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INTERNATIONAL LABOUR
OFFICE
GENEVA

September 24th, 1920.

Studies and Reports
Series A
No. s

I 111 II III111 III I 11 II II

The Dispute in the Metal Industry in Italy.
Trade Union control of the Industry.

The movement which recently gave rise Lo the very serious
dispute between the trade unions in the metal and engineering
industries and employers' associations in Italy, started at the
end of June with the presentation to the manufacturers of
memoranda containing statements of the economic claims of
the workmen.
This dispute reached its climax on the 30th August. On
that date the workmen began to occupy the works and factories of Milan and undertook their direct management. The
lock-out proclaimed by the manufacturers produced no effect,
and in a few days the occupation of the factories extended
over the whole of Italy. In several towns the engineers and
foremen were called upon to remain at their posts in order
to permit of the regular continuance of work. A statement
issued by the General Confederation of Labour (Confederazione Generale del Lavoro), drawn up with the collaboration
of the leaders of the official Socialist Party, the representatives
of the Labour Offices (chambres de travail) and of the metal
workers' Trade Unions, theatened, in the event of resistance
on the part of the manufacturers or violation of neutrality by
the Government, to appeal to the whole force of trade unionism in the country with the object of securing collective administration and the socialization of all forms of production.
Towards September 10th the movement assumed a more
and more serious character. First at Milan, and then in the
other large industrial centres, other classes of establishments
in addition to metal works were occupied, and the representatives of the workmen's organisations emphasised demands
of a political rather than an economic nature. However, the
moderate views of the General Confederation of Labour, which
desired to keep the dispute strictly within trade union limits,
-SR/A2
OP. 1

— 2 —

triumphed on the 11th September over those of the official
Socialist Party which demanded an immediate revolution.
During the first phases of obstruction and occupation, the
Government maintained an attitude of almost complete neutrality, and contented itself writh hearing the arguments of the
two parties and taking extensive measures to assure public
order outside the works. Later the Government, through the
prefects of Milan and Turin, endeavoured to establish direct
contact between the representatives of the workmen and those
of the manufacturers, after having obtained from the latter the
promise not to insist upon the preliminary evacuation of the
factories occupied. On the 16th September, the Premier, Mr.
Giolitti, intervened personally in the dispute. He received at
Turin the leaders of the General Confederation of Industry
and of the General Confederation of Labour. The employers
agreed to the principle of control by the workmen in the
works, and Mr. Giolitti immediately appointed by decree a
joint Commission charged with submitting to the Government
concrete proposals for a law on these lines.
Negotiations between the metal workers and the manufacturers were then immediately resumed at the Prefecture of
Milan, and an agreement on economic questions seems, at the
moment of writing, to be imminent.

ORGANISATIONS OF ITALIAN METAL WORKERS
AND EMPLOYERS.

The trade union organizations of Italian metal workers are
four in number, namely :
The « Federazione Italiana Operai Metallurgici » (F.I.O.M.)
(Italian Federation of Metal Workers) affiliated to the General
Confederation of Labour ;
The « Unione Sindacale Italiana » (Italian Trade Union)
with anarchistic trade union tendencies ;
The « Sindacato Nazionale Operai Metallurgici » (National
Metal Workers' Union), with catholic tendencies ;
The « Unione Italiana del Lavoro » with republican-reformist tendencies.
The Unione Sindacale Italiana has very active groups in
Milan, Liguria and Tuscany among the miners. The Sindacato
Nazionale Operai Metallurgici covers the metal workers in the
province of Bergamo and in small industries. The membership
of the Unione Italiana del Lavoro is insignificant, especially
as regards metal workers. The importance of these three
organizations is very much less than that of the Federazione
Italiana O.pera Metallurgici (F. I. 0. M.). The struggle was
accordingly directed by the F. I. 0. M., whose general secretary is the Socialist deputy Bruno Buozzi.

3—

The manufacturers in the metal industry are organized in
the « Federazione Nazionale Sindacale dell'Industria meccanica e metallurgica » (National Federation of the Engineering
and Metal Industry).

THE FIRST PHASE or THE MOVEMENT : T H E MEMORANDA OF
THE WORKMEN'S ORGANIZATIONS.

