“Right to Work?”

 

In a blog post on the Levins Publishing Website by Andy Timming and Richard Levins they try to help us understand what this policy is about:

What, exactly, is Right to Work? One thing for certain: it is NOT what it sounds like. The name “right to work” is a clever scam to mislead you into supporting it. If it were called “Minority Rule,” which is what it really is, you would think twice before supporting it, wouldn’t you?

In spite of its misleading name, Right to Work does NOT grant anyone a right to work. You already have a right to work in the United States if you are a legal adult citizen or if the government has granted you the necessary papers to be legally employed. Right to Work legislation has nothing to do with that.

 So what is Right to Work? It’s a cleverly disguised special exemption to the constitutional principle of majority rule. With Right to Work the minority rules.

The Minnesota Legislature has introduced several bills to put measures on the 2012 ballot that if passed would be added to our State Constitution.  One of those measures introduced by Sen. David Thompson called “Right to Work.”  It is a measure that several state legislatures have introduced across the country and like the other potential amendments to the constitution is high on the list of the American Legislative Exchange Council (ALEC), an ultra conservative think tank promoting the interests of large corporations.

“Right to Work” might sound good but just like the “Clear Skies” initiative it is very misleading.

Instead of creating a better work environment according to the EPI:

 Rigorous studies—using regression analysis to home in on the effect of RTW laws— show that RTW laws:

• reduce wages by $1,500 a year, for both union and nonunion workers, after accounting for different costs of living in the states (Gould and Shierholz 2011)

• lower the likelihood that employees get healthcare or pensions through their jobs—again, for both union and nonunion employees (Gould and Shierholz 2011)

• have no impact whatsoever on job growth (Lafer and Allegretto 2011)

and reporting on the law passed in Oklahoma:

 The facts—which come straight from the state and federal government and are now uncontested by any party, are:

• In the 10 years since the law was passed, the number of new companies coming into the state has decreased by one-third (Oklahoma Department of Commerce 2011). Indeed, the same two OCPA staff analysts who authored the most recent RTW study—Moody and Warcholik—also published a 2010 article showing that Oklahoma has suffered a net out-migration of jobs to other states.

• In the 10 years since Oklahoma adopted its right-to- work law, the number of manufacturing jobs in the state has fallen by one-third (U.S. Bureau of Labor Statistics 2011).

Contrary to the claims of ALEC “Right to Work” laws are designed to create a work environment similar to what corporations might find in third world countries.  It is possible that jobs could be created but they would be jobs with low wages and very limited benefits.  Ultimately this would be bad for everyone, because it would mean that more Americans would fall in to the ranks of the working poor.  They would be able to afford less and less and overall demand for goods and services would fall and our economy continue a downward spiral as more businesses fail and ultimately more jobs are lost.

Here’s an example from the Timming Levins blog piece:

 Here’s a Dumb Idea We Made Up

Imagine a “Right to Safety” law. Here’s how it would work. Suppose the citizens of a community wanted to invest more money in their police and fire departments. They vote on a local property tax increase to raise the money and the majority votes YES. Normally, everyone would pay the additional tax and everyone would benefit from the investment in public safety.

 The Right to Safety law would change things in two important ways: (1) those who voted against the tax would not have to pay it, and (2) the improved police and fire departments would have to provide the same benefits to everyone in the community whether or not they helped pay for those benefits.

 The hypothetical Right to Safety law seems like a dumb idea, right? Right to Safety does just the opposite of what it says: it does not provide a right to safety, but it does make it harder for communities to act together for public safety programs. In short, it undermines the will of the majority. The more you think about it, the more it seems like Right to Safety was designed by people who opposed public safety, not those who favored it.

Here’s what Martin Luther King Jr. said about “Right to Work”:

“In our glorious fight for civil rights, we must guard against being fooled by false slogans, such as ‘right to work.’  It is a law to rob us of our civil rights and job rights.  Its purpose is to destroy labor unions and the freedom of collective bargaining by which unions have improved wages and working conditions of everyone…

 Wherever these laws have been passed, wages are lower, job opportunities are fewer and there are no civil rights. We do not intend to let them do this to us. We demand this fraud be stopped. Our weapon is our vote.”    ~Dr. Martin Luther King, Jr.speaking about so-called Right-to-Work laws in 1961.

“Right to Work” is a bad idea.  It should be stopped in the legislature but if we are unable to convince legislators to vote it down, we must defeat it at the polls. Join me in getting the word out.

 

STATE LEGISLATORS RETURN TO ST. PAUL

The 2012 Legislative session is just around the corner, due to start on Tuesday.  Both sides seem eager to make it a historically short session so that campaign preparations can begin in earnest once the new district maps are released Feb. 21st.

