Recession was having a negative impact on many companies and the SAF therefore wanted to lower wages.

A lockout of 80,000 workers in the textile-, sawmill- and pulp industry was put in effect.

Funds were short and forced the union to end the strike after a month, resulting in major membership losses.

The LO lost almost half of its members, some to the newly formed anarcho-syndicalist Central Organisation of the Workers of Sweden.

The anarcho-syndicalists argued that the management of the LO had handled the strike half-heartedly and only started it to curb its members' more radical stance.