Union Pride Featured at Show

From 1874, when cigar makers affixed the first union logo to boxes containing their products, to earlier this year when millions of shoppers honored picket lines set up by striking grocery workers, the union label remains a powerful symbol.

And despite wholesale outsourcing of unionized industries to low wage countries, the annual AFL-CIO Union Industries Show, held this year in St. Louis, MO, still provides tens of thousands of visitors with the best examples of why union-made American-made products are still worth looking for.

"This Show has everything from union-raised, union-trained seeing eye dogs to union-made wedding cakes, motorcycles and blue jeans, all under one roof," said Charles Mercer, president of the Union Label and Service Trades Department, AFL-CIO, which produces and manages the free event.

More than 300 exhibits covering an area equal to four football fields helped bring to life the theme of this year’s show: “America at Its Best.” The IAM fielded a large presence at the Union Industries Show, with 17 exhibits staffed by members and representatives describing what goes into a product before the union label goes on.

“High value, union-made products are the backbone of this nation’s economy,” said GST Warren Mart. “The annual Union Industries Show is a terrific example of why unions and union members deserve credit and thanks for their role in creating and protecting the economic security we all rely on.”

Contract Countdown Continues at Boeing-St. Louis

Main table negotiations between IAM District 837 and Boeing Co. began this week in St. Louis, MO for a new contract covering 2,800 workers who build jet fighters and high tech munitions for the nation’s armed forces.

Key issues in the talks, which commenced on March 15, are health care costs, outsourcing and job security. By a 70 percent margin, members listed healthcare issues and job security at the top of their overall priorities. IAM members and negotiators are also concerned by Boeing’s growing use of subcontractors to perform work that could be done by some of the 1,500 Boeing workers currently laid off. The company is expected to present its so-called “last, best and final offer” to union negotiators by May 18.

On May 23, 2004 IAM members at Boeing-St. Louis will cast ballots to “Accept” or “Reject” the company’s offer. If a majority accepts the contract proposal, that proposal becomes the new contract. If that proposal is rejected, members will then vote to authorize a strike, again by secret ballot. Two-thirds majority vote to strike is required in order for a sanctioned strike to begin.

Click here for background information, a timeline of important dates and up-to-date bulletins about the progress of negotiations with Boeing are available at.

New Study Shows Bush Tax Cut Just a Tax Shift

President Bush’s tax cuts are rapidly accelerating the shift of America’s tax burden from progressive taxes on the wealthy to regressive taxes on working families, according to a new report by United For A Fair Economy entitled create link “Shifty Tax Cuts: How They move the Tax Burden Off the Rich and onto Everyone Else.”

One of the biggest tax shifts is from the federal government to the states. In the last two years, states have scrambled to fill $200 billion in budget shortfalls. They have raised local taxes and cut services. Oregon shortened its school year by three weeks. Other states increased college tuition, raised property taxes, laid off firefighters and police officers, closed libraries, cut children’s health insurance and let roads, bridges and playgrounds go unrepaired. These cuts hit middle and low income families the hardest.

In the past, the federal government provided relief to the states. But Bush’s 2002-2004 budgets budget provided just $20 billion in state aid while his tax cuts delivered almost $194 billion to the wealthiest one percent of Americans (families earning more than 337,000 per year).

Another key shift is from progressive income taxes to regressive payroll taxes. The study finds that since 1980, payroll taxes have increased by 25 percent, but taxes on investment income and large inheritances dropped between 31 and 79 percent.

Bush’s tax plan lowers taxes on wealthy individuals, corporations, investment income and large inheritances. That leaves payroll-based taxes as the primary source of revenue. Payroll taxes, like state taxes, cost middle and lower income families a larger percentage of their income in than wealthy families.

Corporations are getting away with even more. Their contribution to total federal revenue has dropped by two-thirds since 1962, while contributions from individuals has risen.

As billionaire Warren Buffet said, “If class warfare is being waged in America, my class is clearly winning.”

FDA Blocks Seniors Drug Bus

In an incident that heralds a potentially dark new role for the U.S. Food and Drug Administration (FDA), a busload of seniors who traveled to Canada to purchase low-cost drugs were detained and questioned by FDA agents upon their return. The incident, which occurred last fall, was made public last week after Sen. Mark Dayton (D-MN) filed a complaint with the FDA.

“The FDA officials’ inspection was extremely stressful to some of the elderly riders and has caused alarm among prospective riders,” wrote Sen. Dayton. “Was this harassment the intent of the inspection?” asked Dayton, who donates his entire Senate salary to pay for the bus trips from Minnesota, allowing seniors to take advantage of the much lower drug prices in Canada.

Despite FDA opposition, more than 2 million Americans bought medication from Canada last year. Several U.S. cities also purchase discounted drugs for employees and retirees from Canadian pharmacies, while Minnesota, Wisconsin and other states have launched programs to steer citizens to low cost Canadian pharmacies.

Senate Rejects Industry Friendly Asbestos Bill

Efforts by asbestos and insurance industry lobbyists to pass legislation that would limit the amount victims of asbestos-related illnesses could receive failed last week after an intense campaign by labor unions and consumer groups.

A Senate vote on the Hatch-Frist Asbestos Injury Resolution Act (S. 2290) fell 10 short of the 60 votes needed to consider the bill. With the exception of Sen. Zell Miller (D-GA), all Senate Democrats voted against the White House-backed bill.

Under the proposed legislation, victims of asbestos-related illness could be forced to wait years before receiving any compensation while manufacturers would be shielded from additional lawsuits by victims and their families. Asbestos, a fireproofing material widely used in manufacturing and railroad industries, is known to cause serious respiratory illnesses, including cancer.