Unemployment rates are lower and wages are higher in right-to-work states

Map of right-to-work states: Michigan is #24

Previously, we saw that unemployment rates in right-to-work states were MUCH lower than in states that force workers to join unions and pay union dues in order to work.

Curtis sent me this article from Investors Business Daily, which looks at whether wages are lower in states that have right-to-work laws.

Excerpt:

The president says right-to-work laws mean “the right to work for less money.” So how does he explain the fact that incomes are up in RTW states while forced unionism is a proven job killer?

Campaigning Monday in Michigan as it stood poised to become the nation’s 24th right-to-work state, President Obama spoke the exact opposite of the truth to union workers at a Daimler Detroit Diesel plant in the birthplace of organized labor.

Is Obama telling the truth?

Let’s see:

According to Michigan’s Mackinac Center, using data taken from the Bureau of Economic Analysis and Bureau of Labor Statistics, private-sector, inflation-adjusted employee compensation in right-to-work states increased by 12% between 2001 and 2011 compared with just 3% over the same period in forced-unionization states.

These good wages came from good jobs. Employment in right-to-work states expanded 2.4% over the same stretch vs. a 3.4% decline in non-right-to-work states. Ironically, Obama is taking credit for jobs created in RTW states.

According to the National Institute for Labor Relations Research, right-to-work states (excluding Indiana, which passed a RTW law in early 2012) “were responsible for 72% of all net household job growth across the U.S. from June 2009 through September 2012.”

This is why people vote with their feet and move to these states. RTW states experienced large population gains of 15.3% from 2000 to 2010, compared to 5.9% in non-RTW states.

Obama did get one thing right, though, when he said the bills that passed both houses of the Michigan legislature “don’t have to do with economics. They have everything to do with politics.”

The president who fought Boeing’s expansion in RTW South Carolina knows it’s all about his keeping union dues flowing into Democratic coffers and maintaining the plush lifestyles of the union leaders who support him.

The right thing for Republicans to do when they get elected is to cut off all sources of funding for the Democrat Party. Right-to-work laws and school choice promote freedom and diminish the amount of power that left-wing, pro-abortion, pro-gay-marriage labor unions can exert. They will have less money, and with less money, they will have less influence on elections. Let the people decide, not the powerful, corrupt labor unions.

Related posts

• Michigan governor Rick Snyder signs right-to-work bill into law
• Michigan approves right-to-work law for private sector unions
• Twinkies company liquidates due to demands of greedy labor union
• Indiana passes right-to-work law and is now open for business – and jobs
• Do right-to-work or forced union states create more high-paying jobs?
• What is a “right-to-work” law, and why do Democrats oppose them?
• Florida Republicans ban automatic deduction of union dues
• Republicans introduce national right-to-work legislation
• Ohio Republicans pass bill to cut bloated union salaries and benefits

Filed under: News, Business, Card Check, Contributions, Democrat, Democrat Party, Donations, Employment, Free Trade, Job Creator, Jobs, Labor Union, Labour Union, Manufacturing, Membership, Political Contributions, Politics, Protectionism, Public School, Regulation, Republican, Right to Work, Salary, States, Tax the Rich, Taxes, Teacher Union, Union, Union Dues, Worker, Working Families

Michigan governor Rick Snyder signs right-to-work bill into law

Map of right-to-work states: Michigan is #24

It’s official – Michigan has enacted a new right-to-work law that will create more jobs and free workers from having to violate their consciences by forcibly supporting pro-abortion, pro-gay marriage policies via their mandatory union dues.

Here’s an interesting article by Byron York in the Washington Examiner, discussing the political significance of this development.

Excerpt:

Republicans say the move would not only give current workers the freedom to choose whether to join a union and pay dues but would, more importantly, bring many, many new jobs to Michigan. Rep. Gov. Rick Snyder, who supports the bill, points out that Indiana enacted (after a long and bitter fight) the same kind of law earlier this year. “We’ve carefully watched what’s gone on in Indiana since they passed similar legislation back in February,” Snyder told Fox News’ Greta van Susteren last week, “and they’ve seen a significant increase in the number of companies talking about [bringing] thousands of jobs to their state.”

