Outten & Golden: Empowering Employees in the Workplace

Posts Tagged ‘Republicans’

Don't Pass Huge Tax Cuts for the Wealthy on the Backs of Working People

Monday, November 27th, 2017

Republican leaders in the U.S. Senate have proposed a job-killing tax plan that favors the super-rich and wealthy corporations over working people. We cannot afford to let this bill become law.

Here’s why this plan is a bad idea:

  • Millions of working people would pay more. People making under $40,000 would be worse off, on average, in 2021; and people making under $75,000 would be worse off, on average, in 2027.
  • The super-rich and Wall Street would make out like bandits. The richest 0.1% would get an average tax cut of more than $208,000, and 62% of the benefits of the Senate bill would go to the richest 1%. Big banks, hedge funds and other Wall Street firms would be the biggest beneficiaries of key provisions of the bill.
  • Job-killing tax breaks for outsourcing. The Republican tax plan would lower the U.S. tax rate on offshore profits to zero, giving corporations more incentive to move American jobs offshore. 
  • Working people would lose health care. Thirteen million people would lose health insurance, and health care premiums would rise 10% in the non-group market. Meanwhile, Republicans want to cut Medicaid and Medicare by $1.5 trillion—the same price tag as their tax bill.
  • Job-killing cuts to infrastructure and education. Eliminating the deduction for state and local taxes would drastically reduce state and local investment in infrastructure and lead to $350 billion in education cuts, jeopardizing the jobs of 350,000 educators.

Republican tax and budget plans would make working people pay the price for wasteful tax giveaways by sending our jobs overseas; killing jobs in infrastructure and education; raising our taxes; increasing the number of uninsured; and cutting the essential public services we depend on.

Call your senator today at 844-899-9913.

This blog was originally published at AFL-CIO on November 27, 2017. Reprinted with permission.

About the Author: Kelly Ross is the deputy policy director at AFLCIO. 

Republicans want to give corporations yet another tax cut and call it paid family leave

Tuesday, November 21st, 2017

Americans want paid family leave—something people in most nations around the world already get. So it sounds like something to cheer that there’s a paid family leave provision in the Senate Republican tax plan, right? Yeah, no. This is very much a Republican family leave proposal, which is to say it’s a giveaway to big corporations that won’t get much for working Americans. 

The bill would give companies a tax credit for a small proportion of the worker’s pay, companies only get the credit at the end of the year—so if they can’t afford to offer leave up front, they can’t take advantage of it—and it expires in 2019.

“It’s a flimflam,” said Ellen Bravo, co-director at Family Values@Work, a national coalition of paid leave advocates. “It’s pretending to say we’re giving you something new that people urgently need when, in fact, it’s a giveaway to the bigger corporations that can already afford to do it.” […]

Several conservative economists agree. This kind of tax credit would most likely be embraced by companies that already offer paid family leave, wrote Aparna Mathur, a resident scholar in economic policy at the American Enterprise Institute.

“This is only a small step forward in this debate, not a giant leap,” Mathur said. “Much more can and should be done.”

Not to mention, including something they can call paid family leave is a great Republican trick for pretending their giant tax cuts for rich people package is good for working families. And—like this flimflam proposal—it’s just not.

Call your senators now at (202) 224-3121 and urge them to vote no on this giveaway to corporations and the wealthy at the expense of working families.

This blog was originally published at DailyKos on November 17, 2017. Reprinted with permission.

About the Author: Laura Clawson is labor editor at Daily Kos.

GOP Smash-And-Burn Tax Plan Does Nothing for Workers

Friday, October 27th, 2017

Congressional Republicans are selling a trickle-down tax scam times two. It’s the same old snake oil, with double hype and no cure.

A single statistic explains it all: one percent of Americans – that is the tiny, exclusive club of billionaires and millionaires – get 80 percent of the gain from this tax con. Eighty percent!

But that’s not all! To pay for that unneeded and unwarranted red-ribbon wrapped gift to the uber wealthy, Republicans are slashing and burning $5 trillion in programs cherished by workers, including Medicare and Medicaid.

Look at the statistic in reverse, and it seems worse: 99 percent of Americans will get only 20 percent of the benefit from this GOP tax scam. That’s not tax reform. That’s tax defraud.

Republican tax hucksters claim the uber rich will share. It’s the trickle down effect, they say, the 99 percent will get some trickle down.

It’s a trick. Zilch ever comes down. It’s nothing more than fake tax reform first deployed by voodoo-economics Reagan. There’s a basic question about this flim-flammery: Why do workers always get stuck depending on second-hand benefits? Real tax reform would put the rich in that position for once. Workers would get the big tax breaks and the fat cats could wait to see if any coins trickled up to jingle in their pockets.

House Speaker Paul Ryan claimed Republicans’ primary objective in messing with the tax code is to help the middle class, not the wealthy. Well, there’s a simple way to do that:  Give 99 percent of the tax breaks directly to the 99 percent.

The Republican charlatans hawking this new tax scam are asserting the pure malarkey that it provides two, count them TWO, trickle-down benefits. In addition to the tried-and-false fairytale that the rich will share with the rest after collecting their tax bounty, there’s the additional myth that corporations will redistribute downward some of their big fat tax scam bonuses.

A corporate tax break isn’t some sort of Wall Street baptism that will convert CEOs into believers in the concept of paying workers a fair share of the profit their labor creates.