The first phase of the movement opened on the 18th June,
1920, with the presentation to the National Federation of the
Engineering and Metal Industry (Federazione Nazionale Sindacale dell'Industria meccanica e metallurgica) at Milan, of
the memorandum of the F.I.O.M.1, followed by that of the
memorandum of the Unione Sindacale Italiana, of the Sindacato Nazionale Operai Metallurgici and of the Unione Italiana del Lavoro.
The memorandum of the F.I.O.M. is prefaced by a report
of its general secretary, Mr. Buozzi, in which the proposals of
the workmen are summed up as follows :
To standardise, in a manner compatible with the claims
of the different industries, the wage systems at present in
force ;
To equalise the standard rates of wages of similar categories of workmen in the different industries, taking into account
the special conditions of the industries themselves and the
cost of living in each district and in each province ;
To establish such a system of bonuses for increased cost
of living as would assure to the workers comparative satisfaction by doing away as far as possible with the necessity for demanding higher wages each time there is an increase in the
price of necessary food-stuffs ;
To raise the present wages to cover the increased cost of
living.
The text of the memorandum itself is divided into two
parts;—
(a) memorandum relating to the engineering industry (railways, motor vehicles, aeroplanes, shipbuilding, general constructural engineering) ;
(h) memorandum relating to the metal industry.
The principal demands contained in these two parts are as
follows :—
1
Federazione Italiana Operai Metallurgici — Torino — Memoriale
presentato il 18 giugno 1920 alla Federazione Nasionale Sindacale dell'Industria meccanica e metallurgica.

—4—
1. — New Classification of Workers.
The workers in the engineering industry shall be divided
into five groups as follows :—
1. Women of every age, boys and apprentices up to 18
years.
2. Unskilled labour.
3. Semi-skilled labour.
4. Skilled labour.
5. Highly skilled labour.
For the metal industry the above groups are again divided
into two categories : (a) workers in continuous processes,
(b) workers in non-continuous processes.
2. — Revision of wages.
A revision of wages shall be made in order to obtain an
average increase of Lires 0.90 per hour, that is Lires 7.20 per
day:—
(a) For group 1 the present total wage shall be increased
by 50 %, and the increase on the hourly wage shall be
based on the following formula :
N.P. = 5/7 (T.W. + A. - C.) ;
N.P. = new pay ;
T.W. = present total wage ;
A. = 50 % of the total wage ;
C.
= Lires 0.10 for increased cost of living not
included, or new allowance for increased
cost of living.
(b) For groups 2, 3, 4 and 5, receiving a bonus for increased
cost of living below Lires 4.20 per day, the increase of
hourly pay shall be fixed according to the following
table :
with bonus for increased
cost of ' living
per day
from Lires
to Lires
0,40
0,00
0,41
0,80
0,81
1,20
1,21
1.80
1,81
2,40
2.41
3,00
3,01
3,60
3,61
4,20

WORKMEN
with basis percentage of
30°,o
35-37 %
45%
increase
increase
increase
of
of
of
0,45
0,50
0,55
0,50
0,55
0,60
0,55
0,60
0,65
0,60
0,65
0,70
0,65
0,70
0,75
0,70
0,75
0,80
0,75
0,80
0,85
0,80
0,85
0,90

_ 5—
basis below 30 % or .above 45 %, the increase on {he
hourly pay shall be calculated in accordance with the
following formula :
N.P.
N.P.
T.W.
A.
C.

=
=
=
=
=

5/7 (T.W. + A. - C.) ;
new pay ;
present total wage ;
Lires 0.90 of increase on present wage.
Lires 0.15 hourly allowance for increased
cost of living, which is not reckoned separately, or new bonus for increased cost of
living.

3. — Revision of rates of wages for piece work.
All piece work rates shall be increased so as to allow,
in the engineering industry, a minimum increase of 45 %
on the new hourly pay, and, in the metal industry, of 35 %.
The time calculated for the execution of piece work shall be
increased by 15 %, so as to allow for assembling and putting
away masks, tools, straps, etc.
4. — Work on bonus systems.
(a) In the engineering industry :
For workmen working normally on bonus systems,
the work shall be paid for by a percentage on the
hourly wage equal to the average monthly piece work
earnings of the workmen of the same workshop.
For the semi-skilled man working normally on a
bonus system and the man working normally on piece
work by a percentage of 90 % of the piece work earnings of the workmen-of the same workshop.
For the semi-skilled man working normally on
piece work and those of group 1, by a percentage on
the hourly wage equal to 80 % of the piece-work earnings of the workmen of the same workshop.
In all cases and for all the groups, the bonus shall
not be below 40 % of the hourly pay.
(b) In the metal industry :—
The percentage for all the groups shall not be less
than 50 %.
4. — Minimum

Wage.

The minimum wage shall be fixed according to the following table (in lires) :

— 6—
Engineering
Industry

Metal Industry
Work on eontin-Work on non-conuous processes tinuous processes-

1st Group :
Apprentices,
1st half-year
0,45
2nd
»
0,60
3re
»
0,75
4th
»
0,90
5th
»
1,05
6th
»
1,20
Women employed in light work :
Age up to 16 years
From 16 to 19 years
Over 19 years

0,56
0,75
0,94

0,47
0,62
0,77
0,91
1,05
1,25

0,43
0,56
0,70
0,83
0,96
1,13

—
—

0,60
0,80
1,00

Women employed in heavy work :
Age up to 19 years
Over 19 years

0,94
1,12

—

1,00
1,20

—

1,40

1,50

Skilled labour

2nd Group :
1,50
3rd Group :
1,60
4th Group:
1,70

1,60

Highly skilled laboui

5th Group:
1,80

1,70

Unskilled labour
Semi-skilled labour

These minima may be reduced at most 15 o/0 according to industries;
and conditions of life.