Of course, the move is not just economic. It’s political, too. Democrats depend on millions — actually, billions — of dollars in support from the forced dues of union members. If that money supply were to dry up, or even just decrease, the Democratic Party would be in serious trouble.

De-funding the unions is the first step to education reform. And Michigan students need education reform very badly. Even 40% of the union workers – who are much more sensible and patriotic than the union bosses – agree with the new law:

Regardless of news reports, the people of Michigan are behind this. A recent poll showed that 51 percent of Michigan voters support right-to-work. Only 41 percent are opposed. In fact, 40 percent of union households supported it. In November, Michigan voters rejected a ballot proposal that would have amended the state constitution to prevent the legislature from passing a right-to-work law and elevated union contracts above state law. The New York Times called it “a test case on enshrining the rights of unions,” and unions spent more than $23 million campaigning for the initiative. It lost by 15 points.

[...][M]aking union dues voluntary makes union organizers less aggressive—they get less financial benefit from organizing new firms, because they cannot force workers to pay them. Union organizing attempts drop 40 percent to 50 percent after states pass a right-to-work law. That in turn attracts business investment. Employers want to know unions will leave them alone if they treat their workers well. As a result, right-to-work states have lower unemployment rates—and more manufacturing jobs.

CNS News reports that only 7% of Detroit public school 8th graders can read at proficiency level.

Excerpt:

In the public schools in Detroit, Mich., according to the U.S. Department of Education, only 7 percent of the eighth graders are grade-level proficient or better in reading.

Some public school teachers in the City of Detroit and around the state of Michigan are reportedly taking a vacation or a sick day today to protest right-to-work legislation likely to be approved by the state legislature. Under current law, Michigan public school teachers must pay dues to the teachers’ union. If the right-to-work law is enacted, Michigan public-school teachers will be free to join the union and pay dues to it if they wish, but they will also be free not to join the union and not to pay it dues.

Detroit public-school eighth graders do even worse in math than they do in reading, according to the Department of Education. While only 7 percent scored highly enough on the department’s National Assessment of Educational Progress test in 2011 to be rated “proficient” or better in reading, only 4 percent scored highly enough to be rated “proficient” or better in math.

Statewide in Michigan, only 32 percent of public-school eighth graders scored grade-level proficient or better in reading, and only 31 percent scored grade-level proficient or better in math.

According to this report, over 26,000 students missed school because of the “sick day” protest by the teachers.

Here’s a video of what happens at the protests:

The actual unemployment rate of right-to-work states is 6.7%. Compare that with the 8.7% unemployment rate of forced-unionism states. Jobs are the number one priority right now, and right-to-work means more jobs.

Related posts

• Michigan approves right-to-work law for private sector unions
• Twinkies company liquidates due to demands of greedy labor union
• Indiana passes right-to-work law and is now open for business – and jobs
• Do right-to-work or forced union states create more high-paying jobs?
• What is a “right-to-work” law, and why do Democrats oppose them?
• Florida Republicans ban automatic deduction of union dues
• Republicans introduce national right-to-work legislation
• Ohio Republicans pass bill to cut bloated union salaries and benefits

Filed under: News, Business, Card Check, Contributions, Democrat, Democrat Party, Donations, Employment, Free Trade, Job Creator, Jobs, Labor Union, Labour Union, Manufacturing, Membership, Political Contributions, Politics, Protectionism, Public School, Regulation, Republican, Right to Work, Salary, States, Tax the Rich, Taxes, Teacher Union, Union, Union Dues, Worker, Working Families

Michigan approves right-to-work law for private sector unions

Map of right-to-work states: Michigan is #24

Dad sent me this article from Fox News, which reports on how Michigan became the 24th right-to-work state.

Excerpt:

Republicans rushed right-to-work legislation through the Michigan Legislature Thursday, drawing raucous protests from hundreds of union supporters, some of whom were pepper-sprayed by police when they tried to storm the Senate chamber.

With six-vote margins in both chambers, the House and Senate approved measures prohibiting private unions from requiring that nonunion employees pay fees. The Senate was debating a similar bill, with Democrats denouncing it as an attack on worker rights and the GOP sponsor insisting it would boost the economy and jobs. Separate legislation dealing with public-sector unions was expected to come later.

