The Liberal Compromise

Fascism is not only a grotesque exaggeration of the worst elements of bourgeois society. As a popular tendency, it is a response to the same contradictions that generate left radicalism: poverty, powerlessness and alienation. It is the manufactured scarcity of capitalism that opens the door to a fascist solution.

As a form of government, fascism is not the bourgeoisie’s first choice, of course. It is an unstable system prone to cronyism that places certain limits on the market. So, like the boss who wants you to try for a promotion rather than organizing a union, liberalism first tries to resolve its contradictions through expansion. This could mean economic growth through technological upgrading, or stimulation of new needs and desires to create new consumer markets, or it could mean capturing new markets through war and trade agreements. As long as the pie is getting bigger, tensions over who gets the biggest piece are diffused.

The contradiction of liberal capitalism played out in real historical time. To stabilize its own rule in the wake of the Great Depression and World War II, liberal capitalism accepted a degree of regulation, establishing norms necessary for more-or-less long-term operation of a market, and setting up a system that could compete economically and ideologically with international socialism. This took the form of the New Deal and the Keynesian welfare state, a compromise that institutionalized class struggle to boost consumption.

In the United States, some — mostly white, mostly male — workers were granted some rights under the National Labor Relations Act. Domestic workers and farm laborers were excluded, a concession to white supremacist political factions. This was a far more soft-serve version of the inclusion/exclusion from representation that also characterized the fascist system of labor control of the same era. It was also premised on loyalty to the capitalist state. The leaders of the major union federations were granted seats at the table, in exchange for expelling Communists from their ranks and adopting a depoliticized approach to labor relations.

After World War II, the US exported this New Deal model of labor relations through its reconstruction efforts in Western Europe and East Asia. For around thirty years, workers were rewarded for their loyalty with wage increases that matched growth in productivity. For the most part, this resulted in an apolitical acquiescence to life under capitalism. By the end of the twentieth century, liberalism seemed to reign triumphant. Some claimed that liberal capitalism was the End of History, that the age of extremes had definitively passed. Both socialism and fascism were consigned to the dustbin. Under the leadership of the WTO and the largest of the Western corporations, humanity was to march onward into a glorious consumerist future with McDonald’s, Starbucks and Apple products for all.

How wrong they were.

Post-Liberalism

Everywhere, authoritarian regimes are winning out over centrist liberalism. The Chinese model of development — an authoritarian state with just enough market relations to fill the pockets of a kleptocratic elite — has become the dominant development paradigm for much of Asia and Africa. Western corporate elites have watched jealously as mega-projects and mega-profits that would take years of political wrangling in the capitalist core get the green light in China. Nevertheless, most sectors of capital still seem to prefer Clintonite liberalism to Trumpian fascism, or certainly to Bernie Sanders’ social democracy. But increasingly, the centrist option is off the table, for reasons of the bourgeoisie’s own doing.

The triumph of liberalism in the 1990s belied its own decay. Since the 1970s, global capital has sought to dismantle the liberal welfare state and put more and more social goods (such as education, healthcare and what remains of public housing) on the market through “structural adjustment” and austerity.

The decay of the liberal system is nowhere more evident than in labor relations. The stable system of collective bargaining put in place by the National Labor Relations Act was under attack from the far right since its inception — but has been most effectively undermined by the liberal center since 1981. In that year, Reagan fired striking air traffic controllers in the PATCO union, signaling open season on the labor movement. Workplace-level union-busting, the use of scabs to break strikes, automation and outsourcing all drove unionization rates in the United States down from around 30 percent in the 1950s, to barely 10 percent in 2017. Behind this evisceration is a shift in ruling-class strategy from grudging acceptance of unions in the system of labor control, to direct domination of each individual worker through “Human Resources Management.”

As a result, the standard of living in the capitalist core has undergone almost half a century of decline. This has paralleled the decline of the United States as the hegemonic power in the global political economy. As this decline continues, workers in the capitalist core of all income levels have begun looking for alternatives to neoliberal politics. The mythology of the American Dream no longer works its magic of erasing class antagonisms.

Today, the body politic is afflicted with a dysphoria — a disconnect between the lived experiences of the working class, and the political and cultural representations with which hegemonic liberalism seeks to interpellate them. The Clintonite slogan “America Is Already Great” does not resonate with workers who see themselves making less money than their parents’ generation. The cultural disjuncture leads to a political rejection of corporate liberals. A new political subject is waiting to be called into existence. The depoliticization of life that accompanied the postwar liberal settlement is over. The center cannot hold. Everyone is picking a side.

