Archive for February, 2009

Historic Day for UC Service Workers

February 13th, 2009

After a year and a half of bargaining, service workers at the University of California have voted overwhelmingly to approve a contract agreement which was tentatively reached on January 28.

The 8,500 workers, members of AFSCME Local 3299, include custodians, gardeners, food service workers and drivers. The contract includes significant wage increases, a pay system that rewards seniority, and a first-time ever statewide minimum wage for their job classifications.

Lakesha Harrison, President of Local 3299, says the agreement goes a long way toward ending poverty wages at UC:

“After a year and half of negotiations, this is truly a historic day. We have gone on strike, held informational pickets, lobbied, ran television commercials and many other things that were key to get UC executives to do the right thing and readjust their priorities from executives to the lowest paid workers at UC.”

Read Local 3299’s press release, and visit their website for more details on the agreement.

America’s Vital Public Services

February 12th, 2009

“State lawmakers can expect some relief from the federal stimulus package — but it is far from a cure-all.” That is the conclusion reached in an extensive article by Ashley Powers and Richard Fausset in the Los Angeles Times Sunday.

The budget-cutting plans that have emerged from state capitols so far have a potential effect on almost everyone. Parks will close. Environmental programs will be scaled back. Bus and ferry routes will shut down, possibly sending more drivers onto clogged streets and highways. Schools may go without school nurses, and classes may become more crowded. Sick people who rely on state health programs may instead get sicker.

The vital public services at risk include health care and unemployment programs that give families some needed security during difficult economic times, law enforcement and education that provide our communities hope and stability. At a time when families most need the services and programs that state governments provide, states are least able to meet their responsibilities.

The article illustrates how hard those cuts can hit.

Nevada resident Margaret Frye-Jackman, 71, was diagnosed in August with ovarian cancer. She had two rounds of chemotherapy at University Medical Center, the only public hospital in the Las Vegas area. Soon after, she and her daughter heard the news on TV: The hospital’s outpatient oncology services were closing because of state Medicaid cuts. Treatment for Frye-Jackman and hundreds of other cancer patients was eliminated.

While some may find a way to pay for expensive treatments, others may not be so lucky when their states cut health services.

As AFSCME International President Gerald McEntee said in December, “We can’t recover from this mess and put people back to work if we are gutting the public services that are vital to our communities.”

Congress needs to pass the economic recovery plan quickly to create as many jobs as possible and reinvest in the long term progress of our communities. And assistance to state and local governments must be a cornerstone of that effort.

Cantor’s Odd Response

February 12th, 2009

This week, AFSCME and Americans United for Change unveiled a series of ads targeting the Republican leadership in the Congress who have been working to scuttle President Obama’s jobs and economic recovery bill.

In an attempt to dismiss the issue, the office of Minority Whip Eric Cantor (R-VA), one of the chief obstructionists in the House, sent out a profanity-laced video in response. After being roundly criticized for this reaction to a very serious situation, Cantor’s spokesperson issued an apology which AFSCME President Gerald W. McEntee has accepted.

The controversy was featured as the top story on MSNBC’s “Countdown with Keith Olbermann” last night:

The AFSCME ads and Cantor’s response were covered by media organizations and blogs across the country:

No Is Not an Option

February 11th, 2009

AFSCME and Americans United for Change have joined together to run television and radio ads this week in key congressional districts and states to encourage members of Congress to support President Obama’s American Recovery and Reinvestment Act.

“The partisan bickering has got to stop,” said AFSCME International President Gerald McEntee. “This is a time of national crisis. Congress needs to come together in support of President Obama’s recovery plan. The time for action is now.”

House Republican Whip Eric Cantor told the Washington Post on Monday that Republicans are “Just Saying No” to the Obama recovery plan. A national cable spot titled “No is Not an Option” challenges the Republican congressional leadership for standing in the way of this important legislation to get our economy moving again, create jobs and help states struggling to maintain the vital public services – such as health care, unemployment insurance and family services – that families and communities rely on in these days of crisis.

