Stanley worked for his father-in-law's company, Bassett Furniture, as an executive until 1924, when he left and founded Stanley Furniture, a leading Virginia furniture maker, in what would become Stanleytown, Virginia. His sons Thomas Bahnson Stanley, Jr. and John David Stanley joined him at Stanley Furniture.
Politics
As the Great Depression began, Henry County voters elected Stanley to represent them in the Virginia House of Delegates. Re-elected multiple times, he served from 1930 to 1946, and fellow delegates elected him their Speaker from 1942 to 1946. After the end of World War II, voters elected Stanley to the U.S. House of Representatives, where he represented Virginia's 5th district from November 5, 1946 until February 3, 1953 when Stanley resigned on to run for Virginia's governor. Fellow Byrd Organization loyalist and former Virginia Governor William M. Tuck succeeded to the seat. The Byrd Organization selected Stanley to be the Democratic candidate for Governor of Virginia in 1953, and he won the Democratic primary. In the general election, Stanley handily defeated RepublicanTed Dalton and Independent Howard Carwile. He served as the Governor of Virginia from 1954 to 1958. As governor, Stanley improved the administration of state hospitals and increased funding to mental hospitals and public schools. While governor, Stanley became embroiled in conflict. The budget fight between the Old Guard of the Byrd Organization and the Young Turks over budget surpluses and historic underfunding of education in the 1954 legislative session affected relations in the state's Democratic Party for a generation. Stanley supported segregation, and the United States Supreme Court declared such illegal twice in Brown v. Board of Education. After the 1954 Brown decision, Governor Stanley appointed a committee of mainly politicians from Southside Virginia to study ways to preserve segregation through legislative means, including a school voucher program. Meanwhile, U.S. Senator Harry Byrd, Sr. declared the strategy known as Massive Resistance, while Richmond News Leader publisher James J. Kilpatrick advocated a more drastic policy, which passed a special legislative session in 1956 and became known as the Stanley plan. Most parts were declared illegal by Virginia and federal courts within three years, long after Governor Stanley's term had ended. In fact, although Governor Stanley had vowed to close schools to prevent their desegregation, that aspect of the plan was first tested under the next Governor, Lindsay Almond after a federal panel ordered desegregation of Charlottesville schools in 1958.
Electoral history
1946; Stanley was elected to the U.S. House of Representatives and concurrently won a general election to the seat with 75.4% and 73.52% respectively in both races, defeating Republican William Creasy in both races.
1948; Stanley was re-elected with 99.53% of the vote, defeating Independent Gene Graybeal.
1950; Stanley was re-elected unopposed.
1952; Stanley was re-elected unopposed.
1953; Stanley was elected Governor of Virginia with 54.76% of the vote, defeating Republican Theodore R. Dalton and Independent Howard Hearness Carwile.
Later years
After his gubernatorial term ended, Stanley resumed his oversight of the furniture business, as well as became vice president and director of the First National Bank, and chairman of the Commission on State and Local Revenues and Expenditures. However, the Byrd Organization imploded in the 1960s, after U.S. Supreme Court decisions upholding the one-man, one-vote principle, including Davis v. Mann.