Dangerous Thoughts
Labor

The Forgotten Fighters: How Democrats Lost Their Way

There was a time when the Democratic Party fought. Not for symbols. Not for culture war narratives. Not for the educated professional class. For workers. F…

There was a time when the Democratic Party fought. Not for symbols. Not for culture war narratives. Not for the educated professional class. For workers. For wages. For the right to organize. For healthcare. For dignity. That time was real. Unions did not imagine it. Workers did not dream it. It happened.

From the 1930s through the 1960s, the Democratic Party was the party that fought—and won. The New Deal transformed America. Social Security. Labor protections. The right to organize. Healthcare for the elderly. These were not accidents of history. They were the result of a Democratic Party that believed in class struggle, understood the interests of workers, and was willing to fight the wealthy to deliver for them.

Then something changed. The Democratic Party did not gradually weaken. It made a conscious choice to abandon its base. And that choice has haunted the party—and devastated workers—ever since.

✦ ✦ ✦

How It Happened: The Neoliberal Takeover

In 1976, Jimmy Carter won the Democratic presidential nomination. With him came a new philosophy: neoliberalism. This was not the Democratic Party of the New Deal. This was a Democratic Party that believed in markets. In deregulation. In trade deals. In letting corporations do what they wanted. In abandoning the working class.

This shift was not inevitable. It was deliberate. A faction within the Democratic Party—the Democratic Leadership Council, led by Al From—made a conscious strategic decision: instead of fighting for working-class voters, the party would abandon them and pursue a new base: affluent, educated, suburban, moderate professionals.

From himself articulated the strategy clearly: "The New Deal political philosophy that defined our politics for most of the 20th century has run its course. The political coalition it spawned has been split. Like Humpty Dumpty, the New Deal coalition cannot be put back together again. The new electorate is affluent, educated, diverse, suburban, wired, and moderate."

Translation: We are abandoning working-class people. We are going to bet on rich people instead.

This was not a gradual drift. It was a calculated strategy. And it worked—temporarily. Bill Clinton won the presidency. But the long-term cost has been catastrophic.

The Cost of the Betrayal: A Party in Crisis

Union membership collapsed. In 1957, 37 percent of American workers belonged to unions. Today, it is 10 percent. The Democratic Party did not just fail to stop this collapse. It accelerated it. While Republicans actively attacked unions with right-to-work laws and union-busting legislation, Democrats did nothing meaningful to defend them.

As unions declined, so did the Democratic Party's power. Here is the doom loop: unions weaken, unions lose political influence, the party feels no pressure to defend unions, unions weaken further. Democrats lost the working class because they stopped fighting for them. And as they lost the working class, they lost the institutional power to fight for them.

Democratic donors changed. Fifty years ago, unions provided the bulk of Democratic campaign funding. Unions funded the party. Unions held the party accountable. Workers had power inside the party. Today, Democratic money comes from Silicon Valley billionaires, Wall Street, and wealthy professionals.

A political scientist study found that as unions provided a smaller share of Democratic dollars, Democratic politicians became less likely to talk about jobs and labor issues. The party's donors changed, so the party's priorities changed. It is that simple.

The party abandoned its messaging. In 1992, Bill Clinton promised to "end welfare as we know it"—language that blamed poor people for poverty. This was a conscious repudiation of New Deal rhetoric, which understood that poverty was a structural problem requiring structural solutions.

In 2024, the Democratic candidate, Kamala Harris, "neither abandoned nor fully embraced key liberal goals for confronting corporate power and raising taxes on the rich. Instead, she adopted marginal pro-business tweaks to the status quo that both her corporate and progressive allies agreed never coalesced into a clear economic argument."

Translation: She had no message. She offered nothing. And workers noticed.

Working-class voters abandoned the party. In 2016, Trump won union households that had voted Democratic for generations. In 2024, working-class voters moved further from the Democratic Party than ever before. This was not an accident. This was the inevitable result of a party that stopped fighting for them.

