Socialism and Central Planning: Mr. Gindin’s Analysis of The Political Situation of Workers in General, Part Two

The following is the second of a two-part series on Bill Resnick’s interview with Sam Gindin, in accordance with the two-part presentation of the interview. I put my summary of Mr. Gindin’s talk in italics; my comments are in regular print. I also use italics when quoting others.

According to Bill Resnick, part two is an exploration of the potentialities for stimulating the working class from its lethargic state of passivity, cynicism and individual self-defense in order to inspire people to recognize their powers and capacities and thereby a socialist society.

Mr. Resnick then claims that climate change will oblige us to think how the economy is working.

Moving on to Mr. Gindin’s views, Mr. Gindin claims that it will be the environment that will be the key issue in relation to inequality. The rich are satisfied with the status quo of environmental conditions since they do not have to suffer the consequences from its deterioration.

Mr. Gindin then refers to the situation in Oshawa. He points out that, despite workers losing their jobs anyway, any suggestion of a serious alternative still meets with resistance since they have experienced thirty or forty years of lowering their expectations of what is possible. Their response to a left alternative is that it is a great idea, but it will never happen because they do not see their unions fighting for it nor do they see that larger social force fighting for it.

We should pause here. When have most unions, even during the 1950s, 1960s and the 1970s, generally fought for a larger vision of socialism? Most unions accepted the justice of collective bargaining and of collective agreements. Mr. Gindin implies that before the onset of neoliberalism 30 or 40 years ago, unions did have a larger social vision. That is a myth.

Indeed, red-baiting and the expulsion of communists from the Canadian labour movement forms part of the history of unions in Canada–a fact which Mr. Gindin conveniently ignores (see Irving Abella, The Canadian Labour Movement, 1902-1960). Social democracy won out within unions over any radical vision of society.

Why does Mr. Gindin ignore such facts? It is likely that Mr. Gindin indulges his supporters rather than taking the necessary step to criticize them. He probably panders after union support rather than criticizing the limitations of unions–including the limitations of collective bargaining and collective agreements.

He fails to criticize the responsibility of unions for, historically, partially contributing to the suppression of an alternative vision.

By the way, Mr. Gindin’s reference to the environment as being the key to inequality lacks any historical and factual basis. Where is there evidence that it is the environment that forms the center around which people are willing to fight against those in power and attempt to defeat them? It is the daily grind of working and living in a society dominated by a class of employers that will form the key issue–a social relation, and not the “environment” in the abstract sense of “nature” or environmental conditions in a general sense.  Mr. Gindin, as I indicated in my earlier post, wants to jump on the bandwagon of environmentalism in general and the climate crisis in particular in order to prop up his appeal. I doubt that he will be successful.

Mr. Gindin then argues that we need to develop structures through which people can fight so that they can gain a clear vision of the forces that support them and the forces that oppose them as well as understanding the importance of collective action for realizing workers’ aims. That is why political parties are important because they form a space for strategizing about what needs to be done. We must take organizing seriously.

Mr. Gindin then reiterates how impressed he is about what the environmental movement has done. However, he points out the limitations of that movement, that criticizes corporate power or the 1% but does not seriously propose taking power away from them. It is insufficient to merely lobby against them. If we are going to have [democratic] planning, we cannot have corporations making the investment decisions.

Mr. Gindin is certainly correct to point out the limitations of the environmental movement–but he should be consistent and point out the limitations of unions as unions in relation to collective bargaining and collective agreements. He does not. He avoids alienating his social-democratic supporters. Is that what is needed at present?

Furthermore, he refers to the importance of organization–but is organization by itself going to lead to the questioning of corporate power? Ms. McAlevey does not question such power. Social democrats do not question such power. Both engage in organizing of one sort or another. It is not, then, organizing in general that is the issue but what kind of organizing–on what basis? Organizing from the start needs to question corporate power–and that includes questioning the legitimacy of their power to manage workers as such. We may need to make compromises along the way, as embodied in a collective agreement, but let us not bullshit the workers by calling such agreements or contracts “fair,” “just” and other such euphemisms.

To be consistent, Mr. Gindin should question the limitations of unions and union organizers in relation to collective bargaining and collective agreements. Why does he not do so?

Mr. Gindin claims that struggles are fundamental and that they develop the capacity to recognize the limits of being militant. They develop democratic capacities that prevent them from accepting authority.

Workers certainly do learn the limitations of being militant (they get fired, for example), but such a lesson hardly need translate into learning the limitations of unions, collective bargaining and collective agreements.  Workers may blame unions for the limitations of militancy–unless the limitations of unions, collective bargaining and collective agreements are pointed out, on the one hand, and an alternative vision of what may be is outlined, on the other.

Although struggles are certainly necessary, are they sufficient to enable workers to come to the conclusion that the authority of the class of employers should be questioned? What is more likely is that such struggles will lead to criticisms of particular aspects of such power but not that power as such. Mr. Gindin vastly underestimates the ideological hold this kind of society has on workers and how it is vital to engage in constant ideological struggle if we are to develop democratically to the point where we can consciously and organizationally take corporate power away.

We need to take state power, but not just that. We need to take state power and transform that power so that we can develop our democratic capacity so that there is, on the one hand, a check on what the state does and, on the other, that people are actually participating in state power. This requires developing the technical capacity of ordinary workers to make appropriate decisions that affect their lives and not just having scientists come into government to make decisions for us.

We certainly do need to take state power–and transform it. However, if we are to do this consciously from the start, then we need to question the present state structures in their various dimensions. For example, we need to question the current educational structures, with their emphasis on assigning marks or grades to students, their separation of curriculum into academic (intellectual) and non-academic (vocational, which allegedly has more to do with the body), and so forth. When I belonged to the Greater Toronto Workers’ Assembly GTWA (which morphed into the Toronto Labour Committee), of which Mr. Gindin was practically the head, Mr. Jackson Potter was invited to discuss how the Chicago Teachers’ Union (CTU) organized and led a successful strike. I eventually wrote up a critique of one of the CTU’s documents (see my article “A Deweyan Review of the Chicago Teachers‘ Union Publication The Schools Chicago Students Deserve: Research-Based Proposals to Strengthen Elementary and Secondary Education in the Chicago Public Schools” in the Publications and Writings section of this blog). The response of the GTWA to my critique was–silence.

Education, of course, is just one area that needs to be restructured through the abolition of its repressive features. The courts, police and the legal system need to be radically transformed as well (as I argued in another post and about which Mr Gindin was silent (see   Socialism, Police and the Government or State, Part Two). Health is of course another area which needs to be radically restructured and its repressive features abolished (see various posts on the health and safety of workers on this blog).

Mr. Resnick then mentions Lucas Aerospace, which closed; in response,  and workers came up with a plan to change things by focusing on products needed by the community. Workers built a powerful movement both inside and outside the union.

Mr. Gindin points out that Lucas ended in defeat. Nevertheless, what is inspiring in the case of Lucas and in Oshawa is the focus on producing not for profit but for social need, which stimulates the imagination and leads to diverse creative ideas. The problem is that you need the power to implement them.

You do indeed need the power to implement them. The illusion that workers have much power through collective bargaining and collective agreements needs to be constantly criticized so that they can begin to organize to challenge the power of employers as a class and not just particular employers. In other words, it requires ideological struggle and not just “organizational” struggle. How workers are to build power when they have faith in the collective-bargaining system and collective agreements is not something Mr. Gindin addresses. Why is that? Why does he ignore such a central issue when it comes to talking about unionized workplaces?

Mr. Gindin then points out that people do rebel, but the problem is how to sustain that rebellion.

That is indeed a problem, but failing to criticize one of the keystones of modern unions–collective bargaining and collective agreements–surely impedes a sustained effort at rebellion. Faith in the collective-bargaining process is bound to lead to cynicism since the cards are stacked against workers from the beginning because of the implicit or explicit management rights clause that exists in the collective agreement–and yet workers are fed the ideology that collective agreements are “fair,” “just” and so forth.

Mr. Gindin next claims that people can see that capitalism is not the ultimate end of history since it does not address their needs nor the needs of the environment.

This gives way too much trust in people’s rhetorical criticism of capitalism but their real acceptance of it–as he himself earlier implied. People lack a vision of a better world and accept, reluctantly at times, the so-called inevitability of capitalism in practice. Social democrats may refer to capitalism this and capitalism that, but they do not really seek to overthrow the power of employers.

Mr. Resnick then refers to racial, gender and sexual orientation as divisions that will be overcome in the social movement. Mr. Gindin does not specifically address these issues but claims that when people work together, they begin to form common dreams as they realize they have common problems.

Is there evidence that workers in the closed GM plant at Oshawa now are opposed to the power of employers as a class? After all, surely some of the workers for GM at Oshawa have come together and discussed some of their common problems. Yet earlier Mr. Gindin pointed out that there is much cynicism among such workers. It is not only insufficient for workers to get together and to discuss common problems–since there is such a thing as their immediate common problem–which centers around a particular employer, and the common problem of having to work for an employer as such (any employer)–a problem that is rarely if ever discussed.

Furthermore, Mr. Gindin’s view is not only naive, but there is evidence that contradicts it. As a member of the Toronto Labour Committee, and in good faith, I tried to bring up the issue, in the context of striking brewery workers, of whether their work constituted “decent work” and whether the wages that they sought should be called “fair wages.” I was met with insults by one trade unionist. Mr. Gindin, in addition, claimed that the reference to “decent work” was a purely defensive move. That is nonsense; it is ideology, and should have been criticized. People did not work together over the issue of the legitimacy of collective bargaining and collective agreements; the issue was simply buried through insults and the rhetoric of “defense.”

There is a continuation of the theme that organization is the key–it is insufficient to become aware or that capitalism is bad.

Mr. Gindin fails to see the need to combine a specific kind of organization with ideological struggle. To be sure, without organization workers cannot gain power, but workers will unlikely gain power without engaging in organization and ideological struggle simultaneously. Mr. Gindin minimizes the importance of ideological struggle and exaggerates the importance of mere changes in organizational struggles (such as Ms. McAlevey’s innovations in organizing). Both are required simultaneously, and that means engaging in an ideological battle with the traditional left. Mr. Gindin, however, indulges the social-democratic left and panders to them by avoiding an ideological struggle. Any organization that emerges as a consequence will unlikely be more than an organization that accepts the power of employers as a class.

For Mr. Gindin, what has been defeated is the socialist idea.

That idea was long ago defeated–few workers in Canada adhered to it even in the 1960s and 1970s. Furthermore, Mr. Gindin now implies that ideological struggle is indeed vital–but he implied just above that it was not that important–that organization was vital. Or is he now arguing that both organizational and ideological struggle are vital? If so, why does he not explicitly engage in ideological struggle with his social-democratic supporters?

The following does indeed imply that it is vital to unify organizational and ideological struggle:

We have to organize to end capitalism.

Good. To do so, however, requires meeting objective conditions–and one of those conditions is criticizing those within the labour movement who idealize organizing efforts that merely lead to collective bargaining and collective agreements (such as Tracy McMaster, union steward, organizer, former vice president, Ontario Public Service Employees Union (OPSEU), “our Tracy,” as Mr. Gindin once called her). Mr. Gindin, by not criticizing Ms. McMaster’s reference to “decent work” and “fair wages” fails to meet such objective conditions for the ending of capitalism.

However, Mr. Gindin then makes the following claim:

People see through the system.

Do they really? I doubt it. This view vastly underestimates the ideological hold that the power of employers in its various facets has on workers and the repressive character of various institutions–from work institutions to state institutions People do not see through the system. If they did, they would not pair the struggle for a minimum wage of $15 (and needed reforms in employment law) with the concept of “fairness” so nonchalantly. They would not call collective agreements fair, nor would they imply that there is a relatively equal power between organized (unionized) workers and employers.

Mr. Gindin once again minimizes the ideological struggle.

The issue of a worsening environment through global warming then comes up. Mr. Gindin argues once again that access to the environment will be one of the great inequalities of our times–access to the environment.

As I argued in the previous post, Mr. Gindin’s concept of the environment is faulty. The environment of human beings has included the use of land and tools for millenia. That access has been denied with the emergence of classes and some form of private property (and communal property can be private property relative to another communal property). Access to the environment has always been a class issue–even before capitalism.

An environmental crisis may lead to authoritarian structures arising rather than democratic ones. One of the problems is that people do not see structures through which they can work, commit and have confidence that such issues will be addressed–and this includes unions and political parties. People know that something is wrong, but they lack the confidence of getting at it. That is why fighting through unions is so important; you learn on a daily basis that collectively you can effect things: you can affect your workplace, you can affect your foremen, you can have different kinds of relationships to your workmates.

It keeps coming down to whether people do not know enough or whether people do not see the structures through which they can fight through and win. Mr. Gindin believes it is the lack of structures which forms the problem, not whether people do not know enough,

Mr. Gindin’s criticisms of unions is welcome–but too general and vague to be much help. He should elaborate on why unions are not the structures through which people can “work, commit and have confidence” that their problems will be addressed adequately. Why such a vague characterization of the inadequacy of unions and union structures? What is it about union structures that prevents workers from having the confidence and the commitment to work though them to achieve their goals?

Again, Mr. Gindin underestimates the importance of ideological struggle within the labour movement in general and the union movement in particular.

The labour movement, despite having been kicked around for the last 30 or 40 years, has not concluded that we need to unite in class terms. Certainly, engaging in resistance is vital, but what have we learned from such resistance? To push harder for our own particular agenda, or have we learned that we need a class perspective to address our problems? That we need to recognize that gender, race and wage inequalities must be overcome so that we can function as a class? That does not happen automatically and has not happened automatically. That class perspective has to be built. Otherwise, workers are only individual, fragmented workers with particular identities separate from each other. We need to make ourselves a collective force–a class; it does not happen spontaneously. The potential for workers to make themselves a class has increased, but the potential will not be actualized automatically.

There are various openings or potentialities for politicization, but we should not exaggerate this by arguing that we are well on the way to winning. People are willing to fight, but then the question is: How do we actually organize ourselves to win. We are not very far along in that road.

That road is socialism, which allows the best aspects of humanity to develop.

Certainly, divisions within the working class need to be recognized and overcome in order to form a class. A class perspective needs to be fought for in various fronts. Unfortunately, Mr. Gindin does not see that such a class perspective requires a confrontation with the ideology of the legitimacy of collective bargaining and collective agreements. There will be no spontaneous overcoming of the organizational limitations of unions (including the ones proposed by Ms. McAlevey in her various books) unless the legitimacy of collective bargaining and collective agreements is called into question. This does not mean that unions would not engage in collective bargaining or not have collective agreements voted on; rather, the limitations of collective bargaining and the corresponding limitations of collective agreements would be explicitly recognized via a class perspective, which permits recognition of the need for temporary truces because of a relative lack of power.

My prediction is that Mr. Gindin’s efforts in Oshawa will be in vain since he underestimates greatly the need for ideological struggle in general and the struggle in particular for union members to recognize the limitations of collective bargaining and collective agreements not just rhetorically or by way of lip service but rather practically by ceasing every opportunity to demonstrate their limitations and the need for an organization that addresses such limitations–a socialist organization.

Socialism and Central Planning: Mr. Gindin’s Analysis of The Political Situation of Workers in General, Part One

The following is a two-part series on Bill Resnick’s interview with Sam Gindin, in accordance with the two-part presentation of the interview. I put my summary of Mr. Gindin’s talk in italics; my comments are in regular print. I also use italics when quoting others.

