Fascism

MAGISTRATE JONES was introduced by MAJOR W. JAMES BAXTER, M.C., the President.

MAGISTRATE JONES:--Mr. President: The words with which you have introduced me are most kind. I am reminded of an incident which occurred in a Court down south. It actually occurred. A darky was on trial for murder and he seemed very much confused and very much dazed during the proceedings. He didn't seem to understand what it was all about. He was convicted and sentenced to be hanged by the neck until he was dead, and then he seemed to wake up a little bit for he exclaimed "Say, judge, yuh ain't talkin' about me, is yuh?"

It was very good of you to ask me to speak t0 your Club today. I have been delighted to meet so many friends of the earlier days. I joined The Empire Club at its inception. (Applause.) I joined the Club because from the bottom of my heart I loved the Empire, (Hear, hear) and I love every association and tie which binds Canada in fealty to the beloved Motherland. (Applause.)

Two weeks ago, most of us had the pleasure of listening to the cultured and charming Italian visitors who were here. I understand that the speeches of Don Mario Colionna were the first he had made of any nature in public, and it is of interest to us in Canada to know that here in Canada has been uncovered in him a genius of speech which so delighted us by its appeal direct to our hearts. (Hear, hear). I think that in Don Mario a notable addition has been made to the eloquent Italian speakers, and I feel that he is destined to take a very high part in the public life of the land he loves so well.

Our distinguished guests sketched in such an interesting way the historical background of Fascism that in the time at my disposal I will not be able to deal with the evolutionary details of the movement, but will endeavour to tell you in simple fashion something of what Fascism is and something of what it has accomplished.

Our distinguished guests were indeed most welcome and I think that the National Council of Education, is entitled to our greatest thanks for having put on an Italy Week.

I trust you will pardon me if I proceed rather abruptly from one phase of the subject to another, as the merit of graceful transition must be sacrificed to the inexorable progress of the minute hand on my watch.

The study of Fascism is so absorbing, and its methods are so unique, that it demands investigation by any who are interested in the science of statecraft, particularly at this time when all are earnestly seeking a path which leads to the betterment of existing human conditions. Perhaps outside Italy today there is no question more frequently asked than, "what is Fascism?" and there is certainly no creed which has been more misunderstood and so misrepresented-may I say, grossly misrepresented.

"Fascio" is Italian for "bundle." The Fascist emblem is a bundle of sticks bound together with an axe extending from the end denoting authority. Fascism is loyalty to an ideal. Perhaps the best definition of Fascism is insistence on co-operation. One will readily admit that co-operation is asked for by every government in every land as one of its basic principles. You will observe that the distinction Italy makes is in the word "insistence." Italy says "We want you to co-operate. We ask your voluntary co-operation. If you won't give it that way, then you must give it anyway." "You must co-operate" is the key-note. The inspiring ideal is that of working together and making sacrifices together of gain or leisure for the common good as comrades did in the Great War. As a matter of history, Fascism was born in the spirit of the trenches among returned men who would not allow politicians to throw away the fruits of their victory. Fascism came into being as a movement to smash the rich. This" it eventually did, after years of battling, wounds and death, extending from March 1919 to October 1922, the date of the Fascist March on Rome. On this date more than 2000 Fascists laid down their lives in order that Italy might live. You will see that Communism. has something for which we should give it credit, viz : it was responsible for the birth of Fascism. Fascism was originally a patriotic movement to overcome Communism. It grew, developed and expanded and today Fascism is the spirit of a nation; today Fascism is Italy.

