Margret Howth: A Story of To-Day begins with Margret Howth embarking upon a new chapter at Knowles & Company woolen mill, where she tackles the tedious and solitary task of managing the ledgers. The mill, owned by Dr. Knowles, is a place of bleak seclusion for Margret, as she toils in a grimy room perched high above the chaos below. Downstairs, laborers endure stifling heat, earsplitting clamor, and the acrid stench of dyes. Margret has accepted this dismal job not for herself, but to provide for her destitute parents. Her father, once a schoolteacher, has been robbed of his sight and with it, his ability to provide. As dusk falls, she returns to a once-cozy family home now stripped of comforts, having sold off every item of value to stave off hunger.

Dr. Knowles, the mill's proprietor, shadows her every move. He harbors a grand vision and has been scrutinizing Margret, curious as to how she might fit into his plans. His bond with her father, rooted in political debates, adds another layer to their relationship. Margret feels the intensity of Dr. Knowles' gaze, a lifelong scrutiny tinged with "a kind of savage scorn," yet its purpose eludes her. His audacious scheme involves selling the mill to establish a commune, a sanctuary where ex-slaves, alcoholics, and the oppressed will learn self-reliance and dignity. This community will thrive on principles of "perpetual celibacy, mutual trust, honour," allowing individuals to ascend based on their innate potential. He envisions Margret as an ally in this noble endeavor.

Enter Lois Yare, a woman of mixed race, whose body is twisted by rickets—a condition born of malnutrition—and whose spirit has endured mental scars. She began laboring in the mill at seven, but her frail condition forced her to abandon the relentless grind. Now a vendor of fruits and vegetables, Lois radiates kindness and unyielding optimism, casting warmth upon all she encounters. Her steadfast belief is that justice will prevail—if not in this life, then in the hereafter. Among the impoverished, she sees "the Master's people," those she considers children of Christ. Despite a mother lost to drink and a father, Joe Yare, who walks the path of a thief, Lois remains untainted by her origins or her physical adversities. With palpable joy, she announces her father's recent release from jail, ready to take on the role of a stoker at the mill.