One of Mr. Gindin’s key criticisms of both GM and the union that represented the workers at Oshawa is that GM promised jobs if the union would make concessions. The union made concessions–and GM reneged on the deal and eliminated the jobs. The union did not adequately respond to the repeated down scaling of the workforce but only succeeded in “managing” the down scaling.

Mr. Gindin then argues that an adequate union response requires thinking beyond GM since GM cannot solve this problem. Being militant in bargaining may get you some things, but jobs are not something that bargaining can guarantee. Retaining jobs involves a larger issue and is political. Ultimately, you are arguing on the company’s terms since it holds the trump card of maintaining the facilities open or closing shop.

Let us stop there. There is an implicit critique of the whole union model that has existed in Canada since 1944, when the federal government obliged employers to recognize unions of workers’ choice. If collective  bargaining cannot guarantee jobs, then should not Mr. Gindin criticize the union rhetoric of “fair contracts,”  “economic justice,” and “fairness” (all stock-in-trade phrases of the left here in Toronto)? And yet when the opportunity arose of criticizing the pairing of a struggle for $15 an hour minimum wage (and needed employment law reforms) with the concept of “fairness,” Mr. Gindin remained silent. Why is that? Mr. Gindin claimed that we should be humble, and yet is it not the height of arrogance on his part to presume that such pairing is unimportant? I found the equation of $15 an hour minimum wage with the concept of “fairness” to be politically conservative, and Mr. Gindin’s silence over the matter to be an example of the repeated pandering after popular opinion rather than a needed ideological struggle over what is indeed fair and not fair in our society.

How does Mr. Gindin suppose people operate? If they personally find that something is fair, and no one even addresses the issue, they eventually become cynical and reduce their activities to self-interest. Why bother, they ask themselves? Nothing will change. After all, the so-called progressives in Toronto, Ontario, Canada, think that if I work for a minimum wage of $15, have a few extra rights at work, then everything is fine–it is fair. And yet I have to drag myself out of bed to go to work that is largely determined by others. I have to accept the daily abuse experienced at work if not directly and personally by having a supervisor criticize me but indirectly and impersonally by having my work procedures, work load and so forth determined beforehand by others.  I then have to struggle to return home either by standing in packed subway cars and buses or driving  a car during rush hour to get home and find some kind of relaxation by either partying or watching TV. The rhetoric of fairness feeds into the development of a cynical attitude since most people that the lives they lead in various ways is not fair. To bullshit them by using such words and various phrases does them a great disservice.

What of workers covered by collective agreements? Mr. Gindin is silent on this score. It is not just a question of the impotence of unions to stop employers from closing shop, but he only refers to the impossibility of collective bargaining addressing the issue of jobs. Collective bargaining, however, more generally cannot address the issue of jobs because collective bargaining presupposes the legitimacy of management rights. Why does Mr. Gindin not explicitly criticize the rhetoric surrounding collective bargaining and collective agreements in general? Is this not necessary if we are to overcome the limitations of the union movement? But if criticizing the rhetoric surrounding collective bargaining and collective agreements is necessary in order to free us of the illusion of the fairness of unionized work environments, and if freeing ourselves of such an illusion is a necessary condition for fighting for a socialist society, then a socialist would engage in such criticism.

If, however, doing what is necessary to achieve a socialist society is to abandon our illusions concerning what is fair, and Mr. Gindin refuses to do what is necessary, is he not engaging in unrealistic actions? If questioning the limitations of collective bargaining and collective agreements forms a necessary component of a socialist movement, and Mr. Gindin refuses to engage in such criticism, then how effective will Mr. Gindin’s actions be in the long run?

Where is the humbleness in Mr. Gindin’s actions?

The second point is that we have to deal with the larger issue of economic reconstructing because the present system is not working for the benefit of working people. Workers are no longer getting security or decent wages. The larger issue is how do you deal with economic reconstructing generally and not just GM.

Yes, there is a larger issue, but economic reconstruction is not the only thing that is involved. Mr. Gindin talks a lot about class, but surely a socialist society would involve the abolition of a class society–a radical qualitative change in our lives.  Mr. Gindin, being a “realist,” ignores this dimension of the problem. Economic reconstruction has existed in the past; capitalist emerged through economic (and political and social) reconstruction. However, in a socialist society, the reconstruction would involve the abolition of classes–and Mr. Gindin ignores the radical qualitative change in such reconstruction.

The third point is that radical demands that go beyond GM must be able to connect to the larger community and gain its support by addressing some of its needs. Mr.Gindin then asserts that the obvious issue that connects the two is the environment.

It is hardly obvious to me. As I argued in another post (The British Labour Party’s 2019 Manifesto: More Social Democracy and More Social Reformism, Part One), the focus on climate change is presently a fad (Bill Resnick refers to climate change often enough, outlining a possible apocalyptic life). Not that environmental problems are unreal; however, if people are unmotivated to face the power of employers as a class despite the daily experience of oppression and exploitation, why does Mr. Gindin think the issue of environmental problems will somehow motivate them and have lasting power?

Let us look at the concept of “environment” for a moment. The philosopher John Dewey analyzed the nature of the environment, and it is not something which is somehow “external” to living beings (from Logic: The Theory of Inquiry, pages 33-34):

There is, of course, a natural world that exists independently of the organism, but this world is environment only as it enters directly and indirectly into life-functions. The organism is itself a part of the larger natural world and exists as organism only in active connections with its environment.

The natural world is an environment only in relation to the life process. From John Dewey, Democracy and Education: An Introduction to the Philosophy of Education, pages 12-13:

In brief, the environment consists of those conditions that promote or hinder, stimulate or inhibit, the characteristic activities of a living being. Water is the environment of a fish because it is necessary to the fish’s activities—to its life. The north pole is a significant element in the environment of an arctic explorer, whether he succeeds in reaching it or not, because it defines his activities, makes them what they distinctively are. Just because life signifies not bare passive existence (supposing there is such a thing), but a way of acting environment or medium signifies what enters into this activity as a sustaining or frustrating condition.

The environment is not something external to workers but forms the conditions within which they live both biologically and socially. Some environmental conditions are distant, others close at hand physically. Such an environment in the case of human beings is also social since we are a species that depend on each other (grounded in the relatively long period before an infant can become a productive member of the world).

What are the environmental conditions that will most likely and immediately grip the interests of workers and community members? The priority should be developing opposition to the power of employers as a class, and community issues should be linked to that issue–such as housing, health, education, social services, the police and the oppressive forms in which such community services are provided. and, yes, the environment in a wider sense, but only in conjunction with the other issues. The view that the “environment” is something independent of us is nonsense. The environment as an isolated area of our lives will  unlikely have lasting power to engage workers and community members interests; it must be linked to these more immediate interests if it is to have lasting power rather than be just a fad.

He then summarizes these three points: the left must address the problem of the corporations not solving our problems, of how to deal with economic (and political) restructuring) and how to address the first two in relation to problems associated with the environment. Unions must thus become something other than what they have been since they have lost focus and direction under the sway of globalization and neoliberalism. Mr. Gindin, however, refers to the private-sector unions and leaves open the question of the nature and efficacy of public-sector unions.

I have already addressed the issues above-except Mr. Gindin’s backhanded idealization of public services and public-sector unions. This should come as no surprise. Mr. Gindin’s conception of socialism involves an expansion of public services via nationalization–as if the current form of public services did not require thorough reconstruction due to their oppressive nature. See my brief criticism The Contradictions of Social Democracy: Mr. Gindin’s Musings on the Closure of GM’s Oshawa Plant  and a more in-depth criticism of nationalization (and, indirectly, the idealization of public services) in the post The Poverty of Academic Leftism, Part Seven: The Idealization of the Nation State or the National Government and Nationalization in the Wake of the Coronavirus Pandemic, Part Two; see also The Money Circuit of Capital ).

Mr. Gindin then outlines his alternative plan. We should take over the GM plant, put it under public ownership and converting the plant and having the now unemployed workers use their diverse skills in the assembly facilities, the paint shop, the stamp shop and coordinating it with components plants in the surrounding area.

Such a plan needs to be linked to the environment for at least two reasons. In the first place, Mr. Gindin implies, the problem of the environment is urgent and needs to be addressed now. In the second place, the planned alternative facility should not face the constraints placed on it by competition from other capitalists in China and other parts of the world.

The appeal to the urgency of problems associated with the “environment” reminds me of some Marxists’ appeal to the urgency of transitioning to socialism because of the inevitable breakdown of capitalism. This hype about the urgency of environmental problems is unlikely to grip the interests of most workers and community members; they have more pressing immediate problems, like getting to work on time, enduring their work life without suffering too much humiliation, finding some meaning in their work life, going home and not suffering further problems.

It does make sense to seek areas of  production where competition is limited in order to prevent competition from leading to cuts in wages, benefits and deteriorating working conditions.

To kill two birds with one stone, it is necessary to engage in planning, and this planning requires not only the state becoming engaged in the process but in a more aggressive state that improves environmental standards by obliging people to move away from an economy based on fossil fuels. Furthermore, the state could also function as consumer by purchasing electrical vehicles. In addition, the state could use some of what it purchases for the expansion of public transport, thereby reducing the use of private vehicles and decreasing dependence on fossil fuels. Mr. Gindin calls the state planning to this end democratic planning. Democratic planning is impossible if key economic decisions are made by private companies.

I am dealing with Mr. Gindin’s inadequate treatment of socialism in other posts (see,  for example, Socialism, Part Nine: Market Socialism as an Initially Necessary but Inadequate Social Model). In relation to democratic planning, though, I will add that the idea that the total planning of society is to arise through the state was not an idea proposed by Marx: the state may own the means of production in the sense of preventing private individuals from denying workers to collectively use them, but the control over those means of production would be in the hand of workers themselves and not the state. From Rob Bryer, Accounting for History in Marx’s Capital: The Missing Link, page 277:

The section rejects the dominant interpretation that he advocated central planning. Marx’s mature concept of socialism abolishes markets for capital and labor power, but the section argues it requires competitive markets for products and services, cooperative enterprises, and accounting to hold enterprise management accountable to workers, and workers accountable to society.

(Bryer’s view of socialism has its own limitations in that he sees that Marx distinguished a socialist society that emerges from capitalism and a society that maintains itself on its own basis, but he then eternalizes markets.)

Mr. Gindin is an advocate of central planning, as is evident from the following:

Environmental change involves radical change since it involves change throughout society–including both production and consumption. We need to begin to create the capacity to convert to an environmentally friendly economy in every community by creating from research centers (peopled by young engineers) that inquire into what capacities, skills and equipment we currently have and what we are going to need to make the transition to an environmentally friendly economy. At the same time, the state needs to restructure the economy through, for example, raising environmental standards that require such environmentally friendly restructuring.

Mr. Gindin then contends that for this to work, several components must work together: planning, decentralisation and calling into question the private power of employers.

He then returns to the issue of environmental problems and the large-scale nature of the problem and the urgency of the problem. The problem cannot be addressed through the fragmented market nor can it be addressed through general phrases about the environmental crisis; if we stay at that level, workers will simply ignore the issue since they lack control over their lives and cannot address the issue when it is posed in general terms.

He then argues that since planning is required, it is necessary to control what you are planning. This involves changing property relations at work, which requires real struggle with workers to oppose the closing of plants not just in Oshawa but in many other communities.

Mr. Gindin admits that for now there is no base for such an approach; it would be necessary to organize for such an end. He also points out that the modern state is a capitalist state, which manages discontent by controlling and managing labour; the capitalist state has not developed planning capacities. What is required is a transformation of the capitalist state so that the state can plan democratically.

He argues that the capitalist market is failing in various ways in meeting our needs, from security to equality, environment and a rich personal life. Business is very vulnerable in these areas since it does not really meet these needs.

We need to develop the capacities of the working class to represent these needs, and it will not be easy. The working class must be reconstructed into a social force with the confidence to address these needs.

Mr. Gindin then claims that, during the Second World War, planning did indeed occur within the state, but the planning was performed mainly by businessmen becoming state officials. With the end of the war, they exited the state because they did not want the state to become autonomous. To be sure, the state has developed the capacity for planning in various departments, but it has not developed the capacity to engage in overall planning at the national level during normal periods (not exceptional periods, like wartime). Furthermore, the state does not know how to plan democratically. It is necessary to transform the state, and that will not be easy.

There are several problems with the above. Firstly, the reference to “decentralisation” is left hanging in the air. Where does decentralisation come into play in Mr. Gindin’s view of the nature of socialism. It remains a mystery. Secondly, it is not only necessary to call in question the private power of employers but the public power of state employers over employees. Thirdly, he talks about how workers need to oppose the closing of factories in various communities. Since the police protect the right of employers to close factories, Mr. Gindin should have indicated some kind of strategy about how to deal with the violent means used to protect the closing of factories and workplaces. Fourthly, even if he did propose such a strategy, it would probably involve workers having to jeopardize, if not their lives, at least their livelihood as the capitalist state through the courts fined them or threw them in jail. Would Mr. Gindin engage in such needed opposition personally? Fifthly, Mr. Gindin merely repeats the well-worn idea that central planning is socialist. This is hardly so. A common plan need not be a central plan formulated by some separate entity called the state. From Bryer, page 283:

Second, while Marx often wrote, for example in Volume 1 of Capital, that socialism would function according to a “definite social plan” (1976a, 171), there are two meanings of the word “plan” we need to keep separate. The dominant interpretation is that by “plan” Marx meant, “A table or programme indicating the relations of some set of objects,” “a detailed formulation of a plan of action,” in his case a production and consumption program or plan of action for society.3 The chapter, however, argues he meant a “scheme,” “of arrangement” or “of action,” a “Method, way of proceeding,” “a method for achieving an end,’ a way of organizing society. As Jossa (2005, 11) puts it, “while Marx and Engels certainly conceived of the plan as an antidote to the anarchical nature of the capitalistic market, they were thinking of a plan for abolishing the production of commodities and so not based on the law of value,” a scheme or way of organizing society for abolishing value.

Marx’s way of organizing socialist society, his concept of its relations of production, the chapter argues, is not the supervision or action controls implied by the central planning interpretation, but results control by workers.

Mr. Gindin’s reference to the state (which is not to wither away according to Mr. Gindin but is to expand) and implied central planning, on the one hand, and a democratic state, on the other, contradict each other. Marx, by contrast, was more consistent:

For Lavoie (1985) the ‘procedure’ or ‘process’ must be central planning. However, Marx and Engels consistently argued for a democratically elected and accountable workers’ state, for control by workers, which is what they meant by their occasional uses of ‘dictatorship of the proletariat,’ not ‘dictatorship of the Party’ or their leaders (Draper 1986). Against Lassalle’s fetishism of the state, the theoretical side of his pervasive authoritarianism” (Draper 1986, 304), as Marx put it, “freedom consists in converting the state from an organ superimposed upon society into one completely subordinate to it” (1989, 94), that is, in making the state fully accountable to workers. To provide the economic basis for democracy on Day 1 of the ‘dictatorship of the proletariat,’ to transcend capitalism’s profit and loss system of accounting control that Marx had explained in Capital (Bryer 2017), it implements a system of cooperative enterprise and social accounts, not central planning, a conclusion that Engels accepted, and Lenin eventually drew (see Bryer 2019a).

It is workers who will have to learn how to coordinate their own work and not the state as a separate entity. That such a learning process may take years or decades does not mean that the principle should be abandoned since coordination by workers (and communities) must begin from the beginning. With the elimination of capital markets and a market for workers, worker cooperatives (and community organizations) could emerge and serve as the learning organizations for such planning. From Bryer, page 277:

Fourth, the chapter analyses Marx’s criticisms of the draft Programme of the Socialist Workers’ Party of Germany, the Critique of the Gotha Programme (1875). …  He re-emphasized his long-standing vision of socialism based on a universal system of worker cooperatives that, transcending capitalist accounting control, must be accountable to workers and society for the production of value on Day 1.

