UP AGAINST THE OPEN SHOP -
The Hidden Story of Silicon Valley's High-Tech Workers
By David Bacon
New Labor Forum -- winter 2011
truthout, 3/4/11
http://www.truth-out.org/up-against-open-shop-hidden-story-silicon-valleys-high-tech-workers68167


Introduction

        On January 29, 1993 workers at the 
Versatronex plant in Sunny¬vale, California, 
filed out of its doors for the last time. 
Seventeen years have passed since, but there are 
still electronics workers in Sili¬con Valley who 
remember the company's name.   It was the first 
valley plant struck by production employees, and 
the first where a strike won recognition of their 
union. 
        The struggle of these workers, almost all 
immigrants from Mexico, Central America and the 
Philippines, demolished some of the most 
cherished myths about the Silicon Valley 
workforce.  It showed workers there are like 
workers everywhere.  Under the right 
circumstances, even in the citadel of high tech's 
open shop, people are willing to organize for a 
better life.  "We said at the beginning that if 
the company was going to close, let them close," 
said Sandra Gomez, a leader of the Ver¬satronex 
strike.  "But as long as the plant was open, we 
were going to fight for our rights."
        Unions have called the electronics 
industry "unorganizable."  Corpora¬tions like 
IBM, Hewlett-Packard, Intel and National 
Semiconductor told their workers for years that 
the company regarded them as a family, and that 
they needed no union.  Healthy bottom lines, they 
said, would guarantee rising living standards and 
secure jobs.  Economists painted a picture of the 
electronics industry as a massive industrial 
engine fueling economic growth, benefiting 
workers and communities alike.
        The promises were worthless.  Today many 
those giants of the industry own no factories at 
all, having sold them to contract manufacturers 
who build computers and make chips in locations 
from China to Hungary.  In the factories that 
remain in the valley, labor contractors like 
Manpower have become the formal employers, 
relieving the big brands of any responsibility 
for the workers who make the products bearing 
their labels.
        While living standards rise for a 
privileged elite at the top of the workforce, 
they've dropped for thousands of workers on the 
production line.  Tens of thousands of workers 
have been dropped off the lines entirely, as 
production was moved out of the valley to other 
states and countries.  Companies long ago 
eliminated their no-layoff pledge.  Permanent 
jobs became temporary, and then disappeared 
entirely.  The image of the clean industry was 
undermined by toxic contamination of the valley's 
water supply, and a high occurrence of chemically 
induced industrial illness.
        Despite these obstacles, however, for 
three decades Silicon Valley was as much a 
cauldron of new strategies for labor organizing 
as it was for corporate management of the 
workforce.  Workers developed important tactics 
to oppose inhuman conditions.  Some unions, like 
the janitors, wielded those tactics with 
remarkable success.  For production workers in 
the plants themselves, however, the road was 
harder, and often seemed to accept the industry's 
mythology that they either couldn't or wouldn't 
organize.


The Development of the High Tech Workforce

        One of the oldest myths about Silicon 
Valley is that its high tech innovations were the 
brainchildren of a few, brilliant white men, who 
started giant corporations in their garages.  In 
fact, the basic inventions that form the 
foundation of the electronics industry, 
especially the solid-state transistor, were 
developed at Bell Laboratories, American 
Telephone and Telegraph, Fairchild Camera and 
Instrument, and General Electric.  These 
innovations were products of the Cold War - of 
the race in arms and space that began after World 
War Two.  Long before the appearance of the 
per¬sonal computer, high tech industry grew fat 
on defense contracts and rising military budgets. 
Its Cold War roots affected every aspect of the 
industry, from its attitude towards unions to the 
structure of its plants and workforce. 
        As the electronics indus¬try began to 
grow in the 1950's, a fratricidal struggle within 
the U.S. labor move¬ment led to the expulsion of 
many unions and union members for their leftwing 
politics.  One byproduct of that struggle was the 
near-destruction of the union founded to organize 
workers in the electrical industry - the United 
Electrical, Radio and Machine Workers of America 
(UE).  General Elec¬tric Corp. in particular 
helped ensure the fragmentation of the electrical 
industry workforce among 13 different unions, 
with a great proportion outside any union at all. 
As a result, while the new high-tech industry was 
growing, the ability of electrical and 
electronics workers to organize unions in the 
expanding plants fell to its lowest point since 
the early 1930s. 
        From the beginning, high tech workers had 
to face an industry-wide anti-union policy. 
Robert Noyce, who participated in the invention 
of the transis¬tor and later became a co-founder 
of Intel Corp., declared that "remaining 
non-union is an essential for survival for most 
of our companies.  If we had the work rules that 
unionized companies have, we'd all go out of 
business.  This is a very high priority for 
management here.  We have to retain flexibility 
in operating our companies.  The great hope for 
our nation is to avoid those deep, deep divisions 
be¬tween workers and management which can 
paralyze action." 
        The expanding electronics plants were 
laboratories for developing personnel-man¬agement 
techniques for maintaining "a union-free 
environment."  Some of those techniques pioneered 
in Silicon Valley, like the team-concept method 
for controlling workers on the plant floor, were 
later used to weaken unions in other industries, 
from auto manufacturing to steelmaking. 
        Another co-inventor of the transistor, 
William Shockley, won renown as a partisan of 
theories of the racial inferiority of 
African-Americans.  As Shockley, Noyce and others 
guided the development of the industry in Silicon 
Valley, they in¬stituted policies that 
effectively segregated its workforce.  In 
electron¬ics plants women were the overwhelm¬ing 
majority, while the engineering and management 
staff consisted overwhelmingly of men. 
Immigrants from Asian and Latin American 
countries were drawn to the valley's production 
lines. Engineering and management jobs went to 
white employees. 
        By the mid-1990s Asian workers made up 
30% of the skilled production workforce, 47% of 
the semiskilled workforce, and 41% of the 
unskilled workforce.  Latinos consti¬tuted 18% of 
skilled workers, 21% of semiskilled workers, and 
36% of unskilled workers.  Both groups together 
were only 17% of management employees, and 25% of 
professional and engineering employees.  The same 
picture held true for women.  While 23% of 
management employees were women, and 29% of 
professionals, women were 80% of clerical 
employees, 40% of skilled workers, 60% of 
semiskilled workers, and 50% of unskilled 
workers.  The picture painted by these statistics 
is still largely accurate today.
        African-American workers were frozen out 
almost entirely.  Although unemployment in the 
African-American communities of Oakland and East 
Palo Alto, within easy commuting distance of the 
plants, has remained at depression levels, 
African-Americans are not above 7.5% of the 
workforce in any category, and below 3% in 
management and engineering.
        Karen Hossfeld, a sociologist at San 
Francisco State University who has writ¬ten 
extensively on the status of women in high tech 
industry, explains the segrega¬tion as a 
conscious decision on the part of manufacturers. 
"Employers assume for¬eign-born women will be 
unlikely to agitate for pay hikes," she says.


