Beyond wages: It's time for a true fair share. This section explores the fundamental principles of economic justice, and how to ensure that workers receive the compensation they deserve, moving beyond basic salaries and focusing on an equitable distribution of the profits generated by our collective effort.
The question of value is central to our understanding of economics. Is it inherent in an object, or is it something we perceive? While the purely objective Labour Theory of Value, which states that the value of a commodity is directly proportional to the amount of labour used to produce it, is simplistic and ultimately flawed, we cannot ignore the central importance of labour in the creation of any tangible good or service. Labour, in all its forms, is what allows us to transform the world around us, to add value, and to satisfy human needs and desires.
The word "labour" often evokes images of physical work – someone toiling in a factory, or a farmer tending the fields. While manual labour is indeed a crucial part of the economy, labour encompasses far more than just physical exertion. It includes intellectual labour – the work of scientists, engineers, programmers, and artists – who use their creativity and knowledge to add value through innovation. It also encompasses emotional labour, such as that of educators, caregivers, and healthcare providers who invest their time, empathy, and compassion to create value for others. Finally, it includes volunteer work and unpaid labour which has a critical impact on families and communities. In other words, any human effort, any expenditure of time and energy, aimed at the production of goods or services, is an act of labour.
Labour is fundamentally a process. It is not just the act of spending a certain amount of time at a task; it is the deliberate, intentional activity that transforms raw materials, ideas, and human potential into something of greater value. Consider a sculptor taking a block of marble and, through their skill and effort, crafting a piece of art. Or a software engineer transforming lines of code into a functioning application. In each case, human labour is the catalyst that brings about a transformation, adding not only physical shape and functionality, but also the value that consumers attach to those goods or services. It's this active participation, this doing, that creates something from nothing, and it's a critical element that is often minimized or ignored in purely capitalistic models.
While labour is essential, we must acknowledge the subjective element of value. The value of a good or service is ultimately determined by the consumer's perception of its usefulness, desirability, and relative worth. A piece of art may take months to complete, but it's the observer's appreciation of that piece that will give it its real worth. If no one values it, then no value has been added. This is why, for any given good or service, consumers are often willing to pay more than just the cost of production. They are purchasing the utility that they perceive in it. And what is "utility" if not the potential for usage or enjoyment? And all of this requires labour to bring about. In many ways, the subjective theory of value has no worth without the objective contribution of labour. Labour is therefore the foundational bedrock on which all value is based.
Beyond its economic role, labour is deeply connected to human dignity. The ability to create, contribute, and make a meaningful impact on the world gives people a sense of purpose and self-worth. However, the current economic model often treats labour as a cost to be minimized, leading to dehumanizing working conditions and the suppression of wages, which is a direct violation of that intrinsic value that labour creates. The principle of a "fair share" is about recognizing the intrinsic value of labour, and ensuring that it is recognized and rewarded.
The notion of "labour" must also encompass the ethical dimension. Some activities that require labour are beneficial to humanity, while others are detrimental. There is labour that contributes to the creation of value, and labour that is merely spent, without producing a tangible benefit to the common good. Labour used in building a house and making it available to a family is a clear contribution to society, while labour used to create propaganda and disinformation is clearly detrimental. Labour spent on creating harmful products and services (like tobacco, or alcohol, or guns), should also be questioned. This difference between "good" and "bad" labour must be examined in the light of how the current capitalist system rewards many types of nefarious labour activities.
Finally, any definition of labour must also encompass unpaid labour, such as the labour required to raise children, maintain a home, tend a garden, or do volunteer work in the community. This type of essential labour, which forms the bedrock of any human society, is often under-recognized, undervalued and therefore dismissed by the current capitalist system. The notion of "fair share" also includes acknowledging the value of this often-neglected type of human contribution.
Labour is not just a factor of production, it is a fundamental expression of human potential and creativity. While the value of a good or service is ultimately determined by the consumer, the transformation of raw resources, human ideas, and the satisfaction of human needs all stem from labour. By understanding the central role of labour in all facets of value creation, we can begin to build a more just and equitable economy that fairly rewards the people who actively add value to society, in all its diverse forms.