Labour Charter of 1927
Encyclopedia
The Charter of Labour of 1927 was one of the main pieces of legislation Benito Mussolini
Benito Mussolini
Benito Amilcare Andrea Mussolini was an Italian politician who led the National Fascist Party and is credited with being one of the key figures in the creation of Fascism....

, the Italian Fascist dictator from 1922-43, introduced in his attempts to modernise the Italian economy. The Charter was promulgated by the Grand Council of Fascism
Grand Council of Fascism
The Grand Council of Fascism was the main body of Mussolini's Fascist government in Italy. A body which held and applied great power to control the institutions of government, it was created as a party body in 1923 and became a state body on 9 December 1928....

 and publicized in the Lavoro d'Italia newspaper on April 23, 1927. It was mainly designed by Giuseppe Bottai
Giuseppe Bottai
Guiseppe Bottai was an Italian lawyer, economist, journalist, and member of the National Fascist Party of Benito Mussolini.-Fascism:...

, Under-Secretary of State of Corporations.

The Charter declared private enterprise to be the most efficient http://www.publiceye.org/fascist/corporatism.html, thus helping Mussolini to confirm the support of the rich industrialists who were the initial backers of Fascism. It insisted that state intervention was legitime only where private enterprise was deficient. Article 7 thus stated that:
"The corporative State considers private initiative, in the field of production, as the most efficient and useful instrument of the Nation."


Article 9 stated that:
"State intervention in economic production may take place only where private initiative is lacking or is insufficient, or when are at stakes the political interest of the State. This intervention may take the form of control, encouragement or direct management."


It created a Labour Court supposed to regulate labour controversies (article 5), as well as corporations
Corporatism
Corporatism, also known as corporativism, is a system of economic, political, or social organization that involves association of the people of society into corporate groups, such as agricultural, business, ethnic, labor, military, patronage, or scientific affiliations, on the basis of common...

 aimed at superating class conflict
Class conflict
Class conflict is the tension or antagonism which exists in society due to competing socioeconomic interests between people of different classes....

. This objective was more or less concretized in the 1934 law on corporations, although workers did not have the possibility of electing their representants, who were nominated by the state. Beside these state-nominated workers' representants, the corporations had representants of the firms' directors. In the end, this legislation was more about Mussolini keeping his own personal power than improving the lives of the people of Italy because, in its effects, it was practically useless.

Collective contracts (established by article 4) were negotiated following the issuing of the Charter of Labour, but with the effect of a decrease in wages.
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