The War Court and Lap Pillow, Austria's Mandate of Heaven

Chapter 1929 Self-Deception
Fortunately, Bismarck chose to directly state his opposition to restoring internal tariffs. This cleared up the misunderstanding, and with Prussia's open opposition, the Austrian Empire had no reason to continue to wait and see.

Continuing to wait and see would only give the impression that the Austrian Empire wanted to split the entire confederation, which would be a serious problem.

In fact, on the issue of opposing the division, Prussia and the Austrian Empire shared the same interests, and Bismarck did not want to have a direct conflict with Austria on this matter.

Being tough does not mean being tyrannical.

If Austria and Prussia both opposed the same thing within the German Confederation, then that thing could not be passed.

Moreover, the benefits that the German Customs Union has brought to the member states over the years are obvious. The most direct benefit is increased revenue, which can be seen from the financial statements of each country.

It also reduces administrative and business costs. In the past, every country would set up numerous barriers on its own territory in order to collect taxes.

Similarly, merchants no longer need to deal with checkpoints and handle complicated paperwork, which greatly increases the timeliness of transportation.

Furthermore, the customs union also facilitated the formation of a transportation network around Germany; otherwise, if each state had maintained strict border controls as in the past, development would have been impossible.

However, the most important function of the customs union was protection. It protected the German states from powerful economic entities such as Britain and France when the German economy was at its most vulnerable.

However, this point has actually been downplayed, since no one will take something that hasn't happened seriously.

However, the German Customs Union is more beneficial than harmful to almost all member states, so only a very small minority genuinely want to separate; it is more of a defensive reaction.

Furthermore, with the explicit opposition from the two major powers within the Confederation, the matter naturally came to nothing.

In a small, private salon in Berlin, the most powerful factory owners and capitalists in all of Prussia gathered.

"The Austrians have gone mad! They want to pull that National Assembly thing again. Don't they know why the National Assembly was dissolved?"

Not everyone agrees with these statements, because it was actually the Austrian Empire that dissolved the National Assembly, and even the National Assembly felt that the law was too radical.

"The Austrians aren't so easy to deal with. But we've already built dormitories, canteens, and even hospitals for our workers. They have no right to tell us what to do."

The person who said this was Alfred Krupp, although Krupp Steel was facing increasing competitive pressure, and many of its original flagship products had lost their luster.

However, the market in the German region has expanded several times over compared to its historical counterpart, and Krupp Steel has become a key recipient of subsidies from the Kingdom of Prussia.

Krupp's size did not shrink; in fact, it grew considerably larger than it had in history. Alfred Krupp's actions may seem blameless, but his deeds were far from simple.

It's impossible to simply categorize him as a good person, or a hypocrite, or a cybernetic theorist. But Krupp's ultimate goal was indeed higher profits and better control.

Those benefits are good, but very limited.

Furthermore, there are extremely strict regulations. Even when you are traveling, the tour guide will proudly tell you that there are strict rules about the placement of items in the workers' residences, what plants to plant in the yard, and when to plant them. Even in books that boast about Krupp, it is clearly recorded that their workers have iron discipline.

One important reason is that foremen and bosses wield absolute power, and any possible strike or offense against the employer will result in the worker and his entire family being kicked out of the house.

For example, the canteen at the Krupp factory requires breakfast to start at 7:15 every day. Anyone who is not there by 7:15 must go hungry and pay double the fine.

Work starts promptly at 7:30 AM; being even a second late risks being fired. At best, the foreman will beat and verbally abuse you; at worst, you'll be fined, sued, or your entire family will be forcibly evicted.

As for Krupp's hospitals, they are more like a data center that exploits its loyal customers. They prioritize firing workers whose "work capacity may decline" and then conceal the health conditions of some workers in important positions.

These were classic case studies from business schools in the early years, and various lecturers touted them as a source of financial wisdom.

However, Alfred Krupp was able to do this because the steel industry was highly profitable at the time, and as mentioned earlier, workers' wages accounted for a very small proportion of costs in the steel industry, which is why he was able to do it.

Alfred Krupp was very confident in his approach, but he could not accept Franz's so-called seven insurances and three benefits, because that would prevent him from exercising his power recklessly.

Krupp would no longer be the king of that steel kingdom, but merely a manager, a businessman. He could still make money, but he would no longer possess that transcendent status.

Franz actually disliked people who defined their own morality, or rather, no ruler would like someone who wanted to create a state within a state.

Alfred Krupp had a morbid obsession with power. In the last year of his life, at the age of 75, he still firmly controlled everything in the factory and even personally designed cannons.

In his factory, everyone was given a clear hierarchy, from management to apprentices. Everyone's hierarchy was very clear, and any behavior that crossed the line was considered intolerable.

He also enacted extremely strict laws to ensure the system could continue to function, though later generations preferred to call them discipline.

The 1871 version of the Krupp factory management regulations even stipulated the time for meals and toilet breaks, as well as clothing, hairstyles, and work language.

At the time, it was a defined scope to avoid talking about things unrelated to work.

Historically, some Western economic historians have referred to the Krupp family as "industrial feudalism."

Krupp was not well-liked at this time. Although many Prussian capitalists came from Junker noble families, not all of them had this feudal lord complex.

"You can fence off your factory and raise pigs yourself, but we have hundreds of thousands of people to support! We don't have that much spare money. We can't make any money right now; all the money goes to those poor bastards!"
If we fall, the streets of Berlin will be filled with beggars!

This resonated with the others.

"That's right! I don't think there are beggars everywhere, there are corpses everywhere! Those little animals get hungry very quickly!"
A few could die if you're not careful.

The phenomenon of child laborers dying suddenly was very common in this era. In addition, the Prussian decree in 1839 prohibited the use of children under the age of nine, and those aged 9-16 could not work more than ten hours a day.

