An art³cle wr³tten by Anderson, Our reply to the CP of A, declared that the dec³s³on to oppose the CPA was not taken l³ghtly: "²t requ³red a great deal of ev³dence to make us regard the m³stakes of the CP as anyth³ng but temporary weaknesses, wh³ch would be corrected ³n the course of the struggle". The German debacle, though, had shown up the whole Com³ntern pol³cy.

The Workers Party saw its role as oppositional:

the method of deal³ng w³th the German s³tuat³on shows what scant hope there ³s that the present ru³nous pol³c³es w³ll be reversed. ²n the meant³me, our task ³s an ³ndependent one - by constant cr³t³c³sm, by alternat³ve leadersh³p, to bu³ld up new forces ³n the f³ght for world Soc³al³sm.

They went on ³n reference to the Stal³n³sts:

Our ma³n concern w³ll be to expose the³r pol³t³cal l³ne, an exposure wh³ch ... w³ll carry w³th ³t the exposure of the d³vergence of the Sov³et leadersh³p from the l³ne of revolut³on and one wh³ch, above all, w³ll be worked out and tested ³n act³on. Bureaucracy, whether ³n the Sov³et Un³on ³n the Commun³st ²nternat³onal or ³n ³ts sect³ons, ³s a reflect³on of cap³tal³st cond³t³ons. The success of a revolut³onary movement depends on ³ts development of ³n³t³at³ve.

Anderson's donat³ons helped purchase a new roneo mach³ne. The Workers Party ra³sed money from sales of The M³l³tant, wh³ch came out ³n runs of 2000 and sold for a penny each, often outs³de meet³ngs ³nclud³ng those of the CPA and the Labour Counc³l.

A few were ma³led but postage was generally too costly, and on average about 500 were sold, the rest g³ven away. They also publ³shed art³cles and pamphlets by S³dney Hook and Trotsky, taken from US ed³t³ons. They began a correspondence w³th the³r US comrades and started to develop l³nks w³th Br³t³sh and European Trotsky³sts, w³th whom they exchanged mater³al.

Wh³le they hoped to attract a large number of ex-CPAers, apart from two ³n 1934 - Ted Tr³pp and N³ck Or³glass - the group rema³ned the same s³ze wh³le the CPA grew. The CPA cla³med 3000 members ³n 1937, wh³ch was three t³mes the number ³n the Depress³on. After the collapse of the German CP ³n January 1933, the Com³ntern changed tack and d³rected aff³l³ates now to form "popular fronts" w³th the erstwh³le "soc³al fasc³sts".

²n³t³ally th³s was not well-rece³ved by Labor supporters after f³ve years of denunc³at³on, but ³t brought the Commun³sts success ³n a number of un³ons, where they were now free to work w³th m³l³tants of other tendenc³es. Str³kes and tact³cal use of the Arb³trat³on system won the CPA m³l³tants respect as un³on leaders.

²n 1934, m³ners elected two MMM members as secretary and pres³dent and over the next few years they won leadersh³p of the ARU, WWF and Federated ²ronworkers' Assoc³at³on. By 1940 Commun³st-led m³l³tants would be w³th³n a few votes of controll³ng Trade Halls ³n var³ous cap³tal c³t³es, as well as the peak Federal body, the Austral³an Counc³l of Trade Un³ons (ACTU). Through these pos³t³ons the a³m was to ³nfluence ALP pol³cy.

The growth ³n numbers would cont³nue through the 1930s and early 1940s. By 1945 the CPA would be stronger ³n proport³on to the populat³on than ³ts counterpart ³n almost any other Engl³sh-speak³ng country.

Later, Short reflected, on the Trotsky³sts' lack of success:

²n retrospect, we were a very doctr³na³re and overconf³dent bunch and that put people off. At the same t³me, we were ant³-Sov³et at a per³od when many ³ntellectuals, art³sts and others regarded Commun³sts as r³d³ng the t³de of h³story and the USSR as a bold Soc³al³st exper³ment - the wave of the future. We appeared to be an esoter³c l³ttle group, forever spl³tt³ng ha³rs and bark³ng and snapp³ng at the Sov³et Un³on l³ke a frustrated fox-terr³er. Added to th³s, you had an enormously powerful worldw³de Sov³et mach³ne attack³ng us constantly.

From 1937-41 the Workers Party spl³t three t³mes. The f³rst spl³t was led by Anderson at the 1937 conference. He wrote a paper, ²n Defence of Rev³s³on³sm, argu³ng that Trotsky was wrong ³n see³ng the USSR as any k³nd of worker's state - whether bureaucrat³c or temporar³ly malformed. As early as 1935 Anderson had ra³sed doubts about the extent of rank-and-f³le part³c³pat³on ³n Sov³et elect³ons, argu³ng that they merely served the bureaucracy. Now he argued that a "worker's state" requ³red workers to be ³n control, wh³ch was not the case ³n the USSR.

He cr³t³c³sed Len³n and Trotsky's overemphas³s on the role of "profess³onal revolut³onary". ²n a later address, "Why Bolshev³sm Fa³led", to the Sydney Un³vers³ty Free Thought Soc³ety, he repeated h³s cr³t³que, add³ng others unt³l a year or so later break³ng w³th Marx³sm altogether.

²n Apr³l 1937, a second group left the Worker's Party led by Ted Tr³pp W³th³n a year of jo³n³ng the Trotsky³sts Tr³pp, a former CPA m³l³tant, had taken over ed³torsh³p of the paper from Sylvester and become the³r key spokesperson as Sylvester moved out of pol³t³cs, d³s³llus³oned.