On the docket for consideration and debate are the Vikings Stadium question, a slew of proposed constitutional amendments, proposed government 2.0 reforms, and a bonding bill.

Fortunately, they will not have to rebalance the budget because the budget appears to be in the black.  But rather than patting themselves on the back with avoiding a deficit they need to look at what they had to do to get there.  Borrowing money from schools and denying services to many who need them is not sustainable.  Hopefully all parties will continue to work toward crafting a budget that will help us get the economy going and come closer to providing what our citizens need. But more about that in future posts.

The Stadium question remains unsettled as a means of funding the various projects has proven difficult to settle on.  For that reason, the final result is still uncertain.  I continue to oppose using state general fund dollars to fund this kind of project and although it would meet a much-needed boost to employment I hope other ways funding it can be found.  It is difficult to justify that kind of expenditure when we have been cutting much needed services.

The amendments in number and scope represent an admission on the part of the legislature that they are unable to convince the Governor of their arguments and hope with the help of ALEC (a right wing national legislative think tank), and corporate donors to persuade voters of their issues.

We already have a marriage amendment on the ballot and Republicans hope to add voter photo ID, balanced budget (both limiting spending increases and measures to make it harder to raise taxes), and a so called, “right to work” amendment.  Other measures have been talked about but these are perhaps the most likely to come up.

Amendments in general have been added to the constitution on the state and federal level to broaden rights and opportunity.  All of these measures do the opposite they put into our constitution, which should be an expression of all of our interests, measures which take away the rights of some; make it harder to provide for the needs of others and make it harder to get a fair shake in our economy. In other words they make our government, our economy and our society less democratic.

For this reason I urge a “no” vote on all of the amendments next fall.  I will go into my reasoning in greater detail in future entries.

Many of the conservative 2.0 Reforms fall under the same delusion that somehow we will be better off by making it easier for a few to do well and harder for most of us to get the help and protection we need.

Finally, the bonding bill, it is a much-needed investment in infrastructure and a job creating measure.  As a brief aside sometimes I am surprised by how many people tell me how glad they are Mark Dayton is our Governor and how pleased they are with the job he has done – working hard to make Minnesota a better place.  This is not just the usual suspects, but a number folks who begin by saying, “I didn’t vote for him, but it’s clear he cares about Minnesota.”

In that vein, Governor Dayton is proposing a $750 million bonding bill.  This is smaller than most of the bonding bills passed in recent years.  It is a good time to invest as interest rates are low and construction costs are depressed.  We need the investment in our infrastructure and putting unemployed workers to work will improve our revenue situation without raising taxes.  Those projects will increase purchasing of supplies needed for the construction and also increase the ability of those workers to purchase goods in services that they can’t afford now.  There will be a ripple effect across the economy and continue to make much needed improvements.

It is my hope that the current legislature will be persuaded by all of these positives to get behind the governor’s proposals and move Minnesota forward.  It is clear that austerity measures across the country and in Europe are not bringing the results we need.  We can’t spend money we don’t have so bonding is one of the few ways states can make a difference in stimulating the economy.

I urge you to let your legislator now how important it is to join with the Governor to move things forward. They need to hear from you.

sen.al.dekruif@senate.mn

rep.kelby.woodard@house.mn

Economy Talk with Kris Jacobs and Kevin Ristau of JOBS NOW COALITION

Join me Nov. 9th at 6pm KYMN Radio 1080 AM for a conversation about the job situation in Minnesota with Kris Jacobs and Kevin Ristau of the Minnesota JOBS NOW Coalition.

JOBS NOW Coalition is statewide research and policy coalition dedicated to promoting jobs that pay a family supporting wage—enough for a family to pay for basic needs. We are organized as a 501(c)(3) nonprofit institution and based in Saint Paul, Minnesota.

There goal is a Minnesota where everyone who is able and willing to work can work, where all jobs pay a family-supporting wage or better, and where work of every kind is respected and valued.

They compile solid research—including our groundbreaking Family Wage and Budget Calculator—to help government, businesses, nonprofits, and the public understand how jobs that support families historically have been generated and how we can generate these jobs now and into the future.

The payoff for Minnesota is expanded prosperity and a reduced future burden on state and local resources as the family-supporting wage, rather than assistance, comes to provide for the bulk of family needs.

That’s Nov. 9th at 6pm on kymnradio.net 1080 Am and remember if you don’t live in the area you can listen online by going to kymnradio.net and look for Economy Talk.  I’ll post the link to the archive as soon as it is up.

