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Archive for the ‘From the USW International President’ Category

Dying for Work

Across America, people are dying for work. It’s not because they’re unemployed. It’s because they work for corporations that don’t care if they die.

Every day, 12 workers die on the job in America – often because a corporation has defied regulations or ignored standard safety procedures. Many more die prematurely from work exposure to toxic materials.

If corporations are people, as Mitt Romney and the Republican majority on the Supreme Court claim, then their privileges as humans come with the responsibility to act humanely. Corporate-people must fulfill their obligations to workers and communities. Profit can’t be their sole raison d’etre. That’s not how it is with flesh-and-blood people. If it were, then society would condone profit-motivated murder, like killing a parent for insurance money. Now that they’re people, corporations have an even greater duty to prevent deaths on the job. And if they don’t, they must be held accountable in criminal court the same way a money-grubbing son would be if he murdered his parents for the life insurance.

Workplace explosions get all the attention.  Three that occurred two years ago next month killed 47 workers. Within 18 days, seven died at the Tesoro refinery in Anacortes, Wash.; 29 in Massey Energy’s Upper Big Branch mine in West Virginia and 11 on the BP Deepwater Horizon rig in the Gulf of Mexico.

Writing about industrial homicide in the American Criminal Law Review last year, Jane F. Barrett, an associate professor at the University of Maryland School of Law and director of its environmental law clinic, said of these explosions:

“In all of these cases, safety procedures were bypassed or standard operating procedures were ignored due to pressures on plant personnel to save time and/or money.”

There it is – the profit factor. Making money trumping worker survival. Occasionally, people accept risk when personal gain is held out as a possibility. But in the workplace, corporations take the gains while imposing the risks on workers. Barrett put it this way:

“And in all cases, the brunt of the consequences was borne by those who did not share in the economic rewards of the corporate non-compliance (with regulations).”

In 4,500 such instances each year, the worker’s death is quick and the cause obvious. In many more cases, however, the deaths are slower, and the reason — workplace exposure to toxic substances –less evident.  Workplace exposure causes more than 40,000 premature deaths annually from conditions like cancer and neurological disease. (more…)

American Workers: The Best Bet

Remember the fear in 2008?  Think of the collapse of Bear Stearns and Lehman Brothers. Wall Street melting down. Pension savings disappearing. Housing values plunging and foreclosures skyrocketing. Three million workers losing their jobs.

It had all the makings of another Great Depression. As Barack Obama took office on Jan. 20, 2009, he faced a dilemma. In this crisis he could play it safe and hold steady on his predecessor’s path of pampering the rich and pandering to corporations, pretending that possibly, eventually, some benefit would trickle down to workers. Or President Obama could keep candidate Obama’s promises of change.

He went with change. He focused on workers, believing restoration of the nation’s great middle would drive economic recovery for all. He secured an economic stimulus package and rescued the American auto industry. Both measures worked to halt, and eventually reverse, the previous year’s relentless economic decline. Both, as well as other changes President Obama has proposed, emphasize creating and securing jobs for everyday workers. He wagered on American workers. And it paid off.

As unemployment slowly eases, as the Big Three automakers report huge profits and hire workers, as the stock market slowly climbs and foreclosures slowly drop, Republicans, particularly the GOP presidential candidates, refute it all. They simply deny that the stimulus created the 1.2 to 3.3 million jobs that the non-partisan Congressional Budget Office reports it did. They continue to insist that America should have let Detroit go bankrupt. Instead of betting on American workers, they would double down on Bush’s tax breaks for the rich, subsidies for fabulously profitable corporations and deregulation of Wall Street.

GOP front runner Mitt Romney supported the government bailout for Wall Street but opposed rescuing GM and Chrysler. Like so many Republicans, he’s all for preserving the jobs and institutions and million dollar bonuses for executives. But Republicans offer nothing but cutbacks and pain for workers.

