Striking teachers descend on West Virginia’s Capitol to demand pay raises

From ABC News:

Thousands of striking teachers descended on the West Virginia Capitol on Monday, forcing officials to briefly cut off access to the building six days after Gov. Jim Justice and unions representing the teachers reached an agreement on a 5 percent pay raise that was subsequently rejected by the state Senate.

The Capitol – closed after 5,000 people had entered early Monday , posing security concerns – was reopened an hour later, but teachers continued to vent their frustration over the lack of progress in agreement over a pay raise. Their strike, in one of the poorest states in the country, has disrupted education, forced working parents to scramble for child care and put children who rely on meals at school at risk of going hungry.

The strike entered a new week Monday with teachers waiting for state lawmakers to agree on a pay raise; House and Senate negotiators scheduled a Monday afternoon meeting to try to resolve their differences. The statewide strike has kept public schools shut for 277,000 students and 35,000 employees for a week.

In a state with a 17.9 percent poverty rate, teachers, bus drivers and other volunteers are collecting food and helping to distribute it to students who rely on free breakfasts and lunches at school. Teachers were sharing stories about how they’ve donated their time, their own money or their own food for that cause. At least two GoFundMe pages have been launched in support of the walkout.

“It does make you feel good because we are helping them,” said Ann Osburn, a special education teacher at Buckhannon Academy. “I think we’re reaching as many as we can. We’re getting as much help out there as we can for those kids.”

Rachel Stringer, as a stay-at-home mom from Cross Lanes, hasn’t had to struggle to find care for her five children, but numerous friends are in a bind. She said her biggest challenge has been making sure her children don’t forget what they’ve learned this school year. Despite the long layoff, Stringer is supportive of the teachers.

“They deserve to be paid,” she said. “They deserve to be able to have insurance.”

Read the complete article here.

Disney Theme Park Workers Are Picketing for Better Pay as Profits Soar

From Fortune Magazine:

Walt Disney Co. is finding itself in heated talks with union workers over pay and other issues as profits at the company’s theme-park division soar.

Employees have picketed outside Walt Disney World and complained in writing about being shut out of Disneyland for the annual holiday party. Last week, unions representing park workers in Florida and California filed complaints with the National Labor Relations Board over Disney’s decision to withhold a special $1,000 tax-reform bonus while contracts talks are underway, saying the company discriminated against those staffers.

“Here is a company that has the best movies about how we’ve got to help one another and how racism is wrong and how we’ve got to take care of our toys,” said Glynndana Shevlin, a 58-year-old who’s worked for almost 30 years at Disney. She makes $15.70 an hour serving wine and is among those waiting for her bonus. “I don’t feel like they take care of me when it comes to my own life.”

Read the complete article here.

SCOTUS Hears Fiery Arguments In Case That Could Gut Public Sector Unions

From NPR News:

The Supreme Court heard fiery arguments Monday in a case that could remove a key revenue stream for public sector unions.

A sharply divided court could be poised to overturn a 40-year-old Supreme Court decision that would further undermine an already shrinking union movement.

Attorneys for Mark Janus, a child support specialist for the state of Illinois, argue that people like Janus, who choose not to join a union, shouldn’t be compelled to pay partial union fees. The union argues that he should because he benefits from collective bargaining negotiations. The Supreme Court agreed in 1977, but that could change with the new conservative tilt of the court.

When a decision is reached, expected in June, all eyes will be on Trump-appointed Justice Neil Gorsuch, who was uncharacteristically quiet in Monday’s proceedings. He asked no questions and is likely to be the deciding vote, given that the other justices split 4 to 4 in a similar case in 2016. That case was decided just after the death of Justice Antonin Scalia, and the balance didn’t seem to change Monday.

“You’re basically arguing, do away with unions,” Justice Sonia Sotomayor argued at one point in questioning the attorney for the National Right to Work Legal Foundation, William Messenger.

On the other side, conservatives sympathized with Janus’ argument that the unions are political, and people shouldn’t have to join a union they disagree with on politics.

