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Payback Time

By on 12.19.08 @ 6:09AM

Obama nominee Hilda Solis will affix with Department of Labor with the union label.

Labor unions shelled out well over $100 million (pdf) in donations to political candidates during the 2008 election. More than 90 percent of that total went to Barack Obama and the Democrats. With President-elect Obama’s nomination of Rep. Hilda Solis to be his secretary of labor, the payback has begun. Solis, a liberal Democratic congresswoman from Los Angeles, is one of big labor’s best friends.

Don’t take my word for it, however. Listen to the chorus of union leaders and labor-friendly progressives praising her nomination. “Hilda Solis is an outstanding choice,” Retail, Wholesale and Department Store Union President Stuart Applebaum said in a statement. “She has demonstrated a life-long commitment to working people and, like President-elect Obama himself, knows first-hand how unions can lift poverty wage workers into the middle class.”

AFL-CIO President John Sweeney pronounced himself — and the 55-union, 10 million-member labor organization he leads — “thrilled” by Obama’s choice. “We’re confident that she will return to the Labor Department one of its core missions — to defend workers’ basic rights in our nation’s workplaces,” Sweeney said, in a not-too-subtle dig at outgoing Labor Secretary Elaine Chao, a conservative reformer.

“The daughter of two immigrant workers and union members… she will be a secretary of labor working men and women can finally count on to stand up and fight for them,” enthused Andy Stern, president of the Service Employees International Union. Sal Rossi, president of the United Healthcare Workers, described Solis’s nomination as “tremendous news.” The Chamber of Commerce’s vice president for labor relations could only bluster to the Associated Press, “There’s a new sheriff in town, but they’ll still have to deal with the business community and they know it.”

“What does [Solis] bring to the job?” the American Prospect’s Harold Meyerson asked. “Only a record of passionate commitment to working people, a high level of political smarts, and some genuine displays of raw guts that could make her a star of American liberalism.”

Solis first won liberal plaudits in 1996, when as a freshman state senator (and the first Hispanic woman in her state to serve in that capacity) she used money from her own political account to promote a successful ballot initiative that raised California’s minimum wage from $4.25 to $5.75 an hour. To win her U.S. House seat in 2000, Solis defeated a nine-term incumbent congressman, the more moderate Matthew Martinez, in a Democratic primary by an eye-popping 38-point margin.

Over four terms, Solis has racked up a 97 percent career rating from the AFL-CIO. In 2007, she voted 100 percent of the time with the AFL-CIO, the United Auto Workers, the Service Employees Union, the American Federation of State, County & Municipal Employees, the Utility Workers Union, and the International Brotherhood of Boilermakers. “Unions are vital to the health and strength of our communities, and our workers are the bedrock of our economy,” Solis said in a widely circulated speech in favor of the so-called Employee Free Choice Act. “In this day and age when the number of women and new immigrants is increasing in the work force, it is important that they become a part of the American fabric and one of the ways is to be a member of a union.”

Making unions, whose share of the national labor force has been declining for decades, a bigger part of the American fabric will likely be Solis’s job number one at the Labor Department. As your humble servant recently documented at length in the Capital Research Center’s Labor Watch (pdf), there is a symbiotic relationship between the Democratic Party and organized labor. Unions provide both substantial monetary assistance and the boots on the ground to help get Democrats elected. Once in office, those Democrats pursue policies likely to increase unionization and the flow of money to union coffers.

That’s where the aforementioned Employee Free Choice Act (better known as card check legislation) comes in. Unions lose roughly 40 percent of secret-ballot representation elections. But when employers allow their workers to publicly sign union cards via card check, the AFL-CIO estimates that it prevails about 75 percent of the time. According to the Senate Democratic caucus, “more workers form unions via card check than via secret-ballot elections,” by a margin of 375,000 to 73,000 in 2004 alone.

Card check now stands atop big labor’s agenda for 2009, with some union activists pushing for its enactment within the first 100 days of the Obama administration. Whether that’s possible in a Senate just shy of a filibuster-proof Democratic majority remains to be seen. But a switch from Chao, who supported secret-ballot elections for union organizing, to Solis, who is staunchly pro-card check, would improve the legislation’s prospects.

