Behind the Right-Wing Attacks on Collective Bargaining

Reprinted from NEA Today

By Cindy Long

Despite opposition within its own GOP ranks, and several national polls showing that the public supports collective bargaining, Republicans in Wisconsin, Ohio, and a growing number of other states around the country are determined to strip the rights of public employees under the guise of balancing state budgets.

“We’re staying focused on reducing the cost of government and making Ohio competitive, and the first place to start is with our own budgets,” said Ohio Sen. Shannon Jones, the Republican sponsor of SB5, which eliminates public employee collective bargaining.

But trying to blame public employee salaries and pensions for budget shortfalls is a red herring. Republican-controlled legislatures around the country, from New Hampshire to Arizona to Florida, are attacking collective bargaining by scapegoating public employees for budget problems.

The Real Cause of State Budget Deficits

“You can tell it’s not collective bargaining that is causing these deficits because some of the worst state budget problems are in the small handful of states that prohibit public sector collective bargaining, states like Texas and North Carolina,” says Joseph Slater, a University of Toledo law professor, labor historian, and author of Public Workers: Government Employee Unions, the Law and the State.

As to the real causes, Slater points to the economic good times, when many states passed tax cuts, often for those in the upper income brackets, on the theory that it would lead to economic growth and not hurt state revenues. It didn’t work out as they’d hoped, and after the big economic collapse of 2008, states experienced huge budget shortfalls as unemployment decreased revenues, and investments lost money.

The Real Cause of Pension Underfunding

“It’s important to remember that the vast majority of states don’t allow unions to bargain over public pension benefits,” says Slater. It’s also telling that states with some of the worst pension problems have virtually no public unions.

So what did happen to public pensions?

The economic downturn, combined with the stock market crash of 2008, hit pension fund portfolios hard—reducing the value of some funds by 30 percent or more. A few years ago, many public pension plans were in the black, but after 2008, everyone took major losses, including corporate pension plans, which lost $900 billion of their equity holdings.

Also, when the stock market was producing double digit returns and housing prices were soaring, state governments made optimistic assumptions to figure out how much money to put into the pension plans – they made assumptions about how much state residents and pension plans would earn in the booming stock market, how much property values would increase, and how tax revenues would grow. Those rosy assumptions led some politicians to put less money into pensions and divert the funds to their pet projects.

Eliminating Collective Bargaining Does Not Save Money

When states try to reduce public salaries and pensions by eliminating collective bargaining, they take an economic hit in the long term. The lower the wages of public employees, the less discretionary income they have to spend in the local economy. The higher the wages, the higher the reinvestment into the economy. And research shows that most public employees stay – and spend – within the state after retirement.

Also, more and more studies are showing that public sector workers generally don’t make more money than private sector workers when you compare similar workers with similar jobs.

So then the debate shifts to questions of efficiency, says Slater.

“If you take away collective bargaining, you take away worker voice and give management unilateral authority, and there’s no evidence that’s efficient," he says. “There’s also no evidence that public agencies that bar collective bargaining produce a better product.”

Collective bargaining allows teachers and other public employees a voice with which to share ideas about how to best do their jobs. Slater says that research shows that workers having a real voice can improve communication and increase trust and stability in the work force " qualities states need when facing difficult times.

Revoking Collective Bargaining Doesn’t Solve Problems, It Creates Them

Before states formally authorized collective bargaining, Slater says public-sector unions and employers met and came to informal agreements. Bargaining helped produce efficiencies and fairness because workers had input.

“In fact, there were many more strikes by public workers in Ohio before the bargaining law was passed than after,” Slater says. “This is because the law provides effective ways to resolve differences short of strikes. In this light, it's not surprising that the demonstrations in Wisconsin aren't over money, they are over taking away voice.”

Eliminating collective bargaining also shrinks the talent pool. Better employees are attracted by more rights and better conditions.

“Proposals in which workers would get less money and have fewer rights make jobs less attractive,” Slater says. “That’s something Republicans claim to understand about executive compensation but don’t seem to understand about teachers, police officers, or firefighters.”

Privatization Is More Expensive Than Collective Bargaining

The same political forces who are trying to weaken unions are also pushing for privatization. But privatization has a long history of problems, from political corruption in choosing contractors, to eliminating responsiveness to the public being served, to increasing fees for services.

“It sounds like a magic bullet – get some private company to do this instead,” says Slater. “But it can wind up costing the public more money than just doing the job in house.”

It’s all about politics and putting a new face on old-fashioned union busting. Collective bargaining is not the cause of problems in public-sector budgets.

"True fiscal leadership," said National Education Association President Dennis Van Roekel, "requires creative solutions grounded in the most important needs of the community. So faced with crippling budget deficits, fiscally responsible governors should focus on reforms that create jobs and a long-term agenda for moving their states forward."