Chief Justice John Roberts argued that what unions do affects policy and therefore makes them political. “How do negotiation over wages not affect the state budget?” he asked.

Justice Anthony Kennedy asked David Frederick, the attorney for the American Federation of State, County and Municipal Employees Illinois affiliate, whether a ruling against AFSCME would reduce its political influence.

Frederick agreed that it would.

“Isn’t that the end of this case?” Kennedy asked.

Liberal Justice Elena Kagan warned against the potential breadth of the decision, which would affect 23 states, Washington, D.C., and Puerto Rico, which have similar laws on the books.

“Thousands of municipalities would have contracts invalidated,” Kagan warned. “Those contracts probably cover millions, maybe up to over 10 million, workers.”

Read the complete article here.

Title VII of Civil Rights Act Protects Gay Workers, Federal Appeals Court Rules

From today’s New York Times:

A federal appeals court in Manhattan ruled on Monday that federal civil rights law bars employers from discriminating based on sexual orientation.

The case, which stemmed from the 2010 dismissal of a Long Island sky-diving instructor, was a setback for the Trump Justice Department, whose lawyers found themselves in the unusual position of arguing against government lawyers from the Equal Employment Opportunity Commission.

The E.E.O.C. had argued that Title VII of the 1964 Civil Rights Act, which bars workplace discrimination based on “race, color, religion, sex or national origin,” protected gay employees from discrimination on the basis of sexual orientation.

But the Trump Justice Department took the position that the law did not reach sexual orientation, and said the E.E.O.C. was “not speaking for the United States.”

The Justice Department and Altitude Express, the instructor’s employer, could seek review of the decision by the United States Supreme Court, although neither party had any immediate comment on the ruling.

Read the complete article here.

People Want 3 Things from Work, But Most Firms Are Built Around Only One

From today’s Harvard Business Review:

Strike up a conversation about work values, and it won’t be long before someone brings up a pyramid — a famous psychologist’s best-known theory. Abraham Maslow’s big idea was that we all have a hierarchy of needs: once our basic physiological and safety needs are fulfilled, we seek love and belongingness, then self-esteem and prestige, and finally self-actualization. But that pyramid was built more than half a century ago, and psychologists have recently concluded that it’s in need of renovation.

When you review the evidence from the past few decades of social science, it’s hard to argue with Maslow’s starting point. If your basic needs aren’t met, it’s hard to focus on anything else. If you have a job that doesn’t pay enough, and you’re up all night worrying about survival, chances are you won’t spend much time dwelling on self-actualization.

But Maslow built his pyramid at the dawn of the human relations movement, when so many workplaces in the manufacturing economy didn’t have basic physiological and safety needs covered. Today more companies are operating in knowledge and service economies. They’re not just fulfilling basic needs; they’re aiming to fulfill every need, providing conveniences like meals and gyms, and competing to be the best places to work (from 1984 through 2011, those that won outperformed their peers on stock returns by 2.3% to 3.8% per year). In those environments, survival isn’t in question.

And once you get past that layer of the pyramid, the rest of it falls apart. People don’t need to be loved before they strive for prestige and achievement. And they don’t wait for those needs to be fulfilled before pursuing personal growth and self-expression.

If Maslow were designing his pyramid from scratch today to explain what motivates people at work, beyond the basics, what would it look like? That’s a question we set out to answer at Facebook, in collaboration with our people analytics team.

We survey our workforce twice a year, asking what employees value most. After examining hundreds of thousands of answers over and over again, we identified three big buckets of motivators: career, community, and cause.

Career is about work: having a job that provides autonomy, allows you to use your strengths, and promotes your learning and development. It’s at the heart of intrinsic motivation.

Community is about people: feeling respected, cared about, and recognized by others. It drives our sense of connection and belongingness.

Cause is about purpose: feeling that you make a meaningful impact, identifying with the organization’s mission, and believing that it does some good in the world. It’s a source of pride.