Because of rules requiring a five-day delay between votes in the two chambers on the same legislation, final enactment appears unlikely until next week. Republican Gov. Rick Snyder, who previously had said repeatedly that right-to-work was “not on my agenda,” told reporters Thursday he would sign the measures.

[...]In an interview with The Associated Press, Snyder said he had kept the issue at arm’s length while pursuing other programs to bolster the state economy. But he said circumstances had pushed the matter to the forefront.

“It is a divisive issue,” he acknowledged. “But it was already being divisive over the past few weeks, so let’s get this resolved. Let’s reach a conclusion that’s in the best interests of all.”

Also influencing his decision, he said, were reports that some 90 companies had decided to locate in Indiana since that state adopted right-to-work legislation. “That’s thousands of jobs, and we want to have that kind of success in Michigan,” he said.

Do right-to-work states create more jobs than forced-union-dues states, like the Republican governor says?

The radically left-wing Washington Post takes a look at it:

The Facts

We searched the Labor Department’s Bureau of Labor Statistics Web site to find data on each state’s non-farm, seasonally adjusted employment during the past 10 years. Just as Romney said, right-to-work states have better employment numbers on the whole.

Romney’s camp relied on numbers from the BLS household survey. The data, which his team compiled in July, show that right-to-work states experienced a net gain of 3.6 million jobs during the past decade, while “union states” saw a net loss of 900,000 jobs over the same time span.

The updated BLS numbers are right here.

Unions are a Democrat constituency, and that means that unions support abortion and gay marriage. It is wrong that unions are able to force socially conservative workers to pay dues that are used to elect pro-abortion and anti-marriage leftists. Right-to-work laws protect workers from being forced to support causes that violate their consciences. They can pay the dues if they want to, but they don’t have to. You shouldn’t have to support abortion and gay marriage just so you can work.

Now ask yourself another question. Why would Democrats want to prevent job creation? Could it be that they want more people to be dependent on government for their daily bread, so that they can control them and coerce them into voting for bigger government?

Democrats are the party of dependence, debt and unemployment. They hate jobs, they hate business. That’s why we have seen an explosion of debt, unemployment, taxes and regulations over the last four years, with more to come in the next four. You can’t argue with these numbers, and no amount of spirited teleprompter-reading will change what actually works. And what actually doesn’t work.

Related posts

• Twinkies company liquidates due to demands of greedy labor union
• Indiana passes right-to-work law and is now open for business – and jobs
• Do right-to-work or forced union states create more high-paying jobs?
• What is a “right-to-work” law, and why do Democrats oppose them?
• Florida Republicans ban automatic deduction of union dues
• Republicans introduce national right-to-work legislation
• Ohio Republicans pass bill to cut bloated union salaries and benefits

Filed under: News, Business, Card Check, Chamber of Commerce, Contributions, Democrat, Democrat Party, Donations, Employment, Free Trade, Job Creator, Jobs, Labor Union, Labour Union, Membership, Political Contributions, Politics, Protectionism, Regulation, Republican, Right to Work, Salary, States, Tax the Rich, Taxes, Union, Union Dues, Worker, Working Families

Twinkies company liquidates due to demands of greedy labor union

The Wall Street Journal explains.

Excerpt:

Hostess Brands is going to liquidate, a blow to lovers of Twinkies, Wonder Bread and Drake’s Coffee Cakes all around the globe.

But CEO Gregory Rayburn told CNBC today that as the company winds down its operations after failing to reach an agreement with a union, it will try to sell its various brands. There are 30 separate brands under the companies sugary umbrella.

[...]Rayburn, a restructuring veteran brought in for the bankruptcy, did not shy away from blaming the striking bakers’ union for the liquidation after the company put out an ultimatum earlier this week for them to return to work or face this consequence. He told the television network the union hasn’t “returned our calls in a couple of months.”

There is a silver lining to this story, though:

The reason: insurmountable (and unfundable) difference in the firm’s collective bargaining agreements and pension obligations, which resulted in a crippling strike that basically shut down the company… [the company] was unable to survive empowered labor unions who thought they had all the negotiating leverage…  until they led their bankrupt employer right off liquidation cliff.

[...]Hostess’ numerous brands will be bought in a stalking horse auction by willing private buyers, however completely free and clear of all legacy labor and pension agreements which ultimately led to the company’s liquidation.