Planning can emerge inductively through a federation of cooperatives, as Bryer argues (page 276):

To make this change the proletarian state takes all means of production into its hands, thereby abolishing the capital market, and abolishes the market for labor power, replacing ‘free’ wage workers with free social agents by replacing joint stock companies with a universal system of worker cooperatives, accountable to their worker-shareholders and to society.

It is through this “inductive” process rather than the “deductive” (top-down) process of planning that workers and the community will at last begin to control their own life process–and not through some form of central plan divorced from the workers and the community. Mr. Gindin may claim that he agrees with this, but his argument implies the divorce of the planning process from those who experience the consequences of this process–hence, his claim, in another writing, that the state is not to wither away but to expand.

I will continue in another post with critical commentary on the second part of the interview of Mr. Gindin. I suspect, though, that it will probably contain the similar arguments as above.

Transparency in Collective Bargaining: A Necessary but Insufficient Condition for Democratic and Rational Working-Class Practice

Rebecca Keetch wrote an article that was posted on the Socialist Project’s website on transparency and collective bargaining (https://socialistproject.ca/2020/09/canadian-auto-workers-fight-for-contract-transparency/). Ms. Keetch was a former GM worker at Oshawa, Ontario, Canada, and she is a member and activist of Green Jobs Oshawa.

Ms. Keetch advocates for transparent bargaining in a form similar to what I tried to do when I was a member of the negotiating committee for the support workers of the Prince George School District No. 57, in Prince George, British Columbia, Canada (see Reform or Abolition of the Police, Part One). Not only must we present to our unionized fellow workers the proposals that we have tentatively negotiated but also what we have been unsuccessful in negotiating or had to modify in the process:

As bargaining at the Detroit Three automakers kicks off in Canada, union members are fighting back against a longstanding undemocratic contract ratification process. In an unprecedented development, the Solidarity Movement, a rank-and-file movement within Unifor, has launched a petition to demand full disclosure of the collective agreement before voting takes place. Since the launch in early August, more than 1,800 members have signed.

The petition calls on Unifor leadership to “provide full disclosure of the contents of the contract, five days before ratification, by publishing all revisions, additions, deletions, and changes to the contract, clearly marked, on the Unifor National website and the websites of the locals involved in ‘Detroit Three’ bargaining.” It also requests “that the ratification highlights include a clear statement of all money and benefits negotiated on behalf of union representatives and any money or benefits negotiated to be paid to the Locals and/or National Union.”

In the US, the United Auto Workers publishes the full contract with all changes on its website where Detroit Three members can read it before they go to their ratification/information meetings — a long-time demand of American union reformers. The UAW began posting the tentative Detroit Three contracts online in 2011.

This movement to create transparency is to be welcomed. Workers deserve to be able to see what negotiators have done on their behalf before making a decision on whether to ratify the collective agreement or to reject it. It is their lives, and they have a right to make decisions concerning its direction and quality as far as is humanly possible.

Ms. Keetch certainly is moving in a more democratic position when she writes:

The members’ concerns should be acknowledged, not simply dismissed. Real democracy means taking our lead from the members.

She then outlines the procedures used in typical undemocratic collective bargaining:

Historically, auto negotiations are secretive. Once contract demands are collected by leadership, workers are nearly shut out of bargaining, which takes place behind closed doors. At the completion of bargaining, information/ratification meetings are immediately scheduled.

As members enter the meeting, they are given a handout called a “Bargaining Report.” The Bargaining Report contains highlights of the tentative agreement and includes messages from the national president and other leaders encouraging ratification. Union leadership and staff make a presentation on the highlights of the agreement. Members are given limited time and opportunity to ask questions and no opportunity to meaningfully discuss the agreement with each other before being required to vote. Historically, voting has taken place at the information meeting.

She then argues that the Constitution of Unifor is supposed to be democratic and that it is necessary for it be in reality democratic rather than just formally:

Democracy In The Constitution

The Unifor constitution makes it clear that Unifor is intended to be a democratic organization and that the members are meant to control the union. Article 2, Section 1 states, “Unifor is a voluntary organization that belongs to its members. It is controlled by members and driven by members. Its role is to serve their collective interests in the workplace and in our communities. The life of Unifor is shaped by the essential ingredient of democratic participation. Democratic values are the foundation of all that we do. Our commitment to the principles and practices of democratic unionism define who we are and are reflected in our rules, structures, and processes.”

Our constitution cannot just be words on paper. If union leadership doesn’t live and breathe to empower and engage the membership, if leadership limits worker agency, participation, discussion, and debate, then the inevitable outcome is a weak, disempowered membership that can’t fight back when the bosses are trying to walk all over us.

Unifor members are often told to just trust our leadership. But ratifying a collective agreement isn’t about rubberstamping whatever the leadership brings. If that were the case, why would we even go to the time and trouble of having a ratification vote? With technology today, it couldn’t be cheaper or easier to make the contract available ahead of ratification.

The democratization of the collective bargaining process at the level of the local is certainly necessary. However, even if it were democratized, the result would not overcome limitations which Ms. Keetch does not address.

She makes the following claim:

Though the collective agreement is one of the most important documents to shape a worker’s life, Canadian auto workers at General Motors, Fiat-Chrysler, and Ford are not allowed to see it before we are asked to ratify it. Unifor, the largest private sector union in Canada, represents nearly 17,000 auto workers at the Detroit Three.

Technically, as a document, the collective agreement does indeed shape a worker’s life–by limiting what the employer can do. From a worker’s perspective, it is, on the one hand, a a tool for limiting the power of management and, on the other, an expression of monetary remuneration and benefits for transferring the power of control over the worker’s life, temporarily, to the employer.

Ms. Keetch’s critique of the collective bargaining process is more advanced than Brian Forbes’ implicit defense of typical collective-bargaining procedures (see the article “Critique of Collective-Bargaining Models in Canada” found in the Publications and Writings section of this blog) since Mr. Forbes fails to criticize the traditional anti-democratic model of collective bargaining.

However, what if you democratize a process in the context of a situation that is undemocratic? Ms. Keetch nowhere explores the limitations as such of the collective bargaining process and the resulting collective agreement in the context of a class of employers. How does this context “shape a worker’s life?” Is this context more or less important than the collective agreement?

Readers who have read some of my posts will already know my answer: the context of a class of employers and the associated economic and political structures influences workers’ lives much more than any collective agreement. The level of influence of this context can be seen explicitly seen in various managements rights’ clauses in collective agreements (see, for example, Management Rights, Part One: Private Sector Collective Agreement, British Columbia or Management Rights, Part Two: Public Sector Collective Agreement, Ontario). This lack of reference to this class situation will at most enable particular workers working for particular employers to limit their particular employer’s power in the best way possible without moving towards threatening the power of employers as a class.

Transparency is not only necessary at the level of the particular employer but at the macro level of the class economy. Mr. Keetch’s reference to democracy needs to involve both micro and macro level transparency if workers are to make rational decisions concerning the working lives and the purpose of their organizations.

At the micro level, even if there were complete transparency during collective bargaining, how would workers decide on what to do if they took no or little account of the macro structure that involves treating them as impersonal means for impersonal ends (see The Money Circuit of Capital).

Should there not be open discussion about the kind of economy that exists in order for workers to make rational decisions about the adequacy of collective agreements in meeting their lives, both inside and outside work? To exclude transparency in the wider situation is like looking at the hand and treating it as if it were the whole body. The hand may look to be in perfect condition, but not when linked to a body that has invasive cancer in the bladder, or rectal cancer or metastatic liver cancer.

Nor can any collective agreement be considered a fair contract without considering the context of exploitation and oppression characteristic of the general situation of workers–whether in the public or private sectors (see various posts on management rights in both the public and private sectors on this blog. See also such posts as Employers as Dictators, Part One , The Rate of Exploitation of Workers at Magna International Inc., One of the Largest Private Employers in Toronto, Part One and The Rate of Exploitation of Magna International Inc., One of the Largest Private Employers in Toronto, Part Two, Or: Intensified Oppression and Exploitation).

It is thus questionable whether collective bargaining can really be transparent if the wider picture of the general economic and political structure is excluded. If the purpose of transparency of the collective-bargaining process at the micro level is to ensure that workers make democratic and rational decisions concerning their lives, it is necessary to move towards macro transparency.

The purpose of this blog is, in part, to move in that direction. If others wish to do so as well, they are most welcome to do so on this blog or by providing links to their own blogs or other resources.

A Critical Look at The Socialist Project’s Pamphlet on Green Jobs Oshawa

The Socialist Project, “based in Toronto [Ontario, Canada] … works to generate and promote Left activism education and organizing. Our membership includes activists, students, workers educators and others interested in Socialist politics in Canada,” recently published (February 2020) a pamphlet titled Take the Plant–Save the Planet: The Struggle for Community Control and Plant Conversion at GM Oshawa

The pamphlet has an introduction and the mission statement of Green Jobs Oshawa. It refers to the closing of most of the GM auto assembly plant in Oshawa, Ontario, Canada, in December 2019.

The rest consists of various articles written by seven authors. The first article, “Unifor Settlement with GM– Footprint or Toe Tag?,” is by Tony Leah, “a retired autoworker and founding member of Green Jobs Oshawa.” The second and third articles, titled respectively, “GM Oshawa: Lowered Expectations Unexplored Opportunities,” and “The GM Strike and the Historical Convergence of Possibilities,” are by Sam Gindin, “who served from 1974 to 2000 as research director of the Canadian Auto Workers (Unifor’s predecessor), now an adjunct professor at York University. The fourth article, titled “Bringing SNC-Lavalin to Mind During an Uninspiring Federal Election,” is by Leo Panitch, Professor Emeritus,  Canada Research Chair, York University. The fifth article, titled “Take It Over: The Struggle for Green Production in Oshawa,” is by  Linda McQuaig,  ” journalist, columnist, non-fiction author and social critic.” The sixth article, titled “Green Jobs Oshawa and a Just Transition,” is by Rebecca Keetch, who “was a GM worker and is an activist with Green Jobs Oshawa.” The seventh article, titled “Why GM’s Oshawa Assembly Line Shutdown is a Black Eye for Unifor’s Jerry Dias,” is by Jennifer Wells, “a former columnist and feature writer for the [Toronto] Star’s Business section.” An appendix, titled “Feasibility Study for the Green Conversion of the GM Oshawa Facility: Possibilities for Sustainable Community Wealth: Summary Overview,” is by
Russ Christianson, “started working with small businesses and co-operatives and now travels across Canada working as a consultant who’s a business start-up specialist.”

I am not going to review the entire pamphlet. I addressed some of Mr. Gindin’s views in a previous post (see The Contradictions of Social Democracy: Mr. Gindin’s Musings on the Closure of GM’s Oshawa Plant).

The Introduction provides the framework for the pamphlet (pages 4-5):

Toward an Alternative

A small group of rank and file Oshawa workers and retirees understood that far more was needed; both logic and history suggested that appealing to GM to rethink their cold calculations was naive. They joined with other community allies, including the Durham Labour Council and supporters from the Toronto-based Socialist Project, to establish ‘Green Jobs Oshawa’. Its mandate was to explore and organize around other possibilities for the Oshawa facility.

Before looking at the proposed solution, the extent of the problem needs to be specified. Mr. Gindin’s first article does this:

The Oshawa facility currently supports 5,700 – 6,000 jobs: GM directly employs 2,200 hourly workers and some 500 salaried workers, with other companies employing over 3,000 to supply components (some working right inside the Oshawa facility). The new proposal means cutting this total by upwards of 5,300 jobs.

The loss of jobs for many families undoubtedly will be devastating for many within the community. The alternative proposed is outlined below (page 5):

Green Jobs Oshawa called on the federal government – or the municipal government with substantial financial and technical support from the feds – to take over the land and equipment idled by GM. The Oshawa facility could then be converted to assembling fleets of electric vehicles. The sale of these vehicles was to depend not on market competition, but a social plan based on direct government purchases of the products the government had invested in. The fleet vehicles involved would range from electric post office vans (as recommended earlier by the Canadian Union of Postal Workers) to hydroelectric vans, newly designed school buses, ambulances and police cars. With that base, the plant could also produce electric cars for individual consumers and, depending on how much space remained available, add other environmentally related products.

The message was that jobs, the environment, and the industrial capacities for conversion and restructuring are inseparable. From that perspective, saving Oshawa was not an end point but a beginning and an example to build on.

The proposed takeover of the plant, however, is linked to reliance on governments, without really addressing how much organized power would be required to force governments realistically to provide support for such a proposal. On the one hand, without such organized power, it is mere wishful thinking. This is implicit in the silences of even so-called progressive forces over the proposal (from Mr. Panitch’s article, page 34):

This is of course par for the course. The $3-billion left unpaid by General Motors from the $12-billion public bailout provided to it a decade ago could have covered all the costs entailed in implementing the Oshawa worker-environmental alliance plan to save the GM plant by taking it into public ownership and converting it into producing battery electric powered vehicles for Canada Post and other public fleets. That not even Unifor, let alone the NDP or the Green Party, has championed this plan only goes to show how bereft of big ideas are the foremost institutions that pass for the left in Canada today.

To demand that the municipal or federal (or, for that matter, provincial) governments take over the plant when even the so-called left did not rally behind the idea expresses an over-reliance on governments that is often expressed in the document. For example, Ms. McQuaig argues the following (page 36):

Of course, Gindin’s idea for producing public utility vehicles would require co-operation from the federal and provincial governments, and it is hard to imagine such co-operation from our current political leaders.

If it is unrealistic to expect co-operation from “current political leaders,” then such co-operation would require force–organized power by worker and community members. No such force exists–as those who wrote the introduction implied (page 5):

Frustration and Persistence

Green Jobs Oshawa developed a website, distributed leaflets to workers, held educationals and public forums in Oshawa and Toronto, organized petitions, commissioned a widely respected professional feasibility study (see appendix) confirming its case, received sympathetic attention in the press and gave numerous media interviews. Yet the committee couldn’t generate the necessary level of support, starting with the workers themselves.

If the level of support for the proposal of Green Jobs Oshawa could not even generate major support from those most directly affected by the shutdown, why would anyone think that the governments, which support the class power of employers, would support their plan?

An alternative that undoubtedly was discussed by some at the factory and within Green Jobs Oshawa is not even mentioned: the workers taking over the factory and starting to produce without GM. That alternative may not have been realistic either under the circumstances, but at least it should have been discussed in the pamphlet. It is nowhere to be found.

Funding for retooling and the production of electric vehicles would require a substantial investment, and that is perhaps the reason why the mere take-over of the plant may not have been realistic. On the other hand, a takeover of the plant could have had a different purpose–to outline how unfair this particular situation was, how unfair the situation of GM not repaying

The $3-billion left unpaid by General Motors from the $12-billion public bailout provided to it a decade ago could have covered all the costs entailed in implementing the Oshawa worker-environmental alliance plan to save the GM plant by taking it into public ownership and converting it into producing battery electric powered vehicles for Canada Post and other public fleets. (Mr. Panitch, page 34),

and how unfair in general it is for employers to have the power to make decisions independently of those who are most directly affected by them. When people find a situation unfair, they are sometimes willing to go to extreme lengths to address the situation. As Barrington Moore remarks, in his Injustice   page 510, says:

Anger at the failure of authority to live up to its obligations, to keep its word and faith with the subjects, can be among the most potent of human emotions and topple thrones.

