Archives for category: Economy

The New York Times reported that rail workers’ unions felt betrayed by President Biden’s support of legislation that imposed a settlement and averted a national strike.

This is the same president that Trumpers call a “radical,” a “socialist,” and a”communist.”

The agreement Mr. Biden asked Congress to impose would raise pay nearly 25 percent between 2020, when the last contract expired, and 2024, and allow employees to miss work for routine medical appointments three times per year without risking disciplinary action. It would also grant them one additional day of paid personal leave.

It would not provide paid sick leave, however, a provision that many workers argue is the bare minimum they can accept given their grueling work schedules, which often leave them on the road or on call for long stretches of time. Rail carriers say workers can attend to illnesses or medical appointments using paid vacation.

Four of the 12 unions that would be covered by the agreement voted it down, and several others approved it only narrowly.

Tony Cardwell, the president of the Brotherhood of Maintenance of Way Employes Division — International Brotherhood of Teamsters, which voted down the agreement Mr. Biden has asked Congress to impose, said that simply asking Congress to include paid sick days in the agreement would have gone a long way toward satisfying his members.

“If he would have said, ‘I want this one thing,’ it would have changed the whole narrative,” Mr. Cardwell said in an interview on Wednesday.

House Speaker Nancy Pelosi told members on Tuesday night that she would hold a vote on a separate bill that included seven paid sick days, but it was unclear whether it could pass both houses of Congress.

Our reader, who signs in as Joel, has frequently noted the bias in the media towards negativity and “worst case scenario.” How many stories were published predicting a Red Wave, lamenting the dozens of seats that Democrats would lose, predicting doom and gloom. There is also its problem of “both-sides-ism,” as though the scientist who says the sun rises in the west is as equal in credibility as the one who says it rises in the East. I leave his own sentence structure unchanged.

I asked Joel to describe himself. He wrote:

I am a retired Trade Union activist who sees the attacks on America’s teachers as an attack on the most visible and the largest of Americas unions.
It is no accident that whether the Billionaire oligarchs / plutocrats / politicians who attack public schools and their teachers consider themselves socially progressive or are religio fascist , they abhor Unions.

He writes:

So for two years now I have been pointing out crime statistics on Diane’s blog and on Union Facebook page’s. Knowing that the American Public is always a sucker for the big bad Black man coming to get you; or simply the Willie Horton story . Which actually predates Willie Horton going back to Goldwater and his Nation of Moral decay and Nixon’s war on drugs. Which targeted minorities disproportionately.

Both on crime and inflation the supposed “Liberal Media” did its best to prove Trump correct in his charges against them. Whether it was intentional or not, the hype was far greater than the reality. For a group of people who profess to despise Trump and his merry band of seditious Neo Nazi White Christian Nationalists, they did their best to bring them back to power. Crime sells advertising .

They say, Inflation is the worst it has ever been— except at its peak, it was half the rate of the 1980s and accompanied by 3.5% unemployment now, not 8%. Endless stories of the terrible economy.

Last Fall when they started blasting away, it was under 5% . With gas lower than it had been from 2011-14 . Wage inflation was already moderating. Tough to have a wage price spiral without the wage component. The media frenzy did allow Corporations with virtual monopoly power to take the Public’s expectation of inflation and deliver it to them, tacking on record profits far above increased costs.

But Crime is the issue that may have cost Democrats 4-5 seats in NY and with it the House. All in Down State districts formally represented by Democrats . Far more harm done to Democrats on MSNBC , CNN, WaPo and the NY Times than on Fox News, the NY Post and the Wall Street Journal”’…. No one who follows the Murdoch rags is voting Democratic to begin with.

On top of a redistricting enabled by Cuomo appointed Judges as part of bone thrown to Republicans when they controlled the State Senate with the help of Cuomo’s turncoat IDC caucus. On top of Adams and Suozzi running around like they were Curtis Sliwa and the Guardian Angels, there were 800 stories a month in 2022 about crime in the NYC Media Market vs 130 a month in deBlasio’s last term ending in 2021. Talk about manufactured consent.

