Public Sector Unions

  • A "Decent Work" Solution To America's Jobs Crisis

    Decent work? Some days, it sounds like an oxymoron, doesn’t it? It also brings to mind an old saying, favored by the AFL-CIO’s late president, Lane Kirkland, that if work were so great, the rich would have kept it for themselves.

    But the truth is that work is one of life’s realities. For most people, it is the sole source of income. Work also can bring great personal satisfaction. Whether self-employed or working for a large multinational corporation, we all aspire to jobs that are interesting, safe, and pay a good wage with benefits – a job that can support a family, with something left over. Even these days, when people are happy to have ANY job, we still want THAT kind of a job: Decent work at decent pay.

    But "decent work" is much more than a daydream – it is a concrete social and economic policy issue that is at the heart of a decade-long campaign by a major United Nations agency, the International Labor Organization, (ILO). Since 1999, the ILO, with support from member governments as well as employer and labor representatives, has pushed the "Decent Work Agenda". This document declares that "work is central to people's well-being." Not only does work provide income, it can bring about broad "social and economic advancement" and strengthen "individuals, their families and communities", in other words, "decent work" creates "upward mobility" or as Americans often put it, "raises all boats."

    But these broader "social and economic" gains don’t come with just any work, the ILO argues.

  • What Do State And Local Governments Do?

    Those who wish to dismantle public services in the U.S. seem to share a general belief – accepted, to some extent, even by people who generally support public sector spending – that government is a massive, incompetent blob. At the federal level, I have always found this somewhat strange, since around two-thirds of federal spending goes towards Social Security, Medicare/Medicaid and national defense, programs that are generally popular and widely regarded as successful.

    Survey data indicate that people do trust state and local government more than they do federal government, but the level of confidence is still not particularly high. Americans also appear generally unwilling to pay higher taxes to preserve public services (except for education), and most accept that state and local government is too large and much of it is superfluous. But when people are asked about specific programs, they tend to respond favorably. This suggests, among other things, that people may have general perceptions of "government" without full knowledge of all the roles government plays.

    So, I thought it might be useful to take a quick look at how public dollars actually are spent. After all, it’s our money, and it’s always good to keep track of how our elected officials are spending it.

  • Q: Do We Need Teachers' Unions? A: It's Not Up To Us.

    I sometimes hear people – often very smart and reasonable people – talk about whether “we need teachers’ unions." These statements frequently take the form of, “We wouldn’t need teachers’ unions if…," followed by some counterfactual situation such as “teachers were better-paid." In most cases, these kinds of musings reflect “pro-teacher” sentiments – they point out the things that are wrong with public education, and that without these things unions would be unnecessary.

    I’d just like to make a very quick comment about this line of reasoning, one that is intended to be entirely non-hostile. The question of whether or not “we need teachers’ unions," though often well-intentioned, is inappropriate.

    It’s not up to “us." The choice belongs to teachers.

  • Who Doesn't Trust Unions?

    In a previous post, I noted that confidence in organized labor really hasn’t changed that much over the past 30 years, even though union membership has been declining steadily.

    This got me thinking about what kinds of factors (such as individual characteristics) are associated with being anti-union, and I decided to run a couple of simple, rough models to get an idea (keep in mind that this is a very quick treatment). As you might recall from the previous post, respondents in my dataset (the General Social Survey) were asked whether they had “hardly any," “only some," or “a great deal” of confidence in organized labor. In 2010, 60 percent said that they had only some confidence, 30 percent hardly any, and a mere 10 percent asserted a great deal of faith in unions. For the purpose of simplicity, I will refer to those with "hardly any" confidence as “anti-union."

    I have to start with a few quick, optional-reading details about my data and analysis (read the notes in the graphs below if you want more information). Because so few people expressed “a great deal” of confidence, I collapse this category into the “only some” response, creating a two-category outcome variable measuring whether or not the respondent had “hardly any” confidence. The models I use (binary logit models) control for a variety of factors that might influence union attitudes, including marital status, party identification, income, race, parenthood, education, gender, age, year, labor force status, and whether or not one (or one’s spouse) is a union member. I limit the sample to respondents 21 or older, and to increase sample size, I pool data from the 2006, 2008 and 2010 surveys, for a total sample of 3,849.

    The results were a bit interesting.

  • As Membership Has Declined, Have Attitudes Toward Unions Changed Too?

    The sharp decline in U.S. union membership over the past 30-40 years is well known, but does it reflect a change in attitudes towards organized labor? In other words, is decreasing union membership accompanied by decreasing support for labor?

    Of course, if attitudes have in fact changed, they might be both exogenous (membership declines because support decreases, leading to fewer unionization drives and less political support) as well as endogenous (support decreases because membership declines, as fewer people are exposed to unions and to the benefits of membership) to unionization levels. And, to some degree, attitudes and membership likely change independent of each other.

    In any case, it’s worth taking a look at how attitudes towards labor have changed over the past few decades. In the graph below, I present simple trend data from the General Social Survey (GSS), which has been administered either annually or semi-annually since 1972. Every year, the GSS queries respondents’ confidence in a number of major societal institutions, including organized labor. Granted, there is a difference between having confidence in unions and supporting them per se, but I think it’s safe to assume that the former is a decent indicator of the latter.

  • Public Employee Unions And Voter Turnout

    During the recent debates over public employees’ collective bargaining rights, especially around the Wisconsin protests, I heard a few people argue that Republican governors are intent on destroying public sector unions, at least in part, because union members are more likely to vote – and to vote Democratic.

