Joel Rogers, the John D. McArthur Professor of
Law, Politics and Sociology at the University of Wisconsin
(Madison), believes unions should focus on infrastructure
improvements and training investment made at the state level.
"The U.S. spends about $30 billion a year in public money on
economic development," says Rogers. "About 85 percent of that is
spent at the state level. We spend about $10 billion in
vocational worker training, and more than 95 percent of that is
spent at the local level.
"If labor wants more good jobs and is interested in public
development, it should be at the table," says Rogers. "For
example, transportation spending, $500 billion over a three-year
period, drives where economic development goes in the future."
Rogers urges support for "high-road" firms Ð often the older,
more unionized companies that pay higher wages and provide
better benefits. These firms face stiff competition from
"low-road" firms found down state and across the border.
As manufacturing jobs migrated from the larger cities to the
exurban counties, the density of unionization decreased. That
first wave of de-industrialization saw a shift to smaller,
non-union "low-road" firms who paid lower wages and few
benefits.
Now even those "low road" firms are hitting the road again to
places like Mexico and China.
For Rogers, growing "high-road" firms is a win-win for labor
unions, where there is "competition based more on quality and
distinctiveness, for which customers are willing to pay a
premium, [the economic benefit] gets passed on to the typically
better-trained, more involved workers who produce it."
Nurturing "high-road" firms means getting involved with local
economic development authorities, and stopping state tax
subsidies to "low-road" firms. Union members should lobby state
governments to "discourage bidding wars between the states and
regions and move money back to the urban centers," says Rogers.
Rogers also recommends capturing seats on the boards of
community colleges. "They typically require two or three labor
seats," he explains. "It drives the entire training system for
your members. You could control the human capital equation.
"Getting involved at the state level," says Rogers, "produces
a lot more power than you have now. And that's a nice story to
hear in today's world of pain."