Posts Tagged ‘labor’
Thursday, April 1st, 2010
A little more than a year after taking office, the Obama administration and Labor Secretary Hilda Solis have taken significant steps to repair the damage to workplace safety and health left behind after eight years of the Bush administration.
With Workers Memorial Day (April 28) approaching, this is a good time to look at the progress made since the “the new sheriff” hit town. (Click here for fact sheets, fliers, posters, stickers and other Workers Memorial Day materials.)
As Esther Kaplan writes in the Nation:
During the Bush years, the Department of Labor became a cautionary tale about what happens when foxes are asked to guard the henhouse.
For eight years under the Bush Administration, corporate officials and management representatives headed the Occupational Safety and Health Administration (OSHA) and the Mine Safety and Health Administration (MSHA). Bush’s first MSHA head, David Lauriski, was chief safety officer at Emery Mining’s Wilberg, Utah, mine in 1984 when an explosion killed 27 coal miners. The blast, says Kaplan, “was later attributed to numerous violations at the mine.”
The owners, it turned out, had been trying for a one-day production record…Seventeen years after the disaster, Lauriski became George W. Bush’s first mine safety chief, a perch from which he halted a dozen new safety regulations initiated under [the] Clinton [administration], advocating instead a more “collaborative” approach with industry.
Today, MSHA is headed up by Joe Main who began work in the mines when he was 19, became a local union safety committeeman, a safety inspector in the Mine Workers (UMWA) Safety and Health Department and eventually is director.
At OSHA, Bush’s last administrator, Edwin Foulke, was former partner at the notorious anti-union law firm Jackson Lewis. He so strongly opposed workplace safety and health laws The New York Times labeled him “an antiregulatory ideologue.”
Contrast Foulke with David Michaels, Obama’s choice as OSHA administrator. Michaels is an occupational safety and health expert, co-founder of the New York Committee on Occupational Safety and Health (NYCOSH) and epidemiologist at George Washington University.
Under Bush, OSHA and MSHA emphasized voluntary compliance programs over strong enforcement of workplace safety and health regulations. When they issued penalties, the employers often negotiated down the fines, which were negligible to begin with.
Now, both OSHA and MSHA have stepped up enforcement, assessing large penalties against employers with serious, repeated and willful violations. In October, OSHA levied the largest fine in its history-$87 million against BP Products for failing to correct the safety problems that caused a 2005 explosion that killed 15 workers and injured another 170 people at a Texas City oil refinery.
OSHA also is strengthening its enforcement program to focus more on repeated violators and to develop corporate-wide approaches to enforcement. It’s launched a national investigation in the under reporting of injuries and employer practices that discourage workers from reporting job injuries.
During the eight-year run of the Bush administration, not only did OSHA and MSHA put the brakes on new safety and health rules laws in the pipeline when they took office, neither agency issued any new standard unless forced by the courts or Congress. OSHA is now moving forward with rules on silica, cranes and derricks, hazard communication, combustible dust and other workplace hazards.
The Bush administration presided over the repeal of the nation’s first ergonomics standard and made it so that OSHA’s hands tied to set a new ergonomics rule. But the agency now has proposed changes in the injury recordkeeping rule to reinstate a requirement, repealed by the Bush administration, for employers to identify musculoskeletal disorders (MSDs) on the workplace injury log.
At MSHA, new rules to limit exposure to coal dust and silica and to address increases in lung disease among miners are top priorities. Main also told Kaplan that MSHA will identify the top risk factors that lead to mining deaths and injuries and help educate mining companies on how to eliminate them, but not as a substitute for enforcement.
We’ll provide assistance to the mine operators who do need it, .but never as a replacement to the enforcement tools. There was some confusion about that in recent years. I’m not confused about that.
Both safety agencies suffered drastic cuts in budget and personnel (especially in inspection and personnel) under the Bush administration. The Obama administration has restored those cuts and its FY 2011 budget includes some modest increases.
Employers’ rights appeared paramount in the Bush OSHA and MSHA. Today both agencies have established programs focusing on workers’ rights, including whistleblower and anti-discrimination protections and better worker access to fatality and injury.
The Obama administration also is backing congressional efforts to improve workplace safety and health laws, including the Protecting America’s Workers Act (H.R. 2067 and S. 1580), which toughens penalties, expands OSHA coverage to public-sector workers, strengthens anti-discrimination protections and expands workers’ rights.
It’s likely the same corporate and Republican forces that blocked improvements in workplace safety and health will fight this legislation and each and every new safety initiative.
So this Workers Memorial Day, along with honoring workers killed and injured on the job and demanding good, safe jobs with decent wages, health and retirement security and a voice on the job, workers will continue the fight for strong new safety and health protections.
