The next step in the campaign against water charges?

Screen Shot 2014-12-10 at 01.50.42_0The Right2Water Campaign posted a message at the very end of 2014 setting out the tasks for 2015:

“So where to now? If we are to elect people who enact the laws we, the people, need in the next election to continue to unite on what we agree on and not sow division and discord over tactical approaches as some are currently endeavouring to do. We need to grow and develop the unity that has rocked the establishment and the media – not splinter in 100 different directions as Irish people have (to their great cost) many times before thereby allowing an elitist minority to reap and sow at great cost to the common good. It’s been the way of it for much too much of our history. Can we unite and through solidarity fundamentally change how our water, our housing, our jobs, our education and our health services are paid for and delivered in all our interests?”

The statement, and let’s leave aside the exact status of it for the moment, has been criticised on the Revolutionary Programme blog.  The criticism of ‘electoralism’ is correct in my view but the first problem is not the desire to somehow, in some way, at some time, lever the people mobilised by the campaign into support for some electoral initiatives, alliances or whatever.

There will be elections at some point not too far away and those opposed to water charges and austerity in general would be remiss in not seeking to utilise them to advance their struggle. Of course critics will claim, with previous ‘form’ for justifying such claims, that elections are typically used not to advance the struggle but the struggle used to advance elections.

For Marxists like the Revolutionary Programme blogger and myself the road to change, even for any significant reforms, never mind revolutionary change, will come primarily  from the actions of working people themselves and not from legislators “that enact laws that are wanted and needed by the people they are elected to represent, not Corporations and their cronies.”

Our view comes from our understanding of how the state works and how the nature of the state is such that it cannot fundamentally change society or challenge the priorities set by the corporations and their cronies.  This is because power and resources are distributed and reproduced by an economic system over which the Dail has little, and certainly no fundamental, control.  In Ireland this is much more obvious since the most dynamic sector of the economy is that controlled by US multinationals and Irish people are used to accepting that neither they nor their legislators control these multinationals.

To fundamentally challenge the priorities of the capitalist economy would mean either putting the system in crisis or compelling more radical transformation to a new system.  It stands to reason that if people are put before profit in a system that puts profit before people that the system will start to malfunction or at the very least not function as well – through capitalists taking their money out of the country, failing to invest or simply stirring up political opposition to change.  Alternatively, a completely new system requires something much more fundamental than changing the 166 people sitting in the chamber of the Dail.

This doesn’t mean nothing can be done short of some revolutionary change but it does mean that certain limits are put on such change; the fundamental driver for it will exist outside the Dail; such change can only be temporary if more fundamental change is not made and essential change requires action by the working class itself and not by people elected by it to do it on their behalf.

At the very least those advocating the election of those who will “enact the laws we, the people, need” are required to explain what will be done, who will do it and how it will be done.

If this really is the way forward there can be no objection to debating it.  If Marxists lose the debate and such a reformist road is carried then that will be accepted because it is only by changing workers’ minds that the Marxist alternative can come alive anyway.  Marxists are not opposed to reforms, we are in favour of them, strongly in favour of them, especially when they are posed as a real alternative not to revolution but to no change at all.

What’s more we do not believe that no reforms are possible, just that they will be contested, limited and will not conflict fundamentally with putting profit before people.

What Marxists might really object to now is that such top-down politics is often advanced in a top-down way by those most loudly proclaiming their bottom-up politics.

In Britain a working class party, at least in terms of support, exists in the form of the Labour Party through which the struggle to advance such reforms can be made.  In Ireland the Irish Labour Party excites the hopes of a smaller or larger minority of workers at various times, only for it to betray those hopes.  But it does not retain workers’ allegiance so that some continuing struggle within it can form the basis of advancing Irish workers political consciousness and organisation.

So no obvious candidate for the party needed to fulfil the perspectives of the Right2Water Campaign’s authors exists.  For many people newly drawn into political activity against the water charges this will be an obvious difficulty.  But it is not the most immediate.

The most immediate is the fact that what exists is a campaign against water charges that has no structure, or rather no democratic structure, so that it cannot decide whether any of the ideas put forward in the statement should be supported, because ‘it’ – a campaign – does not exist in any sort of form that could make a decision.  Nor is there any proposal in the statement to bring one into existence through, for example, a national conference and a democratically elected leadership accountable at all times to campaign supporters.

In a previous post I noted that it would be necessary to develop the scope and demands of the campaign but that this would need to be prepared.  Such preparation involves creating arrangements that allow people to discuss what they think collectively, whether they think the campaign should adopt additional objectives to that of opposing charges, and whether certain tactics should be promoted or not.  Even the statement leaves open the reality that the charges still exist, have not been killed off, and have a zombie-like existence – being half-dead and half-alive.  We have all seen enough zombie movies to know they keep on coming back to life to bite us.

Finally, but perhaps firstly, those involved in the campaign could hardly do better than follow the advice, once given by Tony Benn, and ask five questions of the campaign leaders: “what power do you have; where did you get it; in whose interests do you exercise it; to whom are you accountable; and, how can we get rid of you? Anyone who cannot answer the last of those questions does not live in a democratic system.”

This is all very simple.  If someone thinks the campaign should support certain candidates in an upcoming election they must be able to answer these questions when anyone in the campaign asks them.

The Politics of the Anti-Water Charges Campaign – Part 1

anti-water-charges-campaigns-protests-4-390x285I was sitting in a small café at 12 o’clock having a cup of tea and a bacon sandwich, with customers at only two other tables.  A group of four elderly people were talking at one while three middle aged men were talking at the other.  Both were discussing the water charges, their opposition to them and the march they were going to join in one hour’s time.

I joined a feeder march at Pearse Street that went up Dame Street, up to York Street, where it collected some more supporters, and then went round to St Stephen’s Green to stop  a few minutes outside the Dail to tell the Government that they “could stick their water meters up their arse”.  Even the Guards on duty outside had a smirk.  The thousand or so then took off to join the main rally outside the GPO in O’Connell Street where a number of other marches converged.

The demonstration was not as large as that of a few weeks before, which was estimated as 100,000, but this time there were dozens of other marches being held right across the State in cities and towns big and small.  Estimates are that in total the numbers were greater – 150,000.

On 11 October the apparently sudden scale of the opposition to water charges was reinforced by the victory in the Dublin by-election of the Anti-Austerity Alliance candidate, who defeated the firm favourite from Sinn Fein because that party had done a little too much talking out of both sides of its mouth and was seen as insufficiently opposed to the charges.

Sinn Fein posters were in evidence on the march on Saturday and it was noticeable that flags and banners from other republican groups were also in evidence.  The left groups were more peripheral than is usual in such marches and I didn’t see one trade union banner, although I could easily have missed it.

The demonstration was overwhelmingly working class, composed of what many on the left call ‘ordinary people’, although I’ve never considered myself extraordinary for example.  The other noticeable thing was the folk songs sung from the stage, the references to James Connolly and 1916 and the general referencing to Ireland’s rebel history.  It is as if, at least sections of the Irish working class go to sleep for a few years and that when they periodically wake up they look back to their greatest struggles and leaders, when their intervention into Irish history appeared to promise a new future. That hasn’t really been the case for a long time, at least in the South.  A Northern banner in solidarity might have highlighted the unfinished business.

While I was in the café I was reading ‘The Irish Times’ and in particular an article by Eamonn McCann entitled ‘Public finally take to streets as water proves a tax too far’.  I’m sure he didn’t write the headline so it is no criticism of him to point out that demonstrations in Dublin of 100,000 against austerity have already taken place over the last five years or so.  They were organised by the trade union movement and the demonstrators were betrayed by the leaders of that same movement, as McCann alluded to in his article.

So what makes this movement different, if it is?  Firstly there is a view that it could succeed, in fact an argument can be made that it is already succeeding.  The Government parties have already responded by concessions in the budget to lessen the impact of the charges and did so in such a hurry they messed it up.   The newspapers, radio and television news are full of reports of the panicked reaction by Government politicians, especially with an election around the corner; hundreds of thousands of registration forms sent by the new Irish Water company have not been returned and the deadline for returning them has been extended to the end of the month.

Opinion polls confirm the unpopularity of the charge and the effect of this on the popularity of the Governing parties.  Labour is already a dead duck and Fine Gael support has fallen while support for Sinn Fein and ‘independents’ has grown.  The new company is particularly disliked because of the millions of Euros being spent on consultants for a service the state has been providing for years (the same thing happened in the North when Northern Ireland Water was created).  Bonuses are also to be paid to Irish Water staff with those at the top getting much larger amounts than those at the bottom, with the added insult from the company that they continue to peddle the line that they aren’t really bonuses.

Irish workers facing these costs believe that they are already paying for water so in effect they are being asked to pay twice and for huge management consultant bills and bonuses on top.

But previous, more outrageous decisions have failed to generate resistance that actually looks like it might win.  The decision to bail out the banks, costing over €64 billion, dwarfs the water charges in scale, with bankers hardly more popular than the Executives of Irish Water – and bankers’ bonuses have certainly been larger.   So what has changed?

Going back to Eamonn McCann’s article in ‘The Irish Times’:  he says that paying for a substance so natural sparks a particular anger.  But this isn’t really the case – in the café one guy was saying that he would be prepared to pay for water, but not twice and not for the consultants and bonuses.  This, I think, is the widespread view.  People are aware that they have to pay for water and sewerage services and they know this because it is obvious.

The headline over the article by Eamonn McCann in ‘The Irish Times’ said ‘Public finally take to streets as water proves a tax too far’; and that is the main reason for the resistance – it is one step too far.  As one of the leaflets given out at the demonstration put it -“No more.”

The whole austerity offensive, austerity budget after austerity budget, the state effectively bankrupt, posed the question of how to resist – what to do?  And resistance had to have some idea of an overall alternative.  The Irish working class didn’t know what such an alternative would be and didn’t buy the one sold by most of the Left.  I have examined this alternative in a series of earlier posts, for example here, here and here.

On the other hand workers are now being told that economic growth is not only on the way but has actually arrived.  Unemployment has fallen and tax cuts are promised while cuts in services will end.  Things look like they may have bottomed out.  They don’t think that they need to pay this unfair bill and what’s more they think that there is something very practical that they can do to stop it.

They won’t get their water turned off if they don’t pay.  As a commercial semi-state company the money can’t be taken off them through deductions to their salaries and wages.  Sure there is the possibility of court cases but cases against hundreds of thousands?  Even reduction of water pressure to the home is not so easily achieved and possible to prevent with direct, mass action.  In other words it is beatable and the disarray of the Government has demonstrated to many that it can be beaten.

