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Red Rebel
8th March 2009, 00:27
Can we rebuild the labor movement with the Employee Free Choice Act? (http://www.iww.org/en/node/4597)

By Adam W. - Industrial Worker, January, 2009

Much has been said in the United States labor movement around the Employee Free Choice Act (EFCA), a bill many mainstream leaders tout as the solution to the decline of unions. With the recent election of Barrack Obama and the Democratic Party holding the majority of seats in both houses of the US Congress, these same leaders have their hearts set that their millions of dollars in campaign contributions will pay off with the passage of the bill.

The meat of the EFCA would amend existing labor law in the US to allow unions to gain official recognition in a workplace through a majority of workers signing authorization cards and avoid the perilous and employer-dominated election route. Once a union is certified, employers have to begin sitting down with the union within ten days. If no deal is reached government mediators can force employers to sign a first contract, even without the vote of workers. The EFCA also would drastically increase the penalties companies face for violating workers rights, such as with firing workers for organizing, which happen at record rates in the US compared to the rest of the industrialized world. Workers could receive up to three times the back pay owed and companies could be fined up to $20,000 for willful or repeated violations.

What are members of the IWW to think of this? We are a small but growing international union with a vision of a completely different world. Not the vague change promised by both sides in the US presidential elections, but a world without bosses, where everyday workers are in the driver’s seat, and where hopes and dreams for a better world can truly be realized. Will the passage of the EFCA move us closer to our vision of a new world? There is certainly a great deal of hope in the change that the EFCA could bring, but I think we need to look more critically whether substantial change will come even if the EFCA should pass.

Weighing the EFCA

Let’s lead off the discussion on the positives. With the harsh reality of unemployment, growing debt and long stagnant wages that many workers throughout the US are currently facing, mainstream news coverage of Congress merely debating workers rights is enough to make millions consider the idea of a union at their workplace. This could provide an opening in the narrow, pro-business discussion that dominates US politics. Should it happen, members of the IWW would be wise to seize this opportunity to talk with more workers and expand our organizing wherever we can.

Further, if the Act should pass in its existing form (as it could easily be watered down) the increased penalties could provide us with greater leverage over resistant employers. A prime example would be New York warehouse employer Handy Fat Trading, which has fired IWW members and defied several rulings by the National Labor Relations Board (NLRB). Both a national debate around unions and workers right and greater enforcement of labor laws would help us in the IWW.

Now let’s discuss why I think we should see the EFCA in a critical light. Many labor leaders promote the bill in language that ranges from a ‘great step forward’ to a cure-all of sorts, which would usher in a new era of unionization such as the Congress of Industrial Organizations (CIO) organizing drives of the Thirties.

I think these views have some serious problems.

First, I’m skeptical that it will pass and not just because Obama has appointed a centrist cabinet of former Clinton officials. Labor’s betrayal by Democrats and the game of “wait and see, they’ll deliver” every time a Democratic president comes to power is a river so deep, you may as well call it an ocean. Barring significant strikes or actions by workers that begin to scare business elites into wanting to offer labor a bone, I don’t see this history changing.

The largest issue with the EFCA, though, is the use of card checks to gain official union recognition. To join a union, a worker would sign a membership card. If more than 50 per cent of the workers signed cards, the employer would have to recognize the union.

While the bill would undeniably make this process easier, I don’t think this will lead to the huge membership increases we’re led to believe. Canada, for instance, has similar card check recognition and enforced arbitration laws yet it has a declining private sector union rate of about 17 per cent, compared to eight per cent or less in the US. Despite the laws, Canadian companies have continued to effectively use union-busting to prevent workers from organizing and to decertify existing unions at higher rates than new ones can be organized—exactly the same situation as in the US.


Mainstream labor’s embrace of this aspect of the EFCA is actually the most troubling in my eyes because it represents the same problem that has been plaguing mainstream unions since the passage of the National Labor Relations Act (NLRA) in 1935: trading easier membership gains and labor peace in exchange for the shop floor militancy that can actually fight effectively to win against employers. If unions are able to gain recognition through card check that they wouldn’t have been able to do through fighting for voluntary recognition, this drastically increases the likelihood that the large, centrally controlled business unions will be meeting employers at the table with stacks of authorization cards and passive bodies of workers, rather than the well organized rank-and-file committees needed to win. These unions would rely on two year, government-imposed contracts that workers will not be able to vote down and which will bar workers from striking.

