Once Again on the GM Plant Closure in Oshawa and the Limitations of the Social-Reformist Left

Sam Gindin published an article on the Socialist Project website entitled  GM Oshawa: Making Hope Possible. The following is a continuation of two previous posts on the closure and the inadequate nature of the social-reformist left in dealing with such closures (see Management Rights and the Crisis in Oshawa, Ontario, Canada: Limitations of the Reformist Left, Part One and  Management Rights and the Crisis in Oshawa, Ontario, Canada: Limitations of the Reformist Left, Part Two).

He divides his article into seven sections: 1. an introduction, 2. Workers as Collateral Damage; 3. Lame Politicians 4. The Union 5. Searching for Alternatives 6. Plan B. 7. Conclusion: Is This Really Feasible?

An implicit common thread throughout the various sections is the unfairness of GM’s actions and what to do about them. If the GM closure were not considered unfair, why would there be any concern at all? However, there is no explicit discussion about why it is unfair. This is characteristic of Mr. Gindin’s approach to working-class politics.

1. Introduction

Mr. Gindin claims that the typical measures to address such closures, such as traditional protests, simply will not work. What may work is, rather, democratic control through “community and national planning.” Before elaborating on this in section 6, , Mr. Gindin looks at the probable causes and consequences of the closure and the responses by politicians, the union and possible alternative solutions.

2. Workers as Collateral Damage

Mr. Gindin correctly points out that no matter what concessions workers make to employers, employers will try to find ways to move to places where it is more profitable. Despite the Oshawa plant being  productive materially and profitable in the production of cars and trucks, profitability is located more in truck production than in car production. Since GM has excess capacity in truck production, and the Oshawa plant only assembled trucks when the US plants could not keep up to demand, the decision to close the GM Oshawa plant makes sense from the perspective of GM.

The irony of a materially productive plant being closed down can be explained in Marxian terms (for further details, see my article, Dewey’s Materialist Philosophy of Education: A Resource for Critical Pedagogues? , page 278).

The purpose wealth in a capitalist society is hardly to serve the needs of workers and the community but to serve the needs of the accumulation of capital or more and more money as its own end. Given the need to accumulate capital constantly, it is hardly surprising to find closures occurring in various parts of the world as capital moves from one place to another in search of more surplus value (and profit).

It is interesting to note that the title of this section implies that workers are really mere means for the benefit of the class of employers, as outlined in The Money Circuit of Capital. Unfortunately, Mr. Gindin did not consider this to be characteristic of the experiences of workers on a daily basis in his practice in Toronto. For example, as one of the heads of the Toronto Labour Committee (an organization to which I belonged and from which I withdrew), Mr. Gindin did not find it useful to question the pairing of the Fight for $15 (a fight for the establishment of a minimum wage of $15 and changes in employment law beneficial to the working class, especially the poorer sections) with the idea of “fairness.” Indeed, he seemed opposed to bringing up the issue at a public forum. Moreover, when I questioned Tracy McMaster’s reference to “decent work” and “fair wages” in the context of a call for supporting striking brewery workers,  Mr. Gindin did not support my criticism of such terms. Quite to the contrary. He became quite apologetic of the term “decent work,” arguing that workers were using it as a defensive maneuver in these difficult times. Frankly, I think that that is bullshit–and I said so explicitly.

Mr. Gindin claimed that the Toronto Labour Committee should have a discussion some time about the nature of decent work and what it means–but I doubt that there has been much discussion about this. He himself indicated that he was afraid to become isolated–which meant being afraid of alienating too much trade-union representatives.

Now, Mr. Gindin sings a different tune, implying that workers are expendable no matter what they do.

In any case, Mr. Gindin’s rejection of my argument that we need to bring out into the open and discuss the idea that working for employers is somehow decent, or that employment laws and labour laws are somehow fair undermines his own claim that workers are “collateral damage”–even when there is a collective agreement. By rejecting democratic discussion of such ideology, workers are less likely to be prepared to address the problems that they now face in an adequate manner.

The third section of Mr. Gindin’s article, entitled Lame Politicians, should be aimed at Mr. Gindin, the Toronto Labour Committee and the social-reformist left characteristic of Toronto (and probably in other cities in Ontario and in Canada).

I will skip over that section since Mr. Gindin shares in the politicians’ lame response to the power of employers as a class.

4. The Union

Mr. Gindin rightly criticizes the union for making concessions in hope that jobs would be somehow guaranteed. However, as noted above, it is not just the particular union strategy of bending over backward to retain jobs but the whole union view of claiming that collective agreements somehow convert working for an employer into decent work despite the employer-employee relationship inherently making workers “collateral damage” even during the terms of the collective agreement. I have not seen Mr. Gindin once criticize explicitly the collective-bargaining process and its result, collective agreements. He and the Toronto Labour Committee have been too afraid of isolating themselves from the trade-union leadership–but that is surely what is necessary if typical trade-union rhetoric is going to be challenged.