5. — Bonus for Increased Cost of Living.
The bonus for the increased cost of living shall be Lires
0.10 per hour for the first group, and Lires 0.15 per hour for
the other groups. This bonus may vary with the cost of living,
as calculated in the bulletin of the commune of Milan which
fixes the cost of living for a family of five persons.
For groups 2, 3, 4 and 5, the variations in the bonuses to
correspond with the variations in the table in case of increase,
and in case of decrease the bonus to be reduced by 50 %.
For the first group, the variations shall be 66 % more, and
33 % in case of decrease.
If the bonus for increased cost of living exceeds Lires 2.40
per day for the groups 2, 3, 4 and 5, and Lires 1.60 for group 1,
the surplus shall be added to the hourly wages.
6. — Overtime and Night Work.
The percentages for overtime and night work shall be
raised as follow :
40 % for the first two hours after the eight hours of the
normal day.

— 7 —

60
100
30
100

%
%
%
%

for
for
for
for

the next three hours ;
the subsequent hours ;
night work ;
holidays.

7. — Stoppage of Work.
In case of stoppage of work for reasons not depending on
the workers, the latter shall receive an allowance of 75 % of
the hourly wage and of the bonus for increased cost of living.
In case of a strike or a lock-out, action will be taken according
to circumstances.
8. — Holidays.
Every Sunday, and six local holidays to be fixed are to be
considered as holidays. Workers will have eleven days annual
leave on full pay per year.
•9. — Allowance for

Dismissial.

A week's notice shall be given, and an allowance of six
days' salary per year of service shall be paid in case of dismissal.
10. — Institution of Labour

Exchanges.

Labour exchanges shall be established.
managed by a joint board.

These shall be

11. — Assistance and Provision against Sickness, etc.
Special agreements may be entered into with a view to
completing the legislation at present in force.
12. — Conveyance of

Workmen.

The local organizations shall come to an agreement for the
granting of daily allowances or supplements, according to distance and travelling facilities, for work outside the establishments.
13. — Agreement.
The above agreement shall come into force on 1st July,
1920, except for those establishments with which agreements
have been contracted for earlier dates.
The memorandum of the Unione Sindacale Italiana asked
for minimum wages considerably higher than those which
were claimed by the F. I. O. M., and, for contract work, an
advance of 75 % on the current wages. They also stipulated
a bonus for increased cost of living of 5 Lires per day for
Avorkmen and 3 Lires per day for work women and children ;

8 -

44 working hours per week, with payment for 48 ; the abolition of workshop rules ; the abolition of the necessity of presenting the « certificato penale » ; the abolition of all holidays,
religious as well as national.
The memorandum of the Sindacato Nazionale Operai Metallurgici asked for a system of profit-sharing and the constitution of a national Joint Commission for establishing the
precise nature of this system ; the revision of wages, with
the object of avoiding the present differences between establishments having the same working conditions ; the fixing
of minimum wages for each category of workers, according
to local conditions of life ; the awarding of fair compensation
to workmen occupying positions of trust ; a minimum supplement of 40 % (on the total wage) for contract work ; a bonus
for increased cost of living of Lires 0.20 per hour for men and
Lires 0.15 for women and apprentices. Establishments to
be obliged to /provide works-schools, with the object of encouraging vocational education, and to pay to the workmen a
subsidy of 75 Lires per month for each child attending these
schools 1 .

THE

FIRST NEGOTIATIONS WITH

THE

MANUFACTURERS.

The presentation of the memoranda led to negotiations
which began on the 15th July at Milan. The manufacturers
stated at first that they wished the workmen's organizations
to come to an agreement among themselves. However after
an exchange of views, it was decided that each of the organizations should separately discuss its memorandum with the
representatives of the Federation of Manufacturers, but that
the workmen's representatives should be present in a body to
hear the preliminary statement of conditions which the manufacturers wished to make. Having presented their statement 2 ,
the employers concluded by saying that the industry could
not stand a new rise in wages. In a bulletin of the 22nd July,
the employers' representatives stated that the industry was
not in a position to make any concession, and that the workmen could not prove the contrarv.
To these statements, the F. I. Ö. M. published a long reply,
in which the assertion of the factory owners that the metal
industry was in a critical state was more especially challenged.
«The organizations of the F.I.O.M. are very well acquainted »,
said the reply, « with present conditions in the metal, engineering, and ship building industries of Italy. They know that
these conditions are not so flourishing as during the war ; but
1
At the time of going to press the text of the Memorandum of t h e
Unione Italiana del Lavoro has not been received.
2
The text of the statement has not been published.