Corporations have gotten tax breaks before and haven’t done that. And they’ve got plenty of cash to share with workers right now and don’t do it. Instead, they spend corporate money to push up CEO pay. Over the past nine years, corporations have shelled out nearly $4 trillion to buy back their own stock, a ploy that raises stock prices and, right along with them, CEO compensation. Worker pay, meanwhile, flat-lined.

In addition to all of that cash, U.S. corporations are currently sitting on another nearly $2 trillion. But CEOs and corporate boards aren’t sharing any of that with their beleaguered workers, who have struggled with stagnant wages for nearly three decades.

Still, last week, Kevin Hassett, chairman of the President’s Council of Economic Advisers, insisted that the massive corporate tax cut, from 35 percent down to 20 percent, will not trickle, but instead will shower down on workers in the form of pay raises ranging from $4,000 to $9,000 a year.

Booyah! Happy days are here again! With the median wage at $849 per week or $44,148 a year, that would be pay hikes ranging from 9 percent to 20 percent! Unprecedented!

Or, more likely, unrealistic.

Dishonest, incompetent, and absurd” is what Larry Summers called it. Summers was Treasury Secretary for President Bill Clinton and director of the National Economic Council for President Barack Obama.

Jason Furman, a professor at the Harvard Kennedy School who once held Hassett’s title at the  Council of Economic Advisers, called Hassett’s findings “implausible,”  “outside the mainstream” and “far-fetched.”

Frank Lysy, retired from a career at the World Bank, including as its chief economist, agreed that Hassett’s projection was absurd.

Hassett based his findings on unpublished studies by authors who neglected to suffer peer review and projected results with all the clueless positivity of Pollyanna. Meanwhile, Lysy noted, Hassett failed to account for actual experience. That would be the huge corporate tax cuts provided in Reagan’s Tax Reform Act of 1986.

Between 1986 and 1988, the top corporate tax rate dropped from 46 percent to 34 percent, but real wages fell by close to 6 percent between 1986 and 1990.

Thus many economists’ dim assessment of Hassett’s promises.

The other gob-smacking bunkum claim about the Republican tax scam is that it will gin up the economy, and, as a result, the federal government will receive even more tax money. So, in their alternative facts world, cutting taxes on the rich and corporations will not cause deficits. It will result in the government rolling in coin, like a pirate in a treasure trove. That’s the claim, and they’re sticking to it. Like their hero Karl Rove said, “We create our own reality.”

Here’s Republican Sen. Patrick J. Toomey, for example: “This tax plan will be deficit reducing.”

If the Pennsylvania politician truly believes that’s the case, it’s not clear why he voted for a budget that would cut $473 billion from Medicare and $1 trillion from Medicaid. If reducing the tax rate for the rich and corporations really would shrink the deficit, Republicans should be adding money to fund Medicare and Medicaid.

While cutting taxes on the rich won’t really boost the economy, it will increase income inequality. Makes sense, right? Give the richest 1 percenters 80 percent of the gains and the remaining 99 percent only 20 percent and the rich are going to get richer faster.

Economist Thomas Piketty, whose work focuses on wealth and income inequality and who wrote the best seller “Capital in the Twenty First Century,” found in his research no correlation between tax cuts for the rich and economic growth in industrialized countries since the 1970s. He did find, however, that the rich got much richer in countries like the United States that slashed tax rates for the 1 percent than in countries like France and Germany that did not.

This Republican tax scam is a case of the adage that former President George W. Bush once famously bungled: “Fool me once, shame on you. Fool me twice, shame on me.”

This blog was originally published at OurFuture.org on October 27, 2017. Reprinted with permission.

About the Author: Leo Gerard, International President of the United Steelworkers (USW), took office in 2001 after the retirement of former president George Becker.

The GOP’s Trojan Horse on Health Care Repeal

Wednesday, July 26th, 2017

On Tuesday, 50 Republican senators showed contempt for their constituents by voting to move forward on repealing our health care, with Vice President Mike Pence stepping in to break the tie.

Nine GOP senators later broke ranks in a late-night session to vote down the Senate’s toxic version of the bill, the Better Care Reconciliation Act (BCRA) – which would have rolled back much of the Affordable Care Act and gutted Medicaid, ending coverage for 22 million – but there are more votes to come, including one that may simply repeal care and and strip coverage from 32 million.

The final version of the bill may be nothing more than a placeholder – a Trojan horse for setting up a Republican Senate-House conference committee that will use yet another secretive, undemocratic process to craft yet another version of health repeal.

GOP leaders will want the new version to look just like their previous versions: cut taxes for corporations and the rich, raise the price of coverage for the rest of us, unravel Medicaid, and take health care from 22 to 24 million people.

Among Republicans, only Sen. Susan Collins of Maine and Sen Lisa Murkowski of Alaska had the courage to stand with their constituents and vote no on moving forward.

By voting to move ahead on the health care debate, Sen. Dean Heller of Nevada caved to pressure from Trump and casino mogul Steve Wynn. Almost 630,000 Nevadans get their health care through Medicaid and are now in jeopardy.

Sen. Shelley Moore Capito of West Virginia caved under the weight of right-wing donor money and attack ads. With three in 10 West Virginians getting their health care through Medicaid, Capito’s state will be harder hit than almost all other states the country.

