December 30, 2010
By Harry Kelber
It’s been a tough year for America’s working families. Wages have been largely stagnant, or worse, while the price of goods and services has been rising steadily. Retirees and others on fixed incomes have had a difficult time to meet their financial needs.
Many unions have had to make costly concessions in negotiations with employers, because they have been weakened by loss of members and resources during the persistent economic crisis.
Here are some statistics from the U.S. Labor Department to show how badly workers and their unions fared during the past two years and further back:
Workers earned less in 2009 than in 2008. Compensation was down by 3.2 percent in 2009, with declines in construction and manufacturing fueling the plunge. St. Louis County, the hardest hit, saw a decline of 11.5 percent in wages.
For those lucky enough to have a job, average pay increased by 1.2 percent. But overall income is now at the worst since 1928.
In addition, household average income at the bottom fifth of the scale increased by a total of $200 between 1979 and 2005, while a small number of households at the top 0.1 percent of the income scale saw average income growth of almost $6 million over the same 25-year
period, according to the Economic Policy Institute (EPI).
December 25, 2010
By Harry Kelber
The New Start arms control treaty with Russia was ratified by Congress this week after winning a critical vote for passage in the U.S. Senate by a vote of 67 to 28, with 11 Republicans joining all Democrats in support
The treaty requires the United States and Russia to reduce their nuclear stockpiles so that within seven years of ratification, neither country deploys more than 1,550 warheads and 700 launchers. The treaty would also resume the on-site inspections that lapsed last December with the expiration of the original nuclear weapons treaty negotiated in 1991.
To obtain the necessary votes from wavering Republican Senators, President Obama pledged a commitment to a 10-year, $85 billion program to modernize the nation’s nuclear weapons complex to ensure that a shrinking arsenal would still be effective for national security.
It is not at all clear how “shrinking” our current arsenal of 1,950 strategic missile warheads and 798 launchers to 1,500 nuclear warheads and 700 launchers, would make Americans feel more secure.
December 21, 2010
By Harry Kelber
I received the following “Dear Harry” e-mail from AFL-CIO President Richard Trumka on December 17, in which he raises such questions as “How do we use our power to escape caving in to Wall Street and the moneyed interests”
I am responding by providing Brother Trumka with some practical
suggestions. -Harry Kelber
Brother Trumka’s E-Mail
Dear Harry,
BREAKING NEWS: Congress has passed a deal that extends emergency unemployment for more than a year. And the role you played in shining a light on the struggles of jobless Americans helped make it happen.
December 17, 2010
By Harry Kelber
I keep getting ‘Dear Harry’ postings on my computer from AFL-CIO staffers I never heard of, trying to coax me into sending e-mails- for a campaign that the Federation is particularly interested in at the moment.
The latest is from Working America, which asks me to choose the issues that I am most concerned with. It says: “Help us fight for the issues that affect you most.” ( It’s nice to have such unsolicited support.)
Well, the two issues that are most important to me are jobs and the wars in Iraq and Afghanistan. I find it noteworthy that of the seven issues that Working America considers important, not a single one deals
with the two wars. So how can I depend on them to fight on an issue that I feel passionately about but that they consider unimportant?
And what about job creation, the second of my top priorities? What has Working America achieved for the millions of workers who haven’t seen a pay check in 27 weeks or more? Tell us in plain English, what does Working America expect to accomplish?
December 3, 2010
By Harry Kelber
The Democrats and the Obama administration are poised to negotiate a deal with the Republicans to extend the Bush-era tax cuts to the wealthiest 2 percent of the population at a cost of $700 billion to U. S. taxpayers, provided it gets some significant concessions in return.
What the Democrats would like to get is an extension of unemployment insurance (UI) benefits for millions of long-term jobless, and a variety of special tax breaks for low-wage and middle-class workers. Unfortunately, because of their loss of the House and six seats in the Senate in the midterm elections, the Democrats do not have much leverage to use in the tax negotiations.
The Republicans say that unless the tax cuts for the rich are extended, they
will block the tax cuts and benefits for the middle class. In stark terms,
either everyone gets a tax cut or no one does. This puts the Democrats in
a quandary: whatever they decide, they will lose face with at least a
portion of their supporters.
Even as lawmakers were debating the tax bill on the House floor,
negotiators, including Treasury Secretary Timothy Geithner,
were meeting in talks that all sides expected to end in a
temporary extension of the tax rates for all income levels,
perhaps for two or three years.
December 3, 2010
By Harry Kelber
President Obama, who singled out two million government employees for a two-year freeze on their pay, said this was their shared contribution to reducing the federal deficit. No such harsh demands have been made by the Obama administration on bankers, financiers, corporate executives and other wealthy Wall Streeters.
AFL –CIO President Richard Trumka quickly rejected the wage-freeze idea and the assumptions on which it was based. “The President talked about the need for shared sacrifice, but there is nothing shared about Wall Street and CEOs making record profits and bonuses while working people bear the brunt,” Trumka said.
John Gage, president of the 600,000-member American Federation of
Government Employees (AFGE) denounced the wage-freeze in blunt
terms. “The proposal is a superficial panic reaction to the draconian
cuts his deficits commission will recommend. A federal pay freeze
saves peanuts at best, and while he may mean it as just a public
relations gesture, this is no time for political scapegoating.”
Gage says the two-year freeze barely makes a dent in the federal budget but will be devastating to the “VA nursing assistant making $28,000 a year or a border patrol agent earning $34,000 per year.”
December 1, 2010
By Harry Kelber
Congress has refused to extend unemployment insurance (UI) benefits to 800,000 people who had been without a job for 27 weeks or more, enforcing a November 30 deadline to terminate benefit payments.
The UI extension bill was blocked in the House by a 258 to 154 vote, even though the Democrats still controlled both Houses of Congress. House Republicans, who voted against the extension, said that spending on unemployment benefits needed to be offset by spending cuts or savings.
While the UI bill was being hotly debated during November, there was hardly any mention of it on the AFL-CIO’s web site. The only formal action taken by the AFL-CIO in behalf of the long-term unemployed was to support a petition campaign sponsored by the National Law Project, which reportedly gathered 100,000 signatures with the support of Working America and friendly organizations and individuals.
The petition was delivered to Sens. Jack Reid (D-R.I.) and Bob Casey (D-Pa), only two days before Congress decided not to act on the UI legislation. Even if all the 100,000 signers had been union members, they would represent less than 1 percent of the 12.2 million AFL-CIO membership.
November 27, 2010
By Harry Kelber
In a shameless display of arrogance, Mayor Michael R. Bloomberg,
without consulting anyone, selected Cathleen P. Black, a Hearst
magazine publisher, to be Chancellor of the New York City
school system, although she has none of the educational credentials
and experience that the job requires.
Because she lacks the necessary qualifications, Ms. Black must receive a waiver from the New York State Education Commissioner before she can take office.
Mayor Bloomberg has assigned several of his aides to press big-time corporate executives to issue statements endorsing her for chancellor and urging the state’s education commissioner to grant her the waiver.
While most of the discussion has focused on whether a publishing
executive can quickly transform herself into the role of chancellor,
the real issues have been shoved into the background—
issues about which Ms. Black has remained totally silent.
November 19, 2010
By Harry Kelber
The rejuvenated Republicans are determined to extend President Bush’s
tax cuts, which added millions of dollars to the wealthiest 2 percent
of the population, a goal that they have no chance of achieving on
their own in the Democratic-controlled lame-duck Congress.
The G.O.P., however, has devised a strategy that puts Congressional
Democrats on the defensive. They say that if the Democrats want their
support for a middle-class tax cut, they will have to approve an
extension of the Bush cuts for the rich. In short, it is tax cuts for
everybody or tax cuts for nobody.
President Obama’s tax cut for the middle – class is highly popular among
working families. It would give $500 to $1,000 to people earning less
than $250,000 a year. They would pay 20 percent less taxes than they
did during the Bush years.
The Republican strategy creates a dilemma for Democrats and their
labor allies. They desperately want a middle-class tax cut to enhance
their image with the American public. But are they willing to pay the
price of supporting an extension of the Bush tax cuts?
November 15, 2010
By Harry Kelber
A month ago we submitted a series of ten questions to AFL-CIO President
Richard Trumka with the hope that he would express his views on the rights
of union members. We thought a frank discussion of these issues might
result in a closer and more harmonious relationship between the Federation’s
leaders and members, especially important at a time when unions are
suffering severe losses in members and bargaining strength.
Unfortunately, Brother Trumka has refused to answer any of our questions,
not even to acknowledge the receipt of our request. However, sometimes
silence speaks louder than words. We have a substantial amount of
information, past and present, about Trumka’s record on the rights of
union members. And we thought we ought to make it available to union
members. If Trumka disagrees with our analysis, we suggest he come
forward and explain his position,
So here is the record, and you be the judge:
November 12, 2010
By Harry Kelber
The AFL-CIO registered a strong protest to the draft report of President Obama’s 18- member fiscal commission, which advocates huge spending cuts, reduced benefits for workers, tax reforms that aid the wealthy and dramatic changes in Social Security and Medicare. The commission’s report will be sent to the Congress by December 1, but only if 14 of the 18 members agree with the final draft.
AFL-CIO President Richard Trumka said the report “tells working Americas to drop dead.” ”Especially in these tough economic times, it is unconscionable to be proposing cuts to the critical economic lifeline for working people,” Trumka said.
