From: Charles Brown


DISCUSSION DOCUMENT


Report to the National Board and Labor Commission, July 2000


New Setting of the Class Struggle and Industrial Concentration


excerpt:" In the first place we are dealing with the largest working class in our
history. Not counting farm labor, figures that I was not able to come up with, there
are roughly 130 million workers in the U.S. economy today. If you add in the
unemployed, who are very much part of the working class, then the figure is probably
closer to 135 million. For comparison, in 1948 there were a little more than 21
million and in 1970 there were about 71 million workers."


Scott Marshall, Vice Chair, CPUSA

I want to start by saying something about the nature of this report. Many of the
reports and discussions we have been having in the recent period in the board and
the labor commission have been very much like the kind of discussion we would have
in a pre-convention discussion period. It makes sense. We are facing many new and
changing features of the class struggle. We are making a transition to new
leadership. And we're due for a convention next year.

This report will be along the same lines. I hope it will provoke discussion and
collective thinking from U.S. all. And I sincerely hope that everyone won't agree
with everything in it though that's rarely a problem with this board, or with this
labor commission. Hopefully this report will build on the important and thought
provoking reports given at recent meetings challenging U.S. to adopt broader
concepts of the class struggle, of coalitions and social movements, of the role of
our party and of building the party.

As much as possible I have tried to base my ideas and tentative conclusions on facts
and research. Not being a scholar or researcher, I quickly found that Mark Twain was
much given to understatement. Figures can not only lie, they can walk you down the
garden path and dump you into the Mad Hatters tea party. They can ambush you and
leave you wondering if you understand simple math anymore. As much as possible I
have tried to stick to very simple and basic facts and figures. But one conclusion
for me is ironclad. We need to do a lot more work and study on the changes taking
place in the working class and in the world economic scene. One report can only hope
to open the subject for discussion.

Bear with me because it will be awhile before I get into any discussion of our
policy of industrial concentration. That is because I think that, as we have always
done, we have to place concentration in a broader political and economic framework.
Concentration is not a stagnant, one size fits for all time policy. Our policy has
to fit the times and the changes taking place in the class struggle and in the
working class.

Now for some framework.

In the first place we are dealing with the largest working class in our history. Not
counting farm labor, figures that I was not able to come up with, there are roughly
130 million workers in the U.S. economy today. If you add in the unemployed, who are
very much part of the working class, then the figure is probably closer to 135
million. For comparison, in 1948 there were a little more than 21 million and in
1970 there were about 71 million workers.

These figures roughly correspond to the increases in the population as a whole for
our country, though the working class is also larger as a percent of the population.
While there are more millionaires and billionaires than ever before in the U.S., it
is also clear that more wealth is held in fewer hands than every before. And it is
certainly true that as Marx and Engels noted, middle strata including some
professions are being forced down into the working class hence doctors organizing
into unions for example.

Mass production or goods producing workers in absolute numbers have shown small
increases from 1948 until today. According to labor department figures in 1948 there
were about 18.7 million goods producing workers, in 1970 about 23.6 million and
today there are about 25.2 million.

Workers in goods production, or what we call mass production workers increased by
about six million from 1948 till today. However service workers increased by roughly
78 million in the same time frame.

What a change. The rapid and explosive growth of the service sector has long been
noted, but when you study the actual figures they are startling and dramatic.
However, I think some wrong conclusions have been drawn by some on the left. Without
getting into an overly technical discussion of surplus value it is clear that with
technology and productivity gains and speed-up, mass production workers are
supporting a gigantic increase in services and support industries. In this regard it
should be noted that the BLS says that the largest growth in the service sector in
the last twenty years has been in what they call 'services to business. ' Right now,
the fastest growing sector of service to businesses is temporary workers. Some
economist call these workers 'just in time workers' to complement 'just in time'
production methods.

Let me quote from a Department of Labor Report on the American Workforce which
includes an important study of the auto industry.