Overall, much of mainstream labor’s framing of EFCA promotes short cuts to rebuilding the labor movement, such as relying on government laws, rather than the hard work of organizing and fighting the bosses that is needed. This framing is a not an entirely subtle analogy drawn between the EFCA and the mass organizing of industrial unions in the 1930’s under the breakaway CIO that was allowed by the passage of the National Labor Relations Act in 1935.

But the analogy doesn’t hold water. The worker insurgency of the 1930s in the US was a mass movement of workers who struck and occupied factories largely without any leadership by unions and before the formation of the CIO. The government reacted to this development by passing the NLRA in 1935, whose purpose was to cool disruptive strikes through offering workers the legal right to collectively bargain. In the next several years, the CIO was then able to sweep the insurgents into its membership as the wave of sit-downs peaked in 1936-37. Over the next decade, the CIO worked to create its own “labor peace” through signing no-strike clauses, curbing the ability of workers to deal with grievances on the shop floor, and channeling workers’ energies into electoral politics (for more see Frances Fox Piven and Richard Cloward’s chapter on the CIO in Poor People’s Movements). This background should be kept in mind any time we hear arguments that federal laws and union officials make history and not workers themselves.

So, in what light should labor radicals who want to rebuild the labor movement and create a new world, see the EFCA? First, we should not hold our breath or hold back in any of our organizing efforts by waiting for its passage. Second, should the EFCA pass, we should take every effort to take advantage of the increased discussion of unions. This may be difficult in practice as workers may approach us wanting to organize, but under the false impression that it is suddenly “easier” under the new check recognition. We need to stick to our guns, though, and continue our practice of solidarity unionism, even when it involves strategically using the card check process.

Above all, we should remain critically cautious and skeptical around the promises of the EFCA and even more skeptical of those in the labor movement who promote it.

communick
8th March 2009, 01:11
But the analogy doesn’t hold water. The worker insurgency of the 1930s in the US was a mass movement of workers who struck and occupied factories largely without any leadership by unions and before the formation of the CIO. The government reacted to this development by passing the NLRA in 1935, whose purpose was to cool disruptive strikes through offering workers the legal right to collectively bargain. In the next several years, the CIO was then able to sweep the insurgents into its membership as the wave of sit-downs peaked in 1936-37. Over the next decade, the CIO worked to create its own “labor peace” through signing no-strike clauses, curbing the ability of workers to deal with grievances on the shop floor, and channeling workers’ energies into electoral politics (for more see Frances Fox Piven and Richard Cloward’s chapter on the CIO in Poor People’s Movements). This background should be kept in mind any time we hear arguments that federal laws and union officials make history and not workers themselves.


As an IWW member in very, very bad standing, I have no problem saying that the IWW couldn't organize my sock drawer.

But what I really want to point out are some historical inaccuracies in the above paragraph.

The National Industrial Recovery Act was passed in 1932. Section 7a guaranteed the right of employees to organize and bargain collectively.

This was passed BEFORE a labor upsurge occurred.

Throughout 1932/33, tens of thousands of workers joined unions because they were told that "the president wants you to join a union" by organizers such as John Lewis. This was based on Roosevelts support of the NRA.

In 1934, there were 3 major strike victories that changed everything.

The Toledo Auto-Lite strike, The Teamster strike in Minneapolis and the San Francisco Longshoreman led general strike.

In 1935, the NRA was declared unconstitutional and THEN the NLRA was passed, which basically reiterated what was already in section 7a of the NRA.

If this (NLRA) was passed to "cool disruptive strikes", then why didn't section 7a of the NRA also "cool" the strikes I mentioned above. But more importantly, why didn't this cooling mechanism prevent the wave of strikes that followed its passage?

Noticibly absent from the 1930's - the IWW.

Red Rebel
8th March 2009, 05:33
If this (NLRA) was passed to "cool disruptive strikes", then why didn't section 7a of the NRA also "cool" the strikes I mentioned above. But more importantly, why didn't this cooling mechanism prevent the wave of strikes that followed its passage?



A huge problem with the NRA was multi-representation. The NLRA has single elections. i.e. in a auto plant election in the 1930s

60% CIO UAW
20% AFL UAW
20% no union

With that election the work place was divided and with the NRA the CIO UAW would represent the 60%, the AFL CIO would represent 20% and the other 20% wouldn't be represented. This was chaos for both unions and management. The NLRA would simply of had the CIO UAW represent all the workers.