The preliminary report, prepared by the commission’s co-chairs, Erskine Bowles, President Clinton’s Chief of Staff, and Al Simpson, a retired Republican congressman from Wyoming, calls for deep spending cuts in vital social programs, reduced Social Security benefits, lower tax rates for corporations and the wealthy, along with tax cuts for middle-and low-income earners.
John Irons, deputy director of the Economic Policy Institute (EPI), says that nearly half of the adjustments come from cuts to discretionary spending—a portion of the budget that is not responsible for long-term deficits. “The suggested reductions include a wide range of cuts that would cost jobs and increase financial burdens on working families,” Irons says.
November 9, 2010
By Harry Kelber
The Democrats will still have six weeks to be in control of both houses of Congress before the Republicans take over the house. What do they intend to do when Congress reconvenes on November 15 and what does the White House have in mind?
After their severe drubbing by Republicans in the midterm elections, the Democrats are troubled about how to repair the damage done to their image with independents, workers and other constituencies that have traditionally made up their political base.
An important clue about their future will depend on how Democrats react to Nancy Pelosi’s announcement that she intends to run for Democratic Minority leader. A considerable number of Democrats oppose her bid, saying the party needs to show a new face and a revamped structure to the voters in view of its disastrous defeat at the polls. Whatever the outcome, Pelosi is expected to remain in the Speaker’s role until Jan. 1, 2011
The issue that will dominate the debate in the final weeks of the 111th Congress is tax policy. Both political parties will clash over whether President Bush’s tax cuts, that principally benefited the wealthiest 2 percent of the population, at a cost to the taxpayers of some $700 billion. It will expire on Jan. I, unless Congress renews them.
November 3, 2010
By Harry Kelber
The nation’s voters, angry and frustrated at the failure of President Obama and the Democrats in Congress to solve their persistent economic problems, gave the Republicans control of the House of Representatives. In the wave of popular discontent, as many as 60 long-term, well-known Democrats were swept out of office, defeated by candidates with relatively little political experience
In the U.S. Senate, the Republicans gained at least six seats, but not enough to capture control of the upper house. Harry Reid, the Democratic Majority Leader, won a tightly-fought race in Nevada, but Democrats may have difficulty in holding enough Senators to block the threat of Republican filibusters.
The biggest loser in this midterm election was the U.S. labor movement. Despite spending an estimated $200 million and organizing its best political campaign ever, the AFL-CIO was not as effective as in the 2008 national elections, because many of its members were part of the angry protest movement.
It was now clear that the Employee Free Choice Act (EFCA), for which the AFL-CIO had campaigned for more than three years as its top priority, was virtually dead. The Federation had repeatedly said that it could not organize millions of workers into unions unless Congress passed EFCA, with its “card check “ feature. Without EFCA, what was the AFL-CIO going to do about organizing new members? Or was it reconciled to a diminishing membership and less political influence?
October 28, 2010
Could Provide Thousands of Construction Jobs
By Harry Kelber
Over the last 15 years, 150,000 public housing units have been lost, because of a lack of repairs on buildings that were erected a half century ago. Those dilapidated buildings were sold or torn down, because housing agencies did not have the funds for the extensive repairs they required. An additional 5,700 units are to be removed from federal housing programs.
The housing authorities have fallen so far behind in their repair schedule, that a gaping ceiling hole with dripping water won’t be fixed for a year or more. New York City alone has a three-year backlog of repair requests.
To make matters even worse, the housing agency, facing budget problems, fired 1,540 construction workers (carpenters, plasterers, painters and plumbers), who were desperately needed for housing repair work.
Michael Kelly, the New York City housing authority general manager, said his agency needed 7.5 billion to put its buildings in good condition, but it had only 1.5 billion to do so. Nationally, housing agencies need between $22 billion to $32 billion to rehabilitate the 1.75 million public housing units, with an average expenditure of $25,000 for each unit—a figure based on a 1998 study, which is being updated.
Many frustrated tenants have resorted to lawsuits in housing courts to speed up the repair work in their apartments. They worry that unpatched holes invite cockroaches and mice, and dripping water from another apartment can lead to a ceiling collapse.
October 28, 2010
OPEN FOR DEBATE
By Harry Kelber
QUESTION: Should Liz Shuler be allowed to hold two top, full-time labor positions: AFL-CIO Secretary-Treasurer and chief organizer of a young workers’ movement?
Rick Sloan, director of Communications of the Intl. Assn. of Machinists
Liz Shuler can handle—and has handled-- her responsibilities with due diligence and total competence. Long ago, LBJ claimed that Gerry Ford could not chew gum and walk a straight line. It was a classic put down, but it, too, was way off target, as clichés often are.
Times change. Working women now must juggle two, three and even four jobs. And the one woman, one job is a thing of the past. I am looking across the breakfast table at my wife. She’s the COO of an advocacy group, chair of the board of trustees at the Obama kids school and leader of our crew. She thrives on juggling her full-time jobs. I am sure Liz does as well. And who better to organize—and attract—younger workers than Liz, the youngest, highest-ranking woman in the labor movement? If there is to be a next generation for the labor movement, it’s not going to be organized by old farts like me. Hell, I can barely use this Blackberry.
Liz is meeting the high standard set by [Supreme Court Justice] Cardozo. She is also meeting her other AFL-CIO constitutional duties by organizing workers. Hers is a multifaceted role as Liz would readily admit. And I would bet that she wishes there were more hours in the day. But I would also bet that any additional hours granted would be dedicated to the labor movement that you and she so love.
-e-mail your comments to “Open for Debate” (200 words maximum) to: hkelber@earthlink.net.
October 26, 2010
By Harry Kelber
The AFL-CIO Secretary-Treasurer is the Federation’s chief financial officer,
who is responsible for its assets, its investments, its property, its per
capita receipts and other duties that are spelled out in the AFL-CIO
Constitution. Since the inception of the labor movement, it has always been
a full-time position, and understandably so.
Elizabeth Shuler, a former executive assistant to IBEW International
President Edwin Hill, was elected secretary-treasurer at the AFL-CIO’s
convention in September 2009. In the past year, she has not told us
anything about what she is doing in her job as the AFL-CIO’s No. 2
executive.
Instead, it has become abundantly clear that she was spending most of her
time on her plans to organize young workers. This is not conjecture or
speculation. It is based on reports of her activities on the AFL-CIO’s
official web site and elsewhere. Here is a summary of actions in which she
was—and still remains-- the most prominent labor leader:
October 22, 2010
By Harry Kelber
You can join Working America without ever paying a penny (a $5 donation would be appreciated) and here is what you are promised:
“Working America uses professional research, communication. education, canvassing, lobbying, and community organizing to demand that politicians address the priorities that matter most to working people—not just wealthy special interests. Make a difference for your community, for your America and working family.”
You can get all that professional service free! That almost seems too good to be true!
As a member of Working America, what is expected of you? The short answer is: nothing. There are no meetings, conferences or workshops, where you and other members can get together to discuss the organization and its problems. All decisions are made in-house, without input from members.
If you would like to run for a position on the organization’s board of directors, forget it. There are no elections. Working America is run by a group of 10 AFL-CIO International Union presidents and their aides under the direction of executive director Karen Nussbaum, a co-founder of the organization.
October 18, 2010
By Harry Kelber
Liz Shuler, who was elected AFL-CIO Secretary-Treasurer at the 2009 convention, has spent almost a year in trying to build an organization of young workers, while neglecting her responsibilities as the No. 2 leader of the Federation.
Shuler 40, has persuaded the AFL-CIO Executive Council to adopt a 10-point program that , in effect, would establish a national group of young workers who would act independently to promote their own agenda.
The first item in the 10-point program states: “Hold an annual “Next Up” young workers meeting for education, skills building and networking.” Shuler was the principal organizer of the June 10-13 “Summit” of young workers (about 300 to 400 participants) that recommended the creation of a “National Young Worker Advisory Council to advise the federation’s Executive Council on the short-term and long-term goals of the young workers’ outreach program.” She plans another such meeting in January.
October 15, 2010
By Harry Kelber
A large Canadian energy company has signed a Project Labor Agreement (PLA) with four U.S. construction unions to build a big transnational oil pipeline that would transport oil from Alberta, Canada to refineries in Texas, according to labor reporter Mark Gruenberg. The agreement between TransCanada and the four construction crafts (Operating Engineers, Teamsters, Laborers and Plumbers) was reached on Sept. 14. The signing ceremony took place at the headquarters of the AFL-CIO’s Building Trades Department.
The $12 billion project, which will employ more than 15,000 construction workers from 2011-1013; awaits the approval of President Obama and a number of U.S. agencies before work on the pipeline can begin. The pipeline is expected to create at least 250,000 permanent jobs in the 100 to 1,000 pump stations that will be established along the route.
October 12, 2010
By Harry Kelber
Working America and the AFL-CIO have issued a special report on the outsourcing of U.S. jobs to foreign countries. To illustrate the enormous scope of the problem, it notes that outsourcing was a $500 billion industry in 2009, according to Plankett’s Outsourcing and Offshoring Industry Almanac for 2010.
More than 350 multinational corporations were operating in 61 distinct industry groups. Numerous studies have found that up to half of U.S. corporations have already sent or are planning to send jobs overseas. In another survey, 60 percent of companies that had engaged in outsourcing in 2008, said they intended to expand these activities in the next three years.
Working America and the AFL-CIO, which claim that 10 million U.S. jobs have been lost over the years, has proposed that Congress should enact two bills that would “check some of the worst offenses.” Their report counts on changes in China’s currency practices, which are unfair to U.S. business interests, and they want an end to tax deferral of corporate overseas earnings.
