Tag Archives: Secretary of Labour

Score One For We The People!

Posted on by under Economic issues, History, Political commentary, Social commentary

Far too often the people who work to make, sell and distribute a product or service are not the ones who are enjoying the profits of their labours – the corporate CEOs are using the product of the workers’ blood, sweat and tears to enhance their own profits, to buy yachts, mansions, vacation homes, and private airplanes.  This week may have given us a glimmer of hope that workers do have some power to change things, albeit minimally.  Robert Reich was Secretary of Labour for four years (1993-1997) under President Bill Clinton, so he knows of what he speaks when it comes to unions and contract negotiations.  Here’s what he has to say about the UPS negotiations and tentative agreement …

UPS and the summer of our labor discontent

Are we witnessing the stirrings of a stronger labor movement?

By Robert Reich

26 July 2023

Good and important news on the labor front (from your former labor secretary).

What would have been one of the biggest labor strikes in U.S. history has likely been averted, as Teamsters reps agreed to a tentative contract with UPS. The contract must now be voted on by the 340,000 unionized UPS workers.

The tentative deal reportedly includes $30 billion in wage increases for all UPS employees (including part-timers), elimination of the two-tier wage system, the establishment of MLK Day as a paid holiday for all workers, and a ban on driver-facing cameras in truck cabs as well as forced overtime on drivers’ scheduled days off. 

Oh, and the installation of air conditioning and fans in delivery trucks.

Temperatures in the back of delivery trucks have reportedly reached 120 degrees, which has resulted in over 140 UPS employees suffering severe heat and dehydration-related injuries since 2015.  One California driver died while delivering packages last June.

As a result of the tentative agreement, air conditioning will be equipped in new delivery trucks while existing trucks will receive additional fans and air induction vents to protect drivers. 

Folks, never underestimate the power and importance of labor unions.

UPS is one of the most profitable delivery companies in the world. In the past two years, its profits grew close to THREE TIMES what they were before the pandemic.

The company also spent $8.6 billion on stock buybacks and dividends in 2022, while paying its CEO $19 million — a figure 364 times higher than the earnings of the company’s median employee

UPS workers rightfully wanted a bigger piece of the pie they helped create, and better safety protections while on the job.

As we’ve seen across so many industries, major corporations are making big bucks off the backs of their workers — many of whom were quick to be labeled “essential” as they risked their lives throughout the pandemic. 

But working people everywhere have seen their hard work result in stagnant wages while CEOs, other top executives, and major investors do gangbusters.

Forty years of union-busting and trickle-down economics has made the rich richer, while eviscerating the American working class.

That’s why UPS workers fought back. And why over 320,000 other unionized workers across various industries have gone on strike so far this year. They are organizing to rebuild worker power and demand the pay and dignity they deserve.

Never forget this: Working people outnumber the billionaires and CEOs.

If workers stand together, they will win.

It’s an old-fashioned idea that’s as true today as ever. It’s called Solidarity.

Unfortunately, after decades of union-busting and so-called “right-to-work” states, only 6 percent of private-sector workers are unionized today. When I was a kid in the 1950s, a third of all private-sector workers were unionized.

Which goes a long way to explaining why in the three decades after World War II, America created the largest middle class the world had ever seen. And why, starting in the 1980s, that middle class has hollowed out — creating anger and anxiety that’s been channeled by cynical, power-hungry politicians into racism, xenophobia, and rage.

Does this summer of labor discontent signals that the pendulum is about to swing back?

From my perspective, it’s about damn time, and I hope this sets a precedent for other industries!  Oh, and don’t worry — the rich will still have their yachts and eat steak & lobster every night — the only thing that will be even slightly damaged will be their egos.

Finally … A Good Pick? Maybe …

Posted on by under Political commentary, Social commentary, Trump's Staff Picks

Last night (Wednesday), Trump’s nominee for Secretary of Labour, Andrew Puzder, withdrew from consideration. The reason is likely that he did not have a snowball’s chance in hell of surviving his confirmation hearing, scheduled for Thursday, after even Mitch McConnell, the chief boot-licker in Congress, said that Puzder could not possibly win enough votes for confirmation.  I wrote about Puzder  back in early January, and did not view him as a good fit for the office.  But my concerns, such as the fact that he is against raising minimum wage rates, supports repealing ACA, criticizes sick leave policies, and uses sexist advertising in his businesses, are not what doomed his nomination.  No, what doomed his nomination was that he came out in support of legalized immigration!  The man finally said one thing that made sense, and he is politically murdered for it!  No less than seven Republican senators said they would not vote to confirm Puzder.  Five of these seven actually voted to confirm the likes of DeVos and Sessions, however.

