Collective bargaining under siege
On March 10, after nearly a month of protests and debates, the Wisconsin state legislature passed a law to end collective bargaining rights for most public employees. While the legitimacy of the new law has been challenged, several other states are considering similar legislation. Proponents say collective bargaining must be restrained to reduce costs, but others say budget cuts and revenue increases are a better bet.
Wisconsin’s new law eliminates nearly all collective bargaining rights for state employees, except state troopers, police and firefighters. Workers can bargain for wages, but wages must be capped at the consumer price index. Also, the new law ends automatic paycheck deductions for union dues and requires public employee unions to hold annual elections to retain certification in the state. However, on March 18, Dane County, Wis., Circuit Judge Maryann Sumi placed a temporary restraining order on the new law after hearing arguments that Republican lawmakers violated the state’s Open Meetings Law to pass it. A final decision on the bill was still pending as of early April.
New Hampshire, Indiana, Tennessee, Iowa, Idaho, Nevada and Ohio recently have introduced bills to curb public employees’ bargaining rights, and the debates have been contentious. In March, Ohio Gov. John Kasich signed into law Senate Bill 5 that prohibits public employees from striking. In Tennessee, a House finance subcommittee has passed a bill restricting teachers’ bargaining rights, while the Senate mulls legislation that would abolish bargaining rights. Meanwhile, New Hampshire legislators are debating legislation that would make public employees with expired contracts work “at will” until new contracts are signed.
Wisconsin Gov. Scott Walker has said his budget repair bill would save the state $30 million to balance its budget without forcing the state to lay off employees. However, Elizabeth McNichol, senior fellow at the Center for Budget and Policy Priorities in Washington, says studies they have conducted show no correlation between limiting collective bargaining rights and a state’s fiscal health. “The fiscal problems of the states are revenue problems and not spending problems,” she says. “Also, on average, spending on public employees as a share of total budgets has declined across the country over the last few decades. States instead need to take a balanced approach, one that includes both spending cuts and revenue raising. They have to look at all parts of the budget.”
Gail Short is a Birmingham, Ala.-based freelance writer.