What do you think? Click here to read more, and post your comments
October 8, 2010
By Harry Kelber
As AFL-CIO President, Richard Trumka believes he can do what he wants with our dues money, and he doesn’t have to explain his actions to union members who pay his six-figure salary.
Here are ten questions that members have asked him in the one year he has been president, and he has felt no obligation to respond to any of them:
What do you think? Click here to read more, and post your comments
October 5, 2010
By Harry Kelber
The October 2 rally in Washington by “One Nation Working Together” was an important historic event, because never before had people from so many ethnic, religious and economic backgrounds come together to share a common purpose: to build a more united America “with good jobs, equal justice and quality education for all.”
The speeches by the long list of speakers were about jobs (decent jobs now!) and health reform and issues about which the audience had heard many times before. The rally (there was no march), that brought 175,000 people to Washington, was quite dull, compared to the “1967 March on Washington for Jobs and Freedom.” Although several anti-war groups were listed as supporters of the rally, speakers avoided talking about the wars in Iraq and Afghanistan. This was a pep rally, a tune up to energize “the base” for a massive voter turnout, with only five weeks before the elections.
But there was something missing The U.S. Senators, whose votes they needed had left town to attend to their own business of getting re-elected. We could have raised hell to stop them from leaving Washington where important jobs bills hadn’t been voted on. We didn’t even make an effort to detain them. We could have pressed them to stay in session during those long Memorial Day and July 4th weekends, but we didn’t.
The reason we are getting such limited return on our jobs campaign is because we’re still relying on e-mails and phone calls (and now a rally) to convince senators that millions of working people are in desperate need of jobs to survive, and they better do something about it. By now, we should have learned that a torrent of e-mails carries less weight with many senators than a fat campaign contribution from a corporate lobbyist.
What do you think? Click here to read more, and post your comments
October 1, 2010
By Harry Kelber
Let’s begin by comparing what seems like apples and oranges.
There are 14.9 million workers who are officially listed as unemployed. by the U.S. Bureau of Labor Statistics. The number of jobless is at least three million more than the total membership of the AFL-CIO.
Change-to Win’s claim of 4.5 million union members is overshadowed by the 6.8 million workers who have been out of a job for six months or more. Tens of thousands have not seen a paycheck for as long as a year.
Nor is that all. There are 8.9 million workers who are on involuntary part-time, because they have been unable to find a full-time job and another 2.9 million who have dropped out of the labor force, after many failed attempts at finding work.
Organized labor and the unemployed have a common interest: the creation of millions of jobs. But are they working together? Not that you can notice. Neither the AFL-CIO nor Change to Win has a set policy on how to treat the hundreds of thousands of union members who lost their jobs during the orgy of layoffs by the nation’s corporations.
What do you think? Click here to read more, and post your comments
September 28, 2010
By Harry Kelber
If you are an AFL-CIO volunteer in the voter-turnout campaign, your toughest job is to convince workers who have been unemployed for six months or more (there are 6.8 million of them) to vote for Democratic, labor-endorsed candidates.
What do you say to these depressed workers? Well, you can assure them that if the Democrats maintain control of both Houses of Congress, jobs will continue to be the AFL-CIO”s top priority. So what?
That’s not a satisfying answer. Jobs have been labor’s top priority for more than a year, and there are still no jobs for 14.9 million workers, not counting the 8.9 million who are on involuntary part-time or the 2.4 million, who have been too discouraged to look for work.
What do you say to these workers when they ask why 51 million people can’t afford health-care insurance in the richest country in the world? Why 15 million people live below the poverty line? Or why they can’t get some paid medical leave, like workers in dozens of other countries?
What do you think? Click here to read more, and post your comments
September 24, 2010
By Harry Kelber
As Congress debates whether to extend the Bush tax cuts to the wealthy, President Obama’s proposed tax cuts to the middle class are caught in a Republican trap that may endanger its passage.
Obama’s tax cuts for the middle class is highly popular among working families, It would give $500 to $1,000 to people earning less than $250,000. They would pay 20 percent less taxes than they did during the Bush years.
One of the effects of a middle-class tax benefit is that it serves as a stimulus to the economy. The extra money people will receive will expand consumer spending and have a ripple effect on creating jobs. By contrast, the money that the wealthy would receive often go into their bank accounts and stock portfolios, and have relatively less influence on the economy.
But the Republicans are determined to extend the Bush tax cuts, which added millions of dollars to the wealthiest 2 percent of the population, a goal which they have no chance of achieving on their own in the current Congress.
What do you think? Click here to read more, and post your comments
September 21, 2010
By Harry Kelber
The AFL-CIO conducted a live webcast on Sept. 16 to showcase its three top executive officers, who were celebrating their first anniversary in office. President Richard Trumka, Secretary-Treasurer Liz Shuler and Executive Vice President Arlene Holt sat side-by -side behind a table, prepared to answer the troublesome questions that were on the minds of their invisible labor audience.
Of the 1,100 questions submitted by union members, 10 were chosen by the AFL-staff for the trio of labor leaders to answer: The questions included topics like the midterm elections, outsourcing of jobs, the Employee Free Choice Act, relations with the Democratic Party, the need for labor education, the idea of a Labor Party, organizing young people and the end of the Mott Snapple strike.
The three officers were well prepared to respond to all 10 questions, since they had written and talked about them for months. Because no follow-up questions were allowed, they could say whatever they pleased without being challenged on their facts or their opinions.
What do you think? Click here to read more, and post your comments
September 17, 2010
By Harry Kelber
Fueled by intense public anger and faced with crushing budget deficits, state administrations are demanding that public employees take cuts in their “over- generous” wages, pensions and other benefits.
Public employee unions have become the whipping boys for a generation of governors, both Republican and some Democrats, who are ready to take on political targets that were once a protected liberal class of teachers, police, firefighters and other public employees.
The immediate cause of the new spotlight on public sector unions is the collapse of state and city tax revenues that came with the 2008 Wall Street crash, something that union leaders note is not their fault. “It’s outrageous to blame a librarian or blame a fireman for the financial mess we find our country in,” said Gerald McEntee, president of the American Federation of State, County and Municipal Employees (AFSCME), the largest national public workers union, with 1.4 million members.
“We have a new privileged class n America,” says Indiana Gov. Mitch Daniels, who rescinded state workers’ collective bargaining power on his first day in office in 2006. “We used to think of government workers as underpaid government servants. Now they are better paid than the people who pay their salaries.”
What do you think? Click here to read more, and post your comments
September 14, 2010
By Harry Kelber
In a Labor Day speech in Milwaukee, AFL-CIO President Richard Trumka lambasted U.S. corporations for outsourcing hundreds of thousands of good-paying jobs of American workers to China, India and other low-wage countries in order to increase their profits. He called such companies “corporate traitors” and said the AFL-CIO would make “economic patriotism” an important issue in the midterm elections.
“Over the last three decades, corporations have made strategic decisions to choose short-term profits over people. They have hollowed out America,” Trumka said. He added: “We’re looking for leaders who will call out corporations that ship our good jobs overseas, leaders who will reject unfair trade deals, leaders who will fight for a middle class economy and put us on a path to make things in America again.”
Unfortunately, the AFL-CIO has not developed leaders who can stop the continuing exodus of as many as 2,000,000 manufacturing jobs to foreign countries. Over the years, unions have complained about the offshore job losses, but all U.S. Presidents, from Bill Clinton to Barack Obama, believe in free trade and have largely ignored labor on this issue. The AFL-CIO and its affiliated unions have taken no overt action against companies that keep moving overseas.
In recent years, there has been an increase in the outflow of financial and professional services from U.S. companies, especially to India, where about 700,000 work in the outsourcing industry sector, handling financial projects, research analysis and data processing requests. About two million people in India receive graduate degrees every year.
The growth of outsourcing jobs is mind-boggling. Nearly 75% of U.S. and European multinational companies now use outsourcing or shared services to support their financial functions. 72% of European multinational companies have outsourced financial functions over the past two years. Additionally, 71% of European companies and 78% US. companies plan to use these services in the next 12–24 months.
What do you think? Click here to read more, and post your comments
September 10, 2010
By Harry Kelber
In a Labor Day speech in Milwaukee, President Obama proposed that Congress approve a six-year plan to upgrade the nation’s roads, railway lines and airport runaways at a cost of tens of billions of dollars. The President’s plan called for the creation of a government-run bank to finance innovative transportation projects.
In addition, Obama asked for a quick infusion of $50 billion in government spending that the White House believes could spur job growth as early as next year. Specifically, the plan calls for rebuilding 150,000 miles of roads, lay and maintain 4,000 miles of rail tracks, restore 150 miles of airport runaways and develop a new air traffic controllers system.
Although the nation badly needs to overhaul its crumbling and outmoded infrastructure, it is most unlikely that Congress will give serious consideration to the plan. For one thing, the midterm elections are less than 10 weeks away and there are dozens of lawmakers who are focused on their re-election campaigns.
Republicans will be attacking the Obama plan on two counts: (1) it is designed to increase government control over the lives of the American people, and (2) it would increase the already bloated budget deficit by many tens of billions of dollars.
What do you think? Click here to read more, and post your comments
September 2, 2010
By Harry Kelber
AFL-CIO President Richard Trumka and members of the Federation’s Executive Council have steadfastly refrained from publicly discussing Iraq and Afghanistan. They have given no indication where they stand on one of the most important issues affecting America’s working families. Do they believe that dealing with such problems as war and peace are not part of their job description or outside of labor’s jurisdiction?
