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October 3, 2007

City workers continue their collective bargaining efforts?

On several occasions (e.g., here, here, and here) the P-I has written on the efforts of city workers to collectively bargain for increased wages. In the most recent of these articles, $10/hour is labeled ’slave wages’ and an employee requested that union dues be deducted from her paycheck. In earlier articles, it was stated that the current wages can cause crime.

I cannot help but ask: since when does a wage cause crime? a) If someone deems their wage to be too low, they can choose to get a second job (as many of us do). Or they can take out a student loan and increase their skill set and in turn future earnings potential (as many of us do). But to say that low wages cause crime is ridiculous — one chooses to participate in criminal activity as an alternative to other options that are available to them. To further make this point: b) Crime is hardly limited to those with low wages. We have all read about now-infamous folks that make considerably more than ’slave wages’ but nonetheless get caught with their hand in the cookie jar, so to speak. It seems to me that to suggest that low wages will cause crime is an effort to play the victim card or the intimidation card.

Turning to the claim of a ’slave wage’ — While those making $10/hr are earning approx. $4/hr more than those earning the minimum wage (see US Dept. of Labor’s minimum wage in VA), I find this next resource from the Bureau of Labor Statistics to be even more relevant: it lists among other things the mean hourly and annual wages by job type for Virginia. Casual inspection suggests that those earning $20+/hr (as I recall is being requested) are managers or persons with some sort of technical training and skills that people are willing to pay a premium for.

Another interesting resource is BLS’ Data on Unions webpage, and in particular Table 38 of the Women in the Labor Force document. The first page of this table shows total employed, total union membership (or represented by unions), and membership (representation) as a % of the workforce. In 1983, union membership was 17,717 (thousand), or 20.1% of the workforce. In 2004, these figures were 15,472 (thousand) and 12.5%. If I were a union representative/employee, I’d likely be incentivized to try to turn those figures around for my own benefit alone.

I suggest that the solution for those not satisfied with their incomes is to get skills training for better-paying employment! Indeed, with the changes ahead for this country, a focus on education and flexibility is absolutely key. For resources on this last point, I highly recommend:

* Commanding Heights by Daniel Yergin; it comes in a great 3-DVD series — traces the history (and importantly, interconnections) of the political economies of US, Russia, England, Poland, Bolivia, Chile, Mexico, Thailand, Indonesia, etc. from WWI to 2002

* The World is Flat by Thomas Friedman — on the ‘creative destruction’ taking place globally, and where the opportunities lie for the future

* The Age of Turbulence by Alan Greenspan — doesn’t need explanation.

Posted by brenda p at 10:26AM under Uncategorized |

15 Responses to “City workers continue their collective bargaining efforts?”

  1. posted by brenda p at October 3, 2007 10:30 am :

    BTW - Thanks to the P-I folks for covering other topics discussed at last night’s Council meeting.

  2. posted by brenda p at October 3, 2007 11:13 am :

    From Conway Haskins III, Deputy State Director, Office of US Sen. Jim Webb:

    MAKING EDUCATION AFFORDABLE: STUDENT LOAN BILL BECOMES LAW

    Last week, I was happy to see the President sign into law the College Cost Reduction and Access Act to make a college education more accessible and affordable for more Virginians. This historic legislation increases the amount of Pell Grant aid for low-income students, cuts student loan rates in half for students with subsidized loans, and encourages public service through providing loan forgiveness for public service employees.

    With more than half of Virginia’s students graduating with debt, it’s about time that government starts serving the students instead of the student loan corporations. This bill is a big step towards that goal.

    I’m proud that we have passed legislation to make student loans more affordable and to fund the largest increase in college aid s ince the G.I. bill half a century ago.

  3. posted by christopher white at October 3, 2007 1:52 pm :

    The fact is that the low wages the city pays is a big problem not only for morale of city workers but also for retention of the most qualified personnel. With property assessments and taxes having increased by 300% over the last 10 years, the city had plenty of cash on hand to give the city manager a pay raise, however, city workers’ pay was not increased by a like amount.

  4. posted by Michael at October 3, 2007 3:17 pm :

    For those of you with the answers, particularly those who seem to indict low-paid workers because you say they do not seek more training and more education (and are thus, by inference, deficient), remember Charles Dicken’s admonishment: “Behold the insect on the leaf, pronouncing on his brothers in the dust.”

    Also remember, if you are 40,50,60 years of age and haven’t had too many great opportunities in life anyway, it takes a great deal of grit many just don’t have to go out and get more education or more training. And also remember, the jobs these folks do are necessary jobs… and if they do them well, they deserve the dignity of a living wage. And, finally… what would we all do if some of these people didn’t do these jobs for us!

  5. posted by brenda p at October 3, 2007 3:48 pm :

    I don’t object to folks seeking an increase. It is the arguments/tactics used.

    In the private sector, increases are associated with cost of living adjustments, merit/performance awards, promotions, and the like. I have no idea how increases in the public sector work. But why would these employees not do as the police and school do, and present their request during the budget process, rather than try strong arm tactics?

