The Government Workers Union Albatross

The Government Workers Union Albatross

Phillip K. Howard examines how union bosses for government workers are fleecing the taxpayers: The indictment of seven Long Island Rail Road workers for disability fraud last week cast a spotlight on a troubled government agency. Until recently, over 90% of LIRR workers retired with a disability—even those who worked desk jobs—adding about $36,000 to their annual pensions. The cost to New York taxpayers over the past decade was $300 million. As one investigator put it, fraud of this kind "became a culture of sorts among the LIRR workers, who took to gathering in doctor's waiting rooms bragging to each [other] about their disabilities while simultaneously talking about their golf game." How could almost every employee think fraud was the right thing to do? The LIRR disability epidemic is hardly unique—82% of senior California state troopers are "disabled" in their last year before retirement. Pension abuses are so common—for example, "spiking" pensions with excess overtime in the last year of employment—that they're taken for granted. Governors in Wisconsin and Ohio this year have led well-publicized showdowns with public unions. Union leaders argue they are "decimat[ing] the collective bargaining rights of public employees." What are these so-called "rights"? The dispute has focused on rich benefit packages that are drowning public budgets. Far more important is the lack of productivity. "I've never seen anyone terminated for incompetence," observed a long-time human relations official in New York City. In Cincinnati, police personnel records must be expunged every few years—making periodic misconduct essentially unaccountable. Over the past decade, Los Angeles succeeded in firing five teachers (out of 33,000), at a cost of $3.5 million. Collective-bargaining rights have made government virtually unmanageable. Promotions, reassignments and layoffs are dictated by rigid rules, without any opportunity for managerial judgment. In 2010, shortly after receiving an award as best first-year teacher in Wisconsin, Megan Sampson had to be let go under "last in, first out" provisions of the union contract. Even what task someone should do on a given day is subject to detailed rules. Last year, when a virus disabled two computers in a shared federal office in Washington, D.C., the IT technician fixed one but said he was unable to fix the other because it wasn't listed on his form. Making things work better is an affront to union prerogatives. The refuse-collection union in Toledo sued when the city proposed consolidating garbage collection with the surrounding county. (Toledo ended up making a cash settlement.) In Wisconsin, when budget cuts eliminated funding to mow the grass along the roads, the union sued to stop the county executive from giving the job to inmates.

ObamaCare's Big Labor Bailout Provisions

The Investor's Business Daily reports on a new government report detailing a $5 billion slush fund that was included in ObamaCare, $2.7 billion of which has been handed out to the union bosses: How do you funnel billions of dollars to your union pals at a time when the government is running record deficits? Easy, you just tuck the money into ObamaCare. According to a new Government Accountability Office report, the federal government has so far handed out $2.7 billion out of a $5 billion program squirreled away in ObamaCare. The Early Retiree Reinsurance Program is advertized as a way to "stabilize the availability of employer-sponsored coverage for early retirees," according to a Health and Human Services memo. The argument goes that companies are increasingly dropping retiree health benefits, leaving those who retire before becoming eligible for Medicare in a jam — either they face exorbitant rates for insurance or expose themselves to potentially catastrophic health costs. The little-noticed ObamaCare program was supposed to encourage companies to continue offering this benefit until 2014 — when ObamaCare fully kicks in and will solve everything — by reimbursing companies for a chunk of their retiree health costs. But lift the hood a little and this program looks more like a slush fund for Friends of Democrats. Almost as soon as the program was announced, thousands of well-connected unions and government agencies rushed in to apply for the free money. As a result, the agency running the program had to stop accepting applications in May or risk running out of funds. And just look at who made the cut. According to figures obtained by IBD, 10 of the top 12 recipients are either unions or public employee groups. In fact, the biggest single recipient was the UAW Retiree Medical Benefits Trust, which alone grabbed more than 8% of all the funds handed out so far. Other union beneficiaries include the United Food and Commercial Workers, the United Mine Workers and the Teamsters. The problem is that these groups are the least likely to drop their retiree health benefits, calling the lie to the Obama administration's whole "stabilizing" excuse.In fact, over the past 10 years, the share of state and local governments offering retiree benefits increased — climbing to 83% from 80% in 2001, according to an annual Kaiser Family Foundation health benefits survey.