News for March 11th, 2011

As we woke to a light snow covering today, we also learn via the NBC4i that more snow days are coming, no not that kind, this kind

The Ohio House has voted 92-5 to give schools two more "snow days," beyond the three they're currently allowed.

A relentless winter has meant many schools long ago exhausted their current annual allotment of three calamity days, meaning they must make up any further time lost due to weather.

We also learned that in order to close a large budget gap, 32 teachers will be cut by Gahanna-Jefferson schools

Thursday night, the Gahanna-Jefferson Schools Board of Education approved more than $7 million in cuts. These cuts impact dozens of teachers and thousands of students.

The cuts come after failed levy campaigns last May and November.

You can read the full list of cuts here.

School Tranportation News reminds everyone that SB5 affects more than just teachers, police and fire, but other education support staff, including many bus drivers

Senate Bill 5 as currently written would repeal collective bargaining for state and public employees. According to Pete Japikse, director of pupil transportation at the Ohio Department of Education, only about 5 percent of the state’s school buses are owned by contractors. But things get more complicated when trying to determine the breakdown between school bus drivers employed by private companies and those who work for local school districts.

“Just like teachers, there is a fairly significant percentage of school bus drivers represented by organized labor,” Japikse said. “In fact, teachers and drivers belong to some of the same unions. Whatever the impact is on teachers will probably be some of the same impact on drivers.”

In other SB 5 related news, the Dispatch is reporting that the House Speaker does not know when a vote might occur, but hearings are planned for all next weeks

Speaker William G. Batchelder said he is done predicting when the collective-bargaining bill will come up for a full vote in the House.

The Medina Republican told reporters yesterday that Senate Bill 5 will not come up for a floor vote next week. This came a day after he told reporters that he hoped to have a House vote next week on the controversial measure.
[...]
The House Commerce and Labor Committee will continue hearings next week on Monday, Wednesday and Thursday. On Tuesday, Gov. John Kasich will introduce his two-year operating budget.

For more news throughout the day you can follow us on Twitter @jointhefutureOH

SB 5 - The Citizen Veto Basics

[list class="bullet-check"] [li]April 6, 2011- last day to pass SB 5 and file it with the SOS so that a referendum would have to be at the 2011 general election. If filed after April 6th, the referendum would be at the 2012 general. The law must be signed by the Governor, Speaker of the House and President of the Senate before filing.[/li] [li]Full or Part- a referendum petition may be filed on all of the law or only sections.[/li] [li]Effect of Referendum Petition- delays the effective date the law is filed with the SOS.[/li] [li]1,000 Signatures- before a referendum petition may be circulated, the referendum committee must write a summary of SB 5 and submit it to the SOS & Ag with the full text of the law and a petition signed by a minimum of 1,000 electors. The SOS compares the full text to the law on file in his office and issues a certification. The AG compares the summary with the full text of the law and issues a certification that the summary is “fair and truthful.” The summary and both certifications must be printed on the referendum petitions and the full text of the law must also be attached to each. The SOS and AG have 10 business days to act. If the AG states that the summary is in his opinion not fair and truthful, the committee may repeat the process and/or challenge the decision in the Ohio Supreme Court. There is no limit on the number if times the process may be repeated, but it takes time away from the 90 days the committee has to circulate a referendum petition. The 90 days begins the day after the law was filed by the Governor with the SOS.[/li] [li]231,149- The minimum number of signature that must be collected to file the referendum petition. This is equal to 6% of the total vote for governor in 2010. In addition, the signatures must meet a minimum distribution requirement of 3% of the gubernatorial vote in 44 counties.[/li] [li]90 Days- The referendum petition must be filed with the SOS no later than 90 days after the law was filed with the SOS.[/li] [li]July 5, 2011- If SB 5 is filed with SOS on April 6th, this will be the deadline for filing the referendum petition.[/li] [li]July 26, 2011- Last date by which the SOS must determine if there are sufficient valid signature of registered voters on the petition to meet the overall 6% and the 3% in 44 counties requirements. After the petition is filed, the SOS sends the individual petitions to the county boards of elections to validate the signatures and review the circulator statements and if the summary and full text is included of the law are included.[/li] [li]10 Day Period- If the SOS determines that the petition contains insufficient valid signatures, the committee has 10 days to file supplemental signatures. Based on past interpretation of the law, this is a deadline for “filing” supplemental signatures and the committee may actually begin collecting such signatures beforehand.[/li] [li]August 5, 2011- Deadline to file supplemental signatures if SOS gives notice of deficiency on 7/26.[/li] [li]September 4, 2011- Deadline for SOS to determine sufficiency of supplemental signatures.[/li] [li]Ballot Language- The ballot language is written by the 5 member Ohio Ballot Board made up of the SOS, and one member each appointed by the majority and minority leadership of the House & Senate.[/li] [li]Vote NO- Referendum supporters are the vote “no” side. The ballot question is “shall the law be approved?”[/li] [li]Challenges to the Petition- Must be brought in the Ohio Supreme Court. Decision must be issued 85/45 days before the election.[/li] [/list]

