In August the Teamsters won a spectacular victory against parcel giant UPS. After a fifteen day strike it won concessions on a pay increase, the company’s pension fund, and the creation of 10,000 new jobs. However within weeks the union was thrown into disarray by a ruling that its leadership elections of late 1996 should be re-run.
In November, progressives within the union were further depressed by news that Ron Carey, the sitting President and reform candidate in 1996, had been barred from running for President again. An election date is still to be set as Carey’s 1996 election opponent James Hoffa Jnr is now being investigated for possible violation of election rules. In making sense of these developments it helps to know something of the union’s most recent past.
In 1989 the then leadership of the International Brotherhood of Teamsters (IBT) struck a deal with the US Department of Justice. The Government’s civil racketeering suit, accusing the union of being a wholly owned subsidiary of organised crime, was withdrawn in exchange for indefinite government oversight of union business. The union was placed under federal trusteeship. Three of the union’s six previous presidents had been jailed, another died under indictment for embezzlement, and one other led a drain on the union’s pension funds. An Independent Review Board was established to investigate corruption and to oversee the running of the union, including its elections.
The first such leadership election was held in 1991. It was the first membership election in the union for many years. Ron Carey, a New York union official since 1967, was the candidate supported by Teamsters for a Democratic Union (TDU). The TDU had been campaigning for reform and against corruption since the mid 70s. Most of Carey’s slate (though not Carey himself) were TDU members. The slate won reasonably comfortably in a three way contest, though the turnout was disappointing at 25%.
Carey and a new executive set about cleaning up the tarnished image of the union. The leadership’s limousines and jets were sold off, and the President’s salary was substantially cut. An organising campaign was embarked on and rank and file education became a priority, and for the first time in over twenty five years the union shifted its political support away from the Republicans to the Democratic Party. During the early 90’s IBT donated $2.5m to Democrat election funds. However, IBT local and regional structures retained considerable authority and funds. Many remained centres of power for the old guard.
By 1996, when the second membership election was held the old guard had mobilised to put up a serious candidate against Carey. He was Jimmy Hoffa Junior, son of notorious 50’s and 60’s IBT president who was presumed murdered by the mob in 1975. Carey and his slate won narrowly. Soon after the count was concluded in early 1997, protests were lodged by Hoffa’s camp concerning Carey’s funds. Months of investigations revealed a complex network of fund-swapping. Three Carey aides were found to have arranged legitimate contributions from the union’s general funds to three outside political action groups and then to have diverted money back illegally into Carey’s campaign fund. The three pleaded guilty to criminal charges and incurred hefty fines.
In September, the union was ordered to re-run its elections under strict conditions. The Independent Review Board initially found Carey to have been unaware of the transactions but later debarred him from re-running for “tolerating and engaging in extensive rules violations”. Most damaging was the implication of a number of other unions' senior labour leaders who are centrally involved in the trade union reform movement. No measures have been taken against them yet. The finding against Carey may well also delay the liberation of the union from federal trusteeship — an obvious prerequisite to the restoration of members’ control.
Despite all this the union’s progressive leadership is managing to sustain two critical rank and file campaigns — one against Coca Cola and one against trucking bosses. And the TDU appears to remain strong — having held a successful Convention in November, it has subsequently won elections in two key previously Hoffa controlled locals. The Teamsters were also critical in forcing Clinton to withdraw legislation in November that would have given authority to negotiate international trade agreements on a fast track basis and at the expense of labour.
Should Hoffa be cleared of the dozen or so charges against him the progressive camp within the union will have a massive struggle on its hands to win the next election. But a strong election slate is said to be in place and all hands will be on deck to ensure victory for the third time in a row. If Hoffa is barred from standing, as Carey has been, the slate is likely to have an easy victory.
The key challenge facing TDU members in particular and progressives in general within the Teamsters, irrespective of the outcome of next round in the leadership battle, will be to ensure the continuation of the democratisation process within the union at every level. Watch this space!