To be continued

The debate on socialist strategy and the Irish Left – Part 2

detroit-industry--north-wall-diego-riveraIn the first post I looked at those aspects of the Mendel-Gleason and O’Brien argument that I thought were broadly correct.  In this part I want to look at their other criticisms of what they see as the revolutionary approach and what I see as valid in their criticisms of what passes for revolutionary Marxism but what I believe is not necessary to it.

They state of the revolutionary approach that “destruction of the state is the order of the day, with the point of note being the sequence: first, the state, as the godfather of capital, must be taken out of the equation; only then can the working class organise, through new forms such as workers’ councils, the mass participation in public life necessary to the complete the journey to socialism.”

“Until a revolutionary situation arises in which the state can be smashed there are limits to what can be achieved on a mass scale since it is the process of revolution itself that draws the masses into public life.”

“The party that revolutionaries seek to build interacts with the masses during the revolutionary process and is the repository of the historical mission in less propitious times. But the revolutionary party itself has a different role than the workers councils and remains separate from them and pre-revolutionary mass organisations.  By separate we mean institutionally distinct, not that they never try to influence them.  Although naturally a pro-insurrectionary party would like to grow, it doesn’t aim to win a majority support for itself. . .”

“If anything the creation of permanent mass institutions becomes a fetter which prevents a revolutionary overthrow of capitalism by the treacherous actions of its bureaucratised leadership when the hour strikes.”

It is not that Mendel-Gleason and O’Brien are unaware of the dangers of bureaucratisation in the building of a socialist workers’ movement: “Clearly there is a danger that the day-to-day concerns force the grand vision into the background. Such is the risk of engaging with reality. But without being able to relate the day-to-day with the longterm project, the proponents of socialism will remain very isolated intellectuals.”

Mendel-Gleason and O’Brien also make criticisms of what they see as the anti-party and anti-political mindset of those who advocate workers’ councils but since I think this criticism is aimed mainly at anarchism and perhaps council communists I won’t take these arguments up.

If we work our way backwards through the criticisms above the first is the danger of bureaucratisation of workers’ organisations, especially through the long years (decades!) of non-revolutionary circumstances.  They are right to say that to try to seek to protect against this by avoiding the day-to-day concerns and small struggles of working people is failing to engage with reality.

We must start from where we are and not where we might want to be.  This might seem so obvious as to hardly require saying but take this from the British Socialist Workers’ Party article referred to in my last post:

“Who, after all, thinks that ‘in the present situation’ in France (or anywhere else) workers are going to try to centralise the power of their workers’ councils? The very precondition of such a development is that the ‘present situation’ has changed. The idea of revolution in a non-revolutionary situation is absurd. Every revolutionary situation has involved a split within the existing state apparatus and the existing ruling class. A revolutionary situation involves a crisis for the state, a loss of effectiveness. Without such a crisis there can be no revolution: that is part of the ABC of Marxism. It is precisely the crisis in the state which permits the emergence of a situation of ‘dual power’ and the possibility of a new form of state power conquering.”

The reformist approach to socialism is criticised by this writer for believing “the transition to socialism is to occur from the ‘present situation’ and without ‘economic collapse’.  In practice . . .  all reformists—seek(s) to construe a transition to socialism from the ‘present situation’.”

In other words revolutionary politics comes into its own when there is a revolutionary situation.  But of course how we get to this situation, how the working class is ready for it, how it has built its power and consciousness to the point where it can successfully challenge for power – all this has to be done precisely from the present situation.   After what has been decades in which there has patently not been revolutionary crises in the advanced capitalist states it is manifestly not enough to say that when such crises eventually erupt – although they will not even erupt without a prior revolutionising of working class consciousness, organisation and social power – we need to smash the capitalist state to effectively respond to the needs of such events.

Without a prior strategy to build up the power of the working class it will in all likelihood not be in a position to effectively challenge for power no matter what objective crisis capitalism undergoes.  The merit of the Mendel-Gleason and O’Brien argument is that they present this problem and it is the responsibility of Marxists to address it even if these authors use it as an argument against revolutionary destruction of the capitalist state.

There are other less crass ways of Marxists failing to engage with reality, such as demanding that campaigns or activity must meet some level of demands and therefore class consciousness that workers patently cannot rise to, at least not in current conditions or with the current level of political consciousness.  Some sections of the Left can then turn political demands not into bridges to advancing political consciousness but obstacles to action and subsequent rise in consciousness.

It is no doubt true that part of the reason for this is a belief by Marxists that the purpose of Marxism is to promote a revolutionary rupture and so seek to further this by advancing demands associated with partial struggles that if accepted by workers in such struggles can more or less quickly objectively clash with the logic of the capitalist system and therefore lead to revolutionary crisis.  The only problem of course is, as we have said above, it should be obvious that workers are many years from being in a position to perform such a role.  That many, many struggles cannot have a perspective of more or less raising the question of state power is hard to accept.

But it must be accepted because without being with the workers, no matter how backward their consciousness, socialism, real socialism, the socialism which is about the power of workers and not of the state, can by definition achieve nothing.

There are no formulas that guarantee this but it is important to dismiss formulas that guarantee against it.

Of course most left organisations claiming to be Marxist make the opposite mistake of dumbing down socialism so that it becomes an appeal to the state to accomplish what the working class is not yet willing or able to accomplish itself.

It is my view however that revolutionary politics not only exists in periods of relative class peace but must exist in such periods, if only because we have lived through decades of non-revolutionary conditions and the level of working class organisation and consciousness is now such that we cannot expect that this will be changed quickly.

Mendel-Gleason and O’Brien put forward similar ideas, without the view that revolution is necessary, but their argument is not always consistent.

Speaking of the tasks of the socialist movement now they say that: “We want to merge the socialists into mass organisations so that ideologically socialist parties exist on a truly large basis over a prolonged period of time, for decades at least, for centuries if necessary.”

But this sits uneasily with recognition of the dangers of bureaucratisation of the workers’ movement and how this weakens their case for a long term strategy of attrition: “The pressure of the wider pro-capitalist culture combined with the tendency towards increasing conservative apparatus makes the strategy of attrition a risky one. There is a race on between the socialist organisations aiming to transform capitalist society before capitalist society transforms them.”  A race lasting centuries?

Part of the problem Mendel-Gleason and O’Brien have is expressed in their description of their own strategy:

“The strategy of attrition is, therefore, compatible with a type of politics that is close to where many people already are. Its radicalism lies in its goals, not in its practice and this makes it easier to interact with non-socialists on an open basis. There is no need to hide its insurrectionary orientation because it doesn’t have one.”

The separation of goals and the practice of getting there inevitably means a failure to achieve the goals or leads to a different practice.  The view that socialism can be delivered by the state taking ownership of the economy, or redistributing wealth, does not lead to the working class achieving power but the extension of the power of the state.

Revolutionary politics therefore involves workers achieving what they can achieve by themselves.  The revolutionary content in any demand, or action or programme is the growth in the independent power and consciousness of the working class.  This obviously achieves its fullest extent when workers challenge for state power by attempting to destroy the state power wielded by the capitalist class and by creating its own.  But this does not prevent, rather it requires, years of workers learning that it is their own action that will deliver them what they want and what they need.

Building an independent trade union is more revolutionary than calling for increased taxation of the rich by the state even if some success attends the latter.  Creating a workers’ cooperative is more revolutionary than calling for the nationalisation of the banks even if banks, as they have been, are nationalised.  Workers fighting to control their own pension funds and taking them out of the hands of the bankers is more revolutionary than demanding that the state jail the corrupt bankers.  The latter happens in the US and the trial of the Anglo Irish bankers has begun.  They get jailed?  How does this advance the independent power of the working class?

We are now able to see how revolutionary politics is compatible with the long years of relative class peace as well as revolutionary crises.  We can evaluate political programmes as more or less revolutionary or reformist without being obliged to speculate on near-hand revolutionary crises.

We can say with Marx that:

“It is not a question of what this or that proletarian, or even the whole proletariat, at the moment regards as its aim. It is a question of what the proletariat is, and what, in accordance with this being, it will historically be compelled to do.”

But what the working class is and what it therefore does depends on its own existence, its own struggles and not on the actions of the state and those who inhabit it.

Much of the ‘transitional’ character of Trotsky’s transitional programme, upon which for many revolutionary politics must rest, does not connect the class struggle to the creation of an entirely new socialist mode of production.  This was something we saw in the first post and taken up in the comment to it.

That which does, the expropriation of capitalist enterprises, is wrongly bastardised into nationalisation by the capitalist state, see my earlier post.

We can now therefore look again at the description of revolutionary politics from Mendel-Gleason and O’Brien which we quoted earlier.

It is not necessary for revolutionary politics to claim that only revolution that can bring the working class into mass participation in politics.  Building workers cooperatives, trade unions and a workers’ political party are all necessary to stimulate and develop working class consciousness and organisation.  A revolution is not necessary for any of them.

It is a truism to say that only revolution expresses this participation to its fullest extent but even here the prior establishment, development and political defense of workers ownership requires certain levels and type of workers activity that political revolution is not a substitute for.  Cooperative production involves the working class learning the skills and experience of the future mode of production.

Revolutionaries do have to separately organise but this does not necessitate institutional separation in terms of a completely separate party.  Revolutionaries can seek to win a majority of the working class prior to a revolutionary situation.  It is not a fetter to win the majority of the working class to socialism; even if the majority of the working class did not actually support a revolutionary perspective.

The dangers of bureaucratisation and conservatism are real but deliberate minority status of the revolutionaries doesn’t protect either this minority or do anything to win a reformist majority.  Often of course reformist leaders will not give revolutionaries the choice of working within a larger reformist working class party but it is no answer to seek separation if revolutionaries are otherwise free to organise.

Revolutionaries do not believe that it is only after the working class has smashed the capitalist state that it can organise or we would have a classic chicken and egg situation – we can’t destroy the capitalist state until we are organised and can’t organise until we have destroyed the state.

It is in fact my argument that it is precisely the view of Mendel-Gleason and O’Brien, of attempting to use the existing state to create socialism and to organise primarily through electoralism, that restricts and limits the participation of workers in political activity and heightens the bureaucratisation of the workers’ movement.

It is obviously true that socialist revolution has not succeeded during the twentieth century but it is also true that this has been partly because the workers’ movement has been bureaucratised by and through the capitalist state that Mendel-Gleason and O’Brien think is the answer to the former failure.  And the strategy that produced this bureaucratisation was one of seeking election to office within the capitalist state when the working class was in a position only to administer capitalism not overthrow it.