Now that’s progress. But what causes union bosses to be so uninformed and ignorant of basic economics? How is it that they do not understand how businesses work?

Consider this quote from Richard Trumka about the looming fiscal crisis:

AFL-CIO President Richard Trumka has declared there’s no fiscal cliff and any address of runaway government spending is just “a manufactured crisis.”

[...]“‘Take what the media are calling ‘the fiscal cliff.’ There is no fiscal cliff!” Trumka thundered at a National Mediation Board Conference Thursday, sounding like an alcoholic pleading for one last swig well before he hits rock bottom.

[...]“What we’re facing,” he said Thursday, “is an obstacle course within a manufactured crisis that was hastily thrown together in response to inflated rhetoric about our federal deficit.

“But all the deficit chatter has distracted us from our real crisis — the immediate crisis of 23 million unemployed or underemployed workers. It’s time to protect Social Security benefits. It’s time to protect Medicare and Medicaid benefits. And it’s time to raise taxes for the richest 2%,” he went on.

In short, Trumka is arguing that there’s no such thing as too much government spending, that deficits don’t matter and that entitlements cannot be cut. Such denialist thinking is beyond irresponsible in the face of a $16 trillion debt, highest on global record and a sign of an irrational agenda often followed by would-be tyrants.

Trumka is trying to intimidate congressional Democrats into intransigence on a debt deal with Republicans to restore the solvency of the U.S. Instead, he wants them to stand fast on the idea that the debt, deficit and entitlements can be addressed simply by taxing higher-income earners who already account for more than half of federal income-tax revenue.

This is the kind of irresponsible thinking that has triggered riots in Greece and Spain — a belief that the money is there and only the meanness of austerity is keeping the common man from his share.

In reality, the money is not there — the pot is empty. Medicare and Social Security are now on “unsustainable paths,” paying out more in benefits than they take in, with their trust funds projected to run dry by 2024 and 2033, according to their own trustees.

Socialism is meeting its natural end — which, in the words of former U.K. Prime Minister Margaret Thatcher, is when it “runs out of other people’s money.”

Unions don’t make anything on their own, only businesses do. And they just don’t understand that. They don’t understand that at some point it is possible to suck too much blood from the host so that the host dies.

I feel bad for the conservatives who are forced to join these labor unions and pay dues to greedy union bosses who don’t understand capitalism or economics. My recommendation is that individual states pass right-to-work laws. Right-to-work states have created FOUR TIMES as many jobs as forced unionization states, since 2009. That’s what happens when you embrace freedom and capitalism.

Filed under: News, AFL-CIO, Bankruptcy, Collective Bargaining, Debt, Deficit, Ding Dongs, Economics, Economy, Fiscal Cliff, Hostess, Jobless, Jobs, Labor Union, Lawyer, Liquidation, Prosperity, Richard Trumka, Right to Work, Socialism, Twinkies, Unemployment, Union, Unions, Worker

Government spends $61,194 on welfare for each household below the poverty line

From the Weekly Standard. (With a rant from me below)

Excerpt:

New data compiled by the Republican side of the Senate Budget Committee shows that, last year, the United States spent over $60,000 to support welfare programs per each household that is in poverty. The calculations are based on data from the Census, the Office of Management and Budget, and the Congressional Research Services.

“According to the Census’s American Community Survey, the number of households with incomes below the poverty line in 2011 was 16,807,795,” the Senate Budget Committee notes. “If you divide total federal and state spending by the number of households with incomes below the poverty line, the average spending per household in poverty was $61,194 in 2011.”

This dollar figure is almost three times the amount the average household on poverty lives on per year. “If the spending on these programs were converted into cash, and distributed exclusively to the nation’s households below the poverty line, this cash amount would be over 2.5 times the federal poverty threshold for a family of four, which in 2011 was $22,350 (see table in this link),” the Republicans on the Senate Budget Committee note.

To be clear, not all households living below the poverty line receive $61,194 worth of assistance per year. After all, many above the poverty line also receive benefits from social welfare programs (e.g. pell grants).