But Puzder is gone … good riddance … and this brings me to a potential bright spot on the otherwise dark horizon:  Alexander Acosta, Trump’s choice to replace Puzder as nominee for Secretary of Labour.  Everything I have read about Mr. Acosta points to a man who seeks to serve justice rather than to ‘win at all costs’.  He appears to be a man who has the courage of his convictions, and I only wish he had been nominated for the position of Attorney General rather than the racist lout who was placed in that all-important position.

A bit about Acosta’s background:

  • He is a Harvard Law School graduate who clerked for Judge Samuel Alito, at that time a judge for the United States Court of Appeals for the Third Circuit, for a year after graduation.
  • He then worked for a D.C. law firm where he specialized in employment and labor issues.
  • Appointed by President George W. Bush in 2002 and confirmed by the U.S. Senate, he served on the National Labour Relations Board.
  • In 2003, he was appointed Assistant Attorney General for the Civil Rights Division of the United States Department of Justice.
  • In 2005, he was appointed United States Attorney for the Southern District of Florida, where he served until 2009.
  • Since 2009 he has served as Dean of dean of Florida International University College of Law.
  • In 2012, Acosta participated in a panel discussion called Immigration Policy and the Hispanic Workforce, and he talked about the importance of creating a pathway to citizenship for undocumented immigrants.

I am particularly impressed by the stands he has taken in the area of civil rights, particularly the rights of immigrants.  In 2011, Acosta testified before Congress about the importance of protecting the civil rights of Muslim Americans. He said to the committee that “we are a nation build [sic] on principles of freedom, and high on the list of freedoms is freedom of religious expression. Indeed, as is well known to this Committee, this freedom pre-dates our Constitution.”  He goes on to talk about the importance of the president speaking up to defend Muslims.

“Our nation is strong because we respond to attack with resolve. History has shown the need, however, for leadership that tempers resolve with wisdom. President George W. Bush understood this, when on September 17, 2001, he visited the Islamic Center of Washington D.C. to remind a resolute nation that ‘those who feel like they can intimidate our fellow citizens to take out their anger…should be ashamed of that kind of behavior.’ This was not the message many Americans wanted to hear at that time, but the President chose to lead, rather than to be led.” 

The senate has confirmed Acosta three times in the past, which is certainly encouraging, however the Acosta nomination is not without problems.  The main one is likely to be the controversy over a plea bargain his office arranged in 2008 when he was a federal prosecutor in Miami.  A case was brought against wealthy financier, Jeffrey Epstein, a billionaire investor accused of having sex with underage girls.  Acosta agreed not to file any federal charges if Epstein pled guilty to state charges involving soliciting prostitution and soliciting a minor for prostitution. Epstein served 13 months of an 18 month sentence.  The controversy came about because the teenagers Epstein paid for sex were never adequately consulted about the plea deal or given an opportunity to object to it. Not surprisingly, Trump has ties also to Epstein and while some claim that Trump and Epstein were friends, Trump denies it.

Setting the above controversy aside for the moment, it would otherwise seem that Acosta is, unlike all other Trump nominees, a good fit for the job.  He is an advocate of civil rights, and has served in various labour-related positions, including the NLRB. So what, exactly, does the position of Secretary of Labour involve?

According to the United States Department of Labour:

“The Department of Labor (DOL) fosters and promotes the welfare of the job seekers, wage earners, and retirees of the United States by improving their working conditions, advancing their opportunities for profitable employment, protecting their retirement and health care benefits, helping employers find workers, strengthening free collective bargaining, and tracking changes in employment, prices, and other national economic measurements. In carrying out this mission, the Department administers a variety of Federal labor laws including those that guarantee workers’ rights to safe and healthful working conditions; a minimum hourly wage and overtime pay; freedom from employment discrimination; unemployment insurance; and other income support.”

I am not sure to what extent the Epstein controversy will play a role in Acosta’s confirmation hearings.  For the final conclusion, you will have to … stay tuned!