— 9

they also know that they are much better than before the war
and that they are far from being bad. None of these industries
is in a critical position for total want of orders, as the employers' federation suggests, and those which appreciably
lack orders are very few in number. On the contrary, the
motor engineering and shipbuilding industries as well as the
railway construction industries are overflowing with orders,
either for home or for abroad. Many firms have sufficient
orders to employ them fully for several years. The foundries
have never had so much work as at present, and the same
conditions prevail in other branches of the industry, such as
in the manufacture of electrical apparatus for telephones, etc.
Never have the manufacturers asked from the workmen so
much overtime. There is no firm, great or small, that has not
paid dividends at the close of its financial year 1 . If some
industries experience financial difficulties, it would be easy
to show that they are due, in a large measure ,more to artificial and temporary causes, such, for instance, as the rapacity
of the banks, the attempts of large manufacturers to control
certain credit establishments, and to speculations on the stockexchange. »
In reply to the manufacturers who had asserted that no
particular category of citizens has the right to put forward
claims to the reserve shown on a company balance-sheet the
F. I. 0. M. recalled the fact that during the war certain manufacturers had induced the workmen to help in building up
these reserves, so that they could themselves profit by them
should there occur a period of less favourable conditions for
the industry. The reply concludes saying that the workmen's
organization should therefore confine itself to insisting upon
the terms of the memorandum already presented. However,
in order to make serious discussion possible, the F. I. 0. M.
declared itself prepared to prove the truth of its assertions.
In the meantime, the F. LO. M., followed by the other
organizations, issued the order to abstain from working overtime in the factories, and, immediately afterwards, the further
order to begin obstruction. Here is the text of the order :—
1. Production must be reduced to a minimum. Workmen
doing piece work must not make more than the basis
1
The engineer, Edoardo Ugolini, publishes in the Avanti of 10th September, 1920, some facts on the profits realized, during the war, by certain large firms in three years.
Bcfor the war
After the war

(in mtllinns of Lires)

Soc. Alti Forni, Fonderie and Accia.Terni
Soc. Metallurgica Italiana, Livorno .
Soc. Siderurgica Savona
Soc. An. Acciaierie et Ferriere
Franchi-Gregorini Dalmine . . ,
Ferriere d'Voltri

27
25
24
9,880
11,875

111
44
72,500
70.829
29

3.
4.
5.
6.
7.

wage. Workmen receiving percentage rates must produce the least ,possible output ;
No one should be absent from his post without reason
and everybody should always appear industrious so as
to avoid providing the manufacturers with plausible
reasons for dismissing workmen or proclaiming a lockout ;
Workmen should use only files and tools which are
suitable for their work and in perfect condition ;
Necessary repairs to machinery, belts, etc., will be made
to last as long as possible ;
Each workman will execute only his own work, especially as regards oiling, cleaning, etc. ;
As prescribed by the rules, oiling and cleaning should
not be undertaken whilst the machinery is in motion ;
Should workmen be dismissed for acting in accordance
with this order, they will nevertheless remain in the
works, and go to work on the following days at the
same time as their comrades. If they are forcibly ejected,
the workmen must by every means — including violence—persist in this course ;
If a lock-out is declared, workmen should in spite of
this return to their posts, breaking open the doors if
necessary, and continue their work.

T H E SECOND PHASE OF THE MOVEMENT. '•— T H E APPLICATION
O F OBSTRUCTION.

Towards the end of August, obstruction spread and became
more acute, giving rise, here and there, to incidents which
increasingly strained the relations between the employers and
the workers. Output diminished rapidly \
The employers' organization declared that the method of
obstruction was a violation of the rules. In a meeting held
1
Here, for instance, are statistics prepared a t the factory Fiat-Centro,
a t Turin, on the effects of obstruction on output.
Number manufactured daily
Before obstr.
During obstr.
Car T 505-510
4
1 'A
» T 1919
6
2
» T 501
20
9
Truck T 1
15
7
Waggon T 18 B. L. . . .
18
4 l/t
Agrie, tractors T 702 . . .
4^2 _
2
67 72
25 3A
The decrease in output at the Fiat-Centro factory alone is therefore
41 machines per day, equal to 287 per week.

- l i o n August 26th, after having affirmed that the proced u r e of the w o r k m e n in the application of obstruction exceeded
even the instructions given by the Central Committee of t h e
F.I.O.M., the employers said that this form of struggle, adopted
by the w o r k m e n ' s organizations in o r d e r to oblige the m a n u facrers to pay wages for little or no w o r k , might oblige t h e
employers' organization to take corresponding measures, such
as the dismissal of w o r k m e n , lock-out, etc.
However, between the 27th and 28th August, the first interviews took place between the Minister of Labour, the UnderSecretary of the Cabinet Council and the Under-Secretary for
H o m e Affairs and the representatives of t h e contending parties,
each separately. On the 28th August, the deputy Buozzi,
general secretary of the F. I. O. M., declared himself still ready
t o discuss matters directly with the employers, provided they
w e r e inclined to m a k e large concessions.
Between the end of August and the 1st September, the feeling
already prevailed that a bitter struggle was becoming inevitable. T h e Federal Committee of the F. I. O. M. and the Committee of Action issued appeals to the w o r k m e n that they
should hold themselves ready to execute the orders of the
Federation.