"A Democratic Party which has abandoned working-class people would find that the working class has abandoned them. It should come as no great surprise."

✦ ✦ ✦

The Fatal Mistake: Trying to Win Rich People Instead of Workers

The Democratic strategy was to pursue college-educated, affluent suburban voters instead of working-class voters. The logic was simple: wealthy voters have more money, so more political donations. Educated voters are easier to win culturally.

But this strategy had a fatal flaw: there are not enough wealthy voters to win elections. The wealthy are a small percentage of the population. Elections are won by appealing to the majority. The majority are workers. When you abandon workers to pursue the wealthy, you lose elections.

This is what happened. Democrats won educated professionals and wealthy voters. But they lost the working class. And you cannot build a durable majority on the wealthy and educated while ignoring everyone else.

The Republican Party figured this out. Republican politicians—dishonestly, but effectively—adopted the language and framing of economic populism. They talked about fighting elites. They talked about bringing jobs back. They talked about putting working families first. It was all a lie—their policies benefit billionaires and harm workers. But at least they were talking about working people. The Democrats were not.

The AFL-CIO president said it clearly: "The narrative that [Trump] was able to craft was almost right out of the labor unions' playbook in terms of focusing on the economy and jobs, bringing manufacturing jobs back, getting tough on China, making sure that working families can put more money in their pocket." A Republican was using labor language more effectively than the party of labor.

This is the tragedy of modern Democratic politics. The party abandoned its base. It pretended that wealthy voters and professionals were enough to win. They are not. And now the party is in crisis.

37%
Union Membership (1957)
10%
Union Membership (2025)
1968
Last Year Unions Held Major Power in Democratic Party
73%
Democrats Raising Money in Silicon Valley, Not Union Halls
✦ ✦ ✦

The Path Forward: A Formula for Winning

The question is: how can Democrats win back the working class while also retaining support from the wealthier voters they have cultivated?

The answer is counterintuitive but mathematically sound: by showing that progressive economic policies benefit everyone—including wealthy people and investors.

This is not a lie. This is the truth. Progressive policies—higher wages, strong unions, universal healthcare, public investment, fair taxation—actually benefit wealthy people more than they benefit from inequality and stagnation.

Here is why:

Consumer spending drives 70 percent of GDP. This is not ideology. This is accounting. Consumer spending is the backbone of the American economy. When workers have more money, they spend it. When they spend it, businesses grow. When businesses grow, corporate profits rise. When corporate profits rise, stock prices rise. Wealthy investors make money.

The equation is simple: higher worker wages → higher consumer spending → higher corporate profits → higher stock prices. Wealthy people benefit from the entire chain.

But there is a critical second part: wealth concentration destroys this mechanism. When wealth is concentrated at the top, most economic gains go to people who already have money. Rich people do not spend proportionally to their income. They save. They invest. They do not drive consumer spending.

Today, the top 10 percent of Americans account for 50 percent of all consumer spending—up from 36 percent thirty years ago. This is concentration. And it is dangerous. The economy has become dependent on a small group of rich people. When they get nervous—when the stock market drops, when uncertainty rises—they cut spending. And when they cut spending, the entire economy suffers.

This is not just bad for workers. It is bad for investors. An economy dependent on wealthy consumer spending is fragile. A shock to asset values creates a recession. The 2008 financial crisis taught this lesson. Inequality plus speculation equals financial instability.

Inclusive growth is stable growth. An economy where workers earn good wages, where the middle class is strong, where consumer spending is broad-based—this is a stable economy. It is not dependent on the whims of a wealthy few. It grows consistently. It creates sustainable corporate profits. It generates reliable stock market returns.

This is not theory. This is historical fact. From 1950 to 1970, when unions were strong, when top tax rates were 91 percent, when workers had power, GDP growth was 3.9-4.8 percent annually. Stock markets grew steadily. Corporate profits were strong. Investors made money. Employees made money. Everyone benefited.