5. Searching for Alternatives

Mr. Gindin outlines some possible alternative strategies open to Unifor (the union that represents the Oshawa workers at GM) in order to achieve the goal of maintaining the status quo (retention of jobs according to the signed collective agreement). Such strategies, such as boycotts or placing high tariffs on the import of cars from Mexico are unlikely to arise under the given circumstances. He mentions an occupation of the plant, but as he points out, an occupation without a plan is merely only a protest and not a solution to the problem facing the Oshawa workers.

This leads to his own preferred solution.

6. Plan B

Mr. Gindin claims that the only practical alternative is radical or revolutionary: it must break with previous models and focus on production for need and not for profit and competition. This would ignite the working-class imagination across the country, constituting a rallying point for working-class unity.

He correctly points out that GM will likely try to buy off some of the Oshawa workers through “pension top-ups and buyouts.” Unfortunately, he underestimates what would be required to counter such a strategy. My prediction is that such a strategy will work because of the lack of any effort to counter union rhetoric about “decent work,” “fair contracts,” “fairness,” “economic justice” and “fair labour laws.”

As already pointed out in various posts as well as this post, union leaders have generally become ideologists of employers by claiming that collective agreements, labour law and employment law are somehow fair. Workers have been spoon-fed the pabulum of “decent work,” “fairness” and “fair wages” for decades. Now, all of a sudden, they are supposed to shift gear and practically treat GM as unfair, their former jobs as indecent? They are supposed to become class conscious and act as a class despite the indoctrination that they experienced at school (see A Case of Silent Indoctrination, Part Two: The Ontario History Curriculum and Its Lack of History of Employers and Employees)?Similarly, they are supposed to envision all of a sudden a radical alternative without any discussion whatsoever of the nature of such a radical vision (see Socialism, Part One: What It May Look Like   , Socialism, Part Two: What It May Look LikeThe Canadian Left’s Lack of a Vision of the Good Life Beyond a Class of Employers  , Socialism, Part Three: What It May Look Like, or Visions of a Better Kind of Society Without Employers)?

It is certainly an occasion to reflect on a possible alternative vision of production based on need and not on profit, but to be effective it is required to combine such a vision with a critique of the present structure of production, distribution, exchange and consumption–and with that the union rhetoric of “decent work/jobs,” “fair wages,” “fairness,” “fair labour laws,” or “economic justice.” Workers would need to prepare themselves ideologically for taking such measures and for a battle along class lines. Mr. Gindin has done nothing to prepare them for such a shift.

So, my prediction is that Mr. Gindin’s alternative vision of production in Oshawa shifting to production for need will falter because it is utopian. On the one hand, it would be necessary to criticize the current union leadership much more thoroughly than Mr. Gindin’s is willing to do. On the other hand, it lacks any plan for shifting the attitude of workers to a class attitude, grounded in an explicit understanding that they are mere means for the purposes of obtaining more and more money and that process is unfair to the core and needs to be rejected.

One final point. Mr. Gindin recommends that the Oshawa plant be seized without compensation. That sounds fair since GM received a substantial bailout without repayment. However, is it realistic? Mr. Gindin does not even consider how the US government would react to such a move. One historical incident illustrates the problem. The democratically elected government of Jacobo Arbenz, in Guatemala (a country just south of Mexico), in 1954, nationalized the United Fruit Company’s land (the United Fruit Company (UFC) was an American multinational). He offered compensation according to the value of the land claimed by the UFC on its taxes–around $600,000 according to some. UFC wanted $25 000 000. Arbenz refused to pay the sum. The United States government, through the CIA, overthrew Arbenz and installed a military dictatorship through Castillo Armas.

Why did Mr. Gindin not take into account the possible reaction of the United States government? Furthermore, given the ideological paablum of “decent work,” etc. across the country as well as economic indoctrination across the country (see  A Case of Silent Indoctrination, Part One: The Manitoba History Curricula and Its Lack of History of Employers and EmployeesA Case of Silent Indoctrination, Part Two: The Ontario History Curriculum and Its Lack of History of Employers and Employees), would other workers support such a seizure without compensation? This does not mean that there should be no seizure without compensation, but it is necessary to take into account the possible reaction of the United States government in proceeding with seizure with no compensation. Mr. Gindin fails to provide any consideration of this in his article.

So, Mr. Gindin’s conclusion that it is impossible to determine whether his proposed alternative is feasible is incorrect. It is likely utopian since it fails to break definitively with a one-sided union model that continues to justify the power of employers as a class. It also fails to realistically assess the level of support needed to protect the seizure of assets without compensation.

The title of Mr. Gindin’s article should read: GM Oshawa: Making False Hopes.