*This post originally appeared in AFL-CIO blog on March 18, 2009. Reprinted with permission.
About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journal and managing editor of the Seafarers Log. I came to the AFL- CIO in 1989 and have written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety. When my collar was still blue, I carried union cards from the Oil, Chemical and Atomic Workers, American Flint Glass Workers and Teamsters for jobs in a chemical plant, a mining equipment manufacturing plant and a warehouse. I’ve also worked as roadie for a small-time country-rock band, sold my blood plasma and played an occasional game of poker to help pay the rent. You may have seen me at one of several hundred Grateful Dead shows. I was the one with longhair and the tie-dye. Still have the shirts, lost the hair.
Tags: AFL, AFL-CIO, Department of Labor, health and safety, Hilda Solis, job safety, labor, Mike Hall, Mine Safety and Health Administration, MSHA, Occupational Safety and Health Administration, OSHA, union, unions union blogs, workplace safety Posted in workplace safety | No Comments »
Thursday, March 18th, 2010
The U.S. Senate today passed a jobs bill that AFL-CIO President Richard Trumka calls a ”good start” in helping the nation’s workers climb out of the 11-million-deep jobs hole dug by the Wall Street greed that propelled the economy’s nosedive.
But he says the bill—which is on its way to the White House for President Obama’s signature—must be the first step of a broad and intensive effort to rebuild the economy.
Much more needs to be done. We need to restore the jobs that were lost to the financial debacle, and Wall Street should pay to create them. We must invest in rebuilding our crumbling infrastructure and in the green jobs of the future. We have to maintain funding for vital services by state and local governments and prevent destructive cuts in education, police and fire protection and more.
We must take the additional steps needed to extend unemployment insurance and health care lifelines to the unemployed. We must increase funding for neglected communities to match people who want to work with jobs that need to be done. And we should move right now to use leftover TARP money to get credit flowing to Main Street.
The $17.6 billion bill includes a one-year extension of the federal highway program, an extension of the Build America Bonds program that helps states finance certain infrastructure projects and tax incentives for employers to hire workers.
The Senate first passed the legislation in February, but minor changes by the House forced a second vote on the legislation.
Other pending jobs legislation includes a December-passed House bill that is a more extensive jobs bill with an emphasis on jobs-creating infrastructure projects. The next step for the bill is uncertain—Senate leaders have promised to move further jobs-related legislation, but no time table has been set. Also this month, Rep. George Miller (D-Calif.) introduced the Local Jobs for America Act, which would create or save up to 1 million public- and private-sector jobs. Jobs saved would include those such as the firefighters, the police and teachers and others whose jobs are in jeopardy because of local government budget cuts.
*This article originally appeared in AFL-CIO blog on March 17, 2009. Reprinted with permission from the author.
About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journal and managing editor of the Seafarers Log. I came to the AFL- CIO in 1989 and have written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety. When my collar was still blue, I carried union cards from the Oil, Chemical and Atomic Workers, American Flint Glass Workers and Teamsters for jobs in a chemical plant, a mining equipment manufacturing plant and a warehouse. I’ve also worked as roadie for a small-time country-rock band, sold my blood plasma and played an occasional game of poker to help pay the rent. You may have seen me at one of several hundred Grateful Dead shows. I was the one with longhair and the tie-dye. Still have the shirts, lost the hair.
Tags: infrastructure, Jobs, labor, Local Jobs for America Act, Mike Hall, TARP, union, union blogs, unions Posted in Employment | 2 Comments »
Monday, February 15th, 2010
Organized labor and its allies are rightly alarmed over the high incidence of on-the-job accidents that have killed or maimed many thousands of workers. But they haven’t forgotten – nor should we forget – the on-the-job violence that also afflicts many thousands.
Consider this: Every year, almost two million American men and women are the victims of violent crime at their workplaces. That often forces the victims to stay off work for a week or more and costs their employers more than $60 billion a year in lost productivity.
These crimes are the tenth leading cause of all workplace injuries. They range from murder to verbal or written abuse and threatening behavior and harassment, including bullying by employers and supervisors.
Women have been particularly victimized. At least 30,000 a year are raped or otherwise sexually assaulted while on the job. The actual total is undoubtedly much higher, since it’s estimated that only about one-fourth of such crimes are reported to the police.
Estimates are that more than 900,000 of all on-the-job crimes go unreported yearly, including a large percentage of what’s thought to be some 13,000 cases annually that involve boyfriends or husbands attacking women at their workplaces.
