Here at Freedom@Work, we’ve spent some time documenting the Obama Administration’s efforts to gut basic union transparency guidelines under the guise of saving money. We’ve also urged concerned readers to get involved to help stop the Department of Labor from rolling back transparency requirements aimed at curbing Big Labor’s corrupt practices. Unfortunately, the worst may be yet to come — the Administration has just announced its potential plans to close the Employment Standards Administration, an office tasked with rooting out union corruption:

The Obama Administration has found a way to cut $100 million from the federal budget and one of the items on the chopping block is an office inside the Department of Labor that conducts oversight of labor unions.

Pursuant to President Obama’s April order that federal agencies come up with away to eliminate $100 million in wasteful spending, White House Budget Chief Peter Orzsag and Cabinet Secretary Christopher Lu issued a 20-page list of items to cut to the president on Monday.

One of the proposed cost-saving measures is the disbanding of the Employment Standards Administration (page 11 in the link), an office in the Department of Labor that has the power to audit and investigate labor unions for corruption and embezzlement.

While transparency is no substitute for rolling back union bosses’ many government-granted privileges, the Administration’s eagerness to give its Big Labor allies a free pass on financial disclosure shows a callous disregard for the rank-and-file workers whose money union bosses are spending. So long as workers across the country are being forced to pay union dues just to keep their jobs, they should be getting more information about how their seized dues are being spent, not less.

When Nashua, New Hampshire postal worker Philip Wakeman paid dues to the National Post Mail Handlers Union (NPMHU), a division of the Laborers’ International Union, he had no idea that union bosses would illegally launder his money into their political coffers.

In July 2006, Mr. Wakeman gave a check to the NPMHU union for the full amount of his annual union dues. On the "Memo" line at the bottom of the check, he wrote "Union Dues."  A union official later acknowledged receipt of the dues and everything seemed fine – that is – until he received a bizarre phone call.

In October 2008, over two years after submitting the check to the NPMHU union, a stranger informed Wakeman that she found his information on the internet and suggested he do a "Google" internet search of his name. The search results were astounding:  Mr. Wakeman found his name disclosed as making a contribution in the exact amount of his annual NPMHU union membership dues to the NPMHU Political Action Committee (PAC) – all without his knowledge.

Apparently NPMHU union bosses had illegally diverted his dues payment to the union’s PAC.  Wakeman contacted the National Right to Work Legal Defense Foundation and Foundation attorneys filed a complaint with the Federal Election Commission. 

It is illegal for union officials to fund union PACs using "dues, fees, or other moneys required as a condition of membership in a labor organization."  NPMHU union bosses are also accused of violating federal election law by making a political campaign contribution in another person’s name and failing to inform Mr. Wakeman that his membership dues would be used for political purposes.

To read the Foundation’s media release regarding the FEC complaint, click here.

To read the FEC complaint, click here.

The National Right to Work Foundation assembled a crack team of experts to construct a revolutionary new device that translates union boss propaganda into plain English. We decided to test the prototype on a recent speech from a top teacher union lawyer – click on the video below to watch the results:

As always, be sure to check back regularly at the Foundation’s YouTube Channel for more Right to Work video updates. 

In case you missed it, earlier this month the Washington Examiner reported that from 2005 to 2008, Big Labor’s big money boys have funneled nearly $10 million from forced-dues-fueled union treasuries to the scandal-ridden Association of Community Organizers for Reform Now (popularly known as "ACORN") and its affiliates.

According to the report, leading the way is the scandal-plauged Service Employees International Union (SEIU), doling out a whopping $7.4 million; followed by the United Food and Commercial Workers (UFCW), the Longshore and Warehouse Union, the Communication Workers of America (CWA), and the National Education Association (NEA) unions. The Examiner also notes:

SEIU Locals 100 and 880 were listed as allied organizations on ACORN’s web site until The Examiner highlighted this connection.

LM-2’s show over $600,000 in contributions between these SEIU locals and other ACORN operations. A 2007 LM-2 form shows SEIU Local 880, which is active in Illinois and Minnesota, donated $60,118 to ACORN for "membership services." Organized labor has kicked it back in the form of gifts and grants to ACORN totaling $2.4 million, according to the disclosure forms.

ACORN activists have participated in highly aggressive, well-coordinated anti-corporate campaigns across the country unofficially called “Muscle for Money” funded by SEIU.