The First Effort - Organizing Semiconductor Workers

        The historic base for organizing activity 
among high tech workers for many years was the 
workforce in the semiconductor plants.  Starting 
in the early 1970s, workers began to form 
organizing committees affiliated to the UE in 
plants belonging to National Semiconductor, 
Siltec, Fairchild, Siliconix, Semimetals, and 
others.  Most of these were semiconductor 
manufacturing plants, or factories that supplied 
raw materials to those plants.
        Amy Newell helped start a rank-and-file 
organizing committee at the Siliconix plant in 
the early 1970s.  Two decades later she became 
the UE's national secretary-treasurer, the 
highest-ranking woman union officer in the U.S. 
at the time. After leaving the UE, for many years 
she headed the AFL-CIO's Central Labor Council in 
Monterey County, just south of Silicon Valley. 
She recalls that "although I got my job at 
Siliconix by chance, we concentrated on the 
larger plants because the level of capital 
investment by the companies was so large there. 
They were the big players, and we wanted to go 
for the heart.  Neverthe¬less, it was very hard 
organizing a union in those plants, because the 
feeling of pow¬erlessness among the workers was 
so difficult to overcome."
        To organize unions in the large 
electronics manufacturing plants, Newell says "it 
seems ob¬vious that there has to be a long term 
effort and commitment, with an industry-wide 
approach.  It's hard to imagine organizing any of 
the plants without a much larger movement among 
workers in the industry as a whole, and in the 
communi¬ties in which the workers live."    
        By the early 1980's, the UE Electronics 
Organizing Committee had grown to involve a 
signed-up core membership of over 500 workers, 
who were participants in a number of union 
campaigns. 
        Romie Manan was an active member of the 
committee through the early 1980s, organizing 
Filipino immigrant workers on the production 
lines at Na¬tional Semiconductor.  Manan 
remembers that the union published 5000 copies a 
month of a newsletter, The Union Voice, in three 
languages - English, Spanish and Tagalog. 
Workers handed it out in front of their own 
plants, or in front of other plants if they were 
afraid to make their union sympa¬thies known to 
their coworkers.  "A few of us were aboveground, 
to give workers the idea that the union was an 
open and legitimate organization, but most 
workers were not publicly identified with the 
union," he recalls.
        The union depended on the activism of 
workers in the plants themselves.  For a number 
of years there was no union staff person assigned 
to Silicon Valley, and at the height of its 
activity, a single union organizer, Michael 
Eisenscher, was the committee's link to the 
national union, running the union mimeograph 
machine in his garage.  The strategy of the UE 
Electronics Organizing Committee envisioned a 
pro¬longed struggle to win the loyalty and 
commitment of a majority of workers in the 
semiconductor plants.  Committee members 
challenged the companies on basic questions of 
wages, working conditions, discrimination and job 
security.  It won cost-of-living raises, held 
public hearings on racism and firings in the 
plants, and campaigned to expose the dangers of 
working with numerous toxic chemicals.
        Eventually the semiconductor 
manufacturers, especially National 
Semicon¬ductor, fired many of the leading union 
activists, and the committee gradually dis¬persed 
as its members sought work wherever they could 
find it.  The main strategic question, which the 
committee sought to answer, remains unresolved. 
In large electronics manufacturing plants, 
employing thousands of workers, the process of 
organization doesn't take place overnight.  For a 
long period of time union-minded workers, 
especially worker-organizers, are a minority. 
Their organization has to be active on the plant 
floor, winning over the majority of workers by 
fighting around the basic conditions that affect 
them.  In the process, it has to be able to help 
its members survive in an ex¬treme anti-union 
climate. 
        This long-term perspective is very 
different from the organizing style of most 
unions today.  Many view union organizing as a 
process of win¬ning union representation 
elections administered by the National Labor 
Relations Board.  Others try to use outside 
leverage to force management to remain neutral 
while workers sign union cards, and eventually 
negotiate a contract.  While both strategies have 
something to offer electronics workers, 
especially over the long haul, they don't deal 
directly with the situation that exists on the 
plant floor.  The prospects of successfully 
fighting a union election cam¬paign inside a 
semiconductor or computer-building plant are 
extremely remote.  The huge corporations have 
insulated themselves from their production 
workforce so well that outside pressure has 
little effect on them.  In reality, most unions 
have simply abandoned the idea of helping workers 
in those plants to organize at all, saying that 
they are "unorganizable."