Wages and Tax Cuts

David Cay Jonston has been doing outstanding work on explaining what has been happening in our economy for years.  He describes himself as a Republican but one who is extremely worried about the growing inequality in our society and the growing inability of our government to meet the needs of our people as a whole.

Here is a video of his on the latest news on wages (click on image for video):

 

 

His related article:

First look at US pay data, it’s awful

Oct 20, 2011 02:45 IST

Anyone who wants to understand the enduring nature of Occupy Wall Street and similar protests across the country need only look at the first official data on 2010 paychecks, which the U.S. government posted on the Internet on Wednesday.

The figures from payroll taxes reported to the Social Security Administration on jobs and pay are, in a word, awful.

These are important and powerful figures. Maybe the reason the government does not announce their release — and so far I am the only journalist who writes about them each year — is the data show how the United States smolders while Washington fiddles. (read more)

Then here is his critique of tax cut proposals and what they will do (again click on the image):

 

 

Here’s a related article:

Orwellian tax talk By David Cay Johnston 

The author is a Reuters columnist. The opinions expressed are his own.

Political tax talk is becoming Orwellian: Secrecy is Democracy. Auditors Reduce Collections.  Tax Cheats Will Be Caught With Fewer Auditors.

Let’s start in Kansas, where the Lawrence Journal-World broke the news on Sunday that economist Arthur Laffer, father of curve-on-a-napkin tax policy, is advising the state on a new tax structure. The news is not so much that Laffer is getting $75,000 of taxpayer money, but that Governor Samuel Brownback wants advice only from business leaders; no wage earners allowed behind these officially closed doors. (read more)

 

A Knee Jerk Liberal

My good friend Deborah (Arnie) Arneson sent me an e-mail link to a blog post reviewing one of her recent speeches I pass it on as a follow up to my recent post:

Arnie was, in a word, heroic.

She concluded by reading a small portion of a 1991 article written by James Michener. Michener was reacting to his first exposure to “talk radio” in the south;  and like the compelling morbid curiosity of one staring at a horrific accident, he found himself drawn every evening to tune in to a particularly hate-filled radio host. Arnie read:

“…[the program] became a must for me because in it, he abused, vilified, and scorned every noble cause to which I devoted my entire life.  It seemed to me that he was against any law that sought to improve the lot of the poor, any tax that endeavored to improve the quality of our national life, any act in Congress that hoped to better the condition of our nation as a whole, any movement that tried to lessen police brutality, any bill that struggled to maintain a fair balance between contending forces in our society, and any move to improve education, protect public health or strengthen the supervision of agencies running wild…

…These diatribes caused me to stop, [and]  take a long hard look at myself.  I learned one valuable trick:  Listen carefully to this fellow. Identify exactly what he’s saying.  Then adopt a position 180 degrees in the opposite direction, as far from him as you can get, and you’ll be on the right track…

…I am a knee-jerk liberal.

Why does it jerk? To alert me that I have been passive and inattentive too long, to remind me that one of the noblest purposes for which human beings are put on earth is to strive to make their societies better, to see to it that gross inequalities are not perpetuated. And to halt them  requires both effort and financial contributions usually in the form of taxes….

When I find that a widow has been left penniless and alone with three children, my knee jerks.  When men of ill intent cut back on teacher’s salaries and lunches for children, my knee jerks. When the free flow of ideas is restricted, when universities double their fees, my knee jerks.  And I hope never to grow so old or indifferent that I can listen to wrong and immoral choices being made without my knee flashing a warning.

When I have been dead 10 years and a family comes to tend the flowers on the grave next to mine, and they talk about the latest pitiful inequity plaguing their town, they will hear a rattling from my grave and can properly say: “that’s Jim again. His knee is still jerking.”   - James Michener November 1991 Parade Magazine

 

 

 

 

Economy Talk with Rep. Mindy Greiling

Listen in Wed. October 26, at 6pm when I talk education funding with Rep. Mindy Greiling on KYMN radio 1080 AM or you can join us online at KYMNradio.net.  As soon as the program is archived I will post the link.

Former Education Finance Chair, Rep. Greiling says the result of the last session is:

 MINNESOTA OWES OUR SCHOOLS

School Aid Payment Shift. . . . . . . . . . . . . .$2.2 Billion

Property Tax Recognition Shift. . . . . . . . .660 Million

Special Education Cross-Subsidy. . . . . . .$700 Million

Total Funds Owed Minnesota Schools. . .$3.56 Billion (serving 837,640 kids)

Total Owed Per Student. . . . . . . . . . . . . . .$4,200

Minnesota grew a great education system because we made sound investments and made smart choices. You only have to look at other states to see what a different (and cheaper) route would have meant to our state. The best way to grow jobs and our economy is good schools. Good schools and good teachers require adequate funding. We are losing our way and starting to walk down the path of starving our schools.