They want to cut back food stamps, raise the retirement age, slash funds for education and Pell Grants for college, slice Medicaid and repeal the health care reform law that will lower the deficit while enabling 32 million uninsured American to get coverage.  At the same time, all four GOP presidential contenders would lower or eliminate corporate taxes and further cut levies on the wealthiest so much that their budget plans would increase the national deficit that they’re so keen to criticize.

They’re betting that more tax cuts for the rich will prompt reinvestment and economic resurgence. That’s the gamble former President Bush took when he twice cut taxes on the wealthiest. After seven years, here’s how Bush’s bet on the rich paid off: the economy and jobs were contracting at an alarming rate. Remember the fear in 2008?

Now, three years later, after President Obama placed his faith in workers, the nation’s economic outlook is brighter. As is that of GM and Chrysler.

Both companies suffered managed bankruptcies. Tens of thousands of workers lost jobs. Retirees took health care benefit cuts. Remaining workers accepted pay reductions. Plants and dealerships closed. It was pain all around.

Now, GM is back as the world’s number one automaker, making the highest profits in its history. Chrysler is growing faster than any other American car company. Ford is investing $16 billion in its American operations and plans to bring thousands of jobs back from overseas. Altogether, the industry added 200,000 jobs. In addition, rescuing the industry meant preserving hundreds of thousands of jobs in auto parts factories across America, and all the service jobs they support. (more…)

Mother America Always Loved Manufacturing Most

There’s just something about manufacturing. Ask Rosie the Riveter. Ask the computer geeks and artists across America who create “Hacker Space” workshops to help each other invent and fabricate to their imaginations’ content.

Yeah, it’s cool to make stuff. The “maker,” whether an inventor or engineer or welder gets a thrill out of performing work that results in visible, viable products.  Manufacturing also gives the “makers” the feeling of empowerment that can be seen all over Rosie the Riveter’s face.

Manufacturing is powerful. And power is coveted. That’s why mother America always loved manufacturing most. Since the early days of this country, visionary political leaders like Alexander Hamilton and Abraham Lincoln nurtured manufacturing. They knew manufacturing builds a country’s economic strength. And the capacity to manufacture secures a nation’s military might. So President Obama’s focus on reviving American manufacturing, including his proposal last week to give American manufacturers a small tax break, is wise, even if the banking brother and service sector sister feel aggrieved as a result.

President Obama said in his State of the Union address that his goal was to forge an economy built to last. That, he said, would be based on American manufacturing and American know-how, American-made energy and skilled American workers.

Since then, he has talked up his plans to reinvigorate manufacturing during several factory tours. At Master Lock in Milwaukee, Wis., he applauded the company for bringing 100 jobs back to America from overseas.  The tax code should reflect that, the President said. He proposed the government give tax breaks to companies that on-shore jobs, instead of granting them to those that offshore.

It’s illogical, even unpatriotic to use tax dollars to subsidize companies that send jobs overseas, transferring America’s manufacturing power to foreign countries like China.

Later, in Everett, Wash., President Obama lauded The Boeing Co. for manufacturing planes in America. Orders for Boeing’s commercial aircraft rose by more than 50 percent last year, and it hired 13,000 Americans.

During a tour of the plant where Boeing manufactures its 787 Dreamliner, the President said:

 “We can’t go back to an economy that was weakened by outsourcing and bad debt and phony financial profits.”

While Wall Street’s financial gambling took down the nation’s economy, the solid, steady, circumspect practices of manufacturers are facilitating recovery. No wonder manufacturing is the favored child.

Manufacturing, Obama pointed out, supports jobs throughout the economy, from mines to machines shops to malls. At the Boeing plant, he said:

“Every Dreamliner that rolls off the assembly line here in Everett supports thousands of jobs in different industries all across the country. Parts of the fuselage are manufactured in South Carolina and Kansas. Wing edges, they come from Oklahoma. Engines are assembled in Ohio. The tail fin comes from right down the road in Frederickson.”

