Current Social and Economic Issues

GA 332b — 13 January 1922, Stuttgart

Address and Contributions to the Meeting of the “Kommenden Tages” Works Councils

Rudolf Steiner opens the meeting by saying that it was no longer possible for him to attend the works council meeting in person; however, he asks that everything that is deemed necessary be brought forward at this moment.

[The question of the rights and duties of the works councils within the “coming day” is raised and Rudolf Steiner is asked to clarify this.]

Rudolf Steiner remarks that it is indeed very important and very good to bring about such discussions, and it will always be very good. He would also be willing, as far as possible, to accept such invitations to discuss, only it would be necessary to be able to determine what the subject of the discussion actually is.

He says: I believe you are still suffering to a great extent from the assumption that the “Coming Day” could somehow be a realization of what was expressed as an idea in the lectures back then. I can only say that the idea that was expressed has, of course, not been realized in the slightest today. Just consider what would have been needed to realize this idea: in those days, it would have taken a united labor force – without that, nothing could have been done – and that did not materialize. And one can only say: the idea that was expressed has basically been dropped for the time being. And today, we must be particularly sorry about that, because in reality, we are now in a position in German economic life that we can say: what is present in German economic life today is actually only an illusion, a sham.

The world today can no longer exist as anything other than a unified economic entity. There must be unified economic entities that combine to form a distinct world economy. The artificial borders of national and state economies today make it all the more clear that it is no longer possible to manage without a world economy. In today's world economy, which nevertheless exists, the situation is such that basically the whole of economic life today is based on appearances. Take the following: we still have a wage economy today; it finds its opposite pole, as does the capitalist economy in general, in that idea which I tried to propagate at the time. As long as we have a pure wage economy, the whole economy is dependent on the wage economy. Wages are, so to speak, a barometer of what is happening in the economy as a whole.

You see, the working class is pretty much the largest number of people on earth, as far as economic life is concerned. If you convert today, for example – and somehow you have to convert – if you convert wages today according to the value of the Swedish krona, the American worker receives a daily wage of about 120 to 123 Swedish kronor, the German worker 19 to 21 Swedish kronor. This is roughly true, even though some small changes have occurred in recent weeks. The workers of all other countries or states fall between these two limits. Now, I ask you: the American worker receives a wage six times higher than the German worker, although it has been proven that he does not produce more than the German worker if he works accordingly.

In this way, it is impossible to speak of being within economic life; all this is conceived under the assumption that we have a world economy, because the fact that we still have a country or state economy should mean nothing at all, since a large part of the available values circulates throughout the world. It is clear that major disruptions must occur as a result.

We are living today in impossible economic conditions, in Central Europe in the most impossible of all. And one can feel sorry when one considers that our ideas were propagated at that time out of this realization. These ideas have actually fallen by the wayside to this day, because, as you will understand, the “Coming Day” cannot be much different from any other undertaking, as capitalist as all other undertakings are. We can only plan to be there for a future where something can perhaps be done, to intervene, so that a number of people are together who can intervene. As long as conditions remain as they are now, the economic principle itself will not allow the “Day to Come” to bring about many changes.

The whole world is curious to see how the “Day to Come” will cope with the very idea of how the working class can work in the “Day to Come”. Basically, no information can be given yet, nothing essential can be shown. And so I thought we could very well talk about what your individual complaints are, what could be different in detail. Realized what was propagated as ideas back then – I would not want this misunderstanding to arise, as if it were said of me that the “Coming Day” [had] realized something of the ideas of threefolding: That is nonsense! We should talk about what is bothering you, because there seem to be some pressing shoes that could cause discomfort. But if we talk about what is bothering you, then I also want everything to come out and nothing to remain closed. And so, before I say anything, I would like the gentlemen to speak freely.

[They do not want to raise complaints, but to discuss whether “statutory” works councils should be elected, since the existing works councils had been elected from the threefold social order movement before the Works Councils Act came into force. If these do not work to satisfaction, new ones would have to be elected.

