Labor spying in the United States facts for kids
Labor spying in the United States had involved people recruited or employed for the purpose of gathering intelligence, committing sabotage, sowing dissent, or engaging in other similar activities, in the context of an employer/labor organization relationship. Spying by companies on union activities has been illegal in the United States since the National Labor Relations Act of 1935. However, non-union monitoring of employee activities while at work is perfectly legal and, according to the American Management Association, nearly 80% of major US companies actively monitor their employees.
Statistics suggest that historically trade unions have been frequent targets of labor spying. Labor spying is most typically used by companies or their agents, and such activity often complements union busting. In at least one case, an employer hired labor spies to spy not only upon strikers, but also upon strikebreakers that he had hired.
Sidney Howard observed in 1921 that the labor spy, "often unknown to the very employer who retains him through his agency, is in a position of immense strength. There is no power to hold him to truth-telling." Because the labor spy operates in secret, "all [co-workers] are suspected, and intense bitterness is aroused against employers, the innocent and the guilty alike."
Historically, one of the most incriminating indictments of the labor spy business may have been the testimony of Albert Balanow (some sources list the name as Ballin or Blanow) during an investigation of the detective agencies' roles during the Red Scare. Albert Balanow had worked with both the Burns Detective Agency and the Thiel Detective Agency. Balanow testified that the Red Scare was all about shaking down businessmen for protection money. "If there is no conspiracy, you've got to make a conspiracy in order to hold your job."
The sudden exposure of labor spies has driven workers "to violence and unreason", including at least one shooting war.
Definition
Labor spies are usually agents employed by corporations, or hired through the services of union busting agencies, for the purpose of monitoring, disempowering, subverting, or destroying labor unions, or undermining actions taken by those unions.
[The labor spy] capitalizes the employer's ignorance and prejudice and enters the [workplace] specifically to identify the leaders of the Labor organization, to propagandize against them and blacklist them and to disrupt and corrupt their union. He is under cover, disguised as a worker, hired to betray the workers' cause.
Labor spies may be referred to as spies, operatives, agents, agents provocateurs, saboteurs, infiltrators, informants, spotters, plants, special police, or detectives. However, Dr. Richard C. Cabot, Professor of Social Ethics at Harvard, observed that labor spies are different from our normal view of detectives. While detectives investigate people suspected of crimes, the labor spy shadows and spies upon people who are not suspected of having committed any crime, nor are they suspected of planning any crime. During the mid-to-late-19th century, a period during which there was intense distaste for the detective profession, the Pinkerton and Thiel detective agencies referred to their field agents as operatives or testers. The Pinkerton logo inspired the expression private eye.
Operatives employed for labor spying may be professional, recruited from the public, or recruited from members of a particular workforce for a specific operation such as strike breaking. They may be directly employed by the company, or they may report to the company through an agency.
Some agencies that provide such operatives to corporations offer full protective and union busting services, such as security guards, training, providing weaponry (including, historically, machine guns), intelligence gathering, research, and strike-breaker recruitment services. Other agencies are more specialized.
Both the spy agencies and the companies that employ labor spies prefer to keep their activities secret. Some labor leaders have likewise sought to downplay the extent of industrial spying. This, in spite of the fact that "industrial spies have played both sides against each other, and have been at the bottom of a great deal of the violence and corruption of industrial conflict."
The companies seek to avoid embarrassment and bad public relations. The spy agencies also concern themselves with "possible danger attendant upon discovery, and second, because the operative is thereafter a marked man ... his usefulness to the Agency is ended." Therefore, actual labor spy reports, and even records of their existence, are a rare commodity.
Corporations are not subject to freedom of information requirements or sunshine laws, and therefore corporate practices such as spying are rarely subject to public scrutiny. However, historic examples of labor spying that have come to light provide a fairly substantive overview.
Labor spy techniques
Labor spies may employ techniques of surreptitious monitoring, "missionary" work, sabotage, provoking chaos or violence, frameups, intimidation, or insinuating themselves into positions of authority from which they may alter the basic goals of an organization.
As one example of the impact of spying, a union local at the Underwood Elliot Fisher Company plant was so damaged by undercover operatives that membership dropped from more than twenty-five hundred, to fewer than seventy-five.
A historical overview
As early as 1855, the Pinkerton National Detective Agency provided "spotters" to expose dishonest and lazy railroad conductors. However, the program unraveled when, after a train accident in November 1872, papers found on the body of a Pinkerton operative revealed that the agency had been using deceitful practices.
In 1869, garment workers formed the Noble Order of the Knights of Labor as a secret labor organization, largely in response to spying by an employer. The resulting blacklist had been used to destroy their union.
At an 1888 convention of the Brotherhood of Locomotive Engineers that was held in Richmond, Virginia, delegates organized a special committee to search out hiding places that might be used by labor spies. They discovered a newspaper reporter, and determined to hold meetings behind closed doors. Note-taking was forbidden. Their concerns were justified, but the effort failed; two Pinkerton operatives had infiltrated the convention as delegates from Reading, Pennsylvania. They composed elaborate reports on all the issues and discussions and recorded all the minutes of the meetings at the convention.
Beginning in the latter decades of the 19th century, agencies that supplied security and intelligence services to business clients were essentially private police forces, and were accountable only to their clients. The private police agencies declined with the development of professional public police departments, but they continued to be employed by mine owners in "frontier environments" well into the 20th century.
By the dawn of the muckraking era, employers increasingly turned to espionage services.
By the 1930s, industrial espionage had become not just an accepted part of labor relations, it was the most important form of labor discipline services that was provided by the anti-union agencies. More than two hundred agencies offered undercover operatives to their clients.
During the 1930s, thirty-two mining companies, twenty-eight automotive firms, and a similar number of food companies relied upon labor spies. A member of the National Labor Relations Board estimated that American industrialists spent eighty million dollars spying on their workers. General Motors alone spent nearly a million dollars for undercover operatives fighting the CIO during a two-year period. In addition to the Pinkertons, General Motors hired thirteen other spy agencies to monitor workers in its factories, and then used the Pinkertons to spy on operatives from these other agencies.
Between 1933 and 1935, the Pinkerton Agency employed twelve hundred undercover operatives and operated out of twenty-seven offices. The agency assigned agents to three hundred companies during the 1930s. In 1936 Robert Pinkerton announced a change of focus for the Pinkerton Agency. The days of strike-breaking agencies marshalling large numbers of strike-breakers to defeat strikes were over.
The National Labor Relations Act of 1935 outlawed spying on and intimidating union activists, provoking violence, and company unions. However, spying on workers and harassing them continued, according to testimony before congress in 1957. Other abuses by labor consulting firms included manipulating union elections through bribery and coercion; threatening to revoke workers' benefits if they organized; installing union officers sympathetic to management; and, offering rewards to employees who worked against unions.
In 1944, historian J. Bernard Hogg, surveying the history of labor spying, observed that Pinkerton agents were secured "by advertising, by visiting United States recruiting offices for rejectees, and by frequenting waterfronts where men were to be found going to sea as a last resort of employment," and that "[to] labor they were a 'gang of toughs and ragtails and desperate men, mostly recruited by Pinkerton and his officers from the worst elements of the community.'"
Agencies
Labor spy agencies included the Baldwin–Felts Detective Agency, Pinkerton National Detective Agency, William J. Burns International Detective Agency, Corporations Auxiliary Company, Sherman Service Company, Mooney and Boland, Thiel Detective Service Company, Berghoff and Waddell, and numerous others. Each of the named companies had branch offices in scores of American cities, frequently under disguised names.