That is the best answer I can think of.

YSR
9th March 2009, 05:00
Noticibly absent from the 1930's - the IWW. Oh man, you totally win major points for one-upping the IWW! All of the martyred fellow workers are turning in their graves! Well done!

Aside from this stupid point-scoring exercise, Communick indicates a very poor understanding of class struggle, placing his emphasis on "big moments" and the laws of a capitalist government to explain why and how working class struggle heated up. Studying the actual conditions of the working class in this period might lead to better results...

Oh, and this:

As an IWW member in very, very bad standing, I have no problem saying that the IWW couldn't organize my sock drawer.

If we're gonna trash each other's groups, make sure we know where we're coming from. People in glass houses and all that.

Wait, when was the last time that Socialist Alternative took on a major corporation and came out successfully?

Conservative
14th March 2009, 20:08
Let’s all take a breath and relax a little. I was raised union, became union and then started my own business. Life ain’t easy on either side guys. We currently have a fair system that works for all. It may not be the best, but the NLRB does a fine job policing the field and keeping everything fair.


We all know that union organizers are a very persuasive with potential new members that work for non-union companies. These same organizers sprinkle liberal promises of “Future” membership rewards to achieve their goals.
Why is it that a secret vote is good enough for all elections in America, but now Labor needs an added advantage in the union organizing effort?
The federal government would be given authority through appointed mediators to create a contract. This is a ridiculous overreach of power. The federal Gov’t creating private sector contracts.

This sounds just ducky.

Wake up and enjoy the life you have, quite trying to control everything

Trystan
14th March 2009, 23:22
Cool story bro.

Dr Mindbender
14th March 2009, 23:27
Let’s all take a breath and relax a little. I was raised union, became union and then started my own business. Life ain’t easy on either side guys. We currently have a fair system that works for all. It may not be the best, but the NLRB does a fine job policing the field and keeping everything fair.


We all know that union organizers are a very persuasive with potential new members that work for non-union companies. These same organizers sprinkle liberal promises of “Future” membership rewards to achieve their goals.
Why is it that a secret vote is good enough for all elections in America, but now Labor needs an added advantage in the union organizing effort?
The federal government would be given authority through appointed mediators to create a contract. This is a ridiculous overreach of power. The federal Gov’t creating private sector contracts.

This sounds just ducky.

Wake up and enjoy the life you have, quite trying to control everything



Listen to the pear, for it speaks truth.

http://www.shodor.org/~isinclair/lolwut.jpg

Q
14th March 2009, 23:34
Wake up and enjoy the life you have, quite trying to control everything
So you parasites can do it for us, ey?

cyu
16th March 2009, 20:47
So you parasites can do it for us, ey?


This is what my brother says:
"The plantation owner pays ALL the taxes. Slaves are a bunch of free loaders." :D

ckaihatsu
22nd March 2009, 17:38
http://www.newsreview.com/sacramento/content?oid=928685

Freedom of choice
The Employee Free Choice Act will give workers new power to join a labor union. Guess who’s against it?

By Seth Sandronsky

Blue Diamond Growers employee Frank Garcia (far left) joined other local supporters of the Employee Free Choice Act at a West Sacramento Rite Aid store last month.
PHOTO BY ERICA RAMIREZ

Congress is considering changing a federal law that could have a huge impact for workers in the capital region and across the United States. Meet the Employee Free Choice Act, an amendment to the National Labor Relations Act of 1935. If EFCA gets enough votes to pass the Senate and House and President Barack Obama signs it into law, working women and men will have a new way to enter and stay in labor unions.

Current labor law provides a secret-election ballot for workers who wish to join a union. It’s a process open to intimidation by employers, as workers at Blue Diamond Growers, the almond-processing plant in Midtown, discovered in 2004. EFCA combats such intimidation in three ways: It gives employees a choice between a secret ballot and checking a union card, imposes stiff fines for employers who violate employees’ right to organize and creates a binding, 120-day timeline for negotiating a first-year contract.

Frank Garcia, father of one and a 12-year warehouse employee with Blue Diamond, knows something about how the current secret-ballot process to join a union works. After the International Longshore and Warehouse Union Local 17 began an organizing drive at Blue Diamond in 2004, the intimidation began.