Rudolf Steiner means the same. The question is whether the employees of Waldorf-Astoria at the time the law came into force agreed to the continued existence of the old, previously elected works council. But this was the case here.

[Further comments on this.]

Rudolf Steiner: Today it is certainly difficult to ask the question of whether statutory works councils should be introduced or not, because the Works Councils Act simply prescribes works councils that are elected in accordance with the law. As long as this law is not changed, no works councils as envisaged by the idea of threefolding can actually be considered, because this would then only be a corporate body that exists alongside a statutory corporate body. We would then have to resume the whole threefolding movement in the first place, because basically we no longer have an actual threefolding movement. If we want to elect works councils based on the idea of threefolding, then we also have to assign them a task, because in the current economic life these works councils have or would have no task to fulfill.

[Further discussion and expressions of dissatisfaction to the effect that the works councils are not taken seriously enough by the plant managers.

Rudolf Steiner points out that it depends on the degree to which the employees are convinced that things can go better with the “Coming Day” than with any other undertaking, and says: I myself am not an entrepreneur myself and therefore cannot take the entrepreneurial point of view in my personality, but on the other hand, when questions arise, I have to take a position on them so that what is said is really meaningful. What I mean is that if you are arguing, if you are arguing about something, then you have to know what you are arguing about, because for me it is not the argument that is important, but what we are arguing about. If I am to speak about the rights and duties of the workers' councils, I cannot do so in general terms, about any workers' councils that may be on the moon. I would have to do it for the workers' councils that are in the 'coming day'. And I can only do that based on very real circumstances. And here it is urgently necessary that we talk about it today, because you will have been informed about how you feel that the “dawning day” cannot do anything in the coming economic struggles and that the workers in our individual companies will therefore be forced to proceed with the rest of the working class. Then you will get a real character. Before that, it is of course something that cannot be said one way or the other – I will tell you later why I think so, one can look at it that way. We can talk about it today in such a way that none of the labor-friendly ideas of the “Coming Day” have been realized, even though the general attitude is benevolent. But as long as we don't go into individual things, nothing comes of it. And I would therefore like to see it as a condition for me to speak, that you present very specific, concrete complaints, which I will then address. Without knowing what your concerns are, I will not be able to say anything about them.

[Further comments to the effect that people wonder whether the “coming day” could give the working class a secure existence, that the works council is not trusted enough, that one is only seen as a worker, not as an equal human being.

Rudolf Steiner: Yes, my dear friends, that is the feeling I meant; I wanted to be aware of it before I go into the question raised in more detail.

[Further discussion about this and about trade union issues.]

Rudolf Steiner: So you meant that we should establish tangible, fixed sentences about the rights and duties of the works councils. This would certainly not be so difficult if we just had the good will to draft such a paragraph, in which we say that these are the rights and these are the duties of our works councils. Unfortunately, however, that is not the case. I believe that if we really managed to create such an ideal paragraph, all employees would agree with it – and not only that, they would also be highly satisfied with it. But in such a short time, conditions will not have changed and the mood will not have changed either. The point is not to take measures, one should have these and these rights and duties. But the point is to achieve something at such meetings that also corresponds to the conditions outside. To give you an idea of my way of thinking, I would like to share the following with you.

Since we last met here, I myself had to initiate a matter that arose from the needs in Dornach. I have also spoken here about lectures, and these have been given in Dornach [to the workers on the Goetheanum building site] by a prominent person. Not much has come of this, except that after we held works council meetings, we realized that the people in Dornach have a strong need to hear something about economic life. I then decided that I would give these myself. You have to bear in mind the circumstances, as I have already described them, at the Dornach building. The Dornach building is not what an economic-capitalist enterprise is. The Dornach building is a prime example of a non-capitalist enterprise and cannot be compared as such with the 'Kommenden Tag' or the 'Futurum AG' in Basel or with any other similar association. The Dornach Building belongs to no one; there is no entrepreneur there. Therefore, everything that is processed in it is transformed into wages for those who work there. Is it not the case that what still comes into consideration at the Dornach Building is that present-day economic life reaches into it from two sides; but there it is “refracted”. On the one hand, it is this: It has to be built with the capital that is made available. If the Dornach building exploits anyone, it is the capitalists, because they have to provide the capital. I would almost like to say that a large part of it goes 'perdu', as a large part of it never gets returned. In any case, the workers can see clearly there, and that is the one side where capital shines in and refracts: capital ceases to be capital as soon as it comes to Dornach.

