Water And The Minimum Wage: Punching In

On Friday, protestors gathered in Detroit to fight back against water shutoffs affecting those unable to pay their bill, many of whom have not received a raise in quite some time.

Key Quote: “The water rate goes up every year but income is not rising,” says Wanda Hill. “You can never catch up.”

A step towards LGBT worker equality

Today, Obama signs an executive order to stop federal contractors from discriminating workers based on gender or sexual orientation, minus any religious exemptions.

Teen unemployment

Undoubtedly bad for all teens, NPR reports that it affects African Americans the most.

Your Inspiration for Today: 11-Year-Old Asean Johnson

You may have seen a video of him before, but if 11-year-old Asean Johnson can stand up to Rahm Emanuel and school “reformers” like he does in this video from the AFT convention, you can stand up and fight the important battles in your community.

At the Los Angeles convention, he thanked his teachers, his family and his Chicago community for joining together not only to safeguard his schooling and opportunities in life, but also to win access for all students to art, music, libraries and vital school professionals like counselors and nurses. To the cheers of delegates, Asean said:

Now, we must take that fight to every city in America. If we come together, we will win. Let’s march together; let’s fight together; let’s work together. Let’s reclaim the promise of America’s schools together!

Reposted from AFL-CIO NOW

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13 Things You Need to Know About Social Security Disability as Republicans Try to Dismantle It

Earlier today, Sen. Sherrod Brown (D-Ohio) spoke at a Center for American Progress (CAP) event about Republican attempts to use Social Security Disability Insurance (SSDI) as a way to cut and undercut the whole Social Security system. Rather than sticking with the conventional wisdom that Republicans, the media and even some Democrats cling to, Brown argues that what we should be doing now is not just protecting Social Security and SSDI, we should be expanding the programs.

Here are 13 important facts about SSDI you need to know to counter the right-wing spin:

1. SSDI provides protection for 90% of America’s workers and their families if a life-changing disability or illness stops them from being able to work and bring in enough money.

2. SSDI pays modest benefits, averaging just $1,140 per month, less than most workers make before they qualify for the program.

3. For 80% of beneficiaries, SSDI is the primary or only source of income, and it provides a drastic increase in the quality of life of recipients who might otherwise live in poverty.

4. The eligibility criteria for SSDI are among the strictest in the world and fewer than 40% of applicants are approved.

5. Nearly 20% of beneficiaries die within five years of first obtaining benefits.

6. Nearly 9 million workers with disabilities receive SSDI benefits, including more than 1 million veterans. More than 150,000 spouses and nearly 2 million children also receive benefits.

7. Beneficiaries pay into SSDI as a portion of their Social Security payroll tax. The current tax rate is 6.2% on the first $117,000 of earnings a worker makes.  5.3% goes to the Old-Age and Survivors Insurance Trust Fund (OASI), the rest goes to the SSDI Trust Fund.

8. Only one-third of private-sector workers has employer-provided long-term disability insurance, and most of those plans often provide less than SSDI. Only 7% of workers who make $12 per hour or less have such insurance. Most private long-term disability insurance plans are too costly for most workers.

9. Most beneficiaries are in their 50s and 60s, with the average age being 53.

10. Fewer than 4% of beneficiaries earned more than $10,000 during the year.

11. The United States ranks 30 out of 34 OECD member countries in terms of replacement benefit payouts for workers with disabilities.

12. A temporary reallocation of how the 6.2% payroll tax is divided between SSDI and OASI would ensure that both trust funds would be able to remain fully solvent until 2033 and would alleviate the shortage in SSDI funds caused by demographic trends.

13. Beneficiaries face a wide range of significant disabilities, with many having multiple impairments, which include:

  • 31.8% have a “primary diagnosis” of a mental impairment, including 4.2% with intellectual disabilities and 27.6% with other types of mental disorders such as schizophrenia, post-traumatic stress disorder or severe depression.
  • 29.8% have a musculoskeletal or connective tissue disorder.
  • 8.7% have a cardiovascular condition such as chronic heart failure.
  • 9.3% have a disorder of the nervous system, such as cerebral palsy or multiple sclerosis, or a sensory impairment such as deafness or blindness.
  • 20.4% include workers living with cancers; infectious diseases; injuries; genitourinary impairments such as end stage renal disease; congenital disorders; metabolic and endocrine diseases such as diabetes; diseases of the respiratory system; and diseases of other body systems

Watch the entire event with Sen. Brown and a distinguished panel of experts on Social Security and SSDI. You also can read CAP’s full report on SSDI.