T H E THIRD P H A S E OF THE M O V E M E N T :.
T H E LOCK-OUT PROCLAIMED B Y THE

MANUFACTURERS.

T H E OCCUPATION O F THE F A C T O R I E S .
T H E A T T I T U D E OF T H E G E N E R A L CONFEDERATION OF I N D U S T R Y .

On the 30th August, the Milanese firm « Borneo », anticipating the decisions of the National Federation of the Engineering and Metal Industry, declared a lock-out in its establishments, in o r d e r to protest against acts of wilful destruction
of machinery. T h e w o r k m e n refused to leave the works ; they
locked themselves in with provisions, keeping as hostages the
technical officials
On the 1st September, the « Federazione Nazionale Sindacale del Industria meccanica e metallurgica » declared a lockout. This proclamation was accompanied by a statement, i n
which the Federal Council of the E m p l o y e r s ' Organization
affirmed that the method of obstruction h a d degenerated into
a state of conplete anarchy ; that production had almost entirely ceased and was accompanied by a useless waste of raw
materials and fuel ; that acts of violence against persons and
d a m a g e to t h e machinery h a d occurred ; t h a t even under such
. serious conditions the manufacturers h a d decided not to close
t h e w o r k s , with the object of avoiding any proceeding of a
non-conciliatory n a t u r e ; that t h e continuation of this line of
c o n d u c t had become impossible after the last acts of violence

of the workmen, who even went so far as to seize the president
of the Commission entrusted Avith the negotiations.
Upon the declaration of the lock-out, the workmen's organization responded by ordering the workers to take possession
of the works, to respect persons and things, and to continue
their work.
On the 1st and 2nd September the movement spread to
the industrial centres of Liguria and Naples. The technical
officials refused to participate in the movement. The manufacturers declared tgemselves disposed to organize co-operative food stores for the benefit of the workmen, but they
refused any increase in wages. The negotiations were broken
off.
At Milan, the Comitato Sindacale Operaio (Workmen's
Union Committee) set at liberty the technical officials taken
as hostages.
On the 3rd September, the workmen had occupied all the
factories of Milan : In the important factories, such as the
« Fonderie Milanesi », the « Breda », the « Carminati », the
work, according to a bulletin issued by the Committee of the
movement, continued regularly with the help of the foremen.
The establishments of Saronno, Crema, Lodi and Voghera
were occupied on the same date. At Rome the factories occupied in the first three days of the movement were seven in
number, and work continued there regularly.
In the « Fatme » works a Factory Board was at once instituted. At Naples, the manufacturers only effected the lockout in the works Miani e Silvestri. The establishments
S. O. F. I. A. (including the works of the Railway and the shipbuilding yards), the establishments Withead, Sanima, Radaelli, Dumontel, Gerosa and Corradini, were occupied in a
peaceful fashion, the engineers being asked to remain at their
posts. Some workmen were placed on guard at the entrances
to the shipbuilding yards. Work continued normally in the
establishments Uva and Bagnoli. At Genoa, a fierce struggle
took place at the « Stabilimenti della Foce ». The workmen,
on their way to occupy the factory, encountered the royal
guards. The guardsmen, who were on the point of being disarmed, fired upon the workmen. One was killed and five
wounded. The works « Allestimento Navi » and the establishments of Sampierdarena, Bolzaneto, Rivarolo, Cornigliano and
Sestri Ponente were seized without much difficulty. At Bologna. a provisional agreement was come to between the employers and the workmen ; the latter resumed work, though
continuing to apply the method of obstruction. At Legnano, the
establishments Franco Tosi, Andrea Pensotti, Fratelli Bombaglio, Officine Fontana, Officine Raimondi, were occupied ; the
Director General of the Tosi works, as well as the Administrator, were captured and obliged to remain at their posts. In
the course of September 3rd and 4th, the occupation of the
factories extended without any serious occurrences to Novi