Secondly, our workers belong to trade unions. And you will admit that, for example, if you yourself have the sense to give our workers 2/3 more wages by exploiting capital even more, it would make no sense in the economy as a whole and would be most strongly opposed by the trade unions. They would then say: There is the Dornach building, it does not want to be characterized as a capitalist enterprise, it wants to realize something of what is present in the idea of threefold social order. So you can see that this cannot be a question of wages or capital, but rather the question of price, as the conditions here protrude from two sides. People would think we were crazy if we paid wages that we were not forced to pay.

But what makes things easier, especially during the lectures, is something that is of course child's play to see: this is not a capitalist enterprise. This kind of mistrust that you have towards the “Kommenden Tag” – and that cannot be denied – cannot exist in the Dornach building. It makes no sense for the workers there to be mistrustful, and the workers there speak out in good faith. Some who are not entirely objective would like to think differently, but this trust is already there; it makes it possible to speak freely. That is why I have – the lectures have only been given recently, in the meantime I also had the trip to Norway, and something like that cannot be done very quickly if you want to achieve something – but the main emphasis is on the workers in Dornach learning about the reality of economic life. I must confess that it gives me the greatest satisfaction to see how more and more people are beginning to understand that we have all been misjudging economic life.

When faced with the task of educating laypeople, one is aware of the current situation. Let us assume, and it would be very interesting if later on a person would like to touch on this point by asking a question, let us assume we have the workers of some company, they draw up some guidelines about the rights and duties of the workers of this company, the management can approve the question or not. I say it is right, and I believe that any honest person must say this: Whatever the employers say, it has no value at all; they can say, 'We agree to everything', or 'We agree to nothing' – the way today's economic life is, the economic structure is nonsense. No entrepreneur today knows how profitable his business is or how it is doing; he does not know what he can promise and what not if he wants to be honest. That is the situation, and if economic struggles are imminent today, then an entrepreneur cannot say whether or not he can offer his workers a guarantee, because he cannot know, because economic life has been ridden into the dirt.

As soon as someone concretely tackles economic life as it is today and addresses such things, something comes out that is tremendously instructive. Imagine someone thinking about calculation and writing an essay about it, which in and of itself is extremely instructive. The content of this essay must, of course, be to assess economic life, but at the end of this essay, there is the very significant question, the conclusion to which he has come by thinking about calculation: Can we calculate or can we not? Does something come of it? — We cannot cope with today's conditions. That is what can be read in the essay, and it is the confirmation of what I have observed for ten years: that we have arrived at a complete deadlock in economic life. In this context, it seems to me to be of little importance whether one can say today that we must reach an agreement with the eight million organized workers if we do not want to be marginalized, or because we cannot reach an agreement and be left hanging in the air.

I tell you that when you understand the nonsense of today's economy, you can say: When the next economic struggles come and go as they will, the eight million organized workers are united, then nothing will happen but that our economic life will be led or pushed even further down its slippery slope and that all the bankrupt enterprises will collapse as a house of cards. The organizations, which comprise eight million people, cannot believe that under the present conditions they can achieve anything at all that needs to be achieved; there is no question of that. Economic life will be destroyed even more.

What is needed first today is to be able to do business at all, because in the business itself, one has really come to the “non-sense” today: There is really no sense to what is being done in economic life, because nothing is in context: we are faced with a brick wall. This can be seen, and the Dornach workers have also seen this; they have gained an appreciation that we have entered into 'non-sense' in economic life. If you look at a business enterprise today, do you think you will find anyone who has any sense of the word when you talk sensibly about economic life? If you take an economist with whom you want to talk about a company, he will point you to the bookkeeping, because everything is in there. In reality, however, nothing is in it; it is nonsense to believe that anything can be seen from the accounting about the course of a business.

