Category Archives: Global Labor

Do union mergers work? Cutting costs is the “easy” part

The entertainment and media industry (EMI) is going through dramatic restructuring. There is huge pressure on the talent that provides the content for EMI to keep up. Over the last decade talent agencies have been among the most aggressive in responding to the changing landscape for talent. This is true in movies, TV and sports.

Now unions representing actors, broadcasters, writers and athletes are trying to respond as well. One tactic that some unions have adopted is to follow what corporations do when they are under economic pressure: merge with fellow unions in an attempt to be both more efficient and more nimble.

The merger last year of longtime “frenemies” SAG and AFTRA is thus an interesting experiment in EMI labor relations. The new entity, SAG-AFTRA, has just announced its second round of layoffs of union personnel. This is one way of course to gain some efficiency because it reduces costs and eliminates duplication of efforts. Now, for example, the union has only one National Executive Director, not two. Since that is a well paid position it creates a significant cost savings for the union.

But the real challenge for union mergers is whether the merger helps generate new revenue for union members. The cost side is painful but not terribly difficult to figure out. The revenue side is very much a challenge.

And there is no time to waste for the unions active in the EMI sector, whether in film or professional sports, because the employers are engaging radically new technologies such as social media and mobile communications to generate new streams of revenue for their investors. Unions in the sector need to come up with innovative ways to respond if they are going to stay relevant.

SAG-AFTRA to Lay Off Up to 80 in Restructuring.

Celebrate new year with “Rights and Revolution”

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From the back cover:

The victory of the Sandinista Revolution in Nicaragua in 1979 opened up a major new battleground in the Cold War between east and west. That larger conflict caused many to ignore or misjudge the domestic battle for democratic rights carried out by ordinary Nicaraguans, first against the Somoza dictatorship, and then against the Frente Sandinista, which led the Revolution. In Rights and Revolution: The Rise and Fall of Nicaragua’s Sandinista Movement, political scientist and legal scholar Stephen F. Diamond examines the conflict inside Nicaragua from a viewpoint that is critical of the FSLN, which was allied closely with Cuba and the Soviet Union, and of the United States, which formed a proxy army to overthrow the FSLN regime. Such an independent viewpoint yields important and original insights into the complex relationship between authoritarianism and democracy in the developing world.

Rights and Revolution: The Rise and Fall of Nicaragua’s Sandinista Movement: Stephen F. Diamond: 9781600421860: Amazon.com: Books.

Obama foreign policy debacle set to continue if Rice appointed to State

The fact that UN Ambassador Susan Rice has not been struck from the short list to replace Hillary Clinton despite Rice’s active role in misleading the American people about the nature of the Benghazi debacle is a sign that the chaos that has consumed US foreign policy over the last several years will likely continue.

Rice is considered a self-centered opportunist who has set her course as a hard core Obama loyalist. She has no coherent world view or any independently developed rational basis for understanding how to wield US power. Thus, if appointed, she will likely attempt to continue the “relativist” approach that has stamped the Obama approach to international issues.

That “relativism” is a viewpoint that Obama developed in his long association with the authoritarian and neo-stalinist left. It led to his dangerous call for “engagement” without preconditions with dictatorial regimes such as that of Assad in Syria and of the mullahs in Iran. The result of that approach in the middle east and north Africa is now clear: the U.S. missed an opportunity to support the Green movement in Iran and the nascent uprising in Syria. Had we sided instead with the movements and individuals attempting to establish American-style values such as human rights and democracy we might have helped avoid the violent tragedy now unfolding in Syria and we might also have helped alter the course Iran is taking today.

With Clinton as Secretary of State there was at least some modicum of debate within the Obama regime over the direction of US policy. Despite Obama pressure, for example, to appease the Chinese over human rights issues, Clinton started to push back when she supported the effort of human rights lawyer Chen Guangcheng to seek asylum in the United States.  My law school will be honoring Guangcheng with an award for his brave advocacy of human rights in China this spring. Clinton was also said to be concerned that Obama snubbed the Dalai Lama – sending his aide Valerie Jarrett to India to persuade His Holiness to delay a long planned visit to the Washington.

But Rice has been a part of the Obama inner circle and was even named to the Cabinet while nominally serving under Clinton. It seems now that she, instead of being forced into retirement for her clear misstatements about the terrorist attack in Benghazi, is set to be rewarded with a promotion.

UN Envoy Susan Rice Is Top Candidate to Succeed Clinton – Businessweek.

