Thousands of Furloughed Federal Workers File for Unemployment Benefits

From today’s New York Times:

On the second day of the year, Danielle Miller gave up on the federal government.

Furloughed from her Internal Revenue Service job near Cincinnati and fearful of running out of money during the partial government shutdown, she filed for unemployment benefits: $414 a week, about $200 less than usual.

“Once Christmas came and went, after New Year’s, I was like, I can’t go on,” said Ms. Miller, a single mother who has worked for the I.R.S. for almost 14 years. She spent part of this week calculating when her first unemployment check would arrive. “It’s disappointing, and it’s frustrating,” she said. “I have a job.”

The shutdown, the longest on record, is prompting tens of thousands of federal employees to seek jobless benefits. As the impasse meanders through its fourth week and more bills come due, their numbers have been growing.

On Thursday, two days after the White House doubled its projections and warned that the shutdown was reducing quarterly economic growth by 0.13 percentage points per week, the Labor Department reported 10,454 initial claims by federal workers for the week that ended Jan. 5, doubling the previous week’s figure. Thousands more have applied since, state officials said.

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First teachers’ strike in 30 years leaves half a million L.A. students in limbo

From today’s Los Angeles Times:

With umbrellas in one hand and picket signs in the other, Los Angeles teachers braved cold, drizzly weather Monday morning as they walked off the job in their first strike in 30 years to demand smaller class sizes, more support staff at schools and better pay.

L.A. teachers go on strike

“Let’s be clear, educators don’t want to strike,” United Teachers Los Angeles President Alex Caputo-Pearl said to a crowd of supporters during a morning news conference at John Marshall High School in Los Feliz. “We don’t want to miss time with our students. We don’t want to have less money for the car payment or less money for the school supplies that we always end up buying ourselves.”

The strike became inevitable when negotiations broke off late Friday afternoon between the L.A. Unified School District and the teachers union after more than 20 months of bargaining.

Schools are open during the strike, but it’s not clear how many students will head to classes in the nation’s second-largest school system. Staffers at some schools said attendance appeared to be low Monday, but official numbers were not immediately available.

During the last teachers’ strike, about half of the district’s students went to school. The plan at many schools for this strike is to gather students into large groups so they can be supervised by fewer adults. It’s not clear how much learning will be going on outside of the real-time civics lessons happening on the sidewalks.

Read the complete article here.

No agreement to avert L.A. teachers’ strike after a long day of bargaining

From today’s Los Angeles Times:

A last-ditch bargaining effort to avert a Los Angeles teachers’ strike fell short Monday, although the two sides have agreed to meet again on Wednesday morning, the day before a strike is scheduled to begin.

No agreement to avert L.A. teachers’ strike after a long day of bargaining

Whether the strike starts on schedule could depend more, however, on legal maneuvers that will play out on Tuesday.

In a twist, it is the union that is going to Los Angeles Superior Court over whether it followed the rules. The union’s goal is to preempt the district from going to court on the same issue after a strike begins. Were that to happen, a judge could shut down the strike for several days, killing its momentum and perhaps making union leaders look — to the public and their members — inept.

UTLA is expected to argue that it has provided ample notice of its intent to strike. The union publicly announced its Jan. 10 strike date on Dec. 19.

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L.A. teachers set to strike Jan. 10. Union says it has no plans for more negotiating

From today’s Los Angeles Times:

A labor agreement is not the only thing dividing the Los Angeles Unified School District and its teachers. One missing element crucial to coming together on a contract deal — and averting a strike — is trust.

L.A. teachers set to strike Jan. 10. Union says it has no plans for more negotiating

On Wednesday, the union representing Los Angeles teachers announced that its 31,000 members will walk out Jan. 10 and that it has no plans to return to the negotiating table.

The union announcement came one day after L.A. schools Supt. Austin Beutner portrayed his side as the reasonable party in the dispute and said he was willing to negotiate around the clock.

The two sides appear to agree on very little.

Union leaders seem certain that those running L.A. Unified have a secret plan to dismantle traditional public education in Los Angeles. District officials seem just as certain that the union has always been determined to strike, even before negotiations began.

The district declares itself in financial straits too dire to meet many union demands. The union says there is money available.

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Amazon announces it’s raising minimum wage for U.S. workers to $15 per hour

From today’s Los Angeles Times:

Amazon is boosting its minimum wage for all U.S. workers to $15 per hour starting next month.

The company said Tuesday that the wage increase will benefit more than 350,000 workers, which includes full-time, part-time, temporary and seasonal positions. It includes Whole Foods employees. Amazon’s hourly operations and customer service employees, some who already make $15 per hour, will also see a wage increase, the Seattle-based company said.

Amazon raising minimum wage for U.S. workers to $15 per hour

Amazon has more than 575,000 employees globally. Pay for workers at Amazon can vary by location. Its starting pay is $10 an hour at a warehouse in Austin, Texas, and $13.50 an hour in Robbinsville, N.J. The median pay for an Amazon employee last year was $28,446, according to government filings, which includes full-time, part-time and temporary workers.

Amazon said its public policy team will start pushing for an increase in the federal minimum wage of $7.25 per hour.

“We intend to advocate for a minimum wage increase that will have a profound impact on the lives of tens of millions of people and families across this country,” Jay Carney, senior vice president of Amazon global corporate affairs, said in a statement.

Read the complete article here.

The stock market boom has given CEOs a raise. What about average workers?

From today’s PBS News Hour:

Over the past few years, many economic indicators have returned to where they were before the Great Recession — among them, the unemployment rate, which has dropped below the 5 percent mark of 2007, housing prices and the stock market, which has nearly doubled its pre-recession peak.