In describing the Constitution of Italy, the corporate state, as it is called, for the sake of clarity and simplicity I shall use the word Unions to denote each of the industrial bodies recognized by the State. As you are aware, in Italy the word Corporation does not mean a joint stock company, but it is used to describe the Unions at the top. That is, the Union of Unions in which both employer and worker are represented. Various other terms are used" such as syndicates, guilds and confederations, to denote the different industrial bodies, but they are all unions. All Italy, outside special classes, such as the judiciary, is mobilized into unions. Every man, whether he is a bank manager or a farm labourer, a doctor or a bricklayer, is either a member of his recognized local union or associated with it. No employer may be a member of a workers' primary union, no worker may be a member of an employers' primary union. Both interests, however, are joined at the top in the corporations. One is not compelled to join his local union, but must pay his fees to it whether a member or not. In this way you will observe that all the electors of Italy are embraced in and represented by the Unions. There are no territorial constituencies. There is no member for Rome" or for anywhere else. Election to a legislative body is from the Unions and that body, whether it is called the Chamber of Deputies, or the Council of the Corporations, is just as truly representative of the people casting their votes within the Unions, as it would be by virtue of the ballots of an ordinary general election.

Selection is vocational. The doctors send their best men, the machinists send their best men; and so on down the line. The democracy of any country is represented by the voters at large and if those voters cast their ballots, voting freely within the unions for the men of their vocations whom they consider best fitted to represent them in the legislative body, how can it be fairly charged that the form of election is not a democratic one? The last election was held in 1929 when a list of candidates nominated from the unions was placed before the Grand Fascist Council who selected 400 as the national list of candidates. This list as a whole was submitted to the electors at large on a 'Yes or No' plebiscite. The list as well as the record of the Government was approved by the enormous majority of 8970 of the electors of Italy. The plan will be different as you will see in a moment, at the next election. It will be observed, therefore, that emphatic endorsation was given by the people to the plan of vocational or occupational selection. Under the new proposed law the Council of Corporations will take the place of the Chamber of Deputies, but the principle is the same, vi; representation from the Unions. Under the new law there will be no double election as in 1929. This amendment makes for both economy and simplicity. If the voters in their capacity as members of Unions, elect their legislators, there seems no reason why the same electors should be called upon to vote a second time as was done in 1929. Critics of this new plan describe it as a departure from democratic government. This is obviously absurd. It is merely a simplification of procedure and a saving of the expense of a duplication of elections. The new legislature will be just as representative of the Unions as was the old Chamber of Deputies. As before, the different categories will elect their best m-en to it at the next election which will be held in March next. As before, employers, workmen, and the professions will be all represented. As before, the best brains of the country will be found in the ranks of the lawmakers.

Fascism will admit of no party government. It says that if a national union government is a good thing in war-time, or when there is a national emergency, it is of advantage at all times. It points to the useless delays and obstructions of the party system, to the part played by enormous contributions to campaign funds from big business. Under the party system, untrained men are sometimes pitchforked into Cabinet positions. A lawyer may be a Minister of Marine or a doctor may be Minister of Labour-a plan no man would follow in choosing managers for a business. Independent ideas are not welcomed by the party caucus,, party platforms built to get in on and not to stand on have long been a joke, even among those who favour the party system. (Applause.)

I might tell you, gentlemen, that I knew once of a candidate for the Board of Control in the City of Toronto, who shall be nameless, who was elected on the platform of disapproving of the street car service. I observe by the Toronto papers that the platform is still going strong.

The system of occupational representation I have outlined is the method Italy adopted in order to get away from Partyism, and, gentlemen, the beauty of the plan is that it works. In describing the Constitution of Italy, I have started at the foundation, for the recognized unions are the basis of the structure. These unions are just as much a part of the State as is the Premier or the King himself. Next above the unions is the legislative body formed as described; next the Senate, appointed for life as ours is, these two forming the parliament. Above this is the Fascist Grand Council, consisting of the Cabinet Ministers and eminent men of the country, somewhat resembling the Privy Council of Great Britain, and above all is the King. The premier is appointed by the King and may be dismissed by him. (One editor said that he thought it was the other way around). There may be legislation by Order-in-Council or Royal Decree, as it is called in Italy. Laws thus passed by that means are effective only for a limited time unless they are subsequently ratified by parliament.

