American Thinker: Right to Work and Individual Rights

Sylvia Bokor outlines the critical connection between the Right to Work and individual rights: The Right to Work clause came into existence in 1935, embedded in the Taft-Hartely Law. It means that (a) employees may not be forced to join a union, that (b) employers need not hire only those who agree to join a union, and (c) that employers need not fire employees for failing to join a union or pay union dues. What does this mean in dollars and cents? Consider one of the worse-case scenarios: the Nelson Index ranks New Mexico, a non-Right to Work state, below the national average. Recently, the Rio Grande Foundation published its study of the effect of Right to Work on business growth and increased personal income in New Mexico. The Foundation concluded that were New Mexico to become a Right to Work state, "[b]y 2020, New Mexico would have 42,300 more people working ... [and that] the state's personal income would be nearly $5 billion higher, and wage and salary income would be $2.2 billion higher." But why? Why does prohibiting the use of force have such a hugely beneficial effect on economic growth and prosperity? The National Institute of Labor Relations Research answers the question. Mr. Greer begins his article by correctly identifying the foundation of the Right to Work clause: "Big Labor propaganda against Right to Work legislation and laws rarely focuses on the principle at stake: freedom of association." Later he states: "... Right to Work laws are not merely or even primarily an economic development tool. Right to Work laws and legislation are really a matter of freedom, not economics." True. But go deeper still. Individual rights are the foundation of freedom. "Freedom is the absence of force." Without individual rights, freedom does not exist. To the extent one's rights are violated, to that extent is one's freedom is curtailed, ultimately to be destroyed altogether. By definition, individual rights include the assurance that no man may violate the rights of another with impunity. A culture permeated by freedom is a culture enjoying the essential condition for prosperity: protection and recognition of individual rights. Philosophically, the Right to Work clause is the recognition of man's right to think for himself, to make his own choices and decisions -- i.e., his right to life. Personal happiness fuels productivity. Prosperity results. So why do union bosses continue to block implementation of the RTW clause?

New Mexico is Right for Right to Work

New Mexico is Right for Right to Work

[media-credit id=7 align="alignright" width="300"][/media-credit]Eric Fruits, the president and chief economist at Economics International Corp., an economics consulting firm, makes the case on why passing a Right to Work statute in New Mexico would help create jobs and prosperity: Right-to-work legislation is one of the very few pro-growth policies that is virtually costless to enact. And a large body of research has found that it benefits states economically. New Mexico, along with much of the country, still struggles to recover from a recession that began more than four years ago. While the state has benefited from the recent energy boom, states like New Mexico have struggled to cope with the employment consequences of the recession. In response, policymakers have tended to focus on fiscal policies such as tax cuts and “stimulus spending” rather than market structural solutions. Right-to-work laws can be a key component of a pro-investment and pro-employment package for New Mexico that encourages firms to locate and expand in the state. A large body of research has found that, as a group, right-to-work states have enjoyed more rapid employment growth, better job preservation and faster recoveries from recession that states without right-to-work laws in place. New Mexico has recognized this when the Legislature passed right-to-work legislation twice – in 1979 and 1981 – only to see the legislation vetoed by then-Gov. Bruce King. Proponents of right-to-work legislation argue that individuals should have the choice of whether or not to join a union and that the choice of whether to join a union should not be a condition of employment. They point to the relatively rapid growth in employment and incomes in right-to-work states relative to non-right-to-work states.

"Former Michigan Governor Jennifer Granholm Makes the Case for Right to Work Laws"

