Freedom Socialist • Vol. 18, No. 2 • July-September 1997


Defying the Neoliberal Order:
World Labor Strikes Back


A global overview written on behalf of the Freedom Socialist Party National Committee, discussed and adopted by the January 1997 FSP Convention




by Andrea Bauer



Overview

No more business as usual!

During the past four years, that message has been sent by workers all over the world: public servants walking off the job in France and Ontario; unionists, together with Aborigines and students, marching on Parliament in Australia; high-paid aerospace workers striking Boeing and low-paid garment workers suing their bosses in the United States; maquiladora workers organizing unions in Latin America; anti-privatization bus drivers provoking huge sympathy walkouts in Denmark; factory hands, teachers, and others protesting some $9 billion of unpaid wages in Russia; members of illegal unions wildcatting in China; Hyundai employees battling police in South Korea; strikers demanding a pro-labor constitution in South Africa; and many, many more.

In the Political Resolution prepared for the 1993 Freedom Socialist Party convention, we predicted these mounting confrontations between capital and labor, foreseeing that the fall of the bureaucratized workers states of the former Soviet bloc would demolish the fragile equilibrium between owners and wage slaves worldwide.

When we discussed the former USSR and Eastern bloc in 1993, we concluded that the economic underpinnings that made these countries workers states -- nationalization of the bulk of the means of production, central planning, and state monopoly of foreign trade -- were gone, or going fast.

To lose these states to counterrevolution was an immense and tragic defeat. At the same time, however, the disaster opened up tremendous new opportunities for the workingclass movement in every corner of the globe. Why? Because it broke apart (although it did not eliminate) the entrenched Stalinist bureaucracy that exerted such a backward but potent influence over this movement for many decades. This development would take the brakes off the class struggle, we wrote, and so it has.

And the upswing in strikes and anti-austerity activities has been not only quantitative, but qualitative as well; many of the workers involved have grown enormously in class consciousness. Employees at the Staley corn-processing plant in Illinois, for example, were profoundly changed by discovering during their three-year strike that the injustices they confronted were not unique or accidental, but part of a systemwide pattern of exploitation.

The momentous potential of these militant campaigns, however, is not being realized, thanks to the spineless temporizing of status-defending labor officials. These inveterate compromisers belong to a worldwide club of misleaders who are linked by treachery and privileges and are personified first and foremost by the Stalinist bureaucrats referred to above. Trotsky dubbed them the "middle caste" -- the well-compensated negotiators between the ruling class and the toiling class.

So crisis continues to define our era: in the first place, the crisis of the capitalist order, desperately seeking growth at any cost but still enmeshed in the long wave of recession that began in the early 1970s; and in the second, the "historical crisis of the leadership of the proletariat,"(1) as Trotsky called it.

The good news is that the bourgeoisie, trying vainly to remedy its problems through a frontal assault on mass standards of living, is propelling the working class onto a course of solving its problems. The bosses' frenzy is doing nothing less than sparking the conditions for revolution everywhere. And foremost among these prerequisites is the emergence of new leaders, such as the young First Nations radicals shaking up the status quo across Canada and the fiery immigrant students challenging the hard-right offensive in California.

Furthermore, the coordinated global attack is provoking an increasingly coordinated international response, as can be seen in the defense of Cuba and in the mobilization against corporate mega-exploitation in the maquiladoras, the export-oriented sweatshops of Latin America. Extending this internationalism is crucial to successful resistance.

Capitalism is caught in an organic, irreversible undertow. Its demise is certain, even though the bosses' media does everything it can to convince us that we live in the best of all possible worlds at the pinnacle and climax of history.

It falls to us, as Marxists, to explain that transforming the social system in order to raise the material and cultural conditions of humanity is not only a good idea, it's a practical one; that capitalism has a natural and logical replacement, socialism; and that this new mode of living is achievable by promoting the leadership of the most oppressed workers, who are already out in front in the fight for a better existence for all.

Bosses try to manage an unmanageable
crisis on the backs of workers


Many of capitalism's economic engineers openly admit that their train has jumped the tracks. They acknowledge the reality of a 25-year-old global recession -- although they may prefer the euphemism "slowdown."

The International Monetary Fund, a kind of Board of Directors for the biggest world capitalists, is obsessed with ending the long contraction of the economy through growth -- because only unrelenting expansion can keep its clientele afloat and capturing fabulous profits. But, contradictorily, bourgeois economists are also obsessed with holding down the pace of growth, in order to prevent runaway inflation.

What the financial overseers cannot admit is that wrack and ruin is built into their system. Recession and inflation are the manifestations of insoluble contradictions; chiefly, the crisis of overproduction.

Why the drive for constant growth and rising profits can end only in crash

In Ernest Mandel's Introduction to Marxist Economic Theory, he explains the startling phenomenon of "too many goods":

"Capitalist economic crises ... are not crises of scarcity, like all pre-capitalist crises; they are crises of overproduction. The unemployed die of hunger not because there is too little to eat but because there is relatively too great a supply of foodstuffs.

"At first sight the thing seems incomprehensible... But the mechanism of the capitalist system makes this seeming paradox understandable. Goods which do not find buyers not only do not realize their surplus-value but they do not even return their invested capital [i.e., not only fail to produce a profit, but do not even cover costs]. The slump in sales therefore forces businessmen to suspend their operations [and] lay off their workers. And since laid-off workers have no reserves ... unemployment obviously condemns them to the starkest poverty and precisely because the relative abundance of goods has resulted in a slump in sales."

