Wed - March 15, 2006

Minimum Wage


A short discussion of the Minimum Wage

I just wanted to thank everyone who responded to the e-activist call to action. We had over 700 responses to State Legislators and Senators on supporting the minimum wage. As many of you know I believe in the power of local politics. The fact that Senators and Representatives got e-mails from people in their districts goes a long way to explaining why they are serious about increasing the minimum wage. Make no mistake about it the reason elected officials listen to us is that they here from you. So thank you and keep up the pressure.

Posted at 12:47 AM    

Tue - October 11, 2005

PUC and deregulation


It is rare for a Government entity to admit they made a mistake

I was amazed to see in a recent addition of the Harrisburg Patriot News and article about the upcoming winter heating season and the Philadelphia Gas Works asking for a rate increase. That in itself was not so amazing but the article next to it talked about how the Pennsylvania Public Utility Commission (PUC) had just released a report about the failure of Gas deregulation. In the report they decried the lack of competition that had forced the increase costs in natural gas prices. BUt the bottom line was that deregulation had failed and their solution was to repeal the law and return to the regulated system as it was.

Now if you have read anything in this blog you know how I feel about deregulation. There are certain industries that for the public good should be regulated. That way companies and consumers know their costs. As we've seen with other deregulated industries, the shift from public good to the shareholders and the bottom line is almost immediate. But historically the old regulated utilities did good for their broader range of shareholders, not the speculators and greed driven CEO's but those who wanted a safe reliable investment and a company that cared about its community. In the late 90's and early part of this century it seemed everyone got bitten by the high flying star CEO bug. Even our legislature got suckered and deregulated natural gas and electricity. Good solid companies merged and bought other companies and accumulated debt far beyond their capacity. Of course it all came crashing down as we found that those high flyers at Enron were all charlatans and con men who fooled everyone. Now these formerly good companies are struggling and their only answer seems to be raise prices and cut the very workers who make their companies strong. But the free market folks will say the market decides these things. But my answer is that the free market is made up of people and unchecked many people will go for greed over good.

So whenever someone mentions deregulation there are questions we need to ask.
1. Who benefits, is it a short term money grab by a new CEO trying to ingratiate himself with shareholders.
2. Will the assets be held or sold off for short term gain?
3. Will the company continue in its core business or is the deregulation an excuse to get rich quick?

So far in this country we have deregulated utilities, trucking, airlines and communications. So far I have yet to see the benefit of any of them. It was good to see the PUC admit its mistake about natural gas, let's hope they wise up about electricity and communications as well.

Posted at 01:32 AM    

Thu - September 1, 2005

Thoughts on Disasters and Politics


some thoughts on the most devastating natural disaster to hit the U.S. in a long time

First of all we at the AFL-CIO send our thoughts and prayers to those who have suffered and are suffering in this continuing devastation of Hurricane Katrina. As I have watched the coverage and pictures that have come from this horrendous storm, I have been shocked and amazed at the sheer destructive power it brought.

But as we have watched developments we also saw the effects of cronyism and tax breaks for billionaires. When push came to shove the resources weren't there and the talent had all been forced out.

But this is not surprising considering that we have an administration and congress whose only goals seem to be to enrich themselves and their contributors at the expense of the middle class and poor.

These kinds of actions can have two kinds of effects: one, people can throw up their hands and say all politicians are the same or we can get involved and make sure we find candidates for congress who are going to stand up to greed and fight for the regular American. I know its hard and sometimes discouraging. Sometimes we elect someone who we think will be the person who stands up to the entrenched special interests in Washington and then watch as they get seduced by the power and money. But that is no reason to give up, we just have to go back to the drawing board and find candidates with more backbone and guts.

Since I am lucky enough to be in touch with workers all over the state I will try in this blog to find a that diamond in the rough. That candidate who will stand with us on many important issues.

Posted at 02:03 AM    

Fri - July 22, 2005

Deregulation continued


More thoughts on the problems of deregulation

Friday as I tried to get to Chicago by plane and my one flight was cancelled, I had the opportunity to talk with one of the airline employees about the reason deregulation is a failure.

As the worker explained to me what had happened today was not so unusual anymore. While he could not say it many airlines routinely cancel flights because they aren't full and they can't make money. They always tell us that its either weather or mechanical, but I don't think that's quite true.

