Our guest author today is David Cay Johnston, a distinguished visiting lecturer at the Syracuse University College of Law and a former Pulitzer prize-winning financial reporter at The New York Times. This article is adapted from his remarks to an ASI-sponsored conversation on the topic in March, which also included remarks from Chad Aldeman, Teresa Ghilarducci, and Dan Pedrotty. A video of this event can be found here.
So the question is whether there is a pension crisis. The answer is yes, absolutely. It’s just not the one that politicians always talk about.
Contrary to that you hear about on TV, in market economics, defined benefit pensions are the second most efficient way to provide for income in old age. The most effective way would be a national program that spreads risks to everyone. The least efficient way to do it is through defined contribution plans.
There is abundant evidence for this. Defined contribution plans work very well, but only as supplements for prosperous people such as me and my wife, who is a public charity CEO, they are not at all effective for most people. That’s be because defined contribution plans violate specialization, one of the most basic tenets of market economics as taught to us by Adam Smith, the man who first explained market economics.
On September 17, 2013, the U.S. Department of Labor (DOL) announced the Home Care Final Rule, which extends the Fair Labor Standards Act’s (FLSA) minimum wage and overtime protections to domestic workers who provide home care assistance to the elderly, the infirm, and the disabled. The Home Care Final Rule is essential to improving the lives of two million domestic workers who, unlike other U.S. workers, are in many states not protected by the FLSA regarding minimum wage, overtime, sick leave, and vacation. Domestic work differs from other jobs in that the work takes place inside other people’s homes, which often puts domestic workers’ wellbeing at the mercy of their employers.
The exclusion of domestic workers from the FLSA was a concession to Southern politicians in the early 1900’s. It had left many homecare aides vulnerable to abuse and mistreatment by their employers. The rule was scheduled to go into effect on January 1, 2015. However, lawsuits filed by homecare corporations have hindered the change and served as an excuse for states to postpone implementation. For example, in Home Care Association of America v. Weil, U.S. District Court Judge Richard Leon vacated the portion of the Rule that prevents third-party home care providers from using the companionship services exemption, and later vacated the revised definition of companionship services.
As of July 2015, only five states have passed the Domestic Workers Bill of Rights: New York; Hawaii; California; Massachusetts; and Oregon. New York was the first state to pass the law (in July 2010) after six years of efforts by domestic workers, unions, employers, clergy and community organizations. The bill was introduced in two other states, Connecticut and Illinois, but has yet to be passed.
The following are the texts of the two speeches from the opening session of our recent two-day conference, “In Defense of the Public Square,” which was held on May 1-2 at Georgetown University in Washington, D.C. The introduction was delivered by Leo Casey and the keynote address was delivered by Randi Weingarten. The video of the full event will be available soon here.
Remarks by Leo Casey
We meet here today in “defense of the public square.”
The public square is the place where Americans come together as a people and establish common goals in pursuit of our common good.
The public square is the place where Americans – in all of our rich diversity – promote the general welfare, achieving as a community what we never could do as private individuals.
The public square is the place where Americans weave together our ideal of political equality and our solidarity with community in a democratic political culture, as de Tocqueville saw so well.
A robust and vibrant public square is an essential foundation of democracy. It is the place where the important public issues of the day are subject to free and open debate, and where our ideas of what is in the public interest take shape. It is the ground upon which communities and associations are organized to advocate for policies that promote that public interest. It is the site for the provision of essential public goods, from education and healthcare to safety and mass transportation. It is the terrain upon which the centralizing and homogenizing power of both the state and the market are checked and balanced. It is the economic arena with the means to control the market’s tendencies toward polarizing economic inequality and cycles of boom and bust. It is the site of economic opportunity for historically excluded groups such as African-Americans and Latinos.
And yet in America today, the public square is under extraordinary attack. A flood of unregulated, unaccountable money in our politics and media threatens to drown public debate and ravage our civic life, overwhelming authentic conceptions of the public interest. Decades of growing economic inequality menaces the very public institutions with the capacity to promote greater economic and social equality. Unprecedented efforts to privatize essential public goods and public services are underway. Teachers, nurses and other public servants who deliver those public goods are the object of vilification from the political right, and their rights in the workplace are in danger. Legislative and judicial efforts designed to eviscerate public sector unions are ongoing.
In response to these developments, a consortium of seven organizations—the Albert Shanker Institute; the American Federation of State, County and Municipal Employees; the American Federation of Teachers; the American Prospect; Dissent; Georgetown University’s Kalmanovitz Initiative for Labor and the Working Poor; and the Service Employees International Union—has organized a to bring together prominent elected officials, public intellectuals, and union, business and civil rights leaders “in defense of the public square.”
So-called achievement gaps – the differences in average test performance among student subgroups, usually defined in terms of ethnicity or income – are important measures. They demonstrate persistent inequality of educational outcomes and economic opportunities between different members of our society.
So long as these gaps remain, it means that historically lower-performing subgroups (e.g., low-income students or ethnic minorities) are less likely to gain access to higher education, good jobs, and political voice. We should monitor these gaps; try to identify all the factors that affect them, for good and for ill; and endeavor to narrow them using every appropriate policy lever – both inside and outside of the educational system.
