February, the first full month of the Trump presidency, witnessed solid jobs growth of 235,000 with the headline unemployment rate little changed, at 4.7 percent, according to the Bureau of Labor Services monthly report.
Trump has already tweeted to claim credit for the results, but neither his plan nor his administration were in place. In fact, the February figures, a record 77th straight month of jobs growth, result from the momentum of the Obama recovery, plus whatever benefit or harm came from Trump’s bombast.
The jobs growth will harden the Federal Reserve’s resolve to raise interest rates again when its Open Market Committee meets next week. The Fed is acting in anticipation of an expected rise in inflation, that is to date not much in evidence.
By raising rates, The Fed is choosing to put a drag on the economy, even though full recovery is a long way off. Nearly 15 million people are still in need of full-time work. The share of the population in the workforce – 60 percent – is still down from 2000. If our work rate were back to where it was, about 10 million more Americans would have jobs.
Over the course of the recovery, most of the jobs created are contingent – part-time, short-term, contract work – with few benefits and often low wages. Lawrence Katz and former Obama economic advisor Alan Kreuger found that a staggering 94 percent of new jobs created from 2005 to 2015 were “alternative work,” contract or short-term or contingent.
Trump’s trickle-down agenda – to cut taxes on rich and corporations so they will create jobs – doesn’t address this reality. In fact, corporations are swimming in money, and using it increasingly to buy back shares or for mergers that do little to create jobs. Companies, contrary to Trump’s rhetoric, don’t lack capital or access to it, they lack demand for their products.
Democrats are sensibly critical of the Trump agenda, but too many fall back to a defense of Obama’s policies as the alternative. Obama helped save the economy that was in free fall when he took office, and presided over record months of jobs growth, but his policies, frustrated by Republican obstruction, did little to counter the stagnant wages, growing inequality and increasing insecurity of the modern economy.
The challenge is not simply to expose Trump’s bait and switch on the working people who voted for him, but to lay out elements of a bold alternative agenda. Bernie Sanders modeled that effort in his surging primary challenge.
Now, Senator Sherrod Brown of Ohio, who is up for re-election in 2018, has stepped boldly into the breach. Brown has released a 77 page, meticulously documented report –Working Too Hard for Too Little– that delves into how policies and power have undermined workers, and offers the elements of an agenda to rebuild the middle class.
Brown’s central insight is a direct counter to Trump’s recycled voodoo. Trump believes that cajoling and bribing companies is the way to generate good jobs. Brown argues “It’s not businesses who drive the economy – it is workers.” Workers with decent wages and secure jobs generate the demand that allow companies to grow and the economy to thrive. As it is, “Between 2000 and 2013, the middle class shrank in all 50 states. And that’s hurting our country. When hard work doesn’t pay off – when workers have no economic security and their paychecks don’t reflect the work they do – our economy cannot grow.”
The unemployment rate, Brown argues, isn’t the measure of a good economy. “The unemployment rate is one thing, but whether workers have jobs that pay a decent wage and provide security is another. And the unemployment rate certainly doesn’t reflect the frustration, the worry, the anger, the pain that workers feel.”
Senator Brown details how the policies that have structured globalization, technology, corporate management have undermined workers, savaged unions, and pushed companies to offshore, contract out, and cut back on jobs, wages and benefits. He then offers a worker based alternative agenda, some old and some new.
He’d act directly to lift the floor under workers – requiring a $15.00 minimum wage, setting up a national fund to finance 12 weeks family and medical leave, mandating minimum paid vacation days and enforcing overtime pay.
He calls for empowering workers at the workplace– cracking down on labor violations, curbing wage theft, policing misuse of contract labor, and reviving the right to organize and bargain collectively. While Republicans are intent on destroying unions, Brown argues that clearly we all have a large stake in challenging the current imbalance of power in the workplace.
He details measures to help workers save for retirement – including matching grants and expansion of opportunities for part-time and short-term workers.
Then Brown offers a far more coherent plan than Trump to change corporate incentives. He’d create a “Corporate Freeloader Fee,” levied against all corporations “whose pay is so low that taxpayers are forced to subsidize their workers.” The fee would force companies to reimburse American taxpayers for the insult. He’d accompany this with offering companies that do right by the workers a tax break – if they “commit to staying in the US, to hiring in the US and to providing good wages and fair benefits for workers.”
The academic rigor – complete with footnotes – of Brown’s report is a rarity among politicians. It exposes House Speaker Paul Ryan’s much celebrated power points for the thin gruel that they are. Brown doesn’t see creating jobs as a standalone – affordable health care, better schools, access to colleges and good training, aggressive anti-trust and more are also vital.
Work unites all of us, Brown writes, citing Pope Francis: “We don’t get dignity from power nor money or culture. We get dignity from work.” With Working too Hard for Too Little, Brown has shown Americans that there is an alternative. The choice is not between Trump’s antics and more of the same. Good analysis leads to bold alternatives that offer a way out. His courage and his leadership should be applauded.
This blog originally appeared in ourfuture.org on March 10, 2017. Reprinted with permission.
Robert Borosage is a board member of both the Blue Green Alliance and Working America. He earned a BA in political science from Michigan State University in 1966, a master’s degree in international affairs from George Washington University in 1968, and a JD from Yale Law School in 1971. Borosage then practiced law until 1974, at which time he founded the Center for National Security Studies.
In the spirit of Dr. Martin Luther King, Jr., I participated in an incredibly moving procession of airport workers like myself. We were joined by clergy and elected officials on our march through Terminal C at Newark Liberty International Airport.
I clean United Airlines planes for a contractor called PrimeFlight Aviation Services. Yet I’m paid so little that it’s a struggle to survive.
At one point, I was homeless because I did not have enough money to pay my rent.
I now have a home, but I am afraid I could lose it if my hours are cut.
That’s why we marched on Monday.
The Port Authority of New York and New Jersey has the power to call for higher wages, and we have been working for years to do just that. But the Port Authority rejected the plan that would have brought parity across the Hudson River. Now we at Newark airport are getting left behind. New York airport workers just received their first raise, as part of the gradual plan towards $15 that they won last year.
