ODouche: "Unions Destroying America"
The Market Ticker ® - Commentary on The Capital Markets
Posted 2012-12-11 09:18
by Karl Denninger
in Editorial
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ODouche: "Unions Destroying America"
 

This infuriates me...

(CNSNews.com)Speaking at the Daimler Detroit Diesel Plant in Redford, Mich., on Monday, President Barack Obama lashed out at the Michigan legislature, which is preparing to pass a right-to-work law, and declared that Americans only needed to look at Michigan if they wanted to see how unions helped build the middle class.

“These so called right to work laws, they don’t have to do with economics,” Obama said. "They have everything to do with politics.

"What they’re really  talking about is giving you the right to work for less money," said Obama. "You only  have to look to Michigan where workers were instrumental in reviving the  auto industry to see how unions have helped build not just a stronger  middle class but a stronger America.”

Riiiight.

This is what closed shop union shop laws protect:

These workers appealed and were reinstated at their positions.

After being followed and caught on camera getting boozed up and then immediately returning to work. 

Repeatedly.

It is a fact that unions in Michigan in particular have destroyed entire industries, say much less individual firms.  The record goes back decades.

There was a time in this country when labor unions were necessary -- when real honest-to-god sweatshops existed in the nation.  But over time labor unions in both the public and private sectors have evolved into leeches that make impossible-to-meet demands that they know are mathematically impossible to sustain (such as pensions including retiree health care) and then bludgeon management (including cities, counties and states) into acceptance of the impossible under threat of strike, and being a closed-shop union-shop state they are able to prevent the mass-firing of the entire lot of workers and their replacement with non-union employees.

This then ultimately leads to the collapse of the company in question.  When it happens in the private sector those who thought they had "protected" pensions and retiree health care get buttraped and the business disappears, with the pension being dumped into the PBGC, which by law can only pay what is actually there.  The union bosses who negotiated these fraudulent deals are never prosecuted and imprisoned for their knowingly-bogus math and projections, and neither is management for acquiescing -- but both point fingers at the other.

When the institution is a government such as a city, school system, fire or police department then its even worse.  The union points to alleged "constitutional protections" that they managed to get written into the law, making the entire process fraudulent as there never was a true adversarial negotiation in the first place.

This ultimately leads to attempts to dramatically increase taxes.  But taxes can be legally avoided; people can move, for instance, and the producers who pay those taxes do move!  Now you're screwed -- the union has "negotiated" the impossible and when it comes time to pay the money doesn't exist.  Again, they did this knowingly and intentionally, yet nobody is ever indicted and jailed for fraud.

Closed-shop laws are an anachronism that must disappear.  Michigan is taking a necessary and long-overdue step, and Obama is simply full of crap.

As for organizing cops, firefighters and teachers (along with any other public employees) -- that should be a felony.

And when you, as a government official, irrespective of your title, support and promote intentionally fraudulent projections that lead to the bankruptcy of firms and even entire governmental units, you are in fact a douche and I, for one, am not afraid to call you what you are.

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User Info ODouche: "Unions Destroying America" in forum [Market-Ticker]
Publius
Posts: 861
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Greenville, SC.
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Why, closed shops are illegal under Taft-Hartley, didn't you know. Union shops, however, are perfectly fine. And there ain't any difference, really. :) They actually claim that the closed shop practices supposedly outlawed are just voluntary, and nobody is being forced to do anything.
Matt_bear
Posts: 6359
Incept: 2008-07-15
Gold
a week early on spy puts
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This story is just beyond ridiculous.

For the union to back those employees, shows the entire process and purpose is just beyond ****ed.

In the very least, if I were a fellow union co-worker of these people, I would want them gone because they're putting my pension/benefits at risk. Drinking and smoking weed on your lunch break and then going back to operate in a plant can lead to serious injury at worst, or sub-par product build.

This seals the deal that I will never buy a Chrystler product.

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In terms of real-world fundamentals, I expect that most of the people around me, whom I work with day to day, and whom I pass on the street ... will be dead within five years.
Flappingeagle
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Quote:
“These so called right to work laws, they don’t have to do with economics,” Obama said.

Quote:
"What they’re really talking about is giving you the right to work for less money,"

He contradicts himself with almost back-to-back sentences and yet no one calls him on it? I guess the press had thier heads to far up his butt to hear what he was saying.

