who should from year to
year be qualified to compete for work. In other trades where no rigid
rule to this effect exists, there is an understanding which is equally
effective. Certain trades, such as the engineers, boiler-makers, and
other branches of iron trade, place no restrictions, and in certain
other trades the restrictions are not closely applied. But most of the
strong Trades Unions protect themselves in another way against the
competition of unemployed. By a System of "out of work" pay, they bribe
those of their body, who from time to time are thrown out of work, not
to underbid those in work, so as to bring down the rate of wages.
Several of the most important Unions pay large sums every year to "out
of work" members. By these three means, the "minimum wage" qualification
for membership, the limitation of the number of apprentices, and the
"out of work" fund, the Trade Unions strengthen the power of organized
labour in skilled industries by restricting the competition of
unemployed outsiders.

It is true that some of the leading exponents of Trade Unionism deny
that the chief object of the Unions is to limit competition. Mr. Howell
considers that the "standard wage" qualification for membership is
designed in order to ensure a high standard of workmanship, and regards
the "out of work" fund merely as belonging to the insurance or
prudential side of Trade Unionism. But though it may readily be admitted
that one effect of these measures may be to maintain good workmanship
and to relieve distress, it is reasonable to regard the most important
result actually attained as being the object chiefly sought. It is fair
to suppose, therefore, that while Unionists may not be indifferent to
the honour of their craft, their principal object is to strengthen their
economic position. At any rate, whatever the intention of Trade Unions
may be, the principal effect of their regulations is to limit the
effective supply of competing labour in their respective branches of
industry.

Sec. 5. Can Low-skilled Workers successfully combine?--Now the question
which concerns our inquiry may be stated thus. Supposing that the
workers in "sweating" industries were able to combine, would they be
able to secure themselves against outside competition as the skilled
worker does? Will their combination practically increase the difficulty
in replacing them by outsiders? Now it will be evident that the
unskilled or low-skilled workers cannot