Overproduction and its consequence, recession, are inevitable features of anarchic and competitive capitalism, in which each owner is compelled to expand and to amass ever greater profits, or die. The capacity for infinite expansion is required, but impossible -- the market is finite.

In the ceaseless search to evade this dilemma, military spending became an indispensable prop to keep the U.S. and world economies percolating. The government is the only buyer for most armaments. So permanent arms spending is grossly inflationary -- because to sustain it, the government is forced to borrow heavily from the banks, or simply print more money, or both.

This results in the amount of money in circulation increasing out of proportion to the amount of goods that are salable and consumable on the regular market -- or, as it's often put, too much money chasing too few goods.(2) This "funny money" becomes worth less, and its depreciation is reflected in high prices and a lowering of real wages.

Worry over inflation is what causes the stock market to react so negatively when unemployment figures dip. Capitalists say they fear that if "too many" people are employed, workers will set off an inflationary spiral by demanding better wages. But this argument is bogus. Rising prices continue to outstrip any increases in wages; low levels of inflation persist even when real wages fall.(3) It is government deficit spending, especially for military production, that is to blame for inflation.

No matter how futile their mission, the capitalists cannot stop seeking a way to create the miracle of inflation-free expansion. Their current strategy is the nasty bag of tricks called neoliberalism -- defined by Subcomandante Marcos of Mexico's Zapatistas as "a crisis elevated to a global economic system."(4)

Neoliberalism: The rich get richer through "free trade" and privatization

Neoliberalism gets its nice-sounding name because it is designed to spur growth by "liberalizing" trade -- opening every pocket of the world to imperialist penetration, particularly protectionist or formerly protectionist markets like those of Japan and Mexico.

Countries such as these are coerced into "reforms" or "Structural Adjustment Programs" that ban or lower tariffs, deregulate the economy, and ease restrictions on foreign investment. The devastating impact on developing and Third World countries can be seen in the near-meltdown of Mexico's economy in 1994.

Eliminating all barriers to trade also entails the wholesale privatization of nationalized industry and services, which cancels one of the few means by which less advanced countries can strengthen their economies. Further, free trade requires "labor market flexibility" -- meaning the willingness of workers to take any job, at any wage, if they want to avoid membership in the swelling ranks of the "structurally" unemployed. To help cultivate this flexibility, the IMF advises lowering the minimum wage in those European countries where it is relatively high. And as a method of reducing unemployment, it suggests reducing benefits!(5)

Neoliberalism, then, means the imperialists gang up in trade blocs -- such as the North American Free Trade Agreement, European Union, Asia-Pacific Economic Cooperation, and new World Trade Organization -- to fuel expansion by intensifying both the super-exploitation of the less-industrialized countries and the domestic exploitation of each working class. It promises a return to Dickensian social conditions that make neoliberalism truly the fast track to neo-barbarism.

As the bosses press forward with neoliberalism, the U.S. media boasts that the Holy Grail of steady, noninflationary growth has been attained. Nearly every article on this subject, however, ends with an edgy caveat that prospects may not be as bright as they appear.

And with good reason. Attempting to resolve the contradictions of capitalism by driving down wages and benefits can only exacerbate the bedrock problems, since workers' purchasing power then takes a nose dive as well. Unfortunately for everybody concerned, however, the bosses have no other option -- except a cataclysm such as another world war, which would present capital with reconstruction opportunities on a grand scale.

Although that horrible eventuality is not an immediate prospect, the tensions that could lead to it are certainly present.

Trade rifts: no harmony among thieves

In Japan, for example, U.S. capitalists are unhappy with the pace of deprotectionist reform. The New York Times has advocated that the U.S. go beyond economic intimidation to a warning of military retaliation, in the form of revoking long-standing U.S. guarantees to protect Japan from armed threat.(6) Canada, the European Union, and U.S. allies in Latin America, meanwhile, are disgruntled with high-handed U.S. dictates to them regarding trade with Cuba, China, Iran, and Libya. And divergent national interests, particularly between France and Germany, are making the road to a truly united European community a rocky one indeed.

Economic tensions always hold the threat of developing into shooting wars, and localized wars always carry the danger of becoming global conflagrations. In 1991, the U.S. managed to forge nearly unanimous imperialist support for its inhuman blitzkrieg against Iraq, which kept the carnage from spreading outward. But this will not always be the case, because such conflicts offer capitalist nations desperate for new markets and spheres of influence the opportunity to try to redivide the world more favorably.

The talk today is all about mutually beneficial partnerships and cooperative multilateralism, but let there be no mistake: the USA is adamantly first among equals, with the most sabers to rattle and capital to invest. And neoliberalism is designed above all to advance the interests of U.S.-based corporations.

Ruling class creates climate for
spread of rightwing toxins


While neoliberalism has not succeeded in stabilizing the capitalist system, it has succeeded in increasing global poverty, hardship, and degradation of the environment.

In the name of European unity, governments there are waging a wholesale offensive against labor meant to boost productivity, reduce wages, cut social benefits, and privatize public services -- in effect, to dismantle the welfare state.

In Australia, the "social accord" existing among labor bureaucrats, the bosses, and the government had already been used to launch a similar program of privatization, layoffs, wage decreases, speedups, slashes in social services, and higher fees for students. Now, the new conservative regime has openly targeted the trade-union leadership for extinction.