However, for such a tactic to have gained a foothold, it would have been necessary to have done the necessary preparatory work–negative work, if you like, by engaging workers in conversation and discussion over the fairness of various aspects of their lives, both in the workplace and outside the workplace. Indeed, Mr. Gindin, in a different context, recognizes the need for longer-term preparation: a tiered workplace, where some workers doing the same jobs received a lower wage and lower benefits despite belonging to the same union–Unifor (page 25):

The tiered structure GM was able to put in place in 2007 saved the corporation billions, and to boot, provided the company with a divided and weaker workforce. Only a union crusade, not a luke-warm demand among miscellaneous other demands, could have forced GM to give this up. It would, for example, have meant starting at least a year or two in advance to prepare the members for a war with the company, solidly win over the broad public in spite of a prolonged strike, and isolate General Motors. The absence of such preparations didn’t just make it harder to eventually win; it sent the message to the company that the union wasn’t all that serious in putting an end to tiered wages and would be satisfied with some face-saving tinkering. Which is what the workers in fact ended up with.

The issue of fairness is hardly a minor issue. Workers will unlikely engage in sustained efforts and sacrifices unless they find their situation and that of others to be unfair in some fashion or other. There is no evidence, though, that Mr. Gindin and other radicals engaged in such necessary negative work.

Returning to the issue of the government, the pamphlet, in addition to unrealistically relying on governments rather than on organizing the anger of those who have been treated unfairly in various ways in a society dominated by a class of employers, idealizes public ownership. For instance, Ms. McQuaig in particular idealizes public ownership (nationalization) (page 36):

In fact, as we’ve seen, Canadian public enterprise has an impressive history and has made its mark in fields that are at least as complicated as vehicle manufacturing. The creation of a public hydroelectric power system in Ontario – and later in other provinces – was a stunning achievement that served as a model for US president Franklin D. Roosevelt when he created highly successful public power systems, including the New York Power Authority, the Tennessee Valley Authority, the Rural Electrification Administration, and the Bonneville Power Administration. There was also Connaught Labs, the publicly owned Canadian drug company, which made remarkable contributions to the development of breakthrough vaccines and treatments for a wide range of deadly diseases. And the publicly owned CNR exhibited innovative business skills in creating a viable national rail network out of five bankrupt railway lines and in establishing, during the pioneering days of radio, a cross-country string of radio stations, which became the basis of the nationwide CBC broadcasting network.

Public ownership which undoubtedly has the potential advantage of providing services based on need, not on the amount of money you personally have (such as medicare here in Canada). However, working in a public corporation should not be idealized; workers are still things to be used by employers, whether public or private (see The Money Circuit of Capital). Nationalization in the context of an economy dominated by a class of employers, by autonomous economic structures (money, finance, commerce and production) and an alienated political structure is hardly radical (see The Poverty of Academic Leftism, Part Seven: The Idealization of the Nation State or the National Government and Nationalization in the Wake of the Coronavirus Pandemic, Part Two).

This idealization of public ownership is intensified when it is coupled with the war efforts of governments (page 37):

And, as we’ve seen, some of Canada’s most impressive public enterprises were created during the Second World War, when twenty-eight Crown corporations contributed enormously to Canada’s war effort, manufacturing airplanes, weapons, and communications equipment. Crown corporation Victory Aircraft provided the foundation for the postwar Canadian subsidiary that developed the Avro Arrow, a state-of the-art military fighter plane (discontinued by the Diefenbaker government for political, not technological, reasons). And Crown corporation Research Enterprises, teaming up during the war with Ottawa’s National Research Council, produced highly innovative optical and communications equipment, including radar devices, binoculars, and radio sets – equipment with countless applications that could have been successfully developed for the postwar market if our political leaders hadn’t succumbed to the notion that government shouldn’t be involved in
producing such things.

In the first place, the creation of public ownership under war conditions is hardly comparable to the situation which the GM Oshawa workers faced; during the Second World War, workers were much more organized–and armed, and many other capitalist states were willing to use direct physical force to achieve their goals at the expense of other capitalist states.

In the second place, as already indicated, Ms. McQuaig does not even ask what kind of lives those who worked in such Crown corporations lived. Their working conditions may have been better than in the privatized sector (though that requires research and should not be assumed), but better working conditions do not change the fact that workers are still things to be used by such corporations any more than the existence of a collective agreement does. Thus, Ms. McQuaig does not even address this issue.

This idealization of public ownership or nationalization continues in Ms. Keech’s article, page 41:

In November 2018, GM announced the closure of the Oshawa Assembly Plant. Workers in the community faced the crushing reality that their livelihood was being stolen. At a time of record profits, in the billions of dollars, GM showed a complete disregard for thousands of workers and their communities.

Out of this devastation Green Jobs Oshawa was born. Green Jobs Oshawa is a coalition of workers, environmentalists, academics, and community members. We recognized, in the midst of a climate crisis requiring immediate action and a community facing massive job loss and disruption, the need for a bold idea: bring the plant under democratic control through government ownership and build battery electric vehicles or other products that meet community need instead of corporate greed.

Ms. Keetch would need to elaborate on how her claim that “the plant would be under democratic control through government ownership” is possible given that the government is formally democratic but in practice is often anti-democratic (externally, through the use of police and, internally, through a hierarchic and undemocratic structure of an employer-employees relation). She does not do so.

She further idealizes the current political structure by having workers rely on it to transform the capitalist economy, which necessarily expands beyond any limits (see The British Labour Party’s 2019 Manifesto: More Social Democracy and More Social Reformism, Part One), to a society free of a conflict between the nature of capitalist relations and the natural world in which we live (page 42):

Not only do we need to move away from fossil fuels and wasteful consumption – from harm and devastation – but we must build healthy, resilient communities while creating a strong sustainable economy.

We must demand massive government investment in green energy, green technology, and electrification. The government must take action, such as the immediate electrification of government fleet vehicles and public transportation. This must include public ownership of key manufacturing and resource sectors.

The environmental movement and the labour movement must demand this transformation include just transitions for workers and communities.

Unlike the other articles, Jennifer Wells’ article takes aim at Jerry Dias’ leadership. Jerry Dias is the president of Unifor, which represented the workers in the 2016 round of bargaining. She criticizes Dias for caving in on, for example, defined benefit pensions for new hires, thereby effectively creating a two-tiered workforce–a concession that Dias considered necessary in order to save jobs. Such jobs, however, were obviously not safe since most have been lost.

Although Dias’ sacrifice of one set of workers in concession bargaining should be criticized, as Ms. Wells does, she never asks whether collective bargaining has its own limits when it comes to representing the interests of workers. Her criticism remains well within the limits of faith in the collective-bargaining process itself to produce a “fair contract.”

Mr. Christianson’s appendix provides a feasibility study for the green conversion of the plant. I will only note the following. Under the heading of “Democratic Public Ownership,” he has the following (page 53):

…we consider democratic, public ownership to include governments, auto workers and community members. The legal structure of the organization can take many forms, including a crown corporation. In any case, the organization will need to
use a board matrix to ensure representation from government, auto workers, community members, people with the experience and skills required for the business, and a diverse mix of people (gender and ethnicity).

How democratic such an organization can be should have been outlined by, for example, giving other examples, where modern government provides the funding. In the general context of a society characterized by the domination of a class of employers, it is unlikely that it would be very democratic. At least at Mondragon, in Spain, the funding is not primarily from government–and yet it is debatable just how democratic Mondragon really is (see  The Poverty of Academic Leftism, Part Four: The Myth of Creating Socialist Spaces). Real democracy requires much more than the rhetorical phrase “democratic public ownership.”

The Contradictions of Social Democracy: Mr. Gindin’s Musings on the Closure of GM’s Oshawa Plant

The following is a critique of an article written by Sam Gindin before the coronavirus pandemic emerged. It is relevant to the current situation because of the current call for public ownership as a solution to the problems that we face.

Mr. Gindin published an article on February 3, 2020, titled Realizing ‘Just Transitions’: The Struggle for Plant Conversion at GM Oshawa. Here Mr. Gindin attempts to criticize, on the one hand, what happened at GM Oshawa (elimination of around 2200 direct jobs when GM closed the auto plant), and on the other to suggest what should be done to prevent such a situation to arise in the future. However, his own social-democratic position, with its implicit assumption of not challenging the power of the class of employers, shines through in the article.

Mr. Gindin claims that GM’s decision to close, among other plants, the GM Oshawa plant left the recently elected Conservative government of Doug Ford “red-faced”:

The response of the federal government, which had used the preservation of jobs to justify giving GM billions in public funds during the financial crisis, was a tepid ‘disappointment’. The provincial government, which had been plastering the province with the slogan ‘Ontario is open for business’ was left red-faced when, as its billboards were going up, GM announced the closing of one of the largest workplaces in the province.

Where is there evidence that the Ford government was embarrassed at all? The idea of “open for business” includes the idea that, in the competitive struggle for survival, corporations will sometimes close down. The obverse side of “open for business” is–“closed for business.” Corporations are free to decide to open and close doors as they see fit–such is the nature of neoliberalism. Or is that not so?

Mr. Gindin then criticizes Ms. Dias, head of Unifor (which represented the workers at GM Oshawa):

Nor did the autoworkers’ union, Unifor, escape its own share of discomfort. Less than two years earlier, its leadership had negotiated lower wages and pensions at GM for new (essentially younger) workers in spite of those workers doing exactly the same job as those beside them. This betrayal of union solidarity was sold to the members as a victory because of its promised retention of jobs. When the closure exposed the job ‘guarantees’ as a sham, the national president reacted with predictable bluster and launched a public relations campaign to shame the corporation into reversing its decision.

Undoubtedly, Mr. Dias would have preferred for the plant not to close. To prevent such an action, Mr. Dias negotiated a collective agreement that involved “lower wages and pensions at GM for new (essentially younger) workers in spite of those workers doing exactly the same job as those beside them.” Mr. Gindin objects to such a negotiated agreement on the basis of “union solidarity.” The principle of union solidarity, it would seem, involves attempting to have all union members who are doing the same job to be treated in the same way. (Note that Mr. Gindin does not refer to “labour solidarity” or “worker solidarity” but “union solidarity.” Mr. Gindin is a friend of–unions. As I argued in another post, he is too close to unions to adequately criticize them. But that just as an aside).

Mr. Gindin then refers to how this “betrayal to union solidarity was sold to the members of a victory because of its promised retention of jobs.” It is of course possible to criticize Mr. Dias and others for sacrificing some workers in exchange for an impossibly guaranteed retention of jobs. However, Mr. Gindin does not explicitly question the power of employers to make decisions that involve closing down plants. Such power forms part of management rights and is often embodied in a management rights clause, implicitly if not explicitly. Why does Mr. Gindin not criticize this fundamental right?

And why does he not criticize the attempt by many unions to “sell” negotiated collective agreements on the basis of “fairness,” “decent work” and so forth? He certainly criticizes Mr. Dias’ attempt to “sell” the betrayal to union solidarity” in relation to the creation of a two-tiered collective agreement–but he nowhere criticizes the implicit or explicit acceptance of unions and negotiating committees to the legitimacy of collective agreements. Union reps often “sell” negotiated collective agreements that need to be ratified to their members by referring to them as “fair contracts”

“We have been trying to negotiate a fair contract for seven months,” said James Nugent, the bargaining team’s chief spokesperson [for CUPE Local 3902, or the Canadian Union of Public Employees Local 3902]. “We’ve been fighting for better learning conditions for our students and better working conditions for our members. Last night, our members sent us back to the bargaining table to keep fighting for those things, and that’s what we intend to do.”

Union reps often try to “sell” this ideology of “fair contracts” to their members. Why does not Mr. Gindin criticize this ideology and not just the ideology of two-tiered contracts? What happens if a collective agreement does not have a two-tiered provision? Does that then make it a “fair contract?” Mr. Gindin is silent over the issue–as are union reps. Why this silence?

Mr. Gindin then has a section that outlines an alternative:

Toward an Alternative

A small group of rank and file Oshawa workers and retirees understood that far more was needed; both logic and history suggested that appealing to GM to rethink their cold calculations was naïve. They joined with other community allies, including the Durham Labour Council and supporters from the Toronto-based Socialist Project, to establish Green Jobs Oshawa. Its mandate was to explore and organize around other possibilities for the Oshawa facility.

A problem already arises. I am ignorant of the specific nature of the Durham Labour Council, but the Toronto and York Region Labour Council does not call into question the legitimacy of the power of employers as a class; rather, it presupposes such legitimacy (John CartWright, president of the Council, refers to “economic justice”–implicitly referring to collective agreements. See my post  Ontario Looks Right–With Some Help From the “Left” ). I have criticized  as well some of the views expressed by the Steering Committee of the Socialist Project (see The Socialist Project’s Critique of Doug Ford’s Attack on Local Democracy Falls Short).

But let us proceed:

Four perspectives drove their ambitious proposal. First, GM was the problem, not the solution.

Yes, GM is a problem and not the solution–but it is not just GM that is the problem but the power of employers as a class, of which GM is only one example. Defining the problem only in terms of a particular employer is a typical social-democratic trick of focusing on one “bad” employer rather than the class of employers. Already, looking at alternatives seems limited.

Let us continue:

Second, expecting to compete in the market with China, Mexico or plants in the American south was no answer. It would only reproduce past pressures on wages and working conditions, past insecurities and past failures. Third, any alternative would need to introduce a product with special social significance. And fourth, the issue was not just jobs but retaining Canada’s manufacturing capacities.

Seeking an alternative product that would prevent competition with other workers in the same kind of market is certainly to be preferred. As for “a product with special social significance,” this issue is connected to the following:

The Oshawa facility could then be converted to assembling fleets of electric vehicles. The sale of these vehicles was to depend not on market competition, but a social plan based on direct government purchases of the products the government had invested in. The fleet vehicles involved would range from electric post office vans (as recommended earlier by the Canadian Union of Postal Workers) to hydro-electric vans, newly designed school buses, ambulances and police cars. With that base, the plant could also produce electric cars for individual consumers and, depending on how much space remained available, add other environmentally-related products.

The government would provide the bulk of demand for the output, with individual consumers making up any needed demand so that the Oshawa facility could be fully utilized (GM had identified under-utilization of the capacity of the plant as a major reason for its closing).

The government as the major consumer would also be the major owner:

In line with this outlook, Green Jobs Oshawa called on the federal government – or the municipal government with substantial financial and technical support from the feds – to take over the land and equipment idled by GM.

The government would then become both the employer and the major consumer. This solution may certainly have retained the jobs–but would not have changed the use of workers as things by government. Merely because the government is the employer does not prevent workers from being exploited and oppressed (see The Money Circuit of Capital).

Why did Green Jobs Oshawa not call on the government to take over the plant while concentrating decision-making power over the plant with the workers who worked there? Why did it not call into question the power of employers to make decisions at all that can affect the lives of many workers and the community–investment decisions? Why not use the GM shut down as an example of the dictatorial power of employers? Why this focus on the government as the saviour rather than the workers and the community?

Green Jobs Oshawa, rather, tried to evade this central issue:

The message was that jobs, the environment, and the industrial capacities for conversion and restructuring are inseparable. From that perspective, saving Oshawa was not an end point but a beginning and an example to build on.

Jobs, the environment and the industrial capacities for conversion are not just inseparable. To adequately address them, it is necessary to address the power of employers as a class, the infinite movement of capital (see  The British Labour Party’s 2019 Manifesto: More Social Democracy and More Social Reformism, Part One) and the social and political structures that go with them.