In addition, those supply chain factory workers, whose jobs pay about eight percent more than comparable ones outside manufacturing, support service sector jobs in their communities. (more…)

Republicans: Against It Before They Were For It

First, Republicans opposed extending the payroll tax cut that put an extra $20 a week in the pockets of 160 million working Americans.

Next, they supported it. If the cost were offset the way they wanted. Even though Republicans previously had said that tax cuts never need be offset.

After that, they opposed a stopgap measure extending the break by two months. Even though the cost was offset.

Ultimately, they approved the 60-day extension.

Then, they opposed extending the tax cut another 10 months. Unless the cost were offset.

Finally, however, they supported that. Even though the cost was not, in fact, offset.

What’s that sound? It’s the frantic flailing of a grounded GOP fish: flip flop, flip flop, flip flop.

Republicans revel in casting themselves as the principled party. They claim they’re the moral majority. Their values, they contend, are unshakable. So their serial waffling on this issue is confusing. Against it; for it; against it; for it. Isn’t that what they ridiculed a Democratic Presidential candidate for?

There’s a simple explanation, however. Throughout this entire episode, Republicans never wavered or vacillated or faltered in any way in performing their most vital, their most basic function as a political party: pandering to the rich.

The thread running through this drama, from beginning to end, is Republican opposition to equitably taxing the rich. The GOP did whatever it took to prevent the nation’s millionaires and billionaires from parting with another cent. In the end, the party’s public image took a beating. But Congressional Republicans triumphed in shielding the nation’s richest from paying their fair share.

So focused are Republicans on providing welfare for the rich in the form of special tax  breaks and perks that initially the party didn’t support extending the payroll tax cut for the middle class at all. Late last November, party leaders, including U.S. Sen. Jon Kyl of Arizona, announced they opposed a one-year expansion.  Republicans said they’d allow a temporary tax cut for the middle class to expire, no problem, even though they’d previously contended they couldn’t end the supposedly temporary income tax cut Bush gave the rich because that would be a “tax increase,” and they could never support a tax increase. Not ever.

For Republicans, who are so true-blue to blue bloods, the real problem with extending the payroll tax cut for the middle class was that Democrats proposed paying for it with a small surtax on the nation’s wealthiest.

That confronted the GOP with a choice: side with the rich or go with the middle class. This was hardly a Sophie’s Choice, however. It was no difficult decision for the average American, say one of the 160 million for whom the extra $1,000 a year from the payroll tax break is meaningful.

Despite that, the GOP sided with 350,000 millionaires and billionaires. Republicans worked to ensure those millionaires and billionaires would not have to pay an additional amount insignificant to the 1 percent individually, but collectively substantial to the federal budget. (more…)

Kicking Underdogs When They’re Down

Americans love an underdog. Maybe it’s an artifact of the American Revolution, when a rag-tag rabble of farmers and frontiersmen defeated the disciplined and well-provisioned military of the most powerful nation on earth.

Even though the United States has usurped most powerful status, Americans still ally with Davids in contests with Goliaths. They love to see a top dog taken down a notch. They rooted for the perennial loser Red Sox in the 2004 World Series and reveled in the win by America’s unseasoned ice hockey team in the 1980 Winter Olympics.

That’s why the sudden surge of right-to-work (for less) legislation is so confounding. Right-to-work (for less) laws are perks for the wealthy, for the top dogs. These laws facilitate destruction of unions. The concerted action of a labor union is a tool that workers use to win fair wages, benefits and conditions from the powerful, from the likes of massive multi-national corporations. At a time of dwindling union membership, at a time when labor union participation is so small as to be nearly negligible, state legislatures across the country are taking up right-to-work (for less) laws that will further decimate union ranks. They’re kicking the underdog when it’s down.

