uncommon. Some corporations also facilitate the purchase by their employees of their own stock; and Massachusetts has a statute authorizing "special stock," rarely availed of."

ART. B. LABOR BUREAUS.

SEC. 1. STATE LABOR BUREAUS OR COMMISSIONERS.-These have been created in nearly all States.2

In most States their duties are merely to collect statistics, recommend legislation, and inquire into strikes. In Michigan, Wisconsin, Iowa, Minnesota, Nebraska, Missouri, Colorado, and Washington they are also charged with the duties of factory inspectors (see Chap. IV), or (in Ohio, Nebraska, and Montana) labor bureaus of employment (see Art. C., below), or (in Colorado) State boards of arbitration (see Chap. XI), and have usually power to examine witnesses under oath, call for papers, reports, etc., the answers furnished to remain secret, etc.

1 Connecticut (Chap. 119):

SECTION 1935. Any corporation organized after May 31, 1886, under general or special law, may, by its board of directors, distribute to the persons employed in its service, or to any of them, such portion of the profits of the business of the corporation as the board of directors may deem just and proper.

SECTION 1936. Any corporation organized on or prior to May 31, 1886, may give to its board of directors the power to distribute to the persons employed in its service, or to any of them, such portion of the profits of the business of the corporation as said board may deem just and proper: Provided, such power is given by a major vote of all the shareholders, at a meeting warned for the purpose.

Massachusetts (1886, 209):

2 Corporations-Special stock for employees.

SECTION 1. Every corporation created under the provisions of chapter one hundred and six of the public statutes, by a vote of its general stockholders at a meeting duly called for the purpose, may issue special stock to be held only by the employees of such corporation. The par value of the shares of such special stock shall be ten dollars, and the purchasers thereof may pay for the same in monthly instalments of one dollar upon each share. Such special stock shall not exceed twofifths of the actual capital of the corporation.

SECTION 2. Whenever a dividend is paid by such corporation to its stockholders, the holders of such special stock shall receive upon each share, which has been paid for in full in time to be entitled to a dividend, a sum which shall bear such proportion to the sum paid as a dividend upon each share of the general stock of such corporation as the par value of the shares of such special stock bears to the par value of the shares of such general stock.

SECTION 3. The shares of such special stock shall not be sold or transferred except to an employee of such corporations or to the corporation itself. Any corporation issuing such special stock may provide by its by-laws as to the number of shares which may be held by any one employee, the methods of transfer and the redemption of such stock in case any person holding the same shall cease to be an employee of the corporation.

1N. H. 48, 1-6; Mass. 31, 13, 1884, 4, 1895, 290; N. Y. G. L. 32, 30-32; Me. 1887, 69; R. I. 70, 1; Conn. 2944-2949; N. J. Sup. 407; Pa. Dig., p. 1907; Ohio, 307; Ind. 7758; Ill. 17a, 1,2; Mich. 1883, 156, 1895, 184; Wis. 46a; Iowa, 1884, 132, 1896, 86; Minn. 469; Kans. 5961-2; Nebr. Chap. 39b, 1897, 39; Va. 1898, 863; W. Va. 1889, 15; Md. Art. 89; Ky. Chap. 4; Tenn. 294–299, 1891, 157; Mo. 8215-8226; N. C. 1899, 373; Cal., Vol. IV, p. 602; Colo. 299-304; Wash. 1895, 85, 1897, 29; N. Dak. Pol. C. 123; Idaho Con. 13, 1; Mont. Pol. C. 760, 1897, 110; Utah, 1892, 46.

SEC. 2. EMPLOYMENT OFFICES (STATE).-Several States have passed statutes for public employment bureaus. The most recent, as well as the most elaborate, is that of Illinois (1899, p. 268), printed in full in the note.1 The other States are New York (G. L. 32, 40-43), Ohio (307-310), Montana (Pol. C., 765), Missouri (1899, p. 272).

1Illinois:

Free public employment offices, and licensing, etc., of private employment agencies.

SECTION 1. Free employment offices are hereby created as follows: One in each city of not less than fifty thousand population, and three in each city containing a population of one million or over, for the purpose of receiving applications of persons seeking employment, and applications of persons seeking to employ labor. Such offices shall be designated and known as Illinois Free Employment Offices.

SEC. 2. Within sixty days after this act shall have been in force, the State board of commissioners of labor shall recommend, and the governor, with the advice and consent of the senate, shall appoint a superintendent and assistant superintendent and a clerk for each of the offices created by section 1 of this act and who shall devote their entire time to the duties of their respective offices. The assistant superintendent or the clerk shall in each case be a woman. The tenure of such appointment shall be two years, unless sooner removed for cause. The salary of each such superintendent shall be $1,200 per annum, the salary of such assistant superintendent shall be $900 per annum. The salary of such clerks shall be $800 per annum, which sums, together with proper amounts for defraying the necessary costs of equipping and maintaining the respective offices, shall be paid out of any funds in the State treasury not otherwise appropriated.

SEC. 3. The superintendent of each such free employment office shall, within sixty days after appointment, open an office in such locality as shall have been agreed upon between such superintendent and the secretary of the bureau of labor statistics as being most appropriate for the purpose intended; such office to be provided with a sufficient number of rooms or apartments to enable him to provide, and he shall so provide, a separate room or apartment for the use of women registering for situations or help. Upon the outside of each such office, in position and manner to secure the fullest public attention, shall be placed a sign which shall read in the English language Illinois Free Employment Office, and the same shall appear either upon the outside windows or upon signs in such other languages as the location of each such office shall render advisable. The superintendent of each such free employment office shall receive and record in books kept for that purpose names of all persons applying for employment or help, designating opposite the name and address of each applicant the character of employment or help desired. Separate registers for applicants for employment shall be kept, showing the age, sex, nativity, trade or occupation of each applicant, the cause and duration of unemployment, whether married or single, the number of dependent children, together with such other facts as may be required by the bureau of labor statistics to be used by said bureau: Provided, That no such special register shall be open to public inspection at any time, and that such statistical and sociological data as the bureau of labor may require shall be held in confidence by said bureau, and so published as not to reveal the identity of anyone: And provided, further, That any applicant who shall decline to furnish answers to the questions contained in special register shall not thereby forfeit any rights to any employment the office might secure.

SEC. 4. Each such superintendent shall report on Thursday of each week to the State bureau of labor statistics the number of applications for positions and for help received during the preceding week, also those unfilled applications remaining on the books at the beginning of the week. Such lists shall not contain the names or addresses of any applicant, but shall show the number of situations desired and the number of persons wanted at each specified trade or occupation. It shall also show the number and character of the positions secured during the preceding week. Upon receipt of these lists and not later than Saturday of each week, the secretary of the said bureau of labor statistics shall cause to be printed a sheet showing separately and in combination the lists received from all such free employment offices; and he shall cause a sufficient number of such sheets to be printed to enable him to mail, and he shall so mail on Saturday of each week, two of said sheets to each superintendent of a free employment office, one to be filed by said superintendent, and one to be conspicuously posted in each such office. A copy of such sheet shall also be mailed on each Saturday by the secretary of the State bureau of labor statistics to each State inspector of factories and each State inspector of mines. And it is hereby