The Origins of Industrial Conciliation and Arbitration

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Abstract
Trade unionism has always involved the settlement of industrial disputes by negotiations between workers' representatives and employers. On occasions in the eighteenth and first half of the nineteenth centuries demands made by workers or employers were granted without question by the other side; at other times the demands were rejected out of hand and this was acquiesced in by the other side. In between these extremes lay a number of possible outcomes. Demands were sometimes conceded after strikes or lockouts or they were moderated and then accepted. The precise outcome depended upon the state of the labour market, and hence the degree of labour organization, and the cost position of the employers. These factors not only varied over time but differed in their intensity between industries and firms at any one point of time. The extreme situations occurred at high and low levels of employment. In the competition for labour, which a high level of employment implies, employers readily gave way to collective demands but as commodity markets deteriorated and the volume of production declined, they at first resisted claims which would have increased labour costs and then deliberately set out to cut wages, lengthen hours and intensify work. Workers commonly resisted initial attempts to reduce labour costs so that a spate of strikes and lockouts ensued. At the onset of the depression in 1819 and at the first suggestion of wage reductions the Lancashire miners, the North Staffordshire potters and the Nottingham framework knitters all responded by striking. The Glasgow cotton spinners resisted wage cuts in 1837 as did the London building workers and miners and textile workers in the midlands and north in 1841 and the typographical workers in 1846. Frequently, however, these disputes resulted in compromise settlements which were superseded by other compromises as trade conditions got worse.