Terming the American Federation of State, County and Municipal Employees (AFSCME) an “800-pound gorilla at the negotiating table,” the Illinois Policy Institute recently examined the relationship between the union and Illinois workers, suggesting that the balance of power tends to tilt toward the union.
The institute noted that AFSCME has been involved in
contract negotiations with Illinois Gov. Bruce Rauner for nearly two years.
In its recently released report, the institute explained how
unions have become disproportionately powerful in Illinois — particularly in the
context of contract negotiations. The document is especially useful because the Illinois Labor Relations Board recently ruled that talks have reached an impasse.
Mailee Smith, a labor expert at the institute,
is the author of the new report, “AFSCME: The 800-pound gorilla at the negotiating
table.” The report spotlights the tendency of government service providers to
create monopolies; the lack of competitive limits on AFSCME’s demands; the
influence of political contributions; and contractual rules that force
taxpayers to shoulder the burden for union work.
Smith’s report also explains just how AFSCME became a
metaphorical monster, citing “clear demonstrations of AFSCME’s heavy-handed
lobbying in the legislature.”
Smith says taxpayers are actually a player in these talks.
“AFSCME leadership tries to portray itself as the victim in
negotiations with the state, but the reality is the union is
a power player at the negotiating table,” Smith said. “When the parties negotiate, it is not
AFSCME vs. the governor – it’s AFSCME vs. state taxpayers. And taxpayers
hold significantly less power than AFSCME. The entire public-sector collective-bargaining process is tilted decidedly against taxpayers.”
Compared with national figures,
unionized Illinois state government workers are already among the highest compensated
state employees (adjusted for cost of living). AFSCME workers enjoy unparalleled
benefits — including health and retirement perks that are, again, subsidized by
taxpayers. Union workers averaged $63,000 in 2015 salary, while typical private-sector workers netted $32,000 — just over half that of unionized staffers.
Yet AFSCME is insisting on another
$3 billion to allow for raises and increased benefits at the same time that
Illinois strains to deal with $111 billion in unfunded pension debt and $9
billion in unpaid bills.
Smith said AFSCME’s unprecedented dominance arose
from a unique set of circumstances. She contrasted different governors’
administrations and their respective relationships — and negotiation histories —
with unions, drawing conclusions from hard data and including the information
graphically in the report.
Additionally, her report said approximately
two-thirds of current Illinois legislators, both senators and representatives, actually have received campaign contributions directly from the federation.
Whereas state law generally forbids many businesses from donating to an
incumbent’s campaign, a loophole allows unions to do so.
Thus, in 2016, AFSCME had donated more than $1.4 million
to candidates as of late September.
“The cycle of political contributions and political ‘favors’
is fairly easy to follow,” Smith said. “AFSCME contributes considerable
amounts of money to a gubernatorial candidate. Once elected, that governor sits
across the table from AFSCME in contract negotiations, supposedly representing ‘the
people.’ But that governor is beholden to AFSCME and its contributions for his
position, and the governor implements labor policies or contract provisions
that benefit AFSCME. AFSCME contributes more money, and the cycle continues.”
Smith noted that Rauner was elected
without any contributions from AFSCME. Hence, with no strings previously attached,
AFSCME balks at compromising on any new contract.
The report also suggests that the powerful union successfully
increases its influence through the collective-bargaining process itself. For
example,
contract provisions let employees take paid time off from state
business for union work. The state also must supply meeting rooms for union needs, use of state phones and email access. Thus, taxpayers essentially are paying
state workers to use state resources at the expense of taxpayers.
“That means the state – taxpayers – is paying
employees to work against the state,” she said. “The absurdity of such
provisions is obvious when applied to the private sector.”
Smith’s analysis examines additional regulations and contractual
guidelines that allow the imbalance to continue. Work absences and leave time, facilities,
personnel matters and more all come under scrutiny in the Illinois Policy Institute’s report.
“AFSCME’s power in Illinois cannot be overstated,” Smith
said, adding that the tendency of collective bargaining to
favor unions and the union’s record of campaign contributions — coupled with its
consistent pressuring of lawmakers and its own allegedly self-serving contract
rules — ultimately have created the “800-pound gorilla,” with taxpayers at its
mercy.
