The good folks at Reason Magazine strike again…
Union
Unions Killing Chicago Convention Biz
-By Warner Todd Huston
The Chicago Tribune has an editorial that shocks for the outrageousness that is the corruption and overcharging that unions have forced upon the convention business at Chicago’s McCormick Place. It is so bad, the costs are so outrageously higher in Chicago, that conventions are fleeing the city in droves (as we’ve discussed here several times).
But even though we understand as a matter of course that unions are bad for everyone, it is still shocking to see just how bad they are in Chicago. In fact, the Trib notes that convention organizers are charged fully 40% more in Chicago than they are anywhere else. Yes, it’s almost half again as much to put on a convention in Chicago than anywhere else in the nation. Even left-wing infused San Francisco costs less to set up conventions!
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Unions Killing Chicago Convention Biz”
HALT THE ASSAULT, Help Stop Obama’s Assault on America’s Jobs
The good folks at the Free Enterprise Alliance has launched a new site to encourage people to join the effort to stop this out-of-control, anti-jobs, anti-business climate that President Obama and the Democrats are ginning up in America today.
So, pass the site around to those like-minded folks that want to stop intrusive government. Let pro-business folks everywhere know that this site has been launched and let’s
PROillinois: New Pension Plan Idea Debuts
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”
Fox News Chicago Digging Deeper on Illinois Pension Mess
-By Warner Todd Huston
My friend Lennie Jarratt was featured on Fox News Chicago last night. The subject was the $85 billion dollar deficit that the Illinois finds its public employee pensions confronted with. Fox News reports that every Illinois citizen would have to fork over $6,600 to instantly solve the problem. And what has caused this problem? Unions.
Lennie has some great lines in this piece and he’s right on. He is right that education in America has become “legalized theft.” Here are some of his main points:
- Getting a public sector job is like hitting the lottery
- The way schools levy is legal theft
- We have the highest property taxes in the Midwest
- Nearly all of the top 50 public sector pensions in IL are educators
- Killing jobs and forcing people to leave the state further cutting state revenue
- Within 4-6 years most public sector retirees are making more than when working
Illinois isn’t the only state in this union-made morass. Nearly every state in the union is in this mess.
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Fox News Chicago Digging Deeper on Illinois Pension Mess”
Cato Study: Unions Violate Freedom
-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”
Obama Forcing Gov’t Costs to Rise With Union Sop
-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”
Firefighters Union ‘Sticks it’ to the City of Portland
-By Warner Todd Huston
The Oregonian has a disheartening story proving once again why public employees unions should be outlawed.
Here we have a case of a criminal fireman who ripped off the city through a false claim of being injured and unable to work, he admits his guilt and doesn’t press the city for more benefits, yet the union DOES take the city to court to get undeserved benefits for this layabout fireman!
For 12 years fireman Tom Hurley ripped off the city of Portland’s fireman’s disability fund by receiving monthly checks of $3,200 at the taxpayer’s expense despite that he really wasn’t disabled. In fact, he took the city’s money and put himself through cooking school and then went to work in the food service industry. All paid for by the taxpayers.
And when the city finally wised up and cut him off from the honey pot, even Hurley didn’t appeal the decision. He just shrugged his shoulders and moved forward with his new career as a chef.
But the union would have none of this “end of benefits” business. No, the union wouldn’t move on. The union took the City of Portland to court to force the city to keep paying this former fireman scam artist. The union wants the city to pay this layabout fireman $103,000 in “lost” disability payments.
The city is claiming it wants to “go to war” over this whole thing. Let’s hope they do and let’s hope they win. This union ripoff of the taxpayers is unconscionable.
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Firefighters Union ‘Sticks it’ to the City of Portland”
A Couple of Union Stories in the News
-By Warner Todd Huston
Three interesting stories on unions have hit the media this week that should be watched.
#1- Bush’s Union Transparency Rules Retracted Under Obama
The Washington Times reports that Obama is still giving favors and pay back to Big Labor. This time Obama is eliminating the transparency rules that Bush had put in to try to keep unions honest and legal. Saddly, Obama doesn’t care much if unions are held to the rule of law.
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A Couple of Union Stories in the News”
Unions Top the $1 Billion Club in California Political Spending
-By Warner Todd Huston
The California Teachers Association spent $211,849,298 on lobbying and political spending to get its way in California in 2009. Along with the CTA, the Calif. State Council of Service Employees and 13 other organizations spent a total of one billion dollars on political lobbying of the State House at Sacramento. All of these special interests have helped push California to the brink of insolvency.
But, according to the California Fair Political Practices Commission, the two unions mentioned above far and away top the spending of the other top lobbying spenders in California. The next closest in spending was the Big Pharma clocking in at $104,912,997 on its political spending with various and sundry Indian casino groups whose spending was in the less than $85,000,000 range.
Commission Chairman Ross Johnson said in a press release, “This tsunami of special interest spending drowns out the voices of average voters and intimidates political opponents and elected officials alike.”