Liguria, Bergamo, Brescia, Plaisance, Alexandria, Novare and
Venice. Red flags were hoisted on the factories in nearly all
these places.
The engineers, whose absence caused serious difficulties
to the workmen, after having protested in a bulletin issued
by their organization (Associazione Nazionale degli Ingegneri
Italiani) against the threats and' violence of which some of
them had been the victims, had decided to remain neutral in
the dispute and to abandon the works until their Association
received definite guarantees for their liberty and safety.
On the 4th September, the workmen seized the shipbuilding
yards of Ancona, Sampierdarena and Savona. Under the influence of the deputy Giulietti, general secretary of the Federazione Italiana dei Lavoratori del Mare (Italian Maritime Federation), the movement spread to the mercantile marine. On
the 5tb, at Turin, the workmen organized a red guard ; at
Milan they attacked the offices of a factory in order to obtain
payment of their wages ; at Naples, the Trade Unions paid the
wages out of their reserve funds.
During the 6th and 7th September, a certain relaxation of
intensity in the movement was noticeable : signs of weariness.
of hesitation, and even of reaction were to be perceived among
the workmen, particularly at Genoa and Rome.
However, the manufacturers continued to stipulate as a
condition of the resumption of negotiations that the factories
should be evacuated and order established.
The vice-president of the National Federation of the Engineering Industry (Federazione Sindacale Industria Meccanica), E. Agnelli, sent to the newspapers a letter in which he
explained the reasons for which the manufacturers were trying to protect the interests of the country. He said that the
Premier, Mr. Giolitti, had at once declared the Government's
neutrality in the dispute.
« We have accepted this ipoint of view — continues the
letter —as we consider that industry should not be subject to
political influences. As to the very serious fact of the invasion
of the works, no intervention is either possible or admissible,
as the manufacturers, after- the occupation of their factories,
are in no position to discuss the re-organization of the establishments, seeing that the administration of these factories
had been taken from them by violence. All discussion and
negotiation must be left to the great organizations of the contending parties, that is to say, to the General Confederation
of Industry and the General Confederation of Labour. »
A meeting of the Trade Union group of the General Confederation of Industry took place at Milan, on the 7th September, presided over by senator Conti, president of the Confederation. All the chief branches of industry had sent representatives. The meeting ended with a unanimous vote for the
motion presented by the deputy Olivetti, general secretary of
the Confederation. This motion contained the statement that

— 14 —
negotiations could not be resumed until the dispute was transferred to economic grounds and until discipline was re-established in the works.

THE CONFERENCE WITH THE MINISTRY OF LABOUR.

On the 2nd and 3rd September, the Minister of Labour had
further interviews with the contending parties, to whom he
listened separately. In the course of these interviews, the
« Unione Italiana del Lavoro » and the « Sindacato nazionale
della cooperative » discussed with the Minister the possibility
of finding a partial solution of the question, on a co-operative
basis. The two organizations made the following statement :
1. The metal workers of the two organizations are ready
to undertake the direct management of the factories
formed into co-operative societies and associations ;
2. They would pay a rent to be fixed by the two contending
parties on the basis of arbitration. The establishment
charges, as taken from the balance-sheets, would provide the basis for fixing this rent ;
3. The co-operative associations interested, together with
the national trade union, would give security guaranteeing the proiper management of the enterprises.
According to the declarations of Messrs. Bachi and Bazzi,
secretaries of the Unione Italiana del Lavoro and of the Sindacato Nazionale delle Cooperative. Mr. Labriola had asserted
that this proposal corresponded to his own view on the matter
and that he would have been willing to examine it sympathetically.
This declaration gave rise to lively discussions in the press,
and the Minister thought it welle to explain view in a semi-official statement :
« The assistance given by the State to co-operation—said
this statement—should principally aim at assuring to the employees of any enterprise (distribution, production or credit),
the possibility of acquiring it by forming themselves into a
co-operative body. My idea is that of securing—in a co-operative form against payment of .a rent—the use or possession
of the enterprise by its paid employées, and the State should
encourage workers in this direction.
Co-operation thus conceived is a means of social reform.
It loses its character of simple protection of the individual
interests of producers and consumers ; and it is in sense that
I shall insist upon the passing of the bill which I am going
to introduce to the Chamber. »

— 15

Mr. Labriola also made the following statement to the
editor of the Giornale Popolo : « It is necessary to encourage
the institution of these commissions enabling workmen to
experiment with new systems. However, it is they themselveswho must do it : it should not be imposed by the State. With
this object in view I am preparing three bills, one on the
Labour Council, one on Co-operation and one on Works'
Councils.
By means of these Commissions it would be possible to
obtain an administrative body capable of inducing the workmen to keep their demands within the limits of the possibilities
of the enterprise. There are no other means of avoiding exaggerated and arbitrary claims.
To sum up, what has embittered the Workmen is the
conviction that the employers' opposition to their demands
is unfounded. If a certain amount of control or administrative
collaboration were possible, the question would have solved
itself automatically. »
Questioned by the correspondent of the newspaper Le
Matin, Mr. Labriola said that the manufacturers were wrong
in making the surrender of the factories the condition of the
resumption of negotiations, since the workmen would have
resisted this at all costs, and because it was necessary to grant
their demands so far as the progress of the industry permitted it. A general enquiry into the metal industry, as contemplated by the Ministry of Labour, will show the special
circumstances of each undertaking : perhaps it may be necessary to eliminate those that do not answer the requirements of
the country which only absorbs 20 % of the present production.
in the metal industry. It is, however, important that it should
be known abroad that it is in no way a question of a communist experiment.

