Last night, the Missouri House of Representatives approved a bill that would make it harder for union workers to make their voices heard in the political process. Known as “paycheck deception,” House Bill 1617 places unnecessary restrictions on how union workers’ paycheck deductions can be used. Like many other anti-worker bills introduced around the country, House Bill 1617 is based on an ALEC model bill.
Does this story seem familiar? It should. The Republican-controlled Missouri House passed an almost identical bill almost exactly one year ago.
Again, the bill was introduced (SB 29 last time, HB 1617 this time). Again, there was enormous outcry from labor unions, community members, and the faith community. Again, debate on the floor revealed that the bill’s sponsors were unfamiliar with current paycheck deduction laws, which render “paycheck deception” laws redundant. Again, they didn’t care, because ALEC wrote the bill anyway, and because hurting labor unions is in their political interest. Again, it passed.
If ALEC did a remake of the movie Groundhog Day, it would look a lot like this.
But in this version, there were two major changes.
First, this version refers the issue to the 2014 ballot. This is because last year’s attempt at paycheck deception was vetoed by Democratic Governor Jay Nixon, and despite controlling twin supermajorities in the legislature, the bill’s proponents were unable to get enough Republican votes to override.
Second, this year the bill lost even more Republican votes, a tight 83-70.
This mimics a trend in the Missouri Senate. While SB 29 passed the Senate on a near party-line vote last spring, two conservative Republicans opposed it when it came back around for an override attempt in the fall: Senator Wayne Wallingford (R-Cape Girardeau) voted no, while Senator Gary Romine (R-Farmington) “took a walk” and was absent (a tactic often used to express passive opposition).
So why is this happening? It seems that for a number of Republican lawmakers, and for even more of their constituents, the ALEC-backed anti-worker agenda is getting tired. As the economy continues to struggle, the continued pushing of narrow, corporate-backed policies at the expense of job-creation policies–like Medicaid expansion and raising the minimum wage–is making less and less sense.
“A lot of Republicans don’t want anything to do with these bills, because they’re afraid the issue will come back to bite them in the end,” said Democratic House Minority Leader Jacob Hummel, “They’re right.”
“There’s more and more of us on the Republican side who realize that labor is not the enemy,” said Republican Representative Anne Zerr. Rep. Zerr has opposed both paycheck deception and “right to work” in her caucus, and spoke at a rally opposing “right to work” last week. A former utility worker, Rep. Zerr stressed that she is doing her best to turn her caucus in a different direction. “We are educating our own,” she told the crowd.
But for now, HB 1617 moves next to the Missouri Senate. If the trend continues, that might be where it stops.
Learn more about “paycheck deception” bills.
Tags: ALEC, Jay Nixon, Missouri, paycheck deception, Right to Work, Rights At Work
Politico Magazine released a comprehensive report comparing all 50 states using 14 different indicators of quality of life. In their ranking, the five bottom states (Mississippi, Louisiana, Arkansas, Tennessee, and Alabama) are all so-called “right to work” states.
Four out of five of the states with the highest quality of living, according to the study, are free bargaining states: New Hampshire, Minnesota, Vermont, and Massachusetts.
The study confirmed something that more and more working Americans are learning every day: “right to work” laws are wrong for everyone.
Quick review: “Right to work” laws require unions to extend their services to all employees in a bargaining unit, whether or not they pay dues. By making dues optional, “right to work” laws force unions to spend more resources on collecting dues than on advocating for their members–both at the workplace and in the political arena. It’s a roundabout method of de-funding unions that has been instituted in 24 states.
The Politico Magazine study used rankings from the Census Bureau, the Centers for Disease Control and Prevention, the FBI, and data on math and reading scores, average income, life expectancy, crime, home ownership, infant mortality, and more.
As 2014 kicks off with legislators and big-money donors pushing “right to work” and other collective bargaining restrictions in–at the very least–Missouri, Oregon, Ohio, and Pennsylvania, it’s important to make it very clear what effects these laws actually have, versus what their proponents claim they have.