What was the reality. Last year there were fewer murders than 2011 a year Bloomberg was running around calling NYC the safest big City in the Nation . This year with a 13% reduction there will be fewer murders than 2012 the next to last year he was in office when he was taking bows for how safe the City was .


But not only lower than 2012; significantly lower than every year between 2012 all the way till when America was GREAT in 1960.


Your odds of being injured on a 2 mile ride in your car are greater than being injured in a violent crime in the NYC Subway. The murder rate in NYC truly does make it one of the safest cities in America with bail reform having little or no impact on recidivism.

Of course that is not the narrative from CNN, MSNBC, nor the local mass media. The Press made it sound that murders were like the terrible 60s when there were 1000 murders a year by mid decade . The 70s when there 1500 , the 80s when there were 1800 to 2000 and the early 90s when there were 2400 murders . There were 468 in 2021 and 379 as of last week in 2022 with only 6 weeks to go.

So here is the thing . Excluding the Garbage dump in the Harbor (Staten Island) that should be turned over to NJ. 82 % of Manhattan residents voted for Democrats. Ah but they are just woke liberals . 79% of Bronx Residents voted for Democrats not so woke , 73% of Brooklyn and 67% of Queens residents. So where all this supposed crime was happening it was not a concern enough to sway voters .


Yet in the NYC suburbs (all six counties) where all the seats were lost. Crime was lower in almost every major category recorded. 2021 Lower than not just 2020 but most years back to 2017 the last year listed in the state crime registry. The 100 million dollar Republican Willie Horton Campaign supplement by the ” Liberal Media ” and their 800 stories a month.

Heck of a Job Joe Scarborough, mission accomplished. And I know he is a Conservative Republican but he also claims to be a never Trump-er. Perhaps they will give him an extra hour to cover Hunter Biden’s Laptop.

Robert Weisman president of Public Citizen, explains why the price of gasoline is so high and what todo about it.

Being a multinational oil company looks like good work if you can get it:

  • Oil giant Chevron raked in $11.2 billion in profits from July through September.
  • Exxon did even better, making $19.7 billion in profits over just those three months — its most profitable quarter EVER.
  • In fact, the three top oil companies — Chevron, Exxon, and Shell — have more than tripled their profits compared to this time last year.

Again, we’re talking about profits. Not overall revenue. Sheer, unadulterated profits.

And it’s not like these companies, you know, pay Mother Nature for each barrel of oil they suck out of the ground. Or that they gave their rank-and-file workers mega-bonuses this year (unlike the excessive pay and stock options they lavish upon their executives.)

This is just plain old profiteering, pure and simple.

Big Oil is exploiting the global economic disruption and uncertainty caused by Russia’s war on Ukraine — along with recent cuts in oil production by OPEC that seem intentionally designed to destabilize things even further — to extract as much money out of all of our pockets as they can.

Meanwhile, oil prices fuel the inflation that is wreaking havoc on everyday Americans and the global economy. And the price of a gallon of gas is a major factor in how Americans vote, with Election Day right around the corner.

Today, President Biden publicly floated the idea of taxing Big Oil’s outlandish profits — something Public Citizen has been pushing the administration to do over the past year.

However, President Biden held out this kind of tax — known as a “windfall profits tax” — as a punishment only if oil companies don’t ramp up domestic production.

But ramping up domestic oil production is a bad idea for many reasons, including that more oil from U.S. lands will just be exported — as 29% of U.S. crude production currently is — denying any benefits to American consumers.

And the existential threat of climate change demands that human society move away from fossil fuels as quickly as possible, not that we let Big Oil extract even more oil out of the Earth and even more profits out of everyday consumers.

By the way, 80% of American voters — including 73% of Republicans — were in favor of a windfall profits tax on Big Oil even before President Biden’s announcement.

So there’s no need to manufacture counter-productive reasons to threaten to do something later that an overwhelming majority of Americans think we should be doing already.

It’s time to do some drilling of our own — deep into Big Oil’s overflowing pockets — by taxing the industry’s unjust, and unjustifiable, windfall profits and returning the money to the people.

