The Politics of Collective Action from Two Sides

The case of the American Crystal Sugar Company and its employees demonstrates the multidimensional nature of collective action in the United States through the lens of both workers and farmers. The employees of ACSC rejected the company’s proposed contract a year ago, and ever since, ACSC has operated through the use of replacement workers. The interesting component of this situation is America’s domestic sugar industry’s reliance on trade barriers to ensure its survival. Sugar producers in the United States successfully lobby Congress to restrict sugar imports, allowing their market positions to endure.

The union that represents ACSC employees traditionally joins sides with ACSC and lobbies for protective barriers that bolster the company’s position; however, in light of the continued lockout, the union will now lobby Congress to eliminate these obstacles. This effort at retaliation demonstrates that protectionist legislation is vulnerable to fluctuations in political preferences. When one party feels that it has missed out on the gains of legislation, it can retaliate and potentially cause the statutes in their entirety to collapse.

Business (in this case, represented by farmer cooperatives) and labor can both advocate for protectionist barriers that reinforce domestic profits. As the case of the American Crystal Sugar Company may ultimately reveal, however, the continuation of this legislation depends upon the mutual support of all beneficiaries.

For more on this unique situation, see: http://www.npr.org/blogs/thesalt/2012/10/19/163098202/sugar-beet-labor-battles-spill-out-onto-the-national-stage