If we manage to escape the economic catastrophe that is ObamaCare, we may breathe a little easier, but watch the horizon for a storm is brewing that makes the health care monstrosity look like pin money.

Unions have long been in decline in private industry, but recently for the first time union membership in the public sector surpassed that in the private sector, and it is still growing.  We all know the stories about municipal workers working for 20 or 30 years, then retiring at 50% to 90% of their last year’s pay which is often inflated with heavy overtime, and then they go out and get another job where they work until retirement and a cushy life of a public pension, a handsome private 401k, and Social Security.

It used to be that it was a trade off that government workers (teachers, cops, firefighters, sanitation workers, clerical) got great benefits because they were paid poorly when compared to the private sector.  However that is no longer the case as reported in USA Today:

 USA Today reported that nearly one in five federal government employees now earn over $100,000. The paper also reported the average federal salary rose to $71,260, almost $31,000 more than the comparative average private-sector wage. 

If that doesn’t get the hair on the back of your neck to stand up as, after all you are who pays for these salaries and benefits, then perhaps this will from National Review’s March 8, 2010 issue:

The highest-paid municipal employee in Madison, Wis., is bus driver John E. Nelson, whose salary last year totaled more than $159,000. Half a dozen of his fellow drivers also earned in six figures. How is this possible? The Wisconsin State Journal explains:“A high base salary and other benefits for drivers were largely setin the 1970s and 1980s, when the city took over the bus company.” Combine that with generous, federally mandated leave provisions that make for lots of overtime, and it’s not unusual for a bus driver to out-earn the mayor (and with much better job security). In the 1950s, Ralph Kramden of The Honeymooners was paid $62 a week by the skinflints at the Gotham Bus Company; he was constantly hatching schemes to strike it rich so he could quit. Today Kramden’s dreams of avarice would have been a lot simpler: get a government job and join a union. — The Week, “National Review,” March 8 , 2010

$159,000 for driving a bus.  Imagine.  I wonder what the private bus company was paying their drivers before the city took them over?  I am sure, like ObamaCare, the takeover was a cost savings measure.  After all, those greedy private companies are out to make a profit. 

Who was the most frequent visitor to the White House  at the time the White House released its visitor logs?  It was Andy Stern, president of the Service Employees International Union (government workers), which should tell you where this is going.  Remember, as well, that when the federal government took over GM and Chrysler they gave huge percentages of those companies to the unions.  So when it comes time to negotiate the next contracts the union will sit on both sides of the bargaining table, as management and labor.  How will that turn out?  It will be one of two ways, either the union will have an epiphany and realize that profits are important to staying employed, or the unions will pick the bones of GM and Chrysler clean, driving them out of business and leaving you and me, brother, holding the bag.

The Ticking Pension Bomb

The killer, however, is unfunded pension liabilities.  All those pensions that we will be paying for with retirees being retired for longer than they worked in many cases, will be like nothing we have imagined before from a fiscal crisis standpoint.  In private industry as businesses learned to appreciate the value of their human assets, they treated them accordingly and the unions withered.  However in the public sector we have elected officials writing laws, e.g., Davis Bacon, that heavily favor or require union labor.  Unions in turn, pour millions into making sure those same politicians get re-elected.  Who is looking out for you and me?  As the ultimate employers of government employees, how about a law that union contracts must be ratified by the public at the ballot box?  Too cumbersome?  Okay, how about a law that government employees cannot receive salaries and benefits that exceed what the average private employee (the public employees’ bosses) receives in that geographical area?

Tea Party Members, are you listening?

It is clear from the present administration that the statists believe that it is their destiny to rule, not govern, over the masses who they believe are their intellectual inferiors.  Keep piling it on, but don’t worry we can always tax the rich to pay for it.  But as you board that bus in Madison Wisconsin, ask yourself if Mr. Nelson behind the wheel, is the rich guy picking up the tab or is it you?  Watch out folks, if we don’t do something soon, the rich won’t be rich enough to pay for it even if we tax them at 100% and there is no law to stop them from taking their wealth and moving somewhere else where taxes are lower.  And at this rate there are a lot of places in the world where the taxes are lower.

The US Postal Service is contemplating increasing postage rates and eliminating Saturday delivery.  Really?  They lost approximately $4 billion last year.  But don’t worry the CEO got a bonus.  It is reported that their labor costs, heavily unionized, exceed 80% of revenues.  Did you know that the only place where unionization is growing is in the public sector?  Union representation in the public sector surpassed the private sector for the first time this year.

But don’t worry, President Obama has a handle on it.  He appointed Andy Stern, president of the Service Employees International Union to the board to figure out how to reduce the deficit.  Do you see a problem between these two news items?  Can you see a problem with the objectives of an Andy Stern and you and me?

As a side note, Rick Perry just won the Republican primary for governor of Texas and in his campaign he used no yard signs, no phone banks, and no direct mail.  As one comentator said “paper is dead.”

I know this is completely anecdotal, but my local post office just completed an expansion project increasing the size of the building.  I have noticed more than one post office being expanded as well.  Again, this is just my limited, personal observation, not a scientific study, but with the drop in mail volume, “paper is dead”, $4 billion in losses, performance bonuses for lackluster performance, heavy unionization, am I being unreasonable in thinking the government couldn’t handle health care even if it was a good idea?

“I do solemnly swear that I will faithfully execute the Office of President of the United States, and will to the best of my Ability, preserve, protect, and defend the Constitution of the United States.”  – Presidential Oath of Office,  Constitution of the United States of America, Article II, Section I

“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press, or the right of the people to peaceably assemble, and to petition the Government for a redress of grievances.” — Constitution of the United States of America, First Amendment.

