-By Warner Todd Huston
At a public meeting New Jersey Gov. Chris Christie tells a union teacher who is whining about her pay scale that she can always quit teaching if she doesn’t like it.
I LOVE this guy!
And while this teacher was whining that she makes no where near $83,000 per year, the truth came out today that she actually makes $86,000 annually.
-By Warner Todd Huston
Apparently all one need do to cause Police and Firemen and their union supporters to violate their oath to protect the citizenry these days is to question their union. Union thugs in California proved that to be true in Napa Valley last week when a local business owner had the temerity to exercise his free political speech in a letter to the editor that was published by the St. Helena Star newspaper.
In the letter, Napa Valley Winery owner Dario Sattui of V. Sattui Winery made the mistake of “venting” about the overly generous union contracts that the public employees of his town had “negotiated” with compliant, left-wing politicians.
“I thought I was doing well in the wine business. Had I had any real brains I would have become a firefighter. What a racket they have. While I respect the work they do and the inherent dangers, they are greatly overpaid, work only two days a week (a third of which they sleep) and get to retire at 50 years old at 90 percent of their pay after working 30 years. I don’t blame the firefighters. Good for them for getting as much as they can. The blame goes to the politicians and the government administrators. What do they care? It isn’t their money.”
In response cops and firemen in California, or their supporters at the very least, let him know that they hoped his business would be destroyed both economically AND by fire. So much for these “public servants” and their oath to protect the public.
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Unionists Threaten CA Business Owner Over His Letter to the Editor”
-By Warner Todd Huston
Senator Chris Dodd (D, Conn.) wants to give unions more power in the boardrooms of our nation’s businesses. In essence, Dodd wants to force corporate boards under the thumb of unions by federal fiat.
Carefully hidden in Dodd’s new regulations are provisions that give new powers to board members, powers aimed at giving unions more say in the operations of businesses from the inside through investments of pension funds.
The Dodd bill takes away from the states the ability to make rules governing how corporate boards are established and run and for the first time reassigns that power to the federal government through the SEC. Democrats expect to use this new power to affect corporate boards to force pension fund investors to obtain more seats on those boards and that means union pension funds will suddenly have more influence on business simply because of their influence in Washington.
This will severely alter the relationship between business and labor, effectively erasing the ability of a company to operate in its own interests and will force it to serve the interests of Big Labor and Washington D.C.
This is just one more small step in the elimination of America’s private business community and the implementation of a quasi-socialist business state. One more anti-American arrow in Obama’s quiver shot over the bow of America.
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Washington to Give Unions More Power to Tell Corporations What to Do”
-By Warner Todd Huston
Earlier this morning I said that it looked like former Service Employees International Union head Andy Stern’s handpicked replacement wasn’t going to succeed her Svengali. Looks like that was correct.
As reported by the Wall Street Journal’s John Fund, the new SEIU head is Mary Kay Henry as we discussed earlier.
Now, we wait to see if the SEIU withdraws a bit from the national scene and again begins to cast its eyes inward as many think will happen under Mz. Henry’s leadership. Time will tell.
-By Warner Todd Huston
According to The Politico, Andy Stern, the President of the Service Employees International Union, is resigning his post.
The news come to Politico from the President of an SEIU local based in Seattle, Diane Sosne. Politico is taking her word as true.
No reason for the resignation is known and Stern has yet to actually make an official announcement.
I expect that Stern is moving to some position in the Obama Administration. Remember that Stern was the number one most frequent visitor to the White House.
More news as it becomes known…
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Breaking News: SEIU’s Stern Resigning”
The good folks at Reason Magazine strike again…
MADIGAN PENSION BRIDGE NOT FAR ENOUGH
PROillinois New Grassroots Campaign to Unshackle Local Governments From Unfunded State Pension Mandates
(March 30 – Northbrook, IL) Runaway government employee pension costs is the hot topic, with average taxpayers and the press starting to take notice of this looming public finance disaster. A more dramatic, yet simple pension reform effort known as “the PROillinois plan” is gaining momentum, and is being promoted by a grassroots group of Illinois residents and local government leaders who want to put an end, once and for all, to the unworkable Springfield practice of dictating to local governments the retirement benefits paid to local government employees.