The criticism of the Fascist form of Government, which one hears most frequently, is that it is an uncontrolled dictatorship built around Mussolini; that Mussolini is the keystone of the arch and that when he passes away the structure will crumble. Nothing, gentlemen, could be further from the truth. There is no Russian dictatorship in Italy. When parliament passes a law, Mussolini has no power to alter it. It is true that in Mussolini the Italians believe they have an outstanding statesman. They both respect and love him and almost invariably follow his advice. They delight to refer to him as "Our Leader" and, gentlemen, they accept his leadership. When Mussolini formed the opinion that it was proper and wise to change the law regarding elections to the legislature, he didn't issue a direction as to what should be the plan. What did he do? He had to go to both Houses of Parliament, gentlemen, and get their consent, and the Houses of Parliament sitting there have free and open discussion; opposition to Mussolini developed, but they made their decisions and the change was made. This savours of anything but dictatorship. The admirable system of Fascist education provides for training in statesmanship. Young men are continually being educated in the science of statecraft and are being brought along so that when the older statesmen pass along, they will be ready to take their place.

Commendatore Villari, whose cultured deliverances charmed us all so recently, tells of an incident regarding Mussolini. He says that on one occasion Mussolini was asked the question "What will happen to Italy, sir, when you pass away?" Mussolini replied with a twinkle in his eye "There will probably be a funeral. Possibly some choice flowers will be sent. Indeed, there may be some very fine speeches in which it will be said that the deceased was not such a bad fellow after all, and the next day the government of Italy will go on as usual."

On the death of the Premier the procedure taken is for the Grand Fascist Council to submit a list to the King and from that panel the King makes his selection and the Premier is appointed.

It is in regard to industrial relations that Italy makes a notable contribution to modern political thought. The Charter of Labour, a marvellous document, aptly described as Iabour's Magna Charta, clearly sets out Labour's rights and obligations. I quote a few clauses which outline its general effect

"Work, in all its various forms, whether intellectual, technical or manual, is a social duty. On this ground alone it is protected by the State.

"From the national standpoint, the whole volume of production constitutes a unit; its objectives are one anal undivided and may be summed up as the welfare of the individual and the development of the national strength." You will observe those words: "the whole volume of production constitutes a unit". It is not labour; it is not capital. There is no division, but it is a unit, a combination of the two and that unit is the foundation of Italy's recognition of labour laws. (Applause.)

"The corporate state considers private enterprise in the sphere of production as the most effective and useful instrument in the interests of the nation.

"The associations of employers are required to promote in all possible ways, an increase and improvement, in production and a reduction in cost.

"State intervention in economic production, arises only where private initiative is absent or is insufficient or else where the political interests of the State are involved.

"The State alone is in a position to ascertain; and control the phenomenon of employment and unemployment."

Collective bargaining as to the rates of pay and hours of work is provided for. Should disputes arise, the employers' union and the corresponding employees' union sit down together and talk the matter over. If they cannot agree the dispute is dealt with by the unions higher up. If there is still a disagreement, the Minister of Corporations lends his advice and if conciliation finally fails, there is a reference to the Labour Court in which a Supreme Court judge sits with experts representing the employer and the worker, and the decision is made.

The record of strikes in Italy is of interest. In 1922 when the Fascists took control, there were 573 strikes; in 1923, 201; in 1924, 260; and in 1925, when the conciliation provisions got functioning well, strikes were a thing of the past. You will note, gentlemen, that at this time, strikes had not been abolished by law or made illegal. In 1925 they were voluntarily abandoned by the workers. The conciliation provisions were so well drawn and had such a fair foundation that in 1926, the following year, the law was passed by which both strikes and lock-outs were made illegal" and the decision of the Labour Court was made final and binding.

The charge has been made against Fascism that it deprives the workers of their sole weapon of defence, viz

the right to strike. The absurdity of this statement is apparent for two reasons: First, that before strikes were made illegal, viz : in 1925, the workers abandoned them; and second, the vote of 1929 when, by an almost unanimous vote the workers approved of the government's action in declaring them illegal. (Applause.) As a matter of fact, even the Labour Court is now seldom called on to settle disputes, as they are nearly all disposed of under the primary conciliation provision.