I work just as hard as New York airport workers but I make less money.
It can be demoralizing, but I know that New Jersey airport workers are not second class citizens.
Airport workers are rising together and calling for change. We won’t stop fighting until we get what we deserve: a living wage, real benefits and respect.
This article was originally printed on SEIU.org in January 2017 . Reprinted with permission.
Benyamin Marte cleans United Airlines planes at Newark Airport.
With wage and hour lawsuits becoming increasingly common across the country, there was little reason for the lawyers at Amazon.com’s Seattle headquarters to be surprised when one landed on their doorstep recently. But they may have been concerned to learn that their newest legal adversary is “Sledgehammer Shannon” Liss-Riordan, a Boston attorney who gained legal fame by beating corporate giants like FedEx and Starbucks in just these kinds of contests.
The new lawsuit against Amazon is similar to one of Liss-Riordan’s best known cases—a suit against FedEx that charged the company was misclassifying delivery drivers as independent contractors when the workers were, as a matter of law, regular employees. Liss-Riordan won that fight and, this year, FedEx announced that it would give up on a series of related legal fights and pay $240 million to some 12,000 drivers in 20 states.
Liss-Riordan took the fight to Amazon in a suit filed October 4 in the U.S. District Court for the Western District of Washington. It charges Amazon and Amazon Logistics Inc. with violating the minimum wage law in Seattle, state labor law in Washington and the federal Fair Labor Standards Act (FLSA).
Liss-Riordan explains that Amazon is experimenting with a delivery system where the company contracts with individuals to use their own cars to pick up parcels at Amazon warehouses and deliver them to local customers. The drivers typically sign up for a specific work shift and are paid an hourly wage. They are not compensated, however, for expenses like gasoline, car maintenance, telephone calls, or other incidentals. When subtracting these expenses, drivers often end up earning less than the minimum wage and are denied overtime pay, she says.
That description of delivery methods was echoed by Stacy Mitchell, co-director of the advocacy group Institute for Local Self-Reliance. Along with co-author Olivia LaVecchia, Mitchell has just completed a major study of Amazon’s business practices that warns that the giant corporation is killing good jobs in local economies as it seeks to monopolize different sectors of the retail business.
“Amazon has substantially expanded its warehouses in recent years and is experimenting with the so-called ‘last mile’ of the delivery system. They are increasingly using on-demand drivers, and also regional couriers, to move goods,” Mitchell says. “In the past, this sort of ‘last mile’ delivery was typically done by the U.S. Postal Service or United Parcel Service. USPS and UPS jobs are good-paying union jobs, and Amazon is undermining these with its gig economy model.”
In These Times reached out to Amazon to comment on the lawsuit. Spokesman Jim Billimoria provided the following response:
“The small and medium sized businesses that partner with Amazon Logistics have their own employees and are required to abide by applicable laws and Amazon’s Supplier Code of Conduct, which focuses on compensation, benefits, and appropriate working hours. We investigate any claim that a provider isn’t complying with these obligations.”
Liss-Riordan says this sort of a defense is typical of large corporations, many of which have lost wage and hour lawsuits in court.
“It’s not what you say that counts, it’s what you do,” she said. “We’ve been able to demonstrate, time and time again, that a lot of these corporations just don’t live up to their stated policies when it comes to real-life employment practices on the ground. That’s why you see more and more of these suits.”
Indeed, a 2015 report from the law firm of Seyfarth Shaw LLP described an “onslaught” of litigation resulting in a record high number of federally-filed wage and hour cases in 2015. According to the firm, there were 8,781 such cases in 2015, compared to only 1,935 in 2000.
Asked about her nickname “Sledgehammer Shannon,” Liss-Riordan laughed out loud.
“It’s sort of silly. Mother Jones magazine did an article last year about a case I have against Uber, and I get a lot of jokes. I don’t care. The fact is, we will take on cases like this and fight them for 10 years if we have to.”
This blog originally appeared at Inthesetimes.com on December 12, 2016. Reprinted with permission.
Bruce Vail is a Baltimore-based freelance writer with decades of experience covering labor and business stories for newspapers, magazines and new media. He was a reporter for Bloomberg BNA’s Daily Labor Report, covering collective bargaining issues in a wide range of industries, and a maritime industry reporter and editor for the Journal of Commerce, serving both in the newspaper’s New York City headquarters and in the Washington, D.C. bureau.
In an otherwise grim period for the U.S. labor movement, the fast food industry has been a hot spot for organizing activity. For the past four years, the union-backed Fight for 15 movement and allied groups have staged a series of nationwide, day-long strikes and protests in support of higher wages and unionization for fast food workers.
Fast food workers have yet to gain any significant union representation. But thanks in large part to the movement’s efforts, states and cities across the country have passed minimum wage laws raising pay for millions of people.
And now, if President-elect Donald Trump has his way, an enemy of the Fight for $15 movement will lead the U.S. Labor Department.
On Thursday, Trump revealed that he had nominated Andrew Puzder, CEO of CKE Restaurants, to be Labor Secretary. CKE Restaurants is the parent company of Hardee’s and Carl’s Jr., two fast food companies that have been targeted by Fight for 15. Puzder himself is on record as an opponent of raising the minimum wage, and has said that he would like to try automating service more service jobs in response to wage hikes.
Unsurprisingly, the fast food lobby was delighted with Trump’s decision to elevate Puzder. International Franchise Association President and CEO Robert Cresanti called Puzder “an exceptional choice to lead the Labor Department” in a statement responding to the news.
Cresanti also offered up a wishlist for Puzder’s early days in office. The Obama Labor Department issue a rule (currently held up in federal court) that would dramatically expand the number of workers eligible for overtime pay. The department has also fought to expand joint-employer liability, meaning that multinational corporations such as McDonald’s may be held legally accountable for labor law violations committed at their franchised locations.