A few effects of “right to work” are not disputed by its proponents. The key sponsors of the collective bargaining restrictions Missouri, for instance, openly admit that wages would go down if the law is passed. Indeed, wages in “right to work” states are 3.2 percent lower that in free bargaining states. Essentially, it’s like the average worker is paying an annual $1,500 fee for living in a “right to work” state. (Other reports have found “right to work” states have higher poverty rates, fewer workers with employer-based health insurance, and higher rates of workplace injuries and fatalities.)
But when you combine income with a host of other factors, as the Politico Magazine ranking does, the picture doesn’t get better for “right to work” states. Overall, 15 “right to work” states rank in the bottom 20.
The Politico Magazine ranking is not the definitive scientific report on quality of life. But it does confirm yet again that in places where workers’ right to organize is deceptively circumvented and wages decrease, other important life-quality factors decrease as well.
As legislators push these laws across the country, we should consistently require proof to back up their claims. The actual numbers don’t look too good for them.
Tags: Alabama, ALEC, arkansas, louisiana, Massachusetts, Minnesota, mississippi, Missouri, New Hampshire, Ohio, Pennsylvania, Right to Work, Rights At Work, Tennessee, Vermont, wages
Missouri Republicans are attempting to pass “right to work” for less legislation and, despite claims that the legislation is “pro-business” and will “help” the state’s economy, they can’t seem to think of one person or business the law would actually help. The state’s speaker of the House, Tim Jones (R), was recently asked at a press conference to name businesses that would benefit from the law. His answer:
AFSCME noticed the speaker’s response and created the above image and created a webpage to help expose the admission from Jones that the law doesn’t actually help Missouri’s businesses. On Facebook, AFSCME posted the image with this caption: “We’ve created this simple website so you can see if there are any companies in your state that stand to benefit from Right to Work.”
Clicking on the link leads you to a humorous site that is definitely laughing at Jones and his extreme allies, not with them.
Reposted from AFL-CIO NOW
Tags: aflcio, afscme, Missouri, Right to Work, Rights At Work, speaker tim jones, Tim Jones
A year ago, in one of the most shocking reversals in the state’s history, Michigan Gov. Rick Snyder signed a “right to work” bill into law behind closed doors as more than 12,000 protesters raged outside.
Right wing groups crowed, saying union restrictions in the home of the auto industry meant the labor movement was on its last legs. They talked about which states would go next.
And then, nothing.
Well, not nothing. But what anti-worker pundits said would be a domino effect was more like a cricket effect. In 2013, no state passed a “right to work” law.
Incorrectly-named “right to work” laws put restrictions on contracts union workers can make with employers. They ban fair share clauses which require that workers pay dues to have the protection of the union. Unions are left in the position of providing services without being able to fund those services, and they starve.
“Right to work” laws have nothing to do with freedom. They are simply a tactic to defund unions and weaken the ability of workers to advocate for themselves. And it shows: states with “right to work” laws have lower wages, higher poverty rates, and more workplace injuries and fatalities than free bargaining states.
In 2013, workers didn’t stand for it.
In Missouri, where Republicans controlled supermajorities in both the state House and Senate, some legislators pursued a “paycheck deception” bill, which restricts unions’ ability to make political contributions. Missouri House Speaker Tim Jones (R-Eureka) called it a step toward a “right to work law.” Based heavily on an ALEC model bill, paycheck deception moved swiftly through Republican-lead committees.
But workers, union and non-union (including hundreds of Working America members), made their voices heard. Emails, letters, and phone calls flooded legislative offices in Jefferson City. The bill passed the Senate after an 8-hour Democratic filibuster, but House legislators were getting skittish. Bill proponents were having a hard time answering simple questions about why additional restrictions on union dues were needed. Support for the bill dwindled with each test vote.
