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History |
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From THE FIGHTING MACHINISTS, A CENTURY OF
STRUGGLE
by Robert G. Rodden |
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Program for Progress
In the final three years of his second term, Red Smith was
mainly preoccupied with problems rising out of the great oil swindle.
With ever mounting energy costs triggering new rounds of inflation,
cost-of-living clauses became the paramount negotiating priority. By
1975 more than half of all IAM members were protected by automatic
wage escalators geared to the U. S. Labor Statistics Consumer Price
Index (CPI). The struggle to keep paychecks in pace with prices
resulted in a 50% surge in local lodge requests for strike sanction
and a 100% increase in the number of lodges actually going on strike.
When 20,000 members walked out of McDonnell Douglas plants and other
facilities in St. Louis, Torrence, Santa Monica, Huntington Beach,
Vandenberg and Cape Kennedy in February of 1975 the strike fund began
to sink rapidly. By the time the dispute was settled thirteen weeks
later--after the longest walkout in the company's history--weekly
strike benefits had to be suspended despite an infusion of $4.5
million for the general fund.
At a national staff conference in Chicago in April, 1975 Smith
ruefully announced that the Machinist, the labor movement's
last surviving weekly newspaper, would be published only once a month
beginning in June. Like so many other progressive non-profit
publications, the Machinist fell victim to a series of crushing
postal rate hikes. As a result of government policies which narrowed
freedom of speech and press by subsidizing commercial junk mail at the
expense of non-profit publications, the cost of mailing the Machinist
had skyrocketed from $1,500 to $6,600 per issue in just two years.
Moreover, projected increases would boost future mailing costs to
$15,000 per issue. Though the weekly Machinist won many awards for
editorial excellence and was widely reprinted and quoted, the
Executive Council decided these added costs, combined with the slow
but steady leak in membership, were too burdensome for the general
fund.
In a sense history repeated itself in the demise of the weekly Machinist
newspaper. Just as the monthly Journal was phased out in 1956
because radio reduced the time members spent reading magazine
articles, the weekly Machinist was converted to a monthly in
1975 because of mounting evidence that television had even further
reduced the average American's reading time. As a monthly publication
the Machinist continued to carry popular columns on consumer, job
safety and legal problems, but current coverage of negotiations,
grievances, arbitrations and other timely membership reports form work
places and union halls gradually gave way to fewer but more
comprehensive articles on such issues as alcoholism, noise on the job,
tax justice, and the role of women in the IAM.
The strike benefits suspended during the long walkout at
McDonnell Douglas were reinstated in October, barely in time for a
bargaining impasse involving 18,000 members at United Airlines.
Although wages and other issues were at stake the crucial sticking
point was the company's insistence on its right to shift work out of
the bargaining unit. When the strike began in early December, District
141 members realized the strike fund had not had time to rebuild and
benefits would probably have to be suspended again by the end of the
year. United, on the other hand, immediately began to collect more
than $3 million a day from an industry-sponsored Mutual Aid Pact.
Airline unions had been urging Congress to outlaw this agreement
ever since a group of the nation's largest carriers joined in setting
it up in 1958. Though the pact obviously violated the intent of the
Railway Labor Act by undermining collective bargaining and prolonging
strikes, remedial legislation invariably got lost in Congressional
power plays. With Christmas nearing and hundreds of thousands of
holiday travelers facing the prospect of being stranded by the
nation's largest air carrier, key members of Congress began to ask
questions. Even some newspapers that were normally pro-business
questioned the wisdom of paying public carriers not to fly.
Facing mounting criticism both from Congress and the press, United
agreed to keep work in the bargaining unit and made other concessions
sufficient to settle the dispute in time to take care of Christmas
travelers in 1975 (and, incidentally, to keep the strike fund from
going broke, once again, in 1976).*
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*The Mutual Aid
Pact paid UAL $48.9 million for the two weeks it did not fly.