In Canada, unemployment is rising while social-service gains won in the 1970s and 1980s are being rolled back. Massive budget cuts spell anxiety and misery for women, people of color, people with AIDS, workers needing training or retraining, elders, and young people.

In Mexico, the standard of living for the majority is now as low as it was before World War II.(7) In Africa, average incomes have fallen every year since 1989.(8)

In the U.S., the scandalous gap between rich and poor is the widest of any major industrialized nation.(9) Job security is nonexistent, while corporate profits and the salaries of CEOs inebriated with downsizing are at an all-time high. Here as elsewhere, economic growth no longer spurs job creation; it occurs at the expense of employment.

U.S. cities and states with large concentrations of underpaid immigrant workers are coming more and more to resemble the Third World countries many of these newcomers left in desperation. In El Monte, California, from 1989 until 1995, sweatshop owners imprisoned more than 80 seamstresses from Thailand in a guarded work complex surrounded by barbed wire and a spiked fence. Similar circumstances for undocumented Chinese workers in New York came to light when the ship called Golden Venture ran aground with its smuggled human cargo in 1993.

To divert the blame for capitalism's abuses against workers and the middle class, its politicians and hired guns are inveighing against immigrants, "welfare deadbeats," greedy unions, retired elders bleeding Social Security dry, dope-smoking teenagers, spreaders of immorality, and all the usual suspects. They hope their message of racism, sexism, homophobia, and foreigner-bashing will be embraced by angry white male workers dislocated by the collapse of blue-collar industries -- 1.4 million jobs in U.S. manufacturing vanished between 1978 and 1990(10) -- and middle-management purges. Pitched battles over laws dealing with immigration, affirmative action, abortion, and gay rights are the fruits of this campaign of polarization.

But the bourgeoisie is not relying only on its ideological campaign to guarantee the success of its regime of austerity and lowered expectations. The owning class is enforcing it by taking away broad and fundamental civil liberties (as through supposed anti-terrorism measures) and by jacking up police numbers, police powers, and rates of imprisonment. This climate is a breeding ground for Nazism; white-supremacist, anti-Semitic far-right groups are trying to take advantage of it to boost recruitment.

The new fascists are aided and abetted in this quest by the pathetic caliber of what passes for bourgeois democratic leadership these days. Figures like Bill Clinton and Boris Yeltsin seem more suited to life as clowns in a traveling circus than as preeminent statesmen. Neither politicos nor corporate whiz kids have solutions for the predicaments we are in; their positions and policy prescriptions flip-flop as regularly as the romantic alliances of characters on a TV soap opera.

The leadership vacuum creates the danger of another McCarthy era, or a Bonapartist climb to power by a strong-man promising to stand above the conflicts tearing society. To protect the rights of all will require unhesitating defense of the rights of the first, most vulnerable victims of the anti-democratic siege.

Renaissance of revolt in the capitalist countries

Amid all this chaos and peril, the exciting and distinctive feature of the past four years is how strongly working women and men of all colors, indigenous people, and youth are combating the bosses' reactionary push. When your back is against the wall, it seems, the fight-or-flight reflex gives you only one option.

In the USA: Main Street vs. Wall Street

During the regressive 1980s, women and workers of color in low-paid jobs in the U.S. continued to staff organizing drives and walk picket lines. And they still do -- but in the 1990s, they are not alone. Their example has been followed by hard hats in the auto industry; "middle Americans" working for Staley and Firestone and Caterpillar; Boeing veterans; newspaper workers in San Francisco, New York, and Detroit; and a plethora of other fed-up and pissed-off workers of all kinds.

The growing radicalization engendered by these determined strikes comes through like a laser beam in the final newsletter of the locked-out Staley workers in Illinois: "We can only hope that the painful lessons of the 'war on the workers' here ... become part of the rebirth of a militant labor movement in this country... We need a 'fist' clenched in solidarity and, like our French union sisters and brothers, strategically ready to come down on those out to destroy us!"

Sentiment like this has led to a dramatic and long-overdue development on the U.S. scene. A Labor Party, the independent political vehicle that workers need so acutely and that FSP has championed for decades, has been formed.

The utter disgust with the Republican and Democratic parties that is manifest today, plus longtime pressure from militants in the labor movement, drove a section of union officialdom to create Labor Party Advocates. This group eventually culminated in June 1996 in a Labor Party (LP) founding convention, which was run relatively democratically and free from redbaiting.

Nonetheless, the convention was dominated by the biggest unions present, the ones with leadership most afraid of antagonizing the heads of the AFL-CIO by making a clean break with the Democrats. Money was a factor: the LP is currently being maintained from the general funds of supporting unions, funds which can't be used to back candidates. Trying to gain access to union political-action money, which can be put toward campaigns, would force the AFL-CIO to choose between Democrats and Labor Party candidates.

Consequently, the Labor Party put off running candidates for at least two years.

Despite the LP's self-imposed (and possibly fatal) handicaps, its formation marks a huge leap ahead for U.S. workers and oppressed people -- and shows the loosening of the conservatizing grip of Stalinism over the labor movement. Non-Stalinist socialists, especially Trotskyists, are participating significantly in the LP.