AFSCME and Americans United are also running radio ads aimed at 21 representatives and senators titled “Second Chance,” to remind voters that their member of Congress voted against the Obama plan. The ad reminds listeners that in January nearly 600,000 were lost and encourages members of Congress to make good on their second chance to do the right thing by supporting the President’s plan to jumpstart the economy and create jobs.

“During the last two weeks, AFSCME members have sent more than 40,000 messages – handwritten letters, emails and phone calls – to members of Congress,” said McEntee. “We will redouble our efforts in the days ahead to push for final passage of this essential legislation.”

UPDATE: Rep. Eric Cantor, the Republican Whip and one of the chief obstructionists in the House, responded to these ads by sending out a link to a profanity-laced YouTube clip in an attempt to denigrate our workers and belittle the hardships being suffered by Americans. Cantor’s response was covered by Greg Sargent on the Plum Line, and by Politico.com writers Ben Smith and Glenn Thrush.

AFSCME President Gerald W. McEntee issued this brief statement in response:

“Eric Cantor may think the greatest economic crisis in seventy years is a joke, but we don’t. He should talk to the people in Virginia who are losing their jobs, health care and homes.”

Brad Woodhouse, President, Americans United for Change:

“Does Eric Cantor believe that peddling profanity-laced filth around the Internet is consistent with the values of the people of Virginia or the country? This is childish, inappropriate and disgusting behavior from someone who is supposed to be a leader in Congress and a role model to others. Eric Cantor’s response to one of the most serious crises facing America in our lifetimes is to spread this filth, denigrate government employees and treat the current economic crisis like a joke. This video has been floating around on YouTube for years – but Eric Cantor’s use of it in this context shows how completely and utterly out of touch he is with the current economic crisis and the lives of his constituents. Eric Cantor should be ashamed and he should apologize.”

AFL-CIO President John Sweeney:

“During these tough economic times the last thing hard working Americans need is to be ridiculed by a member of the Republican leadership. Rep. Cantor should apologize for insulting America’s workers with this profane video.”

An Important Step

February 10th, 2009

The Senate has voted 61-37 to pass President Obama’s jobs and economic recovery plan, and the bill now goes to the House-Senate conference committee.

AFSCME President Gerald W. McEntee released the following statement praising the Senate vote while calling on Congress to quickly come to an agreement on the final bill:

“Working families need help and they need it now. Today, the Senate took an important step in providing that help. We are pleased that the Senate version of the American Recovery and Reinvestment Act maintains much of the funding the House approved to help states struggling to maintain the vital public services – such as health care, unemployment insurance and family services – that families and communities rely on in these days of crisis.

“This bill is not perfect. AFSCME strongly supports a recovery plan that creates or saves the highest number of jobs possible. The Senate cut job-creating investments in education and law enforcement. We strongly urge the restoration of these funds during conference negotiations, though not at the expense of the other stimulative public investments already in the bill. It is essential to pass a recovery plan as quickly as possible. We are experiencing the greatest economic crisis in more than seven decades. With each passing day, more workers are laid off, more families lose their homes and more factory doors close. During the last two weeks, AFSCME members have sent more than 40,000 messages – handwritten letters, emails and phone calls – to members of Congress. We will redouble our efforts in the days ahead to push for final passage of this essential legislation.”

Obama Jobs and Recovery Plan Update

February 9th, 2009

A special update from AFSCME Legislation Department director Chuck Loveless on the Obama “American Recovery and Reinvestment Plan” legislation.

Today the Senate will likely hold a critical vote on the economic recovery plan. Because of obstacles by the Republican leadership, who want to kill the bill altogether, we need to win 60 votes for the bill today and again tomorrow when there will be a vote on final passage.

With 600,000 workers losing their jobs last month, the time to pass a recovery bill is now.