Jerry Tucker, progressive and independent UAW leader

I received the sad news this evening from the midwest that Jerry Tucker, a lifelong progressive and democratic union activist and UAW leader, passed away.

Jerry and I began to work together five years ago when he joined with other UAW activists to oppose the imposition of another wave of cutbacks in wages and benefits of auto workers at the Big Three.

Like Jerry I began to speak out about the attempt to set up a VEBA that would force the UAW to manage a massively underfunded and badly structured health care plan and relieving the Big Three of that responsibility, a benefit fought and won by auto workers over many decades. Eventually I filed a petition with the SEC on behalf of auto workers arguing that the UAW and GM were ignoring their obligation under federal law to provide full disclosure of the impact of the proposed VEBA on union members.

Just as we argued then, the VEBA has indeed proved a disastrous turn for the UAW as a recent Reuters story noted. If the union and GM had disclosed the actual risks that it implied it may never have been imposed. As he was many times before Jerry was right then, too.

Below is a video of a tribute to Jerry at a Labor Notes conference. In addition, take note that there will be a panel discussion of the State of the UAW at UM-Flint on October 28 with Dr. Tom Adams and Gregg Shotwell. Gregg was one of my clients in the petition to the SEC. It would honor Jerry’s memory and lifelong efforts on behalf of the UAW and workers everywhere to attend that meeting and discuss the future of one of our most important labor unions.

Tribute to Jerry Tucker for his contribution to the Labor Movement at the Labor Notes Conference.

Obama ties to Ayers reach back to 1980s

New evidence that the relationship between Barack Obama and Bill Ayers reaches back to the 1980s surfaced today. 

In 2008 I was one of the first to blog (Who “sent” Obama?) about the important and longstanding relationship between Barack Obama and Bill Ayers, a founding member of the terrorist organization known as Weather Underground. I pointed out then that Ayers appointed Obama as Chairman of the board of directors of the education reform group known as the Chicago Annenberg Challenge (CAC) in 1995. David Remnick of The New Yorker later confirmed this fact in his biography of Obama. This appointment was a critical step in the career of Obama who went on later that year to run for state senator, his first political office, a campaign that he launched at an event held at the Hyde Park home of Bill Ayers and Ayers’ wife and Weather Underground comrade Bernardine Dohrn.

I also noted that given the importance of the Annenberg appointment that Ayers would never have appointed Obama unless he knew Obama was an ally in the ongoing “Chicago School Wars.” Those Wars were taking place between three key groups: the Daley Administration which wanted to centralize control of the Chicago schools in the Mayor’s office, the Chicago Teachers Union which wanted to protect the wages, job security and working conditions of its members, and a loose coalition of reform groups of which Obama, and three members of Ayers’ family, including Bill, his brother John and, earlier in his life, their father Tom, were a part.

Each of these three groups jockeyed for position and for for the nearly $50 million grant from the Annenberg Foundation. (A fuller description of the three way conflict can be found here.) Ayers led the reformers’ successful effort to secure that grant and set up the Annenberg Challenge in late 1994 and early 1995. Ayers (together with Anne Hallett) exchanged letters in 1994 with the Annenberg Foundation’s representative, Vartan Gregorian of Brown University, confirming that Ayers was working to assemble a board of directors for the Challenge. Obama joined the Challenge board in the spring of 1995.

Only if Obama had proven himself to Ayers would Ayers have appointed Obama to the board. The latest evidence confirms that, despite the denials by The Times and the Obama campaign, the relationship between Ayers and Obama reaches back as far as 1987 when education reform burst into a major political issue in Chicago. In the spring of 1987 Barack Obama lobbied the mayor of Chicago at that time, Harold Washington, to set up a “local control” education reform effort that would include Bill Ayers’ brother John on its advisory board.  Obama wrote the mayor as Executive Director of the Developing Communities Project (DCP) a position Obama held for three years prior to attending Harvard Law School.

The Daily Caller has obtained copies of two letters written by Obama, one to Washington and one to an aide of the mayor, as well as an attachment to the second letter listing the proposed board members. The list includes the name of John Ayers, as well as that of the black nationalist minister Jeremiah Wright and the controversial and radical white Chicago priest Michael Pfleger. Also on the 1987 list is Anne Hallett, then with the Wieboldt Foundation, who would co-author with Bill Ayers the proposal to form the Chicago Annenberg Challenge in 1994.

John Ayers, now head of the Cowen Institute at Tulane, shares the same passion for education reform as his brother and his late father.  He became a participant on behalf of business groups in the push for local control and later for the charter school movement, which was a natural evolution from the local control and small schools approach advocated by Bill Ayers and his former SDS comrade Mike Klonsky.

