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Trade Boards

1911 Encyclopedia Britannica

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"TRADE BOARDS. - An important factor in the regulation of wages in England is now represented by the functioning of the trade boards. The Trade Boards Act of 1909 was passed, as a result of considerable agitation on behalf of workers who were employed under " sweated " conditions, with a view to providing machinery by which their wages might be raised to a more satisfactory level.

This Act applied at once to four trades, namely: (i) readymade and wholesale bespoke tailoring and any other branch of tailoring in which the board of trade considered the system of manufacture was generally similar to that prevailing in the wholesale trade; (2) the making of boxes or parts thereof made wholly or partially of cardboard, chip, or similar material; (3) machine-made lace and net finishing and the mending or darning operations of lace curtains and lace finishing; (4) hammered and dollied or tommied chainmaking. Provision was further made that the Act should be applied to other trades by Provisional Order if the board of trade was satisfied that the rate of wages prevailing in any branch of those trades was exceptionally low as compared with that in other employments. These Provisional Orders required confirmation by Parliament.

In addition to the trades originally specified four trades were subsequently added under the Provisional Order procedure, making a total of eight. The small number of trades to which the Act of t909 was applied was due partly to the fact that the procedure by Provisional Order was necessarily a slow and cumbrous process, and partly to the severe limits imposed by the provision that a board could only be established where wages were exceptionally low.

In 1918 an amending Act largely extended the scope of the previous Act. During the World War the whole basis of the payment of wages to women had been altered by the Orders made by the Minister of Munitions under Section 6 of the Munitions Act of 1916; and, for a number of women largely in excess of a million, the provisional rate at the conclusion of the war was in the neighbourhood of 7d. to 8d. per hour. It was recognized that if upon the return of peace the protection offered by the Munitions Acts was suddenly withdrawn a reduction of wages of a very disturbing character might ensue, and that it was desirable that the large number of persons, both men and women, in the unorganized trades, should have a similar measure of protection to that which had been already offered by the Trade Boards Act to those whom it covered.

The new Act made two amendments of a far-reaching character: (a) The minister was empowered to apply it to any specified trade " if he is of opinion that no adequate machinery exists for the effective regulation of wages throughout the trade, and that accordingly, having regard to the rates of wages prevailing in the trade, or any part of the trade, it is expedient that the Act should apply to that trade." (b) In place of the procedure for application of the Acts by Provisional Order, provision was made for the making of a special Administrative Order, the latter a shorter process than the former, although revision of the minister's proposals by Parliament is still provided for.

Further amendments made by the new Act extended the powers of trade boards with regard to the classes of rates of wages which they could fix, and gave them also the right of requiring Government departments to consider any proposal concerning the conditions in their trade which they might care to make.

The effect of the new Act was to make the Acts applicable to a much larger area of industry and to render legislation no longer a means of protection for sweated trades only. This extension of the scope of the Trade Boards Acts, apart from its desirability, having regard to the special conditions likely to prevail during the reconstruction period, was recommended also by the Committee on the Relations between Employers and Employed, presided over by Mr. J. H. Whitley, M.P. This Committee subsequently recommended that, while joint industrial councils should be established for trades which were sufficiently organized to control their own wage matters, it was equally desirable that trade boards should be established for trades which had not yet reached that degree of organization on both sides which would make possible the complete observance of agreements arrived at between organizations. It was made clear that there was no conflict between the two forms of joint organization, and that each was adapted to and intended for a different degree of organization in the trades concerned. In practice the principle indicated by the Whitley Committee was the guiding principle in the establishment of joint industrial councils and trade boards.

A rapid extension of existing trade boards followed, with the result that, at the end of 1920, 49 additional trade boards for England, Scotland, Wales and Ireland had been set up in the following trades, covering about 32 million persons: - Great Britain. Boot and shoe repairing. Brush and broom.

Button making.

Coffin furniture and cerement making.

Corset.

Cotton waste.

Flax and hemp spinning and weaving.

Fur.

General waste.

Hair, bass and fibre.

Jute spinning and weaving. Laundry.

Linen and cotton handkerchief, etc.

Made-up textiles.

Paper bag.

Perambulator and invalid carriage.

Pin, hook and eye and snap fastener.

1 Retail bespoke tailoring. Readymade and wholesale bespoke tailoring.

Rope, twine and net.

Stamped or pressed metal wares. Tobacco.

Toy.

Wholesale mantle and costume.

England and Wales. Aerated waters.

1 Previously the Readymade Tailoring Trade Board (1909). In 1919 two new boards were constituted.

Dressmaking and women's light clothing.

Grocery and provisions. Hat, cap and millinery. Milk distributive.