These three buckets make up what’s called the psychological contract – the unwritten expectations and obligations between employees and employers. When that contract is fulfilled, people bring their whole selves to work. But when it’s breached, people become less satisfied and committed. They contribute less. They perform worse.

Read the complete article here.

Opinion: The ‘Manly’ Jobs Problem

From today’s New York Times:

Insults, groping — even assault. That kind of sexual harassment came along with being one of the very few women on a construction site, in a mine, or in a shipyard. Those professions remain male-dominated and the harassment can seem, for countless women, to be intractable.

But what if the problem isn’t simply how their male co-workers behave? What if the problem is the very way society has come to see the jobs themselves? Some jobs are “male” — not just men’s work, but also a core definition of masculinity itself. Threatening that status quo is not just uppity — it can be dangerous.

This dynamic plays out in workplaces of all classes and crosses partisan political lines. But it is particularly stark in the blue-collar jobs that once scored a kind of manly trifecta: They paid a breadwinner’s wage, embodied strength and formed the backbone of the American economy.

As Christine Williams, a professor of sociology at the University of Texas at Austin, pungently put it, women in so-called men’s jobs are labeled either “sluts or dykes,” each abused in their own ways. Although statistics are spotty, some studies have concluded that sexual harassment is more regular and severe in traditionally male occupations. And a Times Upshot analysis of blue-collar occupations showed that women’s presence in these jobs stayed static or shrank between 2000 and 2016.

Women are so scarce in these trades that some men refuse to see them as women. The only woman in a repair crew at wind-farm sites charged in a lawsuit that her co-workers called her by male nicknames, from common to obscene, because they thought only a man could handle the job. Men suggested she must have a penis or be a lesbian.

Read the complete article here.

When Wall Street Writes Its Own Rules, It’s An Age of Unprecedented Corruption

From today’s New York Times:

On July 25, 2013, a high-ranking federal law enforcement officer took a public stand against malfeasance on Wall Street. Preet Bharara, then the United States attorney for the Southern District of New York, held a news conference to announce one of the largest Wall Street criminal cases the American justice system had ever seen.

Mr. Bharara’s office had just indicted the multibillion-dollar hedge fund firm SAC Capital Advisors, charging it with wire fraud and insider trading. Standing before a row of television cameras, Mr. Bharara described the case in momentous terms, saying that it involved illegal trading that was “substantial, pervasive and on a scale without precedent in the history of hedge funds.” His legal action that day, he assured the public, would send a strong message to the financial industry that cheating was not acceptable and that prosecutors and regulators would take swift action when behavior crossed the line.

Steven A. Cohen, the founder of SAC and one of the world’s wealthiest men, was never criminally charged, but his company would end up paying $1.8 billion in civil and criminal fines, one of the largest settlements of its kind. He denied any culpability, but his reputation was still badly — some might argue irreparably — damaged. Eight of his former employees were charged by the government, and six pleaded guilty (a few later had their convictions or guilty pleas dismissed). Mr. Cohen was required to shut his fund down and was prohibited from managing outside investors’ money until 2018.

Now, with the prohibition having expired in December, Mr. Cohen has been raising money from investors and is set to start a new hedge fund. He’ll find himself in an environment very different from the one he last operated in. His resurrection arrives as Wall Street regulation is under assault and financiers are directing tax policy and other aspects of the economy — often to the benefit of their own industry. Mr. Cohen is a powerful symbol of Wall Street’s resurgence under President Trump.

As the stock market lurched through its stomach-turning swings over the past week, it was hard not to worry that Wall Street could once again torpedo an otherwise healthy economy and to think about how little Mr. Trump and his Congress have done to prepare for such a possibility. Stock market turbulence typically prompts calls for smart and stringent financial regulation, which is not part of the Trump agenda. One of Mr. Trump’s first acts as president was to fire Mr. Bharara, who made prosecuting Wall Street crime one of his priorities. Mr. Trump has also given many gifts to people like Mr. Cohen.

Read the complete article here.

