received rebates on the food eaten of from six per cent to sixteen per
cent. At the end of the second year the third branch, larger than either
of the others, located in the Wall Street business section, had been in
operation for three months. The membership of the society had increased
to 750. The business for the year had been $190,000 and the net earnings
were $12,000.

The cafeteria now employs sixty-eight workers, most of whom are
shareholders and vote as such in membership meetings. The worker
receives the same food as the patrons, served at the same counter.
Against all restaurant traditions the worker is served before the meal
so that she may have the best there is and have it before she is too
tired to eat it. The minimum wage is higher than the customary rate for
restaurant workers in New York. The forty-eight hour week is the
standard, although as yet some of the help work over that time. Overtime
is one thing that the management has not yet been able wholly to
eliminate.

It has been found that the policy determining function of the
stockholders and Board of Directors cannot operate independently of the
plans of the management. The two in a business organization must be
closely inter-related. The stockholders have not tried to supervise the
details of the business, as has sometimes been done to the disaster of
cooperatives. The general manager instead has gone to the Board of
Directors and sits there practically as a full member. As a result the
policy function of the Board and the management function are closely
linked together as they must be in a business that is to be permanent.

The stockholders are not idle, however. Through their committees, they
have amended the by-laws. They have recently called a general meeting