However, Congress did not consent to outlaw the airlines
Mutual Aid Pact until it thoroughly destabilized relationships
between labor and management by deregulating the industry in
1978. |
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In December the Machinist closed 1975 by listing a state-by-state
tally of 114,936 jobs which were known to have been exported during
the year. Citing the overseas operations of multinational
corporations as the major contributor to unemployment or
underemployment of some 10-million Americans, The Machinist observed
that while multinationals paid employees in foreign plants less than
half the wages paid to U. S. worker. |
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The U. S. Congress continues to
encourage manufacturers to move their plants overseas.
Americans businesses get from Congress special tax advantages
on profits they make on their overseas operations. They get
from Congress special government-guaranteed, low-rate
insurance on losses from political upheavals, economic
restrictions or plant seizures in foreign countries. |
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Examples of localities in which jobs were lost that year included
the Rohr plant in Chula Vista where a thousand IAM jobs disappeared
with the expansion of Rohr's operations in Tijuana and Mexicali; the
GE appliance plant in Louisville where 425 workers were laid off
after wire frame assembly lines were moved to Juarez; the GTE
Sylvania plant in Batavia, N. Y., where employment dropped from 200
to 50 after GTE began production in Taiwan; the Control Data
division in Casper, Wyoming, where 150 workers became unemployed
when production was shifted to Hong Kong and Korea. Moreover, as the
Machinist also reported, although one million jobs were lost
to foreign competition between 1970 and 1975, only 34,900 workers
received special benefits promised in return for organized labor's
support for the Trade Adjustment Act of 1962.
In February, 1976, the IAM's International Affairs
Representative, Ben Sharman, sitting in for Red Smith, explained to
the Senate Finance Committee why unemployment was abnormally high in
industries where most IAM members were employed (i.e. 10.1% in
aerospace; 8.4% in metalworking machinery; 10% in electrical
machinery and 9.3% in fabricated metal products).
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Total imports of machinery rose
form $4.6 billion in 1969 to $12.2 billion in 1974. Imports of
machinery and transport equipment from developing countries
alone rose form $409 million to $3.1 billion. More recently,
imports of production machinery in the first ten months of
1975 rose to $8 billion from $7.6 billion for the
corresponding period of 1974. |
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Sharman told the senators, "Jobs have been lost by our
members who were producing typewriters, pianos, calculators,
phonographs, vacuum cleaners and many other products."
Such unrestrained looting of the nation's industrial job base
by big business eventually took it toll of IAM membership and per
capita. A special committee appointed by Smith to work with the
Executive Council in preparing recommendations for the 1976 Grand
Lodge Convention found that the steady decline in the dues-paying
membership 9from 915,000 in 1968 to 723,000 in 1975) had put Grand
Lodge operations $12.5 million in the red during the 1970's. While
local lodges were generally prospering from the higher dues being
collected under the two times hourly wage formula adopted at the
1972 Convention, the Grand Lodge and many district lodges were
suffering severe financial anemia.
After studying and comparing the dues and per capita
structures of other major unions, the Executive Council proposed a
"Program for Progress" to be presented to the upcoming
1976 Grand Lodge Convention. At the heart of this proposal was a
recommendation that per capita be computed annually according to a
formula designed to divide dues automatically and equitably between
the Grand Lodge and local and district lodges. The Council also
recommended that part of the Grand Lodge per capita be set aside for
a number of years to build a reserve into the strike fund.