Add your name as a citizen co-signer of our message to Congress:

American consumers need help. And somebody has to say “Enough is enough!” to Big Oil’s shameless profiteering. Pass legislation to tax the oil industry’s windfall profits now — not as a threat that will only entice them to drill more — and give that money back to hard-working, everyday Americans.

Click now to add your name.

Thanks for taking action.

For progress,

– Robert Weissman, President of Public Citizen


Public Citizen | 1600 20th Street NW | Washington DC 20009 |

I have been surprised that Democrats have been so mealy-mouthed about inflation. Yes, inflation is bad, and it hurts everyone, especially those living from paycheck to paycheck. Gasoline costs more than we are used to paying (while the big gas and oil corporations are reporting record profits).

But why don’t Democrats tell the facts: Inglation is a global problem. The Ukrainian war—Putin’s war—has cut off energy supplies and raised prices. Europeans have as much inflation as we do, maybe more. There have been mass protests against inflation in other countries.

To hear Republican ads, Joe Biden is uniquely responsible for inflation. Is he causing inflation around the world or shouldn’t we be talking about the “Putin tax”?

Michael Hiltzik of the Los Angeles Times reveals an important truth: the Republicans have no plan to reduce inflation. It’s their biggest issue, by far, and they have not said what they would do to curb inflation.

A look at the GOP’s election manifesto, the “Commitment to America” recently issued by House Minority Leader Kevin McCarthy (R-Bakersfield), reveals no specifics. Nor have Republican candidates done so during the multitude of appearances they’ve made on cable talk shows, despite specific and pointed questions by the hosts….

Here, for example, is Rep. Andy Barr (R-Ky.) on Aug. 21, responding on “Meet the Press” when Chuck Todd asked, “What is the Republican plan to deal with inflation other than not supporting Joe Biden policies?”

“Well, we have a positive agenda. We have a commitment to America, and we’re going to get back to basics. … We don’t need more IRS agents. We need more Border Patrol agents. And we have a common sense plan to reduce the cost of living, to lower the cost at the pump.”

But what that “common sense plan” was, Barr didn’t disclose.

Nothing is new about this campaign technique from a minority party. It consists of repeatedly citing a problem and tying it to the party in power, assuming that voters’ impulse to “throw the bums out” will deliver electoral victory…

The “Commitment to America” also claims to have a scheme to “regain American energy independence and lower prices at the pump.” A couple of problems with that. One is that the U.S. already is energy-independent — it’s been a net exporter of oil almost every month since the last quarter of 2019 and a net exporter of natural gas since mid-2017, according to government statistics.

When McCarthy says he intends to “maximize production of reliable, American-made energy” as though that will bring prices down at the pump, he’s emitting vapor.

Additional production of energy within the U.S. will simply enter the international market, where it will be subject to global price pressures such as the supply reduction caused by the Russian invasion of Ukraine and by OPEC’s decision to reduce its own output. Those are the influences driving up gasoline prices here, not the pace of production from U.S. wells….

Republicans would extend the tax cuts they enacted in 2017, when they controlled both chambers of Congress and the White House — a giveaway mostly to the rich and corporations that blew a hole in the U.S. budget estimated at $1.5 trillion to $3 trillion over 10 years — and one without any lasting positive effect on economic growth.

They’re talking about benefit cuts for Social Security and Medicare recipients, which would certainly make it harder for those households to make ends meet. They’ve talked about refusing to increase the government’s debt ceiling next year, using it to extract benefit cuts. As I’ve reported, this is playing with fire….

Undoubtedly, more can be done. President Biden is jawboning oil companies about their huge run-up in profits, but that’s just one industry. Corporate profits have soared since mid-2020 while average worker earnings have remained muted — a little-noticed spur to inflation.

Has the GOP embraced those ideas? Of course not — corporate managements and the big oil companies are its patrons. Instead of pointing the finger at them, Republicans complain that Social Security beneficiaries are collecting too much and the rich are staggering under the burden of the lowest marginal federal tax rates in more than half a century.

If you want to know why that party has nothing to offer on inflation, it’s because anything that really would address it in a way that helps average Americans would hurt its friends. We can’t have that, can we?

