Thursday, February 17, 2011

From Egypt to Wisconsin - the contagion spreads…

Right now Madison Wisconsin is the epicenter of an epic fight for workers around the United States.   Recently, I wrote a blog about overpaid union workers in New York digging in their heels. I don't know the details of how well paid the public union workers are paid in Wisconsin.  My blog referred to New York State where private-sector salaries in comparable fields were lagging as much as 25% in some areas.  But in a very real sense - it doesn't matter because the issue has morphed into something far more significant.

Governor Scott Walker of Wisconsin puts collective bargaining on the chopping block.


Newly elected tea party Governor - Scott Walker has decided to undertake some massive union-busting by stripping collective bargaining rights for many of the public unions.



The definition of collective bargaining according to Wiki is....

"Collective bargaining is a process of voluntary negotiations between employers and trade unions aimed at reaching agreements which regulate working conditions."   Such bargaining involves wage scales, working hours, training, health, safety, overtime, grievance mechanisms and more."

The above fundamental right is what is at stake.  As a former private-sector employee where unions were non-existent, I can promise you that losing this ability to collectively bargain for such things as working conditions and overtime invites rampant abuse at the hands of employers.

This is all about union-busting across the United States and it is being orchestrated by the robber barons in our midst.   This goes beyond shared sacrifice  - this about permanent changes in the ability of unions to negotiate terms for their workers.   Collective bargaining is on the line - no more, no less.  And that is why this is so important.

Shared sacrifice is needed…


Last year our city laid off a large percentage of its bravest. The firefighters did not come to the negotiating table in the spirit of shared sacrifice.  They held firm on their salary and benefits demands even in the face of a mind-boggling 19% increase in municipal property taxes for the next fiscal year.  The attitude was that this was Westchester and anyone who lived here was obviously filthy rich so the rich bastards should just "pony up."

This is a prime example of the inability to recognize the need for shared sacrifice.  It's also a latter-day lesson on how sticky wages can augment unemployment.  The council and mayor fired enough workers to keep increases down to a more manageable number.

The unions are not innocent bystanders….


This type of bully boy attitude has prevailed with respect to New York State public unions for years and it has left a very bad taste in the mouths of taxpayers throughout the state.  It is also leaving gaping holes in their wallets if they happen to own real property.   Property taxes are out of control and voters are responding to very real pocketbook issues.  As blue a state as New York is - quite a few tea party candidates made their way into the State Assembly and Senate.

The unions created many of these issues all on their own by not being aware or sympathetic to what was going on in the private sector.  The attitude was that they deserved more because they were smart enough to be union members.  PLEASE!  That posturing is deadly and it has landed them in this tight corner.

In New York State unions wages are on the chopping block because in the past they simply steamrolled over the very real concerns of the taxpayers.  Now the ability to collectively bargain for working conditions is on the table.   At this point, everyone needs to come to the table and honestly recognize that shared sacrifice is essential and that EVERYONE has to take a hit.

And by the way - the wealthy - who have made NO sacrifices whatsoever over the past 20 years  - should be the first to be asked to do more.  An increase in the top marginal rates throughout all 50 states should be on the short to-do list of all newly elected Governors.

© 2011 - RMGHicks - http://www.therobberbaroneconomy.com  All rights reserved.

1 comment:

  1. A reasonable and proportional view. I hope you are running for something. You've got my vote.

    ReplyDelete

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