The establishment of the LP reflects a growing sophistication and progressiveness on the part of the U.S. workers' movement. Major unions and federations, recognizing that bread-and-butter questions are not the only survival issues for the workforce majority, now adopt positions supporting such things as affirmative action and immigrant rights.

The union movement has been pushed in this direction by women, people of color, immigrants, lesbians and gays, Native people, and youth, both inside and outside its ranks, who are in the streets challenging the right wing and its anti-labor, multireactionary program. If the Labor Party is to live up to its potential, these are the movers and shakers who must be recruited to it. The FSP sees this as the top priority in our LP work, which nearly every U.S. branch is involved in.

It is becoming clearer every day that immigrant workers, most of them women of color, are putting the backbone in the labor movement -- especially in California, where the racist, xenophobic backlash is most concentrated. In April 1996, Asian immigrant women scored a moralizing victory against the Jessica McClintock company, a manufacturer of upscale clothing, winning back wages for employees who went unpaid when a subcontractor for McClintock declared bankruptcy. They also won an education fund and scholarships for garment workers, a campaign informing workers of their rights, and a free hot-line in English and Cantonese for reporting illegal job conditions.

Students of color at high schools and colleges, meanwhile, have been in the forefront of battles opposing California's anti-immigrant Proposition 187 and its "Civil Rights Initiative" against affirmative action. The FSP can take pride in its leadership role in both these campaigns.

The party has also been central to the success of two militant united fronts that deserve to be models for counter-mobilizing against any of the right wing's schemes: anti-Nazi efforts that have taken the wind out of the sails of would-be stormtroopers in three countries; and Bigot Buster campaigns against anti-gay initiatives in Washington and Oregon.

In a climate in which the dominant class stigmatizes anyone not embracing its so-called "family values," lesbians, gay men, bisexuals, and transgenders, particularly queers of color, have come in for increased bashing, both physical and political. At the same time, contradictorily, the tenacious movement for gay civil rights is having a strong impact on public consciousness and the cultural scene. Whatever the arena, the FSP has been there, offering a class analysis to a group of oppressed people who have always posed an automatic threat to the patriarchal nuclear family and the system it serves.

Another instance of our effective broad-based organizing is our support of gay, radical, and employee rights in Sandy Nelson's lawsuit against The News Tribune. This widely watched case is part of a national trend toward more criticism by journalists of publisher restrictions on their free speech and, ultimately, a free press.

The new combativeness of U.S. workers, demonstrated by everyone from reporters to seamstresses, is a boon for workers all over -- because without revolution in the nerve center of imperialism, revolutions elsewhere face a struggle of Himalayan proportions.

Flash points from British Columbia to Bonn

Around the globe, people are demonstrating their unwillingness to go along with NAFTA-ization and the rest of the reactionary rulingclass program.

In Canada, greater numbers of people are getting involved in radical organizations, unions, and the social-democratic New Democratic Party. Union demands here, too, are encompassing all sorts of social problems; multi-issue politics have become the norm in both the union and other mass movements. Striking militancy is manifested in the First Nations movement, where young warriors have taken the lead in adopting confrontational tactics to fight land grabs.

In Australia, also, indigenous people are militantly defending their territorial rights and culture. They are among the many groups under fire from the new Howard government, whose heavy-handedness is already calling forth a surge of opposition on many fronts.

In Mexico, the signing of NAFTA set off an armed revolt for Indian land rights that galvanized a national movement in support of democracy and the peasants of Chiapas, plus a furor over the legitimacy of the long-ruling Institutional Revolutionary Party (PRI).

In Mexico and regions to the south, organizing by women is a high point, one that is changing the face of the labor movement, left groups, and national liberation struggles. Courageous drives to establish unions in the maquiladoras, despite ugly employer violence, are bringing together women workers and labor activists from Canada, the U.S., Mexico, Guatemala, and other Latin American countries. And the link between defense of labor and defense of the environment is yet another strength of Latin American politics.

European resistance to the bosses' offensive is red-hot. This was most vividly demonstrated in the November-December 1995 strike by public-sector workers in France, whose motto was "tous ensemble": all together. Only 10 percent of French workers are unionized, but both the organized and unorganized walked out, bringing the country to a standstill for three weeks. The strike has inspired workers worldwide because of its radicalism and because it was run by the rank and file, who met every day in general assemblies.(11)

Across the channel in England, National Union of Mineworkers President Arthur Scargill and other labor leaders have quit the moribund Labour Party to form the Socialist Labour Party.

And in Germany, hundreds of thousands of workers, students, and activists flowed into Bonn by bus and train on June 15, 1996, to demonstrate against government plans to eviscerate public spending and social benefits. It was Germany's largest union rally since World War II.


Decades of hard-won gains threatened in Canada

In Canada, vast social gains won after World War II -- including universal, low-cost medical care, public assistance and pension programs, and nationalization of many industries -- are being dismantled. Canadians are working harder and longer, and rising unemployment is creating a permanent underclass.

The new austerity measures are due to economic culprits like the North American Free Trade Agreement and APEC. They are being imposed in many cases by Canada's backsliding labor party, the New Democratic Party.

But the bright side is that workers increasingly see social issues as labor movement issues, and immigrants, youth, women, queers, Québécois, and Natives are up in arms -- sometimes literally. A general strike shut down Toronto in October 1996; First Nations warriors have faced off against the police and military over land claims; and students have closed universities to protest unrelenting tuition increases. In each of these struggles, dynamic new leaders are emerging. Needed now: the forging of an anti-capitalist program for the rising movement.