The Economy, Jobs, and Trump’s Choice for Secretary of Labour

Posted on by under Political commentary, Trump's Staff Picks

The final jobs report for 2016 was released last week by the Department of Labour.  The result was favourable for the month of December and the year.  The U.S. economy added 156,000 jobs in December, and just over 2 million jobs in 2016. Some economists had predicted a rise of 183,000 jobs for the month, so the numbers were slightly lower than that, but still positive.  The unemployment rate rose slightly to 4.7% from 4.6% at the end of November.  Still, it is lower than the ‘pre-recession’ rate of 4.8%, and a significant improvement over the 9.3% when President Obama took office in 2009.

“For most of the year, the unemployment rate has been hovering just under 5 percent, the lowest levels since 2007. Although the pace of employment growth in 2016 slowed compared to 2014 and 2015—the height of the economic recovery—last year’s numbers put outgoing President Barack Obama ahead of George W. Bush (but behind Bill Clinton) when it comes to job creation.

In 2009, when Obama took office, the U.S. labor market was facing record-high unemployment—the highest since the early 1980s recession—and job losses due to the financial crisis. In January of 2009—the month Obama was inaugurated—the American economy lost 791,000 jobs. Now—eight years later—the U.S. has experienced 75 consecutive months of job growth (emphasis added).” – Bourree Lam, The Atlantic, 06 January 2017

Nonetheless, Trump has consistently stated that, “Our jobs are fleeing the country,” and “Our country’s in deep trouble.” While I am past critiquing his rhetoric, and that is all this is, I see danger in the fact that he is primed to destroy the strongest economy we have had since the financial crisis began in 2008, under President George W. Bush.  He will inherit a strong economy, but how long can he keep it strong?  Especially considering that the holiday shopping season was underwhelming for major retailers, including Macy’s, Sears and Kohls, all of whom have already announced plans for store closures and job cuts in the near future.

puzder

Andres Puzder, another rich, white male

Last month, Trump chose Andrew F. Puzder as Secretary of Labour under his regime.  Like Trump’s other nominees, Puzder is a Trump-a-like, a wealthy businessman and political donor and has a long record of promoting a conservative agenda that takes aim at President Obama’s legacy. Some specifics that concern me about Puzder:

 

  • He has argued that the Obama administration’s recent rule expanding eligibility for overtime pay diminishes opportunities for workers.
  • He is against raising minimum wage, arguing that significant minimum wage increases would hurt small businesses and lead to job losses.
  • He has criticized paid sick leave policies.
  • He strongly supports repealing the Affordable Care Act, which he says has created a “government-mandated restaurant recession” because rising premiums have left people with less money to spend dining out. (Excuse me, but if people are dead because they could not get medical care, they cannot dine out anyway)
  • He said that increased automation could be a welcome development because machines were “always polite, they always upsell, they never take a vacation, they never show up late, there’s never a slip-and-fall or an age, sex or race discrimination case.”

A lesser issue, but nonetheless telling of the man’s values are the advertisements by his company, CKE Restaurants, which typically feature nearly naked women making suggestive gestures.  “I like our ads. I like beautiful women eating burgers in bikinis. I think it’s very American.”  Again, Trump-a-like.

Richard L. Trumka, president of the A.F.L.-C.I.O., said Mr. Puzder was “a man whose business record is defined by fighting against working people.”

The duties of the Secretary of Labour are to oversee the department responsible for investigation reports of violations of minimum wage, overtime and worker safety laws and regulations. Puzder’s company owns fast food restaurants, including Hardees and Carl’s Jr. stores, both of which have been investigated by the Department of Labour and in some cases fined or ordered to pay back wages.  Such are not uncommon in the industry, but I still find it indicative of a less than stellar reputation in the area of worker’s rights.

I am no economist, but this much I know: “If it ain’t broke, don’t fix it.”  The number of jobs in the nation has been increasing and improving for the past seven years, and Trump’s economic policies seem to me destined to slow, stop, or even reverse that trend.  However, as he wears blinders and is focused intently on reversing anything and everything that President Obama has done, I shudder to think what he and Puzder might do to our economy.  The repeal of ACA (Obamacare) alone is estimated to cost the U.S. some 3 million jobs.

Admittedly, this is a rather simplistic view, as jobs are only one part of the economic equation, and I have not mentioned average household income, or the trade deficit, which jumped in December. Both of those topics, however, are for another post. However, jobs are the part of the economy that the average working person cares most about, can relate to very personally, and can understand. Trade deficits are rather a vague concept to most, and they will not much care one way or another as long as they have a decent-paying job.  Cynical?  Yes, but also realistic.

Once again, as with so many others, I am convinced that Trump has picked the wrong man for the job.  But what do I know?