FOURTH PHASE : THE SEIZURE OF UNDERTAKINGS OTHER THAN
METAL WORKS.

September 9th seems to mark the triumph of the extremist
tendencies of certain committees. These contended for the
necessity of extending the occupation to other industries in
order to bring pressure to bear upon the employers in the
metal industry.
Undertakings other than metal works were also occupied
at Turin, such as the three rubber factories, Michelin, Bergougnan-Tedeschi and Walter-Martiny. At Milan this example
was immediately followed. On September 10th the workmen
proceeded to the .occupation of the Pirelli rubber factories, of
several shoe factories, as well as of the chemical factory
Bonelli and the Branca distilleries. A circular of the «Federazione Italiana Operai Chimici » (Italian Federation of Work-

16 —

men in the Chemical Industry)justified the occupation of the
Bonelli factories by the necessity of assuring the supply of
materials indispensable to metal workers. On 13th September,
the occupation spread to the textile works of Biella.
According to the Sole the manufacturers suspended all purchase of coal, a proceeding which would probably place a
serious obstacle in the way of the resumption of normal production.

T H E ATTITUDE OF THE GENERAL CONFEDERATION OF LABOUR
AND OF THE E X E C U T I V E OF THE SOCIALIST P A R T Y .

On September 3rd the deputy d'Aragona, secretary of the
Confederazione Generale del Lavoro (General Confederation
of Labour) had an interview with the Minister of Labour. He
declared, in the course of this interview, that the Confederation was at one with the F.I.O.M. The Executive of the Confederation was summoned to a meeting with the Executive of
the official Socialist Party, the representatives of the principal
Labour Offices, and the Committee of Action of the F.I.O.M.
The meetings took place on the 5th September at Milan. In
the course of this meeting a statement was drawn up in which,
after throwing all responsibility for the present situation upon
the obstinacy of the manufacturers, it said that « if the obstinacy of the manufacturers continues or the Government
abandons its attitude of neutrality thus preventing a satisfactory conclusion of the dispute, the movement can no longer
be limited to one category of trade u-nions, but must be entrusted to the G.C.L. and to the Executive of the Socialist Party
in order that they may enroll in the struggle the whole Italian proletariat against all the employers, with the object of
attaining collective administration and the socialisation of
every form of production. »
At' Milan on the 10th and 11th September plenary sittings
of the National Council of the General Confederation of Labour took place at the seat of the Società Umanitaria.
The Executive of the official Socialists Party and deputies representing the parliamentary Socialist Group participated. The were also present representatives of the Federation of Maritime Workers, of the Railway Workers Union,
of the Federation of Harbour Workers and, of the Post and
Telegraph Federation. All the organizers and the most prominent of the politicians were present.
The deputy Buozzi, general secretary of the F.I.O.M., traced
the different phases of the dispute. He asserted that the
F.I.O.M. had always wished to keep strictly within trade union
limits, and that if this dispute had undergone a change in character. it was the manufacturers who were to blame. He
said that the economic advantages which the employers were

— 17 —
willing to grant were inadequate that they did not accept the
principle of works control ; and that, besides, they insisted on
the factories being surrendered before resuming negotiations.
The deputy d'Aragona, general secretary of the G.C.L.,
explained the steps taken by the Confederation in order to
help the F.I.O.M. in the settlement of the dispute. He, then
spoke of the discussions that had taken place between the
Executive of the Socialist Party and the Council of the G.C.L.
with a view to adopting a common line of action. He was of
the opinion that the choice lay between the three following
courses :—
(a) To find a new formula of conciliation which should
enable the workers to come to a direct agreement with the
manufacturers ;
(b) To continue the occupation of factories, limiting it,
however, strictly to the metal industry ;
(c) To extend the disputes, following the advice of the
extremists, and to take possession of all enterprises and works,
and not only those of the metal industry.
The G.C.L. reserved the statement of its point of view until
after the discussion.
The discussion was very animated and occupied the assembly during several sittings, in the course of which the delegates of the organizations stated their views. Prof. Angelo
Tasca, one of the promoters of the institution of Factory
Boards, brought forward proposals similar to those already
made to the Minister of Labour by Prof. Carlo Bazzi. He
recommended the establishment of a sort of co-operative administration of the metal works. The deputy Giulietti, secretary of the Maritime Federation, was not opposed to the seizure of all the enterprises, but he was anxious to know if the
workmen could manage them and maintain the outpoint. Not
being at all sure about this, he would not offer a decided opinion.
Professor Egidio Gennari, secretary of the Executive of the
official Socialist Party, was entirely in favour of the seizure
of all enterprises with a view to immediately provoking a
revolution, as, in his opinion, the situation could not be more
favourable. The dispute would thus be intensified and the
movement extended to all the enterprises of Italy. He believed
that if the organizations followed this path, the communist
ideal would very soon be realized. The Executive of the official Socialist Party would present a motion demanding that
the seizure should be extended to all enterprises with the
object of hastening the communist revolution.
The deputy d'Aragona, supported by the whole Governing
Body of the G.C.L., said that the point of view of the Confederation did not coincide with that of the Executive of the Socialist Party. The latter placed political aims first, and would