“Company consultants arrived before voting began,” Garcia recalled. “They threatened us that a vote for the union would mean that our jobs would be replaced if we went on strike. The consultants met first with groups of 50 workers. Then they met with groups of five to 10 people. That would not have happened with the Employee Free Choice Act.”

The National Labor Relations Board directed the drive and the secret elections for 600-plus workers. During the four-year campaign in Sacramento, Blue Diamond management harassed and fired some of Garcia’s co-workers. In fact, an NLRB judge ruled that management was guilty of more than 20 violations of U.S. labor law during the AFL-CIO/ILWU campaign.

“There were sometimes five consultants at all times at the plant talking individually and in small groups to workers,” said Agustin Ramirez, lead organizer for Local 17. “The consultants would not tell workers their full name; we only have a couple of first names.”

Blue Diamond defeated the campaign to unionize the plant. When contacted by SN&R, Susan Brauner, public affairs director for Blue Diamond, declined to name the consultants or what they communicated to employees.

The Blue Diamond example mirrors a national trend, according to researchers at the nonpartisan Center for Economic and Policy Research based in Washington, D.C.

“More than one-fourth of all union-representation elections in the 2000s have been marred by an illegal firing of a pro-union worker,” write CEPR economists John Schmitt and Ben Zipperer. “We found that the chance of being illegally fired increased sharply in the late 1970s and in the 1980s especially. The chance fell slightly in the ’90s but then picked up again in recent years.”

EFCA would address the potential for intimidation in the secret-ballot process by offering employees the option to check a card showing their support to unionize. The card check would replace the NLRB secret-ballot elections. If a majority elects to sign cards, negotiations between the union and the company begin.

Among EFCA’s opponents are the Alliance to Save Main Street Jobs, the Coalition for a Democratic Workplace and the Workforce Fairness Institute.

“The debate over EFCA should not be about whether unions are good or bad, but what the fairest process is for employees to decide whether they want a union,” according to a report by the U.S. Chamber of Commerce, which belongs to the Alliance, along with the Associated Builders and Contractors, International Council of Shopping Centers, Retail Industry Leaders Association, HR Policy Association, American Hotel and Lodging Association and the Real Estate Roundtable. In the capital region, the Sacramento Metro Chamber also opposes EFCA.

“The Sacramento Metro Chamber of Commerce doesn’t oppose employees organizing into unions,” said chamber president and CEO Matt Mahood. “We just think that the current process of secret-ballot elections works well. Employees should maintain their free right to choose by participating in secret-ballot elections. That avoids coercion and intimidation.”

In fact, EFCA gives employees two choices. They can choose to use the secret ballot, and risk possible repercussions, or sign a union card. Crucially, the choice would be theirs to make. Furthermore, employers would be held financially accountable for their actions against employees who opt in or out of unions under EFCA. Provisions of the bill would hold employers liable for penalties of up to three times the back pay of an employee who is “illegally discharged or discriminated against during an organizing campaign or first contract drive.”

Sacramento County Supervisor Roger Dickinson, a Democrat, and Garcia were two speakers calling for the passage of EFCA at a protest of 50 people outside the entrance of a Rite Aid drugstore in West Sacramento last month. Protesters from the Local 17, Service Employees International Union Local 1000 and others marched and chanted, “Hey, hey! Ho, ho! Rite Aid is moving mighty slow.”

The slowness in question is Rite Aid’s approach to contract talks with more than 500 workers at its distribution center in Lancaster, north of Los Angeles. There, in NLRB-supervised elections, employees voted to join the AFL-CIO/ILWU Local 26 to represent them on March 21, 2008.

However, this was the proverbial end of the beginning, according to Ramirez. He says Rite Aid is dragging its feet in contract talks, trying to “run out the clock,” much as a basketball or football team hangs onto the ball at the end of a game to keep the other team from scoring.

Cheryl Slavinsky of Rite Aid disagrees with Ramirez’s assessment of progress in the contract talks. “We have been bargaining in good faith with the ILWU local representing our distribution center in Lancaster, California, and have offered to stay at the table all night to work out our differences, but the union so far has not accepted that offer.”

Under NLRB law, new unions and employers have a year to reach an agreement. As the second year with no agreement begins, the NLRB permits workers to file a petition to decertify their new labor-union representation. That outcome opens the door to defeating the union by ending contract negotiations, exactly what the Lancaster workers face, beginning this March 21.