This is one of the best summaries I have seen of what Republicans will do if they are elected and gain control. It’s about two minutes. Please watch and share.

She leaves out one salient point, made by Kevin McCarthy. The Republicans will cut aid to Ukraine and use the money to finish building Trump’s Great Wall (that Mexico was supposed to pay for).

Elon Musk, the nation’s richest man, is heavily subsidized by taxpayers, according to an article in the Los Angeles Times. Musk’s net worth is somewhere about $210 billion. Yet he goes where the government money is.

Los Angeles entrepreneur Elon Musk has built a multibillion-dollar fortune running companies that make electric cars, sell solar panels and launch rockets into space.

And he’s built those companies with the help of billions in government subsidies.

Tesla Motors Inc., SolarCity Corp. and Space Exploration Technologies Corp., known as SpaceX, together have benefited from an estimated $4.9 billion in government support, according to data compiled by The Times. The figure underscores a common theme running through his emerging empire: a public-private financing model underpinning long-shot start-ups.

“He definitely goes where there is government money,” said Dan Dolev, an analyst at Jefferies Equity Research. “That’s a great strategy, but the government will cut you off one day.”

The figure compiled by The Times comprises a variety of government incentives, including grants, tax breaks, factory construction, discounted loans and environmental credits that Tesla can sell. It also includes tax credits and rebates to buyers of solar panels and electric cars.

A looming question is whether the companies are moving toward self-sufficiency — as Dolev believes — and whether they can slash development costs before the public largesse ends.

Tesla and SolarCity continue to report net losses after a decade in business, but the stocks of both companies have soared on their potential; Musk’s stake in the firms alone is worth about $10 billion. (SpaceX, a private company, does not publicly report financial performance.)

Musk and his companies’ investors enjoy most of the financial upside of the government support, while taxpayers shoulder the cost.

The payoff for the public would come in the form of major pollution reductions, but only if solar panels and electric cars break through as viable mass-market products. For now, both remain niche products for mostly well-heeled customers.

Musk declined repeated requests for an interview through Tesla spokespeople, and officials at all three companies declined to comment.

Thanks to our reader Joel for directing me to this story.

President Biden announced this morning that the rail industry and the workers’ unions had struck a tentative deal to avert a national rail strike. Such a strike would have crippled the economy and snarled supply chains.

Biden wanted to demonstrate that unions and management could work together, and they did.


“This agreement is validation of what I’ve always believed: Unions and management can work together, can work together, for the benefit of everyone,” he said in remarks in the Rose Garden.

Biden hosted the negotiators who brokered the railway labor agreement before his remarks.

“The negotiators here today. I don’t think they’ve been to bed yet,” Biden said.

The president called into the talks, which were being led by Labor Secretary Marty Walsh, around 9 p.m. Wednesday. Biden said on the call that a shutdown of railways was unacceptable, according to a White House official.

Biden, in his remarks, called the deal a win for America, as well as a win for rail workers and the dignity of work.“This agreement allows us to continue to rebuild a better America, with an economy that truly works for working people and their families. Today is a win, and I mean this sincerely, a win for America,” he said, thanking both business and labor for getting it done

Big business has been trying to get rid of unions since the first union was created. Corporations don’t want workers to have collective power. They prefer a workplace where they make all the decisions and don’t have to listen to workers’ voices. The share of unionized workers in the private sector is near an all-time low, but that may change. Recently there have been inklings of a rebirth of unionism. We see it in the growing number of Starbucks and Amazon workers who have voted to unionize. But their numbers remain small. Happily, public opinion is trending in favor of unions.

Someone recently asked me why there was so much hostility to teachers’ unions, and I answered, “Because they are the largest unions.” Teachers’ unions are blamed for whatever critics don’t like in schools, even though they fight for adequate school funding and decent working conditions. Those who have wanted to crush all unions focus their wrath on the NEA and the AFT, while overlooking the police union and the firefighters unions.

My view: if you want to reduce poverty and build a robust middle-class, support unions.