    As for ‘in like amount’ — what analyst do you know makes ‘like’ increases as their VP? CEO? Of course, crazy wide differentials beg for debate, but ‘in like amount’ is strong language as it suggests that all persons should be paid the same regardless of their skills/contributions — where is the incentive to be more productive/innovative in that?

  6. posted by Michael at October 3, 2007 4:00 pm :

    I think some of you need to read the history of the labor movement in America.

    Those who hold the power (and the money) are not always even-handed in their treatment of workers. (see America’s favorite company, Walmart, to know one of the Poster Children for worker repression and environmental despoiliation).

    Believe it or not, presenting requests during the budget process doesn’t always guarantee a fair hearing or an even break. Sometimes, harsher measures are required.

  7. posted by brenda p at October 4, 2007 8:52 am :

    Michael -

    In thinking some more about your comments above, I don’t see that I’m suggesting anyone is deficient; on the contrary, I’m suggesting people have choices available to them and I’m assuming that healthy, able adults have the ability to make them. You are the one who counters that some folks lack sufficient ‘grit’ to make the choice of education that I named above. Perhaps you are right on that account. But that does not suggest other choices are not available (different job, 2nd job, ???). In any event, the idea that “if a person isn’t making enough money at their job, it could lead to crime” is NOT going to get me on board the cause. (Interestinly, if this were true, Dixon’s job would be that much easier now wouldn’t it?) And, the idea that wages that are above the minimum threshold set by our representive govt. are ’slave wages’ elevates Phoenix to a whole new level in my eyes — it may be hot as blazes, but folks don’t marshall the past in the cause of the present so darn much (nothing against the lessons of history, but when things have changed…).

    As for the history of American labor movements — we now have things such as min. ages, min. wages, OSHA, overtime pay, etc. It seems to me that for the most part the topic of interest above and more commonly these days relates to wages/benefits. How these should be determined, and why, I suspect you and I could go back and forth on for some time, you perhaps from a moral position and I from a long-run sustainabilty position. Would be more fun at the pub. :-)

  8. posted by brenda p at October 4, 2007 9:50 am :

    On ’slave wages’ - “Scout” over at Petersburg Vibe has this to say:

    …Unemployment in this region is one of the lowest in the country — at a time when we have record low unemployment nationwide.

    If they can’t get a better job somewhere else, maybe they shouldn’t be complaining too loudly.

    If they are having a problem staffing (which I bet they are) maybe they should pay more.

    I read the statement where they say: “you’re paying us slave wages” That’s an insult to the memory of slaves past, and of slaves today. Slaves can’t leave their employer, slaves can’t go to community college, slaves can’t move to where their skills are more valued.

    Oh, and slaves don’t make “wages”, period. Don’t they teach y’all history down here?…

  9. posted by brenda p at October 4, 2007 10:11 am :

    I just called the folks that own the copyright on the Commanding Heights DVDs. They said that the DVDs can be shown publicly without violation provided no one charges for the viewing. Hm… I’m seeing an opportunity to work with Sycamore Rouge or the Library to hold 3 watch-and-chat sesssions in the future. (I’m such a geek — I couldn’t imagine a more fun way to spend my time.)

  10. posted by Michael at October 4, 2007 10:24 am :

    My final words on this matter on this blog: First, some people get so beaten down in life that grit is hard to come by, others just get tougher. Be the first to cast the stone at the one who is beaten down. Second, there was a violent strike at a southwestern Virginia coal mine in the 1980’s over low wages and low benefits. A contemporary event, not ancient history. Third, I’m not promoting violence or crime, but its extraordinarly naive to think that both do not occur as a result of poor pay & bad working conditions. Fourth, the Bush administration has gutted OSHA, the minimum wage is a joke and the working poor are just that. Examine Walmart closely. Finally, yes, there are people who get reeducated, hold down four jobs, support families and prosper. I applaud these folks. Regrettably, most people just don’t have the psychological stuff to do this. So, these people should just shut up and take their medicine? Remember, we are not talking about welfare cases here but people who WORK. Working for 9 years in order to get up to $10/hour in modern American society is just not right. The response on this blog: find another job, get more jobs or get eductated. Again I say, “behold the insect on the leaf pronouncing on his brothers in the dust.”

  11. posted by brenda p at October 4, 2007 10:57 am :

    Hey Michael - naive I am not. I have lived in places where the economies are such that men hold up buses (taking care to not point their weapons at women/children), security details with semiautomatic weapons are present at the local grocery, you do not carry plastic on your person unless you want to run the risk of being held hostage as long as it takes to empty your account (and God forbid you don’t know the PIN to your credit card — a friend got stabbed for that transgression), and hopping in a cab is liable to get you dumped somewhere outside the city. Oh, this was a favorite billboard on the way to work: ‘homocidio estaria castigado’.

    I know full well that if people can’t make ends meet, they may do desperate things. But in bargaining for a raise, a thinly vieled ‘if we don’t get what we want our neighbors are going to get it’ is objectionable. Now, folks want to talk about cost of living adjustments, about longevitity increases, about incentives for meeting certain targets — you got me on board! Or put differently, I don’t object at all to the end, it is the means as presented in the P-I articles. (And if the increase request at hand is not met, as adults these employees should rightfully consider their other options, just as the rest of working adults do when confronted with same.)

