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The
"I want World Peace" Campaign
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| How
to Create Full Employment World-wide |
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Because of the development of labour saving technology such as automated machines, computers and microchips we can produce more of our requirements with fewer people. The result is that the number of people that is required to produce, let’s say, a million pounds worth of cars, coal or whatever, is reducing as each year passes. The ratio between turnover and the number of people required to produce it is decreasing year after year. One effect of this is that about 25% of the world’s work force is unemployed. Without international control that ratio will continue to decrease. The document proposes that the nations of the world, while remaining autonomous in national affairs, need to affiliate for matters of broader international significance. Sooner or later we will have to do this, and when we do, the governments of the world could increase the ratio by approximately 2% each year until everybody in the world is employed. Doing this would appear to cause three “problems” but each can be transformed into an advantage that would benefit all people, companies and governments throughout the world. Employers World-wide would have to increase their work force by 2% annually. The first “problem” is that this would push up the wage bill of each employer by 2%. The solution is to reduce that wage bill by 2.2% at the same time, by lowering the “Employment Tax” (the company Pay Related Social Insurance) by 2.2 percentage points. This means that the wage bill would go up by 2% and down by 2.2% simultaneously, thus reducing the overall cost of employing the work force. The second "problem" - suppose a company needs only one hundred people to produce its turnover, what then would the extra people who are employed be doing? The answer is that for every 2% increase in employment, due to the international agreement, there would be a corresponding 2% decrease in the time spent working. This would mean that the number of people working would be up by 2%, but the time spent working would be down by 2%. The number of man-hours worked would not change, the only difference would be that more people would be working shorter hours. The third and final "problem" is the loss of revenue to the state, due to the reduction of the "Employment Tax". This loss would be more than compensated for in a number of ways. The state would not have to pay out vast sums of money on unemployment assistance. Not only would they be saved the expense of assisting the unemployed financially, those who had been receiving assistance, would, in this new situation, be assisting the state by paying income tax, social insurance and in other ways. The above savings coupled with the extra revenue that would be received from various taxes, such as VAT and corporation tax, would more than compensate for the reduction of the “Employment Tax”. An affiliation or confederation of the governments of the world would immediately establish World Peace and would surely implement this agreement so that the people and governments of the world can finally live in peace and in dignity. |