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With the passage of the Civil Rights Act of 1964 and the Voting Rights Act of 1965, civil rights leaders redirected their focus on securing economic parity for all minorities. Operation PUSH (People United to Save [later changed to “Serve”] Humanity) was established in Chicago, in 1971, by Reverend Jesse Jackson, Sr., after the dissolution of Operation Breadbasket, the economic arm of the Southern Christian Leadership Conference (SCLC).

In Chicago, Jackson worked as national director of Operation Breadbasket. In 1971, the SCLC Board of Directors suspended him for failing to incorporate the annual Black Business Expo in the name of the SCLC. Later that month, Jackson resigned and started Operation PUSH.

Jackson's new group focused on “economic colonialism” by White-owned businesses. Using his “kingdom theory,” he described how Blacks could exert “the authority of kings” to control every aspect of the numerous economies that influence their lives. He argued that once control has been achieved, political involvement is essential if Blacks wish to protect these gains. As a result, he began negotiating “a Marshall Plan for African Americans” that would be financed by U.S. corporations and financial institutions.

The success of PUSH was due in large part to three factors. First, when Jackson resigned from the SCLC, all the organization's resources went with him; the most notable (and profitable) among them was Jackson himself. Because of his tremendous popularity, participants at the weekly meetings—along with their financial contributions—literally followed him to PUSH headquarters. Second, the “selective patronage” techniques employed by Jackson were effective, though sometimes considered economic intimidation. In an attempt to serve as a “corporate conscience” to large corporations that catered to African American consumers, Jackson would threaten to initiate a boycott if owners refused to adequately invest in the African American community. Finally, PUSH was successful because its goals were consistent with those of the government and corporations anxious to support affirmative action programs.

Corporate Covenants

The PUSH Covenant program used local ministers to deliver a “Diversity Questionnaire” to White-owned businesses that catered to the Black community; the purpose was to determine what percentage of their workforce and suppliers was Black. If the percentages were grossly inconsistent, the ministers would again meet with the owner (at a site in a more impoverished area of the Black community) and request that the company employ higher percentages of Blacks, especially in upper management, and transfer a portion of their banking to Black-owned banks. If the business owner refused, Jackson and other members of the clergy would call for a boycott; if the owner agreed and signed a “covenant,” members of the organization would work to educate the owner and staff about the challenges of increased desegregation.

Over time, Jackson negotiated covenants with corporations such as Avon, Burger King, Coca-Cola, General Foods, Ford Motors, Kentucky Fried Chicken, Miller Brewing, Quaker Oats, and Revlon. While the covenants demonstrated PUSH's commitment to achieving economic parity for minorities, one major criticism was that once the covenant was signed, there was no system in place to ensure that the company would keep their promises—and often they did not.

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