— 18

like to direct the movement. The General Confederation of
Labour believed, on the contrary, that the struggle should be
strictly confined within trade union limits. The organizations
would therefore have to choose between these two arguments.
It was necessary that they should have a clear knowledge of
the fact that if they voted for the proposal of the Socialist
Party, they were voting for the communist revolution, for the
dictatorship of the proletariat. The General Confederation of
Labour did not believe that one could transplant into Italy the
methods whereby the communist régime had been brought
about in Russia. If the Executive of the Socialist Party thought
this possible, it must take the entire responsibility therefore.
The G.C.L. aimed at that type of socialism, which cannot be
destroyed. The motion presented by the G.C.L. required that
the leadership of the movement should be entrusted to the
Confederation itself, whose object would be to get the employers to recognize the principle of trade union control in
enterprises ; this would eventually lead to collective administration and to socialization.
The motions of the Executive of the Socialist Party and of
the General Confederation of Labour, were then put to the
vote, with the following result :
Voters : 1,094,637 (each organization votes as representing
its membership in 1919.)
' G.C.L. motion (d'Aragona)
. 591,245
Official socialist Party Executive motion (Schiavello)
409,569
Abstentions
93,623
The motion of the General Confederation of Labour for the
limitation of the movement to economic matters was therefore
carried. Nearly all the large labour organizations voted for
the proposal of the Confederation. It is to be noted that the
Federation of agricultural workers voted as representing onlv
the 400,000 members it had in 1919 ; if it had voted with its
present strength of 800,000 members, the proposal of Signor
d'Aragona would have obtained nearly a million votes.

INTERVENTION OF THE GOVERNMENT : TRADE UNION CONTROL
IN INDUSTRY MADE LAW BY DECREE,

During the whole period of systematic obstruction and the
first two weeks of the seizure of the factories, the Government
maintained its neutrality towards the contending parties. Nowhere had it tried to prevent the occupation of the factories by
force. Conversations had taken place at Rome betwreen the
representatives of the employers and of the workmen and the
Minister of Labour, but without any real result, and direct

negotiations, many times interrupted, could only be feebly
resumed at Milan, the day after the voting at the National
Council of the General Confederation of Labour, through the
medium of the prefects of Milan and Turin. On the 15th September the Premier, Mr. Giolitti, summoned to Turin the
representatives of the Committee of Action of the General Confederation of Labour, d'Aragona, Baldesi, Buozzi and Colombino, and the representatives of the General Confederation of
Industry : senator Conti, president, and the deputy Olivetti,
general secretary. The prefects of Turin and Milan were present at the interview. On the 16th September, the « Agenzia
Stefani » published officially the resolutions adopted. « After
having heard the representatives of the manufacturers and of
the workmen, summoned1 by him to Turin, the Premier solved
the question of trade union control in the factories by appointing by decree a Joint Commission to which was given the task
of preparing a bill which the Government will present to the
Chamber when it assembles. »
The Stampa, a paper favourable to the Premier, said that
Lhe general substance of the cfecree will be as following :
« Since the General Confederation of Labour affirms that
it intends to change the relations between enrployers and
employed and, by means of trade union control in industry, to
obtain an improvement in these relations as well as to increase
the output upon which the economic revival of the country
depends ; and since the General Confederation of Industry is
not opposed to the experiment of introducing trade union
control by industries with the object already mentioned, the
Premier takes note of this agreement and decrees that a Joint
Commission be constituted, composed of 6 members appointed by the General Confederation of Industry and 6 members
by the General Confederation of Labour, 2 from each party
to be engineers or employees. The Commission is entrusted
with the drawing up of proposals to be presented to the
Government for the preparation of bills providing for the
organizing of industries on the basis of the participation of the
workmen in their technical, financial and administrative control. The Commission is also entrusted with making arrangements within eight days regarding the questions which may
arise with respect to the engagement and discharge of workmen. Finally, it is understood between the two parties that the
workmen will not be dismissed. »
The General Confederation of Industry immediately published the following statement :
« With regard to the information published by the Stampa
concerning an agreement said to have been made between the
contending parties in presence of the Premier, the Confederation of Industry declares that the two parties have accepted
the principle of joint control. On the second point mentioned

20 - -

in the paper, that is on the question of the resumption of work,
there was, on the contrary, no agreement possible. Any arrangement in this respect must be considered as imposed by the
Government. »
On the 17th September, direct negotiations between the
representatives of the manufacturers and of the workmen were
resumed at the prefecture of Milan, and agreement on economic and disciplinary maLters appeared imminent on the
18th September.

(To be continued.)