Battleground Michigan

Battleground Michigan

Shikha Dalmia of Reason looks at big labor's effort keep Michigan a second rate economic state through a series of referendums on the statewide ballot next month: We've seen Gov. Scott Walker's battle in Wisconsin and the Chicago Teachers Union strike next door. Now in Michigan comes another Midwestern political showdown that will carry enormous implications for the role of unions in American life. [media-credit name=" " align="alignright" width="300"][/media-credit]The Michigan Supreme Court recently approved the placement of a proposed constitutional amendment on the November ballot. If passed by voters, the so-called Protect Our Jobs amendment would give public-employee unions a potent new tool to challenge any laws—past, present or future—that limit their benefits or collective-bargaining powers. It would also bar Michigan from becoming a right-to-work state in which mandatory union dues are not a condition of employment. The budget implications are dire. Michigan public unions began pushing the initiative last year, shortly after Michigan Gov. Rick Snyder—facing a $2 billion fiscal hole—capped public spending on public-employee health benefits at 80% of total costs. This spring, national labor unions joined the amendment effort after failing to prevent Indiana from becoming a right-to-work state. Bob King of the United Auto Workers said that Michigan's initiative would "send a message" to other states tempted to follow Indiana's example. The UAW, along with allies in the AFL-CIO and the Teamsters, poured $8 million into gathering 554,000 signatures—some 200,000 more than needed—to put Protect Our Jobs on the Michigan ballot.

The Teachers Strike May Have Been In Chicago, But It's All Our Problem

The Teachers Strike May Have Been In Chicago, But It's All Our Problem

Matt Kibbe looks at why the "resolution" of the teacher's strike in Chicago is not in the best interests of the children and taxpayers of the state: The Chicago Teachers Union Strike may be resolved for now, but the events illustrate a serious problem facing the United States: union bosses are manipulating government leaders, using teachers and students as human shields in their fight to maintain power over the educational system. Their stranglehold on education has to end if our children are to have any hope of getting the education they need to compete in the world. [media-credit name=" " align="aligncenter" width="300"][/media-credit]Teacher pay got a lot of attention in coverage of the debate, but it was far from the only issue at play in the strike, which ended Wednesday under the promise of a resolution that appeased the union bullies. The primary disagreements were over who has the power to hire and fire teachers, and accountability for student performance. The union insisted that it should have the right to dictate who gets hired to fill jobs in the district. Primarily, it wanted to take hiring authority away from school principals by requiring that laid-off teachers be hired back. Union leaders also rejected the perfectly reasonable demand from the city of Chicago that standardized test scores play a role in evaluating teacher performance. A roofer is judged by how well his shingles keep out the rain. A CFO is judged by her company’s balance sheet. A journalist is judged by the accuracy and fairness of his story. Yet somehow union leaders think teachers shouldn’t be judged by the outcome of their work. Teachers’ unions exist to promote what’s best for teachers, not students. As Albert Shanker, the late president of the American Federation of Teachers, once reportedly put it, “When schoolchildren start paying union dues, that’s when I’ll start representing the interests of schoolchildren.” (Shanker’s supporters dispute that he said this, but the quotation’s staying power illustrates the accuracy with which it represents union motives.) Because they exist to protect the status quo, unions oppose the kind of meaningful education reform America needs. They oppose education tax credits, school vouchers, charter schools, merit pay, and virtually all attempts to impose real accountability. They instead support a system that sees the United States spending nearly two and a half times more per pupil today than in 1970. What have we received in return? Stagnant math and reading scores for 17-year-olds, and a decline in science scores.

