Subscribe to Dollars & Sense magazine. Recent articles related to the financial crisis. John Lewis: Worker Management That Works?From today's Independent:Streets ahead: Does John Lewis offer a revolutionary way forward for big business? John Lewis is Britain's best-loved, most employee-friendly retailer. And business is booming. Martin Hickman wonders if there's a connection.. Thursday, 20 August 2009 The Independent As he emerged into the sunlight outside John Lewis in London's Oxford Street this week clutching a plastic carrier bag, Meir Abutbul, a hotelier, had acquired some carpet cleaner and a cameo role in a long-standing industrial experiment. "I like it," he said of the department store that has become synonymous for customer service and respectability. "It's got everything. It's very clear. When I buy electricals there's the guarantee and they have people to talk to you." When told how it operated, however, he looked stunned. "It's like socialism." John Lewis, with its "Never Knowingly Undersold" slogan, is the supplier of sofas, dining tables and widescreen televisions to the nation's sensible shoppers. The Queen buys its haberdashery and household goods. When MPs stuffed second homes at the taxpayers' expense, the Commons Fees Office checked claims for rugs and sideboards against John Lewis prices. Only Marks & Spencer and the BBC can match it in terms of public affection. Now, however, the John Lewis Partnership (which owns the department store and the upmarket grocery chain Waitrose) is increasingly on the receiving end of public admiration as well. Last year Which? members voted John Lewis best high street retailer; this year they gave the award to Waitrose. A poll of 6,000 people by Verdict Research in 2008 named John Lewis "Britain's favourite retailer". This autumn, John Lewis will take a further step forward with the launch of the first in a planned chain of Home stores that will offer its core range in a smaller format; in effect, a John Lewis convenience store. The store will open in Poole, Dorset, in October; if it is successful, another 50 will open across the country. For retail commentators, the expansion is yet another example of John Lewis doing things right. They attribute its success to its long-term approach and, underlying this, its revolutionary partnership structure – something of which roughly half its customers are aware. Unlike other big businesses, the John Lewis Partnership is a plc owned not by investors but by its staff. "Partners" are paid more generously than employees at other retailers. On top of that, they receive an annual "partnership bonus"--a share of the profits--that has ranged between 13 and 20 per cent of salary in the past five years. They receive five weeks' annual holiday, a 25 per cent discount and a final salary pension. There are other perks, too. They can rent subsidised rooms in two large country estates, or stay at lakeside hotels in Snowdonia and the Lake District, or in a 16th-century castle in Dorset. Five cruising yachts can be rented cheaply. And then there is the 60 pound annual subsidy on exhibitions, theatres, visitor attractions and comedy shows. What sets the company apart from its rivals, though, is not its perks but the fact that its staff--shop assistants, warehouse workers, delivery drivers--are involved in the running of the business. Staff are represented in workers' councils from top to bottom of the company. They have the power to sack the boss (though no chairman has been unseated). They can hold management to account and vote to change company policy. They can--and do--write letters of complaint about the business to an internal newsletter, for which they cannot be disciplined. With a 7bn-a-year pound turn-over, a constitution, its own democratic structures and a public commitment to maximising the happiness of its staff, John Lewis operates almost as a shadow state within corporate Britain. Is it too good to be true? Or, if not, should other companies be following its lead? Read the rest of the article Labels: employee ownership, John Lewis, labor, labor organizing, worker rights, workplace democracy Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Another chance to see Steve EarlyIf you can't make it to Cambridge tonight to see Steve Early talk about his new book, Embedded with Organized Labor: Journalistic Reflections on the Class War at Home (see earlier blog posting), he'll be speaking next week in Boston, with Elaine Bernard & Rand Wilson.Steve will address his critique of organized labor, and his vision of how American workers can get out from under the terrible economic and political constraints they endure. Rand Wilson and Elaine Bernard will draw on Steve's analysis to provide their own reflections. More information here. The event will take place on Tuesday, July 7, at 7:00 p.m. at Encuentro 5, a space for progressive movement building, located in Chinatown. Labels: Elaine Bernard, Embedded with Organized Labor, Encuentro 5, labor, labor organizing, Rand Wilson, Steve Early, unions Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). TONIGHT: Steve Early on unions --- Boston-area eventMeet the author ofEmbedded with Organized Labor: Journalistic Reflections on the Class War at Home A new book by Steve Early, former CWA organizer, labor journalist, lawyer and frequent contributor to The Boston Globe Speaking at: Porter Square Books (at Porter Sq. Shopping Center across from Red Line T-stop) 25 White St., Cambridge, Mass. (617-491-2220) Monday, June 29 7:00 to 8:30 P.M. With after-party at Christopher’s Restaurant across the street... Find Out More About: —Workers and the economic crisis —The fight for health care reform —The fate of “Employee Free Choice” —Current struggles