Scotland. Aerated waters.

Dressmaking and women's light clothing.

Hat, cap and millinery. Milk distributive.

Grocery and provisions.

Ireland. Aerated waters.

Boot and shoe repairing.

Brush and broom.

Dressmaking and women's light clothing.

Flax and hemp spinning and weaving.

General waste.

Hat, cap and millinery. Laundry.

Linen and cotton handkerchief, etc.

Milk distributive.

1 Retail bespoke tailoring. Readymade and wholesale Ro bespoke tailoring. pe, twine and net. Tobacco.

Wholesale mantle and costume.

The Trade Boards Acts provide for the appointment of joint bodies, consisting of an equal number of employers' and workers' representatives, together with a minority, usually three or five, independent members known as appointed members. In trades in which women are employed one of the appointed members is a woman. The members of trade boards are all appointed by the Minister of Labour (originally the president of the Board of Trade), who, in the appointment of the employers' and workers' representatives, is hound to consult the organizations on each side respectively. The appointed members are impartial persons of standing nominated by the minister. The procedure of the boards is regulated by statutory regulations made by the Minister of Labour. Such regulations usually make provisions for a method of voting, and the regular reconstitution of the board; in all cases it is provided that no new appointment shall be made to the board by the minister until the board has had an opportunity of being heard. The boards are provided with secretarial assistance by the Ministry of Labour. They have power to form district committees for such areas as they may consider to be necessary, the members of which, like the members of the boards themselves, are appointed by the Ministry of Labour.

The boards are compelled, unless the Minister of Labour relieves them of the duty, to fix a general minimum time-rate for the workers engaged in the trades concerned. A trade board must also in certain cases fix special minimum piece-rates on the application of an employer. A board has power also, if it so desires, to fix general minimum piece-rates, guaranteed minimum time-rates, overtime-rates, rates for special classes of workers, rates for special areas, rates for special processes, rates for any class of work in any special process or in any special area and piece-work basis time-rates. Rates may be fixed so as to come into operation successively on the expiration of specified periods, or to be valid during a specified period. For the purposes of fixing overtime-rates a trade board may declare what are the normal number of hours in the trade during which ordinary rates of wages are payable, but they have no power to limit the number of hours worked.

In fixing a minimum rate so as to apply to any class of workers in a trade, a board may attach to the fixing of the minimum rate a condition that workers who are members of a class must be holders of a certificate from the trade board, or, if the persons are learners, such conditions as the trade board considers necessary for the instruction of these persons in the trade.

Decisions of trade boards come into obligatory operation by confirming order of the Minister of Labour, and the determinations of trade boards have no force until so confirmed. A board's proposals must be published for two months, during which time employers or workers may lodge objections. On the expiration of the two months the board may proceed to fix the rates. If, in the light of objections, they wish to make substantial alterations, they must issue new proposals. The rates when fixed are sent to the Minister of Labour, who must forthwith take them into consideration and, except in special circumstances, either make an order within a month making the rates obligatory or refer them to the board for reconsideration. By this procedure all those engaged in the trade are fully informed as to the proposals, and are given full opportunity of making observations on them, and, further, Parliament, through the Minister of Labour, can be assured that conditions harmful to the general interests of the community are not made binding by statutory rates. If district committees have been established, a trade board, before proposing rates, is compelled to give the district committee concerned an opportunity of being heard on the subject.

The Minister of Labour may at any time direct a trade board to reconsider rates of wages which may be in operation, although he has no power himself to fix rates of wages.

When rates of wages have been made operative they are enforced by inspectors appointed by the Ministry of Labour, and penalties for offences, such as non-payment of rates of wages, failure to post such rates, or keep records, are punishable by fine or imprisonment.

A trade board has power to exempt employers from the payment of minimum rates of wages in respect of workers who, through age or infirmity, are rendered incapable of earning the minimum time-rate, provided that the cases cannot suitably be met in the opinion of the board by employing the worker on piece-work.

Apart from the fixing of minimum rates of wages, the certification of learners and statutory and wage-fixing duties, the trade boards also act as joint consultative bodies for their trades, and have been so recognized by the Government for the purpose of advising them as to the training of disabled men, the training of apprentices, the settlement of disputes and other important matters.

In Sept. 1921 a Committee of Inquiry into the working of the Trade Boards (which was being severely criticized in various quarters) was appointed by the Ministry of Labour, under the chairmanship of Viscount Cave. (H. WF.)

Bibliography Information
Chisholm, Hugh, General Editor. Entry for 'Trade Boards'. 1911 Encyclopedia Britanica. https://www.studylight.org/​encyclopedias/​eng/​bri/​t/trade-boards.html. 1910.
 
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