Ohio’s Sen. Rob Portman also caved, representing a state where hundreds of thousands of people finally got coverage because of expanded Medicaid under the Affordable Care Act.

It was extremely irresponsible of Portman, Capito, and Heller – who have all expressed concern for constituents enrolled in Medicaid – to throw their weight behind this reckless process without a clear plan for protecting Medicaid coverage.

In statements, Capito and Portman have both said they’ll make good on their concern in the days to come, but both voted with their GOP colleagues for the BCRA on Tuesday night. Heller, who voted against the BCRA, said he wants the bill to be improved.

They need to show this is more than talk. Now more than ever, their constituents need them to stand strong, resist any bullying, and protect Medicaid and health care overall. They’ll do that, if they really do care about their constituents.

And let’s not forget the true heroes in this fight.

These heroes include the West Virginians who’ve been holding Capito’s feet to the fire for months with creative protests and civil disobedience. They also include the Mainers who delivered messages in a pill bottle to Sen. Collins and tracked Rep. Bruce Poliquin down at a Boston fundraiser and reminded him who he’s supposed to represent. And let’s not forget the seniors who braved a Great Lakes blizzard to protest in front of Speaker Paul Ryan’s Racine office.

Like these heroes, tens of thousands of people have shown up at protests and town halls, often speaking up for the first time in their lives. In every corner of the country, people have put their senators on speed-dial, camped out in congressional offices, and rallied friends.

We really are in a fight for our lives. Yet we’re motivated not just by fear but also by moral outrage. We know how fundamentally wrong it is to deprive people of health care.

And our fight isn’t over. Republican leaders wanted to put health care repeal on Trump’s desk in January. It’s the end of July, they’re still scrambling. That’s because of us.

In the coming days, let’s keep making calls and showing up at rallies and protests. Let’s track every vote this week, and raise the pressure on senators and representatives alike if repeal moves to a conference committee.

We’ve shown an incredible persistence in our fight. We’ll show plenty more when it comes to holding politicians accountable for a vote that favors big-money bullying over the people they’re supposed to represent.

This blog was originally published at OurFuture.org on July 26, 2017. Reprinted with permission. 

About the Author: Julie Chinitz is lead writer for People’s Action.

Davis-Bacon Is Not Racist, and We Need to Protect It

Thursday, June 29th, 2017

In 1931, a Republican senator, James Davis of Pennsylvania, and a Republican congressman, Robert Bacon of New York, came together to author legislation requiring local prevailing wages on public works projects. The bill, known as Davis-Bacon, which was signed into law by President Herbert Hoover, also a Republican, aimed to fight back against the worst practices of the construction industry and ensure fair wages for those who build our nation.

 Davis-Bacon has been an undeniable success—lifting millions of working people into the middle class, strengthening public-private partnerships and guaranteeing that America’s infrastructure is built by the best-trained, highest-skilled workers in the world.

Yet today, corporate CEOs, Republicans in Congress and right-wing think tanks are attacking Davis-Bacon and the very idea of a prevailing wage. These attacks reached an absurd low in a recent piece by conservative columnist George Will who perpetuated the myth that Davis-Bacon is racist.

“As a matter of historical record, Sen. James J. Davis (R-PA), Rep. Robert L. Bacon (R-NY) and countless others supported the enactment of the Davis-Bacon Act precisely because it would give protection to all workers, regardless of race or ethnicity,” rebutted Sean McGarvey, president of North America’s Building Trades Unions, on the Huffington Post.

“The overwhelming legislative intent of the Act was clear: all construction workers, including minorities, are to be protected from abusive industry practices,” he continued. “Mandating the payment of local, ‘prevailing’ wages on federally-funded construction projects not only stabilized local wage rates and labor standards for local wage earners and local contractors, but also prevented migratory contracting practices which treated African-American workers as exploitable indentured servants.”

The discussion surrounding Davis-Bacon and race is a red herring. The real opposition to this law is being perpetrated by corporate-backed politicians—including bona fide racists like Rep. Steve King (R-Iowa)—who oppose anything that gives more money and power to working people. For decades, these same bad actors have written the economic rules to benefit the wealthiest few at our expense. King and nine Republican co-sponsors have introduced legislation to repeal Davis-Bacon, a number far smaller than the roughly 50 House Republicans who are on record supporting the law. King and his followers simply cannot fathom compensating America‘s working people fairly for the fruits of their labor. Meanwhile, after promising an announcement on Davis-Bacon in mid-April, President Donald Trump has remained silent on the issue.

So the question facing our elected officials is this: Will you continue to come together—Republicans and Democrats—to protect Davis-Bacon and expand prevailing wage laws nationwide? Or will you join those chipping away at the freedom of working men and women to earn a living wage?

We are watching.

This blog was originally published at AFLCIO.com on June 28, 2019. Reprinted with permission.

About the Author: Tim Schlittner is the AFL-CIO director of speechwriting and publications and co-president of Pride At Work.

Veto the Cold-Hearted Health Bill

Monday, June 26th, 2017

Donald Trump is right. The House health insurance bill is “mean, mean, mean,” as he put it last week. He correctly called the measure that would strip health insurance from 23 million Americans “a son of a bitch.”

The proposal is not at all what Donald Trump promised Americans. He said that under his administration, no one would lose coverage. He said everybody would be insured. And the insurance he provided would be a “lot less expensive.”