Why is deregulation a failure? Running an airline is an expensive business. The cost of equipment and fuel are substantial as are the cost of staff required just to move you from one place to another. From pilots to flight attendants to baggage handlers to gate agents and ticket agents, these folks all try hard to get you to your destination. When transportation was regulated the airlines were guarenteed a certain level of profit and fixed prices that they could charge. The argument for deregulation was that if airlines could compete then consumers would win. It is true that ticket prices are lower but what is the real cost. Thousands of workers have lost good paying jobs, pensions have been cut or discontinued. Flights are overcrowded and routinely cancelled. One result of deregulation that I had never considered but the worker told me was that because airlines are using smaller aircraft more and more it has caused increased congestion at the airports which has led to more and longer delays. We have all heard about the aging of the air traffic control system, now there is even more strain on the system because of more flights due to smaller aircraft. During the regulated days and now airlines all contributed to the air traffic control system. Then they had the money to make sure that the system was state of the art, since deregulation the system has not seen a major change or improvement in years.

So what have we accomplished? Not much good. Lost jobs, a badly outdated air traffic control system, old aircraft that suffer constant mechanical problems that cause delays and cancellations. For what, tickets are a little cheaper. But I would gladly pay more to know I was going to arrive safe and on time. Its time we thought about bringing regulation back to the airlines. This is one place where the free market has failed the customers, the workers and the shareholders.

Posted at 04:45 PM    

Thu - June 2, 2005

Take Back America Conference


A brief report on the first two days of the Conference

Every year over a thousand folks from all over the nation come together to listen and discuss issues of concern to working families and the middle class. There are authors and organizers and progressive politicians who come and share their ideas and to hear from us about what is happening in the states. Today we heard from John Edwards, who electrified the audience with a progressive vision for America. He talked about health care, raising the minimum wage and the right to form a union. And unlike many politicians who have said they are the friends of unions, he was actually able to say "union". He also talked about an issue that had seemed to disappear he talked about the need to end poverty and homelessness. It was a terrific speech.

Later in the day we heard from United Mine Workers President Cecil Roberts talk about the need for clean energy and energy independence. He was joined by several panelists who discussed all kinds of issues important to all Americans. You can find the full agenda at http://www.ourfuture.org/projects/national_conference/2005/agenda.cfm

Also early today we heard fro UFCW President Joe Hansen talk about the need to organize Wal-Mart and how they use tax payer dollars to finance health care for their employees.

The great thing about this conference is the commitment of the participants and presenters. Even as we face an administration, a congress and senate who don't seem to care about the plight of regular Americans these folks are committed to fighting for America.

Posted at 08:43 PM    

Tue - April 19, 2005

Right to Work for Less


A quick description of the fight to protect workers rights

Recently the anti-union, anti-worker have once again introduced legislation to try and make Pa. a right to work for less state. Chances are the legislation will not go anywhere but we must make sure that it doesn't. If we aren't vigilant the forces of greed could undermine the very foundation of workers rights.

First of all what is Right to work? This law allows union members to drop in and out of union membership whenever they want. Now why is that a problem? When you don't have rules governing membership than employers can make promises to members and non-members in violation of the law. They can use this to divide and conquer and weaken the union in fighting for grievances and contracts. All these attempts at changing the law are nothing more than an attempt to weaken unions.

As a matter of fact the National Right to Work organization was created in the early 1950's by the the National Association of Manufacturers. Now if anyone believes that the NAM has any interest in workers rights then they need to think again.

So when you here this phrase Right to work, know that it means right to work for less. In every state where they have right to work laws pay is lower benefits are lower or non-existent. The power in these states is clearly heavily weighted in favor of the employers.

So don't get fooled keep telling your legislators that right to work for less is wrong for Pennsylvania.

Posted at 09:01 PM    

Wed - October 8, 2003

The Curse of Deregulation


A consideration of the economy since the deregulation of certain key industries.

As I look at today's state of American business I sometimes wonder what are some of the causes of their descent into unfettered greed and loss of time. And while some of these issues would take a book, I would like to explore the impact f deregulation.

A short history might give us a perspective. Prior to the stock market crash of 1929, business was mostly unregulated, with the exception of the Sherman Anti trust act which passed in the earlier part of the century. After the crash to prevent it from happening again a number of laws were passed to regulate and oversee certain businesses. But I digress. Their were certain industries that the Government thought that if they could give them a near monopoly either nationwide or within certain areas that that could benefit the country. So they made a deal with AT&T to guarantee them a profit and monopoly but they would have to wire the country for telephone service, even the money losing rural areas. And it worked for a long time. As a result everyone had telephone service, we had qualified employees wiring our homes and towns. And because they were union jobs the employees got good wages and benefits. With those wages and benefits they were able to live the American dream of home ownership and sending their kids to college

Posted at 12:28 AM    

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