Moreover, the AFL-CIO’s web site --Trumka’s “house organ” -- has meticulously maintained a blackout on news and commentary about our two long wars. You would never know, from AFL-CIO statements and publications, that the United States is involved in wars in Iraq, and has thus far spent over a trillion dollars and sacrificed 4,400 American lives to pay for it.
But why are our top labor leaders silent? Why, in the AFL-CIO’s Labor Message, is there not a single mention of the wars or a salute to the brave men and women who are fighting and dying for our country? Not even a patriotic gesture.
What do you think? Click here to read more, and post your comments
August 31, 2010
By Harry Kelber
The AFL-CIO Executive Council issued a statement on Aug. 4-5, that supported the October 2 March on Washington for Jobs, initiated by the One Nation Working Together, but immediately offered a reason why it would not officially participate.
The Council statement said: “On the same day, Oct. 2, the union movement will walk door-to-door in targeted states around the country mobilizing union members exactly one month before the election.” There was no explanation why the Oct. 2 date was so important to the AFL-CIO that it could not be changed to a day or two before or after.
In fact, the AFL-CIO had begun its election campaign on July 12. Here is how it was reported on the AFL-CIO Web site on that date in July:
“In California and 21 other states, today, union members at worksites across the nation are kicking off a nationwide grassroots campaign with a call for creating American jobs now, and backing the candidates that support them.”
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August 27, 2010
By Harry Kelber
If you are looking for a model where workers in a company are also the owners of what they produce, the finest example is the Mondragon Corporation, a federation of worker cooperatives based in the Basque region of northern Spain.
Founded in 1956 in the Basque town of Mondragon, the cooperative, now the largest in the world, has developed a new way to organize a company’s production that is based on workers’ rights and needs. It now has 40 enterprises employing 100,000 worker/owners, manufacturing a large variety of products, from washing machines to microchips, from world-class bicycles to bullet trains, to building the titanium-covered Guggenheim Museum in Bilboa, the Basque Country’s largest city.
The Mondragon cooperatives have developed a humanist concept of business, and a belief in worker participation and solidarity. There is no discrimination of any kind toward workers who are or become members. In the General Assembly, all workers take part in policy decision, with each person having one vote.
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August 20, 2010
By Harry Kelber
When seven international unions left the AFL-CIO in September 2005 to build a rival labor federation (Change to Win) through massive organizing campaigns, it received widespread publicity, with some commentators seeing a similarity with the successful CIO breakaway in the 1930s.
The chief architect of the new labor federation was Andy Stern, president of the Service Employees International Union (SEIU), the fastest growing union in the U.S., with 2.2 million members. After criticizing the AFL-CIO leadership for its dismal record in organizing workers, Stern came forward with a novel plan to build the labor movement.
Stern proposed to create 15 mega-unions, with one in each industry. This would be done by merging small unions into the mega-unions, which, he maintained, was the only way to organize corporations with thousands of workers.
But CtW ran into deep trouble when it could not get a single one of the AFL-CIO’s 50-odd international unions to join it. This left CtW’s seven unions with a quandary: How could it establish 15 mega-unions for Stern’s organizing plan? Furthermore, how could CtW call itself a “labor federation” when it did not have unions representing communication workers, machinists, teachers, public employees and others—and had neither the ability nor the resources to organize them?
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August 13, 2010
By Harry Kelber
Although it is in serious financial difficulty because of sharply reduced income, the AFL-CIO announced it will be spending $53 million and sending an army of tens of thousands of volunteers to persuade residents in 21 battleground states to vote on Election Day for candidates endorsed by labor. This does not include the financial investment of tens of millions more that international and local unions will be making because they want the Democrats to continue controlling both Houses of Congress.
AFL-CIO President Richard Trumka described what’s at stake in the midterm November elections in stark terms:
“Will America go back to the Bush years—with rising unemployment, shrinking wages, disappearing health care and dwindling retirement savings? Or will we move forward to a future that will generate middleclass wages and worldwide products and services?”
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August 3, 2010
By Harry Kelber
As a pep talk, President Trumka’s speech to more than 200 state, central labor council and local union leaders deserved high marks. He lambasted the Bush presidency, extolled the virtues of the Obama administration, and, if he exaggerated on both counts, it could be forgiven, with only three months before the November election. He emphasized the importance of turning out a huge union household vote to ensure victory for the nation’s working families. He added:
“We have to bring our “A” game to the election; which is why I am so glad
to be talking to Labor’s ‘A’ Team.”
Meanwhile, although the economy is said to be well on the road to recovery, a growing number of companies, even those that are reporting record profits, are pressuring their employees to take wage cuts and reduce benefits, presumably to avoid layoffs or outsourcing. The wage cuts are occurring in virtually every industry, and include orchestra musicians corporate law partners and university professors.
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August 3, 2010
By Harry Kelber
AFL-CIO President Richard Trumka and the 51-member Executive Council have been defending a clause in the Federation’s Constitution that virtually guarantees they will get re-elected, again and again, with not even token opposition, and without bothering to campaign.
That constitutional provision has thus far made it impossible for any potential candidate for national office to challenge incumbents, In fact, since 1886, when the American Federation of Labor was founded, no officer or member of a State AFL-CIO or Central Labor Council has ever been elected to the Executive Council.
The constitutional clause that gives international union presidents a monopoly of power within the AFL-CIO is contained in Article 4, which gives international unions as many convention votes as their total members, while State AFL-CIOs and Central Labor Councils are limited to one vote each.
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July 30, 2010
By Harry Kelber
Despite heavy losses in sales, many companies are reaping huge profits by cashing in on an old formula to slash their labor costs: shrink their work force, hold back on hiring new people and making their employees work harder and longer for less.
Unions have not fought back against the wholesale layoffs and the production speedup, regarding it as futile to challenge employers during a weak economy. Many have yielded to the employer argument that concessions are needed to make their companies more competitive in the global market. Some companies have threatened to move to China or India if unions resist reducing wages and benefits.
The difference in this recession is that companies wrung more savings out of their work force, said Neal Soss, chief economist for Credit Suisse in New York. In fact, while wages have remained largely stagnant, profits have staged a robust recovery, jumping 40 percent between late 2008 and the first quarter of 2010.
“Whole industries are operating at new levels of profitability,” said David J. Kostin, chief U.S. equity strategist at Goldman Sachs. “In the downturn, companies managed to maintain higher profit margins than ever before.”
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July 27, 2010
By Harry Kelber
An Ethical Practices Code, a standard feature for decades in AFL-CIO Constitutions, has been restored in the 2009 version of the Constitution, after having been secretly eliminated in the 2005 text.
Section 17 of the current Constitution now states:
“The Executive Council shall be authorized by a two-thirds vote to (1) adopt an ethical practices code that covers the executive officers and employees of the AFL-CIO and the state, area and local bodies, and to establish an appropriate enforcement system and appropriate sanctions for violations of such code, and
“(2) require trade and industrial departments and national and international unions affiliated with the AFL-CIO to adopt and enforce within their own organizations ethical practice codes that are consistent with the AFL-CIO code and to establish appropriate sanctions for non-compliance with this requirement.
“In the event the sanctions provided for by the Executive Council include suspension from the AFL-CIO or AFL-CIO office, that sanction may be imposed only by a two-thirds vote of the Council after an appropriate hearing.”
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July 23, 2010
By Harry Kelber
When the AFL-CIO Executive Council meets in Washington on August 4-5, it will have an opportunity to rectify a disgraceful situation that deprives union members of honest elections, including the right to run as a candidate for a national, policy-making position.
It is an incredible fact worth endless repeating that, for the past 124 years, since the founding of the American Federation of Labor, no officer or member of any affiliated state federation or central labor council has ever been elected to the AFL-CIO’s highest body, its Executive Council. In all those 124 years, less than a handful of opposition candidates have dared to run for Executive Council seats, only to face a crushing defeat from entrenched incumbents.
The complete dominance of international union presidents on the Council is based on Article IV of the AFL-CIO Constitution, that gives international unions as many convention votes as the number of its total membership, while affiliated state and local bodies are limited to one vote each.
If you add all the votes of the state feds and CLCs together, the most they can total is 700 convention votes, while a big union like the American Federation of Teachers (AFT) is entitled to one million convention votes. The one-vote delegates are little more than wall flowers at conventions. In effect, millions of AFL-CIO dues payers are deprived of proper representation at conventions.
Executive Council members have a triple obligation to revise the undemocratic convention rules: (1) the rules are morally indefensible in a democratic organization; (2) Executive Council members benefit by the unfair rules, that guarantee their re-election, and (3) they are depriving the AFL-CIO from developing new leadership.
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July 20, 2010
By Harry Kelber
Apparently seeking favorable congressional news to report, the AFL-CIO Now web site featured a July 15 story headlined:
Main Street Wins: Senate OKs
Wall Street Reform, Obama to Sign
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July 16, 2010
By Harry Kelber
Ever since 1886, when the American Federation of Labor was founded, no officer or member of an affiliated State Federation or Central Labor Council has been elected to the policy-making Executive Council. And fewer than a handful have even dared to be a candidate for a national position to face a sham election, where they were certain to suffer a crushing, humiliating defeat.
