Hoffa’s Hypocrisy

By WFI Staff

Jimmy Hoffa, Jr. must feel like the walls are caving in around him.  There’s a major pension crisis on his radar, which could very well cut into his years long family hustle of hard-earned worker retirement funds.  And, as the United Parcel Service (UPS) is asking for a new provision in which Hoffa’s International Brotherhood of Teamsters (IBT) should also contribute to employee health plans.

Hoffa’s not stopping there.  Determined to squash any questions over his handling of the impending pension crisis that threatens to destroy the retirements of hundreds of thousands of workers, Hoffa is being accused of strong-arming one of his very own, the Federation of Agents and International Representatives (FAIR).  If you remember, the NLRB allowed FAIR to organize its own union within the Teamsters and it’s been going downhill ever since.  But, one would think that goes against the very core of what folks like Hoffa and other union bosses have been pushing for years.

Reports Daily Caller investigative reporter Patrick Howley: Hoffa still has not granted a contract to the Federation of Agents and International Representatives (FAIR), a union that represents Teamsters organizers.  The National Labor Relations Board (NLRB) allowed FAIR to represent some Teamsters organizers last year in their negotiations with Hoffa, after organizers voted 18-16 to unionize in a Teamsters election.

The Hoffa administration’s battle with FAIR has been divisive, according to documents obtained by the Daily Caller.  Teamsters officials openly threatened their own organizers to discourage them from joining FAIR, leading to accusations that the Teamsters were union-busting their own employees’ union.

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Micro-Unions Return

Big Labor is desperate due to falling dues-paying membership and it is exhibited in their bid to revive micro-unions: mini bargaining units that wreak havoc on businesses.  Perhaps scared from the fallout of federal court rulings invalidating their decisions, the National Labor Relations Board rushed to certify 41 cosmetic and fragrance workers in a Massachusetts Macy’s department store.

Rightfully concerned, a collaborative of business groups – including the U.S. Chamber of Commerce, the National Association of Manufacturers and the International Federation of Independent Businesses – jointly filed an amicus brief to force the NLRB to review the questionable certification.

Reports Amanda Becker in Reuters: Ronald Meisburg, a Proskauer Rose attorney who represents the business groups, said the board’s blessing of previously prohibited sub-units of workers, which it has done in a string of recent decisions, is problematic for both employers and employees.

“An employer could end up with multiple units, perhaps represented by different unions that could compete with one another,” Meisburg said.  “You’ll have unit proliferation, which is not conducive to collective bargaining.”

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Hey Senate! It’s Your Move On Obama Labor Board

By WFI Staff

While the U.S. House passed the Preventing Greater Uncertainty in Labor Management Relations Act (H.R. 1120) questions loom on the bill’s fate as it makes its next stop in the U.S. Senate.  Will the Senate pass it?  It would only make sense considering President Obama’s disregard for the upper chamber is what led to the introduction of the bill in the first place.

Unfortunately, it’s not that simple.  You’d think the Senate would want to send a message to the executive branch that Constitutional checks and balances cannot be violated.  Instead, we’re getting signals that the Senate – led by Obama friend Senate Majority Leader Harry Reid – may consider avoiding a vote on it.  There was a time, of course, when strong majority leaders in the Senate cared more about protecting the institution and its place in our constitutional scheme than about special interest politics.  But, sadly, those days may be long gone.

That’s just downright tragic.  Countless businesses are in limbo over whether to comply with hundreds of invalid National Labor Relations Board decisions.  The only people who benefit from the uncertainty are labor bosses.

Phil Kerpen writes in Townhall.com:

It’s creating paralyzing uncertainty.  “Roughly 600 decisions are now constitutionally suspect and that number grows with each new decision,” House Education and Workforce Committee Chairman John Kline said.  “Workers, employers, and unions are in limbo.”

The lawless non-recess appointment by the president has begotten more lawlessness. Some companies are following decisions from the board, while others are ignoring them. Lots of people are paying lots of lawyers to do work that may have to be done all over again.  It’s a mess, and everybody would be well-served by at least putting the board on hold until the Supreme Court rules later this year.

But in the meantime, the Senate could save us all the hassle by voting on and passing H.R. 1120, and sending it to the President’s desk.

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Stalking Exemption For Big Labor Unfair

By Katie Packer Gage (originally appeared in the Orange County Register)

The first and most important responsibility of any elected official is to protect constituents. It is an unwritten rule, meaning it is so well understood and established that it need not be etched in stone. Yet – for some reason – this seems to be lost upon California’s representatives in Sacramento.

It is relatively unknown among the state’s citizens that the Legislature has actually passed a bill exempting union bosses and their organizers from prosecution when engaging in acts which fall under the stalking statute. If Big Labor’s actions take place during a labor dispute, California law has authorized them to stalk workers, their employers or families.