“Paycheck deception” passed the House by a narrower than expected margin, and Speaker Jones prepared to move on to “right to work.” But Gov. Jay Nixon vetoed paycheck deception, calling it unnecessary. By the September veto session, too many moderate Republicans had abandoned the effort, and the bill died outright.
Did Republicans get the message? Absolutely not. In December special session centered around tax incentives for Boeing, a small group tried and failed to insert “right to work” language. ALEC member Rep. Eric Burlison (R-Springfield) called it “a good opportunity to begin that fight” ahead of 2014.
In Ohio, the anti-union effort has centered around gathering petitions to get “right to work” on the 2014 ballot. As we know, you need to get a certain number of signatures to get an issue on the ballot. For Ohio, that number is 385,000, and you always want extra signatures in case some are validated.
The Tea Party group Ohioans for Workplace Freedom started circulating petitions in February 2012. After 20 months, they announced they have collected 100,000 signatures.
At this rate, as Ohio bloggers at Plunderbund noted, the anti-union group would need 40 m0re months to put “right to work” on the ballot. And since they’ve already burned through $118,000 in paid petition gatherers, chances are they’d run out of money first.
Let’s compare that with 2011, when Gov. John Kasich and Republicans in the legislative rammed through the union-busting Senate Bill 5. The bill passed on March 30. On June 29, after only 3 months, We Are Ohio delivered 1.3 million signatures to the Secretary of State to get a repeal of SB 5 on the ballot. In November, SB 5 was repealed by 60 percent of voters.
What’s going on here? What the Tea Party and the anti-union forces in Ohio don’t get is that once you get past a small group of billionaires and right-wing ideologues, there is no desire to restrict collective bargaining in Ohio. None. People are looking for good jobs, affordable health care, and decent schools to send their kids.
Meanwhile, the 2011 battle over Senate Bill 5, largely ignored by the national media, still reverberates throughout the Buckeye State. Treasurer Josh Mandel, a Republican supporter of SB 5, lost a Senate bid despite more than $19 million in outside aide. Mitt Romney haplessly flip-flopped on SB 5 and consistently delivered an anti-union message, lost in Ohio in part because of union members of all political stripes voting for his opponent. And in 2013, SB 5 supporter Toledo Mayor Mike Bell was ousted, while a Tea Party-backed pension-cutting amendment was rejected in Cincinnati by a 57-point margin.
In Oregon, the story is even shorter. An Portland attorney named Jill Gibson Odell is sponsoring a “right to work” initiative in her state. Odell is excited about the “national money to be had” to assist her campaign, so she’s not even pretending “right to work” is something Oregonians themselves want. In 2013, little to no progress was made on getting the issue on the ballot, and popular Gov. John Kitzhaber said he will publicly oppose it. Meanwhile, workers in Portland got paid sick days, and a statewide sick leave ordinance is expected to pass in 2014.
What to expect in 2014? Well, as the AP reports, the main targets for “right to work” proponents are Missouri, Ohio, and Oregon, showing that these folks have learned nothing from the past year. While their efforts stall, Americans of all political persuasions are starting to support minimum wage increases, sick leave, wage theft protections, and progressive tax codes in increasing numbers.
Working America will be vigilant to mobilize against any “right to work” measure, wherever it crops up. But make no mistake: Michigan wasn’t the start of a domino effect. It was a wake up call. And outside the right-wing think tank bubble, American workers are fully awake.
Photo by detroitfreepress on Instagram
Tags: ALEC, Eric Burlison, Jay Nixon, Jobs, John Kasich, john kitzhaber, Josh Mandel, Michigan, Mike Bell, Missouri, Mitt Romney, Ohio, Oregon, Paid Sick Days, paycheck deception, Right to Work, Rights At Work, SB5, Tim Jones
A new editorial from the St. Louis Post-Dispatch highlights the recent revelations about the American Legislative Exchange Council (ALEC) and its influence on state legislators. In particular, the editorial takes umbrage at a proposed loyalty oath for ALEC members that would have required them to place the extremist pro-corporate organization above the needs of constituents and the state and national constitutions:
Last week, British newspaper the Guardian published a series of stories based on secret ALEC documents obtained by reporters. Among the most insidious items was a loyalty oath the organization has proposed for the state chairs of its legislative members.