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Unions Top the $1 Billion Club in California Political Spending”
Liebau on Unions: ‘The System is Unsustainable’
-By Warner Todd Huston
Carol Platt Liebau posted a piece on RealCleaPolitics.com that also clangs the warning bells over the unsustainable situation that the various states find themselves in between their public employees unions and the states’ fiscal obligations. She focuses on California, but nearly every state in the union is quickly approaching the mess California is in.
Liebau writes of the effort that the teachers union in California led to get kids as young as five-years-old out of school so that they could be bussed to the state capitol in Sacramento in order to protest school budget cuts. Me, I think she races by this outrage too quickly.
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Liebau on Unions: ‘The System is Unsustainable’”
‘Restoring’ Unions ‘Right’ to Bargain Collectively
-By Warner Todd Huston
Not long ago union advocate Stewart Acuff penned a piece for the Huffington website that was filled with soaring rhetoric about unions “creating the middle class” and pleading for voters to pressure Congress to pass the absurdly named Employee Free Choice Act (EFCA). He claimed that this piece of… legislation would “restore the right to form unions and bargain collectively.”
Despite Acuff’s urgent pleading, however, he misses an elephant in the room. No one has taken anyone’s “right to collectively bargain” away from them. Of course that wasn’t the only thing that Acuff was factually incorrect about.
Why is it that union folks have to lie about everything, anyway?
Acuff starts out with a whopper.
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‘Restoring’ Unions ‘Right’ to Bargain Collectively”
The Coming Union Pension Plan Collapse
-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”
Unions Support This Detroit Socialist
-By Warner Todd Huston
The left is constantly attempting to wave its hand dismissively at our claims that they are socialists and communists. They claim they are true blue Americans and we are lying about them. Unions are one of the biggest perpetrators of this misinformation.
Well, it appears that in Detroit unions came out in support of a goof ball that claimed himself to be a socialist. They all stood in the Michigan cold saying their “yeas” as he spoke about getting a free university degree, and as he touted a socialist “right” to food and their own house.
Here we see members of the AFT and the SEIU nodding in appreciation of this socialist’s ideas. They stood by his side as he pronounced these socialist “principles.”
Anyone that tells you that unions aren’t socialists and communists needs to explain why unions came out in support of this un-American nut in Detroit.
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Unions Support This Detroit Socialist”
Gov’t Employees Now Make More Than Private Sector Workers
-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”
More On Stern’s Appointment to Deficit Reduction Panel
-By Warner Todd Huston
Ed Barnes of FoxNews has a nice recap on Barack Obama’s appointment of Service Employees International Union (SEIU) Chief Andy Stern to his deficit reduction panel.
Barnes tells us that Obama’s appointment of Stern set off a “round of criticism.” That’s putting it mildly.
President Obama’s decision to appoint his close political ally, union leader Andrew Stern, to the newly created National Commission on Fiscal Responsibility and Reform has set off a firestorm of criticism from business and conservative groups who charge he is a political radical who should be investigated for failure to register as a lobbyist.
The failure to register as a lobbyist charge is over the fact that Stern was one of the most frequent visitors to the White House but never registered as a lobbyist to legally cover his visits. Whatever the case is concerning the legality of Stern’s constant visits to the Obama White House, those that criticize this appointment couldn’t be more right.
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More On Stern’s Appointment to Deficit Reduction Panel”
Three Current Union Stories
-By Warner Todd Huston
Shuffling through the web I see a few current stories that might be of interest to union watchers everywhere…
Pennsylvanians awoke today to a tale from Investor’s Business Daily headlined, “Specter Tells Business He’ll Back Pro-Union Card Check.”
Apparently Benedict Arlen is a yes vote for cloture on the pro-union card check legislation. Not much of a surprise as he’s been very pro-union since his sudden switch to the Democrat Party last year.
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Three Current Union Stories”
AP: Unions Stymied Under Obama?
-By Warner Todd Huston
The Associated Press posted a story lamenting that Big Labor has failed so far to get Obama to heel by their commands. Big Labor has said “jump” and Obama has but skipped. The article is correct, though, that Big Labor has failed in its two biggest goals: socialist healthcare and card check. At least, they’ve failed so far.
A third failure has also been forced upon Big Labor. As a result of newly seated Republican Senator Scott Brown’s win in Massachusetts, Big Labor was not able to install Craig Becker as the head of the National Labor Relations Board (NLRB).
Becker was Big Labor’s back up plan in case Congress didn’t pass the Employee Free Choice Act (EFCA), or the card check bill. Being a former Big Labor lawyer and activist, labor groups expected that if installed as NLRB chief Becker would change rules, alter processes, and invent systems that would implement card check through the back door instead of through actual legislation.
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AP: Unions Stymied Under Obama?”
SEIU Prez Andy Stern Appointed to Federal Deficit Commission?
-By Warner Todd Huston
President Obama has today appointed Service Employees International Union (SEIU) President Andy Stern to the federal deficit-reduction commission. And I say, why not? After all union thugs like Stern are one of the root causes of federal deficits so he should know all about them.
Unfortunately, though, Stern only knows how to make deficits worse and knows precisely nothing about cutting them.
Obama also appointed several other big, big campaign donors to this so-called deficit cutting commission, Ann Fudge (over $36,000 donated) and Alice Rivlin (over $47,000).