Senate Democrats spent every day this week pointing this out and demanding that Senate Republicans end their furtive, star-chamber scheming and expose their health insurance proposal to public scrutiny. That unveiling is supposed to happen today.

Republicans have kept their plan under wraps because, like the House measure, it is a son of a bitch. Among other serious problems, it would restore caps on coverage so that if a young couple’s baby is born with serious heart problems, as comedian Jimmy Kimmel’s was, they’d be bankrupted and future treatment for the infant jeopardized.

Donald Trump has warned Senate Republicans, though. Even if the GOP thinks it was fun to rebuff Democrats’ pleas for a public process, they really should pay attention to the President. He’s got veto power.

Republicans have spent the past six years condemning the Affordable Care Act (ACA), which passed in 2010 after Senate Democrats accepted 160 Republican amendments, held 110 bipartisan public hearings and conducted 25 consecutive days of public floor debate. Despite all of that, Republicans contend the ACA is the worst thing since Hitler.

That is what they assert about a law that increased the number of insured Americans by 20 million, prohibited discrimination against people with pre-existing conditions and eliminated the annual and lifetime caps that insurers used to cut off coverage for sick infants and people with cancer.

The entire cavalry of Republican candidates for the GOP nomination for President promised to repeal the ACA, but Donald Trump went further. He pledged to replace it with a big league better bill.

In May 2015, he announced on Twitter: “I’m not going to cut Social Security like every other Republican and I’m not going to cut Medicare or Medicaid.”

In September 2015, he said of his health insurance plans on CBS News’ 60 Minutes, “I am going to take care of everybody. I don’t care if it costs me votes or not. Everybody’s going to be taken care of much better than they’re taken care of now.”

In another 60 Minutes interview, this one with Lesley Stahl last November, he said, “And it’ll be great health care for much less money. So it’ll be better health care, much better, for less money. Not a bad combination.”

In January, he told the Washington Post, “We’re going to have insurance for everybody.” He explained, “There was a philosophy in some circles that if you can’t pay for it, you don’t get it. That’s not going to happen with us.”

But then, the House Republicans betrayed him. The nonpartisan Congressional Budget Office said the measure they passed, called the American Health Care Act (AHCA), would cut more than $800 billion from Medicaid. It said people with pre-existing conditions and some older Americans would face “extremely high premiums.”

Extremely high is an understatement. Here is an example from the CBO report: A 64-year-old with a $26,500 income pays $1,700 for coverage under the Affordable Care Act (ACA), but would be forced to cough up more than half of his or her income – $16,000 – for insurance under the House Republican plan. Overall, premiums would increase 20 percent in the first year. And insurers could charge older people five times the rate they bill younger Americans.

House Republicans said states could permit insurers to squirm out of federal minimum coverage requirements, and in states where that occurred, the CBO said some consumers would be hit with thousands of dollars in increased costs for maternity care, mental health treatment and substance abuse services.

In the first year, the House GOP plan would rob insurance from 14 million Americans.

So much for covering everyone with “great health care at much less money.”

It’s true that President Trump held a party for House Republicans in the Rose Garden after they narrowly passed their bill. But it seems like he did not become aware until later just how horrific the measure is, how signing it into law would make him look like a rank politician, a swamp dweller who spouts promises he has no intention of keeping.

By last week when President Trump met with 15 Senate Republicans about their efforts to pass a health insurance bill, he no longer was reveling in the House measure. He called it “cold-hearted.” He asked the senators to be more “generous,” to put “additional money” into their version.

Senators told reporters that President Trump wanted them to pass a bill that is not viewed as an attack on low-income Americans and provides larger tax credits to enable people to buy insurance.

Now that sounds a little more like the Donald Trump who repeatedly promised his health insurance replacement bill would cover everyone at a lower cost. Still, those goals remain amorphous.

The House bill is stunningly unpopular, almost as detested as Congress itself. President Trump seems to grasp the enormity of that problem. But even his calling it a “son of a bitch” doesn’t seem to have been enough to persuade senators that he’s serious about getting legislation that achieves his promises to leave Medicaid intact, cover everyone and lower costs.

Republican senators deciding the fate of millions of Americans must hear from Donald Trump that passing a health insurance bill that doesn’t fulfill his campaign promises is, shall we say, a cancer on the Presidency.

A veto threat would get their attention.

This blog originally appeared at OurFuture.org on June 21, 2017. Reprinted with permission. 

About the Author: Leo Gerard is president of the United Steelworkers.

Hints of Progress for Labor in the United States

Friday, June 9th, 2017

With Donald Trump sitting in the White House and right-wing Republicans controlling Congress, there is not much for labor to cheer about on the American national political scene. In addition, the overall prospect for union organizing does not look very good. Republicans are pursuing policies at both the national and state level to further erode union membership. But with all the bad news, there have been some important victories at the state and local levels that can perhaps lay the groundwork for gains nationally in future years.

The most important of these battles has been the drive for an increase in the minimum wage. The national minimum wage has been set at $7.25 an hour since 2009. In the intervening eight years, inflation has reduced its purchasing power by almost 17%. Measured by purchasing power, the current national minimum wage is more than 25% below its 1968 peak. That is a substantial decline in living standards for the country’s lowest-paid workers.