I think the journalists present will be particularly interested in some of the provisions of the Publishers' and Journalists' Collective Contract. In case of sickness, the journalist receives full salary for the first three months, half salary for the next three month% a scheduled raise of salary every five years, indemnity for dismissal, indemnity on super-annuation, double salary in December, a month's vacation each year with pay, and annual contribution by the employer of 24% of salary. Don't you fellows of the press tell the boss, or I might get in wrong. As the gentleman of the soap box would say "Is it not terrible how the iron heel of Fascism presses on the neck: of Italian Journalism!"

The collective bargaining provisions of the N.R.A. have been modelled largely on the Italian system, although Mr. Roosevelt has not, as yet, acknowledged the fact. The Fascists, however, built from the ground up, first getting the unions properly organized and built upon, a sure foundation. President Roosevelt, on the other hand, first built the super-structure and then sought to place the foundations under it, hence his difficulty with unions, non-unionists, company unions, strikes and lock-outs. The collective clauses of the two plans are similar except that the Fascists have steadly objected to an artificial raising of prices, preferring to keep costs low and not impair the purchasing value of the Lire. Italy, years ago, adopted the 40hour week as a means of relieving unemployment.

Mussolini's comment on Roosevelt's New Deal, made in a speech to the Italian Senate recently, is interesting. He says: "In the United States the intervention of they State in the confused economic affairs is direct. Sometimes it takes peremptory form. President Roosevelt's codes are nothing but collective contracts which the President obliges one and all to accept." This charge. of dictatorship cannot, of course, be denied. Congress by statute made President Roosevelt a dictator. An amazing feature of the N.R.A: is that under the Act the President has power to delegate his authority and create a thousand dictators each with the same power as the President himself. Under this provision, men with no legal training whatever, may be empowered to exercise the functions of a judge. Such legislation creates conditions similar to those so vigorously criticized by Sir William Mulock in his able address last Friday. In Italy, industrial differences of every nature, as we have seen., are settled by a judge of the Supreme Court, sitting with competent industrial experts.

New Zealand abolished strikes in 1894 by her Industrial Arbitration Act which has functioned fairly well but is not completely effective because of the Party system which she retains. She nearly lost the benefit of this legislation in 1900 when a strong movement for its repeal, led by Communists was almost successful.

Unemployment figures compiled a little over a year ago by Mr. R. H. Knickerbocker of New York, are of interest. He says that he has checked with government Statistic Bureaus and outside sources and he claims his figures are correct, viz: for every 68 persons unemployed in' Italy, Germany has 275 unemployed; United States has 207; England has 186; Austria has 140; Czecho Slovakia has 120; Japan has 110; Spain has 70; France with 68, being the only nation as low as Italy. These figures have all dropped somewhat, but are approximately the same relatively.

In the field of economics, Italy has taken a high place. In 1927 she stabilized her currency and has never departed from the gold standard. She has instituted a system of rigid bank investigation not only as a matter of security for depositors, but also in order to see that unfair conditions do not exist in the matter of withholding credit.

Einzig, a British author, in his "Economic Foundations of Fascism", says: "Experience of banking in the Fascist regime in Italy shows that it is possible to break the rigid orthodoxy of banks, and to influence their activity, without having to resort to the extreme solution of nationalizing them."

Italy's reforestration is most extensive and wonderfully well organized. Hundreds of square miles of swamp areas have been reclaimed and turned into farm lands for ex-service men, and many thriving towns and villages now exist over what were formerly disease-breeding districts. The cultivation of these reclaimed areas has enabled the country to be self-supporting in the matter of wheat, which she no longer imports.

Italy weeds out her stagnant industries. No anti-combine law exists in Italy; the amalgamation of small industries is indeed encouraged by the Government. On some 707o of the factories in any trade, petitioning the Government asking for a merger, the minority must cooperate and join the amalgamation.

Italy aims to co-ordinate supply and demand in such a way as to produce cheaply and yet keep a constant curb on over-production. By law no new industrial plants can be organized without specific permission from the Government. In October last 19 proposed industries applied for licenses. Of these, 8 were accepted, 6 were flatly refused, anti 5 others held subject to further study.