"Manufacturing employment has been a declining percent of total non-farm jobs
throughout most of the post World War II period. However, this belies the continuing
importance of manufacturing activity to the economy's health. In particular, a host
of manufacturing and service-producing industries rely on economic activity in motor
vehicle manufacturing and sales."

It is amazing that, in the face of downsizing, plant closings, multinational
globalization, capital flight and new technology that the absolute numbers of mass
production workers has actually grown. This reflects, I think, the new mass
production industries in computer and electronics and communications to a degree. At
the same time though, there are definitely fewer steel workers, though those that
remain produce nearly as much tonnage today as they did 20 years ago before the
massive restructuring layoffs of the early 1980s.

But lets continue with the auto industry as an example. According to the BLS there
are about the same number of autoworkers today as there was in 1979 in the US. In
1997 there were 947 plants devoted to automobile assembly located in 20 states. Two
thirds of these are located in Michigan, Ohio, Missouri, and Illinois. General
motors is now building three new plants in Michigan and Ohio I believe. In 1998 the
U.S. produced 12 million passenger and commercial vehicles or about one fifth of
world wide production. This despite the fact that the big three are now global
operations with large production concentrations in Canada, Mexico, Germany, England,
Spain and Brazil. This production also reflects that major European and Asian car
companies have plants in the U.S.

We should do industry by industry studies. But my point with these facts is that
mass production workers are still key to the economy. They are still at the heart of
creating surplus value and wealth. They are still at the heart of the global economy
and the domestic economy. I don't think anyone in the party seriously challenges
this notion, but I do think we need to refresh our thinking from time to time as to
the role of basic workers in the economy. We are beset day in and day out with "new"
theories of post industrial society and "third ways" that hinge on the notion that
large sectors of the working class have disappeared from the scene replaced by
robots and computers and information.

At the same time we cannot ignore that over a hundred million workers are in what we
can loosely call the service and public sectors. We also cannot ignore the dramatic
increase in contingent and part time workers. Manpower is the largest employer in
the U.S. 23 percent of the contingent work force are in what the BLS describes as
'blue collar' factory jobs.

We must consider the changing skills of workers in production industries. Now
computer operators have much to do with building cars, pouring steel, running lathes
and even building homes.

Just an aside on computerization and automation. A couple of weeks ago, I had a very
interesting discussion with the president of a Steelworkers Local. He was describing
for me the kind of automation they have in his foundry. Yes in a foundry. It's
amazing and not just in the hot end, but in the actual building, setting, pouring
and breaking of the molds. It's still hot and dirty work, but not nearly as
backbreaking.

Some skills have migrated off the shop floor and into offices, while new skills have
been born on the shop floor. And a related important factor is the higher general
education and cultural level of mass production workers in our society.

Another thing to remember is that historically in an economic downturn, service jobs
are often hit hardest fastest. In fact the layoffs now taking place in the so-called
dot com industries may well be a sign of the slowing economy today.

Another part of the framework is the labor movement.

In the same time period 1948 to today, union membership dropped from 35 percent of
the working class to 13.9 percent in 1998. We should note that 1998 was the first
year that the bleeding stopped and there was a net gain in union membership. But the
AFL-CIO estimates that we will have to increase membership by 6 million workers in
order to reach the 1984 level of 18.8 percent, and increase membership by 30 million
to reach the 1945 level of 35 percent. From 1984 to 1998 union membership only grew
in one sector government. The areas of greatest membership loss for that same period
were in manufacturing, transportation and utilities both public and private.
Membership actually increased percentage wise in the public sector from 1973 till
today, but declined overall and in the private sector.

Despite where the greatest membership gains and losses have been in the last 20
years it is interesting to note that the highest percentage concentrations of union
membership are in government, education, utilities, transportation, construction and
manufacturing in that order. All of these sectors are above the 13.9 percent
average. Of course historically the industrial unions had much higher union density
in the basic industries than the overall average.

