THE BONUS SYSTEM 101 



to the housing and the general conditions of Hfe of the 

 agricultural labourer. The provision of proper hous- 

 ing accommodation is imperative and urgent. 



Paragraph 154 of the Majority Report is as follows : 



"154. Some farmers pay an amiual bonus to their em- 

 ployees when the results of the year's farming have been 

 satisfactory. This is a practice which should be encouraged, 

 as it tends to increase the men's interest in their work. In 

 one case of which we have particulars the giving of annual 

 bonuses has developed into a system of profit-sharing which, 

 while it could not be applied to the farming industry gener- 

 ally, could, we think, be followed on many large farms, with 

 advantage both to the men and their employer. The bonuses, 

 on the farm to which we refer, are either paid in cash or 

 invested in the farm, whichever the men prefer. The men 

 may add to their credit accounts with the farm any savings 

 of their own or of their families. They are guaranteed interest 

 at the rate of 4 per cent, on their investments, and, in addi- 

 tion, they are paid at the end of the year such dividend as 

 is earned by the farm after expenses have been deducted. 

 The result of the scheme, which has been in operation since 

 1908, is that more men leave their money in the farm each 

 year, and some of them have accumulated in this way over 

 £100 each. Investments, which in the aggregate amount to 

 several thousand pounds, may be withdrawn at a month's 

 notice, and are repaid, with interest, on a man leaving the 

 farm. 



" Schemes of this kind, if more widely adopted, might 

 have the effect of retaining agricultural labourers on the 

 land, of encouraging thrift, and of improving the relationship 

 between employer and employed. While a worker is entitled 

 to an adequate wage without reference to the profits earned 

 by his employer, the knowledge that he will directly benefit 

 from the prosperity of his employer will undoubtedly stimu- 

 late his industry and lead to an improvement in the quality 

 of his work." 



Paragraphs 155-161 are as follows : 



*' 155. One of the greatest obstacles in the way of retaining 

 men in the country in the years before the War was the lack 

 of good cottage acconmiodation in many parts of England 

 8 



