So....why should WE care what happens in Wisconsin?
Why the Wisconsin labor bill is a big deal
By now, you've probably heard about the kerfuffle in Wisconsin, where demonstrators have been clogging the state Capitol to denounce a bill, pushed by Gov. Scott Walker, that would strip most government workers of nearly all their collective bargaining rights. Schools have closed as teachers skip work to protest. Students have been sleeping in the Capitol rotunda for the last two nights. And there are unconfirmed reports that Senate Democrats may have skipped town to avoid a vote on the controversial measure tonight.
Wisconsin Congressman Paul Ryan summed up the unexpected fervor on MSNBC today: "Cairo has moved to Madison."
Here's a closer look at the what's going on in the Badger state--and what it might mean for the rest of the country:
What exactly would the bill do?
Walker's legislation would end collective bargaining rights--the process by which employees band together to negotiate with employers--for almost all of Wisconsin's state, county and local workers (police, firefighters and the state patrol would be excepted). This would mean, among other things, that unions wouldn't be able to seek pay increases above inflation, unless voters approve those hikes in a special referendum. Unions also would not be able to require members to pay dues, and would have to hold yearly votes to stay organized.
The bill also would make public workers pay half the cost of their pensions, and at least 12.6 percent of their health care coverage. On average, state employees' share of their pension and health care costs would go up by 8 percent.
In exchange for all this, Walker has promised not to lay off or furlough public employees. But he has said that if the bill doesn't pass, he'll order layoffs of up to 6,000 state workers.
How does the proposal affect the state's budget deficit?
Well, that's part of what's at issue. Wisconsin has a $3.6 billion budget shortfall, and the bill would save a projected $300 million over the next two years. "We're at a point of crisis," Walker has said.
But the bill's opponents argue that Walker's plan is less about restoring fiscal responsibility and more about weakening organized labor--a key political opponent for Walker, a Republican. President Obama yesterday said the measure "seems like more of an assault on unions."
And the Wisconsin State Journal, noting the state will run a budget surplus this year, declared: "Walker is manufacturing a fiscal 'crisis' in order to achieve political goals." The paper cited nonpartisan budget figures to make the case that Walker was creating a deficit in the latest budget with lavish spending items on special interests allied with his administration.
What are the chances Walker's bill will become law?
Pretty good. Republicans control the governor's office and both houses of Wisconsin's legislature. The measure passed the budget committee on a party-line vote late last night, and now heads to the Assembly and Senate, where Republican leaders have said they have the votes to pass the measure both chambers. Walker would then sign it into law.
But the Senate's 14 Democrats today threw the process into confusion by leaving Madison to avoid participating in the vote, according to an unnamed aide who spoke to the Wisconsin State Journal. Twenty senators are required for the chamber to do anything, and there are only 19 Republicans.
What are the implications for the rest of the country?
States across the nation are struggling with enormous short-term budget gaps. If Walker's effort passes and is judged a success, it could give a boost to state leaders--GOP Gov. Chris Christie of New Jersey is the most prominent example--who are also looking to rein in public employee benefits. A wave of states advancing Wisconsin-style bids to drastically downscale public unions and pensions could reinforce the notion, pushed by many Republicans, that overly generous state employee benefits are at the root of state budget problems. And that consensus, in turn, could embolden some states to mimic Walker's more direct challenge to collective-bargaining rights.
Meanwhile, if the bill fails or turns out to be broadly unpopular, that could serve as a strong political warning to states now pondering a similar course.
posted by Kathie Bracy at 2:26 PM
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