The Retail, Wholesale & Department Store Union (RWDSU), which represents many of the victimized workers, cites that as an example of the job violence problem that is often distorted by media coverage that “would lead us to believe that most workplace violence involves worker against worker situations.”
The union says that has focused many employers “on identifying troubled employees or disgruntled workers who might turn into violent predators at a moment’s notice. But in fact, 62 percent of all violence at worksites is caused by outsiders.”
As you might expect, those most vulnerable to the violence are workers who exchange money with the public, deliver passengers, goods or services, work alone or in small groups during late night or early morning hours in high-crime areas or wherever they have extensive contact with the public.
That includes police, security guards, water meter readers and other utility workers, telephone and cable TV installers, letter carriers, taxi drivers, flight attendants, probation officers and teachers. Convenience store clerks and other retail workers account for fully one-fifth of the victims.
The American Federation of Teachers is so concerned that it has provided each of its 1.4 million members a $100,000 life insurance policy payable if the teacher dies as the result of workplace violence.
The major violence victims also include health care and social service workers such as visiting nurses, and employees of nursing homes, psychiatric facilities and prisons. They suffer two-thirds of all physical assaults. Many of the victims regularly deal with volatile, abusive and dangerous clients, often alone because of the understaffing that’s become all too common.
It could get even worse, at least for some workers. The RWDSU warns that today’s troubled economic times create additional threats. The danger is especially great for retail workers whose stores are likely to face increased incidents of theft, some involving gun-wielding robbers.
The RWDSU and other unions have been pushing for recognition of workplace violence as an occupational as well as criminal justice issue. That would put it under the purview of the federal Occupational Safety and Health Administration (OSHA) and state job safety agencies.
The federal and state agencies could then issue enforceable regulations designed to lessen the on-the-job dangers of violence, as they do for other hazardous working conditions. A few states do that already, but only for a very limited number of industries.
OSHA has issued guidelines for workers in late-night retail jobs, cab drivers and some health care workers, but the guidelines are strictly voluntary. Although the unions’ top priority is for legally binding regulations, they also are pressing employers to meanwhile voluntarily implement violence-prevention programs.
Currently, only about one-fourth of them have such programs or any guidelines at all. The RWDSU’s Health and Safety Department is offering to help the other employers develop programs.
We have federal and state standards, laws and regulations designed to protect working Americans from many of the serious on-the-job hazards they face daily. Yet we have generally failed to lay down firm guidelines for protecting workers from the workplace violence that’s one of the most dangerous hazards of all.
*This post originally appeared in Truth Out on February 11, 2010. Reprinted with permission from the author.
About the Author: Dick Meister is a former labor correspondent of the San Francisco Chronicle and has covered labor and politics for a half-century as a newspaper, radio, television and online reporter, editor and commentator.
Tags: American Federation of Teachers, labor, Occupational Safety and Health Administration, OSHA, Retail, Wholesale & Department Store Union, workplace injuries, workplace violence Posted in OSHA, workplace safety, workplace violence | No Comments »
Monday, February 8th, 2010
As kids, we all loved the sugar-coated fairy tales of handsome and brave princes rescuing beautiful princesses from despotic kings.
The new CBS “reality” show “Undercover Boss” that debuted last night after the Super Bowl is a 21st century sugar-coated fairy tale. But this time, the brave prince is actually a CEO who goes undercover as a regular worker near the bottom of the food chain. There he finds how hard and dirty the job is; how stifling and draconian the company’s workplace rules are; and how crappy the pay is.
Then after walking so many miles in an employee’s work boots, the boss sees the light and promotes workers, raises pay, eases rules and promises a new found respect for all workers.
(If your boss isn’t going undercover anytime soon, be sure to check out American Rights at Work’s new website, Fix Our Jobs, where you can vent about how lousy—and even how great—your job is and learn how to make it better. Click here to watch the video.)
But just like our childhood stories ignored the dark, bloody and scary Brothers Grimm originals, “Undercover Boss” ignores the grim reality of too many of today’s workplaces.
“Undercover Boss” is a sweet, happy-ending tale for a handful of workers, but make-believe for millions of others. The best way to make workplace improvement and worker rights a reality is with the Employee Free Choice Act, that would restore the right of workers to form unions and bargain for a better life.
The bosses portrayed on the show may indeed be sincere and a handful of workers will enjoy the benefits of their foxhole conversions. But what about the millions of workers whose CEO’s will never be on TV? That’s where unions come in: to ensure employees have a voice at the workplace, with family-supporting pay and affordable health care and retirement security.