The next section of the article is titled “Frustration and Persistence.” Mr. Gindin outlines what he believes is the cause of workers’ skepticism concerning such an alternative:

Frustration and Persistence

Green Jobs Oshawa developed a website, distributed leaflets to workers, held educationals and public forums in Oshawa and Toronto, organized petitions, commissioned a widely respected professional feasibility study confirming its case, received sympathetic attention in the press and gave numerous media interviews. Yet the committee couldn’t generate the necessary level of support, starting with the workers themselves.

The workers in Oshawa were frustrated and angry, but anger doesn’t necessarily translate into activism. Having experienced the steady drip-drip decline of the Oshawa complex, having recently suffered demoralizing defeats after defeats in bargaining, and now seeing the final end of vehicle assembly in the city, workers had shifted to survival mode. In that state of mind, most workers, it seemed, had simply stopped even thinking about possibilities. Nor was it unusual for workers to guard against hope creeping into their consciousness; risking the pain of once more seeing hopes dashed made even hope something to willfully avoid.

Though workers contacted by Green Jobs Oshawa generally considered the proposals on conversion as sensible, this was trumped by their skepticism of ‘sensible’ driving economic and political decisions. Critical here was the role of the union. As frustrated as workers were with the union, they still looked to its structures and resources for leadership, especially given the radical nature of the alternative proposed. But with both the national and local leadership not interested in and even hostile to an alternative, it was no surprise that workers were lukewarm to committing to a fight for a long-shot alternative.

Important here, as well, were the limits of the environmental movement. Environmentalists have most impressively raised public awareness of the looming environmental catastrophe. Yet they have been far less successful in getting the mass of working people on side. Two inter-related problems stand out. First, the promise of a ‘just transition’ is well-meaning but unconvincing to workers; workers rightly ask how such a commitment could be met in a society driven by competition and private profits. Second, with the environmental movement generally absent from workers struggles, developing ‘awareness’ could only go so far.

Workers have been indoctrinated from school to accept the power of employers to make decisions over their lives (as I show in a series of posts on indoctrination in schools via the silence of the Canadian history curriculum over the historical emergence of employers and employees. See, for example,  Co-optation of Students at School Through We Day, Or School Indoctrination, Part One). Various organizations and activities reinforce such indoctrination (union ideology of “fair contracts,” “decent work,” social organizations that deal with oppressing people in various ways (child and family services, social assistance, collection agencies, courts and the like). To counteract such indoctrination, it would be necessary to engage systematically in a critique of such indoctrination–but Mr. Gindin does not believe that such a systematic and engaged critique is necessary (otherwise, he would have engaged in such criticism when the opportunity presented itself in relation to pairing the fight for a minimum wage of $15 an hour with the idea of “fairness”).

The skeptical attitude of workers in relation to their own capacities for controlling their lives in the face of multiple forms of indoctrination and oppression is understandable, but Mr. Gindin ignores such indoctrination and oppression in practice.

The final section is called “Green Jobs Oshawa Lives On.” Mr. Gindin states what he thinks has and has not been accomplished in the Green Jobs Oshawa” campaign and what should be done:

Green Jobs Oshawa Lives On

Measured by its ability to keep the Oshawa facility humming, Green Jobs Oshawa was not successful; today, no more vehicles are being assembled in Oshawa. But measured by their work in placing a vital but largely ignored issue on the agenda – the steady loss of the productive capacity we will need to reconstitute the environment – brings a more encouraging conclusion.

Though the Oshawa facility is now quiet, the battle to revive it, with all its noise and productive bustle, continues. The facility still has waiting assembly lines, a body shop, a paint shop, and 10 million square feet of space. In Oshawa and nearby, there is no shortage of workers anxious to apply their too often underestimated skills, suppliers with flexible tooling capacities, and young engineers leaving university anxious to apply their knowledge to developing socially useful products. Green Jobs Oshawa continues to send out material and speak at events, making connections and spreading the urgent discussion of possibilities.

Workers – with the support of their union leadership where possible, on their own if that leadership is not sympathetic – should be setting up committees to consider the future of their workplaces and holding meetings to discuss the plant occupations, nationalizations and conversions in other cities facing major manufacturing shutdowns.

The Canadian Labour Congress should be supporting and coordinating such initiatives with its own research and also joining with the environmental movement to take the initiatives further. A significant step would be to lobby for a National Conversion Agency with the authority and financial and technical resources to intervene when plant closures occur or seem imminent.

Provincial federations of labour could focus on the environmental particularities of their own regions as, for example, the Alberta Federation of Labour has started to do in addressing how the inevitable transition away from oil could be economically and socially managed. This could include lobbying to establish local tech-enviro centers populated by the hundreds of young engineers mentioned above. Alongside coming up with possibilities for local conversion and development, they could contribute to spreading understanding to the community of what we face and what needs to be done.

For private sector workers, the crucial fact is that environmental pressures will require transforming everything about how we live, work, travel, and use our leisure time. Such a massive and unprecedented undertaking (the conversions entering and exiting World War II come closest) can, if done right, mean not a loss of jobs but a shortage of workers trying to meet society’s ‘regular’ needs and the demands of environmental reconstruction.

As for the public sector, the growing acceptance that environmental limits translate into limiting individual consumption in the developed countries leads to a greater emphasis on collective consumption. We are on the cusp of having to urgently redefine what we mean by ‘abundance’ and to place greater value on retrieving our time, leisure, social services (health, education), collective goods (public transit, libraries), and public spaces (sports, music, arts, parks) – a reorientation, that is, to the expansion of the public sector and public sector jobs.

Finally, for environmentalists, truly addressing the scale of what must be done means moving from a vague anti-capitalism to an aggressive – and confident – call for democratic planning and its corollary of fundamentally challenging corporate property rights. And addressing how to implement such policies, requires bringing the mass of workers on side to both the environmental necessities and to the overcoming of capitalism. This can only begin with actively supporting the defensive struggles of workers with the goal of linking them, as Green Jobs Oshawa has tried to do, to those larger issues of conversion and democratic planning in the shaping of the world to come.

In short, the issue is not simply a matter of bringing the environmental movement and the labour movement together; each must be transformed if the sum is to be more than the currently limited parts. The environmental movement must raise itself to a new level by concretely engaging the working class, and the labour movement must escape what, for it, has become an existential crisis. The threats and opportunities of the environmental crisis offer a chance for labour revival, but only if this incorporates a renewed approach to organizing, struggle, radical politics, and the maximization of informed membership participation. •

Mr. Gindin follows the British Labour Party, in its Manifesto, by jumping on the bandwagon of environmentalism–rather than focusing on criticizing the power of employers as a class (which would involve criticizing union ideology of “fair contracts,” “decent work,” “fair collective bargaining,” and the like) , first, and then linking that issue to environmental issues (see my post  The British Labour Party’s 2019 Manifesto: More Social Democracy and More Social Reformism, Part One). Mr. Gindin only near the end of this section does Mr. Gindin address this issue:

Finally, for environmentalists, truly addressing the scale of what must be done means moving from a vague anti-capitalism to an aggressive – and confident – call for democratic planning and its corollary of fundamentally challenging corporate property rights.

But earlier, Mr. Gindin claims the following is the key issue:

But measured by their work in placing a vital but largely ignored issue on the agenda – the steady loss of the productive capacity we will need to reconstitute the environment

The deindustrialization of the advanced capitalist countries–is that really more important than another issue that has been “largely ignored”–the power of employers as a class? Which should the left focus on? And if we focus on the power of employers as a class, should we not criticize the ideology of many unions, which often try to sell the results of collective bargaining as a “fair contract?”

Frankly, Mr. Gindin’s approach fails to see the need for a rigorous and persistent struggle against those who justify collective agreements with such phrases. The same applies to other social movements who refer to “fairness” and the like. We need to use every opportunity to oppose such indoctrination.

Mr.Gindin, however, argues only for the positive side in the following:

Workers – with the support of their union leadership where possible, on their own if that leadership is not sympathetic – should be setting up committees to consider the future of their workplaces and holding meetings to discuss the plant occupations, nationalizations and conversions in other cities facing major manufacturing shutdowns.

To set up committees that are more than paper committees, it would be necessary to deal with the limitations of unions, collective bargaining and collective agreements while recognizing that collective agreements do provide some real protection for workers. If workers merely set up committees without engaging seriously in debate over the pros and cons of collective bargaining and collective agreements, then such committees will likely be isolated from the needs and interests of workers.

It is interesting that Mr. Gindin engages in abstract moralizing when referring to what the Canadian Labour Congress (an organization of affiliated unions that represent over three million Canadian workers) ‘ought or should do’:

The Canadian Labour Congress should be supporting and coordinating such initiatives with its own research and also joining with the environmental movement to take the initiatives further.

Another inadequacy of Mr. Gindin’s approach can also be seen from the above quote. Hegel, a German philosopher, saw through such empty phrases as “ought to” or “should” long ago (from the Encyclopedia Logic, page 30):

… the understanding, which regards its dreams (L e., its abstractions) as something genuine, and is puffed up about the “ought” that it likes to prescribe, especially in the political field-as if the world had had to wait for it, in order to learn how it ought to be, but is not. If the world were the way it ought to be, what then would become of the pedantic wisdom of the understanding’s “ought to be”?

This does not mean that we should not engage in wishing for what ought to be, but that what ought to be should be grounded in what is the case. What is the nature of the Canadian Labour Congress (CLC)? Is it realistic to believe that the CLC would ‘support and coordinate’ such initiatives? See my criticism of the position of the president of the CLC, Hassan Yussuff, in The Canadian Labour Congress’s Idealization of the Collective-Bargaining Process.  Would it not be better to engage in criticism of the CLC–what it is, how it operates and so forth?

There are other problems with this last section. Reference to “democratic planning” clashes with the call for the government (a capitalist government) to operate as employer. How is there democratic planning when the government is the employer? This is to idealize the government and the public sector. This idealization also is expressed in the following:

As for the public sector, the growing acceptance that environmental limits translate into limiting individual consumption in the developed countries leads to a greater emphasis on collective consumption. We are on the cusp of having to urgently redefine what we mean by ‘abundance’ and to place greater value on retrieving our time, leisure, social services (health, education), collective goods (public transit, libraries), and public spaces (sports, music, arts, parks) – a reorientation, that is, to the expansion of the public sector and public sector jobs.

This uncritical reference to the “public sector”–as if working for the government were somehow not subject to exploitation and oppression–is typical of social democrats. So too is Mr. Gindin’s one-sided reference to challenging “corporate property rights” without challenging the power of the state as a capitalist state, on the one hand, and as an employer, on the other. Again, see the money circuit of capital link above for a critique of this view.

The Call for the Conversion of the GM Oshawa Plant to a Facility for the Production of Medical Equipment in the Wake of the Coronavirus Pandemic

On April 19, 2020, on the Socialist Project website–Retool Oshawa GM Complex to Combat Covid19–there is a press conference by five individuals–Tony Leah (facilitator), Michael Hurley, Rebecca Keetch, Patty Coates and James Hutt–calling on the Canadian government (and the Ontario provincial government) to take over the GM Oshawa plant, which closed on December 19, 2019, in order to facilitate the production of medical equipment, including masks, ventilators, gloves and tests–all of which are in short supply due to the international competition for such equipment as well as the Trump government’s ban on exporting medical equipment into Canada.

Some of the following is taken verbatim from the five presenters without quotes in order to facilitate reading whereas some of it is paraphrased. After a description of what they say, I make some critical comments in relation to the call for public ownership and other issues.

Mr. Hurley, president of the Hospital Division of the Canadian Union of Public Employees (CUPE), emphasizes the urgency of the need for medical equipment for front-line workers. Medical equipment is in short supply to deal with the coronavirus pandemic,  and such equipment is vital if front-line workers are not to succumb to the virus themselves, as many paramedics did in New York.

Ms. Keetch, a former autoworker at GM Oshawa, calls on the Canadian and provincial governments to convert the closed-down GM Oshawa assembly plant into a publicly-owned site in order to use it to produce much needed medical equipment. She points out that other countries and companies have converted car factories into plants for producing medical equipment: the Chinese capitalist company BYD producing masks and hand sanitizers; GM having its workers produce ventilators at its Kokomo Indiana plant; and Ford Canada having its workers produce face masks at its Windsor Ontario plant. She justifies taking over the plant on the basis of putting social need in general before the interest of profit and the particular health and safety needs of workers who have been declared essential, such as hospital workers and grocery workers. There already exists a skilled workforce available to produce the needed medical equipment–the workforce of the former GM plant and the workers of its former suppliers.

Ms. Coates, president of the Ontario Federation of Labour (representing 54 unions and a million workers) indicates her support for the initiative and points out how the Conservative government of Doug Ford had reduced the health-care budget before the pandemic. Health-care workers, patients and community members need vital medical equipment that are currently lacking. She also supports a proposal for workers having 21 paid sick days so that they can stay home if sick without financial hardship and free healthcare for all regardless of immigration status. Workers themselves are calling for such protective measures.

Mr. Hutt does climate and labour justice with the Leap. On the Leap website, it says:

Mission

The Leap’s mission is to advance a radically hopeful vision for how we can address climate change by building a more just world, while building movement power and popular support to transform it into a lived reality.

Since our launch, we’ve drawn heavily on the ideas and networks of our co-founders, Naomi Klein and Avi Lewis.

Mr. Hutt notes that Justin Trudeau, the Canadian prime minister, called for manufacturing companies to retool to produce medical equipment, but it is not enough to rely on the goodwill of CEOs and manufacturers to produce what is needed at this time. There is a textile manufacturer, Novo Textile Co, based in Coquitlam, British Columbia, that has ordered machinery from China in order to produce masks, but it has not yet received the equipment. What we need now is fast production of medical equipment.

This shows that we need the government to play a strong role in ensuring that we increase production of medical equipment in order to meet the demand for medical supplies in Canada. This is where GM Oshawa can play a role. The auto assembly plant is one of the largest plants in North America, and yet 90 percent of its capacity is currently going to waste. Furthermore, there are available 5,000 workers who lost their jobs directly through the closing of the factory and 10,000 more workers who, indirectly, became unemployed.

The workers should be hired back in good, well-paying unionized jobs. After all, it is they who produce the value and services needed  by society.

What we need is a people’s bailout, which includes both workers and the environment, instead of a bailout of corporations and banks. The people’s bailout contains three components. Firstly, it responds to the immediate life-and-death needs of front-line workers and by all those whose lives have been turned inside out by the pandemic. Secondly, it helps to recover our lives, but in a new way, through government stimulus in creating a zero-carbon and full employment economy. Thirdly, it helps to reimagine our society. The economy must be transformed to ensure that safety and stability are the priorities for all and not just the 1%.

Nationalizing the plant, or converting it into public ownership, would create 13,000 unionized, well-paying jobs to produce the things that we need, initially in the first component or phase of producing medical equipment and, in the second phase, the production of electric vehicles for, for example, Canada Post, the single largest user of vehicles in Canada, and electric buses across Canada.

The third component or phase would involve the creation of a more just society for all, which entails public ownership of the plant, the provision of production facilities in Canada that would involve internal production of medical equipment throughout Canada.

Mr. Leah then points out that there is a petition that viewers of the Conference can sign, which will be sent to Premier Ford of Ontario and Prime Minister Trudeau (Petition–Order GM to Make Needed PPE).

