Too Rich to Fail?

Budget shortfalls in many states have helped shine the spotlight on fiscal responsibility, but as we've seen in Wisconsin when there are political careers on the line rhetoric tries to muscle its way into the spotlight, too. There is no guarantee of objectivity left in commercial "mainstream" media in the U.S. anymore; the chase after "bottom line" success has also chased truth and journalistic standards into full retreat.

Now elected so-called leaders want to chase education into full retreat, too. With the full complicity of ratings-driven networks who will present any side of an issue if they make a buck today, the folks who can afford to pay as much for their kid to attend an elite private academy every year as the rest of us can justify for a graduate school have decided public schools and the people who teach them are no longer a priority.

"...in the derivatives market alone, $600 trillion is in play. That’s why the players, and the Chamber of Commerce, are lobbying so hard to be left alone..."

from "$6 Trillion in play: derivatives markets"
18 February 2011 at realitytax

We bailed out Wall Street bankers after the 2008 crash caused by years of risky business put our economy in a tail-spin, supporting their lavish lifestyles, sky-high salaries, and jaw-dropping year-end bonuses; in exchange they demand we reduce taxes on the ultra-rich while our bridges crumble, potholes proliferate, and we're reducing the modest paychecks and threatening the retirement benefits of public school teachers? In the land of opportunity? Seriously?


We've let corporations and lobbyists build a system where the rule is that some are not only being asked to pay less than their fair share, but they're also too rich to fail. What's next, taking away the collective bargaining rights that made this country great by building the middle class into the engine of the world's greatest economy? We can do better than this; on behalf of our children we must do better than this.

In 2009, "America’s top 25 hedge fund managers earned an average of $1 billion each — enough to pay for 20,000 teachers." Former Secretary of Labor Robert Reich 3 May 2010

Political Correspondent Thomas Hayes is a former Congressional Campaign Manager; he's a journalist, photo/videographer, entrepreneur, and communications consultant who contributes regularly on topics ranging from economics and politics to culture and community, who incidentally stands in solidarity with the citizens and workers in Wisconsin refusing to let their Governor's self-created budget "crisis" and new spending priorities be re-cast as a reason to undermine contractual obligations and collective bargaining agreements.

You can follow Tom as @kabiu on twitter. Tweet

from Wisconsin: "Mubarak for Governor" signs

According to the Associated Press, the legislators in the "Wisconsin Assembly have agreed to a deal that will limit further debate on a bill taking away collective bargaining rights for public workers and lead to a vote on the measure later Thursday," possibly as early as noon.

Meanwhile, the Chief of Police in Madison is asking the governor to explain "troubling" and "unsettling" statements the loose-lipped rookie Governor made while he thought he was on the phone with billionaire David Koch.

"I find it very unsettling and troubling that anyone would consider creating safety risks for our citizens and law enforcement officers. Our department works hard dialoging with those who are exercising their First Amendment right, those from both sides of the issue, to make sure we are doing everything we can to ensure they can demonstrate safely."

Police Chief Noble Wray
Madison, WI
Wisconsin State Journal, 24 Feb 2011

"There are a lot of folks out there who say, ‘It doesn't impact me, I'm not a union guy, I'm not a teacher, I'm not a civil servant.' Let me tell you how it does matter to you. Wages are going down in this country for everybody. When you destroy unions there will be no standard at all, nobody left to negotiate decent jobs for the middle class..."

Vermont Senator Bernie Sanders
Statement, 23 Feb 2011

"I would like to hear more of an explanation from Governor Walker as to what exactly was being considered, and to what degree it was discussed by his cabinet members."

Police Chief Noble Wray
Madison, WI
Wisconsin State Journal, 24 Feb 2011

The Chief has some legitimate questions, and the rest of the cheeseheads are coming up with some really great signs at the Madison protests, don't you think?

Political Correspondent Thomas Hayes is a former Congressional Campaign Manager; he's a journalist, photo/videographer, entrepreneur, and communications consultant who contributes regularly on topics ranging from economics and politics to culture and community, who incidentally stands in solidarity with the citizens and workers in Wisconsin refusing to let their Governor's self-created budget "crisis" and new spending priorities be re-cast as a reason to undermine contractual obligations and collective bargaining agreements.

