LANSING, Mich. – 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.
Michigan has been a closed-shop state since.... pretty much forever.
This is a major win for employees and the right to work under individually-negotiated wages and terms.
Labor unions have literally destroyed thousands of businesses in Michigan over the last few decades. It is perfectly fine for people to band together and decide to form a union, but it is inherently evil to then decide to effectively force others to do so in order to work in a given business -- that is literal slavery -- to the union.
That this bill now appears to be headed toward the status of "Law" in Michigan is a watershed that I never thought I'd see in my years on the planet.
That's a serious no-no when you go into bankruptcy, and the Judge has the power to unwind the entire deal, re-opening the bankruptcy. That could expose GM to roughly $30 billion in liabilities it evaded through the process and force return of the bailout funds.
Needless to say GM doesn't have the money.
Let's hope the Judge does the right thing and in fact re-opens the case.
Our policy on reciprocal links: Send us an email with your
information and why you think your blog or news site would make a
good addition - in most cases reciprocal link requests will be
granted.
Legal Disclaimer
The content on this site is provided without any warranty, express or implied. All opinions expressed on this site are those of the author and may contain errors or omissions.
NO MATERIAL HERE CONSTITUTES "INVESTMENT ADVICE" NOR IS IT A RECOMMENDATION TO BUY OR SELL ANY FINANCIAL INSTRUMENT, INCLUDING BUT NOT LIMITED TO STOCKS, OPTIONS, BONDS OR FUTURES.
The author may have a position in any company or security mentioned herein. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Looking for "The Best of Market Ticker"? Check out Ticker Classics.
Visit the forum to discuss this and other investing-related topics; see the FAQ on the forum for information about Gold Donor status including access to our technical analysis video server.
Market charts, when present, used with permission of TD Ameritrade/ThinkOrSwim Inc. Neither TD Ameritrade or ThinkOrSwim have reviewed, approved or disapproved any content herein.
The Market Ticker content may be reproduced or excerpted online for non-commercial purposes provided full attribution is given and the original article source is linked to. Please contact Karl Denninger for reprint permission in other media or for commercial use.
Submissions may be sent "over the transom" to The Editor at any time. To be considered for publication your submission must include full and correct contact information and be related to an economic or political matter of the day. All submissions become the property of The Market Ticker.
Leads on stories of current economic and political interest are always
welcome. Our fax tip line is 850-897-9364; please include contact information
with your transmission.
This could be huge...which is why it probably goes nowhere. Can you imagine in the GM BK was reopened? OMG, it would make Yasser Arafat's necroscopy look like a plate of fajitas. (International, multicultural imagery included at no extra charge)
----------
This stuff we're going through, this is nothing compared to the Middle Ages. They told me if I voted for John McCain, an idiot would be a heartbeat away from the presidency. Sure enough...
I don't care if it makes sense -- only if it makes money. -- Me Bank (n): See scam, fraud and theft.Eat a bankster -- they're low-carb. What part of "shall not be infringed" was unclear?
Pika-steph
Posts: 54732
Incept: 2007-09-11
Live Free Or Die; US Army Est. 1775
Tuesday the Senate votes. There's a mandatory 'resting period' of 5 days that must run now.
The votes are there in the Senate and Snyder says he WILL sign it.
Of course, this all depends upon whether or not the Michigan State Police can hold the Capitol building together.
Despite reports to the contrary, the union thugs here have been far more violent than in Wisconsin. They've done some serious damage to the inside of the Capitol. Not to mention, they tried to storm the Senate Chambers this morning.
There's not nearly as many of them as turned up in Wisconsin....our teachers are mostly missing here. This really isn't their fight because about 30-40% of have had it with the MEA.
The unions are already calling for a recall petition for Randy Richardville. Ironically, he's been the ONE person who had been keeping this from the floor for 3 years.
As for the GM BK, there is going to be enormous pressure on that judge NOT to reopen this case. It will really depend upon how bad off GM is right now I imagine. If they're going to need more money (and I think they do), the government may actually give a silent nod to this. Then they can say it wasn't their fault.
----------
Stop the Looting; Start Prosecuting - http://www.FedUpUSA.org/ "The only regulation that really works is failure."--Rick Santelli
At least the Dems in Michigan did not throw a fit and walk out like they did here in Indiana when right to work came up for a vote here. Good for Michigan.
----------
The politician's motto: If you can't dazzle them with brilliance, baffle them with bull****.
Placing restrictions on the private unions is a cakewalk compared to doing the same to the public unions that own the pols lock, stock and barrel. And it's the public unions that are causing most of the damage to our nation since about 90% of government employees belong to them. Public unions built the fiscal cliff. And other than driving right over top of it I don't see any solution that will stop them. It's one of the most corrupted systems we have in America.
----------
"Ammunition beats persuasion when you are looking for freedom." Will Rogers, 4 Nov 1879 - 15 Aug 1935
Obseedian
Posts: 11872
Incept: 2007-07-26
BBRY Central
So let me get this straight. GM made a deal with hedge funds that they will take the bailout money to create a new, good GM while cheating the creditors out of their money by not letting that bailout money percolate down the capital structure to them. Do I have that right?
And again state government shows itself more competent than federal government.. If only the 10th Amendment were still around we'd be so much better off. I'm with Noodle though, the public unions need to be the primary target.. Once you pass right-to-work the private unions can be left alone going forward.
The big conflict of interest is that public unions use your money to put people in office who will give them even more of your money.. Then when they run out of other people's money the state is bankrupted.
----------
Fear of govt IS the government.. Statism is a pack of unbacked threats; If govt gets out of control, ignore it and go about life as you see fit. Where's your crown, King Nothing?