Despite this background, Obama supporters, including The New York Times, maintained that Ayers had no serious connection, if any, with Obama and that Ayers played no role in the selection of Obama to chair the Annenberg Challenge. Although I was interviewed 5 times by The Times and provided them this background, they ignored this information and published a long page one story by Scott Shane that repeated the Obama campaign position that Ayers had no role in the appointment of Obama to the Annenberg entity.

At the time I also reported that a senior and longtime Democratic Party activist said that the Ayers relationship with Obama went back to the mid-1980s. This same source also said that Ayers and Dohrn played a significant role in the Obama campaign including helping devise lists of individuals for appointments in the new Administration. The appointment of former marxist-leninist Van Jones to the Obama White House would seem to be evidence of this.

This same source also said in 2008 that a senior campaign operative, who is still today a senior member of the Obama campaign, was aware of conversations between David Axelrod and Bill Ayers aimed at blocking access by conservative writer Stanley Kurtz to records of the Annenberg Challenge held at the University of Illinois. More on the CAC records flap here.

I also interviewed and reported on the fact that the mailman who delivered mail to the home of Bill Ayers’ parents had met Obama outside that home in the 1980s.  That mailman also spoke to me about a conversation he had during the 2008 campaign with Tim Ayers who vigorously defended his brother Bill and his wife Bernardine Dohrn.

It made sense to me that the relationship with Ayers would reach back that far because in 1987 the DCP played a very active role in the loose coalition of groups referred to above interested in pressuring the Teachers Union and the Mayor’s office to institute reform of Chicago schools.  The primary goal of the DCP and many in this coalition was a variation on the theme of “local control” – an attempt to involve parents and surrounding communities in local schools.

“Local control” is widely viewed as hostile to teachers’ unions because it can become an easily manipulated source of pressure on teachers and principals without any rational basis in education policy.  In fact, Bill Ayers and Mike Klonsky were explicit about their interest in influencing schools through this method and the Annenberg Challenge money was used to do this. Some education policy figures, such as Dorothy Shipps, view “local control” as undemocratic because it prevents district wide transparent and accountable reforms.

Local control first emerged as a part of the ideology of black nationalists and elements within the Students for a Democratic Society, or SDS, in the 1960s.  SDS was the left wing antiwar student group that fell apart in the late 60s and gave rise to, among other sects, the terror group Weather Underground. SDS and black nationalists advocated local control and opposed the teachers union in a bitter strike in New York City in 1968.  Some SDS members went so far as to scab during the strike.

Bill Ayers and Mike Klonsky were leading members of SDS then.  Ayers later helped found the Weather Underground and Klonsky became a hard core Maoist.  Klonsky along with Ayers became an active backer of Obama. Klonsky hosted a blog on educational issues on the official Obama campaign website in 2008 that was deleted once the maoist background of Klonsky was discussed during the campaign.

In 1980, Ayers and his wife Dohrn surfaced from hiding during their Weather Underground days and turned themselves into authorities. They avoided jail time for their terrorist activity but Dohrn was refused admission to the bar despite graduating from the University of Chicago law school. She was able to reinvent herself as a “law professor” of sorts and is now a member of the law school faculty at Northwestern University. Bill Ayers entered graduate school in education in New York and then returned to Chicago in 1987 to join the faculty of the University of Illinois at Chicago, then known as the “Chicago Circle” campus.

In the fall of 1987 a strike of the Chicago Teachers’ Union took place just a few months after Obama asked the mayor to support the DCP’s community based education effort that would include John Ayers. The strike angered many in the city and led to a lobbying effort in the Illinois legislature to institute local control in the Chicago schools through elected “local school councils” (LSCs). Over union opposition and opposition from groups such as Jesse Jackson’s Operation PUSH, which feared (correctly) the LSC’s would undermine teachers many of whom were black, the state legislature backed the LSC idea.

Bill Ayers was active during the strike as well in this reform effort, as was his brother John. Bill rose to chair the Alliance for Better Chicago Schools, or ABCs, a key group in the LSC lobbying campaign. although precisely when Ayers became chair is not known. Obama’s DCP was also a member of ABCs, the only black community organization to join. Another member was Chicago United, a business group that had been founded many years earlier by Thomas Ayers, the father of Bill and a powerful Chicago business leader who was active in education reform on behalf of the business community. Chicago United played a key role in organizing ABCs.

