Laborem Exercens, chapter III

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III. CONFLICT BETWEEN LABOUR AND CAPITAL IN THE PRESENT PHASE OF HISTORY

11. Dimensions of the Conflict

The sketch of the basic problems of work outlined above draws inspiration from the texts at the beginning of the Bible and in a sense forms the very framework of the Church’s teaching, which has remained unchanged throughout the centuries within the context of different historical experiences. However, the experiences preceding and following the publication of the Encyclical Rerum Novarum form a background that endows that teaching with particular expressiveness and the eloquence of living relevance. In this analysis, work is seen as a great reality with a fundamental influence on the shaping in a human way of the world that the Creator has entrusted to man; it is a reality closely linked with man as the subject of work and with man’s rational activity. In the normal course of events this reality fills human life and strongly affects its value and meaning. Even when it is accompanied by toil and effort, work is still something good, and so man develops through love for work. This entirely positive and creative, educational and meritorious character of man’s work must be the basis for the judgments and decisions being made today in its regard in spheres that include human rights, as is evidenced by the international declarations on work and the many labour codes prepared either by the competent legislative institutions in the various countries or by organizations devoting their social, or scientific and social, activity to the problems of work. One organization fostering such initiatives on the international level is the International Labour Organization, the oldest specialized agency of the United Nations Organization.

In the following part of these considerations I intend to return in greater detail to these important questions, recalling at least the basic elements of the Church’s teaching on the matter. I must however first touch on a very important field of questions in which her teaching has taken shape in this latest period, the one marked and in a sense symbolized by the publication of the Encyclical Rerum Novarum.

Throughout this period, which is by no means yet over, the issue of work has of course been posed on the basis of the great conflict that in the age of, and together with, industrial development emerged between “capital” and “labour”, that is to say between the small but highly influential group of entrepreneurs, owners or holders of the means of production, and the broader multitude of people who lacked these means and who shared in the process of production solely by their labour. The conflict originated in the fact that the workers put their powers at the disposal of the entrepreneurs, and these, following the principle of maximum profit, tried to establish the lowest possible wages for the work done by the employees. In addition there were other elements of exploitation, connected with the lack of safety at work and of safeguards regarding the health and living conditions of the workers and their families.

This conflict, interpreted by some as a socio-economic class conflict, found expression in the ideological conflict between liberalism, understood as the ideology of capitalism, and Marxism, understood as the ideology of scientific socialism and communism, which professes to act as the spokesman for the working class and the worldwide proletariat. Thus the real conflict between labour and capital was transformed into a systematic class struggle, conducted not only by ideological means but also and chiefly by political means. We are familiar with the history of this conflict and with the demands of both sides. The Marxist programme, based on the philosophy of Marx and Engels, sees in class struggle the only way to eliminate class injustices in society and to eliminate the classes themselves. Putting this programme into practice presupposes the collectivization of the means of production so that,through the transfer of these means from private hands to the collectivity, human labour will be preserved from exploitation.

This is the goal of the struggle carried on by political as well as ideological means. In accordance with the principle of “the dictatorship of the proletariat”, the groups that as political parties follow the guidance of Marxist ideology aim by the use of various kinds of influence, including revolutionary pressure, to win a monopoly of power in each society, in order to introduce the collectivist system into it by eliminating private ownership of the means of production. According to the principal ideologists and leaders of this broad international movement, the purpose of this programme of action is to achieve the social revolution and to introduce socialism and, finally, the communist system throughout the world.

As we touch on this extremely important field of issues, which constitute not only a theory but a whole fabric of socio-economic, political, and international life in our age, we cannot go into the details, nor is this necessary, for they are known both from the vast literature on the subject and by experience. Instead, we must leave the context of these issues and go back to the fundamental issue of human work, which is the main subject of the considerations in this document. It is clear, indeed, that this issue, which is of such importance for man – it constitutes one of the fundamental dimensions of his earthly existence and of his vocation – can also be explained only by taking into account the full context of the contemporary situation.