In the next post I will look at the Mendel-Gleason and O’Brien view of the capitalist state some more.

The debate on socialist strategy and the Irish Left – Part 1

revolutionA couple of leading figures in the Irish Left Forum , Gavin Mendel-Gleason and James O’Brien, have written an extended piece on socialist strategy published here.   This has been subject to a ‘health warning’ and a critique on the Revolutionary Programme site here.  The latter is carried out mainly by simple reference to large quotations from Marx, Lenin and Trotsky.  The author gets away with this approach because these quotations are so apposite.

I welcome the intervention from the members of the Left Forum for the following reasons: They propose a strategy and practice that is already that of the Left groups in Ireland who claim to be Marxist.  The latter’s arguments are that the capitalist state can play a progressive role in the movement to socialism and that the main activity that workers and socialists should engage in is electoral intervention.  The left groups demands for nationalisation, increased state expenditure and taxation of the rich plus activity geared excessively to elections are evidence of this.

The difference between these groups and the Left Forum authors is that the latter put up an argument for such an approach.  Since it is common on the Left not to bother with such things this is to be welcomed.

The second reason is that the arguments put forward are important and some of them are correct.  These are not addressed in the reply noted above so I believe that some of the most important issues which they raise have not been adequately answered.

The third reason is that a debate on strategy is to be welcomed and if there is to be a debate there will be differences.  We should develop an ability to discuss them.  If we don’t or can’t then future initiatives at uniting socialists will be as unsuccessful as those in the past.

So what are the arguments and issues raised that are important and by and large correct? These are made mostly in the second part of the Mendel-Gleason and O’Brien piece.

The authors make the entirely valid point that “when capitalism tottered in September 2008 there wasn’t the slightest question that there was an alternative economic system that could step in and immediately take over.”  What this means is that we do not have an alternative, to be exact – an alternative that is both global and immediate.  We do have one that can grow and develop but not one that can challenge the capitalist system now.

It was lack of an alternative that explains why workers accepted, some even voted for, the imposition of manifestly unfair and hurtful measures in the EU referendum in Ireland in 2012.  In the post after the referendum I argued that it was precisely this lack of an alternative that was the main reason for the defeat in the austerity Treaty referendum, despite workers’ anger and frustration at what they were being asked to endorse.

is an expression of the weakness of the workers’ and socialist movement existing more or less everywhere, which Gavin Mendel-Gleason and James O’Brien also note. Their argument is that the perspective of a workers’ revolution to overthrow the capitalist state and usher in socialism is mistaken.

In making this argument they make some valid observations. They finish their analysis by saying, although they could have started it from here, that “Our short-term tasks do not involve overthrowing capitalism — a mode of production cannot even be overthrown. . .”  By this I assume that they mean that the capitalist mode of production cannot be overthrown without it being replaced (unless we envisage ruination as Marx put it in The Communist Manifesto) and it is the latter that is important, which might seem an obvious point except the question arises – replaced by what?

In the model of socialist revolution this is usually thought to mean replaced by ownership of the means of production by a workers’ state.  But states are just people organised in a certain way so how is this group of people to know how to run an economy and do so better than the capitalists if they have never done it before, have no practice and no plan to do so?

They have no plan to do so because the typical scenario for revolution is that it is a revolt against attacks on workers’ rights and not a conscious offensive to change the mode of production, which rather simply appears as a by-product of the need to smash the capitalist state through a mass strike and the creation of workers’ councils.

Some advocates of revolution accept this argument and therefore accept that socialist revolution will lead to economic collapse.  And although of course this is only temporary, a bit like a loss of form where your football team drops a few points – before going on to win the league, the prospect seems far from one that will sell socialism to most workers.  In fact it sometimes seems entirely light-headed and the product of a mentality entirely alien to most workers.

Take this example from the Socialist Workers Party in Britain. The writer says this – “we must be clear: a transition to socialism, to the complete reorganisation of society by the working class, cannot occur without ‘economic collapse’.  A socialist revolution involves ‘economic collapse’: the problem is to carry it through, decisively, so that economic recovery on a new basis can be started immediately.”

Let’s be very clear – if the socialist revolution leads to economic collapse it calls into question the readiness of the working class to be the new ruling class in the first place since it obviously lacks the power to prevent collapse and if this is the case what guarantees can there be that it would be capable of reversing it?  Especially “immediately”.

Mendel-Gleason and O’Brien state correctly that “getting past capitalism is an incredibly difficult problem,”  “At the outbreak of mass protest or revolution this is not a problem since the issue presents itself to the opposition in a simple way, e.g. “down with the regime”, “against the 1%”, “they all must go” (Argentina 2001). Sooner or later, however, it becomes necessary to move beyond a simple formulation of the problem and to advance structural solutions. “

“This transformation to socialism can only come from the working class having a pre-existing organisational capacity to take advantage of these developments, especially in the most advanced countries, of which the United States is currently the most important. That capacity takes decades to build up and it’s not a process that can be rushed or circumvented by some clever shortcuts and nor should it be.” “Unfortunately, it’s simply not possible to get big and capable institutions in one go.”

This seems obviously true and it is the necessity to build up the working class movement to such a position to effect revolution that is the task. Unfortunately this is not the task that Mendel-Gleason and O’Brien seek to solve by the strategy of increasing the power of the working class for they see the above problem as one that means that a revolutionary strategy is not appropriate.

One reason they posit for this is that the division of labour within modern economies has so developed that the intricate coordination necessary cannot arise from what is an essentially spontaneous process of revolution.  This view might therefore legitimately say that simply trying to make a virtue of this fact by admitting the inevitability of economic collapse also involves tacit admission of the dangers they see in revolution.

These include diminishing enthusiasm of the masses, because their revolutionary fervour is of recent, and therefore limited, vintage  since otherwise we would have had decades of a revolutionary situation, which is hardly credible.  This would be exacerbated by the drop in living standards consequent on ‘economic collapse’ and a similar consequential fall in political support for the revolutionary process.

These seem reasonable objections and it is up to those who defend and argue positively for the revolutionary overthrow of the capitalist state to present their strategy in such way that it plausibly answers this criticism. Before we look at this aspect however we should note other correct arguments advanced by Mendel-Gleason and O’Brien.

They rightly argue that there is “no shortcut to building up mass, popular organisations” and they are guilty only of exaggeration when they say that “in the absence of mass socialist-labour institutions workers’ capacity for action is restricted to protest and destruction.”

Protest demonstrations are the staple of left group activity and their electoral interventions are also a pure protest since they nowhere claim that they will form part of a government if elected. Mendel-Gleason and O’Brien argue that this is not enough “for the project of raising a socialist mode of production to dominance, via co-ops and labour unions.”

It is on building up this alternative that they concentrate their argument, pointing out the need to build specifically working class organisations , as the socialist movement used to do before the functions these organisations performed were taken over by the state and the majority of socialists took to believing that state action was somehow equivalent or substitute for working class self-activity. They point out the need for working class mass media and to the early history of the German Social Democratic Party and its ‘eco-system’ of social clubs, publications and summer camps etc.

They point out the failures of the Left’s favourite tactic of ‘single-issue’ campaigns which, besides usually being sectarian and right-ward looking fronts of one particular organisation, are incapable of getting beyond a single issue, incapable of broader radicalisation “so that when that campaign is over, irrespective of whether it has ended in victory or defeat, the next campaign must start from the same low basis.” These campaigns are structurally incapable of persisting through time and of achieving the cumulative growth of membership, organisation and consciousness on which alone a truly mass socialist working class movement can be developed

Some remarks on the internal organisation of the socialist movement are also in my view correct although not because of any original insight by Mendel-Gleason and O’Brien or myself.  Thus there is a need to fight for socialism within the working class movement of party, unions and cooperatives using the weapon of “freedom to organise and the freedom to articulate criticism and dissent.”  The petty bourgeois character of much of the left organisations is revealed by their inability to organise democratically.

So what is essentially valid in the argument is that while destruction of the capitalist state might solve the problem of armed reaction by that state (which is no small issue!) “it doesn’t . . . solve the problem of being able to transition to a socialist mode of production.” In the next part of this post I will look at what Mendel-Gleason and O’Brien have to say about the state itself.

Why have the Irish not revolted? Part IV

gustave_dore_fourth_circle_dante_infernoIn much of Europe the workers movement developed in the latter half of the 19th century and first half of the 20th through industrialisation, the growth of trade unions and socialist parties and the radicalisation caused by two world wars, in particular by the first.  The socialist movement often led the struggle for democratic rights and freedoms and gained support as a result.

The Irish experience has been different, leading to a working class with a lower level of class consciousness.  While Ireland started to industrialise early it was thrown back by the development of superior industrial development in Britain.  What industrialisation did occur was small and mainly concentrated in the north east of the country.  Defeat and brutal repression of Ireland’s bourgeois revolution in 1798 led to a bitterly divided working class with the most extreme reactionary ideology dominating the most advanced industrial area.

The land question was denuded of its radical potential by this counter revolution and by the effects of the catastrophic famine in the middle of the19th century when, in a population of over 8 million, around a million died and a million emigrated and the population began a decline that did not reverse until the 1970s.  The number of agricultural labourers fell by 700,000 from 1845 to the early twentieth century, the number of small farmers was halved and the cottier class almost wiped out.  All this could only but weaken the potential base for a radicalised land movement.

The result of all this was that when the national movement erupted in the first decades of the twentieth century in a battle for an independent state it was dominated by middle class revolutionaries who subordinated workers’ interests with the demand that ‘labour must wait’, which has been pretty much the policy of Irish republicanism since.

The new truncated statelet these most conservative of revolutionaries created was dominated by the same economic subordination as that which preceded nominal independence, resulting in economic growth after foundation of the new state at very much the same rate as before its creation; and a polity not much different than before except for the role of the new Irish bourgeoisie that often proclaimed its Catholicism more than its nationality.

The working class in its majority never broke from this political class and the socialist movement has been small and peripheral.  The Second World War passed the Irish State by and during the 1950s emigration was higher relatively than it had been almost 100 years earlier, sapping all social classes of vitality and energy.

The Irish State caught the tail end of the world-wide post war economic boom and the workforce in industry increased from 259,000 in 1961 to 363,000 in 1981.  Overall however there was little increase as the numbers employed as agriculture continued to decline.  This growth in the working class led to some limited revival in socialism reflected in the Labour Party claiming ‘the 70s will be socialist’ before that decade came and went  and republicanism being genuinely influenced by socialist ideas, although of a Stalinist-type that did not offer any real alternative.