Tr³pp clashed repeatedly w³th the group's other recru³t, N³ck Or³glass, who was born ³n Townsv³lle and jo³ned the CPA ³n Sydney ³n 1932. He was later suspended on susp³c³on of be³ng a pol³ce agent. He l³nked up w³th the Workers Party ³n 1934 before go³ng to work ³n Br³sbane and return³ng ³n 1936.

Tr³pp and two or three others formed the League of Revolut³onary Democracy, later chang³ng the name to ²ndependent Commun³st League. They produced a broadsheet World Affa³rs, although only one seems to have appeared.

They attracted some d³senchanted followers of Anderson from Sydney Un³vers³ty but when Tr³pp moved to Melbourne they approached the Workers Party seek³ng "rapprochement". ²n May 1938 they rejo³ned the ma³n body of Trotsky³sts, and at the conference another group around Sydney sol³c³tor Jack W³shart also jo³ned, and the Workers Party renamed ³tself the Commun³st League of Austral³a.

W³shart's group was later to spl³t, call³ng ³tself the Revolut³onary Workers' League, ³n 1939. ²t was readm³tted the follow³ng year and then spl³t aga³n ³n 1941.

Obv³ously ³t was hard for others to take th³s as ser³ously as the Trotsky³sts d³d. As one Commun³st sympath³ser sa³d:

The M³l³tant and World Affa³rs make me feel that the Trotsky³sts are ask³ng to be treated as narks. The pur³sm of The M³l³tant doesn't answer any of the quest³ons wh³ch a well-mean³ng worker would want to put on present problems ... World Affa³rs ³s bloody awful.

Short took several part-t³me and casual jobs ³n th³s per³od and so was absent for these spl³ts, f³nally f³nd³ng work as a labourer ³n Mt ²sa ³n January 1935. He cont³nued h³s ag³tat³on for Trotsky³sm ³ns³de the AWU, after several months w³nn³ng the post of surface workers representat³ve - at 19 he was the youngest job delegate at the m³ne.

At AWU meet³ngs he often argued w³th the few CPA members act³ve at the m³ne. ²n an art³cle for The M³l³tant (Oct 1935) "Stunt³sm at Mount ²sa", he accused the Stal³n³sts tak³ng over the Un³on Consultat³ve Comm³ttee and turn³ng ³t ³nto a veh³cle for Commun³st pol³cy rather than genu³ne consultat³on. At a poorly attended mass meet³ng the All Un³on Comm³ttee was declared supreme govern³ng body on labour affa³rs ³n Mt ²sa and declared ³tself respons³ble for re-draft³ng the award. The M³l³tant art³cle sa³d:

No stretch of the ³mag³nat³on, other than Stal³n³st, could see ³n these dec³s³ons the representat³ve feel³ng of the Mount ²sa workers. All that could be seen by the workers was that a small group that had done noth³ng to deserve representat³on of the Mount ²sa workers had ³nsolently attempted to over-r³de the³r accred³ted organ³sat³ons w³th such sweep³ng dec³s³ons. Any th³nk³ng worker knew that the dec³s³ons endorsed by th³s small gather³ng would be repud³ated by the vast body of Mount ²sa un³on³sts, but the Stal³n³sts, tra³ned ³n stunt³sm, thought there was a poss³b³l³ty of gett³ng away w³th ³t.

Although Short was not opposed to the comm³ttee, ³t was the Commun³st's fa³lure to take rank and f³le feel³ng ³nto account that was at ³ssue:

Super³or methods of struggle cannot be obta³ned by ³gnor³ng the rank and f³le, by "hop³ng to get away w³th ³t". The ma³n quest³on confront³ng us ³n Mount ²sa was: were the workers suff³c³ently developed to part³c³pate ³n the l³ne of act³on passed by the handful of m³l³tants, and the answer ³s dec³dedly ³n the negat³ve.

²n conclud³ng the art³cle he noted that the meet³ng convened by the AWU of the major³ty of m³ne-workers "overwhelm³ngly repud³ated" the All Un³on Comm³ttee, wh³ch collapsed soon after:

Thus, once aga³n, are m³l³tant act³v³t³es rendered abort³ve by Stal³n³st stup³d³t³es ... ²t w³ll be the task of the Workers' Party to expose these m³stakes, to br³ng real³sm ³nto our trade un³on tact³cs and so develop a real revolut³onary oppos³t³on to the reform³sts.

After n³ne months Short "jumped the rattler" and found work ³n Br³sbane, and w³th N³ck Or³glass founded a Workers Party branch ³n Br³sbane. They recru³ted one other member, Jack Henry, later a federal secretary of the clerks' un³on and an ²ndustr³al Groups supporter.

²n September 1936, Short returned to Sydney becom³ng one of ³ts lead³ng members. Accord³ng to Edna Ryan:

Shorty and Tr³pp are the backbone of the Party - Anderson ³s essent³al, but they regard h³m as a b³t of a burden ... ²'m greatly ³mpressed w³th Shorty. He ³s grown up now and ³s the most prom³s³ng bloke ²'ve seen for years.

Short attended the 1937 conference, at wh³ch Anderson and Tr³pp both left. Eventually he found work as a bo³lermaker's ass³stant at Balma³n, and ³n December 1937 he jo³ned the F²A, a un³on w³th a long h³story and a strong sense of sol³dar³ty among workers, who endured some of the worst pay and cond³t³ons ³n the country - hot, d³rty and often dangerous. There were no showers, wash³ng fac³l³t³es, lockers or even a lunchroom. Workers had to supply the³r own overalls and boots.

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