Sharp social divisions swamp Australian "Accord"

As international economic competition intensifies, a gentlemanly "Social Accord" forged among the heads of government, business, and unions in Australia has given way to a rapid, full-scale attack on living standards and social conditions. With Prime Minister John Howard of the misnamed Liberal Party at the helm, drastic budget cuts, unionbusting, and assaults on Aboriginal rights are the order of the day.

Australians are organizing militant campaigns against a growing list of outrages, including school closures, police harassment against sexual minorities, and privatization. In August 1996, enraged workers and Aborigines seized international attention by storming Parliament House in Canberra, in a mobilization notable for its unprecedented size, multiracial nature, multi-issue demands, and repudiation of the conservatism of union officialdom.

In Australia, as elsewhere, capitalism in its terminal stages is ugly and brutal -- but resistance to it is proving to be beautiful indeed.


The battle is joined

The outcome of all these recent labor confrontations has been mixed. In a minority of cases, workers have emerged from battle in worse shape, objectively, than they went in -- the locked-out workers and strikers in Illinois are one instance. But in most instances -- Ontario, Boeing, France -- strikers wrested significant concessions from government or employers, even though they failed to change their basic course.

Most important, the strikers themselves -- win, lose, or draw -- testify to a new level of class consciousness and confidence in their own power. Said a train conductor returning to work in France, "Now the bosses know they'll get a fight every step of the way."

The middle caste:
headless horseman still in the saddle


The fact that upsurges in the industrialized and neocolonial world haven't resulted in decisive victories can be blamed on the middle caste.

The role of the middle caste is to dilute class conflict while pretending to represent the victims of class carnage. The Stalinist bureaucracy of the former Soviet Union gave the middle caste enormous influence. Around the world, Communist Party members and sympathizers loyal to the degenerated USSR spread regressive and chauvinist ideas through the working class like a virus. They affected even proudly anti-communist milieus like that of U.S. labor bureaucrats, whose vested interest in maintaining the status quo makes the class-collaborationist policies of Stalinism a natural fit.

For many decades, the Stalinized Soviet Union operated more or less as the middle caste's command post. Eurocommunism -- an attempt to create "communism with a human face" -- seriously challenged this function before the fall of the Soviet Union removed it entirely. (Eurocommunism was the bridge that a number of revolutionaries traveled to make the short trip from Stalinism to the reformist social democracy.) Although the middle caste has lost its long-standing operational headquarters, however, it is still very much on the scene.

In the U.S., the common feature of all movement bureaucrats is their deathless allegiance to the Democratic Party. Rallies for such issues as affirmative action and gay pride are routinely turned into Democratic Party recruiting drives, where radical speakers are pointedly uninvited, or are actively censored, because they are likely to be critical of the worse-than-useless Democrats.

A prime example of this was the April 14, 1996 March to Fight the Right put together by the National Organization for Women in San Francisco. Asian American poet and FSP and Radical Women leader Nellie Wong was prevented from speaking, as was a Chicana ACT-UP member. Responding to this insult to feminist radicals of color, FSP and RW engaged NOW in a series of written and oral discussions about not only their racist, anti-Red, undemocratic behavior, but also the fundamental policy underlying it: Women must not be allowed to escape from the Democratic Party.

Black middle-casters like Louis Farrakhan, meanwhile, are trying to channel the anger of millions of African Americans against the system into a commitment by Black men to "take personal responsibility" for the social morass dragging down them and their sisters. Some misleaders explicitly argue that Black people's interests would be served by a new segregation.

These cultural nationalists -- people who exalt cultural/racial solidarity over class solidarity -- add fuel to the establishment line that what's igniting in the U.S. is not a class war but a race war. The alternative to their poisonous politics is revolutionary integration, which points out the liberating and essential role that increasing integration has played in bringing the working class together and strengthening it in its fight against the bosses.

The section of the middle caste that we are not hearing much from these days, as an organized force, is the Stalinist Left that tried to retrench in the Committees of Correspondence, a group whose numbers, morale, and activities are on the wane. The same is true for other organizations with roots in the Communist Party and its environs. And the CP USA itself has degenerated so severely that it did not even pretend to run its own candidate in the 1996 presidential election, instead urging votes for Clinton.

Class struggle in the realm of ideas

Stalinist concepts, however -- like the possibility of revolutionary or socialist states coexisting peacefully with dominant capitalism -- still maintain a firm grip on the middle caste globally.

In South Africa, the ANC is now the ruling regime, attempting to find compromises between the goals of the revolution and the dictates of imperialism -- an impossible task. In Ireland, Sinn Fein leader Gerry Adams almost seems to relish his tightrope act, balanced between posing as Bill Clinton's respectable best buddy on the one hand and a dangerous firebrand on the other. In the Middle East, after six years of the heroic Intifada, Yasir Arafat and the Israeli ruling class concluded peace accords recognizing the Zionist state's legitimacy -- but not the Palestinian right to self-determination.

Whether in or out of power, the middle caste continues to be the arbitrator between capital and labor around the globe. It justifies its class-collaborationist maneuvering to its beleaguered constituencies by invoking pragmatism: "This is the best deal we can get."