John Ayers, Bill Ayers, Tom Ayers, Mike Klonsky and Barack Obama shared a commitment  to “local control” ideology from at least the late 1980s through the Chicago School Wars of the 1990s. Obama brought his DCP into the local control movement and thus proved himself a valuable ally of the Ayers family in that battle.  Bill Ayers rewarded Obama for that commitment by appointing Obama to chair the Annenberg Challenge in 1995.  Obama, in turn, steered millions of dollars from the CAC to multicultural curriculum programs and local control efforts led by Bill Ayers and Mike Klonsky, among others. Ayers, in turn, supported Obama’s effort to enter electoral politics as part of the “long march” tactics favored by Bill Ayers after the failed effort to stoke a “revolution” through violence and terror. There is also evidence that Ayers, and his allies in the education reform movement, continue to influence education policy of the President. It is no surprise that the Obama campaign, including its media team at The New York Times, has done everything it can to bury this story.

 

 

Obama and the Chicago teachers’ strike – you reap what you sow

The President of the American Federation of Teachers, Randi Weingarten, is putting a brave face on the “strike” by Chicago teachers. Only a few weeks ago she was lauding the Chicago Teachers Union (CTU) and the Chicago Public School (CPS) system for having resolved their differences as it looked like a strike would be avoided.  Now she is gamely telling the PBS News Hour that this a “local” issue that has to be resolved locally, ignoring the fact that she was on national TV explaining this.

Behind the scenes she, and many other pro-Democratic Party labor leaders, are pulling their hair out.  There could not have been a worse time to pick a fight like this with the city of Obama just as he emerged from his highly successful Democratic party convention. That convention was a convention in name only, of course, as video of LA mayor Villaraigosa ignoring the clear vote of the delegates on key issues indicated.  It was political theater of the highest order, hitting its peak not with the speech of the President, but with the speech of the former President, Bill Clinton, who likely helped many voters ease their growing doubts about the Obama Administration.

Now a strike by the CTU over issues that are murky and confusing to the average citizen threatens to distract the electorate just as the Obama campaign picks up lost momentum.

How could this have happened?

The ironic answer is that President Obama himself deserves some of the blame. At the top of the CTU leadership is a group of political activists for whom the health and well being of students is not the top priority much less the bread and butter concerns of their fellow union teachers. Instead, they are the hard core of a highly ideological milieu that has over the last decade or more burrowed their way into the teachers’ union.

Now they have their hands on the levers of power of a large urban union and are doing what no sane union leader would do, namely striking at a point where they are least likely to gain allies among Democrats and others on the left whom they normally could, and should, count on in a battle of this magnitude.

Only a group with a different agenda than that of the genuine labor movement would take such a huge risk. Actually, from their standpoint – one which advocates “r-r-radical” change – it makes a peculiar kind of sense because it appears to demonstrate their intransigence. While stalwart militancy can be a valuable trait in a labor leader, mindless militancy of the sort on display among the top leaders of the CTU is dangerous. For too long the democratic left inside the AFT and elsewhere has ignored these risks.

What animates this “mindless militancy”? It is the so-called “social justice” ideology propagated by a sectarian element in American schools of education and among their teacher graduates by individuals like Linda Darling-Hammond, Bill Ayers, Mike Klonsky, Gloria Ladson-Billings, Peter MacLaren and others.

Thus, Karen Lewis, the new “fist in the air” fire brand president of the CTU in the words of her ally the Maoist education activist Mike Klonsky. Lewis recently traveled to Seattle not to discuss the tragedy of poor student outcomes in our nation’s schools but to rally the “Shock Doctrine” troops among the social justice crowd to take over the teachers’ union.

Lewis appears in fact to be more likely a “sheep in wolf’s clothing.” She signed off on legislation last year that severely restricted her own union’s collective bargaining rights. The bill was attacked as union-busting by one Illinois legislator. Worse, Lewis apparently did this behind the backs of her own union members who hit the roof when they learned of the move. In other words, any “militancy” being shown now by Lewis may be a dysfunctional form of compensation for her role in weakening her own union.

Keep in mind that I put quotes around “social justice” because this crowd’s “social justice” ideology has nothing to do with the social justice agenda of the genuine labor movement or the civil rights movement. This is, instead, an agenda about gaining political power, not for the students and teachers of our blighted urban schools, but for the advocates of “social justice” and its allied ideas such as multiculturalism and identity politics.

While proposed as something radical it is important to keep in mind how conservative and reactionary this ideology is, in fact. It represents a retreat from the genuinely progressive and radical agenda of the civil rights movement and the labor movement. And it is therefore not a surprise to realize that this new “social justice” agenda emerged in the wake of the defeat of those earlier democratic movements in the late 70s and early 80s.