“We are hopeful that, if confirmed by the Senate, a top priority [for Puzder] will be rolling back the damaging effects caused by the expansion of joint employer liability to America’s 733,000 franchise businesses, and the too-far, too-fast increase in the overtime threshold that was recently put on hold by a Texas judge,” said Cresanti.
The progressive National Employment Law Project, on the other hand, described Puzder’s nomination as a “sucker-punch in the gut to all the men and women of good faith who believe in the mission of the U.S. Labor Department.”
“The job of the labor secretary is NOT to strengthen the power of corporations to reap record profits by squeezing every last drop out of their low-wage workforce—and threatening to replace them with machines if they ask for wages they can support their families on,” said NELP Executive Director Christine Owens. “While Mr. Puzder’s qualifications may fit the bill for the latter, those qualifications are anathema to what a secretary of labor should stand for.”
As Labor Secretary, Puzder would head up the main government agency charged with investigating claims of wage theft. A 2016 Bloomberg analysis of Labor Department data found that Hardee’s and Carl’s Jr. restaurants were themselves frequent violators of the law.
That may be why Fight for 15 organizing director told the American Prospect two weeks ago that appointing Puzder as Labor Secretary would be “like putting Bernie Madoff in charge of the treasury.”
This blog originally appeared in ThinkProgress.org on December 8, 2016. Reprinted with permission.
Ned Resnikoff is a senior editor at @thinkprogress.He was previously a reporter for for International Business Times, Al Jazeera America, and msnbc. Follow him on twitter @resnikoff.
Chicago—The movement known as Fight for $15 started in New York City as a surprise one-day strike. The workers’ demands then were simple and bold. They wanted a minimum wage of $15 an hour and the right to organize a union.
The workers who initiated the campaign could no longer tolerate lengthy debates over penny increases to the state, local and federal minimum wages. They called for more than double the federal minimum wage, which stood then—and now—at $7.25 an hour.
This was a dream that seemed not only aspirational but downright crazy when Fight for $15 first launched. And it was put forward by some of the workers with the greatest need—occupants of the virtually interchangeable jobs of the vast modern low-wage economy. These are the jobs that people take not just as a first job, but as the first of dozens of similar jobs in a career with little progress.
To mark its fourth anniversary this week, the Fight for $15 organization staged its largest and “most disruptive” national action to date, which included strikes, non-violent civil disobedience and actions at major airports like the Chicago O’Hare International Airport.
Even though it still has a long way to go, Fight for $15 had reason to celebrate.
A new report from the National Employment Law Project (NELP) credits Fight for $15 with winning an increase of $61.5 billion in annual wages over its first four years, mostly through state and local minimum wage increases. In other instances, employers boosted workers’ pay under public pressure.
On balance, these victories for roughly 19 million workers yielded a total raise more than 10 times larger than the raise U.S. workers received from the last federal minimum wage hike in 2007, according to NELP. By Fight for $15’s accounting, its actions have raised wages for 22 million workers.
Still, employers in the United States pay less than $15 an hour to some 64 million workers.
Over the past four years, Fight for $15 has reached beyond its base in fast food restaurants and launched organizing efforts with a broad range of poorly-paid workers: home care and child care workers, early childhood teachers, university teaching assistants, Uber and other ride-share company drivers, airport workers and many others. It has also inspired more tightly organized, conventional unions to reach out to other low-paid, low-skilled workers, such as car washers and retail sales clerks.
As the organization has grown, Fight for $15 has taken up new tactics and demands, in part reflecting the preoccupations of its members. While its two core demands remain a $15 minimum wage and union rights, the organization now also calls for an end to structural racism, to police killings of black people and to deportations of immigrants.
A new report from the National Employment Law Project (NELP) credits Fight for $15 with winning an increase of $61.5 billion in annual wages over its first four years. (ROBYN BECK/AFP/Getty Images)
“We can’t keep living like this”
Before 6 a.m. Tuesday, a cool fall day, a crowd of several hundred protestors gathered outside a McDonald’s restaurant in the gentrifying but still largely working-class and immigrant neighborhood of Ukrainian Village on Chicago’s northwest side. Supporters unfurled a banner from a nearby grocery store. It read: “We Demand $15 and Union Rights, Stop Deportations, Stop Killing Black People.” The crowd chanted slogans, ranging from the humorously blunt (“We work, we sweat. Put $15 on our check!”) to the bluntly militant (“If we don’t get it. Shut it down!”) and the over-optimistically heroic (“El pueblo unido, jamas sera vencido!” Spanish for “United, the people will never be defeated”).
The crowd included local politicians like Cook County Commissioner and recent insurgent mayoral candidate, Jesus “Chuy” Garcia, and workers whose jobs worsened recently as well as many others whose jobs have never been good. Uber driver Darrell Imani represented one of the newest companies whose workers have turned to Fight for $15 to protect what they fear losing. When he started driving for Uber a couple of years and about 12,000 rides ago, he typically earned roughly $25 an hour, or $40,000 a year.
“Now we can barely pay for gas and services,” he lamented. “We can’t keep living like this. We can’t. Uber drivers are on strike for living wages. I love doing it, but I want to be able to pay the bills. I’m trying to organize the group to be a union. Uber is making billions of dollars, but we are the ones who are making it for them.”
Also in the crowd was Keith Kelleher, president of SEIU Healthcare Illinois, Indiana, Missouri and Kansas, a large local union. He has a long history of trying, and often succeeding in organizing implausible groups of workers. In Detroit, Kelleher briefly organized hamburger chain outlets. He managed to organize widely dispersed home care workers in Chicago and other parts of Illinois. And just a few years ago, he led a march of retail clerks and fast food workers down North Michigan Avenue, the swank shopping strip of downtown Chicago.
“It has solidified in my mind that organizing can’t just be about wages, hours and working conditions,” Kelleher says. “It also is not just traditional organizing. This [Fight for $15] is the wave of the future. Workers want a union, and you can build organizations off of this. That’s the challenge.”