The appointment of Hilda Solis and signing card check into law won’t satisfy all of Obama’s debts to organized labor. But it will amount to a sizeable down payment. 

topics:
Barack Obama, Unions

About the Author

W. James Antle, III, author of the new book Devouring Freedom: Can Big Government Ever Be Stopped?, is editor of the Daily Caller News Foundation and a senior editor of The American Spectator. You can follow him on Twitter @jimantle.

Letter to the Editor View all comments (585) |

Jason | 12.19.08 @ 6:48AM

Time for Republicans to get their filibuster muscles in shape.
http://rightklik.blogspot.com/

Michael L. Hauschild| 12.19.08 @ 8:58AM

The folly of all this is so simple. People with high tax burdens will always buy better/cheaper cars. (Gee, I wonder who makes those?) The market place is the only mechanism that could have saved the big three. The Unions wasted their hundred million, and Bush has just turned into just another scab crossing the line into the Union shop of Obama.

saleboter| 12.19.08 @ 10:12AM

Unions only suceed when they have a vitual monopoly. Unfortunately for them the only area left that that exists is the government.

They will eventually price themselves out of the market just like the UAW did.

Brian| 12.19.08 @ 10:27AM

I was born in Pittsburgh and I saw the Steel Industry destroyed by the Steelworkers Union. I had to move from my hometown to find a job.

I loathe unions. I boycott union labor whenever possible. I will NEVER consider buying an American car as long as the UAW is involved and I go out of my way to avoid employing union contractors in my business.

There's one way to make all of the union donations a waste - BOYCOTT UNION LABOR.

Luonne Dumak| 12.19.08 @ 11:46AM

I do not drive an American car now and never will.I will be watching as more and more industries move over sea. I have wacthed more Union companies move out of Wisconsin and people still don't get it. High taxes and not a right to work State. BOYCOTT.

Joe B.| 12.19.08 @ 12:47PM

Solis is proof that lacking a brain is no impediment to a political career.

Brian| 12.19.08 @ 1:06PM

Here's a website with products pushed by the UAW:
http://www.uaw.org/uawmade/index.cfm

Boycott them all. We're forced to pay for the "labor" of the teacher's unit, the federal govt union but by law, we don't have to buy anything the UAW makes (yet, anyway).

Send a message - joining a union is a straight line towards the unemployment line.

Marc Jeric| 12.19.08 @ 2:06PM

Steel, automobile, textile, electronics, household appliances - all industries destroyed by their strong unions; the only remedy is outsourcing. Education, however dismal, cannot be outsourced - and now we have already 3 generations of illiterate nincompoops full of self-esteem electing Abu Hussein, a corrupt marxist community organizer who promised a massive unionization of free labor in the remaining domestic industries.

Jeremiah| 12.19.08 @ 2:42PM

Marc Jeric --

Re: "Abu Hussein, a corrupt marxist"

Marc, are you as stupid as you sound in this post? First, unions brought us to 40 hour work week, which has steadily eroded with the decline of unions during the past two decades.

I'd advise you to read a little American history before you get too comfortable with your ignorant hatred of unions and the labor movement. -- Unless you are weak-minded enough to be convinced that the free market encourages the fair treatment of wage earners. (See the nineteenth century for confirmation of this bogus lie.)

In short, Jeric, I think you are a dim-witted, sore loser and a shallow, mean-spirited bigot. You've learned from certain fringe right wing pundits how to couch your racism in coded not-so-subtle language, which demonstrates a certain low cunning. But you are nasty and brazenly ignorant.

Referring to Obama as "Abu Hussein" is desperate, weak, and contemptible. You are a fool, sir.

Jeremiah| 12.19.08 @ 2:46PM

My union fought for and won me an excellent health care benefit and my job is secure. My union fought for and won parental leave for young parents, and I'm proud to have stood behind that. (What really do conservatives do to promote the well being of families?)

Unions work because they allow for collective bargaining: it allows workers to sell their labor at a fair price.

Why do you think wages have stagnated as they influence of unions has declined?

It's a coincidence?

daboss| 12.19.08 @ 3:05PM

if you want to be in a union – great more power to you … if not – there is nothing wrong with that either.