It is long known that union bosses have an outsized presence and influence in the Golden State, but no one should be provided license to harass and intimidate another person. Government’s primary role is to serve the interests of the public at large, not to give special treatment to one interest group.

But California does not stand alone. According to a recent report issued by the U.S. Chamber of Commerce titled, “Sabotage, Stalking & Stealth Exemptions: Special State Laws for Labor Unions,” Illinois, Nevada and Pennsylvania have also issued this carve out for organized labor. Forty-six other states have refused to sanction stalking during labor disputes, and it is past time they are joined by the Golden State.

According to the report, “[T]he very existence of these exemptions calls attention to the fact that the tactics employed by unions in their organizing activities can inflict the same level of emotional distress and intimidation caused by a stalker. Harassment of opponents is often part of a union’s effort to confront adversaries and pressure them to give in to its demands, and stalking is one aspect of this behavior. Unions have been known to employ this tactic even against other … unions.”

Unfortunately, a pattern has developed among Big Labor bosses whereby they seek and receive immunity from the government to the detriment of employees and employers. Recently, the National Labor Relations Board has taken steps to sacrifice freedoms all Americans have earned in an effort to reward President Obama’s largest political contributor.

These callous and imprudent policies include approval of “quickie” or “ambush” elections, which allow an employer less than three weeks to respond to an effort to unionize a workplace. It places tremendous pressure on employees ensuring few will have the information necessary to make an informed decision affecting their livelihoods, whether or not to form a collective bargaining unit.

Next, President Barack Obama’s labor board has been considering electronic off-site voting, which is a form of computerized card check as it exposes an employee’s vote in a union election to the scrutiny of labor organizers. To make matters worse, the NLRB’s chairman, Mark Pearce, told a media outlet in 2012 that the so-called independent agency intended to “requir[e] businesses to hand over lists of employee phone numbers and emails to union leaders before an election.”

It would be wise for elected officials in Sacramento to demonstrate concern for their constituents, and eliminate the anti-stalking exemption for Big Labor bosses.

Katie Packer Gage is a spokeswoman for the Workforce Fairness Institute.

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The Time Has Come For Congress To Rein In Obama Labor Board

by Fred Wszolek (originally appeared in Townhall.com)

This week, the U.S. House of Representatives is slated to vote on the Preventing Greater Uncertainty in Labor-Management Relations Act (H.R. 1120) in an effort to rein a federal agency that has caused immeasurable harm to workers and the business community with its ill-conceived and biased decisions and rulings. The legislation would address the National Labor Relations Board (NLRB), which serves to handle discrepancies between businesses and labor organizations in the private sector.

Since President Obama was inaugurated in 2009 the Board has served as a vehicle for labor bosses to seek and receive preferential treatment over America’s employers. This has become even more pronounced since the demise of the Employee Free Choice Act (EFCA). This legislation – commonly known as card check – would have eviscerated secret ballot protections afforded to workers when engaging in a union election, as well as empower government to mandate contracts on employees and employers alike once a collective bargaining unit had been formed and an agreement had not been reached between the two parties in a short amount of time.

This legislation was as unnecessary as it was damaging to the economy. An economic study found that EFCA would have resulted in the loss of at least 600,000 jobs in the first year alone. Card check ultimately died as it failed to engender sufficient support among the President’s own party and was universally opposed by Republicans. Today, the legislation is so reviled, it has not been introduced in Congress, and there is zero chance it could become law.

With the loss of their dream legislation, and after giving nearly one billion dollars in campaign support to President Obama and his allies in the 2008 and 2012 elections, Big Labor bosses have been very clear they expect “payback.” And it has come in the form of a so-called independent agency, which has become known as Obama’s Labor Board. This is not an assumption; instead, it is a fact derived directly from organized labor. In 2010, Stewart Acuff, a “special assistant” to President Richard Trumka wrote in The Huffington Post, “It [sic] we aren’t able to pass the Employee Free Choice Act, we will work with President Obama and Vice President Biden and their appointees to the National Labor Relations Board to change the rules governing forming a union through administrative action…”

Since then, the NLRB has reached decisions that have harmed the ability of businesses to operate and hire, injected uncertainty into the marketplace, and negatively impacted the country as we continue to struggle mightily to recover from the Great Recession. For instance, the NLRB enacted a rule allowing for “ambush” elections which rush the collective bargaining process so significantly that workers cannot carefully consider arguments from both the business owner and labor organizer, while employers are severely restricted in their ability to provide information to their own workers. The Obama Labor Board also issued a decision which authorized the formation of “micro-unions” or small collective bargaining units made up of employees within one place of work. The decision only serves one discernible purpose: allow labor bosses to gain a foothold into workplaces they would not otherwise be able to as the majority of workers oppose the formation of a union.