Organizing in the future may look much more like earlier periods of American labor history when “open shops” were common, meaning that individual workers could join or not join a union, Kelleher said. Open shops could become the rule again, as a result of the spread of right-to-work laws and the possibility of conservative judges overruling unions’ right to collect a “fair share” of normal dues to cover expenses of representing workers who do not join the union.
Kelleher’s home care workers’ union started along the model of an open shop, then won an agreement to have the state government “check off,” or collect, dues. But the Supreme Court later ruled that the home and child care workers in Kelleher’s union were not full-fledged state employees and, therefore, the union could not have dues deducted from their paychecks. The union now collects dues itself from about 65,000 of its more than 90,000 members, a remarkable achievement given how dispersed those workers are.
If employers think an open shop will weaken unions by making them less stable, Kelleher cites an unattributed maxim: “Where you don’t have permanent organization, you have permanent war.”
“With a union, you’re stronger”
The airport strike at O’Hare, the world’s fourth busiest airport, was one of the more dramatic actions. A year ago, Service Employees International Union (SEIU) Local 1 launched a campaign to organize about 2,000 O’Hare workers, employed by a modest number of contractors for tasks that include cleaning airplane cabins, providing transport for passengers with mobility problems, handling baggage and other services.
Forty years ago, these workers were employed directly by each airline and wages and benefits were attractive. But those arrangements collapsed under pressure from strong outside forces. Airlines increasingly subcontracted work to independent, specialized firms, which competed for work from the airlines and thus felt pressure to cut labor costs. And with deregulation of the airline industry, the carriers were subject to pressures to cut cost, which was easier to do when they employed contractors rather than direct hires.
Also, there was an economy-wide shift towards what David Weil, now the administrator of the Labor Department’s Wage and Hour Division, called the “fissured workplace,” where more powerful elements of the enterprise or workplace try to minimize their responsibility for anything except maximizing profits. President Ronald Reagan’s breaking the strike and union of the air traffic controllers further legitimized an anti-worker strategy that airline managers can deploy. One of the consequences is that from 2002 to 2012 outsourcing of baggage porter jobs more than tripled from 25 percent to 84 percent.
Despite having multiple employers, with a varied workforce, “workers’ resolve is very strong,” says Tom Balanoff, president of SEIU Local 1. An estimated 400 workers at O’Hare took part in the strike Tuesday.
“I think workers know the airlines can pay,” Balanoff says. “The airlines haven’t talked to us yet, but I think we got their attention,” and he believes the union has the political as well as industrial strength to prevail.
Andrew Pawelko hopes that’s true. A former auto paint detail worker, he now works as the lead in a cabin cleaning crew for Prospect, a major contractor to big airlines.
“I like cleaning and detail work,” he says, but “the job needs more pay.”
Pawelko, who took part in the strike, makes $12.50 an hour; members of his crew make $10.75. At a previous job, the employer persuaded workers to get rid of their union. A short time later, Pawelko’s benefits were cut.
“Union rights,” he says, “100 percent we need it, all of us.”
Rasheed Atolagbe-Aro, 50, a recent immigrant from Nigeria, is another strong union supporter who joined the strike, partly because of issues concerning safety and the high pressures at work.
“It’s high risk,” he says. “The spray used to clean is at a very serious level. But you’re fired if you refuse to come to work. With a union, you’re stronger.”
Although Fight for $15 is not a union, it can provide a way to fight on behalf of broad policies that help all low-wage workers, even if it has not yet created or even defined more localized vehicles to deal with individual member grievances, contracts and other traditional union tasks like signing up members, collecting dues and providing services. Such are some of the concerns about the group’s unconventional, loose structure, its lack of emphasis on formal membership and dues and its heavy financial dependence on the 1.8 million-member SEIU.
Can even a financially-strong union continue to underwrite such an ambitious undertaking? What is the optimal amount of SEIU control over Fight for $15?
“We’re hoping to build this movement,” Mary Kay Henry, president of SEIU, said as she stood on a balcony at O’Hare along with more than a thousand members and supporters of Fight for $15, noting that Fight for $15 mustered actions in 340 cities and 20 airports in a single day, combining rallies and marches with more logistically-complicated tactics, such as civil disobedience. “Our plan is not to shape the organization into unions as we have known them, but something different.”
Henry takes inspiration from the way that the labor movement in Denmark, for instance, has raised fast food worker wages and workplace standards dramatically by sitting down and talking with corporate leaders in the field to negotiate an agreement. She says she hopes to do the same, perhaps within the coming year, by sitting down with McDonald’s, Burger King and Wendy’s—the big three in burgers—to negotiate an industry-wide agreement.
“Workers say a union is the way jobs become good jobs, the way to have a voice,” she said. “Organizing is the way to improve our lives.”
This blog was originally posted on In These Times on December 1, 2016. Reprinted with permission.
David Moberg, a senior editor of In These Times, has been on the staff of the magazine since it began publishing in 1976. Before joining In These Times, he completed his work for a Ph.D. in anthropology at the University of Chicago and worked for Newsweek. He has received fellowships from the John D. and Catherine T. MacArthur Foundation and the Nation Institute for research on the new global economy. He can be reached at email@example.com.
From nonunion workers at O’Hare International Airport in Chicago to McDonald’s employees in New York City, people are having their voices heard, and have some heavy-hitter celebrities supporting them. Tuesday has been appropriately referred to as “Disruption Tuesday,” with underpaid workers walking off the job.
Why is this so important that people would make the sacrifice to strike, losing a days pay, risking their jobs and even arrest? Today’s $7.25/hr minimum wage is extremely low. For example, minimum-wage workers do not make enough to rent an apartment — pretty much anywhere. Huffington Post’s Kate Abbey-Lambertz shows why, in “Here’s How Much Money You Need To Afford Rent In Every State“:
Nationwide, the housing wage for a two-bedroom apartment is $20.30 hourly (or $42,240 annually). That means someone earning the federal minimum wage of $7.25 would have to work 112 hours a week to afford the typical rent.
