New Mexico and Right to Work A Right to Work Quiz What does Right to Work Do ? Does Right to Work outlaw unions? What does Right to Work Do ? Does Right to Work outlaw bargaining? What does Right to Work Do ? Does Right to Work stop anyone from joining a labor union? What does Right to Work Do ? Does Right to Work stop anyone from paying dues to a labor union? What does Right to Work Do ? Does Right to Work stop unions from participating in politics? What does Right to Work Do ? Does Right to Work protect individual rights? What does Right to Work Do ? Does Right to Work help union members hold union officials accountable? What does Right to Work Do ? Does Right to Work help create new jobs and spur economic development? First Principle Individual Freedom Americans must have the right, but not be compelled to join or pay dues to a labor union as a condition of getting or keeping a job. America’s 24 Right to Work States Samuel Gompers “The workers of America adhere to voluntary institutions in preference to compulsory systems which are held to be not only impractical but a menace to their rights, welfare and their liberty.” “ I want to urge devotion to the fundamentals of human liberty the principles of voluntarism. No lasting gain has ever come from compulsion.” Second Principle Right to Work is Good for Families and the Economy Lack of Right to Work Hurts Families Cost of Living Adjusted Per Capita Disposable Personal Income 2011: Right To Work States: $36,938 Forced Unionism States: $34,444 New Mexico: $31,633 Source: US Dept. of Commerce, Missouri Economic Research and Information Center (MERIC) Lack of Right to Work Hurts Families Cost of Living Adjusted Per Capita Disposable Income 2011: Rocky Mountain Right To Work States: North Dakota South Dakota Texas Kansas Nebraska Idaho Wyoming Oklahoma Arizona Utah New Mexico: Source: US Bureau of Economic Analysis. State Personal Income, BEA, MERIC $ 38,573 $ 43,357 41,277 40,432 39,710 41,576 32,576 44,222 38,095 31,213 33,270 $31,633 Lack of Right to Work Hurts Families Cost of Living Adjusted Wage and Salary Disbursements Per Private Sector Employee 2011: Western Right To Work States: $32,524 Western Forced Unionism States: $31,764 New Mexico: $30,083 Source: US Commerce Dept., US Bureau of Economic Analysis. MERIC, BEA Real Earnings Higher in Right to Work States (evidence from the AFL-CIO!) “The AFT’s (AFL-CIO) ‘Survey and Analysis of Salary Trends’ shows that employees in right-to-works states enjoy lower living expenses, and that, adjusting for differences in living costs, the real earning are higher in nonunion [Right to Work] states.” Dr. Howard Nelson and Ms. Rachel Drown AFT researchers Lack of Right to Work Hurts Income Growth Growth in Real Private-Sector Employee Compensation 2001-2011: Right To Work States: Forced Unionism States: Source: Bureau of Labor Statistics; Bureau of Economic Analysis +12.0% 3.0% Right to Work Means Jobs New Mexico needs Jobs Lack of Right to Work Hurts Job Growth Percentage Growth in Non-Farm Private-Sector Payroll Employment 2001-2011: Right To Work States: +2.4 % Forced Unionism States: -3.4 % Source: Dept. of Labor Best Business Climate Business Facilities Magazine 1. 2. 3. Top 10 States 4. 5. 2012: 6. 7. 8. 9. 10. Texas Utah Virginia Florida Louisiana Indiana South Carolina Tennessee Georgia Nebraska RTW RTW RTW RTW RTW RTW RTW RTW RTW RTW “Top States for Doing Business” 1. Area Development Site Selection 2. 3. 4. Top 10 States for Doing Business 5. 2012: 7. 6. 8. 9. 10. Texas South Carolina Georgia Alabama North Carolina Louisiana Tennessee Indiana Mississippi Oklahoma RTW RTW RTW RTW RTW RTW RTW RTW RTW RTW Lack of Right to Work Hurts Business Recruitment Site Selection’s Top 10 States Business Climate - 2011: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Texas North Carolina Georgia Virginia South Carolina Indiana Louisiana Tennessee Ohio Florida RTW RTW RTW RTW RTW RTW RTW RTW RTW 1. Utah RTW Lack of Right to Work Hurts Economic Outlook 2. 3. American Legislative Exchange Council Top 15 States Economic Outlook Ranking 2012: 4. 5. 6. 7. 8. 9. 10. 11. 12. 35. New Mexico 13. 14. 15. South Dakota Virginia Wyoming North Dakota Idaho Missouri Colorado Arizona Georgia Arkansas Tennessee Florida Oklahoma Mississippi RTW RTW RTW RTW RTW RTW RTW RTW RTW RTW RTW RTW Lack of Right to Work Hurts Economic Outlook 1. CNBC 2. 3. America’s Top States for Business 4. 2012: 6. 5. 7. 8. 36. New Mexico 9. 10. Texas Utah Virginia North Carolina North Dakota Nebraska South Dakota Colorado Georgia Wyoming RTW RTW RTW RTW RTW RTW RTW RTW RTW Lack of Right to Work Hurts Outlook Chief Executive Magazine Best States for Business 2012: 33. New Mexico 1. Texas RTW 2. Florida RTW 3. North Carolina RTW 4. Tennessee RTW 5. Indiana RTW 6. Virginia RTW 7. South Carolina RTW 8. Georgia RTW 9. Utah RTW 10. Arizona RTW 11. Colorado 12. Nevada RTW 13. Louisiana RTW 14. Delaware 15. North Dakota RTW Best States for Business 1. Forbes Magazine 2. 3. Top 10 States 2012: 4. 5. 6. 7. 8. 43. New Mexico 9. 10. Utah Virginia North Dakota North Carolina Colorado Nebraska Texas Georgia Oklahoma Iowa RTW RTW RTW RTW RTW RTW RTW RTW RTW Right to Work Helps States Prosper 1. Pollina Corporate Top 10 2. Business Rankings 3. 2012: 4. 5. 6. The Pollina Corporate Top 10 Pro-Business States study is based on 32 factors that our clients indicate are most important and more than 30 years of experience as site selectors. 7. 8. 9. 