From 2000 to 2010, when inequality was rising, when union membership was falling, when worker power was collapsing, GDP growth was only 1.8 percent. This is the cost of inequality: slower growth, worse outcomes for everyone—including investors.

Financial instability from inequality threatens wealthy people most. When inequality is extreme, poor and middle-class people borrow more to maintain consumption. This creates debt bubbles. Banks become fragile. Financial crises become more likely. And when financial crises happen, wealthy people lose the most money.

The 2008 crisis saw wealthier households lose approximately 40-50 percent of their wealth. Poor households lost everything they had. Wealthy people recovered quickly. Poor people did not. But the lesson is clear: inequality creates fragility. Fragility creates crises. Crises hurt everyone.

"Nothing frightens those hoarding power and wealth more than when people are able to overcome their differences and hone their anger on a single, upward target. When workers are united, they have power. When they have power, the system must change."

The Winning Formula: How to Appeal to Both Workers AND Wealthy Interests

STEP 1: Make the Economic Case, Not the Moral Case

Do not start with "it is morally right to pay workers fairly." Start with "higher wages drive consumer spending, which drives GDP growth, which drives corporate profits and stock returns." This is not dishonest. This is true. And it appeals to wealthy people's self-interest, not their morality.

STEP 2: Frame Worker Power as Market Stability

Instead of "workers deserve more," say "strong wages and broad-based consumer spending create a stable economy with predictable returns for investors." Emphasize that a K-shaped economy (where only rich people spend) is fragile and vulnerable to shocks. A broad-based middle class is stable and profitable.

STEP 3: Show Historical Precedent

The 1950s-1960s: Strong unions, high wages, high top tax rates (91%), and strong economic growth (3.9-4.8% GDP), rising corporate profits, and rising stock prices. This is proof that worker power and investor returns can coexist. In fact, they complement each other.

STEP 4: Contrast With Recent Failure

Since 1980 (decline of unions, lower taxes, wealth concentration): Slower GDP growth (1.8% 2000-2010), more volatile markets, more frequent financial crises, lower real wage growth for workers. The neoliberal experiment has failed. Even for investors.

STEP 5: Propose the Win-Win

Higher minimum wage → more worker spending → more sales for businesses → higher corporate profits → higher stock prices. Stronger unions → more stable wages → more predictable consumer spending → more stable markets. Universal healthcare → workers spend less on healthcare, more on goods and services → increased business revenues → higher profits.

STEP 6: Emphasize Protection Against Risk

The wealthy are currently vulnerable. The economy is K-shaped, dependent on their spending. A stock market correction could trigger a recession. Progressive policies reduce risk by broadening the base of consumer spending, making the economy less dependent on wealthy household sentiment.

STEP 7: Promise Sustainable Returns Over Speculation

The current system is built on speculation and financialization. Progressive policies build an economy on sustainable, broad-based consumer demand and corporate fundamentals. This is less exciting but more profitable long-term.

THE CORE ARGUMENT:

Progressive economics is the most profitable economics. The system benefits everyone, including investors. Inequality is unstable, fragile, and ultimately destroys wealth. The 1950s-1960s prove this. It is time to go back.

✦ ✦ ✦

What Democrats Must Do Now

Fight for unions. This is not symbolic. This is structural. Unions are the institutional foundation of worker power. Without them, workers have no power. Democrats must commit to real union organizing, to real union protections, to making it easy to organize and hard to fire workers for union activity.

Make workers the center of messaging. Stop talking about abstract values. Start talking about wages, healthcare, housing, jobs, dignity. These are material interests. Workers care about material interests. So should the Democratic Party.

Raise the minimum wage significantly. Not $15 per hour. Higher. The federal minimum has been $7.25 since 2009. It should be $25 or higher, indexed to inflation. This is not a radical idea. This is a baseline demand.

Fight for universal healthcare. Not subsidies to private insurers. Universal healthcare. This is not about morality. It is about freeing workers from fear, increasing their bargaining power with employers, and creating stable consumer spending.

