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Q&A with veteran labor organizer, Stewart J. Acuff

By Leo W. Gerard, President
United Steel Workers International
July 6, 2010 – 1:41 PM Eastern Time


United Steelworkers International President Leo W. Gerard talked with labor organizer Stewart J. Acuff of The Hill about "Getting America Back to Work," a recently released book Acuff co-authored with economist Richard Levins.

The following is the question-and-answer transcript of that interview:

Leo W. Gerard: Stewart, you talk about power in a book you’ve written with economist Dr. Richard A. Levins. You called the manual, “Getting America Back to Work.” What’s the relationship between power and getting people back to work?

Stewart J. Acuff: A big part of the problem we have with this economy or the biggest problem is that most of the money has gone to the Financial Elite — and the power as well. To get America back to work we have to reinvest in our country and our workers.

That necessarily means that the Financial Elite get less of the wealth generated by the economy and workers get more. If you intend to take wealth from the richest people in the history of the world, you have to have enough power to do so.

Gerard: You say in the introduction that there are two kinds of power: “The first is lots of organized money. That is the kind of power the Financial Elite have used to bring the rest of us to our knees. The other source and form of power is lots of people: organized, mobilized, united, and taking action.” Do you really think that organized people can succeed in a wrangle with the financial elites?

Acuff: Absolutely! The economic history of the 20th century is crystal clear. When unions were strong, working people had the lion's share of income and the economy worked well. When unions were weakened, we have seen the Financial Elite take over and run the economy into the ground.

That’s why passing the Employees Free Choice Act is more important than ever. When we strengthen unions, we strengthen the economy.

Gerard: Now, Stewart, you sound like some kind of socialist talking about the fact that at times in the nation’s history the financial elite received collectively as little as 9 percent of the total income earned by Americans but at other times — like right now and right before the Great Depression — the financial elite grabbed more than 23 percent of all income. I mean, aren’t you afraid the likes of Rush Limbaugh and Glenn Beck will accuse you of opposing just rewards earned by the barons of capitalism?

Acuff: Well, my friend, those aren’t just rewards. As my friend Jim Hightower said, members of the Financial Elite were born on third base and say they hit a triple. It’s beyond comprehension that the trading of phony financial instruments like derivatives produces rewards.

What produces just rewards is manufacturing and producing goods and services that people need and want. The person who needs just rewards today is the hotel maid who cleans rooms for a living or the over-stressed nurse who can’t get to all her patients or the skilled but out-of-work construction worker waiting for the chance to earn an honest day’s pay.
Gerard: OK, but then you start talking about income tax rates. Are you really suggesting that the current maximum of 35 percent be raised to the 90 percent that it was during the 1950s? Would that not just enrage the financial elite?

Acuff: Yes, it would enrage the Financial Elite, and Dr. Levins and I haven’t made that case in this book. Certainly the income tax rate for the richest among us is far too low. When Warren Buffett himself says he pays a lower percentage of his income in taxes than does his secretary, that’s a problem.

We wouldn't need to rely on taxes to redistribute income if we had the right mix of union power and corporate power. Instead of a few massive fortunes, we would have millions of working people being productive and using fair wages to stimulate economic growth.

Gerard: Since the days of Reagan, Republicans have told us that taxes on the financial elite should be cut because they need all that money to “re-invest” in the system. That way, the GOP line goes, wealth will trickle down on the “little people.” This hasn’t really worked, has it?

Acuff: No! Not at all! Since the days of Reagan workers wages have stagnated and declined while our productivity has increased. Wealth does not trickle down. Have you seen any of the TARP billions trickling into your pocket lately? I sure haven't. All I saw was obscene bonus payments to those who caused the mess in the first place.

Gerard: Halfway through the book, you suggest working people can have it all — family-supporting jobs, health insurance, even Social Security. Those on the radical right tell us daily that’s impossible because of the national debt. How can you justify such a vision?

Acuff:  More income means more tax revenue, more economic growth and economic activity. We lift the economy from the bottom, not from the top.

Gerard: Then you have the audacity to quote some old economists claiming, “An efficient and humane society requires both halves of the mixed system — market and government.” We know, because the right wing has told us repeatedly, that government is bad, that it should be shrunk and drowned in a bathtub. Where did you and Professor Levins come up with this new-fangled idea that government could help?

Acuff: It’s not a new idea. It says right in the ECON 101 text that Dr. Levins used in his classes that "markets without government is just one hand clapping." From the destruction of $2 trillion of America’s wealth by Wall Street to the incessant pouring of oil from BP’s hole in the bottom of the Gulf, we know that capitalism must be regulated and constrained for the sake of everyone.

Gerard: Which brings us to organized labor. You quote President Kennedy saying, “Those who would destroy or further limit the rights of organized labor — those who would cripple collective bargaining or prevent organization — do a disservice to the cause of democracy.” Isn’t that exactly what has happened since the days of Kennedy, a slow destruction of the labor movement with corporations, union-busters and sometimes government regulators all working together to rob labor unions of the power they built between the 1930s and 1950s?

Acuff: Yes, you’re absolutely right. The results are the mal-distribution of wealth and power and massive recession, a shrinking middle class, a starved consumer demand and a weaker America.