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PROillinois: New Pension Plan Idea Debuts”
-By Warner Todd Huston
The Cato Institute has issued its latest Tax and Budget bulletin, this one centered on public-sector unions. The essence of the report is that public employee unions violate freedom, make government more expensive and inefficient, and the incestuous relationship between unions and politicians takes away power from the voters.
While labor unions do play a diminishing role in the private sector, the study points out that they play are playing an increasingly larger role in government these days through their “vigorous lobbying efforts.” I’d add that they are also playing a larger role due to the personal greed of our politicians who are the happy recipients of large amounts of the campaign donations that unions typically provide, as well.
And it’s all bad for government finds Cato. “Collective bargaining is a misguided labor policy,” the report says, “because it violates civil liberties and gives unions excessive power to block needed reforms.”
To fix this evil, Cato recommends that collective bargaining in the public sector be banned.
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Cato Study: Unions Violate Freedom”
-By Warner Todd Huston
Here we are in an economic downturn and Barack Obama is forcing government costs to rise. The Detroit News has noticed it, too, with a recent editorial on Obama’s absurd “responsible contractor” rule on vendors that contract with the federal government.
This new rule would force all vendors that contract with the government to exist under union rules, union pay scales, and union pensions, whether they belong to a union or not. Even entities that are not unionized will be forced to observe union rules if this plan is implemented.
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Obama Forcing Gov’t Costs to Rise With Union Sop”
-By Warner Todd Huston
At the blog YidWithLid.blogspot.com Sammy Benoit has posted an interesting piece about the mess befalling so many failing union pension funds across the nation. The post includes a very useful chart that shows the trouble in which some of the largest union pension funds find themselves.
The upshot is that these pensions are on the verge of total collapse which will leave millions of retiring union members and those already retired bereft of the pensions that they had assumed would carry them into their golden years.
The list is extremely scary. This is a disaster for many people. But what is the solution? Naturally the unions are hoping that government is the solution. But the problem with a government bailout is that should a bailout happen the unions will not learn the important lesson that they should learn from the necessary collapse, necessary to reign in their excess. Sadly, many will be hurt by this reigning in of unions, but these same members should never have allowed their unions to get so out of hand in the first place!
So, courtesy of YidWithLid…
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The Coming Union Pension Plan Collapse”
-By Warner Todd Huston
The news we have been warning you about is in. Government workers on average exceed the pay scale of those in private industry. The unsustainable situation is here. It is now clear that Bill Clinton was a bit premature when he said that the “era of big government is over.” Sadly he didn’t count on the era of big Obama to come.
One word explains why this upside down situation has come to fruition: unions.
USA Today is reporting that “the number of federal workers earning six-figure salaries has exploded during the recession.” The paper finds that workers at the high end of the salary scale are well represented in government. I’d say overly represented.
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Gov’t Employees Now Make More Than Private Sector Workers”
-By Warner Todd Huston
Mark Tapscot echoes our current theme here on the blog by reporting that California is once again in a disastrous budget shortfall and one of the biggest reason that this is so is the undue power of the recalcitrant public employees unions. Tapscot says that California cannot get out of its mess because, “the unions refuse to consider relaxing their death grip on California’s rapidly shrinking legion of tax payers.”
Tapscot thinks that California is coming to realize that the unions are going to have to be confronted in order to solve the spiraling budget woes, but I am doubtful. Looking at the mess from the outside would certainly cause one to draw such a conclusion, but inside the legislature at Sacramento one sees no hint that the unions are becoming the bad guys as they should be.
Still, I hope that Tapscot is right and the California can finally lead the country in a good thing by breaking the public employees unions and, hope of hopes, eliminating them.
And why are these unions so dangerous? Tapscot’s conclusion is a refrain we’ve been touting for years.
It’s not only that public sector unions are driving many state and local governments into fiscal insolvency by forcing them to accept contracts providing compensation benefits that far exceed those in the private sector for comparable work and that cannot be paid for without crippling tax increases.
We agree, of course.
Add this report to the mounting number of individuals coming to the same conclusion we came to here on the blog.
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Public Employees Unions Destroying California”
-By Warner Todd Huston
Lefty website Slate.com’s Mickey Kaus is another one of those left of center folks that are realizing that unions are killing Obama. Of course, I’d go one farther and say that unions are killing America, but Kaus is only worried about helping Obama. Regardless, he’s right that unions are a dangerous impediment.
