Chicago Teacher's Union Discrimination Case
Increasing worker’s rights is a principle that unions embrace. Workers who feel there is equal treatment and fair compensation, are generally more productive. With all the generous benefits unions provide for their employees, who is incurring the hefty costs? When the Chicago Teacher’s Union (CTU) went on strike in September 2012, teachers asserted a larger pay increase. Among other grievances, the CTU was negotiating for a 17 percent increase over four years. When negotiations failed with Chicago Mayor Rahm Emmanuel, the teacher’s union decided the only course of action was to strike. That strike caused Chicago’s public schools to close down, leaving 350,000 kids out of school and many parents wondering how soon a compromise
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Hicken also says that even though cutbacks have begun, only new hires will be affected since most states carry legislation where benefit cuts of current employees is illegal. The most criticism against pension cuts is applicants will find government jobs less attractive. Pensions create a safety net on which people depend on during retirement, so decreasing the amount may deter potential applicants.
Politics
One big reason why elected officials are easily persuaded to give in to union demands stems from a special relationship with unions. Unions generate capital from the dues that members pay. In return, unions hire employees that negotiate for rights and often represent the members at the bargaining table. Unions also use the funds collected in order to pay for salaries of representatives and to construct union headquarters. What people don’t realize is that some of the funds that public sector unions accumulate are used for political purposes. As John McGinnis and Max Schanzenbach write in Case Against Public Sector Unions,
“Public employee unions, by virtue of the dues they collect from members, possess war chests from which they can contribute to politicians who support their goals. These goals, not surprisingly, involve first and foremost accruing benefits for their members
Hicken also says that even though cutbacks have begun, only new hires will be affected since most states carry legislation where benefit cuts of current employees is illegal. The most criticism against pension cuts is applicants will find government jobs less attractive. Pensions create a safety net on which people depend on during retirement, so decreasing the amount may deter potential applicants.
Politics
One big reason why elected officials are easily persuaded to give in to union demands stems from a special relationship with unions. Unions generate capital from the dues that members pay. In return, unions hire employees that negotiate for rights and often represent the members at the bargaining table. Unions also use the funds collected in order to pay for salaries of representatives and to construct union headquarters. What people don’t realize is that some of the funds that public sector unions accumulate are used for political purposes. As John McGinnis and Max Schanzenbach write in Case Against Public Sector Unions,
“Public employee unions, by virtue of the dues they collect from members, possess war chests from which they can contribute to politicians who support their goals. These goals, not surprisingly, involve first and foremost accruing benefits for their members