In their applications, the prospective firms must state the capital and financial set-up, the mechanical equipment and prospective capacity, the type of raw material required, the number of employees, and a detailed analysis of the home and foreign markets for the proposed product. The Government's industrial experts then study the applications, check up on them and make their recommendations.

Under a new law just passed, the Government becomes a channel for investments by the public in industry and industrial bond issues, after investigation and sanction by the Reconstruction Institute will be guaranteed by the Government itself as to the principal and a modest fixed interest riot the full interest on the bond, but a modest fixed interest. In this way the money lying dormant in the bank was put to work to turn the wheels of industry.

While the Fascist policy is that of non-interference with properly conducted private enterprise, it does riot shut its eyes to the dangers to the nation which are likely to arise when due proportions are attained. In a recent speech, Mussolini said: "When a private enterprise passes certain limits, it is no longer a private enterprise, but a public one. The business of an independent craftsman may be a private one, but when an industry, a credit organization, a trading concern, or a bank controls millions and gives work to tens of thousands of people, how is it possible to think that its fortunes or misfortunes are the personal affair of the directors of this firm or the shareholders of that industry? No, it now interests the whole of the nation and the State cannot be a stranger to it." (Applause.)

Had this policy been adopted by Sweden, the terrible Kruger crash would not have been possible and proper supervision by France would have saved thousands of people from the calamitous results of the recent Bayonne disaster.

Mussolini, in a recent speech before the Italian Senate, on the 13th of this month said: "Monetary manoeuvres are powerless to bring about a true and lasting rise in prices. If we wish to delude the human race we might resort to what was once called 'clipped currency,' but the opinion of all those who do not believe in economic and social empiricism is quite clear-inflation is the road which leads to catastrophe. Who can truly believe that an increase in monetary tokens can truly increase the wealth of a nation? Somebody has already drawn this parallel. It is the same as saying that if one were to reproduce a million times the same photograph of the same person, one would thereby have increased the population by a million."

In outlining the Fascist economic creed, Signor Mussolini stated that it admitted and respected both private initiative and private ownership of property. "Private ownership of property, however, must be looked upon not only as a right but also as a duty." he said. "The ownership of property must be regarded in other words as a social function. It must, therefore, .not be passive property, but active, not limiting itself to enjoying the fruits of its riches, but developing, increasing and multiplying them."

One of the objections to the Fascist plan is that of press censorship, and I understand that that was dealt with in a very able way by Don Mario Colonna when he addressed this Club. It has been somewhat misunderstood. There is no blue pencilling in Italy of any article before publication. Any editor may print what he pleases, but if he prints what is subversive to the interests of the State, on prosecution he may be fined or imprisoned. Constructive criticism is always welcome.

One is inclined to somewhat doubt the strictness of European censorship when one reads 'the big bad wolf' despatches cabled daily to our papers from certain European centres in which the pictures painted are much more fanciful than any Walt Disney ever drew. They are so full of what has been politely described as "terminological in exactitude."

You will be perhaps amused to know that the Swastika row at the Beach in Toronto last year was featured in the European press and what do you think the headlines were? "Civil War in Canada". The Toronto pressmen must certainly have been doing their stuff.

The question is frequently asked "How does Fascism differ from Socialism?" Italy. like every other country, adopts many features of Socialism. That excellent piece of legislation, The Workmen's Compensation Act, is only one of the many socialistic laws in our statute. Fascism denounces the plan of state management of private enterprises. It says, however, that when private management falls down, or when any concern becomes so huge that its welfare becomes national, it will step in and supervise in the interests of the nation as a whole.

Socialism would wipe out the last vestige of capitalism. Fascism says, "no." Capital is of value to a country but it must behave and be content with moderate profit. Socialism preaches confiscation, with or without compensation as it sees fit. Fascism opposes confiscation..

