quality:correction, structural:expansion
During the Second Spanish Republic

The municipal elections of 12 April 1931 were largely seen as a plebiscite on the monarchy. The Republican-Socialist alliance failed to win the majority of the municipalities in Spain but had a landslide victory in all the large cities and in almost all the provincial capitals. The monarchists and the army deserted Alfonso XIII and consequently the king decided to leave the country and go into exile, giving way to the Second Spanish Republic. Although Franco believed that the majority of the Spanish people still supported the crown, and although he regretted the end of the monarchy, he did not object, nor did he challenge the legitimacy of the republic. The closing of the academy in June by the provisional War Minister Manuel Azaña however was a major setback for Franco and provoked his first clash with the Spanish Republic. Azaña found Franco's farewell speech to the cadets insulting. In his speech Franco stressed the Republic's need for discipline and respect. Azaña entered an official reprimand into Franco's personnel file and for six months Franco was without a post and under surveillance.

In December 1931, a new reformist, liberal, and democratic constitution was declared. It included strong provisions enforcing a broad secularisation of the Catholic country, which included the abolishing of Catholic schools and charities, which many moderate committed Catholics opposed. At this point, once the constituent assembly had fulfilled its mandate of approving a new constitution, it should have arranged for regular parliamentary elections and adjourned, according to historian Carlton J. H. Hayes. Fearing the increasing popular opposition, the Radical and Socialist majority postponed the regular elections, thereby prolonging their stay in power for two more years. This way the republican government of Manuel Azaña initiated numerous reforms to what in their view would "modernize" the country.

Franco was a subscriber to the journal of Acción Española, a monarchist organisation, and a firm believer in a supposed Jewish-Masonic-Bolshevik conspiracy, or contubernio (conspiracy). The conspiracy suggested that Jews, Freemasons, Communists, and other leftists alike sought the destruction of Christian Europe, with Spain being the principal target.

On 5 February 1932, Franco was given a command in A Coruña. Franco avoided involvement in José Sanjurjo 's attempted coup that year, and even wrote a hostile letter to Sanjurjo expressing his anger over the attempt. As a result of Azaña's military reform, in January 1933 Franco was relegated from first to 24th in the list of brigadiers. The same year, on 17 February he was given the military command of the Balearic Islands. The post was above his rank, but Franco was still unhappy that he was stuck in a position he disliked. The prime minister wrote in his diary that it was probably more prudent to have Franco away from Madrid.

In 1932, the Jesuits, who were in charge of many schools throughout the country, were banned and had all their property confiscated. The army was further reduced, and landowners were expropriated. Home rule was granted to Catalonia, with a local parliament and a president of its own. In June 1933 Pope Pius XI issued the encyclical Dilectissima Nobis (Our Dearly Beloved), "On Oppression of the Church of Spain", in which he criticised the anti-clericalism of the Republican government.

The elections held in October 1933 resulted in a centre-right majority. The political party with the most votes was the Confederación Español de Derechas Autónomas ("CEDA"), but president Alcalá-Zamora declined to invite the leader of the CEDA, Gil Robles, to form a government. Instead, he invited the Radical Republican Party 's Alejandro Lerroux to do so. Despite receiving the most votes, CEDA was denied cabinet positions for nearly a year. After a year of intense pressure, CEDA, the largest party in the congress, was finally successful in forcing the acceptance of three ministries. The entrance of CEDA in the government, despite being normal in a parliamentary democracy, was not well accepted by the left. The Socialists triggered an insurrection that they had been preparing for nine months. The leftist Republican parties did not directly join the insurrection, but their leadership issued statements that they were "breaking all relations" with the Republican government. The Catalan Bloc Obrer i Camperol (BOC) advocated the need to form a broad workers' front and took the lead in forming a new and more encompassing Alianza Obrera, which included the Catalan UGT and the Catalan sector of the PSOE, with the goal of defeating fascism and advancing the socialist revolution. The Alianza Obrera declared a general strike "against fascism" in Catalonia in 1934. A Catalan state was proclaimed by Catalan nationalist leader Lluis Companys, but it lasted just ten hours. Despite an attempt at a general stoppage in Madrid, other strikes did not endure. This left the striking Asturian miners to fight alone.

In several mining towns in Asturias, local unions gathered small arms and were determined to see the strike through. It began on the evening of 4 October, with the miners occupying several towns, attacking and seizing local Civil and Assault Guard barracks. Thirty-four priests, six young seminarists with ages between 18 and 21, and several businessmen and civil guards were summarily executed by the revolutionaries in Mieres and Sama, 58 religious buildings including churches, convents and part of the university at Oviedo were burned and destroyed, and over 100 priests were killed in the diocese. Franco, already General of Division and aide to the war minister, Diego Hidalgo, was put in command of the operations directed to suppress the violent insurgency. Troops of the Spanish Army of Africa carried this out, with General Eduardo López Ochoa as commander in the field. After two weeks of heavy fighting (and a death toll estimated between 1,200 and 2,000), the rebellion was suppressed.

The insurgency in Asturias in October 1934 sparked a new era of violent anti-Christian persecutions with the massacre of 34 priests, initiating the practice of atrocities against the clergy, and sharpened the antagonism between Left and Right. Franco and López Ochoa (who, prior to the campaign in Asturias, had been seen as a left-leaning officer) emerged as officers prepared to use "troops against Spanish civilians as if they were a foreign enemy". Franco described the rebellion to a journalist in Oviedo as, "a frontier war and its fronts are socialism, communism and whatever attacks civilisation to replace it with barbarism." Though the colonial units sent to the north by the government at Franco's recommendation consisted of the Spanish Foreign Legion and the Moroccan Regulares Indigenas, the right-wing press portrayed the Asturian rebels as lackeys of a foreign Jewish-Bolshevik conspiracy.

With this rebellion against legitimate established political authority, the socialists also repudiated the representative institutional system as the anarchists had done. The Spanish historian Salvador de Madariaga, an Azaña supporter, and an exiled vocal opponent of Francisco Franco is the author of a sharp critical reflection against the participation of the left in the revolt: "The uprising of 1934 is unforgivable. The argument that Mr Gil Robles tried to destroy the Constitution to establish fascism was, at once, hypocritical and false. With the rebellion of 1934, the Spanish left lost even the shadow of moral authority to condemn the rebellion of 1936."

At the start of the Civil War, López Ochoa was assassinated; his head was severed and paraded around the streets on a pole, with a card reading, 'This is the butcher of Asturias'. Sometime after these events, Franco was briefly commander-in-chief of the Army of Africa (from 15 February onwards), and from 19 May 1935, on, Chief of the General Staff.