Matt Mayer of the Buckeye Institute debunks the long-term economic growth without Right To Work freedom is sustainable. Mayer uses a Columbus Dispatch reporter Joe Hatlett column that featured Former Michigan Gov. Jennifer Granholm to expose the fact that corporate welfare and reduced regulations ignore the “proverbial elephant in the room weighing down” compulsory union states like Indiana, Ohio, Illinois,, and Michigan. From Matt Mayer’s post: “With Michigan bleeding jobs and tax revenues, Granholm said she followed the corporate playbook in her attempt to close a huge state budget deficit and make Michigan more competitive. ‘In listening to the business community, I cut takes [sic] 99 times, and I ended shrinking government more than any state in the nation. In my two terms, I cut more by far than any state in the nation. And yet, we still have the highest unemployment rate. There was no correlation.’ Granholm conceded that streamlining business regulations and lowering taxes — Kasich’s economic recovery mantra — are helpful, but they aren’t a panacea…[l]abor costs, help with start-up costs and proximity to markets are other factors.” Hallett and Governor Granholm fail to mention why streamlining regulations and lowering taxes aren’t helping the northern states (located within 50 percent of the U.S. population and with low start-up costs) compete against the southern and western states. Instead, Hallett ignores the obvious answer and pleads for an end to corporate pork (with which we enthusiastically agree). The reason Michigan and Ohio can’t compete is that the southern and western states already have fewer regulations and lower taxes, so “catching up” with those states still leaves the proverbial elephant in the room weighing down the northern states. Plus, those states are also pushing for lower taxes and fewer regulations, so the northern states are perpetually behind them. The elephant, which Governor Granholm does hint at, is labor costs, or, more specifically, unionized labor costs (see: General Motors and the United Auto Workers). As I noted in Six Principles for Fixing Ohio, “Of course, tax and regulatory burdens also impact a state’s economy. Although many of the forced unionization states have heavy tax burdens and many of the worker freedom states have light tax burdens, some heavily taxed worker freedom states (Idaho, Nevada, and Utah) had the strongest sustained job growth from 1990 to today. Similarly, a few moderately taxed forced unionization states still had weak job growth (Indiana, Illinois, and Missouri). The combination of both a heavy tax burden and forced unionization is deadly when it comes to job growth, as 11 of the 15 worst performing states are ranked in the top 20 for high tax burdens.” If Ohio and the other states from Missouri to Maine want to truly compete with Texas, Georgia, and South Carolina, then those states need to enact laws that protect the rights of workers not to join a labor union to get a job.

"Former Michigan Governor Jennifer Granholm Makes the Case for Right to Work Laws"

"Former Michigan Governor Jennifer Granholm Makes the Case for Right to Work Laws"

Matt Mayer of the Buckeye Institute debunks the long-term economic growth without Right To Work freedom is sustainable. Mayer uses a Columbus Dispatch reporter Joe Hatlett column that featured Former Michigan Gov. Jennifer Granholm to expose the fact that corporate welfare and reduced regulations ignore the “proverbial elephant in the room weighing down” compulsory union states like Indiana, Ohio, Illinois,, and Michigan. From Matt Mayer’s post: “With Michigan bleeding jobs and tax revenues, Granholm said she followed the corporate playbook in her attempt to close a huge state budget deficit and make Michigan more competitive. ‘In listening to the business community, I cut takes [sic] 99 times, and I ended shrinking government more than any state in the nation. In my two terms, I cut more by far than any state in the nation. And yet, we still have the highest unemployment rate. There was no correlation.’ Granholm conceded that streamlining business regulations and lowering taxes — Kasich’s economic recovery mantra — are helpful, but they aren’t a panacea…[l]abor costs, help with start-up costs and proximity to markets are other factors.” Hallett and Governor Granholm fail to mention why streamlining regulations and lowering taxes aren’t helping the northern states (located within 50 percent of the U.S. population and with low start-up costs) compete against the southern and western states. Instead, Hallett ignores the obvious answer and pleads for an end to corporate pork (with which we enthusiastically agree). The reason Michigan and Ohio can’t compete is that the southern and western states already have fewer regulations and lower taxes, so “catching up” with those states still leaves the proverbial elephant in the room weighing down the northern states. Plus, those states are also pushing for lower taxes and fewer regulations, so the northern states are perpetually behind them. The elephant, which Governor Granholm does hint at, is labor costs, or, more specifically, unionized labor costs (see: General Motors and the United Auto Workers). As I noted in Six Principles for Fixing Ohio, “Of course, tax and regulatory burdens also impact a state’s economy. Although many of the forced unionization states have heavy tax burdens and many of the worker freedom states have light tax burdens, some heavily taxed worker freedom states (Idaho, Nevada, and Utah) had the strongest sustained job growth from 1990 to today. Similarly, a few moderately taxed forced unionization states still had weak job growth (Indiana, Illinois, and Missouri). The combination of both a heavy tax burden and forced unionization is deadly when it comes to job growth, as 11 of the 15 worst performing states are ranked in the top 20 for high tax burdens.” If Ohio and the other states from Missouri to Maine want to truly compete with Texas, Georgia, and South Carolina, then those states need to enact laws that protect the rights of workers not to join a labor union to get a job.