What is the relationship between private enterprise and labor unions in a workers’ state? The functioning of the New Economic Policy one year in.

‘The Russian Metal Workers’ Union and the New Economic Policy’ by W. Demar from International Press Correspondence. Vol. 2 No. 56. June 30, 1922.

I. The New Tasks of the Russian Trade Unions.

The new economic policy of the Soviet Government has been for a long time the subject of discussion and interest to the Western European proletariat. The new course is a temporary retreat. But not every retreat is a rout. The new economic policy of the Soviet Government is an organized withdrawal, a temporary concession to the capitalistic world which though not strong enough to overthrow the Soviet Government, has apparently still sufficient strength left to enable capitalism to continue its existence to the detriment of the working class and Soviet Russia.

In carrying out the new course, the Soviet Power led by the Communist Party, is in position to take all necessary measures with a view of reducing to a minimum the evil effects of the new economic life on the working class. As soon as the first effects of the new economic course were making themselves felt, the trade unions, decided upon very concrete changes in both their theoretical and practical programs, without limiting their activities solely to the existing Soviet legislation (labor code, etc.). The Communists differ from the Social Democratic bureaucrats in the European trade-union movement in that they never propose rigid organizational forms to the proletariat, but are always endeavouring to adapt the labor organizations to the concrete economic conditions of the particular period.

But it is not only the trade-unions that must shoulder this task; besides, it cannot be denied that the economic Soviet organs neither are nor can be quite perfect. The negative qualities of our practical organs often come to light in “the free play of forces” and in the competitive struggle. For this reason our trade unions must not only combat private capital but they must , under all circumstances, bring their influence to bear upon the State organs. There can be no doubt but that the Russian trade-unions, standing as they do on the basis of the Soviet system, will be more successful in eliminating the evil effects of capitalism than the Amsterdamers who favor capitalist reconstruction, in staying the tide of the capitalist offensive.

II. Organizational Measures.

To enable them better to execute the new tasks, our trade- unions carried out two basic organizational measures: voluntary membership and reorganization of the trade-union apparatus. Hitherto membership has been compulsory for all workers and employees in the process of production. We reverted to voluntary membership because under the present circumstances this method tends to enliven the activities of the working-masses within the trade-union organizations. The trade-union apparatus was reorganized by the All-Russian Mal Workers’ Union whose newly elected executive committee put into practice the projects elaborated by the old executive and approved by the Russian Metal Workers’ Congress (March 1st to 5th, 1922). In the new simplified apparatus of the Executive Committee, particular attention was paid to the selection of a qualified teaching staff, while the whole personnel of the union was reduced by 50 per cent.

III. Relations with Private Enterprises and the Wage Policy.

If an employer offends against protective regulations or does not pay the minimum wage decreed by the State, he is brought before the court by the union. If a private capitalist does not adhere to the collective agreement between him and the union, the latter may resort to the strike weapon, in case the board of arbitration fails to reach a settlement.”

Apart from wage regulations corresponding to the continuous depreciation of the rouble, it falls to the task of the union to conclude collective contracts not only with private capitalists but with the economic organs of the State as well. While the industry of the Republic was yet sufficiently centralized the State wage funds, (both in cash and in kind), were distributed along a well defined plan and with the active participation of the trade-union centers. At present, however, when many government-owned factories have been excluded from the scheme of State maintenance, and in view of the well-known decentralization of the industrial administration, the problem of how to fix wages again and how to pay them out became more difficult to solve.

Under the new conditions, the organ for distributing the wage funds is becoming an institution that decrees the official minimum wage. The union is, however, attempting to regulate the wage policy by means of awards and collective agreements and in accordance with the financial resources of the respective State employers or groups of employers (State trusts), and the situation prevailing on the market of the respective district.

IV. General Remarks.

One of the most important tasks of the union under present conditions is that of protecting labor, a task that is being energetically executed by the Locals which are especially guarding over the strict enforcement of the existing regulations on the part of private employers.

As the new registration of the members under the principle of voluntary membership is only beginning, there is no possibility of confirming the statements here made, by figures. The first returns of the new registration, however, sanction the conclusion that the membership will not suffer from the transition from the compulsory to the voluntary system, and that the union will very probably continue to embrace half a million organized metal workers.

International Press Correspondence, widely known as”Inprecorr” was published by the Executive Committee of the Communist International (ECCI) regularly in German and English, occasionally in many other languages, beginning in 1921 and lasting in English until 1938. Inprecorr’s role was to supply translated articles to the English-speaking press of the International from the Comintern’s different sections, as well as news and statements from the ECCI. Many ‘Daily Worker’ and ‘Communist’ articles originated in Inprecorr, and it also published articles by American comrades for use in other countries. It was published at least weekly, and often thrice weekly.

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