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Postwar Turmoil and Trouble
Japan's surrender in August, 1945 uncorked the genie of
industrial discord. Over the next year-and-a-half labor and
management slugged it out across picket lines in almost every
industry. FDR's successor in the White House, Harry Truman,
desperately tried to keep a lid on wages and prices, urging workers
to continue the no-strike pledge given at the war's beginning. But
when the shooting stopped, the backlog of pent-up grievances could
no longer be contained. Workers were in a testy mood; most had been
working at least forty-eight hours a week, many sixty or more. For
four years worker complaints about conditions on the job were met
with the snide response, "Don't you know there's a war
on?" Even more important, prices began to outpace wages. Many
commodities were still subject to federal price controls but, as
Truman's Secretary of Labor, Lewis Schwellenbach, pointed out, the
buying power of the dollar dropped 16.6% from April 1945 to
September 1946.
Between Hiroshima in August, 1945 and Election Day in
November, 1946, more than five-million Americans marched on picket
lines. Strikes closed such crucial industries as coal, auto
electric, steel maritime and railroading. In June, 1946, GST Eric
Peterson reported that in the first ten months following the war the
IAM paid out an average of $100,000 a month in strike benefits. This
included $273,000 to members striking Consolidated-Vultee in San
Diego and Ft. Worth. The IAM's $10 a week strike benefits were then
paid directly out of the general fund.
Most of today's older workers recall Harry Truman with
affection. And over the long run he proved to be a friend of labor.
But Harry Truman sometimes shot from the hip. When two railroad
brotherhoods, the Locomotive Engineers and the Trainmen, pulled the
pin on the railroads in May 1946, Truman went before Congress and
demanded the strikers be drafted into the Army.* Harvey Brown
angrily denounced this as an attempt "to put labor under the
yoke of militarism."
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While Congress rejected the idea of drafting free workers, it
quickly enacted legislation, known as the Case Bill, viewed by
organized labor as almost as repressive. The Case Bill outlawed
strikes during a sixty-day cooling off period, authorized employers
to sue unions for contract violations, took away worker bargaining
rights in case of picket line violence and outlawed secondary
boycotts. Truman regained his sense of fairness by the time this
measure hit this desk and to organized labor's great relief he
vetoed it.
While quick to publicize and condemn strikers, newspapers paid
les attention to businesses that profiteered by exploiting shortages
of food, housing and other commodities,* some of which were clearly
artificial. On the eve of the 1946 Congressional elections, cattle
growers stopped shipping and meatpackers held back inventories in a
coordinated--and eventually successful--effort to discredit and
destroy the Office of Price Administration (OPA). By the time
Election Day 1946 rolled around, the American people were in a sour
mood, directing their anger at the Democrats who had controlled both
houses of Congress since 1932.
The new editor of the Journal, Lee Thomas, sensed that
a catastrophe was impending. Over the years he had created a column
of home-spun, shop-talk philosophy for the Journal, which he
called "The Old-Timer Beats His Gums." A month before the
election the "Old-Timer" predicted that in the upcoming
election, "The average working man will beat his brains out
figuring an alibi for keeping away from the voting booth."
Unfortunately, the "Old-Timer" was right. The IAM's new
weekly, The Machinist, reported the ". . . most
intensive effort in history to elect the friends and defeat the
enemies of labor at this years' Congressional elections." The
effort proved to be too little, too late, As chronicled by the
banner headline across the first page of the November 14 issue of
The Machinist, the 1946 Congressional election was a
political disaster for working people. Many of labor's staunchest
friends in both the House and Senate were engulfed by a reactionary
avalanche. Anti-union conservatives also gained control of most
state legislatures, setting the stage for anti-union legislation at
both the federal and state level, including the federal Taft-Hartley
Act and a wave of state right-to-work-for-less laws. The 1946
election brought young Richard Milhous Nixon to the House of
Representatives on the wings of the first of the mean and dirty
political campaigns that became his trade mark. This was also the
election in which the Wisconsin Senate seat, so long honored by the
name LaFollette, fell to an odious practitioner of fear and smear,
the infamous Joe McCarthy.
