www.newsandletters.org











Lead Article from News and Letters newspaper October 1997


UPS strike awakens passions in contingent army of workers

by Bob McGuire

The September strike of transit workers against Bay Area Rapid Transit (BART) gained added significance as the first major display of the state of labor after the UPS strike. Workers fought BART not only over wages, but for an end to a permanent two-tier wage system. To do so, the rank and file had earlier tossed out local union officials who had negotiated concessions in the last contract.

What the strike achieved was considerable: an end to the permanent two-tier system limiting workers hired since 1995 to 90% of the full wage; compression of the timetable to receive full wages to three years; and 4% annual wage increases.

BART management counted on rider inconvenience and its publicizing what it called bloated union wages to isolate the strikers. But what a BART workers wrote in News & Letters during a 1979 strike "We aren't overpaid, other workers are underpaid" summed up what struck a chord with the public in 1997. Plenty of commuters, even while enduring hours-long alternate routes into San Francisco, expressed support for the strikers.

A turning point for labor?

What focused our eyes on the BART strike was the question of whether the Teamster victory at UPS has carved out space for labor to operate once again, after two decades of economic restructuring under relentless corporate and government attack.

Labor victories have been scattered since the era of giveback contracts which began with Chrysler and the UAW in 1979, and the growth of non-union trucking unanswered by the Teamsters after President Jimmy Carter deregulated the industry. Reagan opened the floodgates by crushing and replacing the PATCO air traffic controllers who struck in 1981, and got away with it as Mechanics honored their no-strike clause in union contracts with the airlines. As we learned a whole new vocabulary-"replacement workers," "lockout," "give-backs," "two-tier" and "contingent workers" Nthe number of strikes so plummeted that corporate cheerleaders have crowed that the strike weapon was ancient history.

UPS had reason to feel in command as it faced the strike that began on Aug. 4. The corporation had hauled in a billion-dollar profit in 1996 from which to build a war chest, while the strike fund for 185,000 Teamsters at UPS was essentially depleted. The 80% of the package delivery business controlled by UPS could not be absorbed by all its competitors combined. The company had made full-timers a minority of the UPS workforce with a flood of part-time hires since the 1993 contract. As arrogantly as UPS had unilaterally increased the package weight limit form 70 to 150 pounds, it stuck to what it called its "last, best, final offer" until the day it offer something better as the strike entered the third week.

To the astonishment of UPS, picket lines were at least 95% solid nationwide, from union towns to right-to-work Southern states. The Teamsters had held months of pre-strike meetings and rallies involving rank-and-filers. Credit also strike issues that for the first time in years drew support from the public at large as the struggle became a referendum on part-time life and on untrammeled corporate greed.

The UPS carnival pitch-man appeal to workers, by promising a higher pension than what they would get with the portable, region-wide multi-employer fund, was transparent even to the public as a simple pension grab. The great division UPS had created in its workforce between full-time and part-time was supposed to undermine strike solidarity as well.

UPS finally caved in to Teamster demands after a show of solidarity from other AFL-CIO unions committed to loaning the Teamster pension fund enough to maintain the strike. After their new offer was when Clinton intervened. He who had Taft-Hartley in his hands predicted erosion of support if Teamsters rejected the offer, ending the possibility of further gains.

But strikers returned to work with a victory. They had defended themselves against UPS demands to subcontract out the semitrailer runs and to grab their pension money. They had began making inroads into the dominance of part-time jobs at UPS with contact language that, in addition to 10,000 promotions into full-time, 10,000 new full-time positions would be stitched together out of existing part-time jobs if business didn't drop. The likely outcome is a drop of part-time workers from 57% to under half the workforce by the end of the five-year contract. The contract length, less than the seven years the company had demanded but still one year longer, is the concession that workers say UPS really wanted.

UPS an industry leader in exploitation

UPS had been resisting converting even back-to-back part-time shifts into full-time jobs, saying shifts or four hours or less were more "efficient." That betrays the underlying intensification of part-time shifts-UPS made workers sprint not jog for three hours, then recover on their own time. They get "volunteers" to come back for extra hours just to afford to eat. Split shifts in the comparable railroad industry were abolished in the strike of 1919.

Part-time starting wages rose for the first time since 1982, just 50c, to $8.50 per hour, but the maximum increased $4.10 an hour, a full dollar more than the full-time increase of $3.10 an hour, which, though just about 3% a year, is more than double management's "last, best, final offer."

