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50 The GI Bill: Whites Only Need Apply KAREN BRODKIN SACKS The GI Bill of Rights, as the 1944 Serviceman's Readjustment Act was known, was arguably the most massive affirmative action program in U.S. history. It was created to develop needed labor-force skills, and to provide those who had them with a life-style that reflected their value to the economy. The GI benefits ultimately extended to sixteen million GIs (veterans of the Korean War as well) included priority in jobsthat is, preferential hiring, but no one objected to it then-financial support during the job search; small loans for starting up businesses; and, most important, low-interest home loans and educational benefits, which included tuition and living expenses. This legislation was rightly regarded as one of the most revolutionary postwar programs. I call it affirmative action because it was aimed at and disproportionately helped male, Iuro-origin GIs. GI benefits, like the New Deal affirmative action programs before them and the 1960s affirmative action programs after them, were responses to protest. Business executives and the general public believed that the war economy had only temporarily halted the Great Depression. Many feared its return and a return to the labor strife and radicalism of the 1930s. "[M]emories of the Depression remained vivid and many people suffered from what Davis Ross has aptly called 'depression psychosis'-the fear that the war would inevitably be followed by layoffs and mass unemployment."l It was a reasonable fear. The eleven million military personnel who were demobilized in the 1940s represented a quarter of the U.S. labor force. In addition, ending war production brought a huge number of layoffs, growing unemployment, and a high rate of inflation. To recoup wartime losses in real wages caused by inflation as well as by the unions' nostrike pledge in support of the war effort, workers staged a massive wave of strikes in 1946. More workers went out on strike that year than ever before, targeting all the heavy industries : railroads, coal mining, auto, steel, and electrical. For a brief moment, it looked like class struggle all over again. But government and business leaders had learned from the experience of bitter labor struggles after World War I just how important it was to assist demobilized soldiers. The GI Bill resulted from their determination to avoid those mistakes this time. The biggest benefits of this legislation were for college and technical school education , and for very cheap home mortgages. It is important to remember that prior to the war a college degree was still very much a "mark of the upper class."2 Colleges were largely finishing schools for Protestant elites. Before the postwar boom, schools could not begin to accommodate the American masses. From RACE, edited by Steven Gregory and Roger Sanjek. "How DID JEWS BECOME WHITE FOLKS," copyright © 1994 by Karen Brodkin Sacks. Reprinted by permission of the author. Copyrighted Material The GI Bill: Whites Only Need Apply 311 Even in New York City before the 1930s, neither the public schools nor City College had room for more than a tiny fr'action of potential immigrant students. Not so after the war. The almost eight million GIs who took advantage of their educational benefits under the GI bill caused "the greatest wave of college building in American history."3 White male GIs were able to take advantage of their educational benefits for college and technical training, so they were particularly well positioned to seize the opportunities provided by the new demands for professional, managerial, and technical labor. "It has been well documented that the GI educational benefits transformed American highp.r education and raised the educational level of that generation and generations to come. With many provisions for assistance in upgrading their educational attainments veterans pulled ahead of nonveterans in earning capacity. In the long run it was the nonveterans who had fewer opportunities."4 Just how valuable a college education was for white men's occupational mobility can be seen in John Keller's study of who benefited from the metamorphosis of California's Santa Clara Valley into Silicon Valley. Formerly a'n agricultural region, in the 1950s the area became the scene of explosive growth in the semiconductor electronics industry. This industry epitomized the postwar economy and occupational structure. It owed its existence directly to the military and to the National Aeronautics and Space Administration (NASA), who were its major funders and its major markets. It had an increasingly white...


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