Despite the derisive “big union boss” label that right wingers throw at labor leaders, unions are not the big dogs. Union representation in the United States has declined steadily since the 1950s, following federal legislation in 1947 impeding unionization. Just after World War II, about 35 percent of workers belonged to unions. And those who didn’t benefitted from the higher wages and good benefits that union workers negotiated because non-union employers felt compelled to provide competitive compensation. Last year, the percentage of U.S. workers in unions fell to 11.9, the lowest in more than 70 years.

As unions atrophied and the recession raged, the median income of working Americans declined.  Meanwhile, at the top, the big dogs who run corporations continued awarding themselves colossal compensation and bonus packages. Median compensation for executives quadrupled over the past four decades. Last year, most executives got big bumps, whether their companies did well or not. Now, income inequality is greater than at any time since the robber baron days of the 1920s.

Still, somehow, legislatures across the country are rooting for CEOs, the top dogs, and bashing unions. Lawmakers in Ohio, Wisconsin, Arizona, Oklahoma, Idaho, New Hampshire, Tennessee, and South Dakota have attacked public sector unions. Politicians in South Carolina, Minnesota, New Hampshire, even Michigan and West Virginia are pushing right-to-work (for less) legislation.

Republican-controlled Indiana actually passed it this year. The law forbids companies and unions from negotiating terms that require every worker benefitting from the contract to pay his or her share of the cost of bargaining it. In other words, these laws allow workers to refuse to pay union dues and simply freeload on those who do.

Right-to-work (for less) is great for CEOs. It enables them to pocket more of the profits because such laws weaken unions, ultimately resulting in lower pay and benefits for workers, both those who are in unions and those who are not. Oklahoma’s experience illustrates the sad fact that right-to-work (for less) guarantees lower pay for workers, while not ensuring them more jobs.   (more…)

America’s Failed Mole-by-Mole Trade Policy

Last week several groups, including the United Steelworkers, petitioned the federal government to whack the latest trade mole – illegally traded auto parts from China.

With President Obama announcing creation of a new trade enforcement unit in his State of the Union Address, the feds probably will investigate. But even if they whack down the auto parts mole, experience has shown a new mole will pop up.

Mole-by-mole trade enforcement isn’t the solution to America’s massive trade deficit. Although conservative candidates revel in ridiculing Western Europe, America could learn crucial economic lessons from Germany, which doesn’t rely on Whack-a-Mole and maintains trade surpluses, including one with China in auto parts.

The Steelworkers – along with the United Auto Workers, the Alliance for American Manufacturing and Campaign for America’s Future – explained why the federal government must smack down the latest trade problem that has raised its ugly head.

China and several other countries promote their auto parts manufacturers by providing subsidies and engaging in additional practices banned by the World Trade Organization (WTO). As a result, the United States imports more auto parts than it produces, a situation that kills manufacturers and manufacturing jobs here.  For example, over the past 11 years, as the U.S. auto parts trade deficit increased by 867 percent, the Unites States lost 45 percent of its auto parts jobs – a total of 419,000.

The reason the groups sought action against China specifically is that its exports of auto parts to the United States have increased faster in the past three years than any other country’s and China supports its auto parts industry in ways that violate its commitments to the WTO.

For example, China provided $27.5 billion in subsidies to its auto parts industry between 2001 and 2010. It’s fine with the WTO if countries subsidize industries that sell their products domestically.  But it forbids subsidies for exported products because that distorts the free market, wrongly destroying jobs and industries in the countries that buy those artificially low priced goods.

Beijing also aggressively limited import of American-made auto parts. This is hardly startling. In December, China imposed steep tariffs on imported American-made sports utility vehicles and other large cars. And the WTO affirmed last week that China violated its trade commitments by restricting export of key raw materials. Earlier, the WTO supported President Obama’s imposition of tariffs on tires imported from China because Beijing had violated international trade rules.