  12. posted by brenda p at October 4, 2007 2:58 pm :

    From TG4360 (This has been emailed in and posted by me as for some reason this person’s comment wouldn’t post):

    Violent strike at the mines? I was there. Yes the miners struck and did very stupid things (like throw jackrocks into the same roads the school buses used in an effort to keep replacement workers out), and yes the violence and destruction of property was for the most part all on the side of the strikers. The ìworkersî didnít start that affray, the rabble rousing union bosses did. After the bosses ran the union into the ground by using up the strike fund and having to pay damages for destruction caused by civil disobedience, the unions caved. Thatís not even the whole storyÖ. The mines for the most part shut down after that. Union labor trouble caused it to not be cost effective to work the mines out there so the companies just shut down. Thereís the result of union strike action that was pretty much uncalled for.

    Minimum wage? Read here ìPrice control.î That is a price control on labor. Price controls are never a good thing. Remember the ë70ís and Nixonís wage and price controls? A nightmareÖ look it up.

    Labor is a commodity just like any other and the price should float with the market. Nine years and 10 bucks an hour is not right? Itís the market. Any other way is socialism/communism. Weíve already seen that those systems donít ìwork.î

  13. posted by Robert at October 6, 2007 7:58 am :

    All: Please take note of the following provision in the Code of Virginia:

    “ß 40.1-57.2. Prohibition against collective bargaining.

    “No state, county, municipal, or like governmental officer, agent or governing body is vested with or possesses any authority to recognize any labor union or other employee association as a bargaining agent of any public officers or employees, or to collectively bargain or enter into any collective bargaining contract with any such union or association or its agents with respect to any matter relating to them or their employment or service.”

    Also, please note that the City Administration (with all of its faults) has an open door policy for INDIVIDUAL employees to address their employment related concerns.

  14. posted by brenda p at October 6, 2007 10:22 am :

    Thanks for the clarifying info Robert.

  15. posted by brenda p at October 11, 2007 10:37 am :

    An insightful piece of commentary by “will2power” on Petersburg Vibe’s bulletin board:

    This is a touchy subject, and while I’m hesitant to get into it, I will say this. From a manager’s perspective, the low wages paid within the city make it nearly impossible to find people competent to do the work, let alone keep them. What happens when you don’t pay city employees a decent wage, they come here just long enough to get experience and then they move onto other jurisdictions where they can bet paid. And each time, the city has to incurr the expense of training a replacement. Not only does it result in a loss of productivity, but it increases the amount of overtime as other employees have to compensate to pickup the slack, sick days because people are tired of working overtime and sickness caused by fatigue. Then their are the training expenses for jobs that require specialized knowledge or certifications. In my department, training expenses alone can cost into the thousands–because these are just things that aren’t taught in a college class.

    Just my opinion, but the people who are joining the Employee Association are foolishly wasting their efforts. You’re going to give up even more of your wages to an organization that is not recognized in the Commonwealth. They don’t have the authority to bargain for you, so you’d do better off spending your union dues on lottery tickets.

    People want to fix the things that are wrong with Petersburg’s government, but how are you going to do that without competent employees? No one in their right mind would accept the working conditions here in Petersburg, knowing they can get thousands more doing less work for more pay in another jurisdiction. Some of us stay because of a desire to see a better city government, and work towards a better city to live in, but the number of us are very few. Most people who stay here have been here long enough to remember when it was good, and people were treated fairly. Sometimes to some people, it’s better to deal with the devil you know, then risk the devil you don’t know.

    Before you ask, my situation is a little different. I have a child with special needs, and so it’s necessary for one of us to be working close by in the city. I also have long standing ties to the Police Department, and so I have a sense of loyalty that keeps me here. But don’t get me wrong, that doesn’t mean I’ll stay forever–when I know I could be making more in other places.

    My point is this. You have all your competent people thinking exactly like I do. Until they fix the pay situation, the citizens of Petersburg Suffer all around. If you want people to care, you’re going to have to pay them a competitive wage. That’s the human cost of running a city. Our City leaders have forgotten that fact, because they haven’t seriously done anything to solve the problem. They’re counting on people to just sit at take it.

    Case in point. 911 Dispatchers in the city. A certified Dispatcher makes $32,000 a year in Chesterfield, to start. $28,000 in Hopwell, and like $29,000 in Colonial Heights. Right now, we are at a critical shortage of dispatchers. There are some 20 Positions needing to be filled right now. Guess how much Dispatchers are paid in the City of Petersburg? $23,000 dollars. Now that we have the 800Mhz Radio System online, we’re the most advanced Dispatch Platform in the area, until Hanover finishes bringing their 800Mhz System online. We are currently have 20 positions unfilled–right now. We can’t fill them, because people come in–get the training, get certified, and leave. We’ve spent over $250,000 dollars this year in overtime, so far this year. Last year, We spent over $346,000. The cost of giving every dispatcher position a $5,000 dollar a year salary adjustment would cost us $125,000. So if you don’t think not giving city workers a raise is costing you, I ask you where do you think the $221,000 dollar difference is going to come from?

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