This period saw a large growth in the number of strikes so that at one point the Irish State had the highest number in Europe (see below).

strikestats

It also witnessed huge demonstrations against the high taxes imposed by the State on the working class, which amounted to 87 per cent of all income taxes in 1978. In 1979 over 150,000 workers demonstrated in Dublin with many thousands in thirty other towns including 40,000 in Cork.

At this point the Irish State’s model of economic development began to collapse. World-wide economic crisis, a weakening of foreign investment and bankruptcy of indigenous industry led to massive unemployment, renewed emigration and a ballooning State debt.  That the Irish working class and small socialist movement were unable to offer an alternative to the resulting capitalist restructuring and political offensive should not surprise.  There was no successful resistance and alternative created anywhere else.

The defeat of the tax struggles in the late seventies and early eighties and the inability to take advantage of ruling class political disarray, evidenced by repeated general elections in the first few years of the decade, plus the mass unemployment and emigration during the decade, weakened the working class both materially and politically.  The graph of strike activity above clearly shows a steep decline from the 1970s from which there has been no recovery.  It was in these circumstances that social partnership was imposed in the late 1980s.

Partnership signalled the move away from bargaining with the employers and State through militant action and acceptance that when the solvency of the State was in question this took priority.  Beginning in 1987 a series of deals were negotiated that meant accepting major cuts in pay and state services in order to reduce the massive State debt.  The parallels with today are obvious.

There was resistance to social partnership but it came in its most militant form from outside the trade unions and the trade union leaders were decisive in its relatively smooth introduction.  This defeat of militant workers action and acceptance of the prerogatives of capitalism was, as we have said, not at all unique to Ireland.

Across the world the ability and willingness of the working class to fight back in defence of its interests was set back.  Strike statistics are only the most graphic measure of this development.  Taking 42 countries and looking at the period between 1981-85 and 1996-2000 the number of countries in which strikes increased was 8 while there were 34 countries in which they declined.  In the group of countries in which strikes had risen the increase was only 5,183 while the reduction in strike numbers was 63,657 in the group of countries in which there was a decline.

In the Irish State the annual number of days lost in strikes fell from over 580,000 in the 1970s to 26,650 in 2005.  In the latter year there were only 15 strikes and only 10 in 2006, in which only 7,352 working days were lost, the lowest since records began in 1923.  In 2007, the last year of the boom, there were only 6.

As a percentage of the employed workforce trade union membership fell from 56.2% in 1987 to 42% in 1998.  Separate figures record a reduction from 46% in 1994 to 35% in 2004 while the Irish Congress of Trade Unions has admitted that density continued to fall, being lowest among young workers.  Where unions did exist member participation dropped and some of the features of bureaucratisation long normal at higher levels of trade unions infected union representatives further down the ranks.

All this occurred during an unprecedented boom in the economy, the period of the Celtic Tiger, when GDP growth ranged between 7.8% and 11.5% from 1995 to 2000 and between 4.4% and 6.5% from 2001 to 2007.  From 1990 to 2007 total employment grew from 1.160m to 2.112m, an increase of over 80%.  While incomes fell during the 1980s they grew rapidly during the Celtic Tiger.  The historical working class was recreated in many ways as a result of rapid economic growth both quantitatively as a result of falling unemployment, immigration and increased labour force participation rates and qualitatively as a result of the increased employment of women (whose number grew by over 125% from 1990 to 2007) and an influx of foreign workers.

The Irish working class was recreated as a result of a boom fuelled primarily by foreign investment, which excluded unions from its workplaces, increasing corporatism and bureaucratisation of the unions that did exist.  This within a world in which the historic goals of the working class movement – from progressive reform of the capitalist system to the view that it could be replaced – was increasingly discredited through the fall of Stalinism and defeat and retreat of workers struggles and the claims of social democracy.

The boom saw no political strengthening of the workers’ movement even as unemployment fell and the class objectively, at least in numbers, grew enormously.  As we said at the end of Part 3 capitalism is a revolutionary mode of production that recreates the working class.  In the Irish State it did so in a way and in circumstances that did nothing to overcome the historic political weaknesses of the class.  Indeed the trade unions became weaker as they bought into social partnership and the view that the interests of workers, State and bosses were best aligned.  Even the historic nationalist politics that has been hegemonic became encapsulated in the need to have a low corporation tax for US multinationals.

Lack of a strategic alternative, among other things, brought about defeat of the large struggles of the 1970s.  Unemployment, emigration and prolonged economic crisis brought an assault by the State on working class living standards and did so in such a way that it survived, even prospered, when the economy recovered and entered into a boom.  Social partnership sold the working class into sacrifices to bail out the State from bankruptcy and made the workers subordinate even when the boom gave them the conditions in which they could have recovered their strength and learnt to advance their own interests.  Instead, in so far as social partnership was later abandoned it was abandoned by the State.

The nationalist politics of the working class, the partnership with the state and the agreement of workers to sacrifice themselves on its alter came together in the reluctant acceptance of workers that they must bail out the banks and accept austerity when the economic crisis finally broke.  This dependence on the State can be seen in two other ways.

In Part 2 we noted that the left wing economist Michael Taft has claimed that the ‘squeezed middle’, the 4th to 8th deciles of income earners, suffered declines in direct income in the five years leading up to the crash, gaining only as a result of social transfers.  Social partnership involved a deal between the trade union leaders and the State/bosses in which workers refrained from industrial action and accepted lower than potential pay rises in favour of tax cuts.  This was not just the case in the final years of the boom but was the line pushed almost from the start – a policy that became more and more explicit as the partnership deals were negotiated.

Thus not only did the workers movement become denuded of any militant initiative but it became more and more dependent on the state, and this was true not only of public sector workers but of workers in the private sector as well.  Gross average industrial earnings grew by 25% in real terms in the 15 years between 1987 and 2000 but take home pay rose by 60% for a single person and 58% for married because taxation was cut.

Mainstream economists, in 2000, also reckoned that these tax cuts were regressive because they were largely achieved through reductions in tax rates, which favoured those on higher incomes.   It is well known that the State became excessively reliant on revenues from a credit boom but what this shows is that social partnership, and the whole strategy of the trade union leaders, was just as reliant.  But really, how could it be otherwise?

The second way this dependence increased can be seen in the simple growth of the state itself, true in all countries and not just of Ireland.  ‘The Economist’ reported that the average size of the state had grown from 12.7% of GDP in 1913 to 47.7% in 2009.  Even in the UK after decades of Thatcher and New Labour the size of the state remained around 44% from 1980 to 2005.  This translates into widespread and increasing dependence of the population on the state, which has become the supposed solution to every and all sorts of problems.

Such massive growth could not fail to have deep impacts on society at the ideological level and the ruling ideas that infect the working class.  Neoliberalism hasn’t done away with the State and neither has it weakened illusions in it.  The Irish State now presides over the world’s biggest property company (NAMA) after private capital made a mess of it.  The State is now the means by which the debts created by this private capital are made good by the working and middle class.

One business journalist has quantified some of the ways in which this dependency is transmitted:

“Irish Budget 2014: Half of Ireland’s population is on welfare and when recipients of child benefit, farmers dependent on public subsidies which are effectively welfare, accounting for 81% of average farm income in 2012; legal services costing the state about a half billion euros annually; public payments to doctors; a raft of corporate welfare schemes and the public service itself, at least while Karl Marx is likely to be disappointed that a few remnants of the failed communism experiment only remain, in Ireland there is a shining example of the halfway house known as socialism or to put it in non-ideological terms, dependency on the State.”

As we can see, he paints the growth of the capitalist state as somehow a practical example the ideas of Marx, and who can blame him?  It’s the view of most of the Left as well, who constantly call not on the working class to solve its own oppression but for the state to do it for them.

The journalist gives a host of facts that demonstrate the growth of dependency on the state -from the growth of social welfare expenditure from €9.5m in 2002 to €15.5m in 2007 when the crash came and to €20.7m in 2012.  The number of social welfare beneficiaries rose from 1.5m in 2002 to 1.6m in 2007 and 2.3m in 2012.  Of these 486,000 were on the Live Register.

He notes the increased number holding medical cards; the direct subsidies to private industry and agriculture – mostly to the biggest operators; the tax breaks for business and the direct procurement of goods and services from private capital.

However the bottom line with the austerity offensive is that the Irish State became bankrupt and could not afford to continue this, so introducing harsh cuts and tax increases.  The question we have sought to address is why Irish workers have not resisted, or resisted so little and to so little effect.

We have seen numerous reasons for this – from the historic weakness of the class; the recreation of such weakness in the defeats of the last few decades; international developments that have demonstrated the hardly unique character of the experience of Irish workers in this respect, and the particular role of trade union and political leaders, which again is far from unique to Ireland.  Only a few weeks ago I listened on the radio while a professor of economics in Madrid noted that commentators in Spain were wondering why Spanish workers were not reacting more angrily to austerity compared to their Portuguese neighbours.

The experience of Irish workers reflects the weakness of indigenous capitalism which the growth of foreign direct investment has not significantly altered.  The latter has only reinforced the weakness of Irish workers – they have hardly even attempted to unionise in the multinational sector and appear to have bought into the view that they must live through nine circles of hell before the proud Irish race will ever succumb to a headline corporation tax rate higher than 12.5 per cent.

Finally we have seen the very direct dependency of so many on the State that has just bankrupted itself bailing out the banks.  Unable to stop them doing so, in fact not even being asked if they agreed, and fed crap about the ‘cheapest bailout in history’, the working class was left with a choice – bail out the state it depended on for jobs and welfare or default when the only people in place who could carry out this policy was the same State that was demanding they pay up.  Without a mechanism to enforce default, even if that is what they wanted, and without an economic and political power base outside of dependency on the State, the choice was pretty clear, even if there could have been struggles that could have made it messy.

Put simply – how could workers tell the State to get stuffed when it relied on it so much?  The Left has peddled nonsense that the State can be made a means to redistribute wealth such that only the rich pay for capitalist crises but the workers haven’t bought this and some of the Left that calls itself Marxist is not actually supposed to believe it either.

The defeat inflicted on workers in the last five years should cause a rethink.  Renewed declarations of faith will not do.

Lessons from the Grangemouth dispute

GRANGEMOUTH_2700282bI received an email from Socialist Democracy inviting me to contribute to a discussion based on an article they have written on the lessons of the Grangemouth dispute in Scotland. This article sets out the devastating scale of the defeat – the freeze in pay, butchery of pension entitlement and castration of union organisation.  Many in the media called it an old fashioned battle of labour against capital, such was the unvarnished clarity of what was involved.

