“St. Peter don’t ya call me, I can’t go, I owe my soul to the company store.”During the 18th and 19t

“St. Peter don’t ya call me, I can’t go, I owe my soul to the company store.”During the 18th and 19th century an employment system called “Trucking” became popular in Europe and North America.  Trucking was a system in which employers didn’t pay their employees in cash, but instead with special vouchers or scrip that could only be redeemed at stores which were owned by the company.  This system became especially popular in the United States in the 19th century due to the lack of a national currency system until after the American Civil War, as well as the remoteness of many communities across the country.  This was particularly common among coal companies in the Appalachians, logging camps in the north, and mining companies in the west, as the companies could gain ownership over entire towns, thus controlling all goods and services within the community.  Employees of the company had no other option but to accept company script and purchase all their necessities from the company store.  This practically bound their employees into the service of the company, as the company script could only be redeemed for goods and services within the company town.  Since many of these company towns were remote and under complete control of the company, the company store often had no competition.  Thus they could charge exorbitant prices, forcing employees to take out lines of credit in order to buy even simple daily necessities.  This placed the company in such a position of power that it became almost impossible for an employee to save money for the future or quit the company.In the early 20th century trucking became less common as workers unionized and demanded payment in cash. By the mid 20th century most countries outlawed trucking and the popularity of company towns decreased as well.  However the practice is still common in many third world countries, especially in remote areas.  As recently as 2008 Walmart was caught paying it’s employees in Mexico entirely in vouchers redeemable only at Walmart stores, violating Mexican law and forcing a court injunction.   -- source link

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