In other words, SEIU union kingpins shelled out top dollar for ACORN activists to conduct corporate shakedown campaigns, with tactics that include crashing business meetings and harassing company officials and their families at their own homes, to extract corporate donations and intimidate employers into accepting the Big Labor syndicate’s compulsory unionism agenda (which prominently includes forcing the companies’ workers into union ranks).

One must wonder if the workers who are "represented" by SEIU union bosses are even aware that their dues are funding a "mob-style ‘protection’ racket."

To learn about your rights, including your right to opt out of paying union dues which union bosses use on non-bargaining activities such as union politics, lobbying, and member-only events, please check out the Foundation’s "Know Your Rights" page here.

Earlier this month, AFL-CIO union chief John Sweeney sunk his teeth into Pope Benedict XVI’s latest encyclical, Charity in Truth, which addresses the global economy and, in part, the role of unions — and that nation’s largest union boss umbrella organization even insinuated that the Vatican supports passage of the Card Check Forced Unionism Bill.

But it’s worth revisiting the Catholic Church’s teachings on human freedom, autonomy, and politics.  Several years ago, National Right to Work Legal Defense Foundation attorney Richard Clair compiled an educational dossier on Catholicism, unions, and Right to Work.  For instance, in 1981, Pope John Paul II wrote about unions:

[T]he number of associations of almost every possible kind, especially of associations of workers, is now far greater than ever before. . . . But the opinion is, and it is one confirmed by a good deal of evidence, that they are largely under the control of secret leaders and that these leaders apply principles which are in harmony with neither Christianity nor the welfare of States, and that, after having possession of all available work, they contrive that those who refuse to join with them will be forced by want to pay the penalty.  Under these circumstances, workers who are Christians must choose one of two things; either to join associations in which it is greatly to be feared that there is danger to religion, or to form their own associations and unite their forces in such a way that they may be able manfully to free themselves from such unjust and intolerable oppression. Can they who refuse to place man’s highest good in imminent jeopardy hesitate to affirm that the second course is by all means to be followed?

Emphasis added.  Right to Work laws protect true freedom of association for Christians and non-Christians alike, allowing them to act on their conscience if they disagree with a union’s practices.  Moreover, once a workplace is unionized, monopoly bargaining provisions in labor law actually ban dissenting employees, including Christians, to form their own associations or unions to negotiate with employer.

John Paul also addressed the destructive effects of the politicization of unions:

[T]he role of unions is not to "play politics" in the sense that the expression is commonly understood today. Unions do not have the character of political parties struggling for power; they should not be subjected to the decision of political parties or have too close links with them. In fact, in such a situation they easily lose contact with their specific role, which is to secure the just rights of workers within the framework of the common good of the whole of society; instead they become an instrument used for other purposes.

In total, Big Labor spent well over one billion dollars in the 2008 election cycle to elect their favored candidates.  And now, their favored politicians are rewarding the union bosses by slashing union financial transparency regulations and appointing union chiefs and their allies to key positions in the Department of Labor, National Labor Relations Board, and other agencies and offices.

Furthermore, Clair notes that other aspects of Big Labor’s politicking tend to diverge from other Catholic teachings:

Eventually, [University of Detroit professor Robert] Roesser discovered that the NEA union was heavily involved in promoting abortion rights. When he thought about his dues money going to an organization with such an immoral agenda and compared it with the "Vatican Declaration on Abortion," which says that it is a serious sin to "take part in a propaganda campaign in favor of such a law," as well as "Christ Speaks Through His Church About Abortion" and the 1895 encyclical of Pope Leo XIII on Catholicism in the United States titled, "Longinqua," he came to the conclusion that, in good conscience, he could no longer financially support the NEA and the MEA, the state and national levels that were involved in promoting abortion rights.

Roesser asked the NEA union brass if he could pay his fees to a charity instead, but the union bosses refused to accommodate his religious objection and had him fired (he eventually prevailed in the courts with free legal aid from the National Right to Work Foundation).

Read the rest of "Catholic Social Teaching and Right to Work" here (PDF).

The National Institute for Labor Relations Research (NILRR) has just published an eye-opening fact sheet revealing the dangers of Big Labor’s latest push to use the U.S. Congress to impose union monopoly bargaining and forced dues on public safety workers in cash-strapped states and localities.

Never satisfied with the special privileges already granted to them by their bought-and-paid-for lackeys at all levels of government, union bosses are pushing alarming new federal legislative proposals that increase their stranglehold on otherwise independent-minded workers, such as the draconian Police and Firefighters Monopoly Bargaining bill (H.R. 413).  States have rejected similar legislation dozens of time in recent year.  (In fact, Big Labor-backed Democrat Governor Bill Ritter in Colorado vetoed such a bill at the request of cash-strapped mayors).