The government should be labor/management neutral – they should not pick one over the other. That’s the job of the market.

Obama Rules| 12.19.08 @ 3:06PM

Gotta love Republican white trash!

ANCHORAGE, Alaska – Alaska state troopers have arrested the mother of Bristol Palin's boyfriend on drug charges.

Sherry L. Johnston was arrested Thursday after troopers served a search warrant on a Wasilla home. The 42-year-old Johnston has been charged with six felony drug counts.

Troopers did not identify the drug involved in a brief mention on the agency's Web site.

Johnston is the mother of 18-year-old Levi Johnston. Alaska Gov. Sarah Palin, the GOP nominee for vice president, announced in September that her 18-year-old daughter, Bristol, was pregnant and Johnston was the father.

Sherry Johnston was released from jail in Palmer on $5,000 bail.

Brian| 12.19.08 @ 3:24PM

"Unions work because they allow for collective bargaining: it allows workers to sell their labor at a fair price. "

Unions "work" because they allow the organized crime mafias in charge of the union, to extort employers.

Unions are inherently unethical, immoral anti-American and un-American. I will never willingly buy a union product.

Jeremiah | 12.19.08 @ 3:27PM

@Obama Rules

re: "Republican white trash"

There are racial epithets that are more nasty than this, probably, but using phrases like "white trash" is toxic and extremely foolish.

It's just another way of making fun of poor people. White poor people deserve respect just like anyone else. In fact, one of the great causes of racism was the effectiveness with which poor whites were pitted against blacks. (You see that playing out even to this day: not a lot of rich white Republicans in Greenwich who are terribly concerned about "Abu Hussein's" upcoming presidency....")

No, I say fire away at the bigot and nitwits -- whether they are slandering blacks, whites, Christians, or Muslims. Prejudice and hatred and cruelty are just weakness.

Jeremiah| 12.19.08 @ 3:31PM

Brian --

If I do not have a choice but to work then I suppose I could say I'm being extorted -- although everyone would laugh at this and say I'm not being extorted any more than any other working person, and besides, if I don't want to work I can always choose to sit by the road and starve.

Well we all know that these aren't real choices. Markets assume the liquidity of human beings -- but the fact is, human beings have to eat, whether or not Wall Street is up or down. Unions protect the dignity of work and workers.

Pluto-Anarchist| 12.19.08 @ 3:36PM

The reason why American Auto manufactuers have lost market share to foriegn implants (yeah implants not transplants) is simple, first Alabama, Mississippi, Kentucky, South Carolina, Georgia etc have intervenved in the free market by subsidizing an intial competitive advantage for these foriegn companies in granting massive tax/and training incentives in order to get them to build factories in their districts or states in the first place. Second, implants are infant companies with no retiree benefits to pay like GM and Ford who in doing so drastically expands the consumer spending power in our economy (70+% of our economic viability. Thridly these conservative states have been waging war against organized labor and wage earners for decades in their respective states through so called "Right to Work"/ "Right to Hire" legislation built irronically (or just deceptively) on the premise of "free" market capitalism (hypocritical to say the least), these circumstances structurally brought down the cost of labor and products not better business models, but rather fiscal assistance from ideologues similar to those on this blog. I find it ironic that conservative have made such a case about UAW wages which acually constitute a mere 10% of total unit cost. Of course you can make cheaper products at a lower cost if your workforce can be fired without cause (or if you have no seat at the table), if you can't meet the production levels of the people's Republic of China, Japan, or Taiwan then Walmart may pay you 6.50/hr w/out benefits. Why don't the government grant GM and CH immunity from slavery restrictions, then they could out compete even the most totalitarian regimes or nationalized business models on the planet. The opinions on this blog demonstrates two things perfectly, the lack of a pragmatic analysis of this situation on the right (possibly for political reasons), and the beholdenment of conservative constiuents to the political doublespeak of pundits and their beckoning of the uneducated masses to worship and commit idolatry at the alter of a perverse and unpatriotic notion of global free market economics were the wealthiest of the planet, are admonished to sacrifice the lowest amoung our respective nations to the God of profit. Only the poor suffer in war, "that which you do to the least of these you do also unto me." Jesus Christ (0 BC/0 anno domini)

Brian| 12.19.08 @ 3:48PM

"Unions protect the dignity of work and workers. '

They do? By destroying their livelihoods?

