THE SECOND NEW DEAL – Chapter 18, Section 3 By Mr. Thomas Parsons

I. Challenges to the New Deal A.Support of Roosevelt and his New Deal began to fade in B.It was questioned from both political parties. C.His programs relied on Deficit Spending rather than a balanced budget

D. The American Liberty League - Anti-New Deal politicians from both parties

E. Huey Long – left wing Democrat 1.He proposed taking property from rich and dividing it amongst the poor. 2.His popularity could have cost FDR the 1936 election if he ran on a third party

F. Father Charles Coughlin - Catholic priest in Detroit 1.He formed the National Union for Social Justice 2.He gave further support to Huey Long

G. Dr. Francis Townsend 1. He proposed the Federal Government give citizens 60 and over a pension of $200 a month 2. He claimed his pension would increase spending and stimulate manufacturing

II. Launching the Second New Deal (1935) A. Aimed programs at reform and recovery B. The Works Progress Administration (WPA) 1. headed by Harry Hopkins 2. Spent $11 billion creating jobs 3. Controversial - offered work to artists, musicians, theater and writers

C. Court struck down NRA D. FDR held congress over to pass his programs – called his “second 100 days”

III. The Rise of Industrial Unions A. New labor legislation was created – FDR believed high union wages would allow more spending.

B. National Labor Relations Act (Wagner Act) 1.Passed June, It guaranteed workers the right to organize 3.It gave them the right to collectively bargain 4.It set up the National Labor Relations Board (NLRB) – organized factory elections by secret ballot 5.It set up binding arbitration to hear labor issue

C. The Committee for Industrial Organization (CIO) was formed to organize industrial unions

D. General Motors auto-body plant in Cleveland Ohio – workers held sit-down strike to protest demotions of union workers 1.Workers in at the company’s plant in Flint Michigan did the same. 2.Violence broke out 3.GM finally gave in 4.The United Auto Workers was formed (UAW) – one of the most powerful unions in the US

IV. The Social Security Act A. SSA became law in It provided a monthly retirement benefit and unemployment insurance. 2. Workers earned the right to receive benefits by paying premiums

B. SSA helped many later but initially left out the neediest members such as farmers and domestic workers.