Toxic Contamination and Runaway Jobs

        Despite its lack of success in organizing 
permanent unions in the plants and winning 
bargaining rights, the UE Electronics Organizing 
Committee was a nexus of activity from which 
other organizations developed. 
        The Santa Clara Committee on Occupational 
Safety and Health (SCCOSH), originally founded by 
health and safety activists in the late 1970s, 
included members of the UE committee who left the 
plants to work on its staff.  It built broad ties 
with other unions, occupational health and safety 
experts, and community ac¬tivists.  It fought 
successfully for the elimination of such 
carcinogenic chemicals as trichloroethylene, and 
for the right of electronics workers to know the 
hazards of toxics in the workplace.  SCCOSH 
sponsored the formation of the Injured Workers 
Group, which organized workers suffering from 
chemically induced industrial ill¬ness.
        Under pressure from SCCOSH and other 
health and safety groups, the Semi¬conductor 
Industry Association sponsored a study of 11 
plants in 1992, to disprove any connection 
between the high miscarriage rate among women in 
the industry, and their job conditions.  The SIA 
study, however, proved exactly the opposite.  It 
found a direct connection between the use of 
ethylene glycols and high miscarriage rates. 
SCCOSH then began a Campaign to End the 
Miscarriage of Justice, to force an end to the 
use of these chemicals.
        "When we talk about organizing," 
explained Flora Chu, then the director of 
SCCOSH's Asian Workers' Program, "we have to talk 
in a new way.  Many immigrants, for in¬stance, 
aren't used to organizing in groups at work. 
SCCOSH helps to introduce them to the concept of 
acting collectively, instead of as individuals, 
when they want to confront their employer on 
issues relating to chemical use.  The 
organization of unions in the plants will benefit 
from this, and help workers, if unions are 
sensitive to the needs and culture of immigrants."
        The Silicon Valley Toxics Coalition also 
grew out of the health and safety campaigns that 
ripped apart the image of the "clean industry." 
The Toxics Coali¬tion won national recognition 
when it exposed the large-scale contamination of 
the water table throughout Silicon Valley by 
electronics manufacturers.  Coalition ac¬tivists 
organized the communities surrounding the plants, 
and forced the Envi¬ronmental Protection Agency 
to add a number of sites to the Superfund cleanup 
list. 
        Communities elsewhere in the country 
became aware that jobs brought by the 
construction of new electronics plants came at a 
potentially high cost.  In many areas 
environmental standards and requirements were 
increased as a result.  The Toxics Coalition also 
worked with the local labor movement and city 
governments to force manufacturers to list the 
chemicals used in the factories, and develop 
plans for handling the possible release of toxic 
chemicals in fires or other disasters.     
        The UE committee's last campaign in 1982 
foretold much of the future for semiconductor 
workers.  The committee tried to mobilize 
opposition to the industry's policy of moving 
production out of Silicon Valley.  In 1983 the 
plants employed 102,200 workers; they employed 
only 73,700 work¬ers ten years later.  While the 
number of engineers and managers increased 
slightly, job losses fell much more heavily on 
operators and technicians.  "What this re¬ally 
meant," said Romie Manan, "was that Filipino 
workers in particular lost their jobs by the 
thousands, more than any other national group." 
Manan lost his job as National closed its last 
mass production wafer fabrication line in the 
valley in 1994.
        Rapidly evolving technology in 
electronics production has a big effect on the 
lifespan of semiconductor plants.  A wafer 
fabrication line, the basic unit of the 
production process, has a useful life of about 10 
years.  Then it can no longer compete with newer, 
more automated lines which process larger wafers. 
When technol¬ogy evolves so rapidly, 
semiconductor companies must build new plants and 
new fabs constantly.  For workers whose jobs are 
dependent on the production line, the location of 
these new plants and lines is a life-and-death 
ques¬tion.
        Howard High, a public relations 
spokesperson at Intel Corp., stated flatly that 
"I really don't think we'll see more 
semiconductor manufac¬turing in Silicon Valley in 
the future."  In 1993 Intel built a new $1 
billion plant in Rio Rancho, New Mexico, instead 
of California.  High said that the company 
decided to locate it outside Silicon Valley 
because New Mexico offered Intel an industrial 
revenue bond worth $1 billion, to help finance 
the plant's con¬struction.  California put in a 
bid as well, but couldn't match the subsidies 
offered by New Mexico. 
        Manan and other semiconductor workers 
believed that lower wages were another 
de¬termining factor.  "The truth of the matter is 
the company can hire workers in New Mexico much 
more cheaply because wages there are much lower," 
he said.  "New workers also earn a starting wage, 
around $6-7/hour, unlike those of us with many 
years in the plants here, who earned more as a 
consequence.  That's why National and other 
companies wouldn't allow Silicon Valley workers 
to transfer to the other plants."
        Whether the main factor was wages or 
industrial revenue bonds, large electron¬ics 
companies were able to initiate bidding wars, in 
which communities around the country competed to 
win new production facilities by guaranteeing a 
combination of cost savings, relaxation of 
regulations, and direct tax subsidies.  In 
Silicon Valley, that competition created a 
two-tier workforce.  The more per¬manent jobs in 
the large manufacturing plants began 
disappearing.  But contractors who provided 
services to the large companies, from janitorial 
and foodservices to the assembly of circuit 
boards, employed more workers every year.


