In the episode "Squid on Strike", Squidward decides to strike because of unfair treatment at the Krusty Krab. At first he gets Spongebob to strike with him, despite Spongebob not really being behind any of the policies Squidward wants. Squidward just knows that using Spongebob is useful to him.
Squidward starts to radicalize Spongebob behind the cause, turning Spongebob into a fervent follower.
But in doing so, Squidward realizes that the monster he's created has become a much worse threat than anything Mr. Krabs has done. In fact, the actions he and Spongebob have taken have actually pushed people more towards Mr. Krabs.
To put an end to it, Squidward an Mr. Krabs, out of the public eye, negotiate behind the scenes to come up with a solution.
What they don't realize is that Spongebob has become so radicalized that he starts doing things that will actually destroy all of them, under the guise of progress.
In the end, because of Spongebob's actions, any progress Squidward and Mr. Krabs have made is undone, everyone is worse off than before, the establishment that has been taking care of all of them is gone, Squidward's worst fears have come true and Spongebob treats it as a win.