It reads: “I will act with care and loyalty and put the interests of the organization first.”
Imagine that, a Republican like state Sen. Ed Emery of Lamar, a man who claims to be a constitutional conservative, putting ALEC first, over his voters, over his oath to the state, over the very constitution he claims to value.
Mr. Emery, the current ALEC chair in Missouri, is already demonstrating his loyalty, filing an ALEC-inspired bill to erase teacher tenure in the state.
The former ALEC-chairman for Missouri, current Speaker of the House Tim Jones, R-Eureka, is doing his part, as well, supporting anti-union right-to-work legislation for 2014 even while pushing through special session legislation intending to lure thousands of union Boeing jobs to the state.
The editorial takes a strong stance against the influence of ALEC on the state:
Missouri voters should consider such front organizations as offensive to democracy.
Mr. Emery and his ilk can believe what they want, but they should play no part in allowing corporations to hide their agendas, and their lobbying expenses, by pretending to be something they are not. The proof is in ALEC’s actions, which, as Washington Post columnist Dana Milbank outlined, hid itself behind closed doors in a meeting last week in the nation’s capital, pushing reporters away while claiming they had nothing to hide.
No, ALEC exists solely to hide. To hide money. To hide agendas. To hide its hijacking of democracy.
Read the full editorial.
Tags: aflcio, ALEC, Missouri, Right to Work, Rights At Work, Saint Louis, Tim Jones, voting rights
Extremist pro-corporate Republicans in Missouri are getting an early start on attacking the rights of working families by pre-filing a “right to work” for less bill for the 2014 legislative session. While there undoubtedly will be similar attacks in other states in 2014, Missouri is the first state to take formal steps to strip working families of their rights.
This isn’t the first time that “right to work” legislation very similar to model bills created by the American Legislative Exchange Council (ALEC) has been proposed in the state—similar legislation was proposed earlier this year and in 2011. Peter Kinder, the state’s Republican lieutenant governor, spoke in favor of the legislation at an ALEC conference in August.
The We Are Missouri coalition is leading the opposition to the legislation. Through a press release, several members of the coalition explained why the legislation was wrong for Missouri.
Mike Louis, secretary-treasurer of the Missouri AFL-CIO:
Missouri’s elected leaders should work together to create jobs here in our state. While it isn’t a surprise that extremist politicians would instead file a ‘right to work’ bill on the first day of session, it is shameful that they would make this unnecessary and confusing bill their first priority for 2014. It is time for our elected officials to work together to create good jobs and safe work places instead of trying to micromanage relationships between businesses and their employees.
Bobby Dicken, a utility line crew foreman from Poplar Bluff:
It is simple—“right to work” bills are wrong for Missouri. It’s a corporate power grab that’s in the best interests of CEOs—not our state. Studies have shown that ‘right to work’ means less jobs, lower wages and more dangerous workplaces. I’m disappointed that [Southeast Missouri] area state Rep. Donna Lichtenegger and Speaker Tim Jones seem to be more concerned with doing the bidding of special interest groups like ALEC instead of helping middle-class Missouri families.
Vicki Hurt, who works for the Missouri Children’s Division in Branson:
This bill won’t create a single job. These unnecessary attacks on working people hurt our middle-class families, harm our public schools and put our safety at risk. ‘Right to work’ is a divisive partisan political issue meant to punish labor unions that puts our everyday heroes in danger.
Tell Missouri legislators: we need more jobs, not fewer rights.
Tags: aflcio, Missouri, paycheck deception, Right to Work, Rights At Work
After nearly a year of protests, rallies, marches and court battles demanding “Fairness at Patriot,” a settlement has been reached that will help cover future health care benefits for the retired coal miners affected by the bankruptcy of Patriot Coal.
