Ending eternal life of CA unions

UnionsRepublican California State Assemblywoman Shannon Grove, representing the 34th district (mostly Kern County), has come up a couple of interesting bills. (H/T Steve Frank.) Assembly Bill 2753 would “require California’s public employee unions to post an itemized version of its budget online, making it accessible for its members.” A second bill, AB2754, would “require public unions to hold an election every two years to determine if the current labor union should continue to represent its members. The election would also allow workers to select another public employee union to take its place.”

While both bills are laudable, I do see problems with AB2753. There are too many money laundering tricks that unions can use for the bill to be truly effective. But AB2754 is a doozy. It would make unions much more accountable to their members because they wouldn’t have an eternal mandate as they do now. The unions representing teachers and other public employees in California rose to power in the 1970s, and have never been recertified. How many current workers are still employed from that time? Few, if any.

Pennsylvania is also dealing with the issue. As Watchdog.org’s Evan Grossman writes, “Less than 1 percent of Pennsylvania public school teachers have formally approved of the unions representing them, and teachers unions from Erie to Philadelphia have not been elected by their members for more than four decades.” A policy brief from the Commonwealth Foundation, a free-market think tank in the Keystone State, tackles the subject. “In presidential and congressional races, Americans are accustomed to selecting leaders every two to four years. For labor organizations, which affect every aspect of government employees’ working lives, regular elections should also be mandatory.” In fact, The Washington Free Beacon’s Bill McMorris writes, “there is a bill before the (Pennsylvania) state senate that would allow for regular recertification elections ‘no less than every four years’ or when collective bargaining agreements expire.”

Now it is true that a union can be decertified by its members, but it is an onerous process that is doomed to fail, especially in big cities where the unions are powerful. Patrick Semmens, a spokesman for the National Right to Work Foundation, explains that regular recertification “would also remove obstacles that workers face when they try to decertify a union. The process can be derailed through stalling tactics and other procedural hurdles that ordinary workers face.” Semmens adds, “Regular recertification elections would be a positive step towards checking union forced dues powers.”

What happens when unions have to regularly recertify? In Wisconsin, Scott Walker’s Act 10 made unions go through the process on a yearly basis. Figures from 2015 reveal that over 100 public school unions in Wisconsin have voted to decertify in the past two years.

Now for the bad news. Getting any kind of union reform bill through the legislature in Sacramento, especially one that would interrupt the union’s gravy train, let alone derail it, has little chance of passage. Let’s face it – CTA pretty much owns the Legislature. As former California State Senate leader Dom Perata has said, the union considers itself “the co-equal fourth branch of government.” Nevertheless, Ms. Grove is to be commended for her effort, and it will be interesting to see how the unions spread their poison in the legislature and, just as importantly, how they spin the bill to the public.

Larry Sand, a former classroom teacher, is the president of the non-profit California Teachers Empowerment Network – a non-partisan, non-political group dedicated to providing teachers and the general public with reliable and balanced information about professional affiliations and positions on educational issues. The views presented here are strictly his own.

Originally published by UnionWatch.org

Lowest-Paid Legislators Wear Distinction As Badge of Honor

Richard RothOnly in public office could the distinction of lowest paid be worn as a badge of honor.

But Richard Roth, a Riverside Democrat, has refused every pay increase since being elected to the state Senate in 2012, making $90,526 per year in base salary.

Most members of the California Legislature make $100,113 per year, with leadership drawing checks for as much as $115,129. In fact, Roth is the only senator currently paid below the going rate, although there are several like-minded members of the Assembly.

Roth spokesperson Shrujal Joseph told CalWatchdog that Roth believes he has an obligation to perform his duties at the pay rate voters agreed to when he was elected.

“If fortunate enough to be re-elected, Senator Roth will accept the pay that is in effect then, whether it be higher or lower,” said Joseph.

Members of the Assembly

Fullerton Republican Young Kim is the lowest paid member of the Assembly, earning $95,291 annually. Like Roth, she’s refused every pay increase since being elected in 2014 — including one that passed right before she was elected but came into effect afterwards.

Six other members of the Assembly refused one pay increase, earning $97,197. Four are Republicans: Catharine Baker of San Ramon, Shannon Grove of Bakersfield, David Hadley of Torrance and Tom Lackey of Palmdale. Two are Democrats: Ken Cooley of Rancho Cordova and Jacqui Irwin of Thousand Oaks.

