wisconsin

Post image for Wisconsin Union Backers Defame Virginia and Spread Bogus Statistics

Virginia schools have better-than-average test scores. Virginia obviously doesn’t rank an abysmal 44th in the nation on SATs and ACTs, as supporters of Wisconsin government-employee unions keep falsely claiming. They’re making that claim up because Virginia bans collective bargaining by government employees, and Wisconsin, which currently mandates collective bargaining in government agencies, is considering proposals by its newly-elected conservative governor to bar such bargaining in areas like pensions, which frequently result in government costs being passed on to future generations.

In 2009, Virginia ranked in the middle of states on the ACT and SAT, and in 2010, it actually outranked Wisconsin on the ACT (12th vs. 17th in “average composite score“). The reason it doesn’t rank higher on the SAT is because so many of its students take the test – including marginal students who wouldn’t even take them in another state. (Wisconsin boasts a higher average SAT score than Virginia partly because only “four percent” of Wisconsin students took the SAT, compared to “67 percent” in Virginia. Virginia’s lower average SAT score is a function of a larger pool, not dumb students or bad schools, as PolitiFact pointed out in debunking the false claim that Virginia ranks 44th.)

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Post image for CEI Podcast for February 24, 2011: On, Wisconsin

Have a listen here.

Vice President for Strategy Iain Murray, who also directs CEI’s Center for Economic Freedom, discusses the labor reforms that have led to a thousands-strong sustained protest in Madison, Wisconsin. While the reforms themselves are relatively minor, both sides know that the stakes are high. This may prove to be at a watershed moment in the relationship between public sector unions and taxpayers.

Image credit: WxMom’s flickr photostream.

Post image for No, Wisconsin’s Budget Deficit Wasn’t “Manufactured” by Walker and the GOP

Wisconsin is one of the most heavily taxed states in the country, and its government employees are paid much better than the state’s taxpayers. Like many states, it’s facing a substantial budget deficit. But when the state’s newly elected Republican governor, Scott Walker, attempted to place reasonable limits on government-employee pay and collective bargaining, liberal commentators such as Rachel Maddow falsely claimed that the state’s budget crisis was manufactured, and that Wisconsin actually had a projected budget surplus.

This claim has now been debunked by the Milwaukee Journal-Sentinel, which endorsed Obama in 2008 and John Kerry in 2004: “Our conclusion: Maddow and the others are wrong. There is, indeed, a projected deficit that required attention, and Walker and GOP lawmakers did not create it.” Maddow blamed the state’s current deficit on business tax breaks supported by the governor, but those cuts are a tiny drop in the bucket compared to the state’s overall budget; and as the Journal-Sentinel noted, “the cuts are not even in effect yet, so they cannot be part of the current problem.”

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State employees are paid better than people in the private sector. But government-employee unions refuse to make sacrifices to help close huge state budget deficits. Democratic legislators allied with those unions shut down the Wisconsin State Senate last week, fleeing the state to Illinois in order to block a quorum. Meanwhile, “over 1,000 teachers” called “in sick to force the closure of schools in Madison, Wisconsin” for another day, in a massive shutdown of Wisconsin schools.

Obama is fanning the flames, reports The Washington Post:

President Obama thrust himself and his political operation this week into Wisconsin’s broiling budget battle, mobilizing opposition Thursday to a Republican bill that would curb public-worker benefits and planning similar protests in other state capitals. . . .The president’s political machine worked in close coordination Thursday with state and national union officials to get thousands of protesters to gather in Madison and to plan similar demonstrations in other state capitals.

Wisconsin’s governor has been vitriolically attacked by state employees for seeking to limit their pay and collective-bargaining privileges. Some of these protesters are wielding signs bearing the words uttered by John Wilkes Booth as he assassinated Abraham Lincoln, “sic semper tyrannis.” Others are putting crosshairs on pictures of his face, along with the word “reload.” Others are branding him as “Hitler,” or comparing him to the fascist dictator Mussolini and Egypt’s recently ousted ruler Mubarak. So much for the short-lived era of civility that Obama and his supporters preached without practicing.

To shut down the Wisconsin State Senate, all the Democratic senators fled to a hotel in Illinois, which has a sympathetic Democratic governor. (Illinois Governor Pat Quinn just signed into law a 67 percent increase in income taxes, after a campaign in which he promised the state’s well-paid workers no layoffs and two-years of cost-of-living increases. Never mind that Illinois already has more government employees per person than neighboring Indiana.)