Gerard: The book was written and published before the explosion on the Deepwater Horizon rig that was drilling for BP in the Gulf of Mexico. Is it somewhat prophetic, then, that you discuss the need to move from a fossil fuel-based economy to one that creates jobs with renewable energy sources?

Acuff: I can’t speak to prophecy though I am a huge fan or both Isaiah and Jeremiah. We’ve long known that America needs to generate its own free energy from free resources like the wind that never stops blowing on Great Plains, the sun that never stops shining in the deserts of Arizona, and incessant pull of the ocean’s tide.

Gerard: I was glad to see the chapter discussing the importance of maintaining and supporting manufacturing in America. For those still unconvinced, why is that so important?

Acuff: Well, we don’t need to maintain just current manufacturing capacity. We need to increase manufacturing capacity. That is how to generate wealth. We create wealth by making things that other people want to buy, and that is the best way to build a sound economy.

Gerard: You sound a little bit like a preacher at the end where you state the four values that Americans can believe in. Do you think America can organize around those values and take on the financial elite?

Acuff: Yes, I do! I think what we need is a reinforcement of fundamental human values. We’re all in this together; there is a common good; we are our sisters’ and brothers’ keepers, and workers win and have always won by exercising collective power against the individual power of the Financial Elite.

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Stewart Acuff is chief of staff for the Utility Workers Union of America. He has organized for 30 years, beginning in 1982 with the SEIU. In 1990, he became president of the Atlanta AFL-CIO. There he led the campaign to organize the 1996 Olympics. A decade later, he went to work for the national AFL-CIO, serving as organizing director from 2001 to 2008. He led the AFL-CIO campaign to pass the Employee Free Choice Act.

Dr. Richard Levins is professor emeritus of applied economics at the University of Minnesota. He is an award-winning author of books about policy and market power.

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DO NOT LOSE SIGHT OF THE FACT THAT REPUBLICANS

ARE THE VERY PEOPLE WHO

TRASHED THE ECONOMY AND TOOK OUR COUNTRY

INTO MEANINGLESS AND INTERMINABLE WAR.

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Why do 6 out of 10 Americans Lack Faith in President Obama?

By Sam Stein, Huffington Post

Despite the anticipation that accompanies it, the making of a president's first 100 days in office is a decidedly predictable affair. The White House, while downplaying the metric, nevertheless goes to great lengths to stress the enormity of its own accomplishments. Critics, not surprisingly, carry a diametrically different message; only this time, terms like socialist and fascist are bandied about.

That said, conservatives and progressives alike do seem to be in agreement on one aspect of the Obama presidency: one hundred days in office and a lot has been done. From new approaches to two wars to more than a trillion dollars of government spending; from pirate attacks to flu epidemics; from controversial cartoons to Senatorial defections; this administration has not lacked a full news day .

The abnormally packed cycle has had its side effects. Stories that once could or would receive front page treatment have faded fast. Indeed, some of the most consequential changes made by the president to date -- affecting our nation's health care system, infrastructure, urban and foreign policy -- have received modest to little coverage, either discussed but not appreciated, or reported but not in great depth. As Obama gets set to host a press conference marking his first 100 days, the Huffington Post asked administration officials as well as Democrats inside and out of government for their picks of under-appreciated stories during this time period. Here are four of those stories.

1. Health Care: The Obama White House cleared an important hurdle in the health care reform debate when it appropriated $19 billion in the stimulus package to help implement an electronic medical record system. The money is paltry compared to the hundreds of billions set aside for an overhaul of the health care system in the budget. But officials inside and out of the White House say its significance is hard to overstate.

"We need health IT (Information Technology) so we have a better understanding of what works, then people can share information," Zeke Emanuel, Obama's health care adviser told the Huffington Post in mid-March. "We are on our way such as we have never committed ourselves before."

2. Communications: A presidential campaign built on innovative messaging and advanced technology has, naturally, become a White House defined by similar characteristics. As such, the reach of the administration's new media efforts -- from hosting online question-and-answer sessions with the president to publishing the first White House blog -- has not been appreciated as expected. It's unfortunate, said one tech savvy Democrat, because the new policies have had tangible impacts.

"The White House streams every event with the president on its website, even press events," he said. "It's remarkable because, this Sunday they held a swine flu press conference that ordinary people [including many who may have been personally nervous about the topic] were able to watch online... Before you had to wait for a readout or hope that CSPAN would cover it. This is one of those things that people don't quite understand its significance."

3. Transportation: Since the passage of the economic stimulus package in mid-February, the Obama Department of Transportation has approved 2,500 highway projects. The movement of stimulus money out the door has been as swift as it has been effective: $9.3 billion has been spent in all 50 states. Touting its impact, DOT officials say 260,000 jobs are expected from this investment. And with competition for contracts fierce, the department is set to approve even more projects than previously envisioned. "There will be more money for additional transportation projects," said the official.

4. Education: Maligned for its handling of the financial and banking crises, the Obama Treasury Department has nevertheless implemented policies with real qualitative and quantitative impact on debt-burdened families. Chief among those was a $2,500 tax credit to help offset the cost of tuition (among other expenses) for those seeking a college education. Nearly five million families are expected to save $9 billion, according to Treasury officials.