The Teachers Strike May Have Been In Chicago, But It's All Our Problem

The Teachers Strike May Have Been In Chicago, But It's All Our Problem

Matt Kibbe looks at why the "resolution" of the teacher's strike in Chicago is not in the best interests of the children and taxpayers of the state: The Chicago Teachers Union Strike may be resolved for now, but the events illustrate a serious problem facing the United States: union bosses are manipulating government leaders, using teachers and students as human shields in their fight to maintain power over the educational system. Their stranglehold on education has to end if our children are to have any hope of getting the education they need to compete in the world. [media-credit name=" " align="aligncenter" width="300"][/media-credit]Teacher pay got a lot of attention in coverage of the debate, but it was far from the only issue at play in the strike, which ended Wednesday under the promise of a resolution that appeased the union bullies. The primary disagreements were over who has the power to hire and fire teachers, and accountability for student performance. The union insisted that it should have the right to dictate who gets hired to fill jobs in the district. Primarily, it wanted to take hiring authority away from school principals by requiring that laid-off teachers be hired back. Union leaders also rejected the perfectly reasonable demand from the city of Chicago that standardized test scores play a role in evaluating teacher performance. A roofer is judged by how well his shingles keep out the rain. A CFO is judged by her company’s balance sheet. A journalist is judged by the accuracy and fairness of his story. Yet somehow union leaders think teachers shouldn’t be judged by the outcome of their work. Teachers’ unions exist to promote what’s best for teachers, not students. As Albert Shanker, the late president of the American Federation of Teachers, once reportedly put it, “When schoolchildren start paying union dues, that’s when I’ll start representing the interests of schoolchildren.” (Shanker’s supporters dispute that he said this, but the quotation’s staying power illustrates the accuracy with which it represents union motives.) Because they exist to protect the status quo, unions oppose the kind of meaningful education reform America needs. They oppose education tax credits, school vouchers, charter schools, merit pay, and virtually all attempts to impose real accountability. They instead support a system that sees the United States spending nearly two and a half times more per pupil today than in 1970. What have we received in return? Stagnant math and reading scores for 17-year-olds, and a decline in science scores.

DNC on Hook (Literally) to SEIU

DNC on Hook (Literally) to SEIU

[media-credit name=" " align="alignright" width="218"][/media-credit]The Free Beacon has discovered that the Democratic National Committee (DNC) owes at least $8 million to a bank owned by one of the largest unions in the country, according to the committee’s most recent financial report. The DNC initiated an $8 million loan with the Amalgamated Bank of New York on Aug. 10, the report shows, accounting for the majority of the committee’s overall debt of $11 million. Amalgamated Bank, often described as “America’s Labor Bank,” is a national entity, the majority of which is owned by the Service Employees International Union (SEIU), a politically active union with deep ties to the Democratic Party. The SEIU is also involved with the Democracy Alliance, a shadowy group of wealthy left-wing donors founded by billionaire investor George Soros. The bank announced in an August press release that the DNC had “moved its primary banking relationship” to Amalgamated Bank, which would handle the committee’s “day-to-day banking needs.” The DNC had previously done most of its banking with Bank of America, which helped finance the Democratic convention in Charlotte. DNC chairwoman Debbie Wasserman Schultz hailed the transition to Amalgamated Bank, and noted the longstanding political and financial ties between the two organizations.

Taxpayer Bailout for Illinois?

Taxpayer Bailout for Illinois?

[media-credit name=" " align="aligncenter" width="300"][/media-credit]After giving away the store and the kitchen sink to the union bosses, Illinois Gov. Pat Quinn is looking for a federal taxpayer guarantee for the state's pension debt, the Wall Street Journal opines: Now that Chicago's children have returned to not learning in school, we can all move on to the next crisis in Illinois public finance: unfunded public pensions. Readers who live in the other 49 states will be pleased to learn that Governor Pat Quinn's 2012 budget proposal already floated the idea of a federal guarantee of its pension debt. Think Germany and eurobonds for Greece, Italy and Spain. Thank you for sharing, Governor. Sooner or later, we knew it would come to this since the Democrats who are running Illinois into the ground can't bring themselves to oppose union demands. Illinois now has some $8 billion in current debts outstanding and taxpayers are on the hook for more than $200 billion in unfunded retirement costs for government workers. By some estimates, the system could be the first in the nation to go broke, as early as 2018. Liabilities are also spiralling nationwide, with some $2.5 trillion in unfunded state pension costs. According to a paper released Thursday by the Illinois Policy Institute, the crisis will end up pitting states against each other as taxpayers in places like Tennessee, Texas, Virginia and Utah will be asked to subsidize the undisciplined likes of Illinois and California.