States are required by their constitutions to balance their budgets. The federal government doesn’t have to. So it’s easy for Obama, who has the ability to run up record deficits to hire tens of thousands of new federal employees, to fault cash-strapped state governments for trying to reduce the entitlements and collective bargaining rights of their employees. As Victor Davis Hanson notes, “what distinguishes Obama’s homespun platitudes about public-sector jobs from state governors’ more honest worries is just that ability. . .But pass a law that the U.S. must balance its books like the states must,” and President Obama might change his tune.

(Obama ran up the largest deficit in history in 2010, running up more debt in just one month than Bush did in the entire year of 2007. Obama’s recent budget proposal increases spending over the next two years while pretending to cut it, drawing criticism even from the liberal Washington Post.)

Even with budget cuts, government employees in Wisconsin would still live far better than the taxpayers who pay their salary. Wisconsin’s governor “would require many state workers to contribute 5.8 percent of their salary toward their pensions (up from 5 percent) and pay 12.6 percent of their insurance premiums — still much less than the average Wisconsinite pays for insurance through work.” As the Washington Examiner’s David Freddoso notes, “I defy anyone to find a private sector workplace where you can contribute only 6 percent for a generous defined benefit retirement plan, and have your employer pick up the tab for 88 percent of your health insurance. It just doesn’t exist. What we’re seeing is a protest based on disrespect for the taxpayers who are picking up the tab, most of whom do not make as much as the members of the teacher’s union.”

The public-sector unionization that Obama so prizes is something America just can’t afford.  As The Washington Post’s Charles Lane notes:

The truth of the matter is that ‘collective bargaining’ in the public sector is too often a parody of the real thing. For years, public-employee unions have used their dues money to help elect pliant politicians — usually Democrats — who, in turn, award the unions what they want at contract time. The taxpaying public’s only role in this costly cycle is to foot the bill. It’s not democracy when citizens lose control over the pay and benefits of the people who work for them. It’s not progressive when employee compensation takes finite resources away from Medicaid, parks, roads and libraries. And it’s not collective bargaining when union representatives sit on both sides of the table.

In the Washington Examiner today, I discuss how Obama and his allies are helping orchestrate the disruptive Wisconsin protests that have shut down many of its schools. The Democrats in the Wisconsin State Senate have fled the state to deprive the legislature of a quorum needed to pass fiscal reforms backed by Wisconsin’s conservative governor that would reduce the privileges of the state’s public-employee unions.

As The Wall Street Journal notes, those reforms would not only reduce gold-plated employee benefits, but also curb the entrenched power of liberal lawmakers by ending the practice of automatically withdrawing money from public-employee paychecks to finance the government-employee unions, which make almost all of their political donations to liberals:

Unions are treating these reforms as Armageddon because they’ve owned the Wisconsin legislature for years and the changes would reduce their dominance. Under Governor Walker’s proposal, the government also would no longer collect union dues from paychecks and then send that money to the unions. Instead, unions would be responsible for their own collection regimes. The bill would also require unions to be recertified annually by a majority of all members. Imagine that: More accountability inside unions.

As David Freddoso notes at the Washington Examiner, Wisconsin government employees are better paid than the state’s taxpayers. At the Daily Caller, CEI’s Ryan Young notes that there are political risks to well-paid public-employees effectively shutting down the government to preserve their perks. On the other hand, liberal bloggers and most liberal journalists seem to be backing the protesters, despite their inflammatory rhetoric (like depicting the governor as Hitler or invoking the words of Lincoln’s assassin) and defiance of a democratically-elected governor and legislature. One exception is The Washington Post‘s Charles Lane, who worries about steadily-rising government-employee pay crowding out other needs, and says that “it’s not progressive when employee compensation takes finite resources away from Medicaid, parks, roads and libraries.”

Protests in Wisconsin over public sector compensation cuts have been the big story this week. Over at The Daily Caller, I explain why some of the tactics that union members and supporters are using are actually backfiring.

The teacher sickout is classic bad PR. The parents who have to find and pay for last-minute daycare are now less likely to side with teachers’ unions, not more.

