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Updated: May 17, 2025
These, almost without exception, make the price increase resulting from standardization, inconsiderable. They are witness to the fact that improvements in the level of industrial management and a gradual elimination of the less competent employers have frequently taken place.
And the sentiment underlying the principle of standardization is nearer the idea of equal payment for equal effort or equal sacrifice within the group, than the idea of equal payment for equal product. Where the work of one man is independent of another, the individual has no motive to consider his fellow, since his work and pay in no wise depend on the other man.
More to the point, it can be affirmed that the percentage of individuals in any occupation whose efficiency is decidedly below the average efficiency of the group is small. For, as a matter of fact, what really comes into question upon the introduction of wage standardization, is the employment of that small percentage of individuals whose efficiency is decidedly below that of group average.
Such is the case during periods of industrial expansion. When the demand for the services of the group falls, however, it is probable that these men will be discharged first more promptly than if wage standardization had not been introduced.
But from now on, they began to organize in guilds of an essentially religious character, as similar guilds in other parts of Asia at the same time also did. They provided welfare services for their members, made some attempts towards standardization of products and prices, imposed taxes upon their members, kept their streets clean and tried to regulate salaries.
If any of the existing wage rates in an industry or occupation are higher than the level of standardization which is fixed, the higher rates should ordinarily not be lowered to the level of standardization. Secondly The wages of those groups of wage earners who are at the bottom of the industrial scale should be regulated upon the living wage principle.
In the examination of the reasons for and against limitation or variation of the principle of standardization, note must be taken of still one other argument of a somewhat different nature than those already dealt with.
The United States, as a nation, is far behind foreign countries in setting such a standard. In Denmark and elsewhere a country school teacher must be a normal school graduate. A few national laws in the way of standardization both in higher and lower education would produce excellent results.
Such variation would be represented, for example, by a collective agreement in accordance with which the wage scale at different points was varied in accordance with the relative cost of living at these points. Up to the present there has been a tendency to disregard differences in the cost of living when wage standardization has been extended.
The steady trend to standardization in production and to simplification of the machine processes has lessened somewhat the difference between the character of the work of the upper and lower grades of labor. Modern industrial developments have led to an increased emphasis upon "general ability" and a lessened emphasis upon "special ability."
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