The ideology actually leads the labor movement backwards into the divisive morass of politically correct identity politics. In the world of education, for example, it actually helped support the pro-corporate school “choice” movement by the formation of politically correct small schools like the “Social Justice” high school in Chicago. Not a surprise that figures like Ayers and Klonsky back the same idea as one supported by the Gates Foundation.

Thus, instead of creating democratic, transparent institutions that can lead us out of the crisis in our schools, this “social justice” crowd functions like a mirror image of the corporate education reform crowd they so loudly denounce. This faux radical milieu has, in fact, given up, sometimes explicitly, on wider social solutions, such as integration, to the problems of city schools. They promote absurd arguments that the schools are the moral equivalent of apartheid and promote a form of reparations for slavery in the name of repaying what they call the “education debt” that allegedly has accumulated over 400 years.

If some of this sounds vaguely familiar to followers of Presidential politics, it should. This is the very same agenda that Barack Obama promoted when he was an active leader in the “Chicago School Wars” of the late 80s and 1990s. Back then he joined forces with education professor Bill Ayers to lead the Chicago Annenberg Challenge (CAC). Together Ayers and Obama pumped tens of millions of dollars into the Chicago school system with two goals: one, to promote explicitly the politically correct “social justice” agenda by financing curriculum that imposed their views on teachers and students; and two, the financial support of Local School Councils (LSCs) which were established in 1988 after a very unpopular teachers strike in Chicago.

The LSCs were very unpopular with teachers because they set up a new power base for community activists to monitor and control teachers. Ayers and Obama were well aware of this, of course, and fought within the CAC to make sure millions of dollars went to this institution precisely to help undermine the power of the CTU and its then traditional labor leadership, as well as the central power at CPS and the Chicago mayor’s office.  To do this, they had to overcome the opposition of then Mayor Daley who tried to get the Annenberg Challenge to give him the huge grant instead. And they battled with establishment figures like Arnold Weber, former President of Northwestern University and a very skilled and experienced labor economist, who fear precisely what happened: that the LSC’s and the Ayers/Obama “social justice” agenda would become a political weapon.

Of course, with this kind of ambitious political agenda it should not be a surprise to learn that that the CAC money had no impact at all on improving outcomes for students!  The CAC’s own research arm completed an exhaustive study to reach this conclusion once all the money was spent.

But the CAC was judged a huge success by Ayers, Obama and allies like Mike Klonsky (the 60s maoist who reinvented himself under Ayers’ tutelage as an “education expert”).  A new political front was now opened up by them inside the Chicago schools. This story was largely ignored during the 2008 campaign not least because the mainstream media had another agenda – electing Obama.

Thus, most prominently, the New York Times “debunked” the easy side of the Ayers/Obama relationship (that Obama had no connection to Ayers role in the Weather Underground and violent political tactics) while ignoring their very substantial work together during the Chicago School Wars and beyond, well into the period of Obama’s presidential campaign. See posts here, here, here and here. As I said at the time, the Times won the David Blaine magic award for making that issue disappear. They even ignored a report by their friends at the New Yorker magazine contradicting their reporting.

And the Ayers/Obama/Klonsky “social justice” milieu now had an institutionalized role in the CPS. That eventually led to the emergence of a layer within the CTU itself that challenged its traditional (and progressive and African American) leadership. Despite the many decades of achievement by that leadership, the CTU had proved incapable of dealing with the very severe challenges posed by dramatic socio-economic change in Chicago. This provided an opening for the “r-r-radicals” in the face of pressure from Chicago’s moneyed elite to shut down non-performing schools, lengthen the school day and reform the teacher evaluation process.

It would be one thing, of course, if this new milieu had a genuine agenda for reform of education that was linked to student capabilities. In other words, the test of their agenda is to ask, well, what will be the result for the students in a year, five years and ten years? But this group opposes measurement of the impact of reforms, despite the attempt of their own national leadership in the AFT to take this problem seriously. And it pushes for things like extended recess periods and art classes that likely are of value to students but hardly worth shutting down those same schools in a “strike” and leaving Chicago’s young children wandering the very dangerous streets of that gang-ridden city.

We are witnessing a train wreck in slow motion that cannot end well for Chicago teachers, their students or their union. Those same teachers will have to ask themselves some very important questions about how they ended up in this situation. But if President Obama is wringing his hands about how his own city and his own political allies could have created such a problem for him, then he should look in the mirror.