Along with the restoring the freedom to form unions, rebuilding the middle class means fighting for health care legislation, strong enforcement of wage and hour laws, holding Wall Street accountable and most importantly creating jobs. Unions and their members at the forefront of all these battles—out in the open—not undercover.
*This article originally appeared in the AFL-CIO blog on February 8, 2009. Reprinted with permission.
**For more information on the Employee Free Choice Act visit the Workplace Fairness EFCA Resource Page.
About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journal and managing editor of the Seafarers Log. I came to the AFL- CIO in 1989 and have written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety. When my collar was still blue, I carried union cards from the Oil, Chemical and Atomic Workers, American Flint Glass Workers and Teamsters for jobs in a chemical plant, a mining equipment manufacturing plant and a warehouse. I’ve also worked as roadie for a small-time country-rock band, sold my blood plasma and played an occasional game of poker to help pay the rent. You may have seen me at one of several hundred Grateful Dead shows. I was the one with longhair and the tie-dye. Still have the shirts, lost the hair.
Tags: CBS, EFCA, Employee Free Choice Act, labor, Mike Hall, Undercover Boss, unions Posted in Employee Free Choice Act | 1 Comment »
Saturday, February 6th, 2010
The index of total hours worked is below the November 1997 level.
The unemployment rate fell to 9.7 percent in January, driven by a 0.4 percentage-point drop in the unemployment rate for women to 8.4 percent. The unemployment rate for men fell 0.2 percentage points to 10.8 percent. This drop came in spite of a reported loss of 20,000 jobs in the establishment survey.
The improved employment picture was primarily a story for adult white women. Their unemployment rate fell by 0.6 percentage points to 6.8 percent, while their employment rate (EPOP) rose by 0.6 percentage points to 56.1 percent. The unemployment rate for black women rose slightly to 13.3 percent, although their EPOP also rose 0.2 percentage points to 54.7 percent. It is striking that the EPOP for white women is now 1.4 percentage points higher than for black women. Until last summer it had always been lower, although the gap had been narrowing over the last three decades.
For blacks overall, January was a bad month. The unemployment rate rose to 16.5 percent, the highest of the downturn. The unemployment rate for black men rose a full percentage point to 17.6 percent, also a high for the downturn.
By education group, the big winners were people with some college, who saw 1.2 percentage-point increase in their EPOP. There was little change in the EPOPs for other groups. Workers over age 55 continued to fare best, accounting for 178,000 of the 541,000 increase in employment. Women over age 55 accounted for 140,000 of these jobs.
In addition to the gains in employment, the household survey also showed a sharp fall in the number of people involuntarily working part-time, from 9,055,000 to 8,193,000. The U-6 measure of labor market slack correspondingly fell from 17.3 percent to 16.5 percent. It is also worth noting that the percentage of the unemployed who have voluntarily quit their job has edged up to 6.1 percent. This is still very low, but somewhat better than the 5.6 percent reported last summer, suggesting somewhat greater confidence in the labor market.
The establishment data look somewhat less positive. Not only do the data continue to show job loss, but the job loss over the last three months (Oct-Dec) was revised upward by 102,000, giving an average job loss of 103,000 per month over this period. Without 33,000 temporary census jobs, the establishment survey would have shown a loss of 53,000 jobs for January.
However, even in the establishment survey there are some positive signs. Manufacturing employment increased by 11,000, the first gain since January of 2007. This was fully explained by a 22,700 rise in auto employment. While this may not be repeated, it is likely that manufacturing employment has finally bottomed out.
Retail trade added 42,100 jobs, although this may be a seasonal anomaly with fewer people than normal hired in the holiday season and therefore fewer layoffs in January. Employment services showed another big increase, adding 52,000 jobs in January. This is consistent with a picture of employees getting ready to add permanent employees. Hours worked also increased, with the index of aggregate hours rising from 97.9 to 98.2.

However, there were also many negative aspects to the establishment data. Construction lost another 75,000 jobs, the vast majority in non-residential construction. State and local governments shed 41,000 jobs. The leisure and hospitality sector shed 14,000 jobs. Even health care seems to be weakening as a bastion of employment growth, adding just 14,500 jobs in January.
The benchmark revisions show the downturn to be even deeper than previously believed. The revised data show a loss of 8,424,000 from the peak in December of 2007. Over the decade from January 2000 to January 2010, the economy actually lost 1,254,000 jobs. The economy lost 2,100,000 construction jobs (27.2 percent) since the peak in August of 2006 and 2,467,000 manufacturing jobs since the decline began in January 2007. The index of hours worked is below the November 1997 level.
On the whole, there is some positive news in this report, with the household survey showing a much brighter picture than the establishment survey. It is possible that the birth/death data could now be understating job growth.
