Image provided by: University of Oregon Libraries; Eugene, OR
About Northwest labor press. (Portland , Ore.) 1987-current | View Entire Issue (Feb. 6, 2009)
FEB. 6, 2009:NWLP 2/3/09 10:12 AM Page 11 ...Recession deepens: But help is on the way (From Page 1) months off. Plans for federal infrastructure invest- ment could help. As of press time, the U.S. House had passed and the U.S. Senate was considering a $819 billion res- cue bill — HR 1, the American Recovery and Rein- vestment Act of 2009. The bill increases benefits to the poor and unemployed, lowers taxes on working people, and increases spending on a wide array of infrastructure improvements in order to put people back to work and stimulate economic activity. The bill would extend unemployment benefits by several months, increase the weekly benefit $25 for all unemployed workers getting benefits, and for the first time, allow unemployed workers who don’t have insurance to get on Medicaid — or have up 65 percent of their COBRA payments reim- bursed so they can keep employer-provided insur- ance. It would also increase funding for food stamp benefits, student financial aid, housing assistance, and employment and training programs. It would increase the earned income tax credit, which pro- vides checks to households too poor to owe taxes. And it would provide a “13th check” (a bonus of one-month’s worth of benefits) to 7.5 million of the poorest people in America — the blind, disabled, and seniors who are entitled to Supplemental Secu- rity Income. A tax credit for individuals would put up to $500 a year directly onto paychecks, through re- duced withholding. Workers too poor to be with- holding income tax would get the money as a direct subsidy. To increase employment, the bill appropriates money for highway construction, mass transit, to expand weatherization, to modernize the nation’s electricity grid, promote energy efficiency, improve maintenance at the Forest Service and National Park Service, do environmental cleanup, do wild- land fire management, renovate elementary and secondary schools, repair Veterans Administration hospitals, improve maintenance at Veterans ceme- teries, and expand broadband Internet Service in ru- ral areas. State governments would get grants totaling al- most $40 billion to stabilize budgets rocked by the downturn. And there are additional provisions. Employers who get funds under the act will be required to use the government’s E-Verify system to make sure About 650 people attended a Jan. 31 “town hall” on the economic crisis organized by Portland Jobs With Justice. One message resounded — the federal response needs to be bolder, and it needs to stimulate the economy from the bottom up. Speaking above is Martin Hart-Landsberg, an economics professor at Lewis & Clark College in Portland. their employees are legally allowed to work in the United States. All Oregon and Washington Democrats voted for the bill and all House Republicans voted against it. If passed, the federal stimulus is expected to have a multitude of local trickle down effects. For example, Portland Public Schools could get $20 million for infrastructure improvements, said spokesperson Matt Shelby. Shelby said the money would go to energy efficiency upgrades — new roofs, boilers, duct work, and windows. The bill also expands the borrowing authority of the Bonneville Power Administration by $3.25 bil- lion. BPA is the federal power agency that supplies much of the electricity in Washington and Oregon. BPA spokesperson Scott Sims said that means a green light for nine projects that otherwise would not have happened, including 4,700 megawatts worth of new wind farms, several new substations along the Columbia Gorge and I-5 corridor, and 600 miles of new transmission line. Oregon’s share of the projects could be the equivalent of about 1,000 construction jobs. “Infrastructure spending is good bang for the federal buck,” said Oregon Congressman Peter De- Fazio in a press statement after the House vote. “It has been proven time and again as a way to create jobs and stimulate and an ailing economy.” State governments don’t have the bottomless credit of the federal government, but several legis- lators told Oregon labor leaders Jan. 24 that would- n’t stop them from digging deep to fund infrastruc- ture. “We are not going to sit on our hands in this ses- sion of the Oregon Legislature and do nothing,” Oregon Senate President Peter Courtney told par- ticipants at a legislative conference organized by the Oregon AFL-CIO. As of press time, the Legislature was expecting to finalize this week a bill to authorize $175 million in bonds to pay for transportation projects and de- ferred maintenance and capital construction proj- ects at 11 state agencies, 17 community colleges, and seven universities. Gov. Ted Kulongoski pledged to sign the bill, which he said would enable projects from Portland to Pendleton to break ground by April 1. Even local governments were getting in on re- covery plans. On Jan. 13, Portland City Council un- veiled a “Portland Job Creation and Business Stim- ulus Package” that consisted of fast-tracking, over the next 12 months, city public works and construc- tion projects that had been slated for construction over one to three years. “It’s very encouraging that on all levels — fed- eral, state, and city — government leaders are talk- ing about what they can do to get infrastructure projects out the door as soon as possible,” said building trades Executive Secretary-Treasurer Mohlis. What remains to be seen is whether the econ- omy can be rescued by public construction jobs and extra money in the hands of the poorest. The cur- rent wave of stimulus plans differs from those of the Bush years in that they emphasize infrastructure spending over tax cuts. “Infrastructure,” DeFazio said, “is an investment that we can in good con- science pass on to future generations, as