Teamster President Ron Carey publicly marked as the union's goal, following on the heals of the UPS victory, organizing Federal Express which had lobbied Congress to make it immune to any union election except a national all-or-nothing vote. But attention focused immediately on Carey's 1996 election being overturned by the government election monitor. UPS whined that that announcement should not have been withheld until the strike was over.

Oddly enough, the Teamster opposition behind James Hoffa Jr. voiced an identical protest, in effect regretting that UPS wasn't given another weapon to use against the strike.

Since the Hoffa spokesman is a LaRouchite named Leebove, we can't help but be reminded of the 1980s reign of mob-connected, FBI-protected then-President Jackie Presser who brought in the classically fascist LaRouche organization to try to disrupt Teamsters for a Democratic Union and any other rank-and-file challenges to his autocratic rule.

Meanwhile the fledgling trucking company Overnite arose unchallenged after deregulation as the model for non-union trucking companies, closely followed by the growth of non-union subsidiaries of unionized outfits. Only now and belatedly are the Teamsters doing organizing that we would expect of any union, and with widespread rank-and-file involvement winning elections at dozens of Overnite barns.

New economy, new revolt?

The best proof that the UPS strike created new openings is the effort by business spokesmen to prove that this strike was unique and could have no offspring. The most comical reason given for victory at UPS is that people liked their UPS drivers. Considering that when companies can sow divisions, strikes divide workers, neighbors, even families.

Another argument heard for the union's success was that "UPS couldn't threaten to move Mexico." This ignores that fact that, after the first wave of runaway shops to the right-to-work South or Mexico or China, even more companies demanded conditions like to those in runaway shops-without moving.

That is what the low-wage, part-time workforce is about, and the UPS demand to subcontract semitrailer runs. Even cities act like runaway shops, as Chicago's latest budget again threatens more privatization for municipal workers.

Another claim is that UPS lost because they couldn't use replacement workers, either because the routes were too complicated or because unemployment was too low. All that belittles the accomplishments of UPS strikers who maintained solidarity across all company-created divisions and maintained links with other unions and rank and filers, and whose demands registered even with people who weren't involuntarily part-time themselves. If Caterpillar dared replace skilled mechanics, or disrupted the airlines and endangered the skies for years by firing uniquely trained PATCO strikers, give credit to the worker and public support for UPS not going that route.

After all, the 4% unemployment rate was already a sham and a severe undercount before considering new workfare workers. UPS had at the time of the strike already become a dominant private employer of workfare workers, slotted into part-time jobs.

As to the claim that manufacturing shop floor conditions are not relevant to a service sector employer like UPS, how does one tell sorters and loaders who handle upwards of 1,200 parcels an hour that they aren't in a factory. When it suits them, capitalists treat every kind of human labor as one, and service workers have been hit hard by two decades of economic restructuring.

Service workers step up

Sixty years ago clerks at Woolworth with an affinity for the wave of sit-down strikes in auto shops and factories of all kinds sat down to gain a union in their stores. Now as the Woolworth chain closes, unionized Sears workers are under attack as the workforce moved from 70% full-time employment to 70% part-time in a decade. A union election at a Wisconsin Wal-Mart, though defeated, is a sign of battles ahead for a company that has answered to no workers in pocketing the fruits of its restructured distribution system. And so endangered labor gains in every competitor.

Any reversal of capital's drive toward the ultimate contingent workforce, whether by victory at UPS or battling outsourcing at GM, has come none too soon. From PATCO to Hormel in Austin, Minn., to Staley in Decatur, Ill,. to the Detroit newspaper agency, labor has more than a few defeats. Undermined by lack of solidarity, workers were permanently replaced or forced to work alongside scabs.

Even those strikers who never got their jobs back have almost always said that going on strike was the best thing they had done. Those strikes paved the way for whatever cracks in the dominance of capital that the UPS strike has exposed.



CLICK HERE TO GO BACK TO CONTENTS PAGE

CLICK HERE TO SUBSCRIBE TO NEWS AND LETTERS



subscribe to news and letters newspaper. 10 issues per year delivered to you for $5.00/year. send a check or money order to News & Letters, 36 S. Wabash, Room 1440, Chicago, Il 60603, USA

Home l News & Letters Newspaper l Back issues l News and Letters Committees l Dialogues l Raya Dunayevskaya l Contact us l Search

Subscribe to News & Letters

Published by News and Letters Committees
Designed and maintained by  Internet Horizons