12. The Priority of Labour

The structure of the present-day situation is deeply marked by many conflicts caused by man, and the technological means produced by human work play a primary role in it. We should also consider here the prospect of worldwide catastrophe in the case of a nuclear war, which would have almost unimaginable possibilities of destruction. In view of this situation we must first of all recall a principle that has always been taught by the Church: the principle of the priority of labour over capital. This principle directly concerns the process of production: in this process labour is always a primary efficient cause, while capital, the whole collection of means of production, remains a mere instrument or instrumental cause. This principle is an evident truth that emerges from the whole of man’s historical experience.

When we read in the first chapter of the Bible that man is to subdue the earth, we know that these words refer to all the resources contained in the visible world and placed at man’s disposal. However, these resources can serve man only through work. From the beginning there is also linked with work the question of ownership, for the only means that man has for causing the resources hidden in nature to serve himself and others is his work. And to be able through his work to make these resources bear fruit, man takes over ownership of small parts of the various riches of nature: those beneath the ground, those in the sea, on land, or in space. He takes all these things over by making them his workbench. He takes them over through work and for work.

The same principle applies in the successive phases of this process, in which the first phase always remains the relationship of man with the resources and riches of nature. The whole of the effort to acquire knowledge with the aim of discovering these riches and specifying the various ways in which they can be used by man and for man teaches us that everything that comes from man throughout the whole process of economic production, whether labour or the whole collection of means of production and the technology connected with these means (meaning the capability to use them in work), presupposes these riches and resources of the visible world, riches and resources that man finds and does not create. In a sense man finds them already prepared, ready for him to discover them and to use them correctly in the productive process. In every phase of the development of his work man comes up against the leading role of the gift made by “nature”, that is to say, in the final analysis, by the Creator At the beginning of man’s work is the mystery of creation. This affirmation, already indicated as my starting point, is the guiding thread of this document, and will be further developed in the last part of these reflections.

Further consideration of this question should confirm our conviction of the priority of human labour over what in the course of time we have grown accustomed to calling capital. Since the concept of capital includes not only the natural resources placed at man’s disposal but also the whole collection of means by which man appropriates natural resources and transforms them in accordance with his needs (and thus in a sense humanizes them), it must immediately be noted that all these means are the result of the historical heritage of human labour. All the means of production, from the most primitive to the ultramodern ones-it is man that has gradually developed them: man’s experience and intellect. In this way there have appeared not only the simplest instruments for cultivating the earth but also, through adequate progress in science and technology, the more modern and complex ones: machines, factories, laboratories, and computers. Thus everything that is at the service of work,everything that in the present state of technology constitutes its ever more highly perfected “instrument”, is the result of work.

This gigantic and powerful instrument – the whole collection of means of production that in a sense are considered synonymous with “capital” – is the result of work and bears the signs of human labour. At the present stage of technological advance, when man, who is the subject of work, wishes to make use of this collection of modern instruments, the means of production, he must first assimilate cognitively the result of the work of the people who invented those instruments, who planned them, built them and perfected them, and who continue to do so. Capacity for work – that is to say, for sharing efficiently in the modern production process – demands greater and greater preparation and, before all else, proper training. Obviously, it remains clear that every human being sharing in the production process, even if he or she is only doing the kind of work for which no special training or qualifications are required, is the real efficient subject in this production process, while the whole collection of instruments, no matter how perfect they may be in themselves, are only a mere instrument subordinate to human labour.

This truth, which is part of the abiding heritage of the Church’s teaching, must always be emphasized with reference to the question of the labour system and with regard to the whole socio-economic system. We must emphasize and give prominence to the primacy of man in the production process,the primacy of man over things. Everything contained in the concept of capital in the strict sense is only a collection of things. Man, as the subject of work, and independently of the work that he does – man alone is a person. This truth has important and decisive consequences.