Karl you are right about unions, doubly so about public sector unions. For the life of me I can't see how closed-shop laws can be constitutional. You have the right to associate with whomever you want to and that right is restricted by closed-shop laws.

Flap



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Here are my predictions for everyone to see:
S&P 500 at 320, DOW at 2200, Gold $300/oz, and Corn $2/bu.
"You can't build a house of cards on a shaking table." - Tony Johns
The January 2015 AMZN put at $130 (cost $4.25) will be a winner.
Aztrader
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Scottsdale, AZ
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I left the midwest 15 years ago and haven't looked back. Everything was union in NW Indiana and you couldn't get a municipal contract unless you were union. I have a family member that is union (not by choice), but by survival. The union contractors stick together and are fairly successful. The facts that they don't mention is that any municipal project os most likely overpriced by 30% to 40% because of the unions. If a union worker is a drug addict, habitually not showing up, etc etc, they are protected by the union. If a contractor is short workers, then they have only the option to go to the union hall and must hire the dredges. Add their wages plus benefits on top of this and the insanity is obvious. They are polictically connected and can control local elections. It was so disgusting that leaving was the only option. Now looking from the outside looks even worse. Seeing Obama elected to support this constant corruption will end badly.
Dshorr
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Incept: 2011-05-07

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Should I buy the Ford Fusion made by $5/hr Mexicans or the Ford Escape made by $15/hr Americans? They can both go up in flames. Ford: Fires Or Recalls Daily

http://media.ford.com/article_display.cf....
Crzymorse
Posts: 1193
Incept: 2010-06-25

Maryland
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Any salary decrease to American workers will be made up with increased deficit spending, higher taxes, gov't benefits and more quantitative easing. Basically we are pushing a water ballon, insert pressure on one side and the other inflates. The politically connected have distorted the market to take advantage of the productive class at levels we haven't seen since the Great Depression. The problem for the political class is the productive class is starting to figure the problem out.

Grunwald
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Seattle
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That quote from Obama is not exactly accurate (I have heard his speech this morning).
The quote is missing a whole lot of studdering and a bunch of ahhhhhs.

...but according to the **** that the MSM has been feeding us he's the most articulate public speaker in generations.
Yeah, about as articulate as he is attractive - maybe to a catroon character from Mad magazine.

Nomullet
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Obama's the one that politicized this. Why does he have a say in what a state legislature legally rules on?

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Don't confuse clear thinking with simplistic thinking.
--Nomullet
Need4mospd
Posts: 44
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Houston
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Dshorr wrote..
Should I buy the Ford Fusion made by $5/hr Mexicans or the Ford Escape made by $15/hr Americans? They can both go up in flames. Ford: Fires Or Recalls Daily

A total of about 89,000 vehicles have a "risk" of fire.

To keep this in perspective, here's a few other recent recalls I found with a quick google search:
GM recalled 475,000 Chevrolet Cruzes for fire risk.
Honda recalled over 600,000 Accords for fire risk.
Chrysler recalled 87,000 Jeeps for fire risk.
Toyota recalled 7.43 million vehicles for fire risk.
Mortgageguymn
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Without intimidation, unions would have no power. That's why they meshed so well with the mafia. No one would fear crossing a picket line if there were not at least an implicit threat of violence when you come right down to it. "That's a nice truck you got in the parking lot. It'd be a shame if the windshield got smashed." "That's a nice house you got over there on Elm Street. It'd be a shame if someone threw a brick through the window at 3 AM".
Landshark
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Unions, as they exist today, are evil, toxic organizations.

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Success in life is a matter not so much of talent and opportunity as of concentration and perseverance.

– C. W. Wendte
Frat
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I managed a union crew - most not union by CHOICE. I felt bad for my beat people - they deserved and we would've given them much more than other employees based on skill, dedication, and general attitude/work ethic.


Unions breed and reward mediocrity (at best). Historically necessary, they are now a boil on the collective ass of producers.

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We're ****ed. Where's Henry Bowman when you need him?
Bertdilbert
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Online
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So I Obama going to give Michigan national disaster status? I assume that is the reason for his visit.

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Dear Euroland: Relax, Germany has a plan for your money!

Political Capital Defined: We are out of money but will tax our citizens for whatever it takes to "SAVE" the Euro.
2dogs
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Obama: "Americans only needed to look at Michigan if they wanted to see how unions helped build the middle class."

