Labor urges Congress to pump the brakes on fast track

U.S. Reps. Keith Ellison and Rick Nolan host a field hearing on trade at Richfield City Hall.

U.S. Reps. Keith Ellison and Rick Nolan host a field hearing on trade at Richfield City Hall.

Unions are joining a national day of action to stop fast track March 4, and two members of Congress from Minnesota got an earful as to why last week at a field hearing in Richfield.

DFL Reps. Keith Ellison and Rick Nolan heard testimony from trade experts, union leaders, business owners and advocates for family farmers, who passionately exhorted the representatives to resist President Obama’s push for fast-track authority to enter trade agreements like the Trans Pacific Partnership.

The Obama administration, looking for ever-elusive common ground with Republicans who took over Congress this year, has moved fast track and the TPP to the top of its agenda. And the president has plenty of powerful allies in that effort, Nolan warned.

“Not only the administration, but the multinational (corporations) are putting a full-court press on this thing,” the 8th District Congressman said. “Every member is getting collared and called and pushed and urged.”

Ellison wryly noted that White House representatives reached out to him as he was leaving Washington to return to the 5th District, letting him know they were aware of the field hearing – and less than pleased with it.

But testimony at the hearing raised several concerns with fast track and the TPP, a looming NAFTA-style trade agreement among 12 nations on both sides of the Pacific Ocean.

An undemocratic notion

By passing fast track, also known as “trade promotion authority,” Congress would limit its own ability to influence trade policy, forcing members to take an up-or-down votes on 1,000-page trade agreements like TPP without offering amendments.

“That’s clearly an abdication of responsibility on the part of the Congress of the United States,” Nolan said.

Worse, members of Congress are severely limited in their ability to monitor or influence the TPP negotiations, Nolan added. Draft agreements and transcripts of the talks are shielded from the media.

“We’re not allowed to even sit in on the negotiations,” Nolan said. “Now, finally, they’re saying they’ll let us look at some of the transcripts, but all the names and all the essential elements are eliminated. It’s kind of like reading the newspaper with a third of every article being eliminated. So it’s not really time very well spent.”

Machinists union representative Rick Ryan (R) testified before a field hearing on fast track and the Trans Pacific Partnership last month. Ryan appeared on a panel with CWA Minnesota State Council President Mona Meyer and Bob Ryan of the United Steelworkers.

Machinists union representative Rick Ryan (R) testifies before a field hearing on fast track and the Trans Pacific Partnership. Ryan appeared on a panel with CWA Minnesota State Council President Mona Meyer and Bob Ryan of the United Steelworkers.

Profits over people

Leaked drafts of the TPP hint at why Obama’s trade negotiators and hundreds of cleared “advisors” – most of whom represent multinational corporations – might not want the public to see their proposals. Like NAFTA and other free-trade agreements of the last 20 years, TPP appears to give corporations more power over the global economy.

These multinationals have dictated U.S. trade policies at the expense of middle-class wages and jobs for too long, said Mona Meyer, president of the Communications Workers of America’s Minnesota State Council. Look no further than the annual trade deficit of $476 billion.

“The promoters of TPP are again promising job gains,” Meyer said. “But we can do the math, and any job growth with be dwarfed by the flood of jobs that go offshore.”

Trade agreements put manufacturing jobs, in particular, at risk. About 6 million U.S. manufacturing jobs and 60,000 factories have been lost since 2001.

Nilfisk, a company that manufactures industrial floor-cleaning equipment, employed 500 members of the Machinists union at a facility in Plymouth before NAFTA passed. After several rounds of outsourcing, Machinists District 77 representative Rick Ryan said, about 70 workers are left at the plant.

But Ryan warned the TPP goes beyond tariffs and trade.

‘Why are we not at the table?’

“It will affect all sectors of our economy, our courts, our intellectual property rights, labor standards, environmental standards and more – done at the bidding of the world’s largest multinational corporations, further benefiting the 0.1 percent at the expense of the 99.9 percent worldwide,” Ryan said.