Under EFCA, new unions such as Local 26 in Lancaster would have 10 days in which to notify an employer to begin collective bargaining. In turn, EFCA provides an initial 90-day period for negotiations. If unable to reach an agreement, either side can contact the Federal Mediation and Conciliation Service to help achieve a resolution. If mediation fails to result in an agreement during a 30-day period, the mediator would refer the dispute to an arbitration panel empowered to reach a settlement and impose a binding, two-year agreement on both parties. In short, EFCA imposes binding arbitration on employers and new unions. The NLRB has no such 120-day timeline for negotiations now.

Rite Aid’s Slavinsky questioned the need to amend the current NLRB law. “We believe that our associates have the right to choose to be represented or not represented by a union,” she said. “We just think that it’s fair for them to vote by secret ballot, just as all of us vote by secret ballot for the elected officials who represent us.”

“That is a false statement and an un-American concept of secret voting,” said Bill Camp, executive secretary of the Sacramento Central Labor Council. “The NLRB law, as interpreted by the courts, allows employers to have their consultants pull employees into mandatory meetings before the secret-ballot elections. Employers can fire employees who do not attend the meetings. Meanwhile, the union is not allowed to speak with employees at the workplace.”

At the Rite Aid protest in West Sacramento, Ramirez; Dean Murakami, president of the Los Rios College Federation of Teachers Local 2279, AFT/CFT; Karl Neubuerger, executive vice president with Unite Here Local 49; and Gary Passmore, spokesman for the Congress of California Seniors; went inside to see the drugstore manager, Keith. They gave him a petition in the form of a valentine, signed by the protesters, that read: “We hope you’ll find it in your heart to stop union-busting, start negotiating, and respect the right of workers to join a union. It’s time to stop attacking employees and start solving problems together.”

Meanwhile, on Capitol Hill, California’s two Democratic senators have different stances on EFCA. Sen. Barbara Boxer backs the bill, and Sen. Dianne Feinstein is wavering, according to Ramirez. Boxer and Feinstein declined SN&R’s repeated requests for comments.

“The California Labor Federation spoke with Sen. Feinstein recently,” said Ramirez. “She said the current [NLRB] system is adequate and to give her counterexamples.”

The state labor movement is doing that, gathering letters from workers with the Sacramento Central Labor Council, AFL-CIO and other such councils. Art Pulaski, executive secretary-treasurer of the California Labor Federation, urged Feinstein to “fully support the Employee Free Choice Act as she has in the past and, along with Sen. Boxer, play a leadership role in moving it to the desk of President Obama as soon as possible.”

Organized labor needs to convince Feinstein and 14 other Democratic senators to support EFCA to avoid a filibuster.

Against that backdrop, unions are growing, a recent development. According to the U.S. Labor Department, 12.4 percent of the nation’s workers were in unions in 2008, or 16.1 million members, up 0.3 percent from the previous year. In 1983, 17.7 million workers were in unions, or 20.1 percent of the workforce.

Rep. George Miller introduced House Resolution 800, EFCA, in January 2007. The bill passed the House with a vote of 241-185 four months later, with support from Rep. Hilda Solis, President Obama’s pick for labor secretary. The Senate of the 110th Congress voted 51-48 for EFCA. However, the bill failed to get a filibuster-proof 60 votes and died.

As a senator, President Obama co-sponsored EFCA, which was just reintroduced in both houses of the 111th Congress. “We need to level the playing field for workers and the unions that represent their interests, because we cannot have a strong middle class without a strong labor movement,” he said in a videotaped address to AFL-CIO leaders in Miami recently.

Whether the bill can muster a filibuster-proof majority remains to be seen. For struggling workers hoping to stay afloat in a foundering economy, change can’t come quickly enough.

KC
22nd March 2009, 18:22
Wait, when was the last time that Socialist Alternative took on a major corporation and came out successfully?

I'd say they're both about as irrelevant.

Die Neue Zeit
22nd March 2009, 19:54
So why don't you join the SP-USA, which is becoming more popular than the "social-democratic" splinter group and even the DSA? Socialist Alternative's politics are liquidationist, a great shame when compared to the CWI's efforts in Europe.

KC
22nd March 2009, 19:57
So why don't you join the SP-USA

I think a more valid question is "why should I join the SPUSA?" There is no good answer, and one good response to the contrary - I prefer not to waste my time.


Socialist Alternative's politics are liquidationist, a great shame when compared to the CWI's efforts in Europe.

I am not a Socialist Alternative member, although I disagree with your criticism. And by the way liquidationist isn't a word.