The questions to be answered are whether there could have been a different result and what lessons can be learnt?

The article does not say whether the result could have been different.  Given the circumstances I think not, but this means we must be clear what the circumstance were that lead to this conclusion.

As for the lessons the article posits two – that the entire strategy of the trade union leaders has been overthrown and that of union support for, and reliance on, the Labour Party is a mistake.  I believe that there is a third rather more basic one, which can be explained very much as the old fashioned relationship between labour and capital.  What is this relationship?

The relations of capitalist production are unequal as they involve capitalists as owners of the means of production, including oil refineries and petrochemical works, and workers separated from ownership of such means of production and dependent on employment by the capitalist for their livelihood.  In a struggle that does not threaten or weaken these foundations it is generally the case that the capitalists will be able to impose their wishes because these align with the power structures in society.

This does not mean each and every strike or struggle by workers is doomed to defeat but that in certain disputes this power of capital is fully deployed and the fundamental imbalance in power is cruelly demonstrated.  Were it otherwise capitalism might be able to find some stable compromise, some equilibrium between the two classes that would allow a ‘fairer’ distribution of resources.  No such stable equilibrium has been found.  Marxists have been confirmed in their view that the liberation of the majority of working people requires overturning the existing system and creation of one in which the monopoly of ownership of capital is destroyed. 

This is the basic case for socialism in opposition to all those who think a better world is possible while not overthrowing the fundamental structures of society.

It is not an all or nothing case.  It does not say that workers can do nothing to protect themselves short of socialism.  Struggles that do not threaten these fundamental relations can sometimes be victorious such as when the economy is booming, unemployment is low and workers can strike or otherwise bargain for higher wages without fear of being sacked and their place being taken by the unemployed.

Of course in an economic downturn the temporary leverage of workers and trade unions is undermined and the power of capitalists to do as they wish because of their ownership of capital is reasserted.

In the case of the Grangemouth dispute this means that no workers’ action no matter how brilliant, innovative or militant could prevent Jim Ratcliffe from using his ownership of capital to close the refinery and petrochemical works and throw thousands of workers onto the dole.

Of course if you were convinced he was lying about the profitability of the plant and convinced his threats to close were a bluff the solution is simple – call his bluff and tell him his demands will not be accepted.  Unfortunately his ownership means that only he and his management know the truth and his claims that the plant only had a future if he was able to put £300 million in investment into it were credible. The same system that decrees private ownership of a refinery also necessarily involves periodic overcapacity in production and this was held over the workers’ heads as the brute fact that required they surrender or face the sack.

Under such circumstances no one can be surprised the workers decided to accept the lesser evil.

The article is correct that simple strike action would not succeed.  It was the boss who went on strike – it’s called a lockout.  It is he who brought production to a halt and threatened to make this permanent.

Others called for widespread solidarity action perhaps secondary strikes.  Firstly these are illegal and related to this, workers have not yet the level of combativity to carry out such action, even those involved in the chemicals industry who would have lost their own jobs had Grangemouth closed.

If it is argued that this strategy is one we must argue for and attempt to build for the future then this is indeed an element of strategy.  In this situation however there is no reason to believe Ratcliffe gave a rat’s arse about the fate of the wider industry and of the other thousands of jobs that would have been lost.  If he was going to close Grangemouth then all these strikes would have made no difference to his plans.

A second possible answer was to call on the state to nationalise the refinery and works.  The problem with this is that neither the British State based in London nor that part that might go independent had no intention of doing so.  Both are ‘open for business’ only when it means private capitalism.  So who was going to nationalise the works?  If it is believed that strike action would compel such nationalisation then it would have had to be wider and deeper than that considered above and the first response of the State would have been to attempt to throttle it. Some people keep on forgetting the State is the protector of the enemy.

Some on the Scottish Left said the situation at Grangemouth showed the need for independence but this was not an immediate solution.  As we have just said, the Scottish National Party has no intention of nationalising private industry when private capitalists are prepared to invest if only the workers accept the necessary sacrifices.  Alex Salmond’s primary concern was with the exposure of his independence project, and the illustration of how weak the idea of a prosperous oil economy looks in light of this immediate threat to pull the plug.  Since the refinery provides fuel for northern England and Northern Ireland as well as Scotland the case for action to protect the service went beyond the border and thus implicitly provides the grounds for wide action to defend it.  It also undermines any case for a nationalist solution from the right or the left.

The article argues against the efficacy of such answers and proposes its own elements of a strategy.  Some of these are by no means very clear.

For example what does this mean? –

“The trade union and political fights have to be united around a movement that is willing to reject the claims of finance capital and to step in and expropriate capital where it is necessary to preserve the livelihood of workers.”

The only time a workers’ movement will be able on its own to expropriate capital is when there is a revolutionary situation. We’re not in one of those so it wasn’t and isn’t an answer.  (We’re also fighting industrial capital in this one.)

The article says –

“The Labour Party has promised a temporary freeze on prices, so a call could be made for a permanent cap . . .”

Just how are the laws of capitalism to be permanently abolished or even suspended when the system still exists?

They can’t.  The only way they can is if and when there is a revolution that creates the conditions for totally remodelling economic and social relations and even then prices will not be abolished for some considerable time.

The alternative proposed revolves around occupation and seeking an alternative to the Labour Party.

Once again however if the plant is really losing money and the threat of closure real then why would Ratcliffe not just let the workers occupy, sit in the refinery and – so far as he was concerned – rot away?  It would be just another way of closing the plant if he didn’t get the workers to accept his demands.

What the demand for occupation means is that workers take over ownership and run it themselves.  They cannot simply run it themselves without ownership.  No one would provide raw materials or other services without someone to contract with and you don’t form contracts with those in unlawful possession.  So the question is how would the workers take ownership?  How would they get the money to buy it and to invest perhaps the£300 million Ratcliffe says is needed?

Obviously this is much harder when pushed against a wall, with no preparation and no conception that this is the alternative.  Equally obviously if it is accepted that this is the road that workers in such situations should follow then it would be better to be prepared for such a challenge.  The challenge is precisely to the monopoly ownership of the means of production that we said at the start is the heart of the relationship between capital and labour and at the heart of capitalism.

The workers movement is big enough to fund research into the creation of worker owned businesses.  Workers might start to fight to gain control of their pension funds to invest in their own enterprises.  Money can be raised for investment from financial institutions or other funding means to be determined.    A network of employee owned cooperatives already exists.  What is involved is not utopian, in the sense it has never been done before, nor is it without rational calculation.

If workers could be ready for such an alternative the threats of closure would not be so conclusive.

In other words the alternative to capitalist ownership is workers’ ownership.  Not just in some indefinite future ‘after the revolution’ but now and not just for now but in order to build towards the future.

Finally the article criticises the unions’ support for the Labour Party.  It notes that organised workers continue to support their trade union and political leaders, although it only proposes that in order to fight both it is necessary to break from the Labour Party but not from the existing trade unions.  It calls for a ‘class struggle movement’ to be created across all the unions, which should call for a new working class party.

It obviously believes this fight can dismiss the Labour Party and need not go through it, although it does not explain how this can be achieved when it acknowledges workers continuing support for that Party.  Implicit is the view that a fight within that Party is not needed to convince workers to break from it.  This in my view is very doubtful.

It draws no lessons from its ridicule of the small socialist organisations which have attempted this road or what it correctly describes as the private character of their concerns; illustrated by their bizarre discussions and replication of policies that decades ago they excoriated the Labour Party for.  The articles’ own call for a revolutionary party is correct but of no help here since it is put forward, necessarily so, as an ideal future location.

Instead it states that – “there are many issues around which a fightback can be organised, but they cannot be organized by the current leadership of the working class . . . What it [Grangemouth] has shown up is the utter inability of the traditional leadership to defend workers and the demoralisation and lack of strategic vision on the part of the socialists.”

If what is being said is that a new leadership has to be created, and the existing one challenged, then this is correct.  If it is being said that this is a precondition for a fight-back then this is not correct. It is only in the course of struggle that existing leaderships can be defeated, as long as such objectives become part of the struggle by the mass of ordinary workers.

The workers at Grangemouth and, by extension, those beyond have suffered a cruel defeat.  One possible reaction is to be cowed by the power of capital to shatter livelihoods.  A second is to seek some magic bullet of a strategy that workers can employ to defeat such plans: a strike, secondary action or an occupation.

A third lesson is that very often workers are forcibly confronted with the reality that to secure a decent life they need to go beyond capitalism and that no amount of shifting it with militant action can change its fundamental nature.  This nature is one where capitalists own the means of production and they can open and close it when they want.  This is not a strong argument for capitalism but a powerful argument for changing society – for socialism.

As Marx said – “the working class ought not to exaggerate to themselves the ultimate working of these everyday struggles. They ought not to forget that they are fighting with effects, but not with the causes of those effects; that they are retarding the downward movement, but not changing its direction; that they are applying palliatives, not curing the malady. They ought, therefore, not to be exclusively absorbed in these unavoidable guerilla fights incessantly springing up from the never ceasing encroachments of capital or changes of the market. They ought to understand that, with all the miseries it imposes upon them, the present system simultaneously engenders the material conditions and the social forms necessary for an economical reconstruction of society. Instead of the conservative motto: “A fair day’s wage for a fair day’s work!” they ought to inscribe on their banner the revolutionary watchword: “Abolition of the wages system!

Why have the Irish not Revolted? Part III

1913_LOCKOUT_ADVERT-1

The weakness of Irish workers resistance to austerity cannot be explained as a supposed result of this austerity having less effect than in other countries.  We have just witnessed the eighth austerity budget, the previous seven having cumulatively accounted for 17 per cent of current Gross Domestic Product.

The budget deficit in 2013 is higher than that of Spain, Portugal or Greece; there is at least another austerity budget pencilled in and the State debt is continuing to rise.  Next to nothing of the debt taken on in order to bail out the banks has been paid back and these banks are still saddled with mortgage customers who can’t pay their loans back.  Were the much trumpeted rebound of the property market to be anything substantial the banks would be repossessing and selling the vacated properties.  They’re not.

In other words the crisis isn’t over and neither is austerity, although faint hope that it is coming to an end plays one part in explaining latterly the weakness of protest and resistance.

The answer to the problem lies in the weakness of the Irish working class itself.  For Marx capitalism, in creating the working class, created its grave digger.  The nature of a particular capitalism goes a long way to explaining the nature of a particular working class and the weakness of the Irish working class is a reflection of the weakness of Irish capitalism.

