UAW in Financial Trouble

The UAW, which purchased among other things, a golf course with members dues money, appears to be hitting the financial skids.

The Truth About Cars reports that the union is down to its savings and is running on fumes:

A bloated management, run-away costs, declining market share, imploding volume, a sell-off of assets and investments, headquartered in Detroit – what is it? No, it’s none of the Detroit automakers. It is their former nemesis and current co-owner, the United Auto Workers.

“Two years after the wrenching restructuring of the U.S. auto industry and the bankruptcies that remade General Motors and Chrysler, the UAW is facing its own financial reckoning. America’s richest union has been living beyond its means and running down its savings, an analysis of its financial records shows. Unless King and other officials succeed with a turnaround plan still taking shape, the next financial crisis in Detroit may not be at one of the automakers but at the UAW itself.”

This is the beginning of a special report written by the best in the reporting business, by Deepa Seetharaman and her boss, Kevin Krolicki, Chief of the Detroit Bureau of Reuters, with the help of their team of combat reporters from the Detroit front-lines.

“The UAW might have three to five years before its budget difficulties forced a financial crunch, absent changes. The “hand-grenade” math of the projection gave the union less than a five-year window of opportunity to turn things around by winning new membership at foreign-run auto plants, said the person who saw the internal forecast and asked not to be named because of its sensitivity.” (more…)

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Unionization of California’s Baby-Sitters

California’s legislative session is coming down to its final days and Big Labor is looking for another industry to foist its forced-unionization scheme upon.  Believe it or not they are targeting the Golden State’s babysitters.

The LA Times notes:

As this year’s legislative session entered its final week Tuesday, state lawmakers pursued one measure that would help politically powerful unions bolster their ranks … In unveiling the last-minute labor measure, Democratic leaders proposed allowing the unionization of nearly 40,000 people who receive state money to provide child care in their homes. That would vastly expand the dues-paying ranks of unions that contribute heavily to Democratic causes.  Republican Gov. Arnold Schwarzenegger vetoed three earlier versions of the proposal. It is unclear what action Gov. Jerry Brown, a Democrat, would take….

The bill is modeled on a measure that allowed the unionization of workers paid by the state to provide in-home care for disabled patients. That law added more than 75,000 members to California unions and helped them become a dominant force in state politics.  Paul McIntosh, a lobbyist for the California State Assn. of Counties, said the new measure would require counties, which administer the state grants, to form entities to bargain with the unions. ”It would certainly drive up administrative costs if counties have to hire someone to negotiate contracts,” he said.

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Another Big Labor Thiefdom Exposed

Some Big Labor officials often see monopoly bargaining power and the union as their own fiefdoms. In this case of a husband and wife duo who held the union positions of business manager and treasurer, they treated the union treasury and “apprentice” training trust as personal banking accounts. Had Hilda Solis not eliminated disclosure of union trusts, this embezzlement scheme might have been discovered earlier by the union’s members or labor department investigators.

(Source Richard Connelly of the HoustonPress.com) A husband-wife team of union officials lived the high life on members’ money, federal prosecutors charged in indictments announced today.

Ronald Witt, 64, and his wife Anita, 56, were respectively the business manager and treasurer of local 450 of the International Union of Operating Engineers, whose members operate heavy equipment, mechanics and surveyors.

Prosecutors say the Witts embezzled funds from the union and its apprentice school — best to teach the young’uns the rough ways of the world early — and they spent it in style: “luxury trips for themselves and their friends, recreational travel trailers, purchases at hardware stores, personal meal expenses, rebuilding their Galveston home and depositing unearned union checks into their bank accounts,” the U.S. Attorney’s Office says.

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PLA’s DOA in Louisiana

The state of Louisiana proved it is serious about protecting taxpayer money on their construction projects when Gov. Bobby Jindal signed S.B. 76, a bill to prohibit government-mandated project labor agreements (PLAs).

The bill protects taxpayers by ensuring that they get the highest quality work at the best possible price. PLAs, on the other hand, force taxpayer to pay inflated union wages often driving up the price of construction by nearly 25%.

In addition, the law demonstrates Louisiana’s commitment to its Right to Work law by guaranteeing that workers are not forced to pay union dues as a condition of accepting a job in Louisiana. This preserves a worker’s choice on whether or not to join or pay dues to a labor union.

We say Amen to that!

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President Obama: Union Owned and Operated

Syndicated columnist Charles Krauthammer has hit the nail on the head — the president is a wholly-owned subsidiary of Big Labor:

In this year’s State of the Union address,[President Obama] proclaimed a national goal of doubling exports by 2014.

One obvious way to increase exports is through free-trade agreements. But unions don’t like them. No surprise then that for two years Obama has been sitting on three free-trade agreements — with Colombia, Panama, and South Korea — already negotiated by his predecessor.

Nothing new here. In 2009, Obama pushed through a federally run, questionably legal bankruptcy for the auto companies that robbed first-in-line creditors in order to bail out the United Auto Workers. Elsewhere, Delta Air Lines workers have voted four times to reject unionization. A federal agency, naturally, is investigating and, notes economist Irwin Stelzer, can order still another election in the hope that it yields the answer Obama’s campaign team wants.