Die Neue Zeit
22nd March 2009, 20:01
I think a more valid question is "why should I join the SPUSA?" There is no good answer, and one good response to the contrary - I prefer not to waste my time.

Care to elaborate?


I am not a Socialist Alternative member, although I disagree with your criticism. And by the way liquidationist isn't a word.

Lenin used that word explicitly against those who wanted to turn the RSDLP into a broad labour congress of sorts. This was the basis of the final split between the Bolsheviks and the Mensheviks.

KC
23rd March 2009, 00:31
Care to elaborate?

About what?

Die Neue Zeit
23rd March 2009, 00:33
About not "wasting your time" with the SP-USA comrades.

Enragé
24th March 2009, 00:32
Liquidationism, as I understand it, is the process of dissolving yourself as a revolutionary organisation into a larger group (e.g large reformist party), whether officially or not. The move by the LCR to found the New Anti-Capitalist party and then dissolve itself into the NPA could be characterised as liquidationist (tho i btw think it isnt such a bad move). Liquidationism can be seen as the opposite of sectarianism.

Whether SA fits this discription, i dont know, though perhaps its a bit worrying that the acronym is the same as hitler's brownshirts (Stürm Abteilung :P)

Die Neue Zeit
24th March 2009, 02:08
The SA has de facto liquidationist politics in relation to the Green party, as shown by the 2008 presidential elections. It's little different from the Democratic Socialists of America and the CP-USA having similar politics in relation to the Dumb-o-RATS.

Asoka89
25th March 2009, 01:16
Jacob I seriously disagree with your view of the situation on the ground here. As someone who works with SP-USA often, I wouldn't say they are having any kind of large resurgence or are relevant at all. DSA is of limited relevance, which is better than most of these groups. The CP-USA belongs to the annals of history.

I personally am not a fan of the few individual ISO members I know, but their theory and analysis are largely on point.

See my post on who to vote for in the elections. I'll find the link later, for my view on the political situation in the United States and electoral politics.

ckaihatsu
7th April 2009, 04:30
UNITY & INDEPENDENCE
Supplement to The Organizer Newspaper
P.O. Box 40009, San Francisco, CA 94140.
Tel. (415) 641-8616; fax: (415) 626-1217.
email: [email protected],net
Please Excuse Duplicate Postings
------------------------------------------------

Dear Sisters and Brothers:

The article below from the April 3 New York Times on Larry Summers, President Obama's top economic adviser, is very revealing. This same Summers who was paid all these millions of dollars by the Wall Street speculators is the very same person who stated in an ad published in the Times on March 11, 2009, that "unionization is a cause of long-term unemployment" and that the Employee Free Choice Act (EFCA) is a bad idea at this time.

Summers' statement, plus the earlier declarations from Obama himself that he would welcome a "compromise resolution" on EFCA that "could meet the legitimate concerns of the business community who oppose the bill," sent a signal to the country that EFCA is now off the table. True, Obama said he would sign EFCA if it came to his desk, but as he said this he was also sending an unmistakable signal to the corporate elite and the politicians that EFCA might very well be too "divisive" at this juncture. (source: Washington Post interview, Jan. 16, 2009)

Accordingly, Arlen Specter, Dianne Feinstein and a handful of other elected officials went public to announce their desire to find a "compromise" resolution -- one that essentially keeps the anti-union laws on the books, but tweaks them just a bit. It is highly unlikely that Summers could have gone public with his anti-EFCA statement without the knowledge of -- and perhaps even nod from -- his commander in chief.

The challenge to the labor movement is immense. None of the leaders of the labor movement to my knowledge challenged Summers for his anti-union statement in the ad published in The New York Times. Brother Harry Kelber called them to task for this -- and he was absolutely right to do so.

And then you have SEIU President Andy Stern and his statement to The Nation magazine on December 10, 2008, according to which the task of the labor movement today is "to make sure that what the President wants to get done, gets done" -- and NOT to put forward our own labor agenda if this creates friction with the employers and the new administration. Stern stressed the need to pursue "interdependence" with the employers and the government -- not to push for our "independence" (meaning NOT to present and fight for our own class interests, independently, if this meets with opposition from the corporate class).

So, should the labor movement now backtrack on EFCA and fight for the best-possible alternative thrown at us by the robber class, as Sister Cindy Sheehan calls the corporate elite who rule this country?