With all this anti-business activity hosted in one agency, employees and employers were rightfully concerned, but anxiety turned into dismay when President Obama bypassed the U.S. Senate and tossed aside the advice and consent clause within the U.S. Constitution and made recess appointments to the NLRB while the Congress was convening in pro-forma sessions. Job creators knew the purpose, to continue to reward his largest political benefactor, but the President swore an oath to the constitution and was bound by it, as well as the system of checks and balances.

Therefore, when Obama’s NLRB reached a judgment against a Yakima-based beverage bottler in Washington State named Noel Canning, the legal route was pursued with the company arguing the order was invalid as the Board did not have a proper and legal quorum. And on January 25th, U.S. Court of Appeals for the D.C. Circuit agreed with the business and found that the so-called recess appointments made by President Obama were unconstitutional.

Unfortunately, the Board did not get the message. In fact, its chairman issued a statement shortly after the court reached its decision stating the federal agency was not bound by it. That has left Congress with no other alternative outside restricting these out-of-control bureaucrats and asserting its influence over the rogue agency. The solution put forward by legislators – the Preventing Greater Uncertainty in Labor-Management Relations Act – would temporarily prevent the Board from taking actions which require a quorum, meaning at least three members, until such time as the Senate confirms appointees to the federal agency, the U.S. Supreme Court rules on Noel Canning v. NLRB, or the first session of the 113th Congress adjourns, which will signify the conclusion of the terms of Sharon Block and Richard Griffin, the “recess” appointees in question.

The time has come for Congress to step in and address the actions of an administration that disregards the will of both the legislature and judiciary, both of which are co-equal branches of government. Members of Congress interested in standing up for the workers and businesses in their districts will vote in favor of the Preventing Greater Uncertainty in Labor-Management Relations Act.

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Obama Plays Games With Latest Round Of NLRB Nominations

By WFI Staff

Rewind to only two months ago when the House Education and Workforce Committee held a seminal hearing on the future of the National Labor Relations Board.  That hearing set the stage for eventual Committee markup and passage of H.R. 1120 – The Preventing Greater Uncertainty in Labor-Management Relations Act – but it also showed how low the Obama White House would go in playing political gamesmanship in response to it.

On the same day as that hearing, February 13th, President Obama announced the re-nomination of illegitimate “recess” appointees Richard Griffin and Sharon Block to the NLRB.  It was a petty move engineered to distract attention from a needed conversation on the unconstitutional appointments made the President while the U.S. Senate was still in session.  The Obama White House and Big Labor saw it as their line-in-the-sand, a message that they had no intention of compromising.

And the individuals nominated are actually current Board members Richard Griffin and Sharon Block.  Griffin has been named as a defendant in a racketeering and embezzlement case, and is specifically mentioned in the portion dealing with a cover up.  He also has the distinction of previously serving as general counsel of the International Union of Operating Engineers (IUOE), which has been characterized in the media as “tainted by mob ties” with a “history of corruption.”

Fast forward to April, and Obama is doing it again.  The U.S. House of Representatives plans to hold a floor vote on H.R. 1120, and observers expect the measure will pass.  Not to be outdone, the Obama White House today announced the nomination of three new candidates to the NLRB – two Republicans and one Democrat – presumably filling all five seats on the board.  Coincidence?  We don’t think so.  Just like back in February, the Obama White House is pushing its NLRB nominees at the exact same time the House prepares to vote this week on whether or not the NLRB should even function in its current state.  He may be unable to change the legal and legislative consequences, but he sure thinks he can change the conversation about it over the course of the news cycle.

Either President Obama is really nervous about his prospects in the federal court system and the potential passage of H.R. 1120 or he really believes he can shake up the process by playing sandbox games on critical policy issues.  Whatever the case, it would be helpful if he stepped down from his pedestal and actually talked with Congress instead of finding creative ways to run roughshod over constitutional checks and balances.

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Obama Is Letting The Unions Take Over And Hurt Small Businesses

by Hector Barreto (originally appeared in NBC Latino)

As someone who has operated for many years both in the business community as well as its representative in government, I know what considerations aspiring entrepreneurs and established employers factor in when determining whether to risk capital and start or grow an existing enterprise.  They look for demand in the marketplace for the product or service they are offering, they seek out a skilled and talented labor force, they consider whether there is sufficient investment capital to sustain their effort, and lastly, they study the regulatory and tax policies that will affect them at a federal, state and local level.

Even though – as a nation – we are working to improve our economy, educate students and workers in the skills necessary to excel in high-demand industries, and encourage the safe yet appropriate flow of capital in the form of loans for example, we have not been able to adequately address the last portion of the equation.