But Democratic fealty to unions does not stop there. Boeing has just completed a production facility in South Carolina for its new 787 Dreamliner. Why? Because by choosing right-to-work South Carolina, Boeing is accused of retaliating against its unionized Washington State workers for previous strikes.

It jeopardizes the economic recovery, not only targeting America’s single largest exporter in its attempt to compete with Airbus for a huge global market, but also threatening any other company that might think of expanding in any way displeasing to unions and their NLRB patrons. (more…)

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South Carolina Sen. Jim DeMint takes on the NLRB again his Human Events column:

Like so many federal programs, the National Labor Relations Board (NLRB) has expanded its mission far beyond its original purpose in order to wage ideological battles on the taxpayers’ dime.

The NLRB was never meant to micromanage where companies can locate or how many products they can manufacture, as the NLRB under the Obama administration is currently seeking to do. To stop it, Congress should exercise its power of the purse to return the board to its original mission.

The NLRB was originally established to oversee union elections and investigate violations of federal labor laws. These days it’s doing less of that than ever. In 1980, the NLRB conducted 8,531 union elections around the country, with a budget of $108 million. In 2009, it oversaw only 1,704 union elections, with a budget of $261 million.

Union membership has plummeted by more than 40% since the 1980s. The rapid collapse of organized labor in America’s private sector has reduced the need for union elections—and thus, the NLRB itself—by 80% over the last three decades. Yet its budget—adjusted for inflation—remains essentially unchanged.

Hence the board’s recent drift into freelance assaults on economic freedom: While 20% of its budget may be needed to perform its real job, the board seems to be misusing the other 80% for ideological mischief.

The current NLRB is expanding its mission far beyond the original intent. Consider what Craig Becker, an NLRB appointee who was rejected by the Senate and then recess-appointed by President Obama, has said. “Just as U.S. citizens cannot opt against having a congressman, workers should not be able to choose against having a union as theirmonopoly-bargaining agent.”

Not only has the NLRB launched an unprecedented attack on right-to-work states and job creators, it is now actively silencing nonunion workers in order to give unions a leg up in its legal case against The Boeing Company. This branch of the federal government, charged with protecting workers’ rights, is suing a company on behalf of workers who are not in danger of losing their jobs, while refusing to listen to the concerns of three workers whose jobs actually are threatened by the NLRB’s own actions.

And the NLRB is now suing two states, Arizona and South Dakota, in an effort to overturn democratically passed laws that protect a worker’s right to a secret ballot in those states. The NLRB is actually taking the stance that union bosses should be able to force workers to sign cards in public to join a union, a practice known as “card check,” instead of making the decision in private without fear of intimidation.

This is not enforcement—this is extremism. (more…)

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“Right to Work” and “Ready to Work” in Iowa

In the May issue of Inside ALEC, Iowa State Rep. Dawn Pettengill explains the importance of Right To Work and state economic growth:

Through an executive order in July of 2000, Iowa’s Governor [Tom] Vilsack ordered the removal of all Right to Work references from the Department of Economic Development (IDED) website and brochures. [Vilsack is Barack Obama’s current Secretary of Agriculture.] Eleven years later, HF149 sailed through the Iowa House requiring IDED to include the phrase, “Iowa is a Right-to- Work State” in BOLD letters on all business recruitment and promotional literature and their website.

Today, although the bill stalled in the Senate, the Iowa Department of Economic Development’s webpage “Why Iowa?” proudly announces Iowa as a Right to Work state. The “Business Advantages” page showcases Iowa’s Right to Work at the top of the list of reasons for a business to bring their commerce to our state.

Whether you are a business or an individual, the rights of workers and employers are every bit as important as tax implications, a skilled workforce and a great quality of life when making that location decision.

According to the National Institute for Labor Relations Research, Right To Work (RTW) states benefit from faster growth and higher purchasing power than non- Right To Work. Their November 2010 report shows significantly higher percentages in the growth of nonfarm private sector employees, real manufacturing GDP, real personal income, disposable personal income, value added per production worker, housing starts, the number of bachelor degrees attained and people covered by employment based and private health insurance. (more…)

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New York Commissioner says that he is preparing for typical Big Labor tactics of “picket lines and deal with deliberate destruction” as they ‘negotiate’ their forced unionism contracts.  Construction unions like the Laborers and the Carpenters have been known to have organize crime connections.

From New York’s City Hall reporter Jon Lentz:

The city Buildings Department is bracing for turmoil at construction sites when dozens of collective bargaining agreements expire at the end of next month, Commissioner Robert LiMandri told a City Hall breakfast yesterday.

“That’s certainly planning for the worst, and if that happens we’ll have to do that,” said LiMandri, who noted his department has a strong relationship with the city’s district attorneys. “Sabotage is certainly, I’m sure, at the top of every construction manager’s mind, but make no mistake about it: this city is not going to tolerate that kind of behavior.” ‘

He said his department will be on high alert as the June 30 deadline nears, and is planning how to navigate picket lines and deal with deliberate destruction by disgruntled workers.

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