Return to 4.3.6 (commentary on ##11-12)

13. Economism and Materialism

In the light of the above truth we see clearly, first of all, that capital cannot be separated from labour; in no way can labour be opposed to capital or capital to labour, and still less can the actual people behind these concepts be opposed to each other, as will be explained later. A labour system can be right, in the sense of being in conformity with the very essence of the issue, and in the sense of being intrinsically true and also morally legitimate, if in its very basis it overcomes the opposition between labour and capital through an effort at being shaped in accordance with the principle put forward above: the principle of the substantial and real priority of labour, of the subjectivity of human labour and its effective participation in the whole production process, independently of the nature of the services provided by the worker.

Opposition between labour and capital does not spring from the structure of the production process or from the structure of the economic process. In general the latter process demonstrates that labour and what we are accustomed to call capital are intermingled; it shows that they are inseparably linked. Working at any workbench, whether a relatively primitive or an ultramodern one, a man can easily see that through his work he enters into two inheritances: the inheritance of what is given to the whole of humanity in the resources of nature, and the inheritance of what others have already developed on the basis of those resources, primarily by developing technology, that is to say, by producing a whole collection of increasingly perfect instruments for work. In working, man also “enters into the labour of others”21. Guided both by our intelligence and by the faith that draws light from the word of God, we have no difficulty in accepting this image of the sphere and process of man’s labour. It is a consistent image, one that is humanistic as well as theological. In it man is the master of the creatures placed at his disposal in the visible world. If some dependence is discovered in the work process, it is dependence on the Giver of all the resources of creation, and also on other human beings, those to whose work and initiative we owe the perfected and increased possibilities of our own work. All that we can say of everything in the production process which constitutes a whole collection of “things”, the instruments, the capital, is that it conditions man’s work; we cannot assert that it constitutes as it were an impersonal “subject” putting man and man’s work into a position of dependence.

This consistent image, in which the principle of the primacy of person over things is strictly preserved, was broken up in human thought, sometimes after a long period of incubation in practical living. The break occurred in such a way that labour was separated from capital and set in opposition to it, and capital was set in opposition to labour, as though they were two impersonal forces, two production factors juxtaposed in the same “economistic” perspective. This way of stating the issue contained a fundamental error, what we can call the error of economism, that of considering human labour solely according to its economic purpose. This fundamental error of thought can and must be called an error of materialism, in that economism directly or indirectly includes a conviction of the primacy and superiority of the material, and directly or indirectly places the spiritual and the personal (man’s activity, moral values and such matters) in a position of subordination to material reality. This is still not theoretical materialism in the full sense of the term, but it is certainly practical materialism, a materialism judged capable of satisfying man’s needs, not so much on the grounds of premises derived from materialist theory, as on the grounds of a particular way of evaluating things, and so on the grounds of a certain hierarchy of goods based on the greater immediate attractiveness of what is material.

The error of thinking in the categories of economism went hand in hand with the formation of a materialist philosophy, as this philosophy developed from the most elementary and common phase (also called common materialism, because it professes to reduce spiritual reality to a superfluous phenomenon) to the phase of what is called dialectical materialism. However, within the framework of the present consideration, it seems that economism had a decisive importance for the fundamental issue of human work, in particular for the separation of labour and capital and for setting them up in opposition as two production factors viewed in the above mentioned economistic perspective; and it seems that economism influenced this non-humanistic way of stating the issue before the materialist philosophical system did. Nevertheless it is obvious that materialism, including its dialectical form, is incapable of providing sufficient and definitive bases for thinking about human work, in order that the primacy of man over the capital instrument, the primacy of the person over things, may find in it adequate and irrefutable confirmation and support. In dialectical materialism too man is not first and foremost the subject of work and the efficient cause of the production process, but continues to be understood and treated, in dependence on what is material, as a kind of “resultant” of the economic or production relations prevailing at a given period.