Sure, Obama. Here you go...

inline

smiley


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You can't defeat the combined effects of massive voter fraud, the Free **** Army, and the entire bought and paid for media complex. This nation is done.
Landshark
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Quote:
Unions breed and reward mediocrity (at best).


Yep. When I managed at T, it was a known fact that any line-level employee who excelled or was attempting to excel was harrassed and threatened by the CWA.

"You're gonna work the rest of us out of our jobs if you keep that up. Slow down".

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Success in life is a matter not so much of talent and opportunity as of concentration and perseverance.

– C. W. Wendte
Steelhead23
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About those cheating workers, perhaps they aren't a sign of the evil of unions, perhaps they are a reflection of our culture. You see, in the USA cheating is sport. Doing less than your level best is a virtue. Heck, one doesn't need surveillance to prove this - Timmy Geithner parades his success daily. So, folks doing mind-numbing factory work cheat. So do their bosses. I don't think this has much to do with unions.

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"Give me control of a nation's money and I care not who makes it's laws" —Mayer Amschel Bauer Rothschild Benjamin Bernanke
For-profit commercial banks are a menace and should be eradicated
Sondergaard
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Bleach may leach, but leeches brush their teeth smiley

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And it won't make one bit of difference if I answer right or wrong; when you're rich, they think you really know. --Fiddler on the Roof
Azusgm
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East Texas
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Blast from the past:

Quote:
"You're gonna work the rest of us out of our jobs if you keep that up. Slow down".


Been told that a few times in my life and never worked union.
Noodleman
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It's even worse in the public sector.

In my neck of the woods a couple government social workers got caught lying in official court documents and to a judge about an alleged child abuse case that resulted in a mother losing custody of her kids for years. The mother later sued resulting in a multi-million dollar judgment by a civil jury. Alltogther, to including court costs, the taxpayers got dinged about $10M. The director of the agency and the unions protected the social workers - one actually got promoted after the fact (making over $100,000) and the other is happily retired collecting a large pension. No prosecution. No discipline. For LYING to the court system in their official capacities - as determined by a civil jury after examining all the pertinent evidence.

So there ya go. The decline of an empire before your very eyes. Union power.

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"Ammunition beats persuasion when you are looking for freedom." Will Rogers, 4 Nov 1879 - 15 Aug 1935

Jackl
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Shouldn't be anything considered as a "public" union. Private unions are fine as eventually when you **** a business to the tipping point, you get nothing.

I understand from a wages point a view, why union workers are so rabid. The difference between a union job, and a similar non-union position in pay is staggering. But the gap would close dramatically if we would do something about the plague of wage arbitration in this country.
Mortgageguymn
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"So, folks doing mind-numbing factory work cheat. So do their bosses. I don't think this has much to do with unions."

Sorry, Steel. Not buying it. Did a little factory work myself in a non-union setting. If you didn't carry your weight, you were gone and easily replaced. You think they couldn't find plenty of people to do the "mind-numbing" work? The main thing that stops business from replacing ineffective workers is unions and the main thing that gives the unions any power is - ultimately - the threat of violence , property damage, etc. that will occur if people cross the picket line. The term "union goon" did not arise without reason.
Xqqme
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Ohio
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Wait one damned minute!
Haven't we been hearing that elections have consequences from the progs these past few weeks? Well, didn't Proposition 2 FAIL? Only TWO (2) counties in Michigan voted positively for Prop 2!!!
What the hell are they complaining about? Didn't they understand the the FAILURE of Proposition 2 was leading to this?
Duc888
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Nothing wrong with Public Unions, nothing at all.

882K

http://www.zerohedge.com/news/2012-12-11....

Quote:
So what is the New Normal dream job? Become a California state worker, preferably one who deals with neurotic and/or crazy people (i.e., a psychiatrist), and rake it in. The following chart from Bloomberg shows just how generous the otherwise insolvent state of California is when it comes to paying its public servants, and the 100%+ increase in California employee state pay since 2005. Needless to say, this is a rate of increase in compensation that 99% of workers in the private sector would die for.

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...burp
Docj
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Ah, Xqqme - that's cute. You see, even when they lose elections, Democrats and their allies think they have every right to win the argument.

Heads they win. Tails you lose.

Usually the GOP is to stoopid to call them on it, though.

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The preservation of liberty depends upon the intellectual and moral character of the people. As long as knowledge and virtue are diffused generally among the body of a nation it is impossible they should be enslaved. - John Adams
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