for union democracy and rank-and-file control —The future of national labor federations like Change to Win and AFL-CIO Sponsored by: Monthly Review Press, Labor Notes, Massachusetts Jobs with Justice, CWA Locals 1400 and 1298, IBEW Locals 2222 and 2321, Boston Newspaper Guild, TNG-CWA, IUE-CWA Local 201, Boston DSA, Boston Radical Education Project, Solidarity, Socialist Alternative, and Dollars & Sense Magazine Refreshments will be served. For more information, call: 617-930-7327 To order the book online, visit: www.monthlyreview.org Labels: labor, labor organizing, Steve Early, unions Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). The G20 Summit and UnionsFrom a blog I think I hadn't seen before (hat-tip to LF), Labor Is Not a Commodity. I will add it to our blogroll.The G20 Summit and Unions Tim Newman, Campaigns Assistant, International Labor Rights Forum Next week, representatives of G-20 governments will be meeting in London to discuss strategies for addressing the global economic crisis. As working people around the world are facing the LondonSummit-resized consequences of this crisis, unions are responding with their own proposals for the G-20. This Monday, the International Trade Union Confederation (ITUC) released a "London Declaration" that focuses on five key policy recommendations for the G-20:
You can read the full document online here. The introduction to the declaration states, Workers around the world, who are losing their jobs and their homes, are the innocent victims of this crisis: a crisis precipitated by greed and incompetence in the financial sector, but which is underpinned by the policies of privatisation, liberalisation and labour market deregulation of recent decades. The effects of these policies—stagnating wages, cuts in social protection, erosion of workers' rights, increased precarious work, and financialisation—have combined to increase inequality and vulnerability... While all of ITUC's policy recommendations are very important, the third recommendation definitely requires attention. As the full declaration explains, wage deflation and increasing inequality can be reversed in part "by extending the coverage of collective bargaining and strengthening wage setting institutions so as to establish a decent floor in labour markets." Here in the US, a report released this week by Government Accountability Office [we blogged on this NYT article here; it's the article that quotes Kim Bobo. —D&S] showed that the Department of Labor's Wage and Hour Division is failing in its role of protecting workers from wage theft, child labor and other abuses. With a new Secretary of Labor, it is vital that the government strictly enforce the labor laws we already have on the books. We also need to take additional steps to ensure that workers can use collective bargaining agreements to improve wages and working conditions. That means passing the Employee Free Choice Act (EFCA) as a first step. EFCA is an important part of ensuring that US workers are able to exercise the freedom of association and the right to collective bargaining. At the G20 summit in London, it is also essential that world leaders support alternative systems and Egg_a_Politician policies that can improve the lives of the workers facing poverty. Divine Chocolate, a pioneering Fair Trade chocolate company co-owned by cocoa farmers in Ghana, has shown that paying a fair price to farmers does more than create a sustainable future for a few farmers -- it is a model that can be replicated on a mass scale. Divine set up a new website where you can "Egg a Politician" -- meaning that you can toss a chocolate egg at one of the G20 leaders and then send them a message telling them to keep fair trade on the agenda. Unfortunately, I fear that the representatives at the G-20 will not be promoting policies focused on reducing inequality, protecting workers' rights and promoting fair trade. Labor rights advocates globally will have to keep the pressure on governments to support better policies and work together to raise standards for workers everywhere. As one example, workers all across the Americas are participating in an upcoming Continental Day of Action against the Crisis. How do you think unions and worker organizations around the world can work together to address the impact of the global economic crisis on workers? [This is the full post, though I didn't reproduce all the hyperlinks; to see them click here.] Labels: financial crisis, G20, labor, labor organizing, recession, unions Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Chicago Factory Workers To Be RehiredA rare piece of good news on the jobs and labor front. The former workers of Chicago's Republic Windows and Doors factory will be getting rehired by a California company that is buying the plant. More good news -- the company specializes in energy efficient and eco-friendly products.See our previous posts and commentary on the amazing organizing effort by these workers here. From the Huffington Post: CHICAGO — The factory where laid-off workers staged a highly publicized sit-in that garnered national attention last year was sold to a California company that hopes to rehire them and open in about a month, the workers' union and the new owner said Thursday. (This is the complete post) Labels: labor organizing, Republic Windows and Doors Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). We've Outsourced UnemploymentFrom the Washington Post's Harold Meyerson:The Dysfunctional Duo Read the full article here. Labels: global downturn, Harold Meyerson, labor, labor law, labor organizing, low-wage labor, outsourcing, unemployment Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Thoughts on Republic Windows and DoorsOur