Mitt channels his inner Jimmy Carter…he should have let sleeping dogs lie

As the implications of Mitt Romney’s nomination of Paul Ryan sink in, surely one factor must have been overlooked by his team: the political calculus of American workers. Apparently his team drew the wrong lesson from the recent Wisconsin experience.

Recall that in Wisconsin the Obama team and the AFL-CIO thought they could coopt a grass roots movement by Wisconsin workers to defend their unions and turn it into an arm of the flagging Obama campaign. They overreached and alienated the center by trying to recall a duly elected Governor in mid-term while alienating the left by re-running a boring candidate who had not beaten Governor Walker the first time around.

The defeat in the recall sent a shock wave of demoralization through labor not just in Wisconsin but nationally because on the same day voters in San Diego and San Jose voted to cut pension benefits for public sector workers.

The effect was to knock the last puff of wind out of the Obama campaign and the result was small crowds and a tough time in fundraising for the President. Obama’s response was to go negative with attacks on Romney’s taxes and experience running Bain Capital. These certainly had an impact but would not likely have lasted as they lacked real depth.

In the face of these attacks Romney panicked and walked off a cliff.

Had he had the confidence to rely on his own instincts, the natural pick for Romney would have been Marco Rubio. Rubio’s life story should have fit easily the “city on a hill” vision that the Mormon Romney ought to have naturally gravitated towards. Rubio would have also been a home run with the conservative base.

Rubio sends the message that the American Dream for immigrants is alive and well. His nomination would have sent a subtle but clearly optimistic economic message as well. This would have clashed with the listlessness of Obama’s efforts to deal with the economic malaise.

It would have put a Jimmy Carter gloss over Obama and allowed Romney to claim the Reagan mantle, if not explicitly then implicitly. That worked for Reagan because it created a sense of hope for American workers, however odd that may seem in the wake of Reagan’s attack on unions like the air controllers.

Thus, perhaps most critically, a Rubio pick would have avoided a senseless head on battle with labor and the beneficiaries of our social safety net, such as it is, in the heart of a crisis of demand in the macroeconomy.

Instead, likely pressured by his financial backers freaking out over the polls, Romney turned 180 degrees to the right not 90. In picking Ryan and not Rubio he is now committed to taking the Wisconsin recall story national. It’s a direct attack on the public sector and the unions that people like Ryan and his fellow Ayn Randians think are the source of all evil in modern society.

This is coupled with an attack on the client base of public employees: medicare and medicaid patients, welfare and early childhood education benefits recipients. These are the beneficiaries of the “new property,” as legal scholar Charles Reich famously called it, a mainstay of American society for a half century.

Ryan represents that wing of capitalism that responds to economic crisis by repeating in one way or another the infamous advice of Hoover’s Treasury Secretary Andrew Mellon: ”liquidate labor, liquidate stocks, liquidate farmers, liquidate real estate… it will purge the rottenness out of the system. High costs of living and high living will come down. People will work harder, live a more moral life. Values will be adjusted, and enterprising people will pick up from less competent people.”

That was in 1929. We all know what happened next. Keynes warned the Mellons of the world: you can cut high labor costs (known as the “rigidity of wages”) if you want and there is a model available, actually two models – one is called Stalinism and the other is Fascism. Take your pick if you think you can impose one of those systems in England or the US.

Keynes offered an alternative – the deft use of public finance, the bond markets and the tax structure to avoid economic collapse, instead of authoritarianism to revive capitalism.

We are all Keynesians now, Nixon once quipped and no one ran on austerity again until, well, Jimmy Carter. And we all know what happened to him.

Instead of Reaganizing the campaign, Romney has insisted on Carterizing it. He has thrown his lot in with the same slash and burn milieu.

In doing so, he leaves behind his comfort zone developed while growing up in a Michigan dominated by the UAW and by winning the governship of a liberal pro-labor Massachusetts.

He gives Obama a natural target and instead of letting the labor movement and other constituencies of the Democratic Party drift off during the campaign sidelined emotionally by the Wisconsin defeat, he has blown a loud horn in their ears.

He may soon realize he would have been better off letting sleeping dogs lie.

Writers and Directors maintain silence on SAG/AFTRA merger

Pro-merger websites like SAG Watch, alleged by some to be managed by an AFTRA official, are celebrating endorsements from two unions that are not exactly heavy weights in the film and TV business, the Musicians and Actors’ Equity, but there is no word there of support from two guilds that matter a great deal, the Writers’ and Directors’ Guilds.

