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As unions flagged, business interests sensed an opportunity. Corporate lobbyists made deep inroads in both parties, launching a public relations campaign that blamed labor for the slump and pressured policymakers to roll back worker protections.[16] A national litmus test arrived in 1981, when thirteen thousand unionized air traffic controllers left their posts after contract negotiations with the Federal Aviation Administration broke down. When workers refused to return to work, President Reagan fired all of them. The public’s response was muted, and corporate America learned that it could crush unions with minimal blowback. In 1985, Hormel Foods, of Spam and Dinty Moore beef stew fame, cut worker pay in its Austin, Minnesota, plant from $10.69 to $8.25 an hour and kneecapped the strike that followed by hiring replacements. “If the President of the United States can replace strikers, this must be socially acceptable,” remarked one observer at the time.[17] And so it went, in one industry after another. As global trade expanded and plants shuttered, unions collapsed, and corporate interests made sure they remained weak.
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