California Citizens Compensation Commission

Pay for legislators, and constitutional officers like governor and attorney general, is determined annually by the California Citizens Compensation Commission, which will meet again on April 27. The CCCC also determines benefits.

The CCCC is a seven-member panel, appointed by the governor, which is supposed to represent different segments of the community and different areas of expertise, including one member with expertise in compensation (like an economist); one representing the general public (like a homemaker/retiree/person of median income); one representing the nonprofit world; one who is an executive at a large CA employer; one who represents small business; and two labor representatives.

According to Tom Dalzell, the CCCC chairman, it’s unclear if another raise will be in order as he hasn’t “begun to think about it,” but noted the sacrifice many legislators make by leaving lucrative careers for public office. And in general, pay is considered one of the biggest lures of top talent.

Dalzell, who is a business manager for the International Brotherhood of Electrical Workers Local 1245 and occupies one of the CCCC’s labor seats, said that in determining whether to increase, freeze or reduce pay, the CCCC considers the state budget, the consumer price index and survey data on local elected officials.

Pay Scale History

California has the highest paid state legislators in the country, according to the National Conference of State Legislators. They are also paid well above the state’s median income of around $61,084.

On the whole, base salary for legislators has increased since 2005. To be more precise, legislators have received six increases, three freezes and two reductions since 2005. To be even more precise, base salary went from $99,000 in 2005 to the $100,113 base salary it is today — after salaries had been frozen between 1999 to 2005.

The two reductions were largely orchestrated by the former chairman Charles Murray, a holdover appointee from the Schwarzenegger administration. Murray stepped down almost a year ago to the day.

The six increases: 2005 – 12 percent increase; 2006 – 2 percent increase; 2007 – 2.75 percent increase; 2013 – 5 percent increase; 2014 – 2 percent increase; 2015 – 3 percent increase.

The two decreases: 2009 – 18 percent reduction; 2012 – 5 percent reduction.

And the three freezes were in 2008, 2010 and 2011.

As readers can probably imagine, the decreases were unpopular in Sacramento. In fact, one former legislator fought a cut — the 18 percent reduction in 2009 that slashed salaries from $116,208 to $95,291 — by appealing to both Brown and the California Victim Compensation and Government Claims Board.

Neither appeal was successful.

This piece was originally published by CalWatchdog.com

AB588 Could Save California Businesses Millions

California needs to make major progress when it comes to preventing abusive lawsuits. The state earned the title of “Judicial Hellhole” again this year, calling attention to the fact that California’s legal climate is out of balance, and things are getting worse each year.

California earned this title because of laws like the Private Attorney General Act of 2004 (PAGA), which allows employees to bring lawsuits directly against their employer for a variety of California Labor Code violations – no matter how trivial. No harm or damages must be shown in order for an employee to sue under PAGA, enabling trial lawyers to file expensive and abusive lawsuits against employers seeking quick settlements over trivial mistakes, such as typos on documents. These abusive lawsuits make California an even more difficult place to own and operate a business.

The current law allows trial lawyers to file multimillion dollar lawsuits over trivial paycheck violations, such as not listing the complete employer’s name and address on pay stubs properly. These minor mistakes have statutory penalties that can go back four years at a cost of $100/$200 per paycheck violation.

A handful of lawyers are currently making a killing finding minor mistakes on an employee’s paycheck stub to file multimillion dollar lawsuits. These lawsuits are not protecting the citizens of California as the law intended. Instead, the law benefits greedy personal injury lawyers who are jeopardizing California’s economy.

For instance, a recent story on KGET-TV in Bakersfield highlighted the case of B and L Casing, a local company that was hit with one of these lawsuits and settled for $1.5 million. The company is now planning to move out of California – taking jobs with it.

Thankfully, California has an opportunity to reverse some of the damage done by PAGA. AB 588 by Assemblywoman Shannon Grove would give businesses a chance to correct a paycheck error within 33 days before getting hit with a lawsuit. Currently, the law does not give businesses a chance to fix insignificant mistakes on their paychecks before getting hit with such penalties.

AB 588 is a reasonable and fair approach that would help stop shakedown PAGA lawsuits against California businesses while still encouraging them to fix issues of minor noncompliance with the California labor board. AB 588 will be heard in the Assembly Labor and Employment Committee on April 22nd.

Tom Scott is executive director, California Citizens Against Lawsuit Abuse

Originally published by Fox and Hounds Daily