Union Activity Moving to North Carolina?
Chamber Takes Notice of Threat to our Competitiveness
North Carolina is one of the least unionized states in the country, but unions nationally and internationally are beginning to organize their efforts in targeting our position. Why all the recent activity in North Carolina? With the decline of union memberships in other states, union leaders are seeking to increase revenue by renewing the fight in union-free states, such as North Carolina. Unions are viewing North Carolina’s ranking as an opportunity rather than an impediment as they ramp up their efforts to spread the union message.
The North Carolina Chamber understands the vital importance of keeping North Carolina as the second least unionized state, (South Carolina being the first). Our ranking serves as an economic development tool as it keeps labor costs down, allowing for innovation and growth. The lack of unions undoubtedly is a major factor in the numerous business studies ranking our state as having some of the lowest labor costs in the lowest in the nation and as one of the best places in the U.S. to do business. The loss of this status would serve to discourage employers from relocating to our state as they look to alternative states because of increased labor costs associated with unions. Our Chamber will continue the fight to ensure that North Carolina remains an environment that encourages entrepreneurship and job creation.
Evidence of Union Efforts Says it All: Unions are Organizing in North Carolina
Unions Flooded Money into the 2006 Elections
Large unions have been pouring more money into North Carolina politics in recent years, as evidenced by media and campaign finance reports from the 2006 election cycle. According to the Institute on Money in State Politics public-sector unions gave more than $300,000 in state-level political donations during 2006. In addition, campaign finance reports from the State Board of Elections show that SEIU and its North Carolina partner, SEANC invested $625,000 in the 2006 election cycle.
UE Local 150 Captures More NC Workers
Nearly half of Raleigh’s sanitation workers joined the UE Local 150 union, which represents about 35,000 employees, in December 2006. More than 50 city sanitation workers walked off the job in September 2006 and left many of the city’s residents without waste removal services for weeks. This labor walk out and other organized activities among Raleigh sanitation workers ultimately led to meetings between UE 150 leaders and Mayor Charles Meeker and City Council members. These meeting subsequently led to the city being forced to make concessions – a first in our state and a significant victory for organized labor. Some lawmakers have publicly stated that they think Raleigh’s negotiations could lead to change across North Carolina by chipping away at our state’s ban on collective bargaining among public employees.
The Teamsters Union Keeps Growing
Raleigh’s police union joined the Teamsters last year, stating publicly that the move is an effort to help end a state ban on collective bargaining by public employees. The Raleigh group’s president has said he hopes to rally other departments across the state to join the union. The Teamsters are purportedly recruiting public school bus drivers currently. The Teamsters tout 1.4 million members
Unions Fought for Secret Ballots at the Federal Level
Earlier this year legislation was debated in Congress that would have taken away an employee’s access to a federally supervised private ballot when deciding whether to join a union. It would have taken away the employee right to a secret ballot vote and replaced the private ballot with a “card check” system that allows a union to organize if a majority of employees simply sign a card. The secret ballot system allows employees to vote without the threat of intimidation by employers or union representatives and guarantees a fair and impartial system to protect employees.
Our Chamber vigorously opposed this piece of legislation and called our members to action, urging you to contact members of Congress and urge them to oppose the bill. Recognizing the wide-sweeping nature of this bill and the impact it would have on our state’s employers, we were able to help in the collective effort that defeated the bill in Congress.
Efforts to Remove Collective Bargaining Ban in NC Ongoing
A bill that would remove North Carolina’s longstanding prohibition on collective bargaining by public employees was heard during the 2007 General Assembly session. Proponents of the bill were able to move it out of a House Judiciary Committee using legislative maneuvers. While we were able to stop this precedent setting bill from being voted on by the House Appropriations Committee, this fight shows how important expanding collective bargaining is to the labor movement and how far they are willing to go to grow their influence in North Carolina.
National Labor Unions Target Bank of America & Progress Energy
The Service Employees International Union launched a website and handed out materials in Charlotte just last month targeting Bank of America. The union represents employees working for LaSalle Bank, which is a pending acquisition of Bank of America. The union has publicly stated in its website and local protests that it will continue to raise questions about the bank and the economy as it looks to represent its membership.
The International Brotherhood of Electrical Workers began organizing in North Carolina last year, targeting Progress Energy workers. While they were unsuccessful in a union bid earlier this year at the Shearon Harris Nuclear plant, their efforts were impressive. The union aggressively sent out mailings, and held weekly meetings in an effort to add these Progress Energy employees to their ranks. While they were unsuccessful this year there is no indication that their efforts have come to an end in North Carolina.
SEANC Makes Move to Increase Influence: Votes to Allow Union Affiliation
The State Employees Association of North Carolina (SEANC) voted last month to allow affiliation with existing unions, a move that has been forbidden by the organization’s bylaws in the past. SEANC touts more than 55,000 members who are state government employees or retirees, and also is partnered with the Service Employees International Union (SEIU), which represents 1.8 million workers. If the membership agrees to affiliate and the ban on collective bargaining for government employees is passed by the legislature, North Carolina could welcome another 55,000 union members to the state, an incredible and frightening increase of union clout in North Carolina.
Chamber Members Speak out: Unions Affect Business Climate
Our members’ response to e-cast poll questions indicate that it is vital to our state’s businesses that we retain our ranking as one of the least-unionized states in the nation:
Which legislative victory will affect your manufacturing business the most?
Card Check
| 50%
| PIT Reduction
| 50%
|
Do you believe that the current secret ballot system is the best for union membership?
How would you rate the impact of employment law on your business?
High
| 68%
| Low
| 26%
| Neutral
| 6%
|
Business Coalition Takes Action Protecting our State’s Status
The North Carolina Chamber thanks our local and national pro-business allies in helping us this year to defeat the card check and collective bargaining legislation. As a unified voice we were able to collectively take action to defeat unions’ efforts to expand their influence at both the national and state levels.
Our business coalition understands that economic development works best when free market decisions are encouraged. Companies want to avoid the stranglehold of unions. Our coalition has diligently worked to keep North Carolina’s business climate one that encourages entrepreneurship and job creation.
As Thomas Donohue, President and CEO of the U.S. Chamber of Commerce has said: “When it comes to unions, business will cooperate when it can, and fight like hell where it must. And we fight to win
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