However, the situation is even worse if we compare the minimum wage to productivity. From 1938, when a national minimum wage was first put in place, until 1968, it was raised in step with the average wage, which in turn tracked economy-wide productivity growth. If the minimum wage had continued to track productivity growth in the years since 1968, it would be almost $20 an hour today, more than two and a half times its current level. That would put it near the current median wage for men and close to the 60th percentile wage for women. This is a striking statement on how unevenly the gains from growth have been shared over the last half century.

The Obama administration tried unsuccessfully to make up some of this lost ground during his presidency. While it may have been possible in his first two years when the Democrats controlled Congress, higher priority was given to the stimulus, health care reform and financial reform. Once the Republicans regained control in 2010, increases in the minimum wage were off the table. Needless to say, it is unlikely (although not impossible) that the Trump administration will take the lead in pushing for a higher minimum wage any time soon.

Although the situation looks bleak nationally, there have been many successful efforts to increase the minimum wage in states and cities across the country in recent years. This effort has been led by unions, most importantly the Service Employees International Union (SEIU), whose “Fight for $15” campaign is pushing to make $15 an hour the nationwide minimum. The drive gained momentum with its endorsement by Bernie Sanders in his remarkable campaign for the Democratic presidential nomination last year. While Sanders was of course defeated for the nomination, his push for a $15 an hour minimum wage won the support of many voters. It is now a mainstream position within the national Democratic Party.

However, the action for the near term is at the state and local levels, where there have been many successes. There are now 29 states that have a minimum wage higher than the national minimum. The leader in this effort is California, which is now scheduled to have a $15 an hour minimum wage as of January 2022. With over 12% of the US population living there, this is a big deal. Washington State is not far behind, with the minimum wage scheduled to reach $13.50 an hour in January 2020. New York State’s minimum wage will rise to $12.50 an hour at the end of 2020 and will be indexed to inflation in subsequent years.

Several cities have also jumped ahead with higher minimum wages. San Francisco and Seattle, two centers of the tech economy, both are set to reach $15 an hour for city minimums by 2020. Many other cities, including New York, Chicago and St. Louis have also set minimum wages considerably higher than the federal and state levels.

What has been most impressive about these efforts to secure higher minimum wages is the widespread support they enjoy. This is not just an issue that appeals to the dwindling number of union members and progressive sympathizers. Polls consistently show that higher minimum wages have the support of people across the political spectrum. Even Republicans support raising the minimum wage, and often by a large margin.

As a result of this support, minimum wage drives have generally succeeded in ballot initiatives when state legislatures or local city councils were not willing to support higher minimums. The last minimum wage increase in Florida was put in place by a ballot initiative that passed in 2004, even as the state voted for George W. Bush for president. Missouri, which has not voted for a Democratic presidential candidate in this century, approved a ballot initiative for a higher minimum wage in 2006. South Dakota, Nebraska and Arkansas, all solidly Republican states, approved ballot initiatives for higher minimum wages in 2014. In short, this is an issue where the public clearly supports the progressive position.

These increases in state and local minimum wages have meant substantial improvements in the living standards of the affected populations. In many cases, families are earning 20-30% more than they would if the minimum wage had been left at the federal minimum.

In addition, several states, including California, have also put in place measures to give workers some amount of paid family leave and sick days. While workers in Europe have long taken such benefits for granted, most workers in the United States cannot count on receiving paid time off. This is especially true for less-educated and lower-paid workers. In fact, employers in most states do not have to grant unpaid time off and can fire a worker for taking a sick day for themselves or to care for a sick child. So the movement towards requiring paid time off is quite significant for many workers.

This progress should be noted when thinking about the political situation and the plight of working people in the United States, but there are also two important qualifications that need to be added. The first is that there are clearly limits to how far it is possible to go with minimum wage increases before the job losses offset the benefits. Recent research has shown that modest increases can be put in place with few or no job losses, but everyone recognizes that at some point higher minimum wages will lead to substantial job loss. A higher minimum wage relative to economy-wide productivity was feasible in the past because the US had a whole range of more labor-friendly policies in place. In the absence of these supporting policies, we cannot expect the lowest-paid workers to get the same share of the pie as they did half a century ago.

The other important qualification is the obvious one: higher minimum wages do not increase union membership. The SEIU, the AFL-CIO and the member unions that have supported the drive for a higher minimum wage have done so in the best tradition of enlightened unionism. They recognize that a higher minimum wage can benefit a substantial portion of their membership, since it sets a higher base from which they can negotiate upward. Of course, it is also a policy that benefits the working class as a whole. For this reason, unions collectively have devoted considerable resources to advancing the drive to raise the minimum wage.

However, this has put a real strain on their budgets at a time when anti-union efforts are reducing the number of dues-paying members in both the public and private sectors. This will make it more difficult to sustain the momentum for raising minimum wages and mandating employer benefits. For this reason, the good news on the minimum wage must be tempered. It is a rare bright spot for labor in the United States in the last decade, but it will be a struggle to sustain the momentum in the years ahead.

This blog was originally published at CEPR.net on June 7, 2017. Reprinted with permission.

About the Author:  Dean Baker co-founded CEPR in 1999. His areas of research include housing and macroeconomics, intellectual property, Social Security, Medicare and European labor markets. He is the author of several books, including Rigged: How Globalization and the Rules of the Modern Economy Were Structured to Make the Rich Richer. His blog, “Beat the Press,” provides commentary on economic reporting. He received his B.A. from Swarthmore College and his Ph.D. in Economics from the University of Michigan

Will immigration reform protect workers?