An objection might be made to this that the Russian working class was the most ideologically advanced working class a century ago while Russian capitalism was weak. On the other hand capitalism in the United States has been the most advanced for a century or more but its working class is a byword for exceptional weakness.

The uneven and combined development of both societies has gone a long way to explaining this apparent anomaly and it is beyond the scope of this post to compare and contrast the development of the US and Russian socialist movements.  Over 100 years ago Karl Kautsky wrote on this question in ‘The American Worker’, relatively recently republished as part of a symposium in the journal ‘Historical Materialism’.

What we can say here in respect of Ireland is that its uneven historical development both inside the country, and as a region within the wider British economy, mainly as a reserve of agricultural production and labour power, has accounted for its historical weakness.

I was reminded of this nearly a year ago when I received a United Left Alliance (ULA) email newsletter what presented a series of proposed meetings to be organised by the ULA against austerity.  These meetings were to deal with different aspects of the issue such as the economy, health services etc.  In Russia a noteworthy feature of political and intellectual life a hundred years ago was the strength, vibrancy and hegemony of Marxism such that it dominated even the thinking of Russian liberals.

How different a situation from Ireland!  The speakers proposed for the ULA list of meetings demonstrated the reverse – the domination of Irish socialism by liberalism.  We can see this in everything from the Left’s opportunist search for unity with organisations that are far from working class in political character, from the Greens to Sinn Fein and populist independents, to their Keynesian economic alternative that relies on the goodness of the liberal capitalist state –taxing the rich and nationalising industry.

This of course feeds into the mis-education of workers who, while they may not reject the ULA’s state-reformism from a revolutionary perspective, have a healthy distrust of the really existing bureaucratic state they know.  And they have a healthy scepticism that this state will create a new economy and tax the rich when the most widespread view of politics and government is that the politicians and the state mandarins are only in it for themselves.

Acquaintance with the occupational training by FÁS and the decades-long state attitude to tax dodging by the elite has convinced workers that the state is rotten; a source of corruption, incompetence and of patronage which moves according to who you know or who you can lobby or to whom you can provide supplication.  Meanwhile Irish liberals bemoan the population’s lack of civic virtue and the Left feeds it nonsense about the capitalist state as the solution to austerity and poverty.

Lack of a response to austerity is in small part a result of this but more significantly a long result of Irish economic development and the working class and its movement, which it has produced.  The weakness of the working class movement is therefore of long vintage in Ireland.  The outstanding figure of Connolly, who remains a giant of working class history, and the courage of the 1913 lock-out, are today appropriated by the bureaucrats of ICTU and the Labour Party wielders of the austerity knife.  Where is the movement that can legitimately claim this heritage?

Connolly and 1913 shine so brightly because the working class movement has for most of Irish history been subordinated to other forces.  While capitalist relations developed early in Ireland and industrialisation grew beside that in Britain it was much reduced by its greater development in the latter so that by and large it became limited to the north-east of the country.  There a relatively compact and developed working class developed but the fatal disease affecting it has long been known.  It could therefore play no wider progressive leadership role for the rest of the country

There the creation of a reserve of agricultural production for Britain created the conditions for the famine in the middle of the 19th century that devastated the country and led to reactionary social and political consequences everywhere.

First were the direct effects of death and emigration which robbed the country of a growing domestic market on which capitalist production could grow.

Then there was its effect on the land question that provided the social basis of Irish nationalism but which, because of the famine and its effects, including emigration, could be solved without a wider popular alliance of forces that included the working class.  The Irish nationalist movement was thus alternately dominated by reactionary bourgeois forces heavily influenced by the Catholic Church or a republican tradition that had its most democratic leadership in the United Irishmen ripped from it at the end of the 18th century through severe repression and sectarianism.  Republicanism became a petty bourgeois movement largely indifferent if not hostile to working class politics when at its strongest.

It did develop a wing which looked at the working class as ‘the men of no property’ but only so that they would help win national freedom.  This grew into a socialist republican tradition but this has also looked to the working class as the force for national freedom.  Where in other countries the socialist movement has grown through leading a fight for democracy, in Ireland this has never happened.  The left wing of the democratic movement has on the other hand appropriated radicalism that might in different circumstances have flowed into the working class movement.

Instead of a socialist movement that has taken on board the tasks highlighted by republicanism we have had a republican movement with left wing views tagged on but which has more often than not simply not understood what a socialist programme is, although sadly they are not alone in this.  Thus left wing opinions have abounded in this part of the republican movement but opinions have substituted for programme.  Marxism, genuine Marxism, and not its bastard imitation Stalinism, has been almost non-existent.  So many of the most radical spirits in Ireland have left the country or been absorbed in the dead end of republican politics.

The famine also resulted in the growth of the enormous power of the Catholic Church.  It is commonplace to at least partly account for the weakness of the working class movement in Ireland by pointing to the sectarian division of the class.  This division was hardened and strengthened tremendously by partition, creating an additional divide between workers in the North and those in the South, on top of the religious divide.

What is more and more apparent however is not simply the effects of the division itself, in preventing unity across state jurisdictions or in spite of sectarian identification, but the paralysing influence of the resulting political forces within the separate parts of the working class.

Sectarian division allowed the Catholic Church to engage in social repression involving sexual abuse, censorship and imposition of a reactionary ideological environment that was consciously and vehemently anti-socialist.  The more that is learned about this repression the more its class aspects become apparent.

The extreme reactionary monarchist ideology is perhaps less important in the North among some Protestant workers than the sheer ideology of division itself, i.e. sectarianism.

The strength of both Catholic and Orange movements have in no small part been due to the creation of the two states issuing from the division of the country.  Again and again even today we see the state protect the most reactionary elements in society both North and South – the Northern state facilitate loyalist paramilitaries and the Southern State finance the organisations found guilty of systematic child abuse.

National oppression has prevented the Irish working class from being an organic part of the growth of the British working class movement which means it has never availed of its strengths while it has on the other hand imported and copied all its weaknesses, including economism and trade union type politics.

Upon this weakness of the working class has been built its political subordination; its domination in the South until recently by the bourgeois Fianna Fail and its saturation by sectarian politics in the North.  Without a strong socialist tradition the periodic shifts away from the traditional parties can go in almost any direction.

In the last election the Left captured the vote of a small bit of this but the apolitical and clientelistic character of Irish politics affects the Left.  This and the state-centred nature of its politics is the basis for the chronic sectarianism that has shattered the alliance the Left had formed.

As Marx said the growth of sectarianism is in inverse proportion to the development of the class as a whole and the weakness of the class is the fertile ground on which the narrow and blinkered outlook of much of the Left has been established.

So what we have had is an historically weak working class.  During the key episode of political struggle around and after the First World War it was subordinated and subordinated itself to bourgeois nationalist or sectarian forces.  The victory of the most reactionary of these forces combined with retarded economic development prevented the growth of a strong working class movement thereafter. The Irish state did not participate in the Second World War so its working class missed out in the radicalisation that accompanied it in many countries.

Marx however called capitalism a revolutionary mode of production that continually creates and recreates the working class.  While this historic political weakness weighs on today’s generations the system throws up new industries, new work relations, new circumstances enabling economic growth and new forms of working class development.  The historical development of the Irish working class during the 19th and much of the twentieth centuries cannot explain the current lack of combativity of the Irish working class because this combativity is capable of being changed and transformed.

The Irish working class continued to develop after the Second World War but this subsequent development did not create a break from its historic political weakness and to the extent it has not done so the weight of history continues to oppress.

 

What way forward for the Dublin Bus workers?

482013-dublin-bus-strike-members-of-siptu-and-3-630x484In August drivers at Dublin Bus went on strike in opposition to yet another proposed cost cutting exercise in the company totaling €11m.  Subsequently a group comprising the Government, the Irish Congress of Trade Unions and the employers’ body IBEC, joined together to carry out an investigation into why Labour Court recommendations about cost cutting proposals had been consistently rejected.

From a workers’ point of view it is difficult to know where to start in responding to such an initiative.  ICTU joined with those seeking to cut terms and conditions in order to investigate why workers hadn’t done as they were told by management.  It might have been thought that unions were there to see how workers could defend conditions but the combination involved of bureaucrats, bosses and government have been engaged in a conspiracy against the decisions of the workers.

This is dressed up as concern for the drivers themselves –  the Minister for Transport Leo Varadkar and the Minister of State Alan Kelly have said that the investigators had worked independently “in an honest attempt to address the concerns of drivers”.  But addressing the concerns of drivers for these independent experts means that “We ask the drivers to agree to the final proposals.”  In other words the drivers are to do as they are told.

And if they don’t the workers are threatened – “We are clear, however, that the outlook for Dublin Bus and its employees is very stark if this final effort does not succeed.”

To appreciate what ICTU has done it is best to consider what it didn’t do.

ICTU didn’t commit itself to an investigation to ascertain if the claims by management about the financial position of Dublin Bus were correct.

ICTU didn’t investigate why the major concessions made by drivers in at least two previous productivity/cost-cutting agreements have failed to resolve the company’s financial crises despite management assurances to the contrary. Why are they threatened by yet another cost-cutting exercise?  Has management lied about the promised effects of previous cuts or has it just been incompetent in developing a robust plan for the company?

ICTU didn’t investigate whether the support of bus services by the State was comparable to that in other states, whether the Government had any coherent transport plan for the capital or had taken adequate account of the role that transport plays in providing the infrastructure necessary for an efficient and prosperous society.  Whether instead it had taken a narrow view of the company’s profitability without regard to wider benefits to society.

ICTU didn’t seek to collaborate with all the unions involved to determine a strategy that could assert and defend the bus drivers’ rights.

ICTU didn’t seek to rally together the bus unions, wider union movement and the users and potential users of the buses to initiate a campaign for an efficient, sustainable and decent bus service.

ICTU could have done lots of things and had plenty of alternatives but it decided to conspire with the bosses’ organisation and State to threaten the drivers. And it did it in plain sight.

When you think of it this way the actions of ICTU are shocking.  But they don’t shock and they don’t surprise and they don’t do these things because workers have long got used to the fact that this is the way ICTU behaves.  So registering anger and pointing out that ICTU are engaging in an act of betrayal is hardly enough.

Do socialists have an alternative?

The first and most important thing to understand is that socialists have no alternative unless workers decide to take matters into their own hands.  The first step is therefore that workers fight to win ownership and control of their own struggles through ownership and control of their own trade unions.