Obviously, the antinomy between labour and capital under consideration here – the antinomy in which labour was separated from capital and set up in opposition to it, in a certain sense on the ontic level, as if it were just an element like any other in the economic process – did not originate merely in the philosophy and economic theories of the eighteenth century; rather it originated in the whole of the economic and social practice of that time, the time of the birth and rapid development of industrialization, in which what was mainly seen was the possibility of vastly increasing material wealth, means, while the end, that is to say, man, who should be served by the means, was ignored. It was this practical error that struck a blow first and foremost against human labour, against the working man, and caused the ethically just social reaction already spoken of above. The same error, which is now part of history, and which was connected with the period of primitive capitalism and liberalism, can nevertheless be repeated in other circumstances of time and place, if people’s thinking starts from the same theoretical or practical premises. The only chance there seems to be for radically overcoming this error is through adequate changes both in theory and in practice, changes in line with the definite conviction of the primacy of the person over things, and of human labour over capital as a whole collection of means of production.

14. Work and Ownership

The historical process briefly presented here has certainly gone beyond its initial phase, but it is still taking place and indeed is spreading in the relationships between nations and continents. It needs to be specified further from another point of view. It is obvious that, when we speak of opposition between labour and capital, we are not dealing only with abstract concepts or “impersonal forces” operating in economic production. Behind both concepts there are people, living, actual people: on the one side are those who do the work without being the owners of the means of production, and on the other side those who act as entrepreneurs and who own these means or represent the owners. Thus the issue of ownership or property enters from the beginning into the whole of this difficult historical process. The Encyclical Rerum Novarum, which has the social question as its theme, stresses this issue also, recalling and confirming the Church’s teaching on ownership, on the right to private property even when it is a question of the means of production. The Encyclical Mater et Magistra did the same.

The above principle, as it was then stated and as it is still taught by the Church, diverges radically from the programme of collectivism as proclaimed by Marxism and put into practice in various countries in the decades following the time of Leo XIII’s Encyclical. At the same time it differs from the programme of capitalism practised by liberalism and by the political systems inspired by it. In the latter case, the difference consists in the way the right to ownership or property is understood. Christian tradition has never upheld this right as absolute and untouchable. On the contrary, it has always understood this right within the broader context of the right common to all to use the goods of the whole of creation: the right to private property is subordinated to the right to common use, to the fact that goods are meant for everyone.

Furthermore, in the Church’s teaching, ownership has never been understood in a way that could constitute grounds for social conflict in labour. As mentioned above, property is acquired first of all through work in order that it may serve work. This concerns in a special way ownership of the means of production. Isolating these means as a separate property in order to set it up in the form of “capital” in opposition to “labour” – and even to practise exploitation of labour – is contrary to the very nature of these means and their possession. They cannot be possessed against labour, they cannot even be possessed for possession’s sake, because the only legitimate title to their possession – whether in the form of private ownership or in the form of public or collective ownership – is that they should serve labour, and thus, by serving labour, that they should make possible the achievement of the first principle of this order, namely, the universal destination of goods and the right to common use of them. From this point of view, therefore, in consideration of human labour and of common access to the goods meant for man, one cannot exclude the socialization, in suitable conditions, of certain means of production. In the course of the decades since the publication of the Encyclical Rerum Novarum, the Church’s teaching has always recalled all these principles, going back to the arguments formulated in a much older tradition, for example, the well-known arguments of the Summa Theologiae of Saint Thomas Aquinas22.

In the present document, which has human work as its main theme, it is right to confirm all the effort with which the Church’s teaching has striven and continues to strive always to ensure the priority of work and, thereby, man’s character as a subject in social life and, especially, in the dynamic structure of the whole economic process. From this point of view the position of “rigid” capitalism continues to remain unacceptable, namely the position that defends the exclusive right to private ownership of the means of production as an untouchable “dogma” of economic life. The principle of respect for work demands that this right should undergo a constructive revision, both in theory and in practice. If it is true that capital, as the whole of the means of production, is at the same time the product of the work of generations, it is equally true that capital is being unceasingly created through the work done with the help of all these means of production, and these means can be seen as a great workbench at which the present generation of workers is working day after day. Obviously we are dealing here with different kinds of work, not only so-called manual labour but also the many forms of intellectual work, including white-collar work and management.