The Mine Workers (UMWA) yesterday announced that it had reached a global settlement with Peabody Energy and Patriot that will provide more than $400 million to fund retiree health care costs through the Patriot Retirees Voluntary Employee Benefit Association (VEBA). Peabody will pay $310 million over four years while Patriot will provide the remainder through payments and production-based royalties.
UMWA President Cecil E. Roberts said:
This is a significant amount of money that will help maintain health care for thousands of retirees who earned those benefits though years of labor in America’s coal mines. This settlement will also help Patriot emerge from bankruptcy and continue to provide jobs for our members and thousands of others in West Virginia and Kentucky.
Patriot Coal was spun off from Peabody in 2007, and Peabody transferred the health care and other obligations of the former Peabody miners and retirees to Patriot. Patriot filed for bankruptcy in July 2012. In August, the UMWA reached a settlement with Patriot that restored many of the wage and benefit cuts Patriot instituted as part of its bankruptcy proceedings.
As part of the recent settlement, the union agreed to halt its months-long public relations and direct action effort related to Peabody in St. Louis and elsewhere regarding the effects of the Patriot Coal bankruptcy. Miners and their allies had held several huge marches and rallies at Peabody’s St. Louis headquarters and elsewhere.
Several thousand of Patriot retirees worked for Magnum Coal, a subsidiary of Arch Coal that Patriot acquired in 2008. Arch Coal, like Peabody, was accused of ducking its health care and other obligations of those miners by transferring them to the subsidiary. Arch Coal has yet to settle with the union, and Roberts said:
Arch still can step up and meet its obligation to these retirees. We will continue to encourage them to do so in the coming days.
Roberts said while the settlement with Peabody and Patriot is significant, it does not provide the level of funding needed to maintain health care for these retirees forever.
That is why we are continuing our efforts to pass bipartisan legislation in Congress that will put these retirees under the Coal Act, meaning their long-term health care benefits would be secured at no additional cost to taxpayers.
H.R. 2918, introduced by Rep. David McKinley (R-W.Va.), has 24 co-sponsors from both parties; and S. 468, introduced in the Senate by Sen. Jay Rockefeller (D-W.Va.), has six co-sponsors.
Photo by Missouri AFL-CIO on Facebook
Reposted from AFL-CIO NOW
Tags: Health Care, mineworkers, Missouri, patriot coal, pension, secure retirement, West Virginia
Johnny Zuagar just wants to go back to work. It’s been 72 hours since he’s been locked out of his job at the U.S. Census Bureau in Suitland, Md., and he’s scared.
“I don’t know what bills to pay,” says Zuagar, who has two young children. “I’m afraid I might lose my house. I don’t know how it got to this.”
Zuagar and 800,000 federal workers all over the United States are locked out of their jobs because of the House Republican government shutdown. While most people think that the shutdown is focused on Washington, D.C., the reality is that about 85% of federal workers don’t work in the Washington area. In fact, the D.C. metro area is only the fourth largest concentration of federal workers (see a map of where federal workers are). Here are 12 examples of workers, some of whom are still working, are going without paychecks because of the irresponsible House Republican shutdown.
1. Washington, D.C., Capitol Police: The officers who responded to the tragic incidentnear the U.S. Capitol on Thursday are currently working without pay. Whenever the shutdown ends, they’ll receive pay for time worked, but they don’t know when their next check will arrive.
2. Wyoming Nuclear Missile Support Staff: More than 1,000 support staff at a base that houses Minuteman III intercontinental ballistic missiles were furloughed. While people who directly work in national security-related jobs stayed working, others, like map technician Thomas Sweeney, were sent home. The absence of Sweeney and others isn’t as benign as some members of Congress would have you believe: “As for civilians who work for the (Defense Department) and support our national security, furloughs and pay freezes are equally serious and threatening to our national security, especially at a time of war,” American Legion National Commander Daniel M. Dellinger said.