The New Wave - Organizing the Contractors

        Conditions for janitors and contract 
assemblers are a far cry from those associ¬ated 
in the public mind with high tech manufacturing. 
Workers losing jobs on wafer fabrication lines in 
the semiconductor plants made as much as 
$11-14/hour for operators, and more for 
technicians, even in the early 1990s when the 
minimum wage hovered just above $4/hour. 
Companies provided medical insurance, sick leave, 
vacations and other benefits.  By contrast, 
contract assemblers and non-union janitors are 
paid close to the minimum wage, have no medical 
insurance, and often no benefits at all.  
        In effect, workers in the service and 
sweatshop sector fought to win wages and benefits 
close to the level of those achieved by 
semiconductor workers at the time of the previous 
peak in organizing activity ten years before. 
Over that period of time, the workforce of 
Silicon Valley had taken a giant step backward. 
The decline in living standards made the service 
and sweatshop economy in Silicon Valley the 
subsequent focus for workers' organizing activity.
        The spark that set off this second wave 
was the campaign to organize the jani¬tors at 
Shine Maintenance Co., a contractor hired by 
Apple Computer Corp. to clean its huge Silicon 
Valley headquarters.  Over 130 janitors joined 
Service Employees International Union Local 1877 
during an organizing drive at Shine in the fall 
of 1990.  When Shine became aware that its 
workers had organized, it suddenly told them they 
had to present verification of their legal 
residence in order to keep their jobs.  The 
company cited the requirement, under the 
em¬ployer sanctions provision of the Immigration 
Reform and Control Act, that it maintain written 
proof of employees' legal sta¬tus.  When almost 
none of Shine's workers could present the 
required documents, they were terminated.  The 
com¬pany never questioned the documentation 
provided by workers when they were hired, or at 
any other time until the union drive began.
        Shine's actions ignited a yearlong 
campaign, which culminated in the signing of a 
contract for Apple janitors in 1992.  After the 
firings, the union called a meeting of activists 
in San Jose's large Latino community, along with 
church and political figures.  "We told them that 
we had taken our struggle as far as we could - 
that the labor movement is limited because the 
law hurts workers who want to organize more than 
it helps them," explained Mike Garcia, president 
of Lo¬cal 1877.  "So a community coalition went 
to picket when our union couldn't, sup¬ported the 
workers with a hunger strike, and started a 
boycott of Apple prod¬ucts."  That community 
effort grew into the Cleaning Up Silicon Valley 
Coalition.
        According to Garcia, understanding the 
position of immigrant workers was an important 
part of the successful campaign at Shine and 
Apple.  "Apple spends a lot of money on its 
image," he explained, "and our strategy attacked 
it.  We helped people to understand that the 
company was exploiting immigrant janitors, and we 
forced Apple to take responsibility - we told 
Apple 'it's your system - you control the 
contractors; you're causing the exploitation." 
Other employers in the valley closely watched the 
campaign at Shine and Apple.  Using the same 
strategy, the union went on to win a contract for 
janitors at Hewlett-Packard Corp., an even larger 
group than those at Apple.  The momentum created 
in those campaigns convinced other non-union 
janitorial contractors to actively seek 
agreements with Local 1877, and over 1500 new 
members streamed into the union.
        In September of 1992, janitors were 
joined by electronics assembly workers at 
Versatronex Corp., who used a similar strategy to 
organize against the sweatshop conditions 
prevalent in contract assembly factories.  The 
starting wage at the plant was $4.25 - the 
minimum wage at the time - and employees with 
over 15 years earned as little as $7.25.  There 
was no medical insurance.
        Sergio Mendoza worked in the "coil room," 
making electrical coils for IBM computers for 
seven years.  The work process involved dipping 
the coils into chem¬ical baths, and drying them 
off in ovens.  "They never told us the names or 
the dan¬gers of the chemicals we worked with," he 
recalled.  "Sometimes the vapors were so strong 
that our noses would begin to bleed."  The 
conditions in the "coil room" were very different 
from those at the facilities IBM' had at the time 
in South San Jose, which it referred to as a 
"campus."  IBM's orders gave a big boost to 
Versatronex' contract assembly business for 20 
years, and workers recalled seeing IBM inspectors 
frequently visiting their plant. 
        Contract assembly provides a number of 
benefits for large manufacturers like IBM. 
Contractors compete to win orders by cutting 
their prices, and workers' wages, to the lowest 
level possible.  Manufacturers can place new 
orders on a moment's notice when production 