These things have become very clear to me through my observations over the last few years, and it is not so easy to talk about them. Take a balance sheet, the result is nonsense. It is similar to that famous Prussian privy councillor who calculated that if you invested the actually small amount of 300,000 marks for three hundred years in interest and compound interest, you could then pay off the entire debt of the Prussian state. You can do the math if you want, but the reality is that after three hundred years you won't find a button made out of the money. Because it is not enough to believe that you can keep adding interest to the accumulated capital; after all, the money cannot come from anywhere other than from economic life, from production, from working with capital, and by then not only the banks that are entrusted with the safekeeping of the money, but also the money itself will have perished. Reality is therefore quite different from the calculation.

Today, the will to such nonsense is present in the whole of economic life; reality wears it down and shatters it. What goes on in a factory today is something completely different in economic life than what is written in the books. No one wants to go into it, no one wants to be bothered with a real insight into economic life, which is needed today. That was also why the idea of the works council had not been maintained at the time. You just have to start from the beginning, but I don't want to talk about how the matter was settled back then. I actually presented it as the most important question.

But now we should talk about the rights and duties of the workers' councils. The important thing here is the standpoint that arises from the circumstances. That is precisely the one that says: the way things are going now, they cannot go on like this anyway. The workers will therefore have to remain in the organizations; you cannot tell them to leave because you cannot help them if they leave; the circumstances are not there for that. You cannot look at the movement that has been there for about 25 years, because you won't get anywhere; but you have to look at it that way, and that is what I have to keep drawing your attention to.

Once, as a very young boy, I was standing at the window of our apartment in Neudörfl, near Wiener Neustadt, when a small group of Lassalleans, who at that time still held their meetings in relative secrecy, , because we have to bear in mind that this was at a time when there was nothing of the trade union life that exists today; so there were only a few people. Meanwhile, however, everything that is in this movement in Austria and Germany today has come about. We can say that it has progressed relatively slowly from this small group. We cannot say that the conditions were against our movement, as they were then. It was not that the conditions were against it; the conditions were in favor of it, in that large masses were open to the threefold order. What was against it was the slight deception practised by the labor leaders, and it is certain that the eight million will not do anything either – they cannot do anything. My opinion is this: Regardless of whether we are in the unions or not, it is not a matter of leaving the union, but rather of uniting, however small, in a reasonable way within all those who participate in the “Kommenden Tag”. It would set an example, and we must work towards such examples. I believe that there is something positive in this idea, and this can best be shown if, quite independently of the union principle, the workers of all the companies that belong to “The Coming Day” can do something sensible on their own initiative. But for that, unity is necessary, as well as a real insight into the “non-sense” of the current economic system. A reasonable economic life must be rebuilt, because nothing can be made out of today's economic life.

And so I think – no, I would like to say – you say: Rights and duties of the works councils should be established. If I now say: No, rights and duties can only be granted by someone who has rights and duties to do so. If you were to ask me what rights and duties I have in the “coming day,” I would have to say that I know nothing about it, any more than you do; it also depends entirely on the circumstances. Actually, everyone should have as many rights and duties as they can assert, and that would indeed come about. But if you want to set up paragraphs, if you want to have insights into the course of production, that doesn't have much content, and not much comes of it either. Isn't it true that the point of the course of production is that the person who regulates it also knows how the wind blows – not to keep some secret. First of all, it must be made possible for all those who want to work together to know something about economic life.

You see, if I disregard the “day after tomorrow”, where the most insightful people are – we cannot take our examples from the “day after tomorrow”, but you can take any other company. There you just have to have the insight to be able to have a say in production. I am convinced that if you wanted to ask questions in your way, the people concerned would not be able to provide any insight because they don't have any themselves. Today's economic life is a game of chance, and that is precisely what makes it difficult. Here we come to realize that it is much more important to discuss with the workers, so that we can understand what we are supposed to do in economic life, which is so dependent on the state.