ObamaCare's Big Labor Bailout Provisions

The Investor's Business Daily reports on a new government report detailing a $5 billion slush fund that was included in ObamaCare, $2.7 billion of which has been handed out to the union bosses: How do you funnel billions of dollars to your union pals at a time when the government is running record deficits? Easy, you just tuck the money into ObamaCare. According to a new Government Accountability Office report, the federal government has so far handed out $2.7 billion out of a $5 billion program squirreled away in ObamaCare. The Early Retiree Reinsurance Program is advertized as a way to "stabilize the availability of employer-sponsored coverage for early retirees," according to a Health and Human Services memo. The argument goes that companies are increasingly dropping retiree health benefits, leaving those who retire before becoming eligible for Medicare in a jam — either they face exorbitant rates for insurance or expose themselves to potentially catastrophic health costs. The little-noticed ObamaCare program was supposed to encourage companies to continue offering this benefit until 2014 — when ObamaCare fully kicks in and will solve everything — by reimbursing companies for a chunk of their retiree health costs. But lift the hood a little and this program looks more like a slush fund for Friends of Democrats. Almost as soon as the program was announced, thousands of well-connected unions and government agencies rushed in to apply for the free money. As a result, the agency running the program had to stop accepting applications in May or risk running out of funds. And just look at who made the cut. According to figures obtained by IBD, 10 of the top 12 recipients are either unions or public employee groups. In fact, the biggest single recipient was the UAW Retiree Medical Benefits Trust, which alone grabbed more than 8% of all the funds handed out so far. Other union beneficiaries include the United Food and Commercial Workers, the United Mine Workers and the Teamsters. The problem is that these groups are the least likely to drop their retiree health benefits, calling the lie to the Obama administration's whole "stabilizing" excuse.In fact, over the past 10 years, the share of state and local governments offering retiree benefits increased — climbing to 83% from 80% in 2001, according to an annual Kaiser Family Foundation health benefits survey.

Beleaguered Local Cops 'Completely Outnumbered'

Beleaguered Local Cops 'Completely Outnumbered'

In southwestern Washington last month, overpowered police were unable to prevent bat- and ax handle-wielding union toughs from systematically sabotaging a $200 million grain terminal. No arrests were made at the scene. Credit: AP Photo/Don Ryan Bat- and Pipe-Wielding Union Thugs Rampage in Washington State (Source: October 2011 NRTWC Newsletter) For decades, Right to Work advocates have fought to close the judicially created loophole in federal anti-extortion law that exempts threats, vandalism and violence perpetrated to secure so-called "legitimate union objectives," including monopoly-bargaining and forced-dues privileges over employees. In explaining the importance of closing the loophole created 38 years ago in the U.S. Supreme Court's controversial 5-4 Enmons decision, National Right to Work Committee spokesmen and their allies have pointed out, time and again, that local and state law enforcement are often overwhelmed by violent union conspiracies. Just last month, the local police in Longview, Wash., a Columbia River port town, became the latest case in point. At 4:30 AM on September 8, hundreds of International Longshore and Warehouse Union (ILWU/AFL-CIO) militants stormed a new grain terminal at the Port of Longview. Big Labor thugs broke down the gates, overwhelmed six security guards, and then converged on the terminal of EGT, a joint venture of U.S., Japanese, and South Korean companies that has been targeted by ILWU chiefs. A week later, security guard Charlie Cadwell testified before U.S. District Judge Ronald Leighton that every ILWU "protester" he saw that night was carrying a baseball bat, lead pipe, garden tool, or other weapon. As the AP reported, Mr. Cadwell told the judge he was first pulled out of his car by one Big Labor zealot, then another swung a metal pipe at him. "I told him," Mr. Cadwell continued, "You have 50 cameras on you, and law enforcement is on its way. He said, '(Expletive) you. We're not here for you; we're here for the train.'" Meanwhile, yet another union militant drove off with his car and eventually ran it into a ditch. Mr. Cadwell said "about 40 to 50 people were throwing rocks at him, and that he was hit between his eyes and in his knee," according to the AP account. 'I Wasn't About' to Stop 'These People From Doing Whatever It Is They Were Going to Do' The ILWU lawbreakers in Washington State evidently feel no more compunction about using threats and violence against police than they do about assaulting and terrorizing security guards.