However, it did not stipulate that a worker could only hold one job, and the law had very limited enforcement. Laws with limited enforcement were largely ineffective in the 19th century, hence the famous saying.

"If there is a 10% profit, capital will be used everywhere; if there is a 20% profit, capital will become active; if there is a 50% profit, capital will take risks; for a 100% profit, capital will dare to trample on all human laws."

The bigwigs vented their pent-up frustrations, but all they could get in return was a helpless sigh.

If it had been instigated by the Prussian government, these people might have had some say. In fact, they were prominent figures in any country within the German Confederation, but the Austrian Empire was an exception.

Not to mention the emperor and prime minister, even ministers of various departments were not qualified to have an audience with them. In fact, they had a hard time even finding a middleman in the Austrian Empire.

Apart from Franz himself, there were no truly influential figures in the entire Austrian Empire. Even the most capable brokers were mostly Franz's informants.

Entrapment was a routine operation in the Austrian Empire, and these people were well aware of the consequences if they were caught by the Austrian Empire.

Many people had already given up hope, because the current chaotic situation was simply beyond the reach of small fry like them.

These people may seem unattainable to ordinary people, but in the struggle between great powers, they are nothing more than ants.

But who brought them together here?
"Both sides want us dead, what should we do?"

Finally, someone spoke out what everyone was thinking, but the atmosphere remained silent, because saying some things only made people feel more powerless.

Alfred Krupp, on the contrary, looked down on these people.

"Friends, stop deceiving yourselves. We are merely mouthpieces. We say what our great Prussian government tells us to say."

Otherwise, before the Austrians can send you to Africa or Patagonia, His Majesty the King will deal with you first.”

Because of his middle-class background, Alfred Krupp was always seen as a nouveau riche. However, despite this disdain, his words held considerable truth.

However, the atmosphere quickly became awkward again, because they had nothing to say and could only try to mobilize their professional staff.

The party ended on a sour note.

"Will they actually be of any use?"

Albrecht von Rohn began, expressing his utter dislike for these capitalists. The intelligence they had sent back further disappointed him; their long, incoherent conversation had yielded no results or plan.

"Don't worry. This concerns the vital interests of each and every one of them, and they will do their best."

Bismarck's words confused Ron.

"Don't they know unless they come?"

Bismarck remained very patient in the face of Ron's doubts.

"This is just to show our stance. If we don't give these guys a push from behind, they might not have the courage to fight back."

What Bismarck didn't say was that everyone's social circles were different, and that truly mobilizing people depended on them themselves.

However, it is unrealistic to expect these profit-driven individuals to spontaneously fight against a powerful empire; proper encouragement and organization are necessary.

At this time, the main battleground for the information war was various newspapers and magazines. In fact, usually before the debate, the opposing side would be labeled with a big accusation to facilitate the attack.

At the same time, the special label can also make most of its supporters or those who are unaware of the truth defensively distance themselves, after all, it is human instinct to seek advantage and avoid harm.

For example, labor laws can be linked to those who fled to Cologne in 1848, something most people would avoid at all costs.

If the other party falls into a self-proving trap, things will be much easier. However, the initiator this time is a bit unusual.

Few people in the entire German Confederation dared to label Franz, and even if they accused him of being a revolutionary, no one would respond. After all, the profession of emperor had nothing to do with revolution, and even if Franz had ideas, they would call it reform.

When labeling failed, they immediately retreated to their comfort zone—"freedom." This word is so appealing that it is often morally beyond reproach.

This group brought up the British theory of free contracts again, believing that workers and factories are both free and that the free contracts are reached through voluntary negotiation between the two parties.

Franz retorted directly.

"The so-called state of freedom is just an abstract and fictitious concept; at the very least, each of us is affected by gravity."

Furthermore, regarding the so-called free contract, if a person has no choice, then it cannot be called consent; it should be called helplessness.

The words may be rough, but the principle is sound. Soon, Lassalle's "iron wage law" was also brought up. This time it was even simpler; Franz directly asked Lassalle to explain it clearly himself.

Seeing that the inventor had betrayed him, his theory naturally became invalid.

In Lassalle's eyes, Austria is actually a very magical country. Logically speaking, such a country should have collapsed long ago, but its magic lies in the fact that it has not only not collapsed, but has become stronger and stronger.

The so-called ironclad wage law was nothing more than a result of being ignored and uncared for. When Franz, the supreme ruler of the Austrian Empire, personally intervened, the so-called ironclad law simply did not exist.

As for so-called free competition, it is not absolute. If the result of free competition is good, the state naturally does not need to intervene. But if the result of free competition is bad, then the state's lack of intervention is a bad policy.

Lassalle believes that Franz's evaluation system is too harsh, after all, who in the world is without fault?
However, he had never actually seen the Austrian imperial government commit any "bad policies." The entire empire was incredibly efficient because the emperor himself was never confused; the remaining officials simply followed orders.

If the direction is correct, then poor performance is purely a matter of personal ability. Therefore, Franz never tolerated incompetent officials, which is why truly useless individuals were rare in the Austrian bureaucracy.

They must either be exceptionally capable or reliable. Being reliable means, on the one hand, loyalty to superiors, strong personal character and background, and on the other hand, the ability to take the blame for subordinates, good judgment, and the willingness to delegate authority.

So even someone like Lassalle could live relatively comfortably in the Austrian Empire, except that he was frequently transferred to colonies to take the blame, which made him very unhappy.

In addition to these old tricks, the opposition came up with some new ideas. A group of people combined them with German nationalism, preparing to prove to Franz the superiority of the German factory system.

Their core theory is that the German people do not need the Labor Protection Act, and that the social problems that exist in Britain do not exist in the German region.