The labor movement picture only looks bleak if we consider these facts in isolation
from the great progressive transformations taking place in the labor movement. From
the victory last year in the long running battle to organize Cannon Mills in North
Carolina, to the incredible mass organizing victories in the Los Angeles area to the
dramatic and far reaching change in the AFL-CIO's position on immigrant workers the
trend is definitely going our way. (By the way Cuba and Vietnam) Labor, even taking
into account the setback around the China campaign, is redefining itself as a social
movement of the whole of the working class multi-national and multi-racial, male and
female, young and old.

Labor is consciously building coalitions with other progressive forces including the
left and with it's key allies in the African American, Latino and other nationally
and racially oppressed communities, and among women and youth. Labor is more
politically independent now than at anytime since the CIO years. It is more inclined
to international solidarity and peace.

To be sure there is unevenness, but the general trend is great. I want to make a
point here about the role of the industrial unions in all of these developments.
Here I expect disagreement, but let's discuss it out. At least to me Seattle showed
the key role of the unions in basic industry in the changes taking place in labor.
The steelworkers were the anchor for labor's participation and coalition efforts in
Seattle. Besides being one of the largest contingents, they were the most organized
and most conscious element in the mix of those demonstrations, bar none. They were
the stabilizing element when some in labor, including in the top levels of the
AFL-CIO were wavering.

We should also consider the power of the Ravenswood strike, the UPS strike, the
Flint GM parts strike, and the Bridgestone/Firestone strike. Each of these in their
own way have been defining moments in the new direction of labor. They had impact
far beyond their own members on the whole of labor. This is not in anyway to
belittle the many other important strikes and struggles of the working class.

At the same time we have to recognize the incredible role played by other unions.
John Sweeney didn't come out of the basic industrial unions, though most of them
supported his bid for change. Justice for Janitors is a good example of a militant,
creative organizing strategy that changed the labor movement. Some of the most
thought-out strategies for organizing are coming out of the public sector and
service industry unions.

It would also be a mistake to examine the labor movement in isolation from the
broader anti-monopoly, anti-corporate working class upsurge we are witnessing today.
Unlike anytime in my lifetime, labor is willing to lock arms with a broad array of
social movements. More importantly the new labor movement genuinely seems to
appreciate the progressive contributions of many diverse social movements that it
once ignored or even found itself at logger heads with like the environmental
movement.

One important point on the labor movement. Even taking into consideration the
decline in membership, unions remain the largest and most representative mass
organizations of the working class. They have members in every state, in every city
and in most towns in America. Even given the lingering influences of racism and male
supremacy, unions are the most diverse and representative mass organizations of the
multi-national, multi-racial, male, female, young and old, skilled and unskilled
working class that exist. And even given the limitations and the need for
affirmative action, outside of the Communist Party, the unions are the most advanced
organizations with real Black Brown and white, male/female leadership. Outside of
the Communist Party, the labor movement is the most advanced in consciously fighting
for maximum Black, Brown and white, male/female working class unity.

Another part of the framework class composition.

In January 1993, African Americans made up 10.2 percent of American workers on the
job. By April of this year, when Black unemployment hit its record low, African
Americans were 11.4 percent of America's workers on the job. Latinos were at 5.8
percent of those working.

The U.S. Department of Labor reported that the nation's unemployment rate increased
slightly this spring, from 3.9 percent in April, to 4.1 percent in May - with
African-American and Latino workers absorbing nearly all of the job loss.

Last hired, first fired is still the face of discrimination and racism in the job
market. Characteristically figures are harder to come by on composition of workers
in particular industries. (At least for me the untrained researcher) In 1998 in auto
18 percent of the work force was Black and Latino as compared with 16 percent in the
rest of manufacturing. This indicates higher than average numbers of racially and
nationally oppressed workers. In part this is due to the historic fight in labor and
civil rights for more equality in the basic mass production industries. Auto has the
highest average wages in mass production industries. These jobs remain a cornerstone
for a decent standard of living for large sections of nationally and racially
oppressed and women workers. (Incidentally, there is plenty of evidence that higher
production wages in the mass production industries still act as upward pressure for
all workers on wages and working conditions.)