Unions and right to work laws are a fine line. Living in a right to work state now. Coming from a state that was not. I can say employees in my former state were treated much better. There was actually health benefits, 401k, profit sharing when the company did well, etc. Wages were also better.
The people I know here (FL) that work for the small business in the area are lucky to make $10 an hour and get no, none, 0 benefits.
This may be just my experience, but if I look at job postings in my current state and jobs in my former state there is a clear difference. I'm not pro union per say. I do believe they have or had a roll in the private sector. Involvement in politics and greed seems to be where most unions went off the rails.
This is much-needed good news. As a near-lifelong resident of MI, I've heard countless stories of how honest workers attempting to get things done were thwarted or harassed by union goons for whatever silly reasons. I even worked in a union shop for a few months and got harassed by a union goon, last name GAMBINO. Luckily I was there for a short enough time to fly under the radar, never joined the union.
**** THE UNIONS!
----------
If the generally accepted meaning of the word marriage can be redefined, so can "keep and bear" or "freedom of speech" or anything else in the Constitution.
Of course, this doesn't end unions in MI, just their being forced on workers as a job requirement...and their power to steal from the non-union workers, a "small administrative fee" each year.
We will still have the right to collective bargaining in MI...we just won't have it shoved down our throats "or else" anymore.
They have never improved one day of my working life.
----------
“To compel a man to subsidize with his taxes the propagation of ideas which he disbelieves and abhors is sinful and tyrannical.”Thomas Jefferson
Honestly the trend of employers providing health coverage was a major contributor to this health care bubble in the first place.. Healthy people shouldn't be paying for insurance unless they want to.. They pay into the system but consume no resources, causing a predictable effect on the pricing equation for those who are being treated.
When an employer throws everybody, healthy and unhealthy alike, onto a company insurance plan he's needlessly subsidizing the medical industry. They'll find a way to provide the desired services for the amount of money they can realistically get their hands on. Hell, that's the entire point of capitalism..
----------
Fear of govt IS the government.. Statism is a pack of unbacked threats; If govt gets out of control, ignore it and go about life as you see fit. Where's your crown, King Nothing?
Pika-steph
Posts: 54732
Incept: 2007-09-11
Live Free Or Die; US Army Est. 1775
Hold the phone. The stupid is surging.
The unions have called upon Obama to tell Governor Snyder that if he passes Right-to-Work, that the federal government will withhold the promised funds for the bridge and the rail network proposals. (Neither of which I give a **** about, but they're on Snyder's agenda.) So, what's a little blatant extortion? They're even talking about this publicly. Basically, if you don't get the vote you want, then resort to blackmail tactics.
Quote:
Obama Administration Comes Out Against Michigan Right-To-Work Legislation
LANSING (WWJ) - President Barack Obama repeated his opposition to right-to-work laws as the Republican-controlled Michigan legislature moved toward adopting the union-curbing measure.
In a statement out Thursday, White House spokesman Matt Lehrich said President Obama has long opposed right-to-work laws, “and he continues to oppose them now.”
“The President believes our economy is stronger when workers get good wages and good benefits, and he opposes attempts to roll back their rights,” Lehrich said. “Michigan – and its workers’ role in the revival of the U.S. automobile industry – is a prime example of how unions have helped build a strong middle class and a strong American economy.”
State Senate Minority Leader Gretchen Whitmer said they’re calling on the White House for help in an effort to prevent Michigan from becoming a right-to-work state.
Said Whitmer to WWJ Lansing Bureau Chief Tim Skubick, ”We’re hoping when President Obama comes to Michigan next week this is going to be on his radar screen, that he’s going to say, ‘If Michigan doesn’t care about their middle class, why should we be bending over backwards to make sure that this governor is able to deliver on his promises?’”
Skubick says Gov. Snyder needs cash from the Democratic President to complete projects including the new Detroit/Windsor international bridge crossing and the Woodward Avenue rail system — and it’s not yet clear if this could turn into a political game of let’s make a deal.
“If this works out the way the Democrats would hope, here’s the scenario: Governor, if you sign the legislation, kiss that money goodbye. And if you nix it and veto it, well, guess what? We’ll open up the wallets and get you the money,” Skubick said. ”Some people might call that blackmail. In politics we call it taking advantage of a situation.”
Snyder, for the first time speaking out in support of a right-to-work plan, said this not a union-busting move and is actually pro-worker — giving hardworking Michiganders a choice. (More from the governor here).
So-called right-to-work measures generally prohibit requiring unions from collecting fees from nonunion employees.
If the two bills are enacted, Michigan would become the nation’s 25th right-to-work state.
The President is expected to travel to our state on Monday, Dec. 10, to talk about the economy at the Daimler Detroit Diesel plant in Redford.
Well Noodle I'm sure any such incident is isolated and unrelated to the topic of unions. There's a flaw in human nature.. The Third Reich showed clearly that when monsters walk among us, a great many people pretend not to see.
----------
Fear of govt IS the government.. Statism is a pack of unbacked threats; If govt gets out of control, ignore it and go about life as you see fit. Where's your crown, King Nothing?
The unions have called upon Obama to tell Governor Snyder that if he passes Right-to-Work, that the federal government will withhold the promised funds for the bridge and the rail network proposals.
Yep that's the Machiavellian feds for you. It's better to be feared than loved and to be needed is to be feared. They created that dependency on federal funds for a reason you know.. It's a cudgel to hit the states with anytime they start getting ideas.
Money is like drugs, there's nothing more expensive than free heroin.
----------
Fear of govt IS the government.. Statism is a pack of unbacked threats; If govt gets out of control, ignore it and go about life as you see fit. Where's your crown, King Nothing?
I don't care if it makes sense -- only if it makes money. -- Me Bank (n): See scam, fraud and theft.Eat a bankster -- they're low-carb. What part of "shall not be infringed" was unclear?