China has prospered by breaking the rules. Electronics manufacturing is a good example. In a story about Apple’s experience, The New York Times described how America lost these jobs to China. Worker wages, while achingly low in China, were not the lure. And they were not the issue for Apple, a company that makes $400,000 in profit for every worker. It was a combination of other factors including the Asian supply chain and Chinese subsidies. (more…)

Retirees Occupy Century Aluminum

On Dec. 18, a dozen retirees, men and women in their 60s, 70s, even 80s, began occupying a median strip along Route 33 in front of the closed Century Aluminum smelter in Ravenswood, W.Va. In tents and under tarps, a small group stays overnight, despite hypertension, arthritis and other old age ailments. One has suffered a stroke.

These vulnerable people expose themselves to weather extremes although some have no health insurance at all. Century cancelled it. That’s why they’re occupying Century.

The retirees labored their entire lives for wages and pensions comparably lower than those of other aluminum workers. They did it believing they made those sacrifices in exchange for good, lifelong health coverage. Over the past two years, however, Century evicted them, about 540 retirees altogether, from the insurance plan.

The betrayal burns. Executives at Century, corporate 1 percenters, committed the same sort of treachery that is being condemned by Occupy Wall Street demonstrators representing the victimized 99 percent across the country. Thus the retirees adopted the grandchildren’s protest tactic of encampment.

Century shuttered the 50-year-old Ravenswood smelter in February of 2009, throwing 651 workers out of jobs. Century, headquartered in Monterey, Calif., didn’t go bankrupt though. It still operates aluminum plants in Kentucky, South Carolina and Iceland. And it didn’t immediately cancel promised insurance for retirees.

Nine months after the shutdown, it announced it would terminate as of June 1, 2010 health benefits for retirees eligible for Medicare.  Then on Nov. 1, 2010, Century told its retirees who weren’t yet eligible for Medicare that it would stop paying for their coverage as of Jan. 1, 2011.

This revoking of earned benefits isn’t an isolated incident or a fluke. It is part of a pattern documented by Wall Street Journal investigative reporter Ellen E. Schultz in her new book “Retirement Heist.”  The subtitle is, “How companies plunder and profit from the nest eggs of American workers. (more…)

Emblematic of 1 Percenters, Cooper Tire Punk’d Workers

Four years ago, Cooper Tire told its workers they’d have to sacrifice to save the company.  With a straight face, Cooper executives said it was essential for the corporation’s survival that workers take tens of millions in pay and benefit cuts.

The workers understood the link between their livelihoods long term and Cooper’s success. Dedicated and loyal, they accepted the cutbacks. Soon afterward, city and state officials granted Cooper millions in subsidies.

Management didn’t share in the workers’ and taxpayers’ pain, though. The top dogs rewarded themselves with millions in pay increases and a shiny new corporate jet.

Cooper punk’d the workers and taxpayers.

This isn’t an aberration. It’s a pattern. Corporate executives, the 1 percenters, slash workers’ wages, then give themselves big bonuses. CEOs tell mayors and governors their businesses are in such dire shape that they may close or move offshore. Government officials dutifully shovel truckloads of taxpayer cash into CEO hands, then the CEOs grant themselves more perks. The television show Punk’d, in which actor Ashton Kutcher humiliates famous people, took a five-year hiatus. The 1 percenters gave workers and taxpayers no such break. Punking the 99 percent for profit has only escalated.

At Cooper, 1,050 members of the United Steelworkers union in Findlay, Ohio agreed in 2008 to give the company $30 million in concessions when executives cried destitute at the negotiation table. The next year, after witnessing the same sad song and dance, Ohio officials began transferring $2.5 million from taxpayer pockets to corporate coffers.

Between 2008 and 2011, though, Cooper awarded its executives two pay hikes and double bonuses. The year after Cooper told workers they had to suffer for the company, Cooper CEO Roy Armes got a 50 percent pay increase. The next year, in the middle of the recession, his bump was 19 percent, giving him a package worth $4.7 million in 2010.

Cooper 1 percenters also bought themselves a corporate jet and, for $17 million, a Serbian tire company. Since January of 2009, Cooper posted $360 million in income before taxes.