How? Dave Levine, CEO of the American Sustainable Business Council, said TPP language could empower corporations to sue local governments that pass “buy local” laws – a school district looking to serve food from area farmers at lunch, for example. It’s one reason the council’s 225,000 member companies oppose fast track and the TPP.

“None of them got a call to be at the table,” he said. “If it’s good for business, why are we not at the table to bring our interests to the proceedings?”

Josh Wise, director of the Minnesota Fair Trade Coalition, noted that the TPP and other trade agreements create extrajudicial trade tribunals, presided over by judges with deep ties to multinationals, that have jurisdiction over local courts.

Lone Pine Resources, an energy company suing the government of Quebec over its ban on fracking, maintains its headquarters outside Canada “for the sole purpose of being able to challenge the fracking ban via the trade court rather than the judicial system,” Wise said.

Fair trade, not free trade

Ellison and Nolan entered the hearing already opposed to fast track and the TPP. Both insisted they were not against trade, but favored trade policies that strengthen labor and human rights, protect U.S. families us from unsafe imports and promote the export of goods instead of jobs.

“We built this economy with rules and regulations on health and safety, wages and benefits,” Nolan said. “To say that we’re going to allow anyone and everyone to come in here and dump their products on us without any countervailing measures … is to really destroy the essence of who we are and what we’re all about.”

Ellison added, “I believe American workers can compete with any workers in the world” if given a level playing field.

“I know that you guys will fight for democracy,” Wise told the members of Congress. “I wish you the best of luck in convincing your colleagues to do the same.”

Steel mill’s expansion leaves St. Paul Pipefitters out in the cold

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Members of Pipefitters Local 455 call out Gerdau for contracting with a Georgia firm to provide mechanical workers for an expansion project at its mill in St. Paul.

State and local taxpayers are backing a $50 million expansion project underway at Gerdau’s St. Paul steel mill with a package of incentives, grants and forgivable loans. But members of St. Paul Pipefitters Local 455 say the project has left local workers out in the cold.

The dispute stems from Gerdau’s decision to accept a Georgia contractor’s bid to do mechanical work on the expansion project, which has otherwise been an all-union construction job.

Industrial Construction Services’ bid, according to Local 455 Business Manager Rick Magler, came in 50 percent lower than the closest Minnesota union contractor’s bid, raising concerns about worker training, job quality and area wage standards on the government-supported project.

Pipefitters from Local 455 this week shared those concerns with the public, manning a banner and distributing leaflets outside Gerdau’s plant, located near the intersection of Interstate 494 and Highway 61.

Leaflets accuse Gerdau, a Brazilian company, of sending “millions of dollars out of Minnesota’s economy” by hiring an out-of-state contractor and workers. They urge supporters to call management at 651-731-5600 and tell the company its actions are unfair.

Gerdau’s St. Paul plant, formerly North Star Steel, recycles junk vehicles and produces rebar and other steel products. It employs about 370 people, including members of United Steelworkers Local 7263.

The expansion replaces the facility’s continuous caster. Gerdau has said the upgrade will increase the plant’s efficiency and will boost its production capacity, ensuring the plant continues to operate in St. Paul for years to come.

In negotiations on first contract, North Star Steel dropped anchor

North Star Steel approached “a new level of absurdity” in an attempt to avoid negotiating a first contract with 30 clerical and sales employees at its Newport facility, The Advocate reported in August 1988.

The workers had voted a year earlier to join the United Steelworkers, but management refused to bargain with the union. After the National Labor Relations Board ruled the company must sit down and negotiate with workers, the company announced plans to appeal the decision.

The Advocate projected the appeal would delay the collective-bargaining process by at least six months, calling it “an example of how the system can be used to stifle the rights of the people it is supposed to protect.”

Steelworkers organizer Mike Denardo put it this way: “They’re delaying us to death.

“With the money they’ve spent on fighting these few workers they could have given them a good first contract with good wages and benefits,” he added.

Unfortunately, the delay tactic lives on among anti-union employers. Look no further than HealthEast, which has been dragging out negotiations with nurses in its Home Care division since they voted to join the Minnesota Nurses Association three years ago. (See story on Page 7.)