No! To abandon our agenda would be suicidal.

Obama has made it clear to all who wish to look reality squarely in the face that his top priority is to bail out the banks and the profiteers. The Obama-Geithner TARP 2 program makes the Paulson-Bush plan look mild in comparison. Obama is throwing trillions (not just hundreds of billions) at the banks and financial institutions -- through the Treasury and now the Federal Reserve -- with the hope this will "stabilize" the financial institutions and get the credit lines flowing once again to the real economy. But even the most optimistic economists note that it is unlikely this new Wall Street bailout will create enough jobs to get the country out of the recession any time soon, if at all.

Nobel-winning economist Joseph Stiglitz and countless others (who cannot be suspected of having an "ideological agenda") have exposed the misguided and brazenly pro-corporate character of the Obama-Geithner plan, calling it "open theft" of U.S. taxpayers and noting that it is likely to devalue the dollar and hence wreak havoc with the bonds held by international creditors who have financed the U.S. debt. The situation is "very, very bad," Stiglitz writes, and it is only getting worse.

The solutions exist to get the country out of this deepening recession (fast becoming a Depression) and to bail out working people, who are not responsible for the economic crisis. The Workers Emergency Recovery Campaign (WERC) has put forward a 10-point plan -- based on a lengthy and detailed document produced by the San Francisco Labor Council in close collaboration with economist Jack Rasmus -- that has obtained widespread support nationally. Similar proposals have been put forward by other coalitions across the country. [See the WERC platform at www.wercampaign.org.]

The key today is for the labor movement to wake up to this new reality and to begin taking action, independently, in alliance with its community allies. We need to mobilize hundreds of thousands, if not millions, of our members and supporters in the streets in the coming months -- as we did in the Solidarity Day mobilizations of years past -- to say:

- Bail Out Working People -- Not the Banks!
- Pass the Employee Free Choice Act Now!
- No Layoffs: For a Massive Job-Creation Program!
- Tax the Rich/Progressive Taxation!
- Single Payer Healthcare Now!
- Money for Education, Social Services and Healthcare -- Not for War!

On November 4, the working class majority voted for Change -- Real Change. They are frustrated and deeply anxious about the administration's performance during its first 100 days. From all quarters people are saying, "It is now up to us to impose the changes that we need." Others are saying: "Obama wants to do the right thing, but he is surrounded by Wall Street bankers and pro-war generals; we must push Obama to do what he wants to do but cannot do without our help."

Whatever the illusions or lack of illusions in the new administration, one thing is clear: Working people want jobs, affordable housing for all, healthcare for all, quality public education and social services for all, and peace. This is what they voted for, and this is what the expect and need -- today. But the way things are going, they are not going to get any of this unless millions of people -- led by the unions and their coalition allies -- mobilize to fight for their own interests.

Building this fightback is the goal of the Workers Emergency Recovery Campaign. We hope you will join us in promoting this effort in your workplace, in your union and in your community. Please contact us today!

The time is NOW!

-- Alan Benjamin
Co-Editor, Unity & Independence
Organizer, WERC

********************


Our "Honest" President?-Financial Industry Paid Millions to Obama Aide
http://www.nytimes.com/2009/04/04/us/politics/04disclose.html?_r=1&hp
Financial Industry Paid Millions to Obama Aide
By JEFF ZELENY
Published in New York Times: April 3, 2009

WASHINGTON - Lawrence H. Summers, the top economic adviser to President Obama, earned more than $5 million last year from the hedge fund D. E. Shaw and collected $2.7 million in speaking fees from Wall Street companies that received government bailout money, the White House disclosed Friday in releasing financial information about top officials.
Mr. Summers, the director of the National Economic Council, wields important influence over Mr. Obama's policy decisions for the troubled financial industry, including firms from which he recently received payments.

Last year, he reported making 40 paid appearances, including a $135,000 speech to the investment firm Goldman Sachs, in addition to his earnings from the hedge fund, a sector the administration is trying to regulate.

The White House released hundreds of pages of financial disclosure forms, which are required of all West Wing officials. A White House spokesman, Ben LaBolt, said the compensation was not a conflict for Mr. Summers, adding it was not surprising because he was "widely recognized as one of the country's most distinguished economists."

Mr. Summers's role at the White House includes advising Mr. Obama on whether - and how - to tighten regulation of hedge funds, which engage in highly sophisticated financial trading that many analysts have said contributed to the economic collapse.