Reposted from AFL-CIO NOW

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When Workers Come Together, We Win: Working Families Victory Roundup

Letter Carrier Michael Shea from Georgia. Photos via Letter Carriers, NALC.

Working people scored major victories over the past several months, organizing new workplaces and winning fights to raise wages.

Here are some highlights of recent working families victories:

ORGANIZING VICTORIES

Texas Machinists Win Back-to-Back Organizing Drives: Union growth continues in Texas as members from the Machinists (IAM) successfully organized their second consecutive workplace in Texas this month, adding nearly 1,000 new members.

Point Park University Faculty Organize Hundreds to Gain Benefits: More than 300 part-time faculty members at Point Park University in Pittsburgh are on the road to a union voice after voting to certify with Adjunct Faculty Association-United Steelworkers (AFA-USW).

Missouri EMS Workers Win Organizing Fight: An overwhelming majority of Emergency Medical Service (EMS) professionals in Independence, Missouri, voted to join EMS Workers United-AFSCME, strengthening the local union and providing essential protections for Missouri workers.

RAISING WAGES VICTORIES

Massachusetts Workers Help Push Minimum Wage Hike: Working people in Massachusetts scored a big win as Gov. Deval Patrick signed legislation that will increase the state’s minimum wage to $11 an hour by 2017.

Newark, N.J., Paid Sick-Leave Ordinance Goes Into Effect: A new paid sick-leave law in Newark, N.J., will allow full and part-time employees to earn up to 40 hours of paid sick-leave per year. Similar paid sick-leave laws have passed in cities such as San Francisco, Seattle and Washington, DC.

Momentum Builds for Minimum Wage Hike in Nebraska: Workers in Nebraska put a measure on the 2014 ballot to raise the minimum wage to $9 and hour by 2016.

California Workers Benefit from Minimum Wage Increase: An increase in California’s minimum wage to $9 an hour has taken effect, with the wage set to increase again in 2016 to $10 an hour. Meanwhile, efforts continue in Los Angeles to increase the minimum wage in the city to $15 an hour.

COMMUNITY VICTORIES

Philadelphia Building Trades Go to Work with New Housing Deal: A deal between Philadelphia building-trades unions and the Philadelphia Housing Authority will put people to work in union jobs while creating new affordable housing for Pennsylvanians.

Letter Carriers Complete Successful Food Drive: Members of the Letter Carriers (NALC) completed their annual food drive, collecting more than 72 million pounds of food for families in need.

Union Volunteers Help Aspiring Americans Earn Citizenship: On June 28, at the AFL-CIO headquarters in Washington, D.C., volunteers helped nearly 100 people through the U.S. citizenship process, enabling them to file paperwork with the help of legal and immigration experts.

Reposted from AFL-CIO NOW

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Hope After Hobby Lobby, Union Uncovers Teen Working On Construction Site: Punching In

Worker exploitation takes a turn for the worst

A boy, around age 13, was found performing dangerous work on a school construction site.

Lobby for birth control

As early as Tuesday, Senate Democrats are hoping to overturn the Hobby Lobby verdict by introducing a new piece of legislation that requires for-profit businesses to cover birth control for workers.

In case you were planning on going

It looks like the GOP National Convention will be held in Cleveland, Ohio, a crucial state for the 2016 election. Here’s why that might be awkward for Ohio Gov. John Kasich.

The story you need to read

Something about this woman’s trip to pick up food stamps made it a little different.

Under Pressure, Chicago Task Force Recommends $13 Minimum Wage

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The task force assembled by Chicago Mayor Rahm Emanuel to study raising the city’s minimum wage reached a final recommendation Monday: $13 an hour by 2018. Chicago’s minimum wage is currently $8.25.

The group also recommended raising raising the tipped minimum wage to $5.95 over two years, and pegging both wages to inflation. More importantly, they suggested the Chicago City Council not take any action before November, when Illinois voters will consider an advisory referendum raising the wage statewide to $10.

The Minimum Wage Working Group passed the plan 13-3, with representatives from the Chicagoland Chamber of Commerce, Chicago Retail Merchants Association, and the Illinois Restaurant Association dissenting.

The broad Fight for 15 coalition has been pushing Chicago elected officials to establish a $15 an hour living wage and right to organize without retaliation. “[Mayor Emanuel says] America is due for a pay raise” they tweeted, “absolutely. We need $15 now, not $13 in 2018.”

Photo by Fightfor15 on Instagram

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These Two Studies Turn Wall Street’s Economic Argument On Its Head

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Two studies released in the past few weeks are busting long-held myths about what makes our economy grow.