The Police and Firefighters Monopoly Bargaining bill would allow public safety union bosses to seize monopoly bargaining privileges over public safety employees who otherwise have chosen to refrain from being represented by or  financially supporting a union. Union officials would gain new powers in 28 states to become  "exclusive bargaining agents" of all public safety employees at a unionized workplace, thereby depriving the employees of the right to make their own individual employment contracts.

According to NILRR:

The only policies acceptable under this measure are those that empower union bosses to bargain on behalf of police and firefighters who have refused to join the union and want nothing to do with it, as well as those who have voluntarily joined.

…H.R. 413 would rewrite the public-sector labor laws of the vast majority of the 50 states to make them more pro-forced unionism.

In states that don’t currently authorize public-safety monopoly bargaining, H.R. 413 would impose it, denying localities the option to refuse to grant a single union the power to speak for all front-line employees, including those who don’t want to join. And in most states that already authorize union monopoly bargaining, H.R. 413 would widen its scope.

To view NILRR’s fact sheet, click here.

Employees Force Settlement in Precedent-Setting Federal Union Racketeering Lawsuit

Right to Work Foundation uses innovative legal techniques after company and union officials collude to enrich union bosses

Phoenix, AZ (July 22, 2009) – With free legal aid from the National Right to Work Legal Defense Foundation, five Phoenix-based employees who refrained from formal dues-paying union membership forced a settlement with the defendants in a federal lawsuit laying out how union agents conducted a corrupt scheme to divert sales commissions from the employees to union officials.

National Right to Work Foundation attorneys used the Racketeering Influenced and Corrupt Organizations Act (RICO) anti-corruption statute (establishing new legal precedent in the process) and the Labor Management Relations Act (LMRA) to attack a scheme allegedly orchestrated by Qwest Communications and Dex Media, publisher of the yellow pages phone books, and International Brotherhood of Electrical Workers (IBEW) Local 1269 union bosses.

Evidence discovered in the lawsuit showed that IBEW Local 1269 union officials manipulated company procedures to receive greater compensation at the expense of the nonunion plaintiffs. Some of the methods used to increase the union agents’ compensation included reassigning accounts from nonunion employees to union officials, giving union agents “double commissions” for sales made by other workers, and allowing union officials to regularly sell lucrative “group ads” while denying similar opportunities to nonmember employees. By knowingly aiding union agents as they manipulated company rules to increase their performance-based pay, Qwest and Dex were accused of bribing union officials to act against workers’ interests in bargaining negotiations.

(Continue reading this news release…)

Good news! The Obama Administration’s Car Czar – tasked with reorganizing the auto industry with government tax dollars – is resigning. The bad news? His replacement, Ron Bloom, is a union label hatchet-man. The Washington Examiner digs up a choice quote on his managerial prowess:

Bloom’s relevant experience appears to be negotiating for unions with troubled companies, and so it would be useful to know his approach. Thanks to an old Time magazine collection of quotes, here it is:

"Let me give you some advice. First, we are big believers in dentist chair bargaining. For those of you not familiar with this approach, it is inspired by the story of the man who walks into his dentist’s office, grabs the dentist by the balls and says, ‘now, let’s not hurt each other.’ We do have a lot to lose and we and everyone else knows it. But what you need to understand is that we are willing to lose it."

We’re sure his subtle negotiating techniques will be on full display in the coming months. But will Bloom actually manage the auto industry task force with anything approaching impartiality? The Examiner is skeptical (emphasis mine):

The president of the United Steelworkers, Leo W. Gerard, said of Bloom in a New York Times piece: "He’s going to Washington to help the administration sort out problems, and that’s his gift,” said Leo W. Gerard, president of United Steelworkers. “Ron has been a problem solver. He has worked on 50 bankruptcies over the last 20 years. He has a lot of experience and knowledge. There’s a big problem — we want to save the auto industry in America — and that’s what Ron is going to help them do."

But will he be saving the industry, or helping the unions perpetuate its woes? So far, the Obama administration’s "bankruptcy negotiation" technique has amounted to strong-arming and ruining the reputations of senior creditors who resist being written out in favor of unions. With the choice of Bloom, it is more obvious that the unions now sit on both sides of the negotiating table. Unless, that is, you believe an administration that fires CEOs is not really running the auto industry in which it owns a huge stake.