I would also like to remind you of something: [the entrepreneur] Stinnes. When we started the threefold order, Stinnes was not yet there. I did not make light of the threefold order. Stinnes only came about because the threefold order fell through; the whole Stinnes movement is based on that. Stinnes is a really ingenious fellow. I wouldn't want to say that he is a crook; he is just a “seedling” of entrepreneurship, but in any case he has much greater insight than others. Stinnes once said: Yes, we can manage things that way. But if you want to do things the way German workers want to do them, you won't get anywhere. He knows that the workers cannot manage, and this should create insight. They debate all sorts of things, but not production. And so he continued: We can wait until the workers are at our doors begging for work. Stinnes is counting on the workers being at the doors begging for work.

With regard to the rights and duties of works councils, it is certainly true that they can have the most extensive rights; and as soon as something really positive can be put forward here, we can always express ourselves here when the opportunity arises; it can be discussed here. But to set a paragraph about this, in my opinion, is of no use at all, because we are doing it in an economic life in which we have arrived at “positive nonsense”. We live from hand to mouth today; after all, no one can do more than is already being done. But that will soon burst. What the employers are counting on today is the disunity of the workers, and the employers will always have ways and means to maintain the disunity of the workers and ensure its continued existence. Even if there were no economic chaos, the German labor force could only hope to achieve partial success by acting in unison, but something substantial could still be done. However, if things continue as they have done so far – strikes here and there – it will only weaken the labor force, not strengthen it. This non-uniform approach is something that significantly worsens the position of the workers. I don't think much of the fact that there could be fear of the eight million.

Something that could have prospects is if the workers of our companies in Stuttgart really came together, that they could come together and talk sensibly about economic life for once. In my opinion, this is the greatest task that needs to be accomplished. And it cannot be done by finding the lectures a little better or a little worse. Because anyone who wants to talk about economic life today really has to be an experienced person who can see into the circumstances. Today, this experience cannot be drawn from all kinds of writings, because of all the sciences that are practiced today, the one that is presented as political economy is the most “mindless”.

Mr. Leinhas, in his lecture at our anthroposophical congress, did an exemplary job of 'killing off' Robert Wilbrandt, at least in scientific terms. But Wilbrandt is still a perfectly decent guy. If we were to name just one of our other clients, however, we would come up with something much worse. And this is only because we have no economics, no knowledge, and today it must necessarily be formed out of experience. Almost nothing that is said in this field is useful; apart from the individual flashes of light that appear on the basis of the threefold social order. But the possibility should be created for a large number of people to see how things actually are in economic life.

When I gave my lectures here at the beginning, the wife of a socialist minister told me that she could not understand why so many people came to my lectures, that I did not promise people anything and only ever told them what they had to do. And that is how it is, dear attendees. You cannot define the rights and duties of the workers' councils if the circumstances are simply not right. If we really want to start from a center to determine what is worth doing, then this is it: that all of you can help to achieve something from here, how best to operate, by preparing the ground. We can promise ourselves that the matter may have an immense practical value in a year's time, if the working class unites in unity, independently of the trade union question, in order to achieve something. We have seen that in Dornach, for example, it is necessary to first agree on insights. If one were to examine the conditions of economic life independently of whether one is a worker or an entrepreneur, then one would be able to make progress. Then one might also be able to cut Stinnes off at the source. It will depend on whether you come to an agreement with 'Der Kommende Tag'; then perhaps the day will come for 'Der Kommende Tag' when Stinnes takes it over. Such are the circumstances. If you can create something positive by joining forces, then we can talk about the question, then there must be agreement. The managers of our operations are striving to make progress in social relations. The managers of the individual operations are also sighing. But if the workers of the individual operations join forces, then there is a core that can make progress.

[In the following comments, reference is made to the difficult situation that also makes it difficult for the plant managers to gain insight into production. Reference is made to the efforts to set up a company health insurance fund and a pension fund and to provide food from the agricultural enterprises of “The Coming Day” to the workers.