*This article originally appeared in CEPR on February 5, 2009.
About the Author: Dean Baker is the Co-director of the Center for Economic and Policy Research. CEPR’s Jobs Byte is published each month upon release of the Bureau of Labor Statistics’ employment report. For more information or to subscribe by fax or email contact CEPR at 202-293-5380 ext. 102, or chinku [at] cepr [dot] net.
Tags: Dean Baker, Employment, Jobs, labor, productivity, unemployment, women's issues Posted in unemployment | 2 Comments »
Thursday, January 7th, 2010
More than 100 union members, AFL-CIO President Richard Trumka and UNITEHERE! President John Wilhelm were arrested at a sit-in demanding justice and a fair contract for San Francisco hotel workers last night. The workers have been without a contract since August.
The sit-in in front of the Hilton San Francisco followed a march by nearly 1,000 members of UNITEHERE! Local 2, other union members and community and political supporters. Says Ingrid Carp, a cook for 29 years at the Hilton:
“We’re determined as ever to win a good contract. It’s wrong for corporations to position themselves to make billions with the coming economic recovery, and expect us to go backward.”
 UNITEHERE! President John Wilhelm (left) and AFL-CIO President Richard Trumka were among the 140 arrested at a San Francisco hotel sit-in for justice.
At the rally before the march, Trumka told crowd:
“A job is a good job because working people fight to make it one. It doesn’t matter if the job is in a coal mine or a hotel, a classroom or a car wash.
“That’s why the struggle of hotel workers here in San Francisco and across our country is so important. If we don’t protect the wages and benefits and health care of hotel workers no job is safe, no worker is safe no family is safe.”
Tomorrow, Trumka will join workers for a rally and picket in front of the Hyatt Regency Century Plaza in Los Angeles. Along with the demand for justice for hotel workers, Trumka is in California this week to spotlight the need for job creation. We’ll have more on that later today.
The action is part of a campaign to win fair contracts at several national hotel chains, including Hilton, Hyatt and Starwood. The profitable chains are using the recession as an excuse to demand health care benefit cuts in contract talks with more than 16,000 workers at dozens of hotels in San Francisco, Chicago and other cities.
*This article originally appeared in AFL-CIO blog on January 6, 2010. Reprinted with permission from the author.
About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journal and managing editor of the Seafarers Log. I came to the AFL- CIO in 1989 and have written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety. When my collar was still blue, I carried union cards from the Oil, Chemical and Atomic Workers, American Flint Glass Workers and Teamsters for jobs in a chemical plant, a mining equipment manufacturing plant and a warehouse. I’ve also worked as roadie for a small-time country-rock band, sold my blood plasma and played an occasional game of poker to help pay the rent. You may have seen me at one of several hundred Grateful Dead shows. I was the one with longhair and the tie-dye. Still have the shirts, lost the hair.
Tags: Hilton, hotel employees, Hyatt, John Wilhelm, labor, Mike Hall, Richard Trumka, Starwood, unions, UNITEHERE! Posted in labor, unions | No Comments »
Wednesday, January 6th, 2010
 Photo by Martin Gardlin
A recent Time magazine poll found that 71% of Americans who responded want the government to place limits on the executive compensation at firms that received bailout money. Yet accomplishing this task selectively is impossible to do.
The government did appoint a czar of executive compensation for these corporations, but he approved a $7-million salary/$3.5-million bonus plan for the head of AIG, 80% of which is now owned by taxpayers. Few workers, executives included, would agree to work for less than the going rate. Executives are simply used to earning millions of dollars, and there is little that either the czar or shareholders can do about it unless Congress limits all executive compensation. But the chance of such legislation passing is slim.
Why is limiting executive compensation so difficult? Because executives have a seemingly unassailable argument — market forces — that University of Chicago professor Steven Kaplan defended in an October debate: “Market forces govern CEO compensation. CEOs are paid what they are worth.”
Of course, market forces are cited not only to justify outsized compensation for executives but also poverty wages for workers. Textbooks claim that minimum wage laws and union wages create unemployment. Just what are these market forces, and should we let them determine executive compensation and wages?
When British economists David Ricardo and Adam Smith examined this question 200 years ago, they concluded that what a person earns is determined not by what the person has produced but by that person’s bargaining power. Why? Because production is typically carried out by teams of workers, managers and machines, and the contribution of each member cannot be separated from that of the rest. A driver and a bus, for example, generate $100,000 of income a year. The driver is paid $25,000. Is this because the driver had transported 10 of the passengers without the bus while the bus had transported 30 of the passengers without the driver? The driver’s pay is so small only because the driver is so weak at the bargaining table.