Here at Freedom@Work, we’ve covered the so-called Employee Free Choice Act (more accurately called the Card Check Forced Unionism Bill). The job-killing bill would effectively eliminate the secret ballot in union certification elections and open up workers to intimidation and dirty tricks by union organizers in coercive card check organizing drives.  Moreover, the bill’s mandatory binding arbitration provision would allow federal bureaucrats to impose terms and conditions of employment on workers and employers — which even Far Left icon George McGovern opposes.

Shikha Dalmia, senior analyst at the Reason Foundation, wrote in the Wall Street Journal this weekend — echoing what National Right to Work has been documenting for years — that mandatory binding arbitration has been occurring in government employment in numerous forced unionism states with atrocious results.

In 1969, the Wolverine State embraced a form of compulsory arbitration nearly identical to the one proposed in EFCA to resolve disputes with its police and firefighters. Years later, Detroit mayor Coleman Young — who had authored the original law as state senator — rued what he had done. "We now know that compulsory arbitration has been a failure," he lamented to the National Journal in 1981. "Slowly, inexorably, compulsory interest arbitration has destroyed sensible fiscal management and has caused more damage to the public service than the strikes it was designed to prevent."

…

A 2006 task force convened by Gov. Jennifer Granholm, who supports compulsory arbitration, found that local government costs in arbitration states are 3%-5% higher compared to nonarbitration states. "While small in percentage terms, the impact in dollar terms is huge," the task force concluded. Given that local governments in Michigan alone spend over $23 billion annually, this works out to over a billion in extra spending for them.

Michigan’s experience is hardly unique. Former Massachusetts Gov. Michael Dukakis also tried to limit public-sector compulsory arbitration during his first term. In 1977, Mr. Dukakis argued that compulsory arbitration "has removed legitimate management prerogatives in the area of staff assignments, (and) transfers from the control of municipal officials at a time when they are under severe pressure to improve their management and make savings." Mr. Dukakis failed to stop compulsory arbitration, but two years later Massachusetts voters approved a ballot initiative that effectively scrapped it.

…

Businesses are not the only losers in compulsory arbitration. Currently, any contract negotiated by union officials has to be ratified through a vote of rank-and-file members. Under compulsory arbitration, workers do not get this vote. In other words, EFCA will take away the right of workers to vote to form a union, and then binding arbitration will take away their right to vote on a contract.

The only clear winners under this law would be the union bosses, who will obtain new powers without any new accountability. If Michigan’s experience suggests anything, it’s that rank-and-file workers, businesses, and the American economy will suffer. Sen. Lincoln and her colleagues should bear this in mind before they make their final decisions.

[Emphasis added]

Read the whole thing here.

Click here to watch an urgent video message from Senator Jim DeMint, Steve Forbes, and National Right to Work Foundation President Mark Mix. 

National Right to Work president Mark Mix recently wrote in the Washington Examiner about the Obama Administration’s refusal to attend the annual U.S. Conference of Mayors in Providence at the behest of militant union bosses. The message to mayors was clear: Hand over your cities and taxpayers’ dollars to the union bosses.

Miami mayor Manny Diaz, outgoing president of the U.S. Conference of Mayors (USCM), has accused the White House of "setting a very dangerous precedent" during the organization’s 2009 annual meeting in Providence, Rhode Island. Vice President Joe Biden, senior adviser Valerie Jarrett, and Cabinet members Shaun Donavan, Arne Duncan, and Gary Locke had all been slated to attend.

Not one showed up.

Why would Obama and his Cabinet do such a thing to their close political friends? Because International Association of Firefighters (IAFF/AFL-CIO) union President Harold Schaitberger told them to.

As the national recession and exploding government deficits are forcing mayors across the country to make difficult decisions to keep their cities from going bankrupt, Schaitberger is leading a crusade to intimidate local and state elected officials. Specifically, he and his lieutenants are trying to deter local and state politicians from reforming the outrageous public-safety union pension systems that are driving cities like Providence into insolvency. The Obama White House is apparently eager to go along.

Not long before the mayors’ meeting, Schaitberger and the bosses of IAFF Local 799 in Providence announced that they would be setting up a picket line outside the conference. The White House then vowed that no one from the Obama administration would defy the union brass by attending. In a June 5 IAFF union press release, Schaitberger was quoted gloating about the Obama administration’s "unqualified support" for "organized labor."

Read the rest of the op-ed here.

Click here to watch an urgent video message from Senator Jim DeMint, Steve Forbes, and National Right to Work Foundation President Mark Mix.