In the light of the above, the many proposals put forward by experts in Catholic social teaching and by the highest Magisterium of the Church take on special significance23proposals for joint ownership of the means of work, sharing by the workers in the management and/or profits of businesses, so-called shareholding by labour, etc. Whether these various proposals can or cannot be applied concretely, it is clear that recognition of the proper position of labour and the worker in the production process demands various adaptations in the sphere of the right to ownership of the means of production. This is so not only in view of older situations but also, first and foremost, in view of the whole of the situation and the problems in the second half of the present century with regard to the so-called Third World and the various new independent countries that have arisen, especially in Africa but elsewhere as well, in place of the colonial territories of the past.

Therefore, while the position of “rigid” capitalism must undergo continual revision, in order to be reformed from the point of view of human rights, both human rights in the widest sense and those linked with man’s work, it must be stated that, from the same point of view, these many deeply desired reforms cannot be achieved by an a priori elimination of private ownership of the means of production. For it must be noted that merely taking these means of production (capital) out of the hands of their private owners is not enough to ensure their satisfactory socialization. They cease to be the property of a certain social group, namely the private owners, and become the property of organized society, coming under the administration and direct control of another group of people, namely those who, though not owning them, from the fact of exercising power in society manage them on the level of the whole national or the local economy.

This group in authority may carry out its task satisfactorily from the point of view of the priority of labour; but it may also carry it out badly by claiming for itself a monopoly of the administration and disposal of the means of production and not refraining even from offending basic human rights. Thus, merely converting the means of production into State property in the collectivist system is by no means equivalent to “socializing” that property. We can speak of socializing only when the subject character of society is ensured, that is to say, when on the basis of his work each person is fully entitled to consider himself a part-owner of the great workbench at which he is working with every one else. A way towards that goal could be found by associating labour with the ownership of capital, as far as possible, and by producing a wide range of intermediate bodies with economic, social and cultural purposes; they would be bodies enjoying real autonomy with regard to the public powers, pursuing their specific aims in honest collaboration with each other and in subordination to the demands of the common good, and they would be living communities both in form and in substance, in the sense that the members of each body would be looked upon and treated as persons and encouraged to take an active part in the life of the body24.

15. The “Personalist” Argument

Thus, the principle of the priority of labour over capital is a postulate of the order of social morality. It has key importance both in the system built on the principle of private ownership of the means of production and also in the system in which private ownership of these means has been limited even in a radical way. Labour is in a sense inseparable from capital; in no way does it accept the antinomy, that is to say, the separation and opposition with regard to the means of production that has weighed upon human life in recent centuries as a result of merely economic premises. When man works, using all the means of production, he also wishes the fruit of this work to be used by himself and others, and he wishes to be able to take part in the very work process as a sharer in responsibility and creativity at the workbench to which he applies himself.

From this spring certain specific rights of workers, corresponding to the obligation of work. They will be discussed later. But here it must be emphasized, in general terms, that the person who works desires not only due remuneration for his work; he also wishes that, within the production process, provision be made for him to be able to know that in his work, even on something that is owned in common, he is working “for himself”. This awareness is extinguished within him in a system of excessive bureaucratic centralization, which makes the worker feel that he is just a cog in a huge machine moved from above, that he is for more reasons than one a mere production instrument rather than a true subject of work with an initiative of his own. The Church’s teaching has always expressed the strong and deep conviction that man’s work concerns not only the economy but also, and especially, personal values. The economic system itself and the production process benefit precisely when these personal values are fully respected. In the mind of Saint Thomas Aquinas25, this is the principal reason in favour of private ownership of the means of production. While we accept that for certain well founded reasons exceptions can be made to the principle of private ownership-in our own time we even see that the system of “socialized ownership” has been introduced-nevertheless the personalist argument still holds good both on the level of principles and on the practical level. If it is to be rational and fruitful, any socialization of the means of production must take this argument into consideration. Every effort must be made to ensure that in this kind of system also the human person can preserve his awareness of working “for himself”. If this is not done, incalculable damage is inevitably done throughout the economic process, not only economic damage but first and foremost damage to man.

Return to 4.3.7 (commentary on ##13-15)

 

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