Keep Bailing

Bailouts for big banks and Wall Street firms.  Bailouts for car companies and the United Auto Workers. Proposed bailouts for union pension funds.  And now this — a massive $26 billion bailout for state government and teacher’s unions.  Not only is the country on its way to bankruptcy but it appears the moral bankruptcy of this Congress has already come.
The Wall Street Journal takes on the latest bailout head-on:

To treat Washington’s spending addiction, the November elections are the taxpayer’s best chance to stage an intervention. But until then, President Obama and the Democratic Congress are determined to keep pushing strung-out state governments to take one more fix.

Witness yesterday’s 247-161 largely party-line House vote to approve a Senate bill shovelling another $26.1 billion out to state education and Medicaid programs. The White House has promoted the bill as emergency assistance for strained state budgets. But this unique brand of therapy drives states to spend more, not less. The “assistance” is so expensive that several governors were begging for relief even before Mr. Obama (more…)

The Washington Post argues that Washington bailouts for state union workers reinforces dependency on the feds and is a political handout to their Big Labor constituency.   It’s not often we agree with the Post but in this case they are right:

TO GOVERN is to choose, and nothing lays bare a government’s true priorities like the choices it makes about spending taxpayers’ money. In that regard, the Senate’s decision to spend $10 billion on education jobs this week is revealing — and deeply discouraging.

The crusade for an education jobs bill, led by the Obama administration and Democratic leaders in Congress, has always struck us as more of an election-year favor for teachers unions than an optimal use of public resources. Billed as an effort to stimulate the economy, it’s not clearly more effective than alternative uses of the cash. Yes, school budgets are tight across the country, but the teacher layoff “crisis” is exaggerated. In fact, as happens each year, many teachers who got pink slips in the spring have been notified that they’ll be hired after all. Many layoffs could have been — and indeed have been — avoided by modest union concessions.

As of last school year, the money for 5.5 percent of the 6 million K-12 jobs nationwide came from Washington through the 2009 stimulus; the new money reinforces this dangerous dependency. (more…)

Obama: In the tank for Big Labor

Without fear of stating the obvious, the Weekly Standard looks at how the Obama Administration have given labor union bosses the keys to the White House.