…[T]he last time the federal minimum wage was raised, from $6.55 to $7.25 on July 24, 2009. Since then, the purchasing power of the federal minimum wage has fallen by 10 percent as inflation has slowly eroded its value. However, this decline in the buying power of the minimum wage over the past seven years is not even half the overall decline in the minimum wage’s value since the late 1960s.
Fast-food workers are exploited. The low-wage, burger-flipping service sector is the symbol of the new economy that is stripping the country of its middle class while a few at the very top make billions. Employers take advantage of the high unemployment to pay as little as the law allows, and hold down hours to keep from providing benefits. It pays off really big for a few at the expense of everyone else. Last year the CEO of Wendy’s made $16.5 million dollars while paying minimum wage. Or more to the point, because they pay minimum wage.
So fed-up fast-food workers are starting to organize and do something about it. Today in New York City fast-food workers staged a one-day walkout to demand a decent wage — enough to pay for rent and food.
Fight for $15 has already achieved gains for workers; since 2012 America’s workers have won nearly $62 billion in raises.
A new report from the National Employment Law Project (NELP), “Fight for $15: Four Years, $62 Billion“, examines the gains that the Fight For $15 movement have already brought to minimum-wage workers. Key findings include,
Since the Fight for $15 launched in 2012, underpaid workers have won $61.5 billion in raises from a combination of state and local minimum wage increases from New York to California and action by employers ranging from McDonald’s to Walmart to raise their companies’ minimum pay scales. (Figure represents the total additional annual income that workers will receive after the approved increases fully phase in.)
Of the $61.5 billion in additional income, two-thirds is the result of landmark $15 minimum wage laws that the Fight for $15 won in California, New York, Los Angeles, San Francisco, Seattle, SeaTac and Washington, D.C.
At least 19 million workers nationwide will benefit from raises sparked by the Fight for $15.
2.1 million of those workers won raises this month when voters approved minimum wage ballot initiatives in Arizona ($12 by 2020), Colorado ($12 by 2020), Maine ($12 by 2020), Washington State ($13.50 by 2020), and Flagstaff, AZ ($15 by 2021).
This post originally appeared on ourfuture.org on November 29, 2016. Reprinted with Permission.
Dave Johnson has more than 20 years of technology industry experience. His earlier career included technical positions, including video game design at Atari and Imagic. He was a pioneer in design and development of productivity and educational applications of personal computers. More recently he helped co-found a company developing desktop systems to validate carbon trading in the US.
The presidential election was bad news for progressives, but the dark cloud had a sort of silver lining—ballot measures. At the state level, workers won minimum wage increases in four states and paid sick leave in two.
Voters approved an increase to $12 an hour by 2020 in Arizona, Colorado and Maine. Washington voted to raise the minimum wage to $13.50 by 2020—and index it to inflation after that. In Flagstaff, Arizona, voters approved an increase above the new state minimum wage, raising it to $15 an hour by 2021.
These increases will affect about 2.3 million workers, according to the National Employment Law Project (NELP). And overall, the “minimum wage ballot wins bring to 19.3 million the number of workers who have received raises because of minimum wage increases in the four years since the Fight for $15 launched in New York City and began changing the politics of the country around wages,” noted NELP’s executive director, Christine Owens.
Voters approved an increase to $12 an hour by 2020 in Arizona, Colorado and Maine. Washington voted to raise the minimum wage to $13.50 by 2020—and index it to inflation after that. (AZ Healthy Working Families/ Facebook)
The measures in Arizona and Washington also included mandatory paid sick leave for workers. In Arizona, the initiative guaranteed at least 40 hours of paid leave for workers in businesses with 15 or more employees. Workers in businesses with fewer than 15 employees are guaranteed at least 24 hours. The law goes into effect July 2017. In Washington, workers will earn a minimum of one hour of paid sick leave for every 40 hours worked. That law takes effect in 2018.
In South Dakota, meanwhile, voters rejected a decrease in the minimum wage for non-tipped workers under the age of 18. And voters in Maine and Flagstaff abolished the sub-minimum wage for tipped workers, guaranteeing them the regular minimum wage.
The state and local minimum wage increases promise substantial benefits for a wide range of workers. Maine’s measure, for example, will raise wages for about 180,000 people, according to NELP. About a third of them are working seniors, who are “among the fastest-growing age groups in Maine’s labor force”—a trend that applies nationwide.
A report by the Women’s Foundation of Colorado found that the state’s $12 minimum wage will affect about 200,000 households with children and 290,000 women. The increase for most female minimum wage workers will be between $4,000 and $7,000 a year. The study also found that the median age of minimum wage workers is 30 and that more than 35 percent of them are over 40.
“For a family with two children,” the report read, “a minimum wage boost to $12 per hour could cover the cost of six to eight months of food; seven to nine months of transportation expenses; four to seven months of rent; or a semester to a full year at a community college.”
In other states, Alabama and Virginia voted on whether to enshrine so-called right-to-work laws into their state constitutions. In “right-to-work” states, employees can opt out of paying union dues. Both states already have such laws on the books, but putting them in the constitution would make them permanent. Alabama approved the measure. Virginia rejected it.
In the realm of health care, Colorado rejected an initiative that would have created a universal health care system in the state, with 80 percent voting against.
Also in Colorado, voters rejected (51-49 percent) a measure designed to alter the state’s constitution by deleting language from 1876 that allows slavery among people who are being punished for a crime. The proposed amendment highlighted growing concerns over working conditions in prisons and would have prohibited slavery in all cases. The state chapter of the AFL-CIO had supported the change.
Even though workers didn’t win on every initiative, the success of the minimum wage and paid sick leave measures suggests one promising path forward for progressives. Of the more than 160 total ballot measures this year, 71 were initiated through signature petitions rather than state legislatures.
As Justine Sarver, executive director of the Ballot Initiative Strategy Center, said Wednesday, “The success of the minimum wage and other progressive ballot measures in the face of last night’s election results clearly shows that ballot initiatives will become an increasingly important tool in coming cycles to pass the kind of policies that create an economy that works for everyone.”