Equity has had its own internal problems with intense battles for control of the top positions in the union breaking out periodically. They likely hope to merge themselves into the new SAG-AFTRA if it emerges after the ongoing merger vote and survives legal challenge by former Membership First activists.

The Musicians, too, have been the subject of merger speculation. They have to have been the most dramatic victims of new media technology so perhaps if they were also to join the new union conglomerate they could share their horror stories.

Of course, the WGA itself remains internally divided between its east and west coast branches and that suggests that merger is not critical to success as a union.

Meanwhile the DGA may be anxious that it will lose its historic role as the most producer-friendly guild if SAG members give in to the new conservative merger proposal.

Musicians Union Endorses SAG-AFTRA Merger.

SAG comic falls flat on labor law issue

SAG comic, Allen Lulu, has never, as far as I know, played a lawyer in reality or on TV, but that has not stopped him from misinterpreting federal labor law in pursuit of his goal of promoting the SAG-AFTRA merger.

Let’s take a closer look at Mr. Lulu’s argument. Maybe we can stop him from bombing during his next appearance in a SAG video. (Click here to see how Mr. Lulu misleads his own brothers and sisters in a video promoting the merger.)

Some time ago merger opponents proposed that SAG pursue something they called a “global bargaining unit” to cover actors working in digital cable. Their hope has been to enable actors in cable pilots to have a genuine choice about which union, SAG or AFTRA, should represent them. Alternatively, they contend that these same actors should be able to petition the NLRB for a “unit clarification” which would mandate that the NLRB place them inside already existing bargaining units where SAG is the exclusive bargaining representative.

This issue is important because merger proponents claim that if merger fails there is no end to the growing tensions between SAG and AFTRA. Of course, that argument has been to some extent self-perpetuating. AFTRA has been the beneficiary of so-called “promulgated” agreements with cable producers over the last several years. Thus, cable pilots have been awarded overwhelmingly to AFTRA most likely because the producers were angered and frustrated by the strategy that SAG’s former Membership First leadership implemented in 2008.

If merger were to fail, however, a campaign for either unit clarification or a new bargaining unit that would allow actors self-determination makes eminent sense. Then SAG and AFTRA would be forced to compete to convince actors which union would be the better representative. Union competition often results in stronger outcomes for workers and of course it minimizes the chances for the third option, No Union, to be voted in.

But is there really a basis in labor law for these approaches? Non-lawyer Mr. Lulu says no. He argues that bargaining units must be implemented on an individual “employer-by-employer” basis and thus there is no such thing as a “global” bargaining unit. (Apparently joining Mr. Lulu in this conclusion, if reports of a recent SAG town hall are accurate, is SAG General Counsel Duncan Crabtree-Ireland.)

Unfortunately for Mr. Lulu his understanding of federal labor law is barely an improvement over his understanding of the impact of merger on actors’ benefit plans. While the NLRB does not use the term “global” bargaining unit, it does, with frequency, recognize the existence of multi-employer bargaining units.

In fact, Mr. Lulu, if he works in the film or TV business under a SAG contract, is a member of such a multi-employer bargaining unit. The AMPTP, the bargaining agent for multiple production companies, negotiates on behalf of the employer side of a multi-employer bargaining unit and SAG and AFTRA represent the employee side of that same unit. You can find multi-employer bargaining units in many industries, including trucking and professional sports.

When TV first emerged in the 1950s this is exactly how SAG and AFTRA (actually, its predecessor the Television Authority) resolved their conflict over films made for distribution on TV. In one case, for example, AFTRA/TVA wanted actors included in an already existing bargaining unit it had established at CBS. SAG, however, succeeded, as it had in other similar cases in having those film for TV actors assigned to a separate new bargaining unit. AFTRA was free to contest for the allegiance of those workers in an election.

In another case, much more significant, SAG also prevailed in winning rights to represent actors in a multi-employer bargaining unit in negotiations with the employers organizations of that period representing “almost all the motion picture producers in this country.” The NLRB decision noted the existence of a “multiple-employer bargaining pattern” going back to the 1930s. The decision went on to agree with SAG that actors made up the constituency of a number of multiple-employer units. Elections in those units were ordered and SAG prevailed.

More recently, other unions in the entertainment industry have used “unit clarification” petitions to defend their jurisdiction successfully. NABET, a division of CWA which represents some writers and editors working for NBC succeeded recently in front of the NLRB when NBC tried to recast these workers as so-called “content producers” who fell outside the NABET bargaining unit.