Shoring up the middle caste is an academic fad called post-modernism. As its name implies, post-modernism is a reaction to modernism -- the perspective arising out of the 17th century European Enlightenment that just as people can come to understand and affect the natural world, they can come to understand and control the operations of society. Post-modernism rejects the idea that there are any universal social laws regulating our relationships. It rejects cause and effect on any large scale and sees the basic functioning of society as random.(12)

Subjective and idealist, post-modernism scoffs at what it calls "meta-narratives" -- coherent and comprehensive analyses of what makes the world go 'round. Marxism, of course, falls into this category, and is derided as mechanistic and deterministic.

What post-modernism boils down to in politics -- in the feminist movement, for instance -- is the belief that there is no common oppression that all women face; no common thread binding them together; and thus no organic commonality between a woman toiling as an "illegal" garment worker in a basement in New York City and a lesbian environmental activist protesting French nuclear testing in a Greenpeace boat in the Pacific. Post-modernism is a liberal, do-your-own-thing ideology perfectly tailored for bureaucrats who want to pursue the agenda of middle-class women, or Blacks, or whomever, and let everybody else go hang.

Providing ideological aid and comfort to the overseers of unstable capitalism, post-modernism offers the politics of cynicism, pragmatism, and frag- mentation.

The continuing fight for the workers states

The global overlords, however, need material help, not just moral support. At the start of the 1990s, many of them were looking East for salvation. Communism was supposed to be dead, and from its ashes would arise a beautiful capitalist phoenix, bringing prosperity to the commodity-deprived Soviet masses and fast and furious profits to visionary investors.

But, instead, it is the delusionary ambitions of the capitalists that have turned to ashes. Even though the workers states had been wrenched far off the course of socialism by usurper bureaucracies, fundamental achievements of the revolution were still in place -- including the people's expectation of basic material security and general social equality. Because of this culture, political resistance prevented or delayed many large-scale privatizations and the adoption of various legal measures needed to reassure nervous investors. This is especially true in Russia, which exists in an unmanageable twilight sphere between two wholly opposite systems.

The former workers states are now seen largely not as a tremendous opportunity for the capitalists, but a vexing problem and burden.

And the hopes that citizens of these states had for increased democracy and prosperity have turned to ashes as well. Many of them, like people in the rest of the world, had bought the lie (promoted by both Stalin and the capitalists) that Stalinism is the same thing as Leninism. They equated "socialism" with giving up individual liberties and consumer goods, and hoped that a change in the system would bring better times and better things.

Disenchantment set in early and is being expressed forcefully. Strikes are commonplace. But at present, the most dramatic development is that former Communist Party members are making great electoral strides -- a process kicked off in Poland in 1993. Communists have returned to power in Bulgaria, Hungary, and most of the 15 former Soviet republics. Albania's ex-Communists were kept from achieving the same feat only by vote fraud. And Russia's Communists, although they did not unseat Boris Yeltsin, are also making a comeback.

Most of these candidates are not promoting a socialist program. Many are unapologetic defenders of Stalin and his regime, and many have formed blocs with ultranationalists. They are clearly far from the answer to the region's agonizing crisis; the fact that they are getting votes, however, is positive in that it is a sign of massive, active discontent over capitalism's return.

The status of the Soviet bloc is no less volatile and transitional than when we analyzed it three years ago; its story is still unfolding. The counterrevolution, which advanced by taking advantage of the lack of a clear-cut battle between classes, is anything but consolidated.

In China, too, world capitalism's rush to re-exploit a lost market -- in this case, of a billion people -- is being slowed by workers' opposition to surrendering revolutionary gains.

Cuba, meanwhile, is holding out against incredible pressure and even gathering new support. Its fight to keep the socialist banner aloft, however, is hampered because its leadership, too, is under the influence of Stalinism.

However, Cuba's leaders appear to be breaking with Stalinist philosophy in some important areas; the abrupt termination of Cuba's close economic and political relationship with the USSR has provoked crisis, certainly, but seems also to have opened up new possibilities. For example, the government is beginning to allow more participation by workers in decision-making and is reversing its poor past practice in the area of lesbian/gay rights.

On the front of internationalism, Cuba has a wildly mixed record that includes some of the most principled solidarity ever extended to struggling revolutions and some awful copouts and betrayals. Undoubtedly, Cuba's economic turmoil now makes it hard to extend concrete support to revolts abroad. However, Cuba's refusal to solidarize with these uprisings, such as in Mexico, is based on the false hope that containment of revolution elsewhere will ease the trade embargo and relieve imperialist pressure to overthrow Castro. Havana still adheres to the impossible premise, derived from Stalin, that socialism can be built on one island.

In the end, however, Cuba remains the closest thing to socialism on the planet -- a beacon for workers worldwide and a rallying point for the world Left. And were Castro to issue a call for the international regroupment of scattered revolutionary forces, it would strengthen both the defense of Cuba and the prospects for global socialism.


In Russia, privatization breeds chaos and revolt

The attempt to reimpose capitalism in Russia has brought total chaos, and sometimes paralysis, to the economy, where 60 percent of the output is now engendered by the private sector.

The government owes workers $9 billion in unpaid wages, for example, a debt that grows by nearly 20 percent every month. Inflation has dropped from the 2,000 percent annually it reached four years ago, but still runs at a wicked 22 percent. Result: a general catastrophe, in which the process of privatization has ground to a halt.

The effect on the people is not just economic, but social, with women hit the hardest in all spheres. Not only are women the majority of the vast unemployed population, but they are suffering huge reverses to their rights.