Kaus finds that the Davis-Bacon wage regulations made a joke of President Obama’s weatherization scheme, a plan that was supposed to bring jobs through his stimulus package. Because of these union-tied wage regulations, the weatherization projects that the stimulus tried to fund were so over priced and took so long to hammer out that few projects have ended up being undertaken. Yet, weatherization projects that have proceeded free of the Davis-Bacon regulations went smoothly.
As a result, the Department of Energy apparently weatherized only 22,000 homes under the program. Another pre-existing program, which doesn’t have to comply with Davis-Bacon, appears to have weatherized about 100,000 homes, if my math is right.
Kaus notes that unions caused this mess as the government spent most of the year trying to figure out how to implement the Davis-Bacon rules. (Kaus’ bold)
Instead, a year was wasted on mindless, union-demanded bureaucratic attempts to disingenuously replicate the labor market. Did Obama not know this would happen when he allowed the stimulus to be Davis-Baconized, or did he not care? [Update–Choice #3: He knows and cares, but is too weak to stand up to the unions.]
In any case, what we see here is yet another lefty that is grasping that unions are bad for us all. Mark this as another in our continuing chronicle proving that unions need to be eliminated.
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Kaus: Unions Are Crippling Obama”
-By Warner Todd Huston
According to the Pew Center on the States, Illinois’ public employee’s pension system is in the worst shape of all states. The Associated Press reported that pensions in Illinois are underfunded and over promised.
Illinois was rated the most troubled pension system during the study period, with a 54 percent funding level and a total liability of more than $54 billion.
Proof once again that public employee unions are antithetical to good government. The reasons these pensions are in such poor shape are twofold. One is that they are far, far too generous (fault: unions) and two is that even when the money does go into these accounts the state legislature raids the funds for general usage (fault: politicians). Both reasons are failures of government.
What this state needs to do first thing is to start a two tiered system. Since the pensions are protected by law, we need to accept that we are saddled with current pensions. But any new employee and all employees not yet vested should have their undeserved benefits massively cut.
The state should also look to offer as many buyouts at lower costs as it can. Early retirements might help the bottom line, too.
But taking care that future benefits are not so undeservedly high is the most important thing here.
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Pension Failure in Illinois Worst in Country”
-By Warner Todd Huston
CNSNews did a story today giving an update on Obama’s Executive Order number 13502 requiring all federal construction projects to operate under Project Labor Agreements (PLAs). Thus far the EO has been stymied by the commission that Obama set up to handle the initiative.
A PLA is a contract agreement that would force union rules, union dues, and union control of any construction project that the federal government undertakes. The PLA rules would even descend upon any non-union labor hired for the work meaning that employees would be forced to pay dues even if they do not belong to a union.
This PLA requirement is only another Obama payoff to unions and the construction industry says that PLAs will make any federal project go over budget, take longer to complete making the projects needlessly expensive.
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Status of Obama’s PLA Order”
-By Warner Todd Huston
Having trouble making ends meet? Eating your meals from a dog food can? Lost your job, seen your retirement accounts dwindle or disappear, having a hard time getting work? Millions of Americans are facing these problems. Some, however, aren’t. And those some are government workers, apparently. Unionized government workers at that.
Doug Ross has a very startling post at his website that really brings this home in stark and easy to grasp numbers. Under the rubric of “How’s this for an investment” Ross gives us the following:
You pay a total of $124,000 into your pension plan and, upon retiring at age 49, you receive $3.3 million in pension payments and $500,000 in health care benefits. You receive $3.8 million in total on a $124,000 investment.
You pay a total of $62,000 towards a pension plan and absolutely nothing for health care (medical, dental and vision coverage) over your working career. Upon retirement, you are paid $1.4 million in pension and $215,000 in health care benefits. You receive $1.6 million on a $62,000 investment.
This is what happens when you work for the State of New Jersey as Ross discovered.
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How To Become a Millionaire Easy: Become a Gov’t Worker”
-By Warner Todd Huston
Well, CNBC’s Media and Technology Editor, Dennis Kneale, is only the latest to jump my little “Unions are Antithetical to Good Government” bandwagon. Kneale slams Obama’s “unholy alliance” with Big Labor and proclaims it a danger to the country. He couldn’t be more right.