The members of the AFL-CIO Executive Council are an exclusive group of international union presidents, who are middle-aged or elderly, and can hold their position until they are ready to retire or die, in which case, they are replaced by other international presidents, without a formal election.
The Executive Council functions like a private “Club” that doesn’t depend on the rank-and-file for anything but their steady union dues payments, because under the AFL-CIO Constitution, they command the majority of convention votes to ensure their re-election far into the future.
Union members know almost nothing about Executive Council officers, whose decisions can affect the livelihood and economic future of working families. Even when they win a bogus election by default, we do not know who they are, what they look like, where they come from, what they do or think or what their achievements are.
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July 13, 2010
By Harry Kelber
I seldom receive a direct message from any member of the AFL-CIO Executive Council, either friendly or critical, so I was pleased to get one from Baldemar Velasquez, the president of the Farm Labor Organizing Committee (FLOC), who was elected to the Council at the AFL-CIO’ s 2009 convention.
Here is his unsolicited e-mail message to my web site, printed in full:
“Hey Harry,
“I'm on the AFL-CIO executive council and I don't fit your
description. I don't even come close to the 6-figure
salary and I'm not asking to be in that category
(check the DOL LM-2 documents on the web.) We put
all our money into organizing. I don't have a pension
either and I'm not asking for one because the hard
working people I represent don't have one. When we
get a pension for the farm workers, I'll take what we
get for them Although I take your criticisms to heart,
be careful that your paintbrush not be too broad.
Hasta La Victoria!
Baldemar Velasquez
President, Farm Labor Organizing Committee AFL-CIO
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July 9, 2010
By Harry Kelber
While there is general agreement that creating jobs for the 14.6 million people who are officially unemployed should be a top priority for our government, millions of them may be permanently excluded from the nation’s work force.
The AFL-CIO, which has been leading a campaign for “Decent Jobs NOW!” almost exclusively for at least a year, has shown hardly any progress for its efforts. Its campaign consists of repeated speeches by President Richard Trumka attacking the greed of Wall Street and the big banks, but then advocating no actions except calling on union members to send e-mails and faxes to their representatives in Congress, which they have done numerous times without any visibly favorable effect.
It should be noted that the AFL-CIO jobs campaign is conducted by people who already have good jobs, often high-paying ones with substantial benefits. But what is clearly absent are the voices of the 8.6 million who have been out of work for 27 weeks or more, who would be the beneficiaries of a successful campaign effort.
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July 2, 2010
By Harry Kelber
Senate Republicans have blocked a Democratic attempt to extend unemployment assistance to the 1.7 million people whose unemployment insurance benefits have expired. The bill would have approved an emergency unemployment compensation program through November 30.
While Democrats contended that the additional spending was justified to help the unemployed pay their bills and boost the economy, the Republicans insisted that the $33 billion price tag was too much to add to an already bloated federal deficit.
The Senate will consider the extension of unemployment insurance benefits after their week-long July 4th holiday. And it is far from certain that the bill will be approved, since the Democrats do not as yet have the 60 votes to prevent a Republican filibuster. Thus, 1.7 million families are continuing to be denied money for the bare necessities of life.
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June 29, 2010
By Harry Kelber
Whirlpool, the giant laundry and kitchen appliance company, finally moved its Evansville, Indiana. plant to Mexico, leaving its 1,100 employees (including 45 visually-impaired workers) without a livelihood and depriving a community that had depended on it for jobs since the company was founded in 1956.
Whirlpool workers and their union have known about the company’s plans to move to Mexico for the past 10 months (since August 2009), but were unable to convince the company to remain in Evansville. People have asked: “Did the union and the community try hard enough?”
In recent years, hundreds of U.S.-based multinational corporations have moved their operations to China, India and other low-wage countries, attracted by reduced labor costs, tax subsidies and the absence of “labor trouble.” This has resulted in the exodus of tens of thousands of good-paying. Jobs that were formerly held, not only by blue-collar manufacturing workers, but also by white-collar professionals in the financial services industries.
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June 25, 2010
By Harry Kelber
AFL-CIO President Richard Trumka and Secretary-Treasurer Liz Shuler did not challenge any of the charges I made about them in my LaborTalk article of June 22, which stated:
Å Shuler did not perform any of the duties of secretary-treasurer for the past 10 months, since she won the AFL-CIO’s No. 2 spot in a sham, uncontested election as the hand-picked candidate of the Federation’s Executive Council.
Å While spending full time on her commitment to unionize young workers and arranging the Young People’s Summit on June 10-13, Shuler was on the AFL-CIO payroll as secretary-treasurer at a salary of $238,976 a year plus a 60 percent retirement pension.
Å Trumka forced the withdrawal of a rival candidate to Shuler to save her from having to compete in a real election in 2009, instead of being elected by acclamation.
In any organization, such accusations would cause intense discussion from supporters and critics alike. There would undoubtedly be calls for an investigation. The print and electronic media would at least mention the nature of the charges and follow the story, as long as it had public interest.
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June 22, 2010
By Harry Kelber
For the past 10 months, Elizabeth Shuler has been AFL-CIO’s secretary-treasurer in name only, after winning the Federation’s No. 2 position in a sham, uncontested election as the hand-picked candidate of the AFL-CIO Executive Council.
There is not a shred of evidence to show that she has performed any of the functions or fulfilled any of the responsibilities of the job, or whether she is competent to do so, for a salary of $238,976 a year plus a 60 percent retirement pension. According to the AFL-CIO Constitution, duties of the secretary-treasurer include the following:
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June 18, 2010
By Harry Kelber
The National Nurses United (NNU) is one of the most remarkable labor organizations in the country. In a few years, it has nearly tripled its membership, growing from a California-based union of about 60,000 to a powerful national nurses association of more than 155,000--and still growing--in a unique manner, quite unlike other trade unions.
NNU has proven that a union can grow even in tough economic times. if its members are inspired to play an active role in its organizing campaigns. In the past two weeks, ,more than 1,900 registered nurses in five Texas hospitals voted to join the Texas affiliate of NNU in a secret ballot election conducted by the National Labor Relations Board. NNU has won a string of election victories covering 5,500 RNs in Texas, Nevada and Illinois, since it was founded in December 2009.
NNU Executive Director Rose Ann DeMoro termed the election victories as confirmation that RN unionists are “the most independent, honest brokers for patients, based on their very real, life experience, fighting to protect patients at the bedside and to change the healthcare system for all patients and future patients”
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June 15, 2010
By Harry Kelber
The White House has begun a massive campaign to sell a skeptical American public, both from the left and the right, on the advantages of the health care law. Polls show that the public remains confused and deeply split over many of the provisions of the new law.
With President Obama’s participation, the expanded White House team will explain how the health care law benefits young people under 26, retirees on prescription drugs and those with “pre-existent conditions,” who can’t be turned down or overcharged for health insurance coverage.
Yet, there is little or no discussion of the fact that a large vote for the health care law came from those who felt a bond of sympathy for the 45 million people who were uninsured, and, of course, the uninsured themselves.
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June 11, 2010
By Harry Kelber
Unless organized labor fights for jobs a lot harder and smarter than it has, millions of unemployed workers will never again get to see the inside of a workplace. And you better start believing it, because it may be you or a member of your family who may be victimized.
With all the hoopla about the end of the Great Recession, the sobering fact is that only 41,000 new jobs were added in the private sector in May Employers have several options they can exploit to meet their production needs before hiring new—or their former—workers.
They can insist that their employees work harder and longer and accept wage cuts or else end up without a job. They can hire temporary workers from an agency at lower wages, with no benefits and no worker rights. They can hire workers under contract for a limited time, and fire them when they don’t need them.
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June 8, 2010
By Harry Kelber
Shortly after John Sweeney had been elected AFL-CIO president and Richard Trumka, secretary-treasurer, in 1995, the two of them were plotting how they could double their term of office from two years to four years.
But how to do it? Not by going directly to the membership. It would make them look greedy, There’d be lots of opposition from many unions and their members, who were, in principle, against giving so much power to elected officials. There would be endless debate, particularly on the companion amendment to hold AFL-CIO conventions every four years instead of every two. Was it too soon and too risky to push for a four-year term, they wondered.
Besides, there was the problem of the AFL-CIO Constitution, which, in ARTICLE XVI, stated: :”The Constitution can be amended only by the convention, by two thirds of those present and voting, either by a show of hands, or if a roll call is properly demanded, as provided in this Constitution by such roll call.”
This looked like an impossible hurdle. Sweeney and Trumka knew they couldn’t command a two-thirds approval of their amendment. Who would lead the campaign in their behalf? Both Sweeney and Trumka reasoned they could not afford a bruising --and losing--battle to increase their term of office.
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June 4, 2010
By Harry Kelber
Let’s be fair.
We’ve made some sharp criticisms of AFL-CIO President Richard Trumka and his style of union leadership (and there’ll be more to come), but we really ought to give his supporters a chance to talk about his accomplishments.
That’s why we’re inviting his defenders to use our two web sites and my e-mail box (listed below) throughout June to answer two simple questions: ”Why I would vote for Trumka in a real election? And why I am pleased with his performance?”
Keep your e-mails to 200 words. The content of your letters will not be edited.
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June 1, 2010
By Harry Kelber
AFL-CIO President Richard Trumka kept his determined silence, refusing to explain or investigate how an “ethical practices” clause, that had been in effect since the founding of the Labor Federation in the 1950s, had been removed in the 2005 edition of the Constitution.