This blog originally appeared at inthesetimes.com on November 10, 2016. Reprinted with permission.
Theo Anderson, an In These Times staff writer, is writing a book about the historical and contemporary influence of pragmatism on American politics. He has a Ph.D. in American history from Yale University and teaches history and literature seminars at the Newberry Library in Chicago.
It’s become a regular feature of elections in recent years: Even as the federal minimum wage stays stuck at $7.25 an hour, with congressional Republicans refusing to raise it, voters resoundingly choose to raise state and local minimum wages. Four states voted for minimum wage increases on Tuesday: Arizona, Colorado, Maine, and Washington. Paid sick leave also continued to gain momentum.
In Arizona, $12 by 2020 was passed by nearly 60 percent of voters. The first raise, from $8.05 to $10, will come in January. Tipped workers in one Arizona city are also getting some good news. Flagstaff voted to raise the tipped minimum wage to $15 by 2026. The federal tipped minimum wage has been $2.13 an hour since 1991. In Colorado and Maine, the minimum wage will be going to $12 by 2020 as well, with Maine including tipped workers—they’ll get to the full $12 by 2024, up from a current level of $3.75.
And then there’s Washington state, which before the minimum wage-raising movement of the past few years had the highest minimum wage of any state in the country but has gotten left behind even as two of its cities—Seattle and SeaTac—passed $15 minimum wages. On Tuesday, Washington voters said yes to $13.50 by 2020. Their minimum wage was slated to go from $9.47 to $9.53 on January 1, but instead it’ll go to $11.
That’s not all. The same measures that raised the minimum wage in Washington and Arizona also included paid sick leave. They will become the fifth and sixth states—after Connecticut, California, Massachusetts, and Oregon—to require paid sick leave.
This is all good news for millions of workers. And workers will need any good news they can get under President Trump.
This article originally appeared at DailyKOS.com on November 10, 2016. Reprinted with permission.
Laura Clawson is a Daily Kos contributing editor since December 2006. Labor editor since 2011.
I work in the United Airlines terminal as a baggage handler at O’Hare Airport in Chicago. Not too long ago, the people doing my job made $22 an hour. Then United outsourced the jobs to Prospect.
Now I’m paid just $11 an hour. Let’s do the math. That’s half of what they used to pay.
Same job. Less money.
I live with my family. I help pay the bills and put food on the table. At 21 years old, I already handle more responsibility than a lot of people do in a lifetime.
My aunt and grandma also work at O’Hare. All three of us are underpaid. We’re tired of struggling just to get by.
The worst part is that we don’t get health benefits. When I was injured on the job, I had to pay for most of my treatment out of my own pocket.
That’s why I’m standing with my coworkers. Like airport workers across the country, we’re fighting for $15 and union rights.
On Martin Luther King, Jr. Day I was arrested for blocking the street outside United Airlines’ headquarters in Chicago—an act of nonviolent civil disobedience. This spring, I joined my coworkers on an unfair labor practice strike to protest the retaliation we faced for coming together for $15 and union rights.
Chicago is an expensive place to live. Fifteen dollars—at least—is what we need to live our lives.
We know the money is there. Our jobs used to be good jobs. We’re pumping huge profits into United—but we’re barely making enough to make ends meet.
We are not going to stop until airlines step up and make our airports good for our communities again.
This article was originally printed on SEIU.org in October 2016. Reprinted with permission.
Raquel Brito is a baggage handler for Prospect Airport Services in the United Airlines terminal at O’Hare Airport in Chicago.
Last year, at age 17, Eli Fishel moved out of her parents’ house in Vancouver, Washington, squeezing into a three-bedroom apartment with five other roommates. To pay her bills as she finished high school, Fishel landed a job at Burgerville, a fast-food chain with 42 outlets and more than 1,500 employees in the Pacific Northwest.
Founded in 1961, Burgerville has cultivated a loyal following by emphasizing fresh, local food, combined with sustainable business practices like renewable energy and recycling. But Fishel quickly realized she wasn’t part of Burgerville’s commitment to “regional vitality” and “future generations.”
After 16 months on the job, she earns just $9.85 an hour, barely above the Washington State minimum wage. Her hours and shifts fluctuate weekly, with only a few days’ notice, and every month she goes hungry because she runs out of money to buy food.
Speaking of the privately-owned Burgerville, Fishel says, “We’re poor because they’re rich, and they’re rich because we’re poor.”
Disgruntled Burgerville workers began covertly organizing in 2015. The Burgerville Workers Union (BVWU) went public on April 26 with a march of more than 100 people through Portland, Oregon, and the delivery of a letter to the corporate headquarters in Vancouver. BVWU demands include a $5-an-hour raise for all hourly workers, recognition of a workers organization, affordable, quality healthcare, a safe and healthy workplace, and fair and consistent scheduling with ample notice.
Some BVWU members call their effort “Fight for $15, 2.0,” playing off the name of the fast-food worker campaign launched in 2011 by the Service Employees International Union (SEIU).
SEIU has won plaudits for making the plight of low-wage workers a national issue and igniting the movement for new laws boosting the minimum wage to $15 an hour. But the campaign has not, thus far, included efforts to unionize individual workplaces.
Unlike Fight for $15, which Middlebury College sociology professor and labor expert Jamie McCallum describes as “a fairly top-down campaign,” BVWU is a worker-initiated and -led project backed by numerous labor organizations. The group of Burgerville workers who came up with the idea includes members of Industrial Workers of the World (IWW), a militant union with West Coast roots that date back to the early 1900s. The campaign has the backing of the Portland chapter of IWW and the support SEIU Local 49, the Portland Association of Teachers, and Jobs with Justice.
This scrappy approach enabled BVWU to leapfrog Fight for $15 by declaring a union from the start. While BVWU has not yet formally petitioned for recognition and Burgerville has not chosen to voluntarily negotiate with it, the union has established worker committees in five stores, is developing units in a similar number of shops and counts scores of workers as members.
