Can someone explain to me why section 2 is common sense, then?
Because workers know best how to do their jobs and have a better feel for who they'd want to work with than do employers. Besides that, workers should have more input on the job, and electing their direct supervisor would be a step toward that. Workers already elect shop stewards at a number of workplaces, it wouldn't be beyond the capacity of workers to elect a manager that manages the work that they do. Those workers that are most willing to work with others are naturally going to get the job and very likely do a better job than any handpicked lackey of management would.