6. Passing Laws, Breaking Jaws: The Wagner Act and the Founding of the CIO
Apr 4, 2024
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Special guest Eric Blanc discusses the passage of the Wagner Act and the founding of the CIO, highlighting the significance of transformative labor laws and the raucous AFL convention in Atlantic City. The episode delves into high politics, institutional history, and the impact of autonomous state actors on historical change.
The Wagner Act aimed to equalize bargaining power between workers and employers, promoting industrial peace and worker empowerment.
The Second New Deal focused on raising wages to boost sales and restore domestic market consumption, aligning with purchasing power emphasis.
Labor activism and state intervention played key roles in passing the Wagner Act, challenging traditional capitalist norms.
John Lewis played a pivotal role in advocating for mass production workers' unionization and uniting the left wing of the labor movement.
Lewis's strategic actions at the 1935 Atlantic City Convention led to the formation of the Congress of Industrial Organization, marking a transformative moment for the labor movement.
Deep dives
The Decline of the National Recovery Administration (NRA) in 1934-35
The podcast delves into the decline of the National Recovery Administration, revealing the lack of enforcement mechanisms for labor unions, leading to massive strikes in 1934. The legislation didn't create mechanisms to make labor rights a reality, causing chaos and conflict among capitalists due to the lack of order in administration. Capitalists were concerned when workers were given rights without government-administered mechanisms, resulting in large-scale actions, ultimately impacting the disintegration of the NRA.
Transition to the Second New Deal and Emphasis on Purchasing Power
The discussion highlights the transition to the Second New Deal, emphasizing the importance of purchasing power as an economic strategy. The idea of underconsumption driving the depression led to the need for redistribution to increase workers' purchasing capacity. This concept gained traction as other economic mechanisms showed limited effectiveness, becoming a home-grown version of Keynesianism. The administration's focus on raising wages to boost sales and restore domestic market consumption is seen as good economics and business practice, aligning with the Second New Deal's emphasis on purchasing power.
Wagner Act and the Shift towards Industrial Democracy
The Wagner Act, a radical bill passed by the US Congress, aimed to equalize bargaining power between workers and employers through collective bargaining, a significant departure from traditional free market ideologies. The act emphasized industrial peace and promoted the distribution of industry's fruits among wage earners to stimulate consumer demand. Additionally, it introduced concepts of industrial democracy, extending democratic principles into the workplace, expanding workers' say in production, beyond wages and benefits. The Wagner Act marked a pivotal moment in labor relations, challenging established power dynamics and promoting greater worker empowerment.
Debate Surrounding Labor Law Reform and the Wagner Act's Passage
The discussion explores the debate surrounding labor law reform, with contrasting views on whether labor upsurge or autonomous state actors led to the Wagner Act's passage. While labor militancy played a crucial role in sparking reform, the legislation's timing and complexity could not be solely attributed to this factor alone. The passage of the Wagner Act in 1935 was influenced by changing congressional composition, with electoral factors and left-leaning Congress members contributing to its enactment. The act's emphasis on industrial peace, collective bargaining, and worker empowerment signified a significant departure from traditional capitalist norms, illustrating the complex interplay between labor activism and state intervention in shaping policy outcomes.
Organizing the Unorganized: John Lewis Leading the Charge
John Lewis, recognizing the urgency of organizing the unorganized, particularly in the steel industry, takes the lead in advocating for mass production workers to be unionized. He allies with the communists and independent radicals, forming an alliance to push beyond the stagnation of the AFL. Lewis cohears the left wing of the labor movement around him, including former adversaries, to mobilize for effective unionization.
Resistance to AFL Control: Setting Up Federal Unions
The AFL, in its failure to meet the demands of mass organizing, chartered federal unions for new industries like auto and rubber. However, the AFL's attempts to impose its leadership chosen by President William Green faced resistance from workers in industries like rubber. Green's top-down approach to appointing union officers was met with skepticism and opposition, highlighting the disconnect between AFL leadership and the grassroots workers.
Struggles for Autonomy: Rejecting Top-Down Leadership
In Akron, Ohio, the power struggle between AFL leadership and workers in key industries like rubber unfolded dramatically. William Green's attempt to impose control over selecting union officers was met with resistance from workers like Salvatore Camillio, who questioned the authority granted by the AFL charter. Workers pushed back against top-down leadership, demanding autonomy and a say in appointing their own union officials, signaling a shift towards grassroots empowerment and resistance to centralized control.
Historic Turn with the Formation of the CIO
During the 1935 October Atlantic City Convention, John Lewis orchestrates a pivotal moment in American labor history by mobilizing a left-wing coalition that leads to the formation of the Congress of Industrial Organization (CIO). Lewis strategically divides his opponents within the AFL through resolutions like banning participation in the NCF and prohibiting ads from firms avoiding collective bargaining. By pushing for these changes, Lewis sets the stage for a significant shift towards industrial unionism and worker empowerment.
Defining Moment with Lewis's Bold Actions
Lewis's bold and divisive actions, including a physical altercation at the convention, signal a transformative moment for the labor movement. His aggressive tactics, such as resigning from his AFL position and establishing the CIO, demonstrate a break from traditional approaches and a commitment to organizing unskilled workers. Lewis's ability to rally diverse allies towards industrial unionism reflects a unique leadership style that capitalizes on the pressing need for a more inclusive and powerful labor movement.
Episode six of Fragile Juggernaut pivots to high politics and institutional history: chronicling the passage of the Wagner Act, debating its significance, and recounting the raucous AFL convention in Atlantic City where the CIO was born. Featuring special guest Eric Blanc.
Fragile Juggernaut is a Haymarket Originals podcast exploring the history, politics, and strategic lessons of the Congress of Industrial Organizations and the rank and file insurgency that produced it. Support Fragile Juggernaut on Patreon and receive our exclusive bimonthly newsletter, full of additional insights, reading recommendations, and archival materials we’ve amassed along the way.
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