Friday, July 19th, 2013

eidelson_100As House Republicans mull maiming the Senate’s immigration bill, a thousand pundits are asking what their moves will mean for future elections. Meanwhile, far from the spotlight, some courageous immigrant workers are asking whether Congress will finally disarm employers who use immigration status to silence employees. If Congress punts on immigration reform, or merely passes an industry wish list, it will have doubled-down on complicity in a little-discussed trend that’s driving down working conditions for U.S.-born and immigrant workers alike: For too many employers, immigration law is a tool to punish workers who try to organize.

The workers watching Congress include Ana Rosa Diaz, who last year was among the Mexican H-2B visa guest workers at CJ’s Seafood in Louisiana, peeling crawfish sold by Walmart. Accounts from workers and an NGOassessment suggest the CJ’s workers had ample grievances, from the manager that threatened them with a shovel, to the worms and lizards in the moldy trailers where they slept, to the swamp fungus that left sticky blisters on their fingers as they raced through shifts that could last twenty hours.
To maintain that miserable status quo, workers allege, management regularly resorted to threats. The most dramatic came in May 2012, when they say CJ’s boss Mike LeBlanc showed up at the start of their 2 a.m. shift to tell them he knew they were plotting against him, and that he knew “bad men” back in Mexico, and to remind them that — through labor recruiters there — he knew where their families lived. Then LeBlanc ticked off some names, including Diaz’s daughter. Diaz told me the threat of violence was all too clear: “I’ve never been so afraid of anybody in my life.”

Long before that speech, CJ’s workers say their managers deployed an all-too-common threat, what they call the “black list”: not just being deported back to Mexico, but being prevented by recruiters there from ever working in the United States again. “That’s what makes us the bosses’ subjects,” Diaz told me in a 2012 interview. “We’ve realized most bosses use the same tactics…” said her co-worker Martha Uvalle. “‘I’ll send you back to Mexico. I’ll report you to immigration. You’ll never come back.’” (CJ’s Seafood did not respond to various reporters’ requests for comment last year, including mine. Efforts to reach the company for comment last week were unsuccessful.)

Guest workers aren’t the only immigrants whose bosses can wield their immigration status as a weapon. Too often, employers who’ve happily gotten rich off the labor of undocumented workers develop a sudden interest in those employees’ legal status once they start speaking up. A few days after three-year subcontracted food court employee Antonio Vanegas joined a strike in the government-owned Ronald Reagan Building, he was detained by Homeland Security and placed in a four-day immigration detention. The same day that workers at Milwaukee’s Palermo’s Pizza plant presented their boss with a union petition, management presented workers with letters stating they’d need to verify their legal status. Ten days later, Palermo’s fired 75 striking workers, arguing it was just following immigration law.

For every immigrant worker that risks retaliation, there are others that choose not to, chastened by a well-founded fear that their status will be used against them. (There’s a risk of retaliationanytime U.S. workers try to exercise workplace rights, but the threat for undocumented or guest workers is particularly acute.) That vulnerability holds back the efforts of unions and other labor groups to organize and transform low-wage industries — or even to ensure employers pay minimum wage to their workers, immigrant or otherwise. It helps explain why the center of gravity in organized labor — long the site of struggles between exclusion and equality — has swung decisively in recent decades to support immigration reform. Rather than pushing to deport immigrants, unions (including my former employer) are mostly trying to organize them. The less leverage employers have over immigrants’ legal status, the more leverage immigrant and U.S.-born workers will have to wrest dollars and dignity from their bosses together.

The Senate’s immigration bill takes a few key steps to make that easier, each of which activists expect will face strong opposition in the House. The bill features a path to citizenship that organizers expect will help disarm deportation-happy bosses by allowing millions of workers to obtain secure and equal legal status. It creates a new “W visa” program with more labor protections that advocates hope will become a template to someday replace existing guest worker programs like the H-2B. And the bill includes several anti-retaliation measures designed to stem abuse: from more chances for workers who exposed crimes to get special visas or stays of deportation, to language overturning a Supreme Court decision that prevented illegally fired undocumented workers from getting back pay.

Those pro-labor provisions already come with painful sacrifices. Even before the Senate pegged it to a militarized “border surge,” that path to citizenship was long and littered with obstacles. Those include a requirement of near-continuous employment that advocates warn could still leave immigrants especially vulnerable to retaliatory firings, and an exclusion based on criminal convictions that — combined with a mandate that employers use the controversial status-checking software e-Verify — could leave some workers more vulnerable than ever. And advocates note that the H-2B program could at least temporarily more than double in size during the bill, though it would be subject to some modest new protections.

Facing a hostile House, labor officials are framing those Senate compromises as a floor for labor language in immigration reform: “There can be no further erosion of rights, and we’re protecting that as it goes to the House,” says Ana Avendaño, the AFL-CIO’s Director of Immigration and Community Action. But the Senate provisions are more likely to be treated as a ceiling. “We’ll lose all of the worker protection stuff in the House,” said a different advocate working on immigration for a union, and then “hope that reason prevails in the conference” committee tasked with reconciling Senate and House legislation.