I grew up in Pittsburgh, which used to be full of steel mills.

One by one they went away. Why? Because of the unions.

Not "mismanagement". There were almost a dozen mills and they all went under. The one thing they had in common? The United Steel Workers union.

Furthermore, teachers unions have devastated our public schools. I'm forced to pay outrageous property taxes to support schools that barely graduate half of the students, here in DC.

Schools I refuse to send my kids to. Schools BARACK OBAMA refuses to send his kids to. Schools most of the teachers who are employed by the schools, refuse to send their kids to.

Any industry beholden to the unions is an industry with overpriced, shoddy products. It's unsustainable, unless the public is forced to buy it (e.g. public schools).

Terry Brennan| 12.19.08 @ 5:40PM

Brian, how about public services? When government workers were permitted to organize the results were predictable. A self perpetuating bond between the unions and the liberal politicians, who are willing to pay for union member votes with exorbitant compensation and pension programs, will ultimately sink our municipal and state governments as effectively as a torpedo to the ammunition magazines of a battle ship.

Quartermaster| 12.19.08 @ 7:36PM

Government has not been neutral between the unions and employers. To the contrary, they have forced employers to deal with them, and overlooks the terrorism the unions have engaged in when they don't get their way.
Right to work legislation has not completely leveled that field, but it has gone a long way towards it. Contra Pluto-Anarchist, the analysis has been done for many years. That analysis has told us, year after year why right-to-work states have succeeded. The bribery engaged in by the states (and union states have done so as well, they usually lose because of the pro-union/anti-employer atmosphere those states promote) is common to all the states.

Like it or not, leftists dominate the unions, and rather than support the worker, they steal from the workers they purport to represent to support the destruction of the employers that provide their jobs. The unions may have pioneered a lot of good things, but they have become nothing but havens for marxian-socialism and do almost nothing for those they represent.

I feel for the auto workers, but I have nothing but contempt for the UAW that has been much of the cause of their own predicament.

Charlie| 12.19.08 @ 9:32PM

What do you have against Marxism?

Bob| 12.20.08 @ 8:55AM

I'm reading this pro/anti-union rant by all of you and believe that none of you understand the market. When the work situation was poor, people became angry and supported unions for collective bargaining purposes. Then, when commerce became global, unions exacted more of a labor cost than companies could afford. Now unions are in a decline as jobs disappear.

That said, the problem with the auto industry is not the unions even though costs are higher. The problem is that because of the need for quarterly financial gains to support a company's stock, American companies only made short term decisions. Remember that management was paid on how well the stock price performed. Short term decisions often cause longer term problems, and this is what occurred in the auto industry. Even if unions did not have slightly higher wages, the auto companies would still decline.

The steel industry had the same issues. It was not the unions that ruined the industry, but the fact that steel makers did not update their plants to modern manufacturing techniques. Again, it was short term profit taking and not longer term planning.

We ought to be rewarding management on longer term results and not shorter term results. If, for example in the investment houses, they rewarded the selling of derivatives by how they performed over the life of the security, more attention would have been paid to how solid they were.

Thus, I would make the argument that the vitriol against unions today is unfounded because most of the problems we are having can be traced directly to shorter term management rewards.

Gregorbo| 12.21.08 @ 2:32AM

Charlie--Marxism? That's simple: it's evil. It deprives folks of the right to the fruit of their own labor.

It's marxian to bail out the Big 3 and ask me to pay for it -- esp. since I've never worked for the big 3 and never belonged to or derived benefits from the UAW.

Unions don't protect the dignity of workers--Unions protect the dignity of some workers at the expense of others. There's a reason the Soviet Union collapsed of its own weight--Marxism doesn't work (and neither, might I add, do Union members. Not really. Not like I do).

