To my knowledge, the meaning of this song is regarding areas of the industrial revolution, especially in england where you would have a company that owned a coal mine and essentially owned the adjacent town where most of the workers lived.
When Cat Stevens sings about "Matthew and Son" I assume he is talking about the stereotype of these companies.
I believe this verse sums up the meaning of the song,
"He's got people who've been working for fifty years
No one asks for more money 'cause nobody dares
Even though they're pretty low and the rent's in arrears"
This is where entire families would work for the same company on a minimum wage with the fear of being fired if they were to ask for more. These scenarios were quite common in England in the 19th century. Only when labour governments became prominent did these conditions change
frankammanition November 24, 2008 Link
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