Russians are not taking this lying down. A partial snapshot of just the month of December 1996 shows a nationwide strike by the Coal Workers Union involving 400,000 miners, a hunger strike and occupation of the control room of a St. Petersburg nuclear power plant by employees, and strikes or protests by more than 90,000 teachers in 27 regions.

Russian workers, like their sisters and brothers worldwide, are in open revolt to a degree not seen for many decades.


Nationalism and war: the fruits of triumphant capitalism

One of the consequences of the dismemberment of the Soviet and Yugoslav workers states was the bloody renewal of nationalist strife. Capitalism is built on division -- nationalism, competition, war, sexism, racism -- and it is anarchic. It was inevitable, therefore, that its reimposition would bring with it an antagonistic, chaotic system of relationships to replace the collectivist mores and planning that existed before. The only possible solution to the fratricidal combat occurring in places such as Chechnya and the Balkans, therefore, is resocialization.

Elsewhere, nationalism and nationalist war are usually legacies of colonialism or neocolonialism, as in countries in Africa; or a distorted response to the imperialist rampage, as with Arab fundamentalism in the Middle East; or both.

The opposite of war is supposed to be peace, but the proliferating "peace talks" and "peace accords" like those in the Middle East and Ireland have little to do with actual resolution of conflict. No longer do peace settlements happen after wars are concluded. Instead, they occur beforehand -- a sign of the uneasy stalemate between labor and capital, and of the eagerness of the middle caste to cut a deal rather than take a stand.

But there is another side to the coin; these pacts are also acknowledgments of the power of anti-imperialist struggles and expressions of how desperately the much-abused citizens of the world need peace.

The shell-shocked residents of what used to be Yugoslavia are as appalled and amazed by the sudden turning of neighbor against neighbor as by anything else that has happened to them. Today's civil wars and imperialist wars alike lend a fresh urgency to the fundamental choice facing humankind: forward to socialism or backward to barbarism. As playwright George Bernard Shaw put it, "Socialism or smash."

Crisis and opportunity for the Trotskyist movement

As we said in our last Political Resolution, the breakup of the Stalinist workers states and subsequent capitalist rapaciousness have proved more than ever the validity of the ideas of Trotskyism -- among them permanent revolution, the impossibility of socialism in one country, the necessity for leadership by the most oppressed, and the centrality of revolution in the U.S. to world revolution. The Stalinist fictions of the possibility of socialism in one country and the necessity for revolution in rigid stages have been discredited more thoroughly than ever before.

Now is a time of great opportunity for Trotskyists and the building of Trotskyist parties. Many Trotskyists recognize this and are at the center of much of the vitality in the labor and social movements.

Yet, in documents leading up to the 14th World Congress of the Fourth International (FI) in June 1995, the majority of this body's leaders showed that they had become pessimistic about the prospects for revolution and about their own front-line role. The essence of their message was that Trotskyism had lost its relevance. Where did all this liquidationism come from?

First off, it came from a difficulty in seeing phenomena dialectically, getting under the surface of things. These longtime leaders were demoralized by current events -- but the weighty French strikes were just a few months ahead. In the past, this sort of disorientation has led the International into opportunism, a search for short cuts and quick fixes at the expense of principles.

For example, the FI refused to confront the radical-laborite Socialist Workers Party, for many decades the biggest (and richest) of its sections, when the SWP dropped central Trotskyist ideas from its program and undemocratically expelled dissenting members. The International has also given uncritical support to radical or nationalist movements at the expense of revolutionary principles and revolutionary lives. It handed over information about Latin American Trotskyists to the Sandinista government in Nicaragua, which proceeded to arrest, torture, and expel these socialists. And it cheered Khomeini in Iran, even while he was mercilessly persecuting leftists and drastically proscribing the rights of women.

The FI's insensibility to the importance of feminism has caused it critical damage. Its posture is changing, however, due to the efforts of women within its ranks. The International now embraces feminism in its program and it has a women's caucus, which was previously verboten. These welcome, long overdue developments give feminists a much augmented opportunity to bring to the FI characteristics that will be crucial to its rejuvenation: the understanding of the role of the most oppressed to class struggle; and sheer, unstoppable perseverance.

Labor and all the downtrodden are on the move, but they are crying out for uncorrupted, visionary leadership. The bottom line is that world revolution needs Trotskyism -- and, specifically, Trotskyist parties -- to succeed. The FSP, therefore, should redouble our efforts to become part of the Fourth International in order to help the FI live up to its unique destiny.

Feminism: global antidote

Just as the women of the world are the hope of the Fourth International, they are the hope of the working class; it is feminism that will ultimately unite and revolutionize the class. Women -- and especially women of color -- have in abundance the requisite willingness to take on both the middle caste and the bosses, because their need for radical change is so burning that nothing else will do. Black lesbians and feminists, for example, are continually challenging the anti-gay, anti-female, anti-Semitic, etc. politics of the cultural nationalists.

Women are masters of the art of identifying allies and building bridges. In fact, scientists are beginning to recognize that this is a gift they bring to the species. They are finding that cooperation, not competition, is the driving force behind much of human evolution, and that it is women, in their social roles as mothers and caregivers, who are responsible for hard-wiring this trait into our fabric.(13)

Women have long been the glue that holds almost every progressive movement and left organization together. In the past, they were usually pushed into the background. Now, however, that is much less true. Women stepped into the foreground in a big way with the 1995 Beijing women's conferences, governmental and non-governmental, which shone a bright light on women's issues, capabilities, and interrelationships.