10. Utah Virginia Wyoming North Dakota Indiana Nebraska South Dakota Kansas Missouri Oklahoma RTW RTW RTW RTW RTW RTW RTW RTW RTW Right to Work and Small Business Testimony on Right to Work “…and the fact of the matter is that these clients express a very strong interest in being in Right to Work states as a means to go to a location… “Upon further review and discussion with our clients, approximately 75% of our manufacturing clients express an initial interest in being in a Right to Work state.” “After further discussion with our clients, somewhere around 50% want to retain Right to Work as a pass/fail criteria.” Mark Sweeney: 2/10/2011 Missouri State Senate "Right-to-work is vitally important," says Mark Vitner, vice president and senior economist for Wachovia. Right-to-work status enables the companies to have equal leverage [with] the unions." David Brandon, president of The Pathfinders, a Dallas-based consulting firm, says that right-to-work status has become increasingly important for the manufacturing employers for whom he conducts location research. "About 35-to-40 percent of manufacturing enterprises in the automotive industry insist on operating in a right-to-work state. Another 20-to-25 percent say it is a very important factor and will be used as a second- or third-tier factor in site selection. More than half of our companies either make it a threshold or a very important factor in making a decision on where to locate a factory and other operations," he says. Businesses are increasingly considering Right to Work as a key competitive criterion when considering sites for new growth and investment. Almost three-fifths (69.5%) of business executives specify Right to Work as a very important or important factor in site selection according to the Annual Corporate Survey published by Area Development Magazine. A vice president of Fantus told the Greater Twin Falls, Idaho Chamber of Commerce, "Approximately 50 percent of our clients … do not want to consider locations unless they are in right-to-work states. As a result, states that are not right-towork states, and the communities in them, are eliminated from consideration in the initial phase of the site selection process, no matter how strong other advantages for a facility might be." KPMG Business Site Consultant, Chicago: “For Iowa to be considered (for business development) based on your business climate and tax climate, ‘you better keep your Right to Work law’.” Insight Research Corporation, one of the country’s dominant competitors in corporate relocation research: reported that 90% of their clients looking to build new facilities and create new jobs will not even consider states that do not have Right to Work laws. International Attention "This issue is also closely followed overseas. Many of our offshore clients are aware of the implications of U.S. right-to-work laws, and the significance of these laws in the site selection decision process has not waned. Robert Price, director of Atlanta-based Herron Consulting, commenting on IN RTW law passage Site Selection Magazine, March 2012 Oklahoma America’s 22nd Right to Work State Oklahoma an Economic Leader 2003 - 2011 Private Sector Job Growth 6.6% Oklahoma 10.9% Source: U.S. BEA “Since January 2011, we’ve created over 62,400 new net jobs, giving us the fourth highest growth rate in the United States. Unemployment in Oklahoma has been reduced by 30 percent, from 7 percent in 2010 to an enviable 5.1 percent today, one of the lowest unemployment rates in the nation. Our median household income rose in 2011 by $4,000 – placing Oklahoma at No. 1 in the country.” Governor Mary Fallin: State of the State Address, 2/04/2013 Indiana America’s 23rd Right to Work State “Better than any year on record” INDIANAPOLIS (Jan. 4, 2013) – The Indiana Economic Development Corporation (IEDC) announced today that in 2012 it secured job commitments from 256 companies from across the country and around the world that project to create more than 27,600 new jobs, an increase from 19,080 in 2011 and more than any other year on record. “From its falling corporate tax rate and recently enacted right-to-work legislation… these results are proof that companies find Indiana one of the most attractive places to create jobs,” Governor Mitch Daniels “…I may have underestimated the impact, we have had a flood of calls and inquiries, starting literally the day I signed the bill. We began hearing from companies we had not heard from. We're keeping a list, because this may be important information for experts in the site selection business at some point “Already had an Impact” I'm working right now with an international company that is now specifically considering Indiana, where it wasn't previously. Right-to-work has already had an impact." Bob Ady, president Ady International Co. Where the Jobs Are: Where the Jobs Are Bureau of Labor Statistics civilian non-institutional employment data 1. 2. 3. 4. 5. America’s Top States in Job Creation 6. 7. 8. January 2009 – December 2012: 44. New Mexico Florida Nebraska North Carolina North Dakota Oklahoma Tennessee Texas Virginia +2.7% Forced Unionism -.3% RTW States RTW RTW RTW RTW RTW RTW RTW RTW Third Principle Americans oppose Forced Unionism Public Opposition to Forced Unionism Word Doctors October 2010 Growing Grassroots Tidal Wave New Mexico: America’s 25th Right to Work State Right to Work Dr. Barry Paulson Study Forced Union Dues Source: Unionstats.com American Workers pay $14,000,000,000 billion in forced union dues and fees