There was then a question and answer session, with Valerie McDonald (? unsure if this is the name) asking the question of how quickly could the Oshawa plant fully employ the former workforce, whether directly or indirectly, and use the plant to capacity. Another question by Kate (I could not make out her last name) was who would paid for the retooling, the federal or provincial governments, and how much would it cost and how long it would take. Mr. Hurley pointed out that China set up factories within two weeks for the production of fiber masks. Given that the Canadian governments have adopted emergency powers, they could start producing almost immediately. As for the cost, currently Canada is paying almost three times the normal price for medical supplies on the open market; consequently, there would actually be considerable savings by shifting to local production. Ms. Leetch added that in the United States, in Warren, it took about two weeks to be converted and a total of a month for thousands of masks to be produced. She also points that, in relation to costs, it would be necessary for the government to provide aid for retooling. Ms. Coates adds that we need to think about the future beyond this pandemic: we need to have the capacity to produce ventilators and other medical equipment. As for the cost, the issue of cost has little to do with the issue since lives are priceless, and the cost of retooling to save lives not just now but also for the foreseeable future–since there will still be demand for personal protective equipment for some time to come even in the case of the current pandemic. We need a permanent solution to the problem and not a temporary one.

Another couple of questions were: The federal government had no problem purchasing a U.S. owned pipeline company, but now that such a company will be idled, why would the federal government not step in and purchase the plant from GM and retool it? A follow-up question is: Is the plant too large, and can it be adapted to produce medical equipment and other things [unclear if this is the exact question]. Another question is whether the machinery already exists in the plant or must it be imported?

Mr. Hurley indicated that neither the provincial Ontario government nor the federal government has responded in an urgent fashion to the pandemic by forcing employers to retool to produce medical equipment despite hundreds and even thousands of Canadians dying due to the pandemic. It is time that the Trudeau government institute wartime measures to force employers to retool in order to save lives by producing tests, ventilators and other medical equipment that are fundamental to the protection of workers.

Ms. Coates added that not only healthcare workers do not have sufficient protection but also grocery workers, bus drivers and municipal workers are still working and need to be protected during this pandemic.

Ms. Keetch points out that what they are demanding is that the government order production because that will then allocate resources that permit things to happen. As for the plant being too big: not really. We can use whatever space is necessary at the plant right now to address immediate needs. In relation to parallels between the federal government purchasing a pipeline company and purchasing the GM Oshawa plant, but the issue now is to prioritize what needs to be done, and the priority should be to protect Canadian citizens, and both money and the political will need to be found to do that. She does not know whether the machinery is on site, but she does know that Ontarians are experts in manufacturing and have been for decades.

For closing remarks, Ms. Keetch pointed out that the pandemic is an interdependent phenomena, with both the public coming into contact with workers and workers coming into contact with the public, so that both need to protect each other through the use of protective equipment. The use of present resources to meet this need is a common-sense approach.

Tony Leah stated that what happened in the United States in Kokomo and other places in the United States, when the government ordered production, shows that medical equipment can be relatively quickly produced, within a week or two, depending on the complexity of the equipment. He judges GM’s inaction to be shameful, especially since GM took $11 billion in Canadian bailout money during the last economic crisis.

As an emergency measure, it makes sense to convert the idle GM Oshawa plant into a plant where workers could produce much needed medical equipment. As a longer-term measure, it also makes sense to convert the idle plant into a permanent facility for the production of medical equipment in order to prevent any future shortage of medical supplies. Alternatively, once the pandemic has past, it could make sense to convert the plant  into an electric-vehicle factory as originally planned.

From the point of view of the workers who lost their jobs when GM Oshawa closed the plant, it also makes sense to try to be employed again; they could resume the same kind of life that they used to live rather than joining the unemployed.

I did sign the petition, but mainly because it makes sense to pressure the governments to convert the plant into a factory to deal with the pandemic crisis. Given the urgency of the situation, however, there could at least have been reference to seizing the plant by the workers. Seizing the plant could easily have been justified as necessary in order to save lives.

Such seizure, it seems, is probably impractical for a number of reasons. Firstly, the workers themselves have probably been demobilized (moved on to other jobs if they can find them), or they may have abandoned any hope of working at the plant again; others may have accepted a retirement package. Secondly, even if they seized the plant, financing for retooling seems to be beyond their collective means–hence, the need to rely on the government for funding.

However, at least the possibility of seizing the plant and the legitimacy of doing so should have been raised in order to highlight the discrepancy between the real needs of people, the lack of action by the governments and the class power of employers. After all, in normal times, the needs of those who cannot pay are neglected, and the needs of workers for safe working conditions are often neglected as well. Focusing exclusively on what is practical in the situation resulted in another lost opportunity to open up a conversation about the legitimacy of the current economic and political structures.Rather than using the situation as an opportunity to at least point out the legitimacy of seizing the plant–they focus exclusively what is immediately practical. Such “realism” is hardly in the best interests of the working class and of the community.

Mr. Hurley is the person who comes closest to showing such discrepancy, but he limits his criticism to the present governments of Ontario and Canada rather than to the limits of an economy characterized by a dictatorial structure and a modern state characterized, on the one hand, by merely formal equality between “citizens” that often assumes a repressive form (by the police and the courts, for example) and, on the other, a hierarchical dictatorship characteristic of the employer and employee relation within government or the modern state.

The presenters did not use the situation as an opportunity to link the particular–and urgent–problem of a society capable of producing needed medical equipment–to the general problem of a society that excludes not only the needs of people for various goods and services–but also the needs of workers to control their own working lives.

It is true that Mr. Hutt does refer to a third component of a people’s bailout–a reimagined society–but it is more like a social-democratic reimagining more than anything else–and it is utopian. To call for a society that is safe would require the elimination of the power of employers as a class. After all, workers are means for the benefit of employers, and as means their safety is always in jeopardy (for the necessary treatment of workers as means for the benefit of the class of employers, see The Money Circuit of Capital; for the issue of safety, see for example Working for an Employer May Be Dangerous to Your Health, Part One).

As for Mr. Hutt’s call for stability, that too would require the elimination of the power of the class of employers since investment decisions are made for the purpose of accumulating more profitable capital, and such an accumulation process often leads to crises in production and exchange (through overproduction and hence unemployment. Employers also introduce machinery into workplaces, reducing the demand for workers. Since workers are the basis for profit, though, the situation is again ripe for an economic crisis since the production of such a profit requires increasing the exploitation of workers who do work while keeping down their wages through increasing unemployment–overwork for those who work and little work for the unemployed.

Furthermore, given the repressive nature of the employers (see, for example, Employers as Dictators, Part One) and the government (see for example Socialism, Police and the Government or State, Part Two), many peoples’ lives are hardly experienced as stable.  Mr. Hutt’s reference to stability rings hollow.

Does Mr. Hutt really believe in the elimination of a class of employers? The elimination of classes would be what is needed to live a safe and stable life within the limits of the natural world and the limits of our own created world, He nowhere says so. In fact, it is probable that Mr. Hutt believes in the reconstruction of a welfare state–capitalism with a human face. His reference to “good, well-paying unionized jobs” is what is probably the aim–“decent work,” “a fair contract,” and “free collective bargaining.” I have criticized these ideas in earlier posts, so readers can refer to them in order to see their limitations.

Mr. Hutt’s reference to a zero-carbon economy also fails to meet the problem of the infinite nature of the nature of the capitalist economy and the limited earth on which we live. Even if the capitalist economy moves to a zero-carbon economy (free of the use of fossil fuels), the infinite nature of capitalist accumulation would undoubtedly continue to rape the planet (see The British Labour Party’s 2019 Manifesto: More Social Democracy and More Social Reformism, Part One).

One final point to reinforce the previous post: nationalization and reliance on the modern government and state, typical of the social-democratic left, are hardly democratic. For real democracy and not just formal democracy to arise, it would be necessary to dismantle the repressive nature of the modern government or state. As George McCarthy (2018) remarks, in his book Marx and Social Justice Ethics and Natural Law in the Critique of Political Economy, page 279:

Following closely the military and political events surrounding the [Paris] Commune, Marx recognised very quickly that some of his earlier ideas about the socialist state contained in the Communist Manifesto (1848) were no longer relevant: ‘[T]he working class cannot simply lay hold of the ready-made state machinery, and wield it for its own purposes’.18 The state is not an independent and neutral political organisation capable of yielding power for one class and then another; it is not simply an issue of gaining control over the state and then implementing economic and social reforms. Rather, the republican state, utilising its political and legal apparatus, is an oppressive mechanism of social control preserving the class interests of the bourgeois economic system, and this, too, would also have to be restructured. Continuing arguments from On the Jewish Question (1843), Marx contends that the role of the French state was to maintain the economic and political power of the propertied class: ‘[T]he state power assumed more and more the character of the national power of capital over labour, of a public force organised for social enslavement, of an engine of class despotism’. Therefore, with this in mind, the Commune’s first actions were to dismantle the various component parts of the French state, including the army, police, bureaucracy, clergy, and the judiciary. Thus an entirely new form of government would have to be constructed that conformed to the socialist ideals of human emancipation and political freedom.

To talk of “democratic public ownership” in the context of a sea of economic dictatorship both within and outside the modern government or state stimulates high expectations that are bound to be dashed in the real world.

The earlier call by Green Jobs Oshawa was to nationalize the plant and to produce electric vehicles may seem also to make sense, but I will address this issue in another post in reference to the Socialist Project’s pamphlet Take the Plant–Save the Planet: The Struggle for Community Control and Plant Conversion at GM Oshawa. 

Addendum:

The above post was posted at 1:00 a.m., Friday, April 24. In the afternoon, it was announced that the GM Oshawa plant would indeed be retooled to produce a million masks a month for essential workers (see GM Oshawa plant will now produce millions of masks following worker mobilization: CUPE Ontario). The federal Trudeau government and GM signed a letter of intent to that effect. The response from one of the unions that represent front-line hospital workers–the Canadian Union of Public Employees (CUPE):

 “We mobilized our community through a petition and public events and it goes to show that collective action works. This unprecedented victory is now an opportunity to push the Ford Conservatives to also retool private companies to produce what Ontarians need.”

To produce what Ontario needs: What does that mean? They are probably  referring to the production of needed medical equipment:

“The Ford Conservatives need to learn from this example and order the private sector to ramp up production of these supplies – or retool factories if necessary,” said Fred Hahn, President of CUPE Ontario, highlighting feeder plants and other manufacturing facilities across the province. “They’ve had no problem unilaterally issuing orders that override the freely-negotiated collective agreements of front-line workers. They now need to use their power to order the immediate production of PPE for everyone who needs it.”

The use of the abandoned GM Oshawa plant for the production of medical equipment is indeed a victory–this is vital if frontline workers are to be protected from the coronavirus.

It should be noted, though, that this victory is probably a short-term victory. The urgent need for masks for frontline workers, as I pointed out above, could have been used to justify at least theoretically the seizure of the GM Oshawa plant by the workers who used to work there. Since the call for using the GM Oshawa plant and the retooling needed are separated from any reference to the legitimate right of the workers to seize the plant, when the need for the production of masks no longer exists, the plant will probably revert to its former status as an abandoned capitalist factory. The workers will have a difficult time justifying the continued maintenance of production at the plant given their short-term victory. Indeed, given that the form of the announcement is a letter of intent between the federal government and GM, shifting production to masks, in the eyes of many, will probably be viewed as a result of actions by government and employer rather than by workers and unions.

Another problem is that it is unclear who will be rehired to produce the masks, and how many will be rehired.

The urgency of the need for medical equipment is short-term–but it should have been used for long-term gains. Instead, an opportunity for shifting public opinion towards the legitimization of the seizure of workplaces by workers has been squandered.

The Poverty of Academic Leftism, Part Four: The Myth of Creating Socialist Spaces

Professor Noonan, an academic leftist, argues that the Nemak return to work provides lessons for the left. Indeed, it does–but unfortunately he fails to draw further lessons from the situation.

He says the following:

As regards work, the structural dependence on paid employment is what makes people working class. This structural dependence is what, above all, democratic socialism would overcome. However, it cannot be ended overnight, but until it is ended workers’ short term struggles are always in danger of becoming victims of wars of attrition. The capitalists, with the law typically on their side, can wait workers out or bleed their resources dry (Unifor was facing fines of 25 000 dollars a day and individual officers 1000 dollars per day). Overcoming the dependence requires long term struggle, but dependence means that your ability to survive without the work you are refusing to do is time-sensitive in the extreme.

Given the claim that the capitalists have “the law typically on their side,” should not the conclusion be drawn that the law as such should be criticized? That reference to “fair contracts” and “decent work” which trade union representatives often express, should be criticized? Professor Noonan remains silent about this. Why is that?

Should not union training include, systematically, the bias of law in relation to workers’ interests? Does it? Should that lack of inclusion of a critique of the bias of law be itself criticized?

He further writes:

There are three general sorts of changes. On the one hand, there are concessions which are made in order to return the situation to normal. This sort of concessions appears to be all that Nemak has offered. At the other extreme, there are revolutionary changes which would create completely new social institutions. It is easy to find abstract arguments that contend that no major social contradiction can be resolved without revolutionary changes. It is much more difficult to find concrete arguments that are powerful enough to actually mobilise revolutionary forces. The key problem here is that no one can say with any certainty how a new society would work (beyond general assurances that it would solve everything because it would be the opposite of this society).

Professor Noonan then dismisses both possibilities:

If concessions do not address the problem and a progressive revolution is not in the offing in the foreseeable future, [my emphasis]  hope must be invested in a third possibility: smaller scale structural changes that create space and time for for deeper and wider changes in an unfolding process of transformative social change. How is that to happen if workers cannot survive outside of paid employment (or its social benefit equivalent) for long enough to survive for the long-term? The answer is to struggle for changes to the nature of employment. The Nemak crisis, and the analogous crisis in Oshawa offer opportunities for just these sorts of demands.

The reference to “progressive revolution” is dismissed because it is not possible in the foreseeable future. What does that mean? That substantial changes in class relations will arise in the short-term is undoubtedly unlikely. However, Professor Noonan performs a sleight of hand by shifting the future to some far off horizon. This is the method of social reformers of various persuasions–they shift radical change to the distant future rather than seeing than any radical change will always have to begin in the present. Carl Weathers, in his role as Apollo Creed, told Rocky in the movie Rocky III: “There is no tomorrow.” All progress will always have to begin in the present–but as John Dewey, the educational philosopher and logician pointed out, the present is a moving present.

It may appear that Professor Noonan does indeed include the future in the present by struggling “for changes to the nature of employment.” Let us look at what Professor Noonan has to say on this score.

He says:

GM Workers in Oshawa are being subjected to the same loss of their factory as Nemak workers in Windsor. Like Nemak workers, the GM workers did not meekly accept the GM decision, but instead fought back. They have won a concession (which is nevertheless a victory and another good lesson): the company will consider using a small fraction of the space and workforce to produce parts. But there are other ideas which, while bold, are not impossible within existing institutions. However, if they were realised [my emphasis]  they would point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism. At the same time, since they are realizable here and now they do not depend upon a “revolutionary break” for which the required social and political forces do not exist.

In response to the Oshawa closing, Sam Gindin urged the CAW leadership to go beyond negotiations to work on the transformation of the plant into a publicly owned and worker-controlled facility for the production of electric vehicles. Markets would be initially guaranteed by government contract. Financing and start up costs would also require government support that is impossible to imagine with a capitalist party in power, but not impossible to imagine with a worker friendly government (an NDP radicalised by the threat of a election drubbing?) Instead of treating capitalism as a fixed and final reality that workers must either accept today or overthrow tomorrow, it works in the spaces created by democratic institutions and norms to find means of inserting an anti-capitalist principle and practice into the heart of the system. It shows that there are real alternatives to survival and creative activity than capitalist labour markets that can be realised right now, creating the time we need to fundamentally transform society by expanding non-capitalist employment spaces. Short term dependence on paid capitalist employment is reduced by people putting themselves to work in a non-capitalist firm. The system is not transformed, but a living alternative is created that serves as a real, not text book example, that another world is possible.