demands increase, without having to hire any 
workers themselves.  When production needs 
decrease, they can simply cut orders.  If workers 
lose their jobs, the manufacturer has no 
responsibility for them.
        Today the contract assembly system, then 
in its infancy, has come to dominate high tech 
industry.  Corporations like Hewlett-Packard and 
Apple have no factories at all.  Their entire 
production is carried out by contract 
manufacturers in plants around the world.
        Workers at Versatronex called in the UE 
after they had already organized themselves to 
protest conditions, and as they were preparing to 
stop work to demand changes.  When the company 
heard rumors of the stoppage, managers held a 
meeting to head off the planned action.  One 
worker, Joselito Muñoz, stood up and declared to 
company supervi¬sors that "se acabo el tiempo de 
la esclavitud," which means "the time of slavery 
is over."  Muñoz was fired two days later, and on 
October 16 Versatronex workers went on strike to 
win his job back.
        In the course of their strike, workers 
focused on a large customer whose boards were 
assembled at Versatronex - Digital Microwave 
Corp.  The year before the strike DMC closed its 
own manufacturing facility in Scotland.  Its 
orders became a main source of work for the 
Versatronex plant.  At the high point of the 
6-week Versatronex strike, 10 women went on a 
hunger strike outside DMC's gleaming office 
building.  For four days they fasted to dramatize 
their ef¬fort to hold the manufacturer 
responsible for their working con¬di¬tions.  Male 
strikers supported them by setting up tents and 
living around the clock on the sidewalk outside 
the corporate headquarters.  Word of their action 
spread like a shockwave through the valley's 
immigrant Mexican community.
        "We went on a hunger strike against 
Digital Microwave Corporation because they send 
work to Versatronex, and then close their eyes to 
the conditions we work in," explained hunger 
striker Margarita Aguilera.  Aguilera was a 
student activist in Mexico, and used her 
experience in student strikes to come up with 
tactics for organizing workers at Versatronex. 
One was the hunger strike.  "It is not uncommon 
for Mexican workers to fast and set up 'plantons' 
- tent encampments where workers live for the 
strike's duration," said Maria Pan¬toja, a UE 
organizer from Mexico City.  "Even striking over 
the firing of another worker is a reflection of 
our culture of mu¬tual support, which workers 
bring with them to this country.  Our culture is 
a source of strength for our union."
        As workers at Versatronex were striking 
for their union, Korean immigrants at another 
contract assembly factory, USM Inc., launched a 
similar struggle for justice.  Their employer 
closed their factory owing them two weeks pay, a 
common event in the lives of contract laborers. 
USM workers turned to the Korean Resource Center, 
a service agency in Silicon Valley's Korean 
community.  Through the winter and the following 
spring, they organized a series of demonstrations 
in downtown San Jose against Silicon Valley Bank, 
which took over the assets of the closed factory 
and refused to pay the workers.  According to 
Bumshik Eom, a KRC staff member, "the bank said 
the workers had no power,"
        In the course of the conflict USM workers 
formed an organiza¬tion to provide services, job 
referrals and education programs to Korean 
immi¬grants.  "Although some workers wanted to 
form a union, others brought a belief from Korea 
that unions are communist," Eom said.  "But 
workers could agree on forming an organization to 
help each other, and to educate each other on 
their rights." 
        Despite differences in union experience 
among different immigrant national¬ities, almost 
all immigrant workers are on the bottom in terms 
of wages, working conditions, and quality of 
life.  The Versatronex strike and movements among 
other South Bay workers were upheavals from 
below, according to Pantoja. "They shone a light 
on conditions that are like apartheid for 
immi¬grant sweatshop workers."
        Silicon Valley organizers all emphasize 
that immigrants have a harder time challenging 
employers because they are often unaware of their 
rights as workers.  In addition, employer 
sanctions and the threat of deportation make the 
risk of losing a job much higher than for 
non-immigrants.  That vulnerability to the 
employer, and the weakness of legal protections, 
was cited by SEIU's Justice for Janitors as a 
reason for not relying on National Labor 
Relations Board elections.  To overcome the 
obstacle the union mobilized community pressure 
through marches, demonstrations, sit-ins and 
other mass ac¬tions.  In that context, the 
militant history of many immigrants became a 
positive advantage, according to Eliseo Medina, 
SEIU Executive Vice-President.  "Immigrants from 
Central America," he said, "have a much more 
militant history as unionists than we do, and the 
more militant work¬ers are, the more the union 
can do."


