Categorized | Headlines

USA Today | Unions’ woes are largely of their own making





 

Labor’s bigger problem is that the vote is a symptom of its declining power. Globalization and technology have weakened its hand, but the unions have also lost public support through their own actions. Inflexible private-sector unions have helped make companies less competitive (and therefore less able to hire workers), while public-sector unions have taken state and local governments for a ride, leaving taxpayers with trillions of dollars in pension and retiree health care liabilities.

 

On the private-sector side, one need look no further than the auto industry. Trying to preserve pay and benefit structures not sustainable since the 1960s, labor has wreaked havoc on Detroit, contributing to the need for the bailouts of General Motors and Chrysler.

 

Something similar happened in the recent demise of Twinkies’ maker Hostess. Its bakers union refused to recognize that the company was hemorrhaging money in an industry plagued by an excess in antiquated plants. The result is that 15,000 jobs have disappeared when some could have been saved.

 

Public-sector unions, meanwhile, have all but declared war on the general public. In many cases, they have induced lawmakers to put their states and localities on a path to insolvency by approving massive, unfunded pension and retiree health care obligations. They are certain to pay a steeper price as taxpayers are forced to endure higher taxes or reduced services in the name of benefits that few get themselves.

More.



Comment Policy: The Editors reserve the right to delete any comments which in their sole discretion are deemed false or misleading, profane, pornographic, defamatory, harassment, name calling, libelous, threatening, or otherwise inappropriate. Additionally, the Editors reserve the right to ban any registered poster who, in their sole discretion, violates the terms of use. Do not post any information about yourself reasonably construed as private or confidential. Conservatives4Palin and its contributors are not liable if users allow others to contact them offsite.

Open Thread

Governor Palin’s Tweets