It is certainly necessary to propose ideas that “point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism.” Are there not, however, conditions for such ideas to be realizable in practice?

In the crisis situation in Oshawa, it may be that workers are more prone to accept solutions that point beyond existing social conditions. However, in a crisis situation, without prior preparation, it may well be that workers will grab at solutions that protect their own immediate interests at the expense of longer-term interests. It may also be that workers’ interests can more easily be divided so that the employer can take advantage of such splits. To counter such possibilities, it is necessary to prepare workers beforehand.

Thus, has their been adequate criticism of the structure of authority at the Oshawa plant? Has there been discussions about democratic control at work? Or have the workers there been constantly indoctrinated with the view that their work is “decent work?” That the collective agreement was a “fair contract?” That they received “fair wages?” That the power of an employer to close a workplace is “fair?” As I argued in another post, was there a critique of collective bargaining beforehand in order to prepare workers for going beyond the collective agreement? Or was there silence over the legitimacy of collective agreements? If so, would that not lead to confusion among many workers? If so, does such confusion not tell against the formulation of any consistent policy towards the large number of workers who will lose their jobs at the GM Oshawa plant?

Another relevant point here is how Professor Noonan speaks of “creating spaces”: the space was not created by the workers but by the employer (the decision to close the Oshawa plant). The workers reacted to this decision. It would have been much more intelligent to criticize the union ideology systematically beforehand rather than feeding into the union ideology of “decent work” and “fair contracts.” Did Mr. Gindin engage in such criticism? Or was he afraid to do so out of fear of alienating union representatives?

Furthermore, Professor Noonan relies on another sleight-of-hand by slipping in the fantasy that the New Democratic Party (NDP) would somehow magically turn into “a worker friendly government (an NDP radicalised by the threat of a election drubbing.” Like Professor Noonan’s logic in relation to the so-called harmonious interests of workers at the University of Windsor where he works and the management of that university, he assumes what he must prove: How the NDP can be converted into a “worker friendly government” under conditions of an economy dominated by a class of employers. The NDP and union representatives may think they are “worker friendly,” but they also share the same beliefs as their center and right-wing counterparts: the legitimacy of the employer-employee relation. The NDP may indeed enable workers to organize more easily and institute certain social reforms that may benefit workers more when compared to other political parties, but that does not make them “worker friendly.” They are more “worker friendly” than the other major political parties, but that is all. This does not magically convert them into a “worker friendly” political party. (Nonetheless, I am seriously thinking of voting for the NDP in the upcoming federal election on October 21, 2019 since their policies–such as a definite 360 hours of working for an employer required in order to be eligible for unemployment insurance as opposed to the current 720 for regular workers and 910 hours for beginning workers–are more specific than the vague guaranteed livable income, for example, proposed by the Green Party. Such vagueness can be transformed into minimal changes in income.)

Finally, it is typical of the academic left (and Sam Gindin falls in that category for, despite not being an academic technically, he shares many of their beliefs) that they avoid “creating spaces” in their own immediate environment. What, for example, did Mr. Gindin do to “create spaces” during his long stint as research director for the Canadian Auto Workers union? Did he try to create spaces that could “point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism?”

What of Professor Noonan? Does he try to create spaces that could “point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism” where he works? Might that not threaten his own livelihood?

Middle-class academics who are sympathetic to workers’ situation could provide welcome skills (such as research skills) to workers. However, they often lack the passion and emotions involved in real struggles for power: as Aaron Schutz, in his book Social Class, Social Action,  and Education: The Failure of Progressive Democracy points out:

But then, as Alinsky repeatedly pointed out, middle-class people were
pretty comfortable already. It did not really matter that much to them,
in concrete ways, whether anyone actually listened or not as long as they
had their say—in academic publications, for example. Their children were
unlikely to suffer much as a result. Near the end of his life, however, Alinsky
turned to efforts to organize the middle class, increasingly convinced that
those on the bottom needed allies from the middle if they were ever to generate
enough power to foster the change they needed and that the middle
class would also benefit if they learned to organize.

Middle-class leftists in Toronto and surrounding areas, as far as I can see, not only do not engage in some of the preparatory work necessary to enable workers for struggles that “would point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism,” but go out of their way to oppose such preparatory work.

Before the announcement by GM of the plant closing in Oshawa, Mr. Gindin met with some workers from the plant. I did not accompany Mr. Gindin to Oshawa , but his preliminary account of a meeting between him (and, I believer, Herman Rosenfeld) and some workers at Oshawa did not go very well; it might have been a problem of logistics or some other problem, but I doubt that there was any real discussion of the limits of the present arrangement of employers controlling the conditions of life (the factory) of the workers in Oshawa (and elsewhere). Mr. Gindin, out of fear of alienating workers, probably did not bring up the systemic issue of the power of the class of employers and how that power plays itself out in various domains.

Furthermore, Professor Noonan fails to justify his assumption that worker cooperatives somehow magically provide “a living alternative is created that serves as a real, not text book example, that another world is possible.” Cooperatives have existed in the past and exist in the present, but to argue that they somehow automatically provide a living example of an alternative is quite debatable. How does Professor Noonan justify his assumption? He does not.

Even if the GM Oshawa plant were nationalized and turned into a worker cooperative, there is no basis for assuming that there would be a magical transformation that would point towards a society within a different logic from the logic of capitalism.

Mondragon, a large set of cooperatives in the Basque region in Spain, may inspire some to seek alternatives–but then again it may not. This requires research. One author certainly questions whether Mondragon provides “a living alternative.” Sharyn Kashmir, in her book The Myth of Mondragon: Cooperatives, Politics, and Working-Class Life in a Basque Town, provides a different assessment of cooperatives. For example, she quotes a worker at Mondragon (page 122):

Begofia was in her late twenties and had been a member of one of the
Fagor co-ops since she was eighteen years old. She had always worked on the
assembly line. Over dinner, she told me that she felt exploited at work, “just
like any worker in any firm . ”

“What about the fact that you share ownership of the firm ?” I asked.
“It means nothing to me” she replied. Begofia also said she felt “apathetic
” about the governance of the cooperative. “I only go to the annual meetings
of the General Assembly because it’s required. Everybody goes because
they have to. If we didn’t have to, we wouldn’t go.” What she resented more
than anything was being told that she was participating in managing the cooperative
and that “it is your firm .”

As Begofia spoke, I began to hear the words “participate,” “cooperate,”
and “your firm” in a new way ; listening to her, they sounded imposing.
Had I gotten the sense that Begofia was alone in her feelings, I would not have
taken her complaints so seriously. However, she continually spoke for her fellow
workers, implying that her experiences of alienation and feeling manipulated
by cooperativist ideology were common . Furthermore, most of those at
dinner had lived their entire lives among cooperators and did not seem surprised
by what she said. To the contrary, they offered anecdotal evidence of instances
of workers’ apathy and frustration that they had heard from friends
and relatives.

This does not mean that there should be no struggle to nationalize the Oshawa plant and to convert it into a worker cooperative. However, such a struggle should explicitly try to link a critique of the power of employers as a class to this particular situation–and to the inadequate solution of nationalization and worker cooperatives in the context of a society dominated by a class of employers.

Worker cooperatives in themselves, as long as they are unconnected to a larger critical movement to supersede the power of a class of employers, will unlikely “point beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism.”

As Minsun Ji points out (‘With or without class: Resolving Marx’s Janus-faced interpretation of worker-owned cooperatives,” Capital & Class, 2019,  page 3):

Among the conditions or factors that might shape the potential of a worker cooperative movement in any given time, the most important for Marx is the manifestation and political mobilization of class consciousness (or the lack thereof ) among cooperative practitioners. In the end, Marx did not so much focus on promoting a certain type of labor organization as being most conducive to transformation (e.g. worker cooperatives or labor unions). Rather, he focused more on the importance of class consciousness within labor organizing, and on the development of radicalized class consciousness among workers, whether through the expansion of labor unions, worker cooperatives, or any other institution of worker empowerment.

In order to become a significant and sustainable challenge to capitalist systems, Marx believed that cooperatives had to grow beyond their small scale and reach capacity to change the mode of production at the national level. To reach this kind of national scale, truly transformational cooperatives would have to become politically natured, and to foster the radical ‘class-consciousness’ of worker members. It is the presence or lack of this focus on developing and mobilizing class consciousness, not the nature of the labor institution itself (i.e. cooperative or union), that Marx believed to most powerfully shape the radical or degenerative tendencies of local forms of labor activism.

Since Mr. Gindin refuses to engage directly with the issue of the power of employers as a class (such as, for example, questioning union rhetoric about “decent jobs,” “fair contracts,” and the like), I predict, as I did before, that the Oshawa plant will not be nationalized and converted into a worker cooperative. Mr. Gindin and company have not done the necessary work to prepare workers to engage in a struggle that seeks to go beyond the class structure.

Even if the Oshawa plant does become worker-owned, it is unlikely to form a space that points “beyond existing institutions towards new models of public ownership and workers’ control incompatible with the logic of capitalism.”

In other words, and contrary to Professor Noonan, for such a strategy to work, it is necessary to start now (and not in some distance future) by querying the class structure. Professor Noonan continually seeks to fly away from the need to question the legitimacy of the class structure from the beginning. Why is that? Perhaps because of his own class situation?

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.

 

 

 

 

 

 

 

 

 

 

 

Management Rights and the Crisis in Oshawa, Ontario, Canada: Limitations of the Reformist Left, Part Two

In an earlier post, I questioned the Socialist Project’s characterization of the problem that workers in Oshawa face (Management Rights and the Crisis in Oshawa, Ontario, Canada: Limitations of the Reformist Left, Part One).   I also, implicitly, questioned their proposed solutions.  In this post, I will question their proposed solutions explicitly.

The Committee then proposes some things to be done to resolve the problem:

What’s needed are efforts to provide challenging education programs about the potential for workers to demand that the facilities in which they work produce environmentally responsible products, publicly owned, and not dependent on the whims of the fickle and brutally competitive consumer private vehicle market. Without a leadership that points the way forward and questions the hyper-competitive private marketplace workers remain dependent on corporate employers and look to them to provide for their future.

The demand for educational programs ought to shift workers’ consciousness to production that: 1. changes what is produced (environmentally unfriendly private vehicles vs. environmentally friendly vehicles); 2. and for what purpose (competitive and, implicitly, for profit rather than for need).

This demand is unlikely to have much immediate impact at Oshawa. To have an impact it would have been necessary to develop educational programs that call into question various aspects of the capitalist economy, both at the micro level of the plant and at the macro level of the structure of production and exchange. Has such an educational program been developed? Judging from my own experience in an educational program developed by Herman Rosenfeld, Jordan House and me and presented mainly to airport workers at Toronto Pearson airport, such an educational program has had severe limitations placed on it.

Firstly, we did not have many opportunities to provide educational course for such workers. In fact, after we presented three times, we did not present again for around two years.

Secondly, of those three times, only once did we present a critical macro approach, with three sections on the capitalist class, the working class and the capitalist state. The other two times, these sections were eliminated. Herman and Jordan did present to the airport afterwards–probably without the critical macro aspect.

Thus, to have an impact, there would have had to exist many educational opportunities for the workers, and the content of the courses would have had to include a critical approach at both the micro and macro level. Since there has not been such opportunities, a call for such a modified educational program at this stage is wishful thinking. It is highly unlikely to occur.

This leads into the last part of the article. The Committee demands the following:

Political Struggle, Community Control

The Socialist Project supports serious efforts by the union and the membership to organize collective actions that challenge GM’s decision and calls for new products to be allocated to Oshawa.

We also call for the union to build a movement inside Local 222, the surrounding community and across the union movement and the Canadian working class, to:

  • Pressure governments to ensure the survival of the productive facilities in Oshawa by taking ownership, after a community seizure of the plant. Productive facilities, like what remains of GM Oshawa were paid for by the community need to be owned and further developed by the community. The federal government didn’t hesitate to take ownership of the Trans Mountain pipeline project, and there is an historical precedent for the conversion of auto production during World War II to needed war materials.

  • Along with the workers and their surrounding communities, come up with a plan to produce needed mass transit equipment and other environmentally and socially necessary products. It would require and could lead to new capacities for research, development, production and distribution, that could create jobs, help stem the tide of climate change and foster the growth of a challenge to neoliberal capitalism.

  • Investment can be provided by a publicly owned municipal, provincial or federal development bank. More could be provided by taxing the assets of banks or other private investment institutions. •

It is of course necessary to try to address the immediate decision of GM to close the plant. A call for community seizure of the plant may be immediately needed to prevent GM from carrying out its plans. However, this is mixed up with the call for the federal government to take over ownership. Why would there not be a call for ownership to be located at the community level after the seizure? Why this shift to ownership by the federal government? Would it not be more democratic if the community owned the plant and workers made decisions within a framework provided by the community? Would not a community board of directors, with representatives from various community organizations being the ultimate owner, be more democratic than ownership by the federal government? (Tony Smith, in his book Globalisation: A Systematic Marxian Account) argues for such community ownership and organization, with workers having the right of use of the facilities owned by the community.)

The federal government may be needed to prevent GM from taking away the physical assets and accounts of the plant; it may also be needed in various ways to support the community. However, since the federal government is unlikely to be democratic in structure if it owned the plant. Workers would still be treated as things since the federal government would be the employer. Undoubtedly, given the macro environment of a capitalist economy dominated by employers, community organization would also tend in that direction. However, there would be less of tendency in that direction than would be the case if the federal government owned the plant.

In relation to the second point–a plan for democratically producing environmentally-friendly output, the emphasis seems to be more on the kind of output rather than the kinds of relations between human beings at work. Admittedly, creating environmentally-friendly vehicles does express a positive relation between individuals, but this relation would be between the set of workers producing the environmentally-friendly objects and other workers and institutions who buy the vehicles.

What should have been included is a characterization of the preferred internal relations between workers–democratic–and how such a form could at least have been begun (although hardly achieved since the Oshawa plant would exist in a sea of capitalist relations of production and exchange).

The two bulleted points, with the suggested modifications, will however very unlikely be realized; GM will in all likelihood be closed down, with the Oshawa workers and community experiencing the immediate brunt of the shut down. What would have been required was persistent preparation of both the community and the workers (of course, not exclusionary since Oshawa workers can also be inhabitants of Oshawa) for a democratic takeover of the plant through a criticism of the employer-employee relation as such. Given the lack of such criticism, workers are likely unprepared ideologically and psychologically  (in terms of their attitude towards what needs to be done and what goals to pursue) for a democratic break with the structure of capitalist production and exchange.