New Obstacles and New Tactics

        Many unions have lost faith in the 
ability of workers to use the legal process for 
winning union representation, especially the NLRB 
election process.  One worker out of every ten 
involved in a union organizing drive gets fired 
as a result, according to the AFL-CIO.  Employers 
can shift production, spend hun¬dreds of 
thousands of dollars on expert anti-union 
consultants, and use the fear of job loss to 
exert enormous pressure on workers.   Although 
often technically illegal, these hardball tactics 
go effectively unpunished by the NLRB's legal 
process.
        Tactics like those used at Apple, USM and 
Versatronex have been at the cutting edge of the 
labor movement's search for new ways to organize. 
They rely strongly on close al¬liances between 
workers, unions and communities to offset the 
power exercised by employers.   Often, though not 
always, they use organizing tactics based on 
direct action by workers and supporters, like 
civil disobedience, rather than on a lengthy 
propaganda war during a high-pressure election 
campaign, which companies frequently win. 
        Grassroots tactics responded well to the 
basic issues of low wages and bad conditions 
prevalent in contract and sweatshop employment, 
and contributed to giving the Silicon Valley 
campaigns the character of a social movement.  As 
workers organize around conditions they face on 
the job, they learn organizing methods they can 
use to deal with issues of immigration, 
discrimination in the schools, police misconduct, 
and other aspects of daily life in immigrant 
communities.
        The movement among contract employees 
took an important step when janitors united with 
workers from Versatronex and USM in a march 
through downtown San Jose, demanding an end to 
exploitive condi¬tions for immigrants.  Workers, 
unions and community organizations rec¬ognized 
that they were better off challenging high tech 
in¬dustry together than as single organizations. 
        That point was brought home when 
Versatronex closed its plant in Jan¬uary, 1993. 
Workers had ended their strike the previous 
November, and filed a petition for a 
representa¬tion election in December.  "When the 
company knew they would lose the election, they 
decided to close," Pantoja said.  "In an industry 
as anti-union as electronics, I assume that the 
manufacturers told Versatronex that the company 
would no longer get any orders if workers 
successfully organized a union in the plant." 
        Electronics manufacturers have been 
forced over the years to permit outside contract 
services, like janitorial services and in-plant 
construction, to be performed by union 
contractors.  Nevertheless, the industry has 
drawn a line be¬tween outside services, and the 
assembly contractors who are part of the 
industry's basic production process.  In one 
section, unions could be grudgingly recognized; 
in the other, they could not.  
        Workers, communities and unions need a 
higher level of unity to challenge high tech 
industry successfully, and to win the right for 
workers to organize effec¬tively in the plants. 
Combined organizing efforts, in which unions seek 
to organize many contractors at the same time, 
would limit the ability of employers to cut off a 
single contractor like Versatronex. 
        A step towards this kind of unity was 
taken when unions and community organi¬zations 
came together in 1993 to protest plans by high 
tech industry to impose its own blueprint for 
economic development on the future of Silicon 
Valley.  The industry effort, called Joint 
Venture: Silicon Valley, brought together a 
coalition of over 100 industry executives and 
representatives of local government bodies. 
Together, they projected initiatives to shape 
public policy on subjects like regula¬tory 
relaxation, education, and resources for 
technological development.
        A labor/community coalition was formed to 
respond to Joint Venture's agenda.  It drew up a 
Silicon Valley Pledge, calling on companies to 
respect the rights of work¬ers and communities, 
and to deal with them as equals.  Ernestina 
Garcia, a longtime Chicano com¬munity activist in 
San Jose, explained that "we've never felt that 
the electronics industry had the interests of our 
communities at heart.  If they plan the future of 
the valley, they're going to do it for their 
benefit, not ours."
        "What we have here are different 
interests," said Jorge Gonzalez, who chaired the 
Cleaning Up Silicon Valley Coalition.  "Economic 
development in Silicon Valley has historically 
served the interests of the few.  We want 
devel¬opment that serves the interests of the 
many.  Just protecting the competitiveness and 
profitability of big electronics companies will 
not necessarily protect our jobs and communities, 
a safe environment, our right to form unions, or 
our schools and public services.  We don't want 
anyone telling us that higher profits for big 
electron¬ics companies will give us jobs, and 
that we should be happy with that."
        After their experiences at Apple, 
Versatronex and other valley factories, unions 
also tried to organize a much broader, more 
comprehensive campaign, called the Campaign for 
Justice.  Initiated by the janitors' union, 
instead of concentrating on a single contractor, 
or organizing plant-by-plant, it aimed at the 
whole low-wage contract workforce.  While 
employers could close a single plant  in response 
to organizing activity, organizers argued, 
closing many plants would be much more difficult. 
John Barton, the campaign's coordinator, 
declared, "We're going to hold manufacturers 
responsible for their contractors."
        Rather than competing against each other, 
drawing jurisdictional lines in the sand among 
the valley's unorganized workers, the Campaign 
for Justice was based on union cooperation.  Four 
separate interna¬tional unions, including the 
janitors' union, the Teamsters, the hotel and 
restaurant workers, and the clothing workers, 
formed an overall strategy committee and 
contributed re¬searchers and organizers to a 
common pool.  Two community representatives also 
sat on the strategy committee.
        Ultimately, however, the pressure for 
immediate results led unions other than the 
janitors to pull out.  Local 1877 pushed forward 
with a drive aimed at the landscape gardeners in 
the valley's industrial parks.  The campaign won 
the support of many workers, some of whom were 
fired in the process.  Workers marched through 
the streets and brought community pressure to 
bear on contractors and their corporate clients. 
Eventually, however, the campaign was folded into 
the effort to renew union contracts for the 
valley's janitors. 
        When the anti-immigrant Proposition 187 
made the 1994 ballot, janitors joined other 
immigrant-based unions and immigrant community 
organizations in the statewide effort to defeat 
it.  Those efforts led to long-term relationships 
between unions and immigrant communities.  At the 
initiative of the janitors, SEIU called for 
repeal of employer sanctions, as did the garment 
unions and the state labor federation.  Six years 
later, that coalition led a successful effort to 
get the AFL-CIO nationally to call for the repeal 
of sanctions, a key step in reordering labor's 
relationship with immigrant workers. 
        For a number of years afterwards the 
South Bay Labor Council of the AFL-CIO mounted an 
effort to run a temporary employment agency  for 
high tech workers.  This effort gave the labor 
movement  a presence among some workers, but it 
concentrated on high-skilled employees rather 
than production workers on the lines.  Unions had 
no presence in the plants themselves, and didn't 
seek to mount factory-floor campaigns for 
improvements in conditions. 


