Throughout history, workers have played an integral role in the development of civilizations and the economy. However, the compensation that workers received in the old times was vastly different from the modern system we have today.
The concept of a regular salary or hourly wage did not exist, and workers were often paid through barter or in-kind compensation. The way workers were compensated also varied greatly depending on the region, industry, and social status of the worker.
Workers were often paid with food and shelter instead of currency. For example, in ancient Egypt, workers who built the pyramids were provided with food, clothing, and shelter in return for their labor. Similarly, in feudal societies, serfs and peasants worked the land in exchange for protection and a share of the crops they produced.
During the medieval period, wages were introduced as a form of compensation for workers. However, the wages were often very low, and workers had little bargaining power. Skilled craftsmen, such as blacksmiths and weavers, were paid more than unskilled workers, but they still had to work long hours to earn a living.
With the rise of labor unions and the concept of a living wage, workers began to demand better pay and working conditions, and today, workers in most countries are paid through a regular salary or hourly wage.
Below are some of the methods workers were compensated in the medieval period.
Bartering: In many traditional societies, goods and services were exchanged through bartering. For example, a farmer might exchange a portion of their crops for goods or services provided by someone else in the community.
Piecework: Piecework was a common method of compensation in factories and other manufacturing settings. Workers were paid based on the number of pieces they produced or the amount of work they completed. This system was used in industries such as textiles and manufacturing.
Sharecropping: In the agricultural system, sharecropping was a common way of compensating labor. Under this system, workers were often compensated with a share of the crops they helped to harvest. This allowed workers to work the land and receive a portion of the crop as payment. However, this compensation was often meager, and workers had to work long hours in harsh conditions to earn a living.
Apprenticeships: In some trades, apprenticeships were a way of compensating labor. Apprentices would work alongside a master craftsman, learning the trade and gradually developing their skills. In exchange for their work, apprentices might receive room and board, training, and sometimes a small stipend. This is still in practice in some countries in African
Feudalism: During the feudal period, roughly 9th to 15th century, labor was often rewarded with land or protection from the lord of the manor. Serfs or peasants would work the land and provide goods or services to the lord in exchange for these rewards.
Company towns: In the early days of industrialization, some companies created company towns where workers lived and worked. Workers were often paid in company scrip, which could only be used to buy goods at the company store. This system was often criticized for exploiting workers.
Wages: As the industrial revolution progressed, wages became the primary form of compensation for workers. Workers were paid a fixed amount for each hour worked or for each day worked. However, wages were often low and working conditions were poor, leading to labor protests and the formation of unions to advocate for better pay and working conditions.