Of course this is a joke. But the joke is on all of us. As this poseur of a president sits stroking his chin and telling America “let me be clear,” and “make no mistake” that he’s all about fixing things, he hands out plum after plum to his pals on the extreme left.
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SEIU Prez Andy Stern Appointed to Federal Deficit Commission?”
Washington State’s SEIU Bought Republican
-By Warner Todd Huston
On February 24, Moe Lane posted a short piece alerting one and all to the fact that one of the Republican candidates for Washington State’s 3rd Congressional District is a favorite of the hard-core lefties in the Service Employees International Union (SEIU) — one of Obama’s favorite Big Labors cohorts. Mr. Lane, though, was sure that Jaime Herrera “regrets that endorsement now.” Unfortunately, I am not so sanguine because Herrera has been far more compliant with Big Labor’s goals than is evident from what Lane might have thought was a mere wayward endorsement.
There is a reason, it appears, that the SEIU endorsed Herrera. As a Republican she seems to be far more one of them than one of us at least as far as Big Labor’s needs go!
Moe Lane cited the Clark County Politics blog on the SEIU’s endorsement, but if you don’t want to believe the CCPblog — admittedly a right leaning site — here is a Progressive Voters Guide for Washington and here is the Voters Guide for Equal Rights Washington, both left-wing groups that show SEIU support for Herrera. On top of that here is SEIU Local 1199 NW’s endorsement page which also announces its endorsement of Herrera.
But, let’s address that possible “regret” that Mr. Lane so casually extends to Ms Harrera. Could Lane be right, could it be that Herrera was just by happenstance on the receiving end of an SEIU endorsement and now wishes it never happened? Was it all just an unfortunate incident? I have to say that after looking up some of her votes over the last few years, I must conclude that Herrera was given the thumbs up by the SEIU for a reason. Jaime Herrera was quite a friend to Big Labor.
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Washington State’s SEIU Bought Republican”
Public Employees Unions Destroying California
-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”
Kaus: Unions Are Crippling Obama
-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”
Pension Failure in Illinois Worst in Country
-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”
Union Admits Buying Politician, Wants $ Back
-By Warner Todd Huston
When an average citizen donates money to a politician it is usually because that citizen believes in the politician and wants to help him have the war chest to conduct a campaign. Unions like to pretend that they donate to politicians out of the goodness of their hearts, just like common citizens do. Everyone knows, though, that they are merely making an attempt to buy them. A union in Alabama has as much as admitted that they were trying to buy a politician, but when he didn’t dance to their tune, these union folks demanded their contributions back.
Al Henley, secretary-treasurer of the Alabama AFL-CIO, seems to be a mite miffed with Alabama Representative Parker Griffith. You’ll recall that Griffith was the one-time Democrat who jumped the sinking Donkey ship and became a Republican late last year.
Apparently while he was a Democrat the AFL-CIO had no problem giving him campaign money. Now that he’s a Republican, though, the union has taken sudden umbrage at Griffith’s voting record. “Parker Griffith, we feel you have swindled us,” Henley said at a recent rally in Hunstville, Alabama.
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Union Admits Buying Politician, Wants $ Back”
All Administrators and Teachers at Rhode Island School Fired
-By Warner Todd Huston
I don’t expect this to stick. I fully expect some left-wing, paid off judge to come to the aid of these union thugs. But… in Central Falls, Rhode Island School Superintendent Frances Gallo has fired an entire high school’s worth of teachers and administrators over a labor dispute.
Central Falls High School is situated in one of the poorest sections of Rhode Island yet the teachers there make between $72 and $78 thousand per year, far above the mean income of the area. The school is also performing dismally.
So, Superintendent Gallo told teachers that they would have to work perhaps twenty-five minutes more per day and help tutor the students. Naturally the un-caring teachers union refused — proving once again that education and the kids are not of interest to a union.
The union wouldn’t budge so Super Gallo just fired them all. Now THAT is some funny stuff right there! Good for Super Gallo.
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All Administrators and Teachers at Rhode Island School Fired”
Status of Obama’s PLA Order
-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”
How To Become a Millionaire Easy: Become a Gov’t Worker
-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”
CNBC Slams Obama’s ‘Unholy Alliance’
-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:
- It is an unholy union. It’s bad for business, bad for the economy, bad for our country. Worse, for reasons I’ll explain in a moment, this alliance could lead to bigger government at all levels, which will require higher taxes on everyone (not just the top 5 percent of earners, those grossing $155,000 or more, who already pay 60 percent of federal income tax).
- Let’s be blunt about it: Unions hurt profits, and that hurts stock prices. The typical union salary is 20 percent to 30 percent higher than the pay for a comparable job in a non-union shop, BLS data show.
- The unions’ expansion into all levels of government already is having a pernicious impact. Today the average government job pays MORE than the average pay in the private sector.
- On which side of the bargaining table does President Obama sit — with the union workers, in fat government bureaucracies and old ailing industries, who helped him get elected? Or with the Real Majority — the rest of the people he was elected to represent?
- My fear is that the answer is all too obvious, and it isn’t the right one.
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’”
NLRB Nominee Stymied
-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”