The workers who took the cutbacks and taxpayers who subsidized the company got punk’d. (more…)

Occupy: Resurrecting Rev. King’s Final Dream

In public squares across the country, Occupy protesters honor Rev. Martin Luther King’s memory on this holiday devoted to him. Their tribute is more meaningful and enduring than the granite monument that President Obama dedicated to Rev. King in Washington, D.C. last year.

That’s because the Occupiers are pressing for a cause – economic justice – that Rev. King had embraced in the months before his assassination in 1968. And they’re pursuing it with the technique he advocated – nonviolent protest.

Rev. King’s final crusade, his Poor People’s Campaign, and the Occupiers’ championing the nation’s 99 percent are remarkable in their similarities. It’s tragic that in the 44 years since Rev. King launched his campaign for an economic Bill of Rights that the nation’s poor and middle class have lurched backward instead of forward. It’s hopeful, however, that a whole new generation of idealists has taken up the dream of economic justice.

In the year before Rev. King was gunned down, he persuaded the Southern Christian Leadership Conference to join him in a movement devoted to securing for all citizens the basic needs that would enable them to pursue the American Dream, to pursue happiness. He believed every able-bodied person should have access to a job with a living wage. And he believed every American should have decent housing and affordable health care. Without economic security, he said, no man is free.

Rev. King’s dream has its roots in the progressive movement, containing key elements of Democrat Franklin D. Roosevelt’s proposed Economic Bill of Rights. Roosevelt, the beloved president who gave the country Social Security, pushed the Economic Bill of Rights in the waning days of the war. (more…)

Recess Appointments: Backlash to Blackmail

In America, when gangs of bullies torment school children, pushing them around and extorting their lunch money, parents know only one response effectively counters the abuse: confrontation. Running, whining, negotiating — none of that works.

For the past year, since Republicans took the majority in the U.S. House of Representatives, they’ve behaved like young thugs, extorting Democrats to get what they wanted. Employing the blackmail techniques of schoolyard gangs, House Republicans repeatedly threatened to hurt the American people and the American government if Democrats didn’t submit.

Then President Obama confronted them. In recent weeks, he finally internalized and implemented the advice of American parents on dealing with bullies. He stood his ground. He called the GOP bluff on the payroll tax. And they backed down. He recess appointed four officials, defying GOP attempts to thwart service to American workers and borrowers.

Apparently, it’s a new day in Washington, one in which Democrats, who control the presidency and the majority in the U.S. Senate, are fed up and not going to take GOP extortion anymore.

For a year, Republicans leveraged their demands with blackmail.  If Democrats didn’t accept draconian and economic recovery-starving budget cuts, Republicans would shut down the government. If Democrats didn’t agree to slash the budget by exactly the amount Republicans required, the GOP would destroy the country’s credit rating.

In December, House Republicans overplayed. Initially, they’d opposed President Obama’s proposed extension of the payroll tax break that puts about $1,000 a year back into the pockets of working Americans. Just before the holidays, they changed their minds and said they’d accept a one-year extension, if it were offset by cuts in the federal budget. A dispute ensured between Democrats and Republicans about what to cut. As time ran out before the scheduled holiday break, the Senate compromised and passed a two-month extension, with the remaining 10 months to be settled later. The approval was overwhelming, 89 to 10. The Senators went home.

That bi-partisan action in the Senate left House Republicans with the choice of approving a two-month extension of a tax break they claimed to support or rejecting it, which would increase payroll taxes for 160 million workers.

For days, House Republicans refused to accept the Senate measure, threatening workers with a tax increase. The House Republicans claimed they wanted a one-year extension, but what they really wanted was a one-year extension paid for by cuts they chose without Democratic input. They demanded Senators return to Washington and vote on cuts to support a one-year deal.  Or they’d increase taxes.

The Senate refused. Obama refused. They confronted the bullies.

And the bullies blinked. The House passed the two-month extension. (more…)