Electronics Companies Press for Political Changes

        After President Clinton was elected in 
1992, high technology companies began using their 
support for his campaign to press for changes in 
labor law to, bring it into line with what they 
called new realities.  Unions and workers also 
wanted changes, including enforcement of 
exist¬ing rights, and new legislation to take 
into account the proliferation of contract and 
temporary work.
        The Clinton administration set up a 
commission to review labor law reform, the 
Commission on the Future of Labor-Management 
Relations, called the Dunlop commission for its 
chairman, John Dunlop, labor secre¬tary under 
President Nixon.  But its mandate, rather than 
reinforcing workers' union rights, was "to make 
recommendations concerning what changes, if any, 
are needed to improve productivity through 
increased worker-management cooperation and 
employee participation."   The Dunlop 
commission's key hearing in Silicon Valley was 
convened by Joint Venture: Silicon Valley at the 
request of Marty Manley, the Department of 
Labor's Deputy Secretary for the American 
Workplace.
        Silicon Valley firms had the ear of the 
Clinton administration.  The president and 
vice-president made numerous high-profile visits 
to company facilities, valley executives were 
prominent in Clinton's 1992 election campaign, 
and the chair of the Joint Council of Economic 
Advisors was Laura d'Andrea Tyson, a UC Berkeley 
professor with strong ties to the industry.
        Bill Usery, labor secretary under 
Presi¬dent Ford, noted that in other parts of the 
country most corporations declared that little 
reform of labor law was needed.  By implication, 
labor law and the administration of the NLRB had 
become so ineffective that companies believed it 
was no longer a significant restraint on their 
union-fighting activities.
        But corporate executives in Silicon 
Valley were not content with inac¬tion.  Their 
program not only called for extensive changes, 
but involved a whole new philosophy and public 
policy for labor/management rela¬tions.  Under 
the klieg lights in San Jose's cavernous 
convention center, witnesses gave the commission 
a good first-hand look at the "high performance 
workplace" - at work teams, labor/management 
cooperation, the contingent workforce, and the 
new world of "corporate culture and values." 
        According to Pat Hill-Hubbard, senior 
vice-president of the American Electronics 
Association, "employees have become 
de¬cision-makers, and management has practically 
disappeared."   Doug Henton, representing Joint 
Venture Silicon Valley, announced, "Unions as 
they have existed in the past are no longer 
relevant.  Labor law of 40 years ago is not 
appropriate to 20th cen¬tury economics."
        Not everyone agreed.  "The company always 
told us that they had to be competitive," said 
Romie Manan, describing his years at National 
Semiconductor.  "Increasing the company's 
profitability, they said, would increase our job 
security.  That was the purpose of our work teams 
- to make us efficient and productive.  So we 
became more efficient.  Our yield rate on each 
wafer went from 80% to 95%. 
        "Then the company took the ideas 
contributed by the experienced workforce in Santa 
Clara, which they got through the team meetings, 
and used them to orga¬nize new fabs with 
inexperienced workers in Arlington, Texas, where 
wages are much lower.  The experienced workers 
lost their jobs.  The team meetings stole our 
experience and ideas, and didn't give us any 
power to protect our jobs and families.  The 
company chewed us up and spit us out."
        In the heyday of the UE Electronics 
Organizing Committee, the plant had almost ten 
thousand workers, working directly for National 
Semiconductor.  By the time Manan was laid off in 
the early 1990s, employment had fallen to 7000. 
Over half worked for temporary employment 
agencies, including almost all production and 
tech workers.  Manpower, the temp agency, had an 
office on the plant floor.
        Intel Corporation presented a panel of 
speakers to shoot Manan down.  Phuli Siddiqi, an 
Intel worker, presented "a worker's perspective" 
-- that "Intel is a great place to work." She 
described "worker ownership of projects and 
products," and the company's program for 
em¬ployee recognition, called "pat on the back." 
But she couldn't deny that Intel jobs were 
vanishing from Silicon Valley overnight. 
Personnel Director Kimberley Dyess even declared 
that "there are no more jobs at Intel.  We just 
have people and work to be done."
        The high level of participation by 
electronics companies in the Dunlop hearing 
reflected their unspoken worry that many of their 
new structures for labor/management cooperation 
were illegal. At National Semiconductor, 
according to Manan, the company told workers they 
had to team up with management in order to defeat 
the Japanese competition.  Fear for their jobs, 
he said, drove workers to join the teams, which 
were used to undermine union organizing efforts. 
Section 8(a)(2) of the National Labor Relations 
Act prohibits company unions, especially as a way 
to discourage workers from organizing genuine 
union.  Dyess emphasized that large electronics 
companies wanted to eliminate section 8(a)(2). 
        Unions took on another part of the dark 
underside of high tech employment - the 
contin¬gent workforce.  Esther Thompson, a 
janitor who cleaned Apple's buildings, told 
commissioners that "I need two jobs because 
neither pays enough to pay my rent, feed my 
children and pay my bills."  According to Mike 
Garcia, president of SEIU Local 1877,  "high 
technology manufacturing doesn't create 
high-wage, high-skill jobs.  It patterns itself 
after the service sector.  Contractors in 
manu¬facturing compete over who can drives wages 
and benefits the lowest."  Labor law, he said, 
should tie contractors to the manufacturers they 
work for.  Big manufacturers control the wages 
and work lives of contract workers indirectly, 
and they should be responsible for them. 
In the only real exchange between commissioners 
and witnesses, Thomas Kochan, an MIT management 
professor, and Doug Fraser, retired president of 
the United Auto Workers, asked industry 
representatives if they'd agree to accept 
responsibility for contingent or contract 
workers, or allow workplace committees to 
repre¬sent workers in dealing with management 
over wages and working conditions.  "We're not 
looking for someone to represent employees," 
responded Debo¬rah Barber from Quantum Corp. 
        "The concept of representation seems 
archaic," added Cheryl Fields-Tyler from the 
American Electronics Association.  When Fraser 
asked them what alterna¬tives existed for workers 
unhappy with management decisions, Debra Engel, 
vice-president of 3-Com answered:  "the company 
has an open-door policy." 
        The audience laughed.