The thrilling internationalism that was on display in Beijing is a growing fact of life in heavily industrialized countries like the U.S., where female immigrants are not only reinvigorating the labor movement, but redefining and broadening what feminism is all about as well.

Meanwhile, women's objective position in society is what impels them to become radical leaders. Of the globe's 1.3 billion people living in poverty -- a horrific statistic in and of itself -- 70 per-cent are women. In Japan, women earn less than half of what men are paid, and make up merely six percent of the parliament and two percent of the Cabinet. Around the world, women make up only 10 percent of legislative representatives and six percent of Cabinet members.(14)

These are the conditions that create radical leaders.

Role of the FSP:
the iron is hot, and it's time to strike


World labor is in ferment, and the FSP, unlike most left groups, can say we saw it coming. For this, we credit our Marxist feminism and integrationism.

But do we want to be the sole proprietor of this marvelous socialist program forever? Of course not! We want these concepts to become household words. Revolutionary ideas that work are the crucial tools that humanity needs to pull itself out of the capitalist quagmire -- hence, we must share our ideological wealth. This is not elitism, of which vanguard parties are so often, and so stridently, accused. It is a privilege for us to undertake this, it's true; but it is also a deep and inescapable responsibility.

The FSP's top priority, therefore, is to get out our distinctive and essential positions on everything from the leadership of the most oppressed to the continuing nature of the revolution in China. How do we do this?

Publish, publish, publish! We need to bring out more books and documents through Red Letter Press, step up the circulation of all our publications, and take advantage of the Internet and the World Wide Web.

Publications are not the only means for us to broadcast our program, of course. We should also pursue the following:
  • Push for revolutionary regroupment; find a road into the Fourth International by reaching out all across the globe to Marxists, especially women, who share our belief in the potential of the Fourth International to be a serious, democratic, coordinating body for world revolution, and who want to redirect it to that purpose.

  • Run candidates independently, or by working in the Labor Party, or in coalition with other radicals. Every FSP branch should take advantage of the singular agitational and educational opportunities that the electoral arena presents.


Another set of tasks is dictated for the party by rightwing reaction and counterrevolution. These include:
  • Build united fronts to defend the workers who are first to bear the brunt of austerity and scapegoating.

  • Defend the current and former workers states against capitalist assault and encroachment. Help Radical Women mount a super-successful feminist brigade to Cuba.

  • Win the Sandy Nelson case and defend the rights of all workers to free speech. Expose the corporate media, with its deceitful ideology of "objectivity," as a dangerous threat to all democratic rights.


To tackle all of these activities means that we must grow; we must build on recent successes in attracting new members and stepping up our fundraising. It takes people and it takes money to make our politics come alive in the world. Fortunately, these ambitious projects are themselves open doors through which we can recruit from a working class becoming more savvy and combative every day.

What the FSP has to offer this forward-moving class is Trotskyist feminism. This is what gives us our vibrancy, our ability to stick it out through thick and thin, our high morale, and our confidence in the capacity of the world proletariat to make revolution.

Our optimism is the result of 30 years of putting our program into practice in hard-fought struggles in every movement. Based on theory, history, and direct experience, we know with certainty that workers can surmount the divisions of gender, race, sexuality, age, and nationality to unite as a class -- and that when they do, they are unstoppable. ¡Venceremos!




Notes to the text

1. Leon Trotsky, "The Death Agony of Capitalism and the Tasks of the Fourth International," The Transitional Program for Socialist Revolution, Pathfinder Press.

2. Guerry Hoddersen and Clara Fraser, "Towards the '90s: Approaching the Final Conflict," Freedom Socialist, Vol. 11 No. 3 (June-Aug. 1989); Murry Weiss, Sam Deaderick, and Clara Fraser, "The Precarious '80s: Crisis and Opportunity," Freedom Socialist, Vol. 8 No. 1 (Fall 1982).

3. David Kameras, "Jobless Rate Steady at 6.1 Percent," "Inflation Rate Rises Slightly in August," AFL-CIO News, Sept. 19, 1994.

4. From an address by Marcos in Canadian Dimension, July-August 1996.

5. MF, "Industrial Countries: Using the Recovery Wisely," World Economic Outlook, Oct. 1994.

6. David E. Sanger, "The Corrosion at the Core of Pax Pacifica," New York Times, May 14, 1995.

7. From an interview with Ernest Mandel in International Viewpoint, May 15, 1995.

8. MF, "Why Are Some Developing Countries Failing to Catch Up?," World Economic Outlook, May 1994.

9. Keith Bradsher, "Widest Gap in Incomes? Research Points to U.S.," New York Times, Oct. 27, 1995.

10. Ethan B. Kapstein, "Workers and the World Economy," Foreign Affairs, May/June 1996.

11. Mia Butzbaugh, "How Daily 'General Assemblies' Kept Rank and File in Control of French Strikes," Labor Notes, Feb. 1996.

12. Lisa Macdonald, "The Politics of Post-modernism," Green Left (Australia), April 20, 1994.

13. Natalie Angier, "Illuminating How Bodies Are Built for Sociability," New York Times, April 30, 1996.

14. Doug Mellgren, "Most Women Overworked, Underpaid," Seattle Times, Aug. 17, 1995.



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