According to BLS figures women account for a third of manufacturing jobs but only a
quarter of jobs in auto production. Yet women make up just under a half of the total
work force.

Statistics aside we can be very sure that Black, Latino and women workers remain
concentrated in low paying jobs with the worst working conditions.

Yet as best I can tell from the statistics, African American, Latino and other
oppressed workers are growing as a percentage of workers in the mass production
industries. This is related to the long economic expansion of the late 1990s till
today. And this is despite the fact that we know that in many industries, steel for
example, old discriminatory hiring and promotion policies are re-emerging, eroding
the historic gains of the great civil rights battles of the 1960s and '70s.

Now to industrial concentration policy.

With all of these changes taking place in the working class and in work itself, what
does it all mean for our industrial or mass production concentration policy for
today?

Just a few things on the history and development of our policy. Industrial
concentration was not, and is not, an invention of our party. It flows directly from
Marx, Engels and Lenin and the experiences of the world revolutionary movement. It
is a policy based on understanding the class struggle and the role of workers and
unions most directly in conflict with capital where surplus value is made and where
exploitation is at its most intense. It has never been a narrow or elitist policy
that separates out industrial workers from the rest of the working class. Indeed,
real industrial concentration sees mass production workers as key to uniting and
moving the working class as a whole into struggle.

I say that because I think it's important from the beginning to say that there is no
contradiction in trying to figure out a sensible and updated concentration policy
for today's conditions and in also fighting for a broader view of the working class
and the class struggle. There is no contradiction in trying to develop concentration
and expanding our work in coalitions with the broader social movements. Marx and
Lenin never took a narrow view of the working class or the class struggle.

Just very briefly on the history of concentration in our party. We would have to
conclude I think that we most successfully pursued concentration in the 1930s and
early '40s. This corresponds to our party's greatest membership growth and size. It
also corresponds to one of the greatest working class upsurges in our history in
fighting the Great Depression, organizing the basic mass production industries in
the CIO and the fight against Hitler world fascism.

At it's height we had not only shop clubs, but even section organizations in some of
the key factories in steel, auto and electrical and other mass production
industries. We were in left center coalitions in leadership of several key unions
and in many local and district levels of the labor movement. And I think it is
important that we not just see this as only a period of great shop floor influence,
or influence in the labor movement. This was a period of our greatest political and
social influence on the working class and movements of the day. Our shop floor
organizations were a bedrock of our party in a period when we came the closest to
being a mass party of the working class and people.

Out of these shop clubs and efforts at industrial concentration came many of our
finest party leaders like Gus Hall and Henry Winston and George Meyers. This is the
whole generation of leaders that we are beginning to lose today that saw our party
through the turbulent attacks of the ruling class to destroy U.S. and through the
rebuilding of our party in the '60s an '70s. And many of these comrades were the
bedrock of saving our party in the early 1990s.

In every district we know more details of how the party shop clubs in industry
produced leaders for our party and the incredible influence they had on orienting
our party in a mass way on the working class. This is true not only in the
industrial Midwest districts, but from California to New York. I remember long
discussions with George Meyers and my father in law, Bill Wood about the role of the
shop clubs at Sparrows Point and it's influence on the Maryland Party organization
and the devastation of the dissolution of the Sparrows Point clubs and the attacks
of the government.

And I've had many discussion in Chicago where at one time we had a vast system of
shop clubs and the broadest possible mass influence. Earl Browder and Browderism
took it's first step in liquidating the party by liquidating the shop club system in
the party. To be fair the attack was coming from the ruling class, but Browder made
it that much easier for them by disbanding the shop clubs first. I know in Illinois
that we lost hundreds of comrades in that one move by the party. We lost leaders who
did not agree with abandoning concentration policy and we lost members who could not
or would not be integrated into other forms of party organization. With Browderism
we simply turned our backs on thousands of working class comrades at the core of our
party.

