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Hiram Maxwell and Nicholas Harding, both factory owners, exhibit two different philosophies of management: Maxwell is sympathetic to his employees while Harding remains blind to the needs of his workers. Maxwell's son Frank is engaged to Harding's daughter Ethel but fancies Ruth Kravo, a Russian immigrant who also works at the factory. While leaving the factory one night, Frank is stabbed in the back, and Ruth is arrested although her jealous labor agitator admirer Ivan Koyloff is the more likely suspect. Released on lack of evidence, Ruth becomes a secret agent, spying on her fellow Russians. One day a stranger, Comrade Kelvin, comes to town and secretly organizes the workers, preparing them to strike. The employers, fearing trouble, meet and decide to cooperate with the men. Harding reneges on his promises, however, and the next morning issues an order for longer hours and no wage increase. This precipitates a revolt among the workers, and the American Legion is called to establish peace. Frank calms the mob with a patriotic speech, and one of the labor leaders steps forth and offers his hand, while Frank extends his other hand to Ruth.