Achievement gaps have also, however, taken on a very different role over the past 10 or so years. The sizes of gaps, and extent of “gap closing," are routinely used by reporters and advocates to judge the performance of schools, school districts, and states. In addition, gaps and gap trends are employed directly in formal accountability systems (e.g., states’ school grading systems), in which they are conceptualized as performance measures.
Although simple measures of the magnitude of or changes in achievement gaps are potentially very useful in several different contexts, they are poor gauges of school performance, and shouldn’t be the basis for high-stakes rewards and punishments in any accountability system.
A few weeks ago, the Minneapolis Star Tribune published teacher evaluation results for the district’s public school teachers in 2013-14. This decision generated a fair amount of controversy, but it’s worth noting that the Tribune, unlike the Los Angeles Times and New York City newspapers a few years ago, did not publish scores for individual teachers, only totals by school.
The data once again provide an opportunity to take a look at how results vary by student characteristics. This was indeed the focus of the Tribune’s story, which included the following headline: “Minneapolis’ worst teachers are in the poorest schools, data show." These types of conclusions, which simply take the results of new evaluations at face value, have characterized the discussion since the first new systems came online. Though understandable, they are also frustrating and a potential impediment to the policy process. At this early point, “the city’s teachers with the lowest evaluation ratings” is not the same thing as “the city’s worst teachers." Actually, as discussed in a previous post, the systematic variation in evaluation results by student characteristics, which the Tribune uses to draw conclusions about the distribution of the city’s “worst teachers," could just as easily be viewed as one of the many ways that one might assess the properties and even the validity of those results.
So, while there are no clear-cut "right" or "wrong" answers here, let’s take a quick look at the data and what they might tell us.
Our guest author today is Connie Williams, a National Board Certified Teacher librarian at Petaluma High School in Petaluma, CA, past president of the California School Library Association, and co-developer of the librarian and teacher 2.0 classroom tutorials.
Down the road from where I live, on the first-of-the month, a group of vintage car owners gather for a “cars and coffee” meet up. The cars that show up with their drivers cover many years and obsessions. Drivers park, open up the car hoods and take a few steps back and begin talking with other car owners and visitors who happen by. These are people who are interested in the way cars work, their history, and they all have stories to share.
How do they know so much about their cars? They work on them – gaining insight by hands-on practice and consultations with experts. If they’re wealthy enough, they pay someone else to do the work, yet they don’t just hand over their cars to them. They read about them, participate in on-line groups, ask for guidance, and they drive them. Most often, when they drive them, someone stops and asks questions about their cars and they teach what they know to others.
This is an example of the kind of learning we would hope for, for all our students – a passion that is ignited and turns into knowledge that is grown, developed, and shared. In this sense, it is inquiry – asking questions and taking the required steps to answer them – that is at the heart of learning.
Our guest today is Eric Lee, founding editor of LabourStart, the international labor news and campaigning site.
On a chilly Thursday morning in late January I found myself standing at the entrance to an ultra-modern building that looked exactly like a shopping center or hotel. An immense atrium, mirror-like glass everywhere, it was certainly designed by architects with ambitions. The building was the main courthouse in downtown Istanbul — the largest courthouse, we were told, in all of Europe.
I was there in order to attend the opening of the trial of 56 members of KESK, the Turkish trade union for public sector workers. The KESK members are accused of membership in an illegal organization, and making propaganda for that organization. A handful of them were accused of being leaders of the organization.
The organization they are accused of joining is the Devrimci Halk Kurtuluş Partisi-Cephesi (DHKP-C) — the Revolutionary People’s Liberation Party–Front — which for more than three decades has conducted an armed struggle against the Turkish state. The DHKP-C is considered a terrorist organization not only by the Turkish government but also by the European Union and the United States.
Our guest author today is Ian Robinson, Lecturer in the Department of Sociology and in the Residential College’s interdisciplinary Social Theory and Practice program at the University of Michigan.
Poverty is (by definition) a function of inadequate income relative to family or household size. Low income has two possible proximate causes: insufficient hours of employment and/or insufficient hourly wages. In 2001, there were four times more poor U.S. households in which someone had a job than there were in households in which no one did. The same is still true today. In other words, despite levels of unemployment far above post-World War Two norms, low wage jobs are by far the most important proximate cause of poverty in America today.
Perversely, despite this reality, the academic literature on U.S. poverty pays less attention to such jobs than it does to unemployment. A recent article, published in the journal American Sociological Review, both identifies and makes up for that shortcoming. In the process, its authors arrive at some striking conclusions. In particular, they find that unions are a major force for reducing poverty rates among households with at least one employed person.
Our guest author today is Eric Chenoweth, co-director of the Institute for Democracy in Eastern Europe. In 2011, the Republic of Poland awarded him with the Commander Cross of the Order of Merit, one of its highest civilian honors, for his contributions to Poland’s democratic transformation and role in providing support to Solidarity Underground during Martial Law.
In the West, Poland’s Solidarity trade union remains a symbol of the triumph of workers, united in defense of their fundamental rights, against the might of communist dictatorship.
Its remarkable rise in 1980 after nationwide strikes, its nearly ten-year struggle for freedom after the government tried to crush it using martial law, and its 1989 electoral victory that led to the collapse of communism throughout the region — all of this has become the stuff of historical legend. The story of Solidarity after 1989, however, is less well known. It is the story of how free trade unionism was nearly destroyed by extreme “free market” policies carried out in the name of democratic reform.