And this brings me to one of my most important points about the history of
industrial concentration in our party since I've been a member. In 1970 we held a
conference in Chicago on industrial concentration. And we held similar meetings
again in 1983 and in 1991 roughly every ten years. Looking back, what was most
important about these meetings was not particularly the discussions we had on shop
clubs, on plant gate distributions, on shop papers, or any other of the techniques
and methods of industrial concentration. (Before some start yelling I think all
those discussions were and are important.) No really what was so important about
those meetings was the effect they had of orienting the party on the working class.

True we had more shop clubs in the '70s and '80s and they were important. And we
will have shop clubs again. But our policy of concentration helped our party focus
on the working class far beyond the shop floor. Joelle reminded me in a note on this
meeting that out of those discussions came our concept that industrial concentration
also means focusing on workers where they live and in their communities that
industrial concentration meant also working class concentration on neighborhoods and
especially in the neighborhoods of African American, Latino and other oppressed
workers.

Those conferences were milestones in orienting our party on a firm working class
line that serves U.S. well even today. Think of the new party leaders that came out
of those concentration experiences and that orientation. Many in the room today
George and Denise, Bobbie and Paul, Wally and Bruce, Armando and Lasker, Artie,
Steve Valencia and Lorenzo, to make the cardinal mistake of using names and
therefore leaving some out, there are many more. But these are examples of leading
comrades who came out of the shops and were oriented on the working class by our
discussions and policy of industrial concentration.

All during the period of the rank and file upsurge of the '70s and '80s our
industrial concentration policy oriented U.S. on the labor movement and the working
class. It's important that we had shop papers and plant gate distributions, but it
was of critical and fundamental importance that we foresaw and responded to the
Fresh Winds in labor; that we understood the significance of the changes in the
AFL-CIO. That we understand the significance of Seattle and LA for the class
struggle. I would argue that the whole experience of concentration prepared U.S. for
the new alliances and a broader view of the class struggle. By and large, in my
experience, narrow views of the working class and of the broader social movements
don' t come from comrades in industry.

One last point on our history of concentration and to segue into concentration for
today. Sam Webb gave the report to our 1991 discussion on Industrial Concentration.
Remember 1991 and what we were going through. But in his report he said our policy
of concentration stands on five solid pillars.

Anyway I think the five pillars are still sound and should serve U.S. still for
discussion of concentration. I'll just quote the lead sentences though Sam developed
each of these concepts extensively in his report.

1) The overarching feature of capitalist society is the class struggle. 2) The
working class is the only really revolutionary class in society. (My editorial
comment this is not in any narrow or exclusionary sense.) As Sam continues, not
because we say it or write it, but it follows from the position which the working
class occupies in the system of (capitalist) social production. 3) Class unity is
the bedrock of class and social advancement. 4) Not all sectors of the working class
occupy an identical position in the system of exploitation nor do all have the same
experience in the class struggle nor are all equally capable of stimulating broad
working class and people's unity for immediate and more advanced objectives. (Though
here again my editorial comment I would not put this pillar in the negative I would
say rather that the mass production workers and their unions are in a special place
in society to build unity and influence and lead the broad mass currents of the
working class and the peoples movements. And 5) The achievement of the historic aims
of the working class is organically bound up with the building of a bigger Party
among the working class and it's key sectors.

A sensible mass production concentration policy for today.

I don't think the question before the house is to concentrate or not to concentrate.
I think by and large we are united on the pillars above and feel the necessity and
urgency of developing a concentration policy for today.

But in all honesty we're not prepared to layout a plan for concentration. In fact as
I've said earlier, I think we need to see this as only the first in a series of
discussions aimed at arriving at a new policy for today. Quite frankly I don't think
the most important discussions are about shop papers, shop clubs or even shop gate
distributions. I think more important than discussion of methods and plans right now
is asking and answering some questions about what kind of policy fits today's
situation.

Here are some of what I think are key questions we need to discuss.