The saturation coverage is doing far more damage. Millions of people are learning about the sweetheart salary and benefit deals that many public sector union members get. Even if Gov. Walker’s cuts pass, the protesting workers will still be much better paid than their non-union counterparts. Both are better compensated than most private sector workers.

Read the whole thing here.

Image credit: WxMom’s flickr photostream.

If there was ever an “I told you so” moment on government unions becoming too powerful, this is it.

The Wisconsin State Capitol is under siege by unions. Thousands turned out to protest Gov. Scott Walker’s emergency budget bill. According to anecdotal reports, police advised workers in the Capitol to “lock [their] doors” after protesters marched through the halls of the building yelling and banging drums. A teacher “sick out” strike closed schools, and Gov. Walter put the National Guard on alert in case the public safety unions went on strike. Finally, all 13 Democrat senators fled the state to stop a vote on the bill.

Despite the last election where the voters of Wisconsin ousted the big spending Democrats — the state is expecting a $3.6 billion deficit over the next two years — unions want to overturn the democratic process. Gov. Walker and Republican candidates campaigned heavily on lower taxes, less spending, and curbing the power of government unions. Wisconsinites approved of these ideas and responded in kind when they elected Walker to the governorship and Republican majorities in both the Wisconsin Assembly and Senate. Gov. Walker told the Associated Press the actions are “not a shock … The shock would be if we didn’t go forward with this.”

The government union message from Wisconsin is loud and clear: Democracy be damned and the voters’ will does not matter if it takes away our benefits or power.

The proposed budget will require government employees to pick up 12.6 percent of their health care costs and contribute 5.8 percent of their pay to their pensions. They currently pay nothing. The amounts are roughly half of what workers in the private sector pay.

The contributions are not the real reason why the unions are upset. It is money and power. Before getting into what the bill will do, there are several things it does not do. It does not take away the right of workers to join a union. It does not take away their right to collectively bargain — although it does limit it to wages. It does not force Gov. Walker to lay off 6,000 state employees – the amount needed to fix the budget hole. It does not take away other civil service protections afforded to government workers.

The bill does give workers the right to say no to a union if they do not want to join. Currently, workers are forced to pay union dues simply to keep their jobs. It also takes away the union privilege of automatically deducting money from workers’ paychecks. Unions are truly incensed because now workers will have a choice and will have to affirmatively pay for union representation. If the unions do not perform, they will see their dues and their power decrease.

Image credit: Madison Guy’s flickr photostream.

Investment bankers and lawyers, move aside. If you want a truly high-powered salary, try driving a bus. Last year, the Madison, Wisconsin’s highest paid city employee was…a bus driver. The Wisconsin State-Journal reports:

Madison’s highest paid city government employee last year wasn’t the mayor. It wasn’t the police chief. It wasn’t even the head of Metro Transit.

It was bus driver John E. Nelson.

Nelson earned $159,258 in 2009, including $109,892 in overtime and other pay.

He and his colleague, driver Greg Tatman, who earned $125,598, were among the city’s top 20 earners for 2009, city records show.

They’re among the seven bus drivers who made more than $100,000 last year thanks to a union contract that lets the most senior drivers who have the highest base salaries get first crack at overtime.

Unfortunately, this isn’t a freak occurrence, but an egregious example of a nationwide problem. During the 1990s boom years, many state and local governments spent the additional tax revenues from increased economic activity nearly as fast as they came in. As a result, many state and local governments face severe budget problems today.

As the State-Journal notes, Madison has taken some steps to curtail overtime, but such baby steps will be hardly enough for cities that hope to avoid the fate of Vallejo, California, which declared bankruptcy in 2008. The salary escalator contract provisions that led to outlandish salaries in Madison and Vallejo — far beyond anything comparable in the private sector — have been codified in government employee unions’ collective bargaining agreements across the country.

For more on public sector unions, see here and here.

It is illegal to be a peddler in Wisconsin without a license. One of the requirements is five years of residency in Wisconsin. Because clearly, no one is trustworthy unless they’ve lived in Wisconsin for at least five years. The full list of requirements is here.

You can apply for your peddler’s license here.

(Hat tip to Jim Ulbright)

In Wisconsin, you need a license to work as a soil scientist. The requirements are listed here, and the paperwork (up to 27 forms!) is here in case you’re interested in applying.