Thursday, December 13, 2012

Michigan Right To Work – Not Republican vs. Democrat – Survival of a State versus Political Clout of the Unions – Survival of Politician’s who fail to recognize the Power of the Taxed.

An ad to hire "organizers" to protest Michigan Governor and Right To Work Passage - the outsource! image from

A Reuters Retrospective article entitled “How Republicans engineered a blow to Michigan's powerful unions” somehow misses the mark – or more to the point, takes the position of the news services in general – that the Union is right and the “right to work” laws in 24 states are somehow politically motivated to dissolve union power. That argument might be made on the one hand, because those who are in a political position (State Senators, State Legislators, Governors) in the states where the “Right to Work” laws are either on the books or in the process, are generally Republican. While the national unions and the union bosses and organizers are generally Democrats, or give heavily to Democrat candidates in order to facilitate lobbying (otherwise known as bribes.) However, one might consider the more salient point that those states politico’s are listening to constituents who have simply had enough of the economy and are pressing, hard, on changing the status quo. Therefore, Welcome to 2010.

In 2010 there was a bit of a movement, anti-tax and pro government fiscal responsibility – it became dubbed as the “Tea Party”, but comprised several different movements, of people, ordinary, previously non-political, ordinary people. These ordinary fed up American’s wrote letters, stood on street corners in protest of the rise in the national debt, they were concerned about raising taxes, about the new health care legislation and how it would affect the nation, and about job losses in an ever weakening economy. Many rose to the occasion and ran for public office, some for Congress, sixty of those ended up winning, and an historical number of new “Republicans” were sent to Washington.

There have been many pronouncements since, how the Republican’s lost the 2012 election, and pointed the finger at these fiscal conservatives. However, the Republican leadership lost the election, the conservative ideals that the new Congressional Representatives brought to Congress in2010, did not get there because of the Republican Brand; they got there because of the “Tea Party” brand. The Tea Party principles were what prompted these individuals to get elected in the first place. Had a standard Republican run in 2010 – they would have lost.

Yes, Mitt Romney’s loss was a shocker, blame the software, blame the Republican Establishment (or both), but leave those who worked the hardest, The Tea Party – out of it. The principles of those who identify with the Tea Party – are based on the Constitution – not on a political platform of a major political party. That has never gone away – and in Wisconsin, in 2011, when the state’s Governor Scott Walker, signed into law the right to work laws, the riots too place, the news media was condemning, and in a recall effort by the States’ Democrats (and outside forces), Walker won the recall with a majority of the votes cast in the state. Enough said. The State of Wisconsin’s economy improved, the towns and cities were given a breather, and above all else, the laws made sense. One can either join a union – or not. It is choice that is given. Those states that have right to work laws enjoy a healthier economy simply because the unions, with demands that are often past what public sector workers enjoy, and the threat of constant strikes, the inability to fire a blatantly unqualified, or incompetent worker are not automatically in the driver’s seat with employers. This invites small business to expand without the fear of a Union strike or demands bankrupting a company and put them, and their employees out of business.

Michigan is in a state of desperation – the City of Detroit is bankrupt, the unemployment is higher, the tax base has eroded and there is little a government can possibly do without taxpayers (both corporate or individual) as Governments do not have an income other than taxes. (State, Federal or City). There were few options on the table – there were city councilors in Detroit begging the President to bail them out – because they “reelected him”. There was desperation. The anger and violence displayed by union protestors is something that the State Government had to deal with in order to give workers in the state the option to join or not to join. – but prevailed. Michigan may soon find itself out of the woods. Those union employees will still have jobs, and so will their neighbors, who are no longer under the cloud of having to join a union in order to have one.

The next state that should look at a right to work law is California. California has municipalities that can no longer afford to pay city employees pensions, or to provide services - such as police and fire, the taxes in the state have driven the population that wants to work over the border into nearby Texas. Texas is a right to work state that enjoys a booming economy. It’s all about the politicians however, and the relationship between those politicians in California and the public employees unions. The State Government is similar to Massachusetts where the makeup is almost entirely one party – Democrat, those Unions work hard to keep those Democrats in office, because on the city and state level, that means unions are guaranteed pension hikes, wage hikes, and privileges in return. (See Bribery)

What happens however, when the money runs out? Apparently no-one in California’s political class is asking that question or remotely concerned. Sooner or later the Federal Government is going to find itself in the same position (technically it already has). The Stimulus from 2009 is gone, replaced by an every growing federal “investment’ in food stamps, disability, and unemployment compensation and Medicaid payments to states. Therefore, when the tax revenues aren’t there for either the State or the Federal Government – (those programs by, the by, are responsibility of the state, after the Federal government runs out of cash), those programs will go unfunded. That translates into no money to pay pensions, Medicaid (Doctors, hospitals), food stamps, unemployment insurance, and the list goes on. Those individual who rely on the government for assistance (47% has been mentioned), will simply be cut off. All of this could have been avoided, had there been a bit of simpatico between those who believe in tax increases to infinity, and those who believe in reining in ridiculous spend gin on the State and Federal level.

Watch out for 2014 elections. One can hazard to guess, at this point, that anyone with an R or a D in front of their names who are known to be less than fiscally conservative (yes there are fiscally conservative Democrats) will be out of a job. The general Taxpayer is about to get hit (the real Fiscal Cliff), with additional taxes, both in income tax (end of the Bush Tax Cuts), and in increased costs for health insurance (a $63.00 surcharge per individual covered under existing plans will be assessed to cover the cost of covering pre-existing conditions mandated by the Health Care Act.) Those affected, regardless of which state they live in, will either defend a politician who has a proven record of voting against any of the aforementioned, or fire them. (Hint, opening all states to competion by allowing unlimited health insurance carriers to offer products across state lines would drop the premium like a hot rock -simply because it would widen the pool of high claims, and the cost to absorb those claims would lessen.)

Michigan was just the beginning of a purge of greedy politicians and lobbyists that have no regard for those who brung them, nor for the taxpayer and employee who keeps them in high style Therefore, it is not about Republicans or Democrats, it’s about politicians in general and the public who pays the piper. Anyone who thinks otherwise cannot see the forest.

Why are unions desperate to keep their hold on the Private Sector, the States, the Federal Government and the Cities, towns and municipalities?


The average salaries of the union leaders and members are available at Supplied by the U.S.Department of Labor - These figures are real eye-openers for both the general public and union membership.

A sample: The top ten paid union officials make an annual salary ranging from $330,503.00 to a low of $198,000. That is not an outrageous salary for a private sector CEO or V.P., however, these salaries come from union workers dues, rather than from a corporation that makes actual money.

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