The first came in June from three professors: Michael J. Cooper of the University of Utah, Huseyin Gulen of Purdue, and P. Raghavendra Rau of the University of Cambridge. They looked at the long-term performance of 1,500 businesses and found that higher CEO pay has a negative effect on a company’s performance.

Using data from 1994 to 2013, the professors saw that companies in the top 10 percent of CEO pay produced “negative abnormal returns” (lower shareholder returns than other firms in their industry) or around -8 percent over three years. The higher the pay got, the more pronounced the effect: the top 5 percent of highest paid CEOs steered their companies to a 15 percent worse performance.

Why were these companies doing worse?

In a word, overconfidenceCEOs who get paid huge amounts tend to think less critically about their decisions. “They ignore dis-confirming information and just think that they’re right,” says Cooper. That tends to result in over-investing—investing too much and investing in bad projects that don’t yield positive returns for investors.”

The second came this week from the Center for Economic and Policy Research, which compared employment growth between states and found that those states that raised their minimum wage levels experienced higher growth than those that didn’t.

Of the 13 states where the minimum wage went up on January 1, 2014 (either because of legislative action, referendum, or cost-of-living adjustments), all but one had positive employment growth, and nine of them had growth higher than the median. “The average change in employment for the 13 states that increased their minimum wage is +0.99% while the remaining states have an average employment change of +0.68%,” wrote CEPR.

“While this kind of simple exercise can’t establish causality, it does provide evidence against theoretical negative employment effects of minimum-wage increases,” writes Ben Wolcott of CEPR.

In other words, it doesn’t prove raising the minimum wage always creates a certain number of jobs within 6 months, but it does add to the pile of evidence showing that raising the minimum wage doesn’t negatively affect employment.

And CEPR isn’t the only group that reached these conclusions. An analysis by banking giant Goldman Sachs (!) also found the states that raised their minimum wages doing better than those that didn’t.

Taken together, these studies back up what working people already know:  higher wages add to a virtuous cycle that benefits both workers and businesses, and that exorbitant CEO pay does nothing for the broader economy other than line the pockets of an increasingly small and powerful group of uber-wealthy individuals.

Text RAISE to 30644 to join Working America’s fight for fair wages.

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Higher Wages Lead to Better Milkshakes, Burritos: Punching In

This story will make you hungry, for both milkshakes and justice

Boloco and Shake Shack pay high wages and are seeing enormous benefits.

Thanks for your service! Love, Congress

300,000 veterans have lost unemployment insurance because of Speaker Boehner and Congressional Republicans’ inaction.

Respect the bump

The next Supreme Court decision on workers’ rights is about pregnant workers.

“This is citizen-driven policy”

Minimum wage increase headed for the November ballot in Nebraska.

Exercise Your Right To Strike: Punching Out

A long time coming

After several wage theft battles, port truckers in California have gone on strike.

Raising the wage will do what, now?

This pizza place raised its wages, and sales are up.

Germany raised its wage to $11.60 an hour.

In New York, a light for worker-owned businesses

The New York City Council will dedicate $1.2 million towards worker-owned business co-ops.

Medicaid Expansion Myths DEBUNKED

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Gov. McCrory recently rejected the federal plan to expand Medicaid and left 319,000 North Carolinians without health care in the process. But is Medicaid expansion really that bad? Take a look at some common myths, and the facts, below:

MYTH: Now that the Affordable Care Act is law, there’s no need to expand North Carolina’s Medicaid program.

FACT: Quite the opposite, actually. Medicaid expansion and the Affordable Care Act are meant to work in tandem and one doesn’t negate the other. The purpose of expansion is to give individuals who can’t afford coverage under the ACA a shot at obtaining health care; without it, over 300,000 North Carolinians are without health care.

MYTH: Expansion will bankrupt the state!

FACT: Not at all. Contrary to popular belief, expansion won’t drain the state of its resources. In fact, North Carolina is losing out on nearly 5 million federal dollars a day by not expanding its Medicaid program. Additionally, Medicaid spending has decreased by 11 percent since 2008.

MYTH:  Medicaid is a welfare system for those who don’t work, and the expansion plan is no different.

FACT: In reality, Medicaid expansion was conceived with hardworking people like you in mind. If Medicaid were expanded in North Carolina, it would include individuals with incomes at or below 138% of the federal poverty level. Currently, 65% of Medicaid recipients come from working families.

MYTH: The majority of North Carolinians are against expanding Medicaid.

FACT: Actually, the majority of North Carolinians—58% to be exact—are in favor of expanding the social health care program.

 

Photo courtesy of NatalieMaynor via Flickr.

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