3. Florida Air Safety: Jennifer Martin is a member of the Professional Aviation Safety Specialists (PASS) and computer specialist with the Federal Aviation Administration in Melbourne, Fla. Martin develops and maintains software applications to monitor equipment like air-to-ground and ground-to-ground communications and surveillance. She and her co-workers, who include aviation safety inspectors, are dedicated federal employees who want to return to their jobs where they can “serve the nation, and provide for our families.” Martin says while they are locked out of their jobs, the safety of flying public may be at risk.
4. Missouri Mortgage Assistance for Rural Homeowners: Nicole Starr, a single mother of three, was locked out from her job helping low-income rural homeowners pay their mortgages. She says she’s very proud of the job she has helping people. “Now I’m in the same position as the people I help,” she says. “I feel like I am watching our community fall apart.”
5. New York Toxic Waste Cleanup: The Environmental Protection Agency was scheduled to begin the process of helping residents near the Eighteen Mile Creek Superfund site move to homes that are uncontaminated with asbestos, PCBs, lead and chromium—hazards they currently live with—but the shutdown has stopped the process. The local community involvement coordinator Mike Basile says he doesn’t know when things will move forward. “I don’t know. I can’t find out because it’s so chaotic today.”
6. Montana Native American Programs: Leaders of the Crow Tribe laid off hundreds of workers who perform home health care for the elderly and people with disabilities, bus service for rural areas and other projects. “It’s going to get hard,” says Shar Simpson, who leads the Crow’s home health care program. “We’re already taking calls from people saying, ‘Who’s going to take care of my mom? Who’s going to take care of my dad?’”
7. Illinois Women, Infants and Children (WIC) Agencies: The state’s Department of Human Services has enough money to fund WIC for about two weeks, after that, it won’t be able to afford to buy baby formula that it provides to more than 600 single mothers.
8. Idaho Missing Woman Search: Jo Elliott-Blakeslee, 63, was missing at Craters of the Moon National Monument and the search was temporarily called off after furloughs set in. Law prohibits federal government employees from volunteering for the search, since it would be unfunded work, so the remaining monument staff are trying to recruit capable volunteers from outside their office.
9. National Labor Relations Board: Lynn Rhinehart, general counsel of the AFL-CIO, says the NLRB, the government agency that helps protect workers’ rights, cannot process unfair labor practice charges or hold elections. There are no hearings taking place when employers violate workers’ rights. And workers who were scheduled to vote in elections about getting a union on the job are having those elections pushed off. “Basically,” says Rhinehart, “there is no labor law right now.”
10. South Dakota National Guard: The majority of the National Guard employees in South Dakota have been laid off, which spokesman Maj. Anthony Deiss says will hurt their ability to maintain vehicles, aircraft, and other equipment, and could impact training for regular guard members.
11. California air disaster investigations: The National Transportation Safety Board suspended its investigation into the crash of a private jet in Santa Monica that killed four people.
12. Minnesota Social Security Offices: Offices are closed and residents like Jeff Williams can’t get new or replacement Social Security cards or proof of income letters. “I can’t shut down and not take care of this little one,” he says, referring to his daughter. “I mean, they’re the government. They’re supposed to be taking care of us.”
Listen to a rally today from outside the U.S. Capitol, where locked-out workers tell Congress they want to get back to work, and AFL-CIO President Richard Trumka addresses House Republican irresponsibility:
Reposted from AFL-CIO NOW
Tags: aflcio, California, DC, Florida, idaho, Illinois, Jobs, Missouri, montana, New York, NLRB, Richard Trumka, shutdown, South Dakota
On Wednesday, the Missouri Senate considered overriding Gov. Jay Nixon’s veto of Senate Bill 29, the paycheck deception bill, which would put unnecessary restrictions on union members’ voice in the political process. After 35 minutes of debate, the motion to override failed 22-11, with Sen. Wayne Wallingford (R-Cape Girardeau) joining a unanimous Democratic caucus. Sen. Gary Romine (R-Farmington) was absent from the vote.