In 1957, the Executive Council unanimously adopted a constitutional provision that “any trade union official against whom serious charges of corruption are leveled should be removed from office if those charges are true.”
To further protect union members against unethical behavior by officials, the 1957 Committee on Ethical Practices decreed that “all audit reports should be available to the membership of the union and its affected employees.” It said that the trustees of welfare funds should make a full disclosure and report to the beneficiaries at least once a year. These provisions are designed to protect members from financial abuse, but how many AFL-CIO international and local unions comply with them?
Surely, the mysterious removal of the “ethical practices “ clause in the AFL-CIO Constitution is worth some attention by the labor media. Yet not a single labor publication has even mentioned it, much less discussed it. And the same is true of the labor radio outlets.
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May 28, 2010
By Harry Kelber
The U.S. House of Representatives postponed consideration of a jobs bill on May 28, deciding to go home and enjoy the Memorial Day Holiday that will extend to June 7, when Congress is scheduled to reconvene.
The bill before Congress would save or create one million jobs through various measures, and would extend unemployment insurance (UI) benefits to the end of 2010 for the 6.7 million workers who have been without a job for 27 weeks or more.’
The Economic Policy Institute (EPI) estimates that the bill’s package of aid to the states, infrastructure projects, extension of UI and COBRA health benefits, creation of summer jobs, loan guarantees for small businesses and other provisions in the bill will help save or create more than one million jobs. The bill’s target of one million jobs is only about one-seventh of the 15.3 million people officially listed as unemployed by the U.S. Bureau of Labor Statistics.
The bill, costing $143 billion, is running into opposition from many House and Senate Democrats, who are uneasy about spending more money on job creation, when they are under heavy pressure from the public and Republicans to cut the mountain of public debt. They are aware that government spending and budget reductions will be among the key issue in the mid-term elections, and those seeking re-election are looking for political cover.
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May 25, 2010
By Harry Kelber
Someone in the AFL-CIO hierarchy ordered the removal of the “Ethical Practices” clause in the 2005 edition of the Federation’s Constitution, in violation of a series of six codes of ethical conduct adopted in 1957 at the merger of the AFL and CIO.
The removal of this provision in the Constitution means that union members will have no legal basis within the AFL-CIO structure to bring charges against any officer who steals or misuses union funds, violates union bylaws or ignores members’ basic rights.
I have e-mailed and phoned AFL-CIO General Council Lynn Rhinehart repeatedly to ask her to explain who authorized the omission of the Ethical Practices language in the Constitution. She refused to respond, which may mean she doesn’t consider the problem important enough to warrant her attention or she has something to cover-up
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May 21, 2010
By Harry Kelber
Since March, AFL-CIO President Richard Trumka has been making speeches in cities and counties across the country, including one on Wall Street itself, with a double-barreled message: “Make Wall Street Pay!” and “Decent Jobs Now!”
Despite his excellent speeches, Brother Trumka has not gotten a dime from the banks and Wall Street tycoons. The reason is obvious. He hasn’t asked them for money, or even suggested a “ball park” price tag as compensation for the innocent people who lost their jobs, their homes and a part of their retirement income because of Wall Street’s reckless and greedy behavior.
There is no public evidence that Brother Trumka has ever spoken to the banks’ CEOs or that he even knows them or has made an effort to meet them. So how can he make them pay? The furthest he has gone is to ask the Wall Streeters to “pay their "fair share” of the cost of creating the jobs they destroyed. And who decides what’s a “fair share”?
If Brother Trumka and the AFL-CIO Executive Council were really interested in making Wall Street pay, here is a scenario that could have a good chance of accomplishing it.
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May 18, 2010
By Harry Kelber
Some 2,000 union and community activists braved the continuing rain in their march to Washington’s K Street, to confront Wall Street lobbyists and major banks with a message that the AFL-CIO has been repeating for months in dozens of labor rallies across the country—“Decent Jobs Now!” and “Make Wall Street Pay!”
In advertising the rally, the AFL-CIO billed it as a “showdown” event, but no confrontation occurred. Labor speakers were content to review how Wall Street was responsible for the economic crisis that caused millions of workers to lose their jobs, homes and a part of their retirement income. Meanwhile, bank officials and employees were going about their business, largely indifferent to the shouting and chanting outside their front door.
The featured speaker was Liz Shuler, AFL-CIO’s secretary-treasurer, who told the crowd: “Our presence here sent a clear message that Wall Street needs to pay for the jobs its reckless practices destroyed, and to stop the 1.4 million a day to kill Wall Street reform legislation.” Sister Shuler forcefully added: “”We’re not going to stand for that. We need good jobs now. We need to invest in America now. And Wall Street needs to pay.”
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May 14, 2010
By Harry Kelber
By creating a chain of cooperative workshops and stores that provide “green” products and services to the nation’s consumers, the AFL-CIO and Change to Win can provide millions of jobs to unemployed workers, make significant improvements in the environment, contribute to the economic recovery and enhance their political influence in Washington and with the general public.
Is this a wild idea? Not at all. American labor has the funds to make the initial investment in the buildings and equipment that will be needed. It can assemble a work force more readily than any corporation from the millions of union members who are currently unemployed. It can also supply a network of experienced union officials and shop stewards to manage the various green projects. And these would be union jobs, paying union wages and benefits.
Union leaders have been talking about "Green Jobs as Good Jobs” at various conferences, trying to press the U.S. Senate to approve the environment and energy bill, but the legislation has been blocked by a planned Republican filibuster. If Congress fails to act or produces a poor bill, doesn’t it make sense for organized labor to move ahead on its own?
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May 11, 2010
By Harry Kelber
While the Obama administration and congressional Democrats saw the April increase of 290,000 jobs as further evidence that the recession was over, there was an actual increase of 300,000 people in the ranks of the jobless last month, with total unemployment rising to 15.3 million, according to the U.S. Bureau of Labor Statistics.
With the job picture showing improvement, President Obama has decided to focus on cutting government spending to shrink the budget deficit, in response to Republican and public criticism of the government’s spending policies. Further, he shows no desire to spend more money on job creation beyond the $781 billion that Congress approved two years ago.
The prevailing mood among Obama’s advisers and Democrats is that as the economic recovery gains strength, companies will increase their hiring, absorbing millions of unemployed. Eventually, the plight of the jobless will no longer be the government’s responsibility, but will depend on the operation of the free market economy.
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May 7, 2010
By Harry Kelber
The AFL-CIO leadership has strongly condemned Arizona’s new immigration law and will join with the growing public campaign for a federal comprehensive immigration law. The Federation’s president, Richard Trumka, said: “The law is not only an affront to American values of fairness and respect for the U.S. Constitution— it severely undermines workers’ rights.”
But Brother Trumka went further to describe how the Arizona law would threaten the jobs of millions of workers and disrupt union organizing campaigns. He explained:
Any employer faced with Latino workers’ complaints—in the form of
a picket or a lawsuit—can simply call the police and have workers
arrested under the guise of ‘reasonable suspicion.’ The law’s chilling
effect is all too clear."
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May4, 2010
By Harry Kelber
Brother Trumka, in your speech at the April 28th rally, you provided convincing reasons why the Wall Street crowd, including the major banks, should pay billions of dollars in compensation to the victims who lost their jobs, their homes and a portion of their retirement income because of Wall Street greed and reckless investments.
Yet, surprisingly, at the rally, and in speeches you have been making across the country, you never mentioned how the AFL-CIO was going to ” Make Wall Street Pay!” After months went by, it was becoming clear that you never intended to ask the banks for even a dime, but preferred to have them as an “issue,” on which to build your reputation as a leader.
In your Wall Street speech in front of one of the banks, you told the bankers: “Pay your fair share of the cost of creating the jobs you destroyed.” What is a “fair share”? How can it be determined, except by negotiations? But you didn’t offer to negotiate. In fact, we are led to believe that you never met these bankers face-to-face. So how can you make them pay?
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April 27, 2010
By Harry Kelber
Ninety days after it was launched, the Union of the Unemployed remains a work in progress, but the foundation is expanding, using a unique organizing principle. the Ucube, The basic unit consists of six jobless workers within the same zip code address forming a: ”cube” Nine such cubes make a Neighborhood. Three Neighborhoods form a “Power Block’ that contains 162 activists.
Politicians cannot easily ignore a multitude of power blocks, nor can merchants avoid them. The union is built from the ground up. Ucube activists will select their own leaders at each UCube level. Check the Ucube web site:
http://www.unionofunemployed.com/
As the Union of the Unemployed expands, ucube by ucube, its political activity is also increasing. In 90 days, UCubed activists sent 17,000 messages to Congress. Almost10,000 of these emails and letters supported a long-term extension of unemployment benefits. Another 2,000 activists signed the “Throw the Bum Out’’ petition after Senator Jim Bunning stopped a 30-day extension of unemployment and COBRA health benefits.
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April 20, 2010
By Harry Kelber
It took more than a year of economic in-fighting and political wrangling for President Obama to get what he wanted: a health care law, even with its imperfections, on which his legacy may depend.
The new health-care law will cost the federal government $940 billion over 10 years, but it is expected to extend coverage to 32 million uninsured people and be able to save $138 billion during this decade, according to projections of the Congressional Budget Office (CBO).
The important provisions of the 2,400-page health-care legislation are confusing to most people, especially since many of the significant features do not go into effect until 2014. Between now and then, millions of currently insured people may be forced to drop their coverage because of unaffordable increases in premiums, co-payments and out-of-pocket costs.
