Cardenas- Oil Industry

Despite Recovery, oil workers were not seeing wage increases

Workers went on strike

This disrupted Mexico's primary means to gain foreign revenue

Cardenas supported the strike

The industry was domintated by British and the U.S.

This made the strike a nationalist symbol

Cardenas decided he had to intervene

He discovered the companies could affort to pay the increases

The companies refused to consider an increase

FDR refused to intervene

Cardenas decides to nationalize the oil industry

Mexico paid only $130M of the $450M demanded

The companies made the transition difficult

Cardenas formed a state-run company- PEMEX to

Mexicans overwhelmingly supported this venture

Eventually, PEMEX was successful and survives

Conflict ends as FDR wants harmony

Cardenas was more popular than ever

He dispands the old PNR & forms a new party

The PRM cemented a relationship between the government & the workers

This popular era became known as the Cardenismo