The Knights of Labor organized the original parade on Tuesday, September 5, 1882 in New York City. In 1884 another parade was held, and the Knights passed resolutions to make this an annual event. Other labor organizations (and there were many), but notably the affiliates of the International Workingmen's Association, many of whom were socialists or anarchists, favored a May 1 holiday. In 1886 came the general strike which eventually won the eight-hour workday in the United States.
http://en.wikipedia.org/wiki/Labor_Day
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