One of the main provisions of the law, including the creation of state insurance exchanges where uninsured Americans can shop for competitively priced policies, will also not take effect until 2014.
Many working people are unaware that they will be penalized if they don’t possess the health insurance coverage mandated by the law, even if they cannot afford it, despite government subsidies. They will have to pay an annual penalty of $695 per person up to $2,085 per family, or 2.5 percent of their family income, whichever is greater.
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April 21, 2010
By Harry Kelber
Reading AFL-CIO’s publications and listening to statements by AFL-CIO’s leaders, you wouldn’t know there are wars going on in Iraq and Afghanistan. The AFL-CIO Executive Council doesn’t seem to feel that the two wars are the concern of the labor movement or worthy of any comment. You’d never guess that many thousands of working families, including union households, are worried about their loved ones risking their lives to fight in a dangerous region that they know little about.
We are told the government hasn’t the money to create the millions of public works jobs that are needed for some 15 million unemployed Americans. Yet, we have been spending hundreds of billions of dollars annually for the last eight years on the two wars. (26.5 cents of every tax dollar in 2009 went for military-related spending; only 2 cents for education.) And so why do top labor leaders, who see the obvious connection, so unwilling to talk publicly about it?
You’d think that the AFL-CIO would show some public respect for the many union members who have died in the two wars. But honoring them is not on any union agenda.
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April 16, 2010
By Harry Kelber
Here is how the reckless power of the banks was curbed during the Great Depression. It provides a model that we can use today to reform the financial system of Wall Street.
After only a few days in office, President Franklin D. Roosevelt announced a four-day “bank holiday” to begin March 6 1933, promising the public that Congress would work out a plan to reform the banking industry.
By mid-June, Congress had passed the landmark Banking Act of 1933 (also known as the Glass-Steagall Act), that prohibited commercial banks from engaging in the investment business. The Act prevented the banks from using their depositors’ money for private investments in securities, the stock market and other financial ventures.
The Act was an emergency response to the failure of thousands of banks during the Great Depression. The new law also placed tighter restrictions on national banks, and created the Federal Deposit Insurance Corporation (FDIC), that insures depositors with a pool of money in case of bank losses or failures.
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April 13, 2010
By Harry Kelber
AFL-CIO President Richard Trumka told an audience at Harvard’s Kennedy School of Government that “there are forces in our country that are working hard to convert justifiable anger about an economy that seems to work for only a few of us into racist and homophobic hate and violence.”
He did not identify “the forces of hate;” or the extent of their influence or objectives, except to refer to hateful words against President Obama and the highly-respected Congressman John Lewis.
Trumka mentioned the many ways that working people have been short-changed in an economy that favors the rich and powerful, emphasizing the loss of 11 million jobs. “Mass unemployment and growing inequality threaten our democracy,” he said. “We need to act—and act boldly—to strike at the roots of working people’s anger and shut down the forces of hatred and racism.”
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April 9, 2010
By Harry Kelber
There probably are no loud cheers for the new health-care law coming from the 47 million people who are currently without health insurance It appears that only 32 million will have access to health care coverage, and they won’t be eligible for this important medical protection until 2014.
What happens to the other15 million who are left out of the law? And what about the tens of thousands of people who will be added to the pool of the uninsured in the next four years, because they cannot afford the high premiums, co-pays and out of-pocket expenses? (Based on past records, an estimated 100,000 people will be left to die between now and 2014 for lack of medical treatment.)
How will the recipients of health insurance be selected? What if many newly-insured people, especially low-income families, can’t keep up with the medical costs, and are forced to give it up or go into bankruptcy? Will there be a time limit to the government’s subsidies for health care?
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April 6, 2010
By Harry Kelber
“Wall Street executives destroyed 11 million jobs with their risky practices and now they must pay to create new jobs and not be allowed to return to business as usual,” AFL-CIO President Richard Trumka said during an interview with MSNBC.
Trumka also boasted that the AFL-CIO’s unprecedented two weeks’ campaign under the slogan, ”Decent Jobs Now!—Make Wall Street Pay!,” conducted 200 events in front of major U.S. banks, and he vowed to revisit Wall Street April 29 with “10 to 12,000 of my friends to take the message straight to executives.”
In addition to continuing his verbal assaults on the greedy bankers and financiers, what else does Brother Trumka propose to “Make Wall Street Pay!”? Thus far, he has been silent about the issue. He has not raised the question of whether millions of workers should be compensated for the loss of their jobs and a part of their retirement income.
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April 1, 2010
By Harry Kelber
While labor, community and religious activists from six states held a giant rally in a last-minute appeal to Whirlpool to keep its production facilities in the United States, the company did not budge from its plan to close down its Evansville, Ind. operations and open a new plant in Mexico that would employ 1,100 workers to produce its dishwashers, refrigerators and other kitchen appliances.
In addition to the rally, Evansville residents sent petitions with a total of 110,000 signatures and made more than 1,700 phone calls to Whirlpool, all with the same theme: “Make It in America.” But company executives ignored their plea, even though they had accepted millions of dollars in federal stimulus money.
On Thursday afternoon, March 25, the Evansville community, the victim of the Whirlpool plant closing, turned out to say farewell to the first group of 500 laid-off workers who, on the next day, would walk out of the plant for the last time.
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March 30, 2010
By Harry Kelber
From April 1 to the end of July, members of the International Labor Communications Association (ILCA) will be involved in competing for some 80 or more awards in about 50 categories that cover all aspects of media journalism. The competition for the awards is limited to paid-up ILCA dues-payers, and the entries will be mostly judged by ILCA members themselves.
The reason for the large number of awards, ILCA leaders explain, is “to recognize the cutting-edge work members are doing and encourage labor journalists to expand their horizons.” Categories for awards range from newsletters to high-circulation magazines of international unions.
In the “General Excellence” categories, Group 4 states: “Eligible items include booklets or brochures used to promote organizing or legislative activity, calendars, posters, books commemorating anniversaries and similar publications.”
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March 26, 2010
By Harry Kelber
In 200 cities across the country, the AFL-CIO and its allies have mobilized their infuriated members by the hundreds of thousands to demonstrate against the big banks and investment houses on Wall Street. With picket lines, rallies, marches and angry speeches in front of targeted banks and financial institutions, the demonstrators have been repeating their twin demands: “Good Jobs Now!” and “Make Wall Street Pay!”
Under severe pressure from union members who had lost their jobs and their homes, the AFL-CIO Executive Council, meeting in Orlando, Fl. on March 3, decided to call a week of action against Wall Street. It is the first and only national mobilization by organized labor since the recession began in December 2007. The demonstrations will continue until the end of March.
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March 23, 2010
By Harry Kelber
Democrats in Congress secured passage of a landmark health insurance law on March 21 by a vote of 219-212 with not a single Republican voting for it and 34 Democrats joining the opposition. When President Obama signs the legislation, it will not go into effect until 2014.
After more than a year of intense public discussion of health insurance in the media and in Congress, misconceptions about the actual provisions of the law remain. In the ensuing months before the November elections, Democrats will emphasize the advantages of the law, while Republicans will call attention to its defects.
One thing is clear: this is not the universal health care bill we all hoped for. It would extend insurance coverage to 31 million people, but what about the other 16.5 million who do not have insurance coverage and the tens of thousands who are being forced to give it up because they can’t afford it?
Starting in 2014, this law will mandate that millions of people who are currently uninsured must buy insurance from private companies or the U.S. Internal Revenue Service will collect 2 percent of their annual income in penalties. Poor people will be given subsidies to help them purchase insurance.
Under this law, Americans cannot be denied insurance because of a “pre-existing condition” or dropped from coverage when they get sick. But critics claim that without an enforcement mechanism, there is little to hold the insurance companies from getting around the law.
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March 19, 2010
UCubed activists will select their own leaders in each cube, neighborhood, block and higher group as well. The UCubed website is: www.unionofunemployed.com.
UCubed now has 1,649 members in over 1,400 zip codes—up from 321 only 30 days ago. Its job activists can be found in every state of the union except Alaska and Nebraska. Three hundred and fifty-nine (359) cubes are actively functioning--a five-fold increase from the 72 a month ago. Last week, the cube-to-cube linking function went live, says Rick Sloan, Acting Executive Director of Ur Union of Unemployed. One jobs activist, Alexandra Aldrich, has grown her original cube into seven cubes. With two more cubes, she will have created the first UCubed Neighborhood, near Boston, Mass.
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March 16, 2010
A heavy veil of secrecy hangs over the contract that the Board of Trustees of the National Labor College signed with its new “partner,” Princeton Review, an academic investment company.
The only thing we know about the deal thus far is that Princeton Review plans to contribute a certain amount of money to the financially strapped Labor College. How much money? We simply do not know. Nor do we have the slightest information about what the company wants for its money.
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March 11, 2010
By Harry Kelber
Fourth in the series
In a January 14 press release, AFL-CIO President Richard Trumka, who is Chair of the National Labor College, announced that the board of trustees had approved the selection of The Princeton Review, Inc. and its subsidiary, Penn Foster Education Group, Inc., leading providers of postsecondary educational services, as a partner with the NLC, which Trumka expects to be named “The College of Working Families.”
Princeton Review and Penn Foster Education Group are “for profit” companies. When they invest in a venture, they expect to earn a profit. There is no evidence that they have any sympathy for unions or working families. So why are they entering into a partnership with the National Labor College?
