If Karl Marx Could See Us Now
Karl Marx's firmly believed that "capitalism will end through the organized actions of an international working class". Marx believed the inevitable confrontation between the so called proletariat and the bourgeoisie would ultimately lead to capitalism's destruction. This confrontation seems to be upon us with ground zero being the State of Wisconsin. Facing a $137mm budget deficit Governor Scott Walker has introduced a bill which would strip away workers collective bargaining power. Throw in medicare mandates and the gap is over $3bn! Opposition to the bill has been seismic-with protesters swarming the state capitol forcing most lawmakers to flee before the vote rather than stay and face the deluge. Wisconsin's troubles are indicative of the dozens of other states facing huge budget shortfalls and shrinking tax revenues. The states with the worst fiscal ills just so happen to have the most benefits for public workers. For the past few decades unions have enjoyed rising wages, pensions and bulging benefits packages while the states have struggled to remain solvent. Republican Governors swept into office last November promising to reverse these unsustainable trends. NJ Governor Chris Christie's battles with unions has have been well documented. Similar battles in Ohio, Illinois and Michigan are heating up. Most state legislators have taken aim at clawing back benefits to state workers which have decimated their budgets and along the way caused major rifts with big labor. Busting the stranglehold that unions have had of Midwestern states has been something that most democrats have been terrified to even mention. The mass exodus of Jobs out of the Midwest has almost exclusively albeit wrongly been laid at the feet of China, India, George W. Bush and tax loopholes. High taxes, skyrocketing labor cost and other union demands are truly at the heart of the matter. If one doubts these facts then please explain why the vast majority of manufacturing job growth have been in southern non-union states such as Alabama, North Carolina, Texas and Georgia? Thyssen Krupp, the large German steel conglomerate recently opened a large plant in Alabama. There are eight major assembly plants operated by foreign-owned auto companies in six southern states, and while U.S. auto companies cut back in Detroit, companies from abroad are expanding in the U.S. South. Volkswagen started construction of a plant in Tennessee last month and Kia Motors Corp is building a plant in Georgia. In addition to lower labor cost these companies enjoy other benefits such as cheaper land, lower energy cost and lower taxes. The non-union workers seem to be enjoying great pay and benefits without the AFL-CIO or teamsters. Over the past three decades we have witnessed the American middle class deteriorate before our eyes while Democratic politicians and unions bosses continue to divert attention from the real problem-themselves. I like many others have family members that have toiled in steel factories or auto plants and most likely have had their lively hoods protected and served well by unions. However, I do feel that simply because something was useful at one time does not mean that it can't outlive its usefulness (see civil rights movement)-Unions have done that many years ago.
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