It was Smith who explained that the bargaining power of each party is determined by the laws that the government passes and the way that it enforces them, and that, as a rule, the government sides with employers against employees. He was particularly concerned with anti-unionization laws. Had he witnessed the largesse that boards of directors are permitted to offer executives, and the government’s behavior toward executives in the current crisis, he probably would have added that the government also sides with executives against shareholders and taxpayers.
Despite the logic of Ricardo and Smith’s explanation that it is power, not productivity, that determines what people earn, the notion that people earn what they “deserve” persists. It dates to the Haymarket riot of 1886 in Chicago — in which police and labor protesters clashed and several policemen and demonstrators were killed — and the labor unrest that followed. Concerned about this unrest, John Bates Clark, a Columbia University professor, warned in an 1899 book: “The indictment that hangs over society is that of ‘exploiting labor.’ If this charge were proved, every right-minded man should become a socialist.”
It was thus with a clear political agenda that Clark took it upon himself to prove that the charge of exploitation of workers was dead wrong. Clark’s “proof” was to ignore the fact that production is carried out by teams and that individual contributions cannot be measured. He simply declared that the contribution of each individual worker and each machine could be measured, and that the earnings of either workers and executives or machines are simply the values of these contributions.
In this view, if the government were to raise wages by law, employers would have no choice but to fire workers, because no employer can pay out more than the worker puts in. And if the government were to set limits on executive compensation, the bright and the talented would choose to work less or limit the level of their performance.
Evidence that Clark’s theory is wrong — that production is carried out by teams and that astronomical compensation is not a requirement for good performance — can be found everywhere. In 1941, Wassily Leontief, a Nobel Prize-winning economist, tried to alert economists to the fallacy of Clark’s theory. But Leontief, like Ricardo and Smith, was ignored. And Clark’s tale that earnings are determined by productivity alone is still being taught around the globe.
Corporate executives take a different approach: picking the argument that suits them. When it comes to their workers’ wages, Clark’s theory rules: The wage of each worker is equal to the value of his or her product, and raising wages will cause unemployment. When it comes to the executives’ own compensation, however, they hide behind the idea that an individual’s contribution can’t be measured. So even when the corporations they run lose big and their stocks decline, they still collect millions in pay. Executive compensation is now so large that executives’ work effort no longer has any relation to the level of their compensation.
Adam Smith got it right: The remedy for the rule of power is the rule of law. We need new laws to check the unfair distribution of the fruits of our labor. One such law could set a maximum ratio at any given company between the highest executive compensation and the lowest worker’s wage. Another could set a minimum ratio for the division of income between labor and shareholders. Still another could raise the minimum wage and tie it to the median wage, which would make the minimum wage a consistent living wage.
Overpaid executives take more than their fair share and leave too little for the rest of us, threatening our health — and that of society.
Moshe Adler teaches economics at Columbia University and is the author of “Economics for the Rest of Us: Debunking the Science That Makes Life Dismal.”
*This article originally appeared in The L.A. Times on January 4, 2009. Reprinted with permission from the author.
About the Author: Moshe Adler teaches economics in the department of urban planning at Columbia University and is the author of the just published book: “Economics for the Rest of Us: Debunking the Science that Makes Life Dismal.”
Tags: CEO, equal pay, executive compensation, labor, Minimum Wage, Moshe Adler, wages, workers Posted in equal pay, executive pay | No Comments »
Tuesday, January 5th, 2010
With the calendar turning to 2010, the Associated Press took a look back at the first year of Labor Secretary Hilda Solis’ tenure, pointing out that “her aggressive moves to boost enforcement and crack down on businesses that violate workplace safety rules have sent employers scrambling to make sure they are following the rules.”
In many ways, Solis has completely reversed the course of the Labor Department that was set by her predecessor, Elaine Chao. And Solis’ crackdown has business lobbyists yearning for the days when Chao ran the show:
“Our members are concerned that the department is shifting its focus from compliance assistance back to more of the ‘gotcha’ or aggressive enforcement first approach,” said Karen Harned, executive director of the National Federation of Independent Business’ small business legal center…Chao has claimed that success was the result of cooperating with businesses to help them understand the myriad regulations. Keith Smith, a spokesman for the National Association of Manufacturers, said his members “want to build upon [Chao's] progress and recognize what’s working.”
Of course, what worked for big business didn’t work at all for workers, as Chao’s Labor Department spent eight years “walking away from its regulatory function across a range of issues, including wage and hour law and workplace safety.”
