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(en) Britain, Anarchist-communist Common Action: Thousands of jobs at stake, yet all is quiet on the Leftist front
Date
Fri, 18 Jan 2013 17:10:46 +0200
So the news this week is the now-familiar story of High Street titans going into
administration, with only Deloitte set to gain from their collapse as thousands of jobs
are put at risk. Joining the long line of has-beens (remember Woolworths, JJB, Our Price,
Comet…) and the recent closure of Jessops (costing 1370 jobs), HMV and Blockbuster have
declared their insolvency. They have between them around 8700 jobs at stake. ---- Cue a
series of bizarre claims about the situation from the ‘loony left’. Sunny Hundal of
Liberal Conspiracy claimed the demise of HMV was due to letting Amazon off the tax hook.
Nothing to do with rising rents, a stagnant customer base, and online competitors having
superior distribution models and lower costs of variable capital then… Unfortunately this
type of delusion is the result of viewing the economy through the newly-popular lens of
‘tax justice’.
‘Traditional’ models of retailing such as those found in so many High Street stores are
fast becoming outmoded by their online counterparts, which have cheaper prices, fewer
staff to employ and are able to provide quick, cheap and hassle-free distribution. In
just five years internet sales have increased from comprising under 4% of national retail
sales (excluding petrol), to over 10%. Last annum, internet spending grew 25%. This week
as Blockbuster went into administration, online streaming websites Netflix and Lovefilm
were pointed at as the main source of the rental store’s struggles, alongside cheap DVD
prices provided by supermarkets.
Similarly, while HMV was initially able to cash in on the demise of Woolworths, Virgin
Megastore and Zavvi, the only surviving national music store now has nowhere to go and
missed the online boat a long time ago. The Financial Times said this week that HMV’s
closure would have an “irreversible negative impact on the entertainment industry” with
record labels and distributors particularly concerned. In the last 10 years, online
downloads of music and film have rocketed from 6.5% to 73.4%, without taking pirate
downloads into consideration. The blame is particularly being aimed at iTunes, which by
far has a monopoly on music downloads, and Amazon, which is most popular for DVDs, CDs and
books, as well as electrical items. Such is the anger directed at Amazon from the High
Street, that recently even James Daunt, Waterstones boss, labelled the online company a
“ruthless, money-making devil”.
While there has been limited speculation that HMV’s decline could benefit independent
retailers, the headline story has been the 4500 jobs at risk as long as there exists the
threat of closure. Notably, there has been a silence from the majority of the ‘left’.
Aside from Mr Hundal’s (ahem) insightful input mentioned above, the most significant
contribution came from the Socialist Party youth campaign, ‘Youth Fight for Jobs’,
tweeting: “Govt should nationalise #HMV to save jobs… Invest in #job creation & make the
1% pay for it!”
Yes, really, the nationalisation of a CD shop.
The ‘1%’ reference and re-hashed and irrelevant Keynesian sentiment aside (transglobal
companies often have the means to avoid potential constraints nation states may place upon
them), we should be aware that while these mass redundancies are being threatened, those
who claim to be on the side of the workers (anarchist communists included) are too often
either coming up with bizarre solutions or remaining silent. The case of HMV is becoming
typical, which is all the more reason for it to be of interest to us. What would be the
best option from the workers’ point of view? Strike action in this instance could seem
self-defeating as it would potentially bring the closure date forward. Indeed we cannot
ignore that HMV is insolvent. Perhaps the most appealing option would be to strip the
company’s assets and redistribute the surplus to the workers? There is no clear cut
answer, but these are the kind of discussions we need to be having if we want to relate to
the real problems we are presented with.
Furthermore, we might ask how, as communists, we relate to this shift in distribution
model. Clearly it is successful in satisfying an existing desire, as can be extrapolated
from the rise in internet retail spending; however it also requires fewer workers in the
process, and compliments the UK government’s ambitions of making Britain more
‘competitive’ by undercutting labour standards. Given that union density in the
traditional retail sector is already sparse, how do we need to augment our ideas now that
retail is moving online? It is worth noting here that current attacks on postal workers
are often shrouded in the guise that mail is becoming ‘outmoded’ – interesting as online
retailers rely on it. Currently, it seems that leftists are unwilling to move out of
their comfort zone, particularly when it comes to supporting workers in the service sector
(which makes up over 78% of the economy – ONS) where work is so often especially
precarious. We need to overcome this attitude if we genuinely want to make communist
ideas a leading alternative in public discourse.
-CM.
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