The CJ’s Seafood story has an unusual ending: After their boss’s implied threat to their families, Diaz and seven of her co-workers mounted an against-the-odds strike. “We felt,” Diaz told me, “that if we didn’t do something to stop this, sometime in the future, it would be our children going through it.” You won’t find much such courage in Congress.

Article originally published on Reuters on July 17th, 2013.  Reprinted with permission
 
About the Author: Josh Eidelson is a reporter covering labor as a blogger for The Nation and a contributing writer for Salon. He worked as a union organizer for five years.

NLRB Truth: 10 Reasons Why the National Labor Relations Board Matters

Tuesday, July 16th, 2013

Kenneth-Quinnell_smallA radical decision by Republican-appointed federal judges threatens to destabilize the National Labor Relations Board (NLRB) if the Board loses a quorum in August. The D.C. Circuit Court of Appeals ruled that two recess appointments made by President Barack Obama in January 2012 were invalid and now NLRB decisions made while those appointees served on the Board are being challenged based on the D.C. Circuit opinion and placed on hold pending resolution of this issue by the U.S. Supreme Court.  This puts many workers across the country in dangerous and unfair situations that hurt them and their families.  The Senate could go a long way towards fixing the problem by confirming five nominations the president has made to the Board, but Republicans continue to obstruct the process in an effort to disable the NLRB and prevent it from protecting the rights of American workers.  Some, like Lindsey Graham (R-SC), have taken the extreme position that the NLRB should be “inoperable” and have vowed to block all nominations to the Board.

Here are ten examples—real stories from workers whose jobs and lives are negatively impacted by Republican obstruction—of why we need a functioning NLRB:

1. Dexter Wray, Alaska: Dexter worked as a maintenance engineer at a Sheraton in Anchorage.  His manager pressured him and several of his co-workers to decertify their union and told them to lie to the NLRB.  When they told the truth, Dexter and two of his co-workers were fired.  The NLRB ruled that the firings and coercion were illegal, but the hotel has refused to rehire them.  Dexter didn’t work for six months and incurred a large medical debt when he lost his health insurance.

2. Michelle Baricko, Connecticut: Michelle is a certified nursing assistant at West River Health Care.  She and her co-workers were locked out for months during contract negotiations.  The hospital’s owner, HealthBridge/CareOne, declared that negotiations were permanently stalled and implemented its own contract, which the employees did not agree to.  The NLRB obtained a court injunction for the company to stop its unfair labor practices, but HealthBridge declared bankruptcy and was able to escape its obligations to the employees. The Board and the employees’ union have appealed the decision.  Michelle was forced to sell her home and still struggles to provide for her three sons.

3. Kathleen Von Eitzen, Michigan: Kathleen is a baker at Panera Bread who organized 17 of her coworkers to form a union.  The company fought back, firing one employee and cutting Kathleen’s pay, giving her a negative evaluation because of her organizing.  The NLRB found that Panera violated the workers’ rights and ordered the company to pay back and compensate employees for cutting their hours. Panera appealed and the case is now stalled in federal court.  Kathleen’s husband has had two heart attacks and can’t work full time.  They can’t afford insurance because of her low pay and their home is now in foreclosure.

4. Susana Salgado Martinez, Nebraska: Susana was fired from Greater Omaha Packing Co., a meat packing plant, after she and fellow employees were accused of planning a strike.  She and her co-workers complained that the production line was moving too fast for several new, inexperienced workers to keep up with and that they were not being paid adequately.  A judge found that Susana and her co-workers were illegally fired and ordered that they be reinstated with back pay.  The case is pending before the NLRB.  Over the last year, she has been unable to find steady work and her family had to file for bankruptcy.

5. Juan Lopez, New Mexico: Juan worked as a janitor for Merchant Building Maintenance.  He and several of his fellow employees complained about sexual harassment, disrespectful treatment by a supervisor and the failure to receive a promised pay raise.  The company temporarily lost the contract that Juan was working on in the Santa Fe Public School District.  When the company was rehired by the school district, Merchant refused to rehire the workers who complained.  The NLRB found that failure to rehire those employees was illegal and that they should be reinstated and given back pay.  The company has refused to comply with the ruling.  Juan has been unable to find steady work since then and has had to skip paying some of his bills.

6. Clarence Adams, New York: Clarence is a Marine and Iraqi veteran who was fired by Cablevision for asking to meet with management, under the company’s “open-door” policy, to discuss stalled contract negotiations.  Two regional offices of the NLRB issued complaints against the company for illegally firing workers and for failing to bargain in good faith.  The company has filed suit in the U.S. Court of Appeals to prevent the complaints from being enforced.  Meanwhile, Clarence is struggling to provide for his family.

7. Jack Conway, Ohio: Jack and 15 other workers at aluminum products company KLB Industries were locked out during union negotiations.  Five years later, KLB has refused to reinstate the workers or give them back pay as the NLRB and U.S. Court of Appeals have ordered.  Conway hasn’t found regular work since the lockout and has exhausted unemployment insurance.  He barely survives on the $200 a week that the United Auto Workers (UAW) provides to him and the other locked-out workers.

8. Anonymous, Virginia: An employee at BaySys Technologies posted a comment on Facebook about not receiving paychecks on time.  The company fired him or her and threatened to sue the employee for violating a non-disclosure agreement.  The NLRB ruled the firing was illegal and ordered the company to reinstate him or her with back pay.  An appeals court enforced the order, which couldn’t have happened without a functioning NLRB.