Consider some of Chao’s legacy. The Government Accountability Office found that her Department “did an inadequate job of investigating complaints by low-wage workers who alleged that their employers were stiffing them for overtime, or failing to pay the minimum wage.” In one survey, 68 percent of low-income workers reported a pay violation in the previous week alone.
The Department’s own inspector general blamed “a lack of management emphasis on worker safety” for unsafe conditions at mines leading to a jump in worker deaths, while fines for workplace safety violations fell so low that employers began “factoring them in as part of their cost of doing business rather than complying with labor laws.” In all, “workers lose $19 billion in wages and benefits through illegal practices, nearly 6,000 American workers die on the job, and at least 50,000 workers die due to occupational disease” each year.
Solis, meanwhile, “slapped the largest fine in [Department] history on oil giant BP PLC for failing to fix safety problems after a 2005 explosion at its Texas City refinery.” She is hiring 250 additional wage-theft inspectors, and “started a new program that scrutinizes business records to make sure worker injury and illness reports are accurate.”
Labor Department staffers were so disgruntled under Chao that they threw a “good-riddance party” to cheer her departure. But for big business, Chao’s tenure meant acting with impunity and facing puny fines on the rare occasions that that were caught, and they’d like to go back.
*This post originally appeared in The Wonk Room on January 4, 2009. Reprinted with permission from the author.
About the Author: Pat Garofalo is the Economics Researcher/Blogger for WonkRoom.org at the Center for American Progress Action Fund. His writing has also appeared in The Nation, The Guardian, the Washington Examiner, and at New Deal 2.0.
Tags: Elaine Chao, Hilda Solis, labor, lobbyists, Minimum Wage, Pat Garofalo, regulation Posted in Workplace Conditions, labor | No Comments »
Monday, January 4th, 2010
This is an AP story written by SAM HANANEL. I am reposting to UnionReview.com with the hope of spreading the news.
Soon after she became the nation’s labor secretary, Hilda Solis warned corporate America there was “a new sheriff in town.”
Less than a year into her tenure, that figurative badge of authority is unmistakable. Her aggressive moves to boost enforcement and crack down on businesses that violate workplace safety rules have sent employers scrambling to make sure they are following the rules.
The changes are a departure from the policies of Solis’ predecessor, Elaine Chao. They follow through on President Barack Obama’s campaign promise to boost funding for the Occupational Safety and Health Administration, increase enforcement and safeguard workers in dangerous industries.
Solis made a splash in October when OSHA slapped the largest fine in its history on oil giant BP PLC for failing to fix safety problems after a 2005 explosion at its Texas City refinery.
Garnering less attention, she just finished hiring 250 new investigators to protect workers from being cheated out of wage and overtime pay. She also started a new program that scrutinizes business records to make sure worker injury and illness reports are accurate. And she is proposing new standards to protect workers from industrial dust explosions — an effort the Bush administration had long resisted.
Some business groups say they prefer a more cooperative approach between government and businesses — what the Bush administration called “compliance assistance.”
“Our members are concerned that the department is shifting its focus from compliance assistance back to more of the ‘gotcha’ or aggressive enforcement first approach,” said Karen Harned, executive director of the National Federation of Independent Business’ small business legal center.
Other business leaders point out that the rate of workplace deaths and injuries actually fell to record lows in the previous administration, while the agency also helped employees collect a record amount of back pay for overtime and minimum wage violations. Chao has claimed that success was the result of cooperating with businesses to help them understand the myriad regulations.
Keith Smith, a spokesman for the National Association of Manufacturers, said his members “want to build upon that progress and recognize what’s working.”
But a November report from the Government Accountability Office suggested there is widespread underreporting of workplace safety issues. Investigators cited evidence that some employers pressure workers not to report illnesses and injuries and urged OSHA to be more aggressive in verifying business records.
Labor Department spokesman Jaime Zapata said the idea of helping businesses understand the rules remains an important part of the agency’s strategy, along with stepped-up enforcement. Solis plans to hire 100 new OSHA inspectors next year.
“Compliance assistance was not a creation of the last administration,” Zapata said.
The changes have drawn praise from organized labor leaders who spent millions to help get Obama elected. Solis, a former California congresswoman and daughter of immigrant parents who were both union members, is a favorite of labor unions and a longtime advocate for workers’ rights.
“We will not rest until the law is followed by every employer, and each worker is treated and compensated fairly,” Solis said last month as she described a new national public awareness campaign to make sure workers know their rights on the job.
The massive fine against BP certainly caught the public’s attention, but other businesses are also paying a steep price for violating safety rules.
Two months into the new fiscal year, OSHA has already cited six companies for “egregious” violations that carry the highest penalties. There were only four such egregious cases in all of the previous year.