The Economic Policy Institute reports:

It’s been nearly 60 years since approval for unions in the U.S. has been this high.

More than 70% of Americans now approve of labor unions. Those are the findings of a Gallup poll released this morning, and they shouldn’t be surprising.

Why? U.S. workers see unions as critical to fixing our nation’s broken workplace—where most workers have little power or agency at work.

The pandemic revealed much about work in this country. We saw countless examples of workers performing essential jobs—such as health care and food service. They were forced to work without appropriate health and safety gear and certainly without pay commensurate with the critical nature of the work they were doing.

Those conditions, however, pre-dated the pandemic. The pandemic merely exposed these decades old anti-worker dynamics. Clearly, as the new poll and recent data on strikes and union organizing shows, workers today are rejecting these dynamics and awakening to the benefits of unions.

Nonunion workers are forced to take their jobs—accept their employer’s terms as is—or leave them. Unions enable workers to have a voice in those terms and set them through collective bargaining.

We know the powerful impact unions have on workers’ lives, and broader effects on communities and on our democracy.

Here’s a run-down based on the Economic Policy Institute’s extensive research on unions:

Pay and benefits 

  • Unionized workers (workers covered by a union contract) earn on average 10.2% more in wages than nonunionized peers (workers in the same industry and occupation with similar education and experience).
  • Unions don’t just help union workers—they help all of us. When union density is high, nonunion workers benefit, because unions effectively set broader standards—including higher wages.
  • Union workers are more likely to be covered by employer-provided health insurance. More than 9 in 10 workers covered by a union contract (95%) have access to employer-sponsored health benefits, compared with just 69% of nonunion workers.
  • Union workers have greater access to paid vacation days. 90% of workers covered by a union contract received paid holidays off compared to 78% of nonunion workers.
  • Union workers also have greater access to paid sick days. 9 in 10 workers covered by a union contract (92%) have access to paid sick days, compared with 77% of nonunion workers.

The 17 U.S. states with the highest union densities:

  • Have state minimum wages that are on average 19% higher than the national average and 40% higher than those in low-union-density states.
  • Have median annual incomes $6,000 higher than the national average.
  • Have higher-than-average unemployment insurance recipiency rates (that is, a higher share of those who are unemployed actually receive unemployment insurance).

Equity and Equality

  • Black and Hispanic workers get a larger boost from unionization. Black workers represented by a union are paid 13.1% more than their nonunionized peers. Hispanic workers represented by unions are paid 18.8% more than their nonunionized peers.
  • Unions help raise women’s pay. Hourly wages for women represented by a union are 4.7% higher on average than for nonunionized women with comparable characteristics.
  • Research shows that deunionization accounts for a sizable share of the growth in inequality between typical (median) workers and workers at the high end of the wage distribution in recent decades—on the order of 13–20% for women and 33–37% for men.

Democracy 

  • Significantly fewer restrictive voting laws have been passed in the 17 highest-union-density states than in the middle 17 states (including D.C.) and the 17 lowest-union-density states.
  • Over 70% of low-union-density states passed at least one voter suppression law between 2011 and 2019.

The growing approval of unions is playing out on the ground with more workers seeking to exercise their collective bargaining rights.

Data from the National Labor Relations Board recently analyzed by Bloomberg Law show the exponential increase in election petitions being filed. While the Gallup poll states that most nonunion workers do not respond that they want to join a union, clearly workers are petitioning for union election at elevated rates.

And workers have increasingly felt empowered to fight for what they want.

We were already seeing signs of workers being willing to strike to demand better wages and working conditions. Data from the Bureau of Labor Statistics showed an upsurge in major strike activity in 2018 and 2019, marking a 35-year high.

We are experiencing a labor enlightenment of sorts in this country, one in which workers are fed up with an economy and workplace that does not work for them. With approval for unions at the highest since 1965, there is a growing realization that unions can potentially make both work better for all.

Senator Joe Manchin of West Virginia and Senator Krysten Sinema held the power to block the Democrats’s ambitious bill to reduce carbon emissions and improve healthcare. Each of them extracted a hefty price in exchange for their vote, one that benefited either their state, their campaign donors, or themselves personally.