next-door office pals, United for a Fair Economy, just held a brown bag lunch meeting with some of the folks who staged the worker takeover at Republic Windows and Doors last December (see our earlier coverage here).It's quite possible that this action will mark a turning point in labor activism in this country. If not, it will surely mark a missed opportunity. The shop workers, all members of the United Electrical union, took over the Chicago factory on December 5, 2008 after the workers realized that the owner was moving equipment. In violation of the WARN Act, the company only gave the workers a few days notice of their termination, and failed to compensate them for sick time and other benefits that were legally due to them. Originally the workers had only anticipated to take over the factory for a short time, fully expecting to be arrested by the police. Instead, the takeover quickly snowballed into an international media story. By focusing on Bank of America (Republic's lender, and the recent recipient of $25 billion in taxpayer bailout funds) they tapped into growing resentment at corporate greed and mismanagement at a time of massive layoffs and rising unemployment. Although B of A maintained that they had no legal obligation to pay for the lost benefits and wages due the workers, they ultimately submitted to the pressure generated by national protests, unrelenting media coverage, and broad political pressure from the local city representatives all the way to then-President-elect Obama. Ten days after the workers took over the factory, Bank of America gave in and created a $1.75 million fund to compensate the workers. The factory's former owners, meanwhile, are being investigated for possible illegal action for attempting to remove the company's assets after it had declared bankruptcy. At today's round table talk, union reps say that the workers discussed the possibility of taking over the company themselves. However, given a combination of a grim economic climate for home building supplies, and the massive start-up costs that would be needed to get the factory running and profitable, this had to be set aside. The union is currently encouraging other private buyers, especially those that would be willing to retool the factory with "greener" jobs. The former workers reported that most of them remain unemployed, and many suspect that other employers are leery of hiring them because of their union history. Some thoughts: The country is facing a massive wave of company bankruptcies and there are doubtless countless similar cases of workers getting ripped off. What's remarkable about this is that the workers were in a union, fought back, and won. The RW&D victory has brought renewed attention to both the existence of the WARN law, as well as the fact that it is toothless and routinely violated. In direct response, several state governments are toughening up their related labor laws (including New York), and the Obama administration is working on toughening up the law. The success of the RW&D workers highlights the need for workers to organize collectively, and to think beyond simply claiming their legal rights. Bank of America probably would have gotten away with passing the (missing) buck to the bankrupt factory owner. But the government bailout funds give labor and lawmakers new openings to exert pressure on the controllers of corporate capital. Parts of the media and the general public are also open to a labor-centered focus on workers rights and corporate responsibility for our current economic mess. The early signs from the Obama administration are encouraging. This is hardly a guarantee of future success, but is certainly opens the door for labor to raise the stakes. Labels: Barack Obama, labor organizing, Republic Windows and Doors Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). More GM Loan Fine Print: UAW Can't StrikeYesterday we reported that newly disclosed details of the Bush emergency loan to GM included clauses forcing the automaker to seek massive concessions from their main union, the UAW, including pegging wages and working conditions to those at non-union U.S. plants.One major clause that we didn't mention, however, was that the UAW and its affiliated locals are prohibited from engaging in any strike or work stoppage. If the unions take either type of action, the government can recall the loans and force the company into bankruptcy. The terms of the government loans extends through December 29, 2011. The UAW has a "no-strike" clause in its current contract that extends though September 2011. However, local unions have different timetables for negotiating their contracts. If the UAW was forced to reopen its contract to make concessions, the no-strike clause could be set aside. The union is reportedly pushing its allies in Congress to reopen the terms of the loan agreement once the Obama administration takes office. Labels: auto industry, auto industry loans, bailout, GM, labor organizing, UAW Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). GM Borrows, UAW PaysGM CEO Rick Wagoner says that the $13.4 billion in U.S. government loans it has received should get the company through the end of March, but it may be back asking for additional help after that.Under the terms of the Bush-approved bailout, the automaker can only receive additional funds if it has shown that it can get tough concessions from bondholders and the United Auto Workers (UAW). The union made major concessions in 2007, however the Bush loan deal requires GM to get the union to agree to renegotiate a promised $21 billion company contribution to a retiree trust fund that will be the UAW, and also to force the union to agree to accept wage and work conditions equal to those at