BVWU is full of lessons in how organizing works. One member likens the campaign to “low-level guerrilla warfare” with workers maneuvering to increase their ranks, build power on the shop floor, expand the terrain from shop to shop, while skirmishing with managers over the work process, and suffering casualties as some members have quit or say they were pushed out of their jobs at Burgerville. In the workplace, the strategy is to develop leaders, form committees for each store, and nurture trust and respect between workers. Outside, BVWU uses direct action to empower workers and bring suppliers into the conversation. The union also works to build community support by mobilizing social-justice groups, clergy, and organized labor to win over the public and pressure the company.
McCallum says that BVWU an example of social movement unionism. “It’s about organizing as a class against another class,” he says. “It’s to win demands not just against a single boss or to change a law, but to engage in class struggle.”
Burgerville Workers Union members and supporters rally in Portland, Ore. Photo courtesy of the BVWU
Beyond the Fight for $15
McCallum also sees the campaign as an attempt to build on Fight for $15. “For the first time since the Justice for Janitors campaign began 30 years ago, we have low-wage workers who are people of color working with traditional unions to change politics,” he says. “If the IWW is interested in pushing that agenda forward to make it more democratic and radical, that’s awesome.”
Fight for $15 is “one of the most successful and inspiring labor victories in the last 20 years,” says McCallum. “They’ve accomplished things, like doubling the minimum wage, thought impossible three years ago. They managed to raise the profile of low-wage workers in a failing economy.” He acknowledges, however, that Fight for $15 is “largely political organizing.”
“It doesn’t require a mass base. It requires mobilized workers with incredibly talented organizers to move sympathetic politicians in a defined geographic area,” McCallum says.
To that end, Fight for $15 devotes considerable money and effort to media. A Fight for $15 strategy document called “Strike in a Box” lists these criteria for a “good [organizing] site to focus on”: “Is it an iconic brand? Does the brand help tell a story, locally and/or nationally? Do we have spokespeople? Trained? Reliable? Experienced? Do we have stories? Compelling worker stories, Horror stories about site practices (wage theft, sexual harassment, etc).”
By contrast, Burgerville worker Flanagan says BVWU uses media primarily as a tool to foster the growth of the union along with worker solidarity and consciousness. She says media helps “connect the dots between our personal struggles and collective struggle.” She adds that explaining what unions do and how they organize helps to educate “my generation, which has very little understanding of unions.”
Indeed, although the Fight for $15 demands “$15 and a union,” SEIU has made a strategic decision not to attempt to organize the nation’s tens of thousands of fast-food restaurants shop by shop. “The NLRB has old rules for small shops,” Kendall Fells, Fight for $15’s organizing director, told Working in These Times in May. “This movement is too large to be put in that process.”
Adriana Alvarez, a Chicago McDonald’s worker, says that while Fight for $15 may not be a formal union, “We’re acting like a union, not waiting for anyone to tell us we can have one.”
“To me a union is workers joining together to accomplish things we wouldn’t be able to achieve on our own,” Alvarez says. “And that’s exactly what we’ve been doing—coming together and winning life-changing raises for 20 million Americans, including more than 10 million who are on the way to $15. By standing together, we’ve gone from powerless to having powerful voices in our stores.”
If SEIU can prove that McDonald’s calls the shots in its franchises, it could also push open the door to unionizing the whole company at once instead of the Sisyphean task of one franchise at a time. Deploying organizers, researchers and lawyers, SEIU has gathered evidence for 181 cases alleging that McDonald’s controls its franchisees’ employment practices and therefore should be held accountable for unfair labor practices in franchisees, including retaliation against workers who supported unionization. In 2014, the NLRB issued a preliminary finding in favor of SEIU’s case and, then the next year in a separate case involving Browning Ferris Industries of California the labor board revised the definition of joint employer to “consider whether an employer has exercised control over terms and conditions of employment through an intermediary.” Years later, the McDonald’s case is still grinding its way through a judicial process, with a multi-city case being argued before an administrative law judge that was kicked back to the NLRB on October 12. If the board finds or any of the court cases, which includes multiple class-action suits SEIU has backed against McDonald’s for wage theft, determine that McDonald’s is a joint employer with its franchisees, that may finally open the door to a company-wide union drive.
“It’s a huge amount of work”
The Burgerville campaign’s strategy of painstakingly organizing shop by shop emphasizes “building worker power,” which is both “a means and a goal,” says Flanagan.
For BVWU, the initial organizing drive was relatively easy, with workers chafing at difficult working conditions and poverty-level wages.
Debby Olson, 49, a military veteran, has worked at Burgerville since her home-cleaning business tanked during the Great Recession. She says the “people are nice, but the pay is horrible.” After six years, she makes $10.75 an hour.
Olson, says the job is “harder than my house-cleaning business. You are literally moving all day. For hours you don’t get to breathe. When I get home, I’m mentally and physically exhausted.”
Five other Burgerville workers also described the pace as non-stop. Olson reduced her full-time schedule to three days a week because, as she says, “I could barely walk when I got off work and my quality of life was really poor. It’s scary that my feet were getting so damaged that it could affect my ability to get another job or enjoy my later years.”
Burgerville’s lure is gourmet-style food, sourced locally from “988 farms, ranches, and artisans,” which requires labor-intensive preparation. Luis Brennan, 27, a two-year Burgerville employee, says, “The job is really hard. We actually cook the food. We core strawberries, we hand-blend milkshakes. We cook the meat and eggs fresh, we cut the onion rings and batter them twice. It’s a huge amount of work.”
The Burgerville campaign builds on the IWW’s experience over the last decade in fast-food organizing at Jimmy John’s and Starbucks. Picking a regional chain works to the benefit of the union as it can exert more pressure because Burgerville doesn’t have the might of a global food giant and its carefully crafted image is ripe for attack.
The public may eat up buzzwords like local, fresh and sustainable, but Burgerville’s rhetoric sticks in workers’ throats. Fishel says that despite a 70 percent discount for food on shift, she still sometimes can’t afford it.
