Jamal Awil

← The Sociology of Georg Simmel

Federated wage-setting removed the entrepreneur's divide-and-conquer advantage. [causal]

It was therefore proposed, as the only possible solution, that the trade unions should fix the standard wage for every particular work in consultation with the federated entrepreneurs, and then leave it up to the workers which category of laborers they wanted to employ for a job in question. The excluded category thus no longer has to fear any harm to its basic economic interest. This objectification of the matter of dispute deprives the entrepreneur of the advantage that he gains by lowering the wages and playing up the two parties against one another.

DEFINE: Explains 'objectification of the matter of dispute' — standardizing wages across job categories to neutralize wage-lowering through inter-party conflict.

Georg Simmel, The Sociology of Georg Simm…, loc. 4562