“This ruling strikes at our democracy itself,” Mr. Obama said, adding: “I can’t think of anything more devastating to the public interest. The last thing we need to do is hand more influence to the lobbyists in Washington, or more power to the special interests to tip the outcome of elections.” — NY Times, January 25, 2010

Last week in Citizens United v. Federal Election Commission the Supreme Court struck down a provision in the McCain-Feingold campaign finance reform bill that prohibited “electioneering communication”, that is, broadcast ads that name a federal candidate within 30 days of a primary election or within 60 days of a general election.  It is what I and many others dub the “Incumbent Protection Act”, because it tips the scales heavily in favor of incumbents who have the name recognition, and the communication power of their office as an advantage in an election.  In addition, the 30 days or 60 days are when many voters really start paying attention.  Our elected representatives love to talk tough about reform, but that reform typically ends up making it harder to replace them.

Obama Weighs In

As the above quotes demonstrate, President Obama’s job is to uphold the Constitution.  The Constitution protects free speech.  So why is President Obama attacking a Supreme Court ruling that protects Free Speech?  Is that what he is supposed to be doing?  Instead he says it “strikes at democracy itself.”  He doesn’t mention that it also lifts restrictions on the speech of unions that typically favor the positions of his party.  Perhaps that is because with the Obama administration unions have extraordinary access to the White House. From January to July, White House logs show that Andy Stern, President of the Service Employees International Union (SEIU) visited the White House 22 times, more than anyone else in the visitor logs.

If President Obama is truly concerned about the influence of lobbyists, it does no good to drive them out of advertising on TV into personal visits to the White House.  Of course, the president would be selective in who has an audience with him.  If you really want to reduce the number of lobbyists, then reduce the reasons for them to lobby.  If, for example, you want to reduce the lobbying effort of the giant agricultural corporation Archer Daniels Midland, then get the government out of the business of ethanol subsidies, farm subsidies, and shut down the federal Department of Agriculture.   Lobbyists will call on Washington less, if they have less to call about.  Shrinking the federal government will reduce the number of lobbyists and their influence, reduce the deficit, help balance the budget, and make the government more manageable so that we can reduce or eliminate waste and fraud.

Supreme Court Justice John Paul Stevens blasted the Supreme Court’s 5-4 decision saying that the ruling is not grounded in the writings of the Founding Fathers.  His argument being that certain groups could have their speech curtailed and only individuals had their speech protected.  Justice Antonin Scalia wrote a separate concurring opinion to address Stevens argument.  In part:

“I write separately to address JUSTICE STEVENS’ discussion of “Original Understandings”… This section of [Stevens'] dissent purports to show that today’s decision is not supported by the original understanding of the First Amendment. The dissent attempts this demonstration, however, in splendid isolation from the text of the First Amendment. It never shows why “the freedom of speech” that was the right of Englishmen did not include the freedom to speak in association with other individuals, including association in the corporate form. To be sure, in 1791 (as now) corporations could pursue only the objectives set forth in their charters; but the dissent provides no evidence that their speech in the pursuit of those objectives could be censored….

The [First] Amendment is written in terms of “speech,” not speakers. Its text offers no foothold for excluding any category of speaker, from single individuals to partnerships of individuals, to unincorporated associations of individuals, to incorporated associations of individuals–and the dissent offers no evidence about the original meaning of the text to support any such exclusion. We are therefore simply left with the question whether the speech at issue in this case is “speech” covered by the First Amendment. No one says otherwise.” – Antonin Scalia, concurring opinion in “Citizens United v. Federal Election Commission

Newly seated Justice Sonia Sotomayor voted against free speech.  I always marvel when people who succeed against tough odds attack the very principles of this country that allowed them to succeed.  The Bill of Rights was designed to protect against the tyranny of the majority by defining certain rights of every individual that could not be infringed upon.  It is one reason why people around the world fight to come here for a chance to succeed.  Because they know that these principles will allow them to do so if they have the drive to succeed.

The White House released a list the other day of visitors.  Topping the list, in terms of frequency of visits was Andrew Stern, president of the Service Employees International Union (SEIU).  If the name of that union is not familiar to you, it is often closely linked to ACORN, the discredited group of community organizers.  So how many visits did Mr. Stern make?  Twenty-two (22).  That’s about once every other week, give or take.

Unions Decline

From a peak, as a percentage of employed workers, of 28.3% in 1954 to a level of 11.5% in 2003, the importance of unions in American life is not what it used to be.  In his recent book, What Americans Really want…Really, Frank Luntz asked this question, which of the following institutions are most important for America’s future? He then gave them a list to choose from.  When he combined their first and second choice percentages here is how it came out:

1. Schools – 51%
2. The Church – 26%
3. Federal Government – 24%
4. The Military – 23%
5. Business – 22%
6. Local Government – 13%
7. The Courts – 12%
8. Financial Institutions – 11%
9. Hospitals – 9%
10. The Media – 4%
11. Police – 3%
12. Unions – 3%

So let’s see…unions are at about 1/3 of their peak membership numbers;  Americans think they are unimportant to America’s future and yet, the president of SEIU is at the White House just about every other week, far more than any other visitor.  How is that for being in touch?  It is hope.  It is change.  But it certainly seems like the wrong direction for America.  Do you feel like President Obama is leading America to greatness, or plotting against it?