While the Senate bill includes significant aid to state and local governments, it has less aid than the House bill. In particular, education funding is reduced substantially in the Senate bill. However, once the Senate passes its bill, compromises between the House and Senate versions will be negotiated. AFSCME will be fighting to improve funding so that we end up with a bill that protects education and other vital public services and creates the most jobs.

Thousands of AFSCME members are making a difference. I have personally heard from senators and representatives in Congress that our calls and letters are working. We need to keep the pressure up to make sure that we have an economic recovery bill that works for working people.

We have set up a special system so all you need to do is click on this link and enter your cell phone number to make your call. Tell them to vote YES for President Obama’s “American Recovery and Reinvestment Plan.”

End the Madness of Excessive CEO Pay

February 6th, 2009

This entry by AFSCME President Gerald McEntee is cross-posted from The Huffington Post and Oxdown Gazette.

For years, AFSCME has been leading the fight to rein in the grotesque and excessive paychecks that unaccountable boards of directors have been giving too many of America’s CEOs. We’ve fought shareholder battles and taken our case to the media, arguing that directors who approve exorbitant salaries for executives cheat shareholders and workers. We created a network of institutional and individual investors that fights to get shareowners a voice on executive compensation packages and in the boardrooms of major corporations. But the CEOs want their sky-high pay guaranteed even when they fail, so they’ve fought us every step of the way, building thick walls of resistance to pay reform.

Finally, we’re beginning to knock down the wall. As unemployment reached a 30 year high this week, President Obama took the case to the American people. "We all need to take responsibility," the President said on Wednesday, "and this includes executives at major financial firms who turned to the American people, hat in hand, when they were in trouble, even as they paid themselves their customary lavish bonuses." The President called excessive pay and bonuses "the height of irresponsibility." More importantly, he laid the responsibility for our country’s economic crisis right in the hands of CEOs who have put greed ahead of the well-being of everyone else. "That’s shameful," the President said.

President Obama decried the "culture of narrow self-interest and short-term gain at the expense of everything else" that has produced countless tales of corporate irresponsibility. For example, Martin J. Sullivan ran AIG, the giant insurance and financial services firm, into the ground. He was fired, but walked away with a severance package estimated at $47 million. He wasn’t alone. At a time when taxpayers were handing over $700 billion to bailout failing banks, the top echelon of the banks collected more than $18 billion in bonuses.

Benefits and pay for most Americans are being cut to the bone, jobs are disappearing, health care costs are skyrocketing and working families are struggling to make ends meet. Yet, CEOs are paid an average of 344 times more than average workers. This madness has to end. Unjustified executive salaries are padded with generous benefits, bonuses and contracts with so-called golden parachute provisions. The boards of directors in their pockets even offer golden coffins, corporate death benefits that continue to be paid out years after the CEO has died. So much for pay for performance.

That’s why it was heartening to hear the President pledge that our taxes wouldn’t be spent to line the pockets of those who already get too much. "For top executives to award themselves these kinds of compensation packages in the midst of this economic crisis is not only in bad taste – it’s a bad strategy – and I will not tolerate it as President." Yesterday, the Senate followed the President’s lead and passed two important amendments to the President’s jobs and recovery legislation. Senators adopted an amendment from Senator Claire McCaskill (D-MO), which imposes a $400,000 salary cap, what the president of the United States makes, on officers and directors at firms that receive bailout funding from the Treasury Department. This is an important first step in bringing some common-sense into the payouts we’re being asked to make to the country’s failing banks.

The Senate also adopted an amendment offered by Senator Christopher J. Dodd, (D-CT), chairman of the Banking Committee, to prohibit bonuses and other incentives for at least the 25 most highly paid executives at firms that receive bailout funds from the Treasury Department. Senator Dodd’s amendment would also require the Treasury Department to conduct a retroactive review of bonuses given out by the firms.

As the meltdown of the financial sector has illustrated, the perverse system of excessive pay, even for failure, created incentives for unwise risk-taking by major financial institutions that have contributed to the worst economic collapse since the Great Depression. The President’s announcement Wednesday and the Senate’s actions yesterday, signal a real and dramatic effort to fix the corrupt and broken system.

