- Jan 29, 2009: President Obama reverses the Bush's administration policies on unions and signs three executive orders that favor unions. The orders Obama signed will:
-Require federal contractors to offer jobs to current workers when contracts change.
-Reverse a Bush order requiring federal contractors to post notice that workers can limit financial support of unions serving as their exclusive bargaining representatives.
-Prevent federal contractors from being reimbursed for expenses meant to influence workers deciding whether to form a union and engage in collective bargaining.
D: With these three executive orders Obama has given union workers even more power. Yes, it is true, unions have done some good by helping employees work in safe environments, etc, but it seems more and more they also help employees take advantage of employers. Unions have the ability to cripple a company's chance to compete and grow. More often then not, unions are unwilling to compromise in order to help the company survive. Unions raise their wages significantly higher then the wages of nonunion workers. This results in many union developed products being so expensive that profits are lost to less expensive overseas competitors. In addition. in many unions, workers can't advance on their performance, but must generally progress within the limits defined by union contracts. In addition, employers have problems reprimanding any ineffective union employees. Unionized workers sometimes become so comfortable and protected that they lose the incentive to work hard for their employer. And good employees might lose interest if there's no incentive to excel. There is no better example of the negative affect unions with too much power have on an industry then the automobile industry. The Japanese carmakers make an average of $2900 more in profit per vehicle than American automakers. American automakers are unionized, the Japanese are not. The American high union labor costs are the reason for this.
- Jan 29 - Barack Obama today signed the first bill of his presidency, a piece of legislation known as the Lilly Ledbetter Fair Pay Restoration Act that makes it easier for workers to sue after discovering what they believe to be pay discrimination.
C-: The intent of this new bill is a good one. But America already has a law in place for pay discrimination. It is called the Equal Pay Act of 1963 (EPA). This law, enforced by The U.S. Equal Employment Opportunity Commission, forbids any employer to discriminate against an employee based on sex through unequal pay wages. The only thing this new bill will do is prompt more lawsuits and lead to litigation over outdated cases. Here come the trial lawyers who will flood the US courts with fictitious lawsuits.