Mr. Summers, a former president of Harvard University, was Treasury secretary in the Clinton administration. He appeared before large Wall Street companies like Citigroup($45,000), J. P. Morgan ($67,500) and the now defunctLehman Brothers ($67,500), according to his disclosure report. He reported being paid $10,000 for a speaking date at Yale and $90,000 to address an organization of Mexican banks.

While Mr. Obama campaigned on a pledge to restrict lobbyists from working in the White House, a step intended to reduce any influence between the administration and corporations, the ban did not apply to former executives like Mr. Summers, who was not a registered lobbyist. In 2006, he became a managing director of D. E. Shaw, a firm that manages about $30 billion in assets, making it one of the biggest hedge funds in the world.

"Dr. Summers was not an adviser to or an employee of the firms that paid him to speak," Mr. LaBolt said.

He added, "Of course, since joining the White House, he has complied with the strictest ethics rules ever required of appointees and will not work on specific matters to which D. E. Shaw is a party for two years."

A review of hundreds of pages of financial disclosure forms on Friday evening offered an extensive portrait of the wealth of top officials in the Obama administration. The forms detail the salaries, bonuses and investments of the president's circle of advisers, many of whom took deep pay cuts from the private sector and sold their companies to work at the White House.

David Axelrod, who was the chief campaign strategist to Mr. Obama and now serves as a senior adviser to the president, reported a salary of $1 million last year from his two consulting firms. Over the next five years, according to his disclosure form, he will get $3 million from the sale of the two firms, which provide media and strategic advice to political clients. He listed assets of about $7 million to $10 million, and reported a long list of Democratic clients and a few corporate concerns, including AT&T and the Exelon Corporation, a nuclear energy company.

The disclosure forms also shed further light on the compensation received by a top Obama aide who previously worked for Citigroup, one of the largest recipients of taxpayer bailout money. The aide, Michael Froman, deputy national security adviser for international economic affairs, received more than $7.4 million from the company from January 2008 to when he joined the White House this year.

That money included a year-end bonus of $2.25 million for work in 2008, which Citigroup paid him in January. Such bonuses have prompted political controversy in recent months, including sharp criticism from Mr. Obama, who in January branded them as "shameful."

The White House had previously acknowledged that Mr. Froman received such a year-end bonus and said he had decided to give it to charity, but would not say what it was.

The administration said Friday that Mr. Froman was working on giving the $2.25 million to a combination of charities related to homelessness and cancer, which took the life of his son this year.

The remainder of Mr. Froman's earnings from Citigroup included deferred compensation and bonuses for work performed in prior years, as well as a $2 million payment for waiving his carried-interest stake in several private equity funds.

The White House said Mr. Froman decided to take the buyouts to avoid having to recuse himself from foreign-policy issues related to the funds' investments, like India infrastructure, which means he would be taxed at ordinary income rates on the money.

Millionaires work in a variety of positions across the administration, and they includeDesirée Rogers, the White House social secretary. Ms. Rogers, a close Chicago friend of the Obama family, reported income of $2.3 million last year. She earned a salary of $1.8 million from People's Gas & North Shore Gas, along with three other sources of income from serving on insurance company boards.

Thomas E. Donilon, the deputy national security adviser, reported earning $3.9 million as a partner at the Washington law firm O'Melveny & Myers. His disclosure form says major clients included Citigroup, Goldman Sachs and Apollo Management, a private equity firm in New York that specializes in distressed assets and corporate restructuring.

Mr. Donilon is also entitled to future pension payments from Fannie Mae, where he worked from 1999 to 2005.

Reporting was contributed by Peter Baker, David Johnston, David D. Kirkpatrick, Eric Lipton and Charlie Savage.


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Disclosure Forms
Selected financial disclosure forms (pdf) for top appointed administration officials, released by the White House:
David Axelrod, senior adviser
Melody Barnes, director, Domestic Policy Council
Carol M. Browner, climate czar
Cassandra Quin Butts, deputy White House counsel for domestic policy and ethics
Gregory B. Craig, White House counsel
Thomas E. Donilon, deputy national security adviser
Rahm Emanuel, chief of staff
Michael Froman, deputy national security adviser
Jason Furman, deputy director, National Economic Council
Valerie Jarrett, senior adviser
James L. Jones, national security adviser
Desirée Rogers, White House social secretary
Lawrence E. Summers, director, National Economic Council
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