Rudolf Steiner: The question of setting up a pension fund and of utilizing the agricultural operations for the workforce is very interesting and can certainly be fruitfully discussed, but it must be ensured that the right people are put in charge.

[It is reported that the company health insurance fund is as good as certain thanks to the benevolent support of the government. With regard to the deliveries of agricultural produce, it should be borne in mind that such things can drive people apart.

Rudolf Steiner expresses his hope that these institutions, which are in preparation and have often been beneficial in other companies, will be well developed here as well. He also mentions, with regard to the company health insurance fund, that it is very desirable in our efforts to achieve a rational art of healing that something be done in this area in particular. With regard to agricultural enterprises and their utilization for the workforce, he points to an example that occurred in the Anthroposophical Society.

He was the owner of a mill and also a baker who baked excellent bread. The circumstances forced the man to make his bread more expensive, and it was clear that no one had the will to make just a small sacrifice to help the cause. On the contrary, they said, “Yes, the bread is so good, you eat so much of it.” And if I take the other bread, you don't use nearly as much.” Now, of course, precisely this bread distribution had to be stopped due to the war conditions; otherwise, however, the attitude would have been the same.

Rudolf Steiner continues by saying that an article had recently appeared in an English newspaper about a businessman who owned a large farm and wanted to prove that it was no longer possible to make a profit. He calculated all the profits that the business could bring him in a year and then came to the conclusion that only 17 pence would remain for him at the end of the year.

[Emil Leinhas adds another example. It is hoped that the works councils will now be able to work productively after these explanations, which Rudolf Steiner confirms.

Rudolf Steiner: You see, Mr. Biehler was right to speak of the tax issue, which the workers must oppose. But now, you have woven in a small sentence, to which I must actually attach a little significance. You said: If the workers unite, then the eight million organized people will achieve something from the government. I must say that today the government basically does not care what it taxes; it just wants to have taxes. Only through this senselessness has the entire economy come to where it is today, by simply caring about how something is done. As long as this government lasts, it is also out of the question that the working class will achieve even a fraction of what it really needs.

The most important question today is the question of unemployment, and a lot has been said about it, but ultimately no one has yet considered that unemployment as it exists today cannot exist at all in a regulated economic life. Isn't it true that people who work for each other, everyone works for the other. So if unemployment were justified, so many people would no longer need anything at once. On the other hand, there is no correction at all from the current circumstances; one cannot say that unemployment exists to the extent that it exists in Switzerland, at the Entente and so on for this and that reason. The atrocious conditions we are facing can only be appreciated when you consider that so many people have been killed by the terrible war. But unemployment cannot be a consequence of this war, because if so many people are dead, it should only lead to unemployment becoming less and less.

Recently there was an economic meeting; there was talk that there are a number of recipes for remedies that are available to us. Isn't it true that the utilization of these remedies will one day be productive, but today they are just a thought. And then someone came up with the idea that you could simply copy the recipes and include them in the assets of a company. This item would be honestly meant under certain circumstances, because you could really bring it out. On the other hand, however, if no one can be found to support the matter, it is of no value at all.

But there is a way in which it can be safely included in the books, and that is to take out patents for it and pay for them, and then you can put it in the books at that value. After all, that is not what happened here with the recipes for the remedies, and yet a way is provided to exploit the value of the recipes. When someone earns a lot or a little money, they don't want to distribute profits right away, so they make write-offs or set aside reserves. With us, what can be raised under certain circumstances goes into real reserves, which can then, at a time when many of the things being produced today will have collapsed, can then support many things again.

[Words of thanks to Rudolf Steiner for his remarks and emphasis on the will of the workers' council to penetrate the economy.

Rudolf Steiner once again briefly refers to the already mentioned desirable union of all workers in the “coming day” and that something truly valuable for economic life could certainly arise from it in the not too distant future, if everyone has the will to work together in the right way. We must always be mindful of the “non-sense” of our present economic life; this would provide the right incentive for the right work. He would be happy to accept the invitation of the workers again as soon as the opportunity arose, in order to support them with any advice.