The End of the New Deal

End of the New Deal■New Deal reached its high point

when FDR was re-elected in 1936

■FDR’s experienced more setbacks in his 2nd term than is 1st term but he still remained a popular leader

The 1936 election saw the birth of a new Democratic coalition that would last for

30 years: South, West, urban, labor, ethnic groups, blacks, & the poor

Packing the Supreme Court

■The Supreme Court was FDR’s last obstacle to overcome:–The Court ruled the NRA & AAA

were unconstitutional –FDR’s solution was to ask

Congress to appt 1 new justice for each justice over 70 yrs old

–This controversial “court packing” plan would add 6 new justices

Justice Willis Van Devanter planned to retire in 1932, but stayed on because he felt FDR was “unfitted & unsafe for the presidency”

All 9 justices were old, white men; Only 3 were sympathetic to the New Deal; 2 were unpredictable; 4 wanted to block New Deal

Schechter v. U.S. (1935)

U.S. v. Butler (1936)

Packing the Supreme Court■The court-packing scheme was

legal but set a scary precedent:

–The Senate strongly resisted FDR & the Court defended itself against “ageism” attacks

–The crisis ended when the Court declared the Wagner Act & Social Security constitutional & Judge Van Devanter resigned

FDR eventually appointed 5 justices to the Supreme Court in his 4 terms

The End of the New Deal■1938 saw the end of the New Deal

–Other than the Fair Labor Standards Act, FDR’s 2nd term saw no new New Deal programs

–FDR’s court-packing plan hurt his relationship with Congress

–The “Roosevelt Recession” of 1937 was the result of FDR’s attempt to reduce gov’t spending & balance the budget

Unemployment, 1929-1942

The Impact of the New Deal

The Impact on Organized Labor■Unions were weak in the 1920s:

–Only 3 million people were union members; Most joined the AFL which barred unskilled laborers

■In 1938, John Lewis formed the Congress of Industrial Congress of Industrial OrganizationsOrganizations (CIO) & used the Wagner Act to bring collective bargaining to more workers

Used strikes & sit-ins to unionize Ford, Chrysler, & GM

Peacefully unionized U.S. Steel

Unionized the textile, rubber, electrical, metal industries

By 1940, the CIO had more union members than the AFL (~10m total)

CIO President John Lewis

With AFL president Gompers way back in 1922

AFL-CIO merged in 1955

Republic Steel Strike in 1937

10 strikers died

The Impact on Organized Labor■For the 1st time, unskilled & skilled

laborers were unionized:–Women & African-Americans

benefited because they made up a large % of unskilled labors

–While the New Deal’s Wagner Act helped make unions stronger, major steps to unionize were initiated by the unions themselves, not the federal gov’t

The Impact on Women■The New Deal brought few

economic benefits to women:–The New Deal allowed for

unequal wages; Social Security, the NRA, & minimum wage laws offered little help for women

■But, women did see gains in gov’t: –The 1st female cabinet member,

Senator, ambassadors, & judges were appointed under FDR

The 1st female cabinet member: Francis Perkins (Dept of Labor)

The 1st female Senator: Hattie Caraway (D-Arkansas)

The Impact on African-Americans■The New Deal did little for blacks:

–Racism & segregation remained strong during the Depression

–The NRA allowed lower wage scales for black workers; The AAA allowed for the eviction of sharecroppers & tenant farmers

–Minimum wage & SS did not apply to farmers & domestic servants (65% were black)

The NRA stands for “Negroes Robbed Again”

AAA is a “continuation of the same old raw deal”

Social Security “looks like a sieve with the holes just large enough for the

majority of Negroes to fall through”—NAACP

Blacks experienced 50% unemployment rate

Blacks were the last hired & first fired

The Impact on African-Americans■Despite the inequalities of the

New Deal, blacks supported FDR:

–FDR hired African-Americans to key gov’t positions

–Eleanor Roosevelt spoke out against racial discrimination

–The RFC brought assistance to 40% of unemployed blacks through the WPA

“While relief & WPA are not ideal, they are better than the Hoover bread lines & they’ll have to do until the real thing comes along”

Eleanor Roosevelt with singer Marian Anderson

The Impact on Mexican-Americans■Mexican-Americans fared even

less than African-Americans:–The Dust Bowl led to a flood of

whites into the agricultural fields in the southwest

–Congress created immigration restrictions & allowed for the deportation of illegal residents to reduce state welfare payments

–Received few New Deal benefits

The Impact on Native Americans■Native-Americans remained the

poorest of all U.S. residents but did benefit from the New Deal

–The Indian Reorganization ActIndian Reorganization Act shifted U.S. Indian policy from Indians as yeoman farmers to unified & autonomous tribes

–Many gained employment in the Indian Bureau

The Impact on the South & West■The South & West benefited the

most from the New Deal:

–The AAA helped end Southern dependence on sharecropping in favor of a wage labor system

–The West received more work relief & welfare than any region

–Hydroelectric power & irrigation programs helped residents

ConclusionConclusion:The New Deal &

American Life

The New Deal and American Life■The New Deal lasted only 5 years

(1933-1938); The majority of laws came in 2 bursts in 1933 & 1935:

■The New Deal was not very successful economically: –Helped relieve suffering but did

not end the Depression–American wealth remained

unequally distributed

First Hundred Days

Second Hundred Days

10 million were still unemployed

in 1939

12 million were unemployed when FDR

took office in 1933

The New Deal & American Life■The New Deal was more

successful socially:

–Social Security, Wagner Act, & the Fair Labor Standards Act helped elderly & disabled citizens, labor unions, & workers

–The New Deal did not help women, minorities, domestic workers, or small farmers

The New Deal and American Life■The New Deal was most

successful politically:

–FDR’s leadership unified a new Democratic voting bloc

–FDR used his leadership & optimism to provide a vital psychological lift to help citizens endure the Great Depression