“If your workers are going without food, how can you say you are a better, more sustainable option for your community?” she asks.
“This is my community”
Building a workplace organization has been a transformative experience for workers. Fishel says, “Being in the union has been very uplifting, inspiring, and super-positive to come together with so many people. We deserve a living wage, to be treated with respect and to have more than what we have right now.”
Claire Flanagan, 26, who’s worked at the chain since June 2015, says, “The union has changed people’s relationship with the job and work. It’s gone from being a place I go to work to pay my bills to feeling invested in our coworkers and the job in a much deeper way. This is my community.”
Burgerville is hardly rolling over, however. Flanagan says, “The company has dug in their heels and refuses whatever we ask for.” She alleges in her store, “Managers spread anti-union rumors and encourage workers to talk shit about the union as a way to gain favoritism. The company is engaged in a misinformation campaign and spreading fear.”
But BVWU members keep the heat on whether by wearing a union button on the job or tussling over floor mats. Members are demanding mats to ease the stress of standing for hours. Management relented in a few stores, but the mats have emerged as a proxy war. Flanagan says despite having mats, managers will put them away and she will bring them back out.
Jordan Vaandering, 26, says of workers at his outlet, where he’s been for a year, “We own the culture whereas before it was management pushing people to meet speed of service times, meet sales goals.”
Building worker power
BVWU’s strategy is known as “minority unionism” because BVWU may not have a majority in each shop willing to declare support for a union. This sort of organizing circumvents a federal labor-law process that makes union elections difficult, time-consuming and expensive. But BVWU utilizes the NLRB process when it is to its advantage, such as by filing unfair labor practice charges that allege Burgerville is illegally retaliating against the union and workers.
Burgerville worker Brennan says BVWU relies on the IWW model: “It teaches, ‘You’re a worker who hates your job, here’s how to build a committee.’ ” Each organized store began with a committee and grew from there.
One useful question, says Brennan, is asking workers, “What could you do with $5 an hour more?” He says talking to coworkers about “what they need changed and why they need it changed helps to break down the walls of silence around hard stuff in our lives.”
Brennan explains, “Building relationships in the workplace is not natural, but it’s deeply human. The workplace is full of power relationships and incredibly constrained by the boss, by pay, by gender, by race, by language. You need to get to know someone to know whether or not they will fight and why they’ll fight.”
These relationships come into play when management goes after workers. One notable case involves Ivy Fleak, a member whom BVWU claims was targeted by management “for standing up on the job and standing up against sexual harassment.” Flanagan says, “They took Ivy off the schedule for two weeks. We organized actions and a vigil. She spoke out publicly and won, receiving back pay for when she was off-schedule.”
Flanagan says, “People related to Ivy’s story,” which boosted support for the union. “At another job they saw someone being targeted or fired for standing up, or that happened to them. Being part of the union means when I’m at work, I know people have my back.”
BVWU claims Fleak was later forced to quit under pressure after the company allegedly threatened to file spurious criminal charges against her for gift-card theft. Burgerville declined to comment on her case, saying,“Burgerville is dedicated to continuously enhancing our relationship with our employees. We do not comment on individual employee matters or internal communications.” The company also opted not to comment on the BVWU campaign or on complaints about wages and working conditions.
In the case of another BVWU supporter fired over a workplace accident, the union organized a delegation of 50 people to the corporate headquarters asking for the worker’s job back and conducted a food drive for the worker. It publicized the firing to make the case that Burgerville pushes workers“past their limits” and demanded a transparent disciplinary process. More than half the workers in that outlet also signed a petition asking for the worker to be rehired. The worker remains fired.
BVWU members view the firings as part of a wider anti-union campaign. The company has set up a website to “inform” workers of their rights, but which discourages them from unionizing. Store managers have also been holding anti-union sessions with workers, where they play a video featuring Burgerville CEO Jeff Harvey. In the video, Harvey states, “I don’t think a union is in the best interest of the company, our employees, our suppliers, or our guests.” He admits, “Burgerville understands employees face certain challenges like transportation, food, and housing to name just a few.” Harvey then claims, “We have spent well over a year looking into the pressing issues that concern you [but] can’t act” as “under current labor laws, we are obligated to maintain the status quo.”
Flanagan claims when Burgerville says it has to “maintain the status quo,” what it’s really saying to workers is, “If you didn’t get a raise, blame the union.” On August 15, Burgerville Workers Union filed four charges of unfair labor practices with the NLRB, including one concerning the anti-union video. Labor law is fuzzy on the issue. Companies are prohibited from increasing benefits during a traditional union election campaign, but as a minority union, BVWU is acting outside of this framework as a minority union.
BVWU has also taken the offensive by hitting at the company’s public image. The worker-organizers have kept up a brisk pace for five months, averaging an action a week such as vigils, marches, pickets and a bicycle ride. When BVWU members visited Liepold Farms near Portland, which supplies Burgerville with berries for its signature shakes, to ask for support, the farm owner was taken aback but accepted their letter. Shortly after BVWU was unveiled, dozens of workers, local labor leaders, activists, and clergy packed the corporate headquarters in support.
Knowing they have the backing of the community bolsters the confidence of workers on the shop floor. Flanagan says the current plan is to “build organizational capacity and infrastructure to pull off larger actions.”
Time may be on the side of BVWU. The more shops the union can organize, the more workers who join, and the more community support it builds, the likelier it is BVWU will force Burgerville to the bargaining table, with or without a majority union. Then the Burgerville Workers Union may be the one opening new outlets.
To find out more about the Burgerville Workers Union, go to burgervilleworkersunion.org.
This blog originally appeared at InTheseTimes.org on October 25, 2016. Reprinted with permission.
Arun Gupta is a graduate of the French Culinary Institute in New York and has written for dozens of publications including the Washington Post, the Nation, The Progressive, Telesur English, and the Guardian. He is the author of the upcoming Bacon as a Weapon of Mass Destruction: A Junk-Food-Loving Chef’s Inquiry into Taste (The New Press).