The Labor College, which is fully subsidized by the AFL-CIO, has been operating at a loss for years. Although its annual budget is $28 million, it has amassed a debt of more than $40 million. If Princeton Review is willing to cover the debt and assure NLC’s financial future, what does it get for that pile of money? We simply don’t know, and are left to speculate, because the terms of the partnership have been kept secret from union members, who have thus far been paying the bill for the college’s operations.
In addition to money, the National Labor College needs students. Currently, its two degree programs have a total enrollment of 272 students, a paltry number for an accredited college. The AFL-CIO, with 11.6 million members, has made no sustained effort to recruit more students for the college. It appears to be relying on the “marketing” skills of Princeton Review to provide a substantial and steady flow of students from AFL-CIO unions.
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March 9, 2010
By Harry Kelber
Third in a Series
The fundamental mission of the National Labor College is to “make higher education available to workers; to prepare union members, leaders and staff for the challenges of a changing global environment, and to serve as a center for progressive thought and union learning.”
For more than three decades, the college, then known as the George Meany Center for Labor Studies, had been providing a venue for week-long conferences and leadership training for AFL-CIO’s affiliates at the Federation’s 47-acre suburban plot in Silver Spring, Maryland. But in 1999, the Center was transformed into the National Labor College (NLC) and by 2004, it had become fully accredited with the Middle States Accredited Association as an independent, undergraduate college.
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March 5, 2010
By Harry Kelber
Second of a Series
The National Labor College (NLC) is a fully-accredited undergraduate academic institution, subsidized by the AFL-CIO, to provide any of its 11.6 union members and their families from any part of the United States and Canada with an opportunity to acquire a college education and a baccalaureate degree.
Located on a suburban 47-acre plot in Silver Spring, Maryland, the college permits its students to work for a four-year degree without leaving their job, their home or their community. As an additional appeal, the college offers academic credits for “life experience” and accepts transfers from other colleges up to a maximum of 56 credits. That still leaves students with the task of earning an additional 64 credits for the 120 required for a four-year degree, Tuition is $174 per credit, to be raised to $199 per credit by May 10, 2010.
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March 1, 2010
The U.S. Senate’s $35 billion jobs bill passed its first legislative hurdle with the support of five Republican senators. The bill, approved by a vote of 70-28, contains two major provisions. First, it would exempt businesses that hire the unemployed from the 6.2 percent Social Security payroll tax through December and give them an additional $1,000 tax credit if each new worker stays on the job a full year.
Second, it would extend highway and mass transit programs through the end of the year and pump $20 billion into them in time for the spring construction season. The money would make up for lower-than-expected gasoline tax revenue. In addition to the tax incentives, the Senate bill would extend a tax break for small businesses buying new equipment up to $250,000 and expand an initiative that helps state and local governments pay for infrastructure projects.
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February 25, 2010
The U.S. Senate’s $35 billion jobs bill passed its first legislative hurdle with the support of five Republican senators. The bill, approved by a vote of 70-28, contains two major provisions. First, it would exempt businesses that hire the unemployed from the 6.2 percent Social Security payroll tax through December and give them an additional $1,000 tax credit if each new worker stays on the job a full year.
Second, it would extend highway and mass transit programs through the end of the year and pump $20 billion into them in time for the spring construction season. The money would make up for lower-than-expected gasoline tax revenue. In addition to the tax incentives, the Senate bill would extend a tax break for small businesses buying new equipment up to $250,000 and expand an initiative that helps state and local governments pay for infrastructure projects.
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February 23, 2010
By Harry Kelber
It’s been only a month that a union for the unemployed has come into existence through an ingenious grass-roots organizing campaign. In case you haven’t heard about it, the union’s name is “UR Union of the Unemployed” or its nickname, “UCubed,” because of its unique method of organizing.
UCubed is the brain-child of the International Association of Machinists and Aerospace Workers (IAM), whose leaders feel that the millions of unemployed workers need a union of their own to join in the struggle for massive jobs programs.
The idea is that if millions of jobless join together and act as an organization, they are more likely to get Congress and the White House to provide the jobs that are urgently needed. They can also apply pressure for health insurance coverage, unemployment insurance and COBRA benefits and food stamps. An unemployed worker is virtually helpless if he or she has to act alone.
Joining a Cube is as simple as it is important. (Please check the union web site: www.unionofunemployed.com) Six people who live in the same zip code address can form a Ucube. Nine such UCubes make a neighborhood. Three neighborhood UCubes form a power block that contains 162 activists. Politicians cannot easily ignore a multitude of power blocks, nor can merchants avoid them.
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February 20, 2010
By Harry
Kelber
The AFL-CIO and its affiliated unions spent tons of money on the 2008 elections, and they thought they had gotten their money's worth when the Democrats gained control of both houses of Congress and the White House.
After eight years of President George Bush, the unions rejoiced at the prospect of a partnership with a pro-worker Obama administration. They were assured that their top priority, the Employee Free Choice Act, would become law as soon as the health-care reform bill was approved.
But after months of delay, congressional Democrats agreed to eliminate "card check," a key provision of EFCA that would make recruiting new union members a lot easier. And President Obama and the Democrats quietly dropped the bill from their legislative agenda. The President didn't even mention EFCA in his "State of the Union" address.
Labor leaders did not publicly protest the snub, which many privately considered a betrayal. They didn't want to lose their newly-gained acceptance by the White House. Besides, Obama had made several pro-labor appointments to various government agencies and his executive orders had eliminated several severe restrictions imposed on unions during the Bush years.
But labor's ties with the White House began to fray. Obama allowed U.S. corporations to continue transferring hundreds of thousands of good-paying American jobs to countries with low-wage standards. He angered millions of his labor supporters by his swift and overgenerous bailout of major banks and Wall Street financial institutions.
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February 16, 2010
By Harry
Kelber
For decades, unions have spent millions of dollars and hired thousands of organizers to persuade workers to join unions, but have had limited success. Yet here we are in 2010, faced with colossal failures. With our supposed best efforts, unions now represent only 7.2 percent of the nation's workforce in private industry. That is the lowest rate since 1901. And some more horrendous news: In only one year-2008-some 800,000 union members dropped out of the labor movement. What should we be doing about that?
Surely, unions are good for working people. They provide higher wages and better benefits than for those in non-union jobs. That's especially true for working women and ethnic minorities, and it applies equally to virtually every region of the country.
If you're a union member, you don't have to face your boss for a raise and run the risk of being fired. The union uses its strength to represent you and your co-workers in collective bargaining with the boss. And it can usually get a better deal for you than when you act on your own.
With a union card, you can earn some measure of respect from the boss, because if he gets abusive or treats you unfairly, he knows the union can cause him trouble, sometimes by calling a strike.
Given such time-honored advantages of unions, why does only one out of eight of the nation's workers join? What's wrong with our organizing message? Why are we so unconvincing?
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February 11, 2010
By Harry
Kelber
Even if the Obama administration is correct in insisting that its $787 billion stimulus package has saved or created as many as three million jobs, Congress, worried about the enormous budget deficit and national debt, is not likely to allocate many more billions for job creation, especially with all the signs of economic recovery.
Even under the most optimistic calculations, the government will have created no more than five million new jobs. That would still represent only a fraction of what is needed to provide a full-time job to every American adult who needs one.
When companies, large and small, decide it is a profitable time to begin rehiring, they will have a huge labor pool of more than 30 million unemployed workers to pick and choose from. Every one they hire must in some way contribute to their profitability.
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February 9, 2010
By Harry
Kelber
I initiated the weekly “The World of Labor” column on May 4, 2006. because I believed that in this era of globalization, American union members ought to know what was happening to workers and their unions in other countries. And it was a way of promoting international labor solidarity.
In those several years, I have posted (by actual count) 198 weekly articles on “The World of Labor,” with each article describing what was happening in six individual countries, big and small. A great many of those articles dealt with the same problems that were troubling U.S. workers and their unions. In all that time, I had never missed a single deadline.
No one asked me to write the global column. I did it on my own, after I saw that neither the AFL-CIO NOW nor the Solidarity Center would undertake the task.
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February 4, 2010
By Harry
Kelber
With only nine months left before the mid-term elections, Republicans are clearly enjoying their momentum after their candidate, Scott Brown, won the Massachusetts Senate seat held by the late Senator Ted Kennedy for 47 years. The GOP victories for governor in Virginia and New Jersey were also regarded as harbingers of a resurgent, unified political party that, only a few months ago, looked confused and leaderless.
In contrast, the Democrats appear confused and divided on health-care reform and how to strike a balance between cutting the national debt and increasing the level of spending to create urgently-needed jobs.
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February 2, 2010
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and post your comments
By Harry
Kelber
While our leaders were occupied elsewhere, the AFL-CIO lost
800,000 members in one year--2008. As a result, union membership in the private
sector fell from 7.6 percent to 7.2 percent in 2008, the lowest rate in decades.
You can check it out with the Bureau of Labor Statistics.
Those
figures should have sounded alarm bells ringing throughout the labor movement.
How could this catastrophic loss of members happen? Why didn’t our leaders
stop the exodus before it reached such astonishing numbers? Surely, the
situation cries out for an immediate investigation to pin down the reasons for
this massive drop in union membership.
But nothing happened. Neither
Trumka nor the AFL-CIO Executive Council thought the loss of 800,000 union
members was sufficiently alarming to command their attention.
Nor were there any comments on the AFL-CIO web site..
January 21, 2010
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January 19, 2010
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January 14, 2010
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January 12, 2010
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January 7, 2010
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January 5, 2010
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