1) Do we know enough about what is going on with mass production workers today? What
are they talking about? What are their problems and concerns? Do they feel
threatened by globalization? What do they want and what do they see as the
solutions? What are their broader concerns? At one point we decided to have informal
discussions with our shop workers about these questions and about what they think
about recruiting. I want to amend that today and propose that the labor commission
undertake responsibility to schedule a series of informal discussions in every
district with shop workers, party and non-party to sound people out. I think we will
be surprised and pleased at the results. We need to ask non-party shop workers too
how they see the party and our role.

2) How does working class neighborhood concentration fit in today? What are the
roles of mass production workers in the broader mass movements and social movements?
How will a new policy of industrial concentration help orient U.S. on the working
class in neighborhoods and communities? 3) What are the key questions of building
Black, Brown and white unity, male-female unity for mass production workers today?
Want is the state of affirmative action and civil rights in the mass production
unions and facing workers in industry today?

4) Our concentration policy originated in a time when masses of industrial workers
were located in huge what Lenin called factory fortresses. Today mass production
workers are located, for the most part, in much smaller shops. What does that mean
for a policy today?

When you boil it all down I think we have to ask these questions because I think we
have to get at a program for concentration before we can have a new policy of
concentration. What do I mean by that.

Our policy of concentration has to be built on a direction and program for the
working class. We are not just in the mix to be there. I certainly won't argue that
we are sufficiently in the mix of mass production workers. That is in part what's
behind the proposal for this series of informal discussions. But I will argue that
we have a specific role to play in the mix and that that role must be based on where
we want to see mass production workers and the working class in one year, in five
years and in ten years.

We can't substitute ourselves for the movements and we can't make things happen by
sheer will power. But we do have to bring something to the table besides our hard
work for the goals that labor has adopted. Historically our party and the broader
left has always worked from a program of action and initiative aimed at
strengthening the class, uniting the class and building the biggest possible mass
movements for the interests of the class I need only mention a few industrial
unionism, social security and unemployment compensation, defeating fascism, fair
employment practices and civil rights committees. Of course we didn't do these
things on our own, but we did play an initiating and leading role in fighting for
them. We knew where we wanted to go with them.

Let me put it another way. When George Meyers led U.S. in drafting the Fresh Winds
program it was a guide to concentration. Our shop workers, our trade union comrades,
indeed the whole party could see and relate to what we saw as the direction and
program for workers. We need that updated for today as a guide to developing a
concentration policy. When we have shop clubs in steel, what will they be fighting
for? Shorter hours? Nationalizing steel? Affirmative action in hiring and skills?
Will we be the ones who are seen as the best fighters for a strategy to organize the
mini-mills and what's left of basic steel?

When we have shop clubs in auto what will the Communists be known for? That they led
a left center coalition fight to organize and reorganize the auto parts and supply
industries into the UAW? Will the party be identified with initiatives to help
organize temporary worker into the union with full benefits and wages?

Will we be seen by basic mass production workers in the mix, as the best proponents
of the labor movements goal of organizing the unorganized? And too, will we be seen
as left initiators and innovators in helping to develop a strategy for organizing
that unites all of the working class and the social movements in a crusade to
organize the unorganized as the backbone for progress on all of the needs and
concerns of our people?

Will the reds in mass production industries perform their historic mission of
raising the basic flaws of the capitalist system and beginning the discussion of the
need to replace it with a working class system of Bill of Rights Socialism, USA?

This leads to my second proposal. We need to draft a new party program for labor
that builds on the Fresh Winds program. I propose that the labor commission
undertake to prepare a draft for discussion by the end of the year so it can be used
as part of pre-convention discussion. Let me be clear I'm not proposing a stages
approach to a new concentration policy first program then policy. Developing our
thinking on the key programmatic demands and needs of basic workers is essential in
putting together a new concentration policy for today.

We also have to answer the questions raised in the first part of this report as part
of developing a new policy. How will the working class deal with capitalist
globalization? How will we have a concentration policy that not only fits workers in
manufacturing, but helps to bring around this key sector of the class the vast
explosive numbers of workers in the service and public sectors




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