Company Quote by John Chamberlain
“Thus a new way of finding fluidity will inevitably be imposed on management and labor alike. The profit-sharing, or "progress" sharing union contract is the only possible way of satisfying labor and the consumer without saddling industry with fixed costs that in depression periods can kill off marginal companies like flies.”
About This Quote
Source Speech: Labor Economics Conference, 1978
A new fluid management model, like profit‑sharing, can align labor and consumer interests without heavy fixed costs that threaten small firms during downturns.
In simple terms: Profit‑sharing can balance labor and consumer needs without costly fixed expenses.
Key Takeaway
Adopt flexible profit‑sharing contracts.
Themes
labor
economics
management
consumer
profit‑sharing
Mood
pragmatic
optimistic
Type
policy
economic
When to use this quote
- small business resilience
- economic downturns
- union negotiations
- policy design
Key Concepts
shared risk
incentive alignment
cost structure
Questions to Reflect On
- How can profit‑sharing be structured to protect marginal firms?
- What safeguards prevent abuse of such contracts?
A Different Perspective
May be hard to implement where profit margins are already thin.
