Political event
The first dwarven fairy is elected.
The high dwarves elected their own fairy...over all dwarves. Seeing themselves as the more intelligent half of the dwarves, the high dwarves decided not to involve the southerners in the decision. All this is in the name of guiding the dwarves more efficiently and peacefully, but the southern dwarves have no reason to recognise this fairy. To them it is clear that the northerners don't consider them significant or intelligent enough to have their own opinions.