The Kapp Putsch had left the ruling coalition back in power, but the political sphere had changed significantly. Luddendorf, a big figure on the right, had been disgraced while a number of monarchist forces within the military were either thrown in jail or resigned in disgrace. The Reichswehr, while having a significant portion supporting the Putsch, had refused to fire on each either regardless of political alignment and some officers had been key in putting the Putsch down. The DNVP, the largest party on the right, had been banned from politics after openly supporting the Putsch in the hopes of also restoring the monarchy. Most importantly, however, the left had called for a general strike to protect the fledgling democracy and it had been wildly successful. Too successful. As the Weimar government returned to Berlin and the Putsch was put down, many of the workers throughout the country refused to end the strike. They saw the power they held, and they would not simply stand by as the status quo was restored. It was then that negotiations began between the Weimar government and the country's largest unions, primarily the ADGB, Afa-Bund and DBB.

Firstly, the unions demanded the current Reichstag be dissolved before the elections. They further demanded that the elections originally meant to take place later in the year take place immediately following negotiations. The Weimar coalition easily agreed to both. The unions then demanded that worker councils be set up within all the major cities to be decided with immediate elections to happen after the federal elections had finished. They also demanded all illegal acts be granted amnesty. The SPD and USPD spent days arguing amongst themselves on the later two issues, the USPD pushing hard for the strikers to receive all their demands while the SPD feared a harsh pushback and a sacrifice of their own power to the USPD and the far-left. Eventually, they agree on a compromise where all the strikers will be granted amnesty as they acted under the request from the Weimar government itself, but they refused to set up worker councils[37/100]. The unions then also disagreed at first, but the Afa-Bund [68/100] and ADGB [97/100] accept the deal while the DBB at first refused [21/100]. The DBB was significantly smaller and weaker than the Afa-Bund and ADGB however, and eventually was strong-armed into signing the agreement, known as the Bielefeld Agreement. An exception to this would be the Ruhr, a region that was officially a LoN Mandate but had been without government for over half a year and was now an armed uprising out of the control of the unions.

As this agreement was signed, elections were then held as it went public. It was the first elections after the signing of the Treaty of Versailles, and with the treaty removing the right to vote from these Mandates dis-enfranchising them from participating in these elections, and this is directly after the DNVP ban. Workers, emboldened by their gains and the flexing of their power during the Kapp Putsch, came out in droves. The centrist and right-leaning region of the Rhineland as well as Southern Silesia was no longer voting, and the centrist and liberal regions of East Prussia and Mainz-Palatinate were also not voting. Due to all of these reasons, the votes were extremely one-sided. The USPD received 261 votes [pink], the SPD 82 [orange], Zentrum 47 [black], DVP 30 [blue], DDP 38 [yellow], and the KPD 1 [red]. The USPD now easily held a majority, but not a super-majority. With the main right party out of the running, many ran to the more center parties as the right struggled to find a replacement leading to the DVP gaining significantly. The liberals of the Weimar coalition, the DDP, also struggled as they were seen as the weak link of the group and failed to contribute during the Kapp Putsch. The SPD also struggled as they lost one of their strongholds in Schleswig-Holstein and also lost many of the working class to the USPD. Zentrum benefited from the loss of the DNVP and were now the largest party outside the SPD and USPD. This large swing as well as the infighting over the strikes lead to a fallout amongst the Weimar coalition as the DDP first refused to join and give the USPD a super majority, and then the SPD followed suit. The USPD now had more power in their own hands but were left relatively isolated. The SPD also still had Phillip Scheidemann as President for another 6 and a half years. While he could remove Eduard Bernstein, an ex-SPD member and now a member of USPD from Chancellorship, he knew if he did he risked being voted out of office and handing over both positions to the USPD and thus maintained the status quo. However, he realized the precarious situation he was in regardless and allowed for a slight reshuffling of the cabinet [14/100]. Otto Gessler [DDP] remained as the Minister of Defence, as Schiedemann refused to betray his allies in the DDP and Gessler had succeeded in defending the Weimar Republic from the Kapp Putsch. Karl Liebknecht [USPD] remained as the Minister of Labor as expected. Hermann Muller [SPD] was removed from his position as Minister of Foreign Affairs, being used as a scapegoat for being the one who had to officially sign Versailles. Friedrich Rosen [Independent] was chosen to take the position as he was a well-known and effective diplomat who was publicly pro-democracy and generally got along with all the parties except the anti-Semitic ones in the Reichstag. Emil Barth [USPD] took the position of Minister of Economics, having served in the provisional government of 1918-1919 with the USPD and SPD as well as being very popular for his key involvement in the creation of the Weimar Republic. Otto Landsberg [SDP] would remain as Minister of Justice.