Here is the article: “Obama’s Unholy Union-With Unions”
Here are a few choice quotes:
Now if only I could get them all to pinpoint me as the mastermind of this mantra! I couldda been a contender. Ha, ha.
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CNBC Slams Obama’s ‘Unholy Alliance’”
-By Warner Todd Huston
Two Democrats joined newly seated Massachusetts Republican Senator Scott Brown Tuesday to uphold the Republican-led filibuster against President Obama’s nomination of Craig Becker to head the National Labor Relations Board (NLRB).
The Democrats that joined the filibuster were Blanche Lincoln (D, Ark.) and Ben Nelson (D, Neb.). Both are thought to face losing their seats in the upcoming 2010 elections over the many left-wing votes they’ve recently cast.
The GOP is against the elevation of Becker to the NLRB Chair because his past statements show that he’ll take the position with a Big Labor agenda firmly in mind.
“Mr. Becker’s previous statements strongly indicate that he would take an aggressive personal agenda to the NLRB, and that he would pursue a personal agenda there, rather than that of the administration,” Senator Nelson said.
The final vote was 52-33, falling short of the 60 that Becker needed to sail out of committee and toward an open vote.
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NLRB Nominee Stymied”
-By Warner Todd Huston
The Politico had a story about Big Labor penned by Jeanne Cummings, the reporter famed for going after Sarah Palin’s Party purchased wardrobe during the 2008 presidential campaign, that was an object lesson in Old Media bias. Her piece headlined “Labor helps kill its own top priority” is a great example of using language to subtly shade the arguments, in this case those of Big Labor, to elicit a positive view of the ideology contained in the issue. Her piece very subtly shades the goals of Big Labor in a positive light easily giving the reader a feeling that Big Labor’s goals are good and noble and is a perfect example of how the media creates emotional appeal for the left’s actions.
Because it is such masterfully crafted example of subtle bias, it deserves to be studied closely.
Cummings Begins her propping up of Big Labor by saying that Scott Brown’s win in Massachusetts is “bad news for health care” and will mean that Republicans can “block the Employee Free Choice Act,” and so she immediately casts the possible actions of the GOP in a negative light at the outset. “Bad news for health care”? It is said as if the GOP was against “health care.” It isn’t. And of course “block” is certainly a negative action. In any case, she started by shrouding the GOP in negativity right away.
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How Media Chooses Words Adds to Bias”
-By Warner Todd Huston
It’s Katie bar the door as the Democrats in the Senate try to push as many liars and Big Labor crooks into positions of power in the Obama Administration as they can before they lose their super majority once Scott Brown of Massachusetts is seated on the 4th of February.
On Monday, the Democrats pushed through the confirmation for Obama’s Solicitor of Labor despite that it has been effectively shown that she lied in her Senate testimony.
Senator Mike Enzi (R, Wyo.) revealed a report that Obama’s appointee as Solicitor of Labor, Patricia Smith, lied several times during her appearance before the Senate’s Health, Education, Labor and Pensions Committee in May of 2009.
Then on Tuesday, the Democrats with their temporary super majority tried to push through Obama’s nomination of Craig Becker to the National Labor Relations Board (NLRB). Becker is a union-flack and would become the first lawyer employed by unions to take a position that is supposed to investigate and rule for or against unions with an unbiased hand.
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Dem Senate Hurries To Push Liars and Symps into Power Before Brown Comes to Town”
-By Warner Todd Huston
(Editor’s note: Some of this I posted earlier this month, but this is an expanded version that was just posted by BigJournalism.com, so I thought I’d go ahead and post it here, too.)
Steven Greenhut has an interesting piece in the Wall Street Journal about how the evils of public employees unions are destroying California’s budget and economy.
Greenhut begins by noting that with one of the highest unemployment rates in the country, California is losing its “productive citizens” to other states but is still saddled with an economy killing surfeit of public employees unions that, “drive costs up and fight to block spending cuts.”
Greenhut goes on to report that the unfunded pensions that California is stuck with has increased by 2,000% in the last decade because of the overweening power of the unions.