Solis said her agency this year will tackle 90 new rules and regulations next year. One change would give workers more information about how their pay is computed. Another would make employers disclose whether they sought advice from anti-union labor consultants.
*This post originally appeared in The Union Review on January 2, 2009. Reprinted with permission from the author.
About the Author: Richard Negri is the founder of UnionReview.com and is the Online Manager for the International Brotherhood of Teamsters.
Tags: Elaine Chao, Hilda Solis, labor, OSHA, Richard Negri, Union Review, Workplace Conditions, workplace safety Posted in OSHA, Workplace Conditions, labor | 1 Comment »
Tuesday, December 15th, 2009
Last week I attended the Web 2.0 Organizing Conference in NYC. It was an incredible event packed with hundreds of online organizers from around the country.
While I think the conference was a tremendous success, I think we, in labor, have a long way to go. We have the daunting task of internal organizing so that we can actually do 1/2 of the great things we talk about with online organizing and mobilizing. We have to remember that some unions’ web sites still look they were built out by a third grader. There appears to be an underlying fear among old school unionists to do anything on the web — and most probably because they cannot control the interactivity — or they don’t think they can. This is where we become educators.
We have to educate our bosses on the technology in a way that they can understand, and this is not easy for a whole host of reasons. Some of us don’t know how to explain why some social media tools work and others don’t. We don’t know how to explain that Convio is capable of a lot more than sending a mass email, etc. We can talk about this stuff until we are blue in the face, but often times we just need a shot at doing something to prove that it works. Do it now and apologize later? Maybe.
There are two different things at play for a lot of unions. One is actual organizing and the other is outreach – they are two different things that are frequently carried out by the same individual. (I think one day this will change. I think eventually the unions will realize that they need a team of workers to carry out the online organizing, mobilizing and education and will not put the task to one or two people only. I also think we are not there yet). For now, the same person who is clicking away at Twitter a few times a day is also the person who is getting flyers on web sites and sending emails to workers to get the flyers to print and distribute. The same person should also be building out technology to mine workers’ names and information to turn over to the boots-on-ground organizers. And this is where it can get very tricky for traditional organizing models.
At the conference something was said in one of the workshops that really struck a chord with me. If a worker’s first contact with a union is through a web site form, so should the second — usually with an email. Too often unions will realize they can get a worker’s information mined by the sites but then they want someone to go house visit with the worker immediately after. It shouldn’t, in my opinion, work quite that way. (In other words, I agree with the person who said this at the conference). It should be: initial contact web site – second contact email. Sure, by the third or fourth correspondence with the worker, have them meet up with someone from the organizing committee, but they might not be ready sooner than that. This is why an online organizer needs to make assessments of the workers in the same way an organizer on ground has to.
The education and mobilization part is becoming easier and easier. We have tools like Facebook, Myspace, Twitter, YouTube. There are progressive blogs welcoming labor’s messaging, such as FireDogLake, Daily Kos and Huffington Post. Then there are labor specific blogs like UnionReview.com where we can get to the meat of things if we need to.
Of course it is important to comment on stories we see — and that is a brand of online activism the same organizer who is mining workers’ names from the sites must motivate people to do. If we see an article in the mainstream media news that is totally counter everything we believe in as working class union workers, then take ten minutes and leave a comment, sway the discussion and get yourselves heard.
If there is one thing that is clear to me after a few years of doing this stuff it is this — never before have we had the opportunity to actually be the media. I talk about this in workshops at the union I work for and wherever else I am asked to talk, it is pivotal. We have to take into consideration that once upon a time it was a talked-at media. We were talked at from places like the NY Times, CNN, etc. Now journalism is an interactive trade. We are still talked at, but now we can talk back, instantly. If we stay as apathetic online as many of us are in the shops we work at, nothing is going to change. And change is what everyone is crying for.
Finally, I think it is important to mention that some of us who are doing online mobilization and education fall into the rut of singing to the choir. I have been guilty of this also. When we have made some ground on blogs or web sites, got heard and — even better – understood, why not move on to the next site or blog? Don’t get caught up in saying the same thing over and over to the same people. It can be a challenge because sometimes we don’t know if our work is ever really done, but who doesn’t like a challenge?
Do you want to be part of the change or would you rather sit back and hope for the best?
This article originally appeared in UnionReview.com on December 12, 2009. Re-printed with permission by the author.
About the Author: Richard Negri is the founder of UnionReview.com and is the Online Manager for the International Brotherhood of Teamsters.
Tags: bosses, labor, organizing, Richard Negri, social networks, technology, unions Posted in labor, organization, unions | No Comments »
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