You can follow Tom as @kabiu on twitter. Tweet

The Truth About WI Teacher's Pay

The data on how much is spent on teacher's pay isn't hard to find, but the truth may bother WI's Governor in his bid to blame unions and collective bargaining for his budget priorities:

The average teacher's salary across all Wisconsin districts is $48,267.  According to the Census Bureau’s Median Household Income by State – Single-Year Estimates the average household income in Wisconsin is $51,237 -- a difference of $2,970/year which would amount to a 6% raise if teachers were just brought up to the average.

Collective bargaining hasn't made Wisconsin teachers rich, it hasn't even brought them level with the rest of their state, but their new Governor wants to impose a new regulation restricting their rights.  If you ask me, that's new government regulations when the GOP has been telling us job creation is their priority.

Actions speak louder than words.

If you want to dig deeper, or verify the data on teacher pay, check the Wisconsin Department of Public Instruction link: "Statistical Information Center - School Staff and Salary Data." It's all there: the low salary, high salary, average salary, average fringe, average local experience, average total experience for staff in each public school district, and more, in spreadsheets you can download.

If Governor Scott Walker hasn't blocked access, that is.

Political Correspondent Thomas Hayes is a former Congressional Campaign Manager; he's a journalist, photo/videographer, entrepreneur, and communications consultant who contributes regularly on topics ranging from economics and politics to culture and community, who incidentally stands in solidarity with the citizens and workers in Wisconsin refusing to let their Governor's self-created budget "crisis" and new spending priorities be re-cast as a reason to undermine contractual obligations and collective bargaining agreements.

You can follow Tom as @kabiu on twitter. Tweet

On, Wisconsin!

Paul Krugman's column Sunday, Wisconsin Power Play, detailed the parallels between Cairo and Madison; he concludes that as with Mubarak the real storyline is about power. As the economy continues to struggle with the effects Wall Street deregulation induced on Main Street, the crisis of confidence in Wisconsin Governor Scott Walker's leadership is because his proposal would further accelerate the disturbing trend: redistribution of wealth away from the middle and lower classes.

Of course, logically the proposal flies in the face of the evidence about his spending and budget decisions, but he evidently thought he could slip that by in the current political climate. After all, as Pew research from earlier this month points out, while lots of people favor "cutting spending" when you get down to brass tacks it turns out that the vast majority like what the government is spending the money on:

So that leaves a real problem for those who campaigned on cutting the size of government: just what are people really willing to give up?

Walker's call to remove collective bargaining rights amounts to opening a new front in class warfare, and he's at the pointy end of the stick.

"...it has nothing to do with helping Wisconsin deal with its current fiscal crisis. Nor is it likely to help the state’s budget prospects even in the long run: contrary to what you may have heard, public-sector workers in Wisconsin and elsewhere are paid somewhat less than private-sector workers with comparable qualifications, so there’s not much room for further pay squeezes."

Paul Krugman, 20 Feb 2011

I feel for Governor Walker; new bosses that flex their muscles don't always understand the limits. Less than two months into his term he's learning that ascending to the executive branch doesn't come with absolute power. Voters who liked the sound of lower taxes in November apparently don't expect vague promises of "fiscal discipline" to reduce what's invested in our children's education or the support we guaranteed military veterans. Meanwhile certain of Walker's own spending increases smell of corporate welfare and backroom deals.

The Governor is losing the battle of public opinion. People in Egypt are ordering pizza for demonstrators in Madison, for crying out loud. If moderate Wisconsin Republicans can't mediate his position and broker a deal quickly, irate people in Wisconsin recalling that government bailed out banks and learning more about the Koch's support for their new Governor may just get beyond rumors they're talking about organizing a recall and actually do so -- which will make Walker's current concerns about losing face for reversing a strongly-stated position pale in comparison.

Thomas Hayes is an entrepreneur, former Congressional Campaign Manager, strategist, journalist, and photographer who contributes regularly to a host of web sites on topics ranging from economics and politics to culture and community, who incidentally stands in solidarity with the citizens and workers in Wisconsin refusing to let their Governor's self-created budget "crisis" and new spending priorities be re-cast as a reason to undermine contractual obligations and collective bargaining agreements.

You can follow him as @kabiu on twitter. Tweet

Tom Engelhardt of The Nation Morns The Passing of Studs Terkel

Hard Times Without Studs: A heartfelt blog post. Tom Englehardt rightly points to radio host Laura Flanders mention of the Chicago Labor protest by over 200 workers and how President-Elect Barack Obama supported their efforts. It's a new day; a shock to a generation raised on the idea of union-busting without even knowing what unions are, let alone why they exist.