Labor in the Era of Globalization
By Scott Marshall
Up until the early 1990’s the socialist camp including the Soviet Union acted somewhat as a brake on imperialism and on capitalist globalization. In addition to checking military domination and adventures, as trading partners the socialist bloc also provided the means for many developing countries to resist and/or minimize unfair trade and the penetration of foreign capital.
The collapse of socialism in Russia and Eastern European countries released a tremendous capital scramble and global competition for markets. Under a banner of capitalist triumph, deregulation, privatization and unfair, predatory trade agreements swept much of the planet.
To be sure, the technological and communication revolutions that feed and accelerate globalization were already well developed by the 1990’s. Capitalist globalization with its free flow of capital around the world began much earlier, but it took on new aggressiveness and clearly accelerated with the collapse of the socialist bloc. And without the socialist system acting as a brake, US capital became the undisputed top dog – protected and developed by the world’s single remaining military superpower.
Lenin made it clear in his Imperialism: the Highest Stage of Capitalism, that imperialism is not a policy. It is a stage of capitalist development, an objective process. The same is true of capitalist globalization. It is not a policy of this or that government. It is an objective process of transnational capitalist development. This distinction is important to understanding the class struggle today. While government policy can impact on how capitalist globalization proceeds, as long as capitalism is the dominant economic system, its globalization will continue.
The process of capitalist globalization is important context for understanding the labor movement in the US today. How did we get here? Why such a decline in union membership in the last 35 years? Why such a steep decline in industrial union membership with plant closings etc.? Why have so-called “free trade” agreements like the North America Free Trade Act (NAFTA) become such a big deal for labor? What is behind all these sharp debates within the labor movement?
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