This is the end of a long journey for the paycheck deception bill in Missouri. In March, Democrats in the Senate lead a 7-hour filibuster of the bill before Republicans cut off debate to pass it. Different versions of the bill with various exemptions bounced around between the state House and Senate.
The debate over the bill was strange. Democratic senators including Gina Walsh (D-Bellafontaine) and Paul LeVota (D-Independence) addressed question after question to supporters of the bill, including the primary sponsor Sen. Dan Brown (R-Rolla), which never got answered. The supporters of SB 29 seemed unaware and uninterested in the fact that union members can already opt out of political contributions. Progress Missouri extensively reported SB 29’s similarity to an ALEC model bill, and the wide overlap between ALEC members and SB 29 supporters.
Eventually, the bill passed both houses, but with far below the support needed to override a veto. Gov. Jay Nixon vetoed the bill, calling it “unnecessary,” a simple argument that the bill’s supporters never directly refuted. Their failure to give any reason for the bill, other than political retribution and marching orders from ALEC, was reflected in today’s vote.
“With his veto, Governor Nixon stood up for the basic rights of Missouri’s everyday heroes – and bipartisan opposition to this unfair bill in the House and Senate means SB 29 will not become law,” said Hugh McVey, President of the Missouri AFL-CIO. “Although wealthy corporate special interest groups pushed for this paycheck deception bill that would take away the voice of teachers, nurses, social workers and other middle class Missourians, with bipartisan opposition the veto override fell short.”
We hope the failure of SB 29, along with the failure to advance a so-called “right to work” bill, will be a wake up call to Missouri politicians that Republicans, Democrats, and independents alike want more jobs, not fewer rights for workers.
“Politicians in Jefferson City need to start working on job creation instead of making it more difficult for me to do my job,” said John White, a developmental assistant from Sikeston. “As a union member, I voluntarily contribute to giving a voice to all workers, and I don’t need extremist legislators to get in the way of my freedom to make that decision. Plain and simple, these extremist proposals would do nothing but impede my rights as a worker.”
Tags: ALEC, Corporate Accountability, Missouri, paycheck deception, Rights At Work
In a victory for some 3,100 retired Mine Workers (UMWA) members and a setback for Peabody Energy and its attempt to duck its health care obligations, a U.S. Court of Appeals’ bankruptcy appellate panel todayreversed a lower court’s ruling that would have allowed Peabody to shed its responsibilities.
The retirees worked for Heritage Coal before Peabody spun it off to Patriot Coal. The UMWA says Peabody created Patriot solely for the purpose of ducking health care and other obligations for miners and retirees.
UMWA President Cecil Roberts says the court’s ruling was:
A bright ray of good news in what has been a long, dreary period for the retirees, their dependents and widows who have been desperately worried about what’s going to happen to their health care.
The union has been engaged in a Fairness at Patriot campaign to win justice and protect the pensions and health care for the workers and retirees at Patriot and to hold Peabody accountable to its obligations. Says Roberts:
Peabody has spent years trying to get rid of its obligations to the thousands of retirees who made it the richest coal company in the world. This decision foils part of that plan. And it makes us even more determined to keep fighting to make sure the company lives up to its entire obligation to these miners.
UMWA members at Patriot Coal operations in West Virginia and Kentucky last week ratified a settlement the union reached with the company that makes significant improvements in terms and conditions of employment over a federal bankruptcy judge’s order from last May. But says Roberts:
We are now able to turn our full attention to securing the lifetime health care benefits Peabody and Arch Minerals [which also was involved in the creation of Patriot] promised these retirees. If those companies thought our public effort to highlight their poor corporate citizenship was over, they will quickly find out otherwise. We’re moving into a new phase of that effort, and soon. We fully intend to hold Peabody and Arch accountable.
Visit Fairness at Patriot for more detailed information on the struggle.
Reposted from AFL-CIO NOW
Tags: Corporate Accountability, Health Care, Kentucky, Missouri, Retirement, West Virginia