As Red Smith told the delegates when the convention
opened in Hollywood, Florida, "The great accomplishment of our
1972 Convention was that it provided a sound financial base for our
local lodges. The legacy of this 1976 Convention must be adequate
financing for all three levels on which we operate." Despite
widespread unemployment and declining membership (down to 713,000
dues payers by the time the convention opened), the gathering in
Hollywood was the largest in the union's history. It was also one of
the most unruly and tumultuous. More then 2,300 delegates from 1,065
lodges were on hand to hear the International President outline the
Program for Progress at the opening session. With so many more
delegates than expected the sessions had to be switched hurriedly to
a larger auditorium. Unfortunately, the new hall was L-shaped, which
meant that half the delegates could not see the other half except on
enlarged TV monitors. The uproar that marked many of these
jam-packed sessions surfaced early in an angry denunciation of the
Executive Council's failure to establish a permanent, full-time
Civil Rights Department at Grand Lodge. A significantly large bloc
of black, Hispanic and women members contended that a commitment
made in 1972 had not been kept. At a special early morning hearing
called by the Resolutions Committee, they demanded a resolution
plainly outlining specific objectives and directing the Executive
Council to "establish a Civil Rights Department at Grand Lodge
under the direction of a person qualified to coordinate, foster and
develop the implementation of these objectives." The
noisiest debate at the 1976 Convention came on a motion to
reconsider a roll call vote on key portions of the Program for
Progress. In a roll call at the previous session the delegates had
voted 3,872 to 3,843 to base per capita on half the weighted average
monthly dues calculated on a union-wide basis. Seizing on this
paper-thin margin to exploit Red Smith's weakness as a
parliamentarian, those opposing any formula which would tie
per capita to dues brought the convention to the brink of anarchy.
In fact, in the heat of a wild debate on a motion to reconsider, a
non-debatable motion to adjourn touched off a disorderly bout of
shoving, shouting, chanting and catcalls. Good sense finally
prevailed when some of the old pros calmly took over the mikes and
got the convention back on the right parliamentary track. The
delegates agreed to rescind the roll call vote and refer the matter
back to the Law Committee. After further hearings the Law Committee
returned two days later with a proposal to set per capita at one
hour's weighted average earnings computed on a union-wide
basis. Though finally accepting this change, the delegates rejected
the proposal to build a reserve into the strike fund. Guest
speakers at the '76 Convention included the only Secretary of Labor
ever to come out of the ranks of the IAM, a former GLR in the
Southern territory, William Usery. The Democratic candidate for
President, Jimmy Carter, was also invited although members of the
MNPL National Planning Committee considered him the least appealing
of the eight candidates who appeared and spoke at their sessions
earlier that year. his remarks, like his Administration, were
uninspiring. Even his attempts at humor fell flat. But, once again
faced with the choice of a lesser of two evils, Jerry Ford or Jimmy
Carter, IAM delegates opted for the candidate who said he would
reduce inflation and unemployment and reform health care, welfare
and taxation. After getting the endorsement of the IAM Convention in
September and the votes of most IAM members in November, Carter
rewarded this support by sitting on his hands during labor's fight
for labor law reform and by caving in to the oil and gas lobby time
after time. While the Hollywood Convention was unusually
rancorous, it was also highly productive. In addition to ratifying a
dramatic break with the past (i.e., replacing stated per capita
imbedded in the constitution with automatic annual increments based
on average hourly earnings) the delegates mandated a number of new
or expanded services. These included a new Civil Rights Department
as well as vastly expanded Grand Lodge assistance to local lodge
community services committees, a larger effort to combat alcoholism
and drug abuse, more attention to training for members of local
lodge occupational safety and health committees and more coordinated
bargaining for members employed by multi-plant corporations. In
giving every delegate a chance to be heard on issues debated at
Grand Lodge conventions, Red Smith sometimes left himself open to
harassment from local lodge sharpshooters. But, at both of the
conventions at which he presided, he achieved his major goals. While
some of his predecessors may have been more charismatic or eloquent,
no International President ever did more to try to provide a sound
financial footing for the future. As George Meany pointed out when
Smith retired in June 1977, he guided the IAM safely through some of
the labor movement's most difficult years. |
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Bill Winpisinger--The Beat of a Different
Drummer
We Shall Overcome
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History |
Comments or Suggestions? E-mail the Communications Officer
of Siouxland Lodge 1426 IAMAW
Greg Enright
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