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Presentation by Matt Patterson
Whose Business Is It?
VW workers will decide for themselves if they want UAW representation, and they have every right to do so
…whatever the workers decide will affect everyone in Chattanooga, and all of Tennessee
Unions like the UAW take advantage of laws and regulations that privilege them over other private entities, distorting the labor market and often killing jobs and hindering economic growth in the process Whose business is it? YOURS!
+ What is the UAW?
Labor union founded in 1935 with the help of Walter Reuther President Bob King
Represents workers in automobile, aerospace, agricultural industries in the U.S, Puerto Rico and Canada
390,000 current members
Mission: “Fighting for social justice for all workers globally”
What Does King Mean By “Social Justice?”
The UAW is an open and ardent supporter of left-wing causes and liberal politicians locally and nationally. King calls them his “progressive allies.” In an article published in the Detroit News in May 2013, King called for “the people” to re-take the House of Representatives in 2014. People meaning, of course, liberals. King bragged that he and his progressive allies “scored a huge victory in November when [we] re-elected President Barack Obama”
King and the UAW support Obamacare and other job-killing interventions in the free market
Where does union money go? Often, to support ideas and policies members do not agree with WSJ reports that from 2005-2011 unions spent $4.4 billion on political activity
Political Action Committees are union tools for spending money on politics
During the 2012 election cycle, the UAW’s PAC gave $1.6 million to Federal candidates -- 99% went to Democrats – just the tip of the iceberg
The UAW Buys Politicians
The UAW has been deeply involved in Detroit politics for decades, helping elect the politicians that have run that oncegreat city into the ground For instance, current Detroit Mayoral candidate Benny Napoleon has been enthusiastically endorsed by Bob King because he has “stood with…union leaders.” However, according to the Detroit Free Press, as Wayne County Sheriff, Napoleon is “poised to exceed his $85-million budget this year by at least $25 million.” In other words: the UAW supports politicians that are good for union bosses, but bad for city budgets
You can bet the UAW will buy politicians in Chattanooga, too
+ Why Chattanooga?
Membership has declined by 74% since its height in 1979 King needs to organize foreign-owned plants in the South, admitting: “We know that’s key long-term to the success of our membership...” Failed attempts to organize other Southern, foreign-owned plants
Two attempts at Nissan plant in Smyrna, Tennessee Repeated attempts at Nissan in Canton, Mississippi
The UAW needs Chattanooga, but does Chattanooga need the UAW?
+ The UAW’s Record
Why is the UAW membership declining so drastically? It has made the Detroit auto industry less profitable and less productive compared to non-unionized auto makers in the South, forcing the Big Three to shed jobs According to Reuters: “Since 2001, the Detroit Three have slashed over 200,000 jobs…in the same period, [foreign] automakers have opened eight assembly plants in the United States, creating almost 20,000 factory jobs.” (“The UAW's Last Stand” December 29, 2011) In fact, “almost every job lost at U.S. car factories in the last 30 years has occurred at a unionized company.”
“Almost every job lost at U.S. car factories in the last 30 years has occurred at a unionized company”
-Reuters: “The UAW's Last Stand” December 29, 2011
Filed for bankruptcy in June 2009 Unsustainable costs driven by UAW contracts were part of the reason
A 2008 study done by the Heritage Foundation found that UAW workers “[cost] the Big Three over $70 an hour in wages and current and future benefits.”
Who paid to save GM? You did!
US taxpayers bailed out GM – and the UAW – to the tune of $49.5 billion
The Obama administration helped the UAW by shutting out creditors and ignoring bankruptcy law as they handed the company over to the union
+ A New UAW?
Bob King: “The 21st-century UAW no longer views [management] as our adversaries or enemies, but as partners in innovation and quality. Our new relationships with these employers are built upon a foundation of respect, shared goals, and a common mission.” Bob King says his organization has changed its ways; it’s a new UAW. We need to hope that it changed, and I think we all know how hope and change has worked out elsewhere.
+ Detroit: Capital of the UAW
Decline of Detroit
Dropped from 1.85 million in 1950 to 700,000 in 2012
In 2013, Forbes ranked Detroit as “America’s most miserable city”
Unemployment at 10% Housing & Home Prices
Over 30,000 empty houses Over 90,000 vacant lots
The UAW has been intimately involved in the politics and economy of Detroit for decades – with disastrous results
Photo by Beck Stern/sternlab.org
The Problem With Unions
In a free and fair labor market, voluntary associations, like trade unions, would be nobody’s business but the parties involved But we don’t have a free and fair labor market. Starting with the National Labor Relations Act and the New Deal, union-backed politicians and laws have stacked the deck in favor of the unions in hundreds of ways that distort the market, kill jobs, and hurt workers.
IS EVERYONE’S BUSINESS