Italy spends enormous sums on her social services. How she does it in these hard times, the Lord only knows. But she does it; they have to pay high taxes, but they pay without a grumble. Those living on the sea she takes to the mountains and those living on the mountains she takes to the se-a. The land abounds with sun-bathing establishments for the poor. Every year she brings 50,000 Italian boys from overseas, who are residing in different lands, to visit Mother Italy. Last year, the quota was 62,000. From the day they step on the boat until the day that they return, the Italian government bears all the expenses. One of the Toronto boys who went over last summer relates that while there he was furnished with three boy scout uniforms of different patterns for different occasions. He went in June, I think and came back in October. He reported that the government was most hospitable and kind and that they had a marvellous time. A list of Italy's various social service organizations would cover several sheets of paper.

I read recently in, a United States paper, something about Fascist propaganda. Gentlemen, such a thing doesn't exist. If there is one thing the Italian prides himself in it is good manners. This he evinces both personally and internationally. Under his own hand, Mussolini has written all Italian Consuls that they must take no part in any movement having for its object the introduction of Fascism into the country in which they reside. He emphasizes the fact that the demands of international courtesy and good manners require their absolute abstention from politics or propaganda. He reminds them that they are the guests of the country in which they reside and that they must respect the hospitality which is accorded them.

Try, Gentlemen, to get from Italy any pamphlet issued by the Government extolling Fascism. It can't be done, simply because none are printed, either in Italian or any other language. Anything you get, you must obtain from standard books on the subject, many of them written by Englishmen. Italy, unlike Soviet Russia, does not seek to force her ideas upon any other nation. As Mussolini says, "Fascism is not for export". Fascism is sweeping Europe because its nations are near enough to Italy to see the advantages of her system, while Communism is being more and more discredited.

Many newspapers make the error of confusing the Fascist and the Nazi plans. While Germany has modelled her system largely on Italy's plan" she has added several features which are quite alien to Fascism. While the German structure is not yet complete, the following features appear which have no place in Fascism, namely race distinction, prohibition of women holding public office, and regimentation of religion. If the press despatches pare accurate, it would also appear that the German plan for the settlement of labour disputes is not as fair to the workers as Italy's. Austria, while strongly Fascist, is strongly anti-Nazi. Growing Fascist movements exists in no less than twelve other European countries, including England, which has six different Fascist organizations, Lord Rothermere being the latest notable convert. Nearly all these movements differ slightly from the Fascist plan, but follow its fundamentals.

John Strachey, the Socialist, has written a book, entitled, "The Menace of Fascism", very much of a slam. He makes the significant admission, however, regarding the Italian plan when he says, "It is the worst possible error to suppose that the predominant reason for the growth of Fascism is peculiar to any one country. The inevitability of its growth in some form is inherent in the economic and political situation of the world today. The rise of a Fascist movement is a historical certainty in Britain and America. To suppose anything else is to fall a victim of the most pitiful illusion".

Italy has reached the goal for which all other nations have striven but which none have completely attained, namely, the successful co-ordination of capital and labour. This she has accomplished, not by the mailed fist, but by a well-devised conciliation, plan laid upon a foundation of unselfish cooperation and the mutual respect of each for the rights of the other.

Fascism has made a wonderful adaptation of the most vital elements of capitalism and socialism and combined them in, a structure of state which, by its actual accomplishments, has proved its value.

Little did Macauley think when he penned those lines so wonderfully descriptive of Imperial Rome in the days of her greatest glory that they would be prophetic of the condition of Italy of today, and what words can better describe the spirit of Fascism

Then none was for a party,
Then all were for the State;
Then the rich man helped the poor,
And the poor man loved the great.
Then lands were fairly portioned;
Then spoils were fairly sold;
The Romans were like brothers In the brave days of old.

If there were a line in the fundamental principles of Fascism, opposed in the slightest degree of the best ideals of the British Empire, I would not even be discussing the matter. Should Canada at any time in the future, in its wisdom, adopt Fascism, in whole or in part, it is indeed gratifying to know, Gentlemen, that the system fits so admirably into our Imperial setting, and that the old flag would still be ours and that the song of Empire, "God Save the King" would still be that of Canada. (Hearty Applause).