SCOTUS conservatives set to strike down union fees on free-speech grounds

From today’s LA Times:

Paying union dues and baking a wedding cake may not seem like classic examples of free speech—except perhaps at the Supreme Court.

This year, the high court is poised to announce its most significant expansion of the 1st Amendment since the Citizens United decision in 2010, which struck down laws that limited campaign spending by corporations, unions and the very wealthy.

Now the “money is speech” doctrine is back and at the heart of a case to be heard this month that threatens the financial foundation of public employee unions in 22 “blue” states.

Like Citizens United, the union case is being closely watched for its potential to shift political power in states and across the nation.

The legal attack on the campaign funding laws was brought by conservative activists who hoped that the free flow of money from wealthy donors would boost Republican candidates. And since 2010, the GOP has achieved big gains in Congress and in state legislatures across the nation.

Conservatives also believe the attack on mandatory union fees has the potential to weaken the public sector unions that are strong supporters of the Democratic Party.

“This is a big deal,” Illinois’ Republican Gov. Bruce Rauner said in September on the day the Supreme Court said it would hear the lawsuit that he initiated. A court victory would be “transformative for the state of Illinois, transformative for America and the relationship between our taxpayers and the people who work for our taxpayers.”

Read the complete article here.

Market Update: Why Rising Wages Are Scaring the Hell Out of Stock Investors

From today’s Slate Magazine:

On Friday, the U.S. Department of Labor released a strong jobs report showing wages rising at their fastest rate since the Great Recession. Then, the stock market promptly began to plummet. The Dow Jones fell an amusingly on-the-nose 666 points—its worst day since the U.K.’s Brexit surprise. Global markets subsequently took a beating, and U.S. equities are still sliding as I write this today.

Why is good news for workers turning into bad news for shareholders? The answer is a useful illustration of why the stock market is often a poor guide to the overall health of the economy.

Right now, traders seem to be worried that if wages rise too fast, it will cause the Federal Reserve to hike interest rates in order to head off inflation down the road. When, earlier this year, the central bank suggested that it would raise rates, much of the market was skeptical, in part because inflation has been so subdued for so long. But faster pay gains for workers make it more likely the Fed will follow through, both because rising wages are a sign that the whole economy is heating up and because employers will eventually have to raise prices to keep up with the cost of labor.

Read the complete article here.

Amazon, JPMorgan, Berkshire Hathaway team up to lower healthcare costs for their workers — and maybe everyone

From today’s LA Times:

Three of the nation’s most formidable companies — Amazon.com, Berkshire Hathaway Inc. and JPMorgan Chase & Co. — sent shock waves through the healthcare industry Tuesday by announcing a joint plan to reduce healthcare costs for their U.S. employees.

Although the companies said their focus mainly would be on providing improved healthcare for their own U.S. workers, which total nearly 1 million, the move immediately triggered speculation that any solutions they develop could spread throughout the industry.

That sent healthcare, drug and health-insurance stocks tumbling even though the three companies provided few initial details about their venture, with investors guessing that the trio’s initiative eventually could crimp sales growth and profits for others in the healthcare field.

Consumers might see a benefit if the companies could develop a blueprint for curbing the surge in healthcare and drug costs while maintaining or enhancing patient care, a scenario that government and the industry so far have struggled to achieve.

The speculation of a disruption to the industry was fueled by the stature of the three companies’ billionaire chief executives: Amazon’s Jeff Bezos, who already has radically changed the retail industry; Warren Buffett, the famed investor who also oversees dozens of companies under Berkshire’s umbrella; and Jamie Dimon, whose JPMorgan Chase is the nation’s largest bank with $2.5 trillion in assets.

Bezos and Buffett also are two of the nation’s richest people, with net worths of $119 billion and $92 billion, respectively, while Dimon’s net worth is just over $1 billion, according to Forbes.

The three said they would start “an independent company that is free from profit-making incentives and constraints” and that its early focus “will be on technology solutions” that would provide “simplified, high-quality and transparent healthcare at a reasonable cost.”

Read the complete article here.