RonDon| 12.21.08 @ 4:13AM

Never worked for a union company, never will.
As a long haul truck driver, I've seen some of the stupidity that unions encourage.
For instance, I once had a gig pulling frozen turkeys from NC to Michigan. I typically had 2 stops on each load, one a Meijer distribution center with a 3 a.m. delivery time, the other a Farmer Jacks with a 10 a.m. del.
The Meijer DC, being non union had their half of the load off, checked in and me on my way in 2 hours. Most time I ever spent there was 3 hours and that was a pre-holiday delivery.

The Farmer Jack's on the other hand was a sad ass story. I always got there 2 hours before my appointment, but never got into a dock earlier than 1 hour after my appt. time.
Once I actually got into the dock, I would have to hire non-union lumpers to unload my truck (can't have union labor actually doing labor can we?). Once the load was on the dock floor, I would have to wait for union labor to check it in. Then I would have to wait for more union labor to sign the bills.
For a 1/2 load of turkeys, all the same size/weight, it was common for me to be in the dock 6-7 hours. A total of 7-8 hours for a union shop to do what a non-union shop could do in 2 hours.

Another time I was at a fuel stop trying to get fuel. There were only 4 fuel pumps at this little truck stop. I happened to be in line behind a day cab that just sat there. I noticed the fuel pump to the right was occupied by another day cab from the same ccmpany.
After 15 minutes of waiting, I walked to the fuel desk to check on things. The cashier informed me the drivers of the 2 non-fueling trucks were in the restaurant. Weren't hard to find, two drivers wearing company uniforms. When I politely asked if one of them could pull their truck off the fuel island so I could fuel, I was told "F$&k;you, union rules, this is our f$&k;'n lunch time."
No use arguing, so I walked to my truck, got another driver to watch traffic as I backed into the street to get to another pump. As my fuel was pumping, I had my revenge.

A month later I was back at the same little truck stop. When I went in to pay for my fuel, the manager asked me into his office. He showed me a security tape of me walking to each of the trucks. "I haven't shown this to anyone, but what did you do?" Seems those two trucks were stuck at those fuel pumps for another 3 hours because the drivers couldn't get the brakes to release. They had to call a 3rd party mechanic who got the trucks moving in 10 minutes. Their company was charged $400 for the mech to show up plus $65 for 1 hour labor for each truck. The truck stop then charged the company $500 per hour per truck for lost income while they were "broke down" on the fuel island.
I just smiled and told the manager, " you know, you pop those air line glad hands loose and put a quarter between'em and that air can't move."
For the paltry sum of 50 cents, I got several thousand dollars of pay back.

I could go on and on, but you get the picture, right.

Gazinya| 12.21.08 @ 11:10AM

I haven't heard that name in a while. Solis, when she is done with you, you will no that there is no raza except La Raza.

Jeremiah| 12.21.08 @ 5:44PM

Ron --

If you never worked for a union company, how do you know it's so bad?

Workers throughout the 20th century fought to be unionized and fought to keep their unions strong.

Isn't it possible the woes you attribute to unions are actually caused by markets?

What's more likely: the interests that exploit your labor treat you badly, or the union that seeks to increase the value of your labor treat you badly?

Tailgunner| 12.23.08 @ 11:47PM

Unions' only power is extortion and intimidation.
Extortion through the power to forcibly halt production, costing the owners millions in lost profits. Intimidation through picket lines preventing supplies and replacement labor by threats and violence.
As long as plants were unable to relocate, unions thought they ruled the labor market. However, as manufacturers found they could escape extortionately high wages and byzantine work rules by moving overseas, panicked unions are ramming through the most obscene measures to preserve a shrinking potential union base.
The certainty that union thugs will employ their usual techniques of veiled (and not so veiled) intimidation against employees (as they claim they have the employees' best interests at heart)
should give state and federal civil rights officials pause.
I would be glad to see unions disappear. I would be satisfied, however, to see a massive and continuing exodus of angry businessmen to right-to-work states and even overseas rather than continue surrendering to extortion and intimidation.

Pablo| 1.12.09 @ 3:19PM

As a retired union member I know more about the unions than the general public. I was a member of the teamsters when Jimmy Hofa was the numero uno. We knew he was a dishonest crook, but he got us perks. Everybody was aware. Finnaly our employer went bust. (they could not finacialy exist anymore) What does that say?

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