That might be overcome by some equitable scheme for the
extinction of those rights, which would serve the double purpose of
rendering practicable a reorganization of the service, and a reduction
in the number of superior officers, at present too large. This
reduction would give the opportunity of dispensing with such men as are
inefficient, and of retaining those only likely to be useful. The
Company are under no covenants in reference to the clerks.
"The arrangements of the deed poll are, in outline, as follows: - The
profits of the fur trade (less the interest charge, which goes
exclusively to the stockholders) are divided into one hundred parts; of
those, sixty are appropriated to the stockholders, and forty to the
wintering partners. These last are subdivided into eighty-five shares,
of which two are held by each chief factor, and one by each chief
trader.
"Clerks are paid by salary. Only a clerk can be promoted to a chief
tradership (1-1/85 share), and only a trader to a chief factorship (2-
1/85 shares). The promotions are made by the Company on the nomination
of the chief factors, though this rule has not always been adhered to.
On retirement an officer holds his full interest for the first year,
and half this interest for the succeeding six years. The deed poll
authorizes the Company to put an officer on the retired list, without
reasons assigned, after he has served four years, but they cannot
deprive him of his retired interest except for proved misconduct; but
neither of these regulations has ever been put in force. It is possible
the wintering partners might raise a question whether, under the
existing deed poll, the Company could make any great changes in their
business, or embark in new undertakings, if likely to affect
injuriously the incomes of the officers on the active list, or the
interests of those on retirement.
"One mode of removing this obstacle would be to ascertain the value of
a retired interest, and to give a money compensation to each officer on
his entering into an agreement to consent to the abrogation of the deed
poll. This would involve an outlay of money, but would also be
productive of a considerable subsequent annual saving.
"The eighty-five shares belonging to the wintering partners are, at
this date, held as follows: -
15 chief factors 30 shares
37 " traders 37 "
10 retired chief factors 13 "
10 " " traders 5 "
- -
85 "
===
"As regards the shares held on retirement, some of the interests have
nearly run out, and none of the parties have any voice in the business.
"The value of a 1-85th share has been, on the average of the last
thirteen outfits, which have been wound up (1846-1858), about
408l. At that rate a chief factor's retired interest would
amount to 3,264l., and a chief trader's to 1,632l., less
discount, supposing payment to be made at once, instead of its being
spread over nine or ten years.