non-union plants. The union has raised loud objections to the terms of the loan, and a bill being pushed by Democrats in the House would strip the loan of these forced concessions. Labels: auto industry, auto industry loans, GM, labor organizing, UAW Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Support the Chicago Sit-InAdd this to the list of ways the 1930s are making a comeback.Over the weekend hundreds of workers at Republic Windows & Doors in Chicago occupied their factory to demand the owner keep it open or, if not, that they receive the 75 days' notice of the shutdown required by state law (or the equivalent in severance pay) as well as accrued vacation pay. As the company's primary source of business credit, Bank of America is implicated as well. Common Dreams has the AP story on the sit-in; and check out Jobs with Justice's campaign to force bailout-recipient Bank of America to lend so the factory can stay open. If you want to go right to the top, you can call BoA CEO Kenneth Lewis at 704-386-5687. Labels: Bank of America, closures and layoffs, Jobs with Justice, labor, labor organizing Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Colombian Flower Workers Fired for OrganizingRemember the brief mention of the US-Colombia Trade Pact during the presidential debates? Contrary to the standard line in the business press, labor conditions in Colombia are far from free. In fact, more trade unionists were killed in the first 8 months of 2008 than in all of 2007.And our friends at US/LEAP have notified us of new labor violations:
Click here for more information and to sign on to an action alert. Labels: Colombia, flowers, labor organizing, US-Colombian Free Trade Agreement, US/LEAP Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). David Bacon to speak in Boston, 9/9/08Photojournalist David Bacon, a frequent contributor to Dollars & Sense, will be speaking on Tuesday, Sept. 9, at the Jamaica Plain Forum in Boston. If you live in the area, please attend his talk, which is sure to be enlightening. ... and come over to the Dollars & Sense table and introduce yourself to members of our collective!Speaking of Jamaica Plain Forum: Please save the date--Friday, Nov. 7, 2008--when Dollars & Sense will sponsor our own JP Forum event, "Ask Dr. Dollar," with longtime D&S contributor Arthur MacEwan, professor of economics at U.Mass-Boston. MacEwan will answer questions from the audience about the latest economic crises and what to expect from the new administration in Washington. Here's more information about David Bacon and the Sept. 9 event: "There are no Illegal People" Lecture and discussion with David Bacon, photojournalist and author. The Jamaica Plain Forum (http://www.jamaicaplainforum.org/) First Church in JP, UU 6 Eliot Street, Jamaica Plain, MA 02130 Tuesday, September 9th, 2008, 7:00 p.m. FREE David Bacon will share first-hand observations on how the United States' trade and economic policy sets off a domino effect which ends in high immigration rates. In seeking to create a favorable investment climate for large corporations, socioeconomic conditions are created that displace communities and set migration into motion. Trade policy and immigration are intimately linked, Bacon argues, and are, in fact, elements of a single economic system. Bacon powerfully traces the development of illegal status back to slavery and shows the human cost of treating the indispensable labor of millions of migrants—and the migrants themselves—as illegal. He also analyzes NAFTA's corporate tilt as a cause of displacement and migration from Mexico and shows how criminalizing immigrant labor benefits employers. Award-winning photojournalist David Bacon spent thirty years as a labor organizer and immigrant rights activist. His articles appear in The Nation, American Prospect, Dollars & Sense, the Los Angeles Times, and the San Francisco Chronicle. Bacon hosts a weekly radio show on KPFA-FM in Berkeley, California. David's new book "Illegal People: How Globalization Creates Migration and Criminalizes Immigrants," will be available for purchase. This event is free and open to the public. **************************************** Visit the Jamaica Plain Forum at http://www.jamaicaplainforum.org/ http://www.myspace.com/jamaicaplainforum Labels: David Bacon, globalization, immigrants, Jamaica Plain Forum, labor organizing Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Dockworkers of the World Unite!In a potent reminder of what organized labor can do, thousands of dockworkers along all 29 West Coast ports took the day off in a coordinated action to protest the U.S. war in Iraq.“We are supporting the troops and telling politicians in Washington that it’s time to end the war in Iraq,” said union President Bob McEllrath. See the full story here. Labels: dock workers, iraq war, labor, labor organizing, strike Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). Recession linked to workers' rightsDean Baker, co-director of the Center for Economic and Policy Research, writes on the AFL-CIO website about the relationship between the current economic recession and the suppression of workers’ right to organize over the past three decades. As unions have been attacked, wages have stagnated, and economic growth has become increasingly driven by bubbles -- the stock bubble in the 1990s and the housing bubble in the current decade. Baker calls for a return to wage-driven economic growth to pull us out of the recession and put us on a path toward long-term stability.Labels: AFL-CIO, Center for Economic and Policy Research, Dean Baker, labor organizing, recession Please consider donating to Dollars & Sense and/or subscribing to the magazine (both print and e-subscriptions now available!). |