Conclusion

        Perhaps the most telling comment about 
the state of labor law is that the most effective 
organizing activity among workers is that which 
depends on the law the least.  While this seems 
to give up any immediate hope of reform, labor 
law reform efforts ultimately depend on rising 
organizing activity on the ground.  As Frederick 
Douglass said, "power concedes nothing without a 
demand."
        According to Steve Lerner, architect of 
the national Justice for Janitors strategy, the 
National Labor Relations Act was only passed in 
response to large-scale strikes and organizing 
drives.  "Workers will get better laws," he said, 
"not because they're a good idea, but because the 
level of conflict is so disruptive that a 
rational system is better."  Douglass called it 
"thunder and lightening," and the "awful roar" of 
the ocean's waters. 
        In the fall of 1995, a new leadership was 
elected to head the AFL-CIO.  John Sweeney, who 
had been president of the Service Employees, and 
a staunch supporter of Justice for Janitors, 
became the federation's new president.  During 
the struggle over leadership Tom Donahue, the 
interim AFL-CIO president whom Sweeney defeated, 
tried to convince convention delegates that the 
federation was really a narrow "trade union 
movement."  He attacked his opponents for 
supporting a "labor movement," or "social 
movement," one that would move away from 
Washington and into the streets, organizing and 
speaking for immigrants and low-wage workers, in 
unions and out of them.  Militancy, he said, 
"marginalizes" the labor movement. 
        Debating him on the floor of the 
convention, Sweeney advocated a commitment to use 
direct action tactics where necessary to organize 
workers on a much larger scale.  In the end, most 
AFL-CIO delegates saw Donahue's vision as the 
source of labor's marginalization, not the 
solution to it, and elected Sweeney instead.
        In many ways, the Sweeney program for 
change was more limited than the movement that 
propelled it into office, seeking to solve most 
problems by hiring staff, and organizing 
committees and taskforces within the AFL-CIO 
structure.  The strategy was called by one 
supporter "revolution from above."  Sweeney and 
his supporters inherited the mental framework 
that saw organizing drives primarily as the 
product of paid staff, rather than as an upsurge 
among workers themselves. 
        Ten years later, Sweeney's own union, the 
Service Employees, left the AFL-CIO along with 
several others calling for a greater emphasis on 
organizing activity.  The debate between them, 
however, revolved primarily around how much money 
to spend, and how many organizers to hire, rather 
than a deeper challenge to the staff-driven 
model.  The Silicon Valley strategy for uniting 
community organizations and unions in a 
grassroots campaign to defend workers as they 
actively tried to organize moved away from a 
reliance on the activity of workers themselves. 
Newer, non-NLRB strategies advocated by SEIU and 
others often relied on gaining employer 
neutrality and agreement to card-check 
recognition.  That process many times involved 
bargains with employers at a very high level, far 
removed from workers themselves. 
        It is extremely unlikely that high tech 
companies, with their history of total hostility 
to unions, would ever agree to such measures 
without a virtual revolution in their workforce. 
Neither the AFL-CIO nor the Change to Win 
federation are likely to assign vast new 
resources to help organize that kind of social 
movement among workers in the electronics 
industry in Silicon Valley. 
        Yet Silicon Valley is the citadel, the 
fortress of the country's most anti-union 
industry.  Overcoming it has the same strategic 
importance that organizing the steel and auto 
industries in Pittsburgh and Detroit had in the 
great industrial union upsurge of the 1930s.  For 
the working-class and communities of color in 
Silicon Valley to assert their own interests, and 
to ensure that economic development meets their 
needs, the workers in the valley's plants must be 
organized.  High tech industry dominates every 
aspect of life in Silicon Valley, and its voice 
is virtually unchallenged on questions of public 
policy, because the workers who have created the 
valley's fabulous wealth have no voice of their 
own. 
        Strong, democratic, rank-and-file unions 
in the electronics plants can give them that 
voice, and in the process change every aspect of 
political and economic life.  The basic decisions 
on issues of living standards, job relocation, 
toxic pollution, housing, discrimination, and 
economic development could then be made by the 
people those decisions affect the most, rather 
than by employers or public officials, whether 
well-intentioned or not. 
        In the 1920s the steel and auto 
industries also seemed like insurmountable 
bastions that unions would never organize.  And 
yet a decade later, as a result of a radical 
social movement based among workers themselves, 
they were organized in a matter of a few years. 
This is the challenge of Silicon Valley, the goal 
sought by its working people for three decades.

Biographical note:  David Bacon worked at 
National Semiconductor for a number of years 
until he was fired in 1982.  He was president of 
the UE Electronics Organizing Committee from 1978 
to 1983, and was the lead UE organizer assigned 
to the Versatronex strike. 


For more articles and images, see  http://dbacon.igc.org

See also Illegal People -- How Globalization 
Creates Migration and Criminalizes Immigrants 
(Beacon Press, 2008)
Recipient: C.L.R. James Award, best book of 2007-2008
http://www.beacon.org/productdetails.cfm?PC=2002

See also the photodocumentary on indigenous migration to the US
Communities Without Borders (Cornell University/ILR Press, 2006)
http://www.cornellpress.cornell.edu/cup_detail.taf?ti_id=4575

See also The Children of NAFTA, Labor Wars on the 
U.S./Mexico Border (University of California, 
2004)
http://www.ucpress.edu/books/pages/9989.html
-- 
__________________________________

David Bacon, Photographs and Stories
http://dbacon.igc.org

__________________________________

[Non-text portions of this message have been removed]



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