A broad literature on state-labor relations (Bellin 2000; Murillo 2001; Collier and Collier 1991) argues that state-corporatist institutions can be utilized to restrain workers’ collective action, particularly in authoritarian contexts. However, when these institutions break down, considerable rank-and-file militancy can result (Aidi 2008; Hartshorn 2018; Bishara 2018). While confirming these expectations, this paper goes a step further to ask: What are the broader social implications when workers decide to (finally) break away from authoritarian state-corporatist institutions? In Jordan, the late-2000s saw marked increases in labor protests and strikes over previous years, with incidences of labor protests peaking in 2011 and 2012 (Adely 2012b; Jordan Labor Watch 2011). Among these, two major protest waves broke out among workers in two of Jordan’s most economically vital sectors: The Port of Aqaba (between 2009 and 2012) and the Jordan Phosphate Mines Company (JPMC) (between 2011 and 2012). These cases were similar in that labor unrest did not immediately emerge following the privatization of the two companies (in 2006 and 2007, respectively), but when workers did mobilize, they did so by rejecting state-corporatist labor institutions—actions which reflected their growing illegitimacy in the eyes of workers. Additionally, by challenging both state-corporatist institutions and neoliberal policies, workers’ movements also precipitated the breakdown of regime hegemony locally, spurring mass popular resistance in regions impacted by privatizations. Utilizing process tracing methods and interviews conducted during fieldwork in Jordan, this paper elucidates the mechanisms connecting corporatist breakdown to the outbreak of localized resistance against authoritarian rule. In doing so, this paper contributes to broader conversations in comparative politics regarding the nature of institutional modes of authoritarian control, while also drawing connections to localized sites of resistance in other cases, such as Tunisia’s Gafsa Mining Basin and al-Mahalla al-Kubra in Egypt.