    The latter argument (union members are more likely to vote Democratic) is generally true (also here) – although the union "effect" on candidate/party choice is of course complicated. The former argument (more likely to vote in general) is also valid, but there is some underlying public/private variation that is both interesting and important.

    As is almost always the case, isolating the effect of a given factor (in this case, how being a union member affects the likelihood of voting) requires one to compare how this factor “operates” on people who are otherwise similar. For example, in a previous post, I compared public and private sector workers’ earnings. In order to uncover the “effect” of public sector employment on earnings, I used models that controlled for other relevant, measurable factors, such as education and experience. In doing so, I was able to (imperfectly) ensure that I was comparing public and private employees who were similar in terms of skills and qualifications.

    The same basic concept applies to voting.

  • Are Teachers Driving The Public/Private Sector Earnings Gap?

    A great deal of the debate surrounding public sector unions focus on how much public employees earn versus private workers. Every credible analysis – those that account for huge differences between public and private workers in terms of characteristics like profession, education, and experience – find that public compensation is competitive or lower than that of private-sector workers (for recent examples, see here, here, and here, or a review here).

    I have, however, heard a few thoughtful observers make the point that virtually all these analyses include education workers, and that this might be a little misleading. It’s a fair point. Roughly one in five state/local government employees are in fact K-12 teachers, while another five percent are professors at public colleges and universities. This is important because analyses of public/private sector compensation essentially compare public employees with workers with similar characteristics (education being the most important one) in the private sector. The research above indicates that workers with more education pay a larger “price” for working in the public sector, whereas many lesser credentialed, lower-skilled government jobs actually pay more. Since many teachers have master’s degrees (and professors Ph.D.’s), and they are such a huge group, it’s reasonable to wonder if they might be skewing the overall estimates.

    So, I decided to see if a comparison of public/private compensation that does not include teachers and professors would yield very different results. Let’s take a look.

  • How To Make A Misleading Public/Private Earnings Gap Disappear

    USA Today last week published yet another story claiming that public sector workers make more that their private sector counterparts - this one saying that Wisconsin is one of many states where this is the case. Their “analysis” used data from the Bureau of Economic Analysis, and compared total compensation (salary+benefits) between workers in the private sector and state/local government.

    No matter how many times they are told that you can’t just make a straight comparison of dissimilar groups of workers, apparently they still don’t get it. Incredibly, this particular article admits as much, and even quotes economist Jeffrey Keefe, who tells them that the gross comparisons don’t account for important sectoral differences in education and other factors. In other words, their numbers don’t tell us much of anything about public versus private sector compensation. Still, there is the headline: "Wisconsin one of 41 states where public workers earn more." How many people saw that headline, and now believe that public workers are “overpaid?"

    USA Today, of course, is not alone. These assertions have lately become insidious, coming from governors, commentators, and others. But when a major national newspaper decides to run this story at this politically-charged time, based on their very own “analysis," a separate response seems in order.

    I’ve discussed this issue before, but maybe it would be more helpful to show how the data are more properly analyzed in a step-by-step fashion, using 2009 U.S. Census microdata (the American Community Survey, available from the wonderful organization IPUMS.org). Here’s how you make a false earnings gap disappear in five minutes.

  • Seize The Day?

    Wisconsin Gov. Scott Walker’s determination to destroy collective bargaining rights for his state’s public employees has generated a lot of hyperbolic rhetoric from both sides. Some conservatives have taken particular umbrage at demonstrators’ signs likening Walker to Adolf Hitler, Benito Mussolini, and Hosni Mubarak. They are right that Walker is not akin to these brutal, murderous dictators, who solidified power by crushing independent unions. Indeed, they need not look overseas at all to find anti-union inspiration. The U.S. has its own rich tradition of union-busting – albeit considerably less fierce than in these particular dictatorial regimes.  

    This information is just a mouse-click away. Anyone with access to the internet can easily trace the history of violent state and business response to unions and union organizing in America, dating back 150 years. It’s not just the infamous Pinkertons and other thugs hired by business. Police, the National Guard, even federal troops have been used to brutally suppress workers’ efforts to form their own unions. Homestead, Haymarket, Ludlow, Pullman, the 1937 Battle of the Overpass – all are storied examples of incredibly violent action against workers and their organizations.

    This sort of drama, punctuated by carnage and death, is pretty much a thing of the past. With the passage of the 1947 Taft-Hartley Act and 1959 Landrum-Griffin Act, anti-union judicial decisions, global outsourcing, and the emergence of union-busting consultants, quashing unions has become, well, child’s play. America’s private sector unions have been on the defensive for better than half a century, with membership eroded to only seven percent of the private sector workforce. With Wisconsin, the attack against public service unions is well and truly launched.

  • A Wisconsin Moment For Our Education Policy Debate

    There is an obvious, albeit somewhat uncomfortable connection between what’s happening in Wisconsin and what’s been happening in education policy discussions.

    A remarkably high proportion of the discussion is focused – implicitly or explicitly – on the presumed role of teachers’ unions. The public is told that our school systems are failing, and that teachers’ unions are at least partially to blame because they protect bad teachers and block “needed” reforms such as merit pay. In this storyline, unions are faceless villains that put the interests of adults above those of children.

    Wisconsin represents a threat to this perspective in at least three important manners.