Since winning the election in 2008 and taking the oath of office, President Obama has preoccupied himself with rewarding his friends in Big Labor as opposed to concerning himself with sending a message to job creators that they have an ally in Washington, D.C.  The best example of this is a little known agency named the National Labor Relations Board (NLRB).  This federal and supposedly independent group is tasked with refereeing disputes between labor and employers in the private sector.  Yet, since early in Obama’s administration, the NLRB has dedicated itself to writing rules and issuing decisions that benefit union bosses, while hurting America’s small business owners.

As former head of the Small Business Administration, I have met with hundreds of employers who time and again reiterate the need for a partner in the nation’s capital who is committed to making it easier for them to assume risk and hire, expand their offering and/or purchase new equipment.  Unfortunately, today, many don’t see an ally in the Oval Office, rather an antagonist more concerned with empowering union bosses than recognizing the legitimate needs of job creators.

Examples of the ill-advised and damaging actions undertaken by the NLRB, include a decision to authorize the formation of multiple, mini collective bargaining units known as “micro-unions” under one employer’s roof, which would dramatically increase labor relations costs and promote discord rather than harmony among employees.  Next, the Board sought to condense the time period workers have to vote in a union election to less than two to three weeks leaving them open to pressure-filled lobbying by union organizers without the benefit of the voice of their employer.  This same board also sought to punish the Boeing Company for opening a production facility in South Carolina that created thousands of jobs in the state.

The small business sector, which currently employs nearly 60 million Americans, roughly half of private sector employees, will lead our nation out of this prolonged period of economic idleness toward sustained and meaningful expansion and growth.  But this requires certainty that there is a willing and open partner in government looking to reward hard work and success.  Thus far, the Obama Administration has not served as a catalyst in this area despite its rhetoric; instead, government agencies have heightened anxiety and concern among employers leading to depressed economic activity and hiring.

If the President is as intent on turning around the economy, as his oratory suggests, he will work to rein in an out-of-control regulatory regime, starting with his National Labor Relations Board.  The choice is his; otherwise, the business community will sit on the sidelines and wait for a chief executive committed to working with them as opposed to discouraging their engagement in any economic recovery.

Hector V. Barreto is a nationally recognized businessman and community leader. He served five years as the Administrator of the U. S. Small Business Administration after being appointed by President George W. Bush and unanimously approved by the United States Senate on July 25, 2001. Upon his return to the private sector in 2006, he has assumed leadership in a wide range of business, civic and charitable activities. Mr. Barreto serves as the Chairman of The Latino Coalition, a national organization that represents Latino interests with senior executives of many Fortune 500 companies and government agencies.

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The Future Of Big Labor’s Central States Pension Plan Precarious, At Best

By WFI Staff

Credit Suisse reported in 2012 that multi-employer pensions managed by union bosses in 2012 were just 52 percent funded.  According to the Pension Benefit Guaranty Board (PBGB), in 2012, there were well over 150 union-managed funds classified as “critical” or “endangered.”  What all this means is that the funds lack the cash to pay promised benefits and may have to cut them threatening the retirement security of millions of  American workers.

Thomas Nyhan is the executive director of  one such fund, the Teamster’s Central States Pension Fund.

Nyhan admitted in a recent The Wall Street Journal interview that “[t]here is a reasonable possibility that this plan could run out of money in about a dozen years.”

Central States is the second largest multi-employer pension plan in the nation with $18 billion in assets.  One of its contributing companies  Republic Services, Inc., a waste management business, bravely bit the bullet recently and bought itself and its workers out of the fund.  Republic finalized a deal with three Michigan-based Teamster unions to pull 800 of its sanitation workers out of the Central States fund limiting the company’s future risk and protecting its workers.

Writes Michael Corkey in The Wall Street Journal: “With just 60 cents of assets for every $1 in obligations, the Teamsters pension fund is considered in ‘critical’ status by the Pension Benefit Guaranty Corp., the federal agency that backstops failed pensions.  The price for exiting from the fund is steep.  Republic estimates it must pay a ‘withdrawal liability’ of as much as $146 million to cover the company’s share of Central States’ unfunded liability.  This amount could go up if the company stays in the plan and the funding level deteriorates.”

In the meantime, some allege that the Central States, founded by legendary union leader Jimmy Hoffa, is a money trough for union bosses who regularly dip into it for their own political and personal objectives.  According to a 2009 Wall Street Journal article (“Union Pensions in the Red,” July 29, 2009) the lack of liquidity in union pension funds began well before the crash of 2008.  For example, Unite HERE’s National Retirement Fund was 115% funded in 1998, but dropped to 83.4% in 2007.  The article concludes, “Poor management probably deserves some of the blame for the union decline but the exact causes are a mystery.”

Hopefully other employers will be able to afford to buy themselves and their workers out of the terrible bind poor financial management on the part of the nation’s union bosses has put them in.

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