The American Worker Today & Tomorrow I. II. III. IV. Economic Transformation A. Globalization B. Flexibility C. Service D. Shareholder Value E. Impact The “New” AFL-CIO A. Changing leadership B. Policies Mixed Results A. Organizing B. Reform C. Politics Where do we go? Globalization Chinese Coca Cola ad • Free trade Shanghai Buick plant, 2003 – NAFTA – WTO • Outsourcing – Escape unions – Escape regulation Flexibility • Temping • Downsizing San Jose temp, 1996 Service • From 1994-1996, 38 percent of new jobs were in service • WalMart becomes the nation’s largest private employer – 720,000 employees – ½ qualify for food stamps Las Vegas, 2005 Shareholder Value • Hostile takeovers of the 1980s lead to new emphasis on shareholders • Led by Wall Street bankers • Demands that CEOs cut wages – Tie their salary to stock prices • Gives them incentive to bust unions Impact • Risk – Income insecurity – No benefits, insurance – Debt, bankruptcy • Wealth gap – 400 richest U.S. taxpayers earn $69 billion in 2000 Changing leadership • Kirkland – Middle-class Southerner – AFL research department – Cold warrior Fr. AFL-CIO pres. Lane Kirkland • Sweeney – New Yorker – Ties to TWU, ILGWU – Becomes leader of the Service Employees Intl. Union (SEIU) • Formerly corrupt – Union gains 500,000 in 15 years AFL-CIO pres. John Sweeney Policies • Organizing • Inclusivity • Politics • Coalition-building Former UMW president, Rich Trumka speaks at rally for Sacramento janitors Difficulties • Union membership increased 265,000 • But percentage stays even at 14 percent • But labor loses some key showdowns – California Supermarket lockout, 2004-5 California supermarket protest, 2004 Reforming the Reformers IBT president, James Hoffa, Jr. • Carey – Employs guilt by association – Convicted of union election violations • Hoffa Fr. IBT president, Ron Carey – Nostalgia Political Struggles • Democrats refuse to adopt labor’s position on trade • Republicans appeal to workers through other issues – Nationalism, guns, abortion Where do we go? • Don’t panic • Resist nostalgia • Work together Protestors, Seattle, 1999