This analysis by the New York Times shows that Manchin got a trifecta: a win for the coal industry (big in his state), a win for his campaign donors, and a win for himself. Sinema demanded the removal of taxes on private equity firms..

Plenty of West Virginians are angry at Manchin. They are environmentalists. Senator Manchin takes care of the fossil fuel industry, not them.

BLACKSBURG, Va. — After years of spirited opposition from environmental activists, the Mountain Valley Pipeline — a 304-mile gas pipeline cutting through the Appalachian Mountains — was behind schedule, over budget and beset with lawsuits. As recently as February, one of its developers, NextEra Energy, warned that the many legal and regulatory obstacles meant there was “a very low probability of pipeline completion.”

Then came Senator Joe Manchin III of West Virginia and his hold on the Democrats’ climate agenda.

Mr. Manchin’s recent surprise agreement to back the Biden administration’s historic climate legislation came about in part because the senator was promised something in return: not only support for the pipeline in his home state, but also expedited approval for pipelines and other infrastructure nationwide, as part of a wider set of concessions to fossil fuels.

It was a big win for a pipeline industry that, in recent years, has quietly become one of Mr. Manchin’s biggest financial supporters.

Natural gas pipeline companies have dramatically increased their contributions to Mr. Manchin, from just $20,000 in 2020 to more than $331,000 so far this election cycle, according to campaign finance disclosures filed with the Federal Election Commission and tallied by the Center for Responsive Politics. Mr. Manchin has been by far Congress’s largest recipient of money from natural gas pipeline companies this cycle, raising three times as much from the industry than any other lawmaker.

NextEra Energy, a utility giant and stakeholder in the Mountain Valley Pipeline, is a top donor to both Mr. Manchinand Senator Chuck Schumer, Democrat of New York, who negotiated the pipeline side deal with Mr. Manchin. Mr. Schumer has received more than $281,000 from NextEra this election cycle, the data shows. Equitrans Midstream, which owns the largest stake in the pipeline, has given more than $10,000 to Mr. Manchin. The pipeline and its owners have also spent heavily to lobby Congress.

The disclosures point to the extraordinary behind-the-scenes spending and deal-making by the fossil fuel industry that have shaped a climate bill that nevertheless stands to be transformational. The final reconciliation package, which cleared the Senate on Sunday, would allocate almost $400 billion to climate and energy policies, including support for cleaner technologies like wind turbines, solar panels and electric vehicles, and put the United States on track to reduce its emissions of planet-warming gases by roughly 40 percent below 2005 levels by the decade’s end.

Read the rest of the story in the New York Times.

The Economic Policy Institute is one of the very few think tanks in Washington, D.C. that cares about the status of working people. When one of its reports gets attention, critics are fast to point out that it is funded by unions. The same critics are silent when a think tank is funded by one or more billionaires, who like low taxes.


The value of the federal minimum wage has reached its lowest point in 66 years, according to an EPI analysis of recently released Consumer Price Index (CPI) data. Accounting for price increases in June, the current federal minimum wage of $7.25 per hour is now worth less than at any point since February 1956. At that time, the federal minimum wage was 75 cents per hour, or $7.19 in June 2022 dollars.

We are currently in the longest period without a minimum wage increase since Congress established the federal minimum wage in 1938.

As shown in the chart below, a worker paid the current $7.25 federal minimum wage earns 27.4% less in inflation-adjusted terms than what their counterpart was paid in July 2009 when the minimum wage was last increased. They earn 40.2% less than a minimum wage worker in February 1968, the historical high point of the minimum wage’s value.

After the longest period in history without an increase, the federal minimum wage today is worth 27% less than 13 years ago—and 40% less than in 1968

Real value of the minimum wage (adjusted for inflation)

Note: All values in June 2022 dollars, adjusted using the CPI-U in 2022 chained to the CPI-U-RS (1978–2021) and CPI-U-X1 (1967–1977) and CPI-U (1966 and before).

Source: Fair Labor Standards Act and amendments.

Economic Policy Institute