Defend unions aggressively. Fight right-to-work laws. Make it illegal. Impose penalties on companies that violate labor law. Use government power to protect union organizing. This is what a pro-labor party does.

Increase taxes on the wealthy and corporations. Not back to 91 percent top rates, necessarily. But back to 50+ percent for corporations, 50+ percent for wealthy individuals. Use that revenue to invest in infrastructure, education, and worker training. Show that this works by referencing the 1950s-1960s economic boom.

Stop pretending the wealthy will save the Democratic Party. They will not. Wealthy voters are a small percentage of the population. Elections are won by appealing to the majority. The majority are workers. Win back workers and you win elections. Pursue wealthy voters and you lose.

Make the economic case, not the moral case. Stop appealing to people's sense of fairness or morality. Most people do not have the luxury of voting on moral grounds. They vote on economic self-interest. Show workers that progressive policies improve their economic situation. Show investors that progressive policies create stable, profitable markets. Make it an economic argument, not a moral argument.

✦ ✦ ✦

The Hard Truth

The Democratic Party will not win back the working class by accident. It will not happen because the party gets scared of Republicans. It will not happen because of culture war issues or identity politics.

It will happen only when the Democratic Party makes a conscious decision to fight for workers again. To make unions central. To make wages central. To make healthcare central. To make jobs central. To make material interests central.

And it will happen only when the party understands—and communicates—that this is not just good for workers. It is good for everyone. Including investors. Including the wealthy. A stable, growing economy with broad-based prosperity is more profitable than an unstable, speculative economy dependent on concentration and fragile financial conditions.

The Democratic Party was built on this truth. For decades, it fought on this truth. Then it forgot. Now it must remember.

The formula exists. The evidence exists. The historical precedent exists. The economic argument exists. What is needed is the will to fight. When Democrats find that will again, they will win. And when they win, workers will finally have a party again.

Sources & Data

Democratic shift to neoliberalism: Democratic Leadership Council strategy (Al From quotes); Jimmy Carter 1976 nomination shift; Bill Clinton "end welfare as we know it"; Lily Geismer "Left Behind: The Democrats' Failed Attempt to Solve Inequality"; Jacobin analysis of Democratic dealignment. Union decline and Democratic response: Union membership 37% (1957) to 10% (2025); political scientist study (Enns, Kelly, Morgan, Witko) on reduced union funding → reduced Democratic labor talk; Boston Review analysis of Democratic failure to defend unions during decline; AFL-CIO president statement on Trump's effective labor messaging (November 2024). Working-class abandonment: 2016 Trump union support (highest GOP since Reagan); 2024 election working-class distance from Democrats; Bernie Sanders analysis of Democratic abandonment of working class. Economic arguments for progressive policies: Consumer spending = 70% of GDP (Federal Reserve, US Census Bureau); top 10% now 50% of spending vs. 36% thirty years ago (Emory Economics Review, TD Economics); GDP growth 1950-70 (3.9-4.8%) vs. 2000-10 (1.8%); inequality and financial instability (Fed research, academic studies on 2008 crisis); market vulnerability to concentration (PBS, CBO analysis); CEO pay growth 1,094% since 1978 vs. worker 26%. 1950s-1960s historical data: Union membership 35%+, top tax rate 91%, CEO:worker ratio 20:1, GDP growth 3.9-4.8%, stock market 8-10% annual returns (historical record). Neoliberal failure: Slower growth, more volatile markets, more frequent financial crises, unsustainable returns dependent on speculation.

Comments

Loading…

  • No comments yet. Be the first.
Orion Quinn
In the tradition of Mike Quin

Writes for Dangerous Thoughts on dignity, organizing, and the work of saving America and Americans — in the plain, fierce register of his grandfather, the labor journalist Mike Quin (1906–1947). These are his own words about today; Quin’s exact writing appears only in the archive, always cited.

You’re for people. So are we.

Find the others near you.

Find your peopleMore articles