9. Richard Salinas, Washington: After Richard and his fellow employees at Oak Harbor Freight Lines went on strike in 2008, the company stopped paying into the workers’ pension and health care trust funds.  The NLRB found this to be an illegal action and ordered the company to reimburse the funds for the missed payment and make up for personal losses the employees incurred when their health coverage lapsed.  The Court of Appeals has delayed enforcing the decision because of the uncertainty about the NLRB.  Richard said he’s close enough to retirement that the missed payments won’t affect him much, but he’s worried about how the loss will affect his younger co-workers.

10. Dave Preast, West Virginia: Dave was a miner at the Cannelton mine in Smithers, W.Va., when the mine was purchased by a new company.  The new owner refused to give him a job because of his union membership.  The NLRB has ruled twice that the refusal was illegal, but Dave and 84 other miners have not been rehired or given the back pay they deserve.  Dave has a 16-year-old son who has needed several surgeries for a life-threatening heart condition.  Luckily, he was able to cover the surgeries through the state’s CHIP program and Medicaid, otherwise the costs could have bankrupted the family.  As of now, Dave is doing odd jobs to make ends meet, but without reinstatement he’ll be forced to live on $500 a month when he retires.

There are many more stories of workers whose lives and livelihoods are in crisis because of this NLRB fight.

This blog originally appeared in AFL-CIO NOW on July 11, 2013.  Reprinted with permission. 

About the Author: Kenneth Quinnell is a long-time blogger, campaign staffer and political activist whose writings have appeared on AFL-CIO, Daily Kos, Alternet, the Guardian Online, Media Matters for America, Think Progress, Campaign for America’s Future and elsewhere.

What You Need To Know About The Michigan GOP’s ‘Right-To-Work’ Assault On Workers

Monday, December 10th, 2012

On Thursday, Michigan Gov. Rick Snyder (R) backtrackedon his commitment to avoid so-called “right-to-work” legislation and by the end of the day, both the Michigan House of Representatives and the Michigan state Senate had introduced and passed separate bills aimed at the state’s union workforce.

Michigan Republicans claim the state needs the measure to stay competitive with Indiana, where lawmakers passed “right-to-work” last year. In reality, though, such laws have negative effects on workers and little effect on economic growth. Here is what you need to know about the state GOP’s campaign:

THE LEGISLATION: Both the state House and state Senate passed legislation on Thursday that prohibits private sector unions from requiring members to pay dues. The Senate followed suit and passed a different but similar measure that extends the same prohibition for public sector unions, though firefighters and police officers are exempt. The state House included a budget appropriations provision that is intended to prevent the state’s voters from being able to legally challenge the law through a ballot referendum. Due to state law, both houses are prevented from voting on legislation passed by the other for five days, so neither will be able to fully pass the legislation until Tuesday at the earliest.

THE PROCESS: Union leaders and Democrats claim that Republicans are pushing the legislation through in the lame-duck session to hide the intent of the measures from citizens, and because the legislation would face more trouble after the new House convenes in January. Michigan Republicans hold a 63-47 advantage in the state House, but Democrats narrowed the GOP majority to just eight seats in November. Six Republicans opposed the House measure; five of them won re-election in 2012 (the sixth retired). And Michigan Republicans have good reason to pursue the laws without public debate. Though the state’s voters are evenly split on whether it should become a right-to-work state, 78 percent of voters said the legislature “should focus on issues like creating jobs and improving education, and not changing state laws or rules that would impact unions or make further changes in collective bargaining.”

THE CONSEQUENCES: While Snyder and Republicans pitched “right-to-work” as a pro-worker move aimed at improving the economy, studies show such legislation can cost workers money. The Economic Policy Institute found that right-to-work laws cost all workers, union and otherwise, $1,500 a year in wages and that they make it harder for workers to obtain pensions and health coverage. “If benefits coverage in non-right-to-work states were lowered to the levels of states with these laws, 2 million fewer workers would receive health insurance and 3.8 million fewer workers would receive pensions nationwide,” David Madland and Karla Walter from the Center for American Progress wrote earlier this year. The decreases in union membership that result from right-to-work laws have a significant impact on the middle class and research “shows that there is no relationship between right-to-work laws and state unemployment rates, state per capita income, or state job growth,” EPI wrote in a recent report about Michigan. “Right-to-work” laws also decrease worker safety and can hurt small businesses.

Union leaders are, of course, aghast at Snyder and the GOP’s right-to-work push. “In a state that gave birth to the modern U.S. labor movement, it is unconscionable that Michigan legislators would seek to drive down living standards for Michigan workers and families with a law that will do nothing to improve either the state’s economic climate or the quality of life for Michigan residents,” RoseAnn DeMoro, the executive director of National Nurses United, said in a statement.

This post was originally posted on December 7, 2012 on Think Progress. Reprinted with Permission.

About the Author: Travis Waldron is is a reporter/blogger for ThinkProgress.org at the Center for American Progress Action Fund. Travis grew up in Louisville, Kentucky, and holds a BA in journalism and political science from the University of Kentucky. Before coming to ThinkProgress, he worked as a press aide at the Health Information Center and as a staffer on Kentucky Attorney General Jack Conway’s 2010 Senate campaign. He also interned at National Journal’s Hotline and was a sports writer and political columnist at the Kentucky Kernel, the University of Kentucky’s daily student newspaper.

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