Now, for the first time in memory, our political leaders are taking action that can lead to accountability and reform. But more must be done. It’s time to stop rewarding corporate executives for failure. Shareowners must have a say on executive pay. It’s time for Congress to pass legislation that gives shareholders a voice in how top corporate executives are paid and a chance to elect directors who will represent shareholder interests. We need bold action to bring these rampant abuses to an end.

It’s Happening Today

February 5th, 2009

President Obama’s Jobs and Economic Recovery bill is under attack. Senator Chuck Grassley (R-IA) has introduced amendments to the bill that slash state and local public services and reduce funding for Medicaid. Even if you’ve already taken action in the past few days, we need your help — again. These amendments will be voted on TODAY.

Please call your senators right now by using our click-to-call tool. Tell them to vote “YES” on the Obama jobs and economic recovery bill and “NO” on amendments that slash funding.

Rush Limbaugh and the right wing are trying to sink the economic recovery bill. They want President Obama to fail — and they don’t care if they take the entire country down doing it. You can stop them. Call your senators right now.

If you get a busy signal or no answer when you call the Capitol, please keep trying until you get through. And please let us know how you made out by reporting your calls.

Public Health Insurance Option Wins Strong Support

February 5th, 2009

A new poll released by the Health Care for America Now coalition shows broad public support for including a public health insurance plan as part of comprehensive health care reform. According to the poll, 73 percent of voters support having a choice of a public health insurance plan as part of health care reform. The advantage? It will lower costs, improve quality, and increase competition – a good deal all around.

“Voters believe a public health insurance plan option will increase competition, contain costs, and help control the cost of health care. They believe it will give private insurers incentives to control their costs and become more efficient, not less.”

According to a study by Jacob Hacker of the University of California Berkeley School of Law’s Center on Health, Economic & Family Security, with this type of health care reform, we can save $1 trillion over ten years and improve the quality of care. That’s why a public health insurance plan that competes directly with private insurers has wide support.

There’s universal agreement in our country today that health care costs are not only a huge economic issue but one of the top economic concerns of American families. Health insurance premiums are going up three times faster than pay, and many working families are shouldering a growing – and unfair – share of the costs. This is an untenable situation. We must bring change to how we approach health care in our country right now. We can’t afford to wait any longer.

Urgent Update on Obama Recovery Plan

February 4th, 2009

A special update from AFSCME Legislation Department director Chuck Loveless on the Obama “American Recovery and Reinvestment Plan” legislation that is now in the Senate.

I have been in this business for more than 25 years, and never has there been a more urgent situation for public service jobs—and the entire economy.

President Obama’s economic recovery plan — legislation that helps Main Street — is in trouble.

That’s why we’re asking everyone — that means you — to make a call right now to your Senators. We have set up a special system so all you need to do is click on this link and enter your cell phone number to make your call. Tell them to vote YES for President Obama’s “American Recovery and Reinvestment Plan.”

I’ve heard from AFSCME members across the country who are fighting furloughs, layoffs, and other cutbacks while at the same time dealing with a crushing demand for services. Meanwhile, Wall Street executives have given themselves record bonuses. That’s an outrage.

The Obama legislation will create jobs and jumpstart the economy. It will also save public service jobs by providing billions of dollars in aid to state and local governments for Medicaid, education, law enforcement, transportation, unemployment insurance operations and other vital public services.

Republicans and Democrats alike should support Obama’s bill. Yet not one Republican voted for it when it passed in the House last week. Now there is an organized conservative campaign to stop it in the Senate. Rush Limbaugh has said outright that he hopes Obama “fails.”

As you read this, Senators are deciding how they are going to vote. Your Senators need to hear from you now. Please click here right now to call your Senators.

As AFSCME’s Legislation Director, I talk with members of Congress every day. I can tell you for a fact that your calls make a difference.