Neoliberalism promises more of the same, fascism promises “economic nationalism” and a return to a mythologized past, a democratic socialist revival bids for a return to some form of social democracy. But once again, the discontinuities of these ideologies with liberalism are not as strong as their continuities. Both the fascist ideology of Trump and Brexit, and the social-democratic revivalism of Bernie Sanders and Jeremy Corbyn are post-liberal, in that they are symptomatic of the breakdown of the liberal order. But they are also post-liberal, in that they fail to break with the fundamentals of liberal capitalism: private ownership of the means of production, wage labor and markets as a means of distribution. It is these fundamentals of capitalism which brought us to the crisis of neoliberalism, and any movement that is unwilling to challenge these fundamentals will ultimately bring us more of the same.

In some cases, the post-liberal left wins or makes important gains in elections — Syriza and Podemos serving as the most prominent examples. But their victories tend to be short-lived. Without willingness to fundamentally break with neoliberal capitalism, it is not long before voters realize that they have elected a non-solution, and turn once again to the right. The failure of the left to offer an anti-systemic alternative is what brought the fascist right to power in the United States and threatens to do the same in other places across the world. Now we need to figure out what exactly to expect, and how to fight to win.

The Other Workers’ Movement

True to form as fascists, the Trump regime has set to work recasting the boundaries between self and other in the United States. It is a project of scapegoating, and of legitimizing the repression of labor and social movements. Unlike its 1930s antecedents in Germany, Italy or Spain, Trump’s cartoonish fascism has not had to ban the unions and set up new ones under direct control of the state. There is no need for a new fascist system of labor control, because under neoliberalism the United States already has one.

Since the 1980s, most workers’ organizations have already been liquidated. Most workers are subjects of a capitalist dictatorship in the workplace, and millions have long been excluded from even the most basic guarantees of liberalism: to be paid for your labor, to not be summarily executed by police, to be accorded due process rights. There is a new intensity and scale to these attacks, but the line of attack itself is not actually new.

The “official” workers’ movement has largely failed to resist attacks old and new. Under Trump, the labor movement has gladly divided and conquered itself, with the heads of building trade unions meeting with Trump and sycophantically glowing over the “respect” he showed them, while he prepares orders to deport millions of immigrant workers and deprive millions more citizens of their rights. Many unions simply seem to be hoping for the best, while failing to prepare for the worst. Others refuse to publicly attack Trump in the hopes of cutting some sort of deal. But no matter how close some unions get to the boss, they cannot escape the fact that their organizations are in the crosshairs more than ever. Trump’s fascism seeks to finish off the legal framework of labor relations under postwar liberalism, dealing the coup de grâce to an institutional labor movement that has long been hemorrhaging members.

The resistance is therefore in the “other” workers’ movement — among those who never were included in the legal mechanisms of the compact of postwar liberalism in the first place, such as immigrant workers, the unwaged labor of women, and students. They are joined by a new “other” workers’ movement: the rebel rank-and-file of the institutional unions, such as teachers and public sector workers, and increasingly, self-organized groups of workers who have never belonged to a union. As the state falls under the sway of fascist control, the weapons of this resistance are increasingly extralegal: from protests to strikes, highway blockades and physical confrontations.

While increasingly bold in tactics, resistance to fascism is so far largely conservative, in the true sense of the word: it seeks to conserve the liberal order. Until now, its battles have been mostly defensive, and if they are won, will merely put liberals back in power. The real destruction of fascism can only be accomplished by a new workers’ movement, unencumbered by the sacred cows of the bureaucracies that grew up under corporate liberalism. It is in the “other” workers’ movement that a radicalism beyond liberal capitalism can be imagined, and it is with the forces that we build with our own hands that it can be won.

How do we win this fight? The tasks are largely the same as before, but with a new sense of urgency, and in conditions of heavier repression. As before, we must engage millions in the fight for a different future. No true revolution is possible without mass participation. We must build a vast network of workplace and community-based organizing committees that make a general strike possible. We must also be prepared to go beyond a general strike, to build dual power through worker and community assemblies that will replace or transform the state with a true democracy. This is a struggle not just to restore the old world-system, but to build a new one. This is the time to be revolutionaries, to fight to win the world we actually want.

Calamity of epic proportions awaits millions in the working class. Deportations, intensified exploitation at work, the destruction of our life-giving planet, vigilante attacks, refugee crisis, resurgent misogyny, transphobia and racism, and the threat of inter-state war. It is already too late to prevent much of this. But it has always already been too late. Untold tragedy is the legacy of liberalism, and of every return of fascism. That is why we fight for the future. That is why we fight to win.