How do people become poor anyway, in a rich country like America? Is it someone else’s fault, or is it a result of their own poor decision-making? Let famous black economist Walter Williams – chair of the Department of Economics at the prestigious George Mason University -explain it for us:

Avoiding long-term poverty is not rocket science. First, graduate from high school. Second, get married before you have children, and stay married. Third, work at any kind of job, even one that starts out paying the minimum wage. And, finally, avoid engaging in criminal behavior.

If you graduate from high school today with a B or C average, in most places in our country there’s a low-cost or financially assisted post-high-school education program available to increase your skills.

Most jobs start with wages higher than the minimum wage, which is currently $5.15. A man and his wife, even earning the minimum wage, would earn $21,000 annually. According to the Bureau of Census, in 2003, the poverty threshold for one person was $9,393, for a two-person household it was $12,015, and for a family of four it was $18,810. Taking a minimum-wage job is no great shakes, but it produces an income higher than the Bureau of Census’ poverty threshold. Plus, having a job in the first place increases one’s prospects for a better job.

To augment what Dr. Williams said with a study:

Nearly three out of four poor families with children in America are headed by single parents. When a child’s father is married to his mother, however, the probability of the child’s living in poverty drops by 82 percent.

The collapse of marriage, along with a dramatic rise in births to single women, is the most important cause of childhood poverty but government policy doesn’t reflect that reality, according to a special report released today by The Heritage Foundation.

I had to spend all day Saturday and all day Sunday this weekend working to fix a defect so that I could get back on track on my next project. I am still 4 days behind schedule on that new project. If I can’t catch up, I’ll probably have to cancel my November vacation, and maybe even my December vacation. The massive expenditures on welfare for “the poor” is the reason why I have to come in on Saturday and Sunday to work. I have to  to work to pay for these people, and their enablers in the Democrat party.

Don’t I have a right to pursue my dreams and my marriage plans and my plans to be a public, effective Christian, with the money that I earn through my work? For example, on Saturday, I sent $125 to a young Christian scholar so that he could attend a conference and present a paper on a moral issue that we both care about. The government would never give him money, but they will tax me to pay for contraceptives for everyone else. I am a virgin – I don’t even buy contraceptives for myself! I really have better things to do with my earned income than buying “Obamaphones” for people who spend their entire lives collecting welfare. Don’t I have a right to spend what I earn on my own goals and priorities?

UPDATE: The Manhattan Institute explains how welfare waivers water down the work incentives for welfare.

Related posts

• Conservative MP Iain Duncan Smith proposes reforms to the UK welfare state
• New report: welfare spending hits record $1 trillion, up 32% in Obama’s first term
• Who pays the bill for handing out $2.2 trillion of entitlements per year?
• Graduate students with non-STEM degrees increasingly dependent on welfare programs
• Arizona governor Jan Brewer blocks welfare payments for illegal immigrants
• Redistribution of wealth: 2362 millionaires collecting unemployment
• Christians and social justice: is redistribution of wealth good for the poor?
• Democrat Steny Hoyer: unemployment checks and food stamps stimulate the economy
• Obama ends welfare reform and calls for $12.7 trillion of new welfare spending
• Why do women have abortions? Are women responsible or are men to blame?
• Half of all Americans live in households that get government handouts
• Why is it so hard for a working man to provide for a family these days?
• What causes women to become single mothers by choice? Are men to blame?
• Why are people on food assistance programs allowed to buy luxuries?
• “Problem families” cost British taxpayers £9 billion per year
• Melanie Phillips: the UK should reform the Child Benefit to favor marriage
• For women under 30, most births occur outside of marriage
• Dependency on government surges 23% under Barack Obama
• Assessing Obama’s claims about income inequality in America
• How the Labor Party killed marriage in the UK
• UK Liberal Democrats oppose tax breaks for getting married and staying married

Filed under: News, Barack Obama, Big Government, Britain, Child Poverty, Church, Divorce, Earner, Family, Father, Fatherless, Fatherlessness, Female, Feminism, Government, Home, Household, Husband, Male, Marriage, No-Fault Divorce, Poverty, Provider, Religion, Single Women, Single-Mother, Single-Motherhood, Social Programs, Socialism, Spending, Study, Taxes, Traditional Marriage, UK, Unmarried Women, Unwed Motherwood, Voting, Welfare, Women, Worker