North Star Steel dragged its feet into 1990, when the Steelworkers announced plans to target North Star’s parent company, Cargill, with a publicity campaign.

[The Union Advocate’s “This Month in the Archives” feature offers a look back at what the newspaper was reporting from 5 to 100 years ago. Our digital archives are online, searchable and free to anyone. Click here for access.]

Demonstrators targeted Walker Methodist in August 2003.

Demonstrators targeted Walker Methodist in August 2003.

10 Years Ago: Rally for justice at Walker Methodist

Speaking of employers notorious for stalling… In August 2003, more than 400 people marched down South Bryant Avenue in Minneapolis to a rally outside Walker Methodist Health Center, which dragged out contract negotiations with about 340 AFSCME members for nearly five years.

Linda Chavez-Thompson, executive vice president of the national AFL-CIO, attended the rally. “If you’re not going to live up to the principles of the Methodist Church, why are you using the Methodist name?” she asked.

It was the beginning of a long contract struggle – one workers finally won in April 2008.

50 Years Ago: Labor leaders, Twins players team to lift spirits in children’s hospitals

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Delegates to the St. Paul Trades and Labor Assembly joined Twins players in cheering up patients at two Twin Cities children’s hospitals in August 1963. Together, they distributed Twins souvenirs and “Miss Union Maid” dolls (dress, decorated with union labels, included!). From left: Assembly President Charles Rafferty (left) and Secretary-Treasurer E.D. McKinnon at Gillette State Hospital; Margaret Kelly of the St. Paul Federation of Teachers at the Shriners Hospital; and Mrs. Tobey Lapakko, chair of the assembly’s Human Rights Committee, at Gillette Hospital with Twins third baseman Rich Rollins, who “was as big an attraction as the gifts,” The Advocate quipped. “Rollins was still able to hold a bat after developing writer’s cramp autographing each of the Twins yearbooks handed out.”

75 Years Ago: Minimum wage faces legal challenge

A law establishing a minimum wage for working women, passed by the 1938 Minnesota Legislature, drew a swift legal challenge from owners of two businesses, a laundry in Detroit Lakes and a café in New Ulm, who claimed the law “would in effect bankrupt them,” The Union Advocate reported.

The plaintiffs filed suit in federal court, and a three-judge panel heard arguments in August 1938.

A number of “interveners,” including the Western Union Telegraph Company, joined the suit. According to The Advocate, these companies were eager to test the validity of the minimum-wage law, which established a sliding wage scale for women workers ranging from $11 per week in rural areas to $15 per week in cities.

The plaintiffs’ suit alleged the state’s industrial commission, in enforcing a minimum wage, “unlawfully, wrongfully, illegally and arbitrarily . . . deprived the plaintiffs … of their property without due process of law,” and in doing so violated the 14th Amendment.

The Minnesota State Federation of Labor said it would intervene to help uphold the minimum-wage law. Presumably, the federation took issue with the argument that laundry and café workers be considered “property” of their employers.

The justices deferred their decision, but the lawsuit was later withdrawn.

100 Years Ago: Plumbers love a parade

As has become customary in recent years, the St. Paul Regional Labor Federation will sponsor a marching unit in the daily parade through the Minnesota State Fairgrounds on Labor Day this year.

The event draws hundreds of union members from a wide range of RLF affiliate unions, from teachers and nurses to public employees and members of the Building Trades, all marching together behind Labor’s banner.

It’s a family-friendly, positive event, and – as an added perk – it comes with a free ticket to the State Fair for anyone who marches.

One hundred years ago there were no such enticements for union members in St. Paul’s Labor Day parade. In fact, it was less carrot and much more stick.

According to the Aug. 29, 1913, edition of The Advocate, Plumbers Local 34 was so “dead earnest in its determination to make its part of the Labor Day parade a great success” that it threatened members who failed to participate with financial penalty.

“Every member who fails to appear in the line without a reason that is satisfactory to the union will have to pay a fine of $5.”