A federal election for the fifth Reichstag of the German Empire was held on 27 October 1881. It was a regularly scheduled election under the Reichstag's three-year terms of office.
The dominant issues were protective tariffs and the government's requests for increased taxes. The conservative parties, which supported the government, lost seats, leaving the Reichstag without options for a stable majority. As a result, Chancellor Otto von Bismarck was unable to realize many of his plans in the new parliament.
Historical background
Taxes and tariffs were the dominant issue in the 1881 election. Increasing competition from abroad had led to the passage of protective tariffs on agricultural and industrial goods in 1879. The Catholic Centre Party, German Conservative Party and 27 out of 97 members of the National Liberal Party voted for the tariff bill, while the Social Democratic Party (SPD) and the remainder of the National Liberals opposed it. The differences of opinion within the National Liberal Party led to a group of members from its left wing splitting off and forming the Liberal Union in 1880.
In spite of the income from tariffs, the government needed additional revenue to cover its expenses. In the autumn of 1880, the Reichstag approved a seven-year budget for the military, but a majority resisted the additional tax increases that the government later requested. Chancellor Otto von Bismarck hoped that the election of 1881 would improve the chances of passing his tax package.
Electoral system
The election was held under general, equal, direct and secret suffrage. All German males over the age of 25 years were able to vote except for active members of the military and recipients of poor relief. The restrictions on the military were meant to keep it from becoming politicized, while men on relief were considered to be open to political manipulation. The constitutional guarantee of a secret vote was not safeguarded at the time, since ballot boxes and polling booths were not introduced until 1903.
If no candidate in a district won an absolute majority of the votes, a runoff election was held between the first- and second-place finishers. It was possible for a replacement candidate to be introduced in a runoff.
Results
The parties that Bismarck generally relied on for votes lost seats in the election. The Centre, Conservatives and German Reich Party (Free Conservatives) together had 177 seats, down 33 from the previous election and well short of the 199 needed for a majority. Opposite the conservative grouping stood the Liberal Union and German Progress Party with 106 seats. They and the National Liberal Party with its 45 seats formed a Kartell with the aim of coming to a mutual understanding before critical votes.
The share of the vote going to the Social Democratic Party (officially still named the Socialist Workers' Party) dropped by just 1.5% despite the harsh restrictions placed on it by the Anti-Socialist Law in 1878. The number of seats it won in the Reichstag actually rose, from 9 to 13.
Aftermath
Because he lacked a majority in the Reichstag, Bismarck's only choices were to try to put together temporary blocs that would support him or to rule without parliament. His attempts to do the latter ran into opposition from both his advisors and the Reichstag, which refused to grant him the necessary funds. As a result, many of Bismarck's post-election reform plans had to be shelved.
Emperor Wilhelm I was so unhappy about how little the SPD's share of the vote had decreased that he sent a note to the Reichstag saying that the government would hold to its tax and tariff policies even against the Reichstag's opposition. He also issued a decree to public officials requiring them to advocate the government's positions.
Bismarck came to realize that he needed to change course and try to win over the socialists. In November 1881, he announced a bill to provide workers with insurance against accident, illness, disability and old age. The corresponding laws began to go into effect in 1883. The Anti-Socialist Law remained in effect until 1890.