An example of the inadequate preparation of workers: I heard Chris Buckley, president of the Ontario Federation of Labour, give a speech at a rally in support of striking airport workers in 2017. He used several times the term “decent job” and “decent work”–by which he meant a job subject to a collective agreement. The social-reformist and radical left did not question him anymore than they questioned Tracy McMaster, president of Greater Toronto Area Council, to which are affiliated 35 local unions of the Ontario Public Service Employees Union (OPSEU)), who also referred to “decent work” and “fair wages.”  They are afraid to alienate union reps and heads, but it is difficult to see how such alienation can be prevented given the acceptance of the power of employers as a class by such reps and heads of unions

Coming to the final point of the article is also wishful thinking. To create a developmental bank would require a fighting organization–a set of unions that are designed to engage in systematic attacks at the municipal, provincial and federal levels against the power of employers as a class and not the rhetorical flashes of engaging in struggles (see Chris Buckley’s letter to Premier Doug Ford, Letter From OFL President Chris Buckley to Premier Doug Ford Regarding GM Oshawa). The recent indication by Jerry Dias, national president of Unifor, and Warren (Smokey) Thomas, president of the Ontario Public Service Employees Union (OPSEU), that they are going to fight Ford’s agenda, will unlikely be sufficient to change the situation in Oshawa   (OPSEU and Unifor Join Forces Against Doug Ford); both accept the premise that collective agreements express a relation of fairness or justice. Expanding alliances across the public and private sector may or may not constitute structural change within unions. If such alliances are merely extensions of the existing union structures, it is unlikely to be an effective fighting force since such structures are not designed to question the legitimacy of the power of employers as a class; they assume the legitimacy of the power of employers as a class and seek only to limit such power–a necessary part of working-class struggle, but hardly sufficient. To become fighting organizations (with purposes that go beyond the limits of the power of employers as a class) and not merely defensive organizations, they need to question the legitimacy of collective agreements while still engaging in collective bargaining as a necessary evil.

We can see this on the OPSEU website for example. The title of one article is  Ford in bed with business, won’t save good GM jobs ; as noted in the first part of the post (see the link to that post above), the logic of this is that before GM announced its decision to close the plant, GM jobs were “good jobs,” but after the announcement, what were they? Bad jobs? The right of employers to close down may be fought on a particular basis, but generally employers as a class have the right to close businesses based on business criteria (generally, profitability in the private sector and public efficiency and political expediency in the public sector). This applies to jobs such as the jobs at GM. To call any job controlled by employers as good, therefore, is contradictory; jobs apparently are both good (when they are not eliminated) and bad (if they can be eliminated).

The article on the OPSEU website has Warren (“Smokey”) Thomas specifically claiming the following: ““At least Ontario has strong unions who stand united to fight for good jobs, even if the premier won’t.” In addition to calling such jobs good (and, by implication bad when they can be eliminated)–in addition to this contradiction–Smokey’s argument ignores how workers at Oshawa are used as means for the benefit of obtaining more and more money by GM (see the  The Money Circuit of Capital, which calls into question any characterization of working for employers as good or decent since workers are necessarily things or means for ends not defined by them but by a class of employers).

We can get an idea of Jerry Dias’ views on “good jobs” from the following article on the Unifor website, entitled   Unifor to hold national ‘Good Jobs Summit’.  Mr. Dias states the following:

“We need elected officials to help chart a path towards a good jobs future,” Dias wrote. “We need to start raising expectations that we can win jobs that pay fair wages, are safe and stable. And we want all workers in Canada to join in.”

Working for an employer, who generally has the legal right to close a factory, a department and so forth without democratic control by those effected by the decision, is somehow still a “good job.” It somehow results in fair wages (whereas wages, in the private sector, result from previous surpluses produced by workers and therefore are used to further exploit workers. See my post Basic Income: A Critique of the Social-Reformist Left’s Assumptions and Analysis: Part Two , criticizing David Bush’s one-sided analysis of capitalist relations of production and exchange).

The idea that jobs within a capitalist society are somehow safe also is questionable, as a number of posts have tried to make clear (Confessions of a Union Representative Concerning the Real Power of EmployersUnions and Safety on Jobs Controlled by EmployersGetting Away with Murder and Bodily Assault: Employers and the Law).

As for stable jobs: Where does Mr. Dias question management rights clauses in collective agreements, which implicitly or explicitly express the right of employers to reduce the number of positions or close factories or departments? That unions can and have limited such a right is certainly preferable to letting management have carte blanche, but limitations on that right hardly involve stability–as the Oshawa workers have experienced first hand. In any case, in a system characterized by capitalist accumulation, where a minority make decisions about what to invest, where to invest, when to invest and so forth, stability is possible for awhile but subject to constant disruption as investors seek new profits and new means to accumulation across the globe. Stability was possible after the Second World War, for instance, for some time because of the substantial destruction of means of production during the Second World War, the opening up of new areas for investment, the expansion of demand for workers and relative increases in wages. Given that a global war is hardly in the workers’ best interests, it is likely that more and more workers will be subject to increasingly precarious jobs until a global slump much wider and deeper than the one in 2007-2008 reduces the value of many means of production, leading to a vast upsurge in unemployment–in either case hardly a stable future.

So, the alliance of a public-sector union and a private-sector union is unlikely to provide the basis for the realization of the third point in the Socialist Project’s Steering Committee: neither the emergence of a development bank at the municipal, provincial or federal level, nor taxing the banks and other investment institutions is likely to be realized in the near future. (It is to be wondered why taxing is limited only to investment institutions and excludes taxing corporations involved in production. But that only in passing.)

The article fails to address the issue of preparing workers to develop a working-class attitude that would be conducive to engage in action that reflects an understanding of their class interests. It may or may not be too late to engage the workers at the Oshawa plant with such an approach, but such an approach should have been started long ago in order to address democratically the power of this particular employer to exert its class right to determine what to do with the means of production.

As it stands, there will probably be knee-jerk reactions to an immediate crisis–which is a typical response of an approach that fails to take into account the class nature of working for an employer but rather assumes that there are such things, within the confines of the employer-employee relation, as “good or decent jobs,” “fair wages,” “a fair contract,” “economic justice” (given collective agreements), “fairness,” “Fair Labour Laws Make Work Safe” and other such half-truths and platitudes. Perhaps the workers in Oshawa will learn the hard way this lesson, but it is more likely to do so if a critical working-class organization exists which questions such half-truths and platitudes and enables workers to understand their own experiences in a wider social context.

 

 

 

 

 

 

 

 

 

 

Management Rights and the Crisis in Oshawa, Ontario, Canada: Limitations of the Reformist Left, Part One

The Socialist Project Steering Committee wrote the following on its website (Taking on the GM Shutdown: Unifor, Oshawa and Community Control) :

General Motor’s plan to end production at its Oshawa plant at the end of 2019 is a callous, cynical act by the U.S.-based multinational auto giant that needs to be challenged. After accepting $13.7-billion bailout offered by the Canadian public to the big automakers back in 2008 to keep GM and Chrysler alive (one third of which will never be recovered), the company plans will leave 2500 workers at the plant out of work, with perhaps further spinoff losses of jobs and taxes. This is a brutal blow for the home of industrial unionism in Canada and one of the long-time centres of Canadian auto production.

This view implies that GM’s decision to close the plant is somehow unfair. Why else would such a decision be called callous and cynical?

Why is it unfair? There seem to be several reasons for providing such a judgement. Firstly, GM, like many other capitalist employers, were bailed out by the so-called Canadian public (actually, the Canadian government–hardly the same thing). Secondly, “one third” of the bailout “will never be recovered.” So, you lend someone a hand–and they not only fail to appreciate your aid but bite the hand that helps him. These are two the moral objections to the closing of the Oshawa plant provided by the Socialist Project Steering Committee.

The negative consequences of the closure seem to be a further objection, but that would only be so if there was an argument against closing plants by employers in general. If the Canadian government had not bailed out GM and no funds had been lost, then GM could legitimately “leave 2500 workers at the plant out of work, with perhaps further spinoff losses of jobs and taxes.” (Just as an aside–there is little doubt that there would be substantial spinoff losses of jobs and taxes. Why the Socialist Project Steering Committee decided to add the qualifier “perhaps” is a mystery. For one description of what happens, at an experiential level, to workers’ lives when coal mines and steel plants close down, see Simon J. Charlesworth, A Phenomenology of Working-class Experience).

The article, however, does not limit itself to only two reasons for considering the decision to be unfair:

From the point of view of the workers and communities surrounding Oshawa and, indeed, the needs and concerns of the working class across the country, there is no understanding why a place so productive can be shut down. Besides directly attacking the livelihoods and economic futures of workers, the shutdown would eliminate a key component of productive capacities in Canada.

Two further reasons are thus provided: the Oshawa plant is productive, and its closing would result in a reduction in the productive capacities in Canada.

Presumably what the Committee means by productive is in terms of material production. It may also mean value added as a whole. However, as the Committee undoubtedly understands, what is productive in those terms need not transfer to productivity for capital since the issue for capital is aggregate profit, and that usually in relation to total investment (rate of profit). What is productive materially and value added need not necessarily translate into higher profits and a higher rate of profit. For example, the same value added can be distributed differently between profits and wages. And the same level of profits, if related to different aggregate costs, will result in a different rate of profit.

It seems that the Committee is using a different definition of what constitute productivity from what GM considers productivity; why else would GM decide to close the Oshawa plant? It has decided, according to its own definition of productivity, what is productive–profitability and the rate of profit.

That the Committee and GM are using different definitions of productivity becomes clearer in what follows:

There is no reason to close down the facility in Oshawa which has consistently ranked as one of the top plants in the world (and similar doubts could be raised for the four U.S. plants also slated for closure). GM could easily retool these plants, and produce both new electric and hybrid vehicles, as well as the SUVs that are dominating current markets. These plants have rested on the community and labour resources of their communities; if GM doesn’t use this productive capacity, it should be seized as community property and put to other uses.

Brutal Corporate Strategy

From the point of view of GM, and the financial markets that back GM up, the closures are part of a brutal corporate strategy to: cut overall costs; to concentrate production in hot selling profit-making trucks and SUVs; and to finance later moves to offshore production of electric vehicles (quite possibly in China as the key growth market for e-vehicles).

In what way has Oshawa consistently “ranked as one of the top plants in the world?” Perhaps it has done so in terms of level of material productivity, value added, profitability and rate of profit–or perhaps it has not. Without a further explanation of what the standards are that are being used to make such a judgement, it is impossible to say what is being claimed here. However, in the above quotation, the Committee itself recognizes that its standards and those of GM are not the same. GM has decided to close certain plants “to cut overall costs.” If overall costs are cut, with profit remaining the same, then the rate of profit increases. “From the point of view of GM,” the productivity of capital will have increased. Furthermore, a shift from production in Oshawa and other plants to “hot-selling profit-making trucks and SUVs.” Not only did GM makes its decision based on the input sides (costs), but it also made its decision on the output side (level of demand). Furthermore, there is implied an already proven profit-making market, with relatively secure profits since demand is apparently quite high for output.
Is this not what capitalist employers do? How is GM any different from other employers in this regard?

The unfairness arises from an implied critique of capitalism as such as unfair without explicitly making it so; it is couched in terms of a bailout and non-recoverable funds. However, the article confuses the two issues and does not argue against GM as such as unfair.

If the only actions that are unfair is the bailout and nonrecoverable funds, then the solution would be to seize the Oshawa plant and have GM pay back the lost funds, after which GM would be free to close down the plant.

If, on the other hand, an economy dominated by a class of employers is unfair as such, then GM’s actions are unfair and seizing the plant without compensation would be only a prelude to seizing other plants since the ownership of such plants by employers would be illegitimate.

Since the Steering Committee fails to criticize explicitly the power of employers as a class to decide what to produce where and when it wants, its criticism of GM’s “brutal corporate strategy” rings hollow.

Why, for example, did it not criticize the following?:

MASTER AGREEMENT
BETWEEN
GENERAL MOTORS OF CANADA COMPANY
AND
UNIFOR
Local No. 199 St. Catharines Local No. 222 Oshawa Local No. 636 Woodstock
Dated
September 20, 2016
(Effective: September 26, 2016)
Page 5:
SECTION IV
MANAGEMENT
(4) The Union recognizes the right of the Company to hire, promote, transfer, demote and lay off employees and to suspend, discharge or otherwise discipline employees for just cause subject to the right of any employee to lodge a grievance in the manner and to the extent as herein provided.

The Union further recognizes the right of the Company to operate and manage its business in all respects, to maintain order and efficiency in its plants, and to determine the location of its plants, the products to be manufactured, the scheduling of its production and its methods, processes, and means of manufacturing. The
Union further acknowledges that the Company has the right to make and alter, from time to time, rules and regulations to be observed by employees, which rules and regulations shall not be inconsistent with the provisions of this Agreement.

(This blog has criticized management rights on principle on a number of occasions. See    (Management Rights, Part One: Private Sector Collective Agreement, British Columbia, Management Rights, Part Two: Public Sector Collective Agreement, Ontario,  Management (Employer) Rights, Part Three: Public Sector Collective Agreement, Manitoba,   Management Rights, Part Four: Private Sector Collective Agreement, Ontario).

The limitation of the social-reformist left are further exposed in the following:

Workers in Canada, the USA or Mexico for that matter, have no democratic control over what is being produced in our countries, or the fate of the productive facilities that produce them. Current governments of all stripes accept the free movement of capital and the domination of large investors in making key economic decisions. Trudeau, Ford and NDP governments are so committed to free trade and the wisdom of the private marketplace, that it is breathtaking to see how they fall over themselves to accept the right of GM to close down Oshawa, and limit themselves to providing Employment Insurance (EI), retraining and such.

This call for democratic control comes from out of the blue. Such a call is pure rhetoric and is not at all linked with the critique of concrete social structures that workers and community members experience on a daily basis. It is “breathtaking to see how they fall over themselves” in failing to criticize the various social structures that support the power of employers in general. Seizing the plant and managing it on democratic principles hardly need to coincide. Seizing the plant may be just an immediate reaction to the perceived threat to jobs–jobs that are hardly decent since they involve treating human beings as things (see The Money Circuit of Capital) but, nonetheless, are needed by workers if they are going to live in a society dominated by a class of employers.

A call for democratic control requires preparation. Why is there no definite critique of management rights? Why is there no definite critique of the right of employers to use workers as things legally? Why is there no definite critique of the economic dependence which characterizes so much of the lives of the working class? A critique of these structures is a necessary prelude to real democratic control by workers over the economic conditions of their own lives.

Actually, what they probably mean by “democratic control” is the regulations of employers and not the actual democratic control by workers over their own lives. Why else do they use the term “no democratic control.” They seem to object, not to the power of employers to dictate to workers in general, but to a particular form of that dictatorship–neoliberalism, where the welfare state is reduced in scope for the benefit of the class of employers.

The Committee then proceeds to criticize the weakness of Unifor’s response in the face of the announced closure of the Oshawa plant. The criticism is accurate as far as it goes, but the Committee does not bother to look at the weakness of the left and its role in feeding into that response. As already mentioned, the left does not generally criticize management rights as such. Quite to the contrary. It uses rhetoric and euphemisms, such as “decent work,” “fair wages,” (Tracy McMaster), “a fair contract” (Wayne Dealy). It fails to criticize the pairing of the Fight for $15 with the concept of “fairness,” implying that fairness can be achieved within the employer-employee relation. It fails to criticize the rhetoric of “Fair Labour Laws Save Lives.” It fails to criticize the rhetoric of “economic justice” (John Cartwright).

Were the jobs at the Oshawa plant before the announcement “decent jobs?” Was the collective agreement a “fair contract” and the wages a “fair wage?” But then magically, after the announcement, they are no longer “decent jobs?” There is no longer a “fair contract?” There is no longer a “fair wage?”

Were the labour laws fair before the announcement of the closure of the Oshawa plant fair? If so, how did they remain fair afterwards? Or did they magically become unfair?

So many questions, but the article by the Steering Committee fails to provide any answers.

A later post will look in more detail at the proposed solutions by the Steering Committee.