opposed to a tax cut that will be gone, with little to no benefit to the economy, in a matter of months.” Bailed-out bank uses taxpayer cash to fight EFCA By SETH MICHAELS National AFL-CIO When Congress entrusted billions of dollars to banks last fall, it wasn’t with the expectation taxpayer money would be used to hustle for political campaign cash, spread disinformation and fight legislation aimed at improving the economy for everyone. Yet, that’s ex- actly what Bank of America did last fall, coordinating CEOs and lobbyists to op- pose the Employee Free Choice Act. According to reporting by Sam Stein in The Huffington Post, within three days of receiving $25 billion in taxpayers’ money, Bank of America of- ficials hosted an Oct. 17 conference call with key corporate leaders to strategize about the upcoming election and how to fight the Employee Free Choice Act in the next Congress. FEBRUARY 6, 2009 Stein obtained audio of the call, led by mega-lobbyist Rick Berman and Bernie Marcus, founder and former CEO of Home Depot. The call, which included major finance industry figures and representatives from big corpora- tions (including AIG, itself a recipient of $85 billion in taxpayer-funded loans), featured apocalyptic rhetoric and demands that those on the call do- nate to anti-Employee Free Choice Act politicians. The audio Stein obtained features a hysterical Marcus calling the Em- ployee Free Choice Act “the demise of a civilization” and insisting that corpo- rate honchos who didn’t donate big sums to anti-worker incumbent sena- tors “should be shot, should be thrown out of their [expletive] jobs.” In the audio of the call, Berman lays out the corporate lobbyists’ post-elec- tion strategy: to try and scare members of the Senate up for election in 2010, hoping to create the appearance of un- popularity and weaken senators’ re- solve. The disinformation campaign is already under way, with a bevy of anti- Employee Free Choice Act front groups dropping huge sums of money from undisclosed corporate donors into TV ads and lobbying. Why are these industry leaders so scared of the Employee Free Choice Act? Because they know the same thing that the bill’s proponents know: that right now, U.S. labor laws are badly tilted in favor of employers, and under the Employee Free Choice Act, workers, not companies, would have a say in forming a union and bargaining for health care, pensions, fair wages NORTHWEST LABOR PRESS and better working conditions. Bank of America and its fellow cor- porations have been the only winners in the economy for a long time, and they’ll stop at nothing to keep it that way. The better question, of course, is why, after receiving billions from the federal government, Bank of America used its time and resources to coordi- nate a disinformation campaign aimed at soliciting political donations and pre- venting a stronger, fairer economy and the freedom to form unions and bar- gain. It’s a sign of the hubris and lack of accountability in the corporate com- munity that Bank of America thought they could get away with this — and it’s a sign that the Employee Free Choice Act is badly needed to restore fairness to the economy. ...Bakery workers get third crack at joining Local #114 (From Page 9) resentatives asked workers to air griev- ances, and promised to do better. One grievance about payroll han- dling was fixed on the spot. At a final meeting, two days before the election, the company general man- ager Dave Thurston told workers that a vote for the union would be interpreted as a vote of no confidence in the well- liked local plant manager, Lou Flores. Flores’ job might be on the line, in other words. According to several witness affi- davits, Flores then pleaded for his sal- vation in the meeting, and publicly ad- dressed two employees he had just hired: “Both of you guys asked me for a chance … now I’m asking you for a chance. Please, guys, vote no for the union.” “That changed the entire vote,” said Lansing. “Now you’re no longer voting on whether or not you want to be repre- sented. Now you’re voting on the fate of another human being.” On election day, in a majority-immi- grant workplace, a known pro-union employee was called into the office and informed that his green card had ex- pired; he was sent home until he could fix the problem. When the vote was counted, it was 17-10 against unionization. How does a majority on cards be- come a minority on ballots? Partly through legal methods, and partly through illegal methods. Again the union filed charges, list- ing nine separate objections to the em- ployer’s conduct, and arguing that Cargill’s violations of the law poisoned the atmosphere and made the results in- valid. An agent investigated and made a determination. Required attendance at almost-daily anti-union harangues? Legal. But blaming the union for the com- pany’s decision not to give raises — and remedying a grievance right before the election? Those crossed the line, the NLRB found. The election was nulli- fied, and a new one set — for Feb. 12. Will Breadsong workers decide to join the Bakers Union? We’ll find out. But one thing is certain: If EFCA had been the law of the land, this group of 30 would now be more than a year into their first union contract, earning some- thing closer to the union standard. Un- der EFCA, workers would unionize as soon as a majority sign cards. Employ- ers would be deterred from violating workers’ rights by stiffer penalties. And if the two sides can’t agree in four months, a neutral arbitrator can impose a fair first-time contract. “We don’t spend our members money frivolously,” Lansing said. “We look at each case and ask, first of all, ‘Can it go union?’ and secondly, ‘can the employer afford to pay a decent wage?’ If we feel those things can hap- pen, then we will do everything we can to help those workers. We feel that Cargill can afford a decent wage.” PAGE 11