Approximately 85% of the state’s 235,000 employees (not including higher education employees) are unionized. As the governor noted during his $83 billion budget roll-out, over the past decade pension costs for public employees increased 2,000%. State revenues increased only 24% over the same period. A Schwarzenegger adviser wrote in the San Jose Mercury News in the past few days that, “This year alone, $3 billion was diverted to pension costs from other programs.” There are now more than 15,000 government retirees statewide who receive pensions that exceed $100,000 a year, according to the California Foundation for Fiscal Responsibility.
That is an absurd reality!
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Public Employees Unions Are Sinking California, Part 2″
-By Warner Todd Huston
Dennis Byrne, a columnist with the Chicago Tribune, has a great piece asking the seminal question: what politician will take on the public employees unions?
This is, of course, the question we’ve been asking here for years! Who will stop these union thugs that have bought for themselves a bevy of compliant politicians at the state and federal level who will do their bidding against the best interests of the voters? What politician will step up and cut these thug’s illicit power down for the good of the people?
Seeing as how he is an Illinois columnist, Byrne centers his discussion on the $80 billion shortfall that Illinois’ public pensions are saddled with, but he can just as easily be talking about California, Oregon, Wisconsin, New York or any other state in the Union.
To quantify the $80 billion, Byrne tries to put it in context:
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Chgo Trib: Who Will Smack Down the Unions?”
-By Warner Todd Huston
With some ups and downs, unions have been steadily losing members for quite a while and 2009 is no exception. According to the Labor Dept., private-sector unions lost 834,000 members last year.
On Friday, the Labor Department reported private-sector unions lost 834,000 members, bringing membership down to 7.2% of the private-sector work force, from 7.6% the year before. The broader drop in U.S. employment and a small gain by public-sector unions helped keep the total share of union membership flat at 12.3% in 2009. In the early 1980s, unions represented 20% of workers.
The Wall Street Journal also notes that it isn’t likely that the union jobs lost will come back as union jobs if they ever come back at all.
But the Journal doesn’t stress the most important union fact nearly enough. Unions that serve government workers in still on the rise and form the largest section of union workers.
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Union Membership Down Another 10%”
-By Warner Todd Huston
Steven Greenhut has a great piece in the Wall Street Journal about how the evils of public employees unions are destroying California.
Greenhut begins by noting that with one of the highest unemployment rates in the country California is losing its “productive citizens” to other states but is still saddled with an economy killing surfeit of public unions employees that “drive costs up and fight to block spending cuts.”
Greenhut goes on to report that the unfunded pensions that California is stuck with has increased by 2,000% in the last decade because of the overweening power of the unions.
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Public Employees Unions Are Sinking California”
-By Warner Todd Huston
Yesterday I posted a story about how the two big public employees unions were looking the other way on Obamacare and helping Obama to pass his socialist take over of our healthcare system even though the plan would hike taxes on their very own members and would devastate their helathcare plans. Well, not all unions are willing to hurt their own membership merely for political reasons.
Of course, in the past we’ve posted stories (here, and here) pointing out that there are the several unions that are not bending over backwards just to hand Obama a political victory and today The New York Post reported on several New York unions that are just as unhappy as those that we’ve previously mentioned.
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…Yet Not ALL Unions Willing to Bend Over for Obamacare Tax Hike”
-By Warner Todd Huston
By now you are all familiar with my beating on my little unions-are-bad-for-government drum… ya may even be tired of it by now. Still, I’d like to pass on the work of friend to the blog David Denholm who has also addressed this point in the past.
On the Public Service Research Foundation website can be found Denholm’s excellent article titled, “The Case Against Public Sector Unionism and Collective Bargaining.” In it you’ll find some great points and a thorough discussion on the evils that is a unionized government workforce.
One of the best insights that Denholm has is that a unionized government workforce eliminates the democratic right of the voters to affect their government. (download pdf copy)
By making the union a full and equal partner at the bargaining table, compulsory public-sector bargaining laws deprive the public of its right to participate in policy making. This point was emphasized in a U.S. District Court opinion which upheld the constitutionality of a North Carolina law declaring public-sector union contracts to be void. The Court said:
Moreover, to the extent that public employees gain power through recognition and collective bargaining, other interest groups with a right to a voice in the running of the government may be left out of vital political decisions. Thus the granting of collective bargaining rights to public employees involves important matters fundamental to our democratic form of government. The setting of goals and making policy decisions are rights inuring to each citizen. All citizens have the right to associate in groups to advocate their special interests to the government. It is something entirely different to grant any one interest group special status and access to the decision-making process.