Besides the massive borrowing from our schools, we are not funding mandates. The state has a responsibility to fund mandates like special education by paying our schools directly, rather than relying on local property taxes.

No other state has used accounting tricks to the same degree as Minnesota. While Minnesota has used school payment delays in the past, this year’s 40 percent delay in payments is unprecedented. To compare, the only other state in the nation to use this awful tactic is California. It delays 19 percent of school payments, about half the amount from their schools as Minnesota will now do. With no plan in place for delays to be paid back, it will take decades to make our schools whole again, if ever.

E-12 Education:  Policy language regarding teacher and principal evaluations was included in the budget bill, a concept that was universally supported. I am disappointed, however, that Republicans insisted on 35 percent of the evaluation being based on test scores prior to experts making evidence-based recommendations for next year, as the bill prescribes. Educators will also be graded on factors including student performance, peer review and evaluations. The bill also abandons expansion of the early childhood quality rating system which has worked well in parts of the state and is essential for Minnesota to be viable for the next round of Race To The Top federal grant funding.

 

 

Economy Talk with Rep. Tom Rukavina

Listen in Wed. October 19th at 6pm on KYMN radio 1080 AM or on line at kymnradio.net.

We’ll be talking about higher education and workforce development in Minnesota and the effects of growing inequality in Minnesota and the rest of the country. Rep. Tom Rukavina was a contender for the DFL nomination for Governor. A fiery speaker and defender of the public good Tom  is strongly influenced by his roots in northern Minnesota’s Iron Range.

You can listen to the archived interview here.

Economy Talk with Jennifer Labovitz

Join me this Wed. Sept. 21 for an interview with Jennifer Labovitz, chair of the Council on Crime and Justice.  We will talk about the economic impact of policies that have made America the number one jailer.  Spending so much on keeping so many people in prison takes a toll on our ability to fund schools and provide health care. Are so many Americans so dangerous that the need to be locked up or could we deal with non-violent offenders in different ways?  Those are some of the issues we will talk about with Jennifer who has worked with the Council on Crime and justice for the past 17 years. A leader in the field of social and criminal justice in Minnesota for over 50 years, the Council is at the forefront of developing new concepts and programs in alternative sanctions, offender services, victims’ rights, restorative justice, and systems  change.  Through research, project demonstration and advocacy the Council seeks to build community capacity to address the causes and consequences of crime.

So listen in at 6pm on KYMN 1080 AM or listen on line at kymnradio.net.

 

http://www.crimeandjustice.org/

Economy Talk: Income Inequality and the Recession

My guest this week on Economy Talk is Martha Paas  (Ph.D. Bryn Mawr) is a macroeconomist who teaches courses in economic history, the history of economic thought, and the economics of the arts. She has lectured and written widely on demography and economic change in early modern Europe , and has a new book forthcoming with Yale University Press on the Kipper und Wipper inflation of 1619-23. Martha has held several grants and fellowships, most recently a Senior Research Fulbright Fellowship at the University of Jena. She is the architect of the annual Carleton Seminar in Economics at Cambridge University, England , which she started in 1983.

Tune in this Wed. at 6pm for another interesting conversation about the current economic struggles we face and what we should know about them.  That’s 6pm Wed. on 1080 AM KYMN Radio. Or listen on line at KYMNRADIO.net  The program will be archived and you can listen at later date here.

Dr. Paas has been doing a number of presentations for local groups (Rotary, Senior Citizens, Nerstrand community group) on what is happening to the economy.

Here’s the economic landscape, according to Martha as summarized by a Rotary editor:

—- The U.S. is not going broke. It’s not a problem as long as the federal debt, now at $14 trillion, doesn’t grow faster than our Gross Domestic Product (GDP). Our debt to GDP ratio is currently 37th in the world.

— Causes of our recent deficit spending are: 1) Defense spending that has doubled in the last 10 years largely due to wars in Iraq and Afghanistan; 2) Bush tax cuts; 3) The recession.

— Shrinking government will not solve the problem. By 2015, half of all government spending will be dedicated to Medicare, Medicaid and Social Security. Social Security is solvent for now, and there is time to make fiscally responsible reforms. Containing health care costs is the real issue.

— Trickle down economics has not worked. The income inequality gap is wider than at any time in our nation’s history.  This is not simply a social justice issue. There are sound economic reasons to reverse this trend.

— Inflation is not a real danger. The recovery is more important at this point in time than guarding against inflationary forces.

— We need to be investing in infrastructure and clean energy.

— Policy decision must be based on hard evidence. “We can’t do it as long as ideology passes for truth and slogans for facts,” Martha said.