In so far as the steps that ICTU should have taken are political ones, workers need to create their own political party.  This of course is a longer term requirement only in the sense that it can realistically be achieved only over a number of years.  And while the building of a genuinely democratic and militant trade union movement is also not an immediate prospect it is one that is immediately posed.  In other words the fight to create it is always present, which means we must fight for it now.

These should be central tasks of Irish socialists and outside of them the debate about unity of the Left is pretty well irrelevant.  If the Left wants to unite to build itself, unless this is a task to be achieved through the organisation of the working class itself, it will be sectarian.  Left wing unity and political sectarianism are not mutually exclusive.

On the other hand genuine unity around such a task, achieved through democratic organisation, which alone can achieve it, would act as a beacon, however small, for workers in struggle.

In order to create it however we need to ask why we need such a movement.  Why is the current movement inadequate, even treacherous, and what would a new one do?  We need these answers in order to persuade workers to undertake the task of creating one.

So how do the ideas of socialism relate to the predicament facing Dublin’s bus workers?

First we should recognise that their repeated willingness to oppose management’s plans is the indispensable basis for any alternative.

Secondly we should inform workers that militant strike action by them will not be enough.  As Marx and Engels repeatedly stated, strikes are often provoked by bosses in order to facilitate their own plans.  Often they serve to save money, implement lock-outs and close workplaces.  In Dublin Bus they will undoubtedly be used to blame workers for the financial difficulties the company is in. Strike action is insufficient and is not the only action that can be taken.

Do workers have an alternative solution of their own that could be put forward?

The first step in creating such an alternative would be to establish the real financial position of the company, which is what ICTU should have done.  This would include an assessment of the support given to Dublin Bus by the state.

The second is to establish what sort of service should be provided and how it should be delivered.

The third is to determine whether the workers themselves can offer their own model of ownership to deliver this sort of service.  Privatisation and continued state ownership both offer the same prospect of cuts in workers’ conditions.  Reliance on state subsidy should be recognised as a weakness in the workers’ position.  Dependence on the state, the ally and protector of the bosses, is reliance on precisely those that are insistent that the cuts be implemented.  That these cuts must be made prior to privatisation is demonstration that both the bosses and state recognise that it is the latter which is best placed to reduce workers’ conditions.

The fourth is to publicise and win support among other workers and the travelling public.  Other forms of action could be considered to achieve this such as providing ‘free travel’ days.  Only a campaign structure going outside the confines of trade unionism could make such a campaign a reality.

It is no great feat of criticism to describe these steps as schematic or abstract.  Only a really existing movement could make them anything else.  Schemes, or plans, are there to be proposed and debated, discarded or modified as real, active workers determine.  They sometimes abstract from the concrete realities of the situation, which give abstractions content, and become simply propaganda, usually when those with ideas lack the power to implement them.  Propaganda however is almost everything when you have little else, which is where socialism in Ireland is at.  Ideas are critical when an idea of how to fight back is the element that is missing from struggle.

The point of the commentary above is to inform workers and socialists that a certain understanding, class consciousness, is required to see any way out of the struggle that the bus workers find themselves engaged in.

One thing is for sure; the answer to the bus workers needs has been proved not to reside with management, the state or with ICTU.  The second has yet to be proved – that it resides with the workers themselves and in the strength and solidarity that they can muster.

Why have the Irish not revolted? Part II

imagesausterityIn my first post I qualified the view that there was something particularly weak in the resistance of Irish workers to austerity but argued that nevertheless an explanation is needed.  To develop this further we need to ask what this austerity has involved.

Some commentators would have a ready explanation.  In terms of the share of taxation in Gross Domestic Product (GDP), in terms of the share of Government spending in GDP and overall deficit as a percentage of annual value added there has not been ‘savage austerity’ so there has been nothing to rebel against.

Here unfortunately we have no choice but to enter the world of economic statistics where only the naive can expect clear objectivity and accuracy.

A post on the Irish Economy blog records that (adjusting the statistics for the well-known effect of foreign multinationals in the Irish State significantly overstating economic performance) living standards measured in GDP per person (in Purchasing Power Parity values) declined by 14 per cent from 2007 to 2011.  This is a bigger decline in living standards than in Portugal where the fall was only 1.6 per cent, in Spain where it was 4.9 per cent and Greece where it was 8 per cent.  In terms of national income (another measure) the drop was bigger – 20 per cent – and it will have fallen further since then.  It would appear that the relative quiescence of Irish workers needs additional explaining.

But does it?

Any Irish statistic that uses GDP is immediately suspect for the reason above but not only because of this.  GDP is a measure of value added which means the 2007 figure will include property produced at vastly over-inflated values.  Houses and offices built and priced at one value will have been shown subsequently to have been worth 50, 60 or 70 per cent less, or sometimes to be completely worthless.  A moment’s thought reveals that this is not a characteristic simply of Irish statistics but of measures of capitalist production everywhere.

When we think of the effects of the banking industry on measures of economic growth we again see that this measure is seriously distorting, not only because of the difficulties of capturing accurately what is happening, but because of the nature of capitalist production.  This takes place through the production of commodities whose real value is only realised after production. The value of these commodities is elaborated through the workings of the market which reveals the socially necessary value of output in a cyclical fashion.

For economists wedded to capitalism recessions are always the result of exogenous shocks outside the system or of purely irrational behaviour within it, which amount to the same thing.  For Marxists the cycle of boom and bust is how the values of commodities are established and then re-established in a constant process.  By nature therefore there can be no precise measure of value produced at any one point in time or over any one period.

In figures for GDP the distinction between use value and exchange value is absent never mind any accounting for how really ‘socially useful’ the use values produced are – ghost estates and weapons compared to commodities actually consumed by workers. This is to be considered on top of the well-known criticisms of measuring living standards by GDP.

There are alternative measures we can review but before we leave behind this discussion we should appreciate that what we have been looking at is not simple mismeasurement of economic activity but one form of the appearance of real contradictions within the system.

From the point of view of our particular investigation we can make two points.  That a critical review of some of the figures means the boom was not as boomier (to quote Bertie Ahern) as some statistics might appear to show and the recession not as sudden and complete a reversal as might first appear.  The expectation of more or less immediate revolt might therefore be less justified?  Other evidence however might suggest that such a view should be considered a relatively minor factor.

Secondly, the constant reporting of such economic statistics plays an ideological role such that workers must accept real changes to their lives on the basis of these statistics.  Workers are subject to such pressures not just in the recession but also in the boom – encouraged to get into unsustainable debt for example.  To the extent that they do the latter they are then under ideological assault to accept that they, along with everyone else, ‘partied’ and went on a ‘mad borrowing’ frenzy, as Taoiseach Enda Kenny has put it.

Some commentators might argue that a recognition of ‘guilt’ has played a role in short-circuiting resistance but the existence of such undoubted views is as much a result of demoralisation as a cause of the lack of resistance.

There are other statistics we can look at to see if there are material reasons for the lack of opposition apart from this particular ideological one.

What appears a more relevant statistic is called Actual Individual Consumption which encompasses goods and services consumed by households including government services such as education and health provision.  This would appear to show that between 2008 and 2011 living standards in the Irish State fell more than in Spain and in Portugal but less than in Greece or Iceland.

Actual Individual Consumption

State

2008 index

2011 index

Percentage fall

Ireland

109

100

8.3

Spain

99

94

5.1

Greece

104

94

9.6

Portugal

84

82

2.4

UK

123

118

4.1

Iceland

122

107

12.3

 

This measure is made up of a component of GDP so is subject to some of the criticism above.  We have already seen that three different measurements of living standards result in reductions in living standards of 20 per cent, 14 per cent and over 8 per cent, depending on dates and the measurement adopted.

What we can say with certainty is that living standards fell abruptly and significantly due to the crisis and it is not obvious that the severity of the fall in any country determined the relative extent of opposition to austerity.  It is necessary before drawing any conclusions to look at what might be at least some of the components of the fall in living standards, not by any means only a result of the effects of Government austerity policies.

By one measure unemployment in the Irish State increased from 3.4 per cent in 2007 to 10.4 per cent in 2012, a tripling of the rate in only five years.  The economically inactive, which must contain many who have given up hope of getting a job, increased from 27.5 per cent of the population aged 15 to 64 to 30.8 per cent.

Using a different measurement unemployment in the Irish state was 13.5 per cent in January 2013 compared to 17.8 per cent in Portugal, 26.8 per cent in Spain and 27 per cent in Greece.  Clearly the crisis has hit the latter countries much harder than Ireland.  It is by no means clear that higher unemployment breeds resistance since its function under capitalism is to facilitate increased exploitation of the working class.  The mobilisation of the unemployed is not always for progressive reasons, which is one reason we have noted before that economic crises often breed reactionary movements.

Once unemployed some workers face the prospect of hardship and one measure of this defined as deprivation, or being without two or more basic items, has increased from 11.8 per cent of the population to 24.5 per cent in 2012.  The possibility of this is affected by the level of welfare an unemployed personmight rely upon and this is measured by the net replacement rate, or the payments due to the unemployed as a percentage of previous net income.  This obviously depends on whether the person has children or is married etc.

Net Replacement rates 2011

 

No children

2 children

Country Single person One earner

Married couple

Two-earner Married couple Lone Parent One-earner married couple Two-earner married couple
Republic of Ireland 50 81 75 64 75 81
Greece 49 54 75 58 63 80
Spain 79 76 90 77 75 89
Portugal 75 75 92 77 76 91

 

The table shows that Greece has significantly lower replacement rates than the other selected countries for most categories but that the Irish state’s is generally lower than Spain’s and Portugal’s.  It would not appear that the prospect of a more significant loss of income as a result of unemployment has spurred opposition in Ireland relative to that in Spain or Portugal.

The other obvious way workers cope with periods of unemployment is falling back on any savings that they have accumulated.  The following table shows the movement in net financial assets per person (€) in the various countries:

Country

2007

2011

Republic of Ireland

23,634

26,279

Spain

21,698

16,328

Portugal

19,950

19,750

Greece

19,681

10,105

Euro area (17 countries)

37,289

36,201

 

The table shows the Irish State to have the highest level of financial assets (though much below the Euro area average) and that this even increased between 2007 and 2011!  Since these figures say nothing about the unequal distribution of wealth and we know that many have suffered unemployment, cuts in wages or tax increases, it is clear that certain sections of Irish society are bearing up quite well.  In the other countries financial wealth fell and in Spain, but particularly in Greece, fell quite dramatically.

