People's Democracy

Chicago Workers Show the Way Once Again

Workers in the US - the epicentre of the economic crisis and the torchbearer of neo-liberal policies - have achieved a significant victory. The impact of the financial crisis is felt on the real economy and many manufacturing units are declaring closures. In the month of November, the government had officially declared that 533,000 jobs were lost. This shows the severity of the crisis. News reports state that the big three in the automobile industry are demanding a bail out threatening closure. It is in this milieu of increasing unemployment that the workers of Chicago have achieved an important victory.

On December 5, the Republic factory that manufactures windows and doors for houses had suddenly declared that it is closing. This is in violation of the Federal laws that stipulate that any factory or manufacturing unit has to inform at least sixty days in advance about their closure, if not pay the wages for sixty days (seventy-five days in case of the law of Illinois state where the factory is located).

This factory, started as a family concern, is virtually owned and administered by the Bank of America and JP Morgan Chase. The owners of the factory applied for a $5 million credit which was immediately rejected by the Bank of America. The Bank had even instructed the owners not to pay the workers vacation, health and severance benefits too. This had happened at a time when the Bank itself got bailed out with $ 25 million of tax payers money to ensure that the 'lines of credit do not get dried out'.

The 300 workers of the factory (among them 250 are unionised) decided to not take things lying down and resolved to fight. When the company failed to turn up to the talks between the union and the Bank, the workers unanimously voted to occupy the factory and organise a sit-in demonstration inside the factory. From that day till December 11, they continued to stay in the factory - ate their meals there, slept there and stayed there all throughout. Their slogans 'Bank of America: You got bailed out - We got sold out' and �$ Billions for Bank of America and $0 for Workers� attracted widespread attention and solidarity to their struggle poured in from across the society.

Religious leaders, union members of various manufacturing units, the Communist Party of USA - all of them rallied in support of the workers struggle. Even the president-elect, Barack Obama had extended his solidarity to the struggling workers and stated �When it comes to the situation here in Chicago with the workers who are asking for their benefits and payments they have earned, I think they are absolutely right. What�s happening to them is reflective of what�s happening across this economy�. This had galvanised their struggle.

The local governments of the city and county in which the factory is located and the Illinois state administration too were forced to support the workers. The huge public support to the workers forced them to pass a resolution threatening to stop all their financial transactions with the Bank of America. The AFL-CIO, the largest trade union with over 10 million members extended its support and also threatened that they too would cut all financial transactions with the Bank.

People of Chicago stood behind the workers and extended all material help. They participated in thousands in all the demonstrations that took place before the Bank offices. Moreover they collected food for the workers and ensured that they do not remain hungry. Truck loads of food was collected and delivered to the workers. The representatives of the Union of Auto Workers who themselves are in struggle against the economic policies, donated a $5000 cheque to the workers. One of the most moving incidents is that some of the workers who had lost their jobs due to closure of their factories, too, donated food from their meagre resources to their fighting brothers and sisters. This expression of a sea of solidarity and the public pressure forced the Bank and the company management to talk with the workers.

After nearly three days of hectic discussions that lasted close to twenty hours, the Bank had agreed to pay the workers all the benefits that they were scheduled to get under the law. The workers, union leaders, Republic management and its lenders - Bank of America and JP Morgan Chase agreed on a $1.75 million settlement ending the occupation. Each worker is expected to receive eight weeks salary, all accrued vacation pay and two months paid health care.

Even though the factory would not be reopened by the management, the workers nevertheless achieved victory. The workers and the union had decided to use the money they had got from the settlement as seed money and together with the money they have received as solidarity donations, started a 'window of opportunities fund'. They plan to use this fund to reopen the factory shortly and ensure that workers retain their jobs.

The struggle of the Chicago workers thus became a symbol of unity, hope and struggle for labour rights. Rev. Jesse Jackson remarked, �These workers are to this struggle perhaps what Rosa Parks was to social justice 50 years ago. This, in many ways, is the beginning of a larger movement for mass action to resist economic violence.� Thus, Chicago workers once again became the face of the suffering working class today. More importantly they showed us the way of resistance. Indeed they have shown us the way to real change.