Articles by Engels in the Labour Standard 1881
Source: Reproduced from the newspaper;
Written: early August 1881;
Published: No. 14, August 6, 1881, as a leading article;
Transcribed: firstname.lastname@example.org, Labor Day 1996.
The question has often been asked, in what degree are the different classes of society useful or even necessary? And the answer was naturally a different one for every different epoch of history considered. There was undoubtedly a time when a territorial aristocracy was an unavoidable and necessary element of society. That, however, is very, very long ago. Then there was a time when a capitalist middle class, a bourgeoisie as the French call it, arose with equally unavoidable necessity, struggled against the territorial aristocracy, broke its political power, and in its turn became economically and politically predominant. But, since classes arose, there never was a time when society could do without a working class. The name, the social status of that class has changed; the serf took the place of the slave, to be in his turn relieved by the free working man -- free from servitude but also free from any earthly possessions save his own labour force. But it is plain: whatever changes took place in the upper, non-producing ranks of society, society could not live without a class of producers. This class, then, is necessary under all circumstances -- though the time must come, when it will no longer be a class, when it will comprise all society.
Now, what necessity is there at present for the existence of each of these three classes?
The landed aristocracy is, to say the least, economically useless in England, while in Ireland and Scotland it has become a positive nuisance by its depopulating tendencies. To send the people across the ocean or into starvation, and to replace them by sheep or deer -- that is all the merit that the Irish and Scotch landlords can lay claim to. Let the competition of American vegetable and animal food develop a little further, and the English landed aristocracy will do the same, at least those that can afford it having large town estates to fall back upon. Of the rest, American food competition will soon free us. And good riddance -- for their political action, both in the Lords and Commons, is a perfect national nuisance.
But how about the capitalist middle class, that enlightened and liberal class which founded the British colonial empire and which established British liberty? The class that reformed Parliament in 1831,  repealed the Corn Laws,  and reduced tax after tax? The class that created and still directs the giant manufactures, and the immense merchant navy, the ever spreading railway system of England? Surely that class must be at least as necessary as the working class which it directs and leads on from progress to progress.
Now the economical function of the capitalist middle class has been, indeed, to create the modern system of steam manufactures and steam communications, and to crush every economical and political obstacle which delayed or hindered the development of that system. No doubt, as long as the capitalist middle class performed this function it was, under the circumstances, a necessary class. But is it still so? Does it continue to fulfil its essential function as the manager and expander of social production for the benefit of society at large? Let us see.
To begin with the means of communication, we find the telegraphs in the hands of the Government. The railways and a large part of the sea-going steamships are owned, not by individual capitalists who manage their own business, but by joint-stock companies whose business is managed for them by paid employees, by servants whose position is to all intents and purposes that of superior, better paid workpeople. As to the directors and shareholders, they both know that the less the former interfere with the management, and the latter with the supervision, the better for the concern. A lax and mostly perfunctory supervision is, indeed, the only function left to the owners of the business. Thus we see that in reality the capitalist owners of these immense establishments have no other action left with regard to them, but to cash the half-yearly dividend warrants. The social function of the capitalist here has been transferred to servants paid by wages; but he continues to pocket, in his dividends, the pay for those functions though he has ceased to perform them.
But another function is still left to the capitalist, whom the extent of the large undertakings in question has compelled to "retire" from their management. And this function is to speculate with his shares on the Stock Exchange. For want of something better to do, our "retired" or in reality superseded capitalists, gamble to their hearts' content in this temple of mammon. They go there with the deliberate intention to pocket money which they were pretending to earn; though they say, the origin of all property is labour and saving -- the origin perhaps, but certainly not the end. What hypocrisy to forcibly close petty gambling houses, when our capitalist society cannot do without an immense gambling house, where millions after millions are lost and won, for its very centre! Here, indeed, the existence of the "retired" shareholding capitalist becomes not only superfluous, but a perfect nuisance.
What is true for railways and steam shipping is becoming more and more true every day for all large manufacturing and trading establishments. "Floating" -- transforming large private concerns into limited companies -- has been the order of the day for the last ten years and more. From the large Manchester warehouses of the City to the ironworks and coalpits of Wales and the North and the factories of Lancashire, everything has been, or is being, floated. In all Oldham there is scarcely a cotton mill left in private hands; nay, even the retail tradesman is more and more superseded by "co-operative stores", the great majority of which are co-operative in name only -- but of that another time. Thus we see that by the very development of the system of capitalists' production the capitalist is superseded quite as much as the handloom-weaver. With this difference, though, that the handloom-weaver is doomed to slow starvation, and the superseded capitalist to slow death from overfeeding. In this they generally are both alike, that neither knows what to do with himself.
This, then, is the result: the economical development of our actual society tends more and more to concentrate, to socialise production into immense establishments which cannot any longer be managed by single capitalists. All the trash of "the eye of the master", and the wonders it does, turns into sheer nonsense as soon as an undertaking reaches a certain size. Imagine "the eye of the master" of the London and North Western Railway! But what the master cannot do the workman, the wages-paid servants of the Company, can do, and do it successfully.
Thus the capitalist can no longer lay claim to his profits as "wages of supervision", as he supervises nothing. Let us remember that when the defenders of capital drum that hollow phrase into our ears.
But we have attempted to show, in our last week's issue, that the capitalist class had also become unable to manage the immense productive system of this country; that they on the one hand expanded production so as to periodically flood all the markets with produce, and on the other became more and more incapable of holding their own against foreign competition. Thus we find that, not only can we manage very well without the interference of the capitalist class in the great industries of the country, but that their interference is becoming more and more a nuisance.
Again we say to them, "Stand back! Give the working class the chance of a turn."
1 This refers to the movement for Parliamentary reform in England in 1830-31. The 1832 Reform Act in England granted the franchise to property owners and leaseholders with no less than £10 annual income. The workers and the petty bourgeoisie, who were the main force in the campaign for the reform, remained unenfranchised.
2 The laws passed by the British Parliament on June 26, 1846 -- "An Act to amend the laws relating to the importation of corn" and "An Act to alter certain duties of customs" -- abolished all restrictions on the import of grain into Great Britain, which was a major victory for the industrial bourgeoisie over the landed aristocracy.