Such average figures hide as much as they reveal.  Average household disposable income in the Irish state fell from €49,043 in 2008 to €41,819 in 2011 but this was still significantly higher than in 2004 when it was €38,631.  Right wing commentators have often made the observation that incomes have often just gone back to such and such a date and we are all much better off than before the boom kicked off in the first half of the 1990s.  This is undoubtedly true for many but doesn’t provide an answer why as a class Irish workers have resisted austerity so weakly, unless the argument is that expectations have very quickly reduced.  Is this however another result of defeat or a contributing factor to it, or both?

Averages can obscure because it is precisely the unequal incidence of the effects of capitalist crisis that can have decisive political effects.

Unemployment has increased dramatically but its incidence is not uniform.  Employment in construction has collapsed, from 258,000 at the start of 2008 to 102,000 at the end of 2012, a fall of over 60 per cent.  Over the same period employment in the state sector fell from 417,000 to 381,000, a fall of 8.6 per cent.  The pitting of private sector workers against those in the public sector was a clear strategy of the Government, the employers and the media and it was quite successful.

But this has not been the only divisive effect of the crisis.  Rates of unemployment among young people in Ireland, just like other countries, have been much higher than the general rate.  In the Irish state the rate of unemployment among those less than 25 years old was 26.6 per cent in April this year while it was 42.5 per cent in Portugal, 56.4 per cent in Spain and 62.5 per cent in Greece.  These are truly staggering figures.  The rate of long term unemployment has increased from 29.2 per cent of total unemployment at the start of 2007 to 45.5 per cent at the end of 2012.  What this should remind us, is that unemployment is a divisive imposition of the effects of capitalist crisis that impacts not only on those without a job but also those in employment.  Emigration has returned and is continuing to increase, up from 87,100 in the year to April 2012 to 89,000 in the year to April 2013.

None of these figures illustrates the hardship caused by tax increases and public expenditure cuts that can affect the most vulnerable the most.  They do not include the effects on people’s experience of negative equity, the full effects of which have yet to hit home.  Here again it is younger people who are more likely to be in negative equity and to be in arrears in their mortgage payments.  And of course the figures do not tell us that the results of the crisis and austerity are to be here for a long time.

Over 32 people were unemployed for each job vacancy in 2012, while the figures for Spain and Portugal were 72.6 and 90.4 respectively.  The General Government Debt as a percentage of GDP was 117.6 per cent in 2012 while the 2012 EU Fiscal Compact stipulates that where this is above 60 per cent it must reduce by 1/20th per year.  In 2012 the in-year Government deficit was 7.5 per cent which means the debt was not getting smaller but getting bigger.  Normally optimistic forecasters are predicting that unemployment, as measured by the International Labour Organisation methodology, was only to reduce from 14.7 per cent in 2012 to 13.9 per cent in 2014.

So what are we to make of all these figures?

The fall in living standards has been significant even if not so sudden or large for some sectors of society as others and not on the same scale as some other countries such as Greece.  Certainly the disproportionate effects on young people and rise in emigration have blunted resistance but these factors exist on the same or greater scale in some other countries in Southern Europe where resistance has been greater.

It is not therefore the effects of the crisis themselves that explain the response even if these act to weaken certain social and political reactions.  The left wing economist Michael Taft has claimed that the ‘squeezed middle’, the 4th to 8th deciles of income earners, suffered declines in direct income in the five years leading up to the crash, gaining only as a result of social transfers.

During the boom the level of trade union organisation fell relatively as union density dropped from 46 per cent of the workforce in 1994 to less than a third in 2007, and only 16 per cent in the private sector.

Thus even during the most favourable circumstances, when workers are best placed to protect and advance their living standards, they were unable to do so with their own strength.  During recession such weakness is exposed.

Now they are subject to the vicious laws of the capitalist market and, as we said in the first post, short of overturning the system there is a limited amount workers can do about this without challenging the system itself.

During this post I have said that workers have not resisted austerity but in truth the great mass of unemployment, insecurity caused by mortgage arrears and negative equity, and the drop in personal consumption are not so much the result of the austerity policies of the Government, which of course have made things worse, but of the capitalist crisis.  This crisis can in certain circumstances be postponed or ameliorated by the State but it cannot be suppressed and certainly not by a State in bankruptcy.

When even during the boom large number of workers dependency on this state increased rather reduced and rather than their developing their own independent power, it can be little surprise that when the state turns round and kicks them in the teeth they are unprepared.

Some socialists argued again and again during the boom that social partnership, the vehicle by which the Irish trade unions hitched themselves to the State, was to be opposed not mainly because it prevented workers making gains in their living standards that they should but because it rotted away their independent organisation.  This has not just organisational consequences but political and ideological ones and it is to these that I need to look at next.

Why have the Irish not revolted?

Public-service-workers-st-006The defeat of the opposition to the property tax and the ability of the Government to impose a second Croke Park austerity deal might lead many to conclude that resistance to austerity has been defeated.  Even before this many have commented that while Greece has witnessed violent protests and numerous general strikes the absence of such events from Ireland is notable and remarkable.  General strikes have also taken place in Spain and Portugal but not in the Irish State.

The relative electoral success of the United Left Alliance appeared to blind some to this but the collapse of the ULA has simply confirmed what is more generally understood to be the case.  More and more it is acknowledged on the Left that we have to face the reality as opposed to perennial false claims that an upsurge is taking place or is just around the corner.

Realistic assessments of the state of workers’ action have often been drowned out by childish claims that this shows one is insufficiently revolutionary, underestimates the workers , their ability to change their ideas quickly or that such views will not encourage workers to take action.  Not in front of the children appears to be the motto.  Workers are always ‘angry’ and all it needs is the right campaign, so long as it is active enough, to stir them into action.

Reality is imposing itself and no sound bites along the lines of ‘the darkest hour is just before dawn’ can hide the fact that the economic crisis has resulted in the imposition of austerity on workers without effective resistance.  Why is this?

First we must qualify the judgement that Irish workers are peculiarly useless.  Commentators have remarked in similar terms about the countries in southern Europe.  We have noted before that more or less spontaneous social explosions have not resulted in great advances by the working class.  Greek workers have been by far the most combative in terms of general strike action but in hardly anywhere has living standards plummeted so much.  I have also noted in one of my first posts that economic crises spurs growth in extreme reactionary forces and we have seen this is in Greece with the rise of the Golden Dawn movement.  So Greece is no model to seek to copy.

Secondly Irish workers have fought back albeit within very strict limits.  I can still remember the very large demonstration in November 2009 in Dublin, which had many working class people from outside the ranks of the trade unions taking part.  The following year public sector trade unions organised a successful strike.  At a local level in certain places and at certain times strong campaigns have developed against tax increases or hospital closures.  All this and more was reflected in the vote for ULA.

There is however an over-estimation about what workers can achieve within the limits of the capitalist system – a general misconception that workers’ struggles can overturn the laws of capitalism.    For example, if a company goes bust and attempts to close down, making all its workers redundant, it is pretty obvious that strike action will not achieve very much.

At this point many on the left propose that the capitalist state protect workers even though these same people have a part of their brain that tells them that the state is a weapon of the capitalist class that cannot be reformed and must be smashed.  They also believe that the emancipation of the working class must be achieved by workers themselves but usually object to the idea that, instead of the state, the workers should take over and own and run these workplaces as workers cooperatives.

It is a similar situation at the level of society as a whole and at an international level.  The Irish state was and still is bankrupt.  It needed a massive injection of money to save the banks and put itself in a position to start reducing its mushrooming debt.  Austerity is a means of doing this.  Again the Left argues that the state can adopt policies of taxing the rich and spending money on investment that will restore the capitalist economy to economic growth, which will then deal with the problem of the debt.

This is not however the view of socialists.  The socialist view, confirmed once again by recent events, is that capitalism inescapably produces economic crises which are dealt with and resolved by the laws by which the system works, including through unemployment and destruction of unsuccessful capital whose markets and sometimes businesses are picked up on the cheap by those remaining.  It is not possible for the capitalist system to prevent such crises by adopting policies of more investment, as for example argued by left followers of Keynes.

It is not therefore possible for workers no matter how well organised to prevent the laws of capitalism from working.  This at least was the view of Marx and the evidence of history would again confirm this.  So workers resistance against austerity may be able to ameliorate austerity but, in so far as they are necessary to lay the foundations of a new upturn, it is not possible for workers to prevent unemployment or wage cuts or tax increases in their entirety or even to a significant degree.  In other words it is not possible within the system to prevent capitalism periodically disrupting workers’ lives.  That’s why we oppose the system and why we propose a different one called socialism.  If we thought capitalism could work better without its nasty effects we wouldn’t be socialists would we?

Yet the left presents austerity as simply one policy option of the Government which it could choose to reject and replace with their own proposals.  But even the Keynesian alternative requires ‘counter cyclical’ state action.  In other words the austerity measures are simply postponed.  All the left’s proposals involve actions by the capitalist state in one way or another – tax changes, public investment, nationalisation etc.

The point in terms of the current argument is not that the Left is misleading workers into accepting reformist solutions that won’t work and this is a reason why resistance to austerity has been such a failure in Ireland.  These ideas are more widespread in southern Europe than they are here.  No, the issue is that, absent a socialist alternative being created, as long as capitalism exists the laws of capitalism will continue to work and impose themselves.  Resistance to austerity will therefore fail and this failure is bound in turn to lead to weakening of the resistance.

We must be careful however not to qualify the problem out of existence when it contains more than a grain of truth.  When Greek workers chanted “we are not Irish” on their May Day demonstration in Athens in 2010 they weren’t imagining the relative weakness of resistance in Ireland.

Nor can the question be dismissed by saying Irish workers did fight back – they did, but nowhere near to the extent required for success.

Nor is it credible to blame the poor politics or organisation of the Irish Left.

It is also not adequate to simply say that capitalism wins unless we create socialism. This is obviously true, although its logical implications for reformist strategies and policies are often ignored.  But it doesn’t come near explaining why the reformist strategies for resistance have elicited such weak workers’ action.  It’s hardly that Irish workers can see through such strategies and are ready for something more radical.

Socialism is not an event or a situation but a movement. Workers will only become capable of building a socialist movement and carrying out revolutionary change if they are also capable of mounting strong resistance to the ravages of capitalism.  In Ireland this hasn’t happened and there has been a retrogression of the small socialist movement, although this in itself is not particularly new.

So in Ireland the state has been able to pursue austerity policies that increase unemployment and wage restraint in order to restore its solvency in very much the same way capitalist crises work to   restore profitability in the private sector.  It has been able to do so without much of the resistance shown in other countries in a very similar situation.  This remains to be explained.

To be continued.