Another, buoyed by rising stock prices: the enormous pay difference between CEOs of the largest U.S. companies and their employees, who earn more than 300 times less than those at the top, according to new data.

Here’s a closer look at the issue.

How has CEO compensation changed?

In 2000, the average CEO was paid 343 times more than the average worker, according to the liberal-leaning Economic Policy Institute. That number dropped to about 188-to-1 in 2009.

It has since rebounded to 312-to-1 last year, according to a report from the Economic Policy Institute.

From 2016 to 2017, the average pay of CEOs from the top 350 publicly traded firms increased 17.6 percent — to $18.9 million — even after being adjusted for inflation, the group found.

How to close the gap

The reason for the pay disparity between CEOs and employees is relatively simple. Closing the gap is much more complex.

A number of methods have been proposed to close the gap, including a cap on compensation, clawbacks for poor performance or executive misconduct, and, as mentioned previously, mandatory publishing of CEOs’ salaries.

James Galbraith, the director of the University of Texas Inequality Project who also served as an adviser to Sen. Bernie Sanders’ presidential campaign, said U.S. companies should look to other countries where laws encourage business leaders to reinvest in their tangible products instead of their stocks.

Read the complete article here.

Americans Want to Believe Jobs Are the Solution to Poverty. They’re Not.

From today’s New York Times:

U.S. unemployment is down and jobs are going unfilled. But for people without much education, the real question is, Do those jobs pay enough to live on?

These days, we’re told that the American economy is strong. Unemployment is down, the Dow Jones industrial average is north of 25,000 and millions of jobs are going unfilled. But for people like Vanessa, the question is not, Can I land a job? (The answer is almost certainly, Yes, you can.) Instead the question is, What kinds of jobs are available to people without much education? By and large, the answer is: jobs that do not pay enough to live on.

In recent decades, the nation’s tremendous economic growth has not led to broad social uplift. Economists call it the “productivity-pay gap” — the fact that over the last 40 years, the economy has expanded and corporate profits have risen, but real wages have remained flat for workers without a college education. Since 1973, American productivity has increased by 77 percent, while hourly pay has grown by only 12 percent. If the federal minimum wage tracked productivity, it would be more than $20 an hour, not today’s poverty wage of $7.25.

American workers are being shut out of the profits they are helping to generate. The decline of unions is a big reason. During the 20th century, inequality in America decreased when unionization increased, but economic transformations and political attacks have crippled organized labor, emboldening corporate interests and disempowering the rank and file. This imbalanced economy explains why America’s poverty rate has remained consistent over the past several decades, even as per capita welfare spending has increased. It’s not that safety-net programs don’t help; on the contrary, they lift millions of families above the poverty line each year. But one of the most effective antipoverty solutions is a decent-paying job, and those have become scarce for people like Vanessa. Today, 41.7 million laborers — nearly a third of the American work force — earn less than $12 an hour, and almost none of their employers offer health insurance.

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He said he refused his company’s Bible study. After being let go, he’s suing.

From today’s Washington Post:

A 34-year-old painter is suing Dahled Up Construction, a company based south of Portland, Ore., for allegedly firing him after he refused to join a Christian Bible group for employees. Ryan Coleman is seeking $800,000 from the company after its owner allegedly said participation in the Bible group was required if he wanted to keep his job.

Coleman told The Washington Post that when he explained to the company’s owner, Joel Dahl, that he had different beliefs, Dahl said: “If you want to keep your job, everybody needs to attend. If not, I’m going to be forced to replace you.”

Coleman said he initially took part in the weekly, hour-long Bible classes for six months, fearing he wouldn’t be able to find another job.

Dahl’s attorney, Kent Hickam, described Dahl as a “second-chance employer.” Dahl told the Oregonian that he once served prison time for attempted second-degree assault and struggled with drugs and alcohol. He said he started Dahled Up Construction in 2016 after years of staying sober with the hope of hiring other convicted felons or those who have battled addiction.

Read the complete article here.

Why You Should Tell Your Co-Workers How Much Money You Make

From today’s New York Times:

So how much do you make?

It’s a loaded, deeply personal and often uncomfortable question. Along with our weight and age, our salary is a number to which we’ve assigned almost incomparable value.

And, when we’re asked, what many of us really hear is this: What’s your worth as a person?

“Money is so tied up with really complex and difficult emotions, like shame, success, fear of failure and how people view you,” said Brianna McGurran, a money expert at the personal finance blog NerdWallet. “So when you’re talking about how much you earn, or how much you’re saving, a lot of people end up tying that to their self-worth.”

She added: “Salary is so close to our identity. It’s the core part of all of this.”

That money — along with sex, politics and religion — is a topic best avoided in polite conversation is a cultural concept many of us are raised on, and taboos around discussing income can be particularly sensitive.

Read the complete article here.

In victory for unions, judge overturns key parts of Trump executive orders

From today’s Washington Post:

A federal judge late Friday dealt a victory to federal employees and the unions that represent them, invalidating overnight key provisions of a series of Trump administration executive orders aimed at making it easier to fire employees and weaken the unions.

The overnight ruling by U.S. District Judge Ketanji Brown Jackson in Washington was a setback to the White House’s efforts to rein in the power of federal unions. Though federal employees’ pay is set by Congress, their unions have retained significant power even as private-sector unions have been in decline.

The three executive orders, issued just before Memorial Day, had sought to severely restrict the use of “official time” — on-duty time that union officials can spend representing their members in grievances and on other issues. The rules also limited issues that could be bargained over in union negotiations. And it rolled back the rights of workers deemed to be poor performers to appeal disciplinary action against them.

Read the complete article here.