This reflects my own points made so very often right here on the blog. The incestuous relationship between union — that becomes a patron of politicians — and politicians — that return that patronage — wholly cuts out the voter’s ability to direct government to their desires and needs.
Anyway, Denholm makes some great points and his piece is well worth the read.
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The Case Against Public Sector Unions”
-By Warner Todd Huston
In another example of why unions are antithetical to good government, a pliant, left-wing judge in California has ruled that the Schwarzenegger Administration cannot furlough state workers that belong to three powerful public employees unions.
Governor Schwarzenegger has been battling to cut his over spent state budget for several years now and one of the solutions to the problem that he lit upon was the idea that he might furlough his workforce. He would give these workers a few days a month off without pay and this would save the taxpayer’s millions. It is a good idea and one that real-world businesses are forced to employ all the time when things get tough.
But here come the state unions to prevent this simple cost saving measure even though it is common as dirt in the real-world sector.
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Once Again Unions Find a Pliant Judge to do Their Bidding”
-By Warner Todd Huston
What happens when a private sector union gets far too many benefits to the point where the business for which its membership works goes under or whose existence is threatened? Punishment. Unions either take a reduction of benefits or pay — or both — and cuts in time or jobs in order to right the ship and keep the business afloat occur. Just like punishment comes to businesses that make bad business decisions, private employee unions also realize punishment for overreach. At the risk of losing the whole enterprise both for unions and owners, the market serves to correct excess.
Unfortunately, there is no such corrective for union overreach for government employees. These unions rarely face any punishment for excess. And therein lies the reason that unions are antithetical to good government.
Of course, we’ve discussed this theme many times here at the blog over the past few years. But to buttress the discussion I’d like to relate some statistics. The Heritage Foundation’s James Sherk recently took a look at the most current reports from labor and found that 12.4% of the American work force is made up of union members. But he notes that, while union membership has fallen to 7.3% of private sector jobs, it has risen to a never before seen 37.6% unionization of government employees — and this number is growing. Government workers now make up 51% of all unionized workers in the USA.
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Unions a Danger to Good Government”
-By Warner Todd Huston
Ruinous PLAs Coming Your Way Lucas County, Ohio!
Magie Thurber is reporting that Lucas County, Ohio County Commissioner Ben Konop is trying to force unions on non-union labor in his jurisdiction. What about freedom to chose? Forget it. Konop as big brother knows better.
On Tuesday, the commissioners will discuss an agenda item ominously entitled “Incorporating Project Labor Agreements into Bidding Specifications for all County-Supported Projects.” (Download PDF) Apparently the commissioners will be pursuing PLAs in all contracts in Lucas County’s future.
What is a Project Labor Agreement or PLA? I discussed this back in February right after President Obama signed his Executive Order 13202 pushing PLAs and in October after New Hampshire faced this situation. Obama’s EO demanded that every federal construction project force a PLA on its contractors. Essentially, a PLA requires all hired contractors and their employees to pay union dues, work under union rules, and pay into union pensions (even though they will never get any benefits from them) whether they belong to a union or not. This forced unionism is to be enforced despite that up to 84 percent of all contractors in the country are not part of a union.
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Ohio’s Ben Konop Wants Kids to Starve so he can Give Gov’t Payoffs to Unions”
-By Warner Todd Huston
In a victory for free labor, the U.S. Department of Labor (DOL) has cancelled its solicitation for bids to build a new Jobs Corps Center in the state of New Hampshire. Why is it a victory? Because initial plans to receive bids would have discriminated against non-union construction companies per President Obama’s orders. Over 80% of all construction companies are non-union.
Executive Order 13502, signed early in Obama’s term, was applied to the New Hampshire construction project and instituted what is known as a Project Labor Agreement (PLA). A PLA is a way to force all companies working on a construction project to agree to union rules, dues, pensions and payments whether they are union shops and their employees are union members or not.
In effect, a PLA turns every employee and company working on a PLA enforced project into a unionized force. Naturally, this drives up costs, lengthens deadlines, and forces employees to fork over dues money even if they don’t belong to a union.
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A Victory Against Obama’s Unionism in New Hampshire”