Direct Action was the newspaper of the local branch of the International Workers of the World, also known as the Industrial Workers of the World, a radical labour movement. The organisation was founded in Chicago in 1905 but by the 1920s had been hounded out of existence in America. However, in Australia branches continued to be active for a long period after this time. The phrase 'pie in the sky' was first coined in a song lampooning the ideals of the IWW in America.

During the 1928 Australia-wide waterside workers dispute, the young Adelaide editor of Direct Action, Ted Dickinson, was arrested for his part in the 4,000 strong riot that occurred at Outer Harbor. He also faced a second charge of sedition, based on articles he had written for Direct Action following the riot. Charged in the Supreme Court in November, Dickinson spent a total of nine months in jail. Although he wrote one editorial from prison, his position as editor was initially filled by PS Lands. From 1929 the editor was J. Zwolsman. An early writer for the newspaper was Hamilton Nimmo.