Who Has the Power?
Fighting for Economic Justice
afscme.org/academy
Workshop Objectives
 Know what is
happening in today’s
economy.
 Understand how the
corporate agenda impacts
public budgets and public
services.
Brendel, Free Software Foundation
 Learn what we can do
to fight for an economy
that works for us.
afscme.org/academy
Why is it so hard
for so many workers
to make a decent living in
the richest country in
history?
Workers in America
• Are the most productive in the world
• Work longer hours than in any other
developed country
• Are struggling to make ends meet
Wages are Declining
$58,000
Median Working-Age Household Income (2006 $)
$56,000
$54,000
$52,000
2000 2001 2002 2003 2004 2005 2006
Income: Center on Budget and Policy Priorities, Census data.
Benefits are Declining
Medical insurance
Defined benefit pension
100%
75%
50%
25%
0%
1980
1985
1993
2004
Growing Together, Growing Apart
350
353%
Source: Economic Policy Institute
Wealthiest tenth
of a percent
average $1.3
million a year
Percent Increase
300
250
Off the
charts!
513%
income
rise
Household Income
200
150
116%
97%
$5.9
million
average
income
103%
98%
85%
100
64%
50
3%
12%
23%
38%
Top
0.01%
0
Poorest Second
20%
20%
Middle Fourth Richest
20%
20%
20%
1947-'73
1973-'05
Top
0.1%
Leaving the Rest of Us Behind
Productivity
2.0
Wages
Unionization
40%
1.5
20%
1.0
0.5
Source: Economic Policy Institute.
Growing Gap Between
Workers’ Wages and Executive Pay
In 1980, CEO pay
equaled 42 times the
average blue collar
worker’s pay.
By 2006, CEO pay had
grown to 364 times the
average blue collar
worker’s pay -- by far
the widest gap in the
world.
For large U.S. corporations
surveyed by Business Week
magazine
Source: Institute for Policy Studies and United for a Fair Economy.
Workshop Objectives
 Know what is happening in
today’s economy.
 Understand how the
corporate agenda impacts
public budgets and public
services.
 Learn what we can do to
fight for an economy that
works for us.
afscme.org/academy
The Economy is NOT Like the Weather…
Boxing Workers Into
The Corporate Agenda
The Corporate Policy Box
They say: ‘Labor Market Flexibility’
What it means: Take Aways, Union Busting, You’re On Your Own
They say:
‘Globalization’
What it means:
Lower wages and
Job standards
They say: ‘Small
Government’
What it means:
Privatization,
Deregulation,
Tax Cuts for the Wealthy
The Problem With ‘Small Government’
December 9, 2006
Welfare plan takes a
public beating
Many at 5-hour hearing fear privatization is
a done deal
Dec. 28, 2006
Daniels signs $1 billion
welfare outsourcing deal
January 4, 2007
Goldman Sachs wins with Toll
Road lease
Grover Norquist: DailyKos.com; Tax Cuts at Work: United for a Fair Economy.
We Are Paying More Taxes
And the Rich Are Paying Less
State and local taxes as a % of income, by income quintile.
12%
10%
8%
6%
4%
2%
0%
Lowest 2nd 20% Middle
20%
20%
Income
4th 20% Next 15% Next 4% Top 1%
Property
Federal deduction of state and local taxes taken from income tax share.
Source: Citizens for Tax Justice.
Sales
No Right To Organize in the
Private Sector
• 60 million Americans
would join a union if
they could
• Employers deny the
right to organize by
illegally firing and
threatening workers
• NLRB process fails to
protect workers’ rights
Would You Join A Union?
Unsure
5%
No
42%
Yes
53%
No Right to Organize for
Many Public Sector Workers
VT
WA
MT
OR
ME
ND
NH
MN
ID
WY
MI
PA
IA
NE
NV
UT
NY
WI
SD
CO
CA
IL
KS
OH
IN
WV
KY
MO
VA
NC
OK
AZ
NM
DC
MD
TN
SC
MS
TX
AK
AR
MA
RI
CT
NJ
DE
AL
GA
PR
LA
FL
HI
STATES WITH COMPREHENSIVE COLLECTIVE BARGAINING LAWS
Laws provide collective bargaining rights to a majority of public employees
Kansas law covers local governments only if they opt in. Maryland has no state law covering local employees. The largest
local jurisdictions have their own laws.
No comprehensive bargaining laws. Some of these states have laws covering various groups of employees. In some states,
local jurisdictions have passed laws.
Political Cash Fuels The
Corporate Agenda
2004 Campaign Contributions in Millions
Business
$1,504
Unions $62
Source: Center for Responsive Politics.
AFSCME’s Agenda to
Rebuild the Middle Class
Workers' Rights
Restore Worker’s Freedom to Bargain for a Better Life
Health Care
Pensions
Make Health Care
Secure and
Affordable
Guarantee a
Secure
Retirement
Public Services
Increase Investment in Public Services
Knowledge Check
1.The average CEO pay is how many times higher than the average
worker:
o 125 times
o 255 times
o 364 times
o 420 times
2.The percentage of workers represented by unions in the U.S. is:
o Rising
o Declining
o About the same as ever
3.True or False: All public sector workers in the U.S. have the right to
organize a union and bargain collectively.
o True
o False
Answers
1.
The average CEO pay is how many times higher than the
average worker:
o Correct answer is 364 times.
2.
The percentage of workers represented by unions in the U.S.
is:
o Correct answer the declining.
3.
All public sector workers in the U.S. have the right to organize
a union and bargain collectively.
o Correct answer is false. There are many states in which public
sector workers do not have the right to organize and bargain.
Workshop Objectives
 Know what is
happening in today’s
economy.
 Understand how the
corporate agenda
impacts public budgets
and public services.
Learn what we can do
to fight for an economy
that works for us.
afscme.org/academy
Putting the Pieces Together
Bargain
Collectively
Elect
Pro-Worker
Candidates
Change the
Rules
Organize
EDUCATE
Hold Elected Officials
Accountable
Demand Corporate
Accountability
Organize
Pass the
Employee
Free Choice Act!
http://www.afscme.org/legislation-politics/efca.cfm
Change the Rules
Fight for Fair Taxes
No more tax cuts for the wealthy
Sunshine on tax breaks
Scrutiny for contract deals
Demand Corporate Accountability
• Corporate Reform
– Shareholder power
– Attacking excessive
CEO pay
– Exposing insider
deals
Home Depot rally photo: Reuters.
Elect Pro-Worker Candidates
Learn
about
AFSCME
PEOPLE.
For More Information
Additional resources and to take action
www.afscme.org/issues/15899.cfm
 research@afscme.org
 202-429-1215
afscme.org/academy