How the Teachers’ Union Robbed Chicago, Again

Writing at National Review, Joshua Culling looks at the details of the Chicago teachers deal: During the Democratic National Convention I wrote about a clear contrast between the policies of Illinois natives Barack Obama and Pat Quinn, and their Wisconsin counterparts, Paul Ryan and Scott Walker. We now have another anti-reformer to add to the Illinois column: Chicago mayor Rahm Emanuel. The seven-school-day Chicago Teachers Union strike was extensively covered across the country, as teachers walked out of the classroom after rejecting a deal with the city that would have paid them 16 percent more over four years, coupled with a slightly greater weighting of student performance in teacher evaluations. So far as I could tell, the union’s choice was overwhelmingly portrayed in a negative light, with even the New York Times editorial page calling the strike “unnecessary,” positing that union president Karen Lewis “seem[ed] to be basking in the power of having shut down the school system.” It was an opportunity for Emanuel to take a politically popular stand against union largesse while winning serious reforms for his city’s beleaguered budget. It is sad but true that when Democratic leaders push back against unions, they are applauded for moderation, or at least left alone by observers in the media. In 2011, Massachusetts governor Deval Patrick and an overwhelmingly Democratic legislature curbed collective bargaining to little fanfare. At the same time, Wisconsin governor Scott Walker pursued a similar path in Madison, but faced thousands of union protesters at his doorstep and the wrath of the New York Times and MSNBC.

Redistribution,  Big Labor style

Redistribution, Big Labor style

[media-credit name=" " align="alignright" width="300"][/media-credit]The Obama administration's Delphi debacle -- when union members were made whole at the expense of non-union workers -- continues to hound the White House.  The Free Beacon looks at the scandal: Fred Arndt and his brother Dave came to General Motors straight out of high school. They spent their entire careers building the engine cooling systems that increase the lifespan of Cadillacs and other vehicles. Dave worked in assembly; Fred, one year younger, qualified for GM University, which propelled him to work as a draftsman and engineer. They worked the line side-by-side. Dave built the parts Fred had designed. The brothers made their way to Delphi, an auto supplier spun off from GM that builds components—seats, instrument panels, steering and suspension systems—for cars. After more than 30 years with the company, the brothers retired in their native Michigan. They watched as Delphi’s growing labor costs dragged it into Chapter 11 bankruptcy in 2005. It would not emerge until 2009 when the government stepped in with $50 billion for GM. And then the Arndt brothers’ paths diverged. Fred, 64, lost his health, dental, and life insurance, along with 70 percent of his pension. Dave lost five percent of his health insurance and some dental coverage… …[Fred]  Arndt is one of the more than 20,000 non-union Delphi employees that have seen their pensions wiped out by the government-directed bankruptcy. While the pension fund covered the retirement packages of executives, the majority of employees are middle class white-collar workers: engineers, accountants, and secretaries.

Obama Funnels Taxpayer Funds to Big Labor Allies

Judicial Watch has uncovered massive evidence that the Obama Administration has rewarded its big labor allies with lucrative federal grants, including millions of dollars to help them strengthen unions in Iraq. The information comes straight from government records gathered in the course of a lengthy investigation into the administration’s tight relationship with the nation’s powerful labor movement. Since Obama moved to the White House federal funding for big labor has skyrocketed to the tune of tens of millions of dollars. A chunk of the money is being funneled to unions so they can increase labor organization around the globe, the records show. In most cases the American taxpayer dollars are going to leftist groups in the developing world. For instance, the American Center for International Labor Solidarity has received nearly $3 million to strengthen labor unions in Iraq. The group is the international arm of the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), the nation’s largest federation of unions representing 12 million workers. The AFL-CIO offshoot also got a chunk of change from Uncle Sam for various other causes. For example, it raked in an additional $2.5 million for “labor outreach” last year and $1.2 million from the State Department to combat human trafficking in Asia. Earlier this year the group got an additional $721,310 for more labor outreach. This brings the total amount of federal grants awarded to the Solidary Center to $71,652,403, the records show.  JW compiled a spreadsheet of all the transactions. The Solidarity Center is run by politically-connected figures in the labor movement. Former AFL-CIO President John Sweeny is chairman of the board, former AFL-CIO executive councilman William Lucy is vice chairman and current AFL-CIO President Dick Trumka is the secretary and treasurer. The center was founded in 1997, but didn’t receive federal assistance till a decade later.