So there is nothing preventing the NLRB from considering a petition either:

1) to clarify the existing multi-employer bargaining unit so that it is understood that actors on cable pilots, to take one example, should be part of that existing unit; OR

2) to consider the argument for the creation of a new multi-employer bargaining unit consisting of all actors who work in cable scripted drama.

A SAG filed petition for clarification might have to be linked back to those original NLRB bargaining units in order to succeed. While some of the original production companies have likely disappeared and there may be legal objections to including others, there is likely also some continuity with today’s producers. Among the employers then were Columbia, Fox and Universal, for example, which exist today as well. If these same production companies are now employing actors on cable pilots those actors arguably are still part of that original bargaining unit.

For those actors who fall outside of the existing multiple-employer bargaining unit or units, it is feasible to consider a new multi-employer bargaining unit. In fact, SAG attempts to use a master agreement with a group of cable companies now and that would provide some precedent for the logic of a new multi-employer bargaining unit.

Of course, the map of bargaining units is separate from whatever jurisdictional agreement competing labor unions may have reached amongst themselves. Jurisdictional allocation is an issue within the labor movement. There have been in the past attempts to allocate jurisdiction between AFTRA and SAG that may or may not cover the current battleground over cable pilots. But that is an internal political issue for the labor movement not a question of federal labor law.

In any case, there is nothing in federal labor law that creates any per se barrier to the resolution of this issue either with a petition for unit clarification or a petition to establish a new bargaining unit leading to a union election.

Perhaps Mr. Lulu should stick to his own material.

The Unit Clarification argument against merger and why it does not & can not work..

Rethinking the SAG-AFTRA merger proposal – deck chairs on the Titanic?

Over the past few months I have been following closely the proposed merger between the Screen Actors Guild and AFTRA. The logic behind merger, at least in the form proposed now, escapes me. While the pro-merger propaganda package stresses in a colorful format the potential to improve the lives of actors through greater leverage with their employers, there is almost no specific detail on how that will be achieved. For nearly three decades the two unions have worked side by side to produce contracts that are largely identical, according to pro-merger advocates, but nonetheless they argue that without merger now the two unions will end up undercutting each other. Of course, the only real evidence for this is the arguably pro-producer approach to contract flexibility offered by AFTRA to cable producers. That problem is not eliminated by merger – it will only be fought out in house if a merger is accomplished. Given the very visible nature of conflicts in the Hollywood unions it is unclear why that is an improvement over the current situation.

The other major argument for merger is that it will allow for consolidation of the pension and health care plans of the two unions. But that remains a goal not an accomplishment of the merger. The plans are legally separate entities run by a joint board of management and union trustees. The AFTRA plan board even went so far as to issue a statement denying that they had considered the merger issue at this point despite what the pro-merger propaganda package said.

What the merger plan really adds up to is rearranging the deck chairs on the Titanic. The industry is being rocked below the water line by the iceberg of new media, social networking and mobile communications. The recent brutal defeat by Silicon Valley of much needed anti-piracy rules only indicated the power of the new technology, which helped the opponents of the law overcome the film industry’s old boy lobbying effort. The industry, including its unions, languishes in the past. (I am certain I wasn’t the only one who noticed the tired and dated quality of the Oscars last night. Meryl Streep, Billy Crystal and a black and white silent movie? Really?)

Thus, the leaders of SAG and AFTRA seem to have fallen for the same kind of “circle the wagons” defensive mentality that sadly plagues the rest of American organized labor. The new leadership of the AFL-CIO under Richard Trumka has failed noticeably to take advantage of the widespread discontent among American workers over the financial crisis and continued erosion of good high paying stable jobs. Thus, many unions are being merged out of existence as labor cuts back despite new opportunities for organizing.

In this post I am providing a set of links all in one place to the various posts I have done analyzing these issues. As the ballots for merger go out to both SAG and AFTRA members it may help to rethink the attempt to push this reorganization of their unions by the current leadership.

As these posts indicate, Hollywood labor needs a strategy – but merger is not a strategy it is an excuse.

1. SAG Moves to Delaware, but why?

2. Mercer contra merger

3. Tearing up the SAG card

4. Surprise, surprise – SAG sued

5. Reardon pitches actors on crossing picket lines

6. Leverage? What’s that?

7. Pirates hit Hollywood

8. Merger myths

9. Merger undermines union democracy

10. Solidarity loser in merger?

11. Merger and piracy

12. Hollywood shocked in piracy defeat

13. SAG pension plan in crisis

14. DVD collapse exposes labor weakness

15. Hollywood Guilds’ “Annus Horribilis”

16. Negotiations season ends, clean sweep for Producers