Hook and Dillon Meet Harvey Brown
After VJ Day, plants seized by the government to avert and end
war-time strikes were rapidly returned to private hands. In San
Francisco, where the Navy had checkmated Lodges 68's business
representatives, Hook and Dillon, in 1943, the stage was set for a
classic postwar collision between labor and management. By the
summer of 1945 Hook and Dillon were once more free to lead their
members out on strike. The two lost little time in presenting
metalworking employers with post-war contract demands. Contemporary
reports indicate that as a team they were always affable and polite,
neither threatening nor blustering. But, in effect, employers were
told, "Gentlemen, the Navy is out and the time has come to pay
up." In other West Coast cities, including Oakland, San Jose,
Los Angeles, Stockton, Seattle and Portland, IAM negotiators had set
a wage pattern of 18%. In San Francisco Hook and Dillon demanded a
30% wage increase, two weeks vacation with pay plus nine paid
holidays and a weekly guaranteed wage. Hook and Dillon orchestrated
their negotiations with a United Steelworker local formed from the
nucleus of the membership of old lodge 284, which Wharton had
expelled prior to the 1936 Grand Lodge Convention. Such
collaboration with the CIO was normally considered dual unionism. In
this case the Executive Council considered it near treason.
When Lodge 68 applied to Grand Lodge for strike sanction,
Harvey Brown asked for assurances that Hook and Dillon would not
only stop negotiating jointly with a dual union but that they would
abide by the IAM Constitution in taking a strike vote and giving
notice required by federal law. The War Labor Disputes Act (also
known as the Smith-Connally Act), passed in 1943, still required
unions to give the Department of Labor thirty days notice before
going on strike. Unable to get such assurances from Hook and Dillon,
both the IAM Executive Council and the San Francisco Central Labor
Council withheld strike sanctions.
Negotiations broke off when Hook and Dillon rejected the
industry's "final offer" of 10%. Management dug in for a
long strike. The result was a stalemate that tied up Bay Area
industry throughout the fall and winter of 1945-46. Although
consumer shortages soon developed, Hook and Dillon refused to
compromise, saying there was nothing to negotiate.
In February, 1946 the Executive Council held its regular
winter meeting in Washington. By then per capita for Lodge 68's
8,000 members was several months in arrears and rank-and-file
members were charging flagrant violations of the IAM's "Little
Green Book"--the Grand Lodge Constitution. According to reports
filtering back to Washington, Hook and Dillon were telling employers
"to take it or leave it" while refusing to submit counter
offers to membership vote.
Since this affected not only the 8,000 members of Local Lodge
68, but thousands of other IAM members throughout the Bay Area, the
Executive Council decided to go to San Francisco to check out the
situation on the spot. The train trip across the country took five
days. Upon arrival Harvey Brown called a special membership meeting,
intending to present the employers' latest offer of 15%. When he
tried to preside at a mass meeting in San Francisco's Civic
Auditorium, he and the rest of the Executive Council were greeted
with catcalls and boos. Hook and Dillon had carefully packed the
hall with their supporters, and efforts to conduct the meeting were
drowned in Bronx cheers, points of order and general bedlam. For
thirty-five minutes Harvey Brown tried vainly to establish order.
Seething with rage he adjourned the meeting, deciding the time had
come to break the power of Hook and Dillon on their home ground.
Brown knew it would not be easy to loosen the grip Hook and
Dillon had on Lodge 68. Their militance in bargaining had built a
powerful core of support in the lodge. More significantly they had
in their possession the lodge records, the keys to the lodge hall
and control over the lodge checkbook. But Brown had prepared himself
for a showdown. Before the Executive Council boarded the train in
Washington he arranged to have Eric Peterson bring some 8,000
envelopes addressed to the homes of Lodge 68 members. These were
mailed to poll the members' response to the employers' latest 15%
offer. While the ballots were still in the mail the Executive
Council summoned the officers of Loge 68 to show cause why their
charter should not be suspended. When the summons was ignored the
Council lifted Lodge 68's charter.
Harvey Brown followed through by petitioning the district
court for a writ ordering Hook and Dillon to turn over the lodge
books, keys and accounts. Meanwhile the ballots on the employers'
15% offer produced a majority in favor of acceptance. The Executive
Council then met with the employers an negotiated an even better
deal--an 18% wage increase plus six paid holidays and two weeks'
vacation.
Hook and Dillon fought back. They called a mass meeting
attended by diehards who voted to secede from the IAM and continue
the strike. A few picket lines were set up, but within days the
rebellion petered out for lack of support. Charges were then served
on Hook and Dillon. Refusing to respond they were tried in absentia
and fined and expelled. Embittered, Dillon dropped out of the labor
movement altogether but Hook went with the CIO Steel Workers local
(the offshoot of old IAM Local Lodge 284). Many years later, in the
1960's Roy Siemiller readmitted Hook as part of a membership swap
with the USW. GVP Stan Jensen says that when Hook died he had his
IAM due book in his pocket.
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