News for March 10th, 2011

After news that the Wisconsin legislature steam-rolled through their assault on collective barainging, steam appears to be building for an even more radical effort in Ohio, as the Dispatch reports

House Speaker William G. Batchelder now says he hopes to bring the collective-bargaining bill to the floor for a vote next week, after indicating for the past several days that he wanted to hold three weeks' worth of hearings.

Asked whether the timetable had suddenly been moved up, the Medina Republican said it will be the "equivalent" of three weeks of hearings "because they're going to meet every day."

Teacher Ms. Johnson took the message to Washington

Facing a full Congressional hearing panel, in front of a packed house, Ohio teacher Courtney Johnson took a seat Tuesday and methodically laid out how attacks on workers’ rights and cuts to education will affect her students.

“Ever-deepening cuts to our public schools send the dual messages to our kids that, one, it is not a priority that they get educated; and two, that we have given up on finding better solutions to our problems,” Johnson told the 23 members of Congress. “Many of us are not willing to send those messages, and I know that we are not alone. Just watch the news and you will see Americans are not ready to give up on our kids.”

Clad in red as part of the national Wear Red for Public Ed on Tuesday movement, Johnson spoke eloquently and passionately about how teachers’ working conditions are students’ learning conditions. The English teacher at Fort Hayes Arts and Academic High School in Columbus, Ohio, is a member of the Ohio Education Association.

It's widely reported that on the day of the budget the Govenor will be holding a downhill style meeting

Gov. John R. Kasich announced today that on the day he sends his budget proposal to the General Assembly he will also hold an Ohio town hall meeting to discuss the state's budget challenges and his proposed solutions to them. The meeting will be held on the evening of Tuesday, March 15 at the Capitol Theater in Columbus and will be broadcast live on the internet and via satellite to Ohio television stations. After presenting the budget plan Kasich and his cabinet will take questions from the theater and online audiences.

Finally, follow the latest breaking news on our Twitter Channel @jointhefutureOH

Fighting for the future, today

A guest post from Central OEA/NEA President Scott DiMauro

By now you have, no doubt, read about all the reasons why Senate Bill 5 is bad news for public employees. We educators, along with state and local firefighters, police officers, and other public servants, are under attack. We are being blamed for problems we didn’t create and targeted for “reforms” that will silence our voices in decision-making and weaken our professions.

As damaging as this bill is for us, it’s worse for our students. Taking away collective bargaining rights means taking away the ability to negotiate for needed classroom resources and professional support for teachers and other school employees. Weakening the union gives control of educational decisions to bureaucrats and politicians.

This will almost certainly lead to less pay, diminished healthcare benefits, greater pension costs, and weakened job security. Worse, we’re on the verge of losing a meaningful voice at the bargaining table, a voice over our working conditions and our students’ learning conditions. In short an erosion of our profession, a race to the bottom.

Like you, I didn’t go into education for the money, prestige or union support. I became a teacher because I wanted to make a meaningful difference in the lives of young people and help shape a brighter future for our country. I’m angered that we have become scapegoats for economic woes not of our own making. While we all know shared sacrifice will be needed to balance the state’s budget, I fear the extreme approach taken by Governor Kasich and many majority party legislators will diminish our ability to attract the best and brightest to the classroom in the future. Too many politicians and business leaders want to make it easier to move teachers through the “factory model” of education. How can that possibly be good for our students? How can our communities possibly be helped by this? What on earth does this do to create jobs?

Ultimately, attacks such as this one will undermine the very system of public education that has been the hallmark of America’s greatness, if we were to stand idly by.

As difficult as the fight over collective bargaining has been these past few weeks, it has also given me hope for our future. Never before in my 20 years of teaching have I seen so many friends and colleagues standing so strong. Your phone calls, emails, and letters may not have killed Senate Bill 5 yet, but the message is being sent loudly and strongly that we care too much about our students, profession and public education system to let our voices be silent. Standing with tens of thousands at the Statehouse and across our communities has made me exceedingly proud to be a member of this union and given me hope that our best days are still ahead of us.

It’s not yet clear